EQUITABLE HOLDINGS Reports Record Second Quarter Earnings for FY2023
August 20, 2023
🌥️Earnings Overview
On August 2 2023, EQUITABLE HOLDINGS ($NYSE:EQH) reported their earnings for the second quarter of FY2023, ending June 30 2023. With total revenue amounting to USD 2.4 billion, a decrease of 54.0% from the same period last year, combined with a 56.1% drop in net income to USD 0.76 billion, these figures show a stark comparison to the year before.
Stock Price
On Wednesday, EQUITABLE HOLDINGS reported record second-quarter earnings for the financial year FY2023. The company’s stock opened at $28.6 and closed at $28.5, a decrease of 1.7% from the previous day’s closing price of $29.0. The company attributed this growth to higher revenue from their investments in real estate and private equity.
The company also increased their dividend payout rate by 2.4%, which further contributed to their financial success. Overall, the company’s performance in the second quarter of FY2023 was impressive and has set the stage for continued success in the coming year. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Equitable Holdings. More…
| Total Revenues | Net Income | Net Margin |
| 9.64k | 340 | 4.4% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Equitable Holdings. More…
| Operations | Investing | Financing |
| -830 | -7.49k | 7.65k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Equitable Holdings. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 269.01k | 263.21k | 10.15 |
Key Ratios Snapshot
Some of the financial key ratios for Equitable Holdings are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| -13.3% | – | -2.1% |
| FCF Margin | ROE | ROA |
| -10.5% | -3.5% | -0.0% |
Analysis
GoodWhale has analyzed EQUITABLE HOLDINGS‘s financials and found that it has a low health score of 2/10. This suggests the company is less likely to sustain future operations in times of crisis. Specifically, EQUITABLE HOLDINGS is strong in dividend, yet weak in asset, growth, and profitability. From this, we classify EQUITABLE HOLDINGS as a ‘cow’, a type of company with a track record of paying out consistent and sustainable dividends. As a result, investors who are looking for steady, reliable income may be interested in EQUITABLE HOLDINGS. The company is well suited to those who are risk-averse and looking for an investment that will provide steady returns over time. It may also prove attractive to investors who don’t have the time or resources to actively monitor their investments and prefer to sit back and collect dividends. More…
Peers
Competition between Equitable Holdings Inc and its competitors, Momentum Metropolitan Holdings Ltd, KWI PCL, and iA Financial Corp Inc, is intense. All of these companies strive to offer the best services to their customers in order to remain competitive in the market. Each company has its own unique set of strengths and weaknesses, and they are constantly working to improve their offerings and stay ahead of the competition.
– Momentum Metropolitan Holdings Ltd ($BER:M1A)
Momentum Metropolitan Holdings Ltd is an insurance and financial services company based in South Africa. The company operates in two main segments: Life Insurance and Short-term Insurance. As of 2022, the company has a market cap of 1.41 billion dollars and a Return on Equity of 26.28%. This indicates that the company is doing well financially and has strong financial performance relative to its peers. The company’s strong financial performance is likely due to its focus on providing quality services to its customers and its ability to control costs. Momentum Metropolitan Holdings Ltd is well-positioned to continue its growth in the future.
– KWI PCL ($SET:KWI)
KWI PCL is a Thailand-based company that specializes in the production and sale of energy, petrochemical, and other industrial products. The company has a market capitalization of 5.52 billion USD as of 2022, which is an indication of the size and value of the company. KWI PCL also has a Return on Equity (ROE) of -1.33%, which suggests that the company is not generating a return on the equity that has been invested into it. This could be due to a variety of factors such as poor management decisions or an excessively competitive industry. Despite this, KWI PCL continues to remain a prominent player in the industry and is dedicated to providing its customers with quality products and services.
– iA Financial Corp Inc ($TSX:IAG)
Merrill Lynch & Co. Inc., commonly referred to as Merrill Lynch, is a leading global financial services firm with a market cap of 8.08B as of 2022. The company provides a range of products and services to corporate, institutional, government and individual clients, including investments, wealth management, capital markets, and advisory solutions. Merrill Lynch is renowned for its strong Return on Equity of 9.41%, reflecting the company’s proficient capital deployment and management. The company is well-positioned to capitalize on the growth opportunities in the financial services industry.
Summary
EQUITABLE HOLDINGS reported their second quarter earnings for FY2023 on August 2, with total revenue of USD 2.4 billion. This was a 54.0% decline compared to the same period last year. Similarly, net income dropped 56.1% from the same quarter last year to USD 0.76 billion.
For investors, this may indicate EQUITABLE HOLDINGS is not in a strong financial position and could be a risky investment. Analyzing the company’s financials further, such as to compare current performance to past performance or review their liquidity ratios, may provide more insight into the company’s future prospects.
