Slide 1: Full Year and Fourth Quarter 2024 Earnings Results
Equitable Holdings Full Year and Fourth Quarter 2024 Earnings Results February 5, 2025 Equitable
Slide 2: Note Regarding Forward-Looking Statements and Non-GAAP Financial Measures
Note Regarding Forward-Looking Statements and Non-GAAP Financial Measures This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “expects,” “believes,” “anticipates,” “intends,” “seeks,” “aims,” “plans,” “assume
Slide 3: Full year 2024 highlights
Full year 2024 highlights Strong growth in earnings and cash generation • Full year Non-GAAP operating earnings1 per share of $5.93, or $6.18 per share after adjusting for notable items2 • Growth in Non-GAAP operating EPS ex. notable items2 of 20% vs FY’23, above our 12-15% annual guidance • Full ye
Slide 4: Our strategy is delivering strong results
Our strategy is delivering strong results 2024 Results Progress since IR Day $151bn AUM; $7.1bn net flows1; 5% organic growth +19% AUM CAGR Retirement Defend & Retirement VNB2 of c.$570m, ahead of IR day plan vs 5-7% target grow core businesses $792bn AUM, $4.3bn active net inflows +340bps adj. op.
Slide 5: Tracking towards investor day targets
Tracking towards investor day targets Cash generation1, $bn Payout ratio2 EPS growth3 On track to achieve 2027 target Delivering consistent capital return Strong momentum 80% 21% 20% 2.0 18% 75% 12-15% EPS 1.6-1.7 CAGR Target 1.5 60-70% Payout Target 15% 70% 1.3 68% 67% 12% 66% 12% 65% 9% 60% 6% 55%
Slide 6: 2025 initiatives to sustain growth momentum
2025 initiatives to sustain growth momentum Retirement Asset Management Wealth Management • Continue to innovate in • Expand private markets • Accelerate experienced the RILA market platform advisor recruiting • Capture rising demand for • Grow active ETF and tax • Continue to develop income solutio
Slide 7: Fourth quarter consolidated results summary
Fourth quarter consolidated results summary Non-GAAP Operating Earnings, Non-GAAP Operating EPS, Assets under management adjusted for notable items1 adjusted for notable items1 and administration GR $ $bn AUM 20% +23% +10% AUA PS 1.65 1,019 6% 930 1.34 IR 36% $549m 843 919 24% AB 6% 7% 87 101 4Q23 4
Slide 8: Expect earnings growth momentum to continue in 2025
Expect earnings growth momentum to continue in 2025 Spread income, net interest margin $millions Fee-based revenue, $millions Individual Retirement Group Retirement Retirement1 Asset Mgmt.2 Wealth Mgmt.3 +18% +16% +12% 332 1,220 281 +11% +16% 1,054 3,049 2,717 1,605 1,780 1,779 1,538 2023 2024 2023
Slide 9: Capital management driving shareholder value
Capital management driving shareholder value Consistent capital return Delivering on 60-70% payout ratio target1 Dividends Share Repurchases ▪ Returned $335m to shareholders in 4Q’24 including $260m in share repurchases $326m $325m $330m $335m ▪ Cash & liquid assets of $1.8bn at Holdings2 $73m $78m
Slide 10: Capital invested in new business delivers 15%+ IRR, strong VNB
Capital invested in new business delivers 15%+ IRR, strong VNB Value of new business (VNB): present value of future cash flows $775m $600m $600m $475m $475m 2020 2021 2022 2023 2024 Capital $400m $500m $500m $500m $550m Deployed Note: Figures rounded 4Q24 Earnings Presentation 10
Slide 11: Equitable is well-positioned to sustain 2024's momentum
Equitable is well-positioned to sustain 2024’s momentum Product manufacturing Asset management Distribution 2023-27 Financial Targets $2bn 60-70% 12-15% of annual cash of Non-GAAP Non-GAAP generation by 2027 Operating Earnings Operating EPS CAGR 4Q24 Earnings Presentation 11
Slide 12: Appendix
Appendix Equitable Holdings Full Year and Fourth Quarter 2024 Earnings Results
Slide 13: Explanation of footnotes
Explanation of footnotes Page 3 1Non-GAAP Operating Earnings equals our consolidated after-tax net income attributable to Holdings adjusted to eliminate the impact of certain items; Please see detailed Non-GAAP reconciliation in Appendix 2Non-GAAP Operating Earnings adjusted for Notable Items; Pleas
Slide 14: Estimated macro sensitivities
Estimated macro sensitivities Total company sensitivities Retirement business shifting to spread-based AUM Individual and Group Retirement Account Value +/-10% = c. $150m after tax Equity market Non-GAAP Operating Earnings impact1 22% 27% Interest rates +/-50bps = c. $40-45m after tax 52% Non-GAAP O
Slide 15: Conservative, high quality investment portfolio
Conservative, high quality investment portfolio General Account Investment Portfolio Fixed Maturity Portfolio U.S. Treasury, Gov’t and Agency <Baa 5% 2% Structured Credit 20% Baa 31% Corporates 49% $112bn 1 1% Other Fixed Maturities $84bn 18% 67% Mortgage Loans Aaa, Aa, A 3% 4% Policy Loans Alts. &
Slide 16: Alternatives portfolio has produced strong returns over time
Alternatives portfolio has produced strong returns over time Historical Alternative Investment Portfolio Annualized Returns $millions, pre-tax Historical Alternative Investments Portfolio Returns $ millions, pre-tax 2017 2018 2019 2020 2021 2022 2023 1Q24 2Q24 3Q24 4Q24 2024 GAAP Carrying Value Priv
Slide 17: Individual Retirement
Individual Retirement Operating Earnings, adjusted for Notable Items1 Highlights $m ▪ Growth in Operating Earnings adjusted for Notable Items1 driven by higher NIM and fee-type revenue, partially offset 244 222 by higher commissions ▪ Net inflows of $1.7bn in 4Q’24; organic growth of 8% on a trailin
Slide 18: Group Retirement
Group Retirement Operating Earnings, adjusted for Notable Items1 Highlights $m ▪ Operating Earnings adjusted for Notable Items1 increased primarily due to higher NIM and growth in fee-based revenue 137 109 ▪ Net outflows of $134m in 4Q; $55m of tax-exempt net inflows, offset by outflows in corporate
Slide 19: Asset Management (AB)
Asset Management (AB) Operating Earnings, adjusted for Notable Items1 Highlights $m ▪ Growth in operating earnings adjusted for Notable Items1 driven primarily by higher base fees and strong performance fees 161 ▪ Net outflows of $4.8bn, driven by outflows in the Institutional channel, partially off
Slide 20: Protection Solutions
Protection Solutions Operating Earnings, adjusted for Notable Items1 Highlights $m ▪ Full year operating earnings adjusted for Notable Items1 consistent with $200-$300m guidance 68 ▪ Gross mortality in-line with seasonal expectations, but net 43 mortality was elevated due to lower reinsurance covera
Slide 21: Wealth Management
Wealth Management Operating Earnings Highlights $m ▪ Operating earnings increased primarily due to higher advisory and distribution fees, partially offset by higher 45 47 commission expense ▪ Advisory net inflows of $776m in 4Q’24 ▪ Total AUA of $101bn, up 16% YoY, with two-thirds in fee- based advi
Slide 22: Legacy
Legacy Operating Earnings, adjusted for Notable Items1 Highlights $m ▪ Operating Earnings adjusted for Notable Items1 increased primarily due to higher fee-based revenue 39 28 ▪ Net outflows of $787m were in line with expectations as this business continues to run-off at $2-3bn per year 4Q23 4Q24 Ac
Slide 23: Reconciliation of Non-GAAP and Other financial disclosures
Appendix Reconciliation of Non-GAAP and Other financial disclosures EQH Non-GAAP Operating Earnings Three Months Ended Year Ended December 31, December 31, (in millions) 2024 2023 2024 2023 Net income (loss) attributable to Holdings $ 899 $ (698) $ 1,307 $ 1,302 Adjustments related to: Variable annu
Slide 24: Impact of Notable Items by segment and corporate & other
Appendix Impact of Notable Items1 by segment and corporate & other Q4 (2024) reported Alternatives adjustment Derivatives adjustment Actuarial Items & Model Changes Tax Rate Q4 (2024) adjusted After-tax Pre-tax After-tax Pre-tax After-tax Pre-tax After-tax True-up After-tax Individual Retirement 240
Slide 25: Impact of Notable Items by segment and corporate & other
Appendix Impact of Notable Items1 by segment and corporate & other Individual Protection Corporate and Wealth Three Months Ended Q4 (2024) Group Retirement Asset Management Legacy Segment Consolidated Retirement Solutions Other Management Non-GAAP Operating Earnings 240 132 161 32 (128) 47 38 522 Pr
Slide 26: Impact of Notable Items by segment and corporate & other
Appendix Impact of Notable Items1 by segment and corporate & other Individual Protection Corporate and Wealth Twelve Months Ended 12/31/2024 Group Retirement Asset Management Legacy Segment Consolidated Retirement Solutions Other Management Non-GAAP Operating Earnings 952 522 479 186 (448) 184 131 2