Ally Financial rises on move to simplify business, Q4 profit beat

Ally Financial

22/01/2025 12:54

** Consumer lender Ally Financial's  ALLY.N  shares rise
6.5% to $40.65 premarket
    ** ALLY posts Q4 adjusted profit of 78 cents/share, beating
Wall Street expectations of 57 cents/share, according to
estimates compiled by LSEG
    ** Q4 net financing revenue rose $7 mln to $1.51 bln, driven
by lower funding costs      
    ** CEO Michael Rhodes expresses optimism on strong momentum
across ALLY's business as the company enters 2025, driven by an
improved outlook on credit
    ** ALLY also announced a raft of actions taken in Q4 to
simplify and streamline the company
    ** Co has agreed to sell its credit card business to credit
and payments company CardWorks    
    ** ALLY is also ceasing new mortgage loan applications from
Jan. 31 and said it paid $22 mln in severance pay to laid off
workers
    ** ALLY stock rose 3.1% in 2024


 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com;))