Ally Financial’s Revenue by Segment (2016-2023)

This chart shows Ally Financial’s Revenue by Segment, across Automotive finance, Corporate finance, Insurance and Mortgage finance, and is reported quarterly from 2016 onwards.

Ally Financial’s Revenue by Segment

Ally Financial Inc., a bank holding company based in Delaware, is headquartered in Detroit Center. The company offers a range of financial services, including car financing, online banking through a direct banking platform, corporate loans, vehicle insurance, and mortgage loans, as well as an electronic trading platform for trading financial assets. 

(All figures in USD millions, except percentages)

From the table, it can be inferred that Automotive finance operations is the company’s largest segment, accounting for more than 80% of total revenue. While the other segments cumulatively contribute around 17-18% of the total revenue. 

Automotive finance operations

The company is one of the largest comprehensive automotive finance firms in the United States, offering automotive financing services to customers, dealers, retailers, corporations, and municipalities. They specialize in the following automotive finance services: retail installment sales contracts; loans and operating leases; term loans to dealers; dealer floorplans, other lines of credit, warehouse lines; etc.

Corporate and other

Corporate and Other consist primarily of central corporate treasury operations, including the management of cash and corporate investment assets and loan portfolios; short-term and long-term liabilities; retail and brokered deposits; derivative instruments; original issue discount; etc. This segment includes various activities, such as treasury management and asset management. 

Corporate finance operations

Corporate Finance operations offer loans to predominantly U.S. mid-market companies with a primary focus on private equity-sponsored companies. They also provide partial funding to nonbank wholesale funded managers for their direct lending activities, which are primarily leveraged. 

Insurance operations

Insurance operations provide consumer financial protection as well as insurance products primarily sold through automotive dealer channels, as well as commercial insurance products directly sold to dealers. An important element of this segment is the reinvestment of premium revenues and other revenue streams.

Mortgage finance operations

Mortgage Finance is the management of a portfolio of consumer mortgage loans that are held for investment and held for sale. Applicants for the Mortgage Finance operations are those with a credit profile and income streams that are sufficient to support repayment of the loan, and the operations are subject to credit standards that take into account the underlying property’s value and compliance with prudential credit practices and regulations.

About Ally Financial Incorporation

Established in 1919, the company is one of the most extensive car finance providers in the United States, offering car financing and leasing services to more than 5 million customers, as well as providing car loans to 1.4 million borrowers annually. Additionally, the company has an online marketplace, SmartAuction, which has sold over 5 million vehicles since its inception in 2000, including a record 336,000 vehicles in 2022. Ally Financial is publicly traded, with its common stock trading under the symbol “ALLY”.

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