Ally Financial Inc.

Good day and thank you for standing by. Welcome to Ally Financial's second quarter 2026 earnings conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you'll need to press star 1-1 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 1-1 again. Please be advised that today's conference is being recorded. I'd now like to hand the conference over to Sean Leary, Chief Financial Planning and Investor Relations Officer. Please go ahead.

Thank you, Elizabeth. Good morning and welcome to Ally Financial's second quarter 2026 earnings call. This morning, our CEO, Michael Rhodes, and our CFO, Russ Hutchinson, will review Ally's results before taking questions. The presentation we'll reference can be found on the Investor Relations section of our website, ally.com. Forward-looking statements and risk factor language governing today's call are on page two. GAAP and non-GAAP measures pertaining to our operating performance and capital results are on page three. As a reminder, non-GAAP or core metrics are supplemental to and not a substitute for U.S. GAAP measures. Definitions and reconciliations can be found in the appendix. And with that, I'll turn the call over to Michael.

Thank you, Sean, and good morning, everyone. I appreciate you joining us today. Second quarter results were solid and reflect the progress we've made over the past several years to build a more focused, higher performing company. The strategic choices we've made are creating a franchise with meaningfully greater earnings power. We are seeing that reflected not only in margin expansion and strong operating performance, but also our ability to invest for growth while simultaneously increasing capital returns to shareholders. Simply put, our results demonstrate our strategy, backed by disciplined execution, is working. The ally today is fundamentally stronger. We believe this positions us well to further enhance profitability, support customers through economic cycles, and create long-term shareholder value. For the second quarter, adjusted EPS of $1.21 was up 22% year-over-year, while core ROTC increased to 11.8%. Adjusted net revenue of $2.3 billion increased 10% year-over-year, reflecting continued asset growth and further margin expansion. To the point, retail auto and corporate finance assets grew nearly $8 billion year-over-year. That's up 8% year-over-year. And NIM improved 11 basis points sequentially to 3.63%. Our balance sheet continued to strengthen during the quarter, with CET1 increasing 20 basis points year-over-year. That strength is providing greater capital flexibility. Since announcing our authorization in December, we've returned more than $300 million to shareholders through share repurchases. Taken together, these results reflect improved earnings power, increased capital flexibility, and a company that is better positioned to perform through the economic cycles. Importantly, we are seeing broad-based momentum across the company with each of our core franchises executing well and contributing to our performance. That momentum is supported by investments we've made to strengthen both the Ally brand and our culture. Our revitalized marketing campaign, Life Today, is resonating with customers and highlighting the unique value proposition of Ally, meeting customers where life and money intersect in today's world. We continue to see encouraging results in brand health, awareness, engagement and industry leading retention. Equally important, our culture remains a meaningful competitive advantage. Employee engagement scores improved again this year and rank the top decile of companies nationally for the seventh consecutive year with particularly strong improvement across measures such as belief in our strategy. We believe highly engaged employees aligned around a clear strategy create better experiences for our customers and ultimately drive stronger business outcomes. With that, let's turn to page five and discuss performance across our core franchises. Starting with dealer financial services, Our dealer-centric through-the-cycle approach remains a key differentiator and a meaningful competitive advantage. Within auto finance, applications reached a record $4.6 million, increasing 17% from a year ago. Validating our strong value proposition and strategic initiatives are resonating with dealers more than ever. This application volume supported originations of $13.3 billion, up 21% year-over-year, while maintaining approval and pull-through rates. Retail origination yield of 9.1% included 47% S-tier, reflecting seasonal dynamics and our measured approach to navigating the current operating environment. Consumers have remained resilient and we are encouraged by the credit performance across our portfolio. At the same time, we are mindful of the cumulative headwinds from ongoing inflationary pressures and an evolving macro backdrop. Insurance delivered another solid quarter with written premiums of $382 million, up 9% year-over-year, as we continue to demonstrate an ability to deepen relationships highlight our unique full spectrum value proposition to dealers. In corporate finance, we delivered record pre-tax earnings and continue to see strong client demand and attractive opportunities for disciplined growth. The portfolio ended the quarter at $13.7 billion. That's up 25% from the prior year while generating a 32% return on equity. Our success is built on long-standing client relationships, deep underwriting expertise, speed of execution, and the ability to provide certainty when our clients need it most. We remain focused on profitable growth while maintaining the credit discipline that has consistently differentiated this business. Now turning to the digital bank, customer growth and engagement trends remain strong. Retail deposit balances ended the quarter at $144 billion, with deposits representing 87% of total funding and providing a stable and cost-efficient funding source for the company. We now serve 3.6 million customers, up 7% year-over-year, and marking our 69th consecutive quarter of customer growth. Importantly, much of that growth is coming from younger consumers, were highly engaged in our digital platform. Nearly 70% of new accounts come from millennials and younger consumers, typically beginning with average balances just under $10,000 and growing over time. As consumer preferences increasingly shift towards digital-first experiences, we believe Ally's trusted brand, national scale, and low-cost operating model positions us exceptionally well for the future. Taken together, these results demonstrate the increasing strength of our core franchises. We're growing in businesses where we have clear competitive advantages, generating attractive returns, and deepening customer relationships across the company. While there's more work ahead, we remain confident in our path forward. We believe the benefits of our strategic actions will continue to accumulate, positioning Ally to deliver higher profitability and stronger returns over time. and just as importantly, those same actions are creating a more resilient company that we believe is well positioned to perform through economic cycles. And with that, I'll turn to Russ to discuss the quarter in more detail.