Bread Financial Holdings, Inc. (NYSE: BFH) has released its performance update for July 2024, showcasing key metrics for the month compared to the same period in 2023.
The company reported a decrease in end-of-period credit card and other loans, with the figure standing at $17,659 million in July 2024 as compared to $17,963 million in July 2023. However, the average credit card and other loans saw an increase from $17,560 million in July 2023 to $17,588 million in July 2024.
Net principal losses for July 2024 rose to $120 million from $108 million in July 2023, resulting in a net loss rate of 8.0% for July 2024 compared to 7.4% for the same period in 2023.
The company also reported an increase in 30 days+ delinquencies for July 2024, with the figure at $1,004 million compared to $956 million in July 2023. The delinquency rate also rose to 6.2% in July 2024 from 5.7% in July 2023.
It's important to note that in January 2024, Bread Financial revised its calculation of average credit card and other loans, which impacted the year-over-year change in average credit card and other loans and net loss rate for the periods presented.
Additionally, it was communicated that the net principal losses and net loss rate for July 2023 were impacted by the transition of the company's credit card processing services in June 2022.
Bread Financial, headquartered in Columbus, Ohio, offers a range of financial solutions including payment, lending, and saving products. The company is committed to delivering growth for its partners through a comprehensive suite of payment solutions, and also offers direct-to-consumer products such as credit cards and savings products.
This update provides insight into Bread Financial's performance in July 2024, highlighting changes in key metrics compared to the same period in 2023. Following these announcements, the company's shares moved 2.6%, and are now trading at a price of $52.41. Check out the company's full 8-K submission here.
