Navient Corporation recently completed the sale of its equity interests in Xtend Healthcare, LLC, comprising Navient's Healthcare Services business in its Business Processing segment, to Coding Solutions Acquisition, Inc. for $369 million. As a result, the unaudited pro forma condensed consolidated balance sheet as of June 30, 2024, shows an increase in cash and cash equivalents to $1.45 billion from $1.088 billion, and a decrease in other assets to $2.575 billion from $2.616 billion.
The pro forma condensed consolidated statement of income for the year ended December 31, 2023, and the six months ended June 30, 2024, demonstrate a decrease in total interest income to $4.419 billion from $4.419 billion and $2 billion from $2 billion, respectively. Total interest expense also decreased to $3.557 billion from $3.557 billion and $1.718 billion from $1.718 billion for the same periods.
The net income for the year ended December 31, 2023, decreased to $217 million from $228 million, and for the six months ended June 30, 2024, it decreased to $101 million from $109 million.
The adjustments made in the pro forma financial statements reflect the elimination of assets and liabilities of the Healthcare Services business sold, as well as the elimination of revenues, costs, and expenses directly attributable to the business. They do not include certain general corporate and segment overhead costs previously allocated to the Healthcare Services business that will have a continuing effect on Navient post-closing or any potential future cost savings that may be achieved.
The unaudited pro forma condensed consolidated financial statements serve as an illustrative tool and are not necessarily indicative of the results of operations or financial condition that would have been achieved had events reflected been completed as of the dates indicated. Today the company's shares have moved -1.4% to a price of $15.92. Check out the company's full 8-K submission here.
