Bread Financial Holdings, Inc. (NYSE: BFH) has released its performance update for February 2025, highlighting key metrics compared to the same period in the previous year.
The end-of-period credit card and other loans decreased from $18,391 million in February 2024 to $17,949 million in February 2025, representing a 2% reduction year-over-year. The average credit card and other loans also saw a decrease from $18,541 million to $18,141 million, reflecting a 6% decline over the same period.
The net principal losses decreased from $131 million in February 2024 to $120 million in February 2025, resulting in a lower net loss rate of 8.6% in 2025 compared to 8.9% in 2024.
In terms of delinquency rates, the 30 days + delinquencies on principal decreased from $1,130 million in February 2024 to $1,027 million in February 2025. Additionally, the delinquency rate decreased from 6.7% in February 2024 to 6.2% in February 2025.
These figures indicate an overall improvement in the company's performance in managing credit card and other loans, as evidenced by the reduction in net loss rate and delinquency rate, as well as the decrease in net principal losses.
Bread Financial is a tech-forward financial services company that provides simple, personalized payment, lending, and saving solutions to millions of U.S. consumers. The company's payment solutions, including general purpose credit cards and savings products, aim to empower customers and their pursuits for a better life. Additionally, Bread Financial collaborates with recognized brands in travel & entertainment, health & beauty, jewelry, and specialty apparel through its private label and co-brand credit cards and pay-over-time products. Following these announcements, the company's shares moved -4.0%, and are now trading at a price of $47.26. For more information, read the company's full 8-K submission here.
