The financial services firm reported stronger-than-expected earnings and revenue growth driven by loan expansion and lower interest costs.
Bread Financial Holdings posted second-quarter non-GAAP earnings per share of $3.55, exceeding estimates by $0.78. Revenue reached $993 million, up 6.9% year-over-year and $33.08 million above consensus.
The $64 million revenue increase reflected loan growth, pricing adjustments, reduced interest expense, and higher interchange and merchant fees. Prior-year revenue stood at $929 million, with analysts expecting $959.92 million for the quarter.
Shares showed muted reaction in after-hours trading as investors digested the results.