SLM Q2 2020 Earnings Report
Key Takeaways
Sallie Mae reported second-quarter 2020 financial results, with a GAAP loss per share of $0.23. This loss was primarily driven by a $243 million increase to the provision for credit losses, which was allocated for the estimated future economic impacts of COVID-19. The company originated $497 million in private education loans during the quarter, and the private education loan portfolio totaled $19.8 billion at the end of the quarter.
Net interest income decreased by 12% to $349 million.
Private education loan originations decreased by 7% to $497 million.
Ending private education loans outstanding, net, decreased by 7% to $19.8 billion.
Private education loan provision for loan losses increased from $71 million to $229 million.
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SLM Revenue by Segment
Forward Guidance
Due to economic uncertainties resulting from COVID-19, the company withdrew guidance for 2020 earlier in 2020.