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Jun 30
LendingClub Q2 2025 Earnings Report
LendingClub reported strong second quarter 2025 results, with significant growth in originations, revenue, and net income, alongside an extended loan funding partnership and a new product launch.
Key Takeaways
LendingClub delivered an exceptional second quarter in 2025, achieving substantial year-over-year growth across key financial metrics. Loan originations surged by 32%, total net revenue increased by 33%, and net income saw a remarkable 156% rise. This strong performance was driven by successful product and marketing initiatives, credit outperformance, and efficient expense management, resulting in double-digit returns on equity and tangible common equity.
Loan originations reached $2.4 billion, marking a 32% increase year-over-year, attributed to effective product and marketing strategies.
Total net revenue grew by 33% to $248.4 million, driven by higher marketplace sales, improved loan pricing, and increased net interest income.
Net income significantly increased by 156% to $38.2 million, demonstrating strong profitability and expense discipline.
The company maintained a robust capital position with a CET1 capital ratio of 17.5% and a Tier 1 leverage ratio of 12.2%, alongside an extended $3.4 billion loan funding partnership with Blue Owl.
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LendingClub
LendingClub Revenue by Segment
Revenue by Segment
Marketplace Revenue
CapyFin.comNet Interest Income Revenue
CapyFin.com Forward Guidance
For the third quarter of 2025, LendingClub anticipates continued strong performance with projected loan originations between $2.5 billion and $2.6 billion, pre-provision net revenue of $90 million to $100 million, and a return on tangible common equity of 10% to 11.5%.
Positive Outlook
- Projected increase in loan originations to $2.5B - $2.6B for Q3 2025, indicating continued growth in lending activity.
- Expected Pre-Provision Net Revenue (PPNR) of $90M - $100M for Q3 2025, suggesting sustained operational profitability.
- Anticipated Return on Tangible Common Equity (ROTCE) of 10% - 11.5% for Q3 2025, reflecting efficient use of capital.
- The extension of the loan funding partnership with Blue Owl for up to $3.4 billion over two years provides stable and significant funding.
- Launch of LevelUp Checking, a new product offering cash back for on-time loan payments, is expected to enhance customer loyalty and attract new members.
Challenges Ahead
- The report does not specify any explicit negative forward guidance or risks for the upcoming quarter.
- No specific challenges or headwinds were highlighted in the forward-looking statements.
- The guidance provided is generally positive, without detailing potential downside scenarios.
- The report does not mention any anticipated increases in operating costs or expenses that could impact future profitability.
- There is no discussion of potential regulatory changes or market shifts that could negatively affect future performance.