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Sep 30, 2022
Synchrony Q3 2022 Earnings Report
Synchrony's Q3 2022 results were driven by its differentiated business model and understanding of customer needs, delivering strong purchase volume and receivables growth and returning $1.1 billion of capital to shareholders.
Key Takeaways
Synchrony Financial reported Q3 2022 net earnings of $703 million, or $1.47 per diluted share. The results were driven by a differentiated business model and a deep understanding of customer and partner needs. The company saw a 6% increase in purchase volume and a 13% increase in loan receivables.
Purchase volume increased 6% to $44.6 billion, or 16% on a Core basis.
Loan receivables of $86.0 billion increased 13%, or 14% on a Core basis.
Net interest margin increased 7 basis points to 15.52%.
Returned $1.1 Billion of Capital to Shareholders, including $950 Million of Share Repurchases
Synchrony
Synchrony
Forward Guidance
Synchrony delivered strong financial results for the third quarter 2022, highlighted by healthy trends across the key drivers of their business. Purchase volume growth continued to reflect robust and broad-based demand across the many industries and spend categories that they serve. This momentum, combined with some payment rate moderation, contributed to accelerated loan growth. Credit performance continues to reflect normalization across their portfolio, but still remains well below their targeted underwriting level.
Positive Outlook
- Purchase volume growth continued to reflect robust and broad-based demand across the many industries and spend categories that they serve.
- Momentum, combined with some payment rate moderation, contributed to accelerated loan growth.
- Credit performance continues to reflect normalization across our portfolio
- Credit performance remains well below our targeted underwriting level
- Synchrony’s differentiated business model is performing as designed and delivering sustainable growth and consistent risk-adjusted returns for our many stakeholders.