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Bread Financial Holdings Inc. (BFH-1.26%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.
The filing includes financial statements showing a decrease in total net interest and non-interest income to $3.8 billion from $4.3 billion in the previous year. The decrease is attributed to lower interest and fees on loans and a decrease in non-interest income.
Provision for credit losses increased to $1.4 billion from $1.2 billion in the previous year, driven by a lower reserve release compared to the prior year.
Total non-interest expenses decreased to $2.1 billion from $2.1 billion in the previous year. Adjusted total non-interest expenses, excluding the impact from repurchased Convertible Notes, decreased by 7%.
Net income for the year was $277 million, down from $718 million in the previous year. Adjusted net income, excluding the impact from repurchased Convertible Notes, was $381 million.
The company reported a net interest margin of 18.3%, down from 19.5% in the previous year, primarily due to decreased late fees and higher funding costs.
Bread Financial Holdings Inc. continues to focus on its liquidity and capital resources, with significant efforts to manage its funding and capital structure.
The company executed several financing-related transactions throughout 2024, including repurchasing a portion of its Convertible Notes and issuing additional Senior Notes.
The filing also details the company's strategic initiatives, including ongoing operational excellence programs and its response to regulatory changes, such as the CFPB's final rule on credit card late fees.
Bread Financial Holdings Inc. maintains a strong focus on risk management, with a comprehensive Enterprise Risk Management framework and various risk management committees overseeing different risk categories.
The company acknowledges its dependence on positive operating results and potential financing to meet future obligations, with a robust liquidity risk management framework in place.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Bread Financial Holdings Inc. annual 10-K report dated February 14, 2025. To report an error, please email earnings@qz.com.