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Grew Originations +21%, Revenue +20%, and Total Assets +13% in First Quarter Compared to Prior Year Exceeded $100 Billion in Lifetime Originations SAN FRANCISCO , April 29, 2025 /PRNewswire/ -- LendingClub Corporation (NYSE: LC ), the parent company of LendingClub Bank, America's leading digital marketplace bank, today announced financial results for the first quarter ended March 31, 2025. "We're off to a great start for 2025, growing total net revenue and originations more than 20% year over year to cross $100 billion in lifetime originations," said Scott Sanborn , LendingClub CEO. "We'll continue to build on that momentum with additional investments in marketing to further originations growth while maintaining strong credit discipline and innovating on member products and experiences.
" First Quarter 2025 Results Highlights: Achieved $2.0 billion in origination volume Improved marketplace loan sales pricing for fifth straight quarter Delivered four years of credit outperformance enabled by proprietary underwriting models informed by billions of cells of data through economic cycles Improved consumer held-for-investment portfolio net charge-off rate to 4.7%, compared to 8.
1% in the prior year Closed first rated Structured Certificates transaction for $100 million with a major insurance company Enhanced popular TopUp feature to enable refinancing of competitor's loans Acquired the intellectual property and select talent behind Cushion, an AI-powered spending intelligence platform Purchased a San Francisco headquarters in April at a fraction of the pre-pandemic cost with potential future upside and no material financial impact Balance Sheet: Total assets of $10.5 billion increased 13% compared to $9.2 billion in the prior year, driven primarily by the success of the Structured Certificates program as well as the purchase of a $1.
3 billion LendingClub-issued loan portfolio in the third quarter of 2024. Deposits of $8.9 billion increased 18% compared to $7.
5 billion in the prior year, driven by the continued success of our savings and CD offerings. Multi-award winning LevelUp Savings account, which launched in the third quarter of 2024, reached $1 .9 billion in balances at quarter end.
87% of total deposits are FDIC-insured. Robust available liquidity of $3.1 billion .
Strong capital position with a consolidated Tier 1 leverage ratio of 11.7% and a CET1 capital ratio of 17.8%.
Book value per common share was $11.95 , compared to $11.40 in the prior year.
Tangible book value per common share was $11.22 , compared to $10.61 in the prior year.
Financial Performance: Loan originations grew 21% to $2.0 billion , compared to $1.6 billion in the prior year, driven by the successful execution of product and marketing initiatives combined with strong marketplace investor demand.
Total net revenue increased 20% to $217.7 million , compared to $180.7 million in the prior year, driven by higher net interest income on a larger balance sheet with lower deposit funding costs and improved marketplace loan sales pricing.
Net Interest Margin increased to 5.97%, compared to 5.75% in the prior year.
Provision for credit losses of $58.1 million , compared to $31.9 million in the prior year, primarily driven by a 136% increase in held-for-investment whole loan retention and additional economic qualitative allowance to reflect macroeconomic uncertainty.
Improved net charge-offs in the held-for-investment at amortized cost loan portfolio to $48.9 million , compared to $80.5 million in the prior year.
Net income of $11.7 million , compared to $12.3 million in the prior year.
Net income for the first quarter of 2025 included the negative impact of $8.1 million on allowance and net fair value adjustments due to macroeconomic uncertainty. Return on Equity (ROE) of 3.
5%, with a Return on Tangible Common Equity (ROTCE) of 3.7%, compared to an ROE of 3.9% in the prior year, with an ROTCE of 4.
2%. Pre-Provision Net Revenue (PPNR) increased 52% to $73 .8 million, compared to $48 .
5 million in the prior year. For a calculation of Pre-Provision Net Revenue, Tangible Book Value Per Common Share, and Return on Tangible Common Equity, refer to the " Reconciliation of GAAP to Non-GAAP Financial Measures " tables at the end of this release. Financial Outlook About LendingClub LendingClub Corporation (NYSE: LC ) is the parent company of LendingClub Bank, National Association, Member FDIC.
LendingClub Bank is the leading digital marketplace bank in the U.S., where members can access a broad range of financial products and services designed to help them pay less when borrowing and earn more when saving.
Based on hundreds of billions of cells of data and over $100 billion in loans, our advanced credit decisioning and machine-learning models are used across the customer lifecycle to expand seamless access to credit for our members, while generating compelling risk-adjusted returns for our loan investors. Since 2007, more than 5 million members have joined the Club to help reach their financial goals. For more information about LendingClub, visit https://www.
lendingclub.com . Conference Call and Webcast Information The LendingClub first quarter 2025 webcast and teleconference is scheduled to begin at 2:00 p.
m. Pacific Time (or 5:00 p.m.
Eastern Time) on Tuesday, April 29, 2025. A live webcast of the call will be available at http://ir.lendingclub.
com under the Filings & Financials menu in Quarterly Results. To access the call, please dial +1 (404) 975-4839, or outside the U.S.
+1 (833) 470-1428, with Access Code 691326, ten minutes prior to 2:00 p.m. Pacific Time (or 5:00 p.
m. Eastern Time). An audio archive of the call will be available at http://ir.
lendingclub.com . An audio replay will also be available 1 hour after the end of the call until May 6, 2025 , by calling +1 (929) 458-6194 or outside the U.
S. +1 (866) 813-9403, with Access Code 161474. LendingClub has used, and intends to use, its investor relations website, X (formerly Twitter) handles (@LendingClub and @LendingClubIR) and Facebook page ( https://www.
facebook.com/LendingClubTeam ) as a means of disclosing material non-public information and to comply with its disclosure obligations under Regulation FD. Contacts For Investors: [email protected] Media Contact: [email protected] Non-GAAP Financial Measures To supplement our financial statements, which are prepared and presented in accordance with GAAP, we use the following non-GAAP financial measures: Pre-Provision Net Revenue (PPNR), Tangible Book Value (TBV) Per Common Share, and Return on Tangible Common Equity (ROTCE).
Our non-GAAP financial measures do have limitations as analytical tools and you should not consider them in isolation or as a substitute for an analysis of our results under GAAP. We believe these non-GAAP financial measures provide management and investors with useful supplemental information about the financial performance of our business, enable comparison of financial results between periods where certain items may vary independent of business performance, and enable comparison of our financial results with other public companies. We believe PPNR is an important measure because it reflects the financial performance of our business operations.
PPNR is a non-GAAP financial measure calculated by subtracting the provision for credit losses and income tax benefit/expense from net income. We believe TBV Per Common Share is an important measure used to evaluate the company's use of equity. TBV Per Common Share is a non-GAAP financial measure representing tangible common equity (common equity reduced by goodwill and customer relationship intangible assets), divided by the ending number of common shares issued and outstanding.
We believe ROTCE is an important measure because it reflects the company's ability to generate income from its core assets. ROTCE is a non-GAAP financial measure calculated by dividing annualized net income by the average tangible common equity for the applicable period. For a reconciliation of such measures to the nearest GAAP measures, please refer to the tables on pages 13 and 14 of this release.
We do not provide a reconciliation of forward-looking Pre-Provision Net Revenue and Return on Tangible Common Equity to the most directly comparable GAAP reported financial measures on a forward-looking basis because we are unable to predict future provision expense and goodwill, respectively, with reasonable certainty without unreasonable effort. Safe Harbor Statement Some of the statements above, including statements regarding anticipated future performance and financial results, are "forward-looking statements." The words "anticipate," "believe," "estimate," "expect," "intend," "may," "outlook," "plan," "predict," "project," "will," "would" and similar expressions may identify forward-looking statements, although not all forward-looking statements contain these identifying words.
Factors that could cause actual results to differ materially from those contemplated by these forward-looking statements include: our ability to continue to attract and retain new and existing borrowers and platform investors; competition; overall economic conditions; the interest rate environment; the regulatory environment; default rates and those factors set forth in the section titled "Risk Factors" in our most recent Annual Report on Form 10-K, as filed with the Securities and Exchange Commission, as well as in our subsequent filings with the Securities and Exchange Commission. We may not actually achieve the plans, intentions or expectations disclosed in forward-looking statements, and you should not place undue reliance on forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in forward-looking statements.
We do not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. ***** SOURCE LendingClub Corporation.
