Third Quarter 2023 Results Disclaimer Some of the statements in this presentation, including statements regarding our competitive advantages, macroeconomic and business outlook, participation in the SLCLC program, loan and financial performance, 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 sta ...

[PART I. FINANCIAL INFORMATION](index=7&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Financial Statements](index=7&type=section&id=Item%201.%20Financial%20Statements) The company's financial statements for the period ended June 30, 2023, show a significant decrease in net income to $10.1 million in Q2 2023 from $182.1 million in Q2 2022, primarily due to a large one-time tax benefit in the prior year and lower marketplace revenue in the current period. Total assets grew to $8.34 billion from $7.98 billion at year-end 2022, driven by an increase in loans held for investment, while total deposits also increased to $6.84 billion Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2023 | December 31, 2022 | | :--- | :--- | :--- | | Total cash and cash equivalents | $1,203,924 | $1,057,030 | | Loans and leases held for investment, net | $5,178,186 | $4,705,302 | | **Total assets** | **$8,342,506** | **$7,979,747** | | Total deposits | $6,843,535 | $6,392,553 | | **Total liabilities** | **$7,136,983** | **$6,815,453** | | **Total equity** | **$1,205,523** | **$1,164,294** | Condensed Consolidated Income Statement Highlights (in thousands, except EPS) | Metric | Three Months Ended June 30, 2023 | Three Months Ended June 30, 2022 | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | :--- | :--- | | Total net revenue | $232,470 | $330,058 | $478,164 | $619,595 | | Provision for credit losses | $66,595 | $70,566 | $137,179 | $123,075 | | **Net income** | **$10,110** | **$182,060** | **$23,776** | **$222,896** | | **Diluted EPS** | **$0.09** | **$1.73** | **$0.22** | **$2.13** | Cash Flow Summary (in thousands) | Cash Flow Activity | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $23,135 | $231,955 | | Net cash used for investing activities | ($257,898) | ($982,127) | | Net cash provided by financing activities | $348,995 | $1,088,818 | | **Net Increase in Cash** | **$114,232** | **$338,646** | [Notes to Condensed Consolidated Financial Statements](index=13&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes detail the company's accounting policies, revenue composition, loan portfolio quality, fair value measurements, and regulatory capital. Key highlights include a significant drop in marketplace revenue due to lower origination fees and adverse fair value adjustments. The loan portfolio grew, with the allowance for credit losses at 6.4% of loans held for investment. The company remains well-capitalized, with a CET1 ratio of 16.1%, well above regulatory requirements Marketplace Revenue Breakdown (in thousands) | Component | Three Months Ended June 30, 2023 | Three Months Ended June 30, 2022 | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | :--- | :--- | | Origination fees | $70,989 | $149,252 | $141,532 | $271,345 | | Servicing fees | $22,015 | $18,166 | $48,395 | $36,680 | | Gain on sales of loans | $13,221 | $29,319 | $27,346 | $53,429 | | Net fair value adjustments | ($23,442) | $9,647 | ($38,856) | $24,896 | | **Total marketplace revenue** | **$82,783** | **$206,384** | **$178,417** | **$386,350** | - As of June 30, 2023, the allowance for loan and lease losses (ALLL) was **$355.2 million**, representing **6.4%** of the total **$5.53 billion** in loans and leases held for investment. This is slightly down from **6.5%** at year-end 2022[70](index=70&type=chunk)[71](index=71&type=chunk) - Total nonaccrual loans and leases increased to **$51.4 million** (**0.9%** of total HFI loans) as of June 30, 2023, up from **$34.8 million** (**0.7%** of total HFI loans) at the end of 2022[95](index=95&type=chunk)[96](index=96&type=chunk) Regulatory Capital Ratios (LendingClub Corporation) | Ratio | June 30, 2023 | Required Minimum + CCB | | :--- | :--- | :--- | | CET1 capital ratio | 16.1% | 7.0% | | Tier 1 capital ratio | 16.1% | 8.5% | | Total capital ratio | 17.4% | 10.5% | | Tier 1 leverage ratio | 12.4% | 4.0% | - During the first half of 2023, one marketplace bank investor accounted for **14%** of the company's total net revenue, indicating a degree of revenue concentration[207](index=207&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=52&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the challenging Q2 2023 results to the adverse interest rate environment and economic volatility, which has dampened marketplace loan investor demand and pricing. Total net revenue decreased 30% year-over-year to $232.5 million, driven by a 60% drop in marketplace revenue. This was partially offset by a 26% increase in net interest income from a larger portfolio of loans held for investment. The company has responded by managing expenses prudently, evidenced by a 28% year-over-year decrease in non-interest expenses, and maintains strong liquidity and capital levels - The challenging economic environment, particularly the interest rate climate and economic volatility, is adversely affecting the business by reducing investor demand and pricing for marketplace loans[223](index=223&type=chunk) Key Performance Metrics - Q2 2023 vs. Q2 2022 | Metric | Q2 2023 | Q2 2022 | Change | | :--- | :--- | :--- | :--- | | Loan Originations | $2.0B | $3.8B | (48)% | | Total Net Revenue | $232.5M | $330.1M | (30)% | | Marketplace Revenue | $82.8M | $206.4M | (60)% | | Net Interest Income | $146.7M | $116.2M | +26% | | Net Income | $10.1M | $182.1M | (94)% | - Net interest margin decreased to **7.1%** in Q2 2023 from **8.5%** in Q2 2022, primarily due to higher interest rates paid on deposits. Management expects this pressure on net interest margin to continue through 2023[224](index=224&type=chunk)[272](index=272&type=chunk) - The company implemented a cost reduction and reorganization plan in January 2023, which contributed to a **28%** year-over-year decrease in total non-interest expense, driven by lower headcount and reduced marketing spend[225](index=225&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=84&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's primary market risk is interest rate risk. A sensitivity analysis indicates that a hypothetical 100 basis point increase in interest rates would decrease projected net interest income by 4.4% over the next twelve months, while a 100 basis point decrease would increase it by 2.7%. This reflects the liability-sensitive nature of the balance sheet, where deposit costs reprice faster than the fixed-rate loan portfolio Net Interest Income Sensitivity to Interest Rate Changes | Instantaneous Change in Interest Rates | Impact on Projected 12-Month NII (as of June 30, 2023) | | :--- | :--- | | + 200 basis points | (9.1)% | | + 100 basis points | (4.4)% | | – 100 basis points | 2.7% | | – 200 basis points | 5.1% | - The company's net interest income is projected to decrease in a rising rate environment because higher rates on interest-bearing deposits are only partially offset by higher rates on new loans and investments. The fixed-rate nature of the majority of the existing loan portfolio limits immediate asset repricing[345](index=345&type=chunk) [Controls and Procedures](index=84&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, evaluated the company's disclosure controls and procedures as of June 30, 2023. They concluded that these controls were effective in providing reasonable assurance that information required to be disclosed is recorded, processed, and reported in a timely manner. No material changes to internal control over financial reporting occurred during the second quarter of 2023 - The CEO and CFO concluded that as of June 30, 2023, the company's disclosure controls and procedures were effective at a reasonable assurance level[354](index=354&type=chunk) - There were no changes in the company's internal control over financial reporting during the second quarter of 2023 that have materially affected, or are reasonably likely to materially affect, these controls[355](index=355&type=chunk) [PART II. OTHER INFORMATION](index=84&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Legal Proceedings](index=84&type=section&id=Item%201.%20Legal%20Proceedings) The company is subject to various claims, lawsuits, and regulatory proceedings arising in the ordinary course of business. For a detailed discussion, the report refers to Note 17 of the financial statements - For a comprehensive discussion of legal proceedings, the company refers to Note 17 in Part I, Item 1 of the financial statements[356](index=356&type=chunk) [Risk Factors](index=84&type=section&id=Item%201A.%20Risk%20Factors) The company highlights the significant risk posed by the current economic environment, including elevated inflation, rising interest rates, and a potential recession. These factors could increase borrower defaults, reduce investor demand for loans, and compress net interest margins. A specific new risk identified is the resumption of Federal student loan payments, which is expected to begin by September 2023 and could impact the repayment ability of approximately 20% of its borrowers by outstanding principal balance - The current economic environment, characterized by high inflation and rising interest rates, poses a significant risk to the business by potentially increasing borrower defaults, reducing platform investor demand, and increasing funding costs[357](index=357&type=chunk)[360](index=360&type=chunk) - The resumption of Federal student loan payments, expected by September 2023, is a key risk. The company estimates that borrowers with federal student loans account for approximately **20%** of the current outstanding unpaid principal balance of its loans[361](index=361&type=chunk)[362](index=362&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=86&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities during the period - None[364](index=364&type=chunk) [Other Information](index=86&type=section&id=Item%205.%20Other%20Information) During the second quarter of 2023, none of the company's directors or executive officers adopted or terminated a Rule 10b5-1 trading plan or any non-Rule 10b5-1 trading arrangement - No directors or executive officers adopted or terminated Rule 10b5-1 trading plans during the second quarter of 2023[365](index=365&type=chunk) [Exhibits](index=87&type=section&id=Item%206.%20Exhibits) This section provides an index of all exhibits filed with or incorporated by reference into the Form 10-Q report, including certifications by the CEO and CFO and XBRL data files - The Exhibit Index lists documents filed as part of the report, including the 2014 Equity Incentive Plan (as amended), CEO/CFO certifications under Sarbanes-Oxley Sections 302 and 906, and XBRL interactive data files[368](index=368&type=chunk)

LendingClub Corporation (NYSE:LC) Q2 2023 Earnings Conference Call July 26, 2023 5:00 PM ET Company Participants Artem Nalivayko - Vice President of Finance Scott Sanborn - Chief Executive Officer Drew LaBenne - Chief Financial Officer Conference Call Participants Bill Ryan - Seaport Research Partners Reggie Smith - JPMorgan Alexander Villalobos - Jefferies Giuliano Bologna - Compass Point Tim Switzer - KBW Operator Hello, everyone. Thank you for attending today's LendingClub's Second Quarter Earnings Confe ...

Second Quarter 2023 Results Disclaimer Some of the statements in this presentation, including statements regarding our competitive advantages, macroeconomic and business outlook, loan and financial performance, 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 w ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 Commission File Number: 001-36771 | --- | --- | |-------------------------------------------------------------------------------------------|--------------------------------------| | LendingClub Corporation (Exact name of registrant as specified in its charter) \nDelaware | 51-0605731 | | (Stat ...

LendingClub Corporation (NYSE:LC) Q1 2023 Results Conference Call April 26, 2023 5:00 PM ET Company Participants Artem Nalivayko - VP, Finance Scott Sanborn - CEO Drew LaBenne - CFO Conference Call Participants Bill Ryan - Seaport Research Partners David Chiaverini - Wedbush Securities Reggie Smith - JP Morgan Giuliano Bologna - Compass Point Tim Switzer - KBW Operator Good afternoon, everyone. Thank you for attending today’s LendingClub’s First Quarter 2023 Earnings Call. My name is Sierra and I will be yo ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 Commission File Number: 001-36771 LendingClub Corporation (Exact name of registrant as specified in its charter) Delaware 51-0605731 (State or other jurisdiction of incorporation or organization) (I.R.S ...

Fourth Quarter and Full Year 2022 Results 2022 Results & Financial Metrics Disclaimer Some of the statements below, including statements regarding our competitive advantages, macroeconomic outlook and futurebusiness, loan and financial performance, 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 ...

LendingClub Corporation (NYSE:LC) Q4 2022 Earnings Conference Call January 25, 2023 5:00 PM ET Company Participants Sameer Gulati - Chief Operations Officer Scott Sanborn - Chief Executive Officer Drew LaBenne - Chief Financial Officer Conference Call Participants Bill Ryan - Seaport Research David Chiaverini - Wedbush Securities Giuliano Bologna - Compass Point John Rowan - Janney Montgomery Michael Perito - KBW Operator Good afternoon. Thank you for attending today's LendingClub Fourth Quarter 2022 Earnin ...