Summary of SLM (Sallie Mae) 2025 Conference Call Company Overview - **Company**: Sallie Mae (SLM) - **Event**: 2025 Conference held on June 10, 2025 Key Points Company Evolution and Strategy - Sallie Mae has adopted a hybrid growth and capital return strategy, aiming for modest balance sheet growth post-CECL phase, with a target of mid- to high single-digit organic earnings growth and double-digit earnings per share growth over time [4][6] - In 2024, Sallie Mae achieved a 10% year-over-year growth in originations, exceeding initial expectations, and grew the balance sheet by approximately 3% [5][6] - The company exited a low-yielding legacy portfolio, resulting in a more significant growth in the PSL balance, estimated at around 5% [6] Federal Student Loan Reform - Anticipation of federal student loan reform is high, with expectations for meaningful changes that could impact the private lending market [9][30] - Sallie Mae believes that the current federal program allows excessive borrowing without proper underwriting, leading to unsustainable debt levels for students [9] - The company is preparing for potential reforms and is optimistic about the opportunities they may present [9][30] Competitive Landscape - Sallie Mae maintains a competitive edge with over 2,000 college relationships across the U.S., which is expected to continue benefiting both undergraduate and graduate loan segments [12] - The graduate loan market is currently limited, primarily due to competition from the federal PLUS program, which offers unlimited borrowing without underwriting [16][22] Credit Quality and Underwriting - The credit profile of graduate borrowers is generally stronger than that of undergraduates, as they typically have established credit histories [12][18] - Sallie Mae follows a risk-based pricing methodology and expects to maintain a low annualized net charge-off rate in the high ones to low 2% range [19][37] - Recent changes in underwriting practices are expected to yield benefits over time, particularly as newer cohorts enter repayment [45][46] Capital Markets and Loan Sales - Sallie Mae executed a $2 billion loan sale earlier in the year, achieving strong execution with nearly 10% returns [21] - The company plans to continue its loan sale strategy, which has been critical for managing balance sheet size and capital [22][25] - Market conditions have changed, leading to increased uncertainty, but there remains broad demand for the asset class [25] Strategic Priorities - The company has outlined four key strategic priorities: executing the core strategy, preparing for federal reform, exploring alternative funding sources, and optimizing education services to create additional revenue streams [30][52] - Sallie Mae is committed to meeting its guidance for the year and exceeding its five-year framework, with a focus on operational readiness for potential reforms [51][52] Market Trends and Future Outlook - The company is observing trends in the education market, including a shift towards nontraditional education programs, which are being evaluated for their return on investment [48][49] - Sallie Mae is optimistic about the potential for growth in the graduate loan market and the overall education financing landscape as reforms are anticipated [30][49] Additional Insights - The company has a low exposure to international students, as its programs require borrowers or cosigners to be U.S. citizens or legal residents [20] - The management is focused on creating a more resilient capital structure that is less dependent on market conditions, which could enhance earnings stability [31][52]

Solis Announces Quarterly Activities Report for the Period Ended 28 February 2025 April 29, 2025 8:43 PM EDT | Source: Solis Minerals Ltd. West Leederville, Western Australia--(Newsfile Corp. - April 29, 2025) - Solis Minerals Limited (ASX: SLM) (TSXV: SLMN) ("Solis Minerals" or the "Company") is pleased to present its Quarterly Report for the three months ending 28 February 2025 ("the Quarter"). HIGHLIGHTS The Company is pleased to provide its Quarterly Activities Report for the three months ending 28 Febr ...

Sallie Mae (SLM) reported first-quarter 2025 earnings per share of $1.40, which outpaced the Zacks Consensus Estimate of $1.19. The bottom line increased from the prior-year quarter’s $1.27.The quarterly results were primarily aided by a rise in non-interest income, robust loan originations and lower non-interest expenses. However, higher provisions for credit losses and a fall in net interest income (NII) negatively impacted SLM’s results.The company’s GAAP net income was $305 million compared with $290 mi ...

SLM (SLM) Q1 2025 Earnings Call April 25, 2025 01:16 AM ET Company Participants Kate deLacy - Senior Director, Head of Investor RelationsJonathan Witter - CEO & DirectorPete Graham - EVP & CFOJeffrey Adelson - Executive DirectorNathaniel Richam-Odoi - Equity Research AssociateJohn Hecht - Managing DirectorMark Devries - Director Conference Call Participants Terry Ma - Senior Equity Research AnalystMoshe Orenbuch - Managing Director & Senior AnalystMichael Kaye - Equity Research AnalystRichard Shane - Stock ...

Financial Data and Key Metrics Changes - The company reported diluted earnings per share of $0.72, down from $0.96 in the linked quarter, with a $0.14 per share after-tax differential in the mortgage servicing rights fair value adjustment [30] - Net interest income remained unchanged at $38.5 million, while the net interest margin increased to 3.81% from 3.75% in the linked quarter, primarily due to a decline in the cost of deposits [31][32] - Deposits increased by $171.6 million to $3.79 billion at the end of the first quarter, with the cost of deposits decreasing to 219 basis points from 229 basis points in the linked quarter [33] Business Line Data and Key Metrics Changes - Loans held for investment increased by $20.8 million or 2.7% annualized, with growth in commercial owner-occupied real estate loans and commercial goods and services loans [18] - The indirect auto loan portfolio grew to $243 million, with a decline in thirty-plus days past due loans to 41 basis points from 47 basis points in the fourth quarter [24][26] - Non-interest income decreased to $10.6 million from $13.3 million in the linked quarter, primarily due to a decrease in mortgage banking revenues [27][28] Market Data and Key Metrics Changes - Loans in major metropolitan markets decreased by $818 million, with expectations of elevated early payments on loans in the first half of the year [21][22] - The company reported strong loan growth in the Permian market, marking the strongest growth since entering the market in 2019 [23] - The company anticipates loan growth to trend towards the lower end of the low to mid-single-digit range for the full year 2025 due to economic uncertainties [26] Company Strategy and Development Direction - The company plans to selectively add to its team across major metropolitan and rural markets to position for continued organic growth [12] - A $15 million stock repurchase program was authorized, with $8.3 million spent to repurchase shares in the first quarter, indicating a belief that shares are trading below intrinsic value [14][15] - The focus remains on organic growth, with a cautious approach to M&A activity due to current market uncertainties [16] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's position to perform well through economic downturns, citing strong credit quality and proactive management [10][90] - The company believes it has the liquidity, capital, and team to capitalize on opportunities during economic difficulties [11] - Management acknowledged the uncertainty in the economic environment but remains focused on expanding the lending platform and maintaining strong customer relationships [17][90] Other Important Information - The allowance for credit losses to total loans held for investment ratio was 1.40%, with a recorded provision for credit losses of $420,000 [35] - Non-interest expense increased to $33 million from $29.9 million in the linked quarter, with expectations that this level will be a good run rate for the remainder of the year [38] Q&A Session Summary Question: On deposit cost and potential for further reduction - Management indicated that while the bulk of the work on deposit costs has been done, there is still room for further reductions in some accounts [46][48] Question: Loan yields and margin outlook - Management noted that while loan yields have been sticky, there may be some room for margin expansion, but it will depend on overall liquidity and loan production [50][56] Question: Elevated loan payoffs and future expectations - Management reported that payoffs were approximately $1.01 billion higher in the first quarter compared to the previous quarter, but they remain confident in overcoming these payoffs with healthy production [60][62] Question: Current hiring landscape and mortgage hiring outlook - Management stated they are actively hiring but are selective, focusing on finding the right talent rather than increasing headcount indiscriminately [71][74] Question: Loan portfolio concentration in energy and growth - Management indicated that around 4% of the loan portfolio is concentrated in energy, primarily driven by the energy service business [78] Question: Outlook for fee income excluding mortgage - Management expressed that fee income has been growing year over year, with expectations for continued growth in most areas, although mortgage remains a significant component [80][82]

SLM (SLM) Q1 2025 Earnings Call April 24, 2025 05:30 PM ET Company Participants Kate deLacy - Senior Director, Head of Investor RelationsJonathan Witter - CEO & DirectorPete Graham - EVP & CFOJeffrey Adelson - Executive DirectorNathaniel Richam-Odoi - Equity Research AssociateJohn Hecht - Managing DirectorMark Devries - Director Conference Call Participants Terry Ma - Senior Equity Research AnalystMoshe Orenbuch - Managing Director & Senior AnalystMichael Kaye - Equity Research AnalystRichard Shane - Stock ...

Earnings Presentation 1 st Quarter 2025 1 Confidential and proprietary information. © 2025 Sallie Mae Bank. All rights reserved. CAUTIONARY NOTE AND DISCLAIMER REGARDING FORWARD-LOOKING STATEMENTS The following information is current as of April 24, 2025 (unless otherwise noted) and should be read in connection with the press release of SLM Corporation announcing its financial results for the quarter ended March 31, 2025, furnished to the Securities and Exchange Commission ("SEC") on April 24, 2025, and sub ...

Financial Performance - Sallie Mae reported GAAP diluted earnings per common share of $1.40 for Q1 2025, a 10.2% increase from $1.27 in Q1 2024[13]. - Net income for the three months ended March 31, 2025, was $304,540 thousand, an increase of 5.1% compared to $289,931 thousand for the same period in 2024[24]. - Basic earnings per common share increased to $1.43 for the first quarter of 2025, compared to $1.29 for the same period in 2024, representing an increase of 10.8%[24]. - The company expects full-year 2025 GAAP diluted earnings per common share to be in the range of $3.00 to $3.10[9]. Loan Performance - Private education loan originations grew by 7% year-over-year, totaling $655 million to $675 million for the full year 2025 guidance[9]. - The average loans outstanding in the private education loan portfolio increased to $22.9 billion, up 7% from Q1 2024[11]. - Delinquencies as a percentage of loans in repayment increased to 3.58% in Q1 2025, compared to 3.41% in Q1 2024[11]. - The total net charge-offs as a percentage of average loans in repayment decreased to 1.88% in Q1 2025, down from 2.14% in Q1 2024[11]. Income and Expenses - Total interest income for the first quarter of 2025 was $656,090 thousand, slightly down from $663,558 thousand in the same quarter of 2024, a decrease of 1.1%[24]. - Net interest income after provisions for credit losses was $351,684 thousand, down from $374,975 thousand, reflecting a decrease of 6.2% year-over-year[24]. - Total non-interest income rose to $206,044 thousand for the three months ended March 31, 2025, up from $174,158 thousand, an increase of 18.3% year-over-year[24]. - Non-interest expenses for Q1 2025 were reported at $155 million, an increase from $162 million in Q1 2024[13]. Provisions and Credit Losses - Provisions for credit losses increased to $23 million in Q1 2025, compared to $12 million in Q1 2024[11]. - The company reported provisions for credit losses of $23,286 thousand for the first quarter of 2025, compared to $12,041 thousand in the same period of 2024, indicating an increase of 93.5%[24]. Shareholder Returns - The company repurchased 1.0 million shares for $31 million in Q1 2025, with $372 million capacity remaining under the 2024 Share Repurchase Program[7][14]. - Declared dividends per common share increased to $0.13 for the first quarter of 2025, compared to $0.11 in the same period of 2024, reflecting an increase of 18.2%[24]. Balance Sheet - Total assets decreased to $28,899,184 thousand as of March 31, 2025, down from $30,072,110 thousand at December 31, 2024, representing a decline of approximately 3.9%[23]. - Total liabilities decreased to $26,498,328 thousand as of March 31, 2025, from $27,912,190 thousand at December 31, 2024, a reduction of approximately 5.1%[23]. - Deposits decreased to $20,073,168 thousand as of March 31, 2025, down from $21,068,568 thousand at December 31, 2024, a decline of approximately 4.7%[23]. Interest Margin - The net interest margin for Q1 2025 was reported at 5.27%, a decrease of 22 basis points from Q1 2024[13].

Group 1 - The Secretary of Education has been ordered to begin closing the Department of Education, a move that is controversial and opposed by approximately 60% of voters [1] - The article reflects on the implications of this executive order on the education sector and potential investment opportunities [1] Group 2 - There is a potential initiation of a long position in shares of SLM within the next 72 hours, indicating a strategic investment interest [2]

Loan Portfolio and Default Rates - Approximately 96% of the total loan portfolio in repayment is in good standing, with an annual default rate of fewer than 3%[47] - Approximately 18% or $1.31 billion of the 2024 Private Education Loan originations were for students attending for-profit schools[53] Private Education Loan Originations - The Private Education Loan originations for AY 2023-2024 are estimated at $11.5 billion, reflecting a $0.5 billion increase from AY 2022-2023[60] Higher Education Spending - Total spending on higher education is estimated at $506 billion for AY 2023-2024, up from $465 billion in AY 2019-2020[62] - Average published tuition and fees at four-year public institutions increased at a compound annual growth rate of 2.4% from AY 2020-2021 through 2024-2025[57] Company Acquisitions - The company acquired assets from Epic Research Education Services, LLC (Nitro) in 2022, enhancing digital marketing capabilities and reducing customer acquisition costs[48] - In 2023, the company completed the acquisition of key assets from Scholly, Inc., which operates a scholarship publishing and servicing platform[50] Customer Service Improvements - The company has implemented several improvements in customer service, including an integrated platform for self-service and an online chat function[51] Competition - The company competes with large banks and specialty finance companies based on products, originations capability, price, and customer service[54] Shareholder Returns - The Bank declared dividends of $570 million, $550 million, and $700 million for the years ended December 31, 2024, 2023, and 2022, respectively, primarily used to fund share repurchase programs and stock dividends[80] - The Company repurchased 11.6 million and 22.3 million shares during the years ended December 31, 2024 and 2023, respectively, with $402 million of capacity remaining under the 2024 Share Repurchase Program as of December 31, 2024[82] - The Company initiated a new policy to pay a regular quarterly cash dividend on its common stock starting in the first quarter of 2019, alongside its existing preferred stock dividends[78] - The Company has authorized a share repurchase program of up to $650 million of common stock as of January 2024, allowing flexibility in share purchases based on market conditions[81] Regulatory and Capital Requirements - The Company is subject to various regulatory capital requirements, and failure to meet minimum capital requirements could adversely affect its business and financial condition[83] - The Dodd-Frank risk retention rules require the Company to retain at least five percent of the credit risk of the assets being securitized, which it has complied with since 2016[96] Derivative Contracts and Interest Rate Risk - As of December 31, 2024, the Company had $921 million in total notional derivative contracts, with $850 million cleared on the CME and $71 million cleared on the LCH[95] - The company has a low sensitivity to interest rate changes, with an Earnings at Risk (EAR) analysis indicating a potential decrease of 8.1% under a +300 basis points shock scenario for 2024[431] - The company’s interest rate risk management program aims to achieve sustainable growth in net interest income over the long term[427] - The company’s asset liability management strategy includes using interest rate swaps and other derivatives to match assets with debt[435] - The analysis of interest rate sensitivity does not account for potential changes in credit quality or balance sheet mix, which could affect actual results[432] Funding and Financial Position - As of December 31, 2024, the company has total earning assets of $30,072.1 million and total funding of $30,072.1 million, resulting in a funding gap of $0[434] - The company’s funding includes $1.9 billion and $0.4 billion of non-interest-bearing liabilities, indicating a low overall repricing risk[434] Workforce and Community Engagement - As of December 31, 2024, the Company had approximately 1,710 team members, all located in the United States, emphasizing the importance of an engaged workforce[101] - Team members donated approximately 4,700 hours through community engagement programs in 2024[104] - The company provides a comprehensive benefits package, including contributions to 401(k) and educational assistance for team members and their dependents[102] - The company has made significant investments in learning and talent development to support team members' success[103] Community Reinvestment Act (CRA) Rating - The Company has received a CRA rating of Outstanding, indicating strong performance in meeting the credit needs of its local community[90]