Bread Financial™ Provides Performance Update for May 2024

Core Insights - Bread Financial Holdings, Inc. reported a net loss rate of 8.8% for the month ended May 31, 2024, compared to 8.4% in the previous year, indicating a slight increase in losses [1][2] - The delinquency rate rose to 5.9% as of May 31, 2024, up from 5.5% a year earlier, reflecting a growing concern over credit quality [1][2] - The company’s end-of-period credit card and other loans decreased to $16,446 million in May 2024 from $16,845 million in May 2023, showing a decline in loan balances [1] Financial Performance - Average credit card and other loans for May 2024 were reported at $17,846 million, a 1% increase year-over-year from $17,666 million in May 2023 [1] - Net principal losses for May 2024 were $133 million, compared to $124 million in May 2023, indicating a rise in losses [1] - The transition of credit card processing services in June 2022 has impacted the net loss rate and delinquency metrics [2] Company Overview - Bread Financial is a tech-forward financial services company that offers personalized payment, lending, and saving solutions [3][7] - The company focuses on digitally enabled choices, providing products such as private label and co-brand credit cards, as well as buy now, pay later options [3] - Headquartered in Columbus, Ohio, Bread Financial employs approximately 7,000 associates and emphasizes sustainable business practices [11]