Bread Financial Holdings reported fourth-quarter adjusted earnings of $2.07 per share, vastly outperforming the Zacks Consensus Estimate of $0.40 and more than quintupling the $0.41 per-share result recorded a year earlier. This surge was driven by a combination of lower funding costs and improved credit performance, contributing to a nearly 250% year-over-year increase in net income. Management highlighted robust originations in both private-label and co-brand card portfolios, setting the stage for sustained margin expansion into 2026. A conference call hosted by CEO Ralph Andretta and CFO Perry Beberman will discuss these results in greater detail, with a replay to be made available on the company’s investor relations site.

In its December 2025 performance update, Bread Financial reported end-of-period credit card and other loans of $18.805 billion, flat with the prior quarter and up 2% sequentially. Average loan balances stood at $18.474 billion for the month, a 1% decline year-over-year. Net principal losses totaled $116 million in December, translating into a net loss rate of 7.4%, unchanged from the third quarter. Delinquencies over 30 days amounted to $971 million at month end, yielding a delinquency rate of 5.8%, down slightly from 5.9% a year ago. Management noted that stability in credit metrics reflects disciplined underwriting and the absence of significant economic shocks in key consumer segments.

Bread Financial’s Board of Directors approved a quarterly dividend of $0.23 per share on common stock, payable on March 16, 2026, to shareholders of record as of March 5. The board also declared a dividend of $26.35 per share on its 8.625% Non-Cumulative Perpetual Preferred Stock, Series A, with the same record and payment dates. This marks the tenth consecutive quarterly dividend on common shares and underscores the company’s commitment to returning capital amid strong free cash flow generation.