Bread Financial Holdings reported fourth quarter 2025 earnings of $2.07 per share, significantly surpassing the Zacks Consensus Estimate of $0.40 and more than quadrupling the $0.41 per share posted in Q4 2024. Chief Executive Officer Ralph Andretta highlighted broad-based growth across the company’s private label and co-brand credit portfolios, driving a double-digit increase in net interest income. Management attributed the outperformance to disciplined credit underwriting, improved customer engagement through digital channels, and a 15% year-over-year rise in revenue from pay-over-time products.

As of December 31, 2025, Bread Financial’s end-of-period credit card and other loans totaled $18.805 billion, up modestly from year-end 2024, while average loans for the quarter reached $17.961 billion, down 1% versus the prior year period. Net principal losses for Q4 amounted to $116 million, yielding a net loss rate of 7.4%, flat sequentially. Delinquency metrics showed incremental improvement: 30+ day delinquencies declined to $971 million (5.8% of total principal), compared with $1.034 billion (5.9%) a year earlier, reflecting tighter risk controls and enhanced collections efficiency.

The Board of Directors approved a common stock dividend of $0.23 per share and an $26.35 per share dividend on its 8.625% non-cumulative perpetual preferred stock, Series A, for Q1 2026, payable on March 16, 2026. This marks the company’s 30th consecutive year of dividend distributions on common stock, underscoring management’s commitment to returning capital to shareholders alongside ongoing investments in technology and strategic partnerships.