Grew Originations +32%, Revenue +33%, and Net Income +156% Compared to Prior Year
Revenue growth combined with expense discipline delivers 11% ROE and 12% ROTCE
Announced up to $3.4 billion loan funding partnership extension with Blue Owl
SAN FRANCISCO, July 29, 2025 -- LendingClub Corporation (NYSE: LC) today announced financial results for the second quarter ended June 30, 2025.
"We had an exceptional quarter with year-over-year originations and revenue growth of 32% and 33%, respectively. Strong revenue growth combined with credit outperformance resulted in $38 million of net income, delivering double digit ROTCE in excess of our target and ahead of schedule," said Scott Sanborn, LendingClub CEO. "We also announced a long-term loan sales partnership extension and launched another new product with our innovative LevelUp Checking account. I'm energized by the results across the business and look forward to building on the momentum over the second half of the year."
Second Quarter 2025 Results
Highlights:
- Achieved $2.4 billion in origination volume, up 32% compared to the prior year.
- Continued to deliver credit outperformance versus competitor set, with +40% better performance.
- Extended funding partnership with Blue Owl for structured certificates, totaling up to $3.4 billion over two years.
- Closed first transaction with funds and accounts managed by BlackRock, leveraging our Fitch-rated Structured Certificates program.
- Launched LevelUp Checking, the first product in market to offer cash back for on-time loan payments.
Balance Sheet:
- Total assets of $10.8 billion increased 12% compared to $9.6 billion in the prior year, driven primarily by the success of the Structured Certificates program as well as loan growth.
- Deposits of $9.1 billion increased 13% compared to $8.1 billion in the prior year, driven by the continued success of our savings offerings.
- 86% of total deposits are FDIC-insured.
- Robust available liquidity of $3.8 billion.
- Strong capital position with a consolidated Tier 1 leverage ratio of 12.2% and a CET1 capital ratio of 17.5%.
- Book value per common share was $12.25, compared to $11.52 in the prior year.
- Tangible book value per common share was $11.53, compared to $10.75 in the prior year.
Financial Performance:
- Loan originations grew 32% to $2.4 billion, compared to $1.8 billion in the prior year, driven by the successful execution of product and marketing initiatives.
- Total net revenue increased 33% to $248.4 million, compared to $187.2 million in the prior year, driven by higher marketplace sales and loan pricing, credit outperformance, and higher net interest income on a larger balance sheet with lower deposit funding costs.
- Net interest margin increased to 6.14%, compared to 5.75% in the prior year.
- Provision for credit losses of $39.7 million, compared to $35.6 million in the prior year, primarily driven by increased held-for-investment loan retention.
- Improved net charge-offs in the held-for-investment at amortized cost loan portfolio to $31.8 million, compared to $66.8 million in the prior year.
- Net income of $38.2 million, compared to $14.9 million in the prior year.
- Diluted EPS of $0.33 compared to $0.13 in the prior year.
- Return on Equity (ROE) of 11.1% with a Return on Tangible Common Equity (ROTCE) of 11.8%.
- Pre-Provision Net Revenue (PPNR) increased 70% to $93.7 million, compared to $55.0 million in the prior year.
Three Months Ended | ||||||
($ in millions, except per share amounts) | June 30, | March 31, | June 30, | |||
Total net revenue | $ 248.4 | $ 217.7 | $ 187.2 | |||
Non-interest expense | 154.7 | 143.9 | 132.3 | |||
Pre-provision net revenue (1) | 93.7 | 73.8 | 55.0 | |||
Provision for credit losses | 39.7 | 58.1 | 35.6 | |||
Income before income tax expense | 54.0 | 15.7 | 19.4 | |||
Income tax expense | (15.8) | (4.0) | (4.5) | |||
Net income | $ 38.2 | $ 11.7 | $ 14.9 | |||
Diluted EPS | $ 0.33 | $ 0.10 | $ 0.13 | |||
(1) | See page 3 of this release for additional information on our use of non-GAAP financial measures. |
For a calculation of Pre-Provision Net Revenue, Tangible Book Value Per Common Share, and Return on Tangible Common Equity, refer to the "Reconciliation of GAAP to Non-GAAP Financial Measures" tables at the end of this release.
Financial Outlook
Third Quarter 2025 | ||
Loan originations | $2.5B to $2.6B | |
Pre-provision net revenue (PPNR) | $90M to $100M | |
Return on Tangible Common Equity (ROTCE) | 10% to 11.5% |
About LendingClub
LendingClub is reimagining what a bank can be by building our business around a simple belief: when our members win, we win. Leveraging innovative technology and engaging mobile-first experiences, our integrated suite of financial products helps people keep more of what they earn and earn more on what they save. Our 5+ million members love us for providing quick and easy access to affordable credit and rewarding their smart financial choices, like making on-time payments, saving regularly, and taking control of debt.
Getting credit right is a key driver of our success. Our AI-powered underwriting models are informed by over 150 billion cells of proprietary data, derived from tens of millions of repayment events across economic cycles. Our leading credit expertise combined with our resilient bank foundation, capital-light loan marketplace, decades of lending experience, and talented team have enabled us to deliver lasting value to members, loan investors, and stockholders alike. And we're just getting started.
LendingClub Corporation (NYSE: LC) is the parent company and operator of LendingClub Bank, National Association, Member FDIC. For more information about LendingClub, visit https://www.lendingclub.com
Conference Call and Webcast Information
The LendingClub second quarter 2025 webcast and teleconference is scheduled to begin at 2:00 p.m. Pacific Time (or 5:00 p.m. Eastern Time) on Tuesday, July 29, 2025. A live webcast of the call will be available at http://ir.lendingclub.com under the Filings & Financials menu in Quarterly Results. To access the call, please dial +1 (404) 975-4839, or outside the U.S. +1 (833) 470-1428, with Access Code 667676, ten minutes prior to 2:00 p.m. Pacific Time (or 5:00 p.m. Eastern Time). An audio archive of the call will be available at http://ir.lendingclub.com. An audio replay will also be available 1 hour after the end of the call until August 5, 2025, by calling +1 (929) 458-6194 or outside the U.S. +1 (866) 813-9403, with Access Code 516031. LendingClub has used, and intends to use, its investor relations website, X (formerly Twitter) handles (@LendingClub and @LendingClubIR) and Facebook page (https://www.facebook.com/LendingClubTeam) as a means of disclosing material non-public information and to comply with its disclosure obligations under Regulation FD.
Contacts
For Investors:
IR@lendingclub.com
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