Slide 1: SLM Corporation Earnings Presentation Third Quarter 2022
SLM Corporation Earnings Presentation Third Quarter 2022 sallie mae’ October 27, 2022
Slide 2: Forward-Looking Statements and Disclaimer
Forward-Looking Statements and Disclaimer Ir Cautionary Note Regarding Forward-Looking Statements “al The following information is current as of October 26, 2022 (unless otherwise noted) and should be read in connection with the press release of SLM Corporation (the “Company”) announcing its financi
Slide 3: Strong Peak Season Results
Strong Peak Season Results saltige - Highest peak season application volume in the last 3 years as a result of I the strong return to campus post-pandemic. 13.2% year-to-date increase in total applications as compared to the year-ago period. + Specifically, underclassmen applications, typically with
Slide 4: Originations Statistics
Originations Statistics ($) 2018 2019 2020 2021 Q3 2022 Q3 2021 % Cosigned 87% 87% 86% 86% 89% 88% % In School Payment 57% 58% 60% 59% 53% 52% Average FICO at Approval10 746 746 749 750 747 749
Slide 5: Over the Last Years, Sallie Mae Has Pursued a Simple Yet Powerful Strategy
Over the Last 2 Years, Sallie Mae Has salle, Pursued a Simple Yet Powerful Strategy Strategic Imperatives: 1. [ant Maximize the profitability and growth of our core 3. (J Better inform the external narrative about private student Develop & nurture a mission-led culture lending and Sallie Mae busines
Slide 6: Revenue, Total Operating Expenses, Earnings/Capital
Revenue • • Total Operating Expenses • Earnings/Capital • • • •
Slide 7: Quarterly Financial Highlights
Quarterly Financial Highlights? Income Statement ($ Millions) Total interest income Total interest expense Net Interest Income Less: provisions for credit losses Total non-interest income Total non-interest expenses Income tax expense Net Income Preferred stock dividends Net income attributable to c
Slide 8: Credit Performance
Credit Performance": 12.13 Private Education Loans Held for Investment {$ Thousands) Loans in repayment and percentage of each status: Loans current Loans delinquent 30-59 days Loans delinquent 60-89 days Loans 90 days or greater past due Total private education loans in repayment Loans delinquent 3
Slide 9: Guidance
Guidance“ salle mae For the full-year 2022, the Company expects: $2.50-$2.60 9%-11% Diluted Non-GAAP “Core Earnings” Private Education Loan Per Common Share Originations Year-Over-Year Growth $325 million - $555 million - $345 million $565 million Total Loan Portfolio Non-Interest Net Charge-Offs Ex
Slide 10: Footnotes
Footnotes rll, 13. 14. Derivative Accounting: we provide non-GAAP “Core Earnings” because it is one of several measures management uses to evaluate management performance and allocate corporate resources. Non-GAAP “Core Earnings” exclude periodic unrealized gains and losses caused by the mark-to-fai
Slide 11: Footnotes (continued)
Footnotes (continued) cli, 15. n/a 16. n/a 17. See footnote 1 for a description of non-GAAP “Core Earnings”. GAAP net income attributable to SLM Corporation common stock is the most directly comparable GAAP financial measure. However, this measure is not accessible on a forward-looking basis because
Slide 12: Non-GAAP Core Earnings to GAAP Reconciliation
Non-GAAP “Core Earnings” to GAAP Reconciliation arters Ended ‘$ in thousands, except per share amounts) Sep. 30, 2022 Jun. 30, 2022 Sep. 1021 Non-GAAP “Core Earnings” adjustments to GAAP: GAAP net income $75,172 $342,073 $72,840 Preferred stock dividends $2,531 $1,757 $1,166 GAAP net income attribut