Lendingclub Corporation · NYSE:LC
Lendingclub — Q2 2021 Earnings Presentation
13 slides from Lendingclub's earnings presentation, Jul 28, 2021
Slide 1: Second Quarter 2021 Results
Second Quarter 2021 Results July 28, 2021
Slide 2: 2Q 2021 Results & Financial Metrics
2Q 2021 Results & Financial Metrics
Slide 3: Disclaimer
Disclaimer Some of the statements above, including statements regarding the benefits of our bank acquisition, anticipated future performance and financial results, are “forward-looking statements.” The words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “outlook,” “plan,” “predict,
Slide 4: Member-Focused Digital Marketplace Bank
Member-Focused Digital Marketplace Bank Customers1 Lifetime Vision Promise Originations1 Become 3.5+ America’s To champion the financial success Million $65+ Financial of our members with fairness, Billion Health Club. simplicity, and heart. Best Overall Checking Account, April 2021 1 Total customer
Slide 5: Best of Both Worlds
Best of Both Worlds Positioned well against both the fintech and bank competitive sets Fintechs Banks Ability to efficiently serve a broad range of customers ✓ ✓ ✗ Capital-light, high-ROE marketplace earnings stream ✓ ✓ ✗ Economics Highly profitable earnings via loan portfolio ✓ ✗ ✓ Lower cost depos
Slide 6: 2Q21 Highlights: Exceeded All Targets and Seeing Early Benefits from Digital Bank
2Q21 Highlights: Exceeded All Targets and Seeing Early Benefits from Digital Bank 2Q21 Guidance Targets Actuals Commentary ▪ Returned to market leadership Originations $1.7B to $1.9B $2.7B ▪ Leveraged our competitive advantages and +15% to +28% QoQ +84% QoQ data science capabilities to drive member
Slide 7: Growth Driven by Accelerating Marketplace Revenues & New Recurring Net Interest Income Stream
Growth Driven by Accelerating Marketplace Revenues & New Recurring Net Interest Income Stream $204.4 Net Interest Income: Digital bank Net Interest Income acquisition on driven by higher average Total 02/01/2021 $45.9 earning assets and Non-Interest Income Revenue1 increased mix of ($ in millions) c
Slide 8: Origination Growth & Marketplace Revenue Driven by Membership & Data Advantages
Origination Growth & Marketplace Revenue Driven by Membership & Data Advantages Quarterly Loan Originations1,2 Quarterly Marketplace Revenue1 ($ in millions) ($ in millions) Retained Loans Marketplace Originations $151.7 $2,722 Marketplace Originations $1,483 $2,182 Drive Marketplace $81.7 Revenue $
Slide 9: Interest Income from HFI Portfolio Grew 155% on Average Balance Growth of 21%
Interest Income from HFI Portfolio Grew 155% on Average Balance Growth of 21% as Consumer Portfolio Builds Loans Held for Investment on Interest Income from Bank Bank Average Balance Sheet1 Loans Held for Investment2 ($ in millions) ($ in millions) $2,284M $39.1M 1 $1,895M HFI Portfolio Drives Inter
Slide 10: Growing Consumer Loan Portfolio Drives Yield Expansion
Growing Consumer Loan Portfolio Drives Yield Expansion1 1Q21 2Q21 Bank Average Balances ($ in millions) Balances Avg. Yield/Rate Balances Avg. Yield/Rate Growing consumer portfolio Unsecured Personal Loans $147 13.85% $512 15.24% with targeted retention of 15% Secured Consumer Loans $521 3.70% $532
Slide 11: Operating Leverage: Expenses Decreasing as a Percentage of Total Revenue
Operating Leverage: Expenses Decreasing as a Percentage of Total Revenue Total Non-interest Expense1 303% ($ in millions) 2Q20 3Q20 4Q20 1Q21 2Q21 Non-interest expense % Revenue Compensation Comp & Benefits % Revenue 65.8 58.6 52.5 64.4 71.9 & Benefits Marketing % Revenue Marketing 1.8 2.1 8.5 19.5
Slide 12: Raising Full Year Outlook
Raising Full Year Outlook As of 07/28/21 As of 04/28/21 3Q21 Guidance FY21 Guidance Prior FY21 Guidance Originations $2.8B to $3.0B $9.8B to $10.2B $6.8B to $7.3B Revenue $215M to $230M $750M to $780M $500M to $530M GAAP Net Income (Loss) $10M to $15M ($13M) to ($3M) ($167M) to ($142M) 12
Slide 13: LendingClub
= LendingClub