Slide 1: 1Q 2015 Earnings Presentation
1Q 2015 Earnings Presentation Three Months Ended March 31, 2015 Springleaf Holdings, Inc. (LEAF) May 7, 2015
Slide 2: Important Information
Important Information The following pages are part of a presentation by Springleaf Holdings, Inc. (the "Company") in connection with reporting quarterly financial results and are intended to be viewed as part of that presentation. No representation is made that the information in these pages is comp
Slide 3: 1Q15 Key Highlights
1Q15 Key Highlights Core Earnings of $64 million and Core earnings per share of $0.55, up 28% year‐over‐year(1) 1Q15 GAAP earnings per share of $0.00 Earnings Pretax ROA for the Core segment increased to 7.00%, up 129 bps year‐over‐year(2) Consumer receivables of $3.9 billion, up 23% year‐ov
Slide 4: Branch Receivables Growth and Scalability
Branch Receivables Growth and Scalability Branch consumer receivables and origination volume increased 20+% year‐over‐year – Continuing to drive scale with 251 branches now over $5 million in receivables versus 117 as of 1Q14 – 70+% of new customer applications and 45+% of new customer volume sour
Slide 5: Consumer Loan Performance
Consumer Loan Performance Consistent yields and strong risk‐adjusted margins Delinquencies decreased reflecting typical seasonal trends Consumer Credit Performance Remains Strong(1) 30.0% 27.0% 26.9% 27.0% 26.9% 25.8% 24.1% 25.0% 20.0% 15.0% 22.1% 21.9% 22.0% 21.2% 20.5% 22.0% 10.0% 5.0% 3.6% 3.
Slide 6: 1Q15 Financial Highlights
1Q15 Financial Highlights ($ in millions) 1Q15 4Q14 1Q14 Consumer & Insurance(1) $65 $64 $49 Acquisitions & Servicing (2) 36 39 31 Pretax Core Earnings(3) $101 $103 $80 Income Taxes (4) (37) ($38) ($30) Core Earnings(3) $64 $65 $50 Net Income (Loss) Attributable to Springleaf $0 ($46) $52 Per Share
Slide 7: 2015 Guidance
2015 Guidance Core Consumer Operations (1) 1Q15A FY 2015E Range Consumer Net Finance Receivables $3.90bn $4.50bn — $4.75bn Consumer Yield 26.88% 26.00% — 26.50% Consumer Net Charge‐off Ratio 5.64% 5.00% — 5.50% Consumer Risk Adjusted Yield(2) 21.24% 20.50% — 21.50% Acquisitions & Servicing Pretax In
Slide 8: Appendix
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Slide 9: Acquisitions and Servicing
Acquisitions and Servicing Pretax income for 1Q15 of $36 million versus $39 million in the prior quarter(1) Solid credit performance with stable charge‐offs In March 2015, sold $232 and $131 million of the Class C and D SpringCastle 2014‐A notes which had been held as an investment for excess
Slide 10: Liquidity and Funding at 3/31/15
Liquidity and Funding at 3/31/15 Strong and stable liquidity position – $4.3 billion of cash and highly liquid investment securities; $1.3 billion committed undrawn funding capacity Weighted average cost of funds of 5.47% in 1Q15, up 9 bps year‐over‐year (1,2) Sold $1.9 billion of notes backed
Slide 11: Financial Supplement
. Financial Supplement Financial
Slide 12: Consolidated Balance Sheet
Consolidated Balance Sheet (Push Down Accounting) (unaudited, in millions) 3/31/15 12/31/14 1 Cash and Cash Equivalents $2,421 $879 2 Investment Securities 2,736 2,935 3 Net Finance Receivables: 4 Personal Loans & Retail Sales Finance 3,956 3,879 5 SpringCastle Portfolio 1,868 1,979 6 Real Estate Lo
Slide 13: Consolidated Income Statement
Consolidated Income Statement (Push Down Accounting) (unaudited, in millions, except per share statistics) 1Q15 4Q14 1Q14 1 Finance Charges $402 $407 $548 2 Finance Receivables Held for Sale Originated as Held for Investment 4 6 4 3 Total Interest Income 406 413 552 4 Interest Expense (158) (157) (2
Slide 14: Core Earnings (Non-GAAP)
Core Earnings (Non‐GAAP) (unaudited, in millions) 1Q15 4Q14 1Q14 1 Interest Income $383 $386 $356 2 Interest Expense (63) (66) (63) 3 Provision for Finance Receivable Losses (83) (84) (98) 4 Net Interest Income after Provision 237 236 195 5 Insurance 36 41 38 6 Investment 18 14 10 7 Portfolio Servic
Slide 15: Core: Consumer and Insurance Segment
Core: Consumer and Insurance Segment (unaudited, in millions) 1Q15 4Q14 1Q14 1 Interest Income $256 $250 $210 2 Interest Expense (40) (42) (41) 3 Provision for Finance Receivable Losses (56) (53) (45) 4 Net Interest Income after Provision 160 155 124 5 Insurance 36 41 38 6 Investment 13 9 10 7 Net L
Slide 16: Core: Acquisitions and Servicing Segment
Core: Acquisitions and Servicing Segment (unaudited, in millions) 1Q15 4Q14 1Q14 1 Interest Income $127 $136 $146 2 Interest Expense (23) (24) (22) 3 Provision for Finance Receivable Losses (27) (31) (53) 4 Net Interest Income after Provision 77 81 71 5 Investment 5 5 0 6 Portfolio Servicing Fees fr
Slide 17: Non-Core: Real Estate Segment
Non‐Core: Real Estate Segment (unaudited, in millions) 1Q15 4Q14 1Q14 1 Finance Charges $15 $16 $151 2 Finance Receivables Held for Sale Originated as Held for Investment 3 3 4 3 Total Interest Income 18 19 155 4 Interest Expense (60) (62) (112) 5 Provision ‐ TDR (1) (4) (45) 6 Provision ‐ Non‐TDR (
Slide 18: Non-Core: Other
Non‐Core: Other (unaudited, in millions) 1Q15 4Q14 1Q14 1 Interest Income $2 $3 $5 2 Interest Expense (10) (2) (2) 3 Provision for Finance Receivable Losses 0 0 (1) 4 Net Interest Income (Loss) after Provision (8) 1 2 5 Other 0 0 1 6 Total Other Revenues 0 0 1 7 Operating Expenses (5) 3 (6) 8 Total
Slide 19: Reconciliation to Pretax Core Earnings
Reconciliation – Push‐Down Accounting to Historical / Pretax Core Earnings (unaudited, in millions) 1Q15 4Q14 1Q14 1 1 Push‐Down Accounting Pretax Income (Loss) Attributable to Springleaf $7 ($59) $83 2 Finance Charges (2) (2) (36) 3 Finance Receivables Held for Sale Originated as Held for Investmen