Slide 1: Earnings Presentation 3rd Quarter 2024
Earnings Presentation 3rd Quarter 2024 Confidential and proprietary information. © 2024 Sallie Mae Bank. All rights reserved. 1
Slide 2: Cautionary Note and Disclaimer Regarding Forward Looking Statements
CAUTIONARY NOTE AND DISCLAIMER REGARDING FORWARD LOOKING STATEMENTS The following information is current as of October 23, 2024 (unless otherwise noted) and should be read in connection with the press release of SLM Corporation announcing its financial results for the quarter ended September 30, 202
Slide 3: 3rd Quarter 2024 Highlights
Balance Sheet & Capital Allocation $2.8B 13% 3rdQuarter Private Education Loan Private Education Loan 2024 Highlights Originations in Q3 2024, as Originations growth from year- compared to $2.5 billion in ago quarter. the year-ago quarter. $0.11 5.3M 12.9% Common stock dividend per share Share repur
Slide 4: Additional Key Performance Metrics
ABS Securitization Funding & Liquidity Additional Key Performance $868M Deposit portfolio balances at the end of Q3 2024 were 3% 2% Metrics Student loan ABS transaction was successfully priced on higher than at the end of Q2 2024; Q3 2024 mix of brokered vs. retail Uninsured deposits as a percentage
Slide 5: Private Education Loan Trends
Private In School Cosigned Private Education Loan Originations(1) Average FICO at Approval(2) Payment Education Q3 Loan Trends * Full Year 2024 $6,032 Third quarter 2024 originations at YTD approximately $2.8 billion, 13% + 9% YTD higher than the year-ago quarter. 2023 $6,383 748 56% 87% Origination
Slide 6: Quarterly Financial Highlights
Quarterly Financial Highlights Q3 Q2 Q3 Q3 Q2 Q3 2024 2024 2023 2024 2024 2023 Statement of Operations ($ Millions) Key Performance Metrics Total interest income $653 $641 $652 Net Interest Margin 5.00% 5.36% 5.43% Total interest expense 293 269 268 Net Interest Income 359 372 385 Yield—Total Intere
Slide 7: Credit Performance
Credit Performance (5)(6)(7)(8) Private Education Loans Held for Investment Quarters Ended SEP 30, 2024 JUN 30, 2024 SEP 30, 2023 ($ Thousands) Balance % Balance % Balance % Loans in repayment and percentage of each status: Loans current $ 14,806,983 96.4% $ 13,756,538 96.7% $ 14,938,462 96.3% Loans
Slide 8: Allowance for Credit Losses
Allowance for Credit Losses Consolidated Statements of Operations – Provision for Credit Losses Reconciliation Factors affecting the Provision for Credit Losses 3rd Quarter 2024 Quarter Ended September 30, 2024 ($ THOUSANDS) BALANCE Private Education Loan provision for credit losses: • Outsized orig
Slide 9: 2024 Guidance
For the full year 2024, the Company expects: 2024 Guidance * $2.70 - $2.80 8% - 9% GAAP Diluted Earnings Private Education Loan Originations Per Common Share Year-over-Year Growth $325 - $340 million, or $635 - $655 million 2.1% - 2.3% (11) Non-Interest Expenses Total Loan Portfolio Net Charge-Offs
Slide 10: Footnotes
Footnotes 1. Originations represent loans that were funded or acquired during the period presented. 2. Represents the higher credit score of the cosigner or the borrower. 3. We calculate and report our Return on Assets (“ROA”) as the ratio of (a) GAAP net income (loss) numerator (annualized) to (b)