Slide 1: 3Q'15 Financial Results
3Q’15 Financial Results October 16, 2015 Exhibit 99.3
Slide 2: Cautionary Statement Regarding Forward-Looking Statements
2 Cautionary Statement Regarding Forward-Looking Statements The following slides are part of a presentation by Synchrony Financial in connection with reporting quarterly financial results. No representation is made that the information in these slides is complete. For additional information, see the
Slide 3: 3Q'15 Highlights
3 3Q'15 Highlights Financial highlights • $574 million Net earnings, $0.69 EPS • Strong growth across the business Purchase volume +12%, Loan receivables +12%, Platform revenue +9% • Asset quality continues to improve Net charge-offs improved from 4.05% to 4.02% compared to prior year 30+ deli
Slide 4: Growth Metrics
4 Growth Metrics +12% Purchase volume $ in billions Loan receivables $ in billions Active accounts Average active accounts in millions Platform revenue $ in millions 3Q'14 3Q'15 $26.0 $29.2 $56.8 $63.5 $2,740 $2,519 62.2 59.9 +4% +9% +12% 3Q'14 3Q'15 3Q'14 3Q'15 3Q'14 3Q'15
Slide 5: Platform Results
5 Platform Results Retail Card Loan receivables, $ in billions $38.5 $43.4 3Q'14 3Q'15 Strong receivable growth across partner programs Platform revenue up 10% driven by receivable growth Payment Solutions Loan receivables, $ in billions $11.5 $12.9 3Q'14 3Q'15 Broad receivable growth led by h
Slide 6: Financial Results Summary
6 Financial Results Summary earnings statement Third quarter 2015 highlights $ in millions, except ratios Total interest income $3,392 $3,123 $269 9% Total interest expense 289 244 (45) (18)% Net interest income (NII) 3,103 2,879 224 8% Retailer share arrangements (RSA) (723) (693) (30) (4)% NII, af
Slide 7: Net Interest Income
7 Net Interest Income Third quarter 2015 highlights • Net interest income up 8% driven by growth in receivables, partially offset by higher funding costs Interest and fees on loans up 8% driven by loan receivable growth • Net interest margin decline driven primarily by increase in liquidity Liqu
Slide 8: Asset Quality Metrics
8 Asset Quality Metrics Net charge-offs $ in millions, % of average loan receivables including held for sale 30+ days past due $ in millions, % of period-end loan receivables Allowance for loan losses $ in millions, % of period-end loan receivables 90+ days past due $ in millions, % of period-end lo
Slide 9: Other Expense
9 Other expense $ in millions Other Expense Employee costs $239 $268 $29 12% Professional fees 149 162 $13 9% Marketing/BD 115 115 $- -% Information processing 47 77 $30 64% Other 178 221 $43 24% Other expense $728 $843 $115 16% Efficiency 31.9% 34.2% +2.3pts. $728 • Expense increase primarily drive
Slide 10: Funding, Capital and Liquidity
10 Funding, Capital and Liquidity (c) Liquid assets $14.1 $15.3 Undrawn securitization capacity 5.6 6.6 Total liquidity $19.7 $21.9 % of total assets 26.9% 27.5% Tier 1 common equity $11.2 $10.9 Risk-weighted assets $64.2 $65.3 Liquidity $ in billions 3Q'15 $21.9 $19.7 3Q'14 Capital ratios 3Q'15, $
Slide 11: 3Q'15 Wrap Up
11 3Q’15 Wrap Up • Net earnings of $574 million … $0.69 earnings per share • Broad based growth … Purchase volume +12%, Loan receivables +12%, Platform revenue +9% • Renewed a top 10 partnership in PayPal, as well as Sleepy’s • Signed two new partnerships with Citgo and The Container Store • Expande
Slide 12: Synchrony Financial - Engage with us.
s{! synchrony FINANCIAL Engage with us.
Slide 13: Appendix
13 Appendix
Slide 14: Non-GAAP Reconciliations
14 Non-GAAP Reconciliations In order to assess and internally report the revenue performance of our three sales platforms, we use measures we refer to as “platform revenue” and “platform revenue excluding retailer share arrangements.” Platform revenue is the sum of three line items in our Condensed
Slide 15: Non-GAAP Reconciliation
15 Non-GAAP Reconciliation The following table sets forth each component of our platform revenue for periods indicated below. ($ in millions) 2015 2014 Platform Revenue Total: Interest and fees on loans . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Slide 16: Non-GAAP Reconciliation
16 Non-GAAP Reconciliation The following table sets forth a reconciliation of each component of our capital ratios to the comparable GAAP component at September 30, 2015. COMMON EQUITY MEASURES GAAP Total common equity .................................................................................