Bread Financial Holdings, Inc. · NYSE:BFH
Bread Financial — Q2 2026 Earnings Presentation
17 slides from Bread Financial's earnings presentation, Jul 23, 2026
Slide 1: Investor presentation Second quarter 2026
Investor presentation Second quarter 2026 © 2 0 2 2 B r e a d F i n a n c i a l |
Slide 2: Building a stronger, more focused tech-forward financial services company
Building a stronger, more focused tech-forward financial services company Accomplishments Accelerated Added and technology and extended digital partnerships capabilities Rebranded and Enhanced expanded our risk product suite management New Strengthened leadership & balance sheet refreshed Board ©202
Slide 3: Resilient business model delivers strong returns and sustainable long-term value
Our resilient business model delivers strong returns and sustainable long-term value through responsible, disciplined capital allocation Strong, resilient returns Disciplined capital Sustainable long-term + = and capital generation allocation shareholder value Capital priorities Support profitable g
Slide 4: $28B annual customer spend, $3.9B annual revenue, 30MM+ accounts
$28B $3.9B 30MM+ ~100 $18B annual customer spend annual revenue open and outstanding accounts card partners loan portfolio Note: Figures as of 12/31/2025 per the 10-K. Primary product offerings Services supporting our primary product offerings Co-brand and private label credit cards Risk management
Slide 5: Partnership focused business model providing simple, personalized payment, lending, and saving solutions
Partnership focused business model providing simple, personalized payment, lending, and saving solutions Iconic brand partners Full product offering with unique value proposition • Suite of financial products meets the needs of customers across generations with various financing needs and provides b
Slide 6: Building on our position of strength by focusing on four key areas
Building on our position of strength by focusing on four key areas 2026 focus areas Responsible growth Proactive, strategic Accelerate sustainable growth risk management through our diversified product suite Execute strategies to improve credit and expand revenue generation performance and maintain
Slide 7: Strengthened balance sheet evidenced by impressive long-term trends
Strengthened balance sheet evidenced by impressive long-term trends Total company tangible common equity / Parent-level debt outstanding Tangible book value per common share* tangible assets ratio* $ in billions CET1: $63.66 12.9% $61.57 +313% 11.8% $0.9 11.3% 10.6% 10.8% $48.92 $1.4 $45.96 9.1% $38
Slide 8: Strong, durable profit margin provides confidence in financial resilience
Strong, durable profit margin provides confidence in financial resilience through different economic scenarios Positive profit margin maintained in stressed scenarios • Attractive risk-adjusted loan yield(2) of ~11% PPNR margin(1) held at 11% 19.5% over the previous four quarters. Over 300 basis poi
Slide 9: 2026 financial outlook
2026 financial outlook As of 7/23/2026 Full year 2025 actuals Full year 2026 outlook Commentary Average loans Up low- to mid-single digits Based on our current economic outlook and visibility into our pipeline and partner growth, we now expect 2025: $17,850 2026 average credit card and other loans g
Slide 10: Financial targets
Financial targets As of 7/23/2026 Near term Long term Financial Sustainable, Enhance targets responsible growth shareholder value Loan growth Low- to mid-single digit Mid- to high-single digit Building on our loan growth loan growth position of strength CET1 Maintain CET1 ratio of 13-14% Maintain CE
Slide 11: Executing on initiatives to deliver a mid-20% ROTCE
Executing on initiatives to deliver a mid-20% ROTCE Key drivers to achieve ROTCE target ~1% • PPNR improvement Mid-20%s ~2% ◦ Responsible, profitable loan growth ROTCE ◦ Annual positive operating leverage 3-5% • Net loss rate progressing towards 6% ◦ Aligned with lower provision / reserve rate • Con
Slide 12: Appendix
Appendix ©2026 Bread Financial 12
Slide 13: Multi-year board refreshment program yielded a highly engaged and diverse board
Multi-year board refreshment program yielded a highly engaged and diverse board of directors Ralph Andretta John Fawcett John Gerspach President & CEO Former EVP & CFO Former CFO of Bread Financial of CIT Group Inc. of Citigroup, Inc. Joyce St. Clair Praniti Lakhwara Rajesh Natarajan Former EVP & Ch
Slide 14: Experienced leaders with proven ability to execute business strategy
Experienced leaders with proven ability to execute business strategy and manage through uncertainty Ralph Andretta Perry Beberman Valerie Greer Tammy McConnaughey Allegra Driscoll Joseph Motes President, EVP, EVP, EVP, Chief Credit Risk EVP, EVP, Chief Executive Officer Chief Financial Officer Chief
Slide 15: Forward-looking statements
Forward-looking statements This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward- looking statements give our expectations or forecasts of future events and can generally be ide
Slide 16: Non-GAAP financial measures
Non-GAAP financial measures We prepare our Consolidated Financial Statements in accordance with accounting principles generally accepted in the United States of America (GAAP). However, certain information included herein constitutes Non-GAAP Financial Measures. Our calculations of Non-GAAP Financia
Slide 17: Reconciliation of GAAP to Non-GAAP financial measures
Reconciliation of GAAP to Non-GAAP financial measures ($ in millions) 2Q26 1Q26 1Q25 1Q24 1Q23 1Q22 1Q21 1Q20 Tangible common equity (TCE) Total stockholders’ equity $ 3,365 $ 3,325 $ 3,068 $ 3,032 $ 2,716 $ 2,268 $ 1,764 $ 1,088 Less: Preferred stock (201) (72) — — — — — — Less: Goodwill and intang
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