Bread Financial Provides Performance Update for December 2025
Rhea-AI Summary
Bread Financial (NYSE: BFH) provided a December 2025 performance update covering portfolio balances, net losses, and delinquencies.
Key figures: end-of-period loans $18,805M, average loans $18,474M (down ~1% YoY), net principal losses $116M for December and $336M for the quarter, and a net loss rate 7.4%. Delinquency rate improved to 5.8% from 5.9% year‑ago.
Positive
- Delinquency rate improved by 0.1 percentage point year-over-year
- End-of-period credit card loans stable at $18,805 million
Negative
- Net loss rate remained elevated at 7.4%
- Net principal losses of $336 million for the three months ended Dec 31, 2025
- Average credit card loans declined about 1% year-over-year
News Market Reaction
On the day this news was published, BFH gained 7.08%, reflecting a notable positive market reaction. Argus tracked a peak move of +3.0% during that session. Our momentum scanner triggered 7 alerts that day, indicating moderate trading interest and price volatility. This price movement added approximately $222M to the company's valuation, bringing the market cap to $3.36B at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
BFH shows a -1.8% move while peers are mixed: ENVA +1.03%, SEZL +1.98%, LU -1.11%, WU -0.85%, QFIN +0.12%, suggesting a stock-specific reaction to the update.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Jan 06 | Earnings call scheduled | Neutral | +5.2% | Announced timing and access details for Q4 and full-year 2025 earnings call. |
| Dec 10 | Monthly performance update | Neutral | +0.5% | Reported November 2025 credit portfolio and asset-quality metrics including losses and delinquencies. |
| Dec 03 | Conference participation | Neutral | +2.7% | Management participation in Goldman Sachs 2025 Financial Services Conference fireside chat. |
| Nov 20 | Preferred offering priced | Negative | -1.1% | Pricing of depositary shares for Series A preferred stock with stated proceeds use. |
| Nov 20 | Preferred offering launched | Negative | -1.1% | Launch of underwritten public offering of Series A preferred depositary shares. |
Recent operational updates and corporate actions have generally seen price moves within a mid-single-digit range, with offerings drawing mild negative reactions.
Over the past few months, BFH has combined routine performance updates with capital markets activity. A November 2025 portfolio update with credit metrics led to a modest 0.5% move, while a December conference appearance and an earnings call scheduling on Jan. 6, 2026 saw positive reactions of 2.68% and 5.19%. By contrast, the November preferred stock offering and related launch news on Nov. 20, 2025 coincided with a -1.09% move, highlighting more cautious responses to financing actions versus operating updates.
Regulatory & Risk Context
BFH has an effective automatic shelf registration on Form S-3ASR filed on 2025-11-17, allowing issuance of preferred stock and related depositary shares over time. The shelf has been used at least 2 times via 424B5 prospectus supplements dated 2025-11-20 and 2025-11-21 for Series A preferred offerings.
Market Pulse Summary
The stock moved +7.1% in the session following this news. A strong positive reaction aligns with prior responses to Bread Financial’s operating updates, such as the November 2025 performance release that saw a 0.5% move and the earnings call scheduling that coincided with a 5.19% gain. Investors have also reacted to capital markets actions, including the Series A preferred offerings around -1.09%. With an effective S-3ASR shelf and recent preferred issuance, future financing activity could influence how durable any strength proves.
Key Terms
net loss rate financial
delinquency rate financial
30 days + delinquencies – principal financial
AI-generated analysis. Not financial advice.
COLUMBUS, Ohio, Jan. 29, 2026 (GLOBE NEWSWIRE) -- Bread Financial® Holdings, Inc. (NYSE: BFH), a tech-forward financial services company that provides simple, personalized payment, lending, and saving solutions to millions of U.S. consumers, provided a performance update. The following tables present the Company’s net loss rate and delinquency rate for the periods indicated:
| For the month ended December 31, 2025 | For the three months ended December 31, 2025 | ||||||
| (dollars in millions) | |||||||
| End-of-period credit card and other loans | $ | 18,805 | $ | 18,805 | |||
| Average credit card and other loans | $ | 18,474 | $ | 17,961 | |||
| Year-over-year change in average credit card and other loans | (1 | %) | (1 | %) | |||
| Net principal losses | $ | 116 | $ | 336 | |||
| Net loss rate | 7.4 | % | 7.4 | % | |||
| As of December 31, 2025 | As of December 31, 2024 | ||||||
| (dollars in millions) | |||||||
| 30 days + delinquencies – principal | $ | 971 | $ | 1,034 | |||
| Period ended credit card and other loans – principal | $ | 16,886 | $ | 17,418 | |||
| Delinquency rate | 5.8 | % | 5.9 | % | |||
About Bread Financial®
Bread Financial® (NYSE: BFH) is a tech-forward financial services company that provides simple, personalized payment, lending and saving solutions to millions of U.S. consumers. Our payment solutions, including Bread Financial general purpose credit cards and savings products, empower our customers and their passions for a better life. Additionally, we deliver growth for some of the most recognized brands in travel & entertainment, health & beauty, jewelry and specialty apparel through our private label and co-brand credit cards and pay-over-time products providing choice and value to our shared customers.
Bread Financial proudly marks 30 years of success in 2026. To learn more about our global associates, our performance and our sustainability progress, visit breadfinancial.com or follow us on Instagram and LinkedIn.
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 identified by the use of words such as “believe,” “expect,” “anticipate,” “estimate,” “intend,” “project,” “plan,” “likely,” “may,” “should” or other words or phrases of similar import. Similarly, statements that describe our business strategy, outlook, objectives, plans, intentions or goals also are forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements we make regarding, and the guidance we give with respect to, our anticipated operating or financial results, future financial performance and outlook, future dividend declarations, and future economic conditions.
We believe that our expectations are based on reasonable assumptions. Forward-looking statements, however, are subject to a number of risks and uncertainties that are difficult to predict and, in many cases, beyond our control. Accordingly, our actual results could differ materially from the projections, anticipated results or other expectations expressed in this release, and no assurances can be given that our expectations will prove to have been correct. Factors that could cause the outcomes to differ materially include, but are not limited to, the following: macroeconomic conditions, including market conditions, inflation, interest rates, labor market conditions, recessionary pressures or concerns over a prolonged economic slowdown, and the related impact on consumer spending behavior, payments, debt levels, savings rates and other behaviors; global political and public health events and conditions, including significant shifts in trade policy, such as changes to, or the imposition of, tariffs and/or trade barriers and consequently any economic impacts, volatility, uncertainty and geopolitical instability resulting therefrom, as well as ongoing wars and military conflicts and natural disasters; future credit performance, including the level of future delinquency and charge-off rates; loss of, or reduction in demand for services and/or products from, significant brand partners or customers in the highly competitive markets in which we operate, including competition from new and non-traditional competitors, such as financial technology companies, and with respect to new products, services and technologies, such as the emergence or increase in popularity of agentic commerce, digital payment platforms and currencies and other alternative payment and deposit solutions; the concentration of our business in U.S. consumer credit; inaccuracies in the models and estimates on which we rely, including our credit risk management models and the amount of our Allowance for credit losses; the inability to realize the intended benefits of acquisitions, dispositions and other strategic initiatives; our level of indebtedness and ability to access financial or capital markets; pending and future federal and state legislation, executive action, regulation, supervisory guidance, and regulatory and legal actions, including, but not limited to, those related to financial regulatory reform and consumer financial services practices, as well as any such actions that would place limits on credit card interest rates or late fees, interchange fees or other charges; failures or breaches in our operational or security systems, including as a result of cyberattacks, unanticipated impacts from technology modernization projects or otherwise; and any liability or other adverse impacts arising out of or related to the spinoff of our former LoyaltyOne segment or the bankruptcy filings of Loyalty Ventures Inc. (LVI) and certain of its subsidiaries, including the pending litigation against us in connection with the spinoff. The foregoing factors, along with other risks and uncertainties that could cause actual results to differ materially from those expressed or implied in forward-looking statements, are described in greater detail under the headings “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the most recently ended fiscal year, which may be updated in Item 1A of, or elsewhere in, our Quarterly Reports on Form 10-Q filed for periods subsequent to such Form 10-K. Our forward-looking statements speak only as of the date made, and we undertake no obligation, other than as required by applicable law, to update or revise any forward-looking statements, whether as a result of new information, subsequent events, anticipated or unanticipated circumstances or otherwise.
Contacts
Brian Vereb — Investor Relations
Brian.Vereb@breadfinancial.com
Susan Haugen — Investor Relations
Susan.Haugen@breadfinancial.com
Rachel Stultz — Media
Rachel.Stultz@breadfinancial.com
FAQ
What net loss rate did Bread Financial (BFH) report for December 2025?
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Did Bread Financial's (BFH) loan balances change year-over-year through December 2025?
What are the key loan portfolio balances reported by Bread Financial (BFH) for December 2025?
