OneMain (OMF) investor relations material

Consumer and credit environment

• Non-prime consumers in the portfolio show stable payment behavior and resilience despite inflation and higher gas prices, with only minor shifts in spending patterns observed.

• Employment remains strong among customers, and payment performance is healthy, with ongoing monitoring of inflation and utility costs.

Credit performance and loss guidance

• Net charge-offs were 8.3% in the first half, with confidence in achieving the 7.4%-7.9% full-year guide, depending on roll rates and economic conditions.

• Long-term expectation is for consumer loan losses to fall below 7%, with card growth impacting overall loss rates due to higher inherent losses in cards.

Recoveries and operational improvements

• Recovery rates improved by 30 basis points year-over-year, driven by investments in analytics, digital outreach, and inventory management.

• Elevated inventory is expected to persist through year-end, with normalization anticipated next year.