Synchrony Financial (SYF) investor relations material

Business overview and model

• Operates as a major U.S. credit card issuer and full-spectrum lender, serving both prime and non-prime consumers.

• Offers a broad suite of products including private label, co-branded, secured, and business cards, as well as installment lending.

• Maintains over 70 million active accounts and leverages extensive data for unique underwriting capabilities.

• Economic arrangements with partners provide stability and resilient returns, balancing upside and downside risk.

• Partners include leading retailers and platforms, supporting a diverse and scalable business.

Consumer and economic trends

• Consumer health remains stable across segments, with lower-end consumers firming due to wage increases and higher-end flattening.

• Prime consumers face more affordability concerns but overall spending patterns are consistent.

• Purchase volume accelerated in early 2026, with positive trends in discretionary categories like home, auto, and lifestyle.

• Weather events impacted sales, but underlying trends remain strong and recovery is expected.

• Tax refunds are up 11% year-over-year, with higher-income consumers tending to save or pay down debt, while moderate-income consumers increase spending.

Portfolio and receivables growth

• Mid-single digit receivables growth targeted for 2026, driven by discretionary spending, new program launches, and selective credit aperture expansion.

• New partnerships with Walmart, Lowe’s, Bob’s Discount Furniture, and others are expected to contribute to growth, with launches phased through 2026.

• Existing partner relationships are secured through 2027 and beyond, with ongoing discussions for future opportunities.