Synchrony Financial (SYF) investor relations material

Conference highlights

• Record participation with 136 companies and 483 corporate attendees representing $5.5 trillion in market cap at the 17th Annual Financials Conference.

• Synchrony Financial reported a third consecutive month of positive loan growth and better-than-seasonal delinquency rates.

• End-of-period asset growth reached 1.8%, with strong purchase volume, especially in discretionary categories during the second quarter.

Consumer trends and credit performance

• Consumer spending remains resilient, with purchase volumes maintaining mid to high single-digit growth.

• Green shoots observed in home improvement, HVAC, and furniture, while outdoor categories face challenges.

• Rising gas prices have not yet significantly altered consumer behavior, though non-discretionary spending is increasing faster than discretionary.

• Early indicators suggest consumers may eventually reduce transaction values and increase purchase frequency if high gas prices persist.

• Credit performance is stable, with net charge-offs in line with historical norms and disciplined risk-adjusted return focus.

Growth strategy and partnerships

• About 30% of credit adjustments have been reversed, with effects of credit aperture changes expected to show in late 2026 and 2027.

• Walmart partnership and OnePay program are off to a strong start, with significant digital engagement and potential for top-tier growth.

• Over 300 partnerships renewed since 2021, including major retailers; 97% of top 25 revenue relationships extend beyond 2028.

• Digital capabilities, advanced underwriting, and multi-product offerings are key competitive advantages.