Navient (NAVI) Q3 2026 earnings summary

Executive summary

• GAAP net income was $15M, or $0.16 per diluted share; Core Earnings were $3M, or $0.03 per diluted share.

• Originations rose 77% YoY to $1.4B, led by Refinance and In-School growth; higher provisions on previously originated loans weighed on results.

Financial highlights

• GAAP revenue before provision was $317M vs. $161M YoY; provision was $227M vs. $168M, and operating expense was $75M vs. $105M.

• Core EPS was $0.03; significant items reduced results by $0.27 per share, while adjusted Core EPS excluding those items was $0.30.

• Net interest income fell $27M YoY to $115M; loan-loss provision rose $59M to $227M.

• Total quarterly expenses were $77M vs. $109M, including $15M of insurance proceeds related to prior litigation; restructuring expense was $2M vs. $4M.

Outlook and guidance

• FY originations target was $3.8B; Q4 plan was ~$700M, with more Personal Loans, less In-School lending and roughly flat Refinance volume expected.

• FY operating expenses were expected at $350M or lower; YTD expenses excluding regulatory and restructuring costs were $258M.

• Loan cash flows net of secured financing were projected at $11.3B over 20 years; after $5.3B of unsecured debt principal maturities, projected cash flow was $6.0B.

• Personal Loan testing is expected to expand next year, with a larger sample intended to support ratings and future securitization or sale options; volumes are not expected to be large.