OneMain (OMF) Q4 2024 earnings summary

Executive summary

• Achieved 11% managed receivables growth to $24.7B in 2024, with $13.3B originations up 4% YoY and 3.4M customer accounts, up 15% YoY; 4Q24 originations rose 16% YoY to $3.5B.

• Completed and integrated Foursight acquisition, enhancing auto lending and product offerings.

• Recognized for business excellence and community engagement, including Best Practice Institute Most Loved Workplace and Newsweek 2025 Excellence Index.

• Returned $533M in capital and generated $685M in capital for 2024; quarterly dividend of $1.04 per share declared.

Financial highlights

• 4Q24 total revenue was $1.5B, up 9% YoY; interest income rose 11% to $1.3B.

• 4Q24 GAAP net income was $126M ($1.05 per diluted share), down from $1.38 per share YoY; adjusted net income was $139M ($1.16 per share).

• Operating expenses for 4Q24 were $422M, up 10% YoY, reflecting growth and investments.

• Capital generation for Q4 was $183M; full-year capital generation reached $685M.

• Managed receivables ended at $24.7B, up $2.5B (11%) from prior year.

Outlook and guidance

• 2025 managed receivables growth expected at 5–8%, with revenue growth guidance of 6–8%.

• C&I net charge-offs projected at 7.5–8.0% for 2025, with first half above and second half below the range, assuming stable macroeconomic conditions.

• Operating expense ratio expected to remain at 6.6% in 2025.

• Management expects continued improvement in credit trends and profitability into 2025.