Strong Financial Performance: Synchrony Financial reported net earnings of $967 million, equivalent to $2.50 per diluted share, with a return on average assets of 3.2% and return on tangible common equity of 28.3%. This indicates robust profitability despite macroeconomic uncertainties.

Purchase Volume Trends: The company generated $46 billion in purchase volume, a 2% decline YOY, impacted by selective consumer spending and previous credit actions. However, growth was observed in dual and co-branded cards, which represented 45% of purchase volume and grew by 5% compared to last year, signaling some resilience in consumer demand.

Forecast for Loan Receivables and NIM: Synchrony expects ending loan receivables to remain flat year-over-year, with an elevated payment rate forecasted. The net interest margin (NIM) is projected to increase to an average of 15.6% in the second half of 2025 due to improved loan yields, lower funding costs, and a more favorable credit mix.