Technology

LendingClub Reports Third Quarter 2024 Results

Published

2 years ago

October 23, 2024

Originations and Revenue Growth Supported by Return of Bank Buyers

Total Assets Grew 25% Year to Date Driven by $1.3 Billion Purchase of LendingClub Loans

Acquired Tally’s Technology in October to Accelerate Product Roadmap

SAN FRANCISCO, Oct. 23, 2024 /PRNewswire/ — LendingClub Corporation (NYSE: LC), the parent company of LendingClub Bank, America’s leading digital marketplace bank, today announced financial results for the third quarter ended September 30, 2024.

“We had a standout quarter, with credit outperformance and the return of bank buyers driving improved loan sales pricing, our capital strategy delivering a 25% larger balance sheet year to date, and strong financial performance translating to a meaningful improvement in book value per common share over the past 12 months,” said Scott Sanborn, LendingClub CEO. “Looking ahead, our acquisition of Tally’s award-winning credit card debt monitoring and management technology will allow us to accelerate our product roadmap and further seize on the historically large $1.3 trillion credit card refinance opportunity.”

Third Quarter 2024 Results

Balance Sheet:

Total assets of $11.0 billion compared to $9.6 billion in the prior quarter, primarily due to growth in whole loans held on the balance sheet and securities related to the structured certificates program:Whole loans held on the balance sheet of $6.0 billion, compared to $5.1 billion in the prior quarter, primarily reflecting the purchase of a $1.3 billion LendingClub-issued loan portfolio.Securities available for sale of $3.3 billion, compared to $2.8 billion in the prior quarter, primarily reflecting growth in structured certificate securities.Deposits of $9.5 billion compared to $8.1 billion in the prior quarter, primarily due to an increase in consumer deposits and brokered certificates of deposit to fund the loan portfolio purchase.Launched new direct-to-consumer LevelUp Savings product and seeing positive consumer response.88% of total deposits are FDIC-insured.Strong liquidity profile with $3.6 billion in readily available liquidity.Strong capital position with a consolidated Tier 1 leverage ratio of 11.3% and consolidated Common Equity Tier 1 capital ratio of 15.9%.Book value per common share increased to $11.95, compared to $11.52 in the prior quarter.Tangible book value per common share increased to $11.19, compared to $10.75 in the prior quarter.

Financial Performance:

Loan originations grew to $1.9 billion, compared to $1.8 billion in the prior quarter, driven by the successful execution of new consumer loan initiatives, combined with marketplace investor demand for structured certificates and higher whole loan retention.Total net revenue increased to $201.9 million, compared to $187.2 million in the prior quarter, driven by higher net interest income from a larger balance sheet and improved marketplace loan sales pricing.Provision for credit losses of $47.5 million, compared to $35.6 million in the prior quarter, driven by higher held-for-investment whole loan retention during the quarter.Decline in net charge-offs in the held-for-investment at amortized cost loan portfolio to $55.8 million, down from $66.8 million in the prior quarter; net charge-off ratio of 5.4% compared to 6.2% in the prior quarter.Net income was $14.5 million, compared to $14.9 million in the prior quarter, with diluted EPS of $0.13 in both periods.Pre-Provision Net Revenue (PPNR) increased to $65.5 million, compared to $55.0 million in the prior quarter, driven by a $14.7 million increase in total net revenue partially offset by a $4.0 million increase in non-interest expense.

Three Months Ended

($ in millions, except per share amounts)

September 30,
2024

June 30,
2024

September 30,
2023

Total net revenue

$ 201.9

$ 187.2

$ 200.8

Non-interest expense

136.3

132.3

128.0

Pre-provision net revenue (1)

65.5

55.0

72.8

Provision for credit losses

47.5

35.6

64.5

Income before income tax expense

18.0

19.4

8.3

Income tax expense

(3.6)

(4.5)

(3.3)

Net income

$ 14.5

$ 14.9

$ 5.0

Diluted EPS

$ 0.13

$ 0.05

(1)

See page 3 of this release for additional information on our use of non-GAAP financial measures.

For a calculation of Pre-Provision Net Revenue and Tangible Book Value Per Common Share, refer to the “Reconciliation of GAAP to Non-GAAP Financial Measures” tables at the end of this release.

Financial Outlook

Fourth Quarter 2024

Loan originations

$1.8B to $1.9B

Pre-provision net revenue (PPNR)

$60M to $70M

About LendingClub

LendingClub Corporation (NYSE: LC) is the parent company of LendingClub Bank, National Association, Member FDIC. LendingClub Bank is the leading digital marketplace bank in the U.S., where members can access a broad range of financial products and services designed to help them pay less when borrowing and earn more when saving. Based on hundreds of billions of cells of data and over $90 billion in loans, our advanced credit decisioning and machine-learning models are used across the customer lifecycle to expand seamless access to credit for our members, while generating compelling risk-adjusted returns for our loan investors. Since 2007, more than 5 million members have joined the Club to help reach their financial goals. For more information about LendingClub, visit https://www.lendingclub.com.

Conference Call and Webcast Information

The LendingClub third quarter 2024 webcast and teleconference is scheduled to begin at 2:00 p.m. Pacific Time (or 5:00 p.m. Eastern Time) on Wednesday, October 23, 2024. A live webcast of the call will be available at http://ir.lendingclub.com under the Filings & Financials menu in Quarterly Results. To access the call, please dial +1 (404) 975-4839, or outside the U.S. +1 (833) 470-1428, with Access Code 834946, ten minutes prior to 2:00 p.m. Pacific Time (or 5:00 p.m. Eastern Time). An audio archive of the call will be available at http://ir.lendingclub.com. An audio replay will also be available 1 hour after the end of the call until October 30, 2024, by calling +1 (929) 458-6194 or outside the U.S. +1 (866) 813-9403, with Access Code 106763. LendingClub has used, and intends to use, its investor relations website, blog (http://blog.lendingclub.com), X (formerly Twitter) handles (@LendingClub and @LendingClubIR) and Facebook page (https://www.facebook.com/LendingClubTeam) as a means of disclosing material non-public information and to comply with its disclosure obligations under Regulation FD.

Contacts
For Investors:
IR@lendingclub.com

Media Contact:
Press@lendingclub.com

Non-GAAP Financial Measures

To supplement our financial statements, which are prepared and presented in accordance with GAAP, we use the following non-GAAP financial measures: Pre-Provision Net Revenue and Tangible Book Value Per Common Share. Our non-GAAP financial measures do have limitations as analytical tools and you should not consider them in isolation or as a substitute for an analysis of our results under GAAP.

We believe these non-GAAP financial measures provide management and investors with useful supplemental information about the financial performance of our business, enable comparison of financial results between periods where certain items may vary independent of business performance, and enable comparison of our financial results with other public companies.

We believe Pre-Provision Net Revenue is an important measure because it reflects the financial performance of our business operations. Pre-Provision Net Revenue is a non-GAAP financial measure calculated by subtracting the provision for credit losses and income tax benefit/expense from net income.

We believe Tangible Book Value (TBV) Per Common Share is an important measure used to evaluate the company’s use of equity. TBV Per Common Share is a non-GAAP financial measure representing common equity reduced by goodwill and intangible assets, divided by ending common shares issued and outstanding.

For a reconciliation of such measures to the nearest GAAP measures, please refer to the tables on page 13 of this release.

We do not provide a reconciliation of forward-looking Pre-Provision Net Revenue to the most directly comparable GAAP reported financial measures on a forward-looking basis because we are unable to predict future provision expense with reasonable certainty without unreasonable effort.

Safe Harbor Statement

Some of the statements above, including statements regarding our competitive advantages, macroeconomic outlook, anticipated future performance and financial results, are “forward-looking statements.” The words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “outlook,” “plan,” “predict,” “project,” “will,” “would” and similar expressions may identify forward-looking statements, although not all forward-looking statements contain these identifying words. Factors that could cause actual results to differ materially from those contemplated by these forward-looking statements include: our ability to continue to attract and retain new and existing borrowers and platform investors; competition; overall economic conditions; the interest rate environment; the regulatory environment; default rates and those factors set forth in the section titled “Risk Factors” in our most recent Annual Report on Form 10-K, as filed with the Securities and Exchange Commission, as well as in our subsequent filings with the Securities and Exchange Commission. We may not actually achieve the plans, intentions or expectations disclosed in forward-looking statements, and you should not place undue reliance on forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in forward-looking statements. We do not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

LENDINGCLUB CORPORATION

OPERATING HIGHLIGHTS

(In thousands, except percentages or as noted)

(Unaudited)

As of and for the three months ended

% Change

September 30,
2024

June 30,
2024

March 31,

2024

December 31,

2023

September 30,
2023

Q/Q

Y/Y

Operating Highlights:

Non-interest income

$ 61,640

$ 58,713

$ 57,800

$ 54,129

$ 63,844

5 %

(3) %

Net interest income

140,241

128,528

122,888

131,477

137,005

9 %

2 %

Total net revenue

201,881

187,241

180,688

185,606

200,849

8 %

1 %

Non-interest expense

136,332

132,258

132,233

130,015

128,035

3 %

6 %

Pre-provision net revenue(1)

65,549

54,983

48,455

55,591

72,814

19 %

(10) %

Provision for credit losses

47,541

35,561

31,927

41,907

64,479

34 %

(26) %

Income before income tax expense

18,008

19,422

16,528

13,684

8,335

(7) %

116 %

Income tax expense

(3,551)

(4,519)

(4,278)

(3,529)

(3,327)

(21) %

7 %

Net income

$ 14,457

$ 14,903

$ 12,250

$ 10,155

$ 5,008

(3) %

189 %

Basic EPS

$ 0.13

$ 0.11

$ 0.09

$ 0.05

— %

160 %

Diluted EPS

$ 0.13

$ 0.11

$ 0.09

$ 0.05

— %

160 %

LendingClub Corporation Performance Metrics:

Net interest margin

5.63 %

5.75 %

6.40 %

6.91 %

Efficiency ratio(2)

67.5 %

70.6 %

73.2 %

70.0 %

63.7 %

Return on average equity (ROE)(3)

4.4 %

4.7 %

3.9 %

3.3 %

1.7 %

Return on average total assets (ROA)(4)

0.6 %

0.5 %

0.2 %

Marketing expense as a % of loan originations

1.37 %

1.47 %

1.44 %

1.30 %

LendingClub Corporation Capital Metrics:

Common equity Tier 1 capital ratio

15.9 %

17.9 %

17.6 %

17.9 %

16.9 %

Tier 1 leverage ratio

11.3 %

12.1 %

12.5 %

12.9 %

13.2 %

Book value per common share

$ 11.95

$ 11.52

$ 11.40

$ 11.34

$ 11.02

4 %

8 %

Tangible book value per common share(1)

$ 11.19

$ 10.75

$ 10.61

$ 10.54

$ 10.21

4 %

10 %

Loan Originations (in millions)(5):

Total loan originations

$ 1,913

$ 1,813

$ 1,646

$ 1,630

$ 1,508

6 %

27 %

Marketplace loans

$ 1,403

$ 1,477

$ 1,361

$ 1,432

$ 1,182

(5) %

19 %

Loan originations held for investment

$ 510

$ 336

$ 285

$ 198

$ 326

52 %

56 %

Loan originations held for investment as a % of total loan originations

27 %

19 %

17 %

12 %

22 %

Servicing Portfolio AUM (in millions)(6):

Total servicing portfolio

$ 12,674

$ 12,999

$ 13,437

$ 14,122

$ 14,818

(3) %

(14) %

Loans serviced for others

$ 7,028

$ 8,337

$ 8,671

$ 9,336

$ 9,601

(16) %

(27) %

(1)

Represents a non-GAAP financial measure. See “Reconciliation of GAAP to Non-GAAP Financial Measures.”

(2)

Calculated as the ratio of non-interest expense to total net revenue.

(3)

Calculated as annualized net income divided by average equity for the period presented.

(4)

Calculated as annualized net income divided by average total assets for the period presented.

(5)

Includes unsecured personal loans and auto loans only.

(6)

Loans serviced on our platform, which includes unsecured personal loans, auto loans and education and patient finance loans serviced for others and held for investment by the company.

LENDINGCLUB CORPORATION

OPERATING HIGHLIGHTS (Continued)

(In thousands, except percentages or as noted)

(Unaudited)

As of and for the three months ended

% Change

September 30,
2024

June 30,
2024

March 31,

2024

December 31,

2023

September 30,
2023

Q/Q

Y/Y

Balance Sheet Data:

Securities available for sale

$ 3,311,418

$ 2,814,383

$ 2,228,500

$ 1,620,262

$ 795,669

18 %

316 %

Loans held for sale at fair value

$ 849,967

$ 791,059

$ 550,415

$ 407,773

$ 362,789

7 %

134 %

Loans and leases held for investment at amortized cost

$ 4,108,329

$ 4,228,391

$ 4,505,816

$ 4,850,302

$ 5,237,277

(3) %

(22) %

Gross allowance for loan and lease losses (1)

$ (274,538)

$ (285,368)

$ (311,794)

$ (355,773)

$ (388,156)

(4) %

(29) %

Recovery asset value (2)

$ 53,974

$ 56,459

$ 52,644

$ 45,386

$ 37,661

(4) %

43 %

Allowance for loan and lease losses

$ (220,564)

$ (228,909)

$ (259,150)

$ (310,387)

$ (350,495)

(4) %

(37) %

Loans and leases held for investment at amortized cost, net

$ 3,887,765

$ 3,999,482

$ 4,246,666

$ 4,539,915

$ 4,886,782

(3) %

(20) %

Loans held for investment at fair value (3)(4)

$ 1,287,495

$ 339,222

$ 427,396

$ 272,678

$ 344,417

280 %

274 %

Total loans and leases held for investment (3)(4)

$ 5,175,260

$ 4,338,704

$ 4,674,062

$ 4,812,593

$ 5,231,199

19 %

(1) %

Whole loans held on balance sheet (4)(5)

$ 6,025,227

$ 5,129,763

$ 5,224,477

$ 5,220,366

$ 5,593,988

17 %

8 %

Total assets

$ 11,037,507

$ 9,586,050

$ 9,244,828

$ 8,827,463

$ 8,472,351

15 %

30 %

Total deposits

$ 9,459,608

$ 8,095,328

$ 7,521,655

$ 7,333,486

$ 7,000,263

17 %

35 %

Total liabilities

$ 9,694,612

$ 8,298,105

$ 7,978,542

$ 7,575,641

$ 7,264,132

17 %

33 %

Total equity

$ 1,342,895

$ 1,287,945

$ 1,266,286

$ 1,251,822

$ 1,208,219

4 %

11 %

(1)

Represents the allowance for future estimated net charge-offs on existing portfolio balances.

(2)

Represents the negative allowance for expected recoveries of amounts previously charged-off.

(3)

Beginning in the first quarter of 2024, “Retail and certificate loans held for investment at fair value” were combined within “Loans held for investment at fair value.” Prior period amounts have been reclassified to conform to the current period presentation.

(4)

The balance at September 30, 2024 includes a $1.3 billion loan outstanding principal portfolio that was acquired during the third quarter of 2024.

(5)

Includes loans held for sale at fair value, loans and leases held for investment at amortized cost, net of allowance for loan and lease losses, and loans held for investment at fair value.

The asset quality metrics presented in the following table are for loans and leases held for investment at amortized cost and do not reflect loans held for investment at fair value:

As of and for the three months ended

September 30,
2024

June 30,
2024

March 31,
2024

December 31,
2023

September 30,
2023

Asset Quality Metrics (1):

Allowance for loan and lease losses to total loans
and leases held for investment at amortized cost

5.4 %

5.8 %

6.4 %

6.7 %

Allowance for loan and lease losses to commercial
loans and leases held for investment at amortized cost

3.1 %

2.7 %

1.9 %

1.8 %

2.0 %

Allowance for loan and lease losses to consumer
loans and leases held for investment at amortized cost

5.8 %

5.9 %

6.4 %

7.2 %

7.4 %

Gross allowance for loan and lease losses to consumer
loans and leases held for investment at amortized cost

7.3 %

7.5 %

7.8 %

8.3 %

8.2 %

Net charge-offs

$ 55,805

$ 66,818

$ 80,483

$ 82,511

$ 68,795

Net charge-off ratio (2)

5.4 %

6.2 %

6.9 %

6.6 %

5.1 %

(1)

Calculated as ALLL or gross ALLL, where applicable, to the corresponding portfolio segment balance of loans and leases held for investment at amortized cost.

(2)

Net charge-off ratio is calculated as annualized net charge-offs divided by average outstanding loans and leases held for investment during the period.

LENDINGCLUB CORPORATION

LOANS AND LEASES HELD FOR INVESTMENT

(In thousands)

(Unaudited)

The following table presents loans and leases held for investment at amortized cost and loans held for investment at fair value:

September 30,
2024

December 31,
2023

Unsecured personal

$ 3,068,078

$ 3,726,830

Residential mortgages

175,345

183,050

Secured consumer

239,206

250,039

Total consumer loans held for investment

3,482,629

4,159,919

Equipment finance (1)

74,674

110,992

Commercial real estate

371,796

380,322

Commercial and industrial

179,230

199,069

Total commercial loans and leases held for investment

625,700

690,383

Total loans and leases held for investment at amortized cost

4,108,329

4,850,302

Allowance for loan and lease losses

(220,564)

(310,387)

Loans and leases held for investment at amortized cost, net

$ 3,887,765

$ 4,539,915

Loans held for investment at fair value (2)(3)

1,287,495

272,678

Total loans and leases held for investment (3)

$ 5,175,260

$ 4,812,593

(1)

Comprised of sales-type leases for equipment.

(2)

Beginning in the first quarter of 2024, “Retail and certificate loans held for investment at fair value” were combined within “Loans held for investment at fair value.” Prior period amount has been reclassified to conform to the current period presentation.

(3)

The balance at September 30, 2024 includes a $1.3 billion loan outstanding principal portfolio that was acquired during the third quarter of 2024.

LENDINGCLUB CORPORATION

ALLOWANCE FOR LOAN AND LEASE LOSSES

(In thousands)

(Unaudited)

The following table presents the components of the allowance for loan and lease losses on loans and leases held for investment at amortized cost:

September 30, 2024

December 31, 2023

Gross allowance for loan and lease losses (1)

$ 274,538

$ 355,773

Recovery asset value (2)

(53,974)

(45,386)

Allowance for loan and lease losses

$ 220,564

$ 310,387

(1)

Represents the allowance for future estimated net charge-offs on existing portfolio balances.

(2)

Represents the negative allowance for expected recoveries of amounts previously charged-off.

The following tables present the allowance for loan and lease losses on loans and leases held for investment at amortized cost and do not reflect loans held for investment at fair value:

Three Months Ended

September 30, 2024

June 30, 2024

Consumer

Commercial

Total

Consumer

Commercial

Total

Allowance for loan and lease losses, beginning of period

$ 210,729

$ 18,180

$ 228,909

$ 246,280

$ 12,870

$ 259,150

Credit loss expense for loans and leases held for investment

45,813

1,647

47,460

30,760

5,817

36,577

Charge-offs

(68,388)

(721)

(69,109)

(77,494)

(594)

(78,088)

Recoveries

12,745

559

13,304

11,183

11,270

Allowance for loan and lease losses, end of period

$ 200,899

$ 19,665

$ 220,564

$ 210,729

$ 18,180

$ 228,909

Three Months Ended

September 30, 2023

Consumer

Commercial

Total

Allowance for loan and lease losses, beginning of period

$ 341,161

$ 14,002

$ 355,163

Credit loss expense for loans and leases held for investment

63,733

394

64,127

Charge-offs

(73,644)

(534)

(74,178)

Recoveries

5,038

345

5,383

Allowance for loan and lease losses, end of period

$ 336,288

$ 14,207

$ 350,495

LENDINGCLUB CORPORATION

PAST DUE LOANS AND LEASES HELD FOR INVESTMENT

(In thousands)

(Unaudited)

The following tables present past due loans and leases held for investment at amortized cost and do not reflect loans held for investment at fair value:

September 30, 2024

30-59
Days

60-89
Days

90 or More
Days

Total Days
Past Due

Guaranteed
Amount (1)

Unsecured personal

$ 25,749

$ 20,156

$ 22,352

$ 68,257

$ —

Residential mortgages

—

145

167

312

—

Secured consumer

2,283

675

242

3,200

—

Total consumer loans held for investment

$ 28,032

$ 20,976

$ 22,761

$ 71,769

$ —

Equipment finance

$ —

$ 4,850

$ —

Commercial real estate

3,882

678

6,106

10,666

8,681

Commercial and industrial

417

8,207

7,232

15,856

12,347

Total commercial loans and leases held for investment

$ 4,299

$ 8,885

$ 18,188

$ 31,372

$ 21,028

Total loans and leases held for investment at amortized cost

$ 32,331

$ 29,861

$ 40,949

$ 103,141

$ 21,028

December 31, 2023

30-59
Days

60-89
Days

90 or More
Days

Total Days
Past Due

Guaranteed
Amount (1)

Unsecured personal

$ 32,716

$ 29,556

$ 30,132

$ 92,404

$ —

Residential mortgages

1,751

—

1,751

—

Secured consumer

2,076

635

217

2,928

—

Total consumer loans held for investment

$ 36,543

$ 30,191

$ 30,349

$ 97,083

$ —

Equipment finance

$ 1,265

$ —

$ 1,265

$ —

Commercial real estate

—

3,566

1,618

5,184

4,047

Commercial and industrial

12,261

1,632

1,515

15,408

11,260

Total commercial loans and leases held for investment

$ 13,526

$ 5,198

$ 3,133

$ 21,857

$ 15,307

Total loans and leases held for investment at amortized cost

$ 50,069

$ 35,389

$ 33,482

$ 118,940

$ 15,307

(1)

Represents loan balances guaranteed by the Small Business Association.

LENDINGCLUB CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(In thousands, except share and per share data)

(Unaudited)

Three Months Ended

Change (%)

September 30,
2024

June 30,
2024

September 30,
2023

Q3 2024

Q2 2024

Q3 2024

Q3 2023

Non-interest income:

Origination fees

$ 71,465

$ 77,131

$ 60,912

(7) %

17 %

Servicing fees

8,081

19,869

32,768

(59) %

(75) %

Gain on sales of loans

12,433

10,748

8,572

16 %

45 %

Net fair value adjustments

(33,595)

(51,395)

(41,366)

(35) %

(19) %

Marketplace revenue

58,384

56,353

60,886

4 %

(4) %

Other non-interest income

3,256

2,360

2,958

38 %

10 %

Total non-interest income

61,640

58,713

63,844

5 %

(3) %

Total interest income

240,377

219,634

207,412

9 %

16 %

Total interest expense

100,136

91,106

70,407

10 %

42 %

Net interest income

140,241

128,528

137,005

9 %

2 %

Total net revenue

201,881

187,241

200,849

8 %

1 %

Provision for credit losses

47,541

35,561

64,479

34 %

(26) %

Non-interest expense:

Compensation and benefits

57,408

56,540

58,497

2 %

(2) %

Marketing

26,186

26,665

19,555

(2) %

34 %

Equipment and software

12,789

12,360

12,631

3 %

1 %

Depreciation and amortization

13,341

13,072

11,250

2 %

19 %

Professional services

8,014

7,804

8,414

3 %

(5) %

Occupancy

4,005

3,941

4,612

2 %

(13) %

Other non-interest expense

14,589

11,876

13,076

23 %

12 %

Total non-interest expense

136,332

132,258

128,035

3 %

6 %

Income before income tax expense

18,008

19,422

8,335

(7) %

116 %

Income tax expense

(3,551)

(4,519)

(3,327)

(21) %

7 %

Net income

$ 14,457

$ 14,903

$ 5,008

(3) %

189 %

Net income per share:

Basic EPS

$ 0.13

$ 0.05

— %

160 %

Diluted EPS

$ 0.13

$ 0.05

— %

160 %

Weighted-average common shares – Basic

112,042,202

111,395,025

109,071,180

1 %

3 %

Weighted-average common shares – Diluted

113,922,256

111,466,497

109,073,194

2 %

4 %

LENDINGCLUB CORPORATION

NET INTEREST INCOME

(In thousands, except percentages or as noted)

(Unaudited)

Consolidated LendingClub Corporation (1)

Three Months Ended

September 30, 2024

Three Months Ended

June 30, 2024

Three Months Ended

September 30, 2023

Average
Balance

Interest
Income/
Expense

Average
Yield/
Rate

Average
Balance

Interest
Income/
Expense

Average
Yield/
Rate

Average
Balance

Interest
Income/
Expense

Average
Yield/
Rate

Interest-earning assets (2)

Cash, cash equivalents, restricted cash and other

$ 939,611

$ 12,442

5.30 %

$ 976,330

$ 13,168

5.40 %

$ 1,249,087

$ 16,798

5.38 %

Securities available for sale at fair value

3,047,305

52,476

6.89 %

2,406,767

42,879

7.13 %

601,512

9,467

6.30 %

Loans held for sale at fair value

899,434

30,326

13.49 %

838,143

26,721

12.75 %

286,111

9,582

13.40 %

Loans and leases held for investment:

Unsecured personal loans

3,045,150

103,291

13.57 %

3,243,161

108,425

13.37 %

4,257,360

142,118

13.35 %

Commercial and other consumer loans

1,057,688

15,497

5.86 %

1,097,846

16,394

5.97 %

1,147,130

16,842

5.87 %

Loans and leases held for investment at amortized cost

4,102,838

118,788

11.58 %

4,341,007

124,819

11.50 %

5,404,490

158,960

11.76 %

Loans held for investment at fair value (3)(4)

972,698

26,345

10.83 %

383,872

12,047

12.55 %

385,148

12,605

13.09 %

Total loans and leases held for investment (3)(4)

5,075,536

145,133

11.44 %

4,724,879

136,866

11.59 %

5,789,638

171,565

11.85 %

Total interest-earning assets

9,961,886

240,377

9.65 %

8,946,119

219,634

9.82 %

7,926,348

207,412

10.47 %

Cash and due from banks and restricted cash

41,147

55,906

69,442

Allowance for loan and lease losses

(225,968)

(245,478)

(354,263)

Other non-interest earning assets

624,198

632,253

691,641

Total assets

$ 10,401,263

$ 9,388,800

$ 8,333,168

Interest-bearing liabilities

Interest-bearing deposits:

Checking and money market accounts

$ 1,092,376

$ 10,146

3.70 %

$ 1,097,696

$ 10,084

3.69 %

$ 1,271,720

$ 9,541

2.98 %

Savings accounts and certificates of deposit

6,944,586

86,717

4.97 %

6,449,061

80,109

5.00 %

5,357,717

59,968

4.44 %

Interest-bearing deposits

8,036,962

96,863

4.79 %

7,546,757

90,193

4.81 %

6,629,437

69,509

4.16 %

Other interest-bearing liabilities (3)

486,736

3,273

2.69 %

56,628

913

6.45 %

35,878

898

10.03 %

Total interest-bearing liabilities

8,523,698

100,136

4.67 %

7,603,385

91,106

4.82 %

6,665,315

70,407

4.19 %

Non-interest bearing deposits

344,577

303,199

183,728

Other liabilities

225,467

215,608

271,118

Total liabilities

$ 9,093,742

$ 8,122,192

$ 7,120,161

Total equity

$ 1,307,521

$ 1,266,608

$ 1,213,007

Total liabilities and equity

$ 10,401,263

$ 9,388,800

$ 8,333,168

Interest rate spread

4.98 %

5.00 %

6.28 %

Net interest income and net interest margin

$ 140,241

5.63 %

$ 128,528

5.75 %

$ 137,005

6.91 %

(1)

Consolidated presentation reflects intercompany eliminations.

(2)

Nonaccrual loans and any related income are included in their respective loan categories.

(3)

Beginning in the first quarter of 2024, “Retail and certificate loans held for investment at fair value” were combined within “Loans held for investment at fair value” and “Retail notes and certificates at fair value” were combined within “Other interest-bearing liabilities.” Prior period amounts have been reclassified to conform to the current period presentation.

(4)

The average balance for the third quarter of 2024 includes a $1.3 billion loan outstanding principal portfolio that was acquired during the quarter.

LENDINGCLUB CORPORATION

CONSOLIDATED BALANCE SHEETS

(In Thousands, Except Share and Per Share Amounts)

(Unaudited)

September 30,
2024

December 31,
2023

Assets

Cash and due from banks

$ 25,558

$ 14,993

Interest-bearing deposits in banks

991,372

1,237,511

Total cash and cash equivalents

1,016,930

1,252,504

Restricted cash

33,347

41,644

Securities available for sale at fair value ($3,319,988 and $1,663,990 at amortized cost, respectively)

3,311,418

1,620,262

Loans held for sale at fair value

849,967

407,773

Loans and leases held for investment

4,108,329

4,850,302

Allowance for loan and lease losses

(220,564)

(310,387)

Loans and leases held for investment, net

3,887,765

4,539,915

Loans held for investment at fair value (1)(2)

1,287,495

272,678

Property, equipment and software, net

167,809

161,517

Goodwill

75,717

Other assets

407,059

455,453

Total assets

$ 11,037,507

$ 8,827,463

Liabilities and Equity

Deposits:

Interest-bearing

$ 9,099,092

$ 7,001,680

Noninterest-bearing

360,516

331,806

Total deposits

9,459,608

7,333,486

Borrowings (1)

2,683

19,354

Other liabilities

232,321

222,801

Total liabilities

9,694,612

7,575,641

Equity

Common stock, $0.01 par value; 180,000,000 shares authorized; 112,401,990 and 110,410,602 shares issued and outstanding, respectively

1,124

1,104

Additional paid-in capital

1,692,538

1,669,828

Accumulated deficit

(347,196)

(388,806)

Accumulated other comprehensive loss

(3,571)

(30,304)

Total equity

1,342,895

1,251,822

Total liabilities and equity

$ 11,037,507

$ 8,827,463

(1)

Beginning in the first quarter of 2024, “Retail and certificate loans held for investment at fair value” were combined within “Loans held for investment at fair value” and “Retail notes and certificates at fair value” were combined within “Borrowings.” Prior period amounts have been reclassified to conform to the current period presentation.

(2)

The balance at September 30, 2024 includes a $1.3 billion loan outstanding principal portfolio that was acquired during the third quarter of 2024.

LENDINGCLUB CORPORATION

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES

(In thousands, except share and per share data)

(Unaudited)

Pre-Provision Net Revenue

For the three months ended

September 30,
2024

June 30,

2024

March 31,

2024

December 31,

2023

September 30,
2023

GAAP Net income

$ 14,457

$ 14,903

$ 12,250

$ 10,155

$ 5,008

Less: Provision for credit losses

(47,541)

(35,561)

(31,927)

(41,907)

(64,479)

Less: Income tax expense

(3,551)

(4,519)

(4,278)

(3,529)

(3,327)

Pre-provision net revenue

$ 65,549

$ 54,983

$ 48,455

$ 55,591

$ 72,814

For the three months ended

September 30,
2024

June 30,

2024

March 31,

2024

December 31,

2023

September 30,
2023

Non-interest income

$ 61,640

$ 58,713

$ 57,800

$ 54,129

$ 63,844

Net interest income

140,241

128,528

122,888

131,477

137,005

Total net revenue

201,881

187,241

180,688

185,606

200,849

Non-interest expense

(136,332)

(132,258)

(132,233)

(130,015)

(128,035)

Pre-provision net revenue

65,549

54,983

48,455

55,591

72,814

Provision for credit losses

(47,541)

(35,561)

(31,927)

(41,907)

(64,479)

Income before income tax expense

18,008

19,422

16,528

13,684

8,335

Income tax expense

(3,551)

(4,519)

(4,278)

(3,529)

(3,327)

GAAP Net income

$ 14,457

$ 14,903

$ 12,250

$ 10,155

$ 5,008

Tangible Book Value Per Common Share

September 30,
2024

June 30,

2024

March 31,

2024

December 31,

2023

September 30,
2023

GAAP common equity

$ 1,342,895

$ 1,287,945

$ 1,266,286

$ 1,251,822

$ 1,208,219

Less: Goodwill

(75,717)

Less: Intangible assets

(9,439)

(10,293)

(11,165)

(12,135)

(13,151)

Tangible common equity

$ 1,257,739

$ 1,201,935

$ 1,179,404

$ 1,163,970

$ 1,119,351

Book value per common share

GAAP common equity

$ 1,342,895

$ 1,287,945

$ 1,266,286

$ 1,251,822

$ 1,208,219

Common shares issued and outstanding

112,401,990

111,812,215

111,120,415

110,410,602

109,648,769

Book value per common share

$ 11.95

$ 11.52

$ 11.40

$ 11.34

$ 11.02

Tangible book value per common share

Tangible common equity

$ 1,257,739

$ 1,201,935

$ 1,179,404

$ 1,163,970

$ 1,119,351

Common shares issued and outstanding

112,401,990

111,812,215

111,120,415

110,410,602

109,648,769

Tangible book value per common share

$ 11.19

$ 10.75

$ 10.61

$ 10.54

$ 10.21

View original content to download multimedia:https://www.prnewswire.com/news-releases/lendingclub-reports-third-quarter-2024-results-302285005.html

SOURCE LendingClub Corporation

Technology

eSign.AI Named Sole Electronic Signature Technology Provider for Hong Kong Government’s CorpID Project, Building the Foundation for Digital Signing Infrastructure in Hong Kong

Published

7 hours ago

May 8, 2026

HONG KONG, May 8, 2026 /PRNewswire/ — As Hong Kong’s Digital Corporate Identity Platform (CorpID) counts down to its phased launch, eSign.AI has been appointed as the sole electronic signature vendor in the project, responsible for delivering core digital signing capabilities including digital signatures, certificate management, and signature verification services. CorpID is led by Nexify, a seasoned government systems integrator, as the prime contractor. The platform is expected to launch in phases starting late 2026, with multiple CorpID-based e-government services going live in mid-2027.

CorpID: Government-Grade Digital Identity Infrastructure for Hong Kong Enterprises

The Digital Corporate Identity Platform (CorpID) is an enterprise-level digital services platform launched by the Hong Kong SAR Government, developed under the oversight of the Digital Policy Office (DPO). It is designed to serve as the business equivalent of “iAM Smart,” providing a unified digital identity foundation for Hong Kong enterprises. CorpID’s core mission is to build an integrated digital government infrastructure — offering unified identity authentication, digital signing, form pre-filling, and e-licence storage — replacing paper-heavy, cumbersome traditional processes and enabling smart city development through seamless data connectivity.

The platform is open to companies incorporated under the Companies Ordinance (Cap. 622) and businesses registered under the Business Registration Ordinance (Cap. 310), including sole proprietorships and partnerships. The DPO requires all enterprise-related e-government services to support CorpID within 18 months of launch, and will continue expanding ecosystem coverage through sandbox initiatives, cross-industry identity standard interoperability, and fully online registration processes.

eSign.AI: The Digital Signing Engine Behind CorpID

eSign.AI is an AI-native electronic signature and contract automation platform built for enterprises worldwide, offering a complete signing framework from simple electronic signatures to the highest-level compliant digital signatures — meeting diverse regulatory requirements across industries and jurisdictions.

On the identity verification front, eSign.AI has completed integration with iAM Smart, enabling individual identity verification through Hong Kong’s citizen digital identity system, and providing legally valid digital certificate services for both enterprises and individuals.

Looking ahead, the eSign.AI SaaS platform will be deeply integrated with CorpID, providing enterprise and individual identity verification for Hong Kong businesses, and supporting both electronic and digital signing that complies with Hong Kong’s Electronic Transactions Ordinance — connecting the full digital contracting lifecycle for government and enterprise alike.

Getting Ahead of the AI Era: From eSignGlobal to eSign.AI

The electronic signature industry is undergoing a structural shift from “tooling” to “intelligence.” Market data underscores this acceleration: the AI-powered contract analysis tools market has grown from USD 3.32 billion in 2025 to USD 4.3 billion in 2026, at a CAGR of 29.6%. Signing is just one node in the contract lifecycle — document generation, workflow orchestration, compliance tracking, and post-execution management are all being transformed by AI, and the industry window is closing fast.

In April 2026, the company officially rebranded from eSignGlobal to eSign.AI, completing its strategic transformation from an e-signature tool provider to an AI-native contract automation platform. As the company’s spokesperson noted, this rebrand is not cosmetic — it is an acknowledgment of where the product actually is. Customers were already using eSign.AI to automate workflows that go far beyond the signature itself.

eSign Automation Skill was launched alongside the rebrand — an AI-powered signing automation framework for enterprise workflows that enables complete contract signing through natural language interaction, with no manual intervention required. Whether it is single-party approval, multi-party sequential signing, or large-scale parallel execution, an AI Agent can orchestrate the entire workflow in a single call. All signature initiations and status queries return structured JSON outputs, directly parseable by leading large language models and intelligent workflow systems.

eSign Automation is now available in the OpenClaw ecosystem and supports integration via Claude MCP, ChatGPT, and other leading AI platforms.

By combining AI automation capabilities with CorpID’s government-grade digital identity infrastructure, eSign.AI delivers a complete solution for Hong Kong enterprises — from identity verification to intelligent signing to full workflow automation.

About eSign.AI

eSign.AI (formerly eSignGlobal) is an AI-native electronic signature and contract automation platform built for enterprises worldwide. The platform serves over 100 countries and regions, covering core industries including financial services, manufacturing, real estate, human resources, and healthcare — with 1,500+ scenario applications and 3,000+ ecosystem partners. eSign.AI holds ISO 27001, ISO 27701, and ISO 27018 certifications and supports major regulatory frameworks including the U.S. ESIGN Act / UETA, EU eIDAS, HIPAA, GDPR, and 21 CFR Part 11. Infrastructure is anchored by independent data centers in Hong Kong, Singapore, and Frankfurt, Germany.

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SOURCE eSignGlobal

Technology

The 9th AskGamblers Awards Finalists Announced as Voting Starts

Published

7 hours ago

May 8, 2026

The highly anticipated 9th AskGamblers Awards has officially moved into the voting phase. Following a rigorous selection process, the finalists across 5 premier categories have been revealed: Best Casino, Best New Casino, Best New Slot, Best Sportsbook, Best Provider. Players are invited to cast their votes until 11 June.

BELGRADE, Serbia, May 8, 2026 /PRNewswire/ — The voting stage of the 9th annual AskGamblers Awards has officially begun. The list of finalists is announced, and the first votes are already coming in.

Players will have a chance to vote for their favourites until 11 June, when the winners will be announced at the gala ceremony in Belgrade. There’s a total of 5 categories where popular votes are taken into consideration:

Best CasinoBest New CasinoBest SportsbookBest New SlotBest Game Provider

There aren’t any big changes to the voting process compared to last year. The votes from the prominent members of AskGamblers Forum will be counted in as well, while some award winners will be announced directly by the AskGamblers teams.

These include: Best Crypto Casino, Best Partner, and Best Manager categories, while the AskGamblers Superstar Award is expected to be handed to the operator that illustrates the brand values best.

Dijana Radunović, General Manager at AskGamblers, is excited for voting to start: “We’re seeing some familiar contestants, but there are a lot of new names, so it will be exciting to see who comes up on top.”

“We invite players to vote for their favourites! This is a chance for you to speak your mind and support operators and games that shape this industry,” Radunović added.

Before the AskGamblers Awards Ceremony that takes place on 11 June, Charity Night is scheduled for 10 June.

About AskGamblers

AskGamblers.com strives to provide current, objective, and accurate information and guide its users towards a safe gaming experience. The way we deliver our services, from the online casino, sportsbook, slot, and bonus reviews to our trusted Complaint Service, is best described by our motto: ‘Get the truth. Then play.’

For more information about AskGamblers and AskGamblers Awards, please contact dijana.radunovic@g2m.com.

This information was brought to you by Cision http://news.cision.com

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Technology

SUNMI Wins 2026 Red Dot Design Awards with Five Products, Leading Global Commercial Industrial Design

Published

7 hours ago

May 8, 2026

SINGAPORE, May 8, 2026 /PRNewswire/ — The winners of the 2026 German Red Dot Design Award were officially announced. Five of SUNMI Technology’s flagship products won awards: the CPad Business Tablet, CPad PAY, FLEX 3 Interactive Display, the V3 handheld POS Terminal and L3 Industrial PDA. These products stood out with three core design concepts: integration, versatility and human-centricity.

Known as “The Oscars” of global industrial design, the Red Dot Award has strict evaluation criteria covering aesthetics, ergonomics, scenario adaptability and sustainability. SUNMI adheres to original commercial scenario customization, rejecting crudely modified consumer devices. All winning products are originally developed for real commercial scenarios such as cash register, food delivery, industrial inspection and store operations, covering the entire commercial track with high scenario adaptability. Meanwhile, it practices ESG concepts, adopting eco-friendly materials and modular structures to extend equipment service life, reduce consumable consumption, and implement low-carbon and long-term design, which perfectly meets the Red Dot’s sustainability evaluation criteria.

Simplify Complexity: With highly integrated design, SUNMI eliminates the “patchwork feeling” of cluttered devices and tangled cables in traditional commercial scenarios, streamlining store operations and saving space.All-in-One Versatility: Beyond a single tool function, SUNMI’s products achieve flexible transformation through modular and multi-form designs to proactively adapt to changing business needs. The CPad series with modular accessories and FLEX 3’s Lego-style modular design enable multi-scenario application and long-term reuse.Human-Centric Design: Every detail is human-oriented, focusing on real pain points to enhance scenario experience. The L3 Industrial PDA reduces high-frequency work fatigue through scientific weight distribution; the V3 Smart POS Terminal balances large-screen visibility and grip comfort; CPad PAY integrates full-link functions to simplify workflows.

These honors stem from SUNMI’s long-term commitment to a sustainable society, original commercial R&D and ESG. In the future, SUNMI will uphold its core concepts, expand the boundaries of commercial industrial design, and empower global businesses with user-oriented, eco-friendly and high-value products.

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