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LendingClub Reports Second Quarter 2024 Results

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2 years ago

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10% Sequential Originations Growth

Strong Balance Sheet Growth with Stable Net Interest Margin Drives Increase in Revenue

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

“Our second quarter results mark an inflection point, with our business calibrated to the current rate environment and positioned to accelerate as conditions improve,” said Scott Sanborn, LendingClub CEO. “Thanks to our unique product innovations, we were able to capture strong borrower and marketplace investor demand, delivering growth in originations, revenue, and profitability. I look forward to building on our momentum in the quarters ahead.”

Second Quarter 2024 Results

Balance Sheet:

Total assets of $9.6 billion compared to $9.2 billion in the prior quarter, primarily due to growth in securities related to the structured certificates program and growth in the extended seasoning portfolio.Securities available for sale of $2.8 billion, compared to $2.2 billion in the prior quarter, primarily reflecting growth in the structured certificates program.Whole loans held on the balance sheet of $5.1 billion, which consists of loans and leases held for investment and loans held for sale, were roughly flat compared to the prior quarter.Deposits of $8.1 billion compared to $7.5 billion in the prior quarter, primarily due to an increase in high-yield savings and certificates of deposit.87% of total deposits are FDIC-insured.Strong liquidity profile with $3.0 billion in readily available liquidity.Strong capital position with a consolidated Tier 1 leverage ratio of 12.1% and consolidated Common Equity Tier 1 capital ratio of 17.9%.Book value per common share increased to $11.52, compared to $11.40 in the prior quarter.Tangible book value per common share increased to $10.75, compared to $10.61 in the prior quarter.

Financial Performance:

Loan originations of $1.8 billion, compared to $1.6 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 of $187.2 million, compared to $180.7 million in the prior quarter, driven by:Marketplace revenue of $56.4 million, compared to $55.9 million in the prior quarter, primarily reflecting higher marketplace loan originations and improved loan sale pricing partially offset by the expected fair value adjustments on the maturing Held for Sale portfolio.Net interest income of $128.5 million, compared to $122.9 million in the prior quarter, primarily reflecting growth in total interest-earning assets at a stable net interest margin of 5.75%.Provision for credit losses of $35.6 million, compared to $31.9 million in the prior quarter.Net income increased to $14.9 million, with diluted EPS of $0.13, compared to $12.3 million, with diluted EPS of $0.11, in the prior quarter. The increase was primarily driven by higher net interest income from growth in the balance sheet.Pre-Provision Net Revenue (PPNR) of $55.0 million, compared to $48.5 million in the prior quarter, primarily driven by higher total net revenue while maintaining stable expenses.

Three Months Ended

($ in millions, except per share amounts)

June 30,
2024

March 31,
2024

June 30,
2023

Total net revenue

$              187.2

$              180.7

$              232.5

Non-interest expense

132.3

132.2

151.1

Pre-provision net revenue (1)

55.0

48.5

81.4

Provision for credit losses

35.6

31.9

66.6

Income before income tax expense

19.4

16.5

14.8

Income tax expense

(4.5)

(4.3)

(4.7)

Net income

$                14.9

$                12.3

$                10.1

Diluted EPS

$                0.13

$                0.11

$                0.09

(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

Third Quarter 2024

Loan originations

$1.8B to $1.9B

Pre-provision net revenue (PPNR)

$40M to $50M

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 4.9 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 second quarter 2024 webcast and teleconference is scheduled to begin at 2:00 p.m. Pacific Time (or 5:00 p.m. Eastern Time) on Tuesday, July 30, 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 895739, 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 August 6, 2024, by calling +1 (929) 458-6194 or outside the U.S. +1 (866) 813-9403, with Access Code 305717. 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 14 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

June 30,
2024

March 31,
2024

December 31,

2023

September 30,

2023

June 30,
2023

Q/Q

Y/Y

Operating Highlights:

Non-interest income

$     58,713

$       57,800

$         54,129

$          63,844

$     85,818

2 %

(32) %

Net interest income

128,528

122,888

131,477

137,005

146,652

5 %

(12) %

Total net revenue

187,241

180,688

185,606

200,849

232,470

4 %

(19) %

Non-interest expense

132,258

132,233

130,015

128,035

151,079

0 %

(12) %

Pre-provision net revenue(1)

54,983

48,455

55,591

72,814

81,391

13 %

(32) %

Provision for credit losses

35,561

31,927

41,907

64,479

66,595

11 %

(47) %

Income before income tax expense

19,422

16,528

13,684

8,335

14,796

18 %

31 %

Income tax expense

(4,519)

(4,278)

(3,529)

(3,327)

(4,686)

6 %

(4) %

Net income

$     14,903

$       12,250

$         10,155

$            5,008

$     10,110

22 %

47 %

Basic EPS

$         0.13

$           0.11

$             0.09

$              0.05

$         0.09

18 %

44 %

Diluted EPS

$         0.13

$           0.11

$             0.09

$              0.05

$         0.09

18 %

44 %

LendingClub Corporation Performance Metrics:

Net interest margin

5.75 %

5.75 %

6.40 %

6.91 %

7.09 %

Efficiency ratio(2)

70.6 %

73.2 %

70.0 %

63.7 %

65.0 %

Return on average equity (ROE)(3)

4.7 %

3.9 %

3.3 %

1.7 %

3.4 %

Return on average total assets (ROA)(4)

0.6 %

0.5 %

0.5 %

0.2 %

0.5 %

Marketing expense as a % of loan originations

1.47 %

1.47 %

1.44 %

1.30 %

1.19 %

LendingClub Corporation Capital Metrics:

Common equity Tier 1 capital ratio

17.9 %

17.6 %

17.9 %

16.9 %

16.1 %

Tier 1 leverage ratio

12.1 %

12.5 %

12.9 %

13.2 %

12.4 %

Book value per common share

$       11.52

$         11.40

$           11.34

$            11.02

$       11.09

1 %

4 %

Tangible book value per common share(1)

$       10.75

$         10.61

$           10.54

$            10.21

$       10.26

1 %

5 %

Loan Originations (in millions)(5):

Total loan originations

$       1,813

$         1,646

$           1,630

$            1,508

$       2,011

10 %

(10) %

Marketplace loans

$       1,477

$         1,361

$           1,432

$            1,182

$       1,353

9 %

9 %

Loan originations held for investment

$          336

$            285

$              198

$               326

$          657

18 %

(49) %

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

19 %

17 %

12 %

22 %

33 %

Servicing Portfolio AUM (in millions)(6):

Total servicing portfolio

$     12,999

$       13,437

$         14,122

$           14,818

$     15,669

(3) %

(17) %

Loans serviced for others

$       8,337

$         8,671

$           9,336

$             9,601

$     10,204

(4) %

(18) %

(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

June 30,
2024

March 31,
2024

December 31,

2023

September 30,

2023

June 30,
2023

Q/Q

Y/Y

Balance Sheet Data:

Securities available for sale

$  2,814,383

$      2,228,500

$       1,620,262

$             795,669

$     523,579

26 %

438 %

Loans held for sale at fair value

$     791,059

$         550,415

$          407,773

$             362,789

$     250,361

44 %

216 %

Loans and leases held for investment at amortized cost

$  4,228,391

$      4,505,816

$       4,850,302

$          5,237,277

$  5,533,349

(6) %

(24) %

Gross allowance for loan and lease losses (1)

$    (285,368)

$        (311,794)

$         (355,773)

$            (388,156)

$    (383,960)

(8) %

(26) %

Recovery asset value (2)

$       56,459

$           52,644

$            45,386

$               37,661

$       28,797

7 %

96 %

Allowance for loan and lease losses

$    (228,909)

$        (259,150)

$         (310,387)

$            (350,495)

$    (355,163)

(12) %

(36) %

Loans and leases held for investment at amortized cost, net

$  3,999,482

$      4,246,666

$       4,539,915

$          4,886,782

$  5,178,186

(6) %

(23) %

Loans held for investment at fair value (3)

$     339,222

$         427,396

$          272,678

$             344,417

$     430,956

(21) %

(21) %

Total loans and leases held for investment (3)

$  4,338,704

$      4,674,062

$       4,812,593

$          5,231,199

$  5,609,142

(7) %

(23) %

Whole loans held on balance sheet (4)

$  5,129,763

$      5,224,477

$       5,220,366

$          5,593,988

$  5,859,503

(2) %

(12) %

Total assets

$  9,586,050

$      9,244,828

$       8,827,463

$          8,472,351

$  8,342,506

4 %

15 %

Total deposits

$  8,095,328

$      7,521,655

$       7,333,486

$          7,000,263

$  6,843,535

8 %

18 %

Total liabilities

$  8,298,105

$      7,978,542

$       7,575,641

$          7,264,132

$  7,136,983

4 %

16 %

Total equity

$  1,287,945

$      1,266,286

$       1,251,822

$          1,208,219

$  1,205,523

2 %

7 %

(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)   

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

June 30,
2024

March 31,
2024

December 31,
2023

September 30,
2023

June 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 %

6.4 %

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

2.7 %

1.9 %

1.8 %

2.0 %

1.9 %

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

5.9 %

6.4 %

7.2 %

7.4 %

7.1 %

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

7.5 %

7.8 %

8.3 %

8.2 %

7.7 %

Net charge-offs

$          66,818

$          80,483

$          82,511

$          68,795

$          59,884

Net charge-off ratio (2)

6.2 %

6.9 %

6.6 %

5.1 %

4.4 %

(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:

June 30,
2024

December 31,
2023

Unsecured personal

$       3,144,504

$       3,726,830

Residential mortgages

178,290

183,050

Secured consumer

244,288

250,039

Total consumer loans held for investment

3,567,082

4,159,919

Equipment finance (1)

83,770

110,992

Commercial real estate

381,873

380,322

Commercial and industrial

195,666

199,069

Total commercial loans and leases held for investment

661,309

690,383

Total loans and leases held for investment at amortized cost

4,228,391

4,850,302

Allowance for loan and lease losses

(228,909)

(310,387)

Loans and leases held for investment at amortized cost, net

$       3,999,482

$       4,539,915

Loans held for investment at fair value (2)

339,222

272,678

Total loans and leases held for investment

$       4,338,704

$       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.

 

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:

June 30, 2024

December 31, 2023

Gross allowance for loan and lease losses (1)

$                285,368

$                355,773

Recovery asset value (2)

(56,459)

(45,386)

Allowance for loan and lease losses

$                228,909

$                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

June 30, 2024

March 31, 2024

Consumer

Commercial

Total

Consumer

Commercial

Total

Allowance for loan and lease losses, beginning of period

$    246,280

$        12,870

$ 259,150

$    298,061

$        12,326

$ 310,387

Credit loss expense for loans and leases held for investment

30,760

5,817

36,577

27,686

1,560

29,246

Charge-offs

(77,494)

(594)

(78,088)

(89,110)

(1,232)

(90,342)

Recoveries

11,183

87

11,270

9,643

216

9,859

Allowance for loan and lease losses, end of period

$    210,729

$        18,180

$ 228,909

$    246,280

$        12,870

$ 259,150

Three Months Ended

June 30, 2023

Consumer

Commercial

Total

Allowance for loan and lease losses, beginning of period

$    333,546

$        15,311

$ 348,857

Credit loss expense (benefit) for loans and leases held for investment

66,874

(684)

66,190

Charge-offs

(63,345)

(924)

(64,269)

Recoveries

4,086

299

4,385

Allowance for loan and lease losses, end of period

$    341,161

$        14,002

$ 355,163

 

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:

June 30, 2024

30-59
Days

60-89
Days

90 or More
Days

Total Days
Past Due

Guaranteed
Amount (1)

Unsecured personal

$      24,837

$      22,869

$      23,825

$             71,531

$                     —

Residential mortgages

—

147

—

147

—

Secured consumer

1,825

622

258

2,705

—

Total consumer loans held for investment

$      26,662

$      23,638

$      24,083

$             74,383

$                     —

Equipment finance

$              18

$              —

$                8

$                     26

$                     —

Commercial real estate

7,422

384

8,569

16,375

10,894

Commercial and industrial

8,715

774

5,869

15,358

12,736

Total commercial loans and leases held for investment

$      16,155

$         1,158

$      14,446

$             31,759

$             23,630

Total loans and leases held for investment at amortized cost

$      42,817

$      24,796

$      38,529

$           106,142

$             23,630

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 (%)

June 30,
2024

March 31,
2024

June 30,
2023

Q2 2024

vs

Q1 2024

Q2 2024

vs

Q2 2023

Non-interest income:

Origination fees

$         77,131

$          70,079

$         70,989

10 %

9 %

Servicing fees

19,869

19,592

22,015

1 %

(10) %

Gain on sales of loans

10,748

10,909

13,221

(1) %

(19) %

Net fair value adjustments

(51,395)

(44,689)

(23,442)

15 %

119 %

Marketplace revenue

56,353

55,891

82,783

1 %

(32) %

Other non-interest income

2,360

1,909

3,035

24 %

(22) %

Total non-interest income

58,713

57,800

85,818

2 %

(32) %

Total interest income

219,634

207,351

214,486

6 %

2 %

Total interest expense

91,106

84,463

67,834

8 %

34 %

Net interest income

128,528

122,888

146,652

5 %

(12) %

Total net revenue

187,241

180,688

232,470

4 %

(19) %

Provision for credit losses

35,561

31,927

66,595

11 %

(47) %

Non-interest expense:

Compensation and benefits

56,540

59,554

71,553

(5) %

(21) %

Marketing

26,665

24,136

23,940

10 %

11 %

Equipment and software

12,360

12,684

13,968

(3) %

(12) %

Depreciation and amortization

13,072

12,673

11,638

3 %

12 %

Professional services

7,804

7,091

9,974

10 %

(22) %

Occupancy

3,941

3,861

4,684

2 %

(16) %

Other non-interest expense

11,876

12,234

15,322

(3) %

(22) %

Total non-interest expense

132,258

132,233

151,079

— %

(12) %

Income before income tax expense

19,422

16,528

14,796

18 %

31 %

Income tax expense

(4,519)

(4,278)

(4,686)

6 %

(4) %

Net income

$         14,903

$          12,250

$         10,110

22 %

47 %

Net income per share: 

Basic EPS

$             0.13

$              0.11

$             0.09

18 %

44 %

Diluted EPS

$             0.13

$              0.11

$             0.09

18 %

44 %

Weighted-average common shares – Basic

111,395,025

110,685,796

107,892,590

1 %

3 %

Weighted-average common shares – Diluted

111,466,497

110,687,380

107,895,072

1 %

3 %

 

LENDINGCLUB CORPORATION

NET INTEREST INCOME

(In thousands, except percentages or as noted)

(Unaudited)

 

Consolidated LendingClub Corporation (1)

Three Months Ended

June 30, 2024

Three Months Ended

March 31, 2024

Three Months Ended

June 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

$    976,330

$  13,168

5.40 %

$ 1,217,395

$   16,503

5.42 %

$ 1,512,700

$  19,134

5.06 %

Securities available for sale at fair value

2,406,767

42,879

7.13 %

1,972,561

35,347

7.17 %

437,473

5,948

5.44 %

Loans held for sale at fair value

838,143

26,721

12.75 %

467,275

14,699

12.58 %

106,865

4,433

16.59 %

Loans and leases held for investment:

Unsecured personal loans

3,243,161

108,425

13.37 %

3,518,101

116,055

13.20 %

4,360,506

145,262

13.33 %

Commercial and other consumer loans

1,097,846

16,394

5.97 %

1,115,931

16,338

5.86 %

1,156,751

16,823

5.82 %

Loans and leases held for investment at amortized cost

4,341,007

124,819

11.50 %

4,634,032

132,393

11.43 %

5,517,257

162,085

11.75 %

Loans held for investment at fair value (3)

383,872

12,047

12.55 %

256,335

8,409

13.12 %

703,729

22,886

13.01 %

Total loans and leases held for investment (3)

4,724,879

136,866

11.59 %

4,890,367

140,802

11.52 %

6,220,986

184,971

11.89 %

Total interest-earning assets

8,946,119

219,634

9.82 %

8,547,598

207,351

9.70 %

8,278,024

214,486

10.36 %

Cash and due from banks and restricted cash

55,906

58,440

78,221

Allowance for loan and lease losses

(245,478)

(291,168)

(354,348)

Other non-interest earning assets

632,253

631,468

686,956

Total assets

$ 9,388,800

$ 8,946,338

$ 8,688,853

Interest-bearing liabilities

Interest-bearing deposits:

Checking and money market accounts

$ 1,097,696

$  10,084

3.69 %

$ 1,054,614

$     9,410

3.59 %

$ 1,397,302

$    7,760

2.23 %

Savings accounts and certificates of deposit

6,449,061

80,109

5.00 %

6,069,942

74,553

4.94 %

5,546,862

58,761

4.25 %

Interest-bearing deposits

7,546,757

90,193

4.81 %

7,124,556

83,963

4.74 %

6,944,164

66,521

3.84 %

Other interest-bearing liabilities (3)

56,628

913

6.45 %

26,571

500

7.53 %

64,169

1,313

8.18 %

Total interest-bearing liabilities

7,603,385

91,106

4.82 %

7,151,127

84,463

4.75 %

7,008,333

67,834

3.88 %

Non-interest bearing deposits

303,199

317,430

205,750

Other liabilities

215,608

220,544

272,142

Total liabilities

$ 8,122,192

$ 7,689,101

$ 7,486,225

Total equity

$ 1,266,608

$ 1,257,237

$ 1,202,628

Total liabilities and equity

$ 9,388,800

$ 8,946,338

$ 8,688,853

Interest rate spread

5.00 %

4.95 %

6.48 %

Net interest income and net interest margin

$  128,528

5.75 %

$ 122,888

5.75 %

$  146,652

7.09 %

(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.

 

LENDINGCLUB CORPORATION

CONSOLIDATED BALANCE SHEETS

(In Thousands, Except Share and Per Share Amounts)

(Unaudited)

 

June 30,
2024

December 31,
2023

Assets

Cash and due from banks

$            19,099

$         14,993

Interest-bearing deposits in banks

919,020

1,237,511

Total cash and cash equivalents

938,119

1,252,504

Restricted cash

31,332

41,644

Securities available for sale at fair value ($2,869,880 and $1,663,990 at amortized cost, respectively)

2,814,383

1,620,262

Loans held for sale at fair value

791,059

407,773

Loans and leases held for investment

4,228,391

4,850,302

Allowance for loan and lease losses

(228,909)

(310,387)

Loans and leases held for investment, net

3,999,482

4,539,915

Loans held for investment at fair value (1)

339,222

272,678

Property, equipment and software, net

166,150

161,517

Goodwill

75,717

75,717

Other assets

430,586

455,453

Total assets

$        9,586,050

$     8,827,463

Liabilities and Equity

Deposits:

Interest-bearing

$        7,759,632

$     7,001,680

Noninterest-bearing

335,696

331,806

Total deposits

8,095,328

7,333,486

Borrowings (1)

5,474

19,354

Other liabilities

197,303

222,801

Total liabilities

8,298,105

7,575,641

Equity

Common stock, $0.01 par value; 180,000,000 shares authorized; 111,812,215 and 110,410,602 shares issued and outstanding, respectively

1,118

1,104

Additional paid-in capital

1,685,865

1,669,828

Accumulated deficit

(361,653)

(388,806)

Accumulated other comprehensive loss

(37,385)

(30,304)

Total equity

1,287,945

1,251,822

Total liabilities and equity

$        9,586,050

$     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.

 

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

June 30,
2024

March 31,

2024

December 31,

2023

September 30,

2023

June 30,
2023

GAAP Net income

$                  14,903

$                  12,250

$                  10,155

$                    5,008

$                  10,110

Less: Provision for credit losses

(35,561)

(31,927)

(41,907)

(64,479)

(66,595)

Less: Income tax expense

(4,519)

(4,278)

(3,529)

(3,327)

(4,686)

Pre-provision net revenue

$                  54,983

$                  48,455

$                  55,591

$                  72,814

$                  81,391

For the three months ended

June 30,
2024

March 31,

2024

December 31,

2023

September 30,

2023

June 30,
2023

Non-interest income

$                  58,713

$                  57,800

$                  54,129

$                  63,844

$                  85,818

Net interest income

128,528

122,888

131,477

137,005

146,652

Total net revenue

187,241

180,688

185,606

200,849

232,470

Non-interest expense

(132,258)

(132,233)

(130,015)

(128,035)

(151,079)

Pre-provision net revenue

54,983

48,455

55,591

72,814

81,391

Provision for credit losses

(35,561)

(31,927)

(41,907)

(64,479)

(66,595)

Income before income tax expense

19,422

16,528

13,684

8,335

14,796

Income tax expense

(4,519)

(4,278)

(3,529)

(3,327)

(4,686)

GAAP Net income

$                  14,903

$                  12,250

$                  10,155

$                    5,008

$                  10,110

Tangible Book Value Per Common Share

June 30,
2024

March 31,

2024

December 31,

2023

September 30,

2023

June 30,
2023

GAAP common equity

$        1,287,945

$        1,266,286

$        1,251,822

$        1,208,219

$        1,205,523

Less: Goodwill

(75,717)

(75,717)

(75,717)

(75,717)

(75,717)

Less: Intangible assets

(10,293)

(11,165)

(12,135)

(13,151)

(14,167)

Tangible common equity

$        1,201,935

$        1,179,404

$        1,163,970

$        1,119,351

$        1,115,639

Book value per common share

GAAP common equity

$        1,287,945

$        1,266,286

$        1,251,822

$        1,208,219

$        1,205,523

Common shares issued and outstanding

111,812,215

111,120,415

110,410,602

109,648,769

108,694,120

Book value per common share

$               11.52

$               11.40

$               11.34

$               11.02

$               11.09

Tangible book value per common share

Tangible common equity

$        1,201,935

$        1,179,404

$        1,163,970

$        1,119,351

$        1,115,639

Common shares issued and outstanding

111,812,215

111,120,415

110,410,602

109,648,769

108,694,120

Tangible book value per common share

$               10.75

$               10.61

$               10.54

$               10.21

$               10.26

 

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SOURCE LendingClub Corporation

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Procurement Reviews Now Ask How AI Platform Data Is Deleted; FastGPT Publishes Retention Periods and Deletion Semantics

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2 minutes ago

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September 4, 2026

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Retention windows for conversation records, model-call traces and audit logs are now documented with their configuration variables and defaults

HANGZHOU, China, Sept. 4, 2026 /PRNewswire/ — FastGPT, an open-source AI application platform for organizations, has consolidated in its public documentation how four classes of data are retained and removed: conversation records, knowledge base files, model-call traces and audit logs. The items were previously spread across a privacy policy, per-version upgrade notes and API reference pages.

For the cloud service, the privacy policy states that data deletion performed by a user is a physical deletion and is not recoverable, and that any non-physical deletion would be indicated in the service. The same policy states that user data is not kept as additional backup copies and is not used for model training. That page records its own last update as March 3, 2024.

Model-call traces used for short-term debugging are kept for six hours by default, adjustable through LLM_REQUEST_TRACKING_RETENTION_HOURS. Suspended agent sandboxes are archived after a period of inactivity set by AGENT_SANDBOX_ARCHIVE_INACTIVE_DAYS, with a default of seven days. Audit logs moved in the opposite direction in v4.16.0: on expiry they are transferred to cold archive storage rather than deleted, since traceability, not prompt removal, is what that class of data is kept for.

Three boundaries are documented alongside the defaults. The API endpoint that clears conversations affects only conversations created through an API key, and does not clear those from web use or shared links. Automatic cleanup depends on background tasks that can fail; two such defects were fixed in earlier releases, so a request to delete and a completed deletion should be verified separately. For community self-hosting and commercial private deployment, retention and cleanup are governed by the deploying organization, and the environment variables provide adjustable controls rather than a compliance conclusion.

About FastGPT

FastGPT is an open-source AI application platform offering RAG knowledge bases, visual workflows, agent orchestration, Skill, MCP and multi-channel publishing, available as a cloud service, community self-hosted, or commercial private deployment. As of Sept. 3, 2026, the GitHub repository labring/FastGPT has 29,551 stars and 7,297 forks across 275 releases, with v4.16.2 published on Sept. 3, 2026. Repository: github.com/labring/FastGPT

View original content:https://www.prnewswire.com/news-releases/procurement-reviews-now-ask-how-ai-platform-data-is-deleted-fastgpt-publishes-retention-periods-and-deletion-semantics-302869833.html

SOURCE FastGPT

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TECNO POVA 8 Pro 5G Tonino Lamborghini Limited Edition Launches: A Phone Delivering Italian Aesthetics and Spirit with Power and Energy

Published

2 minutes ago

on

September 4, 2026

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TECNO POVA 8 Pro 5G Tonino Lamborghini Limited Edition features iconic Tonino Lamborghini design languages, while upholding the POVA series’ signature all-around performance from computing, imaging to AI.

HONG KONG, Sept. 4, 2026 /PRNewswire/ — TECNO, the AI-driven innovative technology brand, today launched the TECNO POVA 8 Pro 5G Tonino Lamborghini Limited Edition. Crafted as an all-around high-performance device wrapped in distinctive design, it speaks to those who seek a life beyond the ordinary — driven by an unwavering passion for performance, uncompromised style and design excellence.

The POVA 8 Pro 5G Tonino Lamborghini Limited Edition answers this demand: iconic Italian design speaking strength and energy; a dual-chipset architecture delivering the speed; Sony sensors capturing vivid images, and an array of practical AI functions empowering users every day.

The collaboration, first announced in March, is driven by both brands’ desire to stand out through bold innovations. The multi-year partnership combines the best of both worlds: TECNO’s deep well of innovation, technical mastery, and intimate understanding of a new generation of users; as well as Tonino Lamborghini’s Italian craftsmanship, engineering and mechanical heritage, and an unmistakable lifestyle experience.

“Too often, phone makers choose the ‘safest option’ even at the loss of individuality. Meanwhile, TECNO is known to choose the road less taken with highly distinguishable designs and functions, revolutionizing the digital experiences of hundreds of millions,” said Jack Guo, general manager of TECNO. “The launch of TECNO POVA 8 Pro Tonino Lamborghini Limited Edition represents a defining moment for TECNO. With this model, we create not only a new product but a journey throughout the design, the interface, the configurations and even AI.”

“For over 45 years, I have translated the strength of my mechanical heritage and my eclectic vision into pioneering partnership, selected markets and products shaped by a distinctive idea of Italian lifestyle and an uncompromising personal spirit. With TECNO, we are proud to bring this vision into this category, where technology becomes more than function: it becomes character, identity and personal expression,” said Mr. Tonino Lamborghini, Founder and President of Tonino Lamborghini S.p.A. “The TECNO POVA 8 Pro 5G Tonino Lamborghini Limited Edition captures my bold spirit: precision, energy, craftsmanship and an unmistakable design attitude. It is not a style applied on the surface, but a character running through the product itself. Created for those who are not satisfied with ordinary technology, it is a smartphone with a story, with spirit and with a clear statement of lifestyle.”

Bold Design, in Every Layer
TECNO POVA 8 Pro 5G Tonino Lamborghini Limited Edition builds around the most unmistakable elements of the Tonino Lamborghini design: the black-and-red palette of charisma and energy; and a hexagon pattern of strength and endurance.

At its center lies the Pulse Line — the arresting visual focal point inspired by mechanical precision and the flow of kinetic energy.  Encircling it is the Signature Shield hexagonal pattern. Thanks to a dual-layer stacking process, the rear panel offers a refined reflective quality and includes countless internal mirror structures that refract and redirect light. As the phone rotates, red elements surface from and then dive into the light and shadows, as if raw energy flushes across the surface of the phone.

Between the two layers, a physical height difference creates genuine spatial depth, recreating the layered geometry found in mechanical designs. The Tonino Lamborghini logo, rendered in a premium metallic finish, anchors the composition as the testament of the aesthetics.

The boldness extends through the entire user experience. A bespoke interface theme reworks dozens of icons in a black-and-red palette with glass-like material effects. The boot animation unfolds with the Pulse Line and crimson energy. A customized “L” signature, part of the brand heritage, effect appears on the Alive Matrix Display with other pre-defined scenarios and customization options. The ringtone is also bespoke.

The model, meanwhile, is also unmistakably POVA with the trinity camera module. A dedicated One-Tap Button on the side provides instant access to favorite apps, customizable gaming actions, and quick shortcuts. At 7.39mm thin, the model hosts a 6,500mAh battery. Tests by TECNO show the battery operates normally from -20°C to 60°C and maintains over 80% health even after 2,000 complete charge cycles, or up to six years of battery life.

Bold Performance, in All Aspects
A dual-chipset architecture drives the performance of TECNO POVA 8 Pro 5G Tonino Lamborghini Limited Edition: A MediaTek Dimensity 7400 Ultimate 5G platform, a P1 Graphic Chip developed by TECNO, supported by a 5K IceShield Vapor Chamber Cooling System.

The 8-core MediaTek Dimensity 7400 Ultimate 5G platform features intelligent scheduling and is well-suited for large games and multi-tasking while maintaining superior power efficiency even on high-speed 5G networks.

The P1 Graphic Chip offloads GPU rendering to deliver up to 144FPS in supported mainstream titles like Mobile Legends: Bang Bang, PUBG, Call of Duty, and Honor of Kings; up to 90FPS in supported heavy titles like Genshin Impact, Honkai: Star Rail, and Wuthering Waves. 1.5K resolution is available across 30+ games, and so is HDR quality when supported*.

Managing heat is the 5K IceShield VC Cooling System. It includes a 5000mm² vapor chamber with a 9-layer thermal architecture with direct copper contact to the CPU, making the total heat dissipation area over 22,000mm². Even in heated temperatures, the phone continues to dissipate heat and perform effectively.

Bold Moments, in Clear Shots
TECNO POVA 8 Pro 5G Tonino Lamborghini Limited Edition is equipped with LYTIA™ 700C OIS main camera, co-engineered with Sony and built around a 1/1.56-inch sensor. The sensor features 2×2 OCL (On-Chip Lens) technology, enabling faster and more precise autofocus even in challenging lighting conditions.

The Sony’s LYTIA™ 700C sensor also delivers a larger light-sensitive area and a clear advantage in night photography and low-light scenarios. The integrated OIS (Optical Image Stabilization) further reduces blur from hand shakes, making handheld shots sharper and video recording steadier.

For those looking for details, TECNO POVA 8 Pro 5G Tonino Lamborghini Limited Edition supports 2× lossless zoom and a dedicated 50MP high-pixel mode. In addition, it includes an 8MP ultra-wide camera for capturing expansive landscapes and group shots, and a 13MP front camera for selfies and video calls.

Bold Visuals, in Vivid Colors
A 6.78-inch 1.5K 144Hz HyperLux AMOLED screen with adaptive refresh rate balances performance and battery life. The DCI-P3 wide color gamut standard, used in Hollywood film production ensures faithful restoration of blockbusters on the screen. The peak brightness reaches 4,500 nits. With a 240Hz touch sampling rate and a 2,800Hz instantaneous touch sampling rate, the screen is also hyper-accurate and responsive, giving users an edge in both browsing and gaming.

Additionally, Wet & Oily Finger Touch Recognition 2.0 keeps the screen responsive even in heavy rain, with sweaty hands, or when hands contact fat, oil, or lubricants. You can also control your phone effortlessly inside a waterproof pouch while showering or enjoying water activities.

Bold Life, with Practical AI
The TECNO POVA 8 Pro 5G Tonino Lamborghini Limited Edition delivers practical AI functions for real-world benefits, from productivity to health.

AI YouTube Summary recognizes copied YouTube links and turns lengthy videos into clear notes with timeline markers, key points and structured summaries. All-Scenario Noise Cancellation automatically identifies the “voiceprint” of the intended speaker and filters out all other noises — including other human voices in the background. Users can switch among modes to adapt to their environment, from calls, recordings, to meetings, and ensure their voice cuts through the background noise of busy commutes or crowded offices.

AI LightMaster 2.0 enhances photography by removing unwanted flares, reflections, and shadows, ensuring photos are polished and ready for confident sharing. With AI Health** in select markets, users can measure key health metrics including blood pressure, blood oxygen, heart rate and respiration with only a face scan.

These AI functions join a broader suite of smart tools, from AI Writing for rewriting, polishing, and summarizing text, to the AI Theme Generator that creates completely customized phone themes.

Bold Perseverance, on All Occasions
The TECNO POVA 8 Pro 5G Tonino Lamborghini Limited Edition is engineered to endure. Corning Gorilla Glass 7i, industry-leading IP69/69K/68/66 dust and water resistance and SGS 5-Star Drop Resistance certification suggest the device is reliable against the elements: from scratches, sand and rain to drops.

To ensure a secure and smooth experience for years to come, the device runs on HiOS 16 and will receive two major Android OS upgrades and three years of security patches. TECNO also offers three years of free 256 GB cloud storage, and in select markets, eligible users can access a 3-month Google AI Plus (2 TB) extended trial at no charge. The trial brings more access to Google AI and 2 TB of cloud storage***.

*FPS, 1.5K resolution, and HDR support may vary by game, version, settings, and actual usage. All game names and trademarks belong to their respective owners.
** For reference purposes only and is not a medical device.
** For more information on eligibility of the Google AI Plus trial, please check the terms and conditions.

– END –

About TECNO
As a global innovative technology brand with operations in over 70 markets, TECNO has been committed to revolutionizing the digital experience in global emerging markets, relentlessly pushing for the perfect integration of contemporary, aesthetic design with the latest technologies and AI. TECNO offers a wide range of smartphones, smart wearables, laptops and tablets, smart gaming, HiOS operating systems and smart home products. Guided by its brand essence of “Stop At Nothing”, TECNO is committed to unlocking the newest technologies and AI-powered new experiences for forward-looking individuals, inspiring them to never stop pursuing their best selves and their best futures. For more information, please visit TECNO’s official site: www.tecno-mobile.com.

About Tonino Lamborghini
Since 1981, Tonino Lamborghini brand has stood out for innovative design and exclusive luxury. With a product range spanning watches, eyewear, fashion accessories, hospitality, real estate, total living, luxury beverages and electric golf carts, the brand embodies Italian elegance and sophistication.

For more information: www.lamborghini.it

View original content to download multimedia:https://www.prnewswire.com/news-releases/tecno-pova-8-pro-5g-tonino-lamborghini-limited-edition-launches-a-phone-delivering-italian-aesthetics-and-spirit-with-power-and-energy-302868554.html

SOURCE TECNO

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Technology

DAREU Unveils a New Era of Modular Gaming Hardware at IFA 2026

Published

2 minutes ago

on

September 4, 2026

By

BERLIN, Sept. 4, 2026 /PRNewswire/ — DAREU, a global gaming and professional peripherals brand, will unveil its latest generation of modular gaming hardware at IFA 2026, taking place September 4–8 at Messe Berlin. At Booth H7.2b-101, DAREU will showcase an expanded portfolio of gaming keyboards, wireless keyboards and high-performance gaming mice, highlighting its focus on performance, modularity and personalization.

Flexible Platforms for Modern Gaming and Productivity

The FLEX 75/87/98 Series expands DAREU’s gaming keyboard portfolio across 75%, TKL and 98% layouts. Gasket-mounted construction, hot-swappable switches, RGB illumination and tri-mode connectivity provide a versatile platform for gaming, productivity and creative workflows. With multi-mode connectivity, the series also delivers the flexibility expected from a modern wireless keyboard, allowing users to transition seamlessly between different environments.

For competitive applications, the Ultra 75/68 Series incorporates magnetic-switch technology with up to 8K polling and 0.01 mm adjustable Rapid Trigger, enabling highly responsive actuation and precise input control for fast-paced gameplay.

Modularity Beyond the Keyboard

DAREU extends its modular design philosophy to the gaming mouse category with the Ultra 07, featuring magnetic interchangeable components and an adjustable rear shell. This architecture allows users to personalize configuration and grip characteristics according to individual preferences.

The upcoming Ultra 09 advances this approach through lightweight engineering and innovative power management. Its magnesium-alloy shell, weighing approximately 51g, PAW3950 sensor and up to 8K polling are complemented by a rechargeable detachable battery, offering greater flexibility for wireless gaming and extended sessions.

Engineering the Future of Personalized Gaming

Together, DAREU’s IFA 2026 portfolio reflects a broader development philosophy that brings modular architecture, precision engineering and industrial design into a unified gaming ecosystem. From customizable gaming keyboards and wireless keyboards to high-performance gaming mice, DAREU gives users greater control over configuration, ergonomics and performance while continuing to explore new possibilities in personalized gaming hardware.

As part of its global expansion strategy, DAREU is seeking distributors, channel partners and strategic business partners worldwide. Industry professionals are invited to visit Booth H7.2b-101 during IFA 2026.

About DAREU

Founded in 2006, DAREU is a global gaming and professional peripherals brand specializing in mechanical and magnetic-switch keyboards and gaming mice. Guided by “Dare to Be Yourself,” DAREU integrates engineering, design and innovation to develop high-performance products for gamers and professionals worldwide.

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