Synchrony Financial (SYF) Q2 2026 Earnings
Includes a $30 million Visa B-2 share exchange gain in other income
How Did SYF Stock React to Q2 2026 Earnings?
S&P 500 over the same 30 days: +1.91%.
Did SYF Beat Earnings? Q2 2026 Results
Yes. Synchrony Financial reported Q2 2026 earnings of $2.59 a share on Jul 21, 2026, beating the $2.13 consensus estimate by 21.8%. Revenue was $4.7B against a $3.7B estimate.
Synchrony Financial delivered a standout second quarter, with GAAP diluted EPS of $2.59 beating the $2.13 consensus by 21.83% and marking the company's fourth consecutive quarter of topping analyst estimates. Revenue of $4.75 billion cleared expectations by 27.07% and edged up 0.7% year-over-year, as net interest income grew 2% to $4.61 billion and net interest margin expanded 30 basis points to 15.08%, reflecting lower funding costs as benchmark rates declined. The GAAP results include a $30 million Visa B-2 share exchange gain in other income. The real engine of the quarter was purchase volume, which reached $49.80 billion, up 8% year-over-year, while credit quality improved meaningfully, with net charge-offs declining 27 basis points to 5.43%. Aggressive buybacks reduced the diluted share count by nearly 12%, amplifying per-share results even as net earnings fell 8% to $885 million. Some analysts view the stock as still meaningfully undervalued relative to its fair value estimate. Management held its full-year 2026 EPS outlook of $9.25 to $9.50, projecting mid-single digit loan receivables growth with acceleration expected in the second half.
- All-time high purchase volume of $49.8 billion, up 8% YoY
- Co-branded card purchase volume surged 23% to $25.8 billion
- Net interest margin expanded 30 basis points to 15.08%
- Lower funding costs from declining benchmark rates reduced interest expense by 8%
- Net charge-off rate improved 27 basis points to 5.43%
- 30+ day delinquencies declined 2 basis points to 4.16%
- Elevated payment rate of 17.0%, up approximately 70bps vs prior year
- Out-of-partner discretionary spend on co-branded products grew by double-digits
“Synchrony's second quarter performance reflected clear momentum across our core business drivers. Customer engagement remained strong as new accounts continued to grow, average active accounts inflected back to growth, and higher spend per account across each of our five sales platforms drove all-time high purchase volume for our business.”
Synchrony Financial CEO, on the earnings call
What Is Synchrony Financial's Outlook?
Synchrony maintained its 2026 full-year EPS outlook of $9.25 to $9.50 per diluted share. The company expects mid-single digit ending loan receivables growth, with receivables growth expected to accelerate through the second half of 2026. Strong purchase volume growth is expected to continue throughout 2026, while payment rates are expected to remain elevated. Net interest income growth is expected, reflecting the building impact of product/pricing/policy changes on interest and fees and lower funding costs, partially offset by lower late fee incidence and new account acceleration. The net charge-off rate is expected to be below 5.5%, with continued strength in delinquency and net charge-off performance following normal seasonality patterns. RSA as a percentage of average loan receivables is expected to stay within the 4.0% to 4.5% target range. Other expense dollars in the second half of 2026 are expected to remain relatively consistent with the first half.
SYF YoY Financials
| Metric | Q2 2026 | Q2 2025 | Year over year |
|---|---|---|---|
| Revenue | $4.7B | $4.7B | +0.7% |
| Net Income | $885.0M | $967.0M | −8.5% |
| Operating Income | $1.2B | $1.3B | −5.6% |
SYF Revenue by Segment
When Does Synchrony Financial Report Next?
Figures from SEC filings and company reports. Not investment advice.