Synchrony Financial

SYF Q2 2025 Earnings

Reported Jul 22, 2025 at 6:00 AM ET · SEC Source

Q2 25 EPS

$2.50

BEAT +47.40%

Est. $1.70

Q2 25 Revenue

$3.65B

MISS 1.69%

Est. $3.71B

vs S&P Since Q2 25

-5.1%

TRAILING MARKET

SYF +11.5% vs S&P +16.6%

Market Reaction

Did SYF Beat Earnings? Q2 2025 Results

Synchrony Financial delivered a standout second quarter, posting earnings of $2.50 per diluted share and beating the $1.70 consensus estimate by 47.40%, as dramatically improved credit quality drove net earnings 50% higher year-over-year to $967 mill… Read more Synchrony Financial delivered a standout second quarter, posting earnings of $2.50 per diluted share and beating the $1.70 consensus estimate by 47.40%, as dramatically improved credit quality drove net earnings 50% higher year-over-year to $967 million. The headline story was credit performance: net charge-offs fell 72 basis points to 5.70% and provision for credit losses dropped $545 million to $1.15 billion, including a $265 million reserve release, providing the clearest explanation for why profits climbed so sharply even as revenue declined. Revenue came in at $3.65 billion, a 25.4% year-over-year decline and a modest 1.69% below the $3.71 billion consensus, as surging retailer share arrangements of $992 million, a direct byproduct of better credit results flowing through to partners, weighed on the top line. The company also announced a new credit card partnership with OnePay to power a program at Walmart, expected to launch in fall 2025. Looking ahead, Synchrony trimmed its full-year net revenue guidance to $15.00 to $15.30 billion while improving its net charge-off outlook to 5.6% to 5.8%, reflecting confidence in sustained credit discipline.

Key Takeaways

  • Improved credit quality with net charge-offs down 72 bps YoY to 5.70%
  • Higher loan receivables yield from product, pricing, and policy changes (PPPCs)
  • Lower funding costs from declining benchmark rates
  • Reserve release of $265 million versus $70 million build in prior year
  • Net interest margin expanded 32 bps to 14.78%
  • Dual card and co-brand loan receivables grew 6% to $28.3 billion
24/7 Wall St

SYF YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

24/7 Wall St

SYF Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 25 Q1 26

“Synchrony's second quarter performance highlighted the inherent resilience of our business, as our diversified portfolio of products and spend categories, industry-leading value propositions and extensive distribution enabled us to engage with a broad cross-section of America – ranging from consumers to small and mid-sized businesses and national brands.”

— Brian Doubles, Q2 2025 Earnings Press Release