# EDGAR Filing Document

**Accession Number:** 0001101215
**File Stem:** 0001101215-25-000130
**Filing Date:** 2025-7
**Character Count:** 79581
**Document Hash:** 2e7b42f0aac202169af31f69890b7644
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001101215-25-000130.hdr.sgml**: 20250724

**ACCESSION NUMBER**: 0001101215-25-000130

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 53

**CONFORMED PERIOD OF REPORT**: 20250724

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Regulation FD Disclosure

**ITEM INFORMATION**: Other Events

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20250724

**DATE AS OF CHANGE**: 20250724

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** BREAD FINANCIAL HOLDINGS, INC.
- **CENTRAL INDEX KEY:** 0001101215
- **STANDARD INDUSTRIAL CLASSIFICATION:** PERSONAL CREDIT INSTITUTIONS [6141]
- **ORGANIZATION NAME:** 02 Finance
- **EIN:** 311429215
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-15749
- **FILM NUMBER:** 251144467

**BUSINESS ADDRESS:**
- **STREET 1:** 3095 LOYALTY CIRCLE
- **CITY:** COLUMBUS
- **STATE:** OH
- **ZIP:** 43219
- **BUSINESS PHONE:** 6147294000

**MAIL ADDRESS:**
- **STREET 1:** 3095 LOYALTY CIRCLE
- **CITY:** COLUMBUS
- **STATE:** OH
- **ZIP:** 43219

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** ALLIANCE DATA SYSTEMS CORP
- **DATE OF NAME CHANGE:** 19991217

?xml version='1.0' encoding='ASCII'? bfh-20250724

**SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON, D.C. 20549**

**FORM 8-K**

**CURRENT REPORT**

**PURSUANT TO SECTION 13 OR 15(d) OF THE**

**SECURITIES EXCHANGE ACT OF 1934**

Date of report (Date of earliest event reported):

**July 24, 2025**

![Image_0.jpg](bfh-20250724_g1.jpg)

**BREAD FINANCIAL HOLDINGS, INC.**

(Exact Name of Registrant as Specified in Charter)

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| | | |
|:---|:---|:---|
| **Delaware** | **001-15749** | **31-1429215** |
| (State or Other Jurisdiction<br>of Incorporation) | (Commission<br>File Number) | (IRS Employer<br>Identification No.) |

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**3095 LOYALTY CIRCLE**

**COLUMBUS, Ohio 43219**

(Address and Zip Code of Principal Executive Offices)

**(614) 729-4000**

(Registrant's Telephone Number, including Area Code)

**NOT APPLICABLE**

(Former name or former address, if changed since last report)☐

Check the appropriate box below if the Form 8-K is intended to simultaneously satisfy the filing obligation of the Registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act

Securities registered pursuant to Section 12(b) of the Act:

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| | | |
|:---|:---|:---|
| Title of each class | Trading symbol | Name of each exchange on which registered |
| Common Stock, par value $0.01 per share | BFH | NYSE |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [ ]

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**Item 2.02 Results of Operations and Financial Condition.**

On July 24, 2025, Bread Financial Holdings, Inc. (the "Company") issued a press release regarding its results of operations for the second quarter ended June 30, 2025 (the "Q2 2025 Earnings Release"). A copy of the Q2 2025 Earnings Release is furnished as Exhibit 99.1 hereto.

**Item 7.01 Regulation FD Disclosure.**

In connection with the Q2 2025 Earnings Release, on July 24, 2025, the Company made available an investor presentation that may be used by the Company's senior management during meetings and calls with analysts, investors and other market participants, a copy of which is furnished as Exhibit 99.2 hereto and is posted on the Company's website at www.breadfinancial.com on the "Investors" page under "Events & Presentations." Information on the Company's website does not constitute a part of this Current Report on Form 8-K.

**Item 8.01 Other Events.**

On July 24, 2025, the Company issued a press release announcing that the Board of Directors of the Company has declared a quarterly cash dividend of $0.21 per share of common stock, payable on September 12, 2025 to stockholders of record at the close of business on August 8, 2025. A copy of the press release announcing the quarterly dividend is attached as Exhibit 99.3 hereto.

**Item 9.01 Financial Statements and Exhibits.** 

(d) Exhibits

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| | |
|:---|:---|
| <u>Exhibit No.</u> | <u>Document Description</u> |
| <u>[99.1](exhibit991epr7-24x25.htm)</u> | Press Release dated July 24, 2025 announcing the Company's results of operations for the second quarter ended June 30, 2025. |
| <u>[99.2](exhibit992slides7-24x25.htm)</u> | Investor Presentation dated July 24, 2025. |
| <u>[99.3](exhibit993dividend7-24x25.htm)</u> | Press Release dated July 24, 2025 announcing the Company's quarterly dividend. |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). |

---

*Note:* Except for the information in Item 8.01 hereof (including Exhibit 99.3 hereto), the information contained in this report (including Exhibits 99.1 and 99.2) shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as expressly set forth by specific reference in such a filing.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

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| | | |
|:---|:---|:---|
| | Bread Financial Holdings, Inc. | Bread Financial Holdings, Inc. |
| Date: July 24, 2025 | By: | /s/ Joseph L. Motes III |
|  |  | Joseph L. Motes III<br>Executive Vice President, Chief <br>Administrative Officer, General <br>Counsel and Secretary |

---

## Exhibit 99.1

![](exhibit991epr7-24x25001.jpg)

Bread Financial \| July 24, 2025 1 Bread Financial reports second quarter 2025 results COLUMBUS, Ohio, July 24, 2025 – Bread Financial Holdings, Inc. (NYSE: BFH), a tech-forward financial services company that provides simple, personalized payment, lending, and saving solutions, today announced financial results for the second quarter ended June 30, 2025. (1) Represents a Non-GAAP financial measure. See "Non-GAAP Financial Measures" and "Reconciliation of GAAP to Non-GAAP Financial Measures". $17.7B 2Q25 Average loans $929MM 2Q25 Revenue 13.0% Common equity tier 1 capital ratio $52.21 Tangible book value per common share(1) Second quarter 2025 Year-to-date 2025 ($ in millions, except per share amounts) Total company Continuing operations Total company Continuing operations Net income $139 $139 $276 $280 Adjusted net income(1) $149 $149 $288 $292 Earnings per diluted share $2.94 $2.93 $5.71 $5.79 Adjusted earnings per diluted share(1) $3.15 $3.14 $5.96 $6.04 • Relative to the second quarter of 2024: • Income from continuing operations increased 4% primarily due to a lower provision for credit losses and lower income taxes. • Average loans decreased 1% due to softer consumer spending and elevated gross losses, as compared with historic trends. • Common equity tier 1 (CET1) capital ratio decreased 80 basis points to 13.0% and increased 100 basis points sequentially. • Tangible book value per common share(1) increased $3.32, or 7%, to $52.21. • Return on average tangible common equity(1) was 22.7%. • Second quarter delinquency rate was 5.7% and net loss rate was 7.9%. • Completed $150 million tender offer for our 9.75% senior notes due 2029. • Repurchased 1.1 million shares for $48 million in the second quarter. For the first half of 2025, we repurchased 3.2 million shares, completing our board-authorized share repurchase program of $150 million. "Our second quarter results reflect our steadfast commitment to advancing operational excellence, as well as responsible growth and disciplined capital allocation, which enabled us to deliver strong returns. We generated net income of $139 million and increased our tangible book value per common share by 7% in the second quarter. Our ongoing balance sheet optimization initiatives were reflected in the completion of our share repurchase program and the successful tender offer for a portion of our senior notes. These actions and the strong capital and cash flow generation of our business offer enhanced opportunities to deliver additional value to our shareholders. "Credit sales grew 4% year-over-year with limited tariff impact on consumer spending, aside from a slight pull-forward of electronics purchases in April. Spending continues to be more heavily weighted toward non-discretionary purchases, enabled by our expanded co-brand and proprietary products, which represent more than 50% of our credit sales. Additionally, lower gas prices have positively influenced retail spending, particularly for prime and near prime consumers. We are encouraged by these spending trends, as well as the gradual improvement in our credit metrics as a result of our ongoing prudent risk management. We remain balanced in our outlook and credit actions given uncertainty regarding the potential downstream impacts on consumer spending and employment from recent monetary and fiscal policies, particularly tariff and trade policies. "We are pleased to announce the multi-year extension of our long-term relationship with Caesars Entertainment, a leading travel and entertainment partner. Also, we recently launched an additional new, enhanced fee-based Caesars Rewards® Prestige Visa Signature® credit card that gives members more ways to earn accelerated rewards and enjoy unique experiences. We strive to create new ways to strengthen our existing partnerships, offering new products with enhanced value propositions to drive sales and increase cardholder engagement. "We are proud of the progress we have made in strengthening our balance sheet while providing increased value to our brand partners. We remain confident in our ability to successfully execute our strategic objectives and our operational excellence efforts, and we are well-positioned to deliver strong returns while creating sustainable, long-term value for our shareholders." - Ralph Andretta, president and chief executive officer CEO COMMENTARY Exhibit 99.1

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![](exhibit991epr7-24x25002.jpg)

Bread Financial \| July 24, 2025 2 "Our second quarter results again underscored the financial resilience of our business model, as we continued to generate high levels of capital and cash flow, despite elevated, albeit improving, credit metrics. Consumer financial health in 2025 has remained stable as second quarter credit sales grew 4% year-over-year and credit metrics continued to gradually improve. Income from continuing operations increased 4% year-over-year, primarily due to a lower provision for credit losses and lower income taxes, with adjusted total non-interest expenses, a non-GAAP financial measure, essentially flat year-over year despite inflationary and wage pressures as a result of our focus on operational excellence. "Net interest margin declined sequentially to 17.7%, following seasonal loan yield trends, pressured by lower billed late fees from lower delinquencies and an elevated cash position, partially offset by the gradual build of implemented pricing changes. Given improving delinquency trends and our improved net loss rate outlook, we are projecting lower billed late fees for the remainder of the year, modestly pressuring our full year revenue expectation. "Our efforts to strengthen and optimize our balance sheet are ongoing. In April we completed our $150 million board-authorized share repurchase program with 3.2 million shares repurchased year-to-date, while improving our CET1 ratio to 13.0% from 12.0% in the first quarter of 2025. Additionally, in June we completed a $150 million tender offer for our 9.75% senior notes due 2029, using excess cash on hand to reduce higher cost debt. Direct-to- consumer deposits increased 12% year-over-year to $8.1 billion at quarter-end. Our average direct-to-consumer deposits now represent 45% of total funding, up from 40% a year ago and approaching our target of more than 50%. "Our credit metrics continue to benefit from our disciplined credit risk management. As previously disclosed, the hurricane-related customer-friendly actions we took in October and November of 2024 negatively impacted second quarter losses by approximately $13 million or 30 basis points. Given macroeconomic uncertainty, including potential tariff and employment impacts, we remain vigilant with our credit strategies. As a result of our better than expected credit performance during the first half of 2025, we have improved our full year 2025 net loss rate guidance. "The second quarter reserve rate of 11.9% at quarter-end reflects our improving credit metrics and higher-quality new account acquisitions. We continue to maintain prudent weightings on the economic scenarios in our credit reserve modeling given the wide range of potential macroeconomic outcomes. "We remain confident in our ability to achieve solid financial results in 2025 and deliver strong long-term returns." - Perry Beberman, executive vice president and chief financial officer 2025 full year outlook • "Our 2025 outlook reflects continued consumer resiliency, inflation remaining above the Fed target rate, and a healthy labor market. Our outlook also anticipates interest rate decreases by the Federal Reserve, which will modestly pressure total net interest income. • Average loan growth: "We expect 2025 average credit card and other loans to be flat to slightly down versus full year 2024. • Total revenue: "We anticipate total revenue, excluding any gain on portfolio sale, to be relatively flat versus full year 2024. • Total expenses: "As a result of efficiencies gained from ongoing operational excellence initiatives, along with disciplined expense management and prudent investments, we expect to generate nominal positive operating leverage in 2025, excluding any gain on portfolio sale and the pretax impacts from our repurchased debt, including convertible and senior notes. • Net loss rate: "We anticipate a 2025 net loss rate in the range of 7.8% to 7.9%. • Effective tax rate: "We expect our full year normalized effective tax rate to be in the range of 25% to 26%, with quarter-over-quarter variability due to the timing of certain discrete items." CFO COMMENTARY

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![](exhibit991epr7-24x25003.jpg)

Bread Financial \| July 24, 2025 3 PPNR adjusted for unique items\* $465MM $458MM 2Q24 2Q25 Continuing operations(2) Second quarter Year-to-date ($ in millions, except per share amounts) 2025 2024 % change 2025 2024 % change Total net interest and non-interest income ("Revenue") $929 $939 (1) $1,899 $1,929 (2) Net principal losses 348 382 (9) 713 775 (8) Reserve release (74) (92) (20) (143) (164) (13) Provision for credit losses 274 290 (5) 570 611 (7) Total non-interest expenses 481 469 3 958 949 1 Income from continuing operations before income taxes 174 180 (3) 371 369 1 Income from continuing operations $139 $133 4 $280 $269 4 Weighted average shares outstanding – diluted 47.2 50.2 48.4 49.9 Income from continuing operations per diluted share $2.93 $2.65 11 $5.79 $5.38 8 Adjusted income from continuing operations(1) $149 $133 12 $292 $276 6 Adjusted income from continuing operations per diluted share(1) $3.14 $2.65 18 $6.04 $5.53 9 Pretax pre-provision earnings (PPNR)(1) $448 $470 (5) $941 $980 (4) Adjusted PPNR(1) $458 $465 (1) $953 $984 (3) Revenue $939MM $929MM 2Q24 2Q25 -1% Key operating and financial metrics Credit metrics (1) Represents a Non-GAAP financial measure. See "Non-GAAP Financial Measures" and "Reconciliation of GAAP to Non-GAAP Financial Measures". (2) Excludes amounts associated with our former LoyaltyOne segment and our former Epsilon segment which previously have been disclosed as discontinued operations and classified accordingly. Diluted EPS Credit sales $6.6B $6.8B 2Q24 2Q25 +4% Net loss rate 8.6% 7.9% 2Q24 2Q25 Delinquency rate 6.0% 5.7% 2Q24 2Q25 Total company $2.66 $2.94 2Q24 2Q25 Continuing ops. $2.65 $2.93 $3.14 2Q24 2Q25 Adj. 2Q25 -30 bps (2) -1% Adjusted pretax pre-provision earnings (excl. any gain on portfolio sale and impacts from repurchased debt)(1) -70 bps +11% (1) +11% +18%

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![](exhibit991epr7-24x25004.jpg)

Bread Financial \| July 24, 2025 4 Second quarter 2025 compared with second quarter 2024 – continuing operations • Credit sales were $6.8 billion for the second quarter of 2025, an increase of $0.2 billion, or 4%, driven by new partner growth and increased general-purpose spending. • Average and end-of-period credit card and other loans were both $17.7 billion, down 1% and 0.5%, respectively. As compared with historic trends, continued macroeconomic challenges drove softer consumer spending and the cumulative effect of elevated gross credit losses over the past twelve months adversely impacted loan growth. • Revenue decreased $10 million, or 1%, primarily due to lower finance charges and late fees resulting from a reduced average prime rate, lower delinquencies, and our gradual shift in risk and product mix leading to a smaller proportion of private label accounts, partially offset by lower interest expense and the implementation of pricing changes and paper statement fees. • Total non-interest expenses increased $12 million, or 3%, primarily driven by an $8 million increase in other expenses, which includes $13 million in debt extinguishment costs associated with our $150 million tender offer for our 9.75% senior notes due 2029 completed in the second quarter. • Income from continuing operations increased $6 million, or 4%, primarily due to a lower provision for credit losses and lower income taxes. • Adjusted PPNR, a Non-GAAP financial measure which excludes any gain on portfolio sale and impacts from repurchased debt, decreased $7 million, or 1%, primarily due to lower net interest income, while adjusted total non- interest expenses, a non-GAAP financial measure, remained nearly flat. • The delinquency rate of 5.7% decreased from 6.0% in the second quarter of 2024 and 5.9% in the first quarter of 2025. • The net loss rate of 7.9% decreased from 8.6% in the second quarter of 2024 and 8.2% in the first quarter of 2025. • CET1 ratio of 13.0% decreased from 13.8% in the second quarter of 2024, negatively impacted by 109 basis points related to repurchased debt, 108 basis points for share repurchases, and 74 basis points for the last CECL phase-in in the first quarter of 2025, partially offset by net earnings. The CET1 ratio increased sequentially from 12.0%. • Total risk-based capital of 16.5% increased from 15.1% in the second quarter of 2024, benefiting from net earnings and our $400 million subordinated notes offering in the first quarter of 2025 which increased our tier 2 capital. Total risk- based capital also increased sequentially from 15.5%. Contacts Investor Relations: Brian Vereb (brian.vereb@breadfinancial.com) Susan Haugen (susan.haugen@breadfinancial.com) Media Relations: Rachel Stultz (rachel.stultz@breadfinancial.com) (1) Represents a Non-GAAP financial measure. See "Non-GAAP Financial Measures" and "Reconciliation of GAAP to Non-GAAP Financial Measures". 2Q25 impacts from repurchased debt ($ in millions, except per share amounts) Total expenses Income from cont. ops. Diluted EPS from cont. ops. GAAP-basis $481 $139 $2.93 Impacts from repurchased debt 13 10 $0.21 Adjusted GAAP-basis(1) $468 $149 $3.14

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![](exhibit991epr7-24x25005.jpg)

Bread Financial \| July 24, 2025 5 Forward-looking statements This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements give our expectations or forecasts of future events and can generally be identified by the use of words such as "believe," "expect," "anticipate," "estimate," "intend," "project," "plan," "likely," "may," "should" or other words or phrases of similar import. Similarly, statements that describe our business strategy, outlook, objectives, plans, intentions or goals also are forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements we make regarding, and the guidance we give with respect to, our anticipated operating or financial results, future financial performance and outlook, future dividend declarations, and future economic conditions. We believe that our expectations are based on reasonable assumptions. Forward-looking statements, however, are subject to a number of risks and uncertainties that are difficult to predict and, in many cases, beyond our control. Accordingly, our actual results could differ materially from the projections, anticipated results or other expectations expressed in this release, and no assurances can be given that our expectations will prove to have been correct. Factors that could cause the outcomes to differ materially include, but are not limited to, the following: macroeconomic conditions, including market conditions, inflation, interest rates, labor market conditions, recessionary pressures or concerns over a prolonged economic slowdown, and the related impact on consumer spending behavior, payments, debt levels, savings rates and other behaviors; global political and public health events and conditions, including significant shifts in trade policy, such as changes to, or the imposition of, tariffs and/or trade barriers and any economic impacts, volatility, uncertainty and geopolitical instability resulting therefrom, as well as ongoing wars and military conflicts and natural disasters; future credit performance, including the level of future delinquency and write-off rates; the loss of, or reduction in demand from, significant brand partners or customers in the highly competitive markets in which we compete; the concentration of our business in U.S. consumer credit; inaccuracies in the models and estimates on which we rely, including the amount of our Allowance for credit losses and our credit risk management models; the inability to realize the intended benefits of acquisitions, dispositions and other strategic initiatives; our level of indebtedness and ability to access financial or capital markets; pending and future federal and state legislation, regulation, supervisory guidance, and regulatory and legal actions, including, but not limited to, those related to financial regulatory reform and consumer financial services practices, as well as any such actions with respect to late fees, interchange fees or other charges; impacts arising from or relating to the transition of our credit card processing services to third party service providers that we completed in 2022; failures or breaches in our operational or security systems, including as a result of cyberattacks, unanticipated impacts from technology modernization projects or otherwise; and any tax or other liability or adverse impacts arising out of or related to the spinoff of our former LoyaltyOne segment or the bankruptcy filings of Loyalty Ventures Inc. (LVI) and certain of its subsidiaries and subsequent litigation or other disputes. The foregoing factors, along with other risks and uncertainties that could cause actual results to differ materially from those expressed or implied in forward-looking statements, are described in greater detail under the headings "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in our Annual Report on Form 10-K for the most recently ended fiscal year, which may be updated in Item 1A of, or elsewhere in, our Quarterly Reports on Form 10-Q filed for periods subsequent to such Form 10-K. Our forward-looking statements speak only as of the date made, and we undertake no obligation, other than as required by applicable law, to update or revise any forward-looking statements, whether as a result of new information, subsequent events, anticipated or unanticipated circumstances or otherwise.

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![](exhibit991epr7-24x25006.jpg)

Bread Financial \| July 24, 2025 6 Non-GAAP financial measures We prepare our Consolidated Financial Statements in accordance with accounting principles generally accepted in the United States of America (GAAP). However, certain information included herein constitutes Non-GAAP Financial Measures. Our calculations of Non-GAAP Financial Measures may differ from the calculations of similarly titled measures by other companies. In particular: • We may from time to time repurchase debt, including our outstanding senior unsecured notes, subordinated notes or convertible notes. From a GAAP perspective we may pay a premium to induce these repurchases, or in certain cases repurchase at a discount, which would result in an impact to Total non-interest expenses, with a corresponding impact also reflected in Net income and consequently our Earnings per diluted share. We have shown adjustments to these three financial statement line items, for total Company as well as for continuing operations, to exclude the impacts from our repurchased debt transactions. We use Adjusted total non-interest expenses, Adjusted net income, and Adjusted earnings per diluted share to evaluate the ongoing operations of the Company excluding the volatility that can occur from the impacts of our repurchased debt transactions. • Pretax pre-provision earnings (PPNR) represents Income from continuing operations before income taxes and the Provision for credit losses. PPNR excluding any gain on portfolio sale and impacts from repurchased debt then excludes from PPNR the gain on any portfolio sale in the period, as well as the loss or gain on any repurchased debt in the period. We use PPNR and PPNR excluding any gain on portfolio sale and impacts from repurchased debt as metrics to evaluate our results of operations before income taxes, excluding the volatility that can occur within Provision for credit losses and the one-time nature of a gain on the sale of a portfolio and/or the impacts from repurchased debt. • Return on average tangible common equity (ROTCE) represents annualized Income from continuing operations divided by average Tangible common equity. Tangible common equity (TCE) represents Total stockholders' equity reduced by Goodwill and intangible assets, net. We use ROTCE as a metric to evaluate the Company's performance. • Tangible book value per common share represents TCE divided by shares outstanding. We use Tangible book value per common share, a metric used across the industry, to estimate liquidation value. We believe the use of these Non-GAAP financial measures provide additional clarity in understanding our results of operations and trends. For a reconciliation of these Non-GAAP financial measures to the most directly comparable GAAP measures, please see the "Reconciliation of GAAP to Non-GAAP Financial Measures".

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![](exhibit991epr7-24x25007.jpg)

Bread Financial \| July 24, 2025 7 Conference call/webcast information Bread Financial will host a conference call on Thursday, July 24, 2025, at 8:30 a.m. (Eastern Time) to discuss the company's second quarter results. The conference call will be available via the internet at investor.breadfinancial.com. There will be several slides accompanying the webcast. Please go to the website at least 15 minutes prior to the call to register, download and install any necessary software. The recorded webcast will also be available on the company's website. About Bread Financial® Bread Financial® (NYSE: BFH) is a tech-forward financial services company that provides simple, personalized payment, lending and saving solutions to millions of U.S. consumers. Our payment solutions, including Bread Financial general purpose credit cards and savings products, empower our customers and their passions for a better life. Additionally, we deliver growth for some of the most recognized brands in travel & entertainment, health & beauty, jewelry and specialty apparel through our private label and co-brand credit cards and pay-over-time products providing choice and value to our shared customers. To learn more about Bread Financial, our global associates and our sustainability commitments, visit breadfinancial.com or follow us on Instagram and LinkedIn.

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![](exhibit991epr7-24x25008.jpg)

Bread Financial \| July 24, 2025 8 Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Interest income Interest and fees on loans $1,148 $1,174 $2,333 $2,422 Interest on cash and investment securities 46 54 91 106 Total interest income 1,194 1,228 2,424 2,528 Interest expense Interest on deposits 139 152 277 308 Interest on borrowings 81 89 167 181 Total interest expense 220 241 444 489 Net interest income 974 987 1,980 2,039 Non-interest income Interchange revenue, net of retailer share arrangements (95) (84) (178) (177) Gain on portfolio sale 3 5 3 5 Other 47 31 94 62 Total non-interest income (45) (48) (81) (110) Total net interest and non-interest income 929 939 1,899 1,929 Provision for credit losses 274 290 570 611 Total net interest and non-interest income, after provision for credit losses 655 649 1,329 1,318 Non-interest expenses Employee compensation and benefits 212 214 426 427 Card and processing expenses 81 77 163 164 Information processing and communication 77 73 158 147 Marketing expenses 34 33 68 61 Depreciation and amortization 20 23 42 46 Other 57 49 101 104 Total non-interest expenses 481 469 958 949 Income from continuing operations before income taxes 174 180 371 369 Provision for income taxes 35 47 91 100 Income from continuing operations 139 133 280 269 Loss from discontinued operations, net of income taxes — — (4) (1) Net income $139 $133 $276 $268 Basic income per share Income from continuing operations $2.96 $2.69 $5.86 $5.42 Income (loss) from discontinued operations $0.01 $— $(0.08) $(0.02) Net income per share $2.97 $2.69 $5.78 $5.40 Diluted income per share Income from continuing operations $2.93 $2.65 $5.79 $5.38 Income (loss) from discontinued operations $0.01 $0.01 $(0.08) $(0.02) Net income per share $2.94 $2.66 $5.71 $5.36 Weighted average common shares outstanding Basic 46.7 49.6 47.8 49.6 Diluted 47.2 50.2 48.4 49.9 Pretax pre-provision earnings (PPNR)(1) $448 $470 $941 $980 Less: Gain on portfolio sale (3) (5) (3) (5) Add: Impacts from repurchased debt 13 — 15 9 Adjusted PPNR(1) $458 $465 $953 $984 BREAD FINANCIAL HOLDINGS, INC. UNAUDITED CONSOLIDATED STATEMENTS OF INCOME (In millions, except per share amounts) (1) Represents a Non-GAAP financial measure. See "Non-GAAP Financial Measures" and "Reconciliation of GAAP to Non-GAAP Financial Measures".

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![](exhibit991epr7-24x25009.jpg)

Bread Financial \| July 24, 2025 9 BREAD FINANCIAL HOLDINGS, INC. UNAUDITED CONSOLIDATED BALANCE SHEETS (In millions) June 30, 2025 December 31, 2024 ASSETS Cash and cash equivalents $3,799 $3,679 Credit card and other loans Total credit card and other loans 17,656 18,896 Allowance for credit losses (2,098) (2,241) Credit card and other loans, net 15,558 16,655 Investments 277 266 Property and equipment, net 127 142 Goodwill and intangible assets, net 731 746 Other assets 1,329 1,403 Total assets $21,821 $22,891 LIABILITIES AND STOCKHOLDERS' EQUITY Deposits Direct-to-consumer (retail) $8,080 $7,687 Wholesale and other 5,260 5,395 Total deposits 13,340 13,082 Debt issued by consolidated variable interest entities 3,089 4,558 Long-term and other debt 1,138 999 Other liabilities 1,088 1,201 Total liabilities 18,655 19,840 Total stockholders' equity 3,166 3,051 Total liabilities and stockholders' equity $21,821 $22,891 Shares of common stock outstanding 46.6 49.1

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![](exhibit991epr7-24x25010.jpg)

Bread Financial \| July 24, 2025 10 BREAD FINANCIAL HOLDINGS, INC. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (In millions, except percentages) As of or for the three months ended June 30, As of or for the six months ended June 30, 2025 2024 % change 2025 2024 % change Adjusted net income Income from continuing operations $139 $133 4 $280 $269 4 Loss from discontinued operations — — 121 (4) (1) 220 Net income 139 133 4 276 268 3 Impacts from repurchased debt 10 — nm 12 7 68 Adjusted net income $149 $133 12 $288 $275 5 Adjusted income from continuing operations $149 $133 12 $292 $276 6 Weighted average shares outstanding – diluted 47.2 50.2 48.4 49.9 Adjusted income per diluted share Net income from continuing operations per diluted share $2.93 $2.65 11 $5.79 $5.38 8 Net income (loss) from discontinued operations per diluted share 0.01 0.01 135 (0.08) (0.02) 230 Net income per diluted share $2.94 $2.66 11 $5.71 $5.36 7 Impacts from repurchased debt 0.21 — nm 0.25 0.15 73 Adjusted net income per diluted share $3.15 $2.66 19 $5.96 $5.51 8 Adjusted income from continuing operations per diluted share $3.14 $2.65 18 $6.04 $5.53 9 Adjusted total non-interest expenses Total non-interest expenses $481 $469 3 $958 $949 1 Impacts from repurchased debt 13 — nm 15 9 64 Adjusted total non-interest expenses $468 $469 — $943 $940 — Pretax pre-provision earnings Income from continuing operations before income taxes $174 $180 (3) $371 $369 1 Provision for credit losses 274 290 (5) 570 611 (7) Pretax pre-provision earnings (PPNR) 448 470 (5) $941 $980 (4) Less: Gain on portfolio sale (3) (5) (37) (3) (5) (37) Add: Impacts from repurchased debt 13 — nm 15 9 64 Adjusted PPNR $458 $465 (1) $953 $984 (3) nm – Not meaningful, denoting a variance of 1,000 percent or more. Continued on the following page

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![](exhibit991epr7-24x25011.jpg)

Bread Financial \| July 24, 2025 11 BREAD FINANCIAL HOLDINGS, INC. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (In millions, except percentages) As of or for the three months ended June 30, 2025 2024 % change Average Tangible common equity Average Total stockholders' equity $3,183 $3,202 (1) Less: average Goodwill and intangible assets, net (735) (750) (2) Average Tangible common equity $2,448 $2,452 — Tangible common equity (TCE) Total stockholders' equity $3,166 $3,170 — Less: Goodwill and intangible assets, net (731) (744) (2) Tangible common equity (TCE) $2,435 $2,426 —

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![](exhibit991epr7-24x25012.jpg)

Bread Financial \| July 24, 2025 12 BREAD FINANCIAL HOLDINGS, INC. UNAUDITED SUMMARY FINANCIAL HIGHLIGHTS (In millions, except per share amounts and percentages) As of or for the three months ended June 30, As of or for the six months ended June 30, 2025 2024 % change 2025 2024 % change Credit sales $6,814 $6,570 4 $12,920 $12,600 3 Average credit card and other loans $17,686 $17,872 (1) $17,924 $18,209 (2) End-of-period credit card and other loans $17,656 $17,743 — $17,656 $17,743 — End-of-period direct-to-consumer deposits $8,080 $7,193 12 $8,080 $7,193 12 Return on average assets(1) 2.5% 2.4% 0.1 2.5% 2.4% 0.1 Return on average equity(2) 17.5% 16.7% 0.8 17.6% 17.1% 0.5 Return on average tangible common equity(3) 22.7 % 21.8 % 0.9 22.8% 22.5% 0.3 Net interest margin(4) 17.7% 18.0% (0.3) 17.9% 18.3% (0.4) Loan yield(5) 26.0% 26.4% (0.4) 26.3% 26.7% (0.4) Efficiency ratio(6) 51.8% 49.9% 1.9 50.4% 49.2% 1.2 Common equity tier 1 capital ratio(7) 13.0% 13.8% (0.8) 13.0% 13.8% (0.8) Tangible book value per common share(8) $52.21 $48.89 7 $52.21 $48.89 7 Payment rate(9) 15.0% 14.6% 0.4 14.9% 14.5% 0.4 Delinquency rate 5.7% 6.0% (0.3) 5.7% 6.0% (0.3) Net loss rate 7.9% 8.6% (0.7) 8.0% 8.6% (0.6) Reserve rate 11.9% 12.2% (0.3) 11.9% 12.2% (0.3) (1) Return on average assets represents annualized Income from continuing operations divided by average Total assets. (2) Return on average equity represents annualized Income from continuing operations divided by average Total stockholders' equity. (3) Return on average tangible common equity (ROTCE) represents annualized Income from continuing operations divided by average Tangible common equity. Tangible common equity (TCE) represents Total stockholders' equity reduced by Goodwill and intangible assets, net. ROTCE is a Non-GAAP financial measure. (4) Net interest margin represents annualized Net interest income divided by average Total interest-earning assets. (5) Loan yield represents annualized Interest and fees on loans divided by Average credit card and other loans. (6) Efficiency ratio represents Total non-interest expenses divided by Total net interest and non-interest income. (7) Common equity tier 1 capital ratio represents tier 1 capital divided by total risk-weighted assets. In the calculation of tier 1 capital, we follow the Basel III Standardized Approach and therefore Total stockholders' equity has been reduced, primarily by Goodwill and intangible assets, net. (8) Tangible book value per common share represents TCE divided by shares outstanding and is a Non-GAAP financial measure. (9) Payment rate represents consumer payments during the period, divided by the aggregate of the opening monthly Credit card and other loans balances during the period, including held for sale in applicable periods.

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## Exhibit 99.2

![](exhibit992slides7-24x25001.jpg)

Second quarter 2025 results© 2 0 2 2 B r e a d F i n a n c i a l \| C o n f i d e n t i a l & P r o p r i e t a r y 1 July 24, 2025 Exhibit 99.2

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![](exhibit992slides7-24x25002.jpg)

2©2025 Bread Financial Key highlights Second quarter 2025 Demonstrated financial resilience and focused capital allocation • Enhanced financial resilience through ongoing operational excellence and responsible growth, proactive credit risk management and prudent capital allocation. • Net income of $139 million and earnings per diluted share of $2.94. ◦ Adjusted net income(1) of $149 million and adjusted earnings per diluted share(1) of $3.15 excludes the $10 million post-tax impact from repurchased debt. • Tangible book value per common share(1) of $52.21 increased 7% year-over-year. • Return on average tangible common equity(1) was 22.7%. • Direct-to-consumer deposits of $8.1 billion increased 12% year-over-year, and now represent 45% of our average total funding. • Completed $150 million tender offer for our 9.75% senior notes due 2029. • In April, we completed the $150 million board-authorized share repurchase program with 3.2 million shares repurchased year-to-date. • Renewed long-term partnership with Caesars Entertainment and launched a new, fee-based credit card. Proactive risk management given macroeconomic uncertainty • While consumer financial health was relatively steady in the quarter, we will remain disciplined with our credit risk management given ongoing macroeconomic uncertainty. • Closely monitoring the effect of the new administration's policies and the impacts they have on consumers and our business. (1) Represents a Non-GAAP financial measure. See "Non-GAAP Financial Measures" and "Reconciliation of GAAP to Non-GAAP Financial Measures".

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![](exhibit992slides7-24x25003.jpg)

3©2025 Bread Financial $0.9 billion (1) Continuing operations excludes amounts associated with our former LoyaltyOne segment and our former Epsilon segment which previously have been disclosed as discontinued operations and classified accordingly. (2) Adjusted GAAP-basis figures are Non-GAAP financial measures. See "Non-GAAP Financial Measures" and "Reconciliation of GAAP to Non-GAAP Financial Measures". Continuing operations(1) Revenue 2Q25 impacts from repurchased debt ($ in millions, except per share amounts) Total expenses Income from cont. ops. Diluted EPS from cont. ops. GAAP-basis $481 $139 $2.93 Impacts from repurchased debt 13 10 0.21 Adjusted GAAP-basis(2) $468 $149 $3.14 Year-over-year comparisons • Credit sales of $6.8 billion increased 4%, driven by new partner growth and increased general-purpose spending. • Average loans of $17.7 billion decreased 1%. As compared with historic trends, continued macroeconomic challenges drove softer consumer spending and the cumulative effect of elevated gross credit losses over the past twelve months adversely impacted loan growth. • Revenue decreased $10 million, or 1%, primarily due to lower finance charges and late fees resulting from a reduced average prime rate, lower delinquencies, and our gradual shift in risk and product mix leading to a smaller proportion of private label accounts, partially offset by lower interest expense and the implementation of pricing changes and paper statement fees. • Total non-interest expenses increased $12 million, or 3%, primarily driven by debt extinguishment costs of $13 million in the quarter, from the tender offer for our 9.75% senior notes due 2029. Excluding these costs, adjusted total non-interest expenses, a non-GAAP financial measure, were nearly flat. • Income from continuing operations increased $6 million, or 4%, primarily due to a lower provision for credit losses and lower income taxes. • The delinquency rate of 5.7% decreased from 6.0% in the second quarter of 2024. • The net loss rate of 7.9% decreased from 8.6% in the second quarter of 2024. Diluted EPS Adj. diluted EPS(2) Net income Adj. net income(2) $139 million $149 million $3.14$2.93 Second quarter 2025 financial highlights

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![](exhibit992slides7-24x25004.jpg)

4©2025 Bread Financial ($ in millions, except per share amounts) 2Q25 2Q24 $ change % change YTD '25 YTD '24 $ change % change Total interest income $1,194 $1,228 $(34) (3) $2,424 $2,528 $(104) (4) Total interest expense 220 241 (21) (9) 444 489 (45) (9) Net interest income 974 987 (13) (1) 1,980 2,039 (59) (3) Total non-interest income (45) (48) 3 (8) (81) (110) 29 (27) Revenue 929 939 (10) (1) 1,899 1,929 (30) (2) Net principal losses 348 382 (34) (9) 713 775 (62) (8) Reserve release (74) (92) 18 (20) (143) (164) 21 (13) Provision for credit losses 274 290 (16) (5) 570 611 (41) (7) Total non-interest expenses 481 469 12 3 958 949 9 1 Income before income taxes 174 180 (6) (3) 371 369 2 1 Provision for income taxes 35 47 (12) (24) 91 100 (9) (9) Net income $139 $133 $6 4 $280 $269 $11 4 Earnings per diluted share $2.93 $2.65 $0.28 11 $5.79 $5.38 $0.41 8 Adjusted net income(1) $149 $133 $16 12 $292 $276 $16 6 Adjusted earnings per diluted share(1) $3.14 $2.65 $0.49 18 $6.04 $5.53 $0.51 9 Pretax pre-provision earnings(1) $448 $470 $(22) (5) $941 $980 $(39) (4) Adjusted PPNR(1) $458 $465 $(7) (1) $953 $984 $(31) (3) Adjusted PPNR⁽¹⁾ $465 $458 $984 $953 2Q24 2Q25 YTD '24 YTD '25 -1% ($ in millions) Summary P&L results Continuing operations (1) Represents a Non-GAAP financial measure. See "Non-GAAP Financial Measures," and "Reconciliation of GAAP to Non-GAAP Financial Measures" in the Appendix. -3% (excl. any gain on portfolio sale and impacts from repurchased debt)

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![](exhibit992slides7-24x25005.jpg)

5©2025 Bread Financial $17.8 $17.5 $18.1 $18.5 $17.9 $17.6 $17.7 $18.3 $17.9 Direct-to-consumer deposits Wholesale deposits Secured borrowings Unsecured borrowings 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 $21.3 $21.0 $21.9 $22.7 $22.1 $22.0 $22.1 $22.6 $22.1 Credit card and other loans Cash and investment securities 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 Av er ag e in te re st -b ea rin g lia bi lit ie s ($ in b ill io ns) Av er ag e in te re st -e ar ni ng a ss et s ($ in b ill io ns) Interest-earning asset yields and mix 26.1% 28.6% 27.7% 27.0% 26.4% 27.4% 25.7% 26.5% 26.0% 22.5% 24.8% 23.9% 23.1% 22.4% 23.1% 22.0% 22.1% 21.7% 18.7% 20.6% 19.6% 18.7% 18.0% 18.8% 17.8% 18.1% 17.7% Loan yield Avg. earning asset yield Net interest margin Interest-bearing liability costs and funding mix 4.6% 5.0% 5.2% 5.4% 5.4% 5.4% 5.2% 5.0% 4.9% 3.9% 4.3% 4.6% 4.6% 4.7% 4.7% 4.5% 4.3% 4.2% Cost of total interest-bearing liabilities Cost of deposits Net interest margin 83% 83% 83% 82% 81% 81% 82% 80% 80% 17% 17% 17% 18% 19% 19% 18% 20% 20% 16% 17% 18% 20% 19% 20% 21% 23% 19% 10% 8% 8% 7% 7% 7% 6% 5% 7% 33% 35% 35% 36% 40% 41% 43% 43% 45% 41% 40% 39% 37% 34% 32% 30% 29% 29% Note: Beginning in 2024, we revised the calculation of average balances to more closely align with industry practice by incorporating an average daily balance. Prior to 2024, average balances represent the average balance at the beginning and end of each month, averaged over the periods indicated.

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![](exhibit992slides7-24x25006.jpg)

6©2025 Bread Financial Funding, capital and liquidity $17.9 $17.9 $13.1 $13.2 $3.5 $3.4 $1.3 $1.3 2Q24 2Q25 % of funding 7% 19% 74% CET1 TRBC 2Q24 13.8 % 15.1 % Net earnings 2.2 % 2.2 % Risk-weighted asset changes 0.1 % 0.1 % Common dividends (0.2) % (0.2) % Share repurchases (1.1) % (1.0) % CECL transition provisions (0.7) % (0.7) % Repurchased debt (1.1) % (1.1) % Subordinated notes N/A 2.1 % 2Q25 13.0 % 16.5 % CET1 capital ratio 13.8% 13.0% 2Q24 2Q25 Tier 1 capital ratio 13.8% 13.0% 2Q24 2Q25 TCE + credit reserve rate⁽¹⁾ 25.9% 25.7% 2Q24 2Q25 Total risk-based capital ratio 15.1% 16.5% 2Q24 2Q25 CET1 and total risk-based capital (TRBC) ratios walk Capital ratios Average funding sources Liquid assets 4.0 3.8 Undrawn credit facilities 3.7 3.9 Total 7.8 7.7 % of liquid resources to total assets 35.0% 35.1% (1) Represents a Non-GAAP financial measure. See "Non-GAAP Financial Measures" and "Reconciliation of GAAP to Non-GAAP Financial Measures". ($ in billions) Unsecured borrowings Secured borrowings Deposits End-of-period liquid resources

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![](exhibit992slides7-24x25007.jpg)

7©2025 Bread Financial $2,208 $2,207 $2,328 $2,255 $2,164 $2,190 $2,241 $2,172 $2,098 12.3% 12.3% 12.0% 12.4% 12.2% 12.2% 11.9% 12.2% 11.9% 23.2% 24.0% 23.2% 24.9% 25.9% 25.4% 24.1% 25.3% 25.7% ACL balance Reserve rate⁽¹⁾ TCE + credit reserve rate⁽²⁾ 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 Net loss rates 8.0% 6.9% 8.0% 8.5% 8.6% 7.8% 8.0% 8.2% 7.9% 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 Delinquency rates 5.5% 6.3% 6.5% 6.2% 6.0% 6.4% 5.9% 5.9% 5.7% 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 5-year peak rate: 8.6% 5-year low rate: 3.9% 5-year avg rate: ~6.5% 5-year peak rate: 6.5% 5-year avg rate: ~5.2% 5-year low rate: 3.3% 59% 57% 57% 56% 58% 57% 58% 57% 58% 27% 27% 27% 27% 27% 27% 27% 27% 27% 14% 16% 16% 17% 15% 16% 15% 16% 15% Greater than 660 601-660 600 or below 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 Reserve rates and loss absorption capacity ($ in millions) Revolving credit risk distribution (VantageScore) Credit quality and allowance (1) and (2) See Additional footnotes and definitions of terms in the Appendix. Notes: Starting with 3Q22 through 2Q23, the Net loss rate was impacted by the transition of our credit card processing services in June 2022. See the Additional footnotes and definition of terms slides in the Appendix for an explanation of our change to the average daily balance methodology, as well as impacts from Hurricanes Helene and Milton in 4Q24 and 2Q25.

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![](exhibit992slides7-24x25008.jpg)

8©2025 Bread Financial 2025 financial outlook Full year 2024 actuals Full year 2025 outlook Commentary Average loans 2024: $18,084 million Flat to slightly down Based on our current economic outlook, elevated gross credit losses, and visibility into our pipeline and existing partners, we expect 2025 average credit card and other loans to be flat to slightly down versus full year 2024. Revenue (excl. gain on sale)(1) 2024: $3,827 million Flat We expect revenue, excluding any gain on portfolio sale, to be relatively flat as a result of implemented pricing changes, offset by interest rate reductions by the Federal Reserve, lower billed late fees from improving delinquency trends, and a continued shift in risk and product mix. Adjusted total non-interest expenses(1) 2024: $1,943 million Positive operating leverage We expect to deliver nominal full year positive operating leverage, excluding any gain on portfolio sale and the pre-tax impacts from our repurchased debt, including convertible and senior notes. We continue to strategically invest in technology modernization, marketing, and product innovation to drive growth and efficiencies. Net loss rate 2024: 8.2% 7.8% to 7.9% 2025 net loss rate is expected to improve from 2024 given a resilient consumer, our credit management actions, and continued risk and product mix shifts. (1) Represent Non-GAAP Financial Measures. We are unable to provide a quantitative reconciliation of the forward-looking 2025 financial outlook for these Non-GAAP Financial Measures to their most directly comparable forward-looking GAAP measures as we cannot reliably predict all of the necessary components of such forward-looking GAAP measures without unreasonable effort. In the calculation of full year 2024 actuals, Revenue (excl. gain on sale) excludes from Total revenue an $11 million gain on portfolio sale and Adjusted total non-interest expenses excludes from Total non-interest expenses a $117 million pre-tax impact from our repurchased debt. As of 7/24/2025

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![](exhibit992slides7-24x25009.jpg)

9©2025 Bread Financial Appendix© 2 0 2 2 B r e a d F i n a n c i a l \| C o n f i d e n t i a l & P r o p r i e t a r y 9

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![](exhibit992slides7-24x25010.jpg)

10©2025 Bread Financial Building on our position of strength Manage to the macroeconomic and regulatory environment Proactively execute strategies to improve credit performance and mitigate regulatory uncertainty Operational excellence Accelerate continuous improvement initiatives to deliver technology advancements, improved customer satisfaction, reduced risk exposure, enterprise-wide efficiency, and value creation Disciplined capital allocation and risk management Effectively manage capital ensuring appropriate returns on investments, reducing risk, and maintaining a strong balance sheet Responsible growth Scale diversified product suite enabling growth and expanding revenue generation opportunities, meeting the evolving needs of our brand partners and customers 2025 focus areas

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![](exhibit992slides7-24x25011.jpg)

11©2025 Bread Financial Continuing operations Total non-interest expenses increased 3% versus 2Q24 • Card and processing expenses increased due primarily to higher network fees driven by our gradual shift in product mix. • Information processing and communication expenses increased primarily due to elevated software license renewal costs. • Other expenses increased primarily due to the impacts from repurchased debt. Adjusted efficiency ratio 50% 51% 49% 50% 2Q24 2Q25 YTD '24 YTD '25 Adjusted total non-interest expenses $469 $468 $940 $943 2Q24 2Q25 YTD '24 YTD '25 Total non-interest expenses $(2) $4 $4 $1 $(3) $8 Employee comp. and benefits: Card and processing: Info. processing and comm.: Marketing: Depreciation and amortization: Other: -1% 5% 6% 1% -14% 20% 2Q25 vs. 2Q24 change in non-interest expenses (1) Represents a Non-GAAP financial measure. See "Non-GAAP Financial Measures" and "Reconciliation of GAAP to Non-GAAP Financial Measures". (2) See Additional footnotes and definitions of terms in the Appendix. ($ in millions) 33 bps ($ in millions) 83 bps excl. impacts from repurchased debt(1) excl. gain on portfolio sale and impacts from repurchased debt(1, 2)

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![](exhibit992slides7-24x25012.jpg)

12©2025 Bread Financial Diversified product and partner mix Product diversification 55% 40% 39% 54% 4% 4% 2% 2% Private label Co-brand Proprietary Bread Pay 2Q25 2Q25 Credit salesEnd-of-period loans Partner diversification 24% 25% 23% 19% 17% 33% 13% 7%6% 2%4% 4%4% 4%4% 4%5% 2% Specialty apparel Health and beauty Travel and entertainment Jewelry Home Technology and electronics Proprietary card Sporting goods Other 2Q25 2Q25 Credit salesEnd-of-period loans

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![](exhibit992slides7-24x25013.jpg)

13©2025 Bread Financial Continuing operations ($ in millions) 2Q25 2Q24 2Q25 vs 2Q24 1Q25 2Q25 vs 1Q25 YTD '25 YTD '24 YTD '25 vs YTD '24 Credit sales $6,814 $6,570 4% $6,106 12% $12,920 $12,600 3% Average credit card and other loans $17,686 $17,872 (1%) $18,164 (3%) $17,924 $18,209 (2%) End-of-period credit card and other loans $17,656 $17,743 —% $17,815 (1%) $17,656 $17,743 —% End-of-period direct-to-consumer deposits $8,080 $7,193 12% $7,922 2% $8,080 $7,193 12% Return on average assets(1) 2.5% 2.4% 0.1% 2.5% —% 2.5% 2.4% 0.1% Return on average equity(2) 17.5% 16.7% 0.8% 17.7% (0.2%) 17.6% 17.1% 0.5% Return on average tangible common equity(3) 22.7% 21.8% 0.9% 23.0% (0.3%) 22.8% 22.5% 0.3% Net interest margin(4) 17.7% 18.0% (0.3%) 18.1% (0.4%) 17.9% 18.3% (0.4%) Loan yield(5) 26.0% 26.4% (0.4%) 26.5% (0.5%) 26.3% 26.7% (0.4%) Efficiency ratio(6) 51.8% 49.9% 1.9% 49.1% 2.7% 50.4% 49.2% 1.2% Common equity tier 1 capital ratio(7) 13.0% 13.8% (0.8%) 12.0% 1.0% 13.0% 13.8% (0.8%) Tangible book value per common share(8) $52.21 $48.89 7% $48.92 7% $52.21 $48.89 7% Payment rate(9) 15.0% 14.6% 0.4% 14.8% 0.2% 14.9% 14.5% 0.4% Delinquency rate 5.7% 6.0% (0.3%) 5.9% (0.2%) 5.7% 6.0% (0.3%) Net loss rate 7.9% 8.6% (0.7%) 8.2% (0.3%) 8.0% 8.6% (0.6%) Reserve rate 11.9% 12.2% (0.3%) 12.2% (0.3%) 11.9% 12.2% (0.3%) The terms associated with footnotes (1) through (9) are defined on the Additional footnotes and definition of terms slides in the Appendix. Summary financial highlights

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![](exhibit992slides7-24x25014.jpg)

14©2025 Bread Financial Continuing operations ($ in millions) 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 YTD '24 YTD '25 Credit sales $7,057 $6,668 $7,802 $6,030 $6,570 $6,464 $7,898 $6,106 $6,814 $12,600 $12,920 Year-over-year change (13%) (13%) (23%) (18%) (7%) (3%) 1% 1% 4% (13%) 3% Average credit card and other loans $17,652 $17,540 $18,267 $18,546 $17,872 $17,766 $18,156 $18,164 $17,686 $18,209 $17,924 Year-over-year change 4% —% (8%) (4%) 1% 1% (1%) (2%) (1%) (2%) (2%) End-of-period credit card and other loans $17,962 $17,922 $19,333 $18,185 $17,743 $17,933 $18,896 $17,815 $17,656 $17,743 $17,656 Year-over-year change 1% (1%) (10%) 1% (1%) —% (2%) (2%) —% (1%) —% End-of-period direct-to-consumer deposits $5,993 $6,098 $6,454 $6,984 $7,193 $7,483 $7,687 $7,922 $8,080 $7,193 $8,080 Year-over-year change 43% 18% 18% 24% 20% 23% 19% 13% 12% 20% 12% Return on average assets(1) 1.2% 3.2% 0.8% 2.4% 2.4% 0.1% 0.1% 2.5% 2.5% 2.4% 2.5% Return on average equity(2) 9.4% 24.8% 6.2% 17.5% 16.7% 0.4% 0.9% 17.7% 17.5% 17.1% 17.6% Return on average tangible common equity(3) 13.2% 34.3% 8.5% 23.1% 21.8% 0.5% 1.2% 23.0% 22.7% 22.5% 22.8% Net interest margin(4) 18.7% 20.6% 19.6% 18.7% 18.0% 18.8% 17.8% 18.1% 17.7% 18.3% 17.9% Loan yield(5) 26.1% 28.6% 27.7% 27.0% 26.4% 27.4% 25.7% 26.5% 26.0% 26.7% 26.3% Efficiency ratio(6) 55.7% 48.7% 50.8% 48.6% 49.9% 58.4% 57.8% 49.1% 51.8% 49.2% 50.4% Common equity tier 1 capital ratio(7) 12.1% 12.9% 12.2% 12.6% 13.8% 13.3% 12.4% 12.0% 13.0% 13.8% 13.0% Tangible book value per common share(8) $38.99 $42.45 $43.70 $45.96 $48.89 $47.48 $46.97 $48.92 $52.21 $48.89 $52.21 Payment rate(9) 14.9% 14.5% 14.2% 14.4% 14.6% 14.4% 14.7% 14.8% 15.0% 14.5% 14.9% Delinquency rate 5.5% 6.3% 6.5% 6.2% 6.0% 6.4% 5.9% 5.9% 5.7% 6.0% 5.7% Net loss rate 8.0% 6.9% 8.0% 8.5% 8.6% 7.8% 8.0% 8.2% 7.9% 8.6% 8.0% Reserve rate 12.3% 12.3% 12.0% 12.4% 12.2% 12.2% 11.9% 12.2% 11.9% 12.2% 11.9% The terms associated with footnotes (1) through (9) are defined on the Additional footnotes and definition of terms slides in the Appendix. Note: Starting with 3Q22 through 2Q23, the Net loss rate was impacted by the transition of our credit card processing services in June 2022. Summary financial highlights – trending

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![](exhibit992slides7-24x25015.jpg)

15©2025 Bread Financial Continuing operations ($ in millions, except per share amounts) 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 YTD '24 YTD '25 Total interest income $1,197 $1,301 $1,312 $1,300 $1,228 $1,277 $1,219 $1,231 $1,194 $2,528 $2,424 Total interest expense 205 219 237 248 241 240 231 225 220 489 444 Net interest income 992 1,082 1,075 1,052 987 1,037 988 1,006 974 2,039 1,980 Total non-interest income (40) (51) (58) (61) (48) (54) (62) (36) (45) (110) (81) Revenue 952 1,031 1,017 991 939 983 926 970 929 1,929 1,899 Net principal losses 351 304 367 394 382 347 367 366 348 775 713 Reserve (release) build (15) — 115 (73) (92) 22 50 (70) (74) (164) (143) Provision for credit losses 336 304 482 321 290 369 417 296 274 611 570 Total non-interest expenses 530 502 516 482 469 574 536 477 481 949 958 Income (loss) before income taxes 86 225 19 188 180 40 (27) 197 174 369 371 Provision for income taxes 22 52 (26) 53 47 37 (35) 55 35 100 91 Net income $64 $173 $45 $135 $133 $3 $8 $142 $139 $269 $280 Earnings per diluted share $1.27 $3.46 $0.90 $2.73 $2.65 $0.06 $0.15 $2.86 $2.93 $5.38 $5.79 Adjusted net income(1) $64 $173 $46 $142 $133 $94 $21 $144 $149 $276 $292 Adjusted earnings per diluted share(1) $1.27 $3.46 $0.92 $2.88 $2.65 $1.84 $0.41 $2.90 $3.14 $5.53 $6.04 Pretax pre-provision earnings (PPNR)(1) $422 $529 $501 $509 $470 $409 $390 $493 $448 $980 $941 Adjusted PPNR(1) $422 $529 $502 $518 $465 $501 $399 $495 $458 $984 $953 Summary P&L results – trending (1) Represents a Non-GAAP financial measure. See "Non-GAAP Financial Measures," and "Reconciliation of GAAP to Non-GAAP Financial Measures" in the Appendix.

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![](exhibit992slides7-24x25016.jpg)

16©2025 Bread Financial 2Q25 YTD '25 ($ in millions) Average balance Interest income / expense Average yield / rate Average balance Interest income / expense Average yield / rate Cash and investment securities $4,372 $46 4.2% $4,397 $91 4.2% Credit card and other loans 17,686 1,148 26.0% 17,924 2,333 26.3% Total interest-earning assets 22,058 1,194 21.7% 22,321 2,424 21.9% Direct-to-consumer (Retail) 8,039 88 4.4% 7,919 175 4.5% Wholesale deposits 5,164 51 4.0% 5,194 102 4.0% Interest-bearing deposits 13,203 139 4.2% 13,113 277 4.3% Secured borrowings 3,393 50 5.8% 3,791 109 5.8% Unsecured borrowings 1,267 31 10.0% 1,174 58 9.9% Interest-bearing borrowings 4,660 81 6.9% 4,965 167 6.8% Total interest-bearing liabilities $17,863 $220 4.9% $18,078 $444 5.0% Net interest income $974 $1,980 Net interest margin(1) 17.7% 17.9% (1) See Additional footnotes and definitions of terms in the Appendix. Net interest margin

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![](exhibit992slides7-24x25017.jpg)

17©2025 Bread Financial ($ in millions) 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 Rolling 4 quarter avg. Total company Common equity tier 1 capital ratio(1) 12.1% 12.9% 12.2% 12.6% 13.8% 13.3% 12.4% 12.0% 13.0% 12.7% Total risk-based capital ratio(2) 13.4% 14.2% 13.6% 14.0% 15.1% 14.6% 13.8% 15.5% 16.5% 15.1% Total risk-weighted assets(3) $18,745 $18,730 $20,140 $19,344 $18,859 $19,010 $19,928 $18,810 $18,730 $19,120 Tangible common equity / tangible assets ratio(4) 9.4% 10.0% 9.6% 10.6% 11.3% 11.2% 10.4% 10.8% 11.5% 11.0% Tangible common equity + credit reserve rate(5) 23.2% 24.0% 23.2% 24.9% 25.9% 25.4% 24.1% 25.3% 25.7% 25.1% Comenity Bank Common equity tier 1 capital ratio(1) 18.8% 20.3% 19.7% 18.2% 18.0% 17.4% 16.5% 17.0% 15.8% 16.7% Total risk-based capital ratio(2) 20.1% 21.6% 21.1% 19.6% 19.4% 18.8% 17.9% 18.4% 17.2% 18.1% Comenity Capital Bank Common equity tier 1 capital ratio(1) 18.2% 18.5% 16.6% 17.5% 18.1% 16.0% 15.4% 15.3% 15.9% 15.7% Total risk-based capital ratio(2) 19.6% 19.9% 18.0% 18.9% 19.5% 17.4% 16.7% 18.9% 19.5% 18.1% Capital The terms associated with footnotes (1) through (5) are defined on the Additional footnotes and definition of terms slides in the Appendix. Note: The Common equity tier 1 capital ratio and Total risk-based capital ratio include adjustments for the phase-in of the effect of the current expected credit loss (CECL) model on regulatory capital over a three-year period beginning in the first quarter of 2022, through 2024. 75%, 50% and 25% of the phase-in is included in 2024, 2023 and 2022, respectively. The effects of CECL on our regulatory capital will be fully phased-in beginning in the first quarter of 2025.

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![](exhibit992slides7-24x25018.jpg)

18©2025 Bread Financial 3.9% 4.4% 4.8% 5.6% 5.0% 6.3% 7.0% 8.0% 6.9% 8.0% 8.5% 8.6% 7.8% 8.0% 8.2% 7.9% 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 3.8% 3.9% 4.1% 4.4% 5.7% 5.5% 5.7% 5.5% 6.3% 6.5% 6.2% 6.0% 6.4% 5.9% 5.9% 5.7% 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 15-year low rate(1): 3.8% 15-year avg rate: ~6.0% 15-year avg rate: ~4.9% 15-year low rate: 3.3% Credit quality trends (2) Delinquency rates Net loss rates 15-year peak rate(1): 9.4% 15-year peak rate: 6.5% The explanations associated with footnotes (1) and (2) are defined on the Additional footnotes and definition of terms slides in the Appendix. Notes: Starting with 3Q22 through 2Q23, the Net loss rate was impacted by the transition of our credit card processing services in June 2022.

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![](exhibit992slides7-24x25019.jpg)

19©2025 Bread Financial Additional footnotes and definitions of terms Notes (1) Beginning in 2024, we revised the calculation of average balances to more closely align with industry practice by incorporating an average daily balance. Prior to 2024, average balances represent the average balance at the beginning and end of each month, averaged over the periods indicated. (2) As a result of Hurricanes Helene and Milton, we froze delinquency progression in the fourth quarter of 2024 for customers in Federal Emergency Management Agency identified impact zones for one billing cycle. We estimate the net loss rate benefited by more than 20 basis points in the fourth quarter of 2024 and was negatively impacted by approximately 30 basis points in the second quarter of 2025. Credit quality and allowance (1) Reserve rate: Reserve rate represents the percentage of the Allowance for credit losses to end-of-period Credit card and other loans. (2) TCE + credit reserve rate: Tangible common equity (TCE) + credit reserve rate represents the sum of TCE and Allowance for credit losses divided by end-of-period Credit card and other loans. TCE is a Non-GAAP financial measure. Total non-interest expenses (1) Efficiency ratio: Efficiency ratio represents Total non-interest expenses divided by Total net interest and non-interest income. Summary financial highlights (1) Return on average assets: Return on average assets represents annualized Income from continuing operations divided by average Total assets. (2) Return on average equity: Return on average equity represents annualized Income from continuing operations divided by average Total stockholders' equity. (3) Return on average tangible common equity: Return on average tangible common equity (ROTCE) represents annualized Income from continuing operations divided by average Tangible common equity. Tangible common equity (TCE) represents Total stockholders' equity reduced by Goodwill and intangible assets, net. ROTCE is a Non-GAAP financial measure. (4) Net interest margin: Net interest margin represents annualized Net interest income divided by average Total interest-earning assets. (5) Loan yield: Loan yield represents annualized Interest and fees on loans divided by Average credit card and other loans. (6) Efficiency ratio: Efficiency ratio represents Total non-interest expenses divided by Total net interest and non-interest income. (7) Common equity tier 1 capital ratio: Common equity tier 1 capital ratio represents tier 1 capital divided by total risk-weighted assets. In the calculation of tier 1 capital, we follow the Basel III Standardized Approach and therefore Total stockholders' equity has been reduced, primarily by Goodwill and intangible assets, net. (8) Tangible book value per common share: Tangible book value per common share represents TCE divided by shares outstanding and is a Non-GAAP financial measure. (9) Payment rate: Payment rate represents consumer payments during the period, divided by the aggregate of the opening monthly Credit card and other loans balances during the period, including held for sale in applicable periods. Continued on the following page

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![](exhibit992slides7-24x25020.jpg)

20©2025 Bread Financial Additional footnotes and definitions of terms Net interest margin (1) Net interest margin: Net interest margin represents annualized Net interest income divided by average Total interest-earning assets. Capital (1) Common equity tier 1 capital ratio: Common equity tier 1 capital ratio represents tier 1 capital divided by total risk-weighted assets. In the calculation of tier 1 capital, we follow the Basel III Standardized Approach and therefore Total stockholders' equity has been reduced, primarily by Goodwill and intangible assets, net. (2) Total risk-based capital ratio: Total risk-based capital ratio represents total capital divided by total risk-weighted assets. In the calculation of total capital, we follow the Basel III Standardized Approach and therefore tier 1 capital has been increased by tier 2 capital, which for us is comprised of subordinated notes, as well as the allowable portion of the Allowance for credit losses. (3) Total risk-weighted assets: Total risk-weighted assets are generally measured by allocating assets, and specified off-balance sheet exposures, to various risk categories as defined by the Basel III Standardized Approach. (4) Tangible common equity/tangible assets ratio: Tangible common equity over tangible assets (TCE/TA) represents TCE divided by Tangible assets (TA), which is Total assets reduced by Goodwill and intangible assets, net. TCE/TA is a Non-GAAP financial measure. (5) Tangible common equity (TCE) + credit reserve rate: Tangible common equity + credit reserve rate represents the sum of TCE and Allowance for credit losses divided by End-of-period credit card and other loans. TCE is a non-GAAP financial measure. Credit quality trends (1) Peak Net loss rate occurred in 2010. Low Net loss rate occurred in 2014. (2) The 2Q22 Net loss rate includes a 30 basis point increase from the effects of the purchase of previously written-off accounts that were sold to a third-party debt collection agency.

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![](exhibit992slides7-24x25021.jpg)

21©2025 Bread Financial Forward-looking statements This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements give our expectations or forecasts of future events and can generally be identified by the use of words such as "believe," "expect," "anticipate," "estimate," "intend," "project," "plan," "likely," "may," "should" or other words or phrases of similar import. Similarly, statements that describe our business strategy, outlook, objectives, plans, intentions or goals also are forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements we make regarding, and the guidance we give with respect to, our anticipated operating or financial results, future financial performance and outlook, future dividend declarations, and future economic conditions. We believe that our expectations are based on reasonable assumptions. Forward-looking statements, however, are subject to a number of risks and uncertainties that are difficult to predict and, in many cases, beyond our control. Accordingly, our actual results could differ materially from the projections, anticipated results or other expectations expressed in this release, and no assurances can be given that our expectations will prove to have been correct. Factors that could cause the outcomes to differ materially include, but are not limited to, the following: macroeconomic conditions, including market conditions, inflation, interest rates, labor market conditions, recessionary pressures or concerns over a prolonged economic slowdown, and the related impact on consumer spending behavior, payments, debt levels, savings rates and other behaviors; global political and public health events and conditions, including significant shifts in trade policy, such as changes to, or the imposition of, tariffs and/or trade barriers and any economic impacts, volatility, uncertainty and geopolitical instability resulting therefrom, as well as ongoing wars and military conflicts and natural disasters; future credit performance, including the level of future delinquency and write-off rates; the loss of, or reduction in demand from, significant brand partners or customers in the highly competitive markets in which we compete; the concentration of our business in U.S. consumer credit; inaccuracies in the models and estimates on which we rely, including the amount of our Allowance for credit losses and our credit risk management models; the inability to realize the intended benefits of acquisitions, dispositions and other strategic initiatives; our level of indebtedness and ability to access financial or capital markets; pending and future federal and state legislation, regulation, supervisory guidance, and regulatory and legal actions, including, but not limited to, those related to financial regulatory reform and consumer financial services practices, as well as any such actions with respect to late fees, interchange fees or other charges; impacts arising from or relating to the transition of our credit card processing services to third party service providers that we completed in 2022; failures or breaches in our operational or security systems, including as a result of cyberattacks, unanticipated impacts from technology modernization projects or otherwise; and any tax or other liability or adverse impacts arising out of or related to the spinoff of our former LoyaltyOne segment or the bankruptcy filings of Loyalty Ventures Inc. (LVI) and certain of its subsidiaries and subsequent litigation or other disputes. The foregoing factors, along with other risks and uncertainties that could cause actual results to differ materially from those expressed or implied in forward-looking statements, are described in greater detail under the headings "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in our Annual Report on Form 10-K for the most recently ended fiscal year, which may be updated in Item 1A of, or elsewhere in, our Quarterly Reports on Form 10-Q filed for periods subsequent to such Form 10-K. Our forward-looking statements speak only as of the date made, and we undertake no obligation, other than as required by applicable law, to update or revise any forward-looking statements, whether as a result of new information, subsequent events, anticipated or unanticipated circumstances or otherwise.

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![](exhibit992slides7-24x25022.jpg)

22©2025 Bread Financial We prepare our Consolidated Financial Statements in accordance with accounting principles generally accepted in the United States of America (GAAP). However, certain information included herein constitutes Non-GAAP Financial Measures. Our calculations of Non-GAAP Financial Measures may differ from the calculations of similarly titled measures by other companies. In particular: • We may from time to time repurchase debt, including our outstanding senior unsecured notes, subordinated notes or convertible notes. From a GAAP perspective we may pay a premium to induce these repurchases, or in certain cases repurchase at a discount, which would result in an impact to Total non-interest expenses, with a corresponding impact also reflected in Net income and consequently our Earnings per diluted share. We have shown adjustments to these three financial statement line items, for total Company as well as for continuing operations, to exclude the impacts from our repurchased debt transactions. We use Adjusted total non-interest expenses, Adjusted net income, and Adjusted earnings per diluted share to evaluate the ongoing operations of the Company excluding the volatility that can occur from the impacts of our repurchased debt transactions. • Pretax pre-provision earnings (PPNR) represents Income from continuing operations before income taxes and the Provision for credit losses. PPNR excluding any gain on portfolio sale and impacts from repurchased debt then excludes from PPNR the gain on any portfolio sale in the period, as well as the loss or gain on any repurchased debt in the period. We use PPNR and PPNR excluding any gain on portfolio sale and impacts from repurchased debt as metrics to evaluate our results of operations before income taxes, excluding the volatility that can occur within Provision for credit losses and the one-time nature of a gain on the sale of a portfolio and/or the impacts from repurchased debt. • Return on average tangible common equity (ROTCE) represents annualized Income from continuing operations divided by average Tangible common equity. Tangible common equity (TCE) represents Total stockholders' equity reduced by Goodwill and intangible assets, net. We use ROTCE as a metric to evaluate the Company's performance. • Tangible common equity over Tangible assets (TCE/TA) represents TCE divided by Tangible assets (TA), which is Total assets reduced by Goodwill and intangible assets, net. We use TCE/TA as a metric to evaluate the Company's capital adequacy and estimate its ability to absorb losses. • Tangible book value per common share represents TCE divided by shares outstanding. We use Tangible book value per common share, a metric used across the industry, to estimate liquidation value. We believe the use of these Non-GAAP financial measures provide additional clarity in understanding our results of operations and trends. For a reconciliation of these Non-GAAP financial measures to the most directly comparable GAAP measures, please see the "Reconciliation of GAAP to Non-GAAP Financial Measures". Non-GAAP financial measures

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![](exhibit992slides7-24x25023.jpg)

23©2025 Bread Financial Reconciliation of GAAP to Non-GAAP financial measures ($ in millions, except per share amounts) 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 YTD '24 YTD '25 Adjusted total non-interest expenses Total non-interest expenses $530 $502 $516 $482 $469 $574 $536 $477 $481 $949 $958 Impacts from repurchased debt — — 1 9 — 96 11 2 13 9 15 Adjusted total non-interest expenses $530 $502 $515 $473 $469 $478 $525 $475 $468 $940 $943 Income from continuing operations, net of taxes $64 $173 $45 $135 $133 $3 $8 $142 $139 $269 $280 Loss from discontinued operations, net of taxes (16) (2) (2) (1) — (1) (1) (4) — (1) (4) Net income $48 $171 $43 $134 $133 $2 $7 $138 $139 $268 $276 Impacts from repurchased debt — — 1 7 — 91 13 2 10 7 12 Adjusted net income $48 $171 $44 $141 $133 $93 $20 $140 $149 $275 $288 Adjusted income from continuing operations, net of taxes $64 $173 $46 $142 $133 $94 $21 $144 $149 $276 $292 Weighted average shares outstanding – diluted 50.3 50.1 49.6 49.7 50.2 51.0 50.9 49.6 47.2 49.9 48.4 Income from continuing operations per diluted share $1.27 $3.46 $0.90 $2.73 $2.65 $0.06 $0.15 $2.86 $2.93 $5.38 $5.79 (Loss) income from discontinued operations per diluted share (0.32) (0.04) (0.03) (0.03) 0.01 (0.01) (0.01) (0.08) 0.01 (0.02) (0.08) Net income per diluted share $0.95 $3.42 $0.87 $2.70 $2.66 $0.05 $0.14 $2.78 $2.94 $5.36 $5.71 Impacts from repurchased debt — — 0.02 0.15 — 1.78 0.26 0.04 0.21 0.15 0.25 Adjusted net income per diluted share $0.95 $3.42 $0.89 $2.85 $2.66 $1.83 $0.40 $2.82 $3.15 $5.51 $5.96 Adjusted income from continuing operations per diluted share $1.27 $3.46 $0.92 $2.88 $2.65 $1.84 $0.41 $2.90 $3.14 $5.53 $6.04 Continued on the following page

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![](exhibit992slides7-24x25024.jpg)

24©2025 Bread Financial ($ in millions) 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 YTD '24 YTD '25 Pretax pre-provision earnings (PPNR) Income (loss) before income taxes $86 $225 $19 $188 $180 $40 $(27) $197 $174 $369 $371 Provision for credit losses 336 304 482 321 290 369 417 296 274 611 570 Pretax pre-provision earnings (PPNR) $422 $529 $501 $509 $470 $409 $390 $493 $448 $980 $941 Less: Gain on portfolio sale — — — — (5) (4) (2) — (3) (5) (3) Add: Impacts from repurchased debt — — 1 9 — 96 11 2 13 9 15 Adjusted PPNR(1) $422 $529 $502 $518 $465 $501 $399 $495 $458 $984 $953 Average Tangible common equity Average Total stockholders' equity $2,731 $2,795 $2,866 $3,120 $3,202 $3,314 $3,217 $3,246 $3,183 $3,161 $3,214 Less: average Goodwill and intangible assets, net (785) (775) (766) (759) (750) (748) (752) (744) (735) (754) (739) Average Tangible common equity $1,946 $2,020 $2,100 $2,361 $2,452 $2,566 $2,465 $2,502 $2,448 $2,407 $2,475 Tangible common equity (TCE) Total stockholders' equity $2,736 $2,864 $2,918 $3,032 $3,170 $3,112 $3,051 $3,068 $3,166 $3,170 $3,166 Less: Goodwill and intangible assets, net (780) (771) (762) (753) (744) (754) (746) (738) (731) (744) (731) Tangible common equity (TCE) $1,956 $2,093 $2,156 $2,279 $2,426 $2,358 $2,305 $2,330 $2,435 $2,426 $2,435 Tangible assets (TA) Total assets $21,609 $21,608 $23,141 $22,299 $22,144 $21,736 $22,891 $22,382 $21,821 $22,144 $21,821 Less: Goodwill and intangible assets, net (780) (771) (762) (753) (744) (754) (746) (738) (731) (744) (731) Tangible assets (TA) $20,829 $20,837 $22,379 $21,546 $21,400 $20,982 $22,145 $21,644 $21,090 $21,400 $21,090 Reconciliation of GAAP to Non-GAAP financial measures

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## Exhibit 99.3

**Exhibit 99.3**

![image_0.jpg](image_0.jpg)

**Bread Financial Declares Dividend on Common Stock**

**COLUMBUS, Ohio – July 24, 2025** – Bread Financial<sup>®</sup> Holdings, Inc. (NYSE: BFH), a tech-forward financial services company that provides simple, flexible payment, lending and saving solutions, today announced that its Board of Directors declared a quarterly cash dividend of $0.21 per share on the Company's common stock, payable on September 12, 2025 to stockholders of record at the close of business on August 8, 2025.

**About Bread Financial**<sup>®</sup>

Bread Financial<sup>®</sup> (NYSE: BFH) is a tech-forward financial services company that provides simple, personalized payment, lending, and saving solutions to millions of U.S consumers. Our payment solutions, including Bread Financial general purpose credit cards and savings products, empower our customers and their passions for a better life. Additionally, we deliver growth for some of the most recognized brands in travel & entertainment, health & beauty, jewelry and specialty apparel through our private label and co-brand credit cards and pay-over-time products providing choice and value to our shared customers.

To learn more about Bread Financial, our global associates and our sustainability commitments, visit <u>breadfinancial.com</u> or follow us on <u>Instagram</u> and <u>LinkedIn</u>.

**Contacts**

Brian Vereb – Investor Relations

<u>Brian.Vereb@BreadFinancial.com</u> 

Susan Haugen – Investor Relations

<u>Susan.Haugen@BreadFinancial.com</u> 

Rachel Stultz – Media

<u>Rachel.Stultz@BreadFinancial.com</u> 

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