Subprime consumer lender OneMain's Q2 adjusted EPS beats estimates

OneMain Holdings

25/07/2025 11:40

Overview

OneMain Holdings Inc Q2 adjusted EPS of $1.45 beats analyst expectations, per LSEG data

The subprime consumer lender's net income for Q2 rises to $167 mln, up from $71 mln last year

Managed receivables grow 7% yr/yr to $25.2 bln

Outlook

Company did not provide specific guidance for future quarters in press release

Company continues to focus on disciplined balance sheet management

Result Drivers

RECEIVABLE GROWTH - Co attributes revenue increase to 7% growth in managed receivables, reaching $25.2 bln

CREDIT IMPROVEMENT - Improved credit performance contributed to higher capital generation in Consumer and Insurance segment

INTEREST INCOME - 10% rise in interest income driven by receivable growth and improved portfolio yield

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Adjusted EPS
Beat
$1.45
$1.23 (16 Analysts)
Q2 EPS
$1.4
Q2 Net Income
$167 mln
Q2 Net Interest Income
$1.02 bln
Q2 Operating Expenses
-$419 mln
Q2 Pretax Profit
$214 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the consumer lending peer group is "buy"

Wall Street's median 12-month price target for OneMain Holdings Inc is $63.00, about 6.9% above its July 24 closing price of $58.63

The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release: ID:nPn7sy4N9a

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)