Overview

* LendingClub ( LC ) Q2 revenue rises 33%, beating analyst expectations, per LSEG data

* Net income surges 156% to $38.2 mln

* Co extends $3.4 bln loan funding partnership with Blue Owl

Outlook

* LendingClub ( LC ) expects Q3 loan originations of $2.5 bln to $2.6 bln

* Company projects Q3 PPNR of $90 mln to $100 mln

* LendingClub ( LC ) anticipates Q3 ROTCE of 10% to 11.5%

Result Drivers

* ORIGINATIONS GROWTH - Loan originations increased 32% to $2.4 bln, driven by successful product and marketing initiatives

* CREDIT OUTPERFORMANCE - Achieved 40% better credit performance compared to competitors, contributing to strong net income growth

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $248.40 $227.50

Revenue mln mln (10

Analysts

)

Q2 EPS $0.33

Q2 Net $38.20

Income mln

Q2 $39.70

Credit mln

Loss

Provisio

n

Q2 $54 mln

Pretax

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 3 "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 LendingClub Corp ( LC ) is $14.00, about 7.5% above its July 28 closing price of $12.95

* The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release:

(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.)