Bread Financial Provides Performance Update for January 2026
MWN-AI** Summary
Bread Financial Holdings, Inc. (NYSE: BFH), a forward-thinking financial services provider based in Columbus, Ohio, released its performance update for January 2026, showcasing a solid operational footing. The data revealed that as of January 31, 2026, the company reported end-of-period credit card and other loans totaling $18.386 billion, which is slightly up from $18.366 billion a year earlier. The average loans remained relatively stable, reflecting a negligible year-over-year change. Notably, net principal losses decreased to $111 million from $123 million in the previous year, indicating improved credit performance. The net principal loss rate similarly dropped to 7.1% from 7.8%, which can be seen as a positive indicator of the company's operational health.
The delinquency metrics also demonstrated a favorable trend, with 30-day-plus delinquencies declining to $960 million from $1.032 billion year-over-year. Consequently, the delinquency rate improved to 5.9%, down from 6.1%, further highlighting the company’s focus on effective credit risk management.
Bread Financial highlights its commitment to delivering personalized financial solutions through products such as general credit cards and savings options aimed at enhancing customers' lives. Celebrating 30 years of success in 2026, Bread Financial continues to play a vital role in supporting notable brands across various sectors, including travel, health, and retail, via its private label and co-brand credit products.
While optimistic, the company acknowledges potential risks that could impact future performance, such as economic fluctuations, consumer behavior, regulatory changes, and competitive pressures. The firm expresses confidence in its strategic initiatives to navigate these challenges and drive growth. For further details, stakeholders were encouraged to explore the company's resources and reach out to their investor relations team.
MWN-AI** Analysis
Bread Financial® Holdings, Inc. (NYSE: BFH) has recently shared its performance update for January 2026, revealing insights that could influence market sentiment and investment decisions. Notably, the company reported a decrease in net principal losses and an improved delinquency rate. The net principal loss rate fell from 7.8% in January 2025 to 7.1% in January 2026, while the delinquency rate decreased from 6.1% to 5.9%. This indicates a strengthening credit profile, potentially reducing investor concerns about asset quality.
The stability in the average credit card loans, remaining effectively flat at $18.531 billion, along with a slight increase in end-of-period loans to $18.386 billion, suggests resilience in customer borrowing behavior. The year-over-year changes indicate a relatively stable financial environment for Bread Financial, supporting its growth initiatives.
As Bread Financial celebrates its 30th year, it positions itself as not just a financial service provider but a tech-forward company. This strategic branding aims to differentiate itself from competitors and capture market share, particularly in the evolving landscape of digital finance.
Investors should remain cautious, however, considering potential macroeconomic risks such as inflation, interest rates, and recessionary pressures that could impact consumer spending and credit performance. They should also factor in competition from fintech firms and the implications of regulatory developments.
Overall, the current performance indicators suggest a positive trajectory for Bread Financial, but stakeholders should weigh the potential risks outlined in their forward-looking statements. Investors might consider monitoring Bread Financial's credit performance metrics closely and reassess the company's valuation in light of broader market conditions. Thus, a cautious bullish approach could be prudent, holding positions while keeping an eye on macroeconomic indicators and competitive landscape shifts.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
COLUMBUS, Ohio, Feb. 10, 2026 (GLOBE NEWSWIRE) -- Bread Financial® Holdings, Inc. (NYSE: BFH), a tech-forward financial services company that provides simple, personalized payment, lending, and saving solutions to millions of U.S. consumers, provided a performance update. The following tables present the Company’s Net principal loss rate and Delinquency rate for the periods indicated:
| For the month ended January 31, 2026 | For the month ended January 31, 2025 | ||||||
| (dollars in millions) | |||||||
| End-of-period credit card and other loans | $ | 18,386 | $ | 18,366 | |||
| Average credit card and other loans | $ | 18,531 | $ | 18,530 | |||
| Year-over-year change in average credit card and other loans | — | % | (2 | %) | |||
| Net principal losses | $ | 111 | $ | 123 | |||
| Net principal loss rate | 7.1 | % | 7.8 | % |
| As of January 31, 2026 | As of January 31, 2025 | ||||||
| (dollars in millions) | |||||||
| 30 days + delinquencies – principal | $ | 960 | $ | 1,032 | |||
| Period ended credit card and other loans – principal | $ | 16,401 | $ | 16,874 | |||
| Delinquency rate | 5.9 | % | 6.1 | % |
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.?
Bread Financial proudly marks 30 years of success in 2026. To learn more about our global associates, our performance and our sustainability progress, visit breadfinancial.com?or follow us on Instagram?and LinkedIn.
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 consequently 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 charge-off rates; loss of, or reduction in demand for services and/or products from, significant brand partners or customers in the highly competitive markets in which we operate, including competition from new and non-traditional competitors, such as financial technology companies, and with respect to new products, services and technologies, such as the emergence or increase in popularity of agentic commerce, digital payment platforms and currencies and other alternative payment and deposit solutions; the concentration of our business in U.S. consumer credit; inaccuracies in the models and estimates on which we rely, including our credit risk management models and the amount of our Allowance for credit losses; 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, executive action, 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 that would place limits on credit card interest rates or late fees, interchange fees or other charges; 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 liability or other 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, including the pending litigation against us in connection with the spinoff. 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.
Contacts
Brian Vereb — Investor Relations
Brian.Vereb@breadfinancial.com
Susan Haugen — Investor Relations
Susan.Haugen@breadfinancial.com
Rachel Stultz — Media
Rachel.Stultz@breadfinancial.com
FAQ**
How do the recent net principal loss rate and delinquency rate for Bread Financial Holdings Inc. (BFH) compare to industry benchmarks, and what strategies are in place to improve these figures moving forward?
Given the recent performance update by Bread Financial Holdings Inc. (BFH), what key factors contributed to the year-over-year decrease in net principal losses from $1million to $111 million as of January 31, 2026?
With the company's focus on tech-forward financial services, how is Bread Financial Holdings Inc. (BFH) adapting to the competitive landscape, particularly concerning emerging fintech competitors and digital payment platforms?
As Bread Financial Holdings Inc. (BFH) marks its 30th anniversary, what are the company’s strategic goals for the next five years, particularly concerning growth in customer lending and enhancing consumer payment solutions?
**MWN-AI FAQ is based on asking OpenAI questions about Bread Financial Holdings Inc. (NYSE: BFH).
NASDAQ: BFH
BFH Trading
0.62% G/L:
$71.77 Last:
218,527 Volume:
$70.47 Open:
