SLM Corp (SLM) Form 8-K — Oct 22, 2026
Sallie Mae (SLM) reported a Q3 2026 GAAP net loss of $0.19 per diluted share, versus net income of $0.63 a year ago, driven by elevated provisions ($214 million) and non-interest expenses ($221 million, +22% YoY) tied to record originations. Record $3.4 billion in Private Education Loan originations grew 15%, including 119% Graduate Loan growth after PLUS reform, with strong origination credit quality (average winning FICO 757). Net charge-offs rose to $90 million, blamed on misaligned third-party debt resolution practices pushing a small high-ability-to-pay borrower segment straight from delinquency to default, with slower-than-anticipated borrower adoption of corrective strategies.
Key figures
- Eps
- -$0.19 (Q3 2026 GAAP diluted)
- Revenue
- $375 million net interest income (Q3 2026)
- Guidance
- FY2026 diluted EPS $1.95-$2.05 (down from prior $3.10-$3.20); originations growth 12%-14% (unchanged); net charge-offs $400-$420 million (up from prior $365-$385 million); non-interest expenses $750-$780 million (unchanged)
- Net Income
- -$32.3 million (Q3 2026 net loss)
- Total Debt
- $6.43 billion ($0.90 billion short-term plus $5.54 billion long-term borrowings)
- Total Assets
- $29.84 billion
- Cash Position
- $2.17 billion cash and cash equivalents
- Shares Outstanding
- 445.7 million shares issued; 185.6 million average diluted shares in Q3 2026
- Q3 buyback
- 5.1 million shares for $132.2 million
- Ytd buyback
- 18.1 million shares for $415.6 million
- Cosigner rate
- 92%
- Cost of funds
- 4.21%
- Delinquency rate
- 4.2% of loans in repayment
- Net charge offs q3
- $90 million
- Portfolio loan sale
- $143 million
- Average winning fico
- 757
- Non interest expenses
- $221 million, up 22% YoY
- Remaining buyback capacity
- $111 million
- Provision for credit losses
- $214 million
- Graduate loan origination growth
- 119%
- Private education loan originations
- $3.4 billion, up 15% YoY
- Allowance pct of private loan exposure
- 5.89%
AI analysis
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