Logo

BFH

Bread Financial Holdings, Inc.

BFH

Bread Financial Holdings, Inc. • NYSE
$67.73 ▲ 0.40% (+0.27)
Market Cap $3.09 B
52w High $68.72
52w Low $38.21
Dividend Yield 0.86%
P/E 6.86
Volume 240.75K
Outstanding Shares 45.66M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $1.181B ▲ $476M ▼ $188M ▲ 15.919% ▲ $4.04 ▲ $215M ▲
Q2-2025 $1.149B ▼ $481M ▲ $139M ▲ 12.097% ▲ $2.98 ▲ $195M ▼
Q1-2025 $1.195B ▲ $477M ▼ $138M ▲ 11.548% ▲ $2.81 ▲ $218M ▲
Q4-2024 $1.156B ▼ $535M ▼ $7M ▲ 0.606% ▲ $0.14 ▲ $-5M ▼
Q3-2024 $1.223B $574M $2M 0.164% $0.04 $62M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $4.048B ▲ $21.714B ▼ $18.397B ▼ $3.317B ▲
Q2-2025 $3.975B ▼ $21.821B ▼ $18.655B ▼ $3.166B ▲
Q1-2025 $4.212B ▲ $22.382B ▼ $19.314B ▼ $3.068B ▲
Q4-2024 $3.849B ▲ $22.891B ▲ $19.84B ▲ $3.051B ▼
Q3-2024 $3.633B $21.736B $18.624B $3.112B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $188M ▲ $605M ▲ $-338M ▼ $-306M ▲ $0 ▲ $597M ▲
Q2-2025 $138M $526M ▲ $-221M ▼ $-723M ▼ $-418M ▼ $526M ▲
Q1-2025 $138M ▲ $393M ▼ $691M ▲ $-562M ▼ $522M ▲ $393M ▼
Q4-2024 $7M ▲ $479M ▲ $-1.351B ▼ $1.115B ▲ $243M ▲ $479M ▼
Q3-2024 $2M $456M $-569M $-488M $-601M $482M

Revenue by Products

Product Q4-2020Q1-2021Q2-2021Q3-2021
Coalition Loyalty Program
Coalition Loyalty Program
 $70.00M ▲$70.00M ▲$70.00M ▲$70.00M ▲
Other
Other
 $0 ▲$0 ▲$0 ▲$0 ▲
Servicing Fees Net
Servicing Fees Net
 $-70.00M ▲$-30.00M ▲$-50.00M ▼$-60.00M ▼
Short Term Loyalty Programs
Short Term Loyalty Programs
 $170.00M ▲$110.00M ▼$80.00M ▼$100.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Bread Financial’s income statement shows a business that can grow but whose profits move around a lot. Revenue has generally trended upward over the last several years, though the most recent year shows a modest pullback from the prior peak. Profitability is choppy: operating income and earnings jump in some years and fall back in others, which suggests sensitivity to credit costs, funding costs, and the consumer cycle. Margins expanded meaningfully in strong years but then compressed again, indicating that the company can be quite profitable when conditions are favorable, but that its earnings are not yet consistently stable. Overall, it looks like a scale business with proven earning power, but with noticeable volatility and exposure to swings in consumer credit quality and spending.

Balance Sheet

Balance Sheet The balance sheet points to a lender that has been gradually strengthening its capital position while keeping its overall size relatively steady. Total assets have moved within a narrow band, implying no aggressive balance-sheet expansion. Cash balances are healthy and have trended slightly upward, which supports liquidity. Debt levels have come down from earlier peaks, easing leverage compared with a few years ago. Shareholders’ equity has grown steadily each year, a positive sign that the company is rebuilding capital and absorbing past volatility. The picture is of a balance sheet that is more resilient than it was several years ago, though still dependent on disciplined risk management given the nature of consumer credit.

Cash Flow

Cash Flow Cash generation is a relative bright spot. Operating cash flow has been solid and fairly consistent over the period, even when accounting profits have bounced around. Free cash flow closely tracks operating cash flow because capital spending needs are modest, reflecting a business model that is not very asset‑heavy. This steady cash profile gives Bread Financial flexibility to invest in technology, fund growth in receivables, and manage its capital structure. While earnings can swing with credit costs, the underlying cash engine appears reliable, which is valuable in a cyclical, credit-driven business.

Competitive Edge

Competitive Edge Bread Financial operates in a crowded, competitive market, but it has several structural advantages. It combines the regulatory footing of a bank with the speed and customer experience focus of a fintech, which can be appealing to large brands that want modern financing solutions without building them in-house. Its long-standing relationships with many well-known retailers and brands form a meaningful barrier to entry; new competitors must convince those partners to switch providers, which is not easy. Its experience in underwriting and managing consumer credit through different cycles is another edge versus newer, untested fintechs. However, the company still faces intense competition from big banks, card networks, and newer fintechs in areas like co-brand cards and buy-now-pay-later, so maintaining and expanding these partnerships is crucial to its positioning.

Innovation and R&D

Innovation and R&D Innovation is a core part of Bread Financial’s strategy. The company has been shifting toward a modern, cloud-based technology stack to speed up product development and improve efficiency. It has invested heavily in digital tools that let retail partners embed financing offers directly in their apps and websites, creating a smoother, white-label experience for shoppers. On top of that, Bread Financial is leaning into artificial intelligence and machine learning, using them to refine credit decisioning, personalize offers, and detect fraud more effectively. Its product lineup—private-label and co-brand cards, buy-now-pay-later options, a cash-back credit card, and high-yield savings—shows an effort to cover multiple consumer needs and reduce reliance on any single product. The key execution risk is delivering on this tech roadmap quickly enough to stay ahead of both traditional banks and fast-moving fintech challengers.

Summary

Bread Financial today looks like a specialized credit provider with improving financial foundations, solid cash generation, and meaningful but tested competitive strengths. Its income statement tells a story of real earning power tempered by volatility, driven largely by credit and consumer cycles. The balance sheet and cash flows, in contrast, look sturdier and more stable than they did a few years ago, indicating deliberate efforts to strengthen the franchise. Competitively, the company benefits from deep retail partnerships, banking status, and a technology-forward approach, but it operates in a very competitive, fast-evolving market. Its ongoing investments in digital platforms, AI, and a broader product set are central to its plan to sustain growth and reduce dependence on any one partner or channel. The main things to watch going forward are how consistently it can convert those strengths into stable earnings, how well it navigates credit cycles, and whether its innovation agenda continues to translate into durable, high-quality partner relationships.

NEWS

November 20, 2025 · 8:33 PM UTC

Bread Financial Announces Pricing of an Offering of Depositary Shares Representing Interests in Its Series A Preferred Stock

Read more

November 20, 2025 · 9:09 AM UTC

Bread Financial Announces Launch of an Offering of Depositary Shares Representing Interests in Its Series A Preferred Stock

Read more

November 13, 2025 · 7:30 AM UTC

Bread Financial Provides Performance Update for October 2025

Read more

November 6, 2025 · 7:30 AM UTC

Bread Financial to Participate in the KBW Fintech Payments Conference

Read more

October 28, 2025 · 6:27 PM UTC

Bread Financial Announces Pricing of Private Offering of $500 Million of Senior Notes

Read more