= Second Quarter 2016 Results August 8, 2016 1 Privileged and Confidential
Safe Harbor Some of the statements in this presentation, including statements regarding investor demand and anticipated future financial results are "forward-looking statements." The words "anticipate," "believe," "estimate," "expect," "intend," "may," “outlook,” "plan," "predict," "project," "will," "would" and similar expressions may identify forward- looking statements, although not all forward-looking statements contain these identifying words. Factors that could cause actual results to differ materially from those contemplated by these forward statements include: the outcomes of pending governmental investigations and pending or threatened litigation, which are inherently uncertain; the impact of recent management changes and the ability to continue to retain key personnel; ability to achieve cost savings from recent restructurings; the Company’s ability to continue to attract and retain new and existing retail and institutional investors; competition; overall economic conditions; demand for the types of loans facilitated by the Company; default rates and those factors set forth in the section titled “Risk Factors” in the Company’s most recent Quarterly Report on Form 10-Q and Annual Report on Form 10-K, each filed with the SEC. The Company may not actually achieve the plans, intentions or expectations disclosed in forward-looking statements, and you should not place undue reliance on forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in forward-looking statements. The Company does not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Information in this presentation is not an offer to sell securities or the solicitation of an offer to buy securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction. Additional information about Lending Club is available in the prospectus for Lending Club’s notes, which can be obtained on Lending Club’s website at https://www.lendingclub.com/info/prospectus.action. 2 Privileged and Confidential
“ Our mission is to transform the banking system to make credit more affordable and investing more rewarding . ” 3 Privileged and Confidential
Disciplined Growth (with a Q2 Misstep) Marketplace Loan Originations $1,955 million ($ in millions) Marketplace loans originated since inception: $20,687 million 2,750 2,579 2,236 1,912 1,635 1,415 1,165 1,006 791 698 567 446 353 264 207 137 110 87 69 56 46 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 Note: As of June 30, 2016 4
An Online Marketplace Borrowers Investors Capital Principal + Interest All Loans originated and issued by our federally regulated issuing bank partners. 5
Business Model Driving Lower Costs Traditional Lender Operating Expense 1 : 5-7% Operating Expense 2 : ~2-3% Reserve Requirements Branch Infrastructure Technology and business model drive cost down Customer Acquisition Underwriting Customer Acquisition Origination Underwriting Origination Servicing Servicing 1. Operating expenses as a percentage of outstanding loan balance. The analysis used Q1 2016 and included Citi, Wells Fargo & Co., Capital One Financial, Discover Financial Services, Bank of America and JPMorgan. • 2. Estimated operating expenses on a “run rate” basis based on operating expenses for the quarter ended March 30, 2016 annualized, assuming no growth in monthly rate of origination volume. 6
Providing Value to Both Borrowers and Investors 25.0% 20.7% 1 20.0% Big Savings for Borrowers 15.0% 13.8% 3 Traditional Bank Lenders 10.0% 6.9% 4 5.0% Better Returns for Investors 0.06% 2 0.0% 1. Based on responses from 6,169 borrowers in a survey of 29,309 randomly selected borrowers conducted by Lending Club from April 1, 2016 – June 30, 2016. Borrowers who received a loan to consolidate existing debt or pay off their credit card balance reported that the interest rate on outstanding debt or credit cards was on average, approximately 20.7% • 2. National average APY paid on savings accounts by U.S. depository institutions for non-jumbo deposits as of August 1, 2016 (Source: FDIC) • 3. Average interest rate for borrowers who received a loan to consolidate existing debt or pay off their credit card balance per the Lending Club Survey • 4. As of July 1, 2016. Median Adjusted Net Annualized Return for investors with 100+ notes, note concentration of <2.5% of portfolio value, all loan grades, and portfolio age of 12-18 months (Source: Lending Club) 7
Pricing & Credit Changes We took several pricing and credit actions to improve future returns driven by macro uncertainty and pockets of underperformance. Based on these actions, portfolio level returns are expected to increase from 4%-5% to 6%+ for vintages after June. Pricing Actions Population Interest Rates Reduction � (12/22) : Portfolio rate +0.25%, largely grades C-F November June Q2 vs. Q1 � Delta (1/28) : Portfolio rate +0.32%, largely grades C-G 2015 2016 2016 � (4/20) : Portfolio rate +0.23%, grades D-G A 6.7% 7.1% +0.4% 1% � (6/7): Portfolio rate:+0.55%, across grades B 9.9% 10.3% +0.4% 3% � Overall portfolio rate increase of +1.35% across grades C 13.1% 14.0% +0.9% 7% Credit Policy Actions D 16.7% 18.8% +2.1% 15% � (April): Tightened approvals based on DTI and higher E 19.2% 24.1% +4.9% 25% propensity to take on additional debt F 23.5% 26.6% +3.1% � (June): DTI max criteria lowered from 40% to 35% 50% � G 27.6% 29.3% +1.7% Reduced approval rates to eliminate roughly 9% of the higher risk personal loan population Overall +1.35% 9% 8
Variety of Investors Across the Lending Club Platform Q2 origination mix was roughly evenly spread among a wide range of investor types Platform Originations by Funding Source Origination Mix by Funding Source ($ in millions) (as a % of total platform originations) 100% $3,000 $2,750 13% 16% $2,579 20% 21% 23% 26% Other Institutional $2,500 $572 80% $2,236 24% $659 28% $1,955 $1,912 $2,000 28% $504 26% 23% 34% 60% Banks $1,635 $307 $394 $947 $601 $206 $1,500 $586 $531 $546 44% 40% $399 41% Managed Accounts 35% 36% $1,000 38% 30% $985 $811 $807 $791 $723 $688 20% $500 Self-Managed, 19% 17% 15% 15% 15% 13% $419 Individuals $340 $334 $327 $308 $282 0% $0 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 9
Investment Pace and Investor Mix Varied Intra-Quarter Origination Mix by Funding Source Temporary shift in investor mix Notes 100% � While Q2 started off strong, many 16% 20% 21% 25% platform investors paused their 80% purchasing mid-quarter 12% 28% � Managed accounts resumed 34% 60% purchasing quickly, and several new 43% dedicated funds joined the platform 54% 40% � Banks are returning at a slower 35% 30% pace as they require a more lengthy 17% due diligence process 20% 18% 17% 15% 15% 0% 1Q16 Pre- 5/9 Post- 5/9 2Q16 Other Institutional Banks Managed Accounts Self-Managed, Individuals 10 Privileged and Confidential
Efficient Regulatory Framework Consumer Protection Capital Efficiency No No FDIC Deposits Insurance Low Capital No Capital at Risk Reserves Matched Assets & Liabilities No Systemic Risk 11
Financials 12 Privileged and Confidential
Origination Growth by Product Category Annual (1) Quarterly (1) ($ in millions) ($ in millions) 8,362 2,750 2,579 Personal loans - standard 2,236 Personal loans - custom Other 1,955 1,912 1,635 6,418 2,087 4,705 1,973 4,378 1,415 1,702 1,165 1,443 1,452 1,006 1,290 3,530 791 3,524 1,108 2,065 890 818 1,244 708 459 417 1,983 345 296 286 755 195 175 487 143 85 700 204 216 189 189 173 420 132 132 150 367 103 83 82 2013 2014 2015 2016 YTD 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 Growth (%) YoY 188% 112% 91% 33% 124% 125% 105% 103% 107% 90% 92% 82% 68% 2% QoQ -- -- -- -- 13% 27% 16% 21% 16% 17% 17% 15% 7% (29%) (1) There may be differences between the sum of the quarterly results and the total annual results due to rounding. 13
Operating Revenue In-Line with Originations Annual (1) Quarterly (1) ($ in millions) ($ in millions) Includes $14mm of investor incentives (contra revenue) 426.7 151.3 134.5 115.1 102.4 96.1 253.7 81.0 213.4 69.6 56.5 48.6 38.7 98.0 2013 2014 2015 2016 YTD 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 Growth (%) YoY 138% 133% 106% 108% 109% 98% 104% 93% 87% 7% 188% 118% 100% 43% 16% 26% 16% 23% 16% 19% 20% 17% 12% (32%) QoQ -- -- -- -- % of 4.89% 4.83% 4.85% 4.92% 4.96% 5.03% 5.15% 5.21% 5.50% 5.24% 4.75% 4.88% 5.10% 5.39% Originations (1) There may be differences between the sum of the quarterly results and the total annual results due to rounding. 14
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