Synchrony Financial's third-quarter 2026 profit fell 17% to $892 million as the consumer lender added to loss reserves after releasing them a year earlier, despite lower net charge-offs.
Net earnings were $1.077 billion in the year-earlier quarter, according to financial tables filed with the SEC on Oct. 20. Diluted earnings per share declined to $2.68 from $2.86.
Net interest income increased $89 million to $4.8 billion, while the provision for credit losses rose $120 million to $1.3 billion. Synchrony added $30 million to loss reserves after releasing $152 million a year earlier, although net charge-offs fell $62 million.
Retailer share arrangements rose $72 million, while other income fell $22 million. Synchrony said operational losses and higher technology and marketing spending contributed to a $123 million increase in other expense to $1.4 billion.
Customer activity grew during the quarter. Purchase volume climbed 8% to $49.7 billion, and loan receivables increased 3% to $103.3 billion. Average active accounts held steady at 68.3 million. Synchrony CEO Brian Doubles said spending increased across all five sales platforms, with the strongest growth among Generation Z and millennial customers.
Synchrony's board declared a $0.34 dividend per common share, the company said in a separate announcement. It is payable Nov. 16 to shareholders of record on Nov. 5.
