NEWARK, DE — Sallie Mae (Nasdaq: SLM) capped its 2025 results with a new $500 million share repurchase authorization and a fresh set of profit and growth figures that the student lender says show momentum in private education lending as it heads into 2026.
The company said its board approved the buyback program to begin January 22, 2026, with completion expected over about 24 months ending February 4, 2028. The new authorization runs alongside the company’s still-open 2024 repurchase program, a $650 million plan that can be used until it expires February 6, 2026, or is fully spent, whichever comes first.
In its fourth quarter, Sallie Mae reported $229 million in GAAP net income attributable to common stock and $1.12 in GAAP diluted earnings per share. For the full year, it reported $729 million in GAAP net income attributable to common stock and $3.46 in GAAP diluted earnings per share.
Sallie Mae also pointed to growth in new lending, reporting $7.4 billion in private education loan originations for 2025, up from $7.0 billion in 2024. Fourth-quarter originations were about $1.0 billion, up from $982 million a year earlier, and the company said full-year graduate student originations increased 15% from 2024.
On capital return, the company said it paid a $0.13 common stock dividend per share in the fourth quarter. It also reported repurchasing 12.8 million shares in 2025 for $373 million at an average price of $29.02 per share, including 3.8 million shares in the fourth quarter for $106 million. As of December 31, 2025, the company said it had $33 million of capacity remaining under the 2024 repurchase program.
The earnings presentation also highlighted funding and credit trends. Sallie Mae reported a 4.14% cost of funds for the fourth quarter, down 17 basis points from the prior year, and said deposit balances ended the quarter 5.2% higher than at the end of the third quarter, with deposits roughly 42% brokered and 58% retail and other.
Credit indicators showed higher delinquencies but largely steady loss rates. The company reported 30+ day delinquencies of 4.0% as of December 31, 2025, up from 3.7% a year earlier, and full-year private education loan net charge-offs of $346 million, or 2.15% of average loans in repayment, compared with 2.19% at the end of 2024.
Looking ahead, Sallie Mae guided to 2026 GAAP diluted earnings per share of $2.70 to $2.80, private education loan originations growth of 12% to 14% year over year, net charge-offs of $345 million to $385 million, and non-interest expenses of $750 million to $780 million.
Complete financial results and related materials are available at www.SallieMae.com/investors and on the Securities and Exchange Commission’s website at www.sec.gov.
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