In the last trading session, the stock price of LendingClub Corp (NYSE:LC) declined 0.57% to close the day at $6.14. Last month, the company released financial report for the Q2 2107 and issued guidance for the third quarter and FY2017.
Scott Sanborn, the CEO, expressed that it is interesting to be back to growth. Their second quarter performance demonstrates the performance of the company’s platform and the capability of their team to execute. They are thrilled about the momentum growing in the business and the remarkable opportunity that lies ahead.
Key developments and accomplishments in the Q2 2017 across the LendingClub platform comprise sequential growth of 10% to more than $2.1 billion in originations, led by robust borrower demand. They have successfully introduced numerous conversion plans, including a redesigned website and pricing optimization. The sales and marketing efficiency improved by more than 7% sequentially. Credit continues to achieve in line with anticipations as observed in both portfolio and vintage trends.
LendingClub successfully deployed the first self-sponsored securitization, hence starting a new funding source, growing the investor base and generating a new recurring revenue stream. The company recorded exceptional count of managed accounts and institutional investors partaking on the platform in the second quarter. It successfully introduced new iOS mobile application for retail shareholders.
Tom Casey, the CFO of LendingClub, reported that they closed the second quarter with the second highest revenue in the company’s history. During the second quarter, they returned to Adjusted EBITDA profitability. Considering the second quarter performance and how they are tracking against their plans, the management is raising financial projections for the year.
Loan originations in the Q2 2017 came at $2.15 billion, a jump of 10% over the same quarter last year. Net revenue stood at $139.6 million, up 35% over the same quarter last year, led mainly by higher loan volumes.