SLM Corporation Announces Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2014; Provides Earnings Guidance for the Year 2015; Reports Net Charge-Offs for the Fourth Quarter of 2014
January 21, 2015 at 04:15 pm EST
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SLM Corporation announced unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2014. For the quarter, GAAP net income was $20 million or $0.03 diluted earnings per share, down from $60 million or $0.14 diluted earnings per share in the year ago quarter. The year-over-year decrease was attributable to a $64 million decrease in gains on sales of securities and a $12 million increase in operating expenses, partially offset by a $28 million increase in net interest income. Core earnings were $20 million or $0.03 diluted earnings per share, compared with $61 million or $0.14 diluted earnings per share in the year-ago quarter. Total interest income was $178,649,000 against $146,331,000 a year ago. Net interest income was $150,676,000 against $122,213,000 a year ago. Income before income tax expense was $44,182,000 against $96,793,000 a year ago. Net income attributable to the company common stock was $14,862,000 or $0.03 diluted earnings per share against $60,202,000 or $0.14 diluted earnings per share a year ago.
For the year, GAAP net income was $194 million or $0.42 diluted earnings per share, down from $259 million or $0.58 diluted earnings per share in 2013. Core earnings were $195 million or $0.42 diluted earnings per share compared with $259 million or $0.58 diluted earnings per share for 2013. The company reported total interest income of $674,294,000 against $551,200,000 a year ago. Net interest income was $578,479,000 against $462,115,000 a year ago. Income before income tax expense was $333,752,000 against $416,527,000 a year ago. Net income attributable to the company common stock was $181,286,000 or $0.42 diluted earnings per share against $258,945,000 or $0.58 diluted earnings per share a year ago.
The company provided earnings guidance for the year 2015. The company expects diluted core earnings per share between $0.48 and $0.50. The company expected full-year operating expenses of $325 million, plus an additional $5 million of reorganization expenses.
For the fourth quarter, the company reported net charge-offs of $9,847,000 against $612,000 a year ago.
SLM Corporation is a holding company, which operates through various subsidiaries and is a financial brand for higher education. The Companyâs primary business is to originate and service loans it makes to students and their families to finance the cost of their education. It also offers a range of deposit products insured by the Federal Deposit Insurance Corporation. Its primary private education loan product is the Smart Option Student Loan, which emphasizes in-school payment features that can produce shorter terms and reduce customersâ total finance charges. Smart Option Student Loan generally runs for six months after the borrower separates from school but can run for up to 36 months for a small subset of graduate loans. It also offers six loan products for specific graduate programs of study. These include the Sallie Mae Law School Loan, the Sallie Mae MBA Loan, the Sallie Mae Graduate School Loan for Health Professions, the Sallie Mae Medical School Loan, and others.
SLM Corporation Announces Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2014; Provides Earnings Guidance for the Year 2015; Reports Net Charge-Offs for the Fourth Quarter of 2014
SLM CORPORATION 
