Synchrony Financial (SYF) 8-K Results of Operations and Financial Condition

Exhibit 99.2

SYNCHRONY FINANCIAL
FINANCIAL SUMMARY
(unaudited, in millions, except per share statistics)
	Quarter Ended														Six Months Ended
	June 30, 2022		Mar 31, 2022		Dec 31, 2021		Sep 30, 2021		Jun 30, 2021		2Q'22 vs. 2Q'21				June 30, 2022		Jun 30, 2021		YTD'22 vs. YTD'21
EARNINGS
Net interest income	$	3,802	$	3,789	$	3,830	$	3,658	$	3,312	$	490	14.8	%	$	7,591	$	6,751	$	840	12.4	%
Retailer share arrangements	(1,127)		(1,104)		(1,267)		(1,266)		(1,006)		(121)		12.0	%	(2,231)		(1,995)		(236)		11.8	%
Provision for credit losses	724		521		561		25		(194)		918		NM		1,245		140		1,105		NM
Net interest income, after retailer share arrangements and provision for credit losses	1,951		2,164		2,002		2,367		2,500		(549)		(22.0)	%	4,115		4,616		(501)		(10.9)	%
Other income	198		108		167		94		89		109		122.5	%	306		220		86		39.1	%
Other expense	1,083		1,039		1,122		961		948		135		14.2	%	2,122		1,880		242		12.9	%
Earnings before provision for income taxes	1,066		1,233		1,047		1,500		1,641		(575)		(35.0)	%	2,299		2,956		(657)		(22.2)	%
Provision for income taxes	262		301		234		359		399		(137)		(34.3)	%	563		689		(126)		(18.3)	%
Net earnings	$	804	$	932	$	813	$	1,141	$	1,242	$	(438)	(35.3)	%	$	1,736	$	2,267	$	(531)	(23.4)	%
Net earnings available to common stockholders	$	793	$	922	$	803	$	1,130	$	1,232	$	(439)	(35.6)	%	$	1,715	$	2,246	$	(531)	(23.6)	%
COMMON SHARE STATISTICS
Basic EPS	$	1.61	$	1.79	$	1.49	$	2.02	$	2.13	$	(0.52)	(24.4)	%	$	3.40	$	3.87	$	(0.47)	(12.1)	%
Diluted EPS	$	1.60	$	1.77	$	1.48	$	2.00	$	2.12	$	(0.52)	(24.5)	%	$	3.38	$	3.84	$	(0.46)	(12.0)	%
Dividend declared per share	$	0.22	$	0.22	$	0.22	$	0.22	$	0.22	$	—	—	%	$	0.44	$	0.44	$	—	—	%
Common stock price	$	27.62	$	34.82	$	46.39	$	48.88	$	48.52	$	(20.90)	(43.1)	%	$	27.62	$	48.52	$	(20.90)	(43.1)	%
Book value per share	$	25.95	$	25.06	$	24.53	$	24.13	$	23.48	$	2.47	10.5	%	$	25.95	$	23.48	$	2.47	10.5	%
Tangible common equity per share(1)	$	21.39	$	20.60	$	20.21	$	20.12	$	19.64	$	1.75	8.9	%	$	21.39	$	19.64	$	1.75	8.9	%
Beginning common shares outstanding	506.2		526.8		547.2		573.4		581.1		(74.9)		(12.9)	%	526.8		584.0		(57.2)		(9.8)	%
Issuance of common shares	—		—		—		—		—		—		—	%	—		—		—		—	%
Stock-based compensation	0.2		1.4		0.1		0.5		1.0		(0.8)		(80.0)	%	1.6		3.2		(1.6)		(50.0)	%
Shares repurchased	(18.6)		(22.0)		(20.5)		(26.7)		(8.7)		(9.9)		113.8	%	(40.6)		(13.8)		(26.8)		194.2	%
Ending common shares outstanding	487.8		506.2		526.8		547.2		573.4		(85.6)		(14.9)	%	487.8		573.4		(85.6)		(14.9)	%
Weighted average common shares outstanding	493.0		515.3		537.8		560.6		577.2		(84.2)		(14.6)	%	504.1		580.2		(76.1)		(13.1)	%
Weighted average common shares outstanding (fully diluted)	495.3		519.5		543.0		565.6		581.7		(86.4)		(14.9)	%	507.3		584.6		(77.3)		(13.2)	%
(1) Tangible Common Equity ("TCE") is a non-GAAP measure. For corresponding reconciliation of TCE to a GAAP financial measure, see Reconciliation of Non-GAAP Measures and Calculations of Regulatory Measures.

1

SYNCHRONY FINANCIAL
SELECTED METRICS
(unaudited, $ in millions)
	Quarter Ended																			Six Months Ended
	Jun 30, 2022			Mar 31, 2022			Dec 31, 2021			Sep 30, 2021			Jun 30, 2021			2Q'22 vs. 2Q'21				Jun 30, 2022			Jun 30, 2021			YTD'22 vs. YTD'21
PERFORMANCE METRICS
Return on assets(1)	3.4		%	4.0		%	3.4		%	4.9		%	5.3		%			(1.9)	%	3.7		%	4.8		%			(1.1)	%
Return on equity(2)	24.0		%	27.5		%	23.0		%	32.1		%	36.5		%			(12.5)	%	25.8		%	34.2		%			(8.4)	%
Return on tangible common equity(3)	30.3		%	34.9		%	28.7		%	40.1		%	46.3		%			(16.0)	%	32.6		%	43.6		%			(11.0)	%
Net interest margin(4)	15.60		%	15.80		%	15.77		%	15.45		%	13.78		%			1.82	%	15.70		%	13.88		%			1.82	%
Efficiency ratio(5)	37.7		%	37.2		%	41.1		%	38.7		%	39.6		%			(1.9)	%	37.5		%	37.8		%			(0.3)	%
Other expense as a % of average loan receivables, including held for sale	5.21		%	5.09		%	5.44		%	4.84		%	4.95		%			0.26	%	5.15		%	4.89		%			0.26	%
Effective income tax rate	24.6		%	24.4		%	22.3		%	23.9		%	24.3		%			0.3	%	24.5		%	23.3		%			1.2	%
CREDIT QUALITY METRICS
Net charge-offs as a % of average loan receivables, including held for sale	2.73		%	2.73		%	2.37		%	2.18		%	3.57		%			(0.84)	%	2.73		%	3.59		%			(0.86)	%
30+ days past due as a % of period-end loan receivables(6)	2.74		%	2.78		%	2.62		%	2.42		%	2.11		%			0.63	%	2.74		%	2.11		%			0.63	%
90+ days past due as a % of period-end loan receivables(6)	1.22		%	1.30		%	1.17		%	1.05		%	1.00		%			0.22	%	1.22		%	1.00		%			0.22	%
Net charge-offs	$	567		$	558		$	489		$	432		$	684		$	(117)	(17.1)	%	$	1,125		$	1,383		$	(258)	(18.7)	%
Loan receivables delinquent over 30 days(6)	$	2,262		$	2,194		$	2,114		$	1,850		$	1,653		$	609	36.9	%	$	2,262		$	1,653		$	609	36.9	%
Loan receivables delinquent over 90 days(6)	$	1,005		$	1,026		$	942		$	804		$	784		$	221	28.2	%	$	1,005		$	784		$	221	28.2	%
Allowance for credit losses (period-end)	$	8,808		$	8,651		$	8,688		$	8,616		$	9,023		$	(215)	(2.4)	%	$	8,808		$	9,023		$	(215)	(2.4)	%
Allowance coverage ratio(7)	10.65		%	10.96		%	10.76		%	11.28		%	11.51		%			(0.86)	%	10.65		%	11.51		%			(0.86)	%
BUSINESS METRICS
Purchase volume(8)(9)	$	47,217		$	40,490		$	47,072		$	41,912		$	42,121		$	5,096	12.1	%	$	87,707		$	76,870		$	10,837	14.1	%
Period-end loan receivables	$	82,674		$	78,916		$	80,740		$	76,388		$	78,374		$	4,300	5.5	%	$	82,674		$	78,374		$	4,300	5.5	%
Credit cards	$	78,062		$	74,596		$	76,628		$	72,289		$	74,429		$	3,633	4.9	%	$	78,062		$	74,429		$	3,633	4.9	%
Consumer installment loans	$	2,847		$	2,719		$	2,675		$	2,614		$	2,507		$	340	13.6	%	$	2,847		$	2,507		$	340	13.6	%
Commercial credit products	$	1,689		$	1,530		$	1,372		$	1,401		$	1,379		$	310	22.5	%	$	1,689		$	1,379		$	310	22.5	%
Other	$	76		$	71		$	65		$	84		$	59		$	17	28.8	%	$	76		$	59		$	17	28.8	%
Average loan receivables, including held for sale	$	83,412		$	82,747		$	81,784		$	78,714		$	76,821		$	6,591	8.6	%	$	83,081		$	77,585		$	5,496	7.1	%
Period-end active accounts (in thousands)(9)(10)	65,969			69,122			72,420			67,245			66,892			(923)		(1.4)	%	65,969			66,892			(923)		(1.4)	%
Average active accounts (in thousands)(9)(10)	68,671			70,127			69,397			67,189			65,810			2,861		4.3	%	69,438			66,163			3,275		4.9	%
LIQUIDITY
Liquid assets
Cash and equivalents	$	10,682		$	10,541		$	8,337		$	9,806		$	11,117		$	(435)	(3.9)	%	$	10,682		$	11,117		$	(435)	(3.9)	%
Total liquid assets	$	15,177		$	14,687		$	12,989		$	14,664		$	16,297		$	(1,120)	(6.9)	%	$	15,177		$	16,297		$	(1,120)	(6.9)	%
Undrawn credit facilities
Undrawn credit facilities	$	3,700		$	3,100		$	2,700		$	3,700		$	4,900		$	(1,200)	(24.5)	%	$	3,700		$	4,900		$	(1,200)	(24.5)	%
Total liquid assets and undrawn credit facilities	$	18,877		$	17,787		$	15,689		$	18,364		$	21,197		$	(2,320)	(10.9)	%	$	18,877		$	21,197		$	(2,320)	(10.9)	%
Liquid assets % of total assets	15.94		%	15.42		%	13.57		%	15.95		%	17.71		%			(1.77)	%	15.94		%	17.71		%			(1.77)	%
Liquid assets including undrawn credit facilities % of total assets	19.83		%	18.67		%	16.39		%	19.97		%	23.04		%			(3.21)	%	19.83		%	23.04		%			(3.21)	%
(1) Return on assets represents net earnings as a percentage of average total assets.
(2) Return on equity represents net earnings as a percentage of average total equity.
(3) Return on tangible common equity represents net earnings available to common stockholders as a percentage of average tangible common equity. Tangible common equity ("TCE") is a non-GAAP measure. For corresponding reconciliation of TCE to a GAAP financial measure, see Reconciliation of Non-GAAP Measures and Calculations of Regulatory Measures.
(4) Net interest margin represents net interest income divided by average interest-earning assets.
(5) Efficiency ratio represents (i) other expense, divided by (ii) net interest income, plus other income, less retailer share arrangements.
(6) Based on customer statement-end balances extrapolated to the respective period-end date.
(7) Allowance coverage ratio represents allowance for credit losses divided by total period-end loan receivables.
(8) Purchase volume, or net credit sales, represents the aggregate amount of charges incurred on credit cards or other credit product accounts less returns during the period.
(9) Includes activity and accounts associated with loan receivables held for sale.
(10) Active accounts represent credit card or installment loan accounts on which there has been a purchase, payment or outstanding balance in the current month.

2

SYNCHRONY FINANCIAL
STATEMENTS OF EARNINGS
(unaudited, $ in millions)
	Quarter Ended														Six Months Ended
	Jun 30, 2022		Mar 31, 2022		Dec 31, 2021		Sep 30, 2021		Jun 30, 2021		2Q'22 vs. 2Q'21				Jun 30, 2022		Jun 30, 2021		YTD'22 vs. YTD'21
Interest income:
Interest and fees on loans	$	4,039	$	4,008	$	4,042	$	3,887	$	3,567	$	472	13.2	%	$	8,047	$	7,299	$	748	10.2	%
Interest on cash and debt securities	35		14		11		11		11		24		218.2	%	49		21		28		133.3	%
Total interest income	4,074		4,022		4,053		3,898		3,578		496		13.9	%	8,096		7,320		776		10.6	%
Interest expense:
Interest on deposits	160		127		119		131		146		14		9.6	%	287		316		(29)		(9.2)	%
Interest on borrowings of consolidated securitization entities	40		33		33		41		44		(4)		(9.1)	%	73		95		(22)		(23.2)	%
Interest on senior unsecured notes	72		73		71		68		76		(4)		(5.3)	%	145		158		(13)		(8.2)	%
Total interest expense	272		233		223		240		266		6		2.3	%	505		569		(64)		(11.2)	%
Net interest income	3,802		3,789		3,830		3,658		3,312		490		14.8	%	7,591		6,751		840		12.4	%
Retailer share arrangements	(1,127)		(1,104)		(1,267)		(1,266)		(1,006)		(121)		12.0	%	(2,231)		(1,995)		(236)		11.8	%
Provision for credit losses	724		521		561		25		(194)		918		NM		1,245		140		1,105		NM
Net interest income, after retailer share arrangements and provision for credit losses	1,951		2,164		2,002		2,367		2,500		(549)		(22.0)	%	4,115		4,616		(501)		(10.9)	%
Other income:
Interchange revenue	263		230		254		232		223		40		17.9	%	493		394		99		25.1	%
Debt cancellation fees	93		89		79		70		66		27		40.9	%	182		135		47		34.8	%
Loyalty programs	(322)		(258)		(310)		(256)		(247)		(75)		30.4	%	(580)		(426)		(154)		36.2	%
Other	164		47		144		48		47		117		248.9	%	211		117		94		80.3	%
Total other income	198		108		167		94		89		109		122.5	%	306		220		86		39.1	%
Other expense:
Employee costs	404		402		409		369		359		45		12.5	%	806		723		83		11.5	%
Professional fees	185		210		207		196		189		(4)		(2.1)	%	395		379		16		4.2	%
Marketing and business development	135		116		167		110		114		21		18.4	%	251		209		42		20.1	%
Information processing	163		145		143		139		137		26		19.0	%	308		268		40		14.9	%
Other	196		166		196		147		149		47		31.5	%	362		301		61		20.3	%
Total other expense	1,083		1,039		1,122		961		948		135		14.2	%	2,122		1,880		242		12.9	%
Earnings before provision for income taxes	1,066		1,233		1,047		1,500		1,641		(575)		(35.0)	%	2,299		2,956		(657)		(22.2)	%
Provision for income taxes	262		301		234		359		399		(137)		(34.3)	%	563		689		(126)		(18.3)	%
Net earnings	$	804	$	932	$	813	$	1,141	$	1,242	$	(438)	(35.3)	%	$	1,736	$	2,267	$	(531)	(23.4)	%
Net earnings available to common stockholders	$	793	$	922	$	803	$	1,130	$	1,232	$	(439)	(35.6)	%	$	1,715	$	2,246	$	(531)	(23.6)	%

3

SYNCHRONY FINANCIAL
STATEMENTS OF FINANCIAL POSITION
(unaudited, $ in millions)
	Quarter Ended
	Jun 30, 2022		Mar 31, 2022		Dec 31, 2021		Sep 30, 2021		Jun 30, 2021		Jun 30, 2022 vs. Jun 30, 2021
Assets
Cash and equivalents	$	10,682	$	10,541	$	8,337	$	9,806	$	11,117	$	(435)	(3.9)	%
Debt securities	5,012		4,677		5,283		5,444		5,728		(716)		(12.5)	%
Loan receivables:
Unsecuritized loans held for investment	63,350		59,643		60,211		56,745		55,994		7,356		13.1	%
Restricted loans of consolidated securitization entities	19,324		19,273		20,529		19,643		22,380		(3,056)		(13.7)	%
Total loan receivables	82,674		78,916		80,740		76,388		78,374		4,300		5.5	%
Less: Allowance for credit losses	(8,808)		(8,651)		(8,688)		(8,616)		(9,023)		215		(2.4)	%
Loan receivables, net	73,866		70,265		72,052		67,772		69,351		4,515		6.5	%
Loan receivables held for sale	—		4,046		4,361		3,450		—		—		NM
Goodwill	1,105		1,105		1,105		1,105		1,105		—		—	%
Intangible assets, net	1,118		1,149		1,168		1,090		1,098		20		1.8	%
Other assets	3,417		3,484		3,442		3,270		3,618		(201)		(5.6)	%
Total assets	$	95,200	$	95,267	$	95,748	$	91,937	$	92,017	$	3,183	3.5	%
Liabilities and Equity
Deposits:
Interest-bearing deposit accounts	$	64,328	$	63,180	$	61,911	$	59,998	$	59,500	$	4,828	8.1	%
Non-interest-bearing deposit accounts	381		395		359		355		341		40		11.7	%
Total deposits	64,709		63,575		62,270		60,353		59,841		4,868		8.1��	%
Borrowings:
Borrowings of consolidated securitization entities	5,687		6,139		7,288		6,288		6,987		(1,300)		(18.6)	%
Senior unsecured notes	6,470		7,221		7,219		6,472		6,470		—		—	%
Total borrowings	12,157		13,360		14,507		12,760		13,457		(1,300)		(9.7)	%
Accrued expenses and other liabilities	4,941		4,914		5,316		4,888		4,522		419		9.3	%
Total liabilities	81,807		81,849		82,093		78,001		77,820		3,987		5.1	%
Equity:
Preferred stock	734		734		734		734		734		—		—	%
Common stock	1		1		1		1		1		—		—	%
Additional paid-in capital	9,663		9,643		9,669		9,649		9,620		43		0.4	%
Retained earnings	15,679		15,003		14,245		13,562		12,560		3,119		24.8	%
Accumulated other comprehensive income (loss)	(149)		(121)		(69)		(64)		(56)		(93)		166.1	%
Treasury stock	(12,535)		(11,842)		(10,925)		(9,946)		(8,662)		(3,873)		44.7	%
Total equity	13,393		13,418		13,655		13,936		14,197		(804)		(5.7)	%
Total liabilities and equity	$	95,200	$	95,267	$	95,748	$	91,937	$	92,017	$	3,183	3.5	%

4

SYNCHRONY FINANCIAL
AVERAGE BALANCES, NET INTEREST INCOME AND NET INTEREST MARGIN
(unaudited, $ in millions)
	Quarter Ended
	Jun 30, 2022						Mar 31, 2022						Dec 31, 2021						Sep 30, 2021						Jun 30, 2021
			Interest		Average				Interest		Average				Interest		Average				Interest		Average				Interest		Average
	Average		Income/		Yield/		Average		Income/		Yield/		Average		Income/		Yield/		Average		Income/		Yield/		Average		Income/		Yield/
	Balance		Expense		Rate		Balance		Expense		Rate		Balance		Expense		Rate		Balance		Expense		Rate		Balance		Expense		Rate
Assets
Interest-earning assets:
Interest-earning cash and equivalents	$	9,249	$	20	0.87	%	$	8,976	$	5	0.23	%	$	9,024	$	4	0.18	%	$	9,559	$	3	0.12	%	$	13,584	$	4	0.12	%
Securities available for sale	5,063		15		1.19	%	5,513		9		0.66	%	5,517		7		0.50	%	5,638		8		0.56	%	5,988		7		0.47	%
Loan receivables, including held for sale:
Credit cards	78,912		3,943		20.04	%	78,564		3,913		20.20	%	77,642		3,946		20.16	%	74,686		3,793		20.15	%	72,989		3,484		19.15	%
Consumer installment loans	2,775		69		9.97	%	2,682		66		9.98	%	2,641		65		9.76	%	2,555		64		9.94	%	2,417		59		9.79	%
Commercial credit products	1,654		25		6.06	%	1,434		28		7.92	%	1,434		30		8.30	%	1,407		29		8.18	%	1,363		23		6.77	%
Other	71		2		11.30		67		1		NM		67		1		NM		66		1		NM		52		1		NM
Total loan receivables, including held for sale	83,412		4,039		19.42	%	82,747		4,008		19.64	%	81,784		4,042		19.61	%	78,714		3,887		19.59	%	76,821		3,567		18.62	%
Total interest-earning assets	97,724		4,074		16.72	%	97,236		4,022		16.78	%	96,325		4,053		16.69	%	93,911		3,898		16.47	%	96,393		3,578		14.89	%
Non-interest-earning assets:
Cash and due from banks	1,614						1,626						1,606						1,588						1,559
Allowance for credit losses	(8,651)						(8,675)						(8,648)						(8,956)						(9,801)
Other assets	5,386						5,369						5,424						5,405						5,238
Total non-interest-earning assets	(1,651)						(1,680)						(1,618)						(1,963)						(3,004)
Total assets	$	96,073					$	95,556					$	94,707					$	91,948					$	93,389
Liabilities
Interest-bearing liabilities:
Interest-bearing deposit accounts	$	63,961	$	160	1.00	%	$	62,314	$	127	0.83	%	$	61,090	$	119	0.77	%	$	59,275	$	131	0.88	%	$	60,761	$	146	0.96	%
Borrowings of consolidated securitization entities	6,563		40		2.44	%	6,827		33		1.96	%	7,105		33		1.84	%	7,051		41		2.31	%	7,149		44		2.47	%
Senior unsecured notes	6,974		72		4.14	%	7,219		73		4.10	%	6,999		71		4.02	%	6,471		68		4.17	%	7,276		76		4.19	%
Total interest-bearing liabilities	77,498		272		1.41	%	76,360		233		1.24	%	75,194		223		1.18	%	72,797		240		1.31	%	75,186		266		1.42	%
Non-interest-bearing liabilities
Non-interest-bearing deposit accounts	396						374						343						358						349
Other liabilities	4,717						5,091						5,137						4,676						4,199
Total non-interest-bearing liabilities	5,113						5,465						5,480						5,034						4,548
Total liabilities	82,611						81,825						80,674						77,831						79,734
Equity
Total equity	13,462						13,731						14,033						14,117						13,655
Total liabilities and equity	$	96,073					$	95,556					$	94,707					$	91,948					$	93,389
Net interest income			$	3,802					$	3,789					$	3,830					$	3,658					$	3,312
Interest rate spread(1)					15.31	%					15.54	%					15.51	%					15.16	%					13.47	%
Net interest margin(2)					15.60	%					15.80	%					15.77	%					15.45	%					13.78	%
(1) Interest rate spread represents the difference between the yield on total interest-earning assets and the rate on total interest-bearing liabilities.
(2) Net interest margin represents net interest income divided by average interest-earning assets.

5

SYNCHRONY FINANCIAL
AVERAGE BALANCES, NET INTEREST INCOME AND NET INTEREST MARGIN
(unaudited, $ in millions)
	Six Months Ended Jun 30, 2022						Six Months Ended Jun 30, 2021
			Interest		Average				Interest		Average
	Average		Income/		Yield/		Average		Income/		Yield/
	Balance		Expense		Rate		Balance		Expense		Rate
Assets
Interest-earning assets:
Interest-earning cash and equivalents	$	9,113	$	25	0.55	%	$	14,094	$	8	0.11	%
Securities available for sale	5,287		24		0.92	%	6,378		13		0.41	%
Loan receivables, including held for sale:
Credit cards	78,738		7,856		20.12	%	73,921		7,141		19.48	%
Consumer installment loans	2,729		135		9.98	%	2,319		112		9.74	%
Commercial credit products	1,545		53		6.92	%	1,297		44		6.84	%
Other	69		3		8.77	%	48		2		8.40	%
Total loan receivables, including held for sale	83,081		8,047		19.53	%	77,585		7,299		18.97	%
Total interest-earning assets	97,481		8,096		16.75	%	98,057		7,320		15.05	%
Non-interest-earning assets:
Cash and due from banks	1,620						1,597
Allowance for loan losses	(8,663)						(10,012)
Other assets	5,378						5,272
Total non-interest-earning assets	(1,665)						(3,143)
Total assets	$	95,816					$	94,914
Liabilities
Interest-bearing liabilities:
Interest-bearing deposit accounts	$	63,142	$	287	0.92	%	$	61,737	$	316	1.03	%
Borrowings of consolidated securitization entities	6,695		73		2.20	%	7,420		95		2.58	%
Senior unsecured notes	7,096		145		4.12	%	7,619		158		4.18	%
Total interest-bearing liabilities	76,933		505		1.32	%	76,776		569		1.49	%
Non-interest-bearing liabilities
Non-interest-bearing deposit accounts	385						348
Other liabilities	4,903						4,425
Total non-interest-bearing liabilities	5,288						4,773
Total liabilities	82,221						81,549
Equity
Total equity	13,595						13,365
Total liabilities and equity	$	95,816					$	94,914
Net interest income			$	7,591					$	6,751
Interest rate spread(1)					15.43	%					13.56	%
Net interest margin(2)					15.70	%					13.88	%
(1) Interest rate spread represents the difference between the yield on total interest-earning assets and the rate on total interest-bearing liabilities.
(2) Net interest margin represents net interest income divided by average interest-earning assets.

6

SYNCHRONY FINANCIAL
BALANCE SHEET STATISTICS
(unaudited, $ in millions, except per share statistics)
	Quarter Ended
	Jun 30, 2022			Mar 31, 2022			Dec 31, 2021			Sep 30, 2021			Jun 30, 2021			Jun 30, 2022 vs. Jun 30, 2021
BALANCE SHEET STATISTICS
Total common equity	$	12,659		$	12,684		$	12,921		$	13,202		$	13,463		$	(804)	(6.0)	%
Total common equity as a % of total assets	13.30		%	13.31		%	13.49		%	14.36		%	14.63		%			(1.33)	%
Tangible assets	$	92,977		$	93,013		$	93,475		$	89,742		$	89,814		$	3,163	3.5	%
Tangible common equity(1)	$	10,436		$	10,430		$	10,648		$	11,007		$	11,260		$	(824)	(7.3)	%
Tangible common equity as a % of tangible assets(1)	11.22		%	11.21		%	11.39		%	12.27		%	12.54		%			(1.32)	%
Tangible common equity per share(1)	$	21.39		$	20.60		$	20.21		$	20.12		$	19.64		$	1.75	8.9	%
REGULATORY CAPITAL RATIOS(2)(3)
	Basel III - CECL Transition
Total risk-based capital ratio(4)	17.4		%	17.2		%	17.8		%	19.3		%	20.1		%
Tier 1 risk-based capital ratio(5)	16.1		%	15.9		%	16.5		%	18.0		%	18.7		%
Tier 1 leverage ratio(6)	13.8		%	13.9		%	14.7		%	15.5		%	15.6		%
Common equity Tier 1 capital ratio	15.2		%	15.0		%	15.6		%	17.1		%	17.8		%
(1) Tangible common equity ("TCE") is a non-GAAP measure. We believe TCE is a more meaningful measure of the net asset value of the Company to investors. For corresponding reconciliation of TCE to a GAAP financial measure, see Reconciliation of Non-GAAP Measures and Calculations of Regulatory Measures.
(2) Regulatory capital ratios at June 30, 2022 are preliminary and therefore subject to change.
(3) Capital ratios starting March 31, 2020 reflect election to delay for two years an estimate of CECL’s effect on regulatory capital in accordance with the interim final rule issued by U.S. banking agencies in March 2020. Beginning in the first quarter of 2022, the effects are now being phased-in over a three-year transitional period through 2024.
(4) Total risk-based capital ratio is the ratio of total risk-based capital divided by risk-weighted assets.
(5) Tier 1 risk-based capital ratio is the ratio of Tier 1 capital divided by risk-weighted assets.
(6) Tier 1 leverage ratio is the ratio of Tier 1 capital divided by total average assets, after certain adjustments. Tier 1 leverage ratios are based upon the use of daily averages for all periods presented.

7

SYNCHRONY FINANCIAL
PLATFORM RESULTS
(unaudited, unrounded, $ in millions)
	Quarter Ended														Six Months Ended
	Jun 30, 2022		Mar 31, 2022		Dec 31,  2021		Sep 30, 2021		Jun 30,  2021		2Q'22 vs. 2Q'21				Jun 30, 2022		Jun 30,  2021		YTD'22vs. YTD'21
HOME & AUTO(6)
Purchase volume(1)	$	12,895	$	10,260	$	10,919	$	11,069	$	11,523	$	1,372	11.9	%	$	23,155	$	20,860	$	2,295	11.0	%
Period-end loan receivables	$	27,989	$	26,532	$	26,781	$	26,210	$	25,588	$	2,401	9.4	%	$	27,989	$	25,588	$	2,401	9.4	%
Average loan receivables, including held for sale	$	27,106	$	26,406	$	26,455	$	25,800	$	25,111	$	1,995	7.9	%	$	26,758	$	25,191	$	1,567	6.2	%
Average active accounts (in thousands)(3)	17,942		17,473		17,655		17,516		17,307		635		3.7	%	17,746		17,250		496		2.9	%
Interest and fees on loans	$	1,108	$	1,088	$	1,126	$	1,092	$	993	$	115	11.6	%	$	2,196	$	2,029	$	167	8.2	%
Other income	$	23	$	21	$	18	$	18	$	16	$	7	43.8	%	$	44	$	33	$	11	33.3	%
DIGITAL
Purchase volume(1)	$	12,463	$	11,196	$	13,451	$	10,980	$	10,930	$	1,533	14.0	%	$	23,659	$	20,270	$	3,389	16.7	%
Period-end loan receivables	$	21,842	$	21,075	$	21,751	$	19,636	$	19,233	$	2,609	13.6	%	$	21,842	$	19,233	$	2,609	13.6	%
Average loan receivables, including held for sale	$	21,255	$	21,160	$	20,388	$	19,286	$	18,783	$	2,472	13.2	%	$	21,208	$	19,108	$	2,100	11.0	%
Average active accounts (in thousands)(3)	19,069		19,000		18,375		17,655		17,258		1,811		10.5	%	19,042		17,298		1,744		10.1	%
Interest and fees on loans	$	1,058	$	1,022	$	1,025	$	973	$	891	$	167	18.7	%	$	2,080	$	1,794	$	286	15.9	%
Other income	$	(13)	$	(12)	$	(28)	$	(19)	$	(28)	$	15	(53.6)	%	$	(25)	$	(40)	$	15	(37.5)	%
DIVERSIFIED & VALUE
Purchase volume(1)	$	14,388	$	11,558	$	14,154	$	12,006	$	11,618	$	2,770	23.8	%	$	25,946	$	20,838	$	5,108	24.5	%
Period-end loan receivables	$	16,076	$	15,166	$	16,075	$	14,415	$	14,357	$	1,719	12.0	%	$	16,076	$	14,357	$	1,719	12.0	%
Average loan receivables, including held for sale	$	15,498	$	15,128	$	14,999	$	14,328	$	14,101	$	1,397	9.9	%	$	15,314	$	14,336	$	978	6.8	%
Average active accounts (in thousands)(3)	19,026		19,201		18,829		17,903		17,301		1,725		10.0	%	19,189		17,446		1,743		10.0	%
Interest and fees on loans	$	826	$	826	$	817	$	780	$	729	$	97	13.3	%	$	1,652	$	1,518	$	134	8.8	%
Other income	$	(35)	$	(9)	$	(23)	$	(8)	$	(2)	$	(33)	NM		$	(44)	$	3	$	(47)	NM
HEALTH & WELLNESS
Purchase volume(1)	$	3,443	$	3,107	$	3,055	$	3,024	$	2,988	$	455	15.2	%	$	6,550	$	5,636	$	914	16.2	%
Period-end loan receivables	$	10,932	$	10,407	$	10,244	$	9,879	$	9,515	$	1,417	14.9	%	$	10,932	$	9,515	$	1,417	14.9	%
Average loan receivables, including held for sale	$	10,596	$	10,251	$	10,057	$	9,654	$	9,334	$	1,262	13.5	%	$	10,424	$	9,387	$	1,037	11.0	%
Average active accounts (in thousands)(3)	6,177		6,027		5,922		5,707		5,585		592		10.6	%	6,102		5,642		460		8.2	%
Interest and fees on loans	$	644	$	616	$	603	$	587	$	523	$	121	23.1	%	$	1,260	$	1,081	$	179	16.6	%
Other income	$	49	$	53	$	42	$	41	$	36	$	13	36.1	%	$	102	$	76	$	26	34.2	%
LIFESTYLE
Purchase volume(1)	$	1,431	$	1,195	$	1,462	$	1,298	$	1,405	$	26	1.9	%	$	2,626	$	2,559	$	67	2.6	%
Period-end loan receivables	$	5,558	$	5,381	$	5,479	$	5,234	$	5,158	$	400	7.8	%	$	5,558	$	5,158	$	400	7.8	%
Average loan receivables, including held for sale	$	5,443	$	5,379	$	5,297	$	5,185	$	5,050	$	393	7.8	%	$	5,411	$	5,027	$	384	7.6	%
Average active accounts (in thousands)(3)	2,510		2,582		2,548		2,465		2,442		68		2.8	%	2,551		2,510		41		1.6	%
Interest and fees on loans	$	194	$	191	$	194	$	187	$	182	$	12	6.6	%	$	385	$	363	$	22	6.1	%
Other income	$	7	$	6	$	6	$	6	$	6	$	1	16.7	%	$	13	$	11	$	2	18.2	%
CORP, OTHER(4)(6)
Purchase volume(1)(2)	$	2,597	$	3,174	$	4,031	$	3,535	$	3,657	$	(1,060)	(29.0)	%	$	5,771	$	6,707	$	(936)	(14.0)	%
Period-end loan receivables(5)	$	277	$	355	$	410	$	1,014	$	4,523	$	(4,246)	(93.9)	%	$	277	$	4,523	$	(4,246)	(93.9)	%
Average loan receivables, including held for sale	$	3,514	$	4,423	$	4,588	$	4,461	$	4,442	$	(928)	(20.9)	%	$	3,966	$	4,536	$	(570)	(12.6)	%
Average active accounts (in thousands)(2)(3)	3,947		5,844		6,068		5,943		5,917		(1,970)		(33.3)	%	4,808		6,017		(1,209)		(20.1)	%
Interest and fees on loans	$	209	$	265	$	277	$	268	$	249	$	(40)	(16.1)	%	$	474	$	514	$	(40)	(7.8)	%
Other income	$	167	$	49	$	152	$	56	$	61	$	106	173.8	%	$	216	$	137	$	79	57.7	%
TOTAL SYF
Purchase volume(1)(2)	$	47,217	$	40,490	$	47,072	$	41,912	$	42,121	$	5,096	12.1	%	$	87,707	$	76,870	$	10,837	14.1	%
Period-end loan receivables(5)	$	82,674	$	78,916	$	80,740	$	76,388	$	78,374	$	4,300	5.5	%	$	82,674	$	78,374	$	4,300	5.5	%
Average loan receivables, including held for sale	$	83,412	$	82,747	$	81,784	$	78,714	$	76,821	$	6,591	8.6	%	$	83,081	$	77,585	$	5,496	7.1	%
Average active accounts (in thousands)(2)(3)	68,671		70,127		69,397		67,189		65,810		2,861		4.3	%	69,438		66,163		3,275		4.9	%
Interest and fees on loans	$	4,039	$	4,008	$	4,042	$	3,887	$	3,567	$	472	13.2	%	$	8,047	$	7,299	$	748	10.2	%
Other income	$	198	$	108	$	167	$	94	$	89	$	109	122.5	%	$	306	$	220	$	86	39.1	%
(1) Purchase volume, or net credit sales, represents the aggregate amount of charges incurred on credit cards or other credit product accounts less returns during the period.
(2) Includes activity and balances associated with loan receivables held for sale.
(3) Active accounts represent credit card or installment loan accounts on which there has been a purchase, payment or outstanding balance in the current month.
(4) Includes activity and balances associated with the Gap Inc. and BP portfolios which were both sold in 2Q 2022.
(5) Reflects the reclassification of $3.5 billion and $0.5 billion to loan receivables held for sale in 3Q 2021 and 4Q 2021, respectively.
(6) In December 2021, we entered into an agreement to sell $0.5 billion of loan receivables associated with our program agreement with BP. In connection with this agreement, revenue activities for the BP portfolio are no longer managed within our Home & Auto sales platform. All metrics for the BP portfolio previously reported within our Home & Auto sales platform, are now reported within our Corp, Other information. We have recast all prior-period reported metrics for our Home & Auto sales platform and Corp, Other to conform to the current-period presentation.

8

SYNCHRONY FINANCIAL
RECONCILIATION OF NON-GAAP MEASURES AND CALCULATIONS OF REGULATORY MEASURES(1)
(unaudited, $ in millions, except per share statistics)
	Quarter Ended
	Jun 30, 2022		Mar 31, 2022		Dec 31, 2021		Sep 30, 2021		Jun 30, 2021
COMMON EQUITY AND REGULATORY CAPITAL MEASURES(2)
GAAP Total equity	$	13,393	$	13,418	$	13,655	$	13,936	$	14,197
Less: Preferred stock	(734)		(734)		(734)		(734)		(734)
Less: Goodwill	(1,105)		(1,105)		(1,105)		(1,105)		(1,105)
Less: Intangible assets, net	(1,118)		(1,149)		(1,168)		(1,090)		(1,098)
Tangible common equity	$	10,436	$	10,430	$	10,648	$	11,007	$	11,260
Add: CECL transition amount	1,719		1,719		2,292		2,274		2,376
Adjustments for certain deferred tax liabilities and certain items in accumulated comprehensive income (loss)	391		371		329		299		301
Common equity Tier 1	$	12,546	$	12,520	$	13,269	$	13,580	$	13,937
Preferred stock	734		734		734		734		734
Tier 1 capital	$	13,280	$	13,254	$	14,003	$	14,314	$	14,671
Add: Allowance for credit losses includible in risk-based capital	1,099		1,106		1,119		1,052		1,039
Total Risk-based capital	$	14,379	$	14,360	$	15,122	$	15,366	$	15,710
ASSET MEASURES(2)
Total average assets	$	96,073	$	95,556	$	94,707	$	91,948	$	93,389
Adjustments for:
Add: CECL transition amount	1,719		1,719		2,292		2,274		2,376
Disallowed goodwill and other disallowed intangible assets (net of related deferred tax liabilities) and other	(1,878)		(1,964)		(1,999)		(1,960)		(1,965)
Total assets for leverage purposes	$	95,914	$	95,311	$	95,000	$	92,262	$	93,800
Risk-weighted assets	$	82,499	$	83,251	$	84,950	$	79,597	$	78,281
CECL FULLY PHASED-IN CAPITAL MEASURES
Tier 1 capital	$	13,280	$	13,254	$	14,003	$	14,314	$	14,671
Less: CECL transition adjustment	(1,719)		(1,719)		(2,292)		(2,274)		(2,376)
Tier 1 capital (CECL fully phased-in)	$	11,561	$	11,535	$	11,711	$	12,040	$	12,295
Add: Allowance for credit losses	8,808		8,651		8,688		8,616		9,023
Tier 1 capital (CECL fully phased-in) + Reserves for credit losses	$	20,369	$	20,186	$	20,399	$	20,656	$	21,318
Risk-weighted assets	$	82,499	$	83,251	$	84,950	$	79,597	$	78,281
Less: CECL transition adjustment	(870)		(870)		(1,353)		(2,065)		(2,166)
Risk-weighted assets (CECL fully phased-in)	$	81,629	$	82,381	$	83,597	$	77,532	$	76,115
TANGIBLE COMMON EQUITY PER SHARE
GAAP book value per share	$	25.95	$	25.06	$	24.53	$	24.13	$	23.48
Less: Goodwill	(2.27)		(2.18)		(2.10)		(2.02)		(1.93)
Less: Intangible assets, net	(2.29)		(2.28)		(2.22)		(1.99)		(1.91)
Tangible common equity per share	$	21.39	$	20.60	$	20.21	$	20.12	$	19.64
(1) Regulatory measures at June 30, 2022 are presented on an estimated basis.
(2) Capital ratios starting March 31, 2020 reflect election to delay for two years an estimate of CECL’s effect on regulatory capital in accordance with the interim final rule issued by U.S. banking agencies in March 2020. Beginning in the first quarter of 2022, the effects are now being phased-in over a three-year transitional period through 2024.

9

SYNCHRONY FINANCIAL
RECONCILIATION OF NON-GAAP MEASURES (Continued)
(unaudited, $ in millions)
	Quarter Ended
	Jun 30, 2022		Jun 30, 2021
CORE PURCHASE VOLUME
Purchase Volume	$	47,217	$	42,121
Less: Gap and BP Purchase volume	(2,597)		(3,636)
Core Purchase volume	$	44,620	$	38,485
CORE LOAN RECEIVABLES
Loan receivables	$	82,674	$	78,374
Less: Gap Loan receivables	(174)		(3,839)
Less: BP Loan receivables	—		(524)
Core Loan receivables	$	82,500	$	74,011
CORE AVERAGE ACTIVE ACCOUNTS (in thousands)
Average active accounts	68,671		65,810
Less: Gap and BP Average active accounts	(3,902)		(5,811)
Core Average active accounts	64,769		59,999
CORE NEW ACCOUNTS (in millions)
New accounts	6.0		6.3
Less: Gap and BP New accounts	(0.1)		(0.5)
Core New accounts	5.9		5.8

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