Release Details

LendingClub Reports Second Quarter 2021 Results

July 28, 2021
PDF Version

Delivers Record Net Income on 93% Growth in Revenue
Raising Full Year Revenue Target by +45% with Net Income Guidance of $25-$35 Million for the Second Half of 2021

SAN FRANCISCO, July 28, 2021 /PRNewswire/ -- LendingClub Corporation (NYSE: LC), the parent company of LendingClub Bank, America's leading digital marketplace bank, today announced financial results for the second quarter ended June 30, 2021.

Lending Club, the world's largest online marketplace connecting borrowers and investors. (PRNewsFoto/Lending Club) (PRNewsFoto/Lending Club)

"Our first full quarter operating a digital bank was the most profitable quarter in LendingClub's history," said Scott Sanborn, LendingClub's CEO. "This is the beginning of a dramatically enhanced earnings trajectory for the business. Our transformation is fueled by our competitive advantages, which include our 3.5 million-plus members, deep data capabilities, marketplace model as well as our more efficient operating platform. Our earnings are being bolstered by our bank, which is generating a new stream of recurring net interest income that is only beginning to contribute to our bottom line results."

Strong Revenue Growth and Accelerated Return to Profitability Reflects Effective Execution on Strategic Priorities. 

  • Total sequential revenue growth of 93%, reflecting growth in marketplace revenue and increased net interest income from the retained portfolio of consumer loans.
    • Marketplace revenue grew 86% sequentially, primarily reflecting 105% growth in origination fees and a 132% increase in gains on loan sales as loans sold through the marketplace doubled.
    • Net interest income grew 148% sequentially to $45.9 million, as the bank's loan portfolio (excluding PPP loans) grew 27% sequentially, propelled by growth in the consumer loan portfolio of 145% to $795M.
    • Deposits grew to $2.5 billion, helping fund growth in the bank's loan portfolio.
  • Sequential origination growth of 84% as we returned to market leadership and leveraged our expanded predictive science and credit decisioning capabilities, which drove a substantial increase in our end-to-end application conversion rate.
  • Strong revenue growth and positive operating leverage drove record earnings and an accelerated return to profitability.
  • Consolidated net income of $9.4 million included $56.7 million of notable items: $34.6 million of Current Expected Credit Loss (CECL) provisioning which reduced reported earnings and reflects rapid growth in the bank's loan portfolio, $19.6 million of net revenue deferrals on retained loans, and $2.5 million of non-recurring expenses.
  • Entered into a settlement agreement with the Federal Trade Commission (FTC), which concludes the agency's previously disclosed investigation and litigation. Pursuant to the terms of the settlement, LendingClub will make an $18 million payment for consumer remediation, an amount already accrued for in prior periods.

 

Three Months Ended   


 

($ in millions)

June 30, 
2021 


 

March 31, 
2021 


 

QoQ 
Change 


 

Loan originations(1)

$

2,722.4


 
 

$

1,483.2


 
 

$

1,239.2


 
 

Total revenue

$

204.4


 
 

$

105.8


 
 

$

98.6


 
 

Consolidated net income (loss)

$

9.4


 
 

$

(47.1)


 
 

$

56.5


 
 

 
 

(1)    

Includes unsecured personal loans, auto loans, and education and patient finance loans only.

 

Financial Outlook – Raising Full Year Targets 


 

 
 

(millions)

Third Quarter 

2021 

Full Year 

2021 

Versus Prior 

Full Year 2021 Guidance 


 

Loan originations(1)

$2.8B to $3.0B

$9.8B to $10.2B

+$2.9B to +$3.0B


 

Total revenue

$215M to $230M

$750M to $780M

+$240M to +$250M


 

Consolidated net income 
(loss)

$10M to $15M

($13M) to ($3M)

+$139M to +$154M


 

 
 

(1)  

Includes unsecured personal loans, auto loans, and education and patient finance loans only.

 

Items Impacting Q2'21 Consolidated Net Income 


 

 
 

(millions)

Consolidated Net 
Income Impact 

Per 

Diluted Share 
Impact 

Commentary 


 

Revenue deferrals, net of amortization

$(19.6)

$0.19

Revenue deferrals, net of deferred costs 
and amortization during the period


 

Provision for credit losses

$(34.6)

$0.34

Primarily for consumer loans originated 
and retained in the quarter


 

Non-recurring expenses

$(2.5)

$0.02

Non-recurring expenses primarily related 
to the acquisition of Radius Bank


 

Total 

$(56.7) 

$0.56 


 
 

About LendingClub
LendingClub Corporation (NYSE: LC) is the parent company of LendingClub Bank, National Association, Member FDIC. LendingClub Bank is the leading digital marketplace bank in the US. Members can gain access to a broad range of financial products and services through a technology-driven platform, designed to help them pay less when borrowing and earn more when saving. Since 2007, more than 3 million members have joined the Club to help reach their financial goals. For more information about LendingClub, visit https://www.lendingclub.com.

Conference Call and Webcast Information
The LendingClub second quarter 2021 webcast and teleconference is scheduled to begin at 2:00 p.m. Pacific Time (or 5:00 p.m. Eastern Time) on Wednesday, July 28, 2021. A live webcast of the call will be available at http://ir.lendingclub.com under the Filings & Financials menu in Quarterly Results. To access the call, please dial +1 (888) 317-6003, or outside the U.S. +1 (412) 317-6061, with conference ID 4824215, ten minutes prior to 2:00 p.m. Pacific Time (or 5:00 p.m. Eastern Time). An audio archive of the call will be available at http://ir.lendingclub.com. An audio replay will also be available 1 hour after the end of the call until August 4, 2021, by calling +1 (877) 344-7529 or outside the U.S. +1 (412) 317-0088, with Conference ID 10158362. LendingClub has used, and intends to use, its investor relations website, blog (http://blog.lendingclub.com), Twitter handle (@LendingClub) and Facebook page (https://www.facebook.com/LendingClubTeam)  as a means of disclosing material non-public information and to comply with its disclosure obligations under Regulation FD.

Contacts
For Investors:
IR@lendingclub.com
Media Contact:
Press@lendingclub.com

Safe Harbor Statement
Some of the statements above, including statements regarding the benefits of our bank acquisition, anticipated future performance and financial results, are "forward-looking statements." The words "anticipate," "believe," "estimate," "expect," "intend," "may," "outlook," "plan," "predict," "project," "will," "would" and similar expressions may identify forward-looking statements, although not all forward-looking statements contain these identifying words. Factors that could cause actual results to differ materially from those contemplated by these forward-looking statements include: our ability to continue to attract and retain new and existing customers; competition; overall economic conditions; the regulatory environment, demand for the types of loans facilitated by us; default rates and those factors set forth in the section titled "Risk Factors" in our most recent Quarterly Report on Form 10-Q and Annual Report on Form 10-K, each as filed with the Securities and Exchange Commission, as well as our subsequent reports on Form 10-Q and 10-K each as filed with the Securities and Exchange Commission. We may not actually achieve the plans, intentions or expectations disclosed in forward-looking statements, and you should not place undue reliance on forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in forward-looking statements. We do not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

***** 


 

LENDINGCLUB CORPORATION 


 

OPERATING HIGHLIGHTS 


 

(In thousands, except percentages or as noted)


 

(Unaudited)


 

 
 

The information in the following tables is presented for the consolidated LendingClub Corporation, unless specifically noted for LendingClub Bank, 
the company's wholly-owned subsidiary:


 

 
 

 

As of and for the three months ended 


 

% Change 


 

 

June 30, 
2021 


 

March 31, 
2021 


 

December 31, 

2020 


 

September 30, 

2020 


 

June 30, 
2020 


 

Q/Q 


 

Y/Y 


 

Operating Highlights: 


 

Noninterest income

$

158,476


 
 

$

87,334


 
 

$

72,597


 
 

$

57,750


 
 

$

21,421


 
 

81

%


 

640

%


 

Net interest income

$

45,905


 
 

$

18,506


 
 

$

2,899


 
 

$

13,294


 
 

18,937


 
 

148

%


 

142

%


 

Total net revenue (1)

$

204,381


 
 

$

105,840


 
 

$

75,496


 
 

$

71,044


 
 

$

40,358


 
 

93

%


 

406

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Consolidated net income (loss)

$

9,371


 
 

$

(47,084)


 
 

$

(26,655)


 
 

$

(34,325)


 
 

$

(78,471)


 
 

N/M


 

N/M


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

EPS – basic

$

0.10


 
 

$

(0.49)


 
 

$

(0.29)


 
 

$

(0.38)


 
 

$

(0.87)


 
 

N/M


 

N/M


 

EPS – diluted

$

0.09


 
 

$

(0.49)


 
 

$

(0.29)


 
 

$

(0.38)


 
 

$

(0.87)


 
 

N/M


 

N/M


 

LendingClub Bank net interest margin

5.51

%


 

3.33

%


 

N/A       


 

N/A       


 

N/A       


 
 
 
 
 

Servicing portfolio AUM 


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

(in millions) (2)

$

10,741


 

$

10,271


 

$

11,002


 

$

12,267


 

$

13,962


 

5

%


 

(23)

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Loan originations (in millions) (3): 


 
 
 
 
 
 
 
 
 
 
 
 
 
 

Marketplace loans

$

2,182


 
 

$

1,139


 
 

$

912


 
 

$

584


 
 

$

326


 
 

92

%


 

569

%


 

Loan originations held for investment

$

541


 
 

$

344


 
 

$

—


 
 

$

—


 
 

$

—


 
 

57

%


 

N/M


 

Total loan originations

$

2,722


 
 

$

1,483


 
 

$

912


 
 

$

584


 
 

$

326


 
 

84

%


 

735

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Balance Sheet Data: 


 

Loans and leases held for investment, 
net, excluding PPP loans

$

1,791,492


 
 

$

1,414,900


 
 

$

—


 
 

$

—


 
 

$

—


 
 

27

%


 

N/M


 

PPP loans

$

507,553


 
 

$

664,400


 
 

$

—


 
 

$

—


 
 

$

—


 
 

(24)

%


 

N/M


 

Total loans and leases held for investment, net

$

2,299,045


 
 

$

2,079,300


 
 

$

—


 
 

$

—


 
 

$

—


 
 

11

%


 

N/M


 

Total assets

$

4,370,101


 
 

$

4,491,089


 
 

$

1,863,293


 
 

$

1,979,457


 
 

$

2,452,599


 
 

(3)

%


 

78

%


 

Total deposits

$

2,539,704


 
 

$

2,373,437


 
 

$

—


 
 

$

—


 
 

$

—


 
 

7

%


 

N/M


 

Total liabilities

$

3,607,742


 
 

$

3,757,954


 
 

$

1,139,122


 
 

$

1,245,565


 
 

$

1,706,457


 
 

(4)

%


 

111

%


 

Total equity

$

762,359


 
 

$

733,135


 
 

$

724,171


 
 

$

733,892


 
 

$

746,142


 
 

4

%


 

2

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Asset Quality Ratios: 


 

Allowance for loan and lease losses 
to loans and leases held for 
investment

3.00

%


 

1.71

%


 

N/A


 

N/A


 

N/A


 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Allowance for loan and lease losses 
to loans and leases held for 
investment, excluding PPP loans

3.82

%


 

2.49

%


 

N/A


 

N/A


 

N/A


 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Allowance for loan and lease losses 
to nonaccruing loans and leases 
held for investment

417.78

%


 

302.69

%


 

N/A


 

N/A


 

N/A


 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Nonaccruing loans and leases to 
loans and leases held for 
investment

0.72

%


 

0.56

%


 

N/A


 

N/A


 

N/A


 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Nonaccruing loans and leases to 
loans and leases held for 
investment, excluding PPP loans

0.91

%


 

0.82

%


 

N/A


 

N/A


 

N/A


 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

LendingClub Bank Capital Ratios: 


 

Common Equity Tier 1 Capital Ratio

18.7

%


 

20.9

%


 

N/A


 

N/A


 

N/A


 
 
 
 
 

Tier 1 Leverage Ratio

13.5

%


 

12.9

%


 

N/A


 

N/A


 

N/A


 
 
 
 
 

N/M – Not meaningful

N/A – Not applicable

(1)  

Prior period total net revenue balances have been recast related to credit valuation adjustments on securities available for sale being reclassified from net fair value 
adjustments to provision for credit losses.

(2)   

Includes unsecured personal loans and auto loans only.

(3)  

Includes unsecured personal loans, auto loans, and education and patient finance loans only.


 

 

LENDINGCLUB CORPORATION 


 

LOANS AND LEASES HELD FOR INVESTMENT 


 

(In thousands, except percentages or as noted)


 

(Unaudited)


 

 
 

 

June 30, 2021 


 

March 31, 2021 


 

Unsecured personal

$

776,338


 
 

$

321,104


 
 

Residential mortgages

152,528


 
 

164,002


 
 

Secured consumer

326,318


 
 

387,244


 
 

Other consumer

157


 
 

34


 
 

Total consumer loans held for investment

1,255,341


 
 

872,384


 
 

Equipment finance (1)

161,465


 
 

145,885


 
 

Commercial real estate

294,954


 
 

302,445


 
 

Commercial and industrial (2)

658,366


 
 

794,718


 
 

Total commercial loans and leases held for investment

1,114,785


 
 

1,243,048


 
 

Total loans and leases held for investment

2,370,126


 
 

2,115,432


 
 

Allowance for loan and lease losses

(71,081)


 
 

(36,132)


 
 

Loans and leases held for investment, net

$

2,299,045


 
 

$

2,079,300


 
 

(1)     

Comprised of sales-type leases for equipment.

(2)       

Includes $507.6 million of Paycheck Protection Program (PPP) loans. The Company determined no allowance for expected credit losses is 
needed on these loans.

 

LENDINGCLUB CORPORATION 

ALLOWANCE FOR LOAN AND LEASE LOSSES 

(In thousands, except percentages or as noted)

(Unaudited)


 

 

Three Months Ended 


 

June 30, 2021 


 

March 31, 2021 


 

Consumer 


 

Commercial 


 

Total 


 

Consumer 


 

Commercial 


 

Total 

Allowance for loan and lease 
losses, beginning of period

$

19,785


 
 

$

16,347


 
 

$

36,132


 
 

$

—


 
 

$

—


 
 

$

—


 

Credit loss expense for loans 
and leases held for investment

34,317


 
 

659


 
 

34,976


 
 

19,182


 
 

4,371


 
 

23,553


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Initial allowance for PCD loans 
acquired during the period

—


 
 

—


 
 

—


 
 

603


 
 

11,837


 
 

12,440


 

Charge-offs

(90)


 
 

(156)


 
 

(246)


 
 

—


 
 

—


 
 

—


 

Recoveries

46


 
 

173


 
 

219


 
 

—


 
 

139


 
 

139


 

Allowance for loan and lease 
losses, end of period

$

54,058


 
 

$

17,023


 
 

$

71,081


 
 

$

19,785


 
 

$

16,347


 
 

$

36,132


 

 

 

LENDINGCLUB CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except share and per share data)
(Unaudited)


 

 

Three Months Ended 


 
 
 

 

June 30, 


 

March 31, 


 
 
 

 

2021 


 

2021 


 

Change (%) 


 

Non-interest income: 


 
 
 
 
 
 

Marketplace revenue (1)

$

151,735


 
 

$

81,727


 
 

86

%


 

Other non-interest income

6,741


 
 

5,607


 
 

20

%


 

Total non-interest income 

158,476


 
 

87,334


 
 

81

%


 

 
 
 
 
 
 
 

Interest income: 


 
 
 
 
 
 

Interest on loans held for sale

8,694


 
 

5,157


 
 

69

%


 

Interest and fees on loans and leases held for investment

39,068


 
 

15,301


 
 

155

%


 

Interest on retail and certificate loans held for investment at fair value

16,014


 
 

20,262


 
 

(21)

%


 

Interest on other loans held for investment at fair value

1,222


 
 

1,479


 
 

(17)

%


 

Interest on securities available for sale

2,539


 
 

2,235


 
 

14

%


 

Other interest income

190


 
 

156


 
 

22

%


 

Total interest income 

67,727


 
 

44,590


 
 

52

%


 

 
 
 
 
 
 
 

Interest expense: 


 
 
 
 
 
 

Interest on deposits

1,699


 
 

1,014


 
 

68

%


 

Interest on short-term borrowings

1,003


 
 

1,264


 
 

(21)

%


 

Interest on retail notes, certificates and secured borrowings

16,014


 
 

20,262


 
 

(21)

%


 

Interest on Structured Program borrowings

2,668


 
 

3,208


 
 

(17)

%


 

Interest on other long-term debt

438


 
 

336


 
 

30

%


 

Total interest expense 

21,822


 
 

26,084


 
 

(16)

%


 

 
 
 
 
 
 
 

Net interest income 

45,905


 
 

18,506


 
 

148

%


 

 
 
 
 
 
 
 

Total net revenue 

204,381


 
 

105,840


 
 

93

%


 

 
 
 
 
 
 
 

Provision for credit losses 

34,634


 
 

21,493


 
 

61

%


 

 
 
 
 
 
 
 

Non-interest expense: 


 
 
 
 
 
 

Compensation and benefits

71,925


 
 

64,420


 
 

12

%


 

Marketing

35,107


 
 

19,545


 
 

80

%


 

Equipment and software

9,281


 
 

7,893


 
 

18

%


 

Occupancy

6,157


 
 

6,900


 
 

(11)

%


 

Depreciation and amortization

11,508


 
 

11,766


 
 

(2)

%


 

Professional services

11,520


 
 

11,603


 
 

(1)

%


 

Other non-interest expense

14,641


 
 

12,125


 
 

21

%


 

Total non-interest expense 

160,139


 
 

134,252


 
 

19

%


 

 
 
 
 
 
 
 

Income (Loss) before income tax expense 

9,608


 
 

(49,905)


 
 

N/M


 

Income tax expense (benefit)

237


 
 

(2,821)


 
 

N/M


 

Consolidated net income (loss) 

$

9,371


 
 

$

(47,084)


 
 

N/M


 

 
 
 
 
 
 
 

Net income (loss) per share attributable to common stockholders – Basic

$

0.10


 
 

$

(0.49)


 
 
 
 

Net income (loss) per share attributable to common stockholders – Diluted

$

0.09


 
 

$

(0.49)


 
 
 
 

Weighted-average common shares – Basic

97,785,089


 
 

92,666,169


 
 
 
 

Weighted-average common shares – Diluted

102,031,088


 
 

92,666,169


 
 
 
 

Net income (loss) per share attributable to preferred stockholders – Basic 
and Diluted

$

—


 
 

$

(0.49)


 
 
 
 

Weighted-average common shares, as converted – Basic and Diluted

—


 
 

2,648,758


 
 
 
 

N/M

– Not meaningful

(1) 

Marketplace revenue consists of the following:


 

Three Months Ended 


 
 
 

 

June 30, 
2021 


 

March 31, 
2021 


 

Change (%) 


 

Origination fees

$

113,802


 
 

$

55,559


 
 

105

%


 

Servicing fees

22,714


 
 

23,166


 
 

(2)

%


 

Gain on sales of loans

19,317


 
 

8,323


 
 

132

%


 

Net fair value adjustments

(4,098)


 
 

(5,321)


 
 

(23)

%


 

Total marketplace revenue

$

151,735


 
 

$

81,727


 
 

86

%


 

 

LENDINGCLUB CORPORATION 


 

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS BY SEGMENT 


 

(In thousands, except share and per share data)


 

(Unaudited)


 

 

Three Months Ended June 30, 2021 


 

 

LendingClub 

Corporation 

(Parent only) 


 

LendingClub 

Bank 


 

Intercompany 

Eliminations 


 

Total 


 

Non-interest income: 


 

Marketplace revenue

$

23,021


 
 

$

128,714


 
 

$

—


 
 

$

151,735


 
 

Other non-interest income

4,281


 
 

28,340


 
 

(25,880)


 
 

6,741


 
 

Total non-interest income 

27,302


 
 

157,054


 
 

(25,880)


 
 

158,476


 
 

 
 
 
 
 
 
 
 
 

Interest income: 


 
 
 
 
 
 
 
 

Interest income

22,402


 
 

45,325


 
 

—


 
 

67,727


 
 

Interest expense

(19,850)


 
 

(1,972)


 
 

—


 
 

(21,822)


 
 

Net interest income 

2,552


 
 

43,353


 
 

—


 
 

45,905


 
 

 
 
 
 
 
 
 
 
 

Total net revenue 

29,854


 
 

200,407


 
 

(25,880)


 
 

204,381


 
 

 
 
 
 
 
 
 
 
 

Reversal of (provision for) credit losses

322


 
 

(34,956)


 
 

—


 
 

(34,634)


 
 

Non-interest expense

(47,837)


 
 

(138,182)


 
 

25,880


 
 

(160,139)


 
 

Income (Loss) before income tax benefit 
(expense) 

(17,661)


 
 

27,269


 
 

—


 
 

9,608


 
 

Income tax benefit (expense)

8,922


 
 

12,513


 
 

(21,672)


 
 

(237)


 
 

Consolidated net income (loss) 

$

(8,739)


 
 

$

39,782


 
 

$

(21,672)


 
 

$

9,371


 
 

 


 

Three Months Ended March 31, 2021 


 

 

LendingClub 

Corporation 

(Parent only) 


 

LendingClub 

Bank (1) 


 

Intercompany 

Eliminations 


 

Total 


 

Non-interest income: 


 

Marketplace revenue

$

45,665


 
 

$

36,062


 
 

$

—


 
 

$

81,727


 
 

Other non-interest income

4,098


 
 

19,700


 
 

(18,191)


 
 

5,607


 
 

Total non-interest income 

49,763


 
 

55,762


 
 

(18,191)


 
 

87,334


 
 

 
 
 
 
 
 
 
 
 

Interest income: 


 
 
 
 
 
 
 
 

Interest income

27,092


 
 

17,498


 
 

—


 
 

44,590


 
 

Interest expense

(24,837)


 
 

(1,247)


 
 

—


 
 

(26,084)


 
 

Net interest income 

2,255


 
 

16,251


 
 

—


 
 

18,506


 
 

 
 
 
 
 
 
 
 
 

Total net revenue 

52,018


 
 

72,013


 
 

(18,191)


 
 

105,840


 
 

 
 
 
 
 
 
 
 
 

Reversal of (provision for) credit losses

2,470


 
 

(23,963)


 
 

—


 
 

(21,493)


 
 

Non-interest expense

(76,944)


 
 

(75,499)


 
 

18,191


 
 

(134,252)


 
 

Loss before income tax benefit 

(22,456)


 
 

(27,449)


 
 

—


 
 

(49,905)


 
 

Income tax benefit

2,292


 
 

23


 
 

506


 
 

2,821


 
 

Consolidated net loss 

$

(20,164)


 
 

$

(27,426)


 
 

$

506


 
 

$

(47,084)


 
 

(1)    

For the two month period from February 1, 2021 through March 31, 2021, for LendingClub Bank.

 

 

 

 

LENDINGCLUB BANK 
NET INTEREST INCOME 
(In thousands, except percentages or as noted) 
(Unaudited)


 

 

LendingClub Bank 


 

 

Three Months Ended 

June 30, 2021 


 

Two Months Ended 

March 31, 2021(1) 


 

 

Average 
Balance 


 

Interest Income/ 
Expense 


 

Average Yield/ 
Rate 


 

Average 
Balance 


 

Interest Income/ 
Expense 


 

Average Yield/ 
Rate 


 

Interest-earning assets (2) 


 
 
 
 
 
 
 
 
 
 
 
 

Cash, cash equivalents and restricted cash

$

551,895


 
 

$

186


 
 

0.13

%


 

$

737,555


 
 

$

138


 
 

0.11

%


 

Securities available for sale at fair value

165,579


 
 

348


 
 

0.84

%


 

232,001


 
 

444


 
 

1.15

%


 

Loans held for sale

144,037


 
 

5,723


 
 

15.89

%


 

64,720


 
 

1,615


 
 

14.97

%


 

Loans and leases held for investment:


 
 
 
 
 
 
 
 
 
 
 
 

Unsecured personal loans

511,787


 
 

19,499


 
 

15.24

%


 

146,925


 
 

3,392


 
 

13.85

%


 

Secured consumer loans

532,426


 
 

5,173


 
 

3.89

%


 

521,399


 
 

3,215


 
 

3.70

%


 

Commercial loans and leases

623,735


 
 

9,062


 
 

5.81

%


 

605,495


 
 

5,119


 
 

5.07

%


 

PPP loans

615,942


 
 

5,334


 
 

3.46

%


 

621,292


 
 

3,575


 
 

3.45

%


 

Loans and leases held for investment

2,283,890


 
 

39,068


 
 

6.84

%


 

1,895,111


 
 

15,301


 
 

4.84

%


 

Total interest-earning assets 

3,145,401


 
 

45,325


 
 

5.76

%


 

2,929,387


 
 

17,498


 
 

3.58

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 

Cash and due from banks

34,612


 
 
 
 
 
 

42,683


 
 
 
 
 
 

Allowance for loan and lease losses

(51,109)


 
 
 
 
 
 

(30,357)


 
 
 
 
 
 

Other non-interest earning assets

221,870


 
 
 
 
 
 

187,785


 
 
 
 
 
 

Total assets 

$

3,350,774


 
 
 
 
 
 

$

3,129,498


 
 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 

Interest-bearing liabilities 


 
 
 
 
 
 
 
 
 
 
 
 

Interest-bearing deposits


 
 
 
 
 
 
 
 
 
 
 
 

Checking and money market accounts

$

2,071,112


 
 

$

1,618


 
 

0.31

%


 

$

1,735,274


 
 

$

913


 
 

0.33

%


 

Savings accounts and certificates of deposit

301,939


 
 

81


 
 

0.11

%


 

323,800


 
 

101


 
 

0.19

%


 

Interest-bearing deposits

2,373,051


 
 

1,699


 
 

0.29

%


 

2,059,074


 
 

1,014


 
 

0.30

%


 

Short-term borrowings

2,138


 
 

1


 
 

0.06

%


 

1,829


 
 

0.3


 
 

0.09

%


 

Advances from PPPLF

312,168


 
 

272


 
 

0.35

%


 

405,989


 
 

233


 
 

0.35

%


 

Other long-term debt

708


 
 

—


 
 

—

%


 

2,834


 
 

—


 
 

—

%


 

Total interest-bearing liabilities 

2,688,065


 
 

1,972


 
 

0.29

%


 

2,469,726


 
 

1,247


 
 

0.31

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 

Non-interest bearing deposits

102,709


 
 
 
 
 
 

156,034


 
 
 
 
 
 

Other liabilities

100,835


 
 
 
 
 
 

68,510


 
 
 
 
 
 

Total liabilities 

$

2,891,609


 
 
 
 
 
 

$

2,694,270


 
 
 
 
 
 

Total equity 

$

459,165


 
 
 
 
 
 

$

435,228


 
 
 
 
 
 

Total liabilities and equity 

$

3,350,774


 
 
 
 
 
 

$

3,129,498


 
 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 

Interest rate spread 


 
 
 
 

5.47

%


 
 
 
 
 

3.27

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 

Net interest income and net interest margin 


 
 

$

43,353


 
 

5.51

%


 
 
 

$

16,251


 
 

3.33

%


 

 
 

(1)   

Prior period amounts have been reclassified to include non-interest earning assets, non-interest bearing liabilities and equity to conform to current 
period presentation.

(2)  

Nonaccrual loans and any related income are included in their respective loan categories.

 

 

LENDINGCLUB CORPORATION 
NET INTEREST INCOME (Continued) 
(In thousands, except percentages or as noted) 
(Unaudited)


 

 

Three Months Ended June 30, 2021 


 

 

LendingClub Bank 


 

LendingClub Corporation 

(Parent only) 


 

Consolidated 

LendingClub Corporation(1) 


 

 

Average 
Balance 


 

Interest Income/ 
Expense 


 

Average Yield/ 
Rate 


 

Average 
Balance 


 

Interest Income/ 
Expense 


 

Average Yield/ 
Rate 


 

Average 
Balance 


 

Interest Income/ 
Expense 


 

Average Yield/ 
Rate 


 

Interest-earning assets (2) 


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Cash, cash equivalents 
and restricted cash

$

551,895


 
 

$

186


 
 

0.13

%


 

$

99,419


 
 

$

4


 
 

0.02

%


 

$

642,182


 
 

$

190


 
 

0.12

%


 

Securities available for 
sale at fair value

165,579


 
 

348


 
 

0.84

%


 

108,377


 
 

2,191


 
 

8.09

%


 

273,956


 
 

2,539


 
 

3.71

%


 

Loans held for sale

144,037


 
 

5,723


 
 

15.89

%


 

99,408


 
 

2,971


 
 

11.96

%


 

243,445


 
 

8,694


 
 

14.29

%


 

Loans and leases held for 
investment:


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Unsecured personal 
loans

511,787


 
 

19,499


 
 

15.24

%


 

—


 
 

—


 
 

—

%


 

511,787


 
 

19,499


 
 

15.24

%


 

Secured consumer 
loans

532,426


 
 

5,173


 
 

3.89

%


 

—


 
 

—


 
 

—

%


 

532,426


 
 

5,173


 
 

3.89

%


 

Commercial loans and 
leases

623,735


 
 

9,062


 
 

5.81

%


 

—


 
 

—


 
 

—

%


 

623,735


 
 

9,062


 
 

5.81

%


 

PPP loans

615,942


 
 

5,334


 
 

3.46

%


 

—


 
 

—


 
 

—

%


 

615,942


 
 

5,334


 
 

3.46

%


 

Loans and leases held for 
investment

2,283,890


 
 

39,068


 
 

6.84

%


 

—


 
 

—


 
 

—

%


 

2,283,890


 
 

39,068


 
 

6.84

%


 

Retail and certificate 
loans held for 
investment at fair 
value

—


 
 

—


 
 

—

%


 

448,822


 
 

16,014


 
 

14.27

%


 

448,822


 
 

16,014


 
 

14.27

%


 

Other loans held for 
investment at fair 
value

—


 
 

—


 
 

—

%


 

38,662


 
 

1,222


 
 

12.64

%


 

38,662


 
 

1,222


 
 

12.64

%


 

Total interest-earning 
assets 

3,145,401


 
 

45,325


 
 

5.76

%


 

794,688


 
 

22,402


 
 

11.28

%


 

3,930,957


 
 

67,727


 
 

6.89

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Cash and due from banks 
and restricted cash

34,612


 
 
 
 
 
 

111,274


 
 
 
 
 
 

144,897


 
 
 
 
 
 

Allowance for loan 
and lease losses

(51,109)


 
 
 
 
 
 

—


 
 
 
 
 
 

(51,109)


 
 
 
 
 
 

Other non-interest 
earning assets

221,870


 
 
 
 
 
 

749,674


 
 
 
 
 
 

447,826


 
 
 
 
 
 

Total assets 

$

3,350,774


 
 
 
 
 
 

$

1,655,636


 
 
 
 
 
 

$

4,472,571


 
 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Interest-bearing 
liabilities 


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Interest-bearing 
deposits:


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Checking and money 
market accounts

$

2,071,112


 
 

$

1,618


 
 

0.31

%


 

$

—


 
 

$

—


 
 

—

%


 

$

2,071,112


 
 

$

1,618


 
 

0.31

%


 

Savings accounts and 
certificates of deposit

301,939


 
 

81


 
 

0.11

%


 

—


 
 

—


 
 

—

%


 

301,939


 
 

81


 
 

0.11

%


 

Interest-bearing deposits

2,373,051


 
 

1,699


 
 

0.29

%


 

—


 
 

—


 
 

—

%


 

2,373,051


 
 

1,699


 
 

0.29

%


 

Short-term borrowings

2,138


 
 

1


 
 

0.06

%


 

77,373


 
 

1,002


 
 

5.19

%


 

79,511


 
 

1,003


 
 

5.05

%


 

Advances from PPPLF

312,168


 
 

272


 
 

0.35

%


 

—


 
 

—


 
 

—

%


 

312,168


 
 

272


 
 

0.35

%


 

Retail notes, certificates 
and secured 
borrowings

—


 
 

—


 
 

—

%


 

449,057


 
 

16,014


 
 

14.27

%


 

449,057


 
 

16,014


 
 

14.27

%


 

Structured Program 
borrowings

—


 
 

—


 
 

—

%


 

121,738


 
 

2,668


 
 

8.77

%


 

121,738


 
 

2,668


 
 

8.77

%


 

Other long-term debt

708


 
 

—


 
 

—

%


 

15,696


 
 

166


 
 

4.22

%


 

16,404


 
 

166


 
 

4.04

%


 

Total interest-bearing 
liabilities 

2,688,065


 
 

1,972


 
 

0.29

%


 

663,864


 
 

19,850


 
 

11.96

%


 

3,351,929


 
 

21,822


 
 

2.61

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Non-interest bearing 
deposits

102,709


 
 
 
 
 
 

—


 
 
 
 
 
 

92,588


 
 
 
 
 
 

Other liabilities

100,835


 
 
 
 
 
 

225,521


 
 
 
 
 
 

276,723


 
 
 
 
 
 

Total liabilities 

$

2,891,609


 
 
 
 
 
 

$

889,385


 
 
 
 
 
 

$

3,721,240


 
 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Total equity 

$

459,165


 
 
 
 
 
 

$

766,251


 
 
 
 
 
 

$

751,331


 
 
 
 
 
 

Total liabilities and 
equity 

$

3,350,774


 
 
 
 
 
 

$

1,655,636


 
 
 
 
 
 

$

4,472,571


 
 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Interest rate spread 


 
 
 
 

5.47

%


 
 
 
 
 

(0.68)

%


 
 
 
 
 

4.29

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Net interest income and 
net interest margin 


 
 

$

43,353


 
 

5.51

%


 
 
 

$

2,552


 
 

1.28

%


 
 
 

$

45,905


 
 

4.67

%


 

(1)   

Consolidated presentation reflects intercompany eliminations.

(2)   

Nonaccrual loans and any related income are included in their respective loan categories.

 

 


 

LENDINGCLUB CORPORATION 
NET INTEREST INCOME (Continued) 
(In thousands, except percentages or as noted) 
(Unaudited)


 

Three Months Ended March 31, 2021(1)(2) 


 

 

LendingClub Bank 


 

LendingClub Corporation 

(Parent only) 


 

Consolidated 

LendingClub Corporation(3) 


 

 

Average 
Balance 


 

Interest Income/ 
Expense 


 

Average Yield/ 
Rate 


 

Average 
Balance 


 

Interest Income/ 
Expense 


 

Average Yield/ 
Rate 


 

Average 
Balance 


 

Interest Income/ 
Expense 


 

Average Yield/ 
Rate 


 

Interest-earning assets (4) 


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Cash, cash equivalents 
and restricted cash

$

737,555


 
 

$

138


 
 

0.11

%


 

$

216,698


 
 

$

18


 
 

0.03

%


 

$

918,148


 
 

$

156


 
 

0.10

%


 

Securities available for 
sale at fair value

232,001


 
 

444


 
 

1.15

%


 

130,620


 
 

1,791


 
 

5.48

%


 

362,621


 
 

2,235


 
 

2.71

%


 

Loans held for sale

64,720


 
 

1,615


 
 

14.97

%


 

133,872


 
 

3,542


 
 

10.58

%


 

198,592


 
 

5,157


 
 

12.01

%


 

Loans and leases held for 
investment:


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Unsecured personal 
loans

146,925


 
 

3,392


 
 

13.85

%


 

—


 
 

—


 
 

—

%


 

146,925


 
 

3,392


 
 

13.85

%


 

Secured consumer 
loans

521,399


 
 

3,215


 
 

3.70

%


 

—


 
 

—


 
 

—

%


 

521,399


 
 

3,215


 
 

3.70

%


 

Commercial loans and 
leases

605,495


 
 

5,119


 
 

5.07

%


 

—


 
 

—


 
 

—

%


 

605,495


 
 

5,119


 
 

5.07

%


 

PPP loans

621,292


 
 

3,575


 
 

3.45

%


 

—


 
 

—


 
 

—

%


 

621,292


 
 

3,575


 
 

3.45

%


 

Loans and leases held for 
investment

1,895,111


 
 

15,301


 
 

4.84

%


 

—


 
 

—


 
 

—

%


 

1,895,111


 
 

15,301


 
 

4.84

%


 

Retail and certificate 
loans held for 
investment at fair 
value

—


 
 

—


 
 

—

%


 

574,158


 
 

20,262


 
 

14.12

%


 

574,158


 
 

20,262


 
 

14.12

%


 

Other loans held for 
investment at fair 
value

—


 
 

—


 
 

—

%


 

46,212


 
 

1,479


 
 

12.80

%


 

46,212


 
 

1,479


 
 

12.80

%


 

Total interest-earning 
assets 

2,929,387


 
 

17,498


 
 

3.58

%


 

1,101,560


 
 

27,092


 
 

9.84

%


 

3,994,842


 
 

44,590


 
 

5.34

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Cash and due from banks 
and restricted cash

42,683


 
 
 
 
 
 

95,190


 
 
 
 
 
 

137,216


 
 
 
 
 
 

Allowance for loan and 
lease losses

(30,357)


 
 
 
 
 
 

—


 
 
 
 
 
 

(30,357)


 
 
 
 
 
 

Other non-interest 
earning assets

187,785


 
 
 
 
 
 

618,194


 
 
 
 
 
 

326,040


 
 
 
 
 
 

Total assets 

$

3,129,498


 
 
 
 
 
 

$

1,814,944


 
 
 
 
 
 

$

4,427,741


 
 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Interest-bearing 
liabilities 


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Interest-bearing 
deposits:


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Checking and money 
market accounts

$

1,735,274


 
 

$

913


 
 

0.33

%


 

$

—


 
 

$

—


 
 

—

%


 

$

1,735,274


 
 

$

913


 
 

0.33

%


 

Savings accounts and 
certificates of deposit

323,800


 
 

101


 
 

0.19

%


 

—


 
 

—


 
 

—

%


 

323,800


 
 

101


 
 

0.19

%


 

Interest-bearing deposits

2,059,074


 
 

1,014


 
 

0.30

%


 

—


 
 

—


 
 

—

%


 

2,059,074


 
 

1,014


 
 

0.30

%


 

Short-term borrowings

1,829


 
 

0.3


 
 

0.09

%


 

96,989


 
 

1,264


 
 

5.21

%


 

98,818


 
 

1,264


 
 

5.12

%


 

Advances from PPPLF

405,989


 
 

233


 
 

0.35

%


 

—


 
 

—


 
 

—

%


 

405,989


 
 

233


 
 

0.35

%


 

Retail notes, certificates 
and secured 
borrowings

—


 
 

—


 
 

—

%


 

574,192


 
 

20,262


 
 

14.12

%


 

574,192


 
 

20,262


 
 

14.12

%


 

Structured Program 
borrowings

—


 
 

—


 
 

—

%


 

143,045


 
 

3,208


 
 

8.97

%


 

143,045


 
 

3,208


 
 

8.97

%


 

Other long-term debt

2,834


 
 

—


 
 

—

%


 

15,771


 
 

103


 
 

2.61

%


 

18,605


 
 

103


 
 

2.21

%


 

Total interest-bearing 
liabilities 

2,469,726


 
 

1,247


 
 

0.31

%


 

829,997


 
 

24,837


 
 

11.97

%


 

3,299,723


 
 

26,084


 
 

3.24

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Non-interest bearing 
deposits

156,034


 
 
 
 
 
 

—


 
 
 
 
 
 

119,272


 
 
 
 
 
 

Other liabilities

68,510


 
 
 
 
 
 

245,177


 
 
 
 
 
 

286,907


 
 
 
 
 
 

Total liabilities 

$

2,694,270


 
 
 
 
 
 

$

1,075,174


 
 
 
 
 
 

$

3,705,902


 
 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Total equity 

$

435,228


 
 
 
 
 
 

$

739,770


 
 
 
 
 
 

$

721,839


 
 
 
 
 
 

Total liabilities and 
equity 

$

3,129,498


 
 
 
 
 
 

$

1,814,944


 
 
 
 
 
 

$

4,427,741


 
 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Interest rate spread 


 
 
 
 

3.27

%


 
 
 
 
 

(2.13)

%


 
 
 
 
 

2.11

%


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Net interest income and 
net interest margin 


 
 

$

16,251


 
 

3.33

%


 
 
 

$

2,255


 
 

0.82

%


 
 
 

$

18,506


 
 

2.67

%


 

(1)     

For the two month period from February 1, 2021 through March 31, 2021, for LendingClub Bank.

(2)   

Prior period amounts have been reclassified to include non-interest earning assets, non-interest bearing liabilities and equity to conform to current 
period presentation.

(3)   

Consolidated presentation reflects intercompany eliminations.

(4)   

Nonaccrual loans and any related income are included in their respective loan categories.

 

 

LENDINGCLUB CORPORATION 

CONDENSED CONSOLIDATED BALANCE SHEETS 

(In Thousands, Except Share and Per Share Amounts)

(Unaudited)


 

 

June 30, 
2021 


 

December 31,
2020 

Assets 


 
 
 

Cash and due from banks

$

55,773


 
 

$

5,197


 

Interest-bearing deposits in banks

512,873


 
 

519,766


 

Total cash and cash equivalents

568,646


 
 

524,963


 

Restricted cash

123,896


 
 

103,522


 

Securities available for sale at fair value (includes $272,869 and $159,164 at amortized 
cost, respectively)

277,505


 
 

142,226


 

Loans held for sale (includes $180,061 and $121,902 at fair value, respectively)

226,328


 
 

121,902


 

Loans and leases held for investment

2,370,126


 
 

—


 

Allowance for loan and lease losses

(71,081)


 
 

—


 

Loans and leases held for investment, net

2,299,045


 
 

—


 

Retail and certificate loans held for investment at fair value

391,362


 
 

636,686


 

Other loans held for investment at fair value

34,523


 
 

49,954


 

Property, equipment and software, net

94,676


 
 

96,641


 

Goodwill

75,717


 
 

—


 

Other assets

278,403


 
 

187,399


 

Total assets 

$

4,370,101


 
 

$

1,863,293


 

Liabilities and Equity 


 
 
 

Deposits:


 
 
 

Interest-bearing

$

2,445,518


 
 

$

—


 

Noninterest-bearing

94,186


 
 

—


 

Total deposits

2,539,704


 
 

—


 

Short-term borrowings

68,781


 
 

104,989


 

Advances from Paycheck Protection Program Liquidity Facility (PPPLF)

195,481


 
 

370,086


 

Retail notes, certificates and secured borrowings at fair value

391,384


 
 

507,203


 

Payable on Structured Program borrowings

110,871


 
 

133,499


 

Other long-term debt

15,650


 
 

—


 

Other liabilities

285,871


 
 

244,551


 

Total liabilities

3,607,742


 
 

1,139,122


 

Equity


 
 
 

Series A Preferred stock, $0.01 par value; 1,200,000 shares authorized; 0 and 43,000 
shares issued and outstanding, respectively

—


 
 

—


 

Common stock, $0.01 par value; 180,000,000 shares authorized; 98,601,148 and 
88,149,510 shares issued and outstanding, respectively

986


 
 

881


 

Additional paid-in capital 

1,580,518


 
 

1,508,020


 

Accumulated deficit

(823,927)


 
 

(786,214)


 

Treasury stock, at cost; 4,251 and 0 shares, respectively

(92)


 
 

—


 

Accumulated other comprehensive income

4,874


 
 

1,484


 

Total equity

762,359


 
 

724,171


 

Total liabilities and equity 

$

4,370,101


 
 

$

1,863,293


 

 

 

LENDINGCLUB CORPORATION 

CONDENSED CONSOLIDATED BALANCE SHEETS BY SEGMENT 

(In Thousands, Except Share and Per Share Amounts)

(Unaudited)


 

 

LendingClub 

Corporation 

(Parent only) 


 

LendingClub 

Bank 


 

Intercompany 

Eliminations 


 

Total 


 

June 30, 
2021 


 

December 31, 2020 


 

June 30, 
2021 


 

December 31, 
2020 


 

June 30, 

2021 


 

December 31, 
2020 


 

June 30, 

2021 


 

December 31, 2020 

Assets 


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Total cash and cash 
equivalents

$

72,458


 
 

$

524,963


 
 

$

493,915


 
 

$

—


 
 

$

2,273


 
 

$

—


 
 

$

568,646


 
 

$

524,963


 

Restricted cash

127,781


 
 

103,522


 
 

—


 
 

—


 
 

(3,885)


 
 

—


 
 

123,896


 
 

103,522


 

Securities available for sale 
at fair value

95,378


 
 

142,226


 
 

182,127


 
 

—


 
 

—


 
 

—


 
 

277,505


 
 

142,226


 

Loans held for sale

92,509


 
 

121,902


 
 

133,819


 
 

—


 
 

—


 
 

—


 
 

226,328


 
 

121,902


 

Loans and leases held for 
investment, net

—


 
 

—


 
 

2,299,045


 
 

—


 
 

—


 
 

—


 
 

2,299,045


 
 

—


 

Retail and certificate loans 
held for investment at fair 
value

391,362


 
 

636,686


 
 

—


 
 

—


 
 

—


 
 

—


 
 

391,362


 
 

636,686


 

Other loans held for 
investment at fair value

34,523


 
 

49,954


 
 

—


 
 

—


 
 

—


 
 

—


 
 

34,523


 
 

49,954


 

Property, equipment and 
software, net

78,288


 
 

96,641


 
 

16,388


 
 

—


 
 

—


 
 

—


 
 

94,676


 
 

96,641


 

Investment in subsidiary

483,696


 
 

—


 
 

—


 
 

—


 
 

(483,696)


 
 

—


 
 

—


 
 

—


 

Goodwill

—


 
 

—


 
 

75,717


 
 

—


 
 

—


 
 

—


 
 

75,717


 
 

—


 

Other assets

189,567


 
 

187,399


 
 

156,886


 
 

—


 
 

(68,050)


 
 

—


 
 

278,403


 
 

187,399


 

Total assets 

1,565,562


 
 

1,863,293


 
 

3,357,897


 
 

—


 
 

(553,358)


 
 

—


 
 

4,370,101


 
 

1,863,293


 

Liabilities and Equity 


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Total deposits

—


 
 

—


 
 

2,541,317


 
 

—


 
 

(1,613)


 
 

—


 
 

2,539,704


 
 

—


 

Short-term borrowings

68,460


 
 

104,989


 
 

321


 
 

—


 
 

—


 
 

—


 
 

68,781


 
 

104,989


 

Advances from PPPLF

—


 
 

—


 
 

195,481


 
 

—


 
 

—


 
 

—


 
 

195,481


 
 

—


 

Retail notes, certificates and 
secured borrowings at fair 
value

391,384


 
 

636,774


 
 

—


 
 

—


 
 

—


 
 

—


 
 

391,384


 
 

636,774


 

Payable on Structured 

Program borrowings

110,871


 
 

152,808


 
 

—


 
 

—


 
 

—


 
 

—


 
 

110,871


 
 

152,808


 

Other long-term debt

15,650


 
 

—


 
 

—


 
 

—


 
 

—


 
 

—


 
 

15,650


 
 

—


 

Other liabilities

206,525


 
 

244,551


 
 

125,790


 
 

—


 
 

(46,444)


 
 

—


 
 

285,871


 
 

244,551


 

Total liabilities

792,890


 
 

1,139,122


 
 

2,862,909


 
 

—


 
 

(48,057)


 
 

—


 
 

3,607,742


 
 

1,139,122


 

Total equity

772,672


 
 

724,171


 
 

494,988


 
 

—


 
 

(505,301)


 
 

—


 
 

762,359


 
 

724,171


 

Total liabilities and 
equity 

$

1,565,562


 
 

$

1,863,293


 
 

$

3,357,897


 
 

$

—


 
 

$

(553,358)


 
 

$

—


 
 

$

4,370,101


 
 

$

1,863,293


 

 


 

 

LENDINGCLUB CORPORATION 
SUPPLEMENTAL FINANCIAL INFORMATION 
(In thousands) 
(Unaudited) 


 

The following table is provided to delineate between the assets and liabilities belonging to our member payment dependent self-directed retail 
program (Retail Program) note holders and certain VIEs that we are required to consolidate in accordance with GAAP. Such assets are not legally 
ours and the associated liabilities are payable only from the cash flows generated by those assets (i.e. Pass-throughs). As such, these debt holders 
do not have a secured interest in any other assets of LendingClub. We believe this is a useful measure because it illustrates the overall financial 
stability and operating leverage of the Company.


 

 

June 30, 2021 


 

December 31, 2020 


 

Retail Program (1) 

Consolidated VIEs (2)(4) 

All Other LendingClub (3) 

Condensed Consolidated Balance Sheet 


 

Retail Program (1) 

Consolidated VIEs (2)(4) 

All Other LendingClub (3) 

Condensed Consolidated Balance Sheet 

Assets 


 
 
 
 
 
 
 
 
 

Total cash and cash 
equivalents

$

—


 

$

—


 

$

568,646


 

$

568,646


 
 

$

—


 

$

—


 

$

524,963


 

$

524,963


 

Restricted cash

—


 

14,156


 

109,740


 

123,896


 
 

—


 

13,473


 

90,049


 

103,522


 

Securities available for sale at 
fair value 

—


 

—


 

277,505


 

277,505


 
 

—


 

—


 

142,226


 

142,226


 

Loans held for sale (4)

—


 

65,305


 

161,023


 

226,328


 
 

—


 

92,802


 

29,100


 

121,902


 

Loans and leases held for 
investment, net

—


 

—


 

2,299,045


 

2,299,045


 
 

—


 

—


 

—


 

—


 

Retail and certificate loans 
held for investment at fair 
value

367,552


 

23,810


 

—


 

391,362


 
 

584,066


 

52,620


 

—


 

636,686


 

Other loans held for 
investment at fair 
value (4)

—


 

31,149


 

3,374


 

34,523


 
 

—


 

46,120


 

3,834


 

49,954


 

Property, equipment and 
software, net

—


 

—


 

94,676


 

94,676


 
 

—


 

—


 

96,641


 

96,641


 

Goodwill

—


 

—


 

75,717


 

75,717


 
 

—


 

—


 

—


 

—


 

Other assets 

2,323


 

647


 

275,433


 

278,403


 
 

3,797


 

1,134


 

182,468


 

187,399


 

Total assets 

$

369,875


 

$

135,067


 

$

3,865,159


 

$

4,370,101


 
 

$

587,863


 

$

206,149


 

$

1,069,281


 

$

1,863,293


 

Liabilities and Equity 


 
 
 
 
 
 
 
 
 

Total deposits

$

—


 

$

—


 

$

2,539,704


 

$

2,539,704


 
 

$

—


 

$

—


 

$

—


 

$

—


 

Short-term borrowings

—


 

—


 

68,781


 

68,781


 
 

—


 

—


 

104,989


 

104,989


 

Advances from PPPLF

—


 

—


 

195,481


 

195,481


 
 

—


 

—


 

—


 

—


 

Retail notes, certificates and 
secured borrowings at fair 
value

367,552


 

23,810


 

22


 

391,384


 
 

584,066


 

52,620


 

88


 

636,774


 

Payable on Structured 
Program borrowings (4)

—


 

110,871


 

—


 

110,871


 
 

—


 

152,808


 

—


 

152,808


 

Other long-term debt

—


 

—


 

15,650


 

15,650


 
 

—


 

—


 

—


 

—


 

Other liabilities

2,323


 

386


 

283,162


 

285,871


 
 

3,797


 

721


 

240,033


 

244,551


 

Total liabilities

369,875


 

135,067


 

3,102,800


 

3,607,742


 
 

587,863


 

206,149


 

345,110


 

1,139,122


 

Total equity

—


 

—


 

762,359


 

762,359


 
 

—


 

—


 

724,171


 

724,171


 

Total liabilities and 
equity 

$

369,875


 

$

135,067


 

$

3,865,159


 

$

4,370,101


 
 

$

587,863


 

$

206,149


 

$

1,069,281


 

$

1,863,293


 

 
 

(1)  

Represents loans held for investment at fair value that are funded directly by our Retail Program notes. The liabilities are only payable from the cash flows generated by the 
associated assets. We do not assume principal or interest rate risk on loans facilitated through our lending marketplace that are funded by our Retail Program because loan 
balances, interest rates and maturities are matched and offset by an equal balance of notes with the exact same interest rates and maturities. We do not retain any economic 
interests from our Retail Program. Interest expense on Retail Program notes of $33.2 million and $53.8 million was equally matched and offset by interest income from the 
related loans of $33.2 million and $53.8 million for the first halves of 2021 and 2020, respectively, resulting in no net effect on our net interest income. 

(2)  

Represents assets and equal and offsetting liabilities of certain VIEs that we are required to consolidate in accordance with GAAP, but which are not legally ours. The liabilities 
are only payable from the cash flows generated by the associated assets. The creditors of the VIEs have no recourse to the general credit of the Company. Interest expense on 
these liabilities owned by third parties of $9.0 million and $20.6 million was equally matched and offset by interest income on the loans of $9.0 million and $20.6 million for the 
first halves of 2021 and 2020, respectively, resulting in no net effect on our net interest income. Economic interests held by LendingClub, including retained interests, residuals 
and equity of the VIEs, are reflected in "Loans held for sale," "Other loans held for investment at fair value" and "Restricted cash," respectively, within the "All Other 
LendingClub" column. 

(3)   

Represents all other assets and liabilities of LendingClub, other than those related to our Retail Program and certain consolidated VIEs, but includes any economic interests 
held by LendingClub, including retained interests, residuals and equity of those consolidated VIEs. 

(4)  

The Company has sponsored Structured Program transactions that have been consolidated, resulting in an increase to "Other loans held for investment at fair value," "Loans 
held for sale" and the related "Payable on Structured Program borrowings."

 

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/lendingclub-reports-second-quarter-2021-results-301343495.html

SOURCE LendingClub Corporation