OneMain Holdings, Inc.

Please stand by. Your meeting is about to begin. Good morning, everyone. Welcome to the OneMain Financial first quarter 2026 earnings conference call and webcast. Hosting the call today from OneMain is Peter Pullian, head of investor relations. Today's call is being recorded. At this time, all participants have been placed in a listen-only mode, and the floor will be open for your questions following the presentation. If you would like to ask a question at that time, please press star 1 on your telephone. If at any point your question has been answered, you may remove yourself from the queue by pressing star 2. We do ask that you please limit yourself to one question and one follow-up. Also, please pick up your handset to allow for optimal sound quality. Lastly, if you should require operator assistance today, please press star 0 at any time. It is now my pleasure to turn the floor over to Mr. Peter Pullian. Please go ahead, sir.

Good morning, everyone, and thank you for joining us. Let me begin by directing you to page two of the first quarter 2026 investor presentation, which contains important disclosures concerning forward-looking statements and the use of non-GAAP measures. The presentation can be found in the investor relations section of the one main website. Our discussion today will contain certain forward-looking statements reflecting management's current beliefs about the company's future, financial performance, and business prospects, And these forward-looking statements are subject to inherent risks and uncertainties and speak only as of today. Factors that could cause the actual results to differ materially from these forward-looking statements are set forth in our earnings press release. We caution you not to place undue reliance on forward-looking statements. If you may be listening to this via replay at some point after today, we remind you that the remarks made herein are as of today, May 1st, and have not been updated subsequent to this call. Our call this morning will include formal remarks from Doug Shulman, our Chairman and Chief Executive Officer, and Jenny Osterhout, our Chief Financial Officer. After the conclusion of our formal remarks, we will conduct a question and answer session. I'd like to now turn the call over to Doug.

Thanks, Pete, and good morning, everyone. Thank you for joining us today. Let me begin by saying we are quite pleased with the financial results of the quarter, which continue the momentum we built over the last couple of years. Our customers remain resilient and we are confident in our ability to execute our 2026 financial objectives as we operate from a position of strength. Let me briefly walk you through a few of the highlights for the quarter And then I'll discuss progress on some of our important strategic initiatives. Capital generation was $194 million in the quarter. CNI adjusted earnings were $1.95 per share, up 13% year over year. Total revenue and receivables each grew 6% year over year. We achieved this growth while still maintaining a conservative underwriting posture. Receivables growth was supported by focused initiatives to drive high-quality personal loan originations and important contributions from our newer businesses, auto finance and credit card. Credit performance was very good and continues to track well against our expectations, both for delinquencies and losses. Our 30 to 89 delinquency declined year over year, improving on last quarter's slight increase. Quarter over quarter improvement in 30 to 89 delinquency was better than last year and better than the pre-pandemic average. C&I net charge-offs were 8.4%, in line with expectations as first quarter losses are seasonally the highest of the year. and we feel good about our full-year credit outlook. Consumer loan net charge-offs were 8%, also in line with expectations, and we continue to see strong recoveries across the business. During the quarter, we continued to make progress on key strategic initiatives, positioning the company well for continued earnings growth in 2026 and beyond. In our personal loans business, we're always enhancing our product offerings to better serve customers and drive profitable growth while maintaining our disciplined underwriting practices. We continue to refine how we deliver debt consolidation loans, making the experience more seamless. This product provides real value to our customers as they consolidate other debt onto a loan with a single monthly payment that amortizes down over time. In a majority of the cases, our customers' credit scores improved, and one main also benefits from better credit performance. We've also seen an uptick in the number of customers who choose to share bank data with us. By accessing this more granular data, we can offer better loan terms, improve credit outcomes, and continue to enhance our credit models over time. We're also encouraged by the early performance of our new home fixture secured loan product, which provides one main homeowners with a differentiated way of accessing credit. We continue to pilot this offering, and it's performing very well, attracting high-quality customers and delivering strong results. These types of innovations are positioning our personal loan business for continued growth. As always, we move quickly but with discipline, testing rigorously, scaling what works, and building a pipeline of initiatives that we expect to drive value over time. Turning to auto finance, receivables grew 14% year-over-year to $2.8 billion. Credit performance was in line with expectations and continues to outperform the broader industry. During the quarter, we continued to grow our dealer network across the country, including through our partnership with Ally. We are also innovating across our auto finance business. Earlier this year, we began piloting an agentic AI tool that improves insurance recovery outcomes on damaged customer vehicles by automating negotiations with insurers. Initial results have exceeded expectations with improved outcomes for us and our customers. We've also deployed AI more broadly across the company, where we see clear near-term benefits. This includes using AI across the product development lifecycle, leading to faster deployment of technology at a potentially lower cost. We've also developed an AI tool which gives our team members easy access to a broad array of internal information, increasing their effectiveness, saving them time, and speeding up customer service. And we are launching pilots in key customer service areas where the risk is low and the learning potential is high. We are taking a focused strategic approach to AI by implementing where we have high conviction and piloting in other areas to build capability and scale over time. Turning to our credit card business, we delivered strong results for the quarter with receivables increasing 45% year over year to just under $1 billion. and customer accounts are up 40% year over year to nearly 1.2 million. All of the key metrics in the credit card business were very strong, as we saw increased yields, improvement in loss trends, and decreased unit costs. We're driving profitable growth in the card business by combining product innovation with deeper customer engagement. As the business has matured, we've enhanced line management processes for our best customers. We are developing differentiated offerings across rewards and pricing to increase our share of wallet with lower-risk customers. And our data science team has refined marketing and credit models. to make better offers to customers more likely to use the card, thereby creating more value for the customer and for one main. All of this shifts our portfolio mix to our best customers and supports profitable long-term growth. We're also implementing initiatives to improve delinquency and collections performance while driving cost efficiencies as we scale. Taken together, we expect these efforts to position the business for profitable growth this year and beyond. We've also seen a steady rise in customer adoption of our financial wellness offering, which has recently been enhanced and rebranded OneMainMyMoney. Our customers use OneMainMyMoney to monitor credit scores, manage budgets, track expenses, and negotiate bills to save money. It's another way we build deep, long-lasting relationship with our customers and help them make progress towards a better financial future. These are just a few examples of strategic business initiatives across our company that are driving both short and long-term value. Let me briefly touch on the consumer. While the current economic environment continues to have some uncertainty, our customers remain resilient. A year ago, tariffs were top of mind. Today, geopolitical tensions and their impact on energy prices are the broader risk. However, unemployment remains low, providing ongoing support for credit performance. As always, we are closely monitoring trends across the consumer and our portfolio, and we are maintaining our cautious underwriting posture. But credit is performing well, as the actions we have taken over the past several years put us in a strong position. Turning to capital allocation, our first priority for capital remains extending credit that meets our risk-adjusted returns while also investing in the business to meet customer needs, drive efficiency, and build an enduring franchise. Our regular dividend, which is currently $4.20 per share on an annual basis, represents a 7% yield at today's share price. As I discussed last quarter, all things being equal, we expect incremental capital returns to be weighted more towards share repurchases going forward. In the first quarter, we repurchased 1.9 million shares for $105 million. Over the last two quarters, we've repurchased 3.1 million shares for $176 million. As we look ahead, we will continue to pace share repurchases based on several factors, including the capital needs of our business, market dynamics, and economic conditions. I'm feeling very good about our business. as we are operating from a position of strength with disciplined underwriting, a proven team that is experienced in serving the non-prime consumer, and a resilient, diversified balance sheet. We remain confident in our competitive positioning and like the trajectory of our credit performance, and we anticipate continued capital generation growth this year and beyond as we execute on our strategic priorities. With that, let me turn the call over to Jenny.