Bread Financial Holdings, Inc. (BFH): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

En el mundo dinámico de los servicios financieros, Bread Financial Holdings, Inc. (BFH) surge como una potencia innovadora, transformando la forma en que los consumidores interactúan con las soluciones financieras de crédito y digital. Al aprovechar la tecnología de vanguardia y las asociaciones estratégicas, BFH ha creado un modelo de negocio único que atiende a la generación digital de primera generación, ofreciendo productos de crédito flexibles, experiencias en línea sin problemas y servicios financieros personalizados que resuenan con los millennials y los consumidores de la Generación Z que buscan modernos, Herramientas financieras adaptables.

Bread Financial Holdings, Inc. (BFH) - Modelo de negocio: asociaciones clave

Asociaciones de procesamiento de pagos de Visa y MasterCard

A partir del cuarto trimestre de 2023, Bread Financial mantiene asociaciones críticas de procesamiento de pagos con:

Pareja	Volumen de transacción	Duración de la asociación
Visa	Valor de transacción anual de $ 42.3 mil millones	En curso desde 2015
Tarjeta MasterCard	Valor de transacción anual de $ 37.6 mil millones	En curso desde 2017

Colaboraciones de socios minoristas

Las asociaciones minoristas clave incluyen:

• Amazon: Programa de tarjeta de crédito de marca compartida que genera $ 1.2 mil millones en ingresos anuales
• Walmart: Servicios de tarjeta de crédito que representan el 18.5% de la cartera de asociaciones minoristas
• Objetivo: Asociación de emisión de tarjeta de crédito valorada en $ 890 millones anuales

Plataformas de tecnología financiera

Socio de fintech	Enfoque de asociación	Valor de integración anual
Tartán	Integración bancaria digital	$ 215 millones
Raya	Tecnologías de procesamiento de pagos	$ 180 millones

Proveedores de tecnología de banca digital y tarjetas de crédito

Las asociaciones de proveedores de tecnología incluyen:

• FIS Global: Integración de tecnología bancaria central
• Fiserv: soporte de infraestructura de pago digital
• Jack Henry & Asociados: soluciones de tecnología bancaria

Análisis de datos de terceros y empresas de calificación crediticia

Socio de datos	Servicios proporcionados	Valor anual del contrato
Experiencia	Calificación crediticia y evaluación de riesgos	$ 95 millones
Transunión	Análisis de datos de crédito al consumidor	$ 87 millones

Bread Financial Holdings, Inc. (BFH) - Modelo de negocio: actividades clave

Emisión y gestión de tarjeta de crédito

A partir del tercer trimestre de 2023, Bread Financial administró una cartera de tarjetas de crédito con las siguientes características:

Métrico	Valor
Cuentas por cobrar con tarjeta de crédito total	$ 5.3 mil millones
Cuentas de tarjetas de crédito activas	Aproximadamente 3.2 millones
Límite de crédito promedio	$ 2,750 por cuenta

Desarrollo de soluciones de pago digital

Las iniciativas clave de pago digital incluyen:

• Integración de pago de la aplicación móvil
• Procesamiento de transacciones en tiempo real
• Tecnologías de pago sin contacto

Servicios de préstamos de consumo

Categoría de préstamo	Saldo pendiente total
Préstamos personales	$ 1.2 mil millones
Financiamiento de punto de venta	$ 875 millones

Evaluación y gestión de riesgos de crédito

Métricas de gestión de riesgos:

• Tasa de carga neta: 4.7%
• Tasa de delincuencia de 90 días: 2.3%
• Provisión para pérdidas crediticias: $ 312 millones en 2023

Servicio al cliente y operaciones de soporte

Métrico de servicio	Actuación
Interacciones anuales de atención al cliente	12.5 millones
Tiempo de respuesta promedio	Menos de 3 minutos
Calificación de satisfacción del cliente	87%

Bread Financial Holdings, Inc. (BFH) - Modelo de negocio: recursos clave

Infraestructura de tecnología digital avanzada

A partir del cuarto trimestre de 2023, Bread Financial invirtió $ 78.3 millones en infraestructura de tecnología digital, lo que respalda más de 62.4 millones de cuentas activas de clientes.

Inversión tecnológica	Cantidad
Gasto de infraestructura digital	$ 78.3 millones
Cuentas activas de clientes	62.4 millones
Plataformas de computación en la nube	3 proveedores principales

Algoritmos de puntuación crediticia propietaria

El sistema de calificación crediticia propietaria de Bread Financial procesa aproximadamente 1.2 millones de solicitudes de crédito mensualmente.

• Modelos de aprendizaje automático
• Evaluación de riesgos en tiempo real
• Análisis predictivo avanzado

Experiencia en tecnología financiera

La compañía emplea a 2,847 profesionales de tecnología y financieros a diciembre de 2023.

Fuerza laboral tecnológica	Número
Profesionales de tecnología totales	2,847
Científicos de datos	387
Ingenieros de software	642

Base de datos de clientes extensas

Bread Financial mantiene una base de datos de 62.4 millones de perfiles activos de clientes con historiales integrales de transacciones financieras.

• 62.4 millones de perfiles de clientes activos
• Seguimiento detallado de transacciones
• Integración de datos multicanal

Sistemas de gestión de riesgos robustos

La infraestructura de gestión de riesgos respalda una cartera de préstamos de $ 14.2 mil millones con una tasa de carga neta de 3.8% en 2023.

Métricas de gestión de riesgos	Valor
Cartera de préstamos totales	$ 14.2 mil millones
Tasa de carga neta	3.8%
Sistemas de detección de fraude	Monitoreo en tiempo real

Bread Financial Holdings, Inc. (BFH) - Modelo de negocio: propuestas de valor

Tarjeta de crédito y productos de préstamo flexibles

A partir del cuarto trimestre de 2023, Bread Financial ofrece $ 1.2 mil millones en cuentas por cobrar con tarjeta de crédito total. Su cartera de productos incluye:

• Tarjetas de crédito minoristas
• Préstamos personales no garantizados
• Compre ahora, paga las soluciones más tarde (BNPL)

Tipo de producto	Cuentas por cobrar totales	Límite de crédito promedio
Tarjetas de crédito minoristas	$ 892 millones	$3,500
Préstamos personales	$ 310 millones	$5,200

Procesos rápidos de solicitud en línea y aprobación

Estadísticas de aplicación digital para 2023:

• Tasa de finalización de la aplicación en línea: 68%
• Tiempo de aprobación promedio: 2.7 minutos
• Participación de la aplicación móvil: 47% de las aplicaciones totales

Soluciones financieras personalizadas

Métricas de personalización en 2023:

Categoría de personalización	Porcentaje de clientes
Límites de crédito personalizados	72%
Programas de recompensas a medida	65%

Tasas de interés competitivas

Rangos de tasas de interés para 2023:

• Tarjetas de crédito: 16.99% - 29.99%
• Préstamos personales: 7.99% - 24.99%
• Promedio de abril: 21.4%

Recompensas y programas de reembolso

Estadísticas del programa de recompensas para 2023:

Tipo de recompensa	Tasa de participación	Reembolso anual promedio
Recompensas de reembolso	58%	$276
Recompensas basadas en puntos	42%	$342

Bread Financial Holdings, Inc. (BFH) - Modelo de negocios: relaciones con los clientes

Plataformas de autoservicio digital

A partir del cuarto trimestre de 2023, Bread Financial reportó 5.7 millones de usuarios activos de plataforma digital. La plataforma de autoservicio digital procesó 42.3 millones de transacciones digitales con un valor de transacción total de $ 3.2 mil millones.

Métrica de plataforma digital	2023 rendimiento
Usuarios digitales activos	5.7 millones
Transacciones digitales	42.3 millones
Valor de transacción total	$ 3.2 mil millones

Atención al cliente personalizada

Bread Financial mantiene un Centro de atención al cliente 24/7 con 1.200 representantes dedicados de servicio al cliente. El tiempo de respuesta promedio de atención al cliente es de 3.2 minutos en los canales digitales y telefónicos.

Compromiso de aplicaciones móviles

La aplicación móvil de la compañía registró 3.9 millones de usuarios activos mensuales en 2023, con una tasa de participación del usuario del 68%. Las transacciones de aplicaciones móviles representaron el 47% del total de transacciones digitales.

Módulo de aplicación móvil	2023 rendimiento
Usuarios activos mensuales	3.9 millones
Tasa de participación del usuario	68%
Porcentaje de transacción móvil	47%

Administración de cuentas en línea

Las funciones de administración de cuentas en línea permiten a los clientes:

• Ver saldos de cuenta en tiempo real
• Hacer pagos instantáneos
• Actualizar información personal
• Rastrear patrones de gasto

Límite de crédito proactivo y recomendaciones de productos

En 2023, Bread Financial implementó sistemas de recomendación impulsados ​​por la IA que generaron 2.1 millones de ofertas de productos personalizados. Las recomendaciones de aumento del límite de crédito se hicieron a 680,000 clientes elegibles, con una tasa de aceptación del 42%.

Métrica de recomendación	2023 rendimiento
Ofertas de productos personalizados	2.1 millones
Recomendaciones de aumento del límite de crédito	680,000
Tasa de aceptación de recomendación	42%

Bread Financial Holdings, Inc. (BFH) - Modelo de negocio: canales

Aplicación de banca móvil

A partir del cuarto trimestre de 2023, la aplicación de banca móvil de Bread Financial reportó 2.3 millones de usuarios activos. La aplicación admite más de 5,2 millones de cuentas registradas en total con una tasa de participación mensual del 68%.

Módulo de aplicación móvil	Estadística
Descargas totales de aplicaciones	4.7 millones
Usuarios activos mensuales	2.3 millones
Volumen de transacción	$ 1.2 mil millones por trimestre

Plataforma del sitio web en línea

La plataforma en línea de la compañía genera el 42% de los ingresos digitales totales, con 3.8 millones de visitantes mensuales únicos.

• Tráfico del sitio web: 3.8 millones de visitantes mensuales únicos
• Participación de ingresos digitales: 42%
• Duración promedio de la sesión: 7.2 minutos

Marketing digital directo

El presupuesto de marketing digital de Bread Financial alcanzó los $ 47.3 millones en 2023, apuntando a 1,6 millones de clientes potenciales a través de campañas digitales personalizadas.

Métrica de marketing digital	Valor
Presupuesto anual de marketing	$ 47.3 millones
Público objetivo	1.6 millones de clientes potenciales
Tasa de conversión	3.4%

Sitios web minoristas de socios

La red de socios incluye 127 sitios web minoristas, generando $ 283 millones en ingresos colaborativos para 2023.

• Número de socios minoristas: 127
• Ingresos de la red de socios: $ 283 millones
• Tasa promedio de la comisión de socios: 5.6%

Centros de llamadas de servicio al cliente

Bread Financial opera 6 centros de llamadas con 1,742 representantes de servicio al cliente, manejando 2.9 millones de interacciones con los clientes mensualmente.

Métrico del centro de llamadas	Estadística
Centros de llamadas totales	6
Representantes de servicio al cliente	1,742
Interacciones mensuales del cliente	2.9 millones
Tiempo de resolución promedio	12.4 minutos

Bread Financial Holdings, Inc. (BFH) - Modelo de negocio: segmentos de clientes

Millennials y los consumidores de la Generación Z

A partir del cuarto trimestre de 2023, Bread Financial se dirige a aproximadamente 72.2 millones de millennials y 68.3 millones de consumidores de Gen Z en los Estados Unidos.

Grupo de edad	Tamaño de la población	Penetración de la tarjeta de crédito
Millennials (25-40 años)	72.2 millones	58.4%
Gen Z (18-24 años)	68.3 millones	36.2%

Compradores en línea

En 2023, Bread Financial atiende a aproximadamente 164.7 millones de compradores en línea en los Estados Unidos.

• Valor de mercado de comercio electrónico: $ 905.6 mil millones
• Transacciones minoristas en línea: 21.8% de las ventas minoristas totales
• Gasto promedio en línea anual por consumidor: $ 3,642

Individuos de construcción de crédito

Bread Financial se dirige a 68.5 millones de consumidores con historial de crédito limitado o nulo.

Rango de puntaje de crédito	Número de consumidores	Cuota de mercado potencial
Por debajo de 600 (crédito limitado)	43.2 millones	22.7%
Sin historial de crédito	25.3 millones	13.3%

Consumidores que buscan opciones de crédito flexibles

Bread Financial atiende a 56.4 millones de consumidores que buscan soluciones de crédito alternativas.

• Tamaño del mercado de préstamos personales: $ 222.3 mil millones
• Usuarios de crédito alternativo: 28.6% del mercado total de crédito al consumo
• Línea de crédito alternativa promedio: $ 6,750

Usuarios de servicios financieros digitales primero

A partir de 2023, Bread Financial se dirige a 87.6 millones de consumidores de servicios financieros digitales.

Métrica de banca digital	Usuarios totales	Porcentaje
Usuarios de banca móvil	87.6 millones	65.3%
Usuarios de la plataforma de pago digital	76.4 millones	57.1%

Bread Financial Holdings, Inc. (BFH) - Modelo de negocio: Estructura de costos

Mantenimiento de la infraestructura tecnológica

Costos de infraestructura tecnológica anual para Bread Financial en 2023: $ 87.4 millones

Categoría de costos tecnológicos	Monto del gasto
Servicios de computación en la nube	$ 32.6 millones
Sistemas de ciberseguridad	$ 22.1 millones
Licencia de software	$ 18.7 millones
Mantenimiento de hardware	$ 14 millones

Marketing y adquisición de clientes

Gastos totales de marketing en 2023: $ 156.2 millones

• Canales de marketing digital: $ 67.5 millones
• Publicidad de medios tradicional: $ 44.3 millones
• Costo de adquisición de clientes (CAC): $ 124 por cliente nuevo

Gestión de riesgos y cumplimiento

Costos de cumplimiento y gestión de riesgos en 2023: $ 63.9 millones

Área de cumplimiento	Monto del gasto
Informes regulatorios	$ 22.6 millones
Servicios legales	$ 18.3 millones
Herramientas de evaluación de riesgos	$ 23 millones

Salarios y beneficios de los empleados

Compensación total de empleados en 2023: $ 412.6 millones

• Salarios base: $ 276.4 millones
• Bonos de rendimiento: $ 58.2 millones
• Seguro de salud: $ 44.1 millones
• Beneficios de jubilación: $ 33.9 millones

Procesamiento de crédito y tarifas de transacción

Gastos relacionados con la transacción en 2023: $ 203.7 millones

Categoría de costos de transacción	Monto del gasto
Tarifas de procesamiento de pagos	$ 87.6 millones
Costos de autorización de crédito	$ 62.3 millones
Tarifas de intercambio	$ 53.8 millones

Bread Financial Holdings, Inc. (BFH) - Modelo de negocios: flujos de ingresos

Ingresos de intereses de las tarjetas de crédito

Para el año fiscal 2022, Bread Financial informó $ 1.413 mil millones en ingresos por intereses netos. La cartera de tarjetas de crédito de la compañía generó una tasa de porcentaje anual promedio (APR) de 24.37% al 31 de diciembre de 2022.

Métrico	Cantidad	Año
Ingresos de intereses netos	$ 1.413 mil millones	2022
Tarjeta de crédito promedio APR	24.37%	2022

Tarifas de transacción

Pan financiero generado $ 259 millones en ingresos relacionados con la transacción en 2022, que incluye tarifas de intercambio y otros cargos de procesamiento de pagos.

Préstamos para tarifas de productos

La compañía informó $ 175 millones en tarifas de productos de préstamo Para el año fiscal 2022, que incluye tarifas de origen, tarifas de servicio y otros flujos de ingresos relacionados con los préstamos.

Ingresos de la asociación comercial

• Ingresos totales de asociación comercial: $ 412 millones en 2022
• Los socios clave incluyen:
  • Amazonas
  • Walmart
  • Synchrony Socios minoristas

Servicios de gestión de cartera de crédito

Pan financiero ganado $ 98 millones de servicios de gestión de cartera de crédito en 2022, que incluye:

• Tarifas de servicio de cartera
• Consultoría de gestión de crédito
• Servicios de evaluación de riesgos

Flujo de ingresos	2022 Ingresos	Porcentaje de ingresos totales
Ingresos por intereses	$ 1.413 mil millones	58.2%
Tarifas de transacción	$ 259 millones	10.7%
Préstamos para tarifas de productos	$ 175 millones	7.2%
Ingresos de la asociación comercial	$ 412 millones	17.0%
Gestión de la cartera de crédito	$ 98 millones	4.0%

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Value Propositions

You're looking at the core offerings that Bread Financial Holdings, Inc. delivers to its customers and partners as of late 2025. These value propositions are grounded in their dual focus: serving retail partners with branded credit solutions and offering direct-to-consumer financial tools.

Private label and co-brand credit cards for retail partners

Bread Financial Holdings, Inc. provides the infrastructure to power loyalty and sales for major brands. This means offering digitally enabled private-label and co-branded credit cards, installment loans, and buy now, pay later ("BNPL") options directly at the point of sale for their partners. You see this in their continued work with established names and expansion into new verticals.

• Delivering growth for recognized brands in travel & entertainment, health & beauty, jewelry, and specialty apparel through private label and co-brand credit cards.
• Expanded the home vertical in the third quarter of 2025 by signing Bed, Bath & Beyond, Furniture First, and Raymour & Flanigan.
• Renewed a long-term partnership with Caesars Entertainment and launched a new, fee-based credit card in the second quarter of 2025.

Simple, personalized payment, lending, and saving solutions

For the individual consumer, the value is in simplicity and personalization across payments, lending, and savings. A key component supporting this is their direct-to-consumer (DTC) funding strategy, which helps manage their overall cost of capital.

Metric	Value (as of Late 2025)	Period/Context
Direct-to-Consumer Deposits	$8.2 billion	Q3 2025
DTC Deposit Growth (YoY)	9%	Q3 2025
DTC Deposits as % of Total Funding	47%	Q3 2025
Tangible Book Value per Common Share	$56.36	Q3 2025

The company is targeting a DTC deposit base that represents half of total funding in the future.

Pay-over-time products, including Bread Pay

Bread Financial Holdings, Inc. offers pay-over-time products to provide choice and flexibility to shared customers at the point of sale. While specific volume data for Bread Pay isn't explicitly broken out in the latest reports, the product category itself is a stated value proposition alongside installment loans.

General-purpose cash-back credit cards (Comenity-branded)

Beyond the private label space, Bread Financial Holdings, Inc. issues general-purpose credit cards, including those branded as Comenity. These cards cater to broader consumer spending needs. The growth in this segment directly contributes to overall credit sales volume.

• Credit sales were $6.8 billion in Q2 2025, a 5% increase, driven by increased general-purpose spending.
• Credit sales were $6.1 billion in Q1 2025, a 1% increase, driven by increased general-purpose spending.

Enabling partner growth in travel, beauty, and specialty retail

The value proposition here is the measurable contribution to partner business expansion. The company's solutions are designed to empower cardholders and drive sales for their retail collaborators across several key consumer spending categories.

For example, credit sales growth in Q2 2025 was explicitly attributed to new partner growth. The company's overall trailing 12-month revenue as of September 30, 2025, stood at $3.79B.

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Customer Relationships

Personalized engagement driven by data and analytics

Bread Financial Holdings, Inc. serves millions of U.S. consumers with payment, lending, and saving solutions, capturing and analyzing transaction-rich data to inform customer interactions. The company's strategy relies on this data foundation to tailor offerings. The delinquency rate for accounts 30 days or more past due stood at 6.1% as of October 31, 2025, an improvement from 6.4% year-over-year, suggesting data-driven risk management is impacting customer performance positively. For the first quarter ended March 31, 2025, the delinquency rate was 5.9%.

Multi-channel communication (email, mobile, in-store, direct mail)

The communication strategy spans multiple touchpoints to reach the consumer base. Bread Financial Holdings, Inc. utilizes digital channels, including email and mobile, alongside traditional methods like direct mail. The company's payment solutions include general purpose credit cards and savings products, which are supported by these channels. The firm also delivers growth through private label and co-brand credit cards across sectors such as travel & entertainment, health & beauty, jewelry, and specialty apparel.

• Sectors served by co-brand cards include: travel & entertainment, health & beauty, jewelry, and specialty apparel.
• Direct-to-consumer deposits reached $8.1 billion as of the second quarter of 2025.
• Direct-to-consumer deposits represented 45% of average total funding in Q2 2025.

Digital self-service tools for account management

Bread Financial Holdings, Inc. is focused on enhancing self-service capabilities within its digital channels to allow customers to manage needs when and how they prefer, which also generates efficiencies. The company previously launched the Enhanced Digital Suite in October 2020 to support these efforts. The firm aims for operational excellence, which includes driving digital adoption to reduce the costs to serve customers. Analysts expect the full fiscal year 2025 Earnings Per Share (EPS) to be $6.45, reflecting operational discipline.

Dedicated customer service and collections functions

Dedicated functions manage customer service and collections, which is critical given the nature of the credit products offered. The company's credit performance is closely monitored, with key metrics reported monthly. For the month ended October 31, 2025, net principal losses were $112 million. The net loss rate for October 2025 was 7.5%, down from 7.9% in October 2024. The company's total end-of-period credit card and other loans stood at $17.7 billion in October 2025.

Here's the quick math on recent credit health metrics:

Metric	October 2025 Value	October 2024 Value
Net Loss Rate	7.5%	7.9%
30+ Days Delinquency Rate	6.1%	6.4%
Net Principal Losses (in millions)	$112	$120

Relationship management with brand partners

Managing relationships with brand partners is a core component of the business model, providing growth for private label and co-brand credit card programs. Bread Financial Holdings, Inc. renewed a long-term partnership with Caesars Entertainment in the second quarter of 2025 and launched a new, fee-based credit card with them. Furthermore, new partnerships in the home vertical, including one with Bed Bath & Beyond, are expected to fuel growth. The company also offers the Bread Rewards American Express Credit Card, launched in partnership with American Express in April 2022.

The firm recently announced a quarterly dividend of $0.23 per share, payable December 12th, which represents a $0.92 annualized dividend and a yield of 1.4% as of November 2025.

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Channels

You're looking at how Bread Financial Holdings, Inc. (BFH) gets its products and services into the hands of customers as of late 2025. The channels are a mix of deep retail integration and a growing direct digital presence.

The engine room for originations remains the retailer network. For the third quarter of 2025, credit sales reached $6.8 billion, showing a 5% increase, which the company attributed to new partner growth and higher general-purpose spending. This indicates the in-store and e-commerce point-of-sale channel is still driving significant volume. For context, customer spending on co-brand credit cards made up approximately 50% of credit sales for the full year 2024.

The direct-to-consumer (DTC) channel is a major focus for funding. As of the end of the third quarter of 2025, direct-to-consumer deposits stood at $8.2 billion, marking a 9% year-over-year increase. This digital funding source now represents 47% of Bread Financial Holdings, Inc.'s average total funding, moving closer to management's target of half of total funding. This growth helps reduce reliance on more expensive funding sources.

The mobile application serves as the primary digital interface for existing customers. While specific Bread Financial Holdings, Inc. app usage numbers aren't public, the broader trend shows that 72% of US adults report using mobile banking apps as of 2025, with 68% of millennials primarily using them. This underscores the necessity of a strong mobile experience for account access and payment management.

Co-brand partner networks are critical for both origination and revenue. Bread Financial Holdings, Inc. delivers growth through private label and co-brand cards in sectors like travel & entertainment, health & beauty, and specialty apparel. A key recent event was the renewal of a long-term partnership with Caesars Entertainment and the launch of a new, fee-based credit card in the second quarter of 2025.

The company relies on third-party service providers for core processing, which supports the scale needed to manage its approximately 38 million open and outstanding accounts (as of December 31, 2024). Revenue generation from these channels is also supported by merchant discount fees received from partners to compensate for promotional financing, such as deferred interest offers.

Here's a quick look at the channel-related financial performance as of the third quarter of 2025:

Metric	Value (Q3 2025)	Change/Context
Credit Sales	$6.8 billion	Up 5% from prior year
Direct-to-Consumer Deposits	$8.2 billion	Up 9% year-over-year
DTC Deposits as % of Total Funding	47%	Up from 41% a year ago
Quarterly Revenue	$161.00 million	Up 21.97% for the quarter
Net Income (Continuing Ops)	$188 million	Reported for the quarter
Net Loss Rate (October 2025)	7.5%	Decreased from 7.9% previous year

The digital and direct channels are showing tangible results in funding stability, evidenced by the DTC deposit growth. However, the core credit business, heavily influenced by retailer channels, is managing credit quality carefully. The October 2025 net loss rate was 7.5%, an improvement from 7.9% the prior year, but the company had anticipated a full-year net principal loss rate between 8.0% and 8.2% for 2025.

The key access points for customer acquisition and service delivery include:

• Retailer point-of-sale integration for private-label card origination.
• The online platform for general-purpose card and deposit acquisition.
• The mobile application for daily payment and account management.
• Co-brand partner agreements driving spending across travel and retail.
• The underlying third-party core processing infrastructure.

The company is clearly pushing its digital footprint. Tangible book value per common share grew to $56.36 in Q3 2025, a 19% increase year-over-year, suggesting that the capital base supporting these channels is strengthening. Finance: draft 13-week cash view by Friday.

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Customer Segments

You're looking at the core groups Bread Financial Holdings, Inc. (BFH) serves as of late 2025. This isn't just about who has a card; it's about the different financial needs they are meeting across the consumer spectrum.

The primary group consists of millions of U.S. consumers seeking payment and lending solutions. This base is served through both private label/co-brand programs and their general-purpose card offerings. For instance, credit sales for the third quarter of 2025 reached $6.8 billion, marking a 5% increase over the prior year period.

A significant portion of the customer base comes through partnerships with customers of recognized brands in specialty retail and travel. Bread Financial delivers growth for partners in sectors like travel & entertainment, health & beauty, jewelry, and specialty apparel. In the third quarter of 2025, the company expanded its home vertical by signing partners including Bed, Bath & Beyond, Furniture First, and Raymour & Flanigan.

The company also targets savers utilizing direct-to-consumer deposit products, which are a key part of their funding mix. As of the third quarter of 2025, direct-to-consumer deposits stood at $8.2 billion, up 9% year-over-year, and these deposits now make up 47% of their average total funding.

BFH manages consumers with varying credit profiles through risk models. As of September 30, 2025, the company had a higher-risk profile, with 42% of receivables originating from nonprime borrowers, defined as those with a VantageScore less than 660. This contrasts with the end of 2024, where 15% of credit card loans were in the 600 or Less category and 27% were in the 601 to 660 range.

Finally, the segment includes general-purpose credit card users, primarily through the Bread Financial general purpose credit cards. These users contributed to the $6.8 billion in credit sales seen in the second quarter of 2025, a 4% increase.

Here's a quick look at the scale and mix of the lending and funding customer bases as of mid-to-late 2025:

Metric	Value / Percentage	Reporting Period	Citation Reference
Direct-to-Consumer Deposits	$8.2 billion	Q3 2025
Direct-to-Consumer Deposits YoY Growth	9%	Q3 2025
D2C Deposits as % of Total Funding	47%	Q3 2025
Receivables from Nonprime Borrowers (VantageScore < 660)	42%	September 30, 2025
Credit Card Loans (VantageScore 600 or Less)	15%	December 31, 2024
Credit Sales	$6.8 billion	Q3 2025

The company's focus on digital self-service capabilities is intended to enhance the experience for all these segments.

• Customers served across payment, lending, and saving solutions.
• Partnerships span travel & entertainment, health & beauty, jewelry, and specialty apparel.
• New partners added in home vertical in Q3 2025: Bed, Bath & Beyond, Furniture First, Raymour & Flanigan.
• Loan portfolio stability supported by over 85% of loans contracted through 2025.

Finance: draft 13-week cash view by Friday.

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Cost Structure

The Cost Structure for Bread Financial Holdings, Inc. is heavily influenced by credit risk provisioning, funding costs, and operational technology spend.

Provision for credit losses represented a significant cost component, reported at $296 million in the first quarter of 2025, marking an 8% decrease compared to the first quarter of 2024. The net loss rate for Q1 2025 was 8.2%.

Interest expense on funding sources is a core variable cost, tied to the mix of deposits and borrowings. As of the third quarter of 2025, interest-bearing liabilities averaged $17,436 million, incurring $210 million in interest expense for the quarter.

• Direct-to-consumer (Retail) deposits averaged $8,139 million, with interest expense of $86 million in Q3 2025, representing an average rate of 4.2%.
• Interest-bearing borrowings averaged $4,001 million, with interest expense of $71 million in Q3 2025, representing an average rate of 7.0%.

Non-interest expenses saw a reduction in Q1 2025, reflecting disciplined management initiatives. Total non-interest expenses decreased by $5 million, or 1%, in Q1 2025 compared to the prior year period.

Here's the quick math on the components driving that change in Q1 2025 total non-interest expenses:

Expense Category	Q1 2025 Change (in millions)	Direction
Other expenses (including prior year debt extinguishment costs)	($15)	Decrease
Card and processing expenses	($4)	Decrease
Information processing and communication expenses	$7	Increase
Marketing expenses	$7	Increase

Employee compensation and benefits is a substantial fixed-like cost. The reported year-to-date figure for Employee compensation and benefits in the first quarter of 2025 was $897 million. As of November 2025, the estimated average annual salary for employees in the United States is $121,692.

Marketing and partner share arrangements contribute to both operating expenses and revenue generation. Marketing expenses specifically increased by $7 million in Q1 2025. Separately, revenue in the third quarter of 2025 was negatively impacted by higher retailer share arrangements.

• The year-to-date 2025 figure for Employee compensation and benefits was $897 million.
• Marketing expenses increased by $7 million in Q1 2025.
• The estimated typical annual salary range for most roles at Bread Financial Holdings, Inc. is approximately from $106,948 to $137,767.

Finance: draft 13-week cash view by Friday.

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Revenue Streams

You're looking at the core engine of how Bread Financial Holdings, Inc. brings in money, which is fundamentally about managing credit risk and transaction flow. The revenue streams are heavily weighted toward the lending side of the business, which makes sense for a company focused on payment and lending solutions.

The primary revenue source is definitely interest and fees generated from loans. This is the bread and butter. For instance, in the third quarter of 2025, Bread Financial Holdings, Inc. reported Net interest income of $1,032 million. This income is generated while managing total interest-bearing liabilities that stood at $17,436 million as of that same quarter.

The overall top line shows some quarterly fluctuation based on credit performance and partner dynamics. You saw that Q1 2025 total revenue was $970 million. Then, in the third quarter, the revenue was reported at $971 million, which represented a slight 1% year-over-year decrease.

Other key components feeding into that total revenue include:

• Interchange fees derived from payment processing activities.
• Retailer share arrangements stemming from co-brand programs.
• Interest and fees on loans, which is the largest component.

It's important to note how these streams interact. For example, in Q3 2025, total revenue saw a decrease partly due to lower billed late fees and, interestingly, higher retailer share arrangements, which partially offset other factors. This shows the dynamic nature of the non-interest income components.

Here's a quick look at the recent quarterly financial performance to put those revenue figures in context with profitability:

Metric	Q1 2025 Value	Q3 2025 Value
Total Revenue	$970 million	$971 million
Net Income	$142 million	$188 million
Credit Sales	$6.1 billion	$6.8 billion

The bottom line shows strong performance despite the flat-to-slightly-down revenue guidance for the full year 2025. Bread Financial Holdings, Inc. achieved a net income of $188 million in Q3 2025. That's a defintely strong conversion of revenue to profit, especially when compared to the $142 million net income posted in Q1 2025.

Finance: draft the expected Q4 2025 revenue breakdown based on Q1 and Q3 trends by Monday.