The news: Synchrony’s net interest income grew 2% YoY to $4.61 billion, per Q2 2026 earnings.

Synchrony beat analysts’ expectations on EPS and net interest income, per Yahoo Finance, and raised its yearly outlook from $9.25 to $9.50 a share. 

Net interest income growth was flat compared with last year.

Zooming in: Synchrony’s consumer engagement ticked upward across the board.

• Overall purchase volume rose 8% YoY to a record $49.8 billion; co-branded card purchase volume surged 23% YoY to $25.8 billion.
• Overall loan receivables rose 2% to $102.2 billion; co-branded card loan receivables increased 25% to $35.7 billion.
• And average active accounts inched up from 68.1 million to 68.3 million, a noted increase after more than a year of declines.

Synchrony’s tie-up with Walmart has been a shot in the arm. Doubles said it was the company’s “fastest growing program … across multiple metrics.” 

It’s also an indicator that OnePay’s super app formula could be working, thanks to the strength of its app-forward interface and strong loyalty engagement through Walmart+ with its users. We forecast that the number of Walmart+ households will hit 29.9 million by next year. 

Spend for value-oriented and broad, diversified offerings was “particularly strong,” per CEO Brian Doubles, adding that out-of-partner discretionary spending on consumer co-branded cards “grew double digits,” despite the headwinds of rising gas prices. 

Synchrony cardholders are finding room in their budgets for nonessentials, especially in entertainment and electronics, per Doubles.

Consumer financial health: Delinquency and charge-off rates trended in a positive direction, a sign US adults’ maintain a hold on their financial wellbeing.

• Delinquencies 30+ days past due sank on the year to 4.16%.
• Delinquencies 90+ days past due fell to 2.01%.
• And net charge-offs dropped to 5.43%.

Implications for payment providers: Synchrony’s results show that consumers have more bandwidth for discretionary spending than some have feared.

Strong partnerships with value and essential brands like Walmart/OnePay are driving signups, signalling the importance of strategic tie-ups with major retailers that have strong loyalty programs to lock in repeat spending.

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