LendingClub Shares Jump 7% After Earnings Beat, News Of Share Buyback

By Ciara LinnaneMarketWatch Pulse

LendingClub shares surged 7% in premarket trade Thursday, after the company beat profit and revenue estimates and announced plans to buy back up to $150 million of its own shares. The online lender, which went public in December 2014, said it had net income of $4.6 million, or 1 cent a share, in the fourth quarter, after a loss of $9.0 million, or 7 cents a share, in the year-earlier period. Adjusted per-share earnings were 5 cents, a penny ahead of the FactSet consensus. Operating revenues rose to $134.5 million from $69.6 million, and were also ahead of the FactSet consensus of $130 million. Loan originations rose to $2.58 billion from $1.41 billion. The platform has now originated more than $16 billion in loans. Looking ahead, the company is expecting first-quarter operating revenue to range from $147 million to $149 million, compared with a current FactSet consensus of $145 million. Shares have fallen 70.6% in the last 12 months, while the S&P 500 has lost about 10%.

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