Sallie Mae Cuts Full-Year Financial Outlook, Cites Increased Charge-Offs

SLM Corp., widely known as Sallie Mae, has revised downward its full-year financial projections, attributing the change to a significant increase in charge-offs. The private student loan provider now anticipates earnings per share for the year to fall between $1.95 and $2.05. This updated guidance represents a substantial decrease from its previous forecast, which projected earnings per share in the range of $3.10 to $3.20. The company's decision to adjust its outlook stems from a higher-than-expected rate of borrowers defaulting on their loans, impacting the company's profitability.