Navient Corporation (NASDAQ:NAVI) Q2 2022 Earnings Conference Call July 27, 2022 8:00 AM ET

CompanyParticipants

Joe Fisher - Executive Vice President & Chief Financial Officer

Jack Remondi - President & Chief Executive Officer

Conference Call Participants

John Hecht - Jefferies

Mark DeVries - Barclays

Moshe Orenbuch - Credit Suisse

Sanjay Sakhrani - KBW

Bill Ryan - Seaport Research

Courtney Bahlman - Barclays

Operator

Good morning, ladies and gentlemen. Thank you for standing by and welcome to Navient Second Quarter 2022 Earnings Conference Call. [Operator Instructions] Please be advised that today's conference may be recorded.

I would now like to turn the conference over to speaker host, Jen Ines [ph]. Please go ahead.

Unidentified Company Representative

Thank you, Olivia. Good morning and welcome to Navient's second quarter 2022 earnings call. With me today are Jack Remondi, our CEO; and Joe Fisher, our CFO. After their prepared remarks, we will open up the call for questions.

Before we begin, keep in mind, our discussion will contain predictions, expectations, forward-looking statements and other information about our business that is based on management's current expectations as of the date of this presentation. Actual results in the future may be materially different from those discussed here. This could be due to a variety of factors. Listeners should refer to the discussion of those factors on the company's Form 10-K and other filings with the SEC. During this conference call, we will refer to non-GAAP financial measures, including core earnings, adjusted tangible equity ratio and various other non-GAAP financial measures derived from core earnings. Our GAAP results and description of our non-GAAP financial measures and with a full reconciliation to GAAP can be found in the second quarter 2022 supplemental earnings disclosure. This is posted on the Investors page at navient.com.

Thank you. And now I'll turn the call over to Jack.

Jack Remondi

Thank you, Jen [ph] and good morning, everyone and thank you for joining us today and for your interest in Navient. I am pleased to report another quarter of strong financial results. We saw strength in net interest income, credit performance, fee revenue and operating expense even as loan demand declined and interest rates rose. Our financial performance is the result of our ongoing efforts to leverage our strengths and reduce our risk. This quarter's results also reflect our proactive planning to prepare for rising rates and higher inflation. The current economic and political environment have led to a significant reduction in the demand for refi loans.