Navient (NAVI) shares plummeted by 5.69% in the pre-market session on Wednesday, following the release of the company's disappointing fourth-quarter 2024 financial results. The student loan servicing firm reported a surprise quarterly loss and falling revenues, missing analysts' expectations.
For the quarter ended December 31, Navient posted an adjusted loss of $0.24 per share, significantly lower than the consensus estimate of $0.22 earnings per share. This marked a sharp decline from the earnings of $0.21 per share reported in the same period a year ago. Additionally, the company's revenue declined by 30.1% year-over-year to $135 million, falling short of the expected $149 million.
The disappointing results appear to have been driven by various factors, including lower revenue from the company's core student loan servicing business and higher operating costs. Analysts had been revising their earnings estimates downward in recent months, reflecting growing concerns about Navient's financial performance.
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