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For Release: August 6, 2025

Investor Contact: Phil Morgan, 402.458.3038

Nelnet, Inc. supplemental financial information for the second quarter 2025

(All dollars are in thousands, except per share amounts, unless otherwise noted)

The following information should be read in connection with Nelnet, Inc.'s (the “Company's”) press release for second quarter 2025 earnings, dated August 6, 2025, and the Company's Quarterly Report on Form 10-Q for the quarter ended June 30, 2025 (the "Q2 2025 10-Q Quarterly Report").

Forward-looking and cautionary statements

This report contains forward-looking statements and information that are based on management's current expectations as of the date of this document. Statements that are not historical facts, including statements about the Company's plans and expectations for future financial condition, results of operations or economic performance, or that address management's plans and objectives for future operations, and statements that assume or are dependent upon future events, are forward-looking statements. The words “anticipate,” “assume,” “believe,” “continue,” “could,” “ensure,” “estimate,” “expect,” “forecast,” “future,” “intend,” “may,” “plan,” “potential,” “predict,” “scheduled,” “should,” “will,” “would,” and similar expressions, as well as statements in future tense, are intended to identify forward-looking statements.

The forward-looking statements are based on assumptions and analyses made by management in light of management's experience and its perception of historical trends, current conditions, expected future developments, and other factors that management believes are appropriate under the circumstances. These statements are subject to known and unknown risks, uncertainties, assumptions, and other factors that may cause the actual results and performance to be materially different from any future results or performance expressed or implied by such forward-looking statements. These factors include, among others, the risks and uncertainties set forth in the “Risk Factors” sections of the Company's Annual Report on Form 10-K for the year ended December 31, 2024 (the "2024 Annual Report"), the Company's Q2 2025 10-Q Quarterly Report, and this report, and include such risks and uncertainties as:

•risks related to the ability to successfully maintain and increase allocated volumes of student loans serviced by the Company under existing and future servicing contracts with the Department, risks related to unfavorable contract modifications or interpretations, risks related to consistently meeting service requirements to avoid the assessment of performance penalties, and risks related to the Company's ability to comply with agreements with third-party customers for the servicing of Federal Direct Loan Program, Federal Family Education Loan Program (the "FFEL Program" or FFELP), private education, and consumer loans;

•loan portfolio risks such as credit risk, prepayment risk, interest rate basis and repricing risk, risks related to the use of derivatives to manage exposure to interest rate fluctuations, uncertainties regarding the expected benefits from purchased securitized and unsecuritized FFELP, private education, consumer, and other loans, or investment interests therein, and initiatives to purchase additional FFELP, private education, consumer, and other loans;

•financing and liquidity risks, including risks of changes in the interest rate environment;

•risks from changes in the terms of education loans and in the educational credit and services markets resulting from changes in applicable laws, regulations, and government programs and budgets;

•risks related to a breach of or failure in the Company's operational or information systems or infrastructure, or those of third-party vendors, including disclosure of confidential or personal information and/or damage to reputation resulting from cyber breaches;

•risks related to use of artificial intelligence;

•uncertainties inherent in forecasting future cash flows from student loan assets, including investment interests therein, and related asset-backed securitizations;

•risks related to the ability of Nelnet Bank to achieve its business objectives and effectively deploy loan and deposit strategies and achieve expected market penetration;

•risks related to the Company's solar tax equity investments and solar construction business, including risks of not being able to realize tax credits which remain subject to recapture by taxing authorities and risks from the impact of the enactment of the One Big Beautiful Bill that accelerates the expiration and phase out of solar energy credits;

•risks and uncertainties related to other initiatives to pursue additional strategic investments (and anticipated income therefrom) including venture capital and real estate investments, reinsurance, acquisitions, and other activities (including risks associated with errors that occasionally occur in converting loan servicing portfolios to a new servicing platform), including activities that are intended to diversify the Company both within and outside of its historical core education-related businesses;

•risks and uncertainties associated with climate change; and

•risks and uncertainties associated with litigation matters and maintaining compliance with the extensive regulatory requirements applicable to the Company's businesses, including changes to the regulatory environment from the change in presidential administration, and uncertainties inherent in the estimates and assumptions about future events that management is required to make in the preparation of the Company’s consolidated financial statements.

All forward-looking statements contained in this report are qualified by these cautionary statements and are made only as of the date of this document. Although the Company may from time to time voluntarily update or revise its prior forward-looking statements to reflect actual results or changes in the Company's expectations, the Company disclaims any commitment to do so except as required by law.

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Consolidated Statements of Income

(Dollars in thousands, except share data)

(unaudited)

			Three months ended																		Six months ended
			June 30, 2025						March 31, 2025						June 30, 2024						June 30, 2025						June 30, 2024
Interest income:
Loan interest			$	172,104					166,439						202,129						338,543						418,853
Investment interest			40,185						41,389						40,737						81,574						92,814
Total interest income			212,289						207,828						242,866						420,117						511,667
Interest expense on bonds and notes payable and bank deposits			132,854						125,114						176,459						257,968						371,039
Net interest income			79,435						82,714						66,407						162,149						140,628
Less provision for loan losses			17,930						15,337						3,611						33,267						14,440
Net interest income after provision for loan losses			61,505						67,377						62,796						128,882						126,188
Other income (expense):
Loan servicing and systems revenue			120,724						120,741						109,052						241,465						236,252
Education technology services and payments revenue			118,184						147,330						116,909						265,515						260,449
Reinsurance premiums earned			26,112						24,687						14,851						50,799						27,631
Solar construction revenue			1,259						3,995						9,694						5,254						23,420
Other, net			22,976						23,694						14,020						46,670						18,103
Gain (loss) on sale of loans, net			—						909						(1,438)						909						(1,579)
Gain on partial redemption of ALLO investment			175,044						—						—						175,044						—
Derivative settlements, net			744						746						1,649						1,489						3,406
Derivative market value adjustments, net			(3,866)						(6,324)						1,533						(10,190)						9,497
Total other income (expense), net			461,177						315,778						266,270						776,955						577,179
Cost of services and expenses:
Loan servicing contract fulfillment and acquisition costs			1,845						1,633						196						3,478						196
Cost to provide education technology services and payments			39,844						48,047						40,222						87,891						88,832
Cost to provide solar construction services			14,050						7,828						8,072						21,878						22,300
Total cost of services			55,739						57,508						48,490						113,247						111,328
Salaries and benefits			134,699						138,223						139,634						272,922						283,509
Depreciation and amortization			7,624						9,255						15,142						16,879						31,911
Reinsurance losses and underwriting expenses			25,662						22,212						10,988						47,874						22,305
Other expenses			51,306						48,226						48,608						99,532						94,136
Total operating expenses			219,291						217,916						214,372						437,207						431,861
Impairment expense and provision for beneficial interests			10,288						1,591						7,776						11,879						7,813
Total expenses			285,318						277,015						270,638						562,333						551,002
Income before income taxes			237,364						106,140						58,428						343,504						152,365
Income tax expense			(59,510)						(25,010)						(14,753)						(84,521)						(37,936)
Net income			177,854						81,130						43,675						258,983						114,429
Net loss attributable to noncontrolling interests			3,605						1,430						1,416						5,035						4,069
Net income attributable to Nelnet, Inc.			$	181,459					82,560						45,091						264,018						118,498
Earnings per common share:
Net income attributable to Nelnet, Inc. shareholders - basic and diluted			$	4.97					2.26						1.23						7.24						3.22
Weighted average common shares outstanding - basic and diluted			36,485,605						36,478,426						36,525,482						36,482,035						36,841,227

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Condensed Consolidated Balance Sheets

(Dollars in thousands)

(unaudited)

			As of						As of						As of
			June 30, 2025						December 31, 2024						June 30, 2024
Assets:
Loans and accrued interest receivable, net			$	10,155,483					9,992,744						10,939,519
Cash, cash equivalents, and investments			2,330,692						2,395,214						2,092,269
Restricted cash			576,023						736,502						797,925
Goodwill and intangible assets, net			191,307						194,357						198,550
Other assets			457,583						458,936						472,930
Total assets			$	13,711,088					13,777,753						14,501,193
Liabilities:
Bonds and notes payable			$	7,903,561					8,309,797						9,567,708
Bank deposits			1,382,042						1,186,131						890,472
Other liabilities			942,792						982,708						822,991
Total liabilities			10,228,395						10,478,636						11,281,171
Equity:
Total Nelnet, Inc. shareholders' equity			3,574,983						3,349,762						3,294,061
Noncontrolling interests			(92,290)						(50,645)						(74,039)
Total equity			3,482,693						3,299,117						3,220,022
Total liabilities and equity			$	13,711,088					13,777,753						14,501,193

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Overview

The Company is a diversified hybrid holding company with primary businesses being consumer lending, loan servicing, payments, and technology – with many of these businesses serving customers in the education space. The largest operating businesses engage in loan servicing, and education technology services and payments. A significant portion of the Company's revenue is net interest income earned on a portfolio of federally insured student loans. The Company also makes and manages investments to further diversify both within and outside of its historical core education-related businesses including, but not limited to, investments in a fiber communications company (ALLO), early-stage and emerging growth companies (venture capital investments), real estate, reinsurance, and renewable energy (solar). In the Nelnet Financial Services division, which includes Nelnet Bank, the Company is also actively expanding its private education, consumer, and other loan portfolios.

GAAP Net Income and Non-GAAP Net Income, Excluding Adjustments

The Company prepares its financial statements and presents its financial results in accordance with GAAP. However, it also provides additional non-GAAP financial information related to specific items management believes to be important in the evaluation of its operating results and performance. A reconciliation of the Company's GAAP net income to Non-GAAP net income excluding derivative market value adjustments, and a discussion of why the Company believes providing this additional information is useful to investors, are provided below.

			Three months ended																		Six months ended
			June 30, 2025						March 31, 2025						June 30, 2024						June 30, 2025						June 30, 2024
GAAP net income attributable to Nelnet, Inc.			$	181,459					82,560						45,091						264,018						118,498
Realized and unrealized derivative market value adjustments (a)			3,866						6,324						(1,533)						10,190						(9,497)
Tax effect (b)			(928)						(1,519)						368						(2,446)						2,279
Non-GAAP net income attributable to Nelnet, Inc., excluding derivative market value adjustments			$	184,397					87,365						43,926						271,762						111,280
Earnings per share:
GAAP net income attributable to Nelnet, Inc.			$	4.97					2.26						1.23						7.24						3.22
Realized and unrealized derivative market value adjustments (a)			0.11						0.17						(0.04)						0.28						(0.26)
Tax effect (b)			(0.03)						(0.04)						0.01						(0.07)						0.06
Non-GAAP net income attributable to Nelnet, Inc., excluding derivative market value adjustments			$	5.05					2.39						1.20						7.45						3.02

(a) "Derivative market value adjustments" includes both the realized portion of gains and losses (corresponding to variation margin received or paid on derivative instruments that are settled daily at a central clearinghouse) and the unrealized portion of gains and losses that are caused by changes in fair values of derivatives which do not qualify for "hedge treatment" under GAAP. "Derivative market value adjustments" does not include "derivative settlements" that represent the cash paid or received during the respective period to settle with derivative instrument counterparties the economic effect of the Company's derivative instruments based on their contractual terms.

The accounting for derivatives requires that changes in the fair value of derivative instruments be recognized currently in earnings, with no fair value adjustment of the hedged item, unless specific hedge accounting criteria are met. Management has structured all of the Company’s derivative transactions with the intent that each is economically effective; however, the majority of the Company’s derivative instruments do not qualify for hedge accounting in the consolidated financial statements. As a result, the change in fair value for the derivative instruments that do not qualify for hedge accounting is reported in current period earnings with no consideration for the corresponding change in fair value of the hedged item. Under GAAP, the cumulative net realized and unrealized gain or loss caused by changes in fair values of derivatives in which the Company plans to hold to maturity will equal zero over the life of the contract. However, the net realized and unrealized gain or loss during any given reporting period fluctuates significantly from period to period.

The Company believes these point-in-time estimates of asset and liability values related to its derivative instruments that are subject to interest rate fluctuations are subject to volatility mostly due to timing and market factors beyond the control of management, and affect the period-to-period comparability of the results of operations. Accordingly, the Company’s management utilizes operating results excluding these items for comparability purposes when making decisions regarding the Company’s performance and in presentations with credit rating agencies, lenders, and investors. Consequently, the Company reports this non-GAAP information because the Company believes that it provides additional information regarding operational and performance indicators that are closely assessed by management and represents what earnings would have been had these derivatives qualified for hedge accounting. There is no comprehensive, authoritative guidance for the presentation of such non-GAAP information, which is only meant to supplement GAAP results by providing additional information that management utilizes to assess performance.

(b) The tax effects are calculated by multiplying the realized and unrealized derivative market value adjustments by the applicable statutory income tax rate.

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Recent Development - Partial Redemption of ALLO Investment

Nelnet had both voting and preferred membership interest investments in ALLO. On June 4, 2025, Nelnet redeemed a portion of its voting membership interests in ALLO and all its outstanding preferred membership interests, including the preferred return accrued on such membership interests through June 3, 2025. The Company received cash proceeds of $410.9 million from ALLO and recognized a pre-tax gain of $175.0 million as a result of this transaction. Following the closing of the transaction, Nelnet no longer owns any preferred membership interests in ALLO, but maintains a significant voting equity investment in ALLO. Nelnet’s ownership of voting membership interest in ALLO decreased from 45% to 27%. Nelnet will continue to account for its remaining 27% voting membership interest in ALLO under the Hypothetical Liquidation at Book Value (HLBV) method of accounting, with the carrying value of such interest remaining at $0.

Operating Segments

The Company's reportable operating segments are described in note 1 of the notes to consolidated financial statements included in the 2024 Annual Report. They include:

•Loan Servicing and Systems (LSS) - referred to as Nelnet Diversified Services (NDS)

•Education Technology Services and Payments (ETSP) - referred to as Nelnet Business Services (NBS)

•Asset Generation and Management (AGM), part of the Nelnet Financial Services (NFS) division

•Nelnet Bank, part of the NFS division

The Company earns fee-based revenue through its NDS and NBS reportable operating segments. The Company earns net interest income on its loan portfolio, consisting primarily of FFELP loans, through its AGM reportable operating segment. This segment is expected to generate significant amounts of cash as the FFELP portfolio amortizes. The Company actively works to maximize the amount and timing of cash flows generated from its FFELP portfolio and seeks to acquire additional loan assets to leverage its servicing scale and expertise to generate incremental earnings and cash flow. Nelnet Bank operates as an internet industrial bank franchise focused on the private education and unsecured consumer loan markets, with a home office in Salt Lake City, Utah. Other operating segments included in the NFS division include the Company's U.S. Securities and Exchange Commission (SEC)-registered investment advisor subsidiary, property and casualty reinsurance activities, investment activities in real estate, and investment debt securities (primarily student loan and other asset-backed securities) and interest expense incurred on debt used to finance such investments.

Other business activities and operating segments that are not reportable and not part of the NFS division are combined and included in Corporate and Other Activities ("Corporate"). Corporate also includes interest income earned on cash balances held at the corporate level and interest expense incurred on unsecured corporate related debt transactions, certain investment activities including its investment in ALLO, early-stage and emerging growth companies (venture capital investments), solar tax equity investments, the operating results of the Company's solar engineering, procurement, and construction business, and certain shared service activities that are allocated to each operating segment based on estimated use of such activities and services. In addition, Corporate includes corporate costs and overhead functions not allocated to operating segments, including executive management, investments in innovation, and other holding company organizational costs.

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The information below presents the operating results (net income (loss) before taxes) for each of the Company's reportable and certain other operating segments reconciled to the consolidated financial statements for the three and six months ended June 30, 2025 and 2024.

			Three months ended June 30,												Six months ended June 30,												Certain Items Impacting Comparability (All dollar amounts below are pre-tax)
			2025						2024						2025						2024
NDS			$	19,959					2,243						38,471						18,234						•An increase in before tax operating margin due to an increase in private education and consumer loan servicing volume and a decrease in total expenses obtained through cost-saving measures. This was partially offset for the six months ended June 30, 2025 compared with the same period in 2024 due to lower revenue earned on a per-borrower blended basis under the new government servicing contract (which the Company recognized revenue under beginning April 1, 2024) as compared with the legacy government contract.
NBS			23,542						25,599						71,005						73,235						•ETSP revenue increased to $118.2 million and $265.5 million for the three and six months ended June 30, 2025 compared with $116.9 million and $260.4 million for the same periods in 2024. However, NBS experienced a decrease in before tax operating margin due to a decrease in FACTS education services revenue and an increase in operating expenses to support the growth in the customer base and investments in the development of new technologies. Net income and before tax operating margin will continue to be impacted by these items throughout 2025 compared with 2024.
Nelnet Financial Services division:
AGM			27,393						24,310						57,226						58,055						•The recognition of $11.1 million in provision for loan losses and $4.2 million in negative provision for loan losses for the three months ended June 30, 2025 and 2024, respectively, and $24.1 million and $2.2 million in provision for loan losses for the six months ended June 30, 2025 and 2024, respectively. Increase was due to an increase of loan acquisitions in the first half of 2025. •A decrease of $1.1 million and $10.1 million in investment interest income for the three and six months ended June 30, 2025 compared with the same periods in 2024 due to a decrease of interest earned on restricted cash driven by lower balances and a decrease in interest rates, which, for the three month period, was partially offset by an increase of interest income from beneficial interest investments. •A net loss of $2.2 million compared to net income of $0.9 million, and a net loss of $6.0 million compared to net income of $6.6 million, for the three and six months ended June 30, 2025 and 2024, respectively, related to changes in the fair values of derivative instruments that do not qualify for hedge accounting. •An increase in net loan interest income of $10.1 million and $26.6 million for the three and six months ended June 30, 2025 compared with the same periods in 2024 due to an increase in loan spread driven by an increase in loans funded with operating cash (versus funded with debt), partially offset by a decrease in the average balance of loans.
Nelnet Bank			(465)						(3,718)						1,487						(2,571)						•An increase of $5.6 million and $10.4 million in net interest income for the three and six months ended June 30, 2025 compared with the same periods in 2024 due to an increase in the average balance of loans and investments and an increase in net interest margin. •A net loss of $1.7 million compared to net income of $0.6 million, and a net loss of $4.2 million compared to net income of $2.9 million, for the three and six months ended June 30, 2025 and 2024, respectively, related to changes in the fair values of derivative instruments that do not qualify for hedge accounting.
NFS other operating segments			10,091						16,525						20,152						30,286						•Net interest income earned on investment debt securities (primarily student loan and other asset-backed securities) was $6.4 million and $13.2 million for the three and six months ended June 30, 2025, respectively, compared with $12.2 million and $24.4 million for the same periods in 2024. This decrease was due to a decrease in the average balance of investments outstanding and a decrease in interest rates.
Corporate:
Unallocated corporate costs			(11,923)						(9,056)						(21,911)						(19,101)						•During the second quarter 2025, the Company recognized a non-cash impairment charge of $3.3 million related to operating lease assets as a result of the Company consolidating office space.
Solar tax equity investments			(1,892)						(2,580)						(686)						(266)						•Includes operating results of the Company's tax equity investments in renewable energy solar partnerships. These results include results attributable to third-party noncontrolling interest investors.

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Nelnet Renewable Energy - solar construction			(17,601)						(4,752)						(24,175)						(8,788)						•Includes the operating results of Nelnet Renewable Energy (NRE), the Company’s solar construction business that provides full-service engineering, procurement, and construction (EPC) services to commercial entities. Since the acquisition of GRNE Solar in 2022, NRE has incurred low and, in many cases, negative margins on legacy projects. The Company has a handful of remaining legacy construction contracts that it is obligated to complete, down from over 30 at the beginning of 2024. During the second quarter 2025, NRE recognized $12.9 million in contract loss reserves that represents NRE's estimate of costs it will incur to complete the remaining legacy contracts. In addition, uncertain economic conditions and legislation activity have impacted new construction projects being initiated which has adversely impacted and will continue to adversely impact revenue.
ALLO investment			185,236						3,940						193,651						(4,653)						•The recognition of a $175.0 million gain in the three months ended June 30, 2025 on a partial redemption of the Company's investment in ALLO. •The recognition of no loss in the six months ended June 30, 2025 compared with a loss of $10.7 million for the same period in 2024 related to the Company's ALLO voting membership interest investment. The loss recognized in the first quarter of 2024 reduced the Company's carrying value of its voting membership interest to $0. Absent additional equity contributions with respect to ALLO's voting membership interest, the Company will not recognize additional losses for its voting membership interest in ALLO. •The recognition of income of $6.0 million and $14.4 million for the three and six months ended June 30, 2025 compared with $4.2 million and $6.6 million for the same periods in 2024 on the Company's preferred membership interests in ALLO. All preferred membership interests were redeemed as part of the second quarter 2025 redemption transaction; thus, no preferred return will be recognized in future periods.
Venture capital investments			1,340						3,417						5,560						2,711						•Includes operating results of the Company's venture capital investments. These investments may create volatility in earnings from recognizing results of certain equity method investees, periodic adjustment of certain fund investments to their respective fair value, and, when applicable, observable price changes on certain measurement alternative investments.
Other corporate activities			1,586						2,500						2,531						5,225
Eliminations/reclassifications			96						—						193						—
Net income before taxes			237,364						58,428						343,504						152,365
Income tax expense			(59,510)						(14,753)						(84,521)						(37,936)
Net loss attributable to noncontrolling interests			3,605						1,416						5,035						4,069						•The majority of noncontrolling interests represents losses attributed to noncontrolling membership interests related to the Company’s solar tax equity investments.
Net income			$	181,459					45,091						264,018						118,498

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Segment Reporting

The following tables present the results of each of the Company's reportable operating segments reconciled to the consolidated financial statements:

						Three months ended June 30, 2025
						Reportable Segments																														Reconciling Items
						Loan Servicing and Systems (LSS)						Education Technology Services and Payments (ETSP)						Asset Generation and Management						Nelnet Bank						Total Reportable Segments						NFS Other Operating Segments						Corporate and Other Activities						Eliminations/ Reclassifications						Total
Interest income:
Loan interest						$	—					—						157,300						14,804						172,104						—						—						—						172,104
Investment interest						624						5,417						12,641						13,934						32,616						8,870						2,661						(3,963)						40,185
Total interest income						624						5,417						169,941						28,738						204,720						8,870						2,661						(3,963)						212,289
Interest expense						—						—						120,066						14,672						134,738						1,428						651						(3,963)						132,854
Net interest income						624						5,417						49,875						14,066						69,982						7,442						2,010						—						79,435
Less provision (negative provision) for loan losses						—						—						11,133						6,797						17,930						—						—						—						17,930
Net interest income after provision for loan losses						624						5,417						38,742						7,269						52,052						7,442						2,010						—						61,505
Other income (expense):
LSS revenue						120,724						—						—						—						120,724						—						—						—						120,724
Intersegment revenue						5,603						65						—						—						5,668						—						—						(5,668)						—
ETSP revenue						—						118,184						—						—						118,184						—						—						—						118,184
Reinsurance premiums earned						—						—						—						—						—						26,112						—						—						26,112
Solar construction revenue						—						—						—						—						—						—						1,259						—						1,259
Other, net						113						—						7,507						392						8,012						5,265						9,603						96						22,976
Gain (loss) on sale of loans, net						—						—						—						—						—						—						—						—						—
Gain on partial redemption of ALLO investment						—						—						—						—						—						—						175,044						—						175,044
Derivative settlements, net						—						—						581						163						744						—						—						—						744
Derivative market value adjustments, net						—						—						(2,165)						(1,701)						(3,866)						—						—						—						(3,866)
Total other income (expense), net						126,440						118,249						5,923						(1,146)						249,466						31,377						185,906						(5,572)						461,177
Cost of services and expenses:
Total cost of services						1,845						39,844						—						—						41,689						—						14,050						—						55,739
Salaries and benefits						65,549						41,598						1,469						2,791						111,407						539						22,784						(30)						134,699
Depreciation and amortization						1,821						2,505						—						352						4,678						—						2,946						—						7,624
Reinsurance losses and underwriting expenses						—						—						—						—						—						25,662						—						—						25,662
Postage expense						9,551																								9,551																		(9,551)						—
Servicing fees																		7,102						824						7,926																		(7,926)						—
Other expenses						11,099						9,904						2,464						1,969						25,436						2,206						11,695						11,969						51,306
Intersegment expenses, net						17,240						6,273						1,260						652						25,425						321						(25,616)						(130)						—
Total operating expenses						105,260						60,280						12,295						6,588						184,423						28,728						11,809						(5,668)						219,291
Impairment expense and provision for beneficial interests						—						—						4,977						—						4,977						—						5,311						—						10,288
Total expenses						107,105						100,124						17,272						6,588						231,089						28,728						31,170						(5,668)						285,318
Income (loss) before income taxes						19,959						23,542						27,393						(465)						70,429						10,091						156,746						96						237,364
Income tax (expense) benefit						(4,790)						(5,650)						(6,569)						101						(16,908)						(2,395)						(40,207)						—						(59,510)
Net income (loss)						15,169						17,892						20,824						(364)						53,521						7,696						116,539						96						177,854
Net (income) loss attributable to noncontrolling interests						—						—						(23)						—						(23)						(114)						3,838						(96)						3,605
Net income (loss) attributable to Nelnet, Inc.						$	15,169					17,892						20,801						(364)						53,498						7,582						120,377						—						181,459

8

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						Three months ended March 31, 2025
						Reportable Segments																														Reconciling Items
						Loan Servicing and Systems (LSS)						Education Technology Services and Payments (ETSP)						Asset Generation and Management						Nelnet Bank						Total Reportable Segments						NFS Other Operating Segments						Corporate and Other Activities						Eliminations/ Reclassifications						Total
Interest income:
Loan interest						$	—					—						154,469						11,971						166,440						—						—						—						166,439
Investment interest						721						6,939						12,769						12,496						32,925						8,820						2,312						(2,669)						41,389
Total interest income						721						6,939						167,238						24,467						199,365						8,820						2,312						(2,669)						207,828
Interest expense						—						—						114,303						12,077						126,380						770						633						(2,669)						125,114
Net interest income						721						6,939						52,935						12,390						72,985						8,050						1,679						—						82,714
Less provision (negative provision) for loan losses						—						—						13,012						2,325						15,337						—						—						—						15,337
Net interest income after provision for loan losses						721						6,939						39,923						10,065						57,648						8,050						1,679						—						67,377
Other income (expense):
LSS revenue						120,741						—						—						—						120,741						—						—						—						120,741
Intersegment revenue						5,684						64						—						—						5,748						—						—						(5,748)						—
ETSP revenue						—						147,330						—						—						147,330						—						—						—						147,330
Reinsurance premiums earned						—						—						—						—						—						24,687						—						—						24,687
Solar construction revenue						—						—						—						—						—						—						3,995						—						3,995
Other, net						112						—						3,995						142						4,249						1,110						18,238						97						23,694
Gain (loss) on sale of loans, net						—						—						909						—						909						—						—						—						909
Gain on partial redemption of ALLO investment						—						—						—						—						—						—						—						—						—
Derivative settlements, net						—						—						582						164						746						—						—						—						746
Derivative market value adjustments, net						—						—						(3,795)						(2,529)						(6,324)						—						—						—						(6,324)
Total other income (expense), net						126,537						147,394						1,691						(2,223)						273,399						25,797						22,233						(5,651)						315,778
Cost of services and expenses:
Total cost of services						1,633						48,047						—						—						49,680						—						7,828						—						57,508
Salaries and benefits						69,574						41,741						1,221						2,816						115,352						478						22,496						(104)						138,223
Depreciation and amortization						2,654						2,430						—						339						5,423						—						3,833						—						9,255
Reinsurance losses and underwriting expenses						—						—						—						—						—						22,212						—						—						22,212
Postage expense						7,575																								7,575																		(7,575)						—
Servicing fees																		6,911						667						7,578																		(7,578)						—
Other expenses						10,832						9,048						888						1,358						22,126						772						15,586						9,741						48,226
Intersegment expenses, net						16,478						5,605						1,250						710						24,043						244						(24,055)						(232)						—
Total operating expenses						107,113						58,824						10,270						5,890						182,097						23,706						17,860						(5,748)						217,916
Impairment expense and provision for beneficial interests						—						—						1,510						—						1,510						81						—						—						1,591
Total expenses						108,746						106,871						11,780						5,890						233,287						23,787						25,688						(5,748)						277,015
Income (loss) before income taxes						18,512						47,462						29,834						1,952						97,760						10,060						(1,776)						97						106,140
Income tax (expense) benefit						(4,443)						(11,402)						(7,156)						(434)						(23,435)						(2,385)						810						—						(25,010)
Net income (loss)						14,069						36,060						22,678						1,518						74,325						7,675						(966)						97						81,130
Net (income) loss attributable to noncontrolling interests						—						45						(17)						—						28						(124)						1,623						(97)						1,430
Net income (loss) attributable to Nelnet, Inc.						$	14,069					36,105						22,661						1,518						74,353						7,551						657						—						82,560

9

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						Three months ended June 30, 2024
						Reportable Segments																														Reconciling Items
						Loan Servicing and Systems (LSS)						Education Technology Services and Payments (ETSP)						Asset Generation and Management						Nelnet Bank						Total Reportable Segments						NFS Other Operating Segments						Corporate and Other Activities						Eliminations/ Reclassifications						Total
Interest income:
Loan interest						$	—					—						193,707						8,422						202,129						—						—						—						202,129
Investment interest						1,258						5,715						13,709						10,811						31,493						15,880						2,646						(9,282)						40,737
Total interest income						1,258						5,715						207,416						19,233						233,622						15,880						2,646						(9,282)						242,866
Interest expense						—						—						171,632						10,769						182,401						2,606						733						(9,282)						176,459
Net interest income						1,258						5,715						35,784						8,464						51,221						13,274						1,913						—						66,407
Less provision (negative provision) for loan losses						—						—						(4,225)						7,836						3,611						—						—						—						3,611
Net interest income after provision for loan losses						1,258						5,715						40,009						628						47,610						13,274						1,913						—						62,796
Other income (expense):
LSS revenue						109,052						—						—						—						109,052						—						—						—						109,052
Intersegment revenue						6,106						56						—						—						6,162						—						—						(6,162)						—
ETSP revenue						—						116,909						—						—						116,909						—						—						—						116,909
Reinsurance premiums earned						—						—						—						—						—						14,851						—						—						14,851
Solar construction revenue						—						—						—						—						—						—						9,694						—						9,694
Other, net						685						—						1,337						775						2,797						851						10,372						—						14,020
Gain (loss) on sale of loans, net						—						—						(1,438)						—						(1,438)						—						—						—						(1,438)
Gain on partial redemption of ALLO investment						—						—						—						—						—						—						—						—						—
Derivative settlements, net						—						—						1,442						207						1,649						—						—						—						1,649
Derivative market value adjustments, net						—						—						936						597						1,533						—						—						—						1,533
Total other income (expense), net						115,843						116,965						2,277						1,579						236,664						15,702						20,066						(6,162)						266,270
Cost of services and expenses:
Total cost of services						196						40,222						—						—						40,418						—						8,072						—						48,490
Salaries and benefits						70,631						40,736						1,113						2,798						115,278						374						24,786						(804)						139,634
Depreciation and amortization						5,342						2,712						—						341						8,395						—						6,748						—						15,142
Reinsurance losses and underwriting expenses						—						—						—						—						—						10,988						—						—						10,988
Postage expense						9,277																								9,277																		(9,277)						—
Servicing fees																		8,541						193						8,734																		(8,734)						—
Other expenses						11,188						8,600						1,139						2,002						22,929						841						12,842						11,996						48,608
Intersegment expenses, net						18,224						4,811						1,272						591						24,898						248						(25,803)						657						—
Total operating expenses						114,662						56,859						12,065						5,925						189,511						12,451						18,573						(6,162)						214,372
Impairment expense and provision for beneficial interests						—						—						5,911						—						5,911						—						1,865						—						7,776
Total expenses						114,858						97,081						17,976						5,925						235,840						12,451						28,510						(6,162)						270,638
Income (loss) before income taxes						2,243						25,599						24,310						(3,718)						48,434						16,525						(6,531)						—						58,428
Income tax (expense) benefit						(538)						(6,150)						(5,835)						916						(11,607)						(3,935)						788						—						(14,753)
Net income (loss)						1,705						19,449						18,475						(2,802)						36,827						12,590						(5,743)						—						43,675
Net (income) loss attributable to noncontrolling interests						—						29						—						—						29						(129)						1,516						—						1,416
Net income (loss) attributable to Nelnet, Inc.						$	1,705					19,478						18,475						(2,802)						36,856						12,461						(4,227)						—						45,091

10

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						Six months ended June 30, 2025
						Reportable Segments																														Reconciling Items
						Loan Servicing and Systems (LSS)						Education Technology Services and Payments (ETSP)						Asset Generation and Management						Nelnet Bank						Total Reportable Segments						NFS Other Operating Segments						Corporate and Other Activities						Eliminations/ Reclassifications						Total
Interest income:
Loan interest						$	—					—						311,768						26,775						338,543						—						—						—						338,543
Investment interest						1,345						12,356						25,411						26,430						65,542						17,690						4,973						(6,632)						81,574
Total interest income						1,345						12,356						337,179						53,205						404,085						17,690						4,973						(6,632)						420,117
Interest expense						—						—						234,369						26,749						261,118						2,198						1,284						(6,632)						257,968
Net interest income						1,345						12,356						102,810						26,456						142,967						15,492						3,689						—						162,149
Less provision (negative provision) for loan losses						—						—						24,144						9,123						33,267						—						—						—						33,267
Net interest income after provision for loan losses						1,345						12,356						78,666						17,333						109,700						15,492						3,689						—						128,882
Other income (expense):
LSS revenue						241,465						—						—						—						241,465						—						—						—						241,465
Intersegment revenue						11,287						129						—						—						11,416						—						—						(11,416)						—
ETSP revenue						—						265,515						—						—						265,515						—						—						—						265,515
Reinsurance premiums earned						—						—						—						—						—						50,799						—						—						50,799
Solar construction revenue						—						—						—						—						—						—						5,254						—						5,254
Other, net						225						—						11,502						534						12,261						6,376						27,840						193						46,670
Gain (loss) on sale of loans, net						—						—						909						—						909						—						—						—						909
Gain on partial redemption of ALLO investment						—						—						—						—						—						—						175,044						—						175,044
Derivative settlements, net						—						—						1,162						327						1,489						—						—						—						1,489
Derivative market value adjustments, net						—						—						(5,961)						(4,229)						(10,190)						—						—						—						(10,190)
Total other income (expense), net						252,977						265,644						7,612						(3,368)						522,865						57,175						208,138						(11,223)						776,955
Cost of services and expenses:
Total cost of services						3,478						87,891						—						—						91,369						—						21,878						—						113,247
Salaries and benefits						135,123						83,339						2,690						5,607						226,759						1,017						45,279						(134)						272,922
Depreciation and amortization						4,474						4,936						—						691						10,101						—						6,778						—						16,879
Reinsurance losses and underwriting expenses						—						—						—						—						—						47,874						—						—						47,874
Postage expense						17,127																								17,127																		(17,127)						—
Servicing fees																		14,013						1,491						15,504																		(15,504)						—
Other expenses						21,931						18,952						3,352						3,327						47,562						2,978						27,281						21,711						99,532
Intersegment expenses, net						33,718						11,877						2,510						1,362						49,467						565						(49,670)						(362)						—
Total operating expenses						212,373						119,104						22,565						12,478						366,520						52,434						29,668						(11,416)						437,207
Impairment expense and provision for beneficial interests						—						—						6,487						—						6,487						81						5,311						—						11,879
Total expenses						215,851						206,995						29,052						12,478						464,376						52,515						56,857						(11,416)						562,333
Income (loss) before income taxes						38,471						71,005						57,226						1,487						168,189						20,152						154,970						193						343,504
Income tax (expense) benefit						(9,233)						(17,052)						(13,725)						(333)						(40,343)						(4,779)						(39,398)						—						(84,521)
Net income (loss)						29,238						53,953						43,501						1,154						127,846						15,373						115,572						193						258,983
Net (income) loss attributable to noncontrolling interests						—						45						(40)						—						5						(238)						5,461						(193)						5,035
Net income (loss) attributable to Nelnet, Inc.						$	29,238					53,998						43,461						1,154						127,851						15,135						121,033						—						264,018

11

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						Six months ended June 30, 2024
						Reportable Segments																														Reconciling Items
						Loan Servicing and Systems (LSS)						Education Technology Services and Payments (ETSP)						Asset Generation and Management						Nelnet Bank						Total Reportable Segments						NFS Other Operating Segments						Corporate and Other Activities						Eliminations/ Reclassifications						Total
Interest income:
Loan interest						$	—					—						403,335						15,518						418,853						—						—						—						418,853
Investment interest						3,152						13,580						35,544						20,779						73,055						31,495						6,461						(18,197)						92,814
Total interest income						3,152						13,580						438,879						36,297						491,908						31,495						6,461						(18,197)						511,667
Interest expense						—						—						362,537						20,266						382,803						5,024						1,409						(18,197)						371,039
Net interest income						3,152						13,580						76,342						16,031						109,105						26,471						5,052						—						140,628
Less provision (negative provision) for loan losses						—						—						2,230						12,210						14,440						—						—						—						14,440
Net interest income after provision for loan losses						3,152						13,580						74,112						3,821						94,665						26,471						5,052						—						126,188
Other income (expense):
LSS revenue						236,252						—						—						—						236,252						—						—						—						236,252
Intersegment revenue						12,991						106						—						—						13,097						—						—						(13,097)						—
ETSP revenue						—						260,449						—						—						260,449						—						—						—						260,449
Reinsurance premiums earned						—						—						—						—						—						27,631						—						—						27,631
Solar construction revenue						—						—						—						—						—						—						23,420						—						23,420
Other, net						1,395						—						6,321						1,150						8,866						1,013						8,224						—						18,103
Gain (loss) on sale of loans, net						—						—						(1,579)						—						(1,579)						—						—						—						(1,579)
Gain on partial redemption of ALLO investment						—						—						—						—						—						—						—						—						—
Derivative settlements, net						—						—						2,997						409						3,406						—						—						—						3,406
Derivative market value adjustments, net						—						—						6,642						2,855						9,497						—						—						—						9,497
Total other income (expense), net						250,638						260,555						14,381						4,414						529,988						28,644						31,644						(13,097)						577,179
Cost of services and expenses:
Total cost of services						196						88,832						—						—						89,028						—						22,300						—						111,328
Salaries and benefits						147,353						80,903						2,308						5,518						236,082						732						48,307						(1,611)						283,509
Depreciation and amortization						10,450						5,395						—						601						16,446						—						15,464						—						31,911
Reinsurance losses and underwriting expenses						—						—						—						—						—						22,305						—						—						22,305
Postage expense						19,883																								19,883																		(19,883)						—
Servicing fees																		17,492						426						17,918																		(17,918)						—
Other expenses						20,119						16,158						2,246						3,113						41,636						1,327						26,243						24,928						94,136
Intersegment expenses, net						37,555						9,612						2,481						1,148						50,796						465						(52,648)						1,387						—
Total operating expenses						235,360						112,068						24,527						10,806						382,761						24,829						37,366						(13,097)						431,861
Impairment expense and provision for beneficial interests						—						—						5,911						—						5,911						—						1,902						—						7,813
Total expenses						235,556						200,900						30,438						10,806						477,700						24,829						61,568						(13,097)						551,002
Income (loss) before income taxes						18,234						73,235						58,055						(2,571)						146,953						30,286						(24,872)						—						152,365
Income tax (expense) benefit						(4,376)						(17,585)						(13,933)						657						(35,237)						(7,209)						4,511						—						(37,936)
Net income (loss)						13,858						55,650						44,122						(1,914)						111,716						23,077						(20,361)						—						114,429
Net (income) loss attributable to noncontrolling interests						—						46						—						—						46						(249)						4,272						—						4,069
Net income (loss) attributable to Nelnet, Inc.						$	13,858					55,696						44,122						(1,914)						111,762						22,828						(16,089)						—						118,498

12

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Loan Servicing and Systems Revenue

The following table presents disaggregated revenue by service offering for the Loan Servicing and Systems operating segment:

			Three months ended																		Six months ended
			June 30, 2025						March 31, 2025						June 30, 2024						June 30, 2025						June 30, 2024
Government loan servicing			$	85,737					87,358						87,014						173,100						192,490
Private education and consumer loan servicing			22,733						22,696						12,959						45,426						25,577
FFELP loan servicing			2,241						2,633						3,245						4,873						6,624
Software services			9,452						6,992						4,879						16,444						9,420
Outsourced services			561						1,062						955						1,622						2,141
Loan servicing and systems revenue			$	120,724					120,741						109,052						241,465						236,252

Loan Servicing Volumes

									As of
									June 30, 2025						March 31, 2025						December 31, 2024						September 30, 2024						June 30, 2024						March 31, 2024						December 31, 2023
Servicing volume (dollars in millions):
Government									$	465,689					482,786						489,877						492,142						489,298						495,409						494,691
FFELP									12,386						12,826						13,260						13,745						14,576						15,783						17,462
Private and consumer									38,018						46,728						29,226						20,666						19,876						21,015						20,493
Total									$	516,093					542,340						532,363						526,553						523,750						532,207						532,646
Number of servicing borrowers:
Government									12,694,386						13,453,127						14,049,550						14,114,468						14,096,152						14,328,013						14,503,057
FFELP									502,205						524,421						549,861						574,979						610,745						656,814						725,866
Private and consumer									1,326,451						1,350,999						1,168,293						851,747						829,072						882,256						894,703
Total									14,523,042						15,328,547						15,767,704						15,541,194						15,535,969						15,867,083						16,123,626
Number of remote hosted borrowers:									2,056,358						1,427,800						842,200						662,075						133,681						65,295						70,580

Education Technology Services and Payments Revenue

The following table presents disaggregated revenue by servicing offering for the Education Technology Services and Payments operating segment:

			Three months ended																		Six months ended
			June 30, 2025						March 31, 2025						June 30, 2024						June 30, 2025						June 30, 2024
Tuition payment plan services			$	36,013					40,072						34,164						76,085						73,043
Payment processing			37,515						51,536						34,326						89,051						82,113
Education technology services			44,481						55,695						47,205						100,177						103,227
Other			175						27						1,214						202						2,066
Education technology services and payments revenue			$	118,184					147,330						116,909						265,515						260,449

This segment of the Company’s business is subject to seasonal fluctuations which correspond, or are related to, the traditional school year. Based on the timing of revenue recognition and when expenses are incurred, revenue and before tax operating margin are higher in the first quarter compared with the remainder of the year.

13

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Other Income (Expense)

The following table presents the components of "other, net" in "other income (expense)" on the consolidated statements of income:

			Three months ended																		Six months ended
			June 30, 2025						March 31, 2025						June 30, 2024						June 30, 2025						June 30, 2024
Investment activity, net			$	8,852					5,161						217						14,012						(1,082)
ALLO preferred return			5,985						8,416						4,160						14,400						6,569
Borrower late fee income			1,642						1,587						2,584						3,231						5,718
Investment advisory services (WRCM)			1,504						1,473						1,524						2,977						3,033
Administration/sponsor fee income			1,293						1,305						1,482						2,598						3,028
Loss from ALLO voting membership interest investment			—						—						—						—						(10,693)
(Loss) gain from solar investments, net (a)			(1,502)						456						(2,610)						(1,046)						170
Other			5,202						5,296						6,663						10,498						11,360
Other, net			$	22,976					23,694						14,020						46,670						18,103

(a)    The Company accounts for its solar investments using the Hypothetical Liquidation at Book Value (HLBV) method of accounting. For the majority of the Company’s solar investments, the HLBV method of accounting results in accelerated losses in the initial years of investment. The following table presents (i) the Company's recognized HLBV losses and gains recognized from sales of certain investments at the end of the contractual agreement (typically five years), which include losses and gains attributable to third-party noncontrolling interest investors (syndication partners), included in “other, net” in "other income (expense)" on the consolidated statements of income, (ii) solar net losses and gains attributed to noncontrolling interest investors included in “net loss attributable to noncontrolling interests” on the consolidated statements of income, and (iii) the Company's recognized net gain excluding amounts attributed to noncontrolling interest investors (such amount reflecting the before tax net income impact of such solar tax equity investments to the Company):

			Three months ended																		Six months ended
			June 30, 2025						March 31, 2025						June 30, 2024						June 30, 2025						June 30, 2024
Losses from HLBV accounting (gross)			$	(6,463)					(2,616)						(6,818)						(9,079)						(4,038)
Gains from sales (gross)			4,961						3,072						4,208						8,033						4,208
(Losses) gains from solar investments, net			(1,502)						456						(2,610)						(1,046)						170
Less: (losses) gains attributable to noncontrolling members, net			(3,159)						(1,046)						8						(4,204)						(1,633)
Net gain (loss), excluding amounts attributed to noncontrolling interest investors			$	1,657					1,502						(2,618)						3,158						1,803

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Derivative Settlements

The following table summarizes the components of "derivative settlements, net" included in the consolidated statements of income related to derivative instruments that do not qualify for hedge accounting:

			Three months ended																		Six months ended
			June 30, 2025						March 31, 2025						June 30, 2024						June 30, 2025						June 30, 2024
Basis swaps			$	154					153						249						307						614
Interest rate swaps - floor income hedges			427						429						1,193						855						2,383
Interest rate swaps - intercompany deposits			163						164						207						327						409
Total derivative settlements - income			$	744					746						1,649						1,489						3,406

Loans and Accrued Interest Receivable and Allowance for Loan Losses

Loans and accrued interest receivable and allowance for loan losses consisted of the following:

			As of						As of						As of
			June 30, 2025						December 31, 2024						June 30, 2024
Non-Nelnet Bank:
Federally insured loans:
Stafford and other			$	2,039,136					2,108,960						2,308,561
Consolidation			6,327,949						6,279,604						7,175,172
Total			8,367,085						8,388,564						9,483,733
Private education loans (a)			156,614						221,744						247,437
Consumer and other loans			411,470						345,560						179,447
Non-Nelnet Bank loans			8,935,169						8,955,868						9,910,617
Nelnet Bank:
Federally insured loans:
Stafford and other			10,040						—						—
Consolidation			96,515						—						—
Total			106,555						—						—
Private education loans (a)			516,663						482,445						354,412
Consumer and other loans			204,423						162,152						187,939
Nelnet Bank loans			827,641						644,597						542,351
Accrued interest receivable			560,927						549,283						619,472
Loan discount and deferred lender fees, net of unamortized loan premiums and deferred origination costs			(42,905)						(42,114)						(36,157)
Allowance for loan losses:
Non-Nelnet Bank:
Federally insured loans			(47,627)						(49,091)						(54,180)
Private education loans			(7,406)						(11,130)						(13,065)
Consumer and other loans			(48,028)						(38,468)						(14,135)
Non-Nelnet Bank allowance for loan losses			(103,061)						(98,689)						(81,380)
Nelnet Bank:
Federally insured loans			(355)						—						—
Private education loans			(12,360)						(10,086)						(3,559)
Consumer and other loans			(9,573)						(6,115)						(11,825)
Nelnet Bank allowance for loan losses			(22,288)						(16,201)						(15,384)
			$	10,155,483					9,992,744						10,939,519

(a)    During the second quarter of 2025, the Asset Generation and Management operating segment (Non-Nelnet Bank) contributed $42.2 million of private education loans to Nelnet Bank.

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The Company has partial ownership in certain consumer, private education, and federally insured student loan securitizations that are accounted for as held-to-maturity beneficial interest investments and included in "other investments and notes receivable, net" in the Company's consolidated financial statements. As of the latest remittance reports filed by the various trusts prior to or as of June 30, 2025, the Company’s ownership correlates to approximately $1.70 billion of loans included in these securitizations. The loans held in these securitizations are not included in the above table. Investment interest income earned by the Company from the beneficial interest in loan securitizations is included in "investment interest" on the Company's consolidated statements of income and is not a component of the Company's loan interest income.

The following table summarizes the allowance for loan losses as a percentage of the ending loan balance for each of the Company's loan portfolios:

			As of						As of						As of
			June 30, 2025						December 31, 2024						June 30, 2024
Non-Nelnet Bank:
Federally insured loans (a)			0.57		%				0.59		%				0.57		%
Private education loans			4.73		%				5.02		%				5.28		%
Consumer and other loans			11.67		%				11.13		%				7.88		%
Nelnet Bank:
Federally insured loans (a)			0.33		%				—						—
Private education loans			2.39		%				2.09		%				1.00		%
Consumer and other loans			4.68		%				3.77		%				6.29		%

(a)    The allowance for loan losses as a percent of the risk sharing component of federally insured student loans not covered by the federal guaranty for non-Nelnet Bank was 20.4%, 20.6%, and 20.9% as of June 30, 2025, December 31, 2024, and June 30, 2024, respectively, and for Nelnet Bank was 16.5% as of June 30, 2025.

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Loan Activity - Non-Nelnet Bank

The following table sets forth the activity of the Company's AGM (Non-Nelnet Bank) loan portfolios:

			FFELP						Private						Consumer and other						Total
			Three months ended June 30, 2025
Balance as of March 31, 2025			$	8,670,284					208,507						381,215						9,260,006
Loan acquisitions			626						—						142,503						143,129
Repayments, claims, capitalized interest, participations, and other, net			(236,813)						(8,920)						(112,248)						(357,981)
Loans lost to external parties			(66,771)						(800)						—						(67,571)
Loans sold			(241)						—						—						(241)
Loans contributed to Nelnet Bank			—						(42,173)						—						(42,173)
Balance as of June 30, 2025			$	8,367,085					156,614						411,470						8,935,169
			Three months ended March 31, 2025
Balance as of December 31, 2024			$	8,388,564					221,744						345,560						8,955,868
Loan acquisitions			702,800						—						129,787						832,587
Repayments, claims, capitalized interest, participations, and other, net			(230,558)						(12,535)						(93,984)						(337,077)
Loans lost to external parties			(58,764)						(702)						—						(59,466)
Loans sold			(131,758)						—						(148)						(131,906)
Balance as of March 31, 2025			$	8,670,284					208,507						381,215						9,260,006
			Three months ended June 30, 2024
Balance as of March 31, 2024			$	10,383,052					261,582						155,308						10,799,942
Loan acquisitions			—						—						195,279						195,279
Repayments, claims, capitalized interest, participations, and other, net			(325,263)						(13,367)						(37,352)						(375,982)
Loans lost to external parties			(574,056)						(778)						—						(574,834)
Loans sold			—						—						(133,788)						(133,788)
Balance as of June 30, 2024			$	9,483,733					247,437						179,447						9,910,617
			Six months ended June 30, 2025
Balance as of December 31, 2024			$	8,388,564					221,744						345,560						8,955,868
Loan acquisitions			703,425						—						272,290						975,715
Repayments, claims, capitalized interest, participations, and other, net			(467,370)						(21,455)						(206,232)						(695,057)
Loans lost to external parties			(125,535)						(1,502)						—						(127,037)
Loans sold			(131,999)						—						(148)						(132,147)
Loans contributed to Nelnet Bank			—						(42,173)						—						(42,173)
Balance as of June 30, 2025			$	8,367,085					156,614						411,470						8,935,169
			Six months ended June 30, 2024
Balance as of December 31, 2023			$	11,686,207					277,320						85,935						12,049,462
Loan acquisitions			—						—						276,009						276,009
Repayments, claims, capitalized interest, participations, and other, net			(650,216)						(27,958)						(48,304)						(726,478)
Loans lost to external parties			(1,352,564)						(1,925)						—						(1,354,489)
Loans sold			(199,694)						—						(134,193)						(333,887)
Balance as of June 30, 2024			$	9,483,733					247,437						179,447						9,910,617

Beginning in late 2021, the Company experienced accelerated run-off of its FFELP portfolio due to FFELP borrowers consolidating their loans into Federal Direct Loan Program loans as a result of the CARES Act payment pause on Department-held loans and the initiatives offered by the Department for FFELP borrowers to consolidate their loans to qualify for loan forgiveness under various programs. However, the Company has experienced a significant decrease in FFELP borrowers consolidating their loans into the Federal Direct Loan Program since August 2024 that has resulted in prepayment rates on the Company’s FFELP portfolio being more consistent with longer-term historical rates.

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Loan Spread Analysis - Non-Nelnet Bank

The following table analyzes the loan spread on AGM’s (Non-Nelnet Bank) portfolio of loans, which represents the spread between the yield earned on loan assets and the costs of the liabilities and derivative instruments used to fund the assets:

			Three months ended																		Six months ended
			June 30, 2025						March 31, 2025						June 30, 2024						June 30, 2025						June 30, 2024
Variable loan yield, gross			7.77		%				7.43		%				8.16		%				7.59		%				8.07		%
Consolidation rebate fees			(0.82)						(0.79)						(0.81)						(0.80)						(0.80)
Premium and deferred origination costs amortization, net of discount accretion			(0.15)						(0.13)						0.07						(0.14)						0.07
Variable loan yield, net			6.80						6.51						7.42						6.65						7.34
Loan cost of funds - interest expense			(5.60)						(5.39)						(6.50)						(5.50)						(6.50)
Loan cost of funds - derivative settlements (a) (b)			0.01						0.01						0.01						0.01						0.01
Variable loan spread			1.21						1.13						0.93						1.16						0.85
Fixed rate floor income, gross			0.04						0.04						0.01						0.05						0.01
Fixed rate floor income - derivative settlements (a) (c)			0.02						0.02						0.04						0.02						0.04
Fixed rate floor income, net of settlements on derivatives			0.06						0.06						0.05						0.07						0.05
Core loan spread			1.27		%				1.19		%				0.98		%				1.23		%				0.90		%
Average balance of AGM's loans			$	9,215,579					9,544,317						10,484,458						9,379,948						11,022,981
Average balance of AGM's debt outstanding			8,439,800						8,451,699						10,168,761						8,445,716						10,778,080

(a)    Derivative settlements represent the cash paid or received during the respective period to settle with derivative instrument counterparties the economic effect of the Company's derivative instruments based on their contractual terms. Derivative accounting requires that net settlements with respect to derivatives that do not qualify for "hedge treatment" under GAAP be recorded in a separate income statement line item below net interest income. The Company maintains an overall risk management strategy that incorporates the use of derivative instruments to reduce the economic effect of interest rate volatility. As such, management believes derivative settlements for each applicable period should be evaluated with the Company’s net interest income (loan spread) as presented in this table. The Company reports this non-GAAP information because the Company believes that it provides additional information regarding operational and performance indicators that are closely assessed by management. There is no comprehensive, authoritative guidance for the presentation of such non-GAAP information, which is only meant to supplement GAAP results by providing additional information that management utilizes to assess performance. See "Derivative Settlements" included in this supplement for the net settlement activity recognized by the Company for each type of derivative for the periods presented in the table.

A reconciliation of core loan spread, which includes the impact of derivative settlements on loan spread, to loan spread without derivative settlements follows.

			Three months ended																		Six months ended
			June 30, 2025						March 31, 2025						June 30, 2024						June 30, 2025						June 30, 2024
Core loan spread			1.27		%				1.19		%				0.98		%				1.23		%				0.90		%
Derivative settlements (basis swaps)			(0.01)						(0.01)						(0.01)						(0.01)						(0.01)
Derivative settlements (fixed rate floor income)			(0.02)						(0.02)						(0.04)						(0.02)						(0.04)
Loan spread			1.24		%				1.16		%				0.93		%				1.20		%				0.85		%

(b)    Derivative settlements consist of net settlements received related to the Company’s basis swaps.

(c)    Derivative settlements consist of net settlements received related to the Company’s floor income interest rate swaps.

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Loan Activity - Nelnet Bank

The following table sets forth the activity of Nelnet Bank's loan portfolios:

			FFELP						Private						Consumer and other						Total
			Three months ended June 30, 2025
Balance as of March 31, 2025			$	110,187					489,451						161,995						761,633
Loan acquisitions and originations			38						8,354						50,175						58,567
Repayments			(3,670)						(23,315)						(7,747)						(34,732)
Loans contributed from AGM			—						42,173						—						42,173
Balance as of June 30, 2025			$	106,555					516,663						204,423						827,641
			Three months ended March 31, 2025
Balance as of December 31, 2024			$	—					482,445						162,152						644,597
Loan acquisitions and originations			111,002						29,041						4,555						144,598
Repayments			(815)						(22,035)						(4,712)						(27,562)
Balance as of March 31, 2025			$	110,187					489,451						161,995						761,633
			Three months ended June 30, 2024
Balance as of March 31, 2024			$	—					364,766						118,957						483,723
Loan acquisitions and originations			—						1,390						82,998						84,388
Repayments			—						(11,744)						(14,016)						(25,760)
Balance as of June 30, 2024			$	—					354,412						187,939						542,351
			Six months ended June 30, 2025
Balance as of December 31, 2024			$	—					482,445						162,152						644,597
Loan acquisitions and originations			111,040						37,396						54,730						203,166
Repayments			(4,485)						(45,351)						(12,459)						(62,295)
Loans contributed from AGM			—						42,173						—						42,173
Balance as of June 30, 2025			$	106,555					516,663						204,423						827,641
			Six months ended June 30, 2024
Balance as of December 31, 2023			$	—					360,520						72,352						432,872
Loan acquisitions and originations			—						18,106						139,843						157,949
Repayments			—						(24,214)						(24,256)						(48,470)
Balance as of June 30, 2024			$	—					354,412						187,939						542,351

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Average Balance Sheet - Nelnet Bank

The following table reflects the rates earned on interest-earning assets and paid on interest-bearing liabilities for Nelnet Bank:

			Three months ended (a)																																				Six months ended June 30, (a)
			June 30, 2025												March 31, 2025												June 30, 2024												2025												2024
			Balance						Rate						Balance						Rate						Balance						Rate						Balance						Rate						Balance						Rate
Average assets
Federally insured student loans			$	108,235					6.14		%				$	25,621					6.55		%				$	—					—		%				$	67,156					6.21		%				$	—					—		%
Private education loans			519,858						6.37						489,211						6.10						359,486						4.35						504,619						6.24						363,172						4.31
Consumer and other loans			181,821						10.79						162,602						10.47						152,232						11.97						172,265						10.64						124,684						12.46
Cash and investments			923,233						6.05						793,537						6.39						625,123						6.96						858,743						6.21						601,535						6.95
Total interest-earning assets			1,733,147						6.65		%				1,470,971						6.75		%				1,136,841						6.80		%				1,602,783						6.69		%				1,089,391						6.70		%
Non-interest-earning assets			13,504												14,646												17,857												14,071												15,312
Total assets			$	1,746,651											$	1,485,617											$	1,154,698											$	1,616,854											$	1,104,703
Average liabilities and equity
Brokered deposits			$	269,112					2.11		%				$	249,259					1.95		%				$	236,517					1.82		%				$	259,240					2.03		%				$	220,584					1.62		%
Intercompany deposits			158,465						3.99						72,836						3.41						146,788						4.82						115,887						3.81						153,568						4.86
Retail and other deposits			1,073,322						4.24						962,954						4.21						621,241						5.01						1,018,443						4.22						582,688						4.96
Federal funds purchased and other borrowed money			13,258						5.45						10,404						4.69						—						—						11,839						5.12						—						—
Total interest-bearing liabilities			1,514,157						3.84		%				1,295,453						3.73		%				1,004,546						4.23		%				1,405,409						3.79		%				956,840						4.17		%
Non-interest-bearing liabilities			10,037												8,602												6,369												9,323												7,424
Equity			222,457												181,562												143,783												202,122												140,439
Total liabilities and equity			$	1,746,651											$	1,485,617											$	1,154,698											$	1,616,854											$	1,104,703
Net interest margin									3.29		%										3.46		%										3.07		%										3.37		%										3.03		%

(a) Calculated using average daily balances.

20