Navient Corp reported a net loss for fiscal year 2025 despite surpassing quarterly earnings expectations driven by significant expense cuts. The company grapples with declining net interest income amid structural shifts in the education lending market, notably the ongoing wind-down of FFELP loans and regulatory challenges. Capital allocation remains disciplined with dividends paid and share repurchases reduced, reflecting a cautious strategy given earnings volatility. Monitoring net interest margin trends and regulatory developments will be critical to assessing Navient’s recovery trajectory.