• Net income: $1.8 billion, or $4.41 per diluted common share.

• Adjusted earnings per share: $4.51 after adjusting items.

• Result before reset: Increased 3% to $4.7 billion.

• Sales growth: Increase of 5% due to higher net interest income.

• Non-interest expenses: Increased 7% due to higher operating costs and marketing expenses.

• Provision for loan losses: $2.5 billion, down $1.4 billion from the previous quarter.

• Release release: $134 million has been released, with the remaining balance at $16.5 billion.

• Total liquidity reserves: Increased to approximately $132 billion.

• Net interest margin: 7.11%, up 41 basis points from last quarter.

• Core capital ratio (Common Equity Tier 1): 13.6%, an increase of 40 basis points from the previous quarter.

• Domestic card sales growth: 10% year-on-year.

• Domestic card sales margin: Up 43 basis points year-over-year to 18.7%.

• Debit rate: 5.61%, with an increase of 38 basis points due to the termination of the Walmart contract.

• Failure rate 30+: 4.53%, an increase of 22 basis points year-over-year.

• Marketing expenses: $1.1 billion, up 15% year over year.

• Automatic originations: Increase of 23% year-on-year.

• Retail banking revenue: Down 3% year over year.

• Non-interest expenses in consumer banking: Up 5% year over year.

• Automatic withdrawal rate: 2.05%, an increase of 28 basis points year-over-year.

• Net charge-off rate in commercial banking: 0.2%, up 7 basis points from the previous quarter.

Release date: October 24, 2024

For the full transcript of the conference call, please see the full conference call minutes.

• Capital One Financial Corp (NYSE:COF) reported a strong third quarter with profit of $1.8 billion, or $4.41 per diluted common share.

• Profit before provisions increased 3% from the second quarter to $4.7 billion, driven by higher net interest income.

• The company reported a 5% increase in revenue compared to the previous quarter, driven by higher net interest income.

• Capital One Financial Corp (NYSE: COF) saw auto loans increase 23% year-over-year, indicating strong growth in the segment.

• The company’s cash reserves increased by approximately $9 billion to approximately $132 billion, reflecting strong deposit growth.

• Noninterest expenses increased 7%, reflecting higher operating costs and marketing expenses.

• Provisions for loan losses were $2.5 billion, although lower compared to the previous quarter, but still a significant expense.

• The charge rate for the credit card segment increased to 5.61%, with the end of Walmart’s loss-sharing agreement impacting the rate.

• Consumer banking revenues declined approximately 3% year-over-year, primarily due to higher deposit costs.

• In the commercial banking segment, there was a decline in final loan balances of approximately 2% compared to the corresponding quarter.

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