MCLEAN, Va., April 25, 2017 /PRNewswire/ -- Capital One
Financial Corporation (NYSE: COF) today announced net income for
the first quarter of 2017 of $810
million, or $1.54 per diluted
common share, compared to the fourth quarter of 2016 with net
income of $791 million, or
$1.45 per diluted common share, and
the first quarter of 2016 with net income of $1.0 billion, or $1.84 per diluted common share. We recorded a
build in the U.K. Payment Protection Insurance customer refund
reserve ("U.K. PPI Reserve") of $99
million in the first quarter of 2017. Excluding this
adjusting item, net income for the first quarter of 2017 was
$910 million or $1.75 per diluted common share(1).
"In the first quarter, we continued to deliver resilient
growth," said Richard D. Fairbank,
Founder, Chairman and Chief Executive Officer. "As banking is
being revolutionized by digital, we are investing to lead the
transformation and drive growth opportunities. We are
improving efficiency. And we are building an enduring
customer franchise. We remain well positioned to deliver
attractive growth and returns, as well as significant capital
distribution, subject to regulatory approval."
All comparisons below are for the first quarter of 2017 compared
with the fourth quarter of 2016 unless otherwise noted.
First Quarter 2017 Income Statement Summary:
- Total net revenue remained flat at $6.5
billion.
- Total non-interest expense decreased 7 percent to $3.4 billion:
-
- 31 percent decrease in marketing.
- 1 percent decrease in operating expenses.
- Pre-provision earnings increased 7 percent to $3.1 billion(2).
- Provision for credit losses increased 14 percent to
$2.0 billion:
-
- Net charge-offs of $1.5
billion.
- $482 million reserve build.
- Net interest margin of 6.88 percent, up 3 basis points.
- Efficiency ratio of 52.55 percent:
-
- Efficiency ratio excluding the U.K. PPI Reserve build of
$99 million was 51.55
percent(1).
First Quarter 2017 Balance Sheet Summary:
- Common equity Tier 1 capital ratio under Basel III Standardized
Approach of 10.4 percent at March 31,
2017.
- Period-end loans held for investment in the quarter decreased
$5.0 billion, or 2 percent, to
$240.6 billion.
-
- Domestic Card period-end loans decreased $6.0 billion, or 6 percent, to $91.1 billion.
- Consumer Banking period-end loans increased $928 million, or 1 percent, to $74.0 billion:
-
- Auto period-end loans increased $1.9
billion, or 4 percent, to $49.8
billion.
- Home loans period-end loans decreased $846 million, or 4 percent, to $20.7 billion, driven by run-off of acquired
portfolios.
- Commercial Banking period-end loans increased $404 million, or 1 percent, to $67.3 billion.
- Average loans held for investment in the quarter increased
$1.5 billion, or less than 1 percent,
to $241.5 billion.
-
- Domestic Card average loans increased $411 million, or less than 1 percent, to
$93.0 billion.
- Consumer Banking average loans increased $672 million, or 1 percent, to $73.3 billion:
-
- Auto average loans increased $1.5
billion, or 3 percent, to $48.7
billion.
- Home loans average loans decreased $835
million, or 4 percent, to $21.1
billion, driven by run-off of acquired portfolios.
- Commercial Banking average loans increased $423 million, or 1 percent, to $66.9 billion.
- Period-end total deposits increased $4.4
billion, or 2 percent, to $241.2
billion, while average deposits increased $6.3 billion, or 3 percent, to $238.6 billion.
- Interest-bearing deposits rate paid increased 2 basis points to
0.66 percent.
(1) Amounts excluding adjusting items are
non-GAAP measures that we believe help investors and users of our
financial information understand the effect of adjusting items on
our selected reported results and provide alternate measurements of
our performance. See Table 15 in Exhibit 99.2 for a reconciliation
of our selected reported results to these non-GAAP measures.
(2) Pre-provision earnings is calculated based
on the sum of net interest income and non-interest income, less
non-interest expense for the period.
Earnings Conference Call Webcast Information
The company will hold an earnings conference call on
April 25, 2017 at 5:00 PM Eastern
Time. The conference call will be accessible through live
webcast. Interested investors and other individuals can access the
webcast via the company's home page (www.capitalone.com). Choose
"About Us," then choose "Investors" to access the Investor Center
and view and/or download the earnings press release, the financial
supplement, including a reconciliation of non-GAAP financial
measures, and the earnings release presentation. The replay of the
webcast will be archived on the company's website through
May 9, 2017 at 5:00 PM Eastern
Time.
Forward-Looking Statements
Certain statements in this release may constitute
forward-looking statements, which involve a number of risks and
uncertainties. Capital One cautions readers that any
forward-looking information is not a guarantee of future
performance and that actual results could differ materially from
those contained in the forward-looking information due to a number
of factors, including those listed from time to time in reports
that Capital One files with the Securities and Exchange Commission,
including, but not limited to, the Annual Report on Form 10-K for
the year ended December 31, 2016.
About Capital One
Capital One Financial Corporation (www.capitalone.com) is a
financial holding company whose subsidiaries, which include Capital
One, N.A., and Capital One Bank (USA), N.A., had $241.2
billion in deposits and $348.5
billion in total assets as of March 31, 2017.
Headquartered in McLean, Virginia,
Capital One offers a broad spectrum of financial products and
services to consumers, small businesses and commercial clients
through a variety of channels. Capital One, N.A. has branches
located primarily in New York,
Louisiana, Texas, Maryland, Virginia, New
Jersey and the District of
Columbia. A Fortune 500 company, Capital One trades on the
New York Stock Exchange under the symbol "COF" and is included in
the S&P 100 index.
Exhibit
99.2
|
Capital One
Financial Corporation
|
Financial
Supplement(1)(2)
|
First
Quarter 2017
|
Table of
Contents
|
|
Capital One
Financial Corporation Consolidated Results
|
Page
|
|
Table
1:
|
Financial
Summary—Consolidated
|
1
|
|
Table
2:
|
Selected
Metrics—Consolidated
|
3
|
|
Table
3:
|
Consolidated
Statements of Income
|
4
|
|
Table
4:
|
Consolidated
Balance Sheets
|
6
|
|
Table
5:
|
Notes to Financial
Summary, Selected Metrics and Consolidated Financial Statements
(Tables 1—4)
|
8
|
|
Table
6:
|
Average Balances,
Net Interest Income and Net Interest Margin
|
10
|
|
Table
7:
|
Loan Information
and Performance Statistics
|
11
|
|
Table
8:
|
Allowance for Loan
and Lease Losses and Reserve for Unfunded Lending Commitments
Activity
|
13
|
Business Segment
Results
|
|
|
Table
9:
|
Financial
Summary—Business Segment Results
|
14
|
|
Table
10:
|
Financial &
Statistical Summary—Credit Card Business
|
15
|
|
Table
11:
|
Financial &
Statistical Summary—Consumer Banking Business
|
17
|
|
Table
12:
|
Financial &
Statistical Summary—Commercial Banking Business
|
18
|
|
Table
13:
|
Financial &
Statistical Summary—Other and Total
|
19
|
|
Table
14:
|
Notes to Loan,
Allowance and Business Segment Disclosures (Tables
7—13)
|
20
|
Other
|
|
|
Table
15:
|
Calculation of
Regulatory Capital Measures and Reconciliation of Non-GAAP
Measures
|
21
|
_____________
|
|
|
(1)
|
The information
contained in this Financial Supplement is preliminary and based on
data available at the time of the earnings presentation. Investors
should refer to our Quarterly Report on Form 10-Q for the period
ended March 31, 2017 once it is filed with the Securities and
Exchange Commission.
|
(2)
|
This Financial
Supplement includes non-GAAP measures. We believe these non-GAAP
measures are useful to investors and users of our financial
information as they provide an alternate measurement of our
performance and assist in assessing our capital adequacy and the
level of return generated. These non-GAAP measures should not be
viewed as a substitute for reported results determined in
accordance with generally accepted accounting principles in the
U.S. ("GAAP"), nor are they necessarily comparable to non-GAAP
measures that may be presented by other companies.
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 1: Financial
Summary—Consolidated
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
(Dollars in
millions, except per share data and as noted)
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q1
|
Income
Statement
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$
|
5,474
|
|
|
$
|
5,447
|
|
|
$
|
5,277
|
|
|
$
|
5,093
|
|
|
$
|
5,056
|
|
|
—
|
|
|
8
|
%
|
Non-interest
income
|
|
1,061
|
|
|
1,119
|
|
|
1,184
|
|
|
1,161
|
|
|
1,164
|
|
|
(5)
|
%
|
|
(9)
|
|
Total net
revenue(1)
|
|
6,535
|
|
|
6,566
|
|
|
6,461
|
|
|
6,254
|
|
|
6,220
|
|
|
—
|
|
|
5
|
|
Provision for credit
losses
|
|
1,992
|
|
|
1,752
|
|
|
1,588
|
|
|
1,592
|
|
|
1,527
|
|
|
14
|
|
|
30
|
|
Non-interest
expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marketing
|
|
396
|
|
|
575
|
|
|
393
|
|
|
415
|
|
|
428
|
|
|
(31)
|
|
|
(7)
|
|
Amortization of
intangibles
|
|
62
|
|
|
101
|
|
|
89
|
|
|
95
|
|
|
101
|
|
|
(39)
|
|
|
(39)
|
|
Operating
expenses
|
|
2,976
|
|
|
3,003
|
|
|
2,879
|
|
|
2,785
|
|
|
2,694
|
|
|
(1)
|
|
|
10
|
|
Total non-interest
expense
|
|
3,434
|
|
|
3,679
|
|
|
3,361
|
|
|
3,295
|
|
|
3,223
|
|
|
(7)
|
|
|
7
|
|
Income from
continuing operations before income taxes
|
|
1,109
|
|
|
1,135
|
|
|
1,512
|
|
|
1,367
|
|
|
1,470
|
|
|
(2)
|
|
|
(25)
|
|
Income tax
provision
|
|
314
|
|
|
342
|
|
|
496
|
|
|
424
|
|
|
452
|
|
|
(8)
|
|
|
(31)
|
|
Income from
continuing operations, net of tax
|
|
795
|
|
|
793
|
|
|
1,016
|
|
|
943
|
|
|
1,018
|
|
|
—
|
|
|
(22)
|
|
Income (loss) from
discontinued operations, net of tax(2)
|
|
15
|
|
|
(2)
|
|
|
(11)
|
|
|
(1)
|
|
|
(5)
|
|
|
**
|
|
|
**
|
Net income
|
|
810
|
|
|
791
|
|
|
1,005
|
|
|
942
|
|
|
1,013
|
|
|
2
|
|
|
(20)
|
|
Dividends and
undistributed earnings allocated to participating
securities(3)
|
|
(5)
|
|
|
(6)
|
|
|
(6)
|
|
|
(6)
|
|
|
(6)
|
|
|
(17)
|
|
|
(17)
|
|
Preferred stock
dividends
|
|
(53)
|
|
|
(75)
|
|
|
(37)
|
|
|
(65)
|
|
|
(37)
|
|
|
(29)
|
|
|
43
|
|
Net income available
to common stockholders
|
|
$
|
752
|
|
|
$
|
710
|
|
|
$
|
962
|
|
|
$
|
871
|
|
|
$
|
970
|
|
|
6
|
|
|
(22)
|
|
Common Share
Statistics
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per
common share:(3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income from
continuing operations
|
|
$
|
1.53
|
|
|
$
|
1.47
|
|
|
$
|
1.94
|
|
|
$
|
1.70
|
|
|
$
|
1.86
|
|
|
4
|
%
|
|
(18)
|
%
|
Income (loss) from
discontinued operations
|
|
0.03
|
|
|
—
|
|
|
(0.02)
|
|
|
—
|
|
|
(0.01)
|
|
|
**
|
|
|
**
|
Net income per basic
common share
|
|
$
|
1.56
|
|
|
$
|
1.47
|
|
|
$
|
1.92
|
|
|
$
|
1.70
|
|
|
$
|
1.85
|
|
|
6
|
|
|
(16)
|
|
Diluted earnings
per common share:(3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income from
continuing operations
|
|
$
|
1.51
|
|
|
$
|
1.45
|
|
|
$
|
1.92
|
|
|
$
|
1.69
|
|
|
$
|
1.85
|
|
|
4
|
|
|
(18)
|
|
Income (loss) from
discontinued operations
|
|
0.03
|
|
|
—
|
|
|
(0.02)
|
|
|
—
|
|
|
(0.01)
|
|
|
**
|
|
|
**
|
Net income per
diluted common share
|
|
$
|
1.54
|
|
|
$
|
1.45
|
|
|
$
|
1.90
|
|
|
$
|
1.69
|
|
|
$
|
1.84
|
|
|
6
|
|
|
(16)
|
|
Weighted-average
common shares outstanding (in millions):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
482.3
|
|
|
483.5
|
|
|
501.1
|
|
|
511.7
|
|
|
523.5
|
|
|
—
|
|
|
(8)
|
|
Diluted
|
|
487.9
|
|
|
489.2
|
|
|
505.9
|
|
|
516.5
|
|
|
528.0
|
|
|
—
|
|
|
(8)
|
|
Common shares
outstanding (period-end, in millions)
|
|
482.8
|
|
|
480.2
|
|
|
489.2
|
|
|
505.9
|
|
|
514.5
|
|
|
1
|
|
|
(6)
|
|
Dividends paid per
common share
|
|
$
|
0.40
|
|
|
$
|
0.40
|
|
|
$
|
0.40
|
|
|
$
|
0.40
|
|
|
$
|
0.40
|
|
|
—
|
|
|
—
|
|
Tangible book value
per common share (period-end)(4)
|
|
58.66
|
|
|
57.76
|
|
|
59.00
|
|
|
57.84
|
|
|
55.94
|
|
|
2
|
|
|
5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
(Dollars in
millions)
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q1
|
Balance Sheet
(Period-End)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held for
investment(5)
|
|
$
|
240,588
|
|
|
$
|
245,586
|
|
|
$
|
238,019
|
|
|
$
|
234,603
|
|
|
$
|
227,613
|
|
|
(2)
|
%
|
|
6
|
%
|
Interest-earning
assets
|
|
316,712
|
|
|
321,807
|
|
|
313,431
|
|
|
307,163
|
|
|
298,348
|
|
|
(2)
|
|
|
6
|
|
Total
assets
|
|
348,549
|
|
|
357,033
|
|
|
345,061
|
|
|
339,117
|
|
|
330,346
|
|
|
(2)
|
|
|
6
|
|
Interest-bearing
deposits
|
|
214,818
|
|
|
211,266
|
|
|
200,416
|
|
|
195,635
|
|
|
196,597
|
|
|
2
|
|
|
9
|
|
Total
deposits
|
|
241,182
|
|
|
236,768
|
|
|
225,981
|
|
|
221,059
|
|
|
221,779
|
|
|
2
|
|
|
9
|
|
Borrowings
|
|
48,439
|
|
|
60,460
|
|
|
59,820
|
|
|
59,181
|
|
|
50,497
|
|
|
(20)
|
|
|
(4)
|
|
Common
equity
|
|
43,680
|
|
|
43,154
|
|
|
44,336
|
|
|
44,813
|
|
|
44,411
|
|
|
1
|
|
|
(2)
|
|
Total stockholders'
equity
|
|
48,040
|
|
|
47,514
|
|
|
48,213
|
|
|
48,108
|
|
|
47,707
|
|
|
1
|
|
|
1
|
|
Balance Sheet
(Average Balances)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held for
investment(5)
|
|
$
|
241,505
|
|
|
$
|
240,027
|
|
|
$
|
235,843
|
|
|
$
|
230,379
|
|
|
$
|
226,736
|
|
|
1
|
%
|
|
7
|
%
|
Interest-earning
assets
|
|
318,358
|
|
|
317,853
|
|
|
310,987
|
|
|
302,764
|
|
|
299,456
|
|
|
—
|
|
|
6
|
|
Total
assets
|
|
351,641
|
|
|
350,225
|
|
|
343,153
|
|
|
334,479
|
|
|
331,919
|
|
|
—
|
|
|
6
|
|
Interest-bearing
deposits
|
|
212,973
|
|
|
206,464
|
|
|
196,913
|
|
|
195,641
|
|
|
194,125
|
|
|
3
|
|
|
10
|
|
Total
deposits
|
|
238,550
|
|
|
232,204
|
|
|
222,251
|
|
|
221,146
|
|
|
219,180
|
|
|
3
|
|
|
9
|
|
Borrowings
|
|
53,357
|
|
|
58,624
|
|
|
60,708
|
|
|
54,359
|
|
|
53,761
|
|
|
(9)
|
|
|
(1)
|
|
Common
equity
|
|
43,833
|
|
|
43,921
|
|
|
45,314
|
|
|
45,640
|
|
|
45,782
|
|
|
—
|
|
|
(4)
|
|
Total stockholders'
equity
|
|
48,193
|
|
|
47,972
|
|
|
49,033
|
|
|
48,934
|
|
|
49,078
|
|
|
—
|
|
|
(2)
|
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 2: Selected
Metrics—Consolidated
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
(Dollars in
millions, except as noted)
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q1
|
Performance
Metrics
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income
growth (period over period)
|
|
—
|
|
|
3
|
%
|
|
4
|
%
|
|
1
|
%
|
|
2
|
%
|
|
**
|
|
|
**
|
|
Non-interest income
growth (period over period)
|
|
(5)
|
%
|
|
(5)
|
|
|
2
|
|
|
—
|
|
|
(6)
|
|
|
**
|
|
|
**
|
|
Total net revenue
growth (period over period)
|
|
—
|
|
|
2
|
|
|
3
|
|
|
1
|
|
|
—
|
|
|
**
|
|
|
**
|
|
Total net revenue
margin(6)
|
|
8.21
|
|
|
8.26
|
|
|
8.31
|
|
|
8.26
|
|
|
8.31
|
|
|
(5)
|
bps
|
|
(10)
|
bps
|
Net interest
margin(7)
|
|
6.88
|
|
|
6.85
|
|
|
6.79
|
|
|
6.73
|
|
|
6.75
|
|
|
3
|
|
|
13
|
|
Return on average
assets
|
|
0.90
|
|
|
0.91
|
|
|
1.18
|
|
|
1.13
|
|
|
1.23
|
|
|
(1)
|
|
|
(33)
|
|
Return on average
tangible assets(8)
|
|
0.95
|
|
|
0.95
|
|
|
1.24
|
|
|
1.18
|
|
|
1.29
|
|
|
—
|
|
|
(34)
|
|
Return on average
common equity(9)
|
|
6.73
|
|
|
6.48
|
|
|
8.59
|
|
|
7.64
|
|
|
8.52
|
|
|
25
|
|
|
(179)
|
|
Return on average
tangible common equity(10)
|
|
10.37
|
|
|
10.00
|
|
|
13.06
|
|
|
11.61
|
|
|
12.94
|
|
|
37
|
|
|
(257)
|
|
Non-interest expense
as a percentage of average loans held for investment
|
|
5.69
|
|
|
6.13
|
|
|
5.70
|
|
|
5.72
|
|
|
5.69
|
|
|
(44)
|
|
|
—
|
|
Efficiency
ratio(11)
|
|
52.55
|
|
|
56.03
|
|
|
52.02
|
|
|
52.69
|
|
|
51.82
|
|
|
(348)
|
|
|
73
|
|
Effective income tax
rate for continuing operations
|
|
28.3
|
|
|
30.1
|
|
|
32.8
|
|
|
31.0
|
|
|
30.7
|
|
|
(180)
|
|
|
(240)
|
|
Employees (in
thousands), period-end
|
|
48.4
|
|
|
47.3
|
|
|
46.5
|
|
|
46.1
|
|
|
45.8
|
|
|
2
|
%
|
|
6
|
%
|
Credit Quality
Metrics
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan
and lease losses
|
|
$
|
6,984
|
|
|
$
|
6,503
|
|
|
$
|
6,258
|
|
|
$
|
5,881
|
|
|
$
|
5,416
|
|
|
7
|
%
|
|
29
|
%
|
Allowance as a
percentage of loans held for investment
|
|
2.90
|
%
|
|
2.65
|
%
|
|
2.63
|
%
|
|
2.51
|
%
|
|
2.38
|
%
|
|
25
|
bps
|
|
52
|
bps
|
Net
charge-offs
|
|
$
|
1,510
|
|
|
$
|
1,489
|
|
|
$
|
1,240
|
|
|
$
|
1,155
|
|
|
$
|
1,178
|
|
|
1
|
%
|
|
28
|
%
|
Net charge-off
rate(12)
|
|
2.50
|
%
|
|
2.48
|
%
|
|
2.10
|
%
|
|
2.01
|
%
|
|
2.08
|
%
|
|
2
|
bps
|
|
42
|
bps
|
30+ day performing
delinquency rate
|
|
2.61
|
|
|
2.93
|
|
|
2.71
|
|
|
2.47
|
|
|
2.33
|
|
|
(32)
|
|
|
28
|
|
30+ day delinquency
rate
|
|
2.92
|
|
|
3.27
|
|
|
3.04
|
|
|
2.79
|
|
|
2.64
|
|
|
(35)
|
|
|
28
|
|
Capital
Ratios(13)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common equity Tier 1
capital
|
|
10.4
|
%
|
|
10.1
|
%
|
|
10.6
|
%
|
|
10.9
|
%
|
|
11.1
|
%
|
|
30
|
bps
|
|
(70)
|
bps
|
Tier 1
capital
|
|
12.0
|
|
|
11.6
|
|
|
12.0
|
|
|
12.2
|
|
|
12.4
|
|
|
40
|
|
|
(40)
|
|
Total
capital
|
|
14.7
|
|
|
14.3
|
|
|
14.7
|
|
|
14.4
|
|
|
14.6
|
|
|
40
|
|
|
10
|
|
Tier 1
leverage
|
|
9.9
|
|
|
9.9
|
|
|
10.1
|
|
|
10.2
|
|
|
10.2
|
|
|
—
|
|
|
(30)
|
|
Tangible common
equity ("TCE")(14)
|
|
8.5
|
|
|
8.1
|
|
|
8.8
|
|
|
9.0
|
|
|
9.1
|
|
|
40
|
|
|
(60)
|
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 3:
Consolidated Statements of Income
|
|
|
|
Three Months
Ended
|
|
2017 Q1
vs.
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions, except per share data and as noted)
|
|
Q1
|
|
Q4
|
|
Q1
|
|
Q4
|
|
Q1
|
Interest
income:
|
|
|
|
|
|
|
|
|
|
|
Loans, including
loans held for sale
|
|
$
|
5,626
|
|
|
$
|
5,587
|
|
|
$
|
5,085
|
|
|
1
|
%
|
|
11
|
%
|
Investment
securities
|
|
416
|
|
|
393
|
|
|
415
|
|
|
6
|
|
|
—
|
|
Other
|
|
28
|
|
|
29
|
|
|
17
|
|
|
(3)
|
|
|
65
|
|
Total interest
income
|
|
6,070
|
|
|
6,009
|
|
|
5,517
|
|
|
1
|
|
|
10
|
|
Interest
expense:
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
353
|
|
|
332
|
|
|
283
|
|
|
6
|
|
|
25
|
|
Securitized debt
obligations
|
|
69
|
|
|
65
|
|
|
48
|
|
|
6
|
|
|
44
|
|
Senior and
subordinated notes
|
|
149
|
|
|
138
|
|
|
106
|
|
|
8
|
|
|
41
|
|
Other
borrowings
|
|
25
|
|
|
27
|
|
|
24
|
|
|
(7)
|
|
|
4
|
|
Total interest
expense
|
|
596
|
|
|
562
|
|
|
461
|
|
|
6
|
|
|
29
|
|
Net interest
income
|
|
5,474
|
|
|
5,447
|
|
|
5,056
|
|
|
—
|
|
|
8
|
|
Provision for credit
losses
|
|
1,992
|
|
|
1,752
|
|
|
1,527
|
|
|
14
|
|
|
30
|
|
Net interest income
after provision for credit losses
|
|
3,482
|
|
|
3,695
|
|
|
3,529
|
|
|
(6)
|
|
|
(1)
|
|
Non-interest
income:(15)(16)
|
|
|
|
|
|
|
|
|
|
|
Service charges and
other customer-related fees
|
|
371
|
|
|
412
|
|
|
423
|
|
|
(10)
|
|
|
(12)
|
|
Interchange fees,
net
|
|
570
|
|
|
624
|
|
|
604
|
|
|
(9)
|
|
|
(6)
|
|
Net securities gains
(losses)
|
|
—
|
|
|
(4)
|
|
|
(8)
|
|
|
**
|
|
**
|
Other
|
|
120
|
|
|
87
|
|
|
145
|
|
|
38
|
|
|
(17)
|
|
Total non-interest
income
|
|
1,061
|
|
|
1,119
|
|
|
1,164
|
|
|
(5)
|
|
|
(9)
|
|
Non-interest
expense:(15)(16)
|
|
|
|
|
|
|
|
|
|
|
Salaries and
associate benefits
|
|
1,471
|
|
|
1,336
|
|
|
1,270
|
|
|
10
|
|
|
16
|
|
Occupancy and
equipment
|
|
471
|
|
|
522
|
|
|
458
|
|
|
(10)
|
|
|
3
|
|
Marketing
|
|
396
|
|
|
575
|
|
|
428
|
|
|
(31)
|
|
|
(7)
|
|
Professional
services
|
|
247
|
|
|
312
|
|
|
241
|
|
|
(21)
|
|
|
2
|
|
Communications and
data processing
|
|
288
|
|
|
297
|
|
|
280
|
|
|
(3)
|
|
|
3
|
|
Amortization of
intangibles
|
|
62
|
|
|
101
|
|
|
101
|
|
|
(39)
|
|
|
(39)
|
|
Other
|
|
499
|
|
|
536
|
|
|
445
|
|
|
(7)
|
|
|
12
|
|
Total non-interest
expense
|
|
3,434
|
|
|
3,679
|
|
|
3,223
|
|
|
(7)
|
|
|
7
|
|
Income from
continuing operations before income taxes
|
|
1,109
|
|
|
1,135
|
|
|
1,470
|
|
|
(2)
|
|
|
(25)
|
|
Income tax
provision
|
|
314
|
|
|
342
|
|
|
452
|
|
|
(8)
|
|
|
(31)
|
|
Income from
continuing operations, net of tax
|
|
795
|
|
|
793
|
|
|
1,018
|
|
|
—
|
|
|
(22)
|
|
Income (loss) from
discontinued operations, net of tax(2)
|
|
15
|
|
|
(2)
|
|
|
(5)
|
|
|
**
|
|
**
|
Net
income
|
|
810
|
|
|
791
|
|
|
1,013
|
|
|
2
|
|
|
(20)
|
|
Dividends and
undistributed earnings allocated to participating
securities(3)
|
|
(5)
|
|
|
(6)
|
|
|
(6)
|
|
|
(17)
|
|
|
(17)
|
|
Preferred stock
dividends
|
|
(53)
|
|
|
(75)
|
|
|
(37)
|
|
|
(29)
|
|
|
43
|
|
Net income
available to common stockholders
|
|
$
|
752
|
|
|
$
|
710
|
|
|
$
|
970
|
|
|
6
|
|
|
(22)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
2017 Q1
vs.
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions, except per share data and as noted)
|
|
Q1
|
|
Q4
|
|
Q1
|
|
Q4
|
|
Q1
|
Basic earnings per
common share:(3)
|
|
|
|
|
|
|
|
|
|
|
Net income from
continuing operations
|
|
$
|
1.53
|
|
|
$
|
1.47
|
|
|
$
|
1.86
|
|
|
4
|
%
|
|
(18)
|
%
|
Income (loss) from
discontinued operations
|
|
0.03
|
|
|
—
|
|
|
(0.01)
|
|
|
**
|
|
**
|
Net income per basic
common share
|
|
$
|
1.56
|
|
|
$
|
1.47
|
|
|
$
|
1.85
|
|
|
6
|
|
|
(16)
|
|
Diluted earnings
per common share:(3)
|
|
|
|
|
|
|
|
|
|
|
Net income from
continuing operations
|
|
$
|
1.51
|
|
|
$
|
1.45
|
|
|
$
|
1.85
|
|
|
4
|
|
|
(18)
|
|
Income (loss) from
discontinued operations
|
|
0.03
|
|
|
—
|
|
|
(0.01)
|
|
|
**
|
|
**
|
Net income per
diluted common share
|
|
$
|
1.54
|
|
|
$
|
1.45
|
|
|
$
|
1.84
|
|
|
6
|
|
|
(16)
|
|
Weighted-average
common shares outstanding (in millions):
|
|
|
|
|
|
|
|
|
|
|
Basic common
shares
|
|
482.3
|
|
|
483.5
|
|
|
523.5
|
|
|
—
|
|
|
(8)
|
|
Diluted common
shares
|
|
487.9
|
|
|
489.2
|
|
|
528.0
|
|
|
—
|
|
|
(8)
|
|
Dividends paid per
common share
|
|
$
|
0.40
|
|
|
$
|
0.40
|
|
|
$
|
0.40
|
|
|
—
|
|
|
—
|
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 4:
Consolidated Balance Sheets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions)
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q1
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from
banks
|
|
$
|
3,489
|
|
|
$
|
4,185
|
|
|
$
|
3,350
|
|
|
$
|
3,253
|
|
|
$
|
3,241
|
|
|
(17)
|
%
|
|
8
|
%
|
Interest-bearing
deposits and other short-term investments
|
|
5,826
|
|
|
5,791
|
|
|
5,744
|
|
|
3,896
|
|
|
1,994
|
|
|
1
|
|
|
192
|
|
Total cash and cash
equivalents
|
|
9,315
|
|
|
9,976
|
|
|
9,094
|
|
|
7,149
|
|
|
5,235
|
|
|
(7)
|
|
|
78
|
|
Restricted cash for
securitization investors
|
|
486
|
|
|
2,517
|
|
|
287
|
|
|
265
|
|
|
960
|
|
|
(81)
|
|
|
(49)
|
|
Securities available
for sale, at fair value
|
|
41,260
|
|
|
40,737
|
|
|
41,511
|
|
|
39,960
|
|
|
40,092
|
|
|
1
|
|
|
3
|
|
Securities held to
maturity, at carrying value
|
|
26,170
|
|
|
25,712
|
|
|
25,019
|
|
|
25,120
|
|
|
25,080
|
|
|
2
|
|
|
4
|
|
Loans held for
investment:(5)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unsecuritized loans
held for investment
|
|
211,038
|
|
|
213,824
|
|
|
206,763
|
|
|
202,778
|
|
|
195,705
|
|
|
(1)
|
|
|
8
|
|
Loans held in
consolidated trusts
|
|
29,550
|
|
|
31,762
|
|
|
31,256
|
|
|
31,825
|
|
|
31,908
|
|
|
(7)
|
|
|
(7)
|
|
Total loans held for
investment
|
|
240,588
|
|
|
245,586
|
|
|
238,019
|
|
|
234,603
|
|
|
227,613
|
|
|
(2)
|
|
|
6
|
|
Allowance for loan
and lease losses
|
|
(6,984)
|
|
|
(6,503)
|
|
|
(6,258)
|
|
|
(5,881)
|
|
|
(5,416)
|
|
|
7
|
|
|
29
|
|
Net loans held for
investment
|
|
233,604
|
|
|
239,083
|
|
|
231,761
|
|
|
228,722
|
|
|
222,197
|
|
|
(2)
|
|
|
5
|
|
Loans held for sale,
at lower of cost or fair value
|
|
735
|
|
|
1,043
|
|
|
994
|
|
|
1,220
|
|
|
1,251
|
|
|
(30)
|
|
|
(41)
|
|
Premises and
equipment, net
|
|
3,727
|
|
|
3,675
|
|
|
3,561
|
|
|
3,556
|
|
|
3,542
|
|
|
1
|
|
|
5
|
|
Interest
receivable
|
|
1,368
|
|
|
1,351
|
|
|
1,251
|
|
|
1,236
|
|
|
1,221
|
|
|
1
|
|
|
12
|
|
Goodwill
|
|
14,521
|
|
|
14,519
|
|
|
14,493
|
|
|
14,495
|
|
|
14,492
|
|
|
—
|
|
|
—
|
|
Other
assets
|
|
17,363
|
|
|
18,420
|
|
|
17,090
|
|
|
17,394
|
|
|
16,276
|
|
|
(6)
|
|
|
7
|
|
Total
assets
|
|
$
|
348,549
|
|
|
$
|
357,033
|
|
|
$
|
345,061
|
|
|
$
|
339,117
|
|
|
$
|
330,346
|
|
|
(2)
|
|
|
6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions)
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q1
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
payable
|
|
$
|
260
|
|
|
$
|
327
|
|
|
$
|
237
|
|
|
$
|
301
|
|
|
$
|
217
|
|
|
(20)
|
%
|
|
20
|
%
|
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest-bearing
deposits
|
|
26,364
|
|
|
25,502
|
|
|
25,565
|
|
|
25,424
|
|
|
25,182
|
|
|
3
|
|
|
5
|
|
Interest-bearing
deposits
|
|
214,818
|
|
|
211,266
|
|
|
200,416
|
|
|
195,635
|
|
|
196,597
|
|
|
2
|
|
|
9
|
|
Total
deposits
|
|
241,182
|
|
|
236,768
|
|
|
225,981
|
|
|
221,059
|
|
|
221,779
|
|
|
2
|
|
|
9
|
|
Securitized debt
obligations
|
|
18,528
|
|
|
18,826
|
|
|
18,411
|
|
|
16,130
|
|
|
14,913
|
|
|
(2)
|
|
|
24
|
|
Other
debt:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds
purchased and securities loaned or sold under agreements to
repurchase
|
|
1,046
|
|
|
992
|
|
|
1,079
|
|
|
999
|
|
|
917
|
|
|
5
|
|
|
14
|
|
Senior and
subordinated notes
|
|
26,405
|
|
|
23,431
|
|
|
24,001
|
|
|
21,872
|
|
|
21,736
|
|
|
13
|
|
|
21
|
|
Other
borrowings
|
|
2,460
|
|
|
17,211
|
|
|
16,329
|
|
|
20,180
|
|
|
12,931
|
|
|
(86)
|
|
|
(81)
|
|
Total other
debt
|
|
29,911
|
|
|
41,634
|
|
|
41,409
|
|
|
43,051
|
|
|
35,584
|
|
|
(28)
|
|
|
(16)
|
|
Other
liabilities
|
|
10,628
|
|
|
11,964
|
|
|
10,810
|
|
|
10,468
|
|
|
10,146
|
|
|
(11)
|
|
|
5
|
|
Total
liabilities
|
|
300,509
|
|
|
309,519
|
|
|
296,848
|
|
|
291,009
|
|
|
282,639
|
|
|
(3)
|
|
|
6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders' equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred
stock
|
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
—
|
|
|
—
|
|
Common
stock
|
|
7
|
|
|
7
|
|
|
7
|
|
|
7
|
|
|
7
|
|
|
—
|
|
|
—
|
|
Additional paid-in
capital, net
|
|
31,326
|
|
|
31,157
|
|
|
30,439
|
|
|
29,786
|
|
|
29,709
|
|
|
1
|
|
|
5
|
|
Retained
earnings
|
|
30,326
|
|
|
29,766
|
|
|
29,245
|
|
|
28,479
|
|
|
27,808
|
|
|
2
|
|
|
9
|
|
Accumulated other
comprehensive income (loss)
|
|
(934)
|
|
|
(949)
|
|
|
121
|
|
|
241
|
|
|
(41)
|
|
|
(2)
|
|
|
**
|
Treasury stock, at
cost
|
|
(12,685)
|
|
|
(12,467)
|
|
|
(11,599)
|
|
|
(10,405)
|
|
|
(9,776)
|
|
|
2
|
|
|
30
|
|
Total
stockholders' equity
|
|
48,040
|
|
|
47,514
|
|
|
48,213
|
|
|
48,108
|
|
|
47,707
|
|
|
1
|
|
|
1
|
|
Total liabilities
and stockholders' equity
|
|
$
|
348,549
|
|
|
$
|
357,033
|
|
|
$
|
345,061
|
|
|
$
|
339,117
|
|
|
$
|
330,346
|
|
|
(2)
|
|
|
6
|
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 5: Notes to
Financial Summary, Selected Metrics and Consolidated Financial
Statements (Tables 1—4)
|
|
(1)
Total net revenue was reduced by $321 million in both Q1 2017 and
Q4 2016, $289 million in Q3 2016, $244 million in Q2 2016 and $228
million in Q1 2016 for the estimated uncollectible amount of billed
finance
charges and fees and related losses.
|
(2)
The provision (benefit) for mortgage representation and warranty
losses included the following activity:
|
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions)
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
Provision (benefit)
for mortgage representation and warranty losses before income
taxes:
|
|
|
|
|
|
|
|
|
|
|
Recorded in
continuing operations
|
|
$
|
(25)
|
|
|
|
—
|
|
|
|
—
|
|
|
$
|
(1)
|
|
|
$
|
(1)
|
|
Recorded in
discontinued operations
|
|
(67)
|
|
|
$
|
(2)
|
|
|
$
|
18
|
|
|
2
|
|
|
3
|
|
Total provision
(benefit) for mortgage representation and warranty losses before
income taxes
|
|
$
|
(92)
|
|
|
$
|
(2)
|
|
|
$
|
18
|
|
|
$
|
1
|
|
|
$
|
2
|
|
|
The mortgage representation and warranty reserve was $516 million
as of March 31, 2017, $630 million as of December 31, 2016, $632
million as of September 30, 2016, $614 million as of June 30, 2016
and $613
million as of March 31, 2016.
|
(3)
Dividends and undistributed earnings allocated to participating
securities and earnings per share are computed independently for
each period. Accordingly, the sum of each quarterly amount may not
agree to the
year-to-date total. We also provide adjusted diluted earnings per
share, which is a non-GAAP measure. See "Table 15: Calculation of
Regulatory Capital Measures and Reconciliation of Non-GAAP
Measures" for
additional information on our non-GAAP measures.
|
(4)
Tangible book value per common share is a non-GAAP measure
calculated based on tangible common equity divided by common shares
outstanding. See "Table 15: Calculation of Regulatory Capital
Measures and
Reconciliation of Non-GAAP Measures" for additional information on
non-GAAP measures.
|
(5)
Included in loans held for investment are purchased credit-impaired
loans ("PCI loans") recorded at fair value at acquisition and
subsequently accounted for based on estimated cash flows expected
to be collected
over
the life of the loans (under the accounting standard formerly known
as "SOP 03-3," or Accounting Standards Codification 310-30). These
include certain of our consumer and commercial loans that
were
acquired through business combinations. The table below presents
amounts related to PCI loans:
|
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions)
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
PCI loans:
|
|
|
|
|
|
|
|
|
|
|
Period-end unpaid
principal balance
|
|
$
|
14,838
|
|
|
$
|
15,896
|
|
|
$
|
17,011
|
|
|
$
|
18,256
|
|
|
$
|
19,492
|
|
Period-end loans held
for investment
|
|
14,102
|
|
|
15,071
|
|
|
16,149
|
|
|
17,358
|
|
|
18,568
|
|
Average loans held
for investment
|
|
14,433
|
|
|
15,443
|
|
|
16,529
|
|
|
17,783
|
|
|
18,894
|
|
|
(6)
Total net revenue margin is calculated based on annualized total
net revenue for the period divided by average interest-earning
assets for the period.
|
(7)
Net interest margin is calculated based on annualized net interest
income for the period divided by average interest-earning assets
for the period.
|
(8)
Return on average tangible assets is a non-GAAP measure calculated
based on annualized income from continuing operations, net of tax,
for the period divided by average tangible assets for the period.
See "Table
15:
Calculation of Regulatory Capital Measures and Reconciliation of
Non-GAAP Measures" for additional information on non-GAAP
measures.
|
(9)
Return on average common equity is calculated based on annualized
(i) income from continuing operations, net of tax; (ii) less
dividends and undistributed earnings allocated to participating
securities; (iii) less
preferred stock dividends, for the period, divided by average
common equity for the period. Our calculation of return on average
common equity may not be comparable to similarly-titled measures
reported by other
companies.
|
(10) Return
on average tangible common equity ("ROTCE") is a non-GAAP measure
calculated based on annualized (i) income from continuing
operations, net of tax; (ii) less dividends and undistributed
earnings allocated
to
participating securities; (iii) less preferred stock dividends, for
the period, divided by average tangible common equity for the
period. Our calculation of ROTCE may not be comparable to
similarly-titled measures
reported by other companies. See "Table 15: Calculation of
Regulatory Capital Measures and Reconciliation of Non-GAAP
Measures" for additional information on non-GAAP
measures.
|
(11)
Efficiency ratio is calculated based on total non-interest expense
for the period divided by total net revenue for the period. We also
provide an adjusted efficiency ratio, which is a non-GAAP measure.
See "Table 15:
Calculation of Regulatory Capital Measures and Reconciliation of
Non-GAAP Measures" for additional information on our non-GAAP
measures.
|
(12) Net
charge-off rate is calculated based on annualized net charge-offs
for the period divided by average loans held for investment for the
period.
|
(13) Capital
ratios as of the end of Q1 2017 are preliminary and therefore
subject to change. See "Table 15: Calculation of Regulatory Capital
Measures and Reconciliation of Non-GAAP Measures" for information
on the
calculation of each of these ratios.
|
(14) TCE
ratio is a non-GAAP measure calculated based on TCE divided by
tangible assets. See "Table 15: Calculation of Regulatory Capital
Measures and Reconciliation of Non-GAAP Measures" for additional
information
on
non-GAAP measures.
|
(15) We made
certain Non-interest income and Non-interest expense
reclassifications in Q4 2016. The changes were primarily related to
a reclassification of certain consumer and commercial banking
income from Other
to
Service charges and other customer-related fees within Non-interest
income, and a reclassification of certain system processing costs
from Professional services to Communications and data processing
within
Non-interest expense. We have also consolidated the Non-interest
income presentation of Other-than-temporary impairment ("OTTI")
with net realized gains or losses from investment securities into a
new Net
securities gains (losses) line. These reclassifications were made
to better reflect the nature of income earned and expenses
incurred. All prior period amounts presented have been reclassified
to conform to the
current period presentation.
|
(16) The
primary net effects of the reclassifications discussed in footnote
15 above for Q1 2016 compared to previously reported results were
(i) an increase to Service charges and other customer-related fees
of $19
million;
(ii) a decrease to Other non-interest income of $27 million; and
(iii) an increase to Communications and data processing expense of
$37 million, with a corresponding decrease to Professional
services.
|
**
Not meaningful.
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 6: Average
Balances, Net Interest Income and Net Interest
Margin
|
|
|
|
2017
Q1
|
|
2016
Q4
|
|
2016
Q1
|
|
|
Average
Balance
|
|
Interest
Income/Expense(1)
|
|
Yield/Rate(1)
|
|
Average
Balance
|
|
Interest
Income/Expense(1)
|
|
Yield/Rate(1)
|
|
Average
Balance
|
|
Interest
Income/Expense(1)
|
|
Yield/Rate(1)
|
(Dollars in
millions except as noted)
|
|
|
|
|
|
|
|
|
|
Interest-earning
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans, including
loans held for sale
|
|
$
|
242,249
|
|
|
$
|
5,626
|
|
|
9.29
|
%
|
|
$
|
241,110
|
|
|
$
|
5,587
|
|
|
9.27
|
%
|
|
$
|
227,573
|
|
|
$
|
5,085
|
|
|
8.94
|
%
|
Investment
securities
|
|
68,418
|
|
|
416
|
|
|
2.43
|
|
|
67,827
|
|
|
393
|
|
|
2.32
|
|
|
65,156
|
|
|
415
|
|
|
2.55
|
|
Cash equivalents and
other
|
|
7,691
|
|
|
28
|
|
|
1.46
|
|
|
8,916
|
|
|
29
|
|
|
1.30
|
|
|
6,727
|
|
|
17
|
|
|
1.01
|
|
Total
interest-earning assets
|
|
$
|
318,358
|
|
|
$
|
6,070
|
|
|
7.63
|
|
|
$
|
317,853
|
|
|
$
|
6,009
|
|
|
7.56
|
|
|
$
|
299,456
|
|
|
$
|
5,517
|
|
|
7.37
|
|
Interest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
deposits
|
|
$
|
212,973
|
|
|
$
|
353
|
|
|
0.66
|
|
|
$
|
206,464
|
|
|
$
|
332
|
|
|
0.64
|
|
|
$
|
194,125
|
|
|
$
|
283
|
|
|
0.58
|
|
Securitized debt
obligations
|
|
17,176
|
|
|
69
|
|
|
1.61
|
|
|
18,300
|
|
|
65
|
|
|
1.42
|
|
|
15,361
|
|
|
48
|
|
|
1.25
|
|
Senior and
subordinated notes
|
|
24,804
|
|
|
149
|
|
|
2.40
|
|
|
23,605
|
|
|
138
|
|
|
2.34
|
|
|
21,993
|
|
|
106
|
|
|
1.93
|
|
Other borrowings and
liabilities
|
|
12,356
|
|
|
25
|
|
|
0.81
|
|
|
17,654
|
|
|
27
|
|
|
0.61
|
|
|
17,176
|
|
|
24
|
|
|
0.56
|
|
Total
interest-bearing liabilities
|
|
$
|
267,309
|
|
|
$
|
596
|
|
|
0.89
|
|
|
$
|
266,023
|
|
|
$
|
562
|
|
|
0.85
|
|
|
$
|
248,655
|
|
|
$
|
461
|
|
|
0.74
|
|
Net interest
income/spread
|
|
|
|
$
|
5,474
|
|
|
6.74
|
|
|
|
|
$
|
5,447
|
|
|
6.71
|
|
|
|
|
$
|
5,056
|
|
|
6.63
|
|
Impact of
non-interest-bearing funding
|
|
|
|
|
|
0.14
|
|
|
|
|
|
|
0.14
|
|
|
|
|
|
|
0.12
|
|
Net interest
margin
|
|
|
|
|
|
6.88
|
%
|
|
|
|
|
|
6.85
|
%
|
|
|
|
|
|
6.75
|
%
|
|
__________
|
(1)
Interest income and interest expense and the calculation of average
yields on interest-earning assets and average rates on
interest-bearing liabilities include the impact of hedge
accounting.
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 7: Loan
Information and Performance Statistics
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
(Dollars in
millions except as noted)
|
|
2017
Q1
|
|
2016
Q4
|
|
2016
Q3
|
|
2016
Q2
|
|
2016
Q1
|
|
2016
Q4
|
|
2016
Q1
|
Loans Held For
Investment (Period-End)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Credit
card:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
credit card
|
|
$
|
91,092
|
|
|
$
|
97,120
|
|
|
$
|
90,955
|
|
|
$
|
88,581
|
|
|
$
|
84,561
|
|
|
(6)
|
%
|
|
8
|
%
|
International card businesses
|
|
8,121
|
|
|
8,432
|
|
|
8,246
|
|
|
8,323
|
|
|
8,138
|
|
|
(4)
|
|
|
—
|
|
Total credit
card
|
|
99,213
|
|
|
105,552
|
|
|
99,201
|
|
|
96,904
|
|
|
92,699
|
|
|
(6)
|
|
|
7
|
|
Consumer
banking:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Auto
|
|
49,771
|
|
|
47,916
|
|
|
46,311
|
|
|
44,502
|
|
|
42,714
|
|
|
4
|
|
|
17
|
|
Home
loan
|
|
20,738
|
|
|
21,584
|
|
|
22,448
|
|
|
23,358
|
|
|
24,343
|
|
|
(4)
|
|
|
(15)
|
|
Retail
banking
|
|
3,473
|
|
|
3,554
|
|
|
3,526
|
|
|
3,555
|
|
|
3,534
|
|
|
(2)
|
|
|
(2)
|
|
Total consumer
banking
|
|
73,982
|
|
|
73,054
|
|
|
72,285
|
|
|
71,415
|
|
|
70,591
|
|
|
1
|
|
|
5
|
|
Commercial
banking:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and multifamily real estate
|
|
27,218
|
|
|
26,609
|
|
|
26,507
|
|
|
26,341
|
|
|
25,559
|
|
|
2
|
|
|
6
|
|
Commercial and industrial
|
|
39,638
|
|
|
39,824
|
|
|
39,432
|
|
|
39,313
|
|
|
38,102
|
|
|
—
|
|
|
4
|
|
Total commercial
lending
|
|
66,856
|
|
|
66,433
|
|
|
65,939
|
|
|
65,654
|
|
|
63,661
|
|
|
1
|
|
|
5
|
|
Small-ticket commercial real estate
|
|
464
|
|
|
483
|
|
|
518
|
|
|
548
|
|
|
580
|
|
|
(4)
|
|
|
(20)
|
|
Total commercial
banking
|
|
67,320
|
|
|
66,916
|
|
|
66,457
|
|
|
66,202
|
|
|
64,241
|
|
|
1
|
|
|
5
|
|
Other
loans
|
|
73
|
|
|
64
|
|
|
76
|
|
|
82
|
|
|
82
|
|
|
14
|
|
|
(11)
|
|
Total loans held for
investment
|
|
$
|
240,588
|
|
|
$
|
245,586
|
|
|
$
|
238,019
|
|
|
$
|
234,603
|
|
|
$
|
227,613
|
|
|
(2)
|
|
|
6
|
|
Loans Held For
Investment (Average)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Credit
card:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
credit card
|
|
$
|
93,034
|
|
|
$
|
92,623
|
|
|
$
|
89,763
|
|
|
$
|
85,981
|
|
|
$
|
85,148
|
|
|
—
|
|
|
9
|
%
|
International card businesses
|
|
8,135
|
|
|
8,168
|
|
|
8,253
|
|
|
8,401
|
|
|
7,839
|
|
|
—
|
|
|
4
|
|
Total credit
card
|
|
101,169
|
|
|
100,791
|
|
|
98,016
|
|
|
94,382
|
|
|
92,987
|
|
|
—
|
|
|
9
|
|
Consumer
banking:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Auto
|
|
48,673
|
|
|
47,126
|
|
|
45,355
|
|
|
43,605
|
|
|
41,962
|
|
|
3
|
%
|
|
16
|
|
Home
loan
|
|
21,149
|
|
|
21,984
|
|
|
22,852
|
|
|
23,835
|
|
|
24,781
|
|
|
(4)
|
|
|
(15)
|
|
Retail
banking
|
|
3,509
|
|
|
3,549
|
|
|
3,520
|
|
|
3,548
|
|
|
3,553
|
|
|
(1)
|
|
|
(1)
|
|
Total consumer
banking
|
|
73,331
|
|
|
72,659
|
|
|
71,727
|
|
|
70,988
|
|
|
70,296
|
|
|
1
|
|
|
4
|
|
Commercial
banking:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and multifamily real estate
|
|
26,587
|
|
|
26,445
|
|
|
26,154
|
|
|
25,661
|
|
|
25,015
|
|
|
1
|
|
|
6
|
|
Commercial and industrial
|
|
39,877
|
|
|
39,573
|
|
|
39,346
|
|
|
38,713
|
|
|
37,762
|
|
|
1
|
|
|
6
|
|
Total commercial
lending
|
|
66,464
|
|
|
66,018
|
|
|
65,500
|
|
|
64,374
|
|
|
62,777
|
|
|
1
|
|
|
6
|
|
Small-ticket commercial real estate
|
|
474
|
|
|
497
|
|
|
534
|
|
|
564
|
|
|
598
|
|
|
(5)
|
|
|
(21)
|
|
Total commercial
banking
|
|
66,938
|
|
|
66,515
|
|
|
66,034
|
|
|
64,938
|
|
|
63,375
|
|
|
1
|
|
|
6
|
|
Other
loans
|
|
67
|
|
|
62
|
|
|
66
|
|
|
71
|
|
|
78
|
|
|
8
|
|
|
(14)
|
|
Total average loans
held for investment
|
|
$
|
241,505
|
|
|
$
|
240,027
|
|
|
$
|
235,843
|
|
|
$
|
230,379
|
|
|
$
|
226,736
|
|
|
1
|
|
|
7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
|
|
2017
Q1
|
|
2016
Q4
|
|
2016
Q3
|
|
2016
Q2
|
|
2016
Q1
|
|
2016
Q4
|
|
2016
Q1
|
Net Charge-Off
(Recovery) Rates
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Credit
card:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
credit card
|
|
|
5.14
|
%
|
|
|
4.66
|
%
|
|
|
3.74
|
%
|
|
|
4.07
|
%
|
|
|
4.16
|
%
|
|
48
|
bps
|
|
98
|
bps
|
International card businesses
|
|
|
3.69
|
|
|
|
3.35
|
|
|
|
3.18
|
|
|
|
3.54
|
|
|
|
3.24
|
|
|
34
|
|
|
45
|
|
Total credit
card
|
|
|
5.02
|
|
|
|
4.56
|
|
|
|
3.70
|
|
|
|
4.02
|
|
|
|
4.09
|
|
|
46
|
|
|
93
|
|
Consumer
banking:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Auto
|
|
|
1.64
|
|
|
|
2.07
|
|
|
|
1.85
|
|
|
|
1.20
|
|
|
|
1.60
|
|
|
(43)
|
|
|
4
|
|
Home
loan
|
|
|
0.03
|
|
|
|
0.08
|
|
|
|
0.03
|
|
|
|
0.09
|
|
|
|
0.05
|
|
|
(5)
|
|
|
(2)
|
|
Retail
banking
|
|
|
1.92
|
|
|
|
1.73
|
|
|
|
1.75
|
|
|
|
1.26
|
|
|
|
1.36
|
|
|
19
|
|
|
56
|
|
Total consumer
banking
|
|
|
1.19
|
|
|
|
1.45
|
|
|
|
1.26
|
|
|
|
0.83
|
|
|
|
1.04
|
|
|
(26)
|
|
|
15
|
|
Commercial
banking:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and multifamily real estate
|
|
|
—
|
|
|
|
(0.02)
|
|
|
|
0.01
|
|
|
|
(0.02)
|
|
|
|
(0.01)
|
|
|
**
|
|
**
|
Commercial and industrial
|
|
|
0.22
|
|
|
|
0.80
|
|
|
|
1.09
|
|
|
|
0.62
|
|
|
|
0.49
|
|
|
(58)
|
|
|
(27)
|
|
Total commercial
lending
|
|
|
0.13
|
|
|
|
0.47
|
|
|
|
0.66
|
|
|
|
0.37
|
|
|
|
0.29
|
|
|
(34)
|
|
|
(16)
|
|
Small-ticket commercial real estate
|
|
|
1.05
|
|
|
|
(0.02)
|
|
|
|
0.74
|
|
|
|
0.33
|
|
|
|
0.13
|
|
|
**
|
|
92
|
|
Total commercial
banking
|
|
|
0.14
|
|
|
|
0.47
|
|
|
|
0.66
|
|
|
|
0.37
|
|
|
|
0.29
|
|
|
(33)
|
|
|
(15)
|
|
Total net
charge-offs
|
|
|
2.50
|
|
|
|
2.48
|
|
|
|
2.10
|
|
|
|
2.01
|
|
|
|
2.08
|
|
|
2
|
|
|
42
|
|
30+ Day Performing
Delinquency Rates
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Credit
card:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Domestic
credit card
|
|
|
3.71
|
%
|
|
|
3.95
|
%
|
|
|
3.68
|
%
|
|
|
3.14
|
%
|
|
|
3.09
|
%
|
|
(24)
|
bps
|
|
62
|
bps
|
International card businesses
|
|
|
3.39
|
|
|
|
3.36
|
|
|
|
3.33
|
|
|
|
3.24
|
|
|
|
3.32
|
|
|
3
|
|
|
7
|
|
Total credit
card
|
|
|
3.68
|
|
|
|
3.91
|
|
|
|
3.65
|
|
|
|
3.15
|
|
|
|
3.11
|
|
|
(23)
|
|
|
57
|
|
Consumer
banking:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Auto
|
|
|
5.03
|
|
|
|
6.12
|
|
|
|
5.67
|
|
|
|
5.59
|
|
|
|
5.14
|
|
|
(109)
|
|
|
(11)
|
|
Home
loan
|
|
|
0.15
|
|
|
|
0.20
|
|
|
|
0.19
|
|
|
|
0.14
|
|
|
|
0.14
|
|
|
(5)
|
|
|
1
|
|
Retail
banking
|
|
|
0.59
|
|
|
|
0.70
|
|
|
|
0.59
|
|
|
|
0.62
|
|
|
|
0.61
|
|
|
(11)
|
|
|
(2)
|
|
Total consumer
banking
|
|
|
3.45
|
|
|
|
4.10
|
|
|
|
3.72
|
|
|
|
3.56
|
|
|
|
3.19
|
|
|
(65)
|
|
|
26
|
|
Nonperforming
Loans and Nonperforming Assets
Rates(1)(2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Credit
card:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
International card businesses
|
|
|
0.47
|
%
|
|
|
0.50
|
%
|
|
|
0.53
|
%
|
|
|
0.53
|
%
|
|
|
0.59
|
%
|
|
(3)
|
bps
|
|
(12)
|
bps
|
Total credit
card
|
|
|
0.04
|
|
|
|
0.04
|
|
|
|
0.04
|
|
|
|
0.05
|
|
|
|
0.05
|
|
|
—
|
|
|
(1)
|
|
Consumer
banking:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Auto
|
|
|
0.36
|
|
|
|
0.47
|
|
|
|
0.43
|
|
|
|
0.38
|
|
|
|
0.31
|
|
|
(11)
|
|
|
5
|
|
Home
loan
|
|
|
1.27
|
|
|
|
1.26
|
|
|
|
1.23
|
|
|
|
1.24
|
|
|
|
1.26
|
|
|
1
|
|
|
1
|
|
Retail
banking
|
|
|
0.82
|
|
|
|
0.86
|
|
|
|
1.05
|
|
|
|
0.89
|
|
|
|
0.83
|
|
|
(4)
|
|
|
(1)
|
|
Total consumer
banking
|
|
|
0.64
|
|
|
|
0.72
|
|
|
|
0.71
|
|
|
|
0.69
|
|
|
|
0.66
|
|
|
(8)
|
|
|
(2)
|
|
Commercial
banking:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and multifamily real estate
|
|
|
0.13
|
|
|
|
0.11
|
|
|
|
0.08
|
|
|
|
0.10
|
|
|
|
0.12
|
|
|
2
|
|
|
1
|
|
Commercial and industrial
|
|
|
2.02
|
|
|
|
2.48
|
|
|
|
2.44
|
|
|
|
2.58
|
|
|
|
2.66
|
|
|
(46)
|
|
|
(64)
|
|
Total commercial
lending
|
|
|
1.25
|
|
|
|
1.53
|
|
|
|
1.49
|
|
|
|
1.59
|
|
|
|
1.64
|
|
|
(28)
|
|
|
(39)
|
|
Small-ticket commercial real estate
|
|
|
1.65
|
|
|
|
0.85
|
|
|
|
2.13
|
|
|
|
1.59
|
|
|
|
1.11
|
|
|
80
|
|
|
54
|
|
Total commercial
banking
|
|
|
1.25
|
|
|
|
1.53
|
|
|
|
1.50
|
|
|
|
1.59
|
|
|
|
1.63
|
|
|
(28)
|
|
|
(38)
|
|
Total nonperforming
loans
|
|
|
0.57
|
|
|
|
0.65
|
|
|
|
0.66
|
|
|
|
0.68
|
|
|
|
0.69
|
|
|
(8)
|
|
|
(12)
|
|
Total nonperforming
assets
|
|
|
0.66
|
|
|
|
0.76
|
|
|
|
0.77
|
|
|
|
0.80
|
|
|
|
0.83
|
|
|
(10)
|
|
|
(17)
|
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 8: Allowance
for Loan and Lease Losses and Reserve for Unfunded Lending
Commitments Activity
|
|
|
|
Three Months Ended
March 31, 2017
|
|
|
Credit
Card
|
|
Consumer
Banking
|
|
|
|
|
|
|
(Dollars in
millions)
|
|
Domestic
Card
|
|
International Card
Businesses
|
|
Total Credit
Card
|
|
Auto
|
|
Home
Loan
|
|
Retail
Banking
|
|
Total
Consumer Banking
|
|
Commercial
Banking
|
|
Other(3)
|
|
Total
|
Allowance for loan
and lease losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance as of
December 31, 2016
|
|
$
|
4,229
|
|
|
$
|
377
|
|
|
$
|
4,606
|
|
|
$
|
957
|
|
|
$
|
65
|
|
|
$
|
80
|
|
|
$
|
1,102
|
|
|
$
|
793
|
|
|
$
|
2
|
|
|
$
|
6,503
|
|
Charge-offs
|
|
(1,484)
|
|
|
(117)
|
|
|
(1,601)
|
|
|
(339)
|
|
|
(4)
|
|
|
(21)
|
|
|
(364)
|
|
|
(26)
|
|
|
—
|
|
|
(1,991)
|
|
Recoveries
|
|
288
|
|
|
42
|
|
|
330
|
|
|
140
|
|
|
2
|
|
|
4
|
|
|
146
|
|
|
3
|
|
|
2
|
|
|
481
|
|
Net
charge-offs
|
|
(1,196)
|
|
|
(75)
|
|
|
(1,271)
|
|
|
(199)
|
|
|
(2)
|
|
|
(17)
|
|
|
(218)
|
|
|
(23)
|
|
|
2
|
|
|
(1,510)
|
|
Provision (benefit)
for loan and lease losses
|
|
1,637
|
|
|
80
|
|
|
1,717
|
|
|
270
|
|
|
(3)
|
|
|
12
|
|
|
279
|
|
|
(6)
|
|
|
(2)
|
|
|
1,988
|
|
Allowance build
(release) for loan and lease losses
|
|
441
|
|
|
5
|
|
|
446
|
|
|
71
|
|
|
(5)
|
|
|
(5)
|
|
|
61
|
|
|
(29)
|
|
|
—
|
|
|
478
|
|
Other
changes(4)
|
|
—
|
|
|
6
|
|
|
6
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(3)
|
|
|
—
|
|
|
3
|
|
Balance as of March
31, 2017
|
|
4,670
|
|
|
388
|
|
|
5,058
|
|
|
1,028
|
|
|
60
|
|
|
75
|
|
|
1,163
|
|
|
761
|
|
|
2
|
|
|
6,984
|
|
Reserve for
unfunded lending commitments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance as of
December 31, 2016
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
7
|
|
|
7
|
|
|
129
|
|
|
—
|
|
|
136
|
|
Provision for losses
on unfunded lending commitments
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4
|
|
|
—
|
|
|
4
|
|
Balance as of March
31, 2017
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
7
|
|
|
7
|
|
|
133
|
|
|
—
|
|
|
140
|
|
Combined allowance
and reserve as of March 31, 2017
|
|
$
|
4,670
|
|
|
$
|
388
|
|
|
$
|
5,058
|
|
|
$
|
1,028
|
|
|
$
|
60
|
|
|
$
|
82
|
|
|
$
|
1,170
|
|
|
$
|
894
|
|
|
$
|
2
|
|
|
$
|
7,124
|
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 9: Financial
Summary—Business Segment Results
|
|
|
|
Three Months Ended
March 31, 2017
|
|
(Dollars in
millions)
|
|
Credit
Card
|
|
Consumer
Banking
|
|
Commercial
Banking
|
|
Other
|
|
Total
|
|
Net interest
income
|
|
$
|
3,346
|
|
|
$
|
1,517
|
|
|
$
|
566
|
|
|
$
|
45
|
|
|
$
|
5,474
|
|
|
Non-interest
income
|
|
738
|
|
|
195
|
|
|
158
|
|
|
(30)
|
|
|
1,061
|
|
|
Total net
revenue(5)
|
|
4,084
|
|
|
1,712
|
|
|
724
|
|
|
15
|
|
|
6,535
|
|
|
Provision (benefit)
for credit losses
|
|
1,717
|
|
|
279
|
|
|
(2)
|
|
|
(2)
|
|
|
1,992
|
|
|
Non-interest
expense
|
|
1,929
|
|
|
1,042
|
|
|
391
|
|
|
72
|
|
|
3,434
|
|
|
Income (loss) from
continuing operations before income taxes
|
|
438
|
|
|
391
|
|
|
335
|
|
|
(55)
|
|
|
1,109
|
|
|
Income tax provision
(benefit)
|
|
167
|
|
|
143
|
|
|
122
|
|
|
(118)
|
|
|
314
|
|
|
Income from
continuing operations, net of tax
|
|
$
|
271
|
|
|
$
|
248
|
|
|
$
|
213
|
|
|
$
|
63
|
|
|
$
|
795
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31, 2016
|
|
(Dollars in
millions)
|
|
Credit
Card
|
|
Consumer
Banking
|
|
Commercial
Banking
|
|
Other
|
|
Total
|
|
Net interest
income
|
|
$
|
3,353
|
|
|
$
|
1,498
|
|
|
$
|
565
|
|
|
$
|
31
|
|
|
$
|
5,447
|
|
|
Non-interest
income
|
|
849
|
|
|
166
|
|
|
175
|
|
|
(71)
|
|
|
1,119
|
|
|
Total net
revenue(5)
|
|
4,202
|
|
|
1,664
|
|
|
740
|
|
|
(40)
|
|
|
6,566
|
|
|
Provision (benefit)
for credit losses
|
|
1,322
|
|
|
365
|
|
|
66
|
|
|
(1)
|
|
|
1,752
|
|
|
Non-interest
expense
|
|
2,073
|
|
|
1,109
|
|
|
393
|
|
|
104
|
|
|
3,679
|
|
|
Income (loss) from
continuing operations before income taxes
|
|
807
|
|
|
190
|
|
|
281
|
|
|
(143)
|
|
|
1,135
|
|
|
Income tax provision
(benefit)
|
|
295
|
|
|
70
|
|
|
102
|
|
|
(125)
|
|
|
342
|
|
|
Income (loss) from
continuing operations, net of tax
|
|
$
|
512
|
|
|
$
|
120
|
|
|
$
|
179
|
|
|
$
|
(18)
|
|
|
$
|
793
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31, 2016
|
|
(Dollars in
millions)
|
|
Credit
Card
|
|
Consumer
Banking
|
|
Commercial
Banking
|
|
Other
|
|
Total
|
|
Net interest
income
|
|
$
|
3,033
|
|
|
$
|
1,420
|
|
|
$
|
537
|
|
|
$
|
66
|
|
|
$
|
5,056
|
|
|
Non-interest
income
|
|
847
|
|
|
191
|
|
|
118
|
|
|
8
|
|
|
1,164
|
|
|
Total net
revenue(5)
|
|
3,880
|
|
|
1,611
|
|
|
655
|
|
|
74
|
|
|
6,220
|
|
|
Provision (benefit)
for credit losses
|
|
1,071
|
|
|
230
|
|
|
228
|
|
|
(2)
|
|
|
1,527
|
|
|
Non-interest
expense
|
|
1,863
|
|
|
990
|
|
|
322
|
|
|
48
|
|
|
3,223
|
|
|
Income from
continuing operations before income taxes
|
|
946
|
|
|
391
|
|
|
105
|
|
|
28
|
|
|
1,470
|
|
|
Income tax provision
(benefit)
|
|
337
|
|
|
142
|
|
|
38
|
|
|
(65)
|
|
|
452
|
|
|
Income from
continuing operations, net of tax
|
|
$
|
609
|
|
|
$
|
249
|
|
|
$
|
67
|
|
|
$
|
93
|
|
|
$
|
1,018
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 10:
Financial & Statistical Summary—Credit Card
Business
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions, except as noted)
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q1
|
Credit
Card
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$
|
3,346
|
|
|
$
|
3,353
|
|
|
$
|
3,204
|
|
|
$
|
3,045
|
|
|
$
|
3,033
|
|
|
—
|
|
|
10
|
%
|
Non-interest
income
|
|
738
|
|
|
849
|
|
|
825
|
|
|
859
|
|
|
847
|
|
|
(13)
|
%
|
|
(13)
|
|
Total net
revenue
|
|
4,084
|
|
|
4,202
|
|
|
4,029
|
|
|
3,904
|
|
|
3,880
|
|
|
(3)
|
|
|
5
|
|
Provision for credit
losses
|
|
1,717
|
|
|
1,322
|
|
|
1,272
|
|
|
1,261
|
|
|
1,071
|
|
|
30
|
|
|
60
|
|
Non-interest
expense
|
|
1,929
|
|
|
2,073
|
|
|
1,884
|
|
|
1,883
|
|
|
1,863
|
|
|
(7)
|
|
|
4
|
|
Income from
continuing operations before income taxes
|
|
438
|
|
|
807
|
|
|
873
|
|
|
760
|
|
|
946
|
|
|
(46)
|
|
|
(54)
|
|
Income tax
provision
|
|
167
|
|
|
295
|
|
|
318
|
|
|
276
|
|
|
337
|
|
|
(43)
|
|
|
(50)
|
|
Income from
continuing operations, net of tax
|
|
$
|
271
|
|
|
$
|
512
|
|
|
$
|
555
|
|
|
$
|
484
|
|
|
$
|
609
|
|
|
(47)
|
|
|
(56)
|
|
Selected
performance metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period-end loans held
for investment
|
|
$
|
99,213
|
|
|
$
|
105,552
|
|
|
$
|
99,201
|
|
|
$
|
96,904
|
|
|
$
|
92,699
|
|
|
(6)
|
|
|
7
|
|
Average loans held
for investment
|
|
101,169
|
|
|
100,791
|
|
|
98,016
|
|
|
94,382
|
|
|
92,987
|
|
|
—
|
|
|
9
|
|
Average yield on
loans held for investment(6)
|
|
14.99
|
%
|
|
14.93
|
%
|
|
14.68
|
%
|
|
14.49
|
%
|
|
14.60
|
%
|
|
6
|
bps
|
|
39
|
bps
|
Total net revenue
margin(7)
|
|
16.14
|
|
|
16.68
|
|
|
16.44
|
|
|
16.55
|
|
|
16.69
|
|
|
(54)
|
|
|
(55)
|
|
Net charge-off
rate
|
|
5.02
|
|
|
4.56
|
|
|
3.70
|
|
|
4.02
|
|
|
4.09
|
|
|
46
|
|
|
93
|
|
30+ day performing
delinquency rate
|
|
3.68
|
|
|
3.91
|
|
|
3.65
|
|
|
3.15
|
|
|
3.11
|
|
|
(23)
|
|
|
57
|
|
30+ day delinquency
rate
|
|
3.71
|
|
|
3.94
|
|
|
3.69
|
|
|
3.18
|
|
|
3.15
|
|
|
(23)
|
|
|
56
|
|
Nonperforming loan
rate(1)
|
|
0.04
|
|
|
0.04
|
|
|
0.04
|
|
|
0.05
|
|
|
0.05
|
|
|
—
|
|
|
(1)
|
|
PCCR intangible
amortization
|
|
$
|
44
|
|
|
$
|
58
|
|
|
$
|
62
|
|
|
$
|
67
|
|
|
$
|
70
|
|
|
(24)
|
%
|
|
(37)
|
%
|
Purchase
volume(8)
|
|
73,197
|
|
|
82,824
|
|
|
78,106
|
|
|
78,019
|
|
|
68,189
|
|
|
(12)
|
|
|
7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions, except as noted)
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q1
|
Domestic
Card
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$
|
3,093
|
|
|
$
|
3,090
|
|
|
$
|
2,956
|
|
|
$
|
2,769
|
|
|
$
|
2,756
|
|
|
—
|
|
|
12
|
%
|
Non-interest
income
|
|
699
|
|
|
791
|
|
|
759
|
|
|
792
|
|
|
774
|
|
|
(12)
|
%
|
|
(10)
|
|
Total net
revenue
|
|
3,792
|
|
|
3,881
|
|
|
3,715
|
|
|
3,561
|
|
|
3,530
|
|
|
(2)
|
|
|
7
|
|
Provision for credit
losses
|
|
1,637
|
|
|
1,229
|
|
|
1,190
|
|
|
1,164
|
|
|
972
|
|
|
33
|
|
|
68
|
|
Non-interest
expense
|
|
1,717
|
|
|
1,859
|
|
|
1,696
|
|
|
1,669
|
|
|
1,671
|
|
|
(8)
|
|
|
3
|
|
Income from
continuing operations before income taxes
|
|
438
|
|
|
793
|
|
|
829
|
|
|
728
|
|
|
887
|
|
|
(45)
|
|
|
(51)
|
|
Income tax
provision
|
|
160
|
|
|
288
|
|
|
302
|
|
|
265
|
|
|
323
|
|
|
(44)
|
|
|
(50)
|
|
Income from
continuing operations, net of tax
|
|
$
|
278
|
|
|
$
|
505
|
|
|
$
|
527
|
|
|
$
|
463
|
|
|
$
|
564
|
|
|
(45)
|
|
|
(51)
|
|
Selected
performance metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period-end loans held
for investment
|
|
$
|
91,092
|
|
|
$
|
97,120
|
|
|
$
|
90,955
|
|
|
$
|
88,581
|
|
|
$
|
84,561
|
|
|
(6)
|
|
|
8
|
|
Average loans held
for investment
|
|
93,034
|
|
|
92,623
|
|
|
89,763
|
|
|
85,981
|
|
|
85,148
|
|
|
—
|
|
|
9
|
|
Average yield on
loans held for investment(6)
|
|
15.01
|
%
|
|
14.91
|
%
|
|
14.71
|
%
|
|
14.40
|
%
|
|
14.43
|
%
|
|
10
|
bps
|
|
58
|
bps
|
Total net revenue
margin(7)
|
|
16.30
|
|
|
16.76
|
|
|
16.55
|
|
|
16.57
|
|
|
16.58
|
|
|
(46)
|
|
|
(28)
|
|
Net charge-off
rate
|
|
5.14
|
|
|
4.66
|
|
|
3.74
|
|
|
4.07
|
|
|
4.16
|
|
|
48
|
|
|
98
|
|
30+ day delinquency
rate
|
|
3.71
|
|
|
3.95
|
|
|
3.68
|
|
|
3.14
|
|
|
3.09
|
|
|
(24)
|
|
|
62
|
|
Purchase
volume(8)
|
|
$
|
66,950
|
|
|
$
|
75,639
|
|
|
$
|
71,331
|
|
|
$
|
71,050
|
|
|
$
|
62,617
|
|
|
(11)
|
%
|
|
7
|
%
|
Refreshed FICO
scores:(9)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Greater than
660
|
|
63
|
%
|
|
64
|
%
|
|
64
|
%
|
|
65
|
%
|
|
65
|
%
|
|
(1)
|
|
|
(2)
|
|
660 or
below
|
|
37
|
|
|
36
|
|
|
36
|
|
|
35
|
|
|
35
|
|
|
1
|
|
|
2
|
|
Total
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 11:
Financial & Statistical Summary—Consumer Banking
Business
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions, except as noted)
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q1
|
Consumer
Banking
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$
|
1,517
|
|
|
$
|
1,498
|
|
|
$
|
1,472
|
|
|
$
|
1,439
|
|
|
$
|
1,420
|
|
|
1
|
%
|
|
7
|
%
|
Non-interest
income
|
|
195
|
|
|
166
|
|
|
201
|
|
|
175
|
|
|
191
|
|
|
17
|
|
|
2
|
|
Total net
revenue
|
|
1,712
|
|
|
1,664
|
|
|
1,673
|
|
|
1,614
|
|
|
1,611
|
|
|
3
|
|
|
6
|
|
Provision for credit
losses
|
|
279
|
|
|
365
|
|
|
256
|
|
|
204
|
|
|
230
|
|
|
(24)
|
|
|
21
|
|
Non-interest
expense
|
|
1,042
|
|
|
1,109
|
|
|
1,034
|
|
|
1,006
|
|
|
990
|
|
|
(6)
|
|
|
5
|
|
Income from
continuing operations before income taxes
|
|
391
|
|
|
190
|
|
|
383
|
|
|
404
|
|
|
391
|
|
|
106
|
|
|
—
|
|
Income tax
provision
|
|
143
|
|
|
70
|
|
|
139
|
|
|
147
|
|
|
142
|
|
|
104
|
|
|
1
|
|
Income from
continuing operations, net of tax
|
|
$
|
248
|
|
|
$
|
120
|
|
|
$
|
244
|
|
|
$
|
257
|
|
|
$
|
249
|
|
|
107
|
|
|
—
|
|
Selected
performance metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period-end loans held
for investment
|
|
$
|
73,982
|
|
|
$
|
73,054
|
|
|
$
|
72,285
|
|
|
$
|
71,415
|
|
|
$
|
70,591
|
|
|
1
|
|
|
5
|
|
Average loans held
for investment
|
|
73,331
|
|
|
72,659
|
|
|
71,727
|
|
|
70,988
|
|
|
70,296
|
|
|
1
|
|
|
4
|
|
Average yield on
loans held for investment(6)
|
|
6.48
|
%
|
|
6.50
|
%
|
|
6.41
|
%
|
|
6.28
|
%
|
|
6.18
|
%
|
|
(2)
|
bps
|
|
30
|
bps
|
Auto loan
originations
|
|
$
|
7,025
|
|
|
$
|
6,542
|
|
|
$
|
6,804
|
|
|
$
|
6,529
|
|
|
$
|
5,844
|
|
|
7
|
%
|
|
20
|
%
|
Period-end
deposits
|
|
188,216
|
|
|
181,917
|
|
|
178,793
|
|
|
176,340
|
|
|
177,803
|
|
|
3
|
|
|
6
|
|
Average
deposits
|
|
183,936
|
|
|
180,019
|
|
|
177,402
|
|
|
176,808
|
|
|
174,254
|
|
|
2
|
|
|
6
|
|
Average deposits
interest rate
|
|
0.57
|
%
|
|
0.57
|
%
|
|
0.56
|
%
|
|
0.55
|
%
|
|
0.54
|
%
|
|
—
|
|
|
3
|
bps
|
Net charge-off
rate
|
|
1.19
|
|
|
1.45
|
|
|
1.26
|
|
|
0.83
|
|
|
1.04
|
|
|
(26)
|
bps
|
|
15
|
|
30+ day performing
delinquency rate
|
|
3.45
|
|
|
4.10
|
|
|
3.72
|
|
|
3.56
|
|
|
3.19
|
|
|
(65)
|
|
|
26
|
|
30+ day delinquency
rate
|
|
3.93
|
|
|
4.67
|
|
|
4.26
|
|
|
4.07
|
|
|
3.67
|
|
|
(74)
|
|
|
26
|
|
Nonperforming loan
rate(1)
|
|
0.64
|
|
|
0.72
|
|
|
0.71
|
|
|
0.69
|
|
|
0.66
|
|
|
(8)
|
|
|
(2)
|
|
Nonperforming asset
rate(2)
|
|
0.92
|
|
|
1.09
|
|
|
0.98
|
|
|
0.96
|
|
|
0.95
|
|
|
(17)
|
|
|
(3)
|
|
Auto—At
origination FICO scores:(10)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Greater than
660
|
|
51
|
%
|
|
52
|
%
|
|
51
|
%
|
|
51
|
%
|
|
51
|
%
|
|
(1)
|
%
|
|
—
|
|
621 - 660
|
|
18
|
|
|
17
|
|
|
17
|
|
|
17
|
|
|
17
|
|
|
1
|
|
|
1
|
%
|
620 or
below
|
|
31
|
|
|
31
|
|
|
32
|
|
|
32
|
|
|
32
|
|
|
—
|
|
|
(1)
|
|
Total
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
|
|
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 12:
Financial & Statistical Summary—Commercial Banking
Business
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions, except as noted)
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q1
|
Commercial
Banking
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$
|
566
|
|
|
$
|
565
|
|
|
$
|
555
|
|
|
$
|
559
|
|
|
$
|
537
|
|
|
—
|
|
|
5
|
%
|
Non-interest
income
|
|
158
|
|
|
175
|
|
|
156
|
|
|
129
|
|
|
118
|
|
|
(10)
|
%
|
|
34
|
|
Total net
revenue(5)
|
|
724
|
|
|
740
|
|
|
711
|
|
|
688
|
|
|
655
|
|
|
(2)
|
|
|
11
|
|
Provision (benefit)
for credit losses
|
|
(2)
|
|
|
66
|
|
|
61
|
|
|
128
|
|
|
228
|
|
|
**
|
|
**
|
Non-interest
expense
|
|
391
|
|
|
393
|
|
|
349
|
|
|
343
|
|
|
322
|
|
|
(1)
|
|
|
21
|
|
Income from
continuing operations before income taxes
|
|
335
|
|
|
281
|
|
|
301
|
|
|
217
|
|
|
105
|
|
|
19
|
|
|
219
|
|
Income tax
provision
|
|
122
|
|
|
102
|
|
|
110
|
|
|
79
|
|
|
38
|
|
|
20
|
|
|
221
|
|
Income from
continuing operations, net of tax
|
|
$
|
213
|
|
|
$
|
179
|
|
|
$
|
191
|
|
|
$
|
138
|
|
|
$
|
67
|
|
|
19
|
|
|
218
|
|
Selected
performance metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period-end loans held
for investment
|
|
$
|
67,320
|
|
|
$
|
66,916
|
|
|
$
|
66,457
|
|
|
$
|
66,202
|
|
|
$
|
64,241
|
|
|
1
|
|
|
5
|
|
Average loans held
for investment
|
|
66,938
|
|
|
66,515
|
|
|
66,034
|
|
|
64,938
|
|
|
63,375
|
|
|
1
|
|
|
6
|
|
Average yield on
loans held for investment(5)(6)
|
|
3.65
|
%
|
|
3.55
|
%
|
|
3.50
|
%
|
|
3.45
|
%
|
|
3.38
|
%
|
|
10
|
bps
|
|
27
|
bps
|
Period-end
deposits
|
|
$
|
33,735
|
|
|
$
|
33,866
|
|
|
$
|
33,611
|
|
|
$
|
34,281
|
|
|
$
|
33,383
|
|
|
—
|
|
|
1
|
%
|
Average
deposits
|
|
34,219
|
|
|
34,029
|
|
|
33,498
|
|
|
33,764
|
|
|
34,076
|
|
|
1
|
%
|
|
—
|
|
Average deposits
interest rate
|
|
0.31
|
%
|
|
0.30
|
%
|
|
0.30
|
%
|
|
0.27
|
%
|
|
0.27
|
%
|
|
1
|
bps
|
|
4
|
bps
|
Net charge-off
rate
|
|
0.14
|
|
|
0.47
|
|
|
0.66
|
|
|
0.37
|
|
|
0.29
|
|
|
(33)
|
|
|
(15)
|
|
Nonperforming loan
rate(1)
|
|
1.25
|
|
|
1.53
|
|
|
1.50
|
|
|
1.59
|
|
|
1.63
|
|
|
(28)
|
|
|
(38)
|
|
Nonperforming asset
rate(2)
|
|
1.27
|
|
|
1.54
|
|
|
1.51
|
|
|
1.60
|
|
|
1.64
|
|
|
(27)
|
|
|
(37)
|
|
Risk
category:(11)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noncriticized
|
|
$
|
63,390
|
|
|
$
|
62,828
|
|
|
$
|
62,336
|
|
|
$
|
61,926
|
|
|
$
|
59,663
|
|
|
1
|
%
|
|
6
|
%
|
Criticized
performing
|
|
2,492
|
|
|
2,453
|
|
|
2,473
|
|
|
2,456
|
|
|
2,595
|
|
|
2
|
|
|
(4)
|
|
Criticized
nonperforming
|
|
844
|
|
|
1,022
|
|
|
994
|
|
|
1,050
|
|
|
1,050
|
|
|
(17)
|
|
|
(20)
|
|
PCI loans
|
|
594
|
|
|
613
|
|
|
654
|
|
|
770
|
|
|
933
|
|
|
(3)
|
|
|
(36)
|
|
Total commercial
loans
|
|
$
|
67,320
|
|
|
$
|
66,916
|
|
|
$
|
66,457
|
|
|
$
|
66,202
|
|
|
$
|
64,241
|
|
|
1
|
|
|
5
|
|
Risk category as a
percentage of period-end loans held for
investment:(11)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noncriticized
|
|
94.2
|
%
|
|
93.9
|
%
|
|
93.8
|
%
|
|
93.5
|
%
|
|
92.9
|
%
|
|
30
|
bps
|
|
130
|
bps
|
Criticized
performing
|
|
3.7
|
|
|
3.7
|
|
|
3.7
|
|
|
3.7
|
|
|
4.0
|
|
|
—
|
|
|
(30)
|
|
Criticized
nonperforming
|
|
1.2
|
|
|
1.5
|
|
|
1.5
|
|
|
1.6
|
|
|
1.6
|
|
|
(30)
|
|
|
(40)
|
|
PCI loans
|
|
0.9
|
|
|
0.9
|
|
|
1.0
|
|
|
1.2
|
|
|
1.5
|
|
|
—
|
|
|
(60)
|
|
Total commercial
loans
|
|
100.0
|
%
|
|
100.0
|
%
|
|
100.0
|
%
|
|
100.0
|
%
|
|
100.0
|
%
|
|
|
|
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 13:
Financial & Statistical Summary—Other and Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017 Q1
vs.
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions)
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q1
|
Other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$
|
45
|
|
|
$
|
31
|
|
|
$
|
46
|
|
|
$
|
50
|
|
|
$
|
66
|
|
|
45
|
%
|
|
(32)
|
%
|
Non-interest
income
|
|
(30)
|
|
|
(71)
|
|
|
2
|
|
|
(2)
|
|
|
8
|
|
|
(58)
|
|
|
**
|
Total net revenue
(loss)(5)
|
|
15
|
|
|
(40)
|
|
|
48
|
|
|
48
|
|
|
74
|
|
|
**
|
|
|
(80)
|
|
Benefit for credit
losses
|
|
(2)
|
|
|
(1)
|
|
|
(1)
|
|
|
(1)
|
|
|
(2)
|
|
|
100
|
|
|
—
|
|
Non-interest
expense
|
|
72
|
|
|
104
|
|
|
94
|
|
|
63
|
|
|
48
|
|
|
(31)
|
|
|
50
|
|
Income (loss) from
continuing operations before income taxes
|
|
(55)
|
|
|
(143)
|
|
|
(45)
|
|
|
(14)
|
|
|
28
|
|
|
(62)
|
|
|
**
|
Income tax
benefit
|
|
(118)
|
|
|
(125)
|
|
|
(71)
|
|
|
(78)
|
|
|
(65)
|
|
|
(6)
|
|
|
82
|
|
Income (loss) from
continuing operations, net of tax
|
|
$
|
63
|
|
|
$
|
(18)
|
|
|
$
|
26
|
|
|
$
|
64
|
|
|
$
|
93
|
|
|
**
|
|
|
(32)
|
|
Selected
performance metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period-end loans held
for investment
|
|
$
|
73
|
|
|
$
|
64
|
|
|
$
|
76
|
|
|
$
|
82
|
|
|
$
|
82
|
|
|
14
|
|
|
(11)
|
|
Average loans held
for investment
|
|
67
|
|
|
62
|
|
|
66
|
|
|
71
|
|
|
78
|
|
|
8
|
|
|
(14)
|
|
Period-end
deposits
|
|
19,231
|
|
|
20,985
|
|
|
13,577
|
|
|
10,438
|
|
|
10,593
|
|
|
(8)
|
|
|
82
|
|
Average
deposits
|
|
20,395
|
|
|
18,156
|
|
|
11,351
|
|
|
10,574
|
|
|
10,850
|
|
|
12
|
|
|
88
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$
|
5,474
|
|
|
$
|
5,447
|
|
|
$
|
5,277
|
|
|
$
|
5,093
|
|
|
$
|
5,056
|
|
|
—
|
|
|
8
|
%
|
Non-interest
income
|
|
1,061
|
|
|
1,119
|
|
|
1,184
|
|
|
1,161
|
|
|
1,164
|
|
|
(5)
|
%
|
|
(9)
|
|
Total net
revenue
|
|
6,535
|
|
|
6,566
|
|
|
6,461
|
|
|
6,254
|
|
|
6,220
|
|
|
—
|
|
|
5
|
|
Provision for credit
losses
|
|
1,992
|
|
|
1,752
|
|
|
1,588
|
|
|
1,592
|
|
|
1,527
|
|
|
14
|
|
|
30
|
|
Non-interest
expense
|
|
3,434
|
|
|
3,679
|
|
|
3,361
|
|
|
3,295
|
|
|
3,223
|
|
|
(7)
|
|
|
7
|
|
Income from
continuing operations before income taxes
|
|
1,109
|
|
|
1,135
|
|
|
1,512
|
|
|
1,367
|
|
|
1,470
|
|
|
(2)
|
|
|
(25)
|
|
Income tax
provision
|
|
314
|
|
|
342
|
|
|
496
|
|
|
424
|
|
|
452
|
|
|
(8)
|
|
|
(31)
|
|
Income from
continuing operations, net of tax
|
|
$
|
795
|
|
|
$
|
793
|
|
|
$
|
1,016
|
|
|
$
|
943
|
|
|
$
|
1,018
|
|
|
—
|
|
|
(22)
|
|
Selected
performance metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period-end loans held
for investment
|
|
$
|
240,588
|
|
|
$
|
245,586
|
|
|
$
|
238,019
|
|
|
$
|
234,603
|
|
|
$
|
227,613
|
|
|
(2)
|
|
|
6
|
|
Average loans held
for investment
|
|
241,505
|
|
|
240,027
|
|
|
235,843
|
|
|
230,379
|
|
|
226,736
|
|
|
1
|
|
|
7
|
|
Period-end
deposits
|
|
241,182
|
|
|
236,768
|
|
|
225,981
|
|
|
221,059
|
|
|
221,779
|
|
|
2
|
|
|
9
|
|
Average
deposits
|
|
238,550
|
|
|
232,204
|
|
|
222,251
|
|
|
221,146
|
|
|
219,180
|
|
|
3
|
|
|
9
|
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 14: Notes to
Loan, Allowance and Business Segment Disclosures (Tables
7—13)
|
|
(1)
|
Nonperforming loan
rates are calculated based on nonperforming loans for each category
divided by period-end total loans held for investment for each
respective category.
|
(2)
|
Nonperforming assets
consist of nonperforming loans, real estate owned ("REO") and other
foreclosed assets. The total nonperforming asset rate is calculated
based on total nonperforming assets divided by the combined
period-end total loans held for investment, REO and other
foreclosed assets. Prior to Q4 2016, the nonperforming asset rate
for our Consumer Banking business excluded the impact of REOs
related to our acquired home loan portfolio which, if included,
would increase the nonperforming asset rate by approximately 10
basis points in each of the prior periods presented.
|
(3)
|
Primarily consists of
the legacy loan portfolio of our discontinued GreenPoint mortgage
operations.
|
(4)
|
Represents foreign
currency translation adjustments and the net impact of loan
transfers and sales.
|
(5)
|
Some of our
tax-related commercial investments generate tax-exempt income or
tax credits. Accordingly, we make certain reclassifications within
our Commercial Banking business results to present revenues and
yields on a taxable-equivalent basis, calculated assuming an
effective tax rate approximately equal to our federal statutory tax
rate of 35% with offsetting reclassifications to the Other
category.
|
(6)
|
Average yield on
loans held for investment is calculated based on annualized
interest income for the period divided by average loans held for
investment during the period for the respective loan category.
Annualized interest income is computed based on the effective yield
of the respective loan category and does not include any
allocations, such as funds transfer pricing.
|
(7)
|
Total net revenue
margin is calculated based on annualized total net revenue for the
period divided by average loans held for investment during the
period for the respective loan category.
|
(8)
|
Includes purchase
transactions, net of returns, for the period for loans both
classified as held for investment and held for sale. Excludes cash
advance and balance transfer transactions.
|
(9)
|
Percentages represent
period-end loans held for investment in each credit score category.
Domestic card credit scores generally represent FICO scores. These
scores are obtained from one of the major credit bureaus at
origination and are refreshed monthly thereafter. We approximate
non-FICO credit scores to comparable FICO scores for consistency
purposes. Balances for which no credit score is available or the
credit score is invalid are included in the 660 or below
category.
|
(10)
|
Percentages represent
period-end loans held for investment in each credit score category.
Auto credit scores generally represent average FICO scores obtained
from three credit bureaus at the time of application and are not
refreshed thereafter. Balances for which no credit score is
available or the credit score is invalid are included in the 620 or
below category.
|
(11)
|
Criticized exposures
correspond to the "Special Mention," "Substandard" and "Doubtful"
asset categories defined by bank regulatory authorities.
|
**
|
Not
meaningful.
|
CAPITAL ONE
FINANCIAL CORPORATION (COF)
|
Table 15:
Calculation of Regulatory Capital Measures and Reconciliation of
Non-GAAP Measures(1)
|
|
|
|
Basel III
Standardized Approach
|
(Dollars in
millions, except as noted)
|
|
March
31,
2017
|
|
December
31,
2016
|
|
September
30,
2016
|
|
June
30,
2016
|
|
March
31,
2016
|
Regulatory Capital
Metrics
|
|
|
|
|
|
|
|
|
|
|
Common equity
excluding AOCI
|
|
$
|
44,614
|
|
|
$
|
44,103
|
|
|
$
|
44,214
|
|
|
$
|
44,572
|
|
|
$
|
44,452
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
AOCI(2)(3)
|
|
(807)
|
|
|
(674)
|
|
|
199
|
|
|
332
|
|
|
117
|
|
Goodwill, net of
related deferred tax liabilities
|
|
(14,302)
|
|
|
(14,307)
|
|
|
(14,288)
|
|
|
(14,296)
|
|
|
(14,301)
|
|
Intangible assets,
net of related deferred tax liabilities(3)
|
|
(465)
|
|
|
(384)
|
|
|
(435)
|
|
|
(483)
|
|
|
(532)
|
|
Other
|
|
121
|
|
|
65
|
|
|
(498)
|
|
|
(639)
|
|
|
(505)
|
|
Common equity Tier 1
capital
|
|
$
|
29,161
|
|
|
$
|
28,803
|
|
|
$
|
29,192
|
|
|
$
|
29,486
|
|
|
$
|
29,231
|
|
Tier 1
capital
|
|
$
|
33,519
|
|
|
$
|
33,162
|
|
|
$
|
33,069
|
|
|
$
|
32,780
|
|
|
$
|
32,525
|
|
Total
capital(4)
|
|
40,979
|
|
|
40,817
|
|
|
40,564
|
|
|
38,767
|
|
|
38,399
|
|
Risk-weighted
assets
|
|
279,229
|
|
|
285,756
|
|
|
275,198
|
|
|
269,667
|
|
|
262,368
|
|
Adjusted average
assets(5)
|
|
337,134
|
|
|
335,835
|
|
|
328,627
|
|
|
319,968
|
|
|
317,403
|
|
Capital
Ratios
|
|
|
|
|
|
|
|
|
|
|
Common equity Tier 1
capital(6)
|
|
10.4
|
%
|
|
10.1
|
%
|
|
10.6
|
%
|
|
10.9
|
%
|
|
11.1
|
%
|
Tier 1
capital(7)
|
|
12.0
|
|
|
11.6
|
|
|
12.0
|
|
|
12.2
|
|
|
12.4
|
|
Total
capital(8)
|
|
14.7
|
|
|
14.3
|
|
|
14.7
|
|
|
14.4
|
|
|
14.6
|
|
Tier 1
leverage(5)
|
|
9.9
|
|
|
9.9
|
|
|
10.1
|
|
|
10.2
|
|
|
10.2
|
|
Tangible common
equity ("TCE")(9)
|
|
8.5
|
|
|
8.1
|
|
|
8.8
|
|
|
9.0
|
|
|
9.1
|
|
Reconciliation of
Non-GAAP Measures
|
|
We report certain
non-GAAP measures that management uses in assessing its capital
adequacy and the level of return generated. These non-GAAP measures
consist of selected adjusted results, tangible common equity
("TCE"), tangible assets and metrics computed using these amounts,
which include tangible book value per common share, return on
average tangible assets, return on average TCE and TCE ratio. We
consider these metrics key financial performance measures. While
our non-GAAP measures are widely used by investors, analysts and
bank regulatory agencies to assess the capital position of
financial services companies, they may not be comparable to
similarly-titled measures reported by other companies. The tables
below present reconciliations of these non-GAAP measures to the
applicable amounts measured in accordance with GAAP. The results
for Q1 2016 are not presented below as there were no adjustments to
our reported results.
|
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
Year Ended
December 31,
|
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
2016
|
(Dollars in
millions, except per share data and as noted)
|
|
Reported
Results
|
|
Adj.(10)
|
|
Adjusted
Results
|
|
Reported
Results
|
|
Adj.(10)
|
|
Adjusted
Results
|
|
Reported
Results
|
|
Adj.(10)
|
|
Adjusted
Results
|
|
Reported
Results
|
|
Adj.(10)
|
|
Adjusted
Results
|
|
Reported
Results
|
|
Adj.(10)
|
|
Adjusted
Results
|
Selected income
statement data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$
|
5,474
|
|
|
$
|
33
|
|
|
$
|
5,507
|
|
|
$
|
5,447
|
|
|
$
|
13
|
|
|
$
|
5,460
|
|
|
$
|
5,277
|
|
|
$
|
34
|
|
|
$
|
5,311
|
|
|
$
|
5,093
|
|
|
$
|
7
|
|
|
$
|
5,100
|
|
|
$
|
20,873
|
|
|
$
|
54
|
|
|
$
|
20,927
|
|
Non-interest
income
|
|
1,061
|
|
|
37
|
|
|
1,098
|
|
|
1,119
|
|
|
14
|
|
|
1,133
|
|
|
1,184
|
|
|
13
|
|
|
1,197
|
|
|
1,161
|
|
|
8
|
|
|
1,169
|
|
|
4,628
|
|
|
35
|
|
|
4,663
|
|
Total net
revenue
|
|
6,535
|
|
|
70
|
|
|
6,605
|
|
|
6,566
|
|
|
27
|
|
|
6,593
|
|
|
6,461
|
|
|
47
|
|
|
6,508
|
|
|
6,254
|
|
|
15
|
|
|
6,269
|
|
|
25,501
|
|
|
89
|
|
|
25,590
|
|
Provision for credit
losses
|
|
1,992
|
|
|
—
|
|
|
1,992
|
|
|
1,752
|
|
|
—
|
|
|
1,752
|
|
|
1,588
|
|
|
—
|
|
|
1,588
|
|
|
1,592
|
|
|
—
|
|
|
1,592
|
|
|
6,459
|
|
|
—
|
|
|
6,459
|
|
Non-interest
expense
|
|
3,434
|
|
|
(29)
|
|
|
3,405
|
|
|
3,679
|
|
|
(45)
|
|
|
3,634
|
|
|
3,361
|
|
|
(16)
|
|
|
3,345
|
|
|
3,295
|
|
|
(15)
|
|
|
3,280
|
|
|
13,558
|
|
|
(76)
|
|
|
13,482
|
|
Income from
continuing operations before income taxes
|
|
1,109
|
|
|
99
|
|
|
1,208
|
|
|
1,135
|
|
|
72
|
|
|
1,207
|
|
|
1,512
|
|
|
63
|
|
|
1,575
|
|
|
1,367
|
|
|
30
|
|
|
1,397
|
|
|
5,484
|
|
|
165
|
|
|
5,649
|
|
Income tax provision
(benefit)
|
|
314
|
|
|
(1)
|
|
|
313
|
|
|
342
|
|
|
10
|
|
|
352
|
|
|
496
|
|
|
—
|
|
|
496
|
|
|
424
|
|
|
(7)
|
|
|
417
|
|
|
1,714
|
|
|
3
|
|
|
1,717
|
|
Income from
continuing operations, net of tax
|
|
795
|
|
|
100
|
|
|
895
|
|
|
793
|
|
|
62
|
|
|
855
|
|
|
1,016
|
|
|
63
|
|
|
1,079
|
|
|
943
|
|
|
37
|
|
|
980
|
|
|
3,770
|
|
|
162
|
|
|
3,932
|
|
Income (loss) from
discontinued operations, net of tax
|
|
15
|
|
|
—
|
|
|
15
|
|
|
(2)
|
|
|
—
|
|
|
(2)
|
|
|
(11)
|
|
|
—
|
|
|
(11)
|
|
|
(1)
|
|
|
—
|
|
|
(1)
|
|
|
(19)
|
|
|
—
|
|
|
(19)
|
|
Net income
|
|
810
|
|
|
100
|
|
|
910
|
|
|
791
|
|
|
62
|
|
|
853
|
|
|
1,005
|
|
|
63
|
|
|
1,068
|
|
|
942
|
|
|
37
|
|
|
979
|
|
|
3,751
|
|
|
162
|
|
|
3,913
|
|
Net income available
to common stockholders
|
|
752
|
|
|
100
|
|
|
852
|
|
|
710
|
|
|
62
|
|
|
772
|
|
|
962
|
|
|
63
|
|
|
1,025
|
|
|
871
|
|
|
37
|
|
|
908
|
|
|
3,513
|
|
|
162
|
|
|
3,675
|
|
Selected
performance metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted
EPS(11)
|
|
$
|
1.54
|
|
|
$
|
0.21
|
|
|
$
|
1.75
|
|
|
$
|
1.45
|
|
|
$
|
0.13
|
|
|
$
|
1.58
|
|
|
$
|
1.90
|
|
|
$
|
0.13
|
|
|
$
|
2.03
|
|
|
$
|
1.69
|
|
|
$
|
0.07
|
|
|
$
|
1.76
|
|
|
$
|
6.89
|
|
|
$
|
0.32
|
|
|
$
|
7.21
|
|
Efficiency
ratio
|
|
52.55
|
%
|
|
(100)
|
bps
|
|
51.55
|
%
|
|
56.03
|
%
|
|
(91)
|
bps
|
|
55.12
|
%
|
|
52.02
|
%
|
|
(62)
|
bps
|
|
51.40
|
%
|
|
52.69
|
%
|
|
(37)
|
bps
|
|
52.32
|
%
|
|
53.17
|
%
|
|
(49)
|
bps
|
|
52.68
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2017
|
|
2016
|
|
2016
|
|
2016
|
|
2016
|
(Dollars in
millions)
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
Tangible Common
Equity (Period-End)
|
|
|
|
|
|
|
|
|
|
|
Stockholders'
equity
|
|
$
|
48,040
|
|
|
$
|
47,514
|
|
|
$
|
48,213
|
|
|
$
|
48,108
|
|
|
$
|
47,707
|
|
Goodwill and
intangible assets(12)
|
|
(15,360)
|
|
|
(15,420)
|
|
|
(15,475)
|
|
|
(15,553)
|
|
|
(15,629)
|
|
Noncumulative
perpetual preferred stock
|
|
(4,360)
|
|
|
(4,360)
|
|
|
(3,877)
|
|
|
(3,294)
|
|
|
(3,296)
|
|
Tangible common
equity
|
|
$
|
28,320
|
|
|
$
|
27,734
|
|
|
$
|
28,861
|
|
|
$
|
29,261
|
|
|
$
|
28,782
|
|
Tangible Common
Equity (Average)
|
|
|
|
|
|
|
|
|
|
|
Stockholders'
equity
|
|
$
|
48,193
|
|
|
$
|
47,972
|
|
|
$
|
49,033
|
|
|
$
|
48,934
|
|
|
$
|
49,078
|
|
Goodwill and
intangible assets(12)
|
|
(15,395)
|
|
|
(15,455)
|
|
|
(15,507)
|
|
|
(15,585)
|
|
|
(15,654)
|
|
Noncumulative
perpetual preferred stock
|
|
(4,360)
|
|
|
(4,051)
|
|
|
(3,719)
|
|
|
(3,294)
|
|
|
(3,296)
|
|
Tangible common
equity
|
|
$
|
28,438
|
|
|
$
|
28,466
|
|
|
$
|
29,807
|
|
|
$
|
30,055
|
|
|
$
|
30,128
|
|
Tangible Assets
(Period-End)
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
|
348,549
|
|
|
$
|
357,033
|
|
|
$
|
345,061
|
|
|
$
|
339,117
|
|
|
$
|
330,346
|
|
Goodwill and
intangible assets(12)
|
|
(15,360)
|
|
|
(15,420)
|
|
|
(15,475)
|
|
|
(15,553)
|
|
|
(15,629)
|
|
Tangible
assets
|
|
$
|
333,189
|
|
|
$
|
341,613
|
|
|
$
|
329,586
|
|
|
$
|
323,564
|
|
|
$
|
314,717
|
|
Tangible Assets
(Average)
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
|
351,641
|
|
|
$
|
350,225
|
|
|
$
|
343,153
|
|
|
$
|
334,479
|
|
|
$
|
331,919
|
|
Goodwill and
intangible assets(12)
|
|
(15,395)
|
|
|
(15,455)
|
|
|
(15,507)
|
|
|
(15,585)
|
|
|
(15,654)
|
|
Tangible
assets
|
|
$
|
336,246
|
|
|
$
|
334,770
|
|
|
$
|
327,646
|
|
|
$
|
318,894
|
|
|
$
|
316,265
|
|
|
_________
|
(1)
|
Regulatory capital
metrics and capital ratios as of March 31, 2017 are preliminary and
therefore subject to change.
|
(2)
|
Amounts presented are
net of tax.
|
(3)
|
Amounts based on
transition provisions for regulatory capital deductions and
adjustments of 60% for 2016 and 80% for 2017.
|
(4)
|
Total capital equals
the sum of Tier 1 capital and Tier 2 capital.
|
(5)
|
Adjusted average
assets for the purpose of calculating our Tier 1 leverage ratio
represents total average assets adjusted for amounts that deducted
from Tier 1 capital, predominately goodwill and intangible assets.
Tier 1 leverage ratio is a regulatory capital measure calculated
based on Tier 1 capital divided by adjusted average
assets.
|
(6)
|
Common equity Tier 1
capital ratio is a regulatory capital measure calculated based on
common equity Tier 1 capital divided by risk-weighted
assets.
|
(7)
|
Tier 1 capital ratio
is a regulatory capital measure calculated based on Tier 1 capital
divided by risk-weighted assets.
|
(8)
|
Total capital ratio
is a regulatory capital measure calculated based on total capital
divided by risk-weighted assets.
|
(9)
|
TCE ratio is a
non-GAAP measure calculated based on TCE divided by tangible
assets.
|
(10)
|
In Q1 2017, we
recorded a build in the U.K. Payment Protection Insurance customer
refund reserve ("U.K. PPI Reserve") of $99 million. In Q4 2016, we
recorded charges totaling $72 million consisting of a build in the
U.K. PPI Reserve of $44 million and an impairment associated with
certain acquired intangible and software assets of $28 million. In
Q3 2016, we recorded a build in the U.K. PPI Reserve of $63
million. In Q2 2016, we recorded charges totaling $30 million
associated with a build of $54 million in the U.K. PPI Reserve,
partially offset by a gain of $24 million related to the exchange
of our ownership interest in Visa Europe with Visa Inc. as a result
of Visa Inc.'s acquisition of Visa Europe. There were no
adjustments to our reported results for Q1 2016.
|
(11)
|
Earnings per share is
computed independently for each period. Accordingly, the sum of
each quarter amount may not agree to the year-to-date
total.
|
(12)
|
Includes impact of
related deferred taxes.
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/capital-one-reports-first-quarter-2017-net-income-of-810-million-or-154-per-share-300445516.html
SOURCE Capital One Financial Corporation