Oct. 21, 2014, 4:40 PM
- Q3 net income of $644M or $1.37 per share vs. $593M and $1.20 a year ago.
- Direct Banking: Pretax income of $891M up 7% Y/Y. Total loans of $67.3B up 7.4%. Credit card loans of $53.7B up 6.6%. Personal loans up 20.9%. Student loans up 4.5%. Net interest income up 9%; net interest margin of 9.79% up 14 bps. Delinquency rate for CC over 30 days past due of 1.71% up four basis points. Expenses up 6%.
- Payment Services: Pretax income of $28M flat Y/Y.
- Share repurchases: About 10M shares for $622M. Float down 2% Q/Q/
- Conference call at 5 ET
- Previously: Discover Financial Services beats by $0.03, revenue in-line
- DFS +0.2% AH
Oct. 21, 2014, 4:29 PM
Oct. 20, 2014, 5:35 PM
Oct. 16, 2014, 6:01 PM
Aug. 28, 2014, 10:40 AM
- Discover (DFS -0.5%) now ties with American Express for the highest customer-satisfaction ranking by cardholders, according to J.D. Power. It's the first time ever Discover has taken the top spot - it's come in 2nd to AmEx ever year since the survey began in 2007.
- Behind Discover's big move, says J.D. Power's Jim Miller, are its efforts to improve customer service both over the phone and online, and TV viewers are certainly aware of the large volume of Discover commercials emphasizing the friendliness of its people.
- Another long-time issue - that Discover's cards aren't accepted as widely as Visa and MasterCard - is fading, with the number of U.S. locations taking Discover up 24% since 2009 vs. 15% for Visa and MC.
Jul. 23, 2014, 11:00 AM
- Repurchases of about 3M shares (cutting the float by about 1%) helped Discover (DFS -1.4%) boost EPS to $1.35 vs. $1.20 a year ago even as net income rose just $42M to $644M.
- Total loans of $65.9B up 7%. Credit card loans of $52.7B up 6%, with Discover card sales volume up 6%.
- Net charge-off rate for credit card loans of 2.33% falls one basis point from a year ago. The delinquency rate for loans more than 30 days past due increases five basis points to 1.63%.
- Net interest margin in the direct banking segment of 9.85% grew 41 bps from a year ago, thanks to lower funding costs and higher loan yield.
- On the earnings call (transcript), management says it expects NIM and the outlook for credit to be relatively stable for the rest of the year.
- Previously: Discover Financial Services beats by $0.05, beats on revenue
Jul. 22, 2014, 4:16 PM
Jul. 21, 2014, 5:35 PM
Jul. 16, 2014, 5:42 PM
May 20, 2014, 5:38 PM
Apr. 22, 2014, 4:32 PM
- Direct banking pretax income of $994M off 4% Y/Y. Total loans of $63.8B up 6%. Credit card loans of $50.9B up 5%.
- Net interest income up 11% Y/Y, with NIM of 9.88% up 49 basis points.
- Delinquency rate for cards over 30 days past due of 1.72% is down 5 bps from a year ago. Provision for loan losses of $270M up $111M from a year ago amid a reserve release of just $59M this year vs. $154M last year.
- About 5.5M shares repurchased during Q for $305M, roughly inline with Q4's buyback.
- CC at 5 ET
- Press release, Q1 results
- DFS no trades AH
Apr. 22, 2014, 4:12 PM
Apr. 22, 2014, 12:10 AM
Apr. 21, 2014, 5:35 PM
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Apr. 16, 2014, 5:20 PM
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