Capital One(US:COF)2025-07-22 20:05Financial Performance - Net interest income for Q2 2025 was $9,995 million, a 25% increase from Q1 2025 and a 32% increase year-over-year[4] - Total net revenue reached $12,492 million in Q2 2025, reflecting a 25% increase from Q1 2025 and a 31% increase compared to Q2 2024[4] - Non-interest income for Q2 2025 was $2,497 million, a 26% increase from Q1 2025 and a 27% increase year-over-year[4] - The diluted earnings per common share for Q2 2025 was $(8.58), compared to $3.45 in Q1 2025, indicating a significant decline[4] - Total net revenue growth was 25% year-over-year, reaching $12,492 million in Q2 2025, compared to $9,993 million in Q2 2024[7] - Total net revenue for Q2 2025 was $9,095 million, reflecting a 27% increase from Q1 2025[21] - Total net revenue for Q2 2025 was $8,571 million, reflecting a 26% growth year-over-year[22] - Total net revenue for Q2 2025 reached $12,492 million, a significant increase from $9,506 million in Q2 2024, representing a year-over-year growth of 31.2%[32] Credit Losses and Provisions - Provision for credit losses surged to $11,430 million in Q2 2025, compared to $2,369 million in Q1 2025, marking a significant increase of 192%[4] - The provision for credit losses surged to $11,430 million in Q2 2025, a 192% increase from $3,909 million in Q2 2024[7] - Provision for credit losses surged to $11,098 million in Q2 2025, a significant increase of 124% compared to $5,804 million in Q2 2024[21] - Provision for credit losses significantly increased to $10,200 million in Q2 2025, up 116% from $4,296 million in Q2 2024[22] - The provision for credit losses for the three months ended June 30, 2025, was $11,440 million, which includes a significant allowance build of $7,935 million[18] - The net charge-offs for the six months ended June 30, 2025, totaled $5,796 million, compared to $4,908 million for the same period in the previous year, indicating an increase in credit losses[19] Assets and Equity - Total assets grew to $658,968 million by the end of Q2 2025, a 34% increase from the previous quarter and a 37% increase year-over-year[5] - Common equity increased to $105,549 million in Q2 2025, an 80% rise from Q1 2025 and a 99% increase compared to Q2 2024[5] - Total cash and cash equivalents increased to $59,109 million in Q2 2025, up 22% from $48,573 million in Q1 2025 and 30% from $45,414 million in Q2 2024[9] - The total stockholders' equity increased to $110,956 million in Q2 2025, a 75% increase from $63,542 million in Q1 2025 and a 91% increase from $57,981 million in Q2 2024[10] - The total assets of the company reached $658,968 million in Q2 2025, representing a 34% increase from $493,604 million in Q1 2025 and a 37% increase from $480,018 million in Q2 2024[10] Loans and Deposits - Loans held for investment reached $439,297 million in Q2 2025, representing a 36% increase from Q1 2025 and a 38% increase year-over-year[5] - Total deposits reached $468,110 million in Q2 2025, a 27% increase from Q1 2025 and a 33% increase compared to Q2 2024[5] - Period-end loans held for investment reached $269,709 million, a 72% increase from $157,189 million in Q2 2024[21] - Average loans held for investment increased to $378.2 billion in Q2 2025, up 17% from $322.4 billion in Q1 2025[15] - The period-end deposits reached $468,110 million in Q2 2025, a 27% increase from $367,464 million in Q1 2025[25] Efficiency and Ratios - The efficiency ratio improved to 55.96% in Q2 2025, down from 59.02% in Q1 2025[6] - The common equity Tier 1 capital ratio improved to 14.0% in Q2 2025, up from 13.6% in Q1 2025[6] - The adjusted efficiency ratio improved to 50.85% in Q2 2025 from 55.94% in Q1 2025[30] - The net charge-off rate for Q2 2025 was 5.20%, a decrease of 94 basis points compared to 6.14% in Q1 2025[21] - The net charge-off rate for Q2 2025 was 0.33%, an increase from 0.11% in Q1 2025, suggesting a rise in credit losses[24] Integration and Expenses - The company completed the acquisition of Discover on May 18, 2025, in an all-stock transaction, with results included from the acquisition date[2] - Non-interest expense for Q2 2025 was $6,991 million, an 18% increase from $5,902 million in Q1 2025[25] - Discover integration expenses totaled $299 million in Q2 2025, up from $110 million in Q1 2025[29] - Total non-interest expense increased by 18% year-over-year to $6,991 million in Q2 2025, compared to $4,946 million in Q2 2024[7] Net Income and Losses - In Q2 2025, the net income (loss) from continuing operations was $(8.55) per diluted common share, a significant decrease compared to $3.45 in Q1 2025 and $2.67 in Q2 2024[8] - The company reported a net loss of $4,340 million in Q2 2025, compared to a net income of $1,325 million in Q1 2025[29] - Income from continuing operations, net of tax, was a loss of $4,436 million in Q2 2025, compared to a profit of $1,162 million in Q2 2024[22] - The income (loss) from continuing operations before income taxes for Q2 2025 was $(6,450) million, compared to $1,601 million in Q1 2025[21]