株探米国株
日本語 英語
エドガーで原本を確認する
false000092762800009276282023-10-262023-10-260000927628us-gaap:CommonStockMember2023-10-262023-10-260000927628cof:SeriesIPreferredStockMember2023-10-262023-10-260000927628cof:SeriesJPreferredStockMember2023-10-262023-10-260000927628cof:SeriesKPreferredStockMemberMember2023-10-262023-10-260000927628cof:SeriesLPreferredStockMemberMember2023-10-262023-10-260000927628cof:SeriesNPreferredStockMemberMember2023-10-262023-10-260000927628cof:SeniorNotesDue2024Member2023-10-262023-10-260000927628cof:SeniorNotesDue2029Member2023-10-262023-10-26





UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
____________________________________
FORM 8-K
____________________________________
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934

October 26, 2023
Date of Report (Date of earliest event reported)
____________________________________
CAPITAL ONE FINANCIAL CORPORATION
(Exact name of registrant as specified in its charter)
____________________________________
Delaware 001-13300 54-1719854
(State or other jurisdiction of incorporation) (Commission File Number) (IRS Employer Identification No.)
1680 Capital One Drive,
McLean, Virginia   22102
(Address of principal executive offices)   (Zip Code)
Registrant’s telephone number, including area code: (703) 720-1000
(Not applicable)
(Former name or former address, if changed since last report)
____________________________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
☐    Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐    Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐    Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐    Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:
Title of Each Class Trading Symbol(s) Name of Each Exchange on Which Registered
Common Stock (par value $.01 per share) COF
New York Stock Exchange
Depositary Shares, Each Representing a 1/40th Interest in a Share of Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series I COF PRI
New York Stock Exchange
Depositary Shares, Each Representing a 1/40th Interest in a Share of Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series J COF PRJ
New York Stock Exchange
Depositary Shares, Each Representing a 1/40th Interest in a Share of Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series K COF PRK
New York Stock Exchange
Depositary Shares, Each Representing a 1/40th Interest in a Share of Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series L COF PRL
New York Stock Exchange
Depositary Shares, Each Representing a 1/40th Interest in a Share of Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series N COF PRN
New York Stock Exchange
0.800% Senior Notes Due 2024 COF24
New York Stock Exchange
1.650% Senior Notes Due 2029 COF29
New York Stock Exchange
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company     ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐





Item 2.02 Results of Operations and Financial Condition.

On October 26, 2023, Capital One Financial Corporation (the “Company”) issued a press release announcing its financial results for the third quarter ended September 30, 2023. Copies of the Company’s press release and financial supplement are attached and furnished herewith as Exhibits 99.1 and 99.2 to this Form 8-K and are incorporated herein by reference.

Note: Information in this report (including Exhibits 99.1 and 99.2) furnished pursuant to Item 2.02 shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that Section. 
1




Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.
Exhibit No. Description
99.1
99.2
104 The cover page from this Current Report on Form 8-K, formatted in Inline XBRL

Earnings Conference Call Webcast Information.

The Company will hold an earnings conference call on October 26, 2023 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). Under “About,” 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. A replay of the webcast will be archived on the Company’s website through November 9, 2023 at 5:00 PM Eastern Time.
2




SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this Current Report on Form 8-K to be signed on its behalf by the undersigned hereunto duly authorized.
CAPITAL ONE FINANCIAL CORPORATION
Date: October 26, 2023
 By: /s/ TIMOTHY P. GOLDEN
Timothy P. Golden
SVP, Controller and Principal Accounting Officer

3
EX-99.1 2 ex991q32023earningsrelease.htm EX-99.1 Document

Exhibit 99.1
News Release
earningsslidesvfinal1b58aa.jpg
Contacts:
Investor Relations Media Relations
Jeff Norris Danielle Dietz Sie Soheili
jeff.norris@capitalone.com danielle.dietz@capitalone.com sie.soheili@capitalone.com

FOR IMMEDIATE RELEASE: October 26, 2023
Capital One Reports Third Quarter 2023 Net Income of $1.8 billion,
or $4.45 per share
McLean, Va. (October 26, 2023) – Capital One Financial Corporation (NYSE: COF) today announced net income for the third quarter of 2023 of $1.8 billion, or $4.45 per diluted common share, compared with net income of $1.4 billion, or $3.52 per diluted common share in the second quarter of 2023, and with net income of $1.7 billion, or $4.20 per diluted common share in the third quarter of 2022.
“In the third quarter we continued to deliver solid results fueled by strong top-line growth in our domestic card business," said Richard D. Fairbank, Founder, Chairman, and Chief Executive Officer. "Our modern technology capabilities are generating opportunities and driving performance improvements across our businesses.”
All comparisons below are for the third quarter of 2023 compared with the second quarter of 2023 unless otherwise noted.
Third Quarter 2023 Income Statement Summary:
•Total net revenue increased 4 percent to $9.4 billion.
•Total non-interest expense increased 1 percent to $4.9 billion:
◦10 percent increase in marketing.
◦1 percent decrease in operating expenses.
•Pre-provision earnings(1) increased 7 percent to $4.5 billion.
•Provision for credit losses decreased $206 million to $2.3 billion:
◦Net charge-offs of $2.0 billion.
◦$322 million loan reserve build.
•Net interest margin of 6.69 percent, an increase of 21 basis points.
•Efficiency ratio of 51.89 percent.
•Operating efficiency ratio of 41.51 percent.
Third Quarter 2023 Balance Sheet Summary:
(1)    Pre-provision earnings is a non-GAAP metric calculated based on total net revenue less non-interest expense for the period. Management believes that this financial metric is useful in assessing the ability of a lending institution to generate income in excess of its provision for credit losses. See our Financial Supplement, filed as Exhibit 99.2 to our Current Report on From 8-K on October 26, 2023 with the Securities and Exchange Commission (the “SEC”), “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for a reconciliation and additional information on non-GAAP measures.
Capital One Third Quarter 2023 Earnings
Page 2

•Common equity Tier 1 capital ratio under Basel III Standardized Approach of 13.0 percent.
•Period-end loans held for investment in the quarter increased $3.5 billion, or 1 percent, to $314.8 billion.
◦Credit Card period-end loans increased $4.3 billion, or 3 percent, to $146.8 billion.
•Domestic Card period-end loans increased $4.3 billion, or 3 percent, to $140.3 billion.
◦Consumer Banking period-end loans decreased $436 million, or 1 percent, to $76.8 billion.
•Auto period-end loans decreased $385 million, or 1 percent, to $75.5 billion.
◦Commercial Banking period-end loans decreased $399 million, or less than 1 percent, to $91.2 billion.
•Average loans held for investment in the quarter increased $3.1 billion, or 1 percent, to $312.8 billion.
◦Credit Card average loans increased $5.3 billion, or 4 percent, to $144.0 billion.
•Domestic Card average loans increased $5.0 billion, or 4 percent, to $137.5 billion.
◦Consumer Banking average loans decreased $544 million, or 1 percent, to $77.2 billion.
•Auto average loans decreased $493 million, or 1 percent, to $75.7 billion.
◦Commercial Banking average loans decreased $1.6 billion, or 2 percent, to $91.6 billion.
•Period-end total deposits increased $2.3 billion, or 1 percent, to $346.0 billion, while average deposits increased $1.3 billion, or less than 1 percent, to $345.0 billion.
•Interest-bearing deposits rate paid increased 39 basis points to 3.30 percent.


Capital One Third Quarter 2023 Earnings
Page 3


Earnings Conference Call Webcast Information
The company will hold an earnings conference call on October 26, 2023 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). Under “About,” 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 November 9, 2023 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. Forward-looking statements often use words such as “will,” “anticipate,” “target,” “expect,” “think,” “estimate,” “intend,” “plan,” “goal,” “believe,” “forecast,” “outlook” or other words of similar meaning. Any forward-looking statements made by Capital One or on its behalf speak only as of the date they are made or as of the date indicated, and Capital One does not undertake any obligation to update forward-looking statements as a result of new information, future events or otherwise. 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. For additional information on factors that could materially influence forward-looking statements included in this earnings press release, see the risk factors set forth under “Part I—Item 1A. Risk Factors” in the Annual Report on Form 10-K for the year ended December 31, 2022 filed with the SEC and Quarterly Reports on Form 10-Q and Current Reports on Form 8-K filed with the SEC.
About Capital One
Capital One Financial Corporation (www.capitalone.com) is a financial holding company which, along with its subsidiaries, had $346.0 billion in deposits and $471.4 billion in total assets as of September 30, 2023. 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 and Cafés located primarily in New York, Louisiana, Texas, Maryland, Virginia 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.
###


EX-99.2 3 ex992q32023earningsrelease.htm EX-99.2 Document

Exhibit 99.2

Capital One Financial Corporation
Financial Supplement(1)(2)
Third Quarter 2023
Table of Contents
Capital One Financial Corporation Consolidated Results Page
Business Segment Results
Other
__________
(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 September 30, 2023 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. See “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for a reconciliation of any non-GAAP financial measures.


CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 1: Financial Summary—Consolidated     
2023 Q3 Nine Months Ended September 30,
(Dollars in millions, except per share data and as noted) 2023 2023 2023 2022 2022 2023 2022 2023 vs.
Q3 Q2 Q1 Q4 Q3 Q2 Q3 2023 2022 2022
Income Statement
Net interest income $ 7,423  $ 7,113  $ 7,186  $ 7,197  $ 7,003  4  % 6  % $ 21,722  $ 19,917  9  %
Non-interest income 1,943  1,899  1,717  1,843  1,802  2  8  5,559  5,293  5 
Total net revenue(1)
 9,366  9,012  8,903  9,040  8,805  4  6  27,281  25,210  8 
Provision for credit losses 2,284  2,490  2,795  2,416  1,669  (8) 37  7,569  3,431  121
Non-interest expense:
Marketing 972  886  897  1,118  978  10  (1) 2,755  2,899  (5)
Operating expense 3,888  3,908  4,048  3,962  3,971  (1) (2) 11,844  11,184  6 
Total non-interest expense 4,860  4,794  4,945  5,080  4,949  1  (2) 14,599  14,083  4 
Income from continuing operations before income taxes 2,222  1,728  1,163  1,544  2,187  29  2  5,113  7,696  (34)
Income tax provision 432  297  203  312  493  45  (12) 932  1,568  (41)
Net income 1,790  1,431  960  1,232  1,694  25  6  4,181  6,128  (32)
Dividends and undistributed earnings allocated to participating securities(2)
 (28) (23) (16) (14) (21) 22  33  (67) (74) (9)
Preferred stock dividends (57) (57) (57) (57) (57) —  —  (171) (171) — 
Net income available to common stockholders $ 1,705  $ 1,351  $ 887  $ 1,161  $ 1,616  26  6  $ 3,943  $ 5,883  (33)
Common Share Statistics
Basic earnings per common share:(2)
Net income per basic common share $ 4.46  $ 3.53  $ 2.32  $ 3.03  $ 4.21  26  % 6  % $ 10.31  $ 14.90  (31) %
Diluted earnings per common share:(2)
Net income per diluted common share $ 4.45  $ 3.52  $ 2.31  $ 3.03  $ 4.20  26  % 6  % $ 10.28  $ 14.84  (31) %
Weighted-average common shares outstanding (in millions):
Basic 382.5  382.8  382.6  382.6  383.4  —  —  382.7  394.9  (3) %
Diluted 383.3  383.7  383.8  383.7  384.6  —  —  383.6  396.4  (3)
Common shares outstanding (period-end, in millions) 381.0  381.4  382.0  381.3  382.0  —  —  381.0  382.0  — 
Dividends declared and paid per common share $ 0.60  $ 0.60  $ 0.60  $ 0.60  $ 0.60  —  —  $ 1.80  $ 1.80  — 
Tangible book value per common share (period-end)(3)
 87.97  90.07  90.86  86.11  81.38  (2) % 8  % 87.97  81.38  8 
1

2023 Q3 Nine Months Ended September 30,
(Dollars in millions) 2023 2023 2023 2022 2022 2023 2022 2023 vs.
Q3 Q2 Q1 Q4 Q3 Q2 Q3 2023 2022 2022
Balance Sheet (Period-End)
Loans held for investment $ 314,780  $ 311,323  $ 308,836  $ 312,331  $ 303,943  1  % 4  % $ 314,780  $ 303,943  4  %
Interest-earning assets 445,428  441,250  445,166  427,248  415,262  1  7  445,428  415,262  7 
Total assets 471,435  467,800  471,660  455,249  444,232  1  6  471,435  444,232  6 
Interest-bearing deposits 317,217  314,393  318,641  300,789  282,802  1  12  317,217  282,802  12 
Total deposits 346,011  343,705  349,827  332,992  317,193  1  9  346,011  317,193  9 
Borrowings 49,247  50,258  48,777  48,715  54,607  (2) (10) 49,247  54,607  (10)
Common equity 48,823  49,713  49,807  47,737  46,015  (2) 6  48,823  46,015  6 
Total stockholders’ equity 53,668  54,559  54,653  52,582  50,861  (2) 6  53,668  50,861  6 
Balance Sheet (Average Balances)
Loans held for investment $ 312,759  $ 309,655  $ 307,756  $ 306,881  $ 300,186  1  % 4  % $ 310,075  $ 287,304  8  %
Interest-earning assets 443,532  439,139  435,199  421,051  412,171  1  8  439,321  401,793  9 
Total assets 469,860  466,652  462,324  449,659  447,088  1  5  466,279  437,523  7 
Interest-bearing deposits 316,032  313,207  308,788  292,793  275,900  1  15  312,702  271,957  15 
Total deposits 345,013  343,678  340,123  326,558  311,928  —  11  342,956  309,168  11 
Borrowings 49,736  48,468  48,016  49,747  58,628  3  (15) 48,746  51,431  (5)
Common equity 50,166  50,511  49,927  47,594  49,696  (1) 1  50,202  51,184  (2)
Total stockholders’ equity 55,012  55,357  54,773  52,439  54,541  (1) 1  55,048  56,030  (2)
    
    
2

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 2: Selected Metrics—Consolidated
2023 Q3 Nine Months Ended September 30,
(Dollars in millions, except as noted) 2023 2023 2023 2022 2022 2023 2022 2023 vs.
Q3 Q2 Q1 Q4 Q3 Q2 Q3 2023 2022 2022
Performance Metrics
Net interest income growth (period over period) 4  % (1) % —  3  % 7  % ** ** 9  % 12  % **
Non-interest income growth (period over period) 2  11  (7) % 2  5  ** ** 5  15  **
Total net revenue growth (period over period) 4  1  (2) 3  7  ** ** 8  13  **
Total net revenue margin(4)
 8.45  8.21  8.18  8.59  8.55  24  bps (10) bps 8.28  8.37  (9) bps
Net interest margin(5)
 6.69  6.48  6.60  6.84  6.80  21  (11) 6.59  6.61  (2)
Return on average assets 1.52  1.23  0.83  1.10  1.52  29  —  1.20  1.87  (67)
Return on average tangible assets(6)
 1.58  1.27  0.86  1.13  1.57  31  1  1.24  1.93  (69)
Return on average common equity(7)
 13.59  10.70  7.11  9.76  13.01  289  58  10.47  15.33  (486)
Return on average tangible common equity(8)
 19.59  15.30  10.15  14.22  18.59  429  100  15.01  21.62  (661)
Efficiency ratio(9)
 51.89  53.20  55.54  56.19  56.21  (131) (432) 53.51  55.86  (235)
Operating efficiency ratio(10)
 41.51  43.36  45.47  43.83  45.10  (185) (359) 43.41  44.36  (95)
Effective income tax rate for continuing operations 19.4  17.2  17.5  20.2  22.5  220  (310) 18.2  20.4  (220)
Employees (period-end, in thousands) 54.2  55.6  56.1  56.0  55.1  (3)% (2)% 54.2  55.1  (2)%
Credit Quality Metrics
Allowance for credit losses $ 14,955 $ 14,646 $ 14,318 $ 13,240 $ 12,209 2% 22% $ 14,955 $ 12,209 22%
Allowance coverage ratio 4.75  % 4.70  % 4.64  % 4.24  % 4.02  % 5  bps 73  bps 4.75  % 4.02  % 73  bps
Net charge-offs $ 1,999 $ 2,185 $ 1,697 $ 1,430 $ 931 (9)% 115% $ 5,881 $ 2,543 131%
Net charge-off rate(11)
 2.56  % 2.82  % 2.21  % 1.86  % 1.24  % (26) bps 132  bps 2.53  % 1.18  % 135  bps
30+ day performing delinquency rate 3.42  3.08  2.88  2.96  2.58  34  84  3.42  2.58  84 
30+ day delinquency rate 3.71  3.36  3.09  3.21  2.78  35  93  3.71  2.78  93 
Capital Ratios(12)
Common equity Tier 1 capital
13.0  % 12.7  % 12.5  % 12.5  % 12.2  % 30  bps 80  bps 13.0  % 12.2  % 80  bps
Tier 1 capital 14.3  14.0  13.9  13.9  13.6  30  70  14.3  13.6  70 
Total capital 16.2  16.0  15.9  15.8  15.7  20  50  16.2  15.7  50 
Tier 1 leverage 11.2  11.0  10.9  11.1  11.0  20  20  11.2  11.0  20 
Tangible common equity (“TCE”)(13)
 7.3  7.6  7.6  7.5  7.2  (30) 10  7.3  7.2  10 
    
 
3

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 3: Consolidated Statements of Income
2023 Q3 Nine Months Ended September 30,
(Dollars in millions, except as noted) 2023 2023 2023 2022 2022 2023 2022 2023 vs.
Q3 Q2 Q1 Q4 Q3 Q2 Q3 2023 2022 2022
Interest income:
Loans, including loans held for sale $ 9,696  $ 9,057  $ 8,723  $ 8,360  $ 7,578  7  % 28  % $ 27,476  $ 20,550  34  %
Investment securities 627  639  615  548  499  (2) 26  1,881  1,336  41 
Other 550  470  416  250  123  17  ** 1,436  193  **
Total interest income 10,873  10,166  9,754  9,158  8,200  7  33  30,793  22,079  39 
Interest expense:
Deposits 2,611  2,277  1,856  1,335  689  15  ** 6,744  1,200  **
Securitized debt obligations 249  236  211  170  120  6  108  696  214  **
Senior and subordinated notes 579  528  489  430  319  10  82  1,596  644  148 
Other borrowings 11  12  12  26  69  (8) (84) 35  104  (66)
Total interest expense 3,450  3,053  2,568  1,961  1,197  13  188  9,071  2,162  **
Net interest income 7,423  7,113  7,186  7,197  7,003  4  6  21,722  19,917  9 
Provision for credit losses 2,284  2,490  2,795  2,416  1,669  (8) 37  7,569  3,431  121 
Net interest income after provision for credit losses 5,139  4,623  4,391  4,781  5,334  11  (4) 14,153  16,486  (14)
Non-interest income:
Interchange fees, net 1,234  1,213  1,139  1,177  1,195  2  3  3,586  3,429  5 
Service charges and other customer-related fees 453  411  379  395  415  10  9  1,243  1,230  1 
Other 256  275  199  271  192  (7) 33  730  634  15 
Total non-interest income 1,943  1,899  1,717  1,843  1,802  2  8  5,559  5,293  5 
Non-interest expense:
Salaries and associate benefits 2,274  2,317  2,427  2,266  2,187  (2) 4  7,018  6,159  14 
Occupancy and equipment 518  506  508  554  502  2  3  1,532  1,496  2 
Marketing 972  886  897  1,118  978  10  (1) 2,755  2,899  (5)
Professional services 295  290  324  481  471  2  (37) 909  1,326  (31)
Communications and data processing 344  344  350  352  349  —  (1) 1,038  1,027  1 
Amortization of intangibles 24  22  14  25  17  9  41  60  45  33 
Other 433  429  425  284  445  1  (3) 1,287  1,131  14 
Total non-interest expense 4,860  4,794  4,945  5,080  4,949  1  (2) 14,599  14,083  4 
Income from continuing operations before income taxes 2,222  1,728  1,163  1,544  2,187  29  2  5,113  7,696  (34)
Income tax provision 432  297  203  312  493  45  (12) 932  1,568  (41)
Net income 1,790  1,431  960  1,232  1,694  25  6  4,181  6,128  (32)
Dividends and undistributed earnings allocated to participating securities(2)
 (28) (23) (16) (14) (21) 22  33  (67) (74) (9)
Preferred stock dividends (57) (57) (57) (57) (57) —  —  (171) (171) — 
Net income available to common stockholders $ 1,705  $ 1,351  $ 887  $ 1,161  $ 1,616  26  6  $ 3,943  $ 5,883  (33)
4

2023 Q3 Nine Months Ended September 30,
2023 2023 2023 2022 2022 2023 2022 2023 vs.
Q3 Q2 Q1 Q4 Q3 Q2 Q3 2023 2022 2022
Basic earnings per common share:(2)
Net income per basic common share $ 4.46  $ 3.53  $ 2.32  $ 3.03  $ 4.21  26  % 6  % $ 10.31  $ 14.90  (31) %
Diluted earnings per common share:(2)
Net income per diluted common share $ 4.45  $ 3.52  $ 2.31  $ 3.03  $ 4.20  26  % 6  % $ 10.28  $ 14.84  (31) %
Weighted-average common shares outstanding (in millions):
Basic common shares 382.5  382.8  382.6  382.6  383.4  —  —  382.7  394.9  (3)
Diluted common shares 383.3  383.7  383.8  383.7  384.6  —  —  383.6  396.4  (3)
5

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 4: Consolidated Balance Sheets
2023 Q3
2023 2023 2023 2022 2022 2023 2022
(Dollars in millions) Q3 Q2 Q1 Q4 Q3 Q2 Q3
Assets:
Cash and cash equivalents:
Cash and due from banks $ 4,620  $ 3,360  $ 3,347  $ 5,193  $ 3,716  38  % 24  %
Interest-bearing deposits and other short-term investments 40,249  38,236  43,166  25,663  21,176  5  90 
Total cash and cash equivalents 44,869  41,596  46,513  30,856  24,892  8  80 
Restricted cash for securitization investors 435  452  460  400  399  (4) 9 
Securities available for sale 74,837  78,412  81,925  76,919  75,303  (5) (1)
Loans held for investment:
Unsecuritized loans held for investment 284,953  280,933  280,093  283,282  277,576  1  3 
Loans held in consolidated trusts 29,827  30,390  28,743  29,049  26,367  (2) 13 
Total loans held for investment 314,780  311,323  308,836  312,331  303,943  1  4 
Allowance for credit losses (14,955) (14,646) (14,318) (13,240) (12,209) 2  22 
Net loans held for investment 299,825  296,677  294,518  299,091  291,734  1  3 
Loans held for sale 742  1,211  363  203  1,729  (39) (57)
Premises and equipment, net 4,378  4,359  4,365  4,351  4,265  —  3 
Interest receivable 2,469  2,297  2,250  2,104  1,853  7  33 
Goodwill 15,048  15,060  14,779  14,777  14,771  —  2 
Other assets 28,832  27,736  26,487  26,548  29,286  4  (2)
Total assets $ 471,435  $ 467,800  $ 471,660  $ 455,249  $ 444,232  1  6 
6

2023 Q3
2023 2023 2023 2022 2022 2023 2022
(Dollars in millions) Q3 Q2 Q1 Q4 Q3 Q2 Q3
Liabilities:
Interest payable $ 685  $ 637  $ 621  $ 527  $ 433  8  % 58  %
Deposits:
Non-interest-bearing deposits 28,794  29,312  31,186  32,203  34,391  (2) (16)
Interest-bearing deposits 317,217  314,393  318,641  300,789  282,802  1  12 
Total deposits 346,011  343,705  349,827  332,992  317,193  1  9 
Securitized debt obligations 17,417  17,861  17,813  16,973  15,926  (2) 9 
Other debt:
Federal funds purchased and securities loaned or sold under agreements to repurchase 522  649  542  883  528  (20) (1)
Senior and subordinated notes 31,283  31,627  30,398  30,826  30,615  (1) 2 
Other borrowings 25  121  24  33  7,538  (79) (100)
Total other debt 31,830  32,397  30,964  31,742  38,681  (2) (18)
Other liabilities 21,824  18,641  17,782  20,433  21,138  17  3 
Total liabilities 417,767  413,241  417,007  402,667  393,371  1  6 
Stockholders’ equity:
Preferred stock 0  0  0  0  0  —  — 
Common stock 7  7  7  7  7  —  — 
Additional paid-in capital, net 35,334  35,163  34,952  34,725  34,579  —  2 
Retained earnings 60,529  59,028  57,898  57,184  56,240  3  8 
Accumulated other comprehensive loss (12,224) (9,818) (8,540) (9,916) (10,704) 25  14 
Treasury stock, at cost (29,978) (29,821) (29,664) (29,418) (29,261) 1  2 
Total stockholders’ equity 53,668  54,559  54,653  52,582  50,861  (2) 6 
Total liabilities and stockholders’ equity $ 471,435  $ 467,800  $ 471,660  $ 455,249  $ 444,232  1  6 

7

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 $449 million in Q3 2023, $443 million in Q2 2023, $405 million in Q1 2023, $321 million in Q4 2022 and $222 million in Q3 2022 for credit card finance charges and fees charged-off as uncollectible.
(2)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.
(3)Tangible book value per common share is a non-GAAP measure calculated based on TCE 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.
(4)Total net revenue margin is calculated based on annualized total net revenue for the period divided by average interest-earning assets for the period.
(5)Net interest margin is calculated based on annualized net interest income for the period divided by average interest-earning assets for the period.
(6)Return on average tangible assets is a non-GAAP measure calculated based on annualized income (loss) 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.
(7)Return on average common equity is calculated based on annualized net income (loss) available to common stockholders less annualized income (loss) from discontinued operations, net of tax, for the period, divided by average common equity. Our calculation of return on average common equity may not be comparable to similarly-titled measures reported by other companies.
(8)Return on average tangible common equity is a non-GAAP measure calculated based on annualized net income (loss) available to common stockholders less annualized income (loss) from discontinued operations, net of tax, for the period, divided by average TCE. See “Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures” for additional information on non-GAAP measures.
(9)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.
(10)Operating efficiency ratio is calculated based on operating expense for the period divided by total net revenue for the period. We also provide an adjusted operating 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.
(11)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.
(12)Capital ratios as of the end of Q3 2023 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.
(13)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.
**    Not meaningful.
8

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 6: Average Balances, Net Interest Income and Net Interest Margin
2023 Q3 2023 Q2 2022 Q3
(Dollars in millions, except as noted) Average Balance Interest Income/ Expense
Yield/Rate(1)
 Average Balance Interest Income/ Expense
Yield/Rate(1)
 Average Balance Interest Income/ Expense
Yield/Rate(1)
Interest-earning assets:
Loans, including loans held for sale $ 313,461  $ 9,696  12.37  % $ 310,335  $ 9,057  11.67  % $ 300,952  $ 7,578  10.07  %
Investment securities 87,845  627  2.86  89,994  639  2.84  88,666  499  2.25 
Cash equivalents and other 42,226  550  5.21  38,810  470  4.84  22,553  123  2.19 
Total interest-earning assets $ 443,532  $ 10,873  9.81  $ 439,139  $ 10,166  9.26  $ 412,171  $ 8,200  7.96 
Interest-bearing liabilities:
Interest-bearing deposits $ 316,032  $ 2,611  3.30  $ 313,207  $ 2,277  2.91  $ 275,900  $ 689  1.00 
Securitized debt obligations 17,649  249  5.63  17,771  236  5.31  17,108  120  2.81 
Senior and subordinated notes 31,522  579  7.36  30,161  528  7.00  30,962  319  4.13 
Other borrowings and liabilities 2,473  11  1.79  2,419  12  1.95  12,296  69  2.20 
Total interest-bearing liabilities $ 367,676  $ 3,450  3.75  $ 363,558  $ 3,053  3.36  $ 336,266  $ 1,197  1.42 
Net interest income/spread $ 7,423  6.05  $ 7,113  5.90  $ 7,003  6.53 
Impact of non-interest-bearing funding 0.64  0.58  0.27 
Net interest margin 6.69  % 6.48  % 6.80  %
                                                                                                                                                                                                                            
Nine Months Ended September 30,
2023 2022
(Dollars in millions, except as noted) Average Balance Interest Income/ Expense
Yield/Rate(1)
 Average Balance Interest Income/ Expense
Yield/Rate(1)
Interest-earning assets:
Loans, including loans held for sale $ 310,657  $ 27,476  11.79  % $ 289,116  $ 20,550  9.48  %
Investment securities 89,259  1,881  2.81  91,788  1,336  1.94 
Cash equivalents and other 39,405  1,436  4.86  20,889  193  1.23 
Total interest-earning assets $ 439,321  $ 30,793  9.35  $ 401,793  $ 22,079  7.33 
Interest-bearing liabilities:
Interest-bearing deposits $ 312,702  $ 6,744  2.88  $ 271,957  $ 1,200  0.59 
Securitized debt obligations 17,558  696  5.28  15,309  214  1.87 
Senior and subordinated notes 30,611  1,596  6.95  28,804  644  2.98 
Other borrowings and liabilities 2,410  35  1.94  8,982  104  1.53 
Total interest-bearing liabilities $ 363,281  $ 9,071  3.33  $ 325,052  $ 2,162  0.89 
Net interest income/spread $ 21,722  6.02  $ 19,917  6.44 
Impact of non-interest-bearing funding 0.57  0.17 
Net interest margin 6.59  % 6.61  %

9

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 7: Loan Information and Performance Statistics
2023 Q3 Nine Months Ended September 30,
2023 2023 2023 2022 2022 2023 2022 2023 2022 2023 vs. 2022
(Dollars in millions, except as noted) Q3 Q2 Q1 Q4 Q3 Q2 Q3
Loans Held for Investment (Period-End)
Credit card:
   Domestic credit card $ 140,320  $ 135,975  $ 130,980  $ 131,581  $ 121,279  3  % 16  % $ 140,320  $ 121,279  16  %
   International card businesses 6,463  6,516  6,162  6,149  5,634  (1) 15  6,463  5,634  15 
Total credit card 146,783  142,491  137,142  137,730  126,913  3  16  146,783  126,913  16 
Consumer banking:
   Auto 75,456  75,841  76,652  78,373  79,580  (1) (5) 75,456  79,580  (5)
   Retail banking 1,388  1,439  1,499  1,552  1,619  (4) (14) 1,388  1,619  (14)
Total consumer banking 76,844  77,280  78,151  79,925  81,199  (1) (5) 76,844  81,199  (5)
Commercial banking:
   Commercial and multifamily real estate 35,622  36,041  37,132  37,453  38,225  (1) (7) 35,622  38,225  (7)
   Commercial and industrial 55,531  55,511  56,411  57,223  57,606  —  (4) 55,531  57,606  (4)
Total commercial banking 91,153  91,552  93,543  94,676  95,831  —  (5) 91,153  95,831  (5)
Total loans held for investment $ 314,780  $ 311,323  $ 308,836  $ 312,331  $ 303,943  1  4  $ 314,780  $ 303,943  4 
Loans Held for Investment (Average)
Credit card:
   Domestic credit card $ 137,500  $ 132,505  $ 128,562  $ 124,816  $ 117,467  4  % 17  % $ 132,889  $ 111,032  20  %
   International card businesses 6,549  6,257  6,108  5,836  5,890  5  11  6,306  5,902  7 
Total credit card 144,049  138,762  134,670  130,652  123,357  4  17  139,195  116,934  19 
Consumer banking:
   Auto 75,740  76,233  77,465  79,108  79,741  (1) (5) 76,473  78,659  (3)
   Retail banking 1,414  1,465  1,529  1,592  1,598  (3) (12) 1,469  1,687  (13)
Total consumer banking 77,154  77,698  78,994  80,700  81,339  (1) (5) 77,942  80,346  (3)
Commercial banking:
   Commercial and multifamily real estate 35,964  37,068  37,373  37,848  38,230  (3) (6) 36,796  36,231  2 
   Commercial and industrial 55,592  56,127  56,719  57,681  57,260  (1) (3) 56,142  53,793  4 
Total commercial banking 91,556  93,195  94,092  95,529  95,490  (2) (4) 92,938  90,024  3 
Total average loans held for investment $ 312,759  $ 309,655  $ 307,756  $ 306,881  $ 300,186  1  4  $ 310,075  $ 287,304  8 
10

2023 Q3 Nine Months Ended September 30,
2023 2023 2023 2022 2022 2023 2022 2023 2022 2023 vs. 2022
Q3 Q2 Q1 Q4 Q3 Q2 Q3
Net Charge-Off (Recovery) Rates
Credit card:
   Domestic credit card(2)
 4.40  % 4.38  % 4.04  % 3.22  % 2.20  % 2  bps 220  bps 4.28  % 2.19  % 209  bps
   International card businesses 4.87  4.98  4.54  4.29  3.30  (11) 157  4.80  3.44  136 
Total credit card 4.42  4.41  4.06  3.27  2.25  1  217  4.30  2.26  204 
Consumer banking:
   Auto 1.77  1.40  1.53  1.66  1.05  37  72  1.57  0.77  80 
   Retail banking 3.80  3.25  2.97  5.15  3.89  55  (9) 3.33  3.95  (62)
Total consumer banking 1.81  1.43  1.56  1.73  1.10  38  71  1.60  0.84  76 
Commercial banking:
   Commercial and multifamily real estate 0.27  3.91  0.19  0.05  0.03  (364) 24  1.46  (0.02) 148 
   Commercial and industrial 0.24  0.11  0.03  0.06  0.06  13  18  0.13  0.15  (2)
Total commercial banking 0.25  1.62  0.09  0.06  0.05  (137) 20  0.66  0.08  58 
Total net charge-offs 2.56  2.82  2.21  1.86  1.24  (26) 132  2.53  1.18  135 
30+ Day Performing Delinquency Rates
Credit card:
   Domestic credit card 4.31  % 3.74  % 3.66  % 3.43  % 2.97  % 57  bps 134  bps 4.31  % 2.97  % 134  bps
   International card businesses 4.43  4.24  4.20  4.03  3.90  19  53  4.43  3.90  53 
Total credit card 4.32  3.77  3.68  3.46  3.01  55  131  4.32  3.01  131 
Consumer banking:
   Auto 5.64  5.38  5.00  5.62  4.85  26  79  5.64  4.85  79 
   Retail banking 1.07  1.19  0.56  1.02  0.84  (12) 23  1.07  0.84  23 
Total consumer banking 5.55  5.30  4.92  5.53  4.77  25  78  5.55  4.77  78 
Nonperforming Loans and Nonperforming Assets Rates(3)(4)
Credit card:
   International card businesses 0.14  % 0.16  % 0.12  % 0.14  % 0.14  % (2) bps —  0.14  % 0.14  % — 
Total credit card 0.01  0.01  0.01  0.01  0.01  —  —  0.01  0.01  — 
Consumer banking:
   Auto 0.85  0.77  0.67  0.76  0.60  8  25  bps 0.85  0.60  25  bps
   Retail banking 3.28  2.99  2.94  2.49  2.62  29  66  3.28  2.62  66 
Total consumer banking 0.89  0.82  0.72  0.79  0.64  7  25  0.89  0.64  25 
Commercial banking:
   Commercial and multifamily real estate 1.29  1.15  0.90  0.72  0.64  14  65  1.29  0.64  65 
   Commercial and industrial 0.65  0.71  0.72  0.75  0.53  (6) 12  0.65  0.53  12 
Total commercial banking 0.90  0.89  0.79  0.74  0.57  1  33  0.90  0.57  33 
Total nonperforming loans 0.48  0.47  0.42  0.43  0.35  1  13  0.48  0.35  13 
Total nonperforming assets 0.50  0.48  0.44  0.45  0.37  2  13  0.50  0.37  13 
11

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 8: Allowance for Credit Losses and Reserve for Unfunded Lending Commitments Activity

Three Months Ended September 30, 2023
Credit Card Consumer Banking
(Dollars in millions) Domestic Card International Card Businesses Total Credit Card Auto Retail Banking Total Consumer Banking Commercial Banking Total
Allowance for credit losses:
Balance as of June 30, 2023 $ 10,576  $ 400  $ 10,976  $ 2,150  $ 35  $ 2,185  $ 1,485  $ 14,646 
Charge-offs (1,811) (114) (1,925) (579) (17) (596) (60) (2,581)
Recoveries 299  34  333  244  3  247  2  582 
Net charge-offs (1,512) (80) (1,592) (335) (14) (349) (58) (1,999)
Provision for credit losses 1,861  92  1,953  198  15  213  155  2,321 
Allowance build (release) for credit losses 349  12  361  (137) 1  (136) 97  322 
Other changes(5)
 —  (13) (13) — — — — (13)
Balance as of September 30, 2023 10,925  399  11,324  2,013  36  2,049  1,582  14,955 
Reserve for unfunded lending commitments:
Balance as of June 30, 2023 — — — — — — 197  197 
Provision (benefit) for losses on unfunded lending commitments — — — — — — (39) (39)
Balance as of September 30, 2023 — — — — — — 158  158 
Combined allowance and reserve as of September 30, 2023 $ 10,925  $ 399  $ 11,324  $ 2,013  $ 36  $ 2,049  $ 1,740  $ 15,113 
12

Nine Months Ended September 30, 2023
Credit Card Consumer Banking
(Dollars in millions) Domestic Card International Card Businesses Total Credit Card Auto Retail Banking Total Consumer Banking Commercial Banking Total
Allowance for credit losses:
Balance as of December 31, 2022 $ 9,165  $ 380  $ 9,545  $ 2,187  $ 50  $ 2,237  $ 1,458  $ 13,240 
Cumulative effects of accounting standards adoption(6)
 (40) (23) (63) —  —  —  —  (63)
Balance as of January 1, 2023 9,125  357  9,482  2,187  50  2,237  1,458  13,177 
Charge-offs (5,156) (325) (5,481) (1,602) (51) (1,653) (462) (7,596)
Recoveries 894  98  992  704  14  718  5  1,715 
Net charge-offs (4,262) (227) (4,489) (898) (37) (935) (457) (5,881)
Provision for credit losses 6,030  268  6,298  724  23  747  581  7,626 
Allowance build (release) for credit losses 1,768  41  1,809  (174) (14) (188) 124  1,745 
Other changes(5)
 32  1  33  —  —  —  —  33 
Balance as of September 30, 2023 10,925  399  11,324  2,013  36  2,049  1,582  14,955 
Reserve for unfunded lending commitments:
Balance as of December 31, 2022 — — — — — — 218  218 
Provision (benefit) for losses on unfunded lending commitments — — — — — — (60) (60)
Balance as of September 30, 2023 — — — — — — 158  158 
Combined allowance and reserve as of September 30, 2023 $ 10,925  $ 399  $ 11,324  $ 2,013  $ 36  $ 2,049  $ 1,740  $ 15,113 
13

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 9: Financial Summary—Business Segment Results
Three Months Ended September 30, 2023 Nine Months Ended September 30, 2023
(Dollars in millions) Credit Card Consumer Banking
Commercial Banking(7)
Other(7)
 Total Credit Card Consumer Banking
Commercial Banking(7)
Other(7)
 Total
Net interest income (loss) $ 5,114  $ 2,133  $ 621  $ (445) $ 7,423  $ 14,498  $ 6,762  $ 1,901  $ (1,439) $ 21,722 
Non-interest income (loss) 1,513  142  288  —  1,943  4,375  426  757  1  5,559 
Total net revenue (loss) 6,627  2,275  909  (445) 9,366  18,873  7,188  2,658  (1,438) 27,281 
Provision for credit losses 1,953  213  116  2  2,284  6,298  747  521  3  7,569 
Non-interest expense 3,015  1,262  512  71  4,860  9,073  3,776  1,524  226  14,599 
Income (loss) from continuing operations before income taxes 1,659  800  281  (518) 2,222  3,502  2,665  613  (1,667) 5,113 
Income tax provision (benefit) 393  189  67  (217) 432  830  629  145  (672) 932 
Income (loss) from continuing operations, net of tax $ 1,266  $ 611  $ 214  $ (301) $ 1,790  $ 2,672  $ 2,036  $ 468  $ (995) $ 4,181 
Three Months Ended June 30, 2023
(Dollars in millions) Credit Card Consumer Banking
Commercial Banking(7)
Other(7)
 Total
Net interest income (loss) $ 4,727  $ 2,269  $ 632  $ (515) $ 7,113 
Non-interest income (loss) 1,499  149  257  (6) 1,899 
Total net revenue (loss) 6,226  2,418  889  (521) 9,012 
Provision for credit losses 2,084  259  146  1  2,490 
Non-interest expense 3,020  1,231  482  61  4,794 
Income (loss) from continuing operations before income taxes 1,122  928  261  (583) 1,728 
Income tax provision (benefit) 265  219  61  (248) 297 
Income (loss) from continuing operations, net of tax $ 857  $ 709  $ 200  $ (335) $ 1,431 
Three Months Ended September 30, 2022 Nine Months Ended September 30, 2022
(Dollars in millions) Credit Card Consumer Banking
Commercial Banking(7)
Other(7)
 Total Credit Card Consumer Banking
Commercial Banking(7)
Other(7)
 Total
Net interest income (loss) $ 4,313  $ 2,311  $ 699  $ (320) $ 7,003  $ 12,051  $ 6,571  $ 1,941  $ (646) $ 19,917 
Non-interest income (loss) 1,454  129  319  (100) 1,802  4,322  330  868  (227) 5,293 
Total net revenue (loss) 5,767  2,440  1,018  (420) 8,805  16,373  6,901  2,809  (873) 25,210 
Provision (benefit) for credit losses 1,261  285  123  —  1,669  2,387  696  353  (5) 3,431 
Non-interest expense 3,004  1,340  542  63  4,949  8,558  3,862  1,515  148  14,083 
Income (loss) from continuing operations before income taxes 1,502  815  353  (483) 2,187  5,428  2,343  941  (1,016) 7,696 
Income tax provision (benefit) 356  193  83  (139) 493  1,291  555  223  (501) 1,568 
Income (loss) from continuing operations, net of tax $ 1,146  $ 622  $ 270  $ (344) $ 1,694  $ 4,137  $ 1,788  $ 718  $ (515) $ 6,128 

14

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 10: Financial & Statistical Summary—Credit Card Business
2023 Q3 vs. Nine Months Ended September 30,
2023 2023 2023 2022 2022 2023 2022 2023 vs.
(Dollars in millions, except as noted) Q3 Q2 Q1 Q4 Q3 Q2 Q3 2023 2022 2022
Credit Card
Earnings:
Net interest income $ 5,114  $ 4,727  $ 4,657  $ 4,533  $ 4,313  8% 19% $ 14,498  $ 12,051  20%
Non-interest income 1,513  1,499  1,363  1,449  1,454  1  4  4,375  4,322  1 
Total net revenue 6,627  6,226  6,020  5,982  5,767  6  15  18,873  16,373  15 
Provision for credit losses 1,953  2,084  2,261  1,878  1,261  (6) 55 6,298  2,387  164
Non-interest expense 3,015  3,020  3,038  3,069  3,004  —  —  9,073  8,558  6 
Income from continuing operations before income taxes 1,659  1,122  721  1,035  1,502  48  10  3,502  5,428  (35)
Income tax provision 393  265  172  245  356  48  10  830  1,291  (36)
Income from continuing operations, net of tax $ 1,266  $ 857  $ 549  $ 790  $ 1,146  48  10  $ 2,672  $ 4,137  (35)
Selected performance metrics:
Period-end loans held for investment $ 146,783 $ 142,491 $ 137,142 $ 137,730 $ 126,913 3  16  $ 146,783 $ 126,913 16 
Average loans held for investment 144,049 138,762 134,670 130,652 123,357 4  17  139,195 116,934 19 
Average yield on loans outstanding(1)
 19.02  % 18.17  % 17.98  % 17.69  % 16.74  % 85  bps 228  bps 18.40  % 15.67  % 273  bps
Total net revenue margin(8)
 18.40  17.95  17.88  18.32  18.70  45  (30) 18.08  18.53  (45)
Net charge-off rate
4.42  4.41  4.06  3.27  2.25  1  217  4.30  2.26  204 
30+ day performing delinquency rate 4.32  3.77  3.68  3.46  3.01  55  131  4.32  3.01  131 
30+ day delinquency rate 4.32  3.77  3.69  3.46  3.02  55  130  4.32  3.02  130 
Nonperforming loan rate(3)
 0.01  0.01  0.01  0.01  0.01  —  —  0.01  0.01  — 
Purchase volume(9)
 $ 158,640 $ 157,937 $ 141,658 $ 155,633 $ 149,497 —  6% $ 458,235 $ 431,650 6%
15

2023 Q3 vs. Nine Months Ended September 30,
2023 2023 2023 2022 2022 2023 2022 2023 vs.
(Dollars in millions, except as noted) Q3 Q2 Q1 Q4 Q3 Q2 Q3 2023 2022 2022
Domestic Card
Earnings:
Net interest income $ 4,827  $ 4,453  $ 4,390  $ 4,280  $ 4,065  8% 19% $ 13,670  $ 11,336  21%
Non-interest income 1,445  1,431  1,298  1,392  1,383  1  4  4,174  3,971  5 
Total net revenue 6,272  5,884  5,688  5,672  5,448  7  15  17,844  15,307  17 
Provision for credit losses 1,861  1,995  2,174  1,800  1,167  (7) 59 6,030  2,220  172
Non-interest expense 2,810  2,805  2,847  2,866  2,803  —  —  8,462  7,961  6 
Income from continuing operations before income taxes 1,601  1,084  667  1,006  1,478  48  8  3,352  5,126  (35)
Income tax provision 378  256  157  238  351  48  8  791  1,215  (35)
Income from continuing operations, net of tax $ 1,223  $ 828  $ 510  $ 768  $ 1,127  48  9  $ 2,561  $ 3,911  (35)
Selected performance metrics:
Period-end loans held for investment $ 140,320 $ 135,975 $ 130,980 $ 131,581 $ 121,279 3  16  $ 140,320 $ 121,279 16 
Average loans held for investment 137,500 132,505 128,562 124,816 117,467 4  17  132,889 111,032 20 
Average yield on loans outstanding(1)
 18.96  % 18.07  % 17.88  % 17.58  % 16.61  % 89  bps 235  bps 18.31  % 15.51  % 280  bps
Total net revenue margin(8)
 18.24  17.76  17.70  18.18  18.55  48  (31) 17.90  18.33  (43)
Net charge-off rate(2)
 4.40  4.38  4.04  3.22  2.20  2  220  4.28  2.19  209 
30+ day performing delinquency rate 4.31  3.74  3.66  3.43  2.97  57  134  4.31  2.97  134 
Purchase volume(9)
 $ 154,880 $ 154,184 $ 138,310 $ 151,995 $ 145,805 —  6% $ 447,374 $ 416,757 7%
Refreshed FICO scores:(10)
Greater than 660 69  % 69  % 68  % 69  % 70  % —  (1) 69  % 70  % (1)
660 or below 31  31  32  31  30  —  1  31  30  1 
Total 100  % 100  % 100  % 100  % 100  % 100  % 100  %
    

16

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 11: Financial & Statistical Summary—Consumer Banking Business
2023 Q3 vs. Nine Months Ended September 30,
2023 2023 2023 2022 2022 2023 2022 2023 vs.
(Dollars in millions, except as noted) Q3 Q2 Q1 Q4 Q3 Q2 Q3 2023 2022 2022
Consumer Banking
Earnings:
Net interest income $ 2,133  $ 2,269  $ 2,360  $ 2,394  $ 2,311  (6)% (8)% $ 6,762  $ 6,571  3%
Non-interest income 142  149  135  139  129  (5) 10  426  330  29 
Total net revenue 2,275  2,418  2,495  2,533  2,440  (6) (7) 7,188  6,901  4 
Provision for credit losses 213  259  275  477  285  (18) (25) 747  696  7
Non-interest expense 1,262  1,231  1,283  1,450  1,340  3  (6) 3,776  3,862  (2)
Income from continuing operations before income taxes 800  928  937  606  815  (14) (2) 2,665  2,343  14 
Income tax provision 189  219  221  144  193  (14) (2) 629  555  13 
Income from continuing operations, net of tax $ 611  $ 709  $ 716  $ 462  $ 622  (14) (2) $ 2,036  $ 1,788  14 
Selected performance metrics:
Period-end loans held for investment $ 76,844 $ 77,280 $ 78,151 $ 79,925 $ 81,199 (1) (5) $ 76,844 $ 81,199 (5)
Average loans held for investment 77,154 77,698 78,994 80,700 81,339 (1) (5) 77,942 80,346 (3)
Average yield on loans held for investment(1)
 7.97  % 7.65  % 7.40  % 7.31  % 7.20  % 32  bps 77  bps 7.67  % 7.15  % 52  bps
Auto loan originations $ 7,452 $ 7,160 $ 6,211 $ 6,635 $ 8,289 4% (10)% $ 20,823 $ 30,330 (31)%
Period-end deposits 290,789 286,174 291,163 270,592 256,661 2  13  290,789 256,661 13 
Average deposits 287,457 285,647 278,772 262,844 255,843 1  12  283,991 255,150 11 
Average deposits interest rate 2.85  % 2.46  % 1.96  % 1.42  % 0.79  % 39  bps 206  bps 2.43  % 0.49  % 194  bps
Net charge-off rate 1.81  1.43  1.56  1.73  1.10  38  71  1.60  0.84  76 
30+ day performing delinquency rate 5.55  5.30  4.92  5.53  4.77  25  78  5.55  4.77  78 
30+ day delinquency rate 6.27  5.95  5.46  6.18  5.28  32  99  6.27  5.28  99 
Nonperforming loan rate(3)
 0.89  0.82  0.72  0.79  0.64  7  25  0.89  0.64  25 
Nonperforming asset rate(4)
 0.96  0.88  0.78  0.87  0.71  8  25  0.96  0.71  25 
Auto—At origination FICO scores:(11)
Greater than 660 52  % 52  % 52  % 53  % 52  % —  —  52  % 52  % — 
621 - 660 20  20  20  20  20  —  —  20  20  — 
620 or below 28  28  28  27  28  —  —  28  28  — 
Total 100  % 100  % 100  % 100  % 100  % 100  % 100  %
17

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 12: Financial & Statistical Summary—Commercial Banking Business
2023 Q3 vs. Nine Months Ended September 30,
2023 2023 2023 2022 2022 2023 2022 2023 vs.
(Dollars in millions, except as noted) Q3 Q2 Q1 Q4 Q3 Q2 Q3 2023 2022 2022
Commercial Banking
Earnings:
Net interest income(12)
 $ 621  $ 632  $ 648  $ 520  $ 699  (2)% (11)% $ 1,901 $ 1,941 (2)%
Non-interest income 288  257  212  261  319  12  (10) 757 868 (13)
Total net revenue(7)
 909  889  860  781  1,018  2  (11) 2,658 2,809 (5)
Provision for credit losses 116  146  259  62  123  (21) (6) 521 353 48
Non-interest expense 512  482  530  555  542  6  (6) 1,524 1,515 1 
Income from continuing operations before income taxes 281  261  71  164  353  8 (20) 613 941 (35)
Income tax provision 67  61  17  39  83  10 (19) 145 223 (35)
Income from continuing operations, net of tax $ 214  $ 200  $ 54  $ 125  $ 270  7 (21) $ 468 $ 718 (35)
Selected performance metrics:
Period-end loans held for investment(13)
 $ 91,153 $ 91,552 $ 93,543 $ 94,676 $ 95,831 —  (5) $ 91,153 $ 95,831 (5)
Average loans held for investment 91,556 93,195 94,092 95,529 95,490 (2) (4) 92,938 90,024 3 
Average yield on loans held for investment(1)(7)
 7.16  % 6.75  % 6.31  % 5.63  % 4.40  % 41  bps 276  bps 6.73  % 3.44  % 329  bps
Period-end deposits $ 36,035 $ 36,793 $ 38,380 $ 40,808 $ 41,058 (2)% (12)% $ 36,035 $ 41,058 (12)%
Average deposits 37,279 37,960 39,941 42,779 39,799 (2) (6) 38,383 41,762 (8)
Average deposits interest rate 2.93  % 2.68  % 2.34  % 1.80  % 0.83  % 25  bps 210  bps 2.65  % 0.37  % 228  bps
Net charge-off rate 0.25  1.62  0.09  0.06  0.05  (137) 20 0.66  0.08  58 
Nonperforming loan rate(3)
 0.90  0.89  0.79  0.74  0.57  1  33  0.90  0.57  33 
Nonperforming asset rate(4)
 0.90  0.89  0.79  0.74  0.57  1  33  0.90  0.57  33 
Risk category:(14)
Noncriticized $ 82,968 $ 84,583 $ 85,964 $ 87,620 $ 89,559 (2)% (7)% $ 82,968 $ 89,559 (7)%
Criticized performing 7,363 6,158 6,839 6,355 5,722 20  29  7,363 5,722 29 
Criticized nonperforming 822 811 740 701 550 1  49  822 550 49 
Total commercial banking loans held for investment $ 91,153 $ 91,552 $ 93,543 $ 94,676 $ 95,831 —  (5) $ 91,153 $ 95,831 (5)
Risk category as a percentage of period-end loans held for investment:(14)
Noncriticized 91.02  % 92.38  % 91.90  % 92.55  % 93.46  % (136) bps (244) bps 91.02  % 93.46  % (244) bps
Criticized performing 8.08  6.73  7.31  6.71  5.97  135  211  8.08  5.97  211 
Criticized nonperforming 0.90  0.89  0.79  0.74  0.57  1  33  0.90  0.57  33 
Total commercial banking loans 100.00  % 100.00  % 100.00  % 100.00  % 100.00  % 100.00  % 100.00  %
18

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 13: Financial & Statistical Summary—Other and Total
2023 Q3 vs. Nine Months Ended September 30,
2023 2023 2023 2022 2022 2023 2022 2023 vs.
(Dollars in millions) Q3 Q2 Q1 Q4 Q3 Q2 Q3 2023 2022 2022
Other
Earnings:
Net interest loss(12)
 $ (445) $ (515) $ (479) $ (250) $ (320) (14)% 39% $ (1,439) $ (646) 123%
Non-interest income (loss) — (6) 7 (6) (100) ** ** 1 (227) **
Total net loss(7)
 (445) (521) (472) (256) (420) (15) 6 (1,438) (873) 65
Provision (benefit) for credit losses 2 1 — (1) — 100 ** 3 (5) **
Non-interest expense(15)
 71 61 94 6 63 16 13 226 148 53
Loss from continuing operations before income taxes (518) (583) (566) (261) (483) (11) 7 (1,667) (1,016) 64
Income tax benefit (217) (248) (207) (116) (139) (13) 56 (672) (501) 34
Loss from continuing operations, net of tax $ (301) $ (335) $ (359) $ (145) $ (344) (10) (13) $ (995) $ (515) 93
Selected performance metrics:
Period-end deposits $ 19,187  $ 20,738  $ 20,284  $ 21,592  $ 19,474  (7) (1) $ 19,187  $ 19,474  (1)
Average deposits 20,277  20,071  21,410  20,935  16,286  1 25 20,582  12,256  68
Total
Earnings:
Net interest income $ 7,423  $ 7,113  $ 7,186  $ 7,197  $ 7,003  4% 6% $ 21,722  $ 19,917  9%
Non-interest income 1,943  1,899  1,717  1,843  1,802  2 8 5,559  5,293  5
Total net revenue 9,366  9,012  8,903  9,040  8,805  4 6 27,281  25,210  8
Provision for credit losses 2,284  2,490  2,795  2,416  1,669  (8) 37 7,569  3,431  121
Non-interest expense 4,860  4,794  4,945  5,080  4,949  1 (2) 14,599  14,083  4
Income from continuing operations before income taxes 2,222  1,728  1,163  1,544  2,187  29 2 5,113  7,696  (34)
Income tax provision 432  297  203  312  493  45 (12) 932  1,568  (41)
Income from continuing operations, net of tax $ 1,790  $ 1,431  $ 960  $ 1,232  $ 1,694  25 6 $ 4,181  $ 6,128  (32)
Selected performance metrics:
Period-end loans held for investment $ 314,780  $ 311,323  $ 308,836  $ 312,331  $ 303,943  1 4 $ 314,780  $ 303,943  4
Average loans held for investment 312,759  309,655  307,756  306,881  300,186  1 4 310,075  287,304  8
Period-end deposits 346,011  343,705  349,827  332,992  317,193  1 9 346,011  317,193  9
Average deposits 345,013  343,678  340,123  326,558  311,928  — 11 342,956  309,168  11
19

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 14: Notes to Net Interest Margin, Loan, Allowance and Business Segment Disclosures (Tables 6—13)

(1)Average yield is calculated based on annualized interest income for the period divided by average loans during the period. Annualized interest income does not include any allocations, such as funds transfer pricing. Average yield is calculated using whole dollar values for average balances and interest income/expense. Accordingly, total interest earning assets less total interest bearing liabilities may not total net interest income/spread.
(2)In August 2022, in addition to our normal recovery activity, we sold a pool of charged-off loans that resulted in elevated debt sale recovery activity of approximately $33 million, which decreased the Domestic Credit Card net charge-off rate for the third quarter of 2022 by approximately 11 basis points. Excluding the impact, the Domestic Credit Card net charge-off rate would have been 2.31% for the third quarter of 2022.
(3)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. For Commercial Banking, loans categorized as nonperforming are considered criticized nonperforming.
(4)Nonperforming assets consist of nonperforming loans, repossessed assets 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, repossessed assets and other foreclosed assets.
(5)Primarily represents the initial allowance for purchased credit-deteriorated loans and foreign currency translation adjustments. The initial allowance of purchased credit-deteriorated loans was $0 million and $32 million for the three and nine months ended September 30, 2023, respectively.
(6)Impact from the adoption of ASU 2022-02, Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures as of January 1, 2023.
(7)Some of our commercial investments generate tax-exempt income, tax credits or other tax benefits. Accordingly, we present our Commercial Banking revenue and yields on a taxable-equivalent basis, calculated using the federal statutory tax rate of 21% and state taxes where applicable, with offsetting reductions to the Other category.
(8)Total net revenue margin is calculated based on total net revenue for the period divided by average loans outstanding during the period.
(9)Purchase volume consists of purchase transactions, net of returns, for the period, and excludes cash advance and balance transfer transactions.
(10)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.
(11)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.
(12)In the fourth quarter of 2022, an internal funds transfer pricing impact of $176 million decreased net interest income in the Commercial Banking business and increased the Other category, and was therefore neutral to Capital One Financial Corporation.
(13)We reclassified $888 million in commercial office real estate loans from loans held for investment to loans held for sale as of June 30, 2023.
(14)Criticized exposures correspond to the “Special Mention,” “Substandard” and “Doubtful” asset categories defined by bank regulatory authorities.
(15)Includes charges incurred as a result of restructuring activities.
**    Not meaningful.
20

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) September 30,
2023		 June 30,
2023		 March 31,
2023		 December 31,
2022		 September 30,
2022
Regulatory Capital Metrics
Common equity excluding AOCI $ 62,245 $ 60,729 $ 59,546 $ 59,450 $ 58,516
Adjustments:
AOCI, net of tax(2)
 (9) 31 (3) (17) (120)
Goodwill, net of related deferred tax liabilities (14,797) (14,813) (14,538) (14,540) (14,537)
Other Intangible and deferred tax assets, net of deferred tax liabilities (333) (358) (371) (162) (194)
Common equity Tier 1 capital $ 47,106 $ 45,589 $ 44,634 $ 44,731 $ 43,665
Tier 1 capital $ 51,952 $ 50,434 $ 49,479 $ 49,576 $ 48,510
Total capital(3)
 58,844 57,607 56,611 56,714 55,938
Risk-weighted assets 362,945 359,613 356,079 357,920 356,801
Adjusted average assets(4)
 464,286 459,732 455,477 444,704 439,479
Capital Ratios
Common equity Tier 1 capital(5)
 13.0% 12.7% 12.5% 12.5% 12.2%
Tier 1 capital(6)
 14.3 14.0 13.9 13.9 13.6
Total capital(7)
 16.2 16.0 15.9 15.8 15.7
Tier 1 leverage(4)
 11.2 11.0 10.9 11.1 11.0
TCE(8)
 7.3 7.6 7.6 7.5 7.2


21

Reconciliation of Non-GAAP Measures

The following non-GAAP measures consist of our adjusted results that we believe help investors and users of our financial information understand the effect of adjusting items on our selected reported results, however, they may not be comparable to similarly-titled measures reported by other companies. These adjusted results provide alternate measurements of our operating performance, both for the current period and trends across multiple periods. The following tables present reconciliations of these non-GAAP measures to the applicable amounts measured in accordance with GAAP.
2023 2023 2023 2022 2022 Nine Months Ended September 30,
(Dollars in millions, except per share data and as noted) Q3 Q2 Q1 Q4 Q3 2023 2022
Adjusted diluted earnings per share (“EPS”):
Net income available to common stockholders (GAAP) $ 1,705 $ 1,351 $ 887 $ 1,161 $ 1,616 $ 3,943 $ 5,883
Insurance recoveries and legal reserve activity — — — (177) — — —
Restructuring charges — — — 72 — — —
Adjusted net income available to common stockholders before income tax impacts (non-GAAP) 1,705 1,351 887 1,056 1,616 3,943 5,883
Income tax impacts — — — 25 — — —
Adjusted net income available to common stockholders (non-GAAP) $ 1,705 $ 1,351 $ 887 $ 1,081 $ 1,616 $ 3,943 $ 5,883
Diluted weighted-average common shares outstanding (in millions) (GAAP) 383.3 383.7 383.8 383.7 384.6 383.6 396.4
Diluted EPS (GAAP) $ 4.45 $ 3.52 $ 2.31 $ 3.03 $ 4.20 $ 10.28 $ 14.84
Impact of adjustments noted above — — — (0.21) — — —
Adjusted diluted EPS (non-GAAP) $ 4.45 $ 3.52 $ 2.31 $ 2.82 $ 4.20 $ 10.28 $ 14.84
Adjusted efficiency ratio:
Non-interest expense (GAAP) $ 4,860 $ 4,794 $ 4,945 $ 5,080 $ 4,949 $ 14,599 $ 14,083
Insurance recoveries and legal reserve activity — — — 177 — — —
Restructuring charges — — — (72) — — —
Adjusted non-interest expense (non-GAAP) $ 4,860 $ 4,794 $ 4,945 $ 5,185 $ 4,949 $ 14,599 $ 14,083
Total net revenue (GAAP) $ 9,366 $ 9,012 $ 8,903 $ 9,040 $ 8,805 $ 27,281 $ 25,210
Efficiency ratio (GAAP) 51.89% 53.20% 55.54% 56.19% 56.21% 53.51% 55.86%
Impact of adjustments noted above — — — 117bps — — —
Adjusted efficiency ratio (non-GAAP) 51.89% 53.20% 55.54% 57.36% 56.21% 53.51% 55.86%
Adjusted operating efficiency ratio:
Operating expense (GAAP) $ 3,888 $ 3,908 $ 4,048 $ 3,962 $ 3,971 $ 11,844 $ 11,184
Insurance recoveries and legal reserve activity — — — 177 — — —
Restructuring charges — — — (72) — — —
Adjusted operating expense (non-GAAP) $ 3,888 $ 3,908 $ 4,048 $ 4,067 $ 3,971 $ 11,844 $ 11,184
22

2023 2023 2023 2022 2022 Nine Months Ended September 30,
(Dollars in millions, except per share data and as noted) Q3 Q2 Q1 Q4 Q3 2023 2022
Total net revenue (GAAP) $ 9,366 $ 9,012 $ 8,903 $ 9,040 $ 8,805 $ 27,281 $ 25,210
Operating efficiency ratio (GAAP) 41.51% 43.36% 45.47% 43.83% 45.10% 43.41% 44.36%
Impact of adjustments noted above — — — 116bps — — —
Adjusted operating efficiency ratio (non-GAAP) 41.51% 43.36% 45.47% 44.99% 45.10% 43.41% 44.36%

Reconciliation of Non-GAAP Measures

The following summarizes our non-GAAP measures. While these non-GAAP measures are widely used by investors, analysts and bank regulatory agencies to assess the operating performance and capital position of financial services companies, they may not be comparable to similarly-titled measures reported by other companies. The following table presents reconciliations of these non-GAAP measures to the applicable amounts measured in accordance with GAAP.

2023 2023 2023 2022 2022
(Dollars in millions) Q3 Q2 Q1 Q4 Q3
Pre- Provision Earnings
Total net revenue $ 9,366  $ 9,012  $ 8,903  $ 9,040  $ 8,805 
Non-interest expense (4,860) (4,794) (4,945) (5,080) (4,949)
Pre-provision earnings(9)
 $ 4,506  $ 4,218  $ 3,958  $ 3,960  $ 3,856 
Tangible Common Equity (Period-End)
Stockholders’ equity $ 53,668  $ 54,559  $ 54,653  $ 52,582  $ 50,861 
Goodwill and other intangible assets(10)
 (15,308) (15,356) (15,098) (14,902) (14,932)
Noncumulative perpetual preferred stock (4,845) (4,845) (4,845) (4,845) (4,845)
Tangible common equity(11)
 $ 33,515  $ 34,358  $ 34,710  $ 32,835  $ 31,084 
Tangible Common Equity (Average)
Stockholders’ equity $ 55,012  $ 55,357  $ 54,773  $ 52,439  $ 54,541 
Goodwill and other intangible assets(10)
 (15,348) (15,187) (14,984) (14,926) (14,916)
Noncumulative perpetual preferred stock (4,845) (4,845) (4,845) (4,845) (4,845)
Tangible common equity(11)
 $ 34,819  $ 35,325  $ 34,944  $ 32,668  $ 34,780 
Return on Tangible Common Equity (Average)
Net income available to common stockholders $ 1,705  $ 1,351  $ 887  $ 1,161  $ 1,616 
Tangible common equity (Average)
 34,819  35,325  34,944  32,668  34,780 
Return on tangible common equity(11)(12)
 19.59  % 15.30  % 10.15  % 14.22  % 18.59  %
Tangible Assets (Period-End)
Total assets $ 471,435  $ 467,800  $ 471,660  $ 455,249  $ 444,232 
Goodwill and other intangible assets(10)
 (15,308) (15,356) (15,098) (14,902) (14,932)
Tangible assets(11)
 $ 456,127  $ 452,444  $ 456,562  $ 440,347  $ 429,300 
23

2023 2023 2023 2022 2022
(Dollars in millions) Q3 Q2 Q1 Q4 Q3
Tangible Assets (Average)
Total assets $ 469,860  $ 466,652  $ 462,324  $ 449,659  $ 447,088 
Goodwill and other intangible assets(10)
 (15,348) (15,187) (14,984) (14,926) (14,916)
Tangible assets(11)
 $ 454,512  $ 451,465  $ 447,340  $ 434,733  $ 432,172 
Return on Tangible Assets (Average)
Net income $ 1,790  $ 1,431  $ 960  $ 1,232  $ 1,694 
Tangible Assets (Average) 454,512  451,465  447,340  434,733  432,172 
Return on tangible assets(11)(13)
 1.58% 1.27% 0.86% 1.13% 1.57%
TCE Ratio
Tangible common equity (Period-end) $ 33,515  $ 34,358  $ 34,710  $ 32,835  $ 31,084 
Tangible Assets (Period-end) 456,127  452,444  456,562  440,347  429,300 
TCE Ratio(11)
 7.3% 7.6% 7.6% 7.5% 7.2%
Tangible Book Value per Share
Tangible common equity (Period-end) $ 33,515  $ 34,358  $ 34,710  $ 32,835  $ 31,084 
Outstanding Common Shares 381.0  381.4  382.0  381.3  382.0 
Tangible book value per common share(11)
 $ 87.97  $ 90.07  $ 90.86  $ 86.11  $ 81.38 
__________
(1)Regulatory capital metrics and capital ratios as of September 30, 2023 are preliminary and therefore subject to change.    
(2)Excludes certain components of AOCI in accordance with rules applicable to Category III institutions.
(3)Total capital equals the sum of Tier 1 capital and Tier 2 capital.
(4)Adjusted average assets for the purpose of calculating our Tier 1 leverage ratio represents total average assets adjusted for amounts that are 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.
(5)Common equity Tier 1 capital ratio is a regulatory capital measure calculated based on common equity Tier 1 capital divided by risk-weighted assets.
(6)Tier 1 capital ratio is a regulatory capital measure calculated based on Tier 1 capital divided by risk-weighted assets.
(7)Total capital ratio is a regulatory capital measure calculated based on total capital divided by risk-weighted assets.
(8)TCE ratio is a Non-GAAP measure calculated based on TCE divided by tangible assets.
(9)Management believes that this financial metric is useful in assessing the ability of a lending institution to generate income in excess of its provision for credit losses.
(10)Includes impact of related deferred taxes.
(11)Management believes that this financial metric is useful in assessing capital adequacy and the level of returns generated.
(12)Return on average tangible common equity is a non-GAAP measure calculated based on annualized net income (loss) available to common stockholders less annualized income (loss) from discontinued operations, net of tax, for the period, divided by average TCE.
(13)Return on average tangible assets is a non-GAAP measure calculated based on annualized income (loss) from continuing operations, net of tax, for the period divided by average tangible assets for the period.
24