From Financial Modeling Prep: 2025-01-23 08:20:00

Discover Financial Services (NYSE:DFS) exceeded fourth-quarter earnings expectations, with adjusted EPS of $5.11 compared to estimates of $3.20. Quarterly revenue hit $4.76 billion, surpassing forecasts of $4.41 billion. Net income surged 253% year-over-year to $1.29 billion, driven by lower credit losses provisions and higher revenue.

Total loans decreased by 6% to $121.1 billion, but credit card loans rose by 1% to $102.8 billion. The net interest margin expanded to 11.96%, up 98 basis points from the previous year, mainly due to the sale of the student loan portfolio. The net charge-off rate increased year-over-year but decreased sequentially, indicating improving credit performance.



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