Discover Financial Services has generated a
pre-tax income from payment services of $52m in the first quarter
of the year – an increase of 21% on the year ago quarter.
Payment service transaction volume grew by 8%
on the corresponding quarter a year ago to $46.7bn.
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
Group net income for the first quarter soared
36% year-on-year to $631m.
Other first quarter highlights included:
- A 9% year-on-year increase in total loans to
$4.6bn, - A 7% increase in credit card loans to $1.6m
on the year ago quarter, - A decline in the delinquency rate for credit
card loans over 30 days past due to 2.22%.
Discover chairman and CEO David Nelms called
the first quarter results “a great start for 2012” and said:
“Continued improvements in credit performance,
solid organic growth in each of our lending products and strong
volume growth across our networks were key drivers of this
quarter’s earnings.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalData“We also recently announced that our board of
directors approved a new $2 billion share repurchase authorisation.
This action, along with the two dividend increases we announced
last year, reflect the strength of our capital base and our
confidence in the future earnings power of the company.”
In other news, Discover announced an agreement
with Puerto Rico-based Evertec, a payment processor that also
specialises in merchant acquiring and business management
solutions.
