Discover Financial Services
CIK:0001393612|SEC Filings
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions |
3 Months Ended | |
|---|---|---|
Mar. 31, 2025 |
Mar. 31, 2024 |
|
| Cash flows provided by operating activities | ||
| Net income | $ 1,104 | $ 851 |
| Adjustments to reconcile net income to net cash provided by operating activities: | ||
| Provision for credit losses | 1,244 | 1,497 |
| Deferred income taxes | 68 | (27) |
| Depreciation and amortization | 11 | 96 |
| Amortization of deferred revenues | (101) | (123) |
| Net losses on investments and other assets | 16 | 16 |
| Other, net | 27 | 29 |
| Changes in assets and liabilities: | ||
| Increase in other assets | (49) | (246) |
| Decrease in accrued expenses and other liabilities | (188) | (250) |
| Net cash provided by operating activities | 2,132 | 1,843 |
| Cash flows provided by (used for) investing activities | ||
| Maturities of other short-term investments | 750 | 0 |
| Maturities of available-for-sale investment securities | 397 | 522 |
| Purchases of available-for-sale investment securities | (375) | (475) |
| Maturities of held-to-maturity investment securities | 5 | 4 |
| Purchases of held-to-maturity investment securities | (7) | (12) |
| Net change in principal on loans originated for investment | 2,311 | 398 |
| Proceeds from the sale of other investments | 0 | 1 |
| Purchases of other investments | (11) | (9) |
| Purchases of premises and equipment | (64) | (71) |
| Net cash provided by investing activities | 3,006 | 358 |
| Cash flows provided by (used for) financing activities | ||
| Net change in short-term borrowings | 0 | (750) |
| Net change in deposits | 1,173 | 1,488 |
| Maturities and repayment of securitized debt | (1,250) | (4) |
| Maturities and repayments of other long-term borrowings | (506) | (1) |
| Proceeds from issuance of common stock | 4 | 3 |
| Purchases of treasury stock | (29) | (28) |
| Dividends paid on common and preferred stock | (194) | (194) |
| Net cash (used for) provided by financing activities | (802) | 514 |
| Net increase in cash, cash equivalents and restricted cash | 4,336 | 2,715 |
| Cash, cash equivalents and restricted cash, at the beginning of the period | 8,499 | 11,728 |
| Cash, cash equivalents and restricted cash, at the end of the period | 12,835 | 14,443 |
| Reconciliation of cash, cash equivalents and restricted cash | ||
| Cash and cash equivalents | 11,865 | 14,004 |
| Restricted cash | $ 970 | $ 439 |
Condensed Consolidated Statements of Financial Condition - USD ($) $ in Millions |
Mar. 31, 2025 |
Dec. 31, 2024 |
|---|---|---|
| Assets | ||
| Cash and cash equivalents | $ 11,865 | $ 8,474 |
| Restricted cash | 970 | 25 |
| Other short-term investments | 4,728 | 5,423 |
| Investment securities (includes available-for-sale securities of $14,502 and $14,359 reported at fair value with associated amortized cost of $14,489 and $14,475 at March 31, 2025 and December 31, 2024, respectively) | 14,775 | 14,630 |
| Loan receivables | ||
| Loan receivables | 117,403 | 121,118 |
| Allowance for credit losses | (8,108) | (8,323) |
| Net loan receivables | 109,295 | 112,795 |
| Premises and equipment, net | 1,080 | 1,072 |
| Goodwill | 255 | 255 |
| Other assets | 4,946 | 4,966 |
| Total assets | 147,914 | 147,640 |
| Deposits | ||
| Interest-bearing deposit accounts | 106,620 | 105,459 |
| Non-interest bearing deposit accounts | 1,600 | 1,550 |
| Total deposits | 108,220 | 107,009 |
| Long-term borrowings | 14,538 | 16,253 |
| Accrued expenses and other liabilities | 6,193 | 6,452 |
| Total liabilities | 128,951 | 129,714 |
| Commitments, contingencies and guarantees (Notes 9, 12 and 13) | ||
| Stockholders' Equity | ||
| Common stock, par value $0.01 per share; 2,000,000,000 shares authorized; 573,042,256 and 572,608,227 shares issued at March 31, 2025 and December 31, 2024, respectively | 6 | 6 |
| Preferred stock, par value $0.01 per share; 200,000,000 shares authorized; 10,700 shares issued and outstanding at March 31, 2025 and December 31, 2024, respectively | 1,056 | 1,056 |
| Additional paid-in capital | 4,678 | 4,651 |
| Retained earnings | 34,478 | 33,583 |
| Accumulated other comprehensive loss | (152) | (296) |
| Treasury stock, at cost; 321,413,252 and 321,268,743 shares at March 31, 2025 and December 31, 2024, respectively | (21,103) | (21,074) |
| Total stockholders' equity | 18,963 | 17,926 |
| Total liabilities and stockholders' equity | 147,914 | 147,640 |
| Variable Interest Entity, Primary Beneficiary [Member] | ||
| Assets | ||
| Restricted cash | 740 | 25 |
| Loan receivables | ||
| Loan receivables | 27,650 | 29,394 |
| Allowance for credit losses | (1,277) | (1,294) |
| Other assets | 3 | 1 |
| Deposits | ||
| Short- and long-term borrowings | 7,237 | 8,475 |
| Accrued expenses and other liabilities | $ 12 | $ 13 |