Earnings Release

Capital One Reports Third Quarter 2020 Net Income of $2.4 billion, or $5.06 per share

MCLEAN, Va., Oct. 22, 2020 /PRNewswire/ -- Capital One Financial Corporation (NYSE: COF) today announced net income for the third quarter of 2020 of $2.4 billion, or $5.06 per diluted common share, compared with a net loss of $918 million, or $2.21 per diluted common share in the second quarter of 2020, and with net income of $1.3 billion, or $2.69 per diluted common share in the third quarter of 2019. Excluding adjusting items, net income for the third quarter of 2020 was $5.05 per diluted common share⁽¹⁾.

"Capital One posted strong third quarter results. We are leaning in to resilience and we continue to be well served by the choices we made before the pandemic," said Richard D. Fairbank, Founder, Chairman and Chief Executive Officer. "Our investments to transform our technology are powering our response to the downturn, and positioning us for the acceleration of digital change driven by the pandemic."

Adjusting items in the third quarter of 2020, which are excluded from diluted earnings per share (EPS), efficiency ratio and operating efficiency ratio metrics (see Table 15 in our Financial Supplement for additional information):

(Dollars in millions, except per share data)	Pre-Tax Impact		Diluted EPS Impact

U.K. Payment Protection Insurance customer refund reserve release ("U.K. PPI Reserve")	$	36	$	0.08
Legal reserve builds	(40)		(0.06)
Cybersecurity Incident expenses, net of insurance	(6)		(0.01)

The quarter included the following notable items:

(Dollars in millions, except per share data)	Pre-Tax Impact		Diluted EPS Impact

Equity investment gain	$	470	$	0.79
Allowance release associated with partnership loans moving to held-for-sale	327		0.54

All comparisons below are for the third quarter of 2020 compared with the second quarter of 2020 unless otherwise noted.

Third Quarter 2020 Income Statement Summary:

Total net revenue increased 13 percent to $7.4 billion.
Total non-interest expense decreased 6 percent to $3.5 billion:

4 percent increase in marketing.
7 percent decrease in operating expenses.

Pre-provision earnings increased 38 percent to $3.8 billion⁽²⁾.
Provision for credit losses decreased 92 percent to $331 million:

Net charge-offs of $1.1 billion.
$742 million reserve release.

Net interest margin of 5.68 percent, decreased 10 basis points.
Efficiency ratio of 48.07 percent.

Efficiency ratio excluding adjusting items of 47.68 percent⁽¹⁾.

Operating efficiency ratio of 44.24 percent.

Operating efficiency ratio excluding adjusting items of 43.83 percent⁽¹⁾.

Third Quarter 2020 Balance Sheet Summary:

Common equity Tier 1 capital ratio under Basel III Standardized Approach of 13.0 percent at September 30, 2020.
Period-end loans held for investment in the quarter decreased $3.3 billion, or 1 percent, to $248.2 billion.

Credit Card period-end loans decreased $3.7 billion, or 3 percent, to $103.6 billion.

Domestic Card period-end loans decreased $3.8 billion, or 4 percent, to $95.5 billion.

Consumer Banking period-end loans increased $2.0 billion, or 3 percent, to $68.7 billion.

Auto period-end loans increased $2.1 billion, or 3 percent, to $65.4 billion.

Commercial Banking period-end loans decreased $1.6 billion, or 2 percent, to $75.9 billion.

Average loans held for investment in the quarter decreased $3.8 billion, or 2 percent, to $249.5 billion.

Credit Card average loans decreased $3.4 billion, or 3 percent, to $105.4 billion.

Domestic Card average loans decreased $3.7 billion, or 4 percent, to $97.3 billion.

Consumer Banking average loans increased $3.0 billion, or 5 percent, to $67.8 billion.

Auto average loans increased $2.7 billion, or 4 percent, to $64.5 billion.

Commercial Banking average loans decreased $3.4 billion, or 4 percent, to $76.3 billion.

Period-end total deposits increased $1.5 billion, or less than 1 percent, to $305.7 billion, while average deposits increased $17.2 billion, or 6 percent, to $305.5 billion.
Interest-bearing deposits rate paid decreased 25 basis points to 0.69 percent.

⁽¹⁾

Amounts excluding adjusting items are non-GAAP measures that we believe help investors and users of our financial information understand the effect of adjusting items on our selected reported results and provide alternate measurements of our performance, both in the current period and across periods. See Table 15 in Exhibit 99.2 for a reconciliation of our selected reported results to these non-GAAP measures.

⁽²⁾

Pre-provision earnings is calculated based on the sum of net interest income and non-interest income, less non-interest expense for the period.

Earnings Conference Call Webcast Information

The company will hold an earnings conference call on October 22, 2020 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 5, 2020 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. 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, including those listed from time to time in reports that Capital One files with the Securities and Exchange Commission, including, but not limited to, the Annual Report on Form 10-K for the year ended December 31, 2019.

About Capital One

Capital One Financial Corporation (www.capitalone.com) is a financial holding company whose subsidiaries, which include Capital One, N.A., and Capital One Bank (USA), N.A., had $305.7 billion in deposits and $421.9 billion in total assets as of September 30, 2020. 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 located primarily in New York, Louisiana, Texas, Maryland, Virginia, New Jersey 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.

Exhibit 99.2
Capital One Financial Corporation
Financial Supplement⁽¹⁾⁽²⁾
Third Quarter 2020
Table of Contents

Capital One Financial Corporation Consolidated Results			Page
	Table 1:	Financial Summary—Consolidated	1
	Table 2:	Selected Metrics—Consolidated	3
	Table 3:	Consolidated Statements of Income	4
	Table 4:	Consolidated Balance Sheets	7
	Table 5:	Notes to Financial Summary, Selected Metrics and Consolidated Financial Statements (Tables 1—4)	10
	Table 6:	Average Balances, Net Interest Income and Net Interest Margin	11
	Table 7:	Loan Information and Performance Statistics	12
	Table 8:	Allowance for Credit Losses and Reserve for Unfunded Lending Commitments Activity	15
Business Segment Results
	Table 9:	Financial Summary—Business Segment Results	17
	Table 10:	Financial & Statistical Summary—Credit Card Business	18
	Table 11:	Financial & Statistical Summary—Consumer Banking Business	20
	Table 12:	Financial & Statistical Summary—Commercial Banking Business	21
	Table 13:	Financial & Statistical Summary—Other and Total	22
Other
	Table 14:	Notes to Loan, Allowance and Business Segment Disclosures (Tables 7—13)	23
	Table 15:	Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures	24
__________
⁽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, 2020 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.

CAPITAL ONE FINANCIAL CORPORATION (COF) Table 1: Financial Summary—Consolidated
											2020 Q3 vs.				Nine Months Ended September 30,
(Dollars in millions, except per share data and as noted)	2020		2020		2020		2019		2019		2020		2019						2020 vs.
(Dollars in millions, except per share data and as noted)	Q3		Q2		Q1		Q4		Q3		Q2		Q3		2020		2019		2019
Income Statement
Net interest income	$	5,555	$	5,460	$	6,025	$	6,066	$	5,737	2	%	(3)	%	$	17,040	$	17,274	(1)	%
Non-interest income	1,826		1,096		1,224		1,361		1,222		67		49		4,146		3,892		7
Total net revenue⁽¹⁾	7,381		6,556		7,249		7,427		6,959		13		6		21,186		21,166		—
Provision for credit losses	331		4,246		5,423		1,818		1,383		(92)		(76)		10,000		4,418		126
Non-interest expense:
Marketing	283		273		491		710		501		4		(44)		1,047		1,564		(33)
Operating expense	3,265		3,497		3,238		3,451		3,371		(7)		(3)		10,000		9,758		2
Total non-interest expense	3,548		3,770		3,729		4,161		3,872		(6)		(8)		11,047		11,322		(2)
Income (loss) from continuing operations before income taxes	3,502		(1,460)		(1,903)		1,448		1,704		**		106		139		5,426		(97)
Income tax provision (benefit)	1,096		(543)		(563)		270		375		**		192		(10)		1,071		**
Income (loss) from continuing operations, net of tax	2,406		(917)		(1,340)		1,178		1,329		**		81		149		4,355		(97)
Income (loss) from discontinued operations, net of tax	—		(1)		—		(2)		4		**		**		(1)		15		**
Net income (loss)	2,406		(918)		(1,340)		1,176		1,333		**		80		148		4,370		(97)
Dividends and undistributed earnings allocated to participating securities⁽²⁾	(20)		(1)		(3)		(7)		(10)		**		100		(5)		(34)		(85)
Preferred stock dividends	(67)		(90)		(55)		(97)		(53)		(26)		26		(212)		(185)		15
Issuance cost for redeemed preferred stock⁽³⁾	—		—		(22)		(31)		—		—		—		(22)		—		**
Net income (loss) available to common stockholders	$	2,319	$	(1,009)	$	(1,420)	$	1,041	$	1,270	**		83		$	(91)	$	4,151	**
Common Share Statistics
Basic earnings per common share:⁽²⁾
Net income (loss) from continuing operations	$	5.07	$	(2.21)	$	(3.10)	$	2.26	$	2.70	**		88	%	$	(0.20)	$	8.80	**
Income from discontinued operations	—		—		—		—		0.01		—		**		—		0.03		**
Net income (loss) per basic common share	$	5.07	$	(2.21)	$	(3.10)	$	2.26	$	2.71	**		87		$	(0.20)	$	8.83	**
Diluted earnings per common share:⁽²⁾
Net income (loss) from continuing operations	$	5.06	$	(2.21)	$	(3.10)	$	2.25	$	2.68	**		89		$	(0.20)	$	8.76	**
Income from discontinued operations	—		—		—		—		0.01		—		**		—		0.03		**
Net income (loss) per diluted common share	$	5.06	$	(2.21)	$	(3.10)	$	2.25	$	2.69	**		88		$	(0.20)	$	8.79	**
Weighted-average common shares outstanding (in millions):
Basic	457.8		456.7		457.6		460.9		469.5		—		(2)		457.4		469.9		(3)	%
Diluted	458.5		456.7		457.6		463.4		471.8		—		(3)		457.4		472.1		(3)
Common shares outstanding (period-end, in millions)	457.4		456.3		455.3		456.6		465.7		—		(2)		457.4		465.7		(2)
Dividends declared and paid per common share	$	0.10	$	0.40	$	0.40	$	0.40	$	0.40	(75)	%	(75)		$	0.90	$	1.20	(25)
Tangible book value per common share (period-end)⁽⁴⁾	83.67		78.82		80.68		83.72		80.46		6		4		83.67		80.46		4

											2020 Q3 vs.				Nine Months Ended September 30,
(Dollars in millions)	2020		2020		2020		2019		2019		2020		2019						2020 vs.
(Dollars in millions)	Q3		Q2		Q1		Q4		Q3		Q2		Q3		2020		2019		2019
Balance Sheet (Period-End)
Loans held for investment	$	248,223	$	251,512	$	262,990	$	265,809	$	249,355	(1)	%	—		$	248,223	$	249,355	—
Interest-earning assets	390,040		389,829		364,472		355,202		344,643		—		13	%	390,040		344,643		13	%
Total assets	421,883		421,296		396,878		390,365		378,810		—		11		421,883		378,810		11
Interest-bearing deposits	276,092		275,183		245,142		239,209		234,084		—		18		276,092		234,084		18
Total deposits	305,725		304,238		269,689		262,697		257,148		—		19		305,725		257,148		19
Borrowings	42,795		44,900		55,681		55,697		50,149		(5)		(15)		42,795		50,149		(15)
Common equity	53,093		50,835		51,620		53,157		52,412		4		1		53,093		52,412		1
Total stockholders' equity	58,424		56,045		56,830		58,011		58,235		4		—		58,424		58,235		—
Balance Sheet (Average Balances)
Loans held for investment	$	249,511	$	253,358	$	262,889	$	258,870	$	246,147	(2)	%	1	%	$	255,232	$	243,602	5	%
Interest-earning assets	391,451		378,145		355,347		349,150		340,949		4		15		375,041		338,936		11
Total assets	422,854		411,075		390,380		383,162		374,905		3		13		408,233		372,148		10
Interest-bearing deposits	276,339		261,256		241,115		236,250		232,063		6		19		259,631		230,045		13
Total deposits	305,516		288,344		264,653		260,040		255,082		6		20		286,242		253,389		13
Borrowings	44,161		49,827		51,795		51,442		49,413		(11)		(11)		48,577		50,804		(4)
Common equity	51,995		52,413		53,186		52,641		52,566		(1)		(1)		52,529		50,393		4
Total stockholders' equity	57,223		57,623		58,568		58,148		57,245		(1)		—		57,802		54,861		5

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 2: Selected Metrics—Consolidated

																2020 Q3 vs.				Nine Months Ended September 30,
(Dollars in millions, except as noted)	2020			2020			2020			2019			2019			2020		2019								2020 vs.
(Dollars in millions, except as noted)	Q3			Q2			Q1			Q4			Q3			Q2		Q3		2020			2019			2019
Performance Metrics
Net interest income growth (period over period)	2		%	(9)		%	(1)		%	6		%	—			**		**		(1)		%	1		%	**
Non-interest income growth (period over period)	67			(10)			(10)			11			(11)		%	**		**		7			(3)			**
Total net revenue growth (period over period)	13			(10)			(2)			7			(2)			**		**		—			—			**
Total net revenue margin⁽⁵⁾	7.54			6.93			8.16			8.51			8.16			61	bps	(62)	bps	7.53			8.33			(80)	bps
Net interest margin⁽⁶⁾	5.68			5.78			6.78			6.95			6.73			(10)		(105)		6.06			6.80			(74)
Return on average assets	2.28			(0.89)			(1.37)			1.23			1.42			317		86		0.05			1.56			(151)
Return on average tangible assets⁽⁷⁾	2.36			(0.93)			(1.43)			1.28			1.48			329		88		0.05			1.63			(158)
Return on average common equity⁽⁸⁾	17.84			(7.69)			(10.68)			7.93			9.63			**		8	%	(0.23)			10.94			**
Return on average tangible common equity⁽⁹⁾	24.98			(10.74)			(14.85)			11.07			13.45			**		12		(0.32)			15.54			**
Non-interest expense as a percentage of average loans held for investment	5.69			5.95			5.67			6.43			6.29			(26)		(60)	bps	5.77			6.20			(43)
Efficiency ratio⁽¹⁰⁾	48.07			57.50			51.44			56.03			55.64			(9)	%	(8)	%	52.14			53.49			(135)
Operating efficiency ratio⁽¹¹⁾	44.24			53.34			44.67			46.47			48.44			(9)		(4)		47.20			46.10			110
Effective income tax rate for continuing operations	31.3			37.2			29.6			18.6			22.0			(6)		9		(7.2)			19.7			(27)	%
Employees (period-end, in thousands)	52.5			53.1			52.1			51.9			52.1			(1)		1		52.5			52.1			1
Credit Quality Metrics
Allowance for credit losses	$	16,129		$	16,832		$	14,073		$	7,208		$	7,037		(4)	%	129	%	$	16,129		$	7,037		129	%
Allowance coverage ratio	6.50		%	6.69		%	5.35		%	2.71		%	2.82		%	(19)	bps	368	bps	6.50		%	2.82		%	368	bps
Net charge-offs	$	1,073		$	1,505		$	1,791		$	1,683		$	1,462		(29)	%	(27)	%	$	4,369		$	4,569		(4)	%
Net charge-off rate⁽¹²⁾	1.72		%	2.38		%	2.72		%	2.60		%	2.38		%	(66)	bps	(66)	bps	2.28		%	2.50		%	(22)	bps
30+ day performing delinquency rate⁽¹³⁾	1.97			2.09			2.95			3.51			3.28			(12)		(131)		1.97			3.28			(131)
30+ day delinquency rate⁽¹³⁾	2.22			2.30			3.16			3.74			3.51			(8)		(129)		2.22			3.51			(129)
Capital Ratios⁽¹⁴⁾
Common equity Tier 1 capital	13.0		%	12.4		%	12.0		%	12.2		%	12.5		%	60	bps	50	bps	13.0		%	12.5		%	50	bps
Tier 1 capital	14.8			14.2			13.7			13.7			14.4			60		40		14.8			14.4			40
Total capital	17.3			16.7			16.1			16.1			16.8			60		50		17.3			16.8			50
Tier 1 leverage	10.6			10.3			11.0			11.7			11.9			30		(130)		10.6			11.9			(130)
Tangible common equity ("TCE")⁽¹⁵⁾	9.4			8.8			9.6			10.2			10.3			60		(90)		9.4			10.3			(90)

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 3: Consolidated Statements of Income

											2020 Q3 vs.				Nine Months Ended September 30,
	2020		2020		2020		2019		2019		2020		2019						2020 vs.
(Dollars in millions, except per share data and as noted)	Q3		Q2		Q1		Q4		Q3		Q2		Q3		2020		2019		2019
Interest income:
Loans, including loans held for sale	$	5,758	$	5,820	$	6,542	$	6,682	$	6,429	(1)	%	(10)	%	$	18,120	$	19,180	(6)	%
Investment securities	443		482		530		544		583		(8)		(24)		1,455		1,867		(22)
Other	14		16		37		44		63		(13)		(78)		67		196		(66)
Total interest income	6,215		6,318		7,109		7,270		7,075		(2)		(12)		19,642		21,243		(8)
Interest expense:
Deposits	476		611		731		832		901		(22)		(47)		1,818		2,588		(30)
Securitized debt obligations	43		56		99		118		123		(23)		(65)		198		405		(51)
Senior and subordinated notes	132		180		239		236		299		(27)		(56)		551		923		(40)
Other borrowings	9		11		15		18		15		(18)		(40)		35		53		(34)
Total interest expense	660		858		1,084		1,204		1,338		(23)		(51)		2,602		3,969		(34)
Net interest income	5,555		5,460		6,025		6,066		5,737		2		(3)		17,040		17,274		(1)
Provision for credit losses	331		4,246		5,423		1,818		1,383		(92)		(76)		10,000		4,418		126
Net interest income after provision for credit losses	5,224		1,214		602		4,248		4,354		**		20		7,040		12,856		(45)
Non-interest income:
Interchange fees, net	775		672		752		811		790		15		(2)		2,199		2,368		(7)
Service charges and other customer-related fees	320		258		327		342		283		24		13		905		988		(8)
Net securities gains (losses)	25		—		—		(18)		5		**		**		25		44		(43)
Other	706		166		145		226		144		**		**		1,017		492		107
Total non-interest income	1,826		1,096		1,224		1,361		1,222		67		49		4,146		3,892		7
Non-interest expense:
Salaries and associate benefits	1,719		1,704		1,627		1,652		1,605		1		7		5,050		4,736		7
Occupancy and equipment	506		523		517		565		519		(3)		(3)		1,546		1,533		1
Marketing	283		273		491		710		501		4		(44)		1,047		1,564		(33)
Professional services	327		304		287		318		314		8		4		918		919		—
Communications and data processing	310		308		302		346		312		1		(1)		920		944		(3)
Amortization of intangibles	14		16		22		28		25		(13)		(44)		52		84		(38)
Other⁽¹⁶⁾	389		642		483		542		596		(39)		(35)		1,514		1,542		(2)
Total non-interest expense	3,548		3,770		3,729		4,161		3,872		(6)		(8)		11,047		11,322		(2)
Income (loss) from continuing operations before income taxes	3,502		(1,460)		(1,903)		1,448		1,704		**		106		139		5,426		(97)
Income tax provision (benefit)	1,096		(543)		(563)		270		375		**		192		(10)		1,071		**
Income (loss) from continuing operations, net of tax	2,406		(917)		(1,340)		1,178		1,329		**		81		149		4,355		(97)
Income (loss) from discontinued operations, net of tax	—		(1)		—		(2)		4		**		**		(1)		15		**
Net income (loss)	2,406		(918)		(1,340)		1,176		1,333		**		80		148		4,370		(97)
Dividends and undistributed earnings allocated to participating securities⁽²⁾	(20)		(1)		(3)		(7)		(10)		**		100		(5)		(34)		(85)
Preferred stock dividends	(67)		(90)		(55)		(97)		(53)		(26)		26		(212)		(185)		15
Issuance cost for redeemed preferred stock⁽³⁾	—		—		(22)		(31)		—		—		—		(22)		—		**
Net income (loss) available to common stockholders	$	2,319	$	(1,009)	$	(1,420)	$	1,041	$	1,270	**		83		$	(91)	$	4,151	**


											2020 Q3 vs.				Nine Months Ended September 30,
	2020		2020		2020		2019		2019		2020		2019						2020 vs.
(Dollars in millions, except per share data and as noted)	Q3		Q2		Q1		Q4		Q3		Q2		Q3		2020		2019		2019
Basic earnings per common share:⁽²⁾
Net income (loss) from continuing operations	$	5.07	$	(2.21)	$	(3.10)	$	2.26	$	2.70	**		88	%	$	(0.20)	$	8.80	**
Income from discontinued operations	—		—		—		—		0.01		—		**		—		0.03		**
Net income (loss) per basic common share	$	5.07	$	(2.21)	$	(3.10)	$	2.26	$	2.71	**		87		$	(0.20)	$	8.83	**
Diluted earnings per common share:⁽²⁾
Net income (loss) from continuing operations	$	5.06	$	(2.21)	$	(3.10)	$	2.25	$	2.68	**		89		$	(0.20)	$	8.76	**
Income from discontinued operations	—		—		—		—		0.01		—		**		—		0.03		**
Net income (loss) per diluted common share	$	5.06	$	(2.21)	$	(3.10)	$	2.25	$	2.69	**		88		$	(0.20)	$	8.79	**
Weighted-average common shares outstanding (in millions):
Basic common shares	457.8		456.7		457.6		460.9		469.5		—		(2)		457.4		469.9		(3)	%
Diluted common shares	458.5		456.7		457.6		463.4		471.8		—		(3)		457.4		472.1		(3)

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 4: Consolidated Balance Sheets

											2020 Q3 vs.
	2020		2020		2020		2019		2019		2020		2019
(Dollars in millions)	Q3		Q2		Q1		Q4		Q3		Q2		Q3
Assets:
Cash and cash equivalents:
Cash and due from banks	$	4,267	$	4,583	$	4,545	$	4,129	$	4,452	(7)	%	(4)	%
Interest-bearing deposits and other short-term investments	39,839		51,235		20,391		9,278		12,668		(22)		**
Total cash and cash equivalents	44,106		55,818		24,936		13,407		17,120		(21)		158
Restricted cash for securitization investors	895		740		364		342		417		21		115
Investment securities:
Securities available for sale	99,853		87,859		81,423		79,213		46,168		14		116
Securities held to maturity	—		—		—		—		33,894		—		**
Total investment securities	99,853		87,859		81,423		79,213		80,062		14		25
Loans held for investment:
Unsecuritized loans held for investment	217,878		222,310		231,318		231,992		215,892		(2)		1
Loans held in consolidated trusts	30,345		29,202		31,672		33,817		33,463		4		(9)
Total loans held for investment	248,223		251,512		262,990		265,809		249,355		(1)		—
Allowance for credit losses	(16,129)		(16,832)		(14,073)		(7,208)		(7,037)		(4)		129
Net loans held for investment	232,094		234,680		248,917		258,601		242,318		(1)		(4)
Loans held for sale	3,433		711		1,056		400		1,245		**		176
Premises and equipment, net	4,333		4,324		4,336		4,378		4,311		—		1
Interest receivable	1,551		1,574		1,687		1,758		1,627		(1)		(5)
Goodwill	14,648		14,645		14,645		14,653		14,624		—		—
Other assets	20,970		20,945		19,514		17,613		17,086		—		23
Total assets	$	421,883	$	421,296	$	396,878	$	390,365	$	378,810	—		11

											2020 Q3 vs.
	2020		2020		2020		2019		2019		2020		2019
(Dollars in millions)	Q3		Q2		Q1		Q4		Q3		Q2		Q3
Liabilities:
Interest payable	$	332	$	380	$	359	$	439	$	370	(13)	%	(10)	%
Deposits:
Non-interest-bearing deposits	29,633		29,055		24,547		23,488		23,064		2		28
Interest-bearing deposits	276,092		275,183		245,142		239,209		234,084		—		18
Total deposits	305,725		304,238		269,689		262,697		257,148		—		19
Securitized debt obligations	13,566		15,761		17,141		17,808		18,910		(14)		(28)
Other debt:
Federal funds purchased and securities loaned or sold under agreements to repurchase	702		573		399		314		464		23		51
Senior and subordinated notes	28,448		28,481		32,049		30,472		30,682		—		(7)
Other borrowings	79		85		6,092		7,103		93		(7)		(15)
Total other debt	29,229		29,139		38,540		37,889		31,239		—		(6)
Other liabilities	14,607		15,733		14,319		13,521		12,908		(7)		13
Total liabilities	363,459		365,251		340,048		332,354		320,575		—		13

Stockholders' equity:
Preferred stock	0		0		0		0		0		—		—
Common stock	7		7		7		7		7		—		—
Additional paid-in capital, net	33,793		33,556		33,450		32,980		33,826		1		—
Retained earnings	37,653		35,361		36,552		40,340		39,476		6		(5)
Accumulated other comprehensive income	3,833		3,981		3,679		1,156		453		(4)		**
Treasury stock, at cost	(16,862)		(16,860)		(16,858)		(16,472)		(15,527)		—		9
Total stockholders' equity	58,424		56,045		56,830		58,011		58,235		4		—
Total liabilities and stockholders' equity	$	421,883	$	421,296	$	396,878	$	390,365	$	378,810	—		11

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 $235 million in Q3 2020, $318 million in Q2 2020 and $389 million in Q1 2020 for credit card finance charges and fees charged-off as uncollectible, and by $365 million in Q4 2019 and $330 million in Q3 2019 for the estimated uncollectible amount of credit card finance charges and fees and related losses.
⁽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⁾	On March 2, 2020, we redeemed all outstanding shares of our fixed rate 6.00% non-cumulative perpetual preferred stock Series B. The redemption increased our net loss available to common shareholders by $22 million in Q1 2020. On December 2, 2019, we redeemed all outstanding shares of our fixed rate 6.25% non-cumulative perpetual preferred stock Series C and fixed rate 6.70% non-cumulative perpetual preferred stock Series D. The redemption reduced our net income available to common shareholders by $31 million in Q4 2019.
⁽⁴⁾	Tangible book value per common share is a non-GAAP measure calculated based on tangible common equity 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.
⁽⁵⁾	Total net revenue margin is calculated based on annualized total net revenue for the period divided by average interest-earning assets for the period.
⁽⁶⁾	Net interest margin is calculated based on annualized net interest income for the period divided by average interest-earning assets for the period.
⁽⁷⁾	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.
⁽⁸⁾	Return on average common equity is calculated based on net income (loss) available to common stockholders less 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.
⁽⁹⁾	Return on average tangible common equity ("ROTCE") is a non-GAAP measure calculated based on net income (loss) available to common stockholders less income (loss) from discontinued operations, net of tax, for the period, divided by average tangible common equity ("TCE"). Our calculation of return on average TCE may not be comparable to similarly-titled measures reported by other companies. See "Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures" for additional information on non-GAAP measures.
⁽¹⁰⁾	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.
⁽¹¹⁾	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.
⁽¹²⁾	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.
⁽¹³⁾	Metrics for Q3 2020, Q2 2020 and Q1 2020 include the impact of COVID-19 customer assistance programs where applicable.
⁽¹⁴⁾	Capital ratios as of the end of Q3 2020 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.
⁽¹⁵⁾	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.
⁽¹⁶⁾	Includes net Cybersecurity Incident expenses of $6 million in Q3 2020, $11 million in Q2 2020, $4 million in Q1 2020, $16 million in Q4 2019 and $22 million in Q3 2019, respectively.
**	Not meaningful.

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 6: Average Balances, Net Interest Income and Net Interest Margin

	2020 Q3						2020 Q2						2019 Q3
	Average Balance		Interest Income/ Expense		Yield/Rate		Average Balance		Interest Income/ Expense		Yield/Rate		Average Balance		Interest Income/ Expense		Yield/Rate
(Dollars in millions, except as noted)
Interest-earning assets:
Loans, including loans held for sale	$	250,525	$	5,758	9.19	%	$	254,402	$	5,820	9.15	%	$	247,419	$	6,429	10.39	%
Investment securities	91,777		443		1.93		81,095		482		2.38		80,762		583		2.88
Cash equivalents and other	49,149		14		0.11		42,648		16		0.15		12,768		63		2.00
Total interest-earning assets	$	391,451	$	6,215	6.35		$	378,145	$	6,318	6.68		$	340,949	$	7,075	8.30
Interest-bearing liabilities:
Interest-bearing deposits	$	276,339	$	476	0.69		$	261,256	$	611	0.94		$	232,063	$	901	1.55
Securitized debt obligations	15,032		43		1.14		16,432		56		1.37		16,750		123		2.94
Senior and subordinated notes	28,497		132		1.86		31,294		180		2.30		31,220		299		3.84
Other borrowings and liabilities	2,119		9		1.77		3,554		11		1.21		2,698		15		2.14
Total interest-bearing liabilities	$	321,987	$	660	0.82		$	312,536	$	858	1.10		$	282,731	$	1,338	1.89
Net interest income/spread			$	5,555	5.53				$	5,460	5.58				$	5,737	6.41
Impact of non-interest-bearing funding					0.15						0.20						0.32
Net interest margin					5.68	%					5.78	%					6.73	%

							Nine Months Ended September 30,
							2020						2019
							Average Balance		Interest Income/ Expense		Yield/Rate		Average Balance		Interest Income/ Expense		Yield/Rate
(Dollars in millions, except as noted)
Interest-earning assets:
Loans, including loans held for sale							$	256,165	$	18,120	9.43	%	$	244,743	$	19,180	10.45	%
Investment securities							83,724		1,455		2.32		82,264		1,867		3.03
Cash equivalents and other							35,152		67		0.25		11,929		196		2.19
Total interest-earning assets							$	375,041	$	19,642	6.98		$	338,936	$	21,243	8.36
Interest-bearing liabilities:
Interest-bearing deposits							$	259,631	$	1,818	0.93		$	230,045	$	2,588	1.50
Securitized debt obligations							16,500		198		1.60		17,912		405		3.02
Senior and subordinated notes							30,371		551		2.42		30,897		923		3.98
Other borrowings and liabilities							3,147		35		1.50		3,228		53		2.19
Total interest-bearing liabilities							$	309,649	$	2,602	1.12		$	282,082	$	3,969	1.88
Net interest income/spread									$	17,040	5.86				$	17,274	6.48
Impact of non-interest-bearing funding											0.20						0.32
Net interest margin											6.06	%					6.80	%

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 7: Loan Information and Performance Statistics

																2020 Q3 vs.				Nine Months Ended September 30,
	2020			2020			2020			2019			2019			2020		2019		2020			2019			2020 vs.
(Dollars in millions, except as noted)	Q3			Q2			Q1			Q4			Q3			Q2		Q3		2020			2019			2019
Loans Held for Investment (Period-End)
Credit card:
Domestic credit card⁽⁷⁾	$	95,541		$	99,390		$	109,549		$	118,606		$	104,664		(4)	%	(9)	%	$	95,541		$	104,664		(9)	%
International card businesses	8,100			7,920			8,248			9,630			9,017			2		(10)		8,100			9,017			(10)
Total credit card⁽¹⁾	103,641			107,310			117,797			128,236			113,681			(3)		(9)		103,641			113,681			(9)
Consumer banking:
Auto	65,394			63,319			61,364			60,362			59,278			3		10		65,394			59,278			10
Retail banking	3,294			3,393			2,669			2,703			2,737			(3)		20		3,294			2,737			20
Total consumer banking	68,688			66,712			64,033			63,065			62,015			3		11		68,688			62,015			11
Commercial banking:
Commercial and multifamily real estate	31,197			30,953			32,373			30,245			30,009			1		4		31,197			30,009			4
Commercial and industrial	44,697			46,537			48,787			44,263			43,650			(4)		2		44,697			43,650			2
Total commercial banking	75,894			77,490			81,160			74,508			73,659			(2)		3		75,894			73,659			3
Total loans held for investment	$	248,223		$	251,512		$	262,990		$	265,809		$	249,355		(1)		—		$	248,223		$	249,355		—
Loans Held for Investment (Average)
Credit card:
Domestic credit card	$	97,306		$	100,996		$	113,711		$	112,965		$	103,426		(4)	%	(6)	%	$	103,980		$	102,677		1	%
International card businesses	8,061			7,752			9,065			9,120			8,945			4		(10)		8,292			8,868			(6)
Total credit card⁽¹⁾	105,367			108,748			122,776			122,085			112,371			(3)		(6)		112,272			111,545			1
Consumer banking:
Auto	64,476			61,798			61,005			59,884			58,517			4		10		62,434			57,282			9
Retail banking	3,346			3,053			2,666			2,712			2,752			10		22		3,023			2,790			8
Total consumer banking	67,822			64,851			63,671			62,596			61,269			5		11		65,457			60,072			9
Commercial banking:
Commercial and multifamily real estate	30,918			31,723			31,081			30,173			29,698			(3)		4		31,239			29,418			6
Commercial and industrial	45,404			48,036			45,361			44,016			42,807			(5)		6		46,264			42,474			9
Total commercial lending	76,322			79,759			76,442			74,189			72,505			(4)		5		77,503			71,892			8
Small-ticket commercial real estate	—			—			—			—			2			**		**		—			93			**
Total commercial banking	76,322			79,759			76,442			74,189			72,507			(4)		5		77,503			71,985			8
Total average loans held for investment	$	249,511		$	253,358		$	262,889		$	258,870		$	246,147		(2)		1		$	255,232		$	243,602		5

																2020 Q3 vs.				Nine Months Ended September 30,
	2020			2020				2020		2019			2019			2020		2019		2020			2019			2020 vs.
	Q3			Q2				Q1		Q4			Q3			Q2		Q3		2020			2019			2019
Net Charge-Off Rates
Credit card:
Domestic credit card		3.64	%		4.53	%		4.68	%		4.32	%		4.12	%	(89)	bps	(48)	bps		4.31	%		4.67	%	(36)	bps
International card businesses		2.89			3.47			4.65			4.22			3.78		(58)		(89)			3.71			3.54		17
Total credit card		3.58			4.46			4.68			4.31			4.09		(88)		(51)			4.26			4.58		(32)
Consumer banking:
Auto		0.23			1.16			1.51			1.90			1.60		(93)		(137)			0.95			1.38		(43)
Retail banking		1.38			1.78			2.37			2.77			2.55		(40)		(117)			1.80			2.51		(71)
Total consumer banking		0.28			1.19			1.54			1.93			1.64		(91)		(136)			0.99			1.43		(44)
Commercial banking:
Commercial and multifamily real estate		0.41			0.09			—			—			0.02		32		39			0.17			0.01		16
Commercial and industrial		0.45			0.78			0.96			0.60			0.55		(33)		(10)			0.73			0.28		45
Total commercial banking		0.43			0.51			0.57			0.35			0.33		(8)		10			0.50			0.17		33
Total net charge-offs		1.72			2.38			2.72			2.60			2.38		(66)		(66)			2.28			2.50		(22)
30+ Day Performing Delinquency Rates⁽²⁾
Credit card:
Domestic credit card		2.21	%		2.74	%		3.69	%		3.93	%		3.71	%	(53)	bps	(150)	bps		2.21	%		3.71	%	(150)	bps
International card businesses		2.15			2.71			3.66			3.47			3.52		(56)		(137)			2.15			3.52		(137)
Total credit card		2.20			2.74			3.69			3.89			3.69		(54)		(149)			2.20			3.69		(149)
Consumer banking:
Auto		3.76			3.28			5.29			6.88			6.47		48		(271)			3.76			6.47		(271)
Retail banking		0.83			0.89			1.27			1.02			1.01		(6)		(18)			0.83			1.01		(18)
Total consumer banking		3.62			3.16			5.12			6.63			6.23		46		(261)			3.62			6.23		(261)
Nonperforming Loans and Nonperforming Assets Rates⁽³⁾⁽⁴⁾
Credit card:
International card businesses		0.25	%		0.29	%		0.29	%		0.26	%		0.25	%	(4)	bps	—			0.25	%		0.25	%	—
Total credit card		0.02			0.02			0.02			0.02			0.02		—		—			0.02			0.02		—
Consumer banking:
Auto		0.36			0.41			0.62			0.81			0.73		(5)		(37)	bps		0.36			0.73		(37)	bps
Retail banking		0.77			0.70			0.88			0.87			0.91		7		(14)			0.77			0.91		(14)
Total consumer banking		0.38			0.43			0.63			0.81			0.74		(5)		(36)			0.38			0.74		(36)
Commercial banking:
Commercial and multifamily real estate		0.58			0.54			0.22			0.12			0.12		4		46			0.58			0.12		46
Commercial and industrial		1.31			1.06			0.87			0.93			0.95		25		36			1.31			0.95		36
Total commercial banking		1.01			0.85			0.61			0.60			0.61		16		40			1.01			0.61		40
Total nonperforming loans		0.42			0.38			0.35			0.37			0.37		4		5			0.42			0.37		5
Total nonperforming assets		0.44			0.39			0.37			0.39			0.40		5		4			0.44			0.40		4

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

	Three Months Ended September 30, 2020
	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, 2020	$	11,569	$	522	$	12,091	$	2,726	$	112	$	2,838	$	1,903	$	16,832
Charge-offs	(1,198)		(98)		(1,296)		(280)		(15)		(295)		(88)		(1,679)
Recoveries	313		40		353		244		3		247		6		606
Net charge-offs	(885)		(58)		(943)		(36)		(12)		(48)		(82)		(1,073)
Provision (benefit) for credit losses	378		72		450		(43)		—		(43)		(51)		356
Allowance build (release) for credit losses	(507)		14		(493)		(79)		(12)		(91)		(133)		(717)
Other changes⁽⁵⁾	—		14		14		—		—		—		—		14
Balance as of September 30, 2020	11,062		550		11,612		2,647		100		2,747		1,770		16,129
Reserve for unfunded lending commitments:
Balance as of June 30, 2020	—		—		—		—		—		—		218		218
Benefit for losses on unfunded lending commitments	—		—		—		—		—		—		(23)		(23)
Balance as of September 30, 2020	—		—		—		—		—		—		195		195
Combined allowance and reserve as of September 30, 2020	$	11,062	$	550	$	11,612	$	2,647	$	100	$	2,747	$	1,965	$	16,324

	Nine Months Ended September 30, 2020
	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, 2019	$	4,997	$	398	$	5,395	$	984	$	54	$	1,038	$	775	$	7,208
Cumulative effects from adoption of the current expected credit loss ("CECL") standard	2,237		4		2,241		477		25		502		102		2,845
Finance charge and fee reserve reclassification⁽¹⁾	439		23		462		—		—		—		—		462
Balance as of January 1, 2020	7,673		425		8,098		1,461		79		1,540		877		10,515
Charge-offs	(4,406)		(351)		(4,757)		(1,155)		(52)		(1,207)		(303)		(6,267)
Recoveries	1,047		120		1,167		710		11		721		10		1,898
Net charge-offs	(3,359)		(231)		(3,590)		(445)		(41)		(486)		(293)		(4,369)
Provision for credit losses	6,748		348		7,096		1,631		62		1,693		1,186		9,975
Allowance build for credit losses	3,389		117		3,506		1,186		21		1,207		893		5,606
Other changes⁽⁵⁾	—		8		8		—		—		—		—		8
Balance as of September 30, 2020	11,062		550		11,612		2,647		100		2,747		1,770		16,129
Reserve for unfunded lending commitments:
Balance as of December 31, 2019	—		—		—		—		5		5		130		135
Cumulative effects from adoption of the CECL standard	—		—		—		—		(5)		(5)		42		37
Balance as of January 1, 2020	—		—		—		—		—		—		172		172
Provision for losses on unfunded lending commitments	—		—		—		—		—		—		23		23
Balance as of September 30, 2020	—		—		—		—		—		—		195		195
Combined allowance and reserve as of September 30, 2020	$	11,062	$	550	$	11,612	$	2,647	$	100	$	2,747	$	1,965	$	16,324

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 9: Financial Summary—Business Segment Results

	Three Months Ended September 30, 2020										Nine Months Ended September 30, 2020
(Dollars in millions)	Credit Card		Consumer Banking		Commercial Banking⁽⁶⁾		Other⁽⁶⁾		Total		Credit Card		Consumer Banking		Commercial Banking⁽⁶⁾		Other⁽⁶⁾		Total
Net interest income (loss)	$	3,292	$	1,904	$	517	$	(158)	$	5,555	$	10,363	$	5,226	$	1,526	$	(75)	$	17,040
Non-interest income	1,013		107		237		469		1,826		2,769		330		655		392		4,146
Total net revenue	4,305		2,011		754		311		7,381		13,132		5,556		2,181		317		21,186
Provision (benefit) for credit losses	450		(43)		(74)		(2)		331		7,096		1,693		1,209		2		10,000
Non-interest expense	2,003		1,011		424		110		3,548		6,180		3,038		1,261		568		11,047
Income (loss) from continuing operations before income taxes	1,852		1,043		404		203		3,502		(144)		825		(289)		(253)		139
Income tax provision (benefit)	438		247		95		316		1,096		(34)		195		(69)		(102)		(10)
Income (loss) from continuing operations, net of tax	$	1,414	$	796	$	309	$	(113)	$	2,406	$	(110)	$	630	$	(220)	$	(151)	$	149

	Three Months Ended June 30, 2020
(Dollars in millions)	Credit Card		Consumer Banking		Commercial Banking⁽⁶⁾		Other⁽⁶⁾		Total
Net interest income (loss)	$	3,369	$	1,665	$	518	$	(92)	$	5,460
Non-interest income (loss)	845		97		180		(26)		1,096
Total net revenue (loss)	4,214		1,762		698		(118)		6,556
Provision (benefit) for credit losses	2,944		876		427		(1)		4,246
Non-interest expense	1,969		1,036		425		340		3,770
Loss from continuing operations before income taxes	(699)		(150)		(154)		(457)		(1,460)
Income tax benefit	(166)		(36)		(36)		(305)		(543)
Loss from continuing operations, net of tax	$	(533)	$	(114)	$	(118)	$	(152)	$	(917)

	Three Months Ended September 30, 2019										Nine Months Ended September 30, 2019
(Dollars in millions)	Credit Card		Consumer Banking		Commercial Banking⁽⁶⁾		Other⁽⁶⁾		Total		Credit Card		Consumer Banking		Commercial Banking⁽⁶⁾		Other⁽⁶⁾		Total
Net interest income	$	3,546	$	1,682	$	486	$	23	$	5,737	$	10,667	$	5,070	$	1,489	$	48	$	17,274
Non-interest income (loss)	870		165		221		(34)		1,222		2,858		491		608		(65)		3,892
Total net revenue (loss)	4,416		1,847		707		(11)		6,959		13,525		5,561		2,097		(17)		21,166
Provision for credit losses	1,087		203		93		—		1,383		3,571		603		244		—		4,418
Non-interest expense	2,360		985		414		113		3,872		6,784		2,981		1,258		299		11,322
Income (loss) from continuing operations before income taxes	969		659		200		(124)		1,704		3,170		1,977		595		(316)		5,426
Income tax provision (benefit)	235		154		46		(60)		375		747		461		138		(275)		1,071
Income (loss) from continuing operations, net of tax	$	734	$	505	$	154	$	(64)	$	1,329	$	2,423	$	1,516	$	457	$	(41)	$	4,355

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 10: Financial & Statistical Summary—Credit Card Business
																2020 Q3 vs.				Nine Months Ended September 30,
	2020			2020			2020			2019			2019			2020		2019								2020 vs.
(Dollars in millions, except as noted)	Q3			Q2			Q1			Q4			Q3			Q2		Q3		2020			2019			2019
Credit Card
Earnings:
Net interest income	$	3,292		$	3,369		$	3,702		$	3,794		$	3,546		(2)	%	(7)	%	$	10,363		$	10,667		(3)	%
Non-interest income	1,013			845			911			1,030			870			20		16		2,769			2,858			(3)
Total net revenue	4,305			4,214			4,613			4,824			4,416			2		(3)		13,132			13,525			(3)
Provision for credit losses	450			2,944			3,702			1,421			1,087			(85)		(59)		7,096			3,571			99
Non-interest expense	2,003			1,969			2,208			2,487			2,360			2		(15)		6,180			6,784			(9)
Income (loss) from continuing operations before income taxes	1,852			(699)			(1,297)			916			969			**		91		(144)			3,170			**
Income tax provision (benefit)	438			(166)			(306)			212			235			**		86		(34)			747			**
Income (loss) from continuing operations, net of tax	$	1,414		$	(533)		$	(991)		$	704		$	734		**		93		$	(110)		$	2,423		**
Selected performance metrics:
Period-end loans held for investment⁽¹⁾⁽⁷⁾	$	103,641		$	107,310		$	117,797		$	128,236		$	113,681		(3)		(9)		$	103,641		$	113,681		(9)
Average loans held for investment⁽¹⁾	105,367			108,748			122,776			122,085			112,371			(3)		(6)		112,272			111,545			1
Average yield on loans held for investment⁽⁸⁾	13.83		%	13.72		%	14.46		%	15.02		%	15.55		%	11	bps	(172)	bps	14.03		%	15.66		%	(163)	bps
Total net revenue margin⁽⁹⁾	16.34			15.50			15.03			15.80			15.72			84		62		15.59			16.17			(58)
Net charge-off rate	3.58			4.46			4.68			4.31			4.09			(88)		(51)		4.26			4.58			(32)
30+ day performing delinquency rate	2.20			2.74			3.69			3.89			3.69			(54)		(149)		2.20			3.69			(149)
30+ day delinquency rate	2.21			2.75			3.70			3.91			3.71			(54)		(150)		2.21			3.71			(150)
Nonperforming loan rate⁽³⁾	0.02			0.02			0.02			0.02			0.02			—		—		0.02			0.02			—
Purchase volume⁽¹⁰⁾	$	107,102		$	90,149		$	99,920		$	116,631		$	108,034		19	%	(1)	%	$	297,171		$	308,134		(4)	%

																2020 Q3 vs.				Nine Months Ended September 30,
	2020			2020			2020			2019			2019			2020		2019								2020 vs.
(Dollars in millions, except as noted)	Q3			Q2			Q1			Q4			Q3			Q2		Q3		2020			2019			2019
Domestic Card
Earnings:
Net interest income	$	2,995		$	3,094		$	3,381		$	3,473		$	3,299		(3)	%	(9)	%	$	9,470		$	9,792		(3)	%
Non-interest income	952			795			842			962			878			20		8		2,589			2,722			(5)
Total net revenue	3,947			3,889			4,223			4,435			4,177			1		(6)		12,059			12,514			(4)
Provision for credit losses	378			2,906			3,464			1,346			1,010			(87)		(63)		6,748			3,325			103
Non-interest expense	1,802			1,776			1,984			2,249			2,076			1		(13)		5,562			6,059			(8)
Income (loss) from continuing operations before income taxes	1,767			(793)			(1,225)			840			1,091			**		62		(251)			3,130			**
Income tax provision (benefit)	419			(188)			(290)			196			254			**		65		(59)			729			**
Income (loss) from continuing operations, net of tax	$	1,348		$	(605)		$	(935)		$	644		$	837		**		61		$	(192)		$	2,401		**
Selected performance metrics:
Period-end loans held for investment⁽¹⁾⁽⁷⁾	$	95,541		$	99,390		$	109,549		$	118,606		$	104,664		(4)		(9)		$	95,541		$	104,664		(9)
Average loans held for investment⁽¹⁾	97,306			100,996			113,711			112,965			103,426			(4)		(6)		103,980			102,677			1
Average yield on loans held for investment⁽⁸⁾	13.57		%	13.52		%	14.30		%	14.91		%	15.74		%	5	bps	(217)	bps	13.82		%	15.67		%	(185)	bps
Total net revenue margin⁽⁹⁾	16.22			15.40			14.86			15.70			16.15			82		7		15.46			16.25			(79)
Net charge-off rate	3.64			4.53			4.68			4.32			4.12			(89)		(48)		4.31			4.67			(36)
30+ day performing delinquency rate	2.21			2.74			3.69			3.93			3.71			(53)		(150)		2.21			3.71			(150)
Purchase volume⁽¹⁰⁾	$	98,107		$	82,860		$	92,248		$	107,154		$	99,087		18	%	(1)	%	$	273,215		$	282,878		(3)	%
Refreshed FICO scores:⁽¹¹⁾
Greater than 660	69		%	67		%	65		%	67		%	68		%	2		1		69		%	68		%	1
660 or below	31			33			35			33			32			(2)		(1)		31			32			(1)
Total	100		%	100		%	100		%	100		%	100		%					100		%	100		%

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 11: Financial & Statistical Summary—Consumer Banking Business

																2020 Q3 vs.				Nine Months Ended September 30,
	2020			2020			2020			2019			2019			2020		2019								2020 vs.
(Dollars in millions, except as noted)	Q3			Q2			Q1			Q4			Q3			Q2		Q3		2020			2019			2019
Consumer Banking
Earnings:
Net interest income	$	1,904		$	1,665		$	1,657		$	1,662		$	1,682		14	%	13	%	$	5,226		$	5,070		3	%
Non-interest income	107			97			126			152			165			10		(35)		330			491			(33)
Total net revenue	2,011			1,762			1,783			1,814			1,847			14		9		5,556			5,561			—
Provision (benefit) for credit losses	(43)			876			860			335			203			**		**		1,693			603			181
Non-interest expense	1,011			1,036			991			1,110			985			(2)		3		3,038			2,981			2
Income (loss) from continuing operations before income taxes	1,043			(150)			(68)			369			659			**		58		825			1,977			(58)
Income tax provision (benefit)	247			(36)			(16)			86			154			**		60		195			461			(58)
Income (loss) from continuing operations, net of tax	$	796		$	(114)		$	(52)		$	283		$	505		**		58		$	630		$	1,516		(58)
Selected performance metrics:
Period-end loans held for investment	$	68,688		$	66,712		$	64,033		$	63,065		$	62,015		3		11		$	68,688		$	62,015		11
Average loans held for investment	67,822			64,851			63,671			62,596			61,269			5		11		65,457			60,072			9
Average yield on loans held for investment⁽⁸⁾	8.36		%	8.41		%	8.46		%	8.51		%	8.47		%	(5)	bps	(11)	bps	8.41		%	8.33		%	8	bps
Auto loan originations	$	8,979		$	8,292		$	7,640		$	7,527		$	8,175		8	%	10	%	$	24,910		$	21,723		15	%
Period-end deposits	249,684			246,804			217,607			213,099			206,423			1		21		249,684			206,423			21
Average deposits	248,418			232,293			215,071			209,783			204,933			7		21		231,988			203,404			14
Average deposits interest rate	0.66		%	0.89		%	1.06		%	1.20		%	1.31		%	(23)	bps	(65)	bps	0.86		%	1.25		%	(39)	bps
Net charge-off rate	0.28			1.19			1.54			1.93			1.64			(91)		(136)		0.99			1.43			(44)
30+ day performing delinquency rate	3.62			3.16			5.12			6.63			6.23			46		(261)		3.62			6.23			(261)
30+ day delinquency rate	3.90			3.48			5.65			7.34			6.86			42		(296)		3.90			6.86			(296)
Nonperforming loan rate⁽³⁾	0.38			0.43			0.63			0.81			0.74			(5)		(36)		0.38			0.74			(36)
Nonperforming asset rate⁽⁴⁾	0.43			0.46			0.71			0.91			0.83			(3)		(40)		0.43			0.83			(40)
Auto—At origination FICO scores:⁽¹²⁾
Greater than 660	46		%	46		%	47		%	48		%	48		%	—		(2)	%	46		%	48		%	(2)	%
621 - 660	20			20			20			20			20			—		—		20			20			—
620 or below	34			34			33			32			32			—		2		34			32			2
Total	100		%	100		%	100		%	100		%	100		%					100		%	100		%

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 12: Financial & Statistical Summary—Commercial Banking Business

																2020 Q3 vs.				Nine Months Ended September 30,
	2020			2020			2020			2019			2019			2020		2019								2020 vs.
(Dollars in millions, except as noted)	Q3			Q2			Q1			Q4			Q3			Q2		Q3		2020			2019			2019
Commercial Banking
Earnings:
Net interest income	$	517		$	518		$	491		$	494		$	486		—		6	%	$	1,526		$	1,489		2	%
Non-interest income	237			180			238			223			221			32	%	7		655			608			8
Total net revenue⁽⁶⁾	754			698			729			717			707			8		7		2,181			2,097			4
Provision (benefit) for credit losses	(74)			427			856			62			93			**		**		1,209			244			**
Non-interest expense	424			425			412			441			414			—		2		1,261			1,258			—
Income (loss) from continuing operations before income taxes	404			(154)			(539)			214			200			**		102		(289)			595			**
Income tax provision (benefit)	95			(36)			(128)			50			46			**		107		(69)			138			**
Income (loss) from continuing operations, net of tax	$	309		$	(118)		$	(411)		$	164		$	154		**		101		$	(220)		$	457		**
Selected performance metrics:
Period-end loans held for investment	$	75,894		$	77,490		$	81,160		$	74,508		$	73,659		(2)		3		$	75,894		$	73,659		3
Average loans held for investment	76,322			79,759			76,442			74,189			72,507			(4)		5		77,503			71,985			8
Average yield on loans held for investment⁽⁶⁾⁽⁸⁾	2.82		%	3.00		%	3.88		%	4.22		%	4.45		%	(18)	bps	(163)	bps	3.23		%	4.61		%	(138)	bps
Period-end deposits	$	36,783		$	35,669		$	32,822		$	32,134		$	30,923		3	%	19	%	$	36,783		$	30,923		19	%
Average deposits	36,278			34,635			32,238			32,034			30,693			5		18		34,391			30,957			11
Average deposits interest rate	0.25		%	0.30		%	0.89		%	1.10		%	1.25		%	(5)	bps	(100)	bps	0.47		%	1.21		%	(74)	bps
Net charge-off rate	0.43			0.51			0.57			0.35			0.33			(8)		10		0.50			0.17			33
Nonperforming loan rate⁽³⁾	1.01			0.85			0.61			0.60			0.61			16		40		1.01			0.61			40
Nonperforming asset rate⁽⁴⁾	1.01			0.85			0.61			0.60			0.61			16		40		1.01			0.61			40
Risk category:⁽¹³⁾
Noncriticized	$	68,533		$	70,881		$	77,714		$	71,848		$	71,144		(3)	%	(4)	%	$	68,533		$	71,144		(4)	%
Criticized performing	6,593			5,949			2,952			2,181			2,035			11		**		6,593			2,035			**
Criticized nonperforming	768			660			494			448			449			16		71		768			449			71
PCI loans	—			—			—			31			31			—		**		—			31			**
Total commercial banking loans	$	75,894		$	77,490		$	81,160		$	74,508		$	73,659		(2)		3		$	75,894		$	73,659		3
Risk category as a percentage of period-end loans held for investment:⁽¹³⁾
Noncriticized	90.3		%	91.4		%	95.8		%	96.5		%	96.6		%	(110)	bps	(630)	bps	90.3		%	96.6		%	(630)	bps
Criticized performing	8.7			7.7			3.6			2.9			2.8			100		590		8.7			2.8			590
Criticized nonperforming	1.0			0.9			0.6			0.6			0.6			10		40		1.0			0.6			40
Total commercial banking loans	100.0		%	100.0		%	100.0		%	100.0		%	100.0		%					100.0		%	100.0		%

CAPITAL ONE FINANCIAL CORPORATION (COF)
Table 13: Financial & Statistical Summary—Other and Total

											2020 Q3 vs.				Nine Months Ended September 30,
	2020		2020		2020		2019		2019		2020		2019						2020 vs.
(Dollars in millions)	Q3		Q2		Q1		Q4		Q3		Q2		Q3		2020		2019		2019
Other
Earnings:
Net interest income (loss)	$	(158)	$	(92)	$	175	$	116	$	23	72	%	**		$	(75)	$	48	**
Non-interest income (loss)	469		(26)		(51)		(44)		(34)		**		**		392		(65)		**
Total net revenue (loss)⁽⁶⁾	311		(118)		124		72		(11)		**		**		317		(17)		**
Provision (benefit) for credit losses	(2)		(1)		5		—		—		100		**		2		—		**
Non-interest expense^(14)(15)	110		340		118		123		113		(68)		(3)	%	568		299		90	%
Income (loss) from continuing operations before income taxes	203		(457)		1		(51)		(124)		**		**		(253)		(316)		(20)
Income tax provision (benefit)	316		(305)		(113)		(78)		(60)		**		**		(102)		(275)		(63)
Income (loss) from continuing operations, net of tax	$	(113)	$	(152)	$	114	$	27	$	(64)	(26)		77		$	(151)	$	(41)	**
Selected performance metrics:
Period-end deposits	$	19,258	$	21,765	$	19,260	$	17,464	$	19,802	(12)		(3)		$	19,258	$	19,802	(3)
Average deposits	20,820		21,416		17,344		18,223		19,456		(3)		7		19,863		19,028		4
Total
Earnings:
Net interest income	$	5,555	$	5,460	$	6,025	$	6,066	$	5,737	2	%	(3)	%	$	17,040	$	17,274	(1)	%
Non-interest income	1,826		1,096		1,224		1,361		1,222		67		49		4,146		3,892		7
Total net revenue	7,381		6,556		7,249		7,427		6,959		13		6		21,186		21,166		—
Provision for credit losses	331		4,246		5,423		1,818		1,383		(92)		(76)		10,000		4,418		126
Non-interest expense	3,548		3,770		3,729		4,161		3,872		(6)		(8)		11,047		11,322		(2)
Income (loss) from continuing operations before income taxes	3,502		(1,460)		(1,903)		1,448		1,704		**		106		139		5,426		(97)
Income tax provision (benefit)	1,096		(543)		(563)		270		375		**		192		(10)		1,071		**
Income (loss) from continuing operations, net of tax	$	2,406	$	(917)	$	(1,340)	$	1,178	$	1,329	**		81		$	149	$	4,355	(97)
Selected performance metrics:
Period-end loans held for investment	$	248,223

Capital One Financial Beats

Capital One Reports Third Quarter 2020 Net Income of $2.4 billion, or $5.06 per share