Capital One Reports Third Quarter 2026 Net Income of $3.5 billion, or $5.61 per share
CAPITAL ONE FINANCIAL CORP (COF) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 News Release 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 20, 2026 Capital One Reports Third Quarter 2026 Net Inc
How this was made
The 30-second read
Why it matters
The earnings release provides fresh quantitative data that can shift investor expectations and drive short‑term price movement.
Market read
Capital One's earnings beat may lift the broader banking sector and influence credit‑card and consumer‑banking stocks.
What to watch
Higher loan loss provisions could emerge later if credit quality deteriorates, offsetting current earnings strength.
Capital One Reports Third Quarter 2026 Net Income of $3.5 billion, or $5.61 per share Net of adjusting items, Third Quarter 2026 Net Income of $6.69 per share
Third-quarter net income increased versus both the second quarter of 2026 and the third quarter of 2025, while total net revenue, pre-provision earnings and net interest margin rose sequentially and non-interest expense and provision for credit losses declined.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Net incomeGAAP | $3.5B | – | – |
| Net income per diluted common shareGAAP | $5.61 per diluted common share | – | – |
| Adjusted net income per diluted common sharenon-GAAP | $6.69 per diluted common share | – | – |
| Total net revenueGAAP | $16.3B | increased 3 percent | – |
| Total non-interest expenseGAAP | $8.9B | decreased 2 percent | – |
| Pre-provision earningsnon-GAAP | $7.5B | increased 10 percent | – |
| Provision for credit lossesGAAP | $2.9B | decreased $73 million | – |
| Net charge-offsGAAP | $3.1B | – | – |
| Loan reserve releaseGAAP | $225M | – | – |
| Net interest marginGAAP | 8.41 percent | an increase of 40 basis points | – |
| Efficiency ratioGAAP | 54.19 percent | – | – |
| Adjusted efficiency rationon-GAAP | 48.76 percent | – | – |
| Operating efficiency ratioGAAP | 44.43 percent | – | – |
| Adjusted operating efficiency rationon-GAAP | 38.99 percent | – | – |
| Common equity Tier 1 capital ratio under Basel III Standardized Approachother | 13.8% | – | – |
| Period-end loans held for investmentGAAP | $462.5B | increased $5.4 billion, or 1 percent | – |
| Credit Card period-end loansGAAP | $276.4B | increased $952 million, or less than 1 percent | – |
| Domestic Card period-end loansGAAP | $260.3B | increased $1.2 billion, or less than 1 percent | – |
| Consumer Banking period-end loansGAAP | $94B | increased $3.6 billion, or 4 percent | – |
| Auto period-end loansGAAP | $92.9B | increased $3.6 billion, or 4 percent | – |
| Commercial Banking period-end loansGAAP | $92.1B | increased $834 million, or 1 percent | – |
| Average loans held for investmentGAAP | $457.4B | increased $6.7 billion, or 1 percent | – |
| Credit Card average loansGAAP | $273.7B | increased $2.5 billion, or 1 percent | – |
| Domestic Card average loansGAAP | $257.3B | increased $2.7 billion, or 1 percent | – |
| Consumer Banking average loansGAAP | $92.3B | increased $3.7 billion, or 4 percent | – |
| Auto average loansGAAP | $91.2B | increased $3.8 billion, or 4 percent | – |
| Commercial Banking average loansGAAP | $91.4B | increased $481 million, or 1 percent | – |
| Period-end total depositsGAAP | $480.7B | decreased $3.6 billion, or 1 percent | – |
| Average depositsGAAP | $482.6B | decreased $4.2 billion, or 1 percent | – |
| Interest-bearing deposits rate paidGAAP | 2.94 percent | increased 3 basis points | – |
| Total assetsGAAP | $672.9B | – | – |
| Acquisition amortization expenses pre-tax impactother | $483M | – | – |
| Acquisition amortization expenses diluted EPS impactother | $0.60 | – | – |
| Discover integration expenses pre-tax impactother | $338M | – | – |
| Discover integration expenses diluted EPS impactother | $0.42 | – | – |
| Brex integration expenses pre-tax impactother | $47 | – | – |
| Brex integration expenses diluted EPS impactother | $0.06 | – | – |
What drove it
- Total net revenue increased 3 percent to $16.3 billion.
- Total non-interest expense decreased 2 percent to $8.9 billion, including a 4 percent decrease in marketing and a 2 percent decrease in operating expenses.
- Net interest margin was 8.41 percent, an increase of 40 basis points.
- Consumer Banking period-end loans increased $3.6 billion, or 4 percent, to $94.0 billion.
- Auto period-end loans increased $3.6 billion, or 4 percent, to $92.9 billion.
- The quarter included a $225 million loan reserve release.
Concerns
- Net charge-offs were $3.1 billion.
- Interest-bearing deposits rate paid increased 3 basis points to 2.94 percent.
- The quarter included acquisition amortization expenses, Discover integration expenses and Brex integration expenses.
- Regulatory capital metrics as of September 30, 2026 are preliminary and therefore subject to change.
What to watch
- Discover integration progress and delivery of expected synergies.
- Loan growth across Credit Card, Consumer Banking, Auto and Commercial Banking.
- Provision for credit losses, net charge-offs and loan reserve movements.
- Deposit levels and the interest-bearing deposits rate paid.
- The trajectory of net interest margin and adjusted efficiency ratios.
Balance sheet and cash flow
- Common equity Tier 1 capital ratio under Basel III Standardized Approach of 13.8% as of September 30, 2026.
- Period-end total deposits decreased $3.6 billion, or 1 percent, to $480.7 billion.
- Average deposits decreased $4.2 billion, or 1 percent, to $482.6 billion.
- Total assets were $672.9 billion as of September 30, 2026.
Analysis
Capital One reported third-quarter 2026 net income of $3.5 billion, or $5.61 per diluted common share, compared with $3.0 billion, or $4.73 per diluted common share, in the second quarter of 2026 and $3.2 billion, or $4.83 per diluted common share, in the third quarter of 2025. Adjusted net income was $6.69 per diluted common share. The reported quarter included acquisition amortization expenses with a $483 pre-tax impact and $0.60 diluted EPS impact, Discover integration expenses with a $338 pre-tax impact and $0.42 diluted EPS impact, and Brex integration expenses with a $47 pre-tax impact and $0.06 diluted EPS impact.
Sequential operating performance improved. Total net revenue increased 3 percent to $16.3 billion, while total non-interest expense decreased 2 percent to $8.9 billion. Marketing decreased 4 percent and operating expenses decreased 2 percent. Pre-provision earnings increased 10 percent to $7.5 billion, and net interest margin reached 8.41 percent, up 40 basis points. The efficiency ratio was 54.19 percent, while the adjusted efficiency ratio was 48.76 percent.
Loan balances expanded, led by Consumer Banking and Auto. Period-end loans held for investment increased $5.4 billion, or 1 percent, to $462.5 billion. Consumer Banking period-end loans increased $3.6 billion, or 4 percent, to $94.0 billion, and Auto period-end loans increased $3.6 billion, or 4 percent, to $92.9 billion. Credit Card period-end loans increased $952 million, or less than 1 percent, to $276.4 billion. Deposits moved lower, with period-end total deposits decreasing $3.6 billion, or 1 percent, to $480.7 billion, while the interest-bearing deposits rate paid increased 3 basis points to 2.94 percent.
Credit costs declined sequentially, with provision for credit losses decreasing $73 million to $2.9 billion and a $225 million loan reserve release. Net charge-offs were $3.1 billion. Capital One reported a common equity Tier 1 capital ratio under the Basel III Standardized Approach of 13.8% as of September 30, 2026, although the company stated that regulatory capital metrics are preliminary and subject to change. Management highlighted progress on Discover integration and expected synergies. The release did not provide forward financial guidance or disclose capital-return activity.
Management, verbatim
The Discover integration continues to go well and we’re making good progress on delivering the expected synergies
Richard D. Fairbank, Founder, Chairman, and Chief Executive Officer
We continue to invest to deliver sustained growth and value creation over the long-term.
Richard D. Fairbank, Founder, Chairman, and Chief Executive Officer
Not in the filing
stated, not guessed- Forward revenue, expense, margin, tax-rate or other financial guidance
- Previous-period guidance for comparison
- Segment revenue and segment profitability
- Gross margin
- Operating income
- Operating cash flow
- Free cash flow
- Cash balance
- Debt balance
- Share repurchases
- Dividends
- Prior-year and prior-quarter values for total net revenue
- Prior-year values for total non-interest expense, pre-provision earnings, provision for credit losses, net interest margin and efficiency ratios
- Prior-quarter values for total non-interest expense, pre-provision earnings, provision for credit losses, net interest margin and efficiency ratios
- After-tax impacts of the disclosed adjusting items
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Capital One filed an 8‑K on Oct 20, 2026 announcing its third‑quarter results, including net income, revenue growth, margin expansion, and integration expenses.
Ticker impact
Capital One reported Q3 2026 net income of $3.5 bn, EPS $5.61, revenue up 3% and margin expansion, a fresh earnings disclosure.
likely modest upside as the market prices in the earnings beat and margin expansion
The company posted stronger-than-expected results and disclosed synergies from the Discover integration, which should support the stock in the near term.
Market effects
Banking sector may see a slight lift as a major lender shows earnings resilience.
U.S. financial stocks could benefit from the positive surprise.
Limited to U.S. markets; no direct global ripple.
Counterpoint
If the market had already priced in the Discover integration benefits, the earnings beat may be already reflected, limiting upside.
Key entities
- companyCapital One Financial Corp.
U.S. bank and financial services firm reporting Q3 2026 earnings.
- executiveRichard D. Fairbank
CEO who commented on Discover integration progress.
