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Published: 2022-10-27 00:00:00 ET

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Exhibit 99.2

Capital One Financial Corporation

Financial Supplement(1)(2)

Third Quarter 2022

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	6
	Table 5:	Notes to Financial Summary, Selected Metrics and Consolidated Financial Statements (Tables 1—4)	8
	Table 6:	Average Balances, Net Interest Income and Net Interest Margin	9
	Table 7:	Loan Information and Performance Statistics	10
	Table 8:	Allowance for Credit Losses and Reserve for Unfunded Lending Commitments Activity	12
Business Segment Results
	Table 9:	Financial Summary—Business Segment Results	13
	Table 10:	Financial & Statistical Summary—Credit Card Business	14
	Table 11:	Financial & Statistical Summary—Consumer Banking Business	16
	Table 12:	Financial & Statistical Summary—Commercial Banking Business	17
	Table 13:	Financial & Statistical Summary—Other and Total	18
Other
	Table 14:	Notes to Net Interest Margin, Loan, Allowance and Business Segment Disclosures (Tables 6—13)	19
	Table 15:	Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures	20

__________

(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, 2022 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


											2022 Q3 vs.				Nine Months Ended September 30,
(Dollars in millions, except per share data and as noted)	2022		2022		2022		2021		2021		2022		2021						2022 vs.
	Q3		Q2		Q1		Q4		Q3		Q2		Q3		2022		2021		2021
Income Statement
Net interest income	$	7,003	$	6,517	$	6,397	$	6,450	$	6,156	7	%	14	%	$	19,917	$	17,721	12	%
Non-interest income	1,802		1,715		1,776		1,668		1,674		5		8		5,293		4,596		15
Total net revenue(1)	8,805		8,232		8,173		8,118		7,830		7		12		25,210		22,317		13
Provision (benefit) for credit losses	1,669		1,085		677		381		(342)		54		**		3,431		(2,325)		**
Non-interest expense:
Marketing	978		1,003		918		999		751		(2)		30		2,899		1,872		55
Operating expense	3,971		3,580		3,633		3,679		3,435		11		16		11,184		10,020		12
Total non-interest expense	4,949		4,583		4,551		4,678		4,186		8		18		14,083		11,892		18
Income from continuing operations before income taxes	2,187		2,564		2,945		3,059		3,986		(15)		(45)		7,696		12,750		(40)
Income tax provision	493		533		542		633		882		(8)		(44)		1,568		2,782		(44)
Income from continuing operations, net of tax	1,694		2,031		2,403		2,426		3,104		(17)		(45)		6,128		9,968		(39)
Income (loss) from discontinued operations, net of tax	—		—		—		(1)		—		—		—		—		(3)		**
Net income	1,694		2,031		2,403		2,425		3,104		(17)		(45)		6,128		9,965		(39)
Dividends and undistributed earnings allocated to participating securities(2)	(21)		(25)		(28)		(21)		(26)		(16)		(19)		(74)		(84)		(12)
Preferred stock dividends	(57)		(57)		(57)		(74)		(79)		—		(28)		(171)		(200)		(15)
Issuance cost for redeemed preferred stock(3)	—		—		—		(34)		(12)		—		**		—		(12)		**
Net income available to common stockholders	$	1,616	$	1,949	$	2,318	$	2,296	$	2,987	(17)		(46)		$	5,883	$	9,669	(39)
Common Share Statistics
Basic earnings per common share:(2)
Net income from continuing operations	$	4.21	$	4.98	$	5.65	$	5.43	$	6.81	(15)	%	(38)	%	$	14.90	$	21.53	(31)	%
Income (loss) from discontinued operations	—		—		—		—		—		—		—		—		(0.01)		**
Net income per basic common share	$	4.21	$	4.98	$	5.65	$	5.43	$	6.81	(15)		(38)		$	14.90	$	21.52	(31)
Diluted earnings per common share:(2)
Net income from continuing operations	$	4.20	$	4.96	$	5.62	$	5.41	$	6.78	(15)	%	(38)	%	$	14.84	$	21.45	(31)	%
Income (loss) from discontinued operations	—		—		—		—		—		—		—		—		(0.01)		**
Net income per diluted common share	$	4.20	$	4.96	$	5.62	$	5.41	$	6.78	(15)		(38)		$	14.84	$	21.44	(31)
Weighted-average common shares outstanding (in millions):
Basic	383.4		391.2		410.4		422.5		438.8		(2)	%	(13)	%	394.9		449.2		(12)	%
Diluted	384.6		392.6		412.2		424.3		440.5		(2)		(13)		396.4		450.9		(12)
Common shares outstanding (period-end, in millions)	382.0		383.8		399.0		413.9		430.4		—		(11)		382.0		430.4		(11)
Dividends declared and paid per common share	$	0.60	$	0.60	$	0.60	$	0.60	$	1.20	—		(50)		$	1.80	$	2.00	(10)
Tangible book value per common share (period-end)(4)	81.38		87.84		91.77		99.74		99.60		(7)		(18)		81.38		99.60		(18)


											2022 Q3 vs.		Nine Months Ended September 30,
(Dollars in millions)	2022		2022		2022		2021		2021		2022	2021					2022 vs.
	Q3		Q2		Q1		Q4		Q3		Q2	Q3	2022		2021		2021
Balance Sheet (Period-End)
Loans held for investment	$	303,943	$	296,384	$	280,466	$	277,340	$	261,390	3%	16%	$	303,943	$	261,390	16%
Interest-earning assets	415,262		406,565		398,241		397,341		387,208		2	7	415,262		387,208		7
Total assets	444,232		440,288		434,195		432,381		425,377		1	4	444,232		425,377		4
Interest-bearing deposits	282,802		270,881		275,648		272,937		269,134		4	5	282,802		269,134		5
Total deposits	317,193		307,885		313,429		310,980		305,938		3	4	317,193		305,938		4
Borrowings	54,607		58,938		45,358		43,086		37,501		(7)	46	54,607		37,501		46
Common equity	46,015		48,564		51,499		56,184		57,632		(5)	(20)	46,015		57,632		(20)
Total stockholders’ equity	50,861		53,410		56,345		61,029		63,544		(5)	(20)	50,861		63,544		(20)
Balance Sheet (Average Balances)
Loans held for investment	$	300,186	$	286,110	$	275,342	$	267,159	$	253,101	5%	19%	$	287,304	$	247,867	16%
Interest-earning assets	412,171		398,934		394,082		390,868		387,766		3	6	401,793		388,820		3
Total assets	447,088		435,327		430,372		427,845		424,506		3	5	437,523		423,457		3
Interest-bearing deposits	275,900		268,104		271,823		269,951		269,278		3	2	271,957		272,022		—
Total deposits	311,928		305,954		309,597		307,272		305,035		2	2	309,168		306,102		1
Borrowings	58,628		53,208		42,277		39,943		37,464		10	56	51,431		38,134		35
Common equity	49,696		49,319		54,591		56,946		58,230		1	(15)	51,184		56,972		(10)
Total stockholders’ equity	54,541		54,165		59,437		62,498		64,682		1	(16)	56,030		62,575		(10)

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 2: Selected Metrics—Consolidated


																2022 Q3 vs.				Nine Months Ended September 30,
(Dollars in millions, except as noted)	2022			2022			2022			2021			2021			2022		2021								2022 vs.
	Q3			Q2			Q1			Q4			Q3			Q2		Q3		2022			2021			2021
Performance Metrics
Net interest income growth (period over period)	7		%	2		%	(1)%			5		%	7		%	**		**		12		%	4		%	**
Non-interest income growth (period over period)	5			(3)			6			—			3			**		**		15			11			**
Total net revenue growth (period over period)	7			1			1			4			6			**		**		13			5			**
Total net revenue margin(5)	8.55			8.25			8.30			8.31			8.08			30	bps	47	bps	8.37			7.65			72	bps
Net interest margin(6)	6.80			6.54			6.49			6.60			6.35			26		45		6.61			6.08			53
Return on average assets	1.52			1.87			2.23			2.27			2.92			(35)		(140)		1.87			3.14			(127)
Return on average tangible assets(7)	1.57			1.93			2.31			2.35			3.03			(36)		(146)		1.93			3.25			(132)
Return on average common equity(8)	13.01			15.81			16.98			16.13			20.52			(3)%		(8)%		15.33			22.64			(7)%
Return on average tangible common equity(9)	18.59			22.63			23.36			21.82			27.50			(4)		(9)		21.62			30.57			(9)
Non-interest expense as a percentage of average loans held for investment	6.59			6.41			6.61			7.00			6.62			18	bps	(3)	bps	6.54			6.40			14	bps
Efficiency ratio(10)	56.21			55.67			55.68			57.63			53.46			54		275		55.86			53.29			257
Operating efficiency ratio(11)	45.10			43.49			44.45			45.32			43.87			161		123		44.36			44.90			(54)
Effective income tax rate for continuing operations	22.5			20.8			18.4			20.7			22.1			170		40		20.4			21.8			(140)
Employees (period-end, in thousands)	55.1			53.6			51.5			50.8			50.8			3%		8%		55.1			50.8			8%
Credit Quality Metrics
Allowance for credit losses	$	12,209		$	11,491		$	11,308		$	11,430		$	11,573		6%		5%		$	12,209		$	11,573		5%
Allowance coverage ratio	4.02		%	3.88		%	4.03		%	4.12		%	4.43		%	14	bps	(41)	bps	4.02		%	4.43		%	(41)	bps
Net charge-offs	$	931		$	845		$	767		$	527		$	426		10%		119%		$	2,543		$	1,707		49%
Net charge-off rate(12)	1.24		%	1.18		%	1.11		%	0.79		%	0.67		%	6	bps	57	bps	1.18		%	0.92		%	26	bps
30+ day performing delinquency rate	2.58			2.36			2.08			2.25			1.97			22		61		2.58			1.97			61
30+ day delinquency rate	2.78			2.54			2.21			2.41			2.13			24		65		2.78			2.13			65
Capital Ratios(13)
Common equity Tier 1 capital	12.2		%	12.1		%	12.7		%	13.1		%	13.8		%	10	bps	(160)	bps	12.2		%	13.8		%	(160)	bps
Tier 1 capital	13.6			13.5			14.1			14.5			15.7			10		(210)		13.6			15.7			(210)
Total capital	15.7			15.7			16.4			16.9			18.2			—		(250)		15.7			18.2			(250)
Tier 1 leverage	11.0			11.1			11.3			11.6			12.2			(10)		(120)		11.0			12.2			(120)
Tangible common equity (“TCE”)(14)	7.2			7.9			8.7			9.9			10.4			(70)		(320)		7.2			10.4			(320)

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 3: Consolidated Statements of Income


											2022 Q3 vs.				Nine Months Ended September 30,
(Dollars in millions, except as noted)	2022		2022		2022		2021		2021		2022		2021						2022 vs.
	Q3		Q2		Q1		Q4		Q3		Q2		Q3		2022		2021		2021
Interest income:
Loans, including loans held for sale	$	7,578	$	6,605	$	6,367	$	6,451	$	6,205	15	%	22	%	$	20,550	$	17,812	15	%
Investment securities	499		435		402		368		317		15		57		1,336		1,078		24
Other	123		55		15		12		16		124		**		193		48		**
Total interest income	8,200		7,095		6,784		6,831		6,538		16		25		22,079		18,938		17
Interest expense:
Deposits	689		293		218		222		228		135		**		1,200		734		63
Securitized debt obligations	120		65		29		30		29		85		**		214		89		140
Senior and subordinated notes	319		194		131		121		116		64		175		644		367		75
Other borrowings	69		26		9		8		9		165		**		104		27		**
Total interest expense	1,197		578		387		381		382		107		**		2,162		1,217		78
Net interest income	7,003		6,517		6,397		6,450		6,156		7		14		19,917		17,721		12
Provision (benefit) for credit losses	1,669		1,085		677		381		(342)		54		**		3,431		(2,325)		**
Net interest income after provision for credit losses	5,334		5,432		5,720		6,069		6,498		(2)		(18)		16,486		20,046		(18)
Non-interest income:
Interchange fees, net	1,195		1,201		1,033		1,005		1,022		—		17		3,429		2,855		20
Service charges and other customer-related fees	415		415		400		435		407		—		2		1,230		1,143		8

Other	192		99		343		228		245		94		(22)		634		598		6
Total non-interest income	1,802		1,715		1,776		1,668		1,674		5		8		5,293		4,596		15
Non-interest expense:
Salaries and associate benefits	2,187		1,946		2,026		1,941		1,852		12		18		6,159		5,480		12
Occupancy and equipment	502		481		513		527		481		4		4		1,496		1,476		1
Marketing	978		1,003		918		999		751		(2)		30		2,899		1,872		55
Professional services	471		458		397		449		358		3		32		1,326		991		34
Communications and data processing	349		339		339		326		319		3		9		1,027		936		10
Amortization of intangibles	17		14		14		13		5		21		**		45		16		181
Other	445		342		344		423		420		30		6		1,131		1,121		1
Total non-interest expense	4,949		4,583		4,551		4,678		4,186		8		18		14,083		11,892		18
Income from continuing operations before income taxes	2,187		2,564		2,945		3,059		3,986		(15)		(45)		7,696		12,750		(40)
Income tax provision	493		533		542		633		882		(8)		(44)		1,568		2,782		(44)
Income from continuing operations, net of tax	1,694		2,031		2,403		2,426		3,104		(17)		(45)		6,128		9,968		(39)
Income (loss) from discontinued operations, net of tax	—		—		—		(1)		—		—		—		—		(3)		**
Net income	1,694		2,031		2,403		2,425		3,104		(17)		(45)		6,128		9,965		(39)
Dividends and undistributed earnings allocated to participating securities(2)	(21)		(25)		(28)		(21)		(26)		(16)		(19)		(74)		(84)		(12)
Preferred stock dividends	(57)		(57)		(57)		(74)		(79)		—		(28)		(171)		(200)		(15)
Issuance cost for redeemed preferred stock(3)	—		—		—		(34)		(12)		—		**		—		(12)		**
Net income available to common stockholders	$	1,616	$	1,949	$	2,318	$	2,296	$	2,987	(17)		(46)		$	5,883	$	9,669	(39)



											2022 Q3 vs.				Nine Months Ended September 30,
	2022		2022		2022		2021		2021		2022		2021						2022 vs.
	Q3		Q2		Q1		Q4		Q3		Q2		Q3		2022		2021		2021
Basic earnings per common share:(2)
Net income from continuing operations	$	4.21	$	4.98	$	5.65	$	5.43	$	6.81	(15)	%	(38)	%	$	14.90	$	21.53	(31)	%
Income (loss) from discontinued operations	—		—		—		—		—		—		—		—		(0.01)		**
Net income per basic common share	$	4.21	$	4.98	$	5.65	$	5.43	$	6.81	(15)		(38)		$	14.90	$	21.52	(31)
Diluted earnings per common share:(2)
Net income from continuing operations	$	4.20	$	4.96	$	5.62	$	5.41	$	6.78	(15)		(38)		$	14.84	$	21.45	(31)
Income (loss) from discontinued operations	—		—		—		—		—		—		—		—		(0.01)		**
Net income per diluted common share	$	4.20	$	4.96	$	5.62	$	5.41	$	6.78	(15)		(38)		$	14.84	$	21.44	(31)
Weighted-average common shares outstanding (in millions):
Basic common shares	383.4		391.2		410.4		422.5		438.8		(2)		(13)		394.9		449.2		(12)
Diluted common shares	384.6		392.6		412.2		424.3		440.5		(2)		(13)		396.4		450.9		(12)

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 4: Consolidated Balance Sheets


											2022 Q3 vs.
	2022		2022		2022		2021		2021		2022		2021
(Dollars in millions)	Q3		Q2		Q1		Q4		Q3		Q2		Q3
Assets:
Cash and cash equivalents:
Cash and due from banks	$	3,716	$	4,825	$	5,107	$	4,164	$	5,444	(23)	%	(32)	%
Interest-bearing deposits and other short-term investments	21,176		16,728		21,697		17,582		21,180		27		—
Total cash and cash equivalents	24,892		21,553		26,804		21,746		26,624		15		(7)
Restricted cash for securitization investors	399		697		281		308		234		(43)		71
Securities available for sale	75,303		83,022		89,076		95,261		98,149		(9)		(23)
Loans held for investment:
Unsecuritized loans held for investment	277,576		271,339		257,505		252,468		238,475		2		16
Loans held in consolidated trusts	26,367		25,045		22,961		24,872		22,915		5		15
Total loans held for investment	303,943		296,384		280,466		277,340		261,390		3		16
Allowance for credit losses	(12,209)		(11,491)		(11,308)		(11,430)		(11,573)		6		5
Net loans held for investment	291,734		284,893		269,158		265,910		249,817		2		17
Loans held for sale	1,729		875		1,155		5,888		6,300		98		(73)
Premises and equipment, net	4,265		4,238		4,238		4,210		4,204		1		1
Interest receivable	1,853		1,611		1,479		1,460		1,418		15		31
Goodwill	14,771		14,778		14,784		14,782		14,652		—		1
Other assets	29,286		28,621		27,220		22,816		23,979		2		22
Total assets	$	444,232	$	440,288	$	434,195	$	432,381	$	425,377	1		4


											2022 Q3 vs.
	2022		2022		2022		2021		2021		2022		2021
(Dollars in millions)	Q3		Q2		Q1		Q4		Q3		Q2		Q3
Liabilities:
Interest payable	$	433	$	333	$	261	$	281	$	241	30	%	80	%
Deposits:
Non-interest-bearing deposits	34,391		37,004		37,781		38,043		36,804		(7)		(7)
Interest-bearing deposits	282,802		270,881		275,648		272,937		269,134		4		5
Total deposits	317,193		307,885		313,429		310,980		305,938		3		4
Securitized debt obligations	15,926		17,466		13,740		14,994		12,635		(9)		26
Other debt:
Federal funds purchased and securities loaned or sold under agreements to repurchase	528		440		594		820		825		20		(36)
Senior and subordinated notes	30,615		30,489		26,976		27,219		23,983		—		28
Other borrowings	7,538		10,543		4,048		53		58		(29)		**
Total other debt	38,681		41,472		31,618		28,092		24,866		(7)		56
Other liabilities	21,138		19,722		18,802		17,005		18,153		7		16
Total liabilities	393,371		386,878		377,850		371,352		361,833		2		9

Stockholders’ equity:
Preferred stock	0		0		0		0		0		—		—
Common stock	7		7		7		7		7		—		—
Additional paid-in capital, net	34,579		34,425		34,286		34,112		35,051		—		(1)
Retained earnings	56,240		54,836		53,099		51,006		48,944		3		15
Accumulated other comprehensive income (loss)	(10,704)		(6,916)		(4,093)		374		1,360		55		**
Treasury stock, at cost	(29,261)		(28,942)		(26,954)		(24,470)		(21,818)		1		34
Total stockholders’ equity	50,861		53,410		56,345		61,029		63,544		(5)		(20)
Total liabilities and stockholders’ equity	$	444,232	$	440,288	$	434,195	$	432,381	$	425,377	1		4

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 $222 million in Q3 2022, $211 million in Q2 2022, $192 million in Q1 2022, $151 million in Q4 2021 and $123 million in Q3 2021 for credit card finance charges and fees charged-off as uncollectible.

(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 September 1, 2021, we redeemed all outstanding shares of our fixed-to-floating rate non-cumulative perpetual preferred stock Series E, which reduced our net income available to common shareholders by $12 million in Q3 2021. On December 1, 2021, we redeemed all outstanding shares of our fixed rate 5.20% non-cumulative perpetual preferred stock Series G and our fixed rate 6.00% non-cumulative perpetual preferred stock Series H, which together reduced our net income available to common shareholders by $34 million in Q4 2021.

(4)Tangible book value per common share is a non-GAAP measure calculated based on TCE 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 annualized net income (loss) available to common stockholders less annualized 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 is a non-GAAP measure calculated based on annualized net income (loss) available to common stockholders less annualized income (loss) from discontinued operations, net of tax, for the period, divided by average 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)Capital ratios as of the end of Q3 2022 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.

(14)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.

** Not meaningful.

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 6: Average Balances, Net Interest Income and Net Interest Margin


	2022 Q3						2022 Q2						2021 Q3
(Dollars in millions, except as noted)	Average Balance		Interest Income/ Expense		Yield/Rate(1)		Average Balance		Interest Income/ Expense		Yield/Rate(1)		Average Balance		Interest Income/ Expense		Yield/Rate
Interest-earning assets:
Loans, including loans held for sale	$	300,952	$	7,578	10.07	%	$	287,134	$	6,605	9.20	%	$	260,235	$	6,205	9.54	%
Investment securities	88,666		499		2.25		92,062		435		1.89		98,802		317		1.28
Cash equivalents and other	22,553		123		2.19		19,738		55		1.10		28,729		16		0.22
Total interest-earning assets	$	412,171	$	8,200	7.96		$	398,934	$	7,095	7.11		$	387,766	$	6,538	6.74
Interest-bearing liabilities:
Interest-bearing deposits	$	275,900	$	689	1.00		$	268,104	$	293	0.44		$	269,278	$	228	0.34
Securitized debt obligations	17,108		120		2.81		15,041		65		1.73		12,420		29		0.93
Senior and subordinated notes	30,962		319		4.13		28,919		194		2.68		24,241		116		1.91
Other borrowings and liabilities	12,296		69		2.20		10,922		26		0.98		2,357		9		1.49
Total interest-bearing liabilities	$	336,266	$	1,197	1.42		$	322,986	$	578	0.72		$	308,296	$	382	0.49
Net interest income/spread			$	7,003	6.53				$	6,517	6.40				$	6,156	6.25
Impact of non-interest-bearing funding					0.27						0.14						0.10
Net interest margin					6.80	%					6.54	%					6.35	%



	Nine Months Ended September 30,
	2022						2021
(Dollars in millions, except as noted)	Average Balance		Interest Income/ Expense		Yield/Rate(1)		Average Balance		Interest Income/ Expense		Yield/Rate
Interest-earning assets:
Loans, including loans held for sale	$	289,116	$	20,550	9.48	%	$	252,113	$	17,812	9.42	%
Investment securities	91,788		1,336		1.94		99,059		1,078		1.45
Cash equivalents and other	20,889		193		1.23		37,648		48		0.17
Total interest-earning assets	$	401,793	$	22,079	7.33		$	388,820	$	18,938	6.49
Interest-bearing liabilities:
Interest-bearing deposits	$	271,957	$	1,200	0.59		$	272,022	$	734	0.36
Securitized debt obligations	15,309		214		1.87		11,851		89		1.00
Senior and subordinated notes	28,804		644		2.98		25,555		367		1.92
Other borrowings and liabilities	8,982		104		1.53		2,256		27		1.59
Total interest-bearing liabilities	$	325,052	$	2,162	0.89		$	311,684	$	1,217	0.52
Net interest income/spread			$	19,917	6.44				$	17,721	5.97
Impact of non-interest-bearing funding					0.17						0.11
Net interest margin					6.61	%					6.08	%

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 7: Loan Information and Performance Statistics


											2022 Q3 vs.				Nine Months Ended September 30,
	2022		2022		2022		2021		2021		2022		2021		2022		2021		2022 vs. 2021
(Dollars in millions, except as noted)	Q3		Q2		Q1		Q4		Q3		Q2		Q3
Loans Held for Investment (Period-End)
Credit card:
Domestic credit card	$	121,279	$	115,004	$	107,987	$	108,723	$	99,258	5	%	22	%	$	121,279	$	99,258	22	%
International card businesses	5,634		5,876		5,975		6,049		5,772		(4)		(2)		5,634		5,772		(2)
Total credit card	126,913		120,880		113,962		114,772		105,030		5		21		126,913		105,030		21
Consumer banking:
Auto	79,580		79,926		78,604		75,779		74,716		—		7		79,580		74,716		7
Retail banking	1,619		1,605		1,726		1,867		2,396		1		(32)		1,619		2,396		(32)
Total consumer banking	81,199		81,531		80,330		77,646		77,112		—		5		81,199		77,112		5
Commercial banking:
Commercial and multifamily real estate	38,225		37,845		34,354		35,262		33,096		1		15		38,225		33,096		15
Commercial and industrial	57,606		56,128		51,820		49,660		46,152		3		25		57,606		46,152		25
Total commercial banking	95,831		93,973		86,174		84,922		79,248		2		21		95,831		79,248		21

Total loans held for investment	$	303,943	$	296,384	$	280,466	$	277,340	$	261,390	3		16		$	303,943	$	261,390	16
Loans Held for Investment (Average)
Credit card:
Domestic credit card	$	117,467	$	109,962	$	105,536	$	102,717	$	96,309	7	%	22	%	$	111,032	$	93,493	19	%
International card businesses	5,890		5,873		5,944		5,871		5,737		—		3		5,902		7,264		(19)
Total credit card	123,357		115,835		111,480		108,588		102,046		6		21		116,934		100,757		16
Consumer banking:
Auto	79,741		79,313		76,892		75,284		73,296		1		9		78,659		69,700		13
Retail banking	1,598		1,668		1,797		2,160		2,700		(4)		(41)		1,687		2,969		(43)
Total consumer banking	81,339		80,981		78,689		77,444		75,996		—		7		80,346		72,669		11
Commercial banking:
Commercial and multifamily real estate	38,230		35,754		34,671		33,591		30,314		7		26		36,231		30,100		20
Commercial and industrial	57,260		53,540		50,502		47,536		44,745		7		28		53,793		44,341		21
Total commercial banking	95,490		89,294		85,173		81,127		75,059		7		27		90,024		74,441		21
Total average loans held for investment	$	300,186	$	286,110	$	275,342	$	267,159	$	253,101	5		19		$	287,304	$	247,867	16


											2022 Q3 vs.				Nine Months Ended September 30,
	2022		2022		2022		2021		2021		2022		2021		2022		2021		2022 vs. 2021
	Q3		Q2		Q1		Q4		Q3		Q2		Q3
Net Charge-Off (Recovery) Rates
Credit card:
Domestic credit card(2)	2.20	%	2.26	%	2.12	%	1.49	%	1.36	%	(6)	bps	84	bps	2.19	%	2.05	%	14	bps
International card businesses	3.30		3.82		3.20		0.14		2.72		(52)		58		3.44		2.45		99
Total credit card	2.25		2.34		2.18		1.42		1.43		(9)		82		2.26		2.08		18
Consumer banking:
Auto	1.05		0.61		0.66		0.58		0.18		44		87		0.77		0.17		60
Retail banking	3.89		3.62		4.31		6.69		2.45		27		144		3.95		1.82		213
Total consumer banking	1.10		0.67		0.75		0.75		0.27		43		83		0.84		0.24		60
Commercial banking:
Commercial and multifamily real estate	0.03		(0.08)		—		—		0.01		11		2		(0.02)		0.04		(6)
Commercial and industrial	0.06		0.29		0.11		(0.03)		0.07		(23)		(1)		0.15		(0.01)		16
Total commercial banking	0.05		0.14		0.06		(0.02)		0.05		(9)		—		0.08		0.01		7
Total net charge-offs	1.24		1.18		1.11		0.79		0.67		6		57		1.18		0.92		26
30+ Day Performing Delinquency Rates
Credit card:
Domestic credit card	2.97	%	2.35	%	2.32	%	2.22	%	1.93	%	62	bps	104	bps	2.97	%	1.93	%	104	bps
International card businesses	3.90		3.67		3.58		3.42		3.27		23		63		3.90		3.27		63
Total credit card	3.01		2.42		2.38		2.28		2.00		59		101		3.01		2.00		101
Consumer banking:
Auto	4.85		4.47		3.85		4.32		3.65		38		120		4.85		3.65		120
Retail banking	0.84		0.67		0.74		1.92		1.15		17		(31)		0.84		1.15		(31)
Total consumer banking	4.77		4.39		3.78		4.26		3.58		38		119		4.77		3.58		119
Nonperforming Loans and Nonperforming Assets Rates(3)(4)
Credit card:
International card businesses	0.14	%	0.13	%	0.14	%	0.16	%	0.16	%	1	bps	(2)	bps	0.14	%	0.16	%	(2)	bps
Total credit card	0.01		0.01		0.01		0.01		0.01		—		—		0.01		0.01		—
Consumer banking:
Auto	0.60		0.50		0.41		0.45		0.36		10		24		0.60		0.36		24
Retail banking	2.62		2.61		2.63		2.51		2.20		1		42		2.62		2.20		42
Total consumer banking	0.64		0.54		0.46		0.50		0.42		10		22		0.64		0.42		22
Commercial banking:
Commercial and multifamily real estate	0.64		0.78		0.98		1.09		0.87		(14)		(23)		0.64		0.87		(23)
Commercial and industrial	0.53		0.64		0.69		0.64		0.68		(11)		(15)		0.53		0.68		(15)
Total commercial banking	0.57		0.70		0.81		0.82		0.76		(13)		(19)		0.57		0.76		(19)
Total nonperforming loans	0.35		0.37		0.38		0.40		0.35		(2)		—		0.35		0.35		—
Total nonperforming assets	0.37		0.39		0.40		0.41		0.37		(2)		—		0.37		0.37		—

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 8: Allowance for Credit Losses and Reserve for Unfunded Lending Commitments Activity



	Three Months Ended September 30, 2022
	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, 2022	$	7,840	$	326	$	8,166	$	1,999	$	48	$	2,047	$	1,278	$	11,491
Charge-offs	(960)		(87)		(1,047)		(389)		(21)		(410)		(13)		(1,470)
Recoveries	313		39		352		181		5		186		1		539
Net charge-offs	(647)		(48)		(695)		(208)		(16)		(224)		(12)		(931)
Provision for credit losses	1,167		94		1,261		266		19		285		119		1,665
Allowance build for credit losses	520		46		566		58		3		61		107		734
Other changes(5)	10		(26)		(16)		—		—		—		—		(16)
Balance as of September 30, 2022	8,370		346		8,716		2,057		51		2,108		1,385		12,209
Reserve for unfunded lending commitments:
Balance as of June 30, 2022	—		—		—		—		—		—		239		239
Provision for losses on unfunded lending commitments	—		—		—		—		—		—		4		4

Balance as of September 30, 2022	—		—		—		—		—		—		243		243
Combined allowance and reserve as of September 30, 2022	$	8,370	$	346	$	8,716	$	2,057	$	51	$	2,108	$	1,628	$	12,452



	Nine Months Ended September 30, 2022
	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, 2021	$	7,968	$	377	$	8,345	$	1,852	$	66	$	1,918	$	1,167	$	11,430
Charge-offs	(2,747)		(264)		(3,011)		(1,026)		(64)		(1,090)		(73)		(4,174)
Recoveries	919		112		1,031		570		14		584		16		1,631
Net charge-offs	(1,828)		(152)		(1,980)		(456)		(50)		(506)		(57)		(2,543)
Provision for credit losses	2,220		167		2,387		661		35		696		275		3,358
Allowance build (release) for credit losses	392		15		407		205		(15)		190		218		815
Other changes(5)	10		(46)		(36)		—		—		—		—		(36)
Balance as of September 30, 2022	8,370		346		8,716		2,057		51		2,108		1,385		12,209
Reserve for unfunded lending commitments:
Balance as of December 31, 2021	—		—		—		—		—		—		165		165


Provision for losses on unfunded lending commitments	—		—		—		—		—		—		78		78

Balance as of September 30, 2022	—		—		—		—		—		—		243		243
Combined allowance and reserve as of September 30, 2022	$	8,370	$	346	$	8,716	$	2,057	$	51	$	2,108	$	1,628	$	12,452

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 9: Financial Summary—Business Segment Results


	Three Months Ended September 30, 2022										Nine Months Ended September 30, 2022
(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)	$	4,313	$	2,311	$	699	$	(320)	$	7,003	$	12,051	$	6,571	$	1,941	$	(646)	$	19,917
Non-interest income (loss)	1,454		129		319		(100)		1,802		4,322		330		868		(227)		5,293
Total net revenue (loss)	5,767		2,440		1,018		(420)		8,805		16,373		6,901		2,809		(873)		25,210
Provision (benefit) for credit losses	1,261		285		123		—		1,669		2,387		696		353		(5)		3,431
Non-interest expense	3,004		1,340		542		63		4,949		8,558		3,862		1,515		148		14,083
Income (loss) from continuing operations before income taxes	1,502		815		353		(483)		2,187		5,428		2,343		941		(1,016)		7,696
Income tax provision (benefit)	356		193		83		(139)		493		1,291		555		223		(501)		1,568
Income (loss) from continuing operations, net of tax	$	1,146	$	622	$	270	$	(344)	$	1,694	$	4,137	$	1,788	$	718	$	(515)	$	6,128

	Three Months Ended June 30, 2022
(Dollars in millions)	Credit Card		Consumer Banking		Commercial Banking(6)		Other(6)		Total
Net interest income (loss)	$	3,899	$	2,147	$	635	$	(164)	$	6,517
Non-interest income (loss)	1,410		96		272		(63)		1,715
Total net revenue (loss)	5,309		2,243		907		(227)		8,232
Provision for credit losses	581		281		222		1		1,085
Non-interest expense	2,771		1,286		485		41		4,583
Income (loss) from continuing operations before income taxes	1,957		676		200		(269)		2,564
Income tax provision (benefit)	466		160		48		(141)		533
Income (loss) from continuing operations, net of tax	$	1,491	$	516	$	152	$	(128)	$	2,031

	Three Months Ended September 30, 2021										Nine Months Ended September 30, 2021
(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)	$	3,620	$	2,159	$	578	$	(201)	$	6,156	$	10,209	$	6,290	$	1,558	$	(336)	$	17,721
Non-interest income (loss)	1,263		127		306		(22)		1,674		3,545		412		803		(164)		4,596
Total net revenue (loss)	4,883		2,286		884		(223)		7,830		13,754		6,702		2,361		(500)		22,317
Provision (benefit) for credit losses	(198)		(91)		(53)		—		(342)		(1,325)		(523)		(475)		(2)		(2,325)
Non-interest expense	2,424		1,186		459		117		4,186		6,822		3,426		1,295		349		11,892
Income (loss) from continuing operations before income taxes	2,657		1,191		478		(340)		3,986		8,257		3,799		1,541		(847)		12,750
Income tax provision (benefit)	627		282		113		(140)		882		1,952		897		364		(431)		2,782
Income (loss) from continuing operations, net of tax	$	2,030	$	909	$	365	$	(200)	$	3,104	$	6,305	$	2,902	$	1,177	$	(416)	$	9,968

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 10: Financial & Statistical Summary—Credit Card Business


																2022 Q3 vs.				Nine Months Ended September 30,
	2022			2022			2022			2021			2021			2022		2021								2022 vs.
(Dollars in millions, except as noted)	Q3			Q2			Q1			Q4			Q3			Q2		Q3		2022			2021			2021
Credit Card
Earnings:
Net interest income	$	4,313		$	3,899		$	3,839		$	3,865		$	3,620		11%		19%		$	12,051		$	10,209		18%
Non-interest income	1,454			1,410			1,458			1,261			1,263			3		15		4,322			3,545			22
Total net revenue	5,767			5,309			5,297			5,126			4,883			9		18		16,373			13,754			19
Provision (benefit) for credit losses	1,261			581			545			423			(198)			117		**		2,387			(1,325)			**
Non-interest expense	3,004			2,771			2,783			2,799			2,424			8		24		8,558			6,822			25
Income from continuing operations before income taxes	1,502			1,957			1,969			1,904			2,657			(23)		(43)		5,428			8,257			(34)
Income tax provision	356			466			469			451			627			(24)		(43)		1,291			1,952			(34)
Income from continuing operations, net of tax	$	1,146		$	1,491		$	1,500		$	1,453		$	2,030		(23)		(44)		$	4,137		$	6,305		(34)
Selected performance metrics:
Period-end loans held for investment	$	126,913		$	120,880		$	113,962		$	114,772		$	105,030		5		21		$	126,913		$	105,030		21
Average loans held for investment	123,357			115,835			111,480			108,588			102,046			6		21		116,934			100,757			16
Average yield on loans outstanding(1)	16.74		%	15.24		%	14.97		%	14.94		%	14.88		%	150	bps	186	bps	15.67		%	14.47		%	120	bps
Total net revenue margin(7)	18.70			18.33			18.56			18.11			18.33			37		37		18.53			17.70			83
Net charge-off rate	2.25			2.34			2.18			1.42			1.43			(9)		82		2.26			2.08			18
30+ day performing delinquency rate	3.01			2.42			2.38			2.28			2.00			59		101		3.01			2.00			101
30+ day delinquency rate	3.02			2.42			2.39			2.29			2.00			60		102		3.02			2.00			102
Nonperforming loan rate(3)	0.01			0.01			0.01			0.01			0.01			—		—		0.01			0.01			—
Purchase volume(8)	$	149,497		$	148,491		$	133,662		$	149,982		$	136,614		1%		9%		$	431,650		$	377,623		14%


																2022 Q3 vs.				Nine Months Ended September 30,
	2022			2022			2022			2021			2021			2022		2021								2022 vs.
(Dollars in millions, except as noted)	Q3			Q2			Q1			Q4			Q3			Q2		Q3		2022			2021			2021
Domestic Card
Earnings:
Net interest income	$	4,065		$	3,651		$	3,620		$	3,558		$	3,319		11%		22%		$	11,336		$	9,358		21%
Non-interest income	1,383			1,340			1,248			1,190			1,200			3		15		3,971			3,342			19
Total net revenue	5,448			4,991			4,868			4,748			4,519			9		21		15,307			12,700			21
Provision (benefit) for credit losses	1,167			494			559			384			(200)			136		**		2,220			(1,252)			**
Non-interest expense	2,803			2,594			2,564			2,564			2,191			8		28		7,961			6,148			29
Income from continuing operations before income taxes	1,478			1,903			1,745			1,800			2,528			(22)		(42)		5,126			7,804			(34)
Income tax provision	351			450			414			424			597			(22)		(41)		1,215			1,842			(34)
Income from continuing operations, net of tax	$	1,127		$	1,453		$	1,331		$	1,376		$	1,931		(22)		(42)		$	3,911		$	5,962		(34)
Selected performance metrics:
Period-end loans held for investment	$	121,279		$	115,004		$	107,987		$	108,723		$	99,258		5		22		$	121,279		$	99,258		22
Average loans held for investment	117,467			109,962			105,536			102,717			96,309			7		22		111,032			93,493			19
Average yield on loans outstanding(1)	16.61		%	15.03		%	14.82		%	14.86		%	14.80		%	158	bps	181	bps	15.51		%	14.36		%	115	bps
Total net revenue margin(7)	18.55			18.16			18.28			18.14			18.40			39		15		18.33			17.74			59
Net charge-off rate (2)	2.20			2.26			2.12			1.49			1.36			(6)		84		2.19			2.05			14
30+ day performing delinquency rate	2.97			2.35			2.32			2.22			1.93			62		104		2.97			1.93			104
Purchase volume(8)	$	145,805		$	144,668		$	126,284		$	138,825		$	126,057		1%		16%		$	416,757		$	348,472		20%
Refreshed FICO scores:(9)
Greater than 660	70		%	70		%	70		%	71		%	71		%	—		(1)		70		%	71		%	(1)
660 or below	30			30			30			29			29			—		1		30			29			1
Total	100		%	100		%	100		%	100		%	100		%					100		%	100		%

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 11: Financial & Statistical Summary—Consumer Banking Business


																2022 Q3 vs.				Nine Months Ended September 30,
	2022			2022			2022			2021			2021			2022		2021								2022 vs.
(Dollars in millions, except as noted)	Q3			Q2			Q1			Q4			Q3			Q2		Q3		2022			2021			2021
Consumer Banking
Earnings:
Net interest income	$	2,311		$	2,147		$	2,113		$	2,158		$	2,159		8%		7%		$	6,571		$	6,290		4%
Non-interest income	129			96			105			142			127			34		2		330			412			(20)
Total net revenue	2,440			2,243			2,218			2,300			2,286			9		7		6,901			6,702			3
Provision (benefit) for credit losses	285			281			130			2			(91)			1		**		696			(523)			**
Non-interest expense	1,340			1,286			1,236			1,285			1,186			4		13		3,862			3,426			13
Income from continuing operations before income taxes	815			676			852			1,013			1,191			21		(32)		2,343			3,799			(38)
Income tax provision	193			160			202			239			282			21		(32)		555			897			(38)
Income from continuing operations, net of tax	$	622		$	516		$	650		$	774		$	909		21		(32)		$	1,788		$	2,902		(38)
Selected performance metrics:
Period-end loans held for investment	$	81,199		$	81,531		$	80,330		$	77,646		$	77,112		—		5		$	81,199		$	77,112		5
Average loans held for investment	81,339			80,981			78,689			77,444			75,996			—		7		80,346			72,669			11
Average yield on loans held for investment(1)	7.20		%	7.08		%	7.17		%	7.55		%	7.78		%	12	bps	(58)	bps	7.15		%	7.97		%	(82)	bps
Auto loan originations	$	8,289		$	10,328		$	11,713		$	9,721		$	11,570		(20)%		(28)%		$	30,330		$	33,362		(9)%
Period-end deposits	256,661			255,904			258,359			256,407			252,387			—		2		256,661			252,387			2
Average deposits	255,843			254,336			255,265			253,372			251,307			1		2		255,150			251,105			2
Average deposits interest rate	0.79		%	0.38		%	0.29		%	0.30		%	0.30		%	41	bps	49	bps	0.49		%	0.32		%	17	bps
Net charge-off rate	1.10			0.67			0.75			0.75			0.27			43		83		0.84			0.24			60
30+ day performing delinquency rate	4.77			4.39			3.78			4.26			3.58			38		119		4.77			3.58			119
30+ day delinquency rate	5.28			4.81			4.13			4.66			3.88			47		140		5.28			3.88			140
Nonperforming loan rate(3)	0.64			0.54			0.46			0.50			0.42			10		22		0.64			0.42			22
Nonperforming asset rate(4)	0.71			0.60			0.52			0.56			0.47			11		24		0.71			0.47			24
Auto—At origination FICO scores:(10)
Greater than 660	52		%	52		%	51		%	50		%	49		%	—		3%		52		%	49		%	3%
621 - 660	20			20			20			20			20			—		—		20			20			—
620 or below	28			28			29			30			31			—		(3)		28			31			(3)
Total	100		%	100		%	100		%	100		%	100		%					100		%	100		%

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 12: Financial & Statistical Summary—Commercial Banking Business


																2022 Q3 vs.				Nine Months Ended September 30,
	2022			2022			2022			2021			2021			2022		2021								2022 vs.
(Dollars in millions, except as noted)	Q3			Q2			Q1			Q4			Q3			Q2		Q3		2022			2021			2021
Commercial Banking
Earnings:
Net interest income	$	699		$	635		$	607		$	595		$	578		10%		21%		$	1,941		$	1,558		25%
Non-interest income	319			272			277			345			306			17		4		868			803			8
Total net revenue(6)	1,018			907			884			940			884			12		15		2,809			2,361			19
Provision (benefit) for credit losses	123			222			8			(44)			(53)			(45)		**		353			(475)			**
Non-interest expense	542			485			488			520			459			12		18		1,515			1,295			17
Income from continuing operations before income taxes	353			200			388			464			478			77		(26)		941			1,541			(39)
Income tax provision	83			48			92			109			113			73		(27)		223			364			(39)
Income from continuing operations, net of tax	$	270		$	152		$	296		$	355		$	365		78		(26)		$	718		$	1,177		(39)
Selected performance metrics:
Period-end loans held for investment	$	95,831		$	93,973		$	86,174		$	84,922		$	79,248		2		21		$	95,831		$	79,248		21
Average loans held for investment	95,490			89,294			85,173			81,127			75,059			7		27		90,024			74,441			21
Average yield on loans held for investment(1)(6)	4.40		%	3.18		%	2.66		%	2.71		%	2.77		%	122	bps	163	bps	3.44		%	2.75		%	69	bps
Period-end deposits	$	41,058		$	38,844		$	45,232		$	44,809		$	43,347		6%		(5)%		$	41,058		$	43,347		(5)%
Average deposits	39,799			40,536			45,008			44,206			42,729			(2)		(7)		41,762			41,725			—
Average deposits interest rate	0.83		%	0.19		%	0.12		%	0.12		%	0.15		%	64	bps	68	bps	0.37		%	0.15		%	22	bps
Net charge-off (recovery) rate	0.05			0.14			0.06			(0.02)			0.05			(9)		—		0.08			0.01			7
Nonperforming loan rate(3)	0.57			0.70			0.81			0.82			0.76			(13)		(19)		0.57			0.76			(19)
Nonperforming asset rate(4)	0.57			0.70			0.81			0.82			0.76			(13)		(19)		0.57			0.76			(19)
Risk category:(11)
Noncriticized	$	89,559		$	88,349		$	80,586		$	79,014		$	73,218		1%		22%		$	89,559		$	73,218		22%
Criticized performing	5,722			4,969			4,893			5,209			5,429			15		5		5,722			5,429			5
Criticized nonperforming	550			655			695			699			601			(16)		(8)		550			601			(8)
Total commercial banking loans	$	95,831		$	93,973		$	86,174		$	84,922		$	79,248		2		21		$	95,831		$	79,248		21
Risk category as a percentage of period-end loans held for investment:(11)
Noncriticized	93.46		%	94.01		%	93.51		%	93.05		%	92.39		%	(55)	bps	107	bps	93.46		%	92.39		%	107	bps
Criticized performing	5.97			5.29			5.68			6.13			6.85			68		(88)		5.97			6.85			(88)
Criticized nonperforming	0.57			0.70			0.81			0.82			0.76			(13)		(19)		0.57			0.76			(19)
Total commercial banking loans	100.00		%	100.00		%	100.00		%	100.00		%	100.00		%					100.00		%	100.00		%

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 13: Financial & Statistical Summary—Other and Total


											2022 Q3 vs.		Nine Months Ended September 30,
	2022		2022		2022		2021		2021		2022	2021					2022 vs.
(Dollars in millions)	Q3		Q2		Q1		Q4		Q3		Q2	Q3	2022		2021		2021
Other
Earnings:
Net interest loss	$	(320)	$	(164)	$	(162)	$	(168)	$	(201)	95%	59%	$	(646)	$	(336)	92%
Non-interest loss	(100)		(63)		(64)		(80)		(22)		59	**	(227)		(164)		38
Total net loss(6)	(420)		(227)		(226)		(248)		(223)		85	88	(873)		(500)		75
Provision (benefit) for credit losses	—		1		(6)		—		—		**	—	(5)		(2)		150
Non-interest expense(12)	63		41		44		74		117		54	(46)	148		349		(58)
Loss from continuing operations before income taxes	(483)		(269)		(264)		(322)		(340)		80	42	(1,016)		(847)		20
Income tax benefit	(139)		(141)		(221)		(166)		(140)		(1)	(1)	(501)		(431)		16
Loss from continuing operations, net of tax	$	(344)	$	(128)	$	(43)	$	(156)	$	(200)	169	72	$	(515)	$	(416)	24
Selected performance metrics:
Period-end deposits	$	19,474	$	13,137	$	9,838	$	9,764	$	10,204	48	91	$	19,474	$	10,204	91
Average deposits	16,286		11,082		9,324		9,694		10,999		47	48	12,256		13,272		(8)
Total
Earnings:
Net interest income	$	7,003	$	6,517	$	6,397	$	6,450	$	6,156	7%	14%	$	19,917	$	17,721	12%
Non-interest income	1,802		1,715		1,776		1,668		1,674		5	8	5,293		4,596		15
Total net revenue	8,805		8,232		8,173		8,118		7,830		7	12	25,210		22,317		13
Provision (benefit) for credit losses	1,669		1,085		677		381		(342)		54	**	3,431		(2,325)		**
Non-interest expense	4,949		4,583		4,551		4,678		4,186		8	18	14,083		11,892		18
Income from continuing operations before income taxes	2,187		2,564		2,945		3,059		3,986		(15)	(45)	7,696		12,750		(40)
Income tax provision	493		533		542		633		882		(8)	(44)	1,568		2,782		(44)
Income from continuing operations, net of tax	$	1,694	$	2,031	$	2,403	$	2,426	$	3,104	(17)	(45)	$	6,128	$	9,968	(39)
Selected performance metrics:
Period-end loans held for investment	$	303,943	$	296,384	$	280,466	$	277,340	$	261,390	3	16	$	303,943	$	261,390	16
Average loans held for investment	300,186		286,110		275,342		267,159		253,101		5	19	287,304		247,867		16
Period-end deposits	317,193		307,885		313,429		310,980		305,938		3	4	317,193		305,938		4
Average deposits	311,928		305,954		309,597		307,272		305,035		2	2	309,168		306,102		1

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 14: Notes to Net Interest Margin, Loan, Allowance and Business Segment Disclosures (Tables 6—13)

(1)Average yield is calculated based on annualized interest income for the period divided by average loans during the period. Annualized interest income does not include any allocations, such as funds transfer pricing. Average yield is calculated using whole dollar values for average balances and interest income/expense. Accordingly, total interest earning assets less total interest bearing liabilities may not total net interest income/spread.

(2)In August 2022, in addition to our normal recovery activity, we sold a pool of charged-off loans that resulted in elevated debt sale recovery activity of approximately $33 million, which decreased the Domestic Credit Card net charge-off rate for the third quarter of 2022 by approximately 11 basis points. Excluding the impact, the Domestic Credit Card net charge-off rate would have been 2.31% for the third quarter of 2022.

(3)Nonperforming loan rates are calculated based on nonperforming loans for each category divided by period-end total loans held for investment for each respective category. For Commercial Banking, loans categorized as nonperforming are considered criticized nonperforming.

(4)Nonperforming assets consist of nonperforming loans, repossessed assets and other foreclosed assets. The total nonperforming asset rate is calculated based on total nonperforming assets divided by the combined period-end total loans held for investment, repossessed assets and other foreclosed assets.

(5)Primarily represents foreign currency translation adjustments and initial allowance builds for purchase credit-deteriorated loans.

(6)Some of our commercial investments generate tax-exempt income, tax credits or other tax benefits. Accordingly, we present our Commercial Banking revenue and yields on a taxable-equivalent basis, calculated using the federal statutory tax rate of 21% and state taxes where applicable, with offsetting reductions to the Other category.

(7)Total net revenue margin is calculated based on total net revenue for the period divided by average loans outstanding during the period.

(8)Purchase volume consists of purchase transactions, net of returns, for the period, and excludes cash advance and balance transfer transactions.

(9)Percentages represent period-end loans held for investment in each credit score category. Domestic Card credit scores generally represent FICO scores. These scores are obtained from one of the major credit bureaus at origination and are refreshed monthly thereafter. We approximate non-FICO credit scores to comparable FICO scores for consistency purposes. Balances for which no credit score is available or the credit score is invalid are included in the 660 or below category.

(10)Percentages represent period-end loans held for investment in each credit score category. Auto credit scores generally represent average FICO scores obtained from three credit bureaus at the time of application and are not refreshed thereafter. Balances for which no credit score is available or the credit score is invalid are included in the 620 or below category.

(11)Criticized exposures correspond to the “Special Mention,” “Substandard” and “Doubtful” asset categories defined by bank regulatory authorities.

(12)Includes charges incurred as a result of restructuring activities.

** Not meaningful.

CAPITAL ONE FINANCIAL CORPORATION (COF)

Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures(1)


	Basel III Standardized Approach
(Dollars in millions, except as noted)	September 30, 2022			June 30, 2022			March 31, 2022			December 31, 2021			September 30, 2021
Regulatory Capital Metrics
Common equity excluding AOCI	$	58,516		$	57,278		$	57,390		$	58,206		$	58,705
Adjustments:
AOCI, net of tax(2)	(120)			(72)			(20)			(23)			(33)
Goodwill, net of related deferred tax liabilities	(14,537)			(14,548)			(14,559)			(14,562)			(14,435)
Intangible assets, net of related deferred tax liabilities	(180)			(80)			(94)			(108)			(84)
Other	(14)			(15)			(16)			(12)			(15)
Common equity Tier 1 capital	$	43,665		$	42,563		$	42,701		$	43,501		$	44,138
Tier 1 capital	$	48,510		$	47,408		$	47,547		$	48,346		$	50,049
Total capital(3)	55,938			55,100			55,059			56,089			57,851
Risk-weighted assets	356,817			351,746			336,739			332,673			318,729
Adjusted average assets(4)	439,479			427,446			418,957			415,141			411,216
Capital Ratios
Common equity Tier 1 capital(5)	12.2		%	12.1		%	12.7		%	13.1		%	13.8		%
Tier 1 capital(6)	13.6			13.5			14.1			14.5			15.7
Total capital(7)	15.7			15.7			16.4			16.9			18.2
Tier 1 leverage(4)	11.0			11.1			11.3			11.6			12.2
Tangible common equity (“TCE”)(8)	7.2			7.9			8.7			9.9			10.4

Reconciliation of Non-GAAP Measures

The following non-GAAP measures consist of our adjusted results that we believe help investors and users of our financial information understand the effect of adjusting items on our selected reported results. These adjusted results provide alternate measurements of our operating performance, both for the current period and trends across multiple periods. The following tables present reconciliations of these non-GAAP measures to the applicable amounts measured in accordance with GAAP.


	2022		2022		2022		2021		2021			Nine Months Ended September 30,
(Dollars in millions, except per share data and as noted)	Q3		Q2		Q1		Q4		Q3			2022		2021
Adjusted diluted earnings per share (“EPS”):
Net income available to common stockholders (GAAP)	$	1,616	$	1,949	$	2,318	$	2,296	$	2,987		$	5,883	$	9,669
Legal reserve activity, including insurance recoveries	—		—		—		—		45			—		100


Adjusted net income available to common stockholders before income tax impacts (non-GAAP)	1,616		1,949		2,318		2,296		3,032			5,883		9,769
Income tax impacts	—		—		—		—		(11)			—		(24)

Adjusted net income available to common stockholders (non-GAAP)	$	1,616	$	1,949	$	2,318	$	2,296	$	3,021		$	5,883	$	9,745

Diluted weighted-average common shares outstanding (in millions) (GAAP)	384.6		392.6		412.2		424.3		440.5			396.4		450.9

Diluted EPS (GAAP)	$	4.20	$	4.96	$	5.62	$	5.41	$	6.78		$	14.84	$	21.44
Impact of adjustments noted above	—		—		—		—		0.08			—		0.17
Adjusted diluted EPS (non-GAAP)	$	4.20	$	4.96	$	5.62	$	5.41	$	6.86		$	14.84	$	21.61

Adjusted efficiency ratio:
Non-interest expense (GAAP)	$	4,949	$	4,583	$	4,551	$	4,678	$	4,186		$	14,083	$	11,892
Legal reserve activity, including insurance recoveries	—		—		—		—		(45)			—		(100)

Adjusted non-interest expense (non-GAAP)	$	4,949	$	4,583	$	4,551	$	4,678	$	4,141		$	14,083	$	11,792

Total net revenue (GAAP)	$	8,805	$	8,232	$	8,173	$	8,118	$	7,830		$	25,210	$	22,317




Efficiency ratio (GAAP)	56.21%		55.67%		55.68%		57.63%		53.46%			55.86%		53.29%
Impact of adjustments noted above	—		—		—		—		(57)		bps	—		(45)		bps
Adjusted efficiency ratio (non-GAAP)	56.21%		55.67%		55.68%		57.63%		52.89%			55.86%		52.84%

Adjusted operating efficiency ratio:
Operating expense (GAAP)	$	3,971	$	3,580	$	3,633	$	3,679	$	3,435		$	11,184	$	10,020
Legal reserve activity, including insurance recoveries	—		—		—		—		(45)			—		(100)

Adjusted operating expense (non-GAAP)	$	3,971	$	3,580	$	3,633	$	3,679	$	3,390		$	11,184	$	9,920

Total net revenue (GAAP)	$	8,805	$	8,232	$	8,173	$	8,118	$	7,830		$	25,210	$	22,317



Operating efficiency ratio (GAAP)	45.10%		43.49%		44.45%		45.32%		43.87%			44.36%		44.90%
Impact of adjustments noted above	—		—		—		—		(57)		bps	—		(45)		bps
Adjusted operating efficiency ratio (non-GAAP)	45.10%		43.49%		44.45%		45.32%		43.30%			44.36%		44.45%

Reconciliation of Non-GAAP Measures

The following non-GAAP measures consist of TCE, tangible assets and metrics computed using these amounts, which include tangible book value per common share, return on average tangible assets, return on average TCE and TCE ratio. We consider these metrics to be key financial performance measures that management uses in assessing capital adequacy and the level of returns generated. While our non-GAAP measures are widely used by investors, analysts and bank regulatory agencies to assess the capital position of financial services companies, they may not be comparable to similarly-titled measures reported by other companies. The following tables present reconciliations of these non-GAAP measures to the applicable amounts measured in accordance with GAAP.


	2022		2022		2022		2021		2021
(Dollars in millions)	Q3		Q2		Q1		Q4		Q3
Tangible Common Equity (Period-End)
Stockholders’ equity	$	50,861	$	53,410	$	56,345	$	61,029	$	63,544
Goodwill and intangible assets(9)	(14,932)		(14,850)		(14,883)		(14,907)		(14,766)
Noncumulative perpetual preferred stock	(4,845)		(4,845)		(4,845)		(4,845)		(5,912)
Tangible common equity	$	31,084	$	33,715	$	36,617	$	41,277	$	42,866
Tangible Common Equity (Average)
Stockholders’ equity	$	54,541	$	54,165	$	59,437	$	62,498	$	64,682
Goodwill and intangible assets(9)	(14,916)		(14,875)		(14,904)		(14,847)		(14,777)
Noncumulative perpetual preferred stock	(4,845)		(4,845)		(4,845)		(5,552)		(6,452)
Tangible common equity	$	34,780	$	34,445	$	39,688	$	42,099	$	43,453
Tangible Assets (Period-End)
Total assets	$	444,232	$	440,288	$	434,195	$	432,381	$	425,377
Goodwill and intangible assets(9)	(14,932)		(14,850)		(14,883)		(14,907)		(14,766)
Tangible assets	$	429,300	$	425,438	$	419,312	$	417,474	$	410,611
Tangible Assets (Average)
Total assets	$	447,088	$	435,327	$	430,372	$	427,845	$	424,506
Goodwill and intangible assets(9)	(14,916)		(14,875)		(14,904)		(14,847)		(14,777)
Tangible assets	$	432,172	$	420,452	$	415,468	$	412,998	$	409,729

__________

(1)Regulatory capital metrics and capital ratios as of September 30, 2022 are preliminary and therefore subject to change.

(2)Excludes certain components of AOCI as permitted under the Tailoring Rules.

(3)Total capital equals the sum of Tier 1 capital and Tier 2 capital.

(4)Adjusted average assets for the purpose of calculating our Tier 1 leverage ratio represents total average assets adjusted for amounts that are deducted from Tier 1 capital, predominately goodwill and intangible assets. Tier 1 leverage ratio is a regulatory capital measure calculated based on Tier 1 capital divided by adjusted average assets.

(5)Common equity Tier 1 capital ratio is a regulatory capital measure calculated based on common equity Tier 1 capital divided by risk-weighted assets.

(6)Tier 1 capital ratio is a regulatory capital measure calculated based on Tier 1 capital divided by risk-weighted assets.

(7)Total capital ratio is a regulatory capital measure calculated based on total capital divided by risk-weighted assets.

(8)TCE ratio is a non-GAAP measure calculated based on TCE divided by tangible assets.

(9)Includes impact of related deferred taxes.