The US-headquartered credit card specialist’s earnings for the first quarter of 2005 were $506.6 million, or $1.99 per share, compared with $450.8 million, or $1.84 per share, for the first quarter of 2004, and $195.1 million, or $0.77 per share, in the fourth quarter of 2004.
Capital One’s chairman and CEO, Richard Fairbank, said that the healthy growth in revenues was due to a strong showing from its US credit card business, its core business sector in its core business region, and the continued success of its Auto Finance and Global Financial Services businesses.
The US card business achieved net income of $458.2 million, up from $386.8 million. Profit from auto finance rose to $35.6 million from $30.7 million a year earlier and the global financial services business recorded net income of $70.5 million, up from $50.9 million.
Solid revenue growth, improvements in operating efficiency, and strong credit performance across our business keeps us on track to deliver diluted earnings of between $6.60 and $7.00 per share in 2005, added Gary Perlin, Capital One’s chief financial officer.
