CAPITAL ONE FINANCIAL CORP
For the period ended Mar 31, 2025. Filed May 7, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2025 · Filed May 7, 2025
Extracted filing text, with the paragraph anchors used by the comparison.
See the whole filing, with its images and exhibitsContents
Non-Interest Expense
Table 5 displays the components of non-interest expense for the first quarters of 2025 and 2024.
Table 5: Non-Interest Expense
| Three Months Ended March 31, | ||
|---|---|---|
| (Dollars in millions) | 2025 | 2024 |
| Operating Expense: | ||
| Salaries and associate benefits(1) | $2,546 | $2,478 |
| Occupancy and equipment | 615 | 554 |
| Professional services | 437 | 262 |
| Communications and data processing | 399 | 351 |
| Amortization of intangibles | 16 | 19 |
| Other non-interest expense: | ||
| Bankcard, regulatory and other fee assessments | 65 | 119 |
| Collections | 108 | 83 |
| Other | 514 | 261 |
| Total other non-interest expense | 687 | 463 |
| Total operating expense | $4,700 | $4,127 |
| Marketing | 1,202 | 1,010 |
| Total non-interest expense | $5,902 | $5,137 |
(1)Includes a benefit of $16 million and expenses of$42 million related to our deferred compensation plan for the first quarters of 2025 and 2024, respectively. These amounts have corresponding offsets from investments in other non-interest income.
Non-interest expense increased by $765 million to $5.9 billion in the first three months of 2025, primarily driven by continued investment in technology, an increase to the litigation accrual and increased marketing spend.
In the first quarter of 2025, we incurred $110 million of integration expenses related to the Transaction, primarily driven by professional services, which are included within operating expense in our consolidated statements of income. Since the announcement of the Transaction in the first quarter of 2024, we have incurred $344 million of integration expenses as of March 31, 2025.
| 14 | Capital One Financial Corporation (COF) |
Income Taxes
We recorded an income tax provision of $325 million (18.8% effective income tax rate) and $302 million (19.1% effective income tax rate) in the first quarters of 2025 and 2024, respectively. Our effective tax rate on income from continuing operations varies between periods due, in part, to the impact of changes in pre-tax income and changes in tax credits, tax-exempt income and non-deductible expenses relative to our pre-tax earnings.
We provide additional information on items affecting our income taxes and effective tax rate in “Part II—Item 8. Financial Statements and Supplementary Data—Note 16—Income Taxes” in our 2024 Form 10-K.
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.