CAPITAL ONE FINANCIAL CORP

Table 4 displays the components of non-interest income for the first quarters of 2025 and 2024.

Table 4: Non-Interest Income

(1)Primarily consists of revenue from Capital One Shopping, treasury and other investment income and commercial mortgage banking revenue.

(2)Includes losses of $16 million and gains of $42 million on deferred compensation plan investments for the first quarters of 2025 and 2024, respectively. These amounts have corresponding offsets in non-interest expense.

Non-interest income increased by $73 million to $2.0 billion in the first quarter of 2025 compared to the first quarter of 2024 primarily driven by higher net interchange fees due to an increase in purchase volume.

Provision for Credit Losses

Our provision for credit losses in each period is driven by net charge-offs, changes to the allowance for credit losses and changes to the reserve for unfunded lending commitments. Our provision for credit losses decreased by $314 million to $2.4 billion in the first quarter of 2025 compared to the first quarter of 2024 primarily driven by an allowance release of $473 million in our credit card loan portfolio, partially offset by an allowance build of $117 million in our commercial loan portfolio.

We provide additional information on the provision for credit losses and changes in the allowance for credit losses within “Credit Risk Profile” and “Part I—Item 1. Financial Statements—Note 5—Allowance for Credit Losses and Reserve for Unfunded Lending Commitments.” For information on the allowance methodology for each of our loan categories, see “Part II— Item 8. Financial Statements and Supplementary Data—Note 1—Summary of Significant Accounting Policies” in our 2024 Form 10-K.