Capital One Reports First Quarter 2023 Net Income of $960 million, or $2.31 per share

MCLEAN, Va., April 27, 2023 /PRNewswire/ -- Capital One Financial Corporation (NYSE: COF) today announced net income for the first quarter of 2023 of $960 million, or $2.31 per diluted common share, compared with net income of $1.2 billion, or $3.03 per diluted common share in the fourth quarter of 2022, and with net income of $2.4 billion, or $5.62 per diluted common share in the first quarter of 2022.

"In the first quarter, we built additional balance sheet strength as we grew retail deposits, and maintained or increased strong levels of capital and liquidity," said Richard D. Fairbank, Founder, Chairman, and Chief Executive Officer. "At the same time, we continue to see attractive growth opportunities in our domestic card business and our "digital first" national retail bank, and our investments to transform our technology and to drive resilient growth put us in a strong position to capture opportunities and deliver compelling long-term shareholder value."

All comparisons below are for the first quarter of 2023 compared with the fourth quarter of 2022 unless otherwise noted.

First Quarter 2023 Income Statement Summary:

Total net revenue decreased 2 percent to $8.9 billion.
Total non-interest expense decreased 3 percent to $4.9 billion:

20 percent decrease in marketing.
2 percent increase in operating expenses.

Pre-provision earnings⁽¹⁾ remained flat at $4.0 billion.
Provision for credit losses increased $379 million to $2.8 billion:

Net charge-offs of $1.7 billion.
$1.1 billion loan reserve build.

Net interest margin of 6.60 percent, a decrease of 24 basis points.
Efficiency ratio of 55.54 percent.
Operating efficiency ratio of 45.47 percent.

First Quarter 2023 Balance Sheet Summary:

Common equity Tier 1 capital ratio under Basel III Standardized Approach of 12.5 percent at March 31, 2023.
Period-end loans held for investment in the quarter decreased $3.5 billion, or 1 percent, to $308.8 billion.

Credit Card period-end loans decreased $588 million, or less than 1 percent, to $137.1 billion.

Domestic Card period-end loans decreased $601 million, or less than 1 percent, to $131.0 billion.

Consumer Banking period-end loans decreased $1.8 billion, or 2 percent, to $78.2 billion.

Auto period-end loans decreased $1.7 billion, or 2 percent, to $76.7 billion.

Commercial Banking period-end loans decreased $1.1 billion, or 1 percent, to $93.5 billion.

Average loans held for investment in the quarter increased $875 million, or less than 1 percent, to $307.8 billion.

Credit Card average loans increased $4.0 billion, or 3 percent, to $134.7 billion.

Domestic Card average loans increased $3.7 billion, or 3 percent, to $128.6 billion.

Consumer Banking average loans decreased $1.7 billion, or 2 percent, to $79.0 billion.

Auto average loans decreased $1.6 billion, or 2 percent, to $77.5 billion.

Commercial Banking average loans decreased $1.4 billion, or 2 percent, to $94.1 billion.

Period-end total deposits increased $16.8 billion, or 5 percent, to $349.8 billion, while average deposits increased $13.6 billion, or 4 percent, to $340.1 billion.
Interest-bearing deposits rate paid increased 58 basis points to 2.40 percent.

⁽¹⁾

Pre-provision earnings is a non-GAAP metric calculated based on total net revenue less non-interest expense for the period. Management believes that this financial metric is useful in assessing the ability of a lending institution to generate income in excess of its provision for credit losses. See our Financial Supplement, filed as Exhibit 99.2 to our Current Report on From 8-K on April 27, 2023 with the Securities and Exchange Commission (the "SEC"), "Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures" for a reconciliation and additional information on non-GAAP measures.

Earnings Conference Call Webcast Information

The company will hold an earnings conference call on April 27, 2023 at 5:00 PM Eastern Time. The conference call will be accessible through live webcast. Interested investors and other individuals can access the webcast via the company's home page (www.capitalone.com). Under "About," choose "Investors" to access the Investor Center and view and/or download the earnings press release, the financial supplement, including a reconciliation of non-GAAP financial measures, and the earnings release presentation. The replay of the webcast will be archived on the company's website through May 11, 2023 at 5:00 PM Eastern Time.

Forward-Looking Statements

Certain statements in this release may constitute forward-looking statements, which involve a number of risks and uncertainties. Forward-looking statements often use words such as "will," "anticipate," "target," "expect," "think," "estimate," "intend," "plan," "goal," "believe," "forecast," "outlook" or other words of similar meaning. Any forward-looking statements made by Capital One or on its behalf speak only as of the date they are made or as of the date indicated, and Capital One does not undertake any obligation to update forward-looking statements as a result of new information, future events or otherwise. Capital One cautions readers that any forward-looking information is not a guarantee of future performance and that actual results could differ materially from those contained in the forward-looking information due to a number of factors. For additional information on factors that could materially influence forward-looking statements included in this earnings press release, see the risk factors set forth under "Part I—Item 1A. Risk Factors" in the Annual Report on Form 10-K for the year ended December 31, 2022 filed with the SEC and Quarterly Reports on Form 10-Q and Current Reports on Form 8-K filed with the SEC.

About Capital One

Capital One Financial Corporation (www.capitalone.com) is a financial holding company which, along with its subsidiaries, had $349.8 billion in deposits and $471.7 billion in total assets as of March 31, 2023. Headquartered in McLean, Virginia, Capital One offers a broad spectrum of financial products and services to consumers, small businesses and commercial clients through a variety of channels. Capital One, N.A. has branches located primarily in New York, Louisiana, Texas, Maryland, Virginia, New Jersey and the District of Columbia. A Fortune 500 company, Capital One trades on the New York Stock Exchange under the symbol "COF" and is included in the S&P 100 index.

			Exhibit 99.2
Capital One Financial Corporation Financial Supplement⁽¹⁾⁽²⁾ First Quarter 2023 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 March 31, 2023 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. See "Table 15 - Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures" for a reconciliation of any non-GAAP financial measures.

CAPITAL ONE FINANCIAL CORPORATION (COF) Table 1: Financial Summary—Consolidated

						2023 Q1 vs
(Dollars in millions, except per share data and as noted)	2023 Q1	2022 Q4	2022 Q3	2022 Q2	2022 Q1	2022 Q4	2022 Q1
Income Statement
Net interest income	$ 7,186	$ 7,197	$ 7,003	$ 6,517	$ 6,397	—	12 %
Non-interest income	1,717	1,843	1,802	1,715	1,776	(7) %	(3)
Total net revenue⁽¹⁾	8,903	9,040	8,805	8,232	8,173	(2)	9
Provision for credit losses	2,795	2,416	1,669	1,085	677	16	**
Non-interest expense:
Marketing	897	1,118	978	1,003	918	(20)	(2)
Operating expense	4,048	3,962	3,971	3,580	3,633	2	11
Total non-interest expense	4,945	5,080	4,949	4,583	4,551	(3)	9
Income from continuing operations before income taxes	1,163	1,544	2,187	2,564	2,945	(25)	(61)
Income tax provision	203	312	493	533	542	(35)	(63)
Net income	960	1,232	1,694	2,031	2,403	(22)	(60)
Dividends and undistributed earnings allocated to participating securities⁽²⁾	(16)	(14)	(21)	(25)	(28)	14	(43)
Preferred stock dividends	(57)	(57)	(57)	(57)	(57)	—	—
Net income available to common stockholders	$ 887	$ 1,161	$ 1,616	$ 1,949	$ 2,318	(24)	(62)
Common Share Statistics
Basic earnings per common share:⁽²⁾
Net income per basic common share	$ 2.32	$ 3.03	$ 4.21	$ 4.98	$ 5.65	(23) %	(59) %
Diluted earnings per common share:⁽²⁾
Net income per diluted common share	$ 2.31	$ 3.03	$ 4.20	$ 4.96	$ 5.62	(24) %	(59) %
Weighted-average common shares outstanding (in millions):
Basic	382.6	382.6	383.4	391.2	410.4	—	(7) %
Diluted	383.8	383.7	384.6	392.6	412.2	—	(7)
Common shares outstanding (period-end, in millions)	382.0	381.3	382.0	383.8	399.0	—	(4)
Dividends declared and paid per common share	$ 0.60	$ 0.60	$ 0.60	$ 0.60	$ 0.60	—	—
Tangible book value per common share (period-end)⁽³⁾	90.86	86.11	81.38	87.84	91.77	6 %	(1)

						2023 Q1 vs
(Dollars in millions)	2023 Q1	2022 Q4	2022 Q3	2022 Q2	2022 Q1	2022 Q4	2022 Q1
Balance Sheet (Period-End)
Loans held for investment	$ 308,836	$ 312,331	$ 303,943	$ 296,384	$ 280,466	(1) %	10 %
Interest-earning assets	445,166	427,248	415,262	406,565	398,241	4	12
Total assets	471,660	455,249	444,232	440,288	434,195	4	9
Interest-bearing deposits	318,641	300,789	282,802	270,881	275,648	6	16
Total deposits	349,827	332,992	317,193	307,885	313,429	5	12
Borrowings	48,777	48,715	54,607	58,938	45,358	—	8
Common equity	49,807	47,737	46,015	48,564	51,499	4	(3)
Total stockholders' equity	54,653	52,582	50,861	53,410	56,345	4	(3)
Balance Sheet (Average Balances)
Loans held for investment	$ 307,756	$ 306,881	$ 300,186	$ 286,110	$ 275,342	—	12 %
Interest-earning assets	435,199	421,051	412,171	398,934	394,082	3 %	10
Total assets	462,324	449,659	447,088	435,327	430,372	3	7
Interest-bearing deposits	308,788	292,793	275,900	268,104	271,823	5	14
Total deposits	340,123	326,558	311,928	305,954	309,597	4	10
Borrowings	48,016	49,747	58,628	53,208	42,277	(3)	14
Common equity	49,927	47,594	49,696	49,319	54,591	5	(9)
Total stockholders' equity	54,773	52,439	54,541	54,165	59,437	4	(8)

CAPITAL ONE FINANCIAL CORPORATION (COF) Table 2: Selected Metrics—Consolidated

						2023 Q1 vs
(Dollars in millions, except as noted)	2023 Q1	2022 Q4	2022 Q3	2022 Q2	2022 Q1	2022 Q4	2022 Q1
Performance Metrics
Net interest income growth (period over period)	—	3 %	7 %	2 %	(1) %	**	**
Non-interest income growth (period over period)	(7) %	2	5	(3)	6	**	**
Total net revenue growth (period over period)	(2)	3	7	1	1	**	**
Total net revenue margin⁽⁴⁾	8.18	8.59	8.55	8.25	8.30	(41) bps	(12) bps
Net interest margin⁽⁵⁾	6.60	6.84	6.80	6.54	6.49	(24)	11
Return on average assets	0.83	1.10	1.52	1.87	2.23	(27)	(140)
Return on average tangible assets⁽⁶⁾	0.86	1.13	1.57	1.93	2.31	(27)	(145)
Return on average common equity⁽⁷⁾	7.11	9.76	13.01	15.81	16.98	(265)	(987)
Return on average tangible common equity⁽⁸⁾	10.15	14.22	18.59	22.63	23.36	(407)	(1,321)
Efficiency ratio⁽⁹⁾	55.54	56.19	56.21	55.67	55.68	(65)	(14)
Operating efficiency ratio⁽¹⁰⁾	45.47	43.83	45.10	43.49	44.45	164	102
Effective income tax rate for continuing operations	17.5	20.2	22.5	20.8	18.4	(270)	(90)
Employees (period-end, in thousands)	56.1	56.0	55.1	53.6	51.5	—	9 %
Credit Quality Metrics
Allowance for credit losses	$ 14,318	$ 13,240	$ 12,209	$ 11,491	$ 11,308	8 %	27 %
Allowance coverage ratio	4.64 %	4.24 %	4.02 %	3.88 %	4.03 %	40 bps	61 bps
Net charge-offs	$ 1,697	$ 1,430	$ 931	$ 845	$ 767	19 %	121 %
Net charge-off rate⁽¹¹⁾	2.21 %	1.86 %	1.24 %	1.18 %	1.11 %	35 bps	110 bps
30+ day performing delinquency rate	2.88	2.96	2.58	2.36	2.08	(8)	80
30+ day delinquency rate	3.09	3.21	2.78	2.54	2.21	(12)	88
Capital Ratios⁽¹²⁾
Common equity Tier 1 capital	12.5 %	12.5 %	12.2 %	12.1 %	12.7 %	—	(20) bps
Tier 1 capital	13.9	13.9	13.6	13.5	14.1	—	(20)
Total capital	15.9	15.8	15.7	15.7	16.4	10 bps	(50)
Tier 1 leverage	10.9	11.1	11.0	11.1	11.3	(20)	(40)
Tangible common equity ("TCE")⁽¹³⁾	7.6	7.5	7.2	7.9	8.7	10	(110)

CAPITAL ONE FINANCIAL CORPORATION (COF) Table 3: Consolidated Statements of Income

						2023 Q1 vs
(Dollars in millions, except as noted)	2023 Q1	2022 Q4	2022 Q3	2022 Q2	2022 Q1	2022 Q4	2022 Q1
Interest income:
Loans, including loans held for sale	$ 8,723	$ 8,360	$ 7,578	$ 6,605	$ 6,367	4 %	37 %
Investment securities	615	548	499	435	402	12	53
Other	416	250	123	55	15	66	**
Total interest income	9,754	9,158	8,200	7,095	6,784	7	44
Interest expense:
Deposits	1,856	1,335	689	293	218	39	**
Securitized debt obligations	211	170	120	65	29	24	**
Senior and subordinated notes	489	430	319	194	131	14	**
Other borrowings	12	26	69	26	9	(54)	33
Total interest expense	2,568	1,961	1,197	578	387	31	**
Net interest income	7,186	7,197	7,003	6,517	6,397	—	12
Provision for credit losses	2,795	2,416	1,669	1,085	677	16	**
Net interest income after provision for credit losses	4,391	4,781	5,334	5,432	5,720	(8)	(23)
Non-interest income:
Interchange fees, net	1,139	1,177	1,195	1,201	1,033	(3)	10
Service charges and other customer-related fees	379	395	415	415	400	(4)	(5)
Other	199	271	192	99	343	(27)	(42)
Total non-interest income	1,717	1,843	1,802	1,715	1,776	(7)	(3)
Non-interest expense:
Salaries and associate benefits	2,427	2,266	2,187	1,946	2,026	7	20
Occupancy and equipment	508	554	502	481	513	(8)	(1)
Marketing	897	1,118	978	1,003	918	(20)	(2)
Professional services	324	481	471	458	397	(33)	(18)
Communications and data processing	350	352	349	339	339	(1)	3
Amortization of intangibles	14	25	17	14	14	(44)	—
Other	425	284	445	342	344	50	24
Total non-interest expense	4,945	5,080	4,949	4,583	4,551	(3)	9
Income from continuing operations before income taxes	1,163	1,544	2,187	2,564	2,945	(25)	(61)
Income tax provision	203	312	493	533	542	(35)	(63)
Net income	960	1,232	1,694	2,031	2,403	(22)	(60)
Dividends and undistributed earnings allocated to participating securities⁽²⁾	(16)	(14)	(21)	(25)	(28)	14	(43)
Preferred stock dividends	(57)	(57)	(57)	(57)	(57)	—	—
Net income available to common stockholders	$ 887	$ 1,161	$ 1,616	$ 1,949	$ 2,318	(24)	(62)





						2023 Q1 vs
	2023 Q1	2022 Q4	2022 Q3	2022 Q2	2022 Q1	2022 Q4	2022 Q1
Basic earnings per common share:⁽²⁾
Net income per basic common share	$ 2.32	$ 3.03	$ 4.21	$ 4.98	$ 5.65	(23) %	(59) %
Diluted earnings per common share:⁽²⁾
Net income per diluted common share	$ 2.31	$ 3.03	$ 4.20	$ 4.96	$ 5.62	(24) %	(59) %
Weighted-average common shares outstanding (in millions):
Basic common shares	382.6	382.6	383.4	391.2	410.4	—	(7)
Diluted common shares	383.8	383.7	384.6	392.6	412.2	—	(7)

CAPITAL ONE FINANCIAL CORPORATION (COF) Table 4: Consolidated Balance Sheets

						2023 Q1 vs
(Dollars in millions)	2023 Q1	2022 Q4	2022 Q3	2022 Q2	2022 Q1	2022 Q4	2022 Q1
Assets:
Cash and cash equivalents:
Cash and due from banks	$ 3,347	$ 5,193	$ 3,716	$ 4,825	$ 5,107	(36) %	(34) %
Interest-bearing deposits and other short-term investments	43,166	25,663	21,176	16,728	21,697	68	99
Total cash and cash equivalents	46,513	30,856	24,892	21,553	26,804	51	74
Restricted cash for securitization investors	460	400	399	697	281	15	64
Securities available for sale	81,925	76,919	75,303	83,022	89,076	7	(8)
Loans held for investment:
Unsecuritized loans held for investment	280,093	283,282	277,576	271,339	257,505	(1)	9
Loans held in consolidated trusts	28,743	29,049	26,367	25,045	22,961	(1)	25
Total loans held for investment	308,836	312,331	303,943	296,384	280,466	(1)	10
Allowance for credit losses	(14,318)	(13,240)	(12,209)	(11,491)	(11,308)	8	27
Net loans held for investment	294,518	299,091	291,734	284,893	269,158	(2)	9
Loans held for sale	363	203	1,729	875	1,155	79	(69)
Premises and equipment, net	4,365	4,351	4,265	4,238	4,238	—	3
Interest receivable	2,250	2,104	1,853	1,611	1,479	7	52
Goodwill	14,779	14,777	14,771	14,778	14,784	—	—
Other assets	26,487	26,548	29,286	28,621	27,220	—	(3)
Total assets	$ 471,660	$ 455,249	$ 444,232	$ 440,288	$ 434,195	4	9

						2023 Q1 vs
(Dollars in millions)	2023 Q1	2022 Q4	2022 Q3	2022 Q2	2022 Q1	2022 Q4	2022 Q1
Liabilities:
Interest payable	$ 621	$ 527	$ 433	$ 333	$ 261	18 %	138 %
Deposits:
Non-interest-bearing deposits	31,186	32,203	34,391	37,004	37,781	(3)	(17)
Interest-bearing deposits	318,641	300,789	282,802	270,881	275,648	6	16
Total deposits	349,827	332,992	317,193	307,885	313,429	5	12
Securitized debt obligations	17,813	16,973	15,926	17,466	13,740	5	30
Other debt:
Federal funds purchased and securities loaned or sold under agreements to repurchase	542	883	528	440	594	(39)	(9)
Senior and subordinated notes	30,398	30,826	30,615	30,489	26,976	(1)	13
Other borrowings	24	33	7,538	10,543	4,048	(27)	(99)
Total other debt	30,964	31,742	38,681	41,472	31,618	(2)	(2)
Other liabilities	17,782	20,433	21,138	19,722	18,802	(13)	(5)
Total liabilities	417,007	402,667	393,371	386,878	377,850	4	10

Stockholders' equity:
Preferred stock	0	0	0	0	0	—	—
Common stock	7	7	7	7	7	—	—
Additional paid-in capital, net	34,952	34,725	34,579	34,425	34,286	1	2
Retained earnings	57,898	57,184	56,240	54,836	53,099	1	9
Accumulated other comprehensive loss	(8,540)	(9,916)	(10,704)	(6,916)	(4,093)	(14)	109
Treasury stock, at cost	(29,664)	(29,418)	(29,261)	(28,942)	(26,954)	1	10
Total stockholders' equity	54,653	52,582	50,861	53,410	56,345	4	(3)
Total liabilities and stockholders' equity	$ 471,660	$ 455,249	$ 444,232	$ 440,288	$ 434,195	4	9

	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 $405 million in Q1 2023, $321 million in Q4 2022, $222 million in Q3 2022, $211 million in Q2 2022 and $192 million in Q1 2022 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⁾	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.
	⁽⁴⁾	Total net revenue margin is calculated based on annualized total net revenue for the period divided by average interest-earning assets for the period.
	⁽⁵⁾	Net interest margin is calculated based on annualized net interest income for the period divided by average interest-earning assets for the period.
	⁽⁶⁾	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.
	⁽⁷⁾	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.
	⁽⁸⁾	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. See "Table 15: Calculation of Regulatory Capital Measures and Reconciliation of Non-GAAP Measures" for additional information on non-GAAP measures.
	⁽⁹⁾	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.
	⁽¹⁰⁾	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.
	⁽¹¹⁾	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.
	⁽¹²⁾	Capital ratios as of the end of Q1 2023 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.
	⁽¹³⁾	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

	2023 Q1			2022 Q4			2022 Q1
(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	$ 308,115	$ 8,723	11.32 %	$ 307,852	$ 8,360	10.86 %	$ 279,022	$ 6,367	9.13 %
Investment securities	89,960	615	2.73	87,110	548	2.52	94,700	402	1.70
Cash equivalents and other	37,124	416	4.49	26,089	250	3.84	20,360	15	0.29
Total interest-earning assets	$ 435,199	$ 9,754	8.96	$ 421,051	$ 9,158	8.70	$ 394,082	$ 6,784	6.89
Interest-bearing liabilities:
Interest-bearing deposits	$ 308,788	$ 1,856	2.40	$ 292,793	$ 1,335	1.82	$ 271,823	$ 218	0.32
Securitized debt obligations	17,251	211	4.90	16,478	170	4.13	13,740	29	0.84
Senior and subordinated notes	30,136	489	6.49	30,718	430	5.59