Published June 19, 2012
Discover Financial Services (DFS) saw its profit fall in the most recent quarter.
Earnings and Revenue
The company announced EPS of $1 a share against the 99 cents a share estimate. The estimates of 17 analysts ranged from profit of 68 cents to profit of $1.19.
The company's net income for the quarter was $532 million. This is a 10.3% decline from last year.
History Against Expectations
The company has now topped analyst estimates for at least the last four quarters. It beat by 26 cents in the first quarter, 4 cents in the fourth quarter of the last fiscal year and 27 cents in the third quarter of the last fiscal year.
"Our results this quarter reflect outstanding fundamental performance in both of our business segments and continued improvement in credit performance," said David Nelms, chairman and chief executive officer of Discover. "In addition to the strong financial results for the quarter, I am excited about our recent expansion into three new products. Discover now offers mortgages through the recently acquired Home Loan Center platform, a fixed rate private student loan product to better meet the tuition funding needs of our customers and our first major affinity credit card. We believe these new products lay a foundation for additional revenue and asset growth in the future."
Estimates provided by Zacks Investment Research and company fundamentals from Xignite Financials.