Overview
- Shares rose about 9% to $45.78 after the company reported stronger-than-expected quarterly profits.
- Adjusted earnings were $1.11 per share and GAAP earnings were $0.93, which was roughly 90% higher than a year ago.
- Auto finance activity set the pace with a record 4.4 million applications and $11.5 billion in new loan originations.
- Expense discipline lifted profitability, with a 50.8% efficiency ratio, even as revenue of $2.10 billion came in slightly below the $2.14 billion consensus.
- Funding and risk metrics held firm, with retail deposits at $146 billion after 68 straight growth quarters, a 3.5% net interest margin, a 10.1% CET1 capital ratio, $147 million in buybacks, and net charge-offs easing to 197 basis points.