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Discover Financial Services NYSEDFS Q 42024 Earnings Call Transcript

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  Q4 2024 Earnings Call Transcript January 23, 2025 Operator: Good morning. My name is Madison, and I will be your conference operator today. At this time, I would like to welcome everyone to the Fourth Quarter 2024 Discover Financial Services Earnings Conference Call.

The article provides a transcript of Discover Financial Services' (NYSE: DFS) Q4 2024 earnings call. During the call, CEO Michael Rhodes discussed the company's performance, highlighting a net income of $388 million, or $1.54 per diluted share, with adjusted net income at $343 million, or $1.38 per share. Key points included a 15% year-over-year increase in total loans, a slight decrease in net interest margin to 10.97%, and a rise in operating expenses by 19% due to higher employee compensation, marketing, and professional fees. The company also faced challenges with increased delinquency rates and charge-offs, particularly in the credit card segment. Rhodes emphasized strategic initiatives aimed at enhancing digital capabilities, improving customer experience, and managing risk, while also addressing regulatory matters and the ongoing integration of the Pulse acquisition. The call concluded with a Q&A session where analysts sought more details on credit performance, growth strategies, and regulatory compliance.

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