Discover Profit Beats Estimates as Credit-Card Spending Climbs
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Discover Financial Services, the top performer for the past year in the Standard & Poor’s 500 Financials Index, said fiscal first-quarter profit rose 36 percent to a record as consumers spent more on credit cards.
Net income for the three months ended Feb. 29 increased to $631 million, or $1.18 a share, from $465 million, or 84 cents, a year earlier, the Riverwoods, Illinois-based firm said yesterday in a statement. That beat the average estimate of 94 cents by 22 analysts in a Bloomberg survey. Results included a $226 million reserve release.