Discover Financial Beats, Shares Down Slightly

Discover Financial DFS reported earnings that beat expectations on the top and bottom lines. The company reported a EPS beat $0.04 above expectations. Return on equity was 23 percent and net revenue of interest expenses increased $131 or 6 percent to $2.2B.

Credit Cards loans rose from $50.8B to $52.7B. Personal loans increased 26 percent and private student loans roads 5 percent, from the previous year.  Net charge off rate rate for credit card loans decreased 0.01 percent YOY to 2.33 percent.  The delinquency rate for loans over 30 days past due increased 0.05 percent to 1.63 percent.
Share repurchases during Q2 2014 were approximately 3M shares for $177M. Shares outstanding declined 1 percent from Q1 2014.

After-hours on Tuesday shares traded down ~0.5 percent to $63.75