CAPITAL ONE FINANCIAL CORP 8-K Report, Regulation FD Disclosure (Jan 25, 2024)

Capital One Financial Corp (COF) furnished this Form 8-K under Item 7.01 (Regulation FD) to publish its monthly charge-off and delinquency metrics for the month ended December 31, 2023.

The filing is informational only; it contains no earnings results, guidance, or material corporate events. The exhibit reports credit quality across Capital One's loan categories, including Domestic Credit Card and Consumer Banking Auto, with figures on average and period-end loans held for investment, net charge-offs, 30+ day performing delinquencies, and nonperforming loans. The headline data point is the Domestic Credit Card net charge-off rate of 5.78% for December 2023, on roughly $145.6 billion^a in average loans held for investment.

The company notes that December included $18 million^b of incremental net charge-offs tied to a one-time operational delay affecting loans in hardship programs. That item added about 15 basis points to the monthly rate; excluding it, the December card net charge-off rate would have been 5.63%. The 30+ day performing delinquency rate for domestic cards was 4.61%.

In Consumer Banking Auto, the net charge-off rate was 2.18%^c, the 30+ day delinquency rate was 6.34%, and the nonperforming loan rate was 0.96%. For investors, these monthly disclosures are a read on near-term credit trends and are used to track loss performance between quarterly reports.

The card charge-off rate is elevated in absolute terms, but the one-time hardship-program adjustment should be considered when reading the December figure. Because the figures are single-month and subject to fluctuations in recoveries and debt sales, investors should evaluate them alongside the company's quarterly results and trend data rather than in isolation.