- **Merger Milestone**: Federal approvals secured; merger with Capital One set to close May 18. 
- **EPS Growth**: 31% YoY increase, supported by margin expansion and stable credit. 
- **Net Interest Margin**: 12.18% (115bps YoY rise). 
- **Deposit Growth**: Direct-to-consumer deposits now 74% of funding. 
- **Credit Health**: Delinquency rate down 18bps QoQ; charge-offs improved YoY. 
- **Capital Strength**: Tier 1 ratio at 14.7%, up 60bps QoQ.

**【CEO Opening Remarks】**
- **Merger Update**: Federal Reserve and OCC approvals secured; merger with Capital One expected to close on May 18, 2025. Shareholders overwhelmingly approved (99% vote). 
- **Q1 Financial Highlights**: 
  - EPS up 31% YoY, driven by net interest margin expansion and strong credit performance. 
  - Card delinquency rate down 18bps QoQ; net charge-offs improved YoY. 
  - Monitoring macroeconomic risks; underwriting strategy remains conservative.

**【CFO Financial Breakdown】**
- **Net Income**: $1.1B (30% YoY growth). 
- **Net Interest Margin**: 12.18% (115bps YoY expansion), driven by lower deposit costs and reduced promotional balances. 
- **Revenue Trends**: 
  - Card sales down 2% YoY due to credit tightening. 
  - Direct-to-consumer deposits grew 6% YoY, now 74% of total funding. 
- **Expenses**: 
  - Compensation up 10% YoY (higher wages, retention). 
  - Legal fees down $20M; civil penalties reduced $45M. 
- **Credit Metrics**: 
  - Net charge-offs 4.99% (7bps higher YoY, 35bps up QoQ). 
  - Allowance for credit losses down $215M QoQ. 
- **Capital Position**: Common equity Tier 1 ratio 14.7% (60bps QoQ increase). 
- **Dividend**: $0.70 per share declared, but no future Discover dividends post-merger.


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