AMERICAN EXPRESS CO 10-Q form for quarterly period ended 2024-06-30, page 39: 
AMERICAN EXPRESS COMPANY


CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)|    |                                                                           |        |        |      |        |    |        |
|---:|:--------------------------------------------------------------------------|:-------|:-------|:-----|:-------|:---|:-------|
|  1 | Six Months Ended June 30 (Millions, except per share amounts)             | 2024   |        | 2023 |        |    |        |
|  2 | Revenues                                                                  |        |        |      |        |    |        |
|  3 | Non-interest revenues                                                     |        |        |      |        |    |        |
|  4 | Discount revenue                                                          | $      | 17,235 |      |        | $  | 16,428 |
|  5 | Net card fees                                                             | 4,034  |        |      | 3,502  |    |        |
|  6 | Service fees and other revenue                                            | 2,572  |        |      | 2,450  |    |        |
|  7 | Processed revenue                                                         | 794    |        |      | 867    |    |        |
|  8 | Total non-interest revenues                                               | 24,635 |        |      | 23,247 |    |        |
|  9 | Interest income                                                           |        |        |      |        |    |        |
| 10 | Interest on loans                                                         | 10,150 |        |      | 8,152  |    |        |
| 11 | Interest and dividends on investment securities                           | 50     |        |      | 64     |    |        |
| 12 | Deposits with banks and other                                             | 1,369  |        |      | 975    |    |        |
| 13 | Total interest income                                                     | 11,569 |        |      | 9,191  |    |        |
| 14 | Interest expense                                                          |        |        |      |        |    |        |
| 15 | Deposits                                                                  | 2,852  |        |      | 2,190  |    |        |
| 16 | Long-term debt and other                                                  | 1,218  |        |      | 913    |    |        |
| 17 | Total interest expense                                                    | 4,070  |        |      | 3,103  |    |        |
| 18 | Net interest income                                                       | 7,499  |        |      | 6,088  |    |        |
| 19 | Total revenues net of interest expense                                    | 32,134 |        |      | 29,335 |    |        |
| 20 | Provisions for credit losses                                              |        |        |      |        |    |        |
| 21 | Card Member receivables                                                   | 422    |        |      | 452    |    |        |
| 22 | Card Member loans                                                         | 1,984  |        |      | 1,709  |    |        |
| 23 | Other                                                                     | 131    |        |      | 92     |    |        |
| 24 | Total provisions for credit losses                                        | 2,537  |        |      | 2,253  |    |        |
| 25 | Total revenues net of interest expense after provisions for credit losses | 29,597 |        |      | 27,082 |    |        |
| 26 | Expenses                                                                  |        |        |      |        |    |        |
| 27 | Card Member rewards                                                       | 8,001  |        |      | 7,722  |    |        |
| 28 | Business development                                                      | 2,819  |        |      | 2,781  |    |        |
| 29 | Card Member services                                                      | 2,325  |        |      | 1,932  |    |        |
| 30 | Marketing                                                                 | 2,956  |        |      | 2,749  |    |        |
| 31 | Salaries and employee benefits                                            | 4,047  |        |      | 3,889  |    |        |
| 32 | Other, net                                                                | 2,514  |        |      | 3,108  |    |        |
| 33 | Total expenses                                                            | 22,662 |        |      | 22,181 |    |        |
| 34 | Pretax income                                                             | 6,935  |        |      | 4,901  |    |        |
| 35 | Income tax provision                                                      | 1,483  |        |      | 911    |    |        |
| 36 | Net income                                                                | $      | 5,452  |      |        | $  | 3,990  |
| 37 | Earnings per Common Share (Note 14)(a)                                    |        |        |      |        |    |        |
| 38 | Basic                                                                     | $      | 7.49   |      |        | $  | 5.30   |
| 39 | Diluted                                                                   | $      | 7.48   |      |        | $  | 5.29   |
| 40 | Average common shares outstanding for earnings per common share:          |        |        |      |        |    |        |
| 41 | Basic                                                                     |        |        |      | 741    |    |        |
| 42 | Diluted                                                                   |        |        |      | 742    |    |        |
(a)Represents net income less (i) earnings allocated to participating share awards of $41 million and $31 million for the six months ended June 30, 2024 and 2023, respectively, and (ii) dividends on preferred shares of $29 million for both the six months ended June 30, 2024 and 2023.

See Notes to Consolidated Financial Statements.

39




, Discover Financial Services 10-Q form for quarterly period ended 2024-06-30, page 3: 
DISCOVER FINANCIAL SERVICES


Condensed Consolidated Statements of Income (unaudited)

(dollars in millions, except for share amounts)
|    |                                                       |                                     |       |                                   |       |      |       |       |    |       |    |       |
|---:|:------------------------------------------------------|:------------------------------------|:------|:----------------------------------|:------|:-----|:------|:------|:---|:------|:---|:------|
|  1 |                                                       | For the Three Months Ended June 30, |       | For the Six Months Ended June 30, |       |      |       |       |    |       |    |       |
|  2 |                                                       | 2024                                |       | 2023                              |       | 2024 |       | 2023  |    |       |    |       |
|  3 | Interest income                                       |                                     |       |                                   |       |      |       |       |    |       |    |       |
|  4 | Credit card loans                                     | $                                   | 3,959 |                                   |       | $    | 3,466 |       | $  | 7,897 | $  | 6,787 |
|  5 | Other loans, including loans held-for-sale            | 729                                 |       |                                   | 606   |      |       | 1,441 |    | 1,170 |    |       |
|  6 | Investment securities                                 | 125                                 |       |                                   | 106   |      |       | 249   |    | 207   |    |       |
|  7 | Other interest income                                 | 158                                 |       |                                   | 112   |      |       | 332   |    | 203   |    |       |
|  8 | Total interest income                                 | 4,971                               |       |                                   | 4,290 |      |       | 9,919 |    | 8,367 |    |       |
|  9 | Interest expense                                      |                                     |       |                                   |       |      |       |       |    |       |    |       |
| 10 | Deposits                                              | 1,199                               |       |                                   | 905   |      |       | 2,409 |    | 1,661 |    |       |
| 11 | Short-term borrowings                                 | -                                   |       |                                   | -     |      |       | 6     |    | -     |    |       |
| 12 | Long-term borrowings                                  | 248                                 |       |                                   | 208   |      |       | 493   |    | 397   |    |       |
| 13 | Total interest expense                                | 1,447                               |       |                                   | 1,113 |      |       | 2,908 |    | 2,058 |    |       |
| 14 | Net interest income                                   | 3,524                               |       |                                   | 3,177 |      |       | 7,011 |    | 6,309 |    |       |
| 15 | Provision for credit losses                           | 739                                 |       |                                   | 1,305 |      |       | 2,236 |    | 2,407 |    |       |
| 16 | Net interest income after provision for credit losses | 2,785                               |       |                                   | 1,872 |      |       | 4,775 |    | 3,902 |    |       |
| 17 | Other income                                          |                                     |       |                                   |       |      |       |       |    |       |    |       |
| 18 | Discount and interchange revenue, net                 | 437                                 |       |                                   | 370   |      |       | 808   |    | 700   |    |       |
| 19 | Protection products revenue                           | 42                                  |       |                                   | 44    |      |       | 84    |    | 87    |    |       |
| 20 | Loan fee income                                       | 205                                 |       |                                   | 186   |      |       | 405   |    | 352   |    |       |
| 21 | Transaction processing revenue                        | 91                                  |       |                                   | 72    |      |       | 178   |    | 139   |    |       |
| 22 | Gains (losses) on equity investments                  | -                                   |       |                                   | 1     |      |       | -     |    | (17)  |    |       |
| 23 | Other income                                          | 239                                 |       |                                   | 28    |      |       | 262   |    | 50    |    |       |
| 24 | Total other income                                    | 1,014                               |       |                                   | 701   |      |       | 1,737 |    | 1,311 |    |       |
| 25 | Other expense                                         |                                     |       |                                   |       |      |       |       |    |       |    |       |
| 26 | Employee compensation and benefits                    | 658                                 |       |                                   | 588   |      |       | 1,329 |    | 1,213 |    |       |
| 27 | Marketing and business development                    | 258                                 |       |                                   | 268   |      |       | 508   |    | 509   |    |       |
| 28 | Information processing and communications             | 167                                 |       |                                   | 150   |      |       | 330   |    | 289   |    |       |
| 29 | Professional fees                                     | 296                                 |       |                                   | 216   |      |       | 588   |    | 448   |    |       |
| 30 | Premises and equipment                                | 23                                  |       |                                   | 20    |      |       | 43    |    | 42    |    |       |
| 31 | Other expense                                         | 327                                 |       |                                   | 162   |      |       | 1,240 |    | 286   |    |       |
| 32 | Total other expense                                   | 1,729                               |       |                                   | 1,404 |      |       | 4,038 |    | 2,787 |    |       |
| 33 | Income before income taxes                            | 2,070                               |       |                                   | 1,169 |      |       | 2,474 |    | 2,426 |    |       |
| 34 | Income tax expense                                    | 540                                 |       |                                   | 268   |      |       | 636   |    | 557   |    |       |
| 35 | Net income                                            | $                                   | 1,530 |                                   |       | $    | 901   |       | $  | 1,838 | $  | 1,869 |
| 36 | Net income allocated to common stockholders           | $                                   | 1,521 |                                   |       | $    | 895   |       | $  | 1,795 | $  | 1,826 |
| 37 | Basic earnings per common share                       | $                                   | 6.06  |                                   |       | $    | 3.54  |       | $  | 7.17  | $  | 7.09  |
| 38 | Diluted earnings per common share                     | $                                   | 6.06  |                                   |       | $    | 3.54  |       | $  | 7.16  | $  | 7.09  |

See Notes to the Condensed Consolidated Financial Statements.

3






Question: What is the percentage change in total interest expense for American Express and Discover Financial Services for the six months ended June 30, 2024, compared to the same period in 2023?
Answer: The percentage change in total interest expense for American Express for the six months ended June 30, 2024, compared to the same period in 2023, is calculated as follows:
((Total interest expense 2024 - Total interest expense 2023) / Total interest expense 2023) * 100 = (($4,070 million - $3,103 million) / $3,103 million) * 100 = 31.19%.

The percentage change in total interest expense for Discover Financial Services for the six months ended June 30, 2024, compared to the same period in 2023, is calculated as follows:
((Total interest expense 2024 - Total interest expense 2023) / Total interest expense 2023) * 100 = (($2,908 million - $2,058 million) / $2,058 million) * 100 = 41.28%.