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Discover Financial Services's (DFS) fiscal third-quarter profit fell less than analysts expected after sales from its eponymous credit card increased 5% from a year earlier, the company reported Monday.

Net income for the quarter, which ended Aug. 31, fell to $258.2 million, or 47 cents a share, from $552.9 million, or $1.07 a share, for the same period a year earlier. Revenue fell 7%, from the year-ago quarter, to $1.71 billion.

The decrease comes as no surprise considering that last year's third-quarter income included a $287 million boost from an antitrust-lawsuit settlement with Visa (V) and Mastercard (MA). Analysts had expected the company to earn 35 cents per share on $1.67 billion in revenue, according to a Thomson Reuters survey.

Discover benefited from falling interest rates, which helped spur more spending on Discover credit cards, as well as a growing number of merchants who have begun accepting them as a method of payment, the company said in its statement Monday.

"The very positive credit trends that began to manifest themselves earlier this year continued to benefit our results this quarter," Discover CEO David Nelms said in the announcement.


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drw465784

You know what else beat expectations??? Sales Tax Hotel Tax School Tax Liquor Tax Luxury Tax Excise Taxes Property Tax Cigarette Tax Medicare Tax Inventory Tax Car Rental Tax Real Estate Tax Well Permit Tax Fuel Permit Tax Inheritance Tax Road Usage Tax CDL license Tax Dog License Tax State Income Tax Food License Tax Vehicle Sales Tax Gross Receipts Tax Social Security Tax Service Charge Tax Fishing License Tax Federal Income Tax Building Permit Tax IRS Interest Charges Hunting License Tax Marriage License Tax Corporate Income Tax Personal Property Tax Accounts Receivable Tax Recreational Vehicle Tax Workers Compensation Tax Watercraft Registration Tax Telephone Usage Charge Tax Telephone Federal Excise Tax Telephone State and Local Tax IRS Penalties (tax on top of tax) State Unemployment Tax (SUTA) Federal Unemployment Tax (FUTA) Telephone Minimum Usage Surcharge Tax Telephone Federal Universal Service FeeTax Gasoline Tax (currently 44.75 cents per gallon) Utility Taxes Vehicle License Registration Tax Telephone Recurring and Nonrecurring Charges Tax Not one of these taxes existed 100 years ago, & our nation was the most prosperous in the world. We had absolutely no national debt, had the largest middle class in the world, and Mom stayed home to raise the kids. We also were A Common Law Country! I have set up a place that the poor and middle class in the country can start to get some of this tax money back. It is our turn to have a piece of the action. Here is my way to get your loot back. Just google EASY STOCK CASH and click the first link. Once you get there, go right to the PENNY STOCK page to see what the rich don't want you to know.

September 21 2010 at 5:15 AM Report abuse rate up rate down Reply