v3.26.3
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Millions
 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES    
Net income $ 483 $ 464
Adjustments to reconcile net income to net cash provided by operating activities    
Provision for credit losses 937 869
Depreciation and amortization 55 61
Deferred income taxes 2 95
Non-cash stock-based compensation 46 41
Amortization of deferred financing costs 12 12
Amortization of deferred origination costs 54 57
Loss on debt extinguishment 3 19
Originations of loans held-for-sale [1] (776) 0
Proceeds from sales and paydowns of loans held-for-sale [1] 767 0
Change in other operating assets and liabilities    
Change in other assets (63) 53
Change in other liabilities 101 (131)
Other 0 (16)
Net cash provided by operating activities 1,621 1,524
CASH FLOWS FROM INVESTING ACTIVITIES    
Change in credit card and other loans (1,014) 156
Purchases of investments (15) (20)
Maturities of investments 15 16
Other, including capital expenditures (14) (20)
Net cash (used in) provided by investing activities (1,028) 132
CASH FLOWS FROM FINANCING ACTIVITIES    
Unsecured borrowings under debt agreements 0 400
Repayments/maturities of unsecured borrowings under debt agreements (76) (312)
Debt issued by consolidated variable interest entities 415 25
Repayments/maturities of debt issued by consolidated variable interest entities (1,519) (1,903)
Net increase in deposits 1,585 454
Payment of deferred financing costs (8) (13)
Net proceeds from the issuance of preferred stock 130 0
Repurchases of common stock (472) (190)
Dividends and dividend equivalent rights paid (39) (31)
Other (31) (21)
Net cash used in financing activities (15) (1,591)
Change in cash, cash equivalents and restricted cash 578 65
Cash, cash equivalents and restricted cash at beginning of period 3,628 3,714
Cash, cash equivalents and restricted cash at end of period 4,206 3,779
Cash and cash equivalents reconciliation    
Cash and cash equivalents 3,961 3,764
Restricted cash included within Other assets 245 15
Total cash, cash equivalents and restricted cash $ 4,206 $ 3,779
[1] Relates to originations of installment loans held for sale and subsequently sold under a new partnership. See Note 2, "Credit Card and Other Loans - Credit Card Loan Portfolio and Installment Loan Sales" to our unaudited Consolidated Financial Statements.