Capital One Financial has posted a net income of $636.3m, or $1.40 per diluted share, for the first quarter ended March 31, 2010, compared with a loss of $172.3m, or $0.44 per diluted share, in the first quarter of 2009.

Total revenue for the first quarter of 2010 increased to $4.29bn from $2.88bn in the same quarter of 2009.

Net interest income for the first quarter of 2010 increased to $3.23bn from $1.79bn in the corresponding quarter of 2009.

Capital One’s net interest margin increased 20 basis points in the first quarter of 2010 to 7.1%, driven by a 17 basis point decrease in the cost of funds and a three basis point increase in loan yields.

Richard Fairbank, chairman and CEO of Capital One, said: “We’ve demonstrated our resilience through the most challenging economic cycle we’ve seen in generations, and we believe that charge-offs in our consumer lending businesses likely peaked in the first quarter.

“While legislative and regulatory uncertainty remains, we believe that we are well-positioned to ramp up our businesses as we emerge from the recession, and to deliver strong and sustainable returns over the long term.”