U.S. Bancorp 3Q Revenue Boosted by Interest Income

By Dean Seal

U.S. Bancorp posted a smaller profit in the third quarter but higher revenue as net interest income rose 10%.

The Minneapolis-based parent company of U.S. Bank posted a profit of $1.52 billion, or 91 cents a share, compared with $1.81 billion, or $1.16 a share, in the same quarter a year ago. Analysts polled by FactSet had been expecting earnings of 96 cents a share.

Stripping out merger and integration-related charges from its acquisition of MUFG Union Bank, earnings were $1.05 a share, above analyst forecasts for $1.01 a share according to FactSet.

Net interest income came in at $4.27 billion, up from $3.86 billion in the year-ago quarter and down slightly from last quarter.

Total quarterly revenue rose to $7.03 billion from $6.33 billion last year, compared with analyst forecasts for $7.02 billion according to FactSet.

Average total deposits rose 12% year-over-year to $512.29 billion and were up from $497.27 billion in the second quarter.

The company provisioned $515 million for credit losses, up from $362 million a year earlier but down from $821 million in the second quarter.

Write to Dean Seal at [e-mail]

(END) Dow Jones Newswires

October 18, 2023 07:25 ET (11:25 GMT)

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