U.S. Bancorp in Minneapolis on Wednesday
The $429 billion-asset company earned $1.4 billion in the first quarter, or 3% less than a year earlier. Diluted earnings per share were 76 cents, in line with the estimate of analysts polled by Bloomberg.
Noninterest expenses edged up 3%, to $2.7 billion. The company attributed the rise to higher compensation, as well as professional services for “compliance-related matters.”
-
Bankers in the Bakken Shale region of Montana and North Dakota are keeping an eye on exposure to hotels, apartments and retail space as economic slowdowns occur in energy-producing markets. Bankers in the Marcellus Shale region are also on alert, though there might be less exposure since that region had not yet had a development boom.
February 29 -
Add U.S. Bank to the list of companies allowing its customers to access its mobile app through their thumbprint.
April 1 -
Retirement was good for Pamela Joseph, former head of U.S. Bank's Elavon business, but not enough to overcome the lure of a high-level executive role at Total System Services, a company rapidly transitioning into a new age of digital payments.
March 9
Credit costs also weighed on profits. The provision for loan losses rose 25%, to $330 million, reflecting additional downgrades in the company’s oil and gas portfolio. As of March 31, the reserve on outstanding energy loan balances was 9.1%.
Meanwhile, net interest income rose 5%, to $2.9 billion, while total loans grew 6%, to $262.3 billion. The net interest margin shrank 2 basis points, to 3.06%.
Fee-based revenue was flat at $2.1 billion, as declines in mortgage banking offset higher credit and debit card revenue.
