U.S. Bancorp Reports Q1 Earnings 6.7% Higher
U.S. Bancorp reported net income of $1,428 million for the first quarter of 2013, up from $1,338 million or 6.7% from the same quarter one-year ago. The bank said earnings for the first quarter of 2013 were driven by a year-over-year reduction in noninterest expense and a lower provision for credit losses of $78 million. The bank noted the provision for credit losses of $403 million was $30 million less than net charge-offs.
U.S. Bancorp chairman, president and chief executive officer Richard K. Davis said, “Our first quarter earnings of $1.4 billion, or $0.73 per diluted common share, reflected our company’s continuing ability to perform against the backdrop of a slow-growth, uncertain economic environment.”
Davis added, “Average loan growth was solid year-over-year at 5.8%. As expected, average loans grew 1% on a linked quarter basis, or 4% annualized, as the pace of loan growth in the latter part of the fourth quarter moderated as the new year began. Average commercial and commercial real estate commitments, however, increased by 11.9% year-over-year and 1.7% linked quarter, indicating that customers remain prepared to fund growth and investments when the opportunity comes.”
To read the entire U.S. Bancorp news release, click here.