WASHINGTON: Minneapolis-based U.S. Bancorp reported a 4.7 percent rise in quarterly revenue helped by strength in its mortgage banking unit and higher interest income. Mortgage banking revenue rose 40.2 percent to $314 million while net interest income rose 4.5 percent to $2.89 billion.
The Federal Reserve, which raised interest rates for the first time in nearly a decade in December last year, has kept rates unchanged since but has indicated a possible hike this December. Net income attributable to the bank rose to $1.50 billion, or 84 cents per share, in the third quarter ended Sept. 30, from $1.49 billion, or 81 cents per share, a year earlier.
Analysts were expecting a profit of 83 cents per share, according to Thomson Reuters I/B/E/S. Total net revenue rose to $5.39 billion from $5.15 billion. During the quarter, the bank had set aside $325 million to cover bad loans, up 15.2 percent from a year earlier. U.S. Bank is the largest in the St. Louis market based on deposits.
