U.S. Bancorp’s net income dipped slightly in the first quarter of 2017, due in part to the drop from the mortgage banking sector, which saw its revenues decrease more than 13% from the fourth quarter.
Net income attributable to U.S. Bancorp dipped 0.3% from the fourth quarter’s $1.48 billion to $1.47 billion in the first quarter. On the positive side, this is up 6.3% from $1.39 billion in the first quarter of 2016.
Diluted earnings per common share held steady from last quarter at $0.82 per share, an increase of 7.9% from last year’s $0.76 per share.
Total net revenue for the first quarter came in at $5.32 billion, down 2% from last quarter’s $5.44 billion but up 5.7% from $5.04 billion last year. The quarterly drop was due, in part, to the 13.8% drop in mortgage banking revenue from last quarter’s $240 million to $207 million in the first quarter.
But the news isn't all bad, 2017's first quarter mortgage banking revenue is up 10.7% from last year’s $187 million.
Average loans for residential mortgages increased 2.1% in the first quarter to $57.9 billion, up from $56.7 billion in the fourth quarter and up 6.8% from last year’s $54.2 billion.
Delinquencies continued to decrease as residential mortgages 90 days or more past due excluding non-performing loans dropped to 0.24%, down from 0.27% last quarter and from 0.31% last year. And delinquent mortgages including non-performing loans dropped to 1.23% in the first quarter, down from 1.31% in the fourth quarter and 1.54% last year.