US Bancorp profit up 40% on record revenue
U.S. Bancorp (USB) reported net income of $1.2 billion in the third quarter, or 64 cents per share, a 40% increase from one year ago. The bank took in a record $4.7 billion in revenue, a 4% increase from last year. U.S. Bank was also able to lower its provision for credit losses to $519 million, nearly half the $995 million held in reserves in the third quarter of last year. The bank's CEO Richard Davis said a number of consumer loan categories are beginning to stabilize. Nonperforming assets, including real estate acquired through Federal Deposit Insurance Corp. loss share agreements, totaled $3.03 billion in the third quarter, down 14% from one year ago. U.S. Bank originated $11.5 billion in new mortgages for the quarter, which like many other lenders, was down 30% from the $16.5 billion written one year ago. The bank held $162 million in mortgage buyback reserves in the quarter, the lowest total since the end of 2010. Write to Jon Prior. Follow him on Twitter @JonAPrior.