Updated Friday, July 25, 2014 as of 2:49 AM ET
- Bank Channel
U.S. Bancorp Profit Matches Estimates as Revenue Declines
by: Elizabeth Dexheimer
Wednesday, April 16, 2014
Print
Email
Reprints
Partner Insights

(Bloomberg) -- U.S. Bancorp, the nation’s biggest regional lender, posted a first-quarter profit that matched analysts’ estimates as mortgage-banking revenuedeclined.

Net income fell 2.1% to $1.4 billion, or 73 cents a share, from $1.43 billion, or 73 cents, a year earlier, the Minneapolis-based firm said today in a statement. That equaled the average estimate of 31 analysts surveyed by Bloomberg.

Chief Executive Officer Richard Davis is relying on fees from businesses including credit cards and wealth management to help counter a slump in mortgage lending. The company last month received Federal Reserve approval to raise its quarterly dividend to 25 cents after passing the central bank’s annual stress test.

“Our performance clearly reflects the advantage of our diversified business mix and disciplined expense management, which has enabled us to withstand the revenue challenges facing our industry in this slow-growth economy,” Davis, 56, said in the statement. “Credit quality is expected to remain relatively stable in the coming quarters.”

Total revenue declined 1.2% to $4.81 billion from a year earlier as mortgage-banking fees dropped 41% to $236 million, according to the statement. Credit and debit-card revenue increased 12% to $239 million and trust and investment-management fees increased 9.4% to $304 million, the firm said.

Get access to this article and thousands more...

All Financial Planning articles are archived after 7 days. REGISTER NOW for unlimited access to all recently archived articles, as well as thousands of searchable stories. Registered Members also gain access to exclusive industry white paper downloads, web seminars, blog discussions, the iPad App, CE Exams, and conference discounts. Qualified members may also choose to receive our free monthly magazine and any of our daily or weekly e-newsletters covering the latest breaking news, opinions from industry leaders, developing trends and growth strategies.

Already Registered?

Lists
2014 Summer Reading List for Advisors

Current Issue

The July Issue is now online!


TWITTER
FACEBOOK
LINKEDIN

Industry Events

August 10, 2014 |

September 9, 2014 |

September 17, 2014 |

September 20, 2014 |

September 28, 2014 |

Already a subscriber? Log in here