News

Results include net income of $1.8 billion and diluted earnings per common share of $1.16 or $1.18 as adjusted.

Highlights:

• Net income of $1,812 million and diluted earnings per common share of $1.16 as reported, $1.18 excluding merger and integration-related charges
• Net revenue of $6,326 million including $3,857 million of net interest income and $2,469 million of noninterest income
• Merger and integration-related charges of $42 million ($33 million net of tax or $(0.02) per diluted common share) associated with the planned acquisition of MUFG Union Bank
• Return on average assets of 1.22% and return on average common equity of 15.8%. Excluding merger and integration-related charges, net income of $1,845 million, return on average assets of1.24% and return on average common equity of 16.2%
• On a taxable-equivalent basis, net interest income increased 20.6percent year-over-year and 11.3 percent linked quarter due to the impact of rising interest rates on earning assets, partially offset by deposit pricing
• Average total loan growth of 13.5% year-over-year and 3.9% on a linked quarter basis
• Average total deposit growth of 5.9% year-over-year and 0.1% on a linked quarter basis
• Net charge-off ratio of 0.19% in 3Q22 compared with 0.20% in 2Q22 and in 3Q21
• CET1 capital ratio of 9.7% at September 30, 2022, and at June 30,2022

Full financial details

Full financial details available here.

CEO commentary

U.S. Bancorp Chairman, President and CEO Andy Cecere said,  “In the third quarter we earned $1.8 billion in net income with net revenue of $6.3 billion and a return on tangible common equity of 21.0% on a reported basis. Results were driven by strong growth in net interest income supported by loan and deposit growth and the benefit of higher interest rates. Our fee businesses continued to benefit from good underlying consumer and business conditions as well as new business and deepening of relationships. Credit quality remains strong and in the third quarter our net charge-off ratio improved on both a sequential and year over year basis. While credit continues to perform well, our consistently strong underwriting and credit risk management practices prepare us well for any change in the business cycle. We continue to focus on maintaining a healthy balance sheet and strong capital and liquidity positions. Given the uncertain economic environment, we are preparing for a range of possible outcomes and will continue to manage the bank in a prudent, disciplined manner. I want to thank our employees for their dedication to helping our clients, communities and shareholders.”

In the spotlight:

U.S. Bank and Elavon Launch talech Register for Small Businesses: Elavon, a wholly-owned subsidiary of U.S. Bank, recently launched talech Register, a next generation, all-in-one payments and business analytics platform that empowers small business owners to better manage their operations. The point-of-sale platform combines unique, pay-as-you-go pricing and ease-of use to support modern small business owners. talech Register brings the simplicity, convenience and efficiency of the talech software platform to the point of sale for small business owners.

U.S. Bank Invests in Green Energy Initiatives: The U.S. Bank Foundation will invest $1 million in green energy initiatives through its annual Market Impact Grant program. The funding will support a variety of organizations and programs in low-to-moderate income communities across the country with an emphasis on supporting people of color and women. Additionally, our Community Development business has invested approximately $2.2 billion in renewable energy projects since the beginning of the year in support of green energy initiatives.

Access Commitment Expands to the Hispanic and Latinx Community: U.S. Bank recently announced an investment in the Smithsonian's National Museum of the American Latino in Washington D.C. The museum is the cornerstone to learn how Latinos have contributed to U.S. art, history, culture and science. The investment is part of U.S. Bank Access Commitment, the bank’s long-term approach to building wealth, redefining how we serve diverse communities and creating more opportunities for employees.

One of the Best Companies for Working Parents: Seramount, formerly Working Mother, ranked U.S. Bank as one of the 100 Best Companies for working parents based on the company’s programs and benefits, including parental leave, fertility benefits, adoption benefits, caregiver benefits, mentoring and opportunities for advancement. This is the third consecutive year U.S. Bank has won this honor, which underscores how U.S. Bank puts people first by continuously looking for ways to better support employees.

Contact

Jennifer Thompson, U.S. Bank Investor Relations
612.303.0778; jen.thompson@usbank.com

Jeff Shelman, U.S. Bank Public Affairs and Communications
612.303.9933; jeffrey.shelman@usbank.com