U.S. Bancorp earns 30 cents per share in 3Q

U.S. Bancorp reported net income of $603 million for the third quarter, based primarily on year-over-year growth in net interest income and fee revenue.

The Minneapolis-based holding company posted 30 cents of earnings per diluted share, down 6 percent from third-quarter 2008 but up 150 percent from the second quarter of this year.

The earnings were driven by record total net revenue of $4.3 billion for the quarter, though numbers were dampened by $415 million in net credit loss provisions and $76 million in net securities losses. Those negatives reduced earnings per share by about 19 cents in the quarter.

"Once again, credit costs had a significant impact on earnings this quarter," U.S. Bancorp Chairman, President and CEO Richard K. Davis said in the earnings release. "Total net charge-offs and nonperforming assets were higher than the previous quarter but, as expected, the rate of increase on a linked quarter basis moderated."

Despite the increase in loss provisions, the company maintains a Tier I capital ratio of 9.5 percent.

Average deposits totaled $166.4 billion, up 24.6 percent compared to the same quarter last year, and total net revenue was $4.3 billion, up by 25.8 percent.

Shares of U.S. Bancorp (NYSE: USB) closed Tuesday at $23.80, compared to a 52-week range of $8.06 to $32.35.