U.S. Bank posts $1.43B net income

Minneapolis-based U.S. Bancorp (NYSE: USB) recorded net income of $1.43 billion during the first quarter, a 2.4 percent bump compared to $1.4 billion in the same quarter a year earlier.

The company, which operates eight U.S. Bank branches in Springfield, boosted diluted share earnings by 3 cents to 76 cents, according to a news release.

“The first-quarter results reflect normal seasonal effects, such as the expected reduction of post-holiday spending,” U.S. Bancorp Chairman, President and CEO Richard Davis said in the release. “We believe the diversification of our business mix has served us well through the prolonged low interest rate environment and slow economic recovery.”

First-quarter financial notes:

• The company returned 70 percent of its earnings to shareholders via dividends and the buyback of 12 million shares, Davis said.
• Average total loans grew by 5.1 percent to $248 billion. New lending activity accounted for $48.8 billion during the quarter.
• Employee compensation increased by 5.7 percent to $1.2 billion. Benefits also rose 9.7 percent to $317 million.

As of March 31, U.S. Bank’s assets were $410 billion and deposits were $365 billion. The company operates 3,172 branches in 25 states, according to the release.

USB shares were trading at $42.88 as of 10:58 a.m., compared to a 52-week range of $38.10 to $46.10.