U.S. Bancorp Logs 5.2% Rise in 4Q Net; Revenue Trails Estimates

U.S. Bancorp (NYSE:USB) weighed in on Wednesday with a 5.2% rise in fourth-quarter earnings, but the regional banking giant’s revenue failed to meet Wall Street’s expectations.

Shares of Minneapolis-based U.S. Bancorp eased Wednesday morning in the wake of the results.

The No. 5 U.S. commercial bank by assets said it earned $1.42 billion, or 72 cents a share, last quarter, compared with a profit of $1.35 billion, or 69 cents a share, a year earlier.

Excluding one-time items, it earned 75 cents a share, matching consensus calls from analysts.

Revenue inched up 0.2% to $5.11 billion, narrowly trailing the Street’s view of $5.16 billion.

U.S. Bancorp said its mortgage revenue soared 57% to $476 million, but fell by a deeper-than-expected 8.9% from the third quarter.

The lender said average total loans rose 6.4% year-over-year amid a 15.7% jump in average total commercial loans.

Credit metrics also continues to improve as U.S. Bancorp said its net charge-offs dropped by $70 million from the third quarter.

“Our customers -- from individuals, to small businesses, to large corporations -- are healthy and productive, having adjusted to the current slow growth, uncertain environment in which they operate today, but they remain poised to take advantage of the recovery as it emerges,” CEO Richard Davis said in a statement.

Shares of U.S. Bancorp dropped 0.75% to $33.03 Wednesday morning, trimming their one-year gain to 13.81%.