Of Special Interest
Filters
- Newslink Trends-The Global Strategic Perspective
- Juniper Research says digital wallet users to exceed 4.4 billion by 2025, as mobile drives digital payments’ revolution
- Criminals exploit COVID-19 pandemic with rise in scams targeting victims online
- Equifax says Open Banking proving pivotal to pandemic lending
- Consumer confidence in banks, credit card providers and investments remain stable as demand supercharges digital finance says Toluna research
- Mintos says Europeans are starting to embrace investing
- US banks see IT modernisation as a way to improve customer experience
- Risk mitigation in global trade depends on digitisation-Andrew Raymond, CEO, Bolero International comments
- Juniper Research new study says the volume of B2B payments facilitated by non-banks will exceed 53 billion in 2022, from a COVID-related low of 38 billion in 2020
- CMA issues fifth publication over 3 years of the service quality league table of personal and business current account providers
- Barclays says scammers take advantage of COVID-19, cashing in on nations’ uncertainty
- S&P Global report says financial market infrastructure sector's earnings likely to cool off In second half
- Global banking market capitalisation slumps by over 30% amid pandemic says Buyshares research
- Digital wallet spend in Europe & North America to increase by 40% in 2019, finds study
- Juniper forecasts mobile money transactions will exceed 200 billion by 2024
- Banks can save the world from climate change, says former UN climate chief
- Research by NatWest reveals gender divide over attitudes to saving
- Europe’s big bank problem: too much capital is trapped in the US, says Scope
- Later-Life lending market set to almost double in the next 10 years, finds report
- Barclays/Cebr report challenges nation to think differently about wealth
- Fifth of UK investors looking to debt investment, new research reveals
- Regtech will play a more important role in PSD2, says Mitek
- Banks turn to Fintech partnerships to improve customer experience, finds Fraedom
- New industry code to tackle fraud must deliver, says Which?
- New TTF report highlights loss of trust in financial services
- Arxan highlights financial app vulnerability epidemic
- SAS asks whether banks really need to choose between operations and innovation
- Which? raises alarm as almost 1,700 free ATMs become fee-charging
- Financial wellness affects half of peoples’ mental or physical health, finds report
- Study finds traditional financial institutions embrace Fintech disruption
- Grass is greener for environmentally friendly businesses, finds Barclays
- Prospective homeowners would consider a 40-year mortgage to escape renting, finds Santander
- Millennials’ needs are changing the face of banking industry, says new report
- FS is putting consumer data at risk by failing to protect mobile apps, says Arxan
- A lack of belief in their ability holds 28% women back in work, says Cambridge & Counties
- ‘Which?’ reveals Scotland has lost over a third of its bank branches in eight years
- Next downturn unlikely to be as bad as 2008, according to S&P
- FCA reveals findings from first cryptoassets consumer research
- US consumers favour single mobile app for banking and payments
- Banks suffering major IT shutdowns every day, ‘Which?’ reveals
- The US will be a key offshore centre in 2019, says GlobalData
- Debit industry changes markedly in 10 years of the Debit Issuer Study
- UK's ‘Big Five’ face ‘too big to compete’ as small challengers secure stellar returns
- Banks as vulnerable now as before crash, says new study
- Leverage ratio a constant conundrum for European and US banks, says SNL
26th July 2011
Good result from U.S. Bancorp
U.S. Bancorp reported net attributable of $1,162m (€811m £716m $1,167m ¥91.5bn Y7,524m) for Q2 and $2,170m (€1,508m £1,331m $2,170m ¥170.1bn Y13,990m) for the half year UP 35% and 44% respectively.
Notable is that U.S. Bancorp was one of the few banks to show an increase in NII (before credit loss provisions) and non-interest income for both the quarter and the half year. Compared with some of its peers another advantage was the lack of regulatory and legal costs. It is also one of the few western banks to show a return on equity above 15% since the financial crisis (Q2 = 15.9%). Cost to income was 51%.
Loan growth was 11.2% and deposit growth 14.2% during the quarter. Excluding acquisitions deposit growth was 9.6%.
Income statement 2nd Quarter Six Months
2011 2010 2011 2010
$m $m $m $m
Interest Income
Loans 2,563 2,515 5,115 5,020
Loans held for sale 34 47 97 91
Investment securities 459 394 887 804
Other interest income 63 39 120 73
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Total interest income 3,119 2,995 6,219 5,988
Interest Expense
Deposits 210 229 444 465
Short-term borrowings 131 137 264 265
Long-term debt 290 272 571 549
_______________________________
Total interest expense 631 638 1,279 1,279
Net interest income 2,488 2,357 4,940 4,709
Provision for credit losses 572 1,139 1,327 2,449
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NII after provision for credit losses 1,916 1,218 3,613 2,260
Noninterest Income
Credit and debit card revenue 286 266 553 524
Corporate payment products revenue 185 178 360 346
Merchant processing services 338 320 639 612
ATM processing services 114 108 226 213
Trust and investment management fees 258 267 514 531
Deposit service charges 162 199 305 406
Treasury management fees 144 145 281 282
Commercial products revenue 218 205 409 366
Mortgage banking revenue 239 243 438 443
Investment products fees and commissions 35 30 67 55
Securities gains (losses), net (8) (21) (13) (55)
Other 175 170 379 305
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Total noninterest income 2,146 2,110 4,158 4,028
Noninterest Expense
Compensation 1,004 946 1,963 1,807
Employee benefits 210 172 440 352
Net occupancy and equipment 249 226 498 453
Professional services 82 73 152 131
Marketing and business development 90 86 155 146
Technology and communications 189 186 374 371
Postage, printing and supplies 76 75 150 149
Other intangibles 75 91 150 188
Other 450 522 857 916
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Total noninterest expense 2,425 2,377 4,739 4,513
Income before income taxes 1,637 951 3,032 1,775
Applicable income taxes 458 199 824 360
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Net income 1,179 752 2,208 1,415
Attributable to noncontrolling interests 24 14 41 20
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Net income attributable to U.S. Bancorp 1,203 766 2,249 1,435
Preference stock - minorities 36 -96 79 75
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Attributable to common shareholders 1,167 862 2,170 1,510