Company: USB-PA
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0000036104-25-000055
Chunk: 146

Company: US BANCORP \DE\
Filing Date: 2025-08-07
Form: 10-Q
Chunk 146
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 investment securities, loans and other earning assets, partially offset by a decrease in interest-bearing deposits with banks. The net interest margin, on a taxable-equivalent basis, in the second quarter of 2025 was 2.66 percent, compared with 2.67 percent in the second quarter of 2024. The decrease was primarily due to the impact of higher earning assets and deposit pricing pressures, partially offset by fixed asset repricing and loan mix. The net interest margin, on a taxable-equivalent basis, in the first six months of 2025 was 2.69 percent, compared with 2.68 percent in the first six months of 2024. The increase from the prior year was primarily due to improved balance sheet mix, fixed asset repricing and loan mix, partially offset by deposit mix and higher earning assets.

| 4 |     | U.S. Bancorp |

Refer to the “Consolidated Daily Average Balance Sheet and Related Yields and Rates” table for further information on net interest income.

Average total loans in the second quarter and first six months of 2025 were $3.8 billion (1.0 percent) and $5.9 billion (1.6 percent) higher, respectively, than the same periods of 2024. The increases were primarily due to higher commercial loans and credit card loans, partially offset by lower commercial real estate loans and other retail loans. The increase in average commercial loans was primarily due to growth in loans to financial institutions. The increase in average credit card loans was primarily driven by customer account growth and higher spend volume. The decrease in average commercial real estate loans was primarily due to loan workout activities and payoffs exceeding a reduced level of new originations. The decrease in average other retail loans was driven by lower automobile loans. Average residential mortgages decreased in the second quarter of 2025, compared with the second quarter of 2024, driven by a portfolio sale in the second quarter of 2025.

Average investment securities in the second quarter and first six months of 2025 were $5.8 billion (3.5 percent) and $7.9 billion (4.8 percent) higher, respectively, than the same periods of 2024, primarily due to balance sheet repositioning.

Average total deposits for the second quarter and first six months of 2025 were $11.0 billion (2.1 percent) and $3.8 billion (0.7 percent) lower, respectively, than the same periods of