Company: USB-PA
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0000036104-25-000064
Chunk: 182

Company: US BANCORP \DE\
Filing Date: 2025-11-05
Form: 10-Q
Chunk 182
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) in the third quarter and $253 million (4.4 percent) in the first nine months of 2025, compared with the same periods of 2024, due to the impact of loan sales in the second quarter of 2025. Noninterest income increased $35 million (8.7 percent) in the third quarter and $12 million (1.0 percent) in the first nine months of 2025, compared with the same periods of 2024, primarily due to higher mortgage banking revenue driven by the change in fair value of MSRs,

| U.S. Bancorp |     | 25 |

net of hedging activities. Noninterest income further increased in the third quarter of 2025, compared with the third quarter of 2024, due to higher deposit service charges.

Noninterest expense decreased $60 million (3.6 percent) in the third quarter and $168 million (3.4 percent) in the first nine months of 2025, compared with the same periods of 2024, primarily due to lower compensation and employee benefits expense and net occupancy and equipment expense. The provision for credit losses increased $43 million in the third quarter and $60 million (58.8 percent) in the first nine months of 2025, compared with the same periods of 2024, primarily due to less favorable trends in housing prices and higher net charge-offs.

Payment Services Payment Services includes consumer and business credit cards, stored-value cards, debit cards, corporate, government and purchasing card services and merchant processing. Payment Services contributed $326 million of the Company’s net income in the third quarter and $1.0 billion in the first nine months of 2025, or increases of $22 million (7.2 percent) and $169 million (19.8 percent), respectively, compared with the same periods of 2024.

Net revenue increased $87 million (4.8 percent) in the third quarter and $264 million (5.0 percent) in the first nine months of 2025, compared with the same periods of 2024. Net interest income, on a taxable-equivalent basis, increased $54 million (7.4 percent) in the third quarter and $151 million (7.2 percent) in the first nine months of 2025, compared with the same periods of 2024, primarily due to higher average loan balances and lower funding costs. Noninterest income increased $33 million (3.1 percent) in the third quarter and