Company: USB-PA
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0000036104-25-000055
Chunk: 7

Company: US BANCORP \DE\
Filing Date: 2025-08-07
Form: 10-Q
Item: Item 7
Chunk 7
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 quarter and $8.4 billion in the first six months of 2025, representing decreases of $33 million (0.8 percent) and $260 million (3.0 percent), respectively, from the same periods of 2024. The decreases from the prior year reflected lower compensation and employee benefits expense, other intangibles expense and net occupancy and equipment expense, partially offset by higher technology and communications expense. Noninterest expense further decreased in the first six months of 2025, compared with the first six months of 2024, due to the impacts in the prior year of merger and integration charges and the FDIC special assessment, partially offset by higher marketing and business development expense in the first six months of 2025. Compensation and employee benefits expense decreased primarily due to cost savings from operational efficiencies, partially offset by merit increases. Net occupancy and equipment expense decreased due to cost savings from operational efficiencies. Technology and communications expense increased primarily due to investments in infrastructure and technology development. Marketing and business development expense increased in the first six months of 2025, compared with the first six months of 2024, primarily due to a charitable foundation contribution in the first quarter of 2025. Income Tax Expense The provision for income taxes was $472 million (an effective rate of 20.6 percent) for the second quarter and $915 million (an effective rate of 20.6 percent) for the first six months of 2025, compared with $445 million (an effective rate of 21.6 percent) and $792 million (an effective rate of 21.2 percent) for the same periods of 2024, respectively. For further information on income taxes, refer to Note 11 of the Notes to Consolidated Financial Statements. 

6U.S. Bancorp

Balance Sheet Analysis Loans The Company’s loan portfolio was $380.2 billion at June 30, 2025, compared with $379.8 billion at December 31, 2024, an increase of $411 million (0.1 percent). The increase was driven by higher commercial loans, partially offset by lower residential mortgages and other retail loans. Commercial loans increased $7.9 billion (5.7 percent) at June 30, 2025, compared with December 31, 2024, primarily due to growth in loans to financial institutions. Residential mortgages held in the loan portfolio decreased $4.3 billion (3.7 percent) at June 30, 2025, compared with December