Company: USB-PA
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0000036104-25-000055
Chunk: 3

Company: US BANCORP \DE\
Filing Date: 2025-08-07
Form: 10-Q
Item: Item 7
Chunk 3
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 Risk Profile” for further information on the provision for credit losses, net charge-offs, nonperforming assets and other factors considered by the Company in assessing the credit quality of the loan portfolio and establishing the allowance for credit losses. Statement of Income Analysis Net Interest Income Net interest income, on a taxable-equivalent basis, was $4.1 billion in the second quarter and $8.2 billion in the first six months of 2025, representing increases of $28 million (0.7 percent) and $135 million (1.7 percent), respectively, compared with the same periods of 2024. The increases were primarily due to the impact of fixed asset repricing and loan mix, partially offset by deposit mix and pricing pressures. Average earning assets for the second quarter and first six months of 2025 were $4.5 billion (0.7 percent) and $9.3 billion (1.5 percent) higher, respectively, than the same periods of 2024, reflecting increases in 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. 

4U.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