U.S. Bancorp (NYSE:USB) reported first-quarter 2026 results Thursday.
First-Quarter Details
The bank reported first-quarter adjusted earnings per share of $1.18, beating the analyst consensus estimate of $1.14. Quarterly sales of $7.288 billion outpaced the Street view of $7.277 billion.
“Strong revenue growth drove 440 basis points of positive operating leverage, as ongoing investments for growth and continued cost savings drove 260 basis points of year-over-year improvement in our efficiency ratio,” said CEO Gunjan Kedia.
In the quarter under review, net interest income totaled $4.263 billion, up 4.2% year over year.
Provision of credit losses jumped 7.3% year over year to $576 million. The increase on a year-over-year basis was primarily driven by loan portfolio growth.
The bank said it is closely watching economic uncertainty, including interest rates, inflation, trade policy, and geopolitical risks, as these factors could impact borrowers’ financial health.
Net interest margin was 2.77% in the first quarter of 2026, compared with 2.72% in the first quarter of 2025. The increase in net interest margin compared with the prior-year quarter was primarily due to the benefits from fixed asset repricing.
Net income attributable to U.S. Bancorp was $1.945 billion for the first quarter of 2026, $236 million higher than the first quarter of 2025 and $100 million lower than the fourth quarter of 2025.
Outlook
U.S. Bancorp expects net interest income and fees to grow 6%–7% in the second quarter. The bank also guides full-year revenue growth of 4%–6% with operating leverage …