U.S. Bancorp net revenues increased more than ten percent in 2023. Why?

U.S. Bancorp on January 17^th reported a net income of $1,62 billion, down significantly year-on-year from the $1,87 billion reported in Q4 2022, and also from Q3 2023’s net income of $1,736 billion. In total, this represented a decrease of 8.6 percent.

Its consolidated balance sheet also showed that assets for the company had grown from $53,54 billion at end 2022 to $61,19 billion at end 2023.

Revenues

U.S. Bancorp net revenues were at $6,76 billion for the year, including $4,14 billion of net interest income on a taxable-equivalent basis.

This was somewhat behind market estimates before the results were released, which predicted that Q4’s revenue will climb by 8.4% year-over-year to $6.87 billion.

However, this was 10.6 percent higher than the previous 2022 year, when net revenue was at $6,36 billion.

The U.S. Bancorp share price

Q4 2023’s diluted earnings per common share were markedly lower at $0.49, down significantly from $0.91 in Q3 and the $0.57 EPS in the same period during 2022.

The shares of the company were trading at $41,38 at markets opening on Wednesday, falling a marginal 1.83 percent upon release of the financial results.