10-QPeriod: Q3 FY2017

US BANCORP \DE\ Quarterly Report for Q3 Ended Sep 30, 2017

Filed November 3, 2017For Securities:USBUSB-PHUSB-PPUSB-PRUSB-PQUSB-PSUSB-PA

Summary

U.S. Bancorp's third-quarter 2017 report indicates a solid financial performance, with net income attributable to the company reaching $1.563 billion for the quarter and $4.536 billion year-to-date. The company's ability to cover its fixed charges remains robust, with a ratio of earnings to fixed charges of 7.85 (excluding interest on deposits) for both the quarter and year-to-date. This suggests strong profitability and a comfortable margin for debt servicing. Investors will note that the filing primarily points to other sections within the report and previous filings for detailed information on legal proceedings, risk factors, and share repurchases. The inclusion of standard executive certifications and the computation of key financial ratios, such as the ratio of earnings to fixed charges, are standard components of this quarterly filing. The company continues to operate with financial strength, as evidenced by its earnings coverage of fixed charges.

Financial Highlights

34 data points
Beta

Revenue

$5.57B

Net Income

$1.56B

28.1% Net Margin

EPS (Diluted)

$0.88

Total Assets

$459.23B

Free Cash Flow

$1.86B

Financial Statements
Beta
Revenue$5.57B
Interest Expense$528.00M
Net Income$1.56B
EPS (Basic)$0.89
EPS (Diluted)$0.88
Shares Outstanding (Basic)1.67B
Shares Outstanding (Diluted)1.68B

Key Highlights

  • 1Net income attributable to U.S. Bancorp was $1.563 billion for the three months ended September 30, 2017.
  • 2Year-to-date net income attributable to U.S. Bancorp reached $4.536 billion for the nine months ended September 30, 2017.
  • 3The ratio of earnings to fixed charges (excluding interest on deposits) stood at a strong 7.85 for both the three and nine months ended September 30, 2017.
  • 4The ratio of earnings to fixed charges (including interest on deposits) was 4.55 for the three months and 4.79 for the nine months ended September 30, 2017.
  • 5The company reported strong coverage for fixed charges and preferred stock dividends, with a ratio of 6.41 (excluding interest on deposits) year-to-date.
  • 6The filing includes standard certifications from the CEO and CFO, reaffirming the accuracy of the financial reporting.
  • 7Key financial data such as the computation of the ratio of earnings to fixed charges is provided as an exhibit.

Frequently Asked Questions

For the three months ended September 30, 2017, U.S. Bancorp reported a net income attributable to the company of $1.563 billion.

The company demonstrates a strong ability to cover its fixed charges. The ratio of earnings to fixed charges, excluding interest on deposits, was 7.85 for both the three and nine months ended September 30, 2017. Including interest on deposits, the ratios were 4.55 for the quarter and 4.79 year-to-date, indicating substantial earnings coverage.

Details regarding legal proceedings can be found in Note 15 of the Notes to Consolidated Financial Statements under Part I, Item 1. For a discussion of risk factors, investors should refer to the 'Risk Factors' section in the Company's Annual Report on Form 10-K for the year ended December 31, 2016.

Yes, the filing refers investors to the 'Capital Management' section within Management’s Discussion and Analysis in Part I, Item 2 for information regarding shares repurchased by the Company during the third quarter of 2017.