U.S. Bank 4th Quarter Results

• Noninterest income was $19 million (3.1 percent) higher than a year ago, driven by higher mortgage banking revenue, reflecting the impact of higher origination and sales revenue, partially offset by lower income from leasing residuals. 
• Record net income of $5.9 billion; record $3.24 per diluted common share in 2016

vs. 4Q15

• Average total loans increased by $16.0 billion, or 6.2% (5.6% growth excluding the credit card portfolio acquisition) • Average total commercial loans increased by $7.0 billion, or 8.1% 

• Average residential mortgage loans increased by $3.7 billion, or 7.1% 

• Average total deposits for the fourth quarter of 2016 were $34.7 billion (11.8 percent) higher than the fourth quarter of 2015.

• Higher merchant processing services revenue (2.8% increase) due to an increase in product fees and higher volumes − Higher mortgage banking revenue (13.7% increase) driven by higher origination and sales volume versusa 4Q 2015

 Terry Dolan, vice chairman and chief financial officer and Richard K. Davis reported U.S. Bank's 4Q and 2016 earnings during a webcast today. Noninterest income was $19 million (3.1 percent) higher than a year ago, driven by higher mortgage banking revenue, reflecting the impact of higher origination and sales revenue, partially offset by lower income from leasing residuals. 

U.S. Bancorp Chairman and Chief Executive Officer Richard K. Davis said, “U.S. Bancorp delivered an outstanding performance in 2016 with record net income, EPS, and revenue. In a challenging year where the economic environment was often unpredictable, we delivered industry-leading returns, we made important investments in our long-term growth strategy, and we returned 79 percent of our earnings to shareholders through dividends and share buybacks.

As importantly, the fundamental elements of our core businesses are solid and we are well positioned for growth as we enter 2017. With an intense focus on our customers and providing them with innovative products and services, we are optimistic we will continue to create outstanding value for our shareholders, customers, and communities.

Our success in 2016 was a result of the tremendous efforts of our 70,000 employees working hard as One U.S. Bank to help our customers build financially secure futures – and they did it with ethics and integrity. For the second year, the Ethisphere Institute named U.S. Bank to its World’s Most Ethical Companies list. For the tenth year, the Ponemon Institute named U.S. Bank the Most Trusted Bank. For the sixth year, FORTUNE magazine named U.S. Bank the number one super-regional bank. And for the first time, MONEY magazine named U.S. Bank the Best Big Bank. We are proud of these achievements because they are a reflection of our people and our culture. As usual, you can expect U.S. Bank to deliver consistent, predictable, and repeatable results,” the call reported. 

 Richard K. Davis is "handing over" U.S. Bank at the shareholder meeting in April.   In the call, they said that home builders are being more cautious.