U.S. Bancorp Stock Falls After Earnings. Higher Rates Boost Net Interest Income.

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Net interest income is being helped by the Federal Reserve's aggressive pace of rate hikes.

U.S. Bancorp reported quarterly results on Wednesday that showed elevated net interest income and better-than-expected revenue.

Net interest income, a key profitability metric for banks, was $4.27 billion, a 10% gain from the year earlier. Although it dipped 4% from the second quarter and came in the at the lower end of management’s guidance of between $4.2 billion and $4.4 billion, the metric has stayed above $4 billion for the past four quarters.

 

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