US BANCORP \DE\

Overview

Financial Performance U.S. Bancorp and its subsidiaries (the “Company”) reported net income attributable to U.S. Bancorp of $1.9 billion in the first quarter of 2026, compared with $1.7 billion in the first quarter of 2025. Financial performance for the first quarter of 2026, compared with the first quarter of 2025, included the following:

•Diluted earnings per common share of $1.18 in the first quarter of 2026, representing a 14.6 percent increase compared with the first quarter of 2025;

•Net interest income increased $171 million (4.2 percent) primarily due to loan growth, improved earning asset mix, and fixed asset repricing;

•Noninterest income increased $161 million (5.7 percent) driven by higher revenue across most categories;

•Noninterest expense increased $33 million (0.8 percent), reflecting higher marketing and business development expense and technology and communications expense, partially offset by lower compensation and employee benefits expense;

•Average loans increased $14.5 billion (3.8 percent) driven by higher commercial loans and credit card loans, partially offset by lower residential mortgages and other retail loans; and

•Average deposits increased $8.6 billion (1.7 percent), driven by an increase in total savings deposits, partially offset by a decrease in time deposits.

Credit Quality The Company maintained stable credit quality during the first quarter of 2026.

•The allowance for credit losses was $8.0 billion at March 31, 2026, compared to $7.9 billion at December 31, 2025. The ratio of the allowance for credit losses to period-end loans improved to 2.00 percent at March 31, 2026 compared to 2.03 percent at December 31, 2025.

•The provision for credit losses increased $39 million (7.3 percent), primarily due to loan growth.

•Nonperforming assets were $1.5 billion at March 31, 2026, a decrease of $62 million (3.9 percent) compared with December 31, 2025, driven by lower nonperforming commercial loans.

•Net charge-offs were $546 million in the first quarter of 2026, compared with $547 million in the first quarter of 2025, reflecting lower credit card loan net charge-offs, mostly offset by higher commercial loan net charge-offs.

•Total loan net charge-offs as a percentage of average loans was 0.56 percent in the first quarter of 2026, compared with 0.59 percent in the first quarter of 2025.

Capital Management At March 31, 2026, all of the Company’s regulatory capital ratios exceeded regulatory “well-capitalized” requirements.

•The Company’s common equity tier 1 capital ratio was 10.8 percent at both March 31, 2026 and December 31, 2025.

•The Company returned $1.1 billion of earnings to shareholders in the first quarter of 2026 through dividends and share repurchases.

Pending acquisition of BTIGIn January 2026, the Company announced that it entered into a definitive agreement to acquire BTIG for a purchase price of up to $1 billion, consisting of a targeted amount of $725 million ($362.5 million of cash and 6,600,594 shares of the Company’s common stock) to be paid at closing and up to an additional $275 million of cash consideration payable over three years, subject to achievement of defined performance targets. BTIG is a global financial services firm specializing in institutional trading, investment banking, research and related brokerage services. The transaction is expected to close in the second quarter of 2026, subject to regulatory approvals and satisfaction of applicable closing conditions.

Statement of Income Analysis

The Company reported net income attributable to U.S. Bancorp of $1.9 billion for the first quarter of 2026, or $1.18 per diluted common share, compared with $1.7 billion, or $1.03 per diluted common share, for the first quarter of 2025. The increase from the prior year was due to higher net interest income and noninterest income, partially offset by higher noninterest expense and higher provision for credit losses.

Net Interest Income Net interest income was $4.3 billion in the first quarter of 2026, representing an increase of $171 million (4.2 percent) compared with the first quarter of 2025. The increase was primarily due to loan growth, improved earning asset mix, and fixed asset repricing. Average earning assets for the first quarter of 2026 were $13.9 billion (2.3 percent) higher than the first quarter of 2025, reflecting increases in loans and other earning assets, partially offset by a decrease in interest-bearing deposits with banks. The net interest margin, on a taxable-equivalent basis, in the first quarter of 2026 was 2.77 percent, compared with 2.72 percent in the first quarter of 2025. The increase was primarily due to the benefits from fixed asset repricing. Refer to the “Consolidated Daily Average Balance Sheet and Related Yields and Rates” table for further information on net interest income.

Average total loans in the first quarter of 2026 were $14.5 billion (3.8 percent) higher than the first quarter of 2025. The increase was primarily due to higher commercial loans and credit card loans, partially offset by lower residential mortgages and other retail loans. The increase in average commercial loans was primarily due to growth in loans to financial institutions, partially offset by lower corporate loans. The increase in average credit card loans was primarily driven by higher sales volume. Average commercial real estate loans were higher due to increased loan originations. The decreases in average residential mortgages and other retail loans were primarily due to loan sales in the second quarter of 2025.

Average investment securities in the first quarter of 2026 were $293 million (0.2 percent) higher than the first quarter of 2025.

Average total deposits for the first quarter of 2026 were $8.6 billion (1.7 percent) higher than the first quarter of 2025. Average total savings deposits for the first quarter of 2026 were $16.5 billion (4.5 percent) higher than the first quarter of 2025, primarily due to increases in Wealth, Corporate, Commercial and Institutional Banking, and Consumer and Business Banking balances. Average noninterest-bearing deposits for the first quarter of 2026 were $932 million (1.2 percent) higher than the first quarter of 2025, driven by an increase in Wealth, Corporate, Commercial and Institutional Banking balances, partially offset by a decrease in Consumer and Business Banking balances. Average time deposits for the first quarter of 2026 were $8.9 billion (16.0 percent) lower than the first quarter of 2025, mainly due to decreases in Treasury and Corporate Support, and Wealth, Corporate, Commercial and Institutional Banking balances. Changes in time deposits are primarily related to those deposits managed as an alternative to other funding sources, based largely on relative pricing and liquidity characteristics.

Provision for Credit Losses The provision for credit losses was $576 million in the first quarter of 2026, representing an increase of $39 million (7.3 percent) from the first quarter of 2025, primarily due to loan growth. Net charge-offs decreased $1 million (0.2 percent) in the first quarter of 2026, compared with the first quarter of 2025, driven by lower credit card loan

net charge-offs, mostly offset by higher commercial loan net charge-offs. Refer to “Corporate Risk Profile” for further information on the provision for credit losses, net charge-offs, nonperforming assets and other factors considered by the Company in assessing the credit quality of the loan portfolio and establishing the allowance for credit losses.

Noninterest Income Noninterest income was $3.0 billion in the first quarter of 2026, representing an increase of $161 million (5.7 percent) compared with the first quarter of 2025. The increase from the prior year reflected higher capital markets revenue, trust and investment management fees, lending and deposit-related fees, merchant processing services and card revenue, partially offset by lower other noninterest income and losses from repositioning a portion of the investment securities portfolio. Capital markets revenue increased primarily due to higher client-related derivative activity, corporate bond underwriting fees and favorable market conditions. Trust and investment management fees increased primarily due to business growth and favorable market conditions. Merchant processing services increased due to favorable rates, while card revenue increased due to higher credit card sales volume.

*Not meaningful

Effective January 1, 2026, the Company made changes and reclassifications to certain fee revenue items. Prior period balances have been conformed to current period presentation to reflect the reclassifications described below:

(a)'Corporate payment products revenue' has been renamed 'Corporate payment and treasury management revenue', and 'Service charges' has been renamed 'Lending and deposit-related fees'.

(b)Stored-value card revenue was reclassified from 'Card revenue' to 'Corporate payment and treasury management revenue'.

(c)Treasury management services revenue was reclassified from 'Lending and deposit-related fees' to 'Corporate payment and treasury management revenue'.

(d)Loan and leasing fees was reclassified from 'Capital markets revenue' to 'Lending and deposit-related fees'.

(e)Impact Finance tax credit investment syndication fee revenue and related fees was reclassified from 'Other' noninterest income to 'Capital markets revenue'.

(a)See Non-GAAP Financial Measures beginning on page 26.

Noninterest Expense Noninterest expense was $4.3 billion in the first quarter of 2026, representing an increase of $33 million (0.8 percent) from the first quarter of 2025. The increase from the prior year reflected higher technology and communications expense and marketing and business development expense, partially offset by lower other intangibles expense, compensation and employee benefits expense and other noninterest expense. Technology and communications expense increased primarily due to investments in product and technology development. Marketing and business development expense increased primarily due to increased initiatives. Compensation and employee benefits expense decreased primarily due to cost savings from operational efficiencies, partially offset by merit increases.

Income Tax Expense The provision for income taxes was $469 million (an effective rate of 19.4 percent) for the first quarter of 2026, compared with $443 million (an effective rate of 20.5 percent) for the first quarter of 2025.

Balance Sheet Analysis

Loans The Company’s loan portfolio was $399.8 billion at March 31, 2026, compared with $391.3 billion at December 31, 2025, an increase of $8.5 billion (2.2 percent). The increase was driven by higher commercial loans, residential mortgages and commercial real estate loans.

Commercial loans increased $5.9 billion (4.0 percent) at March 31, 2026, compared with December 31, 2025, primarily due to growth in corporate loans.

Residential mortgages held in the loan portfolio increased $1.4 billion (1.2 percent) at March 31, 2026, compared with December 31, 2025, driven by originations. Residential mortgages originated and placed in the Company’s loan portfolio include jumbo mortgages and branch-originated first lien home equity loans to borrowers with high credit quality.

Commercial real estate loans increased $1.1 billion (2.1 percent) at March 31, 2026, compared with December 31, 2025, primarily due to increased loan originations.

Other retail loans increased $453 million (1.1 percent) at March 31, 2026, compared with December 31, 2025, primarily due to higher revolving credit balances.

Credit card loans decreased $377 million (1.0 percent) at March 31, 2026, compared with December 31, 2025, primarily as a result of customers seasonally paying down balances.

The Company generally retains portfolio loans through maturity; however, the Company’s intent may change over time based upon various factors such as ongoing asset/liability management activities, assessment of product profitability, credit risk, liquidity needs, and capital implications. If the Company’s intent or ability to hold an existing portfolio loan changes, it is transferred to loans held for sale.

Loans Held for Sale Loans held for sale, consisting primarily of residential mortgages to be sold in the secondary market, were $2.9 billion at March 31, 2026, compared with $2.5 billion at December 31, 2025. The increase was driven by a higher level of mortgage loan closings in the first quarter of 2026, compared with the fourth quarter of 2025. Almost all of the residential mortgage loans the Company originates or purchases for sale follow guidelines that allow the loans to be sold into existing, highly liquid secondary markets, in particular in government agency transactions and to government sponsored enterprises (“GSEs”).

Investment Securities Investment securities totaled $168.9 billion at March 31, 2026, compared with $167.0 billion at December 31, 2025. The $1.9 billion (1.1 percent) increase was primarily due to net investment purchases, partially offset by an unfavorable change in net unrealized gains (losses) on available-for-sale investment securities.

The Company’s available-for-sale investment securities are carried at fair value with changes in fair value reflected in other comprehensive income (loss) unless a portion of a security’s unrealized loss is related to credit and an allowance for credit losses is necessary. At March 31, 2026, the Company’s net unrealized losses on available-for-sale investment securities were $4.7 billion ($3.5 billion net-of-tax), compared with net unrealized losses of $4.4 billion ($3.3 billion net-of-tax) at December 31, 2025. The unfavorable change in net unrealized gains (losses) was primarily due to decreases in the fair value of obligations of state and political subdivisions and mortgage-backed securities as a result of changes in interest rates. Gross unrealized losses on available-for-sale investment securities totaled $4.9 billion at March 31, 2026, compared

with $4.7 billion at December 31, 2025. When evaluating credit losses, the Company considers various factors such as the nature of the investment security, the credit ratings or financial condition of the issuer, the extent of the unrealized loss, expected cash flows of the underlying collateral, the existence of any government or agency guarantees, and market conditions. At March 31, 2026, the Company had no plans to sell securities with unrealized losses, and believed it was more likely than not that it would not be required to sell such securities before recovery of their amortized cost.

Refer to Notes 4 and 14 in the Notes to Consolidated Financial Statements for further information on investment securities.

Deposits Total deposits were $528.2 billion at March 31, 2026, compared with $522.2 billion at December 31, 2025. The $6.0 billion (1.1 percent) increase in total deposits was driven by increases in total savings deposits and noninterest-bearing deposits, partially offset by a decrease in time deposits. Savings account balances increased $6.1 billion (9.3 percent), driven by higher Consumer and Business Banking balances. Interest checking balances increased $772 million (0.6 percent), primarily due to higher Consumer and Business Banking balances, partially offset by lower Wealth, Corporate, Commercial and Institutional Banking balances. Money market deposit balances increased $678 million (0.4 percent), primarily due to higher Wealth, Corporate, Commercial and Institutional Banking balances, partially offset by lower Consumer and Business Banking balances. Noninterest-

bearing deposits increased $1.2 billion (1.4 percent) at March 31, 2026, compared with December 31, 2025, primarily driven by an increase in Treasury and Corporate Support balances. Time deposits decreased $2.8 billion (5.8 percent) at March 31, 2026, compared with December 31, 2025, driven by decreases across most business segments. Changes in time deposits are primarily related to those deposits managed as an alternative to other funding sources, based largely on relative pricing and liquidity characteristics.

Borrowings The Company utilizes both short-term and long-term borrowings as part of its asset/liability management and funding strategies. Short-term borrowings, which include federal funds purchased, commercial paper, repurchase agreements, borrowings secured by high-grade assets and other short-term borrowings, were $17.9 billion at March 31, 2026, compared with $17.2 billion at December 31, 2025. The $697 million (4.1 percent) increase in short-term borrowings was primarily due to higher repurchase agreement balances. Long-term debt was $61.4 billion at March 31, 2026, compared with $60.8 billion at December 31, 2025. The $597 million (1.0 percent) increase was primarily due to $2.6 billion of medium-term note issuances, $563 million of credit-linked bank note issuances and $157 million of bank note issuances, partially offset by a $3.0 billion decrease in Federal Home Loan Bank (“FHLB”) advances. Refer to the “Liquidity Risk Management” section for discussion of liquidity management of the Company.

(a)Information related to asset and mortgage-backed securities included above is presented based upon weighted-average maturities that take into account anticipated future prepayments.

(b)Information related to obligations of state and political subdivisions is presented based upon yield to first optional call date if the security is purchased at a premium, and yield to maturity if the security is purchased at par or a discount.

(c)Maturity calculations for obligations of state and political subdivisions are based on the first optional call date for securities with a fair value above par and the contractual maturity date for securities with a fair value equal to or below par.

(d)Amortized cost excludes portfolio level basis adjustments of $93 million at March 31, 2026 and $185 million at December 31, 2025.

(e)Weighted-average yields for obligations of state and political subdivisions are presented on a fully-taxable equivalent basis based on a federal income tax rate of 21 percent. Yields on investment securities are computed based on amortized cost balances, excluding any premiums or discounts recorded related to the transfer of investment securities at fair value from available-for-sale to held-to-maturity.