U.S. Bank CEO breaks down top priorities, including AI-native efforts
Technology and communications expense grew 7.5% YoY to $573 million
U.S. Bank Chief Executive Gunjan Kedia is prioritizing revenue growth, strengthening its consumer and small business franchise, and becoming AI-native.
“We’re very focused on what AI can do,” Kedia said during today’s first-quarter earnings call.
For example, in Q1 the bank partnered with AI-native platform Built to streamline construction lending, the bank announced March 31.
Consumer, SMB efforts
To strengthen its consumer and small business efforts, the bank recently announced these deals:
- On April 7, it announced a partnership with the NFL for banking and wealth management; and
- On March 31, the bank and Amazon announced a new Prime Business Card and Amazon Business Card for small business clients.
While these partnerships will support growth, the bank has already shown improved efficiency and operating leverage over the past several quarters, Chief Financial Officer John Stern, said during the earnings call.
In fact, the bank’s efficiency ratio was 58.2%, compared with 60.8% during the corresponding period last year, according to its earnings supplement.
The U.S. Bank’s efficiency ratio has improved over time:
| Quarter/Year | Efficiency ratio |
| Q1 2026 | 58.2% |
| Q1 2025 | 60.8% |
| Q1 2024 | 66.4% |
| Q1 2023 | 63.2% |
The bank has also reported positive operating leverage for the past seven quarters, a trend that is expected to continue, John said.
“Looking ahead, we see opportunities to build on our strong operating leverage story, supported in part by the ongoing deployment of AI and other automation tools to improve efficiency,” John said.
By the numbers
U.S. Bank reported in Q1:
- Revenue increased 4.7% YoY to $7.3 billion; and
- Technology and communication expenses grew 7.5% YoY to $573 million.
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