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U.S. Bancorp (USB) - Get U.S. Bancorp Report posted better-than-expected third quarter earnings Wednesday as loan and deposit growth, as well as robust mortgage activity, offset a low interest rate environment for the Minneapolis-based lender.

U.S. Bancorp said earnings for the three months ending in September came in at $1.15 per share, up 8.5% from the same period last year and four cents ahead of the Street consensus forecast. Group revenues, U.S. Bancorp said, rose 4% to $5.9 billion, just ahead of analysts' estimates of a $5.8 billion tally.

"Despite a challenging interest rate environment, we posted record revenue, net income and earnings per share in the third quarter, delivered industry leading returns on assets and equity, and grew our book value by over 10% from a year earlier," said CEO Andy Cecere.

"As we head into the final quarter of 2019, we feel good about our opportunity to gain market share across our franchise and our ability to prudently manage our operating expenses even as we invest in our digital capabilities and key business initiatives," he added. 

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U.S. Bancorp shares were marked 2.9% higher at the start of trading following the earnings release to change hands at $55.33 each, a move that would extend the stock's year-to-date gain to around 20%.