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U.S. Bancorp's profit beats on higher rates

July 19 (Reuters) - U.S. Bancorp reported a better-than-expected quarterly profit on Wednesday as the largest U.S. regional bank benefited from higher interest rates, following rate increases by the Federal Reserve.

The Minneapolis-based bank's net interest income rose 8.5 percent to $3.5 billion in the second quarter ended June 30.

However, net income attributable to common shareholders was nearly flat at $1.43 billion.

Earnings per share rose to 85 cents from 83 cents a year earlier.

Analysts had expected a profit of 84 cents per share, according to Thomson Reuters I/B/E/S.

Mortgage banking revenue fell nearly 11 percent to $212 million.

Banks in the United States received a much-needed boost from the Federal Reserve raising overnight interest rates. The Fed has raised rates three times since the second quarter of last year, with latest increase coming in June. (Reporting by Diptendu Lahiri in Bengaluru; Editing by Sriraj Kalluvila)