StockNews.AI
UCB
StockNews.AI
27 days

United Community Banks, Inc. Reports Second Quarter Earnings

1. UCB's Q2 2025 net income reached $78.7 million. 2. Diluted EPS increased to $0.63, up $0.09 year-over-year. 3. Loan growth was 4.2% annualized, indicating strong performance. 4. Provision for credit losses improved significantly to $11.8 million. 5. Efficient operations led to a decrease in the efficiency ratio.

Earnings
+0.83%Current Return
VS
+1.14%S&P 500
$31.2707/23 07:35 AM EDTEvent Start
$31.5307/24 02:10 PM EDTLatest Updated
40m saved
Insight
Article

FAQ

Why Bullish?

UCB's impressive financial performance reflects strong earnings growth, suggesting a positive market response. Historical trends indicate that significant EPS gains generally correlate with stock price increases.

How important is it?

The quarterly results reflect strong operational improvements and growth potential, making this news highly relevant to investors. UCB's strategic positioning may influence investor decisions favorably.

Why Short Term?

The positive earnings result and strategic acquisitions position UCB for near-term growth, likely elevating investor sentiment quickly. Prior instances, such as similar earnings reports, have led to immediate stock price appreciation.

Related Companies

PNCBACWFC
GREENVILLE, S.C., July 23, 2025 (GLOBE NEWSWIRE) -- United Community Banks, Inc. (NYSE: UCB) (United) today announced net income for the second quarter of 2025 of $78.7 million and pre-tax, pre-provision income of $112.3 million. Diluted earnings per share of $0.63 for the quarter represented an increase of $0.09 from the second quarter a year ago and an increase of $0.05 from the first quarter. On an operating basis, United’s diluted earnings per share of $0.66 were up 14% from the year-ago quarter. The primary drivers of the increased earnings per share year-over-year were higher net interest income and lower provision for credit losses, partly offset by a modest increase in noninterest expenses and lower noninterest income. United’s return on assets was 1.11%, or 1.16% on an operating basis. Return on common equity was 8.5% and return on tangible common equity on an operating basis was 12.3%. On a pre-tax, pre-provision basis, operating return on assets was 1.66% for the quarter. At quarter-end, tangible common equity to tangible assets was 9.45%, up 27 basis points from the first quarter. Chairman and CEO Lynn Harton stated, “This was a great quarter, with strong financial results and continued strategic accomplishments. Tangible book value per share grew by $0.42 and we successfully completed the acquisition of American National Bank on May 1. Excluding loans and deposits received from the American National Bank acquisition, loans grew by $194 million, or 4.2% annualized, while customer deposits, excluding the expected seasonal outflow of public funds, were up $64 million or 1.3% annualized. Second quarter loan growth was funded by cash flow from securities, creating a more favorable earning asset mix. Our net interest margin improved by 14 basis points, contributing to growth in our net interest income of $13.5 million when compared to the first quarter. Operating efficiency and operating leverage also both improved from the first quarter.” Net charge-offs were $8.2 million, or 0.18% of average loans, during the quarter, down 3 basis points from the first quarter. Nonperforming assets were 30 basis points relative to total assets, improved from 33 basis points for the first quarter. Provision for credit losses improved by $3.6 million from the first quarter, covering second quarter net charge-offs and loan growth while holding the allowance for credit losses steady at 1.21% of loans. The second quarter provision for credit losses included $2.5 million to establish an allowance on the acquired American National Bank loans, commonly referred to as the “double dip.” Harton continued, “This time of year is special in our culture, as we pause to celebrate our customers with our annual customer appreciation day. This year’s celebration was especially rewarding as we also acknowledged our 75th anniversary as a company. We continue to see great momentum in our business and look forward to many great years ahead.” Second Quarter 2025 Financial Highlights: EPS of $0.63 was up $0.09 on a GAAP basis compared to second quarter 2024, and EPS of $0.66 was up $0.08, or 14%, on an operating basis; EPS up $0.05 compared to the first quarter on a GAAP basis and up $0.07, or 12%, on an operating basisNet income of $78.7 million and pre-tax, pre-provision income of $112.3 million, up $7.3 million and $5.7 million, respectively, from the first quarterTotal revenue of $260 million improved $13 million, or 5%, from the first quarterNet interest margin of 3.50% increased by 14 basis points from the first quarter, reflecting a lower cost of funds and improving asset mixNoninterest income was down $948 thousand on a linked quarter basis mostly due to a $724 thousand loss on the redemption of $100 million in senior debtProvision for credit losses was $11.8 million, down $3.6 million from the first quarter; allowance for credit losses coverage held steady at 1.21% of total loans; net charge-offs were $8.2 million, or 18 basis points as a percent of average loans, an improvement of 3 basis points compared to the first quarterNoninterest expenses were up $6.8 million compared to the first quarter on a GAAP basis and up $3.3 million on an operating basis, of which approximately $1.2 million resulted from the acquisition of ANBEfficiency ratio of 56.7% on a GAAP basis, or 54.8% on an operating basis, improved both linked quarter and year over yearStrong loan production led to loan growth of $194 million, excluding loans from the ANB acquisition, up 4.2% annualized, from the first quarterMortgage closings of $285 million compared to $215 million in second quarter 2024; mortgage rate locks of $359 million compared to $295 million in second quarter 2024Customer deposits, excluding deposits from the ANB acquisition, were down $169 million from the first quarter, mostly due to seasonal public funds attrition. Excluding public funds and ANB, customer deposits were up $64 millionReturn on assets of 1.11%, or 1.16% on an operating basisReturn on common equity and return on tangible common equity on an operating basis improved from the first quarter to 8.5% and 12.3%, respectivelyMaintained strong capital ratios with preliminary Common Equity Tier 1 of 13.3%Quarterly common dividend of $0.24 per share declared during the quarter, up 4% year-over-year Conference Call United will hold a conference call on Wednesday, July 23 at 9:00 a.m. ET to discuss the contents of this press release and to share business highlights for the quarter. Participants can pre-register for the conference call by navigating to https://dpregister.com/sreg/10200766/ff6c2759d0. Those without internet access or unable to pre-register may dial in by calling 1-844-676-1337. Participants are encouraged to dial in 15 minutes prior to the call start time. The conference call also will be webcast and can be accessed by selecting “Events and Presentations” under “News and Events” within the Investor Relations section of the company's website, ucbi.com. UNITED COMMUNITY BANKS, INC.    Selected Financial Information    (in thousands, except per share data)      2025   2024  Second Quarter 2025 - 2024 Change For the Six Months Ended June 30, YTD 2025 - 2024 Change Second Quarter First Quarter Fourth Quarter Third Quarter Second Quarter   2025   2024  INCOME SUMMARY                 Interest revenue$347,365  $335,357  $344,962  $349,086  $346,965    $682,722  $683,693   Interest expense 121,834   123,336   134,629   139,900   138,265     245,170   275,844   Net interest revenue 225,531   212,021   210,333   209,186   208,700  8%  437,552   407,849  7%Noninterest income 34,708   35,656   40,522   8,091   36,556  (5)  70,364   76,143  (8)Total revenue 260,239   247,677   250,855   217,277   245,256  6   507,916   483,992  5 Provision for credit losses 11,818   15,419   11,389   14,428   12,235     27,237   25,134   Noninterest expenses 147,919   141,099   143,056   143,065   147,044  1   289,018   292,046  (1)Income before income tax expense 100,502   91,159   96,410   59,784   85,977  17   191,661   166,812  15 Income tax expense 21,769   19,746   20,606   12,437   19,362  12   41,515   37,566  11 Net income 78,733   71,413   75,804   47,347   66,615  18   150,146   129,246  16 Non-operating items 4,833   1,297   2,203   29,385   6,493     6,130   8,680   Income tax benefit of non-operating items (1,047)  (281)  (471)  (6,276)  (1,462)    (1,328)  (1,955)  Net income - operating (1)$82,519  $72,429  $77,536  $70,456  $71,646  15  $154,948  $135,971  14 Pre-tax pre-provision income (5)$112,320  $106,578  $107,799  $74,212  $98,212  14  $218,898  $191,946  14 PERFORMANCE MEASURES                 Per common share:                 Diluted net income - GAAP$0.63  $0.58  $0.61  $0.38  $0.54  17  $1.21  $1.05  15 Diluted net income - operating (1) 0.66   0.59   0.63   0.57   0.58  14   1.25   1.10  14 Cash dividends declared 0.24   0.24   0.24   0.24   0.23  4   0.48   0.46  4 Book value 28.89   28.42   27.87   27.68   27.18  6   28.89   27.18  6 Tangible book value (3) 21.00   20.58   20.00   19.66   19.13  10   21.00   19.13  10 Key performance ratios:                 Return on common equity - GAAP (2)(4) 8.45%  7.89%  8.40%  5.20%  7.53%    8.18%  7.34%  Return on common equity - operating (1)(2)(4) 8.87   8.01   8.60   7.82   8.12     8.45   7.73   Return on tangible common equity - operating (1)(2)(3)(4) 12.34   11.21   12.12   11.17   11.68     11.78   11.18   Return on assets - GAAP (4) 1.11   1.02   1.06   0.67   0.97     1.06   0.94   Return on assets - operating (1)(4) 1.16   1.04   1.08   1.01   1.04     1.10   0.99   Return on assets - pre-tax pre-provision, excluding non-operating items(1)(4)(5) 1.66   1.55   1.55   1.50   1.54     1.61   1.47   Net interest margin (fully taxable equivalent) (4) 3.50   3.36   3.26   3.33   3.37     3.43   3.28   Efficiency ratio - GAAP 56.69   56.74   56.05   65.51   59.70     56.71   60.08   Efficiency ratio - operating (1) 54.84   56.22   55.18   57.37   57.06     55.51   58.08   Equity to total assets 12.86   12.56   12.38   12.45   12.35     12.86   12.35   Tangible common equity to tangible assets (3) 9.45   9.18   8.97   8.93   8.78     9.45   8.78   ASSET QUALITY                 Nonperforming assets ("NPAs")$83,959  $93,290  $115,635  $114,960  $116,722  (28) $83,959  $116,722  (28)Allowance for credit losses - loans 216,500   211,974   206,998   205,290   213,022  2   216,500   213,022  2 Allowance for credit losses - total 228,045   223,201   217,389   215,517   224,740  1   228,045   224,740  1 Net charge-offs 8,225   9,607   9,517   23,651   11,614     17,832   24,522   Allowance for credit losses - loans to loans 1.14%  1.15%  1.14%  1.14%  1.17%    1.14%  1.17%  Allowance for credit losses - total to loans 1.21   1.21   1.20   1.20   1.23     1.21   1.23   Net charge-offs to average loans (4) 0.18   0.21   0.21   0.52   0.26     0.20   0.27   NPAs to total assets 0.30   0.33   0.42   0.42   0.43     0.30   0.43   AT PERIOD END ($ in millions)                 Loans$18,921  $18,425  $18,176  $17,964  $18,211  4  $18,921  $18,211  4 Investment securities 6,382   6,661   6,804   6,425   6,038  6   6,382   6,038  6 Total assets 28,086   27,874   27,720   27,373   27,057  4   28,086   27,057  4 Deposits 23,963   23,762   23,461   23,253   22,982  4   23,963   22,982  4 Shareholders’ equity 3,613   3,501   3,432   3,407   3,343  8   3,613   3,343  8 Common shares outstanding (thousands) 121,431   119,514   119,364   119,283   119,175  2   121,431   119,175  2  (1) Excludes non-operating items as detailed on Non-GAAP Performance Measures Reconciliation on next page. (2) Net income less preferred stock dividends, divided by average realized common equity, which excludes accumulated other comprehensive income (loss). (3) Excludes effect of acquisition related intangibles and associated amortization. (4) Annualized. (5) Excludes income tax expense and provision for credit losses. UNITED COMMUNITY BANKS, INC.              Non-GAAP Performance Measures Reconciliation(in thousands, except per share data)                 2025   2024  For the Six Months Ended June 30,  SecondQuarter First Quarter Fourth Quarter Third Quarter Second Quarter  2025   2024 Noninterest income reconciliation              Noninterest income (GAAP) $34,708  $35,656  $40,522  $8,091  $36,556  $70,364  $76,143 Loss on sale of manufactured housing loans  —   —   —   27,209   —   —   — Gain on lease termination  —   —   —   —   —   —   (2,400)Noninterest income - operating $34,708  $35,656  $40,522  $35,300  $36,556  $70,364  $73,743                Noninterest expense reconciliation              Noninterest expenses (GAAP) $147,919  $141,099  $143,056  $143,065  $147,044  $289,018  $292,046 Loss on FinTrust (goodwill impairment)  —   —   —   —   (5,100)  —   (5,100)FDIC special assessment  —   —   —   —   764   —   (1,736)Merger-related and other charges  (4,833)  (1,297)  (2,203)  (2,176)  (2,157)  (6,130)  (4,244)Noninterest expenses - operating $143,086  $139,802  $140,853  $140,889  $140,551  $282,888  $280,966                Net income to operating income reconciliation              Net income (GAAP) $78,733  $71,413  $75,804  $47,347  $66,615  $150,146  $129,246 Loss on sale of manufactured housing loans  —   —   —   27,209   —   —   — Gain on lease termination  —   —   —   —   —   —   (2,400)Loss on FinTrust (goodwill impairment)  —   —   —   —   5,100   —   5,100 FDIC special assessment  —   —   —   —   (764)  —   1,736 Merger-related and other charges  4,833   1,297   2,203   2,176   2,157   6,130   4,244 Income tax benefit of non-operating items  (1,047)  (281)  (471)  (6,276)  (1,462)  (1,328)  (1,955)Net income - operating $82,519  $72,429  $77,536  $70,456  $71,646  $154,948  $135,971                Net income to pre-tax pre-provision income reconciliation              Net income (GAAP) $78,733  $71,413  $75,804  $47,347  $66,615  $150,146  $129,246 Income tax expense  21,769   19,746   20,606   12,437   19,362   41,515   37,566 Provision for credit losses  11,818   15,419   11,389   14,428   12,235   27,237   25,134 Pre-tax pre-provision income $112,320  $106,578  $107,799  $74,212  $98,212  $218,898  $191,946                Diluted income per common share reconciliation              Diluted income per common share (GAAP) $0.63  $0.58  $0.61  $0.38  $0.54  $1.21  $1.05 Loss on sale of manufactured housing loans  —   —   —   0.18   —   —   — Gain on lease termination  —   —   —   —   —   —   (0.02)Loss on FinTrust (goodwill impairment)  —   —   —   —   0.03   —   0.03 FDIC special assessment  —   —   —   —   —   —   0.02 Merger-related and other charges  0.03   0.01   0.02   0.01   0.01   0.04   0.02 Diluted income per common share - operating $0.66  $0.59  $0.63  $0.57  $0.58  $1.25  $1.10                Book value per common share reconciliation              Book value per common share (GAAP) $28.89  $28.42  $27.87  $27.68  $27.18  $28.89  $27.18 Effect of goodwill and other intangibles  (7.89)  (7.84)  (7.87)  (8.02)  (8.05)  (7.89)  (8.05)Tangible book value per common share $21.00  $20.58  $20.00  $19.66  $19.13  $21.00  $19.13                Return on tangible common equity reconciliation              Return on common equity (GAAP)  8.45%  7.89%  8.40%  5.20%  7.53%  8.18%  7.34%Loss on sale of manufactured housing loans  —   —   —   2.43   —   —   — Gain on lease termination  —   —   —   —   —   —   (0.11)Loss on FinTrust (goodwill impairment)  —   —   —   —   0.46   —   0.23 FDIC special assessment  —   —   —   —   (0.07)  —   0.08 Merger-related and other charges  0.42   0.12   0.20   0.19   0.20   0.27   0.19 Return on common equity - operating  8.87   8.01   8.60   7.82   8.12   8.45   7.73 Effect of goodwill and other intangibles  3.47   3.20   3.52   3.35   3.56   3.33   3.45 Return on tangible common equity - operating  12.34%  11.21%  12.12%  11.17%  11.68%  11.78%  11.18%               Return on assets reconciliation              Return on assets (GAAP)  1.11%  1.02%  1.06%  0.67%  0.97%  1.06%  0.94%Loss on sale of manufactured housing loans  —   —   —   0.31   —   —   — Gain on lease termination  —   —   —   —   —   —   (0.01)Loss on FinTrust (goodwill impairment)  —   —   —   —   0.06   —   0.03 FDIC special assessment  —   —   —   —   (0.01)  —   0.01 Merger-related and other charges  0.05   0.02   0.02   0.03   0.02   0.04   0.02 Return on assets - operating  1.16%  1.04%  1.08%  1.01%  1.04%  1.10%  0.99%               Return on assets to return on assets- pre-tax pre-provision reconciliation              Return on assets (GAAP)  1.11%  1.02%  1.06%  0.67%  0.97%  1.06%  0.94%Income tax expense  0.31   0.29   0.30   0.19   0.29   0.30   0.28 Provision for credit losses  0.17   0.23   0.16   0.21   0.18   0.20   0.19 Loss on sale of manufactured housing loans  —   —   —   0.40   —   —   — Gain on lease termination  —   —   —   —   —   —   (0.02)Loss on FinTrust (goodwill impairment)  —   —   —   —   0.08   —   0.04 FDIC special assessment  —   —   —   —   (0.01)  —   0.01 Merger-related and other charges  0.07   0.01   0.03   0.03   0.03   0.05   0.03 Return on assets - pre-tax pre-provision - operating  1.66%  1.55%  1.55%  1.50%  1.54%  1.61%  1.47%               Efficiency ratio reconciliation              Efficiency ratio (GAAP)  56.69%  56.74%  56.05%  65.51%  59.70%  56.71%  60.08%Loss on sale of manufactured housing loans  —   —   —   (7.15)  —   —   — Gain on lease termination  —   —   —   —   —   —   0.29 Loss on FinTrust (goodwill impairment)  —   —   —   —   (2.07)  —   (1.05)FDIC special assessment  —   —   —   —   0.31   —   (0.36)Merger-related and other charges  (1.85)  (0.52)  (0.87)  (0.99)  (0.88)  (1.20)  (0.88)Efficiency ratio - operating  54.84%  56.22%  55.18%  57.37%  57.06%  55.51%  58.08%               Tangible common equity to tangible assets reconciliation              Equity to total assets (GAAP)  12.86%  12.56%  12.38%  12.45%  12.35%  12.86%  12.35%Effect of goodwill and other intangibles  (3.10)  (3.06)  (3.09)  (3.20)  (3.24)  (3.10)  (3.24)Effect of preferred equity  (0.31)  (0.32)  (0.32)  (0.32)  (0.33)  (0.31)  (0.33)Tangible common equity to tangible assets  9.45%  9.18%  8.97%  8.93%  8.78%  9.45%  8.78% UNITED COMMUNITY BANKS, INC.            Loan Portfolio Composition at Period-End              2025  2024  Linked Quarter Change Year over Year Change(in millions)Second Quarter First Quarter Fourth Quarter Third Quarter Second Quarter  LOANS BY CATEGORY             Owner occupied commercial RE$3,563 $3,419 $3,398 $3,323 $3,297  $144  $266 Income producing commercial RE 4,548  4,416  4,361  4,259  4,058   132   490 Commercial & industrial 2,516  2,506  2,428  2,313  2,299   10   217 Commercial construction 1,752  1,681  1,656  1,785  2,014   71   (262)Equipment financing 1,778  1,723  1,663  1,603  1,581   55   197 Total commercial 14,157  13,745  13,506  13,283  13,249   412   908 Residential mortgage 3,210  3,218  3,232  3,263  3,266   (8)  (56)Home equity 1,180  1,099  1,065  1,015  985   81   195 Residential construction 174  171  178  189  211   3   (37)Manufactured housing (1) —  —  2  2  321   —   (321)Consumer 191  183  186  188  183   8   8 Other 9  9  7  24  (4)  —   13  Total loans$18,921 $18,425 $18,176 $17,964 $18,211  $496  $710               LOANS BY MARKET             Georgia$4,551 $4,484 $4,447 $4,470 $4,411  $67  $140 South Carolina 2,872  2,821  2,815  2,782  2,779   51   93 North Carolina 2,626  2,666  2,644  2,586  2,591   (40)  35 Tennessee 1,881  1,880  1,799  1,848  2,144   1   (263)Florida 2,966  2,572  2,527  2,423  2,407   394   559 Alabama 1,016  1,009  996  996  1,021   7   (5)Commercial Banking Solutions 3,009  2,993  2,948  2,859  2,858   16   151 Total loans$18,921 $18,425 $18,176 $17,964 $18,211  $496  $710  (1) For 2025 periods, manufactured housing loans are included with consumer loans. UNITED COMMUNITY BANKS, INC.            Credit Quality            (in thousands)               2025  2024        Second Quarter First Quarter Fourth Quarter      NONACCRUAL LOANS            Owner occupied RE $8,207 $8,949 $11,674      Income producing RE  14,624  16,536  25,357      Commercial & industrial  15,422  22,396  29,339      Commercial construction  1,368  5,558  7,400      Equipment financing  11,731  8,818  8,925      Total commercial  51,352  62,257  82,695      Residential mortgage  22,597  22,756  24,615      Home equity  4,093  4,091  4,630      Residential construction  1,203  811  57      Manufactured housing (2)  —  —  1,444      Consumer  1,207  1,423  138       Total nonaccrual loans  80,452  91,338  113,579      OREO and repossessed assets  3,507  1,952  2,056      Total NPAs $83,959 $93,290 $115,635          2025   2024   Second Quarter First Quarter Fourth Quarter(in thousands) Net Charge-Offs Net Charge-Offs to Average Loans (1) Net Charge-Offs Net Charge-Offs to Average Loans (1) Net Charge-Offs Net Charge-Offs to Average Loans (1)NET CHARGE-OFFS (RECOVERIES) BY CATEGORY            Owner occupied RE $470  0.05% $126  0.02% $(184) (0.02)%Income producing RE  933  0.08   718  0.07   (1,001) (0.09)Commercial & industrial  1,027  0.16   2,447  0.40   4,075  0.69 Commercial construction  89  0.02   (138) (0.03)  2  — Equipment financing  4,963  1.16   5,042  1.21   5,812  1.43 Total commercial  7,482  0.22   8,195  0.24   8,704  0.26 Residential mortgage  313  0.04   (1) —   145  0.02 Home equity  (72) (0.03)  (62) (0.02)  (33) (0.01)Residential construction  (9) (0.02)  219  0.51   7  0.02 Manufactured housing (2)  —  —   —  —   114  23.41 Consumer  511  1.11   1,256  2.76   580  1.24  Total $8,225  0.18  $9,607  0.21  $9,517  0.21              (1) Annualized.            (2) For 2025 periods, manufactured housing loans are included with consumer loans. UNITED COMMUNITY BANKS, INC.Consolidated Balance Sheets (Unaudited) (in thousands, except share and per share data) June 30,2025 December 31,2024ASSETS    Cash and due from banks $201,509  $296,161 Interest-bearing deposits in banks  359,492   223,712 Federal funds and other short-term investments  13,955   — Cash and cash equivalents  574,956   519,873 Debt securities available-for-sale  4,075,323   4,436,291 Debt securities held-to-maturity (fair value $1,935,748 and $1,944,126, respectively)  2,306,730   2,368,107 Loans held for sale  37,143   57,534 Loans and leases held for investment  18,920,875   18,175,980 Less allowance for credit losses - loans and leases  (216,500)  (206,998)Loans and leases, net  18,704,375   17,968,982 Premises and equipment, net  396,479   394,264 Bank owned life insurance  362,201   346,234 Goodwill and other intangible assets, net  974,385   956,643 Other assets  653,929   672,330 Total assets $28,085,521  $27,720,258 LIABILITIES AND SHAREHOLDERS' EQUITY    Liabilities:    Deposits:    Noninterest-bearing demand $6,381,975  $6,211,182 NOW and interest-bearing demand  5,986,049   6,141,342 Money market  6,603,556   6,398,144 Savings  1,228,971   1,100,591 Time  3,606,511   3,441,424 Brokered  155,950   168,292 Total deposits  23,963,012   23,460,975 Short-term borrowings  —   195,000 Long-term debt  155,143   254,152 Accrued expenses and other liabilities  354,442   378,004 Total liabilities  24,472,597   24,288,131 Shareholders' equity:    Preferred stock; $1 par value; 10,000,000 shares authorized; 3,662 shares Series I issued and outstanding; $25,000 per share liquidation preference  88,266   88,266 Common stock, $1 par value; 200,000,000 shares authorized,   121,431,262 and 119,364,110 shares issued and outstanding, respectively  121,431   119,364 Common stock issuable; 592,256 and 600,168 shares, respectively  13,190   12,999 Capital surplus  2,764,617   2,710,279 Retained earnings  802,590   714,138 Accumulated other comprehensive loss  (177,170)  (212,919)Total shareholders' equity  3,612,924   3,432,127 Total liabilities and shareholders' equity $28,085,521  $27,720,258  UNITED COMMUNITY BANKS, INC.Consolidated Statements of Income (Unaudited)   Three Months EndedJune 30, Six Months EndedJune 30,(in thousands, except per share data)  2025  2024  2025  2024Interest revenue:        Loans, including fees $288,284 $291,595 $562,340 $575,578Investment securities, including tax exempt of $1,671, $1,699, $3,349 and $3,420, respectively  55,862  50,063  114,712  96,499Deposits in banks and short-term investments  3,219  5,307  5,670  11,616Total interest revenue  347,365  346,965  682,722  683,693         Interest expense:        Deposits:        NOW and interest-bearing demand  36,956  43,910  74,346  90,121Money market  49,603  53,531  99,144  104,009Savings  1,457  687  2,081  1,393Time  31,120  36,334  62,499  72,723Deposits  119,136  134,462  238,070  268,246Short-term borrowings  83  60  1,190  60Federal Home Loan Bank advances  —  —  433  —Long-term debt  2,615  3,743  5,477  7,538Total interest expense  121,834  138,265  245,170  275,844Net interest revenue  225,531  208,700  437,552  407,849         Noninterest income:        Service charges and fees  10,122  10,620  19,657  19,884Mortgage loan gains and other related fees  5,370  6,799  11,492  14,310Wealth management fees  4,400  6,386  8,865  12,699Net gains from sales of other loans  1,995  1,296  3,391  2,833Lending and loan servicing fees  3,690  3,328  7,855  7,538Securities gains, net  286  —  292  —Other  8,845  8,127  18,812  18,879Total noninterest income  34,708  36,556  70,364  76,143Total revenue  260,239  245,256  507,916  483,992         Provision for credit losses  11,818  12,235  27,237  25,134         Noninterest expenses:        Salaries and employee benefits  86,997  85,818  171,264  170,803Communications and equipment  13,332  11,988  27,031  23,908Occupancy  10,935  11,056  21,864  22,155Advertising and public relations  2,881  2,459  4,762  4,360Postage, printing and supplies  2,495  2,251  5,056  4,899Professional fees  5,609  6,044  11,540  12,032Lending and loan servicing expense  2,330  2,014  4,317  3,841Outside services - electronic banking  3,570  2,812  6,333  5,730FDIC assessments and other regulatory charges  4,745  4,467  9,387  12,033Amortization of intangibles  3,292  3,794  6,578  7,681Merger-related and other charges  4,833  2,157  6,130  4,244Other  6,900  12,184  14,756  20,360Total noninterest expenses  147,919  147,044  289,018  292,046Income before income taxes  100,502  85,977  191,661  166,812Income tax expense  21,769  19,362  41,515  37,566Net income  78,733  66,615  150,146  129,246Preferred stock dividends  1,573  1,573  3,146  3,146Earnings allocated to participating securities  438  368  850  713Net income available to common shareholders $76,722 $64,674 $146,150 $125,387         Net income per common share:        Basic $0.63 $0.54 $1.21 $1.05Diluted  0.63  0.54  1.21  1.05Weighted average common shares outstanding:        Basic  121,377  119,726  120,714  119,694Diluted  121,432  119,785  120,820  119,763 UNITED COMMUNITY BANKS, INC.Average Consolidated Balance Sheets and Net Interest AnalysisFor the Three Months Ended June 30,    2025   2024 (dollars in thousands, fully taxable equivalent (FTE)) Average Balance Interest Average Rate Average Balance Interest Average RateAssets:            Interest-earning assets:            Loans, net of unearned income (FTE) (1)(2) $18,664,228  $288,023 6.19% $18,213,384  $291,378 6.43%Taxable securities (3)  6,492,288   54,191 3.34   5,952,414   48,364 3.25 Tax-exempt securities (FTE) (1)(3)  354,162   2,236 2.53   363,393   2,273 2.50 Federal funds sold and other interest-earning assets  451,953   3,898 3.46   499,565   6,011 4.84 Total interest-earning assets (FTE)  25,962,631   348,348 5.38   25,028,756   348,026 5.59              Noninterest-earning assets:            Allowance for credit losses  (220,059)      (215,104)    Cash and due from banks  203,909       204,792     Premises and equipment  398,241       392,325     Other assets (3)  1,637,125       1,605,558     Total assets $27,981,847      $27,016,327                  Liabilities and Shareholders' Equity:            Interest-bearing liabilities:            Interest-bearing deposits:            NOW and interest-bearing demand $6,051,489   36,956 2.45  $5,866,038   43,910 3.01 Money market  6,645,336   49,603 2.99   6,068,530   53,531 3.55 Savings  1,195,295   1,457 0.49   1,160,708   687 0.24 Time  3,532,848   30,596 3.47   3,544,327   35,695 4.05 Brokered time deposits  50,488   524 4.16   50,323   639 5.11 Total interest-bearing deposits  17,475,456   119,136 2.73   16,689,926   134,462 3.24 Federal funds purchased and other borrowings  7,412   83 4.49   4,093   60 5.90 Federal Home Loan Bank advances  —   — —   —   — — Long-term debt  237,992   2,615 4.41   324,870   3,743 4.63 Total borrowed funds  245,404   2,698 4.41   328,963   3,803 4.65 Total interest-bearing liabilities  17,720,860   121,834 2.76   17,018,889   138,265 3.27              Noninterest-bearing liabilities:            Noninterest-bearing deposits  6,351,540       6,283,487     Other liabilities  346,643       400,974     Total liabilities  24,419,043       23,703,350     Shareholders' equity  3,562,804       3,312,977     Total liabilities and shareholders' equity $27,981,847      $27,016,327                  Net interest revenue (FTE)   $226,514     $209,761  Net interest-rate spread (FTE)     2.62%     2.32%Net interest margin (FTE) (4)     3.50%     3.37% (1)   Interest revenue on tax-exempt securities and loans includes a taxable-equivalent adjustment to reflect comparable interest on taxable securities and loans. The FTE adjustment totaled $983,000 and $1.06 million, respectively, for the three months ended June 30, 2025 and 2024. The tax rate used to calculate the adjustment was 25%, reflecting the statutory federal income tax rate and the federal tax adjusted state income tax rate.(2)   Included in the average balance of loans outstanding are loans on which the accrual of interest has been discontinued and loans that are held for sale.(3)   Unrealized gains and losses on AFS securities, including those related to the transfer from AFS to HTM, have been reclassified to other assets. Pretax unrealized losses of $240 million in 2025 and $344 million in 2024 are included in other assets for purposes of this presentation.(4)   Net interest margin is taxable equivalent net interest revenue divided by average interest-earning assets. UNITED COMMUNITY BANKS, INC.Average Consolidated Balance Sheets and Net Interest AnalysisFor the Six Months Ended June 30,    2025   2024 (dollars in thousands, fully taxable equivalent (FTE)) Average Balance Interest Average Rate Average Balance Interest Average RateAssets:            Interest-earning assets:            Loans, net of unearned income (FTE) (1)(2) $18,440,110  $561,953 6.15% $18,256,562  $575,338 6.34%Taxable securities (3)  6,614,294   111,363 3.37   5,890,408   93,079 3.16 Tax-exempt securities (FTE) (1)(3)  355,430   4,481 2.52   364,873   4,584 2.51 Federal funds sold and other interest-earning assets  426,415   6,899 3.26   587,080   12,816 4.39 Total interest-earning assets (FTE)  25,836,249   684,696 5.34   25,098,923   685,817 5.49              Non-interest-earning assets:            Allowance for loan losses  (215,141)      (214,050)    Cash and due from banks  211,681       212,998     Premises and equipment  397,347       389,173     Other assets (3)  1,623,689       1,611,928     Total assets $27,853,825      $27,098,972                  Liabilities and Shareholders' Equity:            Interest-bearing liabilities:            Interest-bearing deposits:            NOW and interest-bearing demand $6,092,519   74,346 2.46  $5,972,065   90,121 3.03 Money market  6,614,819   99,144 3.02   5,966,374   104,009 3.51 Savings  1,146,075   2,081 0.37   1,176,768   1,393 0.24 Time  3,489,687   61,427 3.55   3,570,407   71,639 4.03 Brokered time deposits  50,468   1,072 4.28   50,333   1,084 4.33 Total interest-bearing deposits  17,393,568   238,070 2.76   16,735,947   268,246 3.22 Federal funds purchased and other borrowings  43,883   1,190 5.47   2,054   60 5.87 Federal Home Loan Bank advances  19,343   433 4.51   2   — — Long-term debt  246,061   5,477 4.49   324,854   7,538 4.67 Total borrowed funds  309,287   7,100 4.63   326,910   7,598 4.67 Total interest-bearing liabilities  17,702,855   245,170 2.79   17,062,857   275,844 3.25              Noninterest-bearing liabilities:            Noninterest-bearing deposits  6,273,313       6,340,783     Other liabilities  358,227       395,713     Total liabilities  24,334,395       23,799,353     Shareholders' equity  3,519,430       3,299,619     Total liabilities and shareholders' equity $27,853,825      $27,098,972                  Net interest revenue (FTE)   $439,526     $409,973  Net interest-rate spread (FTE)     2.55%     2.24%Net interest margin (FTE) (4)     3.43%     3.28%              (1)   Interest revenue on tax-exempt securities and loans includes a taxable-equivalent adjustment to reflect comparable interest on taxable securities and loans. The FTE adjustment totaled $1.97 million and $2.12 million, respectively, for the six months ended June 30, 2025 and 2024. The tax rate used to calculate the adjustment was 25%, reflecting the statutory federal income tax rate and the federal tax adjusted state income tax rate.(2)   Included in the average balance of loans outstanding are loans on which the accrual of interest has been discontinued and loans that are held for sale.(3)   Unrealized gains and losses on AFS securities, including those related to the transfer from AFS to HTM, have been reclassified to other assets. Pretax unrealized losses of $254 million in 2025 and $333 million in 2024 are included in other assets for purposes of this presentation.(4)   Net interest margin is taxable equivalent net-interest revenue divided by average interest-earning assets. About United Community Banks, Inc.United Community Banks, Inc. (NYSE: UCB) is the financial holding company for United Community, a top 100 U.S. financial institution committed to building stronger communities and improving the financial health and well-being of its customers. United Community offers a full range of banking, mortgage and wealth management services. As of June 30, 2025, United Community Banks, Inc. had $28.1 billion in assets and operated 200 offices across Alabama, Florida, Georgia, North Carolina, South Carolina and Tennessee. The company also manages a nationally recognized SBA lending franchise and a national equipment finance subsidiary, extending its reach to businesses across the country. United is an 11-time winner of J.D. Power’s award for highest customer satisfaction among consumer banks in the Southeast and was named the most trusted bank in the region in 2025. The company has also been recognized eight consecutive years by American Banker as one of the “Best Banks to Work For.” In commercial banking, United earned five 2025 Greenwich Best Brand awards, including national honors for middle market satisfaction. Forbes has consistently named United among the World’s Best and America’s Best Banks. Learn more at ucbi.com. Non-GAAP Financial MeasuresThis press release, including the accompanying financial statement tables, contains financial information determined by methods other than in accordance with generally accepted accounting principles, or GAAP. This financial information includes certain operating performance measures, which exclude merger-related and other charges that are not considered part of recurring operations, such as “noninterest income – operating”, “noninterest expense - operating”, “operating net income,” “pre-tax, pre-provision income,” “operating net income per diluted common share,” “operating earnings per share,” “tangible book value per common share,” “operating return on common equity,” “operating return on tangible common equity,” “operating return on assets,” “return on assets - pre-tax, pre-provision - operating,” “return on assets - pre-tax, pre-provision,” “operating efficiency ratio,” and “tangible common equity to tangible assets.” These non-GAAP measures are included because United believes they may provide useful supplemental information for evaluating United’s underlying performance trends. These measures should be viewed in addition to, and not as an alternative to or substitute for, measures determined in accordance with GAAP, and are not necessarily comparable to non-GAAP measures that may be presented by other companies. To the extent applicable, reconciliations of these non-GAAP measures to the most directly comparable measures as reported in accordance with GAAP are included with the accompanying financial statement tables. Caution About Forward-Looking Statements This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In general, forward-looking statements usually may be identified through use of words such as “may,” “believe,” “expect,” “anticipate,” “intend,” “will,” “should,” “plan,” “estimate,” “predict,” “continue” and “potential,” or the negative of these terms or other comparable terminology. Forward-looking statements are not historical facts and represent management’s beliefs, based upon information available at the time the statements are made, with regard to the matters addressed; they are not guarantees of future performance. Actual results may prove to be materially different from the results expressed or implied by the forward-looking statements. Forward-looking statements are subject to numerous assumptions, risks and uncertainties that change over time and could cause actual results or financial condition to differ materially from those expressed in or implied by such statements. Factors that could cause or contribute to such differences include, but are not limited to general competitive, economic, political, regulatory and market conditions. Further information regarding additional factors which could affect the forward-looking statements contained in this press release can be found in the cautionary language included under the headings “Cautionary Note Regarding Forward-Looking Statements” and “Risk Factors” in United’s Annual Report on Form 10-K for the year ended December 31, 2024, and other documents subsequently filed by United with the United States Securities and Exchange Commission (“SEC”). Many of these factors are beyond United’s ability to control or predict. If one or more events related to these or other risks or uncertainties materialize, or if the underlying assumptions prove to be incorrect, actual results may differ materially from the forward-looking statements. Accordingly, shareholders and investors should not place undue reliance on any such forward-looking statements. Any forward-looking statement speaks only as of the date of this communication, and United undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. New risks and uncertainties may emerge from time to time, and it is not possible for United to predict their occurrence or how they will affect United. United qualifies all forward-looking statements by these cautionary statements. For more information:Jefferson HarralsonChief Financial Officer(864) 240-6208Jefferson_Harralson@ucbi.com

Related News