Atlantic Union Bankshares Corporation · NYSE:AUB
Atlantic Union Bankshares — Shareholder Meeting (May 2025)
31 slides from Atlantic Union Bankshares's shareholder meeting presentation, May 6, 2025
Slide 1: Annual Shareholders' Meeting
Annual Shareholders’ Meeting NYSE: AUB MAY 6, 2025
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation and statements by our management may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that include, without limitation, statements regarding our r
Slide 3: Additional Information
ADDITIONAL INFORMATION Non-GAAP Financial Measures No Offer or Solicitation This presentation contains certain financial information determined by methods other than This presentation does not constitute an offer to sell or a solicitation of an offer to buy any in accordance with generally accepted
Slide 4: Pro Forma and Market and Industry Data
PRO FORMA AND MARKET AND INDUSTRY DATA Pro Forma Data Further, neither the pro forma nor the pro forma forward-looking financial data has been prepared in accordance with Article 11 of Regulation S-X, and, therefore, does not reflect any Neither Atlantic Union’s nor Sandy Spring’s independent regist
Slide 5: Our Company Pro Forma Combined Basis
OUR COMPANY Pro Forma Combined Basis Soundness | Profitability | Growth M a ry l a n d BALTIMORE WASHINGTON Largest Regional Bank Headquartered in the Lower Mid-Atlantic FREDERICKSBURG STAUNTON V i rg i n i a HIGHLIGHTS 1 CHARLOTTESVILLE $38 Billion $30 Billion $32 Billion ROANOKE RICHMOND NORFOLK A
Slide 6: Our Shareholder Value Proposition
OUR SHAREHOLDER LEADING REGIONAL PRESENCE Dense, uniquely valuable presence across attractive markets VALUE PROPOSITION ATTRACTIVE FINANCIAL PROFILE FINANCIAL STRENGTH Solid balance sheet & Solid dividend yield capital levels & payout ratio with earnings upside PEER-LEADING STRONG GROWTH PERFORMANCE
Slide 7: Our Core Values
OUR CORE VALUES Culture — HOW we come together and interact as a team to accomplish our business and societal goals. CARING COURAGEOUS COMMITTED Working together toward Speaking openly, honestly Driven to help our clients, common goals, acting with and accepting our challenges Teammates and company
Slide 8: We Are Focused on Three Strategic Priorities
WE ARE FOCUSED ON THREE STRATEGIC PRIORITIES ORGANIC INORGANIC DELIVER ORGANIC GROWTH INNOVATE AND TRANSFORM STRATEGIC INVESTMENTS • Overweighting opportunities in Wholesale • Pressing the relationship model advantage • Leverage FinTech partnerships, strategic partner Banking Group where bankers pro
Slide 9: AUB Franchise Perspectives
AUB FRANCHISE PERSPECTIVES Including Sandy Spring franchise footprint
Slide 10: AUB Total Shareholder Return Relative to KRX Index
AUB TOTAL SHAREHOLDER RETURN RELATIVE TO KRX INDEX Since May 7, 2024 AUB TOTAL SHAREHOLDER RETURN RELATIVE TO KRX INDEX (INDEXED TO 100) 140 130 120 110 100 90 80 70 60 5/24 6/24 7/24 8/24 9/24 10/24 11/24 12/24 1/25 2/25 3/25 4/25 5/25 AUB KRX Index Source: Capital IQ 10
Slide 11: Among the Most Attractive States in USA for Business
AMONG THE MOST ATTRACTIVE Ranked Virginia the Best State for Business for 2024, 2021 and 2020 and 2nd best in 2023 STATES IN USA FOR BUSINESS North Carolina ranked 2nd best in 2024 and best in 2023 Maryland ranked 8th for Technology and Innovation in 2024 MEDIAN HOUSEHOLD INCOME ($) 2024 POPULATION
Slide 12: Among the Most Attractive Markets in USA
AMONG THE MOST ATTRACTIVE MARKETS IN USA LOWEST UNEMPLOYMENT RATES FOR LARGE METRO AREAS March 2025 March 2025 # Metro Area # Metro Area Rate % Rate % 1 Urban Honolulu 2.3 11 Richmond 3.4 Within Virginia, Maryland and North Carolina, we 2 Nashville Davidson Franklin 2.7 11 Austin 3.4 operate in stro
Slide 13: Federal Reserve Bank of Richmond Tariff Analysis of 5th District
FEDERAL RESERVE BANK OF RICHMOND TARIFF ANALYSIS OF 5th DISTRICT • As of April 9, tariffs are not expected to have a disproportionate impact on AUB’s markets. FIGURE 4C: AVERAGE EFFECTIVE TARIFF RATE BY COUNTY SCENARIO 2, FIFTH FEDERAL RESERVE DISTRICT • Industries directly impacted by higher tariff
Slide 14: Financial Results
FINANCIAL RESULTS Full Year 2024 and First Quarter 2025
Slide 15: 2024 Financial Results
2024 FINANCIAL RESULTS SUMMARIZED INCOME STATEMENT FULL YEAR 2024 FINANCIAL HIGHLIGHTS (Dollars in thousands, except outstanding share and per share amounts) Net income available to common shareholders for 2024 was Adjusted operating earnings available to common shareholders1 For the year ended $197
Slide 16: Strong Track Record of Performance (GAAP)
STRONG TRACK RECORD OF PERFORMANCE (GAAP) EARNINGS PER SHARE, DILUTED AVAILABLE TO COMMON SHAREHOLDERS ($) RETURN ON EQUITY (ROE) (%) $3.26 $2.97 $2.53 $2.24 9.68% 9.51% $1.93 8.27% 7.04% 6.14% 6.35% $0.52 2020 2021 2022 2023 2024 Q1 2025 2020 2021 2022 2023 2024 1Q 2025 RETURN ON ASSETS (ROA) (%) E
Slide 17: Strong Track Record of Performance (Non-GAAP)
STRONG TRACK RECORD OF PERFORMANCE (NON-GAAP) ADJUSTED OPERATING RETURN ADJUSTED OPERATING RETURN ON ADJUSTED OPERATING ON TANGIBLE COMMON EQUITY (ROTCE %) 1 ASSETS (ROA %) 1 EFFICIENCY RATIO (FTE %) 1 18.07% 54.52% 54.68% 17.06% 17.21% 16.12% 1.43% 54.15% 12.64% 1.16% 1.14% 53.31% 0.94% 1.06% 52.18
Slide 18: First Quarter 2025 Financial Results
FIRST QUARTER 2025 FINANCIAL RESULTS FIRST QUARTER 2025 FINANCIAL HIGHLIGHTS SUMMARIZED INCOME STATEMENT (Dollars in thousands, except outstanding share and per share amounts) Net income available to common shareholders for the first Adjusted operating earnings available to common For the three mont
Slide 19: Strong Capital Position
STRONG CAPITAL POSITION CAPITAL MANAGEMENT STRATEGY ATLANTIC UNION CAPITAL MANAGEMENT At March 31, 2025 OBJECTIVES ARE TO: • Maintain designation as a “well capitalized” PRO FORMA INCLUDING AOCI institution. REPORTED & HTM UNREALIZED LOSSES REGULATORY • Ensure capital levels are commensurate with WE
Slide 20: Sandy Spring Merger Update
SANDY SPRING MERGER UPDATE
Slide 21: Increasing Scale with Sandy Spring
INCREASING SCALE WITH SANDY SPRING TOTAL PRO FORMA ASSETS 1 PRO FORMA LOANS HFI 1 PRO FORMA DEPOSITS 1 ($ BILLIONS) ($ BILLIONS) ($ BILLIONS) $38.4 $27.9 / $29.9 $31.7 $13.8 Loans to $24.6 $2.0 be sold $11.2 $9.5 $20.4 $18.5 $24.6 $18.4 $20.5 4Q'24 1Q'25 4Q'24 1Q'25 4Q'24 1Q'25 PRO FORMA WEALTH AUM
Slide 22: Acquisition of Sandy Spring Was Successfully Closed on April 1, 2025
ACQUISITION OF SANDY SPRING WAS SUCCESSFULLY CLOSED ON APRIL 1, 2025 • Transaction was closed on April 1st ACCELERATION OF TRANSACTION CLOSING • Expeditiously received regulatory and shareholder approvals; closed more than 1 quarter earlier than expected as of the October 2024 announcement date • Fo
Slide 23: Financially Compelling Transaction Pro Forma Company
FINANCIALLY COMPELLING TRANSACTION Pro Forma Company 1 SHARE HOLDE R V ALUE P ROP OSITION LEADING REGIONAL PRESENCE $11.2 Billion 183 #1 Dense, uniquely valuable presence across attractive markets Deposits added in Northern Virginia, Pro Forma Branches Largest Regional Bank in Mid-Atlantic2 Maryland
Slide 24: 2025 Financial Outlook
2025 FINANCIAL OUTLOOK1 KEY ASSUMPTIONS1 • 2025 outlook includes nine months Inclusive of Sandy Spring beginning April 1st impact of the Sandy Spring acquisition in results FULL YEAR 2025 OUTLOOK1 • Assumes the proposed CRE loan sale closes by June 30, 2025 Loans (end of period) $28.0 – 29.0 billion
Slide 25: Appendix
APPENDIX 2025 Annual Shareholders’ Meeting
Slide 26: Reconciliation of Non-GAAP Disclosures
RECONCILIATION OF NON-GAAP DISCLOSURES We have provided supplemental performance measures determined by methods other than in accordance with GAAP. These non-GAAP financial measures are a supplement to GAAP, which we use to prepare our financial statements, and should not be considered in isolation
Slide 27: Reconciliation of Non-GAAP Disclosures
RECONCILIATION OF NON-GAAP DISCLOSURES Adjusted operating measures exclude, as applicable, ADJUSTED OPERATING EARNINGS & FINANCIAL METRICS merger-related costs, FDIC special assessments, legal reserves associated with our previously disclosed For the three months ended For the years ended settlement
Slide 28: Reconciliation of Non-GAAP Disclosures
RECONCILIATION OF NON-GAAP DISCLOSURES Tangible assets and tangible common equity are used ADJUSTED OPERATING EARNINGS & FINANCIAL METRICS in the calculation of certain profitability, capital, and per share ratios. The Company believes tangible For the three months ended For the years ended assets,
Slide 29: Reconciliation of Non-GAAP Disclosures
RECONCILIATION OF NON-GAAP DISCLOSURES TANGIBLE ASSETS, TANGIBLE COMMON EQUITY, AND LEVERAGE RATIO Tangible assets and tangible common equity are (Dollars in thousands, except per share amounts) used in the calculation of certain profitability, As of March 31, 2025 capital, and per share ratios. The
Slide 30: Reconciliation of Non-GAAP Disclosures
RECONCILIATION OF NON-GAAP DISCLOSURES RISK-BASED CAPITAL RATIOS All regulatory capital ratios at March 31, 2025 are (Dollars in thousands) estimates and subject to change pending the Company’s filing of its FR Y-9C. In addition to As of March 31, 2025 these regulatory capital ratios, the Company ad
Slide 31: Reconciliation of Non-GAAP Disclosures
RECONCILIATION OF NON-GAAP DISCLOSURES PRE-TAX PRE-PROVISION ADJUSTED OPERATING EARNINGS Pre-tax pre-provision (“PTPP”) adjusted earnings (Dollars in thousands) excludes, as applicable, the provision for credit losses, which can fluctuate significantly from For the years ended period-to-period under
Atlantic Union Bankshares — Shareholder Meeting (May 2025) on 6ix