Earnings and Revenue Growth Year-Over-Year Driven by Profitability Improvement and Solid Loan Growth
GREENVILLE, S.C., April 21, 2026 (GLOBE NEWSWIRE) -- United Community Banks, Inc. (NYSE: UCB) (United) today announced net income for the first quarter of 2026 of $84.3 million and pre-tax, pre-provision income of $119.2 million. Diluted earnings per share of $0.69 for the quarter represented an increase of $0.11 from the first quarter of 2025 and a decrease of $0.01 from the fourth quarter of 2025.
On an operating basis, United’s diluted earnings per share of $0.70 increased 19% from the year-ago quarter. Strong revenue growth and positive operating leverage drove the year-over-year results.
United’s return on assets was 1.22% on both a GAAP and operating basis in the first quarter of 2026, up from 1.02% and 1.04%, GAAP and operating, respectively, for the first quarter of 2025. Return on common equity was 9.4% and return on tangible common equity on an operating basis was 13.1%. On a pre-tax, pre-provision basis, operating return on assets was 1.73% for the quarter. At quarter-end, tangible common equity to tangible assets was 9.9%, equal to the fourth quarter.
Chairman and CEO Lynn Harton stated, “Our first quarter results mark the start of what we expect to be a great year for United. We continue to improve our earning asset mix by growing loans, funded by maturing investment securities and growth in customer deposits. This shift in earning asset composition and our strategic focus on deposit pricing helped to widen our net interest margin by three basis points in the first quarter. In fact, our net interest margin is up 29 basis points when compared to the first quarter of 2025. We entered the year with a small wholesale funding position, but deposit growth allowed that to be completely repaid by the end of the quarter. We took advantage of our strong capital position and repurchased 1.09 million shares of our common stock at an average price of $33.97 per share during the quarter. All our key performance metrics show significant improvement when compared to the first quarter of 2025. With strong capital and liquidity, we notified holders of our remaining $100 million in subordinated debentures of our intent to redeem those securities in the second quarter.
Harton continued, “I’m very proud of our first quarter financial results and also pleased to report that we were notified in March that United had earned its twelfth JD Power award for outstanding customer satisfaction in the Southeast. That is a tremendous accomplishment by our exceptional team of bankers and a testament to the enduring nature and consistency of our strong corporate culture throughout our organization. Congratulations to our entire team for this great recognition of your focus on customer care.”
Net charge-offs were $10.4 million or 0.22% annualized of average loans, compared with 0.21% for the first quarter of 2025 and 0.34% for the fourth quarter of 2025. Nonperforming assets were 0.35% of total assets, up slightly from 0.33% for the fourth quarter. Provision for credit losses was $10.9 million for the first quarter, down from $15.4 million a year ago and $13.7 million for the fourth quarter. As of March 31, the allowance for credit losses represents 1.15% of loans, down slightly from 1.16% at December 31, 2025, reflecting more optimism in the economic forecast.
United also announced today the execution of a definitive merger agreement to acquire Peach State Bancshares, Inc. Details of the transaction are described in a separate presentation, filed with the SEC on April 21 and available within the Investor Relations section of United’s website.
First Quarter 2026 Financial Highlights:
EPS of $0.69 was up $0.11 on a GAAP basis compared to first quarter 2025, and EPS of $0.70 was up $0.11, or 19%, on an operating basis
Net income of $84.3 million and pre-tax, pre-provision income of $119.2 million, up $12.9 million and $12.6 million, respectively, from a year ago
Total revenue of $276.5 million improved $28.8 million, or 12%, from a year ago
Net interest margin of 3.65% increased by 29 basis points from a year ago and 3 basis points from the fourth quarter on a lower cost of funds and improving asset mix
Provision for credit losses was $10.9 million, down $4.6 million from a year ago and $2.8 million from the fourth quarter; allowance for credit losses coverage down slightly to 1.15% of total loans; net charge-offs were $10.4 million, or 0.22% of average loans, annualized
Noninterest expense was up $5.3 million compared to the fourth quarter on a GAAP basis and up $0.2 million on an operating basis
Efficiency ratio of 56.7% on a GAAP basis, or 55.7% on an operating basis, improved from a year ago
Strong loan production led to loan growth of $218 million, up 4.5% annualized, from the fourth quarter
Mortgage closings of $251 million compared to $187 million in first quarter 2025; mortgage rate locks of $408 million compared to $330 million in first quarter 2025
Customer deposits were up $237 million from the fourth quarter
Return on assets of 1.22% on both a GAAP and operating basis
Return on common equity and return on tangible common equity on an operating basis were 9.4% and 13.1%, respectively
Maintained strong capital ratios with preliminary Common Equity Tier 1 of 13.4%
Quarterly common dividend of $0.25 per share declared during the quarter, up 4% year-over-year
Repurchased 1.09 million shares of common stock in the first quarter at an average price of $33.97 per share
Conference Call
United will hold a conference call on Tuesday, April 21, 2026 at 9:00 a.m. EST 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/10207568/103998c8460. Those without internet access or unable to pre-register may dial in by calling 1-844-676-1337. 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) | |||||||||||||||||||||||
2026 | 2025 | First Quarter | |||||||||||||||||||||
First | Fourth | Third | Second | First | |||||||||||||||||||
INCOME SUMMARY | |||||||||||||||||||||||
Interest revenue | $ | 333,961 | $ | 346,367 | $ | 353,850 | $ | 347,365 | $ | 335,357 | |||||||||||||
Interest expense | 101,197 | 108,441 | 120,221 | 121,834 | 123,336 | ||||||||||||||||||
Net interest revenue | 232,764 | 237,926 | 233,629 | 225,531 | 212,021 | 10 | % | ||||||||||||||||
Noninterest income | 43,746 | 40,462 | 43,219 | 34,708 | 35,656 | 23 | |||||||||||||||||
Total revenue | 276,510 | 278,388 | 276,848 | 260,239 | 247,677 | 12 | |||||||||||||||||
Provision for credit losses | 10,853 | 13,662 | 7,907 | 11,818 | 15,419 | (30 | ) | ||||||||||||||||
Noninterest expense | 157,302 | 152,048 | 150,868 | 147,919 | 141,099 | 11 | |||||||||||||||||
Income before income tax expense | 108,355 | 112,678 | 118,073 | 100,502 | 91,159 | 19 | |||||||||||||||||
Income tax expense | 24,066 | 26,223 | 26,579 | 21,769 | 19,746 | 22 | |||||||||||||||||
Net income | 84,289 | 86,455 | 91,494 | 78,733 | 71,413 | 18 | |||||||||||||||||
Non-operating items | 508 | 606 | 3,468 | 4,833 | 1,297 | ||||||||||||||||||
Income tax benefit of non-operating items | (113 | ) | (133 | ) | (751 | ) | (1,047 | ) | (281 | ) | |||||||||||||
Net income – operating (1) | $ | 84,684 | $ | 86,928 | $ | 94,211 | $ | 82,519 | $ | 72,429 | 17 | ||||||||||||
Pre-tax pre-provision income (5) | $ | 119,208 | $ | 126,340 | $ | 125,980 | $ | 112,320 | $ | 106,578 | 12 | ||||||||||||
PERFORMANCE MEASURES | |||||||||||||||||||||||
Per common share: | |||||||||||||||||||||||
Diluted net income – GAAP | $ | 0.69 | $ | 0.70 | $ | 0.70 | $ | 0.63 | $ | 0.58 | 19 | ||||||||||||
Diluted net income – operating (1) | 0.70 | 0.71 | 0.75 | 0.66 | 0.59 | 19 | |||||||||||||||||
Cash dividends declared | 0.25 | 0.25 | 0.25 | 0.24 | 0.24 | 4 | |||||||||||||||||
Book value | 30.54 | 30.17 | 29.44 | 28.89 | 28.42 | 7 | |||||||||||||||||
Tangible book value (3) | 22.56 | 22.24 | 21.59 | 21.00 | 20.58 | 10 | |||||||||||||||||
Key performance ratios: | |||||||||||||||||||||||
Return on common equity – GAAP (2)(4) | 9.35 | % | 9.48 | % | 9.20 | % | 8.45 | % | 7.89 | % | |||||||||||||
Return on common equity – operating (1)(2)(4) | 9.39 | 9.53 | 9.83 | 8.87 | 8.01 | ||||||||||||||||||
Return on tangible common equity - operating (1)(2)(3)(4) | 13.05 | 13.31 | 13.56 | 12.34 | 11.21 | ||||||||||||||||||
Return on assets – GAAP (4) | 1.22 | 1.21 | 1.29 | 1.11 | 1.02 | ||||||||||||||||||
Return on assets – operating (1)(4) | 1.22 | 1.22 | 1.33 | 1.16 | 1.04 | ||||||||||||||||||
Return on assets – pre-tax pre-provision, excluding non-operating items (1)(4)(5) | 1.73 | 1.78 | 1.83 | 1.66 | 1.55 | ||||||||||||||||||
Net interest margin (fully taxable equivalent) (4) | 3.65 | 3.62 | 3.58 | 3.50 | 3.36 | ||||||||||||||||||
Efficiency ratio – GAAP | 56.66 | 54.40 | 54.30 | 56.69 | 56.74 | ||||||||||||||||||
Efficiency ratio – operating (1) | 55.65 | 54.19 | 53.05 | 54.84 | 56.22 | ||||||||||||||||||
Equity to total assets | 12.97 | 12.99 | 12.78 | 12.86 | 12.56 | ||||||||||||||||||
Tangible common equity to tangible assets (3) | 9.92 | 9.92 | 9.71 | 9.45 | 9.18 | ||||||||||||||||||
ASSET QUALITY | |||||||||||||||||||||||
Nonperforming assets (“NPAs”) | $ | 98,623 | $ | 93,498 | $ | 97,916 | $ | 83,959 | $ | 93,290 | 6 | ||||||||||||
ACL, loans | 208,396 | 210,429 | 215,791 | 216,500 | 211,974 | (2 | ) | ||||||||||||||||
ACL, total | 225,996 | 225,520 | 228,276 | 228,045 | 223,201 | 1 | |||||||||||||||||
Net charge-offs | 10,377 | 16,418 | 7,676 | 8,225 | 9,607 | 8 | |||||||||||||||||
ACL, loans to loans | 1.06 | % | 1.09 | % | 1.13 | % | 1.14 | % | 1.15 | % | |||||||||||||
ACL, total to loans | 1.15 | 1.16 | 1.19 | 1.21 | 1.21 | ||||||||||||||||||
Net charge-offs to average loans (4) | 0.22 | 0.34 | 0.16 | 0.18 | 0.21 | ||||||||||||||||||
NPAs to total assets | 0.35 | 0.33 | 0.35 | 0.30 | 0.33 | ||||||||||||||||||
AT PERIOD END ($ in millions) | |||||||||||||||||||||||
Loans | $ | 19,602 | $ | 19,384 | $ | 19,175 | $ | 18,921 | $ | 18,425 | 6 | ||||||||||||
Investment securities | 5,889 | 5,988 | 6,163 | 6,382 | 6,661 | (12 | ) | ||||||||||||||||
Total assets | 28,177 | 28,003 | 28,143 | 28,086 | 27,874 | 1 | |||||||||||||||||
Deposits | 24,025 | 23,798 | 24,021 | 23,963 | 23,762 | 1 | |||||||||||||||||
Shareholders’ equity | 3,655 | 3,639 | 3,597 | 3,613 | 3,501 | 4 | |||||||||||||||||
Common shares outstanding (thousands) | 119,684 | 120,598 | 121,553 | 121,431 | 119,514 | — | |||||||||||||||||
| |||||||||||||||||||||||
UNITED COMMUNITY BANKS, INC. | ||||||||||||||||||||||||||||
Loan Portfolio Composition at Period-End | ||||||||||||||||||||||||||||
2026 | 2025 | Linked Quarter Change | Year over Year Change | |||||||||||||||||||||||||
(in millions) | First Quarter | Fourth Quarter | Third Quarter | Second Quarter | First Quarter | |||||||||||||||||||||||
LOANS BY CATEGORY | ||||||||||||||||||||||||||||
Owner occupied commercial RE | $ | 4,041 | $ | 3,950 | $ | 3,678 | $ | 3,563 | $ | 3,419 | $ | 91 | $ | 622 | ||||||||||||||
Income producing commercial RE | 4,984 | 5,032 | 4,534 | 4,548 | 4,416 | (48 | ) | 568 | ||||||||||||||||||||
Commercial & industrial | 2,771 | 2,696 | 2,593 | 2,516 | 2,506 | 75 | 265 | |||||||||||||||||||||
Commercial construction & land | 1,072 | 998 | 1,734 | 1,752 | 1,681 | 74 | (609 | ) | ||||||||||||||||||||
Equipment financing | 1,897 | 1,848 | 1,808 | 1,778 | 1,723 | 49 | 174 | |||||||||||||||||||||
Total commercial | 14,765 | 14,524 | 14,347 | 14,157 | 13,745 | 241 | 1,020 | |||||||||||||||||||||
Residential mortgage | 3,122 | 3,157 | 3,198 | 3,210 | 3,218 | (35 | ) | (96 | ) | |||||||||||||||||||
Home equity | 1,344 | 1,319 | 1,252 | 1,180 | 1,099 | 25 | 245 | |||||||||||||||||||||
Residential construction & land | 185 | 191 | 178 | 174 | 171 | (6 | ) | 14 | ||||||||||||||||||||
Consumer | 187 | 188 | 192 | 191 | 183 | (1 | ) | 4 | ||||||||||||||||||||
Other | (1 | ) | 5 | 8 | 9 | 9 | (6 | ) | (10 | ) | ||||||||||||||||||
Total loans | $ | 19,602 | $ | 19,384 | $ | 19,175 | $ | 18,921 | $ | 18,425 | $ | 218 | $ | 1,177 | ||||||||||||||
LOANS BY MARKET | ||||||||||||||||||||||||||||
Georgia | $ | 4,617 | $ | 4,635 | $ | 4,584 | $ | 4,551 | $ | 4,484 | $ | (18 | ) | $ | 133 | |||||||||||||
South Carolina | 3,037 | 2,971 | 2,926 | 2,872 | 2,821 | 66 | 216 | |||||||||||||||||||||
North Carolina | 2,722 | 2,712 | 2,676 | 2,626 | 2,666 | 10 | 56 | |||||||||||||||||||||
Tennessee | 1,895 | 1,913 | 1,902 | 1,881 | 1,880 | (18 | ) | 15 | ||||||||||||||||||||
Florida | 3,229 | 3,102 | 3,040 | 2,966 | 2,572 | 127 | 657 | |||||||||||||||||||||
Alabama | 1,049 | 1,050 | 1,054 | 1,016 | 1,009 | (1 | ) | 40 | ||||||||||||||||||||
Commercial Banking Solutions | 3,053 | 3,001 | 2,993 | 3,009 | 2,993 | 52 | 60 | |||||||||||||||||||||
Total loans | $ | 19,602 | $ | 19,384 | $ | 19,175 | $ | 18,921 | $ | 18,425 | $ | 218 | $ | 1,177 | ||||||||||||||
UNITED COMMUNITY BANKS, INC. | ||||||||||||
Credit Quality | ||||||||||||
(in thousands) | ||||||||||||
2026 | 2025 | |||||||||||
First | Fourth | Third | ||||||||||
NONACCRUAL LOANS | ||||||||||||
Owner occupied RE | $ | 18,265 | $ | 11,165 | $ | 10,275 | ||||||
Income producing RE | 11,037 | 11,488 | 10,884 | |||||||||
Commercial & industrial | 19,890 | 18,294 | 25,754 | |||||||||
Commercial construction & land | 17 | 18 | 3,198 | |||||||||
Equipment financing | 8,024 | 10,383 | 9,716 | |||||||||
Total commercial | 57,233 | 51,348 | 59,827 | |||||||||
Residential mortgage | 31,906 | 32,423 | 28,978 | |||||||||
Home equity | 6,209 | 5,247 | 5,234 | |||||||||
Residential construction & land | 355 | 1,079 | 1,241 | |||||||||
Consumer | 1,009 | 1,001 | 1,163 | |||||||||
Total nonaccrual loans | 96,712 | 91,098 | 96,443 | |||||||||
OREO and repossessed assets | 1,911 | 2,400 | 1,473 | |||||||||
Total NPAs | $ | 98,623 | $ | 93,498 | $ | 97,916 | ||||||
2026 | 2025 | ||||||||||||||||||||
First Quarter | Fourth Quarter | Third 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 | $ | 666 | 0.07 | % | $ | 1,610 | 0.17 | % | $ | 2,497 | 0.28 | % | |||||||||
Income producing RE | (85 | ) | (0.01 | ) | (116 | ) | (0.01 | ) | (106 | ) | (0.01 | ) | |||||||||
Commercial & industrial | 3,309 | 0.50 | 7,557 | 1.15 | (1,132 | ) | (0.18 | ) | |||||||||||||
Commercial construction & land | 6 | — | 1,484 | 0.35 | 491 | 0.11 | |||||||||||||||
Equipment financing | 5,835 | 1.29 | 5,092 | 1.12 | 5,487 | 1.23 | |||||||||||||||
Total commercial | 9,731 | 0.27 | 15,627 | 0.43 | 7,237 | 0.20 | |||||||||||||||
Residential mortgage | 133 | 0.02 | 126 | 0.02 | (259 | ) | (0.03 | ) | |||||||||||||
Home equity | (54 | ) | (0.02 | ) | (94 | ) | (0.03 | ) | 19 | 0.01 | |||||||||||
Residential construction & land | 12 | 0.03 | 16 | 0.03 | 12 | 0.03 | |||||||||||||||
Consumer | 555 | 1.21 | 743 | 1.55 | 667 | 1.39 | |||||||||||||||
Total | $ | 10,377 | 0.22 | $ | 16,418 | 0.34 | $ | 7,676 | 0.16 | ||||||||||||
(1) Annualized. | |||||||||||||||||||||
UNITED COMMUNITY BANKS, INC. | ||||||||
(in thousands, except share and per share data) | March 31, | December 31, | ||||||
ASSETS | ||||||||
Cash and due from banks | $ | 177,025 | $ | 202,586 | ||||
Interest-bearing deposits in banks | 316,116 | 193,168 | ||||||
Cash and cash equivalents | 493,141 | 395,754 | ||||||
Trading securities | 103,384 | — | ||||||
Debt securities available-for-sale | 3,574,546 | 3,750,863 | ||||||
Debt securities held-to-maturity (fair value $1,878,414 and $1,918,426, respectively) | 2,211,523 | 2,237,356 | ||||||
Loans held for sale | 41,357 | 39,381 | ||||||
Loans and leases held for investment | 19,601,641 | 19,384,317 | ||||||
Less allowance for credit losses – loans and leases | (208,396 | ) | (210,429 | ) | ||||
Loans and leases, net | 19,393,245 | 19,173,888 | ||||||
Premises and equipment, net | 391,883 | 393,714 | ||||||
Bank-owned life insurance | 365,492 | 364,184 | ||||||
Goodwill and other intangible assets, net | 964,819 | 967,882 | ||||||
Other assets | 637,192 | 679,532 | ||||||
Total assets | $ | 28,176,582 | $ | 28,002,554 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Liabilities: | ||||||||
Deposits: | ||||||||
Noninterest-bearing demand | $ | 6,473,101 | $ | 6,252,252 | ||||
NOW and interest-bearing demand | 5,900,748 | 5,969,864 | ||||||
Money market | 6,720,216 | 6,696,530 | ||||||
Savings | 1,101,590 | 1,085,331 | ||||||
Time | 3,664,706 | 3,619,189 | ||||||
Brokered | 164,704 | 175,264 | ||||||
Total deposits | 24,025,065 | 23,798,430 | ||||||
Short-term borrowings | — | 85,000 | ||||||
Long-term debt | 120,500 | 120,400 | ||||||
Accrued expense and other liabilities | 376,351 | 360,038 | ||||||
Total liabilities | 24,521,916 | 24,363,868 | ||||||
Shareholders’ equity: | ||||||||
Common stock, $1 par value; 200,000,000 shares authorized, 119,684,031 and 120,598,266 shares issued and outstanding, respectively | 119,684 | 120,598 | ||||||
Capital surplus | 2,721,132 | 2,754,399 | ||||||
Retained earnings | 968,188 | 914,261 | ||||||
Accumulated other comprehensive loss | (154,338 | ) | (150,572 | ) | ||||
Total shareholders’ equity | 3,654,666 | 3,638,686 | ||||||
Total liabilities and shareholders’ equity | $ | 28,176,582 | $ | 28,002,554 | ||||
UNITED COMMUNITY BANKS, INC. | ||||||||
Three Months Ended | ||||||||
(in thousands, except per share data) | 2026 | 2025 | ||||||
Interest revenue: | ||||||||
Loans, including fees | $ | 286,599 | $ | 274,056 | ||||
Investment securities, including tax exempt of $1,646 and $1,678, respectively | 45,344 | 58,850 | ||||||
Trading securities | 785 | — | ||||||
Deposits in banks and short-term investments | 1,233 | 2,451 | ||||||
Total interest revenue | 333,961 | 335,357 | ||||||
Interest expense: | ||||||||
Deposits: | ||||||||
NOW and interest-bearing demand | 28,129 | 37,390 | ||||||
Money market | 40,709 | &...nbsp; | 49,541 | |||||
Savings | 480 | 624 | ||||||
Time | 28,711 | 31,379 | ||||||
Deposits | 98,029 | 118,934 | ||||||
Short-term borrowings | 998 | 1,107 | ||||||
Federal Home Loan Bank advances | 969 | 433 | ||||||
Long-term debt | 1,201 | 2,862 | ||||||
Total interest expense | 101,197 | 123,336 | ||||||
Net interest revenue | 232,764 | 212,021 | ||||||
Noninterest income: | ||||||||
Service charges and fees | 9,545 | 9,535 | ||||||
Mortgage loan gains and other related fees | 8,029 | 6,122 | ||||||
Wealth management fees | 4,629 | 4,465 | ||||||
Net gains from sales of other loans | 1,893 | 1,396 | ||||||
Lending and loan servicing fees | 3,971 | 4,165 | ||||||
Securities gains, net | 133 | 6 | ||||||
Other | 15,546 | 9,967 | ||||||
Total noninterest income | 43,746 | 35,656 | ||||||
Total revenue | 276,510 | 247,677 | ||||||
Provision for credit losses | 10,853 | 15,419 | ||||||
Noninterest expense: | ||||||||
Salaries and employee benefits | 101,249 | 84,267 | ||||||
Communications and equipment | 14,102 | 13,699 | ||||||
Occupancy | 11,725 | 10,929 | ||||||
Advertising and public relations | 2,397 | 1,881 | ||||||
Postage, printing and supplies | 2,757 | 2,561 | ||||||
Professional fees | 5,576 | 5,931 | ||||||
Lending and loan servicing expense | 2,582 | 1,987 | ||||||
Outside services – electronic banking | 3,559 | 2,763 | ||||||
FDIC assessments and other regulatory charges | 2,269 | 4,642 | ||||||
Amortization of intangibles | 3,063 | 3,286 | ||||||
Merger-related and other charges | 873 | 1,297 | ||||||
Other | 7,150 | 7,856 | ||||||
Total noninterest expense | 157,302 | 141,099 | ||||||
Income before income taxes | 108,355 | 91,159 | ||||||
Income tax expense | 24,066 | 19,746 | ||||||
Net income | 84,289 | 71,413 | ||||||
Preferred stock dividends | — | 1,573 | ||||||
Earnings allocated to participating securities | 552 | 411 | ||||||
Net income available to common shareholders | $ | 83,737 | $ | 69,429 | ||||
Net income per common share: | ||||||||
Basic | $ | 0.69 | $ | 0.58 | ||||
Diluted | 0.69 | 0.58 | ||||||
Weighted average common shares outstanding: | ||||||||
Basic | 120,498 | 120,043 | ||||||
Diluted | 120,723 | 120,201 | ||||||
UNITED COMMUNITY BANKS, INC. | ||||||||||||||||||||||
2026 | 2025 | |||||||||||||||||||||
(dollars in thousands, fully taxable equivalent (FTE)) | Average Balance | Interest | Average Rate | Average Balance | Interest | Average Rate | ||||||||||||||||
Assets: | ||||||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||||||
Loans, net of unearned income (FTE) (1)(2) | $ | 19,403,795 | $ | 286,629 | 5.99 | % | $ | 18,213,501 | $ | 273,930 | 6.10 | % | ||||||||||
AFS & HTM taxable securities (3) | 5,845,672 | 43,698 | 2.99 | 6,737,658 | 57,172 | 3.39 | ||||||||||||||||
AFS & HTM tax-exempt securities (FTE) (1)(3) | 346,420 | 2,202 | 2.54 | 356,712 | 2,245 | 2.52 | ||||||||||||||||
Other interest-earning assets | 389,637 | 2,540 | 2.64 | 400,592 | 3,001 | 3.04 | ||||||||||||||||
Total interest-earning assets (FTE) | 25,985,524 | 335,069 | 5.22 | 25,708,463 | 336,348 | 5.29 | ||||||||||||||||
Noninterest-earning assets: | ||||||||||||||||||||||
Allowance for credit losses | (212,867 | ) | (210,169 | ) | ||||||||||||||||||
Cash and due from banks | 200,085 | 219,540 | ||||||||||||||||||||
Premises and equipment | 393,853 | 396,443 | ||||||||||||||||||||
Other assets (3) | 1,705,566 | 1,610,104 | ||||||||||||||||||||
Total assets | $ | 28,072,161 | $ | 27,724,381 | ||||||||||||||||||
Liabilities and Shareholders’ Equity: | ||||||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||||||
Interest-bearing deposits: | ||||||||||||||||||||||
NOW and interest-bearing demand | $ | 5,853,104 | 28,129 | 1.95 | $ | 6,134,004 | 37,390 | 2.47 | ||||||||||||||
Money market | 6,826,707 | 40,709 | 2.42 | 6,583,963 | 49,541 | 3.05 | ||||||||||||||||
Savings | 1,089,856 | 480 | 0.18 | 1,096,308 | 624 | 0.23 | ||||||||||||||||
Time | 3,651,034 | 28,183 | 3.13 | 3,446,048 | 30,831 | 3.63 | ||||||||||||||||
Brokered time deposits | 60,279 | 528 | 3.55 | 50,447 | 548 | 4.41 | ||||||||||||||||
Total interest-bearing deposits | 17,480,980 | 98,029 | 2.27 | 17,310,770 | 118,934 | 2.79 | ||||||||||||||||
Federal funds purchased and other borrowings | 107,668 | 998 | 3.76 | 80,760 | 1,107 | 5.56 | ||||||||||||||||
Federal Home Loan Bank advances | 102,278 | 969 | 3.84 | 38,900 | 433 | 4.51 | ||||||||||||||||
Long-term debt | 120,450 | 1,201 | 4.04 | 254,220 | 2,862 | 4.57 | ||||||||||||||||
Total borrowed funds | 330,396 | 3,168 | 3.89 | 373,880 | 4,402 | 4.77 | ||||||||||||||||
Total interest-bearing liabilities | 17,811,376 | 101,197 | 2.30 | 17,684,650 | 123,336 | 2.83 | ||||||||||||||||
Noninterest-bearing liabilities: | ||||||||||||||||||||||
Noninterest-bearing deposits | 6,265,370 | 6,194,217 | ||||||||||||||||||||
Other liabilities | 337,611 | 369,939 | ||||||||||||||||||||
Total liabilities | 24,414,357 | 24,248,806 | ||||||||||||||||||||
Shareholders’ equity | 3,657,804 | 3,475,575 | ||||||||||||||||||||
Total liabilities and shareholders’ equity | $ | 28,072,161 | $ | 27,724,381 | ||||||||||||||||||
Net interest revenue (FTE) | $ | 233,872 | $ | 213,012 | ||||||||||||||||||
Net interest-rate spread (FTE) | 2.92 | % | 2.46 | % | ||||||||||||||||||
Net interest margin (FTE) (4) | 3.65 | % | 3.36 | % | ||||||||||||||||||
| ||||||||||||||||||||||
UNITED COMMUNITY BANKS, INC. | ||||||||||||||||||||
Non-GAAP Performance Measures Reconciliation | ||||||||||||||||||||
Selected Financial Information | ||||||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||||||
2026 | 2025 | |||||||||||||||||||
First | Fourth | Third | Second | First | ||||||||||||||||
Noninterest income reconciliation | ||||||||||||||||||||
Noninterest income (GAAP) | $ | 43,746 | $ | 40,462 | $ | 43,219 | $ | 34,708 | $ | 35,656 | ||||||||||
Gain on terminated cash flow hedge | (5,184 | ) | — | — | — | — | ||||||||||||||
Noninterest income – operating | $ | 38,562 | $ | 40,462 | $ | 43,219 | $ | 34,708 | $ | 35,656 | ||||||||||
Noninterest expense reconciliation | ||||||||||||||||||||
Noninterest expense (GAAP) | $ | 157,302 | $ | 152,048 | $ | 150,868 | $ | 147,919 | $ | 141,099 | ||||||||||
Payroll transition bonus | (6,704 | ) | — | — | — | — | ||||||||||||||
FDIC special assessment accrual reversal | 1,885 | — | — | — | — | |||||||||||||||
Merger-related and other charges | (873 | ) | (606 | ) | (3,468 | ) | (4,833 | ) | (1,297 | ) | ||||||||||
Noninterest expense – operating | $ | 151,610 | $ | 151,442 | $ | 147,400 | $ | 143,086 | $ | 139,802 | ||||||||||
Net income to operating income reconciliation | ||||||||||||||||||||
Net income (GAAP) | $ | 84,289 | $ | 86,455 | $ | 91,494 | $ | 78,733 | $ | 71,413 | ||||||||||
Gain on terminated cash flow hedge | (5,184 | ) | — | — | — | — | ||||||||||||||
Payroll transition bonus | 6,704 | — | — | — | — | |||||||||||||||
FDIC special assessment accrual reversal | (1,885 | ) | — | — | — | — | ||||||||||||||
Merger-related and other charges | 873 | 606 | 3,468 | 4,833 | 1,297 | |||||||||||||||
Income tax benefit of non-operating items | (113 | ) | (133 | ) | (751 | ) | (1,047 | ) | (281 | ) | ||||||||||
Net income – operating | $ | 84,684 | $ | 86,928 | $ | 94,211 | $ | 82,519 | $ | 72,429 | ||||||||||
Net income to pre-tax pre-provision income reconciliation | ||||||||||||||||||||
Net income (GAAP) | $ | 84,289 | $ | 86,455 | $ | 91,494 | $ | 78,733 | $ | 71,413 | ||||||||||
Income tax expense | 24,066 | 26,223 | 26,579 | 21,769 | 19,746 | |||||||||||||||
Provision for credit losses | 10,853 | 13,662 | 7,907 | 11,818 | 15,419 | |||||||||||||||
Pre-tax pre-provision income | $ | 119,208 | $ | 126,340 | $ | 125,980 | $ | 112,320 | $ | 106,578 | ||||||||||
Diluted income per common share reconciliation | ||||||||||||||||||||
Diluted income per common share (GAAP) | $ | 0.69 | $ | 0.70 | $ | 0.70 | $ | 0.63 | $ | 0.58 | ||||||||||
Gain on terminated cash flow hedge | (0.03 | ) | — | — | — | — | ||||||||||||||
Payroll transition bonus | 0.04 | — | — | — | — | |||||||||||||||
FDIC special assessment accrual reversal | (0.01 | ) | — | — | — | — | ||||||||||||||
Merger-related and other charges | 0.01 | 0.01 | 0.02 | 0.03 | 0.01 | |||||||||||||||
Deemed dividend on preferred stock redemption | — | — | 0.03 | — | — | |||||||||||||||
Diluted income per common share – operating | $ | 0.70 | $ | 0.71 | $ | 0.75 | $ | 0.66 | $ | 0.59 | ||||||||||
Book value per common share reconciliation | ||||||||||||||||||||
Book value per common share (GAAP) | $ | 30.54 | $ | 30.17 | $ | 29.44 | $ | 28.89 | $ | 28.42 | ||||||||||
Effect of goodwill and other intangibles | (7.98 | ) | (7.93 | ) | (7.85 | ) | (7.89 | ) | (7.84 | ) | ||||||||||
Tangible book value per common share | $ | 22.56 | $ | 22.24 | $ | 21.59 | $ | 21.00 | $ | 20.58 | ||||||||||
Return on tangible common equity reconciliation | ||||||||||||||||||||
Return on common equity (GAAP) | 9.35 | % | 9.48 | % | 9.20 | % | 8.45 | % | 7.89 | % | ||||||||||
Gain on terminated cash flow hedge | (0.45 | ) | — | — | — | — | ||||||||||||||
Payroll transition bonus | 0.58 | — | — | — | — | |||||||||||||||
FDIC special assessment accrual reversal | (0.16 | ) | — | — | — | — | ||||||||||||||
Merger-related and other charges | 0.07 | 0.05 | 0.29 | 0.42 | 0.12 | |||||||||||||||
Deemed dividend on preferred stock redemption | — | — | 0.34 | — | — | |||||||||||||||
Return on common equity – operating | 9.39 | 9.53 | 9.83 | 8.87 | 8.01 | |||||||||||||||
Effect of goodwill and other intangibles | 3.66 | 3.78 | 3.73 | 3.47 | 3.20 | |||||||||||||||
Return on tangible common equity – operating | 13.05 | % | 13.31 | % | 13.56 | % | 12.34 | % | 11.21 | % | ||||||||||
Return on assets reconciliation | ||||||||||||||||||||
Return on assets (GAAP) | 1.22 | % | 1.21 | % | 1.29 | % | 1.11 | % | 1.02 | % | ||||||||||
Gain on terminated cash flow hedge | (0.06 | ) | — | — | — | — | ||||||||||||||
Payroll transition bonus | 0.07 | — | — | — | — | |||||||||||||||
FDIC special assessment accrual reversal | (0.02 | ) | — | — | — | — | ||||||||||||||
Merger-related and other charges | 0.01 | 0.01 | 0.04 | 0.05 | 0.02 | |||||||||||||||
Return on assets – operating | 1.22 | % | 1.22 | % | 1.33 | % | 1.16 | % | 1.04 | % | ||||||||||
Return on assets to return on assets – pre-tax pre-provision reconciliation | ||||||||||||||||||||
Return on assets (GAAP) | 1.22 | % | 1.21 | % | 1.29 | % | 1.11 | % | 1.02 | % | ||||||||||
Income tax expense | 0.35 | 0.37 | 0.38 | 0.31 | 0.29 | |||||||||||||||
Provision for credit losses | 0.16 | 0.19 | 0.11 | 0.17 | 0.23 | |||||||||||||||
Gain on terminated cash flow hedge | (0.08 | ) | — | — | — | — | ||||||||||||||
Payroll transition bonus | 0.10 | — | — | — | — | |||||||||||||||
FDIC special assessment accrual reversal | (0.03 | ) | — | — | — | — | ||||||||||||||
Merger-related and other charges | 0.01 | 0.01 | 0.05 | 0.07 | 0.01 | |||||||||||||||
Return on assets – pre-tax pre-provision – operating | 1.73 | % | 1.78 | % | 1.83 | % | 1.66 | % | 1.55 | % | ||||||||||
Efficiency ratio reconciliation | ||||||||||||||||||||
Efficiency ratio (GAAP) | 56.66 | % | 54.40 | % | 54.30 | % | 56.69 | % | 56.74 | % | ||||||||||
Gain on terminated cash flow hedge | 1.03 | — | — | — | — | |||||||||||||||
Payroll transition bonus | (2.41 | ) | — | — | — | — | ||||||||||||||
FDIC special assessment accrual reversal | 0.68 | — | — | — | — | |||||||||||||||
Merger-related and other charges | (0.31 | ) | (0.21 | ) | (1.25 | ) | (1.85 | ) | (0.52 | ) | ||||||||||
Efficiency ratio – operating | 55.65 | % | 54.19 | % | 53.05 | % | 54.84 | % | 56.22 | % | ||||||||||
Tangible common equity to tangible assets reconciliation | ||||||||||||||||||||
Equity to total assets (GAAP) | 12.97 | % | 12.99 | % | 12.78 | % | 12.86 | % | 12.56 | % | ||||||||||
Effect of goodwill and other intangibles | (3.05 | ) | (3.07 | ) | (3.07 | ) | (3.10 | ) | (3.06 | ) | ||||||||||
Effect of preferred equity | — | — | — | (0.31 | ) | (0.32 | ) | |||||||||||||
Tangible common equity to tangible assets | 9.92 | % | 9.92 | % | 9.71 | % | 9.45 | % | 9.18 | % | ||||||||||
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 March 31, 2026, United Community Banks, Inc. had $28.2 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 an equipment finance subsidiary, extending its reach to businesses across the country. United Community is the most awarded bank in the Southeast for Retail Banking Customer Satisfaction by J.D. Power, earning more awards than any other bank in the region, including recognition in 12 of the last 17 years. The company has also been named one of the “Best Banks to Work For” by American Banker for nine consecutive years. In commercial banking, United Community earned multiple 2026 Greenwich Best Bank awards for Small Business Banking. Forbes has consistently named United Community among the World’s Best and America’s Best Banks. Learn more at ucbi.com.
Non-GAAP Financial Measures
This 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 (1) the risk that the cost savings and any revenue synergies from the merger with Peach State Bancshares, Inc. (the “Merger”) may not be realized or take longer than anticipated to be realized, (2) disruption from the Merger of customer, supplier, employee or other business partner relationships, (3) the occurrence of any event, change or other circumstances that could give rise to the termination of the Merger Agreement, (4) the failure to obtain the necessary approval by the shareholders of Peach State, (5) the possibility that the costs, fees, expenses and charges related to the Merger may be greater than anticipated, (6) the ability of United to obtain required governmental approvals of the Merger on the anticipated timeframe and without the imposition of adverse conditions, (7) reputational risk and the reaction of each of the companies’ customers, suppliers, employees or other business partners to the Merger, (8) the failure of the closing conditions in the Merger Agreement to be satisfied, or any unexpected delay in closing the Merger, (9) the risks relating to the integration of Peach State’s operations into the operations of United, including the risk that such integration will be materially delayed or will be more costly or difficult than expected, (10) the risk of potential litigation or regulatory action related to the Merger, (11) the risks associated with United’s pursuit of future acquisitions, (12) the risk of expansion into new geographic or product markets, (13) the dilution caused by United’s issuance of additional shares of its common stock in the Merger, and (14) general competitive, economic, political and market conditions. Further information regarding additional factors which could affect the forward-looking statements 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, 2025, and other documents subsequently filed by United with the U.S. 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 Harralson
Chief Financial Officer
(864) 240-6208
Jefferson_Harralson@ucbi.com