8-K
UNITED BANKSHARES INC/WV (UBSI)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
April 24, 2025
United Bankshares, Inc.
(Exact name of registrant as specified in its charter)
| West Virginia | No. 002-86947 | 55-0641179 |
|---|---|---|
| (State or other jurisdiction of<br> <br>incorporation or organization) | (Commission<br> <br>File Number) | (I.R.S. Employer<br> <br>Identification No.) |
300 United Center
500 Virginia Street, East
Charleston, West Virginia 25301
(Address of Principal Executive Offices)
(304) 424-8800
(Registrant’s telephone number, including area code)
Not Applicable
(Former name or address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
|---|---|
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| --- | --- |
| ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| --- | --- |
| ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
| --- | --- |
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading<br> <br>Symbol(s) | Name of each exchange<br> <br>on which registered |
|---|---|---|
| Common Stock, par value $2.50 per share | UBSI | NASDAQ Global Select Market |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 or Rule 12b-2 of the Securities Exchange Act of 1934.
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02. Results of Operations and Financial Condition
On April 24, 2025 United Bankshares, Inc. (“United”) announced its financial results for the first quarter of 2025. A copy of the press release is attached as Exhibit 99.1 to this report. The press release is being furnished under Item 2.02 of this Form 8-K.
Item 9.01. Financial Statements and Exhibits
(c) The following exhibits are being furnished herewith:
| 99.1 | Press Release, dated April 24, 2025, issued by United Bankshares, Inc. |
|---|---|
| 99.2 | Slide presentation of financial information for the first quarter of 2025 |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| UNITED BANKSHARES, INC. | ||
|---|---|---|
| Date: April 24, 2025 | By: | /s/ W. Mark Tatterson |
| W. Mark Tatterson, Executive Vice President and Chief Financial Officer |
EX-99.1
EXHIBIT 99.1
News Release
| For Immediate Release | Contact: W. Mark Tatterson |
|---|---|
| April 24, 2025 | Chief Financial Officer |
| (800) 445-1347 ext. 8716 |
United Bankshares, Inc. Announces Earnings
for the First Quarter of 2025
WASHINGTON, D.C. and CHARLESTON, WV-- United Bankshares, Inc. (NASDAQ: UBSI) (“United”), today reported earnings for the first quarter of 2025 of $84.3 million, or $0.59 per diluted share. The first quarter of 2025 was highlighted by record net interest income, net interest margin expansion, resumption of share repurchases, and the consummation of the previously announced acquisition of Atlanta-based Piedmont Bancorp, Inc. (“Piedmont”) including completion of the systems conversion. As a result of the acquisition, the first quarter of 2025 was impacted by increased levels of average balances, income, and expense, including $30.0 million, or approximately $0.17 per diluted share, in merger-related noninterest expenses and merger-related provision for credit losses. First quarter of 2025 results produced annualized returns on average assets, average equity, and average tangible equity, a non-GAAP measure, of 1.06%, 6.47%, and 10.61%, respectively.
“This quarter we officially welcomed Piedmont to the United family and we are very excited about entering the Atlanta market,” stated Richard M. Adams, Jr., United’s Chief Executive Officer. “Closing a deal always brings a lot of noise to the quarter, but that shouldn’t overshadow the excellent results we posted when adjusting for the acquisition. UBSI continues to perform at a high level and have success in these challenging and uncertain times.”
Earnings for the fourth quarter of 2024 were $94.4 million, or $0.69 per diluted share, and annualized returns on average assets, average equity, and average tangible equity for the fourth quarter of 2024 were 1.25%, 7.48%, and 12.03%, respectively. Earnings for the first quarter of 2024 were $86.8 million, or $0.64 per diluted share, and annualized returns on average assets, average equity, and average tangible equity were 1.19%, 7.25%, and 11.98%, respectively.
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United Bankshares, Inc. Announces...
April 24, 2025
Page Two
First quarter of 2025 compared to the fourth quarter of 2024
Earnings for the first quarter of 2025 were $84.3 million, or $0.59 per diluted share, as compared to earnings of $94.4 million, or $0.69 per diluted share, for the fourth quarter of 2024.
Net interest income for the first quarter of 2025 was a record $260.1 million, an increase of $27.5 million, or 12%, from the fourth quarter of 2024. Tax-equivalent net interest income, a non-GAAP measure which adjusts for the tax-favored status of income from certain loans and investments, for the first quarter of 2025 increased $27.4 million, or 12%, from the fourth quarter of 2024. The increase in net interest income and tax-equivalent net interest income was primarily due to an increase in average earning assets largely from the Piedmont acquisition and a lower average rate paid on deposits partially offset by an increase in average interest-bearing deposits, also largely from the Piedmont acquisition. Average earning assets increased $1.9 billion, or 7%, from the fourth quarter of 2024 driven by increases in average net loans and loans held for sale of $1.7 billion and average short-term investments of $324.0 million. These increases within average earning assets were partially offset by a decrease in average investment securities of $192.3 million mainly due to sales late in the fourth quarter of 2024. The cost of average interest-bearing deposits decreased 17 basis points from the fourth quarter of 2024 driven by deposit rate repricing. Average interest-bearing deposits increased $1.5 billion, or 8%, from the fourth quarter of 2024. Interest income and tax-equivalent net interest income for the first quarter of 2025 included $6.0 million of acquired loan accretion income as compared to $2.0 million for the fourth quarter of 2024. The net interest margin of 3.69% for the first quarter of 2025 was an increase of 20 basis points from the net interest margin of 3.49% for the fourth quarter of 2024.
The provision for credit losses was $29.1 million for the first quarter of 2025, which included $18.7 million of provision recorded on purchased non-credit deteriorated (“non-PCD”) loans from Piedmont. The provision for credit losses was $6.7 million for the fourth quarter of 2024.
Noninterest income of $29.6 million for the first quarter of 2025 was flat from the fourth quarter of 2024, increasing $236 thousand, or less than 1%. Net gains on investment securities were $521 thousand for the first quarter of 2025 as compared to net losses on investment securities of $688 thousand for the fourth quarter of 2024. Fees from brokerage services increased $667 thousand from the fourth quarter of 2024. Partially offsetting these increases in noninterest income was a decrease in other noninterest income of $1.3 million.
Noninterest expense was $153.6 million for the first quarter of 2025, which included $11.3 million in merger-related expenses while noninterest expense was $134.2 million for the fourth quarter of 2024, which included $1.3 million in merger-related expenses. The increase in noninterest expense was primarily due to increases in other noninterest expense of $6.7 million, the expense for the reserve for unfunded loan commitments of $4.7 million, employee compensation of $2.5 million and smaller increases in several other categories of noninterest expense mainly from the acquisition. The increase in other noninterest expense was driven by $6.0 million in merger-related expenses for the first quarter of 2025 as compared to $1.3 million for the fourth quarter of 2024, as well as higher amounts of certain general operating expenses. During the first quarter of 2025, United recorded $4.1 million in merger-related expense for the reserve for unfunded loan commitments related to the Piedmont acquisition. The increase in employee compensation was driven by $1.2 million in merger-related expenses and higher employee headcount for the first quarter of 2025 from the acquisition.
Income tax expense was $22.6 million for the first quarter of 2025 as compared to $26.7 million for the fourth quarter of 2024. This decrease in income tax expense was due to lower earnings and a lower effective tax rate driven by the impact of provision to return adjustments in the fourth quarter of 2024. United’s effective tax rate was 21.2% and 22.0% for the first quarter of 2025 and fourth quarter of 2024, respectively.
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United Bankshares, Inc. Announces...
April 24, 2025
Page Three
First quarter of 2025 compared to the first quarter of 2024
Earnings for the first quarter of 2025 were $84.3 million, or $0.59 per diluted share, as compared to earnings of $86.8 million, or $0.64 per diluted share, for the first quarter of 2024.
Net interest income for the first quarter of 2025 increased $37.6 million, or 17%, from the first quarter of 2024. Tax-equivalent net interest income for the first quarter of 2025 increased $37.5 million, or 17%, from the first quarter of 2024. The increase in net interest income and tax-equivalent net interest income was primarily due to an increase in average earning assets, a lower average rate paid on deposits, and a decrease in average long-term borrowings partially offset by an increase in average interest-bearing deposits and a lower yield on average short-term investments. Average earning assets increased $2.5 billion, or 10%, from the first quarter of 2024 driven by increases in average net loans and loans held for sale of $1.9 billion and average short-term investments of $1.2 billion partially offset by a decrease in average investment securities of $709.6 million. The increase in average net loans and loans held for sale was largely driven by the Piedmont acquisition. The decrease in average investment securities was driven by sales during 2024. The cost of average interest-bearing deposits decreased 25 basis points from the first quarter of 2024. Average long-term borrowings decreased $945.6 million from the first quarter of 2024. Average interest-bearing deposits increased $2.7 billion from the first quarter of 2024. The yield on average short-term investments decreased 110 basis points from the first quarter of 2024. Interest income and tax-equivalent net interest income for the first quarter of 2025 included $6.0 million of acquired loan accretion income as compared to $2.5 million for the first quarter of 2024. The net interest margin of 3.69% for the first quarter of 2025 was an increase of 25 basis points from the net interest margin of 3.44% for the first quarter of 2024.
The provision for credit losses was $29.1 million for the first quarter of 2025, which included $18.7 million of provision recorded on non-PCD loans from Piedmont. The provision for credit losses was $5.7 million for the first quarter of 2024.
Noninterest income for the first quarter of 2025 was $29.6 million, a decrease of $2.7 million, or 8%, from the first quarter of 2024 primarily due to a decrease in income from mortgage banking activities of $2.8 million. The decrease in income from mortgage banking activities was mainly due to lower mortgage loan origination and sale volume.
Noninterest expense for the first quarter of 2025 was $153.6 million, which included $11.3 million in merger-related expenses while noninterest expense was $140.7 million for the first quarter of 2024. Other noninterest expense increased $7.6 million driven by $6.0 million in merger-related expenses recognized during the first quarter of 2025 and higher amounts of certain general operating expenses. The expense for the reserve for unfunded loan commitments increased $3.5 million driven by $4.1 million in expense recognized during the first quarter of 2025 related to the Piedmont acquisition partially offset by a decrease in loan commitments. Increases in several other categories of noninterest expense mainly from the acquisition were partially offset by a decrease in Federal Deposit Insurance Corporation (“FDIC”) insurance expense. FDIC insurance expense for the first quarter of 2024 included $1.8 million in expense for the FDIC’s special assessment.
For the first quarter of 2025, income tax expense was $22.6 million as compared to $21.4 million for the first quarter of 2024. The increase of $1.2 million was due to a higher effective tax rate partially offset by lower earnings. United’s effective tax rate was 21.2% and 19.8% for the first quarter of 2025 and 2024, respectively.
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United Bankshares, Inc. Announces...
April 24, 2025
Page Four
Credit Quality
United’s asset quality continues to be sound. At March 31, 2025, non-performing loans (“NPLs”) were $69.8 million, or 0.29% of loans & leases, net of unearned income. Total non-performing assets (“NPAs”) were $71.3 million, including other real estate owned (“OREO”) of $1.5 million, or 0.22% of total assets at March 31, 2025. At December 31, 2024, NPLs were $73.4 million, or 0.34% of loans & leases, net of unearned income. Total NPAs were $73.7 million, including OREO of $327 thousand, or 0.25% of total assets at December 31, 2024.
As of March 31, 2025, the allowance for loan & lease losses was $310.4 million, or 1.30% of loans & leases, net of unearned income. At December 31, 2024, the allowance for loan & lease losses was $271.8 million, or 1.25% of loans & leases, net of unearned income. During the first quarter of 2025, United recorded an allowance for loan & lease losses on acquired Piedmont non-PCD loans of $18.7 million and on acquired Piedmont purchased credit deteriorated (“PCD”) loans of $17.5 million.
Net charge-offs were $8.0 million, or 0.14% on an annualized basis as a percentage of average loans & leases, net of unearned income for the first quarter of 2025. Net charge-offs were $5.6 million, or 0.10% on an annualized basis as a percentage of average loans & leases, net of unearned income for the fourth quarter of 2024. Net charge-offs were $2.1 million, or 0.04% on an annualized basis as a percentage of average loans & leases, net of unearned income for the first quarter of 2024.
Capital
United continues to be well-capitalized based upon regulatory guidelines. United’s estimated risk-based capital ratio is 15.7% at March 31, 2025, while estimated Common Equity Tier 1 capital, Tier 1 capital, and leverage ratios are 13.3%, 13.3%, and 11.3%, respectively. The regulatory requirements for a well-capitalized financial institution are a risk-based capital ratio of 10.0%, a Common Equity Tier 1 capital ratio of 6.5%, a Tier 1 capital ratio of 8.0% and a leverage ratio of 5.0%.
During the first quarter of 2025, United repurchased, under a previously announced stock repurchase plan, approximately 567 thousand shares of its common stock at an average price per share of $34.93. United did not repurchase any shares of its common stock during 2024.
AboutUnited Bankshares, Inc.
As of March 31, 2025, United had consolidated assets of approximately $33 billion and is the 41st largest banking company in the U.S. based on market capitalization. United is the parent company of United Bank, which comprises more than 240 offices located throughout Washington, D.C., Virginia, West Virginia, Maryland, North Carolina, South Carolina, Ohio, Pennsylvania, and Georgia. United’s stock is traded on the NASDAQ Global Select Market under the quotation symbol “UBSI”.
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United Bankshares, Inc. Announces...
April 24, 2025
Page Five
Cautionary Statements
The Company is required under generally accepted accounting principles to evaluate subsequent events through the filing of itsMarch 31, 2025 consolidated financial statements on Form 10-Q. As a result, the Company will continue to evaluate the impact of any subsequent events on critical accounting assumptions and estimates madeas of March 31, 2025 and will adjust amounts preliminarily reported, if necessary.
Use of non-GAAPFinancial Measures
This press release contains certain financial measures that are not recognized under U.S. generally acceptedaccounting principles (“GAAP”). Generally, United has presented these “non-GAAP” financial measures because it believes that these measures provide meaningful additional information toassist in the evaluation of United’s results of operations or financial position. Presentation of these non-GAAP financial measures is consistent with how United’s management evaluates itsperformance internally and these non-GAAP financial measures are frequently used by securities analysts, investors, and other interested parties in the evaluation of companies in the banking industry.
Specifically, this press release contains certain references to financial measures identified astax-equivalent (FTE) net interest income, average tangible equity, return on average tangible equity, and tangible book value per share. Management believes thesenon-GAAP financial measures to be helpful in understanding United’s results of operations or financial position.
Net interest income is presented in this press release on a tax-equivalent basis. The tax-equivalent basis adjusts for the tax-favored status of income from certain loans and investments. Although this is a non-GAAPmeasure, United’s management believes this measure is more widely used within the financial services industry and provides better comparability of net interest income arising from taxable and tax-exemptsources. United uses this measure to monitor net interest income performance and to manage its balance sheet composition. The tax-equivalent adjustment combines amounts of interest income on federallynontaxable loans and investment securities using the statutory federal income tax rate of 21%.
Tangible equity is calculated asGAAP total shareholders’ equity minus total intangible assets. Tangible equity can thus be considered the most conservative valuation of the company. Tangible equity is also presented on a per common share basis and considering net income, areturn on average tangible equity. Management provides these amounts to facilitate the understanding of as well as to assess the quality and composition of United’s capital structure. By removing the effect of intangible assets that result frommerger and acquisition activity, the “permanent” items of equity are presented. These measures, along with others, are used by management to analyze capital adequacy and performance.
Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well asreconciliation to that comparable GAAP financial measure can be found in the attached financial information tables to this press release. Investors should recognize that United’s presentation of thesenon-GAAP financial measures might not be comparable to similarly titled measures at other companies. These non-GAAP financial measures should not be considered asubstitute for GAAP basis measures and United strongly encourages a review of its condensed consolidated financial statements in their entirety.
Forward-Looking Statements
Inthis report, we have made various statements regarding current expectations or forecasts of future events, which speak only as of the date the statements are made. These statements are “forward-looking statements” within the meaning of thePrivate Securities Litigation Reform Act of 1995. Forward-looking statements are also made from time-to-time in press releases and in oral statements made by theofficers of the Company. Forward-looking statements can be identified by the use of the words “expect,” “may,” “could,” “intend,” “project,” “estimate,” “believe,”“anticipate,” and other words of similar meaning. Such forward-looking statements are based on assumptions and estimates, which although believed to be reasonable, may turn out to be incorrect. Therefore, undue reliance should not beplaced upon these estimates and statements. United cannot assure that any of these statements, estimates, or beliefs will be realized and actual results may differ from those contemplated in these “forward-looking statements.” Thefollowing factors, among others, could cause the actual results of United’s operations to differ materially from its expectations: (1) the effects of and changes in trade and monetary and fiscal policies and laws, including the interestrate policies of the Federal Reserve and the recently announced and future tariffs; (2) general competitive, economic, political and market conditions and other factors that may affect future results of United, including changes in assetquality and credit risk; the inability to sustain revenue and earnings growth; changes in interest rates and capital markets; inflation; customer borrowing, repayment, investment and deposit practices; the impact, extent and timing of technologicalchanges; capital management activities; and other actions of the Federal Reserve Board and legislative and regulatory actions and reforms; (3) risks related to the acquisition and integration of Piedmont including, among others, (i) therisk that the expected growth opportunities or cost savings from the acquisition may not be fully realized or may take longer to realize than expected, and (ii) reputational risk and the reaction of each company’s customers, suppliers,employees or other business partners to the acquisition; (4) deposit attrition, client loss or revenue loss following completed mergers or acquisitions that may be greater than anticipated; (5) regulatory change risk resulting from newlaws, rules, regulations, or accounting principles, including, without limitation, the possibility that regulatory agencies may require higher levels of capital above the current regulatory-mandated minimums and the possibility of changes inaccounting standards, policies, principles and practices; (6) the cost and effects of cyber incidents or other failures, interruptions, or security breaches of United’s systems and those of our customers or third-party providers;(7) competitive pressures on product pricing and services; (8) success, impact, and timing of United’s business strategies, including market acceptance of any new products or services; (9) volatility and disruptions in globalcapital and credit markets; (10) operational, technological, cultural, regulatory, legal, credit and other risks associated with the exploration, consummation and integration of potential future acquisitions; (11) catastrophic events suchas hurricanes, tornados, earthquakes, floods or other natural or human disasters, including public health crises and infectious disease outbreaks, as well as any government actions in response to such events; (12) geopolitical risk fromterrorist activities and armed conflicts that may result in economic and supply disruptions, and loss of market and consumer confidence; (13) the risks of fluctuations in market prices for United common stock that may or may not reflecteconomic condition or performance of United; and (14) the nature, extent, timing, and results of governmental actions, examinations, reviews, reforms, regulations, and interpretations;. For more information about factors that could cause actualresults to differ materially from United’s expectations, refer to its reports filed with the Securities and Exchange Commission, including the discussion under “Risk Factors” in the Annual Report on Form10-K for the year ended December 31, 2024, as filed with the Securities and Exchange Commission and available on its website at www.sec.gov. Further, any forward-looking statement speaks only as of thedate on which it is made, and United undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events, or otherwise. You are advised to consult further disclosures United may make onrelated subjects in our filings with the SEC.
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UNITED BANKSHARES, INC. AND SUBSIDIARIES
Washington, D.C. and Charleston, WV
Stock Symbol: UBSI
(InThousands Except for Per Share Data)
| Three Months Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| March<br>2025 | December<br>2024 | March<br>2024 | |||||||
| EARNINGS SUMMARY: | |||||||||
| Interest income | $ | 403,647 | $ | 376,034 | $ | 369,180 | |||
| Interest expense | 143,592 | 143,426 | 146,691 | ||||||
| Net interest income | 260,055 | 232,608 | 222,489 | ||||||
| Provision for credit losses | 29,103 | 6,691 | 5,740 | ||||||
| Noninterest income | 29,554 | 29,318 | 32,212 | ||||||
| Noninterest expense | 153,573 | 134,176 | 140,742 | ||||||
| Income before income taxes | 106,933 | 121,059 | 108,219 | ||||||
| Income taxes | 22,627 | 26,651 | 21,405 | ||||||
| Net income | $ | 84,306 | $ | 94,408 | $ | 86,814 | |||
| PER COMMON SHARE: | |||||||||
| Net income: | |||||||||
| Basic | $ | 0.59 | $ | 0.70 | $ | 0.64 | |||
| Diluted | 0.59 | 0.69 | 0.64 | ||||||
| Cash dividends | 0.37 | 0.37 | 0.37 | ||||||
| Book value | 37.19 | 36.89 | 35.56 | ||||||
| Closing market price | $ | 34.67 | $ | 37.55 | $ | 35.79 | |||
| Common shares outstanding: | |||||||||
| Actual at period end, net of treasury shares | 142,891,148 | 135,346,628 | 135,192,675 | ||||||
| Weighted average-basic | 142,330,694 | 135,235,641 | 134,808,634 | ||||||
| Weighted average-diluted | 142,698,118 | 135,732,069 | 135,121,380 | ||||||
| FINANCIAL RATIOS: | |||||||||
| Return on average assets | 1.06 | % | 1.25 | % | 1.19 | % | |||
| Return on average shareholders’ equity | 6.47 | % | 7.48 | % | 7.25 | % | |||
| Return on average tangible equity (non-GAAP)^(1)^ | 10.61 | % | 12.03 | % | 11.98 | % | |||
| Average equity to average assets | 16.42 | % | 16.72 | % | 16.36 | % | |||
| Net interest margin | 3.69 | % | 3.49 | % | 3.44 | % | |||
| March 31<br>2025 | December 31<br>2024 | March 31<br>2024 | |||||||
| PERIOD END BALANCES: | |||||||||
| Assets | $ | 32,788,494 | $ | 30,023,545 | $ | 30,028,798 | |||
| Earning assets | 29,106,693 | 26,650,661 | 26,659,694 | ||||||
| Loans & leases, net of unearned income | 23,863,072 | 21,673,493 | 21,520,076 | ||||||
| Loans held for sale | 28,642 | 44,360 | 44,426 | ||||||
| Investment securities | 3,313,997 | 3,259,296 | 3,954,519 | ||||||
| Total deposits | 26,364,635 | 23,961,859 | 22,919,746 | ||||||
| Shareholders’ equity | 5,314,449 | 4,993,223 | 4,807,441 |
Note: (1) See information under the “Selected Financial Ratios” table for a reconciliation of non-GAAP measure.
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UNITED BANKSHARES, INC. AND SUBSIDIARIES
Washington, D.C. and Charleston, WV
Stock Symbol: UBSI
(InThousands Except for Per Share Data)
Consolidated Statements of Income
| Three Months Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| March2025 | December2024 | March2024 | |||||||
| Interest & Loan Fees Income (GAAP) | $ | 403,647 | $ | 376,034 | $ | 369,180 | |||
| Tax equivalent adjustment | 782 | 795 | 872 | ||||||
| Interest & Fees Income (FTE) (non-GAAP) | 404,429 | 376,829 | 370,052 | ||||||
| Interest Expense | 143,592 | 143,426 | 146,691 | ||||||
| Net Interest Income (FTE) (non-GAAP) | 260,837 | 233,403 | 223,361 | ||||||
| Provision for Credit Losses | 29,103 | 6,691 | 5,740 | ||||||
| Noninterest Income: | |||||||||
| Fees from trust services | 4,782 | 5,156 | 4,646 | ||||||
| Fees from brokerage services | 5,645 | 4,978 | 5,267 | ||||||
| Fees from deposit services | 9,307 | 9,473 | 8,971 | ||||||
| Bankcard fees and merchant discounts | 1,751 | 2,056 | 1,873 | ||||||
| Other charges, commissions, and fees | 1,081 | 868 | 858 | ||||||
| Income from bank-owned life insurance | 3,370 | 3,226 | 2,418 | ||||||
| Income from mortgage banking activities | 2,479 | 2,314 | 5,298 | ||||||
| Mortgage loan servicing income | — | — | 789 | ||||||
| Net gains (losses) on investment securities | 521 | (688 | ) | (99 | ) | ||||
| Other noninterest income | 618 | 1,935 | 2,191 | ||||||
| Total Noninterest Income | 29,554 | 29,318 | 32,212 | ||||||
| Noninterest Expense: | |||||||||
| Employee compensation | 60,866 | 58,343 | 59,293 | ||||||
| Employee benefits | 13,291 | 13,719 | 14,671 | ||||||
| Net occupancy | 12,601 | 11,070 | 12,343 | ||||||
| Data processing | 8,455 | 7,437 | 7,463 | ||||||
| Amortization of intangibles | 2,341 | 910 | 910 | ||||||
| OREO expense | 22 | 45 | 159 | ||||||
| Net (gains) losses on the sale of OREO properties | (11 | ) | 10 | (83 | ) | ||||
| Equipment expense | 8,582 | 7,474 | 6,853 | ||||||
| FDIC insurance expense | 4,728 | 3,884 | 6,455 | ||||||
| Mortgage loan servicing expense and impairment | — | — | 1,015 | ||||||
| Expense for the reserve for unfunded loan commitments | 1,657 | (3,062 | ) | (1,790 | ) | ||||
| Other noninterest expense | 41,041 | 34,346 | 33,453 | ||||||
| Total Noninterest Expense | 153,573 | 134,176 | 140,742 | ||||||
| Income Before Income Taxes (FTE)(non-GAAP) | 107,715 | 121,854 | 109,091 | ||||||
| Tax equivalent adjustment | 782 | 795 | 872 | ||||||
| Income Before Income Taxes (GAAP) | 106,933 | 121,059 | 108,219 | ||||||
| Taxes | 22,627 | 26,651 | 21,405 | ||||||
| Net Income | $ | 84,306 | $ | 94,408 | $ | 86,814 | |||
| MEMO: Effective Tax Rate | 21.16 | % | 22.01 | % | 19.78 | % |
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UNITED BANKSHARES, INC. AND SUBSIDIARIES
Washington, D.C. and Charleston, WV
Stock Symbol: UBSI
(InThousands Except for Per Share Data)
Consolidated Balance Sheets
| March 2025Q-T-D Average | December 2024<br>Q-T-D Average | March 2024<br>Q-T-D Average | March 31<br>2025 | December 31<br>2024 | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash & Cash Equivalents | $ | 2,376,426 | $ | 2,036,079 | $ | 1,131,565 | $ | 2,610,183 | $ | 2,292,244 | |||||
| Securities Available for Sale | 3,047,164 | 3,245,428 | 3,717,961 | 3,002,984 | 2,959,719 | ||||||||||
| Less: Allowance for credit losses | — | — | — | — | — | ||||||||||
| Net available for sale securities | 3,047,164 | 3,245,428 | 3,717,961 | 3,002,984 | 2,959,719 | ||||||||||
| Securities Held to Maturity | 1,020 | 1,020 | 1,020 | 1,020 | 1,020 | ||||||||||
| Less: Allowance for credit losses | (18 | ) | (19 | ) | (17 | ) | (18 | ) | (18 | ) | |||||
| Net held to maturity securities | 1,002 | 1,001 | 1,003 | 1,002 | 1,002 | ||||||||||
| Equity Securities | 21,016 | 9,012 | 8,946 | 21,514 | 21,058 | ||||||||||
| Other Investment Securities | 288,618 | 288,453 | 316,490 | 288,497 | 277,517 | ||||||||||
| Total Securities | 3,357,800 | 3,543,894 | 4,044,400 | 3,313,997 | 3,259,296 | ||||||||||
| Total Cash and Securities | 5,734,226 | 5,579,973 | 5,175,965 | 5,924,180 | 5,551,540 | ||||||||||
| Loans held for sale | 23,865 | 45,143 | 43,759 | 28,642 | 44,360 | ||||||||||
| Commercial Loans & Leases | 17,903,431 | 16,093,104 | 15,630,846 | 18,308,502 | 16,152,453 | ||||||||||
| Mortgage Loans | 4,756,253 | 4,709,802 | 4,757,005 | 4,768,669 | 4,702,720 | ||||||||||
| Consumer Loans | 827,996 | 873,961 | 1,090,632 | 796,907 | 825,325 | ||||||||||
| Gross Loans | 23,487,680 | 21,676,867 | 21,478,483 | 23,874,078 | 21,680,498 | ||||||||||
| Unearned income | (11,885 | ) | (8,862 | ) | (13,631 | ) | (11,006 | ) | (7,005 | ) | |||||
| Loans & Leases, net of unearned income | 23,475,795 | 21,668,005 | 21,464,852 | 23,863,072 | 21,673,493 | ||||||||||
| Allowance for Loan & Lease Losses | (308,225 | ) | (270,751 | ) | (259,341 | ) | (310,424 | ) | (271,844 | ) | |||||
| Net Loans | 23,167,570 | 21,397,254 | 21,205,511 | 23,552,648 | 21,401,649 | ||||||||||
| Mortgage Servicing Rights | — | — | 4,427 | — | — | ||||||||||
| Goodwill | 2,022,411 | 1,888,889 | 1,888,889 | 2,023,604 | 1,888,889 | ||||||||||
| Other Intangibles | 38,564 | 9,446 | 12,185 | 39,289 | 8,866 | ||||||||||
| Operating Lease<br>Right-of-Use Asset | 87,363 | 82,505 | 86,375 | 86,832 | 81,742 | ||||||||||
| Other Real Estate Owned | 467 | 190 | 2,668 | 1,475 | 327 | ||||||||||
| Bank-Owned Life Insurance | 534,042 | 495,839 | 488,401 | 538,733 | 497,181 | ||||||||||
| Other Assets | 571,732 | 513,487 | 524,203 | 593,091 | 548,991 | ||||||||||
| Total Assets | $ | 32,180,240 | $ | 30,012,726 | $ | 29,432,383 | $ | 32,788,494 | $ | 30,023,545 | |||||
| MEMO: Interest-earning Assets | $ | 28,568,541 | $ | 26,687,835 | $ | 26,087,458 | $ | 29,106,693 | $ | 26,650,661 | |||||
| Interest-bearing Deposits | $ | 19,367,638 | $ | 17,871,685 | $ | 16,663,765 | $ | 19,883,758 | $ | 17,826,446 | |||||
| Noninterest-bearing Deposits | 6,471,287 | 6,099,264 | 5,941,866 | 6,480,877 | 6,135,413 | ||||||||||
| Total Deposits | 25,838,925 | 23,970,949 | 22,605,631 | 26,364,635 | 23,961,859 | ||||||||||
| Short-term Borrowings | 167,080 | 180,070 | 203,570 | 176,015 | 176,090 | ||||||||||
| Long-term Borrowings | 554,614 | 540,247 | 1,500,237 | 550,623 | 540,420 | ||||||||||
| Total Borrowings | 721,694 | 720,317 | 1,703,807 | 726,638 | 716,510 | ||||||||||
| Operating Lease Liability | 92,491 | 87,935 | 92,480 | 91,921 | 86,771 | ||||||||||
| Other Liabilities | 243,588 | 214,456 | 213,989 | 290,851 | 265,182 | ||||||||||
| Total Liabilities | 26,896,698 | 24,993,657 | 24,615,907 | 27,474,045 | 25,030,322 | ||||||||||
| Preferred Equity | — | — | — | — | — | ||||||||||
| Common Equity | 5,283,542 | 5,019,069 | 4,816,476 | 5,314,449 | 4,993,223 | ||||||||||
| Total Shareholders’ Equity | 5,283,542 | 5,019,069 | 4,816,476 | 5,314,449 | 4,993,223 | ||||||||||
| Total Liabilities & Equity | $ | 32,180,240 | $ | 30,012,726 | $ | 29,432,383 | $ | 32,788,494 | $ | 30,023,545 | |||||
| MEMO: Interest-bearing Liabilities | $ | 20,089,332 | $ | 18,592,002 | $ | 18,367,572 | $ | 20,610,396 | $ | 18,542,956 |
8
UNITED BANKSHARES, INC. AND SUBSIDIARIES
Washington, D.C. and Charleston, WV
Stock Symbol: UBSI
(InThousands Except for Per Share Data)
| Three Months Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| March<br>2025 | December<br>2024 | March<br>2024 | |||||||
| Quarterly Share Data: | |||||||||
| Earnings Per Share: | |||||||||
| Basic | $ | 0.59 | $ | 0.70 | $ | 0.64 | |||
| Diluted | $ | 0.59 | $ | 0.69 | $ | 0.64 | |||
| Common Dividend Declared Per Share | $ | 0.37 | $ | 0.37 | $ | 0.37 | |||
| High Common Stock Price | $ | 39.56 | $ | 44.43 | $ | 38.18 | |||
| Low Common Stock Price | $ | 33.81 | $ | 35.31 | $ | 32.92 | |||
| Average Shares Outstanding (Net of Treasury Stock): | |||||||||
| Basic | 142,330,694 | 135,235,641 | 134,808,634 | ||||||
| Diluted | 142,698,118 | 135,732,069 | 135,121,380 | ||||||
| Common Dividends | $ | 53,336 | $ | 50,259 | $ | 50,213 | |||
| Dividend Payout Ratio | 63.26 | % | 53.24 | % | 57.84 | % | |||
| March 31<br>2025 | December 31<br>2024 | March 31<br>2024 | |||||||
| EOP Share Data: | |||||||||
| Book Value Per Share | $ | 37.19 | $ | 36.89 | $ | 35.56 | |||
| Tangible Book Value Per Share (non-GAAP) ^(1)^ | $ | 22.76 | $ | 22.87 | $ | 21.50 | |||
| 52-week High Common Stock Price | $ | 44.43 | $ | 44.43 | $ | 38.74 | |||
| Date | 11/25/24 | 11/25/24 | 12/14/23 | ||||||
| 52-week Low Common Stock Price | $ | 30.68 | $ | 30.68 | $ | 25.35 | |||
| Date | 6/11/24 | 06/11/24 | 10/24/23 | ||||||
| EOP Shares Outstanding (Net of Treasury Stock): | 142,891,148 | 135,346,628 | 135,192,675 | ||||||
| Memorandum Items: | |||||||||
| Employees (full-time equivalent) | 2,790 | 2,591 | 2,716 | ||||||
| Note: | |||||||||
| (1) Tangible Book Value Per Share: | |||||||||
| Total Shareholders’ Equity (GAAP) | $ | 5,314,449 | $ | 4,993,223 | $ | 4,807,441 | |||
| Less: Total Intangibles | (2,062,893 | ) | (1,897,755 | ) | (1,900,484 | ) | |||
| Tangible Equity (non-GAAP) | $ | 3,251,556 | $ | 3,095,468 | $ | 2,906,957 | |||
| ÷ EOP Shares Outstanding (Net of Treasury Stock) | 142,891,148 | 135,346,628 | 135,192,675 | ||||||
| Tangible Book Value Per Share (non-GAAP) | $ | 22.76 | $ | 22.87 | $ | 21.50 |
9
UNITED BANKSHARES, INC. AND SUBSIDIARIES
Washington, D.C. and Charleston, WV
Stock Symbol: UBSI
(InThousands Except for Per Share Data)
| Three Months Ended<br>March 2025 | Three Months Ended<br>December 2024 | Three Months Ended<br>March 2024 | ||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Average<br>Balance | Interest^(1)^ | Average<br>Rate^(1)^ | Average<br>Balance | Interest^(1)^ | Average<br>Rate^(1)^ | Average<br>Balance | Interest^(1)^ | Average<br>Rate^(1)^ | ||||||||||||||||
| Selected Average Balances and Yields: | ||||||||||||||||||||||||
| ASSETS: | ||||||||||||||||||||||||
| Earning Assets: | ||||||||||||||||||||||||
| Federal funds sold and securities purchased under agreements to resell and other short-term<br>investments | $ | 2,131,157 | $ | 23,726 | 4.51 | % | $ | 1,807,207 | $ | 21,876 | 4.82 | % | $ | 882,656 | $ | 12,303 | 5.61 | % | ||||||
| Investment securities: | ||||||||||||||||||||||||
| Taxable | 3,048,058 | 26,911 | 3.53 | % | 3,242,979 | 29,244 | 3.61 | % | 3,743,157 | 34,722 | 3.71 | % | ||||||||||||
| Tax-exempt | 197,891 | 1,486 | 3.00 | % | 195,252 | 1,374 | 2.81 | % | 212,375 | 1,474 | 2.78 | % | ||||||||||||
| Total securities | 3,245,949 | 28,397 | 3.50 | % | 3,438,231 | 30,618 | 3.56 | % | 3,955,532 | 36,196 | 3.66 | % | ||||||||||||
| Loans and loans held for sale, net of unearned income<br>^(2)^ | 23,499,660 | 352,306 | 6.07 | % | 21,713,148 | 324,335 | 5.95 | % | 21,508,611 | 321,553 | 6.01 | % | ||||||||||||
| Allowance for loan & lease losses | (308,225 | ) | (270,751 | ) | (259,341 | ) | ||||||||||||||||||
| Net loans and loans held for sale | 23,191,435 | 6.15 | % | 21,442,397 | 6.02 | % | 21,249,270 | 6.08 | % | |||||||||||||||
| Total earning assets | 28,568,541 | $ | 404,429 | 5.73 | % | 26,687,835 | $ | 376,829 | 5.62 | % | 26,087,458 | $ | 370,052 | 5.70 | % | |||||||||
| Other assets | 3,611,699 | 3,324,891 | 3,344,925 | |||||||||||||||||||||
| TOTAL ASSETS | $ | 32,180,240 | $ | 30,012,726 | $ | 29,432,383 | ||||||||||||||||||
| LIABILITIES: | ||||||||||||||||||||||||
| Interest-Bearing Liabilities: | ||||||||||||||||||||||||
| Interest-bearing deposits | $ | 19,367,638 | $ | 136,288 | 2.85 | % | $ | 17,871,685 | $ | 135,690 | 3.02 | % | $ | 16,663,765 | $ | 128,377 | 3.10 | % | ||||||
| Short-term borrowings | 167,080 | 1,450 | 3.52 | % | 180,070 | 1,630 | 3.60 | % | 203,570 | 2,082 | 4.11 | % | ||||||||||||
| Long-term borrowings | 554,614 | 5,854 | 4.28 | % | 540,247 | 6,106 | 4.50 | % | 1,500,237 | 16,232 | 4.35 | % | ||||||||||||
| Total interest-bearing liabilities | 20,089,332 | 143,592 | 2.90 | % | 18,592,002 | 143,426 | 3.07 | % | 18,367,572 | 146,691 | 3.21 | % | ||||||||||||
| Noninterest-bearing deposits | 6,471,287 | 6,099,264 | 5,941,866 | |||||||||||||||||||||
| Accrued expenses and other liabilities | 336,079 | 302,391 | 306,469 | |||||||||||||||||||||
| TOTAL LIABILITIES | 26,896,698 | 24,993,657 | 24,615,907 | |||||||||||||||||||||
| SHAREHOLDERS’ EQUITY | 5,283,542 | 5,019,069 | 4,816,476 | |||||||||||||||||||||
| TOTAL LIABILITIES AND<br><br><br>SHAREHOLDERS’ EQUITY | $ | 32,180,240 | $ | 30,012,726 | $ | 29,432,383 | ||||||||||||||||||
| NET INTEREST INCOME | $ | 260,837 | $ | 233,403 | $ | 223,361 | ||||||||||||||||||
| INTEREST RATE SPREAD | 2.83 | % | 2.55 | % | 2.49 | % | ||||||||||||||||||
| NET INTEREST MARGIN | 3.69 | % | 3.49 | % | 3.44 | % | ||||||||||||||||||
| (1) | The interest income and the yields on federally nontaxable loans and investment securities are presented on a tax-equivalent basis using the statutory federal income tax rate of 21%. | |||||||||||||||||||||||
| --- | --- | |||||||||||||||||||||||
| (2) | Nonaccruing loans are included in the daily average loan amounts outstanding. | |||||||||||||||||||||||
| --- | --- |
10
UNITED BANKSHARES, INC. AND SUBSIDIARIES
Washington, D.C. and Charleston, WV
Stock Symbol: UBSI
(InThousands Except for Per Share Data)
| Three Months Ended | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| March<br>2025 | December<br>2024 | March<br>2024 | ||||||||||||
| Selected Financial Ratios: | ||||||||||||||
| Return on Average Assets | 1.06 | % | 1.25% | 1.19% | ||||||||||
| Return on Average Shareholders’ Equity | 6.47 | % | 7.48% | 7.25% | ||||||||||
| Return on Average Tangible Equity (non-GAAP) ^(1)^ | 10.61 | % | 12.03% | 11.98% | ||||||||||
| Efficiency Ratio | 53.03 | % | 51.23% | 55.26% | ||||||||||
| Price / Earnings Ratio | 14.70 | x | 13.53 | x | 13.96 | x | ||||||||
| Note: | ||||||||||||||
| (1) Return on Average Tangible Equity: | ||||||||||||||
| (a) Net Income (GAAP) | $ | 84,306 | $ | 94,408 | $ | 86,814 | ||||||||
| (b) Number of Days | 90 | 92 | 91 | |||||||||||
| Average Total Shareholders’ Equity (GAAP) | $ | 5,283,542 | $ | 5,019,069 | $ | 4,816,476 | ||||||||
| Less: Average Total Intangibles | (2,060,975 | ) | (1,898,335) | (1,901,074) | ||||||||||
| (c) Average Tangible Equity (non-GAAP) | $ | 3,222,567 | $ | 3,120,734 | $ | 2,915,402 | ||||||||
| Return on Average Tangible Equity (non-GAAP)\[(a) / (b)] x<br>365 or 366 / (c) | 10.61 | % | 12.03% | 11.98% | ||||||||||
| March 31<br>2025 | December 31<br>2024 | March 31<br>2024 | ||||||||||||
| Selected Financial Ratios: | ||||||||||||||
| Loans & Leases, net of unearned income / Deposit Ratio | 90.51 | % | 90.45 | % | 93.89 | % | ||||||||
| Allowance for Loan & Lease Losses/ Loans & Leases, net of unearned<br>income | 1.30 | % | 1.25 | % | 1.22 | % | ||||||||
| Allowance for Credit Losses ^(2)^/<br>Loans & Leases, net of unearned income | 1.45 | % | 1.42 | % | 1.42 | % | ||||||||
| Nonaccrual Loans / Loans & Leases, net of unearned income | 0.24 | % | 0.26 | % | 0.29 | % | ||||||||
| 90-Day Past Due Loans/ Loans & Leases, net of<br>unearned income | 0.05 | % | 0.08 | % | 0.05 | % | ||||||||
| Non-performing Loans/ Loans & Leases, net of<br>unearned income | 0.29 | % | 0.34 | % | 0.35 | % | ||||||||
| Non-performing Assets/ Total Assets | 0.22 | % | 0.25 | % | 0.26 | % | ||||||||
| Primary Capital Ratio | 17.09 | % | 17.47 | % | 16.86 | % | ||||||||
| Shareholders’ Equity Ratio | 16.21 | % | 16.63 | % | 16.01 | % | ||||||||
| Price / Book Ratio | 0.93 | x | 1.02 | x | 1.01 | x | ||||||||
| Note: | ||||||||||||||
| (2) Includes allowances for loan losses and lending-related commitments. |
11
UNITED BANKSHARES, INC. AND SUBSIDIARIES
Washington, D.C. and Charleston, WV
Stock Symbol: UBSI
(InThousands Except for Per Share Data)
| Three Months Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| March<br>2025 | December<br>2024 | March<br>2024 | |||||||
| Mortgage Banking Data: | |||||||||
| Loans originated | $ | 75,903 | $ | 132,381 | $ | 176,906 | |||
| Loans sold | 91,621 | 134,514 | 188,711 | ||||||
| March 312025 | December 312024 | March 312024 | |||||||
| Mortgage Loan ServicingData:^(1)^ | |||||||||
| Balance of loans serviced | $ | — | $ | — | $ | 1,173,246 | |||
| Number of loans serviced | — | — | 12,163 | ||||||
| March 312025 | December 312024 | March 312024 | |||||||
| Asset Quality Data: | |||||||||
| EOP Non-Accrual Loans | $ | 57,388 | $ | 56,460 | $ | 63,053 | |||
| EOP 90-Day Past Due Loans | 12,387 | 16,940 | 11,329 | ||||||
| Total EOP Non-performing Loans | $ | 69,775 | $ | 73,400 | $ | 74,382 | |||
| EOP Other Real Estate Owned | 1,475 | 327 | 2,670 | ||||||
| Total EOP Non-performing Assets | $ | 71,250 | $ | 73,727 | $ | 77,052 | |||
| Three Months Ended | |||||||||
| March<br>2025 | December<br>2024 | March<br>2024 | |||||||
| Allowance for Loan & Lease Losses: | |||||||||
| Beginning Balance | $ | 271,844 | $ | 270,767 | $ | 259,237 | |||
| Initial allowance for acquired PCD loans | 17,518 | — | — | ||||||
| Gross Charge-offs | (8,677 | ) | (6,509 | ) | (3,576 | ) | |||
| Recoveries | 636 | 894 | 1,506 | ||||||
| Net Charge-offs | (8,041 | ) | (5,615 | ) | (2,070 | ) | |||
| Provision for Loan & Lease<br>Losses^(2)^ | 29,103 | 6,692 | 5,738 | ||||||
| Ending Balance | 310,424 | $ | 271,844 | $ | 262,905 | ||||
| Reserve for lending-related commitments | 36,567 | 34,911 | 42,915 | ||||||
| Allowance for Credit Losses^(3)^ | $ | 346,991 | $ | 306,755 | $ | 305,820 |
Notes:
| (1) | As previously disclosed, United sold its remaining mortgage servicing rights during the third quarter of 2024.<br> |
|---|---|
| (2) | Includes $18.7 million provision for acquired non-PCD loans.<br> |
| --- | --- |
| (3) | Includes allowances for loan losses and lending-related commitments. |
| --- | --- |
12
EX-99.2
First Quarter 2025 Earnings Review United Bankshares, Inc. (UBSI) April 24, 2025 Exhibit 99.2
This presentation and statements made by United Bankshares, Inc. (“UBSI”) and its management contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are intended to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements about (i) the benefits of the merger between Piedmont Bancorp, Inc. (“Piedmont”) and UBSI (the “Merger”); (ii) projections of income, expenses, provision expense, capital structure and other financial information; (iii) UBSI’s plans, objectives, expectations and intentions and other statements contained in this presentation that are not historical facts; and (iv) other statements identified by words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “targets,” “projects,” “will,” or words of similar meaning generally intended to identify forward-looking statements. These forward-looking statements are based upon the current beliefs and expectations of the management of UBSI and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond the control of UBSI. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Actual results may differ materially from the anticipated results discussed in these forward-looking statements because of possible uncertainties. The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statements: (1) the effects of and changes in trade and monetary and fiscal policies and laws, including the interest rate policies of the Federal Reserve and the recently announced and future tariffs; (2) general competitive, economic, political and market conditions and other factors that may affect future results of UBSI, including changes in asset quality and credit risk; the inability to sustain revenue and earnings growth; changes in interest rates and capital markets; inflation; customer borrowing, repayment, investment and deposit practices; the impact, extent and timing of technological changes; capital management activities; and other actions of the Federal Reserve Board and legislative and regulatory actions and reforms; (3) risks related to the acquisition and integration of Piedmont including, among others, (i) the risk that the expected growth opportunities or cost savings from the acquisition may not be fully realized or may take longer to realize than expected, and (ii) reputational risk and the reaction of each company’s customers, suppliers, employees or other business partners to the acquisition; (4) deposit attrition, client loss or revenue loss following completed mergers or acquisitions that may be greater than anticipated; (5) regulatory change risk resulting from new laws, rules, regulations, or accounting principles, including, without limitation, the possibility that regulatory agencies may require higher levels of capital above the current regulatory-mandated minimums and the possibility of changes in accounting standards, policies, principles and practices; (6) the cost and effects of cyber incidents or other failures, interruptions, or security breaches of UBSI’s systems and those of our customers or third-party providers; (7) competitive pressures on product pricing and services; (8) success, impact, and timing of UBSI’s business strategies, including market acceptance of any new products or services; (9) volatility and disruptions in global capital and credit markets; (10) operational, technological, cultural, regulatory, legal, credit and other risks associated with the exploration, consummation and integration of potential future acquisitions; (11) catastrophic events such as hurricanes, tornados, earthquakes, floods or other natural or human disasters, including public health crises and infectious disease outbreaks, as well as any government actions in response to such events; (12) geopolitical risk from terrorist activities and armed conflicts that may result in economic and supply disruptions, and loss of market and consumer confidence; (13) the risks of fluctuations in market prices for UBSI common stock that may or may not reflect economic condition or performance of UBSI; (14) the nature, extent, timing, and results of governmental actions, examinations, reviews, reforms, regulations, and interpretations; and (15) other factors that may affect future results of UBSI, as disclosed in UBSI’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K, filed by UBSI with the U.S. Securities and Exchange Commission (“SEC”) and available on the SEC’s website at http://www.sec.gov, any of which could cause actual results to differ materially from future results expressed, implied or otherwise anticipated by such forward-looking statements. UBSI cautions that the foregoing list of factors is not exclusive. UBSI does not undertake any obligation to update any forward-looking statement to reflect circumstances or events that occur after the date the forward-looking statements are made. FORWARD LOOKING STATEMENTS
Achieved Net Income of $84.3 million and Diluted Earnings Per Share of $0.59, which included $30.0 million of merger-related expenses, equating to $0.17 per diluted share Generated Return on Average Assets of 1.06%, Return on Average Equity of 6.47%, and Return on Average Tangible Equity* of 10.61% Closed the merger with Piedmont Bancorp, Inc. on January 10, 2025, and completed the core systems conversion during March Net Interest Income was a record $260.1 million, and Net Interest Margin (FTE) increased from 3.49% to 3.69% Consistently ranked as one of the most trustworthy banks in America by Newsweek (#1 in 2023, #2 in 2022, #4 in 2024 & 2025) Quarterly dividend of $0.37 per share equates to a yield of ~4.4% (based upon recent prices). 2024 was the 51st consecutive year of dividend increases to shareholders Asset quality remains sound and Non-Performing Assets remained low at 0.22% of Total Assets Strong expense control with an efficiency ratio of 53.03% Capital position remains robust and liquidity remains sound Repurchased 567,405 shares during 1Q25 with an additional 831,422 shares repurchased in 2Q25 (through 4/23/25) 1Q25 HIGHLIGHTS *Non-GAAP measure. Refer to appendix.
Continuation of UBSI’s proven M&A strategy | UBSI’s 34th acquisition Entrance into Greater Atlanta Area markets with robust economic growth opportunities Enhances UBSI’s position as one of the premier regional banking companies in the Southeast and Mid-Atlantic Piedmont Overview Advancing Strategy Transaction Details Headquarters: Peachtree Corners, GA Financial Data as of January 10, 2025: Total Assets: ~$2.4 billion Total Loans: ~$2.1 billion Total Deposits: ~$2.1 billion Total Shareholders’ Equity: ~$202 million Consistently well-run and highly profitable franchise with sound asset quality Key senior management and executives retained including Monty Watson, CEO, who became Regional President for United Bank Consideration Mix: 100% stock Fixed Exchange Ratio: 0.300x Shares Issued: 7.86 million UBSI Maintains “Well-Capitalized” regulatory capital ratios Systems conversion completed in March 2025 PIEDMONT MERGER- COMPLETED JANUARY 10, 2025
Linked-Quarter (LQ) Net Income was $84.3 million in 1Q25 compared to $94.4 million in 4Q24, with diluted EPS of $0.59 in 1Q25 compared to $0.69 in 4Q24. Net Interest Income increased $27.5 million primarily due to an increase in average earning assets largely from the Piedmont acquisition and a lower average rate paid on deposits partially offset by an increase in average interest-bearing deposits, also largely from the Piedmont acquisition. Provision Expense was $29.1 million in 1Q25 compared to $6.7 million in 4Q24. 1Q25 included $18.7 million of provision recorded on purchased non-credit deteriorated (“non-PCD”) loans from Piedmont. Noninterest Income increased $0.2 million compared to 4Q24. Net gains on investment securities were $0.5 million in 1Q25 compared to net losses on investment securities of $0.7 million in 4Q24. Additionally, fees from brokerage services increased $0.7 million while other noninterest income declined $1.3 million. Noninterest Expense increased $19.4 million compared to 4Q24 driven by $11.3 million of merger-related expenses in 1Q25 compared to $1.3 million in 4Q24, as well as smaller increases in several other categories of noninterest expense mainly from the acquisition. The effective tax rate decreased from 22.0% to 21.2%. 4Q24 included the impact of provision to return adjustments that were not repeated in 1Q25. EARNINGS SUMMARY
*Non-GAAP measure. Refer to appendix. Strong profitability and expense control 1Q25 was impacted by pre-tax merger related expenses of $30.0 million. PERFORMANCE RATIOS
Reported Net Interest Margin increased from 3.49% to 3.69% LQ. Linked-quarter Net Interest Income (FTE) increased $27.4 million primarily due to an increase in average earning assets largely from the Piedmont acquisition and a lower average rate paid on deposits partially offset by an increase in average interest-bearing deposits, also largely from the Piedmont acquisition. Approximately ~53% of the loan portfolio is fixed rate and ~47% is adjustable rate, while ~34% of the total portfolio is projected to reprice within the next 3 months. ~16% of the securities portfolio is floating rate. Securities balances of approximately ~$485 million with an average yield of ~3.9% are projected to roll off during FY 2025. HTM securities are immaterial at $1.0 million, or 0.0% of total securities. The duration of the AFS portfolio is 4.4 years. Time deposits have an average maturity of ~6 months. Approximately ~11% of total deposits have interest rates tied to a floating rate index. Scheduled purchase accounting loan accretion is estimated at ~$24 million for the remainder of FY 2025 and ~$20 million for FY 2026. NET INTEREST INCOME AND MARGIN
Linked-Quarter loan balances increased $2.2 billion driven by the loans acquired in the Piedmont merger. Excluding the acquired loan balances, total gross loans increased $174 million. Loan balances within the North Carolina & South Carolina markets were up 17.5% annualized in 1Q25. Non Owner Occupied CRE to Total Risk Based Capital was ~290% at 1Q25. CRE portfolio remains diversified among underlying collateral types. Non Owner Occupied Office loans total ~$0.9 billion (~3.8% of total loans). The Top 60 Office loans make up ~70% of total Non Owner Occupied Office balances. The weighted average LTV based on current loan balances and appraised values at origination for the Top 60 was ~59% at 3/31/25. The weighted average LTV at origination for the Top 60 was ~68%. United has been disciplined in its approach to underwriting Office loans. The stringent underwriting process focuses on the underlying tenants, lease terms, sponsor support, location, property class, amenities, etc. Weighted average FICO of all consumer-related loan sectors is ~759. Total purchase accounting-related fair value discount on loans was $85 million as of 3/31/25. $ in millions LOAN SUMMARY (EXCLUDES LOANS HELD FOR SALE)
LOAN PORTFOLIO GEOGRAPHIC DETAILS Total Loans Total Loans ($ Billions) 23.9 % of Total Loans 100% Geographic location Southeast 42% Metro DC / Baltimore 36% WV / OH / PA / Shenandoah Valley 19% Other 3% Total 100% Diversified portfolio with strong underwriting practices and ongoing monitoring Select Portfolio Details: Total NOO Office loans represent $0.9 billion, or only ~3.8% of total loans, with ~58% located in the Washington DC MSA and zero exposure to the CBD of Washington DC. C&I Government Contracting loans represent only ~0.7% of total loans. Our Government Contracting loans are concentrated in blue-chip companies with the top 4 borrowers comprising >80% of the portfolio with credit ratings of BB+ or better. Total Residential Real Estate loans have an overall weighted average FICO of ~760, with a weighted average FICO of ~765 in the Washington DC MSA. The Washington DC MSA continues to be impacted by a lack of single-family housing inventory supply. *Data as of 3/31/25; Geographic locations based on collateral address, if applicable, or originating office location. CRE NOO CRE OO C&D C&I Residential Real Estate Other Consumer 7.9 2.1 3.8 3.6 5.8 0.7 33% 9% 16% 15% 24% 3% 42% 53% 70% 15% 41% 9% 44% 26% 21% 33% 43% 18% 13% 20% 6% 43% 14% 62% 1% 1% 3% 9% 2% 11% 100% 100% 100% 100% 100% 100% Total Loans Loan Segments Shading indicates areas with outstanding loans. Color coding represents the geographies noted in the table. Indicates United office location
End of Period Balances (000s) 12/31/24 3/31/25 Non-Accrual Loans $56,460 $57,388 90-Day Past Due Loans $16,940 $12,387 Total Non-performing Loans $73,400 $69,775 Other Real Estate Owned $327 $1,475 Total Non-performing Assets $73,727 $71,250 Non-performing Loans / Loans 0.34% 0.29% Non-performing Assets / Total Assets 0.25% 0.22% Annualized Net Charge-offs / Average Loans 0.10% 0.14% Allowance for Loan & Lease Losses (ALLL) $271,844 $310,424 ALLL / Loans, net of unearned income 1.25% 1.30% Allowance for Credit Losses (ACL)* $306,755 $346,991 ACL / Loans, net of unearned income 1.42% 1.45% NPAs were $71.3 million at 3/31/25 compared to $73.7 million at 12/31/24 with the ratio of NPAs to Total Assets decreasing from 0.25% to 0.22%. 30-89 Day Past Due loans were 0.33% of total loans at 3/31/25 compared to 0.39% at 12/31/24. ALLL as a percentage of Total Loans increased from 1.25% to 1.30% LQ. Day 1 Piedmont ACL impact was $40.3 million ($36.2 million in ALLL and $4.1 million in the reserve for lending-related commitments). *ACL is comprised of ALLL and the reserve for lending-related commitments CREDIT QUALITY
Strong core deposit base with 25% of deposits in Non Interest Bearing accounts. LQ deposits increased $2.4 billion primarily driven by the balances acquired from Piedmont. Excluding the acquired deposit balances, total deposits increased $297 million LQ. Brokered deposits remained low at 1.1% of total deposits as of 3/31/25 as compared to 0.0% at 12/31/24. This modest increase was driven by the acquisition. Enviable deposit franchise with an attractive mix of both high growth MSAs and stable, rural markets with a strong deposit base. $ in millions Source: S&P Global Market Intelligence DEPOSIT SUMMARY Top 10 MSAs by Deposits* (as of 6/30/24) MSA Total Deposits In MSA ($000) Number of Branches Rank Washington, DC 10,071,646 58 8 Charleston, WV 1,589,675 5 2 Atlanta, GA 1,346,636 11 19 Morgantown, WV 1,141,970 6 2 Richmond, VA 762,351 13 9 Parkersburg, WV 713,929 4 1 Hagerstown, MD 656,854 6 2 Myrtle Beach, SC 631,752 7 9 Charlotte, NC 585,589 7 17 Wheeling, WV 537,803 6 2
Deposit Account Details ($ in millions) End of Period Ratios / Values 3/31/25 % of Total Deposits Estimated Uninsured Deposits (less affiliate and collateralized deposits) $8,594 33% Estimated Insured/Collateralized Deposits $17,771 67% Total Deposits $26,365 100% *Does not include other sources of liquidity such as Fed Funds Lines, additional Reciprocal Deposit capacity, etc. Available Liquidity ($ in millions) 3/31/25 Cash & Cash Equivalents $2,610 Unpledged AFS Securities $994 Available FHLB Borrowing Capacity $4,292 Available FRB Discount Window Borrowing Capacity $4,587 Subtotal $12,483 Additional FHLB Capacity (with delivery of collateral) $3,846 Additional Brokered Deposit Capacity (based on internal policy) $4,988 Total Liquidity* $21,318 Liquidity remains strong with a granular deposit base and geographic diversification. Average deposit account size is ~$38 thousand with >700 thousand total deposit accounts. Estimated uninsured/uncollateralized deposits were 32% at 12/31/24. LIQUIDITY POSITION & ADDITIONAL DEPOSIT DETAIL
End of Period Ratios / Values 12/31/24 3/31/25** Common Equity Tier 1 Ratio 14.1% 13.3% Tier 1 Capital Ratio 14.1% 13.3% Total Risk Based Capital Ratio 16.5% 15.7% Leverage Ratio 11.7% 11.3% Total Equity to Total Assets 16.6% 16.2% *Tangible Equity to Tangible Assets (non-GAAP) 11.0% 10.6% Book Value Per Share $36.89 $37.19 *Tangible Book Value Per Share (non-GAAP) $22.87 $22.76 Capital ratios remain significantly above regulatory “Well Capitalized” levels and exceed all internal capital targets. United repurchased 567,405 common shares during 1Q25 for $19.8 million compared to no shares repurchased during 4Q24. From 4/01/25 through 4/23/25, United repurchased 831,422 common shares for $27.1 million. As of 4/23/25, there were 2,972,412 shares available to be repurchased under the approved plan. *Non-GAAP measure. Refer to appendix. **Regulatory ratios are estimates as of the earnings release date. CAPITAL RATIOS AND PER SHARE DATA
Select guidance is being provided for 2025. Our outlook may change if the expectations for these items vary from current expectations. Balance Sheet: Expect loan and deposit growth to be in the low to mid single digits for the remainder of 2025 (annualized). Loan pipelines continue to be relatively strong. Expect investment portfolio balances to be relatively flat (market dependent). Net Interest Income: Net interest income (non-FTE) expected to be in the range of $1.050 billion to $1.065 billion for FY 2025 (assumes three 25 bps rate cuts in 2025). Purchase accounting accretion is currently estimated at ~$30 million for FY 2025. Provision Expense: Asset quality remains sound. Provision expense will be dependent on the future economic outlook, future credit trends within United’s portfolio, and loan growth. Expect our credit performance to outperform the industry. Current planning assumption for total provision expense for 2025 is $53 million (including Day 2 merger-related CECL provision expense of $19 million that was recorded in 1Q25). Non Interest Income: Expect non interest income to be in the range of $120 million to $130 million for 2025. Mortgage banking revenue will be subject to industry trends. Non Interest Expense: Expect non interest expense to be in the range of $610 million to $625 million for 2025 (including merger-related expenses of $11 million that were recorded in 1Q25). Effective Tax Rate: Estimated at approximately ~21.0%. Capital: Stock buyback will be market dependent. United’s capital position remains robust. 2025 OUTLOOK
Premier Mid-Atlantic and Southeast franchise with an attractive mix of high growth MSAs and smaller stable markets with a strong deposit base Consistently high-performing company with a culture of disciplined risk management and expense control 51 consecutive years of dividend increases evidences United’s strong profitability, solid asset quality, and sound capital management over a very long period of time Experienced management team with a proven track record of execution Committed to our mission of excellence in service to our employees, our customers, our shareholders and our communities Attractive valuation with a current Price-to-Earnings Ratio of ~11.8x (based upon median 2025 street consensus estimate of $2.88 per Bloomberg) INVESTMENT THESIS
Source: S&P Capital IQ Pro; Company filings DEMONSTRATED HISTORY OF SUCCESSFUL ACQUISITIONS
APPENDIX
PIEDMONT MERGER- ADDITIONAL INFORMATION Merger-related expense detail ($ in millions) 1Q24 2Q24 3Q24 4Q24 1Q25 Provision for Credit Losses --- --- --- --- $18.7 Employee Compensation --- --- --- --- $1.2 Expense for Reserve for Unfunded Loan Commitments --- --- --- --- $4.1 Other Noninterest Expense --- $1.3 $0.3 $1.3 $6.0 Total --- $1.3 $0.3 $1.3 $30.0 Day 1 purchase accounting marks (net mark) ($ in millions) Fair Value (Discount) / Premium (preliminary) *Loans $(64.9) Investments $(25.0) Land $(3.5) Buildings $1.5 Time Deposits $0.4 *Does not include $17.5 million credit mark on PCD loans recorded as ALLL on Day 1. Other information ($ in millions) 1/10/2025 Values (preliminary) Preliminary Goodwill $134.7 Core Deposit Intangible $32.8 Allowance for Credit Losses (including unfunded) $40.3
(dollars in thousands) 1Q24 2Q24 3Q24 4Q24 1Q25 (1) Return on Average Tangible Equity (A) Net Income (GAAP) $86,814 $96,507 $95,267 $94,408 $84,306 (B) Number of Days in the Quarter 91 91 92 92 90 Average Total Shareholders' Equity (GAAP) $4,816,476 $4,857,893 $4,908,866 $5,019,069 $5,283,542 Less: Average Total Intangibles (1,901,074) (1,900,164) (1,899,261) (1,898,335) (2,060,975) (C) Average Tangible Equity (non-GAAP) $2,915,402 $2,957,729 $3,009,605 $3,120,734 $3,222,567 Formula: [(A) / (B)]*365 (or 366 for leap year) (C) Return on Average Tangible Equity (non-GAAP) 11.98% 13.12% 12.59% 12.03% 10.61% RECONCILIATION OF NON-GAAP ITEMS
(dollars in thousands) 12/31/2024 3/31/2025 (2) Tangible Equity to Tangible Assets Total Assets (GAAP) $ 30,023,545 $ 32,788,494 Less: Total Intangibles (GAAP) (1,897,755) (2,062,893) Tangible Assets (non-GAAP) $ 28,125,790 $ 30,725,601 Total Shareholders' Equity (GAAP) $ 4,993,223 $ 5,314,449 Less: Total Intangibles (GAAP) (1,897,755) (2,062,893) Tangible Equity (non-GAAP) $ 3,095,468 $ 3,251,556 Tangible Equity to Tangible Assets (non-GAAP) 11.0% 10.6% (3) Tangible Book Value Per Share: Total Shareholders' Equity (GAAP) $ 4,993,223 $ 5,314,449 Less: Total Intangibles (GAAP) (1,897,755) (2,062,893) Tangible Equity (non-GAAP) $ 3,095,468 $ 3,251,556 ÷ EOP Shares Outstanding (Net of Treasury Stock) 135,346,628 142,891,148 Tangible Book Value Per Share (non-GAAP) $22.87 $22.76 RECONCILIATION OF NON-GAAP ITEMS (CONT.)