Press Release: United Community Banks, Inc. Reports First Quarter Earnings

Dow Jones
Apr 21

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 
                                                                                           2026 -- 
                       First         Fourth        Third         Second        First         2025 
                       Quarter       Quarter       Quarter       Quarter       Quarter      Change 
                    ------------  ------------  ------------  ------------  ------------  ---------- 
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       -- 
 
 (1) Excludes non-operating items as detailed on Non-GAAP 
 Performance Measures Reconciliation. (2) Net income 
 less preferred stock dividends, divided by average 
 common equity. (3) Excludes effect of acquisition 
 related intangibles and associated amortization. (4) 
 Annualized. (5) Excludes income tax expense and provision 
 for credit losses. 
 
 
UNITED COMMUNITY BANKS, INC. 
Loan Portfolio Composition at Period-End 
                   2026                   2025 
                  ------    --------------------------------- 
                                                                 Linked     Year over 
                  First    Fourth    Third   Second    First    Quarter       Year 
(in millions)    Quarter   Quarter  Quarter  Quarter  Quarter    Change      Change 
                 --------  -------  -------  -------  -------  ----------  ----------- 
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 
                                  Quarter     Quarter      Quarter 
                                ----------  ----------  ------------ 
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 
                  ------------------------------  -------------------------------  ------------------------------ 
                                        Net                             Net                              Net 
                                    Charge-Offs                    Charge-Offs to                    Charge-Offs 
                                    to Average                     Average Loans                     to Average 
(in thousands)    Net Charge-Offs    Loans (1)    Net Charge-Offs       (1)        Net Charge-Offs    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. 
 Consolidated Balance Sheets (Unaudited) 
(in thousands, except share and per      March 31,     December 31, 
share data)                                 2026           2025 
-------------------------------------   ------------  -------------- 
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. 
 Consolidated Statements of Income (Unaudited) 
                                                 Three Months Ended 
                                                      March 31, 
                                              ------------------------ 
(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    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. 
 Average Consolidated Balance Sheets and Net Interest 
 Analysis 
 For the Three Months Ended March 31, 
----------------------------------------------------------------------------------------------- 
                                       2026                              2025 
                           ----------------------------       ---------------------------  ---- 
(dollars in thousands, 
fully taxable               Average                Average     Average                Average 
equivalent (FTE))           Balance     Interest    Rate       Balance     Interest     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% 
                                                  =====                              ==== === 
 
 (1) Interest revenue on tax-exempt securities and 
 loans includes a taxable-equivalent adjustment to 
 reflect comparable interest on taxable securities 
 and loans. The FTE adjustment totaled $1.11 million 
 and $991,000, respectively, for the three months ended 
 March 31, 2026 and 2025. The tax rate used to calculate 
 the adjustment was 25%, reflecting the statutory federal 
 income tax rate and the federal tax adjusted state 
 income tax rate. 
 (2) Included in the average balance of loans outstanding 
 are loans on which the accrual of interest has been 
 discontinued and loans that are held for sale. 
 (3) Unrealized gains and losses on AFS securities, 
 including those related to the transfer from AFS to 
 HTM, have been reclassified to other assets. Pretax 
 unrealized losses of $176 million in 2026 and $269 
 million in 2025 are included in other assets for purposes 
 of this presentation. 
 (4) Net interest margin is taxable equivalent net 
 interest revenue divided by average interest-earning 
 assets. 
 
 
UNITED COMMUNITY BANKS, INC. 
Non-GAAP Performance Measures Reconciliation 
Selected Financial Information 
(in thousands, except per share data) 
---------------------------------------------------------------------------------------- 
                      2026                               2025 
                     -------       ------------------------------------------------- 
                       First         Fourth        Third         Second        First 
                       Quarter       Quarter       Quarter       Quarter       Quarter 
                    ------------  ------------  ------------  ------------  ------------ 
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

(END) Dow Jones Newswires

April 21, 2026 07:30 ET (11:30 GMT)

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10