United Bankshares, Inc. Announces Earnings for the Second Quarter and First Half of 2024

United Bankshares, Inc. (NASDAQ: UBSI) (“United”), today reported earnings for the second quarter of 2024 of $96.5 million, or $0.71 per diluted share. Second quarter of 2024 results produced annualized returns on average assets, average equity and average tangible equity, a non-GAAP measure, of 1.32%, 7.99% and 13.12%, respectively.

“UBSI continues to consistently deliver exceptional results,” stated Richard M. Adams, Jr., United’s Chief Executive Officer. “In the second quarter we saw increases in profitability, capital, loans, and deposits, as well as decreases in expenses and non-performing assets. We anticipate continued success in the second half of the year, and are excited about our recent acquisition announcement of Piedmont Bancorp, Inc. in Atlanta.”

United previously announced during the second quarter of 2024 that it entered into a definitive merger agreement with Piedmont Bancorp, Inc. (“Piedmont”). The combined organization will have more than $32 billion in assets and a network of over 240 locations across eight states and Washington, D.C., in some of the most desirable banking markets in the nation. The merger is expected to close late in the fourth quarter of 2024 or early in the first quarter of 2025, subject to satisfaction of customary closing conditions.

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. Earnings for the second quarter of 2023 were $92.5 million, or $0.68 per diluted share, and annualized returns on average assets, average equity and average tangible equity were 1.26%, 7.96% and 13.47%, respectively.

Second quarter of 2024 compared to the first quarter of 2024

Net interest income for the second quarter of 2024 increased $3.2 million, or 1%, from the first 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 second quarter of 2024 also increased $3.2 million, or 1%, from the first quarter of 2024. The increase in net interest income and tax-equivalent net interest income was driven by a higher yield on average net loans and loans held for sale, organic loan growth and a decrease in average long-term borrowings partially offset by higher interest expense driven by the impact of deposit rate repricing. The net interest spread increased 3 basis points to 2.52% for the second quarter of 2024 driven by an increase in the yield on average earning assets of 9 basis points partially offset by an increase in the average cost of funds of 6 basis points. The yield on average net loans and loans held for sale increased 6 basis points to 6.14% for the second quarter of 2024. The first quarter of 2024 included a $593 thousand interest reversal due to a commercial & industrial loan relationship being placed on nonaccrual whereas the second quarter of 2024 included a $654 thousand interest recovery from a commercial real estate nonaccrual loan payoff. Average net loans and loans held for sale increased $127.6 million, or 2% on an annualized basis, from the first quarter of 2024. Average long-term borrowings decreased $209.8 million, or 14%, from the first quarter of 2024. The yield on average interest-bearing deposits increased 8 basis points to 3.18% for the second quarter of 2024. The net interest margin of 3.50% for the second quarter of 2024 was an increase of 6 basis points from the net interest margin of 3.44% for the first quarter of 2024.

The provision for credit losses was $5.8 million for the second quarter of 2024 as compared to $5.7 million for the first quarter of 2024.

Noninterest income for the second quarter of 2024 decreased $2.0 million, or 6%, from the first quarter of 2024. The decrease in noninterest income was primarily due to a decrease in income from mortgage banking activities of $1.4 million driven by lower mortgage loan sale volume and a lower margin. During the second quarter of 2024, United recognized a $6.9 million gain on the VISA share exchange, of which $4.6 million was realized through the sale of eligible shares and the remainder of which related to shares held at fair value at quarter-end and which will be eligible to be sold in the third quarter of 2024. Additionally, during the second quarter of 2024, United sold $102.7 million of available for sale (“AFS”) investment securities at a loss of $6.8 million.

Noninterest expense for the second quarter of 2024 decreased $6.0 million, or 4%, from the first quarter of 2024. The decrease in noninterest expense was primarily driven by decreases in employee benefits of $2.5 million, Federal Deposit Insurance Corporation (“FDIC”) insurance expense of $1.4 million as well as smaller decreases in other categories of noninterest expense. The decrease in employee benefits was primarily driven by lower Federal Insurance Contributions Act (“FICA”) and postretirement benefit costs. The decrease in FDIC insurance expense was primarily due to the inclusion in the first quarter of 2024 of an incremental $1.8 million of expense related to the FDIC special assessment. Other noninterest expense was $32.8 million for the second quarter of 2024 compared to $33.5 million for the first quarter of 2024. The decrease in other noninterest expense was driven by lower amounts of certain general operating expenses partially offset by $1.3 million in merger-related expenses related to the Piedmont acquisition.

For the second quarter of 2024, income tax expense was $18.9 million as compared to $21.4 million for the first quarter of 2024. The decrease of $2.5 million was driven by the impact of discrete tax benefits recognized in the second quarter of 2024 partially offset by higher earnings. United’s effective tax rate was 16.4% and 19.8% for the second quarter of 2024 and first quarter of 2024, respectively.

Second quarter of 2024 compared to the second quarter of 2023

Earnings for the second quarter of 2024 were $96.5 million, or $0.71 per diluted share, as compared to earnings of $92.5 million, or $0.68 per diluted share, for the second quarter of 2023.

Net interest income for the second quarter of 2024 of $225.7 million slightly decreased by $1.7 million, or less than 1%, from the second quarter of 2023. Tax-equivalent net interest income for the second quarter of 2024 of $226.6 million slightly decreased by $2.0 million, or less than 1%, from the second quarter of 2023. The slight decrease in net interest income and tax-equivalent net interest income was primarily due to higher interest expense driven by deposit rate repricing, an increase in average interest-bearing deposits and a decrease in acquired loan accretion income. The decrease was largely offset by the impact of rising market interest rates on earning assets, organic loan growth and a decrease in average long-term borrowings. The yield on average interest-bearing deposits increased 81 basis points from the second quarter of 2023. Average interest-bearing deposits increased $1.2 billion from the second quarter of 2023. Acquired loan accretion income for the second quarter of 2024 decreased $671 thousand from the second quarter of 2023. The yield on average earning assets increased 46 basis points from the second quarter of 2023 to 5.79% driven by an increase in the yield on average net loans and loans held for sale of 36 basis points. Average net loans and loans held for sale increased $912.0 million from the second quarter of 2023. Average long-term borrowings decreased $1.0 billion from the second quarter of 2023. The net interest margin for the second quarter of 2024 and 2023 was 3.50% and 3.51%, respectively.

The provision for credit losses was $5.8 million for the second quarter of 2024 as compared to $11.4 million for the second quarter of 2023.

Noninterest income for the second quarter of 2024 was $30.2 million, which was a decrease of $5.0 million, or 14%, from the second quarter of 2023. Mortgage loan servicing income decreased $9.1 million driven by an $8.1 million gain on the sale of mortgage servicing rights (“MSRs”) in the second quarter of 2023. Income from mortgage banking activities decreased $4.0 million from the second quarter of 2023 mainly due to lower mortgage loan origination and sale volume and a lower quarter-end valuation of mortgage derivatives. Net losses on investment securities were $218 thousand for the second quarter of 2024 which included a $6.9 million gain on the VISA share exchange partially offset by a $6.8 million loss on the sale of AFS investment securities. Net losses on investment securities for the second quarter of 2023 were $7.3 million driven by a $7.2 million loss on the sale of AFS investment securities. Fees from brokerage services increased $1.0 million from the second quarter of 2023 primarily due to higher volume.

Noninterest expense for the second quarter of 2024 was flat from the second quarter of 2023, decreasing $514 thousand, or less than 1%. Several categories of noninterest expense decreased which were largely offset by increases in other categories, none of which were significant. Within other noninterest expense, lower amounts of certain general operating expenses were partially offset by $1.3 million in merger-related expenses and a $1.0 million increase in tax credit amortization.

For the second quarter of 2024, income tax expense was $18.9 million as compared to $23.5 million for the second quarter of 2023. The decrease of $4.6 million was driven by the impact of discrete tax benefits recognized in the second quarter of 2024. United’s effective tax rate was 16.4% and 20.2% for the second quarter of 2024 and second quarter of 2023, respectively.

First half of 2024 compared to the first half of 2023

Earnings for the first six months of 2024 were $183.3 million, or $1.35 per diluted share, as compared to earnings of $190.8 million, or $1.41 per diluted share, for the first six months of 2023.

Net interest income for the first half of 2024 decreased $13.6 million, or 3%, from the first half of 2023. Tax-equivalent net interest income for the first half of 2024 decreased $14.1 million, or 3%, from the first half of 2023. The decrease in net interest income and tax-equivalent net interest income was primarily due to higher interest expense driven by deposit rate repricing, an increase in average interest-bearing deposits and a decrease in acquired loan accretion income. These decreases were partially offset by the impact of rising market interest rates on earning assets, organic loan growth and a decrease in average long-term borrowings. The yield on average interest-bearing deposits increased 104 basis points from the first half of 2023. Average interest-bearing deposits increased $1.3 billion from the first half of 2023. Acquired loan accretion income for the first half of 2024 of $4.9 million was a decrease of $1.3 million from the first half of 2023. The yield on average earning assets increased 53 basis points from the first half of 2023 to 5.74% driven by an increase in the yield on average net loans and loans held for sale of 44 basis points. Average net loans and loans held for sale increased $856.2 million from the first half of 2023. Average long-term borrowings decreased $967.1 million from the first half of 2023. The net interest margin for the first half of 2024 and 2023 was 3.47% and 3.57%, respectively.

The provision for credit losses was $11.5 million for the first six months 2024 as compared to $18.3 million for the first six months of 2023.

Noninterest income for the first six months of 2024 was $62.4 million, which was a decrease of $5.5 million, or 8%, from the first six months of 2023. Mortgage loan servicing income decreased $10.5 million from the first half of 2023 driven by the aforementioned sale of MSRs. Income from mortgage banking activities decreased $5.1 million from the first half of 2023 mainly due to lower mortgage loan origination and sale volume and a lower quarter-end valuation of mortgage derivatives and mortgage loans held for sale. Net losses on investment securities were $317 thousand for the first half of 2024 which included a $6.9 million gain on the VISA share exchange partially offset by a $6.8 million loss on the sale of AFS investment securities. Net losses on investment securities for the first six months of 2023 were $7.7 million driven by a $7.2 million loss on the sale of AFS investment securities. Fees from brokerage services increased $2.1 million from the first half of 2023 primarily due to higher volume.

Noninterest expense for the first six months of 2024 was $275.5 million, an increase of $2.8 million, or 1%, from the first six months of 2023 driven by increases in employee compensation of $3.9 million, other noninterest expense of $2.9 million and FDIC insurance expense of $2.4 million partially offset by decreases in the expense for the reserve for unfunded loan commitments of $4.5 million and mortgage loan servicing expense of $1.6 million. The increase in employee compensation was driven by higher employee incentives, base salaries and employee severance associated with the previously announced mortgage delivery channel consolidation. The increase in other noninterest expense was primarily driven by a $2.0 million increase in tax credit amortization, $1.3 million in merger-related expenses incurred in the second quarter of 2024 and higher amounts of certain general operating expenses. The increase in FDIC insurance expense was driven by $1.8 million of expense recognized in the first quarter of 2024 for the FDIC special assessment. The decrease in the expense for the reserve for unfunded loan commitments was driven by a decrease in the outstanding balance of loan commitments. The decrease in mortgage loan servicing expense was driven by the sale of MSRs.

For the first six months of 2024, income tax expense was $40.3 million as compared to $47.9 million for the first six months of 2023 primarily due to the impact of discrete tax benefits recognized in the second quarter of 2024 and lower earnings. United’s effective tax rate was 18.0% for the first six months of 2024 and 20.1% for the first six months of 2023.

Credit Quality

United’s asset quality continues to be sound. At June 30, 2024, non-performing loans were $65.3 million, or 0.30% of loans & leases, net of unearned income. Total non-performing assets were $67.5 million, including other real estate owned (“OREO”) of $2.2 million, or 0.23% of total assets at June 30, 2024. At December 31, 2023, non-performing loans were $45.5 million, or 0.21% of loans & leases, net of unearned income. Total non-performing assets were $48.1 million, including OREO of $2.6 million, or 0.16% of total assets at December 31, 2023. As previously disclosed in the first quarter of 2024, the increase in non-performing loans and non-performing assets from year-end was driven by one commercial & industrial loan relationship. Non-performing loans decreased $9.1 million from March 31, 2024 primarily due to a partial paydown of the aforementioned commercial & industrial loan relationship.

As of June 30, 2024, the allowance for loan & lease losses was $267.4 million, or 1.24% of loans & leases, net of unearned income, as compared to $259.2 million, or 1.21% of loans & leases, net of unearned income, at December 31, 2023. Net charge-offs were $1.3 million for the second quarter of 2024 compared to $1.2 million for the second quarter of 2023. Annualized net charge-offs as a percentage of average loans & leases, net of unearned income were 0.02% for both the second quarter of 2024 and 2023. Net charge-offs were $3.3 million for the first half of 2024 compared to $2.4 million for the first half of 2023. Annualized net charge-offs as a percentage of average loans & leases, net of unearned income were 0.03% and 0.02% for the first half of 2024 and 2023, respectively. Net charge-offs were $2.1 million 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 15.8% at June 30, 2024, while estimated Common Equity Tier 1 capital, Tier 1 capital and leverage ratios are 13.5%, 13.5% and 11.6%, respectively. The June 30, 2024 ratios reflect United’s election of a five-year transition provision, allowed by the Federal Reserve Board and other federal banking agencies in response to the COVID-19 pandemic, to delay for two years the full impact of CECL on regulatory capital, followed by a three-year transition period. 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%. United did not repurchase any shares of its common stock during 2024 or 2023.

About United Bankshares, Inc.

As of June 30, 2024, United had consolidated assets of approximately $30.0 billion and is the 38th largest banking company in the U.S. based on market capitalization. United is the parent company of United Bank, which comprises more than 225 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".

Cautionary Statements

The Company is required under generally accepted accounting principles to evaluate subsequent events through the filing of its June 30, 2024 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 made as of June 30, 2024 and will adjust amounts preliminarily reported, if necessary.

Use of non-GAAP Financial Measures

This press release contains certain financial measures that are not recognized under U.S. generally accepted accounting principles ("GAAP"). Generally, United has presented these “non-GAAP” financial measures because it believes that these measures provide meaningful additional information to assist 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 its performance 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 as tax-equivalent (FTE) net interest income, average tangible equity, return on average tangible equity and tangible book value per share. Management believes these non-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-GAAP measure, 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-exempt sources. 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 federally nontaxable loans and investment securities using the statutory federal income tax rate of 21%.

Tangible equity is calculated as GAAP 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, a return 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 from merger 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 as reconciliation 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 these non-GAAP financial measures might not be comparable to similarly titled measures at other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and United strongly encourages a review of its condensed consolidated financial statements in their entirety.

Forward-Looking Statements

In this 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 the Private 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 the officers 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 be placed 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.” The following factors, among others, could cause the actual results of United’s operations to differ materially from its expectations: uncertainty in U.S. fiscal and monetary policies, including the interest rate policies of the Federal Reserve Board; volatility and disruptions in global capital and credit markets, interest rate, securities market and monetary supply fluctuations; increasing rates of inflation and slower growth rates; the nature, extent, timing, and results of governmental actions, examinations, reviews, reforms, regulations, and interpretations, including those involving the Federal Reserve, FDIC, and CFPB; the effect of changes in the level of checking or savings account deposits on United’s funding costs and net interest margin; future provisions for credit losses on loans and debt securities; changes in nonperforming assets; risks relating to the merger with Piedmont, including the successful integration of operations of Piedmont; competition; changes in legislation or regulatory requirements; and the impact of natural disasters, extreme weather events, military conflict (including the Russia/Ukraine conflict, the conflict in Israel and surrounding areas, the possible expansion of such conflicts and potential geopolitical consequences), terrorism or other geopolitical events. For more information about factors that could cause actual results 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 Form 10-K for the year ended December 31, 2023, 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 the date 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 on related subjects in our filings with the SEC.

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Six Months Ended

EARNINGS SUMMARY:

 

 

 

June

2024

 

June

2023

 

March

2024

 

June

2024

 

June

2023

Interest income

 

 

 

$

374,184

 

 

$

345,932

 

 

$

369,180

 

 

$

743,364

 

 

$

675,235

 

Interest expense

 

 

 

 

148,469

 

 

 

118,471

 

 

 

146,691

 

 

 

295,160

 

 

 

213,454

 

Net interest income

 

 

 

 

225,715

 

 

 

227,461

 

 

 

222,489

 

 

 

448,204

 

 

 

461,781

 

Provision for credit losses

 

 

 

 

5,779

 

 

 

11,440

 

 

 

5,740

 

 

 

11,519

 

 

 

18,330

 

Noninterest income

 

 

 

 

30,223

 

 

 

35,178

 

 

 

32,212

 

 

 

62,435

 

 

 

67,922

 

Noninterest expense

 

 

 

 

134,774

 

 

 

135,288

 

 

 

140,742

 

 

 

275,516

 

 

 

272,707

 

Income before income taxes

 

 

 

 

115,385

 

 

 

115,911

 

 

 

108,219

 

 

 

223,604

 

 

 

238,666

 

Income taxes

 

 

 

 

18,878

 

 

 

23,452

 

 

 

21,405

 

 

 

40,283

 

 

 

47,900

 

Net income

 

 

 

$

96,507

 

 

$

92,459

 

 

$

86,814

 

 

$

183,321

 

 

$

190,766

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PER COMMON SHARE:

 

 

 

 

 

 

 

 

 

 

 

 

Net income:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

 

$

0.71

 

 

$

0.68

 

 

$

0.64

 

 

$

1.36

 

 

$

1.42

 

Diluted

 

 

 

 

0.71

 

 

 

0.68

 

 

 

0.64

 

 

 

1.35

 

 

 

1.41

 

Cash dividends

 

 

 

$

0.37

 

 

$

0.36

 

 

 

0.37

 

 

 

0.74

 

 

 

0.72

 

Book value

 

 

 

 

 

 

 

 

35.56

 

 

 

35.92

 

 

 

34.37

 

Closing market price

 

 

 

 

 

 

 

$

35.79

 

 

$

32.44

 

 

$

29.67

 

Common shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

Actual at period end, net of treasury shares

 

 

 

 

 

 

 

 

135,192,675

 

 

 

135,195,704

 

 

 

134,934,858

 

Weighted average-basic

 

 

 

 

135,137,901

 

 

 

134,683,010

 

 

 

134,808,634

 

 

 

134,881,314

 

 

 

134,472,074

 

Weighted average-diluted

 

 

 

 

135,314,785

 

 

 

134,849,818

 

 

 

135,121,380

 

 

 

135,103,288

 

 

 

134,748,868

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FINANCIAL RATIOS:

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

 

 

1.32

%

 

 

1.26

%

 

 

1.19

%

 

 

1.25

%

 

 

1.31

%

Return on average shareholders’ equity

 

 

 

 

7.99

%

 

 

7.96

%

 

 

7.25

%

 

 

7.62

%

 

 

8.34

%

Return on average tangible equity (non-GAAP)(1)

 

 

 

 

13.12

%

 

 

13.47

%

 

 

11.98

%

 

 

12.55

%

 

 

14.20

%

Average equity to average assets

 

 

 

 

16.54

%

 

 

15.83

%

 

 

16.36

%

 

 

16.45

%

 

 

15.66

%

Net interest margin

 

 

 

 

3.50

%

 

 

3.51

%

 

 

3.44

%

 

 

3.47

%

 

 

3.57

%

 

 

 

 

 

 

 

 

 

 

 

 

 

PERIOD END BALANCES:

 

 

 

 

 

June 30

2024

 

December 31

2023

 

June 30

2023

 

March 31

2024

Assets

 

 

 

 

 

$

29,957,418

 

 

$

29,926,482

 

 

$

29,694,651

 

 

$

30,028,798

 

Earning assets

 

 

 

 

 

 

26,572,087

 

 

 

26,623,652

 

 

 

26,335,600

 

 

 

26,659,694

 

Loans & leases, net of unearned income

 

 

 

 

 

 

21,598,727

 

 

 

21,359,084

 

 

 

20,764,291

 

 

 

21,520,076

 

Loans held for sale

 

 

 

 

 

 

66,475

 

 

 

56,261

 

 

 

91,296

 

 

 

44,426

 

Investment securities

 

 

 

 

 

 

3,650,582

 

 

 

4,125,754

 

 

 

4,342,714

 

 

 

3,954,519

 

Total deposits

 

 

 

 

 

 

23,066,440

 

 

 

22,819,319

 

 

 

22,369,753

 

 

 

22,919,746

 

Shareholders’ equity

 

 

 

 

 

 

4,856,633

 

 

 

4,771,240

 

 

 

4,637,043

 

 

 

4,807,441

 

Note: (1) See information under the “Selected Financial Ratios” table for a reconciliation of non-GAAP measure.

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

Consolidated Statements of Income

Three Months Ended

 

Six Months Ended

 

June

 

June

 

March

 

June

 

June

 

 

2024

 

 

 

2023

 

 

 

2024

 

 

 

2024

 

 

 

2023

 

Interest & Loan Fees Income (GAAP)

$

374,184

 

 

$

345,932

 

 

$

369,180

 

 

$

743,364

 

 

$

675,235

 

Tax equivalent adjustment

 

867

 

 

 

1,144

 

 

 

872

 

 

 

1,739

 

 

 

2,279

 

Interest & Fees Income (FTE) (non-GAAP)

 

375,051

 

 

 

347,076

 

 

 

370,052

 

 

 

745,103

 

 

 

677,514

 

Interest Expense

 

148,469

 

 

 

118,471

 

 

 

146,691

 

 

 

295,160

 

 

 

213,454

 

Net Interest Income (FTE) (non-GAAP)

 

226,582

 

 

 

228,605

 

 

 

223,361

 

 

 

449,943

 

 

 

464,060

 

 

 

 

 

 

 

 

 

 

 

Provision for Credit Losses

 

5,779

 

 

 

11,440

 

 

 

5,740

 

 

 

11,519

 

 

 

18,330

 

 

 

 

 

 

 

 

 

 

 

Noninterest Income:

 

 

 

 

 

 

 

 

 

Fees from trust services

 

4,744

 

 

 

4,516

 

 

 

4,646

 

 

 

9,390

 

 

 

9,296

 

Fees from brokerage services

 

4,959

 

 

 

3,918

 

 

 

5,267

 

 

 

10,226

 

 

 

8,118

 

Fees from deposit services

 

9,326

 

 

 

9,325

 

 

 

8,971

 

 

 

18,297

 

 

 

18,687

 

Bankcard fees and merchant discounts

 

1,355

 

 

 

1,707

 

 

 

1,873

 

 

 

3,228

 

 

 

3,414

 

Other charges, commissions, and fees

 

869

 

 

 

949

 

 

 

858

 

 

 

1,727

 

 

 

2,087

 

Income from bank-owned life insurance

 

2,549

 

 

 

2,022

 

 

 

2,418

 

 

 

4,967

 

 

 

3,913

 

Income from mortgage banking activities

 

3,901

 

 

 

7,907

 

 

 

5,298

 

 

 

9,199

 

 

 

14,291

 

Mortgage loan servicing income

 

783

 

 

 

9,841

 

 

 

789

 

 

 

1,572

 

 

 

12,117

 

Net losses on investment securities

 

(218

)

 

 

(7,336

)

 

 

(99

)

 

 

(317

)

 

 

(7,741

)

Other noninterest income

 

1,955

 

 

 

2,329

 

 

 

2,191

 

 

 

4,146

 

 

 

3,740

 

Total Noninterest Income

 

30,223

 

 

 

35,178

 

 

 

32,212

 

 

 

62,435

 

 

 

67,922

 

 

 

 

 

 

 

 

 

 

 

Noninterest Expense:

 

 

 

 

 

 

 

 

 

Employee compensation

 

58,501

 

 

 

58,502

 

 

 

59,293

 

 

 

117,794

 

 

 

113,916

 

Employee benefits

 

12,147

 

 

 

12,236

 

 

 

14,671

 

 

 

26,818

 

 

 

25,671

 

Net occupancy

 

11,400

 

 

 

11,409

 

 

 

12,343

 

 

 

23,743

 

 

 

23,242

 

Data processing

 

7,290

 

 

 

7,256

 

 

 

7,463

 

 

 

14,753

 

 

 

14,729

 

Amortization of intangibles

 

910

 

 

 

1,279

 

 

 

910

 

 

 

1,820

 

 

 

2,558

 

OREO expense

 

268

 

 

 

315

 

 

 

159

 

 

 

427

 

 

 

982

 

Net losses (gains) on the sale of OREO properties

 

32

 

 

 

16

 

 

 

(83

)

 

 

(51

)

 

 

(27

)

Equipment expense

 

7,548

 

 

 

8,026

 

 

 

6,853

 

 

 

14,401

 

 

 

15,022

 

FDIC insurance expense

 

5,058

 

 

 

4,570

 

 

 

6,455

 

 

 

11,513

 

 

 

9,157

 

Mortgage loan servicing expense and impairment

 

1,011

 

 

 

1,699

 

 

 

1,015

 

 

 

2,026

 

 

 

3,583

 

Expense for the reserve for unfunded loan commitments

 

(2,177

)

 

 

(2,021

)

 

 

(1,790

)

 

 

(3,967

)

 

 

579

 

Other noninterest expense

 

32,786

 

 

 

32,001

 

 

 

33,453

 

 

 

66,239

 

 

 

63,295

 

Total Noninterest Expense

 

134,774

 

 

 

135,288

 

 

 

140,742

 

 

 

275,516

 

 

 

272,707

 

 

 

 

 

 

 

 

 

 

 

Income Before Income Taxes (FTE) (non-GAAP)

 

116,252

 

 

 

117,055

 

 

 

109,091

 

 

 

225,343

 

 

 

240,945

 

 

 

 

 

 

 

 

 

 

 

Tax equivalent adjustment

 

867

 

 

 

1,144

 

 

 

872

 

 

 

1,739

 

 

 

2,279

 

 

 

 

 

 

 

 

 

 

 

Income Before Income Taxes (GAAP)

 

115,385

 

 

 

115,911

 

 

 

108,219

 

 

 

223,604

 

 

 

238,666

 

 

 

 

 

 

 

 

 

 

 

Taxes

 

18,878

 

 

 

23,452

 

 

 

21,405

 

 

 

40,283

 

 

 

47,900

 

 

 

 

 

 

 

 

 

 

 

Net Income

$

96,507

 

 

$

92,459

 

 

$

86,814

 

 

$

183,321

 

 

$

190,766

 

 

 

 

 

 

 

 

 

 

 

MEMO: Effective Tax Rate

 

16.36

%

 

 

20.23

%

 

 

19.78

%

 

 

18.02

%

 

 

20.07

%

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated Balance Sheets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

June 2024

 

June 2023

 

June 30

 

December 31

 

June 30

 

March 31

 

 

Q-T-D Average

Q-T-D Average

 

2024

 

 

 

2023

 

 

 

2023

 

 

 

2024

 

 

 

 

 

 

 

 

Cash & Cash Equivalents

 

$

1,174,885

 

 

$

1,282,923

 

 

$

1,858,861

 

 

$

1,598,943

 

 

$

1,692,357

 

 

$

1,732,646

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Securities Available for Sale

 

 

3,472,389

 

 

 

4,320,055

 

 

 

3,315,726

 

 

 

3,786,377

 

 

 

4,005,324

 

 

 

3,613,975

 

Less: Allowance for credit losses

 

 

0

 

 

 

0

 

 

 

0

 

 

 

0

 

 

 

0

 

 

 

0

 

Net available for sale securities

 

 

3,472,389

 

 

 

4,320,055

 

 

 

3,315,726

 

 

 

3,786,377

 

 

 

4,005,324

 

 

 

3,613,975

 

Securities Held to Maturity

 

 

1,020

 

 

 

1,020

 

 

 

1,020

 

 

 

1,020

 

 

 

1,020

 

 

 

1,020

 

Less: Allowance for credit losses

 

 

(19

)

 

 

(19

)

 

 

(19

)

 

 

(17

)

 

 

(19

)

 

 

(19

)

Net held to maturity securities

 

 

1,001

 

 

 

1,001

 

 

 

1,001

 

 

 

1,003

 

 

 

1,001

 

 

 

1,001

 

Equity Securities

 

 

12,832

 

 

 

8,081

 

 

 

11,094

 

 

 

8,945

 

 

 

8,443

 

 

 

8,762

 

Other Investment Securities

 

 

312,684

 

 

 

332,904

 

 

 

322,761

 

 

 

329,429

 

 

 

327,946

 

 

 

330,781

 

Total Securities

 

 

3,798,906

 

 

 

4,662,041

 

 

 

3,650,582

 

 

 

4,125,754

 

 

 

4,342,714

 

 

 

3,954,519

 

Total Cash and Securities

 

 

4,973,791

 

 

 

5,944,964

 

 

 

5,509,443

 

 

 

5,724,697

 

 

 

6,035,071

 

 

 

5,687,165

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans held for sale

 

 

56,298

 

 

 

72,966

 

 

 

66,475

 

 

 

56,261

 

 

 

91,296

 

 

 

44,426

 

Commercial Loans & Leases

 

 

15,815,382

 

 

 

14,980,069

 

 

 

15,894,244

 

 

 

15,535,204

 

 

 

15,083,157

 

 

 

15,725,038

 

Mortgage Loans

 

 

4,763,655

 

 

 

4,347,941

 

 

 

4,759,798

 

 

 

4,728,374

 

 

 

4,437,158

 

 

 

4,769,495

 

Consumer Loans

 

 

1,016,764

 

 

 

1,322,889

 

 

 

956,385

 

 

 

1,109,607

 

 

 

1,261,611

 

 

 

1,038,035

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross Loans

 

 

21,595,801

 

 

 

20,650,899

 

 

 

21,610,427

 

 

 

21,373,185

 

 

 

20,781,926

 

 

 

21,532,568

 

Unearned income

 

 

(12,201

)

 

 

(18,356

)

 

 

(11,700

)

 

 

(14,101

)

 

 

(17,635

)

 

 

(12,492

)

Loans & Leases, net of unearned income

 

 

21,583,600

 

 

 

20,632,543

 

 

 

21,598,727

 

 

 

21,359,084

 

 

 

20,764,291

 

 

 

21,520,076

 

Allowance for Loan & Lease Losses

 

 

(263,050

)

 

 

(240,611

)

 

 

(267,423

)

 

 

(259,237

)

 

 

(250,721

)

 

 

(262,905

)

Net Loans

 

 

21,320,550

 

 

 

20,391,932

 

 

 

21,331,304

 

 

 

21,099,847

 

 

 

20,513,570

 

 

 

21,257,171

 

Mortgage Servicing Rights

 

 

4,116

 

 

 

14,662

 

 

 

3,934

 

 

 

4,554

 

 

 

4,627

 

 

 

4,241

 

Goodwill

 

 

1,888,889

 

 

 

1,888,889

 

 

 

1,888,889

 

 

 

1,888,889

 

 

 

1,888,889

 

 

 

1,888,889

 

Other Intangibles

 

 

11,275

 

 

 

17,164

 

 

 

10,685

 

 

 

12,505

 

 

 

16,339

 

 

 

11,595

 

Operating Lease Right-of-Use Asset

 

 

85,210

 

 

 

78,872

 

 

 

83,045

 

 

 

86,986

 

 

 

80,641

 

 

 

86,074

 

Other Real Estate Owned

 

 

2,335

 

 

 

4,070

 

 

 

2,156

 

 

 

2,615

 

 

 

3,756

 

 

 

2,670

 

Bank Owned Life Insurance

 

 

491,599

 

 

 

482,791

 

 

 

493,498

 

 

 

486,895

 

 

 

483,906

 

 

 

490,596

 

Other Assets

 

 

536,101

 

 

 

542,502

 

 

 

567,989

 

 

 

563,233

 

 

 

576,556

 

 

 

555,971

 

Total Assets

 

$

29,370,164

 

 

$

29,438,812

 

 

$

29,957,418

 

 

$

29,926,482

 

 

$

29,694,651

 

 

$

30,028,798

 

 

 

 

 

 

 

 

 

 

 

 

 

 

MEMO: Interest-earning Assets

 

$

26,012,725

 

 

$

26,121,011

 

 

$

26,572,087

 

 

$

26,623,652

 

 

$

26,335,600

 

 

$

26,659,694

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing Deposits

 

$

16,740,124

 

 

$

15,520,461

 

 

$

17,134,728

 

 

$

16,670,239

 

 

$

15,918,927

 

 

$

16,902,397

 

Noninterest-bearing Deposits

 

 

5,976,971

 

 

 

6,500,259

 

 

 

5,931,712

 

 

 

6,149,080

 

 

 

6,450,826

 

 

 

6,017,349

 

Total Deposits

 

 

22,717,095

 

 

 

22,020,720

 

 

 

23,066,440

 

 

 

22,819,319

 

 

 

22,369,753

 

 

 

22,919,746

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Short-term Borrowings

 

 

206,234

 

 

 

177,315

 

 

 

203,519

 

 

 

196,095

 

 

 

176,739

 

 

 

207,727

 

Long-term Borrowings

 

 

1,290,405

 

 

 

2,307,485

 

 

 

1,489,764

 

 

 

1,789,103

 

 

 

2,188,438

 

 

 

1,739,434

 

Total Borrowings

 

 

1,496,639

 

 

 

2,484,800

 

 

 

1,693,283

 

 

 

1,985,198

 

 

 

2,365,177

 

 

 

1,947,161

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating Lease Liability

 

 

91,437

 

 

 

83,335

 

 

 

89,308

 

 

 

92,885

 

 

 

85,038

 

 

 

92,266

 

Other Liabilities

 

 

207,100

 

 

 

190,863

 

 

 

251,754

 

 

 

257,840

 

 

 

237,640

 

 

 

262,184

 

Total Liabilities

 

 

24,512,271

 

 

 

24,779,718

 

 

 

25,100,785

 

 

 

25,155,242

 

 

 

25,057,608

 

 

 

25,221,357

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred Equity

 

 

0

 

 

 

0

 

 

 

0

 

 

 

0

 

 

 

0

 

 

 

0

 

Common Equity

 

 

4,857,893

 

 

 

4,659,094

 

 

 

4,856,633

 

 

 

4,771,240

 

 

 

4,637,043

 

 

 

4,807,441

 

Total Shareholders' Equity

 

 

4,857,893

 

 

 

4,659,094

 

 

 

4,856,633

 

 

 

4,771,240

 

 

 

4,637,043

 

 

 

4,807,441

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Liabilities & Equity

 

$

29,370,164

 

 

$

29,438,812

 

 

$

29,957,418

 

 

$

29,926,482

 

 

$

29,694,651

 

 

$

30,028,798

 

 

 

 

 

 

 

 

 

 

 

 

 

 

MEMO: Interest-bearing Liabilities

 

$

18,236,763

 

 

$

18,005,261

 

 

$

18,828,011

 

 

$

18,655,437

 

 

$

18,284,104

 

 

$

18,849,558

 

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Six Months Ended

 

 

 

June

 

June

 

March

 

June

 

June

Quarterly/Year-to-Date Share Data:

 

 

2024

 

2023

 

2024

 

2024

 

2023

Earnings Per Share:

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

$

0.71

 

 

$

0.68

 

 

$

0.64

 

 

$

1.36

 

 

$

1.42

 

Diluted

 

 

$

0.71

 

 

$

0.68

 

 

$

0.64

 

 

$

1.35

 

 

$

1.41

 

Common Dividend Declared Per Share

 

 

$

0.37

 

 

$

0.36

 

 

$

0.37

 

 

$

0.74

 

 

$

0.72

 

High Common Stock Price

 

 

$

36.08

 

 

$

35.61

 

 

$

38.18

 

 

$

38.18

 

 

$

42.45

 

Low Common Stock Price

 

 

$

30.68

 

 

$

27.68

 

 

$

32.92

 

 

$

30.68

 

 

$

27.68

 

Average Shares Outstanding (Net of Treasury Stock):

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

 

135,137,901

 

 

 

134,683,010

 

 

 

134,808,634

 

 

 

134,881,314

 

 

 

134,472,074

 

Diluted

 

 

 

135,314,785

 

 

 

134,849,818

 

 

 

135,121,380

 

 

 

135,103,288

 

 

 

134,748,868

 

 

 

 

 

 

 

 

 

 

 

 

 

Common Dividends

 

 

$

50,204

 

 

$

48,628

 

 

$

50,213

 

 

$

100,417

 

 

$

97,348

 

Dividend Payout Ratio

 

 

 

52.02

%

 

 

52.59

%

 

 

57.84

%

 

 

54.78

%

 

 

51.03

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30

 

December 31

 

June 30

 

March 31

EOP Share Data:

 

 

 

 

2024

 

2023

 

2023

 

2024

Book Value Per Share

 

 

 

 

$

35.92

 

 

$

35.36

 

 

$

34.37

 

 

$

35.56

 

Tangible Book Value Per Share (non-GAAP) (1)

 

 

 

 

$

21.87

 

 

$

21.27

 

 

$

20.25

 

 

$

21.50

 

52-week High Common Stock Price

 

 

 

 

$

38.74

 

 

$

42.45

 

 

$

44.15

 

 

$

38.74

 

Date

 

 

 

 

12/14/23

 

2/3/2023

 

11/11/22

 

12/14/23

52-week Low Common Stock Price

 

 

 

 

$

25.35

 

 

$

25.35

 

 

$

27.68

 

 

$

25.35

 

Date

 

 

 

 

10/24/23

 

10/24/23

 

5/12/23

 

10/24/23

 

 

 

 

 

 

 

 

 

 

 

 

EOP Shares Outstanding (Net of Treasury Stock):

 

 

 

 

 

135,195,704

 

 

 

134,949,063

 

 

 

134,934,858

 

 

 

135,192,675

 

 

 

 

 

 

 

 

 

 

 

 

 

Memorandum Items:

 

 

 

 

 

 

 

 

 

 

 

Employees (full-time equivalent)

 

 

 

 

 

2,644

 

 

 

2,736

 

 

 

2,799

 

 

 

2,716

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Note:

 

 

 

 

 

 

 

 

 

 

 

(1) Tangible Book Value Per Share:

 

 

 

 

 

 

 

 

 

 

 

Total Shareholders' Equity (GAAP)

 

 

 

 

$

4,856,633

 

 

$

4,771,240

 

 

$

4,637,043

 

 

$

4,807,441

 

Less: Total Intangibles

 

 

 

 

 

(1,899,574

)

 

 

(1,901,394

)

 

 

(1,905,228

)

 

 

(1,900,484

)

Tangible Equity (non-GAAP)

 

 

 

 

$

2,957,059

 

 

$

2,869,846

 

 

$

2,731,815

 

 

$

2,906,957

 

÷ EOP Shares Outstanding (Net of Treasury Stock)

 

 

 

 

 

135,195,704

 

 

 

134,949,063

 

 

 

134,934,858

 

 

 

135,192,675

 

Tangible Book Value Per Share (non-GAAP)

 

 

 

 

$

21.87

 

 

$

21.27

 

 

$

20.25

 

 

$

21.50

 

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

June 2024

 

Three Months Ended

June 2023

 

Three Months Ended

March 2024

 

Selected Average Balances and Yields:

Average

 

 

 

Average

 

Average

 

 

 

Average

 

Average

 

 

 

Average

 

ASSETS:

Balance

 

Interest(1)

 

Rate(1)

 

Balance

 

Interest(1)

 

Rate(1)

 

Balance

 

Interest(1)

 

Rate(1)

 

Earning Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Federal funds sold and securities purchased under agreements to resell and other short-term investments

$

930,453

 

 

$

12,787

 

5.53

%

 

$

994,072

 

 

$

12,706

 

5.13

%

 

$

882,656

 

 

$

12,303

 

5.61

%

 

Investment securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable

 

3,496,310

 

 

 

33,968

 

3.89

%

 

 

4,274,123

 

 

 

36,721

 

3.44

%

 

 

3,743,157

 

 

 

34,722

 

3.71

%

 

Tax-exempt

 

209,114

 

 

 

1,488

 

2.85

%

 

 

387,918

 

 

 

2,718

 

2.80

%

 

 

212,375

 

 

 

1,474

 

2.78

%

 

Total securities

 

3,705,424

 

 

 

35,456

 

3.83

%

 

 

4,662,041

 

 

 

39,439

 

3.38

%

 

 

3,955,532

 

 

 

36,196

 

3.66

%

 

Loans and loans held for sale, net of unearned income (2)

 

21,639,898

 

 

 

326,808

 

6.07

%

 

 

20,705,509

 

 

 

294,931

 

5.71

%

 

 

21,508,611

 

 

 

321,553

 

6.01

%

 

Allowance for loan losses

 

(263,050

)

 

 

 

 

 

 

(240,611

)

 

 

 

 

 

 

(259,341

)

 

 

 

 

 

Net loans and loans held for sale

 

21,376,848

 

 

 

 

6.14

%

 

 

20,464,898

 

 

 

 

5.78

%

 

 

21,249,270

 

 

 

 

6.08

%

 

Total earning assets

 

26,012,725

 

 

$

375,051

 

5.79

%

 

 

26,121,011

 

 

$

347,076

 

5.33

%

 

 

26,087,458

 

 

$

370,052

 

5.70

%

 

Other assets

 

3,357,439

 

 

 

 

 

 

 

3,317,801

 

 

 

 

 

 

 

3,344,925

 

 

 

 

 

 

TOTAL ASSETS

$

29,370,164

 

 

 

 

 

 

$

29,438,812

 

 

 

 

 

 

$

29,432,383

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-Bearing Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing deposits

$

16,740,124

 

 

$

132,425

 

3.18

%

 

$

15,520,461

 

 

$

91,577

 

2.37

%

 

$

16,663,765

 

 

$

128,377

 

3.10

%

 

Short-term borrowings

 

206,234

 

 

 

2,206

 

4.30

%

 

 

177,315

 

 

 

1,489

 

3.37

%

 

 

203,570

 

 

 

2,082

 

4.11

%

 

Long-term borrowings

 

1,290,405

 

 

 

13,838

 

4.31

%

 

 

2,307,485

 

 

 

25,405

 

4.42

%

 

 

1,500,237

 

 

 

16,232

 

4.35

%

 

Total interest-bearing liabilities

 

18,236,763

 

 

 

148,469

 

3.27

%

 

 

18,005,261

 

 

 

118,471

 

2.64

%

 

 

18,367,572

 

 

 

146,691

 

3.21

%

 

Noninterest-bearing deposits

 

5,976,971

 

 

 

 

 

 

 

6,500,259

 

 

 

 

 

 

 

5,941,866

 

 

 

 

 

 

Accrued expenses and other liabilities

 

298,537

 

 

 

 

 

 

 

274,198

 

 

 

 

 

 

 

306,469

 

 

 

 

 

 

TOTAL LIABILITIES

 

24,512,271

 

 

 

 

 

 

 

24,779,718

 

 

 

 

 

 

 

24,615,907

 

 

 

 

 

 

SHAREHOLDERS’ EQUITY

 

4,857,893

 

 

 

 

 

 

 

4,659,094

 

 

 

 

 

 

 

4,816,476

 

 

 

 

 

 

TOTAL LIABILITIES AND

SHAREHOLDERS’ EQUITY

$

29,370,164

 

 

 

 

 

 

$

29,438,812

 

 

 

 

 

 

$

29,432,383

 

 

 

 

 

 

NET INTEREST INCOME

 

 

$

226,582

 

 

 

 

 

$

228,605

 

 

 

 

 

$

223,361

 

 

 

INTEREST RATE SPREAD

 

 

 

 

2.52

%

 

 

 

 

 

2.69

%

 

 

 

 

 

2.49

%

 

NET INTEREST MARGIN

 

 

 

 

3.50

%

 

 

 

 

 

3.51

%

 

 

 

 

 

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.

 

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Six Months Ended

June 2024

 

Six Months Ended

June 2023

 

Selected Average Balances and Yields:

 

 

Average

 

 

 

Average

 

Average

 

 

 

Average

 

ASSETS:

 

 

Balance

 

Interest(1)

 

Rate(1)

 

Balance

 

Interest(1)

 

Rate(1)

 

Earning Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Federal funds sold and securities purchased under

agreements to resell and other short-term investments

 

 

$

906,555

 

 

$

25,090

 

5.57

%

 

$

965,393

 

 

$

23,689

 

4.95

%

 

Investment securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable

 

 

 

3,619,733

 

 

 

68,690

 

3.80

%

 

 

4,339,132

 

 

 

72,980

 

3.36

%

 

Tax-exempt

 

 

 

210,745

 

 

 

2,962

 

2.81

%

 

 

387,795

 

 

 

5,458

 

2.81

%

 

Total securities

 

 

 

3,830,478

 

 

 

71,652

 

3.74

%

 

 

4,726,927

 

 

 

78,438

 

3.32

%

 

Loans and loans held for sale, net of unearned income (2)

 

 

 

21,574,254

 

 

 

648,361

 

6.04

%

 

 

20,694,619

 

 

 

575,387

 

5.60

%

 

Allowance for loan losses

 

 

 

(261,196

)

 

 

 

 

 

 

(237,726

)

 

 

 

 

 

Net loans and loans held for sale

 

 

 

21,313,058

 

 

 

 

6.11

%

 

 

20,456,893

 

 

 

 

5.67

%

 

Total earning assets

 

 

 

26,050,091

 

 

$

745,103

 

5.74

%

 

 

26,149,213

 

 

$

677,514

 

5.21

%

 

Other assets

 

 

 

3,350,473

 

 

 

 

 

 

 

3,324,719

 

 

 

 

 

 

TOTAL ASSETS

 

 

$

29,400,564

 

 

 

 

 

 

$

29,473,932

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-Bearing Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing deposits

 

 

$

16,701,944

 

 

$

260,802

 

3.14

%

 

$

15,354,468

 

 

$

160,169

 

2.10

%

 

Short-term borrowings

 

 

 

204,902

 

 

 

4,288

 

4.21

%

 

 

171,994

 

 

 

2,646

 

3.10

%

 

Long-term borrowings

 

 

 

1,395,321

 

 

 

30,070

 

4.33

%

 

 

2,362,437

 

 

 

50,639

 

4.32

%

 

Total interest-bearing liabilities

 

 

 

18,302,167

 

 

 

295,160

 

3.24

%

 

 

17,888,899

 

 

 

213,454

 

2.41

%

 

Noninterest-bearing deposits

 

 

 

5,959,418

 

 

 

 

 

 

 

6,697,549

 

 

 

 

 

 

Accrued expenses and other liabilities

 

 

 

301,673

 

 

 

 

 

 

 

272,575

 

 

 

 

 

 

TOTAL LIABILITIES

 

 

 

24,563,258

 

 

 

 

 

 

 

24,859,023

 

 

 

 

 

 

SHAREHOLDERS’ EQUITY

 

 

 

4,837,306

 

 

 

 

 

 

 

4,614,909

 

 

 

 

 

 

TOTAL LIABILITIES AND

SHAREHOLDERS’ EQUITY

 

 

$

29,400,564

 

 

 

 

 

 

$

29,473,932

 

 

 

 

 

 

NET INTEREST INCOME

 

 

 

 

$

449,943

 

 

 

 

 

$

464,060

 

 

 

INTEREST RATE SPREAD

 

 

 

 

 

 

2.50

%

 

 

 

 

 

2.80

%

 

NET INTEREST MARGIN

 

 

 

 

 

 

3.47

%

 

 

 

 

 

3.57

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(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.

 

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Six Months Ended

 

 

June

 

June

 

March

 

June

 

June

 

Selected Financial Ratios:

 

2024

 

2023

 

2024

 

2024

 

2023

 

Return on Average Assets

 

 

1.32

%

 

 

1.26

%

 

 

1.19

%

 

 

1.25

%

 

 

1.31

%

 

Return on Average Shareholders’ Equity

 

 

7.99

%

 

 

7.96

%

 

 

7.25

%

 

 

7.62

%

 

 

8.34

%

 

Return on Average Tangible Equity (non-GAAP) (1)

 

 

13.12

%

 

 

13.47

%

 

 

11.98

%

 

 

12.55

%

 

 

14.20

%

 

Efficiency Ratio

 

 

52.66

%

 

 

51.51

%

 

 

55.26

%

 

 

53.96

%

 

 

51.48

%

 

Price / Earnings Ratio

 

 

11.40

 

x

 

10.84

 

x

 

13.96

 

x

 

11.98

 

x

 

10.50

 

x

 

 

 

 

 

 

 

 

 

 

 

 

Note:

 

 

 

 

 

 

 

 

 

 

 

(1) Return on Average Tangible Equity:

 

 

 

 

 

 

 

 

 

 

 

(a) Net Income (GAAP)

 

$

96,507

 

 

$

92,459

 

 

$

86,814

 

 

$

183,321

 

 

$

190,766

 

 

(b) Number of Days

 

 

91

 

 

 

91

 

 

 

91

 

 

 

182

 

 

 

181

 

 

Average Total Shareholders' Equity (GAAP)

 

$

4,857,893

 

 

$

4,659,094

 

 

$

4,816,476

 

 

$

4,837,306

 

 

$

4,614,909

 

 

Less: Average Total Intangibles

 

 

(1,900,164

)

 

 

(1,906,053

)

 

 

(1,901,074

)

 

 

(1,900,619

)

 

 

(1,906,689

)

 

(c) Average Tangible Equity (non-GAAP)

 

$

2,957,729

 

 

$

2,753,041

 

 

$

2,915,402

 

 

$

2,936,687

 

 

$

2,708,220

 

 

Return on Average Tangible Equity (non-GAAP) [(a) / (b)] x 366 or 365 / (c)

 

 

13.12

%

 

 

13.47

%

 

 

11.98

%

 

 

12.55

%

 

 

14.20

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Ratios:

 

 

 

June 30

2024

 

December 31

2023

 

June 30

2023

 

March 31

2024

 

Loans & Leases, net of unearned income / Deposit Ratio

 

 

 

 

93.64

%

 

 

93.60

%

 

 

92.82

%

 

 

93.89

%

 

Allowance for Loan & Lease Losses/ Loans & Leases, net of unearned income

 

 

 

 

1.24

%

 

 

1.21

%

 

 

1.21

%

 

 

1.22

%

 

Allowance for Credit Losses (2)/ Loans & Leases, net of unearned income

 

 

 

 

1.43

%

 

 

1.42

%

 

 

1.43

%

 

 

1.42

%

 

Nonaccrual Loans / Loans & Leases, net of unearned income

 

 

 

 

0.25

%

 

 

0.14

%

 

 

0.13

%

 

 

0.29

%

 

90-Day Past Due Loans/ Loans & Leases, net of unearned income

 

 

 

 

0.06

%

 

 

0.07

%

 

 

0.07

%

 

 

0.05

%

 

Non-performing Loans/ Loans & Leases, net of unearned income

 

 

 

 

0.30

%

 

 

0.21

%

 

 

0.20

%

 

 

0.35

%

 

Non-performing Assets/ Total Assets

 

 

 

 

0.23

%

 

 

0.16

%

 

 

0.15

%

 

 

0.26

%

 

Primary Capital Ratio

 

 

 

 

17.06

%

 

 

16.79

%

 

 

16.45

%

 

 

16.86

%

 

Shareholders' Equity Ratio

 

 

 

 

16.21

%

 

 

15.94

%

 

 

15.62

%

 

 

16.01

%

 

Price / Book Ratio

 

 

 

 

0.90

 

x

 

1.06

 

x

 

0.86

 

x

 

1.01

 

x

 

 

 

 

 

 

 

 

 

 

 

 

Note:

 

 

 

 

 

 

 

 

 

 

 

(2) Includes allowances for loan losses and lending-related commitments.

UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Six Months Ended

 

 

 

 

June 30

 

June 30

 

March 31

 

June 30

 

June 30

Mortgage Banking Data: (1)

 

 

 

2024

 

2023

 

2024

 

2024

 

2023

Loans originated

 

 

 

$

185,322

 

 

$

271,829

 

 

$

176,906

 

 

$

362,228

 

 

$

449,637

 

Loans sold

 

 

 

 

163,273

 

 

 

248,709

 

 

 

188,741

 

 

 

352,014

 

 

 

415,220

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30

 

December 31

 

June 30

 

March 31

Mortgage Loan Servicing Data:

 

 

 

 

 

2024

 

2023

 

2023

 

2024

Balance of loans serviced

 

 

 

 

 

$

1,138,443

 

 

$

1,202,448

 

 

$

1,242,441

 

 

$

1,173,246

 

Number of loans serviced

 

 

 

 

 

 

11,853

 

 

 

12,419

 

 

 

12,843

 

 

 

12,163

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30

 

December 31

 

June 30

 

March 31

Asset Quality Data:

 

 

 

 

 

2024

 

2023

 

2023

 

2024

EOP Non-Accrual Loans

 

 

 

 

 

$

52,929

 

 

$

30,919

 

 

$

26,545

 

 

$

63,053

 

EOP 90-Day Past Due Loans

 

 

 

 

 

 

12,402

 

 

 

14,579

 

 

 

15,007

 

 

 

11,329

 

Total EOP Non-performing Loans

 

 

 

 

 

$

65,331

 

 

$

45,498

 

 

$

41,552

 

 

$

74,382

 

EOP Other Real Estate Owned

 

 

 

 

 

 

2,156

 

 

 

2,615

 

 

 

3,756

 

 

 

2,670

 

Total EOP Non-performing Assets

 

 

 

 

 

$

67,487

 

 

$

48,113

 

 

$

45,308

 

 

$

77,052

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Six Months Ended

 

 

 

 

June 30

 

June 30

 

March 31

 

June 30

 

June 30

Allowance for Loan & Lease Losses:

 

 

 

2024

 

2023

 

2024

 

2024

 

2023

Beginning Balance

 

 

 

$

262,905

 

 

$

240,491

 

 

$

259,237

 

 

$

259,237

 

 

$

234,746

 

Gross Charge-offs

 

 

 

 

(2,542

)

 

 

(2,274

)

 

 

(3,576

)

 

 

(6,118

)

 

 

(5,210

)

Recoveries

 

 

 

 

1,281

 

 

 

1,065

 

 

 

1,506

 

 

 

2,787

 

 

 

2,856

 

Net Charge-offs

 

 

 

 

(1,261

)

 

 

(1,209

)

 

 

(2,070

)

 

 

(3,331

)

 

 

(2,354

)

Provision for Loan & Lease Losses

 

 

 

 

5,779

 

 

 

11,439

 

 

 

5,738

 

 

 

11,517

 

 

 

18,329

 

Ending Balance

 

 

 

$

267,423

 

 

$

250,721

 

 

$

262,905

 

 

$

267,423

 

 

$

250,721

 

Reserve for lending-related commitments

 

 

 

 

40,739

 

 

 

46,768

 

 

 

42,915

 

 

 

40,739

 

 

 

46,768

 

Allowance for Credit Losses (2)

 

 

 

$

308,162

 

 

$

297,489

 

 

$

305,820

 

 

$

308,162

 

 

$

297,489

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Notes:

 

 

 

 

 

 

 

 

 

 

 

 

(1) During the first quarter of 2024, United completed its previously announced consolidation of its mortgage delivery channels. Based on an evaluation performed in accordance with ASC 280, Segment Reporting, beginning with the periods as of March 31, 2024, United operates one reportable business segment. Mortgage banking data above is presented on a consolidated basis for all current and prior periods.

(2) Includes allowances for loan losses and lending-related commitments.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20240725766893/en/

W. Mark Tatterson Chief Financial Officer [phone] ext. 8716