Core Viewpoint - United Bankshares (UBSI) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system focuses on changes in earnings estimates as a key determinant of stock ratings, with a strong correlation between earnings estimate revisions and near-term stock price movements [4][6]. - Institutional investors often rely on earnings estimates to assess a company's fair value, leading to stock price movements based on their buying or selling actions [4]. Recent Performance and Outlook - For the fiscal year ending December 2025, United Bankshares is expected to earn $3.14 per share, unchanged from the previous year, but the Zacks Consensus Estimate has increased by 5.9% over the past three months [8]. - The upgrade to Zacks Rank 2 places United Bankshares in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a proven track record of Zacks Rank 1 stocks generating an average annual return of +25% since 1988 [7]. - The system maintains a balanced distribution of ratings, ensuring that only the top 5% of stocks receive a "Strong Buy" rating, while the next 15% receive a "Buy" rating [9].

Core Viewpoint - United Bankshares (UBSI) is experiencing solid improvement in earnings estimates, which is likely to positively impact its stock price [1][2]. Earnings Estimates - Analysts are increasingly optimistic about the earnings prospects for United Bankshares, leading to higher earnings estimates that should reflect in the stock price [2]. - The current quarter's earnings estimate is $0.82 per share, representing a 17.1% increase from the previous year [6]. - For the full year, the expected earnings are $3.14 per share, indicating a 14.2% increase from the prior year [7]. Estimate Revisions - Over the past 30 days, the Zacks Consensus Estimate for the current quarter has risen by 5.58%, with three estimates moving higher and no negative revisions [6]. - The consensus estimate for the full year has increased by 5.86%, with four estimates revised upward and no negative revisions [8]. Zacks Rank - United Bankshares currently holds a Zacks Rank 2 (Buy), reflecting strong agreement among analysts in revising earnings estimates upward [9]. - Stocks with Zacks Rank 1 (Strong Buy) and 2 (Buy) have historically outperformed the S&P 500 [9]. Stock Performance - United Bankshares shares have increased by 7% over the past four weeks, indicating investor confidence in the company's earnings growth prospects [10].

Group 1 - United Bankshares has shown a recovery with an approximate 11% return since the beginning of the year [1] - The investment strategy focuses on a long-term, buy-and-hold approach, emphasizing stocks that can deliver sustainable high-quality earnings [1] Group 2 - The article does not provide any specific financial metrics or detailed analysis of United Bankshares' performance beyond the mentioned return [1]

[PART I. FINANCIAL INFORMATION](index=4&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) The unaudited consolidated financial statements for the six months ended June 30, 2025, reflect significant growth in assets, loans, and deposits, primarily due to the Piedmont Bancorp acquisition, leading to increased net income - Financial statements are prepared under GAAP for interim reporting and should be read with the 2024 Annual Report on Form 10-K[21](index=21&type=chunk) - The company's business activities are confined to a single reportable segment: community banking through its subsidiary, United Bank[23](index=23&type=chunk) [Consolidated Balance Sheets](index=5&type=section&id=Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets grew 9.2% to **$32.78 billion**, primarily due to the Piedmont acquisition, significantly increasing net loans, goodwill, deposits, and shareholders' equity Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 (Unaudited) | December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **$32,783,363** | **$30,023,545** | | Net loans and leases | $23,742,260 | $21,401,649 | | Goodwill | $2,018,910 | $1,888,889 | | **Total Liabilities** | **$27,418,822** | **$25,030,322** | | Total deposits | $26,335,874 | $23,961,859 | | **Total Shareholders' Equity** | **$5,364,541** | **$4,993,223** | [Consolidated Statements of Income](index=6&type=section&id=Consolidated%20Statements%20of%20Income) Q2 2025 net income increased to **$120.7 million** ($0.85 diluted EPS), driven by a **21.6% rise in net interest income**, with six-month net income reaching **$205.0 million** despite higher provisions and expenses from the Piedmont acquisition Key Income Statement Data (in thousands, except per share data) | Metric | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | Net Interest Income | $274,537 | $225,715 | $534,592 | $448,204 | | Provision for credit losses | $5,889 | $5,779 | $34,992 | $11,519 | | **Net Income** | **$120,721** | **$96,507** | **$205,027** | **$183,321** | | **Diluted EPS** | **$0.85** | **$0.71** | **$1.44** | **$1.35** | [Condensed Consolidated Statements of Cash Flows](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended June 30, 2025, cash and cash equivalents increased by **$22.4 million**, with operating activities providing cash, investing activities using cash primarily for loans, and financing activities providing cash from deposits Cash Flow Summary for Six Months Ended June 30 (in thousands) | Activity | 2025 | 2024 | | :--- | :--- | :--- | | Net Cash from Operating Activities | $209,346 | $185,556 | | Net Cash (Used in)/Provided by Investing Activities | ($273,819) | $220,109 | | Net Cash Provided by/(Used in) Financing Activities | $86,921 | ($145,747) | | **Increase in Cash and Cash Equivalents** | **$22,448** | **$259,918** | [Notes to Consolidated Financial Statements](index=12&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) The notes detail financial statement support, including accounting standards, investment and loan portfolios, credit quality, and the **$281.0 million** Piedmont acquisition's impact on various accounts - On January 10, 2025, United acquired Piedmont Bancorp, Inc. for **$281.0 million**, adding **$2.36 billion** in assets, **$2.08 billion** in loans, and **$2.11 billion** in deposits, with preliminary goodwill of **$130.0 million**[36](index=36&type=chunk)[42](index=42&type=chunk)[47](index=47&type=chunk) - The allowance for loan and lease losses increased by **$36.1 million** from year-end 2024, including an **$18.7 million** provision for non-PCD loans from the Piedmont acquisition[42](index=42&type=chunk)[118](index=118&type=chunk) - The company had **$6.25 billion** in loan commitments and **$157.8 million** in commercial and standby letters of credit outstanding as of June 30, 2025[141](index=141&type=chunk)[142](index=142&type=chunk) - Shareholders approved the 2025 Equity Incentive Plan (EIP), replacing the 2020 plan, authorizing **3,000,000 shares** for issuance[198](index=198&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=59&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses significant increases in assets, loans, and deposits, primarily from the Piedmont acquisition, driving Q2 2025 net income to **$120.7 million** and strengthening liquidity and capital positions - The acquisition of Piedmont Bancorp, Inc. on January 10, 2025, added approximately **$2.4 billion** in assets and is a primary driver of financial changes in 2025[236](index=236&type=chunk) - Management highlights the use of non-GAAP measures like tax-equivalent net interest income and return on average tangible equity for additional evaluation information[241](index=241&type=chunk)[242](index=242&type=chunk) [Financial Condition](index=62&type=section&id=Financial%20Condition) Total assets grew by **$2.76 billion** (9.2%) to **$32.78 billion** in H1 2025, primarily due to the Piedmont acquisition, significantly increasing portfolio loans, deposits, and shareholders' equity Change in Loan Portfolio (in thousands) | Loan Category | June 30, 2025 | Dec 31, 2024 | $ Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Commercial, financial, and agricultural | $13,698,632 | $11,881,005 | $1,817,627 | 15.30% | | Residential real estate | $5,852,212 | $5,507,384 | $344,828 | 6.26% | | Construction & land development | $3,741,200 | $3,509,034 | $232,166 | 6.62% | | **Total Loans, net of unearned income** | **$24,050,222** | **$21,673,493** | **$2,376,729** | **10.97%** | Change in Deposit Portfolio (in thousands) | Deposit Category | June 30, 2025 | Dec 31, 2024 | $ Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Demand deposits (Noninterest-bearing) | $6,627,265 | $6,135,413 | $491,852 | 8.02% | | Interest-bearing deposits | $19,708,609 | $17,826,446 | $1,882,163 | 10.56% | | **Total deposits** | **$26,335,874** | **$23,961,859** | **$2,374,015** | **9.91%** | [Results of Operations](index=67&type=section&id=Results%20of%20Operations) Q2 2025 net income increased **25.1%** YoY to **$120.7 million**, driven by a **21.6%** rise in net interest income, with return on average tangible equity improving to **14.67%**, despite higher credit loss provisions from the Piedmont acquisition Quarterly Performance Summary | Metric | Q2 2025 | Q2 2024 | Q1 2025 | | :--- | :--- | :--- | :--- | | Net Income (in millions) | $120.7 | $96.5 | $84.3 | | Diluted EPS | $0.85 | $0.71 | $0.59 | | Return on Average Assets (Ann.) | 1.49% | 1.32% | 1.06% | | Return on Average Tangible Equity (Ann.) | 14.67% | 13.12% | 10.61% | - Acquisition-related costs for the Piedmont merger were **$1.32 million** for Q2 2025 and **$31.36 million** for H1 2025, including a significant provision for credit losses on purchased loans[281](index=281&type=chunk) [Liquidity and Capital Resources](index=79&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains sufficient liquidity and a strong capital position, with all regulatory capital ratios exceeding 'well-capitalized' thresholds, including a **13.42%** Common Equity Tier 1 ratio, supported by substantial unused borrowing capacity Regulatory Capital Ratios (as of June 30, 2025) | Ratio | United's Ratio | Well-Capitalized Requirement | | :--- | :--- | :--- | | Common Equity Tier 1 Capital | 13.42% | 6.5% | | Tier 1 Capital | 13.42% | 8.0% | | Total Risk-Based Capital | 15.83% | 10.0% | | Leverage Ratio | 11.33% | 5.0% | - During H1 2025, United repurchased **1,548,827 shares** of its common stock at an average price of **$33.81 per share**[355](index=355&type=chunk) - The Board of Directors declared a cash dividend of **$0.37 per share** for Q2 2025, totaling **$0.74** for the first six months of the year[357](index=357&type=chunk) [Quantitative and Qualitative Disclosures about Market Risk](index=80&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company's primary market risk is interest rate risk, managed by ALCO using earnings simulation to assess net interest income sensitivity and monitoring extension risk in its **$1.8 billion** mortgage-related securities portfolio Estimated NII Sensitivity to Interest Rate Changes (1-Year Horizon) | Change in Interest Rates (bps) | % Change in NII (June 30, 2025) | % Change in NII (Dec 31, 2024) | | :--- | :--- | :--- | | +200 | 3.43% | 2.82% | | +100 | 2.13% | 1.75% | | -100 | (0.36%) | 0.26% | | -200 | (0.61%) | 0.40% | - The company's mortgage-related securities portfolio is structured to have moderate extension risk, with a **+300 bps** rate shock scenario extending the average life of the fixed-rate CMO portfolio from **4.8 to 6.5 years**[370](index=370&type=chunk) [Controls and Procedures](index=82&type=section&id=Item%204.%20Controls%20and%20Procedures) As of June 30, 2025, the CEO and CFO concluded that disclosure controls and procedures are effective, with no material changes in internal control over financial reporting during Q2 2025 - Management, including the CEO and CFO, concluded that disclosure controls and procedures were effective as of the end of the period[376](index=376&type=chunk) - No changes in internal control over financial reporting occurred during the quarter that materially affected or are reasonably likely to materially affect the company's internal controls[379](index=379&type=chunk) [PART II. OTHER INFORMATION](index=84&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Legal Proceedings](index=84&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal proceedings arising from normal business operations, which management believes will not materially affect United's financial position - United is involved in various legal proceedings in the normal course of business, which management believes will be resolved with no material effect on the company's financial position[381](index=381&type=chunk) [Risk Factors](index=84&type=page&id=Item%201A.%20Risk%20Factors) This section refers readers to the comprehensive risk factors detailed in the company's Annual Report on Form 10-K for December 31, 2024, with no new or materially changed risks presented in this quarterly report - The report directs stakeholders to the risk factors disclosed in the Annual Report on Form 10-K for the year ended December 31, 2024, for a comprehensive understanding of potential risks[382](index=382&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=84&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During Q2 2025, United repurchased **981,428 shares** of common stock at an average price of **$33.17 per share** under the publicly announced 2022 repurchase plan Share Repurchases for Quarter Ended June 30, 2025 | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | April 2025 | 831,422 | $32.64 | | May 2025 | 6 | $32.86 | | June 2025 | 150,000 | $36.14 | | **Total** | **981,428** | **$33.17** | - The share repurchases were executed under the 2022 Plan, authorizing the repurchase of up to **4,750,000 shares**[384](index=384&type=chunk) [Other Information](index=85&type=section&id=Item%205.%20Other%20Information) During Q2 2025, no directors or executive officers adopted, modified, or terminated any Rule 10b5-1 or non-Rule 10b5-1 trading arrangements - No directors or executive officers adopted, modified, or terminated any "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement" during the second quarter of 2025[388](index=388&type=chunk) [Exhibits](index=86&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with Form 10-Q, including the Piedmont merger agreement, corporate governance documents, and CEO/CFO certifications required by Sarbanes-Oxley Act - Key exhibits include CEO and CFO certifications pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act, and the Interactive Data File (inline XBRL)[389](index=389&type=chunk)[390](index=390&type=chunk)

Core Viewpoint - United Bankshares (UBSI) has experienced a decline of 6.1% over the past two weeks, but the formation of a hammer chart pattern suggests potential support and a possible trend reversal in the future [1][2]. Technical Analysis - The hammer chart pattern indicates a potential bottoming out, with reduced selling pressure, which could lead to a bullish trend for UBSI [2][5]. - A hammer pattern typically forms during a downtrend, where the stock opens lower, makes a new low, but then closes near or above the opening price, indicating buying interest [4][5]. - The effectiveness of the hammer pattern is contingent on its placement on the chart and should be used alongside other bullish indicators [6]. Fundamental Analysis - There is a strong consensus among Wall Street analysts to raise earnings estimates for UBSI, enhancing its prospects for a trend reversal [2][7]. - Over the last 30 days, the consensus EPS estimate for UBSI has increased by 4.9%, indicating analysts expect better earnings than previously predicted [8]. - UBSI holds a Zacks Rank of 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks, which typically outperform the market [9][10].

Core Viewpoint - United Bankshares reported record results for Q2 2025, exceeding analyst expectations in both earnings and revenue, driven by successful acquisitions and improved performance metrics [1][2]. Financial Performance - GAAP earnings per share (EPS) reached $0.85, surpassing estimates of $0.76, and increased by 19.7% from $0.71 in Q2 2024 [2] - GAAP revenue was $306 million, exceeding the estimate of $298.8 million and up 35.6% from $225.7 million in Q2 2024 [2] - Net interest income rose to $274.5 million, a 22% increase year-over-year [2] - Return on average assets improved to 1.49%, up 0.17 percentage points from 1.32% in Q2 2024 [2] - Net interest margin expanded to 3.81%, an increase of 0.31 percentage points from 3.50% in Q2 2024 [2] Business Overview - United Bankshares operates as a commercial bank holding company, providing a range of banking services including loans and deposit services, with a focus on acquisitions to expand its market presence [3] - The company has completed 33 acquisitions, with the most recent being Piedmont Bancorp in January 2025, enhancing its footprint in the Mid-Atlantic and Southeast regions [3] Key Performance Drivers - The integration of Piedmont Bancorp significantly increased the customer base and average loans and deposits, contributing to a net loan portfolio growth of $2.45 billion year-over-year to $24.05 billion [5] - Commercial loans and leases grew from $15.89 billion in Q2 2024 to $18.48 billion in Q2 2025 [5] - Acquired loan accretion income contributed $11.8 million in Q2 2025, boosting the net interest margin [6] Credit Quality and Risk Management - Nonperforming loans decreased to 0.28% of total loans, while net charge-offs increased to 0.14% of average loans, indicating a return to typical loss levels post-pandemic [8] - The company set aside $5.9 million for potential loan losses, consistent with the prior year [9] Deposits and Expenses - Total deposits rose 14.2% year-over-year to $26.34 billion, with increases in both interest-bearing and noninterest-bearing accounts [10] - Noninterest expenses increased by 10% year-over-year, primarily due to staff and operational costs from acquisitions, but merger-related expenses decreased significantly [11] Shareholder Returns - The quarterly dividend was maintained at $0.37 per share, with a payout ratio below half of earnings, and share repurchase activity resumed with 981,000 shares bought back at an average price of $33.17 [12] Outlook - Management did not provide numeric guidance for the remainder of fiscal 2025 but highlighted ongoing momentum from acquisitions and disciplined expense management as key supports [13] - Investors should monitor the sustainability of margin expansion, deposit cost trends, and credit risk associated with commercial and real estate loans [14]

Core Insights - United Bankshares reported record net income and revenue for Q2 2025, with diluted EPS of $0.85, exceeding the consensus estimate of $0.76, and revenue of $306.0 million, surpassing the forecast of $298.8 million [1][2] Financial Performance - EPS (GAAP, Diluted) increased by 19.7% year-over-year from $0.71 to $0.85 [2] - Revenue (GAAP) rose by 19.6% year-over-year from $255.9 million to $306.0 million [2] - Net Interest Income grew by 21.6% year-over-year, reaching $274.5 million [2] - Net Interest Margin improved to 3.81%, up from 3.50% a year earlier [2] - Return on Average Tangible Equity (Non-GAAP) increased to 14.67%, up from 13.12% [2] Business Overview and Strategy - United Bankshares operates as a bank holding company, providing a range of financial services across the Mid-Atlantic and Southeast regions, with a growth model focused on acquisitions [3] - The company has completed 33 acquisitions since its formation, including recent acquisitions of Piedmont Bancorp, Community Bankers Trust, and Carolina Financial [3] Operational Highlights - The Piedmont Bancorp acquisition contributed significantly to the quarter's performance, adding approximately $2.4 billion in assets and increasing average net loans by $2.3 billion year-over-year [5][6] - Noninterest expense decreased by $5.6 million sequentially, reflecting reduced merger-related integration costs [6][8] - The efficiency ratio improved to 48.37%, indicating enhanced operational efficiency as revenue growth outpaced expense growth [8][11] Asset Quality and Lending - Non-performing loans stood at $68.3 million, representing 0.28% of loans, which is a modest increase from the previous year [9] - The total allowance for loan losses increased to $308.0 million, or 1.28% of loans, reflecting new loans from Piedmont and higher loss provisioning [9] Market Position and Future Outlook - Total deposits reached $26.34 billion as of June 30, 2025, up from $23.07 billion a year earlier [10] - The company is expanding into the Atlanta market to capture new commercial and retail clients despite rising competition [10] - Management expressed confidence in maintaining a positive trajectory into the second half of fiscal 2025, citing benefits from the Atlanta market entry and ongoing cost control [13]

Core Viewpoint - United Bankshares (UBSI) demonstrated strong financial performance in the quarter ended June 2025, with significant increases in revenue and earnings per share (EPS) compared to the previous year [1]. Financial Performance - Revenue for the quarter was reported at $306.79 million, reflecting a year-over-year increase of 19.5% [1]. - EPS was reported at $0.85, up from $0.71 in the same quarter last year [1]. - The revenue exceeded the Zacks Consensus Estimate of $298 million, resulting in a surprise of +2.95% [1]. - EPS also surpassed the consensus estimate of $0.77, with a surprise of +10.39% [1]. Key Metrics - Efficiency Ratio stood at 48.4%, better than the three-analyst average estimate of 50% [4]. - Average balance of earning assets was $28.95 billion, slightly below the estimated $29.18 billion [4]. - Net interest margin was reported at 3.8%, exceeding the average estimate of 3.7% [4]. - Net Charge-off as a percentage of average loans was 0.1%, matching the two-analyst average estimate [4]. - Income from mortgage banking operations was $2.6 million, below the average estimate of $3.28 million [4]. - Total Noninterest Income reached $31.46 million, surpassing the average estimate of $30.44 million [4]. - Income from bank-owned life insurance was $3.62 million, exceeding the estimated $2.94 million [4]. - Other income was reported at $2.1 million, slightly above the average estimate of $2.01 million [4]. - Fees from deposit services totaled $9.66 million, below the average estimate of $9.79 million [4]. - Other service charges, commissions, and fees were $1.15 million, above the average estimate of $1 million [4]. - Bankcard fees and merchant discounts reached $2.1 million, exceeding the estimated $1.89 million [4]. - Net Interest Income (Taxable Equivalent) was reported at $275.33 million, higher than the estimated $266.03 million [4]. Stock Performance - Shares of United Bankshares returned +2.2% over the past month, compared to the Zacks S&P 500 composite's +5.7% change [3]. - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3].

Core Viewpoint - United Bankshares (UBSI) reported quarterly earnings of $0.85 per share, exceeding the Zacks Consensus Estimate of $0.77 per share, and showing an increase from $0.71 per share a year ago, indicating a positive earnings surprise of +10.39% [1] Financial Performance - The company achieved revenues of $306.79 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 2.95%, compared to $256.8 million in the same quarter last year [2] - Over the last four quarters, United Bankshares has exceeded consensus EPS estimates three times and topped consensus revenue estimates four times [2] Stock Performance and Outlook - United Bankshares shares have declined approximately 1.8% since the beginning of the year, while the S&P 500 has gained 8.1% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] Earnings Estimate Revisions - The trend for earnings estimate revisions for United Bankshares was favorable ahead of the earnings release, resulting in a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] - The current consensus EPS estimate for the upcoming quarter is $0.78 on revenues of $302.68 million, and for the current fiscal year, it is $2.97 on revenues of $1.2 billion [7] Industry Context - The Zacks Industry Rank for Banks - Southeast is currently in the top 9% of over 250 Zacks industries, suggesting a favorable environment for the sector [8] - Another company in the same industry, First National Corp. (FXNC), is expected to report quarterly earnings of $0.49 per share, reflecting a year-over-year change of +2.1% [9]

[Earnings Announcement and Performance Summary](index=1&type=section&id=United%20Bankshares%2C%20Inc.%20Announces%20Record%20Earnings%20for%20the%20Second%20Quarter%20of%202025) This section details United Bankshares' record earnings for Q2 2025, driven by the Piedmont acquisition, strong asset quality, and effective expense management, with comparative financial analysis across periods [Second Quarter 2025 Highlights](index=1&type=section&id=Second%20Quarter%202025%20Highlights) United Bankshares, Inc. (UBSI) announced record earnings for the second quarter of 2025, reaching $120.7 million, or $0.85 per diluted share, driven by the Piedmont Bancorp acquisition, strong asset quality, and effective expense management Q2 2025 Key Earnings Metrics | Metric | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Net Income | $120.7 million | $84.3 million | $96.5 million | | Diluted EPS | $0.85 | $0.59 | $0.71 | | Return on Average Assets (Annualized) | 1.49% | 1.06% | 1.32% | | Return on Average Tangible Equity (Annualized, non-GAAP) | 14.67% | 10.61% | 13.12% | - CEO Richard M. Adams, Jr. stated that Q2 2025 was the strongest earnings quarter in the company's history, attributing the success to the entry into the Atlanta market, excellent asset quality, and strong expense control[3](index=3&type=chunk) - The acquisition of Piedmont Bancorp, Inc. on January 10, 2025, significantly impacted the financial results for 2025, leading to increased average balances, income, and expenses[3](index=3&type=chunk) [Financial Performance Analysis](index=2&type=section&id=Financial%20Performance%20Analysis) This section provides a detailed comparative analysis of United Bankshares' financial performance, breaking down results for Q2 2025 against Q1 2025 and Q2 2024, and H1 2025 against H1 2024, covering net interest income, provision for credit losses, noninterest income, and noninterest expense [Q2 2025 vs. Q1 2025](index=2&type=section&id=Second%20quarter%20of%202025%20compared%20to%20the%20first%20quarter%20of%202025) Earnings surged from $84.3 million in Q1 to a record $120.7 million in Q2, driven by a 6% increase in net interest income, a 12 basis point expansion in net interest margin, reduced provision for credit losses, and lower merger-related expenses - Net interest income rose by **$14.5 million (6%)** QoQ, driven by organic loan growth, the Piedmont acquisition, and a **$5.8 million** increase in acquired loan accretion income[6](index=6&type=chunk) - The net interest margin increased by **12 basis points to 3.81%**, and the interest rate spread widened by **12 basis points to 2.95%**[6](index=6&type=chunk) - Provision for credit losses decreased sharply to **$5.9 million** from **$29.1 million** in Q1, as the prior quarter included an **$18.7 million** provision related to the Piedmont acquisition[7](index=7&type=chunk) - Noninterest expense fell by **$5.6 million**, primarily due to a decrease in merger-related expenses from **$11.3 million** in Q1 to **$1.3 million** in Q2[8](index=8&type=chunk) [Q2 2025 vs. Q2 2024](index=3&type=section&id=Second%20quarter%20of%202025%20compared%20to%20the%20second%20quarter%20of%202024) Year-over-year, earnings grew from $96.5 million to $120.7 million, with net interest income increasing by a substantial $48.8 million (22%) due to a $2.9 billion increase in average earning assets from the Piedmont acquisition and a 31 basis point expansion in net interest margin, while noninterest expense rose by 10% - Net interest income grew by **$48.8 million (22%)** YoY, and the net interest margin expanded by **31 basis points to 3.81%**[12](index=12&type=chunk) - The provision for credit losses remained stable at **$5.9 million** compared to **$5.8 million** in Q2 2024[13](index=13&type=chunk) - Noninterest income increased by **$1.2 million (4%)**, with higher income from bank-owned life insurance partially offset by a **$1.3 million** decrease in income from mortgage banking activities[14](index=14&type=chunk) - Noninterest expense increased by **$13.2 million (10%)**, driven by higher employee compensation and other expenses mainly from the Piedmont acquisition[16](index=16&type=chunk) [First Half 2025 vs. First Half 2024](index=4&type=section&id=First%20half%20of%202025%20compared%20to%20the%20first%20half%20of%202024) For the first six months of 2025, earnings increased to $205.0 million from $183.3 million in the prior year, primarily due to an $86.4 million (19%) increase in net interest income, partially offset by a higher provision for credit losses and a $26.1 million increase in noninterest expense, largely tied to the Piedmont acquisition First Half Performance Comparison | Metric | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Net Income | $205.0 million | $183.3 million | | Diluted EPS | $1.44 | $1.35 | | Net Interest Income | $534.6 million | $448.2 million | | Provision for Credit Losses | $35.0 million | $11.5 million | | Noninterest Expense | $301.6 million | $275.5 million | - The provision for credit losses for H1 2025 was **$35.0 million**, which included an **$18.7 million** provision recorded on non-PCD loans acquired from Piedmont[20](index=20&type=chunk) - Noninterest expense in H1 2025 included **$12.6 million** in merger-related expenses, compared to **$1.3 million** in H1 2024[23](index=23&type=chunk) [Financial Condition](index=5&type=section&id=Financial%20Condition) This section assesses United Bankshares' financial health, focusing on stable credit quality with low non-performing assets and strong capital ratios significantly exceeding regulatory requirements [Credit Quality](index=5&type=section&id=Credit%20Quality) United's asset quality remained sound and stable as of June 30, 2025, with non-performing loans at 0.28% of total loans, non-performing assets at 0.23% of total assets, an allowance for loan and lease losses of $308.0 million (1.28% of loans), and modest net charge-offs at an annualized rate of 0.14% Asset Quality Indicators | Metric | June 30, 2025 | March 31, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | :--- | | Non-Performing Loans (NPLs) as % of loans | 0.28% | 0.29% | 0.34% | | Non-Performing Assets (NPAs) as % of assets | 0.23% | 0.22% | 0.25% | | Allowance for Loan & Lease Losses as % of loans | 1.28% | 1.30% | 1.25% | - Net charge-offs for Q2 2025 were **$8.4 million**, or **0.14%** of average loans on an annualized basis, consistent with the previous quarter[28](index=28&type=chunk) [Capital](index=6&type=section&id=Capital) The company continues to be well-capitalized, with regulatory capital ratios significantly exceeding required minimums; as of June 30, 2025, the estimated Common Equity Tier 1 capital ratio was 13.4%, and approximately 1.5 million shares of common stock were repurchased during the first half of 2025 Estimated Capital Ratios (June 30, 2025) | Ratio | UBSI Estimated | Well-Capitalized Requirement | | :--- | :--- | :--- | | Common Equity Tier 1 | 13.4% | 6.5% | | Tier 1 Capital | 13.4% | 8.0% | | Total Risk-Based Capital | 15.8% | 10.0% | | Leverage | 11.3% | 5.0% | - In H1 2025, United repurchased approximately **1.5 million shares** of common stock at an average price of **$33.81 per share**; no shares were repurchased in 2024[30](index=30&type=chunk) [Financial Statements and Data](index=9&type=section&id=Financial%20Statements%20and%20Data) This section provides comprehensive financial statements and key data, including earnings summaries, balance sheets, average balances, shareholder data, and detailed financial ratios for comparative analysis across periods [Earnings Summary and Key Ratios](index=9&type=section&id=Earnings%20Summary%20and%20Key%20Ratios) This section presents a consolidated summary of United Bankshares' earnings, per-share data, key financial ratios, and period-end balance sheet figures for the three and six months ended June 30, 2025, with comparisons to prior periods Financial Highlights (Q2 2025) | Metric | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Net Income | $120,721 | $84,306 | $96,507 | | Diluted EPS | $0.85 | $0.59 | $0.71 | | Net Interest Margin | 3.81% | 3.69% | 3.50% | | Total Assets (Period End) | $32,783,363 | $32,788,494 | $29,957,418 | | Total Shareholders' Equity (Period End) | $5,364,541 | $5,314,449 | $4,856,633 | [Consolidated Statements of Income](index=10&type=section&id=Consolidated%20Statements%20of%20Income) This section provides a detailed breakdown of the company's revenues and expenses for the three and six months ended June 30, 2025, compared to the same periods in 2024, including both GAAP and non-GAAP (FTE) figures for net interest income Consolidated Statements of Income (Three Months Ended June 30, 2025) | (In Thousands) | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net Interest Income | $274,537 | $225,715 | | Provision for credit losses | $5,889 | $5,779 | | Total Noninterest Income | $31,460 | $30,223 | | Total Noninterest Expense | $148,020 | $134,774 | | Income before income taxes | $152,088 | $115,385 | | Net Income | $120,721 | $96,507 | [Consolidated Balance Sheets](index=11&type=section&id=Consolidated%20Balance%20Sheets) This section presents the company's financial position as of June 30, 2025, with comparative data for March 31, 2025, December 31, 2024, and June 30, 2024, detailing assets, liabilities, and shareholders' equity Consolidated Balance Sheet Highlights (As of June 30, 2025) | (In Thousands) | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Total Assets | $32,783,363 | $29,957,418 | | Net Loans | $23,742,260 | $21,331,304 | | Total Deposits | $26,335,874 | $23,066,440 | | Total Shareholders' Equity | $5,364,541 | $4,856,633 | [Consolidated Average Balance Sheets](index=12&type=section&id=Consolidated%20Average%20Balance%20Sheets) This table shows the average balances for assets, liabilities, and equity for the quarters ended June 30, 2025, March 31, 2025, and June 30, 2024, which are used to calculate key performance ratios like net interest margin and return on assets Consolidated Average Balances (Q2 2025 vs Q2 2024) | (In Thousands) | Q2 2025 Average | Q2 2024 Average | | :--- | :--- | :--- | | Total Assets | $32,584,368 | $29,370,164 | | Interest-earning Assets | $28,949,287 | $26,012,725 | | Total Deposits | $26,202,718 | $22,717,095 | | Interest-bearing Liabilities | $20,321,323 | $18,236,763 | | Total Shareholders' Equity | $5,351,140 | $4,857,893 | [Shareholder Data](index=13&type=section&id=Shareholder%20Data) This section provides key data for common shareholders, including earnings per share, dividends, stock price performance, and book value per share calculations for various periods Per Share Data | Metric | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Diluted EPS | $0.85 | $0.59 | $0.71 | | Common Dividend Declared | $0.37 | $0.37 | $0.37 | | Book Value Per Share (EOP) | $37.80 | $37.19 | $35.92 | | Tangible Book Value Per Share (EOP, non-GAAP) | $23.32 | $22.76 | $21.87 | [Selected Average Balances and Yields](index=14&type=section&id=Selected%20Average%20Balances%20and%20Yields) This section provides a detailed analysis of net interest income on a tax-equivalent basis, breaking down average balances, interest income/expense, and average yields/rates for each category of earning assets and interest-bearing liabilities for both quarterly and year-to-date periods Net Interest Margin and Spread Analysis (Q2 2025) | Metric | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Yield on Earning Assets | 5.84% | 5.73% | 5.79% | | Cost of Interest-Bearing Liabilities | 2.89% | 2.90% | 3.27% | | Interest Rate Spread | 2.95% | 2.83% | 2.52% | | Net Interest Margin | 3.81% | 3.69% | 3.50% | [Selected Financial Ratios](index=16&type=section&id=Selected%20Financial%20Ratios) This section presents key performance, valuation, and balance sheet ratios, including profitability ratios like Return on Average Assets, efficiency ratios, and asset quality ratios like Non-performing Assets to Total Assets Key Financial Ratios | Ratio | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Return on Average Assets | 1.49% | 1.06% | 1.32% | | Return on Average Shareholders' Equity | 9.05% | 6.47% | 7.99% | | Return on Average Tangible Equity (non-GAAP) | 14.67% | 10.61% | 13.12% | | Efficiency Ratio | 48.37% | 53.03% | 52.66% | | Non-performing Assets / Total Assets (EOP) | 0.23% | 0.22% | 0.23% | [Supplemental Data (Mortgage and Asset Quality)](index=17&type=section&id=Supplemental%20Data%20(Mortgage%20and%20Asset%20Quality)) This section provides supplemental data on mortgage banking activities, detailed asset quality metrics, and a reconciliation of the allowance for loan and lease losses for the quarter and year-to-date periods Allowance for Loan & Lease Losses Roll-Forward (Q2 2025) | (In Thousands) | Amount | | :--- | :--- | | Beginning Balance (Mar 31, 2025) | $310,424 | | Net Charge-offs | ($8,351) | | Provision for Loan & Lease Losses | $5,889 | | Ending Balance (Jun 30, 2025) | $307,962 | - As previously disclosed, United sold its remaining mortgage servicing rights during the third quarter of 2024, hence there is no mortgage loan servicing data for 2025[63](index=63&type=chunk) [Other Information](index=6&type=section&id=Other%20Information) This section provides background on United Bankshares, clarifies the use of non-GAAP financial measures, and outlines forward-looking statements with associated risks and uncertainties [About United Bankshares, Inc.](index=6&type=section&id=About%20United%20Bankshares%2C%20Inc.) United Bankshares, Inc. is a financial services company with approximately $33 billion in consolidated assets as of June 30, 2025, operating over 240 offices through its subsidiary, United Bank, across nine states and Washington, D.C., and is the 39th largest banking company in the U.S. by market capitalization - As of June 30, 2025, United Bankshares has consolidated assets of approximately **$33 billion**[31](index=31&type=chunk) - The company is the parent of United Bank, which has over **240 offices** in Washington, D.C., Virginia, West Virginia, Maryland, North Carolina, South Carolina, Ohio, Pennsylvania, and Georgia[31](index=31&type=chunk) [Use of non-GAAP Financial Measures](index=7&type=section&id=Use%20of%20non-GAAP%20Financial%20Measures) This press release includes non-GAAP financial measures such as tax-equivalent (FTE) net interest income, average tangible equity, and return on average tangible equity, which management believes provide meaningful additional information for evaluating performance and are consistent with industry practice, with reconciliations to comparable GAAP measures provided in the attached financial tables - The company uses non-GAAP measures because it believes they provide meaningful additional information to assist in evaluating results of operations or financial position[34](index=34&type=chunk) - Specific non-GAAP measures used include tax-equivalent (FTE) net interest income, average tangible equity, return on average tangible equity, and tangible book value per share[35](index=35&type=chunk) [Forward-Looking Statements](index=7&type=section&id=Forward-Looking%20Statements) The report contains forward-looking statements regarding future events and expectations, which are subject to various risks and uncertainties, including economic conditions, interest rate policies, and risks related to the integration of acquisitions like Piedmont, meaning actual results may differ materially from those projected - The report includes forward-looking statements that are subject to risks and uncertainties, and actual results may differ[39](index=39&type=chunk) - Key risk factors include changes in monetary and fiscal policies, economic conditions, risks related to the Piedmont acquisition integration, and regulatory changes[39](index=39&type=chunk)