[Executive Summary & Third Quarter 2025 Performance](index=1&type=section&id=Executive%20Summary%20%26%20Third%20Quarter%202025%20Performance) [Overview of Third Quarter 2025 Results](index=1&type=section&id=Overview%20of%20Third%20Quarter%202025%20Results) United Community Banks, Inc. reported strong third-quarter 2025 earnings, driven by significant loan growth and margin expansion | Metric | Q3 2025 (GAAP) | Q3 2025 (Operating) | Change from Q3 2024 (GAAP) | Change from Q3 2024 (Operating) | Change from Q2 2025 (GAAP) | Change from Q2 2025 (Operating) | | :-------------------------------- | :---------------- | :-------------------- | :----------------------------- | :------------------------------- | :--------------------------- | :----------------------------- | | Net Income | $91.5 million | - | - | - | Up $12.8 million | - | | Pre-tax, Pre-provision Income | $126.0 million | - | - | - | Up $13.7 million | - | | Diluted EPS | $0.70 | $0.75 | Up $0.32 | Up **32%** | Up $0.07 | Up **14%** | | Return on Assets | **1.29%** | **1.33%** | Up from **0.67%** | Up from **1.01%** | - | - | | Return on Common Equity | **9.2%** | - | - | - | Improved | - | | Return on Tangible Common Equity | - | **13.6%** | - | - | Improved | - | | Tangible Common Equity to Tangible Assets | **9.71%** | - | - | - | Up **26 bps** | - | - Strong **27% year-over-year revenue growth** contributed to the improved financial performance[2](index=2&type=chunk) [CEO's Statement](index=1&type=section&id=CEO%27s%20Statement) Chairman and CEO Lynn Harton expressed pride in the third-quarter financial results, highlighting solid loan and deposit growth, healthy margin expansion, and improved return metrics - Loans grew by **$254 million**, or **5.4%** annualized, from the second quarter[4](index=4&type=chunk) - Customer deposits, excluding seasonal public funds outflow, increased by **$137 million**, or **2.6%** annualized[4](index=4&type=chunk) - Non-interest bearing deposits, excluding public funds, grew at an annualized rate of **4.7%**[4](index=4&type=chunk) - Net charge-offs were **$7.7 million** or **0.16%** annualized of average loans, down **two basis points** from the second quarter[4](index=4&type=chunk) - Nonperforming assets were **0.35%** of total assets, up slightly from **0.30%** for the second quarter[4](index=4&type=chunk) [Key Financial Highlights](index=2&type=section&id=Key%20Financial%20Highlights) The third quarter saw total revenue increase by 6% from the second quarter, reaching $276.8 million, driven by an improved net interest margin of 3.58% and higher noninterest income | Metric | Q3 2025 | Change from Q2 2025 | | :-------------------------------- | :---------------- | :------------------ | | Total Revenue | $276.8 million | Up $16.6 million (**6%**) | | Net Interest Margin | **3.58%** | Increased **8 bps** | | Noninterest Income | - | Up $8.5 million | | Provision for Credit Losses | $7.9 million | Down $3.9 million | | Allowance for Credit Losses Coverage | **1.19%** of total loans | Down slightly | | Net Charge-offs | $7.7 million (**0.16%** annualized) | Improved **2 bps** | | Noninterest Expenses (GAAP) | - | Up $2.9 million | | Noninterest Expenses (Operating) | - | Up $4.3 million | | Efficiency Ratio (GAAP) | **54.3%** | Improved | | Efficiency Ratio (Operating) | **53.1%** | Improved | | Loan Growth | $254 million (**5.4%** annualized) | - | | Mortgage Closings | $283 million | Up from $239 million (Q3 2024) | | Mortgage Rate Locks | $388 million | Up from $306 million (Q3 2024) | | Customer Deposits (excluding public funds) | Up $137 million | - | | Noninterest-bearing Demand Deposits | Up $73 million | - | | Common Dividend | $0.25 per share | Up **4%** YoY | | Common Equity Tier 1 | **13.4%** | Maintained strong | | Preferred Stock Redeemed | $88.3 million | All outstanding preferred shares | [Financial Tables and Reconciliations](index=3&type=section&id=Financial%20Tables%20and%20Reconciliations) [Selected Financial Information](index=3&type=section&id=Selected%20Financial%20Information) This section provides a consolidated overview of key financial metrics, including income summary, performance ratios, and asset quality indicators for the third quarter and year-to-date periods, with comparisons to prior periods | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :----------------------------------- | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | **Income Summary (in thousands):** | | | | | | | | | Net interest revenue | $233,629 | $225,531 | $212,021 | $210,333 | $209,186 | $671,181 | $617,035 | | Noninterest income | $43,219 | $34,708 | $35,656 | $40,522 | $8,091 | $113,583 | $84,234 | | Total revenue | $276,848 | $260,239 | $247,677 | $250,855 | $217,277 | $784,764 | $701,269 | | Provision for credit losses | $7,907 | $11,818 | $15,419 | $11,389 | $14,428 | $35,144 | $39,562 | | Noninterest expense | $150,868 | $147,919 | $141,099 | $143,056 | $143,065 | $439,886 | $435,111 | | Net income | $91,494 | $78,733 | $71,413 | $75,804 | $47,347 | $241,640 | $176,593 | | **Performance Measures (per common share):** | | | | | | | | | Diluted net income - GAAP | $0.70 | $0.63 | $0.58 | $0.61 | $0.38 | $1.91 | $1.43 | | Diluted net income - operating | $0.75 | $0.66 | $0.59 | $0.63 | $0.57 | $2.00 | $1.67 | | Cash dividends declared | $0.25 | $0.24 | $0.24 | $0.24 | $0.24 | $0.73 | $0.70 | | Book value | $29.44 | $28.89 | $28.42 | $27.87 | $27.68 | $29.44 | $27.68 | | Tangible book value | $21.59 | $21.00 | $20.58 | $20.00 | $19.66 | $21.59 | $19.66 | | **Key Performance Ratios:** | | | | | | | | | Return on assets - GAAP | 1.29% | 1.11% | 1.02% | 1.06% | 0.67% | 1.16% | 0.85% | | Net interest margin (FTE) | 3.58% | 3.50% | 3.36% | 3.26% | 3.33% | 3.48% | 3.30% | | Efficiency ratio - operating | 53.05% | 54.84% | 56.22% | 55.18% | 57.37% | 54.64% | 57.84% | | Tangible common equity to tangible assets | 9.71% | 9.45% | 9.18% | 8.97% | 8.93% | 9.71% | 8.93% | | **Asset Quality:** | | | | | | | | | Nonperforming assets ("NPAs") | $97,916 | $83,959 | $93,290 | $115,635 | $114,960 | $97,916 | $114,960 | | Allowance for credit losses - loans | $215,791 | $216,500 | $211,974 | $206,998 | $205,290 | $215,791 | $205,290 | | Net charge-offs | $7,676 | $8,225 | $9,607 | $9,517 | $23,651 | $25,508 | $48,173 | | NPAs to total assets | 0.35% | 0.30% | 0.33% | 0.42% | 0.42% | 0.35% | 0.42% | | **At Period End ($ in millions):** | | | | | | | | | Loans | $19,175 | $18,921 | $18,425 | $18,176 | $17,964 | $19,175 | $17,964 | | Total assets | $28,143 | $28,086 | $27,874 | $27,720 | $27,373 | $28,143 | $27,373 | | Deposits | $24,021 | $23,963 | $23,762 | $23,461 | $23,253 | $24,021 | $23,253 | | Shareholders' equity | $3,597 | $3,501 | $3,432 | $3,407 | $3,597 | $3,597 | $3,407 | [Non-GAAP Performance Measures Reconciliation](index=4&type=section&id=Non-GAAP%20Performance%20Measures%20Reconciliation) This section provides detailed reconciliations of various non-GAAP financial measures to their most directly comparable GAAP measures, offering a clearer view of the company's underlying operational performance by excluding non-recurring items [Noninterest Income Reconciliation](index=4&type=section&id=Noninterest%20Income%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :-------------------------- | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Noninterest income (GAAP) | $43,219 | $34,708 | $35,656 | $40,522 | $8,091 | $113,583 | $84,234 | | Gain on lease termination | - | - | - | - | - | - | ($2,400) | | FDIC special assessment | - | - | - | - | - | - | ($1,736) | | Loss on sale of manufactured housing loans | - | - | - | - | $27,209 | - | $27,209 | | Noninterest income - operating | $43,219 | $34,708 | $35,656 | $40,522 | $35,300 | $113,583 | $109,043 | [Noninterest Expense Reconciliation](index=4&type=section&id=Noninterest%20Expense%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :-------------------------- | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Noninterest expense (GAAP) | $150,868 | $147,919 | $141,099 | $143,056 | $143,065 | $439,886 | $435,111 | | Loss on sale of FinTrust, including goodwill impairment | - | - | - | ($5,100) | - | - | ($5,100) | | Merger-related and other charges | ($3,468) | ($4,833) | ($1,297) | ($2,203) | ($2,176) | ($9,598) | ($6,420) | | Noninterest expense - operating | $147,400 | $143,086 | $139,802 | $140,853 | $140,889 | $430,288 | $421,855 | [Net Income to Operating Income Reconciliation](index=4&type=section&id=Net%20Income%20to%20Operating%20Income%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Net income (GAAP) | $91,494 | $78,733 | $71,413 | $75,804 | $47,347 | $241,640 | $176,593 | | Loss on sale of manufactured housing loans | - | - | - | - | $27,209 | - | $27,209 | | Gain on lease termination | - | - | - | - | - | - | ($2,400) | | Loss on sale of FinTrust, including goodwill impairment | - | - | - | - | - | - | $5,100 | | FDIC special assessment | - | - | - | - | - | - | $1,736 | | Merger-related and other charges | $3,468 | $4,833 | $1,297 | $2,203 | $2,176 | $9,598 | $6,420 | | Income tax benefit of non-operating items | ($751) | ($1,047) | ($281) | ($471) | ($6,276) | ($2,079) | ($8,231) | | Net income - operating | $94,211 | $82,519 | $72,429 | $77,536 | $70,456 | $249,159 | $206,427 | [Net Income to Pre-Tax Pre-Provision Income Reconciliation](index=4&type=section&id=Net%20Income%20to%20Pre-Tax%20Pre-Provision%20Income%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Net income (GAAP) | $91,494 | $78,733 | $71,413 | $75,804 | $47,347 | $241,640 | $176,593 | | Income tax expense | $26,579 | $21,769 | $19,746 | $20,606 | $12,437 | $68,094 | $50,003 | | Provision for credit losses | $7,907 | $11,818 | $15,419 | $11,389 | $14,428 | $35,144 | $39,562 | | Pre-tax pre-provision income | $125,980 | $112,320 | $106,578 | $107,799 | $74,212 | $344,878 | $266,158 | [Diluted Income Per Common Share Reconciliation](index=4&type=section&id=Diluted%20Income%20Per%20Common%20Share%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Diluted income per common share (GAAP) | $0.70 | $0.63 | $0.58 | $0.61 | $0.38 | $1.91 | $1.43 | | Loss on sale of manufactured housing loans | - | - | - | - | $0.31 | - | $0.10 | | Loss on sale of FinTrust, including goodwill impairment | - | - | - | - | - | - | $0.02 | | FDIC special assessment | - | - | - | - | - | - | $0.01 | | Merger-related and other charges | $0.02 | $0.03 | $0.01 | $0.02 | $0.01 | $0.06 | $0.04 | | Deemed dividend on preferred stock redemption | $0.03 | - | - | - | - | $0.03 | - | | Diluted income per common share - operating | $0.75 | $0.66 | $0.59 | $0.63 | $0.57 | $2.00 | $1.67 | [Book Value Per Common Share Reconciliation](index=4&type=section&id=Book%20Value%20Per%20Common%20Share%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Book value per common share (GAAP) | $29.44 | $28.89 | $28.42 | $27.87 | $27.68 | $29.44 | $27.68 | | Tangible book value per common share | $21.59 | $21.00 | $20.58 | $20.00 | $19.66 | $21.59 | $19.66 | [Return on Common Equity Reconciliation](index=4&type=section&id=Return%20on%20Common%20Equity%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Return on common equity (GAAP) | 9.20% | 8.45% | 7.89% | 8.40% | 5.20% | 8.53% | 6.61% | | Loss on sale of manufactured housing loans | - | - | - | - | 2.43% | - | 0.82% | | Gain on lease termination | - | - | - | - | - | - | (0.07%) | | Loss on sale of FinTrust, including goodwill impairment | - | - | - | - | - | - | 0.16% | | FDIC special assessment | - | - | - | - | - | - | 0.05% | | Merger-related and other charges | 0.29% | 0.42% | 0.12% | 0.20% | 0.19% | 0.27% | 0.19% | | Deemed dividend on preferred stock redemption | 0.34% | - | - | - | - | 0.12% | - | | Return on common equity - operating | 9.83% | 8.87% | 8.01% | 8.60% | 7.82% | 8.92% | 7.76% | [Return on Tangible Common Equity Reconciliation](index=4&type=section&id=Return%20on%20Tangible%20Common%20Equity%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Return on common equity - operating | 9.83% | 8.87% | 8.01% | 8.60% | 7.82% | 8.92% | 7.76% | | Effect of goodwill and other intangibles | 3.73% | 3.47% | 3.20% | 3.52% | 3.35% | 3.65% | 3.42% | | Return on tangible common equity - operating | 13.56% | 12.34% | 11.21% | 12.12% | 11.17% | 12.57% | 11.18% | [Return on Assets Reconciliation](index=4&type=section&id=Return%20on%20Assets%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Return on assets (GAAP) | 1.29% | 1.11% | 1.02% | 1.06% | 0.67% | 1.16% | 0.85% | | Loss on sale of manufactured housing loans | - | - | - | - | 0.31% | - | 0.10% | | Loss on sale of FinTrust, including goodwill impairment | - | - | - | - | - | - | 0.02% | | FDIC special assessment | - | - | - | - | - | - | 0.01% | | Merger-related and other charges | 0.02% | 0.03% | 0.01% | 0.02% | 0.01% | 0.06% | 0.04% | | Return on assets - operating | 1.33% | 1.16% | 1.04% | 1.08% | 1.01% | 1.19% | 0.99% | [Return on Assets - Pre-Tax Pre-Provision Reconciliation](index=5&type=section&id=Return%20on%20Assets%20-%20Pre-Tax%20Pre-Provision%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Return on assets (GAAP) | 1.29% | 1.11% | 1.02% | 1.06% | 0.67% | 1.16% | 0.85% | | Income tax expense | 0.38% | 0.31% | 0.29% | 0.30% | 0.19% | 0.33% | 0.25% | | Provision for credit losses | 0.11% | 0.17% | 0.23% | 0.16% | 0.21% | 0.17% | 0.19% | | Loss on sale of manufactured housing loans | - | - | - | - | 0.40% | - | 0.13% | | Gain on lease termination | - | - | - | - | - | - | (0.01%) | | Loss on sale of FinTrust, including goodwill impairment | - | - | - | - | - | - | 0.03% | | FDIC special assessment | - | - | - | - | - | - | 0.01% | | Merger-related and other charges | 0.05% | 0.07% | 0.01% | 0.03% | 0.03% | 0.04% | 0.03% | | Return on assets - pre-tax pre-provision - operating | 1.83% | 1.66% | 1.55% | 1.55% | 1.50% | 1.70% | 1.48% | [Efficiency Ratio Reconciliation](index=5&type=section&id=Efficiency%20Ratio%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Efficiency ratio (GAAP) | 54.30% | 56.69% | 56.74% | 56.05% | 65.51% | 55.86% | 61.76% | | Loss on sale of manufactured housing loans | - | - | - | - | (7.15%) | - | (2.25%) | | Gain on lease termination | - | - | - | - | - | - | 0.21% | | Loss on sale of FinTrust, including goodwill impairment | - | - | - | - | - | - | (0.73%) | | FDIC special assessment | - | - | - | - | - | - | (0.24%) | | Merger-related and other charges | (1.25%) | (1.85%) | (0.52%) | (0.87%) | (0.99%) | (1.22%) | (0.91%) | | Efficiency ratio - operating | 53.05% | 54.84% | 56.22% | 55.18% | 57.37% | 54.64% | 57.84% | [Tangible Common Equity to Tangible Assets Reconciliation](index=5&type=section&id=Tangible%20Common%20Equity%20to%20Tangible%20Assets%20Reconciliation) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------ | :------ | :------ | :------- | :------- | | Equity to total assets (GAAP) | 12.78% | 12.86% | 12.56% | 12.38% | 12.45% | 12.78% | 12.45% | | Effect of goodwill and other intangibles | (3.07%) | (3.10%) | (3.06%) | (3.09%) | (3.20%) | (3.07%) | (3.20%) | | Effect of preferred equity | - | (0.31%) | (0.32%) | (0.32%) | (0.32%) | - | (0.32%) | | Tangible common equity to tangible assets | 9.71% | 9.45% | 9.18% | 8.97% | 8.93% | 9.71% | 8.93% | [Loan Portfolio and Credit Quality](index=6&type=section&id=Loan%20Portfolio%20and%20Credit%20Quality) [Loan Portfolio Composition](index=6&type=section&id=Loan%20Portfolio%20Composition) The loan portfolio demonstrated growth in several commercial and residential categories, with total loans increasing by $254 million from the second quarter and $1.211 billion year-over-year | Loan Category (in millions) | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Linked Quarter Change | Year over Year Change | | :-------------------------- | :------ | :------ | :------ | :------ | :------ | :-------------------- | :-------------------- | | Owner occupied commercial RE | $3,678 | $3,563 | $3,419 | $3,398 | $3,323 | $115 | $355 | | Income producing commercial RE | $4,534 | $4,548 | $4,416 | $4,361 | $4,259 | ($14) | $275 | | Commercial & industrial | $2,593 | $2,516 | $2,506 | $2,428 | $2,313 | $77 | $280 | | Commercial construction | $1,734 | $1,752 | $1,681 | $1,656 | $1,785 | ($18) | ($51) | | Equipment financing | $1,808 | $1,778 | $1,723 | $1,663 | $1,603 | $30 | $205 | | Total commercial | $14,347 | $14,157 | $13,745 | $13,506 | $13,283 | $190 | $1,064 | | Residential mortgage | $3,198 | $3,210 | $3,218 | $3,232 | $3,263 | ($12) | ($65) | | Home equity | $1,252 | $1,180 | $1,099 | $1,065 | $1,015 | $72 | $237 | | Residential construction | $178 | $174 | $171 | $178 | $189 | $4 | ($11) | | Consumer | $192 | $191 | $183 | $186 | $188 | $1 | $4 | | Total loans | $19,175 | $18,921 | $18,425 | $18,176 | $17,964 | $254 | $1,211 | | Loans by Market (in millions) | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Linked Quarter Change | Year over Year Change | | :---------------------------- | :------ | :------ | :------ | :------ | :------ | :-------------------- | :-------------------- | | Georgia | $4,584 | $4,551 | $4,484 | $4,447 | $4,470 | $33 | $114 | | South Carolina | $2,926 | $2,872 | $2,821 | $2,815 | $2,782 | $54 | $144 | | North Carolina | $2,676 | $2,626 | $2,666 | $2,644 | $2,586 | $50 | $90 | | Tennessee | $1,902 | $1,881 | $1,880 | $1,799 | $1,848 | $21 | $54 | | Florida | $3,040 | $2,966 | $2,572 | $2,527 | $2,423 | $74 | $617 | | Alabama | $1,054 | $1,016 | $1,009 | - | - | $38 | $28 | | Commercial Banking Solutions | $2,993 | $3,009 | $2,993 | $2,948 | $2,859 | ($16) | $134 | | Total loans | $19,175 | $18,921 | $18,425 | $18,176 | $17,964 | $254 | $1,211 | [Credit Quality Metrics](index=7&type=section&id=Credit%20Quality%20Metrics) Credit quality metrics showed an increase in total nonaccrual loans from the prior quarter, primarily driven by commercial & industrial and residential mortgage categories | Nonaccrual Loans (in thousands) | Q3 2025 | Q2 2025 | Q1 2025 | | :------------------------------ | :------ | :------ | :------ | | Owner occupied RE | $10,275 | $8,207 | $8,949 | | Income producing RE | $10,884 | $14,624 | $16,536 | | Commercial & industrial | $25,754 | $15,422 | $22,396 | | Commercial construction | $3,198 | $1,368 | $5,558 | | Equipment financing | $9,716 | $11,731 | $8,818 | | Total commercial | $59,827 | $51,352 | $62,257 | | Residential mortgage | $28,978 | $22,597 | $22,756 | | Home equity | $5,234 | $4,093 | $4,091 | | Residential construction | $1,241 | $1,203 | $811 | | Consumer | $1,163 | $1,207 | $1,423 | | Total nonaccrual loans | $96,443 | $80,452 | $91,338 | | OREO and repossessed assets | $1,473 | $3,507 | $1,952 | | Total NPAs | $97,916 | $83,959 | $93,290 | | Net Charge-Offs (Recoveries) by Category (in thousands) | Q3 2025 | NCOs to Average Loans (Q3 2025) | Q2 2025 | NCOs to Average Loans (Q2 2025) | Q1 2025 | NCOs to Average Loans (Q1 2025) | | :---------------------------------------------------- | :------ | :------------------------------ | :------ | :------------------------------ | :------ | :------------------------------ | | Owner occupied RE | $2,497 | 0.28% | $470 | 0.05% | $126 | 0.02% | | Income producing RE | ($106) | (0.01%) | $275 | 0.08% | $718 | 0.07% | | Commercial & industrial | ($1,132) | (0.18%) | $1,027 | 0.16% | $2,447 | 0.40% | | Commercial construction | $491 | 0.11% | $89 | 0.02% | ($138) | (0.03%) | | Equipment financing | $5,487 | 1.23% | $4,963 | 1.16% | $5,042 | 1.21% | | Total commercial | $7,237 | 0.20% | $7,482 | 0.22% | $8,195 | 0.24% | | Residential mortgage | ($258) | (0.03%) | $313 | 0.04% | ($1) | - | | Home equity | $8 | 0.01% | ($72) | (0.03%) | ($62) | (0.02%) | | Residential construction | $12 | 0.03% | ($8) | (0.02%) | $219 | 0.51% | | Consumer | $667 | 1.39% | $511 | 1.11% | $1,256 | 2.76% | | Total | $7,676 | 0.16% | $8,225 | 0.18% | $9,607 | 0.21% | [Consolidated Financial Statements](index=8&type=section&id=Consolidated%20Financial%20Statements) [Consolidated Balance Sheets](index=8&type=section&id=Consolidated%20Balance%20Sheets) The consolidated balance sheet as of September 30, 2025, shows an increase in total assets to $28.14 billion, primarily driven by growth in loans and leases held for investment | Asset (in thousands) | September 30, 2025 | December 31, 2024 | | :---------------------------------------------------- | :----------------- | :---------------- | | Cash and cash equivalents | $613,431 | $519,873 | | Debt securities available-for-sale | $3,889,263 | $4,436,291 | | Debt securities held-to-maturity | $2,274,099 | $2,368,107 | | Loans and leases held for investment | $19,174,794 | $18,175,980 | | Less allowance for credit losses - loans and leases | ($215,791) | ($206,998) | | Loans and leases, net | $18,959,003 | $17,968,982 | | Goodwill and other intangible assets, net | $971,071 | $956,643 | | Total assets | $28,143,473 | $27,720,258 | | **Liabilities and Shareholders' Equity (in thousands):** | | | | Noninterest-bearing demand deposits | $6,444,067 | $6,211,182 | | NOW and interest-bearing demand deposits | $5,860,653 | $6,141,342 | | Money market deposits | $6,801,387 | $6,398,144 | | Savings deposits | $1,085,237 | $1,100,591 | | Time deposits | $3,673,718 | $3,441,424 | | Brokered deposits | $155,556 | $168,292 | | Total deposits | $24,020,618 | $23,460,975 | | Short-term borrowings | - | $195,000 | | Long-term debt | $155,251 | $254,152 | | Total liabilities | $24,546,622 | $24,288,131 | | Preferred stock | - | $88,266 | | Common stock | $121,553 | $119,364 | | Total shareholders' equity | $3,596,851 | $3,432,127 | [Consolidated Statements of Income](index=9&type=section&id=Consolidated%20Statements%20of%20Income) The consolidated statements of income show a significant increase in net income for both the three and nine months ended September 30, 2025, compared to the prior year | Income Statement Item (in thousands) | Three Months Ended Sep 30, 2025 | Three Months Ended Sep 30, 2024 | Nine Months Ended Sep 30, 2025 | Nine Months Ended Sep 30, 2024 | | :----------------------------------- | :------------------------------ | :------------------------------ | :----------------------------- | :----------------------------- | | Total interest revenue | $353,850 | $349,086 | $1,036,572 | $1,032,779 | | Total interest expense | $120,221 | $139,900 | $365,391 | $415,744 | | Net interest revenue | $233,629 | $209,186 | $671,181 | $617,035 | | Total noninterest income | $43,219 | $8,091 | $113,583 | $84,234 | | Total revenue | $276,848 | $217,277 | $784,764 | $701,269 | | Provision for credit losses | $7,907 | $14,428 | $35,144 | $39,562 | | Total noninterest expense | $150,868 | $143,065 | $439,886 | $435,111 | | Income before income taxes | $118,073 | $59,784 | $309,734 | $226,596 | | Income tax expense | $26,579 | $12,437 | $68,094 | $50,003 | | Net income | $91,494 | $47,347 | $241,640 | $176,593 | | Net income available to common shareholders | $86,139 | $45,502 | $232,290 | $170,886 | | Diluted net income per common share | $0.70 | $0.38 | $1.91 | $1.43 | [Net Interest Analysis](index=10&type=section&id=Net%20Interest%20Analysis) [Three Months Ended September 30, 2025 and 2024](index=10&type=section&id=Three%20Months%20Ended%20September%2030%2C%202025%20and%202024) For the third quarter, net interest revenue (FTE) increased to $234.66 million, driven by an improved net interest margin of 3.58% | Item (FTE) | Q3 2025 Average Balance (thousands) | Q3 2025 Interest (thousands) | Q3 2025 Average Rate | Q3 2024 Average Balance (thousands) | Q3 2024 Interest (thousands) | Q3 2024 Average Rate | | :----------------------------------- | :---------------------- | :--------------- | :------------------- | :---------------------- | :--------------- | :------------------- | | **Interest-earning assets:** | | | | | | | | Loans, net of unearned income | $19,010,663 | $297,725 | 6.21% | $18,051,741 | $291,164 | 6.42% | | Taxable securities | $6,217,693 | $51,522 | 3.31% | $6,182,164 | $51,284 | 3.32% | | Tax-exempt securities | $351,528 | $2,249 | 2.56% | $361,359 | $2,292 | 2.54% | | Total interest-earning assets | $25,993,562 | $354,885 | 5.42% | $25,101,056 | $350,180 | 5.55% | | **Interest-bearing liabilities:** | | | | | | | | Total interest-bearing deposits | $17,548,101 | $118,475 | 2.68% | $16,783,418 | $136,149 | 3.23% | | Total borrowed funds | $157,481 | $1,746 | 4.40% | $325,454 | $3,751 | 4.59% | | Total interest-bearing liabilities | $17,705,582 | $120,221 | 2.69% | $17,108,872 | $139,900 | 3.25% | | Net interest revenue (FTE) | - | $234,664 | - | - | $210,280 | - | | Net interest-rate spread (FTE) | - | - | 2.73% | - | - | 2.30% | | Net interest margin (FTE) | - | - | 3.58% | - | - | 3.33% | [Nine Months Ended September 30, 2025 and 2024](index=11&type=section&id=Nine%20Months%20Ended%20September%2030%2C%202025%20and%202024) For the nine months ended September 30, 2025, net interest revenue (FTE) increased to $674.19 million, with the net interest margin improving to 3.48% | Item (FTE) | YTD 2025 Average Balance (thousands) | YTD 2025 Interest (thousands) | YTD 2025 Average Rate | YTD 2024 Average Balance (thousands) | YTD 2024 Interest (thousands) | YTD 2024 Average Rate | | :----------------------------------- | :----------------------- | :---------------- | :-------------------- | :----------------------- | :---------------- | :-------------------- | | **Interest-earning assets:** | | | | | | | | Loans, net of unearned income | $18,632,384 | $859,678 | 6.17% | $18,187,790 | $866,502 | 6.36% | | Taxable securities | $6,480,641 | $162,885 | 3.35% | $5,988,368 | $144,363 | 3.21% | | Tax-exempt securities | $354,115 | $6,730 | 2.53% | $363,692 | $6,876 | 2.52% | | Total interest-earning assets | $25,889,263 | $1,039,581 | 5.37% | $25,099,636 | $1,035,997 | 5.51% | | **Interest-bearing liabilities:** | | | | | | | | Total interest-bearing deposits | $17,445,645 | $356,545 | 2.73% | $16,751,883 | $404,395 | 3.22% | | Total borrowed funds | $258,129 | $8,846 | 4.58% | $326,420 | $11,349 | 4.64% | | Total interest-bearing liabilities | $17,703,774 | $365,391 | 2.76% | $17,078,303 | $415,744 | 3.25% | | Net interest revenue (FTE) | - | $674,190 | - | - | $620,253 | - | | Net interest-rate spread (FTE) | - | - | 2.61% | - | - | 2.26% | | Net interest margin (FTE) | - | - | 3.48% | - | - | 3.30% | [Corporate Information and Disclosures](index=12&type=section&id=Corporate%20Information%20and%20Disclosures) [About United Community Banks, Inc.](index=12&type=section&id=About%20United%20Community%20Banks%2C%20Inc%2E) United Community Banks, Inc. is a top 100 U.S. financial institution with $28.1 billion in assets as of September 30, 2025 - United Community Banks, Inc. had **$28.1 billion** in assets as of September 30, 2025[21](index=21&type=chunk) - The company operates **199 offices** across Alabama, Florida, Georgia, North Carolina, South Carolina, and Tennessee[21](index=21&type=chunk) - United Community is an **11-time winner** of J.D. Power's award for highest customer satisfaction among consumer banks in the Southeast and was named the most trusted bank in the region in 2025[21](index=21&type=chunk) [Non-GAAP Financial Measures Explanation](index=12&type=section&id=Non-GAAP%20Financial%20Measures%20Explanation) This section clarifies that the press release includes non-GAAP financial measures, such as operating performance metrics, which exclude non-recurring items - Non-GAAP measures exclude merger-related and other charges not considered part of recurring operations[22](index=22&type=chunk) - These measures are intended to provide useful supplemental information for evaluating underlying performance trends[22](index=22&type=chunk) - Reconciliations of non-GAAP measures to GAAP are included in the financial statement tables[22](index=22&type=chunk) [Caution About Forward-Looking Statements](index=12&type=section&id=Caution%20About%20Forward-Looking%20Statements) The document contains forward-looking statements that are subject to various assumptions, risks, and uncertainties, which could cause actual results to differ materially from those expressed or implied - Forward-looking statements are not historical facts and represent management's beliefs about future performance[23](index=23&type=chunk) - Actual results may differ materially due to numerous assumptions, risks, and uncertainties, including competitive, economic, political, regulatory, and market conditions[23](index=23&type=chunk)[24](index=24&type=chunk) - The company undertakes no obligation to update or revise any forward-looking statements, except as required by law[26](index=26&type=chunk) [Conference Call Details](index=2&type=section&id=Conference%20Call%20Details) United Community Banks, Inc. hosted a conference call on Wednesday, October 22, at 9:00 a.m. ET to discuss the third-quarter earnings release and business highlights - A conference call was held on Wednesday, October 22, at **9:00 a.m. ET** to discuss earnings[7](index=7&type=chunk) - Participants could pre-register online or dial in via phone[7](index=7&type=chunk) - A webcast of the call was accessible through the Investor Relations section of ucbi.com[7](index=7&type=chunk)

Strong Loan Growth and Margin Expansion Drive Higher Revenue and EPSGREENVILLE, S.C., Oct. 22, 2025 (GLOBE NEWSWIRE) -- United Community Banks, Inc. (NYSE: UCB) (United) today announced net income for the third quarter of 2025 of $91.5 million and pre-tax, pre-provision income of $126.0 million. Diluted earnings per share of $0.70 for the quarter represented an increase of $0.32 from the third quarter a year ago and an increase of $0.07 from the second quarter. Note that the third quarter of 2024 included l ...

Company Overview - United Community Banks (UCB) is a bank holding company based in Greenville, operating in the Finance sector with a year-to-date share price change of -2.97% [3] Dividend Information - UCB currently pays a dividend of $0.25 per share, resulting in a dividend yield of 3.19%, which is higher than the Banks - Southeast industry's yield of 2.28% and the S&P 500's yield of 1.49% [3] - The annualized dividend of $1.00 represents a 6.4% increase from the previous year, with an average annual increase of 6.51% over the last five years [4] - The current payout ratio for UCB is 39%, indicating that 39% of its trailing 12-month earnings per share (EPS) is distributed as dividends [4] Earnings Growth - The Zacks Consensus Estimate for UCB's earnings in 2025 is projected at $2.64 per share, reflecting an expected increase of 14.78% from the previous year [5] Investment Appeal - UCB is considered an attractive dividend play and a compelling investment opportunity, currently holding a Zacks Rank of 2 (Buy) [6]

Core Viewpoint - United Community Banks, Inc. is set to release its third quarter 2025 financial results on October 22, 2025, and will hold a conference call to discuss these results and the company's outlook [1][2]. Company Overview - United Community Banks, Inc. is a financial holding company with $28.1 billion in assets as of June 30, 2025, operating 200 offices across six states [3]. - The company offers a comprehensive range of banking, mortgage, and wealth management services and has a nationally recognized SBA lending franchise [3]. - United Community has received multiple accolades, including being named the most trusted bank in its region in 2025 and winning J.D. Power's award for highest customer satisfaction among consumer banks in the Southeast for 11 times [3]. - The company has been recognized as one of the "Best Banks to Work For" by American Banker for eight consecutive years and has earned five 2025 Greenwich Best Brand awards in commercial banking [3]. - Forbes has consistently listed United Community among the World's Best and America's Best Banks [3].

Group 1 - Commercial Bancgroup, a community bank with branches in Kentucky, North Carolina, and Tennessee, has filed for an IPO aiming to raise $173 million [1] - The bank operates 34 branches and one loan production office, primarily serving areas including Nashville, Knoxville, and certain counties in Tennessee, southeastern Kentucky, and the Charlotte MSA in North Carolina [1] - As of June 30, 2025, the bank's total consolidated assets amount to $2.3 billion, with loans of $1.8 billion (net of credit loss reserves), deposits of $1.9 billion, and total equity of $235 million [1] Group 2 - Founded in 1975, the bank reported a revenue of $89 million for the 12 months ending June 30, 2025 [1] - The company plans to list on NASDAQ under the ticker symbol CBK and submitted its application confidentially on March 31, 2025 [1] - Hovde Group is the sole bookrunner for the transaction, and the company has not disclosed pricing terms [1]

Core Viewpoint - United Community Banks (UCB) has received a Zacks Rank 2 (Buy) upgrade, indicating a positive trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Performance - The Zacks rating system is based on changes in earnings estimates, which are closely correlated with stock price movements, particularly influenced by institutional investors [4][6]. - For the fiscal year ending December 2025, UCB is expected to earn $2.64 per share, with a 4.3% increase in the Zacks Consensus Estimate over the past three months [8]. Investment Implications - The upgrade to Zacks Rank 2 suggests an improvement in UCB's underlying business, which could lead to higher stock prices as investors respond positively to this trend [5][10]. - The Zacks Rank system maintains a balanced approach, ensuring that only the top 20% of stocks based on earnings estimate revisions receive favorable ratings, positioning UCB as a strong candidate for market-beating returns [9][10].

Market Overview - The U.S. markets started 2025 strong but have faced significant volatility due to tariff pressures and geopolitical uncertainty [1] - Expectations for a September FOMC rate cut have increased amid signs of a cooling labor market and inflationary effects from trade policies [1] Performance of Indices - The S&P 500 has retreated while the Dow Jones Industrial Average has moved higher, indicating volatile performance across indices [2] Investment Opportunities - Dividend-paying stocks are highlighted as a potential source of stability and income during market fluctuations [2] - Companies with resilient business models and a history of profitability can provide steady cash flows through dividends, serving as a defensive anchor for portfolios [2] Bank Stocks to Watch - Chemung Financial Corporation (CHMG), United Community Bank (UCB), and M&T Bank (MTB) have recently announced dividend hikes, enhancing shareholder value [3][9] - These bank stocks have rallied over 10% in the past year [3] Chemung Financial Corporation (CHMG) - As of June 30, 2025, Chemung Financial had $2.9 billion in assets [6] - The company announced a quarterly cash dividend of 34 cents per share, a 6.3% increase from the previous payout, payable on October 1, 2025 [6][9] - Chemung Financial has increased its dividend three times in the past five years, with an annualized growth rate of 3.09% [7] - The dividend yield is 2.52% with a payout ratio of 26% [7] - The Zacks Consensus Estimate for 2025 sales indicates a year-over-year rise of 16.4%, while earnings are expected to increase by 18.9% [11] United Community Bank (UCB) - As of June 30, 2025, UCB had $28.1 billion in assets [12] - The bank announced a quarterly cash dividend of 25 cents per share, a 4.2% increase from the prior payout, payable on October 3, 2025 [13][9] - UCB has increased its dividend seven times in the past five years, with an annualized growth rate of 6.51% [13] - The dividend yield is 3.07% with a payout ratio of 39% [13] - The Zacks Consensus Estimate for 2025 sales reflects a rise of 7.4%, while earnings are expected to grow by 14.8% [17] M&T Bank (MTB) - As of June 30, 2025, M&T Bank had $211.6 billion in assets [17] - The bank announced a quarterly cash dividend of $1.50 per share, an 11% increase from the previous payout, payable on September 30, 2025 [18][9] - M&T Bank has increased its dividend four times in the past five years, with an annualized growth rate of 5.36% [18] - The dividend yield is 2.84% with a payout ratio of 34% [18] - The Zacks Consensus Estimate for 2025 sales suggests a year-over-year growth of 3.6%, while earnings are expected to increase by 11.1% [21]

Core Viewpoint - United Community Banks, Inc. is redeeming all outstanding shares of its 6.875% Series I Non-Cumulative Perpetual Preferred Stock on September 15, 2025, as part of its active capital management strategy [1][2]. Group 1: Redemption Details - The cash redemption price is set at $25,000 per share of Preferred Stock, equivalent to $25 per Depositary Share, with a total aggregate liquidation preference of $88 million to be redeemed using cash on hand [1][2]. - The redemption will occur simultaneously with the payment of a previously declared dividend to holders of record on the redemption date [2]. - A total of 3,661,650 Depositary Shares will be redeemed, each representing a 1/1000th interest in a share of the Preferred Stock, with dividends ceasing to accrue after the redemption date [2][3]. Group 2: Company Overview - United Community Banks, Inc. is a top 100 U.S. financial institution with $28.1 billion in assets as of June 30, 2025, operating 200 offices across several states [4]. - The company offers a full range of banking, mortgage, and wealth management services and has been recognized for customer satisfaction and as one of the best banks to work for [4]. - United has received multiple awards, including five 2025 Greenwich Best Brand awards and consistent recognition from Forbes as one of the World's Best and America's Best Banks [4].

Company Overview - United Community Banks (UCB) is a bank holding company based in Greenville, operating in the Finance sector with a year-to-date share price change of -8.36% [3] Dividend Information - UCB currently pays a dividend of $0.24 per share, resulting in a dividend yield of 3.24%, which is higher than the Banks - Southeast industry's yield of 2.38% and the S&P 500's yield of 1.51% [3] - The annualized dividend of $0.96 represents a 2.1% increase from the previous year, with an average annual increase of 6.51% over the last five years [4] - The current payout ratio for UCB is 39%, indicating that the company pays out 39% of its trailing 12-month earnings per share as dividends [4] Earnings Growth Expectations - For the fiscal year 2025, the Zacks Consensus Estimate predicts earnings of $2.64 per share, reflecting a year-over-year earnings growth rate of 14.78% [5] Investment Appeal - UCB is considered a compelling investment opportunity due to its attractive dividend yield and strong Zacks Rank of 2 (Buy) [6]

Part I - Financial Information [Financial Statements](index=5&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited consolidated financial statements for United Community Banks, Inc. as of June 30, 2025, and for the three and six-month periods then ended, including balance sheets, statements of income, comprehensive income, changes in shareholders' equity, and cash flows, along with detailed notes explaining the basis of presentation and significant accounting policies [Consolidated Balance Sheets](index=5&type=section&id=Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets grew to **$28.09 billion** from **$27.72 billion** at year-end 2024, driven by an increase in net loans and leases, while total liabilities increased to **$24.47 billion**, primarily due to a rise in deposits, and shareholders' equity strengthened to **$3.61 billion** Consolidated Balance Sheet Highlights (Unaudited) | (in thousands) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **$28,085,521** | **$27,720,258** | | Cash and cash equivalents | $574,956 | $519,873 | | Loans and leases, net | $18,704,375 | $17,968,982 | | Total deposits | $23,963,012 | $23,460,975 | | **Total Liabilities** | **$24,472,597** | **$24,288,131** | | **Total Shareholders' Equity** | **$3,612,924** | **$3,432,127** | [Consolidated Statements of Income](index=6&type=section&id=Consolidated%20Statements%20of%20Income) For Q2 2025, net income increased to **$78.7 million** from **$66.6 million** in Q2 2024, with diluted EPS rising to **$0.63** from **$0.54**, driven by higher net interest revenue, while H1 2025 net income was **$150.1 million**, up from **$129.2 million** in the prior year period Q2 2025 vs Q2 2024 Performance (Unaudited) | (in thousands, except per share data) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net interest revenue | $225,531 | $208,700 | | Provision for credit losses | $11,818 | $12,235 | | Total noninterest income | $34,708 | $36,556 | | Total noninterest expense | $147,919 | $147,044 | | **Net income** | **$78,733** | **$66,615** | | **Diluted EPS** | **$0.63** | **$0.54** | H1 2025 vs H1 2024 Performance (Unaudited) | (in thousands, except per share data) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net interest revenue | $437,552 | $407,849 | | Provision for credit losses | $27,237 | $25,134 | | Total noninterest income | $70,364 | $76,143 | | Total noninterest expense | $289,018 | $292,046 | | **Net income** | **$150,146** | **$129,246** | | **Diluted EPS** | **$1.21** | **$1.05** | [Consolidated Statements of Comprehensive Income](index=7&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income) Comprehensive income for Q2 2025 was **$88.1 million**, a significant increase from **$68.7 million** in Q2 2024, driven by higher net income and a larger other comprehensive income from net unrealized gains on available-for-sale securities - For the six months ended June 30, 2025, comprehensive income was **$185.9 million**, compared to **$133.9 million** for the same period in 2024[14](index=14&type=chunk) - Other comprehensive income for the six months ended June 30, 2025 was **$35.7 million**, mainly due to **$35.5 million** in net unrealized gains on available-for-sale securities[14](index=14&type=chunk) [Consolidated Statement of Changes in Shareholders' Equity](index=8&type=section&id=Consolidated%20Statement%20of%20Changes%20in%20Shareholders'%20Equity) Shareholders' equity increased from **$3.43 billion** at year-end 2024 to **$3.61 billion** by June 30, 2025, primarily due to net income, other comprehensive income, and stock issued for an acquisition, partially offset by dividends and repurchases - Key drivers of the **$180.8 million** increase in shareholders' equity during the first six months of 2025 were net income, other comprehensive income, and stock issued for an acquisition[16](index=16&type=chunk) - The company repurchased **$13.9 million** of common stock and paid **$58.5 million** in common stock dividends (**$0.48 per share**) during the first half of 2025[16](index=16&type=chunk) [Consolidated Statements of Cash Flows](index=9&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended June 30, 2025, cash and cash equivalents increased by **$55.1 million**, with net cash provided by operating activities at **$195.5 million** and investing activities at **$103.1 million**, while financing activities used **$243.5 million** Six Months Ended June 30 Cash Flow Summary (Unaudited) | (in thousands) | 2025 | 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $195,468 | $193,901 | | Net cash provided by (used in) investing activities | $103,137 | $(247,269) | | Net cash used in financing activities | $(243,522) | $(387,644) | | **Net change in cash and cash equivalents** | **$55,083** | **$(441,012)** | [Notes to Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) The notes provide detailed explanations of the company's accounting policies and financial results, including the ANB acquisition, investment securities, loan portfolios, credit quality, and regulatory capital information [Note 3 – Acquisitions](index=12&type=section&id=Note%203%20%E2%80%93%20Acquisitions) On May 1, 2025, United acquired ANB Holdings, Inc. in a stock transaction, adding one banking location in Florida, with acquired assets of **$428.5 million** and assumed liabilities of **$380.8 million**, resulting in **$18.0 million** of goodwill - United acquired ANB on May 1, 2025, issuing **2,380,952 shares** of common stock as consideration, valued at **$65.7 million**[26](index=26&type=chunk)[27](index=27&type=chunk) ANB Acquisition Summary (in thousands) | Item | Fair Value Recorded | | :--- | :--- | | Total assets acquired | $428,475 | | Total liabilities assumed | $380,766 | | Total identifiable net assets | $47,709 | | **Goodwill** | **$18,029** | [Note 4 – Investment Securities](index=13&type=section&id=Note%204%20%E2%80%93%20Investment%20Securities) As of June 30, 2025, the investment securities portfolio comprised **$4.08 billion** in AFS and **$2.31 billion** in HTM securities, with HTM having gross unrealized losses of **$371.0 million** and AFS having net unrealized losses of **$168.3 million**, primarily due to interest rate changes Investment Securities Portfolio (June 30, 2025, in thousands) | Category | Amortized Cost | Fair Value | | :--- | :--- | :--- | | Available-for-Sale (AFS) | $4,243,667 | $4,075,323 | | Held-to-Maturity (HTM) | $2,306,730 | $1,935,748 | - At June 30, 2025, there were **519 AFS** and **300 HTM** debt securities in an unrealized loss position, with the company not intending or being required to sell them before recovery of their cost basis[42](index=42&type=chunk) [Note 5 – Loans and Leases and Allowance for Credit Losses](index=17&type=section&id=Note%205%20%E2%80%93%20Loans%20and%20Leases%20and%20Allowance%20for%20Credit%20Losses) Total loans and leases held for investment grew to **$18.92 billion** at June 30, 2025, from **$18.18 billion** at year-end 2024, with the ACL on loans increasing to **$216.5 million**, representing **1.14%** of total loans, and nonaccrual loans decreasing significantly to **$80.5 million** Loan Portfolio Composition (in thousands) | Loan Type | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Total commercial | $14,156,507 | $13,505,724 | | Residential mortgage | $3,210,430 | $3,231,479 | | Home equity | $1,180,455 | $1,064,874 | | **Total loans** | **$18,920,875** | **$18,175,980** | - Nonaccrual loans decreased to **$80.5 million** (**0.43%** of total loans) at June 30, 2025, from **$113.6 million** (**0.62%** of total loans) at December 31, 2024[61](index=61&type=chunk)[62](index=62&type=chunk) Allowance for Credit Losses (ACL) - Loans (in thousands) | Period | Beginning Balance | Provision | Net Charge-offs | Ending Balance | | :--- | :--- | :--- | :--- | :--- | | **Six Months 2025** | **$206,998** | **$26,083** | **$(17,832)** | **$216,500** | | Six Months 2024 | $208,071 | $29,473 | $(24,522) | $213,022 | [Note 11 – Regulatory Matters](index=34&type=section&id=Note%2011%20%E2%80%93%20Regulatory%20Matters) As of June 30, 2025, United Community Banks, Inc. and its subsidiary bank were categorized as well-capitalized, with consolidated CET1, Tier 1, and Total capital ratios of **13.34%**, **13.77%**, and **15.14%** respectively, all comfortably above regulatory thresholds United Community Banks, Inc. Capital Ratios (Consolidated) | Ratio | June 30, 2025 | Well-Capitalized Minimum | | :--- | :--- | :--- | | CET1 capital | 13.34% | 6.5% | | Tier 1 capital | 13.77% | 8.0% | | Total capital | 15.14% | 10.0% | | Leverage ratio | 10.37% | 5.0% | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=36&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's Q2 and H1 2025 financial performance, highlighting the successful ANB acquisition, strong net interest revenue growth driven by lower deposit costs, improved asset quality, and a solid financial position regarding balance sheet composition, liquidity, and capital resources [Overview and Results of Operations](index=36&type=section&id=Overview%20and%20Results%20of%20Operations) The company reported strong Q2 2025 results with net income of **$78.7 million** (**$0.63** diluted EPS), up from **$66.6 million** (**$0.54** diluted EPS) in Q2 2024, driven by a **$17.3 million** increase in quarterly net interest revenue and the ANB acquisition - Completed the acquisition of ANB on May 1, 2025, acquiring **$447 million** in assets and assuming **$381 million** in liabilities[146](index=146&type=chunk) - Net interest margin for Q2 2025 increased to **3.50%** from **3.37%** in Q2 2024, primarily due to a larger decrease in interest rates paid on deposits compared to the decrease in rates earned on loans[150](index=150&type=chunk) - Noninterest income decreased by **$1.85 million** in Q2 2025 compared to Q2 2024, mainly due to negative fair value adjustments on the mortgage servicing asset and lower wealth management fees following the sale of FinTrust in late 2024[152](index=152&type=chunk) [Balance Sheet Review](index=45&type=section&id=Balance%20Sheet%20Review) Total assets grew to **$28.1 billion** at June 30, 2025, supported by loan growth and the ANB acquisition, with the loan portfolio reaching **$18.9 billion**, asset quality improving significantly with NPAs decreasing by **$31.7 million**, and deposits growing by **$502 million** to **$24.0 billion** - The Allowance for Credit Losses (ACL) for loans increased to **$217 million** at June 30, 2025, from **$207 million** at year-end, primarily due to loan growth and an initial allowance for ANB loans[186](index=186&type=chunk) - Nonperforming assets (NPAs) decreased to **$84.0 million** at June 30, 2025, from **$115.6 million** at December 31, 2024, driven by **$49.6 million** in payoffs and paydowns of nonaccrual loans[191](index=191&type=chunk)[195](index=195&type=chunk) - Customer deposits increased by **$514 million** since December 31, 2024, which includes **$374 million** from the ANB acquisition[199](index=199&type=chunk) [Liquidity and Capital Resources](index=50&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintained a strong liquidity and capital position at June 30, 2025, with substantial available liquid funds and unused borrowing capacity, including over **$1.9 billion** in FHLB availability and **$2.4 billion** at the Federal Reserve Discount Window, while shareholders' equity increased to **$3.61 billion**, and all capital ratios remained well above regulatory minimums - The company's interest rate sensitivity modeling shows it is slightly more asset sensitive at June 30, 2025, compared to year-end 2024, with a **100 basis point** rate increase projected to boost net interest revenue by **1.97%**[206](index=206&type=chunk) Unused Borrowing Capacity (in thousands) | Source | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | FHLB | $1,921,234 | $1,917,905 | | Federal Reserve - Discount Window | $2,395,442 | $2,267,139 | - Shareholders' equity increased to **$3.61 billion**, driven by earnings and the ANB acquisition, while capital levels remained well-capitalized[210](index=210&type=chunk)[211](index=211&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=51&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company reported no material changes in its market risk profile as of June 30, 2025, from what was disclosed in its 2024 Form 10-K, with interest rate sensitivity detailed in the MD&A section - No material changes in market risk were reported since the 2024 10-K filing[216](index=216&type=chunk) [Controls and Procedures](index=51&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that the company's disclosure controls and procedures were effective as of June 30, 2025, with no material changes to internal control over financial reporting occurring during the quarter - The principal executive officer and chief financial officer concluded that disclosure controls and procedures were effective as of June 30, 2025[217](index=217&type=chunk) - There were no changes in internal control over financial reporting during the quarter that materially affected, or are reasonably likely to materially affect, internal controls[218](index=218&type=chunk) Part II - Other Information [Unregistered Sales of Equity Securities and Use of Proceeds](index=52&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds.) During Q2 2025, the company repurchased **506,600 shares** of common stock at an average price of **$27.52 per share**, with approximately **$86.1 million** remaining available for future repurchases under the program as of June 30, 2025 Q2 2025 Common Stock Repurchases | Month | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | April 2025 | 343,338 | $27.31 | | May 2025 | 163,262 | $27.96 | | June 2025 | — | — | | **Total** | **506,600** | **$27.52** | [Other Information](index=52&type=section&id=Item%205.%20Other%20Information.) On June 10, 2025, President and CEO Lynn Harton entered into a Rule 10b5-1 trading plan for the sale of **25,000 shares** of company common stock, scheduled to begin on February 15, 2026, with no other directors or officers adopting, modifying, or terminating such arrangements during the quarter - CEO Lynn Harton established a Rule 10b5-1 trading plan on June 10, 2025, for the future sale of **25,000 shares**[222](index=222&type=chunk) [Exhibits](index=53&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including corporate governance documents, CEO/CFO certifications, and interactive data files formatted in Inline XBRL - The exhibits include certifications by the CEO and CFO pursuant to Exchange Act rules and Section 1350, as well as Inline XBRL data files[227](index=227&type=chunk)