Univest Financial Corporation (NASDAQ:UVSP) Q1 2025 Earnings Conference Call April 24, 2025 9:00 AM ET Company Participants Jeff Schweitzer - Chairman, President & Chief Executive Officer Brian Richardson - Chief Financial Officer Conference Call Participants Frank Schiraldi - Piper Sandler Operator Good morning all, and thank you for joining us for the Univest Financial Corporation First Quarter 2025 Earnings Call. My name is Carly, and I'll be coordinating the call today. [Operator Instructions] I'd like ...

Exhibit 99.1 NEWS CONTACT: Brian J. Richardson UNIVEST FINANCIAL CORPORATION Chief Financial Officer 215-721-2446, richardsonb@univest.net FOR IMMEDIATE RELEASE UNIVEST FINANCIAL CORPORATION REPORTS FIRST QUARTER RESULTS (Announces 4.8% increase in dividend) SOUDERTON, Pa., April 23, 2025 - Univest Financial Corporation ("Univest" or the "Corporation") (NASDAQ: UVSP), parent company of Univest Bank and Trust Co. (the "Bank") and its insurance, investments and equipment financing subsidiaries, announced net ...

(Announces 4.8% increase in dividend)SOUDERTON, Pa., April 23, 2025 (GLOBE NEWSWIRE) -- Univest Financial Corporation (“Univest” or the "Corporation") (NASDAQ: UVSP), parent company of Univest Bank and Trust Co. (the "Bank") and its insurance, investments and equipment financing subsidiaries, announced net income for the quarter ended March 31, 2025 of $22.4 million, or $0.77 diluted earnings per share, compared to net income of $20.3 million, or $0.69 diluted earnings per share, for the quarter ended March ...

SOUDERTON, Pa., April 07, 2025 (GLOBE NEWSWIRE) -- Univest Financial Corporation (NASDAQ:UVSP), parent company of Univest Bank and Trust Co. and its insurance, investment and equipment finance subsidiaries, announced it will host a conference call to discuss its first quarter 2025 earnings on Thursday, April 24, 2025 at 9:00 a.m. Earnings are scheduled to be released after the close of the market on Wednesday, April 23, 2025. Pre-registrationTelephone participants may avoid any delays by pre-registering for ...

Financial Performance - Interest income for 2024 reached $412,355,000, an increase of 11% from $371,730,000 in 2023[188] - Net income for 2024 was $75,931,000, compared to $71,104,000 in 2023, marking a 6.9% increase[188] - The Corporation reported net income of $75.9 million for 2024, an increase of 6.8% from $71.1 million in 2023[190] - Diluted earnings per share for 2024 were $2.58, up from $2.41 in 2023, reflecting a 7.1% increase[190] - Basic net income per share for 2024 was $2.60, up from $2.42 in 2023, reflecting a growth of 7.4%[302] - Comprehensive income for 2024 was $82,585 thousand, compared to $82,562 thousand in 2023, showing stability in overall financial performance[304] Income and Expenses - Noninterest income increased to $88,055,000, up from $76,824,000 in 2023, reflecting a growth of 14.4%[188] - Total noninterest income rose to $88,055 thousand in 2024, a 14.6% increase compared to $76,824 thousand in 2023[302] - Net interest income after provision for credit losses was $205,237,000, slightly down from $209,227,000 in 2023[188] - Total noninterest expense for 2024 was $197,992 thousand, a slight increase from $197,362 thousand in 2023[302] - Interest expense rose by $49.5 million in 2024, primarily due to increased costs of interest-bearing deposits[194] - The company reported a total interest expense of $201,185 thousand in 2024, which is a 32.5% increase from $151,733 thousand in 2023[302] Credit Quality - The allowance for credit losses to total loans and leases held for investment was 1.28% at year-end 2024, down from 1.30% in 2023[188] - The provision for credit losses for the year ended December 31, 2024 was $5.9 million, down from $10.8 million in 2023[203] - Net loan and lease charge-offs for the year ended December 31, 2024 were $3.8 million, down from $5.4 million in 2023[203] - Nonaccrual loans and leases decreased to $12.7 million in 2024 from $20.5 million in 2023, indicating improved asset quality[233] - The allowance for credit losses on loans and leases was $87.1 million, representing 1.28% of loans and leases held for investment[237] - The allowance for credit losses on loans and leases increased to $87.1 million in 2024, up from $85.4 million in 2023, representing a 2.0% increase[242] Assets and Liabilities - Total assets increased by $347.8 million, or 4.5%, from December 31, 2023, reaching $8,128.4 million[221] - The Corporation's total liabilities rose to $7.24 billion in 2024, a 4.3% increase from $6.94 billion in 2023[246] - Total deposits rose by $383.5 million, or 6.0%, to $6.76 billion as of December 31, 2024, driven by increases in consumer, commercial, brokered, and public funds deposits[247] - Cash and cash equivalents increased by $79.0 million, or 31.6%, primarily due to increased interest-earning deposits at the Federal Reserve Bank[222] - The Corporation's long-term debt decreased by $85.0 million, or 27.4%, to $225.0 million in 2024, reflecting pay-downs during the year[246] Capital and Equity - Total shareholders' equity increased by $48.1 million, or 5.7%, to $887.3 million as of December 31, 2024, mainly due to a rise in retained earnings[252] - The Corporation's Tier 1 risk-based capital ratio improved to 10.85% in 2024 from 10.58% in 2023, indicating a stronger capital position[258] - Shareholders' equity grew to $887,301 thousand in 2024, compared to $839,208 thousand in 2023, marking an increase of about 5.7%[300] Economic Outlook - The economic forecast indicates a GDP growth rate of 1.12% for 2024, up from 0.76% in 2023[183] - The Corporation's cumulative gap as a percentage of interest-earning assets is -20.7% within three months and 25.0% over five years, indicating a greater amount of liabilities that can reprice over assets in the next twelve months[264] Operational Efficiency - The efficiency ratio improved to 65.7% in 2024 from 66.0% in 2023, indicating better cost management[188] - The return on average assets was 0.96% for 2024, slightly up from 0.94% in 2023[188] - Return on average equity for 2024 was 8.85%, a marginal increase from 8.83% in 2023[190] Strategic Initiatives - The Corporation's strategy for credit risk management includes well-defined credit policies and regular monitoring of loan performance[231] - The Corporation's liquidity management includes a contingency funding plan to address potential liquidity needs during financial crises[277] - The Corporation's loan portfolio is managed with strict underwriting standards, focusing on the borrower's capacity and willingness to repay[269]

Financial Data and Key Metrics - Net income for Q4 2024 was $18.9 million, or $0.65 per share [4] - Loans grew by $95.8 million during the quarter, representing a 5.6% annualized growth rate [4] - Consumer and commercial deposits increased by $104 million during the quarter [4] Business Line Data and Key Metrics - No specific data provided for individual business lines in the provided content Market Data and Key Metrics - No specific data provided for individual markets in the provided content Company Strategy and Industry Competition - No specific information provided regarding company strategy or industry competition in the provided content Management Commentary on Operating Environment and Future Outlook - No specific commentary provided by management on the operating environment or future outlook in the provided content Other Important Information - Management reminded listeners of the forward-looking statements disclaimer, noting that actual results may differ materially from those contemplated by such statements [3] Q&A Session Summary - No Q&A session content provided in the provided documents

Net Income and Earnings - Net income for Q4 2024 was $18.9 million, or $0.65 diluted earnings per share, an 18.2% increase compared to Q4 2023[1] - Net income for the twelve months ended 12/31/2024 was $75,931 thousand, up from $71,104 thousand in 2023[28] - Net income for the three months ended 12/31/2024 was $18,941 thousand, compared to $16,254 thousand for the same period in 2023, representing a 16.5% increase[47] - Basic net income per share for the twelve months ended 12/31/2024 was $2.60, up from $2.42 in 2023[28] - Net income before amortization of intangibles for the twelve months ended 12/31/2024 was $76,479 thousand, a 6.5% increase from $71,845 thousand for the same period in 2023[47] Loans and Leases - Gross loans and leases increased by $95.8 million (1.4%) from September 30, 2024, and $259.4 million (3.9%) from December 31, 2023[2] - Net loans and leases held for investment grew to $6,739,492 thousand, up from $6,481,827 thousand in December 2023[24] - Loans and leases, gross averaged $6,758,649 thousand for the three months ended December 31, 2024, compared to $6,594,233 thousand in the same period last year[24] - Total loans and leases held for investment increased to $6,826,583 thousand as of 12/31/2024, up from $6,567,214 thousand on 12/31/2023[26] - Commercial, financial, and agricultural loans remained stable at $972.84 million in Q4 2024, with a slight increase in yield to 7.15% from 7.13% in Q4 2023[36] - Real estate—commercial and construction loans increased to $3.63 billion in Q4 2024, up from $3.59 billion in Q4 2023, with a yield increase to 5.82% from 5.60%[36] - Commercial, financial, and agricultural loans generated $69,921 thousand in income with a yield of 7.19% in 2024, up from $67,487 thousand and 6.81% in 2023[40] - Real estate—commercial and construction loans increased to $3,587,147 thousand in 2024, generating $207,053 thousand in income with a yield of 5.77%, up from $3,483,576 thousand and $188,644 thousand in 2023[40] - CRE - Retail loans accounted for 8.6% of the commercial loan portfolio, totaling $463,882 thousand as of December 31, 2024[44] - Animal production loans represented 7.3% of the commercial loan portfolio, with a balance of $393,902 thousand as of December 31, 2024[44] - Total consumer loans and lease financings amounted to $1,447,719 thousand, including $994,972 thousand in real estate-residential secured loans for personal purposes as of December 31, 2024[44] - Industries with over $50 million in outstanding loans represented 84.3% of the commercial loan portfolio, totaling $4,532,454 thousand as of December 31, 2024[44] Deposits - Total deposits decreased by $94.9 million (1.4%) from September 30, 2024, but increased by $383.5 million (6.0%) from December 31, 2023[3] - Noninterest-bearing deposits totaled $1.4 billion, representing 20.9% of total deposits at December 31, 2024[3] - Total deposits reached $6,759,259 thousand, a rise from $6,375,781 thousand in the prior year[24] - Noninterest-bearing deposits increased to $1,414,635 thousand, up from $1,468,320 thousand in December 2023[24] - Total interest-bearing deposits grew to $5,146,751 thousand in 2024, with an average rate of 3.51%, up from $4,448,772 thousand and 2.83% in 2023[40] Net Interest Income and Margin - Net interest income for Q4 2024 was $55.5 million, a 5.1% increase from Q4 2023 and a 4.3% increase from Q3 2024[6] - Net interest margin was 2.88% for Q4 2024, compared to 2.82% for Q3 2024 and 2.84% for Q4 2023[7] - Net interest income for the twelve months ended 12/31/2024 was $211,170 thousand, compared to $219,997 thousand for the same period in 2023[28] - Net interest margin (FTE) for the three months ended December 31, 2024, was 2.88%, up from 2.82% in the previous quarter[30] - Net interest income increased to $55.79 million in Q4 2024, up from $53.02 million in Q4 2023, reflecting a growth of 5.2%[36] - Net interest margin improved to 2.88% in Q4 2024, up from 2.84% in Q4 2023, driven by higher interest-earning asset yields[36] - Net interest income decreased to $212,343 thousand in 2024 from $221,196 thousand in 2023, with a net interest margin of 2.86% compared to 3.12% in 2023[40] Noninterest Income and Expenses - Noninterest income for Q4 2024 was $21.3 million, a 14.6% increase from the same period in 2023[8] - Noninterest income for the twelve months ended 12/31/2024 was $88,055 thousand, compared to $76,824 thousand in 2023[28] - Net deferred costs amortization for Q4 2024 was $676 thousand, compared to $428 thousand in Q4 2023, indicating higher amortization expenses[38] - Net deferred costs amortization for the twelve months ended December 31, 2024, was $2.7 million, compared to $2.1 million in 2023[42] - Restructuring charges for the twelve months ended 12/31/2024 were $1,519 thousand, compared to $189 thousand for the same period in 2023[47] Asset Quality and Credit Losses - Nonperforming assets totaled $33.2 million at December 31, 2024, down from $36.6 million at September 30, 2024, and $40.1 million at December 31, 2023[14] - The provision for credit losses was $2.4 million for Q4 2024, compared to $1.4 million for Q3 2024 and $1.9 million for Q4 2023[16] - Nonperforming loans and leases decreased to $12,988 thousand as of 12/31/2024, down from $21,061 thousand on 12/31/2023[26] - Allowance for credit losses as a percentage of loans and leases held for investment remained stable at 1.28% as of 12/31/2024[26] - Net loan and lease charge-offs for the twelve months ended 12/31/2024 were $3,802 thousand, down from $5,397 thousand in 2023[26] - Total nonperforming assets decreased to $33,205 thousand as of 12/31/2024, down from $40,093 thousand on 12/31/2023[26] Dividends and Shareholder Equity - Univest declared a quarterly cash dividend of $0.21 per share, payable on February 19, 2025[17] - Shareholders' equity increased to $887,301 thousand, compared to $839,208 thousand in December 2023[24] - Dividends declared per share remained consistent at $0.84 for both 2024 and 2023[28] - Common equity book value per share as of December 31, 2024, was $30.55, up from $28.44 in the same period in 2023[30] - Tangible common equity as of 12/31/2024 was $709,528 thousand, up 7.3% from $661,293 thousand as of 12/31/2023[47] - Average tangible common equity for the twelve months ended 12/31/2024 was $680,316 thousand, an 8.4% increase from $627,355 thousand for the same period in 2023[47] - Shareholders' equity as of 12/31/2024 was $887,301 thousand, a 5.7% increase from $839,208 thousand as of 12/31/2023[47] Total Assets and Liabilities - Total assets increased to $8,128,417 thousand as of December 31, 2024, compared to $7,780,628 thousand in the previous year[24] - Cash and cash equivalents stood at $328,844 thousand, up from $249,799 thousand in the previous year[24] - Investment securities available for sale, net of allowance for credit losses, totaled $357,361 thousand, slightly higher than $351,553 thousand in December 2023[24] - Long-term debt decreased to $225,000 thousand, down from $310,000 thousand in the previous year[24] - Total assets as of 12/31/2024 were $8,128,417 thousand, a 4.5% increase from $7,780,628 thousand as of 12/31/2023[47] - Tangible assets as of 12/31/2024 were $7,950,644 thousand, a 4.6% increase from $7,602,713 thousand as of 12/31/2023[47] - Total assets increased to $8.16 billion in Q4 2024, up from $7.87 billion in Q4 2023, reflecting overall growth in the company's financial position[36] Interest-Earning Assets and Liabilities - Total interest-earning assets for the three months ended December 31, 2024, were $7,701,557 thousand, generating $107,794 thousand in income at a rate of 5.57%[32] - Total interest-bearing liabilities for the three months ended December 31, 2024, were $5,816,110 thousand, with an expense of $52,004 thousand at a rate of 3.56%[32] - Total interest-earning assets grew to $7.70 billion in Q4 2024, compared to $7.41 billion in Q4 2023, an increase of 3.9%[36] - Total interest-bearing liabilities rose to $5.82 billion in Q4 2024, compared to $5.49 billion in Q4 2023, with a cost of funds increase to 3.56% from 3.50%[36] - Total interest-earning assets increased to $7,433,260 thousand in 2024 from $7,096,690 thousand in 2023, with a yield of 5.56% compared to 5.25% in 2023[40] - The ratio of average interest-earning assets to average interest-bearing liabilities decreased slightly to 132.42% in Q4 2024 from 134.93% in Q4 2023[36] Capital Ratios and Efficiency - Tier 1 leverage ratio as of December 31, 2024, was 9.51%, compared to 9.36% in the same period in 2023[30] - Total risk-based capital ratio as of December 31, 2024, was 14.19%, up from 13.90% in 2023[30] - Efficiency ratio for the twelve months ended December 31, 2024, was 65.7%, compared to 66.0% in 2023[30] - Return on average assets for the twelve months ended December 31, 2024, was 0.96%, compared to 0.94% in the same period in 2023[30] - Return on average shareholders' equity for the twelve months ended December 31, 2024, was 8.85%, slightly higher than 8.83% in 2023[30] Tax and Adjustments - Tax-equivalent adjustments were calculated using a federal applicable rate of 21.0% for both Q4 2024 and Q4 2023[38]

Group 1 - Univest reported quarterly earnings of $0.65 per share, exceeding the Zacks Consensus Estimate of $0.61 per share, and up from $0.55 per share a year ago, representing an earnings surprise of 6.56% [1] - The company achieved revenues of $76.8 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 3.26%, compared to $71.38 million in the same quarter last year [2] - Over the last four quarters, Univest has consistently surpassed consensus EPS estimates four times and topped revenue estimates two times [2] Group 2 - The stock's immediate price movement will depend on management's commentary during the earnings call and the sustainability of earnings expectations [3][4] - Univest shares have increased by approximately 2.2% since the beginning of the year, while the S&P 500 has gained 2.9% [3] - The current consensus EPS estimate for the upcoming quarter is $0.61 on revenues of $75.75 million, and for the current fiscal year, it is $2.32 on revenues of $308.02 million [7] Group 3 - The Zacks Industry Rank indicates that the Banks - Northeast sector is in the top 24% of over 250 Zacks industries, suggesting a favorable outlook for stocks in this category [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5][6] - The estimate revisions trend for Univest is currently favorable, resulting in a Zacks Rank 1 (Strong Buy) for the stock, indicating expected outperformance in the near future [6]

Core Viewpoint - Univest Financial Corporation reported a net income of $18.9 million for Q4 2024, reflecting an 18.2% increase in earnings per share compared to Q4 2023, driven by higher net interest income and noninterest income growth [1]. Financial Performance - Net income for Q4 2024 was $18.9 million, or $0.65 diluted earnings per share, compared to $16.3 million, or $0.55 diluted earnings per share, in Q4 2023 [1]. - Net interest income increased by $2.7 million, or 5.1%, from Q4 2023, totaling $55.5 million for Q4 2024 [5]. - Noninterest income for Q4 2024 was $21.3 million, an increase of $2.7 million, or 14.6%, from the same period last year [7]. Loans and Deposits - Gross loans and leases increased by $95.8 million, or 1.4% (5.6% annualized), from September 30, 2024, and by $259.4 million, or 3.9%, from December 31, 2023 [2]. - Total deposits decreased by $94.9 million, or 1.4% (5.6% annualized), from September 30, 2024, but increased by $383.5 million, or 6.0%, from December 31, 2023 [3]. Asset Quality - Nonperforming assets totaled $33.2 million at December 31, 2024, down from $40.1 million at December 31, 2023 [14]. - The provision for credit losses was $2.4 million for Q4 2024, compared to $1.4 million and $1.9 million for the previous quarters [16]. Shareholder Returns - The company declared a quarterly cash dividend of $0.21 per share, to be paid on February 19, 2025 [17]. - During Q4 2024, the company repurchased 139,492 shares at an average price of $29.64 per share [17]. Company Overview - Univest Financial Corporation has approximately $8.1 billion in assets and $5.2 billion in assets under management as of December 31, 2024 [19].

Core Points - Univest Financial Corporation will host a conference call to discuss its fourth quarter 2024 earnings on January 23, 2025 at 9:00 a.m. [1] - Earnings are scheduled to be released after the market closes on January 22, 2025 [1] Company Overview - Univest Financial Corporation has approximately $8.2 billion in assets and $5.3 billion in assets under management and supervision as of September 30, 2024 [3] - The company provides a full range of financial solutions for individuals, businesses, municipalities, and nonprofit organizations primarily in the Mid-Atlantic Region [3] - Univest operates through a network of more than 50 offices and online services [3]