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]

Financial Data and Key Metrics Changes - The company reported GAAP earnings per share of $0.41 and core earnings per share of $0.32, representing an increase of 12878% year over year [5] - GAAP net interest margin expanded by three basis points quarter over quarter to 2.54%, while core net interest margin also increased by three basis points to 2.52% [6] - Average total deposits increased by 6% year over year and 1% quarter over quarter to $7.6 billion [6] - Pre-provision pre-tax net revenue reached $23.1 million, the highest level since 2022 [6] - Tangible common equity grew by 25 basis points to 8.04% [8] Business Line Data and Key Metrics Changes - Core net interest income increased by $10.5 million year over year, driven by loan yields increasing by seven basis points [10] - Non-interest bearing deposits grew by 6% year over year and 2% quarter over quarter [12] - New checking account openings increased by 21% year over year and 8% quarter over quarter, indicating strong customer acquisition [12] Market Data and Key Metrics Changes - The bank's commercial real estate concentration decreased to under 500% for the first time since Q3 2023 [7] - Non-performing loans in the multifamily portfolio halved to 50 basis points, down from 101 basis points in the previous quarter [19] - Criticized and classified loans in the multifamily segment improved to 73 basis points from 116 basis points [19] Company Strategy and Development Direction - The company focuses on improving profitability, maintaining credit discipline, and preserving strong liquidity and capital [8] - The asset repricing strategy is expected to drive net interest margin expansion, with real estate loans projected to reprice approximately 160 basis points higher through 2027 [9] - The company is committed to serving the Asian American communities, with deposits in this market growing to $1.4 billion, reflecting a 12.4% compound annual growth rate since Q2 2022 [26] Management's Comments on Operating Environment and Future Outlook - Management expects total assets to remain stable, with loan growth being market-dependent [27] - The company anticipates some seasonal deposit outflows in Q3 but expects recovery in Q4 [27] - The effective tax rate is expected to be lowered to a range of 24.5% to 26.5% for the remainder of 2025 [28] Other Important Information - The company maintains a strong liquidity position with approximately $4 billion of undrawn lines and resources at quarter end [25] - The reliance on wholesale funding is limited, with uninsured and uncollateralized deposits representing only 17% of total deposits [25] Q&A Session Summary Question: What caused the $400 million decline in deposits? - Management indicated that the decline was mostly seasonal, related to government deposits moving out, and expected a recovery later in the year [34][35] Question: What would happen to margins if the Fed cuts rates? - A return to a more normal yield curve would be positive for the company, potentially leading to a couple of basis points improvement in margins [38][39] Question: Will there be buybacks in the second half of the year? - Management stated that they are focused on building capital stronger before considering buybacks, prioritizing profitable growth and dividends [44] Question: What drove the decrease in expense outlook? - The decrease was attributed to managing expenses tightly and some accruals related to incentive compensation [50] Question: What is the outlook for non-CD deposit repricing? - Management noted limited opportunities to reduce funding costs until the Fed makes a move, with most support for net interest margin expected from asset-side loan repricing [56]

Financial Performance - GAAP NIM increased 3 bps QoQ to 2.54%[6] - Core NIM expands 3 bps QoQ to 2.52%[6] - Average total deposits increased 5.7% YoY and 0.6% QoQ to $7.6 billion[6] - Core NII FTE increased by $10.5 million YoY[11] - PPNR of $23.1 million in 2Q25 at highest level since 3Q22[6] Asset Quality - Net charge-offs totaled 15 bps for 2Q25, less than 1 bp of net recoveries in 2Q24, and 27 bps in 1Q25[6] - NPAs to assets of 75 bps at 2Q25 compared to 61 bps at 2Q24 and 71 bps at 1Q25[6] - Criticized and Classified loan to total loans of 108 bps, down from 113 in 2Q24 and 133 in 1Q25[6] Capital and Liquidity - Tangible common equity ratio of 8.04%, up 25 bps QoQ[6] - Liquidity remains strong with $3.6 billion of undrawn lines and resources at quarter end[6] - Asian Communities – Total Loans $740.6 million and Deposits $1.36 billion[39] Loan Portfolio - Multifamily portfolio size is $2.5 billion with NPLs/Loans at 50 bps[29] - Investor CRE portfolio size is $2.0 billion with NPLs/Loans at 33 bps[33]

Core Viewpoint - M&T Bank Corporation (MTB) is expected to report year-over-year increases in quarterly revenues and earnings for Q2 2025, despite challenges such as a fall in loan balance and rising expenses in the previous quarter [1][10]. Group 1: Financial Performance Expectations - The consensus estimate for MTB's Q2 2025 earnings is $4.03 per share, reflecting a 6.3% increase from the previous year [13]. - The consensus estimate for revenues is $2.39 billion, indicating a 3.6% rise from the prior-year reported level [13]. - MTB's management anticipates a modest rise in average loans for Q2 2025, contributing to the growth of average interest-earning assets, which is estimated at $191.8 billion, a 1.4% increase from the prior quarter [4]. Group 2: Net Interest Income (NII) and Fee Income - The Zacks Consensus Estimate for NII (on a tax-equivalent basis) is projected at $1.75 billion, representing a 3.1% increase from the previous quarter [5]. - Management expects higher average total deposits in Q2 2025, which is likely to enhance revenues from service charges on deposit accounts, with a consensus estimate of $135.9 million, a 2.2% rise from the prior quarter [6]. - Mortgage banking fees are expected to improve, with the consensus estimate pegged at $128 million, indicating an 8.5% rise from the previous quarter [8]. Group 3: Expense Management - MTB's management projects a sequential decline in total expenses for Q2 2025, primarily due to lower seasonal compensation costs, with total expenses estimated at $1.37 billion, reflecting a 3.4% decrease [11]. - Despite pressures on NII and concerns regarding expenses, the company is expected to post higher earnings and revenues, supported by mortgage and deposit fees [10]. Group 4: Earnings Surprise Potential - The company has surpassed consensus estimates in three of the last four quarters, with an average negative earnings surprise of 6.67% [2]. - The Earnings ESP for MTB is +0.12%, indicating a favorable outlook for beating estimates this time [12].

Core Insights - Invesco Commercial Real Estate Finance Trust, Inc. (INCREF) has provided $354.6 million in financing to Bridge Logistics Properties (BLP) for refinancing an industrial assets portfolio [1][3] - The portfolio consists of 24 properties totaling 2,454,761 square feet located in key states including California, Washington, Texas, New Jersey, New York, and Florida [2] - This financing aligns with INCREF's strategy of originating high-quality, income-generating loans secured by institutional quality assets in liquid markets across the US and Europe [3] Company Overview - INCREF is a perpetual life real estate investment trust focused on private credit secured by real estate, managed by Invesco Advisers, Inc. [4] - Invesco Real Estate, a global leader in real estate investment management, manages $85 billion in real estate assets and has a workforce of 605 employees across 21 regional offices [5] - Bridge Logistics Properties is a vertically integrated logistics real estate investment manager founded in 2021, led by experienced professionals from notable firms [7][8] Financial Strategy - The loan provided to BLP is characterized as a sub-70% loan-to-value loan secured by a diversified portfolio of well-leased, cash-flowing industrial properties [3] - With this financing, INCREF's portfolio now totals 61 loans representing over $3.6 billion in loan commitments across the US and Europe [3] Market Position - BLP focuses on value-driven investment strategies and collaborates closely with institutional capital partners, targeting coastal and gateway markets in the US [8] - Bridge Investment Group, the parent company of BLP, manages approximately $49 billion in assets and operates across various specialized asset classes [10]

Financial Data and Key Metrics Changes - For Q1 2025, the company generated distributable earnings of $0.31 per basic weighted average share, aligning with preannounced expectations [5][6] - Book value per share as of 03/31/2025 was $13.77, within the expected range of $13.6 to $13.9 [5][6] - Net interest income for the quarter was $4.6 million, with GAAP net income at $3.1 million or $0.27 per share [14][16] Business Line Data and Key Metrics Changes - The TCG real estate platform originated $213 million in loans during the quarter, with SUNS committing $148 million and funding $110 million [10][11] - As of 03/31/2025, SUNS had $352 million in commitments and $233 million funded across 12 loans [15][16] - The weighted average portfolio yield to maturity was reported at 12.1% [16] Market Data and Key Metrics Changes - The company noted a pullback from banks in the commercial real estate lending market, creating opportunities for alternative lenders like SUNS [9][10] - The current portfolio is well-positioned with 88% of outstanding principal at floating rates, benefiting from a weighted average floor of 4.1% [11][12] Company Strategy and Development Direction - The company aims to focus on high-quality assets in growing markets, particularly in the Southern United States [9][10] - There is an emphasis on well-located residential and mixed-use assets backed by experienced sponsors [12] - The management team is optimistic about earnings growth in the second half of 2025 and into 2026 due to the acceleration of construction loan funding [6][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the existing portfolio's resilience despite market volatility and tariff policy uncertainties [9][10] - The company is monitoring potential impacts on construction projects but does not anticipate material effects at this time [10][39] - Management indicated that they have sufficient capital to execute their business plan and are planning an unsecured raise in Q4 2025 [43][44] Other Important Information - The Board declared a dividend of $0.30 per share for Q1 2025, with expectations for a similar dividend in Q2 [14][56] - The company has waived approximately $570,000 of base management fees and $300,000 of incentive fees for the quarter [25][29] Q&A Session Summary Question: Changes in loan pipeline - The loan pipeline has decreased from $1.4 billion to $800 million due to evolving market conditions and the withdrawal of some lenders, but the overall opportunity set remains strong [18][20] Question: Dallas loan rate concerns - The Dallas loan aligns with portfolio construction strategies, and while it has a lower rate, it is expected to provide good risk-adjusted returns [21][23] Question: Future management fee waivers - The company has waived a total of $800,000 in fees so far and plans to fulfill the commitment of waiving $1 million by the end of the year [29][30] Question: Florida residential market outlook - The company is cautious about the Florida market but has not seen significant weakness yet; they are extending absorption schedules for new deals [38][39] Question: Capital availability and funding plans - The company has sufficient capital to execute its business plan and plans to expand its bank line to $200 million [43][44] Question: Allocation of signed term sheets - Allocation decisions for the signed term sheets depend on capital availability and conditions precedent for closing deals [48][49] Question: Dividend expectations for the rest of the year - The company expects Q2 dividends to be in line with distributable earnings, with guidance for future dividends remaining consistent [54][56]