EX-99.1 2 d830710dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

News Release

 

 

LOGO

 

For Immediate Release    Contact: W. Mark Tatterson
October 24, 2024    Chief Financial Officer
   (800) 445-1347 ext. 8716

United Bankshares, Inc. Announces Earnings

for the Third Quarter and First Nine Months of 2024

WASHINGTON, D.C. and CHARLESTON, WV-- United Bankshares, Inc. (NASDAQ: UBSI) (“United”), today reported earnings for the third quarter of 2024 of $95.3 million, or $0.70 per diluted share. Third quarter of 2024 results produced annualized returns on average assets, average equity, and average tangible equity, a non-GAAP measure, of 1.28%, 7.72%, and 12.59%, respectively.

“We are excited to announce this quarter’s earnings,” stated Richard M. Adams, Jr., United’s Chief Executive Officer. “It was another successful quarter for UBSI, and we continue to perform at a high level. Profitability metrics stayed strong, growth trends continued upward, and expenses were well-controlled. In addition, asset quality, liquidity, and capital levels remain a source of strength.”

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

Earnings for the second quarter of 2024 were $96.5 million, or $0.71 per diluted share, and annualized returns on average assets, average equity, and average tangible equity were 1.32%, 7.99%, and 13.12%, respectively. Earnings for the third quarter of 2023 were $96.2 million, or $0.71 per diluted share, and annualized returns on average assets, average equity, and average tangible equity were 1.31%, 8.14%, and 13.71%, respectively.

 

1


United Bankshares, Inc. Announces…

October 24, 2024

Page Two

 

Third quarter of 2024 compared to the second quarter of 2024

Net interest income for the third quarter of 2024 was $230.3 million, an increase of $4.5 million, or 2%, from the second quarter of 2024. Tax-equivalent net interest income, a non-GAAP measure which adjusts for the tax-favored status of income from certain loans and investments, of $231.1 million for the third quarter of 2024 also increased $4.5 million, or 2%, from the second quarter of 2024. The increase in net interest income and tax-equivalent net interest income was driven by an increase in average short-term investments, a higher yield on average net loans and loans held for sale, and a decrease in average long-term borrowings partially offset by an increase in average interest-bearing deposits as well as a higher average rate paid on deposits. Average short-term investments increased $457.0 million, or 49%, from the second quarter of 2024 primarily driven by cash received from deposit growth. The yield on average net loans and loans held for sale increased 6 basis points to 6.20% for the third quarter of 2024. As previously disclosed, the second quarter of 2024 included a $654 thousand interest recovery from a commercial real estate nonaccrual loan payoff. Average long-term borrowings decreased $541.8 million, or 42%, from the second quarter of 2024. Average interest-bearing deposits increased $659.2 million, or 4%, from the second quarter of 2024. The yield on average interest-bearing deposits increased 10 basis points to 3.28% for the third quarter of 2024. The net interest margin of 3.52% for the third quarter of 2024 was an increase of 2 basis points from the net interest margin of 3.50% for the second quarter of 2024.

The provision for credit losses was $6.9 million for the third quarter of 2024 as compared to $5.8 million for the second quarter of 2024.

Noninterest income for the third quarter of 2024 was $31.9 million, an increase of $1.7 million, or 6%, from the second quarter of 2024. The increase in noninterest income was driven by an increase in income from mortgage banking activities of $643 thousand as well as increases in several additional categories of noninterest income, none of which were significant. The increase in income from mortgage banking activities was primarily due to higher mortgage loan sale volume and a higher quarter-end valuation of mortgage loans held for sale. Additionally, in comparison to the second quarter of 2024, an increase in mortgage loan servicing income was mostly offset by higher net losses on investment securities. Mortgage loan servicing income was $7.4 million for the third quarter of 2024, an increase of $6.6 million from the second quarter of 2024. During the third quarter of 2024, United sold its remaining mortgage servicing rights (“MSRs”) with an aggregate unpaid principal balance of $1.1 billion at a gain of $7.1 million. Net losses on investment securities were $6.7 million for the third quarter of 2024 compared to $218 thousand for the second quarter of 2024. During the third quarter of 2024, United sold $196.7 million of available for sale (“AFS”) investment securities at a loss of $6.9 million. Net losses on investment securities for the second quarter of 2024 included a $6.9 million gain on the VISA share exchange and a $6.8 million loss on the sale of $102.7 million of AFS investment securities.

Noninterest expense for the third quarter of 2024 of $135.3 million was flat from the second quarter of 2024, increasing $565 thousand, or less than 1%. A $1.5 million increase in other noninterest expense from the second quarter of 2024, driven by higher amounts of certain general operating expenses, was mostly offset by smaller decreases in several other categories of noninterest expense. Within other noninterest expense, merger-related expenses for the third quarter of 2024 were $332 thousand compared to $1.3 million for the second quarter of 2024.

 

2


United Bankshares, Inc. Announces…

October 24, 2024

Page Three

 

For the third quarter of 2024, income tax expense was $24.6 million as compared to $18.9 million for the second quarter of 2024. The increase was driven by higher pre-tax earnings and the impact of discrete tax benefits recognized in the second quarter of 2024. United’s effective tax rate was 20.6% and 16.4% for the third quarter of 2024 and second quarter of 2024, respectively.

Third quarter of 2024 compared to the third quarter of 2023

Earnings for the third quarter of 2024 were $95.3 million, or $0.70 per diluted share, as compared to earnings of $96.2 million, or $0.71 per diluted share, for the third quarter of 2023.

Net interest income for the third quarter of 2024 of $230.3 million was flat from the third quarter of 2023, increasing $1.8 million, or less than 1%. Tax-equivalent net interest income for the third quarter of 2024 was also flat from the third quarter of 2023, increasing $1.8 million, or less than 1%. The slight increase in net interest income and tax-equivalent net interest income was primarily due to a higher yield on average net loans and loans held for sale, a decrease in average long-term borrowings, organic loan growth, and an increase in average short-term investments. This increase in net interest income and tax-equivalent net interest income was partially offset by the impact of deposit rate repricing and an increase in average interest-bearing deposits. The yield on average earning assets increased 33 basis points from the third quarter of 2023 to 5.85% driven by an increase in the yield on average net loans and loans held for sale of 28 basis points. Average long-term borrowings decreased $842.2 million, or 53%, from the third quarter of 2023. Average earning assets for the third quarter of 2024 increased $363.7 million, or 1%, from the third quarter of 2023 due to a $610.4 million increase in average net loans and loans held for sale and a $535.2 million increase in average short-term investments partially offset by a $781.9 million decrease in average investment securities. The yield on average interest-bearing deposits increased 58 basis points from the third quarter of 2023. Average interest-bearing deposits increased $1.4 billion, or 9%, from the third quarter of 2023. The net interest margin for the third quarter of 2024 and 2023 was 3.52% and 3.54%, respectively.

The provision for credit losses was $6.9 million for the third quarter of 2024 as compared to $5.9 million for the third quarter of 2023.

Noninterest income for the third quarter of 2024 was $31.9 million, which was a decrease of $1.7 million, or 5%, from the third quarter of 2023. Income from mortgage banking activities decreased $3.0 million from the third quarter of 2023 mainly due to lower mortgage loan origination and sale volume. This decrease in income from mortgage banking activities was partially offset by increases in several categories of noninterest income, none of which were significant. Additionally, in comparison to the third quarter of 2023, an increase in mortgage loan servicing income was mostly offset by higher net losses on investment securities. Mortgage loan servicing income was $7.4 million for the third quarter of 2024, an increase of $6.5 million from the third quarter of 2023 driven by the aforementioned $7.1 million gain on the sale of MSRs in the third quarter of 2024. Net losses on investment securities were $6.7 million for the third quarter of 2024 as compared to $181 thousand for the third quarter of 2023 driven by the aforementioned $6.9 million loss on sale of AFS investment securities in the third quarter of 2024.

 

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United Bankshares, Inc. Announces…

October 24, 2024

Page Four

 

Noninterest expense for the third quarter of 2024 was flat from the third quarter of 2023, increasing $109 thousand, or less than 1%. A $1.3 million increase in other noninterest expense from the third quarter of 2023, driven by higher amounts of certain general operating expenses, was mostly offset by smaller decreases in several other categories of noninterest expense.

Income tax expense for the third quarter of 2024 was flat from the third quarter of 2023, decreasing $130 thousand, or less than 1%, primarily due to slightly lower pre-tax earnings partially offset by a slightly higher effective tax rate. United’s effective tax rate was 20.6% and 20.5% for the third quarter of 2024 and third quarter of 2023, respectively.

First nine months of 2024 compared to the first nine months of 2023

Earnings for the first nine months of 2024 were $278.6 million, or $2.06 per diluted share, and annualized returns on average assets, average equity, and average tangible equity were 1.26%, 7.65%, and 12.57%, respectively. Earnings for the first nine months of 2023 were $286.9 million, or $2.12 per diluted share, and annualized returns on average assets, average equity, and average tangible equity were 1.31%, 8.27%, and 14.03%, respectively.

Net interest income for the first nine months of 2024 decreased $11.8 million, or 2%, from the first nine months of 2023. Tax-equivalent net interest income for the first nine months of 2024 decreased $12.4 million, or 2%, from the first nine months of 2023. The decrease in net interest income and tax-equivalent net interest income was primarily due to higher interest expense driven by deposit rate repricing, an increase in average interest-bearing deposits, and a decrease in acquired loan accretion income. These decreases were partially offset by a higher yield on average net loans and loans held for sale, organic loan growth, and a decrease in average long-term borrowings. The yield on average interest-bearing deposits increased 88 basis points from the first nine months of 2023. Average interest-bearing deposits increased $1.4 billion from the first nine months of 2023. Acquired loan accretion income for the first nine months of 2024 of $7.3 million was a decrease of $1.2 million from the first nine months of 2023. The yield on average earning assets increased 46 basis points from the first nine months of 2023 to 5.78% driven by an increase in the yield on average net loans and loans held for sale of 39 basis points. Average net loans and loans held for sale increased $773.3 million from the first nine months of 2023. Average long-term borrowings decreased $924.2 million from the first nine months of 2023. Additionally, average investment securities decreased $857.4 million, or 19%, from the first nine months of 2023 while the yield on average investment securities increased 36 basis points from the first nine months of 2023. The net interest margin for the first nine months of 2024 and 2023 was 3.49% and 3.56%, respectively.

The provision for credit losses was $18.5 million for the first nine months 2024 as compared to $24.3 million for the first nine months of 2023.

Noninterest income for the first nine months of 2024 was $94.4 million, which was a decrease of $7.2 million, or 7%, from the first nine months of 2023. Income from mortgage banking activities decreased $8.1 million from the first nine months of 2023 mainly due to lower mortgage loan origination and sale volume. Mortgage loan servicing income for the first nine months of 2024 of $9.0 million included a $7.1 million gain on the sale of MSRs while mortgage loan servicing income for the first nine months of 2023 of $13.0 million included $8.3 million in gains on sales of MSRs with the remainder of the decrease due to lower serviced loan balances. Fees from brokerage services increased $2.7 million from the first nine months of 2023 primarily due to higher

 

4


United Bankshares, Inc. Announces…

October 24, 2024

Page Five

 

volume. Net losses on investment securities of $7.0 million for the first nine months of 2024 included $13.7 million in losses on sales of AFS investment securities partially offset by a $6.9 million gain on the VISA share exchange. Net losses on investment securities of $7.9 million for the first nine months of 2023 were driven by a $7.2 million loss on sale of AFS investment securities during the second quarter of 2023.

Noninterest expense for the first nine months of 2024 was $410.9 million, an increase of $2.9 million, or 1%, from the first nine months of 2023 driven by increases in other noninterest expense of $4.3 million, employee compensation of $3.3 million, and FDIC insurance expense of $2.1 million partially offset by decreases in the expense for the reserve for unfunded loan commitments of $4.3 million and mortgage loan servicing expense of $2.2 million. The increase in employee compensation was driven by higher employee incentives, base salaries, and employee severance associated with the previously announced mortgage delivery channel consolidation partially offset by lower employee commissions related to mortgage banking production. The increase in other noninterest expense was primarily driven by a $2.2 million increase in tax credit amortization, $1.6 million in merger-related expenses, and higher amounts of certain general operating expenses. The increase in FDIC insurance expense was driven by $1.8 million of expense recognized in the first quarter of 2024 for the FDIC special assessment. The decrease in the expense for the reserve for unfunded loan commitments was driven by a decrease in the outstanding balance of loan commitments. The decrease in mortgage loan servicing expense was driven by the sales of MSRs.

For the first nine months of 2024, income tax expense was $64.9 million as compared to $72.7 million for the first nine months of 2023 primarily due to lower pre-tax earnings and the impact of discrete tax benefits recognized in the second quarter of 2024. United’s effective tax rate was 18.9% for the first nine months of 2024 and 20.2% for the first nine months of 2023.

Credit Quality

United’s asset quality continues to be sound. At September 30, 2024, non-performing loans (“NPLs”) were $65.2 million, or 0.30% of loans & leases, net of unearned income. Total non-performing assets (“NPAs”) were $65.4 million, including other real estate owned (“OREO”) of $169 thousand, or 0.22% of total assets at September 30, 2024. At June 30, 2024, NPLs were $65.3 million, or 0.30% of loans & leases, net of unearned income. Total NPAs were $67.5 million, including OREO of $2.2 million, or 0.23% of total assets at June 30, 2024. At December 31, 2023, NPLs were $45.5 million, or 0.21% of loans & leases, net of unearned income. Total NPAs were $48.1 million, including OREO of $2.6 million, or 0.16% of total assets at December 31, 2023. As previously disclosed in the first quarter of 2024, the increase in NPLs and NPAs from year-end was primarily driven by one commercial & industrial loan relationship. NPLs decreased $9.1 million from $74.4 million at March 31, 2024 primarily due to partial paydowns of the aforementioned commercial & industrial loan relationship.

As of September 30, 2024, the allowance for loan & lease losses was $270.8 million, or 1.25% of loans & leases, net of unearned income. At June 30, 2024 the allowance for loan & lease losses was $267.4 million, or 1.24% of loans & leases, net of unearned income. At December 31, 2023, the allowance for loan & lease losses was $259.2 million, or 1.21% of loans & leases, net of unearned income.

 

5


United Bankshares, Inc. Announces…

October 24, 2024

Page Six

 

Net charge-offs were $3.6 million, or 0.07% on an annualized basis as a percentage of average loans & leases, net of unearned income for the third quarter of 2024. Net charge-offs were $1.3 million, or 0.02% on an annualized basis as a percentage of average loans & leases, net of unearned income for the second quarter of 2024. Net charge-offs were $1.8 million, or 0.03% on an annualized basis as a percentage of average loans & leases, net of unearned income for the third quarter of 2023. Net charge-offs were $6.9 million for the first nine months of 2024 compared to $4.1 million for the first nine months of 2023. Annualized net charge-offs as a percentage of average loans & leases, net of unearned income were 0.04% and 0.03% for the first nine months of 2024 and 2023, respectively.

Capital

United continues to be well-capitalized based upon regulatory guidelines. United’s estimated risk-based capital ratio is 16.2% at September 30, 2024, while estimated Common Equity Tier 1 capital, Tier 1 capital, and leverage ratios are 13.8%, 13.8%, and 11.7%, respectively. The September 30, 2024 ratios reflect United’s election of a five-year transition provision, allowed by the Federal Reserve Board and other federal banking agencies in response to the COVID-19 pandemic, to delay for two years the full impact of CECL on regulatory capital, followed by a three-year transition period. The regulatory requirements for a well-capitalized financial institution are a risk-based capital ratio of 10.0%, a Common Equity Tier 1 capital ratio of 6.5%, a Tier 1 capital ratio of 8.0%, and a leverage ratio of 5.0%. United did not repurchase any shares of its common stock during 2024 or 2023.

About United Bankshares, Inc.

As of September 30, 2024, United had consolidated assets of approximately $30 billion and is the 41st largest banking company in the U.S. based on market capitalization. United is the parent company of United Bank, which comprises more than 225 offices located throughout Washington, D.C., Virginia, West Virginia, Maryland, North Carolina, South Carolina, Ohio, Pennsylvania, and Georgia. United’s stock is traded on the NASDAQ Global Select Market under the quotation symbol “UBSI”.

 

6


United Bankshares, Inc. Announces…

October 24, 2024

Page Seven

 

Cautionary Statements

The Company is required under generally accepted accounting principles to evaluate subsequent events through the filing of its September 30, 2024 consolidated financial statements on Form 10-Q. As a result, the Company will continue to evaluate the impact of any subsequent events on critical accounting assumptions and estimates made as of September 30, 2024 and will adjust amounts preliminarily reported, if necessary.

Use of non-GAAP Financial Measures

This press release contains certain financial measures that are not recognized under U.S. generally accepted accounting principles (“GAAP”). Generally, United has presented these “non-GAAP” financial measures because it believes that these measures provide meaningful additional information to assist in the evaluation of United’s results of operations or financial position. Presentation of these non-GAAP financial measures is consistent with how United’s management evaluates its performance internally and these non-GAAP financial measures are frequently used by securities analysts, investors, and other interested parties in the evaluation of companies in the banking industry.

Specifically, this press release contains certain references to financial measures identified as tax-equivalent (FTE) net interest income, average tangible equity, return on average tangible equity, and tangible book value per share. Management believes these non-GAAP financial measures to be helpful in understanding United’s results of operations or financial position.

Net interest income is presented in this press release on a tax-equivalent basis. The tax-equivalent basis adjusts for the tax-favored status of income from certain loans and investments. Although this is a non-GAAP measure, United’s management believes this measure is more widely used within the financial services industry and provides better comparability of net interest income arising from taxable and tax-exempt sources. United uses this measure to monitor net interest income performance and to manage its balance sheet composition. The tax-equivalent adjustment combines amounts of interest income on federally nontaxable loans and investment securities using the statutory federal income tax rate of 21%.

Tangible equity is calculated as GAAP total shareholders’ equity minus total intangible assets. Tangible equity can thus be considered the most conservative valuation of the company. Tangible equity is also presented on a per common share basis and considering net income, a return on average tangible equity. Management provides these amounts to facilitate the understanding of as well as to assess the quality and composition of United’s capital structure. By removing the effect of intangible assets that result from merger and acquisition activity, the “permanent” items of equity are presented. These measures, along with others, are used by management to analyze capital adequacy and performance.

Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as reconciliation to that comparable GAAP financial measure can be found in the attached financial information tables to this press release. Investors should recognize that United’s presentation of these non-GAAP financial measures might not be comparable to similarly titled measures at other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and United strongly encourages a review of its condensed consolidated financial statements in their entirety.

Forward-Looking Statements

In this report, we have made various statements regarding current expectations or forecasts of future events, which speak only as of the date the statements are made. These statements are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are also made from time-to-time in press releases and in oral statements made by the officers of the Company. Forward-looking statements can be identified by the use of the words “expect,” “may,” “could,” “intend,” “project,” “estimate,” “believe,” “anticipate,” and other words of similar meaning. Such forward-looking statements are based on assumptions and estimates, which although believed to be reasonable, may turn out to be incorrect. Therefore, undue reliance should not be placed upon these estimates and statements. United cannot assure that any of these statements, estimates, or beliefs will be realized and actual results may differ from those contemplated in these “forward-looking statements.” The following factors, among others, could cause the actual results of United’s operations to differ materially from its expectations: uncertainty in U.S. fiscal and monetary policies, including the interest rate policies of the Federal Reserve Board; volatility and disruptions in global capital and credit markets, interest rate, securities market and monetary supply fluctuations; increasing rates of inflation and slower growth rates; the nature, extent, timing, and results of governmental actions, examinations, reviews, reforms, regulations, and interpretations, including those involving the Federal Reserve, FDIC, and CFPB; the effect of changes in the level of checking or savings account deposits on United’s funding costs and net interest margin; future provisions for credit losses on loans and debt securities; changes in nonperforming assets; risks relating to the merger with Piedmont, including the successful integration of operations of Piedmont; competition; changes in legislation or regulatory requirements; and the impact of natural disasters, extreme weather events, military conflict (including the Russia/Ukraine conflict, the conflict in Israel and surrounding areas, the possible expansion of such conflicts and potential geopolitical consequences), terrorism or other geopolitical events. For more information about factors that could cause actual results to differ materially from United’s expectations, refer to its reports filed with the Securities and Exchange Commission, including the discussion under “Risk Factors” in the Annual Report on Form 10-K for the year ended December 31, 2023, as filed with the Securities and Exchange Commission and available on its website at www.sec.gov. Further, any forward-looking statement speaks only as of the date on which it is made, and United undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events, or otherwise. You are advised to consult further disclosures United may make on related subjects in our filings with the SEC.

 

7


UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

     Three Months Ended     Nine Months Ended  

EARNINGS SUMMARY:

   September
2024
    September
2023
    June
2024
    September
2024
    September
2023
 

Interest income

   $ 382,723     $ 356,910     $ 374,184     $ 1,126,087     $ 1,032,145  

Interest expense

     152,467       128,457       148,469       447,627       341,911  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net interest income

     230,256       228,453       225,715       678,460       690,234  

Provision for credit losses

     6,943       5,948       5,779       18,462       24,278  

Noninterest income

     31,942       33,661       30,223       94,377       101,583  

Noninterest expense

     135,339       135,230       134,774       410,855       407,937  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

     119,916       120,936       115,385       343,520       359,602  

Income taxes

     24,649       24,779       18,878       64,932       72,679  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income

   $ 95,267     $ 96,157     $ 96,507     $ 278,588     $ 286,923  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

PER COMMON SHARE:

                              

Net income:

          

Basic

   $ 0.70     $ 0.71     $ 0.71     $ 2.06     $ 2.13  

Diluted

     0.70       0.71       0.71       2.06       2.12  

Cash dividends

   $ 0.37     $ 0.36       0.37       1.11       1.08  

Book value

         35.92       36.74       34.45  

Closing market price

       $ 32.44     $ 37.10     $ 27.59  

Common shares outstanding:

          

Actual at period end, net of treasury shares

         135,195,704       135,220,770       134,933,015  

Weighted average-basic

     135,158,476       134,685,041       135,137,901       134,912,625       134,493,059  

Weighted average-diluted

     135,504,911       134,887,776       135,314,785       135,143,028       134,733,055  

 

FINANCIAL RATIOS:

                              

Return on average assets

     1.28     1.31     1.32     1.26     1.31

Return on average shareholders’ equity

     7.72     8.14     7.99     7.65     8.27

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

     12.59     13.71     13.12     12.57     14.03

Average equity to average assets

     16.64     16.12     16.54     16.52     15.81

Net interest margin

     3.52     3.54     3.50     3.49     3.56

 

PERIOD END BALANCES:

         September 30
2024
    December 31
2023
    September 30
2023
    June 30
2024
 

Assets

     $ 29,863,262     $ 29,926,482     $ 29,224,794     $ 29,957,418  

Earning assets

       26,461,342       26,623,652       25,883,462       26,572,087  

Loans & leases, net of unearned income

       21,621,968       21,359,084       21,097,883       21,598,727  

Loans held for sale

       46,493       56,261       59,614       66,475  

Investment securities

       3,538,415       4,125,754       4,066,299       3,650,582  

Total deposits

       23,828,345       22,819,319       22,676,854       23,066,440  

Shareholders’ equity

       4,967,820       4,771,240       4,648,878       4,856,633  

 

Note:

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

 

8


UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

Consolidated Statements of Income

   Three Months Ended     Nine Months Ended  
     September     September     June     March     September     September  
     2024     2023     2024     2024     2024     2023  

Interest & Loan Fees Income (GAAP)

   $ 382,723     $ 356,910     $ 374,184     $ 369,180     $ 1,126,087     $ 1,032,145  

Tax equivalent adjustment

     828       869       867       872       2,567       3,148  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

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

     383,551       357,779       375,051       370,052       1,128,654       1,035,293  

Interest Expense

     152,467       128,457       148,469       146,691       447,627       341,911  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Interest Income (FTE) (non-GAAP)

     231,084       229,322       226,582       223,361       681,027       693,382  

Provision for Credit Losses

     6,943       5,948       5,779       5,740       18,462       24,278  

Noninterest Income:

            

Fees from trust services

     4,904       4,514       4,744       4,646       14,294       13,810  

Fees from brokerage services

     5,073       4,433       4,959       5,267       15,299       12,551  

Fees from deposit services

     9,413       9,282       9,326       8,971       27,710       27,969  

Bankcard fees and merchant discounts

     1,775       1,676       1,355       1,873       5,003       5,090  

Other charges, commissions, and fees

     890       850       869       858       2,617       2,937  

Income from bank-owned life insurance

     3,032       2,562       2,549       2,418       7,999       6,475  

Income from mortgage banking activities

     4,544       7,556       3,901       5,298       13,743       21,847  

Mortgage loan servicing income

     7,385       846       783       789       8,957       12,963  

Net losses on investment securities

     (6,715     (181     (218     (99     (7,032     (7,922

Other noninterest income

     1,641       2,123       1,955       2,191       5,787       5,863  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Noninterest Income

     31,942       33,661       30,223       32,212       94,377       101,583  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Noninterest Expense:

            

Employee compensation

     58,481       59,064       58,501       59,293       176,275       172,980  

Employee benefits

     13,084       12,926       12,147       14,671       39,902       38,597  

Net occupancy

     11,271       11,494       11,400       12,343       35,014       34,736  

Data processing

     7,456       7,405       7,290       7,463       22,209       22,134  

Amortization of intangibles

     909       1,279       910       910       2,729       3,837  

OREO expense

     104       185       268       159       531       1,167  

Net (gains) losses on the sale of OREO properties

     (34     93       32       (83     (85     66  

Equipment expense

     7,811       7,170       7,548       6,853       22,212       22,192  

FDIC insurance expense

     4,338       4,598       5,058       6,455       15,851       13,755  

Mortgage loan servicing expense and impairment

     403       1,051       1,011       1,015       2,429       4,634  

Expense for the reserve for unfunded loan commitments

     (2,766     (3,002     (2,177     (1,790     (6,733     (2,423

Other noninterest expense

     34,282       32,967       32,786       33,453       100,521       96,262  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Noninterest Expense

     135,339       135,230       134,774       140,742       410,855       407,937  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

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

     120,744       121,805       116,252       109,091       346,087       362,750  

Tax equivalent adjustment

     828       869       867       872       2,567       3,148  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income Before Income Taxes (GAAP)

     119,916       120,936       115,385       108,219       343,520       359,602  

Taxes

     24,649       24,779       18,878       21,405       64,932       72,679  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Income

   $ 95,267     $ 96,157     $ 96,507     $ 86,814     $ 278,588     $ 286,923  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

MEMO: Effective Tax Rate

     20.56     20.49     16.36     19.78     18.90     20.21

 

9


UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

Consolidated Balance Sheets

                                    
     September 2024     September 2023     September 30     December 31     September 30     June 30  
     Q-T-D Average     Q-T-D Average     2024     2023     2023     2024  

Cash & Cash Equivalents

   $ 1,634,929     $ 1,133,432     $ 1,908,832     $ 1,598,943     $ 1,184,054     $ 1,858,861  

Securities Available for Sale

     3,218,892       3,885,870       3,239,501       3,786,377       3,749,357       3,315,726  

Less: Allowance for credit losses

     0       0       0       0       0       0  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net available for sale securities

     3,218,892       3,885,870       3,239,501       3,786,377       3,749,357       3,315,726  

Securities Held to Maturity

     1,020       1,020       1,020       1,020       1,020       1,020  

Less: Allowance for credit losses

     (19     (19     (19     (17     (18     (19
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net held to maturity securities

     1,001       1,001       1,001       1,003       1,002       1,001  

Equity Securities

     10,014       8,556       9,082       8,945       8,548       11,094  

Other Investment Securities

     292,590       309,824       288,831       329,429       307,392       322,761  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Securities

     3,522,497       4,205,251       3,538,415       4,125,754       4,066,299       3,650,582  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Cash and Securities

     5,157,426       5,338,683       5,447,247       5,724,697       5,250,353       5,509,443  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Loans held for sale

     55,408       65,009       46,493       56,261       59,614       66,475  

Commercial Loans & Leases

     15,869,541       15,193,346       16,015,679       15,535,204       15,416,232       15,894,244  

Mortgage Loans

     4,734,979       4,482,774       4,722,997       4,728,374       4,519,845       4,759,798  

Consumer Loans

     940,167       1,237,183       892,377       1,109,607       1,178,898       956,385  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross Loans

     21,544,687       20,913,303       21,631,053       21,373,185       21,114,975       21,610,427  

Unearned income

     (11,762     (16,999     (9,085     (14,101     (17,092     (11,700
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Loans & Leases, net of unearned income

     21,532,925       20,896,304       21,621,968       21,359,084       21,097,883       21,598,727  

Allowance for Loan & Lease Losses

     (267,457     (250,810     (270,767     (259,237     (254,886     (267,423
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Loans

     21,265,468       20,645,494       21,351,201       21,099,847       20,842,997       21,331,304  

Mortgage Servicing Rights

     1,283       4,588       0       4,554       4,616       3,934  

Goodwill

     1,888,889       1,888,889       1,888,889       1,888,889       1,888,889       1,888,889  

Other Intangibles

     10,372       15,880       9,776       12,505       15,060       10,685  

Operating Lease Right-of-Use Asset

     82,783       80,751       82,114       86,986       80,259       83,045  

Other Real Estate Owned

     1,787       3,189       169       2,615       3,181       2,156  

Bank-Owned Life Insurance

     494,438       484,751       495,784       486,895       485,386       493,498  

Other Assets

     545,470       548,687       541,589       563,233       594,439       567,989  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Assets

   $ 29,503,324     $ 29,075,921     $ 29,863,262     $ 29,926,482     $ 29,224,794     $ 29,957,418  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

MEMO: Interest-earning Assets

   $ 26,131,676     $ 25,767,978     $ 26,461,342     $ 26,623,652     $ 25,883,462     $ 26,572,087  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Interest-bearing Deposits

   $ 17,399,368     $ 15,993,991     $ 17,790,247     $ 16,670,239     $ 16,423,511     $ 17,134,728  

Noninterest-bearing Deposits

     5,957,184       6,337,052       6,038,098       6,149,080       6,253,343       5,931,712  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Deposits

     23,356,552       22,331,043       23,828,345       22,819,319       22,676,854       23,066,440  

Short-term Borrowings

     191,954       188,945       181,969       196,095       188,274       203,519  

Long-term Borrowings

     748,608       1,590,763       540,091       1,789,103       1,388,770       1,489,764  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Borrowings

     940,562       1,779,708       722,060       1,985,198       1,577,044       1,693,283  

Operating Lease Liability

     89,082       85,112       88,464       92,885       84,569       89,308  

Other Liabilities

     208,262       192,934       256,573       257,840       237,449       251,754  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Liabilities

     24,594,458       24,388,797       24,895,442       25,155,242       24,575,916       25,100,785  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Preferred Equity

     0       0       0       0       0       0  

Common Equity

     4,908,866       4,687,124       4,967,820       4,771,240       4,648,878       4,856,633  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Shareholders’ Equity

     4,908,866       4,687,124       4,967,820       4,771,240       4,648,878       4,856,633  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Liabilities & Equity

   $ 29,503,324     $ 29,075,921     $ 29,863,262     $ 29,926,482     $ 29,224,794     $ 29,957,418  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

MEMO: Interest-bearing Liabilities

   $ 18,339,930     $ 17,773,699     $ 18,512,307     $ 18,655,437     $ 18,000,555     $ 18,828,011  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

10


UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

    Three Months Ended     Nine Months Ended  
    September     September     June     March     September     September  

Quarterly/Year-to-Date Share Data:

  2024     2023     2024     2024     2024     2023  

Earnings Per Share:

           

Basic

  $ 0.70     $ 0.71     $ 0.71     $ 0.64     $ 2.06     $ 2.13  

Diluted

  $ 0.70     $ 0.71     $ 0.71     $ 0.64     $ 2.06     $ 2.12  

Common Dividend Declared Per Share

  $ 0.37     $ 0.36     $ 0.37     $ 0.37     $ 1.11     $ 1.08  

High Common Stock Price

  $ 39.93     $ 34.30     $ 36.08     $ 38.18     $ 39.93     $ 42.45  

Low Common Stock Price

  $ 31.47     $ 26.49     $ 30.68     $ 32.92     $ 30.68     $ 26.49  

Average Shares Outstanding (Net of Treasury Stock):

 

         

Basic

    135,158,476       134,685,041       135,137,901       134,808,634       134,912,625       134,493,059  

Diluted

    135,504,911       134,887,776       135,314,785       135,121,380       135,143,028       134,733,055  

Common Dividends

  $ 50,213     $ 48,706     $ 50,204     $ 50,213     $ 150,630     $ 146,054  

Dividend Payout Ratio

    52.71     50.65     52.02     57.84     54.07     50.90
                September 30     December 31     September 30     June 30  

EOP Share Data:

              2024     2023     2023     2024  

Book Value Per Share

      $ 36.74     $ 35.36     $ 34.45     $ 35.92  

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

      $ 22.70     $ 21.27     $ 20.34     $ 21.87  

52-week High Common Stock Price

      $ 39.93     $ 42.45     $ 44.15     $ 38.74  

Date

        7/31/24       2/3/23       11/11/22       12/14/23  

52-week Low Common Stock Price

      $ 25.35     $ 25.35     $ 26.49     $ 25.35  

Date

        10/24/23       10/24/23       9/22/23       10/24/23  

EOP Shares Outstanding (Net of Treasury Stock):

 

      135,220,770       134,949,063       134,933,015       135,195,704  

Memorandum Items:

                                   

Employees (full-time equivalent)

        2,651       2,736       2,803       2,644  

Note:

                                   

(1) Tangible Book Value Per Share:

           

Total Shareholders’ Equity (GAAP)

 

    $ 4,967,820     $ 4,771,240     $ 4,648,878     $ 4,856,633  

Less: Total Intangibles

        (1,898,665     (1,901,394     (1,903,949     (1,899,574
     

 

 

   

 

 

   

 

 

   

 

 

 

Tangible Equity (non-GAAP)

 

    $ 3,069,155     $ 2,869,846     $ 2,744,929     $ 2,957,059  

÷ EOP Shares Outstanding (Net of Treasury Stock)

 

    135,220,770       134,949,063       134,933,015       135,195,704  
     

 

 

   

 

 

   

 

 

   

 

 

 

Tangible Book Value Per Share (non-GAAP)

 

    $ 22.70     $ 21.27     $ 20.34     $ 21.87  

 

11


UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

    Three Months Ended
September 2024
    Three Months Ended
September 2023
    Three Months Ended
June 2024
 
Selected Average Balances and Yields:   Average           Average     Average           Average     Average           Average  
ASSETS:   Balance     Interest(1)     Rate(1)     Balance     Interest(1)     Rate(1)     Balance     Interest(1)     Rate(1)  

Earning Assets:

                 

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

  $ 1,387,462     $ 19,241       5.52   $ 852,224     $ 11,810       5.50   $ 930,453     $ 12,787       5.53

Investment securities:

                 

Taxable

    3,218,258       30,797       3.83     3,994,073       35,730       3.58     3,496,310       33,968       3.89

Tax-exempt

    205,080       1,461       2.85     211,178       1,482       2.81     209,114       1,488       2.85
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total securities

    3,423,338       32,258       3.77     4,205,251       37,212       3.54     3,705,424       35,456       3.83

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

    21,588,333       332,052       6.12     20,961,313       308,757       5.85     21,639,898       326,808       6.07

Allowance for loan losses

    (267,457         (250,810         (263,050    
 

 

 

       

 

 

       

 

 

     

Net loans and loans held for sale

    21,320,876         6.20     20,710,503         5.92     21,376,848         6.14
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total earning assets

    26,131,676     $ 383,551       5.85     25,767,978     $ 357,779       5.52     26,012,725     $ 375,051       5.79
   

 

 

   

 

 

     

 

 

   

 

 

     

 

 

   

 

 

 

Other assets

    3,371,648           3,307,943           3,357,439      
 

 

 

       

 

 

       

 

 

     

TOTAL ASSETS

  $ 29,503,324         $ 29,075,921         $ 29,370,164      
 

 

 

       

 

 

       

 

 

     

LIABILITIES:

                 

Interest-Bearing Liabilities:

                 

Interest-bearing deposits

  $ 17,399,368     $ 143,313       3.28   $ 15,993,991     $ 108,793       2.70   $ 16,740,124     $ 132,425       3.18

Short-term borrowings

    191,954       2,048       4.24     188,945       1,805       3.79     206,234       2,206       4.30

Long-term borrowings

    748,608       7,106       3.78     1,590,763       17,859       4.45     1,290,405       13,838       4.31
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total interest-bearing liabilities

    18,339,930       152,467       3.31     17,773,699       128,457       2.87     18,236,763       148,469       3.27
   

 

 

   

 

 

     

 

 

   

 

 

     

 

 

   

 

 

 

Noninterest-bearing deposits

    5,957,184           6,337,052           5,976,971      

Accrued expenses and other liabilities

    297,344           278,046           298,537      
 

 

 

       

 

 

       

 

 

     

TOTAL LIABILITIES

    24,594,458           24,388,797           24,512,271      

SHAREHOLDERS’ EQUITY

    4,908,866           4,687,124           4,857,893      
 

 

 

       

 

 

       

 

 

     

TOTAL LIABILITIES AND

SHAREHOLDERS’ EQUITY

  $ 29,503,324         $ 29,075,921         $ 29,370,164      
 

 

 

       

 

 

       

 

 

     

NET INTEREST INCOME

    $ 231,084         $ 229,322         $ 226,582    
   

 

 

       

 

 

       

 

 

   

INTEREST RATE SPREAD

        2.54         2.65         2.52

NET INTEREST MARGIN

        3.52         3.54         3.50

Notes:

(1)

The interest income and the yields on federally nontaxable loans and investment securities are presented on a tax-equivalent basis using the statutory federal income tax rate of 21%.

(2)

Nonaccruing loans are included in the daily average loan amounts outstanding.

 

12


UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

     Nine Months Ended
September 2024
    Nine Months Ended
September 2023
 
Selected Average Balances and Yields:    Average            Average     Average            Average  
ASSETS:    Balance     Interest(1)      Rate(1)     Balance     Interest(1)      Rate(1)  

Earning Assets:

              

Federal funds sold and securities purchased under

agreements to resell and other short-term investments

   $ 1,068,028     $ 44,331        5.54   $ 927,255     $ 35,499        5.12

Investment securities:

              

Taxable

     3,484,931       99,487        3.81     4,222,849       108,710        3.43

Tax-exempt

     208,843       4,423        2.82     328,276       6,940        2.82
  

 

 

   

 

 

    

 

 

   

 

 

   

 

 

    

 

 

 

Total securities

     3,693,774       103,910        3.75     4,551,125       115,650        3.39

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

     21,578,981       980,413        6.07     20,784,493       884,144        5.69

Allowance for loan losses

     (263,298          (242,135     
  

 

 

        

 

 

      

Net loans and loans held for sale

     21,315,683          6.14     20,542,358          5.75
  

 

 

   

 

 

    

 

 

   

 

 

   

 

 

    

 

 

 

Total earning assets

     26,077,485     $ 1,128,654        5.78     26,020,738     $ 1,035,293        5.32
    

 

 

    

 

 

     

 

 

    

 

 

 

Other assets

     3,357,672            3,319,143       
  

 

 

        

 

 

      

TOTAL ASSETS

   $  29,435,157          $  29,339,881       
  

 

 

        

 

 

      

LIABILITIES:

              

Interest-Bearing Liabilities:

              

Interest-bearing deposits

   $ 16,936,116     $ 404,115        3.19   $ 15,569,985     $ 268,962        2.31

Short-term borrowings

     200,555       6,336        4.22     177,707       4,451        3.35

Long-term borrowings

     1,178,176       37,176        4.21     2,102,386       68,498        4.36
  

 

 

   

 

 

    

 

 

   

 

 

   

 

 

    

 

 

 

Total interest-bearing liabilities

     18,314,847       447,627        3.26     17,850,078       341,911        2.56
    

 

 

    

 

 

     

 

 

    

 

 

 

Noninterest-bearing deposits

     5,958,668            6,576,063       

Accrued expenses and other liabilities

     300,220            274,418       
  

 

 

        

 

 

      

TOTAL LIABILITIES

     24,573,735            24,700,559       

SHAREHOLDERS’ EQUITY

     4,861,422            4,639,322       
  

 

 

        

 

 

      

TOTAL LIABILITIES AND

SHAREHOLDERS’ EQUITY

   $ 29,435,157          $ 29,339,881       
  

 

 

        

 

 

      

NET INTEREST INCOME

     $ 681,027          $ 693,382     
    

 

 

        

 

 

    

INTEREST RATE SPREAD

          2.52          2.76

NET INTEREST MARGIN

          3.49          3.56

Notes:

(1)

The interest income and the yields on federally nontaxable loans and investment securities are presented on a tax-equivalent basis using the statutory federal income tax rate of 21%. 

(2)

Nonaccruing loans are included in the daily average loan amounts outstanding. 

 

13


UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

    Three Months Ended           Nine Months Ended        
    September           September           June           March           September           September        

Selected Financial Ratios:

  2024           2023           2024           2024           2024           2023        

Return on Average Assets

    1.28       1.31       1.32       1.19       1.26       1.31  

Return on Average Shareholders’ Equity

    7.72       8.14       7.99       7.25       7.65       8.27  

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

    12.59       13.71       13.12       11.98       12.57       14.03  

Efficiency Ratio

    51.62       51.59       52.66       55.26       53.16       51.52  

Price / Earnings Ratio

    13.22       x       9.70       x       11.40       x       13.96       x       13.53       x       9.74       x  

Note:

                                                                       

(1) Return on Average Tangible Equity:

                       

(a) Net Income (GAAP)

  $ 95,267       $ 96,157       $ 96,507       $ 86,814       $ 278,588       $ 286,923    

(b) Number of Days

    92         92         91         91         274         273    

Average Total Shareholders’ Equity (GAAP)

  $ 4,908,866       $ 4,687,124       $ 4,857,893       $ 4,816,476       $ 4,861,422       $ 4,639,322    

Less: Average Total Intangibles

    (1,899,261       (1,904,769       (1,900,164       (1,901,074       (1,900,163       (1,906,042  
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

   

(c) Average Tangible Equity (non-GAAP)

  $ 3,009,605       $ 2,782,355       $ 2,957,729       $ 2,915,402       $ 2,961,259       $ 2,733,280    

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

    12.59       13.71       13.12       11.98       12.57       14.03  

 

Selected Financial Ratios:

  September 30
2024
          December 31
2023
          September 30
2023
          June 30
2024
       

Loans & Leases, net of unearned income / Deposit Ratio

    90.74       93.60       93.04       93.64  

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

    1.25       1.21       1.21       1.24  

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

    1.43       1.42       1.42       1.43  

Nonaccrual Loans / Loans & Leases, net of unearned income

    0.24       0.14       0.12       0.25  

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

    0.06       0.07       0.09       0.06  

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

    0.30       0.21       0.20       0.30  

Non-performing Assets/ Total Assets

    0.22       0.16       0.16       0.23  

Primary Capital Ratio

    17.49       16.79       16.76       17.06  

Shareholders’ Equity Ratio

    16.64       15.94       15.91       16.21  

Price / Book Ratio

    1.01       x       1.06       x       0.80       x       0.90       x  

Note:

 

(2)

Includes allowances for loan losses and lending-related commitments.

 

14


UNITED BANKSHARES, INC. AND SUBSIDIARIES

Washington, D.C. and Charleston, WV

Stock Symbol: UBSI

(In Thousands Except for Per Share Data)

 

     Three Months Ended     Nine Months Ended  
     September 30     September 30     June 30     March 31     September 30     September 30  

Mortgage Banking Data: (1)

   2024     2023     2024     2024     2024     2023  

Loans originated

   $ 151,333     $ 185,945     $ 185,322     $ 176,906     $ 513,561     $ 635,582  

Loans sold

     171,315       217,627       163,273       188,741       523,329       632,847  
                 September 30     December 31     September 30     June 30  

Mortgage Loan Servicing Data: (2)

               2024     2023     2023     2024  

Balance of loans serviced

       $ —      $ 1,202,448     $ 1,216,805     $ 1,138,443  

Number of loans serviced

         —        12,419       12,596       11,853  
           September 30     December 31     September 30     June 30     March 31  

Asset Quality Data:

         2024     2023     2023     2024     2024  

EOP Non-Accrual Loans

     $ 52,446     $ 30,919     $ 24,456     $ 52,929     $ 63,053  

EOP 90-Day Past Due Loans

       12,794       14,579       18,283       12,402       11,329  
    

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total EOP Non-performing Loans

     $ 65,240     $ 45,498     $ 42,739     $ 65,331     $ 74,382  

EOP Other Real Estate Owned

       169       2,615       3,181       2,156       2,670  
    

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total EOP Non-performing Assets

     $ 65,409     $ 48,113     $ 45,920     $ 67,487     $ 77,052  
    

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
     Three Months Ended     Nine Months Ended  
     September 30     September 30     June 30     March 31     September 30     September 30  

Allowance for Loan & Lease Losses:

   2024     2023     2024     2024     2024     2023  

Beginning Balance

   $ 267,423     $ 250,721     $ 262,905     $ 259,237     $ 259,237     $ 234,746  

Gross Charge-offs

     (4,903     (2,836     (2,542     (3,576     (11,021     (8,046

Recoveries

     1,304       1,052       1,281       1,506       4,091       3,908  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Charge-offs

     (3,599     (1,784     (1,261     (2,070     (6,930     (4,138

Provision for Loan & Lease Losses

     6,943       5,949       5,779       5,738       18,460       24,278  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Ending Balance

   $ 270,767     $ 254,886     $ 267,423     $ 262,905     $ 270,767     $ 254,886  

Reserve for lending-related commitments

     37,973       43,766       40,739       42,915       37,973       43,766  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Allowance for Credit Losses (3)

   $ 308,740     $ 298,652     $ 308,162     $ 305,820     $ 308,740     $ 298,652  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Notes:

 

(1)

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

(2)

As disclosed, United sold its remaining mortgage servicing rights during the third quarter of 2024.

(3)

Includes allowances for loan losses and lending-related commitments.

 

15