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Sep 30, 2021
Atlantic Union Q3 2021 Earnings Report
Atlantic Union delivered solid financial results, reporting earnings per share of $0.94 and net income of $71.6 million.
Key Takeaways
Atlantic Union Bankshares Corporation reported a solid third quarter with net income available to common shareholders of $71.6 million and earnings per common share of $0.94. The company saw headwinds from COVID-19 abate, though loan balances excluding PPP declined due to high commercial real estate pay-offs and suppressed commercial line utilization.
Net income available to common shareholders was $71.6 million.
Basic and diluted earnings per common share were $0.94.
Pre-tax pre-provision adjusted operating earnings were $72.1 million.
The Company processed $391.8 million on 3,000 PPP loans for forgiveness in Q3 2021.
Atlantic Union
Atlantic Union
Forward Guidance
Atlantic Union expects economic activity to pick up over the next several quarters and credit losses will remain historically low due to the positive economic outlook.
Positive Outlook
- Economic activity is expected to pick up over the next several quarters.
- Credit losses will remain historically low due to the positive economic outlook.
- Atlantic Union remains committed to generating sustainable, profitable growth.
- Atlantic Union is building long term value for its shareholders.
- Credit quality remains pristine.
Challenges Ahead
- Loan balances exclusive of PPP declined during the third quarter.
- Commercial real estate pay-offs were historically high.
- Commercial line utilization was suppressed due to excess liquidity.
- Decrease in PPP loan accretion included in interest income to $9.4 million in the third quarter of 2021 from $11.5 million in the second quarter of 2021.
- The third quarter net interest margin decreased 10 basis points to 3.05% from 3.15% in the previous quarter.