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Mar 31, 2022

United Community Banks Q1 2022 Earnings Report

Reported strong core profitability, loan growth, and deposit growth.

Key Takeaways

United Community Banks, Inc. announced a net income of $48.0 million for the first quarter. The quarter was marked by strong loan and deposit growth, net interest margin expansion and an improved efficiency ratio, but earnings were reduced on a GAAP basis relative to prior quarters due to a higher credit loss provision related to the Reliant acquisition and the wind down of the PPP program.

Net income for the first quarter was $48.0 million.

Pre-tax, pre-provision income was $83.5 million.

Diluted earnings per share of $0.43 for the quarter.

Strong 9% annualized core loan growth and 7% annualized deposit growth.

Total Revenue
$203M
Previous year: $189M
+7.3%
EPS
$0.5
Previous year: $0.83
-39.8%
Efficiency ratio
57.4%
Return on assets
0.78%
Previous year: 1.62%
-51.9%
Return on common equity
6.8%
Previous year: 15.4%
-55.8%
Gross Profit
$180M
Previous year: $189M
-5.0%
Cash and Equivalents
$1.91B
Previous year: $1.33B
+42.9%
Free Cash Flow
$193M
Previous year: $32.2M
+500.4%
Total Assets
$24.4B
Previous year: $18.6B
+31.5%

United Community Banks

United Community Banks

Forward Guidance

United has a very positive outlook for 2022, supported by strong business growth across its markets and a balance sheet that is well-positioned for increasing interest rates.

Positive Outlook

  • Strong business growth across markets.
  • Balance sheet is well-positioned for increasing interest rates.
  • Balanced business mix.
  • Focus on credit quality.
  • Focus on risk management.