What is the market's earnings forecast for United Community Banks next quarter?

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What guidance did United Community Banks's management provide for the next earnings period?

Did United Community Banks beat or miss consensus estimates last quarter?

What is the revenue and EPS growth rate for United Community Banks year over year?

What were the key takeaways from United Community Banks’s earnings call?

What were the key takeaways from United Community Banks's earnings call?

What is United Community Banks's gross profit margin?

- **Revenue Growth**: 11% YoY in Q4, driven by 4.4% loan growth and margin expansion.
- **Capital Allocation**: $1 billion+ buybacks in 2025, with more aggressive plans for 2026.
- **NIM Expansion**: 2-4 bps expected in Q1, supported by repricing and loan mix shift.
- **Strategic Focus**: Organic growth in C&I, HELOCs, and Navitas; cultural differentiation in competitive markets.
- **Credit Quality**: Stable at 34 bps charge-offs, with strong capital ratios (CET1 13.4%).

**【CEO Summary Section】**
- UCB reported 11% year-over-year revenue growth in Q4 2025, driven by margin expansion and 4.4% annualized loan growth. Operating EPS was $0.71, up 13% YoY.
- Full-year operating EPS grew 18% to $2.71, with key metrics improving: net interest margin +23 bps, efficiency ratio +264 bps, and return on assets +18 bps.
- Strategic initiatives included a $1 per share dividend increase, 1 million share buyback at $30 average price, and $1 billion+ annual production in retail, small business, and equipment finance loans.
- Cultural recognition included 11th #1 retail satisfaction ranking in the Southeast and 9th top bank to work for by American Banker.

**【CFO Financial Commentary】**
- Deposit growth of 1% YoY, with cost of deposits improving 21 bps to 1.76%. Loan-to-deposit ratio rose to 82%, supporting net interest margin (NIM) of 3.62% (+4 bps QoQ).
- Spread income grew 7% annualized, benefiting from loan mix shift and back-book repricing. NIM expected to rise 2-4 bps in Q1 2026 if CDs maturing at 3.32% are repriced below 3.13%.
- Noninterest income was $40.5 million, with strong growth in wealth, treasury management, and swaps offsetting seasonal mortgage decline.
- Operating expenses increased $4 million QoQ due to health insurance costs, but efficiency ratio improved 264 bps YoY.
- Credit quality remained strong with net charge-offs at 34 bps, stable NPAs, and allowance coverage at 1.16%.

**【Q&A Key Highlights】**
- **Balance Sheet Growth**: CFO expects loan growth to outpace deposit growth, maintaining a higher loan-to-deposit ratio. C&I and HELOCs are key growth areas, with Navitas equipment finance crossing $1 billion in originations.
- **Buybacks**: CEO emphasized aggressive buyback plans in 2026, leveraging strong capital position (CET1 13.4%) and limited M&A opportunities.
- **NIM Outlook**: NIM tailwind from $1.4 billion in repricing assets; fixed rate loans at 5.19% vs. new originations at 6.45% support long-term margin expansion.
- **Competitive Landscape**: CEO highlighted cultural strength and client service as differentiators, with 90% CD retention rate vs. industry norms.
- **Expenses**: Targeting 3-3.5% expense growth, with Q1 expenses expected flat due to one-time costs in Q4.
- **M&A**: Limited opportunities in current markets; focus on organic growth and talent acquisition.
- **Fee Growth**: Wealth, treasury management, and customer swaps expected to drive noninterest income, with Navitas loans sold to keep balance sheet growth disciplined.

United Community Banks, Inc. (UCB) Q4 2025 Earnings Call Transcript

- **Revenue & Profit Growth**: Q3 revenue up 15% YoY, operating EPS +32% YoY to $0.75. Net interest margin expanded to 3.58%.
- **Loan Momentum**: 5.4% annualized loan growth, with strong C&I and HELAC segments. Q4 pipeline suggests sustained momentum.
- **Deposit Efficiency**: Cost of deposits at 1.97%, targeting 40%+ deposit beta. Aiming to reprice $1.8B in CDs at lower rates.
- **Capital Strength**: CET1 ratio 13.4%, with $88M preferred stock redeemed and $14M shares repurchased. Dividend raised 4%.
- **2026 Outlook**: Operating leverage expected via improving margin (back book runoff at 4.93% vs. new loans at 7%).

**【Management Opening Remarks】**
- **Revenue Growth**: Q3 revenue increased by $16 million (15% YoY), driven by a 5.4% annualized loan growth and an 8 basis point improvement in net interest margin. Operating EPS rose to $0.75, a 32% YoY increase.
- **Credit Performance**: Provision for credit losses declined by $4 million, with net charge-offs at 16 basis points (5 basis points in core banking). Tangible book value grew 10% YoY to $21.59.
- **Expense Control**: Operating expenses increased by $4.3 million, primarily due to higher incentive accruals, yet efficiency ratio improved to 53.1%.

**【CFO Financial Commentary】**
- **Deposit Management**: Deposit growth (excluding seasonal outflows) was $137 million (2.6% annualized), with cost of deposits at 1.97%. Targeting 40%+ deposit beta through the cycle.
- **Loan Portfolio**: 5.4% annualized loan growth (6.2% excluding senior care runoff), with strong C&I, Equipment Finance, and HELAC segments. Net interest margin expanded to 3.58%.
- **Capital Deployment**: Redeemed $88 million of preferred stock, purchased $14 million in common shares, and raised dividend by 4%. CET1 ratio remained strong at 13.4%.
- **Income Growth**: Spread income rose 14% annualized, while non-interest income increased $8.5 million, driven by fee categories and MSR/write-ups.

**【Q&A Highlights】**
- **Loan Growth**: Q4 pipeline suggests similar or better loan growth, with Florida leading. HELAC product success tied to 100% branch managers lending and targeted marketing.
- **Deposit Strategy**: Aiming to reprice $1.8 billion of CDs maturing in Q4 at lower rates, targeting 40%+ deposit beta. New loan yields ~7%, CDs ~3%.
- **Capital Priorities**: Organic growth > dividend > M&A > buybacks. No immediate plans to restructure securities portfolio.
- **Credit Outlook**: Stable Navitas performance (92 basis points NCOQ), with minimal exposure to private credit risks. C&I NPA movement seen as normal cyclical activity.
- **2026 Outlook**: Expect operating leverage driven by improving margin (back book runoff at 4.93% vs. new loans at 7%).

United Community Banks, Inc. (UCB) Q3 2025 Earnings Call Transcript

- **Strong Earnings Growth**: Operating EPS up 14% YoY, driven by 14bps NIM expansion and disciplined expense control. 
- **Deposit Cost Management**: 34% deposit beta achieved, targeting 35-38% range; $1.4B CDs set to reprice lower. 
- **Loan Growth Momentum**: 4.2% annualized growth (excluding M&A), with Q3 pipeline at Q1's 6% pace. 
- **Credit Quality Improving**: Net charge-offs at 18bps, nonaccruals/past dues declining; allowance coverage stable. 
- **Capital Flexibility**: TCE ratio up 27bps, $86M remaining buyback authorization; exploring HTM restructuring.

**【CEO Opening Remarks】**
- **Operating EPS Growth**: $0.66 for the quarter, up 14% YoY, driven by net interest margin expansion to 350 basis points (+14bps QoQ). 
- **Deposit Performance**: Customer deposits grew 1.3% annualized (excluding merger), with stabilization of public fund outflows. 
- **Loan Growth**: 4.2% annualized, with strong pipeline heading into Q3. 
- **Credit Quality**: Net charge-offs at 18bps (18bps including Navitas), with nonaccruals and past dues improving. 
- **Efficiency Ratio**: Improved to 54.8% (vs 57.0% last year). 
- **American National Acquisition**: Successfully integrated Fort Lauderdale-based bank, adding $205M in deposits.

**【CFO Financial Commentary】**
- **Deposit Management**: 
  - Cost of deposits reduced to 2.01%, achieving 34% deposit beta (targeting high 30s%). 
  - $1.4B in CDs (38% of CD book) maturing at 3.72% in Q3, expected to reprice 10-20bps lower. 
- **Loan Portfolio**: 4.2% annualized growth (excluding American National), with loan-to-deposit ratio at 79%. 
- **Capital Management**: 
  - Repurchased $14M in shares (507,000 shares). 
  - Reduced $100M in senior notes at 5% rate to avoid 9% reset. 
  - TCE ratio up 27bps, all capital ratios above peers. 
- **Spread Income**: Grew 21% annualized (excluding American National), driven by lower cost of funds. 
- **Noninterest Income**: Down $1M QoQ due to MSR mark swing and senior debt extinguishment costs. 
- **Operating Expenses**: Up $2.1M (1.8% YoY), driven by merit increases. 
- **Credit Quality**: Allowance coverage stable at 1.21%, with $2.8M hurricane reserve release offsetting $2.5M American National provision.

**【Q&A Highlights】**
- **Loan Growth Outlook**: 
  - Q3 expected to match Q1's 6% pace (vs Q2's 4.2%). 
  - Hiring 2+ CRMs in Alabama, adding lenders across footprint. 
- **Margin Expansion**: 
  - Target 5bps Q3 expansion via deposit beta (1.95% target) and loan mix shift. 
  - Asset-sensitive positioning for potential rate cut. 
- **Navitas Performance**: 
  - Resumed loan sales ($14M Q2), nearing 10% cap of total loans. 
  - Gain on sale margin sensitive to 3-4yr Treasury yields. 
- **Capital Allocation**: 
  - Buybacks paused at current price (7-8yr earnback). 
  - Evaluating HTM restructuring options for excess capital. 
  - M&A focus on small, additive institutions within footprint. 
- **Credit Trends**: 
  - Stable criticized assets pipeline. 
  - CECL modeling could provide relief if loan growth/forecasts stabilize.

United Community Banks, Inc. (UCB) Q2 2025 Earnings Call Transcript

- **Strong Q1 Results**: $0.59 EPS, 5% loan/deposit growth, 10bps NIM expansion to 3.49%.
- **Deposit Optimization**: 15bps cost decline, $1.4B CDs repriced down 65bps.
- **Credit Resilience**: 21bps NCOs, 1.21% allowance coverage, no elevated risk from tariffs.
- **Capital Flexibility**: $100M buyback authorization, 3-4% expense growth target.
- **Expansion Momentum**: ANB acquisition adds South Florida scale; 15% Navitas loan growth.
- **Rate Sensitivity**: 30% CD beta through cycle; 5-10bps NIM expansion expected Q2.


**【CEO Opening Remarks】**
- Q1 2025 operating earnings of $0.59 per share, up 1.04% ROA, driven by 5% annualized loan and deposit growth.
- Net interest margin (NIM) expanded 10bps to 3.49% due to 15bps deposit cost decline.
- Credit quality stable with NCOs at 21bps, non-performing assets down sequentially.
- Acquired American National Bank (ANB) for South Florida expansion, closing May 1st.

**【CFO Financial Details】**
- Deposit growth: $309M (5.3% annualized), 3% DDA growth, $1.4B CDs repriced down 65bps.
- Loan growth: 7% C&I, 15% Navitas, 13% HELOC; loan-to-deposit ratio 78%.
- Capital strength: CET1 13.3%, TCE 9.0%, all regulatory ratios above peers.
- Spread income +6.5% YoY, fee income stable, expenses down $1M Q/Q.
- Allowance at 1.21% of loans, provision fully covers charge-offs.

**【Q&A Key Topics】**
1. **Economic Uncertainty**: Clients adapting quickly to tariffs via price hikes, supplier diversification; no elevated credit risk seen.
2. **Margin Outlook**: 5-10bps NIM expansion Q2 from deposit repricing; CD beta ~30% through cycle.
3. **Expense Management**: 2025 expenses expected +3-4%, including $2M ANB integration cost.
4. **Capital Allocation**: Share buybacks (authorized $100M) prioritized over M&A at current valuations.
5. **Tariff Impact**: No sector-specific risk; client-by-client assessment shows resilience.
6. **Navitas Performance**: Q1 NCOs 95bps (excluding trucking), on track with expectations.

**【Balance Sheet Strategy】**
- Shift from securities to loans (Q1: $265M securities runoff); deposit-driven 2-4% balance sheet growth.
- CD repricing success: $1.3B maturing at 3.78% to be repriced 25-30bps lower.
- Liquidity strong with no wholesale borrowings, $7.2M Hurricane Helene reserve reduction.


United Community Banks, Inc. (UCB) Q1 2025 Earnings Call Transcript

- **Strong Financial Performance**: Q4 EPS $0.61 (operating: $0.63), FY24 EPS $2.04 (operating: $2.30). Operating ROA 1.08% (Q4), 1.02% (FY24). 
- **Balanced Growth**: 5% loan growth (C&I +13%, Navitas +15%), 4% deposit growth. Margin stable ex-Manufactured Housing impact. 
- **Credit Strength**: Net charge-offs 21bps (lowest since Q2 2023), allowance stable at 1.2% of loans. 
- **2025 Outlook**: Margin +5-10bps/Q1, loan growth sustained, M&A pipeline active. 
- **Risk Management**: Navitas trucking portfolio reduced to $26M (from $44M), 2025 charge-offs expected to halve.

**【CEO Opening Remarks】**
- Q4 2024 EPS: $0.61 (operating: $0.63); Full Year EPS: $2.04 (operating: $2.30). Operating ROA: 1.08% (Q4), 1.02% (FY24). Tangible Book Value growth: 9% YoY, 7% QoQ annualized.
- **Loan Growth**: 5% annualized (C&I: 13%, Navitas: 15%, HELOC: 20%). Deposit Growth: 4% annualized (public funds seasonal). 
- **Net Interest Margin**: -7bps QoQ (offset by $1.1M NIM growth). Credit Quality: Net Charge-offs 21bps (lowest since Q2 2023). Operating Efficiency Ratio: 55%.

**【CFO Financial Details】**
- **Deposit Management**: $213M growth (3.7% annualized), 15bps cost reduction. CD Repricing: $1.8B maturing at 4.14% to be repriced at ~3.50%. Total Deposit Beta: 22% achieved, targeting high 30s.
- **Loan Portfolio**: C&I growth driven by owner-occupied CRE (+9%), equipment finance (+15%). MH portfolio sold, reducing risk exposure. 
- **Margin Dynamics**: Excluding MH impact, margin flat QoQ. 2025 outlook: 5-10bps improvement per quarter without rate cuts. 
- **Capital Actions**: $60M subordinated debt redeemed (saving $1.8M/year), CET1 ratio >13%. 

**【Q&A Key Takeaways】**
- **Loan Growth Drivers**: Business owner confidence, pipeline strength, new market expansion (Florida, NC, SC). 2025 outlook: Similar to Q4 growth rates. 
- **Margin Trend**: 5-10bps Q1 improvement; 2025 margin expansion via high 30s deposit beta. 
- **M&A Strategy**: Capacity for 1-2 deals/year; focus on small, high-quality tuck-ins (e.g., American National Bank). 
- **Credit Outlook**: 2025 charge-offs ~$44M (excluding MH), driven by Navitas trucking portfolio reduction. 
- **Fee Growth**: Navitas loan sales to halve (Q4: $20-30M → Q1-Q4 2025: $10-20M/Q). SBA gains delayed due to regulatory changes. 
- **CD Duration**: Shifting to 12-13-month CDs post-repricing, lengthening duration to lock in rates.

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