10-Q - UNITED BANKSHARES INC/WV (0000729986) (Filer)

Fri, May 9, 3:20 PM (13 days ago)

**Summary of United Bankshares, Inc. (UBSI) Q1 2025 Financial Health and Performance:** **Financial Health:** - **Total Assets:** $32.79 billion, up 9.21% from Q4 2024, driven by the Piedmont acquisition. - **Total Liabilities:** $27.47 billion, up 9.76% from Q4 2024. - **Shareholders' Equity:** $5.31 billion, up 6.43% from Q4 2024. - **Capital Ratios:** Risk-based capital ratio at 15.69%, Common Equity Tier 1 at 13.26%, Tier 1 at 13.26%, and leverage ratio at 11.32%. - **Liquidity:** Strong liquidity position with $2.61 billion in cash and cash equivalents. **Performance Metrics:** - **Revenue:** Net interest income of $260.06 million, up 16.88% from Q1 2024. - **Profit Margins:** Net interest margin of 3.69%, up from 3.44% in Q1 2024. - **Earnings Changes:** Net income of $84.31 million, down from $86.81 million in Q1 2024. - **Earnings per Share (EPS):** Diluted EPS of $0.59, down from $0.64 in Q1 2024. **Cash Flow:** - **Operating Activities:** $119.98 million provided by operating activities. - **Investing Activities:** $18.67 million used in investing activities. - **Financing Activities:** $216.63 million provided by financing activities. **Quarterly Performance Discussion:** - **Economic and Trade Policy Uncertainty:** Monitoring potential impacts of evolving trade policies and tariffs. - **Acquisition Impact:** Piedmont acquisition added $2.30 billion in total assets and impacted Q1 2025 results. - **Interest Rate Risk:** Managed through derivative instruments and FHLB advances. - **Credit Quality:** Provision for credit losses at $29.10 million, higher due to Piedmont acquisition. - **Noninterest Income:** Decreased by 8.25% from Q1 2024 due to lower mortgage banking income. - **Noninterest Expense:** Increased by 9.12% from Q1 2024 due to merger-related expenses. **Trends and Uncertainties:** - **Economic Conditions:** Monitoring changes in economic and business conditions, collateral values, and concentrations of credit. - **Regulatory Matters:** Increased scrutiny of consumer products and potential enforcement actions. - **Future Operations Impact:** Continued focus on liquidity management, capital adequacy, and strategic acquisitions. **Future Outlook:** - **Growth Strategies:** Focus on organic growth and strategic acquisitions. - **Risk Management:** Continued monitoring of interest rate risk, credit quality, and economic conditions. - **Capital Management:** Maintaining strong capital position and liquidity to support growth and sustainability.