EXHIBIT 99.1
For Immediate Release
For more information:
Rex S. Schuette
Chief Financial Officer
(706) 781-2265
Rex_Schuette@ucbi.com
Rex S. Schuette
Chief Financial Officer
(706) 781-2265
Rex_Schuette@ucbi.com
UNITED COMMUNITY BANKS, INC.
REPORTS 13% GAIN IN DILUTED EARNINGS PER SHARE
FOR THIRD QUARTER 2005
REPORTS 13% GAIN IN DILUTED EARNINGS PER SHARE
FOR THIRD QUARTER 2005
HIGHLIGHTS:
• | Record Third Quarter Earnings | |
Diluted Operating Earnings Per Share of $.36 — Up 13% | ||
Net Operating Income of $14.3 Million — Up 20% | ||
Return on Tangible Equity of 18.90% | ||
• | Strong Loan Demand and Rise in Net Interest Margin and Fee Revenue Drove Performance |
BLAIRSVILLE, GA, October 25, 2005 — United Community Banks, Inc. (Nasdaq: UCBI), Georgia’s third largest bank holding company, today announced record financial results for the third quarter of 2005. Compared with the third quarter of 2004, the company achieved a 28% increase in total revenue, a 20% rise in net operating income and a 13% gain in diluted operating earnings per share.
For the third quarter of 2005, net operating income rose to $14.3 million compared with $12.0 million a year earlier. Diluted operating earnings per share increased to $.36 from $.32 a year ago. Total revenue, on a taxable equivalent basis, was $64.0 million compared with $50.1 million for the third quarter of 2004. Return on tangible equity was 18.90% and return on assets was 1.01%, compared with 19.41% and 1.05%, respectively, a year ago.
“We continued to experience solid growth across all of our markets,” said Jimmy Tallent, United Community Banks President and Chief Executive Officer. “Total assets at quarter-end surpassed $5.7 billion, a 24% increase from a year ago. Loans increased $181 million during the third quarter, or 18% on an annualized basis, which helped drive the increase in net interest revenue. Our net interest margin rose to 4.17%, up 18 basis points from a year ago, as increasing short-term interest rates continued to positively affect our slightly asset-sensitive balance sheet. Fee revenue was up 24%, reflecting increases in every category.”
“With the business growth achieved through the third quarter, United Community Banks remains well on track to meet our performance goals of double-digit earnings per share growth and a return on tangible equity above 18% for the year,” Tallent said.
For the first nine months of 2005, net operating income totaled $41.5 million, a 21% increase compared with $34.2 million for the same period of 2004. Diluted operating earnings per share of $1.05 increased 13% from $.93 for the first nine months of 2004. Total revenue, on a taxable equivalent basis, totaled $180.7 million, up 27% from $142.5 million a year ago. Return on tangible equity was 19.30% and return on assets was 1.03%, compared with 19.67% and 1.07% a year ago, respectively.
Net operating income for the first nine months of 2004 excludes $464,000 in pre-tax merger charges from the acquisition of 1st Community Bank, which was completed on June 1, 2004. Including these merger-related charges, reported net income was $33.9 million; reported diluted earnings per share was $.92; and, reported return on equity 14.48%.
At September 30, 2005, total loans were $4.3 billion, up $816 million, or 24%, from a year ago. Organic growth, which excludes acquisitions, was $610 million, or 18%. “Loan demand remains strong across all our markets, leading to excellent growth opportunities,” Tallent said. Organic growth, with an uncompromising focus on sound credit quality, is at the core of our balanced growth strategy.”
“Organic growth is further supported by focused geographic expansion,” Tallent added. “We find the right people and build around them — usually adding two to four de novo offices a year,” Tallent explained.
“Last quarter, we announced our entry into the Gainesville market through a partnership with three experienced local banking executives who brought with them over 50 experienced bankers to form United Community Bank — Hall County. In just five months, this team has added more than $205 million in loans and $105 million in deposits. We now have three additional banking offices, including our main office which is located in downtown Gainesville, and we plan to open an additional banking office by mid-2006,” Tallent added. “In addition, we continued to execute our expansion plans for metro Atlanta. We opened two de novo banking offices in Tyrone and Newnan Lakes. These offices are located in Fayette and Coweta counties on the south side of metro Atlanta, which further strengthens our presence in these fast growing markets.”
“I want to emphasize that it is a testimony to the success and strength of our existing franchise that we were able to absorb such a significant de novo undertaking and still deliver on our primary financial goals,” Tallent added.
“During the third quarter, our deposit growth exceeded our strong loan growth due to our sharp focus on growing core deposits,” Tallent said. “We continued to promote our very successful ‘Refer-a-Friend’ core deposit program that rewards our many satisfied customers for referring their friends and family members to us. Our relentless focus on providing the highest level of customer service has generated customer satisfaction scores that continue to exceed 90%, well above the comparable industry average of 75%. This is invaluable in building our deposit base through customer referrals while also maintaining and growing long-term relationships with existing customers. During the quarter, our core deposit program and other initiatives have added 11,700 accounts and $108 million in balances. Year-to-date, it has added 36,000 new accounts and $218 million in deposits.”
Taxable equivalent net interest revenue of $55.0 million for the third quarter rose $12.8 million, or 30%, from the same period a year ago. Acquisitions completed in late 2004 added approximately $2.9 million to net interest revenue. Excluding acquisitions, the core growth rate was 23%. Taxable equivalent net interest margin for the third quarter was 4.17% as compared with 3.99% a year ago and 4.12% last quarter.
“Rising interest rates have resulted in a slight margin expansion over the past two quarters,” Tallent said. “Our balance sheet remains slightly asset sensitive, which should allow us to benefit modestly from further increases in interest rates. However, as we continue efforts to fund our loan growth with new deposits, we expect competitive pricing pressures will offset any gains and could have a slight compression in our margin,” added Tallent.
The third quarter provision for loan losses was $3.4 million, up $1.4 million from a year earlier and up $600,000 from the second quarter of 2005. Annualized net charge-offs to average loans were 13 basis points for the third quarter, compared with 14 basis points for the second quarter of 2005 and 12 basis points for the third quarter of 2004. At quarter-end, non-performing assets totaled $13.6 million compared with $13.5 million at the end of the second quarter of 2005 and $10.5 million a year ago. Non-performing assets as a percentage of total assets were 24 basis points at quarter-end, compared with 24 basis points at June 30, 2005 and 23 basis points at September 30, 2004.
“Our asset quality continues to compare favorably with our peer banks and remains well within our tolerance levels,” Tallent said. “Strong credit quality is essential to our balanced growth strategy and overall success. United Community Banks’ credit quality is rooted in our guiding principle of securing loans with hard assets.”
Fee revenue of $12.4 million rose $2.5 million, or 26%, from $9.9 million a year ago with steady growth achieved in every category. “Service charges and fees on deposit accounts increased $1.1 million to $6.6 million, primarily due to growth in transactions and new accounts resulting from the core deposit program and cross-selling other products and services,” Tallent said. “We also experienced healthy increases in consulting, mortgage and brokerage fees.”
Consulting fees rose 25% to $1.8 million, due to growth in the risk management and financial-service practices as well as strong growth across other consulting services. Brokerage fees increased 51% to $571,000 due to strong market activity. Other fee revenue increased by $466,000 to $1.2 million due primarily to a $160,000 gain on the sale of a former banking office location and $118,000 in gains on the sale of SBA loans.
Operating expenses increased $10.0 million, or 32%, to $41.3 million from the third quarter of 2004. Nearly $1.8 million of this increase related to operating expenses of the two banks acquired in the fourth quarter of 2004 that were not included in last year’s results. Salaries and employee benefit costs of $26.3 million increased $6.7 million, or 34%, with approximately $2.7 million resulting from acquisitions and recent de novo expansion. The balance was due to an increase in staff to support business growth and related hiring costs and higher commissions related to the increase in mortgage and brokerage revenue.
Communications and equipment expenses increased $656,000 to $3.5 million due to the 2004 acquisitions and investments in technology equipment to support business growth. Advertising and marketing expense rose $560,000 to $1.7 million reflecting initiatives to raise core deposits and generate brand recognition in new markets. Occupancy expense increased $391,000 to $2.7 million reflecting the increase in cost to operate additional banking offices added through acquisitions and de novo expansion. Professional fees were up $139,000 to $1.2 million due to higher costs related to the volume of new loans generated and overall business growth. The increase in other operating expense was due to recent acquisitions and business growth.
“Our operating efficiency ratio of 61.16% for the quarter was slightly above our long-term efficiency goal of 58% to 60%, reflecting the higher operating costs of our recent de novo expansion into Gainesville,” Tallent said.
“Looking forward, we believe United Community Banks is on target to complete the year with operating earnings per share growth within our long-term goal of 12% to 15%, but at the lower end of the range this year due to our significant strategic expansion in the Gainesville market,” Tallent said. “We anticipate core loan growth will continue at the high end of our targeted range of 10% to 14% and net interest margin could come down slightly from our current level due to expected pricing competition for deposits. For 2006, we look forward to an operating earnings per share growth rate within our long-term goal of 12% to 15%, core loan growth within our targeted range of 10% to 14%, and our net interest margin could trend down slightly to the 4% range as we continue to fund loan growth with deposits. Our outlook is based on a continued, stable economic environment in our markets combined with maintaining strong credit quality.
“We remain committed to excellent customer service, superior operating performance and solid credit quality as we continue to grow our franchise,” Tallent added. “Our balanced growth strategy — delivering strong internal growth in our markets complemented by selective de novo offices and merger expansion — will continue as the foundation for superior performance and building long-term shareholder value.”
Conference Call
United Community Banks will hold a conference call on Tuesday, October 25, 2005, at 11:00 a.m. ET to discuss the contents of this news release, as well as business highlights for the quarter and the financial outlook for the remainder of the year. The telephone number for the conference call is (800) 798-2801 and the pass code is “UCBI.” The conference call will also be available by web cast within the Investor Relations section of the company’s web site.
United Community Banks will hold a conference call on Tuesday, October 25, 2005, at 11:00 a.m. ET to discuss the contents of this news release, as well as business highlights for the quarter and the financial outlook for the remainder of the year. The telephone number for the conference call is (800) 798-2801 and the pass code is “UCBI.” The conference call will also be available by web cast within the Investor Relations section of the company’s web site.
About United Community Banks, Inc.
Headquartered in Blairsville, United Community Banks is the third-largest bank holding company in Georgia. As of September 30, 2005, United Community Banks had assets of $5.7 billion and operated 24 community banks with 88 banking offices located throughout north Georgia, metro Atlanta, coastal Georgia, western North Carolina and east Tennessee. The company specializes in providing personalized community banking services to
Headquartered in Blairsville, United Community Banks is the third-largest bank holding company in Georgia. As of September 30, 2005, United Community Banks had assets of $5.7 billion and operated 24 community banks with 88 banking offices located throughout north Georgia, metro Atlanta, coastal Georgia, western North Carolina and east Tennessee. The company specializes in providing personalized community banking services to
individuals and small to mid-size businesses in its markets. United Community Banks also offers the convenience of 24-hour access to its services through a network of ATMs, telephone and on-line banking. United Community Banks common stock is listed on the Nasdaq National Market under the symbol UCBI. Additional information may be found at the company’s web site,ucbi.com.
Safe Harbor
This news release contains forward-looking statements, as defined by Federal Securities Laws, including statements about financial outlook and business environment. These statements are provided to assist in the understanding of future financial performance and such performance involves risks and uncertainties that may cause actual results to differ materially from those in such statements. Any such statements are based on current expectations and involve a number of risks and uncertainties. For a discussion of factors that may cause such forward-looking statements to differ materially from actual results, please refer to the section entitled “Forward Looking Statements” on page 4 of United Community Banks, Inc. annual report filed on Form 10-K with the Securities and Exchange Commission.
This news release contains forward-looking statements, as defined by Federal Securities Laws, including statements about financial outlook and business environment. These statements are provided to assist in the understanding of future financial performance and such performance involves risks and uncertainties that may cause actual results to differ materially from those in such statements. Any such statements are based on current expectations and involve a number of risks and uncertainties. For a discussion of factors that may cause such forward-looking statements to differ materially from actual results, please refer to the section entitled “Forward Looking Statements” on page 4 of United Community Banks, Inc. annual report filed on Form 10-K with the Securities and Exchange Commission.
(Tables Follow)
UNITED COMMUNITY BANKS, INC.
Selected Financial Information
For the Three and Nine Months Ended September 30, 2005
Selected Financial Information
For the Three and Nine Months Ended September 30, 2005
Third | ||||||||||||||||||||||||||||||||||||
2005 | 2004 | Quarter | For the Nine | YTD | ||||||||||||||||||||||||||||||||
(in thousands, except per share | Third | Second | First | Fourth | Third | 2005-2004 | Months Ended | 2005-2004 | ||||||||||||||||||||||||||||
data; taxable equivalent) | Quarter | Quarter | Quarter | Quarter | Quarter | Change | 2005 | 2004 | Change | |||||||||||||||||||||||||||
INCOME SUMMARY | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||||||||||||||||||||
Interest revenue | $ | 89,003 | $ | 80,701 | $ | 73,649 | $ | 66,761 | $ | 61,358 | $ | 243,353 | $ | 172,625 | ||||||||||||||||||||||
Interest expense | 34,033 | 29,450 | 25,367 | 21,448 | 19,142 | 88,850 | 53,346 | |||||||||||||||||||||||||||||
Net interest revenue | 54,970 | 51,251 | 48,282 | 45,313 | 42,216 | 30 | % | 154,503 | 119,279 | 30 | % | |||||||||||||||||||||||||
Provision for loan losses | 3,400 | 2,800 | 2,400 | 2,000 | 2,000 | 8,600 | 5,600 | |||||||||||||||||||||||||||||
Fee revenue | 12,396 | 12,179 | 10,200 | 10,757 | 9,857 | 26 | 34,775 | 28,782 | 21 | |||||||||||||||||||||||||||
Total revenue | 63,966 | 60,630 | 56,082 | 54,070 | 50,073 | 28 | 180,678 | 142,461 | 27 | |||||||||||||||||||||||||||
Operating expenses(1) | 41,294 | 38,808 | 34,779 | 33,733 | 31,296 | 32 | 114,881 | 88,835 | 29 | |||||||||||||||||||||||||||
Income before taxes | 22,672 | 21,822 | 21,303 | 20,337 | 18,777 | 21 | 65,797 | 53,626 | 23 | |||||||||||||||||||||||||||
Income taxes | 8,374 | 8,049 | 7,862 | 7,427 | 6,822 | 24,285 | 19,380 | |||||||||||||||||||||||||||||
Net operating income | 14,298 | 13,773 | 13,441 | 12,910 | 11,955 | 20 | 41,512 | 34,246 | 21 | |||||||||||||||||||||||||||
Merger-related charges, net of tax | — | — | — | 261 | — | — | 304 | |||||||||||||||||||||||||||||
Net income | $ | 14,298 | $ | 13,773 | $ | 13,441 | $ | 12,649 | $ | 11,955 | 20 | $ | 41,512 | $ | 33,942 | 22 | ||||||||||||||||||||
OPERATING PERFORMANCE (1) | ||||||||||||||||||||||||||||||||||||
Earnings per common share: | ||||||||||||||||||||||||||||||||||||
Basic | $ | .37 | $ | .36 | $ | .35 | $ | .35 | $ | .33 | 12 | $ | 1.08 | $ | .96 | 13 | ||||||||||||||||||||
Diluted | .36 | .35 | .34 | .34 | .32 | 13 | 1.05 | .93 | 13 | |||||||||||||||||||||||||||
Return on tangible equity(3) | 18.90 | % | 19.21 | % | 19.86 | % | 19.96 | % | 19.41 | % | 19.30 | % | 19.67 | % | ||||||||||||||||||||||
Return on assets | 1.01 | 1.03 | 1.06 | 1.07 | 1.05 | 1.03 | 1.07 | |||||||||||||||||||||||||||||
Efficiency ratio | 61.16 | 61.18 | 59.47 | 60.20 | 60.11 | 60.64 | 60.00 | |||||||||||||||||||||||||||||
Dividend payout ratio | 18.92 | 19.44 | 20.00 | 17.14 | 18.18 | 19.44 | 18.75 | |||||||||||||||||||||||||||||
GAAP PERFORMANCE | ||||||||||||||||||||||||||||||||||||
Per common share: | ||||||||||||||||||||||||||||||||||||
Basic earnings | $ | .37 | $ | .36 | $ | .35 | $ | .34 | $ | .33 | 12 | $ | 1.08 | $ | .95 | 14 | ||||||||||||||||||||
Diluted earnings | .36 | .35 | .34 | .33 | .32 | 13 | 1.05 | .92 | 14 | |||||||||||||||||||||||||||
Cash dividends declared | .07 | .07 | .07 | .06 | .06 | 17 | .21 | .18 | 17 | |||||||||||||||||||||||||||
Book value | 11.04 | 10.86 | 10.42 | 10.39 | 9.58 | 15 | 11.04 | 9.58 | 15 | |||||||||||||||||||||||||||
Tangible book value(3) | 8.05 | 7.85 | 7.40 | 7.34 | 7.28 | 11 | 8.05 | 7.28 | 11 | |||||||||||||||||||||||||||
Key performance ratios: | ||||||||||||||||||||||||||||||||||||
Return on equity(2) | 13.42 | % | 13.46 | % | 13.68 | % | 14.15 | % | 14.20 | % | 13.51 | % | 14.48 | % | ||||||||||||||||||||||
Return on assets | 1.01 | 1.03 | 1.06 | 1.05 | 1.05 | 1.03 | 1.06 | |||||||||||||||||||||||||||||
Net interest margin | 4.17 | 4.12 | 4.05 | 4.05 | 3.99 | 4.12 | 3.98 | |||||||||||||||||||||||||||||
Dividend payout ratio | 18.92 | 19.44 | 20.00 | 17.65 | 18.18 | 19.44 | 18.95 | |||||||||||||||||||||||||||||
Equity to assets | 7.46 | 7.65 | 7.71 | 7.54 | 7.50 | 7.60 | 7.42 | |||||||||||||||||||||||||||||
Tangible equity to assets(3) | 5.53 | 5.62 | 5.58 | 5.75 | 5.76 | 5.57 | 5.79 | |||||||||||||||||||||||||||||
ASSET QUALITY | ||||||||||||||||||||||||||||||||||||
Allowance for loan losses | $ | 51,888 | $ | 49,873 | $ | 48,453 | $ | 47,196 | $ | 43,548 | $ | 51,888 | $ | 43,548 | ||||||||||||||||||||||
Non-performing assets | 13,565 | 13,495 | 13,676 | 8,725 | 10,527 | 13,565 | 10,527 | |||||||||||||||||||||||||||||
Net charge-offs | 1,385 | 1,380 | 1,143 | 1,183 | 1,010 | 3,908 | 2,434 | |||||||||||||||||||||||||||||
Allowance for loan losses to loans | 1.22 | % | 1.22 | % | 1.25 | % | 1.26 | % | 1.27 | % | 1.22 | % | 1.27 | % | ||||||||||||||||||||||
Non-performing assets to total assets | .24 | .24 | .26 | .17 | .23 | .24 | .23 | |||||||||||||||||||||||||||||
Net charge-offs to average loans | .13 | .14 | .12 | .13 | .12 | .13 | .10 | |||||||||||||||||||||||||||||
AVERAGE BALANCES | ||||||||||||||||||||||||||||||||||||
Loans | $ | 4,169,170 | $ | 3,942,077 | $ | 3,797,479 | $ | 3,572,824 | $ | 3,384,281 | 23 | $ | 3,970,937 | $ | 3,239,005 | 23 | ||||||||||||||||||||
Investment securities | 1,008,687 | 996,096 | 946,194 | 805,766 | 762,994 | 32 | 983,889 | 710,674 | 38 | |||||||||||||||||||||||||||
Earning assets | 5,239,195 | 4,986,339 | 4,819,961 | 4,456,403 | 4,215,472 | 24 | 5,016,702 | 4,006,149 | 25 | |||||||||||||||||||||||||||
Total assets | 5,608,158 | 5,338,398 | 5,164,464 | 4,781,018 | 4,521,842 | 24 | 5,371,966 | 4,294,555 | 25 | |||||||||||||||||||||||||||
Deposits | 4,078,437 | 3,853,884 | 3,717,916 | 3,500,842 | 3,351,188 | 22 | 3,884,733 | 3,162,588 | 23 | |||||||||||||||||||||||||||
Stockholders’ equity | 418,459 | 408,352 | 398,164 | 360,668 | 338,913 | 23 | 408,399 | 318,668 | 28 | |||||||||||||||||||||||||||
Common shares outstanding: | ||||||||||||||||||||||||||||||||||||
Basic | 38,345 | 38,270 | 38,198 | 37,056 | 36,254 | 38,272 | 35,738 | |||||||||||||||||||||||||||||
Diluted | 39,670 | 39,436 | 39,388 | 38,329 | 37,432 | 39,499 | 36,917 | |||||||||||||||||||||||||||||
AT PERIOD END | ||||||||||||||||||||||||||||||||||||
Loans | $ | 4,254,051 | $ | 4,072,811 | $ | 3,877,575 | $ | 3,734,905 | $ | 3,438,417 | 24 | $ | 4,254,051 | $ | 3,438,417 | 24 | ||||||||||||||||||||
Investment securities | 945,922 | 990,500 | 928,328 | 879,978 | 726,734 | 30 | 945,922 | 726,734 | 30 | |||||||||||||||||||||||||||
Earning assets | 5,302,532 | 5,161,067 | 4,907,743 | 4,738,389 | 4,280,643 | 24 | 5,302,532 | 4,280,643 | 24 | |||||||||||||||||||||||||||
Total assets | 5,709,666 | 5,540,242 | 5,265,771 | 5,087,702 | 4,592,655 | 24 | 5,709,666 | 4,592,655 | 24 | |||||||||||||||||||||||||||
Deposits | 4,196,369 | 3,959,226 | 3,780,521 | 3,680,516 | 3,341,525 | 26 | 4,196,369 | 3,341,525 | 26 | |||||||||||||||||||||||||||
Stockholders’ equity | 424,000 | 415,994 | 398,886 | 397,088 | 347,795 | 22 | 424,000 | 347,795 | 22 | |||||||||||||||||||||||||||
Common shares outstanding | 38,383 | 38,283 | 38,249 | 38,168 | 36,255 | 38,383 | 36,255 |
(1) | Excludes pre-tax merger-related charges totaling $406,000 or $.01 per diluted common share and $464,000 or $.01 per diluted common share in the fourth and second quarters of 2004, respectively. | |
(2) | Net income available to common stockholders divided by average realized common equity which excludes accumulated other comprehensive income. | |
(3) | Excludes effect of acquisition related intangibles and associated amortization. | |
(4) | Annualized. |
UNITED COMMUNITY BANKS, INC.
Consolidated Statement of Income
For the Three and Nine Months Ended September 30, 2005 and 2004
Consolidated Statement of Income
For the Three and Nine Months Ended September 30, 2005 and 2004
Three Months Ended | Nine Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
(in thousands, except per share data) | 2005 | 2004 | 2005 | 2004 | ||||||||||||
Interest revenue: | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | ||||||||||||
Loans, including fees | $ | 77,470 | $ | 53,023 | $ | 210,383 | $ | 149,771 | ||||||||
Federal funds sold and deposits in banks | 253 | 181 | 662 | 358 | ||||||||||||
Investment securities: | ||||||||||||||||
Taxable | 10,340 | 7,254 | 29,544 | 19,662 | ||||||||||||
Tax exempt | 520 | 514 | 1,573 | 1,625 | ||||||||||||
Total interest revenue | 88,583 | 60,972 | 242,162 | 171,416 | ||||||||||||
Interest expense: | ||||||||||||||||
Deposits: | ||||||||||||||||
Demand | 5,187 | 2,151 | 13,093 | 5,865 | ||||||||||||
Savings | 223 | 98 | 565 | 274 | ||||||||||||
Time | 17,653 | 10,608 | 45,680 | 29,678 | ||||||||||||
Federal funds purchased | 1,407 | 573 | 3,384 | 1,343 | ||||||||||||
Other borrowings | 9,563 | 5,712 | 26,128 | 16,186 | ||||||||||||
Total interest expense | 34,033 | 19,142 | 88,850 | 53,346 | ||||||||||||
Net interest revenue | 54,550 | 41,830 | 153,312 | 118,070 | ||||||||||||
Provision for loan losses | 3,400 | 2,000 | 8,600 | 5,600 | ||||||||||||
Net interest revenue after provision for loan losses | 51,150 | 39,830 | 144,712 | 112,470 | ||||||||||||
Fee revenue: | ||||||||||||||||
Service charges and fees | 6,627 | 5,559 | 18,521 | 15,894 | ||||||||||||
Mortgage loan and other related fees | 2,367 | 1,747 | 5,592 | 4,612 | ||||||||||||
Consulting fees | 1,777 | 1,426 | 4,944 | 3,955 | ||||||||||||
Brokerage fees | 571 | 377 | 1,781 | 1,600 | ||||||||||||
Securities (losses) gains, net | (153 | ) | 398 | (155 | ) | 394 | ||||||||||
Loss on prepayments of borrowings | — | (391 | ) | — | (391 | ) | ||||||||||
Other | 1,207 | 741 | 4,092 | 2,718 | ||||||||||||
Total fee revenue | 12,396 | 9,857 | 34,775 | 28,782 | ||||||||||||
Total revenue | 63,546 | 49,687 | 179,487 | 141,252 | ||||||||||||
Operating expenses: | ||||||||||||||||
Salaries and employee benefits | 26,334 | 19,636 | 73,843 | 56,424 | ||||||||||||
Occupancy | 2,743 | 2,352 | 8,129 | 6,907 | ||||||||||||
Communications and equipment | 3,484 | 2,828 | 9,581 | 8,052 | ||||||||||||
Postage, printing and supplies | 1,426 | 1,214 | 4,146 | 3,424 | ||||||||||||
Professional fees | 1,174 | 1,035 | 3,283 | 2,667 | ||||||||||||
Advertising and public relations | 1,683 | 1,123 | 4,745 | 2,878 | ||||||||||||
Amortization of intangibles | 503 | 442 | 1,509 | 1,208 | ||||||||||||
Merger-related charges | — | — | — | 464 | ||||||||||||
Other | 3,947 | 2,666 | 9,645 | 7,275 | ||||||||||||
Total operating expenses | 41,294 | 31,296 | 114,881 | 89,299 | ||||||||||||
Income before income taxes | 22,252 | 18,391 | 64,606 | 51,953 | ||||||||||||
Income taxes | 7,954 | 6,436 | 23,094 | 18,011 | ||||||||||||
Net income | $ | 14,298 | $ | 11,955 | $ | 41,512 | $ | 33,942 | ||||||||
Net income available to common stockholders | $ | 14,293 | $ | 11,955 | $ | 41,494 | $ | 33,925 | ||||||||
Earnings per common share: | ||||||||||||||||
Basic | $ | .37 | $ | .33 | $ | 1.08 | $ | .95 | ||||||||
Diluted | .36 | .32 | 1.05 | .92 | ||||||||||||
Weighted average common shares outstanding (in thousands): | ||||||||||||||||
Basic | 38,345 | 36,254 | 38,272 | 35,738 | ||||||||||||
Diluted | 39,670 | 37,432 | 39,499 | 36,917 |
UNITED COMMUNITY BANKS, INC.
Consolidated Balance Sheet
For the period ended
Consolidated Balance Sheet
For the period ended
September 30, | December 31, | September 30, | ||||||||||
($ in thousands) | 2005 | 2004 | 2004 | |||||||||
ASSETS | (Unaudited) | (Audited) | (Unaudited) | |||||||||
Cash and due from banks | $ | 139,147 | $ | 99,742 | $ | 102,457 | ||||||
Interest-bearing deposits in banks | 28,935 | 35,098 | 57,465 | |||||||||
Cash and cash equivalents | 168,082 | 134,840 | 159,922 | |||||||||
Securities available for sale | 945,922 | 879,978 | 726,734 | |||||||||
Mortgage loans held for sale | 28,539 | 37,094 | 19,189 | |||||||||
Loans, net of unearned income | 4,254,051 | 3,734,905 | 3,438,417 | |||||||||
Less — allowance for loan losses | 51,888 | 47,196 | 43,548 | |||||||||
Loans, net | 4,202,163 | 3,687,709 | 3,394,869 | |||||||||
Premises and equipment, net | 109,468 | 103,679 | 92,918 | |||||||||
Interest receivable | 36,108 | 27,923 | 28,108 | |||||||||
Intangible assets | 119,154 | 121,207 | 87,381 | |||||||||
Other assets | 100,230 | 95,272 | 83,534 | |||||||||
Total assets | $ | 5,709,666 | $ | 5,087,702 | $ | 4,592,655 | ||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||
Liabilities: | ||||||||||||
Deposits: | ||||||||||||
Demand | $ | 637,296 | $ | 532,879 | $ | 491,123 | ||||||
Interest-bearing demand | 1,180,125 | 1,055,192 | 910,699 | |||||||||
Savings | 175,864 | 171,898 | 166,184 | |||||||||
Time | 2,203,084 | 1,920,547 | 1,773,519 | |||||||||
Total deposits | 4,196,369 | 3,680,516 | 3,341,525 | |||||||||
Federal funds purchased and repurchase agreements | 157,347 | 130,921 | 178,335 | |||||||||
Federal Home Loan Bank advances | 775,251 | 737,947 | 585,513 | |||||||||
Other borrowings | 118,168 | 113,879 | 113,878 | |||||||||
Accrued expenses and other liabilities | 38,531 | 27,351 | 25,609 | |||||||||
Total liabilities | 5,285,666 | 4,690,614 | 4,244,860 | |||||||||
Stockholders’ equity: | ||||||||||||
Preferred stock, $1 par value; $10 stated value; 10,000,000 shares authorized; 37,200, 44,800 and 44,800 shares issued and outstanding | 372 | 448 | 448 | |||||||||
Common stock, $1 par value; 100,000,000 shares authorized; 38,407,874, 38,407,874 and 36,620,754 shares issued | 38,408 | 38,408 | 36,621 | |||||||||
Capital surplus | 153,712 | 155,076 | 116,075 | |||||||||
Retained earnings | 238,144 | 204,709 | 194,350 | |||||||||
Treasury stock; 24,449, 240,346 and 366,112 shares, at cost | (671 | ) | (4,413 | ) | (6,251 | ) | ||||||
Accumulated other comprehensive (loss) income | (5,965 | ) | 2,860 | 6,552 | ||||||||
Total stockholders’ equity | 424,000 | 397,088 | 347,795 | |||||||||
Total liabilities and stockholders’ equity | $ | 5,709,666 | $ | 5,087,702 | $ | 4,592,655 | ||||||