United Bankshares Reports Strong Asset Growth and Increased Net Interest Income Following Piedmont Acquisition

United Bankshares, Inc. reported a significant increase in its financial performance for the first quarter of 2025, driven largely by its recent acquisition of Piedmont Bancorp, Inc. The company’s total assets rose to $32.79 billion, a 9.21% increase from $30.02 billion at the end of 2024. This growth was primarily attributed to the addition of approximately $2.3 billion in assets from the Piedmont acquisition. Net income for the quarter was $84.31 million, down from $86.81 million in the same period last year, with diluted earnings per share at $0.59 compared to $0.64 in the prior year.

The bank's net interest income increased by 16.88% to $260.06 million, up from $222.49 million in the first quarter of 2024. This rise was fueled by a $34.47 million increase in total interest income, while total interest expense decreased by $3.10 million. The provision for credit losses also saw a notable increase, reaching $29.10 million, compared to $5.74 million in the previous year, largely due to the provision recorded on purchased non-credit deteriorated loans from Piedmont.

In terms of operational metrics, total deposits increased by $2.40 billion, or 10.03%, to $26.36 billion, with noninterest-bearing deposits rising by 5.63% and interest-bearing deposits by 11.54%. The bank's loan portfolio also expanded, with net loans increasing by 10.10% to $23.86 billion, reflecting a $2.19 billion increase primarily from the Piedmont acquisition. The bank's allowance for loan losses rose to $310.42 million, representing 1.30% of total loans, up from 1.25% at the end of 2024.

Strategically, the acquisition of Piedmont Bancorp has positioned United for further growth, adding significant assets and expanding its market presence in Georgia. The merger has also resulted in increased operational costs, with noninterest expenses rising by 9.12% to $153.57 million, largely due to merger-related expenses. Looking ahead, United anticipates that the integration of Piedmont will yield operational efficiencies and growth opportunities, although it acknowledges potential risks associated with the acquisition and broader economic conditions. The bank remains committed to maintaining a strong capital position, with a risk-based capital ratio of 15.69% as of March 31, 2025, well above regulatory requirements.