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EX - 99.1 2 tm2113494d1_ex99-1.htm EXHIBIT 99.1 U United UNITED COMMUNITY BANKS , INC . For Immediate Release For more information : Jefferson Harralson Chief Financial Officer ( 864 ) 240-6208 Jefferson Harralson@ucbi.com Exhibit 99.1 United Community Banks , Inc. Reports First Quarter Results EPS of $ 0.82 , Return on Assets of 1.62 % and Return on Common Equity of 15.4 % GREENVILLE , SC - April 20 , 2021 - United Community Banks , Inc. ( NASDAQ : UCBI ) ( United ) today announced that net income for the first quarter reached a record $ 73.7 million and pre - tax , pre - provision income was $ 81.6 million . The quarter benefited from an allowance release of $ 12.3 million , as economic conditions and forecasts continue to improve . Diluted earnings per share of $ 0.82 for the quarter represented an increase of $ 0.42 or 105 % , from the first quarter a year ago , and represented an increase of $ 0.16 or 24 % over the fourth quarter of 2020. On an operating basis , United's diluted earnings per share of $ 0.83 was an increase of 102 % over the year ago quarter . United's GAAP return on assets ( ROA ) was 1.62 % and its return on common equity was 15.4 % for the quarter . On an operating basis , United's ROA was 1.65 % and its return on tangible common equity was 19.7 % . On a pre - tax , pre - provision basis , return on assets was 1.83 % for the quarter . Chairman and CEO Lynn Harton stated , " We continue to have strong performance across our businesses and markets , driven by an improving economy , southeastern markets that are outperforming national averages , and great execution by our bankers . Loan growth , while slower than the previous two quarters , continues to be positive and deposit growth continues at a strong pace . Credit results were outstanding and we believe the record stimulus , strong liquidity levels of consumers and businesses , and pent up demand has the potential to deliver strong economic growth for several quarters . " Total loans increased by $ 308 million during the quarter - impacted by a $ 237 million increase in SBA Paycheck Protection Program ( PPP ) loans . During the quarter , United funded nearly 5,100 loans totaling $ 518 million , and had $ 311 million in PPP loans forgiven . Excluding the effect of PPP loans , core organic loan growth was 3 % annualized . Core transaction deposits grew by $ 948 million during the quarter , or 33 % annualized , and United's cost of deposits decreased by 3 basis points to 0.14 % . The net interest margin decreased by 33 basis points from the fourth quarter due mainly to a $ 9.5 million decline in the recognition of PPP fees , as well as $ 1.8 million less purchased loan accretion . Excluding these items , the net interest margin decreased by approximately 7 basis points from the fourth quarter due to a combination of factors , including lower overall market rates and increased liquidity . Mr. Harton concluded , " We are excited about the ongoing opportunities in our markets and look forward to the rest of 2021. I also want to recognize our entire team for their performance . Earlier this quarter , Forbes recognized United on its 2021 list of the 100 Best Banks in America for the eighth consecutive year . Forbes ' ranks the banks based on growth , credit quality and profitability and United was again a standout . I am incredibly proud of our employees who make this type of recognition possible through their tireless dedication to our customers , our culture and fulfilling our performance mission . "