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PARKERSBURG -- United Bankshares Inc. has reported earnings for the third quarter and first nine months of 2023.
The company reported 2023 third quarter earnings of $96.2 million, or 71 cents per diluted share, as compared to earnings of $92.5 million, or 68 cents per diluted share, for the second quarter of 2023. Earnings for the third quarter of 2022 were $102.6 million, or 76 cents per diluted share.
"Third quarter results saw accelerated growth and profitability, while maintaining our strong capital, liquidity and asset quality positions," Richard M. Adams Jr., United chief executive officer, said. "I'm pleased with the resilient performance we continue to deliver in this environment."
Third quarter of 2023 results produced annualized returns on average assets, average equity and average tangible equity, a non-GAAP measure, of 1.31%, 8.14% and 13.71%, respectively, compared to annualized returns on average assets, average equity and average tangible equity of 1.26%, 7.96% and 13.47%, respectively, for the second quarter of 2023.
Net interest income for the third quarter of 2023 increased $992,000, or less than 1%, from the second quarter of 2023. Tax-equivalent net interest income, a non-GAAP measure which adjusts for the tax-favored status of income from certain loans and investments, for the third quarter of 2023 increased $717,000, or less than 1%, from the second quarter of 2023.
Earnings for the third quarter of 2023 were $96.2 million, or 71 cents per diluted share, as compared to earnings of $102.6 million, or 76 cents per diluted share, for the third quarter of 2022.
Net interest income for the third quarter of 2023 decreased $12.2 million, or 5%, from the third quarter of 2022. Tax-equivalent net interest income for the third quarter of 2023 decreased $12.4 million, or 5%, from the third quarter of 2022. The decrease in net interest income and tax-equivalent net interest income was primarily due to higher interest expense driven by deposit rate repricing, higher average balances and cost of long-term borrowings, lower acquired loan accretion income and lower income from Paycheck Protection Program ("PPP") loan fees.
Earnings for the first nine months of 2023 were $286.9 million, or $2.12 per diluted share, as compared to earnings of $279.9 million, or $2.06 per diluted share, for the first nine months of 2022. Net interest income for the first nine months of 2023 increased $43.2 million, or 7%, from the first nine months of 2022.
The increase in net interest income and tax-equivalent net interest income was primarily due to the impact of rising market interest rates on earning assets, organic loan growth and a change in the asset mix to higher earning assets.
These increases were partially offset by higher interest expense primarily driven by deposit rate repricing, higher average balances and cost of long-term borrowings, lower income from PPP loan fees and lower acquired loan accretion income.
United Bankshares as of Sept. 30 had consolidated assets of $29.2 billion. United is the parent company of United Bank that has about 250 offices in Virginia, Maryland, Washington, D.C., North Carolina, South Carolina, Georgia, Pennsylvania, West Virginia and Ohio. United's stock is traded on the NASDAQ Global Select Market under the quotation symbol "UBSI."