Overview

* United Community Banks ( UCB ) Q3 revenue grows 27% yr/yr, beating analysts' expectations

* Adjusted EPS for Q3 beats consensus, rising 32% yr/yr

Outlook

* Company did not provide specific guidance for future quarters or the full year

Result Drivers

* LOAN AND DEPOSIT GROWTH - Loans grew by $254 mln while customer deposits, excluding seasonal outflow of public funds, were up $137 mln

* LOWER CREDIT LOSS PROVISION - Co reports improved financial results partly due to reduced credit loss provisions

* MARGIN EXPANSION - Co attributes margin expansion to lower cost of funds and improving asset mix

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $276.80 $271.10

Revenue mln mln (6

Analysts

)

Q3 Beat $0.75 $0.70 (7

Adjusted Analysts

EPS )

Q3 EPS $0.70

Q3 Net $91.49

Income mln

Q3 $7.90

Credit mln

Loss

Provisio

n

Q3 ROCE 9.20%

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the banks peer group is "buy"

* Wall Street's median 12-month price target for United Community Banks Inc ( UCB ) is $35.75, about 15.5% above its October 21 closing price of $30.22

* The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)