Union Bankshares Corporation Reports Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended September 30, 2018; Announces Net Charge-Offs for the Third Quarter Ended September 30, 2018; Provides Tax Rate Guidance for the Fourth Quarter of 2018
October 17, 2018 at 07:45 am EDT
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Union Bankshares Corporation reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2018. For the quarter, the company reported total interest and dividend income of $131,363,000 against $84,499,000 a year ago. Net interest income was $105,963,000 against $70,847,000 a year ago. Net interest income after provision for credit losses was $102,623,000 against $67,791,000 a year ago. Income from continuing operations was $38,762,000 against $20,420,000 a year ago. Net income was $38,197,000 compared to $20,658,000 a year ago. Net operating earnings were $39,326,000 or $0.60 diluted per share against $21,319,000 or $0.49 diluted per share a year ago. Basic and diluted earnings per common share were $0.58 against $0.47 a year ago. Return on average assets was 1.17% against 0.91% a year ago. Return on average equity was 8.06% against 7.90% a year ago. Book value per common share was $28.68 against $24.00 for the same period a year ago. Tangible book value per common share was $16.79 against $16.76 for the same period a year ago.
For the nine months period, the company reported total interest and dividend income of $388,151,000 against $241,865,000 a year ago. Net interest income was $317,602,000 against $205,918,000 a year ago. Net interest income after provision for credit losses was $308,591,000 against $198,574,000 a year ago. Income from continuing operations was $105,136,000 against $57,084,000 a year ago. Net income was $102,163,000 compared to $57,737,000 a year ago. Net operating earnings were $132,065,000 or $2.01 diluted per share against $60,757,000 or $1.39 diluted per share a year ago. Basic and diluted earnings per common share were $1.55 against $1.32 a year ago. Return on average assets was 1.05% against 0.88% a year ago. Return on average equity was 7.38% against 7.53% a year ago. Book value per common share was $28.68 against $24.00 for the same period a year ago. Tangible book value per common share was $16.79 against $16.76 for the same period a year ago.
For the third quarter of 2018, net charge-offs were $3.2 million. The majority of net charge-offs in the third quarter of 2018 were related to consumer loans.
For the fourth quarter, the company expects an effective tax rate of approximately 17.5% going forward in the fourth quarter and beyond.
Atlantic Union Bankshares Corporation is the holding company for Atlantic Union Bank. The Company's segments include Wholesale Banking, Consumer Banking and Corporate Other. The Wholesale Banking segment provides loan, leasing and deposit services, as well as treasury management, small business administration (SBA) lending and capital market services to its wholesale customers primarily throughout Virginia, Maryland, North Carolina, and South Carolina. These customers include commercial real estate and commercial and industrial customers. This segment also includes its equipment finance subsidiary, Atlantic Union Equipment Finance. The private banking and trust businesses also reside in the Wholesale Banking segment. The Consumer Banking segment provides loan and deposit services to consumers and small businesses throughout Virginia, Maryland and North Carolina. The Consumer Banking segment includes its home loan division and its investment management and advisory services businesses.
Union Bankshares Corporation Reports Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended September 30, 2018; Announces Net Charge-Offs for the Third Quarter Ended September 30, 2018; Provides Tax Rate Guidance for the Fourth Quarter of 2018