United Bankshares, Inc. ("United") (NASDAQ:UBSI), a $30 billion regional financial services company, held its Annual Meeting of Shareholders on Wednesday, May 15, 2024, at Congressional Country Club in Bethesda, Md.
During the meeting, United Executive Chairman of the Board Richard M. Adams addressed shareholders by highlighting several key points from the 2023 Annual Report to Shareholders.
2023 was a year of growth, profitability, and soundness for United. The Company grew loans, grew deposits, and increased its net interest margin versus the prior year. In addition, United delivered above-peer results with its return on average assets and efficiency ratio, and reduced its non-performing assets, built its reserve, and boosted its capital levels. Capital was king in 2023, and United has some of the highest capital levels in the industry. Despite a down and difficult year for bank stock performance, the Company continued to trade at a premium to its peers.
"In 2023, we increased dividends to our shareholders for the 50th consecutive year," said Adams. "This is a truly remarkable achievement. Out of thousands of publicly traded companies in the U.S., fewer than 60 have achieved such a record. Our consistency in increasing dividends to shareholders is evidence of our long track record of strong financial performance – profitability, solid asset quality, and sound capital position."
Another achievement for United was being named the Most Trustworthy Bank in the nation by Newsweek. This #1 ranking is a true testament to the Company's unwavering commitment to providing excellence in service to its customers, shareholders, employees, and communities over many, many years.
The banking industry faced many challenges in 2023, including an historic year for bank failures as we witnessed three of the four largest failures ever in this country. Adams shared, "These failures were specific, distinct, and particular to those banks and were not indicative of the strength of the banking industry. However, bank stocks were hit hard."
That said, United's financial performance in 2024 continues to be strong. To quote Raymond James' Research Report of April 26, 2024, "UBSI's first quarter achieved solid results in a challenging environment: Rated Outperform" with a $41.00 price target.
"This year, we are projected to increase dividends for the 51st consecutive year, as we celebrate our 185th anniversary. More good news is that we announced the 34th acquisition of the current administration on May 10, with Piedmont Bancorp headquartered in Atlanta, Georgia. This acquisition gives us a great presence in one of the best banking markets in the country and will make United the 39th largest banking company in the nation based on market capitalization," said Adams.
Adams also highlighted United's strong continued commitment to its communities. He noted, "Our team members give untold hours of service to many community organizations, and our Company made substantial contributions to numerous worthwhile community organizations. As I have said many times before, our competitive advantage is our people. Every day we make a positive difference in the lives of those we serve."
During the meeting, it was announced that the following directors were elected by the shareholders to serve on the Board of Directors until the 2025 Annual Meeting: Richard M. Adams, Executive Chairman; Richard M. Adams, Jr., Chief Executive Officer, United Bankshares, Inc.; Charles L. Capito, Jr., Former Managing Director, Wells Fargo Advisors Complex; Peter A. Converse, Former President and CEO, Virginia Commerce Bancorp, Inc.; Michael P. Fitzgerald, Former Co-Founder, Chairman, CEO and President, Bank of Georgetown; Patrice A. Harris, MD, MA, FAPA, Psychiatrist and Chief Executive Officer, eMed; Diana Lewis Jackson, President and Founder, Action Facilities Management; J. Paul Mc- Namara, Chairman, Potomac Capital Advisors; Mark R. Nesselroad, Chief Executive Officer, Glenmark Holding, LLC; Lacy I. Rice, III, Co-founder and Managing Partner, Federated Capital Partners; Albert H. Small, Jr., Founder and President, Renaissance Centro Inc., LLC; Mary K. Weddle, CPA, Former Executive Vice President, Long and Foster Companies; Gary G. White, Principal Consultant, JRW, LLC, and Former Interim President, Marshall University; and P. Clinton Winter, President, Bray & Oakley Insurance Agency, Inc.
In addition to the election of Directors, other proposals were approved by shareholders: ratification of the selection of Ernst & Young LLP to act as the independent registered public accounting firm for 2024 and approval, on an advisory basis, of the compensation of United's named executive officers.
After the shareholder proposals were approved, Executive Chairman Adams introduced Richard M. (Rick) Adams, Jr., Chief Executive Officer, who discussed the current industry environment, and the continued strength of United.
About United Bankshares, Inc.
As of March 31, 2024, United had consolidated assets of approximately $30.0 billion and is the 39th largest banking company in the U.S. based on market capitalization. United is the parent company of United Bank, which comprises more than 225 offices located throughout Washington, D.C., Virginia, West Virginia, Maryland, North Carolina, South Carolina, Ohio, Pennsylvania, and Georgia. United's stock is traded on the NASDAQ Global Select Market under the quotation symbol "UBSI".
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