United Community Banks (NYSE:UCB) delivered a strong opening to 2026, reporting double-digit revenue growth and expanding profit margins.
Alongside its financial results, the Greenville, South Carolina-based bank announced a definitive agreement to acquire Peach State Bancshares, a strategic move aimed at solidifying its market share in the fast-growing North Georgia corridor.
For the quarter ended March 31, 2026, United Community reported net income of $84.3 million.
Diluted GAAP earnings per share (EPS) rose to $0.69, while operating EPS—which excludes merger-related charges—reached $0.70, a 19% increase over the prior-year period.
Total revenue for the quarter climbed 12% year-over-year to $276.5 million, driven by a widening net interest margin, which reached 3.65%, up 29 basis points from 2025.
The bank’s $100.8 million acquisition of Peach State Bancshares, parent of Peach State Bank & Trust, will add approximately $788 million in assets and two high-performing branches in Gainesville and Braselton, Georgia.
Under the terms of the deal, Peach State shareholders can elect to receive either $31.75 in cash or 0.8978 shares of United stock per share held.
The transaction is expected to be 3% to 4% accretive to United’s earnings per share in 2027 and is targeted to close in the third quarter of 2026.
United Community also demonstrated an aggressive capital management strategy during the quarter.
The bank repurchased 1.09 million shares of its common stock at an average price of $33.97 and announced plans to redeem its remaining $100 million in subordinated debentures in the second quarter.
The Board of Directors also maintained the quarterly cash dividend at $0.25 per share, highlighting the bank's robust capital position with a Common Equity Tier 1 (CET1) ratio of 13.4%.