Atlantic Union Bankshares Corporation (AUB) SEC Filings & Earnings Calls

Deposit cost pressure continues; cost of funds up 7bp QoQ to 2.01%.

“higher deposit interest expense, primarily resulting from increased costs on customer interest-bearing deposits, higher brokered deposit costs” · word for word

NIM compression of 7bp QoQ driven by funding cost increases.

“net interest margin decreased 7 basis points from the prior quarter to 3.82%” · word for word

Credit Risk

“Provision for credit losses $ 11,737 $ 105,707 $ 14,475 $ 123,345”

Interest Rate Risk

“Interest expense $ 161,710 $ 189,001 $ 321,072 $ 310,672”

Integration Risk

“Merger-related costs $ — $ 78,900 $ 9,034 $ 83,840”

Refinancing risk: new notes carry higher coupon (6.25% vs 4.25%) increasing interest expense.

“New notes bear interest at 6.25% fixed rate for first 5 years, then floating at SOFR+213bps; redeemed notes had 4.25% fixed rate.”

Refinancing risk: new notes carry higher coupon (6.25% vs 4.25%) increasing interest expense.

“New notes bear interest at 6.25% fixed rate for first 5 years, then floating at SOFR+213bps; redeemed notes had 4.25% fixed rate.”

Potential dilution or increased leverage from subordinated debt issuance

“Offering of subordinated notes may increase debt service obligations”

Forward-looking statements include risks from market interest rates, economic conditions, trade policies, and regulatory changes.

“Forward-looking statements involve risks including market interest rates, economic conditions, trade policies, and regulatory changes.”

Key executive retirement may lead to transition risk in credit management, but planned succession mitigates immediate impact.

“Woolley will continue to serve until successor appointed; nationwide search initiated.”

Integration risk from Sandy Spring acquisition

“The Company expects to achieve further operating cost savings and other business synergies, as a result of the Sandy Spring acquisitions, which are not reflected in the pro forma amounts below” · word for word

Interest rate risk from AFS securities portfolio

“Unrealized losses on AFS securities increased to $333.1M at March 31, 2026 from $315.5M at December 31, 2025”

Credit risk from commercial real estate exposure

“Commercial real estate loans represent a significant portion of the loan portfolio and are subject to market conditions”

Acquisition integration risk

“On April 1, 2025, we completed our acquisition of Sandy Spring Bancorp, Inc. ('Sandy Spring') and its subsidiary bank, Sandy Spring Bank, creating the largest regional bank by deposit market share headquartered in the lower-Mid Atlantic and significantly enhancing our presence in northern Virginia and Maryland.” · word for word

Key person risk (CFO transition)

“On May 20, 2025, Mr. Gorman notified the Company of his plan to retire from the position of Chief Financial Officer of the Company, which will be effective as of April 13, 2026.” · word for word

Margin pressure from acquisition dilution

“ROA 0.80% (2025) 0.88% (2024); ROTCE 12.82% (2025) 13.35% (2024); Efficiency Ratio 65.16% (2025) 62.09% (2024)”

Standard forward-looking risk factors including interest rate, economic, regulatory, and acquisition integration risks.

“Forward-looking statements section lists multiple risk factors but no specific new risks.”

Regulatory Compliance Burden

“because we exceed $10 billion in total assets, we are subject to additional regulatory requirements compared to financial institutions with less than $10 billion in total assets” · word for word

Capital Adequacy Risk

“We are required by federal and state regulatory authorities to maintain adequate levels of capital to support our operations.” · word for word

Source of Strength Doctrine

“The Federal Reserve may require us to commit capital resources to support the Bank.” · word for word

Management transition risk; new CEO has no prior bank CEO experience.

“New CEO Alexander Dodd previously Chair of board; no prior bank CEO role mentioned.”

No new risk signals; standard forward-looking caution.

“Boilerplate risk language only.”

Asset quality improved with lower NPAs and net charge-offs, but accruing past due loans increased 14 bps QoQ to 41 bps.

“Accruing past due loans as a percentage of total LHFI totaled 41 bps at Dec 31, 2025, an increase of 14 bps from Sep 30, 2025.” · word for word

Forward-looking statements subject to numerous risks including interest rate changes and economic conditions.

“market interest rates and their related impacts on macroeconomic conditions, customer and client behavior, our funding costs and our loan and securities portfolios” · word for word

Integration risk from Sandy Spring acquisition

“Merger-related costs of $118.7 million for the nine months ended September 30, 2025, and significant balance sheet expansion.”

Credit quality deterioration

“Provision for credit losses increased to $139.6 million for the nine months ended September 30, 2025, from $32.6 million in the prior year.”

Interest rate sensitivity

“Large AFS securities portfolio with $344.2 million in unrealized losses as of September 30, 2025, indicating sensitivity to interest rate changes.”