United Community Banks (UCB) stock surged 5% in pre-market trading on Tuesday after the company reported first-quarter earnings that exceeded analyst expectations. The regional bank demonstrated solid growth across key metrics, underscoring its strong financial position and operational efficiency.

For Q1 2025, UCB reported operating earnings per share of $0.59, surpassing the consensus estimate of $0.56 and marking a 13% increase from $0.52 in the same quarter last year. The bank's revenue rose to $247.7 million, up 3.7% year-over-year and ahead of the $246.9 million analysts had projected.

Chairman and CEO Lynn Harton attributed the strong performance to robust loan and deposit growth, as well as an improved net interest margin. Loans grew by $249 million, or 5.6% annualized, while customer deposits increased by $309 million, or 5.4% annualized. The net interest margin expanded by 10 basis points to 3.36%, helping to drive net interest income growth despite fewer accruing days in the quarter. Additionally, the bank maintained stable credit quality with net charge-offs holding steady at 0.21% of average loans.