Atlantic Union Bankshares (AUB) Morgan Stanley US Financials Conference 2026 summary

Strategic positioning and growth initiatives

• Achieved leading depository market share in Virginia and Maryland, with a unique, non-replicable franchise built over the past decade.

• Transitioned to an organic growth phase, focusing on maximizing the Sandy Spring acquisition and expanding in North Carolina.

• Sandy Spring integration completed smoothly, unlocking commercial banking potential and enhancing treasury management capabilities.

• North Carolina strategy centers on densification in Raleigh and Wilmington, adding branches and full-service offerings, not just retail expansion.

• Holistic approach includes wealth management and mortgage banking, leveraging proven models from Virginia and Maryland.

Financial performance and outlook

• Reiterated mid-single digit loan growth guidance for the year, supported by strong pipelines and broad momentum across markets.

• Equipment finance and commercial real estate lending in Charlotte are key growth drivers, with robust activity in construction and multi-family lending.

• Net interest margin guidance set at 3.90%-4.00% for the year, with repricing of fixed loans and maturing broker deposits expected to support NIM.

• Efficiency ratio target of 46%-48% expected to be achieved in 2026, with ongoing improvements and tactical expense management.

• CET1 ratio managed within 10%-10.5%, with a $250 million buyback planned over the next 12 months and tangible book value growth targeted at 12%-15%.

Market environment and competitive dynamics

• Clients remain resilient amid geopolitical uncertainty, with steady business and consumer sentiment and record-level pipelines.

• Deposit competition remains intense, especially in urban markets, with pricing stable but competitive as banks adjust to shifting rate expectations.

• Loan competition is strong, particularly for high-quality credits, but pricing and structure remain within reasonable bounds.