NOTE X—SEGMENT INFORMATION
United operates in one reportable segment, community banking. Through its community banking segment, United offers a full range of products and services through various delivery channels. Included among the banking products and services offered are the acceptance of deposits in checking, savings, time and money market accounts; the making and servicing of personal, credit card, commercial, and floor plan loans; and the making of construction and real estate loans as well as the origination and sale of residential mortgages in the secondary market. Also offered are trust and brokerage services, safe deposit boxes, and wire transfers. The community banking segment derives revenues mainly from interest income on loans to customers, investment securities held and other short-term investments in addition to fees and income derived related to the services listed above.
The accounting policies of the community banking segment are the same as those described in the summary of significant accounting policies. United’s chief operating decision maker (“CODM”) is its chief executive officer who maintains responsibility for the day-to-day management of the Company including regularly reviewing the operating results of the community banking segment in order to assess performance and make decisions about resource allocation based on net income that also is reported on the income statement as consolidated net income. The measure of community banking segment assets is reported on the Consolidated Balance Sheets as total assets.
The CODM uses net income to evaluate income generated from segment assets (return on assets) in deciding whether to reinvest profits into the community banking segment or into other parts of the entity, such as for acquisitions or to pay dividends. Net income is used to monitor budget versus actual results as well as comparing to prior year’s results. The comparative analysis along with the monitoring of budgeted versus actual results are used in assessing performance of the segment.
 
Information about the community banking segment for the years ended December 31, 2025, 2024 and 2023 is as follows:

 
  
For the Year Ended December 31
 
(In thousands)
  
2025
 
 
2024
 
 
2023
 
Total Assets
   $ 33,660,281     $ 30,023,545     $ 29,926,482  
  
 
 
   
 
 
   
 
 
 
Net interest income
   $ 1,102,164     $ 911,068     $ 919,924  
Provision for credit losses
     53,866       25,153       31,153  
Other income
     135,154       123,695       135,258  
Other expense
      
Employee compensation
     252,054       234,618       230,809  
Employee benefits
     54,333       53,621       48,368  
Net occupancy expense
     49,794       46,084       46,426  
OREO expense
     892       576       1,355  
Net gains on the sales of OREO properties
     (148     (75     (60
Equipment expense
     34,917       29,686       29,731  
Data processing expense
     32,622       29,646       29,395  
Mortgage loan servicing expense and impairment
     0       2,694       5,596  
Bankcard processing expense
     2,342       2,490       2,192  
FDIC insurance expense
     17,022       19,735       30,376  
Other segment expense
(a)
     156,224       125,956       136,036  
  
 
 
   
 
 
   
 
 
 
Total other expense
     600,052       545,031       560,224  
  
 
 
   
 
 
   
 
 
 
Income before income taxes
     583,400       464,579       463,805  
Income taxes
     118,797       91,583       97,492  
  
 
 
   
 
 
   
 
 
 
Segment net income
     464,603       372,996       366,313  
Reconciliation of profit or loss
      
Adjustments and reconciling items
     0       0       0  
  
 
 
   
 
 
   
 
 
 
Consolidated net income
   $ 464,603     $ 372,996     $ 366,313  
  
 
 
   
 
 
   
 
 
 
 
(a)
Other segment expense includes legal, consulting and other professional services expense, franchise and other taxes not on income, expense for reserve on lending-related commitments, ATM expenses, marketing expense, core deposits amortization, and other general operating expenses.

About Segments Disclosures

Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.

Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.