Exhibit 99.1

December 11, 2017

Dear Shareholder:

We are pleased to report a successful third quarter of operations and continued development for Uwharrie Capital Corp and its subsidiaries. Our company reported total assets of $592 million as of September 30, 2017, compared to $548 million as of December 31, 2016. This represents 8% growth year-to-date, and is the best growth period we have experienced since the period following the 2007-2008 crisis.

We are now nine years into an economic recovery that has simultaneously become one of the longest and most complex recoveries in modern history. While our local communities are recovering and providing some lending opportunities, deposit growth continues to outpace the supply of quality loans.

Our net interest margin is improving, but we still have more liquidity than needed. We desire to put the deposit growth we have recently experienced to work in our communities by pursuing more quality loans that will continue to perform in what we consider to be a risky environment. Our September 30, 2017, balance sheet reflects the lowest level of risky assets with the best asset quality in our company’s history.

While we remain cautious with regard to the state of the economy, we continue to look to, and plan for, the future. Our decision to open an office in Charlotte and to upgrade our data processing systems are two examples of our efforts toward that end. These decisions will affect our short-term earnings, but will also position us to remain competitive for the long-term.

In the third quarter 2017, we expensed one-time non-recurring period cost associated with these investments in our future of $250 thousand. On another note, the nine months of earnings for 2016 reflect a one-time securities gain of $544 thousand taken in the second quarter. While reported earnings for the nine-month period ended September 30, 2017, were $1.8 million, the same as 2016, the earnings for 2017 are all from core operations, not including any one-time non-recurring items, which result in a $639 thousand improvement in ongoing operations through the nine-month period.

Net income for the three-month period ended September 30, 2017, was $588 thousand, as opposed to $540 thousand for the same period in 2016. For the quarter ended September 30, 2017, net income available to common shareholders was $440 thousand or $0.06 per share, compared to $391 thousand or $0.06 per share for September 30, 2016.

In closing, we are pleased to share with you that your Board of Directors declared a 2% stock dividend to be paid to common stock shareholders on December 27, 2017. We choose to pay a stock dividend as it represents an efficient method for dividend payment to our shareholders. This methodology is proposed by Professor Jeremy Siegel, the Russell E. Palmer Professor of Finance at the Wharton School of the University of Pennsylvania. The method allows our company to retain capital to support growth, while allowing you to choose when to recognize the income and pay taxes on the dividend. Shareholders desiring or needing current income can sell their shares, and shareholders desiring to defer income and taxes to a future date can do so by retaining the dividend shares.

1

Those who hold Uwharrie Capital Corp common stock as of the December 15, 2017, record date will receive the dividend, which will be paid electronically via book entry. No stock certificates will be issued. Going to a paperless book entry system will save our shareholders a significant amount of annual operating expense, while also saving a lot of trees and being more environmentally friendly. Shareholders will receive a Direct Registration System (DRS) statement from our Stock Transfer Agent, Broadridge, indicating the new shares gained. If the stock is held in a brokerage account, shares will be electronically delivered directly to the appropriate account. Only whole shares of stock will be issued. If applicable, a check for payment of a fractional share may also be issued or deposited electronically.

We hope you are pleased with the direction and continued growth of our company. The need for a community bank that is focused on people and Main Street has never been greater. Thank you for being part of building an institution that is making a difference in our communities and our lives.

In keeping with tradition, we enclose the 2018 Uwharrie Capital Corp Commemorative Calendar, which gives a glimpse into the past with scenes from neighborhood grocery stores once found in the communities we serve. We wish you and your family a blessed holiday.

Sincerely,

UWHARRIE CAPITAL CORP

This Report may contain, among other things, certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, (i) statements regarding certain of the Company’s goals and expectations with respect to earnings, income per share, revenue, expenses and the growth rate in such items, as well as other measures of economic performance, including statements relating to estimates of credit quality trends, and (ii) statements preceded by, followed by or that include the words “may,” ”could,” ”should,” “would,” “believe,” ”anticipate,” “estimate,” “expect,” “intend,” ”plan,” ”projects,” ”outlook,” or similar expressions. These statements are based upon the current belief and expectations of the Company‘s management and are subject to significant risks and uncertainties that are subject to change based on various factors (many of which are beyond the Company’s control).

2

Uwharrie Capital Corp and Subsidiaries

Consolidated Balance Sheets (Unaudited)

Uwharrie Capital Corp and Subsidiaries

Consolidated Statements of Income (Unaudited)