Executive Summary & Key Highlights This section provides an overview of Glacier Bancorp, Inc.'s financial performance for Q3 and year-to-date 2025, highlighting key operational results, strategic acquisitions, and financial ratios [Q3 2025 Performance Highlights](index=1&type=section&id=Q3%202025%20Performance%20Highlights) Glacier Bancorp, Inc. reported strong Q3 2025 results, with significant growth in net income, EPS, and net interest income Q3 2025 Performance Highlights | Metric | Q3 2025 | Change from Q2 2025 | Change from Q3 2024 | | :-------------------------- | :---------- | :------------------ | :------------------ | | Net income | $67.9 million | +$15.1 million (29%) | +$16.8 million (33%) | | Diluted EPS | $0.57 | +$0.12 (27%) | +$0.12 (27%) | | Net interest income | $225 million | +$17.8 million (9%) | +$45.1 million (25%) | | Loan portfolio | $18.791 billion | +$258 million (6% annualized) | - | | Total deposits | $21.871 billion | +$242 million (4% annualized) | - | | Non-interest bearing deposits | $6.674 billion | +$80.7 million (5% annualized) | - | | Net interest margin (tax-equivalent) | 3.39% | +18 bps | +56 bps | | Loan yield | 5.97% | +11 bps | +28 bps | | Total earning asset yield | 4.86% | +13 bps | +34 bps | [Year-to-Date 2025 Performance Highlights](index=2&type=section&id=Year-to-Date%202025%20Performance%20Highlights) Glacier Bancorp, Inc. achieved robust year-to-date 2025 financial growth, driven by increased profitability, portfolio expansion, and strategic acquisitions Year-to-Date 2025 Performance Highlights | Metric | YTD 2025 | Change from YTD 2024 | | :-------------------------- | :---------- | :------------------- | | Net income | $175 million | +$46.9 million (36%) | | Diluted EPS | $1.51 | +34% | | Net interest income | $623 million | +$110 million (21%) | | Loan portfolio | +$1.529 billion (9%) | - | | Organic loan portfolio growth | +$454 million (3%) | - | | Total deposits | +$1.324 billion (6%) | - | | Organic deposit growth | +$246 million (1%) | - | | Net interest margin (tax-equivalent) | 3.21% | +51 bps | | Dividends declared per share | $0.99 | - | | Total cost of funding | 1.58% (Q3) | -21 bps (Q3 YoY) | | BOID acquisition assets (as of 4/30/2025) | $1.365 billion | - | | Guaranty acquisition assets (as of 9/30/2025) | $3.111 billion | - | - The Company completed the core system conversion of **Bank of Idaho Holding Co. (BOID)** in Q3 2025, integrating its operations into existing Glacier Bank divisions[2](index=2&type=chunk) - The Company announced and completed the acquisition of **Guaranty Bancshares, Inc.** on October 1, 2025, expanding its presence into Texas[2](index=2&type=chunk) [Financial Summary & Key Ratios](index=3&type=section&id=Financial%20Summary%20%26%20Key%20Ratios) This section summarizes operating results and key performance ratios, highlighting significant improvements in profitability and efficiency across periods Financial Summary & Key Ratios | Metric | Sep 30, 2025 (Q3) | Jun 30, 2025 (Q2) | Mar 31, 2025 (Q1) | Sep 30, 2024 (Q3) | Sep 30, 2025 (YTD) | Sep 30, 2024 (YTD) | | :---------------------------------- | :---------------- | :---------------- | :---------------- | :---------------- | :----------------- | :----------------- | | Net income (in thousands) | $67,900 | $52,781 | $54,568 | $51,055 | $175,249 | $128,390 | | Diluted earnings per share | $0.57 | $0.45 | $0.48 | $0.45 | $1.51 | $1.13 | | Dividends declared per share | $0.33 | $0.33 | $0.33 | $0.33 | $0.99 | $0.99 | | Return on average assets (annualized) | 0.93% | 0.74% | 0.80% | 0.73% | 0.82% | 0.62% | | Return on average equity (annualized) | 7.52% | 6.13% | 6.77% | 6.34% | 6.82% | 5.47% | | Efficiency ratio | 62.05% | 62.08% | 65.49% | 64.92% | 63.12% | 68.98% | | Loan to deposit ratio | 86.11% | 85.91% | 83.64% | 83.16% | 86.11% | 83.16% | | Number of locations | 248 | 247 | 227 | 232 | 248 | 232 | - The current quarter's net income included **$7.0 million in acquisition-related expenses**[3](index=3&type=chunk) [Acquisition Activities](index=2&type=section&id=Acquisition%20Activities) Glacier Bancorp, Inc. completed two key acquisitions in 2025, integrating BOID and expanding into Texas with Guaranty Bancshares - The Company completed the acquisition of **Bank of Idaho Holding Co. (BOID)** on April 30, 2025, which had total assets of **$1.365 billion** at acquisition. **BOID**'s operations were integrated into Citizens Community Bank, Mountain West Bank, and Wheatland Bank divisions[2](index=2&type=chunk)[5](index=5&type=chunk)[6](index=6&type=chunk) BOID Preliminary Fair Value Estimates (April 30, 2025) | Asset/Liability Classification | Amount (in thousands) | | :---------------------------- | :-------------------- | | Total assets | $1,364,640 | | Cash and cash equivalents | $26,127 | | Debt securities | $139,974 | | Loans receivable | $1,075,232 | | Non-interest bearing deposits | $271,385 | | Interest bearing deposits | $806,992 | | Borrowings and subordinated debt | $71,932 | | Core deposit intangible | $19,758 | | Goodwill | $70,083 | - On June 24, 2025, the Company announced the signing of a definitive agreement to acquire **Guaranty Bancshares, Inc.**, which was completed on October 1, 2025. Guaranty had total assets of **$3.111 billion** as of September 30, 2025, and expanded the Company's presence into Texas[2](index=2&type=chunk)[4](index=4&type=chunk) Balance Sheet Analysis This section analyzes the Company's asset, liability, and stockholders' equity positions, detailing changes and key drivers across reporting periods [Asset Summary](index=5&type=section&id=Asset%20Summary) Total assets remained stable quarter-over-quarter but increased year-to-date, primarily driven by loan portfolio growth Asset Summary (in thousands) | Asset Category | Sep 30, 2025 | Jun 30, 2025 | Dec 31, 2024 | Sep 30, 2024 | Change from Q2 2025 | Change from YTD 2024 | Change from Q3 2024 | | :-------------------------- | :----------- | :----------- | :----------- | :----------- | :------------------ | :------------------- | :------------------ | | Cash and cash equivalents | $854,244 | $915,507 | $848,408 | $987,833 | $(61,263) | $5,836 | $(133,589) | | Total debt securities | $7,072,090 | $7,231,113 | $7,540,052 | $7,785,276 | $(159,023) | $(467,962) | $(713,186) | | Loans receivable | $18,790,986 | $18,532,740 | $17,261,849 | $17,181,187 | $258,246 | $1,529,137 | $1,609,799 | | Loans receivable, net | $18,561,909 | $18,305,941 | $17,055,808 | $16,976,017 | $255,968 | $1,506,101 | $1,585,892 | | Total assets | $29,015,627 | $29,004,983 | $27,902,987 | $28,205,769 | $10,644 | $1,112,640 | $809,858 | - The loan portfolio increased by **$258 million (6% annualized)** during the current quarter, with other commercial loans showing the largest dollar increase of **$147 million (4%)**. Organically, the loan portfolio increased by **$535 million (3%)** since the prior year third quarter, excluding the **Bank of Idaho Holding Co. (BOID)** acquisition[8](index=8&type=chunk) - Debt securities represented **24% of total assets** at September 30, 2025, down from **25%** in the prior quarter and **28%** in the prior year third quarter[7](index=7&type=chunk) [Liability Summary](index=8&type=section&id=Liability%20Summary) Total deposits increased quarter-over-quarter and year-to-date, driven by non-interest bearing deposits and reduced FHLB advances Liability Summary (in thousands) | Liability Category | Sep 30, 2025 | Jun 30, 2025 | Dec 31, 2024 | Sep 30, 2024 | Change from Q2 2025 | Change from YTD 2024 | Change from Q3 2024 | | :-------------------------- | :----------- | :----------- | :----------- | :----------- | :------------------ | :------------------- | :------------------ | | Total deposits | $21,870,949 | $21,628,502 | $20,546,994 | $20,714,764 | $242,447 | $1,323,955 | $1,156,185 | | Non-interest bearing deposits | $6,674,441 | $6,593,728 | $6,136,709 | $6,407,728 | $80,713 | $537,732 | $266,713 | | FHLB advances | $895,022 | $1,255,088 | $1,800,000 | $1,800,000 | $(360,066) | $(904,978) | $(904,978) | | Subordinated debentures | $157,379 | $157,127 | $133,105 | $133,065 | $252 | $24,274 | $24,314 | | Total liabilities | $25,407,339 | $25,472,719 | $24,679,133 | $24,960,719 | $(65,380) | $728,206 | $446,620 | - Non-interest bearing deposits represented **31% of total deposits** at September 30, 2025, consistent with the prior year third quarter[17](index=17&type=chunk) - The increase in subordinated debentures was a result of the acquisition of **BOID**[18](index=18&type=chunk) [Stockholders' Equity Summary](index=9&type=section&id=Stockholders%27%20Equity%20Summary) Stockholders' equity increased, driven by reduced comprehensive loss and earnings retention, improving tangible equity and book value per share Stockholders' Equity Summary (in thousands, except per share data) | Equity Metric | Sep 30, 2025 | Jun 30, 2025 | Dec 31, 2024 | Sep 30, 2024 | Change from Q2 2025 | Change from YTD 2024 | Change from Q3 2024 | | :-------------------------------- | :----------- | :----------- | :----------- | :----------- | :------------------ | :------------------- | :------------------ | | Total stockholders' equity | $3,608,288 | $3,532,264 | $3,223,854 | $3,245,050 | $76,024 | $384,434 | $363,238 | | Accumulated other comprehensive loss | $(192,890) | $(238,655) | $(309,296) | $(262,306) | $45,765 | $116,406 | $69,416 | | Tangible stockholders' equity | $2,425,752 | $2,345,914 | $2,121,354 | $2,138,714 | $79,838 | $304,398 | $287,038 | | Stockholders' equity to total assets | 12.44% | 12.18% | 11.55% | 11.50% | - | - | - | | Tangible stockholders' equity to total tangible assets | 8.72% | 8.43% | 7.92% | 7.89% | - | - | - | | Book value per common share | $30.44 | $29.80 | $28.43 | $28.62 | $0.64 | $2.01 | $1.82 | | Tangible book value per common share | $20.46 | $19.79 | $18.71 | $18.86 | $0.67 | $1.75 | $1.60 | - The increase in tangible stockholders' equity from the prior year end was primarily due to **$205 million of Company stock** issued in connection with the **BOID** acquisition and a **$116 million decrease in other comprehensive loss**[20](index=20&type=chunk) Credit Quality Overview This section provides an overview of the Company's credit quality, including non-performing assets, early stage delinquencies, and provision for credit losses [Credit Quality Summary (Key Metrics)](index=6&type=section&id=Credit%20Quality%20Summary%20%28Key%20Metrics%29) Non-performing assets increased, while early stage delinquencies decreased, and the allowance for credit losses remained stable Credit Quality Key Metrics | Metric | Sep 30, 2025 | Jun 30, 2025 | Sep 30, 2024 | Change from Q2 2025 | Change from Q3 2024 | | :------------------------------------------------ | :----------- | :----------- | :----------- | :------------------ | :------------------ | | Total non-performing assets (in thousands) | $54,312 | $48,606 | $28,121 | +$5,706 (12%) | +$26,191 (93%) | | Non-performing assets as a percentage of subsidiary assets | 0.19% | 0.17% | 0.10% | +0.02% | +0.09% | | Accruing loans 30-89 days past due (in thousands) | $39,524 | $54,403 | $56,213 | $(14,879) | $(16,689) | | Early stage delinquencies as a percentage of loans | 0.21% | 0.29% | 0.33% | -0.08% | -0.12% | | Allowance for credit losses as a percentage of total loans | 1.22% | 1.22% | 1.19% | 0% | +0.03% | | Net charge-offs as a percentage of total loans (YTD) | 0.03% | 0.02% | 0.05% | +0.01% | -0.02% | [Credit Quality Trends and Provision for Credit Losses](index=7&type=section&id=Credit%20Quality%20Trends%20and%20Provision%20for%20Credit%20Losses) Provision for credit loss expense increased due to the BOID acquisition, while net charge-offs also rose quarter-over-quarter Provision for Credit Losses and Net Charge-Offs (in thousands) | Metric | Q3 2025 | Q2 2025 | Q3 2024 | | :------------------------------------ | :------ | :------ | :------ | | Provision for credit loss expense | $7,656 | $20,267 | $8,005 | | - Credit loss expense on loans | $5,192 | $18,009 | $6,981 | | - Credit loss expense on unfunded loan commitments | $2,464 | $2,258 | $1,024 | | Net charge-offs | $2,914 | $1,645 | $2,766 | | - Deposit overdraft net charge-offs | $1,800 | - | - | | - Net loan charge-offs | $1,100 | - | - | - The current quarter's provision for credit loss expense included **$5.2 million for loans** and **$2.5 million for unfunded loan commitments** from the **BOID** acquisition[11](index=11&type=chunk) Operating Results - Quarterly (Three Months Ended September 30, 2025) This section details the Company's quarterly operating performance, focusing on net interest income, non-interest income and expense, and efficiency ratio [Net Interest Income Analysis](index=10&type=section&id=Net%20Interest%20Income%20Analysis) Net interest income and margin significantly increased, driven by higher loan yields and reduced funding costs Net Interest Income (in thousands) | Metric | Q3 2025 | Q2 2025 | Q3 2024 | Change from Q2 2025 | Change from Q3 2024 | | :-------------------------- | :------ | :------ | :------ | :------------------ | :------------------ | | Interest income | $325,003 | $308,115 | $289,578 | +$16,888 (5%) | +$35,425 (12%) | | Interest expense | $99,624 | $100,499 | $109,347 | $(875) | $(9,723) (9%) | | Net interest income | $225,379 | $207,616 | $180,231 | +$17,763 (9%) | +$45,148 (25%) | | Net interest margin (tax-equivalent) | 3.39% | 3.21% | 2.83% | +18 bps | +56 bps | | Core net interest margin | 3.35% | 3.18% | 2.79% | +17 bps | +56 bps | | Loan yield | 5.97% | 5.86% | 5.69% | +11 bps | +28 bps | | Deposit cost (including non-interest bearing) | 1.23% | 1.25% | 1.37% | -2 bps | -14 bps | | Total cost of funding (including non-interest bearing) | 1.58% | 1.63% | 1.79% | -5 bps | -21 bps | - The increase in net interest margin was primarily driven by an increase in loan yields and a decrease in total cost of funding, along with a remix of lower yield securities cash flow into higher yield loans[25](index=25&type=chunk)[26](index=26&type=chunk) [Non-interest Income Analysis](index=11&type=section&id=Non-interest%20Income%20Analysis) Non-interest income grew, driven by increased service charges and gains on residential loan sales Non-interest Income (in thousands) | Metric | Q3 2025 | Q2 2025 | Q3 2024 | Change from Q2 2025 | Change from Q3 2024 | | :-------------------------- | :------ | :------ | :------ | :------------------ | :------------------ | | Total non-interest income | $35,352 | $32,944 | $34,704 | +$2,408 (7%) | +$648 (2%) | | Service charges and other fees | $21,460 | $20,405 | $20,587 | +$1,055 (5%) | +$873 (4%) | | Gain on sale of loans | $5,027 | $4,273 | $4,898 | +$754 (18%) | +$129 (3%) | [Non-interest Expense Analysis](index=11&type=section&id=Non-interest%20Expense%20Analysis) Total non-interest expense increased, driven by higher compensation and acquisition-related expenses Non-interest Expense (in thousands) | Metric | Q3 2025 | Q2 2025 | Q3 2024 | Change from Q2 2025 | Change from Q3 2024 | | :-------------------------- | :------ | :------ | :------ | :------------------ | :------------------ | | Total non-interest expense | $167,783 | $155,119 | $144,708 | +$12,664 (8%) | +$23,075 (16%) | | Compensation and employee benefits | $96,498 | $94,355 | $85,083 | +$2,143 (2%) | +$11,415 (13%) | | Other expenses | $33,120 | $24,432 | $25,848 | +$8,688 (36%) | +$7,272 (28%) | | Acquisition-related expenses | $7,000 | $3,200 | $1,900 | +$3,800 | +$5,100 | - The increase in compensation and employee benefits was primarily due to annual salary increases and increased staffing levels from the current year acquisition[30](index=30&type=chunk) - Other expenses included a **$1.6 million gain** from the sale of a former branch facility in the prior quarter and **$619 thousand** in the prior year third quarter[31](index=31&type=chunk) [Federal and State Income Tax Expense](index=11&type=section&id=Federal%20and%20State%20Income%20Tax%20Expense) Tax expense and effective tax rate increased, primarily due to higher income before income tax expense Federal and State Income Tax Expense (in thousands) | Metric | Q3 2025 | Q2 2025 | Q3 2024 | Change from Q2 2025 | Change from Q3 2024 | | :-------------------------- | :------ | :------ | :------ | :------------------ | :------------------ | | Tax expense | $17,392 | $12,393 | $11,167 | +$5,000 (40%) | +$6,225 (56%) | | Effective tax rate | 20.4% | 19.0% | 17.9% | +1.4% | +2.5% | [Efficiency Ratio](index=12&type=section&id=Efficiency%20Ratio) The efficiency ratio improved, reflecting enhanced operational efficiency from net interest income growth Efficiency Ratio | Metric | Q3 2025 | Q2 2025 | Q3 2024 | Change from Q2 2025 | Change from Q3 2024 | | :------------- | :------ | :------ | :------ | :------------------ | :------------------ | | Efficiency ratio | 62.05% | 62.08% | 64.92% | -0.03% | -2.87% | Operating Results - Year-to-Date (Nine Months Ended September 30, 2025) This section details the Company's year-to-date operating performance, focusing on net interest income, non-interest income and expense, and efficiency ratio [Net Interest Income Analysis](index=12&type=section&id=Net%20Interest%20Income%20Analysis_YTD) Year-to-date net interest income and margin significantly increased, driven by loan growth, higher yields, and reduced funding costs Net Interest Income (in thousands) | Metric | YTD 2025 | YTD 2024 | Change from YTD 2024 | | :-------------------------- | :------- | :------- | :------------------- | | Interest income | $923,043 | $842,814 | +$80,229 (10%) | | Interest expense | $300,069 | $329,625 | $(29,556) (9%) | | Net interest income | $622,974 | $513,189 | +$109,785 (21%) | | Net interest margin (tax-equivalent) | 3.21% | 2.70% | +51 bps | | Core net interest margin | 3.17% | 2.65% | +52 bps | | Loan yield | 5.87% | 5.58% | +29 bps | | Deposit cost (including non-interest bearing) | 1.24% | 1.36% | -12 bps | | Total funding cost (including non-interest bearing) | 1.63% | 1.81% | -18 bps | - The increase in net interest margin was driven by increased loan yields and decreased funding costs, combined with a shift in earning asset mix to higher yielding loans and a shift in funding liabilities to lower cost deposits[39](index=39&type=chunk) [Non-interest Income Analysis](index=13&type=section&id=Non-interest%20Income%20Analysis_YTD) Year-to-date non-interest income increased, driven by higher service charges and residential loan sale gains Non-interest Income (in thousands) | Metric | YTD 2025 | YTD 2024 | Change from YTD 2024 | | :-------------------------- | :------- | :------- | :------------------- | | Total non-interest income | $100,938 | $96,897 | +$4,041 (4%) | | Service charges and other fees | $60,683 | $58,572 | +$2,111 (4%) | | Gain on sale of loans | $13,611 | $12,929 | +$682 (5%) | | Other income | $11,790 | $11,213 | +$577 (5%) | [Non-interest Expense Analysis](index=13&type=section&id=Non-interest%20Expense%20Analysis_YTD) Year-to-date non-interest expense increased, driven by higher compensation from acquisitions, partially offset by reduced regulatory assessments Non-interest Expense (in thousands) | Metric | YTD 2025 | YTD 2024 | Change from YTD 2024 | | :-------------------------- | :------- | :------- | :------------------- | | Total non-interest expense | $474,220 | $437,503 | +$36,717 (8%) | | Compensation and employee benefits | $282,296 | $255,306 | +$26,990 (11%) | | Regulatory assessments and insurance | $17,180 | $18,304 | $(1,124) (6%) | | Other expenses | $82,984 | $78,947 | +$4,037 (5%) | | Acquisition-related expenses (included in other expenses) | $9,300 | $7,800 | +$1,500 | - The decrease in regulatory assessment and insurance expense was primarily a result of adjustments to the FDIC special assessment[43](index=43&type=chunk) [Provision for Credit Losses](index=13&type=section&id=Provision%20for%20Credit%20Losses_YTD) Year-to-date provision for credit loss expense significantly increased due to the BOID acquisition, with net charge-offs decreasing Provision for Credit Losses (in thousands) | Metric | YTD 2025 | YTD 2024 | Change from YTD 2024 | | :-------------------------- | :------- | :------- | :------------------- | | Provision for credit loss expense | $35,737 | $19,772 | +$15,965 (81%) | | - From BOID acquisition | $16,700 | - | - | | Net charge-offs | $6,354 | $8,728 | $(2,374) | | - From prior year acquisitions | - | $9,700 | - | [Federal and State Income Tax Expense](index=13&type=section&id=Federal%20and%20State%20Income%20Tax%20Expense_YTD) Year-to-date tax expense and effective tax rate increased, primarily due to higher pre-tax income Federal and State Income Tax Expense (in thousands) | Metric | YTD 2025 | YTD 2024 | Change from YTD 2024 | | :-------------------------- | :------- | :------- | :------------------- | | Tax expense | $38,706 | $24,421 | +$14,285 (58%) | | Effective tax rate | 18.1% | 16.0% | +2.1% | [Efficiency Ratio](index=14&type=section&id=Efficiency%20Ratio_YTD) The year-to-date efficiency ratio improved significantly, reflecting enhanced operational efficiency Efficiency Ratio | Metric | YTD 2025 | YTD 2024 | Change from YTD 2024 | | :------------- | :------- | :------- | :------------------- | | Efficiency ratio | 63.12% | 68.98% | -5.86% | Corporate Information & Outlook This section provides corporate details, including cash dividends, forward-looking statements, conference call information, and an overview of Glacier Bancorp, Inc. [Cash Dividends](index=9&type=section&id=Cash%20Dividends) The Company declared its 162nd consecutive regular quarterly cash dividend, demonstrating consistent shareholder returns - On September 22, 2025, the Board of Directors declared a quarterly cash dividend of **$0.33 per share**, payable October 16, 2025. This marks the Company's **162nd consecutive regular dividend**[21](index=21&type=chunk) [Forward-Looking Statements](index=14&type=section&id=Forward-Looking%20Statements) This section outlines various business, economic, and competitive uncertainties and contingencies that could cause actual results to differ materially from forward-looking statements, including risks related to lending, monetary policies, regulatory changes, economic conditions, acquisitions, and cybersecurity - Key risk factors include: lending and credit quality, changes in monetary and fiscal policies (interest rates, FDIC insurance), legislative or regulatory changes, overall economic conditions (inflation, government shutdown), geopolitical instability, acquisition integration, impairment of goodwill, reduction in demand for banking products, deterioration of bank reputation, competitive landscape changes, public stock market volatility, dependence on management, system failures/cybersecurity risks, and natural disasters[48](index=48&type=chunk)[52](index=52&type=chunk) - The Company does not undertake any obligation to publicly correct or update any forward-looking statement[49](index=49&type=chunk) [Conference Call Information](index=15&type=section&id=Conference%20Call%20Information) Details for the investor conference call to discuss results are provided, including registration and webcast access - A conference call for investors is scheduled for 11:00 a.m. Eastern Time on Friday, October 17, 2025. Investors can register via a provided link to obtain dial-in instructions or participate via webcast[50](index=50&type=chunk) [About Glacier Bancorp, Inc.](index=15&type=section&id=About%20Glacier%20Bancorp%2C%20Inc.) Glacier Bancorp, Inc. is a regional bank holding company operating across nine states through its various bank divisions - **Glacier Bancorp, Inc.** (NYSE: GBCI) is the parent company for Glacier Bank and its Bank divisions located across a nine-state footprint, including Altabank, Bank of the San Juans, Citizens Community Bank, and Guaranty Bank (Texas)[51](index=51&type=chunk) Unaudited Condensed Consolidated Financial Statements This section presents the Company's unaudited condensed consolidated financial statements, including statements of financial condition, operations, and average balance sheets [Statements of Financial Condition](index=16&type=section&id=Statements%20of%20Financial%20Condition) This section presents the unaudited condensed consolidated balance sheets, detailing assets, liabilities, and stockholders' equity Unaudited Condensed Consolidated Statements of Financial Condition (in thousands) | Metric | Sep 30, 2025 | Jun 30, 2025 | Dec 31, 2024 | Sep 30, 2024 | | :------------------------------------ | :----------- | :----------- | :----------- | :----------- | | Total assets | $29,015,627 | $29,004,983 | $27,902,987 | $28,205,769 | | Total liabilities | $25,407,339 | $25,472,719 | $24,679,133 | $24,960,719 | | Total stockholders' equity | $3,608,288 | $3,532,264 | $3,223,854 | $3,245,050 | | Loans receivable, net | $18,561,909 | $18,305,941 | $17,055,808 | $16,976,017 | | Total debt securities | $7,072,090 | $7,231,113 | $7,540,052 | $7,785,276 | | Non-interest bearing deposits | $6,674,441 | $6,593,728 | $6,136,709 | $6,407,728 | | FHLB advances | $895,022 | $1,255,088 | $1,800,000 | $1,800,000 | [Statements of Operations](index=17&type=section&id=Statements%20of%20Operations) This section provides the unaudited condensed consolidated income statements, detailing income, expenses, and net income for reported periods Unaudited Condensed Consolidated Statements of Operations (in thousands) | Metric | Q3 2025 | Q2 2025 | Q1 2025 | Q3 2024 | YTD 2025 | YTD 2024 | | :------------------------------------ | :------ | :------ | :------ | :------ | :------- | :------- | | Total interest income | $325,003 | $308,115 | $289,925 | $289,578 | $923,043 | $842,814 | | Total interest expense | $99,624 | $100,499 | $99,946 | $109,347 | $300,069 | $329,625 | | Net Interest Income | $225,379 | $207,616 | $189,979 | $180,231 | $622,974 | $513,189 | | Provision for credit losses | $7,656 | $20,267 | $7,814 | $8,005 | $35,737 | $19,772 | | Total non-interest income | $35,352 | $32,944 | $32,642 | $34,704 | $100,938 | $96,897 | | Total non-interest expense | $167,783 | $155,119 | $151,318 | $144,708 | $474,220 | $437,503 | | Income Before Income Taxes | $85,292 | $65,174 | $63,489 | $62,222 | $213,955 | $152,811 | | Federal and state income tax expense | $17,392 | $12,393 | $8,921 | $11,167 | $38,706 | $24,421 | | Net Income | $67,900 | $52,781 | $54,568 | $51,055 | $175,249 | $128,390 | [Average Balance Sheets](index=18&type=section&id=Average%20Balance%20Sheets) [Three Months Ended September 30, 2025 vs June 30, 2025](index=18&type=section&id=Three%20Months%20Ended%20September%2030%2C%202025%20vs%20June%2030%2C%202025) This section compares average balance sheet items, interest income/expense, and yields/rates for Q3 and Q2 2025, highlighting changes in earning assets and net interest margins Average Balance Sheets (in thousands) | Metric | Sep 30, 2025 (Avg Balance) | Jun 30, 2025 (Avg Balance) | Sep 30, 2025 (Avg Yield/Rate) | Jun 30, 2025 (Avg Yield/Rate) | | :------------------------------------ | :------------------------- | :------------------------- | :---------------------------- | :---------------------------- | | Total loans | $18,678,194 | $18,161,429 | 5.97% | 5.86% | | Total earning assets | $26,815,927 | $26,401,636 | 4.86% | 4.73% | | Non-interest bearing deposits | $6,550,398 | $6,256,245 | 0% | 0% | | Total core deposits | $21,633,483 | $21,047,529 | 1.23% | 1.25% | | Total funding liabilities | $25,052,620 | $24,678,671 | 1.58% | 1.63% | | Net interest income (tax equivalent) | $228,836 | $211,081 | - | - | | Net interest margin (tax equivalent) | - | - | 3.39% | 3.21% | [Three Months Ended September 30, 2025 vs September 30, 2024](index=20&type=section&id=Three%20Months%20Ended%20September%2030%2C%202025%20vs%20September%2030%2C%202024) This section compares average balance sheet items, interest income/expense, and yields/rates for Q3 2025 and Q3 2024, highlighting year-over-year changes in asset/liability composition and profitability Average Balance Sheets (in thousands) | Metric | Sep 30, 2025 (Avg Balance) | Sep 30, 2024 (Avg Balance) | Sep 30, 2025 (Avg Yield/Rate) | Sep 30, 2024 (Avg Yield/Rate) | | :------------------------------------ | :------------------------- | :------------------------- | :---------------------------- | :---------------------------- | | Total loans | $18,678,194 | $17,131,512 | 5.97% | 5.69% | | Total earning assets | $26,815,927 | $25,866,122 | 4.86% | 4.52% | | Non-interest bearing deposits | $6,550,398 | $6,237,166 | 0% | 0% | | Total core deposits | $21,633,483 | $20,479,843 | 1.23% | 1.37% | | Total funding liabilities | $25,052,620 | $24,254,523 | 1.58% | 1.79% | | Net interest income (tax equivalent) | $228,836 | $184,226 | - | - | | Net interest margin (tax equivalent) | - | - | 3.39% | 2.83% | [Nine Months Ended September 30, 2025 vs September 30, 2024](index=21&type=section&id=Nine%20Months%20Ended%20September%2030%2C%202025%20vs%20September%2030%2C%202024) This section compares average balance sheet items, interest income/expense, and yields/rates for YTD 2025 and YTD 2024, illustrating year-to-date trends in asset/liability management and profitability Average Balance Sheets (in thousands) | Metric | Sep 30, 2025 (Avg Balance) | Sep 30, 2024 (Avg Balance) | Sep 30, 2025 (Avg Yield/Rate) | Sep 30, 2024 (Avg Yield/Rate) | | :------------------------------------ | :------------------------- | :------------------------- | :---------------------------- | :---------------------------- | | Total loans | $18,044,796 | $16,835,531 | 5.87% | 5.58% | | Total earning assets | $26,353,065 | $25,961,467 | 4.74% | 4.40% | | Non-interest bearing deposits | $6,267,432 | $6,077,392 | 0% | 0% | | Total core deposits | $21,024,536 | $20,226,579 | 1.24% | 1.36% | | Total funding liabilities | $24,642,026 | $24,284,968 | 1.63% | 1.81% | | Net interest income (tax equivalent) | $633,317 | $525,193 | - | - | | Net interest margin (tax equivalent) | - | - | 3.21% | 2.70% | [Loan Portfolio by Regulatory Classification](index=22&type=section&id=Loan%20Portfolio%20by%20Regulatory%20Classification) This section provides a detailed breakdown of the loan portfolio by regulatory classification, showing composition and changes across various loan types Loans Receivable, by Loan Type (in thousands) | Loan Type | Sep 30, 2025 | Jun 30, 2025 | Dec 31, 2024 | Sep 30, 2024 | % Change from Q2 2025 | % Change from YTD 2024 | % Change from Q3 2024 | | :------------------------------------ | :----------- | :----------- | :----------- | :----------- | :-------------------- | :--------------------- | :-------------------- | | Total residential construction | $448,651 | $462,896 | $434,770 | $439,525 | (3)% | 3% | 2% | | Total land, lot, and other construction | $1,681,660 | $1,536,336 | $1,352,290 | $1,360,068 | 9% | 24% | 24% | | Total commercial real estate | $7,903,973 | $7,813,522 | $7,251,134 | $7,123,330 | 1% | 9% | 11% | | Commercial and industrial | $1,554,832 | $1,545,498 | $1,395,997 | $1,387,538 | 1% | 11% | 12% | | Agriculture | $1,189,948 | $1,167,611 | $1,024,520 | $1,047,320 | 2% | 16% | 14% | | Total 1-4 family | $2,660,986 | $2,670,603 | $2,558,221 | $2,539,914 | 0% | 4% | 5% | | Multifamily residential | $969,573 | $975,785 | $895,242 | $921,138 | (1)% | 8% | 5% | | Total consumer | $1,249,258 | $1,246,339 | $1,215,240 | $1,225,817 | 0% | 3% | 2% | | Total loans receivable | $18,790,986 | $18,532,740 | $17,261,849 | $17,181,187 | 1% | 9% | 9% | [Credit Quality Summary by Regulatory Classification](index=23&type=section&id=Credit%20Quality%20Summary%20by%20Regulatory%20Classification) [Non-performing Assets](index=23&type=section&id=Non-performing%20Assets) This section details non-performing assets by loan type, highlighting increases in commercial and industrial non-accrual loans Non-performing Assets, by Loan Type (in thousands) | Loan Type | Sep 30, 2025 | Jun 30, 2025 | Dec 31, 2024 | Sep 30, 2024 | | :------------------------------------ | :----------- | :----------- | :----------- | :----------- | | Total residential construction | $2,515 | $3,041 | $2,330 | $3,907 | | Total land, lot and other construction | $1,731 | $1,923 | $1,622 | $1,619 | | Total commercial real estate | $5,928 | $5,618 | $5,214 | $3,238 | | Commercial and Industrial | $24,165 | $14,764 | $2,069 | $2,455 | | Agriculture | $5,408 | $6,603 | $2,335 | $6,040 | | Total 1-4 family | $9,153 | $11,082 | $9,368 | $6,344 | | Multifamily residential | $1,039 | $398 | $389 | $392 | | Total consumer | $4,254 | $4,937 | $4,420 | $3,978 | | Total Non-performing Assets | $54,312 | $48,606 | $27,786 | $28,121 | [Accruing 30-89 Days Delinquent Loans](index=24&type=section&id=Accruing%2030-89%20Days%20Delinquent%20Loans) This section analyzes early stage delinquencies by loan type, showing a decrease in total 30-89 days delinquent loans quarter-over-quarter and year-over-year Accruing 30-89 Days Delinquent Loans, by Loan Type (in thousands) | Loan Type | Sep 30, 2025 | Jun 30, 2025 | Dec 31, 2024 | Sep 30, 2024 | % Change from Q2 2025 | % Change from YTD 2024 | % Change from Q3 2024 | | :------------------------------------ | :----------- | :----------- | :----------- | :----------- | :-------------------- | :--------------------- | :-------------------- | | Total residential construction | $305 | $385 | $1,533 | $1,263 | (21)% | (80)% | (76)% | | Total land, lot and other construction | $5,862 | $9,295 | $2,102 | $943 | (37)% | 179% | 522% | | Total commercial real estate | $11,424 | $17,709 | $7,904 | $19,426 | (35)% | 45% | (41)% | | Commercial and industrial | $3,711 | $6,711 | $6,194 | $3,125 | (45)% | (40)% | 19% | | Agriculture | $2,104 | $8,243 | $744 | $16,932 | (74)% | 183% | (88)% | | Total 1-4 family | $5,357 | $3,583 | $6,540 | $6,288 | 50% | (18)% | (15)% | | Multifamily Residential | $150 | $0 | $0 | $0 | n/m | n/m | n/m | | Total consumer | $9,172 | $7,097 | $5,506 | $6,794 | 29% | 67% | 35% | | Total | $39,524 | $54,403 | $32,228 | $56,213 | (27)% | 23% | (30)% | [Net Charge-Offs (Recoveries), Year-to-Date](index=25&type=section&id=Net%20Charge-Offs%20%28Recoveries%29%2C%20Year-to-Date) This section details year-to-date net charge-offs by loan type, indicating overall charge-offs and recoveries for the period Net Charge-Offs (Recoveries), Year-to-Date (in thousands) | Loan Type | Sep 30, 2025 | Jun 30, 2025 | Dec 31, 2024 | Sep 30, 2024 | Charge-Offs YTD 2025 | Recoveries YTD 2025 | | :------------------------------------ | :----------- | :----------- | :----------- | :----------- | :------------------- | :------------------ | | Pre-sold and spec construction | $0 | $50 | $(4) | $(4) | $51 | $51 | | Land development | $(358) | $(341) | $1,095 | $(21) | $0 | $358 | | Total land, lot and other construction | $(363) | $(344) | $2,730 | $282 | $0 | $363 | | Total commercial real estate | $(12) | $(9) | $(71) | $(76) | $0 | $12 | | Commercial and industrial | $655 | $26 | $1,422 | $1,272 | $1,508 | $853 | | Agriculture | $(111) | $(109) | $64 | $65 | $0 | $111 | | Total 1-4 family | $(192) | $(216) | $(33) | $(94) | $127 | $319 | | Total consumer | $1,124 | $636 | $1,147 | $722 | $1,395 | $271 | | Other | $5,253 | $3,406 | $8,643 | $6,561 | $8,195 | $2,942 | | Total | $6,354 | $3,440 | $13,898 | $8,728 | $11,276 | $4,922 |

Core Insights - The company reported a net income of $67.9 million for Q3 2025, marking a 29% increase from the previous quarter and a 33% increase from the same quarter last year [1][4] - Diluted earnings per share for the current quarter was $0.57, up 27% from both the prior quarter and the same quarter last year [1][4] - The company completed the acquisition of Guaranty Bancshares, expanding its presence into Texas [2][4] Financial Performance - Year-to-date net income for the first nine months of 2025 was $175 million, a 36% increase from $128 million in the same period last year [1][4] - Net interest income for Q3 2025 was $225 million, an increase of 9% from the prior quarter and 25% from the same quarter last year [1][24] - Total deposits reached $21.871 billion at the end of Q3 2025, reflecting a 4% annualized increase from the prior quarter [1][17] Loan and Deposit Growth - The loan portfolio increased to $18.791 billion, a 6% annualized increase from the prior quarter [1][9] - Non-interest bearing deposits rose to $6.674 billion, a 5% annualized increase from the prior quarter [1][17] - The company experienced an organic loan portfolio growth of $535 million, or 3%, excluding the impact of acquisitions [9] Credit Quality - The allowance for credit losses was $229.1 million, representing 1.22% of total loans outstanding [10][13] - Non-performing assets increased to $54.3 million, or 0.19% of subsidiary assets, up from 0.17% in the prior quarter [11][12] - Early stage delinquencies decreased to 0.21% of loans, down from 0.29% in the prior quarter [12] Dividends and Shareholder Returns - The company declared a quarterly dividend of $0.33 per share, marking the 162nd consecutive dividend declaration [21] - Tangible stockholders' equity increased to $2.426 billion, a 3% increase from the prior quarter [19][20]

Core Viewpoint - Analysts project that Glacier Bancorp (GBCI) will report quarterly earnings of $0.61 per share, reflecting a year-over-year increase of 35.6%, with revenues expected to reach $257.05 million, up 19.6% from the same quarter last year [1]. Earnings Projections - Over the past 30 days, the consensus EPS estimate has been adjusted downward by 5.2%, indicating a reassessment by covering analysts [2]. - Changes in earnings projections are crucial for predicting investor reactions, as empirical studies show a strong correlation between earnings estimate trends and short-term stock price movements [3]. Key Metrics Forecast - The consensus estimate for the 'Efficiency Ratio' is 61.4%, down from 64.9% a year ago [5]. - 'Non-accrual loans' are expected to reach $39.57 million, compared to $15.94 million reported in the same quarter last year [5]. - Analysts estimate 'Total non-performing assets' at $47.99 million, up from $28.12 million a year ago [5]. - 'Average Balances - Total earning assets' are projected to be $26.86 billion, an increase from $25.87 billion in the same quarter last year [6]. - 'Total Non-Interest Income' is expected to be $34.36 million, slightly down from $34.70 million a year ago [6]. - 'Net Interest Income' is forecasted at $222.40 million, compared to $180.23 million last year [7]. - 'Gain on sale of loans' is expected to reach $5.16 million, up from $4.90 million a year ago [7]. - 'Net interest income (tax-equivalent)' is projected to be $227.81 million, compared to $184.23 million last year [7]. Stock Performance - Glacier Bancorp shares have decreased by 5.6% over the past month, contrasting with a +0.4% change in the Zacks S&P 500 composite [8]. - With a Zacks Rank 4 (Sell), GBCI is anticipated to underperform the overall market in the near term [8].

Core Insights - Glacier Bancorp, Inc. has completed the acquisition of Guaranty Bancshares, Inc., enhancing its presence in Texas with a new division named "Guaranty Bank & Trust, Division of Glacier Bank" [1] - The acquisition adds 33 banking locations across 26 Texas communities, expanding Glacier's market reach in East Texas, Dallas/Fort Worth, Houston, Bryan/College Station, and Austin [1] - As of June 30, 2025, Guaranty Bancshares reported total assets of $3.1 billion, total loans of $2.1 billion, and total deposits of $2.7 billion [1] Company Overview - Glacier Bancorp, Inc. serves as the parent company for Glacier Bank and its various bank divisions located across multiple states, including Utah, Colorado, Idaho, Montana, Wyoming, Nevada, and Arizona [2]

Core Insights - Glacier Bancorp Inc. (NYSE:GBCI) is recognized as one of the Best High Yield Stocks to Buy in October [1] - The bank has a community-oriented approach, providing conventional banking services across an eight-state network [2] Company Strategy - Glacier Bancorp has been actively acquiring banks in nearby markets, with the latest acquisition being the Bank of Idaho in April 2025, which has contributed to loan and deposit growth [3] - The bank emphasizes credit quality, cost control, and compliance, while also investing in technology to meet the increasing demand for digital banking products [3] Dividend Performance - On September 23, Glacier Bancorp announced a quarterly dividend of $0.33 per share, marking its 162nd consecutive quarterly dividend and a total of 49 dividend increases during this period [4] - The current dividend yield stands at 2.64%, and the stock is set to go ex-dividend on October 7, making it attractive for dividend capture strategies [4]

Core Viewpoint - The proposed sale of Guaranty Bancshares, Inc. to Glacier Bancorp, Inc. is under investigation to assess whether the transaction adequately values Guaranty and if the process leading to this valuation was appropriate [1]. Group 1 - The transaction terms stipulate that shareholders of Guaranty will receive 1.0000 share of Glacier stock for each share of Guaranty owned, with potential adjustments under certain circumstances [1]. - Kahn Swick & Foti, LLC is investigating the adequacy of the consideration offered in the proposed sale [1]. - The investigation aims to determine if the proposed sale undervalues Guaranty Bancshares, Inc. [1].

```markdown [Part I. Financial Information](index=2&type=section&id=Part%20I.%20Financial%20Information) [Item 1 – Financial Statements](index=4&type=section&id=Item%201%20%E2%80%93%20Financial%20Statements) Presents Glacier Bancorp's unaudited consolidated financial statements and notes for Q2 2025 and FY2024 [Unaudited Condensed Consolidated Statements of Financial Condition](index=4&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Financial%20Condition) | Metric | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :------------------------------- | | Total assets | $29,004,983 | $27,902,987 | | Total liabilities | $25,472,719 | $24,679,133 | | Total stockholders' equity | $3,532,264 | $3,223,854 | | Number of common stock shares outstanding | 118,550,475 | 113,401,955 | - Total assets increased by approximately **$1.1 billion** from December 31, 2024, to June 30, 2025, primarily driven by an increase in loans receivable[9](index=9&type=chunk) - Total liabilities increased by approximately **$793 million**, with non-interest bearing deposits and interest bearing deposits showing significant increases[9](index=9&type=chunk) [Unaudited Condensed Consolidated Statements of Operations](index=5&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations) | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :-------------------------------- | :-------------------------------------- | :-------------------------------------- | :------------------------------------ | :------------------------------------ | | Total interest income | $308,115 | $273,834 | $598,040 | $553,236 | | Total interest expense | $100,499 | $107,356 | $200,445 | $220,278 | | Net Interest Income | $207,616 | $166,478 | $397,595 | $332,958 | | Provision for credit losses | $20,267 | $3,518 | $28,081 | $11,767 | | Net Income | $52,781 | $44,708 | $107,349 | $77,335 | | Basic earnings per share | $0.45 | $0.39 | $0.93 | $0.68 | | Diluted earnings per share | $0.45 | $0.39 | $0.93 | $0.68 | | Dividends declared per share | $0.33 | $0.33 | $0.66 | $0.66 | - Net income for the three months ended June 30, 2025, increased by **18%** year-over-year, reaching **$52.8 million**[10](index=10&type=chunk) - For the six months ended June 30, 2025, net income increased by **38.8%** to **$107.3 million** compared to the same period in 2024[10](index=10&type=chunk) [Unaudited Condensed Consolidated Statements of Comprehensive Income](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :-------------------------------- | :-------------------------------------- | :-------------------------------------- | :------------------------------------ | :------------------------------------ | | Net Income | $52,781 | $44,708 | $107,349 | $77,335 | | Total other comprehensive income, net of tax | $24,456 | $17,654 | $70,641 | $19,462 | | Total Comprehensive Income | $77,237 | $62,362 | $177,990 | $96,797 | - Total comprehensive income for the six months ended June 30, 2025, significantly increased to **$177.99 million**, up from **$96.80 million** in the prior year, primarily due to higher net income and a substantial increase in other comprehensive income from unrealized gains on available-for-sale securities[14](index=14&type=chunk) [Unaudited Condensed Consolidated Statements of Changes in Stockholders' Equity](index=8&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Changes%20in%20Stockholders'%20Equity) | Metric | June 30, 2025 (in thousands) | June 30, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :----------------------------- | | Balance at January 1 | $3,223,854 | $3,020,281 | | Net income | $107,349 | $77,335 | | Other comprehensive income | $70,641 | $19,462 | | Cash dividends declared | $(76,768) | $(75,033) | | Stock issued in connection with acquisitions | $204,987 | $92,385 | | Balance at June 30 | $3,532,264 | $3,137,445 | - Stockholders' equity increased by **$308.4 million** for the six months ended June 30, 2025, primarily driven by net income, other comprehensive income, and stock issued for acquisitions[18](index=18&type=chunk) - The acquisition of Bank of Idaho Holding Co. resulted in the issuance of **5,029,102 common shares**, contributing **$204.99 million** to paid-in capital[16](index=16&type=chunk)[18](index=18&type=chunk) [Unaudited Condensed Consolidated Statements of Cash Flows](index=10&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) | Activity | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :-------------------------------- | :------------------------------------ | :------------------------------------ | | Net cash provided by operating activities | $138,479 | $5,943 | | Net cash provided by investing activities | $361,497 | $223,271 | | Net cash used in financing activities | $(432,877) | $(782,777) | | Net increase (decrease) in cash and cash equivalents | $67,099 | $(553,563) | | Cash, cash equivalents at end of period | $915,507 | $800,779 | - Net cash provided by operating activities significantly increased to **$138.48 million** in the first half of 2025 from **$5.94 million** in the prior year[20](index=20&type=chunk) - Net cash used in financing activities decreased substantially from **$(782.78) million** in H1 2024 to **$(432.88) million** in H1 2025, primarily due to a net increase in deposits and a decrease in FHLB advances[21](index=21&type=chunk) [Notes to Unaudited Condensed Consolidated Financial Statements](index=12&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) [Note 1. Nature of Operations and Summary of Significant Accounting Policies](index=12&type=section&id=Note%201.%20Nature%20of%20Operations%20and%20Summary%20of%20Significant%20Accounting%20Policies) Details Glacier Bancorp's banking operations, key accounting policies, and the recent Bank of Idaho acquisition - Glacier Bancorp, Inc. operates as a single segment entity, the banking segment, for financial reporting purposes, with the CEO serving as the chief operating decision maker[31](index=31&type=chunk) - The Company completed the acquisition of Bank of Idaho Holding Co. (BOID) on April 30, 2025, with its results of operations included in consolidated financial statements from the acquisition date[30](index=30&type=chunk) - Material estimates susceptible to significant change include the allowance for credit losses on loans, valuation of debt securities, and goodwill impairment[26](index=26&type=chunk) [Note 2. Debt Securities](index=22&type=section&id=Note%202.%20Debt%20Securities) Details the **$7.23 billion** debt securities portfolio (AFS and HTM), with unrealized losses due to interest rate changes | Category | June 30, 2025 (Fair Value, in thousands) | December 31, 2024 (Fair Value, in thousands) | | :-------------------------------- | :------------------------------------- | :--------------------------------------- | | Total available-for-sale | $4,024,980 | $4,245,205 | | Total held-to-maturity | $2,871,520 | $2,968,570 | | Total debt securities | $6,896,500 | $7,213,775 | - Gross unrealized losses on available-for-sale securities totaled **$319.66 million** at June 30, 2025, primarily due to changes in interest rates and market spreads, not credit losses[104](index=104&type=chunk)[116](index=116&type=chunk) - All available-for-sale and held-to-maturity debt securities with unrealized loss positions at June 30, 2025, were determined to be investment grade, and no allowance for credit losses was recorded[114](index=114&type=chunk)[116](index=116&type=chunk)[120](index=120&type=chunk) [Note 3. Loans Receivable, Net](index=26&type=section&id=Note%203.%20Loans%20Receivable%2C%20Net) Breaks down the loan portfolio and ACL, which increased to **$226.80 million** due to the BOID acquisition | Loan Segment | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :------------------------------- | | Residential real estate | $1,931,554 | $1,858,929 | | Commercial real estate | $11,935,109 | $10,963,713 | | Other commercial | $3,303,889 | $3,119,535 | | Home equity | $975,429 | $930,994 | | Other consumer | $386,759 | $388,678 | | Loans receivable, net | $18,305,941 | $17,055,808 | | Allowance for credit losses | $(226,799) | $(206,041) | - The Allowance for Credit Losses (ACL) increased to **$226.80 million** at June 30, 2025, from **$206.04 million** at December 31, 2024, primarily due to a **$14.59 million** provision for credit losses from the Bank of Idaho acquisition[123](index=123&type=chunk) | Loan Status | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :------------------------------- | | Total past due and non-accrual loans | $101,130 | $58,850 | | Current loans receivable | $18,431,610 | $17,202,999 | [Note 4. Leases](index=36&type=section&id=Note%204.%20Leases) Details operating and finance leases, with ROU assets of **$56.53 million** and liabilities of **$61.68 million** | Lease Type | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :------------------------------- | | Net ROU assets (Finance) | $17,915 | $19,966 | | Net ROU assets (Operating) | $38,610 | $36,286 | | Lease liabilities (Finance) | $19,405 | $21,279 | | Lease liabilities (Operating) | $42,274 | $39,902 | | Weighted-average remaining lease term (Finance) | 11 years | 11 years | | Weighted-average remaining lease term (Operating) | 14 years | 15 years | | Lease Cost Component | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :-------------------------------- | :------------------------------------ | :------------------------------------ | | Finance lease cost | $2,510 | $2,631 | | Operating lease cost | $2,775 | $2,627 | | Short-term lease cost | $273 | $233 | | Variable lease cost | $948 | $755 | | Sublease income | $(29) | $(20) | | Total lease expense | $6,477 | $6,226 | [Note 5. Goodwill](index=37&type=section&id=Note%205.%20Goodwill) Goodwill increased to **$1.12 billion** due to the BOID acquisition; no impairment identified in 2024 | Metric | June 30, 2025 (in thousands) | June 30, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :----------------------------- | | Net carrying value at beginning of period | $1,051,318 | $985,393 | | Acquisitions and adjustments | $70,083 | $38,369 | | Net carrying value at end of period | $1,121,401 | $1,023,762 | - Goodwill increased by **$70.08 million** in the first six months of 2025, primarily from the Bank of Idaho acquisition[139](index=139&type=chunk) - Accumulated impairment charges remained at **$40.16 million** as of June 30, 2025, with no new impairment identified in the 2024 annual test[139](index=139&type=chunk) [Note 6. Loan Servicing](index=38&type=section&id=Note%206.%20Loan%20Servicing) Details mortgage servicing rights, with a carrying value of **$11.74 million** and **$1.48 billion** in loans serviced | Metric | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :------------------------------- | | Carrying value at end of period | $11,738 | $11,958 | | Principal balances of loans serviced for others | $1,481,486 | $1,507,439 | | Fair value of servicing rights | $17,427 | $17,902 | - The carrying value of mortgage servicing rights decreased slightly from **$11.96 million** at December 31, 2024, to **$11.74 million** at June 30, 2025, due to amortization exceeding additions[140](index=140&type=chunk) [Note 7. Variable Interest Entities](index=38&type=section&id=Note%207.%20Variable%20Interest%20Entities) Discusses consolidation of CDEs and LIHTC partnerships, and reporting of unconsolidated LIHTC investments - The Company consolidates CDEs and certain LIHTC partnerships where it is the primary beneficiary, with total consolidated VIE assets of **$204.47 million** and liabilities of **$86.99 million** at June 30, 2025[143](index=143&type=chunk)[144](index=144&type=chunk)[146](index=146&type=chunk) - Unconsolidated LIHTC partnerships had carrying values of **$211.58 million** at June 30, 2025, with future unfunded equity commitments totaling **$88.74 million**[147](index=147&type=chunk) | Metric | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :-------------------------------- | :------------------------------------ | :------------------------------------ | | Amortization expense (unconsolidated LIHTCs) | $12,645 | $10,388 | | Tax credits and other tax benefits recognized | $15,570 | $13,610 | [Note 8. Securities Sold Under Agreements to Repurchase](index=40&type=section&id=Note%208.%20Securities%20Sold%20Under%20Agreements%20to%20Repurchase) Details repurchase agreements as a funding source, totaling **$1.98 billion**, secured by mortgage-backed securities | Collateral Type | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :------------------------------- | | Residential mortgage-backed securities | $1,976,228 | $1,777,475 | - Securities sold under agreements to repurchase increased to **$1.98 billion** at June 30, 2025, from **$1.78 billion** at December 31, 2024[150](index=150&type=chunk) [Note 9. Derivatives and Hedging Activities](index=40&type=section&id=Note%209.%20Derivatives%20and%20Hedging%20Activities) Explains derivative use (interest rate caps and swaps) for managing interest rate risk and hedging loans - Interest rate caps, designated as cash flow hedges, matured on March 31, 2025, with a fair value of **$0** at June 30, 2025[151](index=151&type=chunk) - New interest rate swaps were entered into in Q4 2024 to hedge fixed rate debt securities, with a notional amount of **$1.63 billion** and an asset derivative fair value of **$4.09 million** at June 30, 2025[155](index=155&type=chunk)[156](index=156&type=chunk) | Derivative Type | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :------------------------------- | | Interest rate locks (asset fair value) | $1,243 | $410 | | TBA hedge (liability fair value) | $559 | $169 (asset) | [Note 10. Other Expenses](index=42&type=section&id=Note%2010.%20Other%20Expenses) Itemizes 'Other expenses,' totaling **$49.86 million** for H1 2025, a **6%** decrease from lower M&A expenses | Expense Category | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :-------------------------------- | :------------------------------------ | :------------------------------------ | | Consulting and outside services | $9,876 | $10,012 | | Debit card expenses | $7,407 | $6,882 | | Loan expenses | $4,238 | $3,934 | | Mergers and acquisition expenses | $3,818 | $7,508 | | Employee expenses | $3,543 | $3,034 | | VIE amortization and other expenses | $3,407 | $4,162 | | Total other expenses | $49,864 | $53,099 | - Mergers and acquisition expenses decreased significantly from **$7.51 million** in H1 2024 to **$3.82 million** in H1 2025[158](index=158&type=chunk) [Note 11. Accumulated Other Comprehensive Loss](index=43&type=section&id=Note%2011.%20Accumulated%20Other%20Comprehensive%20Loss) AOCL improved from **$(309.30) million** to **$(238.66) million**, driven by **$68.99 million** in other comprehensive income | Component | June 30, 2025 (in thousands) | June 30, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :----------------------------- | | Balance at January 1 | $(309,296) | $(374,113) | | Net current period other comprehensive income (loss) | $70,641 | $19,462 | | Balance at June 30 | $(238,655) | $(354,651) | - The net current period other comprehensive income was **$70.64 million** for the six months ended June 30, 2025, a substantial increase from **$19.46 million** in the prior year[159](index=159&type=chunk) [Note 12. Earnings Per Share](index=43&type=section&id=Note%2012.%20Earnings%20Per%20Share) Basic and diluted EPS increased to **$0.93** for H1 2025, up from **$0.68** in the prior year | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :-------------------------------- | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Net income available to common stockholders | $52,781 | $44,708 | $107,349 | $77,335 | | Basic earnings per share | $0.45 | $0.39 | $0.93 | $0.68 | | Diluted earnings per share | $0.45 | $0.39 | $0.93 | $0.68 | | Average outstanding shares - basic | 116,890,776 | 113,390,539 | 115,180,489 | 112,941,341 | - Diluted EPS for the three months ended June 30, 2025, was **$0.45**, an increase from **$0.39** in the prior year period[161](index=161&type=chunk) [Note 13. Fair Value of Assets and Liabilities](index=44&type=section&id=Note%2013.%20Fair%20Value%20of%20Assets%20and%20Liabilities) Outlines fair value measurements for assets and liabilities using a three-level hierarchy | Asset/Liability | June 30, 2025 (Fair Value, in thousands) | December 31, 2024 (Fair Value, in thousands) | | :-------------------------------- | :------------------------------------- | :--------------------------------------- | | Total assets measured at fair value on a recurring basis | $4,078,047 | $4,288,851 | | Total liabilities measured at fair value on a recurring basis | $559 | $0 (asset) | | Collateral-dependent impaired loans, net of ACL (non-recurring) | $419 | $2,052 | - All recurring fair value measurements for assets and liabilities are classified within Level 2, indicating significant other observable inputs[173](index=173&type=chunk)[174](index=174&type=chunk) - Collateral-dependent impaired loans, measured on a non-recurring basis, are classified within Level 3, utilizing unobservable inputs like selling costs[177](index=177&type=chunk)[179](index=179&type=chunk) [Note 14. Mergers & Acquisitions](index=50&type=section&id=Note%2014.%20Mergers%20%26%20Acquisitions) Details the BOID acquisition for **$204.99 million** and the announced acquisition of Guaranty Bancshares - The acquisition of Bank of Idaho Holding Co. (BOID) on April 30, 2025, involved the issuance of **5,029,102 common shares** and **$2,000** in cash, totaling **$204.99 million** in consideration[189](index=189&type=chunk) | Acquired Assets/Liabilities (BOID) | April 30, 2025 (in thousands) | | :-------------------------------- | :---------------------------- | | Total identifiable assets acquired | $1,294,557 | | Liabilities assumed | $1,159,652 | | Goodwill recognized | $70,083 | | Loans receivable, net of ACL | $1,075,197 | | Deposits | $1,078,377 | - On June 24, 2025, the Company announced an agreement to acquire Guaranty Bancshares, Inc., with Guaranty having total assets of **$3.1 billion**, gross loans of **$2.1 billion**, and deposits of **$2.7 billion** as of June 30, 2025[196](index=196&type=chunk) [Item 2 – Management's Discussion and Analysis of Financial Condition and Results of Operations](index=51&type=section&id=Item%202%20%E2%80%93%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Reviews Glacier Bancorp's financial condition and operating results, including assets, liabilities, equity, and key metrics [FORWARD-LOOKING STATEMENTS](index=52&type=section&id=FORWARD-LOOKING%20STATEMENTS) Highlights forward-looking statements subject to business, economic, and competitive uncertainties and various risks - The Form 10-Q contains forward-looking statements subject to significant business, economic, and competitive uncertainties, including risks related to lending, monetary policies, regulatory changes, economic conditions, geopolitical instability, acquisitions, goodwill impairment, and cybersecurity[200](index=200&type=chunk) - The Company does not undertake any obligation to update or revise forward-looking statements, except as required by law[201](index=201&type=chunk) [MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS](index=53&type=section&id=MANAGEMENT'S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) [Financial Highlights](index=53&type=section&id=Financial%20Highlights) Reports Q2 2025 net income of **$52.8 million**, diluted EPS of **$0.45**, and details recent acquisitions | Metric | Q2 2025 | Q1 2025 | Q2 2024 | H1 2025 | H1 2024 | | :-------------------------------- | :------ | :------ | :------ | :------ | :------ | | Net income (in thousands) | $52,781 | $54,568 | $44,708 | $107,349 | $77,335 | | Basic earnings per share | $0.45 | $0.48 | $0.39 | $0.93 | $0.68 | | Diluted earnings per share | $0.45 | $0.48 | $0.39 | $0.93 | $0.68 | | Return on average assets (annualized) | 0.74 % | 0.80 % | 0.66 % | 0.77 % | 0.56 % | | Efficiency ratio | 62.08 % | 65.49 % | 67.97 % | 63.72 % | 71.17 % | - The current quarter's net income included **$3.2 million** in acquisition-related expenses and **$16.7 million** of credit loss expense from the BOID acquisition[204](index=204&type=chunk) - The acquisition of BOID added **$1.36 billion** in total assets, **$1.08 billion** in loans receivable, and **$1.08 billion** in deposits as of April 30, 2025[206](index=206&type=chunk)[207](index=207&type=chunk) [Market Conditions](index=54&type=section&id=Market%20Conditions) Monitors macroeconomic and geopolitical uncertainties, including inflation and market volatility - Current market conditions are characterized by macroeconomic and geopolitical uncertainties, including conflicts, trade policies, capital markets volatility, and inflation[208](index=208&type=chunk) - These factors may lead to slower or negative economic growth and a challenging business environment for banking customers[208](index=208&type=chunk) [Financial Condition Analysis](index=54&type=section&id=Financial%20Condition%20Analysis) Analyzes asset growth to **$29.00 billion**, deposit increase to **$21.63 billion**, and equity growth from BOID acquisition | Metric | June 30, 2025 (in thousands) | March 31, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :------------------------------ | :------------------------------- | | Total assets | $29,004,983 | $27,858,879 | $27,902,987 | | Total debt securities | $7,231,113 | $7,433,887 | $7,540,052 | | Loans receivable, net | $18,305,941 | $17,008,118 | $17,055,808 | | Total deposits | $21,628,502 | $20,634,050 | $20,546,994 | | Total liabilities | $25,472,719 | $24,571,271 | $24,679,133 | | Total stockholders' equity | $3,532,264 | $3,287,608 | $3,223,854 | | Tangible book value per common share | $19.79 | $19.28 | $18.71 | - The loan portfolio increased by **$1.31 billion** (**8%**) during Q2 2025, with an organic increase of **$239 million** (**6%** annualized) excluding the BOID acquisition[211](index=211&type=chunk) - Non-interest bearing deposits increased by **$493 million** (**8%**) from the prior quarter, representing **30%** of total deposits[212](index=212&type=chunk) [Operating Results for Three Months Ended June 30, 2025 Compared to March 31, 2025, and June 30, 2024](index=57&type=section&id=Operating%20Results%20for%20Three%20Months%20Ended%20June%2030%2C%202025%20Compared%20to%20March%2031%2C%202025%2C%20and%20June%2030%2C%202024) Reviews Q2 2025 operating results, highlighting increased net interest income and improved efficiency ratio | Metric | Q2 2025 (in thousands) | Q1 2025 (in thousands) | Q2 2024 (in thousands) | | :-------------------------------- | :--------------------- | :--------------------- | :--------------------- | | Total net interest income | $207,616 | $189,979 | $166,478 | | Total non-interest income | $32,944 | $32,642 | $32,204 | | Total non-interest expense | $155,119 | $151,318 | $140,952 | | Provision for credit losses on loans | $18,009 | $6,154 | $5,066 | | Net interest margin (tax-equivalent) | 3.21 % | 3.04 % | 2.68 % | | Efficiency ratio | 62.08 % | 65.49 % | 67.97 % | - Net interest income increased by **$17.6 million** (**9%**) from Q1 2025 and **$41.1 million** (**25%**) from Q2 2024, primarily due to increased loan yields and decreased total cost of funding[218](index=218&type=chunk)[219](index=219&type=chunk)[220](index=220&type=chunk) - The current quarter's provision for credit loss expense of **$20.3 million** included **$14.6 million** from the BOID acquisition[226](index=226&type=chunk) [Operating Results for Six Months Ended June 30, 2025 Compared to June 30, 2024](index=60&type=section&id=Operating%20Results%20for%20Six%20Months%20Ended%20June%2030%2C%202025%20Compared%20to%20June%2030%2C%202024) Analyzes H1 2025 operating results, showing **19%** net interest income growth and a **139%** surge in credit loss provision | Metric | H1 2025 (in thousands) | H1 2024 (in thousands) | | :-------------------------------- | :--------------------- | :--------------------- | | Total net interest income | $397,595 | $332,958 | | Total non-interest income | $65,586 | $62,193 | | Total non-interest expense | $306,437 | $292,795 | | Provision for credit losses | $28,081 | $11,767 | | Net interest margin (tax-equivalent) | 3.12 % | 2.64 % | | Efficiency ratio | 63.72 % | 71.17 % | - Net interest income increased by **$64.6 million** (**19%**) in H1 2025, primarily from an **8%** increase in interest income and a **9%** decrease in interest expense[230](index=230&type=chunk)[231](index=231&type=chunk) - The provision for credit loss expense increased by **$16.3 million** (**139%**) in H1 2025, with **$16.7 million** attributed to the BOID acquisition[236](index=236&type=chunk) [ADDITIONAL MANAGEMENT'S DISCUSSION AND ANALYSIS](index=62&type=section&id=ADDITIONAL%20MANAGEMENT'S%20DISCUSSION%20AND%20ANALYSIS) [Investment Activity](index=62&type=section&id=Investment%20Activity) Details the investment portfolio, primarily U.S. government and mortgage-backed securities, providing liquidity | Category | June 30, 2025 (Carrying Amount, in thousands) | December 31, 2024 (Carrying Amount,

Core Viewpoint - Glacier Bancorp (NYSE: GBCI) shares have remained flat over the past year, missing out on a significant equity market rally and are still below their post-election high [1] Company Performance - The stock has not participated in the broader market gains, indicating potential underperformance relative to peers [1] Investment Strategy - The article suggests a contrarian investment approach based on macro views and stock-specific turnaround stories to achieve outsized returns with a favorable risk/reward profile [1]

Financial Data and Key Metrics Changes - The company reported net income of $52.8 million for the second quarter, representing a 3% decline from the prior quarter but an 18% increase year-over-year [4][5] - Earnings per share increased by 15% compared to the same quarter last year [5] - Net interest income rose to $208 million, up 9% from the prior quarter and 25% year-over-year [6] - The net interest margin expanded to 3.21%, up 17 basis points from the first quarter and 53 basis points year-over-year [6][7] - Non-performing assets remained low at 0.17% of total assets, with net charge-offs at $1.6 million for the quarter [9] Business Line Data and Key Metrics Changes - The loan portfolio grew by $1.3 billion to $18.5 billion, an 8% increase from the prior quarter, with commercial real estate being a key driver [5] - Deposits increased to $21.6 billion, up 5% quarter-over-quarter, with non-interest bearing deposits rising by 8% [5][6] - Non-interest income totaled $32.9 million, slightly up from the first quarter and up 2% year-over-year [8] Market Data and Key Metrics Changes - The company successfully completed the acquisition of the Bank of Idaho, adding $1.4 billion in assets and expanding its presence in Idaho and Eastern Washington [3][4] - A definitive agreement was announced to acquire Guaranty Bancshares, a $3.1 billion bank, marking the company's first entry into Texas [4] Company Strategy and Development Direction - The company is focused on strategic expansion in the Southwest, with the acquisition of Guaranty Bancshares being a significant step [4] - The management emphasized disciplined expense management and maintaining a strong capital position as foundations for future growth [10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued margin growth, expecting to see an increase of 15 to 17 basis points per quarter for the next couple of quarters [15] - The company noted strong organic loan growth and positive client sentiment, with fewer customers delaying decisions due to economic uncertainty [42] - Management indicated that they are looking to strengthen technology and operational efficiency to support growth [71][72] Other Important Information - The company declared its 161st consecutive quarterly dividend of $0.33 per share, reflecting its commitment to shareholder returns [10] - The efficiency ratio improved to 62.08%, down from 65.49% in the prior quarter, indicating positive operating leverage [8] Q&A Session Summary Question: Margin tracking and future expectations - Management indicated that they expect continued growth in margin, with a potential increase of 15 to 17 basis points per quarter [15][16] Question: Expense guidance and efficiency - Management provided insights on expense management, noting a reduction in core non-interest expense guidance for the upcoming quarters [20][23] Question: Loan yield expansion and core trends - Management quantified the impact of purchase accounting accretion on interest income, noting it contributed around four basis points this quarter [30][32] Question: Organic growth and competitive landscape - Management reported solid organic loan growth and optimistic client sentiment, with a strong production yield of 7.35% for the quarter [45][58] Question: Hiring opportunities and market conditions - Management discussed plans for hiring, focusing on operational support and potential talent acquisition in Texas due to market changes [47][49]

Financial Data and Key Metrics Changes - The company reported net income of $52.8 million for the second quarter, representing a 3% decline from the prior quarter but an 18% increase year-over-year [3][4] - Earnings per share increased by 15% compared to the same quarter last year [4] - Net interest income rose to $208 million, up 9% from the prior quarter and up 25% year-over-year [5] - The net interest margin expanded to 3.21%, up 17 basis points from the first quarter and up 53 basis points year-over-year [5][6] - Non-performing assets remained low at 0.17% of total assets, with net charge-offs at $1.6 million for the quarter [8] Business Line Data and Key Metrics Changes - The loan portfolio grew by $1.3 billion to $18.5 billion, an 8% increase from the prior quarter, with commercial real estate being a key driver [4] - Deposits increased to $21.6 billion, up 5% quarter-over-quarter, with non-interest bearing deposits rising by 8% [4][5] - Non-interest income totaled $32.9 million, up slightly from the first quarter and up 2% year-over-year [7] Market Data and Key Metrics Changes - The company successfully completed the acquisition of the Bank of Idaho, adding $1.4 billion in assets and expanding its presence in Idaho and Eastern Washington [2][3] - A definitive agreement was announced to acquire Guaranty Bancshares, a $3.1 billion bank, marking the company's first entry into Texas [3] Company Strategy and Development Direction - The company is focused on strategic expansion, particularly in the Southwest, with the acquisition of Guaranty Bancshares [3] - The integration of the Bank of Idaho is progressing smoothly, indicating a commitment to growth through acquisitions [3] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued growth in net interest margin and loan yields, expecting to maintain a pace of increase for the next couple of quarters [12][13] - The company remains cautious in spending due to economic uncertainty and market volatility, but is optimistic about organic growth and customer sentiment [18][40] Other Important Information - The tangible book value per share increased to $19.79, up 8% year-over-year, and the company declared its 161st consecutive quarterly dividend of $0.33 per share [9] - The efficiency ratio improved to 62.08%, reflecting positive operating leverage [7] Q&A Session Summary Question: Margin tracking and future expectations - Management indicated continued growth in margin, expecting 15 to 17 basis points increase per quarter [12][13] Question: Expense guidance and efficiency - Management provided insights on expense management, indicating a reduction in core non-interest expense guidance for the upcoming quarters [19][20] Question: Organic growth and competitive landscape - Management noted solid organic loan growth and a positive outlook on client sentiment, with some competitive pressures on pricing but not on structure [39][42] Question: Hiring and operational opportunities - The company is looking to fill operational positions to support growth, with potential opportunities arising from market changes in Texas [45][46] Question: Loan growth and payoff pressure - Management acknowledged ongoing payoff pressure but expects it to abate towards the end of the year, maintaining a low to mid single-digit growth outlook [53][54]