Financial Performance - As of June 30, 2024, cash and cash equivalents totaled $5,016,138 thousand, an increase of 34.2% from $3,739,616 thousand in the same period of 2023[27]. - The Company reported a total of $240,423 million in leases and other loans as of June 30, 2024, unchanged from December 31, 2023[43]. - The net income for the three months ended June 30, 2024, was $101,345 thousand, compared to $90,110 thousand for the same period in 2023, showing an increase of 12.4%[148]. - The net income for the six months ended June 30, 2024, was $211,603 thousand, compared to $182,547 thousand for the same period in 2023, showing an increase of 15.9%[150]. - Noninterest income for the three months ended June 30, 2024, was $144,919 thousand, up from $138,082 thousand in the same period of 2023, reflecting a growth of 4.5%[148]. - Noninterest income for the six months ended June 30, 2024, was $304,163 thousand, up from $268,282 thousand in the same period of 2023, representing a growth of 13.4%[150]. Loan Portfolio - As of June 30, 2024, total loans amounted to $24,197.4 million, compared to $23,172.4 million as of December 31, 2023, reflecting an increase of approximately 4.4%[43][44]. - The total amount of loans classified as nonaccrual was $13.7 million at June 30, 2024, with $5,266 million in commercial and industrial loans included in this category[47]. - The total amount of consumer credit card loans was $569,268 million as of June 30, 2024, compared to $423,956 million at December 31, 2023, reflecting a significant increase of 34.3%[44][48]. - The company sold consumer real estate loans for proceeds of $38.0 million during the six months ended June 30, 2024, compared to $30.6 million in the same period of 2023, marking a year-over-year increase of 24.1%[45]. - The total amount of commercial and industrial loans was $1,801,235 million in 2023, compared to $1,492,449 million in 2022, representing a growth of 20.7%[50]. Credit Quality and Risk Management - Credit risk is managed through formal risk management practices and consistent underwriting standards[42]. - The company utilizes a risk grading matrix to monitor credit quality, with categories including Non-watch list, Watch, Special Mention, Substandard, and Doubtful[53]. - The company tracks individual borrower credit risk based on their loan to collateral position, with any borrower position where the underlying value of collateral is below the fair value of the loan considered out-of-margin and higher risk[60]. - The allowance for credit losses (ACL) is estimated based on historical credit loss experience and current economic conditions, with a forecast period of one year due to current economic conditions[91]. - The ACL for commercial and industrial loans is calculated using a probability of default and loss given default method, incorporating macroeconomic variables[93]. Securities and Investments - Securities available for sale totaled $7.79 billion as of June 30, 2024, with gross unrealized losses of $681.3 million[112]. - The fair value of U.S. Treasury securities was $803.07 million as of June 30, 2024, with unrealized losses of $6.83 million[112]. - The total amortized cost of securities held to maturity was $5,549,590, with a fair value of $4,913,408, resulting in unrealized losses of $650,121[120]. - The Company has no allowance for credit losses (ACL) related to available-for-sale securities as the decline in fair value did not result from credit issues[119]. - The total value of Other securities decreased from $492,935 thousand as of December 31, 2023, to $447,650 thousand as of June 30, 2024[131]. Borrowing and Funding - The total borrowed funds decreased from $2,183,247 thousand as of December 31, 2023, to $1,684,245 thousand as of June 30, 2024[135]. - The Company had $800,000 thousand in short-term borrowing outstanding with the Federal Reserve Bank's Bank Term Funding Program as of June 30, 2024[139]. - The Company’s borrowing capacity with the Federal Home Loan Bank was $1.4 billion as of June 30, 2024[138]. - The Company issued $200 million of 3.70% fixed-to-fixed rate subordinated notes maturing on September 17, 2030[136]. - The Company has a revolving line of credit with Wells Fargo Bank allowing borrowing up to $30 million, with no outstanding balance as of June 30, 2024[141]. Future Outlook and Strategic Initiatives - The company has plans for market expansion, focusing on increasing its loan portfolio in the non-owner-occupied segment[70]. - New product development initiatives are underway to enhance loan offerings and improve customer engagement strategies[70]. - The Company aims to grow noninterest income through fee-based services, which are less affected by interest rate fluctuations[261]. - The Company is focusing on fee-based products such as trust and securities processing, bankcard services, and cash management[262]. - The Company has strategically aligned its operations into three reportable segments: Commercial Banking, Institutional Banking, and Personal Banking, to enhance resource allocation and performance assessment[144].

Financial Performance - Cash and cash equivalents increased to $6,943,108 thousand as of March 31, 2024, compared to $3,523,304 thousand in the same period of 2023, representing an increase of 96.5%[28]. - For the three months ended March 31, 2024, the total net income was $110,258,000, compared to $92,437,000 for the same period in 2023, representing a 19.3% increase[149]. - Noninterest income increased to $159,244,000 in Q1 2024 from $130,200,000 in Q1 2023, marking a significant rise of 22.3%[149]. - Average assets grew to $42,017,000,000 in Q1 2024 from $38,503,000,000 in Q1 2023, an increase of 9.8%[149]. - Noninterest income increased by $29.0 million, or 22.3%, during the three-month period ended March 31, 2024, compared to the same period in 2023[259]. Loan Portfolio - The Company reported a total of $9,940,480 thousand in commercial and industrial loans as of March 31, 2024, with $2,869 thousand past due and accruing[44]. - Total loans amounted to $23,637,612 thousand as of March 31, 2024, with $36,241 thousand classified as past due[44]. - The Company’s commercial real estate loans totaled $9,285,160 thousand as of March 31, 2024, with $1,901 thousand past due and accruing[44]. - The company sold consumer real estate loans with proceeds of $18.4 million in Q1 2024, compared to $13.7 million in Q1 2023, reflecting a year-over-year increase of 34.1%[45]. - The total loans outstanding were $23.172 billion as of December 31, 2023, with a slight increase in the overall loan portfolio[45]. Credit Quality and Allowance for Credit Losses - The allowance for credit losses (ACL) is estimated using historical credit loss experience and current economic forecasts, with a reasonable and supportable forecast period of one year due to current economic conditions[94]. - The allowance for credit losses on loans increased to $229,979,000 as of March 31, 2024, compared to $212,850,000 as of March 31, 2023, reflecting a year-over-year increase of approximately 8.0%[106]. - The provision for credit losses for the three months ended March 31, 2024, was $10,000,000, compared to $23,250,000 for the same period in 2023, indicating a significant decrease of approximately 57.0%[106]. - Non-performing loans and credit quality indicators are continuously monitored, with specific attention to risk grading and economic conditions[52]. - The Company actively monitors credit quality indicators, which include updated financial records and credit scores, to assess risk changes across portfolio segments[102]. Securities and Investments - As of March 31, 2024, total securities available for sale amounted to $6.54 billion, down from $7.07 billion as of December 31, 2023, reflecting a decrease of approximately 7.5%[112]. - The unrealized losses in the company's investments were primarily due to changes in interest rates, not credit issues, with total unrealized losses amounting to $668.07 million as of March 31, 2024[117]. - The total amortized cost of held-to-maturity securities was $5,626,437,000, with a fair value of $5,025,138,000, reflecting a net unrealized loss of $601,299,000[121]. - The total amount of accrued interest on securities available for sale was $30.3 million as of March 31, 2024, down from $31.6 million as of December 31, 2023[116]. - The company had $9.4 billion of securities pledged to secure various deposits and transactions as of March 31, 2024, compared to $10.1 billion as of December 31, 2023[115]. Derivatives and Hedging - The fair value of the Company's derivative assets was $220.9 million as of March 31, 2024, compared to $161.5 million as of December 31, 2023, while derivative liabilities were $119.5 million and $105.1 million for the same periods, respectively[174]. - The Company had eight interest rate floors and floor spreads designated as cash flow hedges with an aggregate notional amount of $2.0 billion as of March 31, 2024, up from three with a notional amount of $1.0 billion as of December 31, 2023[180]. - The total fair value of derivatives designated as hedging instruments increased from $61.9 million as of December 31, 2023, to $107.3 million as of March 31, 2024[174]. - The unrealized gain on terminated fair value hedges remaining in accumulated other comprehensive income (AOCI) was $53.0 million net of tax as of March 31, 2024, down from $55.0 million net of tax as of December 31, 2023[177]. - The Company expects to reclassify $1.2 million from AOCI as a reduction to interest expense and $1.9 million from AOCI as a reduction to interest income during the next 12 months[182]. Borrowings and Debt - The total amount of borrowed funds as of March 31, 2024, was $2,183,742,000, slightly up from $2,183,247,000 as of December 31, 2023[136]. - The Company had $1,800,000,000 in total short-term debt as of March 31, 2024, unchanged from December 31, 2023[136]. - The Company issued $200,000,000 of 3.70% fixed-to-fixed rate subordinated notes maturing on September 17, 2030, with interest payable semi-annually[137]. - The Company had an $800,000,000 short-term borrowing outstanding with the Federal Reserve Bank's Bank Term Funding Program as of March 31, 2024[140]. - The Company’s borrowing capacity with the FHLB was $952,700,000 as of March 31, 2024[139]. Strategic Initiatives and Growth - The Company announced a definitive merger agreement with Heartland Financial USA, Inc. for a total market value of approximately $2.0 billion[215]. - The Company aims to grow noninterest income as a diverse revenue source not directly tied to interest rates[257]. - The company is focusing on fee-based products and services to align more closely with customer demands[258]. - Management believes it can offer fee-based products efficiently and profitably due to common platforms and support structures[258]. - The Company entered into a forward sale agreement to issue 2,800,000 shares of common stock for approximate proceeds of $201.6 million[217].

Workforce and Diversity - The Company employed 3,599 associates across the country as of December 31, 2023[19] - Nearly 20% of the Company's associates participate in one or more Business Resource Groups (BRGs) aimed at enhancing diversity and inclusion[21] - The Company is committed to community involvement through associate volunteerism and corporate philanthropy initiatives[22] Compensation and Talent Management - The Company's compensation program includes base salary, annual short-term incentive bonuses, and long-term equity awards, designed to attract and retain top talent[20] - An inability to attract and retain qualified employees could negatively affect the Company's business, especially in key areas like investment management and commercial lending[93] Regulatory Environment - The Company is subject to extensive regulatory frameworks at federal, state, and local levels, impacting its operations and financial activities[28] - The Dodd-Frank Act mandates that the Company serves as a source of financial strength for its depository-institution subsidiaries[40] - The Company is required to maintain a capital conservation buffer under Basel III standards, affecting its ability to declare dividends[39] - The Company remains exempt from enhanced prudential standards due to its asset size being below $100 billion[44] - The Federal Reserve's asset threshold for applying enhanced prudential standards has increased from $50 billion to $250 billion[44] - The Company is subject to various federal and state securities laws due to its public company status[52] - The Company and its subsidiaries must comply with the Bank Secrecy Act and related laws to prevent money laundering and terrorism financing[53] - The Bank has an obligation under the Community Reinvestment Act (CRA) to meet the credit needs of local communities, including low- and moderate-income neighborhoods[54] Financial Performance and Capital Management - As of December 31, 2023, UMB Financial Corporation's Tier 1 risk-based capital ratio is 8.49% and total risk-based capital ratio is 12.85%[47] - UMB Bank, n.a. has a Tier 1 risk-based capital ratio of 8.52% and total risk-based capital ratio of 11.90% as of December 31, 2023[47] - The Bank is categorized as well capitalized under the Prompt Corrective Action (PCA) framework as of December 31, 2023[47] - The FDIC insures deposits at the Bank up to $250,000 per depositor for each account ownership category[49] - The Dodd-Frank Act requires the FDIC to offset the effect of increasing its reserve for the DIF on institutions with consolidated assets of less than $10 billion[49] - The Company may need to raise additional capital due to regulatory requirements or future growth, which could be dilutive and depend on market conditions[81] Competition and Market Conditions - The Company faces intense competition from both traditional and non-traditional financial services providers, including fintech companies[16] - The Company anticipates that competition will likely intensify in the future, necessitating ongoing investment in technology and talent[18] - The Company faces intense competition from other financial-services and technology companies, which may drive it to lower interest rates or fees, adversely affecting its financial condition[89] Economic and Credit Risks - The Company faces increased credit risk due to weak economic conditions, geopolitical events, and more liberal origination standards, which could lead to higher delinquencies or defaults[66] - The Company's business performance is significantly influenced by general economic conditions, and adverse changes could negatively impact loan demand and service utilization rates[66] - The Company's fee-based banking and investment-management businesses are vulnerable to economic downturns and market disruptions, which could adversely affect revenue[68] Investment and Securities - As of December 31, 2023, 51.2% of the Company's aggregate loan portfolio is secured by real estate, with commercial real estate loans representing 38.4% and consumer real estate loans representing 12.8%[67] - The Company's securities portfolio totaled approximately $13.3 billion, representing about 30.1% of its total assets, with a weighted average yield of 2.66% compared to 6.27% for its loan portfolio[72] - Approximately $7.1 billion, or 53.3%, of the Company's investment securities are classified as available for sale, which may lead to greater volatility in reported equity due to unrealized gains or losses[72] Operational and Technological Risks - Liquidity is essential for the Company, and constraints or increased costs for funding could adversely affect its business performance[70] - Cybersecurity risks remain high, with potential significant financial and reputational damage from breaches or attacks on the Company's systems or those of its service providers[75] - The Company is heavily reliant on technology, and failures in implementing technology initiatives could negatively impact its business performance[87] - The Company's internal controls and risk-management programs may not effectively mitigate risks, potentially leading to adverse impacts on its business[91] Strategic and Reputational Risks - The Company is involved in various litigation and proceedings that could adversely affect its business and financial condition[94] - The Company may be exposed to reputational harm from negative publicity or failures in managing issues related to the financial-services industry[88] - The ability to engage in opportunistic mergers and acquisitions is subject to significant risks, including regulatory approvals and integration challenges[97] - Acquisitions may involve risks such as lower-than-expected performance, higher costs, and potential dilution to current stockholders[98] - The Company faces risks related to strategic initiatives, including the successful identification and execution of new business opportunities[99] Environmental and Governance Considerations - Expectations around Environmental, Social and Governance practices may lead to increased operational costs and regulatory scrutiny[101] - Climate change initiatives may impose additional operational changes and costs, impacting the Company's financial condition[102] Accounting and Financial Reporting - Changes in accounting standards may significantly impact the Company's financial statements and reported earnings[95] - The Company's selection of accounting methods and estimates can lead to unexpected losses if management's judgments are inaccurate[96]

Financial Performance - For the nine months ended September 30, 2023, net income was $279.1 million, compared to $331.5 million for the same period in 2022, reflecting a decrease of approximately 15.8%[152]. - For the three months ended September 30, 2023, net interest income was $222.3 million, a decrease from $233.5 million in the same period of 2022[151]. - Total noninterest income for the nine months ended September 30, 2023, was $401.6 million, compared to $428.7 million for the same period in 2022, indicating a decrease of approximately 6.3%[166]. - Total noninterest income for the three months ended September 30, 2023, was $133.3 million, an increase from $128.7 million for the same period in 2022, representing a growth of approximately 3.9%[165]. - The Company aims to grow noninterest income through fee-based products and services, which are less affected by interest rate fluctuations[255]. Loan Portfolio and Credit Quality - As of September 30, 2023, total loans amounted to $22,840.4 million, a slight decrease from $21,001.5 million on December 31, 2022[41]. - The total past due loans amounted to $41,212 million as of September 30, 2023, compared to $29,661 million at December 31, 2022[41]. - Nonaccrual loans with no related allowance for credit losses totaled $14.6 million as of September 30, 2023, down from $16.7 million at December 31, 2022[42]. - The company monitors credit quality indicators including net charge-offs and non-performing loans to assess the loan portfolio's health[47]. - The overall risk profile shows a decrease in watch-list loans, suggesting improved asset quality[65]. Allowance for Credit Losses - The allowance for credit losses (ACL) for the total loans is $224,348,000 as of September 30, 2023, compared to $224,989,000 at the beginning of the period[99]. - The provision for credit losses for the nine months ended September 30, 2023, was $39,227 million, compared to $28,400 million for the same period in 2022, reflecting an increase in reserves[100]. - The allowance for credit losses increased to $224,348 million as of September 30, 2023, up from $187,432 million at the end of the previous period[100]. - Net charge-offs for the nine-month period ended September 30, 2023, were $9.1 million, significantly lower than $37.7 million for the same period in 2022, indicating improved credit quality[252]. Securities and Investments - Securities available for sale totaled $7.2 billion as of September 30, 2023, with gross unrealized losses of $918.4 million[109]. - The total amortized cost of securities available for sale was $7.2 billion as of September 30, 2023[110]. - The fair value of U.S. Treasury securities was $779.4 million as of September 30, 2023, with unrealized losses of $17.9 million[114]. - The Company recorded unrealized losses of $773.39 million across its investment portfolio due to changes in interest rates, not credit declines[115]. Borrowings and Debt - The Company’s total borrowed funds amounted to $2,682,768 thousand as of September 30, 2023, significantly higher than $381,311 thousand as of December 31, 2022[138]. - The Company had two short-term advances of $1.0 billion and $500.0 million outstanding at FHLB of Des Moines as of September 30, 2023, with a borrowing capacity of $436.7 million[142]. - The Company had an $800.0 million short-term borrowing outstanding with the Federal Reserve Bank's Bank Term Funding Program (BTFP) as of September 30, 2023, with remaining borrowing capacity of $20.0 million[143]. Risk Management - The Company actively monitors credit quality indicators, which include updated financial records and credit scores, to adjust the current estimates of expected credit losses[95]. - The risk grading matrix categorizes loans into Non-watch list, Watch, Special Mention, Substandard, and Doubtful, with ongoing monitoring for changes in credit risk[48]. - Credit risk is managed through formal risk management practices, including consistent underwriting standards and thorough client analysis[40]. Strategic Initiatives - The company plans to expand its market presence through strategic acquisitions and new product developments in the upcoming quarters[65]. - The Company has a robust credit risk monitoring process, including pre-purchase and ongoing post-purchase credit reviews[126].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (MARK ONE) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to UMB FINANCIAL CORPORATION (Exact name of registrant as specified in its charter) | Missouri | 43-0903811 | | --- | --- | | (State or other jurisdiction of | ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (MARK ONE) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-38481 UMB FINANCIAL CORPORATION (Exact name of registrant as specified in its charter) | Missouri | 43-0903811 | | --- | --- | | ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended: December 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-38481 UMB FINANCIAL CORPORATION (Exact name of registrant as specified in its charter) | Missouri | 43-0903811 | | --- | --- | | (S ...