Glacier Bancorp(GBCI) - 2025 Q3 - Quarterly Results

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 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 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] - The Company announced and completed the acquisition of Guaranty Bancshares, Inc. on October 1, 2025, expanding its presence into Texas[2] Financial Summary & Key Ratios 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] Acquisition Activities 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][5][6] 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][4] 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 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] - 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] Liability Summary 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] - The increase in subordinated debentures was a result of the acquisition of BOID[18] Stockholders' Equity Summary 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] 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) 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 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] 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 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][26] Non-interest Income Analysis 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 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] - 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] Federal and State Income Tax Expense 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 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 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] Non-interest Income Analysis 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 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] Provision for Credit Losses 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 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 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 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] Forward-Looking Statements 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][52] - The Company does not undertake any obligation to publicly correct or update any forward-looking statement[49] Conference Call Information 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] About Glacier Bancorp, Inc. 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] 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 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 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 Three Months Ended September 30, 2025 vs June 30, 2025 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 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 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 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 Non-performing Assets 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 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 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 |