Glacier Bancorp(US:GBCI)2026-01-23 17:00Financial Data and Key Metrics Changes - Total assets exceeded $30 billion, ending the year at $32 billion, a record for the company [3] - Net income for Q4 was $63.8 million, with a total net income of $239 million for 2025, an increase of $48.9 million, or 26% from the prior year [3][4] - Pre-Tax Pre-Provision Net Revenues for 2025 were $362 million, an increase of $107 million, or 42% over the prior year [4] - Diluted Earnings Per Share for Q4 was $0.49, and for 2025 was $1.99, an increase of $0.31 per share, or 18% from the prior year [4] - Net Interest Income for Q4 was $266 million, up $41 million, or 18% from the prior quarter, and for 2025 was $889 million, an increase of $184 million, or 26% from the prior year [4] Business Line Data and Key Metrics Changes - The loan portfolio at the end of 2025 was $21 billion, increasing $3.7 billion, or 21% for the year [4] - Total deposits reached $24.6 billion, increasing $4 billion, or 20% during 2025 [4] - Non-interest income for Q4 totaled $40 million, an increase of $5 million, or 14% over the prior quarter, and up 28% over the prior year [6] Market Data and Key Metrics Changes - Non-Performing Assets remained low at 22 basis points of total assets, with a slight increase from the prior quarter [7] - Net charge-offs were 6 basis points of total loans for the year, compared to 8 basis points in the prior year [7] Company Strategy and Development Direction - The company successfully closed two strategic acquisitions in 2025, expanding its footprint in Idaho and Texas, which are seen as markets with strong growth potential [2][3] - The company aims to continue its disciplined approach to increasing net interest margin and improving efficiency ratios [6][8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in future growth, citing a record level of loan pipeline early in 2026 and expectations for low- to mid-single-digit growth for the year [15] - The company anticipates achieving a net interest margin of 4% by the second half of 2026, driven by structural repricing drivers [18][70] Other Important Information - The efficiency ratio improved from 66.7% at the beginning of the year to 63% [6] - Tangible stockholders' equity increased by $609 million, or 29%, in 2025, with tangible book value per share rising to $21, up 12% year-over-year [8] Q&A Session Summary Question: Organic growth and loan side performance - Management acknowledged a slower organic growth rate of about 1% annualized but noted a record level of loan pipeline early in 2026, with expectations for growth to improve as the year progresses [13][15] Question: Margin trajectory and expectations - Management confirmed that the net interest margin is on track to reach 4% by the second half of 2026, with confidence in continued growth independent of Federal Reserve actions [18][70] Question: Expense run rate and trends - The core non-interest expense for Q1 is guided at $189-$193 million, with expectations for moderation in subsequent quarters [31][74] Question: Integration of Guaranty Bank & Trust - Management reported a smooth integration process for Guaranty Bank & Trust, emphasizing the retention of leadership and culture, which is expected to enhance performance in the Texas market [66][68]