Glacier Bancorp, Inc. Announces Results for the Quarter and Period Ended September 30, 2024

Rhea-AI Summary

Glacier Bancorp (NYSE: GBCI) reported Q3 2024 net income of $51.1 million, up 14% from Q2's $44.7 million but down 3% year-over-year. Diluted EPS was $0.45, increasing 15% from Q2's $0.39. The company completed two significant acquisitions: six Montana branch locations of Rocky Mountain Bank with $403 million in assets and Wheatland Bank with $778 million in assets. Key metrics include net interest margin of 2.83%, loan portfolio growth of $329 million (2%), and core deposits increase of $613 million (3%). The company declared its 158th consecutive quarterly dividend of $0.33 per share.

Positive

• Net income increased 14% quarter-over-quarter to $51.1 million
• Net interest margin improved by 15 basis points to 2.83%
• Net interest income grew 8% to $180 million
• Loan portfolio increased by $329 million (2%)
• Core deposits grew by $613 million (3%)
• Non-interest bearing deposits increased by $314 million (5%)

Negative

• Net income decreased 3% year-over-year
• Year-to-date net income down 24% to $128 million compared to prior year
• Increased funding costs impacting profitability
• Non-performing assets increased 56% quarter-over-quarter to $28.1 million

Insights

Financial Analyst

The Q3 2024 earnings report shows a mixed but generally positive performance. Key highlights include:

- Net income of $51.1 million, up 14% quarter-over-quarter but down 3% year-over-year

- Earnings per share of $0.45, increasing 15% from Q2 but down 4% YoY

- Net interest margin improved to 2.83%, up 15 basis points from previous quarter

- Core deposits grew by $613 million (3%) during the quarter

The completion of RMB acquisition adds scale with $403 million in assets and strengthens Montana presence. While higher funding costs impacted YoY comparisons, the improving margin trend and deposit growth signal stabilizing fundamentals.

3rd Quarter 2024 Highlights:

• Diluted earnings per share for the current quarter was $0.45 per share, an increase of 15 percent from the prior quarter diluted earnings per share of $0.39 per share.
• Net income was $51.1 million for the current quarter, an increase of $6.3 million, or 14 percent, from the prior quarter net income of $44.7 million and a decrease of $1.4 million, or 3 percent, from the prior year third quarter net income of $52.4 million.
• The net interest margin as a percentage of earning assets, on a tax-equivalent basis, for the current quarter was 2.83 percent, an increase of 15 basis points from the prior quarter net interest margin of 2.68 percent.
• Net interest income was $180 million for the current quarter, an increase of $13.8 million, or 8 percent, from the prior quarter net interest income of $166 million and an increase of $13.2 million, or 8 percent, from the prior year third quarter net interest income of $167 million.
• The loan portfolio of $17.181 billion increased $329 million, or 2 percent, during the current quarter and organically increased $57.6 million, or 1 percent annualized, during the current quarter.
• Total core deposits of $20.711 billion, increased $613 million, or 3 percent, during the current quarter and organically increased $216 million, or 4 percent annualized, during the current quarter.
• Non-interest bearing deposits of $6.408 billion, increased $314 million, or 5 percent, during the current quarter and organically increased $221 million, or 14 percent annualized, during the current quarter.
• The loan yield of 5.69 percent in the current quarter increased 11 basis points from the prior quarter loan yield of 5.58 percent and increased 42 basis points from the prior year third quarter loan yield of 5.27 percent.
• The total cost of funding (including non-interest bearing deposits) of 1.79 percent in the current quarter decreased 1 basis point from the prior quarter total cost of funding of 1.80 percent.
• Stockholders’ equity of $3.245 billion increased $108 million, or 3 percent, during the current quarter and increased $370 million, or 13 percent, over the prior year third quarter.
• The Company declared a quarterly dividend of $0.33 per share. The Company has declared 158 consecutive quarterly dividends and has increased the dividend 49 times.
• The Company completed the acquisition and core system conversion of six Montana branch locations of Rocky Mountain Bank division (“RMB”) of HTLF Bank, a wholly owned subsidiary of Heartland Financial USA, Inc. with total assets of $403 million, total gross loans of $272 million and total deposits of $397 million.

Year-to-date 2024 Highlights:

• Net income for the first nine months of 2024 was $128 million, a decrease of $40.2 million, or 24 percent, from the prior year first nine months net income of $169 million.
• Interest income for the first nine months of 2024 was $843 million, an increase of $98.7 million, or 13 percent, over the $744 million of interest income for the first nine months of 2023.
• The loan portfolio increased $983 million, or 6 percent, during the first nine months of 2024 and organically increased $261 million, or 2 percent, during the first nine months of 2024.
• The $2.740 billion of FRB Bank Term Funding (“BTFP”) was paid off during the current year through a combination of Federal Home Loan Bank (“FHLB”) advances and cash.
• Dividends declared in the first nine months of 2024 were $0.99 per share.
• The Company completed the acquisition and core system conversion of Community Financial Group, Inc., the parent company of Wheatland Bank (collectively, “Wheatland”), a leading eastern Washington community bank headquartered in Spokane with total assets of $778 million.

Financial Summary  

	At or for the Three Months ended													At or for the Nine months ended
(Dollars in thousands, except per share and market data)	Sep 30, 2024				Jun 30, 2024			Mar 31, 2024			Sep 30, 2023			Sep 30, 2024			Sep 30, 2023
Operating results
Net income	$	51,055			44,708			32,627			52,445			128,390			168,611
Basic earnings per share	$	0.45			0.39			0.29			0.47			1.14			1.52
Diluted earnings per share	$	0.45			0.39			0.29			0.47			1.13			1.52
Dividends declared per share	$	0.33			0.33			0.33			0.33			0.99			0.99
Market value per share
Closing	$	45.70			37.32			40.28			28.50			45.70			28.50
High	$	47.71			40.18			42.75			36.45			47.71			50.03
Low	$	35.57			34.35			34.74			26.84			34.35			26.77
Selected ratios and other data
Number of common stock shares outstanding		113,394,786			113,394,092			113,388,590			110,879,365			113,394,786			110,879,365
Average outstanding shares - basic		113,394,758			113,390,539			112,492,142			110,877,534			113,093,583			110,857,788
Average outstanding shares - diluted		113,473,107			113,405,491			112,554,402			110,886,959			113,137,861			110,882,718
Return on average assets (annualized)		0.73	%		0.66	%		0.47	%		0.75	%		0.62	%		0.83	%
Return on average equity (annualized)		6.34	%		5.77	%		4.25	%		7.12	%		5.47	%		7.72	%
Efficiency ratio		64.92	%		67.97	%		74.41	%		63.31	%		68.98	%		62.10	%
Loan to deposit ratio		83.16	%		84.03	%		82.04	%		79.25	%		83.16	%		79.25	%
Number of full time equivalent employees		3,434			3,399			3,438			3,314			3,434			3,314
Number of locations		232			231			232			221			232			221
Number of ATMs		279			286			285			274			279			274

KALISPELL, Mont., Oct. 24, 2024 (GLOBE NEWSWIRE) -- Glacier Bancorp, Inc. (NYSE: GBCI) reported net income of $51.1 million for the current quarter, an increase of $6.3 million, or 14 percent from the prior quarter net income of $44.7 million and a decrease of $1.4 million, or 3 percent, from the $52.4 million of net income for the prior year third quarter. Diluted earnings per share for the current quarter was $0.45 per share, an increase of 15 percent from the prior quarter diluted earnings per share of $0.39 per share and a decrease of 4 percent from the prior year third quarter diluted earnings per share of $0.47. The decrease in net income compared to the prior year third quarter was due to the increase in funding costs and the increased costs associated with the acquisitions of Wheatland and RMB over the prior year third quarter. “Our positive business trends through the third quarter. We were very pleased to see solid earnings, margin and deposit growth,” said Randy Chesler, President and Chief Executive Officer. “We finalized the acquisition of the Rocky Mountain Bank Montana branches from Heartland and welcome the employees to the Glacier team.”

Net income for the nine months ended September 30, 2024 was $128 million, a decrease of $40.2 million, or 24 percent, from the $169 million net income for the first nine months of the prior year. Diluted earnings per share for the first nine months of 2024 was $1.13 per share, a decrease of $0.39 per share from the prior year first nine months diluted earnings per share of $1.52. The decrease in net income for the first nine months of the current year compared to the prior year first nine months was primarily due to the significant increase in funding costs. In addition, the current year-to-date results included increased operating costs and a $9.7 million provision for credit losses associated with the acquisitions of Wheatland and RMB.

On July 19, 2024, the Company completed the acquisition of six RMB branches in Montana. The branches have been combined with Glacier Bank divisions operating in Montana, including First Bank of Montana, First Security Bank of Bozeman, First Security Bank of Missoula, Valley Bank, and Western Security Bank. On January 31, 2024, the Company completed the acquisition of Wheatland, headquartered in Spokane, Washington. Wheatland had 14 branches in eastern Washington and was combined with the North Cascades Bank division under the name Wheatland Bank, division of Glacier Bank. The Wheatland Bank division now operates with a combined 23 branches in Central and Eastern Washington and is a Top 5 community bank by deposit share in Eastern Washington. The Company’s results of operations and financial condition include the Wheatland and RMB acquisitions beginning on the acquisition date of each. The following table discloses the preliminary fair value estimates of select classifications of assets and liabilities acquired:

	Wheatland			RMB
(Dollars in thousands)	January 31, 2024			July 19, 2024			Total
Total assets	$	777,659		$	403,052		$	1,180,711
Cash and cash equivalents		12,926			76,781			89,707
Debt securities		187,183			—			187,183
Loans receivable		450,403			271,569			721,972
Non-interest bearing deposits		277,651			93,534			371,185
Interest bearing deposits		339,304			303,156			642,460
Borrowings		58,500			4,305			62,805
Core deposit intangible		16,936			9,794			26,730
Goodwill		38,369			29,794			68,163

Asset Summary

														$ Change from
(Dollars in thousands)	Sep 30, 2024				Jun 30, 2024			Dec 31, 2023			Sep 30, 2023			Jun 30, 2024			Dec 31, 2023			Sep 30, 2023
Cash and cash equivalents	$	987,833			800,779			1,354,342			1,672,094			187,054			(366,509	)		(684,261	)
Debt securities, available-for-sale		4,436,578			4,499,541			4,785,719			4,741,738			(62,963	)		(349,141	)		(305,160	)
Debt securities, held-to-maturity		3,348,698			3,400,403			3,502,411			3,553,805			(51,705	)		(153,713	)		(205,107	)
Total debt securities		7,785,276			7,899,944			8,288,130			8,295,543			(114,668	)		(502,854	)		(510,267	)
Loans receivable
Residential real estate		1,837,697			1,771,528			1,704,544			1,653,777			66,169			133,153			183,920
Commercial real estate		10,833,841			10,713,964			10,303,306			10,292,446			119,877			530,535			541,395
Other commercial		3,177,051			3,066,028			2,901,863			2,916,785			111,023			275,188			260,266
Home equity		931,440			905,884			888,013			869,963			25,556			43,427			61,477
Other consumer		401,158			394,587			400,356			402,075			6,571			802			(917	)
Loans receivable		17,181,187			16,851,991			16,198,082			16,135,046			329,196			983,105			1,046,141
Allowance for credit losses		(205,170	)		(200,955	)		(192,757	)		(192,271	)		(4,215	)		(12,413	)		(12,899	)
Loans receivable, net		16,976,017			16,651,036			16,005,325			15,942,775			324,981			970,692			1,033,242
Other assets		2,456,643			2,453,581			2,094,832			2,153,149			3,062			361,811			303,494
Total assets	$	28,205,769			27,805,340			27,742,629			28,063,561			400,429			463,140			142,208

Total debt securities of $7.785 billion at September 30, 2024 decreased $115 million, or 1 percent, during the current quarter and decreased $510 million, or 6 percent, from the prior year third quarter. Debt securities represented 28 percent of total assets at September 30, 2024 compared to 30 percent at December 31, 2023 and 30 percent at September 30, 2023.

The loan portfolio of $17.181 billion at September 30, 2024 increased $329 million, or 2 percent, during the current quarter. Excluding the RMB acquisition, the loan portfolio organically increased $57.6 million, or 1 percent annualized, during the current quarter. Excluding the RMB and Wheatland acquisitions, the loan portfolio organically increased $261 million, or 2 percent, during the first nine months of 2024 and increased $324 million, or 2 percent, from the prior year third quarter.

Credit Quality Summary

	At or for the Nine Months ended				At or for the Six Months ended			At or for the Year ended			At or for the Nine Months ended
(Dollars in thousands)	Sep 30, 2024				Jun 30, 2024			Dec 31, 2023			Sep 30, 2023
Allowance for credit losses
Balance at beginning of period	$	192,757			192,757			182,283			182,283
Acquisitions		3			3			—			—
Provision for credit losses		21,138			14,157			20,790			16,609
Charge-offs		(12,406	)		(8,430	)		(15,095	)		(10,284	)
Recoveries		3,678			2,468			4,779			3,663
Balance at end of period	$	205,170			200,955			192,757			192,271
Provision for credit losses
Loan portfolio	$	21,138			14,157			20,790			16,609
Unfunded loan commitments		(1,366	)		(2,390	)		(5,995	)		(4,827	)
Total provision for credit losses	$	19,772			11,767			14,795			11,782
Other real estate owned	$	432			432			1,032			—
Other foreclosed assets		201			198			471			48
Accruing loans 90 days or more past due		11,551			4,692			3,312			3,855
Non-accrual loans		15,937			12,686			20,816			38,380
Total non-performing assets	$	28,121			18,008			25,631			42,283
Non-performing assets as a percentage of subsidiary assets		0.10	%		0.06	%		0.09	%		0.15	%
Allowance for credit losses as a percentage of non-performing loans		730	%		1,116	%		799	%		455	%
Allowance for credit losses as a percentage of total loans		1.19	%		1.19	%		1.19	%		1.19	%
Net charge-offs as a percentage of total loans		0.05	%		0.04	%		0.06	%		0.04	%
Accruing loans 30-89 days past due	$	56,213			49,678			49,967			15,253
U.S. government guarantees included in non-performing assets	$	1,802			1,228			1,503			1,057

Non-performing assets as a percentage of subsidiary assets at September 30, 2024 was 0.10 percent compared to 0.06 percent in the prior quarter and 0.15 percent in the prior year third quarter. Non-performing assets of $28.1 million at September 30, 2024 increased $10.1 million, or 56 percent, over the prior quarter and decreased $14.2 million, or 33 percent, over the prior year third quarter.

Early stage delinquencies (accruing loans 30-89 days past due) as a percentage of loans at September 30, 2024 were 0.33 percent compared to 0.29 percent for the prior quarter end and 0.09 percent for the prior year third quarter. Early stage delinquencies of $56.2 million at September 30, 2024 increased $6.5 million from the prior quarter and increased $41.0 million from prior year third quarter.

The current quarter credit loss expense of $8.0 million included $2.8 million of provision for credit losses on loans and $799 thousand of provision for credit losses on unfunded commitments from the acquisition of RMB. Excluding the acquisition of RMB, the current quarter credit loss expense was $4.4 million, including $4.2 million of credit loss expense from loans and $225 thousand of credit loss expense from unfunded loan commitments.

For the first nine months of the current year, the provision for credit losses of $19.8 million included $8.1 million of provision for credit losses on loans and $1.6 million of provision for credit losses on unfunded loan commitments from the acquisitions of Wheatland and RMB.

The allowance for credit losses on loans (“ACL”) as a percentage of total loans outstanding at September 30, 2024 was 1.19 percent and remained unchanged from the prior year end and the prior year third quarter. Loan portfolio growth, composition, average loan size, credit quality considerations, economic forecasts and other environmental factors will continue to determine the level of the provision for credit losses for loans. 

Credit Quality Trends and Provision for Credit Losses on the Loan Portfolio

(Dollars in thousands)	Provision for Credit Losses Loans			Net Charge-Offs			ACL as a Percent of Loans			Accruing Loans 30-89 Days Past Due as a Percent of Loans			Non-Performing Assets to Total Subsidiary Assets
Third quarter 2024	$	6,981		$	2,766		1.19	%		0.33	%		0.10	%
Second quarter 2024		5,066			2,890		1.19	%		0.29	%		0.06	%
First quarter 2024		9,091			3,072		1.19	%		0.37	%		0.09	%
Fourth quarter 2023		4,181			3,695		1.19	%		0.31	%		0.09	%
Third quarter 2023		5,095			2,209		1.19	%		0.09	%		0.15	%
Second quarter 2023		5,254			2,473		1.19	%		0.16	%		0.12	%
First quarter 2023		6,260			1,939		1.20	%		0.16	%		0.12	%
Fourth quarter 2022		6,060			1,968		1.20	%		0.14	%		0.12	%

Net charge-offs for the current quarter were $2.8 million compared to $2.9 million in the prior quarter and $2.2 million for the prior year third quarter. Net charge-offs of $2.8 million included $1.9 million in deposit overdraft net charge-offs and $815 thousand of net loan charge-offs.

Supplemental information regarding credit quality and identification of the Company’s loan portfolio based on regulatory classification is provided in the exhibits at the end of this press release. The regulatory classification of loans is based primarily on collateral type while the Company’s loan segments presented herein are based on the purpose of the loan.

Liability Summary

										$ Change from
(Dollars in thousands)	Sep 30, 2024			Jun 30, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2024			Dec 31, 2023			Sep 30, 2023
Deposits
Non-interest bearing deposits	$	6,407,728		6,093,430		6,022,980		6,465,353		314,298			384,748			(57,625	)
NOW and DDA accounts		5,363,476		5,219,838		5,321,257		5,253,367		143,638			42,219			110,109
Savings accounts		2,801,077		2,862,034		2,833,887		2,872,362		(60,957	)		(32,810	)		(71,285	)
Money market deposit accounts		2,854,540		2,858,850		2,831,624		2,994,631		(4,310	)		22,916			(140,091	)
Certificate accounts		3,284,609		3,064,613		2,915,393		2,742,017		219,996			369,216			542,592
Core deposits, total		20,711,430		20,098,765		19,925,141		20,327,730		612,665			786,289			383,700
Wholesale deposits		3,334		2,994		4,026		67,434		340			(692	)		(64,100	)
Deposits, total		20,714,764		20,101,759		19,929,167		20,395,164		613,005			785,597			319,600
Repurchase agreements		1,831,501		1,629,504		1,486,850		1,499,696		201,997			344,651			331,805
Deposits and repurchase agreements, total		22,546,265		21,731,263		21,416,017		21,894,860		815,002			1,130,248			651,405
Federal Home Loan Bank advances		1,800,000		2,350,000		—		—		(550,000	)		1,800,000			1,800,000
FRB Bank Term Funding		—		—		2,740,000		2,740,000		—			(2,740,000	)		(2,740,000	)
Other borrowed funds		84,168		88,149		81,695		73,752		(3,981	)		2,473			10,416
Subordinated debentures		133,065		133,024		132,943		132,903		41			122			162
Other liabilities		397,221		365,459		351,693		347,452		31,762			45,528			49,769
Total liabilities	$	24,960,719		24,667,895		24,722,348		25,188,967		292,824			238,371			(228,248	)

Total core deposits of $20.711 billion at September 30, 2024 increased $613 million, or 3 percent, from the prior quarter and increased $786 million, or 4 percent, from the prior year end. Total core deposits organically increased $217 million, or 4 percent annualized, during the current quarter and decreased $227 million, or 1 percent, from the prior year end.

Total non-interest bearing deposits of $6.408 billion, increased $314 million, or 5 percent, from the prior quarter and increased $385 million, or 6 percent, from the prior year end. Non-interest bearing deposits organically increased $221 million, or 14 percent annualized, during the current quarter and increased $13.6 million, or 23 basis points, from the prior year end. Non-interest bearing deposits represented 31 percent of total deposits at June 30, 2024, compared to 30 percent at December 31, 2023 and 32 percent at September 30, 2023.

FHLB borrowings of $1.800 billion decreased $550 million, or 23 percent, during the current quarter. Upon maturity in the first quarter of 2024, the Company paid off its $2.740 billion BTFP borrowings with a combination of $2.140 billion in FHLB borrowings and cash.

Stockholders’ Equity Summary

														$ Change from
(Dollars in thousands, except per share data)	Sep 30, 2024				Jun 30, 2024			Dec 31, 2023			Sep 30, 2023			Jun 30, 2024			Dec 31, 2023			Sep 30, 2023
Common equity	$	3,507,356			3,492,096			3,394,394			3,374,961			15,260			112,962			132,395
Accumulated other comprehensive loss		(262,306	)		(354,651	)		(374,113	)		(500,367	)		92,345			111,807			238,061
Total stockholders’ equity		3,245,050			3,137,445			3,020,281			2,874,594			107,605			224,769			370,456
Goodwill and intangibles, net		(1,106,336	)		(1,066,790	)		(1,017,263	)		(1,019,690	)		(39,546	)		(89,073	)		(86,646	)
Tangible stockholders’ equity	$	2,138,714			2,070,655			2,003,018			1,854,904			68,059			135,696			283,810

Stockholders’ equity to total assets		11.50	%		11.28	%		10.89	%		10.24	%
Tangible stockholders’ equity to total tangible assets		7.89	%		7.74	%		7.49	%		6.86	%
Book value per common share	$	28.62			27.67			27.24			25.93			0.95		1.38		2.69
Tangible book value per common share	$	18.86			18.26			18.06			16.73			0.60		0.80		2.13

Tangible stockholders’ equity of $2.139 billion at September 30, 2024 increased $68.1 million, or 3 percent, compared to the prior quarter and was primarily the result of a decrease in unrealized loss on the available-for-sale debt securities which was partially offset by the increase in goodwill and core deposit intangibles associated with the acquisition of RMB. Tangible stockholders’ equity at September 30, 2024 increased $136 million, or 7 percent, compared to the prior year end and was primarily due to $92.4 million of Company common stock issued for the acquisition of Wheatland and the decrease in the unrealized loss on the available-for-sale securities. The increase was partially offset by the increase in goodwill and core deposits associated with the acquisitions of Wheatland and RMB. Tangible book value per common share of $18.86 at the current quarter end increased $0.80 per share, or 4 percent, from the prior year end and increased $2.13 per share, or 13 percent, from the prior year third quarter.

Cash Dividends
On September 24, 2024, the Company’s Board of Directors declared a quarterly cash dividend of $0.33 per share. The dividend was payable October 17, 2024 to shareholders of record on October 8, 2024. The dividend was the Company’s 158th consecutive regular dividend. Future cash dividends will depend on a variety of factors, including net income, capital, asset quality, general economic conditions and regulatory considerations.

Operating Results for Three Months Ended September 30, 2024  Compared to June 30, 2024, March 31, 2024 and September 30, 2023
Income Summary
	Three Months ended													$ Change from
(Dollars in thousands)	Sep 30, 2024				Jun 30, 2024			Mar 31, 2024			Sep 30, 2023			Jun 30, 2024		Mar 31, 2024			Sep 30, 2023
Net interest income
Interest income	$	289,578			273,834			279,402			264,906			15,744		10,176			24,672
Interest expense		109,347			107,356			112,922			97,852			1,991		(3,575	)		11,495
Total net interest income		180,231			166,478			166,480			167,054			13,753		13,751			13,177
Non-interest income
Service charges and other fees		20,587			19,422			18,563			19,304			1,165		2,024			1,283
Miscellaneous loan fees and charges		4,970			4,821			4,362			4,322			149		608			648
Gain on sale of loans		4,898			4,669			3,362			4,046			229		1,536			852
Gain (loss) on sale of securities		26			(12	)		16			(65	)		38		10			91
Other income		4,223			3,304			3,686			2,633			919		537			1,590
Total non-interest income		34,704			32,204			29,989			30,240			2,500		4,715			4,464
Total income	$	214,935			198,682			196,469			197,294			16,253		18,466			17,641
Net interest margin (tax-equivalent)		2.83	%		2.68	%		2.59	%		2.58	%

Net Interest Income
The current quarter interest income of $290 million increased $15.7 million, or 6 percent, over the prior quarter and increased $24.7 million, or 9 percent, over the prior year third quarter, with both increases being primarily due to the increase in the loan yields and the increase in average balances of the loan portfolio. The loan yield of 5.69 percent in the current quarter increased 11 basis points from the prior quarter loan yield of 5.58 percent and increased 42 basis points from the prior year third quarter loan yield of 5.27 percent.

The current quarter interest expense of $109 million increased $2.0 million, or 2 percent, over the prior quarter and was primarily attributable to the increase in average deposit balances. The current quarter interest expense increased $11.5 million, or 12 percent, over the prior year third quarter and was primarily the result of an increase in rates on deposits and borrowings. Core deposit cost (including non-interest bearing deposits) was 1.37 percent for the current quarter compared to 1.36 percent in the prior quarter and 1.03 percent for the prior year third quarter. The total cost of funding (including non-interest bearing deposits) of 1.79 percent in the current quarter decreased 1 basis point from the prior quarter. The current quarter cost of funds increased 21 basis points from the prior year third quarter which was primarily the result of the increased deposit rates.

The net interest margin as a percentage of earning assets, on a tax-equivalent basis, for the current quarter was 2.83 percent, an increase of 15 basis points from the prior quarter net interest margin of 2.68 percent and was primarily driven by an increase in loan yields. The net interest margin as a percentage of earning assets, on a tax-equivalent basis, for the current quarter was an increase of 25 basis points from the prior year third quarter net interest margin of 2.58 percent and was primarily driven by an increase in loan yields which more than offset the total cost of funding. Core net interest margin excludes the impact from discount accretion and non-accrual interest. Excluding the 4 basis points from discount accretion, the core net interest margin was 2.79 percent in the current quarter compared to 2.63 percent in the prior quarter and 2.55 in the prior year third quarter. “The growth in the loan portfolio at higher yields was funded primarily by the remix of lower yield cash flow from the securities portfolio,” said Ron Copher, Chief Financial Officer. “In addition, the growth in non-interest bearing deposits and the reduction in wholesale funding contributed to the improvement in the current quarter net interest margin.”

Non-interest Income
Non-interest income for the current quarter totaled $34.7 million, which was an increase of $2.5 million, or 8 percent, over the prior quarter and an increase of $4.5 million, or 15 percent, over the prior year third quarter. Service charges and other fees of $20.6 million for the current quarter increased $1.2 million, or 6 percent, compared to the prior quarter and increased $1.3 million, or 7 percent, compared to the prior year third quarter. Gain on the sale of residential loans of $4.9 million for the current quarter increased $229 thousand, or 5 percent, compared to the prior quarter and increased $852 thousand, or 21 percent, from the prior year third quarter. Other income of $4.2 million increased $919 thousand, or 28 percent, over the prior quarter and increased $1.6 million, or 60 percent, over the prior year third quarter, with both increases being driven by a $1.2 million gain on the sale of repossessed property during the current quarter.

Non-interest Expense Summary

	Three Months ended									$ Change from
(Dollars in thousands)	Sep 30, 2024			Jun 30, 2024		Mar 31, 2024		Sep 30, 2023		Jun 30, 2024			Mar 31, 2024			Sep 30, 2023
Compensation and employee benefits	$	85,083		84,434		85,789		77,387		649			(706	)		7,696
Occupancy and equipment		11,989		11,594		11,883		10,553		395			106			1,436
Advertising and promotions		4,062		4,362		3,983		4,052		(300	)		79			10
Data processing		9,196		9,387		9,159		8,730		(191	)		37			466
Other real estate owned and foreclosed assets		13		149		25		15		(136	)		(12	)		(2	)
Regulatory assessments and insurance		5,150		5,393		7,761		6,060		(243	)		(2,611	)		(910	)
Intangibles amortization		3,367		3,017		2,760		2,428		350			607			939
Other expenses		25,848		22,616		30,483		20,351		3,232			(4,635	)		5,497
Total non-interest expense	$	144,708		140,952		151,843		129,576		3,756			(7,135	)		15,132

Total non-interest expense of $145 million for the current quarter increased $3.8 million, or 3 percent, over the prior quarter and increased $15.1 million, or 12 percent, over the prior year third quarter. Compensation and employee benefits increased $7.7 million, or 10 percent, from the prior year third quarter and was driven by annual salary increases, increased performance-related compensation and increases from the acquisitions of Wheatland and RMB.

Other expenses of $25.8 million increased $3.2 million, or 14 percent, from the prior quarter, which was attributable to several miscellaneous category increases including an increase of $1.2 million in outside consulting services. In addition, the current quarter other expenses included $586 thousand of gains from the sale of former branch facilities and disposal of fixed assets compared to $1.5 million in the prior quarter. Other expenses increased $5.5 million, or 27 percent, from the prior year third quarter as a result of several miscellaneous category increases including an increase of $2.7 million in outside consulting services and an increase of $1.6 million in acquisition-related expenses. Acquisition-related expense was $1.9 million in the current quarter compared to $1.8 million in the prior quarter and $279 thousand in the prior year third quarter.

Federal and State Income Tax Expense
Tax expense during the third quarter of 2024 was $11.2 million, an increase of $1.7 million, or 18 percent, compared to the prior quarter and a decrease of $567 thousand, or 5 percent, from the prior year third quarter. The effective tax rate in the current quarter was 17.9 percent compared to 17.5 percent in the prior quarter and 18.3 percent in the prior year third quarter.

Efficiency Ratio
The efficiency ratio was 64.92 percent in the current quarter compared to 67.97 percent in the prior quarter and 63.31 percent in the prior year third quarter. The decrease from the prior quarter was principally driven by the increase in net interest income that more than offset the increase in non-interest expense.

Operating Results for Nine Months Ended September 30, 2024 Compared to September 30, 2023
Income Summary
	Nine months ended
(Dollars in thousands)	Sep 30, 2024				Sep 30, 2023				$ Change				% Change
Net interest income
Interest income	$	842,814			$	744,159			$	98,655			13	%
Interest expense		329,625				218,933				110,692			51	%
Total net interest income		513,189				525,226				(12,037	)		(2	)%
Non-interest income
Service charges and other fees		58,572				56,042				2,530			5	%
Miscellaneous loan fees and charges		14,153				12,451				1,702			14	%
Gain on sale of loans		12,929				9,974				2,955			30	%
Gain (loss) on sale of securities		30				(202	)			232			(115	)%
Other income		11,213				8,949				2,264			25	%
Total non-interest income		96,897				87,214				9,683			11	%
Total Income	$	610,086			$	612,440			$	(2,354	)		—	%
Net interest margin (tax-equivalent)		2.70	%			2.79	%

Net Interest Income
Net-interest income of $513 million for the first nine months of 2024 decreased $12.0 million, or 2 percent, over 2023 and was primarily driven by increased interest expense which outpaced the increase in interest income. Interest income of $843 million for 2024 increased $98.7 million, or 13 percent, from the prior year and was primarily attributable to the increase in the loan portfolio and an increase in loan yields. The loan yield was 5.58 percent during the first nine months of 2024, an increase of 44 basis points from the prior year first nine months loan yield of 5.14 percent.

Interest expense of $330 million for the first nine months of 2024 increased $111 million, or 51 percent, over the same period in the prior year and was primarily the result of higher interest rates on deposits. Core deposit cost (including non-interest bearing deposits) was 1.36 percent for the first nine months of 2024 compared to 0.62 percent for the same period in the prior year. The total funding cost (including non-interest bearing deposits) for the first nine months of 2024 was 1.81 percent, which was an increase of 59 basis points over the first nine months of the prior year funding cost of 1.22 percent.

The net interest margin as a percentage of earning assets, on a tax-equivalent basis, during the first nine months of 2024 was 2.70 percent, a 9 basis points decrease from the net interest margin of 2.79 percent for the first nine months of the prior year. Excluding the 4 basis points from discount accretion and the 1 basis point from non-accrual interest, the core net interest margin was 2.65 percent in the first nine months of the current year compared to 2.77 percent in the prior year first nine months.

Non-interest Income  
Non-interest income of $96.9 million for the first nine months of 2024 increased $9.7 million, or 11 percent, over the same period last year. Gain on sale of residential loans of $12.9 million for the first nine months of 2024 increased by $3.0 million, or 30 percent, over the first nine months of the prior year. Other income of $11.2 million for the first nine months of 2024 increased $2.3 million, or 25 percent, over the same period last year and was primarily driven by a $1.2 million gain on the sale of repossessed property during the current quarter.

Non-interest Expense Summary

	Nine months ended
(Dollars in thousands)	Sep 30, 2024			Sep 30, 2023			$ Change			% Change
Compensation and employee benefits	$	255,306		$	237,628		$	17,678		7	%
Occupancy and equipment		35,466			33,045			2,421		7	%
Advertising and promotions		12,407			12,020			387		3	%
Data processing		27,742			25,241			2,501		10	%
Other real estate owned and foreclosed assets		187			41			146		356	%
Regulatory assessments and insurance		18,304			16,277			2,027		12	%
Core deposit intangibles amortization		9,144			7,304			1,840		25	%
Other expenses		78,947			63,606			15,341		24	%
Total non-interest expense	$	437,503		$	395,162		$	42,341		11	%

Total non-interest expense of $438 million for the first nine months of 2024 increased $42.3 million, or 11 percent, over the same period in the prior year. Compensation and employee benefits expense of $255 million in the first nine months of 2024 increased $17.7 million, or 7 percent, over the same period in the prior year and was driven by annual salary increases and the acquisitions of Wheatland and RMB. Data processing expenses of $27.7 million for the first nine months of 2024 increased $2.5 million, or 10 percent, from the same period in the prior year. Regulatory assessments and insurance expense of $18.3 million for the first nine months of 2024 increased $2.0 million, or 12 percent, over the same period in the prior year which was principally due to the accrual adjustment for the FDIC special assessment. Other expenses of $78.9 million for the first nine months of 2024 increased $15.3 million, or 24 percent, from the first nine months of the prior year and was primarily driven by an increase of $8.6 million of acquisition-related expenses, which was partially offset by gains of $3.1 million from the sale of former branch facilities and disposal of fixed assets.

Provision for Credit Losses
The provision for credit loss expense was $19.8 million for the first nine months of 2024, an increase of $8.0 million, or 68 percent, over the same period in the prior year and was primarily attributable to $9.7 million from the acquisitions of Wheatland and RMB. Net charge-offs for the first nine months of 2024 were $8.7 million compared to $6.6 million in the first nine months of 2023.

Federal and State Income Tax Expense
Tax expense of $24.4 million for the first nine months of 2024 decreased $12.5 million, or 34 percent, over the prior year. The effective tax rate for the first nine months of 2024 was 16.0 percent compared to 17.9 percent for the same period in the prior year. The decrease in tax expense and the resulting effective tax rate was the result of a combination of increased federal tax credits and a decrease in the pre-tax income.

Efficiency Ratio
The efficiency ratio was 68.98 percent for the first nine months of 2024 compared to 62.10 percent for the same period of 2023. The increase from the prior year was primarily attributable to the increase in interest expense in the current year that outpaced the increase in interest income and increased non-interest expense.

Forward-Looking Statements  
This news release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements about the Company’s plans, objectives, expectations and intentions that are not historical facts, and other statements identified by words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “should,” “projects,” “seeks,” “estimates” or other comparable words or phrases of a future or forward-looking nature. These forward-looking statements are based on current beliefs and expectations of management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond the Company’s control. In addition, these forward-looking statements are based on assumptions that are subject to change. The following factors, among others, could cause actual results to differ materially from the anticipated results (express or implied) or other expectations in the forward-looking statements, including those made in this news release:

• risks associated with lending and potential adverse changes in the credit quality of the Company’s loan portfolio;
• changes in monetary and fiscal policies, including interest rate policies of the Federal Reserve Board, which could adversely affect the Company’s net interest income and margin, the fair value of its financial instruments, profitability, and stockholders’ equity;
• legislative or regulatory changes, including increased FDIC insurance rates and assessments, changes in the review and regulation of bank mergers, or increased banking and consumer protection regulations, that may adversely affect the Company’s business and strategies;
• risks related to overall economic conditions, including the impact on the economy of an uncertain interest rate environment, inflationary pressures, and geopolitical instability, including the wars in Ukraine and the Middle East;
• risks associated with the Company’s ability to negotiate, complete, and successfully integrate any future acquisitions;
• costs or difficulties related to the completion and integration of pending or future acquisitions;
• impairment of the goodwill recorded by the Company in connection with acquisitions, which may have an adverse impact on earnings and capital;
• reduction in demand for banking products and services, whether as a result of changes in customer behavior, economic conditions, banking environment, or competition;
• deterioration of the reputation of banks and the financial services industry, which could adversely affect the Company's ability to obtain and maintain customers;
• changes in the competitive landscape, including as may result from new market entrants or further consolidation in the financial services industry, resulting in the creation of larger competitors with greater financial resources;
• risks presented by public stock market volatility, which could adversely affect the market price of the Company’s common stock and the ability to raise additional capital or grow through acquisitions;
• risks associated with dependence on the Chief Executive Officer, the senior management team and the Presidents of Glacier Bank’s divisions;
• material failure, potential interruption or breach in security of the Company’s systems or changes in technological which could expose the Company to cybersecurity risks, fraud, system failures, or direct liabilities;
• risks related to natural disasters, including droughts, fires, floods, earthquakes, pandemics, and other unexpected events;
• success in managing risks involved in the foregoing; and
• effects of any reputational damage to the Company resulting from any of the foregoing.

The Company does not undertake any obligation to publicly correct or update any forward-looking statement if it later becomes aware that actual results are likely to differ materially from those expressed in such forward-looking statement.

Conference Call Information
A conference call for investors is scheduled for 11:00 a.m. Eastern Time on Friday, October 25, 2024. Please note that our conference call host no longer offers a general dial-in number. Investors who would like to join the call may now register by following this link to obtain dial-in instructions: https://register.vevent.com/register/BI32ee03ea65c34bd794e0027768d383d4. To participate via the webcast, log on to: https://edge.media-server.com/mmc/p/9bh88vfv.

About Glacier Bancorp, Inc.
Glacier Bancorp, Inc. (NYSE: GBCI), a member of the Russell 2000® and the S&P MidCap 400® indices, is the parent company for Glacier Bank and its Bank divisions located across its eight state Western U.S. footprint: Altabank (American Fork, UT), Bank of the San Juans (Durango, CO), Citizens Community Bank (Pocatello, ID), Collegiate Peaks Bank (Buena Vista, CO), First Bank of Montana (Lewistown, MT), First Bank of Wyoming (Powell, WY), First Community Bank Utah (Layton, UT), First Security Bank (Bozeman, MT), First Security Bank of Missoula (Missoula, MT), First State Bank (Wheatland, WY), Glacier Bank (Kalispell, MT), Heritage Bank of Nevada (Reno, NV), Mountain West Bank (Coeur d’Alene, ID), The Foothills Bank (Yuma, AZ), Valley Bank of Helena (Helena, MT), Western Security Bank (Billings, MT), and Wheatland Bank (Spokane, WA).

Glacier Bancorp, Inc. Unaudited Condensed Consolidated Statements of Financial Condition
(Dollars in thousands, except per share data)	Sep 30, 2024				Jun 30, 2024			Dec 31, 2023			Sep 30, 2023
Assets
Cash on hand and in banks	$	342,105			271,107			246,525			264,067
Interest bearing cash deposits		645,728			529,672			1,107,817			1,408,027
Cash and cash equivalents		987,833			800,779			1,354,342			1,672,094
Debt securities, available-for-sale		4,436,578			4,499,541			4,785,719			4,741,738
Debt securities, held-to-maturity		3,348,698			3,400,403			3,502,411			3,553,805
Total debt securities		7,785,276			7,899,944			8,288,130			8,295,543
Loans held for sale, at fair value		46,126			39,745			15,691			29,027
Loans receivable		17,181,187			16,851,991			16,198,082			16,135,046
Allowance for credit losses		(205,170	)		(200,955	)		(192,757	)		(192,271	)
Loans receivable, net		16,976,017			16,651,036			16,005,325			15,942,775
Premises and equipment, net		466,977			451,515			421,791			415,343
Other real estate owned and foreclosed assets		633			630			1,503			48
Accrued interest receivable		114,121			102,279			94,526			104,476
Deferred tax asset		125,432			155,834			159,070			203,745
Intangibles, net		52,780			43,028			31,870			34,297
Goodwill		1,053,556			1,023,762			985,393			985,393
Non-marketable equity securities		98,285			121,810			12,755			11,330
Bank-owned life insurance		188,971			187,793			171,101			170,175
Other assets		309,762			327,185			201,132			199,315
Total assets	$	28,205,769			27,805,340			27,742,629			28,063,561
Liabilities
Non-interest bearing deposits	$	6,407,728			6,093,430			6,022,980			6,465,353
Interest bearing deposits		14,307,036			14,008,329			13,906,187			13,929,811
Securities sold under agreements to repurchase		1,831,501			1,629,504			1,486,850			1,499,696
FHLB advances		1,800,000			2,350,000			—			—
FRB Bank Term Funding		—			—			2,740,000			2,740,000
Other borrowed funds		84,168			88,149			81,695			73,752
Subordinated debentures		133,065			133,024			132,943			132,903
Accrued interest payable		35,382			31,000			125,907			91,874
Other liabilities		361,839			334,459			225,786			255,578
Total liabilities		24,960,719			24,667,895			24,722,348			25,188,967
Commitments and Contingent Liabilities		—			—			—			—
Stockholders’ Equity
Preferred shares, $0.01 par value per share, 1,000,000 shares authorized, none issued or outstanding		—			—			—			—
Common stock, $0.01 par value per share, 234,000,000 shares authorized		1,134			1,134			1,109			1,109
Paid-in capital		2,447,200			2,445,479			2,350,104			2,348,305
Retained earnings - substantially restricted		1,059,022			1,045,483			1,043,181			1,025,547
Accumulated other comprehensive loss		(262,306	)		(354,651	)		(374,113	)		(500,367	)
Total stockholders’ equity		3,245,050			3,137,445			3,020,281			2,874,594
Total liabilities and stockholders’ equity	$	28,205,769			27,805,340			27,742,629			28,063,561

Glacier Bancorp, Inc. Unaudited Condensed Consolidated Statements of Operations
	Three Months ended											Nine months ended
(Dollars in thousands, except per share data)	Sep 30, 2024			Jun 30, 2024			Mar 31, 2024		Sep 30, 2023			Sep 30, 2024		Sep 30, 2023
Interest Income
Investment securities	$	46,371		42,165			56,218		53,397			144,754		144,697
Residential real estate loans		23,118		21,754			20,764		18,594			65,636		51,508
Commercial loans		196,901		188,326			181,472		173,437			566,699		493,706
Consumer and other loans		23,188		21,589			20,948		19,478			65,725		54,248
Total interest income		289,578		273,834			279,402		264,906			842,814		744,159
Interest Expense
Deposits		70,607		67,852			67,196		54,697			205,655		98,942
Securities sold under agreements to repurchase		14,737		13,566			12,598		10,972			40,901		24,185
Federal Home Loan Bank advances		22,344		24,179			4,249		—			50,772		26,910
FRB Bank Term Funding		—		—			27,097		30,229			27,097		63,160
Other borrowed funds		252		353			344		489			949		1,428
Subordinated debentures		1,407		1,406			1,438		1,465			4,251		4,308
Total interest expense		109,347		107,356			112,922		97,852			329,625		218,933
Net Interest Income		180,231		166,478			166,480		167,054			513,189		525,226
Provision for credit losses		8,005		3,518			8,249		3,539			19,772		11,782
Net interest income after provision for credit losses		172,226		162,960			158,231		163,515			493,417		513,444
Non-Interest Income
Service charges and other fees		20,587		19,422			18,563		19,304			58,572		56,042
Miscellaneous loan fees and charges		4,970		4,821			4,362		4,322			14,153		12,451
Gain on sale of loans		4,898		4,669			3,362		4,046			12,929		9,974
Gain (loss) on sale of securities		26		(12	)		16		(65	)		30		(202	)
Other income		4,223		3,304			3,686		2,633			11,213		8,949
Total non-interest income		34,704		32,204			29,989		30,240			96,897		87,214
Non-Interest Expense
Compensation and employee benefits		85,083		84,434			85,789		77,387			255,306		237,628
Occupancy and equipment		11,989		11,594			11,883		10,553			35,466		33,045
Advertising and promotions		4,062		4,362			3,983		4,052			12,407		12,020
Data processing		9,196		9,387			9,159		8,730			27,742		25,241
Other real estate owned and foreclosed assets		13		149			25		15			187		41
Regulatory assessments and insurance		5,150		5,393			7,761		6,060			18,304		16,277
Intangibles amortization		3,367		3,017			2,760		2,428			9,144		7,304
Other expenses		25,848		22,616			30,483		20,351			78,947		63,606
Total non-interest expense		144,708		140,952			151,843		129,576			437,503		395,162
Income Before Income Taxes		62,222		54,212			36,377		64,179			152,811		205,496
Federal and state income tax expense		11,167		9,504			3,750		11,734			24,421		36,885
Net Income	$	51,055		44,708			32,627		52,445			128,390		168,611

Glacier Bancorp, Inc. Average Balance Sheets
	Three Months ended
	September 30, 2024									June 30, 2024
(Dollars in thousands)	Average Balance			Interest & Dividends			Average Yield/ Rate			Average Balance			Interest & Dividends			Average Yield/ Rate
Assets
Residential real estate loans	$	1,850,066		$	23,118		5.00	%		$	1,796,787		$	21,754		4.84	%
Commercial loans 1		13,957,304			198,556		5.66	%			13,740,455			189,939		5.56	%
Consumer and other loans		1,324,142			23,188		6.97	%			1,290,587			21,589		6.73	%
Total loans 2		17,131,512			244,862		5.69	%			16,827,829			233,282		5.58	%
Tax-exempt debt securities 3		1,660,643			14,710		3.54	%			1,707,269			15,111		3.54	%
Taxable debt securities 4, 5		7,073,967			34,001		1.92	%			7,042,885			29,461		1.67	%
Total earning assets		25,866,122			293,573		4.52	%			25,577,983			277,854		4.37	%
Goodwill and intangibles		1,092,632									1,068,250
Non-earning assets		836,878									754,491
Total assets	$	27,795,632								$	27,400,724
Liabilities
Non-interest bearing deposits	$	6,237,166		$	—		—	%		$	6,026,709		$	—		—	%
NOW and DDA accounts		5,314,459			16,221		1.21	%			5,221,883			15,728		1.21	%
Savings accounts		2,829,203			5,699		0.80	%			2,914,538			6,014		0.83	%
Money market deposit accounts		2,887,173			15,048		2.07	%			2,904,438			14,467		2.00	%
Certificate accounts		3,211,842			33,597		4.16	%			3,037,638			31,593		4.18	%
Total core deposits		20,479,843			70,565		1.37	%			20,105,206			67,802		1.36	%
Wholesale deposits 6		3,122			42		5.47	%			3,726			50		5.50	%
Repurchase agreements		1,723,553			14,738		3.40	%			1,597,887			13,566		3.41	%
FHLB advances		1,828,533			22,344		4.78	%			2,007,747			24,179		4.76	%
Subordinated debentures and other borrowed funds		219,472			1,658		3.01	%			224,778			1,759		3.15	%
Total funding liabilities		24,254,523			109,347		1.79	%			23,939,344			107,356		1.80	%
Other liabilities		336,906									344,105
Total liabilities		24,591,429									24,283,449
Stockholders’ Equity
Stockholders’ equity		3,204,203									3,117,275
Total liabilities and stockholders’ equity	$	27,795,632								$	27,400,724
Net interest income (tax-equivalent)				$	184,226								$	170,498
Net interest spread (tax-equivalent)							2.73	%								2.57	%
Net interest margin (tax-equivalent)							2.83	%								2.68	%

______________________________

1	Includes tax effect of $1.7 million and $1.6 million on tax-exempt municipal loan and lease income for the three months ended September 30, 2024 and June 30, 2024, respectively.
2	Total loans are gross of the allowance for credit losses, net of unearned income and include loans held for sale. Non-accrual loans were included in the average volume for the entire period.
3	Includes tax effect of $2.1 million and $2.2 million on tax-exempt debt securities income for the three months ended September 30, 2024 and June 30, 2024, respectively.
4	Includes interest income of $4.8 million and $1.9 million on average interest-bearing cash balances of $357.0 million and $0.14 billion for the three months ended September 30, 2024 and June 30, 2024, respectively.
5	Includes tax effect of $203 thousand and $211 thousand on federal income tax credits for the three months ended September 30, 2024 and June 30, 2024, respectively.
6	Wholesale deposits include brokered deposits classified as NOW, DDA, money market deposit and certificate accounts with contractual maturities.

 

Glacier Bancorp, Inc. Average Balance Sheets (continued)
	Three Months ended
	September 30, 2024									September 30, 2023
(Dollars in thousands)	Average Balance			Interest & Dividends			Average Yield/ Rate			Average Balance			Interest & Dividends			Average Yield/ Rate
Assets
Residential real estate loans	$	1,850,066		$	23,118		5.00	%		$	1,649,947		$	18,594		4.51	%
Commercial loans 1		13,957,304			198,556		5.66	%			13,120,479			174,822		5.29	%
Consumer and other loans		1,324,142			23,188		6.97	%			1,263,775			19,478		6.11	%
Total loans 2		17,131,512			244,862		5.69	%			16,034,201			212,894		5.27	%
Tax-exempt debt securities 3		1,660,643			14,710		3.54	%			1,732,227			14,486		3.34	%
Taxable debt securities 4, 5		7,073,967			34,001		1.92	%			8,485,157			41,052		1.94	%
Total earning assets		25,866,122			293,573		4.52	%			26,251,585			268,432		4.06	%
Goodwill and intangibles		1,092,632									1,020,868
Non-earning assets		836,878									528,145
Total assets	$	27,795,632								$	27,800,598
Liabilities
Non-interest bearing deposits	$	6,237,166		$	—		—	%		$	6,461,350		$	—		—	%
NOW and DDA accounts		5,314,459			16,221		1.21	%			5,231,741			12,906		0.98	%
Savings accounts		2,829,203			5,699		0.80	%			2,840,620			3,492		0.49	%
Money market deposit accounts		2,887,173			15,048		2.07	%			3,039,177			12,646		1.65	%
Certificate accounts		3,211,842			33,597		4.16	%			2,462,266			23,151		3.73	%
Total core deposits		20,479,843			70,565		1.37	%			20,035,154			52,195		1.03	%
Wholesale deposits 6		3,122			42		5.47	%			188,523			2,502		5.27	%
Repurchase agreements		1,723,553			14,738		3.40	%			1,401,765			10,972		3.11	%
FHLB advances		1,828,533			22,344		4.78	%			—			—		—	%
FRB Bank Term Funding		—			—		—	%			2,740,000			30,229		4.38	%
Subordinated debentures and other borrowed funds		219,472			1,658		3.01	%			208,336			1,954		3.72	%
Total funding liabilities		24,254,523			109,347		1.79	%			24,573,778			97,852		1.58	%
Other liabilities		336,906									302,564
Total liabilities		24,591,429									24,876,342
Stockholders’ Equity
Stockholders’ equity		3,204,203									2,924,256
Total liabilities and stockholders’ equity	$	27,795,632								$	27,800,598
Net interest income (tax-equivalent)				$	184,226								$	170,580
Net interest spread (tax-equivalent)							2.73	%								2.48	%
Net interest margin (tax-equivalent)							2.83	%								2.58	%

______________________________

1	Includes tax effect of $1.7 million and $1.4 million on tax-exempt municipal loan and lease income for the three months ended September 30, 2024 and 2023, respectively.
2	Total loans are gross of the allowance for credit losses, net of unearned income and include loans held for sale. Non-accrual loans were included in the average volume for the entire period.
3	Includes tax effect of $2.1 million and $1.9 million on tax-exempt debt securities income for the three months ended September 30, 2024 and 2023, respectively.
4	Includes interest income of $4.8 million and $15.1 million on average interest-bearing cash balances of $357.0 million and $1,106.1 million for the three months ended September 30, 2024 and 2023, respectively.
5	Includes tax effect of $203 thousand and $215 thousand on federal income tax credits for the three months ended September 30, 2024 and 2023, respectively.
6	Wholesale deposits include brokered deposits classified as NOW, DDA, money market deposit and certificate accounts with contractual maturities.

Glacier Bancorp, Inc. Average Balance Sheets (continued)
	Nine Months ended
	September 30, 2024									September 30, 2023
(Dollars in thousands)	Average Balance			Interest & Dividends			Average Yield/ Rate			Average Balance			Interest & Dividends			Average Yield/ Rate
Assets
Residential real estate loans	$	1,798,202		$	65,636		4.87	%		$	1,570,911		$	51,508		4.37	%
Commercial loans 1		13,737,866			571,540		5.56	%			12,910,691			498,152		5.16	%
Consumer and other loans		1,299,463			65,725		6.76	%			1,236,158			54,248		5.87	%
Total loans 2		16,835,531			702,901		5.58	%			15,717,760			603,908		5.14	%
Tax-exempt debt securities 3		1,695,965			44,978		3.54	%			1,745,764			44,978		3.44	%
Taxable debt securities 4, 5		7,429,971			106,939		1.92	%			8,240,041			107,338		1.74	%
Total earning assets		25,961,467			854,818		4.40	%			25,703,565			756,224		3.93	%
Goodwill and intangibles		1,071,024									1,023,274
Non-earning assets		734,681									510,332
Total assets	$	27,767,172								$	27,237,171
Liabilities
Non-interest bearing deposits	$	6,077,392		$	—		—	%		$	6,770,242		$	—		—	%
NOW and DDA accounts		5,270,842			47,866		1.21	%			5,140,668			22,606		0.59	%
Savings accounts		2,881,273			17,368		0.81	%			2,930,420			5,070		0.23	%
Money market deposit accounts		2,913,206			43,907		2.01	%			3,253,138			28,654		1.18	%
Certificate accounts		3,083,866			96,365		4.17	%			1,638,163			34,613		2.82	%
Total core deposits		20,226,579			205,506		1.36	%			19,732,631			90,943		0.62	%
Wholesale deposits 6		3,603			149		5.49	%			213,465			7,999		5.01	%
Repurchase agreements		1,612,021			40,901		3.39	%			1,238,139			24,185		2.61	%
FHLB advances		1,397,258			50,772		4.77	%			738,004			26,910		4.81	%
FRB Bank Term Funding		824,672			27,097		4.39	%			1,929,322			63,160		4.38	%
Subordinated debentures and other borrowed funds		220,835			5,200		3.15	%			208,891			5,737		3.67	%
Total funding liabilities		24,284,968			329,625		1.81	%			24,060,452			218,934		1.22	%
Other liabilities		345,822									256,022
Total liabilities		24,630,790									24,316,474
Stockholders’ Equity
Stockholders’ equity		3,136,382									2,920,697
Total liabilities and stockholders’ equity	$	27,767,172								$	27,237,171
Net interest income (tax-equivalent)				$	525,193								$	537,290
Net interest spread (tax-equivalent)							2.59	%								2.71	%
Net interest margin (tax-equivalent)							2.70	%								2.79	%

______________________________

1	Includes tax effect of $4.8 million and $4.4 million on tax-exempt municipal loan and lease income for the nine months ended September 30, 2024 and 2023, respectively.
2	Total loans are gross of the allowance for credit losses, net of unearned income and include loans held for sale. Non-accrual loans were included in the average volume for the entire period.
3	Includes tax effect of $6.5 million and $7.0 million on tax-exempt debt securities income for the nine months ended September 30, 2024 and 2023, respectively.
4	Includes interest income of $17.2 million and $24.5 million on average interest-bearing cash balances of $631.7 million and $624.0 million for the nine months ended September 30, 2024 and 2023, respectively.
5	Includes tax effect of $629 thousand and $644 thousand on federal income tax credits for the nine months ended September 30, 2024 and 2023, respectively.
6	Wholesale deposits include brokered deposits classified as NOW, DDA, money market deposit and certificate accounts with contractual maturities.

Glacier Bancorp, Inc. Loan Portfolio by Regulatory Classification
	Loans Receivable, by Loan Type																% Change from
(Dollars in thousands)	Sep 30, 2024				Jun 30, 2024				Dec 31, 2023				Sep 30, 2023				Jun 30, 2024			Dec 31, 2023			Sep 30, 2023
Custom and owner occupied construction	$	235,915			$	233,978			$	290,572			$	306,106			1	%		(19)	%		(23)	%
Pre-sold and spec construction		203,610				198,219				236,596				287,048			3	%		(14)	%		(29)	%
Total residential construction		439,525				432,197				527,168				593,154			2	%		(17)	%		(26)	%
Land development		205,704				209,794				232,966				234,995			(2)	%		(12)	%		(12)	%
Consumer land or lots		189,705				190,781				187,545				184,685			(1)	%		1	%		3	%
Unimproved land		109,237				108,763				87,739				87,089			—	%		25	%		25	%
Developed lots for operative builders		67,140				57,140				56,142				62,485			18	%		20	%		7	%
Commercial lots		98,644				99,036				87,185				84,194			—	%		13	%		17	%
Other construction		689,638				810,536				900,547				982,384			(15)	%		(23)	%		(30)	%
Total land, lot, and other construction		1,360,068				1,476,050				1,552,124				1,635,832			(8)	%		(12)	%		(17)	%
Owner occupied		3,121,900				3,087,814				3,035,768				2,976,821			1	%		3	%		5	%
Non-owner occupied		4,001,430				3,941,786				3,742,916				3,765,266			2	%		7	%		6	%
Total commercial real estate		7,123,330				7,029,600				6,778,684				6,742,087			1	%		5	%		6	%
Commercial and industrial		1,387,538				1,400,896				1,363,479				1,363,198			(1)	%		2	%		2	%
Agriculture		1,047,320				962,384				772,458				785,208			9	%		36	%		33	%
1st lien		2,462,885				2,353,912				2,127,989				2,054,497			5	%		16	%		20	%
Junior lien		77,029				56,049				47,230				47,490			37	%		63	%		62	%
Total 1-4 family		2,539,914				2,409,961				2,175,219				2,101,987			5	%		17	%		21	%
Multifamily residential		921,138				1,027,962				796,538				714,822			(10)	%		16	%		29	%
Home equity lines of credit		1,004,300				974,000				979,891				950,204			3	%		2	%		6	%
Other consumer		221,517				220,755				229,154				233,980			—	%		(3)	%		(5)	%
Total consumer		1,225,817				1,194,755				1,209,045				1,184,184			3	%		1	%		4	%
States and political subdivisions		993,871				777,426				834,947				833,618			28	%		19	%		19	%
Other		188,792				180,505				204,111				209,983			5	%		(8)	%		(10)	%
Total loans receivable, including loans held for sale		17,227,313				16,891,736				16,213,773				16,164,073			2	%		6	%		7	%
Less loans held for sale 1		(46,126	)			(39,745	)			(15,691	)			(29,027	)		16	%		194	%		59	%
Total loans receivable	$	17,181,187			$	16,851,991			$	16,198,082			$	16,135,046			2	%		6	%		6	%

______________________________

1	Loans held for sale are primarily 1st lien 1-4 family loans.

Glacier Bancorp, Inc. Credit Quality Summary by Regulatory Classification
	Non-performing Assets, by Loan Type									Non- Accrual Loans		Accruing Loans 90 Days or More Past Due		Other real estate owned and foreclosed assets
(Dollars in thousands)	Sep 30, 2024			Jun 30, 2024		Dec 31, 2023		Sep 30, 2023		Sep 30, 2024		Sep 30, 2024		Sep 30, 2024
Custom and owner occupied construction	$	202		206		214		219		202		—		—
Pre-sold and spec construction		3,705		2,908		763		763		2,942		763		—
Total residential construction		3,907		3,114		977		982		3,144		763		—
Land development		583		—		35		80		22		561		—
Consumer land or lots		458		429		96		314		241		217		—
Unimproved land		—		—		—		36		—		—		—
Developed lots for operative builders		531		608		608		608		—		531		—
Commercial lots		47		47		47		188		—		47		—
Other construction		—		25		—		12,884		—		—		—
Total land, lot and other construction		1,619		1,109		786		14,110		263		1,356		—
Owner occupied		1,903		1,992		1,838		1,445		662		809		432
Non-owner occupied		1,335		257		11,016		15,105		1,335		—		—
Total commercial real estate		3,238		2,249		12,854		16,550		1,997		809		432
Commercial and Industrial		2,455		2,044		1,971		1,367		1,408		1,047		—
Agriculture		6,040		2,442		2,558		2,450		2,164		3,876		—
1st lien		6,065		2,923		2,664		2,766		3,724		2,341		—
Junior lien		279		492		180		363		279		—		—
Total 1-4 family		6,344		3,415		2,844		3,129		4,003		2,341		—
Multifamily residential		392		385		395		—		392		—		—
Home equity lines of credit		2,867		2,145		2,043		1,612		1,903		964		—
Other consumer		1,111		1,089		1,187		942		663		247		201
Total consumer		3,978		3,234		3,230		2,554		2,566		1,211		201
Other		148		16		16		1,141		—		148		—
Total	$	28,121		18,008		25,631		42,283		15,937		11,551		633

Glacier Bancorp, Inc. Credit Quality Summary by Regulatory Classification (continued)
	Accruing 30-89 Days Delinquent Loans,  by Loan Type												% Change from
(Dollars in thousands)	Sep 30, 2024			Jun 30, 2024			Dec 31, 2023			Sep 30, 2023			Jun 30, 2024			Dec 31, 2023			Sep 30, 2023
Custom and owner occupied construction	$	13		$	1,323		$	2,549		$	—		(99)	%		(99)	%		n/m
Pre-sold and spec construction		1,250			816			1,219			599		53	%		3	%		109	%
Total residential construction		1,263			2,139			3,768			599		(41)	%		(66)	%		111	%
Land development		157			—			163			44		n/m			(4)	%		257	%
Consumer land or lots		747			411			624			528		82	%		20	%		41	%
Unimproved land		39			158			—			87		(75)	%		n/m			(55)	%
Commercial lots		—			—			2,159			1,245		n/m			(100)	%		(100)	%
Other construction		—			21			—			—		(100)	%		n/m			n/m
Total land, lot and other construction		943			590			2,946			1,904		60	%		(68)	%		(50)	%
Owner occupied		5,641			4,326			2,222			652		30	%		154	%		765	%
Non-owner occupied		13,785			8,119			14,471			213		70	%		(5)	%		6,372	%
Total commercial real estate		19,426			12,445			16,693			865		56	%		16	%		2,146	%
Commercial and industrial		3,125			17,591			12,905			2,946		(82)	%		(76)	%		6	%
Agriculture		16,932			5,288			594			604		220	%		2,751	%		2,703	%
1st lien		6,275			2,637			3,768			1,006		138	%		67	%		524	%
Junior lien		13			17			1			355		(24)	%		1,200	%		(96)	%
Total 1-4 family		6,288			2,654			3,769			1,361		137	%		67	%		362	%
Home equity lines of credit		4,567			5,432			4,518			3,638		(16)	%		1	%		26	%
Other consumer		2,227			2,192			3,264			1,821		2	%		(32)	%		22	%
Total consumer		6,794			7,624			7,782			5,459		(11)	%		(13)	%		24	%
Other		1,442			1,347			1,510			1,515		7	%		(5)	%		(5)	%
Total	$	56,213		$	49,678		$	49,967		$	15,253		13	%		13	%		269	%

______________________________

n/m - not measurable

Glacier Bancorp, Inc. Credit Quality Summary by Regulatory Classification (continued)
	Net Charge-Offs (Recoveries), Year-to-Date Period Ending, By Loan Type													Charge-Offs		Recoveries
(Dollars in thousands)	Sep 30, 2024				Jun 30, 2024			Dec 31, 2023			Sep 30, 2023			Sep 30, 2024		Sep 30, 2024
Pre-sold and spec construction	$	(4	)		(4	)		(15	)		(12	)		—		4
Land development		(21	)		(1	)		(135	)		(134	)		—		21
Consumer land or lots		(21	)		(22	)		(19	)		(14	)		—		21
Unimproved land		5			5			—			—			5		—
Commercial lots		319			319			—			—			319		—
Other construction		—			—			889			—			—		—
Total land, lot and other construction		282			301			735			(148	)		324		42
Owner occupied		(73	)		(73	)		(59	)		(104	)		—		73
Non-owner occupied		(3	)		(2	)		799			500			—		3
Total commercial real estate		(76	)		(75	)		740			396			—		76
Commercial and industrial		1,272			644			364			(11	)		1,839		567
Agriculture		65			68			—			—			68		3
1st lien		(34	)		(22	)		66			98			—		34
Junior lien		(60	)		(55	)		24			32			10		70
Total 1-4 family		(94	)		(77	)		90			130			10		104
Multifamily residential		—			—			(136	)		—			—		—
Home equity lines of credit		(31	)		1			(6	)		20			35		66
Other consumer		753			493			1,097			816			1,056		303
Total consumer		722			494			1,091			836			1,091		369
Other		6,561			4,611			7,447			5,430			9,074		2,513
Total	$	8,728			5,962			10,316			6,621			12,406		3,678

Visit our website at www.glacierbancorp.com

CONTACT: Randall M. Chesler, CEO
(406) 751-4722
Ron J. Copher, CFO
(406) 751-7706

FAQ

What was Glacier Bancorp's (GBCI) earnings per share in Q3 2024?

Glacier Bancorp reported diluted earnings per share of $0.45 in Q3 2024, up 15% from $0.39 in Q2 2024.

How much was GBCI's net interest margin in Q3 2024?

GBCI's net interest margin was 2.83% in Q3 2024, an increase of 15 basis points from 2.68% in the previous quarter.

What acquisitions did GBCI complete in 2024?

GBCI completed two acquisitions in 2024: six Montana branch locations of Rocky Mountain Bank with $403 million in assets and Wheatland Bank with $778 million in assets.

What was GBCI's dividend payment in Q3 2024?

GBCI declared a quarterly dividend of $0.33 per share, marking its 158th consecutive quarterly dividend.