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

2nd Quarter 2024 Highlights:

• Net income was $44.7 million for the current quarter, an increase of $12.1 million, or 37 percent, from the prior quarter net income of $32.6 million and a decrease of $10.2 million, or 19 percent, from the prior year second quarter net income of $55.0 million.
• The net interest margin as a percentage of earning assets, on a tax-equivalent basis, for the current quarter was 2.68 percent, an increase of 9 basis points from the prior quarter net interest margin of 2.59 percent.
• The loan portfolio of $16.852 billion increased $119 million, or 3 percent annualized, during the current quarter.
• The loan yield of 5.58 percent in the current quarter increased 12 basis points from the prior quarter loan yield of 5.46 percent and increased 46 basis points from the prior year second quarter loan yield of 5.12 percent.
• Non-interest bearing deposits of $6.093 billion increased $38.4 million or 3 percent annualized during the current quarter.
• Non-interest expense of $141 million for the current quarter decreased $10.9 million, or 7 percent, over the prior quarter and increased $10.3 million, or 8 percent, over the prior year second quarter.
• The total cost of funding (including non-interest bearing deposits) of 1.80 percent in the current quarter decreased 4 basis points from the prior quarter total cost of funding of 1.84 percent.
• Non-performing assets of $18.0 million at June 30, 2024 decreased $7.4 million, or 29 percent, over the prior quarter and decreased $14.0 million, or 44 percent, over the prior year second quarter.
• Stockholders’ equity of $3.137 billion increased $26.7 million, or 1 percent, during the current quarter and increased $211 million, or 7 percent, over the prior year second quarter.
• The Company declared a quarterly dividend of $0.33 per share. The Company has declared 157 consecutive quarterly dividends and has increased the dividend 49 times.

First Half 2024 Highlights:

• Net income for the first half of 2024 was $77.3 million, a decrease of $38.8 million, or 33 percent, from the prior year first half net income of $116 million.
• The loan portfolio organically increased $204 million, or 3 percent annualized, during the first half 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.
• Interest income for the first six months of 2024 was $553 million, an increase of $74.0 million, or 15 percent, over the $479 million of interest income for the first six months of the prior year.
• Dividends declared in the first half of 2024 were $0.66 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 Six months ended
(Dollars in thousands, except per share and market data)	Jun 30, 2024				Mar 31, 2024			Jun 30, 2023			Jun 30, 2024			Jun 30, 2023
Operating results
Net income	$	44,708			32,627			54,955			77,335			116,166
Basic earnings per share	$	0.39			0.29			0.50			0.68			1.05
Diluted earnings per share	$	0.39			0.29			0.50			0.68			1.05
Dividends declared per share	$	0.33			0.33			0.33			0.66			0.66
Market value per share
Closing	$	37.32			40.28			31.17			37.32			31.17
High	$	40.18			42.75			42.21			42.75			50.03
Low	$	34.35			34.74			26.77			34.35			26.77
Selected ratios and other data
Number of common stock shares outstanding		113,394,092			113,388,590			110,873,887			113,394,092			110,873,887
Average outstanding shares - basic		113,390,539			112,492,142			110,870,964			112,941,341			110,847,806
Average outstanding shares - diluted		113,405,491			112,554,402			110,875,535			112,981,531			110,879,654
Return on average assets (annualized)		0.66	%		0.47	%		0.81	%		0.56	%		0.87	%
Return on average equity (annualized)		5.77	%		4.25	%		7.52	%		5.01	%		8.03	%
Efficiency ratio		67.97	%		74.41	%		62.73	%		71.17	%		61.52	%
Loan to deposit ratio		84.03	%		82.04	%		79.92	%		84.03	%		79.92	%
Number of full time equivalent employees		3,399			3,438			3,369			3,399			3,369
Number of locations		231			232			222			231			222
Number of ATMs		286			285			274			286			274

KALISPELL, Mont., July 18, 2024 (GLOBE NEWSWIRE) -- Glacier Bancorp, Inc. (NYSE: GBCI) reported net income of $44.7 million for the current quarter, an increase of $12.1 million, or 37 percent from the prior quarter net income of $32.6 million and a decrease of $10.2 million, or 19 percent, from the $55.0 million of net income for the prior year second quarter. Diluted earnings per share for the current quarter was $0.39 per share, an increase of 34 percent from the prior quarter diluted earnings per share of $0.29 per share and a decrease of 22 percent from the prior year second quarter diluted earnings per share of $0.50. The decrease in net income compared to the prior year second quarter was primarily due to the significant increase in funding costs over the prior year second quarter combined with the increased costs associated with the acquisition of Wheatland. “We had a strong second quarter led by an expanding margin and continued favorable performance trends across the company,” said Randy Chesler, President and Chief Executive Officer. “We were especially pleased to see the continued excellent credit performance and the solid loan growth in the quarter.”

Net income for the six months ended June 30, 2024 was $77.3 million, a decrease of $38.8 million, or 33 percent, from the $116 million net income for the first six months of the prior year. Diluted earnings per share for the first half of 2024 was $0.68 per share, a decrease of $0.37 per share from the prior year first half diluted earnings per share of $1.05. The decrease in net income for the first half of the current year compared to the prior year first half was primarily due to the significant increase in funding costs. In addition, the current year included a $6.1 million of provision for credit losses and increased operating costs associated with the acquisition of Wheatland.

On January 31, 2024, the Company completed the acquisition of Wheatland, headquartered in Spokane, Washington. Wheatland has 14 branches in eastern Washington and was combined with the North Cascades Bank division, with combined operations under the name Wheatland Bank, division of Glacier Bank. The Company’s results of operations and financial condition include the Wheatland acquisition beginning on the acquisition date. The following table discloses the preliminary fair value estimates of select classifications of assets and liabilities acquired:

	Wheatland
(Dollars in thousands)	January 31, 2024
Total assets	$	777,659
Debt securities		187,183
Loans receivable		450,403
Non-interest bearing deposits		277,651
Interest bearing deposits		339,304
Borrowings		58,500

Asset Summary

														$ Change from
(Dollars in thousands)	Jun 30, 2024				Mar 31, 2024			Dec 31, 2023			Jun 30, 2023			Mar 31, 2024			Dec 31, 2023			Jun 30, 2023
Cash and cash equivalents	$	800,779			788,660			1,354,342			1,051,320			12,119			(553,563	)		(250,541	)
Debt securities, available-for-sale		4,499,541			4,629,073			4,785,719			4,999,820			(129,532	)		(286,178	)		(500,279	)
Debt securities, held-to-maturity		3,400,403			3,451,583			3,502,411			3,608,289			(51,180	)		(102,008	)		(207,886	)
Total debt securities		7,899,944			8,080,656			8,288,130			8,608,109			(180,712	)		(388,186	)		(708,165	)
Loans receivable
Residential real estate		1,771,528			1,752,514			1,704,544			1,588,175			19,014			66,984			183,353
Commercial real estate		10,713,964			10,672,269			10,303,306			10,220,751			41,695			410,658			493,213
Other commercial		3,066,028			3,030,608			2,901,863			2,888,810			35,420			164,165			177,218
Home equity		905,884			883,062			888,013			862,240			22,822			17,871			43,644
Other consumer		394,587			394,049			400,356			394,986			538			(5,769	)		(399	)
Loans receivable		16,851,991			16,732,502			16,198,082			15,954,962			119,489			653,909			897,029
Allowance for credit losses		(200,955	)		(198,779	)		(192,757	)		(189,385	)		(2,176	)		(8,198	)		(11,570	)
Loans receivable, net		16,651,036			16,533,723			16,005,325			15,765,577			117,313			645,711			885,459
Other assets		2,453,581			2,419,131			2,094,832			2,102,673			34,450			358,749			350,908
Total assets	$	27,805,340			27,822,170			27,742,629			27,527,679			(16,830	)		62,711			277,661

The $801 million cash balance at June 30, 2024 decreased $554 million from the prior year end as cash was utilized to partially fund the maturity of the BTFP at the end of the prior quarter. Total debt securities of $7.900 billion at June 30, 2024 decreased $181 million, or 2 percent, during the current quarter and decreased $708 million, or 8 percent, from the prior year second quarter. Debt securities represented 28 percent of total assets at June 30, 2024 compared to 30 percent at December 31, 2023 and 31 percent at June 30, 2023.

The loan portfolio of $16.852 billion at June 30, 2024 increased $119 million, or 3 percent annualized, during the current quarter and increased $897 million, or 6 percent, from the prior year second quarter. Excluding the Wheatland acquisition, the loan portfolio increased $204 million, or 3 percent annualized, during the first half of 2024 and increased $447 million, or 3 percent, from the prior year second quarter.

Credit Quality Summary

	At or for the Six Months ended				At or for the Three Months ended			At or for the Year ended			At or for the Six Months ended
(Dollars in thousands)	Jun 30, 2024				Mar 31, 2024			Dec 31, 2023			Jun 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		14,157			9,091			20,790			11,514
Charge-offs		(8,430	)		(4,295	)		(15,095	)		(7,083	)
Recoveries		2,468			1,223			4,779			2,671
Balance at end of period	$	200,955			198,779			192,757			189,385
Provision for credit losses
Loan portfolio	$	14,157			9,091			20,790			11,514
Unfunded loan commitments		(2,390	)		(842	)		(5,995	)		(3,271	)
Total provision for credit losses	$	11,767			8,249			14,795			8,243
Other real estate owned	$	432			432			1,032			—
Other foreclosed assets		198			459			471			52
Accruing loans 90 days or more past due		4,692			3,796			3,312			3,876
Non-accrual loans		12,686			20,738			20,816			28,094
Total non-performing assets	$	18,008			25,425			25,631			32,022
Non-performing assets as a percentage of subsidiary assets		0.06	%		0.09	%		0.09	%		0.12	%
Allowance for credit losses as a percentage of non-performing loans		1,116	%		810	%		799	%		592	%
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		0.04	%		0.02	%		0.06	%		0.03	%
Accruing loans 30-89 days past due	$	49,678			62,423			49,967			24,863
U.S. government guarantees included in non-performing assets	$	1,228			1,490			1,503			1,035

Non-performing assets of $18.0 million at June 30, 2024 decreased $7.4 million, or 29 percent, over the prior quarter and decreased $14.0 million, or 44 percent, over the prior year second quarter. Non-performing assets as a percentage of subsidiary assets at June 30, 2024 was 0.06 percent compared to 0.09 percent in the prior quarter and 0.12 percent in the prior year second quarter.

Early stage delinquencies (accruing loans 30-89 days past due) of $49.7 million at June 30, 2024 decreased $12.7 million from the prior quarter and increased $24.8 million from prior year second quarter. Early stage delinquencies as a percentage of loans at June, 2024 were 0.29 percent compared to 0.37 percent for the prior quarter end and 0.16 percent for the prior year second quarter.

The current quarter credit loss expense of $3.5 million included $5.1 million of credit loss expense from loans and $1.6 million of credit loss benefit from unfunded loan commitments. For the first half of the current year, the provision for credit losses included $5.3 million of provision for credit losses on loans and $818 thousand of provision for credit losses on unfunded loan commitments from the acquisition of Wheatland.

The allowance for credit losses on loans (“ACL”) as a percentage of total loans outstanding at June 30, 2024 was 1.19 percent and remained unchanged from the prior year end and the prior year second 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
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	%
Third quarter 2022		8,382			3,154		1.20	%		0.07	%		0.13	%

Net charge-offs for the current quarter were $2.9 million compared to $3.1 million in the prior quarter and $2.5 million for the prior year second quarter. Net charge-offs of $2.9 million included $2.2 million in deposit overdraft net charge-offs and $716 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)	Jun 30, 2024			Mar 31, 2024		Dec 31, 2023		Jun 30, 2023		Mar 31, 2024			Dec 31, 2023			Jun 30, 2023
Deposits
Non-interest bearing deposits	$	6,093,430		6,055,069		6,022,980		6,458,394		38,361			70,450			(364,964	)
NOW and DDA accounts		5,219,838		5,376,605		5,321,257		5,154,442		(156,767	)		(101,419	)		65,396
Savings accounts		2,862,034		2,949,908		2,833,887		2,808,571		(87,874	)		28,147			53,463
Money market deposit accounts		2,858,850		3,002,942		2,831,624		3,094,302		(144,092	)		27,226			(235,452	)
Certificate accounts		3,064,613		3,039,190		2,915,393		2,014,104		25,423			149,220			1,050,509
Core deposits, total		20,098,765		20,423,714		19,925,141		19,529,813		(324,949	)		173,624			568,952
Wholesale deposits		2,994		3,809		4,026		478,417		(815	)		(1,032	)		(475,423	)
Deposits, total		20,101,759		20,427,523		19,929,167		20,008,230		(325,764	)		172,592			93,529
Repurchase agreements		1,629,504		1,540,008		1,486,850		1,356,862		89,496			142,654			272,642
Deposits and repurchase agreements, total		21,731,263		21,967,531		21,416,017		21,365,092		(236,268	)		315,246			366,171
Federal Home Loan Bank advances		2,350,000		2,140,157		—		—		209,843			2,350,000			2,350,000
FRB Bank Term Funding		—		—		2,740,000		2,740,000		—			(2,740,000	)		(2,740,000	)
Other borrowed funds		88,149		88,814		81,695		75,819		(665	)		6,454			12,330
Subordinated debentures		133,024		132,984		132,943		132,863		40			81			161
Other liabilities		365,459		381,977		351,693		287,379		(16,518	)		13,766			78,080
Total liabilities	$	24,667,895		24,711,463		24,722,348		24,601,153		(43,568	)		(54,453	)		66,742

Total core deposits of $20.099 billion at June 30, 2024 decreased $325 million, or 2 percent, during the current quarter and increased $569 million, or 3 percent, from the prior year second quarter. Excluding the Wheatland acquisition, total core deposits decreased $48.0 million, or 25 basis points, from the prior year second quarter. Non-interest bearing deposits of $6.093 billion increased $38.4 million, or 3 percent annualized, during the current quarter. Non-interest bearing deposits represented 30 percent of total deposits at both June 30, 2024 and December 31, 2023 compared to 32 percent at June 30, 2023.

FHLB borrowings of $2.350 billion increased $210 million, or 10 percent, during the quarter. Upon maturity in the prior quarter, 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)	Jun 30, 2024				Mar 31, 2024			Dec 31, 2023			Jun 30, 2023			Mar 31, 2024		Dec 31, 2023			Jun 30, 2023
Common equity	$	3,492,096			3,483,012			3,394,394			3,357,313			9,084		97,702			134,783
Accumulated other comprehensive loss		(354,651	)		(372,305	)		(374,113	)		(430,787	)		17,654		19,462			76,136
Total stockholders’ equity		3,137,445			3,110,707			3,020,281			2,926,526			26,738		117,164			210,919
Goodwill and core deposit intangible, net		(1,066,790	)		(1,069,808	)		(1,017,263	)		(1,022,118	)		3,018		(49,527	)		(44,672	)
Tangible stockholders’ equity	$	2,070,655			2,040,899			2,003,018			1,904,408			29,756		67,637			166,247

Stockholders’ equity to total assets		11.28	%		11.18	%		10.89	%		10.63	%
Tangible stockholders’ equity to total tangible assets		7.74	%		7.63	%		7.49	%		7.18	%
Book value per common share	$	27.67			27.43			27.24			26.40			0.24		0.43		1.27
Tangible book value per common share	$	18.26			18.00			18.06			17.18			0.26		0.20		1.08

Tangible stockholders’ equity of $2.071 billion at June 30, 2024 increased $67.6 million, or 3 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. The increase was partially offset by the increase in goodwill and core deposits associated with the acquisition of Wheatland. Tangible book value per common share of $18.26 at the current quarter end increased $0.20 per share, or 1 percent, from the prior year end and increased $1.08 per share, or 6 percent, from the prior year second quarter.

Cash Dividends

On June 25, 2024, the Company’s Board of Directors declared a quarterly cash dividend of $0.33 per share. The dividend was payable July 18, 2024 to shareholders of record on July 9, 2024. The dividend was the Company’s 157th 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 June 30, 2024  Compared to March 31, 2024, and June 30, 2023
Income Summary
	Three Months ended										$ Change from
(Dollars in thousands)	Jun 30, 2024				Mar 31, 2024			Jun 30, 2023			Mar 31, 2024			Jun 30, 2023
Net interest income
Interest income	$	273,834			279,402			247,365			(5,568	)		26,469
Interest expense		107,356			112,922			75,385			(5,566	)		31,971
Total net interest income		166,478			166,480			171,980			(2	)		(5,502	)
Non-interest income
Service charges and other fees		19,422			18,563			18,967			859			455
Miscellaneous loan fees and charges		4,821			4,362			4,162			459			659
Gain on sale of loans		4,669			3,362			3,528			1,307			1,141
(Loss) gain on sale of securities		(12	)		16			(23	)		(28	)		11
Other income		3,304			3,686			2,445			(382	)		859
Total non-interest income		32,204			29,989			29,079			2,215			3,125
Total income	$	198,682			196,469			201,059			2,213			(2,377	)
Net interest margin (tax-equivalent)		2.68	%		2.59	%		2.74	%

Net Interest Income

The current quarter interest income of $274 million decreased $5.6 million, or 2 percent, over the prior quarter and was driven by the decrease in cash balances used to partially payoff of the BTFP borrowings at the end of the first quarter of the current year. The current quarter interest income increased $26.5 million, or 11 percent, from the prior year second quarter was due to the increase in the loan yields and the increase in average balances of the loan portfolio. The loan yield of 5.58 percent in the current quarter increased 12 basis points from the prior quarter loan yield of 5.46 percent and increased 46 basis points from the prior year second quarter loan yield of 5.12 percent.

The current quarter interest expense of $107 million decreased $5.6 million, or 5 percent, over the prior quarter and was primarily attributable to the payoff of the BTFP borrowings. The current quarter interest expense increased $32.0 million, or 42 percent, over the prior year second quarter primarily the result of an increase in rates on deposits and borrowings. Core deposit cost (including non-interest bearing deposits) was 1.36 percent for the current quarter compared to 1.34 percent in the prior quarter and 0.57 percent for the prior year second quarter. The total cost of funding (including non-interest bearing deposits) of 1.80 percent in the current quarter decreased 4 basis points from the prior quarter which was driven by the decrease in borrowings. The current quarter cost of funds increased 54 basis points from the prior year second quarter which was 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 2.68 percent, an increase of 9 basis points from the prior quarter net interest margin of 2.59 percent and was primarily driven by a decrease in average cash and wholesale funding balances resulting from the payoff of BTFP borrowings at the end of the first quarter of 2024 as well as an increase in loan yields. Excluding the 4 basis points from discount accretion and 1 basis point from non-accrual interest, the core net interest margin was 2.63 percent in the current quarter compared to 2.55 percent in the prior quarter. “The Company was pleased with the 9 basis points increase in the net interest margin,” said Ron Copher, Chief Financial Officer. “The growth in the loan portfolio at higher yields, the reduction in high cost wholesale funding, and the continued progress in slowing the pace of deposit cost increase contributed to the improved net interest margin during the current quarter.”

Non-interest Income

Non-interest income for the current quarter totaled $32.2 million, which was an increase of $2.2 million, or 7 percent, over the prior quarter and an increase of $3.1 million, or 11 percent, over the prior year second quarter. Service charges and other fees of $19.4 million for the current quarter increased $859 thousand, or 5 percent, compared to the prior quarter and increased $455 thousand, or 2 percent, compared to the prior year second quarter. Gain on the sale of residential loans of $4.7 million for the current quarter increased $1.3 million, or 39 percent, compared to the prior quarter and increased $1.1 million, or 32 percent, from the prior year second quarter.

Non-interest Expense Summary

	Three Months ended							$ Change from
(Dollars in thousands)	Jun 30, 2024			Mar 31, 2024		Jun 30, 2023		Mar 31, 2024			Jun 30, 2023
Compensation and employee benefits	$	84,434		85,789		78,764		(1,355	)		5,670
Occupancy and equipment		11,594		11,883		10,827		(289	)		767
Advertising and promotions		4,362		3,983		3,733		379			629
Data processing		9,387		9,159		8,402		228			985
Other real estate owned and foreclosed assets		149		25		14		124			135
Regulatory assessments and insurance		5,393		7,761		5,314		(2,368	)		79
Core deposit intangibles amortization		3,017		2,760		2,427		257			590
Other expenses		22,616		30,483		21,123		(7,867	)		1,493
Total non-interest expense	$	140,952		151,843		130,604		(10,891	)		10,348

Total non-interest expense of $141 million for the current quarter decreased $10.9 million, or 7 percent, over the prior quarter and increased $10.3 million, or 8 percent, over the prior year second quarter. Compensation and employee benefits of $84.4 million decreased $1.4 million from the prior quarter and was primarily driven by a decrease in performance-related compensation. Compensation and employee benefits increased $5.7 million, or 7 percent, from the prior year second quarter and was driven by annual salary increases and increases from the acquisition of Wheatland. Regulatory assessment and insurance of $5.4 million decreased $2.4 million, or 31 percent, from the prior quarter and was primarily attributable to the prior quarter accrual adjustment of the FDIC special assessment for the estimated losses associated with the bank failures in March of 2023.

Other expenses of $22.6 million decreased $7.9 million, or 26 percent, from the prior quarter which was primarily attributable to a $3.9 million decrease in acquisition-related expenses and a $2.5 million decrease in expenses associated with equity investments in tax credits.

Federal and State Income Tax Expense

Tax expense during the second quarter of 2024 was $9.5 million, an increase of $5.8 million, or 153 percent, compared to the prior quarter and a decrease of $3.2 million, or 25 percent, from the prior year second quarter. The effective tax rate in the current quarter was 17.5 percent compared to 10.3 percent in the prior quarter and 18.8 percent in the prior year second quarter. The increase in the effective tax rate from the prior quarter was the result of an increase in pre-tax income and a decrease in federal income tax credits.

Efficiency Ratio

The efficiency ratio was 67.97 percent in the current quarter compared to 74.41 percent in the prior quarter and 62.73 percent in the prior year second quarter. The decrease from the prior quarter was principally driven by the decreased operating costs, including acquisition-related costs, from the Wheatland acquisition. The increase in the efficiency ratio from prior year second quarter was the combined impact of the expenses related to the Wheatland acquisition and a decrease in net interest income.

Operating Results for Six Months Ended June 30, 2024 Compared to June 30, 2023
Income Summary
	Six months ended
(Dollars in thousands)	Jun 30, 2024				Jun 30, 2023				$ Change				% Change
Net interest income
Interest income	$	553,236			$	479,253			$	73,983			15	%
Interest expense		220,278				121,081				99,197			82	%
Total net interest income		332,958				358,172				(25,214	)		(7	)%
Non-interest income
Service charges and other fees		37,985				36,738				1,247			3	%
Miscellaneous loan fees and charges		9,183				8,129				1,054			13	%
Gain on sale of loans		8,031				5,928				2,103			35	%
Gain (loss) on sale of securities		4				(137	)			141			(103	)%
Other income		6,990				6,316				674			11	%
Total non-interest income		62,193				56,974				5,219			9	%
Total Income	$	395,151			$	415,146			$	(19,995	)		(5	)%
Net interest margin (tax-equivalent)		2.64	%			2.91	%

Net Interest Income

Net-interest income of $333 million for the first half of 2024 decreased $25.2 million, or 7 percent, over 2023 and was primarily driven by increased interest expense which outpaced the increase in interest income. Interest income of $553 million for 2024 increased $74.0 million, or 15 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 5.52 percent during the first half of 2024, an increase of 45 basis points from the prior year first half loan yield of 5.07 percent.

Interest expense of $220 million for the first half of 2024 increased $99 million, or 82 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 1.35 percent for the first six months of 2024 compared to 0.40 percent for the same period in the prior year. The total funding cost (including non-interest bearing deposits) for the first six months of 2024 was 1.82 percent, which was an increase of 79 basis points over the first six months of the prior year funding cost of 1.03 percent.

The net interest margin as a percentage of earning assets, on a tax-equivalent basis, during the first half of 2024 was 2.64 percent, a 27 basis points decrease from the net interest margin of 2.91 percent for the first half of the prior year. Excluding the 3 basis points from discount accretion and 1 basis point from non-accrual interest, the core net interest margin was 2.60 percent in the first half of the current year compared to 2.90 percent in the prior year first half.

Non-interest Income  

Non-interest income of $62.2 million for the first six months of 2024 increased $5.2 million, or 9 percent, over the same period last year. Gain on sale of residential loans of $8.0 million for the first six months of 2024 increased by $2.1 million, or 35 percent, over the first six months of the prior year.

Non-interest Expense Summary

	Six months ended
(Dollars in thousands)	Jun 30, 2024			Jun 30, 2023			$ Change			% Change
Compensation and employee benefits	$	170,223		$	160,241		$	9,982		6	%
Occupancy and equipment		23,477			22,492			985		4	%
Advertising and promotions		8,345			7,968			377		5	%
Data processing		18,546			16,511			2,035		12	%
Other real estate owned and foreclosed assets		174			26			148		569	%
Regulatory assessments and insurance		13,154			10,217			2,937		29	%
Core deposit intangibles amortization		5,777			4,876			901		18	%
Other expenses		53,099			43,255			9,844		23	%
Total non-interest expense	$	292,795		$	265,586		$	27,209		10	%

Total non-interest expense of $293 million for the first half of 2024 increased $27.2 million, or 10 percent, over the same period in the prior year. Compensation and employee benefits expense of $170 million in the first six months of 2024 increased $10.0 million, or 6 percent, over the same period in the prior year and was driven by annual salary increases and the acquisition of Wheatland. Data processing expenses of $18.5 million for the first half of 2024 increased $2.0 million, or 12 percent, from the same period in the prior year. Regulatory assessments and insurance expense of $13.2 million for the first half of 2024 increased $2.9 million, or 29 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 $53.1 million for the first half of 2024 increased $9.8 million, or 23 percent, from the first half of the prior year and was primarily driven by an increase of $6.9 million of acquisition-related expenses, which was partially offset by gains of $2.5 million from the sale of former branch facilities and disposal of fixed assets.

Provision for Credit Losses

The provision for credit loss expense was $11.8 million for the first half of 2024, an increase of $3.5 million, or 43 percent, over the same period in the prior year and was primarily attributable to $5.3 million from the acquisition of Wheatland. Net charge-offs for the first half of 2024 were $6.0 million compared to $4.4 million in the first half of 2023.

Federal and State Income Tax Expense

Tax expense of $13.3 million for the first six months of 2024 decreased $11.9 million, or 47 percent, over the prior year. The effective tax rate for the first six months of 2024 was 14.6 percent compared to 17.8 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 71.17 percent for the first six months of 2024 compared to 61.52 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 a rising 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 continued 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, July 19, 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: /register/BIb4af6c99b1b447c3b8563d90c2fcf09d. To participate via the webcast, log on to: -server.com/mmc/p/555kzj6s. If you are unable to participate during the live webcast, the call will be archived on our website,

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 (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)	Jun 30, 2024				Mar 31, 2024			Dec 31, 2023			Jun 30, 2023
Assets
Cash on hand and in banks	$	271,107			232,064			246,525			285,920
Interest bearing cash deposits		529,672			556,596			1,107,817			765,400
Cash and cash equivalents		800,779			788,660			1,354,342			1,051,320
Debt securities, available-for-sale		4,499,541			4,629,073			4,785,719			4,999,820
Debt securities, held-to-maturity		3,400,403			3,451,583			3,502,411			3,608,289
Total debt securities		7,899,944			8,080,656			8,288,130			8,608,109
Loans held for sale, at fair value		39,745			27,035			15,691			35,006
Loans receivable		16,851,991			16,732,502			16,198,082			15,954,962
Allowance for credit losses		(200,955	)		(198,779	)		(192,757	)		(189,385	)
Loans receivable, net		16,651,036			16,533,723			16,005,325			15,765,577
Premises and equipment, net		451,515			443,273			421,791			405,407
Other real estate owned and foreclosed assets		630			891			1,503			52
Accrued interest receivable		102,279			106,063			94,526			88,351
Deferred tax asset		155,834			161,327			159,070			179,815
Core deposit intangible, net		43,028			46,046			31,870			36,725
Goodwill		1,023,762			1,023,762			985,393			985,393
Non-marketable equity securities		121,810			111,129			12,755			10,014
Bank-owned life insurance		187,793			186,625			171,101			169,195
Other assets		327,185			312,980			201,132			192,715
Total assets	$	27,805,340			27,822,170			27,742,629			27,527,679
Liabilities
Non-interest bearing deposits	$	6,093,430			6,055,069			6,022,980			6,458,394
Interest bearing deposits		14,008,329			14,372,454			13,906,187			13,549,836
Securities sold under agreements to repurchase		1,629,504			1,540,008			1,486,850			1,356,862
FHLB advances		2,350,000			2,140,157			—			—
FRB Bank Term Funding		—			—			2,740,000			2,740,000
Other borrowed funds		88,149			88,814			81,695			75,819
Subordinated debentures		133,024			132,984			132,943			132,863
Accrued interest payable		31,000			32,584			125,907			47,742
Other liabilities		334,459			349,393			225,786			239,637
Total liabilities		24,667,895			24,711,463			24,722,348			24,601,153
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		2,445,479			2,443,584			2,350,104			2,346,422
Retained earnings - substantially restricted		1,045,483			1,038,294			1,043,181			1,009,782
Accumulated other comprehensive loss		(354,651	)		(372,305	)		(374,113	)		(430,787	)
Total stockholders’ equity		3,137,445			3,110,707			3,020,281			2,926,526
Total liabilities and stockholders’ equity	$	27,805,340			27,822,170			27,742,629			27,527,679

Glacier Bancorp, Inc. Unaudited Condensed Consolidated Statements of Operations
	Three Months ended									Six months ended
(Dollars in thousands, except per share data)	Jun 30, 2024				Mar 31, 2024		Jun 30, 2023			Jun 30, 2024		Jun 30, 2023
Interest Income
Investment securities	$	42,165			56,218		47,658			98,383		91,300
Residential real estate loans		21,754			20,764		17,076			42,518		32,914
Commercial loans		188,326			181,472		164,587			369,798		320,269
Consumer and other loans		21,589			20,948		18,044			42,537		34,770
Total interest income		273,834			279,402		247,365			553,236		479,253
Interest Expense
Deposits		67,852			67,196		31,700			135,048		44,245
Securities sold under agreements to repurchase		13,566			12,598		8,607			26,164		13,213
Federal Home Loan Bank advances		24,179			4,249		3,305			28,428		26,910
FRB Bank Term Funding		—			27,097		29,899			27,097		32,931
Other borrowed funds		353			344		443			697		939
Subordinated debentures		1,406			1,438		1,431			2,844		2,843
Total interest expense		107,356			112,922		75,385			220,278		121,081
Net Interest Income		166,478			166,480		171,980			332,958		358,172
Provision for credit losses		3,518			8,249		2,773			11,767		8,243
Net interest income after provision for credit losses		162,960			158,231		169,207			321,191		349,929
Non-Interest Income
Service charges and other fees		19,422			18,563		18,967			37,985		36,738
Miscellaneous loan fees and charges		4,821			4,362		4,162			9,183		8,129
Gain on sale of loans		4,669			3,362		3,528			8,031		5,928
(Loss) gain on sale of securities		(12	)		16		(23	)		4		(137	)
Other income		3,304			3,686		2,445			6,990		6,316
Total non-interest income		32,204			29,989		29,079			62,193		56,974
Non-Interest Expense
Compensation and employee benefits		84,434			85,789		78,764			170,223		160,241
Occupancy and equipment		11,594			11,883		10,827			23,477		22,492
Advertising and promotions		4,362			3,983		3,733			8,345		7,968
Data processing		9,387			9,159		8,402			18,546		16,511
Other real estate owned and foreclosed assets		149			25		14			174		26
Regulatory assessments and insurance		5,393			7,761		5,314			13,154		10,217
Core deposit intangibles amortization		3,017			2,760		2,427			5,777		4,876
Other expenses		22,616			30,483		21,123			53,099		43,255
Total non-interest expense		140,952			151,843		130,604			292,795		265,586
Income Before Income Taxes		54,212			36,377		67,682			90,589		141,317
Federal and state income tax expense		9,504			3,750		12,727			13,254		25,151
Net Income	$	44,708			32,627		54,955			77,335		116,166

Glacier Bancorp, Inc. Average Balance Sheets
	Three Months ended
	June 30, 2024									March 31, 2024
(Dollars in thousands)	Average Balance			Interest & Dividends			Average Yield/ Rate			Average Balance			Interest & Dividends			Average Yield/ Rate
Assets
Residential real estate loans	$	1,796,787		$	21,754		4.84	%		$	1,747,184		$	20,764		4.75	%
Commercial loans 1		13,740,455			189,939		5.56	%			13,513,426			183,045		5.45	%
Consumer and other loans		1,290,587			21,589		6.73	%			1,283,388			20,948		6.56	%
Total loans 2		16,827,829			233,282		5.58	%			16,543,998			224,757		5.46	%
Tax-exempt debt securities 3		1,707,269			15,111		3.54	%			1,720,370			15,157		3.52	%
Taxable debt securities 4, 5		7,042,885			29,461		1.67	%			8,176,974			43,477		2.13	%
Total earning assets		25,577,983			277,854		4.37	%			26,441,342			283,391		4.31	%
Goodwill and intangibles		1,068,250									1,051,954
Non-earning assets		754,491									611,550
Total assets	$	27,400,724								$	28,104,846
Liabilities
Non-interest bearing deposits	$	6,026,709		$	—		—	%		$	5,966,546		$	—		—	%
NOW and DDA accounts		5,221,883			15,728		1.21	%			5,275,703			15,918		1.21	%
Savings accounts		2,914,538			6,014		0.83	%			2,900,649			5,655		0.78	%
Money market deposit accounts		2,904,438			14,467		2.00	%			2,948,294			14,393		1.96	%
Certificate accounts		3,037,638			31,593		4.18	%			3,000,713			31,175		4.18	%
Total core deposits		20,105,206			67,802		1.36	%			20,091,905			67,141		1.34	%
Wholesale deposits 6		3,726			50		5.50	%			3,965			55		5.50	%
Repurchase agreements		1,597,887			13,566		3.41	%			1,513,397			12,598		3.35	%
FHLB advances		2,007,747			24,179		4.76	%			350,754			4,249		4.79	%
FRB Bank Term Funding		—			—		—	%			2,483,077			27,097		4.39	%
Subordinated debentures and other borrowed funds		224,778			1,759		3.15	%			218,271			1,782		3.28	%
Total funding liabilities		23,939,344			107,356		1.80	%			24,661,369			112,922		1.84	%
Other liabilities		344,105									356,554
Total liabilities		24,283,449									25,017,923
Stockholders’ Equity
Stockholders’ equity		3,117,275									3,086,923
Total liabilities and stockholders’ equity	$	27,400,724								$	28,104,846
Net interest income (tax-equivalent)				$	170,498								$	170,469
Net interest spread (tax-equivalent)							2.57	%								2.47	%
Net interest margin (tax-equivalent)							2.68	%								2.59	%

______________________________

1	Includes tax effect of $1.6 million and $1.6 million on tax-exempt municipal loan and lease income for the three months ended June 30, 2024 and March 31, 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 $2.2 million and $2.2 million on tax-exempt debt securities income for the three months ended June 30, 2024 and March 31, 2024, respectively.
4	Includes interest income of $1.9 million and $15.3 million on average interest-bearing cash balances of $143.0 million and $1.12 billion for the three months ended June 30, 2024 and March 31, 2024, respectively.
5	Includes tax effect of $211 thousand and $215 thousand on federal income tax credits for the three months ended June 30, 2024 and March 31, 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
	June 30, 2024									June 30, 2023
(Dollars in thousands)	Average Balance			Interest & Dividends			Average Yield/ Rate			Average Balance			Interest & Dividends			Average Yield/ Rate
Assets
Residential real estate loans	$	1,796,787		$	21,754		4.84	%		$	1,567,136		$	17,076		4.36	%
Commercial loans 1		13,740,455			189,939		5.56	%			12,950,934			165,874		5.14	%
Consumer and other loans		1,290,587			21,589		6.73	%			1,236,763			18,044		5.85	%
Total loans 2		16,827,829			233,282		5.58	%			15,754,833			200,994		5.12	%
Tax-exempt debt securities 3		1,707,269			15,111		3.54	%			1,743,852			14,462		3.32	%
Taxable debt securities 4, 5		7,042,885			29,461		1.67	%			8,177,551			35,202		1.72	%
Total earning assets		25,577,983			277,854		4.37	%			25,676,236			250,658		3.92	%
Goodwill and intangibles		1,068,250									1,023,291
Non-earning assets		754,491									523,349
Total assets	$	27,400,724								$	27,222,876
Liabilities
Non-interest bearing deposits	$	6,026,709		$	—		—	%		$	6,584,082		$	—		—	%
NOW and DDA accounts		5,221,883			15,728		1.21	%			5,108,421			7,429		0.58	%
Savings accounts		2,914,538			6,014		0.83	%			2,846,015			1,064		0.15	%
Money market deposit accounts		2,904,438			14,467		2.00	%			3,256,007			10,174		1.25	%
Certificate accounts		3,037,638			31,593		4.18	%			1,451,218			8,878		2.45	%
Total core deposits		20,105,206			67,802		1.36	%			19,245,743			27,545		0.57	%
Wholesale deposits 6		3,726			50		5.50	%			330,655			4,155		5.04	%
Repurchase agreements		1,597,887			13,566		3.41	%			1,273,045			8,607		2.71	%
FHLB advances		2,007,747			24,179		4.76	%			245,055			3,305		5.33	%
FRB Bank Term Funding		—			—		—	%			2,740,000			29,899		4.38	%
Subordinated debentures and other borrowed funds		224,778			1,759		3.15	%			208,804			1,874		3.60	%
Total funding liabilities		23,939,344			107,356		1.80	%			24,043,302			75,385		1.26	%
Other liabilities		344,105									247,319
Total liabilities		24,283,449									24,290,621
Stockholders’ Equity
Stockholders’ equity		3,117,275									2,932,255
Total liabilities and stockholders’ equity	$	27,400,724								$	27,222,876
Net interest income (tax-equivalent)				$	170,498								$	175,273
Net interest spread (tax-equivalent)							2.57	%								2.66	%
Net interest margin (tax-equivalent)							2.68	%								2.74	%

______________________________

1	Includes tax effect of $1.6 million and $1.3 million on tax-exempt municipal loan and lease income for the three months ended June 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 $2.2 million and $1.8 million on tax-exempt debt securities income for the three months ended June 30, 2024 and 2023, respectively.
4	Includes interest income of $1.9 million and $7.3 million on average interest-bearing cash balances of $143.0 million and $579.0 million for the three months ended June 30, 2024 and 2023, respectively.
5	Includes tax effect of $211 thousand and $214 thousand on federal income tax credits for the three months ended June 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)
	Six Months ended
	June 30, 2024									June 30, 2023
(Dollars in thousands)	Average Balance			Interest & Dividends			Average Yield/ Rate			Average Balance			Interest & Dividends			Average Yield/ Rate
Assets
Residential real estate loans	$	1,771,985		$	42,518		4.80	%		$	1,530,739		$	32,914		4.30	%
Commercial loans 1		13,626,941			372,984		5.50	%			12,804,058			323,330		5.09	%
Consumer and other loans		1,286,988			42,537		6.65	%			1,222,121			34,770		5.74	%
Total loans 2		16,685,914			458,039		5.52	%			15,556,918			391,014		5.07	%
Tax-exempt debt securities 3		1,713,819			30,268		3.53	%			1,752,644			30,492		3.48	%
Taxable debt securities 4, 5		7,609,930			72,938		1.92	%			8,115,452			66,286		1.63	%
Total earning assets		26,009,663			561,245		4.34	%			25,425,014			487,792		3.87	%
Goodwill and intangibles		1,060,102									1,024,497
Non-earning assets		683,020									501,278
Total assets	$	27,752,785								$	26,950,789
Liabilities
Non-interest bearing deposits	$	5,996,627		$	—		—	%		$	6,927,248		$	—		—	%
NOW and DDA accounts		5,248,793			31,646		1.21	%			5,094,376			9,700		0.38	%
Savings accounts		2,907,594			11,669		0.81	%			2,976,065			1,578		0.11	%
Money market deposit accounts		2,926,366			28,860		1.98	%			3,361,892			16,008		0.96	%
Certificate accounts		3,019,176			62,768		4.18	%			1,219,282			11,462		1.90	%
Total core deposits		20,098,556			134,943		1.35	%			19,578,863			38,748		0.40	%
Wholesale deposits 6		3,846			105		5.50	%			226,142			5,497		4.90	%
Repurchase agreements		1,555,642			26,164		3.38	%			1,154,970			13,213		2.31	%
FHLB advances		1,179,251			28,428		4.77	%			1,113,122			26,910		4.81	%
FRB Bank Term Funding		1,241,538			27,097		4.39	%			1,517,265			32,931		4.38	%
Subordinated debentures and other borrowed funds		221,525			3,541		3.21	%			209,174			3,782		3.65	%
Total funding liabilities		24,300,358			220,278		1.82	%			23,799,536			121,081		1.03	%
Other liabilities		350,329									232,365
Total liabilities		24,650,687									24,031,901
Stockholders’ Equity
Stockholders’ equity		3,102,098									2,918,888
Total liabilities and stockholders’ equity	$	27,752,785								$	26,950,789
Net interest income (tax-equivalent)				$	340,967								$	366,711
Net interest spread (tax-equivalent)							2.52	%								2.84	%
Net interest margin (tax-equivalent)							2.64	%								2.91	%

______________________________

1	Includes tax effect of $3.2 million and $3.1 million on tax-exempt municipal loan and lease income for the six months ended June 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 $4.4 million and $5.0 million on tax-exempt debt securities income for the six months ended June 30, 2024 and 2023, respectively.
4	Includes interest income of $17.2 million and $9.4 million on average interest-bearing cash balances of $631.7 million and $379.0 million for the six months ended June 30, 2024 and 2023, respectively.
5	Includes tax effect of $426 thousand and $429 thousand on federal income tax credits for the six months ended June 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)	Jun 30, 2024				Mar 31, 2024				Dec 31, 2023				Jun 30, 2023				Mar 31, 2024			Dec 31, 2023			Jun 30, 2023
Custom and owner occupied construction	$	233,978			$	273,835			$	290,572			$	315,651			(15	)%		(19	)%		(26	)%
Pre-sold and spec construction		198,219				223,294				236,596				306,440			(11	)%		(16	)%		(35	)%
Total residential construction		432,197				497,129				527,168				622,091			(13	)%		(18	)%		(31	)%
Land development		209,794				215,828				232,966				238,897			(3	)%		(10	)%		(12	)%
Consumer land or lots		190,781				188,635				187,545				182,251			1	%		2	%		5	%
Unimproved land		108,763				103,032				87,739				91,157			6	%		24	%		19	%
Developed lots for operative builders		57,140				47,591				56,142				65,134			20	%		2	%		(12	)%
Commercial lots		99,036				92,748				87,185				94,334			7	%		14	%		5	%
Other construction		810,536				915,782				900,547				1,039,192			(11	)%		(10	)%		(22	)%
Total land, lot, and other construction		1,476,050				1,563,616				1,552,124				1,710,965			(6	)%		(5	)%		(14	)%
Owner occupied		3,087,814				3,057,348				3,035,768				2,934,724			1	%		2	%		5	%
Non-owner occupied		3,941,786				3,920,696				3,742,916				3,714,531			1	%		5	%		6	%
Total commercial real estate		7,029,600				6,978,044				6,778,684				6,649,255			1	%		4	%		6	%
Commercial and industrial		1,400,896				1,371,201				1,363,479				1,370,393			2	%		3	%		2	%
Agriculture		962,384				929,420				772,458				770,378			4	%		25	%		25	%
1st lien		2,353,912				2,276,638				2,127,989				1,956,205			3	%		11	%		20	%
Junior lien		56,049				51,579				47,230				46,616			9	%		19	%		20	%
Total 1-4 family		2,409,961				2,328,217				2,175,219				2,002,821			4	%		11	%		20	%
Multifamily residential		1,027,962				881,117				796,538				664,859			17	%		29	%		55	%
Home equity lines of credit		974,000				947,652				979,891				940,048			3	%		(1	)%		4	%
Other consumer		220,755				223,566				229,154				231,519			(1	)%		(4	)%		(5	)%
Total consumer		1,194,755				1,171,218				1,209,045				1,171,567			2	%		(1	)%		2	%
States and political subdivisions		777,426				848,454				834,947				812,688			(8	)%		(7	)%		(4	)%
Other		180,505				191,121				204,111				214,951			(6	)%		(12	)%		(16	)%
Total loans receivable, including loans held for sale		16,891,736				16,759,537				16,213,773				15,989,968			1	%		4	%		6	%
Less loans held for sale 1		(39,745	)			(27,035	)			(15,691	)			(35,006	)		47	%		153	%		14	%
Total loans receivable	$	16,851,991			$	16,732,502			$	16,198,082			$	15,954,962			1	%		4	%		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)	Jun 30, 2024			Mar 31, 2024		Dec 31, 2023		Jun 30, 2023		Jun 30, 2024		Jun 30, 2024		Jun 30, 2024
Custom and owner occupied construction	$	206		210		214		219		206		—		—
Pre-sold and spec construction		2,908		1,049		763		1,548		2,145		763		—
Total residential construction		3,114		1,259		977		1,767		2,351		763		—
Land development		—		28		35		118		—		—		—
Consumer land or lots		429		144		96		239		201		228		—
Unimproved land		—		—		—		43		—		—		—
Developed lots for operative builders		608		608		608		608		—		608		—
Commercial lots		47		2,205		47		188		—		47		—
Other construction		25		—		—		12,884		25		—		—
Total land, lot and other construction		1,109		2,985		786		14,080		226		883		—
Owner occupied		1,992		1,501		1,838		2,251		999		561		432
Non-owner occupied		257		8,853		11,016		4,450		—		257		—
Total commercial real estate		2,249		10,354		12,854		6,701		999		818		432
Commercial and Industrial		2,044		1,698		1,971		1,339		1,297		747		—
Agriculture		2,442		2,855		2,558		2,564		2,396		46		—
1st lien		2,923		2,930		2,664		2,794		2,217		706		—
Junior lien		492		69		180		273		353		139		—
Total 1-4 family		3,415		2,999		2,844		3,067		2,570		845		—
Multifamily residential		385		395		395		—		385		—		—
Home equity lines of credit		2,145		1,892		2,043		1,256		1,770		375		—
Other consumer		1,089		927		1,187		1,116		692		199		198
Total consumer		3,234		2,819		3,230		2,372		2,462		574		198
Other		16		61		16		132		—		16		—
Total	$	18,008		25,425		25,631		32,022		12,686		4,692		630

Glacier Bancorp, Inc. Credit Quality Summary by Regulatory Classification (continued)
	Accruing 30-89 Days Delinquent Loans,  by Loan Type												% Change from
(Dollars in thousands)	Jun 30, 2024			Mar 31, 2024			Dec 31, 2023			Jun 30, 2023			Mar 31, 2024			Dec 31, 2023			Jun 30, 2023
Custom and owner occupied construction	$	1,323		$	4,784		$	2,549		$	324		(72	)%		(48	)%		308	%
Pre-sold and spec construction		816			1,181			1,219			129		(31	)%		(33	)%		533	%
Total residential construction		2,139			5,965			3,768			453		(64	)%		(43	)%		372	%
Land development		—			59			163			244		(100	)%		(100	)%		(100	)%
Consumer land or lots		411			332			624			565		24	%		(34	)%		(27	)%
Unimproved land		158			575			—			—		(73	)%		n/m			n/m
Commercial lots		—			1,225			2,159			3,404		(100	)%		(100	)%		(100	)%
Other construction		21			1,248			—			1,114		(98	)%		n/m			(98	)%
Total land, lot and other construction		590			3,439			2,946			5,327		(83	)%		(80	)%		(89	)%
Owner occupied		4,326			2,991			2,222			1,053		45	%		95	%		311	%
Non-owner occupied		8,119			18,118			14,471			8,595		(55	)%		(44	)%		(6	)%
Total commercial real estate		12,445			21,109			16,693			9,648		(41	)%		(25	)%		29	%
Commercial and industrial		17,591			14,806			12,905			2,096		19	%		36	%		739	%
Agriculture		5,288			3,922			594			871		35	%		790	%		507	%
1st lien		2,637			5,626			3,768			1,115		(53	)%		(30	)%		137	%
Junior lien		17			145			1			385		(88	)%		1,600	%		(96	)%
Total 1-4 family		2,654			5,771			3,769			1,500		(54	)%		(30	)%		77	%
Home equity lines of credit		5,432			3,668			4,518			2,021		48	%		20	%		169	%
Other consumer		2,192			1,948			3,264			1,714		13	%		(33	)%		28	%
Total consumer		7,624			5,616			7,782			3,735		36	%		(2	)%		104	%
Other		1,347			1,795			1,510			1,233		(25	)%		(11	)%		9	%
Total	$	49,678		$	62,423		$	49,967		$	24,863		(20	)%		(1	)%		100	%

______________________________

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)	Jun 30, 2024				Mar 31, 2024			Dec 31, 2023			Jun 30, 2023			Jun 30, 2024		Jun 30, 2024
Pre-sold and spec construction		(4	)		(4	)		(15	)		(8	)		—		4
Total residential construction		(4	)		(4	)		(15	)		(8	)		—		4
Land development		(1	)		(1	)		(135	)		(132	)		—		1
Consumer land or lots		(22	)		(1	)		(19	)		(14	)		—		22
Unimproved land		5			—			—			—			5		—
Commercial lots		319			—			—			—			319		—
Other construction		—			—			889			—			—		—
Total land, lot and other construction		301			(2	)		735			(146	)		324		23
Owner occupied		(73	)		(3	)		(59	)		(76	)		—		73
Non-owner occupied		(2	)		(1	)		799			299			—		2
Total commercial real estate		(75	)		(4	)		740			223			—		75
Commercial and industrial		644			328			364			(18	)		1,149		505
Agriculture		68			68			—			—			68		—
1st lien		(22	)		(4	)		66			101			—		22
Junior lien		(55	)		(5	)		24			38			10		65
Total 1-4 family		(77	)		(9	)		90			139			10		87
Multifamily residential		—			—			(136	)		—			—		—
Home equity lines of credit		1			5			(6	)		56			15		14
Other consumer		493			251			1,097			401			709		216
Total consumer		494			256			1,091			457			724		230
Other		4,611			2,439			7,447			3,765			6,155		1,544
Total	$	5,962			3,072			10,316			4,412			8,430		2,468

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CONTACT: Randall M. Chesler, CEO

(406) 751-4722

Ron J. Copher, CFO

(406) 751-7706