Glacier Bancorp, Inc. Announces Results For The Quarter And Period Ended September 30, 2023

3rd Quarter 2023 Highlights:

• The loan portfolio, excluding the Payroll Protection Program (“PPP”) loans, increased $382 million, or 14 percent annualized, in the current quarter.
• Core deposits increased $742 million, or 18 percent annualized, during the current quarter.
• Net interest income (tax-equivalent), excluding the PPP loans, of $154 million, increased $4.6 million, or 3 percent, over the prior quarter net interest income of $150 million.
• Received $327 million in PPP loan forgiveness proceeds from the U.S. Small Business Administration (“SBA”) during the current quarter compared to $350 million in the prior quarter.
• Declared a quarterly dividend of $0.32 per share. The Company has declared 146 consecutive quarterly dividends and has increased the dividend 48 times.
• Completed the acquisition of Altabancorp, the parent company of Altabank, with total assets of $3.648 billion on October 1, 2023. Based in American Fork, Utah, Altabank is the largest community bank in Utah and is the Company’s 24th acquisition since 2000.

Year-to-Date 2023 Highlights:

• The loan portfolio, excluding the PPP loans, increased $711 million, or 9 percent annualized, in the first nine months of 2023.
• Core deposits increased $2.718 billion, or 25 percent annualized, during the first nine months of 2023.
• Net income of $234 million for the first nine months of 2023, an increase of $49.5 million, or 27 percent, over the prior year first nine months net income of $185 million.
• Diluted earnings per share of $2.45, an increase of 26 percent from the prior year first nine months diluted earnings per share of $1.95.
• Net interest income (tax-equivalent), excluding the PPP loans, of $452 million, an increase of $22.5 million, or 5 percent, over the prior quarter net interest income of $430 million.
• The Company funded 8,525 PPP loans in the amount of $555 million during the first half of 2023.
• The Company received $1.103 billion in PPP loan forgiveness proceeds from the U.S. Small Business Administration (“SBA”) during the first nine months of 2023.
• Dividends declared in the first nine months of 2023 of $0.95 per share, an increase of $0.07 per share, or 8 percent, over the prior year dividends declared of $0.88 per share.

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, 2021				Jun 30, 2021			Mar 31, 2021			Sep 30, 2020			Sep 30, 2021			Sep 30, 2020
Operating results
Net income	$	75,619			77,627			80,802			77,757			234,048			184,540
Basic earnings per share	$	0.79			0.81			0.85			0.81			2.45			1.95
Diluted earnings per share	$	0.79			0.81			0.85			0.81			2.45			1.95
Dividends declared per share	$	0.32			0.32			0.31			0.30			0.95			0.88
Market value per share
Closing	$	55.35			55.08			57.08			32.05			55.35			32.05
High	$	56.84			63.05			67.35			38.13			67.35			46.54
Low	$	48.62			52.99			44.55			30.05			44.55			26.66
Selected ratios and other data
Number of common stock shares outstanding	95,512,659				95,507,234			95,501,819			95,413,743			95,512,659			95,413,743
Average outstanding shares – basic	95,510,772				95,505,877			95,465,801			95,411,656			95,494,211			94,704,198
Average outstanding shares – diluted	95,586,202				95,580,904			95,546,922			95,442,576			95,573,519			94,747,894
Return on average assets (annualized)	1.43		%		1.55	%		1.73	%		1.80	%		1.57	%		1.56	%
Return on average equity (annualized)	12.49		%		13.25	%		14.12	%		13.73	%		13.27	%		11.40	%
Efficiency ratio	50.17		%		49.92	%		46.75	%		48.05	%		48.94	%		49.83	%
Dividend payout ratio	40.51		%		39.51	%		36.47	%		37.04	%		38.78	%		45.13	%
Loan to deposit ratio	65.06		%		67.64	%		70.72	%		82.29	%		65.06	%		82.29	%
Number of full time equivalent employees	2,978				2,987			2,994			2,946			2,978			2,946
Number of locations	194				194			193			193			194			193
Number of ATMs	250				250			250			250			250			250

KALISPELL, Mont., Oct. 21, 2023 (GLOBE NEWSWIRE) — Glacier Bancorp, Inc. (NASDAQ:GBCI) reported net income of $75.6 million for the current quarter, a decrease of $2.2 million, or 3 percent, from the $77.8 million of net income for the prior year third quarter. Diluted earnings per share for the current quarter was $0.79 per share, a decrease of 2 percent from the prior year third quarter diluted earnings per share of $0.81. The decrease in third quarter earnings over the prior year was driven by a $21.6 million reduction in the gain on sale of residential mortgage loans due to record gains in the prior year. “The Glacier team produced very strong core loan and net interest income growth in the quarter,” said Randy Chesler, President and Chief Executive Officer. “We are excited to welcome the outstanding team at Altabank to the Glacier family and are well positioned to capitalize on our strengthening markets across the West.”

Net income for the nine months ended September 30, 2023 was $234 million, an increase of $49.5 million, or 27 percent, from the $185 million net income from the first nine months in the prior year. Diluted earnings per share for the first nine months of the current year was $2.45 per share, an increase of 26 percent, from the diluted earnings per share of $1.95 for the same period last year.

On October 1, 2023, the Company announced the completion of the acquisition of Altabancorp, the parent company of Altabank, based in American Fork, Utah (collectively, “Alta”) and the largest community bank in Utah. Alta provides banking services to individuals and businesses in Utah with twenty-five banking offices from Preston, Idaho to St. George, Utah. As of September 30, 2023, Alta had total assets of $3.648 billion, total loans of $1.901 billion and total deposits of $3.279 billion. Upon closing of the transaction, Alta became the Company’s seventeenth Bank division.

Asset Summary

																		$ Change from
(Dollars in thousands)	Sep 30, 2021					Jun 30, 2021				Dec 31, 2020				Sep 30, 2020				Jun 30, 2021				Dec 31, 2020				Sep 30, 2020
Cash and cash equivalents	$	348,888				921,207				633,142				769,879				(572,319	)			(284,254	)			(420,991	)
Debt securities, available-for-sale	7,390,580					6,147,143				5,337,814				4,125,548				1,243,437				2,052,766				3,265,032
Debt securities, held-to-maturity	1,128,299					1,024,730				189,836				193,509				103,569				938,463				934,790
Total debt securities	8,518,879					7,171,873				5,527,650				4,319,057				1,347,006				2,991,229				4,199,822
Loans receivable
Residential real estate	781,538					734,838				802,508				862,614				46,700				(20,970	)			(81,076	)
Commercial real estate	6,912,569					6,584,322				6,315,895				6,201,817				328,247				596,674				710,752
Other commercial	2,598,616					2,932,419				3,054,817				3,593,322				(333,803	)			(456,201	)			(994,706	)
Home equity	660,920					648,800				636,405				646,850				12,120				24,515				14,070
Other consumer	340,248					337,669				313,071				314,128				2,579				27,177				26,120
Loans receivable	11,293,891					11,238,048				11,122,696				11,618,731				55,843				171,195				(324,840	)
Allowance for credit losses	(153,609		)			(151,448	)			(158,243	)			(164,552	)			(2,161	)			4,634				10,943
Loans receivable, net	11,140,282					11,086,600				10,964,453				11,454,179				53,682				175,829				(313,897	)
Other assets	1,305,970					1,308,353				1,378,961				1,382,952				(2,383	)			(72,991	)			(76,982	)
Total assets	$	21,314,019				20,488,033				18,504,206				17,926,067				825,986				2,809,813				3,387,952

Total debt securities of $8.519 billion at September 30, 2023 increased $1.347 billion, or 19 percent, during the current quarter and increased $4.200 billion, or 97 percent, from the prior year third quarter. The Company continues to selectively purchase debt securities with excess liquidity from the increase in core deposits and SBA forgiveness of PPP loans. Debt securities represented 40 percent of total assets at September 30, 2023 compared to 30 percent of total assets at December 30, 2020 and 24 percent of total assets at September 30, 2020.

The loan portfolio of $11.294 billion at September 30, 2023 increased $55.8 million, or 50 basis points, in the current quarter. Excluding the PPP loans, the loan portfolio increased $382 million, or 14 percent annualized, during the current quarter with the largest increase in commercial real estate which increased $328 million.

The loan portfolio decreased $325 million, or 3 percent, from the prior year third quarter. Excluding the PPP loans, the loan portfolio increased $755 million, or 7 percent, from the prior year third quarter with the largest increase in commercial real estate loans which increased $711 million, or 11 percent.

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, 2021				Jun 30, 2021			Dec 31, 2020			Sep 30, 2020
Allowance for credit losses
Balance at beginning of period	$	158,243			158,243			124,490			124,490
Impact of adopting CECL	—				—			3,720			3,720
Acquisitions	—				—			49			49
Provision for credit losses	(2,921		)		(5,234	)		37,637			39,165
Charge-offs	(8,566		)		(5,946	)		(13,808	)		(7,865	)
Recoveries	6,853				4,385			6,155			4,993
Balance at end of period	$	153,609			151,448			158,243			164,552
Provision for credit losses
Loan portfolio	$	(2,921	)		(5,234	)		37,637			39,165
Unfunded loan commitments	(1,959		)		(371	)		2,128			2,135
Total provision for credit losses	$	(4,880	)		(5,605	)		39,765			41,300
Other real estate owned	$	88			705			1,182			4,742
Other foreclosed assets	18				66			562			619
Accruing loans 90 days or more past due	5,172				4,220			1,725			2,952
Non-accrual loans	45,901				48,050			31,964			36,350
Total non-performing assets	$	51,179			53,041			35,433			44,663
Non-performing assets as a percentage of subsidiary assets	0.24		%		0.26	%		0.19	%		0.25	%
Allowance for credit losses as a percentage of non-performing loans	301		%		290	%		470	%		419	%
Allowance for credit losses as a percentage of total loans	1.36		%		1.35	%		1.42	%		1.42	%
Net charge-offs as a percentage of total loans	0.02		%		0.01	%		0.07	%		0.03	%
Accruing loans 30-89 days past due	$	26,002			12,076			22,721			17,631
Accruing troubled debt restructurings	$	36,666			37,667			42,003			39,999
Non-accrual troubled debt restructurings	$	2,820			3,179			3,507			7,579
U.S. government guarantees included in non-performing assets	$	4,116			4,186			3,011			4,411

Non-performing assets of $51.2 million at September 30, 2023 decreased $1.9 million, or 4 percent, over the prior quarter. Non-performing assets increased $6.5 million, or 15 percent, over the prior year third quarter. Non-performing assets as a percentage of subsidiary assets at September 30, 2023 was 0.24 percent compared to 0.26 percent in the prior quarter and 0.25 percent in the prior year third quarter.
Early stage delinquencies (accruing loans 30-89 days past due) of $26.0 million at September 30, 2023 increased $13.9 million from the prior quarter with a large portion of the increase primarily isolated to one credit relationship. Early stage delinquencies increased $8.4 million from the prior year third quarter. Early stage delinquencies as a percentage of loans at September 30, 2023 was 0.23 percent, which was an increase of 12 basis points from prior quarter and an 8 basis points increase from prior year third quarter.

The allowance for credit losses on loans (“ACL”) as a percentage of total loans outstanding at September 30, 2023 was 1.36 percent which was a 1 basis point increase compared to the prior quarter and a 6 basis point decrease from the prior year third quarter. Excluding the PPP loans, the ACL as percentage of loans was 1.40 percent compared to 1.43 percent in the prior quarter and 1.62 percent in the prior year third quarter. The decrease in the ACL as a percentage of total loans during the current year was driven by the improvement in the economic forecasts.

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

(Dollars in thousands)	Provision for Credit Losses Loans					Net Charge-Offs (Recoveries)					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 2023	$	2,313				$	152				1.36	%		0.23	%		0.24	%
Second quarter 2023	(5,723		)			(725		)			1.35	%		0.11	%		0.26	%
First quarter 2023	489					2,286					1.39	%		0.40	%		0.19	%
Fourth quarter 2020	(1,528		)			4,781					1.42	%		0.20	%		0.19	%
Third quarter 2020	2,869					826					1.42	%		0.15	%		0.25	%
Second quarter 2020	13,552					1,233					1.42	%		0.22	%		0.27	%
First quarter 2020	22,744					813					1.49	%		0.41	%		0.26	%
Fourth quarter 2019	—					1,045					1.31	%		0.24	%		0.27	%

The current quarter provision for credit loss expense for loans was $2.3 million which was an increase of $8.0 million from the prior quarter provision for credit loss benefit of $5.7 million and a $556 thousand decrease from the prior year third quarter provision for credit loss expense of $2.9 million. The increase in provision for credit losses for loans in the current quarter compared to the prior quarter was primarily driven by organic loan growth in the current quarter.

Net charge-offs for the current quarter were $152 thousand compared to net recoveries of $725 thousand for the prior quarter and net charge-offs $826 thousand from the same quarter last year. 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. 

PPP Loans

	Three Months ended										Nine Months ended
(Dollars in thousands)	Sep 30, 2023				Jun 30, 2023			Mar 31, 2023			Sep 30, 2023			Sep 30, 2020
PPP interest income	$	12,894			10,328			13,523			36,745			16,646
Deferred compensation on originating PPP loans	—				1,522			5,213			6,735			8,850
Total PPP income impact	$	12,894			11,850			18,736			43,480			25,496

(Dollars in thousands)	Sep 30, 2023				Jun 30, 2023			Dec 31, 2020			Sep 30, 2020
PPP Round 1 loans	$	56,048			176,498			909,173			1,448,417
PPP Round 2 loans	312,865				518,107			—			—
Total PPP loans	368,913				694,605			909,173			1,448,417
Net remaining fees – Round 1	485				1,313			17,605			36,099
Net remaining fees – Round 2	12,501				22,694			—			—
Total net remaining fees	$	12,986			24,007			17,605			36,099

The SBA Round 2 PPP program ended in early May of 2023 after the available funds were fully drawn upon. During the first half of 2023, the Company originated $555 million of Round 2 PPP loans which generated $33.2 million of SBA deferred processing fees and $6.7 million of deferred compensation costs for total net deferred fees of $26.5 million.

During the current year, the SBA processing fees received on Round 2 averaged 5.99 percent which compared to the average of 3.75 percent received on Round 1 in the prior year. The increase in the fee percentage received on Round 2 was the result of an increase in the number of smaller loans which receive a higher percentage fee.

The Company received $327 million in PPP loan forgiveness during the current quarter and received $1.103 billion in the first nine months of 2023. As of September 30, 2023, the Company had $56 million, or 4 percent of the $1.472 billion of Round 1 PPP loans originated in the prior year and had $313 million, or 56 percent of the $555 million of Round 2 PPP loans originated in the current year.

The Company recognized $12.9 million of interest income (including deferred fees and costs) from the Round 1 and Round 2 PPP loans in the current quarter. The income recognized in the current quarter included $10.5 million acceleration of net deferred fees in interest income resulting from the SBA forgiveness of loans. Net deferred fees remaining on the balance of the PPP loans at September 30, 2023 were $13.0 million, which will be recognized into interest income over the remaining life of the loans or when the loans are forgiven in whole or in part by the SBA.

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, 2021				Jun 30, 2021			Dec 31, 2020			Sep 30, 2020			Jun 30, 2021			Dec 31, 2020			Sep 30, 2020
Deposits
Non-interest bearing deposits	$	6,632,402			6,307,794			5,454,539			5,479,311			324,608			1,177,863			1,153,091
NOW and DDA accounts	4,299,244				4,151,264			3,698,559			3,300,152			147,980			600,685			999,092
Savings accounts	2,502,268				2,346,129			2,000,174			1,864,143			156,139			502,094			638,125
Money market deposit accounts	3,123,425				2,990,021			2,627,336			2,557,294			133,404			496,089			566,131
Certificate accounts	919,852				939,563			978,779			979,857			(19,711	)		(58,927	)		(60,005	)
Core deposits, total	17,477,191				16,734,771			14,759,387			14,180,757			742,420			2,717,804			3,296,434
Wholesale deposits	26,123				26,121			38,142			119,131			2			(12,019	)		(93,008	)
Deposits, total	17,503,314				16,760,892			14,797,529			14,299,888			742,422			2,705,785			3,203,426
Repurchase agreements	1,040,939				995,201			1,004,583			965,668			45,738			36,356			75,271
Federal Home Loan Bank advances	—				—			—			7,318			—			—			(7,318	)
Other borrowed funds	33,671				33,556			33,068			32,967			115			603			704
Subordinated debentures	132,580				132,540			139,959			139,918			40			(7,379	)		(7,338	)
Other liabilities	215,899				211,889			222,026			225,219			4,010			(6,127	)		(9,320	)
Total liabilities	$	18,926,403			18,134,078			16,197,165			15,670,978			792,325			2,729,238			3,255,425

Core deposits of $17.477 billion as of September 30, 2023 increased $742 million, or 18 percent annualized, from the prior quarter and increased $3.296 billion, or 23 percent, from the prior year third quarter. Non-interest bearing deposits of $6.632 billion as of September 30, 2023 increased $325 million, or 5 percent, from the prior quarter and increased $1.153 billion, or 21 percent, from the prior year third quarter. The unprecedented increase in deposits over the prior eighteen months resulted from a number of factors including the PPP loan proceeds deposited by customers, federal stimulus deposits and the increase in customer savings. Non-interest bearing deposits were 38 percent of total core deposits at September 30, 2023 compared to 37 percent of total core deposits at December 31, 2020 and 39 percent at September 30, 2020.

The low levels of borrowings, including wholesale deposits and Federal Home Loan Bank (“FHLB”) advances, reflected the significant increase in core deposits which funded the asset growth.

Stockholders’ Equity Summary

														$ Change from
(Dollars in thousands, except per share data)	Sep 30, 2021				Jun 30, 2021			Dec 31, 2020			Sep 30, 2020			Jun 30, 2021			Dec 31, 2020			Sep 30, 2020
Common equity	$	2,309,957			2,263,513			2,163,951			2,123,991			46,444			146,006			185,966
Accumulated other comprehensive income	77,659				90,442			143,090			131,098			(12,783	)		(65,431	)		(53,439	)
Total stockholders’ equity	2,387,616				2,353,955			2,307,041			2,255,089			33,661			80,575			132,527
Goodwill and core deposit intangible, net	(562,058		)		(564,546	)		(569,522	)		(572,134	)		2,488			7,464			10,076
Tangible stockholders’ equity	$	1,825,558			1,789,409			1,737,519			1,682,955			36,149			88,039			142,603
Stockholders’ equity to total assets		11.20	%		11.49	%		12.47	%		12.58	%
Tangible stockholders’ equity to total tangible assets		8.80	%		8.98	%		9.69	%		9.70	%
Book value per common share	$	25.00			24.65			24.18			23.63			0.35			0.82			1.37
Tangible book value per common share	$	19.11			18.74			18.21			17.64			0.37			0.90			1.47

Tangible stockholders’ equity of $1.826 billion at September 30, 2023 increased $36.1 million, or 2 percent, from the prior quarter and increased $143 million, or 8 percent, from the prior year third quarter and was due to earnings retention that more than offset the decrease in other comprehensive income. The current year decrease in both the stockholders’ equity to total assets ratio and the tangible stockholders’ equity to tangible assets was the result of the $2.991 billion increase in debt securities driven primarily by the significant influx of deposits during the current year. Tangible book value per common share of $19.11 at the current quarter end increased $0.37 per share, or 2 percent, from the prior quarter and increased $1.47 per share, or 8 percent, from a year ago.

Cash Dividends
On September 30, 2023, the Company’s Board of Directors declared a quarterly cash dividend of $0.32 per share. The dividend was payable October 21, 2023 to shareholders of record on October 12, 2023. The dividend was the 146th consecutive 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, 2023 
Compared to June 30, 2023, March 31, 2023, and September 30, 2020

Income Summary

	Three Months ended													$ Change from
(Dollars in thousands)	Sep 30, 2021				Jun 30, 2021			Mar 31, 2021			Sep 30, 2020			Jun 30, 2021			Mar 31, 2021			Sep 30, 2020
Net interest income
Interest income	$	166,741			159,956			161,552			157,487			6,785			5,189			9,254
Interest expense	4,128				4,487			4,740			6,084			(359	)		(612	)		(1,956	)
Total net interest income	162,613				155,469			156,812			151,403			7,144			5,801			11,210
Non-interest income
Service charges and other fees	15,154				13,795			12,792			13,404			1,359			2,362			1,750
Miscellaneous loan fees and charges	2,592				2,923			2,778			2,084			(331	)		(186	)		508
Gain on sale of loans	13,902				16,106			21,624			35,516			(2,204	)		(7,722	)		(21,614	)
(Loss) gain on sale of investments	(168		)		(61	)		284			24			(107	)		(452	)		(192	)
Other income	3,335				2,759			2,643			2,639			576			692			696
Total non-interest income	34,815				35,522			40,121			53,667			(707	)		(5,306	)		(18,852	)
Total income	197,428				190,991			196,933			205,070			6,437			495			(7,642	)
Net interest margin (tax-equivalent)	3.39		%		3.44	%		3.74	%		3.92	%

Net Interest Income
The current quarter net interest income of $163 million increased $7.1 million, or 5 percent, over the prior quarter and increased $11.2 million, or 7 percent, from the prior year third quarter. The current quarter interest income of $167 million increased $6.8 million, or 4 percent, compared to the prior quarter and increased $9.3 million, or 6 percent, over the prior year third quarter due to an increase in interest income from the PPP loans and debt securities. The interest income (which included deferred fees and deferred costs) from the PPP loans was $12.9 million in the current quarter and $10.3 million in the prior quarter and $9.3 million in the prior year third quarter. Excluding the PPP loans, net interest income was $150 million in the current quarter compared to $145 million in the prior quarter and $142 million in the prior year third quarter.

The current quarter interest expense of $4.1 million decreased $359 thousand, or 8 percent, over the prior quarter and decreased $2.0 million, or 32 percent, over the prior year third quarter primarily as result of a decrease in deposit rates. During the current quarter, the total cost of funding (including non-interest bearing deposits) of 9 basis points declined 1 basis points from the prior quarter and declined 7 basis points from the prior year third quarter with both decreases driven by a decrease in rates in deposits and borrowings.

The Company’s net interest margin as a percentage of earning assets, on a tax-equivalent basis, for the current quarter was 3.39 percent compared to 3.44 percent in the prior quarter and 3.92 in the prior year third quarter. The core net interest margin, excluding 2 basis points of discount accretion, 2 basis point from non-accrual interest and 18 basis points increase from the PPP loans, was 3.17 percent compared to 3.33 in the prior quarter and 4.02 percent in the prior year third quarter. The core net interest margin decreased 16 basis points in the current quarter and decreased 85 basis points from the prior third quarter due to a decrease in earning asset yields. Earning asset yields have decreased due to the combined impact of the significant increase in the debt securities and the lower yields on both core loans and debt securities. Debt securities comprised 42.5 percent of the earning assets during the current quarter compared to 39.4 percent in the prior quarter and 26.5 percent in the prior year third quarter.
Non-interest Income
Non-interest income for the current quarter totaled $34.8 million which was a decrease of $707 thousand, or 2 percent, over the prior quarter and a decrease of $18.9 million, or 35 percent, over the same quarter last year. Service charges and other fees increased $1.4 million from the prior quarter and increased $1.8 million from the prior year third quarter as a result of increased customer accounts and transaction activity.

Gain on the sale of loans of $13.9 million for the current quarter decreased $2.2 million, or 14 percent, compared to the prior quarter and decreased $21.6 million, or 61 percent, from the prior year third quarter. The current quarter mortgage activity was lower than prior periods, but still remained at historically strong levels.

Non-interest Expense Summary

	Three Months ended													$ Change from
(Dollars in thousands)	Sep 30, 2021				Jun 30, 2021			Mar 31, 2021			Sep 30, 2020			Jun 30, 2021			Mar 31, 2021			Sep 30, 2020
Compensation and employee benefits	$	66,364			64,109			62,468			64,866			2,255			3,896			1,498
Occupancy and equipment	9,412				9,208			9,515			9,369			204			(103	)		43
Advertising and promotions	3,236				2,906			2,371			2,779			330			865			457
Data processing	5,135				5,661			5,206			5,597			(526	)		(71	)		(462	)
Other real estate owned and foreclosed assets	142				48			12			186			94			130			(44	)
Regulatory assessments and insurance	2,011				1,702			1,879			1,495			309			132			516
Core deposit intangibles amortization	2,488				2,488			2,488			2,612			—			—			(124	)
Other expenses	15,320				13,960			12,646			16,469			1,360			2,674			(1,149	)
Total non-interest expense	$	104,108			100,082			96,585			103,373			4,026			7,523			735

Total non-interest expense of $104 million for the current quarter increased $4.0 million, or 4 percent, over the prior quarter and increased $735 thousand, or 71 basis points, over the prior year third quarter. Compensation and employee benefits increased $2.3 million, or 4 percent, from the prior quarter and increased $1.5 million from the prior year third quarter.

Other expenses of $15.3 million, increased $1.4 million, or 10 percent, from the prior quarter and decreased $1.1 million, or 7 percent, from the prior year third quarter. Current quarter other expenses included acquisition-related expenses of $472 thousand compared to $1.1 million in the prior quarter and $793 thousand in the prior year third quarter.

Federal and State Income Tax Expense
Tax expense during the third quarter of 2023 was $17.0 million, a decrease of $2.0 million, or 10 percent, compared to the prior quarter and a decrease of $1.8 million, or 9 percent, from the prior year third quarter. The effective tax rate in the current quarter was 18.3 compared to 19.6 in the prior quarter and 19.4 percent in the prior year third quarter.

Efficiency Ratio
The efficiency ratio was 50.17 percent in the current quarter and 49.92 percent in the prior quarter and 48.05 in the prior year third quarter. “The Bank divisions are making do with less as increased hiring has taken longer as the markets get back to normal,” said Ron Copher, Chief Financial Officer. “Controlling non-interest expense growth has helped the Company maintain an efficiency ratio below 50 percent for the nine months of the current and prior year.” Excluding the impact from the PPP loans, the efficiency ratio would have been 53.59 percent in the current quarter compared to 53.53 percent in the prior quarter. Excluding the impact of PPP loans, the current quarter efficiency ratio was an increase of 308 basis points from the prior year third quarter efficiency ratio of 50.51 percent which was primarily driven by the decrease in the gain on sale of loans in the current quarter.

Operating Results for Nine Months Ended September 30, 2023
Compared to September 30, 2020

Income Summary

	Nine Months ended
(Dollars in thousands)	Sep 30, 2021				Sep 30, 2020				$ Change				% Change
Net interest income
Interest income	$	488,249			$	455,756			$	32,493			7	%
Interest expense	13,355				21,765				(8,410		)		(39	)%
Total net interest income	474,894				433,991				40,903				9	%
Non-interest income
Service charges and other fees	41,741				38,790				2,951				8	%
Miscellaneous loan fees and charges	8,293				5,051				3,242				64	%
Gain on sale of loans	51,632				73,236				(21,604		)		(29	)%
Gain on sale of investments	55				1,015				(960		)		(95	)%
Other income	8,737				10,071				(1,334		)		(13	)%
Total non-interest income	110,458				128,163				(17,705		)		(14	)%
Total Income	$	585,352			$	562,154			$	23,198			4	%
Net interest margin (tax-equivalent)	3.52		%		4.12		%

Net Interest Income
Net-interest income of $475 million for the first nine months of 2023 increased $40.9 million, or 9 percent, over the same period in 2020. Interest income of $488 million for the first nine months of the current year increased $32.5 million, or 7 percent, from the prior year and was primarily attributable to a $25.4 million increase in income from commercial loans, including $20.1 million from the PPP loans. Additionally, interest income on debt securities increased $14.2 million, or 20 percent, over the prior year which resulted from the increased volume of debt securities. Interest expense of $13.4 million for the first nine months of 2023 decreased $8.4 million, or 39 percent over the prior year primarily as a result of a decrease in the cost of deposits. The total funding cost (including non-interest bearing deposits) for the first nine months of 2023 was 10 basis points, which decreased 12 basis points compared to 22 basis points in first nine months of 2020.

The net interest margin as a percentage of earning assets, on a tax-equivalent basis, during the first nine months of 2023 was 3.52 percent, a 60 basis points decrease from the net interest margin of 4.12 percent for the same period in the prior year. The core net interest margin, excluding 3 basis points of discount accretion, 1 basis point of non-accrual interest and 13 basis points increase from the PPP loans, was 3.35 which was an 85 basis point decrease from the core margin of 4.20 percent in the prior year. Although the Company was successful in reducing the total cost of funding, it was not enough to outpace the lower yields on core loans and debt securities driven by the current interest rate environment and the shift in the earning asset mix to lower yielding debt securities.

Non-interest Income
Non-interest income of $110 million for the first nine months of 2023 decreased $17.7 million, or 14 percent, over the same period last year. Service charges and other fees of $41.7 million for the first nine months of 2023 increased $3.0 million, or 8 percent, from prior year as a result of additional fees from increased customer accounts and transaction activity. Miscellaneous loan fees and charges of $8.3 million increased $3.2 million, or 64 percent, driven by increases in loan servicing income and credit card interchange fees due to increased activity. Gain on the sale of loans of $51.6 million for the first nine months of 2023 decreased $21.6 million, or 29 percent, compared to the same period last year which was the result of the anticipated slowing of purchase and refinance activity after the historically high levels in the prior year. Other income of $8.7 million decreased $1.3 million from the prior year and was primarily the result of a gain of $2.4 million on the sale of a former branch building in the first quarter of 2020.

Non-interest Expense Summary

	Nine Months ended
(Dollars in thousands)	Sep 30, 2021				Sep 30, 2020				$ Change					% Change
Compensation and employee benefits	$	192,941			$	182,507			$	10,434				6	%
Occupancy and equipment	28,135				27,945				190					1	%
Advertising and promotions	8,513				7,404				1,109					15	%
Data processing	16,002				15,921				81					1	%
Other real estate owned and foreclosed assets	202				373				(171		)			(46	)%
Regulatory assessments and insurance	5,592				3,622				1,970					54	%
Core deposit intangibles amortization	7,464				7,758				(294		)			(4	)%
Other expenses	41,926				48,094				(6,168		)			(13	)%
Total non-interest expense	$	300,775			$	293,624			$	7,151				2	%

Total non-interest expense of $301 million for the first nine months of 2023 increased $7.2 million, or 2 percent, over the prior year same period. Compensation and employee benefits for the first nine months of 2023 increased $10.4 million, or 6 percent, from last year due to the increased number of employees from organic growth, increased performance-related compensation and annual salary increases. Advertising and promotions for the first nine months of 2023 increased $1.1 million, or 15 percent, from the prior year. Regulatory assessment and insurance for the first nine months of 2023 increased $2.0 million from the prior year same period primarily as a result of the State of Montana waiving the first semi-annual regulatory assessment of 2020 and Small Bank assessment credits applied by the FDIC in the first quarter of 2020. Other expenses of $41.9 million, decreased $6.2 million, or 13 percent, from the prior year, primarily from a decrease in acquisition-related expenses. Acquisition-related expenses were $1.7 million in the current year compared to $7.3 million in the prior year.

Provision for Credit Losses

The provision for credit loss benefit was $4.9 million for the first nine months of 2023, including provision for credit loss benefit of $2.9 million on the loan portfolio and credit loss benefit of $2.0 million on unfunded loan commitments. The provision for credit loss benefit of $2.9 million on the loan portfolio in the current year decreased $42.1 million over the provision for credit loss expense of $39.2 million in the prior year which was primarily attributable to changes in the economic forecast related to COVID-19. Net charge-offs during the current year were $1.7 million compared to $2.9 million during the prior year.

Federal and State Income Tax Expense
Tax expense of $55.4 million in the first nine months of 2023 increased $12.7 million, or 30 percent, over the prior year same period. The effective tax rate for the first nine months of 2023 was 19.1 percent compared to 18.8 percent in the prior year same period.

Efficiency Ratio
The efficiency ratio was 48.94 percent for the first nine months of 2023 compared to 49.83 percent for the same period last year. Excluding the impact from the PPP loans, the efficiency ratio was 53.34 in 2023 compared to 53.30 in 2020.

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 management’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 words of similar meaning. 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 subject to assumptions with respect to future business strategies and decisions that are subject to change. The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations in the forward-looking statements, including those set forth in this news release:

• the risks associated with lending and potential adverse changes of the credit quality of loans in the Company’s portfolio;
• changes in trade, monetary and fiscal policies and laws, including interest rate policies of the Board of Governors of the Federal Reserve System or the Federal Reserve Board, which could adversely affect the Company’s net interest income and profitability;
• changes in the cost and scope of insurance from the Federal Deposit Insurance Corporation and other third parties;
• legislative or regulatory changes, such as the those signaled by the Biden Administration, as well as increased banking and consumer protection regulation that adversely affect the Company’s business, both generally and as a result of the Company exceeding $10 billion in total consolidated assets;
• ability to complete pending or prospective future acquisitions;
• costs or difficulties related to the completion and integration of acquisitions;
• the goodwill the Company has recorded in connection with acquisitions could become impaired, which may have an adverse impact on earnings and capital;
• reduced demand for banking products and services;
• the reputation of banks and the financial services industry could deteriorate, which could adversely affect the Company’s ability to obtain and maintain customers;
• competition among financial institutions in the Company’s markets may increase significantly;
• the 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 the Company through acquisitions;
• the projected business and profitability of an expansion or the opening of a new branch could be lower than expected;
• consolidation in the financial services industry in the Company’s markets resulting in the creation of larger financial institutions who may have greater resources could change the competitive landscape;
• dependence on the Chief Executive Officer, the senior management team and the Presidents of Glacier Bank divisions;
• material failure, potential interruption or breach in security of the Company’s systems and technological changes which could expose us to new risks (e.g., cybersecurity), fraud or system failures;
• natural disasters, including fires, floods, earthquakes, and other unexpected events;
• the Company’s success in managing risks involved in the foregoing; and
• the 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 22, 2023. The conference call will be accessible by telephone and webcast. Interested individuals are invited to listen to the call by dialing 877-561-2748 and conference ID 9278886. To participate on the webcast, log on to: https://edge.media-server.com/mmc/p/y8hi69ox. If you are unable to participate during the live webcast, the call will be archived on our website, www.glacierbancorp.com, or by calling 855-859-2056 with the ID 9278886 by October 29, 2023.

About Glacier Bancorp, Inc.
Glacier Bancorp, Inc. (NASDAQ: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), North Cascades Bank (Chelan, WA), The Foothills Bank (Yuma, AZ), Valley Bank of Helena (Helena, MT), and Western Security Bank (Billings, MT).

CONTACT: Randall M. Chesler, CEO

(406) 751-4722

Ron J. Copher, CFO

(406) 751-7706

Glacier Bancorp, Inc.
Unaudited Condensed Consolidated Statements of Financial Condition

(Dollars in thousands, except per share data)	Sep 30, 2021				Jun 30, 2021			Dec 31, 2020			Sep 30, 2020
Assets
Cash on hand and in banks	$	250,579			272,363			227,108			249,245
Federal funds sold	—				—			—			590
Interest bearing cash deposits	98,309				648,844			406,034			520,044
Cash and cash equivalents	348,888				921,207			633,142			769,879
Debt securities, available-for-sale	7,390,580				6,147,143			5,337,814			4,125,548
Debt securities, held-to-maturity	1,128,299				1,024,730			189,836			193,509
Total debt securities	8,518,879				7,171,873			5,527,650			4,319,057
Loans held for sale, at fair value	94,138				98,410			166,572			147,937
Loans receivable	11,293,891				11,238,048			11,122,696			11,618,731
Allowance for credit losses	(153,609		)		(151,448	)		(158,243	)		(164,552	)
Loans receivable, net	11,140,282				11,086,600			10,964,453			11,454,179
Premises and equipment, net	316,191				315,573			325,335			326,925
Other real estate owned and foreclosed assets	106				771			1,744			5,361
Accrued interest receivable	79,699				70,452			75,497			91,393
Core deposit intangible, net	48,045				50,533			55,509			58,121
Goodwill	514,013				514,013			514,013			514,013
Non-marketable equity securities	10,021				10,019			10,023			10,366
Bank-owned life insurance	123,729				123,035			123,763			123,095
Other assets	120,028				125,547			106,505			105,741
Total assets	$	21,314,019			20,488,033			18,504,206			17,926,067
Liabilities
Non-interest bearing deposits	$	6,632,402			6,307,794			5,454,539			5,479,311
Interest bearing deposits	10,870,912				10,453,098			9,342,990			8,820,577
Securities sold under agreements to repurchase	1,040,939				995,201			1,004,583			965,668
FHLB advances	—				—			—			7,318
Other borrowed funds	33,671				33,556			33,068			32,967
Subordinated debentures	132,580				132,540			139,959			139,918
Accrued interest payable	2,437				2,433			3,305			3,951
Deferred tax liability	1,815				6,463			23,860			17,227
Other liabilities	211,647				202,993			194,861			204,041
Total liabilities	18,926,403				18,134,078			16,197,165			15,670,978
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, 117,187,500 shares authorized	955				955			954			954
Paid-in capital	1,497,939				1,496,488			1,495,053			1,493,928
Retained earnings – substantially restricted	811,063				766,070			667,944			629,109
Accumulated other comprehensive income	77,659				90,442			143,090			131,098
Total stockholders’ equity	2,387,616				2,353,955			2,307,041			2,255,089
Total liabilities and stockholders’ equity	$	21,314,019			20,488,033			18,504,206			17,926,067

Glacier Bancorp, Inc.
Unaudited Condensed Consolidated Statements of Operations

	Three Months ended													Nine Months ended
(Dollars in thousands, except per share data)	Sep 30, 2021				Jun 30, 2021			Mar 31, 2021			Sep 30, 2020			Sep 30, 2021			Sep 30, 2020
Interest Income
Debt securities	$	30,352			28,730			27,306			25,381			86,388			72,228
Residential real estate loans	9,885				9,541			10,146			11,592			29,572			35,216
Commercial loans	115,533				110,829			113,541			109,514			339,903			314,541
Consumer and other loans	10,971				10,856			10,559			11,000			32,386			33,771
Total interest income	166,741				159,956			161,552			157,487			488,249			455,756
Interest Expense
Deposits	2,609				2,804			3,014			3,952			8,427			14,120
Securities sold under agreements to repurchase	496				651			689			886			1,836			2,783
Federal Home Loan Bank advances	—				—			—			70			—			684
Other borrowed funds	178				177			174			173			529			473
Subordinated debentures	845				855			863			1,003			2,563			3,705
Total interest expense	4,128				4,487			4,740			6,084			13,355			21,765
Net Interest Income	162,613				155,469			156,812			151,403			474,894			433,991
Provision for credit losses	725				(5,653	)		48			5,186			(4,880	)		41,300
Net interest income after provision for credit losses	161,888				161,122			156,764			146,217			479,774			392,691
Non-Interest Income
Service charges and other fees	15,154				13,795			12,792			13,404			41,741			38,790
Miscellaneous loan fees and charges	2,592				2,923			2,778			2,084			8,293			5,051
Gain on sale of loans	13,902				16,106			21,624			35,516			51,632			73,236
(Loss) gain on sale of debt securities	(168		)		(61	)		284			24			55			1,015
Other income	3,335				2,759			2,643			2,639			8,737			10,071
Total non-interest income	34,815				35,522			40,121			53,667			110,458			128,163
Non-Interest Expense
Compensation and employee benefits	66,364				64,109			62,468			64,866			192,941			182,507
Occupancy and equipment	9,412				9,208			9,515			9,369			28,135			27,945
Advertising and promotions	3,236				2,906			2,371			2,779			8,513			7,404
Data processing	5,135				5,661			5,206			5,597			16,002			15,921
Other real estate owned and foreclosed assets	142				48			12			186			202			373
Regulatory assessments and insurance	2,011				1,702			1,879			1,495			5,592			3,622
Core deposit intangibles amortization	2,488				2,488			2,488			2,612			7,464			7,758
Other expenses	15,320				13,960			12,646			16,469			41,926			48,094
Total non-interest expense	104,108				100,082			96,585			103,373			300,775			293,624
Income Before Income Taxes	92,595				96,562			100,300			96,511			289,457			227,230
Federal and state income tax expense	16,976				18,935			19,498			18,754			55,409			42,690
Net Income	$	75,619			77,627			80,802			77,757			234,048			184,540

Glacier Bancorp, Inc.
Average Balance Sheets

	Three Months ended
	September 30, 2023											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	$	817,150			$	9,885			4.84	%		$	825,467			$	9,541			4.62	%
Commercial loans 1	9,468,440				116,963				4.90	%		9,520,603				112,226				4.73	%
Consumer and other loans	974,582				10,971				4.47	%		964,415				10,856				4.51	%
Total loans 2	11,260,172				137,819				4.86	%		11,310,485				132,623				4.70	%
Tax-exempt debt securities 2	1,548,447				14,711				3.80	%		1,548,323				14,740				3.81	%
Taxable debt securities 4	6,767,418				18,896				1.12	%		5,810,800				17,251				1.19	%
Total earning assets	19,576,037				171,426				3.47	%		18,669,608				164,614				3.54	%
Goodwill and intangibles	563,257											565,749
Non-earning assets	803,226											804,897
Total assets	$	20,942,520										$	20,040,254
Liabilities
Non-interest bearing deposits	$	6,505,530			$	—			—	%		$	6,100,872			$	—			—	%
NOW and DDA accounts	4,261,648				597				0.06	%		4,073,819				600				0.06	%
Savings accounts	2,440,332				146				0.02	%		2,295,334				141				0.02	%
Money market deposit accounts	3,041,634				814				0.11	%		2,921,642				861				0.12	%
Certificate accounts	928,165				1,036				0.44	%		955,694				1,181				0.50	%
Total core deposits	17,177,309				2,593				0.06	%		16,347,361				2,783				0.07	%
Wholesale deposits 5	26,117				16				0.24	%		34,301				21				0.24	%
Repurchase agreements	988,283				495				0.20	%		974,744				651				0.27	%
Subordinated debentures and other borrowed funds	166,151				1,024				2.44	%		166,002				1,032				2.49	%
Total funding liabilities	18,357,860				4,128				0.09	%		17,522,408				4,487				0.10	%
Other liabilities	182,573											168,613
Total liabilities	18,540,433											17,691,021
Stockholders’ Equity
Common stock	955											955
Paid-in capital	1,497,107											1,495,886
Retained earnings	805,253											756,561
Accumulated other comprehensive income	98,772											95,831
Total stockholders’ equity	2,402,087											2,349,233
Total liabilities and stockholders’ equity	$	20,942,520										$	20,040,254
Net interest income (tax-equivalent)					$	167,298										$	160,127
Net interest spread (tax-equivalent)									3.38	%										3.44	%
Net interest margin (tax-equivalent)									3.39	%										3.44	%

______________________________

¹ Includes tax effect of $1.4 million and $1.4 million on tax-exempt municipal loan and lease income for the three months ended September 30, 2023 and June 30, 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 $3.0 million and $3.0 million on tax-exempt debt securities income for the three months ended September 30, 2023 and June 30, 2023, respectively.
⁴ Includes tax effect of $255 thousand and $255 thousand on federal income tax credits for the three months ended September 30, 2023 and June 30, 2023, respectively.
⁵ 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, 2023											September 30, 2020
(Dollars in thousands)	Average Balance				Interest & Dividends				Average Yield/ Rate			Average Balance				Interest & Dividends				Average Yield/ Rate
Assets
Residential real estate loans	$	817,150			$	9,885			4.84	%		$	1,010,503			$	11,592			4.59	%
Commercial loans 1	9,468,440				116,963				4.90	%		9,636,631				110,847				4.58	%
Consumer and other loans	974,582				10,971				4.47	%		957,284				11,000				4.57	%
Total loans 2	11,260,172				137,819				4.86	%		11,604,418				133,439				4.57	%
Tax-exempt debt securities 3	1,548,447				14,711				3.80	%		1,379,577				13,885				4.03	%
Taxable debt securities 4	6,767,418				18,896				1.12	%		2,809,545				14,568				2.07	%
Total earning assets	19,576,037				171,426				3.47	%		15,793,540				161,892				4.08	%
Goodwill and intangibles	563,257											572,759
Non-earning assets	803,226											794,165
Total assets	$	20,942,520										$	17,160,464
Liabilities
Non-interest bearing deposits	$	6,505,530			$	—			—	%		$	5,171,984			$	—			—	%
NOW and DDA accounts	4,261,648				597				0.06	%		3,218,536				642				0.08	%
Savings accounts	2,440,332				146				0.02	%		1,804,438				166				0.04	%
Money market deposit accounts	3,041,634				814				0.11	%		2,453,659				1,161				0.19	%
Certificate accounts	928,165				1,036				0.44	%		981,385				1,936				0.78	%
Total core deposits	17,177,309				2,593				0.06	%		13,630,002				3,905				0.11	%
Wholesale deposits 5	26,117				16				0.24	%		86,852				47				0.22	%
Repurchase agreements	988,283				495				0.20	%		1,049,002				2,062				0.78	%
FHLB advances	—				—				—	%		21,273				70				1.30	%
Subordinated debentures and other borrowed funds	166,151				1,024				2.44	%		—				—				—	%
Total funding liabilities	18,357,860				4,128				0.09	%		14,787,129				6,084				0.16	%
Other liabilities	182,573											120,294
Total liabilities	18,540,433											14,907,423
Stockholders’ Equity
Common stock	955											954
Paid-in capital	1,497,107											1,493,353
Retained earnings	805,253											622,099
Accumulated other comprehensive income	98,772											136,635
Total stockholders’ equity	2,402,087											2,253,041
Total liabilities and stockholders’ equity	$	20,942,520										$	17,160,464
Net interest income (tax-equivalent)					$	167,298										$	155,808
Net interest spread (tax-equivalent)									3.38	%										3.92	%
Net interest margin (tax-equivalent)									3.39	%										3.92	%

______________________________

¹ Includes tax effect of $1.4 million and $1.3 million on tax-exempt municipal loan and lease income for the three months ended September 30, 2023 and 2020, 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 $3.0 million and $2.8 million on tax-exempt debt securities income for the three months ended September 30, 2023 and 2020, respectively.
⁴ Includes tax effect of $255 thousand and $266 thousand on federal income tax credits for the three months ended September 30, 2023 and 2020, respectively.
⁵ 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, 2023											September 30, 2020
(Dollars in thousands)	Average Balance				Interest & Dividends				Average Yield/ Rate			Average Balance				Interest & Dividends				Average Yield/ Rate
Assets
Residential real estate loans	$	844,945			$	29,572			4.67	%		$	1,013,072			$	35,216			4.63	%
Commercial loans 1	9,467,329				344,117				4.86	%		8,896,708				318,435				4.78	%
Consumer and other loans	963,002				32,386				4.50	%		947,372				33,771				4.76	%
Total loans 2	11,275,276				406,075				4.82	%		10,857,152				387,422				4.77	%
Tax-exempt debt securities 3	1,547,429				44,162				3.81	%		1,237,779				37,542				4.04	%
Taxable debt securities 4	5,771,573				51,998				1.20	%		2,380,184				43,070				2.41	%
Total earning assets	18,594,278				502,235				3.61	%		14,475,115				468,034				4.32	%
Goodwill and intangibles	565,724											562,533
Non-earning assets	816,982											760,758
Total assets	$	19,976,984										$	15,798,406
Liabilities
Non-interest bearing deposits	$	6,069,326			$	—			—	%		$	4,528,500			$	—			—	%
NOW and DDA accounts	4,057,019				1,768				0.06	%		2,971,702				2,244				0.10	%
Savings accounts	2,277,335				425				0.02	%		1,670,722				580				0.05	%
Money market deposit accounts	2,895,362				2,540				0.12	%		2,262,781				4,025				0.24	%
Certificate accounts	951,655				3,640				0.51	%		986,807				6,940				0.94	%
Total core deposits	16,250,697				8,373				0.07	%		12,420,512				13,789				0.15	%
Wholesale deposits 5	32,787				55				0.22	%		70,880				332				0.63	%
Repurchase agreements	988,092				1,835				0.25	%		892,418				6,960				1.04	%
FHLB advances	—				—				—	%		103,700				684				0.87	%
Subordinated debentures and other borrowed funds	165,996				3,092				2.49	%		—				—				—	%
Total funding liabilities	17,437,572				13,355				0.10	%		13,487,510				21,765				0.22	%
Other liabilities	181,640											149,423
Total liabilities	17,619,212											13,636,933
Stockholders’ Equity
Common stock	955											947
Paid-in capital	1,496,051											1,467,623
Retained earnings	757,666											586,963
Accumulated other comprehensive income	103,100											105,940
Total stockholders’ equity	2,357,772											2,161,473
Total liabilities and stockholders’ equity	$	19,976,984										$	15,798,406
Net interest income (tax-equivalent)					$	488,880										$	446,269
Net interest spread (tax-equivalent)									3.51	%										4.10	%
Net interest margin (tax-equivalent)									3.52	%										4.12	%

______________________________

¹ Includes tax effect of $4.2 million and $3.9 million on tax-exempt municipal loan and lease income for the nine months ended September 30, 2023 and 2020, 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 $9.0 million and $7.6 million on tax-exempt debt securities income for the nine months ended September 30, 2023 and 2020, respectively.
⁴ Includes tax effect of $766 thousand and $798 thousand on federal income tax credits for the nine months ended September 30, 2023 and 2020, respectively.
⁵ 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, 2021					Jun 30, 2021					Dec 31, 2020					Sep 30, 2020					Jun 30, 2021				Dec 31, 2020				Sep 30, 2020
Custom and owner occupied construction	$	170,489				$	158,405				$	157,529				$	166,195				8		%		8		%		3		%
Pre-sold and spec construction	188,668					163,740					148,845					157,242					15		%		27		%		20		%
Total residential construction	359,157					322,145					306,374					323,437					11		%		17		%		11		%
Land development	151,640					111,736					102,930					96,814					36		%		47		%		57		%
Consumer land or lots	143,977					138,292					123,747					122,019					4		%		16		%		18		%
Unimproved land	68,805					63,469					59,500					64,770					8		%		16		%		6		%
Developed lots for operative builders	33,487					27,143					30,449					30,871					23		%		10		%		8		%
Commercial lots	76,382					64,664					60,499					62,445					18		%		26		%		22		%
Other construction	562,223					554,548					555,375					537,105					1		%		1		%		5		%
Total land, lot, and other construction	1,036,514					959,852					932,500					914,024					8		%		11		%		13		%
Owner occupied	2,069,551					2,019,860					1,945,686					1,889,512					2		%		6		%		10		%
Non-owner occupied	2,561,777					2,436,672					2,290,512					2,259,062					5		%		12		%		13		%
Total commercial real estate	4,631,328					4,456,532					4,236,198					4,148,574					4		%		9		%		12		%
Commercial and industrial	1,407,353					1,654,237					1,850,197					2,308,710					(15	)	%		(24	)	%		(39	)	%
Agriculture	748,548					746,678					721,490					747,145					—		%		4		%		—		%
1st lien	1,159,265					1,105,579					1,228,867					1,256,111					5		%		(6	)	%		(8	)	%
Junior lien	36,942					38,029					41,641					43,355					(3	)	%		(11	)	%		(15	)	%
Total 1-4 family	1,196,207					1,143,608					1,270,508					1,299,466					5		%		(6	)	%		(8	)	%
Multifamily residential	373,022					398,499					391,895					359,030					(6	)	%		(5	)	%		4		%
Home equity lines of credit	709,828					693,135					657,626					651,546					2		%		8		%		9		%
Other consumer	198,763					201,336					190,186					191,761					(1	)	%		5		%		4		%
Total consumer	908,591					894,471					847,812					843,307					2		%		7		%		8		%
States and political subdivisions	612,882					631,199					575,647					617,624					(3	)	%		6		%		(1	)	%
Other	114,427					129,237					156,647					205,351					(11	)	%		(27	)	%		(44	)	%
Total loans receivable, including loans held for sale	11,388,029					11,336,458					11,289,268					11,766,668					—		%		1		%		(3	)	%
Less loans held for sale 1	(94,138		)			(98,410		)			(166,572		)			(147,937		)			(4	)	%		(43	)	%		(36	)	%
Total loans receivable	$	11,293,891				$	11,238,048				$	11,122,696				$	11,618,731				—		%		2		%		(3	)	%

______________________________

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, 2021				Jun 30, 2021			Dec 31, 2020			Sep 30, 2020			Sep 30, 2021			Sep 30, 2021			Sep 30, 2021
Custom and owner occupied construction	$	240			243			247			249			240			—			—
Land development	31				279			342			450			31			—			—
Consumer land or lots	186				190			201			223			186			—			—
Unimproved land	166				178			294			417			166			—			—
Commercial lots	—				368			368			682			—			—			—
Other construction	276				—			—			—			276			—			—
Total land, lot and other construction	659				1,015			1,205			1,772			659			—			—
Owner occupied	3,323				3,747			6,725			9,077			3,323			—			—
Non-owner occupied	2,089				1,892			4,796			4,879			1,716			373			—
Total commercial real estate	5,412				5,639			11,521			13,956			5,039			373			—
Commercial and Industrial	5,621				6,046			6,689			8,571			5,444			177			—
Agriculture	32,712				31,742			6,313			8,972			28,412			4,300			—
1st lien	3,178				4,186			5,353			6,559			3,091			87			—
Junior lien	166				272			301			986			166			—			—
Total 1-4 family	3,344				4,458			5,654			7,545			3,257			87			—
Multifamily residential	—				—			—			—			—			—			—
Home equity lines of credit	2,393				2,653			2,939			2,903			2,224			81			88
Other consumer	539				542			572			407			392			129			18
Total consumer	2,932				3,195			3,511			3,310			2,616			210			106
Other	259				703			293			288			234			25			—
Total	$	51,179			53,041			35,433			44,663			45,901			5,172			106

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, 2021				Jun 30, 2021				Dec 31, 2020				Sep 30, 2020				Jun 30, 2021				Dec 31, 2020				Sep 30, 2020
Custom and owner occupied construction	$	892			$	—			$	788			$	448			n/m				13		%		99		%
Pre-sold and spec construction	325				70				—				—				364		%		n/m				n/m
Total residential construction	1,217				70				788				448				1,639		%		54		%		172		%
Land development	276				—				202				—				n/m				37		%		n/m
Consumer land or lots	325				—				71				220				n/m				358		%		48		%
Unimproved land	181				307				357				381				(41	)	%		(49	)	%		(52	)	%
Developed lots for operative builders	59				—				306				—				n/m				(81	)	%		n/m
Other construction	12,884				—				—				—				n/m				n/m				n/m
Total land, lot and other construction	13,725				307				936				601				4,371		%		1,366		%		2,184		%
Owner occupied	1,933				2,243				3,432				3,163				(14	)	%		(44	)	%		(39	)	%
Non-owner occupied	443				574				149				1,157				(23	)	%		197		%		(62	)	%
Total commercial real estate	2,376				2,817				3,581				4,320				(16	)	%		(34	)	%		(45	)	%
Commercial and industrial	1,581				2,947				1,814				2,354				(46	)	%		(13	)	%		(33	)	%
Agriculture	1,032				837				1,553				2,795				23		%		(34	)	%		(63	)	%
1st lien	350				736				6,677				2,589				(52	)	%		(95	)	%		(86	)	%
Junior lien	167				106				55				738				58		%		204		%		(77	)	%
Total 1-4 family	517				842				6,732				3,327				(39	)	%		(92	)	%		(84	)	%
Home equity lines of credit	3,023				1,942				2,840				2,200				56		%		6		%		37		%
Other consumer	1,361				919				1,054				789				48		%		29		%		72		%
Total consumer	4,384				2,861				3,894				2,989				53		%		13		%		47		%
States and political subdivisions	—				—				2,358				—				n/m				(100	)	%		n/m
Other	1,170				1,395				1,065				797				(16	)	%		10		%		47		%
Total	$	26,002			$	12,076			$	22,721			$	17,631			115		%		14		%		47		%

______________________________

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, 2021					Jun 30, 2021				Dec 31, 2020				Sep 30, 2020				Sep 30, 2021			Sep 30, 2021
Custom and owner occupied construction	$	—				—				(9	)			(9	)			—			—
Pre-sold and spec construction	(12		)			(8	)			(24	)			(19	)			—			12
Total residential construction	(12		)			(8	)			(33	)			(28	)			—			12
Land development	(163		)			(77	)			(106	)			(63	)			—			163
Consumer land or lots	(164		)			(164	)			(221	)			(217	)			3			167
Unimproved land	(241		)			(21	)			(489	)			(489	)			—			241
Commercial lots	—					—				(55	)			(5	)			—			—
Total land, lot and other construction	(568		)			(262	)			(871	)			(774	)			3			571
Owner occupied	(410		)			(70	)			(168	)			(82	)			41			451
Non-owner occupied	(356		)			(503	)			3,030				246				148			504
Total commercial real estate	(766		)			(573	)			2,862				164				189			955
Commercial and industrial	(87		)			(218	)			1,533				740				481			568
Agriculture	—					(6	)			337				309				12			12
1st lien	(250		)			(237	)			69				(27	)			42			292
Junior lien	(511		)			(475	)			(211	)			(169	)			—			511
Total 1-4 family	(761		)			(712	)			(142	)			(196	)			42			803
Multifamily residential	(40		)			(40	)			(244	)			(244	)			—			40
Home equity lines of credit	(601		)			(23	)			101				79				41			642
Other consumer	145					74				307				233				369			224
Total consumer	(456		)			51				408				312				410			866
Other	4,403					3,329				3,803				2,589				7,429			3,026
Total	$	1,713				1,561				7,653				2,872				8,566			6,853

Visit our website at www.glacierbancorp.com