• Glacier Bancorp, Inc. Announces Results for the Quarter and Year Ended December 31, 2022

    Source: Nasdaq GlobeNewswire / 26 Jan 2023 16:30:01   America/New_York

    4th Quarter 2022 Highlights:

    • Net income was $79.7 million for the current quarter, an increase of $339 thousand, or 43 basis points, from the prior quarter net income of $79.3 million. Net income for the current quarter increased $29.0 million, or 57 percent, over the prior year fourth quarter net income of $50.7 million.
    • The loan portfolio, excluding the Paycheck Protection Program (“PPP”) loans, grew $397 million, or 11 percent annualized, in the current quarter.
    • The loan yield for the current quarter of 4.83 percent, increased 16 basis points, compared to 4.67 percent in the prior quarter and increased 13 basis points from the prior year fourth quarter loan yield of 4.70 percent.
    • Interest income of $225 million in the current quarter increased $10.7 million, or 5 percent, over the prior quarter interest income of $214 million. Interest income in the current quarter increased $32.3 million, or 17 percent, over the prior year fourth quarter.
    • Non-interest expense of $129.0 million, decreased $1.1 million, or 1 percent, over prior quarter, and decreased $5.1 million, or 4 percent over the prior year fourth quarter.
    • Non-performing assets as a percentage of subsidiary assets was 0.12 percent in the current quarter compared to 0.13 percent in the prior quarter and 0.26 percent in the prior year fourth quarter.
    • The Company declared a quarterly dividend of $0.33 per share. The Company has declared 151 consecutive quarterly dividends and has increased the dividend 49 times.

    Year 2022 Highlights:

    • Record net income of $303 million for 2022 increased $18.4 million, or 6 percent, compared to the prior year net income.
    • The loan portfolio, excluding the PPP loans, grew $1.974 billion, or 15 percent annualized, in 2022.
    • Interest income of $830 million in the current year increased $149 million, or 22 percent, over the prior year interest income of $681 million.
    • Declared regular total dividends in 2022 of $1.32 per share, an increase of $0.05 per share, or 4 percent, over the prior year regular dividends of $1.27.

    Financial Summary  

     At or for the Three Months ended At or for the Year ended
    (Dollars in thousands, except per share and market data)Dec 31,
    2022    		 Sep 30,
    2022    		 Jun 30,
    2022    		 Mar 31,
    2022    		 Dec 31,
    2021    		 Dec 31,
    2022    		 Dec 31,
    2021
    Operating results             
    Net income$79,677  79,338  76,392  67,795  50,709  303,202  284,757 
    Basic earnings per share$0.72  0.72  0.69  0.61  0.46  2.74  2.87 
    Diluted earnings per share$0.72  0.72  0.69  0.61  0.46  2.74  2.86 
    Dividends declared per share1$0.33  0.33  0.33  0.33  0.42  1.32  1.37 
    Market value per share             
    Closing$49.42  49.13  47.42  50.28  56.70  49.42  56.70 
    High$59.70  56.10  51.40  60.69  60.54  60.69  67.35 
    Low$48.64  46.08  44.43  49.61  52.62  44.43  44.55 
    Selected ratios and other data             
    Number of common stock shares outstanding 110,777,780  110,766,954  110,766,287  110,763,316  110,687,533  110,777,780  110,687,533 
    Average outstanding shares - basic 110,773,084  110,766,502  110,765,379  110,724,655  110,687,365  110,757,473  99,313,255 
    Average outstanding shares - diluted 110,872,127  110,833,594  110,794,982  110,800,001  110,789,632  110,827,933  99,398,250 
    Return on average assets (annualized) 1.19%  1.18%  1.16%  1.06%  0.78%  1.15%  1.33% 
    Return on average equity (annualized) 11.35%  10.94%  10.55%  8.97%  6.28%  10.43%  11.08% 
    Efficiency ratio 53.18%  52.76%  55.74%  57.11%  57.68%  54.64%  51.35% 
    Dividend payout2 45.83%  45.83%  47.83%  54.10%  91.30%  48.18%  47.74% 
    Loan to deposit ratio 74.05%  67.98%  66.26%  63.52%  63.24%  74.05%  63.24% 
    Number of full time equivalent employees 3,390  3,396  3,439  3,439  3,436  3,390  3,436 
    Number of locations 221  222  224  223  224  221  224 
    Number of ATMs 265  272  274  273  273  265  273 

    ______________________
    1 Includes a special dividend declared of $0.10 per share for the three and twelve months ended December 31, 2021.
    2 Excluding the special dividend, the dividend payout ratio was 69.57 percent for the three months ended December 31, 2021 and 44.25 percent for the twelve months ended December 31, 2021.

    KALISPELL, Mont., Jan. 26, 2023 (GLOBE NEWSWIRE) -- Glacier Bancorp, Inc. (NYSE: GBCI) reported net income of $79.7 million for the current quarter, an increase of $29.0 million, or 57 percent, from the $50.7 million of net income for the prior year fourth quarter. Diluted earnings per share for the current quarter was $0.72 per share, an increase of 57 percent from the prior year fourth quarter diluted earnings per share of $0.46. The $29.0 million net income increase over the prior year fourth quarter was driven by a $24.2 million increase in interest income on loans and a $21.8 million decrease in credit loss expense driven by the prior year credit loss expense from the acquisition of Altabancorp and its Altabank subsidiary (“Alta”) on October 1, 2021. Included in the current quarter non-interest expense was a $2.5 million gain on the sale of former branch buildings. “We were pleased to see healthy loan growth, continued strong credit, increasing loan yields and well managed expenses,” said Randy Chesler, President and Chief Executive Officer. “The Glacier team had many important accomplishments in 2022 and is ready and well positioned for 2023.”

    Net income for 2022 was $303 million, an increase of $18.4 million, or 6 percent, from the $285 million net income for the prior year. Diluted earnings per share for 2022 was $2.74 per share, a decrease of 4 percent from the prior year earnings per share of $2.86. The $18.4 million increase in net income over the prior year was driven by a $125.9 million increase in net interest income from both organic loan growth and the acquisition of Alta which more than offset the $43.0 million decrease in gain on sale of loans, a $40.0 million decrease in PPP related income, and an $84.0 million increase in non-interest expense from the acquisition of Alta and increased operating expenses.

    Asset Summary

           $ Change from
    (Dollars in thousands)Dec 31,
    2022    		 Sep 30,
    2022    		 Dec 31,
    2021    		 Sep 30,
    2022    		 Dec 31,
    2021
    Cash and cash equivalents$401,995  425,212  437,686  (23,217) (35,691)
    Debt securities, available-for-sale 5,307,307  5,755,076  9,170,849  (447,769) (3,863,542)
    Debt securities, held-to-maturity 3,715,052  3,756,634  1,199,164  (41,582) 2,515,888 
    Total debt securities 9,022,359  9,511,710  10,370,013  (489,351) (1,347,654)
    Loans receivable         
    Residential real estate 1,446,008  1,368,368  1,051,883  77,640  394,125 
    Commercial real estate 9,797,047  9,582,989  8,630,831  214,058  1,166,216 
    Other commercial 2,799,668  2,729,717  2,664,190  69,951  135,478 
    Home equity 822,232  793,556  736,288  28,676  85,944 
    Other consumer 381,857  376,603  348,839  5,254  33,018 
    Loans receivable 15,246,812  14,851,233  13,432,031  395,579  1,814,781 
    Allowance for credit losses (182,283) (178,191) (172,665) (4,092) (9,618)
    Loans receivable, net 15,064,529  14,673,042  13,259,366  391,487  1,805,163 
    Other assets 2,146,492  2,122,990  1,873,580  23,502  272,912 
    Total assets$26,635,375  26,732,954  25,940,645  (97,579) 694,730 

    Total debt securities of $9.022 billion at December 31, 2022 decreased $489 million, or 5 percent, during the current quarter and decreased $1.348 billion, or 13 percent, from the prior year end. The Company continues to selectively sell debt securities to fund organic loan growth and the reduction in deposits. Debt securities represented 34 percent of total assets at December 31, 2022 compared to 40 percent at December 31, 2021.

    Excluding the PPP loans, during the current quarter the loan portfolio increased $397 million, or 11 percent annualized, with the largest dollar increase in commercial real estate which increased $214 million, or 9 percent annualized. Excluding the PPP loans, the loan portfolio increased $1.974 billion, or 15 percent, from the prior year fourth quarter with the largest dollar increase in commercial real estate loans which increased $1.166 billion, or 14 percent.

    Credit Quality Summary

     At or for the Year ended At or for the Nine Months ended At or for the Year ended
    (Dollars in thousands)Dec 31,
    2022    		 Sep 30,
    2022    		 Dec 31,
    2021
    Allowance for credit losses     
    Balance at beginning of period$172,665  172,665  158,243 
    Acquisitions —  —  371 
    Provision for credit losses 17,433  11,373  16,380 
    Charge-offs (14,970) (10,905) (11,594)
    Recoveries 7,155  5,058  9,265 
    Balance at end of period$182,283  178,191  172,665 
    Provision for credit losses     
    Loan portfolio$17,433  11,373  16,380 
    Unfunded loan commitments 2,530  2,466  6,696 
    Total provision for credit losses$19,963  13,839  23,076 
    Other real estate owned$—  —  — 
    Other foreclosed assets 32  42  18 
    Accruing loans 90 days or more past due 1,559  2,524  17,141 
    Non-accrual loans 31,151  32,493  50,532 
    Total non-performing assets$32,742  35,059  67,691 
    Non-performing assets as a percentage of subsidiary assets 0.12% 0.13% 0.26%
    Allowance for credit losses as a percentage of non-performing loans 557% 508% 255%
    Allowance for credit losses as a percentage of total loans 1.20% 1.20% 1.29%
    Net charge-offs as a percentage of total loans 0.05% 0.04% 0.02%
    Accruing loans 30-89 days past due$20,967  10,922  50,566 
    Accruing troubled debt restructurings$35,220  37,608  34,591 
    Non-accrual troubled debt restructurings$2,355  2,355  2,627 
    U.S. government guarantees included in non-performing assets$2,312  4,930  4,028 

    Non-performing assets of $32.7 million at December 31, 2022 decreased $2.3 million, or 7 percent, over the prior quarter and decreased $34.9 million, or 52 percent, over prior year fourth quarter. Non-performing assets as a percentage of subsidiary assets at December 31, 2022 was 0.12 percent compared to 0.13 percent in the prior quarter and 0.26 percent in the prior year fourth quarter.

    Early stage delinquencies (accruing loans 30-89 days past due) of $21.0 million at December 31, 2022 increased $10.0 million from the prior quarter and decreased $29.6 million from the prior year fourth quarter. Early stage delinquencies as a percentage of loans at December 31, 2022 was 14 basis points, which compared to 7 basis points in the prior quarter and 38 basis points from prior year fourth quarter.

    The current quarter credit loss expense of $6.1 million included $6.1 million of credit loss expense from loans and $65 thousand of credit loss expense from unfunded loan commitments. The allowance for credit losses on loans (“ACL”) as a percentage of total loans outstanding at December 31, 2022 was 1.20 percent which was the same compared to the prior quarter and a 9 basis points decrease from the prior year end.

    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
    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%
    Second quarter 2022 (1,353)  1,843  1.20% 0.12% 0.16%
    First quarter 2022 4,344   850  1.28% 0.12% 0.24%
    Fourth quarter 2021 19,301   616  1.29% 0.38% 0.26%
    Third quarter 2021 2,313   152  1.36% 0.23% 0.24%
    Second quarter 2021 (5,723)  (725) 1.35% 0.11% 0.26%
    First quarter 2021 489   2,286  1.39% 0.40% 0.19%

    Net charge-offs for the current quarter of $2.0 million compared to $3.2 million for the prior quarter and $616 thousand from the same quarter last year. Net charge-offs of $2.0 million included $2.1 million in deposit overdraft net charge-offs and $91 thousand of net loan recoveries.

    The current quarter provision for credit loss expense for loans was $6.1 million which was a decrease of $2.3 million from the prior quarter. The prior year fourth quarter credit loss expense of $19.3 million on the loan portfolio included $18.1 million of provision for credit loss from the acquisition of Alta to fully fund an allowance for credit losses post-acquisition. Excluding the impact from the acquisition of Alta, the current quarter provision for credit loss expense for loans increased $4.8 million from the prior year fourth 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. 

    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)Dec 31,
    2022    		 Sep 30,
    2022    		 Dec 31,
    2021    		 Sep 30,
    2022    		 Dec 31,
    2021
    Deposits         
    Non-interest bearing deposits$7,690,751 8,294,363 7,779,288 (603,612) (88,537)
    NOW and DDA accounts 5,330,614 5,462,707 5,301,832 (132,093) 28,782 
    Savings accounts 3,200,321 3,305,333 3,180,046 (105,012) 20,275 
    Money market deposit accounts 3,472,281 3,905,676 4,014,128 (433,395) (541,847)
    Certificate accounts 880,589 907,560 1,036,077 (26,971) (155,488)
    Core deposits, total 20,574,556 21,875,639 21,311,371 (1,301,083) (736,815)
    Wholesale deposits 31,999 4,003 25,878 27,996  6,121 
    Deposits, total 20,606,555 21,879,642 21,337,249 (1,273,087) (730,694)
    Repurchase agreements 945,916 887,483 1,020,794 58,433  (74,878)
    Federal Home Loan Bank advances 1,800,000 705,000 — 1,095,000  1,800,000 
    Other borrowed funds 77,293 77,671 44,094 (378) 33,199 
    Subordinated debentures 132,782 132,742 132,620 40  162 
    Other liabilities 229,524 278,059 228,266 (48,535) 1,258 
    Total liabilities$23,792,070 23,960,597 22,763,023 (168,527) 1,029,047 

    Core deposits of $20.575 billion decreased $1.301 billion, or 6 percent, during the current quarter and decreased $737 million, or 3 percent, from the prior year end. Non-interest bearing deposits were 37 percent of total core deposits at December 31, 2022 and December 31, 2021.

    Federal Home Loan Bank (“FHLB”) advances increased $1.095 billion during the current quarter and $1.800 billion during 2022 to support liquidity needs from organic loan growth and the decrease in deposits.

    Stockholders’ Equity Summary

           $ Change from
    (Dollars in thousands, except per share data)Dec 31,
    2022    		 Sep 30,
    2022    		 Dec 31,
    2021    		 Sep 30,
    2022    		 Dec 31,
    2021
    Common equity$3,312,097  3,267,505  3,150,263  44,592 161,834 
    Accumulated other comprehensive (loss) income (468,792) (495,148) 27,359  26,356 (496,151)
    Total stockholders’ equity 2,843,305  2,772,357  3,177,622  70,948 (334,317)
    Goodwill and core deposit intangible, net (1,026,994) (1,029,658) (1,037,652) 2,664 10,658 
    Tangible stockholders’ equity$1,816,311  1,742,699  2,139,970  73,612 (323,659)


    Stockholders’ equity to total assets 10.67% 10.37% 12.25%    
    Tangible stockholders’ equity to total tangible assets 7.09% 6.78% 8.59%    
    Book value per common share$25.67  25.03  28.71  0.64 (3.04)
    Tangible book value per common share$16.40  15.73  19.33  0.67 (2.93)

    Tangible stockholders’ equity of $1.816 billion at December 31, 2022 increased $73.6 million, or 4 percent, from the prior quarter which was primarily driven by earnings retention and the decrease in the unrealized loss on the available-for-sale (“AFS”) debt securities during the current quarter. Tangible stockholders’ equity decreased by $324 million from the prior year as a result of an increase in unrealized loss on the AFS debt securities which resulted from the significant increase in interest rates during the current year. Tangible book value per common share of $16.40 at the current quarter end increased $0.67 per share, or 4 percent, from the prior quarter. The tangible book value per common share decreased $2.93 per share, or 15 percent, from the prior year fourth quarter primarily as a result of the increase in the unrealized loss on AFS debt securities.

    Cash Dividends
    On November 16, 2022, the Company’s Board of Directors declared a quarterly cash dividend of $0.33 per share. The dividend was payable December 15, 2022 to shareholders of record on December 6, 2022. The dividend was the Company’s 151st 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 December 31, 2022 
    Compared to September 30, 2022, June 30, 2022, March 31, 2022, and December 31, 2021

    Income Summary

     Three Months ended
    (Dollars in thousands)Dec 31,
    2022    		 Sep 30,
    2022    		 Jun 30,
    2022    		 Mar 31,
    2022    		 Dec 31,
    2021
    Net interest income         
    Interest income$225,085   214,402  199,637  190,516  192,825 
    Interest expense 21,026   9,075  6,199  4,961  5,203 
    Total net interest income 204,059   205,327  193,438  185,555  187,622 
    Non-interest income         
    Service charges and other fees 18,734   18,970  17,309  17,111  17,576 
    Miscellaneous loan fees and charges 3,905   4,040  3,850  3,555  3,745 
    Gain on sale of loans 2,175   3,846  4,996  9,015  11,431 
    Gain (loss) on sale of investments 519   (85) (260) 446  (693)
    Other income 3,150   3,635  2,385  3,436  2,303 
    Total non-interest income 28,483   30,406  28,280  33,563  34,362 
    Total income 232,542   235,733  221,718  219,118  221,984 
    Net interest margin (tax-equivalent) 3.30%  3.34% 3.23% 3.20% 3.21%
              
       $ Change from
    (Dollars in thousands)  Sep 30,
    2022    		 Jun 30,
    2022    		 Mar 31,
    2022    		 Dec 31,
    2021
    Net interest income         
    Interest income  $10,683  25,448  34,569  32,260 
    Interest expense   11,951  14,827  16,065  15,823 
    Total net interest income   (1,268) 10,621  18,504  16,437 
    Non-interest income         
    Service charges and other fees   (236) 1,425  1,623  1,158 
    Miscellaneous loan fees and charges   (135) 55  350  160 
    Gain on sale of loans   (1,671) (2,821) (6,840) (9,256)
    Gain (loss) on sale of investments   604  779  73  1,212 
    Other income   (485) 765  (286) 847 
    Total non-interest income   (1,923) 203  (5,080) (5,879)
    Total income  $(3,191) 10,824  13,424  10,558 

    Net Interest Income
    The current quarter net interest income of $204 million decreased $1.3 million, or 1 percent, compared to the prior quarter and increased $16.4 million, or 9 percent, from the prior year fourth quarter. The current quarter interest income of $225 million increased $10.7 million, or 5 percent, over the prior quarter and was driven primarily by the increase in the loan portfolio and an increase in loan yields. The current quarter interest income increased $32.3 million, or 17 percent, over the prior year fourth quarter due to organic loan growth and increased loan yields, which more than offset the $8.5 million decrease in interest income from the PPP loans.

    The current quarter interest expense of $21.0 million increased $12.0 million, or 132 percent, over the prior quarter and increased $15.8 million, or 304 percent, over the prior year fourth quarter primarily the result of an increase in borrowings to fund the Company’s loan growth and reduction in deposits. Core deposit cost (including non-interest bearing deposits) was 8 basis points for the current quarter compared to 6 basis points in the prior quarter and 7 basis points for the prior year fourth quarter. The total cost of funding (including non-interest bearing deposits) was 35 basis points in the current quarter compared to 15 basis points in the prior quarter and 9 basis points in the prior year fourth quarter which was the result of the increased borrowings and borrowing rates.

    The Company’s net interest margin as a percentage of earning assets, on a tax-equivalent basis, for the current quarter was 3.30 percent compared to 3.34 percent in the prior quarter and 3.21 percent in the prior year fourth quarter. The core net interest margin, excluding discount accretion, the impact from non-accrual interest and the impact from the PPP loans, was 3.27 percent compared to 3.29 percent in the prior quarter and 3.04 percent in the prior year fourth quarter. The core net interest margin decreased 2 basis points in the current quarter as a result of increased borrowing costs. The core loan yield of 4.79 percent in the current quarter increased 19 basis points from the prior quarter core loan yield of 4.60 percent and increased 36 basis points from the prior year fourth quarter core loan yield of 4.43 percent. “The Bank divisions have been excellent in pricing loans at higher yields as interest rates have increased,” said Ron Copher, Chief Financial Officer.

    Non-interest Income
    Non-interest income for the current quarter totaled $28.5 million which was a decrease of $1.9 million, or 6 percent, over the prior quarter and a decrease of $5.9 million, or 17 percent, over the same quarter last year which was primarily driven by the decrease in gain on sale of residential loans. Gain on the sale of residential loans of $2.2 million for the current quarter decreased $1.7 million, or 43 percent, compared to the prior quarter and decreased $9.3 million, or 81 percent, from the prior year fourth quarter. The current quarter mortgage activity was lower than prior periods as a result of the continued reduction in residential purchase and refinance activity as mortgage rates continued to rise.

    Non-interest Expense Summary

     Three Months ended
    (Dollars in thousands)Dec 31,
    2022    		 Sep 30,
    2022    		 Jun 30,
    2022    		 Mar 31,
    2022    		 Dec 31,
    2021
    Compensation and employee benefits$79,814  80,612  79,803  79,074  77,703 
    Occupancy and equipment 10,734  10,797  10,766  10,964  11,259 
    Advertising and promotions 3,558  3,768  3,766  3,232  3,436 
    Data processing 8,079  7,716  7,553  7,475  7,468 
    Other real estate owned and foreclosed assets 5  66  6  —  34 
    Regulatory assessments and insurance 3,425  3,339  3,085  3,055  2,657 
    Core deposit intangibles amortization 2,664  2,665  2,665  2,664  2,807 
    Other expenses 20,700  21,097  21,877  23,844  28,683 
    Total non-interest expense$128,979  130,060  129,521  130,308  134,047 
              
       $ Change from
    (Dollars in thousands)  Sep 30,
    2022    		 Jun 30,
    2022    		 Mar 31,
    2022    		 Dec 31,
    2021
    Compensation and employee benefits  $(798) 11  740  2,111 
    Occupancy and equipment   (63) (32) (230) (525)
    Advertising and promotions   (210) (208) 326  122 
    Data processing   363  526  604  611 
    Other real estate owned and foreclosed assets   (61) (1) 5  (29)
    Regulatory assessments and insurance   86  340  370  768 
    Core deposit intangibles amortization   (1) (1) —  (143)
    Other expenses   (397) (1,177) (3,144) (7,983)
    Total non-interest expense  $(1,081) (542) (1,329) (5,068)

    Total non-interest expense of $129 million for the current quarter decreased $1.1 million, or 1 percent, over the prior quarter. Excluding a current quarter $2.5 million gain on the sale of former branch buildings included in other expenses, total non-interest expense was $131 million for the current quarter which increased $1.1 million or 1 percent, over the prior quarter which was driven by several miscellaneous category increases.

    Total non-interest expense for the current quarter decreased $5.1 million, or 4 percent over the prior year fourth quarter. Compensation and employee benefit expense of $79.8 million increased $2.1 million, or 3 percent, over the prior year fourth quarter primarily from annual salary increases and benefit adjustments which more than offset the decrease in commission expense resulting from the slowing of mortgage loan sales. Other expense of $20.7 million for the current quarter decreased $8.0 million or 28 percent from the prior year fourth quarter and was the result of the decrease in acquisition-related expenses and the current quarter gain on the sale of the former branch buildings. Acquisition-related expenses was $804 thousand in the current quarter compared to $892 thousand in the prior quarter and $8.2 million in the prior year fourth quarter.

    Federal and State Income Tax Expense
    Tax expense during the fourth quarter of 2022 was $17.8 million, a decrease of $232 thousand, or 1 percent, compared to the prior quarter and an increase of $8.5 million, or 92 percent, from the prior year fourth quarter. The effective tax rate in the current quarter was 18.2 percent compared to 18.5 percent in the prior quarter and 15.5 percent in the prior year fourth quarter.

    Efficiency Ratio
    The efficiency ratio was 53.18 percent in the current quarter compared to 52.76 percent in the prior quarter and 57.68 percent in the prior year fourth quarter. Excluding acquisition-related expenses, the efficiency ratio would have been 52.84 percent in the current quarter compared to 52.39 percent in the prior quarter and 54.09 percent in the prior year fourth quarter.


    Operating Results for Year Ended December 31, 2022
    Compared to December 31, 2021

    Income Summary

     Year ended  
    (Dollars in thousands)Dec 31,
    2022    		 Dec 31,
    2021    		 $ Change % Change
    Net interest income       
    Interest income$829,640  $681,074  $148,566  22 %
    Interest expense 41,261   18,558   22,703  122 %
    Total net interest income 788,379   662,516   125,863  19 %
    Non-interest income       
    Service charges and other fees 72,124   59,317   12,807  22 %
    Miscellaneous loan fees and charges 15,350   12,038   3,312  28 %
    Gain on sale of loans 20,032   63,063   (43,031) (68) %
    Gain on sale of investments 620   (638)  1,258  (197) %
    Other income 12,606   11,040   1,566  14 %
    Total non-interest income 120,732   144,820   (24,088) (17) %
    Total Income$909,111  $807,336  $101,775  13 %
    Net interest margin (tax-equivalent) 3.27 %  3.42 %    

    Net Interest Income
    Net-interest income of $788 million for 2022 increased $126 million, or 19 percent, over 2021. Interest income of $830 million for the current year increased $149 million, or 22 percent, from the prior year and was primarily attributable to the acquisition of Alta and organic loan growth.

    Interest expense of $41.3 million for 2022 increased $22.7 million, or 122 percent over the prior year and was the result of increased borrowings and higher interest rates. Core deposit cost (including non-interest bearing deposits) was 7 basis points for both 2022 and 2021. The total funding cost (including non-interest bearing deposits) for 2022 was 18 basis points, which increased 8 basis points compared to 10 basis points in 2021 driven by the increased borrowing rates.

    The net interest margin as a percentage of earning assets, on a tax-equivalent basis, during 2022 was 3.27 percent, a 15 basis points decrease from the net interest margin of 3.42 percent for the same period in the prior year. The core net interest margin, excluding discount accretion, the impact from non-accrual interest and the impact from the PPP loans, was 3.20 percent which was a 4 basis point decrease from the core margin of 3.24 percent in the prior year.

    Non-interest Income
    Non-interest income of $120.7 million for 2022 decreased $24.1 million, or 17 percent, over the same period last year and was principally due to the $43.0 million, or 68 percent, decrease in gain on sale of residential loans. Service charges and other fees of $72.1 million for 2022 increased $12.8 million, or 22 percent, from the prior year same period as a result of additional fees from increased customer accounts, transaction activity and the acquisition of Alta. Miscellaneous loan fees and charges increased $3.3 million, or 28 percent, primarily driven by increases in credit card interchange fees due to increased activity and the acquisition of Alta.

    Non-interest Expense Summary

     Year ended    
    (Dollars in thousands)Dec 31,
    2022    		 Dec 31,
    2021    		 $ Change % Change
    Compensation and employee benefits$319,303 $270,644 $48,659  18 %
    Occupancy and equipment 43,261  39,394  3,867  10 %
    Advertising and promotions 14,324  11,949  2,375  20 %
    Data processing 30,823  23,470  7,353  31 %
    Other real estate owned and foreclosed assets 77  236  (159) (67)%
    Regulatory assessments and insurance 12,904  8,249  4,655  56 %
    Core deposit intangibles amortization 10,658  10,271  387  4 %
    Other expenses 87,518  70,609  16,909  24 %
    Total non-interest expense$518,868 $434,822 $84,046  19 %

    Total non-interest expense of $519 million for 2022 increased $84.0 million, or 19 percent, over the prior year and was primarily driven by the increased costs from the acquisition of Alta. Total non-interest expense for Altabank division in 2022 was $75.5 million, an increase of $56.7 million over prior year non-interest expense of $18.9 million as a result of the acquisition occurring in the fourth quarter of 2021. Excluding the increase from the Altabank division, compensation and employee benefits increased $22.0 million, or 8 percent, over the prior year which was driven by annual salary increases and a reduction in deferred compensation from loan originations which more than offset the decrease in commission expense resulting from the slowing of mortgage loan sales. Data processing expense of $30.8 million for 2022, increased $7.4 million, or 31 percent, and was driven by increases from the Altabank division and expenses associated with technology infrastructure improvements. Other expenses of $87.5 million for 2022, increased $16.9 million, or 24 percent, from the prior year which was driven by increased costs from the Altabank division, general operating cost increases, and outside services associated with technology infrastructure improvements. Acquisition-related expenses were $10.0 million in the current year compared to $9.8 million in the prior year.

    Provision for Credit Losses

    The provision for credit loss expense was $19.9 million for 2022, including provision for credit loss expense of $17.4 million on the loan portfolio and credit loss expense of $2.5 million on unfunded loan commitments. The prior year credit loss expense of $16.4 million on the loan portfolio included $18.1 million of provision for credit loss from the acquisition of Alta to fully fund an allowance for credit losses post-acquisition. Excluding the impact from the acquisition of Alta, the provision for credit loss expense of $17.4 million on the loan portfolio in the current year increased $19.1 million over the prior year which was primarily attributable to organic loan growth during the current year. Net charge-offs during the current year were $7.8 million compared to $2.3 million during the prior year.

    Federal and State Income Tax Expense
    Tax expense of $67.1 for 2022 increased $2.4 million, or 4 percent, over the prior year. The effective tax rate for 2022 was 18.1 percent compared to 18.5 percent in the prior year.

    Efficiency Ratio
    The efficiency ratio was 54.64 percent for 2022 compared to 51.35 percent for last year. Excluding the impact from the PPP loans and acquisition related expenses, the efficiency ratio was 53.88 in 2022 compared to 53.07 in 2021.

    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 the negative version of those words 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 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 (express or implied) 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 in 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 Federal Reserve System or the Federal Reserve Board, which could adversely affect the Company’s net interest income and margin, overall profitability, and stockholders’ equity;
    • legislative or regulatory changes, as well as increased banking and consumer protection regulation, that may adversely affect the Company’s business;
    • 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;
    • the effects from military action in Ukraine, including the broader impacts to financial markets and economic conditions; 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, January 27, 2023. Investors who would like to join the call may now register by following this link to obtain dial-in instructions: https://register.vevent.com/register/BIc0df24de0cb44359909dc4a7bbc51bb5. To participate on the webcast, log on to: https://edge.media-server.com/mmc/p/2jvw627b. If you are unable to participate during the live webcast, the call will be archived on our website, www.glacierbancorp.com.

    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), North Cascades Bank (Chelan, WA), The Foothills Bank (Yuma, AZ), Valley Bank of Helena (Helena, MT), and Western Security Bank (Billings, MT).


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

    (Dollars in thousands, except per share data)Dec 31,
    2022    		 Sep 30,
    2022    		 Dec 31,
    2021
    Assets     
    Cash on hand and in banks$300,194  260,456  198,087 
    Interest bearing cash deposits 101,801  164,756  239,599 
    Cash and cash equivalents 401,995  425,212  437,686 
    Debt securities, available-for-sale 5,307,307  5,755,076  9,170,849 
    Debt securities, held-to-maturity 3,715,052  3,756,634  1,199,164 
    Total debt securities 9,022,359  9,511,710  10,370,013 
    Loans held for sale, at fair value 12,314  21,720  60,797 
    Loans receivable 15,246,812  14,851,233  13,432,031 
    Allowance for credit losses (182,283) (178,191) (172,665)
    Loans receivable, net 15,064,529  14,673,042  13,259,366 
    Premises and equipment, net 398,100  395,639  372,597 
    Other real estate owned and foreclosed assets 32  42  18 
    Accrued interest receivable 83,538  93,300  76,673 
    Deferred tax asset 193,187  204,351  27,693 
    Core deposit intangible, net 41,601  44,265  52,259 
    Goodwill 985,393  985,393  985,393 
    Non-marketable equity securities 82,015  38,215  10,020 
    Bank-owned life insurance 169,068  168,187  167,671 
    Other assets 181,244  171,878  120,459 
    Total assets$26,635,375  26,732,954  25,940,645 
    Liabilities     
    Non-interest bearing deposits$7,690,751  8,294,363  7,779,288 
    Interest bearing deposits 12,915,804  13,585,279  13,557,961 
    Securities sold under agreements to repurchase 945,916  887,483  1,020,794 
    FHLB advances 1,800,000  705,000  — 
    Other borrowed funds 77,293  77,671  44,094 
    Subordinated debentures 132,782  132,742  132,620 
    Accrued interest payable 4,331  2,740  2,409 
    Other liabilities 225,193  275,319  225,857 
    Total liabilities 23,792,070  23,960,597  22,763,023 
    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 and 117,187,500 shares authorized at December 31, 2022, and December 31, 2021, respectively 1,108  1,108  1,107 
    Paid-in capital 2,344,005  2,342,452  2,338,814 
    Retained earnings - substantially restricted 966,984  923,945  810,342 
    Accumulated other comprehensive (loss) income (468,792) (495,148) 27,359 
    Total stockholders’ equity 2,843,305  2,772,357  3,177,622 
    Total liabilities and stockholders’ equity$26,635,375  26,732,954  25,940,645 


    Glacier Bancorp, Inc.
    Unaudited Condensed Consolidated Statements of Operations

     Three Months ended Year ended
    (Dollars in thousands, except per share data)Dec 31,
    2022    		 Sep 30,
    2022    		 Dec 31,
    2021    		 Dec 31,
    2022    		 Dec 31,
    2021
    Interest Income         
    Investment securities$43,818 43,722  35,711  169,035 122,099 
    Residential real estate loans 14,964 13,738  13,728  57,243 43,300 
    Commercial loans 150,462 142,692  131,158  548,969 471,061 
    Consumer and other loans 15,841 14,250  12,228  54,393 44,614 
    Total interest income 225,085 214,402  192,825  829,640 681,074 
    Interest Expense         
    Deposits 4,642 3,279  3,708  14,526 12,135 
    Securities sold under agreements to
      repurchase    		 1,765 675  467  3,200 2,303 
    Federal Home Loan Bank advances 12,689 3,318  —  17,317 — 
    Other borrowed funds 464 380  184  1,329 713 
    Subordinated debentures 1,466 1,423  844  4,889 3,407 
    Total interest expense 21,026 9,075  5,203  41,261 18,558 
    Net Interest Income 204,059 205,327  187,622  788,379 662,516 
    Provision for credit losses 6,124 8,341  27,956  19,963 23,076 
    Net interest income after provision for credit losses 197,935 196,986  159,666  768,416 639,440 
    Non-Interest Income         
    Service charges and other fees 18,734 18,970  17,576  72,124 59,317 
    Miscellaneous loan fees and charges 3,905 4,040  3,745  15,350 12,038 
    Gain on sale of loans 2,175 3,846  11,431  20,032 63,063 
    Gain (loss) on sale of debt securities 519 (85) (693) 620 (638)
    Other income 3,150 3,635  2,303  12,606 11,040 
    Total non-interest income 28,483 30,406  34,362  120,732 144,820 
    Non-Interest Expense         
    Compensation and employee benefits 79,814 80,612  77,703  319,303 270,644 
    Occupancy and equipment 10,734 10,797  11,259  43,261 39,394 
    Advertising and promotions 3,558 3,768  3,436  14,324 11,949 
    Data processing 8,079 7,716  7,468  30,823 23,470 
    Other real estate owned and foreclosed
      assets    		 5 66  34  77 236 
    Regulatory assessments and insurance 3,425 3,339  2,657  12,904 8,249 
    Core deposit intangibles amortization 2,664 2,665  2,807  10,658 10,271 
    Other expenses 20,700 21,097  28,683  87,518 70,609 
    Total non-interest expense 128,979 130,060  134,047  518,868 434,822 
    Income Before Income Taxes 97,439 97,332  59,981  370,280 349,438 
    Federal and state income tax expense 17,762 17,994  9,272  67,078 64,681 
    Net Income$79,677 79,338  50,709  303,202 284,757 


    Glacier Bancorp, Inc.
    Average Balance Sheets

     Three Months ended
     December 31, 2022 September 30, 2022
    (Dollars in thousands)Average
    Balance    		 Interest &
    Dividends    		 Average
    Yield/
    Rate    		 Average
    Balance    		 Interest &
    Dividends    		 Average
    Yield/
    Rate
    Assets           
    Residential real estate loans$1,424,550  $14,964 4.20% $1,338,606  $13,738 4.11%
    Commercial loans 1 12,419,414   152,169 4.86%  12,146,551   144,357 4.72%
    Consumer and other loans 1,183,727   15,841 5.31%  1,156,305   14,250 4.89%
    Total loans 2 15,027,691   182,974 4.83%  14,641,462   172,345 4.67%
    Tax-exempt debt securities 3 1,960,007   17,877 3.65%  2,000,404   18,484 3.70%
    Taxable debt securities 4 8,200,203   29,717 1.45%  8,426,933   29,297 1.39%
    Total earning assets 25,187,901   230,568 3.63%  25,068,799   220,126 3.48%
    Goodwill and intangibles 1,028,277       1,030,961     
    Non-earning assets 436,260       604,754     
    Total assets$26,652,438      $26,704,514     
    Liabilities           
    Non-interest bearing deposits$8,010,053  $— —% $8,158,207  $— —%
    NOW and DDA accounts 5,388,062   1,077 0.08%  5,473,458   794 0.06%
    Savings accounts 3,255,091   355 0.04%  3,319,167   260 0.03%
    Money market deposit accounts 3,679,866   2,168 0.23%  3,999,758   1,483 0.15%
    Certificate accounts 882,490   834 0.37%  940,507   722 0.30%
    Total core deposits 21,215,562   4,434 0.08%  21,891,097   3,259 0.06%
    Wholesale deposits 5 22,462   208 3.69%  3,946   20 2.05%
    Repurchase agreements 873,819   1,765 0.80%  917,104   675 0.29%
    FHLB advances 1,291,087   12,689 3.85%  541,630   3,318 2.40%
    Subordinated debentures and other borrowed funds 211,953   1,930 3.61%  202,383   1,803 3.54%
    Total funding liabilities 23,614,883   21,026 0.35%  23,556,160   9,075 0.15%
    Other liabilities 252,298       261,735     
    Total liabilities 23,867,181       23,817,895     
    Stockholders’ Equity           
    Common stock 1,108       1,108     
    Paid-in capital 2,343,157       2,341,648     
    Retained earnings 946,195       920,372     
    Accumulated other comprehensive (loss) income (505,203)      (376,509)    
    Total stockholders’ equity 2,785,257       2,886,619     
    Total liabilities and stockholders’ equity$26,652,438      $26,704,514     
    Net interest income (tax-equivalent)  $209,542     $211,051  
    Net interest spread (tax-equivalent)    3.28%     3.33%
    Net interest margin (tax-equivalent)    3.30%     3.34%

    ______________________________

    1 Includes tax effect of $1.7 million and $1.7 million on tax-exempt municipal loan and lease income for the three months ended December 31, 2022 and September 30, 2022, 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 $3.6 million and $3.8 million on tax-exempt debt securities income for the three months ended December 31, 2022 and September 30, 2022, respectively.
    4 Includes tax effect of $225 thousand and $225 thousand on federal income tax credits for the three months ended December 31, 2022 and September 30, 2022, 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
     December 31, 2022 December 31, 2021
    (Dollars in thousands)Average
    Balance    		 Interest &
    Dividends    		 Average
    Yield/
    Rate    		 Average
    Balance    		 Interest &
    Dividends    		 Average
    Yield/
    Rate
    Assets           
    Residential real estate loans$1,424,550  $14,964 4.20% $1,104,232 $13,728 4.97%
    Commercial loans 1 12,419,414   152,169 4.86%  11,184,129  132,561 4.70%
    Consumer and other loans 1,183,727   15,841 5.31%  1,082,341  12,228 4.48%
    Total loans 2 15,027,691   182,974 4.83%  13,370,702  158,517 4.70%
    Tax-exempt debt securities 3 1,960,007   17,877 3.65%  1,693,761  15,552 3.67%
    Taxable debt securities 4 8,200,203   29,717 1.45%  8,709,938  23,555 1.08%
    Total earning assets 25,187,901   230,568 3.63%  23,774,401  197,624 3.30%
    Goodwill and intangibles 1,028,277       1,031,002    
    Non-earning assets 436,260       950,923    
    Total assets$26,652,438      $25,756,326    
    Liabilities           
    Non-interest bearing deposits$8,010,053  $— —% $7,955,888 $— —%
    NOW and DDA accounts 5,388,062   1,077 0.08%  5,120,484  970 0.08%
    Savings accounts 3,255,091   355 0.04%  3,133,654  346 0.04%
    Money market deposit accounts 3,679,866   2,168 0.23%  3,883,818  1,374 0.14%
    Certificate accounts 882,490   834 0.37%  1,051,787  1,004 0.38%
    Total core deposits 21,215,562   4,434 0.08%  21,145,631  3,694 0.07%
    Wholesale deposits 5 22,462   208 3.69%  26,104  14 0.21%
    Repurchase agreements 873,819   1,765 0.80%  1,015,369  467 0.18%
    FHLB advances 1,291,087   12,689 3.85%  —  — —%
    Subordinated debentures and other borrowed funds 211,953   1,930 3.61%  167,545  1,028 2.43%
    Total funding liabilities 23,614,883   21,026 0.35%  22,354,649  5,203 0.09%
    Other liabilities 252,298       199,207    
    Total liabilities 23,867,181       22,553,856    
    Stockholders’ Equity           
    Common stock 1,108       1,107    
    Paid-in capital 2,343,157       2,338,013    
    Retained earnings 946,195       815,726    
    Accumulated other comprehensive (loss) income (505,203)      47,624    
    Total stockholders’ equity 2,785,257       3,202,470    
    Total liabilities and stockholders’ equity$26,652,438      $25,756,326    
    Net interest income (tax-equivalent)  $209,542     $192,421  
    Net interest spread (tax-equivalent)    3.28%     3.21%
    Net interest margin (tax-equivalent)    3.30%     3.21%

    ______________________________

    1 Includes tax effect of $1.7 million and $1.4 million on tax-exempt municipal loan and lease income for the three months ended December 31, 2022 and 2021, 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 $3.6 million and $3.2 million on tax-exempt debt securities income for the three months ended December 31, 2022 and 2021, respectively.
    4 Includes tax effect of $225 thousand and $225 thousand on federal income tax credits for the three months ended December 31, 2022 and 2021, 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)

     Year ended
     December 31, 2022 December 31, 2021
    (Dollars in thousands)Average
    Balance    		 Interest &
    Dividends    		 Average
    Yield/
    Rate    		 Average
    Balance    		 Interest &
    Dividends    		 Average
    Yield/
    Rate
    Assets           
    Residential real estate loans$1,284,029  $57,243 4.46% $910,300 $43,300 4.76%
    Commercial loans 1 11,902,971   555,244 4.66%  9,900,056  476,678 4.81%
    Consumer and other loans 1,131,000   54,393 4.81%  993,082  44,614 4.49%
    Total loans 2 14,318,000   666,880 4.66%  11,803,438  564,592 4.78%
    Tax-exempt debt securities 3 1,916,731   70,438 3.67%  1,584,313  59,713 3.77%
    Taxable debt securities 4 8,546,792   113,952 1.33%  6,512,202  75,553 1.16%
    Total earning assets 24,781,523   851,270 3.44%  19,899,953  699,858 3.52%
    Goodwill and intangibles 1,032,263       683,000    
    Non-earning assets 603,401       850,742    
    Total assets$26,417,187      $21,433,695    
    Liabilities           
    Non-interest bearing deposits$8,005,821  $— —% $6,544,843 $— —%
    NOW and DDA accounts 5,387,277   3,439 0.06%  4,325,071  2,737 0.06%
    Savings accounts 3,270,799   1,191 0.04%  2,493,174  771 0.03%
    Money market deposit accounts 3,926,737   6,401 0.16%  3,144,507  3,914 0.12%
    Certificate accounts 955,829   3,249 0.34%  976,894  4,643 0.48%
    Total core deposits 21,546,463   14,280 0.07%  17,484,489  12,065 0.07%
    Wholesale deposits 5 11,862   246 2.07%  31,103  70 0.22%
    Repurchase agreements 920,955   3,200 0.35%  994,968  2,302 0.23%
    FHLB advances 584,562   17,317 2.92%  —  — —%
    Subordinated debentures and other borrowed funds 196,139   6,218 3.17%  166,386  4,121 2.48%
    Total funding liabilities 23,259,981   41,261 0.18%  18,676,946  18,558 0.10%
    Other liabilities 249,832       186,068    
    Total liabilities 23,509,813       18,863,014    
    Stockholders’ Equity           
    Common stock 1,107       993    
    Paid-in capital 2,340,952       1,708,271    
    Retained earnings 897,587       772,300    
    Accumulated other comprehensive income (332,272)      89,117    
    Total stockholders’ equity 2,907,374       2,570,681    
    Total liabilities and stockholders’ equity$26,417,187      $21,433,695    
    Net interest income (tax-equivalent)  $810,009     $681,300  
    Net interest spread (tax-equivalent)    3.26%     3.42%
    Net interest margin (tax-equivalent)    3.27%     3.42%

    ______________________________

    1 Includes tax effect of $6.3 million and $5.6 million on tax-exempt municipal loan and lease income for the nine months ended December 31, 2022 and 2021, 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 $14.5 million and $12.2 million on tax-exempt debt securities income for the nine months ended December 31, 2022 and 2021, respectively.
    4 Includes tax effect of $901 thousand and $990 thousand on federal income tax credits for the nine months ended December 31, 2022 and 2021, 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)Dec 31,
    2022    		 Sep 30,
    2022    		 Dec 31,
    2021    		 Sep 30,
    2022    		 Dec 31,
    2021
    Custom and owner occupied construction$298,461  $288,977  $263,758  3% 13%
    Pre-sold and spec construction 297,895   291,146   257,568  2% 16%
    Total residential construction 596,356   580,123   521,326  3% 14%
    Land development 219,842   217,878   185,200  1% 19%
    Consumer land or lots 206,604   204,241   173,305  1% 19%
    Unimproved land 104,662   101,684   81,064  3% 29%
    Developed lots for operative builders 60,987   62,800   41,840  (3)% 46%
    Commercial lots 93,952   94,395   99,418  — (5)%
    Other construction 938,406   893,846   762,970  5% 23%
    Total land, lot, and other construction 1,624,453   1,574,844   1,343,797  3% 21%
    Owner occupied 2,833,469   2,811,614   2,645,841  1% 7%
    Non-owner occupied 3,531,673   3,448,044   3,056,658  2% 16%
    Total commercial real estate 6,365,142   6,259,658   5,702,499  2% 12%
    Commercial and industrial 1,377,888   1,308,272   1,463,022  5% (6)%
    Agriculture 735,553   770,282   751,185  (5)% (2)%
    1st lien 1,808,502   1,738,151   1,393,267  4% 30%
    Junior lien 40,445   36,677   34,830  10% 16%
    Total 1-4 family 1,848,947   1,774,828   1,428,097  4% 29%
    Multifamily residential 622,185   574,366   545,001  8% 14%
    Home equity lines of credit 872,899   841,143   761,990  4% 15%
    Other consumer 220,035   219,036   207,513  — 6%
    Total consumer 1,092,934   1,060,179   969,503  3% 13%
    States and political subdivisions 797,656   776,875   615,251  3% 30%
    Other 198,012   193,526   153,147  2% 29%
    Total loans receivable, including
    loans held for sale    		 15,259,126   14,872,953   13,492,828  3% 13%
    Less loans held for sale 1 (12,314)   (21,720)   (60,797)  (43)% (80)%
    Total loans receivable$15,246,812  $14,851,233  $13,432,031  3% 14%

    ______________________________

    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)Dec 31,
    2022    		 Sep 30,
    2022    		 Dec 31,
    2021    		 Dec 31,
    2022    		 Dec 31,
    2022    		 Dec 31,
    2022
    Custom and owner occupied construction$224 227 237 224 — —
    Pre-sold and spec construction 389 1,016 — 389 — —
    Total residential construction 613 1,243 237 613 — —
    Land development 138 149 250 138 — —
    Consumer land or lots 278 285 309 145 133 —
    Unimproved land 78 94 124 78 — —
    Developed lots for operative builders 251 255 — 251 — —
    Other construction 12,884 12,884 12,884 12,884 — —
    Total land, lot and other construction 13,629 13,667 13,567 13,496 133 —
    Owner occupied 2,076 2,687 3,918 1,763 313 —
    Non-owner occupied 805 820 6,063 805 — —
    Total commercial real estate 2,881 3,507 9,981 2,568 313 —
    Commercial and Industrial 3,326 3,453 3,066 2,760 542 24
    Agriculture 2,574 4,102 29,151 2,574 — —
    1st lien 2,678 2,149 2,870 2,444 234 —
    Junior lien 166 139 136 159 7 —
    Total 1-4 family 2,844 2,288 3,006 2,603 241 —
    Multifamily residential 4,535 4,635 6,548 4,535 — —
    Home equity lines of credit 1,393 1,550 1,563 1,255 138 —
    Other consumer 911 555 460 747 156 8
    Total consumer 2,304 2,105 2,023 2,002 294 8
    Other 36 59 112 — 36 —
    Total$32,742 35,059 67,691 31,151 1,559 32


    Glacier Bancorp, Inc.
    Credit Quality Summary by Regulatory Classification (continued)

     Accruing 30-89 Days Delinquent Loans,  by Loan Type % Change from
    (Dollars in thousands)Dec 31,
    2022    		 Sep 30,
    2022    		 Dec 31,
    2021    		 Sep 30,
    2022    		 Dec 31,
    2021
    Custom and owner occupied construction$1,082 $427 $1,243 153% (13)%
    Pre-sold and spec construction 1,712  —  443 n/m 286%
    Total residential construction 2,794  427  1,686 554% 66%
    Land development —  596  — (100)% n/m
    Consumer land or lots 442  —  149 n/m 197%
    Unimproved land 120  36  305 233% (61)%
    Developed lots for operative builders 958  30  — 3,093% n/m
    Commercial lots 47  2,158  — (98)% n/m
    Other construction 209  —  30,788 n/m (99)%
    Total land, lot and other construction 1,776  2,820  31,242 (37)% (94)%
    Owner occupied 3,478  527  1,739 560% 100%
    Non-owner occupied 496  —  1,558 n/m (68)%
    Total commercial real estate 3,974  527  3,297 654% 21%
    Commercial and industrial 3,439  2,087  4,732 65% (27)%
    Agriculture 1,367  641  459 113% 198%
    1st lien 2,174  761  2,197 186% (1)%
    Junior lien 190  72  87 164% 118%
    Total 1-4 family 2,364  833  2,284 184% 4%
    Multifamily Residential 492  —  — n/m n/m
    Home equity lines of credit 1,182  1,004  1,994 18% (41)%
    Other consumer 1,824  1,089  1,681 67% 9%
    Total consumer 3,006  2,093  3,675 44% (18)%
    States and political subdivisions 28  —  1,733 n/m (98)%
    Other 1,727  1,494  1,458 16% 18%
    Total$20,967 $10,922 $50,566 92% (59)%

    ______________________________

    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)Dec 31,
    2022    		 Sep 30,
    2022    		 Dec 31,
    2021    		 Dec 31,
    2022    		 Dec 31,
    2022
    Custom and owner occupied construction$17  17  —  17 —
    Pre-sold and spec construction (15) (12) (15) — 15
    Total residential construction 2  5  (15) 17 15
    Land development (34) (24) (233) — 34
    Consumer land or lots (46) (46) (165) — 46
    Unimproved land —  —  (241) — —
    Total land, lot and other construction (80) (70) (639) — 80
    Owner occupied 555  229  (423) 1,968 1,413
    Non-owner occupied (242) (4) (357) — 242
    Total commercial real estate 313  225  (780) 1,968 1,655
    Commercial and industrial (70) 395  41  1,659 1,729
    Agriculture (7) (5) (20) — 7
    1st lien (109) (99) (331) — 109
    Junior lien (302) (303) (650) 6 308
    Total 1-4 family (411) (402) (981) 6 417
    Multifamily residential 136  —  (40) 203 67
    Home equity lines of credit (91) (98) (621) 85 176
    Other consumer 451  257  236  658 207
    Total consumer 360  159  (385) 743 383
    Other 7,572  5,540  5,148  10,374 2,802
    Total$7,815  5,847  2,329  14,970 7,155

    Visit our website at www.glacierbancorp.com

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


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