Equibles

8-K

GLACIER BANCORP, INC. (GBCI)

8-K 2023-04-20 For: 2023-04-20
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Added on April 08, 2026

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

____________________________________________________________

FORM 8-K

____________________________________________________________

CURRENT REPORT

Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): April 20, 2023

____________________________________________________________

GLACIER BANCORP, INC.

(Exact name of registrant as specified in its charter)

____________________________________________________________

Montana 000-18911 81-0519541
(State or other jurisdiction <br>of incorporation) (Commission <br>File Number) (IRS Employer <br>Identification No.) 49 Commons Loop Kalispell, Montana 59901
--- --- --- ---
(Address of principal executive offices) (Zip Code) (406) 756-4200
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(Registrant’s telephone number, including area code)

____________________________________________________________

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class Trading Symbol(s) Name of each exchange on which registered
Common Stock, $0.01 par value GBCI The New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION

On April 20, 2023, Glacier Bancorp, Inc. ("Company") issued a press release announcing its financial results for the quarter ended March 31, 2023. A copy of the press release is attached as Exhibit 99.1 and is incorporated herein in its entirety by reference.

The information in this Item 2.02 and the Exhibit attached hereto is furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such document or filing.

Item 9.01 FINANCIAL STATEMENTS AND EXHIBITS

(d)    Exhibits

99.1    Glacier Bancorp, Inc. Announces Results for the Quarter and Year Ended March 31, 2023

104    Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Dated: April 20, 2023 GLACIER BANCORP, INC.
/s/ Randall M. Chesler
By: Randall M. Chesler
President and Chief Executive Officer

Document

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NEWS RELEASE

April 20, 2023

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

GLACIER BANCORP, INC. ANNOUNCES

RESULTS FOR THE QUARTER ENDED MARCH 31, 2023

1st Quarter 2023 Highlights:

•Net income was $61.2 million for the current quarter, a decrease of $18.5 million, or 23 percent, from the prior quarter net income of $79.7 million. Net income for the current quarter decreased $6.6 million, or 10 percent, from the prior year first quarter net income of $67.8 million.

•Interest income of $232 million in the current quarter increased $6.8 million, or 3 percent, over the prior quarter interest income of $225 million. Interest income in the current quarter increased $41.4 million, or 22 percent, over the prior year first quarter.

•Total deposits and retail repurchase agreements of $21.340 billion at the current quarter end increased $289 million, or 1 percent, during March and decreased $213 million, or 1 percent, during the current quarter.

•The loan portfolio of $15.519 billion, increased $272 million, or 7 percent annualized, during the current quarter.

•The loan yield for the current quarter of 5.02 percent, increased 19 basis points, compared to 4.83 percent in the prior quarter and increased 43 basis points from the prior year first quarter loan yield of 4.59 percent. New loan production yields for the quarter were 6.96 percent.

•The Company increased its cash position by $1.1 billion during the current quarter.

•Available liquidity of $15.1 billion including cash, borrowing capacity from the Federal Home Loan Bank (“FHLB”) and Federal Reserve facilities, unpledged securities, brokered deposits, and other sources.

•Non-performing assets as a percentage of subsidiary assets was 0.12 percent in the current and prior quarter, compared to 0.24 percent in the prior year first quarter.

•Stockholders’ equity of $2.927 billion increased $83.6 million, or 3 percent, during the current quarter.

•The Company declared a quarterly dividend of $0.33 per share. The Company has declared 152 consecutive quarterly dividends and has increased the dividend 49 times.

Financial Summary

At or for the Three Months ended
(Dollars in thousands, except per share and market data) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022
Operating results
Net income $ 61,211 79,677 67,795
Basic earnings per share $ 0.55 0.72 0.61
Diluted earnings per share $ 0.55 0.72 0.61
Dividends declared per share $ 0.33 0.33 0.33
Market value per share
Closing $ 42.01 49.42 50.28
High $ 50.03 59.70 60.69
Low $ 37.07 48.64 49.61
Selected ratios and other data
Number of common stock shares outstanding 110,868,713 110,777,780 110,763,316
Average outstanding shares - basic 110,824,648 110,773,084 110,724,655
Average outstanding shares - diluted 110,881,708 110,872,127 110,800,001
Return on average assets (annualized) 0.93 % 1.19 % 1.06 %
Return on average equity (annualized) 8.54 % 11.35 % 8.97 %
Efficiency ratio 60.39 % 53.18 % 57.11 %
Dividend payout 60.00 % 45.83 % 54.10 %
Loan to deposit ratio 77.09 % 74.05 % 63.52 %
Number of full time equivalent employees 3,390 3,390 3,439
Number of locations 222 221 223
Number of ATMs 263 265 273

KALISPELL, Mont., Apr 20, 2023 (GLOBE NEWSWIRE) - Glacier Bancorp, Inc. (NYSE: GBCI) reported net income of $61.2 million for the current quarter, a decrease of $6.6 million, or 10 percent, from the $67.8 million of net income for the prior year first quarter. Diluted earnings per share for the current quarter was $0.55 per share, a decrease of 10 percent from the prior year first quarter diluted earnings per share of $0.61. The decrease in net income versus the prior quarter and prior year first quarter is primarily due to the significant increase in funding costs. “The historic pace of the Federal Reserve interest rate increases and the banking crisis drove borrowing costs up further and impacted our profitability. Our ability to weather these events is a clear demonstration of the strength of our business model and our team,” said Randy Chesler, President and Chief Executive Officer. “We remain confident in the strength of our Company and the dynamic markets and customers we serve.”

Asset Summary

Change from
(Dollars in thousands) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022 Dec 31,2022
Cash and cash equivalents $ 1,529,534 401,995 436,805 1,127,539
Debt securities, available-for-sale 5,198,313 5,307,307 6,535,763 (108,994)
Debt securities, held-to-maturity 3,664,393 3,715,052 3,576,941 (50,659)
Total debt securities 8,862,706 9,022,359 10,112,704 (159,653)
Loans receivable
Residential real estate 1,508,403 1,446,008 1,125,648 62,395
Commercial real estate 9,992,019 9,797,047 8,865,585 194,972
Other commercial 2,804,104 2,799,668 2,661,048 4,436
Home equity 829,844 822,232 715,963 7,612
Other consumer 384,242 381,857 362,775 2,385
Loans receivable 15,518,612 15,246,812 13,731,019 271,800
Allowance for credit losses (186,604) (182,283) (176,159) (4,321)
Loans receivable, net 15,332,008 15,064,529 13,554,860 267,479
Other assets 2,078,186 2,146,492 1,995,955 (68,306)
Total assets $ 27,802,434 26,635,375 26,100,324 1,167,059

All values are in US Dollars.

Total debt securities of $8.863 billion at March 31, 2023 decreased $160 million, or 2 percent, during the current quarter and decreased $1.250 billion, or 12 percent, from the prior year first quarter. The Company continues to utilize cash flow from the securities portfolio to primarily fund loan growth. Debt securities represented 32 percent of total assets at March 31, 2023 compared to 34 percent at December 31, 2022 and 39 percent at March 31, 2022. In addition, the Company increased its cash position by $1.1 billion during the current quarter to further strengthen its liquidity position.

The loan portfolio of $15.519 billion increased $272 million, or 7 percent annualized, during the current quarter with the largest dollar increase in commercial real estate which increased $195 million, or 8 percent annualized. The loan portfolio increased $1.788 billion, or 13 percent, from the prior year first quarter with the largest dollar increase in commercial real estate loans which increased $1.126 billion, or 13 percent.

Credit Quality Summary

At or for the Three Months ended At or for the Year ended At or for the Three Months ended
(Dollars in thousands) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022
Allowance for credit losses
Balance at beginning of period $ 182,283 172,665 172,665
Provision for credit losses 6,260 17,433 4,344
Charge-offs (3,293) (14,970) (2,695)
Recoveries 1,354 7,155 1,845
Balance at end of period $ 186,604 182,283 176,159
Provision for credit losses
Loan portfolio $ 6,260 17,433 4,344
Unfunded loan commitments (790) 2,530 2,687
Total provision for credit losses $ 5,470 19,963 7,031
Other real estate owned $ — — —
Other foreclosed assets 31 32 43
Accruing loans 90 days or more past due 3,545 1,559 4,510
Non-accrual loans 28,403 31,151 57,923
Total non-performing assets $ 31,979 32,742 62,476
Non-performing assets as a percentage of subsidiary assets 0.12 % 0.12 % 0.24 %
Allowance for credit losses as a percentage of non-performing loans 584 % 557 % 282 %
Allowance for credit losses as a percentage of total loans 1.20 % 1.20 % 1.28 %
Net charge-offs as a percentage of total loans 0.01 % 0.05 % 0.01 %
Accruing loans 30-89 days past due $ 24,993 20,967 16,080
U.S. government guarantees included in non-performing assets $ 2,071 2,312 5,068

Non-performing assets of $32.0 million at March 31, 2023 decreased $763 thousand, or 2 percent, over the prior quarter and decreased $30.5 million, or 49 percent, over prior year first quarter. Non-performing assets as a percentage of subsidiary assets at March 31, 2023 was 0.12 percent compared to 0.12 percent in the prior quarter and 0.24 percent in the prior year first quarter.

Early stage delinquencies (accruing loans 30-89 days past due) of $24.9 million at March 31, 2023 increased $3.9 million from the prior quarter and increased $8.8 million from the prior year first quarter. Early stage delinquencies as a percentage of loans at March 31, 2023 was 16 basis points, which compared to 14 basis points in the prior quarter and 12 basis points from prior year first quarter.

The current quarter credit loss expense of $5.5 million included $6.3 million of credit loss expense from loans and $790 thousand of credit loss benefit from unfunded loan commitments. The allowance for credit losses on loans (“ACL”) as a percentage of total loans outstanding at March 31, 2023 was 1.20 percent which was the same compared to the prior quarter and an 8 basis points decrease from the prior year first quarter.

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

(Dollars in thousands) Provision for Credit Losses Loans Net Charge-Offs<br>(Recoveries) ACL<br>as a Percent<br>of Loans Accruing<br>Loans 30-89<br>Days Past Due<br>as a Percent of<br>Loans Non-Performing<br>Assets to<br>Total Subsidiary<br>Assets
First quarter 2023 $ 6,260 $ 1,939 1.20 % 0.16 % 0.12 %
Fourth quarter 2022 6,060 1,968 1.20 % 0.14 % 0.12 %
Third quarter 2022 8,382 3,154 1.20 % 0.07 % 0.13 %
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 %

Net charge-offs for the current and prior quarter of $2.0 million compared to $850 thousand for the prior year first quarter. Net charge-offs of $2.0 million included $2.0 million in deposit overdraft net charge-offs and $31 thousand of net loan recoveries.

The current quarter provision for credit loss expense for loans was $6.3 million which was an increase of $200 thousand from the prior quarter and a $1.9 million increase from the prior year first 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) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022 Dec 31,2022
Deposits
Non-interest bearing deposits $ 7,001,241 7,690,751 7,990,003 (689,510)
NOW and DDA accounts 5,156,709 5,330,614 5,376,881 (173,905)
Savings accounts 2,985,351 3,200,321 3,287,521 (214,970)
Money market deposit accounts 3,429,123 3,472,281 4,044,655 (43,158)
Certificate accounts 1,155,494 880,589 995,147 274,905
Core deposits, total 19,727,918 20,574,556 21,694,207 (846,638)
Wholesale deposits 420,390 31,999 3,688 388,391
Deposits, total 20,148,308 20,606,555 21,697,895 (458,247)
Repurchase agreements 1,191,323 945,916 958,479 245,407
Deposits and repurchase agreements, total 21,339,631 21,552,471 22,656,374 (212,840)
Federal Home Loan Bank advances 335,000 1,800,000 80,000 (1,465,000)
FRB Bank Term Funding 2,740,000 — — 2,740,000
Other borrowed funds 76,185 77,293 57,258 (1,108)
Subordinated debentures 132,822 132,782 132,661 40
Other liabilities 251,892 229,524 239,838 22,368
Total liabilities $ 24,875,530 23,792,070 23,166,131 1,083,460

All values are in US Dollars.

During the current quarter, the Company continued to focus on its diversified deposit and repurchase agreement product offerings. Total deposits and retail repurchase agreements of $21.340 billion at the current quarter end increased $289 million, or 1 percent, during March and decreased $213 million, or 1 percent, during the current quarter. Non-interest bearing deposits were 35 percent of total core deposits at March 31, 2023 compared to 37 percent at December 31, 2022 and March 31, 2022.

During the current quarter, the Company participated in the Bank Term Funding Program of the Federal Reserve Bank (“FRB”) which enabled the Company to pay off higher rate FHLB advances. The FHLB advances decreased $1.465 billion during the current quarter while FRB Bank Term funding increased $2.740 billion and was used to fund the FHLB pay down, support the additional $1.1 billion cash position and the current quarter decrease in deposits. The Company’s liquidity position remains strong with solid core deposit customer relationships, excess cash, debt securities, and access to diversified borrowing sources. The Company has available liquidity of $15.1 billion including cash, borrowing capacity from the FHLB and Federal Reserve facilities, unpledged securities, brokered deposits, and other sources.

Stockholders’ Equity Summary

Change from
(Dollars in thousands, except per share data) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022 Dec 31,2022
Common equity $ 3,337,132 3,312,097 3,182,002 25,035
Accumulated other comprehensive loss (410,228) (468,792) (247,809) 58,564
Total stockholders’ equity 2,926,904 2,843,305 2,934,193 83,599
Goodwill and core deposit intangible, net (1,024,545) (1,026,994) (1,034,987) 2,449
Tangible stockholders’ equity $ 1,902,359 1,816,311 1,899,206 86,048

All values are in US Dollars.

Stockholders’ equity to total assets 10.53 % 10.67 % 11.24 %
Tangible stockholders’ equity to total tangible assets 7.10 % 7.09 % 7.58 %
Book value per common share $ 26.40 25.67 26.49 0.73 (0.09)
Tangible book value per common share $ 17.16 16.40 17.15 0.76 0.01

Tangible stockholders’ equity of $1.902 billion at March 31, 2023 increased $86.0 million, or 5 percent, from the prior quarter which was primarily due to earnings retention and the decrease in the net unrealized loss (after-tax) on the AFS debt securities. Accumulated other comprehensive income (“AOCI”) includes the net unrealized loss (after-tax) on AFS debt securities. AOCI does not include $278 million of net unrealized loss on HTM debt securities. Tangible book value per common share of $17.16 at the current quarter end increased $0.76 per share, or 5 percent, from the prior quarter. The tangible book value per common share increased $0.01 per share from the prior year first quarter.

Cash Dividends

On March 29, 2023, the Company’s Board of Directors declared a quarterly cash dividend of $0.33 per share The current quarter dividend of $0.33 per share was consistent with the dividend declared in the prior quarter and the prior year first quarter. The dividend was payable April 20, 2023 to shareholders of record on April 11, 2023. The dividend was the Company’s 152nd 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 March 31, 2023

Compared to December 31, 2022, and March 31, 2022

Income Summary

Three Months ended $ Change from
(Dollars in thousands) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022 Dec 31,<br>2022 Mar 31,<br>2022
Net interest income
Interest income $ 231,888 225,085 190,516 6,803 41,372
Interest expense 45,696 21,026 4,961 24,670 40,735
Total net interest income 186,192 204,059 185,555 (17,867) 637
Non-interest income
Service charges and other fees 17,771 18,734 17,111 (963) 660
Miscellaneous loan fees and charges 3,967 3,905 3,555 62 412
Gain on sale of loans 2,400 2,175 9,015 225 (6,615)
(Loss) gain on sale of investments (114) 519 446 (633) (560)
Other income 3,871 3,150 3,436 721 435
Total non-interest income 27,895 28,483 33,563 (588) (5,668)
Total income 214,087 232,542 219,118 (18,455) (5,031)
Net interest margin (tax-equivalent) 3.08 % 3.30 % 3.20 %

Net Interest Income

The current quarter interest income of $232 million increased $6.8 million, or 3 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 $41.4 million, or 22 percent, over the prior year first quarter also due to loan growth and increased loan yields.

The current quarter interest expense of $45.7 million increased $24.7 million, or 117 percent, over the prior quarter and increased $40.7 million, or 821 percent, over the prior year first quarter primarily the result of an increase in rates on deposits and borrowings along with increased use of borrowing programs. Core deposit cost (including non-interest bearing deposits) was 23 basis points for the current quarter compared to 8 basis points in the prior quarter and 7 basis points for the prior year first quarter. The total cost of funding (including non-interest bearing deposits) was 79 basis points in the current quarter compared to 35 basis points in the prior quarter and 9 basis points in the prior year first quarter which was the result of the increased deposit 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 3.08 percent compared to 3.30 percent in the prior quarter and 3.20 percent in the prior year first quarter. The core net interest margin, excluding discount accretion, the impact from non-accrual interest and the impact from the PPP loans, was 3.07 percent compared to 3.27 percent in the prior quarter and 3.07 percent in the prior year first quarter. The core net interest margin decreased 20 basis points in the current quarter primarily as a result of increased deposit and borrowing rates. The loan yield of 5.02 percent in the current quarter increased 19 basis points from the prior quarter loan yield of 4.83 percent and increased 43 basis points from the prior year first quarter core loan yield of 4.59 percent. New loan production yields for the quarter were 6.96 percent.

Non-interest Income

Non-interest income for the current quarter totaled $27.9 million which was a decrease of $588 thousand, or 2 percent, over the prior quarter. Current quarter non-interest income decreased $5.7 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 $2.4 million for the current quarter increased $225 thousand, or 10 percent, compared to the prior quarter and decreased $6.6 million, or 73 percent, from the prior year first quarter.

Non-interest Expense Summary

Three Months ended $ Change from
(Dollars in thousands) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022 Dec 31,<br>2022 Mar 31,<br>2022
Compensation and employee benefits $ 81,477 79,814 79,074 1,663 2,403
Occupancy and equipment 11,665 10,734 10,964 931 701
Advertising and promotions 4,235 3,558 3,232 677 1,003
Data processing 8,109 8,079 7,475 30 634
Other real estate owned and foreclosed assets 12 5 — 7 12
Regulatory assessments and insurance 4,903 3,425 3,055 1,478 1,848
Core deposit intangibles amortization 2,449 2,664 2,664 (215) (215)
Other expenses 22,132 20,700 23,844 1,432 (1,712)
Total non-interest expense $ 134,982 128,979 130,308 6,003 4,674

Total non-interest expense of $135 million for the current quarter increased $6.0 million, or 5 percent, over the prior quarter and increased $4.7 million, or 4 percent, over the prior year first quarter. “In the current quarter, the Company has done well to limit the growth in its non-interest expense given the inflationary pressure across many expense areas,” said Ron Copher, Chief Financial Officer.

Compensation and employee expense of $81.5 million for the current quarter increased $1.7 million, or 2 percent, from the prior quarter and increased $2.4 million, or 3 percent, over the prior year first quarter which was driven primarily by annual salary increases. Regulatory assessments and insurance of $4.9 million, increased $1.5 million, or 43 percent, over the prior quarter and $1.8 million, or 60 percent, over the prior year first quarter and was primarily due to the FDIC uniformly increasing all depository institutions premiums in the current quarter. Other expense of $22.1 million in the current quarter increased $1.4 million, or 7 percent, over prior quarter due to a $2.5 million gain on sale of former branch in the prior quarter. Other expense in the current quarter decreased by $1.7 million, or 7 percent, over the prior year first quarter primarily as a result of a decrease in acquisition-related expense which was partially offset by increases in several miscellaneous expense categories. Acquisition-related expense was $352 thousand in the current quarter compared to $804 thousand in the prior quarter and $6.2 million in the prior year first quarter.

Federal and State Income Tax Expense

Tax expense during the first quarter of 2023 was $12.4 million, a decrease of $5.3 million, or 30 percent, compared to the prior quarter and a decrease of $1.6 million, or 11 percent, from the prior year first quarter. The effective tax rate in the current quarter was 16.9 percent compared to 18.2 percent in the prior quarter and 17.1 percent in the prior year first quarter.

Efficiency Ratio

The efficiency ratio was 60.39 percent in the current quarter compared to 53.18 percent in the prior quarter and 57.11 percent in the prior year first quarter. The increase from prior quarter and prior year first quarter was primarily attributable to the increase in interest expense and non-interest expense in the current quarter.

Forward-Looking Statements

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

•risks associated with lending and potential adverse changes in the credit quality of the Company’s loan portfolio;

•changes in monetary and fiscal policies, including interest rate policies of the Federal Reserve Board, which could adversely affect the Company’s net interest income and margin, the fair value of its financial instruments, profitability, and stockholders’ equity;

•legislative or regulatory changes, including increased banking and consumer protection regulations, that may adversely affect the Company’s business;

•risks related to overall economic conditions, including the impact on the economy of a rising interest rate environment, inflationary pressures, and geopolitical instability, including the war in Ukraine;

•risks associated with the Company’s ability to negotiate, complete, and successfully integrate any future acquisitions;

•costs or difficulties related to the completion and integration of acquisitions;

•impairment of the goodwill recorded by the Company in connection with acquisitions, which may have an adverse impact on earnings and capital;

•reduction in demand for banking products and services, whether as a result of changes in customer behavior, economic conditions, banking environment, or competition;

•deterioration of the reputation of banks and the financial services industry, which could adversely affect the Company's ability to obtain and maintain customers;

•changes in the competitive landscape, including as may result from new market entrants or further consolidation in the financial services industry, resulting in the creation of larger competitors with greater financial resources;

•risks presented by continued public stock market volatility, which could adversely affect the market price of the Company’s common stock and the ability to raise additional capital or grow through acquisitions;

•risks associated with dependence on the Chief Executive Officer, the senior management team and the Presidents of Glacier Bank’s divisions;

•material failure, potential interruption or breach in security of the Company’s systems or changes in technological which could expose the Company to cybersecurity risks, fraud, system failures, or direct liabilities;

•risks related to natural disasters, including droughts, fires, floods, earthquakes, pandemics, and other unexpected events;

•success in managing risks involved in the foregoing; and

•effects of any reputational damage to the Company resulting from any of the foregoing.

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

Conference Call Information

A conference call for investors is scheduled for 11:00 a.m. Eastern Time on Friday, April 21, 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/BIf72fb20b6829459481a06c788c220716. To participate on the webcast, log on to: https://edge.media-server.com/mmc/p/yix5vmcy. 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) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022
Assets
Cash on hand and in banks $ 290,960 300,194 282,335
Interest bearing cash deposits 1,238,574 101,801 154,470
Cash and cash equivalents 1,529,534 401,995 436,805
Debt securities, available-for-sale 5,198,313 5,307,307 6,535,763
Debt securities, held-to-maturity 3,664,393 3,715,052 3,576,941
Total debt securities 8,862,706 9,022,359 10,112,704
Loans held for sale, at fair value 14,461 12,314 51,284
Loans receivable 15,518,612 15,246,812 13,731,019
Allowance for credit losses (186,604) (182,283) (176,159)
Loans receivable, net 15,332,008 15,064,529 13,554,860
Premises and equipment, net 399,740 398,100 373,123
Other real estate owned and foreclosed assets 31 32 43
Accrued interest receivable 90,642 83,538 81,467
Deferred tax asset 172,453 193,187 120,025
Core deposit intangible, net 39,152 41,601 49,594
Goodwill 985,393 985,393 985,393
Non-marketable equity securities 23,414 82,015 13,217
Bank-owned life insurance 168,235 169,068 167,298
Other assets 184,665 181,244 154,511
Total assets $ 27,802,434 26,635,375 26,100,324
Liabilities
Non-interest bearing deposits $ 7,001,241 7,690,751 7,990,003
Interest bearing deposits 13,147,067 12,915,804 13,707,892
Securities sold under agreements to repurchase 1,191,323 945,916 958,479
FHLB advances 335,000 1,800,000 80,000
FRB Bank Term Funding 2,740,000 — —
Other borrowed funds 76,185 77,293 57,258
Subordinated debentures 132,822 132,782 132,661
Accrued interest payable 8,968 4,331 2,284
Other liabilities 242,924 225,193 237,554
Total liabilities 24,875,530 23,792,070 23,166,131
Commitments and Contingent Liabilities — — —
Stockholders’ Equity
Preferred shares, $0.01 par value per share, 1,000,000 shares authorized, none issued or outstanding — — —
Common stock, $0.01 par value per share, 234,000,000 shares authorized at March 31, 2023 and December 31, 2022 and 117,187,500 shares authorized at March 31, 2022 1,109 1,108 1,108
Paid-in capital 2,344,514 2,344,005 2,339,405
Retained earnings - substantially restricted 991,509 966,984 841,489
Accumulated other comprehensive loss (410,228) (468,792) (247,809)
Total stockholders’ equity 2,926,904 2,843,305 2,934,193
Total liabilities and stockholders’ equity $ 27,802,434 26,635,375 26,100,324

Glacier Bancorp, Inc.

Unaudited Condensed Consolidated Statements of Operations

Three Months ended
(Dollars in thousands, except per share data) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022
Interest Income
Investment securities $ 43,642 43,818 38,654
Residential real estate loans 15,838 14,964 15,515
Commercial loans 155,682 150,462 124,556
Consumer and other loans 16,726 15,841 11,791
Total interest income 231,888 225,085 190,516
Interest Expense
Deposits 12,545 4,642 3,464
Securities sold under agreements to<br><br>repurchase 4,606 1,765 393
Federal Home Loan Bank advances 23,605 12,689 12
FRB Bank Term Funding 3,032 — —
Other borrowed funds 496 464 220
Subordinated debentures 1,412 1,466 872
Total interest expense 45,696 21,026 4,961
Net Interest Income 186,192 204,059 185,555
Provision for credit losses 5,470 6,124 7,031
Net interest income after provision for credit losses 180,722 197,935 178,524
Non-Interest Income
Service charges and other fees 17,771 18,734 17,111
Miscellaneous loan fees and charges 3,967 3,905 3,555
Gain on sale of loans 2,400 2,175 9,015
(Loss) gain on sale of debt securities (114) 519 446
Other income 3,871 3,150 3,436
Total non-interest income 27,895 28,483 33,563
Non-Interest Expense
Compensation and employee benefits 81,477 79,814 79,074
Occupancy and equipment 11,665 10,734 10,964
Advertising and promotions 4,235 3,558 3,232
Data processing 8,109 8,079 7,475
Other real estate owned and foreclosed assets 12 5 —
Regulatory assessments and insurance 4,903 3,425 3,055
Core deposit intangibles amortization 2,449 2,664 2,664
Other expenses 22,132 20,700 23,844
Total non-interest expense 134,982 128,979 130,308
Income Before Income Taxes 73,635 97,439 81,779
Federal and state income tax expense 12,424 17,762 13,984
Net Income $ 61,211 79,677 67,795

Glacier Bancorp, Inc.

Average Balance Sheets

Three Months ended
March 31, 2023 December 31, 2022
(Dollars in thousands) Average<br>Balance Interest &<br>Dividends Average<br>Yield/<br>Rate Average<br>Balance Interest &<br>Dividends Average<br>Yield/<br>Rate
Assets
Residential real estate loans $ 1,493,938 $ 15,838 4.24 % $ 1,424,550 $ 14,964 4.20 %
Commercial loans 1 12,655,551 157,456 5.05 % 12,419,414 152,169 4.86 %
Consumer and other loans 1,207,315 16,726 5.62 % 1,183,727 15,841 5.31 %
Total loans 2 15,356,804 190,020 5.02 % 15,027,691 182,974 4.83 %
Tax-exempt debt securities 3 1,761,533 16,030 3.64 % 1,960,007 17,877 3.65 %
Taxable debt securities 4 8,052,662 31,084 1.54 % 8,200,203 29,717 1.45 %
Total earning assets 25,170,999 237,134 3.82 % 25,187,901 230,568 3.63 %
Goodwill and intangibles 1,025,716 1,028,277
Non-earning assets 478,962 436,260
Total assets $ 26,675,677 $ 26,652,438
Liabilities
Non-interest bearing deposits $ 7,274,228 $ — — % $ 8,010,053 $ — — %
NOW and DDA accounts 5,080,175 2,271 0.18 % 5,388,062 1,077 0.08 %
Savings accounts 3,107,559 514 0.07 % 3,255,091 355 0.04 %
Money market deposit accounts 3,468,953 5,834 0.68 % 3,679,866 2,168 0.23 %
Certificate accounts 984,770 2,584 1.06 % 882,490 834 0.37 %
Total core deposits 19,915,685 11,203 0.23 % 21,215,562 4,434 0.08 %
Wholesale deposits 5 120,468 1,342 4.52 % 22,462 208 3.69 %
Repurchase agreements 1,035,582 4,606 1.80 % 873,819 1,765 0.80 %
FHLB advances 1,990,833 23,605 4.74 % 1,291,087 12,689 3.85 %
FRB Bank Term Funding 280,944 3,032 4.32 % — — — %
Subordinated debentures and other borrowed funds 209,547 1,908 3.69 % 211,953 1,930 3.61 %
Total funding liabilities 23,553,059 45,696 0.79 % 23,614,883 21,026 0.35 %
Other liabilities 217,245 252,298
Total liabilities 23,770,304 23,867,181
Stockholders’ Equity
Common stock 1,108 1,108
Paid-in capital 2,344,301 2,343,157
Retained earnings 998,340 946,195
Accumulated other comprehensive loss (438,376) (505,203)
Total stockholders’ equity 2,905,373 2,785,257
Total liabilities and stockholders’ equity $ 26,675,677 $ 26,652,438
Net interest income (tax-equivalent) $ 191,438 $ 209,542
Net interest spread (tax-equivalent) 3.03 % 3.28 %
Net interest margin (tax-equivalent) 3.08 % 3.30 %

______________________________

1 Includes tax effect of $1.8 million and $1.7 million on tax-exempt municipal loan and lease income for the three months ended March 31, 2023 and December 31, 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 $3.3 million and $3.6 million on tax-exempt debt securities income for the three months ended March 31, 2023 and December 31, 2022, respectively.

4 Includes tax effect of $215 thousand and $225 thousand on federal income tax credits for the three months ended March 31, 2023 and December 31, 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
March 31, 2023 March 31, 2022
(Dollars in thousands) Average<br>Balance Interest &<br>Dividends Average<br>Yield/<br>Rate Average<br>Balance Interest &<br>Dividends Average<br>Yield/<br>Rate
Assets
Residential real estate loans $ 1,493,938 $ 15,838 4.24 % $ 1,140,224 $ 15,515 5.44 %
Commercial loans 1 12,655,551 157,456 5.05 % 11,318,767 125,919 4.51 %
Consumer and other loans 1,207,315 16,726 5.62 % 1,075,102 11,791 4.45 %
Total loans 2 15,356,804 190,020 5.02 % 13,534,093 153,225 4.59 %
Tax-exempt debt securities 3 1,761,533 16,030 3.64 % 1,723,125 15,664 3.64 %
Taxable debt securities 4 8,052,662 31,084 1.54 % 8,883,211 26,465 1.19 %
Total earning assets 25,170,999 237,134 3.82 % 24,140,429 195,354 3.28 %
Goodwill and intangibles 1,025,716 1,036,315
Non-earning assets 478,962 756,422
Total assets $ 26,675,677 $ 25,933,166
Liabilities
Non-interest bearing deposits $ 7,274,228 $ — — % $ 7,859,706 $ — — %
NOW and DDA accounts 5,080,175 2,271 0.18 % 5,279,984 845 0.06 %
Savings accounts 3,107,559 514 0.07 % 3,246,512 332 0.04 %
Money market deposit accounts 3,468,953 5,834 0.68 % 4,030,795 1,381 0.14 %
Certificate accounts 984,770 2,584 1.06 % 1,019,595 897 0.36 %
Total core deposits 19,915,685 11,203 0.23 % 21,436,592 3,455 0.07 %
Wholesale deposits 5 120,468 1,342 4.52 % 17,191 9 0.22 %
Repurchase agreements 1,035,582 4,606 1.80 % 970,544 393 0.16 %
FHLB advances 1,990,833 23,605 4.74 % 15,000 12 0.33 %
FRB Bank Term Funding 280,944 3,032 4.32 % — — — %
Subordinated debentures and other borrowed funds 209,547 1,908 3.69 % 179,725 1,092 2.46 %
Total funding liabilities 23,553,059 45,696 0.79 % 22,619,052 4,961 0.09 %
Other liabilities 217,245 249,316
Total liabilities 23,770,304 22,868,368
Stockholders’ Equity
Common stock 1,108 1,107
Paid-in capital 2,344,301 2,338,887
Retained earnings 998,340 847,172
Accumulated other comprehensive loss (438,376) (122,368)
Total stockholders’ equity 2,905,373 3,064,798
Total liabilities and stockholders’ equity $ 26,675,677 $ 25,933,166
Net interest income (tax-equivalent) $ 191,438 $ 190,393
Net interest spread (tax-equivalent) 3.03 % 3.19 %
Net interest margin (tax-equivalent) 3.08 % 3.20 %

______________________________

1 Includes tax effect of $1.8 million and $1.4 million on tax-exempt municipal loan and lease income for the three months ended March 31, 2023 and 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 $3.3 million and $3.3 million on tax-exempt debt securities income for the three months ended March 31, 2023 and 2022, respectively.

4 Includes tax effect of $215 thousand and $225 thousand on federal income tax credits for the three months ended March 31, 2023 and 2022, 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) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022 Dec 31,<br>2022 Mar 31,<br>2022
Custom and owner occupied construction $ 295,604 $ 298,461 $ 265,579 (1) % 11 %
Pre-sold and spec construction 312,715 297,895 258,429 5 % 21 %
Total residential construction 608,319 596,356 524,008 2 % 16 %
Land development 230,823 219,842 180,270 5 % 28 %
Consumer land or lots 187,498 206,604 184,217 (9) % 2 %
Unimproved land 104,811 104,662 90,498 — % 16 %
Developed lots for operative builders 69,896 60,987 61,276 15 % 14 %
Commercial lots 91,780 93,952 98,403 (2) % (7) %
Other construction 965,244 938,406 833,218 3 % 16 %
Total land, lot, and other construction 1,650,052 1,624,453 1,447,882 2 % 14 %
Owner occupied 2,885,798 2,833,469 2,675,681 2 % 8 %
Non-owner occupied 3,631,158 3,531,673 3,190,519 3 % 14 %
Total commercial real estate 6,516,956 6,365,142 5,866,200 2 % 11 %
Commercial and industrial 1,353,919 1,377,888 1,378,500 (2) % (2) %
Agriculture 715,863 735,553 731,248 (3) % (2) %
1st lien 1,864,294 1,808,502 1,466,279 3 % 27 %
Junior lien 42,397 40,445 33,438 5 % 27 %
Total 1-4 family 1,906,691 1,848,947 1,499,717 3 % 27 %
Multifamily residential 649,148 622,185 545,483 4 % 19 %
Home equity lines of credit 893,037 872,899 753,362 2 % 19 %
Other consumer 224,125 220,035 207,827 2 % 8 %
Total consumer 1,117,162 1,092,934 961,189 2 % 16 %
States and political subdivisions 806,878 797,656 659,742 1 % 22 %
Other 208,085 198,012 168,334 5 % 24 %
Total loans receivable, including<br><br>loans held for sale 15,533,073 15,259,126 13,782,303 2 % 13 %
Less loans held for sale 1 (14,461) (12,314) (51,284) 17 % (72) %
Total loans receivable $ 15,518,612 $ 15,246,812 $ 13,731,019 2 % 13 %

______________________________

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-<br>Accrual<br>Loans Accruing<br>Loans 90<br>Days<br>or More Past<br>Due Other real estate owned and foreclosed assets
(Dollars in thousands) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022 Mar 31,<br>2023 Mar 31,<br>2023 Mar 31,<br>2023
Custom and owner occupied construction $ 220 224 233 220 — —
Pre-sold and spec construction 1,548 389 — — 1,548 —
Total residential construction 1,768 613 233 220 1,548 —
Land development 129 138 240 129 — —
Consumer land or lots 112 278 160 112 — —
Unimproved land 51 78 128 51 — —
Developed lots for operative builders 607 251 — — 607 —
Commercial lots 188 — — 141 47 —
Other construction 12,884 12,884 12,884 12,884 — —
Total land, lot and other construction 13,971 13,629 13,412 13,317 654 —
Owner occupied 2,682 2,076 3,508 2,424 258 —
Non-owner occupied 4,544 805 1,526 4,539 5 —
Total commercial real estate 7,226 2,881 5,034 6,963 263 —
Commercial and Industrial 2,001 3,326 4,252 1,715 262 24
Agriculture 2,573 2,574 28,801 2,208 365 —
1st lien 2,015 2,678 2,015 1,950 65 —
Junior lien 111 166 301 105 6 —
Total 1-4 family 2,126 2,844 2,316 2,055 71 —
Multifamily residential — 4,535 6,469 — — —
Home equity lines of credit 1,225 1,393 1,416 1,042 183 —
Other consumer 1,062 911 543 883 172 7
Total consumer 2,287 2,304 1,959 1,925 355 7
Other 27 36 — — 27 —
Total $ 31,979 32,742 62,476 28,403 3,545 31

Glacier Bancorp, Inc.

Credit Quality Summary by Regulatory Classification (continued)

Accruing 30-89 Days Delinquent Loans,  by Loan Type % Change from
(Dollars in thousands) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022 Dec 31,<br>2022 Mar 31,<br>2022
Custom and owner occupied construction $ 1,624 $ 1,082 $ 703 50 % 131 %
Pre-sold and spec construction — 1,712 — (100) % n/m
Total residential construction 1,624 2,794 703 (42) % 131 %
Land development 946 — 317 n/m 198 %
Consumer land or lots 668 442 28 51 % 2,286 %
Unimproved land — 120 — (100) % n/m
Developed lots for operative builders — 958 142 (100) % (100) %
Commercial lots — 47 54 (100) % (100) %
Other construction 5,264 209 — 2,419 % n/m
Total land, lot and other construction 6,878 1,776 541 287 % 1,171 %
Owner occupied 1,783 3,478 3,778 (49) % (53) %
Non-owner occupied 429 496 266 (14) % 61 %
Total commercial real estate 2,212 3,974 4,044 (44) % (45) %
Commercial and industrial 3,677 3,439 3,275 7 % 12 %
Agriculture 947 1,367 162 (31) % 485 %
1st lien 3,321 2,174 2,963 53 % 12 %
Junior lien 385 190 78 103 % 394 %
Total 1-4 family 3,706 2,364 3,041 57 % 22 %
Multifamily Residential 201 492 — (59) % n/m
Home equity lines of credit 2,804 1,182 1,315 137 % 113 %
Other consumer 1,598 1,824 1,097 (12) % 46 %
Total consumer 4,402 3,006 2,412 46 % 83 %
States and political subdivisions — 28 21 (100) % (100) %
Other 1,346 1,727 1,881 (22) % (28) %
Total $ 24,993 $ 20,967 $ 16,080 19 % 55 %

______________________________

n/m - not measurable

Glacier Bancorp, Inc.

Credit Quality Summary by Regulatory Classification (continued)

Net Charge-Offs (Recoveries), Year-to-Date<br>Period Ending, By Loan Type Charge-Offs Recoveries
(Dollars in thousands) Mar 31,<br>2023 Dec 31,<br>2022 Mar 31,<br>2022 Mar 31,<br>2023 Mar 31,<br>2023
Custom and owner occupied construction $ — 17 — — —
Pre-sold and spec construction (4) (15) (4) — 4
Total residential construction (4) 2 (4) — 4
Land development — (34) (21) — —
Consumer land or lots — (46) (10) — —
Total land, lot and other construction — (80) (31) — —
Owner occupied (68) 555 (386) — 68
Non-owner occupied 298 (242) (2) 300 2
Total commercial real estate 230 313 (388) 300 70
Commercial and industrial (382) (70) (449) 24 406
Agriculture — (7) (2) — —
1st lien 44 (109) (9) 47 3
Junior lien (5) (302) (78) — 5
Total 1-4 family 39 (411) (87) 47 8
Multifamily residential — 136 — — —
Home equity lines of credit (39) (91) (5) 4 43
Other consumer 125 451 55 160 35
Total consumer 86 360 50 164 78
Other 1,970 7,572 1,761 2,758 788
Total $ 1,939 7,815 850 3,293 1,354

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