Glacier Bancorp, Inc. reported net income of $61.8 million for the current quarter, an increase of $10.7 million, or 21 percent from the prior quarter net income of $51.1 million and an increase of $7.4 million, or 14 percent, from the $54.3 million of net income for the prior year fourth quarter.
Diluted earnings per share for the current quarter was $0.54 per share, an increase of 20 percent from the prior quarter diluted earnings per share of $0.45 per share and an increase of 10 percent from the prior year fourth quarter diluted earnings per share of $0.49.
The increase in net income compared to the prior quarter was primarily driven by an increase in net interest income and a decrease in non-interest expenses.
The increase in net income compared to the prior year fourth quarter was due to the increase in net interest income which outpaced the increased costs associated with the acquisitions of Wheatland and RMB over the prior year fourth quarter.
“The Glacier team once again delivered another strong quarter and year,” said Randy Chesler, President and Chief Executive Officer. “Our positive earnings trends should continue into 2025 and we look forward to optimizing these trends with our focus on the financial markets, our customers and employees.”
Net income for 2024 was $190 million, a decrease of $32.8 million, or 15 percent, from the $223 million net income for the prior year. Diluted earnings per share for 2024 was $1.68 per share, a decrease of $0.33 per share from the prior year diluted earnings per share of $2.01. The decrease in net income for the current year compared to the prior year was primarily due to the significant increase in funding costs and a $8.6 million increase in acquisition-related expenses. Acquisition-related expense was $9.9 million in the current year compared to $1.3 million in the prior year. In addition, the 2024 results included increased operating costs and a $9.7 million provision for credit losses associated with the acquisitions of Wheatland and RMB.
On July 19, 2024, the Company completed the acquisition of six RMB branches in Montana. The branches have been combined with Glacier Bank divisions operating in Montana, including First Bank of Montana, First Security Bank of Bozeman, First Security Bank of Missoula, Valley Bank, and Western Security Bank. On January 31, 2024, the Company completed the acquisition of Wheatland, headquartered in Spokane, Washington. Wheatland had 14 branches in eastern Washington and was combined with the North Cascades Bank division under the name Wheatland Bank, division of Glacier Bank. The Wheatland Bank division now operates with a combined 20 branches in Central and Eastern Washington and is a Top 5 community bank by deposit share in Eastern Washington. The Company’s results of operations and financial condition include the Wheatland and RMB acquisitions beginning on the acquisition date of each. The following table discloses the preliminary fair value estimates of select classifications of assets and liabilities acquired:
| Wheatland | RMB | |||||||
| (Dollars in thousands) | January 31, 2024 |
July 19, 2024 |
Total | |||||
| Total assets | $ | 777,705 | $ | 403,052 | $ | 1,180,757 | ||
| Cash and cash equivalents | 12,926 | 76,781 | 89,707 | |||||
| Debt securities | 187,183 | — | 187,183 | |||||
| Loans receivable | 450,403 | 271,569 | 721,972 | |||||
| Non-interest bearing deposits | 277,651 | 93,534 | 371,185 | |||||
| Interest bearing deposits | 339,304 | 303,156 | 642,460 | |||||
| Borrowings | 58,500 | 4,305 | 62,805 | |||||
| Core deposit intangible | 16,936 | 11,808 | 28,744 | |||||
| Goodwill | 38,146 | 27,780 | 65,926 | |||||
Asset Summary
| $ Change from | |||||||||||||||
| (Dollars in thousands) | Dec 31, 2024 |
Sep 30, 2024 |
Dec 31, 2023 |
Sep 30, 2024 |
Dec 31, 2023 |
||||||||||
| Cash and cash equivalents | $ | 848,408 | 987,833 | 1,354,342 | (139,425 | ) | (505,934 | ) | |||||||
| Debt securities, available-for-sale | 4,245,205 | 4,436,578 | 4,785,719 | (191,373 | ) | (540,514 | ) | ||||||||
| Debt securities, held-to-maturity | 3,294,847 | 3,348,698 | 3,502,411 | (53,851 | ) | (207,564 | ) | ||||||||
| Total debt securities | 7,540,052 | 7,785,276 | 8,288,130 | (245,224 | ) | (748,078 | ) | ||||||||
| Loans receivable | |||||||||||||||
| Residential real estate | 1,858,929 | 1,837,697 | 1,704,544 | 21,232 | 154,385 | ||||||||||
| Commercial real estate | 10,963,713 | 10,833,841 | 10,303,306 | 129,872 | 660,407 | ||||||||||
| Other commercial | 3,119,535 | 3,177,051 | 2,901,863 | (57,516 | ) | 217,672 | |||||||||
| Home equity | 930,994 | 931,440 | 888,013 | (446 | ) | 42,981 | |||||||||
| Other consumer | 388,678 | 401,158 | 400,356 | (12,480 | ) | (11,678 | ) | ||||||||
| Loans receivable | 17,261,849 | 17,181,187 | 16,198,082 | 80,662 | 1,063,767 | ||||||||||
| Allowance for credit losses | (206,041 | ) | (205,170 | ) | (192,757 | ) | (871 | ) | (13,284 | ) | |||||
| Loans receivable, net | 17,055,808 | 16,976,017 | 16,005,325 | 79,791 | 1,050,483 | ||||||||||
| Other assets | 2,458,719 | 2,456,643 | 2,094,832 | 2,076 | 363,887 | ||||||||||
| Total assets | $ | 27,902,987 | 28,205,769 | 27,742,629 | (302,782 | ) | 160,358 | ||||||||
Total debt securities of $7.540 billion at December 31, 2024 decreased $245 million, or 3 percent, during the current quarter and decreased $748 million, or 9 percent, from the prior year fourth quarter. Debt securities represented 27 percent of total assets at December 31, 2024 compared to 30 percent at December 31, 2023.
The loan portfolio of $17.262 billion at December 31, 2024 increased $81 million, or 2 percent annualized, during the current quarter and increased $1.064 billion, or 7 percent, from the prior year end. Excluding the RMB and Wheatland acquisitions, the loan portfolio organically increased $342 million, or 2 percent, during 2024. Excluding the acquisitions, the loan category with the largest dollar increase during 2024 was commercial real estate which increased $234 million, or 2 percent.
