GLACIER BANCORP, INC. Q4 FY2024 earnings call

• Glacier Bancorp had a strong fourth quarter with diluted earnings per share of $0.54, up 20% from prior quarter and 10% from prior year fourth quarter. Net income was $61.8 million, up 21% QoQ and 14% YoY.
• Net interest margin was 2.97% for current quarter, up 14bps QoQ and 41bps YoY. Net interest income was $191 million, up 6% QoQ and 15% YoY.
• Loan portfolio of $17.3 billion increased 2% annualized. Total deposits $20.5 billion, down 1% QoQ but up 3% YoY. Non-interest expense $141 million, down 3% QoQ. Non-interest income $31.5 million, down 9% QoQ but up 2% YoY.
• In 2024, closed two acquisitions: Rocky Mountain branches in Montana and Wheatland Bank in Eastern Washington. Proposed acquisition of Bank of Idaho, a $1.3 billion bank, strategically expands presence in high-growth markets.

The loan portfolio of $17.3 billion increased $81 million or 2% annualized during the current quarter. Total deposits of $20.5 billion at the end of 2024 decreased $168 million or 1% from the prior quarter and increased $618 million or 3% from the prior year-end. The net interest margin as a percentage of earning assets on a tax equivalent basis for the current quarter was 2.97%, an increase of 14 basis points from the prior quarter. Net interest income was $191 million for the current quarter, an increase of $11.2 million or 6% from the prior quarter.

• Margin expected to be in 3.20% to 3.25% range for 2025.
• Loan growth expected to be low to mid-single-digit.
• Net interest income guide $320 million to $325 million for the year.
• Expense guide $151 million to $154 million per quarter, with Bank of Idaho acquisition adding $9 million to $10 million per quarter.

Q: Jeff Rulis inquired about margin path and loan growth.

A: Byron Pollan discussed continued margin growth but slower pace in Q1, asset repricing, security runoff, FHLB borrowings maturing, and Bank of Idaho transaction.

Q: Matthew Clark asked about margin guide, loan yields.

A: Byron Pollan talked about margin guide, loan yield expansion, floating rate loans, and repricing of $2 billion loans.

Q: David Feaster asked about deposits, credit, competitive landscape.

A: Byron Pollan and Tom Dolan talked about deposit costs, credit trends, and competitive pricing.

Q: Andrew Terell asked about margin, non-interest-bearing deposits.

A: Byron Pollan discussed securities cash flow, FHLB borrowings, and deposit flows.

Q: Kelly Motta asked about loan growth, balance sheet, expenses.

A: Tom Dolan and Ron Copher talked about loan growth including Bank of Idaho, balance sheet delevering, and expense guidance.

Q: Jeff Rulis asked about credit, provision.

A: Tom Dolan talked about charge-offs, provision expense, and construction bucket loans.