GBCI

• Overall Financial Results • Management reported strong Q2 2026 results driven by net interest income growth and net interest margin expansion • The company has maintained 165 consecutive quarterly dividends, with 49 total dividend increases in its history, and declared a Q2 2026 quarterly dividend of 33 cents per share • Expense control is a key priority, with acquisition-related expenses declining significantly from Q1 and the operating efficiency ratio improving substantially

• Balance Sheet and Funding Profile • The company achieved continued improvement in its funding profile, with total deposit costs declining sequentially • Overall deposit levels remain stable and comfortably support the company's liquidity and funding strategy • Glacier purchased $250 million in bonds in Q2 2026, marking a slow return to bond market investing to deploy excess cash

• Credit Quality • Credit quality remains excellent, aligned with the firm's disciplined underwriting culture • Early-stage delinquencies declined sequentially, while non-performing assets saw a modest increase but remain low as a percentage of total subsidiary assets • The allowance for credit loss equals 1.22% of total loans, reflecting a conservative, consistent approach to reserving

• Strategic Positioning • The company operates a community banking model focused on disciplined loan production across attractive U.S. Mountain West and Southwest markets • 75% of the firm's footprint is rural, which helps insulate it from aggressive deposit competition and supports lower core deposit costs, a dynamic management expects to continue • The firm is positioned to capitalize on customer dislocation from recent large bank acquisitions in its target markets, with early positive trends already observed

• Deposit costs: Assuming the Federal Reserve holds interest rates steady, management expects deposit costs to remain stable at current levels going forward; any future Fed rate hikes would require an adjustment to this outlook
• Full-year 2026 operating expenses: Management maintains the prior full-year expense guidance range of $187 million to $192 million, despite Q2 expenses coming in below the range, to account for potential return of delayed discretionary spending in the second half of the year
• Loan growth: Management expects Q3 2026 to remain a seasonally strong quarter for loan growth, consistent with historical trends, and the overall loan pipeline remains healthy
• Net interest margin: Management expects the net interest margin to reach 4% by early Q4 2026, and exit full-year 2026 above 4%. Longer-term, management forecasts the margin will normalize in a range between 4% and 4.5% (the firm's historical norm), with continued margin expansion expected throughout 2027. A steeper yield curve and stronger loan growth could push the margin toward the higher end of the long-term range
• Average earning assets (AEA): After a Q2 2026 decline driven by residual effects of prior deleveraging and FHLB advance paydowns, management expects AEA to expand in both Q3 and Q4 2026
• M&A activity: Official for-sale deal pipelines from investment banks remain muted, though ongoing informal discussions with potential targets are progressing at a steady pace. Management expects official deal activity to pick up toward the end of 2026
• Capital management: Capital is currently strong and expected to continue growing with earnings; management is evaluating all capital return options and retains full strategic flexibility

Glacier Bancorp is a single-segment community banking firm, so separate product segment financial performance is not provided in the transcript. Overall firm Q2 2026 results: net income of $97.9 million, up 19% quarter-over-quarter (QoQ) and 85% year-over-year (YoY); diluted EPS of $0.75, up 19% QoQ and 67% YoY; net interest income of $276 million, up 3% QoQ and 33% YoY; tax equivalent net interest margin of 3.9%, expanding 10 bps QoQ and 69 bps YoY; pre-tax, pre-provision net revenue (PPNR) of $130.8 million, up 23% QoQ and 53% YoY. End-of-period loans totaled $21.4 billion, growing $330 million (6% annualized) QoQ. Total average deposits were $24.5 billion (up $112 million, 2% annualized QoQ), while end-of-period deposits were $24.7 billion, down slightly QoQ. Non-interest-bearing deposits held steady at 30% of total deposits. Total cost of funding declined to 1.33% (down 7 bps QoQ, 30 bps YoY); core deposit cost including non-interest bearing deposits was 1.18%, down 2 bps QoQ. The operating efficiency ratio improved to 56.21% from 63.05% QoQ, as acquisition-related expenses declined meaningfully. For H1 2026, net income was $180 million (up 68% YoY), diluted EPS was $1.38 (up 48% YoY), net interest income was $545 million (up 37% YoY), and the tax equivalent net interest margin was 3.85% (up 73 bps YoY).

• The agriculture loan segment has faced ongoing industry headwinds, so management continues to monitor this segment closely, even though 2025 results were stronger than anticipated and 2026 is off to a solid start
• Pricing competition for new loan production is most intense in large metro areas (where Glacier has lower market share), though competition has not intensified for underwriting standards or loan structure, which remains stable
• Aggregate deposit competition remains strong, though management notes it is currently rational, with only a small number of outlier market participants
• Future Federal Reserve interest rate hikes would put upward pressure on deposit costs, requiring a revision to the current stable deposit cost outlook
• Early trends from customer dislocation related to large bank acquisitions in Glacier's markets are positive, but the full impact is still uncertain as the transactions are relatively recent

Q: What is Glacier's current spot deposit cost, what is the outlook for future deposit costs assuming the Fed holds rates steady, and how is deposit competition trending? / A: The spot deposit cost at the end of Q2 2026 matched the quarterly average of 1.18%. If the Fed stays on hold, management expects deposit costs to remain stable at current levels. Deposit competition remains strong but rational, with no recent change in competitive dynamics; Glacier's rural market focus and relationship-focused banking model support lower cost deposits, and this dynamic is not expected to change.

Q: Loan growth stepped up in Q2 2026, what is the pipeline outlook for Q3 2026 and how is loan growth split across regions? / A: Q2 and Q3 are historically seasonally stronger quarters for loan growth, and this trend is expected to hold in 2026. The loan pipeline remains healthy, with solid pull-through and tailwinds from construction draws and the annual agricultural growth season expected to continue into Q3. After Q1 2026 growth led by Texas (Southwest region), the Mountain West region delivered strong growth in Q2 while the Southwest rebuilds its pipeline, with healthy growth pipelines across both core regions.

Q: How does management view the net interest margin trajectory, including the 2026 exit rate and long-term normalized margin levels? / A: The Q2 2026 headwinds from lower discount accretion and non-accrual interest reversals were an anomaly, not expected to continue, and Q2's accretion level is considered normal for modeling. Management expects to reach a 4% net interest margin by early Q4 2026, exiting 2026 above 4%. Longer term, the margin is expected to normalize in a 4% to 4.5% range, with continued expansion through 2027; a steeper yield curve and strong loan growth could push the margin toward the higher end of this range.

Q: M&A activity nationally has picked up after a quiet start to the year, what is the current level of deal discussion for Glacier? / A: Informal, non-process discussions with potential targets continue to progress at a steady pace. However, the official investment-bank-led deal pipeline (where targets are formally put up for sale) remains muted, similar to last quarter. Management expects official deal activity to begin increasing toward the end of 2026.

Q: With capital building amid improving profitability, what is management's current approach to capital management? / A: Glacier's capital position is already strong, and it will continue to grow organically with earnings. Management notes it has full flexibility for capital deployment, is actively evaluating all available capital return options, and ongoing internal discussions are still in progress with no final decisions announced.