Kalispell-based Glacier Bancorp said Thursday that third-quarter net income reached a record $104.6 million, up 54% from a year earlier, as the holding company’s net interest margin crossed 4% for the first time in this cycle.
The company, which is headquartered at 49 Commons Loop in Kalispell and trades as GBCI, reported diluted earnings of 80 cents a share, or 81 cents on an operating basis. That beat the 79-cent average estimate from analysts surveyed by Zacks, the Associated Press reported. Revenue net of interest expense was $329.8 million.
According to the Oct. 22 earnings release filed with the Securities and Exchange Commission, net interest income was $290 million, up 29% from the year-ago quarter. The tax-equivalent net interest margin was 4.01%, 11 basis points higher than the second quarter and 62 basis points higher than a year earlier, the 11th consecutive quarter of margin expansion.
Loans stood at $21.62 billion at Sept. 30, up $256 million, or 5% annualized, from the prior quarter. Total deposits were $25.27 billion, up $619 million, or 10% annualized, and non-interest-bearing deposits rose $279 million to $7.70 billion. The average yield on earning assets was 5.23%. The cost of core deposits, including accounts that pay no interest, edged down to 1.17%.
“The quarter reflected continued earnings momentum, our 11th consecutive quarter of margin expansion, strong deposit growth, solid loan growth, and excellent credit performance,” President and CEO Randy Chesler said on the earnings call. He noted it was the first time quarterly net income had topped $100 million.
The board declared a 35-cent quarterly dividend, 2 cents higher than the prior quarter. The company said it has now declared 166 consecutive quarterly dividends and raised the payout 50 times.
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