Glacier Bancorp, Inc. (NYSE:GBCI) Q3 2022 Earnings Conference Call October 21, 2022 11:00 AM ET

Company Participants

Randall Chesler - President & CEO

Ron Copher - CFO

Tom Dolan - Chief Credit Administrator

Byron Pollan - Treasurer

Conference Call Participants

Jeff Rulis - D.A. Davidson

Brandon King - Truist Securities

Matthew Clark - Piper Sandler

Kelly Motta - KBW

Tim Coffey - Janney

David Feaster - Raymond James

Operator

Good day, and thank you for standing by. Welcome to the Glacier Bancorp Third Quarter Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers’ presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today's conference is being recorded.

I would now like to hand the conference over to your speaker today, Randy Chesler, President and CEO. Please go ahead.

Randall Chesler

All right. Thank you, Victor, and good morning, and thank you for joining us today. With me here in Kalispell this morning is Ron Copher, our Chief Financial Officer; Don Cherry, our Chief Administrative Officer; Angela Dose, our Chief Accounting Officer; Byron Pollen, our Treasurer; and Tom Dolan, our Chief Credit Administrator.

Our leadership position in some of the best high growth markets in the country is a strong tailwind for the company as we continue to grow. A few new data points about our Community Banking Markets, which include Montana, Idaho, Eastern Washington, Wyoming, Utah, Colorado, and Nevada and Arizona. For the 15th year in a row, Utah's economy has been ranked the top of the United States by Rich States, Poor States.

Nevada has recovered all of the jobs lost during COVID-19 and has reached an all-time high of 1.4 million jobs, 3,000 more than the previous peak in February of 2020. Rich States, Poor States gives Wyoming 10th place in the U.S. for its economic outlook due to economic conditions and favorable taxes.

I'll touch on some of the business highlights first, and then provide some additional thoughts on the quarter. Net income for the quarter was $79 million, an increase of $3 million, or 5% from the prior quarter net income of $76 million. Pre-tax pre-provision net revenue was $106 million versus prior quarter of $92 million, an increase of $14 million, or 15%. Pre-tax pre-provision net revenue was up $13 million, or 14% compared to the third quarter a year ago.

The loan portfolio excluding PPP loans had strong organic growth during the quarter of $457 million or 13% annualized. Core deposits grew organically by $96 million or 2% annualized. The cost of core deposits was 6 basis points consistent with the prior quarter. Non-interest bearing deposits increased $233 million, or 12% during the current quarter.