COLUMBIA BANKING SYSTEM, INC. REPORTS FIRST QUARTER 2026 RESULTS
PR Newswire
TACOMA, Wash., April 23, 2026
TACOMA, Wash., April 23, 2026 /PRNewswire/ —
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$192 million |
$209 million |
$0.66 |
$0.72 |
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Net income |
Operating net income1 |
Earnings per common share – |
Operating earnings per |
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CEO Commentary |
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“Our first quarter results reflect continued execution against the priorities we have previously outlined: delivering sustainable performance, strengthening our balance sheet, and returning excess capital to shareholders,” said Clint Stein, Chair, CEO & President. “During the quarter, we increased capital returns, reflecting our confidence in earnings durability and ongoing capital generation. We also made further progress optimizing our balance sheet, as commercial loan growth and muted seasonal deposit trends contributed to the profitable remix of assets and liabilities, positioning Columbia for attractive returns over time. At the same time, our credit performance continues to benefit from disciplined underwriting and our diversified, relationship-based loan portfolio that is performing as designed. With these actions, we remain focused on delivering consistent, repeatable performance and creating long‑term value for our shareholders.” |
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Clint Stein, Chair, CEO & President of Columbia Banking System, Inc. |
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1Q26 HIGHLIGHTS (COMPARED TO 4Q25) |
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Net Interest |
• Net interest income decreased by $33 million |
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• Net interest margin was 3.96%, down 10 basis |
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Non-Interest |
• Non-interest income decreased by $7 million, |
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• Non-interest expense decreased by $18 million, |
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Credit |
• Net charge-offs were 0.30% of average loans |
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• Provision expense was $28 million, compared to |
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• Non-performing assets to total assets ratio was |
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Capital |
• Estimated total risk-based capital ratio of 13.3% |
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• Declared a quarterly cash dividend of $0.37 per |
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• Repurchased $200 million of common stock |
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Notable |
• Our first small business and retail campaign of |
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1Q26 KEY FINANCIAL DATA |
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PERFORMANCE METRICS |
1Q26 |
4Q25 |
1Q25 |
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Return on average assets |
1.18 % |
1.27 % |
0.68 % |
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Return on average common equity |
10.00 % |
10.92 % |
6.73 % |
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Return on average tangible common equity1 |
13.88 % |
15.24 % |
9.45 % |
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Operating return on average assets1 |
1.28 % |
1.44 % |
1.10 % |
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Operating return on average common equity1 |
10.89 % |
12.34 % |
10.87 % |
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Operating return on average tangible common equity1 |
15.11 % |
17.22 % |
15.26 % |
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Net interest margin |
3.96 % |
4.06 % |
3.60 % |
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Efficiency ratio |
58.03 % |
57.30 % |
69.06 % |
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Operating efficiency ratio, as adjusted 1 |
53.68 % |
51.39 % |
55.11 % |
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INCOME STATEMENT ($ in millions, excl. per share data) |
1Q26 |
4Q25 |
1Q25 |
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Net interest income |
$594 |
$627 |
$425 |
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Provision for credit losses |
$28 |
$23 |
$27 |
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Non-interest income |
$83 |
$90 |
$66 |
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Non-interest expense |
$394 |
$412 |
$340 |
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Pre-provision net revenue1 |
$283 |
$305 |
$151 |
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Operating pre-provision net revenue1 |
$306 |
$342 |
$211 |
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Earnings per common share – diluted |
$0.66 |
$0.72 |
$0.41 |
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Operating earnings per common share – diluted1 |
$0.72 |
$0.82 |
$0.67 |
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Dividends paid per share |
$0.37 |
$0.37 |
$0.36 |
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BALANCE SHEET ($ in millions, excl. per share data) |
1Q26 |
4Q25 |
1Q25 |
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Total assets |
$66,027 |
$66,832 |
$51,519 |
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Loans and leases |
$47,697 |
$47,776 |
$37,616 |
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Deposits |
$53,489 |
$54,211 |
$42,218 |
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Book value per common share |
$26.47 |
$26.54 |
$24.93 |
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Tangible book value per common share1 |
$19.03 |
$19.11 |
$17.86 |
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Organizational Update
Columbia Banking System, Inc. (“Columbia,” the “Company,” “we,” or “our”) closed its acquisition of Pacific Premier Bancorp, Inc. (“Pacific Premier”) on August 31, 2025, and completed the systems conversion and nine branch consolidations during the first quarter of 2026. We continue to expect to realize all previously disclosed related cost savings by June 30, 2026.
Net Interest Income and Net Interest Margin
Net interest income was $594 million for the first quarter of 2026, down $33 million from the prior quarter, which included $5 million in interest income related to an accelerated loan repayment and a $12 million reduction to interest expense related to the amortization of a premium related to Pacific Premier’s time deposits, neither of which repeated in the current quarter. The remaining decrease in net interest income between periods largely reflects lower average interest-earning asset balances, partially offset by an improved mix of higher-yielding loans and investment securities.
Columbia’s net interest margin was 3.96% for the first quarter of 2026, down 10 basis points from the fourth quarter of 2025. The fourth quarter’s net interest margin included an 8-basis point benefit related to the amortization of a premium on acquired time deposits and a 3-basis point benefit related to an accelerated loan repayment. Net interest margin was otherwise consistent between periods, as lower yields on loans and cash following reductions to the federal funds rate during the fourth quarter were offset by lower deposit costs.
The cost of interest-bearing deposits decreased 4 basis points from the prior quarter to 2.04% for the first quarter of 2026, compared to 2.08% for the fourth quarter of 2025. During the fourth quarter, we recorded a $12 million benefit to interest expense related to the amortization of a premium on acquired time deposits, which favorably impacted the cost of interest-bearing deposits by 12 basis points. The decrease during the first quarter reflects our active management of deposit rates ahead of and following reductions to the federal funds rate, as well as a lower mix of higher-cost brokered deposits. The cost of interest-bearing deposits was 2.02% for the month of March and 1.98% as of March 31, 2026.
Columbia’s cost of interest-bearing liabilities decreased 3 basis points from the prior quarter to 2.24% for the first quarter of 2026, compared to 2.27% for the fourth quarter of 2025. The previously discussed premium amortization favorably impacted the cost of interest-bearing liabilities for the fourth quarter of 2025 by 11 basis points. The cost of interest-bearing liabilities was 2.23% for the month of March and 2.19% as of March 31, 2026. Please refer to the Q1 2026 Earnings Presentation for additional net interest margin change details and interest rate sensitivity information.
Non-interest Income
Non-interest income was $83 million for the first quarter of 2026, down $7 million from the prior quarter. Quarterly changes in fair value adjustments and mortgage servicing rights (“MSR”) hedging activity, which reflect interest rate fluctuations during the quarter, collectively resulted in a net fair value gain of $2 million for the first quarter, unchanged from the fourth quarter, as detailed in our non-GAAP disclosures. Excluding these items, non-interest income was $81 million2 for the first quarter of 2026, down $7 million between periods, due to lower swap, syndication, and international banking revenue following strong performance in the prior quarter, as well as an expected slowdown in customer activity that is typical for the first quarter.
Non-interest Expense
Non-interest expense was $394 million for the first quarter of 2026, down $18 million from the prior quarter, due to lower merger expense. Excluding merger and restructuring expense, exit and disposal costs, reversals of prior FDIC assessment expense, and other non-operating expense, as detailed in our non-GAAP disclosures, non-interest expense was $369 million2, down $4 million from the prior quarter, due to cost savings related to the Pacific Premier acquisition. Please refer to the Q1 2026 Earnings Presentation for additional expense details.
Balance Sheet
Total consolidated assets were $66.0 billion as of March 31, 2026, compared to $66.8 billion as of December 31, 2025. The decrease reflects balance sheet optimization activity, which includes the reduction of excess cash. Cash and cash equivalents were $2.1 billion as of March 31, 2026, compared to $2.4 billion as of December 31, 2025. Including secured off-balance sheet lines of credit, total available liquidity was $27.1 billion as of March 31, 2026, representing 41% of total assets, 51% of total deposits, and 129% of uninsured deposits. Available-for-sale securities, which are held on balance sheet at fair value, were $10.9 billion as of March 31, 2026, compared to $11.1 billion as of December 31, 2025. The decrease is due to paydowns and a decrease in the fair value of the portfolio, partially offset by the purchase of $208 million of investment securities. Please refer to the Q1 2026 Earnings Presentation for additional details related to our investment securities portfolio and liquidity position.
Gross loans and leases were $47.7 billion as of March 31, 2026, compared to $47.8 billion as of December 31, 2025. The decrease reflects continued expected runoff in below-market-rate transactional loans. Commercial loans, inclusive of owner-occupied commercial real estate, increased by 6% on an annualized basis relative to December 31, 2025, partially offsetting contraction in other portfolios. “Our teams delivered a strong quarter, continuing to generate relationship-based commercial business while successfully supporting customers through a core systems conversion,” commented Chris Merrywell, President of Columbia Bank. “Loan origination volume rose 38% from the prior-year quarter, driven by increased customer activity and the addition of bankers from Pacific Premier. Payoff activity also moderated following elevated levels in the latter part of 2025.” Please refer to the Q1 2026 Earnings Presentation for additional details related to our loan portfolio, which include underwriting characteristics, the composition of our commercial portfolios, and disclosure related to transactional loans.
Total deposits were $53.5 billion as of March 31, 2026, compared to $54.2 billion as of December 31, 2025. The decrease reflects an intentional reduction in brokered deposits, which declined to $1.6 billion as of March 31, 2026, compared to $2.4 billion as of December 31, 2025. A $110 million increase in customer deposits and the deployment of excess cash contributed to our reduced reliance on wholesale funding sources. “Despite seasonal deposit pressure during the first quarter, our teams’ focus on generating new business and strong quarter-end inflows supported growth in customer balances,” stated Mr. Merrywell. “We remain focused on deepening customer relationships and strengthening our industry-leading core deposit franchise, while continuing to reduce brokered and non-relationship public deposits.” We utilized borrowings, which were $3.4 billion as of March 31, 2026, compared to $3.2 billion as of December 31, 2025, to supplement funding needs. Please refer to the Q1 2026 Earnings Presentation for additional details related to deposit characteristics and flows.
Credit Quality
The allowance for credit losses (“ACL”) was $478 million, or 1.00% of loans and leases, as of March 31, 2026, compared to $485 million, or 1.02% of loans and leases, as of December 31, 2025. The provision for credit losses was $28 million for the first quarter of 2026 and reflects loan portfolio runoff, credit migration trends, charge-off activity, and changes in the economic forecasts used in credit models.
Net charge-offs were 0.30% of average loans and leases (annualized) for the first quarter of 2026, compared to 0.25% for the fourth quarter of 2026. Net charge-offs in the FinPac portfolio were $14 million for the first quarter, unchanged from the fourth quarter. Net charge-offs excluding the FinPac portfolio were $21 million for the first quarter, compared to $16 million for the fourth quarter. Non-performing assets were $264 million, or 0.40% of total assets, as of March 31, 2026, compared to $200 million, or 0.30% of total assets, as of December 31, 2025. The increase in net charge-offs and non-performing assets between periods was driven by an agricultural industry relationship. Please refer to the Q1 2026 Earnings Presentation for additional details related to the allowance for credit losses and other credit trends.
Capital
Columbia’s book value per common share was $26.47 as of March 31, 2026, compared to $26.54 as of December 31, 2025. During the first quarter, Columbia repurchased 6.5 million common shares under its current repurchase plan at an average price of $30.74. Book value also was impacted by the change in accumulated other comprehensive (loss) income (“AOCI”) to $(291) million as of March 31, 2026, compared to $(233) million as of the prior quarter-end. The change in AOCI is due primarily to an increase in the tax-effected net unrealized loss on available-for-sale securities to $260 million as of March 31, 2026, compared to $199 million as of December 31, 2025. Tangible book value per common share3 was $19.03 as of March 31, 2026, compared to $19.11 as of December 31, 2025.
Columbia’s estimated total risk-based capital ratio was 13.3% and its estimated common equity tier 1 risk-based capital ratio was 11.5% as of March 31, 2026, compared to 13.6% and 11.8%, respectively, as of December 31, 2025. Columbia remains above current “well-capitalized” regulatory minimums. The regulatory capital ratios as of March 31, 2026 are estimates, pending completion and filing of Columbia’s regulatory reports.
Earnings Presentation and Conference Call Information
Columbia’s Q1 2026 Earnings Presentation provides additional disclosure. A copy will be available on our investor relations page: www.columbiabankingsystem.com.
Columbia will host its first quarter 2026 earnings conference call on April 23, 2026 at 2:00 p.m. PT (5:00 p.m. ET). During the call, Columbia’s management will provide an update on recent activities and discuss its first quarter 2026 financial results. Participants may join the audiocast or register for the call using the link below to receive dial-in details and their own unique PINs. It is recommended you join 10 minutes prior to the start time.
Join the audiocast: https://edge.media-server.com/mmc/p/y2c5ea4c/
Register for the call: https://register-conf.media-server.com/register/BI6f2e58fad341429a8b85e604aa895766
Access the replay through Columbia’s investor relations page: https://www.columbiabankingsystem.com/news-market-data/event-calendar/default.aspx
About Columbia Banking System, Inc.
Columbia Banking System, Inc. (Nasdaq: COLB) is headquartered in Tacoma, Washington and is the parent company of Columbia Bank, an award-winning preeminent regional bank with offices in Arizona, California, Colorado, Idaho, Nevada, Oregon, Texas, Utah, and Washington. Columbia Bank combines the resources, sophistication, and expertise of a national bank with a commitment to deliver superior, personalized service. The bank supports consumers and businesses through a full suite of services, including retail and commercial banking, Small Business Administration lending, institutional and corporate banking, and equipment leasing. Columbia Bank customers also have access to comprehensive investment and wealth management expertise as well as healthcare and private banking through Columbia Wealth Management. Learn more at www.columbiabankingsystem.com.
Forward-Looking Statements
This press release includes forward-looking statements within the meaning of the “Safe-Harbor” provisions of the Private Securities Litigation Reform Act of 1995, which management believes are a benefit to shareholders. These statements are necessarily subject to risk and uncertainty and actual results could differ materially due to various risk factors, including those set forth from time to time in our filings with the Securities and Exchange Commission. You should not place undue reliance on forward-looking statements and we undertake no obligation to update any such statements. Forward-looking statements can be identified by words such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects,” “target,” “projects,” “outlook,” “forecast,” “will,” “may,” “could,” “should,” “can” and similar references to future periods. In this press release we make forward-looking statements about strategic and growth initiatives and the result of such activity. Risks and uncertainties that could cause results to differ from forward-looking statements we make include, without limitation: current and future economic and market conditions, including the effects of declines in housing and commercial real estate prices, high unemployment rates, renewed inflation and any recession or slowdown in economic growth particularly in the western United States; economic forecast variables that are either materially worse or better than end of quarter projections and deterioration in the economy that could result in increased loan and lease losses, especially those risks associated with concentrations in real estate related loans; risks related to our acquisition of Pacific Premier (the “Transaction”), including, among others, (i) diversion of management’s attention from ongoing business operations and opportunities, (ii) cost savings and any revenue or expense synergies from the Transaction may not be fully realized or may take longer than anticipated to be realized, and (iii) deposit attrition, customer or employee loss, and/or revenue loss as a result of the Transaction; the impact of proposed or imposed tariffs by the U.S. government and retaliatory tariffs proposed or imposed by U.S. trading partners that could have an adverse impact on customers; our ability to effectively manage problem credits; the impact of bank failures or adverse developments at other banks on general investor sentiment regarding the liquidity and stability of banks; changes in interest rates that could significantly reduce net interest income and negatively affect asset yields and valuations and funding sources; changes in the scope and cost of FDIC insurance and other coverage; our ability to successfully implement efficiency and operational excellence initiatives; our ability to successfully develop and market new products and technology; changes in laws or regulations; potential adverse reactions or changes to business or employee relationships; the effect of geopolitical instability, including wars, conflicts and terrorist attacks; and natural disasters and other similar unexpected events outside of our control. We also caution that the amount and timing of any future common stock dividends or repurchases will depend on the earnings, cash requirements and financial condition of Columbia, market conditions, capital requirements, applicable law and regulations (including federal securities laws and federal banking and state regulations), and other factors deemed relevant by Columbia’s Board of Directors.
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1 “Non-GAAP” financial measure. See GAAP to Non-GAAP Reconciliation for additional information. |
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2 “Non-GAAP” financial measure. See GAAP to Non-GAAP Reconciliation for additional information. |
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3 “Non-GAAP” financial measure. See GAAP to Non-GAAP Reconciliation for additional information. |
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TABLE INDEX |
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Page |
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Consolidated Statements of Income |
8 |
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Consolidated Balance Sheets |
8 |
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Financial Highlights |
10 |
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Loan & Lease Portfolio Balances and Mix |
10 |
|
Deposit Portfolio Balances and Mix |
12 |
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Credit Quality – Non-performing Assets |
13 |
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Credit Quality – Allowance for Credit Losses |
14 |
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Consolidated Average Balance Sheets, Net Interest Income, and Yields/Rates |
15 |
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Residential Mortgage Banking Activity |
16 |
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GAAP to Non-GAAP Reconciliation |
17 |
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Columbia Banking System, Inc. |
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Consolidated Statements of Income |
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(Unaudited) |
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Quarter Ended |
% Change |
||||||||||||
|
($ in millions, shares in thousands) |
Mar 31, |
Dec 31, |
Sep 30, |
Jun 30, |
Mar 31, |
Seq. Quarter |
Year |
||||||
|
Interest income: |
|||||||||||||
|
Loans and leases |
$ 684 |
$ 722 |
$ 619 |
$ 564 |
$ 553 |
(5) % |
24 % |
||||||
|
Interest and dividends on investments: |
|||||||||||||
|
Taxable |
103 |
102 |
89 |
80 |
69 |
1 % |
49 % |
||||||
|
Exempt from federal income tax |
12 |
12 |
8 |
7 |
7 |
— % |
71 % |
||||||
|
Dividends |
3 |
3 |
4 |
3 |
3 |
— % |
— % |
||||||
|
Temporary investments and interest bearing deposits |
14 |
19 |
20 |
16 |
16 |
(26) % |
(13) % |
||||||
|
Total interest income |
816 |
858 |
740 |
670 |
648 |
(5) % |
26 % |
||||||
|
Interest expense: |
|||||||||||||
|
Deposits |
184 |
195 |
195 |
180 |
177 |
(6) % |
4 % |
||||||
|
Securities sold under agreement to repurchase and |
1 |
1 |
1 |
1 |
1 |
— % |
— % |
||||||
|
Borrowings |
30 |
27 |
30 |
35 |
36 |
11 % |
(17) % |
||||||
|
Junior and other subordinated debentures |
7 |
8 |
9 |
8 |
9 |
(13) % |
(22) % |
||||||
|
Total interest expense |
222 |
231 |
235 |
224 |
223 |
(4) % |
— % |
||||||
|
Net interest income |
594 |
627 |
505 |
446 |
425 |
(5) % |
40 % |
||||||
|
Provision for credit losses |
28 |
23 |
70 |
30 |
27 |
22 % |
4 % |
||||||
|
Non-interest income: |
|||||||||||||
|
Service charges on deposits |
20 |
24 |
21 |
20 |
19 |
(17) % |
5 % |
||||||
|
Card-based fees |
15 |
16 |
15 |
14 |
13 |
(6) % |
15 % |
||||||
|
Financial services and trust revenue |
15 |
15 |
9 |
6 |
5 |
— % |
200 % |
||||||
|
Residential mortgage banking revenue, net |
12 |
7 |
7 |
8 |
9 |
71 % |
33 % |
||||||
|
Gain on investment securities, net |
— |
2 |
2 |
— |
2 |
(100) % |
(100) % |
||||||
|
Gain on loan and lease sales, net |
1 |
1 |
— |
— |
— |
— % |
nm |
||||||
|
(Loss) gain on loans held for investment, at fair value |
(2) |
— |
4 |
— |
7 |
nm |
(129) % |
||||||
|
BOLI income |
9 |
9 |
6 |
5 |
5 |
— % |
80 % |
||||||
|
Other income |
13 |
16 |
13 |
12 |
6 |
(19) % |
117 % |
||||||
|
Total non-interest income |
83 |
90 |
77 |
65 |
66 |
(8) % |
26 % |
||||||
|
Non-interest expense: |
|||||||||||||
|
Salaries and employee benefits |
196 |
201 |
171 |
155 |
145 |
(2) % |
35 % |
||||||
|
Occupancy and equipment, net |
66 |
67 |
54 |
47 |
48 |
(1) % |
38 % |
||||||
|
FDIC assessments |
9 |
4 |
8 |
8 |
8 |
125 % |
13 % |
||||||
|
Intangible amortization |
41 |
42 |
31 |
26 |
28 |
(2) % |
46 % |
||||||
|
Merger and restructuring expense |
24 |
39 |
87 |
8 |
14 |
(38) % |
71 % |
||||||
|
Legal settlement |
— |
— |
— |
— |
55 |
nm |
(100) % |
||||||
|
Other expenses |
58 |
59 |
42 |
34 |
42 |
(2) % |
38 % |
||||||
|
Total non-interest expense |
394 |
412 |
393 |
278 |
340 |
(4) % |
16 % |
||||||
|
Income before provision for income taxes |
255 |
282 |
119 |
203 |
124 |
(10) % |
106 % |
||||||
|
Provision for income taxes |
63 |
67 |
23 |
51 |
37 |
(6) % |
70 % |
||||||
|
Net income |
$ 192 |
$ 215 |
$ 96 |
$ 152 |
$ 87 |
(11) % |
121 % |
||||||
|
Weighted average basic shares outstanding (in |
290,933 |
295,376 |
237,838 |
209,125 |
208,800 |
(2) % |
39 % |
||||||
|
Weighted average diluted shares outstanding (in |
292,160 |
296,760 |
238,925 |
209,975 |
210,023 |
(2) % |
39 % |
||||||
|
Earnings per common share – basic |
$ 0.66 |
$ 0.72 |
$ 0.40 |
$ 0.73 |
$ 0.41 |
(8) % |
61 % |
||||||
|
Earnings per common share – diluted |
$ 0.66 |
$ 0.72 |
$ 0.40 |
$ 0.73 |
$ 0.41 |
(8) % |
61 % |
||||||
|
nm = Percentage changes greater than +/-500% are considered not meaningful and are presented as “nm.” |
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|
Columbia Banking System, Inc. |
|||||||||||||
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Consolidated Balance Sheets |
|||||||||||||
|
(Unaudited) |
|||||||||||||
|
% Change |
|||||||||||||
|
($ in millions, shares in thousands) |
Mar 31, 2026 |
Dec 31, 2025 |
Sep 30, 2025 |
Jun 30, 2025 |
Mar 31, 2025 |
Seq. Quarter |
Year |
||||||
|
Assets: |
|||||||||||||
|
Cash and due from banks |
$ 577 |
$ 511 |
$ 535 |
$ 608 |
$ 591 |
13 % |
(2) % |
||||||
|
Interest-bearing cash and temporary |
1,522 |
1,869 |
1,808 |
1,334 |
1,481 |
(19) % |
3 % |
||||||
|
Investment securities: |
|||||||||||||
|
Equity and other, at fair value |
124 |
113 |
112 |
93 |
92 |
10 % |
35 % |
||||||
|
Available for sale, at fair value |
10,915 |
11,112 |
11,013 |
8,653 |
8,229 |
(2) % |
33 % |
||||||
|
Held to maturity, at amortized cost |
18 |
18 |
18 |
2 |
2 |
— % |
nm |
||||||
|
Loans held for sale |
81 |
262 |
340 |
66 |
65 |
(69) % |
25 % |
||||||
|
Loans and leases |
47,697 |
47,776 |
48,462 |
37,637 |
37,616 |
— % |
27 % |
||||||
|
Allowance for credit losses on loans and |
(459) |
(466) |
(473) |
(421) |
(421) |
(2) % |
9 % |
||||||
|
Net loans and leases |
47,238 |
47,310 |
47,989 |
37,216 |
37,195 |
— % |
27 % |
||||||
|
Restricted equity securities |
168 |
159 |
119 |
161 |
125 |
6 % |
34 % |
||||||
|
Premises and equipment, net |
426 |
422 |
416 |
357 |
345 |
1 % |
23 % |
||||||
|
Goodwill |
1,482 |
1,482 |
1,481 |
1,029 |
1,029 |
— % |
44 % |
||||||
|
Other intangible assets, net |
671 |
712 |
754 |
430 |
456 |
(6) % |
47 % |
||||||
|
Bank-owned life insurance |
1,222 |
1,218 |
1,199 |
705 |
701 |
— % |
74 % |
||||||
|
Other assets |
1,583 |
1,644 |
1,712 |
1,247 |
1,208 |
(4) % |
31 % |
||||||
|
Total assets |
$ 66,027 |
$ 66,832 |
$ 67,496 |
$ 51,901 |
$ 51,519 |
(1) % |
28 % |
||||||
|
Liabilities: |
|||||||||||||
|
Deposits |
|||||||||||||
|
Non-interest-bearing |
$ 17,635 |
$ 17,419 |
$ 17,810 |
$ 13,220 |
$ 13,414 |
1 % |
31 % |
||||||
|
Interest-bearing |
35,854 |
36,792 |
37,961 |
28,523 |
28,804 |
(3) % |
24 % |
||||||
|
Total deposits |
53,489 |
54,211 |
55,771 |
41,743 |
42,218 |
(1) % |
27 % |
||||||
|
Securities sold under agreements to |
162 |
207 |
167 |
191 |
192 |
(22) % |
(16) % |
||||||
|
Borrowings |
3,400 |
3,200 |
2,300 |
3,350 |
2,550 |
6 % |
33 % |
||||||
|
Junior subordinated debentures, at fair value |
333 |
338 |
331 |
323 |
321 |
(1) % |
4 % |
||||||
|
Junior and other subordinated debentures, |
97 |
97 |
107 |
108 |
108 |
— % |
(10) % |
||||||
|
Other liabilities |
882 |
939 |
1,030 |
844 |
892 |
(6) % |
(1) % |
||||||
|
Total liabilities |
58,363 |
58,992 |
59,706 |
46,559 |
46,281 |
(1) % |
26 % |
||||||
|
Shareholders’ equity: |
|||||||||||||
|
Common stock |
7,896 |
8,099 |
8,189 |
5,826 |
5,823 |
(3) % |
36 % |
||||||
|
Retained earnings (accumulated deficit) |
59 |
(26) |
(131) |
(151) |
(227) |
nm |
nm |
||||||
|
Accumulated other comprehensive loss |
(291) |
(233) |
(268) |
(333) |
(358) |
25 % |
(19) % |
||||||
|
Total shareholders’ equity |
7,664 |
7,840 |
7,790 |
5,342 |
5,238 |
(2) % |
46 % |
||||||
|
Total liabilities and shareholders’ equity |
$ 66,027 |
$ 66,832 |
$ 67,496 |
$ 51,901 |
$ 51,519 |
(1) % |
28 % |
||||||
|
Common shares outstanding at period end (in |
289,530 |
295,422 |
299,147 |
210,213 |
210,112 |
(2) % |
38 % |
||||||
|
nm = Percentage changes greater than +/-500% are considered not meaningful and are presented as “nm.” |
|||||||||||||
|
Columbia Banking System, Inc. |
||||||||||||||
|
Financial Highlights |
||||||||||||||
|
(Unaudited) |
||||||||||||||
|
Quarter Ended |
% Change |
|||||||||||||
|
Mar 31, |
Dec 31, |
Sep 30, |
Jun 30, |
Mar 31, |
Seq. |
Year |
||||||||
|
Per Common Share Data: |
||||||||||||||
|
Dividends |
$ 0.37 |
$ 0.37 |
$ 0.36 |
$ 0.36 |
$ 0.36 |
— % |
3 % |
|||||||
|
Book value |
$ 26.47 |
$ 26.54 |
$ 26.04 |
$ 25.41 |
$ 24.93 |
— % |
6 % |
|||||||
|
Tangible book value (1) |
$ 19.03 |
$ 19.11 |
$ 18.57 |
$ 18.47 |
$ 17.86 |
— % |
7 % |
|||||||
|
Performance Ratios: |
||||||||||||||
|
Efficiency ratio (2) |
58.03 % |
57.30 % |
67.29 % |
54.29 % |
69.06 % |
0.73 |
(11.03) |
|||||||
|
Non-interest expense to average assets (1) |
2.41 % |
2.44 % |
2.74 % |
2.16 % |
2.68 % |
(0.03) |
(0.27) |
|||||||
|
Return on average assets (“ROAA”) |
1.18 % |
1.27 % |
0.67 % |
1.19 % |
0.68 % |
(0.09) |
0.50 |
|||||||
|
Pre-provision net revenue (“PPNR”) ROAA (1) |
1.73 % |
1.80 % |
1.32 % |
1.81 % |
1.19 % |
(0.07) |
0.54 |
|||||||
|
Return on average common equity |
10.00 % |
10.92 % |
6.19 % |
11.56 % |
6.73 % |
(0.92) |
3.27 |
|||||||
|
Return on average tangible common equity (1) |
13.88 % |
15.24 % |
8.58 % |
16.03 % |
9.45 % |
(1.36) |
4.43 |
|||||||
|
Performance Ratios – Operating: (1) |
||||||||||||||
|
Operating efficiency ratio, as adjusted (1), (2) |
53.68 % |
51.39 % |
52.32 % |
51.79 % |
55.11 % |
2.29 |
(1.43) |
|||||||
|
Operating non-interest expense to average assets (1) |
2.26 % |
2.20 % |
2.14 % |
2.10 % |
2.13 % |
0.06 |
0.13 |
|||||||
|
Operating ROAA (1) |
1.28 % |
1.44 % |
1.42 % |
1.25 % |
1.10 % |
(0.16) |
0.18 |
|||||||
|
Operating PPNR ROAA (1) |
1.87 % |
2.02 % |
1.89 % |
1.88 % |
1.67 % |
(0.15) |
0.20 |
|||||||
|
Operating return on average common equity (1) |
10.89 % |
12.34 % |
13.15 % |
12.16 % |
10.87 % |
(1.45) |
0.02 |
|||||||
|
Operating return on average tangible common equity (1) |
15.11 % |
17.22 % |
18.24 % |
16.85 % |
15.26 % |
(2.11) |
(0.15) |
|||||||
|
Average Balance Sheet Yields, Rates, & Ratios: |
||||||||||||||
|
Yield on loans and leases |
5.78 % |
5.92 % |
5.96 % |
6.00 % |
5.92 % |
(0.14) |
(0.14) |
|||||||
|
Yield on earning assets (2) |
5.44 % |
5.55 % |
5.62 % |
5.62 % |
5.49 % |
(0.11) |
(0.05) |
|||||||
|
Cost of interest bearing deposits |
2.04 % |
2.08 % |
2.43 % |
2.52 % |
2.52 % |
(0.04) |
(0.48) |
|||||||
|
Cost of interest bearing liabilities |
2.24 % |
2.27 % |
2.65 % |
2.78 % |
2.80 % |
(0.03) |
(0.56) |
|||||||
|
Cost of total deposits |
1.39 % |
1.40 % |
1.66 % |
1.73 % |
1.72 % |
(0.01) |
(0.33) |
|||||||
|
Cost of total funding (3) |
1.56 % |
1.57 % |
1.87 % |
1.98 % |
1.99 % |
(0.01) |
(0.43) |
|||||||
|
Net interest margin (2) |
3.96 % |
4.06 % |
3.84 % |
3.75 % |
3.60 % |
(0.10) |
0.36 |
|||||||
|
Average interest bearing cash / Average interest earning assets |
2.59 % |
3.12 % |
3.41 % |
2.97 % |
3.13 % |
(0.53) |
(0.54) |
|||||||
|
Average loans and leases / Average interest earning assets |
78.44 % |
78.12 % |
78.39 % |
78.64 % |
78.93 % |
0.32 |
(0.49) |
|||||||
|
Average loans and leases / Average total deposits |
88.58 % |
87.34 % |
88.39 % |
90.07 % |
90.36 % |
1.24 |
(1.78) |
|||||||
|
Average non-interest bearing deposits / Average total deposits |
32.26 % |
32.45 % |
31.41 % |
31.39 % |
31.75 % |
(0.19) |
0.51 |
|||||||
|
Average total deposits / Average total funding (3) |
93.58 % |
94.52 % |
93.47 % |
91.92 % |
91.86 % |
(0.94) |
1.72 |
|||||||
|
Select Credit & Capital Ratios: |
||||||||||||||
|
Non-performing loans and leases to total loans and leases |
0.55 % |
0.41 % |
0.40 % |
0.47 % |
0.47 % |
0.14 |
0.08 |
|||||||
|
Non-performing assets to total assets |
0.40 % |
0.30 % |
0.29 % |
0.35 % |
0.35 % |
0.10 |
0.05 |
|||||||
|
Allowance for credit losses to loans and leases |
1.00 % |
1.02 % |
1.01 % |
1.17 % |
1.17 % |
(0.02) |
(0.17) |
|||||||
|
Total risk-based capital ratio (4) |
13.3 % |
13.6 % |
13.4 % |
13.0 % |
12.9 % |
(0.30) |
0.40 |
|||||||
|
Common equity tier 1 risk-based capital ratio (4) |
11.5 % |
11.8 % |
11.6 % |
10.8 % |
10.6 % |
(0.30) |
0.90 |
|||||||
|
(1) See GAAP to Non-GAAP Reconciliation. |
|
(2) Tax-exempt interest was adjusted to a taxable equivalent basis using a 21% tax rate. |
|
(3) Total funding = total deposits + total borrowings. |
|
(4) Estimated holding company ratios. |
|
Columbia Banking System, Inc. |
|||||||||||||
|
Loan & Lease Portfolio Balances and Mix |
|||||||||||||
|
(Unaudited) |
|||||||||||||
|
Mar 31, 2026 |
Dec 31, 2025 |
Sep 30, 2025 |
Jun 30, 2025 |
Mar 31, 2025 |
% Change |
||||||||
|
($ in millions) |
Amount |
Amount |
Amount |
Amount |
Amount |
Seq. |
Year |
||||||
|
Loans and leases: |
|||||||||||||
|
Commercial real estate: |
|||||||||||||
|
Non-owner occupied term |
$ 8,113 |
$ 8,206 |
$ 8,444 |
$ 6,190 |
$ 6,179 |
(1) % |
31 % |
||||||
|
Owner occupied term |
7,258 |
7,314 |
7,361 |
5,320 |
5,303 |
(1) % |
37 % |
||||||
|
Multifamily |
10,173 |
10,281 |
10,377 |
5,735 |
5,831 |
(1) % |
74 % |
||||||
|
Construction & development |
1,670 |
1,707 |
2,071 |
2,070 |
2,071 |
(2) % |
(19) % |
||||||
|
Residential development |
373 |
362 |
367 |
286 |
252 |
3 % |
48 % |
||||||
|
Commercial: |
|||||||||||||
|
Term |
6,887 |
6,713 |
6,590 |
5,353 |
5,490 |
3 % |
25 % |
||||||
|
Lines of credit & other |
3,804 |
3,643 |
3,582 |
2,951 |
2,754 |
4 % |
38 % |
||||||
|
Leases & equipment finance |
1,619 |
1,599 |
1,614 |
1,641 |
1,644 |
1 % |
(2) % |
||||||
|
Residential: |
|||||||||||||
|
Mortgage |
5,483 |
5,624 |
5,722 |
5,830 |
5,878 |
(3) % |
(7) % |
||||||
|
Home equity loans & lines |
2,147 |
2,149 |
2,153 |
2,083 |
2,039 |
— % |
5 % |
||||||
|
Consumer & other |
170 |
178 |
181 |
178 |
175 |
(4) % |
(3) % |
||||||
|
Total loans and leases, net of deferred fees |
$ 47,697 |
$ 47,776 |
$ 48,462 |
$ 37,637 |
$ 37,616 |
— % |
27 % |
||||||
|
Loans and leases mix: |
|||||||||||||
|
Commercial real estate: |
|||||||||||||
|
Non-owner occupied term |
17 % |
17 % |
18 % |
16 % |
16 % |
||||||||
|
Owner occupied term |
15 % |
15 % |
15 % |
14 % |
14 % |
||||||||
|
Multifamily |
21 % |
22 % |
21 % |
15 % |
15 % |
||||||||
|
Construction & development |
4 % |
4 % |
4 % |
6 % |
6 % |
||||||||
|
Residential development |
1 % |
1 % |
1 % |
1 % |
1 % |
||||||||
|
Commercial: |
|||||||||||||
|
Term |
15 % |
14 % |
14 % |
14 % |
15 % |
||||||||
|
Lines of credit & other |
8 % |
8 % |
7 % |
8 % |
7 % |
||||||||
|
Leases & equipment finance |
3 % |
3 % |
3 % |
4 % |
4 % |
||||||||
|
Residential: |
|||||||||||||
|
Mortgage |
11 % |
12 % |
12 % |
15 % |
16 % |
||||||||
|
Home equity loans & lines |
5 % |
4 % |
4 % |
6 % |
5 % |
||||||||
|
Consumer & other |
— % |
— % |
1 % |
1 % |
1 % |
||||||||
|
Total |
100 % |
100 % |
100 % |
100 % |
100 % |
||||||||
|
Columbia Banking System, Inc. |
|||||||||||||
|
Deposit Portfolio Balances and Mix |
|||||||||||||
|
(Unaudited) |
|||||||||||||
|
Mar 31, 2026 |
Dec 31, 2025 |
Sep 30, 2025 |
Jun 30, 2025 |
Mar 31, 2025 |
% Change |
||||||||
|
($ in millions) |
Amount |
Amount |
Amount |
Amount |
Amount |
Seq. |
Year |
||||||
|
Deposits: |
|||||||||||||
|
Demand, non-interest bearing |
$ 17,635 |
$ 17,419 |
$ 17,810 |
$ 13,220 |
$ 13,414 |
1 % |
31 % |
||||||
|
Demand, interest bearing |
10,860 |
10,763 |
11,675 |
8,335 |
8,494 |
1 % |
28 % |
||||||
|
Money market |
16,843 |
17,013 |
16,816 |
11,694 |
11,971 |
(1) % |
41 % |
||||||
|
Savings |
2,437 |
2,442 |
2,504 |
2,276 |
2,337 |
0 % |
4 % |
||||||
|
Time |
5,714 |
6,574 |
6,966 |
6,218 |
6,002 |
(13) % |
(5) % |
||||||
|
Total |
$ 53,489 |
$ 54,211 |
$ 55,771 |
$ 41,743 |
$ 42,218 |
(1) % |
27 % |
||||||
|
Total core deposits (1) |
$ 50,245 |
$ 50,174 |
$ 51,535 |
$ 37,294 |
$ 38,079 |
— % |
32 % |
||||||
|
Deposit mix: |
|||||||||||||
|
Demand, non-interest bearing |
33 % |
32 % |
32 % |
32 % |
32 % |
||||||||
|
Demand, interest bearing |
20 % |
20 % |
21 % |
20 % |
20 % |
||||||||
|
Money market |
31 % |
31 % |
30 % |
28 % |
28 % |
||||||||
|
Savings |
5 % |
5 % |
5 % |
5 % |
6 % |
||||||||
|
Time |
11 % |
12 % |
12 % |
15 % |
14 % |
||||||||
|
Total |
100 % |
100 % |
100 % |
100 % |
100 % |
||||||||
|
(1) Core deposits are defined as total deposits less time deposits greater than $250,000 and all brokered deposits. |
|
Columbia Banking System, Inc. |
||||||||||||||
|
Credit Quality – Non-performing Assets |
||||||||||||||
|
(Unaudited) |
||||||||||||||
|
Quarter Ended |
% Change |
|||||||||||||
|
($ in millions) |
Mar 31, |
Dec 31, |
Sep 30, |
Jun 30, |
Mar 31, |
Seq. |
Year |
|||||||
|
Non-performing assets: (1) |
||||||||||||||
|
Loans and leases on non-accrual status: |
||||||||||||||
|
Commercial real estate |
$ 91 |
$ 50 |
$ 53 |
$ 31 |
$ 42 |
82 % |
117 % |
|||||||
|
Commercial |
96 |
66 |
67 |
67 |
80 |
45 % |
20 % |
|||||||
|
Total loans and leases on non-accrual status |
187 |
116 |
120 |
98 |
122 |
61 % |
53 % |
|||||||
|
Loans and leases past due 90+ days and accruing: (2) |
||||||||||||||
|
Commercial real estate |
3 |
2 |
— |
— |
— |
50 % |
nm |
|||||||
|
Commercial |
2 |
8 |
5 |
5 |
— |
(75) % |
nm |
|||||||
|
Residential (2) |
69 |
72 |
71 |
74 |
53 |
(4) % |
30 % |
|||||||
|
Total loans and leases past due 90+ days and |
74 |
82 |
76 |
79 |
53 |
(10) % |
40 % |
|||||||
|
Total non-performing loans and leases (1), (2) |
261 |
198 |
196 |
177 |
175 |
32 % |
49 % |
|||||||
|
Other real estate owned |
3 |
2 |
3 |
3 |
3 |
50 % |
0 % |
|||||||
|
Total non-performing assets (1), (2) |
$ 264 |
$ 200 |
$ 199 |
$ 180 |
$ 178 |
32 % |
48 % |
|||||||
|
Loans and leases past due 31-89 days |
$ 168 |
$ 94 |
$ 85 |
$ 142 |
$ 158 |
79 % |
6 % |
|||||||
|
Loans and leases past due 31-89 days to total loans and |
0.35 % |
0.20 % |
0.18 % |
0.38 % |
0.42 % |
0.15 |
(0.07) |
|||||||
|
Non-performing loans and leases to total loans and |
0.55 % |
0.41 % |
0.40 % |
0.47 % |
0.47 % |
0.14 |
0.08 |
|||||||
|
Non-performing assets to total assets (1), (2) |
0.40 % |
0.30 % |
0.29 % |
0.35 % |
0.35 % |
0.10 |
0.05 |
|||||||
|
Non-accrual loans and leases to total loan and leases (2) |
0.39 % |
0.24 % |
0.25 % |
0.26 % |
0.33 % |
0.15 |
0.06 |
|||||||
|
nm = Percentage changes greater than +/-500% are considered not meaningful and are presented as “nm.” |
||||||||||||||
|
(1) |
Non-accrual and 90+ days past due loans include government guarantees of $88 million, $79 million, $70 million, $68 million, and $67 million at March 31, 2026, December 31, 2025, September 30, 2025, June 30, 2025, and March 31, 2025, respectively. |
|
(2) |
Excludes certain mortgage loans guaranteed by GNMA, which Columbia has the unilateral right to repurchase but has not done so, totaling $4 million, $3 million, $2 million, $2 million, and $3 million at March 31, 2026, December 31, 2025, September 30, 2025, June 30, 2025, and March 31, 2025, respectively. |
|
Columbia Banking System, Inc. |
||||||||||||||
|
Credit Quality – Allowance for Credit Losses |
||||||||||||||
|
(Unaudited) |
||||||||||||||
|
Quarter Ended |
% Change |
|||||||||||||
|
($ in millions) |
Mar 31, |
Dec 31, |
Sep 30, |
Jun 30, |
Mar 31, |
Seq. |
Year |
|||||||
|
Allowance for credit losses on loans and leases |
||||||||||||||
|
Balance, beginning of period |
$ 466 |
$ 473 |
$ 421 |
$ 421 |
$ 425 |
(1) % |
10 % |
|||||||
|
Initial ACL recorded for PCD loans acquired during |
— |
— |
5 |
— |
— |
nm |
nm |
|||||||
|
Provision for credit losses on loans and leases |
28 |
23 |
69 |
29 |
26 |
22 % |
8 % |
|||||||
|
Charge-offs |
||||||||||||||
|
Commercial real estate |
— |
(8) |
(3) |
— |
— |
nm |
nm |
|||||||
|
Commercial |
(39) |
(23) |
(22) |
(33) |
(33) |
70 % |
18 % |
|||||||
|
Residential |
— |
(1) |
— |
— |
(1) |
nm |
nm |
|||||||
|
Consumer & other |
(1) |
(1) |
(2) |
(1) |
(1) |
0 % |
0 % |
|||||||
|
Total charge-offs |
(40) |
(33) |
(27) |
(34) |
(35) |
21 % |
14 % |
|||||||
|
Recoveries |
||||||||||||||
|
Commercial |
4 |
3 |
4 |
5 |
4 |
33 % |
0 % |
|||||||
|
Consumer & other |
1 |
— |
1 |
— |
1 |
nm |
0 % |
|||||||
|
Total recoveries |
5 |
3 |
5 |
5 |
5 |
67 % |
0 % |
|||||||
|
Net (charge-offs) recoveries |
||||||||||||||
|
Commercial real estate |
— |
(8) |
(3) |
— |
— |
nm |
nm |
|||||||
|
Commercial |
(35) |
(20) |
(18) |
(28) |
(29) |
75 % |
21 % |
|||||||
|
Residential |
— |
(1) |
— |
— |
(1) |
nm |
nm |
|||||||
|
Consumer & other |
— |
(1) |
(1) |
(1) |
— |
nm |
nm |
|||||||
|
Total net charge-offs |
(35) |
(30) |
(22) |
(29) |
(30) |
17 % |
17 % |
|||||||
|
Balance, end of period |
$ 459 |
$ 466 |
$ 473 |
$ 421 |
$ 421 |
(2) % |
9 % |
|||||||
|
Reserve for unfunded commitments |
||||||||||||||
|
Balance, beginning of period |
$ 19 |
$ 19 |
$ 18 |
$ 17 |
$ 16 |
0 % |
19 % |
|||||||
|
Provision for credit losses on unfunded |
— |
— |
1 |
1 |
1 |
nm |
(100) % |
|||||||
|
Balance, end of period |
19 |
19 |
19 |
18 |
17 |
0 % |
12 % |
|||||||
|
Total Allowance for credit losses (ACL) |
$ 478 |
$ 485 |
$ 492 |
$ 439 |
$ 438 |
(1) % |
9 % |
|||||||
|
Net charge-offs to average loans and leases |
0.30 % |
0.25 % |
0.22 % |
0.31 % |
0.32 % |
0.05 |
(0.02) |
|||||||
|
Recoveries to gross charge-offs |
12.50 % |
9.09 % |
18.52 % |
15.19 % |
14.05 % |
3.41 |
(1.55) |
|||||||
|
ACLLL to loans and leases |
0.96 % |
0.98 % |
0.98 % |
1.12 % |
1.12 % |
(0.02) |
(0.16) |
|||||||
|
ACL to loans and leases |
1.00 % |
1.02 % |
1.01 % |
1.17 % |
1.17 % |
(0.02) |
(0.17) |
|||||||
|
nm = Percentage changes greater than +/-500% are considered not meaningful and are presented as “nm.” |
||||||||||||||
|
Columbia Banking System, Inc. |
|||||||||||||||||
|
Consolidated Average Balance Sheets, Net Interest Income, and Yields/Rates |
|||||||||||||||||
|
(Unaudited) |
|||||||||||||||||
|
Quarter Ended |
|||||||||||||||||
|
March 31, 2026 |
December 31, 2025 |
March 31, 2025 |
|||||||||||||||
|
($ in millions) |
Average |
Interest |
Average |
Average |
Interest |
Average |
Average |
Interest |
Average |
||||||||
|
INTEREST-EARNING ASSETS: |
|||||||||||||||||
|
Loans held for sale |
$ 189 |
$ 3 |
5.17 % |
$ 306 |
$ 5 |
5.51 % |
$ 59 |
$ 1 |
6.32 % |
||||||||
|
Loans and leases (1) |
47,714 |
681 |
5.78 % |
48,186 |
717 |
5.92 % |
37,679 |
552 |
5.92 % |
||||||||
|
Taxable securities |
10,097 |
106 |
4.22 % |
9,996 |
105 |
4.23 % |
7,691 |
72 |
3.72 % |
||||||||
|
Non-taxable securities (2) |
1,253 |
14 |
4.51 % |
1,268 |
14 |
4.53 % |
817 |
8 |
3.87 % |
||||||||
|
Temporary investments and |
1,578 |
14 |
3.65 % |
1,923 |
19 |
3.82 % |
1,494 |
16 |
4.45 % |
||||||||
|
Total interest-earning assets (1), (2) |
60,831 |
$ 818 |
5.44 % |
61,679 |
$ 860 |
5.55 % |
47,740 |
$ 649 |
5.49 % |
||||||||
|
Goodwill and other intangible |
2,175 |
2,217 |
1,502 |
||||||||||||||
|
Other assets |
3,209 |
3,218 |
2,211 |
||||||||||||||
|
Total assets |
$ 66,215 |
$ 67,114 |
$ 51,453 |
||||||||||||||
|
INTEREST-BEARING LIABILITIES: |
|||||||||||||||||
|
Interest-bearing demand deposits |
$ 10,780 |
$ 43 |
1.60 % |
$ 11,052 |
$ 51 |
1.81 % |
$ 8,371 |
$ 46 |
2.26 % |
||||||||
|
Money market deposits |
16,848 |
88 |
2.12 % |
17,010 |
94 |
2.22 % |
11,603 |
69 |
2.40 % |
||||||||
|
Savings deposits |
2,443 |
1 |
0.12 % |
2,463 |
1 |
0.12 % |
2,350 |
1 |
0.10 % |
||||||||
|
Time deposits (3) |
6,414 |
52 |
3.32 % |
6,741 |
49 |
2.88 % |
6,136 |
61 |
4.01 % |
||||||||
|
Total interest-bearing deposits |
36,485 |
184 |
2.04 % |
37,266 |
195 |
2.08 % |
28,460 |
177 |
2.52 % |
||||||||
|
Repurchase agreements and |
187 |
1 |
1.86 % |
184 |
1 |
2.16 % |
216 |
1 |
1.83 % |
||||||||
|
Borrowings |
3,071 |
30 |
3.96 % |
2,581 |
27 |
4.20 % |
3,039 |
36 |
4.82 % |
||||||||
|
Junior and other subordinated debentures |
435 |
7 |
7.03 % |
436 |
8 |
7.53 % |
438 |
9 |
7.94 % |
||||||||
|
Total interest-bearing liabilities |
40,178 |
$ 222 |
2.24 % |
40,467 |
$ 231 |
2.27 % |
32,153 |
$ 223 |
2.80 % |
||||||||
|
Non-interest-bearing deposits |
17,378 |
17,902 |
13,239 |
||||||||||||||
|
Other liabilities |
873 |
931 |
844 |
||||||||||||||
|
Total liabilities |
58,429 |
59,300 |
46,236 |
||||||||||||||
|
Common equity |
7,786 |
7,814 |
5,217 |
||||||||||||||
|
Total liabilities and shareholders’ |
$ 66,215 |
$ 67,114 |
$ 51,453 |
||||||||||||||
|
NET INTEREST INCOME (2) |
$ 596 |
$ 629 |
$ 426 |
||||||||||||||
|
NET INTEREST SPREAD (2) |
3.20 % |
3.28 % |
2.69 % |
||||||||||||||
|
NET INTEREST INCOME TO |
3.96 % |
4.06 % |
3.60 % |
||||||||||||||
|
(1) |
Non-accrual loans and leases are included in the average balance. |
|
(2) |
Tax-exempt income was adjusted to a tax equivalent basis at a 21% tax rate. The amount of such adjustment was an addition to recorded income of approximately $2 million for the three months ended March 31, 2026, as compared to $2 million for the three months ended December 31, 2025 and $1 million for the three months ended March 31, 2025. |
|
(3) |
Includes the amortization of a premium on acquired time deposits that reduced interest expense by $12 million for the three months ended December 31, 2025. There was no amortization for the three months ended March 31, 2026 or March 31, 2025. |
|
Columbia Banking System, Inc. |
|||||||||||||
|
Residential Mortgage Banking Activity |
|||||||||||||
|
(Unaudited) |
|||||||||||||
|
Quarter Ended |
% |
||||||||||||
|
($ in millions) |
Mar 31, |
Dec 31, |
Sep 30, |
Jun 30, |
Mar 31, |
Seq. |
Year |
||||||
|
Residential mortgage banking revenue: |
|||||||||||||
|
Origination and sale |
$ 5 |
$ 5 |
$ 5 |
$ 5 |
$ 4 |
— % |
25 % |
||||||
|
Servicing |
6 |
6 |
5 |
6 |
6 |
— % |
— % |
||||||
|
Change in fair value of MSR asset: |
|||||||||||||
|
Changes due to collection/realization of |
(3) |
(3) |
(3) |
(3) |
(3) |
— % |
— % |
||||||
|
Changes due to valuation inputs or |
6 |
(1) |
— |
(2) |
(1) |
nm |
nm |
||||||
|
MSR hedge (loss) gain |
(2) |
— |
— |
2 |
3 |
nm |
(167) % |
||||||
|
Total |
$ 12 |
$ 7 |
$ 7 |
$ 8 |
$ 9 |
71 % |
33 % |
||||||
|
Closed loan volume for sale |
$ 171 |
$ 176 |
$ 166 |
$ 164 |
$ 136 |
(3) % |
26 % |
||||||
|
Gain on sale margin |
2.92 % |
2.84 % |
3.01 % |
2.77 % |
3.23 % |
0.08 |
-0.31 |
||||||
|
Residential mortgage servicing rights: |
|||||||||||||
|
Balance, beginning of period |
$ 99 |
$ 101 |
$ 103 |
$ 106 |
$ 108 |
(2) % |
(8) % |
||||||
|
Additions for new MSR capitalized |
3 |
2 |
1 |
2 |
2 |
50 % |
50 % |
||||||
|
Change in fair value of MSR asset: |
|||||||||||||
|
Changes due to collection/realization of |
(3) |
(3) |
(3) |
(3) |
(3) |
— % |
— % |
||||||
|
Changes due to valuation inputs or |
6 |
(1) |
— |
(2) |
(1) |
nm |
nm |
||||||
|
Balance, end of period |
$ 105 |
$ 99 |
$ 101 |
$ 103 |
$ 106 |
6 % |
(1) % |
||||||
|
Residential mortgage loans serviced for others |
$ 7,812 |
$ 7,755 |
$ 7,797 |
$ 7,852 |
$ 7,888 |
1 % |
(1) % |
||||||
|
MSR as % of serviced portfolio |
1.34 % |
1.28 % |
1.30 % |
1.31 % |
1.34 % |
0.06 |
— |
||||||
|
nm = Percentage changes greater than +/-500% are considered not meaningful and are presented as “nm.” |
|||||||||||||
Non-GAAP Financial Measures
In addition to results presented in accordance with generally accepted accounting principles in the United States of America (“GAAP”), this press release contains certain non-GAAP financial measures. The Company believes presenting certain non-GAAP financial measures provides investors with information useful in understanding our financial performance, our performance trends, and our financial position. We utilize these measures for internal planning and forecasting purposes, and operating pre-provision net revenue and operating return on tangible common equity are also used as part of our incentive compensation program for our executive officers. We, as well as securities analysts, investors, and other interested parties, also use these measures to compare peer company operating performance. We believe that our presentation and discussion, together with the accompanying reconciliations, provides a complete understanding of factors and trends affecting our business and allows investors to view performance in a manner similar to management. These non-GAAP measures should not be considered a substitution for GAAP basis measures and results, and we strongly encourage investors to review our consolidated financial statements in their entirety and not to rely on any single financial measure. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names.
|
Columbia Banking System, Inc. |
|||||||||||||||
|
GAAP to Non-GAAP Reconciliation |
|||||||||||||||
|
Tangible Capital, as adjusted |
|||||||||||||||
|
(Unaudited) |
|||||||||||||||
|
Quarter Ended |
% Change |
||||||||||||||
|
($ in millions, except per-share data) |
Mar 31, 2026 |
Dec 31, 2025 |
Sep 30, 2025 |
Jun 30, 2025 |
Mar 31, 2025 |
Seq. |
Year |
||||||||
|
Total shareholders’ equity |
a |
$ 7,664 |
$ 7,840 |
$ 7,790 |
$ 5,342 |
$ 5,238 |
(2) % |
46 % |
|||||||
|
Less: Goodwill |
1,482 |
1,482 |
1,481 |
1,029 |
1,029 |
— % |
44 % |
||||||||
|
Less: Other intangible assets, net |
671 |
712 |
754 |
430 |
456 |
(6) % |
47 % |
||||||||
|
Tangible common shareholders’ equity |
b |
$ 5,511 |
$ 5,646 |
$ 5,555 |
$ 3,883 |
$ 3,753 |
(2) % |
47 % |
|||||||
|
Total assets |
c |
$ 66,027 |
$ 66,832 |
$ 67,496 |
$ 51,901 |
$ 51,519 |
(1) % |
28 % |
|||||||
|
Less: Goodwill |
1,482 |
1,482 |
1,481 |
1,029 |
1,029 |
— % |
44 % |
||||||||
|
Less: Other intangible assets, net |
671 |
712 |
754 |
430 |
456 |
(6) % |
47 % |
||||||||
|
Tangible assets |
d |
$ 63,874 |
$ 64,638 |
$ 65,261 |
$ 50,442 |
$ 50,034 |
(1) % |
28 % |
|||||||
|
Common shares outstanding at period end (in |
e |
289,530 |
295,422 |
299,147 |
210,213 |
210,112 |
(2) % |
38 % |
|||||||
|
Total shareholders’ equity to total assets ratio |
a / c |
11.61 % |
11.73 % |
11.54 % |
10.29 % |
10.17 % |
(0.12) |
1.44 |
|||||||
|
Tangible common equity to tangible assets ratio |
b / d |
8.63 % |
8.73 % |
8.51 % |
7.70 % |
7.50 % |
(0.10) |
1.13 |
|||||||
|
Book value per common share |
a / e |
$ 26.47 |
$ 26.54 |
$ 26.04 |
$ 25.41 |
$ 24.93 |
— % |
6 % |
|||||||
|
Tangible book value per common share |
b / e |
$ 19.03 |
$ 19.11 |
$ 18.57 |
$ 18.47 |
$ 17.86 |
— % |
7 % |
|||||||
|
Columbia Banking System, Inc. |
|||||||||||||||
|
GAAP to Non-GAAP Reconciliation – Continued |
|||||||||||||||
|
Income Statements, as adjusted |
|||||||||||||||
|
(Unaudited) |
|||||||||||||||
|
Quarter Ended |
% Change |
||||||||||||||
|
($ in millions) |
Mar 31, 2026 |
Dec 31, 2025 |
Sep 30, 2025 |
Jun 30, 2025 |
Mar 31, 2025 |
Seq. |
Year |
||||||||
|
Non-Interest Income Adjustments |
|||||||||||||||
|
Gain on investment securities, net |
$ — |
$ 2 |
$ 2 |
$ — |
$ 2 |
(100) % |
(100) % |
||||||||
|
Gain (loss) on swap derivatives |
— |
1 |
(1) |
(1) |
(1) |
(100) % |
nm |
||||||||
|
(Loss) gain on loans held for investment, at |
(2) |
— |
4 |
— |
7 |
nm |
(129) % |
||||||||
|
Change in fair value of MSR due to valuation |
6 |
(1) |
— |
(2) |
(1) |
nm |
nm |
||||||||
|
MSR hedge (loss) gain |
(2) |
— |
— |
2 |
3 |
nm |
(167) % |
||||||||
|
Total non-interest income adjustments |
a |
$ 2 |
$ 2 |
$ 5 |
$ (1) |
$ 10 |
— % |
(80) % |
|||||||
|
Non-Interest Expense Adjustments |
|||||||||||||||
|
Merger and restructuring expense |
$ 24 |
$ 39 |
$ 87 |
$ 8 |
$ 14 |
(38) % |
71 % |
||||||||
|
Exit and disposal costs |
1 |
1 |
— |
— |
1 |
0 % |
— % |
||||||||
|
FDIC special assessment |
— |
(5) |
(1) |
— |
— |
nm |
nm |
||||||||
|
Legal settlement and other non-operating |
— |
4 |
— |
— |
55 |
(100) % |
(100) % |
||||||||
|
Total non-interest expense adjustments |
b |
$ 25 |
$ 39 |
$ 86 |
$ 8 |
$ 70 |
(36) % |
(64) % |
|||||||
|
Net interest income |
c |
$ 594 |
$ 627 |
$ 505 |
$ 446 |
$ 425 |
(5) % |
40 % |
|||||||
|
Non-interest income (GAAP) |
d |
$ 83 |
$ 90 |
$ 77 |
$ 65 |
$ 66 |
(8) % |
26 % |
|||||||
|
Less: Non-interest income adjustments |
a |
(2) |
(2) |
(5) |
1 |
(10) |
— % |
(80) % |
|||||||
|
Operating non-interest income (non-GAAP) |
e |
$ 81 |
$ 88 |
$ 72 |
$ 66 |
$ 56 |
(8) % |
45 % |
|||||||
|
Revenue (GAAP) |
f=c+d |
$ 677 |
$ 717 |
$ 582 |
$ 511 |
$ 491 |
(6) % |
38 % |
|||||||
|
Operating revenue (non-GAAP) |
g=c+e |
$ 675 |
$ 715 |
$ 577 |
$ 512 |
$ 481 |
(6) % |
40 % |
|||||||
|
Non-interest expense (GAAP) |
h |
$ 394 |
$ 412 |
$ 393 |
$ 278 |
$ 340 |
(4) % |
16 % |
|||||||
|
Less: Non-interest expense adjustments |
b |
(25) |
(39) |
(86) |
(8) |
(70) |
(36) % |
(64) % |
|||||||
|
Operating non-interest expense (non-GAAP) |
i |
$ 369 |
$ 373 |
$ 307 |
$ 270 |
$ 270 |
(1) % |
37 % |
|||||||
|
Net income (GAAP) |
j |
$ 192 |
$ 215 |
$ 96 |
$ 152 |
$ 87 |
(11) % |
121 % |
|||||||
|
Provision for income taxes |
63 |
67 |
23 |
51 |
37 |
(6) % |
70 % |
||||||||
|
Income before provision for income taxes |
255 |
282 |
119 |
203 |
124 |
(10) % |
106 % |
||||||||
|
Provision for credit losses |
28 |
23 |
70 |
30 |
27 |
22 % |
4 % |
||||||||
|
Pre-provision net revenue (PPNR) (non- |
k |
283 |
305 |
189 |
233 |
151 |
(7) % |
87 % |
|||||||
|
Less: Non-interest income adjustments |
a |
(2) |
(2) |
(5) |
1 |
(10) |
— % |
(80) % |
|||||||
|
Add: Non-interest expense adjustments |
b |
25 |
39 |
86 |
8 |
70 |
(36) % |
(64) % |
|||||||
|
Operating PPNR (non-GAAP) |
l |
$ 306 |
$ 342 |
$ 270 |
$ 242 |
$ 211 |
(11) % |
45 % |
|||||||
|
Net income (GAAP) |
j |
$ 192 |
$ 215 |
$ 96 |
$ 152 |
$ 87 |
(11) % |
121 % |
|||||||
|
Acquisition-related provision expense |
— |
— |
70 |
— |
— |
nm |
nm |
||||||||
|
Less: Non-interest income adjustments |
a |
(2) |
(2) |
(5) |
1 |
(10) |
— % |
(80) % |
|||||||
|
Add: Non-interest expense adjustments |
b |
25 |
39 |
86 |
8 |
70 |
(36) % |
(64) % |
|||||||
|
Tax effect of adjustments |
(6) |
(9) |
(43) |
(1) |
(8) |
(33) % |
(25) % |
||||||||
|
Operating net income (non-GAAP) |
m |
$ 209 |
$ 243 |
$ 204 |
$ 160 |
$ 139 |
(14) % |
50 % |
|||||||
|
nm = Percentage changes greater than +/-500% are considered not meaningful and are presented as “nm.” |
|||||||||||||||
|
Columbia Banking System, Inc. |
|||||||||||||||
|
GAAP to Non-GAAP Reconciliation – Continued |
|||||||||||||||
|
Average Balances, Earnings Per Share, and Performance Metrics, as adjusted |
|||||||||||||||
|
(Unaudited) |
|||||||||||||||
|
Quarter Ended |
% Change |
||||||||||||||
|
($ in millions, shares in thousands) |
Mar 31, 2026 |
Dec 31, 2025 |
Sep 30, 2025 |
Jun 30, 2025 |
Mar 31, 2025 |
Seq. |
Year |
||||||||
|
Average assets |
n |
$ 66,215 |
$ 67,114 |
$ 56,823 |
$ 51,552 |
$ 51,453 |
(1) % |
29 % |
|||||||
|
Less: Average goodwill and other intangible |
2,175 |
2,217 |
1,719 |
1,472 |
1,502 |
(2) % |
45 % |
||||||||
|
Average tangible assets |
o |
$ 64,040 |
$ 64,897 |
$ 55,104 |
$ 50,080 |
$ 49,951 |
(1) % |
28 % |
|||||||
|
Average common shareholders’ equity |
p |
$ 7,786 |
$ 7,814 |
$ 6,157 |
$ 5,287 |
$ 5,217 |
0 % |
49 % |
|||||||
|
Less: Average goodwill and other intangible |
2,175 |
2,217 |
1,719 |
1,472 |
1,502 |
(2) % |
45 % |
||||||||
|
Average tangible common equity |
q |
$ 5,611 |
$ 5,597 |
$ 4,438 |
$ 3,815 |
$ 3,715 |
0 % |
51 % |
|||||||
|
Weighted average basic shares outstanding |
r |
290,933 |
295,376 |
237,838 |
209,125 |
208,800 |
(2) % |
39 % |
|||||||
|
Weighted average diluted shares |
s |
292,160 |
296,760 |
238,925 |
209,975 |
210,023 |
(2) % |
39 % |
|||||||
|
Select Per-Share & Performance Metrics |
|||||||||||||||
|
Earnings per share – basic |
j / r |
$ 0.66 |
$ 0.72 |
$ 0.40 |
$ 0.73 |
$ 0.41 |
(8) % |
61 % |
|||||||
|
Earnings per share – diluted |
j / s |
$ 0.66 |
$ 0.72 |
$ 0.40 |
$ 0.73 |
$ 0.41 |
(8) % |
61 % |
|||||||
|
Efficiency ratio (1) |
h / f |
58.03 % |
57.30 % |
67.29 % |
54.29 % |
69.06 % |
0.73 |
(11.03) |
|||||||
|
Non-interest expense to average assets |
h / n |
2.41 % |
2.44 % |
2.74 % |
2.16 % |
2.68 % |
(0.03) |
(0.27) |
|||||||
|
Return on average assets |
j / n |
1.18 % |
1.27 % |
0.67 % |
1.19 % |
0.68 % |
(0.09) |
0.50 |
|||||||
|
Return on average tangible assets |
j / o |
1.22 % |
1.31 % |
0.69 % |
1.22 % |
0.70 % |
(0.09) |
0.52 |
|||||||
|
PPNR return on average assets |
k / n |
1.73 % |
1.80 % |
1.32 % |
1.81 % |
1.19 % |
(0.07) |
0.54 |
|||||||
|
Return on average common equity |
j / p |
10.00 % |
10.92 % |
6.19 % |
11.56 % |
6.73 % |
(0.92) |
3.27 |
|||||||
|
Return on average tangible common equity |
j / q |
13.88 % |
15.24 % |
8.58 % |
16.03 % |
9.45 % |
(1.36) |
4.43 |
|||||||
|
Operating Per-Share & Performance Metrics |
|||||||||||||||
|
Operating earnings per share – basic |
m / r |
$ 0.72 |
$ 0.82 |
$ 0.86 |
$ 0.77 |
$ 0.67 |
(12) % |
7 % |
|||||||
|
Operating earnings per share – diluted |
m / s |
$ 0.72 |
$ 0.82 |
$ 0.85 |
$ 0.76 |
$ 0.67 |
(12) % |
7 % |
|||||||
|
Operating efficiency ratio, as adjusted (1) |
u / y |
53.68 % |
51.39 % |
52.32 % |
51.79 % |
55.11 % |
2.29 |
(1.43) |
|||||||
|
Operating non-interest expense to average |
i / n |
2.26 % |
2.20 % |
2.14 % |
2.10 % |
2.13 % |
0.06 |
0.13 |
|||||||
|
Operating return on average assets |
m / n |
1.28 % |
1.44 % |
1.42 % |
1.25 % |
1.10 % |
(0.16) |
0.18 |
|||||||
|
Operating return on average tangible assets |
m / o |
1.32 % |
1.49 % |
1.47 % |
1.28 % |
1.13 % |
(0.17) |
0.19 |
|||||||
|
Operating PPNR return on average assets |
l / n |
1.87 % |
2.02 % |
1.89 % |
1.88 % |
1.67 % |
(0.15) |
0.20 |
|||||||
|
Operating return on average common equity |
m / p |
10.89 % |
12.34 % |
13.15 % |
12.16 % |
10.87 % |
(1.45) |
0.02 |
|||||||
|
Operating return on average tangible common |
m / q |
15.11 % |
17.22 % |
18.24 % |
16.85 % |
15.26 % |
(2.11) |
(0.15) |
|||||||
|
(1) Tax-exempt interest was adjusted to a taxable equivalent basis using a 21% tax rate and added to stated revenue for this calculation. |
|
Columbia Banking System, Inc. |
|||||||||||||||
|
GAAP to Non-GAAP Reconciliation – Continued |
|||||||||||||||
|
Operating Efficiency Ratio, as adjusted |
|||||||||||||||
|
(Unaudited) |
|||||||||||||||
|
Quarter Ended |
% Change |
||||||||||||||
|
($ in millions) |
Mar 31, 2026 |
Dec 31, 2025 |
Sep 30, 2025 |
Jun 30, 2025 |
Mar 31, 2025 |
Seq. |
Year |
||||||||
|
Non-interest expense (GAAP) |
h |
$ 394 |
$ 412 |
$ 393 |
$ 278 |
$ 340 |
(4) % |
16 % |
|||||||
|
Less: Non-interest expense adjustments |
b |
(25) |
(39) |
(86) |
(8) |
(70) |
(36) % |
(64) % |
|||||||
|
Operating non-interest expense (non-GAAP) |
i |
369 |
373 |
307 |
270 |
270 |
(1) % |
37 % |
|||||||
|
Less: B&O taxes |
t |
(4) |
(3) |
(3) |
(3) |
(3) |
33 % |
33 % |
|||||||
|
Operating non-interest expense, excluding |
u |
$ 365 |
$ 370 |
$ 304 |
$ 267 |
$ 267 |
(1) % |
37 % |
|||||||
|
Net interest income (tax equivalent) (1) |
v |
$ 596 |
$ 629 |
$ 507 |
$ 447 |
$ 426 |
(5) % |
40 % |
|||||||
|
Non-interest income (GAAP) |
d |
83 |
90 |
77 |
65 |
66 |
(8) % |
26 % |
|||||||
|
Add: BOLI tax equivalent adjustment (1) |
w |
3 |
3 |
2 |
2 |
1 |
— % |
200 % |
|||||||
|
Total Revenue, excluding BOLI tax equivalent |
x |
682 |
722 |
586 |
514 |
493 |
(6) % |
38 % |
|||||||
|
Less: Non-interest income adjustments |
a |
(2) |
(2) |
(5) |
1 |
(10) |
— % |
(80) % |
|||||||
|
Total Adjusted Operating Revenue, |
y |
$ 680 |
$ 720 |
$ 581 |
$ 515 |
$ 483 |
(6) % |
41 % |
|||||||
|
Efficiency ratio (1) |
h / f |
58.03 % |
57.30 % |
67.29 % |
54.29 % |
69.06 % |
0.73 |
(11.03) |
|||||||
|
Operating efficiency ratio, as adjusted (non-GAAP) (1) |
u / y |
53.68 % |
51.39 % |
52.32 % |
51.79 % |
55.11 % |
2.29 |
(1.43) |
|||||||
|
nm = Percentage changes greater than +/-500% are considered not meaningful and are presented as “nm.” |
|||||||||||||||
|
(1) Tax-exempt income was adjusted to a taxable equivalent basis using a 21% tax rate and added to stated revenue for this calculation. |
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SOURCE Columbia Banking System, Inc.
