UMB Financial (UMBF) investor relations material

Executive summary

• GAAP net income available to common shareholders was $255.6 million ($3.35 per diluted share), up 222.3% year-over-year and 22% sequentially, reflecting record profitability and strong post-acquisition momentum.

• Net interest income reached $534.4 million, up 34.4% year-over-year and 2.3% sequentially, with core NII (excluding purchase accounting accretion) at $483.4 million, up 2.9% sequentially.

• Noninterest income rose 23.2% year-over-year to $204.8 million, driven by trust and securities processing, trading, and gains on previously charged-off loans.

• Operating efficiency ratio improved to 47.6%, reflecting disciplined expense management and lower acquisition costs.

• Results reflect continued momentum post-Heartland Financial (HTLF) acquisition, with strong loan growth and improved efficiency.

Financial highlights

• Average loans grew to $39.4 billion, up 22% year-over-year and 2.7% sequentially; end-of-period loans reached $40.1 billion.

• Net interest margin (FTE) expanded to 3.38%, up 42 basis points year-over-year and 9 basis points sequentially.

• Noninterest expense decreased 1.0% to $380.9 million, reflecting lower acquisition-related costs.

• Provision for credit losses was $27 million, down from $86 million in Q1 2025, as prior year included $62 million for HTLF loan allowances.

• Allowance for credit losses on loans was 1.06% of total loans at quarter-end.

Outlook and guidance

• Management expects continued above-peer earning asset growth, supported by a flexible balance sheet and strong capital position.

• Second quarter operating expense anticipated to align with consensus of $383 million, reflecting merit cycle and one additional salary day.

• Tax rate projected between 20%-22% for 2026.

• Management remains optimistic about loan demand and pipeline health despite macroeconomic uncertainties.

• Risks from inflation, high interest rates, and geopolitical tensions are acknowledged, but balance sheet and risk management discipline are emphasized.