v3.26.1
Business Segment Reporting
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Business Segment Reporting

8. Business Segment Reporting

The Company has strategically aligned its operations into the following three reportable segments: Commercial Banking, Institutional Banking, and Personal Banking (collectively, the Business Segments, and each, a Business Segment). These segments reflect the type of customer served, how products and services are provided, how executive management responsibilities are assigned, and reflect the manner in which financial information is evaluated by the chief operating decision maker (CODM). The Company’s CODM is comprised of a group of senior executive officers led by the Company’s chief executive officer, chief administrative officer, chief financial officer, and the Bank’s chief executive officer.

Business Segment financial information is produced using an internal reporting system which is based on a series of management estimates for funds transfer pricing (FTP), and allocations of noninterest expense and income taxes. The process for determining FTP is based on a number of factors and assumptions, including prevailing market interest rates, the expected lives of various assets and liabilities, and the Company’s broader funding profile. These estimates and allocations are periodically reviewed and refined. The CODM uses the Business Segment net income in deciding how to allocate resources and assess performance for individual Business Segments, including evaluating the cost or opportunity value of funds within each Business Segment and identifying areas of focus for organic growth or acquisition. For comparability purposes, amounts in all periods are based on methodologies in effect at June 30, 2026. Previously reported results have been reclassified in this filing to conform to the current organizational structure.

The following summaries provide information about the activities of each Business Segment:

Commercial Banking serves the commercial banking and treasury management needs of the Company’s small to middle-market businesses through a variety of products and services. Such services include commercial loans, commercial real estate financing, commercial credit cards, letters of credit, loan syndication services, and consultative services. In addition, the Company’s specialty lending group offers a variety of business solutions including asset-based lending, mezzanine debt and minority equity investments. Treasury management services include depository services, account reconciliation and cash management tools such as, accounts payable and receivable solutions, electronic fund transfer and automated payments, controlled disbursements, lockbox services and remote deposit capture services.

Institutional Banking is a combination of banking services, fund services, asset management services and healthcare services provided to institutional clients. This segment also provides fixed income sales, trading and underwriting, corporate trust and escrow services, as well as institutional custody. Institutional Banking includes UMB Fund Services, which provides fund administration and accounting, investor services and transfer agency, and other services to mutual funds and alternative investment groups. Healthcare services provides healthcare payment solutions including custodial services for health savings accounts (HSAs) and private label, multipurpose debit cards to insurance carriers, third-party administrators, software companies, employers, and financial institutions.

Personal Banking combines consumer banking and wealth management services offered to clients and delivered through personal relationships and the Company’s bank branches, ATM network and internet banking. Products offered include deposit accounts, retail credit cards, private banking, installment loans, home equity lines of credit, and residential mortgages. The range of client services extends from a basic checking account to estate planning and trust services and includes private banking, brokerage services, and insurance services in addition to a full spectrum of investment advisory, trust, and custody services.

Business Segment Information

Business Segment financial results for the three and six months ended June 30, 2026 and June 30, 2025 were as follows (in thousands):

 

 

 

Three Months Ended June 30, 2026

 

 

 

Commercial Banking

 

 

Institutional Banking

 

 

Personal Banking

 

 

Total

 

Net interest income

 

$

362,575

 

 

$

79,048

 

 

$

90,902

 

 

$

532,525

 

Provision for credit losses

 

 

24,733

 

 

 

627

 

 

 

2,640

 

 

 

28,000

 

Noninterest income

 

 

51,939

 

 

 

129,191

 

 

 

64,375

 

 

 

245,505

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

53,977

 

 

 

53,327

 

 

 

38,383

 

 

 

145,687

 

Processing fees

 

 

4,328

 

 

 

10,579

 

 

 

4,799

 

 

 

19,706

 

Bankcard

 

 

2,833

 

 

 

6,318

 

 

 

2,675

 

 

 

11,826

 

Amortization of other intangible assets

 

 

—

 

 

 

1,972

 

 

 

75

 

 

 

2,047

 

Allocated technology, service, overhead

 

 

93,137

 

 

 

38,829

 

 

 

46,016

 

 

 

177,982

 

Other segment items*

 

 

14,978

 

 

 

11,502

 

 

 

15,905

 

 

 

42,385

 

Noninterest expense

 

 

169,253

 

 

 

122,527

 

 

 

107,853

 

 

 

399,633

 

Income before taxes

 

 

220,528

 

 

 

85,085

 

 

 

44,784

 

 

 

350,397

 

Income tax expense

 

 

45,835

 

 

 

17,684

 

 

 

9,308

 

 

 

72,827

 

Net income

 

$

174,693

 

 

$

67,401

 

 

$

35,476

 

 

$

277,570

 

Average assets

 

$

35,374,000

 

 

$

21,070,000

 

 

$

13,963,000

 

 

$

70,407,000

 

*Other segment items include occupancy, equipment, supplies and services, marketing and business development costs, legal and consulting, and regulatory fees.

 

 

 

Three Months Ended June 30, 2025

 

 

 

Commercial Banking

 

 

Institutional Banking

 

 

Personal Banking

 

 

Total

 

Net interest income

 

$

322,619

 

 

$

66,331

 

 

$

78,074

 

 

$

467,024

 

Provision for credit losses

 

 

18,334

 

 

 

430

 

 

 

2,236

 

 

 

21,000

 

Noninterest income

 

 

43,219

 

 

 

107,998

 

 

 

70,968

 

 

 

222,185

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

53,685

 

 

 

47,278

 

 

 

39,450

 

 

 

140,413

 

Processing fees

 

 

3,770

 

 

 

9,778

 

 

 

4,948

 

 

 

18,496

 

Bankcard

 

 

3,620

 

 

 

5,424

 

 

 

3,331

 

 

 

12,375

 

Amortization of other intangible assets

 

 

—

 

 

 

1,776

 

 

 

103

 

 

 

1,879

 

Allocated technology, service, overhead

 

 

95,114

 

 

 

31,921

 

 

 

50,037

 

 

 

177,072

 

Other segment items*

 

 

14,459

 

 

 

8,960

 

 

 

19,514

 

 

 

42,933

 

Noninterest expense

 

 

170,648

 

 

 

105,137

 

 

 

117,383

 

 

 

393,168

 

Income before taxes

 

 

176,856

 

 

 

68,762

 

 

 

29,423

 

 

 

275,041

 

Income tax expense

 

 

37,068

 

 

 

14,412

 

 

 

6,167

 

 

 

57,647

 

Net income

 

$

139,788

 

 

$

54,350

 

 

$

23,256

 

 

$

217,394

 

Average assets

 

$

33,917,000

 

 

$

18,978,000

 

 

$

13,977,000

 

 

$

66,872,000

 

 

 

 

 

Six Months Ended June 30, 2026

 

 

 

Commercial Banking

 

 

Institutional Banking

 

 

Personal Banking

 

 

Total

 

Net interest income

 

$

727,917

 

 

$

156,336

 

 

$

182,638

 

 

$

1,066,891

 

Provision for credit losses

 

 

48,510

 

 

 

1,125

 

 

 

5,365

 

 

 

55,000

 

Noninterest income

 

 

98,228

 

 

 

251,020

 

 

 

101,050

 

 

 

450,298

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

110,403

 

 

 

103,965

 

 

 

78,307

 

 

 

292,675

 

Processing fees

 

 

8,355

 

 

 

21,249

 

 

 

9,181

 

 

 

38,785

 

Bankcard

 

 

5,682

 

 

 

12,830

 

 

 

5,185

 

 

 

23,697

 

Amortization of other intangible assets

 

 

—

 

 

 

3,945

 

 

 

150

 

 

 

4,095

 

Allocated technology, service, overhead

 

 

178,773

 

 

 

72,705

 

 

 

90,420

 

 

 

341,898

 

Other segment items*

 

 

31,492

 

 

 

20,764

 

 

 

27,110

 

 

 

79,366

 

Noninterest expense

 

 

334,705

 

 

 

235,458

 

 

 

210,353

 

 

 

780,516

 

Income before taxes

 

 

442,930

 

 

 

170,773

 

 

 

67,970

 

 

 

681,673

 

Income tax expense

 

 

92,699

 

 

 

35,741

 

 

 

14,225

 

 

 

142,665

 

Net income

 

$

350,231

 

 

$

135,032

 

 

$

53,745

 

 

$

539,008

 

Average assets

 

$

35,133,000

 

 

$

21,266,000

 

 

$

14,017,000

 

 

$

70,416,000

 

 

 

 

Six Months Ended June 30, 2025

 

 

 

Commercial Banking

 

 

Institutional Banking

 

 

Personal Banking

 

 

Total

 

Net interest income

 

$

596,536

 

 

$

127,489

 

 

$

140,638

 

 

$

864,663

 

Provision for credit losses

 

 

85,085

 

 

 

865

 

 

 

21,050

 

 

 

107,000

 

Noninterest income

 

 

80,438

 

 

 

211,792

 

 

 

96,153

 

 

 

388,383

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

107,271

 

 

 

94,464

 

 

 

75,448

 

 

 

277,183

 

Processing fees

 

 

7,434

 

 

 

20,425

 

 

 

9,392

 

 

 

37,251

 

Bankcard

 

 

6,793

 

 

 

11,461

 

 

 

6,917

 

 

 

25,171

 

Amortization of other intangible assets

 

 

—

 

 

 

3,562

 

 

 

206

 

 

 

3,768

 

Allocated technology, service, overhead

 

 

196,240

 

 

 

64,165

 

 

 

102,501

 

 

 

362,906

 

Other segment items*

 

 

25,922

 

 

 

18,325

 

 

 

27,429

 

 

 

71,676

 

Noninterest expense

 

 

343,660

 

 

 

212,402

 

 

 

221,893

 

 

 

777,955

 

Income (loss) before taxes

 

 

248,229

 

 

 

126,014

 

 

 

(6,152

)

 

 

368,091

 

Income tax expense (benefit)

 

 

46,777

 

 

 

23,746

 

 

 

(1,159

)

 

 

69,364

 

Net income (loss)

 

$

201,452

 

 

$

102,268

 

 

$

(4,993

)

 

$

298,727

 

Average assets

 

$

31,979,000

 

 

$

18,658,000

 

 

$

12,803,000

 

 

$

63,440,000