3 unchanged sentences
(Dollars in thousands)
−Removed: September 30,
Cash and due from banks
16 unchanged sentences
Total deposits
−Removed: Short-term borrowings
Accrued interest payable and other liabilities
20 unchanged sentences
Three Months Ended
−Removed: Nine Months Ended
−Removed: September 30,
−Removed: September 30,
INTEREST INCOME
8 unchanged sentences
Net interest income
−Removed: Provision for credit losses
+Added: Provision for credit losses on loans
+Added: Provision for off-balance sheet credit exposures
+Added: Total provision for credit losses
Net interest income after provision for credit losses
6 unchanged sentences
Cash management
−Removed: (Loss)/gain on sale of other assets
+Added: Gain/(loss) on sale of other assets
Total noninterest income
12 unchanged sentences
OTHER COMPREHENSIVE GAIN/(LOSS)
−Removed: Unrealized income/(loss) on debt securities, net of tax (expense)/benefit of $( 7,387 ), $ 1,919 , $( 7,922 ) and $ 1,765 , respectively
−Removed: Other comprehensive income/(loss), net of tax (expense)/benefit of $( 7,387 ), $ 1,919 , $( 7,922 ) and $ 1,765 , respectively
+Added: Unrealized gains/(losses) on debt securities, net of (expense)/tax benefit of $( 2,838 ) and $ 728 , respectively
+Added: Other comprehensive gain/(loss), net of tax (expense)/benefit of $( 2,838 ) and $ 728 , respectively
Comprehensive income
4 unchanged sentences
Three Months Ended
−Removed: Nine Months Ended
−Removed: September 30,
−Removed: September 30,
Issued at beginning of period
Shares issued for stock options
−Removed: Shares acquired and canceled
Issued at end of period
7 unchanged sentences
Dividends on common stock ($ 0.46 and $ 0.43 per share, respectively)
−Removed: Common stock acquired and canceled
Balance at end of period
8 unchanged sentences
(Dollars in thousands)
−Removed: Nine Months Ended
−Removed: September 30,
+Added: Three Months Ended
CASH FLOWS FROM OPERATING ACTIVITIES
10 unchanged sentences
Increase in interest receivable
−Removed: Increase in interest payable
+Added: (Decrease)/increase in interest payable
Amortization of stock-based compensation arrangements
2 unchanged sentences
INVESTING ACTIVITIES
−Removed: Net cash received from acquisitions, net of cash paid
−Removed: Net decrease/(increase) in federal funds sold
−Removed: Purchases of available for sale debt securities
+Added: Net decrease in federal funds sold
Proceeds from maturities, calls and paydowns of held for investment debt securities
3 unchanged sentences
Net change in loans
−Removed: Net payments on derivative asset contracts
+Added: Net (payments)/receipts on derivative asset contracts
Purchases of premises, equipment and computer software
5 unchanged sentences
Issuance of common stock in connection with stock options, net
−Removed: Common stock acquired
Cash dividends paid
−Removed: Net cash provided by (used in) financing activities
−Removed: Net increase/(decrease) in cash, due from banks and interest-bearing deposits
+Added: Net cash provided by financing activities
+Added: Net increase in cash, due from banks and interest-bearing deposits
Cash, due from banks and interest-bearing deposits at the beginning of the period
4 unchanged sentences
Noncash investing and financing activities:
−Removed: Cash received for acquisitions
−Removed: Fair value of assets acquired in acquisitions
−Removed: Liabilities assumed in acquisitions
Unpaid common stock dividends declared
7 unchanged sentences
Basis of Presentation
−Removed: The accompanying unaudited interim consolidated financial statements include the accounts of BancFirst Corporation, Council Oak Partners, LLC, BancFirst Insurance Services, Inc., BFC-PNC LLC, Pegasus Bank ("Pegasus"), Worthington Bank ("Worthington") and BancFirst and its subsidiaries ("BancFirst").
+Added: The accompanying unaudited interim consolidated financial statements include the accounts of BancFirst Corporation, Council Oak Partners, LLC, BFC-PNC LLC, BancFirst Insurance Services, Inc., Pegasus Bank ("Pegasus"), Worthington Bank ("Worthington") and BancFirst and its subsidiaries ("BancFirst").
The principal operating subsidiaries of BancFirst are BFTower, LLC and BancFirst Agency, Inc.
7 unchanged sentences
All such adjustments are of a normal and recurring nature.
−Removed: Reclassifications
−Removed: Certain items in prior consolidated financial statements have been reclassified to conform to the current presentation.
−Removed: Such reclassifications had no effect on previously reported cash flows, stockholders’ equity or comprehensive income.
Use of Estimates in the Preparation of Financial Statements
4 unchanged sentences
Standards Not Yet Adopted:
−Removed: In December 2023, the Financial Accounting Standards Board (“FASB“) issued Accounting Standards Update (“ASU”) No.
+Added: In November 2024, the Financial Accounting Standards Board (“FASB“) issued Accounting Standards Update (“ASU”) 2024-03, “Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures” requiring disclosure of certain costs and expenses in the notes to financial statements.
+Added: This ASU is effective for annual reporting periods beginning after December 15, 2026, and interim periods within annual reporting periods beginning after December 15, 2027.
+Added: The amendments may be applied prospectively or retrospectively to all periods presented.
+Added: The Company does not expect adoption of the standard to have a material impact on its consolidated financial statements.
+Added: In December 2023, FASB issued ASU No.
2023-09, “Income Taxes - Improvements to Income Tax Disclosures” requiring enhancements and further transparency to certain income tax disclosures, most notably the tax rate reconciliation and income taxes paid.
−Removed: This ASU is effective for fiscal years beginning after December 15, 2024 on a prospective basis and retrospective application is permitted.
+Added: This ASU is effective for annual periods beginning after December 15, 2024 on a prospective basis and retrospective application is permitted.
The Company does not expect adoption of the standard to have a material impact on its consolidated financial statements.
−Removed: In November 2023, the FASB issued ASU 2023-07, “Segment Reporting - Improvements to Reportable Segment Disclosures” requiring disclosure of incremental segment information on an annual and interim basis for all public entities to enable investors to develop more decision-useful financial analyses.
−Removed: This ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024 on a retrospective basis.
−Removed: The amendments are to be applied retrospectively to all periods presented and segment expense categories are required to be based on the categories identified at adoption.
−Removed: The Company is currently evaluating the provisions of this ASU and expects to adopt them for the year ending December 31, 2024.
−Removed: The Company does no t expect the adoption to have a significant impact on the Company’s consolidated financial statements.
(2) SECURITIES
The following table summarizes the amortized cost and estimated fair values of debt securities held for investment:
−Removed: September 30, 2024
+Added: March 31, 2025
(Dollars in thousands)
7 unchanged sentences
The following table summarizes the amortized cost and estimated fair values of debt securities available for sale:
−Removed: September 30, 2024
+Added: March 31, 2025
(Dollars in thousands)
2 unchanged sentences
States and political subdivisions
−Removed: Asset backed securities
Other securities
3 unchanged sentences
States and political subdivisions
−Removed: Asset backed securities
Other securities
3 unchanged sentences
For purposes of the maturity table, mortgage-backed securities, which are not due at a single maturity date, have been presented at their contractual maturity.
−Removed: September 30, 2024
+Added: March 31, 2025
December 31, 2024
14 unchanged sentences
The following table is a summary of the Company’s book value of securities that were pledged as collateral for public funds on deposit, repurchase agreements and for other purposes as required or permitted by law:
−Removed: September 30, 2024
+Added: March 31, 2025
December 31, 2024
1 unchanged sentence
Book value of pledged securities
−Removed: There were no sales of debt securities and therefore no proceeds from sales or realized securities gains or losses on available for sale debt securities for the nine months ended September 30, 2024 or September 30, 2023.
−Removed: Realized gains/losses on debt and equity securities are reported as securities transactions within the noninterest income section of the consolidated statement of comprehensive income.
−Removed: The following table summarizes debt securities with unrealized losses, segregated by the duration of the unrealized loss, at September 30, 2024 and December 31, 2023 respectively:
+Added: There were no sales of debt securities and therefore no proceeds from sales or realized securities gains or losses on available for sale debt securities for the three months ended March 31, 2025 or March 31, 2024.
+Added: Realized gains or losses on debt and equity securities are reported as securities transactions within the noninterest income section of the consolidated statement of comprehensive income.
+Added: The following table summarizes debt securities with unrealized losses, segregated by the duration of the unrealized loss, at March 31, 2025 and December 31, 2024 respectively:
Less than 12 Months
2 unchanged sentences
(Dollars in thousands)
−Removed: September 30, 2024
+Added: March 31, 2025
Available for Sale
8 unchanged sentences
States and political subdivisions
−Removed: Asset backed securities
Other securities
The Company has the ability and intent to hold the debt securities classified as held for investment until they mature, at which time the Company will receive full value for the debt securities.
−Removed: Furthermore, as of September 30, 2024 and December 31, 2023 , the Company also had the ability and intent to hold the debt securities classified as available for sale for a period of time sufficient for a recovery of cost.
+Added: Furthermore, as of March 31, 2025 and December 31, 2024, the Company also had the ability and intent to hold the debt securities classified as available for sale for a period of time sufficient for a recovery of cost.
The unrealized losses are due to increases in market interest rates over the yields available at the time the underlying debt securities were purchased.
4 unchanged sentences
Loans held for investment are summarized by portfolio segment as follows:
−Removed: September 30, 2024
+Added: March 31, 2025
December 31, 2024
8 unchanged sentences
Consumer non-real estate
−Removed: (1) Excludes accrued interest receivable of $ 42.2 million at September 30, 2024 and $ 39.4 million at December 31, 2023, that is recorded in accrued interest receivable and other assets.
−Removed: The C ompany's loans are currently 84 % held by BancFirst and 16 % held by Pegasus and Worthington.
+Added: (1) Excludes accrued interest receivable of $ 40.4 million at March 31, 2025 and $ 40.9 million at December 31, 2024, that is recorded in accrued interest receivable and other assets.
+Added: The Company's loans are currently 83 % held by BancFirst and 17 % held by Pegasus and Worthington.
In addition, approximately 71 % of the Company's loans are secured by real estate.
6 unchanged sentences
The following is a summary of other real estate owned and repossessed assets:
−Removed: September 30, 2024
+Added: March 31, 2025
December 31, 2024
1 unchanged sentence
Other real estate owned and repossessed assets
−Removed: As of both September 30, 2024 and December 31, 2023, other real estate owned included a commercial real estate property recorded at approximately $ 31.1 million and $ 29.4 m illion, respectively.
−Removed: The increase in OREO and this commercial real estate property was primarily due to tenant improvements associated with new and renewing leases during the nine months ended September 30, 2024.
+Added: As of both March 31, 2025 and December 31, 2024, other real estate owned included a commercial real estate property recorded at approximately $ 29.5 million and $ 28.1 million, respectively.
+Added: The increase in OREO and this commercial real estate property was due to tenant improvements during the three months ended March 31, 2025.
Rental income for this property is included in other noninterest income on the consolidated statements of comprehensive income.
1 unchanged sentence
This property had the following rental income and operating expenses for the periods presented.
−Removed: Three Months Ended
−Removed: September 30,
−Removed: Nine Months Ended
−Removed: September 30,
+Added: For the Three Months Ended March 31,
(Dollars in thousands)
1 unchanged sentence
Operating expense
−Removed: During the nine months ended September 30, 2024 , the Company sold property held in other real estate owned for a total gain of $ 1.3 million, compared to a total gain of $ 378,000 in the nine months ended September 30, 2023.
+Added: During the three months ended March 31, 2025 , the Company sold property held in other real estate owned for a total gain of $ 25,000 , compared to a total gain of $ 177,000 in the three months ended March 31, 2024.
The Company charges interest on principal balances outstanding on modified loans during deferral periods.
The current and future financial effects of the recorded balance of loans considered to be modified during the period were not considered to be material.
−Removed: The recorded balance of loans modified during the nine months ended September 30, 2024 was approximately $ 8.4 million compared to $ 5.3 million during the year ended December 31, 2023.
+Added: The recorded balance of loans modified during the three months ended March 31, 2025 was approximately $ 1.9 million compared to $ 14.8 million during the year ended December 31, 2024.
Nonaccrual loans
−Removed: The Company did no t recognize any interest income on nonaccrual loans for either the nine months ended September 30, 2024 or 2023.
−Removed: In addition, all loans identified as nonaccrual loans have related allowances for credit losses at September 30, 2024 and December 31, 2023 , respectively.
−Removed: Had nonaccrual loans performed in accordance with their original contractual terms, the Company would have recognized additional interest income of approximately $ 2.6 million for the nine months ended September 30, 2024 and approximately $ 1.1 million for the nine months ended September 30, 2023.
−Removed: Nonaccrual loans guaranteed by government agencies totaled approximately $ 7.5 million at September 30, 2024 and approximately $ 6.7 million at December 31, 2023.
+Added: The Company did no t recognize any interest income on nonaccrual loans for either the three months ended March 31, 2025 or 2024.
+Added: In addition, all loans identified as nonaccrual loans have related allowances for credit losses at March 31, 2025 and December 31, 2024, respectively.
+Added: Had nonaccrual loans performed in accordance with their original contractual terms, the Company would have recognized additional interest income of approximately $ 1.0 million for the three months ended March 31, 2025 and approximately $ 696,000 for the three months ended March 31, 2024.
+Added: Nonaccrual loans guaranteed by government agencies totaled approximately $ 9.2 million at March 31, 2025 and approximately $ 9.0 million at December 31, 2024.
The following table is a summary of amounts included in nonaccrual loans, segregated by portfolio segment.
−Removed: September 30, 2024
+Added: March 31, 2025
December 31, 2024
12 unchanged sentences
(Dollars in thousands)
−Removed: As of September 30, 2024
+Added: As of March 31, 2025
Commercial real estate owner occupied
19 unchanged sentences
An internal risk grading system is used to indicate the credit risk of loans.
−Removed: The loan grades used by the Company are for internal risk identification purposes and do not directly correlate to regulatory categories or any financial reporting definitions.
+Added: The loan grades used by the Company are for internal risk identification purposes and do not directly correlate to regulatory classification categories or any financial reporting definitions.
The general characteristics of the risk grades and the table summarizing the Company’s gross loans held for investment by year of origination and internally assigned credit grades as of December 31, 2024, are disclosed in Note (5) to the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.
5 unchanged sentences
Amortized Cost Basis
−Removed: As of September 30, 2024
+Added: As of March 31, 2025
Commercial real estate owner occupied
22 unchanged sentences
(Dollars in thousands)
−Removed: Three months ended September 30, 2024
−Removed: Commercial real estate owner occupied
−Removed: Current-period gross charge-offs
−Removed: Commercial real estate non-owner occupied
−Removed: Current-period gross charge-offs
−Removed: Construction and development < 60 months
−Removed: Current-period gross charge-offs
−Removed: Construction residential real estate < 60 months
−Removed: Current-period gross charge-offs
−Removed: Residential real estate first lien
−Removed: Current-period gross charge-offs
−Removed: Residential real estate all other
−Removed: Current-period gross charge-offs
−Removed: Current-period gross charge-offs
−Removed: Commercial non-real estate
−Removed: Current-period gross charge-offs
−Removed: Consumer non-real estate
−Removed: Current-period gross charge-offs
−Removed: Current-period gross charge-offs
−Removed: Total current-period gross charge-offs
−Removed: Term Loans Amortized Cost Basis by Origination Year
−Removed: Revolving Loans
−Removed: Amortized Cost Basis
−Removed: (Dollars in thousands)
−Removed: Three months ended September 30, 2023
−Removed: Commercial real estate owner occupied
−Removed: Current-period gross charge-offs
−Removed: Commercial real estate non-owner occupied
−Removed: Current-period gross charge-offs
−Removed: Construction and development < 60 months
−Removed: Current-period gross charge-offs
−Removed: Construction residential real estate < 60 months
−Removed: Current-period gross charge-offs
−Removed: Residential real estate first lien
−Removed: Current-period gross charge-offs
−Removed: Residential real estate all other
−Removed: Current-period gross charge-offs
−Removed: Current-period gross charge-offs
−Removed: Commercial non-real estate
−Removed: Current-period gross charge-offs
−Removed: Consumer non-real estate
−Removed: Current-period gross charge-offs
−Removed: Current-period gross charge-offs
−Removed: Total current-period gross charge-offs
−Removed: Term Loans Amortized Cost Basis by Origination Year
−Removed: Revolving Loans
−Removed: Amortized Cost Basis
−Removed: (Dollars in thousands)
−Removed: Nine months ended September 30, 2024
+Added: Three months ended March 31, 2025
Commercial real estate owner occupied
21 unchanged sentences
(Dollars in thousands)
−Removed: Nine months ended September 30, 2023
+Added: Three months ended March 31, 2024
Commercial real estate owner occupied
21 unchanged sentences
The allowance for credit losses methodology is disclosed in Note (5) to the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.
−Removed: The following tables detail activity in the allowance for credit losses on loans for the period presented.
+Added: The following tables detail activity in the allowance for credit losses on loans for the periods presented.
Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.
2 unchanged sentences
(Dollars in thousands)
−Removed: Three Months Ended September 30, 2024
−Removed: Commercial real estate owner occupied
−Removed: Commercial real estate non-owner occupied
−Removed: Construction and development < 60 months
−Removed: Construction residential real estate < 60 months
−Removed: Residential real estate first lien
−Removed: Residential real estate all other
−Removed: Commercial non-real estate
−Removed: Consumer non-real estate
−Removed: Allowance for Credit Losses
−Removed: Provision for/(benefit from) credit losses on loans
−Removed: (Dollars in thousands)
−Removed: Three Months Ended September 30, 2023
−Removed: Commercial real estate owner occupied
−Removed: Commercial real estate non-owner occupied
−Removed: Construction and development < 60 months
−Removed: Construction residential real estate < 60 months
−Removed: Residential real estate first lien
−Removed: Residential real estate all other
−Removed: Commercial non-real estate
−Removed: Consumer non-real estate
−Removed: Allowance for Credit Losses
−Removed: Provision for/(benefit from) credit losses on loans
−Removed: (Dollars in thousands)
−Removed: Nine Months Ended September 30, 2024
+Added: Three Months Ended March 31, 2025
Commercial real estate owner occupied
9 unchanged sentences
(Dollars in thousands)
−Removed: Nine Months Ended September 30, 2023
+Added: Three Months Ended March 31, 2024
Commercial real estate owner occupied
8 unchanged sentences
The Company has previously purchased loans, for which there was, at acquisition, evidence of more than insignificant deterioration of credit quality since origination.
−Removed: The Company did not purchase credit-deteriorated loans during the nine months ended September 30, 2024 and 2023.
+Added: The Company did not purchase credit-deteriorated loans during the three month period ended March 31, 2025 or March 31, 2024.
Collateral Dependent Loans
A loan is considered collateral-dependent when the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral.
−Removed: During the nine months ended September 30, 2024 and 2023, no material amount of interest income was recognized on collateral-dependent loans subsequent to their classification as collateral-dependent.
+Added: During the three months ended March 31, 2025 and 2024 , no material amount of interest income was recognized on collateral-dependent loans subsequent to their classification as collateral-dependent.
The following tables summarize collateral-dependent gross loans held for investment by collateral type and the related specific allocation as follows:
3 unchanged sentences
(Dollars in thousands)
−Removed: As of September 30, 2024
+Added: As of March 31, 2025
Commercial real estate owner occupied
24 unchanged sentences
Transfers from loans and premises and equipment to other real estate owned and repossessed assets during the periods presented are summarized as follows:
−Removed: Nine Months Ended September 30,
+Added: Three Months Ended March 31,
(Dollars in thousands)
4 unchanged sentences
(Dollars in thousands)
−Removed: September 30, 2024
+Added: March 31, 2025
Core deposit intangibles
9 unchanged sentences
(Dollars in thousands)
−Removed: Nine months ended September 30, 2024
+Added: Three months ended March 31, 2025
Balance at beginning and end of period
5 unchanged sentences
In March 2004, BFC II issued an additional $ 1 million in Cumulative Trust Preferred Securities through the execution of an over-allotment option.
−Removed: The Cumulative Trust Preferred Securities qualify as Tier 1 capital under regulatory guidelines.
The proceeds from the sale of the Cumulative Trust Preferred Securities and the common securities of BFC II were invested in $ 26.8 million of 7.20 % Junior Subordinated Debentures of the Company.
7 unchanged sentences
The sale of the Subordinated Notes was pursuant to a Subordinated Note Purchase Agreement entered into with each of the investors.
−Removed: The Subordinated Notes qualify as Tier 2 capital under regulatory guidelines.
+Added: The Subordinated Notes qualify as Tier 2 capital under bank regulatory guidelines.
The net proceeds to the Company from the sale of the Subordinated Notes were approximately $ 59.15 million net of commissions and offering expenses.
1 unchanged sentence
The Subordinated Notes initially bear interest at a fixed rate of 3.50 % per annum, from and including June 17, 2021 to but excluding June 30, 2031, payable semi-annually in arrears on June 30 and December 31 of each year , commencing December 31, 2021 .
−Removed: Then, from and including June 30, 2031, to but excluding the maturity date, the Subordinated Notes will bear interest at a floating rate equal to the benchmark (initially,
−Removed: three-month term SOFR), reset quarterly, plus a spread of 229 basis points, payable quarterly in arrears on March 31, June 30, September 30 and December 31 of each year.
+Added: Then, from and including June 30, 2031, to but excluding the maturity date, the Subordinated Notes will bear interest at a floating rate equal to the benchmark (initially, three-month term SOFR), reset quarterly, plus a spread of 229 basis points, payable quarterly in arrears on March 31, June 30, September 30 and December 31 of each year.
The Subordinated Notes mature on June 30, 2036 .
7 unchanged sentences
The RSU Plan will continue in effect after such ten-year period until all matters relating to the payment of awards and administration of the RSU Plan have been settled.
−Removed: At September 30, 2024 there were 458,675 shares available for future grants.
+Added: At March 31, 2025 there were 453,175 shares available for future grants.
The restricted stock units ("RSU's") vest beginning two years from the date of grant at the rate of 20 % per year for five years .
2 unchanged sentences
The following table is a summary of the activity under the Company's RSU plan.
−Removed: Nine Months Ended September 30, 2024
+Added: Three Months Ended March 31, 2025
Nonvested at December 31, 2024
−Removed: Nonvested at September 30, 2024
+Added: Nonvested at March 31, 2025
The Company has had the BancFirst Corporation Directors’ Deferred Stock Compensation Plan (the “Deferred Stock Compensation Plan”) since May 1999.
−Removed: As of September 30, 2024 , there are 37,399 shares available for future issuance under the Deferred Stock Compensation Plan.
+Added: As of March 31, 2025, there are 33,528 shares available for future issuance under the Deferred Stock Compensation Plan.
The Deferred Stock Compensation Plan will terminate on December 31, 2030 , if not extended.
2 unchanged sentences
Shares of common stock of the Company are then distributed to the terminating director or community board member based upon the number of stock units accumulated in his or her account.
−Removed: There were 5,022 and 18,136 shares of common stock distributed from the Deferred Stock Compensation Plan during the nine months ended September 30, 2024 and 2023, respectively.
+Added: There were 4,045 and 5,022 shares of common stock distributed from the Deferred Stock Compensation Plan during the three months ended March 31, 2025 and 2024, respectively.
A summary of the accumulated stock units under the Deferred Stock Compensation Plan is as follows:
−Removed: September 30, 2024
+Added: March 31, 2025
December 31, 2024
7 unchanged sentences
(Dollars in thousands, except option data)
−Removed: Nine Months Ended September 30, 2024
+Added: Three Months Ended March 31, 2025
Outstanding at December 31, 2024
1 unchanged sentence
Options canceled, forfeited, or expired
−Removed: Outstanding at September 30, 2024
−Removed: Exercisable at September 30, 2024
+Added: Outstanding at March 31, 2025
+Added: Exercisable at March 31, 2025
The following table has additional information regarding options exercised under both the Employee Plan and the Non-Employee Directors’ Plan:
Three Months Ended
−Removed: September 30,
−Removed: Nine Months Ended
−Removed: September 30,
(Dollars in thousands)
4 unchanged sentences
Although not required or expected, the Company may settle some options or restricted stock units in cash on a limited basis at the discretion of the Company.
−Removed: The Company had no cash settlements during the nine months ended September 30, 2024 or 2023.
+Added: The Company had no cash settlements during the three months ended March 31, 2025 or March 31, 2024.
Stock-based compensation expense is charged to salaries and benefits expense on the Consolidated Statements of Comprehensive Income.
1 unchanged sentence
Three Months Ended
−Removed: September 30,
−Removed: Nine Months Ended
−Removed: September 30,
(Dollars in thousands)
1 unchanged sentence
Stock-based compensation expense, net of tax
−Removed: The Company amortizes the unearned stock-based compensation expense over the remaining weighted average vesting period of approximately five years for unvested stock options and six years for unvested RSU's.
+Added: The Company amortizes the unearned stock-based compensation expense over the remaining vesting period of approximately five year s for unvested stock options and six year s for unvested RSU's.
The following table shows the unearned stock-based compensation expense for unvested stock options and unvested RSU's:
−Removed: September 30, 2024
+Added: March 31, 2025
(Dollars in thousands)
5 unchanged sentences
In addition, the SRP may be used to purchase treasury stock for the exercise of stock options or for distributions under the Deferred Stock Compensation Plan, to provide liquidity for optionees to dispose of stock from exercises of their stock options and to provide liquidity for stockholders wishing to sell their stock.
−Removed: All shares repurchased under the SRP have been retired and not held as treasury stock.
+Added: All shares repurchased under the SRP have been
+Added: retired and not held as treasury stock.
The timing, price and amount of stock repurchases under the SRP is determined by management and approved by the Company’s Executive Committee.
The following table is a summary of the shares under the SRP:
−Removed: September 30, 2024
+Added: Three Months Ended
Shares remaining to be repurchased
2 unchanged sentences
Failure to meet the minimum capital requirements can initiate certain mandatory or discretionary actions by the regulatory agencies that could have a direct material effect on the Company’s consolidated financial statements.
−Removed: The Company believes that as of September 30, 2024 , BancFirst Corporation, BancFirst, Pegasus and Worthington each met all capital adequacy requirements to which they are subject.
+Added: The Company believes that as of March 31, 2025 , BancFirst Corporation, BancFirst, Pegasus and Worthington each met all capital adequacy requirements to which they are subject.
The actual and required capital amounts and ratios are shown in the following table:
4 unchanged sentences
(Dollars in thousands)
−Removed: As of September 30, 2024:
+Added: As of March 31, 2025:
Total Capital
10 unchanged sentences
BancFirst Corporation
−Removed: As of September 30, 2024, BancFirst, Pegasus and Worthington were classified by the Federal Reserve as “well capitalized” under the prompt corrective action provisions.
+Added: As of March 31, 2025 , BancFirst, Pegasus and Worthington were classified by the Federal Reserve as “well capitalized” under the prompt corrective action provisions.
The Common Equity Tier 1 Capital of BancFirst Corporation, BancFirst, Pegasus and Worthington includes common stock and related paid-in capital and retained earnings.
2 unchanged sentences
The Company’s trust preferred securities qualify as Tier 1 capital and its Subordinated Notes qualify as Tier 2 capital.
−Removed: The Company's Subordinated Notes have been structured to qualify as Tier 2 capital under bank regulatory guidelines.
BancFirst, Pegasus and Worthington have had no events or conditions that management believes would materially change their category under capital requirements existing as of the report dates.
1 unchanged sentence
Basic and diluted net income per common share are calculated as follows:
−Removed: Three Months Ended
−Removed: September 30,
−Removed: Nine Months Ended
−Removed: September 30,
+Added: Three Months Ended March 31,
(Dollars in thousands, except per share data)
7 unchanged sentences
The following table shows the number of options and RSU's that were excluded from the computation of diluted net income per common share for each period because they were anti-dilutive for the period:
−Removed: Three Months Ended September 30, 2024
−Removed: Three Months Ended September 30, 2023
−Removed: Nine Months Ended September 30, 2024
−Removed: Nine Months Ended September 30, 2023
+Added: Three Months Ended March 31, 2025
+Added: Three Months Ended March 31, 2024
(9) FAIR VALUE MEASUREMENTS
15 unchanged sentences
federal agencies, registered mortgage backed debt securities and state and political subdivisions are valued using prices from an independent pricing service utilizing Level 2 data.
−Removed: The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S.
+Added: The fair value measurements consider
+Added: observable data that may include dealer quotes, market spreads, cash flows, the U.S.
Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and a bond’s terms and conditions, among other things.
20 unchanged sentences
(Dollars in thousands)
−Removed: September 30, 2024
+Added: March 31, 2025
Debt securities available for sale:
2 unchanged sentences
States and political subdivisions
−Removed: Asset backed securities
Other debt securities
6 unchanged sentences
States and political subdivisions
−Removed: Asset backed securities
Other debt securities
2 unchanged sentences
The changes in Level 3 assets measured at estimated fair value on a recurring basis during the periods presented were as follows:
−Removed: Nine Months Ended September 30,
+Added: Three Months Ended March 31,
Twelve Months Ended December 31,
1 unchanged sentence
Balance at the beginning of the year
−Removed: Transfers to level 2
Balance at the end of the period
The Company’s policy is to recognize transfers in and transfers out of Levels 1, 2 and 3 as of the end of the reporting period.
−Removed: During the nine months ended September 30, 2024, the Company did not transfer any debt securities.
−Removed: During the year ended December 31, 2023, the Company transferred debt securities from Level 3 to Level 2 due to a review of the pricing models that determined some state and political subdivision securities to be Level 2.
+Added: During the three months ended March 31, 2025, and the year ended December 31, 2024, the Company did not transfer any debt securities.
Financial Assets and Financial Liabilities Measured at Fair Value on a Nonrecurring Basis
15 unchanged sentences
(Dollars in thousands)
−Removed: As of and for the Year-to-date Period Ended September 30, 2024
+Added: As of and for the Year-to-date Period Ended March 31, 2025
Equity securities
32 unchanged sentences
The fair values of fixed-maturity certificates of deposit are estimated using the rates currently offered for deposits of similar remaining maturities.
−Removed: Short-Term Borrowings
−Removed: The amounts payable on these short-term instruments are reasonable estimates of fair value.
Subordinated Debt
4 unchanged sentences
The estimated fair values of the Company’s financial instruments that are reported at amortized cost in the Company’s consolidated balance sheets, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value, are as follows:
−Removed: September 30, 2024
+Added: March 31, 2025
December 31, 2024
11 unchanged sentences
Level 2 inputs:
−Removed: Short-term borrowings
Subordinated debt
7 unchanged sentences
The intangible assets are evaluated at least annually for impairment.
−Removed: The overall levels of non-financial assets measured at fair value on a nonrecurring basis were no t considered to be significant to the Company at September 30, 2024 or December 31, 2023 .
+Added: The overall levels of non-financial assets measured at fair value on a nonrecurring basis were no t considered to be significant to the Company at March 31, 2025 or December 31, 2024 .
(10) DERIVATIVE FINANCIAL INSTRUMENTS
3 unchanged sentences
The Company's derivative financial instruments require a daily margin to be posted, which fluctuates with oil and gas prices.
−Removed: The Company had a margin liability in other liabilities in the amount of $ 10.7 million at September 30, 2024 and $ 15.5 million at December 31, 2023.
+Added: At March 31, 2025 and December 31, 2024 , the Company had a margin asset included in other assets in the amount of $ 12.6 million and $ 463,000 , respectively.
The Company utilizes dealer quotations and observable market data inputs to substantiate internal valuation models.
The notional amounts and estimated fair values of oil and gas derivative positions outstanding are presented in the following table:
−Removed: September 30, 2024
+Added: March 31, 2025
December 31, 2024
14 unchanged sentences
The following table is a summary of the Company's recognized income related to the activity, which was included in other noninterest income:
−Removed: Three Months Ended September 30,
−Removed: Nine Months Ended September 30,
−Removed: (Dollars in thousands)
+Added: Three Months Ended March 31,
(Dollars in thousands)
5 unchanged sentences
Customer credit exposure is managed by strict position limits and is primarily offset by first liens on production while the remainder is offset by cash.
−Removed: Counterparty credit exposure is managed by selecting highly rated counterparties (rated A- or better by Standard and Poor's) and monitoring market information.
+Added: Counterparty credit exposure is managed by selecting highly rated counterparties (rated A- or better by Moody's) and monitoring market information.
The following table is a summary of the Company's net credit exposure relating to oil and gas swaps and options with bank counterparties:
−Removed: September 30, 2024
+Added: March 31, 2025
December 31, 2024
7 unchanged sentences
(11) SEGMENT INFORMATION
−Removed: The Company evaluates its performance with an internal profitability measurement system that measures the profitability of its business units on a pre-tax basis.
+Added: The Company, along with its chief operating decision maker (CODM), which is BancFirst Corporation's Chief Executive Officer , evaluates its performance with an internal profitability measurement system that measures the profitability of its business units on a pre-tax basis.
+Added: The financial information for each business unit is presented on the basis used internally by management and the CODM to evaluate performance and allocate resources.
+Added: The Company utilizes a transfer pricing system to allocate the benefit or cost of funds provided or used by the various business units.
+Added: Certain services provided by the support group to other business units, such as item processing, are allocated at rates approximating the cost of providing the services.
+Added: Eliminations are adjustments to consolidate the business units.
+Added: Capital expenditures are generally charged to the business unit using the asset.
The six principal business units are BancFirst metropolitan banks, BancFirst community banks, Pegasus, Worthington, other financial services and executive, operations and support.
10 unchanged sentences
(Dollars in thousands)
−Removed: Three Months Ended September 30, 2024
−Removed: Net interest income
−Removed: Noninterest income
−Removed: Income before taxes
−Removed: Three Months Ended September 30, 2023
−Removed: Net interest income
−Removed: Noninterest income
−Removed: Income before taxes
−Removed: Nine Months Ended September 30, 2024
−Removed: Net interest income
+Added: Three Months Ended March 31, 2025
+Added: Interest income
+Added: Interest expense
+Added: Total provision for/(benefit
+Added: from) credit losses
Noninterest income
+Added: Depreciation and
+Added: Other noninterest expense
Income before taxes
−Removed: Nine Months Ended September 30, 2023
−Removed: Net interest income
+Added: Loans held for investment
+Added: Total deposits
+Added: Capital expenditures
+Added: Three Months Ended March 31, 2024
+Added: Interest income
+Added: Interest expense
+Added: Total provision for/(benefit
+Added: from) credit losses
Noninterest income
+Added: Depreciation and
+Added: Other noninterest expense
Income before taxes
−Removed: Total Assets:
−Removed: September 30, 2024
−Removed: December 31, 2023
−Removed: The financial information for each business unit is presented on the basis used internally by management to evaluate performance and allocate resources.
−Removed: The Company utilizes a transfer pricing system to allocate the benefit or cost of funds provided or used by the various business units.
−Removed: Certain services provided by the support group to other business units, such as item processing, are allocated at rates approximating the cost of providing the services.
−Removed: Eliminations are adjustments to consolidate the business units and companies.
+Added: Loans held for investment
+Added: Total deposits
+Added: Capital expenditures
Management’s Discussio n and Analysis of Financial Condition and Results of Operations.
−Removed: The following discussion and analysis of our financial condition as of September 30, 2024 and December 31, 2023 and results of operations for the three and nine months ended September 30, 2024 should be read in conjunction with our consolidated financial statements and notes to the consolidated financial statements for the year ended December 31, 2023, and the other information included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023.
+Added: The following discussion and analysis of our financial condition as of March 31, 2025 and December 31, 2024 and results of operations for the three months ended March 31, 2025 should be read in conjunction with our consolidated financial statements and notes to the consolidated financial statements for the year ended December 31, 2024, and the other information included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.
Certain risks, uncertainties and other factors, including those set forth under "Risk Factors" in Part I, Item 1A of the 2024 Form 10-K, and "Item 1A, Risk Factors" in this Quarterly Report on Form 10-Q, may cause actual results to differ materially from the results discussed in the forward-looking statements appearing in this discussion and analysis.
14 unchanged sentences
Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to:
−Removed: • Potential impacts of the adverse developments in the banking industry driven by high-profile bank failures, including impacts on customer confidence, demand deposit outflows and the regulatory response thereto .
+Added: • Potential impacts of adverse developments in the banking industry that could impact customer confidence.
+Added: • Changes in the regulatory environment for the banking industry, including rule-making, supervision, examination, and enforcement.
+Added: • Changes in fiscal, monetary or regulatory policy may have adverse consequences including impacts to the labor market, tariffs and inflation which may impact our financial performance.
• Deterioration in the market for commercial office property could have an adverse effect on the value of the Company's other real estate owned as well as commercial office collateral for the Company's commercial real estate loans.
−Removed: • Political pressures could further limit our ability to charge NSF and overdraft fees.
−Removed: • A continuing shift in deposit mix could negatively impact net interest margin.
+Added: • Further shift in deposit mix from noninterest-bearing deposits to interest-bearing deposits could negatively impact net interest margin.
• Changes in interest rates.
−Removed: • The increased time, effort and noninterest expense related to ongoing and increased regulations from the Federal Reserve, the Consumer Financial Protection Bureau and the Securities and Exchange Commission, including requirements related to environmental, social and governance issues and climate disclosures.
−Removed: • Local, regional, national and international economic conditions and the impact they may have on the Company and its customers.
−Removed: • Changes in the mix of loan geographies, sectors and types or the level of non-performing assets and charge-offs.
+Added: • The increased time and effort related to ongoing and/or changed regulations from regulatory bodies could negatively impact noninterest expense.
+Added: • Local, regional, national and international economic conditions, including the effect of a government shutdown, and the impact they may have on the Company and its customers.
+Added: • Changes in the mix of loan sectors and types or the level of non-performing assets and charge-offs.
• Inflation, including wage inflation, energy prices, securities markets and monetary fluctuations.
7 unchanged sentences
Actual results may differ materially from forward-looking statements.
−Removed: The Company’s net income for the third quarter of 2024 was $58.9 million compared to $51.0 million for the third quarter of 2023.
−Removed: Diluted net income per common share was $1.75 and $1.52 for the third quarter of 2024 and 2023, respectively.
−Removed: The Company’s net interest income for the third quarter of 2024 increased to $115.0 million from $104.3 million for the third quarter of 2023.
−Removed: Loan volume was the primary driver of the change in net interest income, but was partially offset by the impact of the shifting mix between interest-bearing and noninterest-bearing deposits.
−Removed: Net interest margin for the third quarter of 2024 was 3.78% compared to 3.73% for the third quarter of 2023.
−Removed: For the third quarter of 2024, the Company recorded a provision for credit losses of $3.0 million compared to $2.3 million for the third quarter of 2023.
−Removed: Noninterest income for the third quarter of 2024 totaled $48.7 million compared to $44.4 million for the third quarter of 2023.
−Removed: Trust revenue, treasury income, sweep fees and insurance commissions each increased when compared to third quarter last year.
−Removed: Noninterest expense for the third quarter of 2024 increased to $86.7 million compared to $81.2 million for the third quarter of 2023.
−Removed: The increase in noninterest expense was primarily related to growth in salaries and employee benefits of $4.0 million.
−Removed: At September 30, 2024, the Company’s total assets were $13.3 billion, an increase of $941.4 million from December 31, 2023.
−Removed: Loans grew $528.1 million from December 31, 2023, totaling $8.2 billion at September 30, 2024.
−Removed: Deposits totaled $11.5 billion, an increase of $774.2 million from December 31, 2023.
−Removed: Off-balance-sheet sweep accounts totaled $4.3 billion at September 30, 2024, down $60.6 million from December 31, 2023.
−Removed: The Company’s total stockholders’ equity at September 30, 2024 was $1.6 billion, an increase of $150.7 million over December 31, 2023.
+Added: The Company’s net income for the first quarter of 2025 was $56.1 million, compared to $50.3 million for the first quarter of 2024.
+Added: Diluted net income per common share was $1.66 and $1.50 for the first quarter of 2025 and 2024, respectively.
+Added: The Company’s net interest income for the first quarter of 2025 increased to $115.9 million from $106.1 million for the first quarter of 2024.
+Added: Higher loan volume along with general growth in earning assets were the primary drivers of the change in net interest income.
+Added: Net interest margin was unchanged at 3.70% for both the first quarter of 2025 and 2024.
+Added: The Company recorded a provision for credit losses on loans of $1.5 million in the first quarter of 2025 compared to $4.0 million for the first quarter of 2024.
+Added: Noninterest income for the quarter totaled $49.0 million compared to $44.9 million last year.
+Added: Trust revenue, treasury income, sweep fees and insurance commissions each increased when compared to the first quarter last year.
+Added: Noninterest expense grew to $92.2 million for the quarter-ended March 31, 2025 compared to $82.8 million in the same quarter in 2024.
+Added: The Company recorded a $4.4 million expense related to the disposition of certain equity investments no longer permissible under the Volcker Rule, which prohibits banks with more than $10 billion in assets from holding certain private equity investments.
+Added: Additionally, the increase in noninterest expense was augmented by growth in salaries and employee benefits of $3.1 million.
+Added: At March 31, 2025, the Company’s total assets were $14.0 billion, an increase of $483.7 million from December 31, 2024.
+Added: Loans grew $69.6 million from December 31, 2024, totaling $8.1 billion at March 31, 2025.
+Added: Deposits totaled $12.1 billion, an increase of $408.2 million from year-end 2024.
+Added: Sweep accounts totaled $5.5 billion at March 31, 2025, up $324.6 million from December 31, 2024.
+Added: The Company’s total stockholders’ equity was $1.7 billion, an increase of $51.6 million over December 31, 2024.
+Added: Nonaccrual loans totaled $56.4 million, representing 0.70% of total loans at March 31, 2025, down slightly from 0.72% at year-end 2024.
+Added: The allowance for credit losses to total loans was 1.24% at March 31, 2025, unchanged from December 31, 2024.
+Added: Net charge-offs were $503,000 for the first quarter of 2025 compared to $3.5 million for the first quarter of 2024.
FUTURE APPLICATION OF ACCOUNTING STANDARDS
8 unchanged sentences
(i) average balances are derived from daily averages, (ii) information is shown on a taxable-equivalent basis assuming a 21% tax rate, and (iii) nonaccrual loans are included in the average loan balances and any interest on such nonaccrual loans is recognized on a cash basis.
−Removed: Loan fees included in interest income were $5.0 million for the three months ended September 30, 2024 compared to $6.0 million for the three months ended September 30, 2023.
−Removed: Loan fees included in interest income were $15.9 million for the nine months ended September 30, 2024 compared to $17.3 million for the nine months ended September 30, 2023.
+Added: Loan fees included in interest income were $5.0 million for the three months ended March 31, 2025 compared to $5.4 million for the three months ended March 31, 2024.
BANCFIRST CORPORATION
2 unchanged sentences
(Dollars in thousands)
−Removed: Three Months Ended September 30,
+Added: Three Months Ended March 31,
Earning assets:
26 unchanged sentences
Net interest margin
−Removed: BANCFIRST CORPORATION
−Removed: CONSOLIDATED AVERAGE BALANCE SHEETS AND INTEREST MARGIN ANALYSIS
−Removed: Taxable Equivalent Basis
−Removed: (Dollars in thousands)
−Removed: Nine Months Ended September 30,
−Removed: Earning assets:
−Removed: Debt securities – taxable
−Removed: Debt securities – tax exempt
−Removed: Federal funds sold and interest-bearing deposits with banks
−Removed: Total earning assets
−Removed: Nonearning assets:
−Removed: Cash and due from banks
−Removed: Interest receivable and other assets
−Removed: Allowance for credit losses
−Removed: Total nonearning assets
−Removed: LIABILITIES AND STOCKHOLDERS’ EQUITY
−Removed: Interest-bearing liabilities:
−Removed: Money market and interest-bearing checking deposits
−Removed: Savings deposits
−Removed: Time deposits
−Removed: Short-term borrowings
−Removed: Subordinated debt
−Removed: Total interest-bearing liabilities
−Removed: Interest-free funds:
−Removed: Noninterest-bearing deposits
−Removed: Interest payable and other liabilities
−Removed: Stockholders’ equity
−Removed: Total interest free funds
−Removed: Total liabilities and stockholders’ equity
−Removed: Net interest income
−Removed: Net interest spread
−Removed: Effect of interest free funds
−Removed: Net interest margin
Selected income statement data and other selected data for the comparable periods were as follows:
3 unchanged sentences
Three Months Ended
−Removed: September 30,
−Removed: Nine Months Ended
−Removed: September 30,
Income Statement Data
Net interest income
−Removed: Provision for credit losses
+Added: Provision for credit losses on loans
Securities transactions
15 unchanged sentences
Net Interest Income
−Removed: For the three months ended September 30, 2024, net interest income, which is the Company’s principal source of operating revenue, increased $10.6 million or 10.2% compared to the three months ended September 30, 2023.
−Removed: The primary driver of the increase in net interest income was higher loan volume.
−Removed: Rate increases also attributed to the increase in net interest income.
−Removed: Higher loan volume and increasing rates were partially offset by the expense associated with the shifting mix between interest and noninterest-bearing deposits.
+Added: For the three months ended March 31, 2025, net interest income, which is the Company’s principal source of operating revenue, increased $9.8 million or 9.3% compared to the three months ended March 31, 2024.
+Added: Higher loan volume along with general growth in earning assets were the primary drivers of the change in net interest income.
Net interest margin is the ratio of taxable-equivalent net interest income to average earning assets for the period.
−Removed: The Company’s net interest margin for the third quarter of 2024 increased compared to the third quarter of 2023.
−Removed: Net interest income for the nine months ended September 30, 2024 increased $11.6 million or 3.6% compared to the nine months ended September 30, 2023.
−Removed: The primary driver of the increase in net interest income was higher loan volume.
−Removed: Rate increases also attributed to the increase in net interest income.
−Removed: Higher loan volume and increasing rates were partially offset by the expense associated with the shifting mix between interest and noninterest-bearing deposits.
−Removed: The Company’s net interest margin for the nine months ended September 30, 2024 decreased compared to the nine months ended September 30, 2023.
−Removed: Changes in the volume of earning assets and interest-bearing liabilities and changes in interest rates, determine the changes in net interest income.
−Removed: The following volume/rate analysis summarizes the relative contribution of each of these components to the changes in net interest income.
−Removed: VOLUME/RATE ANALYSIS
−Removed: Taxable Equivalent Basis
−Removed: The following table presents the change in net interest income for the three months ended September 30, 2024 compared to the three months ended September 30, 2023.
−Removed: (Dollars in thousands)
−Removed: INCREASE (DECREASE)
−Removed: Interest Income:
−Removed: Securities—taxable
−Removed: Securities—tax exempt
−Removed: Federal funds sold and interest-bearing deposits with banks
−Removed: Total interest income
−Removed: Interest Expense:
−Removed: Money market and interest-bearing checking deposits
−Removed: Savings deposits
−Removed: Time deposits
−Removed: Short-term borrowings
−Removed: Subordinated debt
−Removed: Total interest expense
−Removed: Net interest income
−Removed: (1) The effects of changes in the mix of earning assets and interest-bearing liabilities have been combined with the changes due to volume.
−Removed: The following table presents the change in net interest income for the nine months ended September 30, 2024 compared to the nine months ended September 30, 2023.
−Removed: (Dollars in thousands)
−Removed: INCREASE (DECREASE)
−Removed: Interest Income:
−Removed: Securities—taxable
−Removed: Securities—tax exempt
−Removed: Federal funds sold and interest-bearing deposits with banks
−Removed: Total interest income
−Removed: Interest Expense:
−Removed: Money market and interest-bearing checking deposits
−Removed: Savings deposits
−Removed: Time deposits
−Removed: Short-term borrowings
−Removed: Subordinated debt
−Removed: Total interest expense
−Removed: Net interest income
−Removed: (1) The effects of changes in the mix of earning assets and interest-bearing liabilities have been combined with the changes due to volume.
−Removed: Provision for Credit Losses
+Added: The Company’s net interest margin was unchanged for the first quarter of 2025 compared to the first quarter of 2024.
+Added: Provision for Credit Losses on loans
The Company establishes an allowance as an estimate of the expected credit losses in the loan portfolio at the balance sheet date.
1 unchanged sentence
Should any of the factors considered by management in evaluating the appropriate level of the allowance for credit losses change, the Company’s estimate of expected credit losses could also change which could affect the amount of future provisions for credit losses.
−Removed: The increased provision for credit losses for the three months ended September 30, 2024 compared to the three months ended September 30, 2023 was primarily due to loan growth.
−Removed: Net loan charge-offs were $775,000 for the third quarter of 2024 compared to net loan charge-offs of $1.5 million for the third quarter of 2023.
−Removed: The increased provision for credit losses for the nine months ended September 30, 2024 compared to the nine months ended September 30, 2023 was primarily due to loan growth.
−Removed: Net loan charge-offs were $5.3 million for the nine months ended September 30, 2024, compared to $2.4 million for the same period of the prior year.
+Added: Net loan charge-offs were $503,000 million for the first quarter of 2025 compared to net loan charge-offs of $3.5 million for the first quarter of 2024.
+Added: The rate of net charge-offs to average total loans continues to be at a low level.
Noninterest Income
−Removed: Noninterest income increased by $4.3 million for the third quarter of 2024 compared to the third quarter of 2023.
+Added: Noninterest income increased by $4.0 million for the first quarter of 2025 compared to the first quarter of 2024.
Trust revenue, treasury income, sweep fees and insurance commissions each increased when compared to last year.
−Removed: Noninterest income included non-sufficient funds ("NSF") and overdraft fees totaling $8.2 million and $7.4 million for the three months ended September 30, 2024 and 2023, respectively.
−Removed: This represents 16.9% and 16.7% of the Company’s noninterest income for the respective periods.
−Removed: In addition, the Company had debit card usage and interchange fees totaling $6.7 million and $6.6 million during the three months ended September 30, 2024 and 2023, respectively.
−Removed: This represents 13.7% and 14.9% of the Company’s noninterest income for the respective periods.
−Removed: Noninterest income decreased by $2.7 million for the nine months ended September 30, 2024 compared to the nine months ended September 30, 2023.
−Removed: The decrease in noninterest income was primarily due to an approximate $10.9 million reduction of interchange fees related to the impact of the Durbin Amendment, which was offset by increases in trust revenue, treasury income, sweep fees and insurance commissions.
−Removed: Noninterest income included NSF and overdraft fees totaling $22.7 million and $20.5 million during the nine months ended September 30, 2024 and 2023, respectively.
−Removed: This represents 16.5% and 14.6% of the Company’s noninterest income for the respective periods.
−Removed: In addition, the Company had debit card usage and interchange fees totaling $20.0 million and $31.0 million during the nine months ended September 30, 2024 and 2023, respectively.
+Added: Noninterest income included non-sufficient funds ("NSF") and overdraft fees totaling $7.4 million and $7.1 million for the three months ended March 31, 2025 and 2024, respectively.
+Added: This represents 15.1% and 15.9% of the Company’s noninterest income for the
+Added: respective periods.
+Added: In addition, the Company had debit card usage and interchange fees totaling $6.5 million during the three months ended March 31, 2025 and 2024.
This represents 13.3% and 14.6% of the Company’s noninterest income for the respective periods.
−Removed: The Company is subject to political pressures that could limit our ability to charge for NSF and overdraft fees and could adversely impact our noninterest income.
−Removed: On April 1, 2022, the Company lowered the rates charged on NSF and overdraft fees.
−Removed: The Company also became subject to the reduced interchange fees under the Durbin Amendment, effective July 1, 2023.
−Removed: Consequently, the Company's interchange fee revenue was reduced by approximately $10.9 million in the first half of 2024, as shown above, and reduced by $11.2 million in the last half of 2023.
−Removed: The reduced interchange fees under the Durbin Amendment have now been fully implemented.
Noninterest Expense
−Removed: Noninterest expense increased by $5.5 million for third quarter of 2024 compared to the third quarter of 2023.
−Removed: The increase in noninterest expenses was primarily related to growth in salaries and employee benefits of $4.0 million.
−Removed: For the nine months ended September 30, 2024, noninterest expense increased by $12.2 million compared to the nine months ended September 30, 2023.
−Removed: Higher noninterest expenses in 2024 was primarily related to growth in salaries and employee benefits of $8.4 million.
−Removed: The Company’s effective tax rate was 20.3% for the third quarter of 2024, compared to 21.8% for the third quarter of 2023.
−Removed: The Company’s effective tax rate was 21.4% for the first nine months of 2024, compared to 22.0% or the first nine months of 2023.
−Removed: The primary reasons for the difference between the Company’s effective tax rate and the federal statutory rate were tax-exempt income, nondeductible expenses, federal and state tax credits and state tax expense.
+Added: Noninterest expense increased by $9.4 million for first quarter of 2025 compared to the first quarter of 2024.
+Added: The Company recorded a $4.4 million expense related to the disposition of certain equity investments no longer permissible under the Volcker Rule, which prohibits banks with more than $10 billion in assets from holding certain private equity investments.
+Added: Additionally, the increase in noninterest expense was augmented by growth in salaries and employee benefits of $3.1 million.
+Added: The Company’s effective tax rate was 21.1% for the first quarter of 2025, compared to 21.6% for the first quarter of 2024.
+Added: The primary reasons for the difference between the Company’s effective tax rate and the federal statutory rate were tax-exempt income, nondeductible amortization, federal and state tax credits and state tax expense.
FINANCIAL POSITION
2 unchanged sentences
(Dollars in thousands, except per share data)
−Removed: September 30,
Balance Sheet Data
+Added: Interest-bearing deposits with banks
+Added: Debt securities
Total loans (net of unearned interest)
Allowance for credit losses
−Removed: Debt securities
+Added: Noninterest-bearing demand deposits
+Added: Money market and interest-bearing checking deposits
+Added: Savings deposits
+Added: Time deposits
+Added: Total deposits
Stockholders' equity
25 unchanged sentences
This measure should not be considered a substitute for operating results determined in accordance with GAAP.
−Removed: (3) Government agencies guaranteed approximately $7.5 million of nonaccrual loans at September 30, 2024.
+Added: (3) Government agencies guaranteed approximately $9.2 million of nonaccrual loans at March 31, 2025.
Cash and Due from Banks, Federal Funds Sold and Interest-Bearing Deposits with Banks
−Removed: The aggregate of cash and due from banks, federal funds sold and interest-bearing deposits with banks increased by $593.3 million or 24.7%, to $3.0 billion from December 31, 2023 to September 30, 2024.
−Removed: The increase was related to an increase of interest-bearing deposits partially driven by maturing securities.
−Removed: At September 30, 2024, total debt securities decreased $178.2 million, or 11.5% compared to December 31, 2023.
+Added: The aggregate of cash and due from banks, federal funds sold and interest-bearing deposits with banks increased by $420.2 million or 11.8%, to $4.0 billion from December 31, 2024 to March 31, 2025.
+Added: The increase was related to an increase of interest-bearing deposits in addition to maturing securities.
+Added: At March 31, 2025, total debt securities decreased $44.3 million, or 3.7% compared to December 31, 2024.
The size of the Company’s securities portfolio is determined by the Company’s liquidity and asset/liability management.
−Removed: The net unrealized loss on debt securities available for sale, before taxes, was $31.9 million at September 30, 2024, compared to a net unrealized loss of $65.5 million at December 31, 2023.
−Removed: These unrealized losses, net of income tax, are included in the Company’s stockholders’ equity as
−Removed: accumulated other comprehensive loss in the amounts of $24.4 million at September 30, 2024 and $50.0 million at December 31, 2023.
−Removed: During the nine months ended September 30, 2024, the Company purchased $522,000 of debt securities and did not sell any debt securities.
+Added: The net unrealized loss on debt securities available for sale, before taxes, was $31.1 million at March 31, 2025, compared to a net unrealized loss of $43.1 million at December 31, 2024.
+Added: These unrealized losses of $23.7 million at March 31, 2025 and $32.9 million at December 31, 2024 are included in the Company’s stockholders’ equity as accumulated other comprehensive loss, net of income tax.
+Added: The Company did not purchase or sell any debt securities during the quarter ended March 31, 2025.
+Added: The Company did not recognize a gain or loss on debt securities during the quarters ended March 31, 2025 or 2024.
+Added: The Company had maturities and paydowns of debt securities totaling $56.3 million during the quarter ended March 31, 2025 and $17.7 million during the quarter ended March 31, 2024.
See Note (2) of the Notes to Consolidated Financial Statements for disclosures regarding the Company’s securities.
−Removed: At September 30, 2024, total loans increased $528.1 million or 6.9% compared to December 31, 2023 as a result of internal loan growth.
−Removed: The preponderance of internal loan growth was from the Company's Oklahoma subsidiary BancFirst.
−Removed: BancFirst's strong liquidity was the driving force behind the loan growth.
+Added: At March 31, 2025, total loans increased $69.6 million or 0.9% compared to December 31, 2024 as a result of internal loan growth.
+Added: Of the total increase in loans, commercial real estate made up the largest increase with $58.4 million.
+Added: The internal loan growth was primarily from the Company's Oklahoma subsidiary BancFirst.
See Note (3) of the Notes to Consolidated Financial Statements for disclosures regarding the Company’s loan portfolio segments.
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Nonaccrual Loans
−Removed: The Company's nonaccrual and past due loans have increased, however, the level of these loans remains low.
−Removed: The Company’s nonaccrual loans are primarily comprised of construction and development real estate loans, commercial real estate loans and commercial non-real estate loans.
+Added: Nonaccrual loans totaled $56.4 million at March 31, 2025 compared to $58.0 million at December 31, 2024.
+Added: The Company’s nonaccrual construction and development real estate loans made up 37% of nonaccrual loans and nonaccrual commercial real estate made up 29%.
Nonaccrual loans negatively impact the Company’s net interest margin.
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However, if the full collection of the remaining principal balance is not in doubt, interest income is recognized on certain of these loans on a cash basis.
−Removed: Had nonaccrual loans performed in accordance with their original contractual terms, the Company would have recognized additional interest income of approximately $2.6 million for the nine months ended September 30, 2024 and $1.1 million for the nine months ended September 30, 2023.
+Added: Had nonaccrual loans performed in accordance with their original contractual terms, the Company would have recognized additional interest income of approximately $1.0 million for the three months ended March 31, 2025 and $696,000 for the three months ended March 31, 2024.
Only a small amount of this interest is expected to be ultimately collected.
−Removed: Approximately $7.5 million of nonaccrual loans were guaranteed by government agencies at September 30, 2024.
+Added: Approximately $9.2 million of nonaccrual loans were guaranteed by government agencies at March 31, 2025.
The classification of a loan as nonaccrual does not necessarily indicate that loan principal and interest will ultimately be uncollectible;
−Removed: although, in an economic downturn, the Company’s experience has been that the risk of loss is heightened.
+Added: although, in an economic downturn, the Company’s experience has been that the level of collections decline.
The above normal risk associated with nonaccrual loans has been considered in the determination of the allowance for credit losses.
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Modified Loans
−Removed: As of January 1, 2023, the Company adopted Accounting Standards Update (“ASU”) No.
−Removed: 2022-02, which eliminated the Troubled Debt Restructurings (“TDR”) recognition and measurement guidance and, instead, requires that the Company evaluate, based on the accounting for loan modifications, whether the modification represents a new loan or a continuation of an existing loan when a borrower is experiencing financial difficulty.
The current and future financial effects of the recorded balance of loans considered to be modified during the period were not considered to be material.
−Removed: The recorded balance of loans modified during the period ended September 30, 2024 was approximately $8.4 million compared to $5.3 million during the year ended December 31, 2023.
+Added: The recorded balance of loans modified during the period ended March 31, 2025 was approximately $1.9 million compared to $14.8 million during the year ended December 31, 2024.
Other Real Estate Owned and Repossessed Assets
−Removed: OREO consists of properties acquired through foreclosure proceedings or acceptance of a deed in lieu of foreclosure and premises held for sale.
+Added: Other real estate owned ("OREO") consists of properties acquired through foreclosure proceedings or acceptance of a deed in lieu of foreclosure and premises held for sale.
These properties are carried at the lower of the book values of the related loans or fair values based upon appraisals of the properties, less estimated costs to sell.
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Decreases in values of properties subsequent to their classification as OREO are charged to operating expense.
−Removed: OREO included a larger commercial real estate property recorded at $31.1 million at September 30, 2024 and $29.4 million at December 31, 2023.
−Removed: During the period ended September 30, 2024, the Company made $1.7 million of tenant improvements to this property, which contributed to the increase of total OREO.
+Added: The Company's write-downs in OREO totaled $20,000 for the three months ended March 31, 2025 compared to $50,000 for the three months ended March 31, 2024.
+Added: OREO included a larger commercial real estate property recorded at $29.5 million at March 31, 2025 and $28.1 million at December 31, 2024.
+Added: During the quarter ended March 31, 2025, the Company made $1.4 million of tenant improvements to this property, which contributed to the increase of total OREO.
Rental income for this property is included in other noninterest income on the consolidated statements of comprehensive income.
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This property had the following rental income and operating expenses for the periods presented:
−Removed: Three Months Ended
−Removed: September 30,
−Removed: Nine Months Ended
−Removed: September 30,
+Added: For the Three Months Ended March 31,
(Dollars in thousands)
2 unchanged sentences
The Company's total rental income and operating expenses from OREO are presented in the following table:
−Removed: Three Months Ended
−Removed: September 30,
−Removed: Nine Months Ended
−Removed: September 30,
+Added: For the Three Months Ended March 31,
(Dollars in thousands)
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Intangible Assets, Goodwill and Other Assets
−Removed: Identifiable intangible assets and goodwill totaled $196.3 million and $199.0 million at September 30, 2024 and December 31, 2023, respectively.
−Removed: Other assets includes the cash surrender value of key-man life insurance policies totaling $83.9 million and $84.4 million at September 30, 2024 and December 31, 2023, respectively.
−Removed: Derivative financial instruments consisting of oil and gas swaps and option contracts are included in other assets and totaled $26.4 million at September 30, 2024 and $41.1 million at December 31, 2023.
+Added: Identifiable intangible assets and goodwill totaled $194.5 million and $195.4 million at March 31, 2025 and December 31, 2024, respectively.
+Added: Other assets includes the cash surrender value of key-man life insurance policies totaling $84.3 million at March 31, 2025 and $84.4 million at December 31, 2024.
+Added: Derivative financial instruments consisting of oil and gas swaps and option contracts are included in other assets and totaled $19.9 million at March 31, 2025 and $10.5 million at December 31, 2024.
They require a daily margin to be posted, which fluctuates with oil and gas prices and customer activity.
−Removed: The Company had a margin liability included in other liabilities in the amount of $10.7 million at September 30, 2024 and $15.5 million at December 31, 2023.
+Added: The Company had a margin asset included in other assets in the amount of $12.6 million at March 31, 2025 and $463,000 at December 31, 2024.
See Note (10) of the Notes to Consolidated Financial Statements for a complete discussion of the Company’s derivative financial instruments.
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The realized and unrealized gains and losses are reported as securities transactions in the noninterest income section of the consolidated statements of comprehensive income.
−Removed: The balance of equity securities was $12.8 million at September 30, 2024 and $13.1 million at December 31, 2023.
+Added: The balance of equity securities was $12.8 million at March 31, 2025 and $13.4 million at December 31, 2024.
The Company reviews its portfolio of equity securities for impairment at least quarterly.
−Removed: Low-Income Housing and New Market Tax Credit Investments
−Removed: During 2024, the Company’s low-income housing tax credit ("LIHTC") investments and New Markets Tax Credits ("NMTC") investments, which are included in other assets on the Company’s consolidated balance sheet, increased $10.2 million.
+Added: Low-Income Housing, New Market Tax Credit Investments and Historic Tax Credit Investments
+Added: During 2025, the Company’s low-income housing tax credit ("LIHTC") investments increased $6.5 million totaling $65.1 million at March 31, 2025, New Markets Tax Credits ("NMTC") investments increased $5.3 million totaling $12.8 million at March 31, 2025 and the Historic Tax Credit Investments remained at $6.3 million, all of which are included in other assets on the Company’s consolidated balance sheet.
See Note (6) of the Notes to Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 for disclosures regarding these investments.
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The Company’s principal source of liquidity and funding is its broad deposit base generated from customer relationships.
−Removed: The availability of deposits is affected by economic conditions, competition with other financial institutions and alternative investments available to customers.
+Added: The availability of deposits is affected by economic conditions, competition with other financial institutions and alternative investments
+Added: available to customers.
Through interest rates paid, service charge levels and services offered, the Company can affect its level of deposits to a limited extent.
The level and maturity of funding necessary to support the Company’s lending and investment functions is determined through the Company’s asset/liability management process.
−Removed: The Company currently does not rely heavily on long-term borrowings and does not utilize brokered or reciprocal deposits.
+Added: The Company currently does not rely heavily on long-term borrowings and does not utilize brokered CDs.
The Company maintains lines of credit from the Federal Home Loan Bank (“FHLB”), federal funds lines of credit with other banks and could also utilize the sale of loans, securities and liquidation of other assets as sources of liquidity and funding.
−Removed: The Company is highly liquid with a total of cash and due from banks and interest-bearing deposits with banks to total assets of 22.5%.
+Added: The Company is highly liquid with percent of cash and due from banks, interest-bearing deposits with banks and federal funds sold to total assets of 28.3% at March 31, 2025, compared to 26.2% at December 31, 2024.
There have not been any other material changes from the liquidity and funding discussion included in Management’s Discussion and Analysis in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.
−Removed: At September 30, 2024, deposits totaled $11.5 billion, an increase of $774.2 million from December 31, 2023.
+Added: At March 31, 2025, deposits totaled $12.1 billion, an increase of $408.2 million from December 31, 2024.
The Company’s core deposits provide it with a stable, low-cost funding source.
−Removed: The Company’s core deposits as a percentage of total deposits were 95.8% at September 30, 2024 and 97.4% at December 31, 2023.
−Removed: Noninterest-bearing deposits to total deposits were 33.6% at September 30, 2024 compared to 37.2% at December 31, 2023.
−Removed: Quantitative tightening by the Federal Reserve and competition for deposits has increased, and available yields have similarly increased, causing noninterest-bearing deposits to move to interest-bearing deposits and off-balance-sheet sweep account products.
−Removed: Off-balance-sheet sweep accounts totaled $4.3 billion at both September 30, 2024 and December 31, 2023.
+Added: The Company’s core deposits as a percentage of total deposits were 95.5% at both March 31, 2025 and December 31, 2024.
+Added: Noninterest-bearing deposits to total deposits were 33.2% at March 31, 2025 compared to 33.3% at December 31, 2024.
+Added: Uninsured deposits are defined as the portion of deposit accounts in U.S.
+Added: offices that exceed the FDIC insurance limit and amounts in any other uninsured investment or deposit account that are classified as deposits and are not subject to any federal or state deposit insurance regimes.
+Added: Total uninsured deposits were $4.1 billion at March 31, 2025 and $4.0 billion at December 31, 2024, as calculated per regulatory guidance.
+Added: This was approximately 34% of deposits at both March 31, 2025 and December 31, 2024.
+Added: The Company has existing and contingent sources of liquidity equivalent to approximately 150% of it uninsured deposits.
+Added: Off-balance-sheet sweep accounts totaled $5.5 billion at March 31, 2025 compared to $5.2 billion at December 31, 2024.
The movement of customers' funds into the Company's off-balance-sheet sweep accounts affected the balances of both cash and deposits.
1 unchanged sentence
See Note (5) of the Notes to Consolidated Financial Statements for a complete discussion of the Company’s subordinated debt.
−Removed: Short-Term Borrowings and Lines of Credit
−Removed: Short-term borrowings, consisting primarily of federal funds purchased and repurchase agreements, are another source of funds for the Company.
−Removed: The level of these borrowings is determined by various factors, including customer demand and the Company’s ability to earn a favorable spread on the funds obtained.
−Removed: Short-term borrowings were $4.4 million at September 30, 2024 compared to $3.4 million at December 31, 2023.
+Added: Lines of Credit
The Company has several lines of credit available.
−Removed: At September 30, 2024, BancFirst had $877.1 million available on its line of credit from the FHLB of Topeka, Kansas.
−Removed: At September 30, 2024, BancFirst had no advances outstanding under this line of credit.
+Added: At March 31, 2025, BancFirst had $911.4 million available on its line of credit from the FHLB of Topeka, Kansas.
+Added: At March 31, 2025, BancFirst had no advances outstanding under this line of credit.
Pegasus had a Federal Reserve discount window capacity of $127.7 million.
−Removed: At September 30, 2024, Pegasus had no advances outstanding under this line of credit.
−Removed: Worthington had $10.5 million in lines of credit with other financial institutions that serve as overnight federal funds facilities, a Federal Reserve discount window capacity of $29.4 million and a $81.8 million line of credit from the FHLB of Dallas, Texas to use for liquidity or to match-fund certain long-term rate loans.
−Removed: Worthington had no advances outstanding at September 30, 2024 under any of these lines of credit.
+Added: At March 31, 2025, Pegasus had no advances outstanding under this line of credit.
+Added: Worthington had $10.5 million in lines of credit with other financial institutions that serve as overnight federal funds facilities, a Federal Reserve discount window capacity of $30.4 million and an $87.6 million line of credit from the FHLB of Dallas, Texas to use for liquidity or to match-fund certain long-term rate loans.
+Added: Worthington had no advances outstanding at March 31, 2025 under any of these lines of credit.
Capital Resources
−Removed: Stockholders’ equity totaled $1.6 billion at September 30, 2024, an increase of $150.7 million from December 31, 2023.
−Removed: In addition to net income of $159.9 million, other increases in stockholders’ equity during the nine months ended September 30, 2024 included $6.2 million related to common stock issuances for stock option exercises, $2.6 million related to stock-based compensation and $25.6 million in accumulated other comprehensive income, that were partially offset by $43.6 million in dividends.
−Removed: The Company’s leverage ratio and other risk-based capital ratios at September 30, 2024 were well in excess of the regulatory requirements.
+Added: Stockholders’ equity totaled $1.7 billion at March 31, 2025, an increase of $51.6 million from December 31, 2024.
+Added: In addition to net income of $56.1 million, other changes in stockholders’ equity during the three months ended March 31, 2025 included $891,000 related to common stock issuances for stock option exercises, $790,000 related to stock-based compensation and $9.1 million in accumulated other comprehensive income that were partially offset by $15.3 million in dividends.
+Added: The Company’s leverage ratio and total risk-based capital ratios at March 31, 2025 were well in excess of the regulatory requirements.
See Note (7) of the Notes to Consolidated Financial Statements for a discussion of capital ratios and requirements.
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Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.