FULLTEXT DEL 3 AV 3
10-Q – 2026-07-30 – umbf-20260630.htm
845 Credit cards 2,522 1,747 3,519 Leases and other 20 — 6 Total recoveries 4,577 2,528 5,348 Net charge-offs (34,790 ) (51,334 ) (82,371 ) Allowance for credit losses – end of period $ 441,372 $ 394,193 $ 421,162 Allowance for credit losses on loans $ 437,376 $ 389,918 $ 419,478 Allowance for credit losses on held-to-maturity securities 3,996 4,275 1,684 Loans at end of period, net of unearned interest 41,149,726 36,807,933 38,779,408 Held-to-maturity securities at end of period 5,716,426 5,499,457 5,724,227 Total assets at amortized cost 46,866,152 42,307,390 44,503,635 Average loans, net of unearned interest 40,003,513 34,366,980 36,065,953 Allowance for credit losses on loans to loans at end of period 1.06 % 1.06 % 1.08 % Allowance for credit losses – end of period to total assets at amortized cost 0.94 % 0.93 % 0.95 % Allowance as a multiple of net charge-offs 6.29x 3.81x 5.11x Net charge-offs to average loans 0.18 % 0.30 % 0.23 % Noninterest Income A key objective of the Company is the growth of noninterest income to provide a diverse source of revenue not directly tied to interest rates. Fee-based services are typically non-credit related and are not generally affected by fluctuations in interest rates. The Company offers multiple fee-based products and services, which management believes will more closely align with customer demands. The Company is currently emphasizing fee-based products and services including trust and securities processing, bankcard, securities trading and brokerage, and cash and treasury management. Management believes that it can offer these products and services both efficiently and profitably, as most have common platforms and support structures. 76 Table 4 SUMMARY OF NONINTEREST INCOME (unaudited, dollars in thousands) Three Months Ended Dollar Percent June 30, Change Change 2026 2025 26-25 26-25 Trust and securities processing $ 98,295 $ 83,263 $ 15,032 18.1 % Trading and investment banking 5,314 6,170 (856 ) (13.9 ) Service charges on deposits 29,588 28,865 723 2.5 Insurance fees and commissions 207 189 18 9.5 Brokerage fees 25,400 20,525 4,875 23.8 Bankcard fees 29,954 29,018 936 3.2 Investment securities gains, net 27,087 37,685 (10,598 ) (28.1 ) Other 29,660 16,470 13,190 80.1 Total noninterest income $ 245,505 $ 222,185 $ 23,320 10.5 % Six Months Ended Dollar Percent June 30, Change Change 2026 2025 26-25 26-25 Trust and securities processing $ 192,962 $ 163,044 $ 29,918 18.3 % Trading and investment banking 13,054 12,081 973 8.1 Service charges on deposits 59,062 56,322 2,740 4.9 Insurance fees and commissions 462 367 95 25.9 Brokerage fees 46,489 38,627 7,862 20.4 Bankcard fees 58,832 55,311 3,521 6.4 Investment securities gains, net 30,133 32,903 (2,770 ) (8.4 ) Other 49,304 29,728 19,576 65.9 Total noninterest income $ 450,298 $ 388,383 $ 61,915 15.9 % Noninterest income increased by $23.3 million, or 10.5%, during the three-month period ended June 30, 2026, and increased $61.9 million, or 15.9%, during the six-month period ended June 30, 2026, compared to the same periods in 2025. Table 4 above summarizes the components of noninterest income and the respective year-over-year comparison for each category. Trust and securities processing income consists of fees earned on personal and corporate trust accounts, custody of securities services, trust investments and wealth management services, mutual fund assets, and alternative asset servicing. The increase in these fees for the three and six-month periods ended June 30, 2026, compared to the same periods in 2025, was primarily due to an increase in trust services income, fund services revenue, and corporate trust revenue. For the three-month period ended June 30, 2026, fund services revenue increased $9.1 million, or 20.2%, corporate trust revenue increased $3.9 million, or 21.7%, and trust income increased $2.0 million, or 10.0%, compared to the same period in 2025. For the six-month period ended June 30, 2026, fund services revenue increased $18.0 million, or 20.3%, corporate trust revenue increased $7.3 million, or 20.6%, and trust services revenue increased $4.7 million, or 11.9%, compared to the same period in 2025. The recent volatile markets have impacted the income in this category. Since trust and securities processing fees are primarily asset-based, which are highly correlated to the change in market value of the assets, the related income for the remainder of the year will be affected by changes in the securities markets. Management continues to emphasize sales of services to both new and existing clients as well as increasing and improving the distribution channels. Brokerage fees for the three-month period ended June 30, 2026 increased $4.9 million, or 23.8%, and increased $7.9 million, or 20.4%, for the six-month period ended June 30, 2026, compared to the same periods in 2025. The changes in the three-month and six-month periods were driven by 12b-1 fees and money market share revenue. Bankcard fees for the three and six-month periods ended June 30, 2026 increased $0.9 million, or 3.2%, and increased $3.5 million, or 6.4%, respectively, as compared to the same periods in 2025. The increase for the 77 three-month period ended June 30, 2026, was driven by higher interchange income, increased merchant revenue share, and lower rebate costs. The increase for the six-month period was driven by higher interchange income, partially offset by higher reward costs. Investment securities gains, net for the three and six-month periods ended June 30, 2026 decreased $10.6 million, or 28.1%, and decreased $2.8 million, or 8.4%, respectively, compared to the same periods in 2025. The decrease for the three-month period ended June 30, 2026, was primarily driven by the pre-tax gain of $29.4 million on the company's investment in Voyager Technologies, Inc., which completed its initial public offering in June 2025, and pre-tax gains of $8.2 million on the sale of two non-marketable investments, all recognized in the second quarter of 2025. This is compared to a $17.9 million gain on the sale of a non-marketable security and increases of $9.1 million in valuation of the company's non-marketable securities in the second quarter of 2026. The decrease for the six-month period ended June 30, 2026 was further impacted by a gain of $3.0 million on the sale of a non-marketable security in the first quarter of 2026, coupled with declines of $5.4 million in valuation of the Company’s non-marketable securities in the six-month period ended June 30, 2025. The income in this category is highly correlated to the change in market value of the assets, and the related income for the remainder of the year will be affected by changes in the securities markets. The Company’s investment portfolio is continually evaluated for opportunities to improve its performance and risk profile relative to market conditions and the Company’s interest rate expectations. This can result in differences from quarter to quarter in the amount of realized gains or losses on this portfolio. Other noninterest income for the three-month period ended June 30, 2026, increased $13.2 million, or 80.1%, compared to the same period in 2025, primarily driven by a $8.8 million increase in company-owned life insurance income, $2.5 million increase in bank-owned life insurance income, and a $1.0 million increase in derivative income. For the six-month period, other noninterest income increased $19.6 million, or 65.9%, compared to the same period in 2025. This increase is driven by increases of $7.6 million in company-owned life insurance income, $4.2 million in bank-owned life insurance income, $2.3 million in derivative income, and $1.8 million in syndication income. Table 5 SUMMARY OF NONINTEREST EXPENSE (unaudited, dollars in thousands) Three Months Ended Dollar Percent June 30, Change Change 2026 2025 26-25 26-25 Salaries and employee benefits $ 227,162 $ 213,551 $ 13,611 6.4 % Occupancy, net 19,277 18,571 706 3.8 Equipment 13,942 16,426 (2,484 ) (15.1 ) Supplies and services 5,504 6,383 (879 ) (13.8 ) Marketing and business development 13,916 11,344 2,572 22.7 Processing fees 43,073 43,638 (565 ) (1.3 ) Legal and consulting 14,415 18,468 (4,053 ) (21.9 ) Bankcard 11,873 12,363 (490 ) (4.0 ) Amortization of other intangible assets 23,460 25,268 (1,808 ) (7.2 ) Regulatory fees 9,097 9,259 (162 ) (1.7 ) Other 17,914 17,897 17 0.1 Total noninterest expense $ 399,633 $ 393,168 $ 6,465 1.6 % 78 Six Months Ended Dollar Percent June 30, Change Change 2026 2025 26-25 26-25 Salaries and employee benefits $ 446,843 $ 434,949 $ 11,894 2.7 % Occupancy, net 38,352 34,640 3,712 10.7 Equipment 27,262 33,374 (6,112 ) (18.3 ) Supplies and services 11,108 11,168 (60 ) (0.5 ) Marketing and business development 27,708 19,342 8,366 43.3 Processing fees 85,132 84,488 644 0.8 Legal and consulting 23,502 47,074 (23,572 ) (50.1 ) Bankcard 23,714 25,158 (1,444 ) (5.7 ) Amortization of other intangible assets 46,920 42,750 4,170 9.8 Regulatory fees 17,367 17,496 (129 ) (0.7 ) Other 32,608 27,516 5,092 18.5 Total noninterest expense $ 780,516 $ 777,955 $ 2,561 0.3 % Noninterest expense increased $6.5 million, or 1.6%, and increased $2.6 million, or 0.3%, for the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025. Table 5 above summarizes the components of noninterest expense and the respective year-over-year comparison for each category. For the first six months of 2026, noninterest expense included $6.0 million in total acquisition-related and other nonrecurring costs, compared to $66.7 million in the same period in 2025. Salaries and employee benefits increased by $13.6 million, or 6.4%, and increased $11.9 million, or 2.7%, for the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025. Salaries and wages expense increased $0.9 million, or 0.7%, and increased $14.5 million, or 6.1%, for the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025. Bonus and commission expense increased $0.1 million, or 0.3%, and decreased $21.2 million, or 16.8%, for the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025. Employee benefits expense increased $12.5 million, or 38.4%, and increased $18.6 million, or 26.3%, for the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025. The variances in salaries and employee benefits are primarily driven by higher deferred compensation expense, coupled with increased bonus and commission expense due to higher company performance, partially offset by severance, retention bonuses, and change in control payments made to HTLF associates in 2025. Occupancy expense increased $0.7 million, or 3.8%, and $3.7 million, or 10.7%, for the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025, primarily due to increased depreciation expense related to assets acquired from the HTLF acquisition and higher building repair expense. Equipment expense decreased $2.5 million, or 15.1%, and $6.1 million, or 18.3%, for the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025, primarily due to lower software maintenance and amortization expense. Marketing and business development expense increased $2.6 million, or 22.7%, and $8.4 million, or 43.3%, for the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025, primarily due to the timing of advertising campaigns and higher travel and entertainment expense. Legal and consulting expense decreased $4.1 million, or 21.9%, and $23.6 million, or 50.1%, for the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025. The decrease in both periods is primarily due to decreases in non-recurring transaction costs associated with the acquisition in 2025. Amortization of other intangible assets decreased $1.8 million, or 7.2%, and increased $4.2 million, or 9.8%, for the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025. The decrease in the three-month period ended June 30, 2026 is primarily due to a decrease of amortization related to the 79 core deposit intangible recognized from the HTLF acquisition. The increase in the six-month period ended June 30, 2026 is related to the timing of the HTLF acquisition in the first quarter of 2025. Income Tax Expense The Company’s effective tax rate was 20.9% for the six months ended June 30, 2026, compared to 18.8% for the same period in 2025. The increase in the effective tax rate in 2026 is mainly due to more favorable discrete tax items in 2025, including a benefit from remeasuring deferred tax assets after the HTLF acquisition increased the state marginal tax rate. Additionally, a smaller proportion of pre-tax income in 2026 was earned from tax-exempt municipal securities. Strategic Lines of Business The Company has strategically aligned its operations into the following three reportable Business Segments: Commercial Banking, Institutional Banking, and Personal Banking. The Company’s senior executive officers regularly evaluate Business Segment financial results produced by the Company’s internal reporting system in deciding how to allocate resources and assess performance for individual Business Segments. 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 Form 10-Q to conform to the Company’s current organizational structure. Table 6 Commercial Banking Operating Results (unaudited, dollars in thousands) Three Months Ended Dollar Percent June 30, Change Change 2026 2025 26-25 26-25 Net interest income $ 362,575 $ 322,619 $ 39,956 12.4 % Provision for credit losses 24,733 18,334 6,399 34.9 Noninterest income 51,939 43,219 8,720 20.2 Noninterest expense 169,253 170,648 (1,395 ) (0.8 ) Income before taxes 220,528 176,856 43,672 24.7 Income tax expense 45,835 37,068 8,767 23.7 Net income $ 174,693 $ 139,788 $ 34,905 25.0 % Six Months Ended Dollar Percent June 30, Change Change 2026 2025 26-25 26-25 Net interest income $ 727,917 $ 596,536 $ 131,381 22.0 % Provision for credit losses 48,510 85,085 (36,575 ) (43.0 ) Noninterest income 98,228 80,438 17,790 22.1 Noninterest expense 334,705 343,660 (8,955 ) (2.6 ) Income before taxes 442,930 248,229 194,701 78.4 Income tax expense 92,699 46,777 45,922 98.2 Net income $ 350,231 $ 201,452 $ 148,779 73.9 % For the six-month period ended June 30, 2026, Commercial Banking net income increased $148.8 million, or 73.9%, to $350.2 million, compared to the same period in 2025. Net interest income increased $131.4 million, or 22.0%, for the six-month period ended June 30, 2026, compared to the same period in 2025, primarily driven by organic loan growth, an additional month of activity from the acquisition of HTLF, and earning asset mix changes. Provision for credit losses decreased $36.6 million for the period, driven by the acquisition of HTLF as well as portfolio metric changes and ongoing recalibrations of economic loss models in 2026 as compared to 2025. Noninterest income increased $17.8 million, or 22.1%, compared to the same period in 2025, primarily due to 80 increases of $12.8 million in other income driven by increases in gains recorded for recoveries of loans previously charged off by HTLF and increased derivative income, syndication income, and life insurance income, coupled with increases of $2.6 million in bankcard fees and $1.9 million in deposit service charges. Noninterest expense decreased $9.0 million, or 2.6%, to $334.7 million for the six-month period ended June 30, 2026, compared to the same period in 2025. This decrease was driven by a decrease of $17.5 million in technology, service, and overhead expenses, partially offset by increases of $3.9 million in marketing and business development, $3.1 million in salaries and employee benefits, and $2.1 million in other noninterest expense. Table 7 Institutional Banking Operating Results (unaudited, dollars in thousands) Three Months Ended Dollar Percent June 30, Change Change 2026 2025 26-25 26-25 Net interest income $ 79,048 $ 66,331 $ 12,717 19.2 % Provision for credit losses 627 430 197 45.8 Noninterest income 129,191 107,998 21,193 19.6 Noninterest expense 122,527 105,137 17,390 16.5 Income before taxes 85,085 68,762 16,323 23.7 Income tax expense 17,684 14,412 3,272 22.7 Net income $ 67,401 $ 54,350 $ 13,051 24.0 % Six Months Ended Dollar Percent June 30, Change Change 2026 2025 26-25 26-25 Net interest income $ 156,336 $ 127,489 $ 28,847 22.6 % Provision for credit losses 1,125 865 260 30.1 Noninterest income 251,020 211,792 39,228 18.5 Noninterest expense 235,458 212,402 23,056 10.9 Income before taxes 170,773 126,014 44,759 35.5 Income tax expense 35,741 23,746 11,995 50.5 Net income $ 135,032 $ 102,268 $ 32,764 32.0 % For the six-month period ended June 30, 2026, Institutional Banking net income increased $32.8 million, or 32.0%, to $135.0 million, compared to the same period last year. Net interest income increased $28.8 million, or 22.6%, compared to the same period last year, due to an increase in funds transfer pricing resulting from higher deposit balances. Provision for credit losses increased $0.3 million for the period, driven by portfolio metric changes and ongoing recalibrations of economic loss models in 2026 compared to 2025. Noninterest income increased $39.2 million, or 18.5%, to $251.0 million for the six-month period June 30, 2026, compared to the same period in 2025. This increase was due to increases of $25.3 million in trust and securities processing income driven by higher fund services and corporate trust revenue, $8.2 million in brokerage income due to increased 12b-1 and money market revenue, $2.9 million in other income due to increased foreign currency valuation changes, $1.3 million in bankcard fees, and $1.0 million in bond trading income. Noninterest expense increased $23.1 million, or 10.9%, primarily driven by increases of $9.5 million in salaries and employee benefits expense, $8.5 million increase in technology, service, and overhead expense, $1.4 million in bankcard expense, $1.2 million in other noninterest expense, $0.9 million in legal and consulting expense, and $0.9 million in marketing and business development. 81 Table 8 Personal Banking Operating Results (unaudited, dollars in thousands) Three Months Ended Dollar Percent June 30, Change Change 2026 2025 26-25 26-25 Net interest income $ 90,902 $ 78,074 $ 12,828 16.4 % Provision for credit losses 2,640 2,236 404 18.1 Noninterest income 64,375 70,968 (6,593 ) (9.3 ) Noninterest expense 107,853 117,383 (9,530 ) (8.1 ) Income before taxes 44,784 29,423 15,361 52.2 Income tax expense 9,308 6,167 3,141 50.9 Net income $ 35,476 $ 23,256 $ 12,220 52.5 % Six Months Ended Dollar Percent June 30, Change Change 2026 2025 26-25 26-25 Net interest income $ 182,638 $ 140,638 $ 42,000 29.9 % Provision for credit losses 5,365 21,050 (15,685 ) (74.5 ) Noninterest income 101,050 96,153 4,897 5.1 Noninterest expense 210,353 221,893 (11,540 ) (5.2 ) Income (loss) before taxes 67,970 (6,152 ) 74,122 1,204.8 Income tax expense (benefit) 14,225 (1,159 ) 15,384 1,327.4 Net income (loss) $ 53,745 $ (4,993 ) $ 58,738 1,176.4 % For the six-month period ended June 30, 2026, Personal Banking net income improved $58.7 million, or 1,176.4%, to net income of $53.7 million, as compared to a net loss of $5.0 million in the same period in 2025. Net interest income increased $42.0 million, or 29.9%, compared to the same period last year driven by organic loan growth, an additional month of activity from the acquisition of HTLF, and earning asset mix changes. Provision for credit losses decreased $15.7 million for the period, driven by the acquisition of HTLF as well as by portfolio metric changes and ongoing recalibrations of economic loss models in 2026 as compared to 2025. Noninterest income increased $4.9 million, or 5.1%, for the same period primarily driven by increases of $4.1 million in trust and securities processing income and $2.6 million in other income driven by increases in gains recorded for recoveries of loans previously charged off by HTLF and increased life insurance income, partially offset by a $2.2 million decline in investment securities gains. Noninterest expense decreased $11.5 million, or 5.2%, primarily due to decreases of $12.1 million in technology, service, and overhead expenses, $3.6 million in other noninterest expense driven by reduced charitable contributions, and $1.7 million in bankcard expenses, partially offset by increases of $2.9 million in salaries and employee benefits expense and $2.8 million in marketing and business development. Balance Sheet Analysis Total assets of the Company decreased $838.5 million, or 1.1%, as of June 30, 2026, compared to December 31, 2025, primarily due to decreases of $2.0 billion, or 28.7%, and $172.7 million, or 18.1%, in interest-bearing due from banks and cash and due from banks, respectively, coupled with decreases of $619.7 million, or 40.0%, in securities purchased under agreements to resell and $221.0 million, or 1.6%, in securities available for sale. These decreases were partially offset by an increase of $2.4 billion, or 6.1%, in loans balances. Total assets of the Company increased $495.4 million, or 0.7%, as of June 30, 2026, compared to June 30, 2025, primarily due to increases of $4.3 billion, or 11.8%, in loan balances and $1.3 billion, or 10.9%, in securities available for sale, partially offset by a decrease of $5.1 billion, or 50.6%, in interest-bearing due from banks. 82 Table 9 SELECTED FINANCIAL INFORMATION (unaudited, dollars in thousands) June 30, December 31, 2026 2025 2025 Total assets $ 72,255,560 $ 71,760,153 $ 73,094,090 Loans, net of unearned interest 41,156,526 36,813,671 38,781,438 Total securities 19,943,926 18,405,658 20,131,999 Interest-bearing due from banks 4,951,010 10,026,186 6,940,535 Total earning assets 66,979,900 65,982,706 67,402,065 Total deposits 59,766,682 59,987,009 60,656,790 Total borrowed funds 3,563,726 3,589,930 3,799,167 Loans represent the Company’s largest source of interest income. In addition to growing the commercial loan portfolio, management believes its middle market commercial business and its consumer business, including home equity and credit card loan products, are the market niches that represent its best opportunity to cross-sell fee-related services and generate additional noninterest income for the Company. Actual loan balances totaled $41.1 billion as of June 30, 2026, and increased $2.4 billion, or 6.1%, compared to December 31, 2025, and increased $4.3 billion, or 11.8%, compared to June 30, 2025. Compared to December 31, 2025, commercial and industrial loans increased $1.7 billion, or 10.3%, leases and other loans increased $261.8 million, or 109.8%, and commercial real estate loans increased $191.1 million, or 1.2%. Compared to June 30, 2025, commercial and industrial loans increased $3.3 billion, or 22.5%, leases and other loans increased $398.4 million, or 391.2%, commercial real estate loans increased $382.4 million, or 2.4%, and consumer real estate loans increased $221.0 million, or 5.1%. As of June 30, 2026 and December 31, 2025, commercial real estate loans comprised approximately 40.3% and 42.2%, respectively, of the Company's loan portfolio. Commercial real estate loans generally involve a greater degree of credit risk than consumer real estate loans because they typically have larger balances and are more affected by adverse conditions in the economy. Because payments on loans secured by commercial real estate often depend upon the successful operation and management of the properties and the businesses which operate from within them, repayment of such loans may be affected by factors outside the borrower’s control, such as adverse conditions in the real estate market or the economy or changes in government regulations. In recent years, commercial real estate markets have been particularly impacted by the economic disruption and the evolution of various remote work options, which could impact the long-term performance of some types of office properties within our commercial real estate portfolio. Due to these risks, the Company is actively monitoring its exposure to commercial real estate. Generally, these loans are made for investment and real estate development or working capital and business expansion purposes and are primarily secured by real estate with a maximum loan-to-value of 80%. Most of these properties are non-owner occupied and have guarantees as additional security. The Company’s investment CRE portfolio (which includes non-owner occupied and construction loans) totaled 25.7% and 27.5% of total Company loans as of June 30, 2026 and December 31, 2025, respectively. The average investment CRE loan was approximately $4.0 million and $3.6 million, as of June 30, 2026 and December 31, 2025, respectively. The properties securing the commercial real estate portfolio are diverse in terms of type and geographic location. This diversity helps reduce exposure to adverse economic events that affect any single market or industry. Notwithstanding, commercial real estate loans, in general, may be more adversely impacted by conditions in the real estate market or the economy. The following table presents the Company’s investment CRE (which includes non-owner occupied and construction loans) by industry. The table separately discloses the top five industries as a percentage of the Company’s loan portfolio as of either period presented, while the remainder are included in “Other.” 83 Table 10 Investment CRE loans by industry as a percentage of total Company Loans June 30, 2026 December 31, 2025 Industrial 7.9 % 8.1 % Multifamily 6.5 6.7 Office building 2.9 3.6 Retail 2.1 2.3 Hotel 1.8 2.0 Other 4.5 4.8 Total Investment CRE 25.7 % 27.5 % The following table presents the Company’s investment CRE (which includes non-owner occupied and construction loans) by state. The table separately discloses all states that represent at least 5.0% of the Company’s investment CRE portfolio as of either period presented, while the remainder are included in “All Others.” Table 11 Investment CRE loans by State June 30, 2026 December 31, 2025 Texas 12.0 % 12.0 % Missouri 12.0 12.5 Arizona 11.9 12.2 Colorado 11.5 11.7 California 5.3 5.1 Utah 5.0 4.9 All others 42.3 41.6 Total Investment CRE 100.0 % 100.0 % Nonaccrual, past due and restructured loans are discussed under “Credit Risk Management” within “Item 3. Quantitative and Qualitative Disclosures About Market Risk” in this report. Investment Securities The Company’s investment portfolio contains trading, AFS, and HTM securities, as well as FRB stock, FHLB stock, and other miscellaneous investments. Investment securities totaled $19.9 billion as of June 30, 2026, and $20.1 billion as of December 31, 2025, and comprised 29.8% and 29.9% of the Company’s earning assets, respectively, as of those dates. The Company’s AFS securities portfolio comprised 67.6% of the Company’s total securities portfolio at June 30, 2026 and 68.1% at December 31, 2025. The Company’s AFS securities portfolio provides liquidity as a result of the composition and average life of the underlying securities. This liquidity can be used to fund loan growth or to offset the outflow of traditional funding sources. The average life of the AFS securities portfolio was 69.6 months at June 30, 2026, compared to 74.8 months at December 31, 2025, and 72.4 months at June 30, 2025. In addition to providing a potential source of liquidity, the AFS securities portfolio can be used as a tool to manage interest rate sensitivity. The Company’s goal in the management of its AFS securities portfolio is to maximize return within the Company’s parameters of liquidity goals, interest rate risk, and credit risk. Management expects collateral pledging requirements for public funds, loan demand, and deposit funding to be the primary factors impacting changes in the level of AFS securities. There were $13.2 billion and $13.4 billion of securities pledged to secure U.S. Government deposits, other public deposits, certain trust deposits, derivative transactions, and repurchase agreements at June 30, 2026 and December 31, 2025, respectively. 84 The Company’s HTM securities portfolio consists of U.S. agency-backed securities, mortgage-backed securities, general obligation bonds, and private placement bonds. The HTM portfolio, net of the ACL, totaled $5.7 billion at both June 30, 2026 and December 31, 2025, respectively. The average life of the HTM portfolio was 8.6 years at June 30, 2026, compared to 8.5 years at December 31, 2025, and 8.8 years at June 30, 2025. The securities portfolio generates the Company’s second largest component of interest income. The securities portfolio achieved an average yield on a tax-equivalent basis of 3.83% for the six-month period ended June 30, 2026, compared to 3.60% for the same period in 2025. At June 30, 2026, the unrealized pre-tax net loss on the AFS securities portfolio was $415.2 million, or 3.0% of the $13.9 billion amortized cost value, compared to $290.8 million at December 31, 2025. At June 30, 2026, the unrealized pre-tax net loss on the securities designated as HTM was $477.0 million, or 8.3% of the $5.7 billion amortized cost value, compared to $473.8 million at December 31, 2025. During 2022, the Company transferred securities with an amortized cost balance of $4.1 billion and a fair value of $3.8 billion from the AFS category to the HTM category. The transfer of securities was made at fair value at the time of transfer. The remaining balance of unrealized pre-tax losses related to transferred securities was $124.9 million as of June 30, 2026, and $139.2 million as of December 31, 2025, and was included in the amortized cost balance of HTM securities. See further information in Note 5, “Securities” in the Notes to Consolidated Financial Statements. Deposits and Borrowed Funds Deposits decreased $890.1 million, or 1.5%, from December 31, 2025 to June 30, 2026 and decreased $220.3 million, or 0.4%, from June 30, 2025 to June 30, 2026. Total interest-bearing balances increased $76.0 million and noninterest-bearing deposits decreased $966.1 million from December 31, 2025 to June 30, 2026. Total interest-bearing deposits increased $2.1 billion and noninterest-bearing deposits decreased $2.3 billion from June 30, 2025 to June 30, 2026. Noninterest-bearing deposits were 27.1%, 28.3%, and 30.8% of total deposits at June 30, 2026, December 31, 2025, and June 30, 2025, respectively. Deposits represent the Company’s primary funding source for its asset base. In addition to the core deposits garnered by the Company’s retail branch structure, the Company continues to focus on its cash management services, as well as its trust and investment company servicing businesses, in order to attract and retain additional deposits. Management believes a strong core deposit composition is one of the Company’s key strengths given its competitive product mix. As of June 30, 2026, there were an estimated $38.2 billion of uninsured deposits, a decrease of $1.5 billion as compared to December 31, 2025, and a decrease of $2.6 billion as compared to June 30, 2025. Estimated uninsured deposits comprised approximately 64.0%, 65.4%, and 68.1% of total deposits as of June 30, 2026, December 31, 2025, and June 30, 2025, respectively. A portion of these uninsured deposits represent affiliate deposits and collateralized deposits. Affiliate deposits represent deposit accounts owned by the wholly owned subsidiaries of UMB Financial Corporation that are on deposit at UMB Bank, n.a. Collateralized deposits are public fund deposits or corporate trust deposits that are collateralized by high quality securities within the investment portfolio. Excluding affiliate deposits of $2.7 billion and collateralized deposits of $6.6 billion, the adjusted estimated uninsured deposits were $28.9 billion as of June 30, 2026. The adjusted ratio of estimated uninsured deposits, excluding affiliate and collateralized deposits, as a percentage of total deposits was approximately 48.4% as of June 30, 2026. The adjusted ratio of estimated uninsured deposits, excluding affiliate and collateralized deposits, as a percentage of total deposits was approximately 48.1% as of December 31, 2025, and 51.5% as of June 30, 2025. The Company participates in the IntraFi Cash Service program, which allows its customers to place deposits into the program to receive reciprocal FDIC insurance coverage. The Company had $4.2 billion, $3.5 billion, and $3.2 billion of deposits in the program as of June 30, 2026, December 31, 2025, and June 30, 2025, respectively. Long-term debt totaled $480.1 million as of June 30, 2026, compared to $474.2 million as of December 31, 2025, and $657.3 million as of June 30, 2025. In September 2022, the Company issued $110.0 million in aggregate subordinated notes due in September 2032. The Company received $107.9 million, after deducting underwriting discounts and commissions and offering expenses, and used the proceeds from the offering for general corporate purposes, including, among other uses, 85 contributing Tier 1 capital into the Bank. The subordinated notes were issued with a fixed-to-fixed rate of 6.25% and an effective rate of 6.64%, due to issuance costs, with an interest rate reset date of September 2027. As part of the acquisition of HTLF, the Company acquired $150.0 million in aggregate subordinated notes due in September 2031. The subordinated notes have a fixed interest rate of 2.75% until September 2026, at which time the interest rate will reset quarterly. The subordinated notes had an acquired fair value of $138.8 million as of January 31, 2025. The remainder of the Company’s long-term debt was assumed from the acquisitions of Marquette Financial Companies in 2015 and HTLF in 2025 and consists of debt obligations payable to 19 unconsolidated trusts that previously issued trust preferred securities. These long-term debt obligations have an aggregate contractual balance of $262.9 million and a carrying value of $222.3 million as of June 30, 2026 and $220.0 million at December 31, 2025. Interest rates on trust preferred securities are tied to the three-month term SOFR rate with spreads ranging from 133 basis points to 365 basis points and reset quarterly. The trust preferred securities have maturity dates ranging from September 2032 to September 2037. Federal funds purchased and securities sold under agreements to repurchase totaled $3.1 billion as of June 30, 2026, $3.3 billion at December 31, 2025, and $2.9 billion at June 30, 2025. Repurchase agreements are transactions involving the exchange of investment funds by the customer for securities by the Company under an agreement to repurchase the same or similar issues at an agreed-upon price and date. Capital and Liquidity The Company places a significant emphasis on the maintenance of a strong capital position, which promotes investor confidence, provides access to funding sources under favorable terms, and enhances the Company’s ability to capitalize on business growth and acquisition opportunities. Higher levels of liquidity, however, bear corresponding costs, measured in terms of lower yields on short-term, more liquid earning assets and higher expenses for extended liability maturities. The Company manages capital for each subsidiary based upon the subsidiary’s respective risks and growth opportunities as well as regulatory requirements. Total shareholders’ equity was $8.0 billion at June 30, 2026, a $337.2 million increase as compared to December 31, 2025, and a $745.0 million increase compared to June 30, 2025. Total common shareholders’ equity was $7.7 billion as of June 30, 2026, compared to $7.4 billion at December 31, 2025 and $6.9 billion at June 30, 2025. Total accumulated other comprehensive loss was $371.5 million at June 30, 2026. This is a decline of $110.0 million as compared to December 31, 2025, and an improvement of $70.5 million as compared to June 30, 2025. The Company’s Board of Directors authorized, at its April 28, 2026 meeting, the repurchase of up to two million shares of the Company's common stock during the twelve months following each meeting (each a Repurchase Authorization). On April 29, 2025 and April 30, 2024, the Board authorized the repurchase of up to one million shares during the twelve months following each meeting. During the six-month period ended June 30, 2026, the Company repurchased 178,429 shares pursuant to the 2025 Repurchase Authorization and 38,158 shares pursuant to the 2026 Repurchase Authorization, and also acquired shares pursuant to the Company's share-based incentive programs. During the six-month period ended June 30, 2025, the Company did not repurchase shares of common stock pursuant to any of its announced Repurchase Authorizations, but did acquire shares pursuant to the Company's share-based incentive programs. At the Company’s quarterly board meeting, the Board of Directors declared a $0.50 per common share quarterly cash dividend payable on October 1, 2026, to common shareholders of record at the close of business on September 10, 2026. Additionally, the Board of Directors declared a dividend of $193.75 per share of the Company’s Series B Preferred Stock, which results in a dividend of $0.484375 per depositary share. The Series B Preferred Stock dividend is payable on October 15, 2026 to stockholders of record of the Series B Preferred Stock as of the close of business on September 30, 2026. The Company is a member bank of the FHLB and through this relationship, the Company owns FHLB stock and has access to additional liquidity and funding sources through FHLB advances. The Company’s borrowing capacity is dependent upon the amount of collateral the Company places at the FHLB. As of both June 30, 2026 and 86 December 31, 2025, the Company owned $10.3 million of FHLB stock. As of June 30, 2026, the Company had four letters of credit outstanding with the FHLB of Des Moines to secure deposits. These letters of credit have an aggregate amount of $218.0 million and have various maturity dates through September 15, 2026. The Company’s remaining borrowing capacity with the FHLB was $2.5 billion as of June 30, 2026. The Company had no outstanding FHLB advances with the FHLB of Des Moines as of June 30, 2026. In addition to the borrowing capacity with the FHLB as described above, the Company had additional liquidity of $35.9 billion available via cash, unpledged bond collateral, the federal funds market, the Federal Reserve Discount Window, and the IntraFi Cash Service program as of June 30, 2026. Risk-based capital guidelines established by regulatory agencies set minimum capital standards based on the level of risk associated with a financial institution’s assets. The Company has implemented the Basel III regulatory capital rules adopted by the FRB. Basel III capital rules include a minimum ratio of common equity tier 1 capital to risk-weighted assets of 4.5% and a minimum tier 1 risk-based capital ratio of 6%. A financial institution’s total capital is also required to equal at least 8% of risk-weighted assets. The risk-based capital guidelines indicate the specific risk weightings by type of asset. Certain off-balance sheet items (such as standby letters of credit and binding loan commitments) are multiplied by credit conversion factors to translate them into balance sheet equivalents before assigning them specific risk weightings. The Company is also required to maintain a leverage ratio equal to or greater than 4%. The leverage ratio is calculated as the ratio of tier 1 core capital to total average assets, less goodwill and intangibles. The Company's capital position as of June 30, 2026 is summarized in the table below and exceeded regulatory requirements. Table 12 Three Months Ended Six Months Ended June 30, June 30, RATIOS 2026 2025 2026 2025 Common equity tier 1 capital ratio 11.45 % 10.39 % 11.45 % 10.39 % Tier 1 risk-based capital ratio 12.02 11.24 12.02 11.24 Total risk-based capital ratio 13.80 13.46 13.80 13.46 Leverage ratio 9.11 8.34 9.11 8.34 Return on average assets 1.55 1.29 1.51 0.94 Return on average common equity 14.16 12.72 13.93 9.67 Average common equity to assets 10.94 10.15 10.84 9.69 The Company's per common share data is summarized in the table below. Three Months Ended Six Months Ended June 30, June 30, Per Share Data 2026 2025 2026 2025 Earnings per common share – basic $ 3.58 $ 2.84 $ 6.94 $ 4.18 Earnings per common share – diluted 3.56 2.82 6.90 4.16 Cash dividends per common share 0.43 0.40 0.86 0.80 Dividend payout ratio 12.0 % 14.1 % 12.4 % 19.1 % Book value per common share $ 102.02 $ 90.68 $ 102.02 $ 90.68 Off-balance Sheet Arrangements The Company’s main off-balance sheet arrangements are loan commitments, commercial and standby letters of credit, futures contracts and forward exchange contracts, which have maturity dates rather than payment due dates. See Note 10, “Commitments, Contingencies and Guarantees” in the Notes to Consolidated Financial Statements for detailed information on these arrangements. The level of the outstanding commitments could be 87 impacted by volatility in the economic markets and governmental responses to inflation, geopolitical tensions, and supply chain constraints. These changing conditions could have impacts on the consolidated balance sheets of the Company for the remainder of the year. Critical Accounting Policies and Estimates The preparation of these Consolidated Financial Statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent liabilities at the date of the Consolidated Financial Statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, management evaluates its estimates and judgments, including those related to customers and suppliers, allowance for credit losses, bad debts, investments, financing operations, long-lived assets, taxes, other contingencies, and litigation. Management bases its estimates and judgments on historical experience and on various other factors that are believed to be reasonable under the circumstances, the results of which have formed the basis for making such judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Under different assumptions or conditions, actual results may differ from the recorded estimates. A summary of critical accounting policies is listed in the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” section of the Form 10-K. ITEM 3. QUANTITATIVE AND QUALITATI VE DISCLOSURES ABOUT MARKET RISK Risk Management Market risk is a broad term for the risk of economic loss due to adverse changes in the fair value of a financial instrument. These changes may be the result of various factors, including interest rates, foreign exchange prices, commodity prices, or equity prices. Financial instruments that are subject to market risk can be classified either as held for trading or held for purposes other than trading. The Company is subject to market risk primarily through the effect of changes in interest rates of its assets held for purposes other than trading. The following discussion of interest rate risk, however, combines instruments held for trading and instruments held for purposes other than trading because the instruments held for trading represent such a small portion of the Company’s portfolio that the interest rate risk associated with them is immaterial. Interest Rate Risk In the banking industry, a major risk exposure is changing interest rates. To minimize the effect of interest rate changes to net interest income and exposure levels to economic losses, the Company manages its exposure to changes in interest rates through asset and liability management within guidelines established by its Asset Liability Committee (ALCO) and approved by the Board. The ALCO is responsible for approving and ensuring compliance with asset/liability management policies, including interest rate exposure. The Company’s primary method for measuring and analyzing consolidated interest rate risk is the Net Interest Income Simulation Analysis. The Company also uses a Net Portfolio Value model to measure market value risk under various rate change scenarios and a gap analysis to measure maturity and repricing relationships between interest-earning assets and interest-bearing liabilities at specific points in time. On a limited basis, the Company uses hedges such as swaps, rate floors, floor spreads, and futures contracts to manage interest rate risk on certain loans, securities, and trust preferred securities. See further information in Note 11 “Derivatives and Hedging Activities” in the Notes to the Consolidated Financial Statements. Overall, the Company manages interest rate risk by positioning the balance sheet to maximize net interest income while maintaining an acceptable level of interest rate and credit risk, remaining mindful of the relationship among profitability, liquidity, interest rate risk, and credit risk. 88 Net Interest Income Modeling The Company’s primary interest rate risk tool, the Net Interest Income Simulation Analysis, measures interest rate risk and the effect of interest rate changes on net interest income and net interest margin. This analysis incorporates all of the Company’s assets and liabilities together with assumptions that reflect the current interest rate environment. Through these simulations, management estimates the impact on net interest income of a 200-basis-point upward or a 300-basis-point downward gradual change (e.g. ramp) and immediate change (e.g. shock) of market interest rates over a two year period. In ramp scenarios, rates change gradually for a one-year period and remain constant in year two. In shock scenarios, rates change immediately and the change is sustained for the remainder of the two-year scenario horizon. Assumptions are made to project rates for new loans and deposits based on historical analysis, management outlook and repricing strategies. Asset prepayments and other market risks are developed from industry estimates of prepayment speeds and other market changes. The results of these simulations can be significantly influenced by assumptions utilized and management evaluates the sensitivity of the simulation results on a regular basis. Table 13 shows the net interest income increase or decrease over the next two years as of June 30, 2026 and 2025 based on hypothetical changes in interest rates and a constant sized balance sheet with runoff being replaced. Table 13 MARKET RISK (unaudited) Hypothetical change in interest rate – Rate Ramp Year One Year Two June 30, 2026 June 30, 2025 June 30, 2026 June 30, 2025 Change in basis points Percentage change Percentage change Percentage change Percentage change 200 (1.2 )% 0.4 % 3.8 % 7.2 % 100 (0.7 ) (0.1 ) 1.4 3.1 Static — — — — (100) 1.6 0.5 (0.7 ) (2.7 ) (200) 3.2 1.0 (1.9 ) (5.4 ) (300) 5.1 1.8 (2.2 ) (7.8 ) Hypothetical change in interest rate – Rate Shock Year One Year Two June 30, 2026 June 30, 2025 June 30, 2026 June 30, 2025 Change in basis points Percentage change Percentage change Percentage change Percentage change 200 0.8 % 4.1 % 5.0 % 8.4 % 100 (0.2 ) 1.3 2.0 3.6 Static — — — — (100) 1.4 (0.8 ) (1.7 ) (3.5 ) (200) 2.3 (1.5 ) (4.2 ) (7.3 ) (300) 4.1 (2.1 ) (5.9 ) (11.1 ) The Company is positioned relatively neutral to changes in interest rates in the next year. In year one, net interest income is predicted to decrease in all upward rate scenarios, except for 200bps rate shock scenario. In down rate scenarios, net interest income is predicted to increase in all scenarios. In year two, net interest income is predicted to increase in rising rate scenarios and decrease in falling rate scenarios. The Company’s ability to price deposits consistent with its historical approach is a key assumption in these scenarios. 89 Trading Account The Company carries securities in a trading account that is maintained according to Board-approved policy and procedures. The policy limits the amount and type of securities that can be carried in the trading account, requires compliance with any limits under applicable law and regulations, and mandates the use of a value-at-risk methodology to manage price volatility risks within financial parameters. The risk associated with the carrying of trading securities is offset by utilizing financial instruments including exchange-traded financial futures as well as short sales of U.S. Treasury and Corporate securities. The trading securities and related hedging instruments are marked-to-market daily. The trading account had a balance of $45.8 million as of June 30, 2026, $22.3 million as of December 31, 2025, and $24.7 million as of June 30, 2025. Securities sold not yet purchased (i.e., short positions) totaled $14.0 million at June 30, 2026, $4.1 million as of December 31, 2025, and $15.2 million at June 30, 2025 and are classified within the Other liabilities line of the Company’s Consolidated Balance Sheets. The Company is subject to market risk primarily through the effect of changes in interest rates of its assets held for purposes other than trading. The discussion in Table 13 above of interest rate risk, however, combines instruments held for trading and instruments held for purposes other than trading, because the instruments held for trading represent such a small portion of the Company’s portfolio that the interest rate risk associated with them is immaterial. Other Market Risk The Company has minimal foreign currency risk as a result of foreign exchange contracts. See Note 10 “Commitments, Contingencies and Guarantees” in the notes to the Consolidated Financial Statements. Credit Risk Management Credit risk represents the risk that a customer or counterparty may not perform in accordance with contractual terms. The Company utilizes a centralized credit administration function, which provides information on the Bank’s risk levels, delinquencies, an internal ranking system and overall credit exposure. Loan requests are centrally reviewed to ensure the consistent application of the loan policy and standards. In addition, the Company has an internal loan review staff that operates independently of the Bank. This review team performs periodic examinations of the Bank’s loans for credit quality, documentation and loan administration. The respective regulatory authorities governing the Bank also review loan portfolios. A primary indicator of credit quality and risk management is the level of nonperforming loans. Nonperforming loans include both nonaccrual loans and restructured loans on nonaccrual. The Company’s nonperforming loans increased $30.5 million to $127.5 million at June 30, 2026, compared to June 30, 2025, and decreased $17.1 million, compared to December 31, 2025. The increase compared to June 30, 2025 is attributable to additional non-performing loans related to the acquisition of HTLF. The Company had $5.7 million, $4.1 million, and $4.8 million of other real estate owned as of June 30, 2026, June 30, 2025, and December 31, 2025, respectively. Other repossessed assets totaled $26.8 million as of June 30, 2025. Loans past due more than 90 days and still accruing interest totaled $13.7 million as of June 30, 2026, compared to $6.8 million as of June 30, 2025 and $18.4 million as of December 31, 2025. A loan is generally placed on nonaccrual status when payments are past due 90 days or more and/or when management has considerable doubt about the borrower’s ability to repay on the terms originally contracted. The accrual of interest is discontinued and recorded thereafter only when received in cash. Certain loans are restructured to provide a reduction or deferral of interest or principal due to deterioration in the financial condition of the respective borrowers. The Company had $157 thousand of restructured loans at June 30, 2026, $183 thousand at June 30, 2025, and $169 thousand at December 31, 2025. 90 Table 14 LOAN QUALITY (unaudited, dollars in thousands) June 30, December 31, 2026 2025 2025 Nonaccrual loans $ 127,506 $ 96,995 $ 144,640 Restructured loans on nonaccrual 20 34 26 Total nonperforming loans 127,526 97,029 144,666 Other real estate owned 5,728 4,077 4,800 Other repossessed assets — 26,813 — Total nonperforming assets $ 133,254 $ 127,919 $ 149,466 Loans past due 90 days or more $ 13,715 $ 6,813 $ 18,403 Restructured loans accruing 137 149 143 Allowance for credit losses on loans 437,376 389,918 419,478 Ratios: Nonperforming loans as a percent of loans 0.31 % 0.26 % 0.37 % Nonperforming assets as a percent of loans plus other real estate owned 0.32 0.35 0.39 Nonperforming assets as a percent of total assets 0.18 0.18 0.20 Loans past due 90 days or more as a percent of loans 0.03 0.02 0.05 Allowance for credit losses on loans as a percent of loans 1.06 1.06 1.08 Allowance for credit losses on loans as a multiple of nonperforming loans 3.43x 4.02x 2.90x Liquidity Risk Liquidity represents the Company’s ability to meet financial commitments through the maturity and sale of existing assets or availability of additional funds. The Company believes that the most important factor in the preservation of liquidity is maintaining public confidence that facilitates the retention and growth of a large, stable supply of core deposits and wholesale funds. Ultimately, the Company believes public confidence is generated through profitable operations, sound credit quality and a strong capital position. The primary source of liquidity for the Company is regularly scheduled payments on and maturity of assets, which include $13.5 billion of high-quality securities available for sale as of June 30, 2026. The liquidity of the Company and the Bank is also enhanced by its activity in the federal funds market and by its core deposits. Additionally, management believes it can raise debt or equity capital in the future, should the need arise. Another factor affecting liquidity is the amount of deposits and customer repurchase agreements that have pledging requirements. All customer repurchase agreements require collateral in the form of a security. The U.S. Government, other public entities, and certain trust depositors require the Company to pledge securities if their deposit balances are greater than the FDIC-insured deposit limitations. These pledging requirements affect liquidity risk in that the related security cannot otherwise be disposed of due to the pledging restriction. There were $13.2 billion and $13.4 billion of securities pledged to secure U.S. Government deposits, other public deposits, certain trust deposits, derivative transactions, and repurchase agreements at June 30, 2026 and December 31, 2025, respectively. The Company also has other commercial commitments that may impact liquidity. These commitments include unused commitments to extend credit, standby letters of credit and financial guarantees, and commercial letters of credit. The total amount of these commercial commitments at June 30, 2026 was $25.7 billion. Since many of these commitments expire without being drawn upon, the total amount of these commercial commitments does not necessarily represent the future cash requirements of the Company. The Company’s cash requirements consist primarily of dividends to shareholders, debt service, operating expenses, and treasury stock purchases. Management fees and dividends received from bank and non-bank subsidiaries traditionally have been sufficient to satisfy these requirements and are expected to be sufficient in the future. The Bank is subject to various rules regarding payment of dividends to the Company. For the most part, the Bank can pay dividends at least equal to its current year’s earnings without seeking prior regulatory approval. The 91 Company also uses cash to inject capital into its bank and non-bank subsidiaries to maintain adequate capital as well as fund strategic initiatives. In September 2022, the Company issued $110.0 million in aggregate subordinated notes due in September 2032. The Company received $107.9 million, after deducting underwriting discounts and commissions and offering expenses, and used the proceeds from the offering for general corporate purposes, including, among other uses, contributing Tier 1 capital into the Bank. The subordinated notes were issued with a fixed-to-fixed rate of 6.25% and an effective rate of 6.64%, due to issuance costs, with an interest rate reset date of September 2027. As part of the acquisition of HTLF, the Company acquired $150.0 million in aggregate subordinated notes due September 2031. The subordinated notes have a fixed interest rate of 2.75% until September 2026, at which time the interest rate will reset quarterly. The subordinated notes had an acquired fair value of $138.8 million as of January 31, 2025. The Company is a member bank of the FHLB. The Company owns $10.3 million of FHLB stock and has access to additional liquidity and funding sources through FHLB advances. The Company’s borrowing capacity is dependent upon the amount of collateral the Company places at the FHLB. As of June 30, 2026 the Company has four letters of credit outstanding with the FHLB of Des Moines to secure deposits. These letters of credit have an aggregate amount of $218.0 million and have various maturity dates through September 15, 2026. The Company’s remaining borrowing capacity with the FHLB was $2.5 billion as of June 30, 2026. The Company had no outstanding FHLB advances with the FHLB of Des Moines as of June 30, 2026. In addition to borrowing capacity with the FHLB as described above, the Company had additional liquidity of $35.9 billion available via cash, unpledged bond collateral, the federal funds market, the Federal Reserve Discount Window, and the IntraFi Cash Service program as of June 30, 2026. Operational Risk Operational risk generally refers to the risk of loss resulting from the Company’s operations, including those operations performed for the Company by third parties. This would include but is not limited to the risk of fraud by employees or persons outside the Company, the execution of unauthorized transactions by employees or others, errors relating to transaction processing, breaches of the internal control system and compliance requirements, and unplanned interruptions in service. This risk of loss also includes the potential legal or regulatory actions that could arise as a result of an operational deficiency, or as a result of noncompliance with applicable regulatory standards. The Company must comply with a number of legal and regulatory requirements. The Company operates in many markets and relies on the ability of its employees and systems to properly process a high number of transactions. In the event of a breakdown in internal control systems, improper operation of systems or improper employee actions, the Company could suffer financial loss, face regulatory action and suffer damage to its reputation. In order to address this risk, management maintains a system of internal controls with the objective of providing proper transaction authorization and execution, safeguarding of assets from misuse or theft, and ensuring the reliability of financial and other data. The Company maintains systems of internal controls that provide management with timely and accurate information about the Company’s operations. These systems have been designed to manage operational risk at appropriate levels given the Company’s financial strength, the environment in which it operates, and considering factors such as competition and regulation. The Company has also established procedures that are designed to ensure that policies relating to conduct, ethics, and business practices are followed on a uniform basis. In certain cases, the Company has experienced losses from operational risk. Such losses have included the effects of operational errors that the Company has discovered and included as expense in the statement of income. While there can be no assurance that the Company will not suffer such losses in the future, management continually monitors and works to improve its internal controls, systems, and corporate-wide processes and procedures. 92 ITEM 4. CONTROLS AND PROCEDURES The Sarbanes-Oxley Act of 2002, as amended, requires the Chief Executive Officer and the Chief Financial Officer to make certain certifications under this Form 10-Q with respect to the Company’s disclosure controls and procedures and internal control over financial reporting. The Company has a Code of Ethics that expresses the values that drive employee behavior and maintains the Company’s commitment to the highest standards of ethics. Disclosure Controls and Procedures The Company’s management, with the participation of the Company's Chief Executive Officer and Chief Financial Officer, evaluated the effectiveness of the Company's “disclosure controls and procedures” (as such term is defined in Rule 13a-15(e) and Rule 15d-15(e) under the Securities Exchange Act of 1934, as amended (the Exchange Act)) as of the end of the period covered by this Form 10-Q. Based on such evaluation, the Company’s Chief Executive Officer and Chief Financial Officer concluded that, as of the end of the period covered by this Form 10-Q, the Company’s disclosure controls and procedures were effective for ensuring that the Company’s SEC filings are recorded, processed, summarized, and reported within the time period required and that information required to be disclosed by the Company is accumulated and communicated to the Company’s management, including its Chief Executive Officer and Chief Financial Officer, as appropriate to allow timely decisions regarding required disclosures. Internal Control Over Financial Reporting There has been no change in the Company’s internal control over financial reporting (as such term is defined in Rule 13a-15(f) under the Exchange Act) during the three months ended June 30, 2026 that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting . 93 PART II – OTHE R INFORMATION ITEM 1. LEGAL PROCEEDINGS In the normal course of business, the Company and its subsidiaries are named defendants in various legal proceedings. In the opinion of management, after consultation with legal counsel, none of these lawsuits are expected to have a materially adverse effect on the financial position, results of operations, or cash flows of the Company. ITEM 1A. RI SK FACTORS There were no material changes to the risk factors as previously disclosed in response to Item 1A to Part I of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, or in response to Item 1A to Part II of the Company's Quarterly Report on Form 10-Q for the period ended June 30, 2026. ITEM 2. UNREGISTERED SALES OF EQU ITY SECURITIES AND USE OF PROCEEDS The table below sets forth the information with respect to purchases made by or on behalf of the Company or any “affiliated purchaser” (as defined in Rule 10b-18(a)(3) under the Exchange Act) of our common stock during the three-month period ended June 30, 2026. ISSUER PURCHASE OF EQUITY SECURITIES Period Total Number of Shares (or Units) Purchased (1) Average Price Paid per Share (or Unit) Total Number of Shares (or Units) Purchased as Part of Publicly Announced Plans or Programs (2) Maximum Number (or Approximate Dollar Value) of Shares (or Units) that May Yet Be Purchased Under the Plans or Programs April 1 - April 28, 2026 81 $ 112.06 — 821,751 April 29 - April 30, 2026 — — — 2,000,000 May 1 - May 31, 2026 — — — 2,000,000 June 1 - June 30, 2026 38,441 132.10 38,158 1,961,842 Total 38,522 $ 132.06 38,158 (1) Includes shares acquired pursuant to the Company's share-based incentive programs. Under the terms of the Company's share-based incentive programs, the Company accepts previously owned shares of common stock surrendered to satisfy tax withholding obligations associated with equity compensation. These purchases do not count against the maximum value of shares remaining available for purchase under Repurchase Authorizations. (2) Includes shares acquired under the Board of Directors approved Repurchase Authorization(s). On April 29, 2025, the Company announced a plan to repurchase up to one million shares of common stock, which terminated on April 28, 2026. On April 28, 2026, the Company announced a plan to repurchase up to two million shares of common stock, which will terminate on April 27, 2027. The Company has not made any repurchases other than through the Repurchase Authorizations, but did acquire shares pursuant to the Company's share-based incentive programs. All share purchases pursuant to the Repurchase Authorizations are intended to be within the scope of Rule 10b-18 promulgated under the Exchange Act. Rule 10b-18 provides a safe harbor for purchases in a given day if the Company satisfies the manner, timing and volume conditions of the rule when purchasing its own shares of common stock. 94 ITEM 6. EXHIBITS 3.1 Restated Articles of Incorporation (incorporated by reference to Exhibit 3.1 to the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2006 and filed with the Commission on May 9, 2006). 3.2 Bylaws, amended as of April 13, 2023 (incorporated by reference to Exhibit 3.1 of the Company’s Current Report on Form 8-K dated April 13, 2023 and filed with the Commission on April 13, 2023). 31.1 CEO Certification pursuant to Section 302 of the Sarbanes-Oxley Act filed herewith. 31.2 CFO Certification pursuant to Section 302 of the Sarbanes-Oxley Act filed herewith. 32.1 CEO Certification pursuant to Section 906 of the Sarbanes-Oxley Act filed herewith. 32.2 CFO Certification pursuant to Section 906 of the Sarbanes-Oxley Act filed herewith. 101.INS XBRL Instance Document – The instance document does not appear in the Interactive Data File because XBRL tags are embedded within the Inline XBRL document. 101.SCH Inline XBRL Taxonomy Extension Schema Document filed herewith. 104 The cover page of our Form 10-Q for the quarter ended June 30, 2026, formatted in iXBRL. 95 SIGNAT URES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. UMB FINANCIAL CORPORATION /s/ David C. Odgers David C. Odgers Chief Accounting Officer Date: July 30, 2026 96