UMB Financial Surges in Q3 with 64% Profit Jump

The bank posted record loan production and strong deposit growth, underscoring the success of its acquisition strategy.

December 15, 2025

Strong Third-Quarter Earnings Reflect Accelerated Growth

UMB Financial’s third-quarter results show a company that’s growing fast—and executing on what it set out to do. GAAP net income available to common shareholders came in at $180.4 million, or $2.36 per diluted share, up 64.5% from the same period last year. On a non-GAAP basis, net operating income hit $206.5 million, or $2.70 per share—an 87.2% year-over-year increase.

The quarter capped a major milestone for UMB: the full integration of Heartland Financial USA, Inc. (HTLF), which was completed in mid-October. The impact of that acquisition is already showing up across the business. Total assets reached $71.9 billion, up 51.3% from a year ago. Average loans climbed to $37.1 billion—up more than $12.8 billion year-over-year—and end-of-period deposits closed at $60.1 billion.

Loan production set a new high, with $2.1 billion in gross originations for the quarter. Commercial and industrial lending was especially strong, growing 14.2% on a linked-quarter annualized basis. Average deposits rose 8% from the second quarter, while demand deposit balances continued to make up a healthy share of the total base.

Revenue and Margin Performance Stay Solid

Revenue drivers remained strong across the board:

• Net interest income increased to $475 million, supported by higher average loan and asset balances.


• Net interest margin was 3.04%, slightly lower than the prior quarter but higher than the year-ago period.


• Noninterest income totaled $203.3 million—up 28.1% year-over-year—driven by growth in trust and securities processing, deposit service charges, and bankcard fees.

Compared to the second quarter, noninterest income declined modestly, mainly due to the absence of investment gains that had boosted Q2 results. These included one-time IPO and private investment sales that didn’t repeat this quarter.

Expenses, Efficiency, and Credit Quality

UMB reported $419.3 million in noninterest expenses, which included $35.6 million in acquisition-related and other nonrecurring costs. Adjusting for those, operating noninterest expenses increased just 1.3% from the prior quarter.

The efficiency ratio improved to 58.1% on a GAAP basis, down from 61.7% a year ago. On an adjusted basis, the operating efficiency ratio came in even lower, reflecting UMB’s efforts to scale while keeping costs in check.

Credit quality stayed stable:

• Net charge-offs totaled $18.4 million, or 0.20% of average loans, a slight uptick from the prior quarter.


• Nonaccrual loans increased to $132 million, driven by a small number of acquired loans added to the nonaccrual category. These were backed by adequate reserves.

Capital Activity and Outlook

UMB made key moves to strengthen its balance sheet. During the quarter, the company redeemed $115 million in preferred stock and retired $188.9 million in subordinated debt. Its common equity Tier 1 capital ratio stood at 10.7%, comfortably above regulatory minimums.

With the HTLF integration complete and loan and deposit momentum continuing, UMB is positioned to carry this performance forward. The combination of organic growth, disciplined expense management, and improved operating leverage signals that the company is executing against its strategic plan—and building scale with intention.