Company: ONBPP
Filing Date: 2025-10-29
Form Type: 10-Q
Source: 0000707179-25-000064
Chunk: 94

Company: OLD NATIONAL BANCORP /IN/
Filing Date: 2025-10-29
Form: 10-Q
Item: Item 1
Chunk 94
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30, 2025 compared to the same periods in 2024 was driven by the acquisition of Bremer as well as strong loan growth, and lower costs of average interest-bearing liabilities, partially offset by higher balances of average interest-bearing liabilities.

The increase in net interest margin on a fully taxable equivalent basis for the three and nine months ended September 30, 2025 compared to the same periods in 2024 was primarily due to the impact of Bremer, loan growth, and lower costs of average interest-bearing liabilities, partially offset by higher balances of average interest-bearing liabilities. The yield on interest earning assets increased 5 basis points and the cost of interest-bearing liabilities decreased 34 basis points in the three months ended September 30, 2025 compared to the same quarter a year ago. The yield on interest earning assets decreased 3 basis points and the cost of interest-bearing liabilities decreased 29 basis points in the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024.

Average earning assets increased $16.1 billion, and $10.6 billion for the three and nine months ended September 30, 2025, respectively, compared to the same periods in 2024 primarily due to Bremer loans and securities acquired as well as strong loan growth.

Average loans, including loans held-for-sale, increased $11.9 billion and $7.7 billion for the three and nine months ended September 30, 2025, respectively, compared to the same periods in 2024 primarily due to Bremer loans acquired as well as strong commercial and commercial real estate loan growth. Bremer loans totaled $11.2 billion at the close of the acquisition.

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Average noninterest-bearing deposits increased $3.4 billion while average interest-bearing deposits increased $10.9 billion for the three months ended September 30, 2025 when compared to the same period in 2024 reflecting Bremer deposits assumed and organic growth. Average noninterest-bearing deposits increased $1.7 billion while average interest-bearing deposits increased $7.4 billion for the nine months ended September 30, 2025 when compared to the same period in 2024 reflecting Bremer deposits assumed and organic growth. Bremer deposits assumed totaled $12.9 billion at the close of the acquisition. 

Provision for Credit Losses

The following table details the components of the provision for credit losses:

Three Months EndedSeptember 30,%Nine Months EndedSeptember 30