Company: SFNC
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001628280-25-023690
Chunk: 79

Company: SIMMONS FIRST NATIONAL CORP
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 79
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 on a discounted basis, related to the Company’s obligation to make lease payments; and a right-of-use asset is also recognized related to the Company’s right to use, or control the use of, a specified asset for the lease term. The Company accounts for lease and non-lease components (such as taxes, insurance and common area maintenance costs) separately as such amounts are generally readily determinable under the lease contracts. Lease payments over the expected term are discounted using the Company’s Federal Home Loan Bank (“FHLB”) advance rates for borrowings of similar term. If it is reasonably certain that a renewal or termination option will be exercised, the effects of such options are included in the determination of the expected lease term. Leases with an initial term of 12 months or less are not recorded on the balance sheet; the Company recognizes lease expense for these leases on a straight-line basis over the lease term.The Company’s leases are classified as operating leases with a term, including expected renewal or termination options, greater than one year, and are related to certain office facilities and office equipment. The following table presents information as of March 31, 2025 and December 31, 2024 related to the Company’s right-of-use lease assets, included in premises and equipment, and lease liabilities, included in accrued interest and other liabilities.March 31,December 31,(Dollars in thousands)20252024Right-of-use lease assets$63,584 $67,224 Lease liabilities65,776 69,319 Weighted average remaining lease term8.02 years8.33 yearsWeighted average discount rate3.73 %3.81 %Operating lease cost for the three month period ended March 31, 2025 was $4.1 million as compared to $4.0 million for the same period in 2024.

NOTE 5: PREMISES AND EQUIPMENT

Premises and equipment are stated at cost less accumulated depreciation and amortization. Total premises and equipment, net at March 31, 2025 and December 31, 2024 were as follows:March 31,December 31,(In thousands)20252024Right-of-use lease assets$63,584 $67,224 Premises and equipment:Land119,643 124,819 Buildings and improvements412,569 404,223 Furniture, fixtures and equipment124,979 123,741 Software64,609 63,844 Construction