Company: BOKF
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0000875357-25-000027
Chunk: 11

Company: BOK FINANCIAL CORP
Filing Date: 2025-04-30
Form: 10-Q
Item: Part I, Item 2
Chunk 11
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      $                  (9,357)  
  Gain (loss) on fair value option securities, net                                                                                   325                                  (621)                            (305)                       
  Gain (loss) on economic hedge of mortgage servicing rights, net                                                                                              9,508                         (22,538)                         (9,662)  
  Change in fair value of mortgage servicing rights                                                                                                          (7,240)                           20,460                          10,977  
  Gain (loss) on changes in fair value of mortgage servicing rights, net of economic hedges included in other operating revenue                                2,268                          (2,078)                           1,315  
  Net interest expense on fair value option securities 1                                                                             (71)                                 (79)                             (155)                       
  Total economic benefit (cost) of changes in the fair value of mortgage servicing rights, net of economic hedges                    $                         2,197      $                   (2,157)      $                    1,160  

1 Actual interest earned on fair value option securities less internal transfer-priced cost of funds.

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Other Operating Expense

Other operating expense for the first quarter of 2025 totaled $347.5 million, consistent with the fourth quarter of 2024. Our efficiency ratio1 was 68.31% for the first quarter of 2025, compared to 65.61% in the prior quarter.

Table 7 - Other Operating Expense

(Dollars in thousands)

                                                                                                                   %                                                  %  
                                                                                                 Increase (Decrease)                                Increase (Decrease)  
 ─────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Regular compensation                                    120,323      117,163        3,160                        3      113,913        6,410                        6  
  Incentive compensation:                                                                                                                                                
  Cash-based                                               52,179       56,748      (4,569)                      (8)       49,956        2,223                        4  
  Share-based                                               6,266        5,865                                     7        3,305        2,961                       90  
  Deferred compensation                                                  2,441      (3,187)                      N/A        4,450      (5,196)                      N/A  
  Total incentive compensation                             57,699       65,054      (7,355)                     (