Company: BOKF
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0000875357-25-000027
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Company: BOK FINANCIAL CORP
Filing Date: 2025-04-30
Form: 10-Q
Item: Part I, Item 2
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Management's Discussion and Analysis of Financial Condition and Results of Operations

Performance Summary

BOK Financial reported net income of $119.8 million, or $1.86 per diluted share, for the first quarter of 2025 compared to $136.2 million, or $2.12 per diluted share, for the fourth quarter of 2024. PPNR1, a non-GAAP measure, was $154.8 million for the first quarter of 2025, compared to $175.4 million in the fourth quarter of 2024.

Highlights of the first quarter of 2025 compared to the fourth quarter of 2024 included:

• Net interest income totaled $316.3 million, an increase of $3.2 million over the prior quarter. Net interest margin expanded to 2.78% for the first quarter of 2025, compared to 2.75% for the prior quarter, primarily due to liabilities re-pricing lower more quickly than assets during the quarter. For the first quarter of 2025, our core net interest margin excluding trading activities1, a non-GAAP measure, was 3.05% compared to 3.09% in the prior quarter.

• Fees and commissions revenue totaled $184.1 million, a decrease of $22.8 million compared to the prior quarter. Brokerage and trading revenue decreased $24.4 million due to lower trading volumes and trading margin compression, driven by market volatility during the first quarter.

• Other operating expense totaled $347.5 million, consistent with the prior quarter. Personnel expense increased $3.5 million due to seasonally higher employee benefits and regular compensation expenses, partially offset by a reduction in incentive compensation. Non-personnel expense decreased $3.6 million, led by reduced mortgage banking costs and professional fees and services expense.

• Other gains (losses), net, were a net loss of $725 thousand for the first quarter of 2025, compared to a net gain of $5.0 million in the fourth quarter of 2024. The unrealized gain on merchant banking investments was $678 thousand and the loss on investments related to deferred compensation was $1.1 million for the first quarter of 2025, compared to a gain on merchant banking investments of $2.2 million and a gain of $2.5 million on investments related to deferred compensation in the prior quarter.

• Period end outstanding loan balances totaled $23.7 billion at March 31, 2025, a