• BOK Financial Corporation Reports Quarterly Earnings of $146 million or $2.10 Per Share in the First Quarter

    Источник: Nasdaq GlobeNewswire / 21 апр 2021 07:55:01   America/New_York

    TULSA, Okla., April 21, 2021 (GLOBE NEWSWIRE) -- BOK Financial (NASDAQ: BOKF) today reported net earnings applicable to common shareholders for the first quarter of 2021 of $146.1 million, or $2.10 per diluted common share.

    CEO Commentary

    Steven G. Bradshaw, president and chief executive officer stated, "Not since the energy downturn in 2016 have we had an opportunity to demonstrate how valuable our organization's differentiated credit culture is to shareholder outcomes. Exceptional credit outcomes coupled with improving economic metrics led us to release $25 million in reserves in the quarter. This is a testament not only to how well we've managed the ongoing crisis, but more importantly, our ability to remain disciplined with credit decisions in more favorable parts of the cycle."

    Bradshaw continued, "While loan growth remains challenged industry-wide during a time of unprecedented liquidity and heightened uncertainty, BOK Financial Corporation remains focused on the long-term. We have a longstanding track record of loan growth outpacing U.S. GDP growth, and with the economic recovery underway, we see a clear path to growing loans this year. With substantial capital levels, a strong competitive position and a favorable footprint, we remain confident in our ability to serve both our clients and our shareholders well in 2021.

    As always, we are closely monitoring our expense levels, striving for balance between expense reductions and containment while keeping our level of long term investments in people and technology a top priority. We believe the company is extremely well positioned to attract and expand new relationships as the economy expands and further opens in 2021." 

    First Quarter 2021 Financial Highlights
    • Net income was $146.1 million or $2.10 per diluted share for the first quarter of 2021 and $154.2 million or $2.21 per diluted share for the fourth quarter of 2020.
    • Net interest revenue totaled $280.4 million, a decrease of $16.8 million. Net interest margin was 2.62 percent compared to 2.72 percent in the fourth quarter of 2020. A reduction in average outstanding loan balances and the timing of certain loan fees, combined with reinvestment of cash flows from our available for sale securities portfolio at current rates, led to lower net interest revenue and compressed net interest margin in the first quarter.
    • Fees and commissions revenue totaled $162.2 million, a decrease of $18.9 million. Brokerage and trading revenue decreased $18.7 million, largely due to a decrease in trading volume and margin compression. While still strong, mortgage banking revenue decreased $2.2 million, primarily the result of increasing mortgage interest rates coupled with margin compression.
    • Operating expense decreased $18.0 million to $282.6 million. Personnel expense decreased $3.2 million, primarily due to lower incentive compensation, partially offset by a seasonal increase in employee benefits expense. Non-personnel expense decreased $14.8 million primarily due to a gain on sale of repossessed oil and gas assets. Decreases in professional fees, business promotion, occupancy and equipment expense and other expenses were partially offset by an increase in data processing and communications expense.
    • Period-end loans decreased $474 million to $22.5 billion at March 31, 2021, primarily due to paydowns of commercial loans and commercial real estate loans. Period-end Paycheck Protection Program ("PPP") loans increased $166 million to $1.8 billion. Average loans were $22.8 billion, a $691 million decrease compared to the fourth quarter of 2020.
    • Forecasts for improving macroeconomic factors as the pace of COVID-19 vaccinations accelerates and energy prices stabilize resulted in a $25.0 million negative provision for expected credit losses in the first quarter of 2021. A $6.5 million negative provision for expected credit losses was recorded in the prior quarter. The allowance for loan losses totaled $352 million or 1.70 percent of outstanding loans, excluding PPP loans, at March 31, 2021. The allowance for loan losses was $389 million or 1.82 percent of outstanding loans, excluding PPP loans, at December 31, 2020.
    • Average deposits increased $1.0 billion to $36.5 billion and period-end deposits increased $1.7 billion to $37.9 billion, largely due to growth in commercial balances. Clients across all of our business segments continued to maintain higher deposit balances during this period of economic uncertainty, supplemented by inflows from government stimulus payments.
    • The company's common equity Tier 1 capital ratio was 12.14 percent at March 31, 2021. In addition, the company's Tier 1 capital ratio was 12.21 percent, total capital ratio was 13.98 percent, and leverage ratio was 8.51 percent at March 31, 2021. At December 31, 2020, the company's common equity Tier 1 capital ratio was 11.95 percent, Tier 1 capital ratio was 11.95 percent, total capital ratio was 13.82 percent, and leverage ratio was 8.28 percent.
    • The company repurchased 260,000 shares of common stock at an average price of $77.20 a share in the first quarter of 2021.
    • Commercial Banking contributed $69.7 million to net income, a decrease of $5.3 million compared to the fourth quarter of 2020. Combined net interest revenue and fee revenue decreased $11.2 million. Net interest revenue decreased $12.0 million, primarily due to a reduction in outstanding loan balances, timing of certain loan fees, and lower yields on deposits sold to our Funds Management unit. Average Commercial Banking loans decreased $578 million due to purposeful deleveraging by our customers. Average Commercial deposits grew 5 percent to $16.1 billion in the first quarter.
    • Consumer Banking contributed $6.8 million to net income in the first quarter of 2021, a decrease of $7.9 million compared to the fourth quarter of 2020. Combined net interest revenue and fee revenue decreased $12.7 million. Net interest revenue decreased $9.7 million, mainly due to lower yields on deposits sold to our Funds Management unit. Fees and commissions revenue decreased $3.0 million, largely due to reduced mortgage gain on sale margins. While mortgage production revenue decreased, mortgage production volumes remained strong in the first quarter.
    • Wealth Management contributed $19.4 million to net income in the first quarter of 2021, a decrease of $9.1 million compared to the fourth quarter of 2020. Combined net interest revenue and fee revenue decreased $17.4 million. Net interest revenue was relatively consistent with the previous quarter. However, brokerage and trading revenue decreased $15.0 million due to narrowing margins and a reduction in trading volumes. While our agency residential mortgage trading activity has slowed from the record levels in 2020, combined net interest revenue and fee revenue has grown compared to the first quarter of 2020. Operating expense decreased $5.4 million, primarily due to incentive compensation costs related to decreased trading activity. Average Wealth Management loans grew by $78.3 million compared to the prior quarter while average deposits increased $116 million. Assets under management or administration totaled $92.0 billion compared to $91.6 billion in the prior quarter.
    Net Interest Revenue

    Net interest revenue was $280.4 million for the first quarter of 2021, a $16.8 million decrease compared to the fourth quarter of 2020. The decrease in net interest revenue was primarily driven by lower average outstanding loan balances. Net interest margin was 2.62 percent compared to 2.72 percent in the fourth quarter of 2020. Reinvestment of cash flows from our available for sale securities portfolio to current interest rates and timing of PPP and other loan fees also contributed to a decrease in net interest revenue and net interest margin in the first quarter.

    Average earning assets decreased $178 million compared to the fourth quarter of 2020. Average loan balances decreased $691 million, primarily from commercial and commercial real estate loan paydowns. Available for sale securities increased $484 million. Average interest-bearing deposits grew by $823 million, primarily due to higher interest-bearing transaction deposits in the wake of the most recent government stimulus program. Other borrowings decreased $1.8 billion while funds purchased and repurchase agreements increased $677 million.

    The yield on average earning assets was 2.78 percent, a 14 basis point decrease from the prior quarter. The yield on the available for sale securities portfolio decreased 14 basis points to 1.84 percent. Cash flows received from these securities are currently being reinvested at 95 - 105 basis points. The loan portfolio yield decreased 13 basis points to 3.55 percent, largely due to the timing of certain loan fees, including Paycheck Protection Program loans.

    Funding costs were 0.24 percent, down 4 basis points. The cost of other borrowed funds was down 8 basis points to 0.30 percent. The cost of interest-bearing deposits decreased 2 basis points to 0.17 percent. The benefit to net interest margin from assets funded by non-interest liabilities was 8 basis points for the first quarter of 2021, consistent with the prior quarter.

    Fees and Commissions Revenue

    Fees and commissions revenue totaled $162.2 million for the first quarter of 2021, a decrease of $18.9 million compared to the fourth quarter of 2020. Brokerage and trading revenue decreased $18.7 million to $20.8 million, including a $15.4 million reduction in trading revenue. Agency residential mortgage trading volumes have slowed from record levels in 2020 and margins compressed due to market conditions during the first quarter of 2021. In addition, customer hedging revenue decreased $2.1 million, primarily due to decreased energy customer hedging activities. Investment banking revenue decreased $2.1 million, mainly due to timing of loan syndication activity.

    Mortgage banking revenue decreased $2.2 million compared to the prior quarter, down to a level comparable to the first quarter of 2020. While mortgage production volumes remained consistent with the prior quarter, mortgage interest rates began to increase and margins compressed. The gain on sale margin decreased 28 basis points to 2.98 percent.

    Other revenue increased $2.1 million, primarily due to production revenue from repossessed oil and gas properties.

    Operating Expense

    Total operating expense was $282.6 million for the first quarter of 2021, a decrease of $18.0 million compared to the fourth quarter of 2020.

    Personnel expense decreased $3.2 million, led by a $10.3 million decrease in incentive compensation expense, partially offset by a $6.4 million seasonal increase in payroll taxes and retirement plan costs. Cash based incentive compensation expense decreased $8.2 million, primarily in relation to decreased trading revenue. Deferred compensation expense, which is largely offset by a decrease in the value of related investments included in Other gains (losses), net, decreased $3.4 million.

    Non-personnel expense decreased $14.8 million compared to the fourth quarter of 2020. Net losses and expenses on repossessed assets decreased $7.8 million, largely due to $14.1 million gain on the sale of an equity interest received as part of the workout of a defaulted energy loan. Smaller reductions in expenses in professional fees and services, business promotion, and occupancy and equipment also supplemented the overall decrease in non-personnel expense. These were partially offset by a $2.4 million increase in data processing and communications expense as we continue to invest in technology.

    We made a charitable contribution of $4.0 million in the first quarter and a contribution of $6.0 million in the prior quarter to the BOKF Foundation as we continue to focus on the communities we serve and the extreme needs created by the pandemic.

    Loans, Deposits and Capital

    Loans

    Outstanding loans were $22.5 billion at March 31, 2021, a $474 million decrease compared to December 31, 2020, primarily due to payoffs of commercial and commercial real estate loans.

    Outstanding commercial loan balances decreased $420 million or 3 percent compared to December 31, 2020. Borrowers continue to reduce leverage in this challenging economic environment. Although the primary source of repayment of our commercial loan portfolio is the on-going cash flow from operations of the customer's business, loans are generally governed by a borrowing base and secured by the customer’s assets.

    Energy loan balances decreased $267 million to $3.2 billion or 14 percent of total loans. While commodity prices have continued to improve and stabilize, sourcing new loans sufficient to offset paydowns remains a challenge. The majority of this portfolio is first lien, senior secured, reserve-based lending to oil and gas producers, which we believe is the lowest risk form of energy lending. Approximately 66 percent of committed production loans are secured by properties primarily producing oil. The remaining 34 percent is secured by properties primarily producing natural gas. Unfunded energy loan commitments were $2.4 billion at March 31, 2021, consistent with December 31, 2020.

    Healthcare sector loan balances were largely unchanged compared to the prior quarter, totaling $3.3 billion or 15 percent of total loans. Our healthcare sector loans primarily consist of $2.6 billion of senior housing and care facilities, including independent living, assisted living and skilled nursing. Generally we loan to borrowers with a portfolio of multiple facilities that serves to help diversify risks specific to a single facility. The most recent stimulus bill, like the CARES Act, has multiple revenue enhancement measures for both hospitals and skilled nursing facilities as they manage through the risks of the virus.

    General business loans decreased $51 million to $2.7 billion or 12 percent of total loans. General business loans include $1.5 billion of wholesale/retail loans and $1.2 billion of loans from other commercial industries.

    Services loan balances decreased $87 million to $3.4 billion or 15 percent of total loans. Services loans consist of a large number of loans to a variety of businesses, including Native American tribal and state and local municipal government entities, Native American tribal casino operations, foundations and not-for-profit organizations, educational services and specialty trade contractors.

    Commercial real estate loan balances decreased $195 million compared to December 31, 2020 and represent 20 percent of total loans at March 31, 2021. Multifamily residential loans, our largest exposure in commercial real estate, decreased $100 million to $1.2 billion at March 31, 2021. Loans secured by other commercial real estate properties decreased $74 million to $485 million. Loans secured by industrial facilities decreased $21 million to $789 million. Loans secured by retail facilities and office buildings were largely unchanged compared to December 31, 2020.

    PPP loan balances increased $166 million to $1.8 billion or 8 percent of total loans. We originated $544 million of new PPP loans during the first quarter of 2021, maintaining our strategy of focusing on our existing client base to timely support our existing client needs. Growth from new originations was partially offset by paydowns from the first round of loans.

    Loans to individuals decreased $25 million and represent 16 percent of total loans at March 31, 2021. Residential mortgage loans decreased $66 million. Personal loans were up $29 million and residential mortgage loans guaranteed by U.S. government agencies increased $11 million. The Company may repurchase loans previously sold into GNMA mortgage pools when certain defined delinquency criteria are met. Because of this repurchase right, we have regained effective control over these loans and must include them on the Consolidated Balance Sheet.

    Deposits

    Period-end deposits totaled $37.9 billion at March 31, 2021, a $1.7 billion increase over December 31, 2020. Continued deposit growth was due primarily to customers retaining higher balances in the current economic environment supplemented by the most recent government stimulus program. Demand deposit account balances grew by $837 million and interest-bearing transaction account balances grew by $732 million. Period-end commercial deposits grew by $1.0 billion, consumer deposits increased $474 million and wealth management deposits were up $566 million. Average deposits were $36.5 billion at March 31, 2021, a $1.0 billion increase compared to December 31, 2020. Interest-bearing transaction deposits increased $715 million.

    Capital

    The company's common equity Tier 1 capital ratio was 12.14 percent at March 31, 2021. In addition, the company's Tier 1 capital ratio was 12.21 percent, total capital ratio was 13.98 percent, and leverage ratio was 8.51 percent at March 31, 2021. We have elected to delay the regulatory capital impact of the transition of the allowance for credit losses from the incurred loss methodology to CECL for two years, followed by a three-year transition period, which added 23         basis points to the company's common equity tier 1 capital ratio at March 31. At December 31, 2020, the company's common equity Tier 1 capital ratio was 11.95 percent, Tier 1 capital ratio was 11.95 percent, total capital ratio was 13.82 percent, and leverage ratio was 8.28 percent.

    The company's tangible common equity ratio, a non-GAAP measure, was 8.82 percent at March 31, 2021 and 9.02 percent at December 31, 2020. The tangible common equity ratio is primarily based on total shareholders' equity, which includes unrealized gains and losses on available for sale securities. The company has elected to exclude unrealized gains and losses from available for sale securities from its calculation of Tier 1 capital for regulatory capital purposes, consistent with the treatment under the previous capital rules.

    The company repurchased 260,000 shares of common stock at an average price of $77.20 a share in the first quarter of 2021. We view share buybacks opportunistically, but within the context of maintaining our strong capital position.

    Credit Quality

    Expected credit losses on assets carried at amortized cost are recognized over their expected lives based on models that measure the probability of default and loss given default over a 12-month reasonable and supportable forecast period. Our models incorporate base case, downside and upside macroeconomic variables such as real gross domestic product ("GDP") growth, civilian unemployment rate and West Texas Intermediate ("WTI") oil prices on a probability weighted basis.

    We recorded a $25.0 million negative provision for credit losses in the first quarter of 2021. Changes in our reasonable and supportable forecasts of macroeconomic variables, primarily due to an improved economic outlook related to the anticipated impact of the on-going COVID-19 pandemic, resulted in a $31.1 million decrease in the allowance for credit losses from lending activities. Changes in the loan portfolio characteristics, including specific impairment and losses, risk grading and loan balances resulted in a $5.2 million increase in the allowance for credit losses from lending activities.

    Our base case reasonable and supportable forecast assumes that the COVID-19 pandemic continues to improve as virus immunity becomes increasingly more widespread and vaccines prove to be effective against new virus strains. This scenario assumes vaccine distribution continues to accelerate through the first half of 2021, with a large share of the U.S. population vaccinated by the end of the third quarter of 2021. Continued easing of restrictions and the release of pent-up consumer demand results in GDP growth above historical averages, with GDP recovering to pre-COVID levels in the second quarter of 2021. We expect a 5.6 percent increase in GDP over the next twelve months. Our forecasted civilian unemployment rate is 6.0 percent for the second quarter of 2021, improving to 5.0 percent by the first quarter of 2022. WTI oil prices are projected to generally follow the NYMEX forward curve that existed at the end of March 2021, averaging $57.87 per barrel over the next twelve months.

    The probability weighting of our base case reasonable and supportable forecast was unchanged compared to the fourth quarter of 2020 as there continues to be a high level of uncertainty in the current economic outlook. Our downside case assumes additional waves and hotspots emerge stemming from new virus strains throughout the second and third quarter of 2021 and more constrained distribution of vaccines not reaching widespread distribution until the end of 2021. This results in no GDP growth over the next twelve months and unemployment rates remaining elevated through the first quarter of 2022.

    The allowance for loan losses totaled $352 million or 1.56 percent of outstanding loans and 170 percent of nonaccruing loans at March 31, 2021, excluding residential mortgage loans guaranteed by U.S. government agencies. The combined allowance for loan losses and accrual for off-balance sheet credit risk from unfunded loan commitments was $385 million or 1.71 percent of outstanding loans and 186 percent of nonaccruing loans at March 31, 2021. The combined allowance for credit losses attributed to energy was 3.29 percent of outstanding energy loans at March 31 compared to 3.61 at December 31. Excluding PPP loans, the allowance for loan losses was 1.70 percent of outstanding loans and the combined allowance for loan losses and accrual for off-balance sheet credit risk from unfunded loan commitments was 1.86 percent.

    At December 31, 2020, the allowance for loan losses was $389 million or 1.69 percent of outstanding loans and 171 percent of nonaccruing loans, excluding loans guaranteed by U.S. government agencies. The combined allowance for loan losses and accrual for off-balance sheet credit risk from unfunded loan commitments was $426 million or 1.85 percent of outstanding loans and 188 percent of nonaccruing loans.

    Nonperforming assets totaled $442 million or 1.95 percent of outstanding loans and repossessed assets at March 31, 2021, down from $477 million or 2.07 percent at December 31, 2020. Nonperforming assets that are not guaranteed by U.S. government agencies totaled $278 million or 1.37 percent of outstanding loans and repossessed assets at March 31, 2021, compared to $317 million or 1.51 percent at December 31, 2020. The decrease in nonperforming assets was primarily related to a decrease in nonaccruing energy loans and sales of energy-related repossessed assets during the first quarter of 2021.

    Nonaccruing loans were $216 million or 1.04 percent of outstanding loans, excluding PPP loans, at March 31, 2021. Nonaccruing commercial loans totaled $147 million or 1.16 percent of outstanding commercial loans. Nonaccruing commercial real estate loans totaled $27 million or 0.60 percent of outstanding commercial real estate loans. Nonaccruing loans to individuals totaled $42 million or 1.18 percent of outstanding loans to individuals.

    Nonaccruing loans decreased $19 million compared to December 31, 2020, primarily due to a decrease in nonaccruing energy loans. New nonaccruing loans identified in the first quarter totaled $25 million, offset by $26 million in payments received and $17 million in charge-offs.

    Potential problem loans, which are defined as performing loans that, based on known information, cause management concern as to the borrowers' ability to continue to perform, totaled $422 million at March 31, down from $478 million at December 31. Lower energy and services potential problem loans, were partially offset by an increase in potential problem healthcare loans.

    Net charge-offs were $14.5 million or 0.28 percent of average loans on an annualized basis for the first quarter of 2021, excluding PPP loans. Net charge-offs were 0.31 percent of average loans over the last four quarters. Net charge-offs were $16.7 million or 0.31 percent of average loans on an annualized basis for the fourth quarter of 2020, excluding PPP loans. Gross charge-offs were $16.9 million for the first quarter compared to $18.3 million for the previous quarter. Recoveries totaled $2.4 million for the first quarter of 2021 and $1.6 million for the fourth quarter of 2020.

    Securities and Derivatives

    The fair value of the available for sale securities portfolio totaled $13.4 billion at March 31, 2021, a $359 million increase compared to December 31, 2020. At March 31, 2021, the available for sale securities portfolio consisted primarily of $9.7 billion of residential mortgage-backed securities fully backed by U.S. government agencies and $3.4 billion of commercial mortgage-backed securities fully backed by U.S. government agencies. At March 31, 2021, the available for sale securities portfolio had a net unrealized gain of $290 million compared to $441 million at December 31, 2020.

    The company also maintains a portfolio of residential mortgage-backed securities issued by U.S. government agencies and interest rate derivative contracts as an economic hedge of the changes in the fair value of our mortgage servicing rights. This portfolio of fair value option securities decreased $42 million to $72 million at March 31, 2021.

    The net economic benefit of the changes in the fair value of mortgage servicing rights and related economic hedges was $4.7 million during the first quarter of 2021, including a $33.9 million increase in the fair value of mortgage servicing rights, $29.6 million decrease in the fair value of securities and derivative contracts held as an economic hedge, and $393 thousand of related net interest revenue.

    Conference Call and Webcast

    The company will hold a conference call at 9 a.m. Central time on April 21, 2021 to discuss the financial results with investors. The live audio webcast and presentation slides will be available on the company’s website at www.bokf.com. The conference call can also be accessed by dialing 1-201-689-8471. A conference call and webcast replay will also be available shortly after conclusion of the live call at www.bokf.com or by dialing 1-412-317-6671 and referencing conference ID # 13718312.

    About BOK Financial Corporation

    BOK Financial Corporation is a $47 billion regional financial services company headquartered in Tulsa, Oklahoma with $92 billion in assets under management and administration. The company's stock is publicly traded on NASDAQ under the Global Select market listings (BOKF). BOK Financial Corporation's holdings include BOKF, NA; BOK Financial Securities, Inc., BOK Financial Private Wealth, Inc. and BOK Financial Insurance, Inc. BOKF, NA operates TransFund, Cavanal Hill Investment Management and BOK Financial Asset Management, Inc. BOKF, NA operates banking divisions across eight states as: Bank of Albuquerque; Bank of Oklahoma; Bank of Texas; and BOK Financial in Arizona, Arkansas, Colorado, Kansas and Missouri; as well as having limited purpose offices in Nebraska, Wisconsin and Connecticut. Through its subsidiaries, BOK Financial Corporation provides commercial and consumer banking, brokerage trading, investment, trust and insurance services, mortgage origination and servicing, and an electronic funds transfer network. For more information, visit www.bokf.com.

    The company will continue to evaluate critical assumptions and estimates, such as the appropriateness of the allowance for credit losses and asset impairment as of March 31, 2021 through the date its financial statements are filed with the Securities and Exchange Commission and will adjust amounts reported if necessary.

    This news release contains forward-looking statements that are based on management's beliefs, assumptions, current expectations, estimates and projections about BOK Financial Corporation, the financial services industry, the economy generally and the expected or potential impact of the novel coronavirus (COVID-19) pandemic, and the related responses of the government, consumers, and others, on our business, financial condition and results of operations. Words such as “anticipates,” “believes,” “estimates,” “expects,” “forecasts,” “plans,” “projects,” “will,” “intends,” variations of such words and similar expressions are intended to identify such forward-looking statements. Management judgments relating to and discussion of the provision and allowance for credit losses, allowance for uncertain tax positions, accruals for loss contingencies and valuation of mortgage servicing rights involve judgments as to expected events and are inherently forward-looking statements. Assessments that acquisitions and growth endeavors will be profitable are necessary statements of belief as to the outcome of future events based in part on information provided by others which BOK Financial has not independently verified. These various forward-looking statements are not guarantees of future performance and involve certain risks, uncertainties, and assumptions which are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. Therefore, actual results and outcomes may materially differ from what is expected, implied or forecasted in such forward-looking statements. Internal and external factors that might cause such a difference include, but are not limited to changes in government, consumer or business responses to, and ability to treat or prevent further outbreak of the COVID-19 pandemic, changes in commodity prices, interest rates and interest rate relationships, inflation, demand for products and services, the degree of competition by traditional and nontraditional competitors, changes in banking regulations, tax laws, prices, levies and assessments, the impact of technological advances, and trends in customer behavior as well as their ability to repay loans. BOK Financial Corporation and its affiliates undertake no obligation to update, amend or clarify forward-looking statements, whether as a result of new information, future events, or otherwise.

    BALANCE SHEETS -- UNAUDITED
    BOK FINANCIAL CORPORATION
    (In thousands)

     Mar. 31, 2021 Dec. 31, 2020
    ASSETS   
    Cash and due from banks$723,983   $798,757  
    Interest-bearing cash and cash equivalents695,213   381,816  
    Trading securities5,085,949   4,707,975  
    Investment securities, net of allowance226,121   244,843  
    Available for sale securities13,410,057   13,050,665  
    Fair value option securities72,498   114,982  
    Restricted equity securities139,614   171,391  
    Residential mortgage loans held for sale284,447   252,316  
    Loans:   
    Commercial12,657,784   13,077,535  
    Commercial real estate4,503,347   4,698,538  
    Paycheck protection program1,848,550   1,682,310  
    Loans to individuals3,524,166   3,549,137  
    Total loans22,533,847   23,007,520  
    Allowance for loan losses(352,402)  (388,640) 
    Loans, net of allowance22,181,445   22,618,880  
    Premises and equipment, net555,455   551,308  
    Receivables250,852   245,880  
    Goodwill1,048,091   1,048,091  
    Intangible assets, net110,585   113,436  
    Mortgage servicing rights132,915   101,172  
    Real estate and other repossessed assets, net70,911   90,526  
    Derivative contracts, net1,289,156   810,688  
    Cash surrender value of bank-owned life insurance401,320   398,758  
    Receivable on unsettled securities sales67,759   62,386  
    Other assets696,142   907,218  
    TOTAL ASSETS$47,442,513   $46,671,088  
        
    LIABILITIES AND EQUITY   
    Deposits:   
    Demand$13,103,170   $12,266,338  
    Interest-bearing transaction21,890,874   21,158,422  
    Savings854,226   751,992  
    Time2,004,356   1,967,128  
    Total deposits37,852,626   36,143,880  
    Funds purchased and repurchase agreements795,161   1,662,386  
    Other borrowings1,708,517   1,882,970  
    Subordinated debentures276,024   276,005  
    Accrued interest, taxes and expense290,328   323,667  
    Due on unsettled securities purchases106,835   257,627  
    Derivative contracts, net719,556   405,779  
    Other liabilities431,122   427,213  
    TOTAL LIABILITIES42,180,169   41,379,527  
    Shareholders' equity:   
    Capital, surplus and retained earnings5,018,053   4,930,398  
    Accumulated other comprehensive gain221,409   335,868  
    TOTAL SHAREHOLDERS' EQUITY5,239,462   5,266,266  
    Non-controlling interests22,882   25,295  
    TOTAL EQUITY5,262,344   5,291,561  
    TOTAL LIABILITIES AND EQUITY$47,442,513   $46,671,088  

    AVERAGE BALANCE SHEETS -- UNAUDITED
    BOK FINANCIAL CORPORATION
    (in thousands)

     Three Months Ended
     Mar. 31, 2021 Dec. 31, 2020 Sept. 30, 2020 June 30, 2020 Mar. 31, 2020
    ASSETS         
    Interest-bearing cash and cash equivalents$711,047   $643,926   $553,070   $619,737   $721,659  
    Trading securities6,963,617   6,888,189   1,834,160   1,871,647   1,690,104  
    Investment securities, net of allowance237,313   251,863   258,965   268,947   282,265  
    Available for sale securities13,433,767   12,949,702   12,580,850   12,480,065   11,664,521  
    Fair value option securities104,662   122,329   387,784   786,757   1,793,480  
    Restricted equity securities189,921   280,428   144,415   273,922   429,133  
    Residential mortgage loans held for sale207,013   229,631   213,125   288,588   129,708  
    Loans:         
    Commercial12,908,461   13,113,449   13,772,217   14,502,652   14,452,851  
    Commercial real estate4,547,945   4,788,393   4,754,269   4,543,511   4,346,886  
    Paycheck protection program1,741,534   1,928,665   2,092,933   1,699,369   —  
    Loans to individuals3,559,067   3,617,011   3,491,044   3,353,960   3,143,286  
    Total loans22,757,007   23,447,518   24,110,463   24,099,492   21,943,023  
    Allowance for loan losses(382,734)  (414,225)  (441,831)  (367,583)  (250,338) 
    Loans, net of allowance22,374,273   23,033,293   23,668,632   23,731,909   21,692,685  
    Total earning assets44,221,613   44,399,361   39,641,001   40,321,572   38,403,555  
    Cash and due from banks760,691   742,432   723,826   678,878   669,369  
    Derivative contracts, net873,712   553,779   581,839   642,969   376,621  
    Cash surrender value of bank-owned life insurance399,830   397,354   394,680   391,951   390,009  
    Receivable on unsettled securities sales735,482   1,094,198   4,563,301   4,626,307   3,046,111  
    Other assets3,319,305   3,200,040   3,027,108   3,095,354   2,834,953  
    TOTAL ASSETS$50,310,633   $50,387,164   $48,931,755   $49,757,031   $45,720,618  
              
    LIABILITIES AND EQUITY         
    Deposits:         
    Demand$12,312,629   $12,136,071   $11,929,694   $11,489,322   $9,232,859  
    Interest-bearing transaction21,433,406   20,718,390   19,752,106   18,040,170   16,159,654  
    Savings789,656   737,360   707,121   656,669   563,821  
    Time1,986,425   1,930,808   2,251,012   2,464,793   2,239,234  
    Total deposits36,522,116   35,522,629   34,639,933   32,650,954   28,195,568  
    Funds purchased and repurchase agreements2,830,378   2,153,254   2,782,150   5,816,484   3,815,941  
    Other borrowings3,392,346   5,193,656   3,382,688   3,527,303   6,542,325  
    Subordinated debentures276,015   275,998   275,980   275,949   275,932  
    Derivative contracts, net428,488   399,476   458,390   836,667   379,342  
    Due on unsettled securities purchases915,410   957,642   1,516,880   887,973   960,780  
    Other liabilities671,715   656,147   712,674   690,087   642,764  
    TOTAL LIABILITIES45,036,468   45,158,802   43,768,695   44,685,417   40,812,652  
    Total equity5,274,165   5,228,362   5,163,060   5,071,614   4,907,966  
    TOTAL LIABILITIES AND EQUITY$50,310,633   $50,387,164   $48,931,755   $49,757,031   $45,720,618  

    STATEMENTS OF EARNINGS -- UNAUDITED
    BOK FINANCIAL CORPORATION
    (in thousands, except per share data)

     Three Months Ended
     March 31,
     2021 2020
        
    Interest revenue$298,239   $348,937  
    Interest expense17,819   87,577  
    Net interest revenue280,420   261,360  
    Provision for credit losses(25,000)  93,771  
    Net interest revenue after provision for credit losses305,420   167,589  
    Other operating revenue:   
    Brokerage and trading revenue20,782   50,779  
    Transaction card revenue22,430   21,881  
    Fiduciary and asset management revenue41,322   44,458  
    Deposit service charges and fees24,209   26,130  
    Mortgage banking revenue37,113   37,167  
    Other revenue16,296   12,309  
    Total fees and commissions162,152   192,724  
    Other gains (losses), net(3,036)  (10,741) 
    Gain (loss) on derivatives, net(27,650)  18,420  
    Gain (loss) on fair value option securities, net(1,910)  68,393  
    Change in fair value of mortgage servicing rights33,874   (88,480) 
    Gain on available for sale securities, net467   3  
    Total other operating revenue163,897   180,319  
    Other operating expense:   
    Personnel173,010   156,181  
    Business promotion2,154   6,215  
    Charitable contributions to BOKF Foundation4,000   —  
    Professional fees and services11,980   12,948  
    Net occupancy and equipment26,662   26,061  
    Insurance4,620   4,980  
    Data processing and communications37,467   32,743  
    Printing, postage and supplies3,440   4,272  
    Net losses (gains) and operating expenses of repossessed assets(6,588)  1,531  
    Amortization of intangible assets4,807   5,094  
    Mortgage banking costs13,943   10,545  
    Other expense7,132   8,054  
    Total other operating expense282,627   268,624  
        
    Net income before taxes186,690   79,284  
    Federal and state income taxes42,382   17,300  
        
    Net income144,308   61,984  
    Net loss attributable to non-controlling interests(1,752)  (95) 
    Net income attributable to BOK Financial Corporation shareholders$146,060   $62,079  
        
    Average shares outstanding:   
    Basic69,137,375   70,123,685  
    Diluted69,141,710   70,130,166  
        
    Net income per share:   
    Basic$2.10   $0.88  
    Diluted$2.10   $0.88  

    FINANCIAL HIGHLIGHTS -- UNAUDITED
    BOK FINANCIAL CORPORATION
    (in thousands, except ratio and share data)

     Three Months Ended
     Mar. 31, 2021 Dec. 31, 2020 Sept. 30, 2020 June 30, 2020 Mar. 31, 2020
    Capital:         
    Period-end shareholders' equity$5,239,462   $5,266,266   $5,218,787   $5,096,995   $5,026,248  
    Risk weighted assets$32,623,108   $32,492,277   $31,529,826   $32,180,602   $32,973,242  
    Risk-based capital ratios:         
    Common equity tier 112.14%   11.95%   12.07%   11.44%   10.98%  
    Tier 112.21%   11.95%   12.07%   11.44%   10.98%  
    Total capital13.98%   13.82%   14.05%   13.43%   12.65%  
    Leverage ratio8.51%   8.28%   8.39%   7.74%   8.15%  
    Tangible common equity ratio18.82%   9.02%   9.02%   8.79%   8.39%  
              
    Common stock:         
    Book value per share$75.33   $75.62   $74.23   $72.50   $71.49  
    Tangible book value per share$58.67   $58.94   $57.64   $55.83   $54.85  
    Market value per share:         
    High$98.95   $73.07   $62.86   $67.62   $87.40  
    Low$67.57   $50.09   $48.41   $37.80   $34.57  
    Cash dividends paid$36,038   $36,219   $35,799   $35,769   $35,949  
    Dividend payout ratio24.67 %   23.48 %   23.24 %   55.29 %   57.91 %  
    Shares outstanding, net69,557,873   69,637,600   70,305,833   70,306,690   70,308,532  
    Stock buy-back program:         
    Shares repurchased260,000   665,100   —   —   442,000  
    Amount$20,071   $42,450   $—   $—   $33,380  
    Average price per share$77.20   $63.82   $—   $—   $75.52  
              
    Performance ratios (quarter annualized):
    Return on average assets1.18%   1.22%   1.25%   0.52%   0.55%  
    Return on average equity11.28%   11.75%   11.89%   5.14%   5.10%  
    Net interest margin2.62%   2.72%   2.81%   2.83%   2.80%  
    Efficiency ratio63.32%   62.36%   60.41%   59.57%   58.62%  
              
    Reconciliation of non-GAAP measures:
    1 Tangible common equity ratio:         
    Total shareholders' equity$5,239,462   $5,266,266   $5,218,787   $5,096,995   $5,026,248  
    Less: Goodwill and intangible assets, net1,158,676   1,161,527   1,166,615   1,171,686   1,169,898  
    Tangible common equity$4,080,786   $4,104,739   $4,052,172   $3,925,309   $3,856,350  
              
    Total assets$47,442,513   $46,671,088   $46,067,224   $45,819,874   $47,119,162  
    Less: Goodwill and intangible assets, net1,158,676   1,161,527   1,166,615   1,171,686   1,169,898  
    Tangible assets$46,283,837   $45,509,561   $44,900,609   $44,648,188   $45,949,264  
              
    Tangible common equity ratio8.82%   9.02%   9.02%   8.79%   8.39%  
              
    Pre-provision net revenue:          
    Net income before taxes$186,690   $199,847   $204,644   $80,089   $79,284  
    Provision for expected credit losses(25,000)  (6,500)  —   135,321   93,771  
    Net income (loss) attributable to non-controlling interests(1,752)  485   58   (407)  (95) 
    Pre-provision net revenue$163,442   $192,862   $204,586   $215,817   $173,150  
              
    Other data:         
    Tax equivalent interest$2,301   $2,414   $2,457   $2,630   $2,715  
    Net unrealized gain on available for sale securities$290,217   $440,814   $480,563   $487,334   $435,989  
              
    Mortgage banking:         
    Mortgage production revenue$25,287   $26,662   $38,431   $39,185   $21,570  
              
    Mortgage loans funded for sale$843,053   $998,435   $1,032,472   $1,184,249   $548,956  
    Add: current period-end outstanding commitments387,465   380,637   560,493   546,304   657,570  
    Less: prior period end outstanding commitments380,637   560,493   546,304   657,570   158,460  
    Total mortgage production volume$849,881   $818,579   $1,046,661   $1,072,983   $1,048,066  
              
    Mortgage loan refinances to mortgage loans funded for sale65%   58%   54%   71%   57%  
    Gain on sale margin2.98%   3.26%   3.67%   3.65%   2.06%  
              
    Mortgage servicing revenue$11,826   $12,636   $13,528   $14,751   $15,597  
    Average outstanding principal balance of mortgage loans serviced for others15,723,231   16,518,208   17,434,215   19,319,872   20,416,546  
    Average mortgage servicing revenue rates0.31%   0.30%   0.31%   0.31%   0.31%  
              
    Gain (loss) on mortgage servicing rights, net of economic hedge:
    Gain (loss) on mortgage hedge derivative contracts, net$(27,705)  $(385)  $2,295   $21,815   $18,371  
    Gain (loss) on fair value option securities, net(1,910)  68   (754)  (14,459)  68,393  
    Gain (loss) on economic hedge of mortgage servicing rights(29,615)  (317)  1,541   7,356   86,764  
    Gain (loss) on changes in fair value of mortgage servicing rights33,874   6,276   3,441   (761)  (88,480) 
    Gain (loss) on changes in fair value of mortgage servicing rights, net of economic hedges, included in other operating revenue4,259   5,959   4,982   6,595   (1,716) 
    Net interest revenue on fair value option securities2393   550   1,565   2,702   4,268  
    Total economic benefit of changes in the fair value of mortgage servicing rights, net of economic hedges$4,652   $6,509   $6,547   $9,297   $2,552  

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

    QUARTERLY EARNINGS TREND -- UNAUDITED
    BOK FINANCIAL CORPORATION
    (in thousands, except ratio and per share data)

     Three Months Ended
     Mar. 31, 2021 Dec. 31, 2020 Sept. 30, 2020 June 30, 2020 Mar. 31, 2020
              
    Interest revenue$298,239   $319,020   $294,659   $306,384   $348,937  
    Interest expense17,819   21,790   22,909   28,280   87,577  
    Net interest revenue280,420   297,230   271,750   278,104   261,360  
    Provision for credit losses(25,000)  (6,500)  —   135,321   93,771  
    Net interest revenue after provision for credit losses305,420   303,730   271,750   142,783   167,589  
    Other operating revenue:         
    Brokerage and trading revenue20,782   39,506   69,526   62,022   50,779  
    Transaction card revenue22,430   21,896   23,465   22,940   21,881  
    Fiduciary and asset management revenue41,322   41,799   39,931   41,257   44,458  
    Deposit service charges and fees24,209   24,343   24,286   22,046   26,130  
    Mortgage banking revenue37,113   39,298   51,959   53,936   37,167  
    Other revenue16,296   14,209   13,698   11,479   12,309  
    Total fees and commissions162,152   181,051   222,865   213,680   192,724  
    Other gains (losses), net(3,036)  5,383   6,265   6,768   (10,741) 
    Gain (loss) on derivatives, net(27,650)  (339)  2,354   21,885   18,420  
    Gain (loss) on fair value option securities, net(1,910)  68   (754)  (14,459)  68,393  
    Change in fair value of mortgage servicing rights33,874   6,276   3,441   (761)  (88,480) 
    Gain (loss) on available for sale securities, net467   4,339   (12)  5,580   3  
    Total other operating revenue163,897   196,778   234,159   232,693   180,319  
    Other operating expense:         
    Personnel173,010   176,198   179,860   176,235   156,181  
    Business promotion2,154   3,728   2,633   1,935   6,215  
    Charitable contributions to BOKF Foundation4,000   6,000   —   3,000   —  
    Professional fees and services11,980   14,254   14,074   12,161   12,948  
    Net occupancy and equipment26,662   27,875   28,111   30,675   26,061  
    Insurance4,620   4,006   5,848   5,156   4,980  
    Data processing and communications37,467   35,061   34,751   32,942   32,743  
    Printing, postage and supplies3,440   3,805   3,482   3,502   4,272  
    Net losses (gains) and operating expenses of repossessed assets(6,588)  1,168   6,244   1,766   1,531  
    Amortization of intangible assets4,807   5,088   5,071   5,190   5,094  
    Mortgage banking costs13,943   14,765   15,803   15,598   10,545  
    Other expense7,132   8,713   5,388   7,227   8,054  
    Total other operating expense282,627   300,661   301,265   295,387   268,624  
    Net income before taxes186,690   199,847   204,644   80,089   79,284  
    Federal and state income taxes42,382   45,138   50,552   15,803   17,300  
    Net income144,308   154,709   154,092   64,286   61,984  
    Net income (loss) attributable to non-controlling interests(1,752)  485   58   (407)  (95) 
    Net income attributable to BOK Financial Corporation shareholders$146,060   $154,224   $154,034   $64,693   $62,079  
              
    Average shares outstanding:         
    Basic69,137,375   69,489,597   69,877,866   69,876,043   70,123,685  
    Diluted69,141,710   69,493,050   69,879,290   69,877,467   70,130,166  
    Net income per share:         
    Basic$2.10   $2.21   $2.19   $0.92   $0.88  
    Diluted$2.10   $2.21   $2.19   $0.92   $0.88  

    LOANS TREND -- UNAUDITED
    BOK FINANCIAL CORPORATION
    (In thousands)

      Mar. 31, 2021 Dec. 31, 2020 Sept. 30, 2020 June 30, 2020 Mar. 31, 2020
    Commercial:          
    Services $3,421,948  $3,508,583  $3,545,825  $3,779,881  $3,955,748 
    Energy 3,202,488  3,469,194  3,717,101  3,974,174  4,111,676 
    Healthcare 3,290,758  3,305,990  3,325,790  3,289,343  3,165,096 
    General business 2,742,590  2,793,768  2,976,990  3,115,112  3,563,455 
    Total commercial 12,657,784  13,077,535  13,565,706  14,158,510  14,795,975 
               
    Commercial real estate:          
    Multifamily 1,227,915  1,328,045  1,387,461  1,407,107  1,282,457 
    Office 1,094,060  1,085,257  1,099,563  973,995  962,004 
    Industrial 789,437  810,510  792,389  723,005  728,026 
    Retail 787,648  796,223  786,211  780,467  774,198 
    Residential construction and land development 119,079  119,394  121,258  136,911  138,958 
    Other commercial real estate 485,208  559,109  506,818  532,659  564,442 
    Total commercial real estate 4,503,347  4,698,538  4,693,700  4,554,144  4,450,085 
               
    Paycheck protection program 1,848,550  1,682,310  2,097,325  2,081,428  — 
               
    Loans to individuals:          
    Residential mortgage 1,797,478  1,863,003  1,849,144  1,813,442  1,844,555 
    Residential mortgages guaranteed by U.S. government agencies 420,051  408,687  384,247  322,269  197,889 
    Personal 1,306,637  1,277,447  1,213,178  1,226,097  1,175,466 
    Total loans to individuals 3,524,166  3,549,137  3,446,569  3,361,808  3,217,910 
               
    Total $22,533,847  $23,007,520  $23,803,300  $24,155,890  $22,463,970 

    LOANS MANAGED BY PRINCIPAL MARKET AREA -- UNAUDITED
    BOK FINANCIAL CORPORATION
    (in thousands)

     Mar. 31, 2021 Dec. 31, 2020 Sept. 30, 2020 June 30, 2020 Mar. 31, 2020
              
    Texas:         
    Commercial$5,748,345  $5,926,534  $6,135,471  $6,359,206  $6,350,690 
    Commercial real estate1,511,714  1,519,217  1,523,226  1,413,108  1,296,266 
    Paycheck protection program537,899  501,079  614,970  612,133  — 
    Loans to individuals848,194  855,410  794,055  749,531  756,634 
    Total Texas8,646,152  8,802,240  9,067,722  9,133,978  8,403,590 
              
    Oklahoma:         
    Commercial2,975,477  3,144,782  3,332,244  3,489,259  3,886,086 
    Commercial real estate597,840  597,733  608,448  596,419  593,473 
    Paycheck protection program468,002  413,108  487,247  442,518  — 
    Loans to individuals2,043,705  2,052,784  2,034,576  1,966,032  1,788,518 
    Total Oklahoma6,085,024  6,208,407  6,462,515  6,494,228  6,268,077 
              
    Colorado:         
    Commercial1,910,826  1,929,320  1,993,364  2,085,294  2,181,309 
    Commercial real estate777,786  879,648  893,626  940,622  955,608 
    Paycheck protection program436,540  377,111  494,910  488,279  — 
    Loans to individuals264,759  264,295  257,832  265,359  268,674 
    Total Colorado3,389,911  3,450,374  3,639,732  3,779,554  3,405,591 
              
    Arizona:         
    Commercial1,207,089  1,219,072  1,218,769  1,346,037  1,396,582 
    Commercial real estate667,766  726,111  702,291  698,818  714,161 
    Paycheck protection program208,481  211,725  272,114  318,961  — 
    Loans to individuals179,031  177,948  166,203  177,155  181,821 
    Total Arizona2,262,367  2,334,856  2,359,377  2,540,971  2,292,564 
              
    Kansas/Missouri:         
    Commercial421,974  455,914  493,606  481,162  556,255 
    Commercial real estate395,590  366,821  352,663  314,926  310,799 
    Paycheck protection program60,741  56,011  80,230  76,724  — 
    Loans to individuals104,954  105,995  96,598  102,577  116,734 
    Total Kansas/Missouri983,259  984,741  1,023,097  975,389  983,788 
              
    New Mexico:         
    Commercial307,395  303,833  288,374  308,090  327,164 
    Commercial real estate448,298  473,204  473,697  458,230  434,150 
    Paycheck protection program124,059  109,881  133,244  128,058  — 
    Loans to individuals70,491  75,665  79,890  83,470  87,110 
    Total New Mexico950,243  962,583  975,205  977,848  848,424 
              
    Arkansas:         
    Commercial86,678  98,080  103,878  89,462  97,889 
    Commercial real estate104,353  135,804  139,749  132,021  145,628 
    Paycheck protection program12,828  13,395  14,610  14,755  — 
    Loans to individuals13,032  17,040  17,415  17,684  18,419 
    Total Arkansas216,891  264,319  275,652  253,922  261,936 
              
    TOTAL BOK FINANCIAL$22,533,847  $23,007,520  $23,803,300  $24,155,890  $22,463,970 

    Loans attributed to a principal market may not always represent the location of the borrower or the collateral.

    DEPOSITS BY PRINCIPAL MARKET AREA -- UNAUDITED
    BOK FINANCIAL CORPORATION
    (in thousands)

     Mar. 31, 2021 Dec. 31, 2020 Sept. 30, 2020 June 30, 2020 Mar. 31, 2020
    Oklahoma:         
    Demand$4,822,895   $4,328,619   $4,493,691   $4,378,559   $3,669,558  
    Interest-bearing:         
    Transaction12,827,914   12,603,603   12,586,401   11,438,489   9,955,697  
    Savings487,862   420,996   401,062   387,557   329,631  
    Time1,197,517   1,134,453   1,081,176   1,330,619   1,137,802  
    Total interest-bearing14,513,293   14,159,052   14,068,639   13,156,665   11,423,130  
    Total Oklahoma19,336,188   18,487,671   18,562,330   17,535,224   15,092,688  
              
    Texas:         
    Demand3,593,510   3,450,468   3,152,393   3,070,955   2,767,399  
    Interest-bearing:         
    Transaction4,257,390   3,800,482   3,482,603   3,358,090   2,874,362  
    Savings154,406   139,173   136,787   128,892   115,039  
    Time368,086   383,062   438,337   476,867   505,565  
    Total interest-bearing4,779,882   4,322,717   4,057,727   3,963,849   3,494,966  
    Total Texas8,373,392   7,773,185   7,210,120   7,034,804   6,262,365  
              
    Colorado:         
    Demand2,115,354   2,168,404   2,057,603   2,096,075   1,579,764  
    Interest-bearing:         
    Transaction2,100,135   2,170,485   1,861,763   1,816,604   1,759,384  
    Savings73,446   69,384   68,230   67,477   58,000  
    Time204,973   208,778   226,780   254,845   279,105  
    Total interest-bearing2,378,554   2,448,647   2,156,773   2,138,926   2,096,489  
    Total Colorado4,493,908   4,617,051   4,214,376   4,235,001   3,676,253  
              
    New Mexico:         
    Demand1,131,713   941,074   964,908   965,877   750,052  
    Interest-bearing:         
    Transaction736,923   733,007   713,418   752,565   563,891  
    Savings103,591   91,646   85,463   80,242   67,553  
    Time181,863   186,307   200,525   222,370   235,778  
    Total interest-bearing1,022,377   1,010,960   999,406   1,055,177   867,222  
    Total New Mexico2,154,090   1,952,034   1,964,314   2,021,054   1,617,274  
              
    Arizona:         
    Demand915,439   905,201   928,671   985,757   665,396  
    Interest-bearing:         
    Transaction835,795   768,220   771,319   780,500   729,603  
    Savings13,235   12,174   11,498   15,669   8,832  
    Time30,997   32,721   36,929   42,318   47,081  
    Total interest-bearing880,027   813,115   819,746   838,487   785,516  
    Total Arizona1,795,466   1,718,316   1,748,417   1,824,244   1,450,912  
              
              
    Kansas/Missouri:         
    Demand478,370   426,738   405,360   427,795   318,985  
    Interest-bearing:         
    Transaction991,510   960,237   616,797   526,635   537,552  
    Savings18,686   16,286   15,520   15,033   12,888  
    Time13,898   14,610   16,430   17,746   19,137  
    Total interest-bearing1,024,094   991,133   648,747   559,414   569,577  
    Total Kansas/Missouri1,502,464   1,417,871   1,054,107   987,209   888,562  
              
    Arkansas:         
    Demand45,889   45,834   44,712   67,147   70,428  
    Interest-bearing:         
    Transaction141,207   122,388   164,439   177,535   175,803  
    Savings3,000   2,333   2,389   2,101   1,862  
    Time7,022   7,197   7,796   7,995   8,005  
    Total interest-bearing151,229   131,918   174,624   187,631   185,670  
    Total Arkansas197,118   177,752   219,336   254,778   256,098  
              
    TOTAL BOK FINANCIAL$37,852,626   $36,143,880   $34,973,000   $33,892,314   $29,244,152  

    NET INTEREST MARGIN TREND -- UNAUDITED
    BOK FINANCIAL CORPORATION

     Three Months Ended
     Mar. 31, 2021 Dec. 31, 2020 Sept. 30, 2020 June 30, 2020 Mar. 31, 2020
              
    TAX-EQUIVALENT ASSETS YIELDS         
    Interest-bearing cash and cash equivalents0.10 % 0.10 % 0.12 % 0.07 % 1.33 %
    Trading securities2.06 % 2.02 % 1.92 % 2.46 % 2.89 %
    Investment securities, net of allowance4.88 % 4.88 % 4.85 % 4.77 % 4.73 %
    Available for sale securities1.84 % 1.98 % 2.11 % 2.29 % 2.48 %
    Fair value option securities1.95 % 2.27 % 1.92 % 2.00 % 2.67 %
    Restricted equity securities2.86 % 3.25 % 2.53 % 2.75 % 5.49 %
    Residential mortgage loans held for sale2.71 % 2.75 % 3.01 % 3.10 % 3.50 %
    Loans3.55 % 3.68 % 3.60 % 3.63 % 4.50 %
    Allowance for loan losses         
    Loans, net of allowance3.62 % 3.75 % 3.67 % 3.69 % 4.55 %
    Total tax-equivalent yield on earning assets2.78 % 2.92 % 3.04 % 3.12 % 3.73 %
              
    COST OF INTEREST-BEARING LIABILITIES        
    Interest-bearing deposits:         
    Interest-bearing transaction0.12 % 0.14 % 0.17 % 0.21 % 0.89 %
    Savings0.04 % 0.05 % 0.05 % 0.05 % 0.09 %
    Time0.70 % 0.89 % 1.13 % 1.36 % 1.83 %
    Total interest-bearing deposits0.17 % 0.19 % 0.26 % 0.34 % 0.98 %
    Funds purchased and repurchase agreements0.19 % 0.28 % 0.17 % 0.14 % 1.14 %
    Other borrowings0.39 % 0.42 % 0.43 % 0.56 % 1.66 %
    Subordinated debt4.92 % 4.87 % 4.89 % 5.16 % 5.30 %
    Total cost of interest-bearing liabilities0.24 % 0.28 % 0.31 % 0.37 % 1.19 %
    Tax-equivalent net interest revenue spread2.54 % 2.64 % 2.73 % 2.75 % 2.54 %
    Effect of noninterest-bearing funding sources and other0.08 % 0.08 % 0.08 % 0.08 % 0.26 %
    Tax-equivalent net interest margin2.62 % 2.72 % 2.81 % 2.83 % 2.80 %

    Yield calculations are shown on a tax equivalent basis at the statutory federal and state rates for the periods presented. The yield calculations exclude security trades that have been recorded on trade date with no corresponding interest income and the unrealized gains and losses. The yield calculation also includes average loan balances for which the accrual of interest has been discontinued and are net of unearned income. Yield/rate calculations are generally based on the conventions that determine how interest income and expense is accrued.

    CREDIT QUALITY INDICATORS -- UNAUDITED
    BOK FINANCIAL CORPORATION
    (in thousands, except ratios)

     Three Months Ended
     Mar. 31, 2021 Dec. 31, 2020 Sept. 30, 2020 June 30, 2020 Mar. 31, 2020
    Nonperforming assets:         
    Nonaccruing loans:         
    Commercial:         
    Energy$101,800   $125,059   $126,816   $162,989   $96,448  
    Services28,033   25,598   25,817   21,032   8,425  
    Healthcare3,187   3,645   3,645   3,645   4,070  
    General business14,053   12,857   13,675   14,333   9,681  
    Total commercial147,073   167,159   169,953   201,999   118,624  
              
    Commercial real estate27,243   27,246   12,952   13,956   8,545  
              
    Loans to individuals:         
    Permanent mortgage32,884   32,228   31,599   33,098   30,721  
    Permanent mortgage guaranteed by U.S. government agencies8,564   7,741   6,397   6,110   5,005  
    Personal255   319   252   233   277  
    Total loans to individuals41,703   40,288   38,248   39,441   36,003  
              
    Total nonaccruing loans$216,019   $234,693   $221,153   $255,396   $163,172  
    Accruing renegotiated loans guaranteed by U.S. government agencies154,591   151,775   142,770   114,571   91,757  
    Real estate and other repossessed assets70,911   90,526   52,847   35,330   36,744  
    Total nonperforming assets$441,521   $476,994   $416,770   $405,297   $291,673  
    Total nonperforming assets excluding those guaranteed by U.S. government agencies$278,366   $317,478   $267,603   $284,616   $194,911  
              
    Accruing loans 90 days past due1$395   $10,369   $7,684   $10,992   $3,706  
              
    Gross charge-offs$16,905   $18,251   $26,661   $15,570   $18,917  
    Recoveries(2,437)  (1,592)  (4,232)  (1,491)  (1,696) 
    Net charge-offs$14,468   $16,659   $22,429   $14,079   $17,221  
              
    Provision for loan losses$(21,770)  $(14,478)  $6,609   $134,365   $95,964  
    Provision for credit losses from off-balance sheet unfunded loan commitments(4,044)  8,952   (4,950)  4,405   3,377  
    Provision for expected credit losses from mortgage banking activities885   (923)  (770)  (3,575)  (6,020) 
    Provision for credit losses related to held-to maturity (investment) securities portfolio(71)  (51)  (889)  126   450  
    Total provision for credit losses$(25,000)  $(6,500)  $—   $135,321   $93,771  
              
              
              
              
              
              
              
    Allowance for loan losses to period end loans1.56%   1.69%   1.76%   1.80%   1.40%  
    Allowance for loan losses to period end loans excluding PPP loans21.70%   1.82%   1.93%   1.97%   1.40%  
    Combined allowance for loan losses and accrual for off-balance sheet credit risk from unfunded loan commitments to period end loans1.71%   1.85%   1.88%   1.94%   1.53%  
    Combined allowance for loan losses and accrual for off-balance sheet credit risk from unfunded loan commitments to period end loans excluding PPP loans21.86%   2.00%   2.06%   2.12%   1.53%  
    Nonperforming assets to period end loans and repossessed assets1.95%   2.07%   1.75%   1.68%   1.30%  
    Net charge-offs (annualized) to average loans0.25%   0.28%   0.37%   0.23%   0.31%  
    Net charge-offs (annualized) to average loans excluding PPP loans20.28%   0.31%   0.41%   0.25%   0.31%  
    Allowance for loan losses to nonaccruing loans1169.87%   171.24%   195.47%   174.74%   199.35%  
    Combined allowance for loan losses and accrual for off-balance sheet credit risk from unfunded loan commitments to nonaccruing loans1185.72%   187.51%   208.49%   187.94%   217.38%  

    1  Excludes residential mortgage loans guaranteed by agencies of the U.S. government.
    2  Metric meaningful due to the unique characteristics and short-term nature of the PPP loans.

    LINE OF BUSINESS HIGHLIGHTS -- UNAUDITED
    BOK FINANCIAL CORPORATION
    (in thousands, except ratios)

      Three Months Ended 1Q21 vs 4Q20 1Q21 vs 1Q20
      Mar. 31,
    2021    		 Dec. 31,
    2020    		 Mar. 31,
    2020    		 $ change % change $ change % change
    Commercial Banking              
    Net interest revenue $130,005  $142,026  $151,407  $(12,021)  (8.5)%   $(21,402)  (14.1)%  
    Fees and commissions revenue 49,847  49,060  41,459  787   1.6%   8,388   20.2%  
    Combined net interest and fee revenue 179,852  191,086  192,866  (11,234)  (5.9)%   (13,014)  (6.7)%  
    Other operating expense 66,979  68,372  60,752  (1,393)  (2.0)%   6,227   10.2%  
    Corporate expense allocations 12,734  5,348  8,905  7,386   138.1%   3,829   43.0%  
    Net income 69,673  74,941  74,975  (5,268)  (7.0)%   (5,302)  (7.1)%  
                   
    Average assets 28,047,052  27,693,742  24,687,976  353,310   1.3%   3,359,076   13.6%  
    Average loans 17,522,520  18,100,333  18,812,015  (577,813)  (3.2)%   (1,289,495)  (6.9)%  
    Average deposits 16,130,168  15,373,673  11,907,386  756,495   4.9%   4,222,782   35.5%  
                   
    Consumer Banking              
    Net interest revenue $20,974  $30,672  $43,932  $(9,698)  (31.6)%   $(22,958)  (52.3)%  
    Fees and commissions revenue 52,300  55,326  55,062  (3,026)  (5.5)%   (2,762)  (5.0)%  
    Combined net interest and fee revenue 73,274  85,998  98,994  (12,724)  (14.8)%   (25,720)  (26.0)%  
    Other operating expense 55,743  59,306  53,844  (3,563)  (6.0)%   1,899   3.5%  
    Corporate expense allocations 11,487  10,428  10,389  1,059   10.2%   1,098   10.6%  
    Net income 6,849  14,768  23,701  (7,919)  (53.6)%   (16,852)  (71.1)%  
                   
    Average assets 9,755,539  9,700,428  9,850,853  55,111   0.6%   (95,314)  (1.0)%  
    Average loans 1,823,732  1,840,492  1,711,703  (16,760)  (0.9)%   112,029   6.5%  
    Average deposits 8,082,443  7,993,971  6,869,481  88,472   1.1%   1,212,962   17.7%  
                   
    Wealth Management              
    Net interest revenue $48,354  $48,521  $18,904  $(167)  (0.3)%   $29,450   155.8%  
    Fees and commissions revenue 65,684  82,936  97,881  (17,252)  (20.8)%   (32,197)  (32.9)%  
    Combined net interest and fee revenue 114,038  131,457  116,785  (17,419)  (13.3)%   (2,747)  (2.4)%  
    Other operating expense 78,565  84,000  78,192  (5,435)  (6.5)%   373   0.5%  
    Corporate expense allocations 9,887  9,465  8,265  422   4.5%   1,622   19.6%  
    Net income 19,382  28,435  22,573  (9,053)  (31.8)%   (3,191)  (14.1)%  
                   
    Average assets 18,645,865  18,101,182  12,723,412  544,683   3.0%   5,922,453   46.5%  
    Average loans 1,917,973  1,839,695  1,705,735  78,278   4.3%   212,238   12.4%  
    Average deposits 9,706,295  9,589,814  7,623,986  116,481   1.2%   2,082,309   27.3%  
    Fiduciary assets 56,227,268  55,486,492  43,688,036  740,776   1.3%   12,539,232   28.7%  
    Assets under management or administration 91,956,188  91,592,247  75,783,829  363,941   0.4%   16,172,359   21.3%  

    Contact:

    Cody McAlester
    Vice President, Investor Relations
    918-595-3030



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