Banner Corp. (BANR)

Key figures

The last twelve months reported, with the latest price and balance sheet.

Market value

$2.3B

Dividend yield

2.9%

Cash

$435.5M

Debt

$514.1M

Debt to equity

0.26

Shares outstanding

34.0M

Financial statements

Revenue, profit and cash flow by fiscal year, each year linked to its annual report.

By quarter

What the company said with its results

From the third quarter of 2026 results, filed 21 October 2026.

• Net income declined from prior quarter. Net income was $47.7 million, or $1.36 diluted, versus $48.9 million, or $1.43, in the second quarter and $53.5 million, or $1.54, a year earlier.
• Net interest income rose on acquisition. Net interest income was $161.9 million, compared with $153.7 million in the second quarter and $150.0 million a year earlier. Management attributed the rise to acquired and organic earning assets.
• Revenue grew four percent year over year. Revenue was $177.3 million, compared with $172.0 million in the second quarter and up 4% from $170.7 million a year earlier.
• Nine-month net income rose. For the nine months ended September 30, 2026, net income was $151.3 million, or $4.39 diluted, compared with $144.1 million, or $4.15, a year earlier.
• Adjusted diluted EPS reported at $1.51. Diluted adjusted earnings per share, a non-GAAP measure, was $1.51, against $1.44 in the prior quarter and $1.52 a year earlier.
• Washington loans grew eleven percent. Washington loans reached $5.95 billion, 46% of total loans, up 11% from the prior quarter and 10% from a year earlier.
• Washington deposits rose eighteen percent. Washington deposits were $8.56 billion, 56% of total deposits, up 18% from the prior quarter and 12% from a year earlier.
• Bank of the Pacific branch footprint. Bank of the Pacific brought 18 branch locations at closing, 15 in Washington and three in Oregon.
• Core deposits held at 90%. Core deposits were 90% of total deposits at September 30, 2026, up from 89% at June 30, 2026 and at September 30, 2025.
• Loan originations rose to $1.28 billion. Originations were $1.28 billion, up from $1.26 billion in the second quarter and 61% above $794.5 million a year earlier.
• Consumer loans grew on home equity lines. Consumer loans totaled $929.8 million, up 12% from the prior quarter and 26% from a year earlier, led by home equity revolving lines.
• Mortgage held-for-sale balances increased. Loans held for sale were $32.7 million, up from $27.2 million, because one- to four-family mortgage originations outpaced sales in the quarter.
• Non-interest expense rose to $115.7 million. Total non-interest expense was $115.7 million, up from $108.0 million. Excluding merger costs, the increase reflected acquired Pacific Financial operations, including salary and benefits.
• Efficiency ratio rose to 65.25%. The efficiency ratio was 65.25%, against 62.80% in the second quarter and 59.76% a year earlier.

Company events

The newest 8-K filings of 268 held.

Every filing

The newest filings with the SEC of 590 held.

Planned insider sales

Form 144 notices, filed when the sell order goes to the broker.

Large holders

Schedule 13D and 13G filings by holders of more than 5% of the voting shares.

Short interest

Shares sold short and not yet bought back, on each FINRA settlement date.

Funds that hold it

From each fund's latest Form 13F.

308 funds held it at 30 Jun 2026: 155 added and 79 trimmed in the quarter. The largest:

Peers

Companies in the same industry.

• Bank of Nova Scotia (BNS): revenue $27.0B, market value $116.9B
• Bank of New York Mellon Corp. (BNY): revenue $21.4B, market value $100.9B
• Itaú Unibanco Holding S.A. (ITUB): revenue $30.1B, market value $81.6B
• Fifth Third Bancorp (FITB): revenue $10.7B, market value $48.5B
• State Street Corp. (STT): revenue $15.5B, market value $47.4B
• M&T Bank Corp. (MTB): revenue $10.0B, market value $31.8B
• Northern Trust Corp. (NTRS): revenue $9.1B, market value $31.4B
• Banco Bradesco S.A. (BBD): revenue –, market value $28.9B
• Citizens Financial Group Inc. (CFG): revenue $8.9B, market value $27.5B
• First Citizens Bancshares Inc. (FCNCA): revenue $9.6B, market value $26.9B

What the company does

Banner Corporation is a bank holding company incorporated in the State of Washington. It wholly owns one subsidiary, Banner Bank, a Washington-chartered commercial bank with its main office in Walla Walla, Washington. As of 31 December 2025, the bank had 135 branch offices and 15 loan production offices in Washington, Oregon, California, Idaho, Utah and Nevada. It serves individuals, businesses and public sector entities, and its common stock trades on the NASDAQ Global Select Market under the symbol "BANR".

How the business is organised

Banner's primary business is traditional banking: accepting deposits and making loans near its offices. It also runs mortgage banking operations, originating one- to four-family residential loans and selling them. The company describes its strategy as a "super community bank model", which it says combines the product range of a regional bank with the responsiveness of a community bank. Its target clients are middle market and small businesses, business owners, their families and employees. All lending is done through the bank and its subsidiary, Community Financial Corporation, a residential construction lender in Portland, Oregon.

Net interest income is the main driver of operating results. It is the difference between interest earned on loans and investment securities and interest paid on deposits and borrowings. Non-interest income comes from deposit fees and service charges, mortgage banking (gains on loan sales and servicing fees), and securities gains and losses.

What it lends

- Commercial real estate: 35% - Commercial business, including small business scored loans: 21% - Construction, land and land development: 15% - One- to four-family residential: 13% - Multifamily real estate: 7% - Consumer: 6% - Agricultural business: 3%

The company says lending is directed mainly toward commercial real estate and business loans. Commercial business lending serves small- to medium-sized businesses and agribusiness, with a smaller amount in national syndicated loans. Small business loans are also made through the branches under the QuickStep program. Consumer loans are mostly home equity lines of credit, which made up 88% of consumer loans.

Banner sells most of the one- to four-family residential loans it originates into the secondary market, on either a servicing-retained or servicing-released basis. It collects fees for servicing loans it has sold. Fixed-rate mortgages run for terms of 10 to 30 years. Agricultural loans are secured by crops, livestock or equipment, and some are made against farmland.

How it is funded

Deposits are the primary source of funds. Core deposits, meaning non-interest-bearing checking plus interest-bearing transaction and savings accounts, were 89% of total deposits.

- Non-interest-bearing checking: 33% - Interest-bearing checking: 19% - Regular savings: 27% - Money market: 10% - Certificates of deposit: 11%

Public deposits were 3% of the total. The bank also borrows from the Federal Home Loan Bank of Des Moines, which is its primary borrowing source. It has access to the Federal Reserve Bank, federal funds lines with other institutions, and retail repurchase agreements tied to client cash management accounts. It has also issued junior subordinated debentures in connection with trust preferred securities.

Where it operates

Loans by state were Washington 46%, California 26%, Oregon 18%, Idaho 6%, Utah 1% and other 3%. Deposits were Washington 55%, Oregon 22%, California 18% and Idaho 5%. The company says it is investing in its delivery platform with an emphasis on higher growth regions, and that client use of mobile and digital banking has risen while branch transaction volume has fallen.

Competition and regulation

Banner competes for deposits with other commercial and savings banks, savings associations and credit unions. It also competes with securities firms, insurance companies, mutual funds, online banks and financial technology companies. Loan competition comes from other banks, loan brokers, mortgage banking companies and credit unions, and from the Farm Credit Administration for agricultural loans. The company says it competes through rates and terms, convenient locations, personal service and relationship-based banking.

The Federal Reserve regulates Banner as a bank holding company. The bank is regulated by the Washington State Department of Financial Institutions-Division of Banks and by the Federal Deposit Insurance Corporation, and is subject to the Consumer Financial Protection Bureau's consumer rules. At 31 December 2025, Banner and the bank met the "well capitalized" requirements. The bank holds an "outstanding" rating in its most recent Community Reinvestment Act examination.

Its people

Banner employed 1,930 full- and part-time employees and 4 temporary employees at 31 December 2025, none covered by a collective bargaining agreement. By location, 56% worked in Washington, 20% in Oregon, 16% in California and 8% in other states. About 39% of the workforce worked hybrid or remote. Voluntary turnover in 2025 was 14.6%, and 22% of open positions were filled internally. The company runs a 12-month leadership development program, and its 401(k) plan includes an employer match of up to 4% of eligible earnings.

*From Banner's annual report on Form 10-K for the year ended 31 December 2025. [The filing](https://www.sec.gov/Archives/edgar/data/946673/000094667326000009/banr-20251231.htm)*

From the company's 10-K.