TULSA, OK / ACCESSWIRE / October 25, 2023 /

CEO Commentary

Stacy Kymes, president and chief executive officer, stated, "We recognized another solid quarter of earnings driven by our diverse business model, which prudently balances interest revenue with non-interest revenues and allows us to perform well in a multitude of business climates. Non-interest revenues now represent 40% of our total revenues. In addition, we continue to focus on opportunities for growth given the economic vitality of our core geographic footprint as we take advantage of our capital and liquidity strengths. We have increased loans almost 9% over the previous year and our core commercial and industrial loans are up 8% from last year. We're focused on investing in growth initiatives like our San Antonio expansion, which will drive long-term shareholder value. We have consistently proven that our business diversification coupled with our outstanding team outperforms against strong headwinds."

Third Quarter 2023 Financial Highlights
(Unless indicated otherwise, all comparisons are to the prior quarter)

Net income was $134.5 million or $2.04 per diluted share for the third quarter of 2023 compared to $151.3 million or $2.27 per diluted share for the second quarter of 2023.
Net interest revenue totaled $300.9 million, a decrease of $21.4 million compared to the prior quarter. Net interest margin was 2.69 percent compared to 3.00 percent. Growth in low-spread U.S. government agency residential mortgage-backed trading assets drove an 8 basis point decline in net interest margin with deposit repricing activity primarily driving the remaining 23 basis point reduction. For the third quarter of 2023, our core net interest margin excluding trading activities, a non-GAAP measure, was 3.14 percent compared to 3.36 percent in the prior quarter.
Fees and commissions revenue decreased $2.6 million to $197.9 million. Decreased brokerage and trading revenue and mortgage banking revenue were partially offset by increased other revenue.
Operating expense increased $5.6 million to $324.3 million. Personnel expense was relatively unchanged, while non-personnel expense increased $5.5 million, primarily due to higher occupancy and equipment costs and other expenses.
Other gains and losses, net decreased $11.1 million to $1.5 million. The prior quarter included gains on alternative investments, primarily attributable to merchant banking activity.
Period-end loans grew by $486 million to $23.7 billion at September 30, 2023, mostly driven by growth in commercial loans and commercial real estate loans secured by multifamily properties. Average outstanding loan balances were $23.4 billion, a $525 million increase.
The provision for credit losses of $7.0 million in the third quarter of 2023 reflects our continued loan growth and changes in our economic forecast. Net charge-offs were $6.5 million or 0.11 percent of average loans on an annualized basis in the third quarter. The resulting combined allowance for credit losses totaled $325 million or 1.37 percent of outstanding loans at September 30, 2023 compared to $323 million or 1.39 percent of outstanding loans at June 30, 2023.
Period-end deposits increased $358 million to $33.7 billion while average deposits increased $918 million to $33.3 billion. Average interest-bearing deposits increased $1.8 billion while average demand deposits declined by $840 million. The loan to deposit ratio was 70 percent at September 30, 2023, consistent with June 30, 2023.
The company's tangible common equity ratio, a non-GAAP measure, was 7.74 percent at September 30, 2023 and 7.79 percent at June 30, 2023. The tangible common equity ratio is primarily based on total shareholders' equity, which includes unrealized gains and losses on available for sale securities. Adjusted for all unrealized securities portfolio gains and losses, including those in the investment portfolio, the tangible common equity ratio would be 7.35 percent.
The company's common equity Tier 1 capital ratio was 12.06 percent at September 30, 2023. In addition, the company's Tier 1 capital ratio was 12.07 percent, total capital ratio was 13.16 percent, and leverage ratio was 9.52 percent at September 30, 2023. At June 30, 2023, the company's common equity Tier 1 capital ratio was 12.13 percent, Tier 1 capital ratio was 12.13 percent, total capital ratio was 13.24 percent, and leverage ratio was 9.75 percent.
The company repurchased 700,500 shares of common stock at an average price paid of $84.17 a share in the third quarter of 2023.

Third Quarter 2023 Segment Highlights

Commercial Banking contributed $157.9 million to net income in the third quarter of 2023, a decrease of $12.2 million compared to the second quarter of 2023. Combined net interest revenue and fee revenue decreased $7.5 million due to a shift in deposit balances from demand to interest-bearing transaction accounts combined with a decline in customer hedging revenue, primarily related to our energy customers. Net loans charged-off decreased $1.1 million to $4.9 million in the third quarter of 2023. Personnel expense increased $2.8 million, driven primarily by incentive compensation costs and market expansion. Non-personnel expense increased $1.5 million, led by the retirement of certain ATMs as we upgrade our network. The prior quarter included a gain on alternative investments of $8.1 million resulting from merchant banking activities. Average loans increased $486 million or 3 percent to $19.6 billion. Average deposits increased $276 million or 2 percent to $15.1 billion.
Consumer Banking contributed $58.0 million to net income in the third quarter of 2023, a decrease of $2.3 million compared the prior quarter. Combined net interest revenue and fee revenue decreased $2.4 million, largely due to a decrease in mortgage banking revenue from lower production volumes combined with narrowing margins and spread compression on residential mortgage loans. Operating expense increased $2.2 million. Average loans increased $50 million or 3 percent to $1.8 billion. Average deposits were mostly unchanged from the previous quarter.
Wealth Management contributed $43.0 million to net income in the third quarter of 2023, a decrease of $14.3 million compared to the second quarter of 2023. Combined net interest and fee revenue decreased $12.4 million, primarily due to declining spreads on loans and deposits. Total revenue from institutional trading activities decreased $4.4 million, largely related to our municipal bond trading activity. Investment banking revenue increased $4.7 million resulting from increased underwriting fees and financial advisory fees. Personnel expense increased $1.4 million due to growth in regular compensation from business expansion. Non-personnel expense increased $3.1 million, primarily due to ongoing technology project costs. Average loans were consistent with the prior quarter at $2.2 billion. Average deposits increased $343 million or 5 percent to $7.9 billion. Assets under management or administration were $99.0 billion, a decrease of $4.6 billion.

Net Interest Revenue

Net interest revenue was $300.9 million for the third quarter of 2023 compared to $322.3 million for the prior quarter. Net interest margin was 2.69 percent compared to 3.00 percent. Growth in low-spread trading assets drove an 8 basis point decline in net interest margin while deposit price competition and liability mix shift are the primary drivers of the the remaining 23 basis point decline. For the third quarter of 2023, our core net interest margin excluding trading activities, a non-GAAP measure, was 3.14 percent compared to 3.36 percent in the prior quarter.

Average earning assets increased $1.3 billion. Average trading securities grew $1.2 billion, spurred by favorable market opportunities for U.S. government agency residential mortgage-backed securities observed primarily throughout the second quarter and extending into the early part of the third quarter. Average loan balances increased $525 million, largely due to growth in commercial and commercial real estate loans. Average fair value option securities, held as an economic hedge of the changes in fair value of our mortgage servicing rights, decreased $204 million. Average available for sale securities decreased $108 million and average interest-bearing cash and cash equivalents decreased $110 million. Average interest-bearing deposits increased $1.8 billion. Average other borrowings increased $1.7 billion while funds purchased and repurchase agreements declined $972 million.

The yield on average earning assets was 5.49 percent, up 20 basis points. The loan portfolio yield increased 22 basis points to 7.25 percent while the yield on the available for sale securities portfolio increased 11 basis points to 3.11 percent. The yield on trading securities grew 26 basis points to 4.76 percent.

Funding costs were 3.81 percent, up 54 basis points. The cost of interest-bearing deposits increased 61 basis points to 3.17 percent. The cost of other borrowings was up 36 basis points to 5.48 percent while the cost of funds purchased and repurchase agreements increased 23 basis points to 4.81 percent. The benefit to net interest margin from assets funded by non-interest liabilities was 101 basis points, an increase of 3 basis points.

Fees and Commissions Revenue

Fees and commissions revenue totaled $197.9 million for the third quarter of 2023, a decrease of $2.6 million compared to the prior quarter.

Brokerage and trading revenue decreased $2.7 million, with a $2.5 million reduction in trading revenue, primarily related to our municipal bond trading activity, which was influenced by the rising interest rate environment and evolving market expectations during the third quarter. Customer hedging revenue decreased $6.8 million following a record high in the second quarter. Investment banking revenue grew $5.7 million, primarily related to underwriting fees and financial advisory fees produced by our Public and Corporate Finance group, which underwrites municipal bonds such as independent school districts.

Mortgage banking revenue decreased $1.8 million, largely due lower mortgage production and qualifying residential mortgage loans guaranteed by U.S. government agencies previously in forbearance that have been resold into GNMA pools following the applicable performance period specified by the programs. Mortgage production volume was down $30.1 million reflecting the rise in mortgage interest rates and continued low inventory in the housing market.

Other revenue increased $1.6 million, largely due to increased margin interest fees and letter of credit fees.

Operating Expense

Total operating expense was $324.3 million for the third quarter of 2023, an increase of $5.6 million compared to the second quarter of 2023.

Personnel expense was $190.8 million, consistent with the prior quarter. A $2.0 million increase in regular compensation due to business expansion was mostly offset by a decrease in employee benefits expense driven by seasonal declines in payroll taxes.

Non-personnel expense was $133.5 million, an increase of $5.5 million. Occupancy and equipment costs grew $2.5 million driven by the retirement of certain ATMs as we upgrade our network. Other expense increased $2.9 million, primarily due to an accrual for certain disputed matters. FDIC insurance expense also increased $1.0 million.

Loans, Deposits and Capital

Loans

Outstanding loans were $23.7 billion at September 30, 2023, growing $486 million over June 30, 2023, largely due to growth in commercial and commercial real estate loans. Unfunded loan commitments decreased $575 million compared to the second quarter of 2023 due primarily to the funding of existing commercial real estate loan commitments.

Outstanding commercial loan balances, which includes healthcare, services, energy and general business loans, increased $185 million over the prior quarter.

Healthcare sector loan balances increased $92 million, totaling $4.1 billion or 17 percent of total loans. Our healthcare sector loans primarily consist of $3.4 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, which serves to help diversify risks specific to a single facility.

General business loans increased $131 million to $3.6 billion or 15 percent of total loans. General business loans include $2.2 billion of wholesale/retail loans and $1.4 billion of loans from other commercial industries.

Services sector loan balances decreased $19 million to $3.6 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.

Energy loan balances decreased $18 million to $3.5 billion or 15 percent of total loans. 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 69 percent of committed production loans are secured by properties primarily producing oil. The remaining 31 percent is secured by properties primarily producing natural gas. Unfunded energy loan commitments were $4.1 billion at September 30, 2023, a $219 million decrease compared June 30, 2023.

Commercial real estate loan balances grew $270 million and represent 22 percent of total loans. Loans secured by multifamily properties increased $232 million to $1.7 billion. Loans secured by industrial facilities increased $83 million to $1.4 billion. This growth was partially offset by a $24 million decrease in loans secured by office facilities. Unfunded commercial real estate loan commitments were $2.0 billion at September 30, 2023, a decrease of $411 million compared to June 30, 2023. We take a disciplined approach to managing our concentration of commercial real estate loan commitments as a percentage of Tier 1 Capital. While loan commitments are presently near the upper internal concentration limit, we expect continued modest growth in our commercial real estate balances as loans fund, primarily in the multifamily and industrial loan portfolios.

Loans to individuals increased $31 million and represent 16 percent of total loans. Residential mortgage loans increased $72 million while personal loans decreased $42 million.

Liquidity and Capital

Our funding sources, which primarily include deposits and borrowings from the Federal Home Loan Banks, provide adequate liquidity to meet our needs. The loan to deposit ratio was 70 percent at September 30, 2023, consistent with the prior quarter, providing significant on-balance sheet liquidity to meet future loan demand and contractual obligations.

Period-end deposits totaled $33.7 billion at September 30, 2023, a $358 million increase. Interest-bearing transaction account balances increased $989 million while time deposits increased $221 million. Demand deposits decreased $808 million. We do not rely on brokered certificates of deposit as a significant source of funding. Time deposits included $688 million of brokered certificates of deposit, a $72 million decrease compared to June 30, 2023.

Average deposits were $33.3 billion at September 30, 2023, a $918 million increase. Average interest-bearing transaction account balances increased $1.0 billion and average time deposits increased $764 million. Average demand deposit account balances decreased $840 million. Average Commercial Banking deposits increased $276 million to $15.1 billion or 45 percent of total deposits. Our commercial deposit portfolio is highly diversified across industries and customers. The highest concentration by industry within our commercial deposit portfolio is with our energy customers representing 6 percent of our total deposits. Wealth Management deposits increased $343 million to $7.9 billion or 24 percent of total deposits. Consumer Banking deposits decreased $50 million to $7.9 billion or 24 percent of total deposits.

The company's common equity Tier 1 capital ratio was 12.06 percent at September 30, 2023. In addition, the company's Tier 1 capital ratio was 12.07 percent, total capital ratio was 13.16 percent, and leverage ratio was 9.52 percent at September 30, 2023. At the beginning of 2020, we 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. This election added 6 basis points to the company's common equity tier 1 capital ratio at September 30, 2023. At June 30, 2023, the company's common equity Tier 1 capital ratio was 12.13 percent, Tier 1 capital ratio was 12.13 percent, total capital ratio was 13.24 percent, and leverage ratio was 9.75 percent.

The company's tangible common equity ratio, a non-GAAP measure, was 7.74 percent at September 30, 2023 and 7.79 percent at June 30, 2023. The tangible common equity ratio is primarily based on total shareholders' equity, which includes unrealized gains and losses on available for sale securities. Adjusted for all unrealized securities portfolio gains and losses, including those in the investment portfolio, the tangible common equity ratio would be 7.35 percent. 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 700,500 shares of common stock at an average price paid of $84.17 a share in the third quarter of 2023. We view share buybacks opportunistically, but within the context of maintaining our strong capital position.

Credit Quality

Nonperforming assets totaled $123 million or 0.52 percent of outstanding loans and repossessed assets at September 30, 2023, compared to $136 million or 0.59 percent at June 30, 2023. Excluding loans guaranteed by U.S. government agencies, nonperforming assets totaled $113 million or 0.48 percent of outstanding loans and repossessed assets at September 30, 2023, compared to $125 million or 0.54 percent at June 30, 2023.

Nonaccruing loans decreased $13 million compared to June 30, 2023. New nonaccruing loans identified in the third quarter totaled $11 million, offset by $12 million in payments received and $11 million of charge-offs. Nonaccruing commercial real estate loans decreased $10 million and nonaccruing general business loans decreased $5.5 million, partially offset by a $5.1 million increase in nonaccruing healthcare loans.

Net charge-offs were $6.5 million or 0.11 percent of average loans on an annualized basis in the third quarter. Charge-offs for the third quarter were primarily composed of a $4.6 million general business loan, a $2.2 million commercial real estate loan and a $1.5 million services loan.

The provision for credit losses of $7.0 million in the third quarter of 2023 reflects continued loan growth and changes in our economic forecast. The provision for credit losses was $17.0 million in the second quarter of 2023.

At September 30, 2023, the combined allowance for loan losses and accrual for off-balance sheet credit risk from unfunded loan commitments was $325 million or 1.37 percent of outstanding loans and 298 percent of nonaccruing loans.

Securities and Derivatives

The fair value of the available for sale securities portfolio totaled $11.9 billion at September 30, 2023, largely unchanged compared to June 30, 2023. At September 30, 2023, the available for sale securities portfolio consisted primarily of $6.2 billion of residential mortgage-backed securities fully backed by U.S. government agencies and $4.5 billion of commercial mortgage-backed securities fully backed by U.S. government agencies. At September 30, 2023, the available for sale securities portfolio had a net unrealized loss of $1.0 billion compared to $899 million at June 30, 2023.

We hold an inventory of trading securities in support of sales to a variety of customers. At September 30, 2023, the trading securities portfolio totaled $4.7 billion compared to $5.4 billion at June 30, 2023.

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 $192 million to $20 million at September 30, 2023.

Derivative contracts are carried at fair value. At September 30, 2023, the net fair values of derivative contracts, before consideration of cash margin, reported as assets under our customer derivative programs totaled $594 million compared to $538 million at June 30, 2023. The aggregate net fair value of derivative contracts, before consideration of cash margin, held under these programs reported as liabilities totaled $582 million at September 30, 2023 and $526 million at June 30, 2023.

The net cost of the changes in the fair value of mortgage servicing rights and related economic hedges was $1.3 million during the third quarter of 2023, including a $9.2 million decrease in the fair value of securities and derivative contracts held as an economic hedge, an $8.0 million increase in the fair value of mortgage servicing rights and $112 thousand of related net interest expense.

Conference Call and Webcast

The company will hold a conference call at 9 a.m. Central time on Wednesday, October 25, 2023 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 1-844-512-2921 and referencing conference ID # 13741617.

About BOK Financial Corporation

BOK Financial Corporation is a $49 billion regional financial services company headquartered in Tulsa, Oklahoma with $99 billion in assets under management or 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's holdings include TransFund, Cavanal Hill Investment Management, Inc. 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, Connecticut and Tennessee. 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 September 30, 2023 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 and the economy generally. 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, 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)

	Sep. 30, 2023			June 30, 2023
ASSETS
Cash and due from banks	$	854,161		$	875,714
Interest-bearing cash and cash equivalents		520,774			571,616
Trading securities		4,748,101			5,442,364
Investment securities, net of allowance		2,298,418			2,374,071
Available for sale securities		11,906,647			11,938,523
Fair value option securities		20,215			212,321
Restricted equity securities		435,112			330,086
Residential mortgage loans held for sale		72,489			94,820
Loans:
Commercial		14,719,839			14,534,516
Commercial real estate		5,241,300			4,970,801
Loans to individuals		3,762,879			3,732,342
Total loans		23,724,018			23,237,659
Allowance for loan losses		(272,114	)		(262,714	)
Loans, net of allowance		23,451,904			22,974,945
Premises and equipment, net		616,439			617,918
Receivables		255,164			263,915
Goodwill		1,044,749			1,044,749
Intangible assets, net		65,804			69,246
Mortgage servicing rights		311,382			304,722
Real estate and other repossessed assets, net		3,753			4,227
Derivative contracts, net		546,109			353,037
Cash surrender value of bank-owned life insurance		406,623			411,084
Receivable on unsettled securities sales		28,707			133,909
Other assets		1,344,846			1,220,653
TOTAL ASSETS	$	48,931,397		$	49,237,920

LIABILITIES AND EQUITY
Deposits:
Demand	$	9,974,223		$	10,782,548
Interest-bearing transaction		19,897,179			18,907,981
Savings		853,933			897,937
Time		2,927,217			2,706,377
Total deposits		33,652,552			33,294,843
Funds purchased and repurchase agreements		2,722,998			5,446,864
Other borrowings		6,201,644			3,777,056
Subordinated debentures		131,152			131,154
Accrued interest, taxes and expense		244,105			228,797
Due on unsettled securities purchases		235,473			400,430
Derivative contracts, net		403,947			550,653
Other liabilities		522,318			540,726
TOTAL LIABILITIES		44,114,189			44,370,523
Shareholders' equity:
Capital, surplus and retained earnings		5,743,004			5,700,526
Accumulated other comprehensive loss		(928,985	)		(836,672	)
TOTAL SHAREHOLDERS' EQUITY		4,814,019			4,863,854
Non-controlling interests		3,189			3,543
TOTAL EQUITY		4,817,208			4,867,397
TOTAL LIABILITIES AND EQUITY	$	48,931,397		$	49,237,920

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

	Three Months Ended
	Sep. 30, 2023			June 30, 2023			Mar. 31, 2023			Dec. 31, 2022			Sep. 30, 2022
ASSETS
Interest-bearing cash and cash equivalents	$	598,734		$	708,475		$	616,596		$	568,307		$	748,263
Trading securities		5,444,587			4,274,803			3,031,969			3,086,985			3,178,068
Investment securities, net of allowance		2,331,595			2,408,122			2,473,796			2,535,305			2,593,989
Available for sale securities		11,925,800			12,033,597			11,738,693			10,953,851			10,306,257
Fair value option securities		41,741			245,469			300,372			92,012			36,846
Restricted equity securities		445,532			351,944			316,724			216,673			173,656
Residential mortgage loans held for sale		77,208			72,959			65,769			98,613			132,685
Loans:
Commercial		14,527,676			14,316,474			14,046,237			13,846,339			13,508,325
Commercial real estate		5,172,876			4,896,230			4,757,362			4,488,091			4,434,650
Loans to individuals		3,713,756			3,676,350			3,672,648			3,641,574			3,656,257
Total loans		23,414,308			22,889,054			22,476,247			21,976,004			21,599,232
Allowance for loan losses		(267,205	)		(252,890	)		(238,909	)		(242,450	)		(241,136	)
Loans, net of allowance		23,147,103			22,636,164			22,237,338			21,733,554			21,358,096
Total earning assets		44,012,300			42,731,533			40,781,257			39,285,300			38,527,860
Cash and due from banks		799,291			875,280			857,771			865,796			821,801
Derivative contracts, net		412,707			410,793			546,018			1,239,717			2,019,905
Cash surrender value of bank-owned life insurance		408,295			409,313			408,124			406,826			410,667
Receivable on unsettled securities sales		268,344			163,903			177,312			194,996			219,113
Other assets		3,418,615			3,317,285			3,211,986			3,216,983			3,119,856
TOTAL ASSETS	$	49,319,552		$	47,908,107		$	45,982,468		$	45,209,618		$	45,119,202

LIABILITIES AND EQUITY
Deposits:
Demand	$	10,157,821		$	10,998,201		$	12,406,408		$	14,176,189		$	15,105,305
Interest-bearing transaction		19,415,599			18,368,592			18,639,900			18,898,315			19,556,806
Savings		874,530			926,882			958,443			969,275			978,596
Time		2,839,947			2,076,037			1,477,720			1,417,606			1,409,069
Total deposits		33,287,897			32,369,712			33,482,471			35,461,385			37,049,776
Funds purchased and repurchase agreements		2,699,027			3,670,994			1,759,237			1,046,447			800,759
Other borrowings		6,968,309			5,275,291			4,512,280			2,523,195			1,528,887
Subordinated debentures		131,151			131,153			131,166			131,180			131,199
Derivative contracts, net		429,989			576,558			428,023			445,105			105,221
Due on unsettled securities purchases		435,927			436,353			316,738			575,957			331,428
Other liabilities		461,686			503,134			511,530			408,029			396,510
TOTAL LIABILITIES		44,413,986			42,963,195			41,141,445			40,591,298			40,343,780
Total equity		4,905,566			4,944,912			4,841,023			4,618,320			4,775,422
TOTAL LIABILITIES AND EQUITY	$	49,319,552		$	47,908,107		$	45,982,468		$	45,209,618		$	45,119,202

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

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2023			2022			2023			2022

Interest revenue	$	617,044		$	363,150		$	1,704,140		$	940,496
Interest expense		316,148			46,825			728,635			81,742
Net interest revenue		300,896			316,325			975,505			858,754
Provision for credit losses		7,000			15,000			40,000			15,000
Net interest revenue after provision for credit losses		293,896			301,325			935,505			843,754
Other operating revenue:
Brokerage and trading revenue		62,312			61,006			179,714			77,970
Transaction card revenue		26,387			25,974			78,011			77,130
Fiduciary and asset management revenue		52,256			50,190			155,910			146,427
Deposit service charges and fees		27,676			28,703			80,744			84,207
Mortgage banking revenue		13,356			11,282			42,864			39,300
Other revenue		15,865			15,479			47,085			38,608
Total fees and commissions		197,852			192,634			584,328			463,642
Other gains (losses), net		1,474			979			16,343			(8,304	)
Loss on derivatives, net		(9,010	)		(17,009	)		(18,513	)		(77,559	)
Loss on fair value option securities, net		(203	)		(4,368	)		(5,323	)		(17,790	)
Change in fair value of mortgage servicing rights		8,039			16,570			11,241			83,165
Gain (loss) on available for sale securities, net		-			892			(3,010	)		3,017
Total other operating revenue		198,152			189,698			585,066			446,171
Other operating expense:
Personnel		190,791			170,348			563,588			484,499
Business promotion		6,958			6,127			23,167			18,965
Charitable contributions to BOKF Foundation		23			-			1,165			-
Professional fees and services		13,224			14,089			39,049			37,977
Net occupancy and equipment		32,583			29,296			91,147			87,640
Insurance		7,996			4,306			22,285			13,317
Data processing and communications		45,672			41,743			135,781			122,859
Printing, postage and supplies		3,760			4,349			11,381			11,967
Amortization of intangible assets		3,474			3,943			10,339			11,956
Mortgage banking costs		8,357			9,504			22,439			26,818
Other expense		11,475			11,046			28,457			30,026
Total other operating expense		324,313			294,751			948,798			846,024

Net income before taxes		167,735			196,272			571,773			443,901
Federal and state income taxes		33,256			39,681			123,162			92,000

Net income		134,479			156,591			448,611			351,901
Net income (loss) attributable to non-controlling interests		(16	)		81			440			57
Net income attributable to BOK Financial Corporation shareholders	$	134,495		$	156,510		$	448,171		$	351,844

Average shares outstanding:
Basic		65,548,307			67,003,199			65,955,294			67,409,789
Diluted		65,548,307			67,004,623			65,955,294			67,411,222

Net income per share:
Basic	$	2.04		$	2.32		$	6.74		$	5.18
Diluted	$	2.04		$	2.32		$	6.74		$	5.18

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

	Three Months Ended
	Sep. 30, 2023			June 30, 2023			Mar. 31, 2023			Dec. 31, 2022			Sep. 30, 2022

Interest revenue	$	617,044		$	570,367		$	516,729		$	451,606		$	363,150
Interest expense		316,148			248,106			164,381			98,980			46,825
Net interest revenue		300,896			322,261			352,348			352,626			316,325
Provision for credit losses		7,000			17,000			16,000			15,000			15,000
Net interest revenue after provision for credit losses		293,896			305,261			336,348			337,626			301,325
Other operating revenue:
Brokerage and trading revenue		62,312			65,006			52,396			63,008			61,006
Transaction card revenue		26,387			26,003			25,621			27,136			25,974
Fiduciary and asset management revenue		52,256			52,997			50,657			49,899			50,190
Deposit service charges and fees		27,676			27,100			25,968			26,429			28,703
Mortgage banking revenue		13,356			15,141			14,367			10,065			11,282
Other revenue		15,865			14,250			16,970			17,034			15,479
Total fees and commissions		197,852			200,497			185,979			193,571			192,634
Other gains (losses), net		1,474			12,618			2,251			8,427			979
Gain (loss) on derivatives, net		(9,010	)		(8,159	)		(1,344	)		4,548			(17,009	)
Loss on fair value option securities, net		(203	)		(2,158	)		(2,962	)		(2,568	)		(4,368	)
Change in fair value of mortgage servicing rights		8,039			9,261			(6,059	)		(2,904	)		16,570
Gain (loss) on available for sale securities, net		-			(3,010	)		-			(3,988	)		892
Total other operating revenue		198,152			209,049			177,865			197,086			189,698
Other operating expense:
Personnel		190,791			190,652			182,145			186,419			170,348
Business promotion		6,958			7,640			8,569			7,470			6,127
Charitable contributions to BOKF Foundation		23			1,142			-			2,500			-
Professional fees and services		13,224			12,777			13,048			18,365			14,089
Net occupancy and equipment		32,583			30,105			28,459			29,227			29,296
Insurance		7,996			6,974			7,315			4,677			4,306
Data processing and communications		45,672			45,307			44,802			43,048			41,743
Printing, postage and supplies		3,760			3,728			3,893			3,890			4,349
Amortization of intangible assets		3,474			3,474			3,391			3,736			3,943
Mortgage banking costs		8,357			8,300			5,782			9,016			9,504
Other expense		11,475			8,574			8,408			10,108			11,046
Total other operating expense		324,313			318,673			305,812			318,456			294,751
Net income before taxes		167,735			195,637			208,401			216,256			196,272
Federal and state income taxes		33,256			44,001			45,905			47,864			39,681
Net income		134,479			151,636			162,496			168,392			156,591
Net income (loss) attributable to non-controlling interests		(16	)		328			128			(37	)		81
Net income attributable to BOK Financial Corporation shareholders	$	134,495		$	151,308		$	162,368		$	168,429		$	156,510

Average shares outstanding:
Basic		65,548,307			65,994,132			66,331,775			66,627,955			67,003,199
Diluted		65,548,307			65,994,132			66,331,775			66,627,955			67,004,623
Net income per share:
Basic	$	2.04		$	2.27		$	2.43		$	2.51		$	2.32
Diluted	$	2.04		$	2.27		$	2.43		$	2.51		$	2.32

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

	Three Months Ended
	Sep. 30, 2023			June 30, 2023			Mar. 31, 2023			Dec. 31, 2022			Sep. 30, 2022
Capital:
Period-end shareholders' equity	$	4,814,019		$	4,863,854		$	4,874,786		$	4,682,649		$	4,509,934
Risk weighted assets	$	38,791,023		$	38,218,164		$	37,192,197		$	38,142,231		$	36,866,994
Risk-based capital ratios:
Common equity tier 1		12.06	%		12.13	%		12.19	%		11.69	%		11.80	%
Tier 1		12.07	%		12.13	%		12.20	%		11.71	%		11.82	%
Total capital		13.16	%		13.24	%		13.21	%		12.67	%		12.81	%
Leverage ratio		9.52	%		9.75	%		9.94	%		9.91	%		9.76	%
Tangible common equity ratio¹		7.74	%		7.79	%		8.46	%		7.63	%		7.96	%
Adjusted tangible common equity ratio¹		7.35	%		7.49	%		8.22	%		7.36	%		7.66	%

Common stock:
Book value per share	$	73.31		$	73.28		$	73.19		$	69.93		$	67.06
Tangible book value per share	$	56.40		$	56.50		$	56.42		$	53.19		$	50.34
Market value per share:
High	$	92.41		$	90.91		$	106.47		$	110.28		$	95.51
Low	$	77.61		$	74.40		$	80.00		$	88.46		$	69.82
Cash dividends paid	$	35,655		$	35,879		$	36,006		$	36,188		$	35,661
Dividend payout ratio		26.51	%		23.71	%		22.18	%		21.49	%		22.79	%
Shares outstanding, net		65,664,840			66,369,208			66,600,833			66,958,634			67,254,383
Stock buy-back program:
Shares repurchased		700,500			266,000			447,071			314,406			548,034
Amount	$	58,961		$	22,366		$	44,100		$	32,429		$	49,980
Average price paid per share²	$	84.17		$	84.08		$	98.64		$	103.14		$	91.20

Performance ratios (quarter annualized):
Return on average assets		1.08	%		1.27	%		1.43	%		1.48	%		1.38	%
Return on average equity		10.88	%		12.28	%		13.61	%		14.48	%		13.01	%
Return on average tangible common equity¹		14.08	%		15.86	%		17.71	%		19.14	%		17.04	%
Net interest margin		2.69	%		3.00	%		3.45	%		3.54	%		3.24	%
Efficiency ratio^1,3		64.01	%		58.75	%		56.79	%		56.61	%		57.33	%

Other data:
Tax equivalent interest	$	2,214		$	2,200		$	2,285		$	2,287		$	2,163
Net unrealized loss on available for sale securities	$	(1,034,520	)	$	(898,906	)	$	(741,508	)	$	(865,553	)	$	(935,788	)

Mortgage banking:
Mortgage production revenue	$	(1,887	)	$	(284	)	$	(633	)	$	(3,983	)	$	(2,406	)

Mortgage loans funded for sale	$	173,727		$	214,785		$	138,624		$	141,090		$	260,210
Add: current period-end outstanding commitments		49,284			55,031			71,693			45,492			75,779
Less: prior period end outstanding commitments		55,031			71,693			45,492			75,779			106,004
Total mortgage production volume	$	167,980		$	198,123		$	164,825		$	110,803		$	229,985

Mortgage loan refinances to mortgage loans funded for sale		9	%		8	%		9	%		10	%		10	%
Realized margin on funded mortgage loans		(0.94)	%		(0.14)	%		(1.25)	%		(1.10)	%		(0.41)	%
Production revenue as a percentage of production volume		(1.12)	%		(0.14)	%		(0.38)	%		(3.59)	%		(1.05)	%

Mortgage servicing revenue	$	15,243		$	15,425		$	15,000		$	14,048		$	13,688
Average outstanding principal balance of mortgage loans serviced for others		20,719,116			20,807,044			21,121,319			18,923,078			19,070,221
Average mortgage servicing revenue rates		0.29	%		0.30	%		0.29	%		0.29	%		0.28	%

Gain (loss) on mortgage servicing rights, net of economic hedge:
Gain (loss) on mortgage hedge derivative contracts, net	$	(8,980	)	$	(8,099	)	$	(1,711	)	$	4,373		$	(17,027	)
Loss on fair value option securities, net		(203	)		(2,158	)		(2,962	)		(2,568	)		(4,368	)
Gain (loss) on economic hedge of mortgage servicing rights		(9,183	)		(10,257	)		(4,673	)		1,805			(21,395	)
Gain (loss) on changes in fair value of mortgage servicing rights		8,039			9,261			(6,059	)		(2,904	)		16,570
Gain (loss) on changes in fair value of mortgage servicing rights, net of economic hedges, included in other operating revenue		(1,144	)		(996	)		(10,732	)		(1,099	)		(4,825	)
Net interest revenue (expense) on fair value option securities⁴		(112	)		(232	)		187			(118	)		29
Total economic benefit (cost) of changes in the fair value of mortgage servicing rights, net of economic hedges	$	(1,256	)	$	(1,228	)	$	(10,545	)	$	(1,217	)	$	(4,796	)

¹See Reconciliation of Non-GAAP Measures following.

²Excludes 1 percent excise tax on corporate stock repurchases.

³ Prior period ratios have been adjusted to be consistent with the current period presentation.

⁴Actual interest earned on fair value option securities less internal transfer-priced cost of funds.

EXPLANATION AND RECONCILIATION OF NON-GAAP MEASURES - UNAUDITED
BOK FINANCIAL CORPORATION
(in thousands, except ratio and share data)

	Three Months Ended
	Sep. 30, 2023			June 30, 2023			Mar. 31, 2023			Dec. 31, 2022			Sep. 30, 2022
Reconciliation of tangible common equity ratio and adjusted tangible common equity ratio:
Total shareholders' equity	$	4,814,019		$	4,863,854		$	4,874,786		$	4,682,649		$	4,509,934
Less: Goodwill and intangible assets, net		1,110,553			1,113,995			1,117,438			1,120,880			1,124,582
Tangible common equity		3,703,466			3,749,859			3,757,348			3,561,769			3,385,352
Add: Unrealized gain (loss) on investment securities, net		(246,395	)		(189,152	)		(140,947	)		(167,477	)		(165,206	)
Add: Tax effect on unrealized gain (loss) on investment securities, net		57,949			44,486			33,149			39,196			38,665
Adjusted tangible common equity	$	3,515,020		$	3,605,193		$	3,649,550		$	3,433,488		$	3,258,811

Total assets	$	48,931,397		$	49,237,920		$	45,524,122		$	47,790,642		$	43,645,446
Less: Goodwill and intangible assets, net		1,110,553			1,113,995			1,117,438			1,120,880			1,124,582
Tangible assets	$	47,820,844		$	48,123,925		$	44,406,684		$	46,669,762		$	42,520,864

Tangible common equity ratio		7.74	%		7.79	%		8.46	%		7.63	%		7.96	%

Adjusted tangible common equity ratio		7.35	%		7.49	%		8.22	%		7.36	%		7.66	%

Reconciliation of return on average tangible common equity:
Total average shareholders' equity	$	4,902,119		$	4,941,352		$	4,837,567		$	4,613,929		$	4,771,123
Less: Average goodwill and intangible assets, net		1,112,217			1,115,652			1,119,123			1,122,680			1,126,440
Average tangible common equity	$	3,789,902		$	3,825,700		$	3,718,444		$	3,491,249		$	3,644,683

Net Income		134,495			151,308			162,368			168,429			156,510

Return on average tangible common equity		14.08	%		15.86	%		17.71	%		19.14	%		17.04	%

Reconciliation of pre-provision net revenue:
Net income before taxes	$	167,735		$	195,637		$	208,401		$	216,256		$	196,272
Provision for expected credit losses		7,000			17,000			16,000			15,000			15,000
Net income (loss) attributable to non-controlling interests		(16	)		328			128			(37	)		81
Pre-provision net revenue	$	174,751		$	212,309		$	224,273		$	231,293		$	211,191

Calculation of efficiency ratio:
Total other operating expense	$	324,313		$	318,673		$	305,812		$	318,456		$	294,751
Less: Amortization of intangible assets		3,474			3,474			3,391			3,736			3,943
Adjusted total other operating expense	$	320,839		$	315,199		$	302,421		$	314,720		$	290,808

Net interest revenue	$	300,896		$	322,261		$	352,348		$	352,626		$	316,325
Tax-equivalent adjustment		2,214			2,200			2,285			2,287			2,163
Tax-equivalent net interest revenue		303,110			324,461			354,633			354,913			318,488
Total other operating revenue		198,152			209,049			177,865			197,086			189,698
Less: Gain (loss) on available for sale securities, net		-			(3,010	)		-			(3,988	)		892
Adjusted revenue	$	501,262		$	536,520		$	532,498		$	555,987		$	507,294

Efficiency ratio		64.01	%		58.75	%		56.79	%		56.61	%		57.33	%

Information on net interest revenue and net interest margin excluding trading activities:
Net interest revenue	$	300,896		$	322,261		$	352,348		$	352,626		$	316,325
Less: Trading activities net interest revenue		(7,343	)		(3,461	)		70			(860	)		4,478
Net interest revenue excluding trading activities		308,239			325,722			352,278			353,486			311,847
Tax-equivalent adjustment		2,214			2,200			2,285			2,287			2,163
Tax-equivalent net interest revenue excluding trading activities	$	310,453		$	327,922		$	354,563		$	355,773		$	314,010

Average total earning assets	$	44,012,300		$	42,731,533		$	40,781,257		$	39,285,300		$	38,527,860
Less: Average trading activities interest-earning assets		5,444,587			4,274,803			3,031,969			3,086,985			3,178,068
Average interest-earning assets excluding trading activities	$	38,567,713		$	38,456,730		$	37,749,288		$	36,198,315		$	35,349,792

Net interest margin on average interest-earning assets		2.69	%		3.00	%		3.45	%		3.54	%		3.24	%
Net interest margin on average trading activities interest-earning assets		(0.49)	%		(0.34)	%		-	%		(0.12)	%		0.53	%
Net interest margin on average interest-earning assets excluding trading activities		3.14	%		3.36	%		3.72	%		3.84	%		3.49	%

Explanation of Non-GAAP Measures

The tangible common equity ratio and return on average tangible common equity are primarily based on total shareholders' equity, which includes unrealized gains and losses on available for sale securities, less intangible assets and equity that does not benefit common shareholders. The adjusted tangible common equity ratio also includes unrealized gains and losses on the investment portfolio. These measures are valuable indicators of a financial institution's capital strength since they eliminate intangible assets from shareholders' equity and retain the effect of unrealized losses on securities and other components of accumulated other comprehensive income in shareholders' equity.

Pre-provision net revenue is a measure of revenue less expenses, and is calculated before provision for credit losses and income tax expense. This financial measure is frequently used by investors and analysts and enables them to assess a company's ability to generate earnings to cover credit losses through a credit cycle. It also provides an additional basis for comparing the results of operations between periods by isolating the impact of the provision for credit losses, which can vary significantly between periods.

The efficiency ratio measures the Company's ability to use its assets and manage its liabilities effectively in the current period. Prior to the second quarter of 2023, the efficiency ratio did not exclude amortization of intangible assets and only included tax-equivalent net interest revenue and fees and commissions as part of total revenue. All prior periods were adjusted to conform with the current methodology.

Net interest revenue and net interest margin excluding trading activities removes the effect of trading activities on these metrics allowing management and investors to assess the performance of the Company's core lending and deposit activities without the associated volatility from trading activities.

LOANS TREND - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands)

	Sep. 30, 2023		June 30, 2023		Mar. 31, 2023		Dec. 31, 2022		Sep. 30, 2022
Commercial:
Healthcare	$	4,083,134	$	3,991,387	$	3,899,341	$	3,845,017	$	3,826,623
Services		3,566,361		3,585,169		3,563,702		3,431,521		3,280,925
Energy		3,490,602		3,508,752		3,398,057		3,424,790		3,371,588
General business		3,579,742		3,449,208		3,356,249		3,511,171		3,148,783
Total commercial		14,719,839		14,534,516		14,217,349		14,212,499		13,627,919

Commercial real estate:
Multifamily		1,734,688		1,502,971		1,363,881		1,212,883		1,126,700
Industrial		1,432,629		1,349,709		1,309,435		1,221,501		1,103,905
Office		981,876		1,005,660		1,045,700		1,053,331		1,086,615
Retail		608,073		617,886		618,264		620,518		635,021
Residential construction and land development		100,465		106,370		102,828		95,684		91,690
Other commercial real estate		383,569		388,205		375,208		402,860		429,980
Total commercial real estate		5,241,300		4,970,801		4,815,316		4,606,777		4,473,911

Loans to individuals:
Residential mortgage		2,090,992		1,993,690		1,926,027		1,890,784		1,851,836
Residential mortgages guaranteed by U.S. government agencies		161,092		186,170		224,753		245,940		262,466
Personal		1,510,795		1,552,482		1,566,608		1,601,150		1,574,325
Total loans to individuals		3,762,879		3,732,342		3,717,388		3,737,874		3,688,627

Total	$	23,724,018	$	23,237,659	$	22,750,053	$	22,557,150	$	21,790,457

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

	Sep. 30, 2023		June 30, 2023		Mar. 31, 2023		Dec. 31, 2022		Sep. 30, 2022

Texas:
Commercial	$	7,249,963	$	7,223,820	$	7,103,166	$	6,878,618	$	6,644,890
Commercial real estate		1,873,477		1,748,796		1,675,831		1,555,508		1,448,590
Loans to individuals		961,299		974,911		992,343		982,700		970,459
Total Texas		10,084,739		9,947,527		9,771,340		9,416,826		9,063,939

Oklahoma:
Commercial		3,384,627		3,251,547		3,178,934		3,382,577		3,108,608
Commercial real estate		601,087		573,559		574,708		582,109		608,856
Loans to individuals		2,100,974		2,079,311		2,049,472		2,077,124		2,054,362
Total Oklahoma		6,086,688		5,904,417		5,803,114		6,041,810		5,771,826

Colorado:
Commercial		2,219,460		2,179,473		2,148,066		2,149,199		2,117,181
Commercial real estate		710,552		683,973		646,537		613,912		565,057
Loans to individuals		227,569		223,200		231,368		241,902		237,981
Total Colorado		3,157,581		3,086,646		3,025,971		3,005,013		2,920,219

Arizona:
Commercial		1,173,491		1,177,778		1,115,973		1,124,289		1,103,000
Commercial real estate		1,014,151		926,750		881,465		860,947		850,319
Loans to individuals		260,282		242,102		240,556		229,872		225,981
Total Arizona		2,447,924		2,346,630		2,237,994		2,215,108		2,179,300

Kansas/Missouri:
Commercial		307,725		309,148		318,782		310,715		307,456
Commercial real estate		547,708		516,299		489,951		479,968		466,955
Loans to individuals		132,137		138,960		129,580		131,307		125,039
Total Kansas/Missouri		987,570		964,407		938,313		921,990		899,450

New Mexico:
Commercial		297,714		287,443		280,945		263,349		258,754
Commercial real estate		405,989		425,472		449,715		417,008		426,367
Loans to individuals		69,418		64,803		65,770		67,163		68,095
Total New Mexico		773,121		777,718		796,430		747,520		753,216

Arkansas:
Commercial		86,859		105,307		71,483		103,752		88,030
Commercial real estate		88,336		95,952		97,109		97,325		107,767
Loans to individuals		11,200		9,055		8,299		7,806		6,710
Total Arkansas		186,395		210,314		176,891		208,883		202,507

TOTAL BOK FINANCIAL	$	23,724,018	$	23,237,659	$	22,750,053	$	22,557,150	$	21,790,457

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)

	Sep. 30, 2023		June 30, 2023		Mar. 31, 2023		Dec. 31, 2022		Sep. 30, 2022
Oklahoma:
Demand	$	4,019,019	$	4,273,136	$	4,369,944	$	4,585,963	$	5,143,405
Interest-bearing:
Transaction		9,970,955		9,979,534		9,468,100		9,475,528		9,619,419
Savings		508,619		531,536		564,829		555,407		558,256
Time		2,019,749		1,945,916		942,787		794,002		776,306
Total interest-bearing		12,499,323		12,456,986		10,975,716		10,824,937		10,953,981
Total Oklahoma		16,518,342		16,730,122		15,345,660		15,410,900		16,097,386

Texas:
Demand		2,599,998		2,876,568		3,154,789		3,873,759		4,609,255
Interest-bearing:
Transaction		5,046,288		4,532,093		4,366,932		4,878,482		4,781,920
Savings		154,863		162,704		175,012		178,356		179,049
Time		436,218		377,424		321,774		356,538		343,015
Total interest-bearing		5,637,369		5,072,221		4,863,718		5,413,376		5,303,984
Total Texas		8,237,367		7,948,789		8,018,507		9,287,135		9,913,239

Colorado:
Demand		1,598,622		1,726,130		1,869,194		2,462,891		2,510,179
Interest-bearing:
Transaction		1,888,026		1,825,295		2,126,435		2,123,218		2,221,796
Savings		63,129		66,968		72,548		77,961		80,542
Time		185,030		148,840		128,583		135,043		151,064
Total interest-bearing		2,136,185		2,041,103		2,327,566		2,336,222		2,453,402
Total Colorado		3,734,807		3,767,233		4,196,760		4,799,113		4,963,581

New Mexico:
Demand		853,571		912,218		997,364		1,141,958		1,296,410
Interest-bearing:
Transaction		1,049,903		712,541		674,328		691,915		717,492
Savings		97,753		102,729		111,771		112,430		113,056
Time		217,535		179,548		137,875		133,625		142,856
Total interest-bearing		1,365,191		994,818		923,974		937,970		973,404
Total New Mexico		2,218,762		1,907,036		1,921,338		2,079,928		2,269,814

Arizona:
Demand		522,142		592,144		780,051		844,327		903,296
Interest-bearing:
Transaction		903,535		800,970		687,527		739,628		788,142
Savings		12,340		14,489		16,993		16,496		18,258
Time		36,689		31,248		27,755		24,846		26,704
Total interest-bearing		952,564		846,707		732,275		780,970		833,104
Total Arizona		1,474,706		1,438,851		1,512,326		1,625,297		1,736,400

Kansas/Missouri:
Demand		351,236		363,534		393,321		436,259		479,459
Interest-bearing:
Transaction		981,091		1,014,247		1,040,009		694,163		747,981
Savings		14,331		16,316		18,292		20,678		19,375
Time		22,437		16,176		13,061		12,963		13,258
Total interest-bearing		1,017,859		1,046,739		1,071,362		727,804		780,614
Total Kansas/Missouri		1,369,095		1,410,273		1,464,683		1,164,063		1,260,073

Arkansas:
Demand		29,635		38,818		42,312		50,180		43,111
Interest-bearing:
Transaction		57,381		43,301		71,158		56,181		123,273
Savings		2,898		3,195		3,228		3,083		3,098
Time		9,559		7,225		4,775		4,825		5,940
Total interest-bearing		69,838		53,721		79,161		64,089		132,311
Total Arkansas		99,473		92,539		121,473		114,269		175,422

TOTAL BOK FINANCIAL	$	33,652,552	$	33,294,843	$	32,580,747	$	34,480,705	$	36,415,915

NET INTEREST MARGIN TREND - UNAUDITED
BOK FINANCIAL CORPORATION

	Three Months Ended
	Sep. 30, 2023			June 30, 2023			Mar. 31, 2023			Dec. 31, 2022			Sep. 30, 2022

TAX-EQUIVALENT ASSETS YIELDS
Interest-bearing cash and cash equivalents		5.43	%		5.41	%		4.28	%		4.06	%		1.87	%
Trading securities		4.76	%		4.50	%		4.52	%		3.70	%		2.72	%
Investment securities, net of allowance		1.43	%		1.44	%		1.46	%		1.46	%		1.42	%
Available for sale securities		3.11	%		3.00	%		2.87	%		2.54	%		2.21	%
Fair value option securities		4.61	%		5.07	%		5.17	%		4.40	%		2.98	%
Restricted equity securities		7.88	%		7.31	%		7.34	%		5.70	%		6.23	%
Residential mortgage loans held for sale		6.27	%		5.85	%		5.79	%		5.56	%		5.05	%
Loans		7.25	%		7.03	%		6.67	%		5.99	%		4.89	%
Allowance for loan losses
Loans, net of allowance		7.33	%		7.10	%		6.74	%		6.06	%		4.94	%
Total tax-equivalent yield on earning assets		5.49	%		5.29	%		5.06	%		4.53	%		3.71	%


Interest-bearing deposits:
Interest-bearing transaction		3.18	%		2.60	%		1.91	%		1.28	%		0.63	%
Savings		0.47	%		0.21	%		0.10	%		0.08	%		0.05	%
Time		3.96	%		3.27	%		1.95	%		1.25	%		0.93	%
Total interest-bearing deposits		3.17	%		2.56	%		1.83	%		1.22	%		0.63	%
Funds purchased and repurchase agreements		4.81	%		4.58	%		3.33	%		2.05	%		0.72	%
Other borrowings		5.48	%		5.12	%		4.73	%		4.08	%		2.33	%
Subordinated debt		7.02	%		6.79	%		6.40	%		6.16	%		5.07	%
Total cost of interest-bearing liabilities		3.81	%		3.27	%		2.43	%		1.57	%		0.76	%
Tax-equivalent net interest revenue spread		1.68	%		2.02	%		2.63	%		2.96	%		2.95	%
Effect of noninterest-bearing funding sources and other		1.01	%		0.98	%		0.82	%		0.58	%		0.29	%
Tax-equivalent net interest margin		2.69	%		3.00	%		3.45	%		3.54	%		3.24	%

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
	Sep. 30, 2023		June 30, 2023		Mar. 31, 2023		Dec. 31, 2022		Sep. 30, 2022
Nonperforming assets:
Nonaccruing loans:
Commercial:
Healthcare	$	41,836	$	36,753	$	37,247	$	41,034	$	41,438
Energy		19,559		20,037		127		1,399		4,164
Services		2,820		4,541		8,097		16,228		27,315
General business		6,483		11,946		8,961		1,636		2,753
Total commercial		70,698		73,277		54,432		60,297		75,670

Commercial real estate		7,418		17,395		21,668		16,570		7,971

Loans to individuals:
Permanent mortgage		30,954		29,973		29,693		29,791		30,066
Permanent mortgage guaranteed by U.S. government agencies		10,436		11,473		14,302		15,005		16,957
Personal		79		133		200		134		136
Total loans to individuals		41,469		41,579		44,195		44,930		47,159

BOK Financial Corporation Reports Quarterly Earnings of $134 million or $2.04 Per Share in the Third Quarter