Exhibit 99.1


						CONTACT:			MARK J. GRESCOVICH,
									PRESIDENT & CEO
									ROBERT G. BUTTERFIELD, CFO
									(509) 527-3636

						NEWS RELEASE

Banner Corporation Reports Net Income of $53.5 Million, or $1.54 Per Diluted Share, for Third Quarter 2025;

Increases Quarterly Cash Dividend Declared by 4% to $0.50 Per Share

Walla Walla, WA - October 15, 2025 - Banner Corporation (NASDAQ GSM: BANR) (“Banner”), the parent company of Banner Bank, today reported net income of $53.5 million, or $1.54 per diluted share, for the third quarter of 2025, compared to $45.5 million, or $1.31 per diluted share, for the preceding quarter and $45.2 million, or $1.30 per diluted share, for the third quarter of 2024. Net interest income was $150.0 million for the third quarter of 2025, compared to $144.4 million in the preceding quarter and $135.7 million for the third quarter a year ago. The increase in net interest income compared to the preceding quarter and the prior year quarter reflects an increase in both the yield and average balance of interest-earning assets. The increase in net interest income compared to the prior year quarter also reflects a decrease in overall funding costs. Third quarter 2025 results included a $2.7 million provision for credit losses, compared to $4.8 million in the preceding quarter and $1.7 million in the third quarter of 2024. Net income was $144.1 million, or $4.15 per diluted share, for the nine months ended September 30, 2025, compared to net income of $122.5 million, or $3.54 per diluted share, for the nine months ended September 30, 2024. Banner’s results for the nine months ended September 30, 2025 include a $10.6 million provision for credit losses, a $374,000 net gain on the sale of securities and a $626,000 net increase in the fair value adjustments on financial instruments carried at fair value, compared to a $4.6 million provision for credit losses, a $5.5 million net loss on the sale of securities and a $1.1 million net decrease in the fair value adjustments on financial instruments carried at fair value during the same period in 2024.

Banner announced that its Board of Directors increased its regular quarterly cash dividend by 4% to $0.50 per share payable November 14, 2025, to common shareholders of record on November 4, 2025.

“Banner’s third quarter performance reflects the continued strength of our super community bank strategy, which focuses on building client relationships, preserving a strong funding base, and delivering exceptional service while sustaining a moderate risk profile,” said Mark Grescovich, President and CEO. “Our earnings for the third quarter of 2025 benefited from solid year over year loan growth as well as higher yields on interest-earning assets. The strategic investments we have made across the organization are generating meaningful returns and are further strengthening Banner for long-term success. Additionally, Banner continues to demonstrate strong credit quality, supported by stable credit metrics, a well-funded reserve for loan losses, and a robust capital position that provides resilience and flexibility for future growth. We also continue to benefit from a strong core deposit base, with core deposits representing 89% of total deposits at quarter-end. For 135 years, Banner has stayed true to its core values by consistently doing the right thing for our clients, communities, colleagues, company and shareholders. Our long-standing commitment has enabled us to navigate change with confidence and continue building a strong foundation for the future.”

At September 30, 2025, Banner, on a consolidated basis, had $16.56 billion in assets, $11.54 billion in net loans and $14.02 billion in deposits. Banner operates 135 full-service branch offices, including branches located in eight of the top 20 largest western Metropolitan Statistical Areas by population.

BANR - Third Quarter 2025 Results

October 15, 2025

Page 2

Third Quarter 2025 Highlights

•Net interest margin, on a tax equivalent basis, was 3.98% for the current quarter, compared to 3.92% in the preceding quarter and 3.72% in the third quarter a year ago.

•Revenue increased 5% to $170.7 million for the third quarter of 2025, compared to $162.2 million in the preceding quarter and increased 11% from $153.7 million in the third quarter a year ago.

•Adjusted revenue* (the total of net interest income and total non-interest income adjusted for the net gain or loss on the sale of securities, the net change in valuation of financial instruments, and gains or losses incurred on building and lease exits) was $168.7 million in the third quarter of 2025, compared to $163.0 million in the preceding quarter and $153.7 million in the third quarter a year ago.

•Net interest income was $150.0 million in the third quarter of 2025, compared to $144.4 million in the preceding quarter and increased 11% from $135.7 million in the third quarter a year ago.

•Mortgage banking operations revenue was $3.3 million for the third quarter of 2025, compared to $3.2 million in both the preceding quarter and the third quarter a year ago.

•Return on average assets was 1.30% for the third quarter of 2025, compared to 1.13% in both the preceding quarter and third quarter a year ago.

•Net loans receivable were $11.54 billion at September 30, 2025, compared to $11.53 billion at June 30, 2025, and increased 4% compared to $11.07 billion at September 30, 2024.

•Total deposits increased 4% to $14.02 billion at September 30, 2025, compared to $13.53 billion at June 30, 2025 and $13.54 billion at September 30, 2024.

•Core deposits represented 89% of total deposits at September 30, 2025.

•Non-performing assets were $45.3 million, or 0.27% of total assets, at September 30, 2025, compared to $49.8 million, or 0.30% of total assets, at June 30, 2025 and $45.2 million, or 0.28% of total assets, at September 30, 2024.

•The allowance for credit losses - loans was $159.7 million, or 1.36% of total loans receivable, as of September 30, 2025, compared to $160.5 million, or 1.37% of total loans receivable, as of June 30, 2025 and $154.6 million, or 1.38% of total loans receivable, as of September 30, 2024.

•Dividends paid to shareholders were $0.48 per share in the quarter ended September 30, 2025.

•Common shareholders’ equity per share increased 3% to $55.71 at September 30, 2025, compared to $53.95 at the preceding quarter end, and increased 7% from $52.06 at September 30, 2024.

•Tangible common shareholders’ equity per share* increased 4% to $44.79 at September 30, 2025, compared to $43.09 at June 30, 2025, and increased 9% from $41.12 at September 30, 2024.

•Repurchased 250,000 shares of Banner common stock during the third quarter of 2025 at an average price of $63.11 per share.

*Non-GAAP (Generally Accepted Accounting Principles) financial measure; See, “Additional Financial Information - Non-GAAP Financial Measures” on the final two pages of this press release for a reconciliation of non-GAAP financial measures.

Income Statement Review

Net interest income was $150.0 million in the third quarter of 2025, compared to $144.4 million in the preceding quarter and $135.7 million in the third quarter a year ago. Net interest margin, on a tax equivalent basis, increased six basis points to 3.98% for the third quarter of 2025, compared to 3.92% for the preceding quarter, and increased 26 basis points compared to 3.72% in the third quarter a year ago. The net interest margin for the current quarter benefited from higher yields on interest-earning assets and lower funding costs.

Interest income was $205.8 million in the third quarter of 2025, compared to $200.3 million in the preceding quarter and $195.8 million in the third quarter a year ago. Average yields on interest-earning assets increased three basis points to 5.43% for the third quarter of 2025, compared to 5.40% for the preceding quarter, and increased 10 basis points compared to 5.33% in the third quarter a year ago, primarily due to increases in average loan yields. Average loan yields increased five basis points to 6.17%, compared to 6.12% in the preceding quarter, and increased 13 basis points compared to 6.04% in the third quarter a year ago. The increase in average loan yields during the current quarter primarily reflects new loans being originated at higher interest rates and adjustable-rate loans repricing higher.

Interest expense was $55.9 million in both the third quarter of 2025 and the preceding quarter, compared to $60.2 million in the third quarter a year ago. Total deposit costs increased three basis points to 1.50% in the third quarter of 2025, compared to 1.47% the preceding quarter and decreased 11 basis points compared to 1.61% in the third quarter a year ago. The decrease in deposit costs in the current quarter compared to the same quarter a year ago was primarily due to interest rate declines in the second half of 2024. The average rate paid on borrowings decreased 29 basis points to 4.18% in the third quarter of 2025, compared to 4.47% in the preceding quarter, and decreased compared to 5.08% in the third quarter a year ago, primarily due to declines in both market interest rates and the average balance of borrowings. The total cost of funding liabilities decreased three basis points to 1.57% in the third quarter of 2025, compared to 1.60% in the preceding quarter, primarily due to a decrease in the average balance of FHLB advances, as the increase in deposits was used to pay down borrowings. The total cost of funding liabilities also decreased 16 basis points from 1.73% in the third quarter a year ago, primarily due to deposit interest rate declines and decreases in both the average balance and cost of borrowings, partially offset by an increase in the average balance of interest-bearing deposits.

A $2.7 million provision for credit losses was recorded in the current quarter (comprised of a $1.4 million provision for credit losses - loans and a $1.3 million provision for credit losses - unfunded loan commitments). This compares to a $4.8 million provision for credit losses in the prior quarter (comprised of a $4.2 million provision for credit losses - loans and a $588,000 provision for credit losses - unfunded loan commitments) and a $1.7 million provision for credit losses in the third quarter a year ago (comprised of a $2.0 million provision for credit losses - loans and a $262,000 recapture of provision for credit losses - unfunded loan commitments). The provision for credit losses in the quarter was driven by changes in both portfolio mix and individually evaluated loans.

BANR - Third Quarter 2025 Results

October 15, 2025

Page 3

Total non-interest income was $20.7 million in the third quarter of 2025, compared to $17.8 million in the preceding quarter and $18.1 million in the third quarter a year ago. The increase from the preceding quarter was primarily due to a $2.0 million increase in miscellaneous income, which reflected gains recognized on the sale of assets during the current quarter, compared to losses incurred on building and lease exits during the prior quarter associated with Banner’s reduction of excess office space. The increase compared to the prior year quarter was also primarily due to the increase in miscellaneous income resulting from the disposition of assets. Total non-interest income was $57.6 million for the nine months ended September 30, 2025, compared to $46.9 million for the same period a year earlier.

Mortgage banking operations revenue was $3.3 million in the third quarter of 2025, compared to $3.2 million in both the preceding quarter and the third quarter a year ago. The volume of one- to four-family loans sold during the current quarter increased compared to both the preceding quarter and the prior year quarter. Home purchase activity accounted for 88% of one- to four-family mortgage loan originations in the third quarter of 2025, compared to 85% in the preceding quarter and 88% in the third quarter of 2024.

Total non-interest expense was $102.0 million in the third quarter of 2025, compared to $101.3 million in the preceding quarter and $96.3 million in the third quarter of 2024. The increase from the previous quarter reflected a $450,000 increase in miscellaneous expense due to an increase in talent acquisition and other employee related expenses and a $308,000 increase in advertising and marketing expenses due to increases in direct mail marketing and community development expenses, partially offset by a $551,000 decrease in salary and employee benefits resulting from decreased medical premiums expense and payroll taxes. In addition, the current quarter included losses of $1.0 million in building and lease exit costs, compared to $834,000 of such costs in the previous quarter. The increase compared to the same quarter a year ago primarily reflects increases in salary and employee benefits, information and computer data services and professional and legal expenses. For the nine months ended September 30, 2025, total non-interest expense was $304.6 million, compared to $292.1 million for the nine months ended September 30, 2024.

Banner’s efficiency ratio was 59.76% for the third quarter of 2025, compared to 62.50% in the preceding quarter and 62.63% in the same quarter a year ago. Banner’s adjusted efficiency ratio, a non-GAAP financial measure, was 58.54% for the third quarter of 2025, compared to 60.28% in the preceding quarter and 61.27% in the year-ago quarter. The improvement in Banner’s efficiency ratio compared to both the preceding and prior year quarters primarily reflected stronger net interest margins, combined with controlled growth in operating expenses. See, “Additional Financial Information - Non-GAAP Financial Measures” on the final two pages of this press release for a discussion and reconciliation of non-GAAP financial measures.

Balance Sheet Review

Total assets were $16.56 billion at September 30, 2025, up from $16.44 billion at June 30, 2025 and $16.19 billion at September 30, 2024. The increase compared to the prior quarter was primarily due to an increase in interest-bearing deposits held at other banks, partially offset by decreases in securities. Securities and interest-bearing deposits held at other banks totaled $3.47 billion at September 30, 2025, compared to $3.29 billion at June 30, 2025 and $3.50 billion at September 30, 2024. The average effective duration of the securities portfolio was approximately 6.4 years at September 30, 2025, compared to 6.3 years at September 30, 2024.

Total loans receivable were $11.70 billion at September 30, 2025, up from $11.69 billion at June 30, 2025 and up 4% compared to $11.22 billion at September 30, 2024. Commercial real estate loans increased to $4.00 billion at September 30, 2025, compared to $3.97 billion at June 30, 2025, and increased 5% compared to $3.79 billion at September 30, 2024. The increase in commercial real estate loans from both June 30, 2025 and September 30, 2024 was a combination of both new loan production and the conversion of commercial construction loans to the commercial real estate portfolio upon the completion of the construction phase. Construction, land and land development loans increased 2% to $1.74 billion at September 30, 2025, compared to $1.70 billion at June 30, 2025, and increased 14% compared to $1.53 billion at September 30, 2024. The increase from both June 30, 2025 and September 30, 2024 was primarily due to new production and advances, partially offset by payoffs and transfers to the portfolio upon the completion of the construction phase. Commercial business loans decreased 2% to $2.43 billion at September 30, 2025, compared to $2.47 billion at June 30, 2025, primarily due to payoffs and paydowns outpacing new loan production, and increased 3% compared to $2.37 billion at September 30, 2024, primarily as a result of new loan production.

Loans held for sale were $20.3 million at September 30, 2025, compared to $37.7 million at June 30, 2025 and $78.8 million at September 30, 2024. One- to four- family residential mortgage held for sale loans sold in the current quarter totaled $136.9 million, compared to $104.6 million in the preceding quarter and $95.0 million in the third quarter a year ago. The decrease in loans held for sale compared to the preceding and prior year quarters was primarily the result of increased sales of one- to four- family residential mortgage loans held for sale, with loan sales outpacing originations during the quarter.

Total deposits were $14.02 billion at September 30, 2025, compared to $13.53 billion at June 30, 2025 and $13.54 billion a year ago. Core deposits increased 4% to $12.48 billion at September 30, 2025, compared to $12.05 billion at June 30, 2025, and increased 4% compared to $12.02 billion at September 30, 2024. The increase compared to the preceding and prior year quarters primarily reflects increases in interest-bearing transaction and savings accounts. Core deposits remain stable at 89% of total deposits at September 30, 2025, June 30, 2025 and September 30, 2024. Certificates of deposit increased 4% to $1.54 billion at September 30, 2025, compared to $1.48 billion at June 30, 2025, and increased from $1.52 billion a year earlier.

FHLB advances decreased 82% to $100.0 million at September 30, 2025, compared to $565.0 million at June 30, 2025 and decreased 57% compared to $230.0 million a year ago as deposits were used as the primary source of funds during the current quarter. At September 30, 2025, off-balance sheet liquidity included additional borrowing capacity of $3.25 billion at the FHLB and $1.63 billion at the Federal Reserve, as well as federal funds line of credit agreements with other financial institutions of $125.0 million.

BANR - Third Quarter 2025 Results

October 15, 2025

Page 4

At September 30, 2025, total common shareholders’ equity was $1.91 billion or 11.55% of total assets, compared to $1.87 billion or 11.35% of total assets at June 30, 2025, and $1.79 billion or 11.08% of total assets at September 30, 2024. The increase at September 30, 2025 compared to June 30, 2025 was due to a $36.7 million increase in retained earnings resulting from $53.5 million in net income, partially offset by the accrual of $16.8 million of cash dividends during the third quarter of 2025. In addition, Banner repurchased 250,000 shares of its common stock in the third quarter of 2025 at an average price of $63.11 per share. At September 30, 2025, tangible common shareholders’ equity, a non-GAAP financial measure, was $1.54 billion, or 9.50% of tangible assets, compared to $1.49 billion, or 9.28% of tangible assets, at June 30, 2025, and $1.42 billion, or 8.96% of tangible assets, a year ago. See, “Additional Financial Information - Non-GAAP Financial Measures” on the final two pages of this press release for a reconciliation of non-GAAP financial measures.

Banner and Banner Bank continue to maintain capital levels in excess of the requirements to be categorized as “well-capitalized.” At September 30, 2025, Banner’s estimated common equity Tier 1 capital ratio was 12.78%, its estimated Tier 1 leverage capital to average assets ratio was 11.33%, and its estimated total capital to risk-weighted assets ratio was 14.66%. These regulatory capital ratios are estimates, pending completion and filing of Banner’s regulatory reports.

Credit Quality

The allowance for credit losses - loans was $159.7 million, or 1.36% of total loans receivable and 399% of non-performing loans, at September 30, 2025, compared to $160.5 million, or 1.37% of total loans receivable and 373% of non-performing loans, at June 30, 2025, and $154.6 million, or 1.38% of total loans receivable and 359% of non-performing loans, at September 30, 2024. In addition to the allowance for credit losses - loans, Banner maintains an allowance for credit losses - unfunded loan commitments, which was $14.0 million at September 30, 2025, compared to $12.8 million at June 30, 2025, and $13.8 million at September 30, 2024. Net loan charge-offs totaled $2.2 million in the third quarter of 2025, compared to net loan charge-offs of $1.0 million and $230,000 in the preceding quarter and third quarter a year ago, respectively. Non-performing loans were $40.0 million at September 30, 2025, compared to $43.0 million at June 30, 2025, and $43.0 million a year ago. Substandard loans were $174.0 million as of September 30, 2025, compared to $189.5 million as of June 30, 2025 and $150.1 million a year ago. Total non-performing assets were $45.3 million, or 0.27% of total assets, at September 30, 2025, compared to $49.8 million, or 0.30% of total assets, at June 30, 2025, and $45.2 million, or 0.28% of total assets, a year ago.

Conference Call

Banner will host a conference call on Thursday, October 16, 2025, at 8:00 a.m. PDT, to discuss its third quarter results. Interested investors may listen to the call live at www.bannerbank.com. Investment professionals are invited to dial (833) 470-1428 using access code 613608 to participate in the call. A replay of the call will be available at www.bannerbank.com.

About the Company

Banner Corporation is a $16.56 billion bank holding company operating a commercial bank in four Western states through a network of branches offering a full range of deposit services and business, commercial real estate, construction, residential, agricultural and consumer loans. Visit Banner Bank on the Web at www.bannerbank.com.

BANR - Third Quarter 2025 Results

October 15, 2025

Page 5

Forward-Looking Statements

When used in this press release and in other documents filed with or furnished to the Securities and Exchange Commission (the “SEC”), in press releases or other public stockholder communications, or in oral statements made with the approval of an authorized executive officer, the words or phrases “may,” “believe,” “will,” “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimate,” “project,” “plans,” “potential,” or similar expressions are intended to identify “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date such statements are made and based only on information then actually known to Banner. Banner does not undertake and specifically disclaims any obligation to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.

Forward-looking statements may relate to, among other things, future financial performance, strategic plans or objectives, revenues or earnings projections, and other financial or operational information. These statements are inherently subject to numerous risks and uncertainties, including ongoing market volatility and evolving global conditions, which may cause actual results to differ materially from those expressed or implied. These factors include, but are not limited to: (1) adverse impacts to economic conditions in our local market areas, other markets where the Company has lending relationships, or other aspects of the Company’s business operations or financial markets, including, without limitation, as a result of labor shortages, elevated inflation, recessionary pressures, or slowing economic growth; (2) changes in interest rate levels and the duration of such changes, including actions by the Federal Reserve, which could materially affect our net interest margin, funding costs, asset values, access to capital and liquidity; (3) the impact of inflation and monetary and fiscal policy responses thereto, and their impact on consumer and business behavior; (4) geopolitical developments and international conflicts, including but not limited to tensions or instability in Eastern Europe, the Middle East, and Asia, or the imposition of new or increased tariffs and trade restrictions, which may disrupt financial markets, global supply chains, energy prices, or economic activity in specific industry sectors, including, but not limited to, agriculture-based lending; (5) the effects of federal government shutdowns, debt ceiling standoff, or other fiscal policy uncertainty; (6) the impact of bank failures or adverse developments at other banks and related negative press about the banking industry in general on investor and depositor sentiment; (7) expectations regarding key growth initiatives and strategic priorities; (8) credit risks from lending activities, including changes in the level and direction of loan delinquencies and write-offs and changes in estimates of the adequacy of the allowance for credit losses, which could necessitate additional provisions for credit losses, resulting both from loans originated and loans acquired from other financial institutions; (9) results of examinations by regulatory authorities, which could result in the imposition of penalties, required changes to our business practices, or additional reserves; (10) competitive pressures among depository and non-depository institutions affecting pricing, market share or product offerings; (11) fluctuations in real estate values; (12) the ability to adapt to rapid technological changes, including advancements in artificial intelligence, digital banking, and cybersecurity; (13) vulnerabilities in information systems or third-party service providers, including disruptions, breaches, or attacks; (14) market volatility or deterioration in capital markets affecting liquidity, valuations, or investor confidence; (15) the costs, effects and outcomes of litigation or other legal proceedings involving the Company; (16) legislation or regulatory changes, including but not limited to shifts in capital requirements, banking regulation, tax laws, or consumer protection laws; (17) climate-related risks and natural disasters, which may affect loan collateral, operations, or compliance obligations; (18) changes in accounting principles, policies or guidelines; (19) the impact of future acquisitions or business combinations, including related goodwill impairment risks and integration challenges; (20) effects of critical accounting policies and judgments, including the use of estimates in determining fair value of certain of our assets, which estimates may prove to be incorrect and result in significant declines in valuation; (21) other economic, competitive, governmental, regulatory, and technological factors affecting our operations, pricing, products and services; and (22) other risks detailed from time to time in Banner’s other reports filed with and furnished to the Securities and Exchange Commission including Banner’s Quarterly Reports on Form 10-Q and Annual Reports on Form 10-K.

BANR - Third Quarter 2025 Results

October 15, 2025

Page 6


RESULTS OF OPERATIONS	Quarters Ended						Nine Months Ended
(in thousands except shares and per share data)	Sep 30, 2025		Jun 30, 2025		Sep 30, 2024		Sep 30, 2025		Sep 30, 2024
INTEREST INCOME:
Loans receivable	$	179,065	$	175,373	$	168,338	$	523,115	$	486,004
Mortgage-backed securities	15,090		15,416		16,357		46,250		49,999
Securities and cash equivalents	11,693		9,470		11,146		30,610		33,664
Total interest income	205,848		200,259		195,841		599,975		569,667
INTEREST EXPENSE:
Deposits	52,251		49,316		53,785		150,304		147,248
Federal Home Loan Bank (FHLB) advances	1,527		3,370		2,263		5,757		8,856
Other borrowings	694		675		1,147		2,063		3,482
Subordinated debt	1,387		2,499		2,971		6,380		8,901
Total interest expense	55,859		55,860		60,166		164,504		168,487
Net interest income	149,989		144,399		135,675		435,471		401,180
PROVISION FOR CREDIT LOSSES	2,670		4,795		1,692		10,604		4,581
Net interest income after provision for credit losses	147,319		139,604		133,983		424,867		396,599
NON-INTEREST INCOME:
Deposit fees and other service charges	10,955		10,835		10,741		32,559		32,353
Mortgage banking operations	3,298		3,226		3,180		9,627		8,521
Bank-owned life insurance	2,702		2,384		2,445		7,661		7,049
Miscellaneous	3,175		1,221		1,658		6,742		5,538
	20,130		17,666		18,024		56,589		53,461
Net gain (loss) on sale of securities	377		(3)		—		374		(5,465)

Net change in valuation of financial instruments carried at fair value	223		88		39		626		(1,143)


Total non-interest income	20,730		17,751		18,063		57,589		46,853
NON-INTEREST EXPENSE:
Salary and employee benefits	64,935		65,486		61,832		195,278		188,032
Less capitalized loan origination costs	(4,802)		(4,924)		(4,354)		(13,056)		(12,669)
Occupancy and equipment	12,518		12,256		12,040		36,871		36,630
Information and computer data services	8,199		8,199		7,134		24,026		21,694
Payment and card processing services	6,060		5,899		5,346		17,709		16,747
Professional and legal expenses	2,190		2,271		2,102		6,891		4,833
Advertising and marketing	1,395		1,087		1,161		3,072		3,438
Deposit insurance	2,867		2,800		2,874		8,464		8,541
State and municipal business and use taxes	1,655		1,416		1,432		4,525		4,130
Real estate operations, net	203		392		103		534		180
Amortization of core deposit intangibles	341		455		590		1,252		2,037

Miscellaneous	6,461		6,011		6,031		19,063		18,467



Total non-interest expense	102,022		101,348		96,291		304,629		292,060
Income before provision for income taxes	66,027		56,007		55,755		177,827		151,392
PROVISION FOR INCOME TAXES	12,525		10,511		10,602		33,694		28,885
NET INCOME	$	53,502	$	45,496	$	45,153	$	144,133	$	122,507





Earnings per common share:
Basic	$	1.55	$	1.31	$	1.31	$	4.17	$	3.56
Diluted	$	1.54	$	1.31	$	1.30	$	4.15	$	3.54
Cumulative dividends declared per common share	$	0.48	$	0.48	$	0.48	$	1.44	$	1.44
Weighted average number of common shares outstanding:
Basic	34,494,824		34,627,433		34,498,830		34,543,969		34,459,662
Diluted	34,659,346		34,738,948		34,650,322		34,730,103		34,575,498
(Decrease) increase in common shares outstanding	(248,697)		94,022		936		(124,535)		108,319

BANR - Third Quarter 2025 Results

October 15, 2025

Page 7


FINANCIAL CONDITION													Percentage Change
(in thousands except shares and per share data)	Sep 30, 2025			Jun 30, 2025			Dec 31, 2024			Sep 30, 2024			Prior Qtr		Prior Yr Qtr

ASSETS
Cash and due from banks	$	193,453		$	239,339		$	203,402		$	226,568		(19)	%	(15)	%
Interest-bearing deposits	479,410			244,009			298,456			252,227			96	%	90	%
Total cash and cash equivalents	672,863			483,348			501,858			478,795			39	%	41	%

Securities - available for sale, amortized cost $2,292,835, $2,372,331, $2,460,262 and $2,523,968, respectively	2,018,525			2,064,581			2,104,511			2,237,939			(2)	%	(10)	%
Securities - held to maturity, fair value $815,434, $801,838, $825,528 and $879,278, respectively	971,603			981,312			1,001,564			1,013,903			(1)	%	(4)	%
Total securities	2,990,128			3,045,893			3,106,075			3,251,842			(2)	%	(8)	%

FHLB stock	14,226			35,151			22,451			19,751			(60)	%	(28)	%

Loans held for sale	20,334			37,651			32,021			78,841			(46)	%	(74)	%
Loans receivable	11,702,538			11,690,373			11,354,656			11,224,606			—	%	4	%
Allowance for credit losses – loans	(159,707)			(160,501)			(155,521)			(154,585)			—	%	3	%
Net loans receivable	11,542,831			11,529,872			11,199,135			11,070,021			—	%	4	%
Accrued interest receivable	64,914			64,729			60,885			66,981			—	%	(3)	%
Property and equipment, net	113,848			117,175			124,589			125,256			(3)	%	(9)	%
Goodwill	373,121			373,121			373,121			373,121			—	%	—	%
Other intangibles, net	1,806			2,147			3,058			3,647			(16)	%	(50)	%
Bank-owned life insurance	317,469			316,365			312,549			310,400			—	%	2	%
Operating lease right-of-use assets	35,494			38,754			39,998			38,192			(8)	%	(7)	%
Other assets	416,047			392,963			424,297			371,829			6	%	12	%
Total assets	$	16,563,081		$	16,437,169		$	16,200,037		$	16,188,676		1	%	2	%
LIABILITIES
Deposits:
Non-interest-bearing	$	4,572,338		$	4,504,491		$	4,591,543		$	4,688,244		2	%	(2)	%
Interest-bearing transaction and savings accounts	7,903,215			7,545,028			7,423,183			7,328,051			5	%	8	%
Interest-bearing certificates	1,540,382			1,477,772			1,499,672			1,521,853			4	%	1	%
Total deposits	14,015,935			13,527,291			13,514,398			13,538,148			4	%	4	%
Advances from FHLB	100,000			565,000			290,000			230,000			(82)	%	(57)	%
Other borrowings	120,536			117,112			125,257			154,533			3	%	(22)	%
Subordinated notes, net	—			—			80,278			80,170			—	%	(100)	%
Junior subordinated debentures at fair value	76,251			73,366			67,477			66,257			4	%	15	%
Operating lease liabilities	38,826			41,696			43,472			42,318			(7)	%	(8)	%
Accrued expenses and other liabilities	251,464			200,194			258,070			237,128			26	%	6	%
Deferred compensation	47,177			46,846			46,759			46,401			1	%	2	%
Total liabilities	14,650,189			14,571,505			14,425,711			14,394,955			1	%	2	%
SHAREHOLDERS’ EQUITY
Common stock	1,295,821			1,309,004			1,307,509			1,304,792			(1)	%	(1)	%
Retained earnings	837,826			801,082			744,091			714,472			5	%	17	%
Accumulated other comprehensive loss	(220,755)			(244,422)			(277,274)			(225,543)			(10)	%	(2)	%
Total shareholders’ equity	1,912,892			1,865,664			1,774,326			1,793,721			3	%	7	%
Total liabilities and shareholders’ equity	$	16,563,081		$	16,437,169		$	16,200,037		$	16,188,676		1	%	2	%
Common Shares Issued:


Shares outstanding at end of period	34,335,297			34,583,994			34,459,832			34,456,688
Common shareholders’ equity per share (1)	$	55.71		$	53.95		$	51.49		$	52.06
Common shareholders’ tangible equity per share (1) (2)	$	44.79		$	43.09		$	40.57		$	41.12
Common shareholders’ equity to total assets	11.55		%	11.35		%	10.95		%	11.08		%
Common shareholders’ tangible equity to tangible assets (2)	9.50		%	9.28		%	8.84		%	8.96		%
Consolidated Tier 1 leverage capital ratio	11.33		%	11.29		%	11.05		%	10.91		%



(1)			Calculation is based on number of common shares outstanding at the end of the period rather than weighted average shares outstanding.
(2)			Common shareholders’ tangible equity and tangible assets exclude goodwill and other intangible assets. These ratios represent non-GAAP financial measures. See, “Additional Financial Information - Non-GAAP Financial Measures” on the final two pages of this press release for a reconciliation of non-GAAP financial measures.

BANR - Third Quarter 2025 Results

October 15, 2025

Page 8


ADDITIONAL FINANCIAL INFORMATION
(dollars in thousands)

LOANS													Percentage Change
	Sep 30, 2025			Jun 30, 2025			Dec 31, 2024			Sep 30, 2024			Prior Qtr		Prior Yr Qtr
Commercial real estate (CRE):
Owner-occupied	$	1,134,559		$	1,125,249		$	1,027,426		$	990,516		1	%	15	%
Investment properties	1,652,141			1,625,001			1,623,672			1,583,863			2	%	4	%
Small balance CRE	1,210,357			1,223,477			1,213,792			1,218,822			(1)	%	(1)	%
Multifamily real estate	860,650			860,700			894,425			889,866			—	%	(3)	%
Construction, land and land development:
Commercial construction	144,125			159,222			122,362			124,051			(9)	%	16	%
Multifamily construction	586,104			568,058			513,706			524,108			3	%	12	%
One- to four-family construction	578,128			551,806			514,220			507,350			5	%	14	%
Land and land development	427,348			417,474			369,663			370,690			2	%	15	%
Commercial business:
Commercial business	1,254,460			1,318,483			1,318,333			1,281,615			(5)	%	(2)	%
Small business scored	1,176,889			1,152,531			1,104,117			1,087,714			2	%	8	%
Agricultural business, including secured by farmland:
Agricultural business, including secured by farmland	354,884			345,742			340,280			346,686			3	%	2	%
One- to four-family residential	1,582,605			1,610,133			1,591,260			1,575,164			(2)	%	—	%
Consumer:
Consumer—home equity revolving lines of credit	649,188			639,757			625,680			622,615			1	%	4	%
Consumer—other	91,100			92,740			95,720			101,546			(2)	%	(10)	%
Total loans receivable	$	11,702,538		$	11,690,373		$	11,354,656		$	11,224,606		—	%	4	%

Loans 30 - 89 days past due and on accrual	$	14,674		$	10,786		$	26,824		$	13,030
Total delinquent loans (including loans on non-accrual), net	$	45,529		$	47,764		$	55,432		$	44,656
Total delinquent loans / Total loans receivable	0.39		%	0.41		%	0.49		%	0.40		%


LOANS BY GEOGRAPHIC LOCATION											Percentage Change
	Sep 30, 2025				Jun 30, 2025		Dec 31, 2024		Sep 30, 2024		Prior Qtr		Prior Yr Qtr
	Amount		Percentage		Amount		Amount		Amount
Washington	$	5,407,327	46	%	$	5,438,285	$	5,245,886	$	5,203,637	(1)	%	4	%
California	3,064,993		26	%	3,010,678		2,861,435		2,796,965		2	%	10	%
Oregon	2,137,422		18	%	2,141,185		2,113,229		2,108,229		—	%	1	%
Idaho	668,949		6	%	671,217		665,158		652,148		—	%	3	%
Utah	79,697		1	%	70,474		82,459		85,316		13	%	(7)	%
Other	344,150		3	%	358,534		386,489		378,311		(4)	%	(9)	%
Total loans receivable	$	11,702,538	100	%	$	11,690,373	$	11,354,656	$	11,224,606	—	%	4	%

BANR - Third Quarter 2025 Results

October 15, 2025

Page 9

ADDITIONAL FINANCIAL INFORMATION

(dollars in thousands)


LOAN ORIGINATIONS	Quarters Ended
	Sep 30, 2025		Jun 30, 2025		Sep 30, 2024
Commercial real estate	$	118,354	$	216,189	$	114,372
Multifamily real estate	2,500		13,065		314
Construction and land	369,363		411,210		472,506

Commercial business	167,627		203,656		179,871
Agricultural business	7,681		14,414		5,877
One-to four-family residential	6,817		5,491		24,488
Consumer	122,193		102,600		96,137
Total loan originations (excluding loans held for sale)	$	794,535	$	966,625	$	893,565

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October 15, 2025

Page 10


ADDITIONAL FINANCIAL INFORMATION
(dollars in thousands)

CHANGE IN THE ALLOWANCE FOR CREDIT LOSSES – LOANS	Quarters Ended
	Sep 30, 2025			Jun 30, 2025			Sep 30, 2024
Balance, beginning of period	$	160,501		$	157,323		$	152,848
Provision for credit losses – loans	1,384			4,201			1,967
Recoveries of loans previously charged off:
Commercial real estate	36			53			65

Construction and land	725			—			—
One- to four-family real estate	13			58			14
Commercial business	99			361			613
Agricultural business, including secured by farmland	99			1			1
Consumer	78			168			41
	1,050			641			734
Loans charged off:


Construction and land	(218)			—			(145)

Commercial business	(518)			(892)			(414)
Agricultural business, including secured by farmland	(2,054)			(362)			—
Consumer	(438)			(410)			(405)
	(3,228)			(1,664)			(964)
Net charge-offs	(2,178)			(1,023)			(230)
Balance, end of period	$	159,707		$	160,501		$	154,585
Net charge-offs / average loans receivable	(0.019)		%	(0.009)		%	(0.002)		%


ALLOCATION OF ALLOWANCE FOR CREDIT LOSSES – LOANS	Sep 30, 2025			Jun 30, 2025			Dec 31, 2024			Sep 30, 2024

Commercial real estate	$	41,191		$	41,036		$	40,830		$	40,040
Multifamily real estate	9,901			9,918			10,308			10,233
Construction and land	35,144			34,124			29,038			28,322
One- to four-family real estate	20,485			20,917			20,807			20,463
Commercial business	37,646			38,591			38,611			39,779
Agricultural business, including secured by farmland	5,268			6,216			5,727			5,340
Consumer	10,072			9,699			10,200			10,408
Total allowance for credit losses – loans	$	159,707		$	160,501		$	155,521		$	154,585
Allowance for credit losses - loans / Total loans receivable	1.36		%	1.37		%	1.37		%	1.38		%
Allowance for credit losses - loans / Non-performing loans	399		%	373		%	421		%	359		%


CHANGE IN THE ALLOWANCE FOR CREDIT LOSSES - UNFUNDED LOAN COMMITMENTS	Quarters Ended
	Sep 30, 2025		Jun 30, 2025		Sep 30, 2024
Balance, beginning of period	$	12,750	$	12,162	$	14,027

Provision (recapture) for credit losses - unfunded loan commitments	1,290		588		(262)

Balance, end of period	$	14,040	$	12,750	$	13,765

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October 15, 2025

Page 11


ADDITIONAL FINANCIAL INFORMATION
(dollars in thousands)

NON-PERFORMING ASSETS	Sep 30, 2025			Jun 30, 2025			Dec 31, 2024			Sep 30, 2024
Loans on non-accrual status:
Secured by real estate:
Commercial	$	460		$	10		$	2,186		$	2,127

Construction and land	4,240			4,369			3,963			4,286
One- to four-family	16,576			15,480			10,016			9,592
Commercial business	6,824			6,647			7,067			10,705
Agricultural business, including secured by farmland	5,765			8,690			8,485			7,703
Consumer	4,877			4,802			4,835			4,636
	38,742			39,998			36,552			39,049
Loans more than 90 days delinquent, still on accrual:
Secured by real estate:
Commercial	274			—			—			2,258

Construction and land	—			—			—			380
One- to four-family	834			2,896			369			961
Commercial business	166			—			—			—

Consumer	—			80			35			359
	1,274			2,976			404			3,958
Total non-performing loans	40,016			42,974			36,956			43,007

REO	5,272			6,801			2,367			2,221
Other repossessed assets	—			—			300			—
Total non-performing assets	$	45,288		$	49,775		$	39,623		$	45,228
Total non-performing assets to total assets	0.27		%	0.30		%	0.24		%	0.28		%


LOANS BY CREDIT RISK RATING	Sep 30, 2025		Jun 30, 2025		Dec 31, 2024		Sep 30, 2024
Pass	$	11,491,485	$	11,432,456	$	11,118,744	$	11,022,014
Special Mention	37,013		68,372		43,451		52,497
Substandard	174,040		189,545		192,461		150,095

Total	$	11,702,538	$	11,690,373	$	11,354,656	$	11,224,606

BANR - Third Quarter 2025 Results

October 15, 2025

Page 12


ADDITIONAL FINANCIAL INFORMATION
(dollars in thousands)

DEPOSIT COMPOSITION									Percentage Change
	Sep 30, 2025		Jun 30, 2025		Dec 31, 2024		Sep 30, 2024		Prior Qtr		Prior Yr Qtr
Non-interest-bearing	$	4,572,338	$	4,504,491	$	4,591,543	$	4,688,244	2	%	(2)	%
Interest-bearing checking	2,734,822		2,534,900		2,393,864		2,344,561		8	%	17	%
Regular savings accounts	3,705,823		3,538,372		3,478,423		3,339,859		5	%	11	%
Money market accounts	1,462,570		1,471,756		1,550,896		1,643,631		(1)	%	(11)	%
Total interest-bearing transaction and savings accounts	7,903,215		7,545,028		7,423,183		7,328,051		5	%	8	%
Total core deposits	12,475,553		12,049,519		12,014,726		12,016,295		4	%	4	%
Interest-bearing certificates	1,540,382		1,477,772		1,499,672		1,521,853		4	%	1	%
Total deposits	$	14,015,935	$	13,527,291	$	13,514,398	$	13,538,148	4	%	4	%


GEOGRAPHIC CONCENTRATION OF DEPOSITS	Sep 30, 2025				Jun 30, 2025		Dec 31, 2024		Sep 30, 2024		Percentage Change
	Amount		Percentage		Amount		Amount		Amount		Prior Qtr		Prior Yr Qtr
Washington	$	7,648,527	55	%	$	7,334,391	$	7,441,413	$	7,413,414	4	%	3	%
Oregon	3,081,329		22	%	3,029,712		2,981,327		2,997,843		2	%	3	%
California	2,542,903		18	%	2,486,514		2,392,573		2,423,295		2	%	5	%
Idaho	743,176		5	%	676,674		699,085		703,596		10	%	6	%

Total deposits	$	14,015,935	100	%	$	13,527,291	$	13,514,398	$	13,538,148	4	%	4	%


INCLUDED IN TOTAL DEPOSITS	Sep 30, 2025		Jun 30, 2025		Dec 31, 2024		Sep 30, 2024
Public non-interest-bearing accounts	$	139,999	$	151,484	$	165,667	$	141,541
Public interest-bearing transaction & savings accounts	230,192		250,350		248,746		246,332
Public interest-bearing certificates	35,660		21,272		25,423		28,144
Total public deposits	$	405,851	$	423,106	$	439,836	$	416,017
Collateralized public deposits	$	312,142	$	329,416	$	336,376	$	317,960
Total brokered deposits	$	49,989	$	49,977	$	50,346	$	50,333

AVERAGE ACCOUNT BALANCE PER DEPOSIT ACCOUNT	Sep 30, 2025		Jun 30, 2025		Dec 31, 2024		Sep 30, 2024
Number of deposit accounts	449,087		451,185		460,004		459,127
Average account balance per account	$	31	$	30	$	30	$	30

BANR - Third Quarter 2025 Results

October 15, 2025

Page 13


ADDITIONAL FINANCIAL INFORMATION
(dollars in thousands)
ESTIMATED REGULATORY CAPITAL RATIOS AS OF SEPTEMBER 30, 2025	Actual				Minimum to be categorized as "Adequately Capitalized"				Minimum to be categorized as "Well Capitalized"
	Amount		Ratio		Amount		Ratio		Amount		Ratio

Banner Corporation-consolidated:
Total capital to risk-weighted assets	$	2,009,954	14.66	%	$	1,096,832	8.00	%	$	1,371,040	10.00	%
Tier 1 capital to risk-weighted assets	1,838,541		13.41	%	822,624		6.00	%	822,624		6.00	%
Tier 1 leverage capital to average assets	1,838,541		11.33	%	649,161		4.00	%	n/a		n/a
Common equity tier 1 capital to risk-weighted assets	1,752,041		12.78	%	616,968		4.50	%	n/a		n/a
Banner Bank:
Total capital to risk-weighted assets	1,941,114		14.16	%	1,096,375		8.00	%	1,370,469		10.00	%
Tier 1 capital to risk-weighted assets	1,769,772		12.91	%	822,281		6.00	%	1,096,375		8.00	%
Tier 1 leverage capital to average assets	1,769,772		10.91	%	648,959		4.00	%	811,198		5.00	%
Common equity tier 1 capital to risk-weighted assets	1,769,772		12.91	%	616,711		4.50	%	890,805		6.50	%

These regulatory capital ratios are estimates, pending completion and filing of Banner’s regulatory reports.

BANR - Third Quarter 2025 Results

October 15, 2025

Page 14


ADDITIONAL FINANCIAL INFORMATION
(dollars in thousands)
(rates / ratios annualized)
ANALYSIS OF NET INTEREST SPREAD	Quarters Ended
	Sep 30, 2025						Jun 30, 2025						Sep 30, 2024
	Average Balance		Interest and Dividends		Yield / Cost (3)		Average Balance		Interest and Dividends		Yield / Cost (3)		Average Balance		Interest and Dividends		Yield / Cost (3)
Interest-earning assets:
Held for sale loans	$	32,109	$	531	6.56	%	$	29,936	$	503	6.74	%	$	26,954	$	453	6.69	%
Mortgage loans	9,651,895		147,682		6.07	%	9,565,357		143,909		6.03	%	9,207,468		135,497		5.85	%
Commercial/agricultural loans	1,869,782		31,124		6.60	%	1,924,092		31,196		6.50	%	1,879,215		32,547		6.89	%
Consumer and other loans	119,593		2,114		7.01	%	121,142		2,087		6.91	%	128,548		2,154		6.67	%
Total loans (1)	11,673,379		181,451		6.17	%	11,640,527		177,695		6.12	%	11,242,185		170,651		6.04	%
Mortgage-backed securities	2,445,497		15,269		2.48	%	2,496,972		15,576		2.50	%	2,623,399		16,498		2.50	%
Other securities	854,725		9,065		4.21	%	893,062		9,561		4.29	%	943,310		11,120		4.69	%

Interest-bearing deposits with banks	291,147		3,053		4.16	%	75,539		577		3.06	%	51,604		493		3.80	%
FHLB stock	15,729		463		11.68	%	23,077		222		3.86	%	16,664		412		9.84	%
Total investment securities	3,607,098		27,850		3.06	%	3,488,650		25,936		2.98	%	3,634,977		28,523		3.12	%
Total interest-earning assets	15,280,477		209,301		5.43	%	15,129,177		203,631		5.40	%	14,877,162		199,174		5.33	%
Non-interest-earning assets	1,022,905						994,003						981,290
Total assets	$	16,303,382					$	16,123,180					$	15,858,452
Deposits:
Interest-bearing checking accounts	$	2,618,924	10,834		1.64	%	$	2,465,015	9,462		1.54	%	$	2,295,723	9,497		1.65	%
Savings accounts	3,616,728		20,170		2.21	%	3,493,965		18,837		2.16	%	3,268,647		19,299		2.35	%
Money market accounts	1,471,938		7,799		2.10	%	1,492,229		7,729		2.08	%	1,611,543		9,184		2.27	%
Certificates of deposit	1,510,966		13,448		3.53	%	1,489,611		13,288		3.58	%	1,540,637		15,805		4.08	%
Total interest-bearing deposits	9,218,556		52,251		2.25	%	8,940,820		49,316		2.21	%	8,716,550		53,785		2.45	%
Non-interest-bearing deposits	4,573,009		—		—	%	4,480,579		—		—	%	4,601,755		—		—	%
Total deposits	13,791,565		52,251		1.50	%	13,421,399		49,316		1.47	%	13,318,305		53,785		1.61	%
Other interest-bearing liabilities:
FHLB advances	133,380		1,527		4.54	%	296,671		3,370		4.56	%	161,413		2,263		5.58	%
Other borrowings	119,727		694		2.30	%	122,227		675		2.22	%	159,439		1,147		2.86	%
Junior subordinated debentures and subordinated notes	89,178		1,387		6.17	%	168,793		2,499		5.94	%	179,075		2,971		6.60	%
Total borrowings	342,285		3,608		4.18	%	587,691		6,544		4.47	%	499,927		6,381		5.08	%
Total funding liabilities	14,133,850		55,859		1.57	%	14,009,090		55,860		1.60	%	13,818,232		60,166		1.73	%
Other non-interest-bearing liabilities (2)	296,036						274,407						311,803
Total liabilities	14,429,886						14,283,497						14,130,035
Shareholders’ equity	1,873,496						1,839,683						1,728,417
Total liabilities and shareholders’ equity	$	16,303,382					$	16,123,180					$	15,858,452
Net interest income/rate spread (tax equivalent)			153,442		3.86	%			147,771		3.80	%			139,008		3.60	%
Net interest margin (tax equivalent)					3.98	%					3.92	%					3.72	%
Reconciliation to reported net interest income:
Adjustments for taxable equivalent basis			(3,453)						(3,372)						(3,333)
Net interest income and margin, as reported			$	149,989	3.89	%			$	144,399	3.83	%			$	135,675	3.63	%
Additional Key Financial Ratios:
Return on average assets					1.30	%					1.13	%					1.13	%
Adjusted return on average assets (4)					1.28	%					1.16	%					1.13	%
Return on average equity					11.33	%					9.92	%					10.39	%
Adjusted return on average equity (4)					11.18	%					10.20	%					10.39	%
Average equity/average assets					11.49	%					11.41	%					10.90	%
Average interest-earning assets/average interest-bearing liabilities					159.82	%					158.78	%					161.42	%
Average interest-earning assets/average funding liabilities					108.11	%					108.00	%					107.66	%
Non-interest income/average assets					0.50	%					0.44	%					0.45	%
Non-interest expense/average assets					2.48	%					2.52	%					2.42	%
Efficiency ratio					59.76	%					62.50	%					62.63	%
Adjusted efficiency ratio (4)					58.54	%					60.28	%					61.27	%

(1)Average balances include loans accounted for on a nonaccrual basis and accruing loans 90 days or more past due. Amortization of net deferred loan fees/costs is included with interest on loans.

(2)Average other non-interest-bearing liabilities include fair value adjustments related to junior subordinated debentures.

(3)Tax-exempt income is calculated on a tax equivalent basis. The tax equivalent yield adjustment to interest earned on loans was $2.4 million for the quarter ended September 30, 2025 and $2.3 million for both the quarters ended June 30, 2025 and September 30, 2024. The tax equivalent yield adjustment to interest earned on tax exempt securities was $1.1 million for both the quarters ended September 30, 2025 and June 30, 2025 and $1.0 million for the quarter ended September 30, 2024.

(4)Represent non-GAAP financial measures. See, “Additional Financial Information - Non-GAAP Financial Measures” on the final two pages of this press release for a reconciliation of non-GAAP financial measures.

BANR - Third Quarter 2025 Results

October 15, 2025

Page 15


ADDITIONAL FINANCIAL INFORMATION
(dollars in thousands)
(rates / ratios annualized)
ANALYSIS OF NET INTEREST SPREAD	Nine Months Ended
	Sep 30, 2025						Sep 30, 2024
	Average Balance		Interest and Dividends		Yield/Cost (3)		Average Balance		Interest and Dividends		Yield/Cost (3)
Interest-earning assets:
Held for sale loans	$	28,203	$	1,391	6.59	%	$	16,225	$	826	6.80	%
Mortgage loans	9,528,868		429,315		6.02	%	9,036,256		390,011		5.77	%
Commercial/agricultural loans	1,900,225		93,072		6.55	%	1,861,182		95,155		6.83	%
Consumer and other loans	120,735		6,293		6.97	%	131,676		6,506		6.60	%
Total loans (1)	11,578,031		530,071		6.12	%	11,045,339		492,498		5.96	%
Mortgage-backed securities	2,494,794		46,740		2.50	%	2,674,555		50,424		2.52	%
Other securities	883,330		28,313		4.29	%	962,183		33,802		4.69	%

Interest-bearing deposits with banks	144,974		4,114		3.79	%	51,630		1,530		3.96	%
FHLB stock	17,214		834		6.48	%	18,931		986		6.96	%
Total investment securities	3,540,312		80,001		3.02	%	3,707,299		86,742		3.13	%
Total interest-earning assets	15,118,343		610,072		5.40	%	14,752,638		579,240		5.24	%
Non-interest-earning assets	1,007,862						950,588
Total assets	$	16,126,205					$	15,703,226
Deposits:
Interest-bearing checking accounts	$	2,489,219	28,833		1.55	%	$	2,185,796	23,834		1.46	%
Savings accounts	3,521,141		57,110		2.17	%	3,161,266		51,778		2.19	%
Money market accounts	1,506,171		23,388		2.08	%	1,648,208		26,696		2.16	%
Certificates of deposit	1,510,594		40,973		3.63	%	1,514,982		44,940		3.96	%
Total interest-bearing deposits	9,027,125		150,304		2.23	%	8,510,252		147,248		2.31	%
Non-interest-bearing deposits	4,526,898		—		—	%	4,649,297		—		—	%
Total deposits	13,554,023		150,304		1.48	%	13,159,549		147,248		1.49	%
Other interest-bearing liabilities:
FHLB advances	168,663		5,757		4.56	%	211,135		8,856		5.60	%
Other borrowings	125,517		2,063		2.20	%	171,838		3,482		2.71	%
Junior subordinated debentures and subordinated notes	142,255		6,380		6.00	%	179,941		8,901		6.61	%
Total borrowings	436,435		14,200		4.35	%	562,914		21,239		5.04	%
Total funding liabilities	13,990,458		164,504		1.57	%	13,722,463		168,487		1.64	%
Other non-interest-bearing liabilities (2)	298,056						303,367
Total liabilities	14,288,514						14,025,830
Shareholders’ equity	1,837,691						1,677,396
Total liabilities and shareholders’ equity	$	16,126,205					$	15,703,226
Net interest income/rate spread (tax equivalent)			445,568		3.83	%			410,753		3.60	%
Net interest margin (tax equivalent)					3.94	%					3.72	%
Reconciliation to reported net interest income:
Adjustments for taxable equivalent basis			(10,097)						(9,573)
Net interest income and margin, as reported			$	435,471	3.85	%			$	401,180	3.63	%
Additional Key Financial Ratios:
Return on average assets					1.19	%					1.04	%
Adjusted return on average assets (4)					1.20	%					1.08	%
Return on average equity					10.49	%					9.76	%
Adjusted return on average equity (4)					10.51	%					10.16	%
Average equity/average assets					11.40	%					10.68	%
Average interest-earning assets/average interest-bearing liabilities					159.75	%					162.60	%
Average interest-earning assets/average funding liabilities					108.06	%					107.51	%
Non-interest income/average assets					0.48	%					0.40	%
Non-interest expense/average assets					2.53	%					2.48	%
Efficiency ratio					61.78	%					65.19	%
Adjusted efficiency ratio (4)					60.30	%					62.84	%

(1)Average balances include loans accounted for on a nonaccrual basis and loans 90 days or more past due. Amortization of net deferred loan fees/costs is included with interest on loans.

(2)Average other non-interest-bearing liabilities include fair value adjustments related to junior subordinated debentures.

(3)Tax-exempt income is calculated on a tax equivalent basis. The tax equivalent yield adjustment to interest earned on loans was $7.0 million and $6.5 million for the nine months ended September 30, 2025 and 2024, respectively. The tax equivalent yield adjustment to interest earned on tax exempt securities was $3.1 million for both the nine months ended September 30, 2025 and 2024.

BANR - Third Quarter 2025 Results

October 15, 2025

Page 16


ADDITIONAL FINANCIAL INFORMATION
(dollars in thousands)

* Non-GAAP Financial Measures
In addition to results presented in accordance with generally accepted accounting principles in the United States of America (GAAP), this earnings release contains certain non-GAAP financial measures. Tangible common shareholders’ equity per share and the ratio of tangible common equity to tangible assets, and references to adjusted revenue, adjusted earnings, the adjusted return on average assets, the adjusted return on average equity and the adjusted efficiency ratio represent non-GAAP financial measures. Management has presented these non-GAAP financial measures in this earnings release because it believes that they provide useful and comparative information to assess trends in Banner’s core operations reflected in the current quarter’s results and facilitate the comparison of our performance with the performance of our peers. However, these non-GAAP financial measures are supplemental and are not a substitute for any analysis based on GAAP. Where applicable, comparable earnings information using GAAP financial measures is also presented. Because not all companies use the same calculations, our presentation may not be comparable to other similarly titled measures as calculated by other companies. For a reconciliation of these non-GAAP financial measures, see the tables below:

ADJUSTED REVENUE	Quarters Ended						Nine Months Ended
	Sep 30, 2025		Jun 30, 2025		Sep 30, 2024		Sep 30, 2025		Sep 30, 2024
Net interest income (GAAP)	$	149,989	$	144,399	$	135,675	$	435,471	$	401,180
Non-interest income (GAAP)	20,730		17,751		18,063		57,589		46,853
Total revenue (GAAP)	170,719		162,150		153,738		493,060		448,033
Exclude: Net (gain) loss on sale of securities	(377)		3		—		(374)		5,465
Net change in valuation of financial instruments carried at fair value	(223)		(88)		(39)		(626)		1,143


(Gains) losses incurred on building and lease exits	(1,373)		919		—		(454)		—
Adjusted revenue (non-GAAP)	$	168,746	$	162,984	$	153,699	$	491,606	$	454,641


ADJUSTED EARNINGS	Quarters Ended									Nine Months Ended
	Sep 30, 2025			Jun 30, 2025			Sep 30, 2024			Sep 30, 2025			Sep 30, 2024
Net income (GAAP)	$	53,502		$	45,496		$	45,153		$	144,133		$	122,507
Exclude: Net (gain) loss on sale of securities	(377)			3			—			(374)			5,465
Net change in valuation of financial instruments carried at fair value	(223)			(88)			(39)			(626)			1,143


Building and lease exit costs	(331)			1,753			—			1,422			—
Related net tax expense (benefit)	224			(401)			9			(101)			(1,586)
Total adjusted earnings (non-GAAP)	$	52,795		$	46,763		$	45,123		$	144,454		$	127,529

Diluted earnings per share (GAAP)	$	1.54		$	1.31		$	1.30		$	4.15		$	3.54
Diluted adjusted earnings per share (non-GAAP)	$	1.52		$	1.35		$	1.30		$	4.16		$	3.69
Return on average assets	1.30		%	1.13		%	1.13		%	1.19		%	1.04		%
Adjusted return on average assets (1)	1.28		%	1.16		%	1.13		%	1.20		%	1.08		%
Return on average equity	11.33		%	9.92		%	10.39		%	10.49		%	9.76		%
Adjusted return on average equity (2)	11.18		%	10.20		%	10.39		%	10.51		%	10.16		%

(1)Adjusted earnings (non-GAAP) divided by average assets.

(2)Adjusted earnings (non-GAAP) divided by average equity.

BANR - Third Quarter 2025 Results

October 15, 2025

Page 17


ADDITIONAL FINANCIAL INFORMATION
(dollars in thousands)
ADJUSTED EFFICIENCY RATIO	Quarters Ended									Nine Months Ended
	Sep 30, 2025			Jun 30, 2025			Sep 30, 2024			Sep 30, 2025			Sep 30, 2024
Non-interest expense (GAAP)	$	102,022		$	101,348		$	96,291		$	304,629		$	292,060


Exclude: CDI amortization	(341)			(455)			(590)			(1,252)			(2,037)
State/municipal tax expense	(1,655)			(1,416)			(1,432)			(4,525)			(4,130)
REO operations	(203)			(392)			(103)			(534)			(180)
Building and lease exit costs	(1,042)			(834)			—			(1,876)			—
Adjusted non-interest expense (non-GAAP)	$	98,781		$	98,251		$	94,166		$	296,442		$	285,713

Net interest income (GAAP)	$	149,989		$	144,399		$	135,675		$	435,471		$	401,180
Non-interest income (GAAP)	20,730			17,751			18,063			57,589			46,853
Total revenue (GAAP)	170,719			162,150			153,738			493,060			448,033
Exclude: Net (gain) loss on sale of securities	(377)			3			—			(374)			5,465
Net change in valuation of financial instruments carried at fair value	(223)			(88)			(39)			(626)			1,143

(Gains) losses incurred on building and lease exits	(1,373)			919			—			(454)			—
Adjusted revenue (non-GAAP)	$	168,746		$	162,984		$	153,699		$	491,606		$	454,641

Efficiency ratio (GAAP)	59.76		%	62.50		%	62.63		%	61.78		%	65.19		%
Adjusted efficiency ratio (non-GAAP) (1)	58.54		%	60.28		%	61.27		%	60.30		%	62.84		%

(1)Adjusted non-interest expense (non-GAAP) divided by adjusted revenue.


TANGIBLE COMMON SHAREHOLDERS’ EQUITY TO TANGIBLE ASSETS
	Sep 30, 2025			Jun 30, 2025			Dec 31, 2024			Sep 30, 2024
Shareholders’ equity (GAAP)	$	1,912,892		$	1,865,664		$	1,774,326		$	1,793,721
Exclude goodwill and other intangible assets, net	374,927			375,268			376,179			376,768
Tangible common shareholders’ equity (non-GAAP)	$	1,537,965		$	1,490,396		$	1,398,147		$	1,416,953

Total assets (GAAP)	$	16,563,081		$	16,437,169		$	16,200,037		$	16,188,676
Exclude goodwill and other intangible assets, net	374,927			375,268			376,179			376,768
Total tangible assets (non-GAAP)	$	16,188,154		$	16,061,901		$	15,823,858		$	15,811,908
Common shareholders’ equity to total assets (GAAP)	11.55		%	11.35		%	10.95		%	11.08		%
Tangible common shareholders’ equity to tangible assets (non-GAAP)	9.50		%	9.28		%	8.84		%	8.96		%

TANGIBLE COMMON SHAREHOLDERS’ EQUITY PER SHARE
Shareholders’ equity (GAAP)	$	1,912,892		$	1,865,664		$	1,774,326		$	1,793,721
Tangible common shareholders’ equity (non-GAAP)	$	1,537,965		$	1,490,396		$	1,398,147		$	1,416,953
Common shares outstanding at end of period	34,335,297			34,583,994			34,459,832			34,456,688
Common shareholders’ equity (book value) per share (GAAP)	$	55.71		$	53.95		$	51.49		$	52.06
Tangible common shareholders’ equity (tangible book value) per share (non-GAAP)	$	44.79		$	43.09		$	40.57		$	41.12

BANNER CORP 8-K