UMB Financial Corporation

Hello and thank you for standing by. My name is Dennis and I will be your conference operator today. At this time, I would like to welcome everyone to the UMB Financial Second Quarter 2026 Financial Results Conference Call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, press star 1 again. I would now like to turn the call over to Kay Gregory with Investor Relations. Please go ahead.

Good morning and welcome to our second quarter 2026 call. Mariner Kemper, Chairman and CEO, and Ram Shankar, CFO, will share a few comments about our results and then we'll open the call for questions from equity research analysts. Jim Rine, President of the Holding Company and CEO of UMB Bank, along with Tom Carey, Chief Credit Officer, will be available for the question and answer session. Before we begin, let me remind you that today's presentation contains forward-looking statements, including the discussion of future financial and operating results, as well as other opportunities management foresees. Forward-looking statements and any pro forma metrics are subject to assumptions, risks, and uncertainties as outlined in RCC filings and summarized in our presentation on slide 48. Actual results may differ from those set forth in forward-looking statements, which speak only as of today. We undertake no obligation to update them except to the extent required by securities laws. Presentation materials are available online at investorrelations.umb.com and include reconciliations of non-GAAP financial measures. All per share metrics refer to common shares and are on a diluted share basis. Now, I'll turn the call over to Mariner Kemper.

Thank you, Kay, and good morning, everyone. Yesterday afternoon, We reported second quarter net income of $271.8 million, resulting in earnings per share of $3.56. Our strong results generated an operating return on tangible common equity of 20.3% and an operating efficiency ratio of 48.1. A few highlights from the quarter include a 12.6% linked quarter annualized growth in average loan balances, bolstered by a record $2.6 billion in gross production. continued high-quality credit metrics with net charge-offs of just 16 basis points of average loans, non-performing loans were 31 basis points, an improvement from 38 basis points in the first quarter, four basis points of core margin expansion through disciplined pricing on both sides of the balance sheet, and ongoing momentum in our fee businesses. Our private investment activity continued to deliver with $27.1 million in net gains from our holdings primarily related to our investment in Beacon Communication and SpaceX Technologies. Total fee income from our varied institutional banking businesses increased 6% on a linked quarter basis and 19.6% from the second quarter in 2025, led by asset servicing and corporate trust. Each of those businesses saw a more than 20% year-over-year increase in fee income. In fund services, assets under administration increased nearly $57 billion from the prior quarter and stand at $622 billion. And finally, our off-balance sheet deposits grew by 3.6% from the first quarter to $23.7 billion. This growth drove an increase of $4.2 million, or 23%, in our 12B1 fees and money market income. As expected, deposit growth and pricing continue to be an industry focal point. Our average deposit balances were flat for the quarter as increase in commercial and asset servicing were partially offset by the seasonal decline in public funds, along with our lower investor solution balances. Our average cost of interest to bearing deposits stayed roughly flat as well. While balances were flat, we are well positioned with a diverse funding mix Thank you for joining us today. and additional $24 billion in off-balance sheet client deposits. A portion of those deposits can always be brought on balance sheet if desired at market rates. And our asset base also provides additional flexibility, including $2.3 billion in securities that roll off or mature within the next 12 months. On the capital front, levels continue to build with June 30 common equity tier one ratio of 11.45%, a 29 basis point increase from March. Our capital priorities remain the same with supporting organic loan growth at the top of the list. We have demonstrated consistent growth with a median lean quarter annualized increase in loan balances of 10.5% over the past decade. Our continued strong financial performance and pace of capital accretion allowed us to raise the dividend this quarter. Yesterday, the board declared a common dividend of 50 cents a share representing a 16.3% increase. supporting our commitment to return value to our shareholders. We also opportunistically repurchased approximately 38,000 shares for $5 million during the quarter. Finally, our results in the first half of the year drove positive operating leverage of 12.2% on a year-over-year basis. We continue to expect positive operating leverage for the full year of 2026, even with the continuing impact of lower expected contractual accretions I'm extremely pleased with the second quarter results and I'm excited to continue this momentum in the second half of the year. Now I'll turn it over to Ram for more detail on the drivers of our results. Ram?