Q2 beat, buyback plan, Utah expansion, $250M debt raise
Q2 earnings beat and buyback plan Columbia beat profit estimates ($0.76 vs $0.73) and said it will buy back $150M-$200M of its own stock in Q3, after already returning over $300M to shareholders. Buybacks shrink the share count, which tends to lift the stock price.
The earnings beat plus a concrete buyback plan is the main new force pushing COLB up.
Revenue miss and shrinking loan book Revenue of $677M-$683M fell short of estimates, and total loans slipped to $47.2B as commercial real estate borrowers paid off loans faster than new ones were made. Management called this disciplined lending, but slower loan growth weighs on future profit.
This is the real counterweight: the top line missed and the loan book is contracting.
New Utah branches expand customer reach Columbia opened a combined commercial and retail branch in Draper, Utah, the first of three planned Salt Lake City-area locations in 2026. More branches mean more potential deposits and loans, supporting growth over time.
Branch expansion is a new, concrete driver of future deposit and loan growth.
$250M subordinated notes priced Columbia Bank priced $250M of subordinated notes due 2036 at 6.721%, counted as regulatory capital. Proceeds fund growth and let the parent redeem trust preferred securities, but the interest cost adds a modest expense.
This new financing strengthens capital but carries a real cost, so the effect is mixed.