UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q


☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2025


☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission File Number 0-14384

BancFirst Corporation

(Exact name of registrant as specified in charter)


Oklahoma		73-1221379
(State or other Jurisdiction of		(I.R.S. Employer
incorporation or organization)		Identification No.)


100 N. Broadway Ave., Oklahoma City, Oklahoma		73102-8405
(Address of principal executive offices)		(Zip Code)

(405) 270-1086

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading
Symbol(s)

Name of each exchange on which registered

Common Stock, $1.00 Par Value Per Share

BANF

NASDAQ Global Select Market System

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐.

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (sec. 232-405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐.

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See definition of “accelerated filer and large accelerated filer” in Rule 12b-2 of the Exchange Act.


Large accelerated filer	☒	Accelerated filer	☐

Non-accelerated filer	☐	Smaller reporting company	☐

Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined by Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of July 31, 2025, there were 33,309,310 shares of the registrant’s Common Stock outstanding.

BancFirst Corporation

Quarterly Report on Form 10-Q

June 30, 2025

Table of Contents


Item	PART I – Financial Information	Page
1.	Financial Statements (Unaudited)	2
	Consolidated Balance Sheets	2
	Consolidated Statements of Comprehensive Income	3
	Consolidated Statements of Shareholders’ Equity	4
	Consolidated Statements of Cash Flow	5

	Notes to Consolidated Financial Statements	6
2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	31
3.	Quantitative and Qualitative Disclosure About Market Risk	41
4.	Controls and Procedures	41

	PART II – Other Information
1.	Legal Proceedings	42
1A.	Risk Factors	42
2.	Unregistered Sales of Equity Securities	42
3.	Defaults Upon Senior Securities	42
4.	Mine Safety Disclosures	42
5.	Other Information	42
6.	Exhibits	43
Signatures		44

PART I – FINANCIAL INFORMATION

Item 1. Financial Statements.

BANCFIRST CORPORATION

CONSOLIDATED BALANCE SHEETS

(Dollars in thousands)


	June 30,			December 31,
	2025			2024
	(unaudited)			(see Note 1)
ASSETS
Cash and due from banks	$	259,587		$	237,840
Interest-bearing deposits with banks		3,737,763			3,315,932
Federal funds sold		—			715
Debt securities held for investment (fair value: $561 and $837, respectively)		561			837
Debt securities available for sale at fair value		1,104,043			1,210,917
Loans held for sale		10,009			8,073
Loans held for investment (net of unearned interest)		8,114,488			8,025,110
Allowance for credit losses		(96,988	)		(99,497	)
Loans, net of allowance for credit losses		8,017,500			7,925,613
Premises and equipment, net		312,151			295,943
Other real estate owned		52,196			33,051
Intangible assets, net		11,410			13,158
Goodwill		182,263			182,263
Accrued interest receivable and other assets		358,297			329,972
Total assets	$	14,045,780		$	13,554,314

LIABILITIES AND STOCKHOLDERS' EQUITY
Deposits:
Noninterest-bearing	$	3,967,626		$	3,907,060
Interest-bearing		8,088,566			7,811,486
Total deposits		12,056,192			11,718,546
Short-term borrowings		5,860			—
Accrued interest payable and other liabilities		169,505			128,424
Subordinated debt		86,185			86,157
Total liabilities		12,317,742			11,933,127

Stockholders' equity:
Senior preferred stock, $1.00 par; 10,000,000 shares authorized; none issued		—			—
Cumulative preferred stock, $5.00 par; 900,000 shares authorized; none issued		—			—
Common stock, $1.00 par, 40,000,000 shares authorized; shares issued and outstanding: 33,272,131 and 33,216,519, respectively		33,272			33,217
Capital surplus		190,698			187,062
Retained earnings		1,521,631			1,433,768
Accumulated other comprehensive loss, net of tax benefit of $5,442 and $10,191, respectively		(17,563	)		(32,860	)
Total stockholders' equity		1,728,038			1,621,187
Total liabilities and stockholders' equity	$	14,045,780		$	13,554,314

The accompanying Notes are an integral part of these consolidated financial statements.

BANCFIRST CORPORATION

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

(Dollars in thousands, except per share data)


	Three Months Ended					Six Months Ended
	June 30,					June 30,
	2025			2024		2025			2024
INTEREST INCOME
Loans, including fees	$	139,337		$	137,710	$	276,321		$	269,836
Securities:
Taxable		6,887			8,932		13,893			18,113
Tax-exempt		17			18		35			38
Federal funds sold		—			5		1			24
Interest-bearing deposits with banks		42,186			31,800		80,653			62,097
Total interest income		188,427			178,465		370,903			350,108
INTEREST EXPENSE
Deposits		66,089			67,479		131,579			131,892
Short-term borrowings		51			59		58			155
Subordinated debt		1,031			1,031		2,061			2,061
Total interest expense		67,171			68,569		133,698			134,108
Net interest income		121,256			109,896		237,205			216,000
Provision for credit losses on loans		1,239			3,358		2,700			7,373
Provision for off-balance sheet credit exposures		148			—		273			—
Total provision for credit losses		1,387			3,358		2,973			7,373
Net interest income after provision for credit losses		119,869			106,538		234,232			208,627
NONINTEREST INCOME
Trust revenue		5,795			5,490		11,334			10,578
Service charges on deposits		17,741			17,280		34,545			33,708
Securities transactions		(740	)		317		(1,073	)		50
Sales of loans		830			733		1,466			1,224
Insurance commissions		7,920			6,668		18,330			16,123
Cash management		10,573			9,149		20,624			17,800
Gain/(loss) on sale of other assets		840			55		998			(4	)
Other		5,089			4,252		10,718			9,365
Total noninterest income		48,048			43,944		96,942			88,844
NONINTEREST EXPENSE
Salaries and employee benefits		55,147			51,928		109,740			103,456
Occupancy, net		6,037			5,233		11,790			10,439
Depreciation		4,691			4,504		9,499			9,060
Amortization of intangible assets		862			887		1,748			1,773
Data processing services		2,985			2,696		5,877			5,312
Net expense from other real estate owned		2,941			1,656		5,599			3,858
Marketing and business promotion		2,325			2,246		4,786			4,502
Deposit insurance		1,675			1,614		3,400			3,052
Other		11,536			14,552		27,939			26,643
Total noninterest expense		88,199			85,316		180,378			168,095
Income before taxes		79,718			65,166		150,796			129,376
Income tax expense		17,371			14,525		32,337			28,401
Net income	$	62,347		$	50,641	$	118,459		$	100,975
NET INCOME PER COMMON SHARE
Basic	$	1.87		$	1.53	$	3.56		$	3.06
Diluted	$	1.85		$	1.51	$	3.51		$	3.01
OTHER COMPREHENSIVE GAIN
Unrealized income on debt securities, net of tax expense of $1,911, $1,263, $4,749 and $535, respectively		6,159			4,105		15,297			1,801
Other comprehensive income, net of tax expense of $1,911, $1,263, $4,749 and $535, respectively		6,159			4,105		15,297			1,801
Comprehensive income	$	68,506		$	54,746	$	133,756		$	102,776

The accompanying Notes are an integral part of these consolidated financial statements.

BANCFIRST CORPORATION

CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(Unaudited)

(Dollars in thousands)


	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2025			2024			2025			2024
COMMON STOCK
Issued at beginning of period	$	33,242		$	32,967		$	33,217		$	32,933
Shares issued for stock-based compensation plans		30			55			55			89
Issued at end of period	$	33,272		$	33,022		$	33,272		$	33,022
CAPITAL SURPLUS
Balance at beginning of period	$	188,718		$	176,227		$	187,062		$	174,695
Common stock issued for stock-based compensation plans		1,061			1,659			1,927			2,476
Stock-based compensation arrangements		919			920			1,709			1,635
Balance at end of period	$	190,698		$	178,806		$	190,698		$	178,806
RETAINED EARNINGS
Balance at beginning of period	$	1,474,589		$	1,312,464		$	1,433,768		$	1,276,305
Net income		62,347			50,641			118,459			100,975
Dividends on common stock ($0.46, $0.43, $0.92 and $0.86 per share, respectively)		(15,305	)		(14,200	)		(30,596	)		(28,375	)
Balance at end of period	$	1,521,631		$	1,348,905		$	1,521,631		$	1,348,905
ACCUMULATED OTHER COMPREHENSIVE LOSS
Unrealized (losses)/gains on securities:
Balance at beginning of period	$	(23,722	)	$	(52,346	)	$	(32,860	)	$	(50,042	)
Net change		6,159			4,105			15,297			1,801
Balance at end of period	$	(17,563	)	$	(48,241	)	$	(17,563	)	$	(48,241	)
Total stockholders’ equity	$	1,728,038		$	1,512,492		$	1,728,038		$	1,512,492

The accompanying Notes are an integral part of these consolidated financial statements.

BANCFIRST CORPORATION

CONSOLIDATED STATEMENTS OF CASH FLOW

(Unaudited)

(Dollars in thousands)


	Six Months Ended
	June 30,
	2025			2024
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$	118,459		$	100,975
Adjustments to reconcile to net cash provided by operating activities:
Provision for credit losses		2,973			7,373
Depreciation and amortization		11,247			10,833
Net amortization of securities premiums and discounts		(232	)		(627	)
Realized securities losses/(gains)		1,073			(50	)
Gain on sales of loans		(1,466	)		(1,224	)
Cash receipts from the sale of loans originated for sale		86,205			110,096
Cash disbursements for loans originated for sale		(86,675	)		(72,791	)
Deferred income tax benefit		(2,194	)		(1,764	)
Gain on sale of other assets		(919	)		(1,319	)
Increase/(decrease) in interest receivable		914			(3,074	)
(Decrease)/increase in interest payable		(334	)		5,314
Amortization of stock-based compensation arrangements		1,709			1,635
Excess tax benefit from stock-based compensation arrangements		(1,043	)		(750	)
Other, net		25,357			11,848
Net cash provided by operating activities		155,074			166,475
INVESTING ACTIVITIES
Net decrease in federal funds sold		715			214
Purchases of available for sale debt securities		(233	)		(270	)
Proceeds from maturities, calls and paydowns of held for investment debt securities		90			352
Proceeds from maturities, calls and paydowns of available for sale debt securities		127,572			116,611
Purchase of equity securities		(256	)		(404	)
Proceeds from paydowns and sales of equity securities		351			206
Net change in loans		(114,469	)		(445,920	)
Net payments on derivative asset contracts		(3,163	)		(22,293	)
Purchases of premises, equipment and computer software		(25,054	)		(16,273	)
Purchase of tax credits		(16,289	)		(2,469	)
Other, net		4,322			8,978
Net cash used in investing activities		(26,414	)		(361,268	)
FINANCING ACTIVITIES
Net change in deposits		337,646			315,480
Net change in short-term borrowings		5,860			913
Issuance of common stock in connection with stock-based compensation plans, net		1,982			2,565
Cash dividends paid		(30,570	)		(28,336	)
Net cash provided by financing activities		314,918			290,622
Net increase in cash, due from banks and interest-bearing deposits		443,578			95,829
Cash, due from banks and interest-bearing deposits at the beginning of the period		3,553,772			2,397,463
Cash, due from banks and interest-bearing deposits at the end of the period	$	3,997,350		$	2,493,292
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash paid during the period for interest	$	134,032		$	128,794
Cash paid during the period for income taxes	$	16,331		$	22,349
Noncash investing and financing activities:
Unpaid common stock dividends declared	$	15,305		$	14,200

The accompanying Notes are an integral part of these consolidated financial statements.

BANCFIRST CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(1) DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The accounting and reporting policies of BancFirst Corporation and its subsidiaries (the “Company”) conform to accounting principles generally accepted in the United States of America (U.S. GAAP) and general practice within the banking industry. A summary of significant accounting policies can be found in Note (1) to the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.

Basis of Presentation

The accompanying unaudited interim consolidated financial statements include the accounts of BancFirst Corporation, Council Oak Partners, LLC, BFC-PNC, LLC, BancFirst Insurance Services, Inc., Pegasus Bank ("Pegasus"), Worthington Bank ("Worthington") and BancFirst and its subsidiaries ("BancFirst"). The principal operating subsidiaries of BancFirst are BFTower, LLC and BancFirst Agency, Inc. All significant intercompany accounts and transactions have been eliminated. Assets held in a fiduciary or agency capacity are not assets of the Company and, accordingly, are not included in the unaudited interim consolidated financial statements.

The accompanying unaudited interim consolidated financial statements and notes are presented in accordance with U.S. GAAP for interim financial information and the instructions for Form 10-Q adopted by the Securities and Exchange Commission (“SEC”). The information contained in the consolidated financial statements and footnotes included in BancFirst Corporation’s Annual Report on Form 10-K for the year ended December 31, 2024, should be referred to in connection with these unaudited interim consolidated financial statements. Operating results for the interim periods disclosed herein are not necessarily indicative of the results that may be expected for a full year or any future period.

The unaudited interim consolidated financial statements contained herein reflect all adjustments, which are, in the opinion of management, necessary to provide a fair statement of the financial position and results of operations of the Company for the interim periods presented. All such adjustments are of a normal and recurring nature.

Use of Estimates in the Preparation of Financial Statements

The preparation of financial statements in conformity with accounting principles generally accepted in the United States inherently involves the use of estimates and assumptions that affect the amounts reported in the financial statements and the related disclosures. These estimates relate principally to the determination of the allowance for credit losses, income taxes, the fair value of financial instruments and the valuation of assets and liabilities acquired in a business combination, including identifiable intangible assets. Such estimates and assumptions may change over time and actual amounts realized may differ from those reported.

Recent Accounting Pronouncements

Standards Not Yet Adopted:

In November 2024, the Financial Accounting Standards Board (“FASB“) issued Accounting Standards Update (“ASU”) 2024-03, “Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures” requiring disclosure of certain costs and expenses in the notes to financial statements. This ASU is effective for annual reporting periods beginning after December 15, 2026, and interim periods within annual reporting periods beginning after December 15, 2027. The amendments may be applied prospectively or retrospectively to all periods presented. The Company does not expect adoption of the standard to have a material impact on its consolidated financial statements.

In December 2023, FASB issued ASU No. 2023-09, “Income Taxes - Improvements to Income Tax Disclosures” requiring enhancements and further transparency to certain income tax disclosures, most notably the tax rate reconciliation and income taxes paid. This ASU is effective for annual periods beginning after December 15, 2024 on a prospective basis and retrospective application is permitted. The Company does not expect adoption of the standard to have a material impact on its consolidated financial statements.

(2) RECENT DEVELOPMENTS, INCLUDING MERGERS AND ACQUISITIONS

On May 20, 2025, the Company entered into an agreement to acquire American Bank of Oklahoma ("ABOK"), a privately held community bank headquartered in Collinsville, Oklahoma. ABOK has approximately $385 million in total assets, $280 million in loans, and $320 million in deposits. The transaction is expected to close in the third quarter of 2025, subject to regulatory approvals and

customary closing conditions. ABOK will operate under its present name until it is merged into BancFirst, which is expected to be in the fourth quarter of 2025.

(3) SECURITIES

The following table summarizes the amortized cost and estimated fair values of debt securities held for investment:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
June 30, 2025	(Dollars in thousands)
Mortgage backed securities (1)	$	1	$	—	$	—	$	1
States and political subdivisions		60		—		—		60
Other securities		500		—		—		500
Total	$	561	$	—	$	—	$	561
December 31, 2024
Mortgage backed securities (1)	$	2	$	—	$	—	$	2
States and political subdivisions		335		—		—		335
Other securities		500		—		—		500
Total	$	837	$	—	$	—	$	837

The following table summarizes the amortized cost and estimated fair values of debt securities available for sale:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
June 30, 2025	(Dollars in thousands)
U.S. treasuries	$	1,091,549	$	699	$	(21,223	)	$	1,071,025
U.S. federal agencies		7,432		74		(5	)		7,501
Mortgage backed securities (1)		14,030		9		(1,469	)		12,570
States and political subdivisions		5,874		2		(127	)		5,749
Other securities		8,163		—		(965	)		7,198
Total	$	1,127,048	$	784	$	(23,789	)	$	1,104,043
December 31, 2024
U.S. treasuries	$	1,216,258	$	—	$	(40,249	)	$	1,176,009
U.S. federal agencies		8,170		68		(6	)		8,232
Mortgage backed securities (1)		14,807		9		(1,772	)		13,044
States and political subdivisions		6,570		6		(140	)		6,436
Other securities		8,163		—		(967	)		7,196
Total	$	1,253,968	$	83	$	(43,134	)	$	1,210,917

(1) Primarily consists of FHLMC, FNMA, GNMA and mortgage backed securities through U.S. agencies.

The maturities of debt securities held for investment and available for sale are summarized in the following table using contractual maturities. Actual maturities may differ from contractual maturities due to obligations that are called or prepaid. For purposes of the maturity table, mortgage-backed securities, which are not due at a single maturity date, have been presented at their contractual maturity.


	June 30, 2025				December 31, 2024
	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value
	(Dollars in thousands)
Held for Investment
Contractual maturity of debt securities:
Within one year	$	560	$	560	$	776	$	776
After one year but within five years		1		1		61		61
After five years but within ten years		—		—		—		—
After ten years		—		—		—		—
Total	$	561	$	561	$	837	$	837
Available for Sale
Contractual maturity of debt securities:
Within one year	$	340,445	$	336,476	$	335,108	$	330,076
After one year but within five years		757,598		741,045		888,721		853,508
After five years but within ten years		13,414		12,423		13,369		12,354
After ten years		15,591		14,099		16,770		14,979
Total debt securities	$	1,127,048	$	1,104,043	$	1,253,968	$	1,210,917

The following table is a summary of the Company’s book value of securities that were pledged as collateral for public funds on deposit, repurchase agreements and for other purposes as required or permitted by law:


	June 30, 2025		December 31, 2024
	(Dollars in thousands)
Book value of pledged securities	$	858,120	$	918,523

There were no sales of debt securities and therefore no proceeds from sales or realized securities gains or losses on available for sale debt securities for the six months ended June 30, 2025 or June 30, 2024.

Realized gains or losses on debt and equity securities are reported as securities transactions within the noninterest income section of the consolidated statement of comprehensive income.

The following table summarizes debt securities with unrealized losses, segregated by the duration of the unrealized loss, at June 30, 2025 and December 31, 2024 respectively:


			Less than 12 Months				More than 12 Months				Total
	Number of investments		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
			(Dollars in thousands)
June 30, 2025
Available for Sale
U.S. treasuries		42	$	—	$	—	$	979,845	$	21,223	$	979,845	$	21,223
U.S. federal agencies		5		637		3		440		2		1,077		5
Mortgage backed securities		55		1,163		2		11,068		1,467		12,231		1,469
States and political subdivisions		4		801		1		758		126		1,559		127
Other securities		3		—		—		7,198		965		7,198		965
Total		109	$	2,601	$	6	$	999,309	$	23,783	$	1,001,910	$	23,789
December 31, 2024
Available for Sale
U.S. treasuries		51	$	89,867	$	1,030	$	1,086,142	$	39,219	$	1,176,009	$	40,249
U.S. federal agencies		5		681		4		500		2		1,181		6
Mortgage backed securities		63		1,214		15		11,498		1,757		12,712		1,772
States and political subdivisions		4		802		2		752		138		1,554		140
Other securities		3		—		—		7,196		967		7,196		967
Total		126	$	92,564	$	1,051	$	1,106,088	$	42,083	$	1,198,652	$	43,134

The Company has the ability and intent to hold the debt securities classified as held for investment until they mature, at which time the Company will receive full value for the debt securities. Furthermore, as of June 30, 2025 and December 31, 2024, the Company also had the ability and intent to hold the debt securities classified as available for sale for a period of time sufficient for a recovery of cost. The unrealized losses are due to increases in market interest rates over the yields available at the time the underlying debt securities were purchased. The fair value of those debt securities having unrealized losses is expected to recover as the securities approach their maturity date or repricing date or if market yields for such investments decline. The Company has no intent or requirement to sell before the recovery of the unrealized loss; therefore, no impairment loss was realized in the Company’s consolidated statement of comprehensive income.

(4) LOANS HELD FOR INVESTMENT AND ALLOWANCE FOR CREDIT LOSSES ON LOANS

Loans held for investment are summarized by portfolio segment as follows:


	June 30, 2025		December 31, 2024
	(Dollars in thousands)
Real estate:
Commercial real estate owner occupied		937,426		931,709
Commercial real estate non-owner occupied		1,674,229		1,578,483
Construction and development < 60 months		684,291		756,662
Construction residential real estate < 60 months		235,032		250,373
Residential real estate first lien		1,462,758		1,431,265
Residential real estate all other		291,362		275,461
Agriculture		447,984		449,190
Commercial non-real estate		1,427,576		1,363,462
Consumer non-real estate		481,725		478,647
Oil and gas		472,105		509,858
Total (1)	$	8,114,488	$	8,025,110
(1) Excludes accrued interest receivable of $40.9 million at June 30, 2025 and $40.9 million at December 31, 2024, that is recorded in accrued interest receivable and other assets.

The Company's loans are currently 83% held by BancFirst and 17% held by Pegasus and Worthington. In addition, approximately 71% of the Company's loans are secured by real estate. Credit risk on loans is managed through limits on amounts loaned to individual and related borrowers, underwriting standards and loan monitoring procedures. The amounts and types of collateral obtained, if any, to secure loans are based upon the Company’s underwriting standards and management’s credit evaluation. Collateral varies, but may include real estate, equipment, accounts receivable, inventory, livestock and/or securities. The Company’s interest in collateral is secured through filing mortgages and liens, or by possession of the collateral.

The Company's portfolio segment descriptions and the weighted average remaining life of portfolio segments are disclosed in Note (5) to the Company's Annual Report on Form 10-K for the year ended December 31, 2024.

Other Real Estate Owned and Repossessed Assets and Loan Modifications

The following is a summary of other real estate owned ("OREO") and repossessed assets:



	June 30, 2025		December 31, 2024
	(Dollars in thousands)
Other real estate owned and repossessed assets	$	53,022	$	33,665

During the six months ended June 30, 2025 the Company foreclosed on a construction and development real estate loan and recorded $15.6 million in OREO, which was the primary reason for the increase in OREO.

In addition, as of both June 30, 2025 and December 31, 2024, OREO included a commercial real estate property recorded at approximately $30.7 million and $28.1 million, respectively. The increase for this commercial real estate property was due to tenant improvements during the six months ended June 30, 2025. Rental income for this property is included in other noninterest income on the consolidated statements of comprehensive income. Operating expense for this property is included in net expense from other real estate owned in noninterest expense on the consolidated statements of comprehensive income.

This property had the following rental income and operating expenses for the periods presented.


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
	(Dollars in thousands)
Rental income	$	3,202	$	3,085	$	6,323	$	6,026
Operating expense		2,673		2,673		5,297		4,923

During the six months ended June 30, 2025, the Company sold property held in other real estate owned for a total loss of $79,000, compared to a total gain of $1.3 million in the six months ended June 30, 2024.

The Company charges interest on principal balances outstanding on modified loans during deferral periods. The current and future financial effects of the recorded balance of loans considered to be modified during the period were not material. The recorded balance of loans modified during the six months ended June 30, 2025 was approximately $3.6 million compared to $14.8 million during the year ended December 31, 2024.

Nonaccrual loans

The Company did not recognize any interest income on nonaccrual loans for either the six months ended June 30, 2025 or 2024. In addition, all loans identified as nonaccrual loans have related allowances for credit losses at June 30, 2025 and December 31, 2024, respectively. Had nonaccrual loans performed in accordance with their original contractual terms, the Company would have recognized additional interest income of approximately $2.3 million for the six months ended June 30, 2025 and approximately $1.8 million for the six months ended June 30, 2024.

Nonaccrual loans guaranteed by government agencies totaled approximately $9.5 million at June 30, 2025 and approximately $9.0 million at December 31, 2024.

The following table is a summary of amounts included in nonaccrual loans, segregated by portfolio segment.


	June 30, 2025		December 31, 2024
	(Dollars in thousands)
Real estate:
Commercial real estate owner occupied	$	7,347	$	7,957
Commercial real estate non-owner occupied		21,857		8,913
Construction and development < 60 months		1,318		20,445
Construction residential real estate < 60 months		1,881		1,481
Residential real estate first lien		5,138		5,193
Residential real estate all other		828		653
Agriculture		1,754		2,047
Commercial non-real estate		6,914		8,552
Consumer non-real estate		1,151		1,028
Oil and gas		1,690		1,715
Total	$	49,878	$	57,984

Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due. The following tables present an age analysis of the Company's loans held for investment:


	Age Analysis of Past Due Loans
	30-59 Days Past Due		60-89 Days Past Due		90 Days and Greater		Total Past Due Loans		Current Loans		Total Loans		Accruing Loans 90 Days or More Past Due
	(Dollars in thousands)
As of June 30, 2025
Real estate:
Commercial real estate owner occupied	$	525	$	33	$	6,750	$	7,308	$	930,118	$	937,426	$	514
Commercial real estate non-owner occupied		1,691		103		17,844		19,638		1,654,591		1,674,229		—
Construction and development < 60 months		753		2,361		1,185		4,299		679,992		684,291		16
Construction residential real estate < 60 months		—		—		1,068		1,068		233,964		235,032		—
Residential real estate first lien		8,090		1,850		4,884		14,824		1,447,934		1,462,758		2,470
Residential real estate all other		865		254		681		1,800		289,562		291,362		595
Agriculture		1,318		232		1,632		3,182		444,802		447,984		620
Commercial non-real estate		4,496		810		6,821		12,127		1,415,449		1,427,576		2,819
Consumer non-real estate		2,915		1,203		1,313		5,431		476,294		481,725		481
Oil and gas		827		491		1,686		3,004		469,101		472,105		—
Total	$	21,480	$	7,337	$	43,864	$	72,681	$	8,041,807	$	8,114,488	$	7,515

As of December 31, 2024
Real estate:
Commercial real estate owner occupied	$	2,810	$	273	$	7,963	$	11,046	$	920,663	$	931,709	$	569
Commercial real estate non-owner occupied		603		16,871		610		18,084		1,560,399		1,578,483		41
Construction and development < 60 months		317		351		20,327		20,995		735,667		756,662		116
Construction residential real estate < 60 months		292		622		616		1,530		248,843		250,373		—
Residential real estate first lien		9,128		2,118		3,332		14,578		1,416,687		1,431,265		797
Residential real estate all other		1,498		559		828		2,885		272,576		275,461		370
Agriculture		1,569		1,357		5,691		8,617		440,573		449,190		4,754
Commercial non-real estate		4,325		1,019		5,983		11,327		1,352,135		1,363,462		356
Consumer non-real estate		3,748		907		1,173		5,828		472,819		478,647		504
Oil and gas		1,111		458		232		1,801		508,057		509,858		232
Total	$	25,401	$	24,535	$	46,755	$	96,691	$	7,928,419	$	8,025,110	$	7,739

Credit Quality Indicators

The Company considers credit quality indicators to monitor the credit risk in the loan portfolio including volume and severity of loan delinquencies, nonaccrual loans, internal grading of loans, historical credit loss experience and economic conditions. These indicators are reviewed and updated regularly throughout the year. An internal risk grading system is used to indicate the credit risk of loans. The loan grades used by the Company are for internal risk identification purposes and do not directly correlate to regulatory classification categories or any financial reporting definitions. The general characteristics of the risk grades and the table summarizing the Company’s gross loans held for investment by year of origination and internally assigned credit grades as of December 31, 2024, are disclosed in Note (5) to the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.

The Company’s revolving loans that are converted to term loans are not material and therefore have not been presented.

The following table summarizes the Company’s gross loans held for investment by year of origination and internally assigned credit grades:

Term Loans Amortized Cost Basis by Origination Year

Revolving Loans

(Dollars in thousands)

2025

2024

2023

2022

2021

Prior

Amortized Cost Basis

Total

As of June 30, 2025

Commercial real estate owner occupied

Grade 1

46,987

72,680

103,525

126,529

89,591

184,795

12,575

636,682

Grade 2

37,790

35,379

32,027

47,992

46,707

57,105

7,354

264,354

Grade 3

386

13,853

10,990

3,054

2,244

1,865

138

32,530

Grade 4

—

243

599

153

558

2,307

—

3,860

Total commercial real estate owner occupied

85,163

122,155

147,141

177,728

139,100

246,072

20,067

937,426

Commercial real estate non-owner occupied

Grade 1

94,690

115,357

256,328

284,008

155,649

168,459

29,140

1,103,631

Grade 2

53,516

82,637

114,315

133,489

64,902

82,708

13,927

545,494

Grade 3

4,179

—

943

—

5,122

Grade 4

—

19,467

121

273

—

19,982

Total commercial real estate non-owner occupied

152,385

217,461

370,764

418,504

220,824

251,224

43,067

1,674,229

Construction and development < 60 months

Grade 1

68,650

102,545

101,111

108,571

7,853

13,230

31,451

433,411

Grade 2

97,774

57,984

34,458

30,861

608

15,252

8,908

245,845

Grade 3

2,588

483

123

346

125

—

3,701

Grade 4

—

816

303

136

—

1,334

Total construction and development < 60 months

169,073

161,012

135,710

140,284

9,110

28,743

40,359

684,291

Construction residential real estate < 60 months

Grade 1

69,559

50,902

7,351

4,780

1,749

3,847

138,276

Grade 2

51,610

33,149

1,163

752

—

7,112

93,786

Grade 3

769

320

—

1,089

Grade 4

813

745

117

206

—

1,881

Total construction residential real estate < 60 months

122,751

85,116

8,631

5,738

1,749

10,959

235,032

Residential real estate first lien

Grade 1

126,178

216,760

182,841

183,960

134,645

237,448

4,914

1,086,746

Grade 2

38,500

76,142

55,034

50,662

39,334

64,838

17,014

341,524

Grade 3

3,873

5,302

3,922

2,792

2,726

5,738

—

24,353

Grade 4

3,890

1,163

853

1,817

2,331

—

10,135

Total residential real estate first lien

168,632

302,094

242,960

238,267

178,522

310,355

21,928

1,462,758

Residential real estate all other

Grade 1

18,436

32,547

22,572

17,121

4,829

14,150

53,812

163,467

Grade 2

3,461

6,586

5,321

3,761

1,174

4,928

95,954

121,185

Grade 3

453

615

480

124

221

383

2,025

4,301

Grade 4

419

144

117

180

1,465

2,409

Total residential real estate all other

22,769

39,816

28,517

21,123

6,240

19,641

153,256

291,362

Agriculture

Grade 1

26,222

31,946

34,820

33,569

24,882

52,665

51,487

255,591

Grade 2

28,619

31,678

21,831

16,658

11,838

23,148

37,213

170,985

Grade 3

964

1,158

1,905

2,550

1,287

4,260

6,470

18,594

Grade 4

793

413

758

325

369

125

2,814

Total Agriculture

55,836

65,575

58,969

53,535

38,332

80,442

95,295

447,984

Commercial non-real estate

Grade 1

91,468

119,790

83,645

118,094

87,175

61,279

350,751

912,202

Grade 2

68,090

69,535

65,733

26,150

10,115

7,364

222,337

469,324

Grade 3

774

1,283

1,600

1,024

328

171

36,378

41,558

Grade 4

776

536

1,036

1,051

156

303

325

4,183

Grade 5

—

175

125

—

309

Total commercial non-real estate

161,108

191,144

152,020

146,494

97,777

69,242

609,791

1,427,576

Consumer non-real estate

Grade 1

105,760

138,858

80,119

37,879

16,468

6,264

19,337

404,685

Grade 2

11,788

16,246

12,780

7,176

3,127

1,331

14,638

67,086

Grade 3

591

1,408

1,983

985

613

275

5,868

Grade 4

1,833

723

681

494

242

112

4,086

Total consumer non-real estate

119,972

157,235

95,563

46,534

20,450

7,982

33,989

481,725

Oil and gas

Grade 1

71,743

14,587

10,006

3,822

17,204

2,878

248,947

369,187

Grade 2

37,339

8,812

6,555

3,650

2,675

2,818

39,275

101,124

Grade 3

471

—

159

520

1,328

Grade 4

—

408

—

466

Total oil and gas

109,553

23,459

16,629

7,472

20,096

6,154

288,742

472,105

Total loans held for investment

1,167,242

1,365,067

1,256,904

1,255,679

730,539

1,021,604

1,317,453

8,114,488

The following tables summarize the Company's gross charge-offs by year of origination for the periods indicated:


	Term Loans Amortized Cost Basis by Origination Year												Revolving Loans
	2025		2024		2023		2022		2021		Prior		Amortized Cost Basis		Total
	(Dollars in thousands)
Three months ended June 30, 2025
Commercial real estate owner occupied
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	58	$	58
Commercial real estate non-owner occupied
Current-period gross charge-offs		—		227		—		1		—		—		—		228
Construction and development < 60 months
Current-period gross charge-offs		—		—		—		—		3,741		—		—		3,741
Construction residential real estate < 60 months
Current-period gross charge-offs		—		—		—		—		—		—		—		—
Residential real estate first lien
Current-period gross charge-offs		—		—		1		1		—		3		—		5
Residential real estate all other
Current-period gross charge-offs		—		—		—		—		—		—		7		7
Agriculture
Current-period gross charge-offs		—		1		2		—		4		—		—		7
Commercial non-real estate
Current-period gross charge-offs		5		6		127		94		14		238		42		526
Consumer non-real estate
Current-period gross charge-offs		25		90		247		80		6		41		5		494
Oil and gas
Current-period gross charge-offs		—		—		—		—		—		—		—		—
Total current-period gross charge-offs	$	30	$	324	$	377	$	176	$	3,765	$	282	$	112	$	5,066


	Term Loans Amortized Cost Basis by Origination Year												Revolving Loans
	2024		2023		2022		2021		2020		Prior		Amortized Cost Basis		Total
	(Dollars in thousands)
Three months ended June 30, 2024
Commercial real estate owner occupied
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Commercial real estate non-owner occupied
Current-period gross charge-offs		—		—		—		1		—		—		—		1
Construction and development < 60 months
Current-period gross charge-offs		—		—		—		—		—		—		—		—
Construction residential real estate < 60 months
Current-period gross charge-offs		—		—		—		—		—		—		—		—
Residential real estate first lien
Current-period gross charge-offs		2		23		—		2		4		36		—		67
Residential real estate all other
Current-period gross charge-offs		—		—		—		—		—		—		—		—
Agriculture
Current-period gross charge-offs		—		—		6		13		—		—		—		19
Commercial non-real estate
Current-period gross charge-offs		6		155		43		8		—		190		378		780
Consumer non-real estate
Current-period gross charge-offs		21		256		150		28		21		30		4		510
Oil and gas
Current-period gross charge-offs		—		—		—		—		—		—		—		—
Total current-period gross charge-offs	$	29	$	434	$	199	$	52	$	25	$	256	$	382	$	1,377


	Term Loans Amortized Cost Basis by Origination Year												Revolving Loans
	2025		2024		2023		2022		2021		Prior		Amortized Cost Basis		Total
	(Dollars in thousands)
Six months ended June 30, 2025
Commercial real estate owner occupied
Current-period gross charge-offs	$	—	$	—	$	—	$	17	$	6	$	—	$	58	$	81
Commercial real estate non-owner occupied
Current-period gross charge-offs		—		227		—		1		—		—		—		228
Construction and development < 60 months
Current-period gross charge-offs		—		—		—		—		3,744		—		—		3,744
Construction residential real estate < 60 months
Current-period gross charge-offs		—		25		—		—		—		—		—		25
Residential real estate first lien
Current-period gross charge-offs		—		6		3		2		5		40		—		56
Residential real estate all other
Current-period gross charge-offs		—		—		—		—		—		—		13		13
Agriculture
Current-period gross charge-offs		—		10		2		—		5		—		17		34
Commercial non-real estate
Current-period gross charge-offs		24		16		148		127		47		310		55		727
Consumer non-real estate
Current-period gross charge-offs		25		247		471		134		12		47		5		941
Oil and gas
Current-period gross charge-offs		—		—		—		—		—		—		—		—
Total current-period gross charge-offs	$	49	$	531	$	624	$	281	$	3,819	$	397	$	148	$	5,849


	Term Loans Amortized Cost Basis by Origination Year												Revolving Loans
	2024		2023		2022		2021		2020		Prior		Amortized Cost Basis		Total
	(Dollars in thousands)
Six months ended June 30, 2024
Commercial real estate owner occupied
Current-period gross charge-offs	$	—	$	—	$	—	$	15	$	—	$	—	$	—	$	15
Commercial real estate non-owner occupied
Current-period gross charge-offs		—		12		—		1		1		—		—		14
Construction and development < 60 months
Current-period gross charge-offs		—		—		—		—		—		—		—		—
Construction residential real estate < 60 months
Current-period gross charge-offs		—		3		—		—		—		—		—		3
Residential real estate first lien
Current-period gross charge-offs		3		23		—		3		4		57		—		90
Residential real estate all other
Current-period gross charge-offs		—		—		—		—		—		2		27		29
Agriculture
Current-period gross charge-offs		—		—		37		13		—		—		—		50
Commercial non-real estate
Current-period gross charge-offs		6		1,156		318		140		12		316		1,886		3,834
Consumer non-real estate
Current-period gross charge-offs		21		500		247		79		34		45		15		941
Oil and gas
Current-period gross charge-offs		—		9		83		—		—		—		—		92
Total current-period gross charge-offs	$	30	$	1,703	$	685	$	251	$	51	$	420	$	1,928	$	5,068

Allowance for Credit Losses Methodology

The Company determines its provision for credit losses and allowance for credit losses using the current expected credit loss methodology that is referred to as the current expected credit loss ("CECL") model. The allowance for current expected credit losses is measured on a collective (pool) basis when similar risk characteristics exist. The allowance for credit losses methodology is disclosed in Note (5) to the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.

The following tables detail activity in the allowance for credit losses on loans for the periods presented. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.


	Allowance for Credit Losses
	Balance at beginning of period		Charge- offs			Recoveries		Net charge-offs			Provision for /(benefit from) credit losses on loans			Balance at end of period
	(Dollars in thousands)
Three Months Ended June 30, 2025
Real estate:
Commercial real estate owner occupied	$	6,991	$	(58	)	$	2	$	(56	)	$	313		$	7,248
Commercial real estate non-owner occupied		33,753		(228	)		—		(228	)		1,692			35,217
Construction and development < 60 months		8,613		(3,741	)		6		(3,735	)		29			4,907
Construction residential real estate < 60 months		2,282		—			3		3			(20	)		2,265
Residential real estate first lien		4,666		(5	)		9		4			(25	)		4,645
Residential real estate all other		1,790		(7	)		—		(7	)		38			1,821
Agriculture		5,776		(7	)		7		—			(645	)		5,131
Commercial non-real estate		23,877		(526	)		250		(276	)		446			24,047
Consumer non-real estate		4,820		(494	)		83		(411	)		428			4,837
Oil and gas		7,887		—			—		—			(1,017	)		6,870
Total	$	100,455	$	(5,066	)	$	360	$	(4,706	)	$	1,239		$	96,988


	Allowance for Credit Losses
	Balance at beginning of period		Charge- offs			Recoveries		Net charge-offs			Provision for /(benefit from) credit losses on loans			Balance at end of period
	(Dollars in thousands)
Three Months Ended June 30, 2024
Real estate:
Commercial real estate owner occupied	$	7,468	$	—		$	11	$	11		$	(109	)	$	7,370
Commercial real estate non-owner occupied		33,180		(1	)		—		(1	)		688			33,867
Construction and development < 60 months		6,596		—			—		—			184			6,780
Construction residential real estate < 60 months		3,464		—			—		—			55			3,519
Residential real estate first lien		4,923		(67	)		21		(46	)		695			5,572
Residential real estate all other		1,652		—			3		3			74			1,729
Agriculture		6,137		(19	)		5		(14	)		(206	)		5,917
Commercial non-real estate		20,482		(780	)		280		(500	)		1,493			21,475
Consumer non-real estate		4,335		(510	)		58		(452	)		500			4,383
Oil and gas		9,030		—			—		—			(16	)		9,014
Total	$	97,267	$	(1,377	)	$	378	$	(999	)	$	3,358		$	99,626


	Allowance for Credit Losses
	Balance at beginning of period		Charge- offs			Recoveries		Net charge-offs			Provision for /(benefit from) credit losses on loans			Balance at end of period
	(Dollars in thousands)
Six Months Ended June 30, 2025
Real estate:
Commercial real estate owner occupied	$	6,869	$	(81	)	$	41	$	(40	)	$	419		$	7,248
Commercial real estate non-owner occupied		33,097		(228	)		—		(228	)		2,348			35,217
Construction and development < 60 months		8,671		(3,744	)		6		(3,738	)		(26	)		4,907
Construction residential real estate < 60 months		2,336		(25	)		3		(22	)		(49	)		2,265
Residential real estate first lien		4,568		(56	)		12		(44	)		121			4,645
Residential real estate all other		1,741		(13	)		21		8			72			1,821
Agriculture		5,696		(34	)		18		(16	)		(549	)		5,131
Commercial non-real estate		24,150		(727	)		375		(352	)		249			24,047
Consumer non-real estate		4,833		(941	)		164		(777	)		781			4,837
Oil and gas		7,536		—			—		—			(666	)		6,870
Total	$	99,497	$	(5,849	)	$	640	$	(5,209	)	$	2,700		$	96,988


	Allowance for Credit Losses
	Balance at beginning of period		Charge- offs			Recoveries		Net charge-offs			Provision for /(benefit from) credit losses on loans			Balance at end of period
	(Dollars in thousands)
Six Months Ended June 30, 2024
Real estate:
Commercial real estate owner occupied	$	7,483	$	(15	)	$	31	$	16		$	(129	)	$	7,370
Commercial real estate non-owner occupied		33,080		(14	)		—		(14	)		801			33,867
Construction and development < 60 months		3,950		—			—		—			2,830			6,780
Construction residential real estate < 60 months		3,414		(3	)		—		(3	)		108			3,519
Residential real estate first lien		4,914		(90	)		25		(65	)		723			5,572
Residential real estate all other		1,646		(29	)		8		(21	)		104			1,729
Agriculture		6,137		(50	)		17		(33	)		(187	)		5,917
Commercial non-real estate		22,745		(3,834	)		313		(3,521	)		2,251			21,475
Consumer non-real estate		4,401		(941	)		127		(814	)		796			4,383
Oil and gas		9,030		(92	)		—		(92	)		76			9,014
Total	$	96,800	$	(5,068	)	$	521	$	(4,547	)	$	7,373		$	99,626

Purchased Credit Deteriorated Loans

The Company has previously purchased loans, for which there was, at acquisition, evidence of more than insignificant deterioration of credit quality since origination. The Company did not purchase credit-deteriorated loans during the six month period ended June 30, 2025 or June 30, 2024.

Collateral Dependent Loans

A loan is considered collateral-dependent when the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. During the six months ended June 30, 2025 and 2024, no material amount of interest income was recognized on collateral-dependent loans subsequent to their classification as collateral-dependent. The following tables summarize collateral-dependent gross loans held for investment by collateral type and the related specific allocation as follows:


	Collateral Type
	Real Estate		Business Assets		Other Assets		Total		Specific Allocation
	(Dollars in thousands)
As of June 30, 2025
Real estate:
Commercial real estate owner occupied	$	1,399	$	—	$	—	$	1,399	$	283
Commercial real estate non-owner occupied		3,652		—		—		3,652		1,031
Construction and development < 60 months		800		—		—		800		225
Construction residential real estate < 60 months		206		—		—		206		75
Residential real estate first lien		333		—		—		333		99
Residential real estate all other		95		—		—		95		32
Agriculture		79		110		12		201		98
Commercial non-real estate		—		7,762		25		7,787		1,764
Consumer non-real estate		—		—		551		551		278
Oil and gas		—		1,111		—		1,111		110
Total collateral-dependent loans held for investment	$	6,564	$	8,983	$	588	$	16,135	$	3,995

	Collateral Type
	Real Estate		Business Assets		Other Assets		Total		Specific Allocation
	(Dollars in thousands)
As of December 31, 2024
Real estate:
Commercial real estate owner occupied	$	—	$	—	$	—	$	—	$	—
Commercial real estate non-owner occupied		7,890		—		—		7,890		879
Construction and development < 60 months		20,142		—		—		20,142		3,755
Construction residential real estate < 60 months		206		—		—		206		75
Residential real estate first lien		300		—		—		300		93
Residential real estate all other		100		—		—		100		34
Agriculture		1,584		110		13		1,707		688
Commercial non-real estate		—		10,087		108		10,195		2,222
Consumer non-real estate		—		—		399		399		242
Oil and gas		—		—		—		—		—
Total collateral-dependent loans held for investment	$	30,222	$	10,197	$	520	$	40,939	$	7,988

Non-Cash Transfers from Loans and Premises and Equipment

Transfers from loans and premises and equipment to OREO and repossessed assets are non-cash transactions, and are not included in the consolidated statements of cash flow.

Transfers from loans and premises and equipment to OREO and repossessed assets during the periods presented are summarized as follows:


	Six Months Ended June 30,
	2025		2024
	(Dollars in thousands)
Other real estate owned	$	18,122	$	8,995
Repossessed assets		1,680		1,575
Total	$	19,802	$	10,570

(5) INTANGIBLE ASSETS AND GOODWILL

The following is a summary of intangible assets as of the date listed:


	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
	(Dollars in thousands)
June 30, 2025
Core deposit intangibles	$	33,550	$	(22,168	)	$	11,382
Customer relationship intangibles		3,350		(3,322	)		28
Total	$	36,900	$	(25,490	)	$	11,410
December 31, 2024
Core deposit intangibles	$	33,550	$	(20,454	)	$	13,096
Customer relationship intangibles		3,350		(3,288	)		62
Total	$	36,900	$	(23,742	)	$	13,158

The following is a summary of goodwill by business segment:




	BancFirst Metropolitan Banks		BancFirst Community Banks		Pegasus		Worthington		Other Financial Services		Executive, Operations & Support		Consolidated
	(Dollars in thousands)
Six months ended June 30, 2025
Balance at beginning and end of period	$	13,767	$	61,420	$	68,855	$	32,133	$	5,464	$	624	$	182,263

Additional information for intangible assets can be found in Note (7) to the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.

(6) SUBORDINATED DEBT

In 2004, BFC Capital Trust II (“BFC II”), issued $26 million of aggregate liquidation amount of 7.20% Cumulative Trust Preferred Securities (the “Cumulative Trust Preferred Securities”) to other investors. The proceeds from the sale of the Cumulative Trust Preferred Securities and the common securities of BFC II were invested in $26.8 million of 7.20% Junior Subordinated Debentures of the Company. Interest payments on the $26.8 million of 7.20% Junior Subordinated Debentures are payable January 15, April 15, July 15 and October 15 of each year. Such interest payments may be deferred for up to twenty consecutive quarters. The stated maturity date of the $26.8 million of 7.20% Junior Subordinated Debentures is March 31, 2034, but they are subject to mandatory redemption pursuant to optional prepayment terms. The Cumulative Trust Preferred Securities represent an undivided interest in the $26.8 million of 7.20% Junior Subordinated Debentures and are guaranteed by the Company. During any deferral period or during any event of default, the Company may not declare or pay any dividends on any of its capital stock. The Cumulative Trust Preferred Securities have been callable at par, in whole or in part, since March 31, 2009.

On June 17, 2021, the Company completed a private placement, under Regulation D of the Securities Act of 1933, of $60 million aggregate principal amount of 3.50% Fixed-to-Floating Rate Subordinated Notes due 2036 (the “Subordinated Notes”) to various institutional accredited investors. The sale of the Subordinated Notes was pursuant to a Subordinated Note Purchase Agreement entered into with each of the investors. The Subordinated Notes qualify as Tier 2 capital under bank regulatory guidelines. The net proceeds to the Company from the sale of the Subordinated Notes were approximately $59.15 million net of commissions and offering expenses. The Company used the proceeds from the sale of the Subordinated Notes for general corporate purposes. The Subordinated Notes initially bear interest at a fixed rate of 3.50% per annum, from and including June 17, 2021 to but excluding June 30, 2031, payable semi-annually in arrears on June 30 and December 31 of each year, commencing December 31, 2021. Then, from and including June 30, 2031, to but excluding the maturity date, the Subordinated Notes will bear interest at a floating rate equal to the benchmark (initially, three-month term SOFR), reset quarterly, plus a spread of 229 basis points, payable quarterly in arrears on March 31, June 30, September 30 and December 31 of each year. The Subordinated Notes mature on June 30, 2036.

The Company may, at its option, beginning with the interest payment date of June 30, 2031, and on any scheduled interest payment date thereafter, redeem the Subordinated Notes, in whole or in part. In addition, the Company may redeem all, but not less than all, of the Subordinated Notes at any time upon the occurrence of a “Tier 2 Capital Event,” a “Tax Event” or an “Investment Company Event”

(each as defined in the Subordinated Notes). Any such redemption is subject to obtaining the prior approval of the Board of Governors of the Federal Reserve System (or its designee). The redemption price with respect to any such redemption will be equal to 100% of the principal amount of the Subordinated Note, or portion thereof, to be redeemed, plus accrued but unpaid interest, if any, thereon to, but excluding, the redemption date.

(7) STOCK-BASED COMPENSATION

On May 25, 2023, the shareholders of the Company adopted the BancFirst Corporation 2023 Restricted Stock Unit Plan (the "RSU Plan"). The RSU Plan was effective as of June 1, 2023 and for a period of ten years thereafter. The RSU Plan will continue in effect after such ten-year period until all matters relating to the payment of awards and administration of the RSU Plan have been settled. At June 30, 2025 there were 447,175 shares available for future grants. The restricted stock units ("RSU's") vest beginning two years from the date of grant at the rate of 20% per year for five years. The RSU's are settled and distributed as of each vesting date. The fair value of each RSU granted is equal to the market price of the Company’s stock at the date of grant.

The following table is a summary of the activity under the Company's RSU plan.



				Wgtd. Avg.
	Restricted			Grant Date
	Stock Units			Fair Value
Six Months Ended June 30, 2025
Nonvested at December 31, 2024		42,825		$	90.35
Granted		10,000			122.47
Vested		(525	)		93.66
Nonvested at June 30, 2025		52,300			96.46

The Company has had the BancFirst Corporation Directors’ Deferred Stock Compensation Plan (the “Deferred Stock Compensation Plan”) since May 1999. As of June 30, 2025, there are 31,459 shares available for future issuance under the Deferred Stock Compensation Plan. The Deferred Stock Compensation Plan will terminate on December 31, 2030, if not extended. Under the plan, directors and members of the community advisory boards of the Company and its subsidiaries may defer up to 100% of their board fees. They are credited for each deferral with a number of stock units based on the current market price of the Company’s stock, which accumulate in an account until such time as the director or community board member terminates serving as a board member. Shares of common stock of the Company are then distributed to the terminating director or community board member based upon the number of stock units accumulated in his or her account. There were 6,462 and 5,022 shares of common stock distributed from the Deferred Stock Compensation Plan during the six months ended June 30, 2025 and 2024, respectively.

A summary of the accumulated stock units under the Deferred Stock Compensation Plan is as follows:



	June 30, 2025		December 31, 2024
Accumulated stock units		118,710		120,984
Average price	$	48.04	$	44.70

The Company terminated the BancFirst Corporation Stock Option Plan (the “Employee Plan”) on June 1, 2023. The remaining options will continue to vest and are exercisable beginning four years from the date of grant at the rate of 25% per year for four years, and expire no later than the end of fifteen years from the date of grant.

The Company terminated the BancFirst Corporation Non-Employee Directors’ Stock Option Plan (the “Non-Employee Directors’ Plan”) on June 1, 2023. The remaining options will continue to vest and are exercisable beginning one year from the date of grant at the rate of 25% per year for four years, and expire no later than the end of fifteen years from the date of grant.

The following table is a summary of the activity under both the Employee Plan and the Non-Employee Directors’ Plan:


						Wgtd. Avg.
				Wgtd. Avg.		Remaining	Aggregate
				Exercise		Contractual	Intrinsic
	Options			Price		Term	Value
	(Dollars in thousands, except option data)
Six Months Ended June 30, 2025
Outstanding at December 31, 2024		947,921		$	58.42
Options exercised		(48,625	)		36.78
Options canceled, forfeited, or expired		(5,000	)		90.56
Outstanding at June 30, 2025		894,296			59.42	9.45 Yrs.	$	57,417
Exercisable at June 30, 2025		378,296			45.03	7.25 Yrs.	$	29,730

The following table has additional information regarding options exercised under both the Employee Plan and the Non-Employee Directors’ Plan:


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
	(Dollars in thousands)
Total intrinsic value of options exercised	$	2,446	$	3,254	$	4,180	$	5,085
Cash received from options exercised		1,015		1,714		1,788		2,422
Tax benefit realized from options exercised		588		782		1,005		1,222

The Company currently uses newly issued shares for stock-based compensation plans, but reserves the right to use shares purchased under the Company’s Stock Repurchase Program (the “SRP”) in the future.

Although not required or expected, the Company may settle some options or restricted stock units in cash on a limited basis at the discretion of the Company. The Company had no cash settlements during the six months ended June 30, 2025 or June 30, 2024.

Stock-based compensation expense is charged to salaries and benefits expense on the Consolidated Statements of Comprehensive Income. The components of stock-based compensation expense for all share-based compensation plans and related tax benefits are as follows:


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
	(Dollars in thousands)
Stock-based compensation expense	$	919	$	920	$	1,709	$	1,635
Tax benefit		221		221		411		393
Stock-based compensation expense, net of tax	$	698	$	699	$	1,298	$	1,242

The Company amortizes the unearned stock-based compensation expense over the remaining vesting period of approximately five years for unvested stock options and six years for unvested RSU's. The following table shows the unearned stock-based compensation expense for unvested stock options and unvested RSU's:


	June 30, 2025
	(Dollars in thousands)
Unearned stock-based compensation expense for unvested stock options	$	6,247
Unearned stock-based compensation expense for unvested RSU's		4,056

(8) STOCKHOLDERS’ EQUITY

The Company has adopted a Stock Repurchase Program (the “SRP”). The SRP may be used as a means to increase earnings per share and return on equity. In addition, the SRP may be used to purchase treasury stock for the issuance of stock related to stock-based compensation plans, to provide liquidity for optionees to dispose of stock from exercises of their stock options and to provide liquidity for stockholders wishing to sell their stock. All shares repurchased under the SRP have been retired and not held as treasury stock. The

timing, price and amount of stock repurchases under the SRP is determined by management and approved by the Company’s Executive Committee.

The following table is a summary of the shares under the SRP:



	June 30, 2025
Shares remaining to be repurchased		479,784

BancFirst Corporation, BancFirst, Pegasus and Worthington are subject to risk-based capital guidelines issued by the Board of Governors of the Federal Reserve System and the Federal Deposit Insurance Corporation (“FDIC”). These guidelines are used to evaluate capital adequacy and involve both quantitative and qualitative evaluations of assets, liabilities and certain off-balance-sheet items calculated under regulatory practices. Failure to meet the minimum capital requirements can initiate certain mandatory or discretionary actions by the regulatory agencies that could have a direct material effect on the Company’s consolidated financial statements. The Company believes that as of June 30, 2025, BancFirst Corporation, BancFirst, Pegasus and Worthington each met all capital adequacy requirements to which they are subject. The actual and required capital amounts and ratios are shown in the following table:


				Required						To Be Well
				For Capital			With			Capitalized Under
				Adequacy			Capital Conservation			Prompt Corrective
	Actual			Purposes			Buffer			Action Provisions
	Amount		Ratio	Amount		Ratio	Amount		Ratio	Amount		Ratio
	(Dollars in thousands)
As of June 30, 2025:
Total Capital
(to Risk Weighted Assets)-
BancFirst Corporation	$	1,734,570	19.62%	$	707,153	8.00%	$	928,138	10.50%	N/A		N/A
BancFirst		1,308,924	17.86%		586,412	8.00%		769,666	10.50%	$	733,015	10.00%
Pegasus		160,711	16.88%		76,179	8.00%		99,984	10.50%		95,223	10.00%
Worthington		58,917	12.10%		38,946	8.00%		51,116	10.50%		48,682	10.00%
Common Equity Tier 1 Capital
(to Risk Weighted Assets)-
BancFirst Corporation	$	1,551,928	17.56%	$	397,774	4.50%	$	618,759	7.00%	N/A		N/A
BancFirst		1,205,694	16.45%		329,857	4.50%		513,111	7.00%	$	476,460	6.50%
Pegasus		150,732	15.83%		42,850	4.50%		66,656	7.00%		61,895	6.50%
Worthington		54,365	11.17%		21,907	4.50%		34,078	7.00%		31,644	6.50%
Tier 1 Capital
(to Risk Weighted Assets)-
BancFirst Corporation	$	1,577,928	17.85%	$	530,365	6.00%	$	751,350	8.50%	N/A		N/A
BancFirst		1,225,694	16.72%		439,809	6.00%		623,063	8.50%	$	586,412	8.00%
Pegasus		150,732	15.83%		57,134	6.00%		80,940	8.50%		76,179	8.00%
Worthington		54,365	11.17%		29,209	6.00%		41,380	8.50%		38,946	8.00%
Tier 1 Capital
(to Quarterly Average Assets)-
BancFirst Corporation	$	1,577,928	11.43%	$	552,278	4.00%	N/A		N/A	N/A		N/A
BancFirst		1,225,694	10.46%		468,648	4.00%	N/A		N/A	$	585,810	5.00%
Pegasus		150,732	10.78%		55,925	4.00%	N/A		N/A		69,907	5.00%
Worthington		54,365	8.75%		24,865	4.00%	N/A		N/A		31,081	5.00%

As of June 30, 2025, BancFirst, Pegasus and Worthington were classified by the Federal Reserve as “well capitalized” under the prompt corrective action provisions. The Common Equity Tier 1 Capital of BancFirst Corporation, BancFirst, Pegasus and Worthington includes common stock and related paid-in capital and retained earnings. In connection with the adoption of the Basel III Capital Rules, the election was made to opt-out of the requirement to include most components of accumulated other comprehensive income in Common Equity Tier 1 Capital. Common Equity Tier 1 Capital for BancFirst Corporation, BancFirst, Pegasus and Worthington is reduced by goodwill and other intangible assets, net of associated deferred tax liabilities. The Company’s trust preferred securities qualify as Tier 1 capital and its Subordinated Notes qualify as Tier 2 capital. BancFirst, Pegasus and Worthington have had no events or conditions that management believes would materially change their category under capital requirements existing as of the report dates.

(9) NET INCOME PER COMMON SHARE

Basic and diluted net income per common share are calculated as follows:



	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
	(Dollars in thousands, except per share data)

(Numerator)
Income available to common stockholders	$	62,347	$	50,641	$	118,459	$	100,975
(Denominator)
Weighted average shares outstanding for basic earnings per common share		33,255,015		33,001,180		33,243,963		32,974,582
Dilutive effect of stock compensation		540,228		523,881		538,106		545,665
Weighted-average shares outstanding for diluted earnings per common share		33,795,243		33,525,061		33,782,069		33,520,247

Basic earnings per share	$	1.87	$	1.53	$	3.56	$	3.06
Diluted earnings per share	$	1.85	$	1.51	$	3.51	$	3.01

The following table shows the number of options and RSU's that were excluded from the computation of diluted net income per common share for each period because they were anti-dilutive for the period:


	Shares
Three Months Ended June 30, 2025		35,492
Three Months Ended June 30, 2024		260,548
Six Months Ended June 30, 2025		35,421
Six Months Ended June 30, 2024		262,251

(10) FAIR VALUE MEASUREMENTS

Accounting standards define fair value as the price that would be received to sell an asset or the price paid to transfer a liability in the principal or most advantageous market available to the entity in an orderly transaction between market participants on the measurement date.

FASB Accounting Standards Codification (“ASC”) Topic 820 establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows:

•

Level 1 Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

•

Level 2 Inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset and liability, either directly or indirectly, for substantially the full term of the financial instrument.

•

Level 3 Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant judgment or estimation. This category includes certain collaterally dependent loans, repossessed assets, other real estate owned, goodwill and other intangible assets.

Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis

A description of the valuation methodologies and key inputs used to measure financial assets and financial liabilities at fair value on a recurring basis, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. These valuation methodologies were applied to the following categories of the Company’s financial assets and financial liabilities.

Debt Securities Available for Sale

Debt securities classified as available for sale are reported at fair value. U.S. Treasuries are valued using Level 1 inputs. Other debt securities available for sale including U.S. federal agencies, registered mortgage backed debt securities and state and political subdivisions are valued using prices from an independent pricing service utilizing Level 2 data. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and a bond’s terms and conditions, among other things. The Company also invests in private label mortgage backed debt securities for which observable information is not readily available. These debt securities are reported at fair value utilizing Level 3 inputs. For these debt securities, management determines the fair value based on replacement cost, the income approach or information provided by outside consultants or lead investors. Discount rates are primarily based on reference to interest rate spreads on comparable debt securities of similar duration and credit rating as determined by the nationally recognized rating agencies adjusted for a lack of trading volume. Significant unobservable inputs are developed by investment securities professionals involved in the active trading of similar debt securities.

The Company reviews the prices for Level 1 and Level 2 debt securities supplied by the independent pricing service for reasonableness and to ensure such prices are aligned with traditional pricing matrices. In general, the Company does not purchase investment portfolio debt securities that are esoteric or that have complicated structures. The Company’s portfolio primarily consists of traditional investments including U.S. Treasury obligations, federal agency mortgage pass-through debt securities, general obligation municipal bonds and municipal revenue bonds. Pricing for such instruments is easily obtained. For in-state bond issues that have relatively low issue sizes and liquidity, the Company utilizes the same parameters for pricing mentioned in the preceding paragraph adjusted for the specific issue. Periodically, the Company will validate prices supplied by the independent pricing service by comparison to prices obtained from third party sources.

Derivatives

Derivatives are reported at fair value utilizing Level 2 inputs. The Company obtains dealer and market quotations to value its oil and gas swaps and options. The Company utilizes dealer quotes and observable market data inputs to substantiate internal valuation models.

The following table summarizes financial assets and financial liabilities measured at fair value on a recurring basis as of the periods presented, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value:


	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs		Total Fair Value
	(Dollars in thousands)
June 30, 2025
Debt securities available for sale:
U.S. Treasury	$	1,071,025	$	—	$	—	$	1,071,025
U.S. federal agencies		—		7,501		—		7,501
Mortgage-backed securities		—		12,570		—		12,570
States and political subdivisions		—		5,629		120		5,749
Other debt securities		—		7,198		—		7,198
Derivative assets		—		16,144		—		16,144
Derivative liabilities		—		14,582		—		14,582

December 31, 2024
Debt securities available for sale:
U.S. Treasury	$	1,176,009	$	—	$	—	$	1,176,009
U.S. federal agencies		—		8,232		—		8,232
Mortgage-backed securities		—		13,044		—		13,044
States and political subdivisions		—		6,286		150		6,436
Other debt securities		—		7,196		—		7,196
Derivative assets		—		10,479		—		10,479
Derivative liabilities		—		9,105		—		9,105

The changes in Level 3 assets measured at estimated fair value on a recurring basis during the periods presented were as follows:


	Six Months Ended June 30,			Twelve Months Ended December 31,
	2025			2024
	(Dollars in thousands)
Balance at the beginning of the year	$	150		$	180
Settlements		(30	)		(30	)
Balance at the end of the period	$	120		$	150

The Company’s policy is to recognize transfers in and transfers out of Levels 1, 2 and 3 as of the end of the reporting period. During the six months ended June 30, 2025, and the year ended December 31, 2024, the Company did not transfer any debt securities.

Financial Assets and Financial Liabilities Measured at Fair Value on a Nonrecurring Basis

Certain financial assets and financial liabilities are measured at fair value on a nonrecurring basis; the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). These financial assets and financial liabilities are reported at fair value utilizing Level 3 inputs.

The Company invests in equity securities without readily determinable fair values and utilizes Level 3 inputs. These equity securities are reported at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. The realized and unrealized gains and losses are reported as securities transactions in the noninterest income section of the consolidated statements of comprehensive income.

Collateral dependent loans are reported at the fair value of the underlying collateral if repayment is dependent on liquidation of the collateral. When the Company determines that foreclosure is probable or when the borrower is experiencing financial difficulty at the reporting date and repayment is expected to be provided substantially through the operation or sale of the collateral, expected credit losses are based on the fair value of the collateral at the reporting date, adjusted for selling costs as appropriate. In no case does the fair value of a collateral dependent loan exceed the fair value of the underlying collateral. The collateral dependent loans are adjusted to fair value through a specific allocation of the allowance for credit losses or a direct charge-down of the loan.

Repossessed assets, upon initial recognition, are measured and adjusted to fair value through a charge-off to the allowance for possible credit losses based upon the fair value of the repossessed asset.

Other real estate owned is revalued at fair value subsequent to initial recognition, with any losses recognized in net expense from other real estate owned.

The following table summarizes assets measured at fair value on a nonrecurring basis during the period presented. These nonrecurring fair values do not represent all assets, only those assets that have been adjusted during the reporting period:


	Total Fair Value
	Level 3
	(Dollars in thousands)
As of and for the Year-to-date Period Ended June 30, 2025
Equity securities	$	7,851
Collateral dependent loans		1,896
Repossessed assets		788
Other real estate owned		23,526
As of and for the Year-to-date Period Ended December 31, 2024
Equity securities	$	13,014
Collateral dependent loans		7,337
Repossessed assets		614
Other real estate owned		32,868

Estimated Fair Value of Financial Instruments

The Company is required under current authoritative accounting guidance to disclose the estimated fair value of their financial instruments that are not recorded at fair value. For the Company, as for most financial institutions, substantially all of its assets and liabilities are considered financial instruments. A financial instrument is defined as cash, evidence of an ownership interest in an entity or a contract that creates a contractual obligation or right to deliver or receive cash or another financial instrument from a second entity. The following methods and assumptions are used to estimate the fair value of each class of financial instruments:

Cash and Cash Equivalents Include: Cash and Due from Banks and Interest-Bearing Deposits with Banks

The carrying amount of these short-term instruments is based on a reasonable estimate of fair value.

Federal Funds Sold

The carrying amount of these short-term instruments is a reasonable estimate of fair value.

Debt Securities Held for Investment

For debt securities held for investment, which are generally traded in secondary markets, fair values are based on quoted market prices or dealer quotes, if available. If a quoted market price is not available, fair value is estimated using quoted market prices for similar debt securities making adjustments for credit or liquidity if applicable.

Loans Held for Sale

The Company originates mortgage loans to be sold. At the time of origination, the acquiring bank has already been determined and the terms of the loan, including interest rate, have already been set by the acquiring bank, allowing the Company to originate the loan at fair value. Mortgage loans are generally sold within 30 days of origination. Loans held for sale are valued using Level 2 inputs. Gains or losses recognized upon the sale of the loans are determined on a specific identification basis.

Loans Held for Investment

To determine the fair value of loans held for investment, the Company uses an exit price calculation, which takes into account factors such as liquidity, credit and the nonperformance risk of loans. For certain homogeneous categories of loans, such as some residential mortgages, fair values are estimated using the quoted market prices for securities backed by similar loans, adjusted for differences in loan characteristics. The fair values of other types of loans are estimated by discounting the future cash flows using the current rates at which similar loans would be made to borrowers with similar credit ratings and for the same remaining maturities.

Deposits

The fair values of transaction and savings accounts are the amounts payable on demand at the reporting date. The fair values of fixed-maturity certificates of deposit are estimated using the rates currently offered for deposits of similar remaining maturities.

Short-Term Borrowings

The amounts payable on these short-term instruments are reasonable estimates of fair value.

Subordinated Debt

The fair values of subordinated debt are estimated using the rates that would be charged for subordinated debt of similar remaining maturities.

Loan Commitments and Letters of Credit

The fair values of commitments are estimated using the fees currently charged to enter into similar agreements, taking into account the terms of the agreements. The fair values of letters of credit are based on fees currently charged for similar agreements.

The estimated fair values of the Company’s financial instruments that are reported at amortized cost in the Company’s consolidated balance sheets, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value, are as follows:



	June 30, 2025				December 31, 2024
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
	(Dollars in thousands)
FINANCIAL ASSETS
Level 2 inputs:
Cash and cash equivalents	$	3,997,350	$	3,997,350	$	3,553,772	$	3,553,772
Federal funds sold		—		—	$	715		715
Debt securities held for investment		1		1		2		2
Loans held for sale		10,009		10,009		8,073		8,073
Level 3 inputs:
Debt securities held for investment		560		560		835		835
Loans, net of allowance for credit losses		8,017,500		8,845,583		7,925,613		8,643,418
FINANCIAL LIABILITIES
Level 2 inputs:
Deposits		12,056,192		11,347,850		11,718,546		10,966,958
Short-term borrowings		5,860		5,860		—		—
Subordinated debt		86,185		80,644		86,157		77,998
OFF-BALANCE-SHEET FINANCIAL INSTRUMENTS
Loan commitments				4,148				4,313
Letters of credit				667				769

Non-financial Assets and Non-financial Liabilities Measured at Fair Value

The Company has no non-financial assets or non-financial liabilities measured at fair value on a recurring basis. In addition, the Company has no non-financial liabilities measured at fair value on a nonrecurring basis. Non-financial assets measured at fair value on a nonrecurring basis include intangible assets. The intangible assets are evaluated at least annually for impairment. The overall levels of non-financial assets measured at fair value on a nonrecurring basis were not considered to be significant to the Company at June 30, 2025 or December 31, 2024.

(11) DERIVATIVE FINANCIAL INSTRUMENTS

The Company enters into oil and gas swaps and options contracts to accommodate the business needs of its customers. Upon the origination of an oil or gas swap or option contract with a customer, to mitigate the exposure to fluctuations in oil and gas prices, the Company simultaneously enters into an offsetting contract with a counterparty. These derivatives are not designated as hedged instruments and are recorded on the Company's consolidated balance sheet at fair value and are included in other assets. The Company's derivative financial instruments require a daily margin to be posted, which fluctuates with oil and gas prices. At June 30, 2025 and December 31, 2024, the Company had a margin asset included in other assets in the amount of $3.6 million and $463,000, respectively.

The Company utilizes dealer quotations and observable market data inputs to substantiate internal valuation models. The notional amounts and estimated fair values of oil and gas derivative positions outstanding are presented in the following table:


		June 30, 2025						December 31, 2024
Oil and Natural Gas Swaps and Options	Notional Units	Notional Amount			Estimated Fair Value			Notional Amount			Estimated Fair Value
		(Notional amounts and dollars in thousands)
Oil
Derivative assets	Barrels		2,504		$	13,258			2,404		$	7,507
Derivative liabilities	Barrels		(2,504	)		(12,644	)		(2,404	)		(6,860	)

Gas/Natural Gas Liquids
Derivative assets	MMBTUs/Gallons		36,520			2,886			25,561			2,972
Derivative liabilities	MMBTUs/Gallons		(36,520	)		(1,938	)		(25,561	)		(2,245	)

Total Fair Value	Included in
Derivative assets	Other assets					16,144						10,479
Derivative liabilities	Other liabilities					(14,582	)					(9,105	)

The following table is a summary of the Company's recognized income related to the activity, which was included in other noninterest income:


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
	(Dollars in thousands)				(Dollars in thousands)
Derivative income	$	75	$	94	$	296	$	197

The Company's credit exposure on oil and gas swaps and options varies based on the current market prices of oil and natural gas. Other than credit risk, changes in the fair value of customer positions will be offset by equal and opposite changes in the counterparty positions. The net positive fair value of the contracts represents the profit derived from the activity and is unaffected by the market price movements. The Company's share of total profit is approximately 35%.

Customer credit exposure is managed by strict position limits and is primarily offset by first liens on production while the remainder is offset by cash. Counterparty credit exposure is managed by selecting highly rated counterparties (rated A- or better by Moody's) and monitoring market information.

The following table is a summary of the Company's net credit exposure relating to oil and gas swaps and options with bank counterparties:


	June 30, 2025		December 31, 2024
	(Dollars in thousands)
Credit exposure	$	13,377	$	8,074

Balance Sheet Offsetting

Derivatives may be eligible for offset in the consolidated balance sheet and/or subject to master netting arrangements. The Company's derivative transactions with upstream financial institution counterparties and bank customers are generally executed under International Swaps and Derivative Association ("ISDA") master agreements, which include "right of set-off" provisions. In such cases there is generally a legally enforceable right to offset recognized amounts and there may be an intention to settle such amounts on a net basis. Nonetheless, the Company does not generally offset such financial instruments for financial reporting purposes.

(12) SEGMENT INFORMATION

The Company, along with its chief operating decision maker (CODM), which is BancFirst Corporation's Chief Executive Officer, evaluates its performance with an internal profitability measurement system that measures the profitability of its business units on a pre-tax basis. The financial information for each business unit is presented on the basis used internally by management and the CODM to evaluate performance and allocate resources. The Company utilizes a transfer pricing system to allocate the benefit or cost of funds provided or used by the various business units. Certain services provided by the support group to other business units, such as item processing, are allocated at rates approximating the cost of providing the services. Eliminations are adjustments to consolidate the business units. Capital expenditures are generally charged to the business unit using the asset.

The six principal business units are BancFirst metropolitan banks, BancFirst community banks, Pegasus, Worthington, other financial services and executive, operations, support and eliminations. BancFirst metropolitan banks, BancFirst community banks, Pegasus and Worthington offer traditional banking products such as commercial and retail lending and a full line of deposit accounts. BancFirst metropolitan banks consist of banking locations in the metropolitan Oklahoma City and Tulsa areas. BancFirst community banks consist of banking locations in communities in Oklahoma outside the Oklahoma City and Tulsa metropolitan areas. Pegasus consists of banking locations in the Dallas metropolitan area. Worthington consists of banking locations in the Arlington, Fort Worth and Denton Texas. Other financial services are specialty product business units including guaranteed small business lending, residential mortgage lending, trust services, securities brokerage, electronic banking and insurance. The executive, operations, support and eliminations group represents executive management, operational support, corporate functions that are not allocated to the other business units and elimination adjustments to consolidate the business units.

The results of operations and selected financial information for the six business units are as follows:


	BancFirst Metropolitan Banks		BancFirst Community Banks		Pegasus		Worthington		Other Financial Services			Executive, Operations, Support and Eliminations			Consolidated
	(Dollars in thousands)
Three Months Ended June 30, 2025
Interest income	$	49,285	$	109,469	$	20,394	$	9,063	$	2,638		$	(2,422	)	$	188,427
Interest expense		19,938		40,099		7,701		2,994		979			(4,540	)		67,171
Total provision for/(benefit from) credit losses		484		270		111		211		(7	)		318			1,387
Noninterest income		6,296		18,681		617		236		14,171			8,047			48,048
Depreciation and amortization		386		2,627		147		161		126			2,106			5,553
Other noninterest expense		11,939		35,812		5,583		3,751		9,344			16,217			82,646
Income before taxes	$	22,834	$	49,342	$	7,469	$	2,182	$	6,367		$	(8,476	)	$	79,718
Three Months Ended June 30, 2024
Interest income	$	52,828	$	102,615	$	19,533	$	7,832	$	2,368		$	(6,711	)	$	178,465
Interest expense		23,689		40,905		8,170		3,370		1,265			(8,830	)		68,569
Total provision for credit losses		1,949		1,169		130		67		25			18			3,358
Noninterest income		5,562		16,886		339		250		13,513			7,394			43,944
Depreciation and amortization		536		2,457		151		159		125			1,963			5,391
Other noninterest expense		11,007		32,703		5,309		3,742		10,327			16,837			79,925
Income before taxes	$	21,209	$	42,267	$	6,112	$	744	$	4,139		$	(9,305	)	$	65,166


	BancFirst Metropolitan Banks		BancFirst Community Banks		Pegasus		Worthington		Other Financial Services		Executive, Operations, Support and Eliminations			Consolidated
	(Dollars in thousands)
Six Months Ended June 30, 2025
Interest income	$	98,671	$	215,081	$	40,103	$	17,656	$	5,014	$	(5,622	)	$	370,903
Interest expense		40,467		79,564		14,886		6,191		1,958		(9,368	)		133,698
Total provision for credit losses		433		1,457		216		343		11		513			2,973
Noninterest income		12,523		36,427		1,176		465		30,833		15,518			96,942
Depreciation and amortization		866		5,280		295		329		269		4,208			11,247
Other noninterest expense		23,501		70,538		11,225		7,513		23,961		32,393			169,131
Income before taxes	$	45,927	$	94,669	$	14,657	$	3,745	$	9,648	$	(17,850	)	$	150,796
Capital expenditures	$	2,511	$	6,815	$	387	$	87	$	887	$	14,367		$	25,054
June 30, 2025
Loans held for investment	$	2,466,154	$	4,114,132	$	887,498	$	479,897	$	95,326	$	71,481		$	8,114,488
Total assets	$	3,443,579	$	8,091,096	$	1,487,269	$	619,458	$	174,366	$	230,012		$	14,045,780
Total deposits	$	2,961,647	$	7,454,342	$	1,265,357	$	530,347	$	—	$	(155,501	)	$	12,056,192
Six Months Ended June 30, 2024
Interest income	$	103,804	$	201,493	$	38,397	$	15,342	$	4,672	$	(13,600	)	$	350,108
Interest expense		46,472		79,772		16,167		6,491		2,550		(17,344	)		134,108
Total provision for credit losses		1,705		2,492		2,860		189		68		59			7,373
Noninterest income		10,731		32,804		659		471		28,676		15,503			88,844
Depreciation and amortization		1,083		4,921		332		320		245		3,932			10,833
Other noninterest expense		21,735		66,053		10,440		7,400		20,011		31,623			157,262
Income before taxes	$	43,540	$	81,059	$	9,257	$	1,413	$	10,474	$	(16,367	)	$	129,376
Capital expenditures	$	2,501	$	5,024	$	43	$	4,658	$	13	$	4,034		$	16,273
June 30, 2024
Loans held for investment	$	2,564,689	$	4,021,062	$	829,826	$	446,972	$	97,044	$	87,855		$	8,047,448
Total assets	$	3,365,250	$	7,489,606	$	1,360,612	$	622,902	$	121,308	$	(222,360	)	$	12,737,318
Total deposits	$	2,560,657	$	6,874,717	$	1,158,662	$	522,487	$	—	$	(100,921	)	$	11,015,602

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

The following discussion and analysis of our financial condition as of June 30, 2025 and December 31, 2024 and results of operations for the three and six months ended June 30, 2025 should be read in conjunction with our consolidated financial statements and notes to the consolidated financial statements for the year ended December 31, 2024, and the other information included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024. Certain risks, uncertainties and other factors, including those set forth under "Risk Factors" in Part I, Item 1A of the 2024 Form 10-K, and "Item 1A, Risk Factors" in this Quarterly Report on Form 10-Q, may cause actual results to differ materially from the results discussed in the forward-looking statements appearing in this discussion and analysis.

FORWARD LOOKING STATEMENTS

The Company may make forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 with respect to earnings, credit quality, corporate objectives, interest rates and other financial and business matters. Forward-looking statements include estimates and give management’s current expectations or forecasts of future events. The Company cautions readers that these forward-looking statements are subject to numerous assumptions, risks and uncertainties, including economic conditions; the performance of financial markets and interest rates; legislative and regulatory actions and reforms; competition; as well as other factors, all of which change over time. Examples of forward-looking statements include, but are not limited to: (i) projections of revenues, expenses, income or loss, earnings or loss per share, the payment or nonpayment of dividends, capital structure and other financial items; (ii) statements of plans, objectives and expectations, including those relating to products or services; (iii) statements of future economic performance; and (iv) statements of assumptions underlying such statements. Words such as “believes”, “anticipates”, “expects”, “intends”, “targeted”, “continue”, “remain”, “will”, “should”, “may” and other similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements.

Forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from those in such statements. Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to:

•

The effect of changes in accounting policies and practices, as may be adopted by the regulatory agencies, as well as the Public Company Accounting Oversight Board, the Financial Accounting Standards Board and other accounting standard setters.

•

Changes in fiscal, monetary or regulatory policy may have adverse consequences including impacts to the labor market, tariffs and inflation which may impact our financial performance.

•

Changes in the regulatory environment for the banking industry, including rule-making, supervision, examination, and enforcement.

•

The increased time, effort and staffing needs related to ongoing and/or changed regulations from regulatory bodies could negatively impact noninterest expense.

•

Local, regional, national and international economic conditions, including the effect of a government shutdown, and the impact they may have on the Company and its customers.

•

Inflation, including wage inflation, energy prices, securities markets and monetary fluctuations.

•

Changes in oil and gas commodity prices and the potential impact to the related loan portfolio as well as the overall impact to the Oklahoma economic environment.

•

Changes in interest rates.

•

Potential impacts of adverse developments in the banking industry that could impact customer confidence.

•

Further shift in deposit mix from noninterest-bearing deposits to interest-bearing deposits could negatively impact net interest margin.

•

Changes in the financial performance and/or condition of the Company’s borrowers, including the impact of higher interest rates.

•

Changes in consumer spending, borrowing and savings habits.

•

Changes in the mix of loan sectors and types or the level of non-performing assets and charge-offs.

•

Deterioration in the market for commercial office property could have an adverse effect on the value of the Company's other real estate owned as well as commercial office collateral for the Company's commercial real estate loans.

•

Impairment of the Company’s goodwill or other intangible assets.

•

Technological changes, fintech competition and disruption to the traditional banking systems, including emerging regulation around stablecoins, blockchain technology in payment networks and market acceptance of digital assets.

•

Cyber threats.

•

The Company’s success at managing the risks involved in the foregoing items.

Actual results may differ materially from forward-looking statements.

SUMMARY

The Company’s net income for the second quarter of 2025 was $62.3 million, compared to $50.6 million for the second quarter of 2024. Diluted net income per common share was $1.85 and $1.51 for the second quarter of 2025 and 2024, respectively.

The Company’s net interest income for the second quarter of 2025 increased to $121.3 million from $109.9 million for the second quarter of 2024. Higher loan volume along with general growth in earning assets were the primary drivers of the change in net interest income. Net interest margin was virtually unchanged at 3.75% for the second quarter of 2025 and 3.76% for the second quarter of 2024. The Company recorded a provision for credit losses on loans of $1.2 million in the second quarter of 2025 compared to $3.4 million for the second quarter of 2024.

Noninterest income for the second quarter of 2025 totaled $48.0 million compared to $43.9 million for the second quarter of 2024. Trust revenue, treasury income, sweep fees, insurance commissions and other noninterest income each increased when compared to second quarter last year. The increase in other noninterest income was driven by changes in cash surrender value of life insurance as well as gains on disposal of other assets. The increases were partially offset by losses on equity securities in the second quarter of 2025.

Noninterest expense grew to $88.2 million for the second quarter of 2025 compared to $85.3 million in the same quarter in 2024. The increase in noninterest expense was primarily related to growth in salaries and employee benefits of $3.2 million.

At June 30, 2025, the Company’s total assets were $14.0 billion, an increase of $491.5 million from December 31, 2024. Loans grew $91.3 million from December 31, 2024, totaling $8.1 billion at June 30, 2025. Deposits totaled $12.1 billion, an increase of $337.6 million from year-end 2024. Sweep accounts totaled $5.3 billion at June 30, 2025, up $66.8 million from December 31, 2024. The Company’s total stockholders’ equity was $1.7 billion, an increase of $106.9 million over December 31, 2024.

Nonaccrual loans totaled $49.9 million, representing 0.61% of total loans at June 30, 2025, down slightly from 0.72% at year-end 2024. The allowance for credit losses to total loans was 1.19% at June 30, 2025, down from 1.24% at December 31, 2024. Net charge-offs were $4.7 million for the second quarter of 2025, including $3.7 million relating to one real estate loan that was taken into other real estate owned, compared to $999,000 for the second quarter of 2024.

See Note (2) of the Notes to Consolidated Financial Statements for disclosure regarding the Company’s recent developments, including mergers and acquisitions.

FUTURE APPLICATION OF ACCOUNTING STANDARDS

See Note (1) of the Notes to the Consolidated Financial Statements for disclosures regarding recently issued accounting pronouncements since December 31, 2024, the date of its most recent annual report to stockholders.

SEGMENT INFORMATION

See Note (12) of the Notes to the Consolidated Financial Statements for disclosures regarding business segments.

RESULTS OF OPERATIONS

Average Balances, Income, Expenses and Rates

The following tables present certain information related to the Company's consolidated average balance sheet, average yields on assets and average costs of liabilities. Such yields are derived by dividing income or expense by the average balance of the corresponding assets or liabilities. For these computations: (i) average balances are derived from daily averages, (ii) information is shown on a taxable-equivalent basis assuming a 21% tax rate, and (iii) nonaccrual loans are included in the average loan balances and any interest on such nonaccrual loans is recognized on a cash basis. Loan fees included in interest income were $5.1 million for the three months ended June 30, 2025 compared to $5.5 million for the three months ended June 30, 2024. Loan fees included in interest income were $10.1 million for the six months ended June 30, 2025 compared to $10.9 million for the six months ended June 30, 2024.


BANCFIRST CORPORATION
CONSOLIDATED AVERAGE BALANCE SHEETS AND INTEREST MARGIN ANALYSIS
(Unaudited)
Taxable Equivalent Basis
(Dollars in thousands)

	Three Months Ended June 30,
	2025								2024
				Interest		Average						Interest		Average
	Average			Income/		Yield/			Average			Income/		Yield/
	Balance			Expense		Rate			Balance			Expense		Rate
ASSETS
Earning assets:
Loans	$	8,064,423		$	139,532		6.94	%	$	7,912,469		$	137,846		6.99	%
Securities – taxable		1,139,354			6,887		2.42			1,488,850			8,932		2.41
Securities – tax exempt		2,120			22		4.16			2,408			23		3.79
Federal funds sold and interest-bearing deposits with banks		3,784,951			42,186		4.47			2,322,951			31,805		5.49
Total earning assets		12,990,848			188,627		5.82			11,726,678			178,606		6.11
Nonearning assets:
Cash and due from banks		210,323								203,664
Interest receivable and other assets		869,769								808,283
Allowance for credit losses		(97,898	)							(97,935	)
Total nonearning assets		982,194								914,012
Total assets	$	13,973,042							$	12,640,690
LIABILITIES AND STOCKHOLDERS’ EQUITY
Interest-bearing liabilities:
Money market and interest-bearing checking deposits	$	5,322,205		$	40,562		3.06	%	$	4,920,793		$	45,296		3.69	%
Savings deposits		1,185,678			9,375		3.17			1,076,338			9,222		3.44
Time deposits		1,565,251			16,152		4.14			1,134,460			12,961		4.58
Short-term borrowings		4,747			51		4.33			4,593			59		5.14
Subordinated debt		86,176			1,031		4.80			86,120			1,031		4.80
Total interest-bearing liabilities		8,164,057			67,171		3.30			7,222,304			68,569		3.81
Interest-free funds:
Noninterest-bearing deposits		3,942,867								3,819,196
Interest payable and other liabilities		169,867								119,175
Stockholders’ equity		1,696,251								1,480,015
Total interest free funds		5,808,985								5,418,386
Total liabilities and stockholders’ equity	$	13,973,042							$	12,640,690
Net interest income				$	121,456							$	110,037
Net interest spread							2.52	%							2.30	%
Effect of interest free funds							1.23	%							1.46	%
Net interest margin							3.75	%							3.76	%


BANCFIRST CORPORATION
CONSOLIDATED AVERAGE BALANCE SHEETS AND INTEREST MARGIN ANALYSIS
(Unaudited)
Taxable Equivalent Basis
(Dollars in thousands)

	Six Months Ended June 30,
	2025								2024
				Interest		Average						Interest		Average
	Average			Income/		Yield/			Average			Income/		Yield/
	Balance			Expense		Rate			Balance			Expense		Rate
ASSETS
Earning assets:
Loans (1)	$	8,057,657		$	276,710		6.93	%	$	7,821,611		$	270,095		6.93	%
Debt securities – taxable		1,167,175			13,893		2.40			1,523,328			18,113		2.38
Debt securities – tax exempt		2,156			44		4.15			2,525			48		3.77
Federal funds sold and interest-bearing deposits with banks		3,639,517			80,654		4.47			2,267,869			62,121		5.49
Total earning assets		12,866,505			371,301		5.82			11,615,333			350,377		6.05
Nonearning assets:
Cash and due from banks		212,578								202,982
Interest receivable and other assets		849,224								806,429
Allowance for credit losses		(98,795	)							(97,498	)
Total nonearning assets		963,007								911,913
Total assets	$	13,829,512							$	12,527,246
LIABILITIES AND STOCKHOLDERS’ EQUITY
Interest-bearing liabilities:
Transaction deposits	$	5,312,449		$	81,283		3.09	%	$	4,867,783		$	89,513		3.69	%
Savings deposits		1,162,057			18,274		3.17			1,066,532			18,225		3.43
Time deposits		1,530,263			32,022		4.22			1,080,750			24,154		4.48
Short-term borrowings		2,706			58		4.34			6,306			155		4.92
Subordinated debt		86,169			2,061		4.82			86,113			2,061		4.80
Total interest-bearing liabilities		8,093,644			133,698		3.33			7,107,484			134,108		3.78
Interest-free funds:
Noninterest-bearing deposits		3,916,486								3,831,283
Interest payable and other liabilities		149,775								125,536
Stockholders’ equity		1,669,607								1,462,943
Total interest free funds		5,735,868								5,419,762
Total liabilities and stockholders’ equity	$	13,829,512							$	12,527,246
Net interest income				$	237,603							$	216,269
Net interest spread							2.49	%							2.27	%
Effect of interest free funds							1.23	%							1.46	%
Net interest margin							3.72	%							3.73	%

Selected income statement data and other selected data for the comparable periods were as follows:

BANCFIRST CORPORATION

SELECTED CONSOLIDATED FINANCIAL DATA

(Unaudited)

(Dollars in thousands, except per share data)


	Three Months Ended June 30,						Six Months Ended June 30,
	2025			2024			2025			2024
Income Statement Data
Net interest income	$	121,256		$	109,896		$	237,205		$	216,000
Provision for credit losses on loans		1,239			3,358			2,700			7,373
Securities transactions		(740	)		317			(1,073	)		50
Total noninterest income		48,048			43,944			96,942			88,844
Salaries and employee benefits		55,147			51,928			109,740			103,456
Total noninterest expense		88,199			85,316			180,378			168,095
Net income		62,347			50,641			118,459			100,975
Per Common Share Data
Net income – basic	$	1.87		$	1.53		$	3.56		$	3.06
Net income – diluted		1.85			1.51			3.51			3.01
Cash dividends		0.46			0.43			0.92			0.86
Performance Data
Return on average assets		1.79	%		1.61	%		1.73	%		1.62	%
Return on average stockholders’ equity		14.74			13.72			14.31			13.84
Cash dividend payout ratio		24.60			28.10			25.84			28.10
Net interest spread		2.52			2.30			2.49			2.27
Net interest margin		3.75			3.76			3.72			3.73
Efficiency ratio		52.10			55.46			53.98			55.14
Net charge-offs to average loans		0.05			0.01			0.06			0.06

Net Interest Income

For the three months ended June 30, 2025, net interest income, which is the Company’s principal source of operating revenue, increased $11.4 million or 10.3% compared to the three months ended June 30, 2024. Higher loan volume along with general growth in earning assets were the primary drivers of the change in net interest income. Net interest margin is the ratio of taxable-equivalent net interest income to average earning assets for the period.

Net interest income for the six months ended June 30, 2025 increased $21.2 million or 9.8% compared to the six months ended June 30, 2024. Higher loan volume along with general growth in earning assets were the primary driver, to the increase.

Provision for Credit Losses on loans

The Company establishes an allowance as an estimate of the expected credit losses in the loan portfolio at the balance sheet date. Management believes the allowance for credit losses is appropriate based upon management’s best estimate of expected losses within the existing loan portfolio. Should any of the factors considered by management in evaluating the appropriate level of the allowance for credit losses change, the Company’s estimate of expected credit losses could also change which could affect the amount of future provisions for credit losses.

Net loan charge-offs were $4.7 million for the second quarter of 2025 compared to net loan charge-offs of $999,000 for the second quarter of 2024. The rate of net charge-offs to average total loans continues to be at a low level.

Net loan charge-offs were $5.2 million for the six months ended June 30, 2025, compared to $4.5 million for the same period of the prior year.

Noninterest Income

Noninterest income increased by $4.1 million for the second quarter of 2025 compared to the second quarter of 2024. Trust revenue, treasury income, sweep fees, insurance commissions, and other noninterest income each increased when compared to second quarter last year. The increase in other noninterest income was driven by changes in cash surrender value of life insurance as well as gains on disposal of other assets. The increases were partially offset by losses on equity securities in the second quarter of 2025.

Noninterest income included non-sufficient funds ("NSF") and overdraft fees totaling $7.6 million and $7.3 million for the three months ended June 30, 2025 and 2024, respectively. This represents 15.8% and 16.6% of the Company’s noninterest income for the respective periods. In addition, the Company had debit card usage and interchange fees totaling $6.9 million and $6.8 million during the three months ended June 30, 2025 and 2024, respectively. This represents 14.3% and 15.4% of the Company’s noninterest income for the respective periods.

Noninterest income increased by $8.1 million for the six months ended June 30, 2025 compared to the six months ended June 30, 2024. Trust revenue, treasury income, sweep fees, insurance commissions, and other noninterest income each increased when compared to the same period last year. The increase in other noninterest income was driven by changes in cash surrender value of life insurance as well as gains on disposal of other assets. The increases were partially offset by losses on equity securities in 2025.

Noninterest income included NSF and overdraft fees totaling $15.0 million and $14.4 million during the six months ended June 30, 2025 and 2024, respectively. This represents 15.5% and 16.2% of the Company’s noninterest income for the respective periods. In addition, the Company had debit card usage and interchange fees totaling $13.4 million and $13.3 million during the six months ended June 30, 2025 and 2024, respectively. This represents 13.8% and 15.0% of the Company’s noninterest income for the respective periods.

Noninterest Expense

Noninterest expense increased by $2.9 million for second quarter of 2025 compared to the second quarter of 2024. The increase in noninterest expenses was primarily related to growth in salaries and employee benefits of $3.2 million.

For the six months ended June 30, 2025, noninterest expense increased by $12.3 million compared to the six months ended June 30, 2024. Higher noninterest expenses in 2025 were primarily related to growth in salaries and employee benefits of $6.3 million, an increase in occupancy expense of $1.4 million and an increase in the net expense from other real estate owned of $1.7 million. In addition, the Company recorded an expense related to the disposition of certain equity investments no longer permissible under the Volcker Rule, which prohibits banks with more than $10 billion in assets from holding certain private equity investments.

Income Taxes

The Company’s effective tax rate was 21.8% for the second quarter of 2025, compared to 22.3% for the second quarter of 2024.

The Company’s effective tax rate was 21.4% for the six months ended June 30, 2025, compared to 22.0% for the six months ended June 30, 2024.

The primary reasons for the difference between the Company’s effective tax rate and the federal statutory rate were tax-exempt income, nondeductible amortization, federal and state tax credits and state tax expense.

FINANCIAL POSITION


BANCFIRST CORPORATION
SELECTED CONSOLIDATED FINANCIAL DATA
(Dollars in thousands, except per share data)

	June 30,			December 31,
	2025			2024
	(unaudited)
Balance Sheet Data
Total assets	$	14,045,780		$	13,554,314
Interest-bearing deposits with banks		3,737,763			3,315,932
Debt securities		1,104,604			1,211,754
Total loans (net of unearned interest)		8,124,497			8,033,183
Allowance for credit losses		96,988			99,497
Noninterest-bearing demand deposits		3,967,626			3,907,060
Money market and interest-bearing checking deposits		5,301,439			5,231,327
Savings deposits		1,205,602			1,110,020
Time deposits		1,581,525			1,470,139
Total deposits		12,056,192			11,718,546
Stockholders' equity		1,728,038			1,621,187
Book value per share		51.94			48.81
Tangible book value per share (non-GAAP)(1)		46.12			42.92
Reconciliation of Tangible Book Value per Common Share (non-GAAP)(2)
Stockholders' equity	$	1,728,038		$	1,621,187
Less goodwill		182,263			182,263
Less intangible assets, net		11,410			13,158
Tangible stockholders' equity (non-GAAP)	$	1,534,365		$	1,425,766
Common shares outstanding		33,272,131			33,216,519
Tangible book value per share (non-GAAP)	$	46.12		$	42.92
Selected Financial Ratios
Balance Sheet Ratios:
Average loans to deposits (year-to-date)		67.59	%		71.50	%
Average earning assets to total assets (year-to-date)		93.04			92.91
Average stockholders’ equity to average assets (year-to-date)		12.07			11.78
Asset Quality Data
Loans past due 90 days and still accruing	$	7,515		$	7,739
Nonaccrual loans (3)		49,878			57,984
Other real estate owned and repossessed assets		53,022			33,665
Asset Quality Ratios:
Nonaccrual loans to total loans		0.61	%		0.72	%
Allowance for credit losses to total loans		1.19			1.24
Allowance for credit losses to nonaccrual loans		194.45			171.59
(1) Refer to the “Reconciliation of Tangible Book Value per Common Share (non-GAAP)” table.
(2) Tangible book value per common share is stockholders’ equity less goodwill and intangible assets, net, divided by common shares outstanding. This amount is a non-GAAP financial measure but has been included as it is considered to be a critical metric with which to analyze and evaluate the financial condition and capital strength of the Company. This measure should not be considered a substitute for operating results determined in accordance with GAAP.
(3) Government agencies guaranteed approximately $9.5 million of nonaccrual loans at June 30, 2025.

Cash and Due from Banks, Federal Funds Sold and Interest-Bearing Deposits with Banks

The aggregate of cash and due from banks, federal funds sold and interest-bearing deposits with banks increased by $442.9 million or 12.5%, to $4.0 billion from December 31, 2024 to June 30, 2025. The increase was related to an increase of interest-bearing deposits in addition to maturing securities.

Securities

At June 30, 2025, total debt securities decreased $107.2 million, or 8.8% compared to December 31, 2024. The size of the Company’s securities portfolio is determined by the Company’s liquidity and asset/liability management. The net unrealized loss on debt securities available for sale, before taxes, was $23.0 million at June 30, 2025, compared to a net unrealized loss of $43.1 million at December 31, 2024. These unrealized losses of $17.6 million at June 30, 2025 and $32.9 million at December 31, 2024 are included in the Company’s stockholders’ equity as accumulated other comprehensive loss, net of income tax. During the six months ended June 30, 2025, the Company purchased $233,000 of debt securities compared to $270,000 during the six months ended June 30, 2024. The Company did not sell any debt securities during the six months ended June 30, 2025 or 2024. The Company did not recognize a gain or loss on debt securities during the six months ended June 30, 2025 or 2024. The Company had maturities and paydowns of debt securities totaling $127.7 million during the six months ended June 30, 2025 and $117.0 million during the six months ended June 30, 2024.

See Note (3) of the Notes to Consolidated Financial Statements for disclosures regarding the Company’s securities.

Loans

At June 30, 2025, total loans increased $91.3 million or 1.1% compared to December 31, 2024 as a result of internal loan growth. Of the total increase in loans, commercial real estate made up the largest increase with $101.5 million. The internal loan growth was primarily from the Company's Oklahoma subsidiary BancFirst.

See Note (4) of the Notes to Consolidated Financial Statements for disclosures regarding the Company’s loan portfolio segments.

Allowance for Credit Losses

The overall credit quality of the Company's loan portfolio has remained strong. If unforeseen adverse changes occur in the national or local economy, or in the credit markets, it would be reasonable to expect that the allowance for credit losses would increase in future periods.

Nonaccrual Loans

Nonaccrual loans totaled $49.9 million at June 30, 2025 compared to $58.0 million at December 31, 2024. The Company’s nonaccrual commercial non-real estate loans made up 14% and nonaccrual commercial real estate made up 59% of nonaccrual loans. Nonaccrual loans negatively impact the Company’s net interest margin. A loan is placed on nonaccrual status when, in the opinion of management, the future collectability of both interest and principal is in serious doubt. Interest income is not recognized until the principal balance is fully collected. However, if the full collection of the remaining principal balance is not in doubt, interest income is recognized on certain of these loans on a cash basis. Had nonaccrual loans performed in accordance with their original contractual terms, the Company would have recognized additional interest income of approximately $2.3 million for the six months ended June 30, 2025 and $1.8 million for the six months ended June 30, 2024. Only a small amount of this interest is expected to be ultimately collected. Approximately $9.5 million of nonaccrual loans were guaranteed by government agencies at June 30, 2025.

The classification of a loan as nonaccrual does not necessarily indicate that loan principal and interest will ultimately be uncollectible; although, in an economic downturn, the Company’s experience has been that the level of collections decline. The above normal risk associated with nonaccrual loans has been considered in the determination of the allowance for credit losses. The level of nonaccrual loans and credit losses could rise over time as a result of adverse economic conditions.

Modified Loans

The current and future financial effects of the recorded balance of loans considered to be modified during the period were not material. The recorded balance of loans modified during the six months ended June 30, 2025 was approximately $3.6 million compared to $14.8 million during the year ended December 31, 2024.

Other Real Estate Owned and Repossessed Assets

OREO consists of properties acquired through foreclosure proceedings or acceptance of a deed in lieu of foreclosure and premises held for sale. These properties are carried at the lower of the book values of the related loans or fair values based upon appraisals of the properties, less estimated costs to sell. Write-downs arising at the time of reclassification of such properties from loans to OREO are charged directly to the allowance for credit losses. Any losses on bank premises designated to be sold are charged to operating expense at the time of transfer from premises to OREO. Decreases in values of properties subsequent to their classification as OREO are charged to operating expense. During the six months ended June 30, 2025 the Company foreclosed on a construction and

development real estate loan and recorded $15.6 million in other real estate owned ("OREO"), which was the primary reason for the increase in OREO. The Company's write-downs of OREO totaled $20,000 for the six months ended June 30, 2025 compared to $50,000 for the six months ended June 30, 2024.

OREO also included a larger commercial real estate property recorded at $30.7 million at June 30, 2025 and $28.1 million at December 31, 2024. During the six months ended June 30, 2025, the Company made $2.6 million of tenant improvements to this property, which contributed to the increase of total OREO. Rental income for this property is included in other noninterest income on the consolidated statements of comprehensive income. Operating expense for this property is included in net expense from OREO in other noninterest expense on the consolidated statements of comprehensive income.

This property had the following rental income and operating expenses for the periods presented:


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
	(Dollars in thousands)
Rental income	$	3,202	$	3,085	$	6,323	$	6,026
Operating expense		2,673		2,673		5,297		4,923

The Company's total rental income and operating expenses from OREO are presented in the following table:


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
	(Dollars in thousands)
Rental income	$	3,202	$	3,083	$	6,323	$	6,085
Operating expense		2,837		2,802		5,500		5,131

Intangible Assets, Goodwill and Other Assets

Identifiable intangible assets and goodwill totaled $193.7 million and $195.4 million at June 30, 2025 and December 31, 2024, respectively.

Other assets included the cash surrender value of key-man life insurance policies totaling $84.7 million at June 30, 2025 and $84.4 million at December 31, 2024.

Derivative financial instruments consisting of oil and gas swaps and option contracts are included in other assets and totaled $16.1 million at June 30, 2025 and $10.5 million at December 31, 2024. They require a daily margin to be posted, which fluctuates with oil and gas prices and customer activity. The Company had a margin asset included in other assets in the amount of $3.6 million at June 30, 2025 and $463,000 at December 31, 2024. See Note (11) of the Notes to Consolidated Financial Statements for a complete discussion of the Company’s derivative financial instruments.

Equity securities are reported in other assets on the Company’s consolidated balance sheet. The Company invests in equity securities without readily determinable fair values. The realized and unrealized gains and losses are reported as securities transactions in the noninterest income section of the consolidated statements of comprehensive income. The balance of equity securities was $8.2 million at June 30, 2025 and $13.4 million at December 31, 2024. The decrease in equity securities in 2025 was primarily due to the disposition of certain equity investments no longer permissible under the Volcker rule which prohibits banks with more than $10 billion in assets from holding certain private equity investments. The Company reviews its portfolio of equity securities for impairment at least quarterly.

Low-Income Housing, New Market Tax Credit Investments and Historic Tax Credit Investments

During 2025, the Company’s low-income housing tax credit ("LIHTC") investments increased $33.9 million totaling $92.5 million at June 30, 2025, New Markets Tax Credits ("NMTC") investments increased $3.9 million totaling $11.4 million at June 30, 2025 and the Historic Tax Credit Investments remained at $6.3 million at June 30, 2025, all of which are included in other assets on the Company’s consolidated balance sheet. Unfunded commitments related to these investments increased $27.4 million totaling $67.0 million at June 30, 2025, all of which are included in other liabilities on the Company’s consolidated balance sheet.

See Note (6) of the Notes to Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 for disclosures regarding these investments.

Liquidity and Funding

The Company’s principal source of liquidity and funding is its broad deposit base generated from customer relationships. The availability of deposits is affected by economic conditions, competition with other financial institutions and alternative investments available to customers. Through interest rates paid, service charge levels and services offered, the Company can affect its level of deposits to a limited extent. The level and maturity of funding necessary to support the Company’s lending and investment functions is determined through the Company’s asset/liability management process. The Company currently does not rely heavily on long-term borrowings and does not utilize brokered CDs. The Company maintains lines of credit from the Federal Home Loan Bank (“FHLB”), federal funds lines of credit with other banks and could also utilize the sale of loans, securities and liquidation of other assets as sources of liquidity and funding. The Company is highly liquid with percent of cash and due from banks, interest-bearing deposits with banks and federal funds sold to total assets of 28.5% at June 30, 2025, compared to 26.2% at December 31, 2024.

There have not been any other material changes from the liquidity and funding discussion included in Management’s Discussion and Analysis in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.

Deposits

At June 30, 2025, deposits totaled $12.1 billion, an increase of $337.6 million from December 31, 2024. The Company’s core deposits provide it with a stable, low-cost funding source. The Company’s core deposits as a percentage of total deposits were 95.5% at both June 30, 2025 and December 31, 2024. Noninterest-bearing deposits to total deposits were 32.9% at June 30, 2025 compared to 33.3% at December 31, 2024.

Uninsured deposits are defined as the portion of deposit accounts in U.S. offices that exceed the FDIC insurance limit and amounts in any other uninsured investment or deposit account that are classified as deposits and are not subject to any federal or state deposit insurance regimes. Total uninsured deposits were $4.0 billion at both June 30, 2025 and December 31, 2024, as calculated per regulatory guidance. This was approximately 32.8% of deposits at June 30, 2025 and 33.7% at December 31, 2024. The Company has existing and contingent sources of liquidity equivalent to approximately 150% of it uninsured deposits.

Off-balance-sheet sweep accounts totaled $5.3 billion at June 30, 2025 compared to $5.2 billion at December 31, 2024. The movement of customers' funds into the Company's off-balance-sheet sweep accounts affected the balances of both cash and deposits.

Subordinated Debt

See Note (6) of the Notes to Consolidated Financial Statements for a complete discussion of the Company’s subordinated debt.

Lines of Credit

The Company has several lines of credit available. At June 30, 2025, BancFirst had $906.6 million available on its line of credit from the FHLB of Topeka, Kansas. At June 30, 2025, BancFirst had no advances outstanding under this line of credit. Pegasus had a Federal Reserve discount window capacity of $119.0 million. At June 30, 2025, Pegasus had no advances outstanding under this line of credit. Worthington had $10.5 million in lines of credit with other financial institutions that serve as overnight federal funds facilities, a Federal Reserve discount window capacity of $30.2 million and a $87.7 million line of credit from the FHLB of Dallas, Texas to use for liquidity or to match-fund certain long-term rate loans. Worthington had no advances outstanding at June 30, 2025 under any of these lines of credit.

Capital Resources

Stockholders’ equity totaled $1.7 billion at June 30, 2025, an increase of $106.9 million from December 31, 2024. In addition to net income of $118.5 million, other changes in stockholders’ equity during the six months ended June 30, 2025 included $2.0 million related to common stock issuances for stock-based compensation plans, $1.7 million related to stock-based compensation and $15.3 million in accumulated other comprehensive income that were partially offset by $30.6 million in dividends. The Company’s leverage ratio and total risk-based capital ratios at June 30, 2025 were well in excess of the regulatory requirements.

See Note (8) of the Notes to Consolidated Financial Statements for a discussion of capital ratios and requirements.

Liquidity Risk and Off-Balance-Sheet Arrangements

There have not been any material changes in the Company’s liquidity risk and off-balance-sheet arrangements included in Management’s Discussion and Analysis which was included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

There have been no significant changes in the Company’s disclosures regarding market risk since December 31, 2024, the date of its most recent annual report to stockholders.

Item 4. Controls and Procedures.

Evaluation of Disclosure Controls and Procedures. Pursuant to Rule 13a-15 of the Securities Exchange Act of 1934 (the “Exchange Act”), the Company’s Chief Executive Officer, Chief Financial Officer and its Disclosure Committee, which includes the Company’s Chairman of the Board, Chief Risk Officer, Chief Internal Auditor, Chief Asset Quality Officer, Controller, General Counsel and Director of Financial Reporting, have evaluated, as of the last day of the period covered by this report, the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Exchange Act). Based on their evaluation they concluded that the disclosure controls and procedures of the Company are effective to ensure that information required to be disclosed by the Company in the reports filed or submitted by it under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported, within the time periods specified in the applicable rules and forms.

Changes in Internal Control Over Financial Reporting. During the period to which this report relates, there have not been any changes in the Company’s internal controls over financial reporting (as defined in Rule 13a-15(f) and 15d-15(f) under the Exchange Act) that have materially affected, or are reasonably likely to materially affect, such controls.

PART II – OTHER INFORMATION

Item 1. Legal Proceedings.

The Company has been named as a defendant in various legal actions arising from the conduct of its normal business activities. Although the amount of any liability that could arise with respect to these actions cannot be accurately predicted, in the opinion of the Company, any such liability will not have a material adverse effect on the consolidated financial statements of the Company.

Item 1A. Risk Factors.

As of June 30, 2025, there have been no material changes from the risk factors previously disclosed in Part I, Item 1A, of the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

None.

Item 3. Defaults Upon Senior Securities.

None.

Item 4. Mine Safety Disclosures.

None.

Item 5. Other Information.

None.

Item 6. Exhibits.


Exhibit Number		Exhibit
3.1		Amended and Restated By-Laws of BancFirst Corporation (filed as Exhibit 3.1 to the Company's Quarterly Report on form 10Q for the Quarter Ended March 31, 2023 and incorporated herein by reference).

3.2		Restated Certificate of Incorporation of BancFirst Corporation dated August 5, 2021. (filed as Exhibit 3.2 to the Company's Quarterly Report on Form 10-Q for the Quarter Ended June 30, 2021).

31.1*		Chief Executive Officer’s Certification pursuant to Rule 13a-14(a) or Rule 15d-14(a).

31.2*		Chief Financial Officer’s Certification pursuant to Rule 13a-14(a) or Rule 15d-14(a).

32**		CEO’s & CFO’s Certification Pursuant to 18 U.S.C. Section 1350, As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101.INS		Inline XBRL Instance Document.

101.SCH		Inline XBRL Taxonomy Extension Schema with Embedded Linkbase Documents.

104		Cover page Interactive Data File (formatted as Inline XBRL and included in Exhibit 101).

*		Filed herewith.
**		This exhibit is furnished herewith and shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, or otherwise subject to the liability of that section, and shall not be deemed to be incorporated by reference into any filing under the Securities Act or the Exchange Act.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


		BANCFIRST CORPORATION
		(Registrant)

Date: August 5, 2025		/s/ David Harlow
		David Harlow
		President
		Chief Executive Officer
		(Principal Executive Officer)

Date: August 5, 2025		/s/ Hannah Andrus
		Hannah Andrus
		Executive Vice President
		Chief Financial Officer
		(Principal Financial Officer)