Core Viewpoint - Home Bancorp, Inc. (HBCP) has reached a significant support level and is considered a strong investment opportunity due to a recent technical indicator known as a "golden cross" [1] Technical Analysis - HBCP's 50-day simple moving average has recently crossed above its 200-day moving average, indicating a bullish breakout [1] - A golden cross is formed when a stock's short-term moving average surpasses a longer-term moving average, typically the 50-day and 200-day, which are seen as stronger indicators of future price movements [1][2] Performance Metrics - Over the past four weeks, HBCP has experienced a gain of 19.1% [3] - The stock currently holds a 1 (Strong Buy) rating on the Zacks Rank, suggesting it is well-positioned for further gains [3] Earnings Outlook - HBCP's earnings outlook is positive, with no earnings estimates cut and two revisions higher in the past 60 days [3] - The Zacks Consensus Estimate for HBCP has also increased, reinforcing the bullish sentiment [3][4] Investment Consideration - The combination of positive earnings estimate revisions and the technical breakout suggests that investors should monitor HBCP for potential gains in the near future [4]

Financial Performance - Net income for the three months ended March 31, 2025, was $10,964 thousand, up 19.2% from $9,199 thousand for the same period in 2024[12]. - Earnings per share (EPS) increased to $1.38 for the three months ended March 31, 2025, compared to $1.15 for the same period in 2024, representing a growth of 20%[12]. - Noninterest income for the three months ended March 31, 2025, was $4,009 thousand, a 13% increase from $3,549 thousand in the same period of 2024[12]. - Comprehensive income for the three months ended March 31, 2025, was $15,861 thousand, significantly higher than $7,080 thousand for the same period in 2024[14]. - Net cash provided by operating activities increased to $12,576,000, up from $10,323,000, reflecting a growth of 12.1% year-over-year[19]. Asset Growth - Total assets increased to $3,485,453 thousand as of March 31, 2025, compared to $3,443,668 thousand at December 31, 2024, reflecting a growth of 1.2%[10]. - Total loans, net of unearned income and allowance for loan losses, rose to $2,713,999 thousand as of March 31, 2025, from $2,685,269 thousand at December 31, 2024, an increase of 1.1%[10]. - Total deposits increased to $2,827,207 thousand as of March 31, 2025, from $2,780,696 thousand at December 31, 2024, marking a growth of 1.7%[10]. - Cash and cash equivalents at the end of the period were $110,662,000, up from $90,475,000 at the end of the same period last year[19]. Loan Portfolio - Total loans as of March 31, 2025, amounted to $2,747,277,000, an increase from $2,718,185,000 as of December 31, 2024, indicating a growth of 1.07%[41]. - The commercial real estate loans totaled $1,193,364,000 as of March 31, 2025, up from $1,158,781,000 at the end of 2024, indicating an increase of approximately 2.98%[45]. - One- to four-family first mortgage loans stood at $504,356,000 as of March 31, 2025, showing a slight increase from $501,225,000 at the end of 2024[45]. - The consumer loans increased to $29,998,000 as of March 31, 2025, from $29,624,000 at the end of 2024, representing a growth of about 1.26%[45]. Loan Loss Provisions - The provision for loan losses was $394 thousand for the three months ended March 31, 2025, compared to $141 thousand for the same period in 2024, indicating a significant increase in provisioning[12]. - The allowance for loan losses stood at $33,278 thousand as of March 31, 2025, compared to $32,916 thousand at December 31, 2024, indicating a slight increase[10]. - The allowance for credit losses (ACL) totaled $35,978,000 as of March 31, 2025, which includes $33,278,000 for loan losses and $2,700,000 for unfunded lending commitments[44]. - The provision for credit losses for the three months ended March 31, 2025, was $(226,000), while recoveries amounted to $194,000, leading to an ending balance of $35,978,000[48]. Dividend and Shareholder Returns - Cash dividends declared per common share increased to $0.27 for the three months ended March 31, 2025, compared to $0.25 for the same period in 2024, reflecting an 8% increase[12]. - The company paid $2,186,000 in dividends to shareholders, compared to $2,038,000 in the previous year[19]. Investment Securities - Total available for sale investment securities decreased in fair value to $400,553,000 as of March 31, 2025, from $402,792,000 at December 31, 2024[30]. - The effective duration of the company's investment securities portfolio was 3.7 years as of March 31, 2025, compared to 3.9 years at December 31, 2024[30]. - The total amortized cost of the Company's held-to-maturity securities was $1,065,000, with no ACL required as of March 31, 2025[35]. Derivative Instruments - The Company estimates that an additional $1,607,000 will be reclassified as interest expense over the next twelve months due to cash flow hedges[78]. - Accumulated unrealized gains on derivative instruments decreased from $2,418,000 to $1,775,000, a decline of 26.6%[83]. - The fair value of interest rate swaps designated as cash flow hedges was $2,411,000 as of March 31, 2025, down from $3,241,000 on December 31, 2024[81]. Nonperforming Loans - Nonaccrual loans totaled $18,970,000 as of March 31, 2025, compared to $13,582,000 as of December 31, 2024, indicating an increase of 39.5%[59]. - Total past due loans reached $24,474,000 as of March 31, 2025, up from $20,601,000 as of December 31, 2024, representing a 19.5% increase[56]. - The company reported $77,000 in loans greater than 90 days past due as of March 31, 2025, compared to $16,000 as of December 31, 2024[58].

Core Viewpoint - Home Bancorp (HBCP) is positioned as a strong investment opportunity due to significant upward revisions in earnings estimates, indicating a positive earnings outlook and potential for continued stock price gains [1][2]. Earnings Estimate Revisions - Analysts are increasingly optimistic about Home Bancorp's earnings prospects, leading to higher earnings estimates that are expected to positively impact the stock price [2]. - The current quarter's earnings estimate is projected at $1.24 per share, reflecting a year-over-year increase of +21.57%. Over the last 30 days, the consensus estimate has risen by 5.98% with two upward revisions and no negative changes [6]. - For the full year, the earnings estimate stands at $5.05 per share, representing a +10.75% change from the previous year. Similar to the current quarter, there have been two upward revisions in the past month with no negative revisions [7]. Zacks Rank and Performance - Home Bancorp has achieved a Zacks Rank 1 (Strong Buy), indicating strong agreement among analysts regarding the positive revisions in earnings estimates. This ranking is associated with a historical average annual return of +25% for Zacks 1 Ranked stocks since 2008 [3][8]. - The favorable estimate revisions have contributed to a notable stock performance, with shares increasing by 8.7% over the past four weeks, suggesting investor confidence in the company's earnings growth potential [9].

Core Viewpoint - Home Bancorp (HBCP) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive trend in earnings estimates which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Performance - The Zacks rating system emphasizes the correlation between changes in earnings estimates and stock price movements, suggesting that revisions in earnings estimates can lead to significant price changes [4][6]. - For the fiscal year ending December 2025, Home Bancorp is projected to earn $4.84 per share, reflecting a 6.1% increase from the previous year [8]. Analyst Sentiment and Market Position - Analysts have consistently raised their earnings estimates for Home Bancorp, with a 4.5% increase in the Zacks Consensus Estimate over the past three months [8]. - The upgrade to Zacks Rank 2 places Home Bancorp in the top 20% of Zacks-covered stocks, indicating strong potential for market-beating returns in the near term [10].

Financial Data and Key Metrics Changes - The company reported a first quarter net income of $11 million, or $1.37 per share, representing a 13% increase from the fourth quarter and a 20% increase year-over-year [5] - Net interest margin (NIM) expanded for the fourth consecutive quarter to 0.91%, with return on assets (ROA) increasing by 17 basis points to 1.29% [5][14] - Loans grew by $29.1 million in the first quarter, approximately 4% annualized, with a guidance of 4% to 6% loan growth for 2025 [6][17] - Deposits increased at a 7% annualized rate, with non-interest bearing deposits making up 27% of total deposits [7][21] Business Line Data and Key Metrics Changes - Non-interest income for the first quarter was $4 million, an increase of $400,000 compared to the prior quarter, driven by a 100% increase in SBA loan sales [24] - Non-interest expense decreased by $776,000 to $21.6 million, primarily due to a decline in compensation and benefits [25] Market Data and Key Metrics Changes - The company has seen a stable loan yield of 6.43%, with a slight increase in earning asset yields expected due to new loan originations [40][23] - The cost of interest-bearing deposits declined by 15 basis points in Q1, with a significant reduction in the cost of CDs [20] Company Strategy and Development Direction - The company continues to optimize its Houston market, with plans to upgrade and expand its physical footprint [8] - A new 400,000 share repurchase plan was approved, reflecting confidence in the company's intrinsic value [27] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to outperform despite recent economic volatility, maintaining a strong credit culture and customer service focus [12] - The outlook for NIM and earnings is positive, with expectations of continued expansion even without rate cuts [13] Other Important Information - The company has maintained a core efficiency ratio between 60% and 65%, which declined to 60% in Q1 [15] - The allowance for loan loss ratio remained stable at 1.21% [19] Q&A Session Summary Question: What are the expectations for margin improvement after the first quarter? - Management indicated that they expect a slowdown in profit costs in Q2 but anticipate stable to slightly increasing NIM due to loan repricing and new originations [36][38] Question: Can you discuss the loan relationships that moved to non-accrual? - Management highlighted two problematic loans: one related to a condominium development in Mississippi and another concerning a hotel undergoing renovations in Houston [44][46] Question: How has the office portfolio performed regarding maturities? - The office portfolio has performed well, with most matured loans renewing without significant movement [52] Question: Will the loan-to-deposit ratio change over time? - Management expects the loan-to-deposit ratio to remain tight until there is a noticeable decrease in loan demand [59] Question: How aggressive will the company be with share repurchases? - Management indicated that while they may not be as aggressive as in Q1, they will continue to repurchase shares when opportunities arise [70]

For a more detailed description of the factors that may affect Home Bancorp's operating results or the outcomes described in these forward-looking statements, we refer you to our filings with the Securities and Exchange Commission, including our annual report on Form 10-K for the year ended December 31, 2024. Home Bancorp assumes no obligation to update the forward-looking statements made during this presentation. For more information, please visit our website www.home24bank.com. Non-GAAP Information Q1 202 ...

Financial Data and Key Metrics Changes - The company reported a first quarter net income of $11 million, or $1.37 per share, representing a 13% increase from the fourth quarter and a 20% increase year-over-year [5] - Net interest margin (NIM) expanded for the fourth consecutive quarter to 0.91%, with return on assets (ROA) increasing by 17 basis points to 1.29% [5][14] - Loans grew by $29.1 million in the first quarter, approximately 4% annualized, with a guidance of 4% to 6% loan growth for 2025 [6][17] - Deposits increased at a 7% annualized rate, with non-interest bearing deposits making up 27% of total deposits [7][21] Business Line Data and Key Metrics Changes - Non-interest income for the first quarter was $4 million, an increase of $400,000 compared to the prior quarter, driven by a 100% increase in SBA loan sales [24] - Non-interest expense decreased by $776,000 to $21.6 million, primarily due to a decline in compensation and benefits [25] Market Data and Key Metrics Changes - The company has seen a stable loan yield of 6.43%, with a slight increase in earning asset yields expected due to new loan originations [40][23] - The cost of interest-bearing deposits declined by 15 basis points in Q1, with a significant reduction in the cost of CDs [20] Company Strategy and Development Direction - The company continues to optimize its Houston market, with plans to upgrade and expand its physical footprint [8] - A new 400,000 share repurchase plan was approved by the board, indicating confidence in the company's intrinsic value [27] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to outperform despite recent economic volatility, maintaining a strong track record [12] - The outlook for NIM and earnings is positive, with expectations for continued expansion even without rate cuts [13] Other Important Information - The allowance for loan loss ratio remained stable at 1.21%, with net charge-offs at less than one basis point annualized [18][20] - The company has a strong capital position, with tangible book value per share growing at a 7% annualized rate since 2019 [28] Q&A Session Summary Question: What are the expectations for margin improvement after Q1? - Management indicated that they expect a slowdown in profit costs in Q2, with a stable NIM anticipated despite potential rate cuts [36][38] Question: Can you discuss the loan relationships that moved to non-accrual? - Management highlighted two problematic loans, one in Mississippi related to condominium development and another a hotel undergoing renovations in Houston [44][47] Question: What is the status of the office portfolio and any recent maturities? - The office portfolio has performed well, with most matured loans renewing without significant movement [52] Question: Will CD pricing change this quarter? - Management expects CD rates to remain slightly elevated but anticipates a marginal reduction in costs over the next quarter [56] Question: Will the loan-to-deposit ratio change over time? - Management believes the loan-to-deposit ratio will remain tight until there is a noticeable decrease in loan demand [59] Question: How aggressive will the company be with share repurchases? - Management indicated that while they may not be as aggressive as in Q1, they will continue to repurchase shares when opportunities arise [70]

Financial Data and Key Metrics Changes - The company reported first quarter net income of $11 million, or $1.37 per share, representing a 13% increase from the fourth quarter and a 20% increase year-over-year [2] - Net interest margin (NIM) expanded for the fourth consecutive quarter to 3.91%, with return on assets (ROA) increasing by 17 basis points to 1.29% [3][10] - Loans grew by $29.1 million in the first quarter, approximately 4% annualized, with expectations of continued growth [3][12] - Deposits increased at a 7% annualized rate, with noninterest-bearing deposits making up 27% of total deposits [4][15] Business Line Data and Key Metrics Changes - Net interest income remained stable at $31.7 million in the first quarter compared to $31.6 million in the fourth quarter, with expectations for growth due to loan growth and increasing asset yields [12] - Noninterest income increased by $400,000 to $4 million in the first quarter, driven by a gain on the sale of SBA loans [17] - Noninterest expense decreased by $776,000 to $21.6 million, primarily due to a decline in compensation and benefits [18] Market Data and Key Metrics Changes - The company has seen strong performance in its Houston market, which has been a significant success since its acquisition three years ago [4] - The loan portfolio is 59% fixed, providing yield protection from further rate cuts [17] Company Strategy and Development Direction - The company is focused on expanding its physical footprint and enhancing customer relationships, particularly in the Houston market [5][8] - Management emphasizes a strong credit culture and customer service as key components of their strategy to outperform peers [8][20] Management's Comments on Operating Environment and Future Outlook - Management remains confident in the company's outlook, expecting NIM and earnings to continue to expand even without rate cuts [9][20] - The company is monitoring economic conditions and potential impacts from tariffs but maintains a positive outlook on loan growth [3][8] Other Important Information - The company repurchased 297,000 shares at an average price of $43.82 per share and has a new 400,000 share repurchase plan approved by the board [19][20] - Tangible book value per share has grown at a 7.7% annualized rate since 2019, with dividends increased by 21% [20] Q&A Session Summary Question: Can you touch on the go forward margin expectation after the improvement in the first quarter? - Management expects a slowdown in deposit costs in the second quarter, with stable to slightly increasing NIM anticipated even with a 25 basis point rate cut [25][30] Question: Can you discuss the two loan relationships that moved to non-accrual in the quarter? - One loan is related to a condominium development in Mississippi facing sales challenges, while the other is a hotel undergoing renovations in Houston [36][39] Question: What about the office portfolio and any recent maturities? - The office portfolio has performed well, with most matured loans renewing without significant movement [44] Question: Will CD pricing change this quarter? - CD rates are expected to remain slightly elevated but will likely decrease incrementally over the next quarter [46] Question: Do you plan to see the loan to deposit ratio come down over time? - The loan to deposit ratio is expected to remain tight until there is a noticeable decrease in loan demand [50]

Core Insights - Home Bancorp (HBCP) reported a revenue of $35.76 million for the quarter ended March 2025, reflecting a year-over-year increase of 10.2% and a surprise of +3.62% over the Zacks Consensus Estimate of $34.51 million [1] - The earnings per share (EPS) for the quarter was $1.37, compared to $1.14 in the same quarter last year, resulting in an EPS surprise of +20.18% against the consensus estimate of $1.14 [1] Financial Performance Metrics - Total nonperforming loans amounted to $19.05 million, exceeding the average estimate of $13.43 million from two analysts [4] - Total nonperforming assets were reported at $21.47 million, higher than the average estimate of $15.34 million from two analysts [4] - The net interest margin was 3.9%, slightly above the estimated 3.8% by two analysts [4] - Total average interest-earning assets were $3.24 billion, which is below the average estimate of $3.27 billion from two analysts [4] - The efficiency ratio stood at 60.4%, better than the average estimate of 64.4% from two analysts [4] - Total noninterest income was $4.01 million, surpassing the average estimate of $3.65 million from two analysts [4] - Net interest income reached $31.75 million, exceeding the average estimate of $30.86 million from two analysts [4] Stock Performance - Home Bancorp's shares have returned -1.9% over the past month, compared to a -5.6% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Core Insights - Home Bancorp (HBCP) reported quarterly earnings of $1.37 per share, exceeding the Zacks Consensus Estimate of $1.14 per share, and showing an increase from $1.14 per share a year ago, resulting in an earnings surprise of 20.18% [1] - The company achieved revenues of $35.76 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 3.62% and increasing from $32.45 million year-over-year [2] - Home Bancorp has consistently outperformed consensus EPS and revenue estimates over the last four quarters [2] Earnings Outlook - The future performance of Home Bancorp's stock will largely depend on management's commentary during the earnings call and the trends in earnings estimate revisions [3][4] - The current consensus EPS estimate for the upcoming quarter is $1.17 on revenues of $34.95 million, and for the current fiscal year, it is $4.77 on revenues of $142.99 million [7] Industry Context - The Banks - Southeast industry, to which Home Bancorp belongs, is currently ranked in the top 36% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked using tools like the Zacks Rank [5][6]