Financial Results Announcement - Horizon Bancorp, Inc. will release its financial results for Q4 2025 after market close on January 21, 2026[4] - A conference call to discuss the Q4 2025 financial results is scheduled for January 22, 2026, at 7:30 a.m. CT (8:30 a.m. ET)[4] - The press release regarding the earnings announcement is attached as Exhibit 99.1[5]

MICHIGAN CITY, Ind., Jan. 02, 2026 (GLOBE NEWSWIRE) -- Horizon Bancorp, Inc. (“Horizon” or the “Company”) will host a conference call at 7:30 a.m. CT on Thursday, January 22, 2026, to review its fourth quarter 2025 financial results. The Company’s fourth quarter 2025 news release will be published after markets close on Wednesday, January 21, 2026. It will be available at investor.horizonbank.com. Participants may access the live conference call on January 22, 2026, at 7:30 a.m. CT (8:30 a.m. ET) by dialing ...

Core Insights - Horizon Bank has appointed Pam Zarazee as the Senior Vice President and Director of Human Resources, indicating a strategic move to enhance its HR capabilities and culture [1][2]. Company Overview - Horizon Bancorp, Inc. is a commercial bank holding company with assets totaling $6.7 billion, serving customers in the Midwest through digital tools and physical branches in Indiana and Michigan [5]. - The bank offers a variety of services, including residential and secured consumer lending, personal banking, wealth management, business banking, treasury management, and equipment financing, with commercial lending making up over half of total loans [5]. Leadership and HR Strategy - Pam Zarazee will oversee talent management, employee engagement, and compensation functions, and will be part of the Senior Leadership Team, contributing to the bank's Advisor-driven culture [2][3]. - The CEO, Thomas Prame, highlighted Zarazee's extensive experience in employee development, succession planning, and HR technology, which is expected to add significant value to the organization [3]. Educational Background - Pam Zarazee holds a Bachelor of Science in Human Resources and Business from Indiana University and a Master's degree from the University of Notre Dame, showcasing her strong educational foundation in HR [4].

Core Viewpoint - Horizon Bancorp (HBNC) has underperformed in the past year, with a loss of approximately 10% in share value, but the company is implementing significant changes to improve its balance sheet positioning [1] Group 1: Company Performance - Shares of Horizon Bancorp have decreased by about 10% over the last year [1] Group 2: Strategic Actions - The company is taking transformative actions to alter its balance sheet positioning [1]

Core Viewpoint - Horizon Bancorp (HBNC) has underperformed in the past year, with a loss of approximately 10% in value, but the company is implementing transformative actions to improve its balance sheet positioning [1] Group 1 - Horizon Bancorp's stock has decreased by about 10% over the last year [1] - The company is taking significant steps to alter its balance sheet [1]

Financial Performance - Net income for the three months ended September 30, 2025, decreased to a net loss of $222.0 million, or $(4.69) per diluted share, compared to net income of $18.2 million, or $0.41 per diluted share for the same period in 2024[178]. - For the nine months ended September 30, 2025, net income decreased to a net loss of $177.4 million, or $(3.94) per diluted share, compared to net income of $46.3 million, or $1.05 per share for the same period in 2024[179]. - Non-interest income decreased by $306.8 million during the three months ended September 30, 2025, primarily due to a loss on sale of investment securities amounting to $299.1 million[178]. - Non-interest income decreased by $306.8 million, resulting in a net loss of $295.3 million for the three months ended September 30, 2025, compared to a gain of $11.5 million in 2024[186]. - Total non-interest expense for the nine months ended September 30, 2025, was $131.7 million, an increase of $17.8 million compared to $113.9 million in 2024[192]. Interest Income and Expenses - Net interest income increased by $11.5 million, or 24.5%, to $58.4 million for the three months ended September 30, 2025, despite a decrease in average earning assets[180]. - For the nine months ended September 30, 2025, net interest income increased by $30.5 million to $166.0 million, with the net FTE interest margin rising by 66 basis points to 3.26%[180]. - The increase in interest income for the three months ended September 30, 2025, was $1.9 million, while interest expense decreased by $9.5 million[178]. - Total interest income for the three months ended September 30, 2025, was $1,528 million, a decrease of $1,499 million compared to the same period in 2024[185]. Asset and Liability Management - Total assets decreased by $1.1 billion, or 14.0%, to $6.7 billion as of September 30, 2025, primarily due to balance sheet repositioning efforts[201]. - Total investment securities decreased by $1.2 billion, or 58.0%, to $0.9 billion as of September 30, 2025, following the movement of the entire held-to-maturity securities portfolio to available-for-sale[202]. - Total loans HFI decreased by $23.4 million to $4.8 billion as of September 30, 2025, due to the sale of approximately $176 million of the indirect auto portfolio[203]. - Total deposit balances decreased by $79.8 million, or 1.4%, to $5.5 billion as of September 30, 2025, driven by a decline in high-cost transactional deposits[204]. - Total borrowings decreased by $985.1 million, or 79.9%, to $247.2 million as of September 30, 2025, due to the payoff of $700 million in FHLB advances[205]. Credit Quality and Losses - As of September 30, 2025, the allowance for credit losses (ACL) on loans was $50.2 million, or 1.04% of period-end loans held for investment (HFI), compared to $52.0 million, or 1.07% at December 31, 2024[211]. - The company recorded a benefit for credit losses on loans of $3.4 million for the three months ended September 30, 2025, compared to a provision of $1.0 million for the same period in 2024[196]. - Net loan charge-offs increased by $0.5 million to $0.8 million for the three months ended September 30, 2025, compared to $0.4 million during the same period in 2024[197]. - Total non-performing assets increased by $8.3 million, or 30%, from December 31, 2024, to 0.53% of total assets as of September 30, 2025[212]. - The allowance for credit losses decreased to $50,178,000 as of September 30, 2025, compared to $51,980,000 at December 31, 2024, a decline of 3.5%[213]. Equity and Capital Management - Stockholders' equity totaled $660.8 million as of September 30, 2025, down from $763.6 million at December 31, 2024, a decrease of 13.5%[217]. - The ratio of total stockholders' equity to total assets was 9.84% as of September 30, 2025, compared to 9.62% at December 31, 2024[218]. - Tangible common equity totaled $497.7 million at September 30, 2025, down from $588.5 million at September 30, 2024, a decrease of 15.4%[227]. Future Outlook and Risks - The company faces risks from macroeconomic conditions, including trade policy and interest rate volatility, which could impact future performance[172]. - The Company projected a $6,013,000 decrease in net interest income with a 200 basis points decline in interest rates, representing a 2.3% change[231].

Group 1 - The article does not provide any specific content or key points related to a company or industry [1]

Financial Data and Key Metrics Changes - Horizon Bancorp Inc. reported net interest margin expansion for the eighth consecutive quarter, with an exit run rate in September above 4% [5][16] - The net interest margin increased by 29 basis points to 3.52% for the quarter, with expectations to expand further in Q4 to a range of 4.15%-4.25% [19][26] - The allowance for credit losses decreased to $50.2 million, representing an allowance to credit loss to loans held for investment of 1.04% [11] Business Line Data and Key Metrics Changes - Net loan total for investment decreased to $162 million, primarily due to a $210 million impact from the runoff and sale of indirect auto loans, while commercial loans grew by $58 million [9][10] - The combined relationship-based fee income categories of service charges, card, and mortgage income increased from the third quarter [5] Market Data and Key Metrics Changes - The core relationship balances in the deposit portfolio remained resilient, with planned outflows in higher-cost non-core transactional accounts [14] - The company anticipates a decline in deposit balances in Q4, primarily due to the targeted reduction of high-cost non-relationship balances [26] Company Strategy and Development Direction - The company is focused on profitable loan growth and maintaining excellent credit quality as a cornerstone of its success [7] - Horizon Bancorp Inc. aims to create durable returns and sustainable long-term value for shareholders through disciplined capital management and potential M&A opportunities [30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering superior community banking performance and capital generation metrics moving into 2026 [6][30] - The company is optimistic about growth opportunities in Michigan and Indiana, leveraging its strong brand reputation and community banking model [40][60] Other Important Information - The company has seen a significant positive increase in performance in September, indicating strong momentum heading into Q4 [7] - Non-interest income was materially impacted by balance sheet actions, including a $299 million loss in the sale of securities [22] Q&A Session Summary Question: Update on the new narrative for Horizon Bancorp Inc. and strategic emphasis - Management highlighted a focus on positive capital stewardship and a more efficient, de-risked balance sheet that will generate capital at a greater pace [36] Question: Potential outlets for capital outside of organic loan growth and M&A - Management indicated that M&A will focus on franchises that add to the current profitable franchise, with potential targets in Michigan and Indiana [39][40] Question: Balance sheet being rate neutral - Management clarified that while the balance sheet is modestly asset-sensitive, they do not expect significant impacts from rate changes [45] Question: Trends in credit quality and areas of stress - Management noted that non-performing loans increased slightly, but overall credit quality remains satisfactory with no significant areas of concern [70][74] Question: Loan growth outlook for 2026 - Management expects mid-single-digit growth primarily from organic commercial growth, without the need for significant additional headcount [87] Question: Capital accretion and buybacks - Management stated that while buybacks are an option for creating shareholder value, they are not a priority in the near term following recent capital raises [91]

Financial Data and Key Metrics Changes - Horizon Bancorp Inc. reported net interest margin expansion for the eighth consecutive quarter, with an exit run rate in September above 4% [5][16] - The net interest margin increased by 29 basis points to 3.52% for the quarter, with expectations to expand further in Q4 to a range of 4.15% to 4.25% [19][26] - The allowance for credit losses decreased to $50.2 million, representing an allowance to credit loss to loans held for investment of 1.04% [11][12] Business Line Data and Key Metrics Changes - Net loan total for investment decreased to $162 million, primarily due to a $210 million impact from the runoff and sale of indirect auto loans, while commercial loans grew by $58 million [9][10] - The combined relationship-based fee income categories of service charges, card, and mortgage income increased from the previous quarter [5] Market Data and Key Metrics Changes - The core relationship balances in the deposit portfolio remained resilient despite planned outflows from higher-rate transactional accounts [14] - The company anticipates a decline in deposit balances in Q4, primarily due to the targeted reduction of high-cost non-relationship balances [26] Company Strategy and Development Direction - The company is focused on creating durable returns and sustainable long-term value for shareholders through disciplined capital management and profitable loan growth [6][30] - Horizon Bancorp Inc. is considering M&A opportunities that are accretive to its community banking platform, with a focus on franchises that enhance profitability [37][40] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering superior community banking performance and capital generation metrics moving into 2026 [6][30] - The company is monitoring economic conditions closely, with future provision expenses driven by anticipated loan growth and credit quality trends [12] Other Important Information - The company executed a balance sheet restructuring that exceeded initial expectations, optimizing securities and loan portfolios [4][6] - Non-interest income was impacted by a $299 million loss in the sale of securities and a $7.7 million loss on the sale of the indirect auto loan portfolio [22] Q&A Session Summary Question: What is the new narrative for Horizon Bancorp Inc.? - Management indicated that the company is positioned to generate capital at a greater pace and will focus on measured deployment strategies for growth, including potential M&A opportunities [35][36] Question: Are there any other potential outlets for capital outside of organic loan growth and M&A? - Management confirmed that M&A will be a focus, targeting franchises that add to the current profitable platform, with potential sizes ranging from $300 million to several billion dollars [38][40] Question: How does the company support its rate-neutral position? - Management explained that while the balance sheet is modestly asset-sensitive, they do not expect significant impacts from rate changes due to their deposit positioning [44][45] Question: What are the trends in credit quality? - Management noted that non-performing loans increased slightly, but overall credit quality remains satisfactory, with no significant areas of stress identified [70][74] Question: What is the outlook for loan growth in 2026? - Management anticipates mid-single-digit growth primarily from organic commercial growth, with no immediate need for significant headcount increases [87][88]

Financial Data and Key Metrics Changes - Horizon Bancorp's net interest margin expanded for the eighth consecutive quarter, reaching 3.52% in Q3, with an exit run rate above 4% in September [5][17][20] - The company reported a net loan total for investment of $162 million, with a $210 million impact from the runoff and sale of indirect auto loans [10][12] - The allowance for credit losses decreased to $50.2 million, representing 1.04% of loans held for investment, with a net release of $3.6 million in provisions [12][25] Business Line Data and Key Metrics Changes - Commercial loans grew by $58 million in Q3, representing a 7% annualized increase, while residential mortgage lending volumes remained flat [10][11] - The combined relationship-based fee income categories, including service charges and card income, showed an increase from the previous quarter [5][24] Market Data and Key Metrics Changes - The company experienced predicted outflows in higher-cost non-core transactional accounts as part of its balance sheet restructuring plan [5][14] - Non-interest income was impacted by a $299 million loss in the sale of securities and a $7.7 million loss on the sale of the indirect auto loan portfolio [21][22] Company Strategy and Development Direction - Horizon Bancorp is focused on creating durable returns and sustainable long-term value for shareholders through disciplined capital management and profitable growth strategies [6][30] - The company plans to pursue M&A opportunities that are accretive to its community banking platform, with a focus on franchises that enhance profitability [35][39] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering superior community banking performance and capital generation metrics moving into 2026 [6][30] - The outlook for Q4 includes expectations for net interest margin expansion to 4.15% to 4.25%, with total reported expenses approximating $40 million [27][28] Other Important Information - The company has made significant improvements in its deposit portfolio, enhancing growth and stability in core client relationships [14][15] - The effective tax rate for Q4 is expected to be in the range of 18% to 20%, reflecting stronger pre-tax income [28] Q&A Session Summary Question: Update on the new narrative for Horizon Bancorp Inc. - Management indicated that the company is positioned to generate capital at a greater pace and will focus on measured deployment strategies for profitable growth [34][35] Question: Criteria for potential M&A opportunities - M&A will focus on franchises that add to the current profitable franchise, with potential targets in Michigan and Indiana [36][39] Question: Balance sheet's rate neutrality - Management acknowledged a modest asset sensitivity but emphasized that the balance sheet is designed to be rate neutral [42] Question: Trends in credit quality and areas of stress - Non-performing loans increased slightly, but management noted that the overall credit profile remains strong, with no significant areas of concern [58][61] Question: Loan growth outlook for 2026 - The company anticipates mid-single-digit loan growth driven primarily by commercial lending, with no immediate need for significant headcount increases [70][71]