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 March 31, 2025 OR ☐ 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 0-10792 HORIZON BANCORP, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or o ...

Shares of Horizon Bancorp (HBNC) have gained 6.4% over the past four weeks to close the last trading session at $14.74, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $18.50 indicates a potential upside of 25.5%.The average comprises five short-term price targets ranging from a low of $17 to a high of $20.50, with a standard deviation of $1.66. While the lowest estimate indicat ...

Investor Presentation H o r i z o n B a n c o r p , I n c . ( N A S D A Q : H B N C ) F i r s t Q u a r t e r E n d e d M a r c h 3 1 , 2 0 2 5 A p r i l 2 4 , 2 0 2 5 Beyond ordinary banking This press release may contain forward–looking statements regarding the financial performance, business prospects, growth and operating strategies of Horizon Bancorp, Inc. and its affiliates (collectively, "Horizon"). For these statements, Horizon claims the protection of the safe harbor for forward-looking statements ...

Financial Data and Key Metrics Changes - Horizon Bancorp reported a net interest margin increase of 8 basis points to 3.04% in Q1 2025, marking the sixth consecutive quarter of margin expansion [26][27] - Noninterest income included a $7 million gain from the sale of the mortgage warehouse business, contributing to overall positive revenue growth [33][34] - Total expenses for Q1 2025 were $39.3 million, reflecting a sequential decline in salaries and benefits and outside services expenses [35][36] Business Line Data and Key Metrics Changes - Total loans held for investment grew by $63 million, with commercial loans increasing by $105 million, representing a 14% annualized growth rate [12][13] - Consumer loan balances decreased by $40 million, primarily due to a reduction in indirect auto lending, while core consumer loans remained flat [16][18] - Credit quality metrics remained strong, with nonperforming loans at 62 basis points of total loans held for investment [19][20] Market Data and Key Metrics Changes - Key markets contributing to loan growth included Troy, Kalamazoo, Grand Rapids, and Midland in Michigan, as well as Northwest Indiana [14] - The company noted stable pipelines and strong engagement with clients regarding potential macroeconomic impacts [15] Company Strategy and Development Direction - The company aims to execute an asset mix strategy focusing on higher-yielding lending portfolios to enhance long-term franchise value [9] - Horizon Bancorp is committed to maintaining a disciplined approach to deposit pricing and leveraging market volatility to improve funding costs [24] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's future, citing strong local market presence and diversified portfolios as competitive advantages [70][72] - The outlook for loan growth remains in the mid-single-digit range, with expectations for deposit growth in the low single digits [39][40] Other Important Information - The company completed the sale of its mortgage warehouse business, which added optionality to its capital position [7][8] - The allowance for credit losses increased by approximately $700,000 to $52.7 million, with a ratio of 1.07% to loans [20][21] Q&A Session Summary Question: Can you unpack the added capital optionality from the warehouse gain and any appetite for share repurchases? - Management indicated that they are pleased with their capital strategy and are considering multiple options, including stock repurchases, to enhance shareholder returns [48][50] Question: What is the yield pickup as you run off indirect and fund commercial loans? - The yield runoff in the indirect auto portfolio is in the mid-3s, while the average weighted rate for the commercial book was approximately 7.15% [58][61] Question: How is the mood of your client base, and what gives you confidence in your positive outlook? - Management noted a strong local presence and diversified portfolio as key factors contributing to their optimistic outlook, despite some caution among clients regarding macroeconomic conditions [68][70] Question: Can you provide an update on deposit pricing and trajectory? - Deposit costs have increased slightly, but management anticipates stability in total deposit costs moving forward, with potential benefits when the Fed changes rates [88][90] Question: How do you weigh efficiency efforts with plans to hire veteran bankers? - The commercial team has remained stable, and management does not foresee a need for wholesale additions of new lenders at this time [102][103]

Horizon Bancorp (HBNC) Q1 2025 Earnings Call April 24, 2025 08:30 AM ET Company Participants Thomas Prame - CEO, President & DirectorLynn Kerber - Executive VP & Chief Commercial Banking OfficerJohn Stewart - Executive VP & CFOBrendan Nosal - DirectorTerry Mcevoy - Managing DirectorBrian Martin - Director - Banks & Thrifts Conference Call Participants Damon Delmonte - AnalystNathan Race - Managing Director & Senior Research AnalystDavid Long - Analyst Operator Good morning, everyone, and welcome to the Hori ...

Core Viewpoint - Horizon Bancorp reported quarterly earnings of $0.54 per share, exceeding the Zacks Consensus Estimate of $0.40 per share, and showing an increase from $0.32 per share a year ago, representing a 35% earnings surprise [1][2] Financial Performance - The company posted revenues of $68.77 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 8.81%, compared to $53.22 million in the same quarter last year [2] - Over the last four quarters, Horizon Bancorp has exceeded consensus EPS estimates three times and has topped consensus revenue estimates three times as well [2] Stock Performance and Outlook - Horizon Bancorp shares have declined approximately 13.5% since the beginning of the year, while the S&P 500 has decreased by 10.1% [3] - The company's current consensus EPS estimate for the upcoming quarter is $0.44 on revenues of $65.43 million, and for the current fiscal year, it is $1.78 on revenues of $262.7 million [7] Industry Context - The Zacks Industry Rank for Banks - Northeast places it in the top 23% of over 250 Zacks industries, indicating that the industry is performing relatively well [8]

Financial Performance - Net income for Q1 2025 was $23.9 million, or $0.54 per diluted share, compared to a net loss of $10.9 million in Q4 2024 and $14.0 million in Q1 2024[5]. - Non-interest income totaled $16.5 million in Q1 2025, a significant recovery from a non-interest loss of $29.0 million in Q4 2024[14]. - Net income for Q1 2025 was $23,943,000, compared to a net loss of $10,882,000 in Q4 2024, marking a significant recovery[40]. - Basic earnings per share for Q1 2025 was $0.55, compared to a loss of $0.25 in Q4 2024[32]. - Return on average tangible common equity (ROACE) for Q1 2025 was 15.79%, a significant improvement from -7.35% in Q4 2024[40]. Loan and Deposit Growth - Total loans held for investment increased by 5% linked quarter annualized, with organic commercial loan growth of $103.3 million, or 14% annualized[7]. - Core deposits grew by $62.5 million during the period, representing a 24% annualized increase in non-interest-bearing balances[7]. - Total loans held for investment increased to $4,909,815 thousand, a 1% increase from Q4 2024 and a 6% increase from Q1 2024[35]. - Total deposits rose to $5,765,783 thousand, reflecting a 3% increase from Q4 2024 and Q1 2024[35]. - Commercial real estate loans grew by 3% from Q4 2024 to $2,262,910 thousand and by 14% compared to Q1 2024[35]. Interest Income and Margin - Total interest income for Q1 2025 was $89,175,000, a decrease of 4.1% from $93,350,000 in Q4 2024[32]. - Net interest income after credit loss expense was $50,891,000, compared to $51,956,000 in Q4 2024, reflecting a decline of 2.1%[32]. - The net FTE interest margin (non-GAAP) improved to 3.04% in Q1 2025, up from 2.97% in Q4 2024[39]. - Total interest-earning assets averaged $7,234,724 thousand with a net interest margin of 5.11% for Q1 2025[36]. - Net interest income for Q1 2025 was reported at $52,267 thousand, compared to $43,288 thousand in Q1 2024[36]. Asset and Equity Changes - Total assets decreased by $175.5 million, or 2.2%, to $7.6 billion as of March 31, 2025, primarily due to the sale of the mortgage warehouse portfolio[18]. - Stockholders' equity increased to $776,061,000 from $763,582,000 in Q4 2024, an increase of 1.3%[34]. - The ratio of total stockholders' equity to total assets was 10.18% as of March 31, 2025, with book value per common share increasing to $17.72[21]. - Total tangible common equity (non-GAAP) rose to $611,443 million, compared to $598,148 million in the previous quarter, reflecting a quarter-over-quarter increase of 1.08%[43]. - Tangible book value per common share (non-GAAP) reached $13.96, an increase from $13.68 in the prior quarter, indicating a growth of 2.05%[43]. Expense Management - The efficiency ratio improved to 57.16% in Q1 2025 from 185.89% in Q4 2024, reflecting a more efficient expense base[8]. - Total non-interest expense was $39.3 million in Q1 2025, down from $44.9 million in Q4 2024, primarily due to a $3.2 million decrease in salaries and employee benefits[16]. - The provision for loan losses was $1,376,000, up from $1,171,000 in Q4 2024, indicating a rise of 17.5%[32]. Credit Quality - The company recorded a provision for credit losses of $1.4 million in Q1 2025, compared to $1.2 million in Q4 2024[11]. - Annualized net charge-offs were 0.07% of average loans in Q1 2025, compared to 0.05% in Q4 2024[12]. - Total non-accrual loans increased by $3.0 million, or 12%, to 0.59% of total loans HFI as of March 31, 2025[22]. - Total non-performing assets rose to $31,427,000, reflecting a 14.8% increase from the previous quarter and a 55% increase year-over-year[37]. - The allowance for credit losses increased to $52,654,000, a 1% increase from the previous quarter[37]. Company Overview - Horizon Bancorp, Inc. is a commercial bank holding company with $8 billion in assets, serving customers through digital tools and branches in Indiana and Michigan[27].

Core Viewpoint - Horizon Bancorp, Inc. reported strong financial results for the first quarter of 2025, showcasing continued growth in key metrics, including net income and loan growth, alongside effective cost management strategies [2][3]. Financial Performance - Net income for Q1 2025 was $23.9 million, or $0.54 per diluted share, a significant improvement from a net loss of $10.9 million in Q4 2024 and an increase from $14.0 million in Q1 2024 [3][10]. - Net interest income was $52.3 million, slightly down from $53.1 million in Q4 2024, while the net interest margin expanded to 3.04%, up from 2.97% in the previous quarter [12][9]. - Total non-interest income was $16.5 million, a recovery from a loss of $29.0 million in Q4 2024, primarily due to a pre-tax gain from the sale of the mortgage warehouse business [17][9]. Loan and Deposit Growth - Total loans held for investment increased by 5% on an annualized basis, with organic commercial loan growth of $103.3 million, or 14% annualized [9]. - Total deposits rose by $165.1 million, or 2.9%, to $5.8 billion, with time deposits increasing by 14.3% during the quarter [25]. Expense Management - Non-interest expenses decreased to $39.3 million from $44.9 million in Q4 2024, driven by lower salaries and employee benefits expenses [19][21]. - The efficiency ratio improved to 57.16%, reflecting the company's commitment to cost management [10]. Credit Quality - Credit quality remained strong, with annualized net charge-offs at 0.07% of average loans, and non-performing assets increased slightly to 0.41% of total assets [29][30]. - The allowance for credit losses was stable at 1.07% of loans held for investment [16]. Capital Position - As of March 31, 2025, the total capital ratio was 14.28%, and the book value per common share increased to $17.72 [27][28]. - Tangible common equity totaled $611.4 million, with a tangible common equity to tangible assets ratio of 8.20% [28].

Earnings Release and Conference Call - Horizon Bancorp, Inc. will release its financial results for Q4 2024 after market close on January 22, 2025 [4] - Management will host a conference call to discuss Q4 2024 financial results on January 23, 2025, at 7:30 a.m. CT [4] - The press release regarding Q4 2024 earnings and conference call is attached as Exhibit 99.1 [5]

Core Viewpoint - Horizon Bancorp, Inc. will host a conference call on April 24, 2025, to discuss its first quarter 2025 financial results, with the news release published on April 23, 2025 [1]. Group 1: Conference Call Details - The conference call is scheduled for 7:30 a.m. CT (8:30 a.m. ET) on April 24, 2025, and participants can join by dialing specific numbers based on their location [2]. - A telephone replay of the call will be available approximately one hour after the call ends, accessible through designated numbers until May 2, 2025 [3]. Group 2: Company Overview - Horizon Bancorp, Inc. is a commercial bank holding company with $7.8 billion in assets, serving customers in the Midwest through digital tools and physical branches in Indiana and Michigan [4]. - The company offers a range of retail banking services, including secured consumer lending and wealth management solutions, with commercial lending making up over half of its total loans [4].