Financial Performance - Net income for the quarter was $1,599,000, up from $941,000 in the prior year, reflecting a year-over-year growth of 70%[11] - Earnings per share (EPS) increased to $0.53 for the quarter, compared to $0.31 in the same quarter of 2024, representing a growth of 70.9%[11] - Total comprehensive income for the quarter was $1,994,000, slightly up from $1,943,000 in the same period last year, reflecting a growth of 2.6%[13] - Net cash provided by operating activities increased significantly to $2,776,000 from $871,000 year-over-year, marking a growth of 218%[18] - The company paid dividends totaling $415,000, slightly up from $409,000 in the previous year[20] Asset and Deposit Growth - Total assets increased to $622,630,000 as of September 30, 2025, up from $609,492,000 on June 30, 2025, representing a growth of 2.1%[7] - Total deposits increased to $557,188,000 as of September 30, 2025, compared to $546,290,000 at the end of June 2025, marking a rise of 2%[8] - The net increase in deposits was $10,898,000, a substantial recovery from a decrease of $9,447,000 in the previous year[20] - Non-interest bearing deposits rose to $127.441 million as of September 30, 2025, up from $122.416 million on June 30, 2025, indicating an increase of approximately 4.2%[108] Income and Interest - Net interest income rose to $5,261,000 for the three months ended September 30, 2025, compared to $4,427,000 for the same period in 2024, an increase of 18.8%[11] - Total interest income rose to $8,010,000 for the three months ended September 30, 2025, compared to $7,741,000 in the prior year, marking an increase of 3.5%[11] - The company's interest paid on deposits and borrowed funds was $2,694,000, down from $3,291,000 in the previous year[20] Credit Losses and Provisions - The provision for credit losses was $43,000 for the quarter, a recovery compared to a provision of $(223,000) in the same period last year[11] - The provision for loan losses showed a recovery of $43,000 compared to a loss of $223,000 in the same quarter last year[18] - The allowance for credit losses decreased from $4.574 million on June 30, 2025, to $4.387 million on September 30, 2025, a reduction of about 4.1%[102] Securities and Investments - The company reported unrealized gains on securities available for sale of $501,000 for the quarter, compared to $1,268,000 in the same quarter last year[13] - The Company has a total of $39,277,000 in available-for-sale securities, with gross unrealized gains of $189,000 and gross unrealized losses of $2,137,000, resulting in a fair value of $37,329,000[72] - The total held-to-maturity securities amount to $59,794,000, with gross unrealized losses of $8,953,000, leading to a fair value of $50,841,000[72] Loan Portfolio - As of September 30, 2025, the total loans receivable amounted to $468.837 million, an increase from $465.593 million as of June 30, 2025, reflecting a growth of approximately 0.5%[80] - The net loans receivable after allowances for credit losses was $464.356 million as of September 30, 2025, compared to $461.004 million at June 30, 2025, indicating a slight increase of about 0.5%[80] - The total amount of "Pass" loans for one-to-four family residential properties was $164,367,000 in 2025, reflecting a strong position in this segment[93] Tax and Regulatory Compliance - The Company accounts for income taxes using the asset and liability method, with deferred tax assets and liabilities recorded based on the difference between tax basis and carrying amounts[61] - The Company is subject to the Louisiana Ad Valorem Tax based on stockholders' equity and net income[63] Shareholder Information - Total stockholders' equity rose to $56,591,000 as of September 30, 2025, up from $55,205,000 at the end of June 2025, an increase of 2.5%[9] - Basic earnings per share for the three months ended September 30, 2025, was $0.53, up from $0.31 in 2024, reflecting a growth of 71%[109] - The weighted average shares outstanding decreased from 3,058,000 in 2024 to 3,008,000 in 2025, a reduction of approximately 1.6%[110]

Financial Performance - Net income for the three months ended September 30, 2025, was $1.599 million, an increase of 70.0% compared to $941,000 for the same period in 2024[1][2] - Basic and diluted earnings per share were $0.53 and $0.52, respectively, for the three months ended September 30, 2025, compared to $0.31 for the same period in 2024[1][2] - Net interest income rose to $5,261 thousand for the three months ended September 30, 2025, compared to $4,427 thousand for the same period in 2024, an increase of 18.8%[19] - Return on average assets increased to 1.03% for the three months ended September 30, 2025, up from 0.59% in the prior year[20] - Basic earnings per share increased to $0.53 for the quarter, compared to $0.31 in the same period last year, a growth of 70.97%[19] - Book value per share improved to $18.46, up from $17.34 in the prior year, indicating a year-over-year increase of 6.47%[20] Income and Revenue Sources - Net interest income increased by $834,000, or 18.8%, while non-interest income rose by $350,000, or 116.7% compared to the prior year[2][6] - The Company reported a 65 basis point increase in net interest margin compared to the same period in 2024[5] Asset and Liability Management - Total assets increased by $13.138 million, or 2.2%, from $609.492 million at June 30, 2025, to $622.630 million at September 30, 2025[8] - Total liabilities rose by $11.752 million, or 2.1%, from $554.287 million at June 30, 2025, to $566.039 million at September 30, 2025[9] - Stockholders' equity increased by $1.386 million, or 2.5%, from $55.205 million at June 30, 2025, to $56.591 million at September 30, 2025[11] - Total deposits reached $557,188 thousand, an increase from $546,290 thousand as of June 30, 2025, marking a growth of 1.65%[17] - Total assets increased to $622,630 thousand as of September 30, 2025, up from $609,492 thousand on June 30, 2025, representing a growth of 1.87%[17] Asset Quality - Non-performing assets decreased to $2.225 million at September 30, 2025, down from $3.305 million at June 30, 2025[10] - Non-performing assets as a percentage of total assets were 0.36% at the end of the quarter, slightly up from 0.31% in the previous year[20] - The allowance for credit losses as a percentage of total loans receivable decreased to 0.94% from 1.03% year-over-year[20] Interest Rate Metrics - The average interest rate spread improved to 2.99% for the three months ended September 30, 2025, up from 2.23% in the same period of 2024[2] - The Company had zero dependency on wholesale funding, with no brokered deposits or FHLB advances at September 30, 2025[5]

Core Viewpoint - Home Federal Bancorp, Inc. of Louisiana reported a significant increase in net income for the third quarter of 2025, driven by higher net interest income and non-interest income, alongside a reduction in non-interest expenses compared to the same period in 2024 [1][2]. Financial Performance - Net income for the three months ended September 30, 2025, was $1.599 million, up from $941,000 in the same period of 2024 [1]. - Basic and diluted earnings per share were $0.53 and $0.52, respectively, compared to $0.31 for the same period in 2024 [1]. - Net interest income increased by $834,000, or 18.8%, while non-interest income rose by $350,000, or 116.7% [2]. Asset and Liability Management - Total assets increased by $13.138 million, or 2.2%, from $609.492 million at June 30, 2025, to $622.630 million at September 30, 2025 [7]. - Total liabilities rose by $11.752 million, or 2.1%, from $554.287 million at June 30, 2025, to $566.039 million at September 30, 2025 [8]. Income and Expense Analysis - Non-interest expenses decreased by $160,000, primarily due to reductions in compensation and benefits, audit fees, and other operational costs [6]. - The increase in non-interest income was attributed to a decrease in losses on the sale of real estate and increases in service charges and gains on loan sales [5]. Capital and Equity - Stockholders' equity increased by $1.386 million, or 2.5%, from $55.205 million at June 30, 2025, to $56.591 million at September 30, 2025 [11]. - The increase in equity was supported by net income and a decrease in accumulated other comprehensive loss [11]. Asset Quality - Non-performing assets decreased to $2.225 million at September 30, 2025, down from $3.305 million at June 30, 2025 [9]. - The allowance for credit losses as a percentage of total loans receivable was 0.94% at September 30, 2025, compared to 1.03% at June 30, 2025 [19]. Operational Metrics - The average interest rate spread improved to 2.99% for the three months ended September 30, 2025, compared to 2.23% for the same period in 2024 [19]. - The net interest margin increased to 3.63% from 2.98% year-over-year [19].

Group 1 - The Company declared a quarterly cash dividend of $0.135 per share on its common stock, payable on November 10, 2025, to shareholders of record as of October 27, 2025 [1] - The Board of Directors approved a new stock repurchase program allowing the repurchase of up to 100,000 shares, approximately 3.0% of the Company's outstanding common stock, over four calendar quarters [2] - The stock repurchase program will involve the repurchase of 25,000 shares per quarter and does not have an expiration date [2] Group 2 - Home Federal Bancorp, Inc. of Louisiana is the holding company for Home Federal Bank, which operates ten full-service banking offices in northwest Louisiana [3]

Financial Performance - Home Federal Bancorp reported a net income of $3.9 million for fiscal 2025, an increase from $3.6 million in fiscal 2024[173]. - Net income for the year ended June 30, 2025, increased by $421,000, or 26.6%, compared to the previous year, driven by a rise in non-interest income and a decrease in non-interest expense[203]. - Home Federal Bancorp's return on average assets improved to 0.63% in 2025 from 0.55% in 2024[188]. Interest Income and Expenses - Total interest income decreased from $31.9 million in 2024 to $30.5 million in 2025, while total non-interest income increased from $1.6 million to $2.0 million[187]. - Net interest income decreased by $280,000, or 1.5%, to $18.7 million for fiscal year 2025, primarily due to a $1.4 million decrease in total interest income[204]. - Total interest income decreased by $1.4 million, or 4.4%, to $30.5 million for fiscal 2025, mainly due to a $1.7 million decrease in interest income from loans[206]. - Interest expense decreased by $1.1 million, or 8.7%, to $11.8 million for fiscal 2025, primarily due to lower rates on money market accounts and certificates of deposit[207]. Asset and Liability Management - Total assets decreased from $637.5 million in 2024 to $609.5 million in 2025, with total deposits also declining from $574.0 million to $546.3 million[187]. - Total assets decreased by $28.0 million, or 4.4%, from $637.5 million at June 30, 2024, to $609.5 million at June 30, 2025[191]. - Total liabilities decreased by $30.4 million, or 5.2%, from $584.7 million at June 30, 2024, to $554.3 million at June 30, 2025, primarily due to a $27.7 million decrease in total deposits[195]. - Stockholders' equity increased by $2.4 million, or 4.5%, from $52.8 million at June 30, 2024, to $55.2 million at June 30, 2025, driven by net income of $3.9 million for the year[196]. Loan Portfolio and Asset Quality - The company plans to emphasize the origination of commercial real estate and business loans, which accounted for 29.8% and 11.6% of the total loan portfolio, respectively, as of June 30, 2025[178]. - Net loans receivable decreased by $9.9 million, or 2.1%, from $470.9 million at June 30, 2024, to $461.0 million at June 30, 2025, with commercial real estate loans comprising 29.8% of the total loan portfolio[192]. - The company intends to maintain high asset quality, with non-performing loans as a percentage of loans receivable increasing to 0.51% in 2025 from 0.32% in 2024[188]. - Non-performing assets as a percentage of total assets rose to 0.54% in 2025 from 0.30% in 2024[188]. - Non-performing assets increased to $3.3 million as of June 30, 2025, compared to $1.9 million in the prior year[209]. Operational Efficiency - The efficiency ratio improved to 78.11% in 2025 from 79.99% in 2024, indicating better cost management[188]. - Non-interest expense decreased by $278,000 for the year ended June 30, 2025, mainly due to reductions in compensation and benefits, franchise taxes, and advertising expenses[211]. Forward-Looking Statements and Risks - Home Federal Bancorp's forward-looking statements include financial projections and expectations regarding future operations and performance[225]. - The company acknowledges inherent uncertainties in its forward-looking statements, which may differ materially from actual results[225]. - Key risks affecting future performance include economic conditions, competitive pressures, and changes in interest rates[225]. - The company does not undertake any obligation to update forward-looking statements after their initial release[225].

Core Viewpoint - Home Federal Bancorp Of Louisiana reported strong financial results for Q2 2025, with significant increases in net income and earnings per share, driven by lower funding costs and improved non-interest income [1][2]. Financial Performance - Net income for Q2 2025 was $1.2 million, a 100% increase from $0.6 million in Q2 2024 [2]. - Diluted earnings per share rose to $0.38, reflecting an 81% increase from $0.21 a year earlier [2]. - Net interest income increased by 13% to $4.97 million compared to $4.4 million in the previous year [2]. - Non-interest income grew by 40% to $0.7 million, primarily due to a gain on the sale of loans and higher service charges [2][6]. - The net interest margin improved to 3.52%, up from 2.91% a year earlier, attributed to a decrease in funding costs [2][5]. Operational Developments - Average rate paid on interest-bearing deposits decreased to 2.48% from 2.98% year-over-year, contributing to the improved net interest margin [5]. - Operating expenses increased by 1.4%, mainly due to a one-time data processing cost, while other expenses declined [7]. - Non-performing assets rose to 0.54% of total assets, up from 0.31% a year earlier, with real estate owned increasing by 132% [8]. Balance Sheet and Capital Metrics - Total assets declined by 4.4% to $609.5 million, with net loans receivable falling by 2.1% [10]. - Total deposits decreased by 4.8%, although savings account balances increased by 24.8% [10]. - Stockholders' equity rose by 4.5% to $55.2 million, with book value per share reaching $17.66 [11]. Strategic Focus - The company focuses on managing funding costs, adjusting deposit mix, and maintaining credit quality, with local economic strength playing a significant role in performance [4][3]. Dividend and Capital Return - Total dividend payments for FY2025 were $1.6 million, with $1.1 million in share repurchases [13]. Future Outlook - Management did not provide formal guidance for future quarters, emphasizing the need to monitor asset quality, deposit trends, and competitive pressures in the local market [14].

Financial Highlights and Performance Overview [Overall Financial Performance](index=1&type=section&id=OverallFinancialPerformance) Home Federal Bancorp, Inc. reported significant increases in net income and earnings per share for both the three months and year ended June 30, 2025, compared to the prior year periods Net Income and EPS Performance | Metric | Q4 2025 | Q4 2024 | YoY Change (Q4) | FY 2025 | FY 2024 | YoY Change (FY) | | :---------- | :-------- | :-------- | :-------------- | :-------- | :-------- | :-------------- | | Net Income | $1.2M | $638K | +88.1% | $3.9M | $3.6M | +8.3% | | Basic EPS | $0.39 | $0.21 | +85.7% | $1.27 | $1.18 | +7.6% | | Diluted EPS | $0.38 | $0.21 | +80.9% | $1.26 | $1.17 | +7.7% | [Key Financial Ratios](index=1&type=section&id=KeyFinancialRatios) The Company demonstrated improved profitability metrics, with increases in average interest rate spread and net interest margin for both the quarter and the full year ended June 30, 2025 Key Profitability Ratios | Metric | Q4 2025 | Q4 2024 | YoY Change (Q4) | FY 2025 | FY 2024 | YoY Change (FY) | | :------------------------- | :------ | :------ | :-------------- | :------ | :------ | :-------------- | | Average Interest Rate Spread | 2.89% | 2.15% | +0.74 pp | 2.55% | 2.38% | +0.17 pp | | Net Interest Margin | 3.52% | 2.91% | +0.61 pp | 3.23% | 3.08% | +0.15 pp | [Balance Sheet Highlights](index=1&type=section&id=BalanceSheetHighlights) Book value per share increased, and the company reduced its other borrowings, while FHLB advances remained at zero at year-end Selected Balance Sheet Items | Metric | June 30, 2025 | June 30, 2024 | Change |\n| :----------------- | :------------ | :------------ | :----- | | Book Value Per Share | $17.66 | $16.80 | +$0.86 |\n| Other Borrowings | $4.0M | $7.0M | -$3.0M |\n| FHLB Advances | $0 | $0 | $0 | Detailed Income Statement Analysis [Net Interest Income](index=1&type=section&id=NetInterestIncome) Net interest income increased for the three months ended June 30, 2025, primarily due to a significant decrease in interest expense. However, for the full year, net interest income slightly decreased due to a larger decline in interest income Net Interest Income Performance | Metric | Q4 2025 | Q4 2024 | YoY Change (Q4) | FY 2025 | FY 2024 | YoY Change (FY) | | :---------------- | :-------- | :-------- | :-------------- | :--------- | :--------- | :-------------- | | Net Interest Income | $4.973M | $4.360M | +$613K (+14.1%) | $18.671M | $18.951M | -$280K (-1.5%) | [Interest Income](index=1&type=section&id=InterestIncome) Interest income decreased for both the quarter and the full year, primarily due to lower income from other interest-earning assets and loans Total Interest Income | Metric | Q4 2025 | Q4 2024 | YoY Change (Q4) | FY 2025 | FY 2024 | YoY Change (FY) | | :---------------- | :-------- | :-------- | :-------------- | :--------- | :--------- | :-------------- | | Total Interest Income | $7.638M | $7.819M | -$181K (-2.3%) | $30.462M | $31.864M | -$1.4M (-4.4%) | - The decrease in total interest income for Q4 2025 was primarily due to lower income from other interest-earning assets, partially offset by increases in investment securities and mortgage-backed securities income[2](index=2&type=chunk)[3](index=3&type=chunk)[20](index=20&type=chunk) - For the full year, the decrease was mainly driven by lower income from loans and investment securities[2](index=2&type=chunk)[3](index=3&type=chunk)[20](index=20&type=chunk) [Interest Expense](index=1&type=section&id=InterestExpense) Interest expense decreased for both periods, mainly driven by lower interest paid on deposits and other bank borrowings Total Interest Expense | Metric | Q4 2025 | Q4 2024 | YoY Change (Q4) | FY 2025 | FY 2024 | YoY Change (FY) | | :---------------- | :-------- | :-------- | :-------------- | :--------- | :--------- | :-------------- | | Total Interest Expense | $2.665M | $3.459M | -$794K (-23.0%) | $11.791M | $12.913M | -$1.1M (-8.7%) | - The decrease in total interest expense for both periods was primarily due to lower interest paid on deposits and other bank borrowings[2](index=2&type=chunk)[3](index=3&type=chunk)[20](index=20&type=chunk) [Non-Interest Income](index=1&type=section&id=NonInterestIncome) Non-interest income increased significantly for both the three-month and full-year periods, driven by gains on loan sales and other income, and for the year, a reduced loss on real estate sales Total Non-Interest Income | Metric | Q4 2025 | Q4 2024 | YoY Change (Q4) | FY 2025 | FY 2024 | YoY Change (FY) | | :---------------- | :------ | :------ | :-------------- | :------ | :------ | :-------------- | | Total Non-Interest Income | $679K | $506K | +$173K (+34.2%) | $2.005M | $1.584M | +$421K (+26.6%) | - Key drivers for the increase in non-interest income include: - **Q4 2025:** Increase in **gain on sale of loans (+$122K)**, service charges on deposit accounts (+$30K), and other non-interest income (+$19K)[2](index=2&type=chunk)[3](index=3&type=chunk)[6](index=6&type=chunk) - **FY 2025:** Decrease in **loss on sale of real estate (+$150K)**, increase in other non-interest income (+$134K), and increase in gain on sale of loans (+$119K)[2](index=2&type=chunk)[3](index=3&type=chunk)[6](index=6&type=chunk) [Non-Interest Expense](index=1&type=section&id=NonInterestExpense) Non-interest expense slightly increased for the three-month period but decreased for the full year. The annual decrease was primarily due to significant reductions in compensation and benefits, franchise tax, and advertising, despite a substantial increase in data processing expense related to a billing settlement Total Non-Interest Expense | Metric | Q4 2025 | Q4 2024 | YoY Change (Q4) | FY 2025 | FY 2024 | YoY Change (FY) | | :---------------- | :-------- | :-------- | :-------------- | :--------- | :--------- | :-------------- | | Total Non-Interest Expense | $4.051M | $3.997M | +$54K (+1.4%) | $16.148M | $16.426M | -$278K (-1.7%) | - Key changes in non-interest expense: - **Q4 2025 increases:** Data processing (+$190K), occupancy and equipment (+$66K), audit and examination fees (+$31K)[2](index=2&type=chunk)[3](index=3&type=chunk)[7](index=7&type=chunk) - **Q4 2025 decreases:** Compensation and benefits (-$114K), advertising (-$36K), franchise and bank shares tax (-$33K)[2](index=2&type=chunk)[3](index=3&type=chunk)[7](index=7&type=chunk) - **FY 2025 decreases:** Compensation and benefits (-$584K), franchise and bank shares tax (-$217K), advertising (-$215K)[2](index=2&type=chunk)[3](index=3&type=chunk)[7](index=7&type=chunk) - **FY 2025 increases:** Data processing (+$784K), occupancy and equipment (+$152K), audit and examination fees (+$48K)[2](index=2&type=chunk)[3](index=3&type=chunk)[7](index=7&type=chunk) - The significant increase in data processing expense for both periods resulted from a negotiated discounted settlement to resolve outstanding invoices for certain services dating back to December 2022, due to a billing discrepancy with the core processor[7](index=7&type=chunk) [Provision for Credit Losses](index=1&type=section&id=ProvisionForCreditLosses) The provision for credit losses slightly increased for the three-month period but showed a recovery for the full year, indicating a net reduction in credit loss reserves over the annual period Provision for (Recovery of) Credit Losses | Metric | Q4 2025 | Q4 2024 | YoY Change (Q4) | FY 2025 | FY 2024 | YoY Change (FY) | | :---------------------------------------- | :------ | :------ | :-------------- | :------ | :------ | :-------------- | | Provision for (Recovery of) Credit Losses | $46K | $45K | +$1K (+2.2%) | -$126K | $40K | -$166K | [Provision for Income Taxes](index=1&type=section&id=ProvisionForIncomeTaxes) The provision for income taxes increased substantially for both the three-month and full-year periods, reflecting the higher pre-tax income Provision for Income Tax Expense | Metric | Q4 2025 | Q4 2024 | YoY Change (Q4) | FY 2025 | FY 2024 | YoY Change (FY) | | :------------------------- | :------ | :------ | :-------------- | :------ | :------ | :-------------- | | Provision for Income Tax Expense | $374K | $186K | +$188K (+101.1%)| $766K | $476K | +$290K (+60.9%) | Detailed Balance Sheet Analysis [Assets](index=3&type=section&id=Assets) Total assets decreased by 4.4% year-over-year, primarily driven by significant reductions in cash and cash equivalents and net loans receivable, partially offset by increases in real estate owned and investment securities Total Assets | Metric | June 30, 2025 | June 30, 2024 | Change | | :---------- | :------------ | :------------ | :------------ | | Total Assets| $609.5M | $637.5M | -$28.0M (-4.4%)| - Major decreases in assets include: - Cash and cash equivalents: **-$17.6M (-50.4%)**[8](index=8&type=chunk) - Net loans receivable: **-$9.9M (-2.1%)**[8](index=8&type=chunk) - Premises and equipment: -$1.0M (-5.7%)[8](index=8&type=chunk) - Major increases in assets include: - Real estate owned: +$552K (+132.1%)[8](index=8&type=chunk) - Investment securities: +$277K (+0.3%)[8](index=8&type=chunk) [Liabilities](index=3&type=section&id=Liabilities) Total liabilities decreased by 5.2% year-over-year, mainly due to reductions in total deposits and other borrowings, partially offset by increases in other accrued expenses and advances from borrowers for taxes and insurance Total Liabilities | Metric | June 30, 2025 | June 30, 2024 | Change | | :------------- | :------------ | :------------ | :------------ | | Total Liabilities| $554.3M | $584.7M | -$30.4M (-5.2%)| - Major decreases in liabilities include: - Total deposits: **-$27.7M (-4.8%)**[9](index=9&type=chunk) - Other borrowings: **-$3.0M (-42.9%)**[9](index=9&type=chunk) - Major increases in liabilities include: - Other accrued expenses and liabilities: +$273K (+8.6%)[9](index=9&type=chunk) - Advances from borrowers for taxes and insurance: +$22K (+4.2%)[9](index=9&type=chunk) - The decrease in deposits was driven by reductions in certificates of deposit (-$27.5M), money market deposits (-$11.7M), and non-interest deposits (-$7.9M), partially offset by increases in savings deposits (+$19.0M) and NOW accounts (+$506K)[9](index=9&type=chunk) [Stockholders' Equity](index=4&type=section&id=StockholdersEquity) Stockholders' equity increased by 4.5% year-over-year, primarily due to net income, a decrease in accumulated other comprehensive loss, and stock-based compensation/issuance, partially offset by dividends paid and stock repurchases Total Stockholders' Equity | Metric | June 30, 2025 | June 30, 2024 | Change | | :----------------- | :------------ | :------------ | :------------ | | Total Stockholders' Equity | $55.2M | $52.8M | +$2.4M (+4.5%)| - Key drivers for the increase in stockholders' equity include: - Net income for the year: **+$3.9M**[12](index=12&type=chunk) - Decrease in accumulated other comprehensive loss: +$681K[12](index=12&type=chunk) - Vesting of restricted stock awards, stock options, and ESOP shares: +$425K[12](index=12&type=chunk) - Proceeds from common stock issuance: +$111K[12](index=12&type=chunk) - Partially offset by: - Dividends paid: **-$1.6M**[12](index=12&type=chunk) - Stock repurchases: **-$1.1M**[12](index=12&type=chunk) [Asset Quality](index=3&type=section&id=AssetQuality) Non-performing assets increased significantly year-over-year, rising to 0.54% of total assets. The allowance for credit losses as a percentage of non-performing loans decreased, while as a percentage of total loans, it remained stable Asset Quality Ratios | Metric | June 30, 2025 | June 30, 2024 | Change |\n| :----------------------------------------- | :------------ | :------------ | :----- | | Non-performing assets | $3.3M | $1.9M | +$1.4M |\n| Non-performing assets as a percent of total assets | 0.54% | 0.31% | +0.23 pp |\n| Allowance for credit losses as a percent of non-performing loans | 191.99% | 228.70% | -36.71 pp |\n| Allowance for credit losses as a percent of total loans receivable | 0.96% | 0.96% | 0.00 pp | - Non-performing assets at June 30, 2025, consisted of six one-to-four family residential loans, two home equity loans, three commercial non-real estate loans, two commercial real-estate loans, and one single-family residence in other real estate owned[10](index=10&type=chunk) Company Information and Disclosures [Business Description](index=4&type=section&id=BusinessDescription) Home Federal Bancorp, Inc. of Louisiana serves as the holding company for Home Federal Bank, which operates through ten full-service banking offices and a home office located in northwest Louisiana - Home Federal Bank conducts business from its ten full-service banking offices and home office in northwest Louisiana[13](index=13&type=chunk) [Forward-Looking Statements & Risk Factors](index=4&type=section&id=ForwardLookingStatementsRiskFactors) The report includes forward-looking statements and outlines various risk factors that could cause actual results to differ from expectations, such as economic conditions, legislative and regulatory changes, interest rate fluctuations, and asset quality - Forward-looking statements are identified by words like 'believe', 'expect', 'anticipate', 'estimate', and 'intend', or future/conditional verbs, and the Company undertakes no obligation to update them[14](index=14&type=chunk) - Key risk factors include: strength of the U.S. and local economies, general economic conditions, legislative and regulatory changes, monetary and fiscal policies, changes in tax policies, interest rate changes, deposit flows, demand for loan products, competition, changes in asset quality, geographic concentration, real estate values, adequacy of loan loss reserves, goodwill impairment, and changes in accounting principles[15](index=15&type=chunk) [Contact Information](index=7&type=section&id=ContactInformation) Contact information for investor inquiries is provided, listing the Chairman of the Board, President, and Chief Executive Officer - Contact: James R. Barlow, Chairman of the Board, President and Chief Executive Officer, (318) 222-1145[23](index=23&type=chunk) Consolidated Financial Statements and Notes [Consolidated Balance Sheets](index=5&type=section&id=ConsolidatedBalanceSheets) This section presents the detailed consolidated balance sheets for Home Federal Bancorp, Inc. of Louisiana as of June 30, 2025, and June 30, 2024, outlining the company's assets, liabilities, and stockholders' equity - The full Consolidated Balance Sheets are provided, detailing assets such as cash and cash equivalents, securities, loans receivable, premises and equipment, and liabilities including deposits, borrowings, and stockholders' equity[17](index=17&type=chunk)[18](index=18&type=chunk) [Consolidated Statements of Operations](index=6&type=section&id=ConsolidatedStatementsOfOperations) This section provides the detailed consolidated statements of operations for the three months and year ended June 30, 2025, and 2024, covering interest income and expense, non-interest income and expense, provision for credit losses, income taxes, and net income - The full Consolidated Statements of Operations are presented, showing a breakdown of interest income (loans, securities), interest expense (deposits, borrowings), net interest income, provision for credit losses, non-interest income, non-interest expense, income before taxes, provision for income tax expense, and net income[19](index=19&type=chunk)[20](index=20&type=chunk) [Selected Operating and Per Share Data](index=7&type=section&id=SelectedOperatingAndPerShareData) This section presents key financial ratios, including selected operating ratios, asset quality ratios, and per share data, for the three months and year ended June 30, 2025, and 2024 - The report includes tables for Selected Operating Ratios (average interest rate spread, net interest margin, return on average assets, return on average equity), Asset Quality Ratios (non-performing assets as a percent of total assets, allowance for credit losses as a percent of non-performing loans and total loans), and Per Share Data (shares outstanding, weighted average shares outstanding)[21](index=21&type=chunk)[22](index=22&type=chunk)

Core Viewpoint - Home Federal Bancorp, Inc. of Louisiana reported a significant increase in net income for both the quarterly and annual periods ending June 30, 2025, driven by higher net interest income and non-interest income, despite increases in tax provisions and some expenses [1][3]. Financial Performance - For the three months ended June 30, 2025, net income was $1.2 million, up from $638,000 in the same period of 2024, with earnings per share increasing to $0.39 from $0.21 [1]. - For the year ended June 30, 2025, net income rose to $3.9 million from $3.6 million in 2024, with earnings per share increasing to $1.27 from $1.18 [1][3]. Income Sources - The increase in net income for the three months was primarily due to a $612,000 (14.2%) rise in net interest income and a $173,000 (34.2%) increase in non-interest income, partially offset by a $188,000 (101.1%) rise in income tax provision [2]. - For the year, the increase in net income was attributed to a $421,000 (26.6%) rise in non-interest income and a $166,000 recovery in credit losses, despite a $290,000 (60.9%) increase in income tax provision [3]. Interest Income and Expenses - The average interest rate spread improved to 2.89% for the three months ended June 30, 2025, compared to 2.15% in 2024, while the net interest margin increased to 3.52% from 2.91% [2]. - For the year, the average interest rate spread was 2.55%, up from 2.38%, and the net interest margin was 3.23%, compared to 3.08% in the previous year [3]. Asset and Liability Management - Total assets decreased by $28.0 million (4.4%) from $637.5 million at June 30, 2024, to $609.5 million at June 30, 2025, primarily due to a $17.6 million (50.4%) decrease in cash and cash equivalents [9]. - Total liabilities decreased by $30.4 million (5.2%) from $584.7 million to $554.3 million, with total deposits declining by $27.7 million (4.8%) [10]. Stockholders' Equity - Stockholders' equity increased by $2.4 million (4.5%) from $52.8 million at June 30, 2024, to $55.2 million at June 30, 2025, driven by net income and a decrease in accumulated other comprehensive loss [12]. Non-Performing Assets - Non-performing assets rose to $3.3 million at June 30, 2025, from $1.9 million at June 30, 2024, indicating a deterioration in asset quality [11].

Core Points - Home Federal Bancorp, Inc. of Louisiana declared a quarterly cash dividend of $0.135 per share, payable on August 18, 2025, to shareholders of record as of August 4, 2025 [1] - This marks the twelfth consecutive annual increase in the dividend rate and the 81st consecutive quarterly cash dividend, demonstrating the company's commitment to shareholder value and confidence in its financial strength [2] - The dividend increase reflects a payout ratio of approximately 49.5% based on earnings for the trailing four fiscal quarters ended March 31, 2025 [2] Company Overview - Home Federal Bancorp, Inc. is the holding company for Home Federal Bank, which operates ten full-service banking offices in northwest Louisiana [2]

Financial Performance - Net interest income increased to $4,674 thousand for the three months ended March 31, 2025, compared to $4,404 thousand for the same period in 2024, reflecting a growth of about 6.1%[12] - Net income for the three months ended March 31, 2025, was $748 thousand, slightly up from $732 thousand in the same period of 2024, indicating a year-over-year increase of 2.2%[12] - Non-interest income rose to $538 thousand for the three months ended March 31, 2025, compared to $506 thousand for the same period in 2024, marking an increase of about 6.3%[12] - Total non-interest expense rose to $4,251 thousand for the three months ended March 31, 2025, compared to $3,991 thousand for the same period in 2024, an increase of 6.5%[12] - The company reported a total comprehensive income of $1,317 thousand for the three months ended March 31, 2025, compared to $231 thousand for the same period in 2024, indicating a significant increase[15] - Net income for the nine months ended March 31, 2025, was $2,708,000, compared to $2,955,000 for the same period in 2024, reflecting a decrease of approximately 8.4%[23] Assets and Equity - Total assets decreased to $619,624 thousand as of March 31, 2025, from $637,512 thousand on June 30, 2024, representing a decline of approximately 2.8%[9] - Total stockholders' equity increased to $54,719 thousand as of March 31, 2025, from $52,803 thousand on June 30, 2024, reflecting a growth of approximately 3.6%[8] - The total balance of stockholders' equity as of March 31, 2025, was $54,719,000, an increase from $52,550,000 as of June 30, 2023[20] Deposits and Cash Flow - Total deposits decreased to $556,763 thousand as of March 31, 2025, from $574,007 thousand on June 30, 2024, a reduction of approximately 3.0%[8] - The company reported a net decrease in deposits of $17,244,000 for the nine months ended March 31, 2025, compared to a decrease of $18,480,000 in 2024[25] - Total cash and cash equivalents at the end of the period were $30,439,000, down from $34,948,000 at the beginning of the period, indicating a decrease of about 14.3%[25] - The net cash provided by operating activities was $4,452,000 for the nine months ended March 31, 2025, significantly higher than $460,000 for the same period in 2024[23] Credit Losses and Allowance - The allowance for credit losses was $4,632 thousand as of March 31, 2025, compared to $4,574 thousand as of June 30, 2024, indicating a slight increase in credit risk management[12] - The Company recorded an increase in the allowance for credit losses of $359,000 upon the adoption of ASU 2016-13 on July 1, 2023[74] - The ACL for off-balance sheet credit exposures is recorded in other liabilities, representing expected losses in unfunded loan commitments[56] - The Company evaluates qualitative factors for ACL adjustments, including changes in lending policy and overall business conditions[55] Loans and Securities - Total loans receivable decreased from $475,524,000 on June 30, 2024, to $463,045,000 on March 31, 2025, reflecting a decline of approximately 2.8%[90] - The net loans receivable as of March 31, 2025, stood at $458,301,000 after accounting for an allowance for credit losses of $4,632,000[90] - Total securities available-for-sale as of March 31, 2025, had a fair value of $32,149,000, with gross unrealized losses of $2,638,000[77] - The total amortized cost of available-for-sale securities was $34,751,000, with a fair value of $32,149,000, resulting in unrealized losses of $2,602,000[80] Risk Management and Future Outlook - The company has plans for market expansion and new product development to enhance its competitive position in the industry[103] - Future outlook includes a focus on improving risk management strategies and enhancing customer engagement through technology[103] - The company is exploring potential mergers and acquisitions to drive growth and increase market share[103] Miscellaneous - The Company follows GAAP set by the FASB to ensure consistent reporting of financial condition and results of operations[29] - The financial statements are unaudited, indicating a need for further verification of the reported figures[106] - The Company follows the provisions of ASC 740 for income tax recognition and measurement[65]