Wall Street analysts forecast that Home BancShares (HOMB) will report quarterly earnings of $0.60 per share in its upcoming release, pointing to a year-over-year increase of 20%. It is anticipated that revenues will amount to $270.43 million, exhibiting an increase of 4.8% compared to the year-ago quarter.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 10-Q (Mark One) Table of Contents ☑ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended June 30, 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: 001-41093 HOME BANCSHARES, INC. (Exact Name of Registrant as Specified in Its Charter) (State or other ...

Core Viewpoint - Home BancShares (HOMB) has shown a downtrend recently, losing 5% over the past week, but a hammer chart pattern suggests a potential trend reversal due to increased buying interest [1][2]. Technical Analysis - The hammer chart pattern indicates a possible bottom in the stock price, suggesting that selling pressure may be exhausting [2][5]. - This pattern forms when there is a small candle body with a long lower wick, indicating that the stock opened lower, made a new low, but closed near its opening price after finding support [4][5]. - Hammer candles can appear on various timeframes and are used by both short-term and long-term investors [5]. Fundamental Analysis - There is rising optimism among Wall Street analysts regarding HOMB's future earnings, with a 2.1% increase in the consensus EPS estimate over the last 30 days [7][8]. - HOMB currently holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks, which typically outperform the market [9][10]. - The upward trend in earnings estimate revisions is a strong bullish indicator, correlating with near-term stock price movements [7].

Group 1 - Home BancShares, Inc. declared a quarterly cash dividend of $0.20 per share, payable on September 3, 2025, to shareholders of record on August 13, 2025 [1] - The declared cash dividend is consistent with the dividend paid during the second quarter of 2025 [1] Group 2 - Home BancShares, Inc. is a bank holding company headquartered in Conway, Arkansas, with its wholly-owned subsidiary, Centennial Bank, providing a range of commercial and retail banking services [2] - Centennial Bank operates branch locations in Arkansas, Florida, Texas, South Alabama, and New York City [2] - The company's common stock is traded on the New York Stock Exchange under the symbol "HOMB" [2]

Financial Data and Key Metrics Changes - Home Bancshares reported record earnings of $119.4 million for Q2 2025, translating to $0.60 earnings per share, with a return on assets of 2.08%, slightly up from 2.07% in the previous quarter [8][9] - The non-GAAP return on tangible common equity was 18.26%, compared to 17.68% in the prior quarter [8] - Loan loss reserves remained strong at 1.86%, with Tier 1 capital at 15.6% and a leverage ratio of 13.4% [9] Business Line Data and Key Metrics Changes - The Trust, Wealth Management, and Mortgage divisions showed meaningful improvements, contributing positively to the bottom line [16] - CCFG closed approximately $500 million in new commitments for the quarter, bringing the year-to-date total to over $800 million, with portfolio growth of about CAD 122 million [22] Market Data and Key Metrics Changes - Deposits decreased by $53 million in Q2 due to seasonal tax payments, but balances grew in May and June, indicating a recovery in deposit activity [15] - The reported net interest margin was 4.44%, consistent with the prior quarter, while the core margin excluding event income increased to 4.43% from 4.42% in Q1 [15] Company Strategy and Development Direction - The company aims to acquire additional assets to enhance income, targeting approximately $450 million in income for 2025 and $500 million for 2026 [12][13] - Management is actively pursuing several acquisition opportunities, with a focus on deals that are accretive to earnings per share [40][41] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about maintaining strong performance in Q3, expecting results to be similar to the first two quarters of 2025 [28] - The company is cautious about potential rapid interest rate cuts, emphasizing the need for a gradual approach to avoid inflation [37] Other Important Information - The company has been aggressive in stock buybacks, repurchasing over 3 million shares worth approximately $86 million this year [9][11] - A lawsuit settlement resulted in elevated expenses for the quarter, amounting to about $3.5 million, but management expects expenses to normalize in future quarters [80][81] Q&A Session Summary Question: What is driving the recent loan growth? - Management noted that while they are not being more aggressive, they are capitalizing on strong market conditions in certain regions [32][33] Question: What size opportunities are being targeted for M&A? - Management is looking at opportunities in the $2 billion to $6 billion range, focusing on deals that are in or near their market footprint [42][143] Question: What is the outlook for deposit pricing? - Management indicated that deposit pricing remains stable, with some competition but they are able to negotiate slightly lower rates than competitors [52][53] Question: How will the removal of subordinated debt impact margins? - The removal of subordinated debt is expected to benefit the net interest margin by about 5 to 6 basis points, with full benefits realized in Q4 [146] Question: What are the hiring plans for lenders? - Management stated that they do not plan to aggressively hire lenders from competitors, preferring to develop talent internally [131][133] Question: How is the company approaching potential growth opportunities in California? - Management expressed caution regarding the rebuilding opportunities in California, noting that it may take time for significant activity to resume [135]

Financial Data and Key Metrics Changes - The company reported record earnings of $119.4 million for Q2 2025, translating to $0.60 earnings per share, with a return on assets of 2.08%, compared to $115.2 million and a return on assets of 2.07% in the previous quarter [7][8] - Non-GAAP return on tangible common equity was 18.26%, while GAAP return was 17.68% [7] - Loan loss reserves remained strong at 1.86%, with Tier 1 capital at 15.6% and a leverage ratio of 13.4% [8] Business Line Data and Key Metrics Changes - The Trust, Wealth Management, and Mortgage divisions showed meaningful improvements, contributing positively to the bottom line [16] - CCFG closed approximately $500 million in new commitments for Q2, bringing the year-to-date total to over $800 million, with portfolio growth of CAD 122 million [24] Market Data and Key Metrics Changes - Deposits decreased by $53 million in Q2 due to seasonal tax payments, but balances grew in May and June, indicating a recovery in deposit activity [16] - The company operates in dynamic and growing states such as Arkansas, Texas, Alabama, and Florida, which are contributing to its performance [16] Company Strategy and Development Direction - The company aims to acquire additional assets to enhance income, targeting approximately $450 million in income for the current year and $500 million for the next year [12][11] - Management is actively looking at several acquisition opportunities and intends to make an announcement before the next quarterly report [12] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the trajectory of margins and expects the third quarter to perform similarly to the first two quarters of 2025 [30] - The company is cautious about potential rapid interest rate cuts, emphasizing the need for a gradual approach to avoid inflation [36] Other Important Information - The company has been aggressive in stock buybacks, purchasing over 3 million shares worth approximately $86 million and paying out about $150 million in dividends [8][10] - A lawsuit settlement resulted in elevated expenses for the quarter, amounting to approximately $3.5 million, but management expects expenses to normalize in the following quarters [81][82] Q&A Session Summary Question: Loan growth and customer base aggressiveness - Management noted that while they are not being more aggressive, they are benefiting from strong markets where their teams are performing well [32][34] Question: M&A opportunities and deal sizes - The company is looking at potential acquisitions in the range of $2 billion to $6 billion, focusing on opportunities that align with their growth strategy [131][132] Question: Deposit pricing and competition - Management indicated that deposit pricing remains competitive but they are able to negotiate slightly lower rates than competitors [56] Question: Impact of sub debt on margin - The removal of sub debt is expected to benefit the net interest margin by about 5 to 6 basis points, with full benefits realized in Q4 [137] Question: Hiring plans - The company does not plan to aggressively hire lenders, preferring to develop talent internally rather than poaching from competitors [120][126] Question: Mortgage banking outlook - The mortgage banking segment has shown variability, with no strong multi-month trends expected until interest rates decrease significantly [90][91]

Core Viewpoint - Home BancShares reported quarterly earnings of $0.58 per share, matching the Zacks Consensus Estimate and showing an increase from $0.52 per share a year ago [1] - The company posted revenues of $271.03 million for the quarter ended June 2025, exceeding the Zacks Consensus Estimate by 3.99% and up from $254.6 million year-over-year [2] Earnings Performance - The earnings surprise for the previous quarter was +3.7%, with actual earnings of $0.56 per share compared to an expected $0.54 [1] - Over the last four quarters, Home BancShares has surpassed consensus EPS estimates only once [1] Revenue Performance - Home BancShares has topped consensus revenue estimates four times over the last four quarters [2] Stock Performance - Since the beginning of the year, Home BancShares shares have increased by approximately 0.7%, while the S&P 500 has gained 6.2% [3] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.57 on revenues of $263.9 million, and for the current fiscal year, it is $2.29 on revenues of $1.05 billion [7] - The estimate revisions trend for Home BancShares was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Banks - Southeast industry, to which Home BancShares belongs, is currently in the top 25% of over 250 Zacks industries, suggesting a favorable outlook [8]

[Executive Summary and Financial Highlights](index=1&type=section&id=Executive%20Summary%20and%20Financial%20Highlights) This section provides an overview of Home BancShares, Inc.'s Q2 2025 financial performance, highlighting record earnings and key profitability metrics [Q2 2025 Performance Overview](index=1&type=section&id=Q2%202025%20Performance%20Overview) Home BancShares, Inc. reported record diluted EPS of $0.60 and net income of $118.4 million for Q2 2025, reflecting consistent strong performance. Total revenue increased to $271.0 million, and key profitability metrics like ROA and ROE also saw improvements - Diluted EPS of **$0.60** and net income of **$118.4 million** are both records for HOMB, highlighting consistent performance[2](index=2&type=chunk) Q2 2025 Performance Metrics | Metric | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :--- | :--- | :--- | :--- | :--- | :--- | | Net income (millions USD) | $118.4 | $115.2 | $100.6 | $100.0 | $101.5 | | Total revenue (net) (millions USD) | $271.0 | $260.1 | $258.4 | $258.0 | $254.6 | | Diluted earnings per share (USD) | $0.60 | $0.58 | $0.51 | $0.50 | $0.51 | | ROA (%) | 2.08 | 2.07 | 1.77 | 1.74 | 1.79 | | ROE (%) | 11.77 | 11.75 | 10.13 | 10.23 | 10.73 | | NIM (%) | 4.44 | 4.44 | 4.39 | 4.28 | 4.27 | | Non-performing assets to total assets (%) | 0.60 | 0.56 | 0.63 | 0.63 | 0.56 | | Common equity tier 1 capital (%) | 15.6 | 15.4 | 15.1 | 14.7 | 14.4 | | Book value per share (USD) | $20.71 | $20.40 | $19.92 | $19.91 | $19.30 | | Dividends per share (USD) | $0.20 | $0.195 | $0.195 | $0.195 | $0.18 | [Stock Repurchases and Dividends](index=3&type=section&id=Stock%20Repurchases%20and%20Dividends) This section details the company's capital return strategy, including share repurchases and dividend payments, reflecting commitment to shareholder value [Shareholder Returns](index=3&type=section&id=Shareholder%20Returns) The Company repurchased 1.0 million shares of common stock in Q2 2025, maintaining a consistent repurchase volume with Q1 2025, resulting in a shareholder buyback yield of 0.49%. Additionally, a cash dividend of $0.20 per share was paid, marking a 2.6% increase from the previous quarter - The Company repurchased **1.0 million shares** of common stock in Q2 2025, consistent with Q1 2025[4](index=4&type=chunk) Shareholder Return Metrics | Metric | Q2 2025 | Q1 2025 | | :--- | :--- | :--- | | Shares repurchased (millions) | 1.0 | 1.0 | | Shareholder buyback yield (%) | 0.49 | 0.53 | | Dividends per share (USD) | $0.20 | $0.195 | | Dividend increase (QoQ) (%) | 2.6 | - | [Operating Highlights](index=3&type=section&id=Operating%20Highlights) This section highlights the company's core operational performance, including net income, earnings per share, net interest margin, and a detailed breakdown of non-interest income and expenses [Net Income and EPS](index=3&type=section&id=Net%20Income%20and%20EPS) For Q2 2025, net income reached a record $118.4 million, with diluted earnings per share at $0.60. Adjusted for non-fundamental items, net income was $114.6 million and diluted EPS was $0.58 Net Income and EPS Performance | Metric | Q2 2025 | Q1 2025 | | :--- | :--- | :--- | | Net income (millions USD) | $118.4 | $115.2 | | Diluted earnings per share (USD) | $0.60 | $0.58 | | Net income, as adjusted (non-GAAP) (millions USD) | $114.6 | $111.9 | | Diluted earnings per share, as adjusted (non-GAAP) (USD) | $0.58 | $0.56 | [Net Interest Margin and Income](index=3&type=section&id=Net%20Interest%20Margin%20and%20Income) The net interest margin remained stable at 4.44% for Q2 2025. Net interest income on a fully taxable equivalent basis increased to $222.5 million, driven by a $6.6 million increase in interest income, partially offset by a $1.3 million rise in interest expense Net Interest Margin and Income Metrics | Metric | Q2 2025 | Q1 2025 | | :--- | :--- | :--- | | Net interest margin (NIM) (%) | 4.44 | 4.44 | | Yield on loans (%) | 7.36 | 7.38 | | Rate on interest bearing deposits (%) | 2.64 | 2.67 | | Average loans (billions USD) | $15.06 | $14.89 | | Average interest-bearing deposits (billions USD) | $13.43 | $13.20 | | Net interest income (FTE) (millions USD) | $222.5 | $217.2 | | Event interest income (thousands USD) | $516 | $1.3 | | Purchase accounting accretion on acquired loans (millions USD) | $1.2 | $1.4 | - The increase in net interest income was primarily due to a **$5.3 million** increase in loan income and a **$2.3 million** increase in income from deposits with other banks, partially offset by a **$1.0 million** decrease in investment income[8](index=8&type=chunk) [Non-Interest Income and Expense](index=3&type=section&id=Non-Interest%20Income%20and%20Expense) Non-interest income for Q2 2025 was $51.1 million, with significant contributions from other income ($13.5 million) and service charges ($12.6 million). Non-interest expense totaled $116.0 million, primarily driven by salaries and employee benefits ($64.3 million). The efficiency ratio was 41.68% Non-Interest Income and Expense Breakdown | Metric | Q2 2025 | | :--- | :--- | | Non-interest income (millions USD) | $51.1 | | Other income (millions USD) | $13.5 | | Other service charges and fees (millions USD) | $12.6 | | Service charges on deposit accounts (millions USD) | $9.6 | | Trust fees (millions USD) | $5.2 | | Mortgage lending income (millions USD) | $4.8 | | Dividends from FHLB, FRB, FNBB and other (millions USD) | $2.7 | | Increase in cash value of life insurance (millions USD) | $1.4 | | Gain on sale of branches, equipment and other assets, net (thousands USD) | $972 | | Non-interest expense (millions USD) | $116.0 | | Salaries and employee benefits (millions USD) | $64.3 | | Other operating expense (millions USD) | $29.3 | | Occupancy and equipment expenses (millions USD) | $14.0 | | Data processing expenses (millions USD) | $8.4 | | Efficiency ratio (%) | 41.68 | | Efficiency ratio, as adjusted (non-GAAP) (%) | 42.01 | - Included within other income was **$3.5 million** in special income from equity investments and **$885,000** in legal fee reimbursements. Other expense included **$3.3 million** in legal claims expense, partially offset by a **$1.5 million** FDIC assessment reduction[9](index=9&type=chunk)[10](index=10&type=chunk) [Financial Condition](index=4&type=section&id=Financial%20Condition) This section analyzes the company's financial position, including trends in loans, deposits, and total assets, alongside a detailed assessment of asset quality and changes in stockholders' equity [Loans, Deposits, and Assets](index=4&type=section&id=Loans%2C%20Deposits%2C%20and%20Assets) Total loans receivable reached a record $15.18 billion at June 30, 2025, an increase of $228.5 million from the prior quarter, driven by both community banking and Centennial CFG organic growth. Total deposits slightly decreased to $17.49 billion, while total assets also saw a minor decrease to $22.91 billion Loans, Deposits, and Assets Overview | Metric | June 30, 2025 | March 31, 2025 | | :--- | :--- | :--- | | Total loans receivable (billions USD) | $15.18 | $14.95 | | Total deposits (billions USD) | $17.49 | $17.54 | | Total assets (billions USD) | $22.91 | $22.99 | | Organic loan growth (Community Banking) (millions USD) | $106.8 | - | | Organic loan growth (Centennial CFG) (millions USD) | $121.7 | - | - Total loans receivable of **$15.18 billion** were a record for the Company[12](index=12&type=chunk) [Asset Quality](index=4&type=section&id=Asset%20Quality) Non-performing loans and assets increased slightly in Q2 2025, with non-performing loans to total loans at 0.63% and non-performing assets to total assets at 0.60%. Net loans charged-off were $1.1 million for the quarter, a shift from net recoveries in the prior quarter Asset Quality Metrics | Metric | June 30, 2025 | March 31, 2025 | | :--- | :--- | :--- | | Non-performing loans to total loans (%) | 0.63 | 0.60 | | Non-performing assets to total assets (%) | 0.60 | 0.56 | | Net loans charged-off (recoveries) (millions USD) | $1.1 | ($4.1) | | Non-performing loans (millions USD) | $96.3 | $89.6 | | Non-performing assets (millions USD) | $137.8 | $129.4 | | Allowance for credit losses to total loans (%) | 1.86 | 1.87 | | Allowance for credit losses to total non-performing loans (%) | 292.72 | 312.27 | Net Charge-offs (Recoveries) by Region (Q2 2025) | Region | Charge-offs (thousands USD) | Recoveries (thousands USD) | Net charge-offs (recoveries) (thousands USD) | | :--- | :--- | :--- | :--- | | Texas | 2,588 | (2,172) | 416 | | Arkansas | 462 | (223) | 239 | | Centennial CFG | 181 | — | 181 | | Shore Premier Finance | 582 | (22) | 560 | | Florida | 245 | (577) | (332) | | Alabama | 13 | (2) | 11 | | Total | 4,071 | (2,996) | 1,075 | Non-Performing Loans and Assets by Region (June 30, 2025) | Region | Non-accrual loans (thousands USD) | Loans 90+ days past due (thousands USD) | Total non-performing loans (thousands USD) | Foreclosed assets held for sale (thousands USD) | Total non-performing assets (thousands USD) | | :--- | :--- | :--- | :--- | :--- | :--- | | Texas | 22,487 | 3,557 | 26,044 | 17,259 | 43,303 | | Arkansas | 16,276 | 2,341 | 18,617 | 863 | 19,480 | | Centennial CFG | 787 | — | 787 | 22,842 | 23,629 | | Shore Premier Finance | 11,716 | — | 11,716 | — | 11,716 | | Florida | 37,833 | 1,133 | 38,966 | 565 | 39,531 | | Alabama | 162 | — | 162 | — | 162 | | Total | 89,261 | 7,031 | 96,292 | 41,529 | 137,821 | [Stockholders' Equity](index=5&type=section&id=Stockholders%27%20Equity) Stockholders' equity increased by $42.8 million to $4.09 billion at June 30, 2025, primarily due to a $78.9 million increase in retained earnings, partially offset by an increase in accumulated other comprehensive loss and stock repurchases. Book value per common share and tangible book value per common share both reached record highs Stockholders' Equity Metrics | Metric | June 30, 2025 | March 31, 2025 | | :--- | :--- | :--- | | Stockholders' equity (billions USD) | $4.09 | $4.04 | | Increase in stockholders' equity (QoQ) (millions USD) | $42.8 | - | | Increase in retained earnings (millions USD) | $78.9 | - | | Increase in accumulated other comprehensive loss (millions USD) | $11.4 | - | | Stock repurchases (millions USD) | $27.5 | - | | Book value per common share (USD) | $20.71 | $20.40 | | Tangible book value per common share (non-GAAP) (USD) | $13.44 | $13.15 | - Book value per common share and tangible book value per common share, as of June 30, 2025, were both records for the Company[19](index=19&type=chunk) [Branches](index=5&type=section&id=Branches) This section provides an overview of the company's physical presence, detailing the number of branches operated across its various geographic markets [Branch Network](index=5&type=section&id=Branch%20Network) Home BancShares, Inc. operates a total of 217 branches across five states: Arkansas (75), Florida (78), Texas (58), Alabama (5), and New York City (1) Branch Count by State/City | State/City | Number of Branches | | :--- | :--- | | Arkansas | 75 | | Florida | 78 | | Texas | 58 | | Alabama | 5 | | New York City | 1 | | Total | 217 | [Conference Call](index=6&type=section&id=Conference%20Call) This section provides details for the upcoming conference call where management will discuss the Q2 2025 financial results and outlook [Q2 2025 Earnings Call Details](index=6&type=section&id=Q2%202025%20Earnings%20Call%20Details) Management will host a conference call on Thursday, July 17, 2025, at 1:00 p.m. CT (2:00 p.m. ET) to discuss the Q2 2025 results. Participants are encouraged to pre-register via webcast or live call links, with replay options available until July 24, 2025 - A conference call to review Q2 2025 results will be held on **Thursday, July 17, 2025, at 1:00 p.m. CT (2:00 p.m. ET)**[23](index=23&type=chunk) - Participants can pre-register for the webcast or live call, and a replay will be available until **July 24, 2025**[23](index=23&type=chunk)[24](index=24&type=chunk) [About Home BancShares](index=6&type=section&id=About%20Home%20BancShares) This section provides a concise overview of Home BancShares, Inc., including its history, operational scope through Centennial Bank, and stock exchange listing [Company Profile](index=6&type=section&id=Company%20Profile) Home BancShares, Inc. is an Arkansas-based bank holding company, founded in 1998, with its wholly-owned subsidiary Centennial Bank offering commercial and retail banking services across Arkansas, Florida, Texas, South Alabama, and New York City. Its common stock is traded on the NYSE under the symbol "HOMB." - Home BancShares, Inc. is a bank holding company headquartered in Conway, Arkansas, founded in **1998**[26](index=26&type=chunk) - Its subsidiary, Centennial Bank, provides commercial and retail banking services with branches in Arkansas, Florida, Texas, South Alabama, and New York City[26](index=26&type=chunk) - The Company's common stock is traded on the New York Stock Exchange under the symbol **"HOMB."**[26](index=26&type=chunk) [Non-GAAP Financial Measures](index=7&type=section&id=Non-GAAP%20Financial%20Measures) This section clarifies the use and limitations of non-GAAP financial measures, explaining their purpose in providing supplemental insights into the company's core performance [Explanation of Non-GAAP Measures](index=7&type=section&id=Explanation%20of%20Non-GAAP%20Measures) The press release includes non-GAAP financial measures, such as adjusted net income, PPNR, adjusted ROA, ROE, ROTCE, and tangible book value, which management uses to provide supplemental information on performance. These measures adjust GAAP figures for tax benefits and significant non-recurring items to better reflect core business operations, but are not substitutes for GAAP results and may not be comparable to other companies' non-GAAP measures - The Company uses non-GAAP financial measures (e.g., adjusted net income, PPNR, adjusted ROA, ROE, ROTCE, tangible book value) to provide supplemental information on performance[28](index=28&type=chunk) - These measures adjust GAAP performance for tax benefits and significant items not indicative of primary business operations[28](index=28&type=chunk) - Non-GAAP disclosures should not be viewed as a substitute for GAAP results and may not be comparable to other companies' measures[28](index=28&type=chunk) [Forward-Looking Statements](index=8&type=section&id=Forward-Looking%20Statements) This section provides a disclaimer regarding forward-looking statements, outlining the inherent risks and uncertainties that could cause actual results to differ from projections [Disclaimer and Risk Factors](index=8&type=section&id=Disclaimer%20and%20Risk%20Factors) The release contains forward-looking statements about future plans and financial results, which are subject to inherent risks and uncertainties. Factors that could cause actual results to differ materially include economic conditions, credit quality, interest rates, acquisitions, regulatory changes, technological risks, and other factors detailed in SEC filings - The release contains forward-looking statements regarding future plans, expectations, goals, and outlook, which are not guarantees of future events[31](index=31&type=chunk) - Forward-looking statements involve inherent risks and uncertainties, including economic conditions, credit quality, interest rates, loan demand, real estate values, and unemployment[31](index=31&type=chunk) - Other factors include the ability to integrate acquisitions, access to capital, legislative and regulatory changes, technological risks, and impacts from natural disasters or public health crises[31](index=31&type=chunk) [Financial Statements and Non-GAAP Reconciliations](index=9&type=section&id=Financial%20Statements%20and%20Non-GAAP%20Reconciliations) This section presents comprehensive financial statements, including balance sheets and income statements, along with detailed reconciliations of GAAP to non-GAAP measures and shareholder buyback yield analysis [Consolidated End of Period Balance Sheets](index=9&type=section&id=Consolidated%20End%20of%20Period%20Balance%20Sheets) The balance sheet shows total assets at $22.91 billion as of June 30, 2025, a slight decrease from March 31, 2025. Loans receivable increased to a record $15.18 billion, while total deposits saw a minor decrease to $17.49 billion. Stockholders' equity increased to $4.09 billion Consolidated End of Period Balance Sheets (Key Metrics) | Metric | Jun 30, 2025 (thousands USD) | Mar 31, 2025 (thousands USD) | Dec 31, 2024 (thousands USD) | Sep 30, 2024 (thousands USD) | Jun 30, 2024 (thousands USD) | | :--- | :--- | :--- | :--- | :--- | :--- | | Total assets | $22,907,022 | $22,992,203 | $22,490,748 | $22,823,117 | $22,919,905 | | Loans receivable, net | $14,898,755 | $14,672,172 | $14,488,620 | $14,511,405 | $14,485,601 | | Total deposits | $17,488,432 | $17,541,491 | $17,146,297 | $16,705,710 | $16,955,803 | | Total liabilities | $18,821,706 | $18,949,648 | $18,529,723 | $18,863,328 | $19,064,402 | | Total stockholders' equity | $4,085,316 | $4,042,555 | $3,961,025 | $3,959,789 | $3,855,503 | [Consolidated Statements of Income](index=10&type=section&id=Consolidated%20Statements%20of%20Income) For Q2 2025, total interest income was $319.1 million, with total interest expense at $99.2 million, resulting in net interest income of $219.9 million. Non-interest income was $51.1 million, and non-interest expense was $116.0 million. Net income for the quarter was $118.4 million Consolidated Statements of Income (Key Metrics) | Metric | Jun 30, 2025 (thousands USD) | Mar 31, 2025 (thousands USD) | Dec 31, 2024 (thousands USD) | Sep 30, 2024 (thousands USD) | Jun 30, 2024 (thousands USD) | | :--- | :--- | :--- | :--- | :--- | :--- | | Total interest income | $319,115 | $312,542 | $322,714 | $332,845 | $327,303 | | Total interest expense | $99,163 | $97,886 | $105,572 | $117,625 | $115,481 | | Net interest income | $219,952 | $214,656 | $217,142 | $215,220 | $211,822 | | Total credit loss expense | $3,000 | $— | $16,700 | $18,870 | $8,000 | | Total non-interest income | $51,079 | $45,426 | $41,222 | $42,779 | $42,774 | | Total non-interest expense | $116,040 | $112,928 | $112,210 | $110,045 | $113,185 | | Income before income taxes | $151,991 | $147,154 | $129,454 | $129,084 | $133,411 | | Net income | $118,403 | $115,209 | $100,564 | $100,038 | $101,530 | [Selected Financial Information](index=11&type=section&id=Selected%20Financial%20Information) This section provides detailed per share data, annualized performance metrics, efficiency ratios, net interest margin, and a breakdown of other operating expenses. It also includes balance sheet ratios, a detailed loans receivable breakdown, allowance for credit losses, and non-performing assets Per Share Data | Metric | Jun 30, 2025 (USD) | Mar 31, 2025 (USD) | Dec 31, 2024 (USD) | Sep 30, 2024 (USD) | Jun 30, 2024 (USD) | | :--- | :--- | :--- | :--- | :--- | :--- | | Diluted earnings per common share | $0.60 | $0.58 | $0.51 | $0.50 | $0.51 | | Dividends per share - common | $0.20 | $0.195 | $0.195 | $0.20 | $0.18 | | Book value per common share | $20.71 | $20.40 | $19.92 | $19.91 | $19.30 | | Tangible book value per common share (non-GAAP) | $13.44 | $13.15 | $12.68 | $12.67 | $12.08 | Annualized Performance Metrics | Metric | Jun 30, 2025 (%) | Mar 31, 2025 (%) | Dec 31, 2024 (%) | Sep 30, 2024 (%) | Jun 30, 2024 (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Return on average assets (ROA) | 2.08 | 2.07 | 1.77 | 1.74 | 1.79 | | Return on average common equity (ROE) | 11.77 | 11.75 | 10.13 | 10.23 | 10.73 | | Return on average tangible common equity (ROTCE) (non-GAAP) | 18.26 | 18.39 | 15.94 | 16.26 | 17.29 | Efficiency and Profitability Ratios | Metric | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | | :--- | :--- | :--- | :--- | :--- | :--- | | Efficiency ratio (%) | 41.68 | 42.22 | 42.24 | 41.42 | 43.17 | | Net interest margin - FTE (NIM) (%) | 4.44 | 4.44 | 4.39 | 4.28 | 4.27 | | Pre-tax, pre-provision, net income (PPNR) (non-GAAP) (thousands USD) | $154,991 | $147,154 | $146,154 | $147,954 | $141,411 | | PPNR to total revenue (net) (non-GAAP) (%) | 57.19 | 56.58 | 56.57 | 57.35 | 55.54 | Loans Receivable Breakdown (In thousands) | Loan Type | Jun 30, 2025 (thousands USD) | Mar 31, 2025 (thousands USD) | Dec 31, 2024 (thousands USD) | Sep 30, 2024 (thousands USD) | Jun 30, 2024 (thousands USD) | | :--- | :--- | :--- | :--- | :--- | :--- | | Commercial real estate loans | $5,553,182 | $5,588,681 | $5,426,780 | $5,496,536 | $5,599,925 | | Construction/land development | $2,695,561 | $2,735,760 | $2,736,214 | $2,741,419 | $2,511,817 | | Residential 1-4 family | $2,138,990 | $1,947,872 | $1,956,489 | $1,932,352 | $1,910,143 | | Consumer | $1,218,834 | $1,227,745 | $1,234,361 | $1,219,197 | $1,189,386 | | Commercial and industrial | $2,107,326 | $2,045,036 | $2,022,775 | $2,084,667 | $2,242,072 | | Total loans receivable | $15,180,624 | $14,952,116 | $14,764,500 | $14,823,979 | $14,781,457 | Non-Performing Assets (In thousands) | Metric | Jun 30, 2025 (thousands USD) | Mar 31, 2025 (thousands USD) | Dec 31, 2024 (thousands USD) | Sep 30, 2024 (thousands USD) | Jun 30, 2024 (thousands USD) | | :--- | :--- | :--- | :--- | :--- | :--- | | Total non-performing loans | $96,292 | $89,647 | $98,887 | $101,103 | $86,341 | | Total other non-performing assets | $41,529 | $39,743 | $43,470 | $43,103 | $41,410 | | Total non-performing assets | $137,821 | $129,390 | $142,357 | $144,206 | $127,751 | | Non-performing loans to total loans (%) | 0.63 | 0.60 | 0.67 | 0.68 | 0.58 | | Non-performing assets to total assets (%) | 0.60 | 0.56 | 0.63 | 0.63 | 0.56 | [Consolidated Net Interest Margin](index=14&type=section&id=Consolidated%20Net%20Interest%20Margin) The consolidated net interest margin (FTE) remained stable at 4.44% for Q2 2025 and for the six months ended June 30, 2025. This section details average balances, income/expense, and rates for earning assets and interest-bearing liabilities Consolidated Net Interest Margin - FTE (Quarterly) | Metric | Jun 30, 2025 | Mar 31, 2025 | | :--- | :--- | :--- | | Total interest-earning assets (Average Balance) (thousands USD) | $20,082,933 | $19,826,038 | | Total interest-earning assets (Income) (thousands USD) | $321,641 | $315,076 | | Total interest-earning assets (Yield) (%) | 6.42 | 6.45 | | Total interest-bearing liabilities (Average Balance) (thousands USD) | $14,577,597 | $14,399,906 | | Total interest-bearing liabilities (Expense) (thousands USD) | $99,163 | $97,886 | | Total interest-bearing liabilities (Rate) (%) | 2.73 | 2.76 | | Net interest spread (%) | 3.69 | 3.69 | | Net interest income and margin - FTE (thousands USD) (%) | $222,478 (4.44) | $217,190 (4.44) | Consolidated Net Interest Margin - FTE (Six Months Ended) | Metric | Jun 30, 2025 | Jun 30, 2024 | | :--- | :--- | :--- | | Total interest-earning assets (Average Balance) (thousands USD) | $19,955,195 | $20,119,503 | | Total interest-earning assets (Income) (thousands USD) | $636,717 | $647,738 | | Total interest-earning assets (Yield) (%) | 6.43 | 6.47 | | Total interest-bearing liabilities (Average Balance) (thousands USD) | $14,489,242 | $14,694,387 | | Total interest-bearing liabilities (Expense) (thousands USD) | $197,049 | $227,806 | | Total interest-bearing liabilities (Rate) (%) | 2.74 | 3.12 | | Net interest spread (%) | 3.69 | 3.35 | | Net interest income and margin - FTE (thousands USD) (%) | $439,668 (4.44) | $419,932 (4.20) | [Non-GAAP Reconciliations](index=16&type=section&id=Non-GAAP%20Reconciliations) This section provides detailed reconciliations of GAAP to non-GAAP financial measures, including adjusted earnings, return on average assets, return on average common equity, return on average tangible common equity, efficiency ratio, PPNR, tangible book value per common share, and tangible common equity to tangible assets. Adjustments primarily relate to non-fundamental items like FDIC special assessment, BOLI death benefits, gains/losses on asset sales, and special income from equity investments Earnings, As Adjusted (Non-GAAP Reconciliation) | Metric | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | | :--- | :--- | :--- | :--- | :--- | :--- | | GAAP net income available to common shareholders (thousands USD) | $118,403 | $115,209 | $100,564 | $100,038 | $101,530 | | Total adjustments after-tax (thousands USD) | ($3,770) | ($3,274) | ($737) | ($1,044) | $2,386 | | Earnings, as adjusted (non-GAAP) (thousands USD) | $114,633 | $111,935 | $99,827 | $98,994 | $103,916 | | GAAP diluted earnings per share (USD) | $0.60 | $0.58 | $0.51 | $0.50 | $0.51 | | Diluted earnings per common share, as adjusted (non-GAAP) (USD) | $0.58 | $0.56 | $0.50 | $0.50 | $0.52 | Tangible Book Value Per Common Share (Non-GAAP Reconciliation) | Metric | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | | :--- | :--- | :--- | :--- | :--- | :--- | | Book value per common share (USD) | $20.71 | $20.40 | $19.92 | $19.91 | $19.30 | | Tangible book value per common share (non-GAAP) (USD) | $13.44 | $13.15 | $12.68 | $12.67 | $12.08 | | Total stockholders' equity (thousands USD) | $4,085,316 | $4,042,555 | $3,961,025 | $3,959,789 | $3,855,503 | | Goodwill (thousands USD) | $1,398,253 | $1,398,253 | $1,398,253 | $1,398,253 | $1,398,253 | | Core deposit and other intangibles (thousands USD) | $36,255 | $38,280 | $40,327 | $42,395 | $44,490 | Tangible Common Equity to Tangible Assets (Non-GAAP Reconciliation) | Metric | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | | :--- | :--- | :--- | :--- | :--- | :--- | | Equity to assets (%) | 17.83 | 17.58 | 17.61 | 17.35 | 16.82 | | Tangible common equity to tangible assets (non-GAAP) (%) | 12.35 | 12.09 | 11.98 | 11.78 | 11.23 | | Total assets (thousands USD) | $22,907,022 | $22,992,203 | $22,490,748 | $22,823,117 | $22,919,905 | [Shareholder Buyback Yield](index=20&type=section&id=Shareholder%20Buyback%20Yield) The shareholder buyback yield for Q2 2025 was 0.49%, resulting from the repurchase of 1.0 million shares at a total cost of $27.4 million. This metric reflects the percentage of market capitalization spent on share repurchases Shareholder Buyback Yield | Metric | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | | :--- | :--- | :--- | :--- | :--- | :--- | | Shareholder buyback yield (%) | 0.49 | 0.53 | 0.05 | 0.56 | 0.67 | | Shares repurchased (thousands) | 1,000 | 1,000 | 96 | 1,000 | 1,400 | | Total share repurchase cost (thousands USD) | $27,448 | $29,785 | $2,454 | $26,965 | $32,847 | | Market capitalization beginning of period (thousands USD) | $5,603,284 | $5,628,361 | $5,387,632 | $4,785,914 | $4,933,582 | - Shareholder buyback yield is defined as the percentage of the Company's market capitalization spent on share repurchases, reflecting capital returned to shareholders by reducing outstanding shares[4](index=4&type=chunk)

Core Points - Home BancShares, Inc. reported record quarterly earnings with net income of $118.4 million and diluted earnings per share of $0.60 for Q2 2025 [3][8] - The company achieved total revenue of $271.0 million for the quarter, an increase from $260.1 million in Q1 2025 [2] - The net interest margin remained stable at 4.44%, with an increase in average loans from $14.89 billion to $15.06 billion [9][11] Financial Performance - Net income for Q2 2025 was $118.4 million, up from $115.2 million in Q1 2025 [2][8] - Adjusted net income was $114.6 million, with diluted earnings per share adjusted to $0.58 [8] - Total revenue increased to $271.0 million from $260.1 million in the previous quarter [2] Operating Metrics - The company’s efficiency ratio was 41.68%, indicating effective cost management [13] - Return on assets (ROA) improved to 2.08% from 2.07% in the previous quarter [2] - Return on equity (ROE) was reported at 11.77%, slightly up from 11.75% in Q1 2025 [2] Capital and Shareholder Returns - The company repurchased 1.0 million shares during Q2 2025, resulting in a shareholder buyback yield of 0.49% [5][6] - A cash dividend of $0.20 per share was declared, representing a 2.6% increase from the previous quarter [6] - Book value per share increased to $20.71 from $20.40 in Q1 2025 [21] Loan and Asset Quality - Total loans receivable reached a record $15.18 billion, up from $14.95 billion in Q1 2025 [15] - Non-performing loans to total loans were 0.63%, slightly up from 0.60% in the previous quarter [17] - The allowance for credit losses on loans was $281.9 million, or 1.86% of total loans [20] Non-Interest Income and Expenses - Non-interest income for Q2 2025 was $51.1 million, with significant contributions from service charges and other income [12] - Non-interest expenses totaled $116.0 million, with salaries and employee benefits being the largest component at $64.3 million [13]

Group 1 - Home BancShares, Inc.'s stock price has declined by 7% since the downgrade to a hold rating in January 2025 [1] - The decline in stock price has made the stock's valuation somewhat attractive [1]