Earnings of Home Bancshares, Inc. (Conway, AR) (NYSE: HOMB ) will likely continue to grow in upcoming quarters. However, elevated provisioning for expected loan losses in the wake of hurricanes will constrain earnings growth. Overall, I’m expecting the earnings to grow by 2.4% to $1.98Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expre ...

CONWAY, Ark., Oct. 23, 2024 (GLOBE NEWSWIRE) -- Home BancShares, Inc. (NYSE: HOMB), parent company of Centennial Bank, today announced that its Board of Directors has declared a regular $0.195 per share quarterly cash dividend payable December 4, 2024, to shareholders of record November 13, 2024. This cash dividend represents a $0.015 per share, or 8.3%, increase over the $0.18 cash dividend paid during the fourth quarter of 2023 and is consistent with the dividend paid during the third quarter of 2024. Hom ...

Financial Data and Key Metrics Changes - The company reported total revenue of $258 million for Q3 2024, marking a record for core earnings [6][16] - Return on assets (ROA) was 1.74%, and without the $16.7 million reserve for hurricane-related losses, the annualized income would have been over $450 million, resulting in an ROA of 1.96% [6][10] - The efficiency ratio improved to 41.42%, with non-interest expenses decreasing to $110 million from $113 million in the previous quarter [8][16] - The tangible common equity ratio stood at 11.78%, with a CET1 ratio of 14.65% [19] Business Line Data and Key Metrics Changes - Loan balances increased by $43 million, with significant growth from Community Bank regions, while CCFG experienced a decline of $89.1 million [10][18] - Loan originations totaled $1.13 billion, with an average coupon of 8.96% [19] - Nonperforming loans increased slightly, attributed to a Texas hotel moving to nonperforming status [21][22] Market Data and Key Metrics Changes - Total deposits declined by $250 million, primarily in Florida due to seasonal outflows [18] - Noninterest-bearing deposits accounted for 23.5% of total deposits, with alternative funding sources remaining strong [18] Company Strategy and Development Direction - The company is exploring M&A opportunities, with a focus on finding the right price for potential acquisitions [28] - Management emphasized the importance of maintaining a strong balance sheet to navigate challenges and capitalize on future opportunities [19][23] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's performance despite the impact of hurricanes, indicating that the quarter would have been outstanding without these events [10][26] - The company is prepared for potential losses related to hurricane damages, with a reserve of approximately $16.7 million established [25][52] Other Important Information - The company has a history of effectively managing hurricane-related risks and has implemented disaster deferral procedures for affected loans [24][25] - The management team is focused on maintaining strong customer relationships and managing interest rates effectively [17] Q&A Session Summary Question: Thoughts on M&A outlook and regulatory environment - Management is actively looking for M&A opportunities and believes regulatory relief could enhance their ability to pursue acquisitions if the political landscape changes [28] Question: NIM trends and loan/deposit betas - Management expects NIM to remain flat, with potential for slight decreases depending on deposit behavior and liquidity [29][30] Question: Loan growth outlook for 2025 - Management anticipates a continuation of loan growth in the Community Bank footprint, despite some softness in the current quarter [34][35] Question: Operating expenses and cost savings - Management highlighted headcount fluctuations and potential savings from IT contracts as key drivers of reduced operating expenses [43][44] Question: Credit quality and legacy issues - Management indicated that most credit issues are legacy problems, with some resolution expected in the near term [45][47]

For the quarter ended September 2024, Home BancShares (HOMB) reported revenue of $258 million, up 5.2% over the same period last year. EPS came in at $0.50, compared to $0.47 in the year-ago quarter. The reported revenue represents a surprise of +0.75% over the Zacks Consensus Estimate of $256.09 million. With the consensus EPS estimate being $0.53, the EPS surprise was -5.66%. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determ ...

Home BancShares (HOMB) came out with quarterly earnings of $0.50 per share, missing the Zacks Consensus Estimate of $0.53 per share. This compares to earnings of $0.47 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -5.66%. A quarter ago, it was expected that this bank holding company would post earnings of $0.48 per share when it actually produced earnings of $0.52, delivering a surprise of 8.33%. Over the last four quarters ...

EXHIBIT 99.1 (1) For Immediate Release: October 16, 2024 HOMB Delivers Strong Q3 Results, While Shifting Into Hurricane Mode Conway, AR – Home BancShares, Inc. (NYSE: HOMB) ("Home" or the "Company"), parent company of Centennial Bank, released quarterly earnings today. | --- | --- | --- | --- | --- | --- | |--------------------------------------------------------------------------------------------------|----------------|------------------|------------------|------------------|------------------| | Metric | ...

CONWAY, Ark., Oct. 16, 2024 (GLOBE NEWSWIRE) -- Home BancShares, Inc. (NYSE: HOMB) ("Home" or the "Company"), parent company of Centennial Bank, released quarterly earnings today. | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |-----------------------------------------------------------------------|----------------|-------|--------------------------------|-------|-------|------------------|-------|------------------|-------|----------------|---------| | Metric | Q3 2024 | | Quarte ...

Analysts on Wall Street project that Home BancShares (HOMB) will announce quarterly earnings of $0.53 per share in its forthcoming report, representing an increase of 12.8% year over year. Revenues are projected to reach $256.1 million, increasing 4.4% from the same quarter last year. Over the last 30 days, there has been no revision in the consensus EPS estimate for the quarter. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe. Pr ...

CONWAY, Ark., Oct. 11, 2024 (GLOBE NEWSWIRE) -- Home BancShares, Inc. (NYSE: HOMB) ("Home" or "the Company"), parent company of Centennial Bank ("Centennial"), announced it has established additional reserves for loan losses related to the Hurricane Helene FEMA Disaster Area for the third quarter of 2024. As a result of Hurricane Helene, which made landfall September 26, 2024 as a Category 4 hurricane, HOMB recorded additional loan loss reserves of approximately $16.7 million. HOMB has operated in Florida f ...

The market expects Home BancShares (HOMB) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The earnings report, which is expected to be released on October 16, 2024, might help the stock move higher if these key nu ...