Core Insights - Home BancShares (HOMB) reported revenue of $260.08 million for Q1 2025, a year-over-year increase of 5.6% and an EPS of $0.56 compared to $0.49 a year ago, exceeding Zacks Consensus Estimates for both revenue and EPS [1] - The company’s stock has returned -8% over the past month, underperforming the Zacks S&P 500 composite's -4.2% change, and currently holds a Zacks Rank 3 (Hold) [3] Financial Performance Metrics - Net Interest Margin stood at 4.4%, matching the average estimate from three analysts [4] - Efficiency Ratio was reported at 42.2%, better than the 44% average estimate from three analysts [4] - Total non-performing loans amounted to $89.65 million, exceeding the two-analyst average estimate of $83.84 million [4] - Average balance of Total interest-earning assets was $19.83 billion, slightly above the two-analyst average estimate of $19.66 billion [4] - Total non-performing assets reached $129.39 million, higher than the two-analyst average estimate of $127.27 million [4] - Net charge-offs to average total loans were reported at -0.1%, compared to the 0% average estimate from two analysts [4] - Net Interest Income was $214.66 million, surpassing the $211.95 million estimate from three analysts [4] - Total Non-Interest Income was $45.43 million, exceeding the three-analyst average estimate of $41.71 million [4] - Net Interest Income (FTE) was reported at $217.19 million, compared to the $214.89 million average estimate from two analysts [4]

分组1 - Home BancShares reported quarterly earnings of $0.56 per share, exceeding the Zacks Consensus Estimate of $0.54 per share, and up from $0.49 per share a year ago, representing an earnings surprise of 3.70% [1] - The company posted revenues of $260.08 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 2.53%, compared to year-ago revenues of $246.39 million [2] - Home BancShares has outperformed the market with a year-to-date decline of about 7.8%, compared to the S&P 500's decline of 8.3% [3] 分组2 - The current consensus EPS estimate for the coming quarter is $0.55 on revenues of $257.29 million, and for the current fiscal year, it is $2.19 on revenues of $1.03 billion [7] - The Zacks Industry Rank for Banks - Southeast is currently in the bottom 42% of over 250 Zacks industries, indicating potential challenges for stock performance [8]

Financial Performance - Net income for Q1 2025 was $115.2 million, or $0.58 diluted earnings per share, marking a record for the company[6]. - Total revenue (net) for Q1 2025 was $260.1 million, compared to $258.4 million in Q4 2024[2]. - Non-interest income for Q1 2025 was $45.4 million, with significant contributions from service charges and fees[9]. - Non-interest expense for Q1 2025 was $112.9 million, with salaries and employee benefits accounting for $61.9 million[10]. - The efficiency ratio for Q1 2025 was 42.22%, indicating operational efficiency[10]. - Net interest income for the quarter was $214,656 thousand, compared to $204,590 thousand in the same quarter last year, marking a 4.9% increase[48]. - Non-interest income increased to $45,426 thousand for the quarter, up from $41,799 thousand in the same quarter last year, representing an 8.5% growth[48]. - Pre-tax net income for the quarter was $147,154 thousand, an increase from $129,454 thousand in the same quarter last year, showing a growth of 13.7%[48]. Asset and Loan Growth - Total loans receivable reached a record $14.95 billion at March 31, 2025, up from $14.76 billion at December 31, 2024[12]. - The company experienced $291.5 million in organic loan growth during Q1 2025[13]. - Total loans receivable increased to $14,952,116 thousand from $14,764,500 thousand in the previous quarter, representing a growth of 1.27%[40]. - Loans receivable net rose to $14,672,172 thousand, compared to $14,488,620 thousand in the previous quarter, reflecting an increase of 1.3%[32]. Credit Quality - Non-performing loans to total loans decreased to 0.60% at March 31, 2025, down from 0.67% at December 31, 2024[14]. - As of March 31, 2025, total non-performing loans amounted to $89.647 million, a decrease from $98.887 million on December 31, 2024, representing a reduction of approximately 9.1%[16]. - Total non-performing assets were $129.390 million as of March 31, 2025, down from $142.357 million at December 31, 2024, reflecting a decrease of approximately 9.1%[16]. - The company reported a total credit loss expense of $0 for the current quarter, compared to $16,700,000 in the previous quarter, reflecting improved credit quality[34]. - Provision for credit losses on loans was $0 for the current quarter, compared to $16,700,000 in the previous quarter, indicating a significant reduction in credit loss provisions[34]. Equity and Capital - Stockholders' equity increased to $4.04 billion at March 31, 2025, up by approximately $81.5 million from December 31, 2024, primarily due to a $76.5 million increase in retained earnings[17]. - Book value per common share reached $20.40 at March 31, 2025, compared to $19.92 at December 31, 2024, marking a record high for the company[17]. - Tangible book value per common share increased to $13.15 at March 31, 2025, from $12.68 at December 31, 2024, also a record for the company[17]. - The company reported a total of $3,977,671,000 in shareholders' equity as of March 31, 2025, compared to $3,783,652,000 a year earlier, indicating a solid capital position[44]. Deposits and Liabilities - Total deposits increased to $17.54 billion at March 31, 2025, compared to $17.15 billion at December 31, 2024[12]. - Total liabilities rose to $18,949,648 thousand from $18,529,723 thousand, an increase of 2.3%[32]. - The company experienced a decrease in total interest-bearing deposits to $13,204,191,000 in Q1 2025 from $12,724,103,000 in Q1 2024, indicating a shift in funding sources[44]. Operational Efficiency - The company maintained a strong net interest margin, with net interest income of $214,656,000 against total interest income of $312,542,000, resulting in a margin of approximately 68.6%[34]. - The efficiency ratio improved to 42.22% for the quarter ended March 31, 2025, compared to 44.22% in the same quarter last year, indicating enhanced operational efficiency[38]. - Return on average assets (ROA) rose to 2.07% for the quarter, up from 1.78% in the same quarter last year, indicating stronger asset utilization[36]. - Return on average common equity (ROE) improved to 11.75% for the quarter, compared to 10.64% in the same quarter last year, reflecting better profitability[36]. Future Outlook - The company plans to conduct a conference call on April 17, 2025, to discuss these financial results and future outlook[21].

Core Points - Home BancShares, Inc. reported a record net income of $115.2 million for Q1 2025, translating to diluted earnings per share of $0.58, marking a significant increase from previous quarters [5][2][3] - The company experienced a total revenue of $260.1 million for the same period, reflecting a steady growth trajectory [2][9] - The net interest margin improved to 4.44%, up from 4.39% in the previous quarter, indicating effective management of interest income and expenses [6][9] Financial Performance - Net income for Q1 2025 was $115.2 million, compared to $100.6 million in Q4 2024 and $100.0 million in Q3 2024 [2][5] - Total revenue for Q1 2025 was $260.1 million, up from $258.4 million in Q4 2024 and $258.0 million in Q3 2024 [2] - The company’s net interest income on a fully taxable equivalent basis was $217.2 million for Q1 2025, down from $219.5 million in Q4 2024 [9] Loan and Deposit Growth - Total loans receivable reached a record $14.95 billion as of March 31, 2025, an increase from $14.76 billion at the end of 2024 [13][14] - Total deposits also grew to $17.54 billion, up from $17.15 billion at the end of the previous quarter [13] - The company reported a $187.6 million increase in loans during the first quarter, with organic loan growth of $291.5 million in community banking [14] Asset Quality - Non-performing loans to total loans decreased to 0.60% as of March 31, 2025, down from 0.67% at the end of 2024 [15] - The allowance for credit losses on loans was $279.9 million, representing 1.87% of total loans, consistent with the previous quarter [19] Capital and Efficiency - Stockholders' equity increased to $4.04 billion, reflecting a $81.5 million rise from December 31, 2024, primarily due to retained earnings [19] - The efficiency ratio for Q1 2025 was reported at 42.22%, indicating effective cost management [11] Management Commentary - The CEO emphasized the importance of consistent execution in driving revenue and managing expenses, highlighting a strong start to the year [3]

Core Insights - Home BancShares (HOMB) is projected to announce quarterly earnings of $0.54 per share, reflecting a year-over-year increase of 10.2% [1] - Revenues are expected to reach $253.66 million, marking a 3% increase from the same quarter last year [1] - There have been no revisions in the consensus EPS estimate over the last 30 days, indicating stability in analysts' forecasts [1] Financial Metrics - Analysts estimate a 'Net Interest Margin' of 4.4%, up from 4.1% a year ago [4] - The 'Efficiency Ratio' is expected to be 44.0%, slightly lower than the previous year's 44.2% [4] - 'Total non-performing loans' are projected to reach $83.84 million, compared to $79.98 million a year prior [4] Additional Estimates - The consensus for 'Average balance - Total interest-earning assets' is $19.66 billion, down from $20.03 billion in the same quarter last year [5] - 'Total non-performing assets' are anticipated to be $127.27 million, up from $110.70 million a year ago [5] - 'Net Interest Income' is predicted to be $211.95 million, compared to $204.59 million in the same quarter last year [6] - 'Total Non-Interest Income' is expected to be $41.71 million, slightly down from $41.80 million a year ago [6] - 'Net Interest Income (FTE)' is estimated at $214.89 million, up from $205.48 million a year prior [7] Market Performance - Over the past month, Home BancShares shares have declined by 9.7%, while the Zacks S&P 500 composite has decreased by 6.1% [7] - The company holds a Zacks Rank 3 (Hold), suggesting it will likely perform in line with the overall market in the near term [7]

Company Overview - Home Bancshares (NYSE: HOMB) is the parent company of Centennial Bank, a regional banking institution based in Conway, Arkansas [1] - The bank has expanded its operations across much of the Southeastern United States and into Texas [1] Investment Focus - Grassroots Trading emphasizes providing objective, unbiased, and balanced research, supported by solid data without emotional influences [1] - The focus is primarily on small- to mid-cap companies, offering compelling investment perspectives on often overlooked opportunities [1] - The scope also includes identifying potential opportunities in large- and mega-cap companies, thereby providing comprehensive coverage of the equity markets [1]

Core Points - Home BancShares, Inc. is set to release its First Quarter 2025 earnings on April 16, 2025, after market close [1] - A conference call to discuss the earnings will take place on April 17, 2025, at 1:00 p.m. CT [1] - The company encourages participants to pre-register for the conference call via provided links [2] - For those without internet access, a dial-in option is available for the live call [3] - Home BancShares, Inc. operates as a bank holding company with its subsidiary, Centennial Bank, offering a range of banking services [4] - Centennial Bank has branches in multiple states including Arkansas, Florida, South Alabama, Texas, and New York City [4]

Financial Performance - Total revenue for 2024 was $1.02 billion, up from $996.88 million in 2023, indicating a growth of 2.3%[15] - Net income for 2024 reached $402.24 million, compared to $392.93 million in 2023, representing an increase of 2.8%[15] - Basic earnings per common share for 2024 were $2.01, up from $1.94 in 2023, indicating a growth of approximately 3.6%[210] - The company declared a quarterly dividend of $0.75 per common share, compared to $0.66 in the previous year, marking an increase of about 13.6%[210] - The efficiency ratio improved to 42.74% in 2024 from 46.21% in 2023, demonstrating better operational efficiency[210] - The return on average assets remained stable at 1.77% for both 2024 and 2023[210] Asset and Deposit Trends - Total assets as of December 31, 2024, were $22.49 billion, a slight decrease from $22.66 billion in 2023[15] - Total deposits increased to $17.15 billion in 2024 from $16.79 billion in 2023, reflecting a growth of 2.2%[15] - Loans receivable increased to $14,764,500 thousand in 2024, up from $14,424,728 thousand in 2023, representing a growth of about 2.35%[213] - Total deposits rose to $17,146,297 thousand in 2024, compared to $16,787,711 thousand in 2023, an increase of approximately 2.14%[213] Loan Portfolio Composition - Commercial real estate loans constituted 57.6% of gross loans as of December 31, 2024[15] - The loan portfolio as of December 31, 2024, totaled $14.76 billion, with commercial real estate loans making up 36.8% of the portfolio[34] - As of December 31, 2024, approximately 74.2% of the total loan portfolio was comprised of real estate loans, including $5.76 billion in commercial real estate loans, $2.74 billion in construction/land development loans, and $2.45 billion in residential real estate loans[147] - As of December 31, 2024, commercial real estate and construction/land development loans comprised 57.6% of the total loan portfolio, while residential real estate loans made up 16.6%[148] Capital and Regulatory Compliance - The required minimum capital ratios under Basel III as of December 31, 2024, include CET1 capital of 7.0%, Tier 1 risk-based capital of 8.5%, total risk-based capital of 10.5%, and a leverage ratio of 4.0%[70] - As of December 31, 2024, the capital conservation buffer was 9.11%, with CET1 capital, Tier 1 risk-based capital, total risk-based capital, and leverage ratios at 15.11%, 15.11%, 18.74%, and 13.05%, respectively[70] - The bank subsidiary's total assets exceed $10 billion, subjecting it to additional supervision and regulation by the Consumer Financial Protection Bureau (CFPB) [60] - The company is subject to heightened regulatory requirements due to total assets exceeding $10 billion, impacting compliance costs and operational flexibility[133] Risk Factors - The company faces significant risks from interest rate fluctuations, with the Federal Reserve having implemented eleven interest rate increases since March 2022[141] - Economic downturns have historically adversely impacted the banking industry, particularly community banks, affecting credit performance and asset values[136] - The company has exposure to other financial institutions, which could lead to losses if those institutions experience instability or fail[142] - The company’s profitability is vulnerable to changes in monetary policy and interest rates, which can affect loan demand and borrower repayment capabilities[140] Competition and Market Presence - The company faces substantial competition from various financial institutions, including commercial banks, credit unions, and mortgage banking firms[168] - Economic conditions, regulatory changes, and competition may impede the company's ability to expand its market presence and grow its business[158] - The company faces competitive disadvantages against larger national and regional financial institutions due to its smaller size and resources, which may limit its ability to offer competitive products and services[169] - The company is experiencing increased competition from community banks that target the same small and mid-sized businesses, potentially impacting asset growth and financial results[170] Cybersecurity and Information Security - Cybersecurity threats, including ransomware and denial-of-service attacks, pose significant risks to the company's operations and customer data, necessitating ongoing investment in security measures[183] - The company has a formal Information Security Program that includes regular risk assessments and incident monitoring to protect its information systems[184] - The company maintains a cybersecurity program evaluated by both internal and third-party audits to ensure effectiveness against evolving threats[189] Investment Securities - The company owned $3.07 billion of available-for-sale investment securities as of December 31, 2024, which may be adversely affected by market conditions[156] - The company has $1.28 billion of held-to-maturity investment securities, with expected credit losses evaluated on a collective basis by major security type[157] Employee and Community Engagement - The bank's employee count was 2,552 full-time equivalent employees as of December 31, 2024[53] - 69% of the bank's employees were women, and 28% identified as persons of color as of December 31, 2024[55] - The bank's community banking philosophy emphasizes personal relationships and quality service provided by experienced bankers[52]

Core Viewpoint - Home BancShares, Inc. has authorized an increase in its stock repurchase program and declared a quarterly cash dividend, reflecting the company's commitment to returning value to shareholders [1][2][3]. Stock Repurchase Program - The Board of Directors has increased the shares available for repurchase to 20,000,000, with approximately 13,244,493 shares remaining available as of January 17, 2025, resulting in an increase of 6,755,507 shares [2]. - The stock repurchase program was originally approved in January 2008 and most recently amended in January 2021 [2]. Dividend Declaration - A quarterly cash dividend of $0.195 per share has been declared, payable on March 5, 2025, to shareholders of record on February 12, 2025 [3]. - This dividend is consistent with the quarterly dividends paid during the third and fourth quarters of 2024 [3]. Company Overview - 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 [5]. - Centennial Bank operates branches in Arkansas, Florida, Texas, South Alabama, and New York City [5]. - The company's common stock is traded on the New York Stock Exchange under the symbol "HOMB" [5].

Core Points - Home BancShares, Inc. has authorized an increase in the shares available for repurchase to 20,000,000 shares, with approximately 13,244,493 shares remaining available as of January 17, 2025, resulting in an increase of 6,755,507 shares [2] - The Board of Directors declared a regular quarterly cash dividend of $0.195 per share, payable on March 5, 2025, to shareholders of record on February 12, 2025, consistent with dividends paid in the third and fourth quarters of 2024 [3] Company Overview - 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 [5] - Centennial Bank operates branch locations in Arkansas, Florida, Texas, South Alabama, and New York City, and the company's common stock is traded on the New York Stock Exchange under the symbol "HOMB" [5]