Core Viewpoint - Analysts project that Home BancShares (HOMB) will report quarterly earnings of $0.52 per share, an increase of 8.3% year over year, with revenues expected to reach $254.6 million, up 3.7% from the same quarter last year [1] Earnings Projections - The consensus EPS estimate has remained unchanged over the last 30 days, indicating a collective reevaluation by analysts [1][2] - Changes in earnings projections are crucial for predicting investor reactions, with empirical studies showing a strong correlation between earnings estimate trends and short-term stock price movements [2] Key Metrics Projections - Analysts estimate a 'Net Interest Margin' of 4.3%, up from 4.2% a year ago [4] - The 'Efficiency Ratio' is projected at 43.0%, a significant improvement from 50.6% reported in the same quarter last year [4] - 'Total non-performing loans' are expected to be $103.04 million, compared to $64.10 million in the same quarter last year [4] Asset and Income Estimates - The 'Average balance - Total interest-earning assets' is projected to reach $20.23 billion, an increase from $19.39 billion a year ago [5] - Analysts expect 'Total non-performing assets' to be $146.55 million, up from $95.37 million in the same quarter last year [5] - 'Net Interest Income' is projected at $214.44 million, compared to $202.77 million in the same quarter last year [6] - 'Total Non-Interest Income' is expected to be $41.04 million, slightly down from $42.85 million a year ago [6] Market Performance - Home BancShares shares have decreased by 7.7% in the past month, contrasting with a 2.2% decline in the Zacks S&P 500 composite [7] - The company holds a Zacks Rank 3 (Hold), indicating expectations to mirror overall market performance in the near future [7]

CONWAY, Ark., Dec. 16, 2024 (GLOBE NEWSWIRE) -- Home BancShares, Inc. (NYSE: HOMB), parent company of Centennial Bank, today announced it expects to release Fourth Quarter 2024 earnings after the market closes on January 15, 2025. Following this release, management will conduct a conference call to review these earnings at 1:00 p.m. CT (2:00 p.m. ET) on Thursday, January 16, 2025. We strongly encourage all participants to pre-register for the conference call webcast or the live call using one of the followi ...

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 ...

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]

Core Insights - Home BancShares reported quarterly earnings of $0.50 per share, missing the Zacks Consensus Estimate of $0.53 per share, but showing an increase from $0.47 per share a year ago, resulting in an earnings surprise of -5.66% [1] - The company posted revenues of $258 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 0.75% and increasing from $245.35 million year-over-year [2] - Home BancShares has surpassed consensus EPS estimates three times over the last four quarters and has topped consensus revenue estimates four times in the same period [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.53 on revenues of $256.43 million, while for the current fiscal year, the estimate is $2.07 on revenues of $1.01 billion [7] - The estimate revisions trend for Home BancShares is mixed, leading to a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Banks - Southeast industry, to which Home BancShares belongs, is currently in the bottom 34% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Home BancShares' stock performance [5]

Core Insights - Home BancShares, Inc. reported a net income of $100.0 million for Q3 2024, with diluted earnings per share of $0.50, despite challenges posed by Hurricane Helene [11][4][3] - The company maintained strong liquidity, with total available liquidity of $8.19 billion as of September 30, 2024, consisting of $2.50 billion in internal liquidity and $3.15 billion in external liquidity [8][5][6] - The allowance for credit losses on loans increased to $312.6 million, or 2.11% of total loans, reflecting proactive measures in response to potential impacts from recent hurricanes [22][12] Financial Performance - Net income for Q3 2024 was $100.0 million, compared to $101.5 million in Q2 2024, while total revenue increased to $258.0 million from $254.6 million in the previous quarter [2][11] - Pre-tax, pre-provision, net income (PPNR) was $148.0 million, up from $141.4 million in Q2 2024, indicating strong operational performance [2][11] - Return on average assets (ROA) was 1.74% for Q3 2024, slightly down from 1.79% in Q2 2024 [2][11] Loan and Deposit Trends - Total loans receivable increased to $14.82 billion as of September 30, 2024, from $14.78 billion in the previous quarter, with a loan growth of approximately $42.5 million during the quarter [18][19] - Total deposits decreased to $16.71 billion from $16.96 billion in Q2 2024, reflecting a strategic focus on managing deposit levels [18][20] Liquidity and Capital Position - The company held $2.50 billion in net available internal liquidity, including $1.51 billion in unpledged investment securities and $718.9 million in cash with the Federal Reserve Bank [5][8] - Total risk-based capital was reported at 18.3%, with a common equity tier 1 capital ratio of 14.7% as of September 30, 2024 [2][22] Non-Interest Income and Expenses - Non-interest income for Q3 2024 was $42.8 million, with significant contributions from service charges and fees [16] - Non-interest expenses totaled $110.0 million, with salaries and employee benefits accounting for the largest portion at $58.9 million [17] Market and Operational Context - The company experienced organic loan growth in its community banking footprint, while facing challenges in other segments due to external factors like Hurricane Helene [19][3] - Management expressed confidence in the strength of the balance sheet and the ability to navigate upcoming challenges [3][4]

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 ...

Whether it's through stocks, bonds, ETFs, or other types of securities, all investors love seeing their portfolios score big returns. But for income investors, generating consistent cash flow from each of your liquid investments is your primary focus. While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is the distribution of a company's earnings paid out to shareholders; it's often viewed by its dividend yield, a metric t ...

Whether it's through stocks, bonds, ETFs, or other types of securities, all investors love seeing their portfolios score big returns. But for income investors, generating consistent cash flow from each of your liquid investments is your primary focus. While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is the distribution of a company's earnings paid out to shareholders; it's often viewed by its dividend yield, a metric t ...

CONWAY, Ark., Sept. 16, 2024 (GLOBE NEWSWIRE) -- Home BancShares, Inc. (NYSE: HOMB), parent company of Centennial Bank, today announced it expects to release Third Quarter 2024 earnings after the market closes on October 16, 2024. Following this release, management will conduct a conference call to review these earnings at 1:00 p.m. CT (2:00 p.m. ET) on Thursday, October 17, 2024. We strongly encourage all participants to pre-register for the conference call webcast or the live call using one of the followi ...