For the quarter ended March 2025, Heritage Commerce (HTBK) reported revenue of $46.06 million, up 9.3% over the same period last year. EPS came in at $0.19, compared to $0.17 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $46.2 million, representing a surprise of -0.31%. The company delivered an EPS surprise of +5.56%, with the consensus EPS estimate being $0.18.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Str ...

Group 1 - Heritage Commerce (HTBK) reported quarterly earnings of $0.19 per share, exceeding the Zacks Consensus Estimate of $0.18 per share, and showing an increase from $0.17 per share a year ago, resulting in an earnings surprise of 5.56% [1] - The company posted revenues of $46.06 million for the quarter ended March 2025, which was below the Zacks Consensus Estimate by 0.31%, and an increase from $42.14 million year-over-year [2] - Over the last four quarters, Heritage Commerce has surpassed consensus EPS estimates only once and has topped consensus revenue estimates just once [2] Group 2 - The stock's immediate price movement will largely depend on management's commentary during the earnings call, with shares down approximately 3.3% year-to-date compared to the S&P 500's decline of 8.6% [3] - The current consensus EPS estimate for the upcoming quarter is $0.20 on revenues of $47.13 million, and for the current fiscal year, it is $0.80 on revenues of $191.47 million [7] - The Zacks Industry Rank for Banks - West is in the bottom 42% of over 250 Zacks industries, indicating potential challenges for stock performance [8]

"We delivered a solid quarter of performance with a 9% increase in our level of profitability from the prior quarter," said Clay Jones, President and Chief Executive Officer. "While our balance sheet trends reflected the seasonally low loan demand and deposit outflows in the first quarter, we generated a higher level of profitability due to improved net interest margin, strong expense control, and an improvement in our asset quality. We also redeployed some of our excess liquidity to purchase new investment ...

SAN JOSE, Calif., April 24, 2025 (GLOBE NEWSWIRE) -- Heritage Commerce Corp (Nasdaq: HTBK), (the “Company”), the holding company for Heritage Bank of Commerce (the “Bank”) today announced its financial results for the first quarter of 2025. All data are unaudited. QUARTERLY HIGHLIGHTS: Net IncomeEarnings Per SharePre-Provision Net Revenue ("PPNR")(1)Fully Tax Equivalent ("FTE") Net Interest Margin(1)Efficiency Ratio(1)Tangible Book Value Per Share(1) <td colspan="1" style="border-right: solid black 1pt ; ...

Financial Performance - For the year ended December 31, 2024, net income was $40.5 million, or $0.66 per average diluted common share, a decrease from $64.4 million, or $1.05 per average diluted common share in 2023[283]. - Net interest income decreased by 11% to $163.6 million for the year ended December 31, 2024, compared to $183.2 million in 2023[284]. - Total noninterest income decreased by 3% to $8.7 million for the year ended December 31, 2024, from $9.0 million in 2023[284]. - Total noninterest expense increased to $113.6 million for the year ended December 31, 2024, compared to $101.1 million in 2023[284]. - The efficiency ratio increased to 65.88% for the year ended December 31, 2024, compared to 52.57% in 2023[284]. - The effective income tax rate for 2024 was 28.5%, a slight decrease from 28.7% in 2023[318]. - Annualized return on average tangible common equity for 2024 was 8.05%, a decrease from 13.57% in 2023[441]. Deposits and Loans - Deposit balances grew by 10% year-over-year, while loan growth was steady at 4%[281]. - Total deposits increased by $441.6 million, or 10%, to $4.8 billion at December 31, 2024, compared to $4.4 billion at December 31, 2023[288]. - Loans increased by $141.6 million, or 4%, to $3.5 billion at December 31, 2024, compared to $3.4 billion at December 31, 2023[288]. - The loan to deposit ratio was 72.45% at December 31, 2024, compared to 76.52% at December 31, 2023[288]. - Noninterest-bearing demand deposits decreased by $78.3 million, or 6%, to $1.2 billion at December 31, 2024[288]. - The average balance of deposit accounts increased to $190,000 at December 31, 2024, from $177,000 at December 31, 2023[396]. Credit Quality - Provision for credit losses on loans was $2.1 million for the year ended December 31, 2024, compared to $749,000 in 2023[284]. - Nonperforming assets totaled $7.7 million, or 0.14% of total assets, at December 31, 2024, down from 0.15% at December 31, 2023[288]. - The allowance for credit losses (ACLL) was $49.0 million, or 1.40% of total loans, representing 638.49% of nonperforming loans at December 31, 2024[288]. - Total nonaccrual loans increased to $7,178,000 at December 31, 2024, from $6,818,000 at December 31, 2023[370]. - Loans 90 days past due and still accruing decreased to $489,000 at December 31, 2024, from $889,000 at December 31, 2023[370]. - The allowance for credit losses on loans increased by $995,000 for the year ended December 31, 2024, primarily due to a net increase of $632,000 in specific reserves for individually evaluated loans and a $363,000 increase in the reserve for pooled loans compared to December 31, 2023[386]. Capital and Liquidity - Liquidity totaled $3.3 billion, representing 69% of total deposits and approximately 155% of estimated uninsured deposits at December 31, 2024[286]. - The total capital ratio was 15.6% at December 31, 2024, exceeding the well-capitalized regulatory guideline of 10.0%[290]. - Common Equity Tier 1 capital increased to $524.2 million at December 31, 2024, from $511.8 million at December 31, 2023[414]. - Total shareholders' equity increased to $689.7 million in 2024, compared to $672.9 million in 2023, representing a growth of 2.5%[419]. - The Company announced a share repurchase program authorized for up to $15.0 million, expiring on July 31, 2025[411]. - The Company’s total liquidity and borrowing capacity at December 31, 2024, was $3.3 billion, representing 69% of total deposits[406]. Asset Management - Total assets increased by 9% to $5.6 billion at December 31, 2024, compared to $5.2 billion at December 31, 2023, primarily related to growth in client deposits[322]. - Securities available-for-sale decreased by 42% to $256.3 million at December 31, 2024, from $442.6 million at December 31, 2023[322]. - The net pre-tax unrealized loss on the available-for-sale securities portfolio was $5.1 million, which is less than 1% of total shareholders' equity at December 31, 2024[332]. - The net pre-tax unrecognized loss on the held-to-maturity securities portfolio was $93.0 million, representing 9.5% of total shareholders' equity at December 31, 2024[332]. Operational Efficiency - Noninterest expense for the year ended December 31, 2024 increased 12% to $113.6 million, compared to $101.1 million for 2023, primarily due to higher salaries and employee benefits, rent expense, and professional fees[314]. - Full-time equivalent employees increased to 355 at December 31, 2024, from 349 at December 31, 2023[316]. - Client services expenses rose by 56% to $3.9 million in 2024, compared to $2.5 million in 2023[314]. - Professional fees increased by 25% to $5.4 million in 2024, compared to $4.4 million in 2023[314]. Interest Rates and Projections - The estimated increase in annual net interest income for a +400 basis points change in interest rates is projected to be $27,272 thousand, a 14.0% increase[428]. - The estimated economic value of equity would increase by $124,156 thousand, or 9.0%, with a +400 basis points change in interest rates[430]. - The company did not use interest rate derivatives to hedge its interest rate risk as of December 31, 2024[443].

SAN JOSE, Calif., Feb. 03, 2025 (GLOBE NEWSWIRE) -- Heritage Commerce Corp (NASDAQ: HTBK) (“Company”), parent company of Heritage Bank of Commerce (“Bank”), today announced the appointment of Janisha Sabnani as Executive Vice President and General Counsel of the Company and the Bank. As General Counsel, Ms. Sabnani will report directly to Chief Executive Officer (“CEO”) Robertson “Clay” Jones and will have primary responsibility for advising executive management, directors, and business unit executives on ...

Core Insights - Heritage Commerce (HTBK) reported revenue of $46.37 million for the quarter ended December 2024, reflecting a year-over-year increase of 4.8% and exceeding the Zacks Consensus Estimate of $43.56 million by 6.46% [1] - The company's EPS was $0.17, down from $0.22 in the same quarter last year, resulting in an EPS surprise of -5.56% compared to the consensus estimate of $0.18 [1] Financial Performance Metrics - Net Interest Margin was reported at 3.3%, surpassing the average estimate of 3.2% from three analysts [4] - The Efficiency Ratio stood at 65.4%, higher than the estimated 63.3% by three analysts [4] - Total Non-Performing Loans were $7.67 million, slightly above the estimated $7.40 million from two analysts [4] - Total Non-Performing Assets were also $7.67 million, in line with the average estimate of $7.65 million from two analysts [4] - Average Balances of Interest-Earning Assets were $5.27 billion, exceeding the estimate of $5.17 billion from two analysts [4] - Total Non-Interest Income was $2.19 million, below the estimated $2.24 million from three analysts [4] - Net Interest Income was reported at $44.19 million, above the estimated $41.32 million from three analysts [4] - Net Interest Income (FTE) was $44.24 million, compared to the average estimate of $42.11 million from two analysts [4] - Gain on Sale of SBA Loans was $0.13 million, exceeding the estimated $0.10 million from two analysts [4] Stock Performance - Heritage Commerce shares have returned -4.6% over the past month, contrasting with the Zacks S&P 500 composite's increase of +2.7% [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]

Group 1 - Heritage Commerce (HTBK) reported quarterly earnings of $0.17 per share, missing the Zacks Consensus Estimate of $0.18 per share, and down from $0.22 per share a year ago, representing an earnings surprise of -5.56% [1] - The company posted revenues of $46.37 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 6.46%, compared to year-ago revenues of $44.24 million [2] - Heritage Commerce shares have underperformed the market, losing about 2.8% since the beginning of the year, while the S&P 500 gained 3.5% [3] Group 2 - The current consensus EPS estimate for the coming quarter is $0.16 on revenues of $43.16 million, and for the current fiscal year, it is $0.72 on revenues of $180.02 million [7] - The Zacks Industry Rank for Banks - West is currently in the top 32% of over 250 Zacks industries, indicating that the industry outlook can significantly impact stock performance [8]

Financial Performance - Fourth quarter 2024 net income was $10.6 million, compared to $13.3 million in Q4 2023, reflecting a decrease of 20.3% year-over-year[1] - For the year ended December 31, 2024, net interest income decreased by 11% to $163.6 million from $183.2 million in 2023[9] - Net income for the quarter was $10,621,000, a decrease of 37% compared to $40,528,000 for the previous year[49] - Net income for the year ended December 31, 2024, was $40,528,000, a significant decrease from $64,443,000 for the year ended December 31, 2023, representing a decline of approximately 37.1%[73] Deposits and Loans - Deposit balances grew 2% quarter-over-quarter and 10% year-over-year, driven by local community commercial deposit relationships[2] - Total deposits increased by $90.5 million, or 2%, to $4.8 billion at December 31, 2024, compared to $4.7 billion at September 30, 2024, and increased by $441.6 million, or 10% from $4.4 billion at December 31, 2023[40] - Loan growth increased by 2% from the prior quarter and 4% year-over-year, indicating solid demand for loans[2] - Total loans increased by $81.7 million, or 2%, to $3.5 billion at December 31, 2024, compared to $3.4 billion at September 30, 2024[30] Interest Income and Margin - The net interest margin expanded to 3.34% in Q4 2024, up from 3.17% in Q3 2024, primarily due to reduced funding costs[2] - Net interest income rose 11% to $44.2 million in Q4 2024 compared to $39.9 million in Q3 2024[9] - Interest income for the quarter was $64,633,000, reflecting a 5% increase from $61,438,000 in the previous quarter[49] - The average yield on the total loan portfolio increased to 5.53% in Q4 2024, compared to 5.39% in Q4 2023[10] Noninterest Income and Expenses - Total noninterest income for Q4 2024 remained flat at $2.2 million compared to Q3 2024, but increased 13% from $1.9 million in Q4 2023 due to higher gains on SBA loan sales[18] - Total noninterest expense for Q4 2024 increased to $30.3 million, compared to $27.6 million in Q3 2024, primarily due to one-time personnel-related expenses and legal fees[16] - Total noninterest income decreased by 3% to $2,185,000 compared to $2,240,000 in the previous quarter[49] - Total noninterest expense rose by 10% to $30,304,000 compared to $27,555,000 in the previous quarter[49] Asset Quality - Nonperforming assets and net charge-offs remained low, indicating positive credit trends[2] - Total nonperforming loans were $7.667 million at December 31, 2024, compared to $7.158 million at September 30, 2024[35] - The allowance for credit losses on loans (ACLL) increased to $48.953 million at December 31, 2024, from $47.819 million at September 30, 2024[35] - The provision for credit losses on loans during the fourth quarter of 2024 was $1.331 million[35] Capital and Equity - Tangible common equity was $515.7 million at December 31, 2024, compared to $510.8 million at September 30, 2024, and $496.6 million at December 31, 2023[42] - The Company’s total capital ratio was 15.6% at December 31, 2024, exceeding the well-capitalized regulatory guideline of 10.0%[41] - Tangible book value per share increased to $8.41 at December 31, 2024, from $8.33 at September 30, 2024, and $8.12 at December 31, 2023[42] Efficiency and Ratios - The efficiency ratio for Q4 2024 was 65.35%, slightly improved from 65.37% in Q3 2024, but increased from 57.62% in Q4 2023 due to higher noninterest expenses[23] - The annualized return on average tangible common equity was 65.35%, up 25% from 52.57% in the previous year[49] - The loan to deposit ratio was 72.45% at December 31, 2024, compared to 72.11% at September 30, 2024, and 76.52% at December 31, 2023[24] Securities and Investments - The weighted average life of the securities held-to-maturity portfolio was 6.35 years at December 31, 2024, reflecting longer maturities of certain mortgage-backed securities[27] - The pre-tax unrealized loss on the securities available-for-sale portfolio was ($5.1) million at December 31, 2024, which was less than 1% of total shareholders' equity[26] - Total investment securities projected paydowns and maturities for 2025 are expected to be $259.202 million[28]

SAN JOSE, Calif., Jan. 23, 2025 (GLOBE NEWSWIRE) -- Heritage Commerce Corp (Nasdaq: HTBK), (the “Company”), the holding company for Heritage Bank of Commerce (the “Bank”), today announced that its fourth quarter 2024 net income was $10.6 million, or $0.17 per average diluted common share, compared to $10.5 million, or $0.17 per average diluted common share, for the third quarter of 2024, and $13.3 million, or $0.22 per average diluted common share, for the fourth quarter of 2023. For the year ended December ...