HomeTrust Bancshares(US:HTBI)2025-01-23 13:32Financial Performance - Net income for Q4 2024 was $14.2 million, an increase of 8.4% compared to $13.1 million in Q3 2024[1][7] - Diluted EPS for Q4 2024 was $0.83, up from $0.76 in Q3 2024[1][7] - Net income for the year ended December 31, 2024 increased by $4.8 million (9.5%) to $54.8 million, driven by a $7.6 million decrease in provision for credit losses and a $1.4 million increase in noninterest income[18] - Net income for the year ended December 31, 2024, was $54,805 thousand, up from $50,044 thousand in 2023[42] - Basic net income per common share increased to $0.83 in Q4 2024 from $0.77 in Q3 2024, and diluted net income per share rose to $0.83 from $0.76[44] Profitability Ratios - Annualized ROA for Q4 2024 was 1.27%, compared to 1.17% in Q3 2024[1] - Annualized ROE for Q4 2024 was 10.32%, compared to 9.76% in Q3 2024[1] - Return on assets (ROA) improved to 1.27% in Q4 2024 from 1.17% in Q3 2024, and return on equity (ROE) increased to 10.32% from 9.76%[46] Interest Income and Expenses - Net interest margin for Q4 2024 was 4.09%, compared to 4.00% in Q3 2024[1][9] - Total interest-earning assets for Q4 2024 were $4.197 billion, with a yield of 6.27%, compared to $4.185 billion and 6.34% yield in Q3 2024[9] - Total interest-bearing liabilities for Q4 2024 were $3.114 billion, with a cost of 2.94%, compared to $3.130 billion and 3.12% cost in Q3 2024[9] - Net interest income for Q4 2024 was $43.205 million, compared to $42.074 million in Q3 2024[9] - Total interest and dividend income increased by $27.1 million (11.6%) in 2024, driven by a $25.0 million increase in loan interest income and a $1.1 million increase in interest income on other investments[23] - Total interest expense increased by $27.9 million (42.9%) in 2024, primarily due to a $33.0 million (59.8%) increase in interest expense on deposits, offset by a $5.3 million (58.4%) decrease in interest expense on borrowings[24] - Net interest income for the year ended December 31, 2024, was $168,675 thousand, slightly lower than $169,433 thousand in 2023[42] - Net interest margin increased to 4.09% in Q4 2024 from 4.00% in Q3 2024[46] Credit Losses and Provisions - Provision for credit losses was a benefit of $855,000 in Q4 2024, compared to a provision of $3.0 million in Q3 2024[1] - Total provision for credit losses decreased by $3.83 million (129%) to $(855) thousand in Q4 2024 compared to Q3 2024, driven by a $3.965 million (133%) decrease in the loans portion[15] - Net loan charge-offs totaled $10.8 million for the year ended December 31, 2024, compared to $6.7 million for the prior year[34] - The ACL on loans was $45.3 million, or 1.24% of total loans, at December 31, 2024 compared to $48.6 million, or 1.34% of total loans, at December 31, 2023[33] - Allowance for credit losses – loans decreased to $45,285 thousand as of December 31, 2024, from $48,641 thousand in December 2023[40] Noninterest Income and Expenses - Noninterest income decreased by $39 thousand (0.5%) to $8.243 million in Q4 2024, with a $832 thousand (44%) decrease in gain on sale of loans held for sale being the primary driver[16] - Noninterest expense increased by $3.424 million (11.2%) to $34.009 million in Q4 2024, primarily due to a $2.965 million contract renewal consulting fee and a $595 thousand (16%) increase in other expenses[17] - Noninterest income for the year ended December 31, 2024 increased $1.4 million, or 4.3%, when compared to the same period last year[27] - Noninterest expense for the year ended December 31, 2024 increased $1.6 million, or 1.3%, when compared to the same period last year[28] - Noninterest income for the year ended December 31, 2024, was $33,449 thousand, compared to $32,073 thousand in 2023[42] - Total noninterest expense for the year ended December 31, 2024, was $124,668 thousand, slightly higher than $123,089 thousand in 2023[42] - Noninterest expense for Q4 2024 was $34,009 thousand, compared to $30,585 thousand in Q3 2024 and $123,089 thousand for the full year 2023[53] - Adjusted noninterest expense for Q4 2024 was $31,044 thousand, after excluding merger-related expenses and contract renewal consulting fees[53] Dividends and Shareholder Equity - Quarterly cash dividends increased by 9.09% to $0.12 per share, totaling $2.1 million, compared to $0.11 per share totaling $1.9 million in Q3 2024[1][6] - Stockholders' equity increased $51.9 million, or 10.4%, to $551.8 million at December 31, 2024[32] - Total stockholders' equity increased to $551,758 thousand as of December 31, 2024, from $499,893 thousand in December 2023[40] - Shares of common stock issued and outstanding were 17,527,709 at December 31, 2024, compared to 17,387,069 in December 2023[41] - Tangible book value per share increased to $29.24 in December 2024 from $28.57 in September 2024[44] - Tangible book value as of December 31, 2024 was $512,569 thousand, compared to $500,378 thousand as of September 30, 2024 and $458,807 thousand as of December 31, 2023[53] - Tangible book value per share as of December 31, 2024 was $29.24, compared to $28.57 as of September 30, 2024 and $26.39 as of December 31, 2023[53] - Tangible equity to tangible assets ratio as of December 31, 2024 was 11.25%, compared to 10.88% as of September 30, 2024 and 9.91% as of December 31, 2023[53] - Total stockholders' equity as of December 31, 2024 was $551,758 thousand, compared to $540,004 thousand as of September 30, 2024 and $499,893 thousand as of December 31, 2023[53] Asset and Liability Management - Total assets decreased by $77.2 million to $4.6 billion, and total liabilities decreased by $129.1 million to $4.0 billion at December 31, 2024[31] - Total assets increased to $4,595,430 thousand as of December 31, 2024, compared to $4,672,633 thousand in December 2023[40] - Total loans, net of deferred loan fees and costs, stood at $3,648,299 thousand as of December 31, 2024, compared to $3,640,022 thousand in December 2023[40] - Total deposits increased to $3,779,203 thousand as of December 31, 2024, from $3,661,373 thousand in December 2023[40] - Total loans, net of deferred loan fees and costs, decreased slightly to $3,648,299 thousand in December 2024 from $3,698,892 thousand in September 2024[50] - Core deposits increased to $2,779,476 thousand in December 2024 from $2,744,069 thousand in September 2024, while certificates of deposit decreased to $999,727 thousand from $1,017,519 thousand[50] - Total assets as of December 31, 2024 were $4,595,430 thousand, compared to $4,637,293 thousand as of September 30, 2024 and $4,672,633 thousand as of December 31, 2023[53] - Goodwill and core deposit intangibles, net of taxes, as of December 31, 2024 were $39,189 thousand, compared to $39,626 thousand as of September 30, 2024 and $41,086 thousand as of December 31, 2023[53] Asset Quality - Nonperforming assets increased by $9.4 million, or 48.8%, to $28.8 million, or 0.63% of total assets, at December 31, 2024[35] - The ratio of classified assets to total assets increased to 1.06% at December 31, 2024 from 0.88% at December 31, 2023[36] - Nonperforming assets to total assets ratio remained stable at 0.63% in December 2024 compared to 0.64% in September 2024[48] - Allowance for credit losses to nonperforming loans decreased to 163.68% in December 2024 from 166.51% in September 2024[48] Efficiency and Tax Rates - The effective tax rate increased to 22.3% in Q4 2024 from 21.9% in Q3 2024, influenced by changes in pre-tax income and statutory rates[17] - The effective tax rates for the year ended December 31, 2024 and 2023 were 21.6% and 21.0%, respectively[29] - Efficiency ratio (adjusted) improved to 59.89% in Q4 2024 from 60.30% in Q3 2024[46] - Adjusted efficiency ratio for Q4 2024 was 59.89%, compared to 60.30% in Q3 2024 and 59.36% for the full year 2023[53] Other Financial Metrics - Operating lease income increased by $622 thousand (38%) to $2.259 million in Q4 2024, driven by a $475 thousand reduction in valuation allowance against previously leased equipment[18] - Marketing and advertising expenses decreased by $174 thousand (43%) to $234 thousand in Q4 2024, primarily due to reduced advertising during the election and holiday season[19] - The outstanding balance of payment deferrals granted to customers impacted by Hurricane Helene was $136.0 million at December 31, 2024[37] - Equity to total assets ratio rose to 12.01% in December 2024 from 11.64% in September 2024[48]