Home Federal Bancorp(HFBL) - 2025 Q3 - Quarterly Report

Financial Performance - Net interest income increased to $4,674 thousand for the three months ended March 31, 2025, compared to $4,404 thousand for the same period in 2024, reflecting a growth of about 6.1%[12] - Net income for the three months ended March 31, 2025, was $748 thousand, slightly up from $732 thousand in the same period of 2024, indicating a year-over-year increase of 2.2%[12] - Non-interest income rose to $538 thousand for the three months ended March 31, 2025, compared to $506 thousand for the same period in 2024, marking an increase of about 6.3%[12] - Total non-interest expense rose to $4,251 thousand for the three months ended March 31, 2025, compared to $3,991 thousand for the same period in 2024, an increase of 6.5%[12] - The company reported a total comprehensive income of $1,317 thousand for the three months ended March 31, 2025, compared to $231 thousand for the same period in 2024, indicating a significant increase[15] - Net income for the nine months ended March 31, 2025, was $2,708,000, compared to $2,955,000 for the same period in 2024, reflecting a decrease of approximately 8.4%[23] Assets and Equity - Total assets decreased to $619,624 thousand as of March 31, 2025, from $637,512 thousand on June 30, 2024, representing a decline of approximately 2.8%[9] - Total stockholders' equity increased to $54,719 thousand as of March 31, 2025, from $52,803 thousand on June 30, 2024, reflecting a growth of approximately 3.6%[8] - The total balance of stockholders' equity as of March 31, 2025, was $54,719,000, an increase from $52,550,000 as of June 30, 2023[20] Deposits and Cash Flow - Total deposits decreased to $556,763 thousand as of March 31, 2025, from $574,007 thousand on June 30, 2024, a reduction of approximately 3.0%[8] - The company reported a net decrease in deposits of $17,244,000 for the nine months ended March 31, 2025, compared to a decrease of $18,480,000 in 2024[25] - Total cash and cash equivalents at the end of the period were $30,439,000, down from $34,948,000 at the beginning of the period, indicating a decrease of about 14.3%[25] - The net cash provided by operating activities was $4,452,000 for the nine months ended March 31, 2025, significantly higher than $460,000 for the same period in 2024[23] Credit Losses and Allowance - The allowance for credit losses was $4,632 thousand as of March 31, 2025, compared to $4,574 thousand as of June 30, 2024, indicating a slight increase in credit risk management[12] - The Company recorded an increase in the allowance for credit losses of $359,000 upon the adoption of ASU 2016-13 on July 1, 2023[74] - The ACL for off-balance sheet credit exposures is recorded in other liabilities, representing expected losses in unfunded loan commitments[56] - The Company evaluates qualitative factors for ACL adjustments, including changes in lending policy and overall business conditions[55] Loans and Securities - Total loans receivable decreased from $475,524,000 on June 30, 2024, to $463,045,000 on March 31, 2025, reflecting a decline of approximately 2.8%[90] - The net loans receivable as of March 31, 2025, stood at $458,301,000 after accounting for an allowance for credit losses of $4,632,000[90] - Total securities available-for-sale as of March 31, 2025, had a fair value of $32,149,000, with gross unrealized losses of $2,638,000[77] - The total amortized cost of available-for-sale securities was $34,751,000, with a fair value of $32,149,000, resulting in unrealized losses of $2,602,000[80] Risk Management and Future Outlook - The company has plans for market expansion and new product development to enhance its competitive position in the industry[103] - Future outlook includes a focus on improving risk management strategies and enhancing customer engagement through technology[103] - The company is exploring potential mergers and acquisitions to drive growth and increase market share[103] Miscellaneous - The Company follows GAAP set by the FASB to ensure consistent reporting of financial condition and results of operations[29] - The financial statements are unaudited, indicating a need for further verification of the reported figures[106] - The Company follows the provisions of ASC 740 for income tax recognition and measurement[65]