Home Federal Bancorp(HFBL) - 2026 Q2 - Quarterly Report

Financial Performance - Net income for the six months ended December 31, 2025, was $3,274,000, a significant increase of 66.83% from $1,961,000 in the same period of 2024[10]. - Basic earnings per share for the three months ended December 31, 2025, was $0.55, up from $0.33 in the same period of 2024, reflecting a growth of 66.67%[10]. - Net interest income for the three months ended December 31, 2025, was $5,377,000, an increase of 16.83% compared to $4,600,000 for the same period in 2024[10]. - Total comprehensive income for the six months ended December 31, 2025, was $3,825,000, compared to $1,951,000 for the same period in 2024, reflecting a 96.1% increase[12]. - Net income for the three months ended December 31, 2025, was $1,675,000, a 64.3% increase from $1,020,000 in the same period of 2024[12]. Assets and Liabilities - Total assets increased to $621,449,000 as of December 31, 2025, up from $609,492,000 on June 30, 2025, representing a growth of 1.57%[8]. - Total liabilities decreased slightly to $563,700,000 as of December 31, 2025, from $554,287,000 on June 30, 2025, a decrease of 1.32%[8]. - Total stockholders' equity as of December 31, 2025, was $57,749,000, up from $53,933,000 as of December 31, 2024, reflecting a growth of approximately 7%[17]. Deposits - Total deposits rose to $554,877,000 as of December 31, 2025, compared to $546,290,000 on June 30, 2025, marking an increase of 1.08%[8]. - The company reported a net increase in deposits of $8,587,000 for the six months ended December 31, 2025, compared to a net decrease of $27,463,000 in the same period of 2024[22]. - Non-interest bearing deposits rose to $127,846 thousand from $122,416 thousand, marking an increase of about 3.5%[91]. - Certificates of deposit increased to $198,691 thousand from $187,357 thousand, showing a growth of approximately 6.9%[91]. Loans and Credit Quality - Total loans receivable as of December 31, 2025, amounted to $476,085,000, an increase from $465,593,000 as of June 30, 2025, representing a growth of approximately 1.06%[71]. - The company classifies loans into risk categories, with a focus on monitoring substandard and special mention loans quarterly to assess credit quality[72]. - The total risk rating for all loans combined was $125,436,000 in 2025, a significant increase from $67,621,000 in 2024, reflecting a growth of approximately 85.5%[82]. - The allowance for credit losses decreased to $4,442,000 as of December 31, 2025, from $4,484,000 at June 30, 2025, reflecting a reduction of approximately 0.9%[86]. - The company reported no current period gross charge-offs for the residential and commercial loan segments[81]. Non-Interest Income - Non-interest income for the six months ended December 31, 2025, totaled $1,288,000, an increase of 63.64% compared to $788,000 for the same period in 2024[10]. - The company reported a gain on the sale of loans of $(276,000) for the six months ended December 31, 2025, compared to $(101,000) in the same period of 2024[20]. Cash Flow and Dividends - Net cash provided by operating activities for the six months ended December 31, 2025, was $5,631,000, compared to $3,461,000 for the same period in 2024, representing a 63% increase[20]. - The company paid dividends totaling $833,000 in the six months ended December 31, 2025, slightly higher than $816,000 in the same period of 2024[22]. - Cash and cash equivalents at the end of the period increased to $19,268,000 from $19,540,000, indicating a slight decrease of 1.4%[22]. Securities - The total amortized cost of securities available for sale was $40.197 million, with a fair value of $38.446 million, reflecting unrealized losses of $1.936 million[65]. - The total amortized cost of securities held to maturity was $58.238 million, with a fair value of $49.671 million, indicating unrealized losses of $8.567 million[66]. - The company reported gross unrealized losses on securities available for sale of $4.100 million for those held less than twelve months as of December 31, 2025[68]. Tax and Compliance - The Company follows GAAP as set by the FASB to ensure consistent reporting of financial condition and results[25]. - The Company accounts for income taxes using the asset and liability method, with deferred tax assets and liabilities recorded based on differences between tax basis and carrying amounts[57].