Hilltop Holdings (HTH) Gains on Q2 Earnings Beat, Lower Expenses

Core Viewpoint - Hilltop Holdings Inc. reported better-than-expected second-quarter 2024 results, with earnings per share of 31 cents, surpassing the Zacks Consensus Estimate of 24 cents, and a year-over-year improvement of 10.7% [1] Financial Performance - Net income attributable to common stockholders was $20.3 million, reflecting a 12.1% increase year over year, exceeding the estimate of $15.1 million [3] - Net revenues totaled $297 million, down 3.9% year over year, but above the Zacks Consensus Estimate of $279.8 million [4] - Non-interest income increased by 1.4% year over year to $193.3 million, driven by gains from loan sales and advisory fees, surpassing the projected $174 million [5] - Net interest income (NII) declined 12.4% year over year to $103.7 million, slightly below the estimate of $103.9 million [7] Margins and Ratios - The net interest margin (NIM) was 2.92%, down 11 basis points year over year, while the expected NIM was 2.72% [2] - Return on average assets improved to 0.59% from 0.47% in the prior year, and return on average stockholders' equity rose to 3.84% from 3.53% [8] Shareholder Actions - The company repurchased 0.32 million shares for $9.9 million at an average price of $30.98 per share [9] Expense Management - Non-interest expenses decreased by 3.9% year over year to $256.5 million, slightly above the projected $255.5 million [14] - Provision for credit losses was recorded at $10.9 million, down 26.3% from the prior-year quarter [15]