HOMB Run in ‘24. Company Completes Texas Loan Cleanup and Cleans the Asset Bases for ‘25, While Hitting New Records of $1 Billion in Revenue and $400 Million in Earnings

Core Insights - Home BancShares, Inc. reported a strong fourth quarter for 2024, achieving a net income of $100.6 million, marking a significant increase from $86.2 million in Q4 2023, and reaching a total of $400 million in earnings for the year [2][3][5]. Financial Performance - Net income for Q4 2024 was $100.6 million, or $0.51 diluted earnings per share, compared to $100.0 million in Q3 2024 and $86.2 million in Q4 2023 [2][5]. - Total revenue for Q4 2024 was $258.4 million, slightly up from $258.0 million in Q3 2024 and $245.6 million in Q4 2023 [2]. - The company recorded a pre-tax net income to total revenue ratio of 50.11% in Q4 2024, an increase from 45.92% in Q4 2023 [2]. Asset Quality and Credit Losses - The company recorded an additional $16.7 million in credit loss expense due to Hurricanes Helene and Milton, bringing the total hurricane reserve to $33.4 million [6][7]. - Non-performing loans to total loans were 0.67% as of December 31, 2024, compared to 0.68% at the end of Q3 2024 [17]. Capital and Leverage - Common equity tier 1 capital stood at 15.1% as of December 31, 2024, up from 14.2% in Q4 2023 [2]. - The allowance for credit losses on loans was $275.9 million, or 1.87% of total loans, down from 2.11% in Q3 2024 [19]. Interest Income and Margin - The net interest margin for Q4 2024 was 4.39%, an increase from 4.28% in Q3 2024 [8]. - Net interest income on a fully taxable equivalent basis was $219.5 million for Q4 2024, up from $217.8 million in Q3 2024 [11]. Non-Interest Income and Expenses - Non-interest income for Q4 2024 was $41.2 million, with significant contributions from service charges and fees [12]. - Non-interest expenses totaled $112.2 million, with salaries and employee benefits being the largest component at $60.8 million [13]. Financial Condition - Total loans receivable were $14.76 billion as of December 31, 2024, down from $14.82 billion in Q3 2024 [15]. - Total deposits increased to $17.15 billion at the end of Q4 2024, compared to $16.71 billion in Q3 2024 [15]. Branch Network - The company operates 76 branches in Arkansas, 78 in Florida, 58 in Texas, 5 in Alabama, and one in New York City [23].