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 Viewpoint - Home BancShares, Inc. reported strong quarterly earnings for Q4 2024, achieving a net income of $100.6 million, marking a successful end to the year with total earnings surpassing $400 million for the first time. The company highlighted improvements in margin, legacy loans, deposits, revenue, and earnings, alongside a proactive asset quality cleanup [3][5]. Financial Performance - Net income for Q4 2024 was $100.6 million, or $0.51 diluted earnings per share, with adjusted net income at $99.8 million and $0.50 per share [5]. - Total revenue for Q4 2024 reached $258.4 million, an increase from $258.0 million in Q3 2024 [2]. - The net interest margin (NIM) improved to 4.39% in Q4 2024, up from 4.28% in Q3 2024 [8]. - Return on assets (ROA) was reported at 1.77% for Q4 2024, compared to 1.74% in Q3 2024 [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, slightly down from 0.68% in the previous quarter [17]. - The allowance for credit losses on loans was $275.9 million, or 1.87% of total loans, a decrease from 2.11% in the prior quarter [19]. Capital and Equity - Stockholders' equity increased to $3.96 billion at December 31, 2024, primarily due to a $61.8 million rise in retained earnings [21]. - Common equity tier 1 capital stood at 15.1%, reflecting a solid capital position [2]. Operational Highlights - Total loans receivable were $14.76 billion at the end of Q4 2024, down from $14.82 billion in Q3 2024, while total deposits increased to $17.15 billion [15]. - Non-interest income for Q4 2024 was $41.2 million, with significant contributions from service charges and fees [12]. - Non-interest expense totaled $112.2 million, with salaries and employee benefits being the largest component [13]. 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].