Core Viewpoint - Home Federal Bancorp Of Louisiana reported strong financial results for Q2 2025, with significant increases in net income and earnings per share, driven by lower funding costs and improved non-interest income [1][2]. Financial Performance - Net income for Q2 2025 was $1.2 million, a 100% increase from $0.6 million in Q2 2024 [2]. - Diluted earnings per share rose to $0.38, reflecting an 81% increase from $0.21 a year earlier [2]. - Net interest income increased by 13% to $4.97 million compared to $4.4 million in the previous year [2]. - Non-interest income grew by 40% to $0.7 million, primarily due to a gain on the sale of loans and higher service charges [2][6]. - The net interest margin improved to 3.52%, up from 2.91% a year earlier, attributed to a decrease in funding costs [2][5]. Operational Developments - Average rate paid on interest-bearing deposits decreased to 2.48% from 2.98% year-over-year, contributing to the improved net interest margin [5]. - Operating expenses increased by 1.4%, mainly due to a one-time data processing cost, while other expenses declined [7]. - Non-performing assets rose to 0.54% of total assets, up from 0.31% a year earlier, with real estate owned increasing by 132% [8]. Balance Sheet and Capital Metrics - Total assets declined by 4.4% to $609.5 million, with net loans receivable falling by 2.1% [10]. - Total deposits decreased by 4.8%, although savings account balances increased by 24.8% [10]. - Stockholders' equity rose by 4.5% to $55.2 million, with book value per share reaching $17.66 [11]. Strategic Focus - The company focuses on managing funding costs, adjusting deposit mix, and maintaining credit quality, with local economic strength playing a significant role in performance [4][3]. Dividend and Capital Return - Total dividend payments for FY2025 were $1.6 million, with $1.1 million in share repurchases [13]. Future Outlook - Management did not provide formal guidance for future quarters, emphasizing the need to monitor asset quality, deposit trends, and competitive pressures in the local market [14].