Home Bancorp, Inc. · NASDAQ:HBCP
Home Bancorp — Q3 2022 Earnings Presentation
24 slides from Home Bancorp's earnings presentation, Nov 3, 2022
Slide 1: Home Bancorp, Inc. Q3 2022 Investor Presentation
Home Bancorp, Inc. Q3 2022 Investor Presentation
Slide 2: Forward-looking statements
Certain comments in this presentation contain certain forward looking statements (as defined in the Securities Exchange Act of 1934 and the regulations thereunder). Forward looking statements are not historical facts but instead represent only the beliefs, expectations or opinions of Home Bancorp, I
Slide 3: Our Company
Our Company Headquarters: Lafayette, LA Ticker: HBCP (NASDAQ Global) History: • Founded in 1908 • IPO completed October 2008 • Six acquisitions completed since 2010 • 43 locations across south LA, western MS and Houston Highlights: • Total Assets: $3.2 billion at September 30, 2022 • Market Cap: $35
Slide 4: Quarterly Financial Highlights
Quarterly Financial Highlights (dollars in thousands, except per share data) 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q 2022 Profitability Net income $ 11,396 $ 15,059 $ 10,238 $ 4,401 $ 8,461 $ 10,434 Diluted EPS 1.34 1.79 1.23 0.53 1.03 1.28 ROA 1.67 % 2.17 % 1.38 % 0.60 % 1.03 % 1.27 % ROE 13.7 1
Slide 5: Home Bank Total Assets and Acquisitions
H om e B an k To ta l A ss et s ($ in m ill io ns ) 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Sep-22 YTD 1,000 2,000 3,000 4,000 Asset Growth Acquired Bank Date Assets ($ in MM) (at completion) % of TBV (at announcement) # of Branches Consideration Statewide Bank March 2010 $1
Slide 6: Texan Bank Acquisition Update
Texan Bank Acquisition Update 6 Timeline • Announced – 12/15/2021 • Legal – 3/26/2022 • Conversion – 6/25/2022 101 days 91 days Consideration & Forecast Metrics • 100% cash - $67MM deal value • 3.5 year TBV payback • 14% accretive to EPS in year 1 ◦ > 20% thereafter • Projected 10% loan growth Acqui
Slide 7: Earnings: Net Income and Diluted EPS
($ in millions) $7.3 $9.9 $12.6 $16.0 $16.8 $31.6 $27.9 $24.8 $48.6 $23.3 Q1 Q2 Q3 Q4 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 $0 $10 $20 $30 $40 $50 $60 Net Income test $1.06 $1.42 $1.79 $2.25 $2.28 $3.40 $3.05 $2.85 $5.77 $2.84 Q1 Q2 Q3 Q4 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Slide 8: Profitability
Profitability 1.04 1.46 1.27 0.99 1.76 0.60 1.03 1.27% 1.58 1.86 1.61 1.50 1.36 1.14 1.46 1.75% GAAP Adjusted Pre-Tax Income 2017 2018 2019 2020 2021 1Q 2022 2Q 2022 3Q 2022 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 1.4% 1.6% 1.8% 2.0% Return on Average Assets 8.6 10.9 9.0 7.8 14.4 5.1 10.2 12.4 13.1 13.9
Slide 9: Loan Balance Outstanding
Lo an B al an ce O ut st an di ng ($ in m ill io ns ) Originated Acquired PPP Loans Originated growth % (annualized & excluding PPP) 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Sep- 22 YTD 0 500 1,000 1,500 2,000 2,500 Organic Loan Growth (excludes acquisition accounting &
Slide 10: Loan Portfolio Excluding PPP Loans
Loan Portfolio Excluding PPP Loans (as of September 30, 2022) CRE, 48% 1-4 Mortgage, 16% C&D, 14% C&I, 14% Multifamily, 4% Home Equity, 3% Consumer, 1% Composition Market Diversification Acadiana, 30% New Orleans, 28%Houston, 13% Northshore 11% Baton Rouge, 2% MS, 16% | 10 CRE Loan Portfolio • Owner
Slide 11: Changes in Allowance for Loan Losses
($ in m ill io ns ) $17.9 $4.6 $12.7 $(2.3) $(10.2) $(1.7) $1.4 $3.8 $1.7 $(0.7) $22.5 $33.0 $21.1 $27.3 Dec 2019 CECL Impact Day 1 ALL Provision Net Charge- offs Dec 2020 Provision (reversal) Net Charge- offs Dec 2021 Allowance for Texan Bank Acquired PCD Loans Provision for Texan Loan Portfolio Or
Slide 12: Credit Quality Trends
Credit Quality Trends 1.07 1.16 1.21 1.30 0.77 0.49 0.550.84 1.01 0.72 0.75 0.40 0.28 0.14 NPAs / Total Assets Originated NPAs / Total Assets 2016 2017 2018 2019 2020 2021 Sep-22 YTD 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 1.4% NPAs / Assets title 0.02 0.00 0.15 0.09 0.12 0.09 0.04 2016 2017 2018 2019 20
Slide 13: Deposits
Acadiana 54% New Orleans 15% Houston 11% Northshore 9% Mississippi, 7% Baton Rouge, 4% Deposits $ in m ill io ns 25% 25% 24% 28% 30% 34% 26% 27% 28% 29% 31% 25% 21% 20% 22% 17% 13% 13% 16% 17% 15% 15% 15% 16% 12% 11% 11% 11% 11% 12% Demand deposits NOW Certificates of deposit Money Market Savings Ba
Slide 14: Yields
Yields 3.82 4.11 4.14 3.75 4.16 3.53 3.39 3.76 4.11 3.96 4.06 3.88 3.71 3.64 3.29 3.31 3.73 4.11 NIM NIM Excl. PPP 3Q 2020 4Q 2020 1Q 2021 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q 2022 3.00% 3.50% 4.00% 4.50% NIM (TE)(1) 4.94 5.20 5.21 4.95 5.60 5.12 4.88 4.94 5.17 5.28 5.31 5.03 5.06 5.00 4.83 4.
Slide 15: Interest Rate Risk
Interest Rate Risk Rate Shock 1 Year % Change in NII -100 (3.3)% +100 0.9% +200 1.8% +300 2.5% % of assets 2019 2022Q3 Cash 2% 5% Investments 12% 16% Loans, excluding PPP 78% 72% Other Assets 8% 8% NMD - noninterest-bearing 20% 29% NMD - interest-bearing 45% 46% CDs 18% 11% Total Deposits 83% 86% Ad
Slide 16: Noninterest Income & Expense
Noninterest Income & Expense 0.68 0.62 0.62 0.62 0.57 0.54 0.44 2016 2017 2018 2019 2020 2021 Sep-22 YTD 0.40% 0.50% 0.60% 0.70% Noninterest Income(1) / Assets 2.98 2.79 2.83 2.87 2.53 2.41 2.47 2016 2017 2018 2019 2020 2021 Sep-22 YTD 2.00% 2.50% 3.00% 3.50% Noninterest Expense(1) / Assets (1) Excl
Slide 17: HBCP Stock Performance
| 17 Total Return (Daily %) - 3 Years Total Return (Monthly %) - Since 2008 HBCP Stock Performance (as of October 28, 2022) | 17 HBCP S&P US Banks Index ISTR BFST FGBI HWC 8/19 11/19 2/20 5/20 7/20 10/20 1/21 4/21 7/21 9/21 12/21 3/22 6/22 8/22 -100 -50 0 50 100 150 2008 2009 2010 2011 2012 2013 201
Slide 18: Capital
Capital $0.30 $0.41 $0.55 $0.71 $0.84 $0.88 $0.91 $0.69 Q1 Q2 Q3 Q4 2015 2016 2017 2018 2019 2020 2021 2022 $0.00 $0.25 $0.50 $0.75 $1.00 Dividends Per Share 11.2 9.7 9.8 8.7 9.3 9.8 15.3 15.2 15.9 12.3 13.7 13.7 Tier 1 leverage capital Total risk-based capital 2019 2020 2021 1Q 2022 2Q 2022 3Q 2022
Slide 19: Investment Perspective
Investment Perspective Strong earnings and shareholder returns Conservative, well-managed credit culture Well capitalized with capacity for continued growth Market disruption creates new opportunities Disciplined acquirer Insider owners committed to continual improvement | 19
Slide 20: We are one team, creating exceptional customer experiences
WE ARE ONE TEAM, CREATING EXCEPTIONAL CUSTOMER EXPERIENCES | 20
Slide 21: (dollars in thousands, except per share data) 2Q 2021 3Q 1 4Q 2021 1Q
(dollars in thousands, except per share data) 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q 2022 Total shareholders' equity $ 337,812 $ 344,149 $ 351,903 $ 337,504 $ 329,124 $ 316,656 Less: intangible assets 62,520 62,229 61,949 87,569 88,309 87,839 Non-GAAP tangible shareholders' equity $ 275,292 $ 28
Slide 22: (dollars in thousands) 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 22 3Q
(dollars in thousands) 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q 2022 Reported net income $ 11,396 $ 15,059 $ 10,238 $ 4,401 $ 8,461 $ 10,434 Less: PPP loan income 2,372 4,742 2,201 799 402 132 Less: BOLI benefitt — 1,717 — — — — Less: gain (loss) on sale of assets (457) (3) (44) 5 (6) 18 Less: loa
Slide 23: Appendix (non-GAAP reconciliation)
Appendix (non-GAAP reconciliation) (dollars in thousands) 2017 2018 2019 2020 2021 Sep-22 YTD Total shareholders' equity $ 277,871 $ 304,040 $ 316,329 $ 321,842 $ 351,903 $ 316,656 Less: intangible assets 68,033 66,055 64,472 63,112 61,949 87,839 Non-GAAP tangible shareholders' equity $ 209,838 $ 23
Slide 24: (dollars in thousands) Sep-22 YTD Reported noninterest income $ 9,962 $ 13,447 $ 14,415
(dollars in thousands) 2017 2018 2019 2020 2021 Sep-22 YTD Reported noninterest income $ 9,962 $ 13,447 $ 14,415 $ 14,305 $ 16,271 $ 10,546 Less: BOLI benefit — — 1,194 — 1,717 — Less: gain (loss) on sale of assets (69) — (347) — (504) — Non-GAAP noninterest income $ 10,031 $ 13,447 $ 13,568 $ 14,30