Home Bancorp, Inc. · NASDAQ:HBCP
Home Bancorp — Q1 2023 Earnings Presentation
23 slides from Home Bancorp's earnings presentation, May 8, 2023
Slide 1: Home Bancorp, Inc. Q1 2023 Investor Presentation
Home Bancorp, Inc. Q1 2023 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: $3.3 billion at March 31, 2023 • Market Cap: $254 mi
Slide 4: Quarterly Financial Highlights
Quarterly Financial Highlights (dollars in thousands, except per share data) 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 1Q 2023 Profitability Net income $ 10,238 $ 4,401 $ 8,461 $ 10,434 $ 10,776 $ 11,320 Diluted EPS 1.23 0.53 1.03 1.28 1.32 1.39 ROA 1.38 % 0.60 % 1.03 % 1.27 % 1.35 % 1.43 % ROE 11.7 5
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 ) 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Mar-23 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 $1
Slide 6: Net Income and Diluted EPS
($ in millions) $9.9 $12.6 $16.0 $16.8 $31.6 $27.9 $24.8 $48.6 $34.1 $11.3 Q1 Q2 Q3 Q4 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 $0 $10 $20 $30 $40 $50 $60 Net Income test $1.42 $1.79 $2.25 $2.28 $3.40 $3.05 $2.85 $5.77 $4.16 $1.39 Q1 Q2 Q3 Q4 2014 2015 2016 2017 2018 2019 2020 2021 2022 202
Slide 7: Profitability
Profitability 1.46 1.27 0.99 1.76 1.07 1.43 1.53 1.32 1.12 1.04 1.25 1.46 GAAP Core pre-provision earnings 2018 2019 2020 2021 2022 1Q 2023 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 1.4% 1.6% 1.8% 2.0% Return on Average Assets 10.9 9.0 7.8 14.4 10.2 13.5 11.4 9.3 8.9 8.5 11.8 13.8 GAAP Core pre-provision e
Slide 8: Loan Balance Outstanding
Lo an B al an ce O ut st an di ng ($ 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 2022 Mar- 23 YTD — 500 1,000 1,500 2,000 2,500 3,000 Organic Loan Growth (excludes acquisition ac
Slide 9: Loan Portfolio Excluding PPP Loans
Loan Portfolio Excluding PPP Loans (as of March 31, 2023) CRE, 48% 1-4 Mortgage, 16% C&I, 15% C&D, 13% Multifamily, 4% Home Equity, 3% Consumer, 1% Composition Market Diversification Acadiana, 30% New Orleans, 28% Houston, 16% Northshore 13% Baton Rouge, 11% MS, 2% | 9 CRE Loan Portfolio • Owner Occ
Slide 10: Changes in allowance for loan losses
($ in m ill io ns ) $33.0 $(10.2) $(1.7) $1.4 $3.8 $3.7 $(0.7) $0.8 $— $21.1 $29.3 $30.1 Dec 2020 Provision (reversal) Net Charge- offs Dec 2021 Allowance for Texan Bank Acquired PCD Loans Provision for Texan Loan Portfolio Organic Provision Net Charge- offs 12/22 Provision Net Charge- offs Mar 2023
Slide 11: Credit Quality Trends
Credit Quality Trends 1.16 1.21 1.30 0.77 0.49 0.34 0.35 1.01 0.72 0.75 0.40 0.28 0.14 0.17 NPAs / Total Assets Originated NPAs / Total Assets 2017 2018 2019 2020 2021 2022 Mar-23 YTD 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 1.4% 1.6% NPAs / Assets title 0.00 0.15 0.09 0.12 0.09 0.03 0.00 2017 2018 2019 2
Slide 12: Deposits
Acadiana 54% New Orleans 15% Houston 10% Northshore 10% Mississippi, 7% Baton Rouge, 4% Deposits $ in m ill io ns 25% 24% 28% 30% 34% 33% 27% 28% 29% 31% 25% 26% 20% 22% 17% 13% 13% 15% 17% 15% 15% 15% 16% 15% 11% 11% 11% 11% 12% 11% Demand deposits NOW Certificates of deposit Money Market Savings B
Slide 13: Yields and net interest margin
Yields 4.14 3.75 4.16 3.53 3.39 3.76 4.11 4.38 4.18 3.88 3.71 3.64 3.29 3.31 3.73 4.39 4.19 NIM NIM Excl. PPP 1Q 2021 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 1Q 2023 3.00% 3.50% 4.00% 4.50% NIM (TE)(1) 5.21 4.95 5.60 5.12 4.88 4.94 5.17 5.43 5.67 5.03 5.06 5.00 4.83 4.79 4.91 5.17 5.
Slide 14: Interest Rate Risk
Interest Rate Risk Rate Shock 1 Year % Change in NII -100 (1.9)% +100 1.2% +200 2.3% +300 3.3% % of assets 2019 2023Q1 Cash 2% 3% Investments 12% 14% Loans, excluding PPP 78% 75% Other Assets 8% 8% NMD - noninterest-bearing 20% 26% NMD - interest-bearing 45% 41% CDs 18% 11% Total Deposits 83% 78% Ad
Slide 15: Noninterest Income & Expense
Noninterest Income & Expense 0.62 0.62 0.62 0.57 0.54 0.44 0.45 2017 2018 2019 2020 2021 2022 Mar-23 YTD 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% Noninterest Income(1) / Assets 2.79 2.83 2.87 2.53 2.41 2.51 2.60 2017 2018 2019 2020 2021 2022 Mar-23 YTD 2.00% 2.50% 3.00% 3.50% Noninterest Expense(1) / Ass
Slide 16: HBCP Stock Performance
| 16 Total Return (Daily %) - YTD Total Return (Monthly %) - Since 2008 HBCP Stock Performance (as of May 1, 2023) | 16 HBCP S&P US Banks Index ISTR BFST FGBI HWC 12/22 1/23 2/23 3/23 4/23 -50 -25 0 25 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 -200 0 200 400
Slide 17: Capital
Capital $0.41 $0.55 $0.71 $0.84 $0.88 $0.91 $0.93 $0.25 Q1 Q2 Q3 Q4 2016 2017 2018 2019 2020 2021 2022 2023 $0.00 $0.25 $0.50 $0.75 $1.00 Dividends Per Share 9.7 9.8 10.4 10.7 15.2 15.9 13.6 14.0 Tier 1 leverage capital Total risk-based capital 2020 2021 2022 1Q 2023 0% 5% 10% 15% 20% Capital Ratios
Slide 18: 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 | 18
Slide 19: We are one team, creating exceptional customer experiences
WE ARE ONE TEAM, CREATING EXCEPTIONAL CUSTOMER EXPERIENCES | 19
Slide 20: (dollars in thousands, except per share data) 4Q 2021 1Q 2 2Q 2022 3Q
(dollars in thousands, except per share data) 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 1Q 2023 Total shareholders' equity $ 351,903 $ 337,504 $ 329,124 $ 316,656 $ 329,954 $ 345,100 Less: intangible assets 61,949 87,569 88,309 87,839 87,973 87,527 Non-GAAP tangible shareholders' equity $ 289,954 $ 24
Slide 21: (dollars in thousands) 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 22 1Q
(dollars in thousands) 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 1Q 2023 Reported net income $ 10,238 $ 4,401 $ 8,461 $ 10,434 $ 10,776 $ 11,320 Less: PPP loan income 2,201 799 402 132 26 26 Less: BOLI benefitt — — — — — — Less: gain (loss) on sale of assets (44) 5 (6) 18 9 (17) Less: loan discount ac
Slide 22: Appendix (non-GAAP reconciliation)
Appendix (non-GAAP reconciliation) (dollars in thousands) 2018 2019 2020 2021 2022 Mar-23 YTD Total shareholders' equity $ 304,040 $ 316,329 $ 321,842 $ 351,903 $ 329,954 $ 345,100 Less: intangible assets 66,055 64,472 63,112 61,949 87,973 87,527 Non-GAAP tangible shareholders' equity $ 237,985 $ 25
Slide 23: (dollars in thousands) Mar-23 YTD Reported noninterest income $ 13,447 $ 14,415 $ 14,305
(dollars in thousands) 2018 2019 2020 2021 2022 Mar-23 YTD Reported noninterest income $ 13,447 $ 14,415 $ 14,305 $ 16,271 $ 13,885 $ 3,311 Less: BOLI benefit — 1,194 — 1,717 — — Less: gain (loss) on sale of securities — — — — — (249) Less: gain (loss) on sale of assets — (347) — (504) 26 (17) Non-G