Horizon Bancorp, Inc. · NASDAQ:HBNC
Horizon Bancorp — Q2 2025 Earnings Presentation
22 slides from Horizon Bancorp's earnings presentation, Jul 23, 2025
Slide 1: Beyond ordinary banking Investor Presentation
Beyond ordinary banking Investor Presentation H o r i z o n B a n c o r p , I n c . ( N A S D A Q : H B N C ) S e c o n d Q u a r t e r E n d e d J u n e 3 0 , 2 0 2 5 J u l y 2 4 , 2 0 2 5
Slide 2: Important Information: Forward-Looking Statements
Important Information Forward-Looking Statements This press release may contain forward–looking statements regarding the financial performance, business prospects, growth and operating strategies of Horizon Bancorp, Inc. and its affiliates (collectively, “Horizon”). For these statements, Horizon cla
Slide 3: Second Quarter 2025 Highlights & Developments
Second Quarter 2025 * Net Fully-Taxable Equivalent Interest Margin is a Non-GAAP measure. Please see appendix for reconciliations of non-GAAP information to its most comparable GAAP measures 3 H I G H L I G H T S & D E V E L O P M E N T S • Key profitability metrics continue positive momentum with n
Slide 4: Strategically Focused Loan Growth
Strategically Focused Loan Growth Data as of most-recent quarter (MRQ) end unless stated otherwise. *Total Gross Loans Held for Investment (HFI), excludes Loans Held for Sale (HFS) 4 18% 16% 66% Consumer Residential Commercial H I G H L I G H T S & D E V E L O P M E N T S • Commercial Real Estate &
Slide 5: Diversified Commercial Portfolio
Diversified Commercial Portfolio * The sum of Construction & Land Development Loans, Multifamily Property Loans, Non-Owner- Occupied Non-Farm Non-Residential Property Loans and loans to finance CRE not secured by Real Estate divided by Tier 1 Capital plus Allowance, as of March 31, 2025 ** UBPR Peer
Slide 6: Prime Consumer & Residential Lending
Prime Consumer & Residential Lending H I G H L I G H T S & D E V E L O P M E N T S • Direct Consumer and Mortgage portfolios relatively flat • Indirect Auto declined $34MM from planned run-off • Home Lending portfolios composed of higher quality borrowers, significant capacity to pay and low LTV 6Da
Slide 7: Strong Asset Quality Metrics
Strong Asset Quality Metrics 7 *Includes all substandard loans and commercial and consumer non performing loans $m ill io ns Substandard Loans* (period end) $51.2 $59.8 $64.5 $66.7 $64.1 1.06% 1.24% 1.33% 1.36% 1.29% Substandard Loans Substandard Loans / Loans HFI 2Q24 3Q24 4Q24 1Q25 2Q25 $m illi on
Slide 8: Relationship Based Core Deposits
Data as of period end unless stated otherwise Relationship Based Core Deposits 8 H I G H L I G H T S & D E V E L O P M E N T S • Consumer and Commercial Deposits o Positive momentum in core relationships and balances o Treasury management team investments making a positive impact • Public Deposits o
Slide 9: Net Interest Margin Expansion
Net Interest Margin Expansion * Net Fully-Taxable Equivalent Interest Margin is a Non-GAAP measure. ** Commercial lending fees recognized in interest income. H I G H L I G H T S & D E V E L O P M E N T S • 2Q25 NIM* expansion driven by a combination of a more favorable earning asset mix, an increase
Slide 10: Investment Securities Detail
H I G H L I G H T S & D E V E L O P M E N T S • No new investments in the quarter • High credit quality Treasuries, Agencies, Municipals and Mortgage-Backed Securities * The Company adjusts average rates for tax-exempt securities to an FTE basis utilizing a 21% tax rate. 10 Investment Securities Det
Slide 11: Non-Interest Income
H I G H L I G H T S & D E V E L O P M E N T S • 1Q25 results include a $7.0MM gain from the sale of the mortgage warehouse business and a $0.4MM loss on the sale of a single investment security. • Well diversified income stream aligned with core community banking model • Mortgage revenue benefiting
Slide 12: Non-Interest Expense
Non-Interest Expense 12 Data as of MRQ unless stated otherwise. H I G H L I G H T S & D E V E L O P M E N T S • Non-interest expense was nearly flat linked quarter and remains a top priority for management. o Increases in salaries and benefits and loan expenses of $0.3MM and $0.5MM, respectively, of
Slide 13: Strong Capital Position
Strong Capital Position * The tangible common equity to tangible common assets (TCE/TA) ratio and tangible book value per share (TBVPS) are non-GAAP measures. Please see appendix for reconciliations of non-GAAP information to its most comparable GAAP measures. ** Preliminary estimate – may be subjec
Slide 14: Full-Year 2025 Guidance Summary
Full-Year 2025 Guidance Summary Loans (HFI) • Period-end total loans HFI to grow mid-single-digits • Growth primarily in higher-yielding commercial loans; partially funded by continued planned runoff in indirect auto loans of ~$125MM for the year Deposits & Funding • Period-end total deposit balance
Slide 15: On The Horizon: Positive Momentum Across the Franchise
On The Horizon P o s i t i v e M o m e n t u m A c r o s s t h e F r a n c h i s e Constant, High Quality Loan Growth Positive loan momentum driven by a well- diversified Commercial portfolio Reinvesting lower yielding Consumer Loans into more profitable core relationships A proven history of excell
Slide 16: Appendix
Appendix HORIZON: BANK
Slide 17: Diverse Commercial Lending Portfolio
Diverse Commercial Lending Portfolio S T R O N G A N D T R A D I T I O N A L C O M M E R C I A L L E N D I N G • Multi-family represents 5.9% of loans o No major metros outside Indiana and Michigan, other than Columbus, OH o Zero rent regulated/stabilized originated or in portfolio o $1.9MM average
Slide 18: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures Certain information set forth in this press release refers to financial measures determined by methods other than in accordance with GAAP. Specifically, we have included non-GAAP financial measures relating to net income, diluted earnings per share, pre-tax, pre- p
Slide 19: Non-GAAP Reconciliation: Net Interest Margin
Non-GAAP Reconciliation 19 Three Months Ended June 30, 2025 March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 Interest income (GAAP) (A) $ 91,477 $ 89,175 $ 93,350 $ 90,888 $ 86,981 Taxable-equivalent adjustment: Investment securities - tax exempt (1) 1,619 1,646 1,675 1,677 1,695 Lo
Slide 20: Non-GAAP Reconciliation: Tangible Common Equity to Tangible Assets
Non-GAAP Reconciliation 20 Three Months Ended June 30, March 31, December 31, September 30, June 30, 2025 2025 2024 2024 2024 Total stockholders' equity (GAAP) (A) $ 790,852 $ 776,061 $ 763,582 $ 754,822 $ 726,665 Intangible assets (end of period) (B) 163,802 164,618 165,434 166,278 167,121 Total ta
Slide 21: Non-GAAP Reconciliation: Tangible Book Value Per Share
Non-GAAP Reconciliation 21 Three Months Ended June 30, March 31, December 31, September 30, June 30, 2025 2025 2024 2024 2024 Total stockholders' equity (GAAP) (A) $ 790,852 $ 776,061 $ 763,582 $ 754,822 $ 726,665 Intangible assets (end of period) (B) 163,802 164,618 165,434 166,278 167,121 Total ta
Slide 22: Thank you
Thank you John R. Stewart, CFA® Executive Vice President & Chief Financial Officer 515 Franklin Street, Michigan City, IN 46360 219-814-5833 Investor.HorizonBank.com