Home Bancorp, Inc. · NASDAQ:HBCP
Home Bancorp — Q4 2024 Earnings Presentation
30 slides from Home Bancorp's earnings presentation, Jan 28, 2025
Slide 1: Q4 2024 Earnings Conference Call
Q4 2024 Earnings Conference Call
Slide 2: Forward-Looking Statements
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
Slide 3: Our Company
Our Company Headquarters: Lafayette, LA Ticker: HBCP (NASDAQ) History: • Founded in 1908 • IPO completed October 2008 • Six acquisitions completed since 2010 • 43 locations across Southern Louisiana, Western Mississippi and Houston Total Assets Highlights: $3.4B • Total Assets: $3.4 billion at Decem
Slide 4: Our Markets
Our Markets eta LAFAYETTE Greater Acadiana Region TOTAL BRANCHES: 13 BATON ROUGE TOTAL BRANCHES: 4 NORTHSHORE HOUSTON TOTAL BRANCHES: 5 COMMERCIAL BANKING OFFICE: 1 NATCHEZ TOTAL BRANCHES: 3 NEW ORLEANS TOTAL BRANCHES: 6 NEW ORLEANS 9 we NORTHSHORE TOTAL BRANCHES: 6 SOUTHWEST ACADIANA TOTAL BRANCHES
Slide 5: Quarterly Financial Highlights
Quarterly Financial Highlights (dollars in thousands, except per share data) 3Q 2023 4Q 2023 1Q 2024 2Q 2024 3Q 2024 4Q 2024 Profitability Net income $ 9,754 $ 9,385 $ 9,199 $ 8,118 $ 9,437 $ 9,673 Diluted EPS 1.22 1.17 1.14 1.02 1.18 1.21 Net interest income 29,509 29,282 28,901 29,393 30,382 31,58
Slide 6: Asset Growth
Asset Growth 4,000 Texan Bank - CAGR = 12.4% $416 MM as of December 31, 3,500 2024 St. Martin Bank & Trust - $597 MM 3,000 Bank of New Orleans - Home Bank Total Assets ($ in millions) $346 MM 2,500 Britton & Koontz Bank - $301 MM Guaranty 2,000 Savings Bank - $257 MM Statewide 1,500 Bank - $199 MM 1
Slide 7: Profitability
(1) Profitability Return on Average Assets Return on Average Equity 2.0% 16.0% 1.8% 14.0% 1.6% 11.8 11.9 1.32 12.0% 1.4% 1.25 1.27 9.9 1.12 1.12 10.0% 9.3 8.9 1.2% 1.04 8.5 1.0% 8.0% 1.76 14.4 0.8% 6.0% 11.6 0.6% 1.27 1.23 10.2 9.6 1.07 1.08 4.0% 9.0 0.99 7.8 0.4% 0.2% 2.0% 0.0% 0.0% 2019 2020 2021
Slide 8: Loan Portfolio
Loan Portfolio (as of December 31, 2024) Composition Market Diversification Home Equity, 3% Consumer, 1% MS, 2% Multifamily, 7% Baton Rouge, 10% C&D, 13% CRE O.O., 26% Acadiana, 28% Northshore 13% C&I, 15% 1-4 Mortgage, 18% Houston, 19% New Orleans, 28% CRE N.O.O., 17% • Total loans - $2.7 billion •
Slide 9: OO CRE Portfolio
OO CRE Portfolio (as of December 31, 2024) Average Rate Fixed Rate % % of % of Total OO Avg Loan Criticized 5.4% 75% dollars in thousands Balances Loans CRE Size Balances Convenience Store $ 133,988 5% 19 % $ 1,381 $ — Office 99,132 4 14 453 — Warehouse Or Industrial 96,148 4 14 572 4,427 Nonaccrual
Slide 10: NOO CRE Portfolio, including Multifamily
NOO CRE Portfolio, including Multifamily (as of December 31, 2024) % of % of Average Rate Fixed Rate % Total NOO Avg Loan Criticized dollars in thousands Balances Loans CRE Size Balances 5.68% 76% Multifamily $ 178,568 7% 28 % $ 1,275 $ 930 Retail Multi-tenant 130,378 5 21 1,552 453 Multi Use Facili
Slide 11: CRE Non-Medical Office Exposure
CRE Non-Medical Office Exposure (as of December 31, 2024) NOO Office Exposure Average Rate Average NOO 5.3% Remaining Criticized dollars in thousands Balances % of Total Loans Avg Loan Size Balances Maturity OO 5.5% Baton Rouge $ 26,984 1.0 % $ 1,227 $ — NOO 6.1 yrs Houston 22,259 0.8 2,024 — Norths
Slide 12: Commercial & Industrial
Commercial & Industrial (as of December 31, 2024) LOC Utilization Nonaccrual % of Avg Loan Criticized dollars in thousands Balances % of C&I Loans Size Balances Rate Balance Professional Services $ 55,105 13.2 % 2.0 % $ 123 $ 44 50% $1.3 million Finance and Insurance 55,268 13.2 % 2.0 825 1,344 Reta
Slide 13: C&D Portfolio
C&D Portfolio Composition (as of December 31, 2024) 1-4 Family Total Average Construction, 16% Balance Balance $352.3 million $553,000 Commercial Lots, Construction, 56% Development and 0.5% $782K Unimproved Land, 28% on Nonaccrual net charge-offs or $1.6 million since 2009 Historic Charge-off (Reco
Slide 14: Changes in ALL
Changes in ALL 2021 2022 2023 2024 40 $2.4 $2.3 $3.7 30 $3.8 $(1.0) $(0.1) ($ in millions) $(0.7) $1.4 20 $31.5 $32.9 $29.3 10 $21.1 0 Dec 2021 Allowance Provision Organic Net Dec 2022 Organic Net Dec 2023 Organic Net Dec 2024 for Texan for Texan Provision Charge- Provision Charge- Provision Charge-
Slide 15: Credit Quality Trends
Credit Quality Trends NPAs / Assets ALL / NPAs 1.6% 350% 1.4% 1.30 300% 1.21 1.2% 267 304 250% 1.0% 200% 211 0.77 165 0.8% 150% 0.6% 0.72 0.75 0.49 0.45 146 0.4% 0.34 0.31 100% 0.40 50% 0.2% 0.32 0.28 63 63 0.0% 0.20 0.14 0% 2018 2019 2020 2021 2022 2023 2024 2018 2019 2020 2021 2022 2023 2024 NPAs
Slide 16: Investment Portfolio
Investment Portfolio 11.7% 2.4% of total assets Q4 yield (dollars in millions) Book Value Gain/(loss) Eff. Duration $41.0 million 99.7% MBS $195 $(23) 4.7 unrealized loss ~ AFS Agency CMBS 153 (8) 2.5 9.2% of book value Muni 55 (8) 6.0 CMO 17 (1) 3.6 Agency 18 (1) 2.7 $8.8 million $9.1 million Corp
Slide 17: Deposits
Deposits (as of December 31, 2024) 26% Non-interest bearing 3,000 11% 11% 11% 12% 9% 8% deposit composition 15% 15% 15% 15% 17% 16% 2,500 13% $33,698 22% 17% 13% 24% $ in millions 26% Average deposit size 31% 25% 29% 24% 28% 23% 2,000 4% 28% 30% 34% 28% 24% 26% YTD 2024 growth rate 1,500 2019 2020 2
Slide 18: Deposits
Deposits (as of December 31, 2024) Uninsured Deposits(1) Retail Business Public Broker Total FDIC Insured 45% 17% —% —% 62% Approximately $656 million or 24% of total deposits Uninsured (1) 8 16 — — 24 Reciprocal — 4 — — 4 Public Funds — — 7 — 7 Coverage of Brokered Deposits — — — 3 3 Uninsured Depo
Slide 19: Yields
Yields NIM (TE) Quarter Month 4.60% NIM 1.94% 4.40% 4.18 3.82% Cost of total deposits for 4.20% the quarter ended for the quarter ended 4.00% 3.94 3.82 * 3.91 * December 2024 December 2024 3.75 3.77 3.79 3.80% 3.69 3.64 3.66 3.71 3.83 3.80 3.60% $135 million borrowing under Federal Reserve 3.40% BTF
Slide 20: Interest Rate Risk
Interest Rate Risk Liability Betas Forecasted Change in NII 5.00% Rate Shock 1 Year % Change in NII 4.00% 200 (1.8)% 3.00% 100 (0.8)% 2.00% (100) 0.1% 1.00% (200) (0.2)% —% Q2- Q4- Q2- Q4- Q2- Q4- Q3- Q4- Q2- Q4- Q2- Q4- Q1- Q2- Q4- Q2- Q4- Q1- Q2- Q3- Q4- 16 16 17 17 18 18 19 19 20 20 21 21 22 22 2
Slide 21: Noninterest Income & Expense
Noninterest Income & Expense Noninterest Income(1) / Assets 4Q 1Q 2Q 3Q 4Q (dollars in thousands) 0.65% 2023 2024 2024 2024 2024 0.62 0.62 Service fees and charges $ 1,235 $ 1,254 $ 1,239 $ 1,291 $ 1,334 0.60% 0.57 Bank card fees 1,646 1,575 1,751 1,613 1,586 0.54 0.55% Gain on sale of loans 46 87 1
Slide 22: Capital
Capital Dividends Per Share Share Repurchase Activity 1.50 Average *payable in February 2025 Year # Shares Price Cash Utilized 1.00 1.01 2019 419,498 36.82 15,444,895 1.00 0.91 0.93 0.84 0.88 2020 530,504 26.41 14,011,605 2021 246,012 36.18 8,900,409 0.50 2022 288,350 39.30 11,333,399 0.27 2023 164,
Slide 23: Capital
Capital Capital Ratios (Bank only) 20% 15.9 15.2 14.7 14.5 15% 13.9 13.6 14.2 13.0 13.3 12.4 11.0 11.4 10.4 9.7 9.8 10% 5% 0% 2020 2021 2022 2023 2024 Tier 1 leverage capital Common equity tier 1 Total risk-based capital Regulatory Capital and Adjusted Capital as of December 31, 2024 Home Bank, N.A.
Slide 24: Investment Perspective
Investment Perspective IIs Strong earnings and shareholder returns Conservative, well-managed Market disruption mA credit culture creates new opportunities ES a Disciplined acquirer Insider owners committed to continual improvement pb 24 Homeff¥Bancorpinc. | 2 oO
Slide 25: Celebrating years of serving the communities that built us
Celebrating 115 years of serving a | 5 the communities that built us. AAU HOUSTON NATCHEZ NEW ORLEANS NORTHSHORE Home ff Bancorp Inc. | 25
Slide 26: Appendix (non-GAAP reconciliation)
Appendix (non-GAAP reconciliation) (dollars in thousands, except per share data) 3Q 2023 4Q 2023 1Q 2024 2Q 2024 3Q 2024 4Q 2024 Total shareholders' equity $ 345,332 $ 367,444 $ 372,285 $ 375,830 $ 393,453 $ 396,088 Less: intangible assets 86,749 86,372 86,019 85,690 85,361 85,044 Non-GAAP tangible
Slide 27: Appendix (non-GAAP reconciliation)
Appendix (non-GAAP reconciliation) (dollars in thousands) 2019 2020 2021 2022 2023 2024 Total shareholders' equity $ 316,329 $ 321,842 $ 351,903 $ 329,954 $ 367,444 $ 396,088 Less: intangible assets 64,472 63,112 61,949 87,973 86,372 85,044 Non-GAAP tangible shareholders' equity $ 251,857 $ 258,730
Slide 28: Appendix (non-GAAP reconciliation)
Appendix (non-GAAP reconciliation) (dollars in thousands) 2019 2020 2021 2022 2023 2024 Reported noninterest income $ 14,415 $ 14,305 $ 16,271 $ 13,885 $ 14,636 $ 14,625 Less: BOLI benefit 1,194 — 1,717 — — — Less: gain (loss) on sale of securities — — — — (249) — Less: gain (loss) on sale of assets
Slide 29: Appendix (non-GAAP reconciliation)
Appendix (non-GAAP reconciliation) (dollars in thousands except for per share data) 2019 2020 2021 1Q2022 2022 2023 1Q2024 2Q2024 3Q2024 4Q2024 Total shareholders' equity $ 316,329 $ 321,842 $ 351,903 $ 337,504 $ 329,954 $ 367,444 $ 372,285 $ 375,830 $ 393,453 $ 396,088 Less: intangible assets 64,47
Slide 30: In Tune
IN “TUNE In 2023, we sharpened our focus on the changing rate environment and established ourselves as a preferred community bank in each market we serve. Providing exceptional service and care, we remained in tune to the needs of customers and our dedicated employees, all while celebrating a milest