Home Bancshares (Conway, AR) (HOMB) investor relations material

Executive summary

• Achieved record net income of $123.6M and record EPS of $0.63 for Q3 2025, with revenue of $277.7M and strong pre-tax, pre-provision net revenue of $162.8M, marking the best performance in the last twelve months.

• Adjusted net income was $119.7M, and adjusted diluted EPS was $0.61, both record highs.

• Efficiency ratio improved to 40.21%, the best in twelve months, and net interest margin rose 12 bps to 4.56%, also a twelve-month high.

• Loans reached a record $15.18B, and total stockholders' equity grew to $4.09B, with tangible equity/tangible assets at 13.08%.

• Settled a significant Texas lawsuit, receiving the first partial payment, with most of the balance expected in Q4.

Financial highlights

• Net income for Q3 2025 was $123.6M, up 23.6% year-over-year from $100M in Q3 2024.

• Net interest margin (NIM) increased to 4.56% from 4.44% sequentially, with net interest income on a fully taxable equivalent basis rising to $229.1M.

• Return on average assets (ROA) improved to 2.17%, and return on average equity (ROE) rose to 11.91%.

• Book value per share reached a record $21.41, and tangible book value per share was $14.13.

• Allowance for credit losses to total loans was 1.87%, with non-performing assets to total assets at 0.56%.

Outlook and guidance

• Management maintains a target of $500M in income for 2026, with $357.2M earned through three quarters of 2025.

• Expecting further growth through potential acquisitions and organic expansion.

• Anticipates additional gains from the lawsuit settlement in Q4.

• Margin expected to remain stable despite potential rate cuts, due to proactive rate management.

• Forward-looking statements caution about risks from economic conditions, credit quality, interest rates, and regulatory changes.