HomeTrust Bancshares (HTB) Q3 2024 earnings summary

Executive summary

• Net income for Q3 2024 was $13.1 million, up 5.6% sequentially; diluted EPS was $0.76, up from $0.73 in Q2 2024.

• For the nine months ended September 30, 2024, net income was $40.6 million, up 11% year-over-year; diluted EPS was $2.37, up from $2.18.

• Quarterly dividend increased to $0.12 per share, a 9% rise over the previous quarter, marking the sixth increase since 2018.

• Total assets were $4.6 billion, deposits $3.8 billion, and stockholders' equity $540.0 million at September 30, 2024.

• The company operates in high-growth markets across five states, focusing on commercial and retail banking.

Financial highlights

• Net interest income for Q3 2024 was $42.1 million, nearly flat sequentially; for the nine months, $125.5 million, down from $127.5 million year-over-year.

• Noninterest income for Q3 2024 was $8.3 million, up 2.1% sequentially; for nine months, $25.2 million, up 6% year-over-year.

• Noninterest expense for Q3 2024 was $30.6 million, up 1.2% sequentially; for nine months, $90.7 million, down 3% year-over-year.

• Provision for credit losses was $3.0 million in Q3 2024, down from $4.3 million in Q2; $8.4 million for nine months, down from $11.7 million year-over-year.

• Net charge-offs for the nine months were $8.9 million, up from $3.9 million year-over-year, mainly in equipment finance.

Outlook and guidance

• Management expects short-term increases in loan delinquencies and restructurings due to Hurricane Helene, with $120 million in loan balances granted payment deferrals.

• A $2.2 million qualitative allocation was added to the allowance for credit losses for potential storm impact.

• Management remains optimistic about continued recovery post-Hurricane Helene and highlights the company’s financial strength and geographic diversification.

• No concerns have been raised regarding the adequacy of the reserve established for storm-related losses as of November 8, 2024.

• The company is working with affected customers on payment deferrals and will continue to assess storm impacts.