#USA #Dividend #Lafayette #Home Bancorp #HBCP

Home Bancorp Announces Q4 2025 Financial Results

Home Bancorp, Inc. (Nasdaq: "HBCP"), the parent company for Home Bank, N.A., released its financial results for the fourth quarter of 2025, revealing a net income of $11.4 million or $1.46 per diluted share. This indicates a decrease of $946,000 or 8% from the previous quarter where net income was reported at $12.4 million or $1.59 per diluted share.

Executive Statement and Highlights

John W. Bordelon, President and CEO of Home Bancorp, expressed satisfaction with the overall results for both the fourth quarter and the full year. Notably, the company experienced an increase in loan production and core deposits during this period. However, there was also an uptick in nonperforming assets, specifically rising to $36.1 million, representing 1.03% of total assets.

Despite the increases in nonperforming assets, Bordelon reassured investors that the company does not foresee any significant losses. The net interest margin for the quarter reduced to 4.06%, influenced by lower loan yields. This was partially mitigated by the company’s effective management of reduced funding costs. The upcoming repricing of the majority of Certificates of Deposit within 120 days is likely to further decrease deposit costs, thus positively impacting their net interest margin.

Key Financial Data

• - Total Loans: As of December 31, 2025, total loans reached $2.7 billion, representing an increase of $38.1 million or 1% from September 30, 2025, translating to a compounded annual growth rate of 6%.
• - Total Deposits: Total deposits amounted to $3.0 billion, reflecting a marginal decline of $2.7 million, or less than 1%, during the quarter. Core deposits, however, saw an increase of $24.5 million, or 1%, reaching $2.2 billion (5% annualized increase).
• - Net Interest Income: The company recorded net interest income of $34.0 million, a slight decrease of $58,000 from the preceding quarter.
• - Nonperforming Assets: The total nonperforming assets increased by $5.2 million or 17% primarily due to two loan relationships transitioning to nonaccrual status.
• - Loan Charge-offs: Net loan charge-offs for the quarter stood at $165,000, a reduction compared to $376,000 in the third quarter of 2025.

Investment and Depository Matters

Home Bancorp's investment securities portfolio reached $392.5 million as of December 31, 2025, marking an increase of $8.1 million or 2%. Despite a net unrealized loss on its investment securities of $23.4 million, reduced from $26.5 million in the prior quarter, the company's market value demonstrated resilience with quarterly increases.

The total amount of deposits for the company was $3.0 billion with yearly fluctuations in various categories. Demand deposits, savings, and money market accounts reflected the dynamics of depositors' preferences amidst economic conditions. Notably, the average rate on interest-bearing deposits decreased to 2.51% from 2.57% in the previous quarter.

Dividend Declaration

Furthermore, the Board of Directors declared a quarterly cash dividend of $0.31 per share, which remains unchanged from the previous quarter. The dividend payment is scheduled for February 20, 2026, to shareholders recorded by February 9, 2026.

Future Outlook and Conference Call

Moving forward, Home Bancorp remains strategically positioned to leverage opportunities in the market, whilst maintaining a cautious approach to credit quality and asset management. The management will also host a conference call on January 27, 2026, at 10:30 a.m. CDT to discuss the fourth quarter results in detail, which will be accessible to analysts and interested parties.

In anticipation of the upcoming fiscal activities, stakeholders may continue to monitor Home Bancorp's investor relations page for additional insights and performance updates. The company’s proactive measures and strategic positioning continue to underline its commitment to prudent banking practices within a shifting economic landscape.