HOME BANCORP, INC. ANNOUNCES 2022 THIRD QUARTER RESULTS AND INCREASES QUARTERLY DIVIDEND BY 4%

LAFAYETTE, La., Oct. 18, 2022 /PRNewswire/ -- Home Bancorp, Inc. (Nasdaq: "HBCP") (the "Company"), the parent company for Home Bank, N.A. (the "Bank") (www.home24bank.com), reported financial results for the third quarter of 2022. For the quarter, the Company reported net income of $10.4 million, or $1.28 per diluted common share ("diluted EPS"), up $2.0 million from $8.5 million, or $1.03 diluted EPS, for the second quarter of 2022. The third and second quarters of 2022 include merger expenses, net of taxes totaling $41,000 and $1.3 million, respectively, related to the acquisition of Friendswood Capital Corporation ("Friendswood"), the former holding company of Texan Bank, N.A. ("Texan Bank") of Houston, Texas, which was consummated on March 26, 2022. Income pre-tax, pre-provision and pre-PPP income totaled $14.7 million, up $4.0 million, or 37%, from the prior quarter.

"We are excited to report strong earnings and loan growth throughout our footprint for the second consecutive quarter," said John W. Bordelon, President and Chief Executive Officer of the Company and the Bank. "While maintaining a strong credit discipline, the Company's total loans increased on a reported basis 4% from the previous quarter.  Excluding PPP loans, total loans increased $83.6 million, or 15% on an annualized basis of which approximately 27% was attributable to the Houston market.  We are seeing continuous success attracting new customers throughout our footprint."

 Third Quarter 2022 Highlights

  • Loans totaled $2.3 billion at September 30, 2022, up $78.6 million, or 4%, from June 30, 2022. Excluding PPP loans, total organic loans were up $83.6 million, or 15% annualized, from June 30, 2022. PPP loans totaled $7.1 million at September 30, 2022, down $5.0 million, or 41%, from June 30, 2022.

  • Net interest income totaled $32.0 million, up $2.7 million, or 9% from the prior quarter. Excluding PPP income, net interest income totaled $31.8 million, up $3.0 million, or 10% from the prior quarter.

  • The net interest margin ("NIM") increased 35 basis points from 3.76% for the second quarter of 2022 to 4.11%. Excluding PPP, NIM increased 38 basis points during the third quarter of 2022 to 4.11%.

  • The Company recorded a $1.7 million provision to the allowance for loan losses primarily due to loan growth.

  • The Company repurchased 77,021 shares of its common stock during the third quarter of 2022 at an average price per share of $37.06.

Loans

Loans totaled $2.3 billion at September 30, 2022, up $78.6 million, or 4%, from June 30, 2022. PPP loans, included in commercial and industrial loans, decreased $5.0 million, or 41%, from June 30, 2022. The following table summarizes the changes in the Company's loan portfolio, net of unearned income, from June 30, 2022 to September 30, 2022. 

(dollars in thousands)


9/30/2022


6/30/2022


Increase (Decrease)

Real estate loans:









One- to four-family first mortgage


$           376,028


$           369,410


$       6,618


2 %

Home equity loans and lines


60,624


59,799


825


1

Commercial real estate


1,086,656


1,053,696


32,960


3

Construction and land


328,753


317,351


11,402


4

Multi-family residential


97,212


101,136


(3,924)


(4)

Total real estate loans


1,949,273


1,901,392


47,881


3

Other loans:









Commercial and industrial


320,900


290,157


30,743


11

Consumer


33,106


33,106



Total other loans


354,006


323,263


30,743


10

Total loans


$        2,303,279


$        2,224,655


$     78,624


4 %

 

The average loan yield was 5.17% for the third quarter of 2022, up 23 basis points from the second quarter of 2022. Commercial real estate, commercial and industrial and construction and land loans were the primary drivers for the loan growth during the third quarter of 2022. Commercial and industrial loan growth for the current quarter was primarily in our Acadiana, Baton Rouge and Mississippi markets. At September 30, 2022, the growth in commercial real estate and construction loans was primarily within our Houston and New Orleans markets.

Credit Quality and Allowance for Credit Losses

Nonperforming assets ("NPAs") totaled $17.5 million, or 0.55% of total assets, at September 30, 2022, down $1.3 million, or 7%, from $18.8 million, or 0.56% of total assets, at June 30, 2022. During the third quarter of 2022, the Company recorded net loan charge-offs of $365,000, compared to net charge-offs of $439,000 during the second quarter of 2022.

The Company provisioned $1.7 million to the allowance for loan losses in the third quarter of 2022.  At September 30, 2022, the allowance for loan losses totaled $27.4 million, or 1.19% of total loans, compared to $26.0 million, or 1.17% of total loans, at June 30, 2022. Excluding PPP loans, the ratios of the allowance for loan losses to total loans were 1.19% and 1.18% at September 30, 2022 and June 30, 2022, respectively. Changes in expected losses consider various factors including the changing economic activity, potential mitigating effects of governmental stimulus, the duration of the health crisis, customer specific information impacting changes in risk ratings, projected delinquencies and the impact of industry-wide loan modification efforts, among other factors.

Deposits

Total deposits were $2.7 billion at September 30, 2022, down $182.0 million, or 6%, from June 30, 2022. Non-maturity deposits decreased $145.4 million during the third quarter of 2022 to $2.4 billion.  The decrease was primarily due to $40.6 million decline in public funds and $53.1 million decline in surge deposits related to three current customers. The following table summarizes the changes in the Company's deposits from June 30, 2022 to September 30, 2022.

(dollars in thousands)


9/30/2022


6/30/2022


Increase (Decrease)

Demand deposits


$           921,089


$           938,531


$            (17,442)


(2) %

Savings


325,594


316,974


8,620


3

Money market


452,474


483,951


(31,477)


(7)

NOW


686,592


791,692


(105,100)


(13)

 Certificates of deposit


352,675


389,228


(36,553)


(9)

Total deposits


$        2,738,424


$        2,920,376


$         (181,952)


(6) %

 

The average rate on interest-bearing deposits increased five basis points from 0.22% for the second quarter of 2022 to 0.27% for the third quarter of 2022. At September 30, 2022, certificates of deposit maturing within the next 12 months totaled $274.7 million.

Net Interest Income

The net interest margin ("NIM") increased 35 basis points from 3.76% for the second quarter of 2022 to 4.11% for the third quarter of 2022 primarily due to an increase in the average yield on interest-earning assets, which was partially offset with an increase in the average cost of interest-bearing liabilities. The increase in average cost of interest-bearing liabilities was primarily due to the issuance of subordinated debt on June 30, 2022. Loan income from the recognition of deferred PPP lender fees totaled $108,000 during the third quarter of 2022, down $262,000, or 71%, compared to the second quarter of 2022.

The average loan yield was 5.17% for the third quarter of 2022, up 23 basis points from the second quarter of 2022. Due to the declining balance of PPP loans, income from PPP loans did not significantly impact the average loan yield or the NIM during the third quarter of 2022. During the second quarter of 2022, PPP loans positively impacted the average loan yield by three basis points and the NIM by three basis points.

Average PPP loans were $9.4 million for the third quarter of 2022, down $6.0 million, or 39%, from the second quarter of 2022. Unrecognized PPP lender fees totaled $103,000 at September 30, 2022.

Average other interest-earning assets were $262.1 million for the third quarter of 2022, down $160.1 million, or 38%, from the second quarter of 2022 primarily due to a reallocation of certain other assets to partially fund the increases in loans and  investment securities.

Loan accretion income from acquired loans totaled $846,000 for the third quarter of 2022, down $33,000, or 4% from the second quarter of 2022.

The following table summarizes the Company's average volume and rate of its interest-earning assets and interest-bearing liabilities for the periods indicated. Taxable equivalent ("TE") yields on investment securities have been calculated using a marginal tax rate of 21%.



Quarter Ended



9/30/2022


6/30/2022

(dollars in thousands)


Average
Balance


Interest


Average
Yield/ Rate


Average
Balance


Interest


Average
Yield/ Rate

Interest-earning assets:













Loans receivable


$  2,265,846


$       29,859


5.17 %


$  2,190,721


$       27,304


4.94 %

Investment securities (TE)


532,300


2,958


2.25


475,853


2,338


1.99

Other interest-earning assets


262,127


1,447


2.19


422,265


863


0.82

Total interest-earning assets


$  3,060,273


$       34,264


4.41 %


$  3,088,839


$       30,505


3.93 %

Interest-bearing liabilities:













Deposits:













Savings, checking, and money market


$  1,522,350


$             876


0.23 %


$  1,584,118


$             673


0.17 %

Certificates of deposit


371,925


394


0.42


406,367


430


0.42

Total interest-bearing deposits


1,894,275


1,270


0.27


1,990,485


1,103


0.22

Other borrowings


5,539


53


3.80


5,794


54


3.71

Subordinated debt


$       53,943


$             859


6.32 %


774



FHLB advances


24,977


105


1.68


25,426


107


1.69

Total interest-bearing liabilities


$  1,978,734


$          2,287


0.46 %


$  2,022,479


$          1,264


0.25 %

Net interest spread (TE)






3.95 %






3.68 %

Net interest margin (TE)






4.11 %






3.76 %

 

 

Noninterest Income

Noninterest income for the third quarter of 2022 totaled $3.5 million, down $212,000, or 6%, from the second quarter of 2022. A decrease in net gain on sale of loans of $186,000, or 70% from the second quarter was the primary reason for the decline in noninterest income for the third quarter of 2022.

Noninterest Expense

Noninterest expense for the third quarter of 2022 totaled $20.7 million, down $1.0 million, or 5%, from the second quarter of 2022. The decrease was related primarily to a reduction in merger expenses related to the acquisition of Friendswood, which was partially offset by an increase in compensation and benefits expense, primarily reflecting the growth of the Bank. Noninterest expense for the third quarter of 2022 and the second quarter of 2022 include $60,000 and $1.6 million, respectively, of merger expenses related to the acquisition of Friendswood. 

Capital

At September 30, 2022, shareholders' equity totaled $316.7 million, down $12.5 million, or 4%, compared to $329.1 million at June 30, 2022. The decrease was primarily due to the Company's accumulated other comprehensive loss on available for sale investment securities during the third quarter of 2022, which was partially offset by the Company's earnings.  The market value of the Company's available for sale securities at September 30, 2022 declined $25.1 million, or 73% compared to $34.5 million at June 30, 2022. Preliminary Tier 1 leverage capital and total risk-based capital ratios were 9.76% and 13.50%, respectively, at September 30, 2022, compared to 9.30% and 13.74%, respectively, at June 30, 2022.

Dividend and Share Repurchases

The Company announced that its Board of Directors increased its quarterly cash dividend on shares of its common stock to $0.24 per share payable on November 10, 2022, to shareholders of record as of October 31, 2022. 

The Company repurchased 77,021 shares of its common stock during the third quarter of 2022 at an average price per share of $37.06. An additional 197,033 shares remain eligible for purchase under the 2021 Repurchase Plan. The book value per share and tangible book value per share of the Company's common stock was $38.27 and $27.66, respectively, at September 30, 2022.

Non-GAAP Reconciliation 

This news release contains financial information determined by methods other than in accordance with generally accepted accounting principles ("GAAP"). The Company's management uses this non-GAAP financial information in its analysis of the Company's performance. In this news release, information is included which excludes intangible assets, PPP loans and certain acquisition related metrics. Management believes the presentation of this non-GAAP financial information provides useful information that is helpful to a full understanding of the Company's financial position and operating results. This non-GAAP financial information should not be viewed as a substitute for financial information determined in accordance with GAAP, nor is it necessarily comparable to non-GAAP financial information presented by other companies. A reconciliation on non-GAAP information included herein to GAAP is presented below.

 



Quarter Ended

(dollars in thousands, except per share data)


9/30/2022


6/30/2022


9/30/2021

Reported net income


$         10,434


$            8,461


$         15,059

Add: Core deposit intangible amortization, net tax


358


359


230

Non-GAAP tangible income


$         10,792


$            8,820


$         15,289








Reported loan income


$         29,859


$          27,304


$         27,045

Less: PPP loan income


132


402


4,742

Loan income excluding PPP loan income


$         29,727


$          26,902


$         22,303








Loan yield


5.17 %


4.94 %


5.60 %

(Positive) negative impact of PPP loans



(0.03)


(0.60)

Loan yield excluding PPP loans


5.17 %


4.91 %


5.00 %








Net interest margin


4.11 %


3.76 %


4.16 %

(Positive) negative impact of PPP loans



(0.03)


(0.52)

Net interest margin excluding PPP loans


4.11 %


3.73 %


3.64 %








Total assets


$    3,167,666


$     3,362,216


$    2,763,466

Less: Intangible assets


87,839


88,309


62,229

Non-GAAP tangible assets


$    3,079,827


$     3,273,907


$    2,701,237








Total shareholders' equity


$       316,656


$        329,124


$       344,149

Less: Intangible assets


87,839


88,309


62,229

Non-GAAP tangible shareholders' equity


$       228,817


$        240,815


$       281,920








Total loans


$    2,303,279


$     2,224,655


$    1,875,176

Less: PPP loans


7,094


12,083


95,560

Organic loan portfolio


$    2,296,185


$     2,212,572


$    1,779,616








Reported net income


$         10,434


$            8,461


$         15,059

Add: Provision (reversal) for loan losses


1,696


591


(2,385)

Add: Provision for credit losses on unfunded commitments


146



Add:  Income tax expense


2,598


2,110


3,412

Pre-tax, pre-provision income


$         14,874


$          11,162


$         16,086

Less: PPP income


132


402


4,742

Pre-tax, pre-provision, pre- PPP income


$         14,742


$          10,760


$         11,344








Allowance for loan losses to total loans


1.19 %


1.17 %


1.29 %

Less: PPP loans



0.01


0.07

Non-GAAP allowance for loan losses to total loans


1.19 %


1.18 %


1.36 %








Return on average equity


12.35 %


10.20 %


17.46 %

Add: Average intangible assets


4.99


4.23


4.22

Non-GAAP return on average tangible common equity


17.34 %


14.43 %


21.68 %








Common equity ratio


10.00 %


9.79 %


12.45 %

Less: Intangible assets


2.57


2.43


2.01

Non-GAAP tangible common equity ratio


7.43 %


7.36 %


10.44 %








Book value per share


$           38.27


$            39.44


$           40.38

Less: Intangible assets


10.61


10.58


7.30

Non-GAAP tangible book value per share


$           27.66


$            28.86


$           33.08

 

This news release contains certain forward-looking statements. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words "believe," "expect," "anticipate," "intend," "plan," "estimate" or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could" or "may."

Forward-looking statements, by their nature, are subject to risks and uncertainties. A number of factors - many of which are beyond our control - could cause actual conditions, events or results to differ significantly from those described in the forward-looking statements. Home Bancorp's Annual Report on Form 10-K for the year ended December 31, 2021 describes some of these factors, including risk elements in the loan portfolio, the level of the allowance for credit losses, the impact of the COVID-19 pandemic, risks of our growth strategy, geographic concentration of our business, dependence on our management team, risks of market rates of interest and of regulation on our business and risks of competition. Forward-looking statements speak only as of the date they are made. We do not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made or to reflect the occurrence of unanticipated events.

HOME BANCORP, INC. AND SUBSIDIARY

CONDENSED STATEMENTS OF FINANCIAL CONDITION

(Unaudited)

(dollars in thousands)


9/30/2022


6/30/2022


%
Change


9/30/2021

Assets









Cash and cash equivalents


$           150,556


$           444,151


(66) %


$           413,694

Interest-bearing deposits in banks


349


349



349

Investment securities available for sale, at fair value


492,758


480,007


3


304,125

Investment securities held to maturity


1,080


2,086


(48)


2,110

Mortgage loans held for sale


169


1,444


(88)


3,476

Loans, net of unearned income


2,303,279


2,224,655


4


1,875,176

Allowance for loan losses


(27,351)


(26,020)


5


(24,149)

Total loans, net of allowance for loan losses


2,275,928


2,198,635


4


1,851,027

Office properties and equipment, net


43,685


43,979


(1)


44,331

Cash surrender value of bank-owned life insurance


46,019


40,788


13


40,142

Goodwill and core deposit intangibles


87,839


88,309


(1)


62,229

Accrued interest receivable and other assets


69,283


62,468


11


41,983

Total Assets


$        3,167,666


$        3,362,216


(6)


$        2,763,466










Liabilities









Deposits


$        2,738,424


$        2,920,376


(6) %


$        2,365,717

Other Borrowings


5,539


5,539



5,539

Subordinated debt, net of issuance cost


53,958


53,926



Federal Home Loan Bank advances


24,816


25,307


(2)


26,430

Accrued interest payable and other liabilities


28,273


27,944


1


21,631

Total Liabilities


2,851,010


3,033,092


(6)


2,419,317










Shareholders' Equity









Common stock


83


84


(1) %


85

Additional paid-in capital


164,024


164,177



164,316

Common stock acquired by benefit plans


(2,150)


(2,240)


4


(2,513)

Retained earnings


197,553


191,114


3


180,327

Accumulated other comprehensive (loss) income


(42,854)


(24,011)


(78)


1,934

Total Shareholders' Equity


316,656


329,124


(4)


344,149

Total Liabilities and Shareholders' Equity


$        3,167,666


$        3,362,216


(6)


$        2,763,466

 

HOME BANCORP, INC. AND SUBSIDIARY

CONDENSED STATEMENTS OF INCOME

(Unaudited)



Quarter Ended

(dollars in thousands, except per share data)


9/30/2022


6/30/2022


%
Change


9/30/2021


%
Change

Interest Income











Loans, including fees


$           29,859


$           27,304


9 %


$           27,045


10 %

Investment securities


2,958


2,338


27


1,189


149

Other investments and deposits


1,447


863


68


189


666

Total interest income


34,264


30,505


12


28,423


21

Interest Expense











Deposits


1,270


1,103


15 %


1,120


13 %

Other borrowings


53


54


(2)


53


Subordinated debt expense


859





Federal Home Loan Bank advances


105


107


(2)


116


(9)

Total interest expense


2,287


1,264


81


1,289


77

Net interest income


31,977


29,241


9


27,134


18

Provision (reversal) for loan losses


1,696


591


187


(2,385)


171

Net interest income after provision (reversal) for loan losses


30,281


28,650


6


29,519


3

Noninterest Income











Service fees and charges


1,300


1,257


3 %


1,260


3 %

Bank card fees


1,623


1,636


(1)


1,519


7

Gain on sale of loans, net


78


264


(70)


415


(81)

Income from bank-owned life insurance


231


213


8


1,938


(88)

Gain (loss) on sale of assets, net


18


(6)


400


(3)


700

Other income


224


322


(30)


254


(12)

Total noninterest income


3,474


3,686


(6)


5,383


(35)

Noninterest Expense











Compensation and benefits


12,128


12,583


(4) %


9,809


24 %

Occupancy


2,297


2,354


(2)


1,717


34

Marketing and advertising


658


648


2


399


65

Data processing and communication


2,284


2,533


(10)


2,118


8

Professional fees


331


475


(30)


234


41

Forms, printing and supplies


185


253


(27)


158


17

Franchise and shares tax


633


391


62


360


76

Regulatory fees


467


698


(33)


301


55

Foreclosed assets, net


101


(10)


1110


74


36

Amortization of acquisition intangible


453


454



291


56

Provision for credit losses on unfunded commitments


146





Other expenses


1,040


1,386


(25)


970


7

Total noninterest expense


20,723


21,765


(5)


16,431


26

Income before income tax expense


13,032


10,571


23


18,471


(29)

Income tax expense


2,598


2,110


23


3,412


(24)

Net income


$           10,434


$              8,461


23


$           15,059


(31)












Earnings per share - basic


$                1.29


$                1.04


24 %


$                1.80


(28) %

Earnings per share - diluted


$                1.28


$                1.03


24 %


$                1.79


(28) %












Cash dividends declared per common share


$                0.23


$                0.23


— %


$                0.23


— %

 

HOME BANCORP, INC. AND SUBSIDIARY

SUMMARY FINANCIAL INFORMATION

(Unaudited)



Quarter Ended

(dollars in thousands, except per share data)


9/30/2022


6/30/2022


%
Change


9/30/2021


%
Change

EARNINGS DATA











Total interest income


$        34,264


$        30,505


12 %


$        28,423


21 %

Total interest expense


2,287


1,264


81


1,289


77

Net interest income


31,977


29,241


9


27,134


18

(Reversal) provision for loan losses


1,696


591


187


(2,385)


171

Total noninterest income


3,474


3,686


(6)


5,383


(35)

Total noninterest expense


20,723


21,765


(5)


16,431


26

Income tax expense


2,598


2,110


23


3,412


(24)

Net income


$        10,434


$          8,461


23


$        15,059


(31)












AVERAGE BALANCE SHEET DATA











Total assets


$  3,265,907


$  3,295,196


(1) %


$  2,756,353


18 %

Total interest-earning assets


3,060,273


3,088,839


(1)


2,563,981


19

Total loans


2,265,846


2,190,721


3


1,896,808


19

PPP loans


9,431


15,463


(39)


144,626


(93)

Total interest-bearing deposits


1,894,275


1,990,485


(5)


1,645,047


15

Total interest-bearing liabilities


1,978,734


2,022,479


(2)


1,677,597


18

Total deposits


2,818,318


2,906,568


(3)


2,358,086


20

Total shareholders' equity


335,053


332,640


1


342,189


(2)












PER SHARE DATA











Earnings per share - basic


$            1.29


$            1.04


24 %


$            1.80


(28) %

Earnings per share - diluted


1.28


1.03


24


1.79


(28)

Book value at period end


38.27


39.44


(3)


40.38


(5)

Tangible book value at period end


27.66


28.86


(4)


33.08


(16)

Shares outstanding at period end


8,273,334


8,344,095


(1)


8,523,473


(3)

Weighted average shares outstanding











Basic


8,089,246


8,129,340


— %


8,354,176


(3) %

Diluted


8,138,307


8,185,595


(1)


8,405,610


(3)












SELECTED RATIOS (1)











Return on average assets


1.27 %


1.03 %


23 %


2.17 %


(41) %

Return on average equity


12.35


10.20


21


17.46


(29)

Common equity ratio


10.00


9.79


2


12.45


(20)

Efficiency ratio (2)


58.45


66.10


(12)


50.53


16

Average equity to average assets


10.26


10.09


2


12.41


(17)

Tier 1 leverage capital ratio (3)


9.76


9.30


5


10.05


(3)

Total risk-based capital ratio (3)


13.50


13.74


(2)


15.60


(13)

Net interest margin (4)


4.11


3.76


9


4.16


(1)












SELECTED NON-GAAP RATIOS (1)











Tangible common equity ratio (5)


7.43 %


7.36 %


1 %


10.44 %


(29) %

Return on average tangible common equity (6)


17.34


14.43


20


21.68


(20)




(1)

With the exception of end-of-period ratios, all ratios are based on average daily balances during the respective periods.

(2)

The efficiency ratio represents noninterest expense as a percentage of total revenues. Total revenues is the sum of net interest income and noninterest income.

(3)

Capital ratios are preliminary end-of-period ratios for the Bank only and are subject to change.

(4)

Net interest margin represents net interest income as a percentage of average interest-earning assets. Taxable equivalent yields are calculated using a marginal tax rate of 21%.

(5)

Tangible common equity ratio is common shareholders' equity less intangible assets divided by total assets less intangible assets. See "Non-GAAP Reconciliation" for additional information.

(6)

Return on average tangible common equity is net income plus amortization of core deposit intangible, net of taxes, divided by average common shareholders' equity less average intangible assets. See "Non-GAAP Reconciliation" for additional information.

 

HOME BANCORP, INC. AND SUBSIDIARY

SUMMARY CREDIT QUALITY INFORMATION

(Unaudited)



9/30/2022


6/30/2022


9/30/2021

(dollars in thousands)


Originated


Acquired


Total


Originated


Acquired


Total


Originated


Acquired


Total

CREDIT QUALITY (1)



















Nonaccrual loans(2)


$           4,281


$        12,799


$     17,080


$           5,332


$        13,165


$     18,497


$           8,592


$           5,896


$     14,488

Accruing loans 90 days or more past due


3



3


8



8


13



13

Total nonperforming loans


4,284


12,799


17,083


5,340


13,165


18,505


8,605


5,896


14,501

Foreclosed assets and ORE


14


376


390



277


277


772


259


1,031

Total nonperforming assets


4,298


13,175


17,473


5,340


13,442


18,782


9,377


6,155


15,532

Performing troubled debt restructurings


4,686


879


5,565


3,939


1,063


5,002


3,961


1,085


5,046

Total nonperforming assets and
troubled debt restructurings


$           8,984


$        14,054


$     23,038


$           9,279


$        14,505


$     23,784


$        13,338


$           7,240


$     20,578




















Nonperforming assets to total assets






0.55 %






0.56 %






0.56 %

Nonperforming loans to total assets






0.54






0.55






0.52

Nonperforming loans to total loans






0.74






0.83






0.77






















(1)

It is our policy to cease accruing interest on loans 90 days or more past due, with certain limited exceptions. Nonperforming assets consist of nonperforming loans, foreclosed assets and surplus real estate (ORE).  Foreclosed assets consist of assets acquired through foreclosure or acceptance of title in-lieu of foreclosure. ORE consists of closed or unused bank buildings.

(2)

Nonaccrual loans include originated restructured loans placed on nonaccrual totaling $3.3 million, $5.3 million and $4.1 million at September 30, 2022, June 30, 2022 and September 30, 2021, respectively. Acquired restructured loans placed on nonaccrual totaled $3.2 million, $2.8 million and $3.5 million at September 30, 2022, June 30, 2022 and September 30, 2021, respectively.

 

HOME BANCORP, INC. AND SUBSIDIARY

SUMMARY CREDIT QUALITY INFORMATION - CONTINUED

(Unaudited)



9/30/2022


6/30/2022


9/30/2021



Collectively
Evaluated


Individually
Evaluated


Total


Collectively
Evaluated


Individually
Evaluated


Total


Collectively
Evaluated


Individually
Evaluated


Total

ALLOWANCE FOR CREDIT LOSSES



















One- to four-family first mortgage


$           2,293


$                32


$       2,325


$           2,158


$                —


$       2,158


$           2,145


$                —


$       2,145

Home equity loans and lines


500



500


491



491


521



521

Commercial real estate


12,504


1,193


13,697


12,068


1,193


13,261


12,872


455


13,327

Construction and land


4,973



4,973


4,689



4,689


3,628



3,628

Multi-family residential


498



498


526



526


627



627

Commercial and industrial


4,523


188


4,711


3,654


591


4,245


2,815


435


3,250

Consumer


647



647


650



650


651



651

Total allowance for credit losses


$        25,938


$           1,413


$     27,351


$        24,236


$           1,784


$     26,020


$        23,259


$              890


$     24,149




















Unfunded lending commitments(3)


2,263



2,263


2,117



2,117


1,800



1,800

Total allowance for credit losses


$        28,201


$           1,413


$     29,614


$        26,353


$           1,784


$     28,137


$        25,059


$              890


$     25,949




















Allowance for loan losses to
nonperforming assets






156.53 %






138.54 %






155.48 %

Allowance for loan losses to
nonperforming loans






160.11 %






140.61 %






166.53 %

Allowance for loan losses to total loans






1.19 %






1.17 %






1.29 %

Allowance for credit losses to total loans






1.29 %






1.26 %






1.38 %




















Year-to-date loan charge-offs






$       1,260






$          844






$       1,807

Year-to-date loan recoveries






605






554






506

Year-to-date net loan charge-offs






$          655






$          290






$       1,301

Annualized YTD net loan charge-offs
to average loans






0.04 %






0.03 %






0.09 %



(3)

The allowance for unfunded lending commitments is recorded within accrued interest payable and other liabilities on the Consolidated Statements of Financial Condition.

 

SOURCE Home Bancorp, Inc.

For further information: John W. Bordelon, Chairman of the Board, President and CEO, (337) 237-1960