Home Federal Bancorp, Inc. of Louisiana Reports Results of Operations for the Three Months Ended September 30, 2024
Rhea-AI Summary
Home Federal Bancorp (NASDAQ: HFBL) reported net income of $941,000 for Q3 2024, down from $1.2 million in Q3 2023. The company's earnings per share decreased to $0.31 from $0.40. The decline was primarily due to a 16.2% decrease in net interest income and a 30.9% decrease in non-interest income. Total assets decreased by $9.1 million to $628.4 million, while net loans receivable decreased by $16.9 million to $454.0 million. The company's net interest margin contracted to 2.98% from 3.37% year-over-year.
Positive
- Shareholders' equity increased by $1.5 million (2.8%) to $54.3 million
- Non-performing assets decreased to $1.9 million from $2.0 million
- Cash and cash equivalents increased by $6.1 million (17.4%) to $41.0 million
Negative
- Net income decreased by 21.6% year-over-year to $941,000
- Net interest income declined by 16.2%
- Net interest margin contracted to 2.98% from 3.37%
- Total assets decreased by $9.1 million (1.4%)
- Net loans receivable decreased by $16.9 million (3.6%)
News Market Reaction – HFBL
In the trading session that priced this news, HFBL gained 1.03%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Shreveport, Oct. 29, 2024 (GLOBE NEWSWIRE) -- Home Federal Bancorp, Inc. of Louisiana (the “Company”) (Nasdaq: HFBL), the holding company of Home Federal Bank, reported net income for the three months ended September 30, 2024, of
The decrease in net income for the three months ended September 30, 2024, compared to the same period in 2023, resulted from a decrease in net interest income of
The following table sets forth the Company’s average balances and average yields earned and rates paid on its interest-earning assets and interest-bearing liabilities for the periods indicated.
| For the Three Months Ended September 30, | ||||||||||||||||
| 2024 | 2023 | |||||||||||||||
| Average Balance | Average Yield/Rate | Average Balance | Average Yield/Rate | |||||||||||||
| (Dollars in thousands) | ||||||||||||||||
| Interest-earning assets: | ||||||||||||||||
| Loans receivable | $ | 466,170 | 5.87 | % | $ | 498,242 | 5.79 | % | ||||||||
| Investment securities | 96,749 | 2.09 | 113,584 | 2.18 | ||||||||||||
| Interest-earning deposits | 25,617 | 5.20 | 10,066 | 6.98 | ||||||||||||
| Total interest-earning assets | $ | 588,536 | 5.22 | % | $ | 621,892 | 5.15 | % | ||||||||
| Interest-bearing liabilities: | ||||||||||||||||
| Savings accounts | $ | 82,556 | 1.61 | % | $ | 78,572 | 0.38 | % | ||||||||
| NOW accounts | 72,787 | 1.10 | 55,900 | 0.48 | ||||||||||||
| Money market accounts | 75,216 | 2.29 | 108,891 | 2.26 | ||||||||||||
| Certificates of deposit | 204,019 | 4.30 | 194,785 | 3.73 | ||||||||||||
| Total interest-bearing deposits | 434,578 | 2.92 | 438,148 | 2.47 | ||||||||||||
| Other bank borrowings | 5,989 | 7.75 | 8,654 | 8.39 | ||||||||||||
| FHLB advances | -- | -- | 1,138 | 5.23 | ||||||||||||
| Total interest-bearing liabilities | $ | 440,567 | 2.98 | % | $ | 447,940 | 2.47 | % | ||||||||
The
The
Total assets decreased
Total liabilities decreased
At September 30, 2024, the Company had
Shareholders’ equity increased
Home Federal Bancorp, Inc. of Louisiana is the holding company for Home Federal Bank which conducts business from its ten full-service banking offices and home office in northwest Louisiana.
Statements contained in this news release which are not historical facts may be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words like “believe”, “expect”, “anticipate”, “estimate”, and “intend”, or future or conditional verbs such as “will”, “would”, “should”, “could”, or “may”. We undertake no obligation to update any forward-looking statements.
In addition to factors previously disclosed in the reports filed by the Company with the Securities and Exchange Commission and those identified elsewhere in this press release, the following factors, among others, could cause actual results to differ materially from forward-looking statements or historical performance: the strength of the United States economy in general and the strength of the local economies in which the Company conducts its operations; general economic conditions; legislative and regulatory changes; monetary and fiscal policies of the federal government; changes in tax policies, rates and regulations of federal, state and local tax authorities including the effects of the Tax Reform Act; changes in interest rates, deposit flows, the cost of funds, demand for loan products and the demand for financial services, competition, changes in the quality or composition of the Company’s loans, investment and mortgage-backed securities portfolios; geographic concentration of the Company’s business; fluctuations in real estate values; the adequacy of loan loss reserves; the risk that goodwill and intangibles recorded in the Company’s financial statements will become impaired; changes in accounting principles, policies or guidelines and other economic, competitive, governmental and technological factors affecting the Company’s operations, markets, products, services and fees.
| HOME FEDERAL BANCORP, INC. OF LOUISIANA |
| CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (In thousands except share and per share data) |
| September 30, 2024 | June 30, 2024 | |||||||
| (Unaudited) | ||||||||
| ASSETS | ||||||||
| Cash and Cash Equivalents (Includes Interest-Bearing Deposits with Other Banks of | $ | 41,044 | $ | 34,948 | ||||
| Securities Available-for-Sale (amortized cost September 30, 2024: | 29,934 | 27,037 | ||||||
| Securities Held-to-Maturity (fair value September 30, 2024: | 65,800 | 67,302 | ||||||
| Other Securities | 1,633 | 1,614 | ||||||
| Loans Held-for-Sale | 2,268 | 1,733 | ||||||
| Loans Receivable, Net of Allowance for Credit Losses (September 30, 2024: | 454,039 | 470,852 | ||||||
| Accrued Interest Receivable | 1,761 | 1,775 | ||||||
| Premises and Equipment, Net | 18,065 | 18,303 | ||||||
| Bank Owned Life Insurance | 6,839 | 6,810 | ||||||
| Goodwill | 2,990 | 2,990 | ||||||
| Core Deposit Intangible | 1,125 | 1,199 | ||||||
| Deferred Tax Asset | 1,210 | 1,181 | ||||||
| Real Estate Owned | 122 | 418 | ||||||
| Other Assets | 1,574 | 1,350 | ||||||
| Total Assets | $ | 628,404 | $ | 637,512 | ||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
| LIABILITIES | ||||||||
| Deposits: | ||||||||
| Non-interest bearing | $ | 133,293 | $ | 130,334 | ||||
| Interest-bearing | 431,267 | 443,673 | ||||||
| Total Deposits | 564,560 | 574,007 | ||||||
| Advances from Borrowers for Taxes and Insurance | 644 | 521 | ||||||
| Other Borrowings | 5,500 | 7,000 | ||||||
| Other Accrued Expenses and Liabilities | 3,433 | 3,181 | ||||||
| Total Liabilities | 574,137 | 584,709 | ||||||
| SHAREHOLDERS’ EQUITY | ||||||||
| Preferred Stock - | - | - | ||||||
| Common Stock - | 32 | 32 | ||||||
| Additional Paid-in Capital | 41,822 | 41,739 | ||||||
| Unearned ESOP Stock | (379 | ) | (408 | ) | ||||
| Retained Earnings | 14,406 | 14,055 | ||||||
| Accumulated Other Comprehensive Loss | (1,614 | ) | (2,615 | ) | ||||
| Total Shareholders’ Equity | 54,267 | 52,803 | ||||||
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 628,404 | $ | 637,512 | ||||
| HOME FEDERAL BANCORP, INC. OF LOUISIANA |
| CONSOLIDATED STATEMENTS OF INCOME |
| (Unaudited) (In thousands except share and per share data) |
| Three Months Ended | ||||||||
| September 30, | ||||||||
| 2024 | 2023 | |||||||
| INTEREST INCOME | ||||||||
| Loans, including fees | $ | 6,895 | $ | 7,274 | ||||
| Investment securities | 67 | 150 | ||||||
| Mortgage-backed securities | 443 | 473 | ||||||
| Other interest-earning assets | 336 | 177 | ||||||
| Total interest income | 7,741 | 8,074 | ||||||
| INTEREST EXPENSE | ||||||||
| Deposits | 3,197 | 2,592 | ||||||
| Federal Home Loan Bank borrowings | -- | 15 | ||||||
| Other bank borrowings | 117 | 183 | ||||||
| Total interest expense | 3,314 | 2,790 | ||||||
| Net interest income | 4,427 | 5,284 | ||||||
| RECOVERY OF CREDIT LOSSES | (223 | ) | -- | |||||
| Net interest income after recovery of credit losses | 4,650 | 5,284 | ||||||
| NON-INTEREST INCOME | ||||||||
| Gain on sale of loans | 96 | 38 | ||||||
| Loss on sale of real estate | (254 | ) | (34 | ) | ||||
| Income on bank owned life insurance | 28 | 26 | ||||||
| Service charges on deposit accounts | 391 | 391 | ||||||
| Other income | 39 | 13 | ||||||
| Total non-interest income | 300 | 434 | ||||||
| NON-INTEREST EXPENSE | ||||||||
| Compensation and benefits | 2,302 | 2,356 | ||||||
| Occupancy and equipment | 564 | 549 | ||||||
| Data processing | 219 | 245 | ||||||
| Audit and examination fees | 132 | 102 | ||||||
| Franchise and bank shares tax | 168 | 156 | ||||||
| Advertising | 57 | 143 | ||||||
| Professional fees | 117 | 160 | ||||||
| Loan and collection | 28 | 60 | ||||||
| Amortization core deposit intangible | 74 | 94 | ||||||
| Deposit insurance premium | 90 | 91 | ||||||
| Other expenses | 260 | 232 | ||||||
| Total non-interest expense | 4,011 | 4,188 | ||||||
| Income before income taxes | 939 | 1,530 | ||||||
| PROVISION FOR INCOME TAX EXPENSE | (2 | ) | 310 | |||||
| NET INCOME | $ | 941 | $ | 1,220 | ||||
| EARNINGS PER SHARE | ||||||||
| Basic | $ | 0.31 | $ | 0.40 | ||||
| Diluted | $ | 0.31 | $ | 0.39 | ||||
| Three Months Ended September 30, | ||||||||
| 2024 | 2023 | |||||||
| Selected Operating Ratios(1): | ||||||||
| Average interest rate spread | 2.23 | % | 2.68 | % | ||||
| Net interest margin | 2.98 | % | 3.37 | % | ||||
| Return on average assets | 0.59 | % | 0.73 | % | ||||
| Return on average equity | 7.23 | % | 9.46 | % | ||||
| Asset Quality Ratios(2): | ||||||||
| Non-performing assets as a percent of total assets | 0.31 | % | 0.28 | % | ||||
| Allowance for credit losses as a percent of non-performing loans | 258.46 | % | 403.96 | % | ||||
| Allowance for credit losses as a percent of total loans receivable | 1.03 | % | 1.00 | % | ||||
| Per Share Data: | ||||||||
| Shares outstanding at period end | 3,129,668 | 3,133,351 | ||||||
| Weighted average shares outstanding: | ||||||||
| Basic | 3,058,286 | 3,028,597 | ||||||
| Diluted | 3,071,716 | 3,107,834 | ||||||
| (1) Ratios for the three-month period are annualized. | |
| (2) Asset quality ratios are end of period ratios. |
