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HomeTrust Bancshares, Inc. (HTB)·Q3 2025 Earnings Summary

Executive Summary

  • Q3 2025 delivered diluted EPS of $0.95 and “total revenues” of $54.14M (net interest income + noninterest income), with EPS and revenue both above Wall Street consensus; dividend increased to $0.13 per share for Q4 2025, the seventh increase since 2018 .
  • Net interest margin held at a top-quartile 4.31% (vs. 4.32% in Q2), ROA 1.48% and ROE 11.10%; noninterest income declined due to the prior quarter’s $1.4M branch sale gain .
  • Asset quality showed some pressure: nonperforming assets rose to 0.72% of total assets, and NPL ratio increased to 0.89%; ACL/loans was 1.18% (down from 1.24% at YE 2024) .
  • EPS and revenue beat consensus, aided by higher net interest income and stable expenses; management highlighted readiness to accelerate loan growth given curve slope improvement and strong capital, and raised the quarterly dividend to $0.13 as a confidence signal .

What Went Well and What Went Wrong

What Went Well

  • Net interest income increased $1.16M QoQ on higher average loan balances and stronger SBIC investment income; NIM remained 4.31% .
  • Stable operating discipline: total noninterest expense was essentially flat QoQ ($31.27M vs. $31.26M), with declines in “other” expense offsetting small increases elsewhere .
  • Dividend raised to $0.13 per share payable Nov 28, 2025; CEO emphasized “quarterly EPS up 25% YoY driven by top quartile net interest margin and continued expense discipline” .

What Went Wrong

  • Noninterest income fell $1.41M QoQ, primarily because Q2 included a $1.4M branch sale gain; Q3 saw lower gains on HELOC sales despite stronger SBA and residential sale gains .
  • Provision for credit losses rose to $2.02M (from $1.30M), reflecting off-balance-sheet exposures and qualitative factors amid higher NPLs; net charge-offs were $2.81M in the quarter .
  • Asset quality softened: nonperforming assets increased to $33.1M (0.72% of assets), NPL ratio up to 0.89% from 0.81% in Q2; classified assets rose to 1.23% of assets, led by SBA (with a significant guaranteed portion) and equipment finance (transportation) .

Financial Results

MetricQ1 2025Q2 2025Q3 2025
Diluted EPS ($)$0.84 $1.00 $0.95
Net Interest Income ($M)$42.91 $44.23 $45.39
Noninterest Income ($M)$8.03 $10.16 $8.75
“Total Revenues” ($M, NII + NIIx)$50.94 $54.39 $54.14
Net Interest Margin (%)4.18% 4.32% 4.31%
ROA (%)1.33% 1.58% 1.48%
ROE (%)10.52% 11.97% 11.10%

Note: “Total Revenues” reflects Net Interest Income + Noninterest Income (commonly used by sell-side screens for banks), aligning with Zacks revenue commentary .

Actual vs ConsensusQ1 2025Q2 2025Q3 2025
EPS Actual ($)$0.84 $1.00 $0.95
EPS Consensus ($)$0.758*$0.772*$0.868*
Revenue Actual ($M)$50.94 $54.39 $54.14
Revenue Consensus ($M)$49.76*$50.62*$53.34*

Values retrieved from S&P Global.*

Segment/Portfolio Mix ($MM)Dec 31, 2024Mar 31, 2025Jun 30, 2025Sep 30, 2025
Total Loans$3,648.3 $3,648.6 $3,672.0 $3,643.6
Commercial & Industrial$316.2 $349.1 $367.4 $399.2
Equipment Finance$406.4 $380.2 $360.5 $340.3
CRE – Non-owner Occupied$866.1 $867.7 $877.4 $861.2
1–4 Family Residential$630.4 $631.5 $640.3 $636.9
HELOCs$195.3 $199.7 $205.9 $216.1
Consumer$74.0 $64.2 $56.3 $48.7
KPIsQ1 2025Q2 2025Q3 2025
NPLs / Total Loans (%)0.74% 0.81% 0.89%
Nonperforming Assets / Total Assets (%)0.61% 0.67% 0.72%
ACL / Loans (%)1.23% 1.20% 1.18%
Net Charge-offs ($MM)$1.3 $2.0 $2.81
Efficiency Ratio (%)60.79% 57.47% n/a (not disclosed in Q3 10-Q)

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Quarterly Dividend per ShareQ4 2025$0.12 $0.13 (payable Nov 28, 2025; record Nov 14, 2025) Raised

No formal numerical guidance was provided for revenue, margins, OpEx, OI&E, or tax rate in Q3 materials; management indicated readiness to accelerate loan growth given curve slope improvements and strong capital .

Earnings Call Themes & Trends

An earnings call transcript for HTB’s Q3 2025 was not available in the document catalog or major transcript aggregators; this section reflects themes from Q1/Q2 releases and Q3 10‑Q/press release.

TopicPrevious Mentions (Q1 2025)Previous Mentions (Q2 2025)Current Period (Q3 2025)Trend
Net Interest MarginNIM widened to 4.18% on funding cost reductions NIM expanded to 4.32% NIM held at 4.31% Stable, high
Loan Sales Mix (HELOC/SBA/Residential)HELOC sales initiated; $89.4M HELOCs sold $108.8M HELOCs sold; branch gain $1.4M HELOC sales slowed ($45.3M); SBA/residential gains up Mixed
Asset QualityNPA 0.61%; classified assets 0.85% NPA 0.67%; classified assets 1.07% NPA 0.72%; NPLs 0.89%; classified 1.23% Softening
Hurricane Helene ImpactsDeferrals retained; $68.4M deferrals as of Apr 21 Qualitative allocation released; deferrals declined to $18.9M Deferrals down to $0.318M; $27k charge-offs to date Normalizing
Deposits & Brokered MixBrokered reduction from YE 2024 Deposits declined on brokered & branch sale Deposits down $81M YTD; brokered $318.3M (8.6% of deposits) Managing cost/liquidity

Management Commentary

  • “Our quarterly earnings per share have grown 25% year-over-year, driven by a top quartile net interest margin of 4.31% and continued expense discipline… With a solid capital position and further improvement in the slope of the yield curve, we are well-positioned to accelerate loan growth in future quarters.” — President & CEO Hunter Westbrook .
  • Overview highlights: net income $16.5M, EPS $0.95; NIM 4.31%; ROA 1.48%; ROE 11.10%; dividend increase to $0.13 .

Q&A Highlights

An earnings call transcript for Q3 2025 was not available; no Q&A content could be corroborated in the filing catalog or IR resources.

Estimates Context

  • EPS beat consensus in all three quarters of 2025 to date: Q1 ($0.84 vs $0.758*), Q2 ($1.00 vs $0.772*), Q3 ($0.95 vs $0.868*).
  • “Total revenues” beat consensus in Q2 and Q3: Q2 ($54.39M vs $50.62M*), Q3 ($54.14M vs $53.34M*); modest miss in Q1 ($50.94M vs $49.76M* was a beat).
  • With stable NIM and expense discipline, consensus EPS likely needs modest upward revisions if asset quality stabilizes. Values retrieved from S&P Global.*

Key Takeaways for Investors

  • EPS and revenue beats driven by higher net interest income and strong NIM; dividend increase to $0.13 is a tangible capital return signal and potential near-term catalyst .
  • Watch asset quality: NPL ratio and NPAs ticked higher; ACL/loans moved down to 1.18%; monitor SBA (guaranteed portion mitigates risk) and equipment finance (transportation) exposures .
  • Loan mix shifting toward C&I and HELOCs while equipment finance continues to normalize; this mix combined with curve dynamics supports sustained NIM near 4.3% if deposit costs are contained .
  • Noninterest income volatility is likely around loan sale volumes; Q3 decline was largely a lap of the Q2 branch gain; underlying SBA/residential gains improved QoQ .
  • Liquidity and funding remain adequate with diversified sources (FRB, FHLB, brokered deposits 8.6%); deposits down YTD but manageable with strong capital and lines available .
  • Near-term trading: dividend raise and consistent beats are supportive; watch next quarter’s asset quality trends and loan sale volumes for sentiment.
  • Medium-term thesis: sustained top-quartile NIM, disciplined OpEx, and selective loan growth can underpin EPS durability; execution on credit normalization will be key to multiple expansion .