NASDAQ$HBNC

Horizon Bancorp Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Reported record profitability and EPS of $0.54, driven by higher fees, pre-tax, pre-provision net income, and organic growth in loans.

Horizon Bancorp reported a record net income of $23.6 million for Q1 2022, representing a 15.4% increase year-over-year, with diluted EPS of $0.54, up from $0.46 in the prior year period. The company experienced growth in total, commercial, and consumer loans, and pre-tax, pre-provision net income rose to $25.7 million.

  • Net income grew to a record $23.6 million, up 15.4% from the prior year period, with EPS of $0.54.
  • Pre-tax, pre-provision net income increased to $25.7 million, a 6.1% rise from the prior year period.
  • Total loans, excluding PPP loans and sold commercial participation loans, grew by 2.3%, reaching $3.66 billion.
  • The company's asset sensitive balance sheet is expected to drive continued NIM improvement in 2022.

Headline financials

Total Revenue

$62.3M

Previous: $56.4M+10.5%
EPS (adj)

$0.54

Previous: $0.44+22.7%
Net Interest Margin

3.0%

Previous: 3.3%-9.1%
Efficiency Ratio

58.7%

Previous: 57.0%+3.0%
Capital Expenditures

$1.08M

Previous: -$1.12M+196.4%
Free Cash Flow

$23.6M

Previous: $19.3M+22.1%
Net Income

$23.6M

Previous: $20.4M+15.4%
Operating Income

$52.4M

Previous: $45.1M+16.4%
Gross Profit

$61.7M

Previous: $55.1M+12.0%
Cash & Equivalents

$121M

Previous: $529M-77.1%
Total Assets

$7.42B

Previous: $6.06B+22.5%
Stock-Based Comp

$529K

Previous: $362K+46.1%

Revenue & EPS history

Horizon Bancorp · Revenue · Quarterly

$62.3M

Q1 2022+10.5%vs Q1 2021
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

Horizon Bancorp · $11.5M total across 8 segments · Q1 2020

  • Gain on mortgage sales
    $3.47M+165.3%
  • Fiduciary activities
    $2.53M+21.0%
  • Deposit service charges
    $2.45M+30.3%
  • Interchange fees
    $1.9M+39.3%
  • BOLI cash value increase
    $554K+8.0%
  • Other income
    $398K-51.7%
  • Wire transfer fees
    $171K+44.9%
  • Mortgage servicing
    $25K-95.9%

Forward guidance

Horizon Bancorp anticipates continued NIM improvement in 2022, driven by rates and loan volume, with deposit betas expected to remain competitive.

Tailwinds

  • Continued NIM improvement in 2022 driven by both rates and loan volume
  • Deposit betas will remain in line with or better than in–footprint competition
  • Strong marketplace positioning
  • Conservative expectations for higher–priced deposit runoff
  • Asset sensitive balance sheet

Headwinds

  • Nationwide wage inflation
  • Ongoing operating costs associated with branch acquisition
  • Unrealized losses on available for sale investments of $73.6 million
  • Impact to the tangible capital ratio was a decrease of 67 basis points
  • One–time charge of approximately $432,000 related to branch closures

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

-0.0%

Avg return

Earnings day

+0.0%

Avg return

5 days after

+1.7%

Avg return

30 days after

55%

36 / 66 earnings

Positive

+7.4%

Q2 2023

Best reaction

-20.5%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.4%+4.8%+4.4%
Q4 2025+2.3%-3.7%-0.9%
Q3 2025-2.3%+1.4%+2.6%
Q2 2025-1.4%-0.7%+0.4%
Q1 2025+4.6%+4.7%+3.7%
Q4 2024+4.6%+8.1%+6.8%
Q3 2024+5.8%+7.4%+22.3%
Q2 2024+6.1%+3.4%+2.7%
Q1 2024-3.3%-5.9%-0.2%
Q4 2023-2.2%-0.4%-13.5%
Q3 2023+0.8%-1.6%+16.1%
Q2 2023+7.4%+6.5%-6.7%
Q1 2023+4.9%+0.5%-6.7%
Q4 2022-4.7%-2.5%-0.7%
Q3 2022-20.5%-25.5%-19.4%
Q2 2022+1.5%+3.5%+5.2%
Q1 2022+0.4%-2.8%-1.8%
Q4 2021-6.1%-4.6%-9.1%
Q3 2021-2.7%+2.1%+4.5%
Q2 2021+4.1%+3.3%+10.7%
Q1 2021+1.1%+1.5%+1.1%
Q4 2020-2.7%-0.2%+6.1%
Q3 2020+1.2%+3.7%+25.2%
Q2 2020+7.3%+2.1%+13.8%
Q1 2020+1.9%-3.4%-8.1%
Q4 2019-1.3%-3.3%-15.0%
Q3 2019+2.9%+3.3%+5.0%
Q2 2019+5.6%+7.1%-0.9%
Q1 2019-2.3%+3.2%-0.1%
Q4 2018-4.1%-3.5%+5.5%
Q3 2018-1.1%+1.6%+2.4%
Q2 2018+3.1%+2.1%+0.3%
Q1 2018-1.4%-4.5%+3.5%
Q4 2017+3.0%+5.5%+3.2%
Q3 2017-0.7%-5.1%-6.3%
Q2 2017-0.4%-0.6%-2.9%
Q1 2017+1.5%+0.4%-5.9%
Q4 2016-0.2%-4.1%+0.0%
Q3 2016-5.5%-5.8%+16.6%
Q2 2016+0.8%+2.1%+3.6%
Q1 2016+0.7%
Q4 2015-3.7%
Q3 2015+2.2%
Q2 2015-4.0%
Q1 2015+0.9%
Q4 2014+0.6%
Q3 2014+0.9%
Q2 2014-0.1%
Q1 2014-2.4%
Q4 2013-4.1%
Q3 2013-1.4%
Q2 2013+0.6%
Q1 2013-1.3%
Q4 2011-2.1%
Q4 2012-8.5%
Q3 2012-3.0%
Q2 2012-0.5%
Q1 2011+0.1%
Q1 2012-3.1%
Q4 2009+0.8%
Q3 2010+1.0%
Q3 2011+1.0%
Q2 2011+4.7%
Q4 2010+4.7%
Q2 2010+4.7%
Q1 2010+1.6%

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