NASDAQ$HFWA

Heritage Financial Corporation · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Heritage Financial's financial performance remained steady in Q1 2023, marked by solid profitability and loan growth, while maintaining strong capital ratios and credit quality.

Heritage Financial Corporation reported a net income of $20.5 million for Q1 2023, with diluted earnings per share at $0.58. The company saw loan growth and maintained strong capital ratios and credit quality. Deposits decreased due to competitive pricing pressures.

  • Net income was $20.5 million, or $0.58 per diluted share.
  • Loans receivable increased by $76.6 million, or 1.9% (7.7% annualized).
  • Leverage ratio was 9.9% and total capital ratio was 14.1% at the end of the quarter.
  • Nonperforming assets to total assets ratio decreased to 0.07%.

Headline financials

Total Revenue

$68.1M

Previous: $55.5M+22.7%
EPS (adj)

$0.58

Previous: $0.56+3.6%
Net Interest Margin

3.9%

Previous: 2.8%+37.7%
Cost of Total Deposits

0.3%

Previous: 0.1%+244.4%
Efficiency Ratio

61.1%

Previous: 64.4%-5.1%
Leverage Ratio

9.9%

No prior period
Capital Expenditures

-$4.65M

Previous: -$724K-542.7%
Free Cash Flow

$15.8M

Previous: $19M-17.0%
Net Income

$20.5M

Previous: $19.8M+3.5%
Operating Income

$47.6M

Previous: $43.3M+9.8%
Gross Profit

$66.3M

Previous: $51.9M+27.7%
Cash & Equivalents

$301M

Previous: $1.58B-80.9%
Total Assets

$7.24B

Previous: $7.48B-3.3%

Revenue & EPS history

Heritage Financial · Revenue · Quarterly

$68.1M

Q1 2023+22.7%vs Q1 2022
Beat estimate in 5 of 14 quarters(36%)
ActualEstimate

Revenue by segment

Heritage Financial · $3.43B total across 4 segments · Q1 2020

  • Non-Owner Occupied CRE
    $1.31B
  • Commercial & Industrial
    $890M
  • Owner-Occupied CRE
    $806M
  • Consumer
    $421M

Forward guidance

The company did not provide specific forward guidance in the earnings report.

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 2023

Historical avgQ1 2023

-0.6%

Avg return

Earnings day

-1.2%

Avg return

5 days after

+1.1%

Avg return

30 days after

42%

28 / 66 earnings

Positive

+7.3%

Q4 2025

Best reaction

-10.7%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.0%+0.9%-0.6%
Q4 2025+7.3%-1.0%+7.7%
Q3 2025+0.5%+1.7%+1.3%
Q2 2025-0.8%-2.8%+2.1%
Q1 2025+0.0%-0.2%+0.5%
Q4 2024+1.0%+2.6%-1.8%
Q3 2024+2.1%+5.1%+21.2%
Q2 2024+6.0%+6.2%+5.5%
Q1 2024-4.0%-4.7%-1.8%
Q4 2023-1.8%-3.2%-11.4%
Q3 2023+3.3%-1.9%+9.7%
Q2 2023-7.4%-3.4%-5.4%
Q1 2023-1.2%-12.0%-19.7%
Q4 2022+0.5%+1.3%+0.4%
Q3 2022-0.2%+1.5%+5.0%
Q2 2022-4.5%-2.8%+1.8%
Q1 2022+1.3%-0.1%-4.1%
Q4 2021-3.9%-2.6%+4.4%
Q3 2021+1.6%+0.4%-0.2%
Q2 2021-1.6%+0.8%+7.6%
Q1 2021+3.7%+3.7%+6.7%
Q4 2020-1.6%+0.0%+8.0%
Q3 2020+4.1%+1.0%+16.0%
Q2 2020-1.1%-3.1%-4.9%
Q1 2020-10.7%-14.5%-12.7%
Q4 2019-2.0%-4.1%-2.3%
Q3 2019-1.5%+0.9%-1.1%
Q2 2019-4.7%-5.3%-13.1%
Q1 2019-3.0%-3.4%-5.5%
Q4 2018+0.3%+0.5%+5.2%
Q3 2018+5.0%+8.9%+13.7%
Q2 2018-1.5%-5.7%-2.0%
Q1 2018-5.2%-5.2%+2.2%
Q4 2017+2.6%-0.5%+1.6%
Q3 2017+0.3%-1.6%-1.0%
Q2 2017+0.9%+1.9%-0.7%
Q1 2017+3.8%+0.4%-8.0%
Q4 2016-3.0%-4.7%-5.4%
Q3 2016+1.4%+2.8%+27.3%
Q2 2016-3.7%-5.2%-0.5%
Q1 2016+0.5%
Q4 2015+5.0%
Q3 2015-1.3%
Q2 2015-5.9%
Q1 2015-0.2%
Q4 2014-0.1%
Q3 2014-0.8%
Q2 2014+0.8%
Q1 2014-0.3%
Q4 2013-2.5%
Q3 2013+2.7%
Q2 2013-2.6%
Q1 2013-2.1%
Q4 2011+0.8%
Q4 2012-3.9%
Q3 2012-1.3%
Q2 2012+5.0%
Q1 2011+0.7%
Q1 2012+4.3%
Q4 2009-3.7%
Q3 2011-1.6%
Q3 2010-1.6%
Q2 2011-3.5%
Q2 2010-3.5%
Q4 2010-3.5%
Q1 2010-2.2%

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