NASDAQ$HONE

HarborOne Bancorp Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Net income increased and mortgage banking income saw substantial growth due to record mortgage closings.

HarborOne Bancorp, Inc. reported a significant increase in net income for the second quarter of 2020, driven by strong mortgage banking income and an increase in net interest income. The company's digital banking also saw growth, and it initiated a cash dividend.

  • Net income increased to $10.6 million, or $0.19 per share.
  • Net interest income increased by 10.3% quarter over quarter, and the net interest margin increased by 9 basis points.
  • Mortgage banking income increased significantly, with record residential real estate mortgage closings of $856.5 million.
  • Total deposits increased by 10.0% to $3.3 billion.

Headline financials

Total Revenue

$68.1M

Previous: $26.7M+154.9%
EPS (adj)

$0.19

Previous: $0.08+137.5%
Net Interest Margin

3.0%

No prior period
Return on Average Assets

1.0%

No prior period
Return on Average Equity

6.2%

No prior period
Capital Expenditures

-$1.94M

Previous: $1.3M-249.3%
Free Cash Flow

-$24.2M

Previous: -$71M+66.0%
Net Income

$10.6M

Previous: $4.78M+121.2%
Operating Income

$51.3M

No prior period
Gross Profit

$68.1M

No prior period
Cash & Equivalents

$249M

Previous: $78.7M+216.3%
Total Assets

$4.46B

Previous: $3.74B+19.5%
Stock-Based Comp

$1.26M

No prior period

Revenue & EPS history

HarborOne · Revenue · Quarterly

$68.1M

Q2 2020+154.9%vs Q2 2019
Beat estimate in 6 of 16 quarters(38%)
ActualEstimate

Revenue by segment

HarborOne · $5.99M total across 4 segments · Q4 2021

  • Deposit Account Fees
    $4.78M
  • Other Income
    $589K
  • Bank-Owned Life Insurance Income
    $506K
  • Income on Retirement Plan Annuities
    $109K

Forward guidance

The 2020 results for HarborOne Mortgage are uncertain in light of the COVID-19 pandemic. The low mortgage interest rate environment spurred increased purchase and refinance activity in the first half of the year, continuing into the third quarter of 2020 with a locked residential mortgage pipeline at June 30, 2020 of $497.7 million; however, economic uncertainty and increased unemployment rates may have a negative impact on mortgage loan originations in the second half of 2020.

Historical earnings impact

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

Avg. return before/after earnings

Based on 6 quarterly earnings reports

Historical avg

+0.0%

Avg return

Earnings day

-3.0%

Avg return

5 days after

-1.7%

Avg return

30 days after

56%

20 / 36 earnings

Positive

+10.4%

Q1 2020

Best reaction

-13.3%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2025
Q2 2025-2.1%-2.0%+3.2%
Q1 2025+1.9%+0.9%+0.8%
Q4 2024-3.5%-3.1%-3.8%
Q3 2024-13.3%-8.6%-1.1%
Q2 2024+3.0%+1.6%-0.7%
Q1 2024+2.1%+0.9%+5.2%
Q4 2023-9.7%-10.8%-15.8%
Q3 2023+4.6%
Q2 2023+2.6%
Q1 2023-0.5%
Q4 2022-3.5%
Q3 2022+7.1%
Q2 2022+1.0%
Q1 2022+0.5%
Q4 2021-2.5%
Q3 2021-2.4%
Q2 2021-3.2%
Q1 2021-2.3%
Q4 2020+4.0%
Q3 2020-2.4%
Q2 2020+8.0%
Q1 2020+10.4%
Q4 2019-0.4%
Q3 2019+2.3%
Q2 2019+1.2%
Q1 2019+0.0%
Q4 2018-4.3%
Q3 2018+3.3%
Q2 2018+0.9%
Q1 2018+3.2%
Q4 2017-3.7%
Q3 2017+0.3%
Q2 2017+0.3%
Q1 2017+3.1%
Q4 2016-6.3%
Q3 2016+1.6%
Q2 2016
Q1 2016
Q4 2015
Q3 2015
Q2 2015
Q1 2015

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