NASDAQ$HTBK

Heritage Commerce Corp · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Reported a stellar second quarter with record earnings and solid year-over-year core deposit growth supporting strong organic loan growth

Heritage Commerce Corp reported net income of $14.8 million for the second quarter of 2022, an increase compared to $8.8 million for the same period in 2021. The annualized return on average tangible equity was 14.06%, and the efficiency ratio was 52.73%.

  • Diluted earnings per share were $0.24 for the second quarter of 2022, compared to $0.15 for the second quarter of 2021.
  • Net interest income, before provision for credit losses on loans, increased 20% to $41.9 million for the second quarter of 2022, compared to $34.9 million for the second quarter of 2021.
  • The fully tax equivalent (“FTE”) net interest margin increased 38 basis points to 3.38% for the second quarter of 2022, from 3.00% for the second quarter of 2021.
  • Nonperforming assets declined 56% from a year ago and down 29% from the linked quarter.

Headline financials

Total Revenue

$44M

Previous: $37M+18.7%
EPS (adj)

$0.24

Previous: $0.15+60.0%
Efficiency Ratio

52.7%

Previous: 69.6%-24.2%
Return on Tangible Assets

1.1%

Previous: 0.7%+57.5%
Capital Expenditures

-$522K

Previous: -$89K-486.5%
Free Cash Flow

$26M

Previous: $21M+23.7%
Net Income

$14.8M

Previous: $8.81M+68.2%
Operating Income

$37.6M

Previous: $29.7M+26.7%
Gross Profit

$43.8M

Previous: $37M+18.2%
Cash & Equivalents

$877M

Previous: $41.9M+1991.9%
Total Assets

$5.36B

Previous: $5.07B+5.6%

Revenue & EPS history

Heritage Commerce · Revenue · Quarterly

$44M

Q2 2022+18.7%vs Q2 2021
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Forward guidance

Company's balance sheet remains well positioned to benefit from rising interest rates, and together with strong liquidity and capital levels, earnings capacity and dedicated employees, is well positioned for further success.

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

+0.9%

Avg return

Earnings day

-0.1%

Avg return

5 days after

+1.3%

Avg return

30 days after

57%

37 / 65 earnings

Positive

+12.7%

Q1 2023

Best reaction

-6.6%

Q3 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026
Q4 2025-3.8%-6.3%-0.7%
Q3 2025+0.3%-2.1%+3.6%
Q2 2025-3.1%-6.0%+2.0%
Q1 2025-0.5%+0.0%-1.5%
Q4 2024+3.8%+4.7%+14.3%
Q3 2024-2.1%+1.8%+12.4%
Q2 2024+4.1%+2.5%-2.0%
Q1 2024-4.3%-5.0%-2.5%
Q4 2023-5.0%-4.6%-14.4%
Q3 2023+3.4%+2.5%+7.1%
Q2 2023-1.9%-2.3%-12.2%
Q1 2023+12.7%-1.7%+2.1%
Q4 2022-4.9%-3.4%-2.2%
Q3 2022+8.4%+8.4%+10.2%
Q2 2022+1.1%-0.3%-0.6%
Q1 2022-1.2%-0.4%+0.1%
Q4 2021+1.2%+0.6%-2.1%
Q3 2021+4.2%+4.5%-3.1%
Q2 2021-1.4%-1.6%+2.4%
Q1 2021+2.8%+1.3%-0.5%
Q4 2020-3.5%-3.4%+4.5%
Q3 2020+8.4%-0.5%+17.0%
Q2 2020+4.3%-1.7%-2.7%
Q1 2020-0.3%+14.5%-2.8%
Q4 2019-4.0%-6.6%-6.1%
Q3 2019-2.1%+2.7%+6.0%
Q2 2019+0.6%+0.8%-8.0%
Q1 2019-5.1%-2.4%-4.6%
Q4 2018+6.5%+3.4%+12.6%
Q3 2018+6.4%+7.3%+3.9%
Q2 2018+1.4%-9.2%-5.3%
Q1 2018+0.6%+0.3%+1.6%
Q4 2017-1.1%-1.2%+1.5%
Q3 2017+4.2%+5.1%+4.4%
Q2 2017-1.5%+0.1%-3.1%
Q1 2017-3.3%-1.9%-8.5%
Q4 2016-0.1%-2.8%-0.3%
Q3 2016+1.8%+0.4%+15.6%
Q2 2016-1.5%-1.9%+11.8%
Q1 2016-1.4%
Q4 2015+2.4%
Q3 2015-6.6%
Q2 2015+1.5%
Q1 2015+0.7%
Q4 2014-0.5%
Q3 2014+0.5%
Q2 2014+0.6%
Q1 2014+0.9%
Q4 2013-2.8%
Q3 2013+0.5%
Q2 2013-0.7%
Q1 2013-1.3%
Q4 2012+2.0%
Q3 2012-1.7%
Q2 2012+1.8%
Q1 2011-2.7%
Q1 2012+5.0%
Q4 2009+2.8%
Q4 2011+2.8%
Q4 2010+2.8%
Q3 2011+8.0%
Q3 2010+8.0%
Q2 2010+3.2%
Q2 2011+3.2%
Q1 2010+1.0%

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