NYSE$HOMB

Home BancShares Inc/AR · Q1 2020 earnings

Q1 2020 earnings · · Investor relations

Briefing

Home BancShares remained profitable in the first quarter during unprecedented times.

Home BancShares, Inc. reported first quarter earnings, demonstrating resilience with profitability despite significant net income noise primarily related to COVID-19 and acquisition-related expenses. The company's earnings power shone through, maintaining profitability even after $95 million of noise, most of which were non-cash expenditures.

  • The company recorded a $71.7 million provision for credit losses due to COVID-19.
  • Non-GAAP net earnings were $70.8 million, or $0.43 diluted earnings per share, after adjusting for $95.2 million of net additional expenses.
  • Net interest margin was 4.22% for the three-month period ended March 31, 2020.
  • Total assets increased to $15.53 billion at March 31, 2020.

Headline financials

Total Revenue

$163M

Previous: $163M-0.3%
EPS (adj)

$0.43

Previous: $0.42+2.4%
Efficiency Ratio

46.8%

No prior period
Net Interest Margin

4.2%

No prior period
NPA to Total Assets

0.4%

No prior period
Capital Expenditures

-$4.55M

Previous: -$2.86M-59.2%
Free Cash Flow

-$9.89M

Previous: $68.5M-114.4%
Net Income

-$5.35M

Previous: $71.4M-107.5%
Operating Income

-$4.01M

Previous: $83.1M-104.8%
Gross Profit

$75.3M

Previous: $163M-53.7%
Cash & Equivalents

$571M

Previous: $562M+1.6%
Total Assets

$15.5B

Previous: $15.2B+2.3%

Revenue & EPS history

Home BancShares · Revenue · Quarterly

$163M

Q1 2020-0.3%vs Q1 2019
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Forward guidance

This release may contain forward-looking statements regarding the Company’s plans, expectations, goals and outlook for the future.

Tailwinds

  • Economic conditions
  • Credit quality
  • Interest rates
  • Loan demand
  • Technological changes and cybersecurity risks

Headwinds

  • Disruptions and uncertainties in our business and operations as a result of the ongoing coronavirus pandemic
  • The ability to successfully integrate new acquisitions
  • Legislative and regulatory changes and risks associated with current and future regulations
  • Competition from other financial institutions
  • Changes in the assumptions used in making the forward-looking statements

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 2020

Historical avgQ1 2020

+0.2%

Avg return

Earnings day

+0.4%

Avg return

5 days after

+2.5%

Avg return

30 days after

48%

32 / 66 earnings

Positive

+9.7%

Q1 2020

Best reaction

-6.9%

Q3 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.4%-2.9%-7.3%
Q4 2025+1.0%-0.4%+2.6%
Q3 2025-3.4%-1.0%-0.6%
Q2 2025-2.1%-0.3%+3.6%
Q1 2025+1.8%+4.8%+12.9%
Q4 2024+3.4%+6.8%+5.3%
Q3 2024-0.7%-2.5%+13.5%
Q2 2024+0.1%+3.8%-0.8%
Q1 2024+7.0%+10.1%+10.2%
Q4 2023+6.6%+7.3%+2.5%
Q3 2023-2.8%-4.6%+5.4%
Q2 2023-5.8%-7.8%-9.6%
Q1 2023+0.0%-3.2%-1.7%
Q4 2022-0.4%-0.4%+9.1%
Q3 2022-4.7%-2.4%-0.6%
Q2 2022-0.9%+1.3%+11.4%
Q1 2022-4.5%-6.5%-11.6%
Q4 2021-3.8%+1.5%-6.0%
Q3 2021-0.8%-1.9%+1.6%
Q2 2021-4.9%-6.3%-5.9%
Q1 2021-0.0%-2.0%+4.0%
Q4 2020+4.1%+2.4%+10.5%
Q3 2020-1.1%-0.7%+15.3%
Q2 2020+2.2%+5.4%+11.0%
Q1 2020+9.7%+3.5%+4.8%
Q4 2019+6.6%+3.9%+3.0%
Q3 2019-1.0%+0.7%-2.0%
Q2 2019+2.0%+3.3%-4.1%
Q1 2019-2.0%+0.8%-4.2%
Q4 2018-3.0%-2.0%+6.7%
Q3 2018-6.9%-9.0%-5.1%
Q2 2018+0.1%-0.7%+2.5%
Q1 2018+3.1%+6.9%+7.0%
Q4 2017+0.3%+6.4%+2.1%
Q3 2017-5.4%-10.7%-14.0%
Q2 2017-2.0%+3.9%-6.0%
Q1 2017+0.0%+1.8%-5.3%
Q4 2016-0.4%+1.9%+6.5%
Q3 2016+1.5%+3.7%+27.2%
Q2 2016+1.8%+0.9%+6.9%
Q1 2016+0.8%
Q4 2015-3.7%
Q3 2015+4.2%
Q2 2015+1.6%
Q1 2015-3.7%
Q4 2014+1.1%
Q3 2014+4.0%
Q2 2014-2.4%
Q1 2014+3.4%
Q4 2013+1.5%
Q3 2013+5.0%
Q2 2013-1.3%
Q1 2013+3.7%
Q4 2012+1.2%
Q3 2012+4.9%
Q2 2012+0.7%
Q1 2011-0.7%
Q1 2012-1.0%
Q4 2009+0.2%
Q4 2011+0.2%
Q3 2011-2.3%
Q3 2010-2.3%
Q2 2011-0.5%
Q2 2010-0.5%
Q4 2010-0.5%
Q1 2010+7.0%

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