Home Bancorp Inc (HBCP) 2024 Q2 法說會逐字稿

Good morning, ladies and gentlemen, and welcome to the Home Bancorp's second quarter 2024 earnings conference call. (Operator Instructions) Please note this event is being recorded. I would now like to turn the conference over to Home Bancorp's Chairman, President and CEO, John Bordelon; and Chief Financial Officer, David Kirkley. Mr. Kirkley, please go ahead.

早安，女士們、先生們，歡迎參加 Home Bancorp 2024 年第二季財報電話會議。（操作員說明）請注意此事件正在被記錄。現在我想將會議交給 Home Bancorp 董事長、總裁兼執行長 John Bordelon；和財務長大衛柯克利。柯克利先生，請繼續。

Thank you, Kenneth. Good morning, and welcome to Home Bancorp second quarter 2024 earnings call. Our earnings release and investor presentation are available on our website. I ask that everyone, please refer to the disclaimer regarding forward-looking statements in the investor presentation and our SEC filings. Now I'll hand it over to John, to make a few comments about the second quarter. John?

謝謝你，肯尼斯。早上好，歡迎參加 Home Bancorp 2024 年第二季財報電話會議。我們的收益發布和投資者介紹可在我們的網站上取得。我請大家參閱投資者介紹和 SEC 文件中有關前瞻性陳述的免責聲明。現在我將把它交給約翰，對第二季發表一些評論。約翰？

Thanks, David, and good morning, and thank you for joining Home Bank's earning call today. We appreciate your interest in Home Bank's as we discuss our results, expectations for the future and our approach to creating long-term shareholder value. We reported second quarter net income of $8.1 million or $1.02 per share, and most importantly, a slight improvement in our net interest margin, which appears to have stabilized and NIM came in at 3.66%, which was 2 basis points higher than the first quarter.

謝謝大衛，早安，謝謝您今天參加家庭銀行的財報電話會議。感謝您對 Home Bank 的關注，我們將討論我們的業績、對未來的期望以及我們創造長期股東價值的方法。我們報告第二季淨利為810 萬美元，即每股1.02 美元，最重要的是，我們的淨利差略有改善，似乎已經穩定下來，淨息差為3.66%，比第一季高2個基點。

We're cautiously optimistic that continued steady increases in asset yields and stabilization in our cost of funds will continue to support net interest income growth and improving margins even without any Fed rate cuts. We added $39.7 million of loans in the second quarter with growth in all sectors, except for construction and land loans, which declined slightly given the strong loan growth we had in the first half of the year, we're still anticipating that 2024 loan growth will be between 4% and 6%.

我們謹慎樂觀地認為，即使聯準會不降息，資產收益率的持續穩定成長和資金成本的穩定也將繼續支持淨利息收入成長和利潤率改善。第二季度我們增加了 3,970 萬美元的貸款，所有行業均出現增長，但建築和土地貸款除外，鑑於上半年貸款增長強勁，這些貸款略有下降，我們仍預計 2024 年貸款增長將在4% 至6% 之間。

The duration of higher rates appears to now be negatively impacting our loan pipeline, but we're optimistic that a forecasted rate cuts occur. We could see loan demand pick back up. Deposits, including demand deposits were stable from the last quarter after very strong growth in the fourth and first quarters. We were pleased to see $12.6 million of core deposit growth in our Houston market as our teams there brought over the operating accounts of a number of new clients.

高利率的持續時間現在似乎對我們的貸款管道產生了負面影響，但我們對預期的降息發生持樂觀態度。我們可以看到貸款需求回升。包括活期存款在內的存款繼第四季和第一季強勁成長後，較上季保持穩定。我們很高興看到休士頓市場的核心存款增加了 1,260 萬美元，因為我們的團隊帶來了許多新客戶的營運帳戶。

We relocated another one of our Houston branches and continue to look for opportunities to improve our coverage of the markets we serve by adding brick-and-mortar and talent. Despite all the negative headlines we hear and Home Bank are actually seeing improvements in credit.

我們搬遷了休士頓的另一個分支機構，並繼續尋找機會，透過增加實體和人才來擴大我們所服務的市場覆蓋範圍。儘管我們聽到了所有負面新聞，但家庭銀行實際上看到了信貸的改善。

In the past few months, we have had a $5 million construction loan go from nonperforming to performing with interest reserves after we work with the borrower who had we've known for years to manage through some delays and cost overruns. We also recently resolved a nonperforming $3.4 million multifamily loan without any principal loss.

在過去的幾個月裡，在我們與多年來認識的借款人合作處理一些延誤和成本超支之後，我們有一筆 500 萬美元的建築貸款從不良貸款轉為正常貸款，並保留了利息儲備。我們最近也解決了一筆 340 萬美元的多戶家庭不良貸款，沒有造成任何本金損失。

We feel very good about a nonperforming $4.7 million lending relationship that has about $2 million of equity behind it. A year ago, David and I were in New York and we were both struck by the number of high-rise buildings with empty floors. We just don't have that same problem in our markets. And I know most of our colleagues and other community banks feel the same way. We lend to people, we know in markets we know.

我們對 470 萬美元的不良貸款關係感到非常滿意，而其背後有約 200 萬美元的股本。一年前，大衛和我在紐約，我們都對大量空置的高層建築感到震驚。我們的市場上沒有同樣的問題。我知道我們大多數的同事和其他社區銀行都有同樣的感覺。我們向我們熟悉的市場中的人們提供貸款。

We're not making the loans that are being written about in the financial press. Community Banking is about providing our shareholders with an attractive risk adjusted return. We're not in the business of making loans that could result in huge losses on relationships that aren't the right fit.

我們不會提供金融媒體上所報告的貸款。社區銀行業務旨在為我們的股東提供有吸引力的風險調整回報。我們不從事可能對不合適的關係帶來巨大損失的貸款業務。

Finally, before I turn it back over to David, I'd like to welcome Mark Herpin to the Home Bank team, where he joins as Senior Executive Vice President and Chief Operations Officer. Mark has had a long and successful career in community banking, and we look forward to his contributions at Home Bank. I'd also like to congratulate Natalie Lemoine, our Chief Administrative Officer; and John Zollinger, our Chief Banking Officer on their promotions to Senior Executive Vice President of the bank.

最後，在我將其轉回給 David 之前，我要歡迎 Mark Herpin 加入 Home Bank 團隊，他將擔任高級執行副總裁兼營運長。馬克在社區銀行業務領域擁有長期而成功的職業生涯，我們期待他在 Home Bank 做出貢獻。我還要祝賀我們的首席行政官 Natalie Lemoine；和我們的首席銀行官約翰·佐林格 (John Zolllinger) 晉升為銀行高級執行副總裁。

With that, I'll turn it back over to David.

有了這個，我會把它轉回給大衛。

Thanks, John. Net interest income totaled $29.4 million in Q2, up $492,000 from the previous quarter. Loan growth continued at a 6% annualized pace during the quarter, with new loans coming in at a rate of 8.25% compared to the 6.28% we earned on our total loan portfolio in Q2.

謝謝，約翰。第二季淨利息收入總計 2,940 萬美元，較上一季增加 492,000 美元。本季貸款持續以 6% 的年化速度成長，新貸款成長率為 8.25%，而第二季我們總貸款組合的成長率為 6.28%。

Deposits were essentially flat quarter over quarter, which increased our loan to deposit ratio to 97.7%. The pace of deposit migration has definitely slowed, and non-interest bearing deposits actually increased by $4.3 million in the second quarter. We did experience declines in interest-bearing checking accounts and savings accounts, which were down about $25 million combined.

存款較上季基本持平，貸存比率升至 97.7%。存款遷移的步伐明顯放緩，第二季無息存款實際上增加了430萬美元。我們確實經歷了計息支票帳戶和儲蓄帳戶的減少，總共減少了約 2500 萬美元。

This outflow was offset by increase in money market and CD balances of $21 million. The outflows that we did see mostly occurred in April, coinciding with taxes. The impact of the slowing deposit migration can be seen in the slower increases in the rates we are paying on our interest-bearing deposits which increased by 17 basis points in the second quarter after having increased by 28 basis points in the first quarter, 40 basis points in the fourth quarter and 54 basis points in the third quarter last year.

這筆資金外流被貨幣市場和存款證餘額 2,100 萬美元的增加所抵銷。我們確實看到的資金外流主要發生在四月份，與稅收同時發生。存款遷移放緩的影響可以從我們的計息存款利率增長放緩中看出，在第一季增加 28 個基點之後，第二季度增加了 17 個基點，即 40 個基點去年第四季度為54個基點，第三季為54 個基點。

Pages 11 and 12 of our investor presentation provide some additional detail on credit, which John has already covered. Nonperforming loans did decrease by $3.5 million in the second quarter to $16.8 million or 0.63% of total loans. Provision expense for the quarter was $1.3 million, up $1.1 million from the prior quarter.

我們的投資者簡報的第 11 頁和第 12 頁提供了約翰已經介紹過的一些有關信貸的其他詳細資訊。第二季不良貸款確實減少了 350 萬美元，至 1,680 萬美元，佔貸款總額的 0.63%。本季撥備費用為 130 萬美元，比上一季增加 110 萬美元。

Our allowance for loan loss ratio increased 1 basis point to 1.21% in the second quarter. There were no changes in our qualitative factors during the quarter, and we feel confident in our reserve levels. We did have $510,000 or 8 basis points annualized net charge-offs in the second quarter. These charge-offs were very much customers specific issues and not industry related.

第二季度，我們的貸款損失準備率上升 1 個基點至 1.21%。本季我們的定性因素沒有變化，我們對我們的準備金水準充滿信心。第二季我們確實有 51 萬美元或 8 個基點的年化淨沖銷。這些沖銷很大程度上是客戶特定的問題，與產業無關。

Slide 16 has some detail on our historic NIM and its components as John mentioned, we're cautiously optimistic that NIM has bottomed out and should start to slowly increase from here. Loan yields have been steadily increasing due to a combination of loan growth and loan repricing and with the reduced pace of increases in liability costs, our NIM has increased each month this quarter.

正如約翰所提到的，幻燈片 16 詳細介紹了我們歷史上的 NIM 及其組成部分，我們對 NIM 已經觸底並應該開始緩慢增長持謹慎樂觀的態度。由於貸款成長和貸款重新定價的共同作用，貸款收益率一直在穩步上升，並且隨著負債成本增長速度的放緩，我們的淨息差本季​​度每個月都在增加。

We have approximately $490 million of CDs maturing in the next six months. The majority of these CDs are in specials at rates, a little north of 5%. So if rates and deposit mix remained unchanged, we could see flat to marginal declines in CD costs. We have opportunities for more meaningful cost reductions if we do see rate cuts.

我們大約有價值 4.9 億美元的 CD 將在未來六個月內到期。這些 CD 中的大多數都以特價出售，價格略高於 5%。因此，如果利率和存款組合保持不變，我們可能會看到存款準備成本持平或邊際下降。如果我們確實看到降息，我們就有機會進行更有意義的成本削減。

Slide 18 of the presentation has some additional details on noninterest income and expenses. Noninterest income increased by about $200,000 to $3.8 million and should be between $3.6 million and $3.8 million in the third and fourth quarters. Noninterest expense increased by $940,000 to $21.8 million due primarily to annual salary increases that took effect April 1. This was at the low end of our expectations.

簡報的幻燈片 18 有一些有關非利息收入和支出的其他詳細資訊。非利息收入增加了約 20 萬美元，達到 380 萬美元，第三季和第四季應在 360 萬美元到 380 萬美元之間。非利息支出增加了 94 萬美元，達到 2,180 萬美元，這主要是由於 4 月 1 日生效的年薪上漲。這是我們預期的最低值。

We expect core noninterest expense to be between $22 million and $22.5 million in the third and fourth quarters. We were a little more aggressive with the buyback and repurchased about 77,000 shares at an average price of $37 per share in the second quarter, which equates to [90%] of tangible book value, excluding AOCI.

我們預計第三季和第四季的核心非利息支出將在 2,200 萬美元至 2,250 萬美元之間。我們在回購方面更加激進，在第二季以每股 37 美元的平均價格回購了約 77,000 股股票，相當於有形帳面價值的 [90%]（不包括 AOCI）。

Slide 19 summarizes the impact of our capital management strategy has had on Home Bank over the last few years. We've grown adjustable tangible group adjusted tangible book value per share by 58% since 2018, increased our dividend by 67% since 2016 and repurchased 14% of our shares all while maintaining robust capital ratios, which positions us to be successful in any economic environment and take advantage of opportunities as they arise.

投影片 19 總結了過去幾年我們的資本管理策略對 Home Bank 的影響。自2018 年以來，我們的可調整有形集團調整後每股有形帳面價值成長了58%，自2016 年以來我們的股息增加了67%，並回購了14% 的股票，同時保持強勁的資本比率，這使我們能夠在任何經濟領域取得成功環境並利用出現的機會。

And with that, operator, please open the line for Q&A.

那麼，接線員，請打開問答線。

Thank you. We will now begin the question and answer session. (Operator Instructions)

謝謝。我們現在開始問答環節。（操作員說明）

Feddie Strickland, Hovde Group.

費迪·斯特里克蘭，霍夫德集團。

Hey, good morning, John and David. Already touched on this in your opening comments a little bit was just wondering if you can talk through a little bit more of the non-interest bearing deposits, obviously positive to see those grow. Is that really just success on the C&I side in Houston or was that more footprint wide?

嘿，早上好，約翰和大衛。在您的開場白中已經談到了這一點，只是想知道您是否可以談談更多的無息存款，顯然對這些存款的增長是積極的。這真的只是休士頓 C&I 方面的成功還是足跡更廣泛？

Well, I think what we were going through there was mostly in Houston and we pulled out a team at the beginning of the year from another bank. And a lot of the efforts that happened in Houston came from that team. They're in loan production office in the northwest section of Houston.

嗯，我認為我們所經歷的事情主要是在休士頓，我們在今年年初從另一家銀行撤出了一支團隊。休士頓發生的許多努力都來自該團隊。他們在休士頓西北區的貸款生產辦公室。

And they've done a very good job of attracting new customers and our focus has been on the deposit side. So they've attracted some that are loan and deposit and some that are just deposits. So that was what we were highlighting there was the success of that new team.

他們在吸引新客戶方面做得非常好，我們的重點是存款方面。所以他們吸引了一些貸款和存款，還有一些只是存款。這就是我們強調的新團隊的成功。

We've also seen job growth in the DDA space and the Acadiana market as that market has been focused more heavily on the C&I business as well?

我們也看到 DDA 領域和 Acadiana 市場的就業成長，因為該市場也更關注 C&I 業務？

And along the same lines, I mean, as we think about the type of loan growth you're looking for going forward It sounds like you're focused on bringing in more C&I just given that it's more likely to come with deposits, correct?

同樣，我的意思是，當我們考慮您未來尋求的貸款增長類型時，聽起來您似乎專注於引入更多的 C&I，因為它更有可能伴隨著存款，對嗎？

Yes, absolutely.

是的，絕對是。

Got it. And one last question for me. Just on share repurchases. I mean, do you think we'll see that potentially slow down a little bit if the share price kind of keeps moving upwards here, or do you think that on you'll still have some level of repurchases going forward? Just keep in mind some dry powder?

知道了。還有最後一個問題想問我。就股票回購而言。我的意思是，如果股價繼續上漲，您是否認為我們會看到這種情況可能會放緩一點，或者您認為未來仍會有一定程度的回購？只要記住一些乾粉嗎？

We would probably slow it down at the elevator or the higher prices that we've experienced over the last week and keep the dry powder.

我們可能會在電梯或上週經歷的較高價格時放慢速度，並保留乾粉。

Got it. Thanks for taking the questions.

知道了。感謝您提出問題。

(Operator Instructions)

（操作員說明）

Joe Yanchunis, Raymond James.

喬揚楚尼斯，雷蒙德詹姆斯。

Good morning.

早安.

Morning.

早晨。

Hi Joe.

嗨喬。

So with the NIM expansion, you're appearing to occur a little bit ahead of schedule. Can you provide some of the puts and takes on what will drive the NIM in the second half of the year?

因此，隨著 NIM 的擴展，您的進度似乎提前了一些。您能否提供一些推動下半年淨利差的因素？

So one of the driving factors is, of course, loan growth and loan repricing. You can see on our slide deck on slide 16, we've been consistently raising our loan yield by about 10 basis points each quarter and still expect that to continue as we still have a weighted average rate of our loan portfolio of 6.28% compared to what we're bringing on loans at [8.25%]. So that's one component of it.

因此，驅動因素之一當然是貸款成長和貸款重新定價。您可以在投影片16 的幻燈片中看到，我們每個季度都持續將貸款收益率提高約10 個基點，並且仍預計這種情況會持續下去，因為與去年同期相比，我們的貸款組合加權平均利率仍為6.28%。[8.25%]。這是其中的一個組成部分。

Second component of it is, you're really seeing a slowdown and opportunities for deposits to reprice higher. There's still some deposit migration, but the vast majority of our CD portfolio has already repriced higher. We touched upon it a little bit on our call when we said the CDs are already a little bit north of 5%.

第二個組成部分是，你確實看到了經濟放緩和存款重新定價更高的機會。仍有一些存款遷移，但我們的 CD 投資組合的絕大多數已經重新定價更高。當我們說 CD 已經略高於 5% 時，我們在電話會議上稍微提到了這一點。

And our CD special rates are actually a little bit lower in some cases. So there's not as much repricing opportunities to occur on the CD and deposit space. So we think that the pace of loan yield increases is going to off more than offset deposit cost increases.

在某些情況下，我們的 CD 特價實際上會更低。因此，CD 和存款空間上沒有那麼多重新定價的機會。因此，我們認為貸款收益率成長的步伐將超過抵銷存款成本的成長。

Not to mention any movement by the Fed this year will contribute to the ability to be on these deposits or maintain the deposit side a little bit lower rate. So we feel very comfortable in the fact that our CD rates should stabilize or head downward based upon what the Fed does.

更不用說聯準會今年的任何舉措都將有助於提高這些存款的能力或維持存款利率略低的能力。因此，我們感到非常放心，我們的存款利率應該根據聯準會的行動而穩定或下降。

Understood. And we've heard some of your peers know, some increased competition on deposits is that something you've experience and kind of how should we think about the near-term trajectory of deposit costs?

明白了。我們聽說你們的一些同行知道，你們已經經歷過存款競爭的加劇，我們應該如何考慮存款成本的近期軌跡？

We haven't seen that much pressure. There are some one-offs here or there on we obviously take care of. But for the most part, most everyone in our market, I think there was one bank in the Houston market that was in the 5.25, 5.38 area. But for the most part, we have not had any problem attracting deposits.

我們還沒看到那麼大的壓力。我們顯然會照顧到這裡或那裡的一些一次性問題。但在大多數情況下，我們市場上的大多數人，我認為休士頓市場上有一家銀行位於 5.25、5.38 區域。但在大多數情況下，我們在吸收存款方面沒有遇到任何問題。

Okay then. If I could just sneak in one more here.

那麼好吧。如果我能再偷偷溜進去一次就好了。

Yep.

是的。

So asset quality metrics improved pretty nicely in the quarter, though you elected to increase your reserve ratio. Can you discuss what really drove the thought process? Then secondly, perhaps it's too early to call, but if we get a couple of rate cuts and the economy doesn't deteriorate. Would it be fair to say that criticized and NPA as might have already peaked?

因此，儘管您選擇提高準備金率，但資產品質指標在本季取得了相當大的改善。您能討論一下真正推動思考過程的因素是什麼嗎？其次，也許現在下結論還為時過早，但如果我們進行幾次降息並且經濟不會惡化。可以公平地說，批評和 NPA 可能已經達到頂峰嗎？

Let me take the CECL question first. And we really didn't decide to increase our allowance. It's just a mixture of the mix change in our loan portfolio quarter over quarter and the duration perhaps of new loans, that's really it. We didn't change any qualitative factors. We didn't adjust make any adjustments with regards to any industry specific qualitative factors. So it's just a function really of our loan portfolio changing.

讓我先回答CECL問題。我們確實沒有決定增加我們的津貼。這只是我們貸款組合逐季混合變化以及新貸款期限的混合，僅此而已。我們沒有改變任何定性因素。我們沒有對任何行業特定的定性因素進行任何調整。所以這只是我們貸款組合變化的一個函數。

As it relates to the remainder of the year, I am very optimistic that there could be a little bit of issues as far as credit, but we're not really seeing it in any one particular industry or just individually. We've had a couple of one-offs here and there that have gone bad had really nothing to do with the economy had more to do with the operators themselves.

就今年剩餘時間而言，我非常樂觀地認為信貸方面可能會出現一些問題，但我們並沒有真正在任何特定行業或只是個別行業看到它。我們這裡那裡都有一些一次性的問題，這些問題實際上與經濟無關，更多的是與營運商本身有關。

So we're feeling as though the economy is going to actually improve possibly in 2025 because of a lower rate environment.

因此，我們認為，由於較低的利率環境，經濟可能會在 2025 年真正改善。

All right. Well, thank you for taking the questions.

好的。好的，謝謝您提出問題。

Thank you.

謝謝。

This concludes our question and answer session. I would like to turn the conference back over to John for any closing remarks. Please go ahead.

我們的問答環節到此結束。我想將會議轉回給約翰發表閉幕詞。請繼續。

Once again, thank you all for joining us today. Very excited about the position the bank has gotten to at this point and look forward to the rest of the year and speaking to many of you in the next day or so. Thank you very much for attending. Have a good day.

再次感謝大家今天加入我們。對銀行目前所取得的地位感到非常興奮，並期待今年剩下的時間，並在第二天左右與你們中的許多人交談。非常感謝您的出席。祝你有美好的一天。

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。