8-K
HomeTrust Bancshares, Inc. (HTB)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): January 22, 2026
HOMETRUST BANCSHARES, INC.
(Exact name of registrant as specified in its charter)
| Maryland | 001-35593 | 45-5055422 | |
|---|---|---|---|
| (State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | |
| 10 Woodfin Street, Asheville, North Carolina | 28801 | ||
| --- | --- | ||
| (Address of principal executive offices) | (Zip Code) | Registrant's telephone number, including area code: (828) 259-3939 | |
| --- | Not Applicable | ||
| --- | --- | ||
| (Former name or former address, if changed since last report) |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||
|---|---|---|---|---|
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||
| --- | --- | ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
| --- | --- | ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |
| --- | --- |
Securities Registered Pursuant to Section 12(b) of the Act:Title of each classTrading SymbolName of each exchange on which registeredCommon Stock, par value $0.01 per shareHTBThe New York Stock Exchange LLC
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
| Emerging growth company | ☐ |
|---|---|
| If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. | ☐ |
Item 2.02 Results of Operations and Financial Condition
On January 22, 2026, HomeTrust Bancshares, Inc., (the "Company") the holding company for HomeTrust Bank, issued a press release reporting financial results for the fourth quarter of the year ended December 31, 2025 and the declaration and approval of its quarterly cash dividend. A copy of the press release, including unaudited financial information released as a part thereof, is attached as Exhibit 99.1 to this Current Report on Form 8-K and incorporated herein by reference.
Item 7.01 Regulation FD Disclosure
The attached investor presentation contains financial data that members of management will use from time to time with investors, analysts and other interested parties to assist in their understanding of the Company. The investor presentation is also available on the Company’s website at ir.htb.com. The presentation is furnished as Exhibit 99.2 to this Current Report on Form 8-K and is incorporated herein by reference.
Item 8.01 Other Events
The Company announced today that the annual meeting of stockholders will be held at 10:00 a.m., local time, on May 18, 2026, at Highland Brewing Company, located at 12 Old Charlotte Hwy Suite 200, Asheville, North Carolina.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits
| 99.1 | Press release dated January 22, 2026 |
|---|---|
| 99.2 | December 31, 2025 investor presentation |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| HOMETRUST BANCSHARES, INC. | ||
|---|---|---|
| Date: January 22, 2026 | By: | /s/ Tony J. VunCannon |
| Tony J. VunCannon | ||
| Executive Vice President, Chief Financial Officer, Corporate Secretary and Treasurer |
2
Document
HomeTrust Bancshares, Inc. Announces Financial Results for the Fourth Quarter of the Year Ended
December 31, 2025 and Declaration of a Quarterly Dividend
ASHEVILLE, N.C., January 22, 2026 – HomeTrust Bancshares, Inc. (NYSE: HTB) ("Company"), the holding company of HomeTrust Bank ("Bank"), today announced preliminary net income for the fourth quarter of the year ended December 31, 2025 and approval of its quarterly cash dividend.
For the quarter ended December 31, 2025 compared to the quarter ended September 30, 2025:
•net income was $16.1 million compared to $16.5 million;
•diluted earnings per share ("EPS") were $0.93 compared to $0.95;
•annualized return on assets ("ROA") was 1.44% compared to 1.48%;
•annualized return on equity ("ROE") was 10.63% compared to 11.10%;
•net interest margin was 4.20% compared to 4.31%;
•provision for credit losses was $2.1 million compared to $2.0 million;
•tax free bank owned life insurance ("BOLI") death benefit proceeds in excess of cash surrender value was $92,000 compared to $0;
•quarterly cash dividends increased $0.01 per share, or 8.3%, to $0.13 per share totaling $2.2 million compared to $0.12 per share totaling $2.1 million; and
•241,201 shares of Company common stock were repurchased during the current quarter at an average price of $42.19 compared to none in the prior quarter.
For the year ended December 31, 2025 compared to the year ended December 31, 2024:
•net income was $64.4 million compared to $54.8 million;
•diluted EPS was $3.72 compared to $3.20;
•ROA was 1.46% compared to 1.23%;
•ROE was 11.06% compared to 10.37%;
•net interest margin was 4.25% compared to 4.07%;
•provision for credit losses was $6.9 million compared to $7.5 million;
•gain on the sale of our two Knoxville, Tennessee branches was $1.4 million compared to $0;
•tax free BOLI death benefit proceeds in excess of cash surrender value of $92,000 compared to $1.1 million;
•cash dividends of $0.49 per share totaling $8.4 million compared to $0.45 per share totaling $7.7 million; and
•334,413 shares of Company common stock were repurchased during the current year at an average price was $40.30 compared to 23,483 shares repurchased at an average price of $27.48 in the prior year.
The Company also announced today that its Board of Directors declared a quarterly cash dividend of $0.13 per common share payable on February 26, 2026 to shareholders of record as of the close of business on February 18, 2026.
“Fiscal year 2025 ended with another quarter of strong financial performance,” said Hunter Westbrook, President and Chief Executive Officer. “For the second consecutive year, we delivered 11% growth in our tangible book value per share – driven by our top quartile net interest margin of 4.25%, strong gains on the sale of loans, and continued expense discipline. With our robust capital base and clear strategic vision, we are poised to accelerate loan growth in 2026.
“As previously announced, HomeTrust was once again recognized as one of the 2025 America’s Top 100 Most Loved Workplaces by the Best Practice Institute, a 2025 Best Bank to Work For by American Banker, and one of the 2026 America’s Best Workplaces by Best Companies Group. These recognitions affirm the culture we’ve built – one rooted in empowering teammates, strengthening communities and cultivating a workplace where belonging fuels excellence – so we can make a lasting difference together. Our culture is the engine behind the momentum, and the reason HomeTrust continues to be a consistently high-performing community bank.”
WEBSITE: WWW.HTB.COM
Contact:
C. Hunter Westbrook – President and Chief Executive Officer
Tony J. VunCannon – Executive Vice President, Chief Financial Officer, Corporate Secretary and Treasurer
828-259-3939
Comparison of Results of Operations for the Three Months Ended December 31, 2025 and September 30, 2025
Net Income. Net income totaled $16.1 million, or $0.93 per diluted share, for the three months ended December 31, 2025 compared to $16.5 million, or $0.95 per diluted share, for the three months ended September 30, 2025, a decrease of $367,000, or 2.2%. The results for the three months ended December 31, 2025 compared to the quarter ended September 30, 2025 were impacted by a $1.2 million decrease in net interest income, partially offset by a $645,000 increase in noninterest income. Details of the changes in the various components of net income are further discussed below.
Net Interest Income. The following table presents the distribution of average assets, liabilities and equity, as well as interest income earned on average interest-earning assets and interest expense paid on average interest-bearing liabilities. All average balances are daily average balances. Nonaccruing loans have been included in the table as loans carrying a zero yield.
| Three Months Ended | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, 2025 | September 30, 2025 | |||||||||||||
| (Dollars in thousands) | Average<br>Balance<br>Outstanding | Interest<br>Earned /<br>Paid | Yield /<br>Rate | Average<br>Balance<br>Outstanding | Interest<br>Earned /<br>Paid | Yield /<br>Rate | ||||||||
| Assets | ||||||||||||||
| Interest-earning assets | ||||||||||||||
| Loans receivable(1) | $ | 3,809,902 | $ | 59,597 | 6.21 | % | $ | 3,876,200 | $ | 61,749 | 6.32 | % | ||
| Debt securities available for sale | 147,247 | 1,599 | 4.31 | 146,374 | 1,662 | 4.50 | ||||||||
| Other interest-earning assets(2) | 223,267 | 2,271 | 4.04 | 152,130 | 1,984 | 5.17 | ||||||||
| Total interest-earning assets | 4,180,416 | 63,467 | 6.02 | 4,174,704 | 65,395 | 6.21 | ||||||||
| Other assets | 255,547 | 256,449 | ||||||||||||
| Total assets | $ | 4,435,963 | $ | 4,431,153 | ||||||||||
| Liabilities and equity | ||||||||||||||
| Interest-bearing liabilities | ||||||||||||||
| Interest-bearing checking accounts | $ | 540,889 | $ | 1,013 | 0.74 | % | $ | 544,229 | $ | 1,081 | 0.79 | % | ||
| Money market accounts | 1,361,620 | 9,192 | 2.68 | 1,330,856 | 9,276 | 2.77 | ||||||||
| Savings accounts | 171,803 | 30 | 0.07 | 176,660 | 31 | 0.07 | ||||||||
| Certificate accounts | 926,678 | 8,674 | 3.71 | 932,361 | 9,086 | 3.87 | ||||||||
| Total interest-bearing deposits | 3,000,990 | 18,909 | 2.50 | 2,984,106 | 19,474 | 2.59 | ||||||||
| Junior subordinated debt | 10,204 | 199 | 7.74 | 10,179 | 207 | 8.07 | ||||||||
| Borrowings | 10,152 | 146 | 5.71 | 28,716 | 325 | 4.49 | ||||||||
| Total interest-bearing liabilities | 3,021,346 | 19,254 | 2.53 | 3,023,001 | 20,006 | 2.63 | ||||||||
| Noninterest-bearing deposits | 751,864 | 757,828 | ||||||||||||
| Other liabilities | 61,085 | 60,692 | ||||||||||||
| Total liabilities | 3,834,295 | 3,841,521 | ||||||||||||
| Stockholders' equity | 601,668 | 589,632 | ||||||||||||
| Total liabilities and stockholders' equity | $ | 4,435,963 | $ | 4,431,153 | ||||||||||
| Net earning assets | $ | 1,159,070 | $ | 1,151,703 | ||||||||||
| Average interest-earning assets to average interest-bearing liabilities | 138.36 | % | 138.10 | % | ||||||||||
| Non-tax-equivalent | ||||||||||||||
| Net interest income | $ | 44,213 | $ | 45,389 | ||||||||||
| Interest rate spread | 3.49 | % | 3.58 | % | ||||||||||
| Net interest margin(3) | 4.20 | % | 4.31 | % | ||||||||||
| Tax-equivalent(4) | ||||||||||||||
| Net interest income | $ | 44,661 | $ | 45,829 | ||||||||||
| Interest rate spread | 3.54 | % | 3.63 | % | ||||||||||
| Net interest margin(3) | 4.24 | % | 4.36 | % |
(1)Average loans receivable balances include loans held for sale and nonaccruing loans.
(2)Average other interest-earning assets consist of FRB stock, FHLB stock, SBIC investments and deposits in other banks.
(3)Net interest income divided by average interest-earning assets.
(4)Tax-equivalent results include adjustments to interest income of $448 and $440 for the three months ended December 31, 2025 and September 30, 2025, respectively, calculated based on a combined federal and state tax rate of 24%.
Total interest and dividend income for the three months ended December 31, 2025 decreased $1.9 million, or 2.9%, when compared to the three months ended September 30, 2025. Regarding the components of this income, loan interest income decreased $2.2 million, or 3.5%, primarily due to an overall decrease in average loan balances and the impact of decreases in the federal funds rate upon loan yields, and was partially offset by a $287,000 increase in interest income on other investments and interest-bearing accounts. Accretion income on acquired loans of $519,000 and $352,000 was recognized during the same periods, respectively, and was included in loan interest income.
Total interest expense for the three months ended December 31, 2025 decreased $752,000, or 3.8%, compared to the three months ended September 30, 2025, the result of a $565,000, or 2.9%, decrease in interest expense on deposits and a $187,000, or 35.2%, decrease in interest expense on borrowings. The decrease in interest expense on deposits can primarily be traced to decreases in the average cost of funds, while the decrease in interest expense on borrowings was the result of a decline in average borrowings outstanding.
The following table shows the effects that changes in average balances (volume), including differences in the number of days in the periods compared, and average interest rates (rate) had on the interest earned on interest-earning assets and interest paid on interest-bearing liabilities:
| Increase / (Decrease)<br>Due to | Total<br>Increase/<br>(Decrease) | |||||
|---|---|---|---|---|---|---|
| (Dollars in thousands) | Volume | Rate | ||||
| Interest-earning assets | ||||||
| Loans receivable | $ | (1,056) | $ | (1,096) | $ | (2,152) |
| Debt securities available for sale | 10 | (73) | (63) | |||
| Other interest-earning assets | 928 | (641) | 287 | |||
| Total interest-earning assets | (118) | (1,810) | (1,928) | |||
| Interest-bearing liabilities | ||||||
| Interest-bearing checking accounts | (7) | (61) | (68) | |||
| Money market accounts | 214 | (298) | (84) | |||
| Savings accounts | (1) | — | (1) | |||
| Certificate accounts | (55) | (357) | (412) | |||
| Junior subordinated debt | 1 | (9) | (8) | |||
| Borrowings | (210) | 31 | (179) | |||
| Total interest-bearing liabilities | (58) | (694) | (752) | |||
| Decrease in net interest income | $ | (1,176) |
Provision for Credit Losses. The provision for credit losses is the amount of expense that, based on our judgment, is required to maintain the allowance for credit losses ("ACL") at an appropriate level under the current expected credit losses model.
The following table presents a breakdown of the components of the provision for credit losses:
| Three Months Ended | |||||||
|---|---|---|---|---|---|---|---|
| (Dollars in thousands) | December 31, 2025 | September 30, 2025 | Change | % Change | |||
| Provision for credit losses | |||||||
| Loans | $ | 1,525 | $ | 1,755 | (13) | % | |
| Off-balance-sheet credit exposure | 555 | 260 | 295 | 113 | |||
| Total provision for credit losses | $ | 2,080 | $ | 2,015 | 3 | % |
All values are in US Dollars.
For the quarter ended December 31, 2025, the "loans" portion of the provision for credit losses was primarily the result of the following, offset by net charge-offs of $3.1 million during the quarter:
•$0.9 million benefit driven by changes in the loan mix.
•$0.1 million benefit due to changes in the projected economic forecast, specifically the national unemployment rate, and changes in qualitative adjustments.
•$0.6 million decrease in specific reserves on individually evaluated loans.
For the quarter ended September 30, 2025, the "loans" portion of the provision for credit losses was the result of the following, offset by net charge-offs of $2.8 million during the quarter:
•$0.6 million benefit driven by changes in the loan mix.
•$0.2 million provision due to changes in the projected economic forecast, specifically the national unemployment rate, and changes in qualitative adjustments.
•$0.6 million decrease in specific reserves on individually evaluated loans.
For the quarters ended December 31, 2025 and September 30, 2025, the amounts recorded for off-balance-sheet credit exposure were the result of changes in the balance of loan commitments, loan mix, projected economic forecast and qualitative allocations as outlined above.
Noninterest Income. Noninterest income for the three months ended December 31, 2025 increased $645,000, or 7.4%, when compared to the quarter ended September 30, 2025. Changes in the components of noninterest income are discussed below:
| Three Months Ended | |||||||
|---|---|---|---|---|---|---|---|
| (Dollars in thousands) | December 31, 2025 | September 30, 2025 | Change | % Change | |||
| Noninterest income | |||||||
| Service charges and fees on deposit accounts | $ | 2,534 | $ | 2,527 | — | % | |
| Loan income and fees | 926 | 577 | 349 | 60 | |||
| Gain on sale of loans held for sale | 1,926 | 1,725 | 201 | 12 | |||
| BOLI income | 976 | 882 | 94 | 11 | |||
| Operating lease income | 2,032 | 1,777 | 255 | 14 | |||
| Gain on sale of premises and equipment | 65 | — | 65 | 100 | |||
| Other | 937 | 1,263 | (326) | (26) | |||
| Total noninterest income | $ | 9,396 | $ | 8,751 | 7 | % |
All values are in US Dollars.
•Loan income and fees: The increase was primarily the result of a $144,000 increase in interest rate swap fees in addition to smaller increases across several other loan fee categories.
•Gain on sale of loans held for sale: The increase was primarily driven by an increase in the sales volume of SBA commercial loans originated for sale, partially offset by decreased sales volume of residential mortgage loans and HELOCs. There were $18.9 million in sales of the guaranteed portion of SBA commercial loans with gains of $1.5 million for the current quarter compared to $9.8 million sold and gains of $595,000 for the prior quarter. There were $31.1 million of residential mortgage loans sold for gains of $606,000 during the current quarter compared to $33.3 million sold with gains of $764,000 in the prior quarter. There were $13.7 million of HELOCs originated for sale which were sold during the current quarter with gains of $121,000 compared to $45.3 million sold with gains of $243,000 in the prior quarter. Our hedging of mandatory commitments on the residential mortgage loan pipeline resulted in a net loss of $295,000 for the current quarter compared to a net gain of $123,000 for the prior quarter.
•BOLI income: The increase was primarily related to $92,000 in tax-free gains on death benefit proceeds in excess of the cash surrender value in the current quarter, with no such income being recognized in the prior quarter.
•Operating lease income: The increase was primarily the result of a $359,000 reduction in losses upon contract termination, partially offset by a $104,000 decrease in contract earnings.
•Other: The decrease was driven by a $226,000 reduction of investment services income quarter-over-quarter.
Noninterest Expense. Noninterest expense for the three months ended December 31, 2025 increased $428,000, or 1.4%, when compared to the three months ended September 30, 2025. Changes in the components of noninterest expense are discussed below:
| Three Months Ended | |||||||
|---|---|---|---|---|---|---|---|
| (Dollars in thousands) | December 31, 2025 | September 30, 2025 | Change | % Change | |||
| Noninterest expense | |||||||
| Salaries and employee benefits | $ | 18,541 | $ | 18,508 | — | % | |
| Occupancy expense, net | 2,572 | 2,563 | 9 | — | |||
| Computer services | 2,798 | 2,562 | 236 | 9 | |||
| Operating lease depreciation expense | 1,582 | 1,770 | (188) | (11) | |||
| Telecom, postage and supplies | 542 | 539 | 3 | 1 | |||
| Marketing and advertising | 514 | 471 | 43 | 9 | |||
| Deposit insurance premiums | 483 | 468 | 15 | 3 | |||
| Core deposit intangible amortization | 411 | 410 | 1 | — | |||
| Other | 4,251 | 3,975 | 276 | 7 | |||
| Total noninterest expense | $ | 31,694 | $ | 31,266 | 1 | % |
All values are in US Dollars.
•Operating lease depreciation expense: The decrease was due to a decline in the population of operating lease contracts (assets being depreciated) quarter-over-quarter.
•Other: The change was driven by a $110,000 increase in ATM expense period-over-period in addition to smaller increases across several other expense categories.
Income Taxes. The amount of income tax expense is influenced by the amount of pre-tax income, tax-exempt income, changes in the statutory rate and the effect of changes in valuation allowances maintained against deferred tax benefits. The effective tax rates for the three months ended December 31, 2025 and September 30, 2025 were 18.7% and 20.9%, respectively, with the quarter-over-quarter decline driven by the Company's investment in a tax credit equity fund.
Comparison of Results of Operations for the Years Ended December 31, 2025 and December 31, 2024
Net Income. Net income totaled $64.4 million, or $3.72 per diluted share, for the year ended December 31, 2025 compared to $54.8 million, or $3.20 per diluted share, for the year ended December 31, 2024, an increase of $9.6 million, or 17.4%. The results for the year ended December 31, 2025 compared to the prior year were positively impacted by a $7.2 million increase in net interest income, a $2.9 million increase in noninterest income, a $607,000 decrease in the provision for credit losses and a $321,000 decrease in noninterest expense. Details of the changes in the various components of net income are further discussed below.
Net Interest Income. The following table presents the distribution of average assets, liabilities and equity, as well as interest income earned on average interest-earning assets and interest expense paid on average interest-bearing liabilities. All average balances are daily average balances. Nonaccruing loans have been included in the table as loans carrying a zero yield.
| Years Ended December 31, | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | |||||||||||||
| (Dollars in thousands) | Average<br>Balance<br>Outstanding | Interest<br>Earned /<br>Paid | Yield /<br>Rate | Average<br>Balance<br>Outstanding | Interest<br>Earned /<br>Paid | Yield /<br>Rate | ||||||||
| Assets | ||||||||||||||
| Interest-earning assets | ||||||||||||||
| Loans receivable(1) | $ | 3,823,319 | $ | 240,399 | 6.29 | % | $ | 3,884,984 | $ | 247,642 | 6.37 | % | ||
| Debt securities available for sale | 148,951 | 6,706 | 4.50 | 137,108 | 6,045 | 4.41 | ||||||||
| Other interest-earning assets(2) | 182,666 | 9,033 | 4.95 | 144,262 | 7,929 | 5.50 | ||||||||
| Total interest-earning assets | 4,154,936 | 256,138 | 6.16 | 4,166,354 | 261,616 | 6.28 | ||||||||
| Other assets | 260,395 | 273,307 | ||||||||||||
| Total assets | $ | 4,415,331 | $ | 4,439,661 | ||||||||||
| Liabilities and equity | ||||||||||||||
| Interest-bearing liabilities | ||||||||||||||
| Interest-bearing checking accounts | $ | 555,443 | $ | 4,669 | 0.84 | % | $ | 570,952 | $ | 5,420 | 0.95 | % | ||
| Money market accounts | 1,342,019 | 36,648 | 2.73 | 1,314,867 | 39,851 | 3.03 | ||||||||
| Savings accounts | 178,503 | 136 | 0.08 | 185,712 | 164 | 0.09 | ||||||||
| Certificate accounts | 919,734 | 36,149 | 3.93 | 952,602 | 42,003 | 4.41 | ||||||||
| Total interest-bearing deposits | 2,995,699 | 77,602 | 2.59 | 3,024,133 | 87,438 | 2.89 | ||||||||
| Junior subordinated debt | 10,167 | 817 | 8.04 | 10,067 | 928 | 9.22 | ||||||||
| Borrowings | 20,597 | 981 | 4.76 | 61,205 | 3,746 | 6.12 | ||||||||
| Total interest-bearing liabilities | 3,026,463 | 79,400 | 2.62 | 3,095,405 | 92,112 | 2.98 | ||||||||
| Noninterest-bearing deposits | 743,578 | 757,472 | ||||||||||||
| Other liabilities | 63,109 | 58,496 | ||||||||||||
| Total liabilities | 3,833,150 | 3,911,373 | ||||||||||||
| Stockholders' equity | 582,181 | 528,288 | ||||||||||||
| Total liabilities and stockholders' equity | $ | 4,415,331 | $ | 4,439,661 | ||||||||||
| Net earning assets | $ | 1,128,473 | $ | 1,070,949 | ||||||||||
| Average interest-earning assets to average interest-bearing liabilities | 137.29 | % | 134.60 | % | ||||||||||
| Non-tax-equivalent | ||||||||||||||
| Net interest income | $ | 176,738 | $ | 169,504 | ||||||||||
| Interest rate spread | 3.54 | % | 3.30 | % | ||||||||||
| Net interest margin(3) | 4.25 | % | 4.07 | % | ||||||||||
| Tax-equivalent(4) | ||||||||||||||
| Net interest income | $ | 178,475 | $ | 170,964 | ||||||||||
| Interest rate spread | 3.58 | % | 3.34 | % | ||||||||||
| Net interest margin(3) | 4.30 | % | 4.10 | % |
(1)Average loans receivable balances include loans held for sale and nonaccruing loans.
(2)Average other interest-earning assets consist of FRB stock, FHLB stock, SBIC investments and deposits in other banks.
(3)Net interest income divided by average interest-earning assets.
(4)Tax-equivalent results include adjustments to interest income of $1,737 and $1,460 for the years ended December 31, 2025 and 2024, respectively, calculated based on a combined federal and state tax rate of 24%.
Total interest and dividend income for the year ended December 31, 2025 decreased $5.5 million, or 2.1%, compared to the year ended December 31, 2024. Regarding the components of this income, loan interest income decreased $7.2 million, or 2.9%, primarily due to an overall decrease in average loan balances and the impact of decreases in the federal funds rate upon loan yields, partially offset by a $1.1 million increase in interest income on other investments and interest-bearing accounts, and a $661,000 increase in interest income on debt securities available for sale. Accretion income on acquired loans of $2.2 million and $3.2 million was recognized during the same periods, respectively, and was included in loan interest income.
Total interest expense for the year ended December 31, 2025 decreased $12.7 million, or 13.8%, compared to the year ended December 31, 2024, the result of a $9.8 million, or 11.2%, decrease in interest expense on deposits and a $2.9 million, or 61.5%, decrease in interest expense on borrowings. The decrease in interest expense on deposits can primarily be traced to decreases in the average cost of funds, while the decrease in interest expense on borrowings was primarily the result of a decline in average borrowings outstanding.
The following table shows the effects that changes in average balances (volume), including differences in the number of days in the periods compared, and average interest rates (rate) had on the interest earned on interest-earning assets and interest paid on interest-bearing liabilities:
| Increase / (Decrease)<br>Due to | Total<br>Increase /<br>(Decrease) | |||||
|---|---|---|---|---|---|---|
| (Dollars in thousands) | Volume | Rate | ||||
| Interest-earning assets | ||||||
| Loans receivable | $ | (3,931) | $ | (3,312) | $ | (7,243) |
| Debt securities available for sale | 522 | 139 | 661 | |||
| Other interest-earning assets | 2,111 | (1,007) | 1,104 | |||
| Total interest-earning assets | (1,298) | (4,180) | (5,478) | |||
| Interest-bearing liabilities | ||||||
| Interest-bearing checking accounts | (147) | (604) | (751) | |||
| Money market accounts | 823 | (4,026) | (3,203) | |||
| Savings accounts | (6) | (22) | (28) | |||
| Certificate accounts | (1,449) | (4,405) | (5,854) | |||
| Junior subordinated debt | 9 | (120) | (111) | |||
| Borrowings | (2,485) | (280) | (2,765) | |||
| Total interest-bearing liabilities | (3,255) | (9,457) | (12,712) | |||
| Increase in net interest income | $ | 7,234 |
Provision for Credit Losses. The following table presents a breakdown of the components of the provision for credit losses:
| Years Ended December 31, | |||||||
|---|---|---|---|---|---|---|---|
| (Dollars in thousands) | 2025 | 2024 | Change | % Change | |||
| Provision for credit losses | |||||||
| Loans | $ | 5,465 | $ | 7,460 | (27) | % | |
| Off-balance-sheet credit exposure | 1,473 | 85 | 1,388 | 1,633 | |||
| Total provision for credit losses | $ | 6,938 | $ | 7,545 | (8) | % |
All values are in US Dollars.
For the year ended December 31, 2025, the "loans" portion of the provision for credit losses was the result of the following, offset by net charge-offs of $9.3 million during the period:
•$2.5 million benefit driven by changes in the loan mix.
•$1.5 million benefit due to changes in the projected economic forecast, specifically the national unemployment rate, and changes in qualitative adjustments. Of note, in the quarter ended June 30, 2025, we released the $2.2 million qualitative allocation previously established in the prior year for the potential impact of Hurricane Helene on our loan portfolio. Any residual impact of the Hurricane is believed to have now been reflected elsewhere within the ACL calculation.
•$0.2 million increase in specific reserves on individually evaluated credits.
For the year ended December 31, 2024, the "loans" portion of the provision for credit losses was the result of the following, offset by net charge-offs of $10.8 million during the period:
•$1.6 million benefit driven by changes in the loan mix.
•$0.7 million benefit due to changes in the projected economic forecast, specifically the national unemployment rate, and changes in qualitative adjustments. Included in this change was the addition of a $2.2 million qualitative allocation in the quarter ended September 30, 2024 for the potential impact of Hurricane Helene on our loan portfolio.
•$1.0 million decrease in specific reserves on individually evaluated credits.
For the years ended December 31, 2025 and December 31, 2024, the amounts recorded for off-balance-sheet credit exposure were the result of changes in the balance of loan commitments, loan mix and the projected economic forecast as outlined above.
Noninterest Income. Noninterest income for the year ended December 31, 2025 increased $2.9 million, or 8.6%, when compared to the same period last year. Changes in the components of noninterest income are discussed below:
| Years Ended December 31, | |||||||
|---|---|---|---|---|---|---|---|
| (Dollars in thousands) | 2025 | 2024 | Change | % Change | |||
| Noninterest income | |||||||
| Service charges and fees on deposit accounts | $ | 9,807 | $ | 9,165 | 7 | % | |
| Loan income and fees | 2,772 | 2,737 | 35 | 1 | |||
| Gain on sale of loans held for sale | 7,668 | 6,253 | 1,415 | 23 | |||
| BOLI income | 3,552 | 4,312 | (760) | (18) | |||
| Operating lease income | 7,064 | 7,346 | (282) | (4) | |||
| Gain on sale of branches | 1,448 | — | 1,448 | 100 | |||
| Gain (loss) on sale of premises and equipment | 93 | (9) | 102 | 1,133 | |||
| Other | 3,927 | 3,645 | 282 | 8 | |||
| Total noninterest income | $ | 36,331 | $ | 33,449 | 9 | % |
All values are in US Dollars.
•Gain on sale of loans held for sale: The increase was primarily driven by growth in the volume of HELOCs and residential mortgage loans sold during the current period, partially offset by a reduction in the sales volume of the guaranteed portion of SBA commercial loans. During the year ended December 31, 2025, there were $257.2 million of HELOCs sold with gains of $2.4 million compared to $95.4 million sold with gains of $887,000 in the prior year. There were $113.5 million of residential mortgage loans originated for sale which were sold with gains of $2.4 million compared to $82.0 million sold with gains of $1.4 million in the prior year. There were $40.4 million of sales of the guaranteed portion of SBA commercial loans with gains of $3.0 million compared to $48.7 million sold with gains of $3.9 million during the prior year. Lastly, our hedging of mandatory commitments on the residential mortgage loan pipeline resulted in a net loss of $131,000 for the year ended December 31, 2025 versus $81,000 of a net gain in the prior year.
•BOLI income: The decrease was due to a $1.0 million decrease in tax-free gains on death benefit proceeds in excess of the cash surrender value of the policies year-over-year, partially offset by higher yielding policies as a result of restructuring the portfolio at the end of the calendar year ended December 31, 2023.
•Gain on sale of branches: During the current year we completed the sale of our two Knoxville, Tennessee branches, recognizing a gain of $1.4 million in the current year, with no similar activity occurring in the prior year.
Noninterest Expense. Noninterest expense for the year ended December 31, 2025 decreased $321,000, or 0.3%, when compared to the same period last year. Changes in the components of noninterest expense are discussed below:
| Years Ended December 31, | |||||||
|---|---|---|---|---|---|---|---|
| (Dollars in thousands) | 2025 | 2024 | Change | % Change | |||
| Noninterest expense | |||||||
| Salaries and employee benefits | $ | 72,956 | $ | 67,900 | 7 | % | |
| Occupancy expense, net | 10,021 | 9,768 | 253 | 3 | |||
| Computer services | 10,653 | 12,506 | (1,853) | (15) | |||
| Operating lease depreciation expense | 7,009 | 7,734 | (725) | (9) | |||
| Telecom, postage and supplies | 2,188 | 2,253 | (65) | (3) | |||
| Marketing and advertising | 1,879 | 1,893 | (14) | (1) | |||
| Deposit insurance premiums | 1,935 | 2,230 | (295) | (13) | |||
| Core deposit intangible amortization | 1,747 | 2,463 | (716) | (29) | |||
| Contract renewal consulting fee | — | 2,965 | (2,965) | (100) | |||
| Other | 16,788 | 15,785 | 1,003 | 6 | |||
| Total noninterest expense | $ | 125,176 | $ | 125,497 | — | % |
All values are in US Dollars.
•Salaries and employee benefits: The increase was primarily the result of increases in both pay and incentive compensation.
•Computer services: At the end of the prior calendar year, we finalized a multiyear renewal of our largest core processing contract. The decrease in expense period-over-period is a reflection of the improved vendor pricing negotiated through this effort.
•Operating lease depreciation expense: The decrease was due to a decline in the population of operating lease contracts (assets being depreciated) year-over-year.
•Deposit insurance premiums: The decrease period-over-period was the result of higher regulatory capital ratios.
•Core deposit intangible amortization: The intangible recorded associated with the Quantum merger is being amortized on an accelerated basis, so the rate of amortization slowed year-over-year.
•Contract renewal consulting fee: In the prior year we paid a fee to a consultant to negotiate the multiyear renewal of our largest core processing contract, with no similar fee being recognized in the current year.
•Other: The change period-over-period was driven by increases of $415,000 in community association banking deposit line of business referral fees, $285,000 in losses on the sale of repossessed equipment, and $226,000 in other consulting fees.
Income Taxes. The amount of income tax expense is influenced by the amount of pre-tax income, tax-exempt income, changes in the statutory rate and the effect of changes in valuation allowances maintained against deferred tax benefits. The effective tax rate was 20.5% and 21.6% for the years ended December 31, 2025 and 2024, respectively.
Balance Sheet Review
Total assets decreased by $49.8 million to $4.5 billion and total liabilities decreased by $98.7 million to $3.9 billion at December 31, 2025 as compared to December 31, 2024. These changes can be traced to the use of the proceeds from both loan paydowns and maturities of debt securities and certificates of deposit to offset a $69.2 million decline in deposits. The decrease in deposits was mainly the result of a $115.8 million reduction in brokered deposits and $34.3 million of deposits which were assumed by the purchaser of our two Knoxville, Tennessee branches, partially offset by an increase of $57.0 million in core deposits.
Stockholders' equity increased $48.9 million, or 8.9%, to $600.7 million at December 31, 2025 as compared to December 31, 2024. Activity within stockholders' equity included $64.4 million in net income and $5.6 million in share-based compensation and stock option exercises, partially offset by $8.4 million in cash dividends declared and $13.6 million in stock repurchases. In addition, accumulated other comprehensive income improved by $2.3 million due to a reduction in the unrealized loss on available for sale securities due to lower market interest rates.
As of December 31, 2025, the Bank was considered "well capitalized" in accordance with its regulatory capital guidelines and exceeded all regulatory capital requirements.
Asset Quality
The ACL on loans was $41.5 million, or 1.16% of total loans, at December 31, 2025 compared to $45.3 million, or 1.24% of total loans, at December 31, 2024. The drivers of this change are discussed in the "Comparison of Results of Operations for the Years Ended December 31, 2025 and December 31, 2024 – Provision for Credit Losses" section above. Of note, as of December 31, 2024, the ACL on loans included a $2.2 million qualitative allocation for the potential impact of Hurricane Helene on our loan portfolio, while this allocation had been removed prior to December 31, 2025.
Net loan charge-offs totaled $9.3 million for the year ended December 31, 2025 compared to $10.8 million for the prior year. For both periods, net charge-offs were concentrated within our equipment finance portfolio, primarily related to over-the-road truck loans, where we recognized net charge-offs of $6.2 million and $6.7 million for the same periods, respectively. Annualized net charge-offs as a percentage of average loans were 0.24% and 0.28% for the years ended December 31, 2025 and 2024, respectively.
Nonperforming assets, made up of nonaccrual loans and repossessed assets, increased by $11.3 million, or 34.1%, to $44.4 million, or 0.98% of total assets, at December 31, 2025 compared to $33.1 million, or 0.72% of total assets, at September 30, 2025. SBA loans made up the largest portion of nonperforming assets at $20.6 million and $11.9 million, respectively, at these same dates of which $14.9 million and $6.6 million, respectively, of these amounts were fully guaranteed. Of the remaining nonperforming assets, equipment finance loans (concentrated in the transportation sector) made up $6.6 million and $5.5 million, respectively, and HELOCs totaled $6.5 million and $5.9 million, respectively, both at these same dates. The ratio of nonperforming loans to total loans was 1.22% at December 31, 2025 compared to 0.89% at September 30, 2025. When adjusted for fully guaranteed loans, the ratio of nonperforming loans to total loans was 0.81% at December 31, 2025 compared to 0.71% at September 30, 2025.
Nonperforming assets increased by $15.7 million, or 54.4%, to $44.4 million, or 0.98% of total assets, at December 31, 2025 compared to $28.8 million, or 0.63% of total assets, at December 31, 2024. The ratio of nonperforming loans to total loans was 1.22% at December 31, 2025 compared to 0.76% at December 31, 2024.
Classified assets increased by $9.5 million, or 16.8%, to $66.2 million, or 1.46% of total assets, as of December 31, 2025 when compared to the balance of $56.6 million, or 1.23% of total assets, as of September 30, 2025. Similarly, classified assets increased by $17.9 million, or 37.1%, to $66.2 million, or 1.46% of total assets, as of December 31, 2025 when compared to the balance of $48.3 million, or 1.06% of total assets, at December 31, 2024. SBA loans made up the largest portion of classified assets at $27.3 million and $20.0 million, respectively, as of December 31, 2025 and September 30, 2025 of which $19.8 million and $12.7 million, respectively, was fully guaranteed. The remaining population of classified assets at December 31, 2025 included $8.9 million of HELOCs, $8.5 million of equipment finance loans (concentrated in the transportation sector), $7.6 million of non-owner occupied CRE loans, and $7.3 million of 1-4 family residential real estate loans.
Lastly, in an effort to assist customers in their post-Hurricane Helene recovery and clean-up efforts, at the end of the prior calendar year we granted payment deferrals of up to six months to provide short-term relief to impacted customers. The outstanding balance of these deferrals declined from $136.0 million at December 31, 2024 to $318,000 at December 31, 2025. To date, $165,000 in charge-offs have been recognized which were directly related to Hurricane Helene.
About HomeTrust Bancshares, Inc.
HomeTrust Bancshares, Inc. (NYSE: HTB), headquartered in Asheville, North Carolina, is the holding company for HomeTrust Bank, a state-chartered community bank operating over 30 locations across North Carolina, South Carolina, East Tennessee, Southwest Virginia, and Georgia. With total assets of $4.5 billion as of December 31, 2025, the Company’s goal is to continue to be recognized as a high-performing, regional community bank, while our strategy to reach that goal is to be a best place to work. As a reflection of these efforts, the Company has been named one of Bank Director’s “Best U.S. Banks,” one of Forbes’ “America’s Best Banks”, one of S&P Global’s “Top 50 Community Banks,” and named to the 2025 KBW Honor Roll. In addition, the Company has been recognized as one of American Banker’s “Best Banks to Work For,” received a “Most Loved Workplace” certification by Best Practices Institute, named as one of Best Companies Group’s “America’s Best Workplaces,” as well as being named a “Best Place to Work” in all five states in which the Company operates.
Forward-Looking Statements
This press release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact, but instead are based on certain assumptions including statements with respect to the Company's beliefs, plans, objectives, goals, expectations, assumptions and statements about future economic performance and projections of financial items. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from the results anticipated or implied by forward-looking statements. The factors that could result in material differentiation include, but are not limited to expected revenues, cost savings, synergies and other benefits from merger and acquisition activities might not be realized to the extent anticipated, within the anticipated time frames, or at all, costs or difficulties relating to integration matters, including but not limited to customer and employee retention, might be greater than expected, and goodwill impairment charges might be incurred; increased competitive pressures among financial services companies; changes in the interest rate environment; changes in general economic conditions, both nationally and in our market areas; natural disasters; legislative and regulatory changes; and the effects of inflation, a potential recession, and other factors described in the Company's latest Annual Report on Form 10-K and Quarterly Reports on Form 10-Q and other documents filed with or furnished to the Securities and Exchange Commission - which are available on the Company's website at www.htb.com and on the SEC's website at www.sec.gov. Any of the forward-looking statements that the Company makes in this press release or in the documents the Company files with or furnishes to the SEC are based upon management's beliefs and assumptions at the time they are made and may turn out to be wrong because of inaccurate assumptions, the factors described above or other factors that management cannot foresee. The Company does not undertake, and specifically disclaims any obligation, to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.
Consolidated Balance Sheets (Unaudited)
| (Dollars in thousands) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024(1) | |||||
|---|---|---|---|---|---|---|---|---|---|---|
| Assets | ||||||||||
| Cash | $ | 14,411 | $ | 15,435 | $ | 16,662 | $ | 14,303 | $ | 18,778 |
| Interest-bearing deposits | 310,281 | 300,395 | 280,547 | 285,522 | 260,441 | |||||
| Cash and cash equivalents | 324,692 | 315,830 | 297,209 | 299,825 | 279,219 | |||||
| Certificates of deposit in other banks | 18,841 | 20,833 | 23,319 | 25,806 | 28,538 | |||||
| Debt securities available for sale, at fair value | 142,540 | 145,682 | 143,942 | 150,577 | 152,011 | |||||
| FHLB and FRB stock | 13,636 | 14,325 | 15,263 | 13,602 | 13,630 | |||||
| SBIC investments, at cost | 18,818 | 18,346 | 17,720 | 17,746 | 15,117 | |||||
| Loans held for sale, at fair value | 7,005 | 7,907 | 1,106 | 2,175 | 4,144 | |||||
| Loans held for sale, at the lower of cost or fair value | 198,688 | 189,047 | 169,835 | 151,164 | 202,018 | |||||
| Total loans, net of deferred loan fees and costs | 3,578,154 | 3,643,619 | 3,671,951 | 3,648,609 | 3,648,299 | |||||
| Allowance for credit losses – loans | (41,479) | (43,086) | (44,139) | (44,742) | (45,285) | |||||
| Loans, net | 3,536,675 | 3,600,533 | 3,627,812 | 3,603,867 | 3,603,014 | |||||
| Premises and equipment held for sale, at the lower of cost or fair value | 616 | 616 | 616 | 8,240 | 616 | |||||
| Premises and equipment, net | 62,400 | 62,437 | 62,706 | 62,347 | 69,872 | |||||
| Accrued interest receivable | 15,973 | 17,077 | 16,554 | 18,269 | 18,336 | |||||
| Deferred income taxes, net | 9,922 | 9,789 | 9,968 | 9,288 | 10,735 | |||||
| BOLI | 93,930 | 93,474 | 92,576 | 91,715 | 90,868 | |||||
| Goodwill | 34,111 | 34,111 | 34,111 | 34,111 | 34,111 | |||||
| Core deposit intangibles, net | 4,848 | 5,259 | 5,670 | 6,080 | 6,595 | |||||
| Other assets | 62,940 | 56,871 | 59,646 | 63,248 | 66,606 | |||||
| Total assets | $ | 4,545,635 | $ | 4,592,137 | $ | 4,578,053 | $ | 4,558,060 | $ | 4,595,430 |
| Liabilities and stockholders' equity | ||||||||||
| Liabilities | ||||||||||
| Deposits | $ | 3,709,997 | $ | 3,698,227 | $ | 3,666,178 | $ | 3,736,360 | $ | 3,779,203 |
| Junior subordinated debt | 10,220 | 10,195 | 10,170 | 10,145 | 10,120 | |||||
| Borrowings | 165,000 | 230,000 | 265,000 | 177,000 | 188,000 | |||||
| Other liabilities | 59,728 | 57,882 | 57,431 | 69,106 | 66,349 | |||||
| Total liabilities | 3,944,945 | 3,996,304 | 3,998,779 | 3,992,611 | 4,043,672 | |||||
| Stockholders' equity | ||||||||||
| Preferred stock, $0.01 par value, 10,000,000 shares authorized, none issued or outstanding | — | — | — | — | — | |||||
| Common stock, $0.01 par value, 60,000,000 shares authorized (2) | 173 | 175 | 175 | 176 | 175 | |||||
| Additional paid in capital | 166,856 | 176,289 | 174,900 | 176,682 | 176,693 | |||||
| Retained earnings | 436,524 | 422,615 | 408,178 | 393,026 | 380,541 | |||||
| Unearned Employee Stock Ownership Plan ("ESOP") shares | (3,438) | (3,571) | (3,703) | (3,835) | (3,966) | |||||
| Accumulated other comprehensive income (loss) | 575 | 325 | (276) | (600) | (1,685) | |||||
| Total stockholders' equity | 600,690 | 595,833 | 579,274 | 565,449 | 551,758 | |||||
| Total liabilities and stockholders' equity | $ | 4,545,635 | $ | 4,592,137 | $ | 4,578,053 | $ | 4,558,060 | $ | 4,595,430 |
(1)Derived from audited financial statements.
(2)Shares of common stock issued and outstanding were 17,286,289 at December 31, 2025; 17,520,425 at September 30, 2025; 17,492,143 at June 30, 2025; 17,552,626 at March 31, 2025; and 17,527,709 at December 31, 2024.
Consolidated Statements of Income (Unaudited)
| Three Months Ended | Years Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (Dollars in thousands) | December 31, 2025 | September 30, 2025 | December 31, 2025 | December 31, 2024 | ||||||
| Interest and dividend income | ||||||||||
| Loans | $ | 59,597 | $ | 61,749 | $ | 240,399 | $ | 247,642 | ||
| Debt securities available for sale | 1,599 | 1,662 | 6,706 | 6,045 | ||||||
| Other investments and interest-bearing deposits | 2,271 | 1,984 | 9,033 | 7,929 | ||||||
| Total interest and dividend income | 63,467 | 65,395 | 256,138 | 261,616 | ||||||
| Interest expense | ||||||||||
| Deposits | 18,909 | 19,474 | 77,602 | 87,438 | ||||||
| Junior subordinated debt | 199 | 207 | 817 | 928 | ||||||
| Borrowings | 146 | 325 | 981 | 3,746 | ||||||
| Total interest expense | 19,254 | 20,006 | 79,400 | 92,112 | ||||||
| Net interest income | 44,213 | 45,389 | 176,738 | 169,504 | ||||||
| Provision for credit losses | 2,080 | 2,015 | 6,938 | 7,545 | ||||||
| Net interest income after provision for credit losses | 42,133 | 43,374 | 169,800 | 161,959 | ||||||
| Noninterest income | ||||||||||
| Service charges and fees on deposit accounts | 2,534 | 2,527 | 9,807 | 9,165 | ||||||
| Loan income and fees | 926 | 577 | 2,772 | 2,737 | ||||||
| Gain on sale of loans held for sale | 1,926 | 1,725 | 7,668 | 6,253 | ||||||
| BOLI income | 976 | 882 | 3,552 | 4,312 | ||||||
| Operating lease income | 2,032 | 1,777 | 7,064 | 7,346 | ||||||
| Gain on sale of branches | — | — | 1,448 | — | ||||||
| Gain (loss) on sale of premises and equipment | 65 | — | 93 | (9) | ||||||
| Other | 937 | 1,263 | 3,927 | 3,645 | ||||||
| Total noninterest income | 9,396 | 8,751 | 36,331 | 33,449 | ||||||
| Noninterest expense | ||||||||||
| Salaries and employee benefits | 18,541 | 18,508 | 72,956 | 67,900 | ||||||
| Occupancy expense, net | 2,572 | 2,563 | 10,021 | 9,768 | ||||||
| Computer services | 2,798 | 2,562 | 10,653 | 12,506 | ||||||
| Operating lease depreciation expense | 1,582 | 1,770 | 7,009 | 7,734 | ||||||
| Telecom, postage and supplies | 542 | 539 | 2,188 | 2,253 | ||||||
| Marketing and advertising | 514 | 471 | 1,879 | 1,893 | ||||||
| Deposit insurance premiums | 483 | 468 | 1,935 | 2,230 | ||||||
| Core deposit intangible amortization | 411 | 410 | 1,747 | 2,463 | ||||||
| Contract renewal consulting fee | — | — | — | 2,965 | ||||||
| Other | 4,251 | 3,975 | 16,788 | 15,785 | ||||||
| Total noninterest expense | 31,694 | 31,266 | 125,176 | 125,497 | ||||||
| Income before income taxes | 19,835 | 20,859 | 80,955 | 69,911 | ||||||
| Income tax expense | 3,711 | 4,368 | 16,591 | 15,106 | ||||||
| Net income | $ | 16,124 | $ | 16,491 | $ | 64,364 | $ | 54,805 |
Per Share Data
| Three Months Ended | Years Ended | |||||||
|---|---|---|---|---|---|---|---|---|
| December 31, 2025 | September 30, 2025 | December 31, 2025 | December 31, 2024 | |||||
| Net income per common share(1) | ||||||||
| Basic | $ | 0.94 | $ | 0.96 | $ | 3.75 | $ | 3.21 |
| Diluted | $ | 0.93 | $ | 0.95 | $ | 3.72 | $ | 3.20 |
| Average shares outstanding | ||||||||
| Basic | 16,936,740 | 16,998,549 | 16,987,894 | 16,914,741 | ||||
| Diluted | 17,070,906 | 17,130,030 | 17,106,783 | 16,977,330 | ||||
| Book value per share at end of period | $ | 34.75 | $ | 34.01 | $ | 34.75 | $ | 31.48 |
| Tangible book value per share at end of period(2) | $ | 32.56 | $ | 31.83 | $ | 32.56 | $ | 29.24 |
| Cash dividends declared per common share | $ | 0.13 | $ | 0.12 | $ | 0.49 | $ | 0.45 |
| Total shares outstanding at end of period | 17,286,289 | 17,520,425 | 17,286,289 | 17,527,709 |
(1)Basic and diluted net income per common share have been prepared in accordance with the two-class method.
(2)See Non-GAAP reconciliations below for adjustments.
Selected Financial Ratios and Other Data
| Three Months Ended | Years Ended | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| December 31, 2025 | September 30, 2025 | December 31, 2025 | December 31, 2024 | ||||||
| Performance ratios(1) | |||||||||
| Return on assets (ratio of net income to average total assets) | 1.44 | % | 1.48 | % | 1.46 | % | 1.23 | % | |
| Return on equity (ratio of net income to average equity) | 10.63 | 11.10 | 11.06 | 10.37 | |||||
| Yield on earning assets | 6.02 | 6.21 | 6.16 | 6.28 | |||||
| Rate paid on interest-bearing liabilities | 2.53 | 2.63 | 2.62 | 2.98 | |||||
| Average interest rate spread | 3.49 | 3.58 | 3.54 | 3.30 | |||||
| Net interest margin(2) | 4.20 | 4.31 | 4.25 | 4.07 | |||||
| Average interest-earning assets to average interest-bearing liabilities | 138.36 | 138.10 | 137.29 | 134.60 | |||||
| Noninterest expense to average total assets | 2.83 | 2.80 | 2.84 | 2.83 | |||||
| Efficiency ratio | 59.12 | 57.75 | 58.75 | 61.84 | |||||
| Efficiency ratio – adjusted(3) | 58.80 | 57.28 | 58.72 | 60.28 |
(1)Ratios are annualized where appropriate.
(2)Net interest income divided by average interest-earning assets.
(3)See Non-GAAP reconciliations below for adjustments.
| At or For the Three Months Ended | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | ||||||
| Asset quality ratios | ||||||||||
| Nonperforming assets to total assets(1) | 0.98 | % | 0.72 | % | 0.67 | % | 0.61 | % | 0.63 | % |
| Nonperforming loans to total loans(1) | 1.22 | 0.89 | 0.81 | 0.74 | 0.76 | |||||
| Total classified assets to total assets | 1.46 | 1.23 | 1.07 | 0.85 | 1.06 | |||||
| Allowance for credit losses to nonperforming loans(1) | 94.75 | 132.26 | 147.98 | 165.96 | 163.68 | |||||
| Allowance for credit losses to total loans | 1.16 | 1.18 | 1.20 | 1.23 | 1.24 | |||||
| Net charge-offs to average loans (annualized) | 0.33 | 0.29 | 0.21 | 0.14 | 0.19 | |||||
| Capital ratios | ||||||||||
| Equity to total assets at end of period | 13.21 | % | 12.98 | % | 12.65 | % | 12.41 | % | 12.01 | % |
| Tangible equity to total tangible assets(2) | 12.49 | 12.25 | 11.91 | 11.65 | 11.25 | |||||
| Average equity to average assets | 13.56 | 13.31 | 13.20 | 12.66 | 11.90 |
(1)Nonperforming assets include nonaccruing loans and repossessed assets. There were no accruing loans more than 90 days past due at the dates indicated. At December 31, 2025, $10.1 million, or 23.2%, of nonaccruing loans were current on their loan payments as of that date. For more information, see the "Asset Quality" section above.
(2)See Non-GAAP reconciliations below for adjustments.
Loans
| (Dollars in thousands) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | |||||
|---|---|---|---|---|---|---|---|---|---|---|
| Commercial real estate | ||||||||||
| Construction and land development | $ | 277,028 | $ | 268,953 | $ | 267,494 | $ | 247,539 | $ | 274,356 |
| Commercial real estate – owner occupied | 562,049 | 540,807 | 561,623 | 570,150 | 545,490 | |||||
| Commercial real estate – non-owner occupied | 832,502 | 861,244 | 877,440 | 867,711 | 866,094 | |||||
| Multifamily | 110,912 | 115,403 | 113,416 | 118,094 | 120,425 | |||||
| Total commercial real estate | 1,782,491 | 1,786,407 | 1,819,973 | 1,803,494 | 1,806,365 | |||||
| Commercial loans | ||||||||||
| Commercial and industrial | 378,686 | 399,155 | 367,359 | 349,085 | 316,159 | |||||
| Equipment finance | 311,356 | 340,322 | 360,499 | 380,166 | 406,400 | |||||
| Municipal leases | 166,396 | 164,967 | 168,623 | 163,554 | 165,984 | |||||
| Total commercial | 856,438 | 904,444 | 896,481 | 892,805 | 888,543 | |||||
| Residential real estate | ||||||||||
| Construction and land development | 45,617 | 51,110 | 53,020 | 56,858 | 53,683 | |||||
| One-to-four family | 633,511 | 636,857 | 640,287 | 631,537 | 630,391 | |||||
| HELOCs | 217,310 | 216,122 | 205,918 | 199,747 | 195,288 | |||||
| Total residential real estate | 896,438 | 904,089 | 899,225 | 888,142 | 879,362 | |||||
| Consumer | 42,787 | 48,679 | 56,272 | 64,168 | 74,029 | |||||
| Total loans, net of deferred loan fees and costs | 3,578,154 | 3,643,619 | 3,671,951 | 3,648,609 | 3,648,299 | |||||
| Allowance for credit losses – loans | (41,479) | (43,086) | (44,139) | (44,742) | (45,285) | |||||
| Loans, net | $ | 3,536,675 | $ | 3,600,533 | $ | 3,627,812 | $ | 3,603,867 | $ | 3,603,014 |
Deposits
| (Dollars in thousands) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | |||||
|---|---|---|---|---|---|---|---|---|---|---|
| Core deposits | ||||||||||
| Noninterest-bearing accounts | $ | 707,748 | $ | 689,352 | $ | 698,843 | $ | 721,814 | $ | 680,926 |
| NOW accounts | 546,387 | 537,954 | 561,524 | 573,745 | 575,238 | |||||
| Money market accounts | 1,374,635 | 1,343,008 | 1,323,762 | 1,357,961 | 1,341,995 | |||||
| Savings accounts | 171,455 | 172,883 | 179,980 | 184,396 | 181,317 | |||||
| Total core deposits | 2,800,225 | 2,743,197 | 2,764,109 | 2,837,916 | 2,779,476 | |||||
| Certificates of deposit | 909,772 | 955,030 | 902,069 | 898,444 | 999,727 | |||||
| Total | $ | 3,709,997 | $ | 3,698,227 | $ | 3,666,178 | $ | 3,736,360 | $ | 3,779,203 |
Non-GAAP Reconciliations
In addition to results presented in accordance with generally accepted accounting principles utilized in the United States ("GAAP"), this earnings release contains certain non-GAAP financial measures, which include: the efficiency ratio, tangible book value, tangible book value per share and the tangible equity to tangible assets ratio. The Company believes these non-GAAP financial measures and ratios as presented are useful for both investors and management to understand the effects of certain items and provide an alternative view of its performance over time and in comparison to its competitors. These non-GAAP measures have inherent limitations, are not required to be uniformly applied and are not audited. They should not be considered in isolation or as a substitute for total stockholders' equity or operating results determined in accordance with GAAP. These non-GAAP measures may not be comparable to similarly titled measures reported by other companies.
Set forth below is a reconciliation to GAAP of the Company's efficiency ratio:
| Three Months Ended | Years Ended | |||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (Dollars in thousands) | December 31, 2025 | September 30, 2025 | December 31, 2025 | December 31, 2024 | ||||||||||||||
| Noninterest expense | $ | 31,694 | $ | 31,266 | $ | 125,176 | $ | 125,497 | ||||||||||
| Less: contract renewal consulting fee | — | — | — | 2,965 | ||||||||||||||
| Noninterest expense – adjusted | $ | 31,694 | $ | 31,266 | $ | 125,176 | $ | 122,532 | ||||||||||
| Net interest income | $ | 44,213 | $ | 45,389 | $ | 176,738 | $ | 169,504 | ||||||||||
| Plus: tax-equivalent adjustment | 448 | 440 | 1,737 | 1,460 | ||||||||||||||
| Plus: noninterest income | 9,396 | 8,751 | 36,331 | 33,449 | ||||||||||||||
| Less: BOLI death benefit proceeds in excess of cash surrender value | 92 | — | 92 | 1,143 | ||||||||||||||
| Less: gain on sale of branches | — | — | 1,448 | — | ||||||||||||||
| Less: gain (loss) on sale of premises and equipment | 65 | — | 93 | (9) | ||||||||||||||
| Net interest income plus noninterest income – adjusted | $ | 53,900 | $ | 54,580 | $ | 213,173 | $ | 203,279 | Efficiency ratio | 59.12 | % | 57.75 | % | 58.75 | % | 61.84 | % | |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | ||||||||||
| Efficiency ratio – adjusted | 58.80 | % | 57.28 | % | 58.72 | % | 60.28 | % |
Set forth below is a reconciliation to GAAP of tangible book value and tangible book value per share:
| As of | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (Dollars in thousands, except per share data) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | |||||
| Total stockholders' equity | $ | 600,690 | $ | 595,833 | $ | 579,274 | $ | 565,449 | $ | 551,758 |
| Less: goodwill, core deposit intangibles, net of taxes | 37,844 | 38,160 | 38,477 | 38,793 | 39,189 | |||||
| Tangible book value | $ | 562,846 | $ | 557,673 | $ | 540,797 | $ | 526,656 | $ | 512,569 |
| Common shares outstanding | 17,286,289 | 17,520,425 | 17,492,143 | 17,552,626 | 17,527,709 | |||||
| Book value per share | $ | 34.75 | $ | 34.01 | $ | 33.12 | $ | 32.21 | $ | 31.48 |
| Tangible book value per share | $ | 32.56 | $ | 31.83 | $ | 30.92 | $ | 30.00 | $ | 29.24 |
Set forth below is a reconciliation to GAAP of tangible equity to tangible assets:
| As of | ||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (Dollars in thousands) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | |||||||||||||||||
| Tangible equity(1) | $ | 562,846 | $ | 557,673 | $ | 540,797 | $ | 526,656 | $ | 512,569 | ||||||||||||
| Total assets | 4,545,635 | 4,592,137 | 4,578,053 | 4,558,060 | 4,595,430 | |||||||||||||||||
| Less: goodwill, core deposit intangibles, net of taxes | 37,844 | 38,160 | 38,477 | 38,793 | 39,189 | |||||||||||||||||
| Total tangible assets | $ | 4,507,791 | $ | 4,553,977 | $ | 4,539,576 | $ | 4,519,267 | $ | 4,556,241 | Tangible equity to tangible assets | 12.49 | % | 12.25 | % | 11.91 | % | 11.65 | % | 11.25 | % | |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
(1)Tangible equity (or tangible book value) is equal to total stockholders' equity less goodwill and core deposit intangibles, net of related deferred tax liabilities.
13
investorpresentation-q42
4th Quarter 2025 Investor Presentation
This press release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact, but instead are based on certain assumptions including statements with respect to the Company's beliefs, plans, objectives, goals, expectations, assumptions and statements about future economic performance and projections of financial items. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from the results anticipated or implied by forward-looking statements. The factors that could result in material differentiation include, but are not limited to expected revenues, cost savings, synergies and other benefits from merger and acquisition activities might not be realized to the extent anticipated, within the anticipated time frames, or at all, costs or difficulties relating to integration matters, including but not limited to customer and employee retention, might be greater than expected, and goodwill impairment charges might be incurred; increased competitive pressures among financial services companies; changes in the interest rate environment; changes in general economic conditions, both nationally and in our market areas; natural disasters; legislative and regulatory changes; and the effects of inflation, a potential recession, and other factors described in the Company's latest Annual Report on Form 10-K and Quarterly Reports on Form 10-Q and other documents filed with or furnished to the Securities and Exchange Commission - which are available on the Company's website at www.htb.com and on the SEC's website at www.sec.gov. Any of the forward-looking statements that the Company makes in this press release or in the documents the Company files with or furnishes to the SEC are based upon management's beliefs and assumptions at the time they are made and may turn out to be wrong because of inaccurate assumptions, the factors described above or other factors that management cannot foresee. The Company does not undertake, and specifically disclaims any obligation, to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements. Forward Looking Statements 2
Founded: 1926 Locations: 32 Employees: 566 Headquarters: Asheville, NC NYSE: HTB Overview $4.5B Assets1 $3.6B Loans1 $3.7B Deposits1 136% Price to TBV2 10,189,146 Total Shares Repurchased Since Buybacks Approved in April 20131 $762MM Market Cap2 53,127 TTM Average Daily Volume2 17,286,289 Outstanding Shares1 1. Financial data as of December 31, 2025 2. Market data as of January 16, 2026 3
One of the Top 50 Community Banks two years in a row - 2023 and 2024 One of the Top 100 Best Banks two years in a row - 2024 and 2025 One of the Top 100 Best U.S. Banks less than $5 billion two years in a row – 2024 and 2025 4 Our Goal Become a High-Performing, Regional Community Bank One of only 16 banks (top 5%) recognized for consistent earnings growth over the past 10 years 2025
Become a regionally & nationally recognized Best Place to Work The Strategy to Reach Our Goal 5
$26.39 $27.10 $27.73 $28.57 $29.24 $30.00 $30.92 $31.83 $32.56 $21.00 $22.00 $23.00 $24.00 $25.00 $26.00 $27.00 $28.00 $29.00 $30.00 $31.00 $32.00 $33.00 12/31/2023 3/31/2024 6/30/2024 9/30/2024 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 See Appendix – Non-GAAP Reconciliation Tangible Book Value Per Share Growth +11.1% CAGR over last 24 months 6
Transfer of Common Stock to NYSE HTB • Transitioned from Nasdaq to the NYSE in February 2025 • Change in ticker from HTBI to HTB • Joined other peers and community banks in transfer • Further demonstration of the maturation of Company • Potential enhanced liquidity and trading volume 7
Focused Deposit Growth Organizational Maturity Strategic Framework High Performance Best Place to Work Added Shareholder Value Engaged Employees Collaborative Culture Great Markets for Business Strong Balance Sheet Foundation Priorities Goals 8
Key Investment Highlights Footprint in attractive metro markets experiencing growth rates above the national average (See Pages 11-12) Successful transition to a commercial bank (See Pages 8, 10, 13-19) • Expansion of lines of business, adding further diversity to our loan portfolio • Strong experienced team of revenue producers with local market knowledge • Attractive core deposit mix and cost • Refreshed leadership team with extensive banking experience Our stock represents a value when compared to our peers (See Page 24) Transformation efforts have driven improvements in profitability and our capital position (See Pages 6, 20-23, 25-26) • Top quartile financial performance and superior interest margin • Proven ability to generate noninterest income • Continued expense rationalization • Robust tangible book value growth with minimal AOCI effect • Strong capital position to support continued growth Strong asset quality and credit discipline to support further growth (See Page 21) 9
Refreshed Leadership Team Executive Management • C. Hunter Westbrook – President & CEO (2012) • Charles F. Sivley Jr. – Chief Technology Officer (2024) • John Sprink – Commercial Banking Group Executive (2014) • Kevin M. Nunley – Chief Credit Officer (2020) • Kristin Y. Powell – Consumer & Bus. Banking Group Executive (2015) • Lora Jex – Chief Risk Officer (2023) • Megan Pelletier – Chief Operations & People Officer (2022) • Tony J. VunCannon – CFO, Corporate Secretary & Treasurer (1992) Board of Directors • Richard T. Williams, Chair (2016) • C. Hunter Westbrook, Vice-Chair (2021) • Bonnie V. Hancock (2024) • Dwight L. Jacobs (2024) • Jesse J. Cureton, Jr. (2024) • John A. Switzer (2019) • Laura C. Kendall (2016) • Narasimhulu Neelagaru M.D. (2023) • Rebekah M. Lowe (2020) • Robert E. James, Jr. (2016) *The years identified above reflect the years these individuals joined the Company 7 of our 8 Executive officers have joined the Company since our 2012 conversion, joining from leadership positions at institutions such as PNC, SouthState, SunTrust, TCF and Wells Fargo All board members have been appointed since our 2012 mutual to stock conversion, including the addition of three new directors in April 2024 10
Strong Southeast Footprint Source: S&P Global Market Intelligence for MSA Demographics Raleigh 7.4% Population Growth 11.8% HH Income Growth Charlotte 6.6% Population Growth 10.3% HH Income Growth Atlanta 4.4% Population Growth 7.7% HH Income Growth Greenville 6.4% Population Growth 6.3% HH Income Growth (2025 to 2030 Projected Changes) Charleston 7.4% Population Growth 10.1% HH Income Growth Focused on High-Growth Markets 11 1. 4. 7. 8. 18. North Carolina Virginia Georgia Tennessee South Carolina2025
Continuing Southeast Migration Source: Retirement Living 2025 12 Focused on High-Growth Markets 3. 5. 7. 8. 32. North Carolina South Carolina Georgia Tennessee Virginia
Business Banking Business Banking Centers SBA Lending Community Association Banking Small Business Banking Consumer Banking Commercial Commercial Real Estate Commercial & Industrial Middle Market Banking Equipment & Municipal Finance Treasury Management Services Retail Banking Market Teams Consumer Banking Digital Banking Mortgage Banking Investment Services Professional Banking HELOCs Originated for Sale Primary Lines of Business 13
“Branch-Lite” Business Banking Centers “Branch Heavy” Consumer Markets Asheville Roanoke Tri-Cities Branch Manager & Consumer Banker Introducing Micro-Business Loans Atlanta Charlotte Greenville Raleigh Branch Manager & Small Business Banker Small Business Banking & Professional Banking 14 Hybrid Branch Strategy
Commercial RE (NOO) 26% Commercial RE (OO) 16% Construction and Development 9% Other Commercial 15% Equipment Finance 9% 1-4 Family 18% HELOCs and Other Consumer 7% Diversified Loan Portfolio 15 Total Loans $3,578,154 (Dollars in thousands, as of December 31, 2025) With Low Concentration Risk
$- $25,000 $50,000 $75,000 $100,000 $125,000 $150,000 $175,000 $200,000 Hospitality Healthcare Other Multifamily Shopping Centers Office Other Retail Industrial Non-Owner Occupied CRE NOO CRE – Office Top 5 loans: $6,268,000 $6,263,000 $4,864,000 $4,863,000 $4,584,000 Total - $26,842,000 (28% of the portfolio) 16 (Dollars in thousands, as of December 31, 2025)
C&I 36% Hotel 27% Retail 22% Other 11% Office 4% SBA Portfolio Total Balance $141,560 Guaranteed Balance $47,771 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% $- $1,500 $3,000 $4,500 $6,000 $7,500 $9,000 12/31/24 3/31/25 6/30/25 9/30/25 12/31/25 Classified SBA Loans Unguaranteed Balance % of SBA Portfolio 17 SBA Loans Portfolio (Dollars in thousands, as of December 31, 2025)
0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 3.00% $- $2,000 $4,000 $6,000 $8,000 $10,000 12/31/24 3/31/25 6/30/25 9/30/25 12/31/25 Classified EF Loans Loan Balance % of EF Portfolio 18 Equipment Finance Portfolio (Dollars in thousands, as of December 31, 2025) Construction 28% Other 17% Healthcare 15% Manufacturing 15% Other Transport 13% Over the Road Transport 12% Equipment Finance Portfolio Total Balance $311,356
Noninterest- bearing 19% NOW 15% Money Market/Savings 42% Time Deposits 24% 2.35% 2.19% 2.05% 2.06% 2.00% 1.50% 1.75% 2.00% 2.25% 2.50% Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Cost of Deposits Deposit Franchise 19 (Dollars in thousands, as of December 31, 2025) Total Deposits $3,709,997
Strong Profitability Metrics (Dollars in thousands, by year) $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $3.50 $4.00 $- $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000 2021 2022 2023 2024 2025 Adjusted Earnings Performance Adj. Net Income Adj. Diluted EPS 0.25% 0.45% 0.65% 0.85% 1.05% 1.25% 1.45% 1.65% 2021 2022 2023 2024 2025 Adjusted Return on Assets 50% 55% 60% 65% 70% 75% 2021 2022 2023 2024 2025 Adjusted Efficiency Ratio 2% 4% 6% 8% 10% 12% 14% 2021 2022 2023 2024 2025 Adjusted Return on Average Tangible Common Equity See Appendix – Non-GAAP Reconciliation 20
Solid Asset Quality and Credit Discipline (Dollars in thousands) 0.00% 0.05% 0.10% 0.15% 0.20% 0.25% 0.30% $- $2,000 $4,000 $6,000 $8,000 $10,000 $12,000 2021 2022 2023 2024 2025 Net Charge-Offs (“NCO”) and NCO to Average Loans NCOs NCO/Avg. Loans 0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 1.20% 12/31/21 12/31/22 12/31/23 12/31/24 12/31/25 Nonperforming Assets to Total Assets Nonperforming Assets Govt Guaranteed 0% 150% 300% 450% 600% 750% 12/31/21 12/31/22 12/31/23 12/31/24 12/31/25 ACL to Nonperforming Loans (Coverage Ratio) 21 0.60% 0.80% 1.00% 1.20% 1.40% 1.60% $- $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 12/31/21 12/31/22 12/31/23 12/31/24 12/31/25 Allowance for Credit Losses (“ACL”) and ACL to Total Loans ACL ACL/Total Loans
Strong Capital Position to Support Continued Growth (Dollars in thousands) 7% 8% 9% 10% 11% 12% 13% 14% 15% 12/31/21 12/31/22 12/31/23 12/31/24 12/31/25 Tier I Capital (to Risk-Weighted Assets) 9% 10% 11% 12% 13% 14% 15% 16% 12/31/21 12/31/22 12/31/23 12/31/24 12/31/25 Total Risk-Based Capital (to Risk-Weighted Assets) 6% 7% 8% 9% 10% 11% 12% 13% 14% 12/31/21 12/31/22 12/31/23 12/31/24 12/31/25 Common Equity Tier I Capital (to Risk-Weighted Assets) 4% 5% 6% 7% 8% 9% 10% 11% 12% 13% 14% 12/31/21 12/31/22 12/31/23 12/31/24 12/31/25 Tier I Capital (to Total Adjusted Assets) 22
Capital Strategy 0% 5% 10% 15% 20% 25% 30% $- $0.10 $0.20 $0.30 $0.40 $0.50 2021 2022 2023 2024 2025 Cash Dividends Dividend/Share Dividend Payout Ratio 60% 70% 80% 90% 100% 110% 120% 130% 140% $- $5.00 $10.00 $15.00 $20.00 $25.00 $30.00 $35.00 $40.00 $45.00 $50.00 12/31/21 12/31/22 12/31/23 12/31/24 12/31/25 Market Price and Price to Tangible Book Market Price per Share Price to Tangible Book Stock Buybacks Average Cost Per Share ($)Total Cost ($) Number of Shares Total Buybacks as a % of O/S Shares as of 2/19/13Buybacks $21.37$217,708,00010,189,14647.0%Total repurchased through December 31, 2025 334,413 shares repurchased during the year ended December 31, 2025 778,743Shares remaining to be repurchased under most recent buyback plan 10,967,889Total repurchased and authorized • On December 16, 2025, the Company's Board of Directors authorized the repurchase of 870,000 shares or approximately 5% of the Company’s outstanding shares. 23
1.22% 1.88% Peer 17 Peer 16 Peer 13 Peer 14 Peer 15 Peer 11 Peer 12 Peer 9 Peer 10 Peer 8 Peer 7 Peer 6 Peer 5 Peer 4 Peer 3 Peer 2 Peer 1 1.46% 2.03% Peer 16 Peer 12 Peer 17 Peer 14 Peer 13 Peer 11 Peer 6 Peer 15 Peer 10 Peer 7 Peer 8 Peer 4 Peer 3 Peer 5 Peer 1 Peer 2 (Three Months ended September 30) Valuation – Peer Comparison *Peer group includes banks of comparable size and complexity as disclosed in the most recent proxy statement. Source: Each institution’s respective public filings 24 2024 2025 2025 10.78 20.95 Peer 6 Peer 15 Peer 12 Peer 10 Peer 4 Peer 8 Peer 2 Peer 14 Peer 9 Peer 11 Peer 13 Peer 7 Peer 1 Peer 3 Peer 5 Peer 16 Peer 17 2024 2024 1.29 2.80 Peer 17 Peer 16 Peer 15 Peer 12 Peer 10 Peer 14 Peer 4 Peer 6 Peer 2 Peer 13 Peer 8 Peer 3 Peer 11 Peer 7 Peer 5 Peer 1 2025 Annualized Return on Assets (“ROA”) Stock Price to Annualized Earnings per Share (“EPS”) Stock Price to Tangible Book Value (“TBV”) per Share HTB HTB HTB HTB HTB HTB 1.19 2.97 Peer 17 Peer 12 Peer 16 Peer 15 Peer 10 Peer 14 Peer 13 Peer 4 Peer 2 Peer 6 Peer 9 Peer 8 Peer 7 Peer 3 Peer 11 Peer 5 Peer 1 11.01 14.96 Peer 15 Peer 10 Peer 2 Peer 11 Peer 4 Peer 6 Peer 14 Peer 8 Peer 13 Peer 17 Peer 3 Peer 1 Peer 7 Peer 12 Peer 16 Peer 5
Quarterly Highlights 9/30/202412/31/20243/31/20256/30/20259/30/202512/31/2025Net Income Per Share $ 0.77$ 0.83$ 0.84$ 1.01$ 0.96$ 0.94Basic $ 0.76$ 0.83$ 0.84$ 1.00$ 0.95$ 0.93Diluted See Appendix – Non-GAAP Reconciliation 9/30/202412/31/20243/31/20256/30/20259/30/202512/31/2025Performance Ratios 1.17 %1.27 %1.33 %1.58 %1.48 %1.44 %Return on assets (ROA) 9.76 %10.32 %10.52 %11.97 %11.10 %10.63 %Return on equity (ROE) 6.34 %6.27 %6.20 %6.22 %6.21 %6.02 %Yield on earning assets 3.09 %2.94 %2.73 %2.61 %2.63 %2.53 %Rate paid on interest-bearing liabilities 4.03 %4.09 %4.18 %4.32 %4.31%4.20%Net interest margin 60.52 %59.89 %60.29 %58.59 %57.28%58.80%Efficiency ratio - adjusted 9/30/202412/31/20243/31/20256/30/20259/30/202512/31/2025Asset Quality Ratios 0.64 %0.63 %0.61 %0.67 %0.72 %0.98 %Nonperforming assets to total assets 0.78 %0.76 %0.74 %0.81 %0.89%1.22 %Nonperforming loans to total loans 0.99 %1.06 %0.85 %1.07 %1.23%1.46 %Classified assets to total assets 166.51 %163.68 %165.96 %147.98 %132.26 %94.75 %ACL to nonperforming loans 1.30 %1.24 %1.23 %1.20 %1.18 %1.16 %ACL to total loans 0.42 %0.19 %0.14 %0.21 %0.29 %0.33 %Net charge-offs to average loans 25
Quarterly Highlights Net Interest Margin 4.05% 4.05% 4.10% 4.03% 4.09% 4.18% 4.32% 4.31% 4.20% 4.06% 4.02% 4.05% 3.98% 3.95% 4.14% 4.16% 4.24% 4.11% 3.50% 3.75% 4.00% 4.25% 4.50% Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 NIM Reported NIM Core* 3.50% 3.75% 4.00% 4.25% 4.50% 4.75% 5.00% 5.25% 5.50% 5.75% Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Federal Funds Rate * Core net interest margin excludes accretion income and other loan fees. 26
Appendix – Non-GAAP Recon In addition to results presented in accordance with generally accepted accounting principles utilized in the United States (“GAAP”), this document contains certain non- GAAP financial measures, which include: the efficiency ratio; tangible book value; tangible book value per share; net income, EPS, ROA, and return on average tangible common equity (ROATCE) as adjusted to exclude transactions which management does not consider to be reflective of “core” financial results. Management has presented the non-GAAP financial measures in this document as it believes including these items provides useful and comparative information to assess trends in our core operations while facilitating the comparison of the quality and composition of our earnings over time and in comparison to our competitors. However, these non- GAAP financial measures are supplemental, are not audited and are not a substitute for operating results or any analysis determined in accordance with GAAP. Where applicable, we have also presented comparable earnings information using GAAP financial measures. Because not all companies use the same calculations, our presentation may not be comparable to other similarly titled measures as calculated by other companies. (Dollars in thousands) 12/31/2025 12/31/2024 12/31/2023 12/31/2022 12/31/2021 Noninterest expense 125,176$ 125,497$ 123,655$ 105,423$ 130,578$ Less: contract renew al consulting fee - (2,965) - - - Less: merger-related expense - - (4,741) (724) - Less: branch closure and restructuring expenses - - - - (1,513) Less: of f icer transition agreement expense - - - (1,795) - Less: prepayment penalties on borrow ings - - - - (22,690) Noninterest expense - adjusted 125,176$ 122,532$ 118,914$ 102,904$ 106,375$ Net interest income 176,738$ 169,504$ 169,999$ 127,964$ 106,566$ Plus: tax-equivalent adjustment 1,737 1,460 1,244 1,189 1,268 Plus: noninterest income 36,331 33,449 32,073 34,515 42,284 Less: net death benefit proceeds from BOLI policies (92) (1,143) (2,646) - - Less: gain on sale of debt securities available for sale - - - (1,895) - Less: gain on sale of equity securities - - - (721) - Less: gain on sale of branches (1,448) - - - - Less: (gain) loss on sale of premises and equipment (93) 9 (734) (1,115) 1,398 Net interest income plus noninterest income - adjusted 213,173$ 203,279$ 199,936$ 159,937$ 151,516$ Eff iciency ratio 58.75% 61.84% 61.19% 64.88% 87.72% Efficiency ratio - adjusted 58.72% 60.28% 59.48% 64.34% 70.21% 12 Months Ended (Dollars in thousands) 12/31/2025 12/31/2024 12/31/2023 12/31/2022 12/31/2021 Total stockholder's equity 600,690$ 551,758$ 499,893$ 410,155$ 401,746$ Less: goodw ill, core deposit intangibles, net of taxes (37,844) (39,189) (41,086) (25,663) (25,780) Tangible book value 562,846$ 512,569$ 458,807$ 384,492$ 375,966$ Common shares outstanding 17,286,289 17,527,709 17,387,069 15,673,595 16,303,461 Book value per share 34.75$ 31.48$ 28.75$ 26.17$ 24.64$ Tangible book value per share 32.56$ 29.24$ 26.39$ 24.53$ 23.06$ HomeTrust Bancshares, Inc. share price 42.94$ 33.68$ 26.92$ 24.17$ 30.98$ Price to tangible book value 131.9% 115.2% 102.0% 98.5% 134.3% As of Set forth is a reconciliation to GAAP of our efficiency ratio: Set forth is a reconciliation to GAAP of tangible book value, tangible book value per share, and price to tangible book value: 27
Appendix – Non-GAAP Recon Set forth is a reconciliation to GAAP of tangible book value, tangible book value per share, and price to tangible book value: (Dollars in thousands) 12/31/2025 9/30/2025 6/30/2025 3/31/2025 12/31/2024 Total stockholder's equity 600,690$ 595,833$ 579,274$ 565,449$ 551,758$ Less: goodw ill, core deposit intangibles, net of taxes (37,844) (38,160) (38,477) (38,793) (39,189) Tangible book value 562,846$ 557,673$ 540,797$ 526,656$ 512,569$ Common shares outstanding 17,286,289 17,520,425 17,492,143 17,552,626 17,527,709 Book value per share 34.75$ 34.01$ 33.12$ 32.21$ 31.48$ Tangible book value per share 32.56$ 31.83$ 30.92$ 30.00$ 29.24$ HomeTrust Bancshares, Inc. share price 42.94$ 40.94$ 37.41$ 34.28$ 33.68$ Price to tangible book value 131.9% 128.6% 121.0% 114.2% 115.2% As of (Dollars in thousands) 9/30/2024 6/30/2024 3/31/2024 12/31/2023 Total stockholder's equity 540,004$ 523,628$ 513,173$ 499,893$ Less: goodw ill, core deposit intangibles, net of taxes (39,626) (40,063) (40,500) (41,086) Tangible book value 500,378$ 483,565$ 472,673$ 458,807$ Common shares outstanding 17,514,922 17,437,326 17,444,787 17,387,069 Book value per share 30.83$ 30.03$ 29.42$ 28.75$ Tangible book value per share 28.57$ 27.73$ 27.10$ 26.39$ HomeTrust Bancshares, Inc. share price 34.08$ 30.03$ 27.34$ 26.92$ Price to tangible book value 119.3% 108.3% 100.9% 102.0% As of (Continued) 28
(Dollars in thousands) 12/31/2025 12/31/2024 12/31/2023 12/31/2022 12/31/2021 Contract renew al consulting fee -$ 2,965$ -$ -$ -$ Merger-related expense - - 4,741 724 - Provision for credit losses established for merger - - 5,270 - - Net death benefit proceeds from BOLI policies (92) (1,143) (2,646) - - Tax impact of BOLI restructuring - - 288 - - Gain on sale of equity securities - - - (721) - Gain on sale of branches (1,448) - - - - (Gain) loss on sale of premises and equipment (93) 9 (734) (1,115) 1,398 Branch closure and restructuring expenses - - - - 1,513 Officer transition agreement expense - - - 1,795 - Gain on sale of debt securities available for sale - - - (1,895) - Prepayment penalty on borrow ings - - - - 22,690 Total adjustments (1,633) 1,831 6,919 (1,212) 25,601 Less: tax effect 384 (430) (1,558) 285 (6,016) Total adjustments, net of tax (1,249) 1,401 5,361 (927) 19,585 Net income (GAAP) 64,364 54,805 50,044 36,905 22,066 Adjusted net income (non-GAAP) 63,115$ 56,206$ 55,405$ 35,978$ 41,651$ Average shares outstanding - basic 16,987,894 16,914,741 16,604,881 15,149,241 15,815,635 Average shares outstanding - diluted 17,106,783 16,977,330 16,622,371 15,319,601 16,182,068 Basic EPS (GAAP) 3.75$ 3.21$ 2.99$ 2.42$ 1.38$ Non-GAAP adjustment (0.07) 0.08 0.32 (0.06) 1.24 Adjusted basic EPS (non-GAAP) 3.68$ 3.29$ 3.31$ 2.36$ 2.62$ Diluted EPS (GAAP) 3.72$ 3.20$ 2.99$ 2.39$ 1.35$ Non-GAAP adjustment (0.07) 0.08 0.32 (0.06) 1.21 Adjusted diluted EPS (non-GAAP) 3.65$ 3.28$ 3.31$ 2.33$ 2.56$ Average assets 4,415,331$ 4,439,661$ 4,285,115$ 3,551,791$ 3,618,635$ Average equity 582,181$ 528,288$ 471,107$ 398,055$ 401,527$ ROA (GAAP) 1.46% 1.23% 1.17% 1.04% 0.61% Non-GAAP adjustment -0.03% 0.03% 0.13% -0.03% 0.54% Adjusted ROA (non-GAAP) 1.43% 1.26% 1.30% 1.01% 1.15% ROE (GAAP) 11.06% 10.37% 10.62% 9.27% 5.50% Non-GAAP adjustment -0.21% 0.27% 1.14% -0.23% 4.88% Adjusted ROE (non-GAAP) 10.85% 10.64% 11.76% 9.04% 10.38% Average equity 582,181$ 528,288$ 471,107$ 398,055$ 401,527$ Less: goodw ill, core deposit intangible, net of taxes (37,844) (39,189) (41,086) (25,663) (25,780) Average tangible book value 544,337$ 489,099$ 430,021$ 372,392$ 375,747$ Adjusted ROATCE 11.59% 11.49% 12.88% 9.66% 11.08% 12 Months Ended Appendix – Non-GAAP Recon Set forth is a reconciliation to GAAP of adjusted net income, EPS, ROA and ROATCE: In relation to the two- class method, net income used in the calculations of basic and diluted EPS have adjustments, which are included in Company documents previously filed with the SEC. (Continued) 29
(Dollars in thousands) 12/31/2025 9/30/2025 6/30/2025 3/31/2025 12/31/2024 9/30/2024 Noninterest expense 31,694$ 31,266$ 31,255$ 30,961$ 34,009$ 30,869$ Less: contract renew al consulting fee - - - - (2,965) - Noninterest expense - adjusted 31,694$ 31,266$ 31,255$ 30,961$ 31,044$ 30,869$ Net interest income 44,213$ 45,389$ 44,229$ 42,907$ 43,205$ 42,358$ Plus: tax-equivalent adjustment 448 440 431 418 389 368 Plus: noninterest income 9,396 8,751 10,157 8,027 8,243 8,282 Less: gain on death benefit proceeds from BOLI policies (92) - - - - - Less: gain on sale of branches - - (1,448) - - - Less: (gain) loss on sale of premises and equipment (65) - (28) - - - Net interest income plus noninterest income - adjusted 53,900$ 54,580$ 53,341$ 51,352$ 51,837$ 51,008$ Eff iciency Ratio 59.12% 57.75% 57.47% 60.79% 66.10% 60.96% Efficiency Ratio - adjusted 58.80% 57.28% 58.59% 60.29% 59.89% 60.52% 3 Months ended Appendix – Non-GAAP Recon Set forth is a reconciliation to GAAP of our quarterly return on assets: (Dollars in thousands) 12/31/2025 9/30/2025 6/30/2025 3/31/2025 12/31/2024 9/30/2024 Contract renew al consulting fee -$ -$ -$ -$ 2,965$ -$ Gain on death benefit proceeds from BOLI policies (92) - - - - - Gain on sale of branches - - (1,448) - - - (Gain) loss on sale of premises and equipment (65) - (28) - - - Total adjustments (157)$ -$ (1,476)$ -$ 2,965$ -$ Less: tax effect 37 - 347 - (697) - Total adjustments, net of tax (120) - (1,129) - 2,268 - Net income (GAAP) 16,124 16,491 17,210 14,539 14,208 13,112 Adjusted net income (non-GAAP) 16,004$ 16,491$ 16,081$ 14,539$ 16,476$ 13,112$ Average assets 4,435,963$ 4,431,153$ 4,366,891$ 4,427,045$ 4,461,612$ 4,449,215$ Average equity 601,668$ 589,632$ 576,574$ 560,312$ 547,711$ 534,726$ ROA (GAAP) 1.44% 1.48% 1.58% 1.33% 1.27% 1.17% Non-GAAP adjustment -0.01% 0.00% -0.10% 0.00% 0.20% 0.00% Adjusted ROA (non-GAAP) 1.43% 1.48% 1.48% 1.33% 1.47% 1.17% ROE (GAAP) 10.63% 11.10% 11.97% 10.52% 10.32% 9.76% Non-GAAP adjustment -0.08% 0.00% -0.78% 0.00% 1.66% 0.00% Adjusted ROE (non-GAAP) 10.55% 11.10% 11.19% 10.52% 11.98% 9.76% 3 Months ended Set forth is a reconciliation to GAAP of our quarterly efficiency ratio: (Continued) 30
33 Culture Fundamentals 31 1. DO THE RIGHT THING, ALWAYS 2. LOOK AHEAD AND ANTICIPATE 3. BE POSITIVE 4. THINK TEAM 5. LISTEN GENEROUSLY 6. SPEAK STRAIGHT 7. EMBRACE DIVERSE PERSPECTIVES 8. FIND A WAY 9. PRACTICE BLAMELESS PROBLEM-SOLVING 10. BE OBJECTIVE 11. PAY ATTENTION TO THE DETAILS 12. INVEST IN RELATIONSHIPS 13. DEBATE, THEN ALIGN 14. GO THE EXTRA MILE 15. TAKE INTELLIGENT RISKS 16. PRACTICE KINDNESS 17. THINK AND ACT LIKE AN OWNER 18. GET CLEAR ON EXPECTATIONS 19. HONOR COMMITMENTS 20. SHOW MEANINGFUL APPRECIATION 21. ASSUME POSITIVE INTENT 22. “BRING IT” EVERY DAY 23. BE RELENTLESS ABOUT IMPROVEMENT 24. BE A FANATIC ABOUT RESPONSE TIME 25. WORK ON YOURSELF 26. COLLABORATE 27. MAKE QUALITY PERSONAL 28. BE READY FOR WHAT’S NEXT 29. DELIVER AN EFFORTLESS EXPERIENCE 30. CREATE A GREAT IMPRESSION 31. OWN YOUR WORK-LIFE BALANCE 32. FOCUSED EXECUTION 33. KEEP THINGS FUN “How we engage our customers, how we treat each other, and how we manage the Bank.”
Hunter Westbrook President and Chief Executive Officer hunter.westbrook@htb.com Tony VunCannon EVP / Chief Financial Officer Corporate Secretary / Treasurer tony.vuncannon@htb.com 10 Woodfin Street Asheville, NC 28801 (828) 259-3939 www.htb.com 32