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Horizon Bancorp Q1 2025 Earnings Report
Horizon Bancorp, Inc. reported its first quarter 2025 financial results, showing continued positive momentum in core financial metrics and management's commitment to deliver long-term value to its shareholders.
Key Takeaways
Horizon Bancorp, Inc. reported a net income of $23.9 million, or $0.54 per diluted share, for the first quarter of 2025. This marks a significant improvement from a net loss of $10.9 million in the previous quarter and an increase from $14.0 million in the first quarter of 2024. The company saw its net interest margin expand for the sixth consecutive quarter to 3.04%, strong organic commercial loan growth, and a more efficient expense base.
Net income for Q1 2025 was $23.9 million, a significant increase from a net loss of $10.9 million in Q4 2024 and $14.0 million in Q1 2024.
Diluted earnings per share for Q1 2025 were $0.54, up from a loss of $0.25 in Q4 2024 and earnings of $0.32 in Q1 2024.
Net interest margin expanded to 3.04% in Q1 2025, marking the sixth consecutive quarter of expansion.
Total loans held for investment increased 5% linked quarter annualized, driven by strong organic commercial loan growth of $103.3 million.
Horizon Bancorp
Horizon Bancorp
Horizon Bancorp Revenue by Segment
Revenue by Segment
Service charges on deposit accounts Revenue
CapyFin.comWire transfer fees Revenue
CapyFin.comInterchange fees Revenue
CapyFin.comFiduciary activities Revenue
CapyFin.comLoss on sale of investment securities Revenue
CapyFin.comGain on sale of mortgage loans Revenue
CapyFin.comMortgage servicing income Revenue
CapyFin.comIncrease in cash value of bank owned life insurance Revenue
CapyFin.comOther income Revenue
CapyFin.com Forward Guidance
Horizon Bancorp, Inc. did not provide specific forward-looking financial guidance in this report. However, management expressed confidence in continued positive momentum and commitment to delivering long-term shareholder value.
Positive Outlook
- Continued positive momentum in core financial metrics.
- Commitment to deliver long term value to shareholders.
- Sixth consecutive quarter of margin expansion, now above 3%.
- Strong loan growth with exceptional credit metrics.
- Core funding base continues to deliver value in an uncertain economic environment.
Challenges Ahead
- Decline in average interest earning asset balances compared to prior quarter.
- Two fewer days in the quarter compared to the prior quarter impacting net interest income.
- Interest recoveries on specific commercial loans in Q4 2024 did not recur in Q1 2025.
- Uncertain conditions within the domestic and international macroeconomic environment.
- Potential loss of fee income due to new and emerging alternative payment platforms.