- HBT Financial (HBT, Financial) reported a net income of $19.1 million for Q1 2025, with earnings per share at $0.60.
- Net interest margin improved to 4.12%, driven by a strategic mix of higher earning asset yields and lower deposit costs.
- Deposits grew by 1.5% reaching $4.38 billion, primarily through existing retail account growth.
HBT Financial, Inc. (HBT) has announced its financial results for the first quarter of 2025. The company achieved a net income of $19.1 million, or $0.60 per diluted share. This performance represents a decrease from the $20.3 million, or $0.64 per share reported in Q4 2024, but an improvement over Q1 2024’s $15.3 million, or $0.48 per share. Despite the slight sequential decline, HBT Financial exhibited strong fundamentals underpinned by robust credit management and an increase in its tangible book value per share by 4.3% to $15.43.
The company reported an increase in its net interest margin to 4.12%, up by 16 basis points. This improvement was largely driven by higher yields on interest-earning assets and reduced costs of deposits. Five basis points of the improvement came from nonaccrual interest recoveries and loan fees. Total loans remained steady at $3.46 billion, while total deposits climbed by 1.5% to $4.38 billion, bolstered by higher retail account balances.
Asset quality remained commendably high with nonperforming assets constituting just 0.11% of total assets, a decline from 0.16% the previous quarter. The allowance coverage ratio stood at a robust 825% of nonperforming loans, indicating strong protection against potential losses. HBT Financial’s capital levels remained solid, with a total capital to risk-weighted assets ratio of 16.85%, surpassing regulatory requirements.
