Home BancShares’ first quarter net income, revenue beat estimates

Home BancShares, the parent company of Centennial Bank, posted a more than 15% gain in first quarter 2025 net income despite a $10 million drop in interest income. Earnings per share of 58 cents beat the consensus estimate of 54 cents.

The Conway-based bank holding company reported first quarter net income of $115.209 million, up 15.1% compared with $100.109 million in the same quarter of 2024. The bank posted earnings Wednesday (April 16) after the markets closed.

Revenue in the quarter totaled $260.1 million, better than the $246.4 million in the same quarter of 2024, and better than the consensus estimate of $255.22 million.

“This industry boils down to revenue and expenses. The magic is, doing the simple things repeatedly and long enough, creating a compounding effect of success. A record setting first quarter has paved the way for a strong year,” John Allison, Home BancShares chairman and CEO, said in the report.

The bank said the $10 million drop in interest income was largely by a $7.6 million drop in loan income.

“The overall decrease in interest income and interest expense is primarily due to the declining interest rate environment,” the bank noted in the report.

Following are other financial items from the first quarter report.
• Total assets as of March 31 reached $22.992 billion, up from the $22.835 billion at the same period in 2024.

• Total loans receivable as of March 31 were $14.952 billion, up from the $14.513 billion at the same period in 2024.

• Total deposits as of March 31 were $17.541 billion, up from the $16.866 billion at the same period in 2024.

• The return on assets as of March 31 was 2.07%, up from 1.78% in the same period in 2024.

Home BancShares posted 2024 net income of $402.241 million, up 2.7% compared with 2023, and a record for the bank holding company. For the year, the bank posted revenue of $1.017 billion, above the $996.879 million in 2024.

Founded in 1999, Home BancShares has 75 branches in Arkansas, 78 branches in Florida, 58 branches in Texas, 5 branches in Alabama and one branch in New York City.

Shares of Home BancShares (NASDAQ: HOMB) closed Wednesday at $25.98, down 12 cents. During the past 52 weeks, the share price has ranged between $32.91 and $22.41.