Home Bancshares Posts 10th Consecutive Record Quarter

Business

by Talk Business & Politics staff ([email protected]) October 17, 2013 9:33 am 104 views 

For two-and-a-half years, it’s been the same song, different verse.

Home Bancshares, Inc., parent company of Centennial Bank, announced record third quarter profits of $18.36 million in its third quarter compared to $16.1 million one year ago. The Conway-based financial institution increased its third quarter earnings by $2.3 million or 14.1% for the three months ended September 30, 2013 compared to the same period of the previous year.

Net income is likely to set more records in the future as Home Bancshares completes its $280 million buyout of Jonesboro-based Liberty Bancshares later this year.

“Home Bancshares has achieved yet another record quarter for net income, making it the tenth consecutive quarter to meet this outstanding accomplishment,” said Chairman John Allison. “Our strong capital levels continue to remain considerably above the regulators’ capital requirements, while our strong reserves have placed us in a position to partake in an opportunity like the upcoming Liberty Bank market acquisition. This game-changing merger of these two similarly sized Arkansas-based companies with comparable cultures and history makes us confidently optimistic of the company’s continued bright future when Liberty gets on board.”

Operating highlights for the quarter include:

  • Net interest income for the third quarter of 2013 increased 20.0% to $46.4 million from $38.6 million during the third quarter of 2012.
  • The company reported $9.3 million of non-interest income for the third quarter of 2013, compared to $10.6 million for the third quarter of 2012.
  • Total non-covered loans were $2.38 billion at September 30, 2013 compared to $2.33 billion at December 31, 2012.
  • Total covered loans were $308.1 million at September 30, 2013 compared to $384.9 million at December 31, 2012.
  • Total deposits were $3.25 billion at September 30, 2013 compared to $3.48 billion at December 31, 2012.
  • Total assets were $4.16 billion at September 30, 2013 compared to $4.24 billion at December 31, 2012.

Home Bancshares announced its acquisition of Liberty Bancshares in June of this year. The $280 million deal will give Home Bancshares a statewide footprint of 92 branches and an overall banking operation with $7.1 billion in assets.

Home Bancshares (NASDAQ: HOMB) stock closed trading on Wednesday at $31.53 a share. The company’s shares have been trading in the $15.39 to $33.10 range in the last year.