■ Increase · July 21, 2026
Home Bancorp Q2 2026 Net Income Rises, Dividend Increased 3%
Home Bancorp reported Q2 2026 net income of $11.6 million, up from Q1, and increased its quarterly dividend by 3%.
Second Quarter Financial Highlights
Home Bancorp, Inc. (Nasdaq: HBCP), parent company of Home Bank, N.A., reported net income of $11.6 million, or $1.48 per diluted common share, for the second quarter of 2026. This compares to $11.4 million, or $1.45 per diluted share, in the first quarter of 2026. The company also announced a 3% increase in its quarterly dividend, reflecting continued financial strength.
Return on assets (ROA) stood at 1.31%, while net interest margin (NIM) expanded by eight basis points to 4.24%. Loan growth resumed after a slow start to the year, with total loans reaching $2.8 billion at June 30, 2026, up $50.7 million, or 1.9%, from March 31, 2026. Deposit growth also gained momentum, with total deposits of $3.1 billion, up $42.1 million, or 1%, during the quarter. The loan-to-deposit ratio remained at the company's target of 91%.
Asset Quality and Provisioning
Nonperforming assets (NPAs) totaled $39.2 million, or 1.09% of total assets, at June 30, 2026, down from $39.9 million, or 1.12% of total assets, at March 31, 2026. The decrease was driven by loan paydowns and payoffs, partially offset by modest additions from loans migrating to nonaccrual status. Net loan charge-offs were $448,000 in the second quarter, compared to $384,000 in the first quarter.
The company recorded a provision for loan losses of $762,000 in the second quarter. The allowance for loan losses totaled $34.0 million, or 1.22% of total loans, at June 30, 2026, versus $33.7 million, or 1.23% of total loans, at March 31, 2026. Criticized loans increased during the quarter, but management does not anticipate sizable losses.
Balance Sheet and Dividend
The investment securities portfolio grew to $409.1 million at June 30, 2026, up $22.9 million, or 6%, from the prior quarter. Net unrealized losses on securities were $25.0 million, compared to $24.0 million at March 31, 2026. The effective duration of the portfolio remained at 3.4 years.
Core deposits (non-maturity deposits) increased $46.6 million, or 2%, to $2.3 billion. The average rate on interest-bearing deposits decreased one basis point to 2.28% in the second quarter. Uninsured deposits totaled $959.4 million at June 30, 2026, up from $919.7 million at March 31, 2026.
The company increased its quarterly dividend by 3%, marking continued commitment to shareholder returns.
What it means for income investors
Home Bancorp's 3% dividend increase and solid earnings performance signal stable cash flow generation. With a strong net interest margin and manageable credit costs, the dividend appears well-supported by earnings.
Reporting based on: PR Newswire. Figures verified against market data where available.