Oct 20, 2026 earnings call — CEO retirement and successor named
Home Bancorp reported third quarter net income of $10.1 million and announced CEO John Bordelon's retirement with Darren Guidry named successor.
Revenue $0.0B (est $0.0B) · EPS $1.28 (est $1.50)
Key quotes
"I want to share some personal news, and I've informed our Board of Directors yesterday of my decision to retire as Chief Executive Officer in January of 2027."
"Nonperforming loans increased during the quarter from $26.4 million to $42.2 million or from 95 basis points to 1.52% of total loans, primarily due to the 6 relationships Darren mentioned."
"Net interest income was a record $35.9 million in the third quarter, an increase of $110,000 from the second quarter and $1.8 million or 5% from a year ago."
Analyst Q&A 3
Problem loans, reserves, rentals, and margin
Q (Stephen Scouten · Piper Sandler): The analyst asked where the six problem loans are located, what types they are, and whether there are specific reserves tied to them. He also asked about short-term rental exposure and a starting point for fourth-quarter margin after the interest reversal.
A: Management said the problem loans are spread across almost every market with no concentration in one place, and they include CRE, multi-use, owner-occupied CRE, C&I, and construction development. A couple of the problem loans already have specific reserves and they do not expect significant losses. They noted a significant short-term rental credit book concentrated in New Orleans with no current credit issues, and they set a starting NIM of 4.27% to 4.28% after a 9 basis point interest reversal and described reinvestment and loan repricing benefits.
"So I think starting point for this quarter, 4.27%, 4.28% is your starting point going forward." — David Kirkley (CFO)
Deposit competition and margin outlook
Q (Feddie Strickland · Hovde Group): He asked how deposit competition has changed in rate and level after the late rate hike and whether competition differs by market. He also asked if more hikes would let margin rise assuming deposit competition stays reasonable.
A: Management said CD competition is varying by term and some competitors, including brokerage firms, are more aggressive. By and large, banking CD pricing is generally in the 4 to 4.40 range and their top stated rate is around 4.1% which serves most customers; Texas is more competitive than Louisiana. They said margin depends on deposit and loan pricing, but the balance sheet is well positioned to handle rising rates and should see a slight upward march in NIM or at least stability after another quarter or two of hikes.
"I would say, by and large, the banking CD pricing for CD rates is generally in the 4 to 4.40 range." — David Kirkley (CFO)
Credit peak, paydowns, pipeline, and M&A
Q (Joseph Yanchunis · Raymond James): The analyst asked if NPAs are at or near their peak given the prior plan for $30 million of resolutions. He also asked how much paydown occurred in the September quarter, the current loan pipeline, and their view on bank M&A.
A: Management said they are optimistic they are close to or at peak NPAs, though they remain watchful because further Fed tightening could worsen issues. They reported about $5 million in paydowns since the prior quarter and realistically expect another $5 million by year-end and another $5 million early next quarter; the loan pipeline is about $440 million with about $132 million committed and most of the $400 million expected to close by year-end and mid first quarter. On M&A, they said the bank is well positioned to pursue acquisitions that fit geographically, culturally, and add talent when opportunities arise.
"We're optimistic that we've gotten close to the peak if we're not there already." — Darren Guidry (PRESIDENT)