false 0001500375 0001500375 2024-10-29 2024-10-29
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
   
Washington, D.C. 20549
 
FORM 8-K
 
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
   
   
Date of Report (Date of earliest event reported)
October 29, 2024
 
   
Home Federal Bancorp, Inc. of Louisiana
(Exact name of registrant as specified in its charter)
 
Louisiana
001-35019
02-0815311
(State or other jurisdiction
of incorporation)
(Commission File Number)
(IRS Employer
Identification No.)
     
624 Market Street, Shreveport, Louisiana
 
71101
 
(Address of principal executive offices)
 
(Zip Code)
     
Registrant’s telephone number, including area code
(318) 222-1145
   
Not Applicable
(Former name or former address, if changed since last report)
   
   
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2 below):
 
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
 
Securities registered pursuant to Section 12(b) of the Act:
 
Title of each class
Trading
Symbol(s)
Name of each exchange on which registered
Common Stock (par value $.01 per share)
HFBL
Nasdaq Stock Market, LLC
 
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
 
Emerging growth company 
 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
 
 
 

 
Item 2.02        Results of Operations and Financial Condition
             
On October 29, 2024, Home Federal Bancorp, Inc. of Louisiana (the “Company”) reported its results of operations for the three months ended September 30, 2024.
 
For additional information, reference is made to the Company’s press release dated October 29, 2024, which is included as Exhibit 99.1 hereto and is incorporated herein by reference thereto.  The press release attached hereto is being furnished to the Securities and Exchange Commission and shall not be deemed to be “filed” for any purpose except as otherwise provided herein.
 
Item 9.01        Financial Statements and Exhibits
 
(a)        Not applicable.
(b)        Not applicable.
(c)        Not applicable.
(d)        Exhibits.
 
The following exhibit is filed herewith.
 
Exhibit Number
 
Description
99.1
 
104
 
Cover Page Interactive Data File (embedded within the Inline XBRL document)
 
 
 
 
 
2

 
 
 
SIGNATURES
 
 
            Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
 
 
HOME FEDERAL BANCORP, INC. OF LOUISIANA
     
     
     
Date: October 29, 2024
By:
/s/Glen W. Brown
    Glen W. Brown
    Senior Vice President and Chief Financial Officer
 
 
 
 
 
 
3

Exhibit 99.1

 

homefedlogo.jpg

FOR RELEASE: Tuesday, October 29, 2024 at 4:30 PM (Eastern)

 

HOME FEDERAL BANCORP, INC. OF LOUISIANA REPORTS RESULTS OF OPERATIONS

FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2024

 

Shreveport, Louisiana – October 29, 2024 – Home Federal Bancorp, Inc. of Louisiana (the “Company”) (Nasdaq: HFBL), the holding company of Home Federal Bank, reported net income for the three months ended September 30, 2024, of $941,000 compared to net income of $1.2 million reported for the three months ended September 30, 2023. The Company’s basic and diluted earnings per share were $0.31 for the three months ended September 30, 2024, compared to basic and diluted earnings per share of $0.40 and $0.39, respectively, for the three months ended September 30, 2023.

 

The decrease in net income for the three months ended September 30, 2024, compared to the same period in 2023, resulted from a decrease in net interest income of $857,000, or 16.2%, and a decrease in non-interest income of $134,000, or 30.9%, partially offset by a decrease in non-interest expense of $177,000, or 4.2%, a decrease in provision for income taxes of $312,000, or 100.6%, a decrease in the provision of credit losses of $223,000. The decrease in net interest income for the three months ended September 30, 2024, compared to the same period in 2023, resulted from an increase in total interest expense of $524,000, or 18.8%, and a decrease in total interest income of $333,000, or 4.1%.  The Company’s average interest rate spread was 2.23% for the three months ended September 30, 2024, compared to 2.68% for the three months ended September 30, 2023. The Company’s net interest margin was 2.98% for the three months ended September 30, 2024, compared to 3.37% for the three months ended September 30, 2023.

 

The following table sets forth the Company’s average balances and average yields earned and rates paid on its interest-earning assets and interest-bearing liabilities for the periods indicated.

 

 

   

For the Three Months Ended September 30,

 
   

2024

   

2023

 
   

Average

Balance

   

Average

Yield/Rate

   

Average

Balance

   

Average

Yield/Rate

 
   

(Dollars in thousands)

 

Interest-earning assets:

                               

Loans receivable

  $ 466,170       5.87 %   $ 498,242       5.79 %

Investment securities

    96,749       2.09       113,584       2.18  

Interest-earning deposits

    25,617       5.20       10,066       6.98  

Total interest-earning assets

  $ 588,536       5.22 %   $ 621,892       5.15 %
                                 

Interest-bearing liabilities:

                               

Savings accounts

  $ 82,556       1.61 %   $ 78,572       0.38 %

NOW accounts

    72,787       1.10       55,900       0.48  

Money market accounts

    75,216       2.29       108,891       2.26  

Certificates of deposit

    204,019       4.30       194,785       3.73  

Total interest-bearing deposits 

    434,578       2.92       438,148       2.47  

Other bank borrowings

    5,989       7.75       8,654       8.39  

FHLB advances

    -       -       1,138       5.23  

Total interest-bearing liabilities

  $ 440,567       2.98 %   $ 447,940       2.47 %

 

 

 

 

 

 

 

The $134,000 decrease in non-interest income for the three months ended September 30, 2024, compared to the same period in 2023, resulted from an increase in loss on sale of real estate of $220,000, partially offset by an increase in gain on sale of loans of $58,000, an increase in other non-interest income of $26,000, and an increase in income on bank owned life insurance of $2,000.

 

The $177,000 decrease in non-interest expense for the three months ended September 30, 2024, compared to the same period in 2023, resulted from decreases in advertising expense of $86,000, compensation and benefits expense of $54,000, professional fees of $43,000, loan and collection expense of $32,000, data processing expense of $26,000, amortization of core deposit intangible expense of $20,000, and deposit insurance premium expense of $1,000, partially offset by increases in audit and examination fees of $30,000, other non-interest expense of $28,000, occupancy and equipment expense of $15,000, and franchise and bank shares tax expense of $12,000.

 

Total assets decreased $9.1 million, or 1.4%, from $637.5 million at June 30, 2024 to $628.4 million at September 30, 2024. The decrease in assets was comprised of decreases in net loans receivable of $16.9 million, or 3.6%, from $470.9 million at June 30, 2024 to $454.0 million at September 30, 2024, real estate owned of $296,000, or 70.8% from $418,000 at June 30, 2024 to $122,000 at September 30, 2024, premises and equipment of $238,000, or 1.3%, from $18.3 million at June 30, 2024 to $18.1 million at September 30, 2024, core deposit intangible of $74,000, or 6.2%, from $1.2 million at June 30, 2024 to $1.1 million at September 30, 2024, and accrued interest receivable of $14,000, or 0.8%, from $1.78 million at June 30, 2024 to $1.76 million at September 30, 2024, partially offset by increases in cash and cash equivalents of $6.1 million, or 17.4%, from $34.9 million at June 30, 2024 to $41.0 million at September 30, 2024, investment securities of $1.4 million, or 1.5%, from $96.0 million at June 30, 2024 to $97.4 million at September 30, 2024, loans-held-for-sale of $535,000, or 30.9%, from $1.7 million at June 30, 2024 to $2.3 million at September 30, 2024, other assets of $224,000, or 16.6%, from $1.3 million at June 30, 2024 to $1.6 million at September 30, 2024, deferred tax asset of $29,000, or 2.5%, from $1.18 million at June 30, 2024 to $1.21 million at September 30, 2024, and bank owned life insurance of $29,000, or 0.4%, from $6.81 million at June 30, 2024 to $6.84 million at September 30, 2024. The increase in investment securities was primarily due to $4.0 million in security purchases and a $1.3 million reduction in unrealized losses on available for sale securities, partially offset by $3.5 million in principal payments. The increase in cash and cash equivalents from $34.9 million at June 30, 2024 to $41.0 million at September 30, 2024 was mainly due to decreases in loans receivable.

 

Total liabilities decreased $10.6 million, or 1.8%, from $584.7 million at June 30, 2024 to $574.1 million at September 30, 2024. The decrease in liabilities was comprised of decreases in total deposits of $9.4 million, or 1.6%, from $574.0 million at June 30, 2024 to $564.6 million at September 30, 2024, and other borrowings of $1.5 million, or 21.4%, from $7.0 million at June 30, 2024 to $5.5 million at September 30, 2024, partially offset by increases in other accrued expenses and liabilities of $252,000, or 7.9%, from $3.2 million at June 30, 2024 to $3.4 million at September 30, 2024, and advances from borrowers for taxes and insurance of $123,000, or 23.6%, from $521,000 at June 30, 2024 to $644,000 at September 30, 2024,. The decrease in deposits resulted from decreases in certificates of deposit of $17.5 million, or 8.2%, from $214.9 million at June 30, 2024 to $197.3 million at September 30, 2024, and money market deposits of $5.9 million, or 6.9%, from $85.5 million at June 30, 2024 to $79.6 million at September 30, 2024, partially offset by increases in savings deposits of $9.2 million, or 12.0%, from $76.6 million at June 30, 2024 to $85.8 million at September 30, 2024, non-interest deposits of $3.0 million, or 2.3%, from $130.3 million at June 30, 2024 to $133.3 million at September 30, 2024, and NOW accounts of $1.9 million, or 2.8%, from $66.6 million at June 30, 2024 to $68.5 million at September 30, 2024. The Company had no balances in brokered deposits at September 30, 2024 or June 30, 2024.

 

2

 

At September 30, 2024, the Company had $1.9 million of non-performing assets (defined as non-accruing loans, accruing loans 90 days or more past due, and other real estate owned) compared to $2.0 million on non-performing assets at June 30, 2024, consisting of two commercial non-real estate loans, five single-family residential loans, four home equity line-of-credit loans, and one single-family residence in other real estate owned at September 30, 2024, compared to five single-family residential loans, three commercial non-real estate loans, four home equity line-of-credit loans and three single-family residences in other real estate owned at June 30, 2024.  At September 30, 2024 the Company had five commercial non-real-estate loans, one commercial real-estate loan, six single family residential loans, four home-equity line-of-credit loans, and one auto loan classified as substandard, compared to six single family residential loans, five commercial non-real-estate loans, four home equity line-of-credit loans and one auto loan classified as substandard at June 30, 2024.  There were no loans classified as doubtful at September 30, 2024 or June 30, 2024.

 

Shareholders’ equity increased $1.5 million, or 2.8%, from $52.8 million at June 30, 2024 to $54.3 million at September 30, 2024. The increase in shareholders’ equity was comprised of net income for the three month period of $941,000, the vesting of restricted stock awards, stock options, and the release of employee stock ownership plan shares totaling $94,000, proceeds from the issuance of common stock from the exercise of stock options of $19,000, and a decrease in the Company’s accumulated other comprehensive loss of $1.0 million, partially offset by dividends paid totaling $409,000, and stock repurchases of $182,000.

 

Home Federal Bancorp, Inc. of Louisiana is the holding company for Home Federal Bank which conducts business from its ten full-service banking offices and home office in northwest Louisiana.

 

Statements contained in this news release which are not historical facts may be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995.  Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts.  They often include words like believe, expect, anticipate, estimate, and intend, or future or conditional verbs such as will, would, should, could, or may.  We undertake no obligation to update any forward-looking statements.

 

In addition to factors previously disclosed in the reports filed by the Company with the Securities and Exchange Commission and those identified elsewhere in this press release, the following factors, among others, could cause actual results to differ materially from forward-looking statements or historical performance: the strength of the United States economy in general and the strength of the local economies in which the Company conducts its operations; general economic conditions; legislative and regulatory changes; monetary and fiscal policies of the federal government; changes in tax policies, rates and regulations of federal, state and local tax authorities including the effects of the Tax Reform Act; changes in interest rates, deposit flows, the cost of funds, demand for loan products and the demand for financial services, competition, changes in the quality or composition of the Companys loans, investment and mortgage-backed securities portfolios; geographic concentration of the Companys business; fluctuations in real estate values; the adequacy of loan loss reserves; the risk that goodwill and intangibles recorded in the Companys financial statements will become impaired; changes in accounting principles, policies or guidelines and other economic, competitive, governmental and technological factors affecting the Companys operations, markets, products, services and fees.

 

 

 

3

 

 

HOME FEDERAL BANCORP, INC. OF LOUISIANA

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION

(In thousands except share and per share data)

 

   

September 30, 2024

   

June 30, 2024

 
   

(Unaudited)

         

ASSETS

               
                 

Cash and Cash Equivalents (Includes Interest-Bearing Deposits with Other Banks of $32,743 and $25,505 at September 30, 2024 and June 30, 2024, Respectively)

  $ 41,044     $ 34,948  

Securities Available-for-Sale (amortized cost September 30, 2024: $31,977; June 30, 2024: $30,348, Respectively)

    29,934       27,037  

Securities Held-to-Maturity (fair value September 30, 2024: $56,584; June 30, 2024: $54,450, Respectively)

    65,800       67,302  

Other Securities

    1,633       1,614  

Loans Held-for-Sale

    2,268       1,733  

Loans Receivable, Net of Allowance for Credit Losses (September 30, 2024: $4,703; June 30, 2024: $4,574, Respectively)

    454,039       470,852  

Accrued Interest Receivable

    1,761       1,775  

Premises and Equipment, Net

    18,065       18,303  

Bank Owned Life Insurance

    6,839       6,810  

Goodwill

    2,990       2,990  

Core Deposit Intangible

    1,125       1,199  

Deferred Tax Asset

    1,210       1,181  

Real Estate Owned

    122       418  

Other Assets

    1,574       1,350  
                 

Total Assets

  $ 628,404     $ 637,512  
                 

LIABILITIES AND SHAREHOLDERS EQUITY

               
                 

LIABILITIES

               
                 

Deposits:

               

Non-interest bearing

  $ 133,293     $ 130,334  

Interest-bearing

    431,267       443,673  

Total Deposits

    564,560       574,007  

Advances from Borrowers for Taxes and Insurance

    644       521  

Other Borrowings

    5,500       7,000  

Other Accrued Expenses and Liabilities

    3,433       3,181  
                 

Total Liabilities

    574,137       584,709  
                 

SHAREHOLDERS EQUITY

               

 

               

Preferred Stock - $0.01 Par Value; 10,000,000 Shares Authorized: None Issued and Outstanding

    -       -  

Common Stock - $0.01 Par Value; 40,000,000 Shares Authorized: 3,129,668 and 3,144,168 Shares Issued and Outstanding at September 30, 2024 and June 30, 2024, Respectively

    32       32  

Additional Paid-in Capital

    41,822       41,739  

Unearned ESOP Stock

    (379 )     (408 )

Retained Earnings

    14,406       14,055  

Accumulated Other Comprehensive Loss

    (1,614 )     (2,615 )
                 

Total Shareholders Equity

    54,267       52,803  
                 

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

  $ 628,404     $ 637,512  

 

 

4

 

 

HOME FEDERAL BANCORP, INC. OF LOUISIANA

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited) (In thousands except share and per share data)

 

 

   

Three Months Ended

 
   

September 30,

 
   

2024

   

2023

 

INTEREST INCOME

               

Loans, including fees

  $ 6,895     $ 7,274  

Investment securities

    67       150  

Mortgage-backed securities

    443       473  

Other interest-earning assets

    336       177  

Total interest income

    7,741       8,074  
                 

INTEREST EXPENSE

               

Deposits

    3,197       2,592  

Federal Home Loan Bank borrowings

    -       15  

Other bank borrowings

    117       183  

Total interest expense

    3,314       2,790  

Net interest income

    4,427       5,284  
                 

RECOVERY OF CREDIT LOSSES

    (223 )     -  

Net interest income after recovery of credit losses

    4,650       5,284  
                 

NON-INTEREST INCOME

               

Gain on sale of loans

    96       38  

Loss on sale of real estate

    (254 )     (34 )

Income on bank owned life insurance

    28       26  

Service charges on deposit accounts

    391       391  

Other income

    39       13  
                 

Total non-interest income

    300       434  
                 

NON-INTEREST EXPENSE

               

Compensation and benefits

    2,302       2,356  

Occupancy and equipment

    564       549  

Data processing

    219       245  

Audit and examination fees

    132       102  

Franchise and bank shares tax

    168       156  

Advertising

    57       143  

Professional fees

    117       160  

Loan and collection

    28       60  

Amortization core deposit intangible

    74       94  

Deposit insurance premium

    90       91  

Other expenses

    260       232  

Total non-interest expense

    4,011       4,188  
                 

Income before income taxes

    939       1,530  

PROVISION FOR INCOME TAX EXPENSE

    (2 )     310  
                 

NET INCOME

  $ 941     $ 1,220  
                 

EARNINGS PER SHARE

               

Basic

  $ 0.31     $ 0.40  

Diluted

  $ 0.31     $ 0.39  

 

 

 

5

 

 

   

Three Months Ended

September 30,

 
   

2024

   

2023

 
                 

Selected Operating Ratios(1):

               

Average interest rate spread

    2.23 %     2.68 %

Net interest margin

    2.98 %     3.37 %

Return on average assets

    0.59 %     0.73 %

Return on average equity

    7.23 %     9.46 %
                 

Asset Quality Ratios(2):

               

Non-performing assets as a percent of total assets

    0.31 %     0.28 %

Allowance for credit losses as a percent of non-performing loans

    258.46 %     403.96 %

Allowance for credit losses as a percent of total loans receivable

    1.03 %     1.00 %
                 

Per Share Data:

               

Shares outstanding at period end

    3,129,668       3,133,351  

Weighted average shares outstanding:

               

Basic

    3,058,286       3,028,597  

Diluted

    3,071,716       3,107,834  

 

 (1)  

Ratios for the three-month period are annualized.

 (2)  

Asset quality ratios are end of period ratios.

 

 

 

CONTACT:

James R. Barlow

Chairman of the Board, President and Chief Executive Officer

(318) 222-1145

 

 

6
v3.24.3
Document And Entity Information
Oct. 29, 2024
Document Information [Line Items]  
Entity, Registrant Name Home Federal Bancorp, Inc. of Louisiana
Document, Type 8-K
Document, Period End Date Oct. 29, 2024
Entity, Incorporation, State or Country Code LA
Entity, File Number 001-35019
Entity, Tax Identification Number 02-0815311
Entity, Address, Address Line One 624 Market Street
Entity, Address, City or Town Shreveport
Entity, Address, State or Province LA
Entity, Address, Postal Zip Code 71101
City Area Code 318
Local Phone Number 222-1145
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Stock
Trading Symbol HFBL
Security Exchange Name NASDAQ
Entity, Emerging Growth Company false
Amendment Flag false
Entity, Central Index Key 0001500375

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