Home Bancshares (Nasdaq: HOMB) posts record earnings
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Not all banks are in trouble. While talking heads on CNBC like to focus on the dramatic headlines, scores of smaller banks are quietly posting record earnings. Nasdaq-listed Home BancShares (HOMB) is one of them.
Home BancShares, Inc., parent company of Centennial Bank, today announced second quarter earnings of $13.5 million, or $0.45 diluted earnings per common share, compared to $9.0 million, or $0.29 diluted earnings per common share for the same quarter in 2010. The Company increased its second quarter net income by $4.6 million or 51.2% for the three months ended June 30, 2011 compared to the same period of the previous year.
Because acquisitions are growth and capital management strategies, earnings excluding amortization of intangibles after-tax are useful in evaluating the Company. Diluted earnings per common share excluding intangible amortization for the second quarter of 2011 was $0.46 compared to $0.30 diluted earnings per common share excluding intangible amortization for the same period in 2010.
“The second quarter of 2011 is the most profitable quarter in the history of the Company,” said John Allison, Chairman. “In addition, we have continued to show consistency in our strong reserves as well as keeping our capital levels considerably above the regulators’ capital requirements. This leaves us well positioned to take advantage of opportunistic FDIC deals as they become available.”
“During the second quarter,” said Randy Sims, Chief Executive Officer, “not only did we see our net interest margin improve 39 basis points over the second quarter of 2010 but also reported considerable improvements in the non-performing non-covered loans and non-performing non-covered assets when compared to those during 2010. Our continued success in the second quarter of 2011 is an exciting time for our Company.”
DISCLOSURE: no position