HBNC

Interested in Horizon Bancorp (IN)? Here are five stocks we like better. Horizon Bancorp posted solid second-quarter results with a net interest margin of 4.37%, stronger fee income, and stable credit quality. Management said the quarter was hurt by a one-time $3.1 million legal expense accrual, but results were otherwise in line with full-year expectations. Commercial lending remained the main growth engine, with loans held for investment up about $81 million and commercial balances rising $64 million. Growth was led by C&I lending across several markets, while commercial real estate was roughly flat due to elevated payoffs rather than weak demand. Management raised its 2026 outlook modestly, expecting mid-single-digit loan and deposit growth, full-year fee income in the mid-$40 million range, and second-half net interest margin of 4.30% to 4.35%. The company also said capital remains strong, with CET1 at 11.09%, and it will keep evaluating buybacks and acquisitions. Horizon Bancorp (IN) (NASDAQ:HBNC) management said the bank’s second-quarter 2026 results reflected continued strength in net interest margin, fee income, commercial lending and credit quality, while also noting a one-time legal expense accrual tied to an unfavorable litigation decision. President and Chief Executive Officer Thomas Prame said the quarter “continued to show impressive results,” citing a net interest margin in the mid-4.30% range, strong fee income performance and favorable credit trends. He said the company ended the quarter with a common equity Tier 1 capital ratio of 11.09% and total risk-based capital of 15.01%. → 3 Photonics Companies Making Quantum Tech Possible Prame said Horizon’s first-half performance reflected a “practical approach” to growth, with deposits up approximately 5% annualized year to date and lending growth of approximately 4% annualized. Commercial loans grew at a 5.7% annualized pace in the second quarter. The company established a $3.1 million accrual for legal expenses related to an unfavorable litigation decision during the quarter. Prame said the accrual is expected to remain in place until Horizon finalizes its appeal process in later quarters. Excluding the one-time item, which management said represented approximately $0.05 per share in the quarter, Prame said results were positive and aligned with full-year expectations. → Could Truth API Become Trump Media’s First Meaningful Revenue Driver? Executive Vice President and Chief Commercial Banking Officer Lynn Kerber said the second quarter was “another solid quarter from a lending perspective,” with loan growth improving from the first quarter. Loans held for investment ended the quarter at just under $5 billion, up approximately $81 million, or 6.6% annualized. Commercial balances increased approximately $64 million during the quarter, while residential and consumer portfolios contributed modest growth. Kerber said mortgage pipelines improved entering the third quarter, supported by production trends and strategic hiring. → AeroVironment’s Stock Is Down, But Drone Demand Is Taking Off Within commercial lending, Kerber said most of the growth came from commercial and industrial loans, which increased approximately $62 million and represented 31% of the commercial portfolio. Growth was broad-based across the franchise, with contributions from Michigan, Indianapolis and Northwest Indiana. Commercial real estate balances were relatively flat, which Kerber attributed primarily to elevated payoff activity rather than weaker production. She said most payoffs resulted from customers completing business plans through property sales or reaching the natural conclusion of financing needs. During the question-and-answer session, Kerber added that some deals were allowed to leave over pricing or structure because Horizon chose not to compromise on profitability or portfolio mix. Kerber said C&I growth was led by the community banking franchise and supported by the equipment finance team. Key segments included professional services, construction services, property management, warehouse and logistics, and utility-related businesses. Horizon reported net charge-offs of approximately $605,000, or five basis points annualized. Kerber described that level as “exceptionally low” relative to historical levels and peer performance. Early-stage delinquencies remained low, borrower performance was stable, and substandard loans totaled $64.6 million, or 1.3% of loans. Non-performing loans declined to $34.9 million, or 0.70% of loans. The allowance for credit losses was $51.9 million, or 1.05% of loans held for investment. In response to an analyst question about changes in the mix of non-performing loans, Kerber said mortgage and consumer balances improved as some clients were upgraded. On the commercial side, she said there was nothing concerning, noting that commercial real estate was performing well and that some larger credits were still moving through rehabilitation or collection processes. Prame said Horizon’s deposit portfolio delivered favorable first-half performance, with growth in non-interest-bearing and interest-bearing categories and relatively flat certificate of deposit balances year to date. Deposits were up $125 million year to date, representing a 4.8% annualized growth rate. He said the company expected to use liquidity gathered in the first quarter to fund loan growth in the second quarter. That approach helped Horizon maintain what Prame described as its historically low cost of interest-bearing deposits, which increased only four basis points during the quarter. During the Q&A session, Prame said competition varies across markets and products. He described large commercial real estate lending as highly competitive in both pricing and structure, while also noting elevated CD rates in some credit union markets. However, he said Horizon’s model is based on relationship banking rather than leading with rate. Chief Financial Officer John Stewart said the net interest margin expanded eight basis points in the second quarter to 4.37%. He attributed the improvement partly to lower average interest-earning cash balances, which declined by about $59 million, as well as a favorable spread between loan yields and deposit costs. Loan yields increased nine basis points from the prior quarter, while total deposit costs, including non-interest-bearing balances, rose three basis points. Stewart said the weighted average new production rate on total loans was about 6.75% in the second quarter and had continued at that level into July. Stewart said Horizon expects interest-bearing deposit costs to trend modestly higher assuming no additional rate cuts. However, he said marginal loan and deposit growth should generally support the company’s net interest margin and net interest income outlook. Non-interest income increased 10% year over year, led by fiduciary activities and mortgage banking, which each grew about 20%. Stewart said both business lines benefited from new leadership, talent investments and improved sales management practices. Interchange fees also grew as card usage and spending increased. Expenses totaled $43.8 million, including the $3.1 million legal charge. Excluding that item, Stewart said expenses were modestly better than expectations and largely unchanged from the prior quarter. Stewart said Horizon’s 2026 outlook is “modestly more favorable.” The company still expects period-end loan and deposit balances to grow in the mid-single digits, with balance sheet growth driven by deposit growth. Non-FTE net interest income is expected to grow in the low teens year over year. Fully taxable equivalent net interest margin is expected to be in the 4.30% to 4.35% range over the second half of 2026. Fee income is expected to be in the mid-$40 million range for the year. Excluding the legal charge, full-year expenses are expected to be in the low to mid-$160 million range. The effective tax rate is expected to be 18% to 20%. The outlook now assumes one 25-basis-point Federal Reserve rate hike in October, compared with no rate changes in the company’s April update. Stewart said the change did not affect Horizon’s outlook because management views the company’s interest rate exposure as close to neutral. Management also discussed capital deployment during the call. Prame said Horizon does not have a published target capital level and does not consider the company overcapitalized with CET1 just above 11%. He said acquisitions would be considered only as an “accelerant” to Horizon’s strategy, with a focus on logical market extensions, cultural fit and attractive core deposits. Stewart said the company has 1.5 million shares remaining under a prior buyback authorization and will continue evaluating repurchases alongside other capital deployment options. Horizon Bancorp (NASDAQ: HBNC) is a financial holding company headquartered in Columbus, Indiana, offering community banking and wealth management services through its subsidiary, Horizon Bank. As a locally focused institution, it provides a full range of retail and commercial banking products, including checking and savings accounts, consumer and mortgage lending, commercial real estate financing, and treasury management solutions. In addition to traditional deposit and loan products, Horizon Bancorp's services encompass investment advisory and trust administration, retirement planning, and insurance products. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Horizon Bancorp (IN) Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

This article first appeared on GuruFocus. Release Date: July 23, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Horizon Bancorp (IN) (NASDAQ:HBNC) reported a strong net interest margin in the mid-430 range, indicating efficient management of interest income and expenses. The company achieved a year-to-date deposit growth of approximately 5% annualized, showcasing effective deposit-gathering strategies. Commercial loan performance was robust, with a 5.7% annualized growth in the second quarter, driven by strong contributions from Michigan, Indianapolis, and Northwest Indiana markets. Credit quality remains a significant strength, with net charge-offs at just 5 basis points annualized, reflecting stable borrower performance. Non-interest income grew by 10% compared to the previous year, led by fiduciary activities and mortgage, each growing by about 20% year-on-year. The company established an accrual for legal expenses related to an unfavorable litigation decision, impacting earnings by approximately $0.05 per share in the quarter. Commercial real estate balances remained relatively flat due to elevated payoff activity, which could indicate challenges in retaining commercial real estate clients. Interest-bearing deposit costs are expected to trend modestly higher, which could pressure net interest margins if not managed effectively. The company anticipates maintaining higher cash balances, which could be marginally dilutive to the net interest margin percentage. There were some deals lost due to aggressive pricing and structure from competitors, indicating a highly competitive market environment. Warning! GuruFocus has detected 5 Warning Signs with TMO. Is HBNC fairly valued? Test your thesis with our free DCF calculator. Q: Can you clarify the dynamics affecting the net interest margin, particularly regarding asset yields and funding costs? A: John Stewart, CFO: The trends on the asset side are favorable, with positive dynamics in loans and the bond portfolio. While there will be a modest increase in interest-bearing deposit costs, the net effect is likely neutral or slightly favorable. The margin percentage is influenced by cash levels, which were higher at the end of the quarter, affecting the percentage but not the net interest income in dollars. Q: What areas of the portfolio and geographic footprint are supporting the optimistic loan growth outlook? A: Lynn Kerber, Chief Commercial Banking Officer: We are focused on community banking, with a consistent portfolio mix. We are expanding into C&I lending while managing the real estate mix. The strategy remains consistent with day-to-day operations, and the team is performing well. Q: Can you elaborate on the strategy behind maintaining higher cash balances? A: John Stewart, CFO: The higher cash balances are not part of an intentional strategy but rather a result of the timing of deposit balance fluctuations. Cash levels are expected to normalize in the second half of the year, similar to Q1 levels. Q: How is Horizon achieving premium pricing on new loans compared to regional peers? A: Lynn Kerber, Chief Commercial Banking Officer: Pricing has been dynamic, and we have managed spreads intentionally, negotiating with clients and gathering deposits. The competitive environment varies by market and product, and we focus on aligning market and credit-wise strategies. Q: What is Horizon's approach to capital deployment, including potential M&A and buybacks? A: Thomas Pram, CEO: We have no specific capital level target but are not over-capitalized. M&A is seen as an accelerator to our organic growth strategy, and we remain disciplined in evaluating opportunities. John Stewart, CFO, added that with a strong capital position, buybacks are considered alongside other capital deployment options. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Horizon Bancorp (HBNC) came out with quarterly earnings of $0.49 per share, missing the Zacks Consensus Estimate of $0.51 per share. This compares to earnings of $0.47 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -3.92%. A quarter ago, it was expected that this bank holding company would post earnings of $0.48 per share when it actually produced earnings of $0.51, delivering a surprise of +6.25%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Horizon Bancorp, which belongs to the Zacks Banks - Northeast industry, posted revenues of $75.5 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 0.26%. This compares to year-ago revenues of $66.27 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Horizon Bancorp shares have added about 20.3% since the beginning of the year versus the S&P 500's gain of 9.7%. While Horizon Bancorp has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Horizon Bancorp was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.54 on $77.6 million in revenues for the coming quarter and $2.09 on $305.3 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks - Northeast is currently in the top 36% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Business First (BFST), has yet to report results for the quarter ended June 2026. The results are expected to be released on July 23. This company is expected to post quarterly earnings of $0.71 per share in its upcoming report, which represents a year-over-year change of +7.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Business First's revenues are expected to be $91.38 million, up 12.2% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Horizon Bancorp (IN) (HBNC) : Free Stock Analysis Report Business First Bancshares, Inc. (BFST) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

MICHIGAN CITY, Ind., July 22, 2026 (GLOBE NEWSWIRE) -- (NASDAQ GS: HBNC) – Horizon Bancorp, Inc. (“Horizon” or the “Company”), the parent company of Horizon Bank (the “Bank”), announced its unaudited financial results for the three months ended June 30, 2026. "Horizon’s results through the first six months of 2026 demonstrated the consistency of our profitability profile and the strength of Horizon’s high quality community banking model. Annualized returns on average assets have maintained around the 1.60% mark, and the net interest margin has been above 4.30%. Despite a notable shift in the interest rate outlook, we believe Horizon’s peer leading profitability metrics will have resiliency going forward," President and CEO, Thomas Prame stated. "We are encouraged by the positive momentum and predictability we see in our business model. Over the first half of 2026, loans and deposits have grown $83 million and $125 million, respectively, which aligns well with our mid-single digit organic growth outlook that is complimented by continued advancement in our fee income verticals and disciplined approach to expense management. We expect this low-volatility, profitability first growth model to drive significant value for our shareholders over time as the business compounds capital at peer-leading levels." Net income for the three months ended June 30, 2026 was $24.9 million, or $0.49 per diluted share, compared to net income of $26.2 million, or $0.51, for the first quarter of 2026 and net income of $20.6 million, or $0.47 per diluted share, for the second quarter of 2025. As previously announced, results for the second quarter of 2026 were negatively impacted by the pre-tax legal charge of $3.1 million, or $0.05 per diluted share. Net income for the six months ended June 30, 2026 was $51.1 million, or $0.99 per diluted share, compared to net income of $44.6 million, or $1.01, for the six months ended June 30, 2025. Second Quarter 2026 Highlights Durability of top-tier performance metrics are reflective of the strong performance of Horizon’s community banking model. The Company generated a return on average assets of 1.54% and a return on average tangible common equity of 18.05%, despite the legal charge. Net interest income of $63.5 million increased 14.7% compared with $55.4 million in the year ago period. The net interest margin, on a fully taxable equivalent ("FTE") basis1, at 4.37% showed strong quarter over quarter expansion from 4.29% as of the three months ended March 31, 2026, and was significantly higher than the 3.23% reported in the comparable year ago period. Funding continues to trend favorably, with non-time deposit balances continuing to grow and total interest-bearing deposit costs remaining low, still down 33 basis points year over year. Total loans held for investment ("HFI") increased 6.6% compared to the linked quarter annualized, with strong organic commercial loan growth of $63.5 million, or 7.4% annualized, led by commercial and industrial loans. Loan pipelines continue to be consistent, reflective of Horizon’s attractive markets and embedded community banking model. Credit quality remained strong, with annualized net charge offs of 0.05% of average loans during the second quarter. Non-performing assets remain well within expected and historical ranges, with non-performing assets to total assets of 0.66%. Expenses for the second quarter were well managed at $43.8 million, including the $3.1 million legal charge, as the Company remains committed to generating positive operating leverage through a more efficient expense base. ___________________1 Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure. Income Statement Highlights Net Interest Income Net interest income was $63.5 million in the second quarter of 2026, compared to $62.2 million in the first quarter of 2026, driven by the continued strength of the Company's net FTE interest margin1, which increased to 4.37% for the second quarter of 2026, compared to 4.29% the first quarter of 2026. The margin's resilience is reflective of continued disciplined loan and deposit pricing, a favorable cash reinvestment profile and strong commercial loan growth during the quarter. ___________________1 Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure. Provision for Credit Losses During the second quarter of 2026, the Company recorded a provision for credit losses of $0.9 million. This compares to a recorded provision for credit losses of $0.4 million during the first quarter of 2026, and $2.5 million during the second quarter of 2025. The increase in the provision for credit losses during the second quarter of 2026 when compared with the first quarter of 2026 was primarily due to net loan growth and an increase in specific reserves on select commercial loans. For the second quarter of 2026, net charge-offs were $0.6 million, or an annualized 0.05% of average loans outstanding, compared to net charge-offs of $0.6 million, or an annualized 0.05% of average loans outstanding for the first quarter of 2026, and net charge-offs of $0.3 million, or an annualized 0.02% of average loans outstanding, in the second quarter of 2025. The Company’s allowance for credit losses as a percentage of period-end loans HFI was 1.05% at June 30, 2026, consistent with March 31, 2026, and down from 1.09% at June 30, 2025. Non-Interest Income Total non-interest income was $12.0 million in the second quarter of 2026, compared to non-interest income of $11.2 million in the first quarter of 2026. The increase in non-interest income of $0.8 million is primarily attributable to an increase in gains on the sale of mortgage loans, due to increased volumes and wider margins on loan sales, and higher activity-based interchange fees. All other components of non-interest income remained relatively stable quarter over quarter. Non-Interest Expense Total non-interest expense was $43.8 million in the second quarter of 2026, compared to $40.7 million in the first quarter of 2026. The increase was driven by the previously announced legal charge for $3.1 million in other expense. The accrual will remain in place until the Company has finalized the appeal process. Apart from this item, increases in salary expense and planned marketing spend were offset by lower benefits expense, seasonal declines in occupancy costs and lower professional fees. All other components of non-interest expense remained relatively stable quarter over quarter. Income Taxes Horizon recorded a net tax expense of $5.8 million for the second quarter of 2026, resulting in an effective tax rate of 19.0%, which is consistent with the Company's estimated annual effective tax rate. Balance Sheet Highlights Total assets increased by $9.9 million, or 0.2%, to $6.6 billion as of June 30, 2026, compared to $6.6 billion as of March 31, 2026. Asset growth during the period was primarily driven by an increase in loans HFI and an increase in investment securities of $15.5 million, partially offset by a decrease in interest earning deposits of $45.1 million, a decrease in FHLB stock of $38.3 million and a decrease in loans held for sale of $4.7 million. Total loans were $5.0 billion at June 30, 2026, an increase of $75.9 million from March 31, 2026 balances, primarily driven by organic commercial loan growth. Total deposits decreased by $22.1 million, or 0.4%, to $5.4 billion as of June 30, 2026 compared to March 31, 2026. The decrease was driven by a $59.5 million decrease in time deposits and a $39.1 million decrease in non-interest-bearing demand deposits. The decrease was partially offset by an increase of $52.6 million in interest-bearing deposits and a $23.9 million increase in savings and money market balances, reflecting continued success in core deposit gathering efforts. Overall, balance sheet growth during the quarter reflected a combination of steady asset growth, proactive liquidity management, and ongoing efforts to optimize the deposit base. Management continues to focus on maintaining a strong funding position while supporting measured, relationship-driven loan growth aligned with long-term strategic objectives. Capital The following table presents the Consolidated Regulatory Capital Ratios of the Company for the previous three quarters, and the Company’s preliminary estimate of its consolidated regulatory capital ratios for the quarter ended June 30, 2026: As of June 30, 2026, the ratio of total stockholders’ equity to total assets is 11.05%. Book value per common share was $14.21, increasing $0.52 during the second quarter of 2026, as growth in retained earnings was partially offset by modestly higher levels of other comprehensive losses. Tangible common equity1 totaled $565.1 million at June 30, 2026, and the ratio of tangible common equity to tangible assets1 was 8.81% at June 30, 2026, up from 8.39% at March 31, 2026. Tangible book value, which excludes intangible assets from total equity, per common share was $11.06, increasing $0.54 during the second quarter of 2026. ___________________1 Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure. Credit Quality As of June 30, 2026, total non-accrual loans decreased by $2.5 million from March 31, 2026, and represent 0.65% of total loans held for investment. Total non-performing assets decreased $0.3 million, to $43.7 million, compared with $44.0 million at March 31, 2026. Non-performing assets are 0.66% of total assets at quarter end, down slightly from 0.67% at March 31, 2026. For the quarter ended June 30, 2026, net charge-offs were $0.6 million, or 0.05% annualized of average loans, consistent with $0.6 million as of March 31, 2026. Charge‑off levels during the quarter remained low and consistent with management’s expectations, reflecting a continued focus on disciplined underwriting and proactive portfolio monitoring. Overall, credit metrics remain stable, and management continues to closely monitor portfolio performance in the current economic environment. Earnings Conference Call As previously announced, Horizon will host a conference call to review its second quarter financial results and operating performance. Participants may access the live conference call on July 23, 2026 at 7:30 a.m. CT (8:30 a.m. ET) by dialing 1-833-974-2379 from the United States and Canada or 1-412-317-5772 from international locations and requesting the “Horizon Bancorp, Inc. Call.” Participants are asked to dial in approximately 10 minutes prior to the call. A telephone replay of the call will be available approximately one hour after the end of the conference through August 23, 2026. The replay may be accessed by dialing 1-855-669-9658 from the United States and Canada, or 1–412–317-0088 from other international locations, and entering the access code 6151989. About Horizon Bancorp, Inc. Horizon Bancorp, Inc. (NASDAQ GS: HBNC) is the $6.6 billion-asset commercial bank holding company for Horizon Bank, which serves customers across diverse and economically attractive Midwestern markets through convenient digital and virtual tools, as well as its Indiana and Michigan branches. Horizon's retail offerings include prime residential and other secured consumer lending to in-market customers, as well as a range of personal banking and wealth management solutions. Horizon also provides a comprehensive array of in-market business banking and treasury management services, as well as equipment financing solutions for customers regionally and nationally, with commercial lending representing over half of total loans. More information on Horizon, headquartered in Northwest Indiana's Michigan City, is available at horizonbank.com and investor.horizonbank.com. Use of Non-GAAP Financial Measures Certain information set forth in this press release refers to financial measures determined by methods other than in accordance with GAAP. Specifically, we have included non-GAAP financial measures relating to net income, diluted earnings per share, pre-tax, pre-provision net income, net interest margin, tangible stockholders’ equity and tangible book value per share, efficiency ratio, the return on average assets, the return on average common equity, and return on average tangible equity. In each case, we have identified special circumstances that we consider to be non-recurring and have excluded them. Horizon believes these non-GAAP financial measures are helpful to investors and provide a greater understanding of our business and financial results without giving effect to one-time costs and non–recurring items. These measures are not necessarily comparable to similar measures that may be presented by other companies and should not be considered in isolation or as a substitute for the related GAAP measure. See the tables and other information below and contained elsewhere in this press release for reconciliations of the non-GAAP information identified herein and its most comparable GAAP measures. Forward Looking Statements This press release may contain forward–looking statements regarding the financial performance, business prospects, growth and operating strategies of Horizon Bancorp, Inc. and its affiliates (collectively, “Horizon”). For these statements, Horizon claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Statements in this press release should be considered in conjunction with the other information available about Horizon, including the information in the filings we make with the Securities and Exchange Commission (the “SEC”). Forward-looking statements provide current expectations or forecasts of future events and are not guarantees of future performance. The forward-looking statements are based on management’s expectations and are subject to a number of risks and uncertainties. We have tried, wherever possible, to identify such statements by using words such as “anticipate,” “estimate,” “project,” “intend,” “plan,” “believe,” “will” and similar expressions in connection with any discussion of future operating or financial performance. Although management believes that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements. Risks and uncertainties that could cause actual results to differ materially include: changes in U.S. trade policies, including the imposition of tariffs and retaliatory tariffs, changes within the domestic and international macroeconomic environment, including trade policy, monetary and fiscal policy, inflation levels, and conditions in the investment, credit, interest rate, and derivatives markets, and their impact on Horizon and its customers; current financial conditions within the banking industry; changes in the level and volatility of interest rates, changes in spreads on earning assets and changes in interest bearing liabilities; increased interest rate sensitivity; loss of key Horizon personnel; increases in disintermediation; potential loss of fee income, including interchange fees, as new and emerging alternative payment platforms take a greater market share of the payment systems; estimates of fair value of certain of Horizon’s assets and liabilities; changes in prepayment speeds, loan originations, credit losses, market values, collateral securing loans and other assets; changes in sources of liquidity; legislative and regulatory actions and reforms; changes in accounting policies or procedures as may be adopted and required by regulatory agencies; litigation, regulatory enforcement, and legal compliance risk and costs; rapid technological developments and changes; cyber terrorism and data security breaches; the rising costs of cybersecurity; the ability of the U.S. federal government to manage federal debt limits; climate change and social justice initiatives; the inability to realize cost savings or revenues or to effectively implement integration plans and other consequences associated with mergers, acquisitions, and divestitures; acts of terrorism, war and global conflicts, and the effects of foreign and military policies of the U.S. government; and supply chain disruptions and delays. These and additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in Horizon’s reports (such as the Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K) filed with the SEC and available at the SEC’s website (www.sec.gov). Undue reliance should not be placed on the forward–looking statements, which speak only as of the date hereof. Horizon does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions that may be made to update any forward-looking statement to reflect the events or circumstances after the date on which the forward–looking statement is made, or reflect the occurrence of unanticipated events, except to the extent required by law.

Business First (BFST) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price. The earnings report, which is expected to be released on July 23, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This company is expected to post quarterly earnings of $0.71 per share in its upcoming report, which represents a year-over-year change of +7.6%. Revenues are expected to be $91.38 million, up 12.2% from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction). The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Business First, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +2.82%. On the other hand, the stock currently carries a Zacks Rank of #2. So, this combination indicates that Business First will most likely beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Business First would post earnings of $0.69 per share when it actually produced earnings of $0.73, delivering a surprise of +5.80%. Over the last four quarters, the company has beaten consensus EPS estimates four times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Business First appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Among the stocks in the Zacks Banks - Northeast industry, Horizon Bancorp (HBNC), is soon expected to post earnings of $0.51 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of +8.5%. This quarter's revenue is expected to be $75.7 million, up 14.2% from the year-ago quarter. Over the last 30 days, the consensus EPS estimate for Horizon Bancorp has remained unchanged. Nevertheless, the company now has an Earnings ESP of 0.00%, reflecting an equal Most Accurate Estimate. This Earnings ESP, combined with its Zacks Rank #3 (Hold), makes it difficult to conclusively predict that Horizon Bancorp will beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Business First Bancshares, Inc. (BFST) : Free Stock Analysis Report Horizon Bancorp (IN) (HBNC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Horizon Bancorp (HBNC) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on July 22. On the other hand, if they miss, the stock may move lower. While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise. This bank holding company is expected to post quarterly earnings of $0.51 per share in its upcoming report, which represents a year-over-year change of +8.5%. Revenues are expected to be $75.7 million, up 14.2% from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction). The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Horizon Bancorp, the Most Accurate Estimate is the same as the Zacks Consensus Estimate, suggesting that there are no recent analyst views which differ from what have been considered to derive the consensus estimate. This has resulted in an Earnings ESP of 0%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination makes it difficult to conclusively predict that Horizon Bancorp will beat the consensus EPS estimate. While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Horizon Bancorp would post earnings of $0.48 per share when it actually produced earnings of $0.51, delivering a surprise of +6.25%. Over the last four quarters, the company has beaten consensus EPS estimates three times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Horizon Bancorp doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Atlantic Union (AUB), another stock in the Zacks Banks - Northeast industry, is expected to report earnings per share of $0.92 for the quarter ended June 2026. This estimate points to a year-over-year change of -3.2%. Revenues for the quarter are expected to be $394.98 million, down 3% from the year-ago quarter. Over the last 30 days, the consensus EPS estimate for Atlantic Union has remained unchanged. Nevertheless, the company now has an Earnings ESP of -0.81%, reflecting a lower Most Accurate Estimate. This Earnings ESP, combined with its Zacks Rank #3 (Hold), makes it difficult to conclusively predict that Atlantic Union will beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Horizon Bancorp (IN) (HBNC) : Free Stock Analysis Report Atlantic Union Bankshares Corporation (AUB) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Executives pointed to strong profitability and capital generation, reporting annualized return on average assets >1.60%, return on average tangible common equity >19%, a net interest margin of 4.29%, and a 40‑bp rise in CET1 to 10.82%. Loan growth was commercial‑led — total loans were $4.87 billion with a $34.2 million increase in commercial loans while residential/consumer balances fell ~$32 million due to disciplined pricing — and deposits grew about $147 million (11% annualized), including $61 million in non‑interest‑bearing balances. Management kept 2026 guidance unchanged despite a revised interest‑rate outlook: Q1 NIM held at 4.29% and full‑year targets remain mid‑single‑digit loan/deposit growth, low‑teens NII growth and a full‑year NIM of 4.25%–4.35%, while credit metrics stayed stable (NPLs 0.76%, allowance 1.05%). Interested in Horizon Bancorp (IN)? Here are five stocks we like better. Horizon Bancorp (IN) (NASDAQ:HBNC) executives emphasized strong profitability, deposit growth, and steady credit performance as the company reviewed final first-quarter 2026 results, while maintaining its full-year guidance despite a changed interest-rate outlook. CEO and President Thomas M. Prame said the quarter reflected the “core strength” of Horizon’s community banking model and its focus on “durable peer-leading performance metrics.” Prame highlighted an annualized return on average assets “above 1.60%,” return on average tangible common equity “above 19%,” and a net interest margin of 4.29%. → Credo Stock Flashes Strong Bullish Signal—Upswing Just Starting Prame also pointed to capital improvement during the quarter, saying the results drove a “meaningful increase” in the company’s common equity tier 1 (CET1) ratio by 40 basis points to 10.82%, and improved total risk-based capital to 14.77%. Lynn Kerber, Executive Vice President and Chief Commercial Banking Officer, said the quarter reflected “steady, disciplined commercial growth” in a competitive environment, with the company prioritizing “high-quality commercial lending” and “continued pricing discipline.” → Allbirds Exits Shoes, Pivots to AI With NewBird Rebrand Total loans held for investment ended the quarter at $4.87 billion, driven by a $34.2 million increase in commercial loans, Kerber said. Prame and Kerber both noted that residential and consumer loans declined by about $32 million in the quarter as management chose not to pursue lower-yielding mortgages amid early-quarter refinance activity. Prame said Horizon remained “steadfast on its disciplined pricing,” adding that management felt confident in the decision and had seen balances “quickly align with full-year growth estimates in early Q2.” Commercial growth was concentrated in Grand Rapids, Indianapolis, and Northwest Indiana, Kerber said. She added that the company is continuing to diversify its portfolio mix, noting that 37% of the net quarterly increase came from commercial and industrial (C&I) loans versus C&I representing 30% of the overall commercial portfolio. → Amazon Stock Up 30%: Is AMZN Still a Buy Before Earnings? In the Q&A session, Kerber said payoff activity was “very consistent with our long-term averages,” attributing the slower pace of growth more to seasonality and selectivity in lending. She also discussed repricing opportunities in the commercial book, stating Horizon had about $380 million in commercial maturities in 2026 (about 12% of the portfolio) with a weighted average rate of “about 6%,” and about $318 million in 2027 (about 10%) with a weighted average rate “just under 6%.” With origination rates “on average in 7+,” she cited a “100–150 basis point pickup opportunity” based on current rates. On residential and consumer appetite, Prame said Horizon still views both as “core” to its model, but described the period as “episodic pricing” tied to market rates that led competitors to offer “sub-6% on some longer duration fixed assets” that Horizon elected not to match. He said management did not expect “hockey stick growth” in mortgage and consumer this year, projecting results to be “relatively flat, maybe mildly up, mildly down.” Prame said deposits grew approximately $147 million, or 11% annualized, describing performance as positive across growth, mix, and cost. A key feature of the quarter was $61 million in non-interest-bearing deposit growth, which he said reflected efforts to expand “sticky primary banking relationships” across Indiana and Michigan. Despite strong growth, Prame said Horizon reduced overall interest-bearing deposit costs by seven basis points during the quarter through portfolio reviews and “an agile approach to local market pricing.” In response to an analyst question on the higher cash position created by deposit growth, CFO John R. Stewart said the elevated cash balance had a “modest impact” on net interest margin but did not impact net interest income. Looking to the second quarter, Stewart said the company expected to be a “modest net user of cash,” with loan growth possibly exceeding deposit growth, and said that maintaining cash at “between 2% and 3%” of earning assets would be within expectations. Stewart said Horizon’s first-quarter net interest margin was unchanged from the prior quarter at 4.29%, consistent with the company’s original outlook. He described management’s objective as building a balance sheet “largely inoculated from changes in rates.” Stewart added that Horizon’s net interest margin and net interest income outlook was unchanged “despite going from the assumption of two rate cuts previously to none today.” Stewart noted that average interest-earning cash balances exceeded internal projections by about $60 million because deposit growth was stronger than expected, which reduced the margin percentage by about four basis points. He said new loan production in the quarter exceeded 6.6%, compared with average loan yields of 6.28%, and roll-off yields “just below 6%.” For the investment portfolio, Stewart said the company anticipated $75 million to $100 million of principal cash flows over the balance of the year at about 4.7%, with reinvestment rates in the first quarter approximating 4.8%. On non-interest income, Stewart said the company “got off to a nice start” in the first quarter. Excluding a $7 million warehouse gain and modest securities losses in the first quarter of the prior year, he said fees were up about 13% year-over-year, driven by “strong” gains in service charges and fiduciary activities. While mortgage gain-on-sale was flat year-over-year, Stewart said the team was “off to a nice start” in the second quarter and he still expected “solid progress” in the business for the full year. Expenses were $40.7 million, Stewart said, in line with expectations despite seasonal pressure in benefits and occupancy, which were partly offset by lower outside business services spend and timing of marketing. He said Horizon expected a “modest increase” in quarterly expenses in Q2 from annual merit increases and planned marketing, but maintained its full-year expense outlook in the “mid $160 million range.” Kerber said credit performance remained “satisfactory and within historical ranges.” Substandard loans were $63.4 million, or 1.3% of total loans, and non-performing loans were $37 million, or 0.76% of total loans. She said non-performing loans have increased “modestly” over recent quarters but remain manageable, and she expected improvement later in 2026 as certain credits return to performing status, pay off, or complete collections efforts. Kerber said those loans are “well secured and/or appropriately reserved,” and she did not expect an impact on losses. Net charge-offs were $626,000, or five basis points annualized, and the allowance for credit losses was $51.3 million, or 1.05% of loans held for investment. Kerber said the $391,000 provision reflected replenishment of charge-offs and a reduction in reserve for unfunded commitments. Asked about the company’s equipment finance division, Kerber said Horizon is in year two of its plan and performance has been “a little bit between our year two and year three of the plan,” adding that the team has been built out and the effort is “going as expected.” Looking ahead, Stewart said Horizon’s 2026 guidance remains unchanged, including expectations for mid-single-digit period-end loan and deposit growth, low-teens net interest income growth, and a full-year FTE net interest margin range of 4.25% to 4.35%. Prame said management’s focus remains on “sustainable long-term value” through disciplined execution, and reiterated that capital generation provides “optionality” for shareholder value, including potential reinvestment in growth, share repurchases, or other actions, while emphasizing the company does not have a specific M&A plan in place. Horizon Bancorp (NASDAQ: HBNC) is a financial holding company headquartered in Columbus, Indiana, offering community banking and wealth management services through its subsidiary, Horizon Bank. As a locally focused institution, it provides a full range of retail and commercial banking products, including checking and savings accounts, consumer and mortgage lending, commercial real estate financing, and treasury management solutions. In addition to traditional deposit and loan products, Horizon Bancorp's services encompass investment advisory and trust administration, retirement planning, and insurance products. The article "Horizon Bancorp (IN) Q1 Earnings Call Highlights" was originally published by MarketBeat.