Item 5. Market for Registrant’s Common Equity
Item 5. MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES
Our common stock is listed on the New York Stock Exchange under the symbol “HOMB.” As of February 21, 2023, there were approximately 1,776 stockholders of record of the Company’s common stock.
Our policy is to declare regular quarterly dividends based upon our earnings, financial position, capital improvements and such other factors deemed relevant by the Board of Directors. The dividend policy is subject to change, however, and the payment of dividends is not necessarily dependent upon the availability of earnings and future financial condition. Information regarding regulatory restrictions on our ability to pay dividends is discussed in “Supervision and Regulation – Payment of Dividends.”
During the three months ended December 31, 2022, the Company utilized a portion of its stock repurchase program most recently amended and approved by the Board of Directors on January 22, 2021. The following table sets forth information with respect to purchases made by or on behalf of the Company of shares of the Company’s common stock during the periods indicated:
Issuer Purchases of Equity Securities
Period Number of
Shares
Purchased
Average Price
Paid Per Share
Purchased Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs Maximum Number of Shares That May Yet Be Purchased Under the Plans or Programs (1)
October 1 through October 31, 2022 190,000 $ 24.23 190,000 19,642,134
November 1 through November 30, 2022 150,000 25.01 150,000 19,492,134
December 1 through December 31, 2022 500,000 23.21 500,000 18,992,134
Total 840,000 840,000
(1) The above described stock repurchase program has no expiration date .
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Performance Graph
Below is a graph which summarizes the cumulative return earned by the Company’s stockholders since December 31, 2017, compared with the cumulative total return on the Russell 2000 Index and S&P U.S. BMI Banks Index. This presentation assumes that the fair value of the investment in the Company's common stock and each index was $100.00 on December 31, 2017 and that the subsequent dividends were reinvested.
Period Ending
Index 12/31/17 12/31/18 12/31/19 12/31/20 12/31/21 12/31/22
Home BancShares, Inc. 100.00 71.75 88.76 90.80 116.12 111.78
Russell 2000 Index 100.00 88.99 111.70 134.00 153.85 122.41
S&P U.S. BMI Banks Index 100.00 83.54 114.74 100.10 136.10 112.89
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Item 6. SELECTED FINANCIAL DATA.
Summary Consolidated Financial Data
As of or for the Years Ended December 31,
2022 2021 2020
(Dollars and shares in thousands, except per share data)
Income statement data:
Total interest income $ 877,766 $ 625,171 $ 675,962
Total interest expense 119,090 52,200 93,407
Net interest income 758,676 572,971 582,555
Provision for credit losses 63,585 (4,752) 129,253
Net interest income after provision for credit losses 695,091 577,723 453,302
Non-interest income 175,111 137,569 111,786
Non-interest expense 475,627 298,517 287,385
Income before income taxes 394,575 416,775 277,703
Income tax expense 89,313 97,754 63,255
Net income $ 305,262 $ 319,021 $ 214,448
Per share data:
Basic earnings per common share $ 1.57 $ 1.94 $ 1.30
Diluted earnings per common share 1.57 1.94 1.30
Book value per common share 17.33 16.90 15.78
Tangible book value per common share (non-GAAP) (1)(2)
10.17 10.80 9.70
Dividends – common 0.66 0.56 0.53
Average common shares outstanding 194,694 164,501 165,373
Average diluted shares outstanding 195,019 164,858 165,373
Performance ratios:
Return on average assets 1.35 % 1.83 % 1.33 %
Return on average assets excluding intangible Amortization (non-GAAP) (3)
1.47 1.96 1.45
Return on average common equity 9.17 11.89 8.57
Return on average tangible common equity excluding intangible amortization
(non-GAAP) (1)(4)
15.63 19.20 14.59
Net interest margin (5)
3.81 3.66 4.06
Efficiency ratio 49.53 40.81 40.20
Efficiency ratio, as adjusted (non-GAAP) (6)
44.55 42.12 40.36
Asset quality:
Non-performing assets to total assets 0.27 0.29 0.48
Non-performing loans to total loans 0.42 0.51 0.66
Allowance for credit losses to non-performing loans 475.99 471.61 331.10
Allowance for credit losses to total loans 2.01 2.41 2.19
Net charge-offs to average total loans 0.11 0.08 0.11
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Summary Consolidated Financial Data – Continued
As of the Years Ended December 31,
2022 2021
(Dollars and shares in thousands, except per share data)
Balance sheet data (period end):
Total assets $ 22,883,588 $ 18,052,138
Investment securities – available-for-sale 4,041,590 3,119,807
Loans receivable 14,409,480 9,836,089
Allowance for credit losses 289,669 236,714
Intangible assets 1,456,708 998,070
Non-interest-bearing deposits 5,164,997 4,127,878
Total deposits 17,938,783 14,260,570
Subordinated debentures
440,420 371,093
Stockholders' equity 3,526,362 2,765,721
Capital ratios:
Common equity to assets 15.41 % 15.32 %
Tangible common equity to tangible assets (non-GAAP) (1)(7)
9.66 10.36
Common equity Tier 1 capital 12.91 15.37
Tier 1 leverage ratio (8)
10.86 11.11
Tier 1 risk-based capital ratio 12.91 15.98
Total risk-based capital ratio 16.54 19.77
Dividend payout - common 42.07 28.88
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(1) Tangible calculations eliminate the effect of goodwill and acquisition-related intangible assets and the corresponding amortization expense on a tax-effected basis.
(2) See “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Table 25,” for the non-GAAP tabular reconciliation.
(3) See “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Table 26,” for the non-GAAP tabular reconciliation.
(4) See “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Table 27,” for the non-GAAP tabular reconciliation.
(5) Fully taxable equivalent (assuming an income tax rate of 26.135% for 2020, 25.740% for 2021 and 24.6735% for 2022).
(6) See “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Table 29,” for the non-GAAP tabular reconciliation.
(7) See “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Table 28,” for the non-GAAP tabular reconciliation.
(8) Leverage ratio is Tier 1 capital to quarterly average total assets less intangible assets and gross unrealized gains/losses on available-for-sale investment securities.
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