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 16, 2024, there were approximately 1,626 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. We currently expect to continue declaring and paying quarterly cash dividends comparable to our historical quarterly dividend payments. Our 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, 2023, 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:
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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, 2023 530,000 $ 21.00 530,000 17,051,285
November 1 through November 30, 2023 220,000 21.31 220,000 16,831,285
December 1 through December 31, 2023 65,000 23.03 65,000 16,766,285
Total 815,000 815,000
(1) The above described stock repurchase program has no expiration date .
Performance Graph
Below is a graph which summarizes the cumulative return earned by the Company’s stockholders since December 31, 2018, 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, 2018 and that the subsequent dividends were reinvested.
Period Ending
Index 12/31/18 12/31/19 12/31/20 12/31/21 12/31/22 12/31/23
Home BancShares, Inc. 100.00 123.70 126.54 161.83 155.79 178.88
Russell 2000 Index 100.00 125.53 150.58 172.90 137.56 160.85
S&P U.S. BMI Banks Index 100.00 137.36 119.83 162.92 135.13 147.41
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Item 6. SELECTED FINANCIAL DATA.
Summary Consolidated Financial Data
As of or for the Years Ended December 31,
2023 2022 2021
(Dollars and shares in thousands, except per share data)
Income statement data:
Total interest income $ 1,175,053 $ 877,766 $ 625,171
Total interest expense 348,108 119,090 52,200
Net interest income 826,945 758,676 572,971
Provision for (recovery of) credit losses 12,133 63,585 (4,752)
Net interest income after provision for credit losses 814,812 695,091 577,723
Non-interest income 169,934 175,111 137,569
Non-interest expense 472,863 475,627 298,517
Income before income taxes 511,883 394,575 416,775
Income tax expense 118,954 89,313 97,754
Net income $ 392,929 $ 305,262 $ 319,021
Per share data:
Basic earnings per common share $ 1.94 $ 1.57 $ 1.94
Diluted earnings per common share 1.94 1.57 1.94
Book value per common share 18.81 17.33 16.90
Tangible book value per common share (non-GAAP) (1)(2)
11.63 10.17 10.80
Dividends – common 0.72 0.66 0.56
Average common shares outstanding 202,627 194,694 164,501
Average diluted shares outstanding 202,773 195,019 164,858
Performance ratios:
Return on average assets 1.77 % 1.35 % 1.83 %
Return on average assets excluding intangible Amortization (non-GAAP) (3)
1.93 1.47 1.96
Return on average common equity 10.82 9.17 11.89
Return on average tangible common equity excluding intangible amortization (non-GAAP) (1)(4)
18.36 15.63 19.20
Net interest margin (5)
4.25 3.81 3.66
Efficiency ratio 46.21 49.53 40.81
Efficiency ratio, as adjusted (non-GAAP) (6)
45.24 44.55 42.12
Asset quality:
Non-performing assets to total assets 0.42 0.27 0.29
Non-performing loans to total loans 0.44 0.42 0.51
Allowance for credit losses to non-performing loans 449.66 475.99 471.61
Allowance for credit losses to total loans 2.00 2.01 2.41
Net charge-offs to average total loans 0.09 0.11 0.08
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Summary Consolidated Financial Data – Continued
As of the Years Ended December 31,
2023 2022
(Dollars and shares in thousands, except per share data)
Balance sheet data (period end):
Total assets $ 22,656,658 $ 22,883,588
Investment securities – available-for-sale 3,507,841 4,041,590
Investment securities – held-to-maturity 1,281,982 1,287,705
Loans receivable 14,424,728 14,409,480
Allowance for credit losses (288,234) (289,669)
Intangible assets 1,447,023 1,456,708
Non-interest-bearing deposits 4,085,501 5,164,997
Total deposits 16,787,711 17,938,783
Subordinated debentures
439,834 440,420
Stockholders' equity 3,791,075 3,526,362
Capital ratios:
Common equity to assets 16.73 % 15.41 %
Tangible common equity to tangible assets (non-GAAP) (1)(7)
11.05 9.66
Common equity Tier 1 capital 14.15 12.91
Tier 1 leverage ratio (8)
12.44 10.86
Tier 1 risk-based capital ratio 14.15 12.91
Total risk-based capital ratio 17.79 16.54
Dividend payout - common 37.13 42.07
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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 25.740% for 2021, 24.6735% for 2022 and 24.989% for 2023).
(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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