On July 25, 2024, Hilltop Holdings Inc (HTH, Financial) released its 8-K filing announcing financial results for the second quarter of 2024. Hilltop Holdings Inc is a Dallas-based financial holding company that provides business and consumer banking services through PlainsCapital Bank, as well as other financial products and services through its broker-dealer and mortgage origination segments.
Performance Overview
Hilltop Holdings Inc reported income to common stockholders of $20.3 million, or $0.31 per diluted share, for the second quarter of 2024. This result surpasses the analyst estimate of $0.26 per share. The company also reported revenue of $207.1 million, exceeding the estimated $205.98 million.
Key Financial Achievements
Despite a challenging economic environment, Hilltop Holdings Inc managed to deliver profitable pre-tax results across all three business segments. The company generated $29.6 million of pre-tax income, demonstrating resilience in the face of economic headwinds.
Jeremy B. Ford, President and CEO of Hilltop, stated, “Despite the continuation of a challenging environment for our operating businesses, Hilltop generated $29.6 million of pre-tax income as all three business segments delivered profitable pre-tax results during the second quarter of 2024.”
Income Statement Highlights
| Metric | Q2 2024 | Q2 2023 |
|---|---|---|
| Net Interest Income | $103.7 million | $118.3 million |
| Noninterest Income | $193.3 million | $190.7 million |
| Net Income | $22.9 million | $19.9 million |
| Earnings Per Share (Diluted) | $0.31 | $0.28 |
Balance Sheet and Cash Flow Highlights
Hilltop Holdings Inc reported total assets of $15.62 billion as of June 30, 2024, compared to $17.14 billion as of June 30, 2023. The company’s total deposits stood at $10.37 billion, reflecting a decrease from $11.16 billion in the same period last year. The company also repurchased 320,000 shares of its common stock at an average price of $30.98 per share, utilizing $9.9 million of its 2024 stock repurchase program.
Challenges and Future Outlook
The company faced a decline in net interest income and an increase in the provision for credit losses within the banking segment. Additionally, there was a decrease in net revenues within all of the broker-dealer segment’s business lines except public finance services. Despite these challenges, Hilltop Holdings Inc managed to control funding and operating costs, resulting in a modest expansion in net interest margin and pre-provision net revenue compared to the first quarter of 2024.
Jeremy B. Ford added, “As we enter the second half of 2024, we will work hard at prudently managing costs and positioning our balance sheet for long-term success.”
Conclusion
Hilltop Holdings Inc’s performance in the second quarter of 2024 demonstrates its ability to navigate a challenging economic environment while delivering profitable results. The company’s focus on controlling costs and managing its balance sheet positions it well for future growth. For more detailed financial information, please refer to the company’s 8-K filing.
Explore the complete 8-K earnings release (here) from Hilltop Holdings Inc for further details.
