HBNC · Horizon Bancorp, Inc.

Horizon Bancorp's first quarter 2026 results demonstrate continued operational consistency, highlighted by a return on average assets of 1.62% and a durable net interest margin of 4.29%. The net interest margin remained flat compared to the prior quarter, reflecting disciplined loan and deposit pricing, although elevated interest-earning cash balances dampened the margin by approximately 4 basis points. Net interest income decreased slightly to $62.2 million from $63.5 million in the fourth quarter of 2025, but showed significant improvement over the prior year period. The company reported net income of $26.2 million, or $0.51 per diluted share, compared to $26.9 million, or $0.53 per diluted share, in the prior quarter. President and CEO Thomas Prame highlighted the strength of the community banking model and the success of core deposit gathering strategies, which drove an 11.3% annualized increase in total deposits, led by 22.8% annualized growth in non-interest-bearing balances. Credit quality remained excellent, with annualized net charge-offs of just 0.05% of average loans and non-performing assets to total assets at 0.67%. The company maintained a strong capital position, with the CET1 ratio improving 40 basis points to 10.82%. Management provided full-year 2026 guidance, projecting mid-single-digit growth for loans and deposits, a net interest margin in the range of 4.25% to 4.35%, and non-interest expense in the mid-$160 million range.