Horizon Bancorp Q1 profit beats on higher interest income

Horizon Bancorp

22/04/2026 21:16

Overview

U.S. community bank's Q1 EPS and net income beat analyst expectations

Net interest income rose 19% yr/yr, supported by a 4.29% net interest margin

Company saw strong core deposit growth and stable credit quality

Outlook

Horizon says 2026 outlook is unchanged, expects solid balance sheet growth and consistent profitability metrics

Company expects continued disciplined, high-quality commercial loan growth funded by relationship-based deposits

Horizon sees stable and predictable financial performance despite a volatile macro-economic environment

Result Drivers

CORE DEPOSIT GROWTH - Co said strong growth in core deposits, especially non-interest-bearing balances, supported funding and liquidity

NET INTEREST MARGIN - Net interest income rose 19% yr/yr, with a resilient 4.29% net interest margin, though elevated cash balances dampened margin by about 4 basis points

COMMERCIAL LOAN GROWTH - Modest increase in commercial loans, with disciplined pricing and focus on higher-yielding assets; residential and consumer portfolios saw runoff

Company press release: ID:nGNX5p2Htc

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 EPS
Beat
$0.51
$0.48 (5 Analysts)
Q1 Net Income
Beat
$26.17 mln
$24.62 mln (5 Analysts)
Q1 Net Interest Income
$62.24 mln
Q1 Net Interest Margin
4.29%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the banks peer group is "buy"

Wall Street's median 12-month price target for Horizon Bancorp Inc is $21.00, about 18.8% above its April 21 closing price of $17.68

The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)