Horizon Bancorp Q4 profit beats expectations on commercial loan growth

Horizon Bancorp

21/01/2026 21:15

Overview

Community bank's Q4 net income and EPS beat analyst expectations

Net interest margin expanded for ninth consecutive quarter, reaching 4.29%

Credit quality remained strong with low net charge-offs

Outlook

Horizon Bancorp expects durable earnings and top-tier profitability metrics in 2026

Company anticipates disciplined and high-quality commercial loan growth

Result Drivers

BALANCE SHEET REPOSITIONING - Successful execution of balance sheet repositioning contributed to performance improvement

COMMERCIAL LOAN GROWTH - Strong organic commercial loan growth of $75.8 mln, or 9.1% annualized, supported loan portfolio expansion

CREDIT QUALITY - Credit quality remained strong with annualized net charge-offs of 0.08% of average loans

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 EPS
Beat
$0.53
$0.50 (5 Analysts)
Q4 Net Income
Beat
$26.92 mln
$24.37 mln (5 Analysts)
Q4 Net Interest Income
$63.48 mln
Q4 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", 2 "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 $20.00, about 15.8% above its January 20 closing price of $17.27

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nGNX2VmgGC

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(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.)