Hilltop Holdings Inc. Announces Financial Results for Second Quarter 2025

Business Wire

24-07-2025

DALLAS--(BUSINESS WIRE)--Hilltop Holdings Inc. (NYSE: HTH) ('Hilltop') today announced financial results for the second quarter of 2025. Hilltop produced income to common stockholders of $36.1 million, or $0.57 per diluted share, for the second quarter of 2025, compared to $20.3 million, or $0.31 per diluted share, for the second quarter of 2024. Hilltop's financial results for the second quarter, compared with the same period in 2024, primarily included a reversal of credit losses and an increase in net interest income within the banking segment, net revenues and noninterest expenses increased within the broker-dealer segment, and the mortgage origination segment had declines in net interest expense, noninterest income and noninterest expense.
Hilltop also announced that its Board of Directors declared a quarterly cash dividend of $0.18 per common share payable on August 29, 2025, to all common stockholders of record as of the close of business on August 15, 2025. Additionally, during the second quarter of 2025, Hilltop paid $34.9 million to repurchase an aggregate of 1,157,396 shares of its common stock at an average price of $30.17 per share pursuant to the 2025 stock repurchase program. These shares were returned to the pool of authorized but unissued shares of common stock.
Furthermore, in July 2025, the Hilltop Board of Directors authorized, subject to non-objection from the Board of Governors of the Federal Reserve, an increase to the aggregate amount of common stock that Hilltop may repurchase under the aforementioned stock repurchase program to $135.0 million, an increase of $35.0 million. As a result of share repurchases during 2025, Hilltop has approximately $67 million of available share repurchase capacity, subject to non-objection with respect to the additional $35.0 million, through the expiration of the 2025 stock repurchase program in January 2026.
The extent of the impact of uncertain economic conditions on our financial performance during the remainder of 2025 will depend in part on developments outside of our control, including, among others, the timing and significance of further changes in U.S. Treasury yields and mortgage interest rates, changes in funding costs, inflationary pressures, changes in the political environment, the impact of tariffs and reciprocal tariffs, and international armed conflicts and their impact on supply chains.
Jeremy B. Ford, Chairman, President and CEO of Hilltop, said, 'During the second quarter of 2025, Hilltop delivered a 1% return on average assets and returned $47 million to stockholders through dividends and share repurchases. PlainsCapital Bank's net interest margin expanded by 19 basis points as we continued to proactively manage deposit costs and benefited from a higher repricing of earning assets. HilltopSecurities produced a 5% year-over-year improvement in net revenue and a pre-tax margin of 5.8% in the face of a highly volatile quarter from long-term interest rates. PrimeLending had pre-tax income of $3.2 million on $2.4 billion of mortgage origination volume while operating in a persistently challenging home buying market. Notably, PrimeLending's operating results include a one-time pre-tax benefit of $9.5 million associated with prior legal settlements. As we move into the second half of the year, we will continue to prioritize protecting our balance sheet and executing on our strategic priorities in order to create long-term stockholder value.'
Second Quarter 2025 Highlights for Hilltop:
The reversal of credit losses was $7.3 million during the second quarter of 2025, compared to a provision for credit losses of $9.3 million in the first quarter of 2025 and a provision for credit losses of $10.9 million in the second quarter of 2024;
The reversal of credit losses during the second quarter of 2025 was primarily driven by changes in the U.S. economic outlook associated with collectively evaluated loans, loan portfolio changes and net charge-offs, partially offset by a build in the allowance related to specific reserves, including changes in loan mix and risk rating grade migration, within the banking segment, since the prior quarter.
On May 15, 2025, Hilltop redeemed all of its outstanding 5.75% Subordinated Notes due 2030 at a redemption price equal to the aggregate principal amount of $50 million, plus accrued and unpaid interest using cash on hand.
Noninterest income for the second quarter of 2025 included an aggregate of $6.1 million associated with the net effects of the receipt of $9.5 million by the mortgage origination segment from prior legal settlements and net downward adjustments to the preliminary pre-tax gain of $3.4 million from the sale of operations by the merchant bank equity investment;
The aggregate preliminary pre-tax gain of $27.1 million ($21.0 million net of tax) associated with the sale of operations by a merchant bank equity investment is subject to change given customary post-closing adjustments, changes in the market value of the stock consideration included in transaction given certain restrictions, and liquidation of the investment vehicle.
For the second quarter of 2025, net gains from sale of loans and other mortgage production income and mortgage loan origination fees was $80.7 million, compared to $92.9 million in the second quarter of 2024, a 13.1% decrease;
Mortgage loan origination production volume was $2.4 billion during both the second quarter of 2025 and the second quarter of 2024;
Net gains from mortgage loans sold to third parties, including broker fee income, increased to 233 basis points during the second quarter of 2025, compared to 232 basis points in the first quarter of 2025.
Hilltop's consolidated annualized return on average assets and return on average stockholders' equity for the second quarter of 2025 were 0.98% and 6.62%, respectively, compared to 0.59% and 3.84%, respectively, for the second quarter of 2024;
Hilltop's book value per common share increased to $34.90 at June 30, 2025, compared to $34.29 at March 31, 2025;
Hilltop's total assets were $15.4 billion and $15.8 billion at June 30, 2025 and March 31, 2025, respectively;
Loans 1, net of allowance for credit losses, were $7.6 billion and $7.5 billion at June 30, 2025 and March 31, 2025, respectively;
Non-accrual loans were $72.7 million, or 0.80% of total loans, at June 30, 2025, compared to $81.5 million, or 0.93% of total loans, at March 31, 2025;
Loans held for sale increased by 19.7% from March 31, 2025 to $979.9 million at June 30, 2025;
Total deposits were $10.4 billion and $10.8 billion at June 30, 2025 and March 31, 2025, respectively;
Total estimated uninsured deposits were $5.2 billion, or approximately 50% of total deposits, while estimated uninsured deposits, excluding collateralized deposits of $347.3 million and internal accounts of $420.7 million, were $4.5 billion, or approximately 43% of total deposits, at June 30, 2025.
Hilltop maintained strong capital levels with a Tier 1 Leverage Ratio 2 of 13.11% and a Common Equity Tier 1 Capital Ratio of 20.74% at June 30, 2025;
Hilltop's consolidated net interest margin 3 increased to 3.01% for the second quarter of 2025, compared to 2.84% in the first quarter of 2025;
For the second quarter of 2025, noninterest income was $192.6 million, compared to $193.3 million in the second quarter of 2024, a 0.3% decrease;
For the second quarter of 2025, noninterest expense was $261.2 million, compared to $256.5 million in the second quarter of 2024, a 1.8% increase; and
Hilltop's effective tax rate was 23.4% during the second quarter of 2025, compared to 22.5% during the same period in 2024.
The effective tax rate for the second quarter of 2025 was higher than the applicable statutory rate primarily due to the impact of nondeductible compensation expense, other nondeductible expenses and other permanent adjustments, partially offset by investments in tax-exempt instruments.
________________________________________
1
'Loans' reflect loans held for investment excluding broker-dealer margin loans, net of allowance for credit losses, of $329.4 million and $324.2 million at June 30, 2025 and March 31, 2025, respectively.
2
Based on the end of period Tier 1 capital divided by total average assets during the quarter, excluding goodwill and intangible assets.
3
Net interest margin is defined as net interest income divided by average interest-earning assets.
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Consolidated Financial and Other Information
Consolidated Balance Sheets
June 30,
March 31,
December 31,
September 30,
June 30,
(in 000's)
2025
2025
2024
2024
2024
Cash and due from banks
$
982,488
$
1,702,623
$
2,298,977
$
1,961,627
$
798,300
Federal funds sold
650
650
650
3,650
5,650
Assets segregated for regulatory purposes
47,158
88,451
70,963
55,628
51,046
Securities purchased under agreements to resell
93,878
99,099
88,728
81,766
111,914
Securities:
Trading, at fair value
675,757
647,158
524,916
540,836
721,384
Available for sale, at fair value, net (1)
1,408,347
1,405,170
1,396,549
1,405,700
1,433,107
Held to maturity, at amortized cost, net (1)
771,641
762,369
737,899
754,824
777,456
Equity, at fair value
4,996
286
297
287
254
2,860,741
2,814,983
2,659,661
2,701,647
2,932,201
Loans held for sale
979,875
818,328
858,665
933,724
1,264,437
Loans held for investment, net of unearned income
8,061,204
7,966,777
7,950,551
7,979,630
8,173,520
Allowance for credit losses
(97,961
)
(106,197
)
(101,116
)
(110,918
)
(115,082
)
Loans held for investment, net
7,963,243
7,860,580
7,849,435
7,868,712
8,058,438
Broker-dealer and clearing organization receivables
1,469,628
1,450,077
1,452,366
1,220,784
1,297,175
Premises and equipment, net
139,179
143,957
148,245
157,803
161,746
Operating lease right-of-use assets
88,050
93,451
90,563
92,041
93,994
Mortgage servicing assets
7,887
6,903
5,723
45,742
52,902
Other assets
455,930
459,774
470,073
528,839
517,811
Goodwill
267,447
267,447
267,447
267,447
267,447
Other intangible assets, net
6,119
6,376
6,633
6,995
7,429
Total assets
$
15,362,273
$
15,812,699
$
16,268,129
$
15,926,405
$
15,620,490
Deposits:
Noninterest-bearing
$
2,790,958
$
2,859,828
$
2,768,707
$
2,831,539
$
2,845,441
Interest-bearing
7,600,599
7,972,138
8,296,615
7,959,908
7,528,415
Total deposits
10,391,557
10,831,966
11,065,322
10,791,447
10,373,856
Broker-dealer and clearing organization payables
1,461,683
1,446,886
1,331,902
1,110,373
1,285,226
Short-term borrowings
734,508
705,008
834,023
914,645
897,613
Securities sold, not yet purchased, at fair value
59,766
63,171
57,234
47,773
75,546
Notes payable
148,475
198,043
347,667
347,533
347,402
Operating lease liabilities
104,972
110,815
109,103
110,799
113,096
Other liabilities
234,467
227,988
304,566
397,976
365,140
Total liabilities
13,135,428
13,583,877
14,049,817
13,720,546
13,457,879
Common stock
630
642
650
650
650
Additional paid-in capital
1,022,474
1,037,138
1,052,219
1,050,497
1,047,523
Accumulated other comprehensive loss
(94,748
)
(100,654
)
(111,497
)
(98,168
)
(119,171
)
Retained earnings
1,270,286
1,262,586
1,248,593
1,224,117
1,205,467
Deferred compensation employee stock trust, net
—
—
—
—
1
Employee stock trust
—
—
—
—
(1
)
Total Hilltop stockholders' equity
2,198,642
2,199,712
2,189,965
2,177,096
2,134,469
Noncontrolling interests
28,203
29,110
28,347
28,763
28,142
Total stockholders' equity
2,226,845
2,228,822
2,218,312
2,205,859
2,162,611
Total liabilities & stockholders' equity
$
15,362,273
$
15,812,699
$
16,268,129
$
15,926,405
$
15,620,490
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________________________________________
(1)
At June 30, 2025, the amortized cost of the available for sale securities portfolio was $1,488,368, while the fair value of the held to maturity securities portfolio was $704,035.
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Three Months Ended
Consolidated Income Statements
June 30,
March 31,
December 31,
September 30,
June 30,
(in 000's, except per share data)
2025
2025
2024
2024
2024
Interest income:
Loans, including fees
$
131,793
$
124,692
$
131,726
$
139,821
$
138,627
Securities borrowed
20,544
15,809
17,492
19,426
20,306
Securities:
Taxable
25,811
24,782
29,212
26,265
25,289
Tax-exempt
3,087
2,613
2,944
2,438
2,389
Other
15,946
24,903
27,216
23,092
20,532
Total interest income
197,181
192,799
208,590
211,042
207,143
Interest expense:
Deposits
57,056
60,051
67,411
70,641
68,095
Securities loaned
17,662
14,736
16,407
18,499
18,669
Short-term borrowings
7,694
8,103
10,992
10,878
10,676
Notes payable
3,106
3,653
3,910
3,555
3,604
Other
989
1,139
4,386
2,426
2,449
Total interest expense
86,507
87,682
103,106
105,999
103,493
Net interest income
110,674
105,117
105,484
105,043
103,650
Provision for (reversal of) credit losses
(7,340
)
9,338
(5,852
)
(1,270
)
10,934
Net interest income after provision for (reversal of) credit losses
118,014
95,779
111,336
106,313
92,716
Noninterest income:
Net gains from sale of loans and other mortgage production income
51,945
45,281
43,553
47,816
58,455
Mortgage loan origination fees
28,738
22,451
30,111
32,119
34,398
Securities commissions and fees
33,041
33,728
35,338
30,434
29,510
Investment and securities advisory fees and commissions
43,730
36,628
37,514
42,220
32,992
Other
35,180
75,252
49,074
47,854
37,950
Total noninterest income
192,634
213,340
195,590
200,443
193,305
Noninterest expense:
Employees' compensation and benefits
176,410
176,240
173,334
177,987
169,998
Occupancy and equipment, net
21,064
19,782
25,707
22,317
21,297
Professional services
10,820
4,114
12,791
11,645
10,270
Other
52,882
51,337
50,925
52,363
54,899
Total noninterest expense
261,176
251,473
262,757
264,312
256,464
Income before income taxes
49,472
57,646
44,169
42,444
29,557
Income tax expense
11,583
13,114
6,285
9,539
6,658
Net income
37,889
44,532
37,884
32,905
22,899
Less: Net income attributable to noncontrolling interest
1,816
2,416
2,365
3,212
2,566
Income attributable to Hilltop
$
36,073
$
42,116
$
35,519
$
29,693
$
20,333
Earnings per common share:
Basic
$
0.57
$
0.65
$
0.55
$
0.46
$
0.31
Diluted
$
0.57
$
0.65
$
0.55
$
0.46
$
0.31
Weighted average shares outstanding:
Basic
63,637
64,613
64,935
64,928
65,085
Diluted
63,638
64,615
64,943
64,946
65,086
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Three Months Ended June 30, 2025
Segment Results
Mortgage
All Other and
Hilltop
(in 000's)
Banking
Broker-Dealer
Origination
Corporate
Eliminations
Consolidated
Net interest income (expense)
$
94,919
$
13,151
$
(2,302
)
$
(166
)
$
5,072
$
110,674
Provision for (reversal of) credit losses
(7,343
)
3
—
—
—
(7,340
)
Noninterest income
11,892
96,502
90,248
(628
)
(5,380
)
192,634
Noninterest expense
59,226
103,253
84,736
14,285
(324
)
261,176
Income (loss) before taxes
$
54,928
$
6,397
$
3,210
$
(15,079
)
$
16
$
49,472
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Six Months Ended June 30, 2025
Segment Results
Mortgage
All Other and
Hilltop
(in 000's)
Banking
Broker-Dealer
Origination
Corporate
Eliminations
Consolidated
Net interest income (expense)
$
185,469
$
24,719
$
(3,699
)
$
(1,035
)
$
10,337
$
215,791
Provision for (reversal of) credit losses
2,029
(31
)
—
—
—
1,998
Noninterest income
22,702
193,439
158,023
42,751
(10,941
)
405,974
Noninterest expense
111,156
202,576
159,396
40,176
(655
)
512,649
Income (loss) before taxes
$
94,986
$
15,613
$
(5,072
)
$
1,540
$
51
$
107,118
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Three Months Ended
June 30,
March 31,
December 31,
September 30,
June 30,
Hilltop Consolidated:
Return on average stockholders' equity
6.62
%
7.82
%
6.50
%
5.51
%
3.84
%
Return on average assets
0.98
%
1.13
%
0.92
%
0.84
%
0.59
%
Net interest margin (1)
3.01
%
2.84
%
2.72
%
2.84
%
2.90
%
Net interest margin (taxable equivalent) (2):
As reported
3.04
%
2.86
%
2.74
%
2.85
%
2.92
%
Impact of purchase accounting
2 bps
4 bps
3 bps
2 bps
6 bps
Book value per common share ($)
34.90
34.29
33.71
33.51
32.86
Shares outstanding, end of period (000's)
63,001
64,154
64,968
64,960
64,953
Dividend payout ratio (3)
31.75
%
27.62
%
31.08
%
37.17
%
54.42
%
Banking Segment:
Net interest margin (1)
3.16
%
2.97
%
2.98
%
3.05
%
3.10
%
Net interest margin (taxable equivalent) (2):
As reported
3.17
%
2.97
%
2.99
%
3.06
%
3.10
%
Impact of purchase accounting
3 bps
3 bps
4 bps
3 bps
7 bps
Accretion of discount on loans ($000's)
586
1,045
1,076
737
1,945
Net recoveries (charge-offs) ($000's)
(896
)
(4,257
)
(3,950
)
(2,894
)
(83
)
Return on average assets
1.35
%
0.96
%
1.24
%
1.14
%
0.81
%
Fee income ratio
11.1
%
10.7
%
10.7
%
10.3
%
9.1
%
Efficiency ratio
55.4
%
51.2
%
57.8
%
55.2
%
57.0
%
Employees' compensation and benefits ($000's)
32,146
34,102
33,313
31,920
33,352
Broker-Dealer Segment:
Net revenue ($000's) (4)
109,653
108,505
126,367
124,258
104,271
Employees' compensation and benefits ($000's)
73,493
68,064
75,150
75,912
66,181
Variable compensation expense ($000's)
36,172
33,283
42,484
42,569
32,734
Compensation as a % of net revenue
67.0
%
62.7
%
59.5
%
61.1
%
63.5
%
Pre-tax margin (5)
5.8
%
8.5
%
16.1
%
13.7
%
6.9
%
Mortgage Origination Segment:
Mortgage loan originations - volume ($000's):
Home purchases
2,168,690
1,528,560
1,909,706
2,096,009
2,205,157
Refinancings
263,829
213,781
343,400
211,454
174,141
Total mortgage loan originations - volume
2,432,519
1,742,341
2,253,106
2,307,463
2,379,298
Mortgage loan sales - volume ($000's)
2,135,291
1,744,555
2,065,356
2,569,678
1,838,841
Net gains from mortgage loan sales (basis points):
Loans sold to third parties
223
222
217
218
223
Broker fee income (6)
10
10
9
6
10
Impact of loans retained by banking segment
(5
)
(8
)
(5
)
0
(5
)
As reported
228
224
221
224
228
Mortgage servicing rights asset ($000's) (7)
7,887
6,903
5,723
45,742
52,902
Employees' compensation and benefits ($000's)
62,214
53,339
56,402
60,573
61,624
Variable compensation expense ($000's)
34,975
24,832
30,784
33,862
34,886
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________________________________________
(1)
Net interest margin is defined as net interest income divided by average interest-earning assets.
(2)
Net interest margin (taxable equivalent), a non-GAAP measure, is defined as taxable equivalent net interest income divided by average interest-earning assets. Taxable equivalent adjustments are based on the applicable 21% federal income tax rate for all periods presented. The interest income earned on certain earning assets is completely or partially exempt from federal income tax. As such, these tax-exempt instruments typically yield lower returns than taxable investments. To provide more meaningful comparisons of net interest margins for all earning assets, we use net interest income on a taxable-equivalent basis in calculating net interest margin by increasing the interest income earned on tax-exempt assets to make it fully equivalent to interest income earned on taxable investments. The taxable equivalent adjustments to interest income for Hilltop (consolidated) were $0.8 million, $0.6 million, $0.7 million, $0.6 million and $0.6 million, respectively, for the periods presented and for the banking segment were $0.1 million, $0.2 million, $0.2 million, $0.2 million and $0.1 million, respectively, for the periods presented.
(3)
Dividend payout ratio is defined as cash dividends declared per common share divided by basic earnings per common share.
(4)
Net revenue is defined as the sum of total broker-dealer net interest income and total broker-dealer noninterest income.
(5)
Pre-tax margin is defined as income before income taxes divided by net revenue.
(6)
Broker fee income is earned by the mortgage origination segment for facilitating mortgage loan transactions between PrimeLending customers and third-party mortgage lenders when the requested loan products are not offered by PrimeLending.
(7)
Reported on a consolidated basis and therefore does not include mortgage servicing rights assets related to loans serviced for the banking segment, which are eliminated in consolidation.
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June 30,
March 31,
December 31,
September 30,
June 30,
Capital Ratios
2025
2025
2024
2024
2024
Tier 1 capital (to average assets):
PlainsCapital
10.71
%
10.22
%
9.99
%
10.34
%
11.36
%
Hilltop
13.11
%
12.86
%
12.57
%
12.95
%
12.87
%
Common equity Tier 1 capital (to risk-weighted assets):
PlainsCapital
15.08
%
15.06
%
15.35
%
14.94
%
15.58
%
Hilltop
20.74
%
21.17
%
21.23
%
20.48
%
19.45
%
Tier 1 capital (to risk-weighted assets):
PlainsCapital
15.08
%
15.06
%
15.35
%
14.94
%
15.58
%
Hilltop
20.74
%
21.17
%
21.23
%
20.48
%
19.45
%
Total capital (to risk-weighted assets):
PlainsCapital
16.29
%
16.31
%
16.54
%
16.13
%
16.77
%
Hilltop
23.38
%
24.45
%
24.40
%
23.68
%
22.57
%
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June 30,
March 31,
December 31,
September 30,
June 30,
Non-Performing Assets Portfolio Data
2025
2025
2024
2024
2024
Loans accounted for on a non-accrual basis ($000's):
Commercial real estate:
Non-owner occupied
$
4,107
$
4,241
$
7,166
$
8,042
$
6,894
Owner occupied
6,429
6,535
6,092
2,410
6,437
Commercial and industrial
40,990
51,987
59,025
66,929
80,755
Construction and land development
3,667
3,256
3,003
2,682
485
1-4 family residential
17,550
15,458
12,863
11,123
11,092
Consumer
—
—
—
—
1
Broker-dealer
—
—
—
—
—
Non-accrual loans ($000's)
$
72,743
$
81,477
$
88,149
$
91,186
$
105,664
Non-accrual loans as a % of total loans
0.80
%
0.93
%
1.00
%
1.02
%
1.12
%
Other real estate owned ($000's)
9,144
7,682
2,848
2,744
2,973
Other repossessed assets ($000's)
—
—
98
413
464
Non-performing assets ($000's)
81,887
89,159
91,095
94,343
109,101
Non-performing assets as a % of total assets
0.53
%
0.56
%
0.56
%
0.59
%
0.70
%
Loans past due 90 days or more and still accruing ($000's) (1)
28,378
24,145
22,090
140,763
122,451
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________________________________________
(1)
Loans past due 90 days or more and still accruing were primarily comprised of loans held for sale and guaranteed by U.S. government agencies, including loans that are subject to repurchase, or have been repurchased, by PrimeLending.
Expand
Three Months Ended June 30,
2025
2024
Balance
or Paid
Rate
Balance
or Paid
Rate
Assets
Interest-earning assets
Loans held for sale
$
923,726
$
14,119
6.05
%
$
934,445
$
13,494
5.78
%
Loans held for investment, gross (2)
8,073,187
117,674
5.84
%
7,892,879
125,133
6.36
%
Investment securities - taxable
2,490,931
25,811
4.10
%
2,612,049
25,284
3.87
%
Investment securities - non-taxable (3)
360,557
3,891
4.27
%
321,928
2,965
3.68
%
Federal funds sold and securities purchased under agreements to resell
84,583
1,352
6.41
%
105,520
1,944
7.39
%
Interest-bearing deposits in other financial institutions
1,210,977
12,724
4.21
%
1,057,783
13,572
5.15
%
Securities borrowed
1,451,826
20,544
5.60
%
1,358,425
20,306
5.91
%
Other
127,638
1,871
5.88
%
39,758
5,016
50.60
%
Interest-earning assets, gross (3)
14,723,425
197,986
5.39
%
14,322,787
207,714
5.82
%
Allowance for credit losses
(105,816
)
(104,551
)
Interest-earning assets, net
14,617,609
14,218,236
Noninterest-earning assets
968,459
1,332,959
Total assets
$
15,586,068
$
15,551,195
Liabilities and Stockholders' Equity
Interest-bearing liabilities
Interest-bearing deposits
$
7,868,600
$
57,056
2.91
%
$
7,617,862
$
68,095
3.59
%
Securities loaned
1,440,958
17,662
4.92
%
1,338,825
18,669
5.59
%
Notes payable and other borrowings
955,618
11,789
4.95
%
1,253,394
16,729
5.35
%
Total interest-bearing liabilities
10,265,176
86,507
3.38
%
10,210,081
103,493
4.07
%
Noninterest-bearing liabilities
Noninterest-bearing deposits
2,775,448
2,814,179
Other liabilities
330,616
377,516
Total liabilities
13,371,240
13,401,776
Stockholders' equity
2,187,108
2,122,144
Noncontrolling interest
27,720
27,275
Total liabilities and stockholders' equity
$
15,586,068
$
15,551,195
Net interest income (3)
$
111,479
$
104,221
Net interest spread (3)
2.01
%
1.75
%
Net interest margin (3)
3.04
%
2.92
%
Expand
________________________________________
(1)
Information presented on a consolidated basis (dollars in thousands).
(2)
Average balance includes non-accrual loans.
(3)
Presented on a taxable-equivalent basis with annualized taxable equivalent adjustments based on the applicable 21% federal income tax rate for the periods presented. The adjustment to interest income was $0.8 million and $0.6 million for the three months ended June 30, 2025 and 2024, respectively.
Expand
Conference Call Information
Hilltop will host a live webcast and conference call at 8:00 AM Central (9:00 AM Eastern) on Friday, July 25, 2025. Hilltop Chairman, President and CEO Jeremy B. Ford and Hilltop CFO William B. Furr will review second quarter 2025 financial results. Interested parties can access the conference call by dialing 800-549-8228 (Toll Free North America) or ([phone] (International Toll) and then using the conference ID 82549. The conference call also will be webcast simultaneously on Hilltop's Investor Relations website (http://ir.hilltop.com).
About Hilltop
Hilltop Holdings is a Dallas-based financial holding company. Its primary line of business is to provide business and consumer banking services from offices located throughout Texas through PlainsCapital Bank. PlainsCapital Bank's wholly owned subsidiary, PrimeLending, provides residential mortgage lending throughout the United States. Hilltop Holdings' broker-dealer subsidiaries, Hilltop Securities Inc. and Momentum Independent Network Inc., provide a full complement of securities brokerage, institutional and investment banking services in addition to clearing services and retail financial advisory. At June 30, 2025, Hilltop employed approximately 3,700 people and operated 309 locations in 47 states. Hilltop Holdings' common stock is listed on the New York Stock Exchange under the symbol 'HTH.' Find more information at Hilltop.com, PlainsCapital.com, PrimeLending.com and Hilltopsecurities.com.
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements anticipated in such statements. Forward-looking statements speak only as of the date they are made and, except as required by law, we do not assume any duty to update forward-looking statements. Such forward-looking statements include, but are not limited to, statements concerning such things as our plans, objectives, strategies, expectations, intentions and other statements that are not statements of historical fact, and may be identified by words such as 'aim,' 'anticipates,' 'believes,' 'building,' 'continue,' 'could,' 'drive,' 'estimates,' 'expects,' 'extent,' 'focus,' 'forecasts,' 'goal,' 'guidance,' 'intends,' 'may,' 'might,' 'outlook,' 'plan,' 'position,' 'probable,' 'progressing,' 'projects,' 'prudent,' 'seeks,' 'should,' 'steady,' 'target,' 'view,' 'will' or 'would' or the negative of these words and phrases or similar words or phrases. The following factors, among others, could cause actual results to differ materially from those set forth in the forward-looking statements: (i) the credit risks of lending activities, including our ability to estimate credit losses and the allowance for credit losses, as well as the effects of changes in the level of, and trends in, loan delinquencies and write-offs; (ii) effectiveness of our data security controls in the face of cyber attacks and any legal, reputational and financial risks following a cybersecurity incident; (iii) changes in general economic, market and business conditions in areas or markets where we compete, including changes in the price of crude oil; (iv) changes in the interest rate environment; (v) risks associated with concentration in real estate related loans; (vi) the effects of indebtedness on our ability to manage our business successfully, including the restrictions imposed by the indenture governing our indebtedness; (vii) disruptions to the economy and financial services industry, risks associated with uninsured deposits and responsive measures by federal or state governments or banking regulators, including increases in the cost of our deposit insurance assessments; (viii) cost and availability of capital; (ix) changes in state and federal laws, regulations or policies affecting one or more of our business segments, including changes in policies under the new Presidential administration, changes in regulatory fees, deposit insurance premiums, capital requirements and the Dodd-Frank Wall Street Reform and Consumer Protection Act (the 'Dodd-Frank Act'); (x) changes in key management; (xi) competition in our banking, broker-dealer, and mortgage origination segments from other banks and financial institutions as well as investment banking and financial advisory firms, mortgage bankers, asset-based non-bank lenders and government agencies; (xii) legal and regulatory proceedings; (xiii) risks associated with merger and acquisition integration; and (xiv) our ability to use excess capital in an effective manner. For further discussion of such factors, see the risk factors described in our most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q and other reports that are filed with the Securities and Exchange Commission. All forward-looking statements are qualified in their entirety by this cautionary statement.