HarborOne Bancorp, Inc. (the “Company” or “HarborOne”) (NASDAQ:
HONE), the holding company for HarborOne Bank (the “Bank”),
announced net income of $58.5 million, or $1.14 per diluted share,
for the year ended December 31, 2021, an increase of $13.7 million,
or 30.6%, compared to net income of $44.8 million, or $0.82 per
diluted share, for the year ended December 31, 2020. For the fourth
quarter of 2021, net income was $12.6 million, or $0.25 per diluted
share, compared to $12.3 million, or $0.24 per diluted share, for
the preceding quarter and $17.6 million, or $0.33 per diluted
share, for the quarter ended December 31, 2020.
Selected Financial Highlights:
- For the year ended December 31, 2021, return on average assets
was 1.29% and return on average equity was 8.45%.
- Commercial loan growth of $240.9 million, or 12.1%, year over
year, excluding U.S. Small Business Administration Paycheck
Protection Program (“PPP”) loans.
- Net interest income up $11.3 million, or 9.4%, year over
year.
- Recorded a reversal of provision for loan losses of $1.4
million and $7.3 million, for the quarter and year ended December
31, 2021, respectively.
- Cost of deposits down 46 basis points year over year, from 70
basis points to 24 basis points.
- Continued metro Boston expansion, opening three greater Boston
branches in the fourth quarter.
“We’re tremendously proud to share our Q4 and 2021 annual
performance results with our customers, shareholders, and
employees. Our vision for the business, our business strategy, and
our execution all came together seamlessly in ’21, despite the
challenges. The results are a testament to our teamwork approach,
unparalleled commitment to execution excellence, and the benefits
of living our values while serving our customers,” said Jim Blake,
Chief Executive Officer. “Our performance over the last two years
is something we’re all extremely proud of.” “We’re battle tested
and resilient, and we look forward to continuing our progress
against our strategic plan and bringing our truly unique value
proposition to our customers and the communities that we serve in
the years ahead,” added Joe Casey, President and Chief Operating
Officer.
Net Interest Income
The Company’s net interest and dividend income was $34.0 million
for the quarter ended December 31, 2021, up $1.2 million, or 3.6%,
from $32.8 million for the quarter ended September 30, 2021 and up
$1.2 million, or 3.8%, from $32.8 million for the quarter ended
December 31, 2020. The tax equivalent interest rate spread and net
interest margin were 3.10% and 3.19%, respectively, for the quarter
ended December 31, 2021, compared to 2.97% and 3.08%, respectively,
for the quarter ended September 30, 2021, and 3.03% and 3.22%,
respectively, for the quarter ended December 31, 2020. Net interest
margin and the tax equivalent interest rate spread continue to be
impacted by low interest rates, elevated loan prepayments, and the
recognition of deferred fees on PPP loan forgiveness. The Federal
Home Loan Bank of Boston (“FHLB”) borrowing prepayment on September
30, 2021 of $20.0 million resulted in a 66-basis-point decrease in
the cost of those funds. Additionally, the continued favorable
repricing of deposits and a 5-basis-point increase in the yield on
interest-earning assets positively impacted the spread and margin
on a linked quarter basis. Although interest rates may begin to
increase in 2022, the positive impact of the recognition of
deferred loan fees on PPP loan forgiveness will diminish.
The $545,000 increase in total interest and dividend income
primarily reflected a 5-basis-point increase in the yield on
average interest-earning assets, as excess funds were invested in
mortgage-backed securities. The yield on loans continues to be
impacted by the recognition of deferred fees due to PPP loan
forgiveness, accretion income and prepayment penalties, although
the recent uptick in rates is expected to lessen the impact from
these yield adjustments in the future. The three months ended
December 31, 2021 and September 30, 2021 include the recognition of
deferred fees on PPP loans in the amount of $1.2 million and $1.9
million, respectively. The remaining $949,000 in deferred PPP loan
fees are expected to be recognized in the first quarter of 2022 as
the loans are forgiven. Interest on loans in the fourth quarter
included $634,000 in accretion income from the fair value discount
on loans acquired in connection with the merger with Coastway
Bancorp, Inc. and $861,000 in prepayment penalties on commercial
loans. Accretion income and prepayment penalties in the preceding
quarter were $675,000 and $436,000, respectively.
The quarter-over-quarter decrease in total interest expense of
$637,000 primarily reflected a decrease in interest rates,
resulting in a 6-basis-point decrease in the cost of
interest-bearing deposits. The mix of deposits continues to shift
as customers move to more liquid options. The average balance of
certificate of deposit accounts decreased quarter over quarter by
$27.4 million, while the average balance of non-certificate
accounts increased $36.1 million from the preceding quarter.
Average FHLB advances decreased $28.7 million, and the cost of
those funds decreased 66 basis points, resulting in a decrease of
$238,000 in interest expense on FHLB advances.
The increase in net interest and dividend income from the prior
year quarter reflected a decrease of $2.6 million, or 52.4%, in
total interest expense, partially offset by a $1.4 million, or
3.6%, decrease in total interest and dividend income. The decreases
reflect rate and volume changes in both interest-bearing assets and
liabilities. The cost of interest-bearing liabilities decreased 37
basis points, while the average balance increased $92.6 million.
The yield on interest-earning assets decreased 30 basis points,
while the average balance increased $178.3 million.
Noninterest Income
Total noninterest income decreased $2.8 million, or 12.9%, to
$19.2 million for the quarter ended December 31, 2021, from $22.0
million for the quarter ended September 30, 2021. Softening
mortgage loan demand resulted in mortgage loan closings of $451.4
million and a gain on loan sales of $10.1 million for the quarter
ended December 31, 2021, as compared to $604.9 million in mortgage
closings and $12.8 million in gain on sales for the preceding
quarter. The locked residential mortgage pipeline decreased $100.8
million and negatively impacted the fair value of the derivative
mortgage commitments recorded through the gain on loan sales. The
change in the fair value of derivatives included in mortgage
banking income was a negative $2.6 million for the three months
ended December 31, 2021, as compared to a negative $833,000 for the
three months ended September 30, 2021.
The change in the fair value of mortgage servicing rights
positively impacted mortgage banking income; however, it was offset
by the impact of residential mortgage loan payoffs, resulting in a
net decrease of $245,000 and $992,000 in the fair value of mortgage
servicing rights for the three months ended December 31, 2021 and
September 30, 2021, respectively. The fair value of the mortgage
servicing rights increased $1.1 million for the three months ended
December 31, 2021, as compared to a $621,000 increase for the three
months ended September 30, 2021. Residential mortgage loan payoffs
resulted in a decrease of mortgage servicing rights values in the
amount of $1.3 million and $1.6 million for the three months ended
December 31, 2021 and September 30, 2021, respectively. The 10-year
Treasury Constant Maturity rate was flat versus the third quarter
of 2021, and prepayments began to slow. The change in the fair
value of the mortgage servicing rights is generally consistent with
the change in the 10-year Treasury Constant Maturity rate. As
interest rates rise and prepayment speeds slow, mortgage servicing
rights values tend to increase; conversely, as interest rates fall
and prepayment speeds quicken, mortgage servicing rights values
tend to decrease.
Deposit account fees increased $125,000, or 2.7%, to $4.8
million for the quarter ended December 31, 2021, from $4.7 million
for the quarter ended September 30, 2021. Other income for the
quarter ended December 31, 2021 includes a write-off of $431,000 on
a direct interest-rate swap related to a non-accrual loan. The
quarter ended September 30, 2021 included gain on sale of
securities in the amount of $241,000, and no such gain on sale of
securities was recorded in the fourth quarter of 2021.
Total noninterest income decreased $17.9 million, or 48.2%, as
compared to the quarter ended December 31, 2020, primarily due to
an $18.6 million, or 58.5%, decrease in mortgage banking income,
driven by the decrease in loan closings and narrowing gain-on-sale
margins in 2021. The decrease in mortgage banking income was offset
by a $1.1 million increase in deposit account fees as deposit fees
were reinstated in 2021.
Noninterest Expense
Total noninterest expenses were $38.2 million for the quarter
ended December 31, 2021, a decrease of $1.1 million, or 2.8%, from
the quarter ended September 30, 2021. During the third quarter of
2021, the Bank paid a $1.1 million prepayment penalty on Federal
Home Loan Bank borrowings, and no such penalty was paid in the
fourth quarter of 2021. Loan expense decreased $591,000, reflecting
the decrease in residential mortgage loan closings at HarborOne
Mortgage, LLC (“HarborOne Mortgage”).
Total noninterest expenses decreased $3.1 million, or 7.5%, from
the quarter ended December 31, 2020. Compensation and benefits
decreased $2.6 million and loan expenses decreased $2.0 million,
consistent with the decrease in residential mortgage loan
closings.
Income Tax Provision
The effective tax rate was 23.2% for the quarter ended December
31, 2021, compared to 28.6% for the quarter ended September 30,
2021 and 15.7% for the quarter ended December 31, 2020. The
effective tax rate for the quarter ended December 31, 2021 was
impacted by the recognition of a net tax benefit in the amount of
$754,000 for a reserve release upon the expiration of the statute
of limitations. The effective tax rate for the quarter ended
December 31, 2020 was impacted by a 2016 federal tax refund of $1.9
million recognized on the expiration of the statute of
limitations.
Provision for Loan Losses and Asset Quality
The Company recorded a reversal of provision for loan losses of
$1.4 million for the quarter ended December 31, 2021, compared to a
reversal of provision of $1.6 million for the quarter ended
September 30, 2021 and a provision for loan losses of $7.6 million
for the quarter ended December 31, 2020. The allowance for loan
losses was $45.4 million, or 1.26% of total loans, at December 31,
2021, compared to $48.0 million, or 1.39% of total loans, at
September 30, 2021 and $55.4 million, or 1.59% of total loans, at
December 31, 2020. The provision for loan losses is impacted by
specific reserves, charge-offs, changes in historical charge-off
trends, and adjusted for management’s assessment of certain
qualitative factors including, loan portfolio growth and
composition changes, ongoing evaluations of credit quality trends
and current economic conditions.
Net charges-offs totaled $1.2 million, or 0.13% of average loans
outstanding on an annualized basis, for the quarter ended December
31, 2021. During the fourth quarter, there was a $1.4 million
charge-off on a single credit previously reserved for in a prior
period. Net charge-offs totaled $1.7 million, or 0.19% of average
loans outstanding on an annualized basis, for the quarter ended
September 30, 2021, and net charge-offs totaled $1.4 million, or
0.16% of average loans outstanding on an annualized basis, for the
quarter ended December 31, 2020.
Credit quality performance has remained strong with total
nonperforming assets of $36.2 million at December 31, 2021,
compared to $36.5 million at September 30, 2021 and $34.7 million
at December 31, 2020. Nonperforming assets as a percentage of total
assets were 0.79% at December 31, 2021, 0.80% at September 30,
2021, and 0.77% at December 31, 2020.
At the start of the COVID-19 pandemic, management established a
COVID-19 pandemic qualitative factor. In estimating the provision
for the COVID-19 pandemic, management considers economic factors,
including unemployment rates and the interest rate environment, and
trends in the pandemic, such as vaccination and case rates.
Positive economic trends in the fourth quarter of 2021, were offset
by rising COVID-19 cases, despite strong vaccination rates in our
market area, and resulted in management increasing the provision
related to COVID-19. For the year ended December 31, 2021, the
provision for the COVID-19 pandemic has decreased.
We provided payment deferrals and other accommodations to
certain of our commercial loan customers whose businesses were
impacted by the COVID-19 pandemic and the related mitigation
efforts. As of December 31, 2021, all payment deferrals have
expired. There are three commercial loans with expired deferrals,
amounting to $2.7 million, that are delinquent and on non-accrual
status. There is one commercial credit in the amount of $8.8
million whose deferral has expired and is current, but is on
non-accrual status.
We had previously provided access to the PPP to both our
existing customers and new customers, to ensure that small
businesses in the communities we serve had access to this important
lifeline for their businesses. As of December 31, 2021, outstanding
PPP loans amounted to $27.0 million, and there was $949,000 in
deferred processing fee income. We expect to complete the
forgiveness process on the remaining PPP loans by the end of the
first quarter of 2022.
The residential loan and consumer loan portfolios have not
experienced significant credit quality deterioration as of December
31, 2021; however, the continuing impact and uncertain nature of
the COVID-19 pandemic may result in increases in delinquencies,
charge-offs and loan modifications in these portfolios in 2022. As
of December 31, 2021, all payment deferrals on residential mortgage
loans had expired. As of December 31, 2021, seven residential real
estate loans with expired deferrals and a total outstanding
principal balance of $978,000 are delinquent, and four of those
loans, amounting to $735,000, are in non-accrual status. We have no
active payment deferrals on consumer loans, eight loans with
expired deferrals and a total outstanding principal balance of
$163,000 that are delinquent. Requests for additional extensions on
residential mortgage loans and consumer loans were not significant
as of December 31, 2021.
Management continues to assess the impact of the COVID-19
pandemic on our commercial loan portfolio, in light of current
economic conditions and the effects of government actions to
diminish the spread of new variants of the virus. Our commercial
loan portfolio is diversified across many sectors and is largely
secured by commercial real estate loans, which make up 75.3% of the
total commercial loan portfolio. Management has identified and
monitors commercial loan sectors that may be susceptible to
increased credit risk as a result of the COVID-19 pandemic: retail,
office space, hotels, restaurants, and recreation. The five
commercial sectors identified as at- risk totaled $800.2 million at
December 31, 2021, which represents 35.4% of the commercial loan
portfolio. The at-risk sectors include $671.5 million in commercial
real estate loans, $79.4 million in commercial and industrial
loans, and $49.2 million in commercial construction loans.
Non-performing loans included in the at-risk sectors amounted to
$20.4 million at December 31, 2021, the majority of which was $10.9
million included in the hotels sector and $8.8 million included in
the office space sector.
Although we have identified certain sectors that have the
potential to be more susceptible to negative impacts of the
COVID-19 pandemic, as trends largely continue to improve, we
continue to make prudent lending decisions that include these
sectors. For the year ended December 31, 2021, we originated $214.6
million loans in the at-risk sectors, including $101.9 million in
the hotel sector. These hotel sector credits are generally secured
by low to moderately leveraged real estate with solid operating
metrics and strong sponsorship, and are typically to existing
customers that have a track record of performance with the
bank.
Balance Sheet
Total assets decreased $13.7 million, or 0.3%, to $4.55 billion
at December 31, 2021 from $4.57 billion at September 30, 2021. The
decrease primarily reflects a decrease of $117.9 million in
short-term investments and a $31.4 million decrease in loans held
for sale, partially offset by increases of $152.6 million in net
loans and $3.5 million in securities available for sale. Short-term
investments were primarily used to fund the loan growth.
Net loans increased $152.6 million, or 4.5%, to $3.56 billion at
December 31, 2021 from $3.41 billion at September 30, 2021. The net
increase in loans for the three months ended December 31, 2021 was
primarily due to increases in commercial real estate loans of
$126.6 million, residential mortgage loans of $57.3 million, and
commercial and industrial loans of $6.8 million, partially offset
by decreases in commercial construction loans of $16.1 million and
consumer loans of $24.6 million. The decrease in commercial and
industrial loans is primarily due to forgiveness of PPP loans
during the quarter. Excluding the change in PPP loans, total
commercial loans increased $143.4 million, primarily due to an
increase in commercial real loans. The allowance for loan losses
was $45.4 million at December 31, 2021 and $48.0 million at
September 30, 2021, the change primarily reflecting a negative $1.4
million provision for loan losses and $1.2 million in net loan
charge-offs recorded in the fourth quarter.
Total deposits were $3.68 billion at December 31, 2021 and $3.69
billion at September 30, 2021. Compared to the prior quarter,
non-certificate accounts increased $20.2 million, and term
certificate accounts decreased $31.9 million. FHLB borrowings were
flat at $55.7 million at December 31, 2021 and September 30, 2021.
Three branches acquired from East Boston Savings Bank in Brighton,
Cambridge and Brookline were opened during the quarter. The opening
of an additional Brighton branch has been delayed due to a
permitting issue.
Total stockholders’ equity was $679.3 million at December 31,
2021, compared to $680.0 million at September 30, 2021 and $696.3
million at December 31, 2020. The Company adopted a third share
repurchase program on September 17, 2021 to repurchase up to
2,668,159 shares of the Company’s common stock, or approximately 5%
of the Company’s outstanding shares. The Company had repurchased
800,364 shares at an average price of $14.55 under the third share
repurchase program as of December 31, 2021. The tangible common
equity-to-tangible-assets ratio was 13.53% at December 31, 2021,
13.50% at September 30, 2021, and 14.11% at December 31, 2020. At
December 31, 2021, the Company and the Bank had strong capital
positions and exceeded all regulatory capital requirements.
About HarborOne Bancorp, Inc.
HarborOne Bancorp, Inc. is the holding company for HarborOne
Bank, a Massachusetts-chartered savings bank. HarborOne Bank serves
the financial needs of consumers, businesses, and municipalities
throughout Eastern Massachusetts and Rhode Island through a network
of 30 full-service branches located in Massachusetts and Rhode
Island, and a commercial lending office in each of Boston,
Massachusetts and Providence, Rhode Island. The Bank also provides
a range of educational services through “HarborOne U,” with classes
on small business, financial literacy and personal enrichment at
two campuses located adjacent to our Brockton and Mansfield
locations. HarborOne Mortgage, LLC, a subsidiary of HarborOne Bank,
is a full-service mortgage lender with more than 30 offices in
Massachusetts, Rhode Island, and New Hampshire, and is licensed to
lend in seven additional states.
Forward Looking Statements
Certain statements herein constitute forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Exchange Act and are intended to be
covered by the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. We may also make forward-looking
statements in other documents we file with the Securities and
Exchange Commission (“SEC”), in our annual reports to shareholders,
in press releases and other written materials, and in oral
statements made by our officers, directors or employees. Such
statements may be identified by words such as “believes,” “will,”
“would,” “expects,” “project,” “may,” “could,” “developments,”
“strategic,” “launching,” “opportunities,” “anticipates,”
“estimates,” “intends,” “plans,” “targets” and similar expressions.
These statements are based upon the current beliefs and
expectations of the Company’s management and are subject to
significant risks and uncertainties. Actual results may differ
materially from those set forth in the forward-looking statements
as a result of numerous factors. Factors that could cause such
differences to exist include, but are not limited to, ongoing
disruptions due to the COVID-19 pandemic and the measures taken to
contain its spread on our employees, customers, business
operations, credit quality, financial position, liquidity and
results of operations; changes in general business and economic
conditions on a national basis and in the local markets in which
the Company operates, including changes that adversely affect
borrowers’ ability to service and repay the Company’s loans;
changes in customer behavior; turbulence in the capital and debt
markets and the impact of such conditions on the Company’s business
activities; changes in interest rates; increases in loan default
and charge-off rates; changes related to the discontinuation and
replacement of LIBOR; decreases in the value of securities in the
Company’s investment portfolio; fluctuations in real estate values;
the possibility that future credit losses may be higher than
currently expected due to changes in economic assumptions, customer
behavior or adverse economic developments; the adequacy of loan
loss reserves; decreases in deposit levels necessitating increased
borrowing to fund loans and investments; competitive pressures from
other financial institutions; acquisitions may not produce results
at levels or within time frames originally anticipated; operational
risks including, but not limited to, cybersecurity incidents,
fraud, natural disasters, and future pandemics; changes in
regulation; reputational risk relating to the Company’s
participation in the Paycheck Protection Program and other
pandemic-related legislative and regulatory initiatives and
programs; changes in accounting standards and practices; the risk
that goodwill and intangibles recorded in the Company’s financial
statements will become impaired; demand for loans in the Company’s
market area; the Company’s ability to attract and maintain
deposits; risks related to the implementation of acquisitions,
dispositions, and restructurings; the risk that the Company may not
be successful in the implementation of its business strategy;
changes in assumptions used in making such forward-looking
statements and the risk factors described in the Annual Report on
Form 10‑K and Quarterly Reports on Form 10-Q as filed with the SEC,
which are available at the SEC’s website, www.sec.gov. Should one
or more of these risks materialize or should underlying beliefs or
assumptions prove incorrect, HarborOne’s actual results could
differ materially from those discussed. Readers are cautioned not
to place undue reliance on these forward-looking statements, which
speak only as of the date of this release. The Company disclaims
any obligation to publicly update or revise any forward-looking
statements to reflect changes in underlying assumptions or factors,
new information, future events or other changes, except as required
by law.
Use of Non-GAAP Measures
In addition to results presented in accordance with generally
accepted accounting principles (“GAAP”), this press release
contains certain non-GAAP financial measures. The Company’s
management believes that the supplemental non-GAAP information,
which consists of the tax equivalent basis for yields, the
efficiency ratio, tangible common equity to tangible assets ratio
and tangible book value per share is utilized by regulators and
market analysts to evaluate a company’s financial condition and
therefore, such information is useful to investors. These
disclosures should not be viewed as a substitute for financial
results determined in accordance with GAAP, nor are they
necessarily comparable to non-GAAP performance measures which may
be presented by other companies. Because non-GAAP financial
measures are not standardized, it may not be possible to compare
these financial measures with other companies’ non-GAAP financial
measures having the same or similar names.
Category: Earnings
HarborOne Bancorp,
Inc.
Consolidated Balance Sheet
Trend
(Unaudited)
December 31,
September 30,
June 30,
March 31,
December 31,
(in thousands)
2021
2021
2021
2021
2020
Assets
Cash and due from banks
$
35,549
$
42,589
$
41,328
$
37,074
$
31,777
Short-term investments
159,170
277,050
374,319
281,451
174,093
Total cash and cash equivalents
194,719
319,639
415,647
318,525
205,870
Securities available for sale, at fair
value
394,036
390,552
353,848
304,168
276,498
Federal Home Loan Bank stock, at cost
5,931
6,828
7,241
7,572
8,738
Asset held for sale
881
881
—
—
—
Loans held for sale, at fair value
45,642
77,052
103,886
210,494
208,612
Loans:
Commercial real estate
1,699,877
1,573,284
1,561,873
1,559,056
1,551,265
Commercial construction
136,563
152,685
107,585
112,187
99,331
Commercial and industrial
421,608
414,814
467,479
499,728
464,393
Total commercial loans
2,258,048
2,140,783
2,136,937
2,170,971
2,114,989
Residential real estate
1,217,980
1,160,689
1,096,370
1,062,229
1,105,823
Consumer
131,705
156,272
186,430
228,279
273,830
Loans
3,607,733
3,457,744
3,419,737
3,461,479
3,494,642
Less: Allowance for loan losses
(45,377
)
(47,988
)
(51,273
)
(55,384
)
(55,395
)
Net loans
3,562,356
3,409,756
3,368,464
3,406,095
3,439,247
Mortgage servicing rights, at fair
value
38,268
36,540
35,955
33,939
24,833
Goodwill
69,802
69,802
69,802
69,802
69,802
Other intangible assets
3,164
3,399
3,723
4,047
4,370
Other assets
238,606
252,645
257,856
251,316
245,645
Total assets
$
4,553,405
$
4,567,094
$
4,616,422
$
4,605,958
$
4,483,615
Liabilities and Stockholders'
Equity
Deposits:
Demand deposit accounts
$
743,051
$
756,917
$
800,118
$
777,959
$
689,672
NOW accounts
313,733
300,577
250,099
224,869
218,584
Regular savings and club accounts
1,138,979
1,144,595
1,123,123
1,113,450
998,994
Money market deposit accounts
858,970
832,441
832,006
861,867
866,661
Term certificate accounts
627,916
659,850
682,594
696,438
732,298
Total deposits
3,682,649
3,694,380
3,687,940
3,674,583
3,506,209
Short-term borrowed funds
—
—
—
—
35,000
Long-term borrowed funds
55,711
55,720
87,479
97,488
114,097
Subordinated debt
34,159
34,128
34,096
34,064
34,033
Other liabilities and accrued expenses
101,625
102,834
101,436
101,750
97,962
Total liabilities
3,874,144
3,887,062
3,910,951
3,907,885
3,787,301
Common stock
585
585
585
585
584
Additional paid-in capital
469,934
468,526
467,194
465,832
464,176
Unearned compensation - ESOP
(29,461
)
(29,921
)
(30,380
)
(30,840
)
(31,299
)
Retained earnings
325,699
315,683
305,831
294,116
277,312
Treasury stock
(85,859
)
(73,723
)
(38,588
)
(31,460
)
(16,644
)
Accumulated other comprehensive income
(loss)
(1,637
)
(1,118
)
829
(160
)
2,185
Total stockholders' equity
679,261
680,032
705,471
698,073
696,314
Total liabilities and stockholders'
equity
$
4,553,405
$
4,567,094
$
4,616,422
$
4,605,958
$
4,483,615
HarborOne Bancorp,
Inc.
Consolidated Statements of Net
Income - Trend
(Unaudited)
Quarters Ended
December 31,
September 30,
June 30,
March 31,
December 31,
(in thousands, except share data)
2021
2021
2021
2021
2020
Interest and dividend income:
Interest and fees on loans
$
34,177
$
33,680
$
34,106
$
33,860
$
35,274
Interest on loans held for sale
501
665
852
1,324
1,267
Interest on securities
1,541
1,293
793
585
1,064
Other interest and dividend income
134
170
136
78
115
Total interest and dividend income
36,353
35,808
35,887
35,847
37,720
Interest expense:
Interest on deposits
1,651
2,050
2,302
2,720
3,775
Interest on FHLB borrowings
193
431
531
552
671
Interest on subordinated debentures
524
524
524
523
524
Total interest expense
2,368
3,005
3,357
3,795
4,970
Net interest and dividend income
33,985
32,803
32,530
32,052
32,750
(Credit) provision for loan losses
(1,436
)
(1,627
)
(4,286
)
91
7,608
Net interest and dividend income, after
(credit) provision for loan losses
35,421
34,430
36,816
31,961
25,142
Noninterest income:
Mortgage banking income:
Gain on sale of mortgage loans
10,063
12,756
14,262
24,802
28,274
Changes in mortgage servicing rights fair
value
(245
)
(992
)
(2,552
)
3,409
(1,041
)
Other
3,359
3,882
4,075
4,515
4,522
Total mortgage banking income
13,177
15,646
15,785
32,726
31,755
Deposit account fees
4,783
4,658
4,546
3,852
3,667
Income on retirement plan annuities
109
108
106
104
106
Gain on sale and call of securities,
net
—
241
—
—
—
Bank-owned life insurance income
506
515
508
493
550
Other income
589
842
758
634
949
Total noninterest income
19,164
22,010
21,703
37,809
37,027
Noninterest expenses:
Compensation and benefits
24,564
24,760
25,146
27,454
27,122
Occupancy and equipment
4,923
4,765
4,702
5,256
4,545
Data processing
2,244
2,205
2,362
2,343
2,235
Loan expense
732
1,323
1,250
2,435
2,689
Marketing
1,120
880
831
813
640
Professional fees
1,443
1,362
1,487
1,583
1,252
Deposit insurance
345
341
332
320
320
Prepayment penalties on Federal Home Loan
Bank advances
—
1,095
—
—
—
Other expenses
2,817
2,543
2,488
2,598
2,483
Total noninterest expenses
38,188
39,274
38,598
42,802
41,286
Income before income taxes
16,397
17,166
19,921
26,968
20,883
Income tax provision
3,807
4,907
5,645
7,576
3,283
Net income
$
12,590
$
12,259
$
14,276
$
19,392
$
17,600
Earnings per common share:
Basic
$
0.26
$
0.25
$
0.28
$
0.37
$
0.33
Diluted
$
0.25
$
0.24
$
0.27
$
0.37
$
0.33
Weighted average shares outstanding:
Basic
48,918,539
49,801,123
51,778,293
52,537,409
53,947,868
Diluted
49,828,379
50,663,415
52,650,071
53,000,830
53,973,737
HarborOne Bancorp,
Inc.
Consolidated Statements of Net
Income
(Unaudited)
For the Years Ended December
31,
(dollars in thousands, except share
data)
2021
2020
$ Change
% Change
Interest and dividend income:
Interest and fees on loans
$
135,823
$
137,765
$
(1,942
)
(1.4
)%
Interest on loans held for sale
3,342
3,892
(550
)
(14.1
)
Interest on securities
4,212
5,613
(1,401
)
(25.0
)
Other interest and dividend income
518
1,288
(770
)
(59.8
)
Total interest and dividend income
143,895
148,558
(4,663
)
(3.1
)
Interest expense:
Interest on deposits
8,723
22,793
(14,070
)
(61.7
)
Interest on FHLB borrowings
1,707
3,604
(1,897
)
(52.6
)
Interest on subordinated debentures
2,095
2,095
—
0.0
Total interest expense
12,525
28,492
(15,967
)
(56.0
)
Net interest and dividend income
131,370
120,066
11,304
9.4
(Credit) provision for loan losses
(7,258
)
34,815
(42,073
)
(120.8
)
Net interest and dividend income, after
(credit) provision for loan losses
138,628
85,251
53,377
62.6
Noninterest income:
Mortgage banking income:
Gain on sale of mortgage loans
61,883
105,469
(43,586
)
(41.3
)
Changes in mortgage servicing rights fair
value
(380
)
(6,732
)
6,352
94.4
Other
15,831
15,172
659
4.3
Total mortgage banking income
77,334
113,909
(36,575
)
(32.1
)
Deposit account fees
17,839
14,018
3,821
27.3
Income on retirement plan annuities
427
414
13
3.1
Gain on sale and call of securities,
net
241
2,533
(2,292
)
(90.5
)
Bank-owned life insurance income
2,022
2,215
(193
)
(8.7
)
Other income
2,823
5,591
(2,768
)
(49.5
)
Total noninterest income
100,686
138,680
(37,994
)
(27.4
)
Noninterest expenses:
Compensation and benefits
101,924
105,615
(3,691
)
(3.5
)
Occupancy and equipment
19,646
17,841
1,805
10.1
Data processing
9,154
8,811
343
3.9
Loan expense
5,740
9,810
(4,070
)
(41.5
)
Marketing
3,644
3,390
254
7.5
Professional fees
5,875
5,456
419
7.7
Deposit insurance
1,338
1,180
158
13.4
Prepayment penalties on Federal Home Loan
Bank advances
1,095
—
1,095
100.0
Other expenses
10,446
13,819
(3,373
)
(24.4
)
Total noninterest expenses
158,862
165,922
(7,060
)
(4.3
)
Income before income taxes
80,452
58,009
22,443
38.7
Income tax provision
21,935
13,217
8,718
66.0
Net income
$
58,517
$
44,792
$
13,725
30.6
%
Earnings per common share:
Basic
$
1.15
$
0.82
Diluted
$
1.14
$
0.82
Weighted average shares outstanding:
Basic
50,746,302
54,313,368
Diluted
51,523,135
54,319,835
HarborOne Bancorp,
Inc.
Average Balances /
Yields
(Unaudited)
Quarters Ended
December 31, 2021
September 30, 2021
December 31, 2020
Average
Average
Average
Outstanding
Yield/
Outstanding
Yield/
Outstanding
Yield/
Balance
Interest
Cost (6)
Balance
Interest
Cost (6)
Balance
Interest
Cost (6)
(dollars in thousands)
Interest-earning assets:
Investment securities (1)
$
394,301
$
1,541
1.55
%
$
358,927
$
1,293
1.43
%
$
271,511
$
1,064
1.56
%
Other interest-earning assets
286,026
134
0.19
372,892
170
0.18
84,969
115
0.54
Loans held for sale
63,833
501
3.11
84,399
665
3.13
178,980
1,267
2.82
Loans
Commercial loans (2)
2,165,739
22,658
4.15
2,121,432
22,394
4.19
2,112,377
20,823
3.92
Residential real estate loans (2)
1,171,608
9,870
3.34
1,121,898
9,352
3.31
1,106,286
11,242
4.04
Consumer loans (2)
143,577
1,649
4.56
170,366
1,934
4.50
292,665
3,209
4.36
Total loans
3,480,924
34,177
3.90
3,413,696
33,680
3.91
3,511,328
35,274
4.00
Total interest-earning assets
4,225,084
36,353
3.41
4,229,914
35,808
3.36
4,046,788
37,720
3.71
Noninterest-earning assets
337,310
347,060
317,663
Total assets
$
4,562,394
$
4,576,974
$
4,364,451
Interest-bearing liabilities:
Savings accounts
$
1,147,855
247
0.09
$
1,136,131
365
0.13
$
968,766
621
0.26
NOW accounts
300,459
40
0.05
283,725
45
0.06
205,845
40
0.08
Money market accounts
839,977
307
0.15
832,340
392
0.19
840,674
710
0.34
Certificates of deposit
543,208
878
0.64
570,570
1,087
0.76
649,919
2,206
1.35
Brokered deposits
100,000
179
0.71
100,000
161
0.64
109,788
198
0.72
Total interest-bearing deposits
2,931,499
1,651
0.22
2,922,766
2,050
0.28
2,774,992
3,775
0.54
FHLB advances
55,714
193
1.37
84,438
431
2.03
119,763
671
2.23
Subordinated debentures
34,144
524
6.09
34,111
524
6.09
34,015
524
6.13
Total borrowings
89,858
717
3.17
118,549
955
3.20
153,778
1,195
3.09
Total interest-bearing liabilities
3,021,357
2,368
0.31
3,041,315
3,005
0.39
2,928,770
4,970
0.68
Noninterest-bearing
liabilities:
Noninterest-bearing deposits
768,361
756,927
656,227
Other noninterest-bearing liabilities
92,034
90,366
84,387
Total liabilities
3,881,752
3,888,608
3,669,384
Total stockholders' equity
680,642
688,366
695,067
Total liabilities and stockholders'
equity
$
4,562,394
$
4,576,974
$
4,364,451
Tax equivalent net interest income
33,985
32,803
32,750
Tax equivalent interest rate spread
(3)
3.10
%
2.97
%
3.03
%
Less: tax equivalent adjustment
—
—
-
Net interest income as reported
$
33,985
$
32,803
$
32,750
Net interest-earning assets (4)
$
1,203,727
$
1,188,599
$
1,118,018
Net interest margin (5)
3.19
%
3.08
%
3.22
%
Tax equivalent effect
—
—
—
Net interest margin on a fully tax
equivalent basis
3.19
%
3.08
%
3.22
%
Average interest-earning assets to average
interest-bearing liabilities
139.84
%
139.08
%
138.17
%
Supplemental information:
Total deposits, including demand
deposits
$
3,699,860
$
1,651
$
3,679,693
$
2,050
$
3,431,219
$
3,775
Cost of total deposits
0.18
%
0.22
%
0.44
%
Total funding liabilities, including
demand deposits
$
3,789,718
$
2,368
$
3,798,242
$
3,005
$
3,584,997
$
4,970
Cost of total funding liabilities
0.25
%
0.31
%
0.55
%
(1) Includes securities available for
sale. Interest income from tax exempt securities is computed on a
tax equivalent basis using a tax rate of 21%. There were no tax
exempt securities in the quarters presented.
(2) Includes nonaccruing loan balances and
interest received on such loans.
(3) Tax equivalent interest rate spread
represents the difference between the yield on average
interest-earning assets and the cost of average interest-bearing
liabilities.
(4) Net interest-earning assets represents
total interest-earning assets less total interest-bearing
liabilities.
(5) Net interest margin represents net
interest income divided by average total interest-earning
assets.
(6) Annualized.
HarborOne Bancorp,
Inc.
Average Balances /
Yields
(Unaudited)
Years Ended
December 31, 2021
December 31, 2020
Average
Average
Outstanding
Yield/
Outstanding
Yield/
Balance
Interest
Cost
Balance
Interest
Cost
(dollars in thousands)
Interest-earning assets:
Investment securities (1)
$
337,843
$
4,212
1.25
%
$
264,196
$
5,635
2.13
%
Other interest-earning assets
309,819
518
0.17
153,676
1,288
0.84
Loans held for sale
113,788
3,342
2.94
124,936
3,892
3.12
Loans
Commercial loans (2)
2,150,022
87,911
4.09
1,913,304
76,208
3.98
Residential real estate loans (2)
1,110,840
39,309
3.54
1,116,601
46,430
4.16
Consumer loans (2)
192,841
8,603
4.46
353,412
15,127
4.28
Total loans
3,453,703
135,823
3.93
3,383,317
137,765
4.07
Total interest-earning assets
4,215,153
143,895
3.41
3,926,125
148,580
3.78
Noninterest-earning assets
338,559
324,942
Total assets
$
4,553,712
$
4,251,067
Interest-bearing liabilities:
Savings accounts
$
1,115,626
1,610
0.14
$
849,239
3,342
0.39
NOW accounts
257,201
163
0.06
188,103
143
0.08
Money market accounts
846,756
1,676
0.20
832,131
5,245
0.63
Certificates of deposit
577,760
4,638
0.80
714,628
12,930
1.81
Brokered deposits
100,000
636
0.64
102,265
1,133
1.11
Total interest-bearing deposits
2,897,343
8,723
0.30
2,686,366
22,793
0.85
FHLB advances
84,711
1,707
2.02
192,059
3,604
1.88
Subordinated debentures
34,096
2,095
6.14
33,967
2,095
6.17
Total borrowings
118,807
3,802
3.20
226,026
5,699
2.52
Total interest-bearing liabilities
3,016,150
12,525
0.42
2,912,392
28,492
0.98
Noninterest-bearing
liabilities:
Noninterest-bearing deposits
754,198
576,128
Other noninterest-bearing liabilities
91,084
78,602
Total liabilities
3,861,432
3,567,122
Total stockholders' equity
692,280
683,945
Total liabilities and stockholders'
equity
$
4,553,712
$
4,251,067
Tax equivalent net interest income
131,370
120,088
Tax equivalent interest rate spread
(3)
2.99
%
2.80
%
Less: tax equivalent adjustment
—
22
Net interest income as reported
$
131,370
$
120,066
Net interest-earning assets (4)
$
1,199,003
$
1,013,733
Net interest margin (5)
3.12
%
3.06
%
Tax equivalent effect
—
—
Net interest margin on a fully tax
equivalent basis
3.12
%
3.06
%
Average interest-earning assets to average
interest-bearing liabilities
139.75
%
134.81
%
Supplemental information:
Total deposits, including demand
deposits
$
3,651,541
$
8,723
$
3,262,494
$
22,793
Cost of total deposits
0.24
%
0.70
%
Total funding liabilities, including
demand deposits
$
3,770,348
$
12,525
$
3,488,520
$
28,492
Cost of total funding liabilities
0.33
%
0.82
%
(1) Interest income from tax exempt
securities is computed on a tax equivalent basis using a tax rate
of 21%. The yield on investments before tax equivalent adjustments
was 2.12% for the year ended December 31, 2020.
(2) Includes nonaccruing loan balances and
interest received on such loans.
(3) Tax equivalent interest rate spread
represents the difference between the yield on average
interest-earning assets and the cost of average interest-bearing
liabilities.
(4) Net interest-earning assets represents
total interest-earning assets less total interest-bearing
liabilities.
(5) Net interest margin represents net
interest income divided by average total interest-earning
assets.
HarborOne Bancorp,
Inc.
Average Balances and Yield
Trend
(Unaudited)
Average Balances - Trend -
Quarters Ended
December 31, 2021
September 30, 2021
June 30, 2021
March 31, 2021
December 31, 2020
(in thousands)
Interest-earning assets:
Investment securities (1)
$
394,301
$
358,927
$
325,205
$
271,357
$
271,511
Other interest-earning assets
286,026
372,892
397,979
180,526
84,969
Loans held for sale
63,833
84,399
115,240
193,426
178,980
Loans
Commercial loans (2)
2,165,739
2,121,432
2,152,105
2,161,076
2,112,377
Residential real estate loans (2)
1,171,608
1,121,898
1,064,481
1,084,292
1,106,286
Consumer loans (2)
143,577
170,366
205,856
253,014
292,665
Total loans
3,480,924
3,413,696
3,422,442
3,498,382
3,511,328
Total interest-earning assets
4,225,084
4,229,914
4,260,866
4,143,691
4,046,788
Noninterest-earning assets
337,310
347,060
339,438
330,257
317,663
Total assets
$
4,562,394
$
4,576,974
$
4,600,304
$
4,473,948
$
4,364,451
Interest-bearing liabilities:
Savings accounts
$
1,147,855
$
1,136,131
$
1,118,494
$
1,058,820
$
968,766
NOW accounts
300,459
283,725
231,075
212,282
205,845
Money market accounts
839,977
832,340
853,586
861,518
840,674
Certificates of deposit
543,208
570,570
589,964
608,089
649,919
Brokered deposits
100,000
100,000
100,000
100,000
109,788
Total interest-bearing deposits
2,931,499
2,922,766
2,893,119
2,840,709
2,774,992
FHLB advances
55,714
84,438
96,823
102,383
119,763
Subordinated debentures
34,144
34,111
34,080
34,048
34,015
Total borrowings
89,858
118,549
130,903
136,431
153,778
Total interest-bearing liabilities
3,021,357
3,041,315
3,024,022
2,977,140
2,928,770
Noninterest-bearing
liabilities:
Noninterest-bearing deposits
768,361
756,927
784,521
706,274
656,227
Other noninterest-bearing liabilities
92,034
90,366
88,577
93,380
84,387
Total liabilities
3,881,752
3,888,608
3,897,120
3,776,794
3,669,384
Total stockholders' equity
680,642
688,366
703,184
697,154
695,067
Total liabilities and stockholders'
equity
$
4,562,394
$
4,576,974
$
4,600,304
$
4,473,948
$
4,364,451
Annualized Yield Trend -
Quarters Ended
December 31, 2021
September 30, 2021
June 30, 2021
March 31, 2021
December 31, 2020
Interest-earning assets:
Investment securities (1)
1.55
%
1.43
%
0.98
%
0.87
%
1.56
%
Other interest-earning assets
0.19
%
0.18
%
0.14
%
0.18
%
0.54
%
Loans held for sale
3.11
%
3.13
%
2.97
%
2.78
%
2.82
%
Commercial loans (2)
4.15
%
4.19
%
4.11
%
3.90
%
3.92
%
Residential real estate loans (2)
3.34
%
3.31
%
3.67
%
3.87
%
4.04
%
Consumer loans (2)
4.56
%
4.50
%
4.44
%
4.39
%
4.36
%
Total loans
3.90
%
3.91
%
4.00
%
3.93
%
4.00
%
Total interest-earning assets
3.41
%
3.36
%
3.38
%
3.51
%
3.71
%
Interest-bearing liabilities:
Savings accounts
0.09
%
0.13
%
0.17
%
0.21
%
0.26
%
NOW accounts
0.05
%
0.06
%
0.07
%
0.07
%
0.08
%
Money market accounts
0.15
%
0.19
%
0.20
%
0.26
%
0.34
%
Certificates of deposit
0.64
%
0.76
%
0.84
%
0.96
%
1.35
%
Brokered deposits
0.71
%
0.64
%
0.62
%
0.58
%
0.72
%
Total interest-bearing deposits
0.22
%
0.28
%
0.32
%
0.39
%
0.54
%
FHLB advances
1.37
%
2.03
%
2.20
%
2.19
%
2.23
%
Subordinated debentures
6.09
%
6.09
%
6.17
%
6.23
%
6.13
%
Total borrowings
3.17
%
3.20
%
3.23
%
3.20
%
3.09
%
Total interest-bearing liabilities
0.31
%
0.39
%
0.45
%
0.52
%
0.68
%
(1) Includes securities available for sale
and securities held to maturity.
(2) Includes nonaccruing loan balances and
interest received on such loans.
HarborOne Bancorp,
Inc.
Selected Financial
Highlights
(Unaudited)
Quarters Ended
December 31,
September 30,
June 30,
March 31,
December 31,
Performance Ratios
(annualized):
2021
2021
2021
2021
2020
(dollars in thousands)
Return on average assets (ROAA)
1.10
%
1.07
%
1.24
%
1.73
%
1.61
%
Return on average equity (ROAE)
7.40
%
7.12
%
8.12
%
11.13
%
10.13
%
Total noninterest expense
$
38,188
$
39,274
$
38,598
$
42,802
$
41,286
Less: Amortization of other intangible
assets
235
324
324
324
324
Total adjusted noninterest expense
$
37,953
$
38,950
$
38,274
$
42,478
$
40,962
Net interest and dividend income
$
33,985
$
32,803
$
32,530
$
32,052
$
32,750
Total noninterest income
19,164
22,010
21,703
37,809
37,027
Total revenue
$
53,149
$
54,813
$
54,233
$
69,861
$
69,777
Efficiency ratio (1)
71.41
%
71.06
%
70.57
%
60.80
%
58.70
%
(1) This non-GAAP measure represents
adjusted noninterest expense divided by total revenue
At or for the Quarters
Ended
December 31,
September 30,
June 30,
March 31,
December 31,
Asset Quality
2021
2021
2021
2021
2020
(dollars in thousands)
Total nonperforming assets
$
36,186
$
36,514
$
32,732
$
32,886
$
34,696
Nonperforming assets to total assets
0.79
%
0.80
%
0.71
%
0.71
%
0.77
%
Allowance for loan losses to total
loans
1.26
%
1.39
%
1.50
%
1.60
%
1.59
%
Net charge-offs
$
1,174
$
1,658
$
(175)
$
102
$
1,436
Annualized net charge-offs/average
loans
0.13
%
0.19
%
(0.02)
%
0.01
%
0.16
%
Allowance for loan losses to nonperforming
loans
125.60
%
131.50
%
158.10
%
171.20
%
162.40
%
HarborOne Bancorp,
Inc.
Selected Financial
Highlights
(Unaudited)
December 31,
September 30,
June 30,
March 31,
December 31,
Capital and Share Related
2021
2021
2021
2021
2020
(dollars in thousands, except share
data)
Common stock outstanding
52,390,478
53,232,110
55,735,623
56,228,762
57,205,458
Book value per share
$
12.97
$
12.77
$
12.66
$
12.41
$
12.17
Tangible common equity:
Total stockholders' equity
$
679,261
$
680,032
$
705,471
$
698,073
$
696,314
Less: Goodwill
69,802
69,802
69,802
69,802
69,802
Less: Other intangible assets (1)
3,164
3,399
3,723
4,047
4,370
Tangible common equity
$
606,295
$
606,831
$
631,946
$
624,224
$
622,142
Tangible book value per share (2)
$
11.57
$
11.40
$
11.34
$
11.10
$
10.88
Tangible assets:
Total assets
$
4,553,405
$
4,567,094
$
4,616,422
$
4,605,958
$
4,483,615
Less: Goodwill
69,802
69,802
69,802
69,802
69,802
Less: Other intangible assets
3,164
3,399
3,723
4,047
4,370
Tangible assets
$
4,480,439
$
4,493,893
$
4,542,897
$
4,532,109
$
4,409,443
Tangible common equity / tangible assets
(3)
13.53
%
13.50
%
13.91
%
13.77
%
14.11
%
(1) Other intangible assets are core
deposit intangibles.
(2) This non-GAAP ratio is total
stockholders' equity less goodwill and intangible assets divided by
common stock outstanding.
(3) This non-GAAP ratio is total
stockholders' equity less goodwill and intangible assets to total
assets less goodwill and intangible assets.
HarborOne Bancorp,
Inc.
Segments Statements of Net
Income
(Unaudited)
HarborOne Mortgage
HarborOne Bank
For the Quarter Ended
For the Quarter Ended
December 31,
September 30,
December 31,
December 31,
September 30,
December 31,
2021
2021
2020
2021
2021
2020
(in thousands)
Net interest and dividend income
$
571
$
792
$
1,215
$
33,909
$
32,494
$
31,969
Provision for loan losses
—
—
—
(1,436
)
(1,627
)
7,608
Net interest and dividend income, after
provision for loan losses
571
792
1,215
35,345
34,121
24,361
Mortgage banking income:
Gain on sale of mortgage loans
10,063
12,756
28,274
—
—
—
Intersegment gain (loss)
496
2,366
704
(720
)
(1,373
)
(704
)
Changes in mortgage servicing rights fair
value
(315
)
(918
)
(679
)
70
(74
)
(362
)
Other
3,108
3,619
4,193
251
263
329
Total mortgage banking income (loss)
13,352
17,823
32,492
(399
)
(1,184
)
(737
)
Other noninterest income (loss)
7
25
3
5,980
6,339
5,269
Total noninterest income
13,359
17,848
32,495
5,581
5,155
4,532
Noninterest expense
10,467
12,387
18,470
27,396
26,570
22,548
Income before income taxes
3,463
6,253
15,240
13,530
12,706
6,345
Provision for income taxes
664
1,559
4,297
3,060
3,575
(1,672
)
Net income
$
2,799
$
4,694
$
10,943
$
10,470
$
9,131
$
8,017
HarborOne Mortgage
HarborOne Bank
For the Years Ended
For the Years Ended
December 31,
December 31,
December 31,
December 31,
2021
2020
2021
2020
(in thousands)
Net interest and dividend income
$
3,468
$
3,235
$
129,785
$
118,217
Provision for loan losses
—
—
(7,258
)
34,815
Net interest and dividend income, after
provision for loan losses
3,468
3,235
137,043
83,402
Mortgage banking income:
Gain on sale of mortgage loans
61,883
105,469
—
—
Intersegment gain (loss)
4,434
3,148
(3,665
)
(3,148
)
Changes in mortgage servicing rights fair
value
(243
)
(4,356
)
(137
)
(2,376
)
Other
14,741
13,812
1,090
1,360
Total mortgage banking income (loss)
80,815
118,073
(2,712
)
(4,164
)
Other noninterest income (loss)
44
(138
)
23,308
24,909
Total noninterest income
80,859
117,935
20,596
20,745
Noninterest expense
55,012
66,393
102,557
98,354
Income before income taxes
29,315
54,777
55,082
5,793
Provision (benefit) for income taxes
7,569
12,964
14,933
527
Net income
$
21,746
$
41,813
$
40,149
$
5,266
HarborOne Bancorp,
Inc.
COVID Loans at Risk as of
December 31, 2021
(Unaudited)
At Risk Sectors
Percent
Total
at risk
at risk
Total
sector
Retail
Office Space
Hotels
Restaurants
Recreation
sectors
loans
to total
(dollars in thousands)
Commercial real estate
$
221,197
$
189,704
$
229,733
$
16,331
$
14,583
$
671,548
$
1,699,877
39.5
%
Commercial and industrial
30,472
13,075
2,982
28,071
4,781
79,381
421,608
18.8
Commercial construction
20,330
1,028
8,980
18,196
707
49,241
136,563
36.1
Total
$
271,999
$
203,807
$
241,695
$
62,598
$
20,071
$
800,170
$
2,258,048
35.4
%
Outstanding principal, active commercial
deferrals
$
—
$
—
$
—
$
—
$
—
$
—
$
2,258,048
—
%
Outstanding principal, expired and
delinquent commercial deferrals
$
—
$
515
$
2,202
$
—
$
—
$
2,717
$
2,258,048
0.1
%
PPP loans, net of fees
$
1,111
$
—
$
1,266
$
3,590
$
1,596
$
7,563
$
26,054
29.0
%
Nonaccrual loans
$
387
$
8,843
$
10,872
$
334
$
—
$
20,436
$
36,133
56.6
%
New loan originations within the sector
year to date*
$
48,787
$
31,535
$
101,949
$
24,500
$
7,813
$
214,584
$
2,258,048
9.5
%
*Balance represents original amount and
includes unadvanced amounts on lines of credit and construction
loans
View source
version on businesswire.com: https://www.businesswire.com/news/home/20220126005897/en/
Linda Simmons, EVP, CFO 617 895-1379
HarborOne Bancorp (NASDAQ:HONE)
Historical Stock Chart
From Jun 2024 to Jul 2024
HarborOne Bancorp (NASDAQ:HONE)
Historical Stock Chart
From Jul 2023 to Jul 2024