Hilltop Holdings reports Q4 EPS 55c, consensus 28c

Reports Q4 net interest margin decreased to 2.72% vs. 2.84% in Q3. Book value per common share increased to $33.71 at December 31, 2024, compared to $33.51 at September 30. Common Equity Tier 1 Capital Ratio was 21.23% at December 31. CEO Jeremy Ford said, “Over the course of 2024, Hilltop adapted to a new operating environment as the Federal Reserve cut interest rates for the first time since the spring of 2020, and we delivered a year over year increase in pre-tax profitability. During Q4, PlainsCapital Bank grew customer deposit balances and improved loan pipeline pull through rates. HilltopSecurities capitalized on tailwinds in its Structured Finance and Wealth Management business lines to deliver a pre-tax margin of 16%. PrimeLending realized a 24% increase in origination volume, when compared to Q4 2023, but continued to face a challenging mortgage market due to a lack of inventory and stressed affordability for potential home buyers. As we enter 2025, we remain focused on protecting our balance sheet and executing on our strategic plan to further build on Hilltop’s franchise value by serving our customers and the communities in which we operate.”