HarborOne Bancorp, Inc. has announced its fourth-quarter and full-year financial results for 2024. The company reported a net income of $8.9 million, or $0.21 per diluted share for the fourth quarter, which is a significant increase of $5.0 million, or 126.5%, compared to the net income of $3.9 million, or $0.10 per diluted share, in the third quarter of 2024.
For the full year ending December 31, 2024, the company reported a net income of $27.4 million, or $0.66 per diluted share, compared to $16.1 million, or $0.37 per diluted share, for the prior year, marking an increase of $11.3 million, or 70.5%.
In terms of financial highlights for the fourth quarter, the net interest margin remained flat at 2.36% on a linked-quarter basis. The average deposits, excluding brokered deposits, increased by $62.9 million, or 6.1% annualized. The loans-to-deposits ratio improved by 94 basis points during the quarter, from 107.57% to 106.63%.
Noninterest income increased by $3.1 million, or 29.5%, to $13.7 million, compared to $10.6 million in the previous quarter. The company's HarborOne Mortgage, LLC generated a net income of $1.1 million, compared to a loss of $1.1 million on a linked-quarter basis.
On a linked-quarter basis, total noninterest expense increased by $605,000, or 1.9%, to $32.9 million, compared to $32.3 million in the previous quarter.
Looking at the balance sheet, total assets decreased by $22.8 million, or 0.4%, to $5.75 billion from $5.78 billion. Loans declined by $27.0 million, or 0.6%, to $4.85 billion from $4.88 billion in the previous quarter.
For the full year, loan growth of $102.2 million, or 2.2%, was funded by client deposit growth of $88.5 million, or 2.2%. The loans-to-deposits ratio improved to 106.63% at December 31, 2024, from 108.27% at December 31, 2023.
In terms of asset quality and allowance for credit losses, the company recorded a $1.9 million provision for credit losses for the fourth quarter, compared to a provision of $5.9 million in the third quarter of 2024.
Total nonperforming assets were $29.5 million at December 31, 2024, compared to $28.4 million at September 30, 2024, and $17.6 million at December 31, 2023. The provision for loan credit losses was primarily due to a further specific reserve allocation for a previously identified classified commercial real estate loan, qualitative factor adjustments, and a decrease in loan balances.
HarborOne Bancorp, Inc. also highlighted that during 2024, the company continued to implement and execute share repurchase programs, repurchasing 1,895,980 shares at an average price of $11.15, including $0.10 per share of excise tax.
Following these announcements, the company's shares moved -3.6%, and are now trading at a price of $11.63. For the full picture, make sure to review HarborOne Bancorp's 8-K report.
