HomeStreet, Inc. - HMST STOCK NEWS

HomeStreet (Nasdaq: HMST) has scheduled its fourth quarter 2024 analyst earnings conference call for Tuesday, January 28, 2025, at 1:00 p.m. ET. Chairman, President and CEO Mark K. Mason and Executive Vice President and CFO John M. Michel will lead the discussion, covering Q4 2024 results and recent company updates.

Participants can join through the online registration link or dial 1-833-470-1428 using Access Code 651499. A rebroadcast will be available approximately one hour after the call by dialing 1-866-813-9403 with passcode 729493. The earnings information will be posted on the company's website after market close on Monday, January 27, 2025.

HomeStreet Bank has completed the sale of $990 million in multifamily commercial real estate loans, retaining the servicing rights. The transaction was executed at approximately 92% of the loans' principal balance, including the value of retained servicing. The company utilized nearly all proceeds from the sale to reduce its Federal Home Loan Bank borrowings.

HomeStreet Bank (Nasdaq:HMST) has announced an agreement to sell $990 million of multifamily commercial real estate loans to Bank of America. The transaction, expected to close before December 31, 2024, will be executed on a servicing retained basis at 92% of the loans' principal balance. The sale is part of a new strategic plan aimed at returning the company to profitability in early 2025. The proceeds will be used to pay down Federal Home Loan Bank advances and brokered deposits, which currently carry higher interest rates than core deposits.

FirstSun Capital Bancorp and HomeStreet, Inc. announced that regulatory approvals necessary for their planned merger have not been obtained, with regulators requesting FirstSun and Sunflower Bank to withdraw their merger applications. The companies are now discussing alternative regulatory structures for the merger, while also considering terms for potential termination if no alternative is feasible. HomeStreet confirmed no specific regulatory concerns were related to their operations. FirstSun cited a more challenging external environment for bank mergers as a contributing factor, particularly following industry events earlier this year.

HomeStreet announced it will host its third quarter 2024 earnings conference call on Wednesday, October 30, 2024, at 1:00 p.m. ET. Chairman, President and CEO Mark K. Mason and Executive Vice President and CFO John M. Michel will discuss Q3 2024 results and provide updates on recent events, followed by an analyst Q&A session. The earnings information will be available on the company's website after market close on Tuesday, October 29, 2024. Participants can register in advance online or join by dialing 1-646-307-1963 or 1-800-715-9871 using Access Code 7202613.

HomeStreet (Nasdaq: HMST) reported financial results for Q3 2024, showing a net loss of $7.3 million ($0.39 per share), compared to a $6.2 million loss in Q2. The net interest margin declined to 1.33% from 1.37%. Total deposits, excluding brokered deposits, increased by $111 million, while loans held for investment decreased by $46 million. Nonperforming assets to total assets rose slightly to 0.47%. The company's tangible book value per share was $28.13, and uninsured deposits represented 8% of total deposits. Management expects funding costs to decrease and interest margin to improve in Q4 due to recent decreases in short-term rates.

HomeStreet Inc. (HMST) reported its Q2 2024 financial results, showing a net loss of $6.2 million ($0.33 per share), an improvement from Q1's $7.5 million loss. The core net loss was $4.3 million ($0.23 per share). Key highlights include:

- Net interest margin declined to 1.37% due to increased funding costs
- Noninterest income increased by $3.8 million
- Noninterest expenses decreased by $1.2 million
- Full-time equivalent employees reduced to 840 from 858
- Total deposits (excluding brokered) increased by $13 million
- Loans held for investment decreased by $65 million
- Nonperforming assets to total assets improved to 0.42% from 0.56%
- Delinquencies decreased to 0.66% from 0.82%

The company noted stabilizing deposit trends and strong asset quality, with no significant credit issues identified in the loan portfolio.

Blue Lion Capital, which owns 1.3% of HomeStreet (HMST) stock, has called for the company's board to remove $19.6 million in Change in Control (CIC) payments to executives as part of the FirstSun Capital Bancorp (FSUN) merger. FSUN had encouraged HomeStreet's CEO Mark Mason to hedge interest rate risks, which he refused. Subsequent rate increases led to a decline in the value of HomeStreet's portfolios. This resulted in an amended merger agreement on April 30, reducing the consideration for HomeStreet shareholders by $30.5 million. Shareholders recently voted against the CIC payments, although the vote was non-binding. Blue Lion is advocating for the board to honor shareholders' wishes and eliminate the CIC payments.

HomeStreet, a diversified financial services company, has announced that its shareholders have approved the merger agreement with FirstSun Capital Bancorp. The preliminary vote shows strong support for the merger, which was initially signed on January 16, 2024, and amended on April 30, 2024. The final voting results from the June 18, 2024, shareholder meeting will be available on June 20, 2024, via the Company's Form 8-K. According to Mark Mason, the merger is expected to present a unique investment opportunity despite current challenges in the banking sector. The merger, pending regulatory approval, aims to bring significant benefits to shareholders.