Hingham Institution for Savings Q2 Net Income Rises 129%, Core Income Up 239%

Hingham Institution for Savings reported a 129% increase in Q2 net income and a 239% rise in core income. The bank offers business banking solutions, including personalized service and digital tools, to customers such as property managers, startups, and nonprofits. Its personal banking services include checking, deposit rates, and residential mortgages. Business banking services include business checking, commercial real estate lending, and cash management.

Hingham Institution for Savings (NASDAQ: HIFS), based in Hingham, Massachusetts, announced its second quarter 2025 financial results, showcasing robust growth in both net income and core income. The bank reported a net income of $9,414,000 or $4.32 per share basic and $4.28 per share diluted, representing a 127.7% increase compared to the same period last year [1]. Core net income, excluding gains on equity securities, reached $7,453,000 or $3.42 per share basic and $3.39 per share diluted, marking a 239.0% rise from the previous year [1].

The bank's annualized return on average equity for the second quarter of 2025 was 8.43%, up from 3.92% in the same period last year, while the annualized return on average assets increased to 0.85% from 0.38% [1]. These improvements were driven by a 16 basis point increase in the net interest margin, which reached 1.66% for the quarter [1].

Hingham Institution for Savings offers a comprehensive suite of business banking solutions, including personalized service and digital tools, tailored to property managers, startups, and nonprofits. Its personal banking services encompass checking accounts, deposit rates, and residential mortgages, while business banking services include business checking, commercial real estate lending, and cash management [1].

The bank's balance sheet demonstrated stability, with total assets increasing to $4.539 billion, a 3.7% annualized growth year-to-date [1]. Net loans reached $3.932 billion, showing a 3.0% annualized growth year-to-date [1]. Retail and commercial deposits totaled $1.998 billion, with non-interest-bearing deposits growing by 20.2% year-to-date [1]. Wholesale funds, including Federal Home Loan Bank (FHLB) borrowings, brokered deposits, and Internet listing service time deposits, amounted to $2.052 billion, representing a 6.0% annualized growth year-to-date [1].

Hingham Institution for Savings has maintained an additional $802.8 million in immediately available borrowing capacity at the FHLB of Boston and the Federal Reserve Bank, along with $360.6 million in cash and cash equivalents as of June 30, 2025 [1]. The bank's book value per share increased to $204.36, representing a 6.4% annualized growth year-to-date [1]. The Bank declared a regular cash dividend of $0.63 per share on June 25, 2025, to be paid on August 13, 2025 [1].

Operational performance metrics remained strong, with non-performing assets totaling 0.70% of total assets and non-performing loans as a percentage of the total loan portfolio reaching 0.81% at June 30, 2025 [1]. The efficiency ratio decreased to 41.17% for the second quarter of 2025, indicating improved operational efficiency [1].

In conclusion, Hingham Institution for Savings' Q2 2025 results highlight the bank's strong performance and strategic focus on growth and operational efficiency. The bank's robust financial position and commitment to personalized service and digital tools position it well for continued success.

References:
[1] https://www.marketscreener.com/quote/stock/HINGHAM-INSTITUTION-FOR-S-9548/news/Hingham-Institution-for-Savings-ER-PRESS-RELEASE-Q2-2025-50493314/