Company: HBCP
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001436425-25-000036
Chunk: 15

Company: HOME BANCORP, INC.
Filing Date: 2025-08-01
Form: 10-Q
Item: Item 2
Chunk 15
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 6 of the Consolidated Financial Statements for more information on the effects of the derivative financial instruments on the consolidated financial statements.

To meet the financing needs of its customers, the Company issues financial instruments which represent conditional obligations that are not recognized, wholly or in part, in the statements of financial condition. These financial instruments include commitments to extend credit and standby letters of credit. Such instruments expose the Company to varying degrees of credit and interest rate risk in much the same way as funded loans. The same credit policies are used in these commitments as for on-balance sheet instruments. At both June 30, 2025 and December 31, 2024, the Company's allowance for credit losses on unfunded commitments totaled $1.7 million and $2.7 million, respectively.

The following table summarizes our outstanding commitments to originate loans and to advance additional amounts pursuant to outstanding letters of credit, lines of credit and undisbursed construction loans as of the periods indicated.

 Contract Amount(dollars in thousands)June 30, 2025December 31, 2024Standby letters of credit$6,121 $6,502 Available portion of lines of credit469,065 488,930 Undisbursed portion of loans in process72,543 76,424 Commitments to originate loans155,614 161,482 

Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to be drawn upon, the total commitment amounts generally represent future cash requirements.

Unfunded commitments under commercial lines of credit, revolving credit lines and overdraft protection agreements are commitments for possible future extensions of credit to existing customers. These lines of credit usually do not contain a specified maturity date and may not be drawn upon to the total extent to which the Company is committed.

The Company is subject to certain claims and litigation arising in the ordinary course of business. In the opinion of management, after consultation with legal counsel, the ultimate disposition of these matters is not expected to have a material effect on the financial condition or results of operations of the Company.

RESULTS OF OPERATIONS

Net income for the second quarter of 2025 was $11.3 million, up $3.2 million, or 39.6%, compared to the second quarter of 2024. Diluted EPS for the second