HBT Financial Q1 Adjusted EPS $0.68 as NIM Climbs to 4.25% After CNB Merger
HBT Financial reported first-quarter net income of $11.2 million ($0.34/share) and adjusted net income of $22.6 million ($0.68/share), with adjusted ROAA of 1.60% and NIM rising 9 basis points to 4.25%. The March 1 merger with CNB added $1.8 billion in assets, $1.3 billion in loans and incurred $15.7 million in integration expenses.
1. First Quarter Financial Performance
HBT Financial posted GAAP net income of $11.2 million, or $0.34 per diluted share, down from $19.1 million ($0.60/share) in Q1 2025. Adjusted net income rose to $22.6 million, or $0.68 per share, delivering adjusted ROAA of 1.60%, adjusted ROAE of 13.67% and adjusted ROATCE of 15.89%. Tangible book value per share was $17.01, a 1.1% decline sequentially but up 10.2% year over year.
2. CNB Bank Merger Completion
On March 1, HBT Financial closed its acquisition of CNB Bank Shares, adding $1.8 billion in total assets, $1.3 billion in loans held for investment and $1.5 billion in deposits. Aggregate consideration totaled $182.1 million—$33.8 million in cash and 5.5 million shares—resulting in $23.7 million of goodwill. Core system conversion was completed in March, with integration expenses of $15.7 million booked in Q1.
3. Net Interest Margin and Asset Quality
Net interest income increased to $56.4 million, up 11.6% sequentially and 15.8% year over year, driven by higher interest-earning asset balances. Net interest margin rose 8 basis points to 4.20% and 9 basis points tax-equivalent to 4.25%. Asset quality remained strong with nonperforming assets at 0.21% of total assets and net charge-offs at 0.08% annualized.