Heritage Commerce (HTBK) Reports Q1 Earnings: What Key Metrics Have to Say

Heritage Commerce (HTBK) reported $42.14 million in revenue for the quarter ended March 2024, representing a year-over-year decline of 19%. EPS of $0.17 for the same period compares to $0.31 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $43.83 million, representing a surprise of -3.86%. The company delivered an EPS surprise of -10.53%, with the consensus EPS estimate being $0.19.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Heritage Commerce performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

• Net Interest Margin [%]: 3.3% compared to the 3.4% average estimate based on three analysts.

• Efficiency Ratio: 65.3% versus the three-analyst average estimate of 60.8%.

• Total Non-Performing - Loan: $7.87 million compared to the $8.06 million average estimate based on two analysts.

• Total Non-Performing - Assets: $7.87 million versus $8.06 million estimated by two analysts on average.

• Average Balances-Interest earning assets: $4.84 billion versus the two-analyst average estimate of $4.98 billion.

• Net Interest Income: $40.09 million versus the three-analyst average estimate of $41.74 million.

• Total Non Interest Income: $2.05 million versus the three-analyst average estimate of $2.09 million.

• Net Interest Income (FTE): $40.15 million compared to the $41.74 million average estimate based on two analysts.

View all Key Company Metrics for Heritage Commerce here>>>

Shares of Heritage Commerce have returned -2% over the past month versus the Zacks S&P 500 composite's -3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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