Heritage Commerce | 10-Q: FY2025 Q3 Revenue: USD 68.31 M

Revenue: As of FY2025 Q3, the actual value is USD 68.31 M.

EPS: As of FY2025 Q3, the actual value is USD 0.24, beating the estimate of USD 0.21.

EBIT: As of FY2025 Q3, the actual value is USD -26.23 M.

Segment Revenue

• Banking Segment: The primary revenue source is interest income from loans, which amounted to $146,110 thousand for the nine months ended September 30, 2025, compared to $135,851 thousand for the same period in 2024.
• Factoring Segment: Revenue details specific to the factoring segment are not explicitly provided in the reference.

Operational Metrics

• Net Income: For the nine months ended September 30, 2025, net income was $32,713 thousand, an increase from $29,907 thousand in the same period in 2024.
• Operating Costs: Total noninterest expense for the nine months ended September 30, 2025, was $96,817 thousand, compared to $83,279 thousand for the same period in 2024.

Cash Flow

• Operating Cash Flow: Net cash provided by operating activities was $41,703 thousand for the nine months ended September 30, 2025, compared to $23,152 thousand for the same period in 2024.
• Free Cash Flow: Not explicitly detailed in the reference.

Unique Metrics

• Allowance for Credit Losses: The allowance for credit losses on loans was $49,427 thousand as of September 30, 2025, compared to $48,953 thousand as of December 31, 2024.

Future Outlook and Strategy

• Core Business Focus: The company plans to continue its focus on maintaining a strong credit quality and managing its loan portfolio effectively. The allowance for credit losses is a key focus area, with adjustments made based on the economic environment and loan performance.
• Non-Core Business: The company has a share repurchase program in place, with an authorization to repurchase up to $30,000,000 of its common stock, indicating a focus on returning value to shareholders.