Heritage Financial Announces Strong Fourth Quarter and Annual 2024 Results and Increases Dividend

Heritage Financial Corporation (Nasdaq GS: HFWA) released its financial results for the fourth quarter and full year of 2024, reporting a net income of $11.9 million for the quarter, compared to $11.4 million in the previous quarter and $6.2 million for the same quarter in 2023. Diluted earnings per share for the fourth quarter of 2024 were $0.34, showing improvement compared to the third quarter of 2024 and the fourth quarter of 2023.

Net income for the year ended 2024 totaled $43.3 million, or $1.24 per diluted share, a decrease from $61.8 million, or $1.75 per diluted share, for the year ended 2023.

The fourth quarter of 2024 saw the company incurring a pre-tax loss of $3.9 million on the sale of investment securities as part of strategic balance sheet repositioning, resulting in a reduction of $0.09 per share. Additionally, expenses related to the restructuring of the bank-owned life insurance portfolio led to a further reduction of $0.08 per share.

The company experienced strong loan growth, improved net interest margin, and reduced deposit costs over the quarter. Despite the actions affecting reported earnings, the company’s CEO, Jeff Deuel, expressed optimism about the strategic repositioning efforts, emphasizing the positive impact on core earnings and long-term shareholder returns.

Financial highlights for the quarter ended December 31, 2024, included an increase in loans receivable, net interest margin reaching 3.39%, and a decrease in the cost of total deposits. The company declared a regular cash dividend of $0.24 per share, indicating a 4.3% increase from the previous quarter.

Heritage Financial maintained capital levels exceeding regulatory requirements, being classified as “well-capitalized” at the end of December 2024.

The company will be hosting a conference call on January 23, 2025, to discuss these results. Shares for Heritage Financial are traded on the Nasdaq Global Select Market under the symbol “HFWA”.

For more information about Heritage Financial Corporation and Heritage Bank, visit their websites at www.hf-wa.com and www.heritagebanknw.com.

Contact:
Jeff Deuel, Chief Executive Officer, (360) 943-1500
Don Hinson, Executive Vice President and Chief Financial Officer, (360) 943-1500

Heritage Financial’s forward-looking statements caution the readers not to place undue reliance on them, given the uncertain nature of future events that could impact actual results compared to the projected outcomes.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Heritage Financial’s 8K filing here.

About Heritage Financial

Heritage Financial Corporation operates as the bank holding company for Heritage Bank that provides various financial services to small and medium sized businesses and individuals in the United States. It accepts various deposit products, such as noninterest demand deposits, interest bearing demand deposits, money market accounts, savings accounts, personal checking accounts, and certificates of deposit.