Despite a 38% year-over-year increase in net interest income to $22.1 million in 2026Q1, the bank's profitability remains constrained by a suppressed 0.5% net interest margin.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Net Interest Income | 80.5M | 74.41M | 44.37M | 48.3M | 106.13M | 102.47M | 85.2M | 66.9M | 65.78M | 63.8M | 58.38M | 50.95M | 46.26M | 38.84M | 37.89M | 35.83M | 31.73M | 27.2M | 21.33M | 16.03M | 15.88M | 18.03M | 17M | 16.52M | 15.38M | 13.47M | 11.84M | 10.29M | 8.9M | 8.2M | 7M |
| NII Growth % | 236.63% | 67.68% | -8.13% | -54.49% | 3.58% | 20.26% | 27.36% | 1.7% | 3.11% | 9.27% | 14.59% | 10.14% | 19.1% | 2.5% | 5.77% | 12.92% | 16.65% | 27.52% | 33.07% | 0.95% | -11.94% | 6.07% | 2.87% | 7.44% | 14.17% | 13.76% | 15.06% | 15.63% | 8.54% | 17.14% | 12.9% |
| Net Interest Margin % | 1.77% | 1.64% | 1% | 1.08% | 2.53% | 2.99% | 2.98% | 2.58% | 2.73% | 2.79% | 2.9% | 2.88% | 2.98% | 2.86% | 3.14% | 3.18% | 3.12% | 2.94% | 2.65% | 2.15% | 2.3% | 2.87% | 3.11% | 3.41% | 3.61% | 3.49% | 3.5% | 3.53% | 3.42% | 3.68% | 3.47% |
| Interest Income | 208.82M | 206.83M | 195.9M | 174.26M | 139.03M | 110.49M | 106.36M | 106.95M | 94.17M | 81.06M | 71.77M | 61.86M | 56.19M | 49.34M | 48.83M | 48.44M | 46.83M | 44.8M | 43.31M | 42.1M | 37.09M | 30.42M | 26.15M | 25.56M | 25.8M | 26.04M | 23.9M | 20.26M | 18.2M | 16.4M | 14M |
| Interest Expense | 128.32M | 132.43M | 151.52M | 125.96M | 32.89M | 8.03M | 21.16M | 40.05M | 28.38M | 17.26M | 13.38M | 10.91M | 9.94M | 10.5M | 10.94M | 12.62M | 15.1M | 17.6M | 21.98M | 26.07M | 21.21M | 12.39M | 9.15M | 9.04M | 10.42M | 12.57M | 12.11M | 9.97M | 9.3M | 8.2M | 7M |
| Loan Loss Provision | 1.23M | 1.02M | 328K | 1.12M | 4.51M | 3.03M | 2.29M | 1.57M | 1.27M | 1.5M | 1.14M | 625K | 625K | 380K | 725K | 1.1M | 1.3M | 1.7M | 805K | 322K | 287K | 244K | 80K | 182K | 200K | 240K | 284K | 200K | 200K | 200K | 100K |
| Non-Interest Income | 18.69M | 29.92M | 21.48M | 16.26M | -20.72M | 12.97M | 8.97M | 8.83M | -1.74M | 1.41M | 1.74M | 1.48M | 7.86M | 1.6M | 1.64M | 1.7M | 1.63M | 2.01M | 1.66M | 1.71M | 1.69M | 1.6M | 1.56M | 1.75M | 1.61M | 1.02M | 907K | 734K | 700K | 600K | 600K |
| Non-Interest Income % | 8.22% | 12.64% | 9.88% | 8.53% | -17.51% | 10.51% | 7.78% | 7.62% | -1.88% | 1.71% | 2.36% | 2.34% | 12.28% | 3.15% | 3.25% | 3.39% | 3.36% | 4.29% | 3.7% | 3.9% | 4.37% | 4.99% | 5.65% | 6.42% | 5.86% | 3.79% | 3.66% | 3.5% | 3.7% | 3.53% | 4.11% |
| Total Revenue | 227.51M | 236.76M | 217.38M | 190.52M | 118.31M | 123.46M | 115.34M | 115.78M | 92.43M | 82.47M | 73.5M | 63.34M | 64.06M | 50.95M | 50.47M | 50.14M | 48.45M | 46.81M | 44.97M | 43.81M | 38.78M | 32.02M | 27.72M | 27.31M | 27.41M | 27.07M | 24.8M | 20.99M | 18.9M | 17M | 14.6M |
| Revenue Growth % | 21.51% | 8.92% | 14.09% | 61.04% | -4.17% | 7.05% | -0.38% | 25.26% | 12.08% | 12.2% | 16.04% | -1.11% | 25.73% | 0.95% | 0.65% | 3.49% | 3.52% | 4.08% | 2.66% | 12.96% | 21.13% | 15.51% | 1.48% | -0.35% | 1.26% | 9.12% | 18.15% | 11.07% | 11.18% | 16.44% | 15.87% |
| Non-Interest Expense | 30.83M | 30.55M | 29.01M | 28.21M | 26.59M | 19.74M | 21.76M | 20.61M | 20.05M | 19.58M | 19.21M | 19.03M | 20.09M | 17.45M | 16.41M | 16.09M | 14.98M | 14.37M | 12.12M | 10.59M | 10.12M | 9.52M | 9.19M | 8.32M | 7.71M | 6.57M | 6.07M | 5.54M | 4.6M | 4.3M | 4.1M |
| Efficiency Ratio | 13.55% | 12.9% | 13.35% | 14.81% | 22.48% | 15.99% | 18.87% | 17.81% | 21.69% | 23.74% | 26.14% | 30.04% | 31.36% | 34.26% | 32.51% | 32.09% | 30.91% | 30.7% | 26.96% | 24.17% | 26.08% | 29.74% | 33.14% | 30.48% | 28.15% | 24.26% | 24.46% | 26.39% | 24.34% | 25.29% | 28.08% |
| Operating Income | 67.16M | 72.78M | 36.52M | 35.19M | 54.31M | 92.67M | 70.13M | 53.55M | 42.73M | 44.13M | 39.77M | 32.78M | 33.41M | 22.61M | 22.4M | 20.34M | 17.08M | 13.14M | 10.06M | 6.83M | 7.17M | 9.86M | 9.3M | 9.77M | 9.07M | 7.69M | 6.35M | 5.29M | 4.8M | 4.3M | 3.4M |
| Operating Margin % | 29.52% | 30.74% | 16.8% | 18.47% | 45.91% | 75.06% | 60.8% | 46.25% | 46.23% | 53.51% | 54.1% | 51.74% | 52.15% | 44.38% | 44.39% | 40.55% | 35.24% | 28.06% | 22.38% | 15.58% | 18.48% | 30.81% | 33.54% | 35.77% | 33.09% | 28.4% | 25.59% | 25.18% | 25.4% | 25.29% | 23.29% |
| Operating Income Growth % | - | 99.32% | 3.78% | -35.22% | -41.39% | 32.14% | 30.97% | 25.32% | -3.17% | 10.96% | 21.34% | -1.89% | 47.74% | 0.94% | 10.16% | 19.09% | 29.99% | 30.51% | 47.43% | -4.74% | -27.33% | 6.09% | -4.83% | 7.71% | 17.98% | 21.13% | 20.09% | 10.1% | 11.63% | 26.47% | 17.24% |
| Pretax Income | 67.16M | 72.78M | 36.52M | 35.23M | 54.31M | 92.67M | 70.13M | 53.55M | 42.73M | 44.13M | 39.77M | 32.78M | 33.41M | 22.61M | 22.4M | 20.34M | 17.08M | 13.14M | 10.06M | 6.83M | 7.17M | 9.86M | 9.3M | 9.77M | 9.07M | 7.69M | 6.35M | 5.29M | 4.8M | 4.3M | 3.4M |
| Pretax Margin % | 29.52% | 30.74% | 16.8% | 18.49% | 45.91% | 75.06% | 60.8% | 46.25% | 46.23% | 53.51% | 54.1% | 51.74% | 52.15% | 44.38% | 44.39% | 40.55% | 35.24% | 28.06% | 22.38% | 15.58% | 18.48% | 30.81% | 33.54% | 35.77% | 33.09% | 28.4% | 25.59% | 25.18% | 25.4% | 25.29% | 23.29% |
| Income Tax | 16.88M | 18.23M | 8.32M | 8.86M | 16.8M | 25.21M | 19.36M | 14.62M | 12.33M | 18.37M | 16.35M | 13.43M | 11.14M | 9.24M | 9.11M | 8.27M | 6.85M | 5.09M | 3.78M | 2.34M | 2.53M | 3.69M | 3.47M | 4.42M | 3.09M | 2.6M | 2.12M | 2.04M | 1.8M | 1.6M | 1.4M |
| Effective Tax Rate % | 25.13% | 25.05% | 22.8% | 25.15% | 30.92% | 27.21% | 27.6% | 27.3% | 28.86% | 41.63% | 41.1% | 40.98% | 33.35% | 40.87% | 40.67% | 40.68% | 40.1% | 38.76% | 37.56% | 34.23% | 35.26% | 37.43% | 37.36% | 45.19% | 34.07% | 33.81% | 33.4% | 38.58% | 37.5% | 37.21% | 41.18% |
| Net Income | 50.28M | 54.55M | 28.19M | 26.37M | 37.52M | 67.46M | 50.77M | 38.93M | 30.4M | 25.76M | 23.42M | 19.35M | 22.26M | 13.37M | 13.29M | 12.06M | 10.23M | 8.04M | 6.29M | 4.49M | 4.64M | 6.17M | 5.82M | 5.35M | 5.98M | 5.09M | 4.23M | 3.25M | 3M | 2.7M | 2M |
| Net Margin % | 22.1% | 23.04% | 12.97% | 13.84% | 31.71% | 54.64% | 44.02% | 33.62% | 32.89% | 31.23% | 31.87% | 30.54% | 34.76% | 26.25% | 26.33% | 24.05% | 21.11% | 17.19% | 13.98% | 10.25% | 11.96% | 19.27% | 21.01% | 19.6% | 21.82% | 18.8% | 17.04% | 15.46% | 15.87% | 15.88% | 13.7% |
| Net Income Growth % | 76.74% | 93.51% | 6.9% | -29.71% | -44.38% | 32.87% | 30.43% | 28.05% | 18.02% | 9.96% | 21.07% | -13.11% | 66.51% | 0.61% | 10.18% | 17.93% | 27.13% | 28% | 39.98% | -3.23% | -24.81% | 5.96% | 8.78% | -10.47% | 17.51% | 20.39% | 30.22% | 8.2% | 11.11% | 35% | 5.26% |
| Net Income (Continuing) | 50.28M | 54.55M | 28.19M | 26.37M | 37.52M | 67.46M | 50.77M | 38.93M | 30.4M | 25.76M | 23.42M | 19.35M | 22.26M | 13.37M | 13.29M | 12.06M | 10.23M | 8.04M | 6.29M | 4.49M | 4.64M | 6.17M | 5.82M | 5.35M | 5.98M | 5.09M | 4.23M | 3.25M | 3M | 2.7M | 2M |
| EPS (Diluted) | 22.76 | 24.76 | 12.85 | 12.03 | 17.04 | 30.65 | 23.26 | 17.83 | 13.90 | 11.81 | 10.89 | 9.02 | 10.44 | 6.28 | 6.25 | 5.67 | 4.81 | 3.79 | 2.96 | 2.12 | 2.19 | 2.92 | 2.77 | 2.56 | 2.87 | 2.46 | 2.06 | 1.62 | 1.49 | 1.33 | 1.04 |
| EPS Growth % | 76% | 92.68% | 6.82% | -29.4% | -44.4% | 31.77% | 30.45% | 28.27% | 17.7% | 8.45% | 20.73% | -13.6% | 66.24% | 0.48% | 10.23% | 17.88% | 26.91% | 28.04% | 39.62% | -3.2% | -25% | 5.42% | 8.2% | -10.8% | 16.67% | 19.42% | 27.16% | 8.72% | 12.03% | 27.88% | 7.22% |
| EPS (Basic) | - | 25.01 | 12.95 | 12.26 | 17.49 | 31.51 | 23.76 | 18.24 | 14.25 | 12.08 | 10.99 | 9.09 | 10.46 | 6.28 | 6.25 | 5.68 | 4.81 | 3.79 | 2.96 | 2.12 | 2.19 | 2.95 | 2.80 | 2.58 | 2.91 | 2.49 | 2.07 | 1.65 | 1.53 | 1.36 | 1.05 |
| Diluted Shares Outstanding | 2.21M | 2.21M | 2.19M | 2.19M | 2.2M | 2.2M | 2.18M | 2.18M | 2.19M | 2.18M | 2.15M | 2.15M | 2.13M | 2.13M | 2.13M | 2.13M | 2.13M | 2.12M | 2.12M | 2.12M | 2.12M | 2.11M | 2.1M | 2.1M | 2.08M | 2.07M | 2.04M | 2.01M | 2.01M | 2.03M | 1.92M |
CRE concentration and funding costs
According to quarterly financial data, Hingham's net interest income reached $22.1 million in 2026Q1, reflecting a 38% year-over-year increase, yet this growth appears increasingly decoupled from the bank's underlying ability to manage rising deposit costs in a competitive interest rate environment.
The recent expansion in NII suggests that volume growth in the commercial real estate portfolio is currently offsetting the compression in net interest margins. However, investors should monitor whether this trajectory is sustainable, as the reliance on interest-bearing liabilities may continue to erode the net benefit of new loan originations.
As reported in recent filings, Hingham's net interest margin has remained suppressed at 0.5% as of 2026Q1, indicating that the bank's liability-sensitive balance sheet is struggling to maintain profitability amidst the ongoing repricing of its deposit base relative to fixed-rate assets.
The margin profile suggests that the bank's historical reliance on low-cost funding has been challenged by the current rate cycle. This persistent compression warrants further investigation into the bank's deposit beta assumptions and the potential for long-term structural impairment of its spread-capture business model.
Based on the provided income statement data, Hingham maintained an efficiency ratio of 18.4% in 2026Q1, which continues to demonstrate the bank's structural advantage in managing non-interest expenses compared to traditional regional peers with more labor-intensive branch-based operating models.
While the efficiency ratio remains exceptionally low, the recent uptick from the 12-14% range suggests that inflationary pressures or increased administrative requirements may be beginning to impact the firm's lean operating posture. Maintaining this discipline is critical, as any further degradation could significantly impact the bank's ability to absorb credit-related volatility.
Financial statements indicate that Hingham's non-interest income swung to a negative $9.7 million in 2026Q1, a development that appears largely driven by the mark-to-market volatility of its equity securities portfolio rather than core operational performance or fee-based service revenue.
This volatility complicates the assessment of true earnings quality, as GAAP net income is frequently distorted by these unrealized gains and losses. Investors should focus on core pre-provision net revenue to better understand the underlying health of the lending business, as the equity portfolio introduces a layer of market risk that is independent of the bank's core CRE lending activities.
Quick answers to the most common questions about buying HIFS stock.
Hingham Institution for Savings (HIFS) is profitable, generating $54.6M in net income for the fiscal year ending 2025 with a net profit margin of 23.0%.
Hingham Institution for Savings (HIFS) reported an operating income of $72.8M, resulting in an operating profit margin of 30.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Hingham Institution for Savings (HIFS) generated $103.3M in gross profit for the year, representing a gross profit margin of 43.6%. This demonstrates the company's core pricing power and production efficiency.