Hingham Institution for Savings (HIFS) Reports Strong 2025 Financial Results

Financial Performance Highlights for 2025

For the fiscal year ending December 31, 2025, HIFS reported a net income of $54,551,000 or $25.01 per share basic and $24.76 per share diluted. This marks a significant increase compared to $28,191,000 or $12.95 per share basic and $12.85 per share diluted during the previous year.

The Bank's return on average equity stood at 12.00%, with a return on average assets of 1.22%, an improvement from 6.68%% and 0.65%%, respectively, in 2024. Notably, diluted net income per share rose by 92.7% year-over-year.

Quarterly Earnings Overview

In the fourth quarter of 2025, net income reached $20,718,000 or $9.49 per share basic and $9.39 per share diluted. This was an increase from $11,375,000 or $5.22 per share basic and $5.16 per share diluted in the same quarter of the previous year.

The annualized return on average equity for Q4 2025 was 17.50%, and the annualized return on average assets achieved 1.84%, compared to 10.58%% and 1.04%% for Q4 2024.

Core Earnings Metrics

Core net income, which excludes any after-tax net gain on equity securities, was $32,114,000 for the year, translating to $14.72 per share basic and $14.58 per share diluted. This represents an increase from $12,304,000 or $5.65 per share basic and $5.61 per share diluted for 2024. The core return on average equity was recorded at 7.06%, with a core return on average assets of 0.72%.

In Q4 2025, core net income amounted to $10,027,000 or $4.60 per share basic and $4.54 per share diluted, showing a 110.2% rise compared to Q4 2024.

Balance Sheet Growth and Stability

The Hingham Institution for Savings achieved total assets of $4.543 billion as of December 31, 2025, reflecting a 1.9% growth compared to the previous year. Net loans increased to $3.899 billion, marking a 0.7% growth.

• Retail and commercial deposits: $2.056 billion, a 2.9% increase.
• Non-interest-bearing deposits: $467.7 million, up 17.7%.
• Wholesale funds: $1.956 billion, a 1.8% decline as HIFS shifted to retail deposits.

Dividends and Capital Management

The book value per share for HIFS was $219.82, an increase of 11.0% from December 2024. Since the prior year, the Bank has declared a total of $3.22 in dividends per share, which includes a special dividend of $0.70 declared in Q4 2025.

In a move to strengthen its capital structure, HIFS has received regulatory approval to repurchase up to $20.0 million of common equity, further enhancing shareholder value and maintaining financial agility.

Looking Forward

As the Hingham Institution for Savings positions itself for continued growth, the Bank remains focused on maintaining its stability and enhancing customer relationships, particularly within the deposit market. As competitors navigate market changes, HIFS aims to leverage its robust balance sheet and talent acquisition to secure its footprint across key metropolitan areas.