HomeStreet reports Q1 EPS 27c, consensus 40c

For the quarter ended March 31, book value per share was $30.64, ROAE was 3.5%, ROATE was 4.1%, ROAA was 0.22%, and NIM was 2.23%. "Our financial results continue to be adversely impacted by the now historically record velocity and magnitude of increases in short-term interest rates," said Mark K. Mason, HomeStreet’s Chairman of the Board, President, and Chief Executive Officer. In light of these challenges, we have enhanced our on-balance sheet liquidity, continued to raise new deposits through promotional certificates of deposit and reduced new loan originations. Additionally, we have focused our new loan origination activity primarily on floating rate products such as commercial loans, residential construction loans and home equity loans. In February, we completed the acquisition of three branches in southern California which accounted for $322 million of deposits at the end of March. The new employees at these branches are great additions to our team and we look forward to growing our customer base in these new markets once the conversion process is complete. At March 31, 2023 our on-balance sheet liquidity was 19%, our uninsured deposits were only $1.0 billion, or 14% of total deposits, and $6.0 billion of contingent funding was available."