HFWA Heritage Financial

Heritage Financial Corporation is an Olympia-based bank holding company with Heritage Bank, a full-service commercial bank, as its sole wholly-owned banking subsidiary. Heritage Bank has a branching network of 61 banking offices in Washington and Oregon. Heritage Bank also does business under the Whidbey Island Bank name on Whidbey Island.
Company profile
Ticker
HFWA
Exchange
Website
CEO
Jeffrey J. Deuel
Employees
Incorporated
Location
Fiscal year end
Industry (SIC)
SEC CIK
Corporate docs
IRS number
911857900
SEC advisor number
801-114336
FINRA CRD number
285149
AUM ?
$199.56M
(as of 12 Mar 21)
Accounts
1,099
(as of 12 Mar 21)
Employees
7
(6 investment advisory or research)
Address
Heritage Financial
201 FIFTH AVENUE S.W.
P O BOX 1578
OLYMPIA
WA 98501
201 FIFTH AVENUE S.W.
P O BOX 1578
OLYMPIA
WA 98501
Phone
3609431500
HFWA stock data
()
Calendar
25 Feb 21
12 Apr 21
31 Dec 21
Financial summary
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Financial data from company earnings reports.
Cash burn rate (estimated) | Burn method: Change in cash | Burn method: Operating income/loss | Burn method: FCF (opex + capex) | Last Q | Avg 4Q | Last Q | Avg 4Q | Last Q | Avg 4Q |
---|---|---|---|---|---|---|
Cash on hand (at last report) | 743.32M | 743.32M | 743.32M | 743.32M | 743.32M | 743.32M |
Cash burn (monthly) | (positive/no burn) | (positive/no burn) | (positive/no burn) | (positive/no burn) | 2.09M | (positive/no burn) |
Cash used (since last report) | n/a | n/a | n/a | n/a | 7.09M | n/a |
Cash remaining | n/a | n/a | n/a | n/a | 736.23M | n/a |
Runway (months of cash) | n/a | n/a | n/a | n/a | 352.6 | n/a |
Recent insider trades
Date | Owner | Security | Transaction | Code | Indirect | 10b5-1 | $Price | #Shares | $Value | #Remaining |
---|---|---|---|---|---|---|---|---|---|---|
15 Mar 21 | Huntley Cindy M | Common Stock | Payment of exercise | Dispose F | No | No | 29.66 | 471 | 13.97K | 21,110 |
15 Mar 21 | Huntley Cindy M | Common Stock | Option exercise | Aquire M | No | No | 29.66 | 563 | 16.7K | 21,581 |
15 Mar 21 | Huntley Cindy M | Common Stock | Option exercise | Aquire M | No | No | 29.66 | 431 | 12.78K | 21,018 |
15 Mar 21 | Huntley Cindy M | Common Stock | Option exercise | Aquire M | No | No | 29.66 | 529 | 15.69K | 20,587 |
15 Mar 21 | Huntley Cindy M | Common Stock | Option exercise | Aquire M | No | No | 29.66 | 277 | 8.22K | 20,058 |
15 Mar 21 | Huntley Cindy M | Common Stock | Option exercise | Aquire M | No | No | 29.66 | 476 | 14.12K | 19,781 |
15 Mar 21 | Huntley Cindy M | RSU Common Stock | Option exercise | Dispose M | No | No | 29.66 | 563 | 16.7K | 0 |
15 Mar 21 | Huntley Cindy M | RSU Common Stock | Option exercise | Dispose M | No | No | 29.66 | 431 | 12.78K | 2,586 |
15 Mar 21 | Huntley Cindy M | RSU Common Stock | Option exercise | Dispose M | No | No | 29.66 | 529 | 15.69K | 1,058 |
15 Mar 21 | Huntley Cindy M | RSU Common Stock | Option exercise | Dispose M | No | No | 29.66 | 277 | 8.22K | 277 |
Institutional ownership Q4 2020
Data for the last complete 13F reporting period. To see the most recent changes to ownership, click the ownership history button above.
13F holders |
Current |
---|---|
Total holders | 0 |
Opened positions | 0 |
Closed positions | 0 |
Increased positions | 0 |
Reduced positions | 0 |
13F shares |
Current |
---|---|
Total value | 0 |
Total shares | 0 |
Total puts | 0 |
Total calls | 0 |
Total put/call ratio | – |
Largest owners |
Shares | Value |
---|
Financial report summary
?Risks
- The outbreak of COVID-19 has adversely affected certain industries in which our customers operate and may impair their ability to fulfill their obligations to us. Further, the spread of the outbreak has disrupted banking and other financial activity in the areas in which we operate, could lead to an economic recession or other additional severe disruptions in the U.S. economy, and could potentially create business continuity issues for us.
- Our strategy of pursuing acquisitions and de novo branching exposes us to financial and operational risks that could adversely affect us.
- Our business strategy includes significant growth plans, and our financial condition and results of operations could be negatively affected if we are not successful in executing this strategy or if we fail to grow or manage our growth effectively.
- Our loan portfolio is concentrated in loans with a higher risk of loss.
- Our ACL on loans may prove to be insufficient to absorb losses in our loan portfolio.
- If our ACL on loans is not sufficient to cover actual loan losses our earnings could decrease.
- The current economic condition in the market areas we serve may adversely impact our earnings and could increase the credit risk associated with our loan portfolio.
- Fluctuating interest rates can adversely affect our profitability.
- Our investment securities portfolio may be negatively impacted by fluctuations in market value and interest rates.
- Non-compliance with the USA PATRIOT Act, Bank Secrecy Act, or other laws and regulations could result in fines or sanctions and limit our ability to get regulatory approval of acquisitions.
- We rely on other companies to provide key components of our business infrastructure.
- If our enterprise risk management framework is not effective at mitigating risk and loss to us, we could suffer unexpected losses and our results of operations could be materially adversely affected.
- We are subject to certain risks in connection with our data management or aggregation.
- Our business may be adversely affected by an increasing prevalence of fraud and other financial crimes.
- Managing reputational risk is important to attracting and maintaining customers, investors and employees.
- We are dependent on key personnel and the loss of one or more of those key personnel may materially and adversely affect our prospects.
- Our ability to sustain or improve upon existing performance is dependent upon our ability to respond to technological change, and we may have fewer resources than some of our competitors to continue to invest in technological improvements.
- New or changing tax, accounting, and regulatory rules and interpretations could significantly impact strategic initiatives, results of operations, cash flows, and financial condition.
- If the goodwill we have recorded in connection with acquisitions becomes impaired, our earnings and capital could be reduced.
- Uncertainty relating to the LIBOR calculation process and potential phasing out of LIBOR may adversely affect our results of operations.
- Decreased volumes and lower gains on sales of mortgage loans sold could adversely impact our noninterest income.
- Ineffective liquidity management could adversely affect our financial results and condition.
- Our growth or future losses may require us to raise additional capital in the future, but that capital may not be available when it is needed or the cost of that capital may be very high; further, the resulting dilution of our equity may adversely affect the market price of our common stock.
- Societal responses to climate change could adversely affect our business and performance, including indirectly through impacts on our customers.
- We rely on dividends from Heritage Bank for substantially all of our revenue at the holding company level.
Management Discussion
- Net income was $46.6 million, or $1.29 per diluted common share, for the year ended December 31, 2020 compared to $67.6 million, or $1.83 per diluted common share, for the year ended December 31, 2019. Net income decreased $21.0 million, or 31.1%, for the year ended December 31, 2020 compared to the year ended December 31, 2019 primarily due to an increase in the provision for credit losses of $31.8 million as a result of estimated credit losses forecasted due to the COVID-19 pandemic and its impact on the economy, offset partially by a decrease in income tax expense of $6.9 million due to lower pre-tax income as well as a provision in the CARES Act permitting the recognition of a benefit from net operating losses related to prior acquisitions.
Content analysis
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New words:
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Removed:
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Financial reports
10-K
2020 FY
Annual report
25 Feb 21
10-Q
2020 FY
Quarterly report
9 Nov 20
10-Q
2020 FY
Quarterly report
5 Aug 20
10-Q
2020 FY
Quarterly report
4 May 20
10-K
2019 FY
Annual report
28 Feb 20
10-Q
2019 Q3
Quarterly report
5 Nov 19
10-Q
2019 Q2
Quarterly report
7 Aug 19
10-Q
2019 Q1
Quarterly report
9 May 19
10-K
2018 FY
Annual report
1 Mar 19
10-Q
2018 Q3
Quarterly report
6 Nov 18
Current reports
8-K
1 Investor Presentation Q4 2020
2 Mar 21
8-K
Heritage Financial Announces Fourth Quarter and Annual 2020 Results and Declares Regular Cash Dividend
28 Jan 21
8-K
Heritage Financial Corporation Appoints Fred Rivera to its Board of Directors
21 Dec 20
8-K
Heritage Financial Announces Third Quarter 2020 Results and Declares Regular Cash Dividend
22 Oct 20
8-K
Investor Presentation Q2 2020 1
23 Jul 20
8-K
Heritage Financial Announces Second Quarter 2020 Results and Declares Regular Cash Dividend
23 Jul 20
8-K
Departure of Directors or Certain Officers
30 Jun 20
8-K
Investor Presentation Q1 2020 Jeff Deuel, Chief Executive Officer Bryan McDonald, Chief Operating Officer Don Hinson, Chief Financial Officer 1
8 Jun 20
8-K
Heritage Financial Announces Chief Credit Officer Succession Plan
1 Jun 20
8-K
Investor Presentation Q1 2020 Jeff Deuel, Chief Executive Officer Bryan McDonald, Chief Operating Officer Don Hinson, Chief Financial Officer 1
6 May 20
Registration and prospectus
S-3ASR
Automatic shelf registration
28 Jul 20
425
Business combination disclosure
1 Jun 18
424B3
Prospectus supplement
14 May 18
S-4/A
Registration of securities issued in business combination transactions (amended)
7 May 18
S-4
Registration of securities issued in business combination transactions
17 Apr 18
425
Business combination disclosure
19 Mar 18
425
Business combination disclosure
10 Dec 17
424B3
Prospectus supplement
19 Nov 17
S-4/A
Registration of securities issued in business combination transactions (amended)
8 Nov 17
425
Business combination disclosure
29 Oct 17
Proxies
DEFA14A
Additional proxy soliciting materials
19 Mar 21
DEF 14A
Definitive proxy
19 Mar 21
DEFA14A
Additional proxy soliciting materials
8 Apr 20
DEFA14A
Additional proxy soliciting materials
19 Mar 20
DEF 14A
Definitive proxy
19 Mar 20
DEF 14A
Definitive proxy
21 Mar 19
DEF 14A
Definitive proxy
21 Mar 18
DEF 14A
Definitive proxy
22 Mar 17
DEFA14A
Additional proxy soliciting materials
22 Mar 17
DEF 14A
Definitive proxy
22 Mar 16
Other
EFFECT
Notice of effectiveness
10 May 18
CORRESP
Correspondence with SEC
6 May 18
UPLOAD
Letter from SEC
22 Apr 18
EFFECT
Notice of effectiveness
12 Nov 17
CORRESP
Correspondence with SEC
8 Nov 17
UPLOAD
Letter from SEC
25 Oct 17
EFFECT
Notice of effectiveness
3 Mar 14
UPLOAD
Letter from SEC
3 Mar 14
CORRESP
Correspondence with SEC
26 Feb 14
CORRESP
Correspondence with SEC
26 Feb 14
Ownership
4
HERITAGE FINANCIAL / Sabrina C Robison ownership change
16 Mar 21
4
HERITAGE FINANCIAL / Bryan McDonald ownership change
16 Mar 21
4
HERITAGE FINANCIAL / Tony Chalfant ownership change
16 Mar 21
4
HERITAGE FINANCIAL / Donald Hinson ownership change
16 Mar 21
4
HERITAGE FINANCIAL / William Glasby ownership change
16 Mar 21
4
HERITAGE FINANCIAL / Steven A Gahler ownership change
16 Mar 21
4
HERITAGE FINANCIAL / Thomas J Henning ownership change
16 Mar 21
4
HERITAGE FINANCIAL / David A Spurling ownership change
16 Mar 21
4
HERITAGE FINANCIAL / BRIAN L VANCE ownership change
16 Mar 21
4
HERITAGE FINANCIAL / Jeffrey J Deuel ownership change
16 Mar 21
Transcripts
2020 Q4
Earnings call transcript
28 Jan 21
2020 Q3
Earnings call transcript
22 Oct 20
2020 Q2
Earnings call transcript
23 Jul 20
2020 Q1
Earnings call transcript
3 May 20
2019 Q4
Earnings call transcript
23 Jan 20
2019 Q3
Earnings call transcript
26 Oct 19
2019 Q2
Earnings call transcript
27 Jul 19
2019 Q1
Earnings call transcript
29 Apr 19
2018 Q4
Earnings call transcript
24 Jan 19
2018 Q3
Earnings call transcript
25 Oct 18