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Bank of America for the Louisiana market.

The Louisiana equivalent of a national bank like Wells Fargo.

A regional banking center for Louisiana, similar to JPMorgan Chase on a national scale.

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• Deposit Services: Accepting various types of deposits from individuals and businesses to provide secure savings and transactional accounts.
• Lending Services: Offering a range of loans, including residential mortgages, commercial real estate, construction, consumer, and commercial loans, to individuals and businesses.
• Other Financial Services: Providing additional banking conveniences such as online and mobile banking, ATM access, and safe deposit boxes.

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Home Federal Bancorp of Louisiana (symbol: HFBL) is a bank holding company. As such, it primarily serves a diverse base of customers rather than having a few "major customers" in the traditional sense of a supplier-customer relationship with other companies. Its services include deposit accounts, various types of loans, and other financial products. Therefore, its customers can be categorized as follows:

• Individual Customers: These include consumers seeking financial services such as checking accounts, savings accounts, money market accounts, certificates of deposit (CDs), residential mortgage loans, home equity loans, and other consumer loans (e.g., auto loans, personal loans).

• Business Customers: This category encompasses small to medium-sized businesses and commercial enterprises that utilize the bank's services for business deposit accounts, commercial real estate loans, commercial and industrial (C&I) loans, construction and development loans, and business lines of credit.

• Real Estate Investors and Developers: Home Federal Bancorp provides financing for income-producing properties, multi-family residences, and land development projects to real estate investors and developers within its market area. This group often overlaps with business customers but represents a significant segment of the bank's lending portfolio.

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James R. Barlow, Chairman, President and Chief Executive Officer

Mr. Barlow serves as Chairman, President, and Chief Executive Officer of Home Federal Bancorp, Inc. of Louisiana and Home Federal Bank. He was appointed CEO in January 2013. Mr. Barlow joined Home Federal Bank as President and Chief Operating Officer on February 20, 2009, and was named President and Chief Executive Officer of Home Federal Bank on January 1, 2013. Before joining Home Federal Bancorp, Mr. Barlow was Executive Vice President and Area Manager for the Arkansas-Louisiana-Texas area commercial real estate operations of Regions Bank from August 2006 until February 2009. He also held the positions of Regions Bank City President for the Shreveport/Bossier area from 2005 to August 2006, and Commercial Loan Manager for Regions Bank for the Shreveport/Bossier area from February 2003 to 2005. Mr. Barlow served in various roles at Regions Bank since 1997 and was previously on the board of the Louisiana Bankers Association.

Glenn W. Brown, C.P.A., Senior Vice President and Chief Financial Officer

Mr. Brown serves as Senior Vice President and Chief Financial Officer of Home Federal Bancorp and Home Federal Bank. He has held this position at Home Federal Bank since July 2014. Prior to his current role, Mr. Brown was Vice President/Controller at Teche Federal Bank in New Iberia, Louisiana, from November 1997 to June 2014.

Mary L. Jones, Executive Vice President, Retail and Chief Operations Officer

Ms. Jones is the Executive Vice President, Retail and Chief Operations Officer of Home Federal Bank.

Donna C. Lewis, Executive Vice President, Chief Risk Officer and BSA Officer

Ms. Lewis holds the position of Executive Vice President, Chief Risk Officer and BSA Officer of Home Federal Bank.

Adalberto Cantu, Jr., Executive Vice President and Chief Banking Officer

Mr. Cantu serves as Executive Vice President and Chief Banking Officer of Home Federal Bank.

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1. Credit Risk and Loan Portfolio Quality: The most significant near-term risk for Home Federal Bancorp of Louisiana is the quality of its loan portfolio, evidenced by a notable increase in non-performing assets. Non-performing assets rose to $3.0 million at March 31, 2025, from $1.9 million at June 30, 2024, representing a 58% jump. Similarly, non-performing assets reached $3.3 million as of June 30, 2025, up from $1.9 million. The bank's increased provision for credit losses in the September 2025 quarter suggests management's awareness and provisioning for this deteriorating asset quality trend. Loans classified as substandard or doubtful further highlight the potential for losses if weaknesses are not corrected or if collection becomes highly questionable.
2. Geographic Concentration Risk: Home Federal Bancorp's primary market is concentrated in northwest Louisiana, creating a significant geographic concentration risk. This regional focus makes the company susceptible to localized economic downturns or adverse changes within key employment sectors in the area, such as services, healthcare, gaming, and energy. Such localized economic shifts could directly impact loan performance and the overall quality of its loan portfolio.
3. General Economic Conditions and Market Risks: Like all financial institutions, Home Federal Bancorp is exposed to broader economic and market risks. These include potential weaknesses in the commercial or residential real estate markets, which could affect the value of collateral and borrower repayment capabilities. Additionally, strong competition within the banking industry and the general rate of economic growth (or lack thereof) in its service areas can influence loan demand, deposit levels, and overall profitability.

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The emergence and rapid growth of digital-first financial technology (Fintech) companies, including neobanks, online lenders, and embedded finance providers, which offer more convenient, often lower-cost, and technologically advanced alternatives for deposits, loans, and payment services. This directly threatens traditional community banks like HFBL by eroding their customer base, diminishing the value proposition of physical branches, and increasing competitive pressure on net interest margins and fees.

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Home Federal Bancorp of Louisiana (HFBL) offers a range of financial products and services, primarily to individuals, corporate entities, and other organizations in northwest Louisiana, specifically in Caddo, Bossier, and Webster Parishes within the Shreveport-Bossier City-Minden metropolitan area. Their main offerings include various deposit accounts and a diverse portfolio of loans.

Addressable Market Sizes in Louisiana:

• Commercial Banking (including Deposits, Commercial Real Estate Loans, Commercial Business Loans, and Consumer Loans): The overall market size for the Commercial Banking industry in Louisiana is estimated to be $10.2 billion in 2025. This figure encompasses activities such as receiving deposits from customers and issuing various types of loans, including consumer, commercial, and industrial loans.
• Residential Real Estate Loans (Mortgages): While a total market volume for residential mortgages across Louisiana is not readily available, the housing market in the state indicates significant activity. As of May 2025, the median sales price for a home in Louisiana was $260,500. In Shreveport, a key operating area for HFBL, the median sales price was $198,000 during the same period. The number of homes listed for sale in Louisiana in January 2025 was approximately 13,436.

Due to the specificity of "addressable market" for each individual loan product within HFBL's primary operating region of northwest Louisiana, more granular market sizes beyond the overall Louisiana commercial banking and housing market statistics are not available from the provided information. Therefore, the market sizes provided are for the broader Louisiana region.

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• Net Interest Margin (NIM) Expansion: Home Federal Bancorp of Louisiana has demonstrated recent success in expanding its net interest margin. In the three months ended September 30, 2025, the company's net interest margin rose to 3.63% from 2.98% in the prior year, representing a 65-basis-point improvement. This expansion was primarily driven by a decrease in total interest expense and an increase in total interest income. Continuing to optimize the cost of funds and enhancing yields on interest-earning assets will be a significant driver of future revenue growth.
• Growth in Non-Interest Income: The company has seen an increase in non-interest income, which contributes to overall revenue diversification. For the three months ended September 30, 2025, non-interest income increased by $350,000, largely due to lower loss on the sale of real estate and higher loan sale gains. Sustained efforts to generate income from various non-lending activities will support future revenue growth.
• Expansion of the Loan Portfolio within its Primary Market: As a regional bank, Home Federal Bancorp of Louisiana's revenue is heavily influenced by its loan portfolio. The company operates ten full-service banking offices and a home office in northwest Louisiana, offering a range of financial services, including real estate, commercial, and consumer loans. As of fiscal year 2025, the net loan portfolio was reported at $461.0 million. Continued, strategic growth in its loan offerings within its established geographic footprint will be a core driver of interest income.
• Efficient Management of Interest Expense: A key factor in the recent increase in net interest income has been the effective management of interest expense. The company reported a decrease of $565,000, or 17.0%, in total interest expense for the three months ended September 30, 2025. This focus includes avoiding wholesale funding sources like brokered deposits or Federal Home Loan Bank (FHLB) advances, as highlighted by their operational practices. Maintaining this disciplined approach to managing funding costs will continue to support revenue growth by bolstering net interest income.

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Share Repurchases

• Home Federal Bancorp, Inc. of Louisiana approved its fourteenth stock repurchase program on October 15, 2025, authorizing the repurchase of up to 100,000 shares (approximately 3.0% of outstanding common stock) over four calendar quarters, with no expiration date, following the completion of its thirteenth stock repurchase program.
• The company repurchased 69,812 shares of its common stock during the nine months ended March 31, 2021, at an average price of $25.12 per share.
• Annual share repurchases, as reflected in the cash flow statement, were approximately $113,000 in 2024, $5,640,000 in 2023, $2,600,000 in 2022, and $2,010,000 in 2021.

Share Issuance

• A two-for-one stock split, in the form of a 100% stock dividend, was declared on March 10, 2021, and paid on March 31, 2021, using authorized but unissued shares.
• A Form S-8 registration statement was filed on October 1, 2024, for shares intended to be offered to employees pursuant to certain plans.

Outbound Investments

• Home Federal Bancorp, Inc. of Louisiana completed the acquisition of Northwest Bancshares Corporation and its wholly-owned subsidiary, First National Bank of Benton, on February 1, 2023.
• The aggregate merger consideration for the acquisition was approximately $10.2 million.
• The acquisition expanded Home Federal's market area and branch network in northwest Louisiana; post-merger, consolidated assets were approximately $650 million, loans $480 million, and deposits $585 million.

Capital Expenditures

• Capital expenditures were approximately $2,230,000 in 2024, $1,180,000 in 2023, $2,570,000 in 2022, and $2,350,000 in 2021.
• In fiscal year 2024, a new permanent banking facility was opened in Minden, Louisiana, to replace a temporary location, and the integration of the Benton, Louisiana location (from the FNBB acquisition) continued.
• In fiscal year 2021, the company announced plans for a new banking center in West Shreveport's Huntington community and to establish a loan production office in Minden, Louisiana, with intentions for it to become a full-service banking center.