hbt-20231023
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT PURSUANT TO
SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported): October 23, 2023
HBT FINANCIAL, INC.
(Exact name of registrant as specified in its charter)
Delaware001-3908537-1117216
(State or other jurisdiction
of incorporation)
(Commission File Number)(IRS Employer
Identification Number)
401 North Hershey Road
Bloomington, Illinois
61704
(Address of principal executive
offices)
(Zip Code)
(888) 897-2276
(Registrant’s telephone number, including area code)
N/A
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, par value $0.01 per shareHBTThe Nasdaq Stock Market LLC
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.



Item 2.02. Results of Operations and Financial Condition.
On October 23, 2023, HBT Financial, Inc. (the “Company”) issued a press release announcing its financial results for the third quarter ended and nine months ended September 30, 2023 (the “Earnings Release”). A copy of the Earnings Release is furnished as Exhibit 99.1 to this Current Report on Form 8-K (this “Report”).
The information contained in Item 2.02, including Exhibit 99.1 furnished herewith, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities under that section, nor shall it be deemed incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended (the “Securities Act”), or into any filing or other document pursuant to the Exchange Act, except to the extent required by applicable law or regulation.
Item 7.01. Regulation FD Disclosure.
The Company has prepared a presentation of its results for the third quarter ended September 30, 2023 (the “Presentation”) to be used from time to time during meetings with members of the investment community. A copy of the Presentation is furnished as Exhibit 99.2 to this Report. The Presentation will also be made available on the Company’s investor relations website at ir.hbtfinancial.com under the Presentations section.
The information contained in Item 7.01, including Exhibit 99.2 furnished herewith, shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, or otherwise subject to the liabilities under that section, nor shall it be deemed incorporated by reference into any registration statement or other document pursuant to the Securities Act, or into any filing or other document pursuant to the Exchange Act, except to the extent required by applicable law or regulation.
Item 9.01. Financial Statements and Exhibits.
Exhibit NumberDescription of Exhibit
Earnings Release issued October 23, 2023 for the Third Quarter Ended and Nine Months Ended September 30, 2023.
HBT Financial, Inc. Presentation of Results for the Third Quarter Ended September 30, 2023.
104Cover Page Interactive Data File (embedded within the Inline XBRL document).



SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
HBT FINANCIAL, INC.
By:/s/ Peter R. Chapman
Name: Peter R. Chapman
Title: Chief Financial Officer
Date: October 23, 2023

Document

EXHIBIT 99.1
https://cdn.kscope.io/e243c6867a982ff47dcc40ca46cb32ab-hbt-logoa.jpg
HBT FINANCIAL, INC. ANNOUNCES
THIRD QUARTER 2023 FINANCIAL RESULTS
Third Quarter Highlights
Net income of $19.7 million, or $0.62 per diluted share; return on average assets (ROAA) of 1.58%; return on average stockholders' equity (ROAE) of 17.02%; and return on average tangible common equity (ROATCE)(1) of 20.70%
Adjusted net income(1) of $20.3 million; or $0.63 per diluted share; adjusted ROAA(1) of 1.62%; adjusted ROAE(1) of 17.51%; and adjusted ROATCE(1) of 21.29%
Asset quality remained strong with nonperforming assets to total assets of 0.16%
Net interest margin of 4.07% and net interest margin (tax-equivalent basis)(1) of 4.13%
Bloomington, IL, October 23, 2023 – HBT Financial, Inc. (NASDAQ: HBT) (the “Company” or “HBT Financial” or “HBT”), the holding company for Heartland Bank and Trust Company, today reported net income of $19.7 million, or $0.62 diluted earnings per share, for the third quarter of 2023. This compares to net income of $18.5 million, or $0.58 diluted earnings per share, for the second quarter of 2023, and net income of $15.6 million, or $0.54 diluted earnings per share, for the third quarter of 2022.
J. Lance Carter, President and Chief Executive Officer of HBT Financial, said, “This was another strong quarter of profitability with a ROAA of 1.58%, a ROATCE of 20.70%, and our highest quarterly diluted earnings per share since our IPO in October of 2019. Our balance sheet strength continues to show with our core deposit franchise allowing us to maintain a low cost of funds of 0.96% and credit quality remaining solid with nonperforming assets at only 0.16% of total assets. Our net interest margin remained very solid at 4.13% on a tax-equivalent basis(1) as loan growth and asset mix improvement continue to partially offset funding cost increases. We have continued to maintain our consistently conservative underwriting standards while also increasing loans by 3% during the quarter. In addition, our loan portfolio remains very well diversified with limited exposure to higher risk segments, such as office commercial real estate. Despite a decrease in accumulated other comprehensive income (loss) due to rising interest rates during the quarter, we were able to increase all capital measures and maintain a strong capital base providing us with flexibility for future capital deployment. We believe our consistent financial performance will enable us to continue enhancing the value of our franchise.”
____________________________________
(1)See "Reconciliation of Non-GAAP Financial Measures" below for reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures.



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Adjusted Net Income
In addition to reporting GAAP results, the Company believes non-GAAP measures such as adjusted net income and adjusted earnings per share, which adjust for acquisition expenses, branch closure expenses, gains (losses) on sale of closed branch premises, net earnings (losses) from closed or sold operations, charges related to termination of certain employee benefit plans, realized gains (losses) on sales of securities, and mortgage servicing rights fair value adjustments, provide investors with additional insight into its operational performance. The Company reported adjusted net income of $20.3 million, or $0.63 adjusted diluted earnings per share, for the third quarter of 2023. This compares to adjusted net income of $18.8 million, or $0.58 adjusted diluted earnings per share, for the second quarter of 2023, and adjusted net income of $15.9 million, or $0.55 adjusted diluted earnings per share, for the third quarter of 2022 (see "Reconciliation of Non-GAAP Financial Measures" tables below for reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures).
Net Interest Income and Net Interest Margin
Net interest income for the third quarter of 2023 was $48.3 million, a slight decrease from $48.9 million for the second quarter of 2023. The decrease was primarily attributable to an increase in funding costs which were largely offset by higher yields on loans and a more favorable interest-earning asset mix.
Relative to the third quarter of 2022, net interest income increased 29.1% from $37.4 million. The increase was primarily attributable to the increase in average interest-earning assets following the Town and Country Financial Corporation (“Town and Country”) merger completed in the first quarter of 2023 and higher yields on interest-earning assets.
Net interest margin for the third quarter of 2023 was 4.07%, compared to 4.16% for the second quarter of 2023, and net interest margin (tax-equivalent basis)(1) for the third quarter of 2023 was 4.13% compared to 4.22% for the second quarter of 2023. The decrease was primarily attributable to higher funding costs with the cost of funds increasing to 0.96% for the third quarter of 2023, compared to 0.71% for the second quarter of 2023, partially offset by higher yields on loans and a more favorable interest-earning asset mix.
Relative to the third quarter of 2022, net interest margin increased from 3.65%. This increase was primarily attributable to higher yields on interest-earning assets.
____________________________________
(1)See "Reconciliation of Non-GAAP Financial Measures" below for reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures.
Noninterest Income
Noninterest income for the third quarter of 2023 was $9.5 million, a decrease of 4.3% from $9.9 million for the second quarter of 2023. The decrease was primarily attributable to $0.8 million of losses realized on the sale of debt securities during the third quarter of 2023 which were not present in the second quarter of 2023 results. Partially offsetting these losses was a $0.6 million gain on sale of foreclosed assets compared to a $0.1 million loss included in the second quarter of 2023 results.
Relative to the third quarter of 2022, noninterest income increased 15.3% from $8.2 million. The increase was primarily attributable to the Town and Country merger completed in the first quarter of 2023 which contributed to a $0.5 million increase in mortgage servicing income, a $0.3 million increase in wealth management fees, and a $0.2 million increase in card income.
Noninterest Expense
Noninterest expense for the third quarter of 2023 was $30.7 million, a 9.7% decrease from $34.0 million for the second quarter of 2023. The decrease was primarily attributable to the realization of planned cost reductions following the Town and Country core system conversion completed in April 2023. Additionally, the absence of $0.8 million of legal fees and $0.8 million of accruals related to pending legal matters previously disclosed during the second quarter of 2023 further contributed to the decrease in noninterest expense during the third quarter of 2023.


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Relative to the third quarter of 2022, noninterest expense increased 27.8% from $24.0 million, primarily attributable to the addition of Town and Country’s operations.
Acquisition-related expenses recognized are summarized below. No acquisition-related expenses were recognized subsequent to the second quarter of 2023, and we do not expect material acquisition-related expenses related to Town and Country in subsequent quarters.
Three Months EndedNine Months Ended September 30,
(dollars in thousands)September 30,
2023
June 30,
2023
September 30,
2022
20232022
PROVISION FOR CREDIT LOSSES$— $— $— $5,924 $— 
NONINTEREST EXPENSE
Salaries— 66 — 3,584 — 
Furniture and equipment— 39 — 39 — 
Data processing— 176 — 2,031 — 
Marketing and customer relations— 10 — 24 — 
Loan collection and servicing— 125 — 125 — 
Legal fees and other noninterest expense— 211 462 1,964 462 
Total noninterest expense— 627 462 7,767 462 
Total acquisition-related expenses$— $627 $462 $13,691 $462 
Loan Portfolio
Total loans outstanding, before allowance for credit losses, were $3.34 billion at September 30, 2023, compared with $3.24 billion at June 30, 2023 and $2.58 billion at September 30, 2022. The $98.1 million increase from June 30, 2023 was primarily attributable to draws on existing construction projects and new fundings to primarily existing customers, in part driven by seasonally higher agricultural line of credit usage. Balance increases in the commercial real estate - non-owner occupied and multi-family categories were driven predominately by the completion of projects previously in the construction and land development category.
Deposits
Total deposits were $4.20 billion at September 30, 2023, compared with $4.16 billion at June 30, 2023 and $3.64 billion at September 30, 2022. The $33.5 million increase from June 30, 2023 was primarily attributable to a $64.0 million increase in brokered deposits, partially offset by decreases in balances held in mainly smaller balance accounts.
Asset Quality
Nonperforming loans totaled $6.7 million, or 0.20% of total loans, at September 30, 2023, compared with $7.5 million, or 0.23% of total loans, at June 30, 2023, and $3.2 million, or 0.12% of total loans, at September 30, 2022. Additionally, of the $6.7 million of nonperforming loans held as of September 30, 2023, $2.0 million is either wholly or partially guaranteed by the U.S. Government. The $0.9 million decrease in nonperforming loans from June 30, 2023 was primarily attributable to reductions as the result of foreclosures and charge-offs on several smaller credits.
The Company recorded a provision for credit losses of $0.5 million for the third quarter of 2023. The provision for credit losses primarily reflects a $0.9 million increase in required reserves driven by growth of the loan portfolio, a $0.8 million increase in required reserves resulting from changes in economic and qualitative factors, a $0.8 million decrease in reserves on debt securities available-for-sale, a $0.5 million decrease in specific reserve, and net recoveries of $0.1 million.
The Company had net recoveries of $0.1 million, or 0.01% of average loans on an annualized basis, for the third quarter of 2023, compared to net recoveries of $0.1 million, or 0.01% of average loans on an annualized basis, for the second quarter of 2023, and net charge-offs of $0.1 million, or 0.01% of average loans on an annualized basis, for the third quarter of 2022.


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The Company’s allowance for credit losses was 1.16% of total loans and 582% of nonperforming loans at September 30, 2023, compared with 1.17% of total loans and 502% of nonperforming loans at June 30, 2023. In addition, the allowance for credit losses on unfunded lending-related commitments totaled $4.4 million as of September 30, 2023.
Stock Repurchase Program
During the third quarter of 2023, the Company repurchased 91,728 shares of its common stock at a weighted average price of $18.48 under its stock repurchase program. The Company’s Board of Directors have authorized the repurchase of up to $15 million of HBT Financial common stock under its stock repurchase program in effect until January 1, 2024. As of September 30, 2023, the Company had $7.6 million remaining under the current stock repurchase authorization.
About HBT Financial, Inc.
HBT Financial, Inc., headquartered in Bloomington, Illinois, is the holding company for Heartland Bank and Trust Company, and has banking roots that can be traced back to 1920. HBT provides a comprehensive suite of business, commercial, wealth management, and retail banking products and services to individuals, businesses and municipal entities throughout Illinois and Eastern Iowa through 67 full-service branches. As of September 30, 2023, HBT had total assets of $5.0 billion, total loans of $3.3 billion, and total deposits of $4.2 billion.
Non-GAAP Financial Measures
Some of the financial measures included in this press release are not measures of financial performance recognized in accordance with GAAP. These non-GAAP financial measures include net interest income (tax-equivalent basis), net interest margin (tax-equivalent basis), efficiency ratio (tax-equivalent basis), tangible common equity to tangible assets, tangible book value per share, return on average tangible common equity, adjusted net income, adjusted earnings per share, adjusted return on average assets, adjusted return on average stockholders' equity, and adjusted return on average tangible common equity. Our management uses these non-GAAP financial measures, together with the related GAAP financial measures, in its analysis of our performance and in making business decisions. Management believes that it is a standard practice in the banking industry to present these non-GAAP financial measures, and accordingly believes that providing these measures may be useful for peer comparison purposes. These disclosures should not be viewed as substitutes for the results determined to be in accordance with GAAP; nor are they necessarily comparable to non-GAAP financial measures that may be presented by other companies. See our reconciliation of non-GAAP financial measures to their most directly comparable GAAP financial measures in the "Reconciliation of Non-GAAP Financial Measures" tables.
Forward-Looking Statements
Readers should note that in addition to the historical information contained herein, this press release contains, and future oral and written statements of the Company and its management may contain, "forward-looking statements" within the meanings of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "will," "propose," "may," "plan," "seek," "expect," "intend," "estimate," "anticipate," "believe," "continue," or “should,” or similar terminology. Any forward-looking statements presented herein are made only as of the date of this press release, and the Company does not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise.
Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to: (i) the strength of the local, state, national and international economies (including effects of inflationary pressures and supply chain constraints); (ii) the economic impact of any future terrorist threats and attacks, widespread disease or pandemics (including the COVID-19 pandemic in the United States), acts of war or other threats thereof (including the Israeli-Palestinian conflict and the Russian invasion of Ukraine), or other adverse external events that could cause economic deterioration or instability in credit markets, and the response of the local, state and national governments to any such adverse external events; (iii) changes in


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accounting policies and practices, as may be adopted by state and federal regulatory agencies, the FASB or the PCAOB (including the Company’s adoption of the current expected credit losses (“CECL”) methodology); (iv) changes in state and federal laws, regulations and governmental policies concerning the Company’s general business and any changes in response to the recent failures of other banks; (v) changes in interest rates and prepayment rates of the Company’s assets (including the impact of LIBOR phase-out and the recent and potential additional rate increases by the Federal Reserve); (vi) increased competition in the financial services sector, including from non-bank competitors such as credit unions and “fintech” companies, and the inability to attract new customers; (vii) changes in technology and the ability to develop and maintain secure and reliable electronic systems; (viii) unexpected results of acquisitions, which may include failure to realize the anticipated benefits of acquisitions and the possibility that transaction costs may be greater than anticipated; (ix) the loss of key executives or employees; (x) changes in consumer spending; (xi) unexpected outcomes of existing or new litigation involving the Company; (xii) the economic impact of exceptional weather occurrences such as tornadoes, floods and blizzards; (xiii) fluctuations in the value of securities held in our securities portfolio; (xiv) concentrations within our loan portfolio, large loans to certain borrowers, and large deposits from certain clients; (xv) the concentration of large deposits from certain clients who have balances above current FDIC insurance limits and may withdraw deposits to diversify their exposure; (xvi) the level of non-performing assets on our balance sheets; (xvii) interruptions involving our information technology and communications systems or third-party servicers; (xviii) breaches or failures of our information security controls or cybersecurity-related incidents, and (xix) the ability of the Company to manage the risks associated with the foregoing as well as anticipated. Readers should note that the forward-looking statements included in this press release are not a guarantee of future events, and that actual events may differ materially from those made in or suggested by the forward-looking statements. Additional information concerning the Company and its business, including additional factors that could materially affect the Company’s financial results, is included in the Company’s filings with the Securities and Exchange Commission.
CONTACT:
Peter Chapman
HBTIR@hbtbank.com
(309) 664-4556


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HBT Financial, Inc.
Unaudited Consolidated Financial Summary
As of or for the Three Months EndedNine Months Ended September 30,
(dollars in thousands, except per share data)September 30,
2023
June 30,
2023
September 30,
2022
20232022
Interest and dividend income$59,041 $56,768 $39,014 $167,588 $108,106 
Interest expense10,762 7,896 1,624 23,600 4,415 
Net interest income48,279 48,872 37,390 143,988 103,691 
Provision for credit losses480 (230)386 6,460 (53)
Net interest income after provision for credit losses47,799 49,102 37,004 137,528 103,744 
Noninterest income9,490 9,914 8,234 26,841 26,828 
Noninterest expense30,671 33,973 23,998 100,577 71,997 
Income before income tax expense26,618 25,043 21,240 63,792 58,575 
Income tax expense6,903 6,570 5,613 16,396 15,259 
Net income$19,715 $18,473 $15,627 $47,396 $43,316 
Earnings per share - Diluted$0.62 $0.58 $0.54 $1.49 $1.49 
Adjusted net income (1)
$20,279 $18,772 $15,856 $58,910 $41,919 
Adjusted earnings per share - Diluted (1)
0.63 0.58 0.55 1.86 1.45 
Book value per share$14.36 $14.15 $12.49 
Tangible book value per share (1)
11.80 11.58 11.43 
Shares of common stock outstanding31,774,140 31,865,868 28,752,626 
Weighted average shares of common stock outstanding31,829,250 31,980,133 28,787,662 31,598,650 28,887,757 
SUMMARY RATIOS
Net interest margin *4.07 %4.16 %3.65 %4.14 %3.36 %
Net interest margin (tax-equivalent basis) * (1)(2)
4.13 4.22 3.72 4.20 3.41 
Efficiency ratio51.85 %56.57 %52.07 %57.73 %54.60 %
Efficiency ratio (tax-equivalent basis) (1)(2)
51.25 55.89 51.31 57.04 53.86 
Loan to deposit ratio79.63 %77.91 %70.81 %
Return on average assets *1.58 %1.49 %1.47 %1.29 %1.35 %
Return on average stockholders' equity *17.02 16.30 16.27 14.22 14.91 
Return on average tangible common equity * (1)
20.70 19.91 17.70 17.17 16.20 
Adjusted return on average assets * (1)
1.62 %1.51 %1.49 %1.61 %1.31 %
Adjusted return on average stockholders' equity * (1)
17.51 16.57 16.51 17.68 14.43 
Adjusted return on average tangible common equity * (1)
21.29 20.23 17.96 21.34 15.67 
CAPITAL
Total capital to risk-weighted assets15.09 %15.03 %16.34 %
Tier 1 capital to risk-weighted assets13.18 13.12 14.26 
Common equity tier 1 capital ratio11.88 11.78 13.08 
Tier 1 leverage ratio10.34 10.07 10.44 
Total stockholders' equity to total assets9.14 9.06 8.52 
Tangible common equity to tangible assets (1)
7.64 7.54 7.85 
ASSET QUALITY
Net charge-offs (recoveries) to average loans(0.01)%(0.01)%0.01 %(0.01)%(0.06)%
Allowance for credit losses to loans, before allowance for credit losses1.16 1.17 0.97 
Nonperforming loans to loans, before allowance for credit losses0.20 0.23 0.12 
Nonperforming assets to total assets0.16 0.21 0.14 
____________________________________
*Annualized measure.
(1)See "Reconciliation of Non-GAAP Financial Measures" below for reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures.
(2)On a tax-equivalent basis assuming a federal income tax rate of 21% and a state tax rate of 9.5%.


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HBT Financial, Inc.
Unaudited Consolidated Financial Summary
Consolidated Statements of Income
Three Months EndedNine Months Ended September 30,
(dollars in thousands, except per share data)September 30,
2023
June 30,
2023
September 30,
2022
20232022
INTEREST AND DIVIDEND INCOME
Loans, including fees:
Taxable$49,640 $47,149 $29,855 $138,948 $84,504 
Federally tax exempt1,072 1,040 842 3,064 2,183 
Securities:
Taxable6,451 6,518 6,635 19,585 16,947 
Federally tax exempt978 1,162 1,207 3,337 3,385 
Interest-bearing deposits in bank714 781 458 2,234 1,037 
Other interest and dividend income186 118 17 420 50 
Total interest and dividend income59,041 56,768 39,014 167,588 108,106 
INTEREST EXPENSE
Deposits7,211 4,323 587 13,908 1,662 
Securities sold under agreements to repurchase35 34 107 26 
Borrowings2,108 2,189 85 5,594 87 
Subordinated notes470 469 470 1,409 1,409 
Junior subordinated debentures issued to capital trusts938 881 473 2,582 1,231 
Total interest expense10,762 7,896 1,624 23,600 4,415 
Net interest income48,279 48,872 37,390 143,988 103,691 
PROVISION FOR CREDIT LOSSES480 (230)386 6,460 (53)
Net interest income after provision for credit losses47,799 49,102 37,004 137,528 103,744 
NONINTEREST INCOME
Card income2,763 2,905 2,569 8,326 7,687 
Wealth management fees2,381 2,279 2,059 6,998 6,670 
Service charges on deposit accounts2,040 1,919 1,927 5,830 5,371 
Mortgage servicing1,169 1,254 697 3,522 2,016 
Mortgage servicing rights fair value adjustment23 141 351 (460)2,446 
Gains on sale of mortgage loans476 373 354 1,125 1,267 
Realized gains (losses) on sales of securities(813)— — (1,820)— 
Unrealized gains (losses) on equity securities(46)(107)(61)(447)
Gains (losses) on foreclosed assets550 (97)(225)443 (192)
Gains (losses) on other assets52 109 (31)161 119 
Income on bank owned life insurance153 147 41 415 122 
Other noninterest income742 877 599 2,362 1,769 
Total noninterest income9,490 9,914 8,234 26,841 26,828 
NONINTEREST EXPENSE
Salaries15,644 16,660 12,752 51,715 38,489 
Employee benefits2,616 2,707 1,771 7,658 6,199 
Occupancy of bank premises2,573 2,785 1,979 7,460 5,780 
Furniture and equipment667 809 668 2,135 1,843 
Data processing2,581 2,883 1,631 9,787 5,274 
Marketing and customer relations1,679 1,359 880 3,874 2,936 
Amortization of intangible assets720 720 243 1,950 733 
FDIC insurance512 630 302 1,705 888 
Loan collection and servicing345 348 336 971 771 
Foreclosed assets76 97 97 234 260 
Other noninterest expense3,258 4,975 3,339 13,088 8,824 
Total noninterest expense30,671 33,973 23,998 100,577 71,997 
INCOME BEFORE INCOME TAX EXPENSE26,618 25,043 21,240 63,792 58,575 
INCOME TAX EXPENSE6,903 6,570 5,613 16,396 15,259 
NET INCOME$19,715 $18,473 $15,627 $47,396 $43,316 
EARNINGS PER SHARE - BASIC$0.62 $0.58 $0.54 $1.50 $1.50 
EARNINGS PER SHARE - DILUTED$0.62 $0.58 $0.54 $1.49 $1.49 
WEIGHTED AVERAGE SHARES OF COMMON STOCK OUTSTANDING31,829,25031,980,13328,787,66231,598,65028,887,757


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HBT Financial, Inc.
Unaudited Consolidated Financial Summary
Consolidated Balance Sheets
(dollars in thousands)September 30, 2023June 30, 2023September 30, 2022
ASSETS
Cash and due from banks$24,757 $28,044 $22,169 
Interest-bearing deposits with banks87,156 81,764 56,046 
Cash and cash equivalents111,913 109,808 78,215 
Interest-bearing time deposits with banks500 — — 
Debt securities available-for-sale, at fair value753,163 822,788 853,740 
Debt securities held-to-maturity527,144 533,231 546,694 
Equity securities with readily determinable fair value3,106 3,152 2,996 
Equity securities with no readily determinable fair value2,300 2,275 1,977 
Restricted stock, at cost11,165 11,345 4,050 
Loans held for sale3,563 8,829 2,297 
Loans, before allowance for credit losses3,342,786 3,244,655 2,579,928 
Allowance for credit losses(38,863)(37,814)(25,060)
Loans, net of allowance for credit losses3,303,923 3,206,841 2,554,868 
Bank owned life insurance23,747 23,594 7,515 
Bank premises and equipment, net64,713 65,029 50,854 
Bank premises held for sale35 35 281 
Foreclosed assets1,519 3,080 2,637 
Goodwill59,820 59,876 29,322 
Intangible assets, net21,402 22,122 1,210 
Mortgage servicing rights, at fair value20,156 20,133 10,440 
Investments in unconsolidated subsidiaries1,614 1,614 1,165 
Accrued interest receivable23,447 19,900 16,881 
Other assets58,538 62,158 48,182 
Total assets$4,991,768 $4,975,810 $4,213,324 
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities
Deposits:
Noninterest-bearing$1,086,877 $1,125,823 $1,017,710 
Interest-bearing3,111,191 3,038,700 2,625,733 
Total deposits4,198,068 4,164,523 3,643,443 
Securities sold under agreements to repurchase28,900 38,729 48,130 
Federal Home Loan Bank advances177,650 177,572 60,000 
Subordinated notes39,454 39,435 39,376 
Junior subordinated debentures issued to capital trusts52,774 52,760 37,763 
Other liabilities38,671 51,939 25,539 
Total liabilities4,535,517 4,524,958 3,854,251 
Stockholders' Equity
Common stock327 327 293 
Surplus295,483 294,875 222,436 
Retained earnings256,050 241,777 223,495 
Accumulated other comprehensive income (loss)(78,432)(70,662)(77,462)
Treasury stock at cost(17,177)(15,465)(9,689)
Total stockholders’ equity456,251 450,852 359,073 
Total liabilities and stockholders’ equity$4,991,768 $4,975,810 $4,213,324 
SHARES OF COMMON STOCK OUTSTANDING31,774,140 31,865,868 28,752,626 


HBT Financial, Inc.
Page 9
HBT Financial, Inc.
Unaudited Consolidated Financial Summary
(dollars in thousands)September 30, 2023June 30, 2023September 30, 2022
LOANS
Commercial and industrial$386,933 $385,768 $240,671 
Commercial real estate - owner occupied297,242 303,522 226,524 
Commercial real estate - non-owner occupied901,929 882,598 718,089 
Construction and land development371,158 335,262 364,290 
Multi-family388,742 375,536 260,630 
One-to-four family residential488,655 482,442 328,667 
Agricultural and farmland275,239 259,858 245,234 
Municipal, consumer, and other232,888 219,669 195,823 
Total loans$3,342,786 $3,244,655 $2,579,928 
(dollars in thousands)September 30, 2023June 30, 2023September 30, 2022
DEPOSITS
Noninterest-bearing deposits$1,086,877 $1,125,823 $1,017,710 
Interest-bearing deposits:
Interest-bearing demand1,134,721 1,181,187 1,131,284 
Money market (1)
673,780 730,652 584,202 
Savings623,083 657,506 641,139 
Time (1)
679,607 469,355 269,108 
Total interest-bearing deposits3,111,191 3,038,700 2,625,733 
Total deposits$4,198,068 $4,164,523 $3,643,443 
____________________________________
(1)Time deposits include $115.0 million of brokered deposits as of September 30, 2023 and money market deposits include $51.0 million of brokered deposits as of June 30, 2023. There were no brokered deposits as of September 30, 2022.


HBT Financial, Inc.
Page 10
HBT Financial, Inc.
Unaudited Consolidated Financial Summary
Three Months Ended
September 30, 2023June 30, 2023September 30, 2022
(dollars in thousands)Average BalanceInterestYield/Cost *Average BalanceInterestYield/Cost *Average BalanceInterestYield/Cost *
ASSETS
Loans$3,296,703 $50,712 6.10 %$3,238,774 $48,189 5.97 %$2,481,920 $30,697 4.91 %
Securities1,324,686 7,429 2.22 1,384,180 7,680 2.23 1,470,092 7,842 2.12 
Deposits with banks77,595 714 3.65 84,366 781 3.71 105,030 458 1.73 
Other9,347 186 7.90 8,577 118 5.52 2,936 17 2.25 
Total interest-earning assets4,708,331 $59,041 4.97 %4,715,897 $56,768 4.83 %4,059,978 $39,014 3.81 %
Allowance for credit losses(38,317)(39,484)(24,717)
Noninterest-earning assets294,818 299,622 173,461 
Total assets$4,964,832 $4,976,035 $4,208,722 
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities
Interest-bearing deposits:
Interest-bearing demand$1,160,654 $761 0.26 %$1,224,285 $683 0.22 %$1,137,072 $144 0.05 %
Money market683,859 2,041 1.18 675,530 1,516 0.90 577,388 203 0.14 
Savings639,384 249 0.15 687,014 189 0.11 649,752 53 0.03 
Time585,372 4,160 2.82 447,146 1,935 1.74 271,870 187 0.27 
Total interest-bearing deposits3,069,269 7,211 0.93 3,033,975 4,323 0.57 2,636,082 587 0.09 
Securities sold under agreements to repurchase33,807 35 0.41 34,170 34 0.40 50,427 0.07 
Borrowings157,908 2,108 5.30 173,040 2,189 5.07 11,967 85 2.80 
Subordinated notes39,444 470 4.72 39,424 469 4.78 39,365 470 4.73 
Junior subordinated debentures issued to capital trusts52,767 938 7.05 52,752 881 6.70 37,755 473 4.97 
Total interest-bearing liabilities3,353,195 $10,762 1.27 %3,333,361 $7,896 0.95 %2,775,596 $1,624 0.23 %
Noninterest-bearing deposits1,105,472 1,145,089 1,031,407 
Noninterest-bearing liabilities46,564 43,080 20,736 
Total liabilities4,505,231 4,521,530 3,827,739 
Stockholders' Equity459,601 454,505 380,983 
Total liabilities and stockholders’ equity$4,964,832 $4,976,035 $4,208,722 
Net interest income/Net interest margin (1)
$48,279 4.07 %$48,872 4.16 %$37,390 3.65 %
Tax-equivalent adjustment (2)
675 0.06 715 0.06 674 0.07 
Net interest income (tax-equivalent basis)/
Net interest margin (tax-equivalent basis) (2) (3)
$48,954 4.13 %$49,587 4.22 %$38,064 3.72 %
Net interest rate spread (4)
3.70 %3.88 %3.58 %
Net interest-earning assets (5)
$1,355,136 $1,382,536 $1,284,382 
Ratio of interest-earning assets to interest-bearing liabilities1.401.411.46
Cost of total deposits0.69 %0.41 %0.06 %
Cost of funds0.96 0.71 0.17 
____________________________________
*Annualized measure.
(1)Net interest margin represents net interest income divided by average total interest-earning assets.
(2)On a tax-equivalent basis assuming a federal income tax rate of 21% and a state income tax rate of 9.5%.
(3)See "Reconciliation of Non-GAAP Financial Measures" below for reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures.
(4)Net interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.
(5)Net interest-earning assets represents total interest-earning assets less total interest-bearing liabilities.


HBT Financial, Inc.
Page 11
HBT Financial, Inc.
Unaudited Consolidated Financial Summary
Nine Months Ended
September 30, 2023September 30, 2022
(dollars in thousands)Average BalanceInterestYield/Cost *Average BalanceInterestYield/Cost *
ASSETS
Loans$3,183,641 $142,012 5.96 %$2,485,501 $86,687 4.66 %
Securities1,373,175 22,922 2.23 1,405,245 20,332 1.93 
Deposits with banks84,720 2,234 3.53 237,646 1,037 0.58 
Other8,457 420 6.64 2,829 50 2.36 
Total interest-earning assets4,649,993 $167,588 4.82 %4,131,221 $108,106 3.50 %
Allowance for credit losses(37,053)(24,467)
Noninterest-earning assets289,843 172,243 
Total assets$4,902,783 $4,278,997 
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities
Interest-bearing deposits:
Interest-bearing demand$1,204,937 $1,902 0.21 %$1,146,635 $430 0.05 %
Money market664,846 4,492 0.90 585,815 434 0.10 
Savings678,495 616 0.12 653,659 155 0.03 
Time463,937 6,898 1.99 289,000 643 0.30 
Total interest-bearing deposits3,012,215 13,908 0.62 2,675,109 1,662 0.08 
Securities sold under agreements to repurchase35,844 107 0.40 51,503 26 0.07 
Borrowings148,443 5,594 5.04 4,344 87 2.67 
Subordinated notes39,424 1,409 4.78 39,345 1,409 4.79 
Junior subordinated debentures issued to capital trusts51,054 2,582 6.76 37,738 1,231 4.36 
Total interest-bearing liabilities3,286,980 $23,600 0.96 %2,808,039 $4,415 0.21 %
Noninterest-bearing deposits1,123,917 1,060,566 
Noninterest-bearing liabilities46,310 21,883 
Total liabilities4,457,207 3,890,488 
Stockholders' Equity445,576 388,509 
Total liabilities and stockholders’ equity$4,902,783 4,278,997 
Net interest income/Net interest margin (1)
$143,988 4.14 %$103,691 3.36 %
Tax-equivalent adjustment (2)
2,092 0.06 1,801 0.05 
Net interest income (tax-equivalent basis)/
Net interest margin (tax-equivalent basis) (2) (3)
$146,080 4.20 %$105,492 3.41 %
Net interest rate spread (4)
3.86 %3.29 %
Net interest-earning assets (5)
$1,363,013 $1,323,182 
Ratio of interest-earning assets to interest-bearing liabilities1.411.47
Cost of total deposits0.45 %0.06 %
Cost of funds0.72 0.15 
____________________________________
*Annualized measure.
(1)Net interest margin represents net interest income divided by average total interest-earning assets.
(2)On a tax-equivalent basis assuming a federal income tax rate of 21% and a state income tax rate of 9.5%.
(3)See "Reconciliation of Non-GAAP Financial Measures" below for reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures.
(4)Net interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.
(5)Net interest-earning assets represents total interest-earning assets less total interest-bearing liabilities.


HBT Financial, Inc.
Page 12
HBT Financial, Inc.
Unaudited Consolidated Financial Summary
(dollars in thousands)September 30, 2023June 30, 2023September 30, 2022
NONPERFORMING ASSETS
Nonaccrual$6,678 $7,534 $3,206 
Past due 90 days or more, still accruing (1)
— — 
Total nonperforming loans6,678 7,535 3,206 
Foreclosed assets1,519 3,080 2,637 
Total nonperforming assets$8,197 $10,615 $5,843 
Nonperforming loans that are wholly or partially guaranteed by the U.S. Government$1,968 $2,332 $— 
Allowance for credit losses$38,863 $37,814 $25,060 
Loans, before allowance for credit losses3,342,786 3,244,655 2,579,928 
CREDIT QUALITY RATIOS
Allowance for credit losses to loans, before allowance for credit losses1.16 %1.17 %0.97 %
Allowance for credit losses to nonaccrual loans581.96 501.91 781.66 
Allowance for credit losses to nonperforming loans581.96 501.84 781.66 
Nonaccrual loans to loans, before allowance for credit losses0.20 0.23 0.12 
Nonperforming loans to loans, before allowance for credit losses0.20 0.23 0.12 
Nonperforming assets to total assets0.16 0.21 0.14 
Nonperforming assets to loans, before allowance for credit losses, and foreclosed assets0.25 0.33 0.23 
____________________________________
(1)Prior to 2023, excludes loans acquired with deteriorated credit quality that are past due 90 or more days and accruing. Such loans totaled $22 thousand as of September 30, 2022.



HBT Financial, Inc.
Page 13
HBT Financial, Inc.
Unaudited Consolidated Financial Summary
Three Months EndedNine Months Ended September 30,
(dollars in thousands)September 30,
2023
June 30,
2023
September 30,
2022
20232022
ALLOWANCE FOR CREDIT LOSSES
Beginning balance$37,814 $38,776 $24,734 $25,333 $23,936 
Adoption of ASC 326— — — 6,983 — 
PCD allowance established in acquisition— — — 1,247 — 
Provision for credit losses983 (1,080)386 5,004 (53)
Charge-offs(412)(179)(222)(733)(515)
Recoveries478 297 162 1,029 1,692 
Ending balance$38,863 $37,814 $25,060 $38,863 $25,060 
Net charge-offs (recoveries)$(66)$(118)$60 $(296)$(1,177)
Average loans3,296,703 3,238,774 2,481,920 3,183,641 2,485,501 
Net charge-offs (recoveries) to average loans *(0.01)%(0.01)%0.01 %(0.01)%(0.06)%
____________________________________
*Annualized measure.
Three Months EndedNine Months Ended September 30,
(dollars in thousands)September 30,
2023
June 30,
2023
September 30,
2022
20232022
PROVISION FOR CREDIT LOSSES
Loans (1)
$983 $(1,080)$386 $5,004 $(53)
Unfunded lending-related commitments (1)
297 650 — 1,456 — 
Debt securities(800)200 — — — 
Total provision for credit losses$480 $(230)$386 $6,460 $(53)
____________________________________
(1)Includes recognition of an allowance for credit losses on non-PCD loans of $5.2 million and an allowance for credit losses on unfunded commitments of $0.7 million in connection with the Town and Country merger during the first quarter of 2023.


HBT Financial, Inc.
Page 14
Reconciliation of Non-GAAP Financial Measures –
Adjusted Net Income and Adjusted Return on Average Assets
Three Months EndedNine Months Ended September 30,
(dollars in thousands)September 30,
2023
June 30,
2023
September 30,
2022
20232022
Net income$19,715 $18,473 $15,627 $47,396 $43,316 
Adjustments:
Acquisition expenses (1)
— (627)(462)(13,691)(462)
Gains (losses) on sales of closed branch premises— 75 (38)75 141 
Realized gains (losses) on sales of securities(813)— — (1,820)— 
Mortgage servicing rights fair value adjustment23 141 351 (460)2,446 
Total adjustments(790)(411)(149)(15,896)2,125 
Tax effect of adjustments226 112 (80)4,382 (728)
Total adjustments after tax effect(564)(299)(229)(11,514)1,397 
Adjusted net income$20,279 $18,772 $15,856 $58,910 $41,919 
Average assets$4,964,832 $4,976,035 $4,208,722 $4,902,783 $4,278,997 
Return on average assets *1.58 %1.49 %1.47 %1.29 %1.35 %
Adjusted return on average assets *1.62 1.51 1.49 1.61 1.31 
____________________________________
*Annualized measure.
(1)Includes recognition of an allowance for credit losses on non-PCD loans of $5.2 million and an allowance for credit losses on unfunded commitments of $0.7 million in connection with the Town and Country merger during the first quarter of 2023.
Reconciliation of Non-GAAP Financial Measures –
Adjusted Earnings Per Share
Three Months EndedNine Months Ended September 30,
(dollars in thousands, except per share amounts)September 30,
2023
June 30,
2023
September 30,
2022
20232022
Numerator:
Net income$19,715 $18,473 $15,627 $47,396 $43,316 
Earnings allocated to participating securities (1)
(10)(11)(17)(26)(51)
Numerator for earnings per share - basic and diluted$19,705 $18,462 $15,610 $47,370 $43,265 
Adjusted net income$20,279 $18,772 $15,856 $58,910 $41,919 
Earnings allocated to participating securities (1)
(10)(10)(17)(33)(49)
Numerator for adjusted earnings per share - basic and diluted$20,269 $18,762 $15,839 $58,877 $41,870 
Denominator:
Weighted average common shares outstanding31,829,25031,980,13328,787,66231,598,65028,887,757
Dilutive effect of outstanding restricted stock units137,18799,85072,643102,57456,761
Weighted average common shares outstanding, including all dilutive potential shares31,966,43732,079,98328,860,30531,701,22428,944,518
Earnings per share - Basic$0.62 $0.58 $0.54 $1.50 $1.50 
Earnings per share - Diluted$0.62 $0.58 $0.54 $1.49 $1.49 
Adjusted earnings per share - Basic$0.64 $0.59 $0.55 $1.86 $1.45 
Adjusted earnings per share - Diluted$0.63 $0.58 $0.55 $1.86 $1.45 
____________________________________
(1)The Company has granted certain restricted stock units that contain non-forfeitable rights to dividend equivalents. Such restricted stock units are considered participating securities. As such, we have included these restricted stock units in the calculation of basic earnings per share and calculate basic earnings per share using the two-class method. The two-class method of computing earnings per share is an earnings allocation formula that determines earnings per share for each class of common stock and participating security according to dividends declared (or accumulated) and participation rights in undistributed earnings.


HBT Financial, Inc.
Page 15
Reconciliation of Non-GAAP Financial Measures –
Net Interest Income and Net Interest Margin (Tax-equivalent Basis)
Three Months EndedNine Months Ended September 30,
(dollars in thousands)September 30,
2023
June 30,
2023
September 30,
2022
20232022
Net interest income (tax-equivalent basis)
Net interest income$48,279 $48,872 $37,390 $143,988 $103,691 
Tax-equivalent adjustment (1)
675 715 674 2,092 1,801 
Net interest income (tax-equivalent basis) (1)
$48,954 $49,587 $38,064 $146,080 $105,492 
Net interest margin (tax-equivalent basis)
Net interest margin *4.07 %4.16 %3.65 %4.14 %3.36 %
Tax-equivalent adjustment * (1)
0.06 0.06 0.07 0.06 0.05 
Net interest margin (tax-equivalent basis) * (1)
4.13 %4.22 %3.72 %4.20 %3.41 %
Average interest-earning assets$4,708,331 $4,715,897 $4,059,978 $4,649,993 $4,131,221 
____________________________________
*Annualized measure.
(1)On a tax-equivalent basis assuming a federal income tax rate of 21% and a state tax rate of 9.5%.
Reconciliation of Non-GAAP Financial Measures –
Efficiency Ratio (Tax-equivalent Basis)
Three Months EndedNine Months Ended September 30,
(dollars in thousands)September 30,
2023
June 30,
2023
September 30,
2022
20232022
Efficiency ratio (tax-equivalent basis)
Total noninterest expense$30,671 $33,973 $23,998 $100,577 $71,997 
Less: amortization of intangible assets720 720 243 1,950 733 
Adjusted noninterest expense$29,951 $33,253 $23,755 $98,627 $71,264 
Net interest income$48,279 $48,872 $37,390 $143,988 $103,691 
Total noninterest income9,490 9,914 8,234 26,841 26,828 
Operating revenue57,769 58,786 45,624 170,829 130,519 
Tax-equivalent adjustment (1)
675 715 674 2,092 1,801 
Operating revenue (tax-equivalent basis) (1)
$58,444 $59,501 $46,298 $172,921 $132,320 
Efficiency ratio51.85 %56.57 %52.07 %57.73 %54.60 %
Efficiency ratio (tax-equivalent basis) (1)
51.25 55.89 51.31 57.04 53.86 
____________________________________
(1)On a tax-equivalent basis assuming a federal income tax rate of 21% and a state tax rate of 9.5%.


HBT Financial, Inc.
Page 16
Reconciliation of Non-GAAP Financial Measures –
Tangible Common Equity to Tangible Assets and Tangible Book Value Per Share
(dollars in thousands, except per share data)September 30, 2023June 30, 2023September 30, 2022
Tangible Common Equity
Total stockholders' equity$456,251 $450,852 $359,073 
Less: Goodwill59,820 59,876 29,322 
Less: Intangible assets, net21,402 22,122 1,210 
Tangible common equity$375,029 $368,854 $328,541 
Tangible Assets
Total assets$4,991,768 $4,975,810 $4,213,324 
Less: Goodwill59,820 59,876 29,322 
Less: Intangible assets, net21,402 22,122 1,210 
Tangible assets$4,910,546 $4,893,812 $4,182,792 
Total stockholders' equity to total assets9.14 %9.06 %8.52 %
Tangible common equity to tangible assets7.64 7.54 7.85 
Shares of common stock outstanding31,774,140 31,865,868 28,752,626 
Book value per share$14.36 $14.15 $12.49 
Tangible book value per share11.80 11.58 11.43 
Reconciliation of Non-GAAP Financial Measures –
Return on Average Tangible Common Equity,
Adjusted Return on Average Stockholders' Equity and Adjusted Return on Tangible Common Equity
Three Months EndedNine Months Ended September 30,
(dollars in thousands)September 30,
2023
June 30,
2023
September 30,
2022
20232022
Average Tangible Common Equity
Total stockholders' equity$459,601 $454,505 $380,983 $445,576 $388,509 
Less: Goodwill59,875 59,876 29,322 56,406 29,322 
Less: Intangible assets, net21,793 22,520 1,356 20,005 1,597 
Average tangible common equity$377,933 $372,109 $350,305 $369,165 $357,590 
Net income$19,715 $18,473 $15,627 $47,396 $43,316 
Adjusted net income20,279 18,772 15,856 58,910 41,919 
Return on average stockholders' equity *17.02 %16.30 %16.27 %14.22 %14.91 %
Return on average tangible common equity *20.70 19.91 17.70 17.17 16.20 
Adjusted return on average stockholders' equity *17.51 %16.57 %16.51 %17.68 %14.43 %
Adjusted return on average tangible common equity *21.29 20.23 17.96 21.34 15.67 
____________________________________
*Annualized measure.

hbt-20230930ex992
HBT Financial, Inc. October 23, 2023 Q3 2023 Results Presentation


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 1 Forward-Looking Statements Readers should note that in addition to the historical information contained herein, this presentation contains, and future oral and written statements of HBT Financial, Inc. (the “Company” or “HBT”) and its management may contain, "forward-looking statements" within the meanings of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "will," "propose," "may," "plan," "seek," "expect," "intend," "estimate," "anticipate," "believe," "continue,“ or “should,” or similar terminology. Any forward-looking statements presented herein are made only as of the date of this presentation, and the Company does not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise. Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to: (i) the strength of the local, state, national and international economies (including effects of inflationary pressures and supply chain constraints); (ii) the economic impact of any future terrorist threats and attacks, widespread disease or pandemics (including the COVID-19 pandemic in the United States), acts of war or other threats thereof (including the Israeli-Palestinian conflict and the Russian invasion of Ukraine), or other adverse external events that could cause economic deterioration or instability in credit markets, and the response of the local, state and national governments to any such adverse external events; (iii) changes in accounting policies and practices, as may be adopted by state and federal regulatory agencies, the FASB or the PCAOB (including the Company’s adoption of the current expected credit losses ("CECL") methodology); (iv) changes in state and federal laws, regulations and governmental policies concerning the Company’s general business and any changes in response to the recent failures of other banks; (v) changes in interest rates and prepayment rates of the Company’s assets (including the impact of LIBOR phase-out and the recent and potential additional rate increases by the Federal Reserve); (vi) increased competition in the financial services sector, including from non-bank competitors such as credit unions and “fintech” companies, and the inability to attract new customers; (vii) changes in technology and the ability to develop and maintain secure and reliable electronic systems; (viii) unexpected results of acquisitions, which may include failure to realize the anticipated benefits of acquisitions and the possibility that transaction costs may be greater than anticipated; (ix) the loss of key executives or employees; (x) changes in consumer spending; (xi) unexpected outcomes of existing or new litigation involving the Company; (xii) the economic impact of exceptional weather occurrences such as tornadoes, floods and blizzards; (xiii) fluctuations in the value of securities held in our securities portfolio; (xiv) concentrations within our loan portfolio, large loans to certain borrowers, and large deposits from certain clients; (xv) the concentration of large deposits from certain clients who have balances above current FDIC insurance limits and may withdraw deposits to diversify their exposure; (xvi) the level of non-performing assets on our balance sheets; (xvii) interruptions involving our information technology and communications systems or third-party servicers; (xviii) breaches or failures of our information security controls or cybersecurity-related incidents, and (xix) the ability of the Company to manage the risks associated with the foregoing as well as anticipated. Readers should note that the forward-looking statements included in this presentation are not a guarantee of future events, and that actual events may differ materially from those made in or suggested by the forward-looking statements. Additional information concerning the Company and its business, including additional factors that could materially affect the Company’s financial results, is included in the Company’s filings with the Securities and Exchange Commission. Non-GAAP Financial Measures This presentation includes certain non-GAAP financial measures. While the Company believes these are useful measures for investors, they are not presented in accordance with GAAP. You should not consider non-GAAP measures in isolation or as a substitute for the most directly comparable or other financial measures calculated in accordance with GAAP. Because not all companies use identical calculations, the presentation herein of non-GAAP financial measures may not be comparable to other similarly titled measures of other companies. Tax-equivalent adjustments assume a federal tax rate of 21% and state tax rate of 9.5%. For a reconciliation of the non-GAAP measures we use to the most closely comparable GAAP measures, see the Appendix to this presentation.


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 2 Q3 2023 Highlights Continued loan growth and excellent asset quality n Strong loan production during Q3 2023 mainly from existing loan relationships, while maintaining consistently conservative underwriting standards, with loans increasing $98.1 million, or 3.0%, compared to June 30, 2023 n Maintained excellent asset quality with the ratio of nonperforming assets to total assets of 0.16% and net recoveries to average loans of 0.01% n Limited exposure to higher risk categories, such as office CRE, which represents only 5% of total loan portfolio Strong profitability n Net income of $19.7 million, or $0.62 per diluted share; return on average assets (ROAA) of 1.58% and return on average tangible common equity (ROATCE)1 of 20.70% n Adjusted net income1 of $20.3 million, or $0.63 per diluted share; adjusted ROAA1 of 1.62% and adjusted ROATCE1 of 21.29% n Disciplined management of noninterest expenses, which decreased by 9.7% compared to Q2 2023 Diversified deposit base n Maintained a strong net interest margin of 4.07% and a net interest margin (tax-equivalent basis)1 of 4.13%, both down 9 basis points compared to Q2 2023 n Cost of funds increased 25 basis points, to 0.96%, and total cost of deposits increased 28 basis points, to 0.69%, while yield on average earning assets increased by 14 basis points, to 4.97% n Deposits increased $33.5 million, compared to June 30, 2023, with brokered deposits increasing $64.0 million 1 See "Non-GAAP reconciliations" in the Appendix for reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 3 Financial Highlights ($mm) 2020 2021 2022 3Q23 YTDAs of or for the period ended B al an ce S he et Total assets $3,667 $4,314 $4,287 $4,992 Total loans 2,247 2,500 2,620 3,343 Total deposits 3,131 3,738 3,587 4,198 Core deposits (%)1 99.1 % 98.3 % 99.2 % 94.5 % Loans-to-deposits 71.8 % 66.9 % 73.0 % 79.6 % CET1 (%) 13.1 % 13.4 % 13.1 % 11.9 % TCE / TA1 9.3 % 8.9 % 8.1 % 7.6 % K ey P er fo rm an ce In di ca to rs Adjusted ROAA* 1 1.15 % 1.43 % 1.31 % 1.61 % Adjusted ROATCE* 1 12.3 % 16.1 % 15.8 % 21.3 % NIM (FTE)* 1 3.60 % 3.23 % 3.60 % 4.20 % Yield on loans* 4.69 % 4.68 % 4.91 % 5.96 % Cost of deposits* 0.14 % 0.07 % 0.07 % 0.45 % Cost of funds* 0.21 % 0.16 % 0.19 % 0.72 % Efficiency ratio (FTE)1 58.9 % 55.8 % 56.9 % 57.0 % C re di t NCOs / loans* 0.04 % (0.01) % (0.08) % (0.01) % ACL / loans 1.42 % 0.96 % 0.97 % 1.16 % NPLs / loans 0.44 % 0.11 % 0.08 % 0.20 % NPAs / loans + OREO 0.63 % 0.24 % 0.20 % 0.25 % Company Snapshot Overview Loan Composition Note: Financial data as of and for the three months ended September 30, 2023 unless otherwise indicated; * Annualized measure; 1 Non-GAAP financial measure. See “Non-GAAP Reconciliations” in the Appendix for reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures. Deposit Composition ü Company incorporated in 1982 from base of family-owned banks and completed its IPO in October 2019 ü Headquartered in Bloomington, Illinois, with operations throughout Illinois and Eastern Iowa ü Strong, granular, and low-cost deposit franchise with 69bps cost of deposits, 94.5% core deposits1 ü Conservative credit culture, with net recoveries to average loans of 8bps for the year ended December 31, 2022 and net recoveries to average loans of 1bp for the nine months ended September 30, 2023 ü High profitability sustained through cycles Noninterest- bearing demand: 26% Interest-bearing demand: 27%Money market: 16% Savings: 15% Time: 16%C&I: 11% CRE–Owner occupied: 9% CRE–Non- owner occupied: 27% C&D: 11% Multi-family: 12% 1-4 Family residential: 15% Agricultural & farmland: 8% Municipal, consumer & other: 7% Commercial Commercial Real Estate


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 4 4.16% 0.01% 0.16% (0.03)% (0.23)% 4.07% 2Q23 Loan Discount Accretion Loans Other Earning Assets Deposit Costs 3Q23 Earnings Overview ($000) 3Q23 Non-GAAP Adjustments1 Adjusted 3Q231 Interest and dividend income $59,041 — $59,041 Interest expense 10,762 — 10,762 Net interest income 48,279 — 48,279 Provision for credit losses 480 — 480 Net interest income after provision for credit losses 47,799 — 47,799 Noninterest income 9,490 790 10,280 Noninterest expense 30,671 — 30,671 Income before income tax expense 26,618 790 27,408 Income tax expense 6,903 226 7,129 Net income $19,715 $564 $20,279 n Net interest income decreased slightly from the second quarter of 2023 with increased funding costs largely offset by higher yields on loans and a more favorable interest-earning asset mix n Net interest margin decreased 9 basis points to 4.07% n Increased reserve requirements driven by loan growth and changes in economic forecast and qualitative factors were partially offset by reversal of allowance related to one bank subordinated debt security and a decrease in specific reserves n Excluding the realized losses on sale of securities of $0.8 million, noninterest income increased $0.4 million, primarily reflecting a $0.6 million gain on sale of foreclosed assets compared to a $0.1 million loss included in the second quarter of 2023 results n Excluding $0.6 million acquisition-related expenses included in the second quarter of 2023 results, noninterest expense decreased by $2.7 million, primarily attributable to the realization of planned cost reductions following the Town and Country core system conversion completed in April 2023 and absence of $0.8 million of legal fees and $0.8 million of accruals related to pending legal matters previously disclosed and incurred during the second quarter of 2023 Highlights Relative to Previous Quarter * Annualized measures; 1 Non-GAAP financial measure. See “Non-GAAP Reconciliations” in the Appendix for reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures; 2 Reflects contribution of loan interest income to net interest margin, excluding loan discount accretion and nonaccrual interest recoveries. 2 3Q23 NIM Analysis*


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 5 0.25% 5.43% 0.07% 0.69% Fed Funds Rate Cost of Deposits* 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 —% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% Deposit Overview Source: St. Louis FRED * Annualized measure; 1 Represents quarterly average of federal funds target rate upper limit; 2 Weighted average spot interest rates do not include impact of purchase accounting adjustment amortization Deposit Base Highlights n Highly granular deposit base with cost increases in line with expectations during the third quarter of 2023 n Top 100 depositors, by balance, make up 13% of our deposit base, and the top 200 depositors make up 17% n Excluding brokered deposits, account balances consist of 67% retail, 22% business, and 11% public funds as of September 30, 2023 n Uninsured and uncollateralized deposits estimated to be $559 million, or 13% of total deposits, as of September 30, 2023 Interest Costs* 3Q23 Spot Interest Rates2 As of 9/30/23 Interest-bearing demand 0.26 % 0.33 % Money market 1.18 % 1.46 % Savings 0.15 % 0.27 % Time 2.82 % 3.32 % Total interest-bearing deposits 0.93 % 1.22 % Total deposits 0.69 % 0.90 % 1 Deposit Beta (4Q21 to 3Q23): 12.0%


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 6 n Third quarter 2023 net interest margin decreased 9 basis points from the prior quarter, primarily attributable to higher funding costs which outpaced an increase in asset yields n 37% of the loan portfolio matures or reprices within the next 12 months n Loan mix is 64% fixed rate and 36% variable rate, and 70% of variable rate loans have floors Net Interest Margin Annual Quarterly * Annualized measure; 1 Tax-equivalent basis metric; see "Non-GAAP reconciliations" in the Appendix for reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures FTE NIM*1 GAAP NIM* Accretion of acquired loan discounts contribution to NIM* PPP loan fees contribution to NIM* FTE NIM1 GAAP NIM Accretion of acquired loan discounts contribution to NIM PPP loan fees contribution to NIM Percentage of Loans Maturing or Repricing 31.3% 5.9% 21.2% 24.2% 17.4% Fixed Variable <3m 3m-12m 12m-3y 3y-5y 5y+ 4.38% 3.60% 3.23% 3.60% 4.20%* 4.31% 3.54% 3.18% 3.54% 4.14%* 2019 2020 2021 2022 3Q23 YTD 3.72% 4.17% 4.26% 4.22% 4.13% 3.65% 4.10% 4.20% 4.16% 4.07% 3Q22 4Q22 1Q23 2Q23 3Q23 7bps 2bps 3bps 2bps 9bps N/A 9bps 24bps 4bps 0bps 2bps 2bps 7bps 9bps 10bps 1bps 0bp 0bps 0bps 0bps


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 71 Market area defined as within 60 miles of a branch Loan Portfolio Overview: Commercial and Commercial Real Estate n $1.66 billion portfolio as of September 30, 2023 Ø $902 million in non-owner occupied CRE primarily supported by rental cash flow of the underlying properties Ø $371 million in construction and land development loans primarily to developers to sell upon completion or for long-term investment Ø $389 million in multi-family loans secured by 5+ unit apartment buildings n Office CRE exposure characterized by solid credit metrics as of September 30, 2023 with only 2.0% rated pass-watch, less than 0.1% rated substandard, and less than 0.1% past due 30 days or more Commercial Real Estate PortfolioCommercial Loan Portfolio n $387 million C&I loans outstanding as of September 30, 2023 Ø For working capital, asset acquisition, and other business purposes Ø Underwritten primarily based on borrower’s cash flow and majority further supported by collateral and personal guarantees; loans based primarily in-market1 n $297 million owner-occupied CRE outstanding as of September 30, 2023 Ø Primarily underwritten based on cash flow of the business occupying the property and supported by personal guarantees; loans based primarily in-market Health Care and Social Assistance: 11% Auto Repair & Dealers: 9% Construction: 8% Real Estate, Rental, and Leasing: 8% Retail Trade-Other: 7% Wholesale Trade: 7%Manufacturing: 6% Finance and Insurance: 6% Restaurants and Bars: 6% Professional, Scientific, and Technical Services: 4% Arts, Entertainment, and Recreation: 3% Grain Elevators: 2% Other: 23% Multi-Family: 33% Warehouse/ Manufacturing: 13% Retail: 12% Office: 10% Hotels: 6% Senior Living Facilities: 6% Land and Lots: 5% 1-4 Family Construction: 3% Medical: 2% Auto Repair & Dealers: 1% Other: 9%


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 8 Loan Portfolio Overview: Selected Portfolios Agriculture and Farmland n $275 million portfolio as of September 30, 2023 n Borrower operations focus primarily on corn and soybean production n Federal crop insurance programs mitigate production risks n No customer accounts for more than 3% of the agriculture portfolio n Weighted average LTV on Farmland loans is 59.7% n 1.2% is rated substandard as of September 30, 2023 n Over 70% of agricultural borrowers have been with the Company for at least 10 years, and over half for more than 20 years Municipal, Consumer and Other n $233 million portfolio as of September 30, 2023 Ø Loans to municipalities are primarily federally tax-exempt Ø Consumer loans include loans to individuals for consumer purposes and typically consist of small balance loans Ø Other loans primarily include loans to nondepository financial institutions n Commercial Tax-Exempt - Senior Living Ø $45.2 million portfolio with $4.5 million average loan size Ø Weighted average LTV of 82.4% Ø 33.5% is rated substandard n Commercial Tax-Exempt – Medical Ø $27.6 million portfolio with $2.1 million average loan size Ø Weighted average LTV of 38.3% Ø No loans are rated substandard Farmland: 61% Crops: 30% Equipment: 7% Livestock: 2% Municipalities: 19% Commercial Tax- Exempt (Senior Living): 19% Commercial Tax- Exempt (Medical): 12%Consumer: 6% Other: 44%


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 9 Loan Portfolio Overview: ACL and Asset Quality 3Q23 ACL on Loans Activity ($000) Watch List and Nonaccrual Loans ($000) As of 6/30/23 Change As of 9/30/23 Pass-Watch $ 93,442 $ (3,083) $ 90,359 Substandard 72,756 (4,494) 68,262 Nonaccrual 7,534 (856) 6,678 CECL Methodology and Oversight n Discounted cash flow method utilized for majority of loan segments, except weighted average remaining maturity method used for consumer loans n Credit loss drivers determined by regression analysis includes company and peer loss data and macroeconomic variables, including unemployment and GDP n ACL / Loans of 1.16% as of September 30, 2023 n ACL Committee provides model governance and oversight ACL on Unfunded Commitments and Debt Securities n ACL on unfunded lending-related commitments increased by $0.3 million to $4.4 million during the third quarter of 2023 n Release of $0.8 million ACL on AFS debt securities during the third quarter of 2023 recognized as a result of improvements in financial condition of the related bank subordinated debt issuer 37,814 66 (457) 545 895 38,863 2Q23 Net Recoveries Changes in Specific Reserves Changes in Economic Forecast and Qualitative Factors Changes in Portfolio and Other Changes 3Q23


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 10 4.5 4.8 5.9 5.7 5.0 1.6 1.7 1.9 2.4 1.5 0.4 0.4 0.2 0.8 0.3 Asset Management and Trust Services Agricultural Services - Farm Management Agricultural Services - Real Estate Brokerage Investment Brokerage Total 2019 2020 2021 2022 3Q23 YTD $0 $1 $2 $3 $4 $5 $6 $7 $8 $9 $10 Wealth Management Overview Comprehensive Wealth Management Services n Proprietary investment management solutions n Financial planning n Trust and estate administration Wealth Management Revenue Trends ($mm) Agricultural Services n Farm management services: Over 78,000 acres managed as of September 30, 2023 n Real estate brokerage including auction services n Farmland appraisals $7.0$6.8 $7.2 $8.4 $9.2 Over $2.3 billion of assets under management or administration as of September 30, 2023


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 11 Securities Portfolio Overview Financial data as of September 30, 2023, unless otherwise indicated Securities Overview Key Investment Portfolio Metrics ($000) AFS HTM Total Amortized Cost $ 854,796 $ 527,144 $ 1,381,940 Unrealized Gain/(Loss) (101,633) (76,831) (178,464) Allowance for Credit Losses — — — Fair Value 753,163 450,313 1,203,476 Book Yield 2.17 % 2.44 % 2.27 % Effective Duration (Years) 3.44 5.07 4.05 n Company’s debt securities consist primarily of the following types of fixed income instruments: n Agency guaranteed MBS: MBS pass-throughs, CMOs, and CMBS n Municipal Bonds: weighted average NRSRO credit rating of Aa2/AA n Treasury, Government Agency Debentures, and SBA- backed Full Faith and Credit Debt n Corporate Bonds: Investment Grade Corporate and Bank Subordinated Debt n Investment strategy focused on maximizing returns and managing the Company’s asset sensitivity with high credit quality intermediate duration investments n Company emphasizes predictable cash flows that limit faster prepayments when rates decline or extended durations when rates rise n Net loss of $0.8 million on sale of $39.4 million of municipal securities during third quarter of 2023 estimated to have a 3 quarter earn-back period. Portfolio Composition U.S. Treasury: 12% U.S. Gov't Agency: 11% Municipal: 20% Agency RMBS: 21% Agency CMBS: 32% Corporate: 4% Amortized Cost: $1,382mm Book Yield: 2.27% Book Yield: 2.50%Book Yield: 1.98% Book Yield: 1.38% Book Yield: 2.03% Book Yield: 2.92% Book Yield: 4.45%


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 12 Capital and Liquidity Overview Liquidity Sources ($000) 1 Non-GAAP financial measure. See “Non-GAAP Reconciliations” in the Appendix for reconciliation of non-GAAP financial measures to their most closely comparable GAAP financial measures.; 2 Represents FHLB advance capacity based on loans currently pledged. Additional capacity of approximately $372 million would be available by pledging additional eligible loans. As of 9/30/23 Balance of Cash and Cash Equivalents $111,913 Market Value of Unpledged Securities 789,563 Available FHLB Advance Capacity2 508,650 Available Fed Fund Lines of Credit 80,000 Total Estimated Sources of Liquidity $1,490,126 Capital and Liquidity Highlights n Overall capital levels remain strong, all capital measures increased during 3Q23, and remain well above regulatory requirements n Decreases in capital measures from YE22 to 1Q23 were primarily a result of the Town and Country acquisition n If all unrealized losses on debt securities, regardless of accounting classification, were included in tangible equity, tangible common equity to tangible assets would be 6.59% n With the loan to deposit ratio at 80%, there is more than sufficient on-balance sheet liquidity that is also supplemented by multiple untapped liquidity sources CET 1 Risk-Based Capital Ratio (%) 13.06 13.37 13.07 11.79 11.78 11.88 YE20 YE21 YE22 1Q23 2Q23 3Q23 Tangible Common Equity to Tangible Assets (%) 9.27 8.89 8.06 7.45 7.54 7.64 YE20 YE21 YE22 1Q23 2Q23 3Q23 1


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 13 Near-Term Outlook n Loan growth is expected to slow in 4Q23 from 3Q23 pace to low to mid-single digits on an annualized basis n We anticipate deposits to be flat or down slightly during 4Q23 as well as a continued mix shift towards higher cost products n Investment portfolio is expected to average approximately $30 million of principal cash flows a quarter during 4Q23 and 2024 with proceeds used to fund loan growth and/or decrease wholesale funding n NIM is expected to continue to decline modestly during 4Q23, in line with decline during 3Q23 n Noninterest income during 4Q23 is expected to be in line with 3Q23 n Noninterest expense should remain between $30 million and $32 million n Asset quality expected to remain solid, although increasing unemployment and a declining economy, if any were to occur, could cause increased provisions n Stock repurchase program will continue to be used opportunistically with $7.6 million available under the current plan as of September 30, 2023 n Current capital levels and stock valuation compared to peers support M&A, but environment and valuation expectations from sellers currently present a challenge


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 14 Our History – Long track record of organic and acquisitive growth Fred Drake named President and CEO of Heartland Bank and Trust Company and leads its entry into Bloomington- Normal 1992 1964 - 1982 George Drake purchases El Paso National Bank and assembles group of banks in rural communities in Central IL M.B. Drake starts bank in Central IL 1920 HBT Financial, Inc. incorporates as a multi- bank holding company owning three banks 1982 1997 All five banks owned by HBT Financial, Inc. merge into Heartland Bank and Trust Company Wave of FDIC- assisted and strategic acquisitions, including expansion into the Chicago MSA 2010-2015 Acquisition1 of Lincoln S.B. Corp (State Bank of Lincoln) 2018 Company crosses $1bn in assets 2007 1999 - 2008 Entry into several new markets in Central IL through de novo branches and acquisitions 1 Although the Lincoln S.B. Corp transaction is identified as an acquisition above, the transaction was accounted for as a change of reporting entity due to its common control with the Company 2019 Completion of IPO in October 2020 Merger of State Bank of Lincoln into Heartland Bank and Trust Company 2021 Entry into Iowa with NXT Bank acquisition 2023 Completed acquisition of Town and Country Financial Corporation


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 15 Full-Service Branches Central Illinois: 45 Chicago MSA: 18 Iowa: 4 Central Illinois branches Chicago MSA branches Iowa branches Our Markets Source: S&P Capital IQ; Financial data as of September 30, 2023 Full-Service Branch Locations Deposits Central Illinois: 69% Chicago MSA: 29% Iowa: 2% $4.2bn Loans Central Illinois: 50%Chicago MSA: 41% Iowa: 9% $3.3bn 67 Locations


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 16 Business Strategy n Drake family involved in Central IL banking since 1920 n Management lives and works in our communities n Community banking and relationship-based approach stems from adherence to our Midwestern values n Committed to providing products and services to support the unique needs of our customer base n Vast majority of loans originated to borrowers domiciled within 60 miles of a branch n Robust underwriting standards will continue to be a hallmark of the Company n Maintained sound credit quality and minimal originated problem asset levels during the Great Recession n Diversified loan portfolio primarily within footprint n Underwriting continues to be a strength as evidenced by NCOs / loans of (0.01)% during 2021, (0.08)% during 2022, and (0.01)% during 3Q23 YTD; NPLs / loans of 0.11% in 2021; 0.08% in 2022, and 0.20% at 3Q23 n Positioned to be the acquirer of choice for many potential partners in and adjacent to our existing markets n Successful integration of 10 community bank acquisitions2 since 2007 n Chicago MSA, in particular, has ~80 banking institutions with less than $2bn in assets n 1.43% ROAA3 and 3.23% NIM4 during 2021; 1.31% ROAA3 and 3.60% NIM4 during 2022; 1.61% ROAA3 and 4.20% NIM4 during 3Q23 YTD n Highly profitable through the Great Recession n Highly defensible market position (Top 2 deposit share rank in 6 of 7 largest Central Illinois markets in which the Company operates1) that contributes to our strong core deposit base and funding advantage n Continue to deploy our excess deposit funding (80% loan-to-deposit ratio as of 3Q23) into attractive loan opportunities in larger, more diversified markets n Efficient decision-making process provides a competitive advantage over the larger and more bureaucratic money center and super regional financial institutions that compete in our markets Preserve strong ties to our communities Deploy excess deposit funding into loan growth opportunities Maintain a prudent approach to credit underwriting Pursue strategic acquisitions and sustain strong profitability 1 Source: S&P Capital IQ, data as of June 30, 2023; 2 Includes merger with Lincoln S.B. Corp in 2018, although the transaction was accounted for as a change of reporting entity due to its common control with Company; 3 Metrics based on adjusted net income, which is a non-GAAP metric; for reconciliation with GAAP metrics, see “Non-GAAP reconciliations” in Appendix; 4 Metrics presented on tax- equivalent basis; for reconciliation with GAAP metric, see “Non-GAAP reconciliations” in Appendix. Small enough to know you, big enough to serve you


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 17 Experienced executive management team with deep community ties Fred L. Drake Executive Chairman 40 years with Company 43 years in industry J. Lance Carter President and Chief Executive Officer 22 years with Company 29 years in industry Lawrence J. Horvath Chief Lending Officer 13 years with Company 38 years in industry Mark W. Scheirer Chief Credit Officer 12 years with Company 31 years in industry Andrea E. Zurkamer Chief Risk Officer 10 years with Company 23 years in industry Diane H. Lanier Chief Retail Officer 26 years with Company 38 years in industry Peter Chapman Chief Financial Officer Joined HBT in Oct. 2022 29 years in industry


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 18 Talented Board of Directors with deep financial services industry experience Fred L. Drake Executive Chairman • Director since 1984 • 40 years with Company • 43 years in industry J. Lance Carter Director • Director since 2011 • President and CEO of HBT Financial and Heartland Bank • 22 years with Company • 29 years in industry Patrick F. Busch Director • Director since 1998 • Vice Chairman of Heartland Bank • 28 years with Company • 45 years in industry Eric E. Burwell Director • Director since 2005 • Owner, Burwell Management Company • Invests in a variety of real estate, private equity, venture capital and liquid investments Linda J. Koch Director • Director since 2020 • Former President and CEO of the Illinois Bankers Association • 36 years in industry Gerald E. Pfeiffer Director • Director since 2019 • Former Partner at CliftonLarsonAllen LLP with 46 years of industry experience • Former CFO of Bridgeview Bancorp Allen C. Drake Director • Director since 1981 • Retired EVP with 27 years of experience at Company • Formerly responsible for Company’s lending, administration, technology, personnel, accounting, trust and strategic planning Dr. C. Alvin Bowman Director • Director since 2019 • Former President of Illinois State University • 36 years in higher education Roger A. Baker Director • Director since 2022 • Former Chairman and President of NXT Bancorporation • Owner, Sinclair Elevator, Inc. • 15 years in industry


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 19 Investment Highlights 3 1 2 4 Track record of successfully integrating acquisitions Consistent performance through cycles drives long-term tangible book value growth Strong, granular, low-cost deposit base provides funding for loan growth opportunities Prudent risk management


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 20 Consistent performance through cycles. . . Drivers of Profitability Source: S&P Capital IQ as available on October 13, 2023; For 2006 through June 30, 2012, the Company’s pre-tax ROAA does not include Lincoln S.B. Corp. and its subsidiaries; 1 Non-GAAP financial measure; HBT pre-tax ROAA adjusted to exclude the following significant non-recurring items in the following years: 2011: $25.4 million bargain purchase gains; 2012: $11.4 million bargain purchase gains, $9.7 million net realized gain on securities, and $6.7 million net positive adjustments on FDIC indemnification asset and true-up liability; 2013: $9.1 million net realized loss on securities and $6.9 million net loss related to the sale of branches; 2 Represents 35 high performing major exchange-traded banks headquartered in the Midwest with $2-10bn in assets and a 2022 core return on average assets above 1.0% Strong, granular, low-cost deposits supported by our leading market share in our Central Illinois markets 1 Relationship-based business model that has allowed us to cultivate and underwrite attractively priced loans A robust credit risk management framework to prudently manage credit quality Diversified sources of fee income, including in wealth management 4 Consistent outperformance, even during periods of broad economic stress 1 2 3 Pre-Tax Return on Average Assets (%) Company Company Adjusted High-Performing Peer Median 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 0.00% 0.25% 0.50% 0.75% 1.00% 1.25% 1.50% 1.75% 2.00% 2.25% 2.50% 2.75% 3.00% 1 2


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 21 4.69 5.38 6.10 6.91 16.23 17.27 17.80 10.54 11.12 12.29 13.13 11.94 11.80 (7.26) 2007 2008 2009 2010 2017 2018 3Q19 IPO Dilution 3Q19 IPO Adjusted 2019 2020 2021 2022 3Q23 0.20 0.40 0.60 5.01 5.88 7.83 0.60 1.20 1.84 2.35 2007 2008 2009 2010 2017 2018 3Q19 2019 2020 2021 2022 3Q23 . . . drives long-term tangible book value growth Tangible Book Value Per Share Over Time ($ per share)1 1 For reconciliation with GAAP metric, see “Non-GAAP reconciliations” in Appendix; 2 In 2019, HBT Financial issued and sold 9,429,794 shares of common stock at a price of $16 per share. Total proceeds received by the Company, net of offering costs, were $138.5 million and were used to substantially fund a $170 million special dividend to stockholders of record prior to the initial public offering. Amount reflects dilution per share attributable to newly issued shares in initial public offering and special dividend payment. For reconciliation with GAAP metric, see “Non-GAAP reconciliations”; 3 Excludes dividends paid to S Corp shareholders for estimated tax liability prior to conversion to C Corp status on October 11, 2019. Excludes $170 million special dividend funded primarily from IPO proceeds. For reconciliation with GAAP metric, see “Non-GAAP reconciliations” in Appendix. 1 Cumulative Effect of Dividends Paid ($ per share)3 TBVPS CAGR1 : 12.0% TBVPS CAGR1 : 2.9% Town and Country acquisition dilution in 1Q23 estimated to be $0.68 when including acquisition expenses Negative AOCI reduces TBVPS by $2.47 as of 3Q23 2 2 n From 2007 to IPO, HBT generated 12.0% annual compound growth of TBVPS n Since our IPO in October 2019, TBVPS growth has been more muted, primarily due to unrealized losses on AFS securities and the Town and Country acquisition in 1Q23 n Despite an increase in interest rates from June 30, 2023 to September 30, 2023 driving a $7.8 million decrease in AOCI, TBVPS grew at a compound annualized growth rate of 7.8% in 3Q23 n Through calendar year 2024, assuming published 2024 EPS consensus estimates, current dividend levels, and the estimated reversal of unrealized losses on AFS securities based on interest rates as of September 30, 2023, our goal is to grow TBVPS at a rate in- line with, or more than, its growth from 2007 to our IPO


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 22 0.17 0.21 0.29 0.14 0.07 0.07 0.330.34 0.60 0.86 0.48 0.20 0.36 1.41 HBT High Performing Peers 2017 2018 2019 2020 2021 2022 1H23 HBT Cost of Deposits % (left axis) High Performing Peers Median Cost of Deposits % (left axis) Fed Funds Rate % (right axis) 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 0.00 0.50 1.00 1.50 2.00 0.00 1.50 3.00 4.50 6.00 Strong, granular, low-cost deposit base. . . Cost of Deposits (%) Remains Consistently Below Peers Source: S&P Capital IQ as available on October 13, 2023; 1 Represents median of 35 high performing major exchange-traded banks headquartered in the Midwest with $2-10bn in assets and a 2022 core return on average assets above 1.0% 1 2 With a Lower Deposit Beta than Peers Since Beginning of Current Interest Rate Tightening Cycle 1 Deposit Beta (4Q21 – 2Q23): HBT = 6.9%; High Performing Peers1 = 28.7%


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 23 . . . provides funding for loan growth opportunities2 Chicago MSA n Entered market in 2011 with acquisition of Western Springs National Bank n In-market disruption from recent bank M&A in Chicago MSA has provided attractive source of local talent n Scale and diversity of Chicago MSA provides continued growth opportunities, both in lending and deposits n Loan growth in Chicago MSA spread across a variety of commercial asset classes, including multifamily, mixed use, industrial, retail, and office Central Illinois n Deep-rooted market presence expanded through several acquisitions since 2007 n Central Illinois markets have been resilient during previous economic downturns n Town and Country merger should enhance loan growth through access to new markets and opportunities to expand customer relationships with HBT’s greater ability to meet larger borrowing needs Iowa n Entered market in 2021 with acquisition of NXT Bancorporation, Inc. n Continued opportunity to accelerate loan growth in Iowa thanks to HBT’s larger lending limit and ability to add to talented banking team n Top 2 deposit share rank in 6 of 7 largest Central Illinois markets in which the Company operates1 n Deposit base is long tenured and granular across a variety of product types dispersed across our geography n Proactive campaign to reach out to top 250 largest deposit customers has been run to solidify these relationships n Detailed deposit pricing guidance is available to all consumer and commercial staff to assist in pricing discussions with customers Leading Deposit Market Position Loan Growth Opportunities As of 9/30/23 Number of Accounts (000) Average Balance ($000) Weighted Average Age (Years) Noninterest- bearing 71 $15 15.2 Interest-bearing demand 61 19 19.0 Money market 6 118 10.9 Savings 47 13 16.7 Time 16 43 4.0 Total deposits 201 $21 14.0 Deposit Base Characteristics2 1 Source: S&P Capital IQ, data as of June 30, 2023; leading deposit share defined as top 3 deposit share rank; 2 Excludes overdrawn deposit accounts


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 24 Track record of successfully integrating acquisitions BankPlus Morton, IL $231mm deposits 2007 2012 Bank of Illinois Normal, IL FDIC-assisted $176mm deposits Western Springs National Bank Western Springs, IL FDIC-assisted $184mm deposits 2011 Citizens First National Bank Princeton, IL FDIC-assisted $808mm deposits 2018 Farmer City State Bank Farmer City, IL $70mm deposits 20152010 Bank of Shorewood Shorewood, IL FDIC-assisted $105mm deposits National Bancorp, Inc. (American Midwest Bank) Schaumburg, IL $447mm deposits Lincoln S.B. Corp (State Bank of Lincoln)1 Lincoln, IL $357mm deposits 1 Although the Lincoln Acquisition is identified as an acquisition in the above table, the transaction was accounted for as a change of reporting entity due to its common control with Company 2021 NXT Bancorporation, Inc. (NXT Bank) Central City, IA $182mm deposits Town and Country Financial Corporation (Town and Country Bank) Springfield, IL $720mm deposits 2023 3


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 25 Prudent risk management n Risk management culture instilled by management n Well-diversified loan portfolio across commercial, regulatory CRE, and residential n Primarily originated across in-footprint borrowers n Centralized credit underwriting group that evaluates all exposures over $750,000 to ensure uniform application of policies and procedures n Conservative credit culture, strong underwriting criteria, and regular loan portfolio monitoring n Robust internal loan review process annually reviews more than 40% of loan commitments. Strategy and Risk Management n Majority of directors are independent, with varied experiences and backgrounds n Board of directors has an established Audit Committee, Compensation Committee, Nominating and Corporate Governance Committee, and an Enterprise Risk Management (ERM) Committee n ERM program embodies the “three lines of defense” model and promotes business line risk ownership n Independent and robust internal audit structure, reporting directly to our Audit Committee n Strong compliance culture and compliance management system n Code of Ethics and other governance documents are available at ir.hbtfinancial.com Data Security & Privacy n Robust data security program, and under our privacy policy, we do not sell or share customer information with non-affiliated entities n Formal company-wide business continuity plan covering all departments, as well as a cybersecurity program that includes internal and outsourced, independent testing of our systems and employees Comprehensive Enterprise Risk Management Disciplined Credit Risk Management Historical Net Charge-Offs (%) 4 NCOs / Loans % 0.07% 0.04% (0.01)% (0.08)% (0.01)% 2019 2020 2021 2022 3Q23 YTD


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 26 Appendix


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 27 Non-GAAP Reconciliations Adjusted Net Income and Adjusted ROAA ($000) 2020 2021 2022 3Q23 YTD Net income $ 36,845 $ 56,271 $ 56,456 $ 47,396 Adjustments: Acquisition expenses1 — (1,416) (1,092) (13,691) Branch closure expenses — (748) — — Charges related to termination of certain employee benefit plans (1,457) — — — Gains (losses) on sale of closed branch premises — — 141 75 Realized losses on sale of securities — — — (1,820) Mortgage servicing rights fair value adjustment (2,584) 1,690 2,153 (460) Total adjustments (4,041) (474) 1,202 (15,896) Tax effect of adjustments 1,152 (95) (551) 4,382 Total adjustments after tax effect (2,889) (569) 651 (11,514) Adjusted net income $ 39,734 $ 56,840 $ 55,805 $ 58,910 Average assets $ 3,447,500 $ 3,980,538 $ 4,269,873 $ 4,902,783 Return on average assets 1.07 % 1.41 % 1.32 % 1.29 %* Adjusted return on average assets 1.15 % 1.43 % 1.31 % 1.61 %* * Annualized measure; 1 Includes recognition of an allowance for credit losses on non-PCD loans of $5.2 million and an allowance for credit losses on unfunded commitments of $0.7 million subsequent to the Town and Country merger during first quarter of 2023.


 
Arial 0 101 88 14 137 119 8 176 152 96 194 80 166 182 64 215 237 234 109 110 106 255 255 255 0 0 0 0 101 88 1st Level Bullet Text Charts Soft colors 211, 217, 216 211, 223, 220 217, 236, 215 211, 226, 222 242, 249, 248 249, 252, 251 250, 250, 250 229, 233, 213 28 Non-GAAP Reconciliations (cont’d) ROATCE, Adjusted ROAE, and Adjusted ROATCE ($000) 2020 2021 2022 3Q23 YTD Total stockholders’ equity $ 350,703 $ 380,080 $ 383,306 $ 445,576 Less: goodwill (23,620) (25,057) (29,322) (56,406) Less: core deposit intangible assets (3,436) (2,333) (1,480) (20,005) Average tangible common equity $ 323,647 $ 352,690 $ 352,504 $ 369,165 Net income $ 36,845 $ 56,271 $ 56,456 $ 47,396 Adjusted net income 39,734 56,840 55,805 58,910 Return on average stockholders’ equity 10.51 % 14.81 % 14.73 % 14.22 %* Return on average tangible common equity 11.38 % 15.95 % 16.02 % 17.17 %* Adjusted return on average stockholders’ equity 11.33