HomeTrust Bancshares, Inc.HTB
HomeTrust Bancshares, Inc. Leases Disclosure
Leases
As Lessee - Operating Leases
The Company's operating leases primarily include office space and bank branches. Certain leases include one or more options to renew, with renewal terms that can extend the lease term up to 15 additional years. The exercise of lease renewal options is at management's sole discretion. When it is reasonably certain that the Company will exercise our option to renew or extend the lease term, that option is included in estimating the value of the ROU and lease liability. The Company's lease agreements do not contain any material residual value guarantees or material restrictive covenants. Most of the Company's lease agreements include periodic rate adjustments for inflation. The depreciable life of ROU assets and leasehold improvements are limited to the shorter of the useful life or the expected lease term. Leases with an initial term of 12 months or less are not recorded on the Company's Consolidated Balance Sheets. The Company recognizes lease expenses for these leases over the lease term.
The following tables present supplemental balance sheet information related to operating leases. ROU assets are included in other assets and lease liabilities are included in other liabilities.
| December 31, 2025 | December 31, 2024 | ||||||||||
| $ | 7,634 | $ | 8,072 | ||||||||
| $ | 9,047 | $ | 9,557 | ||||||||
| Weighted-average remaining lease terms (years) | 7.5 | 8.2 | |||||||||
| Weighted-average discount rate | 3.64 | % | 3.48 | % | |||||||
The following schedule summarizes aggregate future minimum lease payments under these operating leases at December 31, 2025:
| 2026 | $ | 1,900 | |||
| 2027 | 1,925 | ||||
| 2028 | 1,738 | ||||
| 2029 | 970 | ||||
| 2030 | 873 | ||||
| Thereafter | 3,033 | ||||
| Total undiscounted minimum lease payments | 10,439 | ||||
| Less: amount representing interest | (1,392) | ||||
| Total lease liability | $ | 9,047 | |||
The following table presents components of operating lease expense for the periods indicated:
| Year Ended December 31, | Six Months Ended December 31, 2023 | Year Ended June 30, 2023 | |||||||||||||||||||||
| 2025 | 2024 | ||||||||||||||||||||||
| Operating lease cost (included in occupancy expense, net) | $ | 1,590 | $ | 1,623 | $ | 880 | $ | 1,515 | |||||||||||||||
| Variable lease cost (benefit) (included in occupancy expense, net) | (2) | 5 | 3 | 228 | |||||||||||||||||||
| Sublease income (included in other noninterest income) | (181) | (172) | (85) | (169) | |||||||||||||||||||
| Total operating lease expense, net | $ | 1,407 | $ | 1,456 | $ | 798 | $ | 1,574 | |||||||||||||||
As Lessee - Finance Lease
During the fiscal year ended June 30, 2023, the Company purchased the property associated with the finance lease reported historically. The Company purchased the property for $1,249, terminating the existing land lease. Prior to the purchase, interest expense on the lease liability totaled $60 for the fiscal year ended June 30, 2023.
Supplemental lease cash flow information for the periods indicated:
| Year Ended December 31, | Six Months Ended December 31, 2023 | Year Ended June 30, 2023 | |||||||||||||||||||||
| 2025 | 2024 | ||||||||||||||||||||||
| ROU assets - noncash additions (operating leases) | $ | 776 | $ | — | $ | 864 | $ | 5,179 | |||||||||||||||
| Cash paid for amounts included in the measurement of lease liabilities (operating leases) | 1,530 | 1,515 | 713 | 1,245 | |||||||||||||||||||
| Cash paid for amounts included in the measurement of lease liabilities (finance leases) | — | — | — | 89 | |||||||||||||||||||
As Lessor - General
The Company leases equipment to commercial end users under operating and finance lease arrangements. The Company's equipment finance leases consist mainly of construction, transportation, healthcare and manufacturing equipment. Many of its operating and finance leases offer the lessee the option to purchase the equipment at fair value or for a fixed purchase option, and most of the leases that do not have a purchase option include renewal provisions resulting in some leases continuing beyond initial contractual terms. The Company's leases do not include early termination options, and continued rent payments are due if leased equipment is not returned at the end of the lease.
As Lessor - Operating Leases
Operating lease income is recognized as a component of noninterest income on a straight-line basis over the lease term. Lease terms range from to seven years. Assets related to operating leases are included in other assets and the corresponding depreciation expense is recorded on a straight-line basis as a component of noninterest expense. The net book value of leased assets totaled $25,415 and $31,572 with a residual value of $13,167 and $13,662 as of December 31, 2025 and 2024, respectively.
The following schedule summarizes, as of December 31, 2025, aggregate future minimum lease payments to be received:
| 2026 | $ | 6,613 | |||
| 2027 | 3,556 | ||||
| 2028 | 3,199 | ||||
| 2029 | 2,704 | ||||
| 2030 | 1,286 | ||||
| Thereafter | 77 | ||||
| Total of future minimum payments | $ | 17,435 | |||
As Lessor - Finance Leases
Finance lease income is recognized as a component of loan interest income over the lease term. The finance leases are included as a component of the equipment finance class of financing receivables under the commercial loan segment of the loan portfolio. For the years ended December 31, 2025 and 2024, six months ended December 31, 2023, and year ended June 30, 2023, interest income on equipment finance leases totaled $5,376, $4,531, $2,019 and $3,390, respectively.
The lease receivable component of finance lease net investment included within equipment finance class of financing receivables was $82,305 and $70,420 at December 31, 2025 and 2024, respectively.
The following schedule summarizes, as of December 31, 2025, aggregate future minimum finance lease payments to be received:
| 2026 | $ | 28,800 | |||
| 2027 | 24,594 | ||||
| 2028 | 18,133 | ||||
| 2029 | 12,574 | ||||
| 2030 | 6,793 | ||||
| Thereafter | 4,590 | ||||
| Total undiscounted minimum payments | 95,484 | ||||
| Less: amount representing interest | (13,179) | ||||
| Total lease receivable | $ | 82,305 | |||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 13, 2026 | Showing above |
| 2024 | Mar 13, 2025 | |
| 2023 | Sep 11, 2023 | |
| 2022 | Sep 12, 2022 | |
| 2021 | Sep 10, 2021 | |
| 2020 | Sep 11, 2020 | |
| 2019 | Sep 13, 2019 | |
| 2018 | Sep 13, 2018 | |
| 2017 | Sep 12, 2017 | |
| 2016 | Sep 13, 2016 | |
About Leases Disclosures
Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.
Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.