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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 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): January 24, 2024

HORIZON BANCORP, INC.
(Exact name of registrant as specified in its charter)
Indiana000-1079235-1562417
(State or other jurisdiction of incorporation)(Commission File Number)(IRS Employer Identification No.)
515 Franklin Street
Michigan City, IN 46360
(Address of principal executive offices, including zip code)

(219) 879-0211
(Registrant's telephone number, including area code)

Not Applicable
(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:

☐ 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, no par valueHBNCThe 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. ☐


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Item 2.02 Results of Operations and Financial Condition

On January 24, 2024, Horizon Bancorp, Inc. (the “Company”) issued a press release announcing earnings and other financial results for the three–month period ended December 31, 2023. A copy of the press release is furnished as Exhibit 99.1 to this report and incorporated here by reference.

Item 7.01 Regulation FD Disclosure

Investor Presentation

The Company has prepared presentation materials (the “Investor Presentation”) that management intends to use during its previously announced Earnings Conference Call on Thursday, January 25, 2024 at 7:30 a.m. Central Time, and from time to time thereafter in presentations about the Company’s operations and performance. The Company may use the Investor Presentation, possibly with modifications, in presentations to current and potential investors, analysts, lenders, business partners, acquisition candidates, customers, employees and others with an interest in the Company and its business.

A copy of the Investor Presentation is furnished as Exhibit 99.2 to this report and incorporated here by reference. The Investor Presentation is also available on the Company’s investor website at www.horizonbank.com. Materials on the Company’s investor website are not part of or incorporated by reference into this report.

In accordance with General Instruction B.2 of Form 8–K, the information in this Current Report on Form 8–K, including Exhibits 99.1 and 99.2, shall not be deemed to be “filed” for purposes of Section 18 of the Securities and Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01 Financial Statements and Exhibits
(d) Exhibits
EXHIBIT INDEX
Exhibit No.DescriptionLocation
99.1Attached
99.2Attached
104Cover Page Interactive Data File (Embedded within the Inline XBRL document)Within the Inline XBRL document



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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.
Date:January 24, 2024HORIZON BANCORP, INC.
By:/s/ Mark E. Secor
Mark E. Secor,
Executive Vice President & Chief Financial Officer



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horizonbancorpinc876_sm-10.jpg
Contact:Mark E. Secor
Chief Financial Officer
Phone:(219) 873-2611
Fax:(219) 874-9280
Date:January 24, 2024

FOR IMMEDIATE RELEASE

Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results, Successfully Executes Balance Sheet Restructuring for Future Earnings Growth

Michigan City, Indiana, January 24, 2024 (GLOBE NEWSWIRE) – (NASDAQ GS: HBNC) – Horizon Bancorp, Inc. (“Horizon” or the “Company”) announced its unaudited financial results for the three and twelve months ended December 31, 2023.

“Horizon had a very positive and productive fourth quarter, led by strong loan growth, consistent core deposit balances, stabilized net interest margin and excellent asset quality,” President and Chief Executive Officer Thomas M. Prame said. “Additionally, we closed out the year with a successful restructure of our balance sheet, providing abundant liquidity to deploy into higher yielding assets and drive meaningful earnings growth in future quarters. Over the quarter, the team made significant progress building out our leasing platform, and we expect to see positive impacts from this effort in the second quarter of 2024. The franchise is experiencing positive momentum in its core business models and we are very optimistic about our position as we enter 2024 and our ability to create value for our shareholders and clients.”

Fourth Quarter 2023 Highlights

•Commercial loan growth totaled $85.7 million, increasing by 13.1% annualized during the quarter and 8.4% since December 31, 2022. Total loans were $4.42 billion at period end, increasing by 5.2% annualized during the quarter and 6.1% since December 31, 2022.

•Deposits remained resilient, totaling $5.7 billion at period end, compared to $5.7 billion on September 30, 2023. Brokered deposits and wholesale borrowing levels were consistent with third quarter balances.

•Net interest margin increased to 2.43% compared to 2.41% in the linked quarter. Interest income was $42.3 million compared to $42.1 million in the linked quarter.

•Cash totaled $519.4 million at period end, providing significant flexibility to drive future net interest margin growth through deployment into higher yielding assets throughout 2024.

•Excellent asset quality with net charge–offs representing 0.02% of average loans for the quarter, delinquent loans representing 0.38% of total loans at period end and non–performing loans representing 0.44% of total loans at period end, with the increase in provision primarily attributable to loan growth.

•In December, the Company announced a balance sheet repositioning that included the sale of $382.7 million in lower-yielding securities and the surrender of $112.8 million of bank owned life insurance (“BOLI”) policies. For the quarter, the Company recorded a net loss of $25.2 million, or $0.58 per diluted share. Excluding the $38.7 million after-tax impact of the balance sheet repositioning and approximately $705,000 in extraordinary expenses associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities, adjusted net income was $14.1 million, or $0.33 per diluted share, in the quarter. (See the “Non–GAAP Reconciliation of Net Income” table below.) This compared to third quarter 2023 net income of $16.2 million, or $0.37 per diluted share.


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Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results

•Horizon continues to maintain cash at the holding company level representing approximately eight quarters of dividend payments and fixed costs.


Summary
For the Three Months Ended
December 31,September 30,December 31,
Net Interest Income and Net Interest Margin202320232022
Net interest income$42,257 $42,090 $48,782 
Net interest margin2.43 %2.41 %2.85 %
Adjusted net interest margin2.42 %2.38 %2.83 %

For the Three Months Ended
December 31,September 30,December 31,
Asset Yields and Funding Costs202320232022
Interest earning assets4.69 %4.48 %3.88 %
Interest bearing liabilities2.74 %2.52 %1.29 %
For the Three Months Ended
Non–interest Income and December 31,September 30,December 31,
Mortgage Banking Income202320232022
Total non–interest income$(20,449)$11,830 $10,674 
Gain on sale of mortgage loans951 1,582 1,196 
Mortgage servicing income net of impairment724 631 637 
For the Three Months Ended
December 31,September 30,December 31,
Non–interest Expense202320232022
Total non–interest expense$39,330 $36,168 $35,711 
Annualized non–interest expense to average assets1.98 %1.81 %1.84 %
For the Three Months Ended
December 31,September 30,December 31,
Credit Quality202320232022
Allowance for credit losses to total loans1.13 %1.14 %1.21 %
Non–performing loans to total loans0.44 %0.45 %0.52 %
Percent of net charge–offs to average loans outstanding for the period0.02 %0.02 %0.01 %

Allowance forDecember 31,Net ReserveDecember 31,
Credit Losses20234Q233Q232Q231Q232022
Commercial$29,736 $264 $(882)$(802)$(1,289)$32,445 
Retail Mortgage2,503 (291)(854)(799)(1,130)5,577 
Warehouse481 (233)(179)95 (222)1,020 
Consumer17,309 590 1,638 1,956 1,703 11,422 
Allowance for Credit Losses (“ACL”)$50,029 $330 $(277)$450 $(938)$50,464 
ACL / Total Loans1.13 %1.21 %
Acquired Loan Discount (“ALD”)$4,790 $(358)$(371)$(639)$(121)$6,279 
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Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results

Income Statement Highlights

Net loss for the fourth quarter of 2023 was $25.2 million, or $0.58 diluted earnings per share, compared to net income of $16.2 million, or $0.37, for the linked quarter and $21.2 million, or $0.48, for the prior year period. The results for the fourth quarter of 2023 when compared to the linked quarter reflect a decrease in non–interest income of $32.3 million due primarily to a $31.6 million net loss on the sale of securities, and increases in credit loss expense of $1.0 million, income tax expense of $5.1 million due to the early surrender of bank owned life insurance, and non–interest expense of $3.2 million including $705,000 of extraordinary items.

Net interest income was $42.3 million in the fourth quarter of 2023, increasing $167,000 from $42.1 million in the linked quarter.

Total non–interest income of negative $20.4 million was $32.3 million lower in the fourth quarter of 2023 when compared to the third quarter of 2023, primarily due to a $31.6 million loss on sale of investment securities, a decrease in gain on sale of mortgage loans of $631,000 and a decrease of $397,000 in income from bank owned life insurance.

Total non–interest expense was $3.2 million higher in the fourth quarter of 2023 when compared to the third quarter of 2023, primarily due to a $1.8 million increase in salaries and employee benefits, a $835,000 increase in other expense, a $320,000 increase in other losses and a $225,000 increase in loan expense from the linked quarter. The increase in expenses was substantially due to costs associated with previously disclosed staffing restructuring, recruiting costs, the launch of Horizon Equipment Finance and related variable benefits cost.

Income tax expense was $5.1 million higher in the fourth quarter of 2023 when compared to the third quarter of 2023, primarily attributed to bank owned life insurance tax expense and excise tax of $8.6 million and a tax valuation allowance of $5.2 million recorded during the fourth quarter for the carry forward timing of recognizing capital losses from the previously announced fourth quarter securities sale for tax purposes.

Net Interest Margin

Horizon’s net interest margin (“NIM”) was 2.43% for the fourth quarter of 2023 compared to 2.41% for the third quarter of 2023.

Net interest margin, excluding acquisition–related purchase accounting adjustments (“adjusted net interest margin”), was 2.42% for the fourth quarter of 2023, compared to 2.38% for the linked quarter. (See the “Non–GAAP Reconciliation of Net Interest Margin” table below).

Lending Activity

Total loan balances and loans held for sale increased to $4.42 billion on December 31, 2023 compared to $4.36 billion on September 30, 2023. During the three months ended December 31, 2023, commercial loans increased $85.7 million, and residential mortgage loans increased $5.7 million, offset by a decrease in mortgage warehouse loans of $20.8 million, consumer loans of $12.0 million and loans held for sale of $1.4 million.

Lending activity in the fourth quarter was led by commercial lending growth. Mortgage banking activities aligned with cyclical client demand in a continuing rising interest rate environment, while the decline in consumer balances was aligned with the announced strategy to reduce exposure in the lower yielding indirect auto lending portfolio. These results reflect the continued strategic shift of the organization to focus on higher yielding assets.

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Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Loan Growth by Type
(Dollars in Thousands, Unaudited)
December 31,September 30,QTDQTDAnnualized
20232023$ Change% Change% Change
Commercial$2,674,960 $2,589,244 $85,716 3.3%13.1%
Residential mortgage681,136 675,399 5,737 0.8%3.4%
Mortgage warehouse45,078 65,923 (20,845)(31.6)%(125.4)%
Consumer1,016,456 1,028,436 (11,980)(1.2)%(4.6)%
Total loans4,417,630 4,359,002 58,628 1.3%5.3%
Loans held for sale1,418 2,828 (1,410)(49.9)%(197.8)%
Total loans and loans held for sale$4,419,048 $4,361,830 $57,218 1.3%5.2%


Loan Growth by Type
(Dollars in Thousands, Unaudited)
December 31,December 31,YTDYTD
20232022$ Change% Change
Commercial$2,674,960 $2,467,422 $207,538 8.4%
Residential mortgage681,136 653,292 27,844 4.3%
Mortgage warehouse45,078 69,529 (24,451)(35.2)%
Consumer1,016,456 967,755 48,701 5.0%
Total loans4,417,630 4,157,998 259,632 6.2%
Loans held for sale1,418 5,807 (4,389)(75.6)%
Total loans and loans held for sale$4,419,048 $4,163,805 $255,243 6.1%


Deposit Activity

Total deposit balances of $5.66 billion on December 31, 2023 decreased 0.6% compared to $5.70 billion on September 30, 2023.

The deposit mix at the end of the fourth quarter of 2023 represented the demand for clients to earn more interest on their excess funds and consumers spending excess liquidity. Horizon Bank's (the “Bank”) tenured and granular core deposit relationships remain steadfast, reflecting the value of Horizon's relationship banking model and local community engagement.

Deposit Growth by Type
(Dollars in Thousands, Unaudited)
December 31,September 30,QTDQTDAnnualized
20232023$ Change% Change% Change
Non–interest bearing$1,116,005 $1,126,703 $(10,698)(0.9)%(3.8)%
Interest bearing3,369,149 3,322,788 46,361 1.4%5.5%
Time deposits1,179,739 1,250,606 (70,867)(5.7)%(22.5)%
Total deposits$5,664,893 $5,700,097 $(35,204)(0.6)%(2.5)%


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Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Total deposit balances of $5.66 billion on December 31, 2023 decreased 3.3% compared to $5.86 billion on December 31, 2022.
Deposit Growth by Type
(Dollars in Thousands, Unaudited)
December 31,December 31,YTDYTD
20232022$ Change% Change
Non–interest bearing$1,116,005 $1,277,768 $(161,763)(12.7)%
Interest bearing3,369,149 3,582,891 (213,742)(6.0)%
Time deposits1,179,739 997,115 182,624 18.3%
Total deposits$5,664,893 $5,857,774 $(192,881)(3.3)%


Capital

The capital resources of the Company and the Bank continued to exceed regulatory capital ratios for “well capitalized” banks at December 31, 2023. Stockholders’ equity totaled $718.8 million at December 31, 2023 and the ratio of average stockholders’ equity to average assets was 8.97% for the twelve months ended December 31, 2023.

Tangible book value, which excludes intangible assets from total equity, per common share (“TBVPS”) was $12.60, increasing $0.60 during the fourth quarter of 2023. The sale of approximately $382.7 million in securities available for sale (“AFS”) in addition to lower long-term interest rates during the fourth quarter of 2023 reduced unrealized net losses on AFS securities and increased accumulated other comprehensive income (“AOCI”) by $56.8 million. TBVPS increased by $1.01 compared to December 31, 2022. Tangible common equity was 7.09% of tangible assets as of December 31, 2023, an increase of 37 basis points during the quarter and 53 basis points since December 31, 2022.

The following table presents the actual regulatory capital dollar amounts and ratios of the Company and the Bank as of December 31, 2023.
ActualRequired for Capital Adequacy PurposesRequired for Capital Adequacy Purposes with Capital BufferWell Capitalized
Under Prompt Corrective Action Provisions
AmountRatioAmountRatioAmountRatioAmountRatio
Total capital (to risk–weighted assets)
Consolidated$783,753 14.36 %$436,551 8.00 %$572,973 10.50 %N/AN/A
Bank713,767 13.12 %435,086 8.00 %571,051 10.50 %$543,858 10.00 %
Tier 1 capital (to risk–weighted assets)
Consolidated733,724 13.45 %327,413 6.00 %463,836 8.50 %N/AN/A
Bank663,738 12.20 %326,315 6.00 %462,279 8.50 %435,086 8.00 %
Common equity tier 1 capital (to risk–weighted assets)
Consolidated619,140 11.35 %245,560 4.50 %381,982 7.00 %N/AN/A
Bank663,738 12.20 %244,736 4.50 %380,701 7.00 %353,508 6.50 %
Tier 1 capital (to average assets)
Consolidated733,724 9.60 %305,704 4.00 %305,704 4.00 %N/AN/A
Bank663,738 8.55 %310,539 4.00 %310,539 4.00 %388,174 5.00 %



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Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Liquidity

The Bank maintains a stable base of core deposits provided by long–standing relationships with individuals and local businesses. These deposits are the principal source of liquidity for Horizon. Other sources of liquidity for Horizon include earnings, loan repayments, investment security cash flows, proceeds from the sale of residential mortgage loans, unpledged investment securities and borrowing relationships with correspondent banks, including the Federal Home Loan Bank of Indianapolis (the “FHLB”). On December 31, 2023, in addition to liquidity available from the normal operating, funding, and investing activities of Horizon, the Bank had approximately $1.4 billion in unused credit lines with various money center banks, including the FHLB and the Federal Reserve Bank. The Bank had approximately $601.7 million of unpledged investment securities on December 31, 2023.


Forward Looking Statements

This press release may contain forward–looking statements regarding the financial performance, business prospects, growth and operating strategies of Horizon Bancorp, Inc. and its affiliates (collectively, “Horizon”). For these statements, Horizon claims the protection of the safe harbor for forward–looking statements contained in the Private Securities Litigation Reform Act of 1995. Statements in this press release should be considered in conjunction with the other information available about Horizon, including the information in the filings we make with the Securities and Exchange Commission (the “SEC”). Forward–looking statements provide current expectations or forecasts of future events and are not guarantees of future performance. The forward–looking statements are based on management’s expectations and are subject to a number of risks and uncertainties. We have tried, wherever possible, to identify such statements by using words such as “anticipate,” “estimate,” “project,” “intend,” “plan,” “believe,” “will” and similar expressions in connection with any discussion of future operating or financial performance.

Although management believes that the expectations reflected in such forward–looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements. Risks and uncertainties that could cause actual results to differ materially include: current financial conditions within the banking industry, including the effects of recent failures of other financial institutions, liquidity levels, and responses by the Federal Reserve, Department of the Treasury, and the Federal Deposit Insurance Corporation to address these issues; changes in the level and volatility of interest rates, changes in spreads on earning assets and changes in interest bearing liabilities; increased interest rate sensitivity; the ability of Horizon to remediate its material weaknesses in its internal control over financial reporting; continuing increases in inflation; loss of key Horizon personnel; increases in disintermediation; potential loss of fee income, including interchange fees, as new and emerging alternative payment platforms take a greater market share of the payment systems; estimates of fair value of certain of Horizon’s assets and liabilities; changes in prepayment speeds, loan originations, credit losses, market values, collateral securing loans and other assets; changes in sources of liquidity; economic conditions and their impact on Horizon and its customers, including local and global economic recovery from the pandemic; legislative and regulatory actions and reforms; changes in accounting policies or procedures as may be adopted and required by regulatory agencies; litigation, regulatory enforcement, and legal compliance risk and costs; rapid technological developments and changes; cyber terrorism and data security breaches; the rising costs of cybersecurity; the ability of the U.S. federal government to manage federal debt limits; climate change and social justice initiatives; material changes outside the U.S. or in overseas relations, including changes in U.S. trade relations related to imposition of tariffs, Brexit, and the phase out of the London Interbank Offered Rate (“LIBOR”); the inability to realize cost savings or revenues or to effectively implement integration plans and other consequences associated with mergers, acquisitions, and divestitures; acts of terrorism, war and global conflicts, such as the ongoing conflicts between Russia and Ukraine and Israel and Hamas; and supply chain disruptions and delays. These and additional factors that could cause actual results to differ materially from those expressed in the forward–looking statements are discussed in Horizon’s reports (such as the Annual Report on Form 10–K, Quarterly Reports on Form 10–Q, and Current Reports on Form 8–K) filed with the SEC and available at the SEC’s website (www.sec.gov). Undue reliance should not be placed on the forward–looking statements, which speak only as of the date hereof. Horizon does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions that may be made to update any forward–looking statement to reflect the events or circumstances after the date on which the forward–looking statement is made, or reflect the occurrence of unanticipated events, except to the extent required by law.

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Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Financial Highlights
(Dollars in Thousands, Unaudited)
December 31,September 30,June 30,March 31,December 31,
20232023202320232022
Balance sheet:
Total assets$7,931,195 $7,959,434 $7,963,353 $7,897,995 $7,872,518 
Interest earning deposits & federal funds sold413,744 76,293 119,637 30,221 12,233 
Interest earning time deposits2,205 2,207 2,452 3,098 2,812 
Investment securities2,492,889 2,831,651 2,889,309 2,958,978 3,020,306 
Commercial loans2,674,960 2,589,244 2,506,279 2,505,459 2,467,422 
Mortgage warehouse loans45,078 65,923 82,345 52,957 69,529 
Residential mortgage loans681,136 675,399 674,751 662,459 653,292 
Consumer loans1,016,456 1,028,436 1,002,885 1,026,076 967,755 
Total loans4,417,630 4,359,002 4,266,260 4,246,951 4,157,998 
Earning assets7,362,395 7,306,490 7,319,100 7,273,921 7,225,833 
Non–interest bearing deposit accounts1,116,005 1,126,703 1,170,055 1,231,845 1,277,768 
Interest bearing transaction accounts3,369,149 3,322,788 3,289,474 3,402,525 3,582,891 
Time deposits1,179,739 1,250,606 1,249,803 1,067,575 997,115 
Total deposits5,664,893 5,700,097 5,709,332 5,701,945 5,857,774 
Borrowings1,353,050 1,356,510 1,352,039 1,311,927 1,142,949 
Subordinated notes55,543 59,007 58,970 58,933 58,896 
Junior subordinated debentures issued to capital trusts57,258 57,201 57,143 57,087 57,027 
Total stockholders’ equity718,812 693,369 709,243 702,559 677,375 

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Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Financial Highlights
(Dollars in Thousands Except Share and Per Share Data and Ratios, Unaudited)
Three Months Ended
December 31,September 30,June 30,March 31,December 31,
20232023202320232022
Income statement:
Net interest income$42,257 $42,090 $46,160 $45,237 $48,782 
Credit loss expense (recovery)1,274 263 680 242 (69)
Non–interest income(20,449)11,830 10,997 9,620 10,674 
Non–interest expense39,330 36,168 36,262 34,524 35,711 
Income tax expense6,419 1,284 1,452 1,863 2,649 
Net income$(25,215)$16,205 $18,763 $18,228 $21,165 
Per share data:
Basic earnings per share$(0.58)$0.37 $0.43 $0.42 $0.49 
Diluted earnings per share(0.58)0.37 0.43 0.42 0.48 
Cash dividends declared per common share0.16 0.16 0.16 0.16 0.16 
Book value per common share16.47 15.89 16.25 16.11 15.55 
Tangible book value per common share12.60 12.00 12.34 12.17 11.59 
Market value – high14.65 12.68 11.10 16.32 20.00 
Market value – low$9.33 $9.90 $7.75 $10.31 $14.51 
Weighted average shares outstanding – Basis43,649,585 43,646,609 43,639,987 43,583,554 43,574,151 
Weighted average shares outstanding – Diluted43,649,585 43,796,069 43,742,588 43,744,721 43,667,953 
Key ratios:
Return on average assets(1.27)%0.81 %0.96 %0.94 %1.09 %
Return on average common stockholders’ equity(14.23)8.99 10.59 10.66 12.72 
Net interest margin2.43 2.41 2.69 2.67 2.85 
Allowance for credit losses to total loans1.13 1.14 1.17 1.17 1.21 
Average equity to average assets8.92 9.03 9.07 8.86 8.55 
Efficiency ratio180.35 67.08 63.44 62.93 60.06 
Annualized non–interest expense to average assets1.98 1.81 1.86 1.79 1.84 
Bank only capital ratios:
Tier 1 capital to average assets8.55 8.77 8.72 8.86 8.89 
Tier 1 capital to risk weighted assets12.20 12.22 12.12 12.65 12.72 
Total capital to risk weighted assets13.12 13.11 13.03 13.56 13.59 

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Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Financial Highlights
(Dollars in Thousands Except Share and Per Share Data and Ratios, Unaudited)
Twelve Months Ended
December 31,December 31,
20232022
Income statement:
Net interest income$175,744 $199,518 
Credit loss expense (recovery)2,459 (1,816)
Non–interest income11,998 47,451 
Non–interest expense146,284 143,201 
Income tax expense11,018 12,176 
Net income$27,981 $93,408 
Per share data:
Basic earnings per share$0.64 $2.14 
Diluted earnings per share0.64 2.14 
Cash dividends declared per common share0.64 0.63 
Book value per common share16.47 15.55 
Tangible book value per common share12.60 11.59 
Market value – high16.32 23.45 
Market value – low$7.75 $14.51 
Weighted average shares outstanding – Basis43,623,614 43,568,823 
Weighted average shares outstanding – Diluted43,837,333 43,699,115 
Key ratios:
Return on average assets0.36 %1.24 %
Return on average common stockholders’ equity3.96 13.66 
Net interest margin2.55 2.98 
Allowance for credit losses to total loans1.13 1.21 
Average equity to average assets8.97 9.07 
Efficiency ratio77.92 57.98 
Annualized non–interest expense to average assets1.86 1.90 
Bank only capital ratios:
Tier 1 capital to average assets8.55 8.89 
Tier 1 capital to risk weighted assets12.20 12.72 
Total capital to risk weighted assets13.12 13.59 
9
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Financial Highlights
(Dollars in Thousands Except Ratios, Unaudited)
December 31,September 30,June 30,March 31,December 31,
20232023202320232022
Loan data:
Substandard loans$49,526 $47,563 $41,484 $49,804 $56,194 
30 to 89 days delinquent16,595 13,089 10,913 13,971 10,709 
Non–performing loans:
90 days and greater delinquent – accruing interest548 392 1,313 137 92 
Trouble debt restructures – accruing interest— — — — 2,570 
Trouble debt restructures – non–accrual— — — — 1,548 
Non–accrual loans19,076 19,056 20,796 19,660 17,630 
Total non–performing loans$19,624 $19,448 $22,109 $19,797 $21,840 
Non–performing loans to total loans0.44 %0.45 %0.52 %0.47 %0.52 %

Allocation of the Allowance for Credit Losses
(Dollars in Thousands, Unaudited)
December 31,September 30,June 30,March 31,December 31,
20232023202320232022
Commercial $29,736 $29,472 $30,354 $31,156 $32,445 
Residential mortgage2,503 2,794 3,648 4,447 5,577 
Mortgage warehouse481 714 893 798 1,020 
Consumer17,309 16,719 15,081 13,125 11,422 
Total$50,029 $49,699 $49,976 $49,526 $50,464 
Net Charge–offs (Recoveries)
(Dollars in Thousands Except Ratios, Unaudited)
December 31,September 30,June 30,March 31,December 31,
20232023202320232022
Commercial $233 $142 $101 $104 $(94)
Residential mortgage21 (39)(10)(6)(8)
Mortgage warehouse— — — — — 
Consumer531 619 183 281 387 
Total$785 $722 $274 $379 $285 
Percent of net charge–offs (recoveries) to average loans outstanding for the period0.02 %0.02 %0.01 %0.01 %0.01 %
10
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Total Non–performing Loans
(Dollars in Thousands Except Ratios, Unaudited)
December 31,September 30,June 30,March 31,December 31,
20232023202320232022
Commercial $6,801 $6,969 $8,275 $8,523 $9,330 
Residential mortgage8,063 7,777 8,168 6,926 8,123 
Mortgage warehouse— — — — — 
Consumer4,761 4,702 5,666 4,348 4,387 
Total$19,625 $19,448 $22,109 $19,797 $21,840 
Non–performing loans to total loans0.44 %0.45 %0.52 %0.47 %0.52 %
Other Real Estate Owned and Repossessed Assets
(Dollars in Thousands, Unaudited)
December 31,September 30,June 30,March 31,December 31,
20232023202320232022
Commercial $1,124 $1,287 $1,567 $1,567 $1,881 
Residential mortgage182 32 107 203 107 
Mortgage warehouse— — — — — 
Consumer205 72 7 78 152 
Total$1,511 $1,391 $1,681 $1,848 $2,140 
11
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Average Balance Sheets
(Dollars in Thousands, Unaudited)
Three Months EndedThree Months Ended
December 31, 2023December 31, 2022
Average
Balance		InterestAverage
Rate		Average
Balance		InterestAverage
Rate
Assets
Interest earning assets
Federal funds sold$194,975 $2,736 5.57 %$4,023 $34 3.35 %
Interest earning deposits26,400 271 4.07 %8,233 48 2.31 %
Investment securities – taxable1,517,572 8,157 2.13 %1,655,728 8,703 2.09 %
Investment securities – non–taxable (1)
1,172,157 6,767 2.90 %1,385,340 7,543 2.73 %
Loans receivable (2) (3)
4,327,930 65,583 6.04 %4,038,656 50,859 5.02 %
Total interest earning assets7,239,034 83,514 4.69 %7,091,980 67,187 3.88 %
Non–interest earning assets
Cash and due from banks103,255 96,835 
Allowance for credit losses(49,586)(51,323)
Other assets588,113 580,874 
Total average assets$7,880,816 $7,718,366 
Liabilities and Stockholders’ Equity
Interest bearing liabilities
Interest bearing deposits$4,509,268 $27,376 2.41 %$4,555,887 $10,520 0.92 %
Borrowings1,206,462 10,812 3.56 %850,236 5,729 2.67 %
Repurchase agreements132,524 953 2.85 %141,676 311 0.87 %
Subordinated notes58,221 870 5.93 %58,874 881 5.94 %
Junior subordinated debentures issued to capital trusts57,222 1,246 8.64 %56,988 964 6.71 %
Total interest bearing liabilities5,963,697 41,257 2.74 %5,663,661 18,405 1.29 %
Non–interest bearing liabilities
Demand deposits1,125,164 1,321,139 
Accrued interest payable and other liabilities89,162 73,378 
Stockholders’ equity702,793 660,188 
Total average liabilities and stockholders’ equity$7,880,816 $7,718,366 
Net interest income / spread$42,257 1.95 %$48,782 2.59 %
Net interest income as a percent of average interest earning assets (1)
2.43 %2.85 %
(1) Securities balances represent daily average balances for the fair value of securities. The average rate is calculated based on the daily average balance for the amortized cost of securities. The average rate is presented on a tax equivalent basis.
(2) Includes fees on loans. The inclusion of loan fees does not have a material effect on the average interest rate.
(3) Non–accruing loans for the purpose of the computation above are included in the daily average loan amounts outstanding. Loan totals are shown net of unearned income and deferred loan fees. The average rate is presented on a tax equivalent basis.
12
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Average Balance Sheets
(Dollars in Thousands, Unaudited)
Twelve Months EndedTwelve Months Ended
December 31, 2023December 31, 2022
Average
Balance		InterestAverage
Rate		Average
Balance		InterestAverage
Rate
Assets
Interest earning assets
Federal funds sold$82,865 $4,442 5.36 %$62,211 $165 0.27 %
Interest earning deposits12,930 525 4.06 %13,596 141 1.04 %
Investment securities – taxable1,658,160 34,410 2.08 %1,700,418 33,202 1.95 %
Investment securities – non–taxable (1)
1,236,607 28,384 2.91 %1,356,045 29,025 2.71 %
Loans receivable (2) (3)
4,244,893 244,544 5.79 %3,845,137 173,500 4.53 %
Total interest earning assets7,235,455 312,305 4.44 %6,977,407 236,033 3.50 %
Non–interest earning assets
Cash and due from banks102,535 99,885 
Allowance for credit losses(49,774)(52,606)
Other assets581,412 509,229 
Total average assets$7,869,628 $7,533,915 
Liabilities and Stockholders’ Equity
Interest bearing liabilities
Interest bearing deposits$4,498,588 $85,857 1.91 %$4,513,668 $17,809 0.39 %
Borrowings1,154,714 39,514 3.42 %696,584 11,938 1.71 %
Repurchase agreements137,153 2,964 2.16 %141,048 527 0.37 %
Subordinated notes58,764 3,511 5.97 %58,819 3,522 5.99 %
Junior subordinated debentures issued to capital trusts57,137 4,715 8.25 %56,899 2,719 4.78 %
Total interest bearing liabilities5,906,356 136,561 2.31 %5,467,018 36,515 0.67 %
Non–interest bearing liabilities
Demand deposits1,181,233 1,332,937 
Accrued interest payable and other liabilities75,765 50,330 
Stockholders’ equity706,274 683,630 
Total average liabilities and stockholders’ equity$7,869,628 $7,533,915 
Net interest income / spread$175,744 2.13 %$199,518 2.83 %
Net interest income as a percent of average interest earning assets (1)
2.55 %2.98 %
(1) Securities balances represent daily average balances for the fair value of securities. The average rate is calculated based on the daily average balance for the amortized cost of securities. The average rate is presented on a tax equivalent basis.
(2) Includes fees on loans. The inclusion of loan fees does not have a material effect on the average interest rate.
(3) Non–accruing loans for the purpose of the computation above are included in the daily average loan amounts outstanding. Loan totals are shown net of unearned income and deferred loan fees. The average rate is presented on a tax equivalent basis.
13
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Condensed Consolidated Balance Sheets
(Dollars in Thousands)
December 31,
2023		December 31,
2022
(Unaudited)
Assets
Cash and due from banks$519,360 $123,505 
Interest earning time deposits2,205 2,812 
Investment securities, available for sale547,251 997,558 
Investment securities, held to maturity (fair value $1,668,601 and $1,681,309)
1,945,638 2,022,748 
Loans held for sale1,418 5,807 
Loans, net of allowance for credit losses of $50,029 and $50,464
4,367,601 4,107,534 
Premises and equipment, net94,583 92,677 
Federal Home Loan Bank stock34,509 26,677 
Goodwill155,211 155,211 
Other intangible assets13,626 17,239 
Interest receivable38,710 35,294 
Cash value of life insurance36,157 146,175 
Other assets174,926 139,281 
Total assets$7,931,195 $7,872,518 
Liabilities
Deposits
Non–interest bearing$1,116,005 $1,277,768 
Interest bearing4,548,888 4,580,006 
Total deposits5,664,893 5,857,774 
Borrowings1,353,050 1,142,949 
Subordinated notes55,543 58,896 
Junior subordinated debentures issued to capital trusts57,258 57,027 
Interest payable22,249 5,380 
Other liabilities59,390 73,117 
Total liabilities7,212,383 7,195,143 
Commitments and contingent liabilities
Stockholders’ equity
Preferred stock, Authorized, 1,000,000 shares, Issued 0 shares
— — 
Common stock, no par value, Authorized 99,000,000 shares
   Issued and Outstanding 44,106,174 and 43,937,889 shares
— — 
Additional paid–in capital356,400 354,188 
Retained earnings429,021 429,385 
Accumulated other comprehensive income(66,609)(106,198)
Total stockholders’ equity718,812 677,375 
Total liabilities and stockholders’ equity$7,931,195 $7,872,518 
14
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Condensed Consolidated Statements of Income
(Dollars in Thousands Except Per Share Data, Unaudited)
Three Months Ended
December 31,September 30,June 30,March 31,December 31,
20232023202320232022
Interest income
Loans receivable$65,583 $63,003 $60,594 $55,364 $50,859 
Investment securities – taxable8,157 8,788 8,740 8,725 8,702 
Investment securities – non–taxable6,767 7,002 7,059 7,556 7,543 
Other3,007 1,332 475 153 83 
Total interest income83,514 80,125 76,868 71,798 67,187 
Interest expense
Deposits27,376 24,704 18,958 14,819 10,520 
Borrowed funds11,765 11,224 9,718 9,771 6,040 
Subordinated notes870 880 881 880 881 
Junior subordinated debentures issued to capital trusts1,246 1,227 1,151 1,091 964 
Total interest expense41,257 38,035 30,708 26,561 18,405 
Net interest income42,257 42,090 46,160 45,237 48,782 
Credit loss expense (recovery)1,274 263 680 242 (69)
Net interest income after credit loss expense (recovery)40,983 41,827 45,480 44,995 48,851 
Non–interest Income
Service charges on deposit accounts3,092 3,086 3,021 3,028 2,947 
Wire transfer fees103 120 116 109 118 
Interchange fees3,224 3,186 3,584 2,867 2,951 
Fiduciary activities1,352 1,206 1,247 1,275 1,270 
Gains / (losses) on sale of investment securities(31,572)— 20 (500)— 
Gain on sale of mortgage loans951 1,582 1,005 785 1,196 
Mortgage servicing income net of impairment724 631 640 713 637 
Increase in cash value of bank owned life insurance658 1,055 1,015 981 751 
Other income1,019 964 349 362 804 
Total non–interest income(20,449)11,830 10,997 9,620 10,674 
Non–interest expense
Salaries and employee benefits21,877 20,058 20,162 18,712 19,978 
Net occupancy expenses3,260 3,283 3,249 3,563 3,279 
Data processing2,942 2,999 3,016 2,669 2,884 
Professional fees772 707 633 533 694 
Outside services and consultants2,394 2,316 2,515 2,717 2,985 
Loan expense1,345 1,120 1,397 1,118 1,281 
FDIC insurance expense1,200 1,300 840 540 388 
Core deposit intangible amortization903 903 903 903 925 
Other losses508 188 134 221 118 
Other expenses4,129 3,294 3,413 3,548 3,179 
Total non–interest expense39,330 36,168 36,262 34,524 35,711 
Income before income taxes(18,796)17,489 20,215 20,091 23,814 
Income tax expense6,419 1,284 1,452 1,863 2,649 
Net income$(25,215)$16,205 $18,763 $18,228 $21,165 
Basic earnings per share$(0.58)$0.37 $0.43 $0.42 $0.49 
Diluted earnings per share(0.58)0.37 0.43 0.42 0.48 
15
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Condensed Consolidated Statements of Income
(Dollars in Thousands Except Per Share Data, Unaudited)
Twelve Months Ended
December 31,December 31,
20232022
Interest income
Loans receivable$244,544 $173,500 
Investment securities – taxable34,410 33,202 
Investment securities – non–taxable28,384 29,025 
Other4,967 306 
Total interest income312,305 236,033 
Interest expense
Deposits85,857 17,809 
Borrowed funds42,478 12,465 
Subordinated notes3,511 3,522 
Junior subordinated debentures issued to capital trusts4,715 2,719 
Total interest expense136,561 36,515 
Net interest income175,744 199,518 
Credit loss expense (recovery)2,459 (1,816)
Net interest income after credit loss expense (recovery)173,285 201,334 
Non–interest Income
Service charges on deposit accounts12,227 11,598 
Wire transfer fees448 595 
Interchange fees12,861 12,402 
Fiduciary activities5,080 5,381 
Gains / (losses) on sale of investment securities(32,052)— 
Gain on sale of mortgage loans4,323 7,165 
Mortgage servicing income net of impairment2,708 4,800 
Increase in cash value of bank owned life insurance3,709 2,594 
Death benefit on bank owned life insurance— 644 
Other income2,694 2,272 
Total non–interest income11,998 47,451 
Non–interest expense
Salaries and employee benefits80,809 80,283 
Net occupancy expenses13,355 13,323 
Data processing11,626 10,567 
Professional fees2,645 1,843 
Outside services and consultants9,942 10,850 
Loan expense4,980 5,411 
FDIC insurance expense3,880 2,558 
Core deposit intangible amortization3,612 3,702 
Other losses1,051 1,046 
Other expenses14,384 13,618 
Total non–interest expense146,284 143,201 
Income before income taxes38,999 105,584 
Income tax expense11,018 12,176 
Net income$27,981 $93,408 
Basic earnings per share$0.64 $2.14 
Diluted earnings per share0.64 2.14 
16
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Use of Non–GAAP Financial Measures

Certain information set forth in this press release refers to financial measures determined by methods other than in accordance with GAAP. Specifically, we have included non–GAAP financial measures relating to net income, diluted earnings per share, pre–tax, pre–provision income, net interest margin, tangible stockholders’ equity, tangible book value per share, efficiency ratio, the return on average assets, the return on average common equity and the return on average tangible equity. In each case, we have identified special circumstances that we consider to be non–recurring and have excluded them. We believe that this shows the impact of such events as a balance sheet restructuring that included the sale of certain lower-yielding securities and the surrender of certain bank owned life insurance policies, extraordinary expenses associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities, acquisition–related purchase accounting adjustments and swap termination fees, among others we have identified in our reconciliations. Horizon believes these non–GAAP financial measures are helpful to investors and provide a greater understanding of our business and financial results without giving effect to the purchase accounting impacts and one–time costs of acquisitions and non–recurring items. These measures are not necessarily comparable to similar measures that may be presented by other companies and should not be considered in isolation or as a substitute for the related GAAP measure. See the tables and other information below and contained elsewhere in this press release for reconciliations of the non–GAAP information identified herein and its most comparable GAAP measures.

Non–GAAP Reconciliation of Net Income
(Dollars in Thousands, Unaudited)
Three Months EndedTwelve Months Ended
December 31,September 30,June 30,March 31,December 31,December 31,December 31,
2023202320232023202220232022
Net income (loss) as reported$(25,215)$16,205 $18,763 $18,228 $21,165 $27,981 $93,408 
Swap termination fee— — (1,453)— — (1,453)— 
Tax effect— — 305 — — 305 — 
Net income (loss) excluding swap termination fee(25,215)16,205 17,615 18,228 21,165 26,833 93,408 
(Gain) / loss on sale of investment securities31,572 — (20)500 — 32,052 — 
Tax effect(6,630)— 4 (105)— (6,731)— 
Tax valuation reserve5,201 — — — — 5,201 — 
Net income (loss) excluding (gain) / loss on sale of investment securities4,928 16,205 17,599 18,623 21,165 57,355 93,408 
Death benefit on bank owned life insurance (“BOLI”)— — — — — — (644)
Net income (loss) excluding death benefit on BOLI4,928 16,205 17,599 18,623 21,165 57,355 92,764 
Extraordinary expenses (1)
705 — — — — 705 — 
Tax effect(148)— — — — (148)— 
Net income excluding extraordinary expenses5,485 16,205 17,599 18,623 21,165 57,912 92,764 
BOLI tax expense and excise tax8,597 — — — — 8,597 — 
Net income excluding BOLI tax expense and excise tax14,082 16,205 17,599 18,623 21,165 66,509 92,764 
Adjusted net income$14,082 $16,205 $17,599 $18,623 $21,165 66,509 $92,764 
(1) Extraordinary expenses include costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities.
17
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results

Non–GAAP Reconciliation of Diluted Earnings per Share
(Dollars in Thousands, Unaudited)
Three Months EndedTwelve Months Ended
December 31,September 30,June 30,March 31,December 31,December 31,December 31,
2023202320232023202220232022
Diluted earnings per share (“EPS”) as reported$(0.58)$0.37 $0.43 $0.42 $0.48 $0.64 $2.14 
Swap termination fee— — (0.03)— — (0.03)— 
Tax effect— — 0.01 — — 0.01 — 
Diluted EPS excluding swap termination fee(0.58)0.37 0.41 0.42 0.48 0.62 2.14 
(Gain) / loss on sale of investment securities0.72 — — 0.01 — 0.73 — 
Tax effect(0.15)— — — — (0.15)— 
Tax valuation reserve0.12 — — — — 0.12 — 
Diluted EPS excluding (gain) / loss on sale of investment securities0.11 0.37 0.41 0.43 0.48 1.32 2.14 
Death benefit on bank owned life insurance (“BOLI”)— — — — — — (0.01)
Diluted EPS excluding death benefit on BOLI0.11 0.37 0.41 0.43 0.48 1.32 2.13 
Extraordinary expenses(1)
0.02 — — — — 0.02 — 
Tax effect— — — — — — — 
Diluted EPS excluding extraordinary expenses0.13 0.37 0.41 0.43 0.48 1.34 2.13 
BOLI tax expense and excise tax0.20 — — — — 0.20 — 
Diluted EPS excluding BOLI tax expense and excise tax0.33 0.37 0.41 0.43 0.48 1.54 2.13 
Adjusted diluted EPS$0.33 $0.37 $0.41 $0.43 $0.48 $1.54 $2.13 
(1) Extraordinary expenses include costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities.

18
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Non–GAAP Reconciliation of Pre–Tax, Pre–Provision Income
(Dollars in Thousands, Unaudited)
Three Months EndedTwelve Months Ended
December 31,September 30,June 30,March 31,December 31,December 31,December 31,
2023202320232023202220232022
Pre–tax income (loss)$(18,796)$17,489 $20,215 $20,091 $23,814 $38,999 $105,584 
Credit loss expense1,274 263 680 242 (69)2,459 (1,816)
Pre–tax, pre–provision income (loss)$(17,522)$17,752 $20,895 $20,333 $23,745 $41,458 $103,768 
Pre–tax, pre–provision income (loss)$(17,522)$17,752 $20,895 $20,333 $23,745 $41,458 $103,768 
Swap termination fee— — (1,453)— — (1,453)— 
(Gain) / loss on sale of investment securities31,572 — (20)500 — 32,052 — 
Death benefit on BOLI— — — — — — (644)
Extraordinary expenses(1)
705 — — — — 705 — 
Adjusted pre–tax, pre–provision income$14,755 $17,752 $19,422 $20,833 $23,745 $72,762 $103,124 
(1) Extraordinary expenses include costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities.

Non–GAAP Reconciliation of Net Interest Margin
(Dollars in Thousands, Unaudited)
Three Months EndedTwelve Months Ended
December 31,September 30,June 30,March 31,December 31,December 31,December 31,
2023202320232023202220232022
Net interest income as reported$42,257 $42,090 $46,160 $45,237 $48,782 $175,744 $199,518 
Average interest earning assets7,239,034 7,286,611 7,212,640 7,201,266 7,091,980 7,235,455 6,977,407 
Net interest income as a percentage of average interest earning assets (“Net Interest Margin”)2.43 %2.41 %2.69 %2.67 %2.85 %2.55 %2.98 %
Net interest income as reported$42,257 $42,090 $46,160 $45,237 $48,782 $175,744 $199,518 
Acquisition–related purchase accounting adjustments (“PAUs”)(175)(435)(651)(367)(431)(1,628)(3,476)
Swap termination fee— — (1,453)— — (1,453)— 
Adjusted net interest income$42,082 $41,655 $44,056 $44,870 $48,351 $172,663 $196,042 
Adjusted net interest margin2.42 %2.38 %2.57 %2.65 %2.83 %2.51 %2.93 %

19
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Non–GAAP Reconciliation of Tangible Stockholders’ Equity and Tangible Book Value per Share
(Dollars in Thousands, Unaudited)
December 31,September 30,June 30,March 31,December 31,
20232023202320232022
Total stockholders’ equity$718,812 $693,369 $709,243 $702,559 $677,375 
Less: Intangible assets168,837 169,741 170,644 171,547 172,450 
Total tangible stockholders’ equity$549,975 $523,628 $538,599 $531,012 $504,925 
Common shares outstanding43,652,063 43,648,501 43,645,216 43,621,422 43,574,151 
Book value per common share$16.47 $15.89 $16.25 $16.11 $15.55 
Tangible book value per common share$12.60 $12.00 $12.34 $12.17 $11.59 

Non–GAAP Calculation and Reconciliation of Efficiency Ratio and Adjusted Efficiency Ratio
(Dollars in Thousands, Unaudited)
Three Months EndedTwelve Months Ended
December 31,September 30,June 30,March 31,December 31,December 31,December 31,
2023202320232023202220232022
Non–interest expense as reported$39,330 $36,168 $36,262 $34,524 $35,711 $146,284 $143,201 
Net interest income as reported42,257 42,090 46,160 45,237 48,782 175,744 199,518 
Non–interest income as reported$(20,449)$11,830 $10,997 $9,620 $10,674 $11,998 $47,451 
Non–interest expense / (Net interest income + Non–interest income)
(“Efficiency Ratio”)		180.35 %67.08 %63.44 %62.93 %60.06 %77.92 %57.98 %
Non–interest expense as reported$39,330 $36,168 $36,262 $34,524 $35,711 $146,284 $143,201 
Extraordinary expenses(1)
(705)— — — — (705)— 
Non–interest expense excluding extraordinary expenses38,625 36,168 36,262 34,524 35,711 145,579 143,201 
Net interest income as reported42,257 42,090 46,160 45,237 48,782 175,744 199,518 
Swap termination fee— — (1,453)— — (1,453)— 
Net interest income excluding swap termination fee42,257 42,090 44,707 45,237 48,782 174,291 199,518 
Non–interest income as reported(20,449)11,830 10,997 9,620 10,674 11,998 47,451 
(Gain) / loss on sale of investment securities31,572 — (20)500 — 32,052 — 
Death benefit on BOLI— — — — — — (644)
Non–interest income excluding (gain) / loss on sale of investment securities and death benefit on BOLI$11,123 $11,830 $10,977 $10,120 $10,674 $44,050 $46,807 
Adjusted efficiency ratio72.36 %67.08 %65.12 %62.37 %60.06 %66.68 %58.13 %
(1) Extraordinary expenses include costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities.

20
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Non–GAAP Reconciliation of Return on Average Assets
(Dollars in Thousands, Unaudited)
Three Months EndedTwelve Months Ended
December 31,September 30,June 30,March 31,December 31,December 31,December 31,
2023202320232023202220232022
Average assets$7,880,816 $7,924,751 $7,840,026 $7,831,106 $7,718,366 $7,869,628 $7,533,915 
Return on average assets (“ROAA”) as reported(1.27)%0.81 %0.96 %0.94 %1.09 %0.36 %1.24 %
Swap termination fee— — (0.07)— — (0.02)— 
Tax effect— — 0.02 — — — — 
ROAA excluding swap termination fee(1.27)0.81 0.91 0.94 1.09 0.34 1.24 
(Gain) / loss on sale of investment securities1.59 — — 0.03 — 0.41 — 
Tax effect(0.33)— — (0.01)— (0.09)— 
Tax valuation reserve0.26 — — — — 0.07 — 
ROAA excluding (gain) / loss on sale of investment securities0.25 0.81 0.91 0.96 1.09 0.73 1.24 
Death benefit on BOLI— — — — — — (0.01)
ROAA excluding death benefit on BOLI0.25 0.81 0.91 0.96 1.09 0.73 1.23 
Extraordinary expenses(1)
0.04 — — — — 0.01 — 
Tax effect(0.01)— — — — — — 
ROAA excluding extraordinary expenses0.28 0.81 0.91 0.96 1.09 0.74 1.23 
BOLI tax expense and excise tax0.43 %— %— %— %— %0.11 %— %
ROAA excluding BOLI tax expense and excise tax0.71 %0.81 %0.91 %0.96 %1.09 %0.85 %1.23 %
Adjusted ROAA0.71 %0.81 %0.91 %0.96 %1.09 %0.85 %1.23 %
(1) Extraordinary expenses include costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities.

21
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Non–GAAP Reconciliation of Return on Average Common Equity
(Dollars in Thousands, Unaudited)
Three Months EndedTwelve Months Ended
December 31,September 30,June 30,March 31,December 31,December 31,December 31,
2023202320232023202220232022
Average common equity$702,793 $715,485 $710,953 $693,472 $660,188 $706,274 $683,630 
Return on average common equity (“ROACE”) as reported(14.23)%8.99 %10.59 %10.66 %12.72 %3.96 %13.66 %
Swap termination fee— — (0.82)— — (0.21)— 
Tax effect— — 0.17 — — 0.04 — 
ROACE excluding swap termination fee(14.23)8.99 9.94 10.66 12.72 3.79 13.66 
(Gain) / loss on sale of investment securities17.82 — (0.01)0.29 — 4.54 — 
Tax effect(3.74)— — (0.06)— (0.95)— 
Tax valuation reserve2.94 — — — — 0.74 — 
ROACE excluding (gain) / loss on sale of investment securities2.79 8.99 9.93 10.89 12.72 8.12 13.66 
Death benefit on BOLI— — — — — — (0.09)
ROACE excluding death benefit on BOLI2.79 8.99 9.93 10.89 12.72 8.12 13.57 
Extraordinary expenses(1)
0.40 — — — — 0.10 — 
Tax effect(0.08)— — — — (0.02)— 
ROACE excluding extraordinary expenses3.11 8.99 9.93 10.89 12.72 8.20 13.57 
BOLI tax expense and excise tax4.85 — — — — 1.22 — 
ROACE excluding BOLI tax expense and excise tax7.96 8.99 9.93 10.89 12.72 9.42 13.57 
Adjusted ROACE7.96 %8.99 %9.93 %10.89 %12.72 %9.42 %13.57 %
(1) Extraordinary expenses include costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities.

22
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Non–GAAP Reconciliation of Return on Average Tangible Equity
(Dollars in Thousands, Unaudited)
Three Months EndedTwelve Months Ended
December 31,September 30,June 30,March 31,December 31,December 31,December 31,
2023202320232023202220232022
Average tangible equity$702,793 $715,485 $710,953 $693,472 $660,188 $706,274 $683,630 
Less: Average intangible assets169,401 170,301 171,177 172,139 173,050 170,745 174,003 
Average tangible equity$533,392 $545,184 $539,776 $521,333 $487,138 $535,529 $509,627 
Return on average tangible equity (“ROATE”) as reported(18.76)%11.79 %13.94 %14.18 %17.24 %5.22 %18.33 %
Swap termination fee— — (1.08)— — (0.27)— 
Tax effect— — 0.23 — — 0.06 — 
ROATE excluding swap termination fee(18.76)11.79 13.09 14.18 17.24 5.01 18.33 
(Gain) / loss on sale of investment securities23.48 — (0.01)0.39 — 5.99 — 
Tax effect(4.93)— — (0.08)— (1.26)— 
Tax valuation reserve3.87 — — — — 0.97 — 
ROATE excluding (gain) / loss on sale of investment securities3.66 11.79 13.08 14.49 17.24 10.71 18.33 
Death benefit on BOLI— — — — — — (0.13)
ROATE excluding death benefit on BOLI3.66 11.79 13.08 14.49 17.24 10.71 18.20 
Extraordinary expenses(1)
0.52 — — — — 0.13 — 
Tax effect(0.11)— — — — (0.03)— 
ROATE excluding extraordinary expenses4.07 11.79 13.08 14.49 17.24 10.81 18.20 
BOLI tax expense and excise tax6.39 — — — — 1.61 — 
ROATE excluding BOLI tax expense and excise tax10.46 11.79 13.08 14.49 17.24 12.42 18.20 
Adjusted ROATE10.46 %11.79 %13.08 %14.49 %17.24 %12.42 %18.20 %
(1) Extraordinary expenses include costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities.
23
Horizon Bancorp, Inc. Announces Fourth Quarter and Full Year 2023 Results
Earnings Conference Call

As previously announced, Horizon will host a conference call to review its fourth quarter and full year 2023 financial results and operating performance.

Participants may access the live conference call on January 25, 2024 at 7:30 a.m. CT (8:30 a.m. ET) by dialing 833–974–2379 from the United States, 866–450–4696 from Canada or 1–412–317–5772 from international locations and requesting the “Horizon Bancorp Call.” Participants are asked to dial in approximately 10 minutes prior to the call.

A telephone replay of the call will be available approximately one hour after the end of the conference through February 2, 2024. The replay may be accessed by dialing 877–344–7529 from the United States, 855–669–9658 from Canada or 1–412–317–0088 from other international locations, and entering the access code 5158700.


About Horizon Bancorp, Inc.

Horizon Bancorp, Inc. (NASDAQ GS: HBNC) is the $7.9 billion–asset bank holding company for Horizon Bank, which serves customers across diverse and economically attractive Midwestern markets through convenient digital and virtual tools, as well as its Indiana and Michigan branches. Horizon's retail offerings include prime residential, indirect auto, and other secured consumer lending to in–market customers, as well as a range of personal banking and wealth management solutions. Horizon also provides a comprehensive array of in–market business banking and treasury management services, as well as equipment financing solutions for customers regionally and nationally, with commercial lending representing over half of total loans. More information on Horizon, headquartered in Northwest Indiana's Michigan City, is available at horizonbank.com and investor.horizonbank.com.
24
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® A NASDAQ Traded Company - Symbol HBNC INVESTOR PRESENTATION JANUARY 24, 2024

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® Forward-Looking Statements This presentation may contain forward–looking statements regarding the financial performance, business prospects, growth and operating strategies of Horizon Bancorp, Inc. and its affiliates (collectively, “Horizon”). For these statements, Horizon claims the protection of the safe harbor for forward–looking statements contained in the Private Securities Litigation Reform Act of 1995. Statements in this presentation should be considered in conjunction with the other information available about Horizon, including the information in the filings we make with the Securities and Exchange Commission (the “SEC”). Forward–looking statements provide current expectations or forecasts of future events and are not guarantees of future performance. The forward–looking statements are based on management’s expectations and are subject to a number of risks and uncertainties. We have tried, wherever possible, to identify such statements by using words such as “anticipate,” “estimate,” “project,” “intend,” “plan,” “believe,” “will” and similar expressions in connection with any discussion of future operating or financial performance. Although management believes that the expectations reflected in such forward–looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements. Risks and uncertainties that could cause actual results to differ materially include: current financial conditions within the banking industry, including the effects of recent failures of other financial institutions, liquidity levels, and responses by the Federal Reserve, Department of the Treasury, and the Federal Deposit Insurance Corporation to address these issues; changes in the level and volatility of interest rates, changes in spreads on earning assets and changes in interest bearing liabilities; increased interest rate sensitivity; the ability of Horizon to remediate its material weaknesses in its internal control over financial reporting; continuing increases in inflation; loss of key Horizon personnel; increases in disintermediation; potential loss of fee income, including interchange fees, as new and emerging alternative payment platforms take a greater market share of the payment systems; estimates of fair value of certain of Horizon’s assets and liabilities; changes in prepayment speeds, loan originations, credit losses, market values, collateral securing loans and other assets; changes in sources of liquidity; economic conditions and their impact on Horizon and its customers, including local and global economic recovery from the pandemic; legislative and regulatory actions and reforms; changes in accounting policies or procedures as may be adopted and required by regulatory agencies; litigation, regulatory enforcement, and legal compliance risk and costs; rapid technological developments and changes; cyber terrorism and data security breaches; the rising costs of cybersecurity; the ability of the U.S. federal government to manage federal debt limits; climate change and social justice initiatives; material changes outside the U.S. or in overseas relations, including changes in U.S. trade relations related to imposition of tariffs, Brexit, and the phase out of the London Interbank Offered Rate (“LIBOR”); the inability to realize cost savings or revenues or to effectively implement integration plans and other consequences associated with mergers, acquisitions and divestitures; acts of terrorism, war and global conflicts, such as the ongoing conflicts between Russia and Ukraine and Israel and Hamas; and supply chain disruptions and delays. These and additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in Horizon’s reports (such as the Annual Report on Form 10-K, Quarterly Reports on Form 10- Q, and Current Reports on Form 8-K) filed with the SEC and available at the SEC’s website (www.sec.gov). Undue reliance should not be placed on the forward- looking statements, which speak only as of the date hereof. Horizon does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions that may be made to update any forward-looking statement to reflect the events or circumstances after the date on which the forward-looking statement is made, or reflect the occurrence of unanticipated events, except to the extent required by law. Non-GAAP Measures Certain non-GAAP financial measures are presented herein. Horizon believes they are useful to investors and provide a greater understanding of Horizon’s business without giving effect to non-recurring costs and non-core items. For each non-GAAP financial measure, we have presented comparable GAAP measures and reconciliations of the non-GAAP measures to those GAAP measures in the Appendix to this presentation. Please see slides 26-33. Important Information 2

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 3 Mark E. Secor EVP & Chief Financial Officer • 35 Years of Banking and Public Accounting Experience • 16 Years with Horizon Kathie A. DeRuiter EVP & Senior Operations Officer • 34 Years of Banking and Operational Experience • 23 Years as Senior Bank Operations Officer • 26 Years with Horizon Todd A. Etzler EVP & Corporate Secretary & General Counsel • 32 Years of Corporate Legal Experience and 13 years of General Counsel Experience • 6 Years with Horizon Lynn M. Kerber EVP & Chief Commercial Banking Officer • 33 Years of Banking Experience • 6 Years with Horizon Thomas M. Prame President & Chief Executive Officer • 29 Years of Banking Experience • 2 Years with Horizon Experienced Leadership Team

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 4 4Q23 Highlights * 4Q23 results reflect after-tax loss of $32.7 million from balance sheet repositioning announced on December 12, 2023, including a $31.6 million pre-tax loss on the sale of securities and tax penalties and charges on the surrender of $112.8 million in bank owned life insurance (BOLI) ** The company incurred $705,000 in extraordinary expenses including costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank’s treasury management capabilities ^ See Footnote Index and non-GAAP reconciliations in Appendix ($000s except per share data) 4Q23 3Q23 Income Statement Net interest income $42,257 $42,090 NIM 2.43% 2.41% Provision $1,274 $263 Non-interest income* $(20,449) $11,830 Non-interest expense** $39,330 $36,168 Income tax* $5,432 $1,284 Net income $(25,215) $16,205 Diluted EPS $(0.58) $0.37 Net impact of balance sheet repositioning* $0.89 -- Extraordinary expenses** $0.02 -- Adjusted diluted EPS^ $0.33 $0.37 Balance Sheet Total loans $4,419,048 $4,361,830 Total deposits $5,664,893 $5,700,097 Credit Quality NPA / total assets ratio 0.27% 0.26% Net charge-offs to avg. loans for the period 0.02% 0.02% Fourth Quarter Highlights • Strong annualized loan growth – 5.2% o Led by 13.1% annualized growth in commercial o Launch of Horizon Equipment Finance expected to meaningfully add to organic loan growth in 2024 • Excellent credit metrics o Continued low non-performing loans and charge-offs o Provision expense aligned with loan growth and consistent low net charge-off levels • Net interest margin expansion – 2 bps o Reflective of continued disciplined pricing of loans and deposits, quality loan growth and early benefit of December balance sheet repositioning • Cash position of $519.4 million at period end o Reflects proceeds of December balance sheet repositioning o Provides significant funding flexibility as cash is expected to be deployed into higher yielding loans and other liquid assets throughout 2024. • Adjusted net income of $14.1 million, or $0.33/share^ o Excluding impact of balance sheet repositioning* and extraordinary expenses** • Continued disciplined operating model o 1.98% of non-interest expense/average assets, annualized o 1.94%, excluding extraordinary expenses**

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® • Commercial loan portfolio increased by ~$85.7MM, 13.1% annualized • Gross funding of $117MM for Q4 compared to $97MM for linked quarter • Commercial pipeline at $167MM compared to $145MM at September 30, 2023 • YTD net charge-offs ~ 2 basis points • Average portfolio yield of 6.05% in the quarter o Average new production yield of 7.87% Diversified Commercial Loans By Geography & Mix 5 Northern Indiana, 13% Central Indiana, 31% Other, 4% Southwest Michigan, 17% Northern Michigan, 9% East Michigan, 7% West Michigan, 19% Geographic Dispersion Non- Owner Occupied Real Estate, 47% C&I, 26% Owner Occ. Real Estate, 23% Ag Loans, 2% Develop./Land, 1% Res. Spec. Homes, 1% Portfolio Composition Quarter Highlights Note: Data as of 12/31/23 Total Outstanding $2.7B Total Outstanding $2.7B

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® Commercial, $2,675M, 61% Residential Mortgage, $681M, 15% Consumer, $1,016M, 23% Mortgage Warehouse, $45M, 1% Held For Sale, $1M, 0% 6 Gross Loans $4.4B Commercial Loans by Industry ($M) 12/31/23 Balance % of Commercial Portfolio % of Total Loan Portfolio Lessors – Residential Multi Family $271 10.1% 6.1% Health Care, Educational & Social 232 8.7% 5.3% Warehouse/Industrial 170 6.4% 3.8% Individual and Other Services 167 6.2% 3.8% Retail 165 6.2% 3.7% Hotel 161 6.0% 3.6% Office (except medical) 155 5.8% 3.5% Real Estate Rental & Leasing 138 5.2% 3.1% Manufacturing 137 5.1% 3.1% Finance & Insurance 131 4.9% 3.0% Lessors – Student Housing 108 4.0% 2.4% Construction 95 3.6% 2.1% Retail Trade 87 3.3% 2.0% Lessors – Residential 1–4 Family 75 2.8% 1.7% Mini Storage 74 2.8% 1.7% Medical Office 73 2.7% 1.7% Government 67 2.5% 1.5% Restaurants 64 2.4% 1.4% Leisure and Hospitality 48 1.8% 1.1% Professional & Technical Services 44 1.6% 1.0% Transportation & Warehousing 39 1.4% 0.9% Wholesale Trade 38 1.4% 0.9% Farm Land 32 1.2% 0.7% Development Loans 24 0.9% 0.5% Other 80 3.0% 1.9% Total $2,675 100.0% 60.5% Diversified & Granular Loan Portfolio Note: Data as of 12/31/23

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 7 Prime Consumer Loans Consumer Direct • Increased ~$27MM, consistent with plan o Growth attributed to transactional purchases • YTD net recovery less than ~ 1 basis point • Average portfolio yield of 8.26% in the quarter o Average new production yield of 8.95% Quarter Highlights Direct Auto, 2.0% Home Equity Term, 6.5% HELOCs, 49.5% RV & Boat, 2.4% Secured Other, 0.4% Unsecured Other, 0.6% Indirect Auto, 38.6% Total Outstanding $1.0B Period-End Weighted Average Portfolio Metrics Direct Consumer Indirect Auto Credit Score 754 738 Debt-to-Income 31% 25% Loan-to-value 73% 85% Note: Data as of 12/31/23 Indirect Auto • Decreased ~ $38MM, consistent with strategy • YTD net charge-offs ~ 36 basis points • Average portfolio yield of 3.27% in the quarter • Strategy to replenish with higher earning assets

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 8 Prime Mortgage Loans • Mortgage portfolio increased by ~$5.7MM, 3.4% annualized • Results aligning with industry Q4: $58MM originations Q3: $59MM originations Q2: $68MM originations • YTD net recovery less than ~ 1 basis point • Consistent higher quality borrowers, significant capacity to pay and low LTV • Average portfolio yield of 4.32% in the quarter o Average new production yield of 7.50% Mortgage Portfolio Weighted Metrics Credit Score 757 Debt-to-Income 34% Loan-to-value 69% Jumbo, 50.1% Rental, 1.0% Conforming, 45.0% Construction, 3.9% Total Outstanding $681M Quarter Highlights Note: Data as of 12/31/23

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® $285 $379 $274 $722 $785 0.01% 0.01% 0.01% 0.02% 0.02% 4Q22 1Q23 2Q23 3Q23 4Q23 Net Charge Offs Commercial Resi Real Estate Consumer Total NCOs/Average Loans $ 0 0 0 s $21,840 $19,797 $22,109 $19,448 $19,625 0.52% 0.47% 0.52% 0.45% 0.44% 4Q22 1Q23 2Q23 3Q23 4Q23 Non-Performing Loans (period end) Commercial Resi Real Estate Consumer Total NPLs/Loans $ 0 0 0 s 9 CECL $50,464 $49,526 $49,976 $49,699 $50,029 1.21% 1.17% 1.17% 1.14% 1.13% 4Q22 1Q23 2Q23 3Q23 4Q23 ACL ACL/Loans Strong Asset Quality Metrics Allowance for Credit Losses (period end) $ 0 0 0 s 30-89 Days Delinquent (period end) $ 0 0 0 s $10,709 $13,971 $10,913 $13,090 $16,595 0.25% 0.33% 0.26% 0.30% 0.38% 4Q22 1Q23 2Q23 3Q23 4Q23 39 to 89 days delinquent Delinquencies/Loans

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® * Including mortgage warehouse 10 Higher Yielding Earning Asset Focus $4,359 $4,418 3Q23 4Q23 Loans Commercial Resi* Consumer $2,832 $2,493 3Q23 4Q23 Securities Available for Sale Held to Maturity $7,306 $7,362 3Q23 4Q23 All Earning Assets $79 $416 3Q23 4Q23 Cash 5.86% 6.04% Average Yield Dollar amounts in thousands at period end 2.41% 2.47% 5.27% 5.39% 4.48% 4.69% Improvement in earning asset yield of 21 bps from linked quarter • Loan growth driven in high yielding originations, improving portfolio yields in flat rate environment • Securities portfolio yield improved post balance sheet restructuring • Higher yielding cash portfolio balances increased by over 500% in Q4

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® $1,556 $1,473 3Q23 4Q23 Public Note: Data as of 12/31/23 11 Deposit Stability & Strength Maintain Key Relationships • Public Funds ($83MM) • Continued price competition • Larger in size, fluid environment • Balancing bid durations and cost Stability in Core Relationships • Cons/Comm Portfolio $47MM • Combined balance changed 1.14% • Consumer portfolio: ($2MM)/(0.08)% • Commercial portfolio: $49MM/3.04% • Migration to higher rate portfolios Borrowings • Flat linked quarter • Significant liquidity capacity • $416M in Fed Funds sold and interest earning cash Checking Savings CD $2,524 $2,522 3Q23 4Q23 Consumer $1,621 $1,670 3Q23 4Q23 Commercial $1,356 $1,353 3Q23 4Q23 Borrowings Average Cost 0.96% 1.24% 1.23% 1.45% 3.45% 3.62% 3.50% 3.56% Dollar amounts in thousands at period end

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® Positioned for Further NIM Expansion 12 4Q23 Net Interest Margin Ahead of expected 2024 deployment of December balance sheet repositioning proceeds* * Balance sheet repositioning announced on December 12, 2023 included sale of $382.7mm of AFS securities and surrender of $112.8mm in BOLI. NIM expansion in the fourth quarter • The increase in the interest earning asset yield more than outpaced the increase in interest bearing liability costs • The balance sheet restructure had minimal impact during the quarter, benefits will come in future periods

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® Continued Focus on Pricing Discipline 13 4.22% 4.25% 4.38% 4.34% 4.10% 4.33% 4.61% 5.02% 5.44% 5.78% 5.86% 6.04% 4.20% 4.14% 4.17% 4.17% 4.11% 4.25% 4.67% 5.10% 5.36% 5.50% 5.71% 0.21% 0.17% 0.14% 0.11% 0.10% 0.11% 0.28% 0.71% 1.04% 1.35% 1.72% 1.93% 0.27% 0.22% 0.19% 0.17% 0.16% 0.19% 0.37% 0.75% 1.26% 1.63% 1.95% 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 Average Loan Yields and Deposit Costs HBNC Loan Yield Peer Median Loan Yield HBNC Cost of Deposits(1) Peer Median Cost of Deposits (1) See Footnote Index and non-GAAP reconciliations in Appendix. 376 bps 411 bps Peer medians for U.S. commercial banks listed on the Nasdaq or NYSE with assets of $5B-$10B at MRQ end, according to data from S&P Capital IQ Pro on December 18, 2023. HBNC Cost HBNC Yield

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 14 Stabilizing Fee Income Adjusted Non-interest Income Excluding Securities Gains and Losses* ($000s) $6,016 $6,004 $6,721 $6,392 $6,419 $1,270 $1,275 $1,247 $1,206 $1,352 $1,833 $1,498 $1,645 $2,213 $1,675 $1,555 $843 $1,384 $2,019 $1,677 $10,674 $10,120 $10,977 $11,830 $11,123 4Q22 1Q23 2Q23 3Q23 4Q23 Service fees Fiduciary activities Mortgage related income All Other • $11.1MM in adjusted non-interest income* o Excluding $31.6MM loss on sale of AFS securities o Including $397,000 reduction non- interest income from BOLI policy surrender • Stabilizing fee income platform o Core service fees, particularly from cards and growth trends in Treasury Management and Equipment Finance, intended to offset mortgage cyclicality and lower BOLI revenue Quarter Highlights Note: Data as of 12/31/23 *See Footnote Index and non-GAAP reconciliations in Appendix

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 15 Diligent Expense Management $19,978 $18,712 $20,162 $20,058 $21,172 $15,733 $15,812 $16,100 $16,110 $17,453$35,711 $34,524 $36,262 $36,168 $38,625 1.84% 1.79% 1.86% 1.81% 1.94% 4Q22 1Q23 2Q23 3Q23 4Q23* All Other Non-interest Expense* Salaries & Employee Benefits* Annualized Non-Interest Expense to Average Assets* Adjusted Non-interest Expense* ($000s) • $38.6MM in adjusted operating expenses* o Excluding $705,000 in extraordinary expenses associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank’s treasury management capabilities • Operating expenses will continue to reflect investments in revenue generating roles o C&I, CRE, Equipment Finance and Treasury Management capabilities, in particular • Adjusted operating expense* to average assets annualized o 1.94% for the quarter o 1.85% YTD Quarter Highlights Note: Data as of 12/31/23 *4Q23 excluding non-operating expenses. See Footnote Index and non-GAAP reconciliations in Appendix.

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 16 High-Quality Investment Securities Available for Sale (AFS) Securities on December 31, 2023 Held to Maturity (HTM) Securities on December 31, 2023 Amortized Cost Unrealized Loss, Net Fair Value** Duration (years) Amortized Cost** Unrealized Loss, Net Fair Value Duration (years) $72,938 $(8,561) $64,377 ~4.6 U.S. Treasury and federal agencies $287,259 $(41,299) $245,960 ~6.2 353,299 (49,269) 304,030 ~7.6 State and municipal 1,088,499 (149,138) 939,361 ~9.7 3,931 (351) 3,580 ~4.9 Federal agency CMOs 51,325 (7,846) 43,479 ~4.5 161,130 (23,833) 137,297 ~4.9 Federal agency mortgage-backed pools 323,649 (48,621) 275,028 ~5.4 -- -- -- -- Private labeled mortgage-backed pools 32,329 (4,595) 27,734 ~3.7 43,317 (5,350) 37,967 ~4.6 Corporate Notes 162,734 (25,538) 137,196 ~5.8 $634,615 $(87,364) $547,251 ~6.3 Total $1,945,638 $(277,037) $1,668,758 ~7.2 All dollar amounts in thousands 4Q22 1Q23 2Q23 3Q23 4Q23 Scheduled Next Quarter* Scheduled Next 12 Months* Roll-off / Cash Flow $28,000 $25,000 $41,000 $26,000 $28,000 $34,000 $105,000 Sales - $65,000 $24,000 - $383,000 Duration (years) 6.74 6.58 6.41 6.70 6.97 Book yield 2.30% 2.22% 2.21% 2.21% 2.25% * Excludes securities sales • Portfolio with positive spread over deposit costs • Cash flows to support funding of higher yielding loans **Book value, representing fair value for AFS securities and amortized cost for HTM securities

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 11.3% 12.0% 11.3% 11.4% 11.9% 12.1% 11.4% 11.6% 2020 2021 2022 2023 10.7% 9.2% 10.2% 9.6% 9.0% 8.9% 9.5% 9.4% 2020 2021 2022 2023 14.9% 15.4% 13.4% 14.4% 14.3% 14.2% 13.6% 14.0% 2020 2021 2022 2023 Peer Data Source: S&P Global Market Intelligence. TCE / TA (%) Leverage Ratio (%) Total RBC Ratio (%) 4.0% Adequate + Buffer 7.0% KBW Regional Bank Index Median - MRQ Capital Position Provides Flexibility 10.5% HBNC Ratio 9.1% 7.6% 6.6% 7.1% 8.6% 8.3% 7.2% 7.4% 2020 2021 2022 2023 CET1 Ratio (%) 17 All data as of period end.

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® Total Loan Growth Annualized 5.3% 4-5% Net Interest Margin 2.43% >2.50% Net Interest Income $42.3 MM >$43.8 MM Non-Interest Income $11.1 MM $10.0-$10.5 MM Non-Interest Expense $38.6 MM $37-$38 MM Annual Expenses to Average Assets 1.94% <2.00% 2024 Outlook 4Q 2023 Adjusted * 18 1Q 2024 Expectation • Momentum in Net Interest Income o Targeting annualized loan growth of 8- 9% accelerating in Q2 with leasing team o Deploy excess cash into higher yielding loans/assets throughout 2024 o Continued discipline pricing of new loan production and deposits o Modeling conservative view of two rate cuts in second half of 2024 • Consistent Fee Income Performance o Continued growth and performance in deposit service charges and card income o Wealth income and lease sales to support slow down in mortgage volume and BOLI impact • Disciplined Operating Expenses o Strategic adds to revenue producing teams o New digital account opening platform to go live in Q1. Investment aligned with client demand Full Year Outlook (*) Excluding loss on sale of AFS securities from balance sheet repositioning announced on December 12, 2023 and extraordinary expenses.

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 19 Major Brands Horizon’s markets are home to multi-national companies, flourishing ecosystems of suppliers, spin-offs and professional services firms, and thriving college towns. These regional economic engines include global leaders in medical devices, pharmaceuticals, agribusiness, automotive/mobility, alternative energy, and high- tech manufacturing, as well as world-renowned universities like Notre Dame, Purdue, Indiana, Michigan, Michigan State, and Grand Valley State. Most-recent-quarter-end balances for IN and MI, with loans excluding mortgage warehouse and purchased HELOCs Loans $2.3B Loans $1.9B Chicago Economically Attractive Horizon’s branches are located strategically in markets with attractive business environments, tax rates, housing affordability, infrastructure and quality of life. Our markets are stable and strong with reduced volatility compared to major metropolitan markets. Diverse Opportunities Horizon’s Commercial and Retail Banking offerings are complimented by well- developed Treasury Management, Wealth, Mortgage Banking platforms. Horizon’s core deposit franchise is grounded in the long tenure of its clients, significant market share, and its relationship based banking model. Deposits $1.8B Deposits $3.9B Why Horizon? Distribution in Excellent Growth Markets

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® Very attractive Midwest markets Consistent and Strong loan growth with low credit risk profile Tenured and stable deposit base with significant liquidity Disciplined operating culture Compelling value supported by commitment to dividend Disciplined expense management results, 1.85% operating expenses/average assets year to date Excellent credit metrics with low non-performing loans and charge-offs 20 Why Horizon? Positive Momentum Moving into 2024 Stable, granular deposit base, average account tenure over 10 years Actively managing funding cost to create shareholder value Significant liquidity of $2.9 billion in availability; 79% deposits insured/collateralized Strategic branch distribution throughout highly desirable markets Core markets are experiencing significant investment in infrastructure and strong, growing local economies Flourishing ecosystem of diverse industry of suppliers, professional service firms and vendor partners P/adjusted EPS of 8.7x 4.8% dividend yield, and targeted dividend payout ratio of 30-40% aligned with capital retention strategy 30-year record of uninterrupted quarterly cash dividends to shareholders Cash represents approximately 8 quarters of the current dividend plus fixed costs Positive momentum with loan growth of 5.2% annualized led by commercial platform with 13%+ annualized growth in Q4 Abundant cash position to continue to reinvest in core lending platforms and new equipment leasing vertical A proven history of excellent credit metrics: 2 basis points charge-offs, 1.13% allowance for credit losses at most-recent quarter end Price multiples as of 1/19/24

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 21 Appendix

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 1% 2% 3% 3% 3% 4% 6% 6% 6% 6% 10% Farm Land All Others Medical Office Mini Storage Lessors - Residential 1-4 Lessors Student Housing Office (except medical) Motel Retail Warehouse/Industrial Lessors - Residential Multi Note: Data as of 12/31/23. All percentages are of total commercial loans. 1% 1% 1% 1% 2% 2% 2% 2% 2% 3% 6% Wholesale Trade Professional & Technical Services All Others Construction Leisure and Hospitality Restaurants Manufacturing Retail Trade Real Estate Rental & Leasing Individuals and Other Services Health Care, Edu. Social Assist. 1% 1% 1% 1% 1% 1% 2% 3% 3% 3% 3% 3% 5% Professional & Technical Services Wholesale Trade Restaurants Transportation & Warehousing Retail Trade All Others Construction Government Real Estate Rental & Leasing Health Care, Educational Social Assist. Manufacturing Individuals and Other Services Finance & Insurance 22 Non-Owner Occupied CRE – 50% of Total Commercial Loans ~$1.3 Billion Owner Occupied CRE – 23% of Total Commercial Loans ~$0.6 Billion C&I Loans – 27% of Total Commercial Loans ~$0.7 Billion Diversified Commercial Loans By Industry Commercial Loans - $2.675 Billion

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® Note: Data as of 12/31/23 Seasoned, Core Deposit Base • Consumer: $9K avg. account balance 11 year avg. tenure • Commercial: $11K avg. account balance 10 year avg. tenure • Public: $880K avg. account balance 11 year avg. tenure 54% of Balances in Checking Accounts • Daily operating accounts of clients • Long tenured relationships of 11 years 79% of Balances Insured/Collateralized • Significant portion of deposits covered by FDIC, Collateralized or IntraFi • Additional coverage through Indiana Public Deposit Insurance Fund (PDIF) Granular and Tenured Deposits 54% 25% 21% FDIC Insured <$250K, Collateralized and/or Third-Party Insured (e.g., IntraFi and Indiana PDIF) 79% Total Deposits $5.7B 23

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 3.00% 3.50% 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 HBNC U.S. commercial banks¹ Net charge offs as a % of average loans 0.15% 0.50 0.49% 0.02% 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 3.00% 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 HBNC U.S. commercial banks¹ Nonperforming assets as % of assets 0.20% 0.39% 0.43% 0.26% Source: SNL Financial Note: Financial data as of September 30, 2023; ¹ Based on regulatory financials for all U.S. commercial banks as defined by SNL Financial banking industry aggregates Proven Credit Quality Through Cycles 24

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 25 Slide 4 • Adjusted net income and adjusted diluted earnings per share exclude swap termination fees, gain/(loss) on sale of investment securities and extraordinary expenses, including costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank’s treasury management capabilities, net of tax, and BOLI tax expense and excise tax. (See further in the Appendix for a reconciliation of these non-GAAP amounts to their GAAP counterparts.) • Adjusted non-interest expense and adjusted non-interest expense to average assets excludes extraordinary expenses, including costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank’s treasury management capabilities. (See further in the Appendix for a reconciliation of these non-GAAP amounts to their GAAP counterparts.) Slide 13 • Average cost of average total deposits includes average balances of non-interest bearing deposits. (See further in the Appendix for a reconciliation of these non-GAAP amounts to their GAAP counterparts.) Slide 14 • Adjusted non-interest income excludes gain/(loss) on sale of investment securities. (See further in the Appendix for a reconciliation of these non- GAAP amounts to their GAAP counterparts.) Slide 15 • Adjusted non-interest expense excludes extraordinary expenses, including costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank’s treasury management capabilities. (See further in the Appendix for a reconciliation of these non-GAAP amounts to their GAAP counterparts.) Slide 18 • Adjusted non-interest income excludes gain/(loss) on sale of investment securities. (See further in the Appendix for a reconciliation of these non- GAAP amounts to their GAAP counterparts.) • Adjusted non-interest expense and adjusted non-interest expense to average assets excludes extraordinary expenses, including costs associated with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank’s treasury management capabilities. (See further in the Appendix for a reconciliation of these non-GAAP amounts to their GAAP counterparts.) Slides 26-33 Use of Non-GAAP Financial Measures • Certain information set forth in the presentation materials refers to financial measures determined by methods other than in accordance with GAAP. Horizon believes these non-GAAP financial measures are helpful to investors and provide a greater understanding of our business without giving effect to purchase accounting impacts, one-time acquisition and other non-recurring costs and non-core items. These measures are not necessarily comparable to similar measures that may be presented by other companies and should not be considered in isolation or as a substitute for the related GAAP measure. Footnote Index

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 26 Footnote Index December 31, September 30, June 30, March 31, December 31, December 31, December 31, 2023 2023 2023 2023 2022 2023 2022 Net income as reported (25,215)$ 16,205$ 18,763$ 18,228$ 21,165$ 27,981$ 93,408$ Swap termination fee - - (1,453) - - (1,453) - Tax effect - - 305 - - 305 - Net income excluding swap termination fee (25,215) 16,205 17,615 18,228 21,165 26,833 93,408 (Gain)/loss on sale of investment securities 31,572 - (20) 500 - 32,052 - Tax effect (6,630) - 4 (105) - (6,731) - Tax valuation reserve 5,201 - - - - 5,201 - Net income excluding (gain)/loss on sale of investment securities 4,928 16,205 17,599 18,623 21,165 57,355 93,408 Death benefit on bank owned life insurance ("BOLI") - - - - - - (644) Net income excluding death benefit on BOLI 4,928 16,205 17,599 18,623 21,165 57,355 92,764 Extraordinary expenses(1) 705 - - - - 705 - Tax effect (148) - - - - (148) - Net income excluding extraordinary expenses 5,485 16,205 17,599 18,623 21,165 57,912 92,764 BOLI tax expense and excise tax 8,597 - - - - 8,597 - Net income excluding BOLI tax expense and excise tax 14,082 16,205 17,599 18,623 21,165 66,509 92,764 Adjusted net income 14,082$ 16,205$ 17,599$ 18,623$ 21,165$ 66,509$ 92,764$ Three Months Ended Twelve Months Ended Non-GAAP Reconciliation of Net Income (Dollars in Thousands, Unaudited) (1) Extraordinary expenses include costs assocaited with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities.

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 27 Footnote Index December 31, September 30, June 30, March 31, December 31, December 31, December 31, 2023 2023 2023 2023 2022 2023 2022 Diluted EPS as reported (0.58)$ 0.37$ 0.43$ 0.42$ 0.48$ 0.64$ 2.14$ Swap termination fee - - (0.03) - - (0.03) - Tax effect - - 0.01 - - 0.01 - Diluted EPS excluding swap termination fee (0.58) 0.37 0.41 0.42 0.48 0.62 2.14 (Gain)/loss on sale of investment securities 0.72 - - 0.01 - 0.73 - Tax effect (0.15) - - - - (0.15) - Tax valuation reserve 0.12 - - - - 0.12 - Diluted EPS excluding (gain)/loss on sale of investment securities 0.11 0.37 0.41 0.43 0.48 1.32 2.14 Death benefit on bank owned life insurance ("BOLI") - - - - - - (0.01) Diluted EPS excluding death benefit on BOLI 0.11 0.37 0.41 0.43 0.48 1.32 2.13 Extraordinary expenses(1) 0.02 - - - - 0.02 - Tax effect - - - - - - - Diluted EPS excluding extraordinary expenses 0.13 0.37 0.41 0.43 0.48 1.34 2.13 BOLI tax expense and excise tax 0.20 - - - - 0.20 - Diluted EPS excluding BOLI tax expense and excise tax 0.33 - 0.41 0.43 0.48 1.54 2.13 Adjusted diluted EPS 0.33$ 0.37$ 0.41$ 0.43$ 0.48$ 1.54$ 2.13$ (1) Extraordinary expenses include costs assocaited with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities. Three Months Ended Twelve Months Ended Non-GAAP Reconciliation of Diluted Earnings per Share (Dollars in Thousands, Unaudited)

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 28 Footnote Index Actual Extraordinary Expenses Adjusted Actual Extraordinary Expenses Adjusted Non-interest Expense Salaries and employee benefits 21,877$ (705)$ (1) 21,172$ 20,058$ -$ 20,058$ Net occupancy expenses 3,260 - 3,260 3,283 - 3,283 Data processing 2,942 - 2,942 2,999 - 2,999 Professional fees 772 - 772 707 - 707 Outside services and consultants 2,394 - 2,394 2,316 - 2,316 Loan expense 1,345 - 1,345 1,120 - 1,120 Core deposit intangible amortization 1,200 - 1,200 1,300 - 1,300 FDIC insurance expense 903 - 903 903 - 903 Other losses 508 - 508 188 - 188 Other expense 4,129 - 4,129 3,294 - 3,294 Total non-interest expense 39,330$ (705)$ 38,625$ 36,168$ -$ 36,168$ Annualized non-interest expense to average assets 1.98% 1.94% 1.81% 1.81% (1) Extraordinary expenses include costs assocaited with previously disclosed staffing changes, the launch of Horizon Equipment Finance and the expansion of the Bank's treasury management capabilities. Three Months Ended Non-GAAP Reconciliation of Non-Interest Expense (Dollars in Thousands, Unaudited) 2023 December 31, September 30, 2023

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 29 Footnote Index Actual Extraordinary Expenses Adjusted Actual Extraordinary Expenses Adjusted Actual Extraordinary Expenses Adjusted Non-interest Expense Salaries and employee benefits 20,162$ -$ 20,162$ 18,712$ -$ 18,712$ 19,978$ -$ 19,978$ Net occupancy expenses 3,249 - 3,249 3,563 - 3,563 3,279 - 3,279 Data processing 3,016 - 3,016 2,669 - 2,669 2,884 - 2,884 Professional fees 633 - 633 533 - 533 694 - 694 Outside services and consultants 2,515 - 2,515 2,717 - 2,717 2,985 - 2,985 Loan expense 1,397 - 1,397 1,118 - 1,118 1,281 - 1,281 Core deposit intangible amortization 840 840 540 540 388 - 388 FDIC insurance expense 903 - 903 903 - 903 925 - 925 Other losses 134 - 134 221 - 221 118 - 118 Other expense 3,413 - 3,413 3,548 - 3,548 3,179 - 3,179 Total non-interest expense 36,262$ -$ 36,262$ 34,524$ -$ 34,524$ 35,711$ -$ 35,711$ Annualized non-interest expense to average assets 1.86% 1.86% 1.79% 1.79% 1.84% 1.84% 2023 June 30, March 31, Three Months Ended Non-GAAP Reconciliation of Non-Interest Expense (Dollars in Thousands, Unaudited) December 31, 20222023

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 30 Footnote Index December 31, September 30, June 30, March 31, 2023 2023 2023 2023 Total deposit interest expense as reported 27,376$ 24,704$ 18,958$ 14,819$ Average interest bearing deposits 4,509,268 4,538,698 4,445,074 4,502,199 Annualized total deposit interest expense as a percentage of average interest bearing deposits ("Cost of Interest Bearing Deposits") 2.41% 2.16% 1.71% 1.33% Average interest bearing deposits 4,509,268 4,538,698 4,445,074 4,502,199 Average non-interest bearing deposits 1,125,164 1,159,241 1,186,520 1,255,697 Average total deposits 5,634,432$ 5,697,939$ 5,631,594$ 5,757,896$ Annualized deposit interest expense as a percentage of average total deposits ("Cost of Total Deposits") 1.93% 1.72% 1.35% 1.04% Non-GAAP Reconciliation of Cost of Deposits (Dollars in Thousands, Unaudited) Three Months Ended

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 31 Footnote Index December 31, September 30, June 30, March 31, 2022 2022 2022 2022 Total deposit interest expense as reported 10,520$ 4,116$ 1,677$ 1,496$ Average interest bearing deposits 4,555,887 4,478,741 4,540,959 4,478,621 Annualized total deposit interest expense as a percentage of average interest bearing deposits ("Cost of Interest Bearing Deposits") 0.92% 0.36% 0.15% 0.14% Average interest bearing deposits 4,555,887 4,478,741 4,540,959 4,478,621 Average non-interest bearing deposits 1,321,139 1,351,857 1,335,779 1,322,781 Average total deposits 5,877,026$ 5,830,598$ 5,876,738$ 5,801,402$ Annualized deposit interest expense as a percentage of average total deposits ("Cost of Total Deposits") 0.71% 0.28% 0.11% 0.10% Three Months Ended Non-GAAP Reconciliation of Cost of Deposits (Dollars in Thousands, Unaudited)

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 32 Footnote Index December 31, September 30, June 30, March 31, 2021 2021 2021 2021 Total deposit interest expense as reported 1,663$ 1,808$ 2,053$ 2,343$ Average interest bearing deposits 4,543,989 3,831,632 3,680,796 3,524,103 Annualized total deposit interest expense as a percentage of average interest bearing deposits ("Cost of Interest Bearing Deposits") 0.15% 0.19% 0.22% 0.27% Average interest bearing deposits 4,543,989 3,831,632 3,680,796 3,524,103 Average non-interest bearing deposits 1,366,621 1,180,890 1,139,068 1,063,268 Average total deposits 5,910,610$ 5,012,522$ 4,819,864$ 4,587,371$ Annualized deposit interest expense as a percentage of average total deposits ("Cost of Total Deposits") 0.11% 0.14% 0.17% 0.21% Three Months Ended Non-GAAP Reconciliation of Cost of Deposits (Dollars in Thousands, Unaudited)

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® 33 Footnote Index December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2023 Non-interest Income Service charges on deposit accounts 3,092$ 3,086$ 3,021$ 3,028$ 2,947$ Wire transfer fees 103 120 116 109 118 Interchange fees 3,224 3,186 3,584 2,867 2,951 Fiduciary activities 1,352 1,206 1,247 1,275 1,270 Gains (losses) on sale of investment securities (31,572) - 20 (500) - Gain on sale of mortgage loans 951 1,582 1,005 785 1,196 Mortgage servicing income net of impairment 724 631 640 713 637 Increase in cash value of bank owned life insurance 658 1,055 1,015 981 751 Other income 1,019 964 349 362 804 Total non-interest income (20,449)$ 11,830$ 10,997$ 9,620$ 10,674$ (Gains) losses on sale of investment securities 31,572 - (20) 500 - Adjusted non-interest income 11,123$ 11,830$ 10,977$ 10,120$ 10,674$ Three Months Ended Non-GAAP Reconciliation of Non-Interest Income (Dollars in Thousands, Unaudited)

 
E X C E P T I O N A L S E R V I C E • S E N S I B L E A D V I C E ® Investor Relations Contact 34 Mark E. Secor Executive Vice President and Chief Financial Officer Horizon Bancorp, Inc. 515 Franklin Street Michigan City, IN 46360 219-873–2611 Investor.HorizonBank.com

 
v3.23.4
Cover Page Cover Page
Jan. 24, 2024
Cover [Abstract]  
Document Type 8-K
Document Period End Date Jan. 24, 2024
Entity File Number 000-10792
Entity Registrant Name HORIZON BANCORP, INC.
Entity Central Index Key 0000706129
Amendment Flag false
Title of 12(b) Security Common stock, no par value
Entity Incorporation, State or Country Code IN
Entity Tax Identification Number 35-1562417
Trading Symbol HBNC
Security Exchange Name NASDAQ
Entity Address, Address Line One 515 Franklin Street
Entity Address, City or Town Michigan City
Entity Address, State or Province IN
Entity Address, Postal Zip Code 46360
City Area Code 219
Local Phone Number 879-0211
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Entity Emerging Growth Company false
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