Form 8-K - Current report

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of Earliest Event Reported): July 25, 2024

HarborOne Bancorp, Inc.

(Exact Name of Registrant as Specified in its Charter)


Massachusetts	001-38955	81-1607465
(State or other jurisdiction	(Commission	(IRS Employer
of incorporation)	File Number)	Identification Number

770 Oak Street, Brockton, Massachusetts 02301

(Address of principal executive offices)

(508) 895-1000

(Registrant’s telephone number, including area code)

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))

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. ☐


Title of each Class	Trading Symbol	Name of each exchange on which registered
Common Stock, $0.01 par value	HONE	The NASDAQ Stock Market, LLC

Item 2.02

Results of Operations and Financial Condition

On July 25, 2024, HarborOne Bancorp, Inc. (the “Company”), the holding company for HarborOne Bank, issued a press release announcing its financial results for the quarter ended June 30, 2024. The Company’s press release is included as Exhibit 99.1 to this report.

The information set forth in this Item 2.02 and in the attached Exhibit 99.1 is deemed to be “furnished” and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section.

Item 7.01

Regulation FD Disclosure

The Company has prepared an investor presentation about the Company’s operations and performance that management intends to use from time to time on and after July 25, 2024. The investor presentation is attached as Exhibit 99.2 to this report.

The information set forth in this Item 7.01 and in the attached Exhibit 99.2 shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, or otherwise subject to the liabilities under that Section.

Item 9.01Financial Statements and Exhibits

(d)Exhibits


Number		Description

99.1		Press release dated July 25, 2024
99.2		Investor Presentation
104		Cover Page Interactive Data File (formatted as inline XBRL)

EXHIBIT INDEX


Number		Description

99.1		Press release dated July 25, 2024
99.2		Investor Presentation
104		Cover Page Interactive Data File (formatted as inline XBRL)

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunder duly authorized.

3

	HARBORONE BANCORP, INC.

	By:	/s/ Joseph F. Casey

	Name:	Joseph F. Casey
	Title:	President and
		Chief Executive Officer

Date: July 25, 2024

Exhibit 99.1

HarborOne Bancorp, Inc. Announces 2024 Second Quarter Results

Contact: Stephen W. Finocchio, EVP and CFO

Brockton, Massachusetts (July 25, 2024): HarborOne Bancorp, Inc. (the “Company” or “HarborOne”) (NASDAQ: HONE), the holding company for HarborOne Bank (the “Bank”), announced net income of $7.3 million, or $0.18 per diluted share, for the second quarter of 2024, compared to a net income of $7.3 million, or $0.17 per diluted share for the preceding quarter, and net income of $7.5 million, or $0.17 per diluted share for the same period last year. Net income for the six months ended June 30, 2024 was $14.6 million, or $0.35 per diluted share, compared to $14.8 million, or $0.33 per diluted share for the same period in 2023.

Selected Financial Highlights:

●

Loan growth of $62.5 million, or 5.2% annualized; client deposit growth of $66.9 million, or 6.7% annualized.

●

Improved asset quality; nonperforming loans as a percentage of total loans were 0.20% compared to 0.25% last quarter.

●

Net interest margin improvement to 2.31% from 2.25% on a linked-quarter basis.

●

Commenced new share repurchase program to repurchase approximately 5% of outstanding shares over the next year.

●

$1.8 million gain on sale of former Bank headquarters, partially offset by a $1.0 million loss on sale of low-yielding securities.

“I am pleased with our team’s execution this quarter, producing 19% annualized revenue growth, and improved net interest margin, through balanced loan and deposit growth,” said Joseph F. Casey, President and CEO. “Additionally, we improved our already solid asset quality.”

Net Interest Income

Net interest and dividend income was $31.4 million for the quarter ended June 30, 2024, compared to $30.6 million for the quarter ended March 31, 2024, and $32.1 million for the quarter ended June 30, 2023. The tax equivalent interest rate spread and net interest margin were 1.66% and 2.31%, respectively, for the quarter ended June 30, 2024, compared to 1.62% and 2.25%, respectively, for the quarter ended March 31, 2024, and 1.89% and 2.45%, respectively, for the quarter ended June 30, 2023.

On a linked-quarter basis, the increase in the net interest margin, interest rate spread and net interest and dividend income reflects average interest-earning assets increasing $1.6 million and the yield on interest-earning assets increasing 7 basis points, while average interest-bearing liabilities decreased $10.9 million and the cost of those liabilities increased 3 basis points. The cost of interest-bearing deposits, excluding brokered deposits, increased 10 basis points, primarily due to certificate of deposit rollovers at higher rates. Average checking account balances increased $25.7 million on a linked-quarter basis.

The $750,000 decrease in net interest and dividend income from the prior year quarter reflects an increase of $7.9 million, or 27.5%, in total interest expense, partially offset by an increase of $7.2 million, or 11.8%, in total interest and dividend income. The total cost of funding liabilities increased 53 basis points, while the average balance increased $199.2 million, and the yield on interest-earning assets increased 35 basis points, while the average balance increased $216.7 million.

Noninterest Income

Total noninterest income improved $1.2 million, or 11.0%, to $11.9 million for the quarter ended June 30, 2024, from $10.7 million for the quarter ended March 31, 2024. HarborOne Mortgage, LLC (“HarborOne Mortgage”) capitalized on the seasonal increase in residential real estate sales, with gain on loan sales of $3.1 million from mortgage closings of $173.0 million for the quarter ended June 30, 2024, compared to $2.0 million from mortgage loan closings of $102.1 million on a linked-quarter basis. Mortgage loan closings for the quarter ended June 30, 2023 were $172.2 million with a gain on loan sales of $3.3 million. The rate-locked pipeline is up $29.0 million on a linked-quarter basis and up $11.5 million compared to June 30, 2023.

The mortgage servicing rights (“MSR”) valuation declined $273,000 for the three months ended June 30, 2024, compared to an increase of $628,000 in the MSR valuation for the three months ended March 31, 2024. Although key benchmark interest rates used in the valuation model increased slightly from the prior quarter, the MSR valuation was negative as a result of model assumption caps. The impact on the MSR valuation of principal payments on the underlying mortgages was $545,000 and $353,000 for the quarters ended June 30, 2024 and March 31, 2024, respectively. During the first quarter of 2024, HarborOne Mortgage executed an economic hedge to partially mitigate potential MSR valuation losses in a declining rate environment. For the three months ended June 30, 2024 and March 31, 2024, the hedging loss was $280,000 and $221,000, respectively.

Total noninterest income for the quarter ended June 30, 2024 included a $1.8 million gain on the sale-leaseback of the building that currently houses HarborOne’s Legion Parkway banking center in downtown Brockton and previously served as the Bank’s headquarters. The sale-leaseback continues the Company’s longtime commitment to Brockton, which was made in conjunction with a partnership to revitalize the downtown area, with plans for a mixed-use property that includes a lease-back by the Company for a state-of-the-art HarborOne banking center. The gain was partially offset by $675,000 in contribution expense from the bargain purchase element of the property sale and a $1.0 million loss on the sale of $17.5 million of available-for-sale securities with a weighted average book yield of 2.84%, as we take opportunities to improve the yield on earning assets. Management utilized the proceeds upon settlement to pay down wholesale funding carrying a rate of approximately 5.53%.

Total noninterest income decreased $743,000, or 5.9%, compared to the quarter ended June 30, 2023, primarily due to a $1.6 million, or 27.2%, decrease in mortgage banking income, partially offset by the gain noted above. The prior year quarter also reflected a $915,000 million increase in the MSR valuation.

Noninterest Expense

Total noninterest expense increased $1.3 million, or 4.4%, to $33.1 million for the quarter ended June 30, 2024, from $31.8 million for the quarter ended March 31, 2024. The primary driver was a $1.3 million increase in compensation and benefits expenses due to both an increase in mortgage bankers during the quarter, and an increase in mortgage originator’s commission consistent with the increase in residential real estate mortgage origination volume. Additionally, marketing expense increased $552,000, primarily due to the $675,000 contribution expense noted above.

Total noninterest expense increased $1.4 million, or 4.5%, compared to the prior year quarter of $31.7 million. The primary driver was a $756,000 increase in compensation and benefits expenses due to accruals for incentive expense in the current period and none in the prior year period.

Asset Quality and Allowance for Credit Losses

Total nonperforming assets were $9.8 million at June 30, 2024, compared to $12.2 million at March 31, 2024 and $20.2 million at June 30, 2023. Nonperforming assets as a percentage of total assets were 0.17% at June 30, 2024, 0.21% at March 31, 2024, and 0.36% at June 30, 2023. During the second quarter of 2024, a single nonperforming credit, included in the business-oriented hotel loan segment, with a carrying value of $1.8 million, was paid-off.

The Company recorded a $615,000 provision for credit losses for the quarter ended June 30, 2024. The provision for loan credit losses was $1.1 million, partially offset by a negative provision of $534,000 for unfunded commitments. For the quarter ended March 31, 2024, a negative provision for credit losses of $168,000 was recorded, a result of $506,000 negative provision for unfunded commitments partially offset by a provision for loan credit losses of $338,000. The Company recorded a provision for credit losses of $3.3 million for the quarter ended June 30, 2023, driven by a provision for loan credit losses of $3.5 million and a negative $215,000 provision for unfunded commitments. Loan credit loss provisioning primarily reflects replenishment of the allowance for credit losses (“ACL”) on loans due to charge-offs and loan growth. The June 30, 2024 ACL estimate also includes annually updated model assumptions.

Net charge-offs totaled $195,000, or 0.02%, of average loans outstanding on an annualized basis, for the quarter ended June 30, 2024, $125,000, or 0.01% of average loans outstanding on an annualized basis, for the quarter ended March 30, 2024, and $2.7 million, or 0.23% of average loans outstanding on an annualized basis, for the quarter ended June 30, 2023.

The ACL on loans was $49.1 million, or 1.02% of total loans, at June 30, 2024, compared to $48.2 million, or 1.01% of total loans, at March 31, 2024 and $47.8 million, or 1.02% of total loans, at June 30, 2023. The ACL on unfunded commitments, included in other liabilities on the unaudited Consolidated Balance Sheets, amounted to $2.9 million at June 30, 2024, compared to $3.4 million at March 31, 2024 and $4.8 million at June 30, 2023.

Management continues to closely monitor the loan portfolio for signs of deterioration in light of speculation that commercial real estate values may deteriorate as the market adjusts to higher vacancies and interest rates. The commercial real estate portfolio is centered in New England, with approximately 75% of the portfolio secured by property located in Massachusetts and Rhode Island. Approximately 60% of the commercial real estate loans are fixed-rate loans which, in the opinion of management, have limited near-term maturity risk. As of June 30, 2024 and March 31, 2024, commercial loans rated “watch” amounted to $87.7 million and $67.9 million, respectively. Loans are rated “watch” at the point when there are signs of potential weakness. Management performs comprehensive reviews and works proactively with creditworthy borrowers facing financial distress and implements prudent workouts and accommodations to improve the Bank’s prospects of contractual repayment.

Three sub-sectors that management identified as potentially more susceptible to weakness includes business-oriented hotels, non-anchored retail space, and metro office space. As of June 30, 2024, business-oriented hotels loans included 12 loans with a total outstanding balance of $119.7 million, non-anchored retail space loans included 29 loans with a total outstanding balance of $48.6 million, and metro office space loans included one loan with a total outstanding balance of $6.2 million. All of the loans in these groups were performing in accordance with their terms.

Balance Sheet

Total assets decreased $75.2 million, or 1.3%, to $5.79 billion at June 30, 2024, from $5.86 billion at March 31, 2024. The linked-quarter decrease primarily reflects a decrease in cash and cash equivalents, partially offset by loan growth.

Available-for-sale securities decreased $21.9 million to $269.1 million at June 30, 2024 from $291.0 million at March 31, 2024 due to the sale noted above. The unrealized loss on securities available for sale decreased to $65.3 million as of June 30, 2024, as compared to $67.0 million of unrealized losses as of March 31, 2024. Securities held to maturity were flat at $19.7 million, or 0.3% of total assets, at June 30, 2024.

Loans increased $62.5 million, or 1.3%, to $4.84 billion at June 30, 2024, from $4.78 billion at March 31, 2024. The linked-quarter increase was primarily due to increases in commercial and industrial loans of $27.8 million, commercial real estate loans of $25.2 million, and $11.0 million of residential mortgage loans.

Total deposits increased $64.3 million to $4.46 billion at June 30, 2024 from $4.39 billion at March 31, 2024. Compared to the prior quarter, non-certificate accounts decreased $66.0 million and term certificate accounts increased $133.0 million, as a competitive rate environment continued to pressure deposit mix and rates. Brokered deposits decreased $2.7 million. As of June 30, 2024, FDIC-insured deposits were approximately 76% of total deposits, including Bank subsidiary deposits.

Borrowed funds decreased $135.0 million to $619.4 million at June 30, 2024 from $754.4 million at March 31, 2024, as excess liquidity was used to paydown high rate borrowings. As of June 30, 2024, the Bank had $1.16 billion in available borrowing capacity across multiple relationships.

Total stockholders’ equity was $577.3 million at June 30, 2024, compared to $577.7 million at March 31, 2024. Stockholders’ equity decreased 0.1% when compared to the prior quarter, as net income was offset by share repurchases and dividends. The Company continues to implement and execute share repurchase programs, repurchasing 1,230,353 shares at an average price of $10.37, including $0.10 per share of excise tax, during the six months ended June 30, 2024. The tangible-common-equity-to-tangible-assets ratio⁽¹⁾ was 9.03% at June 30, 2024, 8.92% at March 31, 2024, and 9.38% at June 30, 2023. At June 30, 2024, the Company and the Bank had strong capital positions, exceeding all regulatory capital requirements, and are considered well-capitalized.

⁽¹⁾ This non-GAAP ratio is total stockholders’ equity less goodwill and intangible assets to total assets less goodwill and intangible assets.

About HarborOne Bancorp, Inc.

HarborOne Bancorp, Inc. is the holding company for HarborOne Bank, a Massachusetts-chartered trust company. HarborOne Bank serves the financial needs of consumers, businesses, and municipalities throughout Eastern Massachusetts and Rhode Island through a network of 30 full-service banking centers located in Massachusetts and Rhode Island, and commercial lending offices in Boston, Massachusetts and Providence, Rhode Island. HarborOne Bank also provides a range of educational resources through “HarborOne U,” with free digital content, webinars, and recordings for small business and personal financial education. HarborOne Mortgage, LLC, a subsidiary of HarborOne Bank, provides mortgage lending services throughout New England and other states.

Forward Looking Statements

Certain statements herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. We may also make forward-looking statements in other documents we file with the Securities and Exchange Commission (“SEC”), in our annual reports to shareholders, in press releases and other written materials, and in oral statements made by our officers, directors or employees. Such statements may be identified by words such as “believes,” “will,” “would,” “expects,” “project,” “may,” “could,” “developments,” “strategic,” “launching,” “opportunities,” “anticipates,” “estimates,” “intends,” “plans,” “targets” and similar expressions. These statements are based upon the current beliefs and expectations of the Company’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements as a result of numerous factors. Factors that could cause such differences to exist include, but are not limited to, changes in general business and economic conditions (including inflation and concerns about inflation) on a national basis and in the local markets in which the Company operates, including changes that adversely affect borrowers’ ability to service and repay the Company’s loans; changes in interest rates; changes in customer behavior; ongoing turbulence in the capital and debt markets and the impact of such conditions on the Company’s business activities; increases in loan default and charge-off rates; decreases in the value of securities in the Company’s investment portfolio; fluctuations in real estate values; the possibility that future credit losses may be higher than currently expected due to changes in economic assumptions, customer behavior or adverse economic developments; the adequacy of loan loss reserves; decreases in deposit levels necessitating increased borrowing to fund loans and investments; competitive pressures from other financial institutions; cybersecurity incidents, fraud, natural disasters, war, terrorism, civil unrest, and future pandemics; changes in regulation; changes in accounting standards and practices; the risk that goodwill and intangibles recorded in the Company’s financial statements will become impaired; demand for loans in the Company’s market area; the Company’s ability to attract and maintain deposits; risks related to the implementation of acquisitions, dispositions, and restructurings; the risk that the Company

may not be successful in the implementation of its business strategy; changes in assumptions used in making such forward-looking statements and the risk factors described in the Annual Report on Form 10-K and Quarterly Reports on Form 10-Q as filed with the SEC, which are available at the SEC’s website, www.sec.gov. Should one or more of these risks materialize or should underlying beliefs or assumptions prove incorrect, HarborOne’s actual results could differ materially from those discussed. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. The Company disclaims any obligation to publicly update or revise any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes, except as required by law.

Use of Non-GAAP Measures

In addition to results presented in accordance with generally accepted accounting principles (“GAAP”), this press release contains certain non-GAAP financial measures. The Company’s management believes that the supplemental non-GAAP information, which consists of income statement results excluding the goodwill impairment charge, total adjusted noninterest expense excluding the goodwill impairment charge, diluted earnings per share excluding the goodwill impairment charge, return on average assets (ROAA), excluding the goodwill impairment charge, return on average equity (ROAE), excluding goodwill impairment charge, the efficiency ratio, efficiency ratio excluding the goodwill impairment charge, tangible-common-equity-to-tangible-assets ratio and tangible book value per share, are utilized by regulators and market analysts to evaluate a company’s financial condition and therefore, such information is useful to investors. These disclosures should not be viewed as a substitute for financial results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures which may be presented by other companies. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names.

HarborOne Bancorp, Inc.

Consolidated Balance Sheet Trend

(Unaudited)


	June 30,		March 31,		December 31,		September 30,		June 30,
(in thousands)	2024		2024		2023		2023		2023

Assets

Cash and due from banks	$	48,097	$	36,340	$	38,876	$	38,573	$	43,525
Short-term investments		186,965		357,101		188,474		208,211		209,326
Total cash and cash equivalents		235,062		393,441		227,350		246,784		252,851

Securities available for sale, at fair value		269,078		291,008		290,151		271,078		292,012
Securities held to maturity, at amortized cost		19,725		19,724		19,796		19,795		19,839
Federal Home Loan Bank stock, at cost		25,311		26,565		27,098		23,378		27,123
Asset held for sale		—		348		348		966		966
Loans held for sale, at fair value		41,814		16,434		19,686		17,796		20,949
Loans:
Commercial real estate		2,380,881		2,355,672		2,343,675		2,349,886		2,286,688
Commercial construction		233,926		234,811		208,443		191,224		228,902
Commercial and industrial		499,043		471,215		466,443		450,547		453,422
Total commercial loans		3,113,850		3,061,698		3,018,561		2,991,657		2,969,012
Residential real estate		1,706,678		1,695,686		1,709,714		1,706,950		1,701,766
Consumer		18,704		19,301		22,036		24,247		27,425
Loans		4,839,232		4,776,685		4,750,311		4,722,854		4,698,203
Less: Allowance for credit losses on loans		(49,139)		(48,185)		(47,972)		(48,312)		(47,821)
Net loans		4,790,093		4,728,500		4,702,339		4,674,542		4,650,382
Mortgage servicing rights, at fair value		46,209		46,597		46,111		49,201		48,176
Goodwill		59,042		59,042		59,042		69,802		69,802
Other intangible assets		1,136		1,326		1,515		1,704		1,893
Other assets		299,565		279,237		274,460		289,341		275,261
Total assets	$	5,787,035	$	5,862,222	$	5,667,896	$	5,664,387	$	5,659,254

Liabilities and Stockholders' Equity

Deposits:
Demand deposit accounts	$	689,800	$	677,152	$	659,973	$	708,847	$	717,572
NOW accounts		308,016		305,071		305,825		289,141		286,956
Regular savings and club accounts		989,720		1,110,404		1,265,315		1,324,635		1,390,906
Money market deposit accounts		1,100,215		1,061,145		966,201		951,128		834,120
Term certificate accounts		985,293		852,326		863,457		859,266		742,931
Brokered deposits		385,253		387,926		326,638		276,941		315,003
Total deposits		4,458,297		4,394,024		4,387,409		4,409,958		4,287,488
Borrowings		619,372		754,380		568,462		475,470		604,568
Subordinated debt		—		—		—		34,380		34,348
Other liabilities and accrued expenses		132,037		136,135		128,266		159,945		137,318
Total liabilities		5,209,706		5,284,539		5,084,137		5,079,753		5,063,722

Common stock		598		598		598		597		597
Additional paid-in capital		487,980		487,277		486,502		485,144		484,544
Unearned compensation - ESOP		(24,866)		(25,326)		(25,785)		(26,245)		(26,704)
Retained earnings		367,584		363,591		359,656		369,930		364,709
Treasury stock		(205,944)		(199,853)		(193,590)		(187,803)		(181,324)
Accumulated other comprehensive loss		(48,023)		(48,604)		(43,622)		(56,989)		(46,290)
Total stockholders' equity		577,329		577,683		583,759		584,634		595,532

Total liabilities and stockholders' equity	$	5,787,035	$	5,862,222	$	5,667,896	$	5,664,387	$	5,659,254

HarborOne Bancorp, Inc.

Consolidated Statements of Net Income - Trend

(Unaudited)


	Quarters Ended
	June 30,		March 31,		December 31,		September 30,		June 30,
(in thousands, except share data)	2024		2024		2023		2023		2023

Interest and dividend income:
Interest and fees on loans	$	61,512	$	59,937	$	59,499	$	58,124	$	55,504
Interest on loans held for sale		347		243		369		370		326
Interest on securities		2,121		2,065		2,001		2,003		2,035
Other interest and dividend income		3,971		4,659		2,516		2,667		2,935
Total interest and dividend income		67,951		66,904		64,385		63,164		60,800

Interest expense:
Interest on deposits		27,272		26,899		27,310		25,039		20,062
Interest on borrowings		9,329		9,423		6,260		6,439		8,114
Interest on subordinated debentures		—		—		1,122		606		524
Total interest expense		36,601		36,322		34,692		32,084		28,700

Net interest and dividend income		31,350		30,582		29,693		31,080		32,100

Provision (benefit) for credit losses		615		(168)		644		(113)		3,283

Net interest and dividend income, after provision for credit losses		30,735		30,750		29,049		31,193		28,817

Noninterest income:
Mortgage banking income:
Gain on sale of mortgage loans		3,143		2,013		2,176		2,704		3,300
Changes in mortgage servicing rights fair value		(1,098)		54		(3,553)		125		436
Other		2,356		2,276		2,301		2,270		2,312
Total mortgage banking income		4,401		4,343		924		5,099		6,048

Deposit account fees		5,223		4,983		5,178		5,133		5,012
Income on retirement plan annuities		141		145		147		146		128
Gain on sale of asset held for sale		1,809		—		—		—		—
Loss on sale of securities		(1,041)		—		—		—		—
Bank-owned life insurance income		758		746		1,207		531		511
Other income		628		524		1,448		689		963
Total noninterest income		11,919		10,741		8,904		11,598		12,662

Noninterest expenses:
Compensation and benefits		18,976		17,636		19,199		18,699		18,220
Occupancy and equipment		4,636		4,781		4,670		4,430		4,633
Data processing		2,375		2,479		2,474		2,548		2,403
Loan expense (income)		461		371		(317)		385		417
Marketing		1,368		816		811		794		925
Professional fees		1,236		1,457		1,690		1,374		1,114
Deposit insurance		993		1,164		795		1,004		1,176
Goodwill impairment		—		—		10,760		—		—
Other expenses		3,099		3,046		3,132		2,638		2,837
Total noninterest expenses		33,144		31,750		43,214		31,872		31,725

Income (loss) before income taxes		9,510		9,741		(5,261)		10,919		9,754

Income tax provision		2,214		2,441		1,850		2,507		2,275

Net income (loss)	$	7,296	$	7,300	$	(7,111)	$	8,412	$	7,479

Earnings (losses) per common share:
Basic	$	0.18	$	0.17	$	(0.17)	$	0.20	$	0.17
Diluted	$	0.18	$	0.17	$	(0.17)	$	0.20	$	0.17
Weighted average shares outstanding:
Basic		41,293,787		41,912,421		42,111,872		42,876,893		43,063,507
Diluted		41,370,289		42,127,037		42,299,858		42,983,477		43,133,455

HarborOne Bancorp, Inc.

Consolidated Statements of Net Income - Trend

(Unaudited)


	For the Six Months Ended June 30,
(dollars in thousands, except share data)	2024		2023		$ Change		% Change

Interest and dividend income:
Interest and fees on loans	$	121,449	$	108,275	$	13,174	12.2	%
Interest on loans held for sale		590		612		(22)	(3.6)
Interest on securities		4,186		4,114		72	1.8
Other interest and dividend income		8,630		3,738		4,892	130.9
Total interest and dividend income		134,855		116,739		18,116	15.5

Interest expense:
Interest on deposits		54,171		35,975		18,196	50.6
Interest on borrowings		18,752		13,219		5,533	41.9
Interest on subordinated debentures		—		1,047		(1,047)	(100.0)
Total interest expense		72,923		50,241		22,682	45.1

Net interest and dividend income		61,932		66,498		(4,566)	(6.9)

Provision for credit losses		447		5,149		(4,702)	(91.3)

Net interest and dividend income, after provision for credit losses		61,485		61,349		136	0.2

Noninterest income:
Mortgage banking income:
Gain on sale of mortgage loans		5,156		5,524		(368)	(6.7)
Changes in mortgage servicing rights fair value		(1,044)		(1,256)		212	16.9
Other		4,632		4,528		104	2.3
Total mortgage banking income		8,744		8,796		(52)	(0.6)

Deposit account fees		10,206		9,745		461	4.7
Income on retirement plan annuities		286		247		39	15.8
Gain on sale of asset held for sale		1,809		—		1,809	100.0
Loss on sale of securities		(1,041)		—		(1,041)	(100.0)
Bank-owned life insurance income		1,504		1,011		493	48.8
Other income		1,152		1,553		(401)	(25.8)
Total noninterest income		22,660		21,352		1,308	6.1

Noninterest expenses:
Compensation and benefits		36,612		36,019		593	1.6
Occupancy and equipment		9,417		9,673		(256)	(2.6)
Data processing		4,854		4,749		105	2.2
Loan expense		832		730		102	14.0
Marketing		2,184		2,106		78	3.7
Professional fees		2,693		2,615		78	3.0
Deposit insurance		2,157		1,686		471	27.9
Other expenses		6,145		5,656		489	8.6
Total noninterest expenses		64,894		63,234		1,660	2.6

Income before income taxes		19,251		19,467		(216)	(1.1)

Income tax provision		4,655		4,691		(36)	(0.8)

Net income	$	14,596	$	14,776	$	(180)	(1.2)	%

Earnings per common share:
Basic	$	0.35	$	0.34
Diluted	$	0.35	$	0.33
Weighted average shares outstanding:
Basic		41,603,104		43,955,411
Diluted		41,748,663		44,203,893

HarborOne Bancorp, Inc.

Average Balances and Yield Trend

(Unaudited)


	Quarters Ended
	June 30, 2024							March 31, 2024							June 30, 2023
	Average							Average							Average
	Outstanding					Yield/		Outstanding					Yield/		Outstanding					Yield/
	Balance			Interest		Cost ⁽⁸⁾		Balance			Interest		Cost ⁽⁸⁾		Balance			Interest		Cost ⁽⁸⁾

	(dollars in thousands)
Interest-earning assets:
Investment securities ⁽¹⁾	$	374,730		$	2,121	2.28	%	$	372,787		$	2,065	2.23	%	$	381,762		$	2,035	2.14	%
Other interest-earning assets		306,361			3,971	5.21			356,470			4,659	5.26			238,891			2,935	4.93
Loans held for sale		20,775			347	6.72			14,260			243	6.85			19,614			326	6.67
Loans
Commercial loans⁽²⁾⁽³⁾		3,091,004			43,023	5.60			3,040,835			41,653	5.51			2,938,292			38,842	5.30
Residential real estate loans⁽³⁾⁽⁴⁾		1,695,059			18,393	4.36			1,700,694			18,175	4.30			1,682,860			16,456	3.92
Consumer loans ⁽³⁾		19,221			352	7.37			20,539			358	7.01			29,025			419	5.79
Total loans		4,805,284			61,768	5.17			4,762,068			60,186	5.08			4,650,177			55,717	4.81
Total interest-earning assets		5,507,150			68,207	4.98			5,505,585			67,153	4.91			5,290,444			61,013	4.63
Noninterest-earning assets		300,847							299,153							305,132
Total assets	$	5,807,997						$	5,804,738						$	5,595,576
Interest-bearing liabilities:
Savings accounts	$	1,058,524			4,305	1.64		$	1,186,201			5,523	1.87		$	1,421,622			6,165	1.74
NOW accounts		299,536			88	0.12			289,902			75	0.10			280,501			59	0.08
Money market accounts		1,069,153			10,186	3.83			994,353			9,313	3.77			802,373			6,256	3.13
Certificates of deposit		931,255			9,946	4.30			855,070			8,554	4.02			708,087			5,273	2.99
Brokered deposits		300,385			2,747	3.68			356,459			3,434	3.87			281,614			2,309	3.29
Total interest-bearing deposits		3,658,853			27,272	3.00			3,681,985			26,899	2.94			3,494,197			20,062	2.30
Borrowings		776,852			9,329	4.83			764,623			9,423	4.96			666,345			8,114	4.88
Subordinated debentures		—			—	-			—			—	-			34,331			524	6.12
Total borrowings		776,852			9,329	4.83			764,623			9,423	4.96			700,676			8,638	4.94
Total interest-bearing liabilities		4,435,705			36,601	3.32			4,446,608			36,322	3.29			4,194,873			28,700	2.74
Noninterest-bearing liabilities:
Noninterest-bearing deposits		670,494							654,436							712,081
Other noninterest-bearing liabilities		126,477							119,289							88,363
Total liabilities		5,232,676							5,220,333							4,995,317
Total stockholders' equity		575,321							584,405							600,259
Total liabilities and stockholders' equity	$	5,807,997						$	5,804,738						$	5,595,576
Tax equivalent net interest income					31,606							30,831							32,313
Tax equivalent interest rate spread⁽⁵⁾						1.66	%						1.62	%						1.89	%
Less: tax equivalent adjustment					256							249							213
Net interest income as reported				$	31,350						$	30,582						$	32,100
Net interest-earning assets ⁽⁶⁾	$	1,071,445						$	1,058,977						$	1,095,571
Net interest margin⁽⁷⁾						2.29	%						2.23	%						2.43	%
Tax equivalent effect						0.02							0.02							0.02
Net interest margin on a fully tax equivalent basis						2.31	%						2.25	%						2.45	%
Ratio of interest-earning assets to interest-bearing liabilities		124.16	%						123.82	%						126.12	%

Supplemental information:
Total deposits, including demand deposits	$	4,329,347		$	27,272			$	4,336,421		$	26,899			$	4,206,278		$	20,062
Cost of total deposits						2.53	%						2.49	%						1.91	%
Total funding liabilities, including demand deposits	$	5,106,199		$	36,601			$	5,101,044		$	36,322			$	4,906,954		$	28,700
Cost of total funding liabilities						2.88	%						2.86	%						2.35	%

⁽¹⁾ Includes securities available for sale and securities held to maturity.

⁽²⁾ Tax-exempt income on industrial revenue bonds is included in commercial loans on a tax-equivalent basis.

⁽³⁾ Includes nonaccruing loan balances and interest received on such loans.

⁽⁴⁾ Includes the basis adjustments of certain loans included in fair value hedging relationships.

⁽⁵⁾ Net interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.

⁽⁶⁾ Net interest-earning assets represents total interest-earning assets less total interest-bearing liabilities.

⁽⁷⁾ Net interest margin represents net interest income divided by average total interest-earning assets.

⁽⁸⁾ Annualized

HarborOne Bancorp, Inc.

Average Balances and Yield Trend

(Unaudited)


	For the Six Months Ended
	June 30, 2024							June 30, 2023
	Average							Average
	Outstanding					Yield/		Outstanding					Yield/
	Balance			Interest		Cost ⁽⁸⁾		Balance			Interest		Cost ⁽⁸⁾

	(dollars in thousands)

Interest-earning assets:
Investment securities ⁽¹⁾	$	373,758		$	4,186	2.25	%	$	384,517		$	4,114	2.16	%
Other interest-earning assets		331,416			8,630	5.24			151,644			3,738	4.97
Loans held for sale		17,517			590	6.77			18,865			612	6.54
Loans
Commercial loans ⁽²⁾⁽³⁾		3,065,921			84,675	5.55			2,919,980			75,679	5.23
Residential real estate loans ⁽³⁾⁽⁴⁾		1,697,878			36,568	4.33			1,665,083			32,072	3.88
Consumer loans ⁽³⁾		19,879			711	7.19			32,647			938	5.79
Total loans		4,783,678			121,954	5.13			4,617,710			108,689	4.75
Total interest-earning assets		5,506,369			135,360	4.94			5,172,736			117,153	4.57
Noninterest-earning assets		299,999							309,198
Total assets	$	5,806,368						$	5,481,934
Interest-bearing liabilities:
Savings accounts	$	1,122,362			9,827	1.76		$	1,440,403			11,610	1.63
NOW accounts		294,719			163	0.11			278,164			95	0.07
Money market accounts		1,031,753			19,499	3.80			813,472			11,494	2.85
Certificates of deposit		893,162			18,501	4.17			630,791			7,958	2.54
Brokered deposits		328,422			6,181	3.78			305,885			4,818	3.18
Total interest-bearing deposits		3,670,418			54,171	2.97			3,468,715			35,975	2.09
FHLB and FRB borrowings		770,738			18,752	4.89			557,823			13,219	4.78
Subordinated debentures		—			—	—			34,315			1,047	6.15
Total borrowings		770,738			18,752	4.89			592,138			14,266	4.86
Total interest-bearing liabilities		4,441,156			72,923	3.30			4,060,853			50,241	2.49
Noninterest-bearing liabilities:
Noninterest-bearing deposits		662,465							716,782
Other noninterest-bearing liabilities		122,884							95,054
Total liabilities		5,226,505							4,872,689
Total stockholders' equity		579,863							609,245
Total liabilities and stockholders' equity	$	5,806,368						$	5,481,934
Tax equivalent net interest income					62,437							66,912
Tax equivalent interest rate spread ⁽⁵⁾						1.64	%						2.07	%
Less: tax equivalent adjustment					505							414
Net interest income as reported				$	61,932						$	66,498
Net interest-earning assets ⁽⁶⁾	$	1,065,213						$	1,111,883
Net interest margin ⁽⁷⁾						2.26	%						2.59	%
Tax equivalent effect						0.02							0.02
Net interest margin on a fully tax equivalent basis						2.28	%						2.61	%
Ratio of interest-earning assets to interest-bearing liabilities		123.99	%						127.38	%

Supplemental information:
Total deposits, including demand deposits	$	4,332,883		$	54,171			$	4,185,497		$	35,975
Cost of total deposits						2.51	%						1.73	%
Total funding liabilities, including demand deposits	$	5,103,621		$	72,923			$	4,777,635		$	50,241
Cost of total funding liabilities						2.87	%						2.12	%

Tax-exempt income on industrial revenue bonds is included in commercial loans on a tax-equivalent basis.

⁽¹⁾ Includes securities available for sale and securities held to maturity.

⁽²⁾ Tax-exempt income on industrial revenue bonds is included in commercial loans on a tax-equivalent basis.

⁽³⁾ Includes nonaccruing loan balances and interest received on such loans.

⁽⁴⁾Includes the basis adjustments of certain loans included in fair value hedging relationships.

⁽⁵⁾ Net interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.

⁽⁶⁾ Net interest-earning assets represents total interest-earning assets less total interest-bearing liabilities.

⁽⁷⁾Net interest margin represents net interest income divided by average total interest-earning assets.

⁽⁸⁾ Annualized.

HarborOne Bancorp, Inc.

Average Balances and Yield Trend

(Unaudited)


	Average Balances - Trend - Quarters Ended
		June 30,			March 31,			December 31,			September 30,			June 30,
		2024			2024			2023			2023			2023

	(in thousands)

Interest-earning assets:
Investment securities ⁽¹⁾	$	374,730		$	372,787		$	370,683		$	375,779		$	381,762
Other interest-earning assets		306,361			356,470			205,929			207,234			238,891
Loans held for sale		20,775			14,260			20,010			20,919			19,614
Loans
Commercial loans ⁽²⁾⁽³⁾		3,091,004			3,040,835			3,005,840			2,980,817			2,938,292
Residential real estate loans ⁽³⁾⁽⁴⁾		1,695,059			1,700,694			1,707,978			1,700,383			1,682,860
Consumer loans ⁽³⁾		19,221			20,539			22,324			25,126			29,025
Total loans		4,805,284			4,762,068			4,736,142			4,706,326			4,650,177
Total interest-earning assets		5,507,150			5,505,585			5,332,764			5,310,258			5,290,444
Noninterest-earning assets		300,847			299,153			313,729			314,030			305,132
Total assets	$	5,807,997		$	5,804,738		$	5,646,493		$	5,624,288		$	5,595,576
Interest-bearing liabilities:
Savings accounts	$	1,058,524		$	1,186,201		$	1,307,774		$	1,360,728		$	1,421,622
NOW accounts		299,536			289,902			290,147			274,329			280,501
Money market accounts		1,069,153			994,353			963,223			910,694			802,373
Certificates of deposit		931,255			855,070			859,274			818,182			708,087
Brokered deposits		300,385			356,459			288,449			287,428			281,614
Total interest-bearing deposits		3,658,853			3,681,985			3,708,867			3,651,361			3,494,197
Borrowings		776,852			764,623			507,520			508,001			666,345
Subordinated debentures		—			—			22,614			34,364			34,331
Total borrowings		776,852			764,623			530,134			542,365			700,676
Total interest-bearing liabilities		4,435,705			4,446,608			4,239,001			4,193,726			4,194,873
Noninterest-bearing liabilities:
Noninterest-bearing deposits		670,494			654,436			683,548			705,009			712,081
Other noninterest-bearing liabilities		126,477			119,289			137,239			126,742			88,363
Total liabilities		5,232,676			5,220,333			5,059,788			5,025,477			4,995,317
Total stockholders' equity		575,321			584,405			586,705			598,811			600,259
Total liabilities and stockholders' equity	$	5,807,997		$	5,804,738		$	5,646,493		$	5,624,288		$	5,595,576

	Annualized Yield Trend - Quarters Ended
		June 30,			March 31,			December 31,			September 30,			June 30,
		2024			2024			2023			2023			2023

Interest-earning assets:
Investment securities ⁽¹⁾		2.28	%		2.23	%		2.14	%		2.11	%		2.14	%
Other interest-earning assets		5.21	%		5.26	%		4.85	%		5.11	%		4.93	%
Loans held for sale		6.72	%		6.85	%		7.32	%		7.02	%		6.67	%
Commercial loans ⁽²⁾⁽³⁾		5.60	%		5.51	%		5.45	%		5.38	%		5.30	%
Residential real estate loans ⁽³⁾⁽⁴⁾		4.36	%		4.30	%		4.21	%		4.09	%		3.92	%
Consumer loans ⁽³⁾		7.37	%		7.01	%		6.82	%		6.51	%		5.79	%
Total loans		5.17	%		5.08	%		5.01	%		4.92	%		4.81	%
Total interest-earning assets		4.98	%		4.91	%		4.81	%		4.74	%		4.63	%

Interest-bearing liabilities:
Savings accounts		1.64	%		1.87	%		2.09	%		1.98	%		1.74	%
NOW accounts		0.12	%		0.10	%		0.17	%		0.11	%		0.08	%
Money market accounts		3.83	%		3.77	%		3.83	%		3.64	%		3.13	%
Certificates of deposit		4.30	%		4.02	%		3.85	%		3.50	%		2.99	%
Brokered deposits		3.68	%		3.87	%		3.71	%		3.60	%		3.29	%
Total interest-bearing deposits		3.00	%		2.94	%		2.92	%		2.72	%		2.30	%
Borrowings		4.83	%		4.96	%		4.89	%		5.03	%		4.88	%
Subordinated debentures		-	%		-	%		19.68	%		7.00	%		6.12	%
Total borrowings		4.83	%		4.96	%		5.52	%		5.15	%		4.94	%
Total interest-bearing liabilities		3.32	%		3.29	%		3.25	%		3.04	%		2.74	%

⁽¹⁾ Includes securities available for sale and securities held to maturity.

⁽²⁾ Tax-exempt income on industrial revenue bonds is included in commercial loans on a tax-equivalent basis.

⁽³⁾ Includes nonaccruing loan balances and interest received on such loans.

⁽⁴⁾Includes the basis adjustments of certain loans included in fair value hedging relationships.

HarborOne Bancorp, Inc.

Selected Financial Highlights

(Unaudited)


	Quarters Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
Performance Ratios (annualized):	2024			2024			2023			2023			2023
(dollars in thousands)
Net income (loss)	$	7,296		$	7,300		$	(7,111)		$	8,411		$	7,450
Less: Goodwill impairment charge		—			—			10,760			—			—
Net income, excluding goodwill impairment charge⁽¹⁾	$	7,296		$	7,300		$	3,649		$	8,411		$	7,450
Average Assets	$	5,807,997		$	5,804,738		$	5,646,493		$	5,624,288		$	5,595,576
Average Equity	$	575,321		$	584,405		$	586,705		$	598,811		$	600,258

Return on average assets (ROAA)		0.50	%		0.50	%		(0.50)	%		0.60	%		0.54	%
Return on average assets (ROAA), excluding goodwill impairment charge⁽²⁾		0.50	%		0.50	%		0.26	%		0.60	%		0.54	%
Return on average equity (ROAE)		5.07	%		5.00	%		(4.85)	%		5.62	%		4.98	%
Return on average equity (ROAE), excluding goodwill impairment charge⁽³⁾		5.07	%		5.00	%		2.49	%		5.62	%		4.98	%

Total noninterest expense	$	33,144		$	31,750		$	43,214		$	31,872		$	31,725
Less: Amortization of other intangible assets		189			189			189			189			189
Total adjusted noninterest expense		32,955			31,561			43,025			31,683			31,536
Less: Goodwill impairment charge		—			—			10,760			—			—
Total adjusted noninterest expense, excluding goodwill impairment⁽⁴⁾	$	32,955		$	31,561		$	32,265		$	31,683		$	31,536

Net interest and dividend income	$	31,350		$	30,582		$	29,693		$	31,080		$	32,100
Total noninterest income		11,919			10,741			8,904			11,598			12,662
Total revenue	$	43,269		$	41,323		$	38,597		$	42,678		$	44,762

Efficiency ratio ⁽⁵⁾		76.16	%		76.38	%		111.47	%		74.24	%		70.45	%
Efficiency ratio^,excluding goodwill impairment charge⁽⁶⁾		76.16	%		76.38	%		83.59	%		74.24	%		70.45	%

⁽¹⁾ This non-GAAP measure represents net income, excluding goodwill impairment charge

⁽²⁾ This non-GAAP measure represents net income, excluding goodwill impairment charge to average assets

⁽³⁾ This non-GAAP measure represents net income, excluding goodwill impairment charge to average equity

⁽⁴⁾ This non-GAAP measure represents adjusted noninterest expense, excluding goodwill impairment charge

⁽⁵⁾ This non-GAAP measure represents adjusted noninterest expense divided by total revenue

⁽⁶⁾ This non-GAAP measure represents adjusted noninterest expense, excluding goodwill impairment divided by total revenue


	At or for the Quarters Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
Asset Quality	2024			2024			2023			2023			2023
(dollars in thousands)

Total nonperforming assets	$	9,766		$	12,201		$	17,582		$	18,795		$	20,234

Nonperforming assets to total assets		0.17	%		0.21	%		0.31	%		0.33	%		0.36	%

Allowance for credit losses on loans to total loans		1.02	%		1.01	%		1.01	%		1.02	%		1.02	%

Net charge-offs (recoveries)	$	195		$	125		$	1,311		$	(18)		$	2,671

Annualized net charge-offs (recoveries)/average loans		0.02	%		0.01	%		0.11	%		—	%		0.23	%

Allowance for credit losses on loans to nonperforming loans		503.18	%		396.27	%		273.92	%		257.21	%		236.62	%

HarborOne Bancorp, Inc.

Selected Financial Highlights

(Unaudited)


	Quarters Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
Capital and Share Related	2024			2024			2023			2023			2023
(dollars in thousands, except share data)

Common stock outstanding		44,459,490			45,055,006			45,401,224			45,915,364			46,575,478

Book value per share	$	12.99		$	12.82		$	12.86		$	12.73		$	12.79

Tangible common equity:
Total stockholders' equity	$	577,329		$	577,683		$	583,759		$	584,634		$	595,532
Less: Goodwill		59,042			59,042			59,042			69,802			69,802
Less: Other intangible assets⁽¹⁾		1,136			1,326			1,515			1,704			1,893
Tangible common equity	$	517,151		$	517,315		$	523,202		$	513,128		$	523,837

Tangible book value per share ⁽²⁾	$	11.63		$	11.48		$	11.52		$	11.18		$	11.25

Tangible assets:
Total assets	$	5,787,035		$	5,862,222		$	5,667,896		$	5,664,387		$	5,659,254
Less: Goodwill		59,042			59,042			59,042			69,802			69,802
Less: Other intangible assets		1,136			1,326			1,515			1,704			1,893
Tangible assets	$	5,726,857		$	5,801,854		$	5,607,339		$	5,592,881		$	5,587,559

Tangible common equity / tangible assets ⁽³⁾		9.03	%		8.92	%		9.33	%		9.17	%		9.38	%

⁽¹⁾ Other intangible assets are core deposit intangibles.

⁽²⁾ This non-GAAP ratio is total stockholders' equity less goodwill and intangible assets divided by common stock outstanding.

⁽³⁾ This non-GAAP ratio is total stockholders' equity less goodwill and intangible assets to total assets less goodwill and intangible assets.

HarborOne Bancorp, Inc.

Segments Key Financial Data

(Unaudited)


	Quarters Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
Statements of Net Income for HarborOne Bank Segment:	2024			2024			2023			2023			2023

	(Dollars in thousands)

Net interest and dividend income	$	31,098		$	30,485		$	30,637		$	31,468		$	32,490
Provision (benefit) for credit losses		615			(168)			644			(113)			3,283
Net interest and dividend income, after provision for credit losses		30,483			30,653			29,993			31,581			29,207
Mortgage banking income:
Intersegment loss		(464)			(236)			(159)			(198)			(358)
Changes in mortgage servicing rights fair value		(74)			(32)			(257)			18			29
Other		180			180			185			188			195
Total mortgage banking (loss) income		(358)			(88)			(231)			8			(134)
Other noninterest income:
Deposit account fees		5,223			4,983			5,178			5,132			5,013
Income on retirement plan annuities		141			145			147			146			128
Gain on sale of asset held for sale		1,809			—			—			—			—
Loss on sale of securities		(1,041)			—			—			—			—
Bank-owned life insurance income		758			746			1,207			531			511
Other income		624			517			1,405			694			962
Total noninterest income		7,156			6,303			7,706			6,511			6,480
Noninterest expenses:
Compensation and benefits		15,627			15,307			16,535			15,238			15,067
Occupancy and equipment		4,052			4,150			4,038			3,828			3,910
Data processing		2,363			2,470			2,462			2,527			2,355
Loan expense		188			71			153			128			96
Marketing		1,331			783			751			709			787
Professional fees		771			1,056			1,404			914			699
Deposit insurance		992			1,164			794			1,004			1,176
Other expenses		2,467			2,406			2,476			1,924			2,103
Total noninterest expenses		27,791			27,407			28,613			26,272			26,193
Less: Amortization of other intangible assets		189			189			189			190			189
Total adjusted noninterest expense		27,602			27,218			28,424			26,082			26,004

Income before income taxes		9,848			9,549			9,086			11,820			9,494
Provision for income taxes		2,310			2,386			2,535			2,716			2,193
Net income	$	7,538		$	7,163		$	6,551		$	9,104		$	7,301

Efficiency ratio ⁽¹⁾ - QTD		72.15	%		73.99	%		74.13	%		68.67	%		66.73	%
Efficiency ratio ⁽¹⁾ - YTD		73.05	%		73.99	%		68.49	%		66.64	%		65.67	%

⁽¹⁾ This non-GAAP measure represents adjusted noninterest expense divided by total revenue

HarborOne Bancorp, Inc.

Segments Key Financial Data

(Unaudited)


	Quarters Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
Statements of Net Income for HarborOne Mortgage Segment:	2024			2024			2023			2023			2023

	(Dollars in thousands)

Net interest and dividend income	$	240		$	80		$	160		$	199		$	120
Mortgage banking income:
Gain on sale of mortgage loans		3,141			2,013			2,176			2,704			3,300
Intersegment gain		464			308			56			249			90
Changes in mortgage servicing rights fair value		(1,024)			86			(3,296)			107			407
Other		2,177			2,097			2,116			2,082			2,117
Total mortgage banking income		4,758			4,504			1,052			5,142			5,914
Other noninterest income (loss)		4			10			2			(4)			—
Total noninterest income		4,762			4,514			1,054			5,138			5,914
Noninterest expenses:
Compensation and benefits		3,944			2,919			3,217			4,014			3,700
Occupancy and equipment		547			604			596			567			688
Data processing		11			9			13			21			48
Loan expense		274			304			(470)			258			321
Marketing		36			33			60			85			138
Professional fees		131			132			120			155			180
Goodwill impairment		—			—			10,760			—			—
Other expenses		326			310			371			390			418
Total noninterest expenses		5,269			4,311			14,667			5,490			5,493

Income (loss) before income taxes		(267)			283			(13,453)			(153)			541
Income tax (benefit) provision		(76)			60			(596)			(15)			232
Net income (loss)	$	(191)		$	223		$	(12,857)		$	(138)		$	309

Closed loan volume	$	172,994		$	102,101		$	124,225		$	157,572		$	172,153
Gain on sale margin		1.82	%		1.97	%		1.75	%		1.72	%		1.92	%

Efficiency ratio ⁽¹⁾ - QTD		105.34	%		93.84	%		1,208.15	%		102.87	%		91.03	%
Efficiency ratio, excluding goodwill impairment ⁽²⁾ - QTD		105.34	%		93.84	%		321.83	%		102.87	%		91.03	%
Efficiency ratio ⁽¹⁾ - YTD		99.83	%		93.84	%		192.98	%		109.91	%		113.87	%
Efficiency ratio, excluding goodwill impairment ⁽²⁾ - YTD		99.83	%		93.84	%		125.94	%		109.91	%		113.87	%

⁽¹⁾ This non-GAAP measure represents noninterest expense divided by total revenue

⁽²⁾ This non-GAAP measure represents noninterest expense, excluding goodwill impairment divided by total revenue

Exhibit 99.2

Investor Presentation July 2024

2 Q2 2024 Investor Presentation Forward-Looking Statements Certain statements herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. We may also make forward-looking statements in other documents we file with the Securities and Exchange Commission (“SEC”), in our annual reports to shareholders, in press releases and other written materials, and in oral statements made by our officers, directors or employees. Such statements may be identified by words such as “believes,” “will,” “would,” “expects,” “project,” “may,” “could,” “developments,” “strategic,” “launching,” “opportunities,” “anticipates,” “estimates,” “intends,” “plans,” “targets” and similar expressions. These statements are based upon the current beliefs and expectations of the Company’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements as a result of numerous factors. Factors that could cause such differences to exist include, but are not limited to, changes in general business and economic conditions (including inflation and concerns about inflation) on a national basis and in the local markets in which the Company operates, including changes that adversely affect borrowers’ ability to service and repay the Company’s loans; changes in interest rates; changes in customer behavior; ongoing turbulence in the capital and debt markets and the impact of such conditions on the Company’s business activities; increases in loan default and charge-off rates; decreases in the value of securities in the Company’s investment portfolio; fluctuations in real estate values; the possibility that future credit losses may be higher than currently expected due to changes in economic assumptions, customer behavior or adverse economic developments; the adequacy of loan loss reserves; decreases in deposit levels necessitating increased borrowing to fund loans and investments; competitive pressures from other financial institutions; cybersecurity incidents, fraud, natural disasters, war, terrorism, civil unrest, and pandemics; changes in regulation; changes in accounting standards and practices; the risk that goodwill and intangibles recorded in the Company’s financial statements will become impaired; demand for loans in the Company’s market area; the Company’s ability to attract and maintain deposits; risks related to the implementation of acquisitions, dispositions, and restructurings; the risk that the Company may not be successful in the implementation of its business strategy; changes in assumptions used in making such forward-looking statements and the risk factors described in the Annual Report on Form 10 K and Quarterly Reports on Form 10 Q as filed with the SEC, which are available at the SEC’s website, www.sec.gov. Should one or more of these risks materialize or should underlying beliefs or assumptions prove incorrect, HarborOne’s actual results could differ materially from those discussed. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. The Company disclaims any obligation to publicly update or revise any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes, except as required by law.

3 Q2 2024 Investor Presentation COMPANY HIGHLIGHTS Exchange/Ticker: NASDAQ/HONE Total Assets: $5.8 Billion Total Loans: $4.8 Billion Total Deposits: $4.5 Billion Market Capitalization: $495 Million (as of 6/30/24)  HarborOne Bancorp, Inc. is a bank holding company and the parent of HarborOne Bank, a state-chartered trust company.  HarborOne Bank is headquartered in Brockton, MA with 30 full-service banking centers throughout Metro Boston, Southeast Massachusetts and Rhode Island and a commercial lending office in Boston and Providence.  HarborOne Bank is a recognized leader in financial and personal enrichment education and innovation through HarborOneU.  HarborOne Mortgage, LLC (“HarborOne Mortgage”) is a wholly owned subsidiary of HarborOne Bank with 15 offices in Maine, Massachusetts, New Hampshire, New Jersey, Florida and Rhode Island and licensed to lend in 5 additional states. A Unique New England Banking Franchise

2023 Investor Report 4 Q2 2024 Investor Presentation  Net income of $7.3 million; diluted income per share $0.18.  Margin increase from 2.25% in Q1 2024 to 2.31% in Q2 2024.  Loan growth of $62.5 million, or 5.2% annualized; Client deposit growth of $66.9 million, or 6.7% annualized.  Strong asset quality, nonperforming loans to total loans 0.20%, a 5 basis-point improvement.  Repurchased 671,453 shares at an average cost of $10.34 per share, totaling $6.9 million in Q2 2024.  $1.8 million gain on sale of former Bank headquarters, partially offset by $1.0 million loss on sale of low-yielding securities. Q2 2024 Results Net Income $7.3 Million Diluted EPS $0.18 Loan Growth $ 62.5 Million Client Deposit Growth $ 66.9 Million Tangible Book Value $11.63

5 Q2 2024 Investor Presentation $4.5 B $4.6 B $5.4 B $5.7 B $5.8 B 2020 2021 2022 2023 Q2 24 14.5% 13.6% 11.5% 10.0% 9.7% 2020 2021 2022 2023 Q2 24 $3.0 B $3.6 B $4.6 B $4.8 B $4.8 B 2020 2021 2022 2023 Q2 24 $10.88 $11.57 $11.13 $11.52 $11.63 2020 2021 2022 2023 Q2 24 Key Performance Metrics Total Assets Total Loans Tier 1 Leverage Tangible Book Value

6 Q2 2024 Investor Presentation Key Performance Metrics (Cont.) EPS Net Income Net Interest Margin on FTE Basis Net Interest Income $0.82 $1.14 $0.97 $0.37 $0.35 2020 2021 2022 2023 YTD '24 $44.8 MM $58.5 MM $45.6 MM $16.1 MM $14.6 MM 2020 2021 2022 2023 YTD '24 3.06% 3.12% 3.35% 2.44% 2.28% 2020 2021 2022 2023 YTD '24 $120.1 MM$131.4 MM $149.0 M $127.3 M $61.9 MM 2020 2021 2022 2023 YTD '24

7 Q2 2024 Investor Presentation Capital Management  The Company remains well capitalized and is able to weather economic volatility.  Continued annual dividend growth with 6.7% increase in Q1 2024.  Sixth buyback program completed; Seventh program ongoing to buyback approximately 2.2 MM shares or $20MM.  Strong Tangible Capital Ratio of 9.03% with minimal securities categorized as Held to Maturity. 10.5% 8.5% 7.0% 4.0% 12.8% 11.7% 11.7% 9.7% 9.0% Total Capital Tier 1 Capital Tier 1 Common Equity Tier 1 Leverage Tangible Common Equity Minimum Capital Required plus Capital Conservation Buffer HONE Capital Ratios * * All information is as of 6/30/24 unless otherwise noted.

8 Q2 2024 Investor Presentation FHLB $733,921 Fed Funds $186,966 Unencumbered securities $7,909 FRB Discount Window $404,907 Correspondent Banks $25,000 Liquidity Management Available Funding Sources: $1.4 Billion  Strong primary and secondary liquidity.  Disciplined loan growth.  Diversified deposit base.  As of June 30, 2024, immediate liquidity to uninsured deposits on a call report basis was 104%, excluding Bank subsidiary deposits and FHLB LOC secured deposits, immediate liquidity to uninsured deposits was 195%.  Brokered deposits provide an additional liquidity source.

9 Q2 2024 Investor Presentation Securities Portfolio Total Securities Portfolio Held to Maturity $19,725 7% Available for Sale $269,078 93%  Sold $17.5 MM of securities, with a book yield of 2.84%, at a loss of $1.0 MM. Proceeds utilized to paydown wholesale funding in early July at a rate of 5.5%.  Securities Portfolio is 5.0% of total assets.  Effective duration of the portfolio is 6.1 years.  Total unrealized loss on the Held-to-Maturity portfolio is $604,000, with minimal impact to capital ratios.

10 Q2 2024 Investor Presentation CRE 49% Residential 1-4 Family 32% C&I 10% Construction 5% HELOC & 2nd Mtg. 4% Consumer 0% Loan Portfolio $4.8 Billion

11 Q2 2024 Investor Presentation Commercial Lending $2.1 B $2.3 B $2.9 B $3.0 B $- $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 2020 2021 2022 2023 Q2 2024 Construction Commercial Commercial Real Estate Total Commercial Loans  Commercial loans grew from $2.1 billion in 2020 to $3.1 billion as of Q2 2024, transforming the balance sheet while maintaining strong credit quality.  #1 in volume U.S. Small Business Administration (SBA) Lender in Rhode Island in 2023.  Continued investment in people and technology to promote C&I and Small Business growth within Boston and Providence metro.  2024 growth focused on high-quality, deep-relationship lending within footprint. $3.1 B

12 Q2 2024 Investor Presentation Flex/Industrial 20% Apartments 16% Hotels 13% Retail 12% Office 10% Health Care 8% All Other Property Types 21% Commercial Real Estate Portfolio LTV: $2.4 Billion portfolio 60% LTV: 62% LTV: 59% LTV: 60% LTV: 70% LTV: 63% LTV: 65% Key Portfolio Metrics Conservative Underwriting Methodology Metric 6/30/24 Loan to Value – Origination 62.2% Reserves / Total NOO CRE Loans 1.0% 30+ CRE Delinquency % 0.0% Criticized Loans / Total CRE Loans 3.0% NPL / Total CRE Loans 0.0% Office - Central Business District / Total CRE Loans 0.3% 2024 5% 2025 10% 2026 11% 2027 and later 74% Maturity Schedule Majority of portfolio matures after 2026 Diversified portfolio New England Focused By Metropolitan Statistical Area MSA 6/30/24 Boston-Cambridge-Quincy, MA $1.2Bn Providence-New Bedford-Fall River, RI-MA $0.4Bn Barnstable - Islands, MA $0.1Bn Manchester-Nashua, NH $0.1Bn Bridgeport-Stamford-Norwalk, CT $0.1Bn Other $0.5Bn Total $2.4Bn

13 Q2 2024 Investor Presentation Commercial Real Estate Portfolio Segmentation Industry Non Anchored Anchored Total Portfolio Commentary Retail $48MM $239MM $287MM Low % of Non-Anchored Retail. Strong occupancy rate at 91%. Industry Metro Suburban Total Portfolio Commentary Office $6MM $218MM $224MM Low % of Central Business District. Resilient occupancy rate at 89%. Industry Business Focused Leisure Focused Total Portfolio Commentary Hotels $120MM $190MM $310MM Focus on destination boutique leisure with well-known sponsors. Industry CoStar Rating 3+ CoStar Rating <3 Total Portfolio Commentary Apartments 86% 14% $385MM Focus on high-quality properties. Strong occupancy rate at 96%.

14 Q2 2024 Investor Presentation Construction and Commercial & Industrial Portfolio Construction: $234 Million Commercial & Industrial: $499 Million  Preference for known sponsors with existing relationships  Diversified portfolio with focus on local relationships  Specialization in Healthcare and Alternative Energy Apartments 39% Flex/Industrial 32% Retail 7% Land. Dev. Residential 6% Office 7% Warehouse 6% All Other 3% Health Care 21% Alt. Energy 17% Manufacturing 13% Retail 6% Wholesale Trade 7% RE Leasing 4% Restaurant 4% Construction 4% Education 4% Prof. Svcs 4% All Other 16%

15 Q2 2024 Investor Presentation Residential 88% HELOC 10% Consumer 1% Construction 1% Residential Mortgage and Consumer Lending Portfolio $1.7 Billion Key Portfolio Metrics: Residential Conservative Underwriting Methodology Metric 6/30/24 Weighted Average FICO 771 Weighted Average LTV (Origination) 66% Second Home and Investment % 13% Cash-out Refinanced %1 4.0% 30+ Delinquency % 0.5% Key Portfolio Metrics: HELOC Conservative Underwriting Methodology Metric 6/30/24 Weighted Average FICO (as of 9/2023) 748 Weighted Average CLTV 60% Utilization 38% Second Home and Investment % 2.7% 30+ Delinquency % 0.4% 1 Cash-out Refinanced % represents population of loans booked since June 30, 2022

16 Q2 2024 Investor Presentation Credit Quality Nonperforming Loans to Total Assets ($MM) Net Charge-Offs to Average Loans $34.1 $36.1 $14.8 $17.5 $9.8 0.00% 0.10% 0.20% 0.30% 0.40% 0.50% 0.60% 0.70% 0.80% 0.90% 2020 2021 2022 2023 Q2 24 Residential Commercial Consumer 0.10% 0.08% 0.09% 0.08% 0.02% 2020 2021 2022 2023 Q2 24

17 Q2 2024 Investor Presentation Allowance for Credit Losses (ACL)  Forecasted unemployment rate assumes a 4.1% rate at end-2024.  Q2 2024 ACL rate of 1.02% for total loans vs. 1.01% in 1Q 2024. $48.18MM +$0.90MM +$0.05MM $49.14MM $40.0 $42.0 $44.0 $46.0 $48.0 $50.0 March 31, 2024 Change in Pooled Loans Change in Individually Analyzed Loans June 30, 2024 $ Millions

18 Q2 2024 Investor Presentation Savings 22% DDA/NOW 22% CD 31% Money Market 25% Relationship Banking Deposit Mix  Long Tenured Relationships:  75% of balances > 5+ year tenure  63% of balances > 10+ year tenure  52% of balances > 15+ year tenure  New Customer Acquisition:  Q2 2024 vs Q2 2023, new consumer checking production increased 16%, Brockton banking centers with a 60% increase as we capitalize on competitor closings.  Q2 2024 vs Q2 2023, new business checking production increased 18%.  Shift to Self-Service / Payments:  73% of Customers utilize debit card regularly vs industry average of 61%.  75% of Customers are active users of Digital Banking tools.  YOY, 4% increase in credit card spend volume and 2% increase in new credit card accounts, provided 14% revenue improvement.

19 Q2 2024 Investor Presentation Deposits Average Quarterly Cost of Deposits 0.36% 0.84% 1.55% 1.91% 2.28% 2.47% 2.49% 2.53% 0.0% 0.5% 1.0% 1.5% 2.0% 2.5% Q3 '22 Q4 '22 Q1 '23 Q2 '23 Q3 '23 Q4 '23 Q1 '24 Q2 '24  June 2024 Cost of Deposits was 2.57%  In Q2, total deposits increased $64.3 million, with an increase in checking, money market accounts and CD’s partially offset by decreases in brokered and savings accounts.  Cost of deposits increased 4 basis points to 2.53% for the three months ended June 30, 2024.  Average deposits in the Boston market increased 43% Q2 2024 vs. Q2 2023, as we continue to focus on new customer growth.  Business accounts represent 16% of total deposits with cost of 209 basis points.  Since the Federal Reserve has started the tightening cycle, Fed funds rate has increased 525 basis points and the Bank’s cost of deposits increased 275 basis points.

20 Q2 2024 Investor Presentation Mortgage Banking ($ in 000’s) Q2 2024 Q1 2024 Q2 2023 Gain on Sale $3,141 $2,013 $3,330 MSR Fair Value & Amortization ($1,024) $86 $407 Servicing Revenue / Other $2,641 $2,405 $2,327 Total Revenue $4,762 $4,514 $6,034 Expenses $5,269 $4,311 $5,493 Net (Loss)Income ($191) $233 $309 Key Drivers/Statistics $ Disbursements $173 MM $102 MM $172 MM Sales Margin 2.46% 2.59% 2.21% FTE’s 130 127 144 Offices 15 16 25 MSR Balance $43.1 MM $43.4 MM $44.7 MM Change in MSR Fair Value ($287) K $588 K $787 K 10 year Treasury 4.40% 4.21% 3.81%  Mortgage banking segment continues to be negatively impacted by market conditions.  Net loss of $191,000, MSR valuation down $287,000 due to model assumption caps.  Flexible operating model includes expense-disciplined management team. FTE’s have been reduced by 14 YOY.  Disbursements up 70% from Q1 2024 and flat to Q2 2023. Q2 2024 production volume was 93% purchase, 7% refinance.

21 Q2 2024 Investor Presentation Bank Stand-Alone ($ in 000’s) Q2 2024 Q1 2024 Q2 2023 Interest Income $67,687 $66,743 $60,665 Interest Expense 36,589 36,259 28,175 Net Interest Income 31,098 30,485 32,490 Provision 615 (168) 3,283 Noninterest Income 7,156 6,303 6,480 Noninterest Expense 27,791 27,407 26,193 Net Income $7, 538 $7,163 $7,301 Key Drivers/Statistics ROAA 0.52% 0.49% 0.52% Efficiency Ratio 72.2% 74.0% 66.7% Margin 2. 28% 2.23% 2.47% FTE’s 408 406 405 Nonaccrual Loans $ 9.8MM $12.2 MM $20.2 MM Net charge-off(recovery) rate 0.02% 0.01% 0.23% ACL/Loans 1.02% 1.01% 1.02%  Net Income of $7.5 MM, up 3% YOY.  Net Interest Income of $31.1 MM, up 2% on a linked quarter basis, down 4% YOY.  Q2 $615K provision, $1.1MM for loan growth offset by a $534K credit provision for unfunded commitments. ACL was impacted by annual model updates.  Noninterest income up $676K YOY and up $853K on a linked quarter basis due to $1.8 MM gain on sale-leaseback of Bank property, partially offset by $1.0 MM loss on sale of securities.  Noninterest Expenses up $384K on a linked quarter basis due to contribution expense of $675K on the bargain purchase price of the sale-leaseback transaction.

22 Q2 2024 Investor Presentation Why HarborOne Clear Strategic Focus  Drive organic growth with a focus on Customer Primacy.  Ensure diverse and low cost funding base with significant available liquidity.  Foster customer-centric mission that earns total long-term banking relationships.  Continued rationalization and modernization of Banking Centers. Unique Franchise and Culture  Attractive New England (metro Boston & Providence) footprint.  Focus on retaining and attracting top talent in the communities we serve.  Deep community engagement - 2023 Boston Business Journal Most Charitable Companies list (7th consecutive year), Providence Business News Giving Guide ranked HarborOne Bank #5 in the state of Rhode Island in 2023 for total charitable donations. Proven Track Record  Seasoned management team and Board.  Excess capital to manage economic headwinds.  Increasing quarterly dividend with continued stock buybacks.  Prudent cost management with commitment to continuous process enhancement.

23 Q2 2024 Investor Presentation HarborOne U - “Enriching lives through education” Original content, tools, templates, case studies, and calculators to help small businesses achieve financial success. A personalized education platform that helps individuals and families gain skills and build confidence in their financial choices. Consumer Small Business

24 Q2 2024 Investor Presentation A Commitment to Doing What’s Right Mission Statement We provide a personalized experience while caring about every customer. We focus on understanding their financial goals for today and dreams for tomorrow. We are unwavering in our commitment to the communities that we serve. Vision Statement To be our customers’ most trusted financial partner. Our Values Integrity. Teamwork. Trust. Respect. Accountability.

Document and Entity Information	Jul. 25, 2024
Document and Entity Information [Abstract]
Document Type	8-K
Document Period End Date	Jul. 25, 2024
Entity Registrant Name	HarborOne Bancorp, Inc.
Entity Incorporation, State or Country Code	MA
Entity File Number	001-38955
Entity Tax Identification Number	81-1607465
Entity Address, Address Line One	770 Oak Street
Entity Address, City or Town	Brockton
Entity Address, State or Province	MA
Entity Address, Postal Zip Code	02301
City Area Code	508
Local Phone Number	895-1000
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	Common Stock, $0.01 par value
Trading Symbol	HONE
Security Exchange Name	NASDAQ
Entity Emerging Growth Company	false
Entity Central Index Key	0001769617
Amendment Flag	false