Hilltop (HTH) 8-K Hilltop Holdings Inc. Announces Financial Results for First Quarter 2022

Exhibit 99.1

Investor Relations Contact:

Erik Yohe

214-525-4634

eyohe@hilltop-holdings.com

Hilltop Holdings Inc. Announces Financial Results for First Quarter 2022

DALLAS — (BUSINESS WIRE) April 21, 2022 — Hilltop Holdings Inc. (NYSE: HTH) (“Hilltop”) today announced financial results for the first quarter of 2022. Hilltop produced income to common stockholders of $22.3 million, or $0.28 per diluted share, for the first quarter of 2022, compared to $120.3 million, or $1.46 per diluted share, for the first quarter of 2021. Hilltop’s financial results for the first quarter of 2022 included decreases in year-over-year mortgage origination segment net gains from sales of loans and other mortgage production income as well as declines in net revenues within the broker-dealer segment’s structured finance and fixed income services business lines.

Rising interest rates and inflationary pressures materially impacted our financial results during the first quarter of 2022. Additional headwinds during 2022 are expected to include tight housing inventories on mortgage volumes, a return to normalized credit losses and declining deposit balances. The COVID-19 pandemic may also continue to adversely impact financial markets and overall economic conditions. The extent of the impact of these expected headwinds and the pandemic on our operational and financial performance for the remainder of 2022 remains uncertain.

Hilltop also announced that its Board of Directors declared a quarterly cash dividend of $0.15 per common share payable on May 27, 2022, to all common stockholders of record as of the close of business on May 13, 2022. During the three months ended March 31, 2022, there were no stock repurchases.

Jeremy B. Ford, President and CEO of Hilltop, said “Our results in the first quarter were driven primarily by the strength and stability of PlainsCapital Bank, which generated growth in its core loan portfolio while experiencing improvement in its asset quality. PrimeLending and HilltopSecurities, both primarily fee-based businesses, were pressured by the sharp rise in interest rates, lower housing inventories and lower trading volumes. Additionally, total noninterest expenses at Hilltop declined during the period as our team remains focused on expense management. Overall, we are adapting to the new mortgage and interest rate environments and believe we have the team and business model in place to drive improvement.”

First Quarter 2022 Highlights for Hilltop:

● The provision for credit losses was $0.1 million during the first quarter of 2022, compared to a reversal of credit losses of $18.6 million in the fourth quarter of 2021;

o The provision for credit losses during the first quarter of 2022 primarily reflected a slower U.S. economic outlook since the prior quarter, significantly offset by decreases in specific reserves and positive risk rating grade migration.

● For the first quarter of 2022, net gains from sale of loans and other mortgage production income and mortgage loan origination fees within our mortgage origination segment was $143.0 million, compared to $310.2 million in the first quarter of 2021, a 53.9% decrease;

o Mortgage loan origination production volume was $3.8 billion during the first quarter of 2022, compared to $6.2 billion in the first quarter of 2021;

o Net gains from mortgage loans sold to third parties decreased to 321 basis points during the first quarter of 2022, compared to 362 basis points in the fourth quarter of 2021.

● Hilltop’s consolidated annualized return on average assets and return on average equity for the first quarter of 2022 were 0.53% and 3.60%, respectively, compared to 2.90% and 20.58%, respectively, for the first quarter of 2021;

● Hilltop’s book value per common share decreased to $31.02 at March 31, 2022, compared to $31.95 at December 31, 2021;

o Decline in book value per common share during the first quarter of 2022 impacted by the significant increase of approximately $120 million in pre-tax net unrealized losses within our available for sale investment portfolio related to increases in market interest rates since purchase;

o Certain agency-issued securities were transferred from the available-for-sale to held-to-maturity portfolio on March 31, 2022 with pre-tax unrealized losses of approximately $74 million as of the date of transfer.

● Hilltop’s total assets were $18.4 billion and $18.7 billion at March 31, 2022 and December 31, 2021, respectively;

● Loans¹, net of allowance for credit losses, increased to $7.2 billion at March 31, 2022 compared to $7.1 billion at December 31, 2021;

● Non-performing loans were $44.3 million, or 0.47% of total loans, at March 31, 2022, compared to $51.1 million, or 0.52% of total loans, at December 31, 2021;

● Loans held for sale decreased by 12.5% from December 31, 2021 to $1.6 billion at March 31, 2022;

● Total deposits were $12.7 billion and $12.8 billion at March 31, 2022 and December 31, 2021, respectively;

● Hilltop maintained strong capital levels² with a Tier 1 Leverage Ratio³ of 12.46% and a Common Equity Tier 1 Capital Ratio of 21.27% at March 31, 2022;

● Hilltop’s consolidated net interest margin⁴ decreased to 2.36% for the first quarter of 2022, compared to 2.44% in the fourth quarter of 2021;

o Includes previously deferred interest income of $1.6 million during the first quarter of 2022 related to PPP loan-related origination fees, compared to $7.5 million in the first quarter of 2021.

● For the first quarter of 2022, noninterest income was $216.4 million, compared to $417.6million in the first quarter of 2021, a 48.2% decrease;

● For the first quarter 2022, noninterest expense was $286.4 million, compared to $366.7 million in the first quarter of 2021, a 21.9% decrease; and

● Hilltop’s effective tax rate was 19.4% during the first quarter of 2022, compared to 23.4% during the same period in 2021.

o The effective tax rate for the first quarter of 2022 was lower than the applicable statutory rate primarily due to the discrete impact of restricted stock vesting during the quarter.

¹  “Loans” reflect loans held for investment excluding broker-dealer margin loans, net of allowance for credit losses, of $506.2 million and $733.0 million at March 31, 2022 and December 31, 2021, respectively.

²  Capital ratios reflect Hilltop’s decision to elect the transition option as issued by the federal banking regulatory agencies in March 2020 that permits banking institutions to mitigate the estimated cumulative regulatory capital effects from CECL over a five-year transitionary period.

³  Based on the end of period Tier 1 capital divided by total average assets during the quarter, excluding goodwill and intangible assets.

⁴  Net interest margin is defined as net interest income divided by average interest-earning assets.

Consolidated Financial and Other Information

Consolidated Balance Sheets	March 31,		December 31,		September 30,		June 30,		March 31,
(in 000's)	2022		2021		2021		2021		2021
Cash and due from banks	$	2,886,812	$	2,823,138	$	2,463,111	$	1,372,818	$	1,564,489
Federal funds sold		383		385		406		387		396
Assets segregated for regulatory purposes		128,408		221,740		269,506		207,284		273,393
Securities purchased under agreements to resell		256,991		118,262		155,908		202,638		106,342
Securities:
Trading, at fair value		471,763		647,998		609,813		682,483		528,712
Available for sale, at fair value, net		1,462,340		2,130,568		1,994,183		1,817,807		1,715,406
Held to maturity, at amortized cost, net		953,107		267,684		277,419		288,776		300,088
Equity, at fair value		225		250		221		193		189
		2,887,435		3,046,500		2,881,636		2,789,259		2,544,395
Loans held for sale		1,643,994		1,878,190		2,108,878		2,885,458		2,538,986
Loans held for investment, net of unearned income		7,797,903		7,879,904		7,552,926		7,645,227		7,810,657
Allowance for credit losses		(91,185)		(91,352)		(109,512)		(115,269)		(144,499)
Loans held for investment, net		7,706,718		7,788,552		7,443,414		7,529,958		7,666,158
Broker-dealer and clearing organization receivables		1,610,352		1,672,946		1,419,652		1,403,447		1,596,817
Premises and equipment, net		198,906		204,438		210,026		212,402		213,304
Operating lease right-of-use assets		108,180		112,328		115,942		115,698		101,055
Mortgage servicing assets		100,475		86,990		110,931		124,497		142,125
Other assets		546,622		452,880		526,339		535,536		648,895
Goodwill		267,447		267,447		267,447		267,447		267,447
Other intangible assets, net		14,233		15,284		16,455		17,705		19,035
Total assets	$	18,356,956	$	18,689,080	$	17,989,651	$	17,664,534	$	17,682,837
Deposits:
Noninterest-bearing	$	4,694,592	$	4,577,183	$	4,433,148	$	4,231,082	$	4,031,181
Interest-bearing		7,972,110		8,240,894		7,699,014		7,502,703		7,701,598
Total deposits		12,666,702		12,818,077		12,132,162		11,733,785		11,732,779
Broker-dealer and clearing organization payables		1,397,836		1,477,300		1,496,923		1,439,620		1,546,227
Short-term borrowings		835,054		859,444		747,040		915,919		676,652
Securities sold, not yet purchased, at fair value		97,629		96,586		113,064		132,950		97,055
Notes payable		395,479		387,904		395,804		396,653		401,713
Operating lease liabilities		125,919		130,960		134,296		134,019		120,339
Junior subordinated debentures		—		—		—		67,012		67,012
Other liabilities		347,742		369,606		468,020		348,200		595,045
Total liabilities		15,866,361		16,139,877		15,487,309		15,168,158		15,236,822
Common stock		794		790		790		812		823
Additional paid-in capital		1,275,649		1,274,446		1,270,272		1,302,439		1,319,518
Accumulated other comprehensive income (loss)		(80,565)		(10,219)		367		7,093		3,486
Retained earnings		1,267,415		1,257,014		1,204,307		1,159,304		1,094,727
Deferred compensation employee stock trust, net		744		752		751		754		752
Employee stock trust		(104)		(115)		(116)		(121)		(121)
Total Hilltop stockholders' equity		2,463,933		2,522,668		2,476,371		2,470,281		2,419,185
Noncontrolling interests		26,662		26,535		25,971		26,095		26,830
Total stockholders' equity		2,490,595		2,549,203		2,502,342		2,496,376		2,446,015
Total liabilities & stockholders' equity	$	18,356,956	$	18,689,080	$	17,989,651	$	17,664,534	$	17,682,837

	Three Months Ended
Consolidated Income Statements	March 31,		December 31,		September 30,		June 30,		March 31,
(in 000's, except per share data)	2022		2021		2021		2021		2021
Interest income:
Loans, including fees	$	90,408	$	96,104	$	99,769	$	104,162	$	104,277
Securities borrowed		8,817		8,524		8,585		15,586		28,972
Securities:
Taxable		15,581		13,916		12,341		11,125		10,251
Tax-exempt		2,419		2,639		2,687		2,338		2,102
Other		2,312		1,872		1,796		1,607		1,321
Total interest income		119,537		123,055		125,178		134,818		146,923
Interest expense:
Deposits		4,193		4,404		5,303		6,176		7,741
Securities loaned		7,472		6,624		6,519		12,345		25,486
Short-term borrowings		2,045		2,279		2,400		2,374		2,013
Notes payable		4,437		5,871		5,465		5,253		4,797
Junior subordinated debentures		—		—		419		577		562
Other		1,399		(417)		(18)		177		642
Total interest expense		19,546		18,761		20,088		26,902		41,241
Net interest income		99,991		104,294		105,090		107,916		105,682
Provision for (reversal of) credit losses		115		(18,565)		(5,819)		(28,720)		(5,109)
Net interest income after provision for (reversal of) credit losses		99,876		122,859		110,909		136,636		110,791
Noninterest income:
Net gains from sale of loans and other mortgage production income		110,894		156,103		203,152		199,625		267,080
Mortgage loan origination fees		32,062		35,930		38,780		42,146		43,155
Securities commissions and fees		37,146		32,801		34,412		38,300		38,314
Investment and securities advisory fees and commissions		29,705		42,834		49,646		32,268		27,695
Other		6,621		17,178		41,955		27,560		41,341
Total noninterest income		216,428		284,846		367,945		339,899		417,585
Noninterest expense:
Employees' compensation and benefits		200,019		229,717		258,679		248,486		270,353
Occupancy and equipment, net		24,766		25,741		25,428		25,004		24,429
Professional services		10,063		9,904		14,542		16,239		13,585
Other		51,502		56,832		56,525		53,639		58,295
Total noninterest expense		286,350		322,194		355,174		343,368		366,662
Income before income taxes		29,954		85,511		123,680		133,167		161,714
Income tax expense		5,815		20,715		28,257		31,234		37,770
Net income		24,139		64,796		95,423		101,933		123,944
Less: Net income attributable to noncontrolling interest		1,889		2,611		2,517		2,873		3,599
Income attributable to Hilltop	$	22,250	$	62,185	$	92,906	$	99,060	$	120,345
Earnings per common share:
Basic	$	0.28	$	0.79	$	1.16	$	1.21	$	1.46
Diluted	$	0.28	$	0.78	$	1.15	$	1.21	$	1.46
Cash dividends declared per common share	$	0.15	$	0.12	$	0.12	$	0.12	$	0.12
Weighted average shares outstanding:
Basic		79,114		78,933		80,109		81,663		82,169
Diluted		79,356		79,427		80,542		82,199		82,657

	Three Months Ended March 31, 2022
Segment Results					Mortgage				All Other and		Hilltop
(in 000's)	Banking		Broker-Dealer		Origination		Corporate		Eliminations		Consolidated
Net interest income (expense)	$	92,070	$	11,518	$	(1,835)	$	(3,389)	$	1,627	$	99,991
Provision for (reversal of) credit losses		(50)		165		—		—		—		115
Noninterest income		12,771		60,691		143,195		1,766		(1,995)		216,428
Noninterest expense		58,430		80,647		134,859		12,793		(379)		286,350
Income (loss) before taxes	$	46,461	$	(8,603)	$	6,501	$	(14,416)	$	11	$	29,954

	Three Months Ended
	March 31,		December 31,		September 30,		June 30,		March 31,
Selected Financial Data	2022		2021		2021		2021		2021
Hilltop Consolidated:
Return on average stockholders' equity		3.60%		9.93%		14.96%		16.42%		20.58%
Return on average assets		0.53%		1.41%		2.13%		2.29%		2.90%
Net interest margin (1)		2.36%		2.44%		2.53%		2.62%		2.69%
Net interest margin (taxable equivalent) (2):
As reported		2.37%		2.45%		2.54%	��	2.63%		2.69%
Impact of purchase accounting		7 bps		12 bps		9 bps		16 bps		13 bps
Book value per common share ($)		31.02		31.95		31.36		30.44		29.41
Shares outstanding, end of period (000's)		79,439		78,965		78,959		81,153		82,261
Dividend payout ratio (3)		53.57%		15.19%		10.34%		9.92%		8.19%
Banking Segment:
Net interest margin (1)		2.65%		2.81%		2.99%		3.19%		3.30%
Net interest margin (taxable equivalent) (2):
As reported		2.65%		2.82%		3.00%		3.20%		3.31%
Impact of purchase accounting		8 bps		15 bps		11 bps		20 bps		17 bps
Accretion of discount on loans ($000's)		2,510		4,716		3,221		6,001		4,851
Net recoveries (charge-offs) ($000's)		(282)		405		62		(510)		564
Return on average assets		0.98%		1.44%		1.36%		1.91%		1.48%
Fee income ratio		12.2%		10.8%		10.5%		8.9%		9.8%
Efficiency ratio		55.7%		54.2%		48.8%		49.7%		48.4%
Employees' compensation and benefits ($000's)		33,517		34,415		31,500		33,369		30,992
Broker-Dealer Segment:
Net revenue ($000's) (4)		72,209		94,569		126,570		94,145		109,137
Employees' compensation and benefits ($000's) (5)		55,825		65,301		82,429		62,289		66,157
Variable compensation expense ($000's)		26,625		35,939		53,505		34,409		37,412
Compensation as a % of net revenue (5)		77.3%		69.1%		65.1%		66.2%		60.6%
Pre-tax margin (6)		(11.9)%		1.8%		13.8%		7.3%		16.2%
Mortgage Origination Segment:
Mortgage loan originations - volume ($000's):
Home purchases		2,753,031		3,559,137		3,948,420		4,018,922		2,902,710
Refinancings		1,011,452		1,430,369		1,646,208		1,881,121		3,281,395
Total mortgage loan originations - volume		3,764,483		4,989,506		5,594,628		5,900,043		6,184,105
Mortgage loan sales - volume ($000's)		3,868,596		4,988,538		6,195,559		5,524,226		6,350,837
Net gains from mortgage loan sales (basis points):
Loans sold to third parties		321		362		359		376		398
Impact of loans retained by banking segment		(9)		(15)		(13)		(12)		(10)
As reported		312		347		346		364		388
Mortgage servicing rights asset ($000's) (7)		100,475		86,990		110,931		124,497		142,125
Employees' compensation and benefits ($000's)		102,748		121,758		134,814		145,401		166,248
Variable compensation expense ($000's)		56,243		73,208		88,153		97,081		115,486

(1) Net interest margin is defined as net interest income divided by average interest-earning assets.

(2) Net interest margin (taxable equivalent), a non-GAAP measure, is defined as taxable equivalent net interest income divided by average interest-earning assets. Taxable equivalent adjustments are based on the applicable 21% federal income tax rate for all periods presented. The interest income earned on certain earning assets is completely or partially exempt from federal income tax. As such, these tax-exempt instruments typically yield lower returns than taxable investments. To provide more meaningful comparisons of net interest margins for all earning assets, we use net interest income on a taxable-equivalent basis in calculating net interest margin by increasing the interest income earned on tax-exempt assets to make it fully equivalent to interest income earned on taxable investments. The taxable equivalent adjustments to interest income for Hilltop (consolidated) were $0.5 million, $0.5 million, $0.6 million, $0.4 million, and $0.2 million, respectively, for the periods presented and for the banking segment were $0.2 million, $0.2 million, $0.2 million, $0.2 million, and $0.2 million, respectively, for the periods presented.

(3) Dividend payout ratio is defined as cash dividends declared per common share divided by basic earnings per common share.

(4) Net revenue is defined as the sum of total broker-dealer net interest income and total broker-dealer noninterest income.

(5) Noted balances and ratios during all prior periods reflect certain reclassifications to conform to current period presentation.

(6) Pre-tax margin is defined as income before income taxes divided by net revenue.

(7) Reported on a consolidated basis and therefore does not include mortgage servicing rights assets related to loans serviced for the banking segment, which are eliminated in consolidation.

	March 31,		December 31,		September 30,		June 30,		March 31,
Capital Ratios	2022		2021		2021		2021		2021
Tier 1 capital (to average assets):
PlainsCapital		9.74%		10.20%		10.02%		10.22%		10.50%
Hilltop		12.46%		12.58%		12.64%		12.87%		13.01%
Common equity Tier 1 capital (to risk-weighted assets):
PlainsCapital		15.37%		16.00%		15.40%		15.00%		14.74%
Hilltop		21.27%		21.22%		21.28%		20.22%		19.63%
Tier 1 capital (to risk-weighted assets):
PlainsCapital		15.37%		16.00%		15.40%		15.00%		14.74%
Hilltop		21.27%		21.22%		21.28%		20.82%		20.22%
Total capital (to risk-weighted assets):
PlainsCapital		16.18%		16.77%		16.32%		15.95%		15.64%
Hilltop		23.85%		23.75%		24.00%		23.48%		22.96%

	March 31,		December 31,		September 30,		June 30,		March 31,
Non-Performing Assets Portfolio Data	2022		2021		2021		2021		2021
Loans accounted for on a non-accrual basis ($000's) (1):
Commercial real estate		6,153		6,601		5,705		7,211		10,668
Commercial and industrial		18,486		22,478		29,808		33,033		36,144
Construction and land development		1		2		366		474		501
1-4 family residential		18,723		21,123		25,255		27,100		30,937
Consumer		21		23		24		26		26
Broker-dealer		—		—		—		—		—
		43,384		50,227		61,158		67,844		78,276
Troubled debt restructurings included in accruing loans held for investment ($000's)		890		922		1,038		1,139		1,584
Non-performing loans ($000's)		44,274		51,149		62,196		68,983		79,860
Non-performing loans as a % of total loans		0.47%		0.52%		0.64%		0.66%		0.77%
Other real estate owned ($000's)		2,175		2,833		21,605		21,078		19,899
Other repossessed assets ($000's)		—		—		—		—		—
Non-performing assets ($000's)		46,449		53,982		83,801		90,061		99,759
Non-performing assets as a % of total assets		0.25%		0.29%		0.47%		0.51%		0.56%
Loans past due 90 days or more and still accruing ($000's) (2):		87,489		60,775		175,734		245,828		265,230

(1) Loans accounted for on a non-accrual basis do not include COVID-19 related loan modifications through January 1, 2022. The Bank’s COVID-19 payment deferral programs since the second quarter of 2020 allowed for a deferral of principal and/or interest payments with such deferred principal payments due and payable on the maturity date of the existing loan. The Bank’s actions through 2021 included approval of COVID-19 related loan modifications, resulting in active loan modifications of approximately $4 million, $17 million, $76 million, and $130 million as of December 31, 2021, September 30, 2021, June 30, 2021 and March 31, 2021, respectively.

(2) Loans past due 90 days or more and still accruing were primarily comprised of loans held for sale and guaranteed by U.S. government agencies, including loans that are subject to repurchase, or have been repurchased, by PrimeLending.

	Three Months Ended March 31,
	2022						2021
	Average		Interest		Annualized		Average		Interest		Annualized
	Outstanding		Earned		Yield or		Outstanding		Earned		Yield or
Net Interest Margin (Taxable Equivalent) Details (1)	Balance		or Paid		Rate		Balance		or Paid		Rate
Assets
Interest-earning assets
Loans held for sale	$	1,467,998	$	11,966	3.26	%	$	2,573,085	$	16,233	2.52	%
Loans held for investment, gross (2)		7,839,047		78,442	4.06	%		7,645,883		88,044	4.62	%
Investment securities - taxable		2,768,849		15,581	2.25	%		2,267,709		10,233	1.80	%
Investment securities - non-taxable (3)		324,084		2,888	3.56	%		284,001		2,280	3.21	%
Federal funds sold and securities purchased under agreements to resell		157,313		136	0.35	%		93,525		—	0.00	%
Interest-bearing deposits in other financial institutions		3,116,369		1,427	0.19	%		1,565,879		582	0.15	%
Securities borrowed		1,455,166		8,817	2.42	%		1,452,704		28,972	7.98	%
Other		54,602		750	5.57	%		49,916		762	6.18	%
Interest-earning assets, gross (3)		17,183,428		120,007	2.83	%		15,932,702		147,106	3.70	%
Allowance for credit losses		(92,239)						(149,397)
Interest-earning assets, net		17,091,189						15,783,305
Noninterest-earning assets		1,401,584						1,559,039
Total assets	$	18,492,773					$	17,342,344
Liabilities and Stockholders' Equity
Interest-bearing liabilities
Interest-bearing deposits	$	8,201,824	$	4,193	0.21	%	$	7,626,575	$	7,741	0.41	%
Securities loaned		1,371,816		7,472	2.21	%		1,355,945		25,486	7.62	%
Notes payable and other borrowings		1,249,222		7,881	2.56	%		1,130,068		8,014	2.85	%
Total interest-bearing liabilities		10,822,862		19,546	0.73	%		10,112,588		41,241	1.65	%
Noninterest-bearing liabilities
Noninterest-bearing deposits		4,507,661						3,729,994
Other liabilities		631,790						1,101,972
Total liabilities		15,962,313						14,944,554
Stockholders’ equity		2,504,383						2,371,281
Noncontrolling interest		26,077						26,509
Total liabilities and stockholders' equity	$	18,492,773					$	17,342,344
Net interest income (3)			$	100,461					$	105,865
Net interest spread (3)					2.10	%					2.05	%
Net interest margin (3)					2.37	%					2.69	%

(1) Information presented on a consolidated basis.

(2) Average balance includes non-accrual loans.

(3) Presented on a taxable-equivalent basis with annualized taxable equivalent adjustments based on the applicable 21% federal income tax rates for the periods presented. The adjustment to interest income was $0.5 million and $0.2 million for the three months ended March 31, 2022 and 2021, respectively.

Conference Call Information

Hilltop will host a live webcast and conference call at 8:00 AM Central (9:00 AM Eastern) on Friday, April 22, 2022. Hilltop President and CEO Jeremy B. Ford and Hilltop CFO William B. Furr will review first quarter 2022 financial results. Interested parties can access the conference call by dialing 1-844-200-6205 (United States), 1-833-950-0062 (Canada) or 1-929-526-1599 (all other locations) and then using the access code 352794. The conference call also will be webcast simultaneously on Hilltop’s Investor Relations website (http://ir.hilltop-holdings.com).

About Hilltop

Hilltop Holdings is a Dallas-based financial holding company. Its primary line of business is to provide business and consumer banking services from offices located throughout Texas through PlainsCapital Bank. PlainsCapital Bank’s wholly owned subsidiary, PrimeLending, provides residential mortgage lending throughout the United States. Hilltop Holdings’ broker-dealer subsidiaries, Hilltop Securities Inc. and Momentum Independent Network Inc., provide a full complement of securities brokerage, institutional and investment banking services in addition to clearing services and retail financial advisory. At March 31, 2022, Hilltop employed approximately 4,800 people and operated approximately 400 locations in 47 states. Hilltop Holdings’ common stock is listed on the New York Stock Exchange under the symbol “HTH.” Find more information at Hilltop-Holdings.com, PlainsCapital.com, PrimeLending.com and Hilltopsecurities.com.

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements anticipated in such statements. Forward-looking statements speak only as of the date they are made and, except as required by law, we do not assume any duty to update forward-looking statements. Such forward-looking statements include, but are not limited to, statements concerning such things as our plans, objectives, strategies, expectations, intentions and other statements that are not statements of historical fact, and may be identified by words such as “anticipates,” “believes,” “building,” “could,” “drive,” “estimates,” “expects,” “extent,” “focus,” “forecasts,” “goal,” “guidance,” “intends,” “may,” “might,” “outlook,” “plan,” “probable,” “progressing,” “projects,” “seeks,” “should,” “target,” “view,” “well-tuned,” “will” or “would” or the negative of these words and phrases or similar words or phrases. The following factors, among others, could cause actual results to differ materially from those set forth in the forward-looking statements: (i) the credit risks of lending activities, including our ability to estimate credit losses and the allowance for credit losses, as well as the effects of changes in the level of, and trends in, loan delinquencies and write-offs; (ii) effectiveness of our data security controls in the face of cyber attacks; (iii) changes in general economic, market and business conditions in areas or markets where we compete, including changes in the price of crude oil; (iv) changes in the interest rate environment; (v) the COVID-19 pandemic and the response of governmental authorities to the pandemic and disruptions in global or national supply chains, which have had, and may continue to have, an adverse impact on the global economy and our business operations and performance; (vi) transitions away from the London Interbank Offered Rate; and (vii) risks associated with concentration in real estate related loans. For further discussion of such factors, see the risk factors described in our most recent Annual Report on Form 10-K, and subsequent Quarterly Reports on Form 10-Q and other reports that are filed with the Securities and Exchange Commission. All forward-looking statements are qualified in their entirety by this cautionary statement.

Source: Hilltop Holdings Inc.