v3.26.1
Regulatory Capital
 6 Months Ended
Jun. 30, 2026
Banking and Thrift, Interest [Abstract]  
Regulatory Capital Regulatory Capital
Horizon and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. These capital requirements implement changes arising from the Dodd–Frank Wall Street Reform and Consumer Protection Act and the U.S. Basel Committee on Banking Supervision’s capital framework (known as “Basel III”). Failure to meet the minimum regulatory capital requirements can initiate certain mandatory and possible additional discretionary actions by regulators, which if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective actions, the Company and Bank must meet specific capital guidelines involving quantitative measures of the Bank’s assets, liabilities, and certain off–balance–sheet items as calculated under regulatory accounting practices. The Company’s and Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors.
The Company and Bank are subject to minimum regulatory capital requirements as defined and calculated in accordance with the Basel III–based regulations. As allowed under Basel III rules, the Company made the decision to opt–out of including accumulated other comprehensive income in regulatory capital. The minimum regulatory capital requirements are set forth in the table below.
In addition, to be categorized as well capitalized, the Company and Bank must maintain Total risk–based, Tier I risk–based, common equity Tier I risk–based and Tier I leverage ratios as set forth in the table below. As of June 30, 2026 and December 31, 2025, the Company and Bank met all capital adequacy requirements to be considered well capitalized. There have been no conditions or events since the end of the second quarter of 2026 that management believes have changed the Bank’s classification as well capitalized. There is no threshold for well capitalized status for bank holding companies.
On March 19, 2026, the federal banking regulators issued three proposals to modernize the regulatory capital framework for banks of all sizes. The federal banking agencies stated the proposals would streamline capital requirements and better align regulatory capital with risk while maintaining the safety and soundness of the banking system. The proposals are intended to be the final phase of the Basel capital reforms. Comments on the proposals were due by June 18, 2026. The Company's management continues to evaluate the impact of these proposals on the Company, the Bank, and its business, financial condition, and results of operations.
The following table presents Horizon and the Bank’s actual and required capital ratios as of June 30, 2026 and December 31, 2025:
Actual
Required for Capital
Adequacy Purposes(1)
Required For Capital
Adequacy Purposes
with Capital Buffer(1)
Well Capitalized 
Under Prompt
Corrective Action
Provisions(1)
AmountRatioAmountRatioAmountRatioAmountRatio
June 30, 2026
Total capital (to risk-weighted assets)(1)
Consolidated$799,214 15.02 %$425,716 8.00 %$558,752 10.50 %N/AN/A
Bank720,864 13.60 %423,902 8.00 %556,371 10.50 %$529,87710.00%
Tier 1 capital (1) (to risk-weighted assets)
Consolidated647,685 12.17 %319,287 6.00 %452,323 8.50 %N/AN/A
Bank667,651 12.60 %317,926 6.00 %450,396 8.50 %423,9028.00%
Common equity tier 1 capital (1) (to risk-weighted assets)
Consolidated589,896 11.09 %239,465 4.50 %372,502 7.00 %N/AN/A
Bank667,651 12.60 %238,445 4.50 %370,914 7.00 %344,4206.50%
Tier 1 capital (to average assets)(1)
Consolidated647,685 10.17 %254,648 4.00 %254,648 4.00 %N/AN/A
Bank667,651 10.52 %253,752 4.00 %253,752 4.00 %317,1905.00%
(1) As defined by regulatory agencies
Actual
Required for Capital
Adequacy Purposes(1)
Required For Capital
Adequacy Purposes
with Capital Buffer(1)
Well Capitalized 
Under Prompt
Corrective Action
Provisions(1)
AmountRatioAmountRatioAmountRatioAmountRatio
December 31, 2025
Total capital (to risk-weighted assets)(1)
Consolidated $762,541 14.36 %$424,791 8.00 %$557,538 10.50 %N/AN/A
Bank687,316 12.99 %423,209 8.00 %555,461 10.50 %529,01110.00%
Tier 1 capital (1) (to risk-weighted assets)
Consolidated 611,186 11.51 %318,593 6.00 %451,340 8.50 %N/AN/A
Bank634,176 11.99 %317,407 6.00 %449,659 8.50 %423,2098.00%
Common equity tier 1 capital (1) (to risk-weighted assets)
Consolidated553,498 10.42 %238,945 4.50 %371,692 7.00 %N/AN/A
Bank634,176 11.99 %238,055 4.50 %370,308 7.00 %343,8576.50%
Tier 1 capital (to average assets)(1)
Consolidated611,186 9.55 %256,006 4.00 %256,006 4.00 %N/AN/A
Bank634,176 9.94 %255,282 4.00 %255,282 4.00 %319,1035.00%
(1) As defined by regulatory agencies