Shares of Horizon Bancorp (HBNC) tumbled 6.39% in after-hours trading on Wednesday following the release of its third-quarter 2025 financial results, which revealed a substantial net loss and missed analyst expectations by a wide margin.

The company reported a staggering net loss of $221.99 million for the quarter, falling far short of the consensus estimate of $22.2 million in net income. Earnings per share (EPS) came in at -$4.69, significantly below the expected -$0.60. This disappointing performance was primarily attributed to a strategic balance sheet repositioning, which had a more substantial impact on non-interest income and expenses than anticipated.

Despite the overall negative results, there were some bright spots in Horizon Bancorp's report. Net interest income rose to $58.386 million, up 5.5% from the previous quarter, driven by margin expansion. The net interest margin improved to 3.52%, up from 3.23% in the prior quarter. However, these positive aspects were overshadowed by the massive loss and the market's reaction to the missed estimates. As the company focuses on profitable growth and capital redeployment into 2026, investors will be closely watching how Horizon Bancorp navigates the challenges ahead and executes its strategic plans.