EX-99.1 2 hope-09302026ex991financia.htm EX-99.1 Document

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News Release



HOPE BANCORP REPORTS FINANCIAL RESULTS FOR THE THIRD QUARTER AND NINE MONTHS ENDED SEPTEMBER 30, 2026

Third quarter 2026 net income grew 16% year-over-year and 8% quarter-over-quarter to $35.6 million

LOS ANGELES – October 28, 2026 – Hope Bancorp, Inc. (the “Company”) (NASDAQ: HOPE), the holding company of Bank of Hope (the “Bank”), today reported unaudited financial results for its third quarter and nine months ended September 30, 2026.
For the third quarter of 2026, the Company reported net income of $35.6 million, or $0.28 per diluted common share, up 8% from net income of $33.0 million, or $0.26 per diluted common share, for the second quarter of 2026, and up 16% from net income of $30.8 million, or $0.24 per diluted common share, for the third quarter of 2025. Excluding notable items, which consisted of merger-related costs, third quarter 2026 net income(1) was $37.5 million, or $0.29 per diluted common share(1).

“Revenue growth and positive operating leverage drove strong quarter-over-quarter and year-over-year growth in pre-provision net revenue(1) and net income in the third quarter,” said Kevin S. Kim, Chairman, President and Chief Executive Officer of the Company. “Through our continued focus on improving profitability, many key drivers contributed to this quarter’s results, including loan growth, lower deposit costs, net interest margin expansion, growth in customer fee income and disciplined expense management.”

Kim continued, “On October 1, 2026, we completed the acquisition of the Commercial Banking Unit of SMBC MANUBANK (“MANUBANK”), an important milestone in the continued evolution of Bank of Hope. The acquisition advances our core strategic priority to create long-term stockholder value by expanding our presence in Southern California, enhancing our deposit base, adding specialty deposit banking capabilities and broadening our ability to serve multinational customers with U.S. operations. Our Collaboration and Partnership Agreement with Sumitomo Mitsui Banking Corporation (“SMBC”), which became effective upon closing, opened a meaningful channel to connect customers across markets. We warmly welcome the MANUBANK team and customers as we begin our next chapter together.”

“We remain focused on sustainable and profitable earnings growth across a range of operating environments, the results of which are demonstrated in our year-to-date earnings momentum. The strategic benefits of the MANUBANK acquisition will help bolster continued progress in 2027 and beyond,” concluded Kim. “We sincerely thank all our colleagues for their dedication and contributions to the ongoing integration process and the success of Bank of Hope.”


(1) Net income excluding notable items, earnings per diluted common share excluding notable items and pre-provision net revenue are non-GAAP financial measures. Quantitative reconciliations of the most directly comparable GAAP to non-GAAP financial measures are provided in the accompanying financial information on Table Pages 10 to 12. Notable items in the second quarter of 2026 included merger-related costs; notable items for the prior periods are detailed on Table Pages 10 to 12.
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2-2-2    NASDAQ: HOPE
Operating Results for the Third Quarter of 2026
Net interest income and net interest margin. Net interest income totaled $135.4 million for the third quarter of 2026, up $6.4 million, or 5%, compared with $129.0 million for the second quarter of 2026, and up $8.8 million, or 7%, from the third quarter of 2025. Net interest margin for the third quarter of 2026 was 3.02%, up six basis points from 2.96% for the second quarter of 2026, and up 13 basis points from 2.89% for the year-ago quarter.

The sequential quarter increase in net interest income was primarily driven by growth in average earning asset balances, higher loan yields and lower deposit costs. The quarter-over-quarter net interest margin expansion was primarily attributable to higher earning asset yields and a favorable funding mix shift. The yield on average loans increased five basis points sequentially to 5.78% for the third quarter of 2026, while the cost of total deposits declined by two basis points to 2.58%.

Noninterest income. For the third quarter of 2026, noninterest income totaled $22.1 million, up $3.3 million, or 17%, compared with $18.9 million for the second quarter of 2026, and up $6.7 million, or 44%, compared with noninterest income of $15.4 million for the third quarter of 2025. The sequential quarter increase in noninterest income reflects growth in customer-related income and fees and higher net gains on sales of Small Business Administration (“SBA”) loans, as well as $3.1 million in net gain on sales of other loans partially offset by a $1.2 million decrease in net gains on sales of securities available for sale. The Company sold $72.2 million of SBA loans in the third quarter of 2026 for a net gain of $4.7 million, compared with $67.9 million of SBA loans sold for a net gain of $4.4 million in the second quarter of 2026.

Noninterest expense. Noninterest expense for the third quarter of 2026 was $102.8 million, up $4.3 million, or 4%, from $98.5 million for the second quarter of 2026, and up $5.9 million, or 6%, from $96.9 million for the third quarter of 2025.
Noninterest expense excluding notable items(2) for the third quarter of 2026 was $100.1 million.

In the third quarter of 2026, the reported efficiency ratio improved to 65.3%, down from 66.6% in the prior quarter and 68.2% in the year-ago quarter, as revenue growth outpaced noninterest expense growth. This positive operating leverage also drove growth in pre-provision net revenue(2), which totaled $54.7 million, up 11% quarter-over-quarter and 21% year-over-year. Excluding notable items(2), the efficiency ratio for the third quarter of 2026 was 63.6%, and pre-provision net revenue(2) was $57.3 million.

Income tax provision and tax rate. For the third quarter of 2026, the Company recorded an income tax provision of $10.5 million, compared with an income tax provision of $9.6 million for the second quarter of 2026 and $5.6 million for the third quarter of 2025. The year-to-date effective tax rate for the first nine months of 2026 was 22.5%.
Balance Sheet Summary
Total assets. At September 30, 2026, total assets were $19.19 billion, compared with $18.99 billion at June 30, 2026, and $18.51 billion at September 30, 2025.

Loans. At September 30, 2026, gross loans totaled $15.12 billion, up 1% from $15.03 billion at June 30, 2026, and up 3% from $14.62 billion at September 30, 2025. Year-to-date, gross loans were up 2%. Third quarter 2026 average loans were $14.97 billion, up 1%, equivalent to 5% annualized, from $14.79 billion for the second quarter of 2026, and up 3% from $14.52 billion for the third quarter of 2025. Quarter-over-quarter, loan growth was primarily driven by increases in commercial and industrial and residential mortgage loans. Year-over-year, all of our major loan portfolios of commercial and industrial, residential mortgage and commercial real estate grew.

(2) Noninterest expense excluding notable items, efficiency ratio excluding notable items, pre-provision net revenue and pre-provision net revenue excluding notable items are non-GAAP financial measures. Quantitative reconciliations of the most directly comparable GAAP to non-GAAP financial measures are provided in the accompanying financial information on Table Pages 10 to 12.
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3-3-3    NASDAQ: HOPE
The following table sets forth the loan portfolio composition at September 30, 2026, June 30, 2026, and September 30, 2025:

(dollars in thousands) (unaudited)9/30/20266/30/20269/30/2025
BalancePercentageBalancePercentageBalancePercentage
Commercial real estate (“CRE”) loans$8,501,707 56.3 %$8,583,967 57.1 %$8,434,919 57.7 %
Commercial and industrial (“C&I”) loans4,009,821 26.5 %3,896,116 25.9 %3,752,111 25.6 %
Residential mortgage and other loans2,606,317 17.2 %2,554,104 17.0 %2,436,607 16.7 %
Gross loans (including held for sale)
$15,117,845 100.0 %$15,034,187 100.0 %$14,623,637 100.0 %

Deposits. At September 30, 2026, deposits totaled $16.12 billion, up 2% from $15.88 billion at June 30, 2026, and up 2% compared with $15.83 billion at September 30, 2025. On a sequential quarter basis, end-of-period noninterest bearing demand deposits declined 1%; money market, interest bearing demand and savings deposits increased 10% in aggregate, and time deposits decreased 5%. On an average basis, noninterest bearing demand deposits increased 4% quarter-over-quarter. The planned reduction in time deposits reflected our ongoing efforts to improve the funding mix and reduce the overall cost of funds. The share of time deposits in our deposit mix decreased to 36.7% at September 30, 2026, down from 39.9% a year ago.

The following table sets forth the deposit composition at September 30, 2026, June 30, 2026, and September 30, 2025:

(dollars in thousands) (unaudited)9/30/20266/30/20269/30/2025
BalancePercentageBalancePercentageBalancePercentage
Noninterest bearing demand deposits$3,501,963 21.7 %$3,548,452 22.4 %$3,507,659 22.2 %
Money market, interest bearing demand, and savings deposits6,708,100 41.6 %6,079,728 38.3 %5,995,488 37.9 %
Time deposits5,906,106 36.7 %6,248,363 39.3 %6,328,115 39.9 %
Total deposits$16,116,169 100.0 %$15,876,543 100.0 %$15,831,262 100.0 %
  Gross loan-to-deposit ratio93.8 %94.7 %92.4 %
Credit Quality and Allowance for Credit Losses
Criticized loans. Criticized loan balances remained essentially stable quarter-over-quarter and improved year-over-year. Criticized loans were $334.8 million at September 30, 2026, compared with $334.3 million at June 30, 2026, and down $38.1 million, or 10%, year-over-year from $372.9 million at September 30, 2025. The criticized loan ratio improved to 2.22% of total loans receivable at September 30, 2026, compared with 2.24% at June 30, 2026, and down 34 basis points from 2.56% at September 30, 2025.

Nonperforming assets. Nonperforming assets declined $4.4 million from the prior quarter to $108.5 million, or 0.57% of total assets, at September 30, 2026, compared with 0.59% of total assets at June 30, 2026, and 0.61% of total assets at September 30, 2025. The quarter-over-quarter improvement primarily reflected a reduction in nonaccrual loans.

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4-4-4    NASDAQ: HOPE
The following table sets forth the components of nonperforming assets at September 30, 2026, June 30, 2026, and September 30, 2025:

(dollars in thousands) (unaudited)9/30/20266/30/20269/30/2025
Loans on nonaccrual status (1)
$107,797 $111,973 $110,010 
Accruing delinquent loans past due 90 days or more
— 515 2,149 
Total nonperforming loans107,797 112,488 112,159 
Other real estate owned661 365 — 
Total nonperforming assets$108,458 $112,853 $112,159 
Nonperforming assets/total assets0.57 %0.59 %0.61 %
_____________________________________
(1)     Excludes delinquent SBA loans that are guaranteed and currently in liquidation totaling $17.3 million, $17.1 million and $15.3 million at September 30, 2026, June 30, 2026, and September 30, 2025, respectively.

Net charge-offs. The Company recorded net charge-offs of $7.0 million for the third quarter of 2026, equivalent to 0.19%, annualized, of average loans. This compares with net charge-offs of $9.0 million, or 0.24%, annualized, of average loans for the second quarter of 2026, and $5.1 million, or 0.14%, annualized, of average loans for the third quarter of 2025.

Provision for credit losses. For the third quarter of 2026, the Company recorded a provision for credit losses of $8.6 million, compared with $6.8 million for the second quarter of 2026 and $8.7 million for the third quarter of 2025. The sequential quarter increase in the provision for credit losses reflected higher loan balances, partially offset by lower net charge-offs in the third quarter of 2026 compared with the prior quarter.

Allowance for credit losses. The allowance for credit losses totaled $154.3 million at September 30, 2026, compared with $153.2 million at June 30, 2026, and $152.5 million at September 30, 2025. The allowance coverage ratio was 1.03% of loans receivable at September 30, 2026, unchanged from June 30, 2026, and compared with 1.05% at September 30, 2025.

The following table sets forth the allowance for credit losses and the coverage ratios at September 30, 2026, June 30, 2026, and September 30, 2025:

(dollars in thousands) (unaudited)9/30/20266/30/20269/30/2025
Allowance for credit losses$154,325 $153,218 $152,509 
Allowance for credit losses/loans receivable1.03 %1.03 %1.05 %


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5-5-5    NASDAQ: HOPE
Capital

At September 30, 2026, the capital ratios of the Company and the Bank continued to exceed all regulatory capital requirements generally required to meet the definition of a “well-capitalized” financial institution.

The following table sets forth the capital ratios for the Company at September 30, 2026, June 30, 2026, and September 30, 2025:
(unaudited)
9/30/20266/30/20269/30/2025Minimum Guideline for “Well-Capitalized”
Common Equity Tier 1 Capital Ratio12.25%12.27%12.14%6.50%
Tier 1 Capital Ratio12.93%12.95%12.83%8.00%
Total Capital Ratio13.92%13.95%13.85%10.00%
Leverage Ratio11.01%11.07%10.86%5.00%
Tangible Common Equity (“TCE”) Ratio(3)
9.28%9.58%9.64%N/A

During the third quarter of 2026, the Company continued to return capital to stockholders through its quarterly common stock dividend of 14 cents per share.

At September 30, 2026, total stockholders’ equity was $2.26 billion, compared with $2.30 billion at June 30, 2026, reflecting growth in retained earnings, return of capital to stockholders, and the net change in accumulated other comprehensive income (“AOCI”), which decreased due to the negative impact of rising interest rates on the fair value of available-for-sale securities. Book value per share at September 30, 2026, was $17.67, compared with $17.97 at June 30, 2026; and TCE per share(3) was $13.55 at September 30, 2026, compared with $13.85 at June 30, 2026.

Subsequent Events

Acquisition of SMBC MANUBANK Commercial Banking Unit. On October 1, 2026, the Company completed the acquisition of the Commercial Banking Unit of SMBC MANUBANK. As part of the closing of the MANUBANK transaction, the Company received an estimated(4) net cash settlement of $307.4 million from the seller, SMBC.

As of the acquisition date of October 1, 2026, loans acquired from MANUBANK totaled approximately $2.20 billion before purchase and other accounting adjustments, comprising $1.35 billion of real estate loans and $0.85 billion of commercial loans, which included $0.20 billion in SBA loans purchased by MANUBANK in the secondary market. Excluding these SBA loans, MANUBANK’s loan portfolio had a weighted average coupon rate of approximately 5.69% at October 1, 2026, before purchase and other accounting adjustments. MANUBANK’s SBA loan portfolio consisted of purchased guaranteed portions of 7(a) loans and these loans would have had a relatively low effective yield for the Company after acquisition; therefore, it was subsequently sold on October 21, 2026, for total net proceeds of $191.3 million with no gain or loss recognized on the sale.

Deposits acquired from MANUBANK totaled approximately $2.60 billion before purchase and other accounting adjustments, comprising $0.66 billion of noninterest bearing demand deposits, $1.77 billion of interest bearing non-maturity deposits, and $0.18 billion of time deposits. The acquired deposits had a weighted average cost of 2.22% at October 1, 2026, before purchase and other accounting adjustments.


(3) TCE ratio and TCE per share are non-GAAP financial measures. Quantitative reconciliations of the most directly comparable GAAP to non-GAAP financial measures are provided in the accompanying financial information on Table Pages 10 to 12.
(4) The net cash settlement is based on an estimated final closing statement and is subject to adjustment.
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Investor Conference Call
The Company previously announced that it will host an investor conference call on Wednesday, October 28, 2026, at 9:30 a.m. Pacific Time / 12:30 p.m. Eastern Time to review its unaudited financial results for its third quarter and nine months ended September 30, 2026. Investors and analysts are invited to access the conference call by dialing 866-235-9917 (domestic) or 412-902-4103 (international) and asking for the “Hope Bancorp Call.” A presentation to accompany the earnings call will be available at the Investor Relations section of Hope Bancorp’s website at www.ir-hopebancorp.com. Other interested parties are invited to listen to a live webcast of the call available at the Investor Relations section of Hope Bancorp’s website. After the live webcast, a replay will remain available at the Investor Relations section of Hope Bancorp’s website for at least one year. A telephonic replay of the call will be available at 855-669-9658 (domestic) or 412-317-0088 (international) for one week through November 4, 2026, with the replay access code 6995890.

Non-GAAP Financial Metrics
This news release and accompanying financial tables contain certain non-GAAP financial measure disclosures, including net income excluding notable items, earnings per diluted common share excluding notable items, revenue excluding notable items, noninterest expense excluding notable items, efficiency ratio excluding notable items, effective tax rate excluding notable items, PPNR, PPNR excluding notable items, ROA excluding notable items, ROE excluding notable items, ROTCE, ROTCE excluding notable items, TCE per share and TCE ratio. Management believes these non-GAAP financial measures provide meaningful supplemental information regarding the Company’s operational performance and the Company’s capital levels and has included these figures in response to market participant interest in these financial metrics. These non-GAAP financial measures supplement, and do not replace, results prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) and should be considered together with, and not as an alternative to, the most directly comparable GAAP financial measures. These non-GAAP financial measures may not be comparable to similarly titled measures used by other companies. Quantitative reconciliations of the most directly comparable GAAP to financial measures to the non-GAAP financial measures are provided in the accompanying financial information on Table Pages 10 through 12.

About Hope Bancorp, Inc.
Hope Bancorp, Inc. (NASDAQ: HOPE) is the holding company for Bank of Hope, a leading regional bank serving multicultural customers across the continental United States and Hawaii, with $19.19 billion in total assets as of September 30, 2026. Headquartered in Los Angeles, California, Bank of Hope offers a comprehensive range of commercial, corporate, and consumer banking products and services, including commercial and commercial real estate lending, SBA lending, residential mortgage and consumer lending, treasury management, foreign exchange solutions, interest rate derivatives, and international trade finance. Bank of Hope’s branch network comprises 45 full-service branches operating under the Bank of Hope banner across California, New York, New Jersey, Washington, Texas, Illinois, Alabama and Georgia, and 28 branches in Hawaii under the Territorial Savings banner; following the acquisition of MANUBANK branches on October 1, 2026, seven additional locations in California were added. Bank of Hope also operates SBA loan production offices, commercial loan production offices, and residential mortgage loan production offices throughout the United States, and a representative office in Seoul, South Korea. Bank of Hope is a California-chartered bank, and its deposits are insured by the FDIC to the extent provided by law. Bank of Hope is an Equal Opportunity Lender. For additional information, please go to www.bankofhope.com for Bank of Hope and www.tsbhawaii.bank for Territorial Savings, a division of Bank of Hope. By including the foregoing website address links, the Company does not intend to incorporate by reference any material contained or accessible therein.
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7-7-7    NASDAQ: HOPE

Forward-Looking Statements
Some statements in this news release may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include, but are not limited to, statements preceded by, followed by or that include the words “will”, “believes”, “expects”, “anticipates”, “intends”, “plans”, “estimates”, “projects”, and similar expressions and statements regarding Hope Bancorp’s strategic initiatives, the acquisition of the Commercial Banking Unit of SMBC MANUBANK (“MANUBANK”), and Hope Bancorp’s future financial and operational results and capital allocation strategy. With respect to any such forward-looking statements, Hope Bancorp claims the protection provided for in the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties. Hope Bancorp’s actual results, performance or achievements may differ significantly from the results, performance or achievements expressed or implied in any forward-looking statements. With respect to the acquisition of MANUBANK, factors that may cause actual outcomes to differ from what is expressed or forecasted in these forward-looking statements include, among other things: difficulties and delays in integrating Hope Bancorp and MANUBANK and achieving anticipated synergies, cost savings and other benefits from the transaction; higher than anticipated transaction costs; and deposit attrition, operating costs, customer loss and business disruption following the acquisition, including difficulties in maintaining relationships with employees and customers, which may be greater than expected. For additional information concerning these and other risk factors, see Hope Bancorp’s most recent Annual Report on Form 10‑K and other documents Hope Bancorp files with the SEC from time to time. Hope Bancorp does not undertake, and specifically disclaims, any obligation to update any forward‑looking statements to reflect the occurrence of events or circumstances after the date of such statements except as required by law.




Contact:
Julianna Balicka
Executive Vice President & Chief Financial Officer
InvestorRelations@bankofhope.com
Maxime Olivan
Senior Vice President & Investor Relations Manager
InvestorRelations@bankofhope.com



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Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands, except share data)
Assets:9/30/20266/30/2026% change9/30/2025% change
Cash and due from banks$491,894 $640,443 (23)%$454,909 8 %
Investment securities2,395,438 2,179,253 10 %2,266,034 6 %
Federal Home Loan Bank (“FHLB”) stock and other investments66,115 70,436 (6)%106,411 (38)%
Gross loans, including loans held for sale15,117,845 15,034,187 1 %14,623,637 3 %
Allowance for credit losses(154,325)(153,218)1 %(152,509)1 %
Accrued interest receivable55,392 53,592 3 %53,159 4 %
Premises and equipment, net74,115 69,968 6 %69,152 7 %
Goodwill and intangible assets525,997 526,890 0 %524,503 0 %
Other assets617,017 570,365 8 %565,503 9 %
Total assets$19,189,488 $18,991,916 1 %$18,510,799 4 %
Liabilities:
Deposits$16,116,169 $15,876,543 2 %$15,831,262 2 %
FHLB and Federal Reserve Bank (“FRB”) borrowings374,000 472,000 (21)%24,878 1,403 %
Subordinated debentures and convertible notes, net112,040 111,675 0 %110,610 1 %
Accrued interest payable62,823 63,865 (2)%74,376 (16)%
Other liabilities266,998 171,981 55 %210,713 27 %
Total liabilities$16,932,030 $16,696,064 1 %$16,251,839 4 %
Stockholders’ Equity:
Common stock, $0.001 par value$146 $146 0 %$146 0 %
Additional paid-in capital1,528,289 1,525,555 0 %1,521,669 0 %
Retained earnings1,216,813 1,199,120 1 %1,155,874 5 %
Treasury stock, at cost(273,384)(273,384)0 %(264,667)(3)%
Accumulated other comprehensive loss, net(214,406)(155,585)(38)%(154,062)(39)%
Total stockholders’ equity2,257,458 2,295,852 (2)%2,258,960 0 %
Total liabilities and stockholders’ equity$19,189,488 $18,991,916 1 %$18,510,799 4 %
Common stock shares – authorized300,000,000 300,000,000 300,000,000 
Common stock shares – outstanding127,758,427 127,741,836 128,185,271 
Treasury stock shares18,155,561 18,155,561 17,382,835 
Table Page 1
Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands, except share and per share data)
Three Months EndedNine Months Ended
9/30/20266/30/2026% change9/30/2025% change9/30/20269/30/2025% change
Interest and fees on loans$218,216 $211,378 3 %$216,774 1 %$635,513 $623,098 2 %
Interest on investment securities21,631 20,359 6 %21,467 1 %61,208 55,128 11 %
Interest on cash and deposits at other banks4,051 3,808 6 %5,273 (23)%11,637 19,261 (40)%
Interest on other investments and FHLB dividends1,260 632 99 %1,186 6 %3,121 3,471 (10)%
Total interest income245,158 236,177 4 %244,700 0 %711,479 700,958 2 %
Interest on deposits 103,493 101,785 2 %115,425 (10)%306,733 347,862 (12)%
Interest on borrowings6,300 5,423 16 %2,718 132 %16,355 8,267 98 %
Total interest expense109,793 107,208 2 %118,143 (7)%323,088 356,129 (9)%
Net interest income135,365 128,969 5 %126,557 7 %388,391 344,829 13 %
Provision for credit losses8,560 6,770 26 %8,710 (2)%23,980 24,602 (3)%
Net interest income after provision126,805 122,199 4 %117,847 8 %364,411 320,227 14 %
Service fees on deposit accounts3,439 3,395 1 %3,235 6 %10,169 9,262 10 %
Net gains on sales of SBA loans4,674 4,447 5 %2,774 68 %12,387 9,903 25 %
Other customer driven income and fees8,332 7,721 8 %5,936 40 %23,185 17,958 29 %
Net gains (losses) on sales of securities available for sale— 1,172 (100)%— 0 %1,776 (38,856)NM
Other noninterest income5,667 2,115 168 %3,440 65 %10,412 9,850 6 %
Total noninterest income22,112 18,850 17 %15,385 44 %57,929 8,117 614 %
Salaries and employee benefits58,697 56,901 3 %54,910 7 %171,821 156,204 10 %
Occupancy, furniture and equipment11,737 11,353 3 %11,596 1 %33,656 31,525 7 %
Software-related, data and item processing10,773 10,350 4 %9,683 11 %30,976 25,843 20 %
Amortization of investments in affordable housing partnerships2,740 2,554 7 %3,216 (15)%7,768 7,607 2 %
FDIC assessment2,622 2,783 (6)%2,942 (11)%8,219 7,932 4 %
FDIC special assessment expense (reversal)— — 0 %— 0 %(58)— NM
Earned interest credit3,109 2,501 24 %3,529 (12)%7,993 9,926 (19)%
Merger related costs2,650 2,058 29 %958 177 %4,942 20,758 (76)%
Other noninterest expense10,466 9,964 5 %10,027 4 %30,396 30,400 0 %
Total noninterest expense102,794 98,464 4 %96,861 6 %295,713 290,195 2 %
Income before income taxes46,123 42,585 8 %36,371 27 %126,627 38,149 232 %
Income tax provision10,546 9,554 10 %5,595 88 %28,479 11,027 158 %
Net income$35,577 $33,031 8 %$30,776 16 %$98,148 $27,122 262 %
Earnings per common share (“EPS”) – diluted$0.28 $0.26 8 %$0.24 17 %$0.76 $0.22 245 %
Weighted average shares outstanding – diluted128,624,630 128,308,861 128,593,874 128,509,496 126,110,136 
Table Page 2
Hope Bancorp, Inc.
Selected Financial Data
Unaudited
Three Months Ended Nine Months Ended
Profitability measures (annualized, except as noted):9/30/20266/30/20269/30/20259/30/20269/30/2025
Earnings per common share - diluted (not annualized)$0.28 $0.26 $0.24 $0.76 $0.22 
Earnings per common share - diluted excluding notable items (not annualized) (1)
$0.29 $0.27 $0.25 $0.79 $0.63 
Return on average assets (“ROA”) 0.75 %0.71 %0.66 %0.70 %0.20 %
ROA excluding notable items (1)
0.79 %0.74 %0.68 %0.72 %0.58 %
Return on average equity (“ROE”)6.19 %5.76 %5.50 %5.70 %1.64 %
ROE excluding notable items (1)
6.52 %6.02 %5.64 %5.90 %4.78 %
Return on average tangible common equity (“ROTCE”) (1)
8.03 %7.48 %7.19 %7.39 %2.13 %
ROTCE excluding notable items (1)
8.45 %7.81 %7.36 %7.65 %6.20 %
Net interest margin3.02 %2.96 %2.89 %2.96 %2.71 %
Efficiency ratio (not annualized)65.28 %66.61 %68.24 %66.26 %82.22 %
Efficiency ratio excluding notable items (not annualized) (1)
63.59 %65.22 %67.56 %65.16 %68.77 %
(1) Earnings per common share - diluted excluding notable items, ROA excluding notable items, ROE excluding notable items, ROTCE, ROTCE excluding notable items, and efficiency ratio excluding notable items are non-GAAP financial measures. Quantitative reconciliations of the most directly comparable GAAP to non-GAAP financial measures are provided in the accompanying financial information on Table Pages 10 through 12.


Table Page 3
Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands)
Three Months Ended
9/30/20266/30/20269/30/2025
InterestAnnualizedInterestAnnualizedInterestAnnualized
AverageIncome/AverageAverageIncome/AverageAverageIncome/ Average
BalanceExpenseYield/CostBalanceExpenseYield/CostBalanceExpense Yield/Cost
INTEREST EARNING ASSETS:
Loans, including loans held for sale$14,967,728 $218,216 5.78 %$14,790,642 $211,378 5.73 %$14,522,425 $216,774 5.92 %
Investment securities2,305,772 21,631 3.72 %2,221,334 20,359 3.68 %2,256,228 21,467 3.77 %
Interest earning cash and deposits at other banks437,305 4,051 3.68 %420,971 3,808 3.63 %488,992 5,273 4.28 %
FHLB stock and other investments51,749 1,260 9.66 %51,839 632 4.89 %97,584 1,186 4.82 %
Total interest earning assets$17,762,554 $245,158 5.48 %$17,484,786 $236,177 5.42 %$17,365,229 $244,700 5.59 %
INTEREST BEARING LIABILITIES:
Deposits:
Money market, interest bearing demand and savings$6,363,113 $47,120 2.94 %$6,085,142 $43,728 2.88 %$6,045,464 $49,458 3.25 %
Time deposits6,033,130 56,373 3.71 %6,244,929 58,057 3.73 %6,359,578 65,967 4.12 %
Total interest bearing deposits12,396,243 103,493 3.31 %12,330,071 101,785 3.31 %12,405,042 115,425 3.69 %
FHLB and FRB borrowings433,276 4,018 3.68 %357,510 3,180 3.57 %27,286 273 3.97 %
Subordinated debentures and convertible notes107,905 2,282 8.28 %107,550 2,243 8.25 %106,485 2,445 8.98 %
Total interest bearing liabilities$12,937,424 $109,793 3.37 %$12,795,131 $107,208 3.36 %$12,538,813 $118,143 3.74 %
Noninterest bearing demand deposits3,501,796 3,362,934 3,506,559 
Total funding liabilities/cost of funds$16,439,220 2.65 %$16,158,065 2.66 %$16,045,372 2.92 %
Net interest income/net interest spread$135,365 2.11 %$128,969 2.06 %$126,557 1.85 %
Net interest margin3.02 %2.96 %2.89 %
Cost of deposits:
Noninterest bearing demand deposits$3,501,796 $— — %$3,362,934 $— — %$3,506,559 $— — %
Interest bearing deposits12,396,243 103,493 3.31 %12,330,071 101,785 3.31 %12,405,042 115,425 3.69 %
Total deposits$15,898,039 $103,493 2.58 %$15,693,005 $101,785 2.60 %$15,911,601 $115,425 2.88 %

Table Page 4
Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands)
Nine Months Ended
9/30/20269/30/2025
InterestAnnualizedInterestAnnualized
AverageIncome/AverageAverageIncome/Average
BalanceExpenseYield/CostBalanceExpenseYield/Cost
INTEREST EARNING ASSETS:
Loans, including loans held for sale$14,816,982 $635,513 5.73 %$14,139,046 $623,098 5.89 %
Investment securities2,226,139 61,208 3.68 %2,178,155 55,128 3.38 %
Interest earning cash and deposits at other banks432,086 11,637 3.60 %607,549 19,261 4.24 %
FHLB stock and other investments51,757 3,121 8.06 %94,272 3,471 4.92 %
Total interest earning assets$17,526,964 $711,479 5.43 %$17,019,022 $700,958 5.51 %
INTEREST BEARING LIABILITIES:
Deposits:
Money market, interest bearing demand and savings$6,105,493 $132,270 2.90 %$5,927,729 $151,960 3.43 %
Time deposits6,210,790 174,463 3.76 %6,131,577 195,902 4.27 %
Total interest bearing deposits12,316,283 306,733 3.33 %12,059,306 347,862 3.86 %
FHLB and FRB borrowings359,117 9,606 3.58 %65,441 993 2.03 %
Subordinated debentures and convertible notes107,554 6,749 8.27 %106,153 7,274 9.04 %
Total interest bearing liabilities$12,782,954 $323,088 3.38 %$12,230,900 $356,129 3.89 %
Noninterest bearing demand deposits3,404,500 3,439,051 
Total funding liabilities/cost of funds$16,187,454 2.67 %$15,669,951 3.04 %
Net interest income/net interest spread$388,391 2.05 %$344,829 1.62 %
Net interest margin2.96 %2.71 %
Cost of deposits:
Noninterest bearing demand deposits$3,404,500 $— — %$3,439,051 $— — %
Interest bearing deposits12,316,283 306,733 3.33 %12,059,306 347,862 3.86 %
Total deposits$15,720,783 $306,733 2.61 %$15,498,357 $347,862 3.00 %


Table Page 5
Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands, except per share data)
 Three Months Ended Nine Months Ended
AVERAGE BALANCES:9/30/20266/30/2026% change9/30/2025% change9/30/20269/30/2025% change
Gross loans, including loans held for sale $14,967,728 $14,790,642 1 %$14,522,425 3 %$14,816,982 $14,139,046 5 %
Interest earning assets17,762,554 17,484,786 2 %17,365,229 2 %17,526,964 17,019,022 3 %
Goodwill and intangible assets526,532 527,594 0 %525,022 0 %526,556 505,782 4 %
Total assets18,991,587 18,707,236 2 %18,548,982 2 %18,741,699 18,126,058 3 %
Noninterest bearing demand deposits3,501,796 3,362,934 4 %3,506,559 0 %3,404,500 3,439,051 (1)%
Interest bearing deposits12,396,243 12,330,071 1 %12,405,042 0 %12,316,283 12,059,306 2 %
Total deposits15,898,039 15,693,005 1 %15,911,601 0 %15,720,783 15,498,357 1 %
Stockholders’ equity2,299,264 2,293,446 0 %2,237,375 3 %2,297,305 2,203,641 4 %
End of Period
LOAN PORTFOLIO:9/30/20266/30/2026% change9/30/2025% change
Loans receivable (held for investment)$15,050,474 $14,941,520 1 %$14,590,519 3 %
Loans held for sale67,371 92,667 (27)%33,118 103%
Gross loans$15,117,845 $15,034,187 1 %$14,623,637 3 %
End of Period
CRE LOANS HELD FOR INVESTMENT BY PROPERTY TYPE:9/30/20266/30/2026% change9/30/2025% change
Multi-tenant retail$1,541,629 $1,585,528 (3)%$1,612,673 (4)%
Industrial warehouses1,289,124 1,303,250 (1)%1,285,752 0 %
Multifamily1,158,229 1,171,422 (1)%1,219,701 (5)%
Gas stations and car washes1,158,067 1,177,756 (2)%1,116,447 4 %
Hotels/motels831,473 820,725 1 %771,089 8 %
Mixed-use facilities721,321 728,108 (1)%665,239 8 %
Single-tenant retail638,472 631,319 1 %629,269 1 %
Office320,194 348,708 (8)%330,736 (3)%
All other804,087 749,908 7 %787,888 2 %
  Total CRE loans$8,462,596 $8,516,724 (1)%$8,418,794 1 %
End of Period
DEPOSIT COMPOSITION:9/30/20266/30/2026% change9/30/2025% change
Noninterest bearing demand deposits$3,501,963 $3,548,452 (1)%$3,507,659 0 %
Money market, interest bearing demand, and savings6,708,100 6,079,728 10 %5,995,488 12 %
Time deposits 5,906,106 6,248,363 (5)%6,328,115 (7)%
  Total deposits$16,116,169 $15,876,543 2 %$15,831,262 2 %


Table Page 6
Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands, except share and per share data)
CAPITAL & CAPITAL RATIOS:9/30/20266/30/20269/30/2025
Total stockholders’ equity$2,257,458 $2,295,852 $2,258,960 
Total capital$2,206,215 $2,183,720 $2,128,319 
Common equity tier 1 ratio12.25 %12.27 %12.14 %
Tier 1 capital ratio 12.93 %12.95 %12.83 %
Total capital ratio 13.92 %13.95 %13.85 %
Leverage ratio 11.01 %11.07 %10.86 %
Total risk weighted assets$15,851,445 $15,658,083 $15,371,526 
Book value per common share$17.67 $17.97 $17.62 
Tangible common equity (“TCE”) per share (1)
$13.55 $13.85 $13.53 
TCE ratio (1)
9.28 %9.58 %9.64 %
(1) TCE per share and TCE ratio are non-GAAP financial measures. Quantitative reconciliations of the most directly comparable GAAP to non-GAAP financial measures are provided in the accompanying financial information on Table Page 10.
ALLOWANCE FOR CREDIT LOSSES CHANGES:Three Months EndedNine Months Ended
9/30/20266/30/20263/31/202612/31/20259/30/20259/30/20269/30/2025
Balance at beginning of period$153,218 $155,114 $156,661 $152,509 $149,505 $156,661 $150,527 
Initial allowance for purchased credit deteriorated (“PCD”) loans and purchased seasoned loans (“PSL”) acquired (2)
— — — — — — 3,971 
Provision for losses on loans8,100 7,100 9,200 7,800 8,100 24,400 23,392 
Recoveries910 203 322 1,694 1,517 1,435 4,594 
Charge offs (7,903)(9,199)(11,069)(5,342)(6,613)(28,171)(29,975)
Balance at end of period$154,325 $153,218 $155,114 $156,661 $152,509 $154,325 $152,509 
(2) During the fourth quarter of 2025, the Company adopted ASU 2025-08 effective January 1, 2025, and applied the guidance to the acquisition of Territorial Bancorp, which was completed on April 2, 2025.
      The presentation of prior periods has been adjusted accordingly.
9/30/20266/30/20263/31/202612/31/20259/30/2025
Allowance for unfunded loan commitments$2,913 $2,453 $2,783 $3,333 $3,933 
Three Months EndedNine Months Ended
9/30/20266/30/20263/31/202612/31/20259/30/20259/30/20269/30/2025
Provision for losses on loans$8,100 $7,100 $9,200 $7,800 $8,100 $24,400 $23,392 
(Credit) provision for unfunded loan commitments460 (330)(550)(600)610 (420)1,210 
Provision for credit losses$8,560 $6,770 $8,650 $7,200 $8,710 $23,980 $24,602 
Table Page 7
Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands)
Three Months EndedNine Months Ended
NET CHARGE OFFS (RECOVERIES):9/30/20266/30/20263/31/202612/31/20259/30/20259/30/20269/30/2025
CRE loans$3,340 $389 $817 $(1,467)$(933)$4,546 $(877)
C&I loans3,656 8,656 9,931 5,169 5,978 22,243 25,191 
Residential mortgage and other loans(3)(49)(1)(54)51 (53)1,067 
Net charge offs$6,993 $8,996 $10,747 $3,648 $5,096 $26,736 $25,381 
Net charge offs/average loans (annualized)0.19 %0.24 %0.29 %0.10 %0.14 %0.24 %0.24 %

NONPERFORMING ASSETS:9/30/20266/30/20263/31/202612/31/20259/30/2025
Loans on nonaccrual status (1)
$107,797 $111,973 $109,512 $131,747 $110,010 
Accruing delinquent loans past due 90 days or more— 515 10,642 3,943 2,149 
Total nonperforming loans107,797 112,488 120,154 135,690 112,159 
Other real estate owned (“OREO”)661 365 365 365 — 
Total nonperforming assets$108,458 $112,853 $120,519 $136,055 $112,159 
Nonperforming assets/total assets0.57 %0.59 %0.65 %0.73 %0.61 %
Nonperforming loans/loans receivable0.72 %0.75 %0.82 %0.92 %0.77 %
Nonaccrual loans/loans receivable0.72 %0.75 %0.75 %0.90 %0.75 %
Allowance for credit losses/loans receivable1.03 %1.03 %1.06 %1.07 %1.05 %
Allowance for credit losses/nonperforming loans143.16 %136.21 %129.10 %115.46 %135.98 %
(1) Excludes delinquent SBA loans that are guaranteed and currently in liquidation totaling $17.3 million, $17.1 million, $19.4 million, $15.6 million, and $15.3 million, at September 30, 2026, June 30, 2026, March 31, 2026, December 31, 2025, and September 30, 2025, respectively.
NONACCRUAL LOANS BY TYPE:9/30/20266/30/20263/31/202612/31/20259/30/2025
CRE loans$44,818 $63,647 $52,920 $65,106 $54,016 
C&I loans44,497 31,724 42,538 53,136 45,494 
Residential mortgage and other loans18,482 16,602 14,054 13,505 10,500 
   Total nonaccrual loans$107,797 $111,973 $109,512 $131,747 $110,010 
Table Page 8
Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands)
ACCRUING DELINQUENT LOANS 30-89 DAYS PAST DUE:9/30/20266/30/20263/31/202612/31/20259/30/2025
30 - 59 days past due$43,098 $11,700 $29,621 $19,056 $15,788 
60 - 89 days past due22,177 7,306 59 4,244 5,117 
   Total accruing delinquent loans 30-89 days past due$65,275 $19,006 $29,680 $23,300 $20,905 
ACCRUING DELINQUENT LOANS 30-89 DAYS PAST DUE BY TYPE:9/30/20266/30/20263/31/202612/31/20259/30/2025
CRE loans$54,523 $15,917 $11,819 $12,064 $14,872 
C&I loans8,471 810 604 2,209 3,356 
Residential mortgage and other loans2,281 2,279 17,257 9,027 2,677 
   Total accruing delinquent loans 30-89 days past due$65,275 $19,006 $29,680 $23,300 $20,905 
CRITICIZED LOANS:9/30/20266/30/20263/31/202612/31/20259/30/2025
Special mention loans$124,399 $128,994 $72,668 $94,003 $131,384 
Classified loans210,356 205,283 252,410 257,113 241,483 
   Total criticized loans$334,755 $334,277 $325,078 $351,116 $372,867 
Table Page 9
Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands, except share and per share data)
Reconciliation of GAAP financial measures to non-GAAP financial measures
Management reviews select non-GAAP financial measures in evaluating the Company’s and the Bank’s financial performance and in response to market participant interest. Reconciliations of the most directly comparable GAAP to non-GAAP financial measures utilized by management are provided below.
TANGIBLE COMMON EQUITY (“TCE”)9/30/20266/30/20269/30/2025
Total stockholders’ equity$2,257,458 $2,295,852 $2,258,960 
Goodwill and core deposit intangible assets, net(525,997)(526,890)(524,503)
TCE$1,731,461 $1,768,962 $1,734,457 
Total assets$19,189,488 $18,991,916 $18,510,799 
Goodwill and core deposit intangible assets, net(525,997)(526,890)(524,503)
Tangible assets$18,663,491 $18,465,026 $17,986,296 
TCE ratio (TCE / tangible assets)9.28 %9.58 %9.64 %
Common shares outstanding127,758,427 127,741,836 128,185,271 
Book value per share (GAAP)$17.67 $17.97 $17.62 
TCE per share$13.55 $13.85 $13.53 
Three Months EndedNine Months Ended
RETURN ON AVERAGE TANGIBLE COMMON EQUITY (“ROTCE”)9/30/20266/30/20269/30/20259/30/20269/30/2025
Average stockholders’ equity$2,299,264 $2,293,446 $2,237,375 $2,297,305 $2,203,641 
Average goodwill and core deposit intangible assets, net(526,532)(527,594)(525,022)(526,556)(505,782)
Average TCE$1,772,732 $1,765,852 $1,712,353 $1,770,749 $1,697,859 
Net income (GAAP)$35,577 $33,031 $30,776 $98,148 $27,122 
ROTCE (annualized)8.03 %7.48 %7.19 %7.39 %2.13 %
Table Page 10
Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands, except share and per share data)
Three Months EndedNine Months Ended
PRE-PROVISION NET REVENUE (“PPNR”)9/30/20266/30/2026% change9/30/2025% change9/30/20269/30/2025% change
Net interest income$135,365 $128,969 5 %$126,557 7 %$388,391 $344,829 13 %
Noninterest income22,112 18,850 17 %15,385 44 %57,929 8,117 614 %
Revenue157,477 147,819 7 %141,942 11 %446,320 352,946 26 %
Less: Noninterest expense102,794 98,464 4 %96,861 6 %295,713 290,195 2 %
PPNR$54,683 $49,355 11 %$45,081 21 %$150,607 $62,751 140 %
Notable items:
Loss on investment portfolio repositioning$— $— $— $— $38,856 
FDIC special assessment expense (reversal)— — — (58)— 
Merger related costs2,650 2,058 958 4,942 20,758 
Total notable items included in PPNR2,650 2,058 958 4,884 59,614 
PPNR, excluding notable items$57,333 $51,413 12 %$46,039 25 %$155,491 $122,365 27 %
Three Months EndedNine Months Ended
PROFITABILITY EXCLUDING NOTABLE ITEMS9/30/20266/30/2026% change9/30/2025% change9/30/20269/30/2025% change
Net income (GAAP)$35,577 $33,031 8 %$30,776 16 %$98,148 $27,122 262 %
Notable items:
Merger-related provision for credit losses— — — — 553 
Loss on investment portfolio repositioning— — — — 38,856 
FDIC special assessment expense (reversal)— — — (58)— 
Merger related costs2,650 2,058 958 4,942 20,758 
Total notable items included in pre-tax income2,650 2,058 958 4,884 60,167 
Tax effect on notable items in pre-tax income(759)(590)(208)(1,399)(13,170)
Notable impact from California state tax apportionment law change— — — — 4,878 
Total notable items, net of tax1,891 1,468 750 3,485 51,875 
Net income excluding notable items$37,468 $34,499 9 %$31,526 19 %$101,633 $78,997 29 %
Diluted common shares128,624,630 128,308,861 128,593,874 128,509,496 126,110,136 
EPS excluding notable items$0.29 $0.27 7 %$0.25 16 %$0.79 $0.63 25 %
Average assets$18,991,587 $18,707,236 $18,548,982 $18,741,699 $18,126,058 
ROA excluding notable items (annualized)0.79 %0.74 %0.68 %0.72 %0.58 %
Average equity$2,299,264 $2,293,446 $2,237,375 $2,297,305 $2,203,641 
ROE excluding notable items (annualized)6.52 %6.02 %5.64 %5.90 %4.78 %
Average TCE$1,772,732 $1,765,852 $1,712,353 $1,770,749 $1,697,859 
ROTCE excluding notable items (annualized)8.45 %7.81 %7.36 %7.65 %6.20 %
Table Page 11
Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands, except share and per share data)

Three Months EndedNine Months Ended
NONINTEREST INCOME EXCLUDING NOTABLE ITEMS9/30/20266/30/20269/30/20259/30/20269/30/2025
Noninterest income$22,112 $18,850 $15,385 $57,929 $8,117 
Notable items:
Loss on investment portfolio repositioning— — — — 38,856 
Noninterest income excluding notable items$22,112 $18,850 $15,385 $57,929 $46,973 
Three Months EndedNine Months Ended
EFFICIENCY RATIO EXCLUDING NOTABLE ITEMS9/30/20266/30/20269/30/20259/30/20269/30/2025
Noninterest expense$102,794 $98,464 $96,861 $295,713 $290,195 
Notable items:
FDIC special assessment expense reversal— — — 58 — 
Merger related costs(2,650)(2,058)(958)(4,942)(20,758)
Noninterest expense excluding notable items$100,144 $96,406 $95,903 $290,829 $269,437 
Revenue$157,477 $147,819 $141,942 $446,320 $352,946 
Notable items:
Loss on investment portfolio repositioning— — — — 38,856 
Revenue excluding notable items$157,477 $147,819 $141,942 $446,320 $391,802 
Efficiency ratio excluding notable items63.59 %65.22 %67.56 %65.16 %68.77 %
Three Months EndedNine Months Ended
EFFECTIVE TAX RATE EXCLUDING NOTABLE ITEMS9/30/20266/30/20269/30/20259/30/20269/30/2025
Income before income taxes$46,123 $42,585 $36,371 $126,627 $38,149 
Notable items before tax effect2,650 2,058 958 4,884 60,167 
Income before tax excluding notable items$48,773 $44,643 $37,329 $131,511 $98,316 
GAAP income tax provision$10,546 $9,554 $5,595 $28,479 $11,027 
Tax effect on notable items in pre-tax income759 590 208 1,399 13,170 
Notable impact from California state tax apportionment law change— — — — (4,878)
Income tax provision excluding notable items$11,305 $10,144 $5,803 $29,878 $19,319 
Effective tax rate (GAAP)22.86 %22.44 %15.38 %22.49 %28.91 %
Effective tax rate excluding notable items23.18 %22.72 %15.55 %22.72 %19.65 %
Table Page 12