Hope Bancorp | 10-Q: FY2025 Q3 Revenue: USD 260.17 M

Revenue: As of FY2025 Q3, the actual value is USD 260.17 M.

EPS: As of FY2025 Q3, the actual value is USD 0.24, missing the estimate of USD 0.25.

EBIT: As of FY2025 Q3, the actual value is USD -90.19 M.

Segment Revenue

• Interest Income: Total interest income for the nine months ended September 30, 2025, was $701.1 million, compared to $727.4 million for the same period in 2024.

Operational Metrics

• Net Income: For the nine months ended September 30, 2025, net income was $24.1 million, compared to $75.3 million for the same period in 2024.
• Provision for Credit Losses: The provision for credit losses for the nine months ended September 30, 2025, was $28.5 million, compared to $7.3 million for the same period in 2024.
• Noninterest Expense: Total noninterest expense for the nine months ended September 30, 2025, was $290.2 million, compared to $247.1 million for the same period in 2024.

Cash Flow

• Net Cash Provided by Operating Activities: For the nine months ended September 30, 2025, net cash provided by operating activities was $87.8 million, compared to $67.1 million for the same period in 2024.
• Net Cash Provided by Investing Activities: For the nine months ended September 30, 2025, net cash provided by investing activities was $510.7 million, compared to $458.9 million for the same period in 2024.
• Net Cash Used in Financing Activities: For the nine months ended September 30, 2025, net cash used in financing activities was $601.8 million, compared to $1,774.1 million for the same period in 2024.

Unique Metrics

• Loans Receivable: Total loans receivable at September 30, 2025, were $14.59 billion, an increase of $968.6 million from December 31, 2024.
• Deposits: Total deposits at September 30, 2025, were $15.83 billion, an increase of $1.50 billion from December 31, 2024.

Future Outlook and Strategy

• Core Business Focus: The company completed the acquisition of Territorial Bancorp Inc. on April 2, 2025, which added $1.07 billion in loans and $1.67 billion in deposits, enhancing its market presence in Hawaii.
• Non-Core Business: The company sold a portion of its legacy investment securities portfolio AFS with a fair value of $417.9 million, recording realized losses of $38.9 million, and redeployed the proceeds to purchase higher-yielding investment securities AFS.
• Priority: The company focuses on integrating the acquisition of Territorial Bancorp Inc. to achieve anticipated synergies and cost savings.