Hope Bancorp reports Q2 2026 net income of $33.0M ($0.26/share), up 12% QoQ on loan growth

Hope Bancorp issued a press release disclosing its financial results for the second quarter and first half of 2026. The 8-K body does not contain the actual financial figures; those are in the attached Exhibit 99.1 press release, which is not included in the provided text.

Hope Bancorp disclosed that it held an investor conference call on July 27, 2026 to review second quarter 2026 financial results. The 8-K filing itself does not contain the actual financial results or metrics, only references to the earnings presentation materials.

The company furnished an earnings presentation as Exhibit 99.2 containing historical and forward-looking information. The presentation materials are available on the company's investor relations website and were provided to accompany the quarterly earnings conference call.

The company released its second quarter 2026 earnings results and financial condition as of June 30, 2026. The detailed financial metrics are contained in the attached press release and earnings presentation (Exhibits 99.1 and 99.2).

Gross loans grew 2% quarter-over-quarter (8% annualized) to $15.03 billion, with broad-based growth across commercial and industrial, commercial real estate, and residential mortgage portfolios. Total deposits increased 1% sequentially (4% annualized) to $15.88 billion, with noninterest-bearing demand deposits up 5% and planned reductions in higher-cost time deposits. The loan-to-deposit ratio was 94.7%.

Credit quality remained stable with net charge-offs declining to $9.0 million (0.24% of average loans annualized) from $10.7 million in the prior quarter. The provision for credit losses decreased to $6.8 million, reflecting lower net charge-offs. The allowance for credit losses was $153.2 million, or 1.03% of loans receivable. Nonperforming assets declined to $112.9 million (0.59% of total assets) from $120.5 million in the prior quarter.

Hope Bancorp disclosed a pending acquisition of the Commercial Banking Unit of SMBC MANUBANK, expected to expand middle market and multinational banking capabilities, develop specialty deposit verticals, and broaden the Southern California footprint. Management anticipates the transaction will improve 2027 earnings and returns on tangible common equity. The acquisition is subject to regulatory approvals and customary closing conditions.

Hope Bancorp reported Q2 2026 diluted earnings per share of $0.26, a 12% increase from Q1 2026. The prior-year Q2 2025 loss of $(0.19) per share reflected one-time charges including merger expenses, securities repositioning losses, and a California tax law change. Excluding notable items, Q2 2026 earnings were $0.27 per share, up 17% QoQ and 40% YoY.

Asset quality remained stable with criticized loans at $334 million (2.24% of total loans) at June 30, 2026, up 3% QoQ but down 19% YoY. Classified loans declined 19% QoQ to $205 million (1.37% of total loans), and nonperforming assets fell 6% QoQ to $113 million (0.59% of total assets). Net charge-offs were $9 million (24 basis points of average loans annualized), down from $11 million (29 bps) in Q1 2026.

Hope Bancorp continues to progress toward closing its acquisition of the Commercial Banking Unit of SMBC MANUBANK, expected in the second half of 2026 pending regulatory approvals. The acquisition is anticipated to expand middle market and multinational banking capabilities, add specialty deposit verticals, broaden the Southern California footprint, and enhance earnings capacity and returns on tangible equity.

The Board of Directors declared a quarterly cash dividend of $0.14 per common share. Shareholders of record as of August 6, 2026 will receive payment on or about August 20, 2026. This represents a routine capital return to shareholders.