Cathay General Bancorp Announces Second Quarter 2026 Results

FOR IMMEDIATE RELEASE For: Cathay General Bancorp Contact: Albert J. Wang 777 N. Broadway 626) 279-3695 Los Angeles, CA 90012 Cathay General Bancorp Announces Second Quarter 2026 Results Los Angeles, Calif., July 22, 2026: Cathay General Bancorp (the “Company”, “we”, “us”, or “our”) (Nasdaq: CATY), the holding company for Cathay Bank, today announced its unaudited financial results for the quarter ended June 30, 2026. The Company reported net income of $92.2 million, or $1.37 per diluted share, for the second quarter of 2026 compared to $86.9 million, or $1.29 per diluted share for the first quarter of 2026. “We delivered strong second quarter results, with higher earnings driven by continued net interest margin expansion and disciplined execution across the franchise. Improved profitability reflects the strength of our relationships and the resilience of our business model." said Chang M. Liu, President and Chief Executive Officer of the Company. "We remain focused on maintaining strong credit quality, prudently managing the balance sheet, and supporting the financial needs of our clients. We believe these fundamentals, along with thoughtful capital management, will continue to support long-term value creation for our shareholders.” FINANCIAL PERFORMANCE Three months ended (unaudited) June 30, 2026 March 31, 2026 June 30, 2025 Net income (in millions) $ 92.2 $ 86.9 $ 77.5 Basic earnings per common share $ 1.38 $ 1.30 $ 1.11 Diluted earnings per common share $ 1.37 $ 1.29 $ 1.10 Return on average assets 1.52 % 1.47 % 1.33 % Return on average total stockholders' equity 12.21 % 11.88 % 10.72 % Efficiency ratio 41.53 % 40.35 % 45.34 % SECOND QUARTER HIGHLIGHTS ● Net interest margin increased to 3.48% during the second quarter from 3.43% in the first quarter of 2026. ● Total loans, excluding loans held for sale, increased to $20.62 billion, or 2.21%, from $20.17 billion in the first quarter of 2026. ● Total deposits increased $386.0 million, or 1.87%, to $21.06 billion in the second quarter of 2026. ● The Company’s Board approved an increase to its existing share repurchase authorization from $150 million to $200 million, with no change to the current authorization expiration date that is subject to regulatory approval which is currently pending 1/2/ , and approved the redemption of $54.1 million of trust preferred securities, representing approximately 45% of the Company's $119.1 million of outstanding trust preferred securities 2/ . 1/ There can be no assurance if and when such regulatory approval will be received, but the company will announce the commencement of such additional buyback program if and when such approval is received. 2/ The Board may also suspend, terminate or modify these authorizations at any time for any reason. INCOME STATEMENT REVIEW SECOND QUARTER 2026 COMPARED TO THE FIRST QUARTER 2026 Net income for the quarter ended June 30, 2026, was $92.2 million, an increase of $5.3 million, or 6.1%, compared to net income of $86.9 million for the first quarter of 2026. Diluted earnings per share for the second quarter of 2026 was $1.37 per share compared to $1.29 per share for the first quarter of 2026. Return on average stockholders’ equity was 12.21% and return on average assets was 1.52% for the quarter ended June 30, 2026, compared to a return on average stockholders’ equity of 11.88% and a return on average assets of 1.47% in the first quarter of 2026. Net interest income before provision for credit losses Net interest income before provision for credit losses increased $6.7 million, or 3.5%, to $200.9 million during the second quarter of 2026, compared to $194.2 million in the first quarter of 2026. The increase was due primarily to an increase in interest income from loans and securities and a decrease in deposit interest expense. The net interest margin was 3.48% for the second quarter of 2026 compared to 3.43% for the first quarter of 2026. For the second quarter of 2026, the yield on average interest-earning assets was 5.66%, the cost of funds on average interest-bearing liabilities was 2.89%, and the cost of average interest-bearing deposits was 2.86%. In comparison, for the first quarter of 2026, the yield on average interest-earning assets was 5.70%, the cost of funds on average interest-bearing liabilities was 2.99%, and the cost of average interest-bearing deposits was 2.96%. The decrease in the cost of funds on average interest-bearing liabilities resulted mainly from lower interest rates on deposits driven by the lower repricing of maturing time deposits in the second quarter. The decrease in the yield on average interest-earning assets resulted mainly from lower interest rates on loans. The net interest spread, defined as the difference between the yield on average interest-earning assets and the cost of funds on average interest-bearing liabilities, was 2.77% for the second quarter of 2026, compared to 2.71% for the first quarter of 2026. Provision for credit losses The Company recorded a provision for credit losses of $11.2 million in the second quarter of 2026 compared to $18.2 million in the first quarter of 2026. As of June 30, 2026, the allowance for loan losses increased by $10.1 million to $218.9 million, or 1.06% of gross loans, compared to $208.8 million, or 1.03% of gross loans as of March 31, 2026. The following table sets forth the charge-offs and recoveries for the periods indicated: Three months ended Six months ended June 30, June 30, 2026 March 31, 2026 June 30, 2025 2026 2025 (In thousands) (Unaudited) Charge-offs: Commercial loans $ 2,743 $ 7,971 $ 9,117 $ 10,714 $ 11,461 Real estate loans (1) — 1,385 3,913 1,385 3,913 Total charge-offs 2,743 9,356 13,030 12,099 15,374 Recoveries: Commercial loans 852 4,931 196 5,783 465 Construction loans — — — — 1 Real estate loans (1) 42 2,302 93 2,344 190 Total recoveries 894 7,233 289 8,127 656 Net charge-offs $ 1,849 $ 2,123 $ 12,741 $ 3,972 $ 14,718 (1) Real estate loans include commercial real estate loans, residential mortgage loans and equity lines. Non-interest income Non-interest income, which includes revenues from depository service fees, letters of credit commissions, securities gains (losses), wealth management fees, and other sources of fee income, was $21.4 million for the second quarter of 2026, an increase of $0.7 million, or 3.4%, compared to $20.7 million for the first quarter of 2026. The increase was primarily due to a $5.1 million reduction in losses related to investment securities repositioning activities and an increase of $0.8 million in wealth management fees partially offset by a decrease of $5.7 million in unrealized gains from equity securities, compared to the first quarter of 2026. Non-interest expense Non-interest expense increased $5.6 million, or 6.5%, to $92.3 million in the second quarter of 2026 compared to $86.7 million in the first quarter of 2026. The increase in non-interest expense in the second quarter of 2026 was primarily due to an increase of $3.1 million in amortization expense of investments of low income housing and alternative energy partnerships, an increase of $1.2 million in salaries and employee benefits, and an increase of $0.9 million in director fees offset, in part, by a decrease of $1.2 million in other real estate owned expense, when compared to the first quarter of 2026. The efficiency ratio, defined as non-interest expense divided by the sum of net interest income before provision for loan losses plus non-interest income, was 41.53% in the second quarter of 2026 compared to 40.35% for the first quarter of 2026. Income taxes The effective tax rate for the second quarter of 2026 was 22.35% compared to 20.98% for the first quarter of 2026. The effective tax rate for the second quarter of 2026 and first quarter of 2026 includes the impact of low-income housing tax credits. BALANCE SHEET REVIEW Gross loans, excluding loans held for sale, were $20.62 billion as of June 30, 2026, an increase of $446.7 million, or 2.2%, from $20.17 billion as of March 31, 2026. The increase was primarily due to an increase of $242.4 million, or 7.4%, in commercial loans, $190.6 million, or 1.8%, in commercial real estate loans, $53.6 million, or 0.9%, in residential real estate loans offset, in part, by a decrease of $40.7 million, or 14.1%, in construction loans. The loan balances and composition as of June 30, 2026, compared to March 31, 2026, and June 30, 2025, are presented below: June 30, 2026 March 31, 2026 June 30, 2025 (In thousands) (Unaudited) Commercial loans $ 3,524,945 $ 3,282,557 $ 3,194,724 Construction loans 248,375 289,042 301,125 Commercial real estate loans 10,779,326 10,588,726 10,363,109 Residential mortgage loans 5,832,159 5,778,531 5,692,142 Equity lines 234,265 233,140 230,001 Installment and other loans 2,262 2,593 3,601 Gross loans $ 20,621,332 $ 20,174,589 $ 19,784,702 Allowance for loan losses (218,896 ) (208,786 ) (173,531 ) Unamortized deferred loan fees (14,606 ) (14,164 ) (13,834 ) Total loans held for investment, net $ 20,387,830 $ 19,951,639 $ 19,597,337 Loans held for sale $ — $ 6,902 $ 13,338 Total deposits were $21.06 billion as of June 30, 2026, an increase of $386.0 million, or 1.9%, from $20.68 billion as of March 31, 2026. The deposit balances and composition as of June 30, 2026, compared to March 31, 2026, and June 30, 2025, are presented below: June 30, 2026 March 31, 2026 June 30, 2025 (In thousands) (Unaudited) Non-interest-bearing demand deposits $ 3,567,527 $ 3,399,461 $ 3,381,407 NOW deposits 2,612,011 2,336,121 2,174,108 Money market deposits 3,894,594 3,701,873 3,431,060 Savings deposits 1,421,969 1,518,300 1,317,104 Time deposits 9,565,547 9,719,892 9,702,651 Total deposits $ 21,061,648 $ 20,675,647 $ 20,006,330 ASSET QUALITY REVIEW As of June 30, 2026, total non-accrual loans were $111.7 million, an increase of $22.7 million, or 25.5%, from $89.0 million as of March 31, 2026. The allowance for loan losses was $218.9 million and the allowance for off-balance sheet unfunded credit commitments was $14.9 million as of June 30, 2026. The allowances represent the amount estimated by management to be appropriate to absorb expected credit losses inherent in the loan portfolio, including unfunded credit commitments. The allowance for loan losses represented 1.06% of period-end gross loans, and 195.97% of non-performing loans as of June 30, 2026. The comparable ratios were 1.03% of period-end gross loans, and 220.95% of non-performing loans as of March 31, 2026. The changes in non-performing assets as of June 30, 2026, compared to March 31, 2026, and June 30, 2025, are presented below: (In thousands) (Unaudited) June 30, 2026 March 31, 2026 % Change June 30, 2025 % Change Non-performing assets Accruing loans past due 90 days or more $ — $ 5,491 (100 ) $ 6,389 (100 ) Non-accrual loans: Construction loans — — — 4,230 (100 ) Commercial real estate loans 70,157 51,091 37 93,754 (25 ) Commercial loans 8,448 7,665 10 54,536 (85 ) Residential mortgage loans 33,091 30,248 9 21,633 53 Total non-accrual loans: $ 111,696 $ 89,004 25 $ 174,153 (36 ) Total non-performing loans 111,696 94,495 18 180,542 (38 ) Other real estate owned 33,659 33,436 1 18,990 77 Total non-performing assets $ 145,355 $ 127,931 14 $ 199,532 (27 ) Allowance for loan losses $ 218,896 $ 208,786 5 $ 173,531 26 Allowance for off-balance sheet credit commitments $ 14,918 $ 15,637 (5 ) $ 9,892 51 Total gross loans outstanding, at period-end $ 20,621,332 $ 20,174,589 2 $ 19,784,702 4 Allowance for loan losses to non-performing loans, at period-end 195.97 % 220.95 % 96.12 % Allowance for loan losses to gross loans, at period-end 1.06 % 1.03 % 0.88 % The ratio of non-performing assets to total assets was 0.59% as of June 30, 2026, compared to 0.53% as of March 31, 2026. Total non-performing assets increased $17.5 million, or 13.7%, to $145.4 million as of June 30, 2026, compared to $127.9 million as of March 31, 2026, primarily due to an increase of $22.7 million, or 25.5%, in non-accrual loans and $0.2 million, or 0.7%, in other real estate owned, offset, in part, by a decrease of $5.5 million, or 100.0% in accruing loans past due 90 days or more. CAPITAL ADEQUACY REVIEW As of June 30, 2026, the Company’s Tier 1 risk-based capital ratio of 13.70%, total risk-based capital ratio of 15.47%, and Tier 1 leverage capital ratio of 11.28%, calculated under the Basel III capital rules, exceeded applicable minimum regulatory capital requirements, including the fully phased-in 2.5% capital conservation buffer applicable to the risk-based capital ratios. As of March 31, 2026, the Company’s Tier 1 risk-based capital ratio was 13.47%, total risk-based capital ratio was 15.20%, and Tier 1 leverage capital ratio was 11.15%. YEAR-TO-DATE REVIEW Net income for the six months ending June 30, 2026, was $179.1 million, an increase of $32.1 million, or 21.8%, compared to net income of $147.0 million for the same period a year ago. Diluted earnings per share for the six months ending June 30, 2026 was $2.66 per share compared to $2.09 per share for the same period a year ago. The net interest margin for the six months ended June 30, 2026, was 3.45% compared to 3.26% for the same period a year ago. Return on average stockholders’ equity was 12.05% and return on average assets was 1.50% for the six months ended June 30, 2026, compared to a return on average stockholders’ equity of 10.28% and a return on average assets of 1.27% for the same period a year ago. The efficiency ratio for the six months ended June 30, 2026, was 40.95% compared to 45.46% for the same period a year ago CONFERENCE CALL Cathay General Bancorp will host a conference call to discuss its second quarter 2026 financial results this afternoon, Wednesday, July 22, 2026, at 3:00 p.m., Pacific Time. Analysts and investors may dial in and participate in the question-and-answer session. To access the call, please dial 1-833-816-1377 and enter Conference ID 10210553. The presentation accompanying this call and access to the live webcast is available on our site at www.cathaygeneralbancorp.com and a replay of the webcast will be archived for one year within 24 hours after the event. ABOUT CATHAY GENERAL BANCORP Cathay General Bancorp is a publicly traded company (Nasdaq: CATY) and is the holding company for Cathay Bank, a California state-chartered bank. Founded in 1962, Cathay Bank offers a wide range of financial services and currently operate over 60 branches across the United States in California, New York, Washington, Texas, Illinois, Massachusetts, Maryland, Nevada, and New Jersey. Overseas, it has a branch outlet in Hong Kong, and representative offices in Beijing, Shanghai, and Taipei. To learn more about Cathay Bank, please visit www.cathaybank.com. Cathay General Bancorp’s website is at www.cathaygeneralbancorp.com. Information set forth on such websites is not incorporated into this press release. FORWARD-LOOKING STATEMENTS Statements made in this press release, other than statements of historical fact, are forward-looking statements within the meaning of the applicable provisions of the Private Securities Litigation Reform Act of 1995 regarding management’s beliefs, projections, and assumptions concerning future results and events. These forward-looking statements may include, but are not limited to, such words as “aims,” “anticipates,” “believes,” “can,” “continue,” “could,” “estimates,” “expects,” “hopes,” “intends,” “may,” “plans,” “projects,” “predicts,” “potential,” “possible,” “optimistic,” “seeks,” “shall,” “should,” “will,” and variations of these words and similar expressions. Forward-looking statements are based on estimates, beliefs, projections, and assumptions of management and are not guarantees of future performance. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from our historical experience and our present expectations or projections. Such risks and uncertainties and other factors include, but are not limited to, adverse developments or conditions related to or arising from local, regional, national and international business, market and economic conditions and events, the potential for new or increased tariffs, trade restrictions or geopolitical tensions that could affect economic activity or specific industry sectors and the impact they may have on us, our customers and our operations, assets and liabilities; possible additional provisions for loan losses and charge-offs; credit risks of lending activities and deterioration in asset or credit quality; extensive laws and regulations and supervision that we are subject to including potential future supervisory action by bank supervisory authorities; increased costs of compliance and other risks associated with changes in regulation; higher capital requirements from the implementation of the Basel III capital standards; compliance with the Bank Secrecy Act and other money laundering statutes and regulations; potential goodwill impairment; liquidity risk; fluctuations in interest rates; risks associated with acquisitions and the expansion of our business into new markets; inflation and deflation; real estate market conditions and the value of real estate collateral; our ability to generate anticipated returns on our investments and financings, including in tax-advantaged projects; environmental liabilities; our ability to compete with larger competitors; our ability to retain key personnel; successful management of reputational risk; natural disasters, public health crises and geopolitical events; including wars and armed conflicts, and their resulting economic impacts; general economic or business conditions in Asia, and other regions where Cathay Bank has operations; failures, interruptions, or security breaches of our information systems; our ability to adapt our systems to technological changes; risk management processes and strategies; adverse results in legal proceedings; certain provisions in our charter and bylaws that may affect acquisition of the Company; changes in accounting standards or tax laws and regulations; market disruption and volatility; restrictions on dividends and other distributions by laws and regulations and by our regulators and our capital structure; issuance of preferred stock; successfully raising additional capital, if needed, and the resulting dilution of interests of holders of our common stock; the soundness of other financial institutions; and general competitive, economic political, and market conditions and fluctuations. These and other factors are further described in Cathay General Bancorp’s Annual Report on Form 10-K for the year ended December 31, 2025 (Item 1A in particular), other reports filed with the Securities and Exchange Commission (“SEC”), and other filings Cathay General Bancorp makes with the SEC from time to time. Actual results in any future period may also vary from the past results discussed in this press release. Given these risks and uncertainties, readers are cautioned not to place undue reliance on any forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and, except as required by law, we undertake no obligation to update or review any forward-looking statement to reflect circumstances, developments or events occurring after the date on which the statement is made or to reflect the occurrence of unanticipated events. CATHAY GENERAL BANCORP CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited) Three months ended Six months ended June 30, (In thousands, except per share data) June 30, 2026 March 31, 2026 June 30, 2025 2026 2025 Financial performance Net interest income before provision for credit losses $ 200,897 $ 194,168 $ 181,221 $ 395,065 $ 357,860 Provision for credit losses 11,240 18,193 11,200 29,433 26,700 Net interest income after provision for credit losses 189,657 175,975 170,021 365,632 331,160 Non-interest income 21,405 20,659 15,391 42,064 26,595 Non-interest expense 92,316 86,680 89,134 178,996 174,790 Income before income tax expense 118,746 109,954 96,278 228,700 182,965 Income tax expense 26,537 23,068 18,828 49,605 36,009 Net income $ 92,209 $ 86,886 $ 77,450 $ 179,095 $ 146,956 Net income per common share: Basic $ 1.38 $ 1.30 $ 1.11 $ 2.67 $ 2.09 Diluted $ 1.37 $ 1.29 $ 1.10 $ 2.66 $ 2.09 Cash dividends paid per common share $ 0.38 $ 0.38 $ 0.34 $ 0.76 $ 0.68 Selected ratios Return on average assets 1.52 % 1.47 % 1.33 % 1.50 % 1.27 % Return on average total stockholders’ equity 12.21 % 11.88 % 10.72 % 12.05 % 10.28 % Efficiency ratio 41.53 % 40.35 % 45.34 % 40.95 % 45.46 % Dividend payout ratio 27.59 % 29.28 % 30.79 % 28.41 % 32.46 % Yield analysis (Fully taxable equivalent) Total interest-earning assets 5.66 % 5.70 % 5.83 % 5.68 % 5.86 % Total interest-bearing liabilities 2.89 % 2.99 % 3.37 % 2.94 % 3.42 % Net interest spread 2.77 % 2.71 % 2.46 % 2.74 % 2.44 % Net interest margin 3.48 % 3.43 % 3.27 % 3.45 % 3.26 % June 30, 2026 March 31, 2026 June 30, 2025 Capital ratios Tier 1 risk-based capital ratio 13.70 % 13.47 % 13.35 % Total risk-based capital ratio 15.47 % 15.20 % 14.92 % Tier 1 leverage capital ratio 11.28 % 11.15 % 11.09 % CATHAY GENERAL BANCORP CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (In thousands, except share and per share data) June 30, 2026 March 31, 2026 June 30, 2025 Assets Cash and due from banks $ 163,976 $ 135,540 $ 190,011 Short-term investments and interest bearing deposits 1,163,120 1,069,943 1,056,964 Securities available-for-sale (amortized cost of $1,737,212 at June 30, 2026, $1,740,858 at March 31, 2026 and $1,746,703 at June 30, 2025) 1,682,820 1,678,140 1,648,433 Loans held for sale — 6,902 13,338 Loans 20,621,332 20,174,589 19,784,702 Less: Allowance for loan losses (218,896 ) (208,786 ) (173,531 ) Unamortized deferred loan fees, net (14,606 ) (14,164 ) (13,834 ) Loans, net 20,387,830 19,951,639 19,597,337 Equity securities 80,854 69,202 28,849 Federal Home Loan Bank stock 17,250 17,250 17,250 Other real estate owned, net 33,659 33,436 18,990 Affordable housing investments and alternative energy partnerships, net 293,553 287,283 289,550 Premises and equipment, net 90,613 88,464 89,556 Customers’ liability on acceptances 11,214 5,409 9,622 Accrued interest receivable 94,676 94,570 96,646 Goodwill 375,696 375,696 375,696 Other intangible assets, net 2,341 2,450 2,888 Right-of-use assets- operating leases 33,269 34,737 32,291 Other assets 221,948 197,969 256,426 Total assets $ 24,652,819 $ 24,048,630 $ 23,723,847 Liabilities and Stockholders’ Equity Deposits: Non-interest-bearing demand deposits $ 3,567,527 $ 3,399,461 $ 3,381,407 Interest-bearing deposits: NOW deposits 2,612,011 2,336,121 2,174,108 Money market deposits 3,894,594 3,701,873 3,431,060 Savings deposits 1,421,969 1,518,300 1,317,104 Time deposits 9,565,547 9,719,892 9,702,651 Total deposits 21,061,648 20,675,647 20,006,330 Advances from the Federal Home Loan Bank — — 412,000 Long-term debt 119,136 119,136 119,136 Acceptances outstanding 11,214 5,409 9,622 Lease liabilities - operating leases 35,114 36,581 34,304 Other liabilities 379,093 225,209 256,160 Total liabilities 21,606,205 21,061,982 20,837,552 Stockholders' equity 3,046,614 2,986,648 2,886,295 Total liabilities and equity $ 24,652,819 $ 24,048,630 $ 23,723,847 Book value per common share $ 45.59 $ 44.60 $ 41.62 Number of common shares outstanding 66,825,367 66,972,039 69,343,395 CATHAY GENERAL BANCORP CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) Three months ended Six months ended June 30, June 30, 2026 March 31, 2026 June 30, 2025 2026 2025 (In thousands, except share and per share data) Interest and Dividend Income Loan receivable, including loan fees $ 302,170 $ 298,935 $ 296,857 $ 601,105 $ 590,841 Investment securities 14,420 12,983 13,666 27,403 25,769 Federal Home Loan Bank stock 253 874 373 1,127 752 Deposits with banks 10,610 10,118 12,022 20,728 24,951 Total interest and dividend income 327,453 322,910 322,918 650,363 642,313 Interest Expense Time deposits 80,207 84,846 94,364 165,053 190,430 Other deposits 42,930 41,006 44,370 83,936 86,804 Advances from Federal Home Loan Bank 1,457 1,010 742 2,467 2,646 Long-term debt 1,841 1,829 2,029 3,670 4,049 Short-term borrowings 121 51 192 172 524 Total interest expense 126,556 128,742 141,697 255,298 284,453 Net interest income before provision for credit losses 200,897 194,168 181,221 395,065 357,860 Provision for credit losses 11,240 18,193 11,200 29,433 26,700 Net interest income after provision for credit losses 189,657 175,975 170,021 365,632 331,160 Non-Interest Income Net gains/(losses) from equity securities 11,652 17,316 (1,390 ) 28,968 (5,581 ) Impairment loss on investment securities — (15,685 ) — (15,685 ) — Net loss on sale of investment securities (10,554 ) — — (10,554 ) — Letters of credit commissions 2,331 2,406 2,120 4,737 4,211 Depository service fees 1,971 2,014 1,925 3,985 3,677 Wealth management fees 7,920 7,102 4,936 15,022 11,105 Other operating income 8,085 7,506 7,800 15,591 13,183 Total non-interest income 21,405 20,659 15,391 42,064 26,595 Non-Interest Expense Salaries and employee benefits 46,733 45,511 43,123 92,244 85,550 Occupancy expense 5,812 5,816 5,950 11,628 11,687 Computer and equipment expense 6,594 5,627 5,160 12,221 11,214 Professional services expense 7,438 7,782 8,888 15,220 16,336 Data processing service expense 3,651 4,015 4,631 7,666 9,037 FDIC and State assessments 2,992 2,447 3,177 5,439 6,576 Marketing expense 1,472 1,863 1,113 3,335 2,991 Other real estate owned expense/(income) 339 1,589 (377 ) 1,928 (133 ) Amortization of investments in low income housing and alternative energy partnerships 9,873 6,740 11,179 16,613 20,233 Amortization of core deposit intangibles 217 218 250 435 500 Other operating expense 7,195 5,072 6,040 12,267 10,799 Total non-interest expense 92,316 86,680 89,134 178,996 174,790 Income before income tax expense 118,746 109,954 96,278 228,700 182,965 Income tax expense 26,537 23,068 18,828 49,605 36,009 Net income $ 92,209 $ 86,886 $ 77,450 $ 179,095 $ 146,956 Net income per common share: Basic $ 1.38 $ 1.30 $ 1.11 $ 2.67 $ 2.09 Diluted $ 1.37 $ 1.29 $ 1.10 $ 2.66 $ 2.09 Cash dividends paid per common share $ 0.38 $ 0.38 $ 0.34 $ 0.76 $ 0.68 Basic average common shares outstanding 67,014,700 67,040,473 69,989,825 67,004,055 70,183,752 Diluted average common shares outstanding 67,304,846 67,387,657 70,188,902 67,322,562 70,432,916 CATHAY GENERAL BANCORP AVERAGE BALANCES – SELECTED CONSOLIDATED FINANCIAL INFORMATION (Unaudited) Three months ended (In thousands)(Unaudited) June 30, 2026 March 31, 2026 June 30, 2025 Average Balance Average Yield/Rate (1) Average Balance Average Yield/Rate (1) Average Balance Average Yield/Rate (1) Interest-earning assets: Loans (1) $ 20,297,364 5.97 % $ 20,163,694 6.01 % $ 19,489,400 6.11 % Taxable investment securities 1,704,008 3.39 % 1,670,914 3.15 % 1,622,309 3.38 % FHLB stock 17,250 5.87 % 17,250 20.56 % 17,250 8.65 % Deposits with banks 1,168,077 3.64 % 1,128,168 3.64 % 1,102,579 4.37 % Total interest-earning assets $ 23,186,699 5.66 % $ 22,980,026 5.70 % $ 22,231,538 5.83 % Interest-bearing liabilities: Interest-bearing demand deposits $ 2,493,275 1.48 % $ 2,341,354 1.43 % $ 2,133,874 1.71 % Money market deposits 3,734,347 3.02 % 3,670,457 3.00 % 3,464,685 3.44 % Savings deposits 1,511,915 1.49 % 1,514,129 1.51 % 1,343,043 1.67 % Time deposits 9,501,517 3.39 % 9,688,896 3.55 % 9,692,056 3.91 % Total interest-bearing deposits $ 17,241,054 2.86 % $ 17,214,836 2.96 % $ 16,633,658 3.35 % Other borrowed funds 174,147 3.63 % 128,265 3.35 % 103,059 3.63 % Long-term debt 119,136 6.20 % 119,136 6.23 % 119,136 6.83 % Total interest-bearing liabilities $ 17,534,337 2.89 % $ 17,462,237 2.99 % 16,855,853 3.37 % Non-interest-bearing demand deposits 3,454,633 3,352,409 3,331,433 Total deposits and other borrowed funds $ 20,988,970 $ 20,814,646 $ 20,187,286 Total average assets $ 24,269,814 $ 24,040,352 $ 23,349,928 Total average equity $ 3,029,993 $ 2,965,655 $ 2,898,960 Net interest spread 2.77 % 2.71 % 2.45 % Net interest margin 3.48 % 3.43 % 3.27 % (1) Yields and interest earned include net loan fees. Non-accrual loans are included in the average balance. Six months ended (In thousands)(Unaudited) June 30, 2026 June 30, 2025 Average Balance Average Yield/Rate (1) Average Balance Average Yield/Rate (1) Interest-earning assets: Loans (1) $ 20,230,401 5.99 % $ 19,411,434 6.14 % Taxable investment securities 1,687,553 3.27 % 1,540,471 3.37 % FHLB stock 17,250 13.17 % 17,250 8.79 % Deposits with banks 1,148,233 3.64 % 1,152,166 4.37 % Total interest-earning assets $ 23,083,437 5.68 % $ 22,121,321 5.86 % Interest-bearing liabilities: Interest-bearing demand deposits $ 2,417,734 1.46 % $ 2,138,034 1.69 % Money market deposits 3,702,578 3.01 % 3,423,716 3.43 % Savings deposits 1,513,016 1.50 % 1,316,483 1.62 % Time deposits 9,594,689 3.47 % 9,637,742 3.98 % Total interest-bearing deposits $ 17,228,017 2.91 % $ 16,515,975 3.38 % Other borrowed funds 151,333 3.52 % 158,731 4.03 % Long-term debt 119,136 6.21 % 119,136 6.85 % Total interest-bearing liabilities 17,498,486 2.94 % 16,793,842 3.42 % Non-interest-bearing demand deposits 3,403,804 3,318,364 Total deposits and other borrowed funds $ 20,902,290 $ 20,112,206 Total average assets $ 24,155,594 $ 23,269,350 Total average equity $ 2,997,861 $ 2,881,929 Net interest spread 2.74 % 2.44 % Net interest margin 3.45 % 3.26 % (1) Yields and interest earned include net loan fees. Non-accrual loans are included in the average balance. CATHAY GENERAL BANCORP GAAP to NON-GAAP RECONCILIATION SELECTED CONSOLIDATED FINANCIAL INFORMATION (Unaudited) The Company uses certain non-GAAP financial measures including tangible book value (“TBV”), tangible book value per share (“TBV/Share”), tangible assets, tangible common equity (“TCE”) ratio, the return on average tangible common stockholders’ equity (“ROATCE”), adjusted total revenue, adjusted non-interest expense, and the adjusted efficiency ratio. We believe these non-GAAP financial measures provide investors with information useful in understanding its financial position, results of operations, the strength of its capital position, and overall business performance. These non-GAAP financial measures are used for performance measurement purposes, as well as for internal planning and forecasting, and by securities analysts, investors, and other interested parties to assess peer company operating performance. These non-GAAP financial measures should not be considered a substitute for GAAP-basis financial measures. Because non-GAAP financial measures are not standardized, it may not be possible to compare these with other companies that present financial measures having the same or similar names. The Company strongly encourages investorst review its consolidated financial statements in their entirety and to not rely on any single financial measure. TBV represents stockholders’ equity less goodwill and other intangible assets. TBV/share represents TBV divided by the number of common shares outstanding at the end of the reporting period. The TCE ratio represents TBV divided by tangible assets. Tangible assets is equal to total assets less goodwill and other intangible assets. ROATCE is calculated using net income adjusted for the tax-effected amortization of intangible assets, as a percentage of average stockholders’ equity less average goodwill and other intangible assets. As of ($ In thousands, except share and per share data) June 30, 2026 March 31, 2026 June 30, 2025 (Unaudited) Stockholders' equity (a) $ 3,046,614 $ 2,986,648 $ 2,886,295 Less: Goodwill (375,696 ) (375,696 ) (375,696 ) Other intangible assets (1) (2,341 ) (2,450 ) (2,888 ) Tangible book value (b) $ 2,668,577 $ 2,608,502 $ 2,507,711 Total assets (c) $ 24,652,819 $ 24,048,630 $ 23,723,847 Less: Goodwill (375,696 ) (375,696 ) (375,696 ) Other intangible assets (1) (2,341 ) (2,450 ) (2,888 ) Tangible assets (d) $ 24,274,782 $ 23,670,484 $ 23,345,263 Average stockholders' equity $ 3,029,993 $ 2,965,655 $ 2,898,960 Less: Average goodwill and other intangible assets, net (378,072 ) (378,301 ) (378,709 ) Average tangible stockholders' equity (e) $ 2,651,921 $ 2,587,354 $ 2,520,251 Number of common shares outstanding (f) 66,825,367 66,972,039 69,343,395 Common equity to assets ratio g=(a)/(c) 12.36 % 12.42 % 12.17 % Tangible common equity ratio h=(b)/(d) 10.99 % 11.02 % 10.74 % Book value per share $ 45.59 $ 44.60 $ 41.62 Tangible book value per share i=(b)/(f) $ 39.93 $ 38.95 $ 36.16 Three Months Ended June 30, 2026 March 31, 2026 June 30, 2025 (Unaudited) Net Income $ 92,209 $ 86,886 $ 77,450 Add: Amortization of other intangibles (1) 278 223 285 Tax effect of amortization adjustments (2) (82 ) (66 ) (85 ) Tangible net income (j) $ 92,405 $ 87,043 $ 77,650 Return on average stockholders' equity (3) 12.21 % 11.88 % 10.72 % Return on average tangible common equity (3) k=(i)/(e) 13.98 % 13.64 % 12.36 % (1) Includes core deposit intangibles and servicing rights (2) Applied the statutory rate of 29.65%. (3) Annualized As of ($ In thousands, except share and per share data) June 30, 2026 June 30, 2025 (Unaudited) Stockholders' equity (a) $ 3,046,614 $ 2,886,295 Less: Goodwill (375,696 ) (375,696 ) Other intangible assets (1) (2,341 ) (2,888 ) Tangible book value (b) $ 2,668,577 $ 2,507,711 Total assets (c) $ 24,652,819 $ 23,723,847 Less: Goodwill (375,696 ) (375,696 ) Other intangible assets (1) (2,341 ) (2,888 ) Tangible assets (d) $ 24,274,782 $ 23,345,263 Average stockholders' equity $ 2,997,861 $ 2,881,929 Less: Average goodwill and other intangible assets, net (378,186 ) (378,825 ) Average tangible stockholders' equity (e) $ 2,619,675 $ 2,503,104 Number of common shares outstanding (f) 66,825,367 69,343,395 Common equity to assets ratio g=(a)/(c) 12.36 % 12.17 % Tangible common equity ratio h=(b)/(d) 10.99 % 10.74 % Book value per share $ 45.59 $ 41.62 Tangible book value per share i=(b)/(f) $ 39.93 $ 36.16 Six months ended June 30, 2026 June 30, 2025 Net Income $ 179,095 $ 146,956 Add: Amortization of other intangibles (1) 502 567 Tax effect of amortization adjustments (2) (149 ) (168 ) Tangible net income (j) $ 179,448 $ 147,355 Return on average stockholders' equity (3) 12.05 % 10.28 % Return on average tangible common equity (3) k=(i)/(e) 13.81 % 11.87 % (1) Includes core deposit intangibles and servicing rights (2) Applied the statutory rate of 29.65%. (3) Annualized Adjusted total revenue is calculated by adding net interest income before provision for credit losses and non-interest income excluding net gains and losses from equity and investment securities. Adjusted non-interest expense is non-interest expense excluding amortization of investments in low-income housing and alternative energy partnerships, other real estate owned expenses, amortization of core deposit intangibles and the FDIC special assessment. The Adjusted efficiency ratio is calculated by dividing the Company’s adjusted non‑interest expense by adjusted total revenue. It represents the costs expended to generate a dollar of revenue. The adjusted components exclude items that are non‑operational as well as the amortization of investments in low‑income housing partnerships and alternative energy partnerships. Although this amortization is operational in nature, it is removed to enhance comparability with peers that report these costs within income tax expense under proportional amortization accounting, which the Company has not yet adopted. Three months ended Six months ended ($ In thousands) (Unaudited) June 30, 2026 March 31, 2026 June 30, 2025 June 30, 2026 June 30, 2025 Net interest income before provision for credit losses a $ 200,897 $ 194,168 $ 181,221 $ 395,065 $ 357,860 Non-interest income $ 21,405 $ 20,659 $ 15,391 $ 42,064 $ 26,595 Adjustments: Net gains/(losses) from equity securities (11,652 ) (17,316 ) 1,390 (28,968 ) (5,581 ) Impairment loss on investment securities — 15,685 — 15,685 — Net loss on sale of investment securities 10,554 — — 10,554 — Adjusted non-interest income b $ 20,307 $ 19,028 $ 16,781 $ 39,335 $ 21,014 Adjusted total revenue c=a+b $ 221,204 $ 213,196 $ 198,002 $ 434,400 $ 378,874 Non-interest expense d $ 92,316 $ 86,680 $ 89,134 $ 178,996 $ 174,790 Adjustments: Amortization of investments in low income housing (9,748 ) (6,625 ) (10,950 ) (16,373 ) (19,673 ) Amortization of investments in alternative energy partnerships (125 ) (115 ) (229 ) (240 ) (560 ) Other real estate owned (339 ) (1,589 ) 377 (1,928 ) 133 Amortization of core deposit intangible (217 ) (218 ) (250 ) (435 ) (500 ) FDIC special assessment — 584 (139 ) 584 (139 ) Adjusted non-interest expense e $ 81,887 $ 78,717 $ 77,943 $ 160,604 $ 154,051 Efficiency ratio 41.5 % 40.4 % 45.3 % 41.0 % 45.5 % Adjusted efficiency ratio f=e/c 37.0 % 36.9 % 39.4 % 37.0 % 40.7 %