OPBK 8-K
OP Bancorp (OPBK)
8-K
2026-04-23
For: 2026-04-23
View Original
Added on
April 23, 2026
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
____________________________________
FORM 8-K
____________________________________
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): April 23, 2026
____________________________________
(Exact name of registrant as specified in its charter)
____________________________________
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||||||
| (Address of principal executive offices) | (Zip Code) | |||||||
Registrant’s telephone number, including area code: (213 ) 892-9999
Not Applicable
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (See General Instruction A.2 below):
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act ☐
Item 2.02 Results of Operations and Financial Condition
On April 23, 2026, OP Bancorp, (the “Company”), the holding company for Open Bank, issued its press release announcing preliminary unaudited financial results for the first quarter ended March 31, 2026. A copy of the press release is attached as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference in this Item 2.02.
The information in this Current Report set forth under this Item 2.02, including exhibit 99.1 hereto, is furnished hereunder and shall not be treated as “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (“Exchange Act”), nor shall it be deemed incorporated by reference into any registration statement or other filing pursuant to the Securities Act of 1933, as amended (the “Securities Act”), or the Exchange Act, except as expressly stated by specific reference in such filing.
Item 7.01 Regulation FD
On April 23, 2026, the registrant disclosed a presentation containing certain summary financial information that may be used in discussions with investors and analysts. That presentation is furnished herewith as Exhibit 99.3. The presentation shall not be treated as “filed” for purposes of Section 18 of the Exchange Act, nor shall it be deemed incorporated by reference into any registration statement or other filing pursuant to the Exchange Act or the Securities Act, except as expressly set forth in any such filing.
Item 8.01. Other Events
On April 23, 2026, the Company announced that its Board of Directors declared a quarterly cash dividend of $0.14 per share on its common stock, payable on May 21, 2026, to shareholders of record as of May 7, 2026. The Company issued a press release describing the dividend on April 23, 2026, which is attached hereto as Exhibit 99.2 and incorporated herein by reference.
The information set forth in this Item 8.01, including the information in the accompanying press release, is furnished hereunder and shall not be treated as “filed” for purposes of Section 18 of the Exchange Act, nor shall it be deemed incorporated by reference into any registration statement or other filing pursuant to the Exchange Act or the Securities Act, except as expressly set forth in any such filing.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits.
| Exhibit Number | Exhibit Description | |||||||
| 99.1 | ||||||||
| 99.2 | ||||||||
| 99.3 | ||||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
2
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
| OP Bancorp | ||||||||
Date: April 23, 2026 | By: | /s/ Jaehyun Park | ||||||
| Jaehyun Park | ||||||||
| Executive Vice President and | ||||||||
| Chief Financial Officer | ||||||||
3
 | News Release | ||||
OP Bancorp Reports First Quarter 2026 Net Income of $7.2 Million, Diluted EPS of $0.48 | |||||
| compared with Fourth quarter 2025 net income of $7.0 million, diluted EPS of $0.47, | |||||
| and first quarter 2025 net income of $5.6 million, diluted EPS of $0.37 | |||||
| Higher revenue; improved operating efficiency | |||||
Los Angeles, CA (April 23, 2026) — OP Bancorp (the “Company”) (NASDAQ: OPBK), parent company of Open Bank, today reported:
| ($ in thousands, except per share data) | As of and For the Quarter | First Quarter Highlights | ||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | Comparisons reflect 1Q26 vs. 4Q25 | |||||||||||||||||||||||
| Income Statement: | Income Statement | |||||||||||||||||||||||||
| Net interest income | $ | 20,523 | $ | 20,863 | $ | 17,418 | • Revenue continued to grow. •Net income increased 3%, benefiting from higher revenue and reductions in both provision and noninterest expenses. •Diluted EPS improved modestly by $0.01. | |||||||||||||||||||
| Noninterest income | 4,032 | 3,418 | 4,816 | |||||||||||||||||||||||
| Revenue | 24,555 | 24,281 | 22,234 | |||||||||||||||||||||||
| Provision for credit losses | 412 | 463 | 736 | |||||||||||||||||||||||
| Noninterest expense | 14,233 | 14,293 | 13,814 | |||||||||||||||||||||||
| Net income | $ | 7,234 | $ | 7,038 | $ | 5,560 | ||||||||||||||||||||
| Diluted Earnings Per Share (“EPS”) | $ | 0.48 | $ | 0.47 | $ | 0.37 | ||||||||||||||||||||
Net interest margin (1) | 3.19 | % | 3.25 | % | 3.01 | % | ||||||||||||||||||||
Efficiency ratio (2) | 57.97 | 58.87 | 62.13 | |||||||||||||||||||||||
| Balance Sheet: | Balance Sheet | |||||||||||||||||||||||||
Average loans (3) | $ | 2,226,749 | $ | 2,204,232 | $ | 2,005,044 | •Average loans increased 1%. •Average deposits increased 2%. | |||||||||||||||||||
| Average deposits | 2,300,455 | 2,264,990 | 2,083,890 | |||||||||||||||||||||||
| Credit Quality: | Credit Quality | |||||||||||||||||||||||||
Net (recoveries) charge-offs (1) to average gross loans | (0.01) | % | (0.03) | % | 0.02 | % | •Net charge-offs remained at a low level. | |||||||||||||||||||
| Allowance for credit losses on loans to gross loans | 1.27 | 1.28 | 1.24 | •Allowance for credit losses to gross loans remained stable. | ||||||||||||||||||||||
| Selected Ratios: | Performance and Capital | |||||||||||||||||||||||||
| Book value per share | $ | 15.62 | $ | 15.31 | $ | 14.09 | •Book value per share continued to rise, reflecting the Company’s growing net worth. | |||||||||||||||||||
Return on average assets ("ROAA") (1) | 1.08 | % | 1.07 | % | 0.92 | % | •ROAA, ROAE and stockholders’ equity to asset ratios improved, reflecting stable profitability and more efficient utilization of assets and equity. | |||||||||||||||||||
Return on average equity ("ROAE") (1) | 12.56 | 12.53 | 10.73 | |||||||||||||||||||||||
| Stockholders' equity to asset ratio | 8.62 | 8.60 | 8.36 | |||||||||||||||||||||||
| Common equity tier 1 capital (“CET1”) | 10.82 | 10.93 | 10.97 | •CET1 remained robust, reflecting a solid capital position. | ||||||||||||||||||||||
(1)Annualized.
(2)Represents noninterest expense divided by the sum of net interest income and noninterest income.
(3)Includes loans held-for-sale.
1
Sang K. Oh, President and Chief Executive Officer:
“We continued to deliver strong results that highlight the strength and resilience of our Company. Revenue grew steadily, supported by continued loan and deposit growth, along with higher noninterest income from increased gains on loan sales. Our disciplined expense management further enhanced performance, and overall credit quality remained sound and manageable with low net charge-offs. With a solid capital base, we are well-positioned for sustainable growth as we move into 2026,” said Sang K. Oh, President and Chief Executive Officer.
2
INCOME STATEMENT HIGHLIGHTS
Net Interest Income and Net Interest Margin
| ($ in thousands) | For the Three Months Ended | % Change 1Q2026 vs. | ||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||
| Interest Income | ||||||||||||||||||||||||||||||||
| Interest income | $ | 38,537 | $ | 39,282 | $ | 34,859 | (2) | % | 11 | % | ||||||||||||||||||||||
| Interest expense | 18,014 | 18,419 | 17,441 | (2) | 3 | |||||||||||||||||||||||||||
| Net interest income | $ | 20,523 | $ | 20,863 | $ | 17,418 | (2) | % | 18 | % | ||||||||||||||||||||||
| ($ in thousands) | For the Three Months Ended | Average Yield/Rate Change 1Q2026 vs. | ||||||||||||||||||||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Interest Income/Expense | Average Yield/Rate(1) | Interest Income/Expense | Average Yield/Rate(1) | Interest Income/Expense | Average Yield/Rate(1) | 4Q2025 | 1Q2025 | |||||||||||||||||||||||||||||||||||||||||||
| Interest-earning Assets: | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Loans | $ | 34,879 | 6.33 | % | $ | 35,921 | 6.48 | % | $ | 31,689 | 6.39 | % | (15) bps | (6) bps | ||||||||||||||||||||||||||||||||||||
| Total interest-earning assets | 38,537 | 6.00 | 39,282 | 6.11 | 34,859 | 6.04 | (11) bps | (4) bps | ||||||||||||||||||||||||||||||||||||||||||
| Interest-bearing Liabilities: | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Interest-bearing deposits | 16,845 | 3.83 | 17,324 | 3.97 | 16,608 | 4.31 | (14) bps | (48) bps | ||||||||||||||||||||||||||||||||||||||||||
| Total interest-bearing liabilities | 18,014 | 3.88 | 18,419 | 3.99 | 17,441 | 4.31 | (11) bps | (43) bps | ||||||||||||||||||||||||||||||||||||||||||
| Ratios: | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Net interest income / interest rate spreads | 20,523 | 2.12 | 20,863 | 2.12 | 17,418 | 1.73 | — bps | 39 bps | ||||||||||||||||||||||||||||||||||||||||||
| Net interest margin | 3.19 | 3.25 | 3.01 | (6) bps | 18 bps | |||||||||||||||||||||||||||||||||||||||||||||
| Total deposits / cost of deposits | 16,845 | 2.97 | 17,324 | 3.03 | 16,608 | 3.23 | (6) bps | (26) bps | ||||||||||||||||||||||||||||||||||||||||||
| Total funding liabilities / cost of funds | 18,014 | 3.04 | 18,419 | 3.09 | 17,441 | 3.27 | (5) bps | (23) bps | ||||||||||||||||||||||||||||||||||||||||||
(1)Annualized.
3
| ($ in thousands) | For the Three Months Ended | Average Yield Change 1Q2026 vs. | ||||||||||||||||||||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Interest Income | Average Yield(1) | Interest Income | Average Yield(1) | Interest Income | Average Yield(1) | 4Q2025 | 1Q2025 | |||||||||||||||||||||||||||||||||||||||||||
| Loan Yield Component: | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Contractual interest rate | $ | 34,254 | 6.22 | % | $ | 35,010 | 6.31 | % | $ | 31,323 | 6.32 | % | (9) bps | (10) bps | ||||||||||||||||||||||||||||||||||||
Accretion of SBA loan discount(2) | 815 | 0.15 | 966 | 0.17 | 683 | 0.14 | (2) bps | 1 bps | ||||||||||||||||||||||||||||||||||||||||||
| Amortization of net deferred fees | 127 | 0.02 | (17) | (0.00 | ) | (106) | (0.02) | 2 bps | 4 bps | |||||||||||||||||||||||||||||||||||||||||
| Amortization of premium | (312) | (0.06) | (301) | (0.05) | (329) | (0.07) | (1) bps | 1 bps | ||||||||||||||||||||||||||||||||||||||||||
| Amortization of premium - Home mortgage payoffs | (186) | (0.03) | (123) | (0.02) | (162) | (0.03) | (1) bps | — bps | ||||||||||||||||||||||||||||||||||||||||||
| Net interest recognized on nonaccrual loans | (94) | (0.02) | 105 | 0.02 | 132 | 0.02 | (4) bps | (4) bps | ||||||||||||||||||||||||||||||||||||||||||
Prepayment penalty income and other fees(3) | 275 | 0.05 | 281 | 0.05 | 148 | 0.03 | — bps | 2 bps | ||||||||||||||||||||||||||||||||||||||||||
| Yield on loans | $ | 34,879 | 6.33 | % | $ | 35,921 | 6.48 | % | $ | 31,689 | 6.39 | % | (15) bps | (6) bps | ||||||||||||||||||||||||||||||||||||
(1)Annualized.
(2)Includes discount accretion from SBA loan payoffs of $370 thousand, $505 thousand and $193 thousand for the three months ended March 31, 2026, December 31, 2025 and March 31, 2025, respectively.
(3)Includes prepayment penalty income of $98 thousand, $145 thousand and $67 thousand for the three months ended March 31, 2026, December 31, 2025 and March 31, 2025, respectively, from Commercial Real Estate (“CRE”) and SBA loans.
First Quarter 2026 vs. Fourth Quarter 2025
Net interest income declined by $340 thousand, or 2%, primarily due to lower loan yields and two fewer accrual days, partially offset by balance-sheet growth and a special dividend on FHLB stock. As a result, the net interest margin contracted by 6 basis point to 3.19%.
◦Loans: Interest income decreased by $1.0 million, driven largely by a 15-basis-point decline in loan yields and two fewer accrual days, partially offset by a $22.5 million increase in average loan balances. The lower yield reflects the downward repricing of adjustable-rate loans and reduced rates on new originations following last year’s federal funds rate cuts. In addition, higher interest income reversals related to loans moving to nonaccrual status compared to the prior quarter further contributed to the decline in loan yields.
◦Deposits: Interest expense decreased by $479 thousand, primarily due to a 14-basis-point reduction in interest-bearing deposit costs and two fewer accrual days. This decrease was partially offset by a $51.4 million increase in average interest-bearing deposit balances.
◦Other investments: Interest income increased by $250 thousand, mainly due to a special dividend received on FHLB stock.
4
First Quarter 2026 vs. First Quarter 2025
Net interest income increased by $3.1 million, or 18%, driven primarily by balance-sheet growth and lower deposit rates. As a result, the net interest margin expanded by 18 basis points to 3.19%.
◦Loans: Interest income rose by $3.2 million, largely attributable to a $221.7 million increase in average loan balances, reflecting strong loan production and portfolio growth.
◦Deposits: Interest expense increased by $237 thousand, mainly due to a $221.9 million increase in average interest-bearing deposit balances. This increase was mostly offset by a 48-basis-point reduction in interest-bearing deposit costs, driven by the repricing of time deposits following the federal funds rate cuts.
Provision for Credit Losses
| ($ in thousands) | For the Three Months Ended | $ Change 1Q2026 vs. | ||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||
| Provision for credit losses on loans | $ | 400 | $ | 518 | $ | 687 | $ | (118) | $ | (287) | ||||||||||||||||||||||
| Reversal of credit losses on off-balance sheet exposure | 12 | (55) | 49 | 67 | (37) | |||||||||||||||||||||||||||
| Provision for credit losses | $ | 412 | $ | 463 | $ | 736 | $ | (51) | $ | (324) | ||||||||||||||||||||||
First Quarter 2026 vs. Fourth Quarter 2025
Provision for credit losses on loans decreased modestly by $118 thousand, primarily reflecting lower quantitative reserves driven by changes in portfolio conditions, partially offset by higher specific reserves related to increased nonaccrual CRE loans.
First Quarter 2026 vs. First Quarter 2025
Provision for credit losses on loans decreased by $287 thousand, primarily due to lower qualitative reserves resulting from shifts in portfolio characteristics, partially offset by the higher specific reserves associated with additional nonaccrual CRE loans.
5
Noninterest Income
| ($ in thousands) | For the Three Months Ended | % Change 1Q2026 vs. | ||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||
| Noninterest Income | ||||||||||||||||||||||||||||||||
| Service charges on deposits | $ | 463 | $ | 462 | $ | 1,000 | 0 | % | (54) | % | ||||||||||||||||||||||
| Loan servicing fees, net of amortization | 722 | 650 | 1,007 | 11 | (28) | |||||||||||||||||||||||||||
| Gains on sale of loans | 2,050 | 1,573 | 2,019 | 30 | 2 | |||||||||||||||||||||||||||
| Other income | 797 | 733 | 790 | 9 | 1 | |||||||||||||||||||||||||||
| Total noninterest income | $ | 4,032 | $ | 3,418 | $ | 4,816 | 18 | % | (16) | % | ||||||||||||||||||||||
First Quarter 2026 vs. Fourth Quarter 2025
Noninterest income increased by $614 thousand, or 18%, primarily driven by higher gains on sale of loans.
◦Gains on Sale of Loans: Increased by $477 thousand, driven by higher premium rates and stronger SBA loan sale activity. The Bank sold $32.2 million in SBA loans at an average premium rate of 8.27%, compared with $28.5 million sold at an average premium rate of 6.98% in the prior period.
First Quarter 2026 vs. First Quarter 2025
Noninterest income decreased by $784 thousand, or 16%, primarily due to lower service charges on deposits and reduced loan servicing fees.
◦Service Charges on Deposits: Decreased by $537 thousand, largely reflecting lower balances in existing business analysis accounts and closure of certain currency exchange-related accounts during the third quarter of 2025.
◦Loan Servicing Fees, net of amortization: Decreased by $285 thousand, mainly due to higher amortization of servicing assets, driven by elevated payoff activity within the servicing portfolio.
6
Noninterest Expense
| ($ in thousands) | For the Three Months Ended | % Change 1Q2026 vs. | ||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||
| Noninterest Expense | ||||||||||||||||||||||||||||||||
| Salaries and employee benefits | $ | 9,276 | $ | 9,244 | $ | 8,776 | 0 | % | 6 | % | ||||||||||||||||||||||
| Occupancy and equipment | 1,811 | 1,919 | 1,581 | (6) | 15 | |||||||||||||||||||||||||||
| Data processing and communication | 411 | 591 | 296 | (30) | 39 | |||||||||||||||||||||||||||
| Professional fees | 399 | 549 | 407 | (27) | (2) | |||||||||||||||||||||||||||
| FDIC insurance and regulatory assessments | 418 | 362 | 487 | 15 | (14) | |||||||||||||||||||||||||||
| Promotion and advertising | 120 | (9) | 156 | NM | (23) | |||||||||||||||||||||||||||
| Directors’ fees | 144 | 148 | 180 | (3) | (20) | |||||||||||||||||||||||||||
| Foundation donation and other contributions | 725 | 707 | 556 | 3 | 30 | |||||||||||||||||||||||||||
| Other expenses | 929 | 782 | 1,375 | 19 | (32) | |||||||||||||||||||||||||||
| Total noninterest expense | $ | 14,233 | $ | 14,293 | $ | 13,814 | 0 | % | 3 | % | ||||||||||||||||||||||
NM — Not meaningful
First Quarter 2026 vs. Fourth Quarter 2025
Noninterest expense remained stable, with no meaningful change from the prior period.
First Quarter 2026 vs. First Quarter 2025
Noninterest expense increased by $419 thousand, or 3%, primarily due to higher salaries and employee benefits, and increased occupancy and equipment, partially offset by lower other expenses.
◦Salaries and Employee Benefits: Increased by $500 thousand, mainly driven by staffing growth, annual salary adjustments effective April 2025, and higher benefits costs, including health insurance. This increase was partially offset by lower incentive accruals.
◦Occupancy and equipment: Increased by $230 thousand, primarily due to the expiration of a common-area-maintenance concession on a lease that benefited the prior period.
◦Other expenses: Decreased by $446 thousand, primarily reflecting lower business development and credit-related expenses.
Income Tax Expense
First Quarter 2026 vs. Fourth Quarter 2025
Income tax expense increased by $189 thousand to $2.7 million, with the effective tax rate rising to 27.0% from 26.1%.
First Quarter 2026 vs. First Quarter 2025
Income tax expense increased by $552 thousand to $2.7 million, with the effective tax rate declining to 27.0% from 27.6%. The increase in income tax expense was primarily attributable to higher pre-tax income.
7
BALANCE SHEET HIGHLIGHTS
Loans
| ($ in thousands) | As of | % Change 1Q2026 vs. | ||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||
| CRE | $ | 1,173,366 | $ | 1,132,223 | $ | 1,023,278 | 4 | % | 15 | % | ||||||||||||||||||||||
| SBA | 284,182 | 264,523 | 258,778 | 7 | 10 | |||||||||||||||||||||||||||
| C&I | 219,367 | 221,270 | 202,250 | (1) | 8 | |||||||||||||||||||||||||||
| Home mortgage | 556,952 | 574,300 | 559,543 | (3) | 0 | |||||||||||||||||||||||||||
| Consumer & other | 392 | 1,353 | 36 | (71) | 989 | |||||||||||||||||||||||||||
| Gross loans | $ | 2,234,259 | $ | 2,193,669 | $ | 2,043,885 | 2 | % | 9 | % | ||||||||||||||||||||||
The following table presents loan originations and the corresponding weighted average contractual rates for the periods indicated:
| ($ in thousands) | For the Three Months Ended | % Change in Amounts 1Q2026 vs. | ||||||||||||||||||||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||||||||||||||||||||
| Amount | Rate | Amount | Rate | Amount | Rate | |||||||||||||||||||||||||||||||||||||||||||||
| CRE | $ | 83,333 | 6.48 | % | $ | 75,750 | 6.60 | % | $ | 69,889 | 7.03 | % | 10 | % | 19 | % | ||||||||||||||||||||||||||||||||||
SBA | 33,528 | 7.99 | 26,748 | 8.52 | 18,206 | 8.81 | 25 | 84 | ||||||||||||||||||||||||||||||||||||||||||
| C&I | 8,489 | 7.00 | 6,870 | 6.57 | 506 | 8.18 | 24 | 1578 | ||||||||||||||||||||||||||||||||||||||||||
| Home mortgage | 7,059 | 6.03 | 7,020 | 6.45 | 74,004 | 6.42 | 1 | (90) | ||||||||||||||||||||||||||||||||||||||||||
| Consumer and other | — | — | — | — | 40 | 6.05 | — | (100) | ||||||||||||||||||||||||||||||||||||||||||
Gross loans (1) | $ | 132,409 | 6.87 | % | $ | 116,388 | 7.03 | % | $ | 162,645 | 6.95 | % | 14 | % | (19) | % | ||||||||||||||||||||||||||||||||||
(1)Excludes changes in line utilization.
The following table summarizes the loan activity for the periods indicated:
| ($ in thousands) | For the Three Months Ended | |||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | ||||||||||||||||||
| Beginning Balance | $ | 2,193,669 | $ | 2,151,217 | $ | 1,956,852 | ||||||||||||||
| Originations | 132,409 | 116,388 | 162,645 | |||||||||||||||||
| Net change in line utilization | 28,712 | 34,191 | 12,841 | |||||||||||||||||
| Purchases | — | 1,014 | 12,028 | |||||||||||||||||
| Sales | (29,438) | (28,549) | (36,086) | |||||||||||||||||
| Payoffs & paydowns | (98,703) | (82,365) | (65,621) | |||||||||||||||||
| Other | 7,610 | 1,773 | 1,226 | |||||||||||||||||
| Total | 40,590 | 42,452 | 87,033 | |||||||||||||||||
| Ending balance | $ | 2,234,259 | $ | 2,193,669 | $ | 2,043,885 | ||||||||||||||
8
The following table presents the composition of gross loans by interest rate type accompanied with the weighted average contractual rates as of the periods indicated:
| ($ in thousands) | As of | |||||||||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||||||||||
| % | Rate | % | Rate | % | Rate | |||||||||||||||||||||||||||||||||
| Fixed rate | 29 | % | 5.70 | % | 31 | % | 5.65 | % | 33 | % | 5.53 | % | ||||||||||||||||||||||||||
| Hybrid rate | 40 | 6.00 | 40 | 5.93 | 37 | 5.71 | ||||||||||||||||||||||||||||||||
| Variable rate | 31 | 6.86 | 29 | 7.22 | 30 | 7.86 | ||||||||||||||||||||||||||||||||
| Gross loans | 100 | % | 6.18 | % | 100 | % | 6.22 | % | 100 | % | 6.29 | % | ||||||||||||||||||||||||||
The following table presents the maturity of gross loans by interest rate type accompanied with the weighted average contractual rates for the periods indicated:
| ($ in thousands) | As of March 31, 2026 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Within One Year | One Year Through Five Years | After Five Years | Total | |||||||||||||||||||||||||||||||||||||||||||||||
| Amount | Rate | Amount | Rate | Amount | Rate | Amount | Rate | |||||||||||||||||||||||||||||||||||||||||||
| Fixed rate | $ | 183,123 | 5.72 | % | $ | 282,353 | 6.26 | % | $ | 182,259 | 4.82 | % | $ | 647,735 | 5.70 | % | ||||||||||||||||||||||||||||||||||
| Hybrid rate | — | — | 189,039 | 4.94 | 712,525 | 6.28 | 901,564 | 6.00 | ||||||||||||||||||||||||||||||||||||||||||
| Variable rate | 108,892 | 7.00 | 197,491 | 6.78 | 378,577 | 6.87 | 684,960 | 6.86 | ||||||||||||||||||||||||||||||||||||||||||
| Gross loans | $ | 292,015 | 6.20 | % | $ | 668,883 | 6.04 | % | $ | 1,273,361 | 6.25 | % | $ | 2,234,259 | 6.18 | % | ||||||||||||||||||||||||||||||||||
Allowance for Credit Losses
The following table summarizes the activity in the allowance for credit losses for the periods presented:
| ($ in thousands) | As of and For the Three Months Ended | $ Change 1Q2026 vs. | ||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||
| Allowance for credit losses on loans, beginning | $ | 27,975 | $ | 27,299 | $ | 24,796 | $ | 676 | $ | 3,179 | ||||||||||||||||||||||
Provision for credit losses on loans | 400 | 518 | 687 | (118) | (287) | |||||||||||||||||||||||||||
| Gross charge-offs | (31) | — | (130) | (31) | 99 | |||||||||||||||||||||||||||
| Gross recoveries | 62 | 158 | 15 | (96) | 47 | |||||||||||||||||||||||||||
| Net recoveries (charge-offs) | 31 | 158 | (115) | (127) | 146 | |||||||||||||||||||||||||||
Allowance for credit losses on loans, ending | $ | 28,406 | $ | 27,975 | $ | 25,368 | $ | 431 | $ | 3,038 | ||||||||||||||||||||||
| Allowance for credit losses on off-balance sheet exposure, beginning | $ | 274 | $ | 329 | $ | 360 | $ | (55) | $ | (86) | ||||||||||||||||||||||
Provision for (reversal of) credit losses on off-balance sheet exposure | 12 | (55) | 49 | 67 | (37) | |||||||||||||||||||||||||||
Allowance for credit losses on off-balance sheet exposure, ending | $ | 286 | $ | 274 | $ | 409 | $ | 12 | $ | (123) | ||||||||||||||||||||||
9
Asset Quality
| ($ in thousands) | As of and For the Three Months Ended | % or Basis Point Change 1Q2026 vs. | ||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||
Accruing loans 30-89 days past due (1) | $ | 9,311 | $ | 6,292 | $ | 6,452 | 48 | % | 44 | % | ||||||||||||||||||||||
| As a % of gross loans | 0.42 | % | 0.29 | % | 0.32 | % | 13 bps | 10 bps | ||||||||||||||||||||||||
Nonperforming loans (2) | $ | 18,297 | $ | 14,071 | $ | 10,412 | 30 | % | 76 | % | ||||||||||||||||||||||
Nonperforming assets (2) | 18,297 | 14,071 | 11,649 | 30 | 57 | |||||||||||||||||||||||||||
| Nonperforming loans to gross loans | 0.82 | % | 0.64 | % | 0.51 | % | 18 bps | 31 bps | ||||||||||||||||||||||||
| Nonperforming assets to total assets | 0.68 | 0.53 | 0.46 | 15 bps | 22 bps | |||||||||||||||||||||||||||
Criticized loans (3)(4) | $ | 33,235 | $ | 32,060 | $ | 23,055 | 3.7 | % | 44.2 | % | ||||||||||||||||||||||
| Criticized loans to gross loans | 1.49 | % | 1.46 | % | 1.13 | % | 3 bps | 36 bps | ||||||||||||||||||||||||
| Allowance for credit losses ratios: | ||||||||||||||||||||||||||||||||
| As a % of gross loans | 1.27 | % | 1.28 | % | 1.24 | % | (1) bps | 3 bps | ||||||||||||||||||||||||
| As a % of nonperforming loans | 155 | 199 | 244 | (44) | % | (89) | % | |||||||||||||||||||||||||
| As a % of nonperforming assets | 155 | 199 | 218 | (44) | (63) | |||||||||||||||||||||||||||
| As a % of criticized loans | 85 | 87 | 110 | (2) | (25) | |||||||||||||||||||||||||||
Net (recoveries) charge-offs (5) to average gross loans | (0.01) | (0.03) | 0.02 | 2 bps | (3) bps | |||||||||||||||||||||||||||
(1)Excludes the guaranteed portion of loans totaling $947 thousand and $3.2 million as of March 31, 2026 and December 31, 2025, respectively. There were no guaranteed portion as of March 31, 2025.
(2)Excludes the guaranteed portion of loans totaling $30.8 million, $20.9 million and $14.3 million as of March 31, 2026, December 31, 2025 and March 31, 2025, respectively.
(3)Excludes the guaranteed portion of loans totaling $35.9 million, $27.3 million and $17.2 million as of March 31, 2026, December 31, 2025 and March 31, 2025, respectively.
(4)Consists of special mention, substandard, doubtful and loss categories.
(5)Annualized.
Credit quality remained manageable during the period. The increase in nonperforming loans was primarily driven by a single isolated relationship, while overall credit performance continued to be stable. The allowance for credit losses on loans remained adequate at 1.27% of gross loans.
◦Accruing loans 30-89 days past-due increased by $3.0 million, primarily driven by $6.8 million inflows into this category, mainly SBA loans. This increase was partially offset by $2.3 million of SBA loans moving to nonaccrual status and $1.5 million returning to the 29-days-or-less past-due category.
◦Nonperforming loans increased by $4.2 million, primarily driven by a single $4.1 million CRE relationship that migrated to nonaccrual. This loan is currently in active resolution and is expected to be fully paid off by the second quarter of 2026.
◦Criticized loans increased by $1.2 million, primarily attributable to $2.9 million in loan downgrades. This increase was partially offset by an $872 thousand SBA note sale and $589 thousand in home mortgage loan payoffs.
10
Deposits
| ($ in thousands) | As of | % Change 1Q2026 vs. | ||||||||||||||||||||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Amount | % | Amount | % | Amount | % | 4Q2025 | 1Q2025 | |||||||||||||||||||||||||||||||||||||||||||
| Noninterest-bearing deposits | $ | 546,550 | 24 | % | $ | 520,865 | 23 | % | $ | 552,797 | 25 | % | 5 | % | (1) | % | ||||||||||||||||||||||||||||||||||
| Money market deposits and others | 398,756 | 17 | 388,066 | 17 | 385,080 | 18 | 3 | 4 | ||||||||||||||||||||||||||||||||||||||||||
| Time deposits | 1,381,988 | 59 | 1,371,616 | 60 | 1,251,994 | 57 | 1 | 10 | ||||||||||||||||||||||||||||||||||||||||||
| Total deposits | $ | 2,327,294 | 100 | % | $ | 2,280,547 | 100 | % | $ | 2,189,871 | 100 | % | 2 | % | 6 | % | ||||||||||||||||||||||||||||||||||
| Estimated uninsured deposits | $ | 1,154,625 | 50 | % | $ | 1,093,843 | 48 | % | $ | 1,072,753 | 49 | % | 6 | % | 8 | % | ||||||||||||||||||||||||||||||||||
As of March 31, 2026 vs. December 31, 2025
Total deposits increased by $46.7 million or 2%, reflecting growth across all major deposit categories. The growth in noninterest-bearing deposits reflects both new account openings and higher balances from existing customers. The increase in money market deposits and others was primarily due to higher balances from existing customers. Time deposit growth was largely attributable to new retail customers opening accounts, partially offset by a decline in wholesale CD balances.
As of March 31, 2026 vs. March 31, 2025
Total deposits increased by $137.4 million or 6%, primarily driven by growth of $130.0 million in time deposits. The increase in time deposits was largely due to new customers opening CD accounts, reflecting a preference for higher-yielding products.
The following table sets forth the maturity of time deposits as of March 31, 2026:
| As of March 31, 2026 | ||||||||||||||||||||||||||||||||||||||
| ($ in thousands) | Within Three Months | Three to Six Months | Six to Nine Months | Nine to Twelve Months | After Twelve Months | Total | ||||||||||||||||||||||||||||||||
| Time deposits (greater than $250) | $ | 159,075 | $ | 286,942 | $ | 157,995 | $ | 138,438 | $ | 703 | $ | 743,153 | ||||||||||||||||||||||||||
| Time deposits ($250 or less) | 303,647 | 159,114 | 99,555 | 74,733 | 1,786 | 638,835 | ||||||||||||||||||||||||||||||||
| Total time deposits | $ | 462,722 | $ | 446,056 | $ | 257,550 | $ | 213,171 | $ | 2,489 | $ | 1,381,988 | ||||||||||||||||||||||||||
| Weighted average rate | 3.99 | % | 3.92 | % | 4.01 | % | 3.78 | % | 1.86 | % | 3.94 | % | ||||||||||||||||||||||||||
11
OTHER HIGHLIGHTS
Liquidity
The Company maintains ample access to liquidity, including highly liquid assets on our balance sheet and available unused borrowings from other financial institutions, including the Federal Reserve. The following table presents the Company's liquid assets and available borrowings as of dates presented:
| ($ in thousands) | 1Q2026 | 4Q2025 | 1Q2025 | |||||||||||||||||
| Liquidity Assets: | ||||||||||||||||||||
| Cash and cash equivalents | $ | 160,260 | $ | 167,311 | $ | 198,861 | ||||||||||||||
| Available-for-sale ("AFS") debt securities | 209,006 | 192,785 | 182,480 | |||||||||||||||||
| Liquid assets | $ | 369,266 | $ | 360,096 | $ | 381,341 | ||||||||||||||
| Liquid assets to total assets | 14 | % | 14 | % | 15 | % | ||||||||||||||
| Available Borrowings: | ||||||||||||||||||||
| Federal Home Loan Bank ("FHLB") —San Francisco | $ | 417,723 | $ | 443,629 | $ | 381,456 | ||||||||||||||
| Federal Reserve Bank | 204,140 | 208,859 | 217,563 | |||||||||||||||||
| Pacific Coast Bankers Bank | 50,000 | 50,000 | 50,000 | |||||||||||||||||
| Zions Bank | 25,000 | 25,000 | 25,000 | |||||||||||||||||
| First Horizon Bank | 25,000 | 25,000 | 25,000 | |||||||||||||||||
| Total available borrowings | $ | 721,863 | $ | 752,488 | $ | 699,019 | ||||||||||||||
| Total available borrowings to total assets | 27 | % | 28 | % | 28 | % | ||||||||||||||
| Liquid assets and available borrowings to total deposits | 47 | % | 49 | % | 49 | % | ||||||||||||||
Capital and Capital Ratios
On April 23, 2026, the Company’s Board of Directors declared a quarterly cash dividend of $0.14 per share, representing a 17% increase from the prior quarterly dividend of $0.12 per share, on its common stock. The dividend is payable on or about May 21, 2026, to shareholders of record as of the close of business on May 7, 2026. The principal source of funds from which the Company pays dividends are the dividends received from the Bank. During the first quarter of 2026, no shares were repurchased under the repurchase program approved in August 2025.
OP Bancorp(1) | Open Bank | Well- Capitalized Requirement | Minimum Capital Ratio+ Conservation Buffer(2) | |||||||||||||||||||||||
Risk-Based Capital Ratios (3): | ||||||||||||||||||||||||||
| Total capital | 13.17 | % | 13.18 | % | 10.00 | % | 10.50 | % | ||||||||||||||||||
| Tier 1 capital | 10.82 | 11.93 | 8.00 | 8.50 | ||||||||||||||||||||||
| CET1 capital | 10.82 | 11.93 | 6.50 | 7.00 | ||||||||||||||||||||||
| Tier 1 leverage | 9.07 | 10.00 | 5.00 | 4.00 | ||||||||||||||||||||||
(1)The capital requirements are only applicable to the Bank. The Company's ratios are included solely for comparison purpose.
(2)An additional 2.5% capital conservation buffer above the minimum capital ratios are required in order to avoid limitations on distributions, including dividend payments and certain discretionary bonuses to executive officers. This buffer does not apply and is not included in the tier 1 leverage ratio.
(3)The Company’s March 31, 2026 regulatory capital ratios and risk-weighted assets are preliminary.
12
| OP Bancorp | % or Basis Point Change 1Q2026 vs. | |||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||
| Risk-Based Capital Ratios: | ||||||||||||||||||||||||||||||||
| Total capital | 13.17 | % | (1) | 13.31 | % | 12.22 | % | (14) bps | 95 bps | |||||||||||||||||||||||
| Tier 1 capital | 10.82 | (1) | 10.93 | 10.97 | (11) bps | (15) bps | ||||||||||||||||||||||||||
| CET1 capital | 10.82 | (1) | 10.93 | 10.97 | (11) bps | (15) bps | ||||||||||||||||||||||||||
| Tier 1 leverage | 9.07 | (1) | 8.99 | 9.22 | 8 bps | (15) bps | ||||||||||||||||||||||||||
| Risk-weighted Assets ($ in thousands) | $ | 2,245,233 | (1) | $ | 2,174,801 | $ | 2,034,969 | 3 | % | 10 | % | |||||||||||||||||||||
(1)The Company’s March 31, 2026 regulatory capital ratios and risk-weighted assets are preliminary.
13
ABOUT OP BANCORP
OP Bancorp, the holding company for Open Bank (the “Bank”), is a California corporation whose common stock is quoted on the Nasdaq Global Market under the ticker symbol, “OPBK.” The Bank operates general commercial banking business in Los Angeles, Orange, and Santa Clara Counties in California, the Dallas metropolitan area in Texas, and Clark County in Nevada, serving small- and medium-sized businesses, professionals, and local residents with a particular focus on Korean and other Asian communities. The Bank currently operates twelve full-service branch offices in Downtown Los Angeles, Los Angeles Fashion District, Los Angeles Koreatown, Cerritos, Gardena, Buena Park, Garden Grove and Santa Clara, California, Carrollton, Texas and Las Vegas, Nevada. The Bank also has five loan production offices in Pleasanton, California, Atlanta, Georgia, Aurora, Colorado, Lynnwood, Washington, and Fairfax, Virginia. The Bank commenced its operations on June 10, 2005 as First Standard Bank and changed its name to Open Bank in October 2010. Its headquarters is located at 1000 Wilshire Blvd., Suite 500, Los Angeles, California 90017. Phone 213.892.9999; www.myopenbank.com.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
Certain matters set forth herein constitute “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Rule 3b-6 promulgated thereunder. All statements that are not statements of historical fact are forward-looking, and readers should not construe these statements of assurances of expected or intended results, or of promises that management will take a given course of action or pursue the currently expected strategies and objectives. Forward-looking statements in this report include comments about the Company’s current business plans and expectations regarding future operating results, as well as management’s statements about expected future events and economic developments, plans, strategies and objectives. All such statements reflect the current intentions, beliefs and expectations of the Company’s executive management based on currently available information and current and expected market conditions. Forward-looking statements can sometimes be identified by the use of forward-looking language, such as “likely result in,” “expects,” “anticipates,” “estimates,” “forecasts,” “projects,” “intends to,” or may include other similar words or phrases, such as “believes,” “plans,” “trend,” “objective,” “continues,” “remains,” or similar expressions, or future or conditional verbs, such as “will,” “would,” “should,” “could,” “may,” “might,” “can,” or similar verbs. Readers should not construe these statements as assurances of a given level of performance, or as promises that we will take the actions our management currently expects.
Our forward-looking statements are subject to risks and uncertainties that could cause actual results, performance or achievements to differ materially from those projected or could cause us to change plans or strategies or otherwise to take actions that differ from those we currently expect. The known risks and uncertainties that may have these effects are described in Part I, Item 1A, of our Annual Report on Form 10-K for the period ended December 31, 2025, and in our other filings with the Securities and Exchange Commission. You should read all forward-looking statements in the context of the foregoing and should not consider them to be reliable predictions of future events or as assurances of a particular level of performance or intended course of action. Any forward-looking statement speaks only as of the date on which it is made, and we do not undertake any obligation to update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.
Contact
Investor Relations
OP Bancorp
Jaehyun Park
EVP & CFO
213.593.4865
14
CONSOLIDATED BALANCE SHEETS (unaudited)
| ($ in thousands) | As of | % Change 1Q2026 vs. | ||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||
| Assets | ||||||||||||||||||||||||||||||||
| Cash and due from banks | $ | 12,842 | $ | 10,911 | $ | 12,575 | 18 | % | 2 | % | ||||||||||||||||||||||
| Interest-bearing deposits with banks | 147,418 | 156,400 | 186,286 | (6) | (21) | |||||||||||||||||||||||||||
| Cash and cash equivalents | 160,260 | 167,311 | 198,861 | (4) | (19) | |||||||||||||||||||||||||||
| AFS debt securities, at fair value | 209,006 | 192,785 | 182,480 | 8 | 15 | |||||||||||||||||||||||||||
| Other investments | 17,213 | 17,208 | 16,517 | 0 | 4 | |||||||||||||||||||||||||||
| Loans held-for-sale | 9,498 | 11,443 | 4,555 | (17) | 109 | |||||||||||||||||||||||||||
| CRE | 1,173,366 | 1,132,223 | 1,023,278 | 4 | 15 | |||||||||||||||||||||||||||
| SBA | 284,182 | 264,523 | 258,778 | 7 | 10 | |||||||||||||||||||||||||||
| C&I | 219,367 | 221,270 | 202,250 | (1) | 8 | |||||||||||||||||||||||||||
| Home mortgage | 556,952 | 574,300 | 559,543 | (3) | 0 | |||||||||||||||||||||||||||
| Consumer and other | 392 | 1,353 | 36 | (71) | NM | |||||||||||||||||||||||||||
| Gross loans | 2,234,259 | 2,193,669 | 2,043,885 | 2 | 9 | |||||||||||||||||||||||||||
| Allowance for credit losses on loans | (28,406) | (27,975) | (25,368) | 2 | 12 | |||||||||||||||||||||||||||
| Net loans | 2,205,853 | 2,165,694 | 2,018,517 | 2 | 9 | |||||||||||||||||||||||||||
| Premises and equipment, net | 5,516 | 5,744 | 6,526 | (4) | (15) | |||||||||||||||||||||||||||
| Accrued interest receivable | 10,683 | 10,482 | 9,871 | 2 | 8 | |||||||||||||||||||||||||||
| Servicing assets | 9,834 | 10,057 | 10,848 | (2) | (9) | |||||||||||||||||||||||||||
| Company owned life insurance | 23,794 | 23,616 | 23,084 | 1 | 3 | |||||||||||||||||||||||||||
| Deferred tax assets, net | 12,417 | 12,438 | 13,183 | 0 | (6) | |||||||||||||||||||||||||||
| Other real estate owned ("OREO") | — | — | 1,237 | — | (100) | |||||||||||||||||||||||||||
| Operating right-of-use assets | 8,253 | 8,804 | 6,930 | (6) | 19 | |||||||||||||||||||||||||||
| Other assets | 26,300 | 24,644 | 20,362 | 7 | 29 | |||||||||||||||||||||||||||
| Total assets | $ | 2,698,627 | $ | 2,650,226 | $ | 2,512,971 | 2 | % | 7 | % | ||||||||||||||||||||||
| Liabilities and Shareholders' Equity | ||||||||||||||||||||||||||||||||
| Liabilities: | ||||||||||||||||||||||||||||||||
| Noninterest-bearing | $ | 546,550 | $ | 520,865 | $ | 552,797 | 5 | % | (1) | % | ||||||||||||||||||||||
| Money market and others | 398,756 | 388,066 | 385,080 | 3 | 4 | |||||||||||||||||||||||||||
| Time deposits greater than $250 | 743,153 | 683,956 | 610,783 | 9 | 22 | |||||||||||||||||||||||||||
| Other time deposits | 638,835 | 687,660 | 641,211 | (7) | 0 | |||||||||||||||||||||||||||
| Total deposits | 2,327,294 | 2,280,547 | 2,189,871 | 2 | 6 | |||||||||||||||||||||||||||
| FHLB advances | 75,000 | 75,000 | 75,000 | — | — | |||||||||||||||||||||||||||
| Subordinated note | 24,607 | 24,586 | — | 0 | NM | |||||||||||||||||||||||||||
| Accrued interest payable | 15,181 | 14,595 | 14,994 | 4 | 1 | |||||||||||||||||||||||||||
| Operating lease liabilities | 10,508 | 11,175 | 9,193 | (6) | 14 | |||||||||||||||||||||||||||
| Other liabilities | 13,326 | 16,430 | 13,824 | (19) | (4) | |||||||||||||||||||||||||||
| Total liabilities | 2,465,916 | 2,422,333 | 2,302,882 | 2 | 7 | |||||||||||||||||||||||||||
| Shareholders' equity: | ||||||||||||||||||||||||||||||||
| Common stock | 73,018 | 73,018 | 73,697 | — | (1) | |||||||||||||||||||||||||||
| Additional paid-in capital | 11,995 | 11,849 | 11,371 | 1 | 5 | |||||||||||||||||||||||||||
| Retained earnings | 158,730 | 153,283 | 138,563 | 4 | 15 | |||||||||||||||||||||||||||
| Accumulated other comprehensive loss, net of tax | (11,032) | (10,257) | (13,542) | 8 | (19) | |||||||||||||||||||||||||||
| Total shareholders’ equity | 232,711 | 227,893 | 210,089 | 2 | 11 | |||||||||||||||||||||||||||
| Total liabilities and shareholders' equity | $ | 2,698,627 | $ | 2,650,226 | $ | 2,512,971 | 2 | % | 7 | % | ||||||||||||||||||||||
| Shares of common stock outstanding, at period-end | 14,894,239 | 14,889,540 | 14,914,261 | 0 | % | 0 | % | |||||||||||||||||||||||||
| Book value per share | $ | 15.62 | $ | 15.31 | $ | 14.09 | 2 | % | 11 | % | ||||||||||||||||||||||
| Stockholders' equity to asset ratio | 8.62 | % | 8.60 | % | 8.36 | % | 0 | % | 3 | % | ||||||||||||||||||||||
15
CONSOLIDATED STATEMENTS OF INCOME (unaudited)
| ($ in thousands, except share and per share data) | For the Three Months Ended | % or Basis Point Change 1Q2026 vs. | ||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||
| Interest income | ||||||||||||||||||||||||||||||||
| Interest and fees on loans | $ | 34,879 | $ | 35,921 | $ | 31,689 | (3) | % | 10 | % | ||||||||||||||||||||||
| Interest on AFS debt securities | 1,761 | 1,680 | 1,496 | 5 | 18 | |||||||||||||||||||||||||||
| Other interest income | 1,897 | 1,681 | 1,674 | 13 | 13 | |||||||||||||||||||||||||||
| Total interest income | 38,537 | 39,282 | 34,859 | (2) | 11 | |||||||||||||||||||||||||||
| Interest expense | ||||||||||||||||||||||||||||||||
| Interest on deposits | 16,845 | 17,324 | 16,608 | (3) | 1 | |||||||||||||||||||||||||||
| Interest on borrowings | 679 | 817 | 833 | (17) | (18) | |||||||||||||||||||||||||||
| Interest on subordinated note | 490 | 278 | — | 76 | 100 | |||||||||||||||||||||||||||
| Total interest expense | 18,014 | 18,419 | 17,441 | (2) | 3 | |||||||||||||||||||||||||||
| Net interest income | 20,523 | 20,863 | 17,418 | (2) | 18 | |||||||||||||||||||||||||||
| Provision for credit losses | 412 | 463 | 736 | (11) | (44) | |||||||||||||||||||||||||||
| Net interest income after provision for credit losses | 20,111 | 20,400 | 16,682 | (1) | 21 | |||||||||||||||||||||||||||
| Noninterest income | ||||||||||||||||||||||||||||||||
| Service charges on deposits | 463 | 462 | 1,000 | 0 | (54) | |||||||||||||||||||||||||||
| Loan servicing fees, net of amortization | 722 | 650 | 1,007 | 11 | (28) | |||||||||||||||||||||||||||
| Gains on sale of loans | 2,050 | 1,573 | 2,019 | 30 | 2 | |||||||||||||||||||||||||||
| Other income | 797 | 733 | 790 | 9 | 1 | |||||||||||||||||||||||||||
| Total noninterest income | 4,032 | 3,418 | 4,816 | 18 | (16) | |||||||||||||||||||||||||||
| Noninterest expense | ||||||||||||||||||||||||||||||||
| Salaries and employee benefits | 9,276 | 9,244 | 8,776 | 0 | 6 | |||||||||||||||||||||||||||
| Occupancy and equipment | 1,811 | 1,919 | 1,581 | (6) | 15 | |||||||||||||||||||||||||||
| Data processing and communication | 411 | 591 | 296 | (30) | 39 | |||||||||||||||||||||||||||
| Professional fees | 399 | 549 | 407 | (27) | (2) | |||||||||||||||||||||||||||
| FDIC insurance and regulatory assessments | 418 | 362 | 487 | 15 | (14) | |||||||||||||||||||||||||||
| Promotion and advertising | 120 | (9) | 156 | NM | (23) | |||||||||||||||||||||||||||
| Directors’ fees | 144 | 148 | 180 | (3) | (20) | |||||||||||||||||||||||||||
| Foundation donation and other contributions | 725 | 707 | 556 | 3 | 30 | |||||||||||||||||||||||||||
| Other expenses | 929 | 782 | 1,375 | 19 | (32) | |||||||||||||||||||||||||||
| Total noninterest expense | 14,233 | 14,293 | 13,814 | 0 | 3 | |||||||||||||||||||||||||||
| Income before income tax expense | 9,910 | 9,525 | 7,684 | 4 | 29 | |||||||||||||||||||||||||||
| Income tax expense | 2,676 | 2,487 | 2,124 | 8 | 26 | |||||||||||||||||||||||||||
| Net income | $ | 7,234 | $ | 7,038 | $ | 5,560 | 3 | % | 30 | % | ||||||||||||||||||||||
| EPS - basic | 0.49 | 0.47 | 0.37 | 2 | bps | 12 | bps | |||||||||||||||||||||||||
| EPS - diluted | 0.48 | 0.47 | 0.37 | 1 | bps | 11 | bps | |||||||||||||||||||||||||
| Weighted average shares: | ||||||||||||||||||||||||||||||||
| - Basic | 14,890,929 | 14,886,681 | 14,857,234 | 0 | % | 0 | % | |||||||||||||||||||||||||
| - Diluted | 14,930,173 | 14,915,677 | 14,857,234 | 0 | 0 | |||||||||||||||||||||||||||
ROAA (1) | 1.08 | % | 1.07 | % | 0.92 | % | 1 bps | 16 bps | ||||||||||||||||||||||||
ROAE (1) | 12.56 | 12.53 | 10.73 | 3 bps | 183 bps | |||||||||||||||||||||||||||
Efficiency ratio (2) | 57.97 | 58.87 | 62.13 | (90) bps | (416) bps | |||||||||||||||||||||||||||
NM — Not meaningful
(1)Annualized.
(2)Represents noninterest expense divided by the sum of net interest income and noninterest income.
16
ASSET QUALITY
| ($ in thousands) | As of and For the Three Months Ended | |||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | ||||||||||||||||||
Nonaccrual loans (1)(2) | $ | 18,297 | $ | 14,071 | $ | 10,412 | ||||||||||||||
| Loans 90 days or more past due, accruing | — | — | — | |||||||||||||||||
| Nonperforming loans | 18,297 | 14,071 | 10,412 | |||||||||||||||||
| OREO | — | — | 1,237 | |||||||||||||||||
| Nonperforming assets | $ | 18,297 | $ | 14,071 | $ | 11,649 | ||||||||||||||
Criticized loans (3) by risk categories: | ||||||||||||||||||||
| Special mention loans | $ | 10,141 | $ | 10,885 | $ | 7,190 | ||||||||||||||
Classified loans (4) | 23,094 | 21,175 | 15,865 | |||||||||||||||||
| Total criticized loans | $ | 33,235 | $ | 32,060 | $ | 23,055 | ||||||||||||||
| Nonperforming loans to gross loans | 0.82 | % | 0.64 | % | 0.51 | % | ||||||||||||||
| Nonperforming assets to gross loans & OREO | 0.82 | 0.64 | 0.57 | |||||||||||||||||
| Nonperforming assets to total assets | 0.68 | 0.53 | 0.46 | |||||||||||||||||
| Classified loans to gross loans | 1.03 | 0.97 | 0.78 | |||||||||||||||||
| Criticized loans to gross loans | 1.49 | 1.46 | 1.13 | |||||||||||||||||
| Allowance for credit losses ratios: | ||||||||||||||||||||
| As a % of gross loans | 1.27 | % | 1.28 | % | 1.24 | % | ||||||||||||||
| As a % of nonperforming loans | 155 | 199 | 244 | |||||||||||||||||
| As a % of nonperforming assets | 155 | 199 | 218 | |||||||||||||||||
| As a % of classified loans | 123 | 132 | 160 | |||||||||||||||||
| As a % of criticized loans | 85 | 87 | 110 | |||||||||||||||||
| Net (recoveries) charge-offs | $ | (31) | $ | (158) | $ | 115 | ||||||||||||||
Net (recoveries) charge-offs (5) to average gross loans | (0.01) | % | (0.03) | % | 0.02 | % | ||||||||||||||
(1)Excludes loans held-for-sale.
(2)Excludes the guaranteed portion of loans totaling $30.8 million, $20.9 million and $14.3 million as of March 31, 2026, December 31, 2025 and March 31, 2025, respectively.
(3)Excludes the guaranteed portion of loans totaling $35.9 million, $27.3 million and $17.2 million as of March 31, 2026, December 31, 2025 and March 31, 2025, respectively.
(4)Consists of substandard, doubtful and loss categories.
(5)Annualized.
17
| ($ in thousands) | 1Q2026 | 4Q2025 | 1Q2025 | |||||||||||||||||
Accruing delinquent loans 30-89 days past due by loan type (1) : | ||||||||||||||||||||
| CRE | $ | — | $ | — | $ | — | ||||||||||||||
| SBA | 5,374 | 2,562 | 2,483 | |||||||||||||||||
| C&I | 9 | — | — | |||||||||||||||||
| Home mortgage | 3,911 | 557 | 3,969 | |||||||||||||||||
| Total 30-59 days | 9,294 | 3,119 | 6,452 | |||||||||||||||||
| CRE | — | — | — | |||||||||||||||||
| SBA | — | 1,168 | — | |||||||||||||||||
| C&I | 17 | — | — | |||||||||||||||||
| Home mortgage | — | 2,005 | — | |||||||||||||||||
| Total 60-89 days | 17 | 3,173 | — | |||||||||||||||||
| CRE | — | — | — | |||||||||||||||||
| SBA | 5,374 | 3,730 | 2,483 | |||||||||||||||||
| C&I | 26 | — | — | |||||||||||||||||
| Home mortgage | 3,911 | 2,562 | 3,969 | |||||||||||||||||
| Total accruing delinquent loans 30-89 days past due | $ | 9,311 | $ | 6,292 | $ | 6,452 | ||||||||||||||
Nonaccrual loans (2) by loan type: | ||||||||||||||||||||
| CRE | $ | 7,307 | $ | 3,424 | $ | 1,937 | ||||||||||||||
| SBA | 10,597 | 9,840 | 6,371 | |||||||||||||||||
| C&I | 393 | 218 | — | |||||||||||||||||
| Home mortgage | — | 589 | 2,104 | |||||||||||||||||
| Total nonaccrual | $ | 18,297 | $ | 14,071 | $ | 10,412 | ||||||||||||||
Criticized loans(3) by loan type: | ||||||||||||||||||||
| CRE | $ | 10,057 | $ | 10,364 | $ | 8,988 | ||||||||||||||
| SBA | 20,016 | 18,218 | 11,574 | |||||||||||||||||
| C&I | 1,620 | 1,338 | 389 | |||||||||||||||||
| Home mortgage | 1,542 | 2,140 | 2,104 | |||||||||||||||||
| Total criticized | $ | 33,235 | $ | 32,060 | $ | 23,055 | ||||||||||||||
(1)Excludes the guaranteed portion of loans totaling $947 thousand and $3.2 million as of March 31, 2026 and December 31, 2025, respectively. There was no guaranteed portion as of March 31, 2025.
(2)Excludes the guaranteed portion of loans that were in liquidation totaling $30.8 million, $20.9 million and $14.3 million as of March 31, 2026, December 31, 2025 and March 31, 2025, respectively.
(3)Excludes the guaranteed portion of loans that were in liquidation totaling $35.9 million, $27.3 million and $17.2 million as of March 31, 2026, December 31, 2025 and March 31, 2025, respectively.
18
AVERAGE BALANCE SHEET, INTEREST AND YIELD/RATE ANALYSIS
| For the Three Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1Q2026 | 4Q2025 | 1Q2025 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ($ in thousands) | Average Balance | Interest Income/Expense | Average Yield/Rate(1) | Average Balance | Interest Income/Expense | Average Yield/Rate(1) | Average Balance | Interest Income/Expense | Average Yield/Rate(1) | |||||||||||||||||||||||||||||||||||||||||||||||
| Interest-earning assets: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Interest-bearing deposits in other banks | $ | 145,013 | $ | 1,326 | 3.66 | % | $ | 135,883 | $ | 1,360 | 3.92 | % | $ | 124,069 | $ | 1,372 | 4.42 | % | ||||||||||||||||||||||||||||||||||||||
| Other investments | 17,232 | 571 | 13.24 | 17,186 | 321 | 7.46 | 16,469 | 302 | 7.33 | |||||||||||||||||||||||||||||||||||||||||||||||
| AFS debt securities, at fair value | 205,247 | 1,761 | 3.43 | 198,335 | 1,680 | 3.39 | 184,649 | 1,496 | 3.24 | |||||||||||||||||||||||||||||||||||||||||||||||
| CRE | 1,154,515 | 17,814 | 6.26 | 1,119,031 | 17,616 | 6.25 | 1,000,426 | 14,980 | 6.07 | |||||||||||||||||||||||||||||||||||||||||||||||
| SBA | 292,821 | 5,980 | 8.28 | 282,501 | 6,557 | 9.21 | 265,953 | 6,207 | 9.47 | |||||||||||||||||||||||||||||||||||||||||||||||
| C&I | 212,941 | 3,552 | 6.77 | 220,274 | 3,846 | 6.93 | 212,106 | 3,778 | 7.22 | |||||||||||||||||||||||||||||||||||||||||||||||
| Home mortgage | 565,185 | 7,508 | 5.31 | 581,824 | 7,889 | 5.42 | 526,326 | 6,718 | 5.11 | |||||||||||||||||||||||||||||||||||||||||||||||
| Consumer and other | 1,287 | 25 | 7.99 | 602 | 13 | 8.75 | 233 | 6 | 9.75 | |||||||||||||||||||||||||||||||||||||||||||||||
Loans (2) | 2,226,749 | 34,879 | 6.33 | 2,204,232 | 35,921 | 6.48 | 2,005,044 | 31,689 | 6.39 | |||||||||||||||||||||||||||||||||||||||||||||||
| Total interest-earning assets | 2,594,241 | 38,537 | 6.00 | 2,555,636 | 39,282 | 6.11 | 2,330,231 | 34,859 | 6.04 | |||||||||||||||||||||||||||||||||||||||||||||||
| Noninterest-earning assets | 76,830 | 79,743 | 77,823 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total assets | $ | 2,671,071 | $ | 2,635,379 | $ | 2,408,054 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Interest-bearing liabilities: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Money market deposits and others | $ | 393,242 | $ | 3,009 | 3.10 | % | $ | 389,958 | $ | 3,241 | 3.30 | % | $ | 353,804 | $ | 3,085 | 3.54 | % | ||||||||||||||||||||||||||||||||||||||
| Time deposits | 1,390,491 | 13,836 | 4.04 | 1,342,337 | 14,083 | 4.16 | 1,208,032 | 13,523 | 4.54 | |||||||||||||||||||||||||||||||||||||||||||||||
| Total interest-bearing deposits | 1,783,733 | 16,845 | 3.83 | 1,732,295 | 17,324 | 3.97 | 1,561,836 | 16,608 | 4.31 | |||||||||||||||||||||||||||||||||||||||||||||||
| Borrowings | 75,834 | 679 | 3.63 | 86,905 | 817 | 3.73 | 78,944 | 833 | 4.28 | |||||||||||||||||||||||||||||||||||||||||||||||
| Subordinated note | 24,600 | 490 | 7.97 | 13,896 | 278 | 7.99 | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
| Total interest-bearing liabilities | 1,884,167 | 18,014 | 3.88 | 1,833,096 | 18,419 | 3.99 | 1,640,780 | 17,441 | 4.31 | |||||||||||||||||||||||||||||||||||||||||||||||
| Noninterest-bearing liabilities: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Noninterest-bearing deposits | 516,722 | 532,695 | 522,054 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other noninterest-bearing liabilities | 39,756 | 44,985 | 38,014 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total noninterest-bearing liabilities | 556,478 | 577,680 | 560,068 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Shareholders’ equity | 230,426 | 224,603 | 207,206 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total liabilities and shareholders’ equity | $ | 2,671,071 | $ | 2,635,379 | $ | 2,408,054 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Net interest income / interest rate spreads | $ | 20,523 | 2.12 | % | $ | 20,863 | 2.12 | % | $ | 17,418 | 1.73 | % | ||||||||||||||||||||||||||||||||||||||||||||
| Net interest margin | 3.19 | % | 3.25 | % | 3.01 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Cost of deposits & cost of funds: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total deposits / cost of deposits | $ | 2,300,455 | $ | 16,845 | 2.97 | % | $ | 2,264,990 | $ | 17,324 | 3.03 | % | $ | 2,083,890 | $ | 16,608 | 3.23 | % | ||||||||||||||||||||||||||||||||||||||
| Total funding liabilities / cost of funds | 2,400,889 | 18,014 | 3.04 | 2,365,791 | 18,419 | 3.09 | 2,162,834 | 17,441 | 3.27 | |||||||||||||||||||||||||||||||||||||||||||||||
(1)Annualized.
(2)Includes loans held-for-sale.
19
Exhibit 99.2
OP Bancorp Declares Quarterly Cash Dividend of $0.14 per Share
LOS ANGELES, April 23, 2026 — OP Bancorp (the “Company”) (NASDAQ: OPBK), the holding company of Open Bank (the “Bank”), announced today that its Board of Directors declared a quarterly cash dividend of $0.14 per share, representing a 17% increase from the prior quarterly dividend of $0.12 per share, on its common stock. The dividend is payable on or about May 21, 2026 to shareholders of record as of the close of business on May 7, 2026.
About OP Bancorp
OP Bancorp, the holding company for Open Bank (the “Bank”), is a California corporation whose common stock is quoted on the Nasdaq Global Market under the ticker symbol, “OPBK.” The Bank operates general commercial banking business in Los Angeles, Orange, and Santa Clara Counties in California, the Dallas metropolitan area in Texas, and Clark County in Nevada, serving small- and medium-sized businesses, professionals, and local residents with a particular focus on Korean and other Asian communities. The Bank currently operates with twelve full-service branch offices in Downtown Los Angeles, Los Angeles Fashion District, Los Angeles Koreatown, Cerritos, Gardena, Buena Park, Garden Grove and Santa Clara, California; Carrollton, Texas, and Las Vegas, Nevada. The Bank also has five loan production offices in Pleasanton, California; Atlanta, Georgia; Aurora, Colorado; Lynnwood, Washington; and Fairfax, Virginia. The Bank commenced its operations on June 10, 2005 as First Standard Bank and changed its name to Open Bank in October 2010. Its headquarters is located at 1000 Wilshire Blvd., Suite 500, Los Angeles, California 90017. Phone: 213.892.9999; www.myopenbank.com Member FDIC, Equal Housing Lender.
Contact
Investor Relations
OP Bancorp
Jaehyun Park
EVP & CFO
213.593.4865
First Quarter 2026 Earnings Presentation April 23, 2026
Certain matters set forth herein constitute “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Rule 3b-6 promulgated thereunder. All statements that are not statements of historical fact are forward-looking, and readers should not construe these statements of assurances of expected or intended results, or of promises that management will take a given course of action or pursue the currently expected strategies and objectives. Forward-looking statements in this report include comments about the Company’s current business plans and expectations regarding future operating results, as well as management’s statements about expected future events and economic developments, plans, strategies and objectives. All such statements reflect the current intentions, beliefs and expectations of the Company’s executive management based on currently available information and current and expected market conditions. Forward-looking statements can sometimes be identified by the use of forward-looking language, such as “likely result in,” “expects,” “anticipates,” “estimates,” “forecasts,” “projects,” “intends to,” or may include other similar words or phrases, such as “believes,” “plans,” “trend,” “objective,” “continues,” “remains,” or similar expressions, or future or conditional verbs, such as “will,” “would,” “should,” “could,” “may,” “might,” “can,” or similar verbs. Readers should not construe these statements as assurances of a given level of performance, or as promises that we will take the actions our management currently expects. Our forward-looking statements are subject to risks and uncertainties that could cause actual results, performance or achievements to differ materially from those projected or could cause us to change plans or strategies or otherwise to take actions that differ from those we currently expect. The known risks and uncertainties that may have these effects are described in Part I, Item 1A, of our Annual Report on Form 10-K for the period ended December 31, 2025, and in our other filings with the Securities and Exchange Commission. You should read all forward-looking statements in the context of the foregoing and should not consider them to be reliable predictions of future events or as assurances of a particular level of performance or intended course of action. Any forward-looking statement speaks only as of the date on which it is made, and we do not undertake any obligation to update or review any forward-looking statement, whether as a result of new information, future developments or otherwise. Cautionary Note Regarding Forward-Looking Statements 2
1Q-2026 Highlights vs 4Q-2025 3 (1) Annualized. (2) Excludes the guaranteed portion of SBA loans that are in liquidation. (3) Includes special mention, substandard, doubtful, and loss categories. Net Income $7.2M Earnings & Profitability Balance Sheet Growth Credit Quality Capital Adequacy • Net income of $7.2 million, compared to $7.0 million • Diluted earnings per share of $0.48, compared to $0.47 • ROA(1) and ROE(1) of 1.08% and 12.56%, compared to 1.07% and 12.53%, respectively • Net interest margin of 3.19%, compared to 3.25% • Efficiency ratio of 57.97%, compared to 58.87% • Total assets of $2.70 billion, a 2% increase compared to $2.65 billion • Gross loans of $2.23 billion, a 2% increase compared to $2.19 billion • Total deposits of $2.33 billion, a 2% increase compared to $2.28 billion • Net (charge-offs) (1) to average gross loans of (0.01)%, compared to (0.03)% • Nonperforming loans (2) to gross loans of 0.82%, compared to 0.64%. • Criticized loans(2)(3) to gross loans of 1.49%, compared to 1.46% • Remained well-capitalized with a Common Equity Tier 1 (“CET1”) ratio of 10.82% • Book value per common share increased to $15.62, compared to $15.31 • Paid quarterly cash dividend of $0.14 per share, a 17% increase from the prior dividend of $0.12 per share Diluted EPS $0.48 ROA (1) 1.08% ROE (1) 12.56% NIM 3.19% Efficiency 57.97%
Balance Sheet Trend 4 Gross Loans ($mm)Total Assets ($mm) Total Equity ($mm) & Book Value Per Share ($)Total Deposits ($mm)
Loan Trend 5 Loan Originations* ($mm)Loan Composition ($mm) Loan Yields (%) Commercial Real Estate Concentration (%) * Excludes changes in line utilization.
Loan by Interest Rate Type 6 Hybrid Loan Repricing Schedule ($mm)Composition by Interest Rate Type (%) Contractual Rates by Interest Rate Type (%) Loan Maturity Schedule ($mm)
* Based on Call Report definitions, which includes real estate loans and SBA real estate loans. Commercial Real Estate Portfolio 7 CRE* Portfolio by Property TypeCRE* Portfolio by Collateral Type March 31, 2026 ($1.37 billion)
* Based on Call Report definitions, which includes real estate loans and SBA real estate loans. ** Excludes SBA loans and USDA loans. Commercial Real Estate Portfolio 8 CRE Portfolio ** by Loan-to-Value Ratio (LTV)CRE Portfolio * by Location
Home Loan Portfolio 9 Home Loan Portfolio by LTVHome Loan Portfolio by Location Home Loan Portfolio by Occupancy Type March 31, 2026 ($557 million)
SBA Loans 10 SBA Portfolio by IndustrySBA Portfolio by Location March 31, 2026 ($284 million)
* Excludes $23.5 million in SBA C&I loans. SBA Loans 11 SBA Portfolio by Collateral TypeSBA Portfolio* by LTV
Deposit Trend 12 Noninterest Bearing Deposits ($mm)Deposit Composition ($mm) Cost of Deposits (%) CD Maturity Schedule ($mm)
Earnings & Profitability 13 Noninterest Income ($mm)Net Interest Income ($mm) & Net Interest Margin (%) * Interest Income & Interest Expense ($mm) Noninterest Income Components ($mm) * Annualized.
Earnings & Profitability 14 Efficiency Ratio (%)Noninterest Expense ($mm) Noninterest Expense Components ($mm) Efficiency Ratio Components (%) * * Ratios for Efficiency Ratio Components are percentages of average assets and are annualized.
Earnings & Profitability 15 Pre-Provision Net Revenue ($mm)*Provision for Loan Losses ($mm) Net Income ($mm) & Diluted EPS ($) Return on Assets & Return on Equity (%) * Pre-provision net revenue is a non-GAAP financial measure. See reconciliation of GAAP to non-GAAP measures on Page 19.
Source: Target Fed Funds Rate per Federal Open Market Committee guidance. Net Interest Margin Trend 16
Credit Quality 17 Criticized Loans ($mm)Nonperforming Loans ($mm) Net (Charge-Offs)** ($mm)Allowance for Credit Losses* ($mm) * Exclude the guaranteed portion of SBA loans that are in liquidation. ** Annualized
Liquidity & Capital 18 Total Available Liquidity* ($mm)Liquidity Assets ($mm) Tier 1 Leverage ($mm) Total Risk Based Capital ($mm) * Represent the sum of liquid assets and available borrowings.
Non-GAAP Reconciliation 19