8-K

PCB BANCORP (PCB)

8-K 2021-10-28 For: 2021-10-28
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Added on April 06, 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): October 28, 2021

PCB BANCORP

(Exact name of registrant as specified in its charter)

California<br><br>(State or other jurisdiction of<br><br>incorporation) 001-38621<br><br>(Commission<br><br>File Number) 20-8856755<br><br>(I.R.S. Employer<br><br>Identification No.)
3701 Wilshire Boulevard, Suite 900<br><br>Los Angeles, California<br><br>(Address of principal offices) 90010<br><br>(Zip Code)

Registrant’s telephone number, including area code: (213) 210-2000

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
Common stock, no par value PCB Nasdaq Global Select Market

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 October 28, 2021, PCB Bancorp, a California corporation (the “Company”), issued a press release concerning its unaudited results for the third quarter of 2021. A copy of the press release is attached as Exhibit 99.1 to this Current Report and is incorporated herein by reference.

The information in this report set forth under this Item 2.02 shall not be treated as “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, except as expressly stated by specific reference in such filing.

Item 7.01 Regulation FD Disclosure

Attached as Exhibit 99.2, and incorporated herein by reference, is a copy of an investor presentation that may be utilized by management at future discussions with investors.

Item 8.01 Other Events

On October 28, 2021, the Company issued a press release announcing that on October 28, 2021, its Board of Directors declared a quarterly cash dividend of $0.12 per common share. The dividend will be paid on or about November 12, 2021, to shareholders of record as of the close of business on November 19, 2021. A copy of the press release is attached as Exhibit 99.3 to this Current Report and is incorporated herein by reference.

Item 9.01 Financial Statements and Exhibits

(d) Exhibits.

99.1    Press release of PCB Bancorp, issued October 28, 2021, concerning the result of operations and financial condition for the third quarter of 2021

99.2    Investor presentation of PCB Bancorp concerning the unaudited results for the third quarter of 2021

99.3    Press release of PCB Bancorp, issued October 28, 2021, announcing the declaration of a quarterly cash dividend

104    Cover Page Interactive Data File (embedded within the Inline XBRL document)

EXHIBIT INDEX

Exhibit No. Description
99.1 Press release of PCB Bancorp, issuedOctober 28, 2021, concerning the results of operations and financial condition for thethirdquarter of 2021
99.2 Investor presentation of PCB Bancorp concerning the unaudited results for the third quarter of 2021
99.3 Press release of PCB Bancorp, issuedOctober 28, 2021, announcing the declaration of a quarterly cash dividend

SIGNATURES

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 hereunto duly authorized.

PCB Bancorp
Date: October 28, 2021 /s/ Timothy Chang
Timothy Chang
Executive Vice President and Chief Financial Officer

4

Document

Exhibit 99.1

pcbbancorplogo01.jpg

PCB Bancorp Reports Record Earnings of $11.0 million for Q3 2021

Los Angeles, California - October 28, 2021 - PCB Bancorp (the “Company”) (NASDAQ: PCB), the holding company of Pacific City Bank (the “Bank”), today reported net income of $11.0 million, or $0.73 per diluted common share for the third quarter of 2021, compared with $9.8 million, or $0.64 per diluted common share, for the previous quarter and $3.4 million, or $0.22 per diluted common share, for the year-ago quarter.

Q3 2021 Highlights

•Net income totaled $11.0 million or $0.73 per diluted common share;

◦The Company recorded a provision (reversal) for loan losses of $(1.1) million for the current quarter compared with $(934) thousand for the previous quarter and $4.3 million for the year-ago quarter.

◦Allowance for loan losses to loans held-for-investment(1) ratio was 1.39% at September 30, 2021 compared with 1.45% at June 30, 2021 and 1.55% at September 30, 2020. Adjusted allowance for loan losses to loans held-for-investment ratio(2) was 1.48% at September 30, 2021 compared with 1.62% at June 30, 2021 and 1.70% at September 30, 2020.

◦Net interest income was $20.2 million for the current quarter compared with $19.0 million for the previous quarter and $16.9 million for the year-ago quarter. Net interest margin was 3.93% for the third quarter of 2021 compared with 3.83% for the previous quarter and 3.43% for the year-ago quarter.

◦Gain on sale of loans was $4.3 million for the current quarter compared with $4.0 million for the previous quarter and $821 thousand for the year-ago quarter.

•Total assets were $2.10 billion at September 30, 2021, an increase of $44.7 million, or 2.2%, from $2.06 billion at June 30, 2021 and an increase of $83.5 million, or 4.1%, from $2.02 billion at September 30, 2020;

•Loans held-for-investment were $1.71 billion at September 30, 2021, a decrease of $11.8 million, or 0.7%, from $1.72 billion at June 30, 2021, but an increase of $129.1 million, or 8.2%, from $1.58 billion at September 30, 2020;

◦SBA PPP loans totaled $101.9 million and $181.0 million at September 30, 2021 and June 30, 2021, respectively.

◦The Company had no loans under modified terms related to COVID-19 at September 30, 2021.

•Total deposits were $1.83 billion at September 30, 2021, an increase of $35.0 million from $1.80 billion at June 30, 2021 and an increase of $185.6 million, or 11.3%, from $1.65 billion at September 30, 2020;

•The Company repurchased and retired 680,269 shares of common stock totaling $10.9 million for a weighted-average price of $15.99 per share under the repurchase program announced on April 8, 2021 that expired on September 7, 2021; and

•A cash dividend of $0.12 per share was declared on October 28, 2021. This represents the 27th consecutive quarterly dividend paid by PCB Bancorp.

Henry Kim, President and Chief Executive Officer, commented, "We are pleased to announce another record quarter with net income of $11.0 million for the third quarter of 2021. Our total loans reached a record $1.74 billion as of September 30, 2021. Total loans increased by 19.7% annualized from June 30, 2021, and by 11.5% from September 30, 2020, excluding the changes in the balances of Paycheck Protection Program loans.”

“Total deposits increased at an annualized rate of 7.8% during the quarter to a record $1.83 billion as of September 30, 2021 driven by $36.5 million growth in noninterest-bearing demand deposits that now make up 45.4% of the total balances, compared with 35.0% a year ago.”

Mr. Kim continued, "In addition to the healthy organic loan and deposit growth, our net interest margin improved by ten basis points to 3.93% in the third quarter of 2021 as compared to the second quarter of 2021 and our credit quality remains solid as evidenced by nonperformance assets to total assets ratio of 0.05% at September 30, 2021.”

“The momentum in our loan pipeline continues to be strong with equally healthy liquidity to expand our net interest income. We are looking forward to finishing the year strong and remain positive in our outlook in delivering excellent financial performance for the year and heading into 2022.”


(1)     Loans held-for-investment are presented net of deferred fees and costs in this press release.

(2)     Adjusted allowance for loan losses to loans held-for-investment ratio is a non-GAAP measure, which excludes U.S. Small Business Administration (“SBA”) Paycheck Protection Program (“PPP”) loans from loans held-for-investment. See “Non-GAAP Measures” for reconciliation of this measure to its most comparable GAAP measure.

Financial Highlights (Unaudited)

( in thousands, except per share data) Three Months Ended Nine Months Ended
6/30/2021 % Change 9/30/2020 % Change 9/30/2021 9/30/2020 % Change
Net income $ 11,023 $ 9,844 12.0 % $ 3,449 219.6 % $ 29,427 $ 10,388 183.3 %
Diluted earnings per common share $ 0.73 $ 0.64 14.1 % $ 0.22 231.8 % $ 1.92 $ 0.67 186.6 %
Net interest income $ 20,227 $ 18,996 6.5 % $ 16,853 20.0 % $ 57,042 $ 48,782 16.9 %
Provision (reversal) for loan losses (1,053) (934) 12.7 % 4,326 (124.3) % (3,134) 11,077 (128.3) %
Noninterest income 5,588 5,151 8.5 % 2,272 146.0 % 13,596 7,216 88.4 %
Noninterest expense 11,232 11,139 0.8 % 9,886 13.6 % 32,040 30,149 6.3 %
Return on average assets (1) 2.11 % 1.96 % 0.69 % 1.94 % 0.73 %
Return on average shareholders’ equity (1), (2) 17.98 % 16.49 % 5.98 % 16.40 % 6.10 %
Net interest margin (1) 3.93 % 3.83 % 3.43 % 3.82 % 3.49 %
Efficiency ratio (3) 43.51 % 46.13 % 51.69 % 45.36 % 53.84 %

All values are in US Dollars.

($ in thousands, except per share data) 9/30/2021 6/30/2021 % Change 12/31/2020 % Change 9/30/2020 % Change
Total assets $ 2,104,699 $ 2,060,003 2.2 % $ 1,922,853 9.5 % $ 2,021,187 4.1 %
Net loans held-for-investment 1,684,071 1,694,767 (0.6) % 1,557,068 8.2 % 1,554,258 8.4 %
Total deposits 1,832,666 1,797,648 1.9 % 1,594,851 14.9 % 1,647,107 11.3 %
Book value per common share (2), (4) $ 16.68 $ 16.09 3.7 % $ 15.19 9.8 % $ 14.91 11.9 %
Tier 1 leverage ratio (consolidated) 11.91 % 11.76 % 11.94 % 11.40 %
Total shareholders’ equity to total assets (2) 11.76 % 11.60 % 12.16 % 11.35 %

(1)Ratios are presented on an annualized basis.

(2)The Company did not have any intangible equity components for the presented periods.

(3)The ratios are calculated by dividing noninterest expense by the sum of net interest income and noninterest income.

(4)Calculated by dividing total shareholders’ equity by the number of outstanding common shares.

COVID-19 Pandemic

The ongoing COVID-19 pandemic, and governmental and societal responses thereto, have had a severe impact on recent global economic and market conditions, including significant disruption of, and volatility in, financial markets; global supply chain disruptions; and the institution of social distancing and shelter-in-place requirements that have resulted in temporary closures of many businesses, lost revenues, and increased unemployment throughout the U.S., but also specifically in California, where most of the Company’s operations and a large majority of its customers are located. While California’s and New York’s shelter-at-home limits were largely lifted in June 2021, the local economies in the Company’s primary markets have not yet fully recovered.

Since the beginning of the crisis, the Company has taken a number of steps to protect the safety of its employees and to support its customers. The Company has enabled its staff to work remotely and established safety measures within its bank premises and branches for both employees and customers. In order to support its customers, the Company has been in close contact with them, assessing the level of impact on their businesses, and putting a process in place to evaluate each client’s specific situation and provide relief programs where appropriate.

In addition, the Company has been monitoring its liquidity and capital closely. As of September 30, 2021, the Company maintained $215.0 million, or 10.2% of total assets, of cash and cash equivalents and $606.9 million, or 28.8% of total assets, of available borrowing capacity. All regulatory capital ratios were also well above the regulatory well-capitalized requirements as of September 30, 2021.

At this time, the Company cannot estimate the long term impact of the COVID-19 pandemic, but these conditions are expected to impact its business, results of operations, and financial condition negatively.

Network and Data Incident

As previously disclosed, on August 30, 2021, the Bank identified unusual activity on its network, responded promptly to disable the activity, investigate its source and monitor the Bank’s network. The Bank subsequently became aware of claims that it had been the target of a ransomware attack, and on September 7, 2021, determined that an external actor had accessed or acquired certain data on its network. The Bank has been working with third-party forensic investigators to understand the nature and scope of the incident and determine what information may have been accessed and what clients were impacted. The investigation, which is continuing, revealed that this incident impacted files containing certain Bank customer information, including in some cases personal information of customers and customers’ employees. The Bank has notified or will notify all individuals identified to date, consistent with applicable laws, whose information may have been impacted. All impacted individuals will be offered free Equifax Complete Premier credit monitoring and identity theft protection services. The Bank has notified law enforcement and appropriate authorities of the incident.

Result of Operations (Unaudited)

Net Interest Income and Net Interest Margin

The following table presents the components of net interest income for the periods indicated:

Three Months Ended Nine Months Ended
($ in thousands) 9/30/2021 6/30/2021 % Change 9/30/2020 % Change 9/30/2021 9/30/2020 % Change
Interest income/expense on
Loans $ 20,537 $ 19,511 5.3 % $ 18,938 8.4 % $ 58,792 $ 57,617 2.0 %
Investment securities 437 375 16.5 % 515 (15.1) % 1,172 1,698 (31.0) %
Other interest-earning assets 194 165 17.6 % 167 16.2 % 513 938 (45.3) %
Total interest-earning assets 21,168 20,051 5.6 % 19,620 7.9 % 60,477 60,253 0.4 %
Interest-bearing deposits 885 1,000 (11.5) % 2,599 (65.9) % 3,196 11,000 (70.9) %
Borrowings 56 55 1.8 % 168 (66.7) % 239 471 (49.3) %
Total interest-bearing liabilities 941 1,055 (10.8) % 2,767 (66.0) % 3,435 11,471 (70.1) %
Net interest income $ 20,227 $ 18,996 6.5 % $ 16,853 20.0 % $ 57,042 $ 48,782 16.9 %
Average balance of
Loans $ 1,715,106 $ 1,691,704 1.4 % $ 1,564,704 9.6 % $ 1,683,084 $ 1,524,628 10.4 %
Investment securities 136,874 132,249 3.5 % 128,212 6.8 % 131,039 122,371 7.1 %
Other interest-earning assets 188,137 164,710 14.2 % 260,426 (27.8) % 180,663 221,698 (18.5) %
Total interest-earning assets $ 2,040,117 $ 1,988,663 2.6 % $ 1,953,342 4.4 % $ 1,994,786 $ 1,868,697 6.7 %
Interest-bearing deposits $ 1,000,332 $ 1,026,937 (2.6) % $ 1,063,962 (6.0) % $ 1,026,842 $ 1,100,855 (6.7) %
Borrowings 18,152 19,012 (4.5) % 130,000 (86.0) % 37,363 95,276 (60.8) %
Total interest-bearing liabilities $ 1,018,484 $ 1,045,949 (2.6) % $ 1,193,962 (14.7) % $ 1,064,205 $ 1,196,131 (11.0) %
Total funding (1) $ 1,812,649 $ 1,766,054 2.6 % $ 1,746,217 3.8 % $ 1,772,005 $ 1,661,765 6.6 %
Annualized average yield/cost of
Loans 4.75 % 4.63 % 4.81 % 4.67 % 5.05 %
Investment securities 1.27 % 1.14 % 1.60 % 1.20 % 1.85 %
Other interest-earning assets 0.41 % 0.40 % 0.26 % 0.38 % 0.57 %
Total interest-earning assets 4.12 % 4.04 % 4.00 % 4.05 % 4.31 %
Interest-bearing deposits 0.35 % 0.39 % 0.97 % 0.42 % 1.33 %
Borrowings 1.22 % 1.16 % 0.51 % 0.86 % 0.66 %
Total interest-bearing liabilities 0.37 % 0.40 % 0.92 % 0.43 % 1.28 %
Net interest margin 3.93 % 3.83 % 3.43 % 3.82 % 3.49 %
Cost of total funding (1) 0.21 % 0.24 % 0.63 % 0.26 % 0.92 %
Supplementary information
Net accretion of discount on loans $ 932 $ 1,012 (7.9) % $ 743 25.4 % $ 2,689 $ 2,301 16.9 %
Net amortization of deferred loan fees $ 1,983 $ 1,459 35.9 % $ 1,218 62.8 % $ 4,662 $ 1,988 134.5 %

(1)Total funding is the sum of interest-bearing liabilities and noninterest-bearing deposits. The cost of total funding is calculated as annualized total interest expense divided by average total funding.

Loans. The increase in average yield for the current quarter compared with the previous quarter was primarily due to an increase in net amortization of deferred loan fees from an increased forgiveness of SBA PPP loans, partially offset by a decrease in net accretion of discount on loans. The decreases in average yield for the current quarter and year-to-date period compared with the same periods of 2020 were primarily due to a decrease in overall interest rates on loans from lower market rates, partially offset by increases in net accretion of discount on loans and net amortization of deferred loan fees.

The following table presents a composition of total loans by interest rate type accompanied with the weighted-average contractual rates as of the dates indicated:

9/30/2021 6/30/2021 12/31/2020 9/30/2020
% to Total Loans Weighted-Average Contractual Rate % to Total Loans Weighted-Average Contractual Rate % to Total Loans Weighted-Average Contractual Rate % to Total Loans Weighted-Average Contractual Rate
Fixed rate loans 29.9 % 3.86 % 33.9 % 3.56 % 31.7 % 3.86 % 40.6 % 4.12 %
Hybrid rate loans 26.4 % 4.28 % 22.5 % 4.52 % 20.8 % 4.82 % 12.2 % 4.98 %
Variable rate loans 43.7 % 3.96 % 43.6 % 3.99 % 47.5 % 4.06 % 47.2 % 4.10 %

Investment Securities. The increase in average yield for the current quarter compared with the previous quarter was primarily due to a decrease in net amortization of premiums on mortgage-backed securities and collateralized mortgage obligations. The decreases in average yield for the current quarter and year-to-date period compared with the same periods of 2020 were primarily due to new investment securities purchased at lower market rates.

Other Interest-Earning Assets. The increase in average yield for the current quarter compared with the year-ago quarters was primarily due to an increase in dividend income on Federal Home Loan Bank stock. The decrease in average yield for the current year-to-date period compared with the previous year-to-date period was primarily due to lower market rates. The decreases in average balance for the current quarter and year-to-date period compared with the same periods of 2020 were primarily due to an increase in loans, partially offset by an increase in deposits. The Company maintains most of its cash at the Federal Reserve Bank account. For additional detail, please see the discussion in “Loans” and “Deposits” under the “Balance Sheet” discussion.

Interest-Bearing Deposits. The decreases in average cost for the current quarter and year-to-date period were primarily due to the decreases in market rates.

Borrowings. The increases in average cost for the current quarter and year-to-date period compared with the same periods of 2020 were primarily due to matured borrowings with lower interest rates during the current year-to-date period. Matured FHLB advances totaled $70.0 million with a weighted-average rate of 0.47% for the current year-to-date period. At September 30, 2021, the Company had a term FHLB advance of $10.0 million with an interest rate of 2.07% that matures on June 29, 2022.

Provision (reversal) for Loan Losses

Provision (reversal) for loan losses was $(1.1) million for the current quarter compared with $(934) thousand for the previous quarter and $4.3 million for the year-ago quarter. For the current and previous year-to-date periods, provision (reversal) for loan losses was $(3.1) million and $11.1 million, respectively. The reversals for the current and previous quarters were primarily due to a decrease in historical loss and qualitative adjustment factor allocations as a result of improving economic conditions. The Company recorded net charge-offs (recoveries) of $30 thousand for the current quarter compared with $(309) thousand for the previous quarter and $28 thousand for the year-ago quarter. For the current and previous year-to-date periods, net charge-offs (recoveries) were $(431) thousand and $911 thousand, respectively.

Adjusted allowance for loan losses to loans held-for-investment ratio(1) was 1.48%, 1.62%, 1.83% and 1.70% at September 30, 2021, June 30, 2021, December 31, 2020 and September 30, 2020, respectively.


(1)     Adjusted allowance for loan losses to loans held-for-investment ratio is a non-GAAP measure, which excludes SBA PPP loans from loans held-for-investment. See “Non-GAAP Measures” for reconciliation of this measure to its most comparable GAAP measure.

Noninterest Income

The following table presents the components of noninterest income for the periods indicated:

Three Months Ended Nine Months Ended
($ in thousands) 9/30/2021 6/30/2021 % Change 9/30/2020 % Change 9/30/2021 9/30/2020 % Change
Gain on sale of loans $ 4,269 $ 3,967 7.6 % $ 821 420.0 % $ 9,558 $ 3,044 214.0 %
Service charges and fees on deposits 292 302 (3.3) % 280 4.3 % 887 945 (6.1) %
Loan servicing income 655 545 20.2 % 856 (23.5) % 2,082 2,312 (9.9) %
Other income 372 337 10.4 % 315 18.1 % 1,069 915 16.8 %
Total noninterest income $ 5,588 $ 5,151 8.5 % $ 2,272 146.0 % $ 13,596 $ 7,216 88.4 %

Gain on Sale of Loans. The following table presents information on gain on sale of loans for the periods indicated:

Three Months Ended Nine Months Ended
($ in thousands) 9/30/2021 6/30/2021 % Change 9/30/2020 % Change 9/30/2021 9/30/2020 % Change
Gain on sale of SBA loans
Sold loan balance $ 45,048 $ 34,107 32.1 % $ 8,582 424.9 % $ 90,074 $ 47,363 90.2 %
Premium received 4,879 4,172 16.9 % 917 432.1 % 10,360 4,015 158.0 %
Gain recognized 4,263 3,954 7.8 % 689 518.7 % 9,412 2,841 231.3 %
Gain on sale of residential property loans
Sold loan balance $ 301 $ 1,615 (81.4) % $ 16,585 (98.2) % $ 9,823 $ 24,782 (60.4) %
Gain recognized 2 13 (84.6) % 132 (98.5) % 142 203 (30.0) %

The Company also sold certain commercial property loans of $3.5 million and $5.2 million during the current quarter and year-to-date period, respectively.

Loan Servicing Income. The following table presents information on loan servicing income for the periods indicated:

Three Months Ended Nine Months Ended
($ in thousands) 9/30/2021 6/30/2021 % Change 9/30/2020 % Change 9/30/2021 9/30/2020 % Change
Loan servicing income
Servicing income received $ 1,180 $ 1,124 5.0 % $ 1,244 (5.1) % $ 3,577 $ 3,696 (3.2) %
Servicing assets amortization (525) (579) (9.3) % (388) 35.3 % (1,495) (1,384) 8.0 %
Loan servicing income $ 655 $ 545 20.2 % $ 856 (23.5) % $ 2,082 $ 2,312 (9.9) %
Underlying loans at end of period $ 511,930 $ 492,130 4.0 % $ 484,651 5.6 % $ 511,930 $ 484,651 5.6 %

The Company services SBA loans and certain residential property loans that are sold to the secondary market. The increase for the current quarter compared with the previous quarter was primarily due to a decrease in servicing asset amortization from a decrease in loan payoffs and an increase in servicing income received. The decreases for the current quarter and year-to-date period compared with the same periods of 2020 were primarily due to a decrease in servicing income received and an increase in servicing asset amortization from an increase in loan payoffs.

Noninterest Expense

The following table presents the components of noninterest expense for the periods indicated:

Three Months Ended Nine Months Ended
($ in thousands) 9/30/2021 6/30/2021 % Change 9/30/2020 % Change 9/30/2021 9/30/2020 % Change
Salaries and employee benefits $ 7,606 $ 7,125 6.8 % $ 6,438 18.1 % $ 20,913 $ 18,750 11.5 %
Occupancy and equipment 1,399 1,388 0.8 % 1,416 (1.2) % 4,158 4,196 (0.9) %
Professional fees 422 658 (35.9) % 325 29.8 % 1,574 1,631 (3.5) %
Marketing and business promotion 416 516 (19.4) % 193 115.5 % 1,070 920 16.3 %
Data processing 391 396 (1.3) % 373 4.8 % 1,164 1,097 6.1 %
Director fees and expenses 144 151 (4.6) % 125 15.2 % 433 453 (4.4) %
Regulatory assessments 12 179 (93.3) % 267 (95.5) % 399 728 (45.2) %
Other expenses 842 726 16.0 % 749 12.4 % 2,329 2,374 (1.9) %
Total noninterest expense $ 11,232 $ 11,139 0.8 % $ 9,886 13.6 % $ 32,040 $ 30,149 6.3 %

Salaries and Employee Benefits. The increase for the current quarter compared the previous quarter was primarily due to the incentive tied to the sales of Loan Production Offices (“LPO”) originated SBA loans and the incentive for SBA PPP loan production paid during the current quarter. The increase for the current quarter and year-to-date period compared with the same periods of 2020 were primarily due to increases in wages, bonus accrual, and the incentives for LPO originated SBA loan sales and SBA PPP loan production, partially offset by decreases in vacation and stock compensation expense.

Professional Fees. The decrease for the current quarter compared with the previous quarter were primarily due to a decrease in expenses related to internal audit. The decrease for the current year-to-date period compared with the previous year-to-date period was primarily due to decreases in expenses related to the Bank’s Bank Secrecy Act and Anti-Money Laundering (“BSA/AML”) compliance enhancements.

Director fees and expense. The increase for the current quarter compared with the year-ago quarter was primarily due to the Board of Directors’ decision to temporarily decrease fees during the year-ago quarter. The decrease for the current year-to-date period compared with the previous year-to-date period was primarily due to a severance payment for a former director in the first quarter of 2020.

Regulatory Assessments. The decrease for the current quarter compared with the previous quarter was primarily due to an adjustment made for the assessment rate decrease for the previous quarter. The decreases for the current quarter and year-to-date period compared with the same periods of 2020 were primarily due to a decrease in assessment rate, partially offset by an increase in balance sheet growth.

Balance Sheet (Unaudited)

Total assets were $2.10 billion at September 30, 2021, an increase of $44.7 million, or 2.2%, from $2.06 billion at June 30, 2021 and an increase of $83.5 million, or 4.1%, from $2.02 billion at September 30, 2020. The increase for the current quarter was primarily due to increases in loans held-for-sale and cash and cash equivalents, partially offset by a decrease in net loans held-for-investment. The increase for the current year-to-date period was primarily due to increases in loans held-for-investment, loans-held-for-sale, investment securities, and cash and cash equivalents.

The following table presents a composition of total loans (includes both loans held-for-sale and loans held-for-investment) as of the dates indicated:

($ in thousands) 9/30/2021 6/30/2021 % Change 12/31/2020 % Change 9/30/2020 % Change
Real estate loans
Commercial property $ 1,054,351 $ 997,918 5.7 % $ 880,736 19.7 % $ 853,708 23.5 %
Residential property 201,635 196,983 2.4 % 198,431 1.6 % 212,804 (5.2) %
SBA property 127,845 124,251 2.9 % 126,570 1.0 % 128,038 (0.2) %
Construction 6,572 13,475 (51.2) % 15,199 (56.8) % 19,803 (66.8) %
Commercial and industrial loans
Commercial term 74,390 74,503 (0.2) % 87,250 (14.7) % 90,867 (18.1) %
Commercial lines of credit 101,456 90,286 12.4 % 96,087 5.6 % 92,222 10.0 %
SBA commercial term 18,338 19,614 (6.5) % 21,878 (16.2) % 23,011 (20.3) %
SBA PPP 101,901 181,019 (43.7) % 135,654 (24.9) % 136,418 (25.3) %
Other consumer loans 21,390 21,607 (1.0) % 21,773 (1.8) % 21,933 (2.5) %
Loans held-for-investment 1,707,878 1,719,656 (0.7) % 1,583,578 7.8 % 1,578,804 8.2 %
Loans held-for-sale 29,020 11,255 157.8 % 1,979 1,366.4 % 30,878 (6.0) %
Total loans $ 1,736,898 $ 1,730,911 0.3 % $ 1,585,557 9.5 % $ 1,609,682 7.9 %

The decrease in loans held-for-investment for the current quarter was primarily due to pay-downs and pay-offs of $178.1 million, partially offset by new funding of $137.4 million and advances on lines of credit of $32.5 million. During the current quarter, SBA PPP loans of $81.9 million were paid off through regular payments or forgiveness from SBA, and related unamortized net deferred fees were recognized through interest income. The increase in loans held-for-investment for the current year-to-date period was primarily due to new funding of $498.9 million and advances on lines of credit of $88.9 million, partially offset by pay-downs and pay-offs of $457.9 million. During the current year-to-date period, SBA PPP loans of $144.9 million were paid off through regular payments or forgiveness from SBA, and related unamortized net deferred fees were recognized through interest income.

The increase in loans held-for-sale for the current quarter was primarily due to new funding of $63.1 million, partially offset by sales of $48.8 million. The increase in loans held-for-sale for the current year-to-date period was primarily due to new funding of $126.8 million, partially offset by sales of $105.1 million.

The following table presents a composition of commitments to extend credit as of the dates indicated:

($ in thousands) 9/30/2021 6/30/2021 % Change 12/31/2020 % Change 9/30/2020 % Change
Real estate loans
Commercial property $ 17,873 $ 15,277 17.0 % $ 21,016 (15.0) % $ 17,621 1.4 %
SBA property 4,747 6,191 (23.3) % 540 779.1 % %
Construction 9,478 6,233 52.1 % 13,986 (32.2) % 15,366 (38.3) %
Commercial and industrial loans
Commercial term 1,455 2,950 (50.7) % 1,000 45.5 % 1,000 45.5 %
Commercial lines of credit 156,411 164,648 (5.0) % 156,870 (0.3) % 173,080 (9.6) %
SBA commercial term 245 % % %
Other consumer loans 130 118 10.2 % 84 54.8 % 75 73.3 %
Total commitments to extend credit $ 190,339 $ 195,417 (2.6) % $ 193,496 (1.6) % $ 207,142 (8.1) %

Credit Quality

The following table presents a summary of non-performing loans, non-performing assets and classified assets as of the dates indicated:

($ in thousands) 9/30/2021 6/30/2021 % Change 12/31/2020 % Change 9/30/2020 % Change
Nonaccrual loans
Real estate loans
Commercial property $ $ % $ 524 (100.0) % $ %
Residential property % 189 (100.0) % %
SBA property 766 781 (1.9) % 885 (13.4) % 923 (17.0) %
Commercial and industrial loans
Commercial lines of credit % 904 (100.0) % 1,525 (100.0) %
SBA commercial term 314 600 (47.7) % 595 (47.2) % 378 (16.9) %
Other consumer loans 33 65 (49.2) % 66 (50.0) % 67 (50.7) %
Total nonaccrual loans held-for-investment 1,113 1,446 (23.0) % 3,163 (64.8) % 2,893 (61.5) %
Loans past due 90 days or more and still accruing 3 % % 699 (99.6) %
Non-performing loans (“NPLs”) 1,116 1,446 (22.8) % 3,163 (64.7) % 3,592 (68.9) %
Other real estate owned (“OREO”) % 1,401 (100.0) % 376 (100.0) %
Non-performing assets (“NPAs”) $ 1,116 $ 1,446 (22.8) % $ 4,564 (75.5) % $ 3,968 (71.9) %
Loans past due and still accruing
Past due 30 to 59 days $ 292 $ 227 28.6 % $ 302 (3.3) % $ 298 (2.0) %
Past due 60 to 89 days % 36 (100.0) % 3 (100.0) %
Past due 90 days or more 3 % % 699 (99.6) %
Total loans past due and still accruing $ 295 $ 227 30.0 % 338 (12.7) % $ 1,000 (70.5) %
Troubled debt restructurings (“TDRs”)
Accruing TDRs $ 589 $ 605 (2.6) % $ 634 (7.1) % $ 649 (9.2) %
Nonaccrual TDRs 26 30 (13.3) % 5 420.0 % 38 (31.6) %
Total TDRs $ 615 $ 635 (3.1) % $ 639 (3.8) % $ 687 (10.5) %
Special mention loans $ 17,315 $ 18,238 (5.1) % $ 16,461 5.2 % $ 4,746 264.8 %
Classified assets
Classified loans $ 5,345 $ 9,666 (44.7) % $ 10,130 (47.2) % $ 4,860 10.0 %
OREO % 1,401 (100.0) % 376 (100.0) %
Classified assets $ 5,345 $ 9,666 (44.7) % $ 11,531 (53.6) % $ 5,236 2.1 %
NPLs to loans held-for-investment 0.07 % 0.08 % 0.20 % 0.23 %
NPAs to total assets 0.05 % 0.07 % 0.24 % 0.20 %
Classified assets to total assets 0.25 % 0.47 % 0.60 % 0.26 %

Loan Modifications Related to the COVID-19 Pandemic

The Company provided modifications, including interest only payments or payment deferrals, to customers that were adversely affected by the COVID-19 pandemic. The loan modifications met all criteria under the Coronavirus Aid, Relief, and Economic Security Act. Therefore, the modified loans were not considered TDRs. As of September 30, 2021, the Company had no loans under modified terms related to the COVID-19 pandemic. Total loans under modified terms related to the COVID-19 pandemic were $16.2 million at June 30, 2021, $36.1 million at December 31, 2020 and $171.6 million at September 30, 2020.

The increases in special mention and classified loans for the current year periods were primarily due to the loans that were granted modifications related to the COVID-19 pandemic in excess of 6 months, on a cumulative basis. The Company had classified these loans as special mention or classified. Special mention and classified loans included $15.6 million and $2.7 million, respectively, at September 30, 2021, $16.4 million and $6.2 million, respectively, at June 30, 2021, and $14.9 million and $4.2 million, respectively, at December 31, 2020, of the loans that were granted such modifications.

Investment Securities

Total investment securities were $133.1 million at September 30, 2021, a decrease of $2.4 million, or 1.8%, from $135.5 million at June 30, 2021, but an increase of $4.1 million, or 3.2%, from $129.0 million at September 30, 2020. The decrease for the current quarter was primarily due to principal pay-downs and calls of $9.3 million and net premium amortization of $222 thousand, partially offset by purchases of $7.8 million. The increase in investment securities for the current year-to-date period was primarily due to purchases of $47.3 million, partially offset by principal pay-downs and calls of $32.2 million and net premium amortization of $811 thousand.

Deposits

The following table presents the Company’s deposit mix as of the dates indicated:

9/30/2021 6/30/2021 12/31/2020 9/30/2020
($ in thousands) Amount % to Total Amount % to Total Amount % to Total Amount % to Total
Noninterest-bearing demand deposits $ 832,240 45.4 % $ 795,741 44.3 % $ 538,009 33.7 % $ 576,086 35.0 %
Interest-bearing deposits
Savings 13,294 0.7 % 11,671 0.6 % 10,481 0.7 % 11,124 0.7 %
NOW 20,461 1.1 % 21,725 1.2 % 21,604 1.4 % 21,726 1.3 %
Retail money market accounts 376,333 20.5 % 358,575 19.9 % 351,739 22.0 % 344,939 20.9 %
Brokered money market accounts 4 0.1 % 4 0.1 % 25,002 1.6 % 30,001 1.9 %
Retail time deposits of
$250,000 or less 262,207 14.3 % 271,531 15.1 % 299,431 18.7 % 312,171 18.9 %
More than $250,000 163,127 8.9 % 173,401 9.6 % 168,683 10.6 % 167,208 10.2 %
Time deposits from internet rate service providers % % 24,902 1.6 % 31,852 1.9 %
State and brokered time deposits 165,000 9.0 % 165,000 9.2 % 155,000 9.7 % 152,000 9.2 %
Total interest-bearing deposits 1,000,426 54.6 % 1,001,907 55.7 % 1,056,842 66.3 % 1,071,021 65.0 %
Total deposits $ 1,832,666 100.0 % $ 1,797,648 100.0 % $ 1,594,851 100.0 % $ 1,647,107 100.0 %

The increase in noninterest-bearing demand deposits for the current year-to-date period was primarily due to the overall liquid deposit market. During the current year-to-date period, a total of $93.9 million of SBA PPP loans were funded through the Bank’s noninterest-bearing demand deposits and deposit customers also received $138.2 million of SBA Economic Injury Disaster Loans and SBA Revitalization Funds.

The decrease in retail time deposits for the current quarter was primarily due to matured and closed accounts of $135.7 million, partially offset by new accounts of $17.1 million, renewals of the matured accounts of $95.8 million, and balance increases of $3.2 million. The decrease in retail time deposits for the current year-to-date period was primarily due to matured and closed accounts of $457.6 million, partially offset by new accounts of $76.4 million, renewals of the matured accounts of $328.5 million, and balance increases of $9.9 million.

Liquidity

The following table presents a summary of the Company’s liquidity position as of September 30, 2021:

($ in thousands) 9/30/2021
Cash and cash equivalents $ 214,973
Cash and cash equivalents to total assets 10.2 %
Available borrowing capacity
FHLB advances $ 504,986
Federal Reserve Discount Window 36,889
Overnight federal funds lines 65,000
Total $ 606,875
Total available borrowing capacity to total assets 28.8 %

Shareholders’ Equity

Shareholders’ equity was $247.6 million at September 30, 2021, an increase of $8.7 million, or 3.6%, from $238.9 million at June 30, 2021 and an increase of $18.3 million, or 8.0%, from $229.3 million at September 30, 2020. The increase for the current quarter was primarily due to net income, partially offset by cash dividends declared on common stock of $1.8 million, repurchases of common stock of $543 thousand and a decrease in accumulated other comprehensive income. The increase for the current year-to-date period was primarily due to net income, partially offset by repurchases of common stock of $10.9 million, cash dividends declared on common stock of $4.9 million and a decrease in accumulated other comprehensive income.

On April 8, 2021, the Company’s Board of Directors approved a repurchase program authorizing the repurchase of up to 5% of the Company’s outstanding common stock as of the date of the board meeting, which represented 775,000 shares, through September 7, 2021. The Company repurchased and retired 680,269 shares of common stock totaling $10.9 million at a weighted-average price of $15.99 per share under this program.

Capital Ratios

Based on changes to the Federal Reserve’s definition of a “Small Bank Holding Company” that increased the threshold to $3 billion in assets in August 2018, the Company is not currently subject to separate minimum capital measurements. At such time as the Company reaches the $3 billion asset level, it will again be subject to capital measurements independent of the Bank. For comparison purposes, the Company’s ratios are included in following discussion. The following table presents capital ratios for the Company and the Bank as of dates indicated:

9/30/2021 6/30/2021 12/31/2020 9/30/2020 Well Capitalized Requirements
PCB Bancorp
Common tier 1 capital (to risk-weighted assets) 15.07 % 15.17 % 15.97 % 15.60 % N/A
Total capital (to risk-weighted assets) 16.32 % 16.43 % 17.22 % 16.86 % N/A
Tier 1 capital (to risk-weighted assets) 15.07 % 15.17 % 15.97 % 15.60 % N/A
Tier 1 capital (to average assets) 11.91 % 11.76 % 11.94 % 11.40 % N/A
Pacific City Bank
Common tier 1 capital (to risk-weighted assets) 14.76 % 14.88 % 15.70 % 15.34 % 6.5 %
Total capital (to risk-weighted assets) 16.01 % 16.13 % 16.95 % 16.60 % 10.0 %
Tier 1 capital (to risk-weighted assets) 14.76 % 14.88 % 15.70 % 15.34 % 8.0 %
Tier 1 capital (to average assets) 11.66 % 11.53 % 11.74 % 11.21 % 5.0 %

About PCB Bancorp

PCB Bancorp, formerly known as Pacific City Financial Corporation, is the bank holding company for Pacific City Bank, a California state chartered bank, offering a full suite of commercial banking services to small to medium-sized businesses, individuals and professionals, primarily in Southern California, and predominantly in Korean-American and other minority communities.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements. These forward-looking statements represent plans, estimates, objectives, goals, guidelines, expectations, intentions, projections and statements of our beliefs concerning future events, business plans, objectives, expected operating results and the assumptions upon which those statements are based. Forward-looking statements include without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and are typically identified with words such as “may,” “could,” “should,” “will,” “would,” “believe,” “anticipate,” “estimate,” “expect,” “aim,” “intend,” “plan,” or words or phases of similar meaning. We caution that the forward-looking statements are based largely on our expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond our control, including but not limited to our borrowers’ actual payment performance as loan deferrals related to the COVID-19 pandemic expire, changes to statutes, regulations, or regulatory policies or practices as a result of, or in response to the COVID-19 pandemic, including the potential adverse impact of loan modifications and payment deferrals implemented consistent with recent regulatory guidance, and the general economic uncertainty caused by the COVID-19 pandemic, and government and societal responses thereto. These and other important factors are detailed in various securities law filings made periodically by the Company, copies of which are available from the Company without charge. Actual results, performance or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements. Any forward-looking statements presented herein are made only as of the date of this press release, and we do not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise, except as required by law.

Contact:

Timothy Chang

Executive Vice President & Chief Financial Officer

213-210-2000

PCB Bancorp and Subsidiary

Consolidated Balance Sheets (Unaudited)

($ in thousands, except share and per share data)

9/30/2021 6/30/2021 % Change 12/31/2020 % Change 9/30/2020 % Change
Assets
Cash and due from banks $ 19,688 $ 18,417 6.9 % $ 19,605 0.4 % $ 13,572 45.1 %
Interest-bearing deposits in other financial institutions 195,285 156,204 25.0 % 174,493 11.9 % 243,810 (19.9) %
Total cash and cash equivalents 214,973 174,621 23.1 % 194,098 10.8 % 257,382 (16.5) %
Securities available-for-sale, at fair value 133,102 135,479 (1.8) % 120,527 10.4 % 128,982 3.2 %
Loans held-for-sale 29,020 11,255 157.8 % 1,979 1,366.4 % 30,878 (6.0) %
Loans held-for-investment 1,707,878 1,719,656 (0.7) % 1,583,578 7.8 % 1,578,804 8.2 %
Allowance for loan losses (23,807) (24,889) (4.3) % (26,510) (10.2) % (24,546) (3.0) %
Net loans held-for-investment 1,684,071 1,694,767 (0.6) % 1,557,068 8.2 % 1,554,258 8.4 %
Premises and equipment, net 3,306 3,576 (7.6) % 4,048 (18.3) % 4,355 (24.1) %
Federal Home Loan Bank and other bank stock 8,577 8,577 % 8,447 1.5 % 8,447 1.5 %
Other real estate owned, net % 1,401 (100.0) % 376 (100.0) %
Deferred tax assets, net 7,519 7,892 (4.7) % 8,120 (7.4) % 7,454 0.9 %
Servicing assets 7,009 6,482 8.1 % 6,400 9.5 % 6,166 13.7 %
Operating lease assets 7,164 6,595 8.6 % 7,616 (5.9) % 7,329 (2.3) %
Accrued interest receivable 5,494 6,741 (18.5) % 9,334 (41.1) % 11,246 (51.1) %
Other assets 4,464 4,018 11.1 % 3,815 17.0 % 4,314 3.5 %
Total assets $ 2,104,699 $ 2,060,003 2.2 % $ 1,922,853 9.5 % $ 2,021,187 4.1 %
Liabilities
Deposits
Noninterest-bearing demand $ 832,240 $ 795,741 4.6 % $ 538,009 54.7 % $ 576,086 44.5 %
Savings, NOW and money market accounts 410,092 391,975 4.6 % 408,826 0.3 % 407,790 0.6 %
Time deposits of $250,000 or less 327,207 336,531 (2.8) % 379,333 (13.7) % 406,023 (19.4) %
Time deposits of more than $250,000 263,127 273,401 (3.8) % 268,683 (2.1) % 257,208 2.3 %
Total deposits 1,832,666 1,797,648 1.9 % 1,594,851 14.9 % 1,647,107 11.3 %
Federal Home Loan Bank advances 10,000 10,000 % 80,000 (87.5) % 130,000 (92.3) %
Operating lease liabilities 7,862 7,338 7.1 % 8,455 (7.0) % 8,204 (4.2) %
Accrued interest payable and other liabilities 6,573 6,076 8.2 % 5,759 14.1 % 6,537 0.6 %
Total liabilities 1,857,101 1,821,062 2.0 % 1,689,065 9.9 % 1,791,848 3.6 %
Commitments and contingent liabilities
Shareholders’ equity
Common stock, no par value 154,618 154,796 (0.1) % 164,140 (5.8) % 163,960 (5.7) %
Retained earnings 92,248 83,002 11.1 % 67,692 36.3 % 63,443 45.4 %
Accumulated other comprehensive income, net 732 1,143 (36.0) % 1,956 (62.6) % 1,936 (62.2) %
Total shareholders’ equity 247,598 238,941 3.6 % 233,788 5.9 % 229,339 8.0 %
Total liabilities and shareholders’ equity $ 2,104,699 $ 2,060,003 2.2 % $ 1,922,853 9.5 % $ 2,021,187 4.1 %
Outstanding common shares 14,841,626 14,854,315 15,385,878 15,379,538
Book value per common share (1) $ 16.68 $ 16.09 $ 15.19 $ 14.91
Total loan to total deposit ratio 94.77 % 96.29 % 99.42 % 97.73 %
Noninterest-bearing deposits to total deposits 45.41 % 44.27 % 33.73 % 34.98 %

(1)The ratios are calculated by dividing total shareholders’ equity by the number of outstanding common shares. The Company did not have any intangible equity components for the presented periods.

PCB Bancorp and Subsidiary

Consolidated Statements of Income (Unaudited)

($ in thousands, except share and per share data)

Three Months Ended Nine Months Ended
9/30/2021 6/30/2021 % Change 9/30/2020 % Change 9/30/2021 9/30/2020 % Change
Interest and dividend income
Loans, including fees $ 20,537 $ 19,511 5.3 % $ 18,938 8.4 % $ 58,792 $ 57,617 2.0 %
Investment securities 437 375 16.5 % 515 (15.1) % 1,172 1,698 (31.0) %
Other interest-earning assets 194 165 17.6 % 167 16.2 % 513 938 (45.3) %
Total interest income 21,168 20,051 5.6 % 19,620 7.9 % 60,477 60,253 0.4 %
Interest expense
Deposits 885 1,000 (11.5) % 2,599 (65.9) % 3,196 11,000 (70.9) %
Other borrowings 56 55 1.8 % 168 (66.7) % 239 471 (49.3) %
Total interest expense 941 1,055 (10.8) % 2,767 (66.0) % 3,435 11,471 (70.1) %
Net interest income 20,227 18,996 6.5 % 16,853 20.0 % 57,042 48,782 16.9 %
Provision (reversal) for loan losses (1,053) (934) 12.7 % 4,326 (124.3) % (3,134) 11,077 (128.3) %
Net interest income after provision (reversal) for loan losses 21,280 19,930 6.8 % 12,527 69.9 % 60,176 37,705 59.6 %
Noninterest income
Gain on sale of loans 4,269 3,967 7.6 % 821 420.0 % 9,558 3,044 214.0 %
Service charges and fees on deposits 292 302 (3.3) % 280 4.3 % 887 945 (6.1) %
Loan servicing income 655 545 20.2 % 856 (23.5) % 2,082 2,312 (9.9) %
Other income 372 337 10.4 % 315 18.1 % 1,069 915 16.8 %
Total noninterest income 5,588 5,151 8.5 % 2,272 146.0 % 13,596 7,216 88.4 %
Noninterest expense
Salaries and employee benefits 7,606 7,125 6.8 % 6,438 18.1 % 20,913 18,750 11.5 %
Occupancy and equipment 1,399 1,388 0.8 % 1,416 (1.2) % 4,158 4,196 (0.9) %
Professional fees 422 658 (35.9) % 325 29.8 % 1,574 1,631 (3.5) %
Marketing and business promotion 416 516 (19.4) % 193 115.5 % 1,070 920 16.3 %
Data processing 391 396 (1.3) % 373 4.8 % 1,164 1,097 6.1 %
Director fees and expenses 144 151 (4.6) % 125 15.2 % 433 453 (4.4) %
Regulatory assessments 12 179 (93.3) % 267 (95.5) % 399 728 (45.2) %
Other expenses 842 726 16.0 % 749 12.4 % 2,329 2,374 (1.9) %
Total noninterest expense 11,232 11,139 0.8 % 9,886 13.6 % 32,040 30,149 6.3 %
Income before income taxes 15,636 13,942 12.2 % 4,913 218.3 % 41,732 14,772 182.5 %
Income tax expense 4,613 4,098 12.6 % 1,464 215.1 % 12,305 4,384 180.7 %
Net income $ 11,023 $ 9,844 12.0 % $ 3,449 219.6 % $ 29,427 $ 10,388 183.3 %
Earnings per common share
Basic $ 0.74 $ 0.65 $ 0.22 $ 1.94 $ 0.67
Diluted $ 0.73 $ 0.64 $ 0.22 $ 1.92 $ 0.67
Average common shares
Basic 14,779,707 15,115,561 15,343,888 15,090,989 15,395,475
Diluted 15,031,558 15,309,873 15,377,531 15,298,065 15,466,207
Dividend paid per common share $ 0.12 $ 0.10 $ 0.10 $ 0.32 $ 0.30
Return on average assets (1) 2.11 % 1.96 % 0.69 % 1.94 % 0.73 %
Return on average shareholders’ equity (1), (2) 17.98 % 16.49 % 5.98 % 16.40 % 6.10 %
Efficiency ratio (3) 43.51 % 46.13 % 51.69 % 45.36 % 53.84 %

(1)Ratios are presented on an annualized basis.

(2)The Company did not have any intangible equity components for the presented periods.

(3)The ratios are calculated by dividing noninterest expense by the sum of net interest income and noninterest income.

PCB Bancorp and Subsidiary

Average Balance, Average Yield, and Average Rate (Unaudited)

($ in thousands)

Three Months Ended
9/30/2021 6/30/2021 9/30/2020
Average Balance Interest Income/ Expense Avg. Yield/Rate(6) Average Balance Interest Income/ Expense Avg. Yield/Rate(6) Average Balance Interest Income/ Expense Avg. Yield/Rate(6)
Assets
Interest-earning assets
Total loans (1) $ 1,715,106 $ 20,537 4.75 % $ 1,691,704 $ 19,511 4.63 % $ 1,564,704 $ 18,938 4.81 %
Mortgage-backed securities 95,908 278 1.15 % 92,732 233 1.01 % 75,832 339 1.78 %
Collateralized mortgage obligation 22,534 57 1.00 % 22,929 54 0.94 % 33,393 82 0.98 %
SBA loan pool securities 10,390 45 1.72 % 10,828 51 1.89 % 12,996 57 1.74 %
Municipal bonds (2) 5,759 36 2.48 % 5,760 37 2.58 % 5,991 37 2.46 %
Corporate bonds 2,283 21 3.65 % % %
Other interest-earning assets 188,137 194 0.41 % 164,710 165 0.40 % 260,426 167 0.26 %
Total interest-earning assets 2,040,117 21,168 4.12 % 1,988,663 20,051 4.04 % 1,953,342 19,620 4.00 %
Noninterest-earning assets
Cash and cash equivalents 19,915 19,080 17,094
Allowance for loan losses (24,854) (25,559) (21,268)
Other assets 35,187 36,605 42,446
Total noninterest-earning assets 30,248 30,126 38,272
Total assets $ 2,070,365 $ 2,018,789 $ 1,991,614
Liabilities and Shareholders’ Equity
Interest-bearing liabilities
Deposits
NOW and money market accounts $ 387,661 291 0.30 % $ 400,314 317 0.32 % $ 365,093 391 0.43 %
Savings 12,806 2 0.06 % 11,588 1 0.03 % 9,517 2 0.08 %
Time deposits 599,865 592 0.39 % 615,035 682 0.44 % 689,352 2,206 1.27 %
Total interest-bearing deposits 1,000,332 885 0.35 % 1,026,937 1,000 0.39 % 1,063,962 2,599 0.97 %
Federal Home Loan Bank advances 18,152 56 1.22 % 19,012 55 1.16 % 130,000 168 0.51 %
Total interest-bearing liabilities 1,018,484 941 0.37 % 1,045,949 1,055 0.40 % 1,193,962 2,767 0.92 %
Noninterest-bearing liabilities
Noninterest-bearing demand 794,165 720,105 552,255
Other liabilities 14,531 13,287 15,934
Total noninterest-bearing liabilities 808,696 733,392 568,189
Total liabilities 1,827,180 1,779,341 1,762,151
Total shareholders’ equity 243,185 239,448 229,463
Total liabilities and shareholders’ equity $ 2,070,365 $ 2,018,789 $ 1,991,614
Net interest income $ 20,227 $ 18,996 $ 16,853
Net interest spread (3) 3.75 % 3.64 % 3.08 %
Net interest margin (4) 3.93 % 3.83 % 3.43 %
Total deposits $ 1,794,497 $ 885 0.20 % $ 1,747,042 $ 1,000 0.23 % $ 1,616,217 $ 2,599 0.64 %
Total funding (5) $ 1,812,649 $ 941 0.21 % $ 1,766,054 $ 1,055 0.24 % $ 1,746,217 $ 2,767 0.63 %

(1)Total loans include both loans held-for-sale and loans held-for-investment, net of deferred loan fees and costs.

(2)The yield on municipal bonds has not been computed on a tax-equivalent basis.

(3)Net interest spread is calculated by subtracting average rate on interest-bearing liabilities from average yield on interest-earning assets.

(4)Net interest margin is calculated by dividing annualized net interest income by average interest-earning assets.

(5)Total funding is the sum of interest-bearing liabilities and noninterest-bearing deposits. The cost of total funding is calculated as annualized total interest expense divided by average total funding.

(6)Annualized.

PCB Bancorp and Subsidiary

Average Balance, Average Yield, and Average Rate (Unaudited)

($ in thousands)

Nine Months Ended
9/30/2021 9/30/2020
Average Balance Interest Income/ Expense Avg. Yield/Rate(6) Average Balance Interest Income/ Expense Avg. Yield/Rate(6)
Assets
Interest-earning assets
Total loans (1) $ 1,683,084 $ 58,792 4.67 % $ 1,524,628 $ 57,617 5.05 %
Mortgage-backed securities 90,095 726 1.08 % 65,713 985 2.00 %
Collateralized mortgage obligation 23,442 168 0.96 % 37,500 402 1.43 %
SBA loan pool securities 10,959 148 1.81 % 13,351 198 1.98 %
Municipal bonds (2) 5,774 109 2.52 % 5,807 113 2.60 %
Corporate bonds 769 21 3.65 % %
Other interest-earning assets 180,663 513 0.38 % 221,698 938 0.57 %
Total interest-earning assets 1,994,786 60,477 4.05 % 1,868,697 60,253 4.31 %
Noninterest-earning assets
Cash and cash equivalents 19,359 17,324
Allowance for loan losses (25,753) (17,676)
Other assets 37,371 38,255
Total noninterest-earning assets 30,977 37,903
Total assets $ 2,025,763 $ 1,906,600
Liabilities and Shareholders’ Equity
Interest-bearing liabilities
Deposits
NOW and money market accounts $ 398,459 941 0.32 % $ 367,222 2,058 0.75 %
Savings 11,676 4 0.05 % 7,706 8 0.14 %
Time deposits 616,707 2,251 0.49 % 725,927 8,934 1.64 %
Total interest-bearing deposits 1,026,842 3,196 0.42 % 1,100,855 11,000 1.33 %
Federal Home Loan Bank advances 37,363 239 0.86 % 95,276 471 0.66 %
Total interest-bearing liabilities 1,064,205 3,435 0.43 % 1,196,131 11,471 1.28 %
Noninterest-bearing liabilities
Noninterest-bearing demand 707,800 465,634
Other liabilities 13,925 17,493
Total noninterest-bearing liabilities 721,725 483,127
Total liabilities 1,785,930 1,679,258
Total shareholders’ equity 239,833 227,342
Total liabilities and shareholders’ equity $ 2,025,763 $ 1,906,600
Net interest income $ 57,042 $ 48,782
Net interest spread (3) 3.62 % 3.03 %
Net interest margin (4) 3.82 % 3.49 %
Total deposits $ 1,734,642 $ 3,196 0.25 % $ 1,566,489 $ 11,000 0.94 %
Total funding (5) $ 1,772,005 $ 3,435 0.26 % $ 1,661,765 $ 11,471 0.92 %

(1)Total loans include both loans held-for-sale and loans held-for-investment, net of deferred loan fees and costs.

(2)The yield on municipal bonds has not been computed on a tax-equivalent basis.

(3)Net interest spread is calculated by subtracting average rate on interest-bearing liabilities from average yield on interest-earning assets.

(4)Net interest margin is calculated by dividing annualized net interest income by average interest-earning assets.

(5)Total funding is the sum of interest-bearing liabilities and noninterest-bearing deposits. The cost of total funding is calculated as annualized total interest expense divided by average total funding.

(6)Annualized.

PCB Bancorp and Subsidiary

Non-GAAP Measures

($ in thousands)

Adjusted allowance for loan losses to loans held-for-investment ratio

Adjusted allowance for loan losses to loans held-for-investment ratio calculated by removing SBA PPP loans from loans held-for-investment from the allowance for loan losses to loans held-for-investment ratio calculation. The SBA launched the PPP to provide a direct incentive for small businesses to keep their workers on the payroll in response to the COVID-19 pandemic. The SBA guarantees 100% of the PPP loans made to eligible borrowers, and the loans are eligible to be forgiven if certain conditions are met, at which point the SBA will make payments to the Bank for the forgiven amounts. The SBA guarantee on PPP loans cannot be separated from the loan and therefore is not a separate unit of account. The Company considered the SBA guarantee in the allowance for loan losses evaluation and determined that it is not required to reserve an allowance on SBA PPP loans. Management believes this non-GAAP measure enhances comparability to prior periods and provide supplemental information regarding the Company’s credit trends.

9/30/2021 6/30/2021 12/31/2020 9/30/2020
Loans held-for-investment (a) $ 1,707,878 $ 1,719,656 $ 1,583,578 $ 1,578,804
Less: SBA PPP loans (b) 101,901 181,019 135,654 136,418
Loans held-for-investment, excluding SBA PPP loans (c)=(a)-(b) $ 1,605,977 $ 1,538,637 $ 1,447,924 $ 1,442,386
Allowance for loan losses (d) $ 23,807 $ 24,889 $ 26,510 $ 24,546
Allowance for loan losses to loans held-for-investment ratio (d)/(a) 1.39 % 1.45 % 1.67 % 1.55 %
Adjusted allowance for loan losses to loans held-for-investment ratio (d)/(c) 1.48 % 1.62 % 1.83 % 1.70 %

16

pcbinvestordeckq321

Earnings Results Third Quarter 2021 October 28, 2021


Safe Harbor Statement your Partner • Choice • Bank | 2 This presentation (and oral statements made regarding the subject of this presentation) contains certain “forward- looking statements” that are based on various facts and derived utilizing numerous important assumptions and are subject to known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements include information about our future financial performance, business and growth strategy, projected plans and objectives, as well as projections of macroeconomic and industry trends, which are inherently unreliable due to the multiple factors that impact economic trends, and any such variations may be material. Statements preceded by, followed by or that otherwise include the words “believes,” “expects,” “anticipates,” “intends,” “projects,” “estimates,” “plans” and similar expressions or future or conditional verbs such as “will,” “should,” “would,” “may” and “could” are generally forward-looking in nature and not historical facts, although not all forward-looking statements include the foregoing. Forward-looking statements are based on management’s current expectations and involve risks and uncertainties that could cause actual results to differ materially from the Company’s historical results or those described in our forward-looking statements. PCB Bancorp disclaims any obligation to update any forward-looking statement. This presentation contains certain non-GAAP financial measures intended to supplement, not substitute for, comparable GAAP measures. Reconciliations of non-GAAP financial measures to GAAP financial measures are provided at the end of this presentation. Numbers in the presentation may not sum due to rounding.


your Partner • Choice • Bank | 3 Introduction


Franchise Footprint your Partner • Choice • Bank | 4 • Servicing 7 of top 10 Korean-American MSAs in the U.S. through our branches and LPOs (1) (1) Based on total population projected for 2018 by S&P Global Market Intelligence.


Equity Information your Partner • Choice • Bank | 5(1) Retrospectively adjusted for 10% stock dividend payouts on February 22, 2016 and January 15, 2017 As of October 25, 2021 Ticker PCB Market Cap $311.8 million Price Per Share $21.01 52 Week Range $8.82 - $21.25 Dividend Yield (Dividend Payout Ratio) 2.28% (18.13% 4Q20-3Q21) Number of Shares 14,841,626 $0.025 $0.025 $0.025 $0.027 $0.027 $0.027 $0.027 $0.030 $0.030 $0.030 $0.030 $0.030 $0.030 $0.030 $0.030 $0.050 $ 0 .0 6 0 $ 0 .0 6 0 $0.080 $0.100 $0.100 $0.100 $0.100 $0.100 $0.100 $0.120 $0.120 0.0 00 0.0 20 0.0 40 0.0 60 0.0 80 0.1 00 0.1 20 0.1 40 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 67% 20% Historical Quarterly Cash Dividend Per Share (1) (1) 33% 25% Stock Repurchase Announced on April 8, 2021 to repurchase up to 5% of outstanding stocks, which represents 775,000 shares, through September 7, 2021. Repurchased and retired 680,269 shares of common stock under this program. 20%


Historical Performance your Partner • Choice • Bank | 6 $1.03 $1.19 $1.34 $1.45 $1.58 $1.71 0.0 00 0.2 00 0.4 00 0.6 00 0.8 00 1.0 00 1.2 00 1.4 00 1.6 00 1.8 00 2016 2017 2018 2019 2020 Sep-21 Held-For-Investment Loans ($bn) $1.09 $1.25 $1.44 $1.48 $1.59 $1.83 0.0 00 0.2 00 0.4 00 0.6 00 0.8 00 1.0 00 1.2 00 1.4 00 1.6 00 1.8 00 2.0 00 2016 2017 2018 2019 2020 Sep-21 Deposits ($bn) $14.0 $16.4 $24.3 $24.1 $16.2 $29.4 0.0 00 5.0 00 10. 000 15. 000 20. 000 25. 000 30. 000 35. 000 2016 2017 2018 2019 2020 09/21 YTD Net Income ($mm) $1.11 $1.21 $1.65 $1.49 $1.04 $1.92 0.0 00 0.5 00 1.0 00 1.5 00 2.0 00 2.5 00 2016 2017 2018 2019 2020 09/21 YTD Diluted Earnings Per Share CAGR +11.3% CAGR +9.9%


Historical Performance your Partner • Choice • Bank | 7 1.25% 1.22% 1.53% 1.40% 0.84% 1.94% 0.0 0% 0.5 0% 1.0 0% 1.5 0% 2.0 0% 2.5 0% 2016 2017 2018 2019 2020 09/21 YTD Return on Average Assets 12.47% 12.00% 14.26% 10.88% 7.08% 16.40% 0.0 00 0.0 20 0.0 40 0.0 60 0.0 80 0.1 00 0.1 20 0.1 40 0.1 60 0.1 80 2016 2017 2018 2019 2020 09/21 YTD Return on Average Equity 54.9% 52.0% 52.8% 52.3% 53.5% 45.4% 0.0 00 0.1 00 0.2 00 0.3 00 0.4 00 0.5 00 0.6 00 2016 2017 2018 2019 2020 09/21 YTD Efficiency Ratio 4.18% 4.22% 4.23% 4.11% 3.53% 3.82% 0.0 30 0.0 32 0.0 34 0.0 36 0.0 38 0.0 40 0.0 42 0.0 44 2016 2017 2018 2019 2020 09/21 YTD Net Interest Margin (1) Annualized (1) (1) (1)


COVID-19 Update your Partner • Choice • Bank | 8 As of September 30, 2021 o SBA PPP Loans • 800 loans with aggregated carrying value of $101.9 million • Second round PPP: 766 loans with aggregated contractual loan balance of $94.5 million (carrying value: $91.8 million) • Forgiveness: 1,992 loans for $145.4 million o Loan Modification Related to COVID-19 • No outstanding modifications o Allowance for Loan Losses • Established 1.39% of total loans held-for-investment (1.48% (1) excluding SBA PPP loans) o Liquidity • Maintained cash and cash equivalents of $215.0 million, or 10.2% of total assets • Maintained available borrowing capacity of $606.9 million, or 28.8% of total assets o Capital • Bank’s Tier 1 leverage capital ratio of 11.66% and CET 1 capital ratio of 14.76% (1) This adjusted allowance to HFI Loans ratio excludes SBA PPP loans and is not presented in accordance with GAAP. See “Non-GAAP Measures” for reconciliation of this measure to its most comparable GAAP measures.


your Partner • Choice • Bank | 9 Recent Financial Performance


3Q21 Highlights your Partner • Choice • Bank | 10 As of or For the Quarter Ended ($ in thousands except per share data) 09/30/21 06/30/21 09/30/20 Income Statement Summary: Interest Income $ 21,168 $ 20,051 $ 19,620 Interest Expense 941 1,055 2,767 Net Interest Income 20,227 18,996 16,853 Noninterest Income 5,588 5,151 2,272 Noninterest Expense 11,232 11,139 9,886 Provision for Loan Losses (1,053) (934) 4,326 Pretax Income 15,636 13,942 4,913 Income Tax Expense 4,613 4,098 1,464 Net Income 11,023 9,844 3,449 Diluted Earnings Per Share (“EPS”) $ 0.73 $ 0.64 $ 0.22 Selected Balance Sheet Items: Loans held-for-investment (“HFI”) $ 1,707,878 $ 1,719,656 $ 1,578,804 Loans held-for-sale (“HFS”) 29,020 11,255 30,878 Total Deposits 1,832,666 1,797,648 1,647,107 Total Assets 2,104,699 2,060,003 2,021,187 Shareholders’ Equity 247,598 238,941 229,339 Key Metrics: Book Value (“BV”) Per Share $ 16.68 $ 16.09 $ 14.91 Return on Average Assets (“ROAA”) (1) 2.11% 1.96% 0.69% Return on Average Equity (“ROAE”) (1) 17.98% 16.49% 5.98% Net Interest Margin (“NIM”) 3.93% 3.83% 3.43% Efficiency Ratio 43.51% 46.13% 51.69% o Recorded a reversal for loan losses of $1.1 million in 3Q21 primarily due to a decrease in historical loss and qualitative adjustment factor allocations as a result of improving economic conditions o Allowance for loan losses to HFI loans ratio was 1.39% at 09/30/21 compared with 1.45% at 06/30/21. Excluding PPP loans, the ratio(2) was 1.48% and 1.62% at 09/30/21 and 06/30/21, respectively o Declared cash dividend of $0.12 per share in 3Q21 o SBA PPP loans totaled $101.9 million (800 loans), net of deferred fees and costs o No loans with modifications related to the COVID-19 pandemic (1) Annualized. (2) This adjusted allowance to HFI Loans ratio excludes SBA PPP loans and is not presented in accordance with GAAP. See “Non-GAAP Measures” for reconciliation of this measure to its most comparable GAAP measures.


Commercial Property - Owner Occupied 30% Commercial Property - Non-Owner Occupied 40% Commercial and Industrial 11% SBA PPP 6% Residential Property 12% Other Consumer 1% HFI Loan Composition Loan Overview your Partner • Choice • Bank | 11 $953 $957 $956 $1,002 $1,023 $1,062 $1,136 $1,189 $240 $244 $218 $206 $205 $193 $184 $194$235 $227 $224 $213 $198 $191 $197 $202 $23 $23 $22 $22 $22 $21 $22 $21 $134 $136 $136 $219 $181 $102 $1,451 $1,451 $1,554 $1,579 $1,584 $1,686 $1,720 $1,708 0 200 400 600 800 1,00 0 1,20 0 1,40 0 1,60 0 1,80 0 2,00 0 Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 HFI Loan Trend Commercial Property Commercial and Industrial Residential Property Other Consumer SBA PPP ($ in millions) September 30, 2021 YoY +8.2% $580 $587 $590 $619 $629 $636 $679 $706 244% 249% 247% 257% 256% 251% 269% 270% 0.0% 50.0 % 100 .0% 150 .0% 200 .0% 250 .0% 300 .0% 300 .0 350 .0 400 .0 450 .0 500 .0 550 .0 600 .0 650 .0 700 .0 750 .0 800 .0 Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Commercial Real Estate (1) Loan Trend CRE Loans % to the Bank's Total Risk-Based Capital ($ in millions) (1) Per regulatory definitions in the Commercial Real Estate (“CRE”) Concentration Guidance


Fixed (WA Rate: 4.57%) 25% Variable (WA Rate: 3.96%) 47% Hybrid (WA Rate: 4.28%) 28% Interest Rate Mix(2) $50 $29 $21 $52 $32 $49 $17 $25 $33 $19 $19 $22 $24 $23 $85 $93 $87 $57 $25 $53 $45 $51 $105 $105 5.20% 5.20% 4.15% 4.14% 3.94% 4.02% 3.90% 3.95% -3.00% -2.00% -1.00% 0.00 % 1.00 % 2.00 % 3.00 % 4.00 % 5.00 % 6.00 % 0.0 50.0 100 .0 150 .0 200 .0 250 .0 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 New Production (1),(2) by Rate Type Fixed Hybrid Variable WA Rate Loan Interest Rate Mix your Partner • Choice • Bank | 12(1) Total commitment basis (2) Excluding SBA PPP loans. September 30, 2021($ in millions) 20% 22% 24% 25% 25% 27% 26% 25% 23% 23% 23% 23% 23% 22% 25% 28% 57% 55% 53% 52% 52% 51% 49% 47% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100 % Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Interest Rate Mix Trend (2) Fixed Hybrid Variable


SBA PPP Loans your Partner • Choice • Bank | 13 Unpaid Principal Balance (“UPB”) Remaining ($ in thousands) # of Loans Carrying Value 2-Year Maturity 5-Year Maturity Deferred Fee Funded in 2020 $50K or Under 4 $ 43 $ 23 $ 20 $ 0 Between $50K and $150K 14 1,106 1,129 0 23 Between $150K and $350K 10 2,192 1,954 259 21 Between $350K and $2MM 5 3,617 3,149 486 18 $2MM or More 1 3,183 3,187 0 4 Total 34 $ 10,141 $ 9,442 $ 765 $ 66 Summary of SBA PPP loans as of September 30, 2021: Summary of relationships of SBA PPP loan customers as of September 30, 2021: SBA PPP Loans Demand Deposit Accounts (“DDAs”) ($ in thousands) # of Loans UPB Jun-21 Mar-20 Change Existing relationships 581 $ 84,765 $ 167,239 $ 64,575 $ 102,664 New customers with new DDA relationships 109 13,166 8,327 0 8,327 No other relationships 110 6,801 0 0 0 Total 800 $ 104,732 $ 175,566 $ 64,575 $ 110,991 Funded in 2021 $50K or Under 432 $ 8,870 $ 0 $ 9,426 $ 556 Between $50K and $150K 161 14,142 0 14,589 447 Between $150K and $350K 101 22,249 0 23,024 775 Between $350K and $2MM 72 46,499 0 47,486 987 $2MM or More 0 0 0 0 0 Total 766 $ 91,760 $ 0 $ 94,525 $ 2,765


Loan Modification your Partner • Choice • Bank | 14 Migration of loans with modifications related to the COVID-19 pandemic: From December 31, 2020 to September 30, 2021 ($ in thousands) Dec-20 Early Termination Expired Re- Modification New Modification Modification Type Change Amortization Sep-21 Commercial property Payment deferment (1) $ 9,688 $ 0 (8,983) 8,983 $ 0 (8,983) (705) $ 0 Interest only payment 14,444 0 (24,960) 2,846 0 8,983 (1,313) 0 SBA property 4,192 (2,576) (1,627) 0 0 0 11 0 Commercial term Payment deferment (1) 2,462 0 (2,461) 2,461 0 (2,461) (1) 0 Interest only payment 3,065 0 (5,869) 417 0 2,461 (74) 0 SBA commercial term 1,841 (1,338) (513) 0 0 0 10 0 Residential property 425 0 (1,100) 328 349 0 (2) 0 Total $ 36,117 $ (3,914) $ (45,513) $ 15,035 $ 349 $ 0 $ (2,074) $ 0 HFI loans $ 1,583,578 SBA PPP loans 135,654 HFI loans, excluding SBA PPP loans $ 1,447,826 Total modified loans to HFI loans, excluding SBA PPP loans 2.5% (1) Payment deferment of both principal and interest


Credit Quality your Partner • Choice • Bank | 15 $2.8 $4.5 $4.8 $4.0 $4.6 $3.8 $1.4 $1.1 0.0 1.0 2.0 3.0 4.0 5.0 6.0 Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Non-Performing Assets (“NPAs”) 0.16% 0.25% 0.24% 0.20% 0.24% 0.19% 0.07% 0.05% 0.0 0% 0.0 5% 0.1 0% 0.1 5% 0.2 0% 0.2 5% 0.3 0% Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 NPAs to Total Assets 0.99% 1.15% 1.30% 1.55% 1.67% 1.51% 1.45% 1.39% 0.0 0% 0.2 0% 0.4 0% 0.6 0% 0.8 0% 1.0 0% 1.2 0% 1.4 0% 1.6 0% 1.8 0% 2.0 0% Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Allowance (1) to HFI Loans 1.83% (2) 509% 408% 453% 683% 838% 1746% 1721% 2139% 0.0 0% 500 .00% 100 0.00% 150 0.00% 200 0.00% 250 0.00% Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Allowance (1) to Non-Performing Loans (1) Allowance for Loan Losses (2) This adjusted allowance to HFI Loans ratio excludes SBA PPP loans and is not presented in accordance with GAAP. See “Non-GAAP Measures” for reconciliation of this measure to its most comparable GAAP measures. ($ in millions) 1.43% (2) 1.70% (2) 1.74% (2) 1.62% (2) 1.48% (2)


Loan Concentration your Partner • Choice • Bank | 16 Real Estate Loans – Commercial By Property Type as of September 30, 2021 ($ in thousands) Carrying Value % to Total LTV(1) Industrial $ 237,184 19.9% 50.8% Retail (More Than 50%) 194,855 16.4% 48.9% Mixed Use 146,474 12.3% 47.9% Office 82,530 6.9% 54.7% Gas Station 80,400 6.8% 55.5% Motel / Hotel 79,397 6.7% 50.2% Apartments 71,139 6.0% 49.0% Medical 62,175 5.2% 51.9% Auto (Sales, Repair, & etc.) 42,427 3.6% 58.7% Car Wash 38,269 3.2% 54.5% Golf Course 27,508 2.3% 48.7% Spa, Sauna, & other self-care 26,363 2.2% 55.7% Church 17,292 1.5% 48.6% Condominium – Commercial 15,023 1.3% 49.0% Supermarket 8,711 0.7% 63.0% Construction 6,572 0.6% 51.8% Others 52,449 4.4% 48.3% Total $ 1,188,768 100.0% 51.0% Real Estate Loans – Residential as of September 30, 2021 (1) Collateral value at origination ($ in thousands) Carrying Value LTV(1) FICO Residential Property $ 201,635 57.3% 758


Loan Concentration your Partner • Choice • Bank | 17 Commercial and Industrial Loans – By Industry Type as of September 30, 2021 Total, Excluding SBA PPP Loans SBA PPP Loans ($ in thousands) Carrying Value % to Total Carrying Value % to Total General Manufacturing & Wholesale Trade $ 67,538 34.9% $ 22,235 21.8% Food Services 29,041 15.0% 40,715 40.0% Retail Trade 28,187 14.5% 5,799 5.7% Real Estate Related 18,764 9.7% 5,270 5.2% Professional, Scientific, & Technical Services 14,443 7.4% 4,091 4.0% Other Services 8,231 4.2% 9,515 9.3% Health Care & Social Assistance 6,462 3.3% 1,708 1.7% Transportation & Warehousing 6,450 3.3% 2,646 2.6% Entertainment & Recreation 5,688 2.9% 1,405 1.4% Finance & Insurance 4,451 2.3% 1,460 1.4% All Other 4,929 2.5% 7,057 6.9% Total $ 194,184 100.0% $ 101,901 100.0%


Loan Concentration your Partner • Choice • Bank | 18 Geographic Concentration as of September 30, 2021 Real Estate - Commercial Real Estate – Residential Commercial & Industrial, Excluding SBA PPP SBA PPP ($ in thousands) Carrying Value % to Total Carrying Value % to Total Carrying Value % to Total Carrying Value % to Total California $ 982,139 82.7% $ 199,350 98.9% $ 164,499 84.5% $ 77,925 76.3% New York 43,122 3.6% 0 4,333 2.2% 8,125 8.0% New Jersey 34,095 2.9% 2,285 1.1% 13,497 7.0% 4,375 4.3% Texas 46,608 3.9% 0 1,859 1.0% 2,607 2.6% Washington 38,316 3.2% 0 2,750 1.4% 330 0.3% Nevada 15,877 1.3% 0 840 0.4% 2,466 2.4% Illinois 3,902 0.3% 0 1,150 0.6% 494 0.5% Georgia 1,927 0.2% 0 923 0.5% 2,060 2.0% Colorado 3,946 0.3% 0 552 0.3% 23 0.1% Virginia 3,302 0.3% 0 123 0.1% 166 0.2% Maryland 1,734 0.1% 0 1,183 0.6% 171 0.2% Oregon 2,384 0.2% 0 120 0.1% 408 0.4% Pennsylvania 2,755 0.2% 0 18 0.1% 54 0.1% Other States 8,661 0.8% 0 2,337 1.2% 2,697 2.6% Total $ 1,188,768 100.0% $ 201,635 100.0% $ 194,184 100.0% $ 101,901 100.0%


Credit Quality vs. Peers (1) your Partner • Choice • Bank | 19 1.16% 1.09% 0.86% 0.65% 0.53% 0.31% 0.16% 0.06% 0.06% 0.0 0% 0.2 0% 0.4 0% 0.6 0% 0.8 0% 1.0 0% 1.2 0% 1.4 0% Hope Hanmi Shinhan America Peer Group $1 to $3BN Woori America US Metro CBB Open PCB NPAs / (Total Loans + OREO) (2) 2.28% 1.68% 0.62% 0.47% 0.25% 0.0 0% 0.5 0% 1.0 0% 1.5 0% 2.0 0% 2.5 0% Hope Hanmi CBB Open PCB Classified Assets to Total Assets (3) (1) Korean-American banks operating in Southern California (2) Source: UBPR (3) Source: Press release concerning financial performance September 30, 2021 Peer Data as of June 30, 2021 September 30, 2021 Peer Data as of June 30, 2021


Deposit Overview your Partner • Choice • Bank | 20 $1,097 $1,126 $1,305 $1,298 $1,246 $1,422 $1,459 $1,505 74% 76% 79% 79% 78% 81% 81% 82% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 500 700 900 1,10 0 1,30 0 1,50 0 1,70 0 Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Core Deposits (1) Core Deposits % to Total Deposits Noninterest DDA 46% Retail Other Interest- Bearing 22% Retail Time Deposits 23% State and Brokered Deposits 9% Deposit Composition (1) Core Deposits are not presented in accordance with U.S. generally accepted accounting principles (“GAAP”). See “Non-GAAP measure” for a reconciliation of this measure to its most comparable GAAP measure. $360 $394 $551 $576 $538 $716 $796 $833 $332 $364 $369 $378 $384 $412 $392 $410 $605 $539 $518 $479 $468 $443 $445 $425 $5 $37 $32 $25 $18 $0 $0 $182 $175 $172 $182 $180 $165 $165 $165 $1,479 $1,477 $1,647 $1,647 $1,595 $1,754 $1,798 $1,833 - 200 400 600 800 1,00 0 1,20 0 1,40 0 1,60 0 1,80 0 2,00 0 Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Deposit Trend Noninterest DDA Retail Other Interest-Bearing Retail Time Deposits Internet Time Deposits State and Brokered Deposits YoY +11.3% ($ in millions) ($ in millions) September 30, 2021


Maturity Schedule your Partner • Choice • Bank | 21 Time Deposits as of September 30, 2021 Retail Time Deposits State and Brokered Time Deposits Total ($ in thousands) Amount WA Rate Amount WA Rate Amount WA Rate Less Than 3 Month $ 107,006 0.48% $ 115,000 0.07% $ 222,006 0.27% 3 to 6 Month 150,075 0.49% 50,000 0.05% 200,075 0.38% 6 to 9 Month 80,896 0.44% 0 80,896 0.44% 9 to 12 Month 78,701 0.42% 0 78,701 0.42% More than 12 Month 8,656 1.99% 0 8,656 1.99% Total $ 425,334 0.50% $ 165,000 0.06% $ 590,334 0.37% FHLB Advances as of September 30, 2021 FHLB Advances ($ in thousands) Amount WA Rate Less Than 3 Month $ 0 3 to 6 Month 0 6 to 9 Month 10,000 2.07% 9 to 12 Month 0 More than 12 Month 0 Total $ 10,000 2.07%


Profitability your Partner • Choice • Bank | 22 $4.2 $3.6 $3.4 $3.4 $5.8 $8.6 $9.8 $11.0 $10.0 $8.0 $8.6 $9.2 $10.4 $11.0 $13.0 $14.6 -1.0 1.0 3.0 5.0 7.0 9.0 11. 0 13. 0 15. 0 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 Net Income PTPP 0.96% 0.81% 0.69% 0.69% 1.19% 1.75% 1.96% 2.11% 2.32% 1.82% 1.76% 1.85% 2.13% 2.25% 2.58% 2.79% 0.0 0% 0.5 0% 1.0 0% 1.5 0% 2.0 0% 2.5 0% 3.0 0% 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 ROAA Adjusted ROAA $0.26 $0.23 $0.22 $0.22 $0.38 $0.55 $0.64 $0.73 $0.63 $0.51 $0.56 $0.60 $0.67 $0.71 $0.85 $0.97 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 Diluted EPS Adjusted Diluted EPS 7.25% 6.35% 5.98% 5.98% 9.92% 14.66% 16.49% 17.98% 17.44% 14.28% 15.25% 16.02% 17.79% 18.85% 21.79% 23.79% 0.0 0% 5.0 0% 10. 00% 15. 00% 20. 00% 25. 00% 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 ROAE Adjusted ROAE ($ in millions) Net Income & PTPP(1) Income Diluted EPS & Adjusted Diluted EPS(1) ROAA & Adjusted ROAA(1) ROAE & Adjusted ROAE(1) (1) PTPP (Pre-Tax Pre-Provision) income, and adjusted EPS, ROAA and ROAE for PTPP are not presented in accordance with GAAP. See “Non-GAAP measure” for reconciliations of these measures to their most comparable GAAP measure.


Noninterest Income your Partner • Choice • Bank | 23 $27.1 $11.7 $27.1 $8.6 $42.4 $10.9 $34.1 $45.0 7.6% 9.0% 7.5% 10.7% 10.5% 12.0% 12.2% 10.8% 5.3% 6.0% 5.3% 8.0% 7.5% 10.9% 11.6% 9.5% -30.0% -25.0% -20.0% -15.0% -10.0% -5.0% 0.0 % 5.0 % 10. 0% -5.0 5.0 15. 0 25. 0 35. 0 45. 0 55. 0 65. 0 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 SBA Loan Sale Trend SBA Loan Sold $ Premium % Gain % ($ in millions) ($ in millions) $37.9 $30.0 $10.7 $40.1 $25.3 $19.2 $53.0 $71.4 0.0 10. 0 20. 0 30. 0 40. 0 50. 0 60. 0 70. 0 80. 0 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 SBA 7(a) Loan Production (1) $1.4 $1.3 $1.4 $1.5 $1.0 $1.5 $1.2 $1.3 $1.4 $0.7 $1.5 $0.8 $3.5 $1.3 $4.0 $4.3 62% 36% 51% 36% 77% 46% 77% 76% 0% 10% 20% 30% 40% 50% 60% 70% 80% 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 Noninterest Income Trend Gain on Sale of AFS Securities All Other Income Gain % to Total (1) Total commitment basis ($ in millions) $0.8 Gain on Sale of Loans


Noninterest Expense your Partner • Choice • Bank | 24 $6.0 $6.6 $5.8 $6.4 $7.4 $6.2 $7.1 $7.6 $4.3 $4.0 $3.9 $3.5 $4.2 $3.5 $4.0 $3.6 2.40% 2.39% 1.98% 1.99% 2.38% 1.95% 2.21% 2.17% 0.0 0% 0.5 0% 1.0 0% 1.5 0% 2.0 0% 2.5 0% 3.0 0% 0.0 2.0 4.0 6.0 8.0 10. 0 12. 0 14. 0 16. 0 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 Noninterest Expense Trend Compensation All Other Expenses % to Average Total Assets 50.7% 56.8% 53.0% 51.7% 52.7% 46.8% 46.1% 43.5% 62.1% 64.1% 61.2% 60.4% 60.4% 58.5% 59.4% 0.00 % 10.0 0% 20.0 0% 30.0 0% 40.0 0% 50.0 0% 60.0 0% 70.0 0% 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 Efficiency Ratio (2) PCB Peer Average 255 259 251 252 246 246 248 249 235 240 245 250 255 260 Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Number of FTE(3) Employees (1) (1) Annualized (2) Source: Peer $1 to $3 billion per UBPR (3) Full-time equivalent ($ in millions)


Net Interest Margin your Partner • Choice • Bank | 25 5.85% 5.64% 4.73% 4.81% 4.73% 4.63% 4.63% 4.75% 3.96% 3.85% 3.22% 3.43% 3.64% 3.70% 3.83% 3.93% 1.99% 1.77% 1.17% 0.92% 0.73% 0.52% 0.40% 0.37% 1.53% 1.34% 0.85% 0.63% 0.49% 0.34% 0.24% 0.21% 0.00 % 1.00 % 2.00 % 3.00 % 4.00 % 5.00 % 6.00 % 7.00 % 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 Yield & Cost (1) Loan Yield NIM Cost of Int-Bearing Liab Cost of Funds (1) Annualized


Capital Ratios & BV Per Share your Partner • Choice • Bank | 26 11.66% 14.76% 14.76% 16.01% 5.00% 6.50% 8.00% 10.00% 0.00 % 2.00 % 4.00 % 6.00 % 8.00 % 10.0 0% 12.0 0% 14.0 0% 16.0 0% 18.0 0% Tier 1 Leverage CET 1 Capital Tier 1 Capital Total Capital Bank Regulatory Capital Ratios Actual Minimum Requirement For Well-Capitalized $14.44 $14.58 $14.78 $14.91 $15.19 $15.53 $16.09 $16.68 13.0 0 13.5 0 14.0 0 14.5 0 15.0 0 15.5 0 16.0 0 16.5 0 17.0 0 Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 BV Per Share September 30, 2021 12.99% 12.45% 11.24% 11.35% 12.16% 11.72% 11.60% 11.76% 10.0 0% 10.5 0% 11.0 0% 11.5 0% 12.0 0% 12.5 0% 13.0 0% 13.5 0% Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Total Equity to Total Assets (1) (1) The Company did not have any intangible equity components for the presented periods.


Non-GAAP Measures your Partner • Choice • Bank | 27 Adjusted Allowance to HFI Loans Ratio Adjusted allowance to HFI loans ratio is a non-GAAP measure that we use to enhance comparability to prior periods and provide supplemental information regarding the Company’s credit trends. We calculate adjusted allowance to HFI loan ratio as allowance divided by loans held-for-investment excluding SBA PPP loans. The SBA launched the PPP to provide a direct incentive for small businesses to keep their workers on the payroll in response to the COVID-19 pandemic. The SBA guarantees 100% of the PPP loans made to eligible borrowers, and the loans are eligible to be forgiven if certain conditions are met, at which point the SBA will make payments to the Bank for the forgiven amounts. The SBA guarantee on PPP loans cannot be separated from the loan and therefore is not a separate unit of account. The Company considered the SBA guarantee in the allowance for loan losses evaluation and determined that it is not required to reserve an allowance on SBA PPP loans. Core Deposits Core Deposits are a non-GAAP measure that we use to measure the portion of our total deposits that are thought to be more stable, lower cost and reprice less frequently on average in a rising rate environment. We calculate core deposits as total deposits less time deposits greater than $250,000 and brokered deposits. Management tracks its core deposits because management believes it is a useful measure to help assess the Company’s deposit base and, among other things, potential volatility therein. Pre-Tax Pre-Provision Income, and Adjusted ROAA, ROAE and Diluted EPS for PTPP PTPP income, and adjusted ROAA, ROAE and Diluted EPS are non-GAAP measures that we use to measure the Company’s performance and believe these presentations provide useful supplemental information, and a clearer understanding of the Company’s performance. We calculated PTPP income as net income excluding income tax provision and provision for loan losses. Management believes the non-GAAP measures enhance investors’ understanding of the Company’s business and performance. These measures are also useful in understanding performance trends and facilitate comparisons with the performance of other financial institutions. The limitations associated with operating measures are the risk that persons might disagree as to the appropriateness of items comprising these measures and that different companies might calculate these measures differently


Non-GAAP Measures your Partner • Choice • Bank | 28 The following table reconciles adjusted allowance to HFI loans ratio to its most comparable GAAP measure: ($ in thousands) 12/31/19 03/31/20 06/30/20 09/30/20 12/31/20 03/31/21 06/30/21 09/30/21 HFI Loans $ 1,450,831 $ 1,451,038 $ 1,553,589 $ 1,578,804 $ 1,583,578 $ 1,685,916 $ 1,719,656 $ 1,707,878 Less: SBA PPP Loans 0 0 (133,675) (136,418) (135,654) (218,709) (181,019) (101,901) HFI Loans, Excluding SBA PPP Loans $ 1,450,831 $ 1,451,038 $ 1,419,914 $ 1,442,386 $ 1,447,924 $ 1,467,207 $ 1,538,637 $ 1,605,977 Allowance $ 14,380 $ 16,674 $ 20,248 $ 24,546 $ 26,510 $ 25,514 $ 24,889 $ 23,807 Allowance to HFI Loans Ratio 0.99% 1.15% 1.30% 1.55% 1.67% 1.51% 1.45% 1.39% Adjusted Allowance to HFI Loans Ratio 0.99% 1.15% 1.43% 1.70% 1.83% 1.74% 1.62% 1.48%


Non-GAAP Measures your Partner • Choice • Bank | 29 The following table reconciles core deposits to total deposits to its most comparable GAAP measure: ($ in thousands) 12/31/19 03/31/20 06/30/20 09/30/20 12/31/20 03/31/21 06/30/21 09/30/21 Total Deposits $ 1,479,307 $ 1,477,442 $ 1,646,930 $ 1,647,107 $ 1,594,851 $ 1,753,772 $ 1,797,648 $ 1,832,666 Less: Time Deposits Greater Than $250K (289,726) (266,970) (260,180) (257,208) (268,683) (266,845) (273,401) (263,127) Less: Brokered Deposits (92,393) (84,506) (82,010) (92,001) (80,002) (65,004) (65,004) (65,004) Core Deposits $ 1,097,188 $ 1,125,966 $ 1,304,740 $ 1,297,898 $ 1,246,166 $ 1,421,923 $ 1,459,243 $ 1,504,535 Core Deposits to Total Deposits 74.2% 76.2% 79.2% 78.8% 78.1% 81.1% 81.2% 82.1%


Non-GAAP Measures your Partner • Choice • Bank | 30 The following table reconciles PTPP income, and adjusted ROAA, ROAE and diluted EPS for PTPP to their most comparable GAAP measures: (1) Annualized. ($ in thousands) 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 Net Income $ 4,158 $ 3,572 $ 3,367 $ 3,449 $ 5,787 $ 8,560 $ 9,844 $ 11,023 Add: Provision (rever for Loan Losses 4,030 2,896 3,855 4,326 2,142 (1,147) (934) (1,053) Add: Income Tax Provision 1,811 1,557 1,363 1,464 2,452 3,594 4,098 4,613 PTPP Income (Non-GAAP) $ 9,999 $ 8,025 $ 8,585 $ 9,239 $ 10,381 $ 11,007 $ 13,008 $ 14,583 Average Total Assets $ 1,710,370 $ 1,770,785 $ 1,956,464 $ 1,991,614 $ 1,939,326 $ 1,987,217 $ 2,018,789 $ 2,070,365 ROAA (1) 0.96% 0.81% 0.69% 0.69% 1.19% 1.75% 1.96% 2.11% Adjusted ROAA (Non-GAAP)(1) 2.32% 1.82% 1.76% 1.85% 2.13% 2.25% 2.58% 2.79% Average Total Shareholders' Equity $ 227,472 $ 226,086 $ 226,454 $ 229,463 $ 232,156 $ 236,790 $ 239,448 $ 243,185 ROAE (1) 7.25% 6.35% 5.98% 5.98% 9.92% 14.66% 16.49% 17.98% Adjusted ROAE (Non-GAAP)(1) 17.44% 14.28% 15.25% 16.02% 17.79% 18.85% 21.79% 23.79% Net Income $ 4,158 $ 3,572 $ 3,367 $ 3,449 $ 5,787 $ 8,560 $ 9,844 $ 11,023 Less: Income Allocated to Participating Securities (10) (9) (8) (8) (11) (33) (41) (43) Net Income Allocated to Common Stock 4,148 3,563 3,359 3,441 5,776 8,527 9,803 10,980 Add: Provision for Loan Losses 4,030 2,896 3,855 4,326 2,142 (1,147) (934) (1,053) Add: Income Tax Provision 1,811 1,557 1,363 1,464 2,452 3,594 4,098 4,613 PTPP Income Allocated to Common Stock $ 9,989 $ 8,016 $ 8,577 $ 9,231 $ 10,370 $ 10,974 $ 12,967 $ 14,540 WA common shares outstanding, diluted 15,948,793 15,700,144 15,373,655 15,377,531 15,392,355 15,533,608 15,309,873 15,031,558 Diluted EPS $ 0.26 $ 0.23 $ 0.22 $ 0.22 $ 0.38 $ 0.55 $ 0.64 $ 0.73 Adjusted Diluted EPS (Non-GAAP) $ 0.63 $ 0.51 $ 0.56 $ 0.60 $ 0.67 $ 0.71 $ 0.85 $ 0.97 (a) (b) (c) (a)/(c) (b)/(c) (d) (a)/(d) (b)/(d) (e) (f) (g) (e)/(g) (f)/(g)


Document

Exhibit 99.3

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PCB Bancorp Declares Quarterly Cash Dividend of $0.12 Per Common Share

Los Angeles, California - October 28, 2021 - PCB Bancorp (the “Company”) (NASDAQ: PCB), the holding company of Pacific City Bank (the “Bank”), announced that on October 28, 2021, its Board of Directors declared a quarterly cash dividend of $0.12 per common share. The dividend will be paid on or about November 19, 2021, to shareholders of record as of the close of business on November 12, 2021.

About PCB Bancorp

PCB Bancorp, formerly known as Pacific City Financial Corporation, is the bank holding company for Pacific City Bank, a California state chartered bank, offering a full suite of commercial banking services to small to medium-sized businesses, individuals and professionals, primarily in Southern California, and predominantly in Korean-American and other minority communities.

Contact:

Timothy Chang

Executive Vice President & Chief Financial Officer

213-210-2000

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