Hope Bancorp Reports Financial Results for the First Quarter Ended March 31, 2026

Hope Bancorp Reports Financial Results for the First Quarter Ended March 31, 2026 LOS ANGELES--( BUSINESS WIRE)--Hope Bancorp, Inc. (the “Company” or “Hope”) (NASDAQ: HOPE), the holding company of Bank of Hope (the “Bank”), today reported unaudited financial results for its first quarter ended March 31, 2026.

For the three months ended March 31, 2026, the Company recorded net income of $29.5 million, or $0.23 per diluted common share, up 40% from net income of $21.1 million, or $0.17 per diluted common share, for the three months ended March 31, 2025, and down 14% from net income of $34.5 million, or $0.27 per diluted common share, for the three months ended December 31, 2025. For the three months ended March 31, 2026, the Company recorded pre-provision net revenue (1) (“PPNR”) of $46.6 million, up 43% from PPNR of $32.6 million for the three months ended March 31, 2025, and up 1% from PPNR of $46.3 million for the three months ended December 31, 2025.

“In the 2026 first quarter, we delivered year-over-year growth in net income, revenue, loans and deposits, driven by organic growth and the strategic benefits of the Territorial Bancorp acquisition. Quarter-over-quarter, we saw pre-provision net revenue growth and improved efficiency, supported by disciplined expense management, a stable net interest margin and continued progress in lowering our cost of deposits. We also returned capital through repurchases of common shares during the quarter,” said Kevin S. Kim, Chairman, President and Chief Executive Officer.

“On March 31, 2026, we announced the accretive acquisition of the Commercial Banking Unit of SMBC MANUBANK (“MANUBANK”), which aligns directly with our key priorities of building our commercial banking capabilities, expanding our reach among middle market and multinational clients, and growing our core deposit franchise,” continued Kim. “We expect to close the transaction in the second half of this year, subject to regulatory approvals and the satisfaction of other customary closing conditions. The pending acquisition is projected to strengthen our core earnings power and efficiently deploy capital, improving our profitability and optimizing our capital ratios without the issuance of new shares. In addition, our future collaboration and partnership with SMBC is expected to create meaningful opportunities to expand our services to a broader, global, multi-cultural customer base. We look forward to providing our new clients with the same excellent level of service they have come to expect from SMBC MANUBANK.”

“This is an exciting time for Hope, as we continue to execute on our strategic priorities and build on the momentum generated over the past several quarters to deliver long-term value for our stockholders, further supported by the pending acquisition of MANUBANK. We thank our dedicated team members for their ongoing commitment and contributions in support of our efforts,” concluded Kim.

(1)

Pre-provision net revenue (“PPNR”) is a non-GAAP financial measure defined as total revenue (net interest income plus noninterest income) less noninterest expense, before provision for credit losses and income taxes.

Operating Results for the First Quarter of 2026

Net interest income and net interest margin. Net interest income totaled $124.1 million for the first quarter of 2026, down $3.3 million, or 3%, compared with $127.4 million for the fourth quarter of 2025, and up $23.2 million, or 23%, from the first quarter of 2025. The quarter-over-quarter change in net interest income reflected the impact of a lower day count in the first quarter and a modest decrease of 0.4% in average earning assets, in which average loans were up but other earning assets declined. Net interest margin for the first quarter of 2026 was 2.90%, unchanged from the fourth quarter of 2025, and up 36 basis points from 2.54% for the year-ago quarter. Year-over-year average earning asset growth reflected the acquisition of Territorial Bancorp, Inc. (“Territorial”), which closed in the second quarter of 2025. Year-over-year net interest margin expansion was primarily driven by funding cost improvements, as the cost of interest bearing deposits decreased 77 basis points to 3.37% for the first quarter of 2026, down from 4.14% for the first quarter of 2025, exceeding the decline in federal funds target rate over the same period.

Noninterest income. For the first quarter of 2026, noninterest income totaled $17.0 million, down $1.4 million, or 8%, compared with $18.4 million for the fourth quarter of 2025, and up $1.3 million, or 8%, compared with $15.7 million for the first quarter of 2025. The quarter-over-quarter decrease was primarily due to less gains on the sale of investment securities and lower customer-level swap fee income. The linked quarter change in customer-level swap fees reflected less underlying transaction activity in the first quarter of 2026. The Company sold $53.0 million of Small Business Administration (“SBA”) loans in the first quarter of 2026, for a net gain of $3.3 million, compared with $46.0 million sold for a net gain of $2.6 million in the fourth quarter of 2025. Year-over-year noninterest income growth reflected broad-based improvement in customer fee income across various business lines.

Noninterest expense. Noninterest expense for the first quarter of 2026 totaled $94.5 million, down 5% from $99.4 million for the fourth quarter of 2025, and up 13% from $83.9 million for the first quarter of 2025. The quarter-over-quarter decrease in noninterest expense reflected continued expense management discipline, including a 3% decrease in compensation expense. Compared with the year-ago first quarter, the increase in noninterest expense primarily reflected the addition of Territorial’s operating expenses.

The efficiency ratio for the first quarter of 2026 improved to 67.0%, down from 68.2% in the prior quarter and 72.0% in the year-ago quarter, reflecting positive operating leverage alongside disciplined expense management.

Income tax provision and tax rate. For the first quarter of 2026, the Company recorded a provision for income tax of $8.4 million, compared with a provision for income tax of $4.7 million for the fourth quarter of 2025. The fourth quarter 2025 provision for income tax included true-up entries related to the remeasurement of the Company’s deferred tax assets and liabilities. The first quarter 2026 reported effective tax rate was 22.1%, compared with 20.3% for the full year of 2025, which included a reported effective tax rate of 11.9% for the fourth quarter of 2025.

Balance Sheet Summary

Total assets. At March 31, 2026, total assets totaled $18.66 billion, compared with $18.53 billion as of December 31, 2025, and $17.07 billion as of March 31, 2025.

Loans. At March 31, 2026, gross loans totaled $14.74 billion, and first quarter 2026 average loans were $14.69 billion, both essentially stable compared with gross loans of $14.79 billion at December 31, 2025, and fourth quarter 2025 average loans of $14.65 billion, respectively. Year-over-year growth in end-of-period and average loans primarily reflected organic residential mortgage growth and the impact of the Territorial Bancorp acquisition.

The following table sets forth the loan portfolio composition at March 31, 2026, December 31, 2025, and March 31, 2025:

(dollars in thousands) (unaudited)

3/31/2026

12/31/2025

3/31/2025

Balance

Percentage

Balance

Percentage

Balance

Percentage

Commercial real estate (“CRE”) loans

8,498,246

57.7

8,494,508

57.4

8,377,106

62.8

Commercial and industrial (“C&I”) loans

3,734,978

25.3

3,794,788

25.7

3,756,046

28.2

Residential mortgage and other loans

2,503,919

17.0

2,498,621

16.9

1,202,325

9.0

Gross loans (including held for sale)

14,737,143

100.0

14,787,917

100.0

13,335,477

100.0

Deposits. Total deposits of $15.73 billion at March 31, 2026, increased 1% from $15.60 billion at December 31, 2025, and increased 9% from $14.49 billion at March 31, 2025. Quarter-over-quarter, interest bearing deposits, excluding time deposits, increased 3%; noninterest bearing demand deposits increased 0.5%, and higher-cost time deposits were intentionally decreased. The year-over-year growth in deposits largely reflected the impact of the Territorial Bancorp acquisition.

The following table sets forth the deposit composition at March 31, 2026, December 31, 2025, and March 31, 2025:

(dollars in thousands) (unaudited)

3/31/2026

12/31/2025

3/31/2025

Balance

Percentage

Balance

Percentage

Balance

Percentage

Noninterest bearing demand deposits

3,387,757

21.5

3,371,759

21.6

3,362,842

23.2

Money market, interest bearing demand, and savings deposits

6,036,197

38.4

5,856,373

37.5

5,410,471

37.3

Time deposits

6,302,488

40.1

6,375,011

40.9

5,715,006

39.5

Total deposits

15,726,442

100.0

15,603,143

100.0

14,488,319

100.0

Gross loan-to-deposit ratio

93.7

94.8

92.0

Credit Quality and Allowance for Credit Losses

Criticized loans. Criticized loans decreased $26.0 million, or 7%, quarter-over-quarter to $325.1 million at March 31, 2026, down from $351.1 million at December 31, 2025, and included a 23% reduction in special mention loans and a 2% reduction in classified loans. Year-over-year, criticized loans were down $123.6 million, or 28%, from $448.7 million at March 31, 2025. The criticized loan ratio improved to 2.22% of total loans receivable at March 31, 2026, down 17 basis points from 2.39% at December 31, 2025, and down 114 basis points from 3.36% at March 31, 2025. The reductions reflected successful resolutions of problem loans.

The following table sets forth the breakdown of criticized loans at March 31, 2026, December 31, 2025, and March 31, 2025:

(dollars in thousands) (unaudited)

3/31/2026

12/31/2025

3/31/2025

Special mention loans

72,668

94,003

184,659

Classified loans

252,410

257,113

264,064

Total criticized loans

325,078

351,116

448,723

Criticized loans/total loans receivable

2.22

2.39

3.36

Nonperforming assets. Nonperforming assets totaled $120.5 million, or 0.65% of total assets, at March 31, 2026, compared with $136.1 million, or 0.73% of total assets, at December 31, 2025, and $83.9 million, or 0.49% of total assets, at March 31, 2025.

The following table sets forth the components of nonperforming assets at March 31, 2026, December 31, 2025, and March 31, 2025:

(dollars in thousands) (unaudited)

3/31/2026

12/31/2025

3/31/2025

Loans on nonaccrual status (1)

109,512

131,747

83,808

Accruing delinquent loans past due 90 days or more

10,642

3,943

Total nonperforming loans

120,154

135,690

83,906

Other real estate owned

365

—

Total nonperforming assets

120,519

136,055

83,906

Nonperforming assets/total assets

0.65

0.73

0.49

(1)

Excludes delinquent SBA loans that are guaranteed and currently in liquidation totaling $19.4 million, $15.6 million and $11.8 million at March 31, 2026, December 31, 2025, and March 31, 2025, respectively.

Net charge offs. The Company recorded net charge-offs of $10.7 million for the first quarter of 2026, equivalent to 0.29%, annualized, of average loans. This compares with net charge-offs of $3.6 million, or 0.10%, annualized, of average loans for the fourth quarter of 2025 and $8.3 million, or 0.25%, annualized, of average loans for the first quarter of 2025.

Allowance for credit losses. The allowance for credit losses totaled $155.1 million at March 31, 2026, compared with $156.7 million at December 31, 2025, and $147.4 million at March 31, 2025. The allowance coverage ratio was 1.06% of loans receivable at March 31, 2026, compared with 1.07% at December 31, 2025, and 1.11% at March 31, 2025. The year-over-year change in the allowance coverage ratio largely reflected the impact of the Territorial Bancorp acquisition.

The following table sets forth the allowance for credit losses and the coverage ratios at March 31, 2026, December 31, 2025, and March 31, 2025:

(dollars in thousands) (unaudited)

3/31/2026

12/31/2025

3/31/2025

Allowance for credit losses

155,114

156,661

147,412

Allowance for credit losses/loans receivable

1.06

1.07

1.11

Provision for credit losses. For the first quarter of 2026, the Company recorded provision for credit losses of $8.7 million, compared with $7.2 million for the fourth quarter of 2025 and $4.8 million for the first quarter of 2025. The quarter-over-quarter increase in the provision for credit losses primarily reflected higher net charge-offs in the first quarter of 2026.

Capital

At March 31, 2026, the Company and the Bank’s capital ratios continued to exceed all regulatory capital requirements generally required to meet the definition of a “well-capitalized” financial institution. The completion of the Territorial Bancorp acquisition on April 2, 2025, impacted prior year capital and capital ratio comparisons.

The following table sets forth the regulatory capital ratios for the Company at March 31, 2026, December 31, 2025, and March 31, 2025:

(unaudited)

3/31/2026

12/31/2025

3/31/2025

Minimum Guideline

for “Well-Capitalized”

Common Equity Tier 1 Capital Ratio

12.35%

12.27%

13.28%

6.50%

Tier 1 Capital Ratio

13.04%

12.96%

14.02%

8.00%

Total Capital Ratio

14.07%

13.99%

15.06%

10.00%

Leverage Ratio

11.11%

11.05%

11.92%

5.00%

During the first quarter of 2026, the Company repurchased 604,161 shares of common stock, equivalent to 0.5% of outstanding common stock, at an average price of $11.10 per share, for a total of $6.7 million, pursuant to its existing share repurchase authorization of $35.3 million.

At March 31, 2026, total stockholders’ equity was $2.28 billion, unchanged compared with December 31, 2025. Book value per share at March 31, 2026, was $17.86 compared with $17.81 at December 31, 2025. Tangible common equity (“TCE”) per share (2) was $13.73 at March 31, 2026, compared with $13.71 at December 31, 2025.

(2)

TCE per share is a non-GAAP financial measure. Quantitative reconciliations of the most directly comparable GAAP to non-GAAP financial measures are provided in the accompanying financial information on Table Pages 9 to 11.

Investor Conference Call

The Company previously announced that it will host an investor conference call on Tuesday, April 28, 2026, at 9:30 a.m. Pacific Time / 12:30 p.m. Eastern Time to review its unaudited financial results for its first quarter ended March 31, 2026. Investors and analysts are invited to access the conference call by dialing 866-235-9917 (domestic) or 412-902-4103 (international) and asking for the “Hope Bancorp Call.” A presentation to accompany the earnings call will be available at the Investor Relations section of Hope Bancorp’s website at www.ir-hopebancorp.com. Other interested parties are invited to listen to a live webcast of the call available at the Investor Relations section of Hope Bancorp’s website. After the live webcast, a replay will remain available at the Investor Relations section of Hope Bancorp’s website for at least one year. A telephonic replay of the call will be available at 855-669-9658 (domestic) or 412-317-0088 (international) for one week through May 5, 2026, with the replay access code 6856895.

Non-GAAP Financial Metrics

This news release and accompanying financial tables contain certain non-GAAP financial measure disclosures, including net income excluding notable items, earnings per share excluding notable items, noninterest expense excluding notable items, efficiency ratio excluding notable items, effective tax rate excluding notable items, PPNR, PPNR excluding notable items, ROA excluding notable items, ROE excluding notable items, ROTCE, ROTCE excluding notable items, TCE per share and TCE ratio. Management believes these non-GAAP financial measures provide meaningful supplemental information regarding the Company’s operational performance and the Company’s capital levels and has included these figures in response to market participant interest in these financial metrics. Quantitative reconciliations of the most directly comparable GAAP to non-GAAP financial measures are provided in the accompanying financial information on Table Pages 9 through 11.

About Hope Bancorp, Inc.

Hope Bancorp, Inc. (NASDAQ: HOPE) is the holding company for Bank of Hope, with $18.66 billion in total assets as of March 31, 2026. Following the addition of Territorial Savings as a division of Bank of Hope, the Company became the largest regional bank serving multicultural customers across the continental United States and Hawaii. Headquartered in Los Angeles, Bank of Hope offers a comprehensive range of commercial, corporate, and consumer banking products and services, including commercial and commercial real estate lending, SBA lending, residential mortgage and consumer lending, treasury management, foreign exchange solutions, interest rate derivatives, and international trade finance. Bank of Hope operates 45 full-service branches in California, New York, New Jersey, Washington, Texas, Illinois, Alabama and Georgia under the Bank of Hope banner, and 28 branches in Hawaii under the Territorial Savings banner. Bank of Hope also operates SBA loan production offices, commercial loan production offices, and residential mortgage loan production offices throughout the United States, and a representative office in Seoul, South Korea. Bank of Hope is a California-chartered bank, and its deposits are insured by the FDIC to the extent provided by law. Bank of Hope is an Equal Opportunity Lender. For additional information, please go to www.bankofhope.com for Bank of Hope and www.tsbhawaii.bank for Territorial Savings, a division of Bank of Hope. By including the foregoing website address links, the Company does not intend to and shall not be deemed to incorporate by reference any material contained or accessible therein.

Forward-Looking Statements

Some statements in this news release may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include, but are not limited to, statements preceded by, followed by or that include the words “will”, “believes”, “expects”, “anticipates”, “intends”, ”plans”, “estimates”, “projects”, and similar expressions and statements regarding Hope Bancorp’s strategic initiatives, the acquisition of the Commercial Banking Unit of SMBC MANUBANK (“MANUBANK”), and Hope Bancorp’s future financial and operational results and capital allocation strategy. With respect to any such forward-looking statements, Hope Bancorp claims the protection provided for in the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties. Hope Bancorp’s actual results, performance or achievements may differ significantly from the results, performance or achievements expressed or implied in any forward-looking statements. With the consummation of the pending acquisition of MANUBANK, factors that may cause actual outcomes to differ from what is expressed or forecasted in these forward-looking statements include, among other things: the failure of the conditions to closing to be satisfied or waived; difficulties and delays in integrating Hope Bancorp and MANUBANK and achieving anticipated synergies, cost savings and other benefits from the transaction; higher than anticipated transaction costs; and deposit attrition, operating costs, customer loss and business disruption following the acquisition, including difficulties in maintaining relationships with employees and customers, which may be greater than expected. The closing of the proposed transaction is subject to regulatory approvals and the satisfaction of other customary closing conditions. Other risks and uncertainties include, but are not limited to: possible deterioration of economic conditions in Hope Bancorp’s areas of operation and in the U.S. generally or elsewhere, including as a result of the interest rate environment, supply chain disruptions, inflation, labor shortages, changes in the housing and real estate markets, consumer confidence and spending habits; risk of adverse economic or political conditions in South Korea; interest rate risk associated with volatile interest rates and related asset‑liability matching risk; liquidity risks; the possibility that Hope Bancorp may discontinue or otherwise limit repurchases of its common stock from time to time; risk of significant non‑earning assets and net credit losses that could occur, particularly in times of weak economic conditions or rising interest rates; the failure of or changes to assumptions and estimates underlying Hope Bancorp’s allowance for credit losses; risk of natural disasters; risk of cybersecurity incidents; potential increases in deposit insurance assessments and regulatory risks associated with current and future regulations; the outcome of any legal proceedings that may be instituted against Hope Bancorp; and the impact of U.S. and global trade policies, including changes in, or the imposition of, tariffs and/or trade barriers and the economic impacts, volatility and uncertainty resulting therefrom including fluctuations in commodity prices such as oil, as well as geopolitical instability and international tensions. For additional information concerning these and other risk factors, see Hope Bancorp’s most recent Annual Report on Form 10‑K and other documents Hope Bancorp files with the SEC from time to time. Hope Bancorp does not undertake, and specifically disclaims, any obligation to update any forward‑looking statements to reflect the occurrence of events or circumstances after the date of such statements except as required by law.

Hope Bancorp, Inc.

Selected Financial Data

Unaudited (dollars in thousands, except share data)

Assets:

3/31/2026

12/31/2025

% change

3/31/2025

% change

Cash and due from banks

594,769

560,059

733,482

(19

Investment securities

2,185,952

2,072,864

2,088,586

Federal Home Loan Bank (“FHLB”) stock and other investments

68,800

60,176

103,486

(34

Gross loans, including loans held for sale

14,737,143

14,787,917

13,335,477

Allowance for credit losses

(155,114

)

(156,661

)

(147,412

)

Accrued interest receivable

53,734

52,211

49,986

Premises and equipment, net

68,621

69,589

52,296

Goodwill and intangible assets

528,021

525,938

466,405

Other assets

574,938

559,533

386,010

Total assets

18,656,864

18,531,626

17,068,316

Liabilities:

Deposits

15,726,442

15,603,143

14,488,319

FHLB and Federal Reserve Bank (“FRB”) borrowings

284,966

284,922

100,000

185

Subordinated debentures and convertible notes, net

111,316

110,962

109,921

Accrued interest payable

68,399

78,310

(13

81,436

(16

Other liabilities

182,361

171,021

128,607

Total liabilities

16,373,484

16,248,358

14,908,283

Stockholders’ Equity:

Common stock, $0.001 par value

146

138

Additional paid-in capital

1,523,015

1,523,702

1,445,153

Retained earnings

1,183,986

1,172,394

1,185,721

Treasury stock, at cost

(271,372

)

(264,667

)

(264,667

)

Accumulated other comprehensive loss, net

(152,395

)

(148,307

)

(206,312

)

Total stockholders’ equity

2,283,380

2,283,268

2,160,033

Total liabilities and stockholders’ equity

18,656,864

18,531,626

17,068,316

Common stock shares – authorized

300,000,000

Common stock shares – outstanding

127,822,689

128,201,655

121,074,988

Treasury stock shares

17,986,996

17,382,835

Hope Bancorp, Inc.

Selected Financial Data

Unaudited (dollars in thousands, except share and per share data)

Three Months Ended

3/31/2026

12/31/2025

% change

3/31/2025

% change

Interest and fees on loans

205,919

214,128

194,961

Interest on investment securities

19,218

21,107

15,892

Interest on cash and deposits at other banks

3,778

4,204

(10

5,205

(27

Interest on other investments and FHLB dividends

1,229

767

1,108

Total interest income

230,144

240,206

217,166

Interest on deposits

101,455

109,388

113,585

(11

Interest on borrowings

4,632

3,413

2,764

Total interest expense

106,087

112,801

116,349

Net interest income

124,057

127,405

100,817

Provision for credit losses

8,650

7,200

4,800

Net interest income after provision

115,407

120,205

96,017

Service fees on deposit accounts

3,335

3,249

2,921

Net gains on sales of SBA loans

3,266

2,566

3,131

Other customer driven income and fees

7,132

9,059

(21

5,699

Net gains on sales of securities available for sale

604

1,168

(48

—

Other noninterest income

2,630

2,309

3,937

(33

Total noninterest income

16,967

18,351

15,688

Salaries and employee benefits

56,223

57,906

48,460

Occupancy, furniture and equipment

10,566

11,545

8,836

Software-related, data and item processing

9,853

9,788

6,950

Amortization of investments in affordable housing partnerships

2,474

2,940

(16

1,961

FDIC assessment

2,814

3,051

2,502

FDIC special assessment expense (reversal)

(58

)

(691

)

(92

—

Earned interest credit

2,383

3,028

(21

3,087

(23

Merger and restructuring related costs

234

776

(70

2,519

(91

Other noninterest expense

9,966

11,085

(10

9,546

Total noninterest expense

94,455

99,428

83,861

Income before income taxes

37,919

39,128

27,844

Income tax provision

8,379

4,662

6,748

Net income

29,540

34,466

(14

21,096

Earnings per common share – diluted

0.23

0.27

0.17

Weighted average shares outstanding – diluted

128,723,654

128,769,564

121,433,080

Hope Bancorp, Inc.

Selected Financial Data

Unaudited

Three Months Ended

Profitability measures (annualized, except as noted):

3/31/2026

12/31/2025

3/31/2025

Earnings per common share - diluted (not annualized)

0.23

0.27

0.17

Earnings per common share - diluted excluding notable items (not annualized) (1)

0.23

0.27

0.19

Return on average assets (“ROA”)

0.64

0.74

0.49

ROA excluding notable items (1)

0.64

0.74

0.54

Return on average equity (“ROE”)

5.14

6.06

3.93

ROE excluding notable items (1)

5.16

6.06

4.26

Return on average tangible common equity (“ROTCE”) (1)

6.66

7.87

5.02

ROTCE excluding notable items (1)

6.69

7.88

5.44

Net interest margin

2.90

2.54

Efficiency ratio (not annualized)

66.98

68.22

71.98

Efficiency ratio excluding notable items (not annualized) (1)

66.85

68.16

69.82

(1)

Earnings per common share - diluted excluding notable items, ROA excluding notable items, ROE excluding notable items, ROTCE, ROTCE excluding notable items, and efficiency ratio excluding notable items are non-GAAP financial measures. Quantitative reconciliations of the most directly comparable GAAP to non-GAAP financial measures are provided in the accompanying financial information on Table Pages 9 through 11.

Hope Bancorp, Inc.

Selected Financial Data

Unaudited (dollars in thousands)

Three Months Ended

3/31/2026

12/31/2025

3/31/2025

Interest

Annualized

Interest

Annualized

Interest

Annualized

Average

Income/

Average

Income/

Average

Income/

Average

Balance

Expense

Yield/Cost

Balance

Expense

Yield/Cost

Balance

Expense

Yield/Cost

INTEREST EARNING ASSETS:

Loans, including loans held for sale

14,689,516

205,919

5.69

14,646,767

214,128

5.80

13,455,201

194,961

5.88

Investment securities

2,149,595

19,218

3.63

2,261,726

21,107

3.70

2,083,809

15,892

3.09

Interest earning cash and deposits at other banks

437,990

3,778

3.50

433,029

4,204

3.85

496,512

5,205

4.25

FHLB stock and other investments

51,682

1,229

9.64

63,961

767

4.76

87,065

1,108

5.16

Total interest earning assets

17,328,783

230,144

5.39

17,405,483

240,206

5.48

16,122,587

217,166

5.46

INTEREST BEARING LIABILITIES:

Deposits:

Money market, interest bearing demand and savings

5,862,722

41,422

2.87

6,023,423

45,901

3.02

5,452,632

50,619

3.76

Time deposits

6,357,880

60,033

3.83

6,310,036

63,487

3.99

5,674,095

62,966

4.50

Total interest bearing deposits

12,220,602

101,455

3.37

12,333,459

109,388

3.52

11,126,727

113,585

4.14

FHLB and FRB borrowings

284,936

2,408

3.43

122,986

1,063

3.43

121,400

356

1.19

Subordinated debentures and convertible notes

107,198

2,224

8.30

106,835

2,350

8.61

105,815

2,408

9.10

Total interest bearing liabilities

12,612,736

106,087

3.41

12,563,280

112,801

3.56

11,353,942

116,349

4.16

Noninterest bearing demand deposits

3,347,070

3,474,131

3,344,732

Total funding liabilities/cost of funds

15,959,806

2.70

16,037,411

2.79

14,698,674

3.21

Net interest income/net interest spread

124,057

1.98

127,405

1.92

100,817

1.30

Net interest margin

2.90

2.54

Cost of deposits:

Noninterest bearing demand deposits

3,347,070

—

3,474,131

—

3,344,732

—

Interest bearing deposits

12,220,602

101,455

3.37

12,333,459

109,388

3.52

11,126,727

113,585

4.14

Total deposits

15,567,672

101,455

2.64

15,807,590

109,388

2.75

14,471,459

113,585

3.18

Hope Bancorp, Inc.

Selected Financial Data

Unaudited (dollars in thousands)

Three Months Ended

AVERAGE BALANCES:

3/31/2026

12/31/2025

% change

3/31/2025

% change

Gross loans, including loans held for sale

14,689,516

14,646,767

13,455,201

Interest earning assets

17,328,783

17,405,483

16,122,587

Goodwill and intangible assets

525,532

524,118

466,633

Total assets

18,521,103

18,595,446

17,084,378

Noninterest bearing demand deposits

3,347,070

3,474,131

3,344,732

Interest bearing deposits

12,220,602

12,333,459

11,126,727

Total deposits

15,567,672

15,807,590

14,471,459

Stockholders’ equity

2,299,203

2,275,285

2,148,079

LOAN PORTFOLIO:

3/31/2026

12/31/2025

% change

3/31/2025

% change

Loans receivable (held for investment)

14,639,689

14,701,012

13,335,294

Loans held for sale

97,454

86,905

183

Gross loans

14,737,143

14,787,917

13,335,477

CRE LOANS HELD FOR INVESTMENT BY PROPERTY TYPE:

3/31/2026

12/31/2025

% change

3/31/2025

% change

Multi-tenant retail

1,586,993

1,618,715

1,574,711

Industrial warehouses

1,282,413

1,258,703

1,263,037

Multifamily

1,189,481

1,191,145

1,202,577

Gas stations and car washes

1,160,481

1,176,491

1,084,310

Mixed-use facilities

677,227

691,821

699,776

Hotels/motels

826,422

821,845

757,814

Single-tenant retail

648,494

658,440

651,950

Office

331,939

331,603

347,115

All other

754,223

745,745

795,816

Total CRE loans

8,457,673

8,494,508

8,377,106

DEPOSIT COMPOSITION:

3/31/2026

12/31/2025

% change

3/31/2025

% change

Noninterest bearing demand deposits

3,387,757

3,371,759

3,362,842

Money market, interest bearing demand, and savings

6,036,197

5,856,373

5,410,471

Time deposits

6,302,488

6,375,011

5,715,006

Total deposits

15,726,442

15,603,143

14,488,319

Hope Bancorp, Inc.

Selected Financial Data

Unaudited (dollars in thousands, except share and per share data)

CAPITAL & CAPITAL RATIOS:

3/31/2026

12/31/2025

3/31/2025

Total stockholders’ equity

2,283,380

2,283,268

2,160,033

Total capital

2,171,355

2,171,256

2,153,418

Common equity tier 1 ratio

12.35

12.27

13.28

Tier 1 capital ratio

13.04

12.96

14.02

Total capital ratio

14.07

13.99

15.06

Leverage ratio

11.11

11.05

11.92

Total risk weighted assets

15,436,061

15,520,691

14,297,471

Book value per common share

17.86

17.81

17.84

Tangible common equity (“TCE”) per share (1)

13.73

13.71

13.99

TCE ratio (1)

9.68

9.76

10.20

(1)

TCE per share and TCE ratio are non-GAAP financial measures. Quantitative reconciliations of the most directly comparable GAAP to non-GAAP financial measures are provided in the accompanying financial information on Table Page 9.

ALLOWANCE FOR CREDIT LOSSES CHANGES:

Three Months Ended

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

Balance at beginning of period

156,661

152,509

149,505

147,412

150,527

Initial allowance for purchased credit deteriorated (“PCD”) loans and purchased seasoned loans (“PSL”) acquired (2)

—

3,971

—

Provision for losses on loans

9,200

7,800

8,100

10,092

5,200

Recoveries

322

1,694

1,517

2,844

233

Charge offs

(11,069

)

(5,342

)

(6,613

)

(14,814

)

(8,548

)

Balance at end of period

155,114

156,661

152,509

149,505

147,412

(2)

During the fourth quarter of 2025, the Company adopted ASU 2025-08 effective January 1, 2025, and applied the guidance to the acquisition of Territorial Bancorp, which was completed on April 2, 2025. The presentation of prior periods has been adjusted accordingly.

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

Allowance for unfunded loan commitments

2,783

3,333

3,933

3,323

2,323

Three Months Ended

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

Provision for losses on loans

9,200

7,800

8,100

10,092

5,200

Provision (credit) for unfunded loan commitments

(550

)

(600

)

610

1,000

(400

)

Provision for credit losses

8,650

7,200

8,710

11,092

4,800

Hope Bancorp, Inc.

Selected Financial Data

Unaudited (dollars in thousands)

NET LOAN CHARGE OFFS (RECOVERIES):

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

CRE loans

817

(1,467

)

(933

)

(843

)

899

C&I loans

9,931

5,169

5,978

11,829

7,384

Residential mortgage and other loans

)

(54

)

984

Net loan charge offs

10,747

3,648

5,096

11,970

8,315

Net charge offs/average loans (annualized)

0.29

0.10

0.14

0.33

0.25

NONPERFORMING ASSETS:

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

Loans on nonaccrual status (1)

109,512

131,747

110,010

110,739

83,808

Accruing delinquent loans past due 90 days or more

10,642

3,943

2,149

Total nonperforming loans

120,154

135,690

112,159

112,888

83,906

Other real estate owned (“OREO”)

365

—

Total nonperforming assets

120,519

136,055

112,159

112,888

83,906

Nonperforming assets/total assets

0.65

0.73

0.61

0.49

Nonperforming loans/loans receivable

0.82

0.92

0.77

0.78

0.63

Nonaccrual loans/loans receivable

0.75

0.90

0.75

0.77

0.63

Allowance for credit losses/loans receivable

1.06

1.07

1.05

1.04

1.11

Allowance for credit losses/nonperforming loans

129.10

115.46

135.98

132.44

175.69

(1)

Excludes delinquent SBA loans that are guaranteed and currently in liquidation totaling $19.4 million, $15.6 million, $15.3 million, $15.3 million, and $11.8 million, at March 31, 2026, December 31, 2025, September 30, 2025, June 30, 2025, and March 31, 2025, respectively.

NONACCRUAL LOANS BY TYPE:

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

CRE loans

52,920

65,106

54,016

55,368

24,106

C&I loans

42,538

53,136

45,494

46,945

50,544

Residential mortgage and other loans

14,054

13,505

10,500

8,426

9,158

Total nonaccrual loans

109,512

131,747

110,010

110,739

83,808

ACCRUING DELINQUENT LOANS 30-89 DAYS PAST DUE:

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

30 - 59 days past due

29,621

19,056

15,788

4,909

11,927

60 - 89 days past due

4,244

5,117

2,843

27,719

Total accruing delinquent loans 30-89 days past due

29,680

23,300

20,905

7,752

39,646

ACCRUING DELINQUENT LOANS 30-89 DAYS PAST DUE BY TYPE:

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

CRE loans

11,819

12,064

14,872

4,377

4,993

C&I loans

604

2,209

3,356

1,084

27,455

Residential mortgage and other loans

17,257

9,027

2,677

2,291

7,198

Total accruing delinquent loans 30-89 days past due

29,680

23,300

20,905

7,752

39,646

CRITICIZED LOANS:

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

Special mention loans

72,668

94,003

131,384

137,313

184,659

Classified loans

252,410

257,113

241,483

277,418

264,064

Total criticized loans

325,078

351,116

372,867

414,731

448,723

Hope Bancorp, Inc.

Selected Financial Data

Unaudited (dollars in thousands, except share and per share data)

Reconciliation of GAAP financial measures to non-GAAP financial measures

Management reviews select non-GAAP financial measures in evaluating the Company’s and the Bank’s financial performance and in response to market participant interest. Reconciliations of the most directly comparable GAAP to non-GAAP financial measures utilized by management are provided below.

3/31/2026

12/31/2025

3/31/2025

Total stockholders’ equity

2,283,380

2,283,268

2,160,033

Goodwill and core deposit intangible assets, net

(528,021

)

(525,938

)

(466,405

)

TCE

1,755,359

1,757,330

1,693,628

Total assets

18,656,864

18,531,626

17,068,316

Goodwill and core deposit intangible assets, net

(528,021

)

(525,938

)

(466,405

)

Tangible assets

18,128,843

18,005,688

16,601,911

TCE ratio

9.68

9.76

10.20

Common shares outstanding

127,822,689

128,201,655

121,074,988

Book value per share (GAAP)

17.86

17.81

17.84

TCE per share

13.73

13.71

13.99

Three Months Ended

RETURN ON AVERAGE TANGIBLE COMMON EQUITY (“ROTCE”)

3/31/2026

12/31/2025

3/31/2025

Average stockholders’ equity

2,299,203

2,275,285

2,148,079

Average goodwill and core deposit intangible assets, net

(525,532

)

(524,118

)

(466,633

)

Average TCE

1,773,671

1,751,167

1,681,446

Net income (GAAP)

29,540

34,466

21,096

ROTCE (annualized)

6.66

7.87

5.02

Hope Bancorp, Inc.

Selected Financial Data

Unaudited (dollars in thousands, except share and per share data)

Three Months Ended

PRE-PROVISION NET REVENUE (“PPNR”)

3/31/2026

12/31/2025

3/31/2025

Net interest income

124,057

127,405

100,817

Noninterest income

16,967

18,351

15,688

Revenue

141,024

145,756

116,505

Less: Noninterest expense

94,455

99,428

83,861

PPNR

46,569

46,328

32,644

Notable items:

FDIC special assessment expense (reversal)

(58

)

(691

)

—

Merger and restructuring-related costs

234

776

2,519

Total notable items included in PPNR

176

2,519

PPNR, excluding notable items

46,745

46,413

35,163

Three Months Ended

PROFITABILITY RATIOS EXCLUDING NOTABLE ITEMS

3/31/2026

12/31/2025

3/31/2025

Net income (GAAP)

29,540

34,466

21,096

Notable items:

FDIC special assessment expense (reversal)

(58

)

(691

)

—

Merger and restructuring-related costs

234

776

2,519

Total notable items included in pre-tax income

176

2,519

Tax effect on notable items in pre-tax income

(50

)

(25

)

(741

)

Notable impact from California state tax apportionment law change

—

(49

)

—

Total notable items, net of tax

126

1,778

Net income excluding notable items

29,666

34,477

22,874

Diluted common shares

128,723,654

128,769,564

121,433,080

EPS excluding notable items

0.23

0.27

0.19

Average assets

18,521,103

18,595,446

17,084,378

ROA excluding notable items (annualized)

0.64

0.74

0.54

Average equity

2,299,203

2,275,285

2,148,079

ROE excluding notable items (annualized)

5.16

6.06

4.26

Average TCE

1,773,671

1,751,167

1,681,446

ROTCE excluding notable items (annualized)

6.69

7.88

5.44

Selected Financial Data

Unaudited (dollars in thousands, except share and per share data)

Three Months Ended

EFFICIENCY RATIO EXCLUDING NOTABLE ITEMS

3/31/2026

12/31/2025

3/31/2025

Noninterest expense

94,455

99,428

83,861

Notable items:

FDIC special assessment expense reversal

691

—

Merger and restructuring-related costs

(234

)

(776

)

(2,519

)

Noninterest expense excluding notable items

94,279

99,343

81,342

Revenue

141,024

145,756

116,505

Efficiency ratio excluding notable items

66.85

68.16

69.82

Three Months Ended

EFFECTIVE TAX RATE EXCLUDING NOTABLE ITEMS

3/31/2026

12/31/2025

3/31/2025

Income before income taxes

37,919

39,128

27,844

Notable items before tax effect

176

2,519

Income before tax excluding notable items

38,095

39,213

30,363

GAAP income tax provision

8,379

4,662

6,748

Tax effect on notable items in pre-tax income

741

Notable impact from California state tax apportionment law change

—

Income tax provision excluding notable items

8,429

4,736

7,489

Effective tax rate excluding notable items

22.13

12.08

24.66