The market expects Banc of California (BANC) to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended March 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be rel ...

bluejayphoto Banc of California (NYSE:BANC) makes an attractive valuable position for bank investors as shares provide an attractive 3% dividend yield and the regional lender keeps selling for an attractive discount to its long term average P/B ratio. Banc of California owns a well-performing core loan portfolio with a very strong asset quality profile and the bank has upside revaluation potential related to an improvement in its net interest margin. With shares continuing to trade well below book value, I ...

Core Insights - Banc of California has appointed Greg Smith as senior vice president of Digital Strategy to enhance its client-centric digital experience [1][2] - Smith's previous experience includes leading digital initiatives at City National Bank and Transamerica, focusing on improving digital banking tools [2][3] - The bank aims to strengthen client relationships and market position through enhanced digital offerings [2] Company Overview - Banc of California, Inc. is a bank holding company headquartered in Los Angeles, operating as a relationship-based business bank [4] - The bank provides a wide range of banking and treasury management services to small, middle-market, and venture-backed businesses [4] - Banc of California operates over 90 full-service branches across California, Denver, and Durham, and offers full-stack payment processing solutions through its subsidiary, Deepstack Technologies [4]

LOS ANGELES--(BUSINESS WIRE)--Banc of California, Inc. (NYSE: BANC) today announced that its wholly owned subsidiary and premier relationship-focused business bank, Banc of California, has been recognized by Newsweek and Plant-A Insights Group as one of America’s Greatest Workplaces for Women 2024. The list recognizes the top 1,000 companies in the United States based on their performance across various metrics crucial to women in the workforce including compensation, work-life balance and proactive managem ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-K ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 Commission File No. 001-35522 BANC OF CALIFORNIA, INC. (Exact name of registrant as specified in its charter) Maryland 04-3639825 (State or other jurisdiction of incorporation or organization) (I.R.S. Empl ...

Company Announcement - Michael David has joined Banc of California as the executive vice president for Technology Banking-West, a newly created role within the Venture Banking group [1] - David brings over 25 years of experience in banking and finance, with a focus on Silicon Valley, and previously served as a senior vice president and managing director at Bridge Bank [1] - He will be based in Menlo Park, California, and report to Sean Lynden, president of the Venture Banking group [1] Strategic Focus - David's role will involve building and growing venture banking relationships and driving new technology business opportunities on the West Coast and beyond [1] - Banc of California aims to expand its venture banking capabilities and expertise to a new set of clients through David and his team [1] Company Overview - Banc of California is the third-largest bank based in California, with $38 billion in assets [2] - The bank provides specialized financial services tailored to entrepreneurs, private equity, and venture capital investors through its robust venture banking arm [2] - Key hubs for the Venture Banking group are located in Menlo Park/Silicon Valley, Austin, Denver, Boston, New York, and Mid-Atlantic/Washington, D.C. [2] Business Services - The Venture Banking group offers venture debt, fund finance, and treasury and cash management solutions [2] - Key lines of business served include VC-backed multi-stage tech companies, VC and PE fund finance, developing life science companies, and comprehensive treasury management services [2] Operational Reach - Banc of California operates more than 90 full-service branches throughout California, Denver, Colorado, and Durham, North Carolina [3] - The bank also provides full-stack payment processing solutions through its subsidiary, Deepstack Technologies [3] - It serves the Community Association Management industry nationwide with its technology-forward platform, SmartStreet™ [3] Community Commitment - Banc of California is committed to supporting local communities through financial literacy, job training, small business support, and affordable housing initiatives [3]

Core Viewpoint - Banc of California, Inc. has completed a merger with PacWest Bancorp, positioning itself as the third-largest bank headquartered in California and enhancing its market presence. The preferred stock, BANC-F, is rated as a Buy due to its yield and potential yield to call (YTC) [1][4][13]. Company Overview - Banc of California, Inc. provides a range of banking products and services primarily to small and medium-sized businesses in California, including personal banking, commercial banking, and specialty banking services. The bank was established in 1941 [3][4]. Merger Details - The merger with PacWest Bancorp has resulted in the combined entity being the third-largest bank in California, although it ranks about eighth in terms of branches. The merger included a $400 million equity raise from investment firms [4][5]. - As part of the merger, Banc of California and Pacific Western Bank have sold approximately $1.9 billion in assets to reposition their balance sheets, with additional asset sales expected through the first quarter of 2024 [5]. Preferred Stock Analysis - The preferred stock BANC-F has a fixed dividend rate of 7.75% and is subject to a call date of September 1, 2027. It will convert to a floating rate based on the 5-Year UST rate plus 4.82% after the call date [7][12]. - BANC-F is currently viewed as riskier compared to other bank preferreds, indicated by its higher yield and YTC. It has the highest floating rate among its peers, which increases the likelihood of being called [12][13]. Market Context - The performance of BANC-F has been influenced by broader market conditions, particularly the Federal Open Market Committee (FOMC) rate expectations. The market has shifted towards a neutral stance regarding interest rate cuts, impacting the pricing of fixed-income assets [14]. Conclusion - The merger and subsequent financial strategies have positioned Banc of California favorably, with the preferred stock BANC-F offering attractive yields. Investors are encouraged to consider the insights from various contributors on Seeking Alpha regarding the merger's implications [15].

Financial Data and Key Metrics Changes - The company reported a CET1 ratio above the 10% target, achieving nearly $15 in tangible book value, surpassing previous guidance of the mid-to-low $14 range [5][6] - The estimated spot rate for loan yields was 6.18%, with a net interest margin of 2.75%, up from 1.69% in the previous quarter [11][12] - The company expects the net interest margin to approach 3% in the first quarter of 2024 due to improvements in earning asset yields and a reduction in the cost of funds [12][13] Business Line Data and Key Metrics Changes - The company completed the sale of approximately $6 billion in assets, including a $1.7 billion SFR portfolio and $700 million of the multifamily portfolio, which contributed to a significant reduction in higher-cost wholesale funding [7][8] - The company retained a portion of its multifamily portfolio, which has attractive yields, indicating a strategic decision to maintain well-performing loans [9] Market Data and Key Metrics Changes - The company is now the third largest bank headquartered in California, with a strong presence across the state and a focus on serving businesses with tailored solutions [6][7] - The company has started to regain operating deposit accounts from former PacWest clients, indicating a recovery in client relationships post-merger [10] Company Strategy and Development Direction - The company aims to optimize its balance sheet and enhance profitability through strategic asset sales and a focus on low-cost deposits [9][19] - The company is organized around community banking and specialty alliances, providing a range of financial services tailored to specific industries [16][17] - The company sees significant opportunities in the California banking market due to competitors exiting or reducing their presence, allowing for the acquisition of new client relationships [18][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the credit quality of the loan portfolio, stating that the merger process allowed for a thorough review and resolution of weaker credits [21] - The company anticipates a reasonable level of loan demand and expects total loan balances to be flat to slightly down by the end of 2024, with growth expected in 2025 as economic conditions improve [20][21] - Management highlighted the importance of maintaining a strong focus on profitability, regardless of balance sheet size [31] Other Important Information - The company expects to achieve cost savings from the merger throughout 2024, with a target OpEx ratio of approximately 2% of total assets by the fourth quarter of 2024 [14][15] - The company is actively working on its payments ecosystem, which includes merchant processing and issuing credit cards, with expectations for meaningful contributions to fee income in the future [70][71] Q&A Session Summary Question: What are the expectations for expenses in the upcoming quarter? - Management indicated that the OpEx ratio is expected to be between 210% and 220% in the first quarter, with ongoing initiatives to realize cost savings throughout the year [24][25] Question: How should we think about overall average earning assets this year? - Management expects earning assets to remain relatively flat, with potential for slight reductions as liquidity is deployed against high-cost deposits [30][31] Question: What is the appetite for a buyback given the current capital levels? - Management stated that once sufficient excess capital is built up, various options, including share buybacks, will be considered [34] Question: How do you plan to manage deposit levels throughout the year? - Management emphasized the importance of non-interest bearing deposits and maintaining a loan-to-deposit ratio below 90%, with initiatives in place to grow non-interest bearing deposits [36][38] Question: Can you elaborate on the types of talent being added to the company? - Management mentioned the addition of leaders in various areas, including venture banking and corporate communications, while managing expenses within targets [40] Question: What is the expected contribution from the payments business? - Management indicated that the payments business is expected to contribute meaningfully to fee income in 2024, with ongoing developments in merchant processing and credit card issuance [70][71]

Draft v4.5 1/21/24 Investor Presentation 2023 Fourth Quarter Results Forward Looking Statements This presentation includes forward-looking statements within the meaning of the "Safe-Harbor" provisions of the Private Securities Litigation Reform Act of 1995. Words or phrases such as "believe," "will," "should," "will likely result," "are expected to," "will continue," "is anticipated," "estimate," "project," "plans," "strategy," or similar expressions are intended to identify these forward-looking statements ...

For the quarter ended December 2023, Banc of California (BANC) reported revenue of $193.06 million, up 145% over the same period last year. EPS came in at -$0.46, compared to $0.45 in the year-ago quarter.The reported revenue represents a surprise of +23.13% over the Zacks Consensus Estimate of $156.8 million. With the consensus EPS estimate being -$0.32, the EPS surprise was -43.75%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to W ...