Core Viewpoint - California BanCorp (BCAL) has shown a modest gain of 0.2% over the past four weeks, closing at $16.30, with analysts suggesting a potential upside of 26.8% based on a mean price target of $20.67 [1] Price Targets - The average price target for BCAL ranges from a low of $19 to a high of $22, with a standard deviation of $1.53, indicating a potential increase of 16.6% to 35% from the current price level [2] - A low standard deviation suggests a strong agreement among analysts regarding the price targets, which can be a good starting point for further research [7] Analyst Sentiment - Analysts have shown growing optimism regarding BCAL's earnings prospects, as indicated by a positive trend in earnings estimate revisions, which historically correlates with stock price movements [9] - Over the last 30 days, the Zacks Consensus Estimate for BCAL's current year earnings has increased by 0.8%, with no negative revisions [10] Zacks Rank - BCAL currently holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate factors, indicating strong potential for upside in the near term [11] Conclusion on Price Targets - While the consensus price target may not be a reliable indicator of the magnitude of BCAL's potential gains, the direction implied by these targets appears to be a useful guide for investors [12]

Core Insights - California BanCorp reported a net income of $16.8 million, or $0.51 per diluted share, for Q4 2024, a significant recovery from a net loss of $16.5 million in Q3 2024 and an increase from a net income of $4.4 million in Q4 2023 [2][7] - The company’s full-year net income for 2024 was $5.4 million, down from $25.9 million in 2023, largely due to merger-related expenses and a one-time provision for credit losses [2][9] Financial Performance - Q4 2024 net interest income was $44.5 million, up from $36.9 million in the prior quarter, driven by an increase in total interest and dividend income [8][42] - The net interest margin for Q4 2024 was 4.61%, compared to 4.43% in Q3 2024, reflecting a decrease in the cost of funds [11][12] - The company recorded a reversal of provision for credit losses of $3.8 million in Q4 2024, a significant improvement from a provision of $23.0 million in the prior quarter [14][15] Balance Sheet Highlights - Total assets decreased to $4.03 billion at December 31, 2024, down from $4.36 billion at September 30, 2024, primarily due to a reduction in cash and loans [22][24] - Total loans held for investment were $3.14 billion, a decrease of $60.5 million from the prior quarter, attributed to loan sales and payoffs [23][24] - Total deposits were $3.40 billion, a decrease of $342.2 million from the previous quarter, with noninterest-bearing demand deposits representing 37.0% of total deposits [24][25] Asset Quality - Nonperforming assets increased slightly to $30.6 million, or 0.76% of total assets, compared to $29.8 million, or 0.68% in the prior quarter [28][29] - The allowance for credit losses totaled $53.6 million, down from $57.6 million in the prior quarter, reflecting a reversal of provisions [32][33] Capital and Efficiency - Tangible book value per common share increased to $11.71 at December 31, 2024, up from $11.28 at September 30, 2024 [34] - The efficiency ratio improved to 57.4% in Q4 2024, compared to 98.9% in Q3 2024, indicating better operational efficiency [20][42]

Core Viewpoint - California BanCorp (BCAL) has experienced significant selling pressure, resulting in a 10.5% decline over the past four weeks, but analysts anticipate improved earnings in the near future [1] Group 1: Technical Analysis - The Relative Strength Index (RSI) is utilized to identify oversold stocks, with a reading below 30 indicating oversold conditions [2] - BCAL's current RSI reading is 28.41, suggesting that the heavy selling may be nearing exhaustion, indicating a potential rebound [5] Group 2: Fundamental Analysis - Analysts have raised earnings estimates for BCAL, with a 0.8% increase in the consensus EPS estimate over the last 30 days, which typically correlates with price appreciation [6] - BCAL holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, indicating strong potential for a turnaround [7]

California BanCorp (BCAL) has been on a downward spiral lately with significant selling pressure. After declining 7.9% over the past four weeks, the stock looks well positioned for a trend reversal as it is now in oversold territory and there is strong agreement among Wall Street analysts that the company will report better earnings than they predicted earlier.How to Determine if a Stock is OversoldWe use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether ...

Analyst’s Disclosure: I/we have a beneficial long position in the shares of REXR, REXR.PR.C either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to wh ...

PART I — FINANCIAL INFORMATION [Item 1. Financial Statements (Unaudited)](index=6&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) The unaudited consolidated financial statements reflect significant changes from the merger with California BanCorp (CALB), resulting in a net loss for Q3 2024 due to merger expenses and credit loss provisions [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets) The company's consolidated balance sheet shows substantial growth as of September 30, 2024, driven by the CALB acquisition, with total assets increasing 84.8% to $4.36 billion Consolidated Balance Sheet Highlights (in thousands) | Metric | September 30, 2024 | December 31, 2023 | Change (%) | | :--- | :--- | :--- | :--- | | **Total Assets** | **$4,362,767** | **$2,360,252** | **+84.8%** | | Total cash and cash equivalents | $614,423 | $86,793 | +607.9% | | Loans held for investment, net | $3,146,162 | $1,934,873 | +62.6% | | Goodwill | $112,515 | $37,803 | +197.6% | | **Total Liabilities** | **$3,864,703** | **$2,072,100** | **+86.5%** | | Total deposits | $3,740,915 | $1,943,556 | +92.5% | | **Total Shareholders' Equity** | **$498,064** | **$288,152** | **+72.8%** | [Consolidated Statements of Operations](index=7&type=section&id=Consolidated%20Statements%20of%20Operations) The company reported a Q3 2024 net loss of $16.5 million, a significant shift from prior-year income, driven by a $23.0 million provision for credit losses and $14.6 million in merger expenses Key Operational Metrics (in thousands, except per share data) | Metric | Three Months Ended Sep 30, 2024 | Three Months Ended Sep 30, 2023 | Nine Months Ended Sep 30, 2024 | Nine Months Ended Sep 30, 2023 | | :--- | :--- | :--- | :--- | :--- | | Net interest income | $36,942 | $23,261 | $78,443 | $71,579 | | Provision for (reversal of) credit losses | $22,963 | $(96) | $25,525 | $91 | | Merger and related expenses | $14,605 | $— | $15,645 | $— | | **Net (loss) income** | **$(16,464)** | **$6,556** | **$(11,339)** | **$21,498** | | Diluted (loss) earnings per share | $(0.59) | $0.35 | $(0.53) | $1.15 | [Consolidated Statements of Comprehensive Income (Loss)](index=8&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income%20(Loss)) A total comprehensive loss of $12.8 million was recorded for Q3 2024, which was partially offset by a $3.6 million after-tax other comprehensive income from unrealized securities gains Comprehensive (Loss) Income (in thousands) | Metric | Three Months Ended Sep 30, 2024 | Three Months Ended Sep 30, 2023 | Nine Months Ended Sep 30, 2024 | Nine Months Ended Sep 30, 2023 | | :--- | :--- | :--- | :--- | :--- | | Net (loss) income | $(16,464) | $6,556 | $(11,339) | $21,498 | | Total other comprehensive income (loss), net of tax | $3,631 | $(2,685) | $1,603 | $(2,804) | | **Total comprehensive (loss) income, net of tax** | **$(12,833)** | **$3,871** | **$(9,736)** | **$18,694** | [Consolidated Statements of Changes in Shareholders' Equity](index=9&type=section&id=Consolidated%20Statements%20of%20Changes%20in%20Shareholders'%20Equity) Shareholders' equity increased to $498.1 million, primarily driven by the issuance of 13.5 million shares valued at $214.4 million for the CALB business combination - For the nine months ended September 30, 2024, total shareholders' equity grew by **$209.9 million**[20](index=20&type=chunk) - The issuance of common stock in the business combination added **$214.4 million** to shareholders' equity[20](index=20&type=chunk) - The net loss for the nine-month period reduced retained earnings by **$11.3 million**[20](index=20&type=chunk) [Consolidated Statements of Cash Flows](index=11&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Cash and cash equivalents increased by $527.6 million in the first nine months of 2024, mainly due to cash acquired in the merger and net loan repayments Net Cash Flow Summary (Nine Months Ended, in thousands) | Cash Flow Activity | September 30, 2024 | September 30, 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $26,662 | $41,538 | | Net cash provided by (used in) investing activities | $431,717 | $(42,693) | | Net cash provided by financing activities | $69,251 | $9,516 | | **Net change in cash and cash equivalents** | **$527,630** | **$8,361** | - Investing activities were significantly impacted by **$336.3 million** in net cash acquired from the business combination[25](index=25&type=chunk) [Notes to Consolidated Financial Statements](index=13&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) The notes detail accounting policies and financial data, with a central focus on the significant and widespread impacts of the merger with California BanCorp on July 31, 2024 [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=62&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management's discussion centers on the transformative impact of the CALB merger, which drove a Q3 2024 net loss due to one-time expenses but expanded the company's scale and core earnings power - The merger with California BanCorp (CALB) closed on July 31, 2024, adding **$1.43 billion in loans**, **$1.91 billion in assets**, and **$1.64 billion in deposits**[201](index=201&type=chunk) - The company reported a net loss of **$16.5 million** for Q3 2024, primarily due to **$15.0 million** in after-tax CECL-related provisions and **$10.6 million** in after-tax merger expenses[223](index=223&type=chunk) - Excluding one-time merger impacts, the company would have reported a non-GAAP net income of **$9.1 million** for Q3 2024[223](index=223&type=chunk) - The company maintains a strong liquidity position with total available borrowing capacity of approximately **$1.22 billion** at September 30, 2024[205](index=205&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=106&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's primary market risk is interest rate risk, which is actively managed by the Asset Liability Committee (ALCO) through simulation models of NII and EVE - The primary market risk for the company is **interest rate risk**, which can affect net interest income and margin[360](index=360&type=chunk) - Interest rate risk is managed by the Asset Liability Committee (ALCO) using tools such as **Net Interest Income at Risk (NII at Risk)** and **Economic Value of Equity (EVE)** simulation models[362](index=362&type=chunk)[365](index=365&type=chunk) [Item 4. Controls and Procedures](index=107&type=section&id=Item%204.%20Controls%20and%20Procedures) The CEO and CFO concluded that disclosure controls and procedures were effective as of September 30, 2024, with no material changes to internal controls during the quarter - Management concluded that the company's disclosure controls and procedures were **effective** as of the end of the reporting period[366](index=366&type=chunk) - **No material changes** were made to the internal control over financial reporting during the quarter ended September 30, 2024[366](index=366&type=chunk) PART II — OTHER INFORMATION [Item 1. Legal Proceedings](index=107&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal claims from normal business operations, none of which are expected to have a material adverse effect on its financial position - The company is party to various legal proceedings arising from normal business activities, none of which are expected to have a **material adverse effect**[367](index=367&type=chunk) [Item 1A. Risk Factors](index=108&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the company's 2023 Annual Report on Form 10-K - **No material changes** to the company's risk factors were reported for the period[369](index=369&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=108&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No shares were repurchased under the company's authorized 550,000-share repurchase plan during the third quarter of 2024 - **No shares were repurchased** under the company's authorized 550,000-share repurchase plan during the third quarter of 2024[370](index=370&type=chunk)[371](index=371&type=chunk) [Item 3. Defaults Upon Senior Securities](index=108&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) There were no defaults upon senior securities during the reporting period - None[371](index=371&type=chunk) [Item 4. Mine Safety Disclosures](index=108&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[372](index=372&type=chunk) [Item 5. Other Information](index=108&type=section&id=Item%205.%20Other%20Information) No directors or executive officers adopted or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during the quarter - **No new or terminated** director or executive officer trading plans were reported for the quarter[373](index=373&type=chunk) [Item 6. Exhibits](index=108&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including merger agreements, corporate governance documents, and required certifications

Executive Appointment - California Bank of Commerce appoints Jerry Legg as Senior Vice President, Director of Public Sector Banking, effective November 12, 2024 [1] - Legg will report to Executive Vice President, Specialty Banking Manager Chris Barr and operate from the Bank's Sacramento office [1] Professional Background - Jerry Legg brings over 30 years of experience in public sector banking, including roles at Public Trust Advisors, Five Star Bank, River City Bank, Rabobank, and the California State Treasurer's Office [2] - Legg holds a Bachelor of Science degree from Rutgers University [3] Company Overview - California BanCorp (NASDAQ: BCAL) is a registered bank holding company headquartered in San Diego, California [4] - Its subsidiary, California Bank of Commerce, offers financial products and services to individuals, professionals, and small to medium-sized businesses through 14 branch offices and four loan production offices in California [4] - The bank emphasizes a solutions-driven, relationship-based approach to banking, providing accessibility to decision-makers and fostering strong client partnerships [4]

[Third Quarter 2024 Highlights](index=1&type=section&id=Third%20Quarter%202024%20Highlights) The Southern California Bancorp merger transformed the quarter, expanding the balance sheet but resulting in a net loss from one-time provisions and merger expenses, despite improved net interest margin - Completed the merger with Southern California Bancorp on July 31, 2024, creating a combined entity with approximately **$4.25 billion in assets** and 14 branches[3](index=3&type=chunk)[4](index=4&type=chunk) Q3 2024 Key Financial Results | Metric | Q3 2024 | Q2 2024 | Q3 2023 | | :--- | :--- | :--- | :--- | | Net (Loss) Income | ($16.5M) | $0.19M | $6.6M | | Diluted (Loss) EPS | ($0.59) | $0.01 | $0.35 | | Adjusted Net Income (non-GAAP) | $9.1M | N/A | N/A | - The quarterly net loss was primarily due to a **$15.0 million after-tax 'day one' provision for credit losses** and **$10.6 million in after-tax merger-related expenses**[4](index=4&type=chunk)[7](index=7&type=chunk) - Post-merger balance sheet growth was substantial, with total assets reaching **$4.36 billion**, total loans **$3.23 billion**, and total deposits **$3.74 billion**[6](index=6&type=chunk) - Net interest margin expanded to **4.43%** from 3.94% in the prior quarter, while the allowance for credit losses (ACL) to total loans increased to **1.80%**[4](index=4&type=chunk)[6](index=6&type=chunk) [Third Quarter Operating Results](index=2&type=section&id=Third%20Quarter%20Operating%20Results) Operating results show a net loss primarily due to one-time merger costs, despite significant growth in net interest income and margin, while provision for credit losses and noninterest expenses also surged [Net Loss](index=2&type=section&id=Net%20Loss) California BanCorp reported a net loss for Q3 2024, primarily driven by a significant after-tax CECL provision and merger expenses Net (Loss) Income and EPS Comparison | Metric | Q3 2024 | Q2 2024 | | :--- | :--- | :--- | | Net (Loss) Income | ($16.5M) | $0.19M | | Diluted (Loss) EPS | ($0.59) | $0.01 | | Adjusted Net Income (non-GAAP) | $9.1M | N/A | - The quarter's results were negatively impacted by a **$15.0 million after-tax 'day one' CECL provision** (**$0.54 per share**) and **$10.6 million in after-tax merger expenses** (**$0.38 per share**)[7](index=7&type=chunk) [Net Interest Income and Net Interest Margin](index=2&type=section&id=Net%20Interest%20Income%20and%20Net%20Interest%20Margin) Net interest income significantly increased in Q3 2024 due to the merger, expanding the net interest margin, driven by higher earning asset yields and purchase accounting accretion Net Interest Income and Margin Performance | Metric | Q3 2024 | Q2 2024 | | :--- | :--- | :--- | | Net Interest Income | $36.9M | $21.0M | | Net Interest Margin | 4.43% | 3.94% | | Average Total Loan Yield | 6.79% | 6.21% | | Cost of Funds | 2.19% | 2.21% | - Accretion income from purchase accounting on acquired loans contributed **$4.1 million**, increasing the net interest margin by **46 basis points**[9](index=9&type=chunk) - The cost of funds decreased by **2 basis points** to **2.19%**, aided by a decrease in the cost of interest-bearing deposits and an increase in noninterest-bearing deposits[10](index=10&type=chunk) [Provision for Credit Losses](index=3&type=section&id=Provision%20for%20Credit%20Losses) The company recorded a substantial provision for credit losses in Q3 2024, primarily due to a one-time initial provision related to acquired non-PCD loans and unfunded commitments from the merger Provision for Credit Losses (PCL) | Period | PCL Amount | | :--- | :--- | | Q3 2024 | $23.0M | | Q2 2024 | $2.9M | - The increase was largely driven by a one-time initial provision for credit losses on acquired non-PCD loans (**$18.5 million**) and unfunded commitments (**$2.7 million**) following the merger[12](index=12&type=chunk) [Noninterest Income](index=3&type=section&id=Noninterest%20Income) Noninterest income remained stable in Q3 2024, as merger-related increases were offset by a valuation allowance on Other Real Estate Owned (OREO) Noninterest Income Comparison | Period | Noninterest Income | | :--- | :--- | | Q3 2024 | $1.2M | | Q2 2024 | $1.2M | - Merger-related increases in deposit fees and other income were offset by a **$614 thousand valuation allowance** on OREO due to a decline in the property's fair value[13](index=13&type=chunk) [Noninterest Expense](index=4&type=section&id=Noninterest%20Expense) Total noninterest expense nearly doubled in Q3 2024, driven almost entirely by merger-related costs, leading to a significantly higher efficiency ratio, which would be lower excluding these expenses Noninterest Expense and Efficiency Ratio | Metric | Q3 2024 | Q2 2024 | | :--- | :--- | :--- | | Total Noninterest Expense | $37.7M | $19.0M | | Merger and Related Expenses | $14.6M | $0.5M | | Efficiency Ratio (non-GAAP) | 98.9% | 85.7% | | Adjusted Efficiency Ratio (non-GAAP) | 60.5% | 83.5% | - Merger expenses included **$6.2 million in retention/severance**, **$2.3 million in advisory fees**, and **$4.5 million in information technology costs**[15](index=15&type=chunk) [Income Tax](index=4&type=section&id=Income%20Tax) The company recorded an income tax benefit in Q3 2024, compared to an expense in Q2, with the effective tax rate decreasing, influenced by equity awards and non-deductible merger expenses Income Tax (Benefit) Expense | Metric | Q3 2024 | Q2 2024 | | :--- | :--- | :--- | | Income Tax (Benefit) Expense | ($6.1M) | $88K | | Effective Tax Rate | 26.9% | 31.7% | [Balance Sheet Analysis](index=4&type=section&id=Balance%20Sheet) The Southern California Bancorp merger dramatically reshaped the balance sheet, significantly increasing total assets, loans, and deposits, while enhancing liquidity by repaying FHLB borrowings [Assets](index=4&type=section&id=Assets) Total assets significantly increased at September 30, 2024, primarily driven by the merger, which added substantial assets and resulted in preliminary goodwill Total Assets Growth | Date | Total Assets | | :--- | :--- | | Sep 30, 2024 | $4.36B | | Jun 30, 2024 | $2.29B | - The increase was primarily due to the merger, which added **$1.86 billion in assets** and created **$74.7 million in preliminary goodwill**[18](index=18&type=chunk) [Loans](index=4&type=section&id=Loans) Total loans held for investment significantly increased at the end of Q3, almost entirely due to acquiring loans through the merger Total Loans Held for Investment | Date | Total Loans | | :--- | :--- | | Sep 30, 2024 | $3.20B | | Jun 30, 2024 | $1.88B | - The loan growth was primarily driven by the **$1.36 billion fair value of loans acquired in the merger**[19](index=19&type=chunk) [Deposits](index=4&type=section&id=Deposits) Total deposits significantly increased at September 30, 2024, primarily due to the merger, with noninterest-bearing demand deposits also growing Deposit Composition | Metric | Sep 30, 2024 | Jun 30, 2024 | | :--- | :--- | :--- | | Total Deposits | $3.74B | $1.94B | | Noninterest-bearing Deposits | $1.37B | $0.67B | | % Noninterest-bearing | 36.6% | 34.4% | - The company used excess cash from the merger to pay off **$131.9 million** in high-cost brokered time deposits during the quarter[20](index=20&type=chunk) [Liquidity and Borrowings](index=5&type=section&id=Federal%20Home%20Loan%20Bank%20(FHLB)%20and%20Liquidity) The company significantly improved liquidity by repaying all FHLB borrowings using merger cash, resulting in substantial available borrowing capacity and the assumption of subordinated borrowings - All FHLB borrowings were repaid during the third quarter using liquidity from the merger[21](index=21&type=chunk) - Total available borrowing capacity was **$1.23 billion** at September 30, 2024, with an additional **$159.3 million** in unpledged liquid securities and **$614.4 million** in cash[22](index=22&type=chunk) - The company assumed subordinated borrowings of **$55.0 million** in connection with the merger[23](index=23&type=chunk) [Asset Quality](index=5&type=section&id=Asset%20Quality) Asset quality metrics weakened post-merger, with total non-performing assets significantly increasing due to acquired nonaccrual PCD loans and legacy loan downgrades, while the allowance for credit losses also rose Non-Performing Assets (NPA) Comparison | Metric | Sep 30, 2024 | Jun 30, 2024 | | :--- | :--- | :--- | | Total NPAs | $29.8M | $4.7M | | NPAs to Total Assets | 0.68% | 0.20% | - The increase in NPAs was mainly due to **$13.9 million of nonaccrual PCD loans** acquired in the merger and the downgrade of a **$12.7 million legacy loan relationship**[25](index=25&type=chunk) Allowance for Credit Losses (ACL) Ratios | Metric | Sep 30, 2024 | Jun 30, 2024 | | :--- | :--- | :--- | | Total ACL | $57.6M | $24.6M | | ALL to Total Loans | 1.67% | 1.27% | | ACL to Total Loans | 1.80% | 1.31% | [Capital](index=6&type=section&id=Capital) Capital levels were impacted by the merger and net loss, with tangible book value per common share decreasing, primarily due to the net loss and new share issuance, though regulatory capital ratios remain above 'well-capitalized' minimums Tangible Book Value (TBV) Per Share | Date | TBV per Common Share (non-GAAP) | | :--- | :--- | | Sep 30, 2024 | $11.28 | | Jun 30, 2024 | $13.71 | - The decrease in TBV was primarily impacted by the net loss for the quarter and the equity issued in connection with the merger[31](index=31&type=chunk) - The Company's capital exceeds the minimums required to be **'well-capitalized,'** the highest regulatory capital category[32](index=32&type=chunk) [Financial Statements and Tables](index=7&type=section&id=Financial%20Statements%20and%20Tables) This section presents detailed unaudited financial statements, including Financial Highlights, Allowance for Credit Losses roll-forward, Consolidated Balance Sheets, Income Statements, and Average Balance Sheets with yield analysis [GAAP to Non-GAAP Reconciliation](index=18&type=section&id=GAAP%20to%20Non-GAAP%20Reconciliation) This section reconciles GAAP to non-GAAP financial measures, providing a clearer view of core performance by excluding significant one-time items like the after-tax 'day one' provision for non-PCD loans and merger-related expenses - The non-GAAP measures are presented to provide investors with information used by management to assess performance, excluding the impact of significant, non-recurring items like merger expenses[52](index=52&type=chunk) Reconciliation of Net (Loss) Income to Adjusted Net Income (Q3 2024) | Description | Amount (in thousands) | | :--- | :--- | | Net (Loss) Income (GAAP) | ($16,464) | | Add: After-tax Day1 provision | $14,978 | | Add: After-tax merger expenses | $10,576 | | **Adjusted Net Income (non-GAAP)** | **$9,090** | Reconciliation of Efficiency Ratio (Q3 2024) | Metric | Value | | :--- | :--- | | Efficiency Ratio (non-GAAP) | 98.9% | | Adjusted Efficiency Ratio (non-GAAP) | 60.5% |

Core Insights - Southern California Gas Co. (SoCalGas) CEO Scott Drury received the Shift Diverse Business Solutions Transformative Leader Award for his leadership in sustainability, safety, and supplier diversity [2][3] - In 2023, SoCalGas achieved 44% of its total goods and services spending from diverse businesses, surpassing the California Public Utilities Commission (CPUC) diverse spending goal for the 31st consecutive year [3][4] - SoCalGas has invested nearly $6 billion over the past seven years in diverse business enterprises, including those owned by minorities, women, disabled veterans, and LGBT individuals [3][4] Company Initiatives - Under Drury's leadership, SoCalGas aims to reach 45% spending with diverse business enterprises by 2025 as part of its ASPIRE 2045 sustainability strategy [3] - The ASPIRE 2045 strategy also includes a goal of achieving net zero greenhouse gas emissions by 2045 and focuses on safety, diversity, equity, and inclusion in the workplace [3][4] - SoCalGas hosted the Minority Business Enterprise Connect Summit, connecting diverse businesses with over 40 state and federal agencies and prime contractors, facilitating $400 billion in federal contract opportunities [4] Industry Impact - Drury emphasized that supplier diversity can drive innovation, benefit local economies, and strengthen the supply chain while accelerating California's clean energy transition [4] - SoCalGas is recognized as a leader in the energy sector, having been named one of Reuters' Top 100 Innovators Leading the Global Energy Transition [7] - The company serves approximately 21 million consumers across 24,000 square miles in Central and Southern California, focusing on delivering affordable and renewable gas services [7]

San Diego, Calif., Sept. 26, 2024 (GLOBE NEWSWIRE) -- California Bank of Commerce, N.A. (the “Bank”), the wholly owned subsidiary of California BanCorp (the “Company”) (Nasdaq: BCAL), announces the promotion of Michele Wirfel to Executive Vice President, Chief Operating Officer of the Company and Bank as of September 20, 2024. Wirfel succeeds Thomas Sa who has stepped down to pursue opportunities outside the organization. Wirfel will report to Chief Executive Officer Steven Shelton and serve out of the Bank ...