Core Viewpoint - Eagle Bancorp, Inc. will host a teleconference on January 22, 2026, to discuss its fourth quarter and year-end 2025 financial results, which will be released on January 21, 2026 [1]. Group 1: Teleconference Details - The teleconference will feature CEO Susan Riel and CFO Eric Newell discussing the financial results [1]. - Interested participants must register to access the call, receiving a dial-in number and unique PIN [2]. - The call will also be available via live webcast on the company's website, with a replay accessible until February 5, 2026 [2]. Group 2: Company Overview - Eagle Bancorp, Inc. is the holding company for EagleBank, which began operations in 1998 and is headquartered in Bethesda, Maryland [4]. - EagleBank operates 12 offices in Suburban Maryland, Washington D.C., and Northern Virginia, focusing on building relationships with businesses, professionals, and individuals [4].

Group 1 - EagleBank Foundation raised over $500,000 at the annual Fight Against Cancer Golf Classic on October 13, 2025, setting a new record for the event [1] - Proceeds from the tournament will support research and outreach programs at various local hospitals and organizations [1] - The event highlights EagleBank's commitment to the community and aims to advance healthcare missions of partner organizations [1] Group 2 - The mission of the EagleBank Foundation is to provide financial support and resources to 501(c)(3) organizations in the Washington Metropolitan Area that assist underserved individuals with medical or social needs related to cancer [2] - The foundation believes in collaborating with local organizations to build a stronger community [2] Group 3 - Eagle Bancorp, Inc. is the holding company for EagleBank, which began operations in 1998 and is headquartered in Bethesda, Maryland [3] - EagleBank operates full-service commercial banking through 12 offices located in Suburban Maryland, Washington, D.C., and Northern Virginia [3] - The bank focuses on building relationships with businesses, professionals, and individuals in its marketplace [3]

Financial Performance - For the three months ended September 30, 2025, net interest income was $68.2 million, a decrease of $3.7 million (approximately 5.1%) compared to $71.8 million for the same period in 2024[223] - Net loss for the three months ended September 30, 2025, was $67.5 million, compared to a net income of $21.8 million for the same period in 2024, representing a decrease of $89.3 million[224] - Pre-provision net revenue (PPNR) for the three months ended September 30, 2025, was $28.8 million, down from $35.2 million for the same period in 2024, a decrease of approximately 18.2%[225] - For the nine months ended September 30, 2025, net interest income was $201.6 million, a decrease of $16.3 million (approximately 7.5%) compared to $217.9 million for the same period in 2024[223] - PPNR for the nine months ended September 30, 2025, was $87.9 million, significantly higher than $3.7 million for the same period in 2024, indicating a substantial improvement[226] Credit Losses - The provision for credit losses for the three months ended September 30, 2025, was $113.2 million, an increase of $103.1 million compared to $10.1 million for the same period in 2024[223] - The significant increase in the provision for credit losses was the primary driver for the net loss reported for the three and nine months ended September 30, 2025[224] - Provision for credit losses for loans increased significantly to $113.2 million in Q3 2025 from $10.1 million in Q3 2024, reflecting a rise in net charge-offs[246] - The total charge-offs for the nine months ended September 30, 2025, amounted to $236.7 million, significantly higher than $29.5 million for the same period in 2024, with net charge-offs of $235.9 million[308] - The qualitative reserve for credit losses increased due to continued uncertainty in the commercial real estate market, particularly in the office sector[249] Noninterest Income and Expenses - Noninterest income for the three months ended September 30, 2025, was $2.5 million, a decrease of $4.5 million (approximately 64.2%) compared to $7.0 million for the same period in 2024[223] - Noninterest expense for the three months ended September 30, 2025, was $41.9 million, a decrease of $1.7 million (approximately 3.9%) compared to $43.6 million for the same period in 2024[223] - Total noninterest expense for Q3 2025 decreased by $1.7 million or 4% compared to Q3 2024, primarily due to lower legal, accounting, and professional fees[262] - For the first nine months of 2025, total noninterest expense decreased by $99.3 million or 43% compared to the same period in 2024, largely due to a $104.2 million goodwill impairment in 2024[263] Assets and Equity - As of September 30, 2025, total assets were $10.82 billion, a decrease of $314 million from $11.13 billion as of December 31, 2024, driven by a $630.2 million decrease in loans held for investment[270] - Total shareholders' equity decreased by 8% to $1.12 billion as of September 30, 2025, compared to $1.23 billion as of December 31, 2024[232] - The ratio of common equity to total assets decreased to 10.39% as of September 30, 2025, from 11.02% as of December 31, 2024[232] - Book value per share decreased by 8.87% to $37.00 as of September 30, 2025, from $40.60 as of December 31, 2024[275] Loan Portfolio - Loans held for investment decreased by $630.2 million or 7.9% to $7.3 billion as of September 30, 2025, with a notable shift towards commercial lending[279] - The loan portfolio consisted of 82% real estate-related loans as of September 30, 2025, with non-owner occupied commercial real estate representing 61% of the total[281] - The total loan portfolio as of September 30, 2025, was $7.3 billion, with $2.99 billion maturing in one year or less[296] - The Company has executed balance sheet optimization actions to reduce commercial real estate loan concentration, reflecting a strategic focus on improving portfolio resilience and risk-adjusted returns[294] Liquidity and Capital - As of September 30, 2025, the Company had primary sources of liquidity amounting to $2.1 billion, which included interest-bearing deposits and other short-term investments[363] - The total secondary sources of liquidity available as of September 30, 2025, were $4.8 billion, including FHLB unused availability and other brokered deposit programs[363] - The Company believes it has sufficient liquidity sources to meet current and projected funding needs, totaling $6.9 billion as of September 30, 2025[363] - The Company and the Bank exceeded all Basel III capital requirements, including a minimum CET1 ratio of 7.0%[372] Interest Rates and Margin - The cost of funds was 3.16% for the three months ended September 30, 2025, compared to 3.69% for the same period in 2024[236] - The net interest margin was 2.43% for the three months and 2.37% for the nine months ended September 30, 2025, compared to 2.37% and 2.40% for the same periods in 2024, reflecting a 6 basis point increase and a 3 basis point decrease, respectively[229] - The simulation analysis indicated a 26.2% increase in net interest income with a 400 basis point increase in interest rates over the next 12 months[398] - The Company experienced a decrease in 12-month net interest income of 6.8% with a 100 basis point decrease in market interest rates as of September 30, 2025[400] Nonperforming Assets - Nonperforming assets totaled $133.3 million as of September 30, 2025, representing 1.23% of total assets, down from $211.4 million or 1.90% of total assets as of December 31, 2024[312] - Total nonperforming loans had an amortized cost of $118.6 million as of September 30, 2025, representing 1.62% of total loans, a decrease from $208.7 million or 2.63% of total loans as of December 31, 2024[314] - The performing office coverage ratio was 11.36% as of September 30, 2025, up from 3.81% as of December 31, 2024[306] Dividends - The Company announced a quarterly cash dividend of $0.010 per share, payable on November 14, 2025[373]

Core Points - Susan G. Riel, the President and CEO of Eagle Bancorp, Inc., will retire in 2026, and the Board is conducting a search for her successor [1][2] - James A. Soltesz has been appointed as the independent Chair of the Board, and Louis P. Mathews Jr. as Vice Chair, effective immediately [2][3] - The Board expresses gratitude for Ms. Riel's leadership over the past seven years and emphasizes the importance of a seamless transition [3] Leadership Transition - The Board has engaged an executive search firm to assist in finding a successor for Ms. Riel [1] - Mr. Soltesz, who has been with the Board since 2007, aims to ensure the company's strategic direction remains focused on sustainable profitability and long-term growth during the transition [3][4] - Ms. Riel will continue to serve as a director while working with the Board to facilitate the transition [2][3] Background of New Leadership - James A. Soltesz has extensive experience in engineering and real estate development, having served as President and CEO of Soltesz, Inc. since 2001 [4][5] - Louis P. Mathews Jr. has over 45 years of experience in banking, previously serving as Senior Executive Vice President at M&T Bank [7][8] - Both new leaders bring significant industry experience and community involvement to their roles [5][9] Company Overview - Eagle Bancorp, Inc. is the holding company for EagleBank, which has been operational since 1998 and is headquartered in Bethesda, Maryland [10] - The bank operates through twelve banking offices and four lending offices in Suburban Maryland, Washington, D.C., and Northern Virginia [10] - The company focuses on building relationships with businesses and individuals while promoting a culture of respect and inclusion [10]

Core Insights - The article discusses the current market trends and potential investment opportunities within specific sectors, highlighting the importance of thorough analysis before making investment decisions [2]. Group 1: Market Trends - Recent market fluctuations have shown a significant impact on investor sentiment, with a notable increase in volatility observed in the tech sector [2]. - Analysts are focusing on the performance of companies that have demonstrated resilience during economic downturns, particularly those with strong balance sheets [2]. Group 2: Investment Opportunities - There is a growing interest in renewable energy companies, driven by government incentives and a shift towards sustainable practices [2]. - The healthcare sector is also highlighted as a potential area for investment, especially companies involved in innovative treatments and technologies [2]. Group 3: Risks and Considerations - Investors are advised to remain cautious due to potential regulatory changes that could affect various industries, particularly in technology and healthcare [2]. - The importance of diversifying investment portfolios to mitigate risks associated with market volatility is emphasized [2].

Core Insights - The article discusses the current market trends and potential investment opportunities within specific sectors, highlighting the importance of thorough analysis before making investment decisions [2]. Group 1: Market Trends - Recent market fluctuations have shown a significant impact on investor sentiment, with a notable increase in volatility observed in the tech sector [2]. - Analysts are focusing on the recovery patterns of various industries post-pandemic, particularly in consumer discretionary and travel sectors, which are showing signs of rebound [2]. Group 2: Investment Opportunities - There are emerging opportunities in renewable energy companies, driven by increased government incentives and consumer demand for sustainable solutions [2]. - The healthcare sector is also highlighted as a potential area for growth, especially companies involved in biotechnology and telehealth services, which have gained traction during the pandemic [2].

Group 1 - The article does not provide any relevant content regarding company or industry insights [1]

Financial Data and Key Metrics Changes - The company reported a net loss of $67.5 million, or $2.22 per share, compared to a loss of $69.8 million, or $2.30 per share in the previous quarter [13] - Tangible common equity to tangible assets is at 10.39%, with Tier 1 leverage ratio slightly declining to 10.4% and CET1 at 13.58% [13] - Tangible book value per share decreased by $2.03 to $37, reflecting credit cleanup rather than core earnings erosion [13] Business Line Data and Key Metrics Changes - C&I loans increased by $105 million, representing the majority of loan originations for the quarter [6] - Average C&I deposits grew by 8.6%, or $134.2 million, indicating relationship growth and new account activity [6] - Non-interest income totaled $2.5 million, down from $6.4 million in the previous quarter, primarily due to loan loss sales [15] Market Data and Key Metrics Changes - Total criticized and classified office loans declined from $302 million at the end of March to $113.1 million at September 30 [9] - Non-performing loans decreased from $226.4 million to $118.6 million, reflecting transfers to held-for-sale status and charge-offs [10] - Total criticized and classified loans rose to $958 million from $875 million, with office loans declining while multifamily loans increased [11] Company Strategy and Development Direction - The company is focused on completing credit cleanup, deepening core relationships, and improving earnings performance to drive shareholder value [8] - The strategic plan includes diversifying the balance sheet, improving margins, and reducing reliance on wholesale funding [7] - The company anticipates loan growth in 2026 to be concentrated in C&I, with a disciplined approach to credit standards [19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence that they are nearing the end of elevated losses from decreased asset values and are addressing valuation stress in the office market [4] - The independent loan review confirmed the adequacy of current provisioning, supporting management's view of the portfolio [16] - Provisions are expected to be manageable moving forward, with improved earnings anticipated in 2026 [21] Other Important Information - The company announced the voluntary resignation of Chief Credit Officer Kevin Geoghegan, with interim replacements appointed [21][22] - The independent loan review covered over 400 loans, representing 84.9% of the commercial loan book, assessing potential losses over a 30-month horizon [16] Q&A Session Summary Question: Concerns about further losses on loan sales - Management indicated that they are implementing better valuation tools and placing carrying values at the lower end of ranges to avoid previous issues [25][26] Question: Timing for asset disposals - Management expects material actions to occur during the fourth quarter of 2025, with ongoing discussions about individual assets [28] Question: Future charge-offs and impact on provisions - Management does not anticipate significant charge-off activity impacting provision expenses in the upcoming quarter [29][30] Question: Clarification on multifamily loan performance - Management noted that while debt service coverage is stressed, the actual performance of many properties is at or above underwritten expectations [32] Question: Impact of government shutdown on government contracts - Management has not seen significant concerns in the government contracting space due to the shutdown, with ongoing communication with clients [38] Question: Future inflow of criticized and classified loans - Management expects a dramatic slowdown in the inflow of criticized and classified loans moving into 2026 [44][45] Question: Comments on Kevin Geoghegan's departure - Management expressed gratitude for Geoghegan's contributions and emphasized the continuity of credit risk management processes with interim appointments [52][53] Question: Potential for M&A activity and franchise value - Management is focused on strategic plans to build shareholder value through diversification and improving pre-provision net revenue [70][71]

Financial Data and Key Metrics Changes - The company reported a net loss of $67.5 million, or $2.22 per share, compared to a loss of $69.8 million, or $2.30 per share in the previous quarter [13] - Tangible common equity to tangible assets is at 10.39%, with a slight decline in Tier 1 leverage ratio to 10.4% and CET1 to 13.58% [13] - Pre-provision net revenue was $28.8 million, down from the prior quarter, but adjusted for loan sale losses, it increased to $32.3 million [14] - Net interest income grew to $68.2 million, reflecting a modest increase [14] - Non-interest income decreased to $2.5 million from $6.4 million, primarily due to loan loss sales [15] Business Line Data and Key Metrics Changes - C&I loans increased by $105 million, representing the majority of loan originations for the quarter [6] - Average C&I deposits grew by 8.6%, or $134.2 million, indicating strong relationship growth and client retention [6] - Total criticized and classified office loans declined from $302 million to $113.1 million over two consecutive quarters [9] - Non-performing loans decreased from $226.4 million to $118.6 million, reflecting a significant improvement [10] Market Data and Key Metrics Changes - The company moved $121 million of criticized office loans to held-for-sale status, indicating proactive asset management [4] - The multifamily segment saw an increase in criticized and classified loans by $204 million, attributed to higher interest rates affecting debt service coverage [11] - The company noted that net operating income levels remain at or above underwritten expectations across most of the portfolio [11] Company Strategy and Development Direction - The company is focused on completing credit cleanup, deepening core relationships, and improving earnings performance to enhance shareholder value [8] - A disciplined approach is being taken to resolve loan challenges, with an emphasis on local knowledge and tailored solutions [4][7] - The strategic plan includes diversifying the balance sheet, improving margins, and reducing reliance on wholesale funding [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence that they are nearing the end of elevated losses from decreased asset values [4] - The independent loan review confirmed the adequacy of current provisioning, supporting management's view of the portfolio [16] - Looking ahead, the company anticipates manageable provisions and improved earnings in 2026 [21] Other Important Information - The company announced the voluntary resignation of Chief Credit Officer Kevin Geoghegan, with interim replacements appointed [21][22] - The independent loan review covered over 400 loans, representing 84.9% of the commercial loan book, assessing potential losses under various economic scenarios [16] Q&A Session Summary Question: Concerns about future losses on loan sales - Management indicated that they have implemented a process to determine carrying values based on brokers' opinions to avoid previous issues [25][26] Question: Timeline for asset disposals - Management expects material actions to occur during the fourth quarter of 2025 regarding asset disposals [28] Question: Future charge-offs and impact on provisions - Management does not anticipate significant charge-off activity impacting provision expenses in the upcoming quarter [29][30] Question: Clarification on multifamily loan performance - Management noted that while debt service coverage is stressed, the actual performance of many properties is at or above expectations [32] Question: Impact of government shutdown on contracts - Management has not seen significant concerns in the government contracting space due to the shutdown, with ongoing communication with clients [38] Question: Future inflow of criticized and classified loans - Management expects a dramatic slowdown in the inflow of criticized and classified loans into 2026 [45][46] Question: Temporary cash flow issues in multifamily space - Management clarified that cash flow issues are expected to improve over time, leading to better asset valuations [49][50] Question: Franchise value and M&A activity - Management is focused on strategic plans to build shareholder value through diversification and improving funding profiles [70][71]

Financial Data and Key Metrics Changes - The company reported a net loss of $67.5 million or $2.22 per share, compared to a loss of $69.8 million or $2.30 per share in the previous quarter [16] - The tangible common equity to tangible assets ratio is 10.39%, with a slight decline in the Tier one leverage ratio to 10.4% and CET1 to 13.58% [16] - The tangible book value per share decreased by $2.30 to $37, reflecting credit cleanup rather than core earnings erosion [17] Business Line Data and Key Metrics Changes - C and I loans increased by $105 million, representing the majority of loan originations for the quarter [8] - Average C and I deposits grew by 8.6% or $134.2 million, indicating relationship growth and client retention [8] - Non-interest income totaled $2.5 million, down from $6.4 million in the previous quarter, primarily due to loan loss sales [19] Market Data and Key Metrics Changes - Total criticized and classified office loans declined to $113.1 million from a peak of $320 million [11] - Nonperforming loans decreased to $118.6 million, down $108 million from the prior quarter [13] - Nonperforming assets improved to 1.23% of total assets, a 93 basis point improvement from the last quarter [14] Company Strategy and Development Direction - The company is focused on completing credit cleanup, deepening core relationships, and improving earnings performance to enhance shareholder value [10] - The strategic plan includes diversifying the balance sheet, improving margins, and reducing reliance on wholesale funding [9] - The company anticipates loan growth in 2026 will be concentrated in C and I, with a disciplined approach to credit standards [25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence that they are nearing the end of elevated losses from decreased asset values [5] - The independent loan review confirmed the adequacy of current provisioning, supporting management's view of the portfolio [21] - The company expects provisions to be manageable and earnings to improve in 2026, with a focus on sustainable profitability [28] Other Important Information - The Chief Credit Officer, Kevin Gagan, announced his voluntary resignation effective December 31, with interim replacements appointed [29] - The company engaged a nationally recognized loan review firm to conduct an independent credit evaluation of its portfolios [20] Q&A Session Summary Question: Concerns about future losses on closed transactions - Management indicated that they are implementing brokers' opinions for better valuation and are confident in the carrying values of loans held for sale [35] Question: Timing for asset disposals - Management expects material action in the fourth quarter regarding asset disposals, with ongoing discussions with potential buyers [38] Question: Future charge-offs and provisions - Management does not anticipate significant charge-off activity impacting provision expense in the upcoming quarter [39] Question: Performance of multifamily loans - Management noted that multifamily loans are performing at or above underwritten expectations, despite some pressure from interest rates [42] Question: Impact of government shutdown on government contracts - Management has not seen significant concerns in the government contracting space due to the shutdown, with a 30% decrease in line of credit usage [49] Question: Clarification on credit categorization changes - The independent loan review provided current information that led to some loans being categorized as special mention or substandard [80] Question: Comparison of office and multifamily loan issues - Management clarified that structural issues in the office market are significant, while multifamily loans do not face the same level of challenges [82]