分组1 - East West Bancorp (EWBC) reported quarterly earnings of $2.09 per share, exceeding the Zacks Consensus Estimate of $2.05 per share, and showing a slight increase from $2.08 per share a year ago, resulting in an earnings surprise of 1.95% [1] - The company achieved revenues of $692.3 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 3.13%, and an increase from $644.13 million in the same quarter last year [2] - Over the last four quarters, East West Bancorp has surpassed consensus EPS estimates three times and topped consensus revenue estimates four times [2] 分组2 - East West Bancorp shares have declined approximately 20.3% since the beginning of the year, compared to a decline of 12.3% for the S&P 500 [3] - The company's earnings outlook is mixed, with a current Zacks Rank of 3 (Hold), indicating expected performance in line with the market in the near future [6] - The current consensus EPS estimate for the upcoming quarter is $2.15 on revenues of $689.05 million, and for the current fiscal year, it is $8.65 on revenues of $2.77 billion [7] 分组3 - The Zacks Industry Rank for Banks - West is in the top 36% of over 250 Zacks industries, suggesting that the industry outlook can significantly impact stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

East West Bancorp, Inc. 1Q Earnings Presentation April 22, 2025 Basis of Presentation The preparation of the Company's consolidated financial statements in conformity with U.S. generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the consolidated financial statements, income and expenses during the reporting periods, and the related disclosures. Although our estimates consider curr ...

East West Bancorp, Inc. 135 N. Los Robles Ave., 7th Fl. Pasadena, CA 91101 Tel. 626.768.6000 NEWS RELEASE EAST WEST BANCORP REPORTS NET INCOME FOR FIRST QUARTER OF 2025 OF $290 MILLION AND DILUTED EARNINGS PER SHARE OF $2.08; RECORD QUARTERLY REVENUE, FEE INCOME, AND LOANS Pasadena, California – April 22, 2025 – East West Bancorp, Inc. ("East West" or the "Company") (Nasdaq: EWBC), parent company of East West Bank, reported its financial results for the first quarter of 2025. First quarter 2025 net income w ...

Core Viewpoint - Analysts forecast East West Bancorp (EWBC) will report quarterly earnings of $2.05 per share, reflecting a year-over-year decline of 1.4%, while revenues are expected to increase by 4.2% to $671.3 million [1] Earnings Projections - The consensus EPS estimate has been revised downward by 1.4% in the past 30 days, indicating a reassessment by covering analysts [2] - Changes in earnings projections are crucial for predicting investor reactions, with empirical studies showing a strong correlation between earnings estimate trends and short-term stock price movements [3] Key Financial Metrics - Analysts project a 'Net interest margin' of 3.3%, unchanged from the same quarter last year [5] - The 'Efficiency ratio' is expected to improve to 37.3% from 38.3% year-over-year [5] - The 'Tier 1 capital ratio' is forecasted to reach 14.5%, up from 13.5% in the previous year [5] - The 'Total capital ratio' is estimated at 15.7%, compared to 14.8% in the same quarter last year [6] - The 'Leverage ratio' is expected to be 10.6%, an increase from 10.1% year-over-year [6] Asset and Income Estimates - The 'Average Balance - Total interest-earning assets' is projected to be $72.32 billion, up from $68.12 billion a year ago [7] - The 'Adjusted efficiency ratio' is estimated at 35.2%, compared to 34.7% in the same quarter last year [7] - 'Total nonperforming assets' are expected to reach $206.36 million, up from $164.87 million year-over-year [8] - 'Total nonaccrual loans' are projected at $169.06 million, compared to $148.18 million in the same quarter last year [8] - 'Net Interest Income' is expected to be $585.08 million, an increase from $565.14 million year-over-year [9] - 'Total Noninterest Income' is forecasted to reach $86.22 million, compared to $78.99 million in the previous year [9] - 'Deposit account fees' are estimated at $26.52 million, up from $24.14 million year-over-year [10] Market Performance - Shares of East West Bancorp have decreased by 14% in the past month, compared to a decline of 4.2% in the Zacks S&P 500 composite [10] - The company holds a Zacks Rank of 3 (Hold), indicating it is expected to mirror overall market performance in the near future [11]

Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for East West Bancorp despite higher revenues, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - East West Bancorp is expected to report quarterly earnings of $2.05 per share, reflecting a -1.4% change year-over-year, while revenues are projected at $671.3 million, a 4.2% increase from the previous year [3]. - The earnings report is scheduled for April 22, 2025, and could lead to stock price increases if results exceed expectations [2]. Estimate Revisions - The consensus EPS estimate has been revised down by 1.38% over the last 30 days, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for East West Bancorp is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +0.17% [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive Earnings ESP reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [8]. - East West Bancorp currently holds a Zacks Rank of 3, indicating a likelihood of beating the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, East West Bancorp had an expected EPS of $2.13 but delivered $2.08, resulting in a -2.35% surprise [12]. - Over the past four quarters, the company has beaten consensus EPS estimates three times [13]. Industry Context - Zions, another player in the Zacks Banks - West industry, is expected to report an EPS of $1.20 for the same quarter, showing a +16.5% year-over-year change, with revenues projected at $808.26 million, a 7.5% increase [17]. - Zions has also seen a revision of its consensus EPS estimate down by 0.8% over the last 30 days, but a higher Most Accurate Estimate has resulted in an Earnings ESP of 0.80%, indicating a likely earnings beat [18].

Core Viewpoint - East West Bancorp (EWBC) shares experienced an 8.6% increase, closing at $77.16, following a significant trading volume and a broader market rally due to eased trade tensions from tariff suspensions [1][2]. Company Performance - The upcoming quarterly earnings for East West Bancorp are projected at $2.05 per share, reflecting a year-over-year decline of 1.4%. Revenue expectations stand at $671.3 million, indicating a 4.2% increase from the previous year [3]. - The consensus EPS estimate has been revised down by 1.4% over the last 30 days, which typically does not correlate with price appreciation [4]. Market Context - The stock's recent rally is attributed to President Trump's announcement of a 90-day tariff suspension for non-retaliating countries, which has improved market sentiment and reduced trade tensions [2]. - East West Bancorp holds a Zacks Rank of 3 (Hold), indicating a neutral outlook in the current market context [4].

Employee Compensation and Development - The Bank's compensation and employee benefits expense was $551 million in 2024, comprising 57% of total noninterest expense, compared to $509 million and 50% in 2023[29]. - In 2024, the Bank achieved 16% of employees advancing their careers through over 510 internal promotions, highlighting its commitment to employee development[27]. - The Bank granted over 650 thousand restricted stock units (RSUs) as part of its stock compensation programs in 2024[30]. - The Bank's employee compensation packages include a competitive base salary and may include annual cash and/or stock incentive bonuses based on performance[29]. Regulatory Compliance and Capital Requirements - The Bank's operations are subject to regulation and supervision by the Federal Reserve, California DFPI, and other regulatory bodies, ensuring compliance and stability[35]. - As of December 31, 2024, the Company and the Bank's capital ratios exceeded the minimum capital adequacy requirements, including the capital conservation buffer, and were classified as "well capitalized"[42]. - The Company is required to maintain a minimum CET1 capital ratio of at least 4.5% to risk-weighted assets, with additional capital conservation buffer of 2.5%[42]. - The proposed "Basel III Endgame" rule could lead to increased capital requirements for large banking organizations, but the Company, with total consolidated assets under $100 billion, would not be subject to these changes[45]. - The Company conducts annual capital and quarterly liquidity stress tests as part of its risk management processes, despite not being required to do so under current regulations[49]. - The Bank is subject to additional capital requirements under the Prompt Corrective Action regulations, which classify institutions into five capital tiers based on their capital levels[46]. Community Engagement and Social Responsibility - The Bank is committed to community engagement through programs that promote homeownership, affordable housing, and access to banking services[32]. - The Bank was rated "outstanding" in its most recent Community Reinvestment Act examination as of March 8, 2021, indicating strong performance in serving community credit needs[58]. Financial Performance and Metrics - Total assets increased to $75.98 billion in 2024, up from $69.61 billion in 2023, representing an increase of approximately 9.4%[360]. - Net interest income after provision for credit losses was $2.10 billion in 2024, compared to $2.19 billion in 2023, a decrease of about 4.0%[362]. - Total deposits rose to $63.18 billion in 2024, up from $56.09 billion in 2023, reflecting an increase of approximately 12.4%[360]. - Net income for 2024 was $1.17 billion, slightly up from $1.16 billion in 2023, indicating a growth of about 0.4%[362]. - Earnings per share (EPS) increased to $8.39 in 2024 from $8.23 in 2023, a rise of approximately 1.9%[362]. - Noninterest income totaled $335.22 million in 2024, compared to $295.26 million in 2023, marking an increase of about 13.5%[362]. Risk Factors - A significant portion of the loan portfolio is secured by real estate, which is at higher risk due to potential downturns in real estate markets[88]. - The company is exposed to interest rate risk, with net interest income being significantly affected by changes in interest rates[89]. - Inflation poses a risk to the company's profitability and may negatively impact customers' ability to repay loans[90]. - The Federal Reserve's monetary policies could materially affect the company's earnings and asset values[91]. - The company is subject to fluctuations in foreign currency exchange rates, particularly from its operations in China[93]. - Geopolitical uncertainties and trade tensions, especially between the U.S. and China, may adversely impact the company's business[84]. - Natural disasters and climate change could lead to increased nonperforming assets and credit losses[86]. - The company may experience a decrease in demand for loans and financial products due to adverse economic conditions[84]. Legal and Compliance Risks - The Consumer Financial Protection Bureau (CFPB) has implemented a final rule requiring financial institutions to provide certain consumer data upon request, which the Bank must comply with by April 1, 2027[51]. - Federal law limits the Bank's ability to pay dividends, requiring regulatory approval if total dividends exceed the sum of net income for the year and retained earnings for the preceding two years[55]. - The Federal Reserve's policy discourages bank holding companies from maintaining dividend levels that undermine their ability to support their banking subsidiaries[55]. - The Company is subject to various federal and state regulations regarding privacy and cybersecurity, which may impact operational costs and compliance efforts[66][68]. - The company faces significant financial and reputational risks from lawsuits and legal proceedings, which could adversely affect its operations[124]. Technological and Competitive Challenges - The company faces intense competition in the financial services industry, which may lead to margin declines and loss of business[112]. - The company may face challenges in keeping pace with technological changes, which could adversely affect its competitive position[106]. - Cybersecurity risks have increased, potentially impacting the company's operations and financial condition[105]. Accounting and Financial Reporting - The Company adheres to U.S. GAAP for its financial reporting, requiring management to make estimates that could materially affect reported amounts[378]. - Changes in accounting standards could materially impact the company's financial statements and reporting[125]. - The Company’s financial statements have been audited and present fairly its financial position as of December 31, 2024, in conformity with U.S. generally accepted accounting principles[347]. Environmental and Regulatory Changes - California's Climate Corporate Data Accountability Act requires entities with annual revenue over $1 billion to disclose greenhouse gas emissions starting in 2026[72]. - The Company may incur compliance costs related to the Climate-Related Financial Risk Act, which mandates biennial climate risk disclosures for entities with revenues over $500 million, starting January 1, 2026[72]. - Evolving expectations regarding environmental, social, and governance (ESG) considerations may expose the Company to additional costs and reputational harm[132].

Company Overview - East West Bancorp (EWBC) is based in Pasadena and operates in the Finance sector, with a year-to-date share price change of 2.58% [3] - The company currently pays a dividend of $0.6 per share, resulting in a dividend yield of 2.44%, which is lower than the Banks - West industry's yield of 2.87% and higher than the S&P 500's yield of 1.52% [3] Dividend Performance - The annualized dividend of East West Bancorp is $2.40, reflecting a 9.1% increase from the previous year [4] - Over the past five years, the company has raised its dividend four times, achieving an average annual increase of 18.47% [4] - The current payout ratio is 26%, indicating that the company distributes 26% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - The Zacks Consensus Estimate for East West Bancorp's earnings in 2025 is $8.85 per share, which represents a year-over-year earnings growth rate of 6.63% [5] Investment Considerations - East West Bancorp is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [7]

Financial Data and Key Metrics - The company held its Q4 2024 earnings call on January 23, 2025, to review its financial results for the quarter and full year [1][2][3] - The call included participation from key executives such as Dominic Ng (Chairman and CEO), Chris Del Moral-Niles (CFO), and Irene Oh (Chief Risk Officer) [3] - Management may discuss non-GAAP financial measures, and a reconciliation of GAAP to non-GAAP measures is available in the company's SEC filings, including the Form 8-K filed on the day of the call [4] Business Lines and Market Data - No specific data or metrics related to business lines or market performance were provided in the available content Company Strategy and Industry Competition - No specific details on company strategy, industry competition, or market positioning were provided in the available content Management Commentary on Operating Environment and Future Outlook - No specific commentary from management on the operating environment or future outlook was provided in the available content Other Important Information - The earnings call was recorded and will be available for replay on the company's Investor Relations site [3] - A slide deck referenced during the call is also available on the Investor Relations site [3] Q&A Session Summary - No Q&A session details or questions from analysts were provided in the available content

East West Bancorp, Inc. Fourth Quarter and Full Year 2024 Earnings Presentation January 23, 2025 Forward-Looking Statements and Additional Information Forward-Looking Statements This presentation contains forward-looking statements that are intended to be covered by the safe harbor for such statements provided by the Private Securities Litigation Reform Act of 1995. These statements are based on the current beliefs and expectations of the management of East West Bancorp, Inc. (the "Company") and are subject ...