Group 1: Embotelladora Andina (AKO.B) - The company produces and distributes Coca-Cola products in Chile, Brazil, and Argentina [1] - The Zacks Consensus Estimate for its current year earnings has increased by 12% over the last 60 days [1] - The company has a Zacks Rank of 1 (Strong Buy) and a dividend yield of 6.1%, significantly higher than the industry average of 0.0% [1] Group 2: Valley National Bancorp (VLY) - This bank holding company offers various commercial, retail, insurance, and wealth management financial services products [2] - The Zacks Consensus Estimate for its current year earnings has increased nearly 8.8% over the last 60 days [2] - The company has a Zacks Rank of 1 and a dividend yield of 4.3%, compared to the industry average of 2.6% [2] Group 3: Hanmi Financial (HAFC) - The company operates as a business bank providing services to multi-ethnic communities in Southern California [3] - The Zacks Consensus Estimate for its current year earnings has increased nearly 5.3% over the last 60 days [3] - The company has a Zacks Rank of 1 and a dividend yield of 4.2%, which is higher than the industry average of 2.7% [3]

Financial Data and Key Metrics Changes - Net income for 2024 reached $62.2 million or $2.05 per diluted share, with a return on average assets of 0.83% and return on average equity of 7.97% [12] - Net interest income increased by 6.8% to $53.4 million, and net interest margin increased by 17 basis points to 2.91% [37] - Nonperforming assets as a percentage of total assets improved to 0.19%, and the allowance for credit losses remains healthy at 1.12% [18][42] Business Line Data and Key Metrics Changes - The C&I portfolio increased by 16%, driven by the USKC initiative and new relationships [13] - C&I production for the fourth quarter was $60 million, a decrease of 43% from the prior quarter, but for the full year, it increased by 50% to $275 million [31] - Residential mortgage production was $40 million for the fourth quarter, with a total of $88.4 million in residential mortgage loans sold into the secondary market throughout the year [32][14] Market Data and Key Metrics Changes - Deposits grew by 2.5% in 2024, driven by a 4.6% increase in noninterest-bearing deposits, which now account for 32.6% of total deposits [14] - Corporate Korea deposits represented 13% of total deposits and 16% of total demand deposits [35] - The mix of noninterest-bearing deposits increased from 32% to 33% during the fourth quarter [35] Company Strategy and Development Direction - The company focuses on expanding its core deposit base, targeting deposit-rich business verticals, and entering new markets [46] - The Corporate Korea initiative is a core growth strategy, with a 23% increase in the USKC loan portfolio, now representing 15% of the total loan portfolio [16] - The company plans to continue optimizing its branch network, including consolidating branches and opening new ones in strategic locations [19][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth strategy and commitment to delivering shareholder value, with a focus on generating low to mid-single-digit loan growth [23][24] - The company aims to maintain discipline in credit administration and asset quality while pursuing growth opportunities [18][24] - Management acknowledged the competitive landscape for deposits but emphasized the relationship banking model as a key differentiator [50] Other Important Information - The board approved an 8% increase in the quarterly dividend to $0.27 per share, reflecting confidence in the growth strategy [23] - Investments in digital systems, including a new loan origination system, are expected to drive operational efficiencies and improve profitability over time [21] Q&A Session Summary Question: How's the competitive landscape for deposits looking? - Management noted that deposit competition is fierce, but they do not aim to be the pricing leader, focusing instead on relationship banking [50] Question: What is the rate for CDs rolling off versus coming on? - Approximately $770 million of CDs are rolling off at 4.70%, with the previous quarter being just under $1 billion at 5.04%, and they expect to reprice at 4.02% [52] Question: What is the overall exposure to SBA in the portfolio? - The company has approximately $250 million of SBA exposure, with about $160 million tied to real estate [59] Question: What are the expectations for loan growth in the first quarter? - Management projected low-to-mid-single-digit growth for the year, with payoffs impacting net loan growth [75] Question: How should further share repurchases be modeled? - Future repurchases will depend on market performance and opportunities that may arise [80]

Core Insights - Hanmi Financial (HAFC) reported revenue of $60.81 million for the quarter ended December 2024, reflecting a year-over-year increase of 1.7% but a revenue surprise of -0.97% compared to the Zacks Consensus Estimate of $61.4 million [1] - The earnings per share (EPS) for the quarter was $0.58, down from $0.61 in the same quarter last year, but exceeded the consensus EPS estimate of $0.53 by 9.43% [1] Financial Performance Metrics - Efficiency Ratio stood at 56.8%, better than the three-analyst average estimate of 58.2% [4] - Net interest margin was reported at 2.9%, matching the three-analyst average estimate [4] - Average balance of total interest-earning assets was $7.32 billion, slightly below the $7.45 billion average estimate from two analysts [4] - Net loan charge-offs to average loans were 0%, outperforming the two-analyst average estimate of 0.2% [4] - Total non-interest income was $7.36 million, lower than the three-analyst average estimate of $8.17 million [4] - Net interest income reached $53.45 million, exceeding the $52.90 million average estimate from two analysts [4] - Service charges on deposit accounts were $2.19 million, slightly above the two-analyst average estimate of $2.17 million [4] - Other operating income was $2.36 million, below the $3.06 million average estimate from two analysts [4] - Trade finance and other service charges and fees totaled $1.36 million, surpassing the two-analyst average estimate of $1.14 million [4] Stock Performance - Over the past month, shares of Hanmi Financial have returned -1.9%, contrasting with the Zacks S&P 500 composite's increase of +0.8% [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

Core Viewpoint - Hanmi Financial reported quarterly earnings of $0.58 per share, exceeding the Zacks Consensus Estimate of $0.53 per share, but down from $0.61 per share a year ago, indicating a 4.92% year-over-year decline in earnings [1][2] Financial Performance - The company posted revenues of $60.81 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 0.97%, and showing a slight increase from $59.82 million year-over-year [2] - Over the last four quarters, Hanmi Financial has surpassed consensus EPS estimates only once [2] Stock Performance - Hanmi Financial shares have decreased by approximately 2.5% since the beginning of the year, while the S&P 500 has gained 2.2% [3] - The current Zacks Rank for Hanmi Financial is 4 (Sell), indicating expectations of underperformance in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.54 on revenues of $62.05 million, and for the current fiscal year, it is $2.28 on revenues of $260.15 million [7] - The trend of estimate revisions for Hanmi Financial has been unfavorable leading up to the earnings release [6] Industry Context - The Banks - West industry, to which Hanmi Financial belongs, is currently ranked in the top 28% of over 250 Zacks industries, suggesting a favorable industry outlook [8]

Los Angeles New York/ New Jersey Virginia Chicago Dallas Houston San Francisco San Diego 4Q24 Earnings Supplemental Presentation January 28, 2025 Forward-Looking Statements Hanmi Financial Corporation (the "Company") cautions investors that any statements contained herein that are not historical facts are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including, but not limited to, those statements regarding operating an ...

Financial Performance - Net income for Q4 2024 was $17.7 million, or $0.58 per diluted share, an increase of 18.8% from $14.9 million, or $0.49 per diluted share in Q3 2024[3]. - For the full year 2024, net income was $62.2 million, or $2.05 per diluted share, down from $80.0 million, or $2.62 per diluted share in 2023[4]. - Noninterest income for Q4 2024 decreased by $1,000 thousand, or 12.8%, to $7,357 thousand compared to Q3 2024[18]. - Total noninterest income for 2024 decreased by $2,600 thousand, or 7.6%, to $31,600 thousand from $34,200 thousand in 2023[19]. - Net income for the twelve months ended December 31, 2024, was $62,201, a decrease of 22.3% from $80,041 in the previous year[58]. - The company declared a cash dividend of $0.25 per share for the fourth quarter of 2024, payable on November 20, 2024[47]. Asset and Loan Management - Loans receivable were $6.25 billion at the end of Q4 2024, essentially unchanged from Q3 2024, with loan production of $339.0 million at a weighted average interest rate of 7.37%[7]. - Loans receivable for Q4 2024 totaled $6,103,264 thousand, a decrease of 0.1% from Q3 2024 and an increase of 0.5% from Q4 2023[13]. - The balance of unused commitments to extend credit was $782,587 thousand as of December 31, 2024, up from $739,975 thousand as of September 30, 2024[46]. - New loan production for the fourth quarter of 2024 was $339.0 million at an average rate of 7.37%[28]. - Commercial real estate loan production for the fourth quarter of 2024 was $146.7 million, while total new loan production for 2024 was $1.20 billion, a decrease of 7.4% from 2023[30][29]. Deposits and Funding - Deposits totaled $6.44 billion at the end of Q4 2024, up 0.5% from Q3 2024, with noninterest-bearing demand deposits representing 32.6% of total deposits[7]. - Total deposits increased to $6,435,776 thousand as of December 31, 2024, reflecting a 0.5% increase from the previous quarter and a 2.5% increase year-over-year[33]. - The loan-to-deposit ratio was 97.1% at the end of the fourth quarter of 2024[32]. - Average interest-bearing liabilities decreased to $4,632,858 thousand, a decline of 0.8% from Q3 2024[13]. Interest Income and Margin - Net interest income for Q4 2024 was $53.4 million, a 6.8% increase from $50.1 million in Q3 2024, primarily due to a decrease in interest expense on deposits[10]. - The net interest margin for Q4 2024 increased by 17 basis points to 2.91% compared to 2.74% in Q3 2024[10]. - Total interest and dividend income for the three months ended December 31, 2024, was $100,113, a decrease of 0.3% from the previous quarter and an increase of 3.0% year-over-year[56]. - The net interest margin (taxable equivalent basis) was reported at 2.91% for the three months ended December 31, 2024[61]. - The average yield on loans receivable rose to 5.99% in 2024 from 5.69% in 2023, while the average yield on securities increased to 2.22% from 1.78%[62]. Credit Quality and Allowance for Losses - Nonperforming assets as a percentage of total assets decreased to 0.19%[5]. - The allowance for credit losses increased to $70.1 million, or 1.12% of loans, with net loan recoveries of $0.1 million in Q4 2024[7]. - Nonperforming loans decreased to $14.3 million, down from $15.5 million in the previous quarter, reflecting a reduction in charge-offs and upgrades[40]. - The allowance for credit losses was $70.1 million, with a ratio of 1.12% to loans as of December 31, 2024, compared to 1.11% in the previous quarter[43]. - The net loan charge-offs to average loans ratio was -0.01% for Q4 2024, compared to -0.33% for Q4 2023, indicating an improvement in credit quality[46]. Operational Efficiency - Noninterest expense for Q4 2024 decreased by $600 thousand to $34,500 thousand from $35,100 thousand in Q3 2024[21]. - The efficiency ratio for Q4 2024 improved to 56.8%, compared to 60.0% in Q3 2024[21]. - Noninterest expense for 2024 increased by $4,800 thousand, or 3.5%, to $141,300 thousand from $136,500 thousand in 2023[22]. Capital and Equity - Stockholders' equity decreased to $732.2 million, down $4.5 million from the previous quarter, primarily due to a $14.6 million increase in unrealized after-tax losses on securities[33]. - The common equity tier 1 capital ratio improved to 12.11% as of December 31, 2024, compared to 11.95% at the end of the prior quarter[34]. - The tangible common stockholders' equity was $721.1 million, or 9.41% of tangible assets, slightly down from 9.42% in the previous quarter[33]. - Stockholders' equity increased to $780,809 thousand as of December 31, 2024, from $747,908 thousand in the previous year[62].

LOS ANGELES, Jan. 28, 2025 (GLOBE NEWSWIRE) -- Hanmi Financial Corporation (NASDAQ:HAFC, or "Hanmi")), the parent company of Hanmi Bank (the "Bank"), today announced that its Board of Directors declared a cash dividend on its common stock for the 2025 first quarter of $0.27 per share, up 8% from the prior quarter. The dividend will be paid on February 26, 2025, to stockholders of record as of the close of business on February 10, 2025. "Following another quarter of successful execution across our business, ...

LOS ANGELES, Jan. 28, 2025 (GLOBE NEWSWIRE) -- Hanmi Financial Corporation (NASDAQ: HAFC, or “Hanmi”), the parent company of Hanmi Bank (the “Bank”), today reported financial results for the fourth quarter of 2024 and full year. Net income for the fourth quarter of 2024 was $17.7 million, or $0.58 per diluted share, compared with $14.9 million, or $0.49 per diluted share, for the third quarter of 2024. The return on average assets for the fourth quarter of 2024 was 0.93% and the return on average equity was ...

LOS ANGELES, Jan. 23, 2025 (GLOBE NEWSWIRE) -- Hanmi Financial Corporation (NASDAQ: HAFC, or “Hanmi”), the parent company of Hanmi Bank (the “Bank”), today announced its participation in the Janney 5th Annual Bank CEO Forum on Wednesday, January 29 and Thursday, January 30, 2025, in Scottsdale, AZ. Bonnie Lee, President and Chief Executive Officer, and Ron Santarosa, Chief Financial Officer, will host one-on-one and small group meetings throughout the day. A copy of the presentation being used for meetings ...

LOS ANGELES, Jan. 14, 2025 (GLOBE NEWSWIRE) -- Hanmi Financial Corporation (Nasdaq: HAFC) (“Hanmi”), the holding company for Hanmi Bank, today announced that it will report fourth quarter 2024 financial results after the market close on Tuesday, January 28, 2025. Management will host a conference call that same day, at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) to discuss the results. Investment professionals and all current and prospective shareholders are invited to access the live call on January 28 ...