Core Insights - The article discusses the recent financial performance of a leading technology company, highlighting a significant increase in revenue and net income compared to the previous year [1] Financial Performance - The company reported a revenue of $50 billion for the last quarter, representing a 20% increase year-over-year [1] - Net income reached $10 billion, which is a 25% increase compared to the same quarter last year [1] - Earnings per share (EPS) rose to $5, up from $4 in the previous year, indicating strong profitability growth [1] Market Position - The company has strengthened its market position, capturing an additional 5% market share in the technology sector [1] - Increased demand for its products and services has been attributed to the rise in remote work and digital transformation trends [1] Future Outlook - Analysts project continued growth, with expected revenue of $60 billion for the next quarter, reflecting a 15% increase [1] - The company plans to invest $2 billion in research and development to enhance its product offerings and maintain competitive advantage [1]

Core Viewpoint - Preferred Bank has declared a quarterly cash dividend of $0.80 per share, payable on April 21, 2026, to shareholders on record as of April 7, 2026 [1] Company Overview - Preferred Bank is one of the larger independent commercial banks in California, chartered by the State of California, with deposits insured by the FDIC [2] - The bank operates from its main office in Los Angeles and has twelve full-service branches in California, two branches in New York, and one in Sugar Land, Texas [2] - Preferred Bank offers a wide range of deposit and loan products to both commercial and consumer customers, focusing on personalized services for small and mid-sized businesses, entrepreneurs, and high net worth individuals [2] - Originally founded as a Chinese-American bank, Preferred Bank now serves a diversified mainstream market while still benefiting from the migration of ethnic Chinese to California [2]

SETO Holdings Acquires Preferred Brands USA to Expand National Sales and Brand Management Capabilities ELEMENT--Back to the NewsroomSETO Holdings Acquires Preferred Brands USA to Expand National Sales and Brand Management CapabilitiesPreferred Brands adds a dedicated national sales platform supporting market development and brand representation across on-premise and off-premise channelsWASHINGTON, D.C. / ACCESS Newswire/ March 18, 2026 / Seto Holdings, Inc, a publicly traded (OTCID:SETO), vertically integra ...

Key insight: Preferred Bank has moved a $115 million block of loans, which are backed by multifamily and commercial real estate properties, to nonaccrual status.What's at stake: The $7.6 billion-asset Preferred is the latest bank to be ensnared in a saga involving alleged borrower fraud. Both Zions Bancorp. and Western Alliance Bancorp. have sued the entities, whose lawyer has denied wrongdoing.Forward look: Preferred believes it can resolve the nonaccrual credits by the end of the second quarter.Los Angele ...

LOS ANGELES, Feb. 23, 2026 (GLOBE NEWSWIRE) -- Preferred Bank (NASDAQ: PFBC), (“the Bank”), an independent commercial bank, provided an update on a large loan relationship. In the fourth quarter of 2025, the Bank announced that it had downgraded a large relationship totaling $2.0 million in commercial and industrial (C&I) loans and $115.6 million of real estate loans to substandard classification. Due to the principals of the relationship being involved in several complicated lawsuits with other banks which ...

Company Overview - Preferred Bank (PFBC) is headquartered in Los Angeles and has experienced a price change of -2.35% this year [3] - The bank currently pays a dividend of $0.80 per share, resulting in a dividend yield of 3.47%, which is higher than the Banks - West industry's yield of 2.76% and the S&P 500's yield of 1.35% [3] Dividend Performance - The current annualized dividend of Preferred Bank is $3.20, reflecting a 6.7% increase from the previous year [4] - Over the past 5 years, the bank has increased its dividend 5 times, achieving an average annual increase of 23.36% [4] - The current payout ratio is 30%, indicating that the bank pays out 30% of its trailing 12-month earnings per share as dividends [4] Earnings Expectations - The Zacks Consensus Estimate for Preferred Bank's earnings in 2026 is $10.55 per share, with an expected increase of 1.34% from the previous year [5] - The bank is anticipated to experience earnings expansion this fiscal year [5] Investment Appeal - Preferred Bank is considered an attractive dividend play and a compelling investment opportunity, holding a Zacks Rank of 2 (Buy) [6]

Core Insights - Preferred Bank reported a net income of $34.8 million for Q4 2025, translating to $2.79 per share, and a total annual income of $134 million or $10.41 per share, positioning it among the top tier of the banking industry [1][3] - The bank experienced a decline in interest margin due to federal rate cuts, impacting its floating rate loan portfolio, which constitutes 70% of its loans [1][4] - Despite challenges, loan demand is strengthening, with total loan growth of $182 million (over 12%) and deposit growth of $115 million (7.4%) for the quarter [4] Financial Performance - The bank's profitability metrics indicate a strong performance, with a full-year net income of $134 million [1] - Nonperforming assets saw a slight decline, while criticized assets increased by $97 million due to a large loan being classified [5] - The loan loss provision for the quarter was $4.3 million, reflecting a cautious approach to credit risk management [5] Market Conditions - The cost of deposits remains high, with a total cost of deposits at 3.17% for December, slightly down from previous months [7] - The bank anticipates a stable growth environment for 2026, with customers expressing improved outlooks [5] - The competitive landscape for deposits remains strong, with large money center banks actively promoting CDs [16] Loan and Deposit Growth - Loan growth for the year was reported at 7.3%, while deposit growth was at 7.2% [4] - The bank is budgeting for higher loan growth in 2026, focusing on commercial real estate and C&I loans [20] - Approximately $1.3 billion in CDs are maturing in Q1 at a weighted average rate of 3.96%, with new CDs expected to come in at around 3.70% to 3.80% [12] Credit Quality and Risk Management - The bank is closely monitoring classified loans, with a significant relationship under scrutiny due to litigation with other banks [24][33] - The bank's reserve for credit losses is deemed adequate, with a Q factor reserve around 42.5% [36] - Management is optimistic about resolving credit issues within the next two quarters [38]

Core Viewpoint - Preferred Bank reported strong earnings for Q4 and the full year, with net income of $34.8 million for Q4 and $434 million for the full year, indicating robust profitability in the banking sector [3][5]. Financial Performance - The bank's net interest margin in December was 3.66%, slightly below the previous quarter, influenced by the December rate cut [2]. - Total cost of deposits was 3.17% in December, trending down by approximately six to seven basis points per month [2]. - For the full year, the bank earned $10.41 per share, positioning it among the top tier of the banking industry [3]. Loan and Deposit Growth - Preferred Bank experienced quarterly loan growth of $182 million, over 12%, and deposit growth of $115 million, or 7.4% [6]. - Year-to-date loan and deposit growth were reported at 7.3% and 7.2%, respectively [6]. - Management anticipates stronger loan demand in 2026, particularly in commercial real estate and C&I lending [6]. Credit Quality and Provisions - Criticized assets increased by $97 million due to a downgrade of a large relationship, with a provision of $4.3 million booked [4][8]. - Non-performing assets slightly declined, but the bank is prepared to address credit challenges within the next two quarters [11][18]. - The bank believes its reserves are adequate to cover credit situations, with qualitative factors representing 42.5% of total reserves [12]. Non-Interest Income and Expenses - The bank recorded a net gain of $1.8 million from the sale of two large OREO assets, contributing to non-interest income [13]. - Management expects first-quarter non-interest expenses to be between $21.5 million and $22.5 million, with a projected mid- to high-single-digit growth rate for the full year [16]. Capital Actions and M&A Outlook - The bank did not repurchase shares during the quarter, with future repurchases dependent on loan growth and deposit conditions [17]. - Management is reviewing potential M&A opportunities but has found pricing expectations unsatisfactory [18].

Financial Data and Key Metrics Changes - For Q4 2025, the net income was $34.8 million, or $2.79 per share, while the full-year net income was $434 million, or $10.41 per share, indicating strong profitability within the banking industry [5][6] - The net interest margin for Q4 declined due to federal rate cuts, with a total cost of deposits reported at 3.17% for December [5][12] - Total loan growth for the quarter was $182 million, or over 12%, and deposit growth was $115 million, or 7.4% [6][8] Business Line Data and Key Metrics Changes - The bank's loan portfolio is 70% floating-rate, which has been impacted by recent federal rate cuts [5] - Non-performing assets slightly declined, but criticized assets increased by $97 million due to a large nine-loan relationship being classified [7] Market Data and Key Metrics Changes - Economists forecast 2026 to be a year of relative growth and stability, with improved customer outlooks for the year [8] Company Strategy and Development Direction - The company is focusing on commercial real estate and C&I loans for growth opportunities, budgeting higher numbers than the previous year [40] - The management is cautious about share repurchases, indicating that funds will likely be reserved for loan growth and deposit situations [41] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for 2026, expecting stronger loan demand and a stable market environment compared to previous downturns [8][40] - The company is actively monitoring classified loans and is prepared to take necessary actions if customers do not resolve their issues [36][42] Other Important Information - The company sold two large pieces of OREO, resulting in a net gain of $1.8 million, which was included in non-interest income [7] - The provision for loan losses was $4.3 million for the quarter, reflecting a combination of loan growth and specific reserves [91] Q&A Session Summary Question: Margin visibility and deposit costs - The margin for December was 3.66%, with a total cost of deposits at 3.17% [12] Question: Deposit competition and rates - The deposit beta is around 40%, with expectations of a similar pattern in deposit costs moving forward [13] Question: Loan growth expectations - Loan growth is expected to step up from the previous year's pace, with a similar growth rate for deposits [14][15] Question: Non-interest expenses guidance - The forecast for non-interest expenses is around $21.5 to $22 million for the first quarter [16][18] Question: CD maturities and rates - About $1.3 billion in CDs are maturing in Q1 at a weighted average rate of 3.96% [22] Question: Classified loans and workout strategies - The management is optimistic about resolving classified loans within two quarters, with various options available [42][44] Question: Fee income baseline for 2026 - The Q4 fee income, excluding one-time impacts, is considered a good baseline for 2026 [57] Question: M&A appetite - The company is reviewing potential M&A opportunities but is cautious about pricing structures [65]

Financial Data and Key Metrics Changes - For Q4 2025, the net income was $34.8 million, or $2.79 per share, while the full-year net income was $434 million, or $10.41 per share, indicating strong profitability within the banking industry [4] - The net interest margin for Q4 declined due to federal rate cuts, with a margin of 3.66% in December, slightly below the quarterly average [11] - Total loan growth for the quarter was $182 million, or over 12%, while deposit growth was $115 million, or 7.4% [5] Business Line Data and Key Metrics Changes - The bank's loan portfolio is 70% floating-rate, which was impacted by federal rate cuts, reducing loan interest income [4] - Non-performing assets slightly declined, but criticized assets increased by $97 million due to a large nine-loan relationship being classified [6] Market Data and Key Metrics Changes - Economists forecast 2026 to be a year of relative growth and stability, with improved customer outlooks for the year [7] Company Strategy and Development Direction - The company is focusing on commercial real estate and C&I loans for growth, budgeting higher numbers than the previous year [37] - The management is cautious about share repurchases, indicating that funds will likely be reserved for loan growth and deposit situations [39] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for 2026, expecting stronger loan demand and growth barring sudden changes in government policy [7] - The company is monitoring the competitive landscape for deposits, noting strong competition from larger banks [29] Other Important Information - The company sold two large pieces of OREO, resulting in a net gain of $1.8 million, which was reported in non-interest income [5] - The provision for loan losses for the quarter was $4.3 million, reflecting a combination of loan growth and specific reserves for certain loans [86] Q&A Session Summary Question: Margin visibility and deposit costs - The margin for December was 3.66%, with total cost of deposits at 3.17% [11] Question: Deposit beta and future expectations - Deposit beta is expected to remain around five to six basis points a month, influenced by rate cuts and competition [12] Question: Loan growth expectations - Loan growth is expected to step up from the previous year's pace, with a similar growth rate for deposits [13] Question: Non-interest expenses guidance - The forecast for non-interest expenses is around $21.5 to $22 million for the first quarter [14] Question: Update on CD maturities - About $1.3 billion in CDs are maturing in Q1 at a weighted average rate of 3.96% [20] Question: Classified loans and workout strategies - The company is optimistic about resolving classified loans, with a timeline of approximately two quarters for resolution [41] Question: Fee income baseline for 2026 - The Q4 fee income, excluding one-time impacts, is considered a good baseline for 2026 [54] Question: Share repurchases and M&A appetite - The company is cautious about share repurchases and is evaluating M&A opportunities, but pricing structures are not currently satisfactory [62]