LOS ANGELES, April 28, 2025 (GLOBE NEWSWIRE) -- RBB Bancorp (NASDAQ:RBB) and its subsidiaries, Royal Business Bank (the “Bank”) and RBB Asset Management Company (“RAM”), collectively referred to herein as the “Company,” announced financial results for the quarter ended March 31, 2025. First Quarter 2025 Highlights Net income totaled $2.3 million, or $0.13 diluted earnings per shareReturn on average assets of 0.24%, compared to 0.44% for the quarter ended December 31, 2024Net interest margin expanded to 2.88 ...

Core Viewpoint - RBB Bancorp will release its financial results for the first quarter ended March 31, 2025, on April 28, 2025, after market close [1] Financial Results Announcement - A conference call to discuss the financial results will be held on April 29, 2025, at 11:00 a.m. Pacific Time [2] - Interested parties can listen to the call by dialing specific numbers or via a live webcast on the Company's website [3] Corporate Overview - RBB Bancorp is a community-based financial holding company headquartered in Los Angeles, California, with total assets of $4.0 billion as of December 31, 2024 [4] - The wholly-owned subsidiary, Royal Business Bank, provides a range of banking services primarily to Asian-centric communities across various locations in California, Nevada, New York, New Jersey, Illinois, and Hawaii [4] - The Bank operates multiple branches across these regions, including nine in Los Angeles County and additional branches in other states [4]

Financial Performance - For the year ended December 31, 2024, net earnings were $26.7 million, a decrease of $15.8 million, or 37.2%, from $42.5 million in 2023 due to a $19.9 million decrease in net interest income [271]. - Net interest income for 2024 was $99.4 million, down from $119.3 million in 2023, attributed to a $15.4 million increase in interest expense [282]. - Noninterest income increased slightly to $15.3 million in 2024 from $15.0 million in 2023 [282]. - The efficiency ratio for 2024 was 60.30%, compared to 52.64% in 2023, indicating a decline in operational efficiency [282]. - The provision for loan losses was $9.8 million in 2024, significantly higher than the $3.9 million in 2023, indicating a proactive approach to managing credit risk [366]. - Income tax expense dropped to $9.0 million in 2024, a 49.3% decrease from $17.8 million in 2023, with the effective tax rate falling to 25.3% [316]. Assets and Liabilities - Total assets as of December 31, 2024, were $4.0 billion, a decrease of $33.5 million, or 0.8%, from the previous year, primarily due to a $178.7 million decrease in interest-earning cash [272]. - Total liabilities decreased by $30.2 million, or 0.9%, to $3.5 billion at December 31, 2024, primarily due to a $91.0 million decrease in deposits [384]. - Total deposits decreased to $3.1 billion, down $91.0 million, or 2.9%, compared to the previous year, with a significant decrease in wholesale deposits [275]. - Cash and cash equivalents decreased by $173.6 million, or 40.3%, to $257.7 million as of December 31, 2024, from $431.4 million at December 31, 2023 [381]. Loans and Credit Quality - Loans held for investment (HFI) increased to $3.1 billion, up $21.4 million, or 0.7%, from $3.0 billion at December 31, 2023, driven by increases in commercial real estate and single-family residential mortgage loans [274]. - The allowance for loan losses (ALL) was $47.7 million, reflecting an increase of $5.8 million from $41.9 million in 2023, with a provision for loan losses of $9.8 million in 2024 compared to $3.9 million in 2023 [278]. - Nonperforming assets totaled $81.0 million, or 2.03% of total assets, at December 31, 2024, compared to $31.6 million, or 0.79% of total assets, at December 31, 2023, indicating a significant increase in nonperforming assets [373]. - The ratio of net charge-offs to average LHFI was 0.13% for 2024, compared to 0.10% in 2023, showing a slight deterioration in credit quality [366]. Capital and Equity - Shareholders' equity decreased by $3.4 million, or 0.7%, to $507.9 million as of December 31, 2024, primarily due to common stock repurchases and dividends paid [279]. - The Tier 1 leverage capital ratio was 11.92% as of December 31, 2024, compared to 11.99% in 2023, indicating the company remains well capitalized under Basel III standards [280]. - The Common Equity Tier 1 Risk-Based Capital Ratio for the consolidated entity was 17.94% in 2024, down from 19.07% in 2023, with a minimum requirement of 4.50% [416]. Interest Income and Expense - The net interest margin (NIM) decreased to 2.70% in 2024, down 46 basis points from 3.16% in 2023 [286]. - Interest expense on total interest-bearing liabilities increased by $15.4 million, or 15.2%, to $117.3 million in 2024 [292]. - The average cost of total deposits rose to 3.54% in 2024 from 2.87% in 2023, driven by a 72 basis point increase in the average rate paid on interest-bearing deposits [293]. Securities and Investments - As of December 31, 2024, total securities amounted to $425.4 million, with available-for-sale securities at $420.2 million, representing 98.8% of total securities [322]. - The fair value of mortgage-backed securities (residential) was $55,677,000, with unrealized losses of $6,674,000 as of December 31, 2024 [329]. - The weighted-average yield for total available-for-sale securities was 4.06% as of December 31, 2024 [327]. Operational Efficiency - Total noninterest expense decreased by $1.5 million, or 2.2%, to $69.2 million in 2024, primarily due to a $3.7 million reduction in legal and professional expenses [314]. - Salaries and employee benefits increased by $1.6 million, or 4.2%, to $39.4 million in 2024, attributed to merit increases and rising health benefit costs [314]. - The noninterest expenses to average assets ratio remained stable at 1.76% for both 2024 and 2023 [314]. Risk Management - The company employs a comprehensive methodology to monitor credit quality, including a risk classification system for potential problem loans [357]. - The company utilizes a discounted cash flow approach for estimating expected credit losses, incorporating economic forecasts and internal factors [361]. - The NII at risk results are within board policy limits, indicating effective risk management practices [437].

Financial Performance - Net income for Q4 2024 was $4.4 million, or $0.25 diluted earnings per share, down from $7.0 million, or $0.39 diluted earnings per share in Q3 2024[3]. - The company reported net income of $4.4 million for the fourth quarter of 2024, contributing to a total net income of $26.7 million for the year[33]. - Net income for the year ended December 31, 2024, was $26,665 thousand, a decrease from $42,465 thousand in the previous year[45]. - Net income available to common shareholders for Q4 2024 was $4,385,000, a decrease from $6,999,000 in Q3 2024 and $12,073,000 in Q4 2023[67]. - Return on average assets, annualized, decreased to 0.44% for the quarter ended December 31, 2024, down from 1.20% in the same quarter of the previous year[58]. - Return on average tangible common equity (ROATCE) for Q4 2024 was 3.98%, down from 6.40% in Q3 2024 and 11.12% in Q4 2023[67]. - Return on average common equity for Q4 2024 was 3.41%, a decline from 5.47% in Q3 2024 and 9.48% in Q4 2023[67]. Interest Income and Margin - Net interest income increased to $26.0 million in Q4 2024 from $24.5 million in Q3 2024, driven by a $1.4 million increase in interest income and a $1.3 million decrease in interest expense[6]. - The net interest margin (NIM) improved to 2.76% in Q4 2024, up 8 basis points from 2.68% in Q3 2024[7]. - Net interest income before provision for credit losses was $25,977 thousand for the three months ended December 31, 2024, up from $24,545 thousand in September 2024[45]. - The net interest margin for the same period was 2.76%, compared to 2.68% for the previous quarter[47]. - The net interest income for the year ended December 31, 2024, was $99,463 thousand, with an interest rate spread of 1.74%[51]. Assets and Liabilities - Total assets as of December 31, 2024, were $4.0 billion, a slight increase of $2.0 million from September 30, 2024, but a decrease of $33.5 million from December 31, 2023[22]. - Total liabilities increased to $3,484,600 thousand as of December 31, 2024, from $3,480,749 thousand in September 2024[43]. - Total assets increased to $3,992,477 thousand as of December 31, 2024, compared to $3,990,477 thousand in September 2024, reflecting a slight growth[43]. - Total deposits were $3.1 billion as of December 31, 2024, a decrease of $8.4 million from September 30, 2024[25]. - Total deposits decreased to $3,083,789 as of December 31, 2024, from $3,174,760 a year prior, indicating a decline of 2.9%[64]. Credit Quality - Nonperforming assets increased to $81.0 million, or 2.03% of total assets, at December 31, 2024, compared to $60.7 million, or 1.52% of total assets, at September 30, 2024[26]. - The provision for credit losses was $6.0 million in Q4 2024, up from $3.3 million in Q3 2024, reflecting an increase in specific reserves[12]. - Substandard loans totaled $100.3 million as of December 31, 2024, an increase of $20.5 million from $79.8 million at September 30, 2024[29]. - The allowance for credit losses increased to $48.5 million at December 31, 2024, compared to $44.5 million at September 30, 2024, driven by a $6.0 million provision for credit losses[31]. - The allowance for loan losses as a percentage of loans held for investment (HFI) rose to 1.56% at December 31, 2024, from 1.41% at September 30, 2024[31]. - Nonperforming loans held for investment (HFI) increased to $69,843, representing 2.29% of total loans HFI, compared to 1.04% a year earlier[58]. - The allowance for loan losses increased to $47,729, representing 1.56% of total loans HFI, compared to 1.38% a year earlier[58]. Shareholder Information - Total shareholders' equity was $507.9 million at December 31, 2024, a decrease of $1.9 million from September 30, 2024, due to higher net unrealized losses on securities[33]. - Book value per share decreased to $28.66 at December 31, 2024, down from $28.81 at September 30, 2024[33]. - Book value per share as of December 31, 2024, is $28.66, compared to $27.47 as of December 31, 2023, reflecting a year-over-year increase of 4.3%[64]. - Average shareholders' equity increased to $512,208,000 in Q4 2024 from $508,720,000 in Q3 2024 and $505,184,000 in Q4 2023[67]. - The common stock dividend payout ratio increased to 64.00% for the quarter ended December 31, 2024, compared to 25.00% in the same quarter of the previous year[58]. Operational Highlights - The company operates nine branches in Los Angeles County and has expanded its presence in several states including Nevada and New York[35]. - The company plans to hold a conference call on February 4, 2025, to discuss its fourth quarter 2024 financial results[36].

Core Viewpoint - RBB Bancorp reported a decline in net income for the fourth quarter and the fiscal year 2024, attributed to increased interest expenses and a decrease in interest income from loans, despite improvements in net interest income and net interest margin [2][8][9]. Financial Performance - The company reported net income of $4.4 million for Q4 2024, down from $7.0 million in Q3 2024, and total net income for the year was $26.7 million, compared to $42.5 million in 2023 [2][8]. - Diluted earnings per share for Q4 2024 were $0.25, down from $0.39 in Q3 2024, and for the year, it was $1.47 compared to $2.24 in 2023 [2][8]. Net Interest Income and Margin - Net interest income for Q4 2024 was $26.0 million, an increase from $24.5 million in Q3 2024, driven by a decrease in interest expense [4]. - The net interest margin (NIM) improved to 2.76% in Q4 2024 from 2.68% in Q3 2024, influenced by a reduction in the overall cost of funds [5][6]. Credit Quality - The provision for credit losses increased to $6.0 million in Q4 2024 from $3.3 million in Q3 2024, reflecting higher specific reserves and net charge-offs [11]. - Nonperforming assets rose to $81.0 million, or 2.03% of total assets, compared to $60.7 million, or 1.52% of total assets, at the end of Q3 2024 [24]. Balance Sheet - Total assets as of December 31, 2024, were $4.0 billion, a slight increase from $3.99 billion at the end of Q3 2024, but a decrease from $4.03 billion at the end of 2023 [20]. - Loans held for investment totaled $3.1 billion, a decrease from $3.1 billion in Q3 2024, with a notable decline in commercial real estate loans [21]. Deposits - Total deposits were $3.1 billion as of December 31, 2024, a decrease from $3.1 billion in Q3 2024, primarily due to a reduction in interest-bearing deposits [23]. Shareholders' Equity - Total shareholders' equity was $507.9 million at the end of Q4 2024, down from $509.8 million at the end of Q3 2024, influenced by higher unrealized losses on available-for-sale securities [31][32].

Core Viewpoint - RBB Bancorp reported a decline in net income for the fourth quarter and the fiscal year ended December 31, 2024, primarily due to increased interest expenses and a decrease in loan interest income, while net interest income and net interest margin showed improvement due to declining funding costs [3][9][10]. Financial Performance - The company reported net income of $4.4 million, or $0.25 diluted earnings per share, for Q4 2024, down from $7.0 million, or $0.39 diluted earnings per share, in Q3 2024. For the fiscal year 2024, net income totaled $26.7 million, or $1.47 diluted earnings per share, compared to $42.5 million, or $2.24 diluted earnings per share, in 2023 [3][9]. - Net interest income for Q4 2024 was $26.0 million, an increase from $24.5 million in Q3 2024, driven by a $130,000 increase in interest income and a $1.3 million decrease in interest expense [5]. - The net interest margin (NIM) improved to 2.76% in Q4 2024, up from 2.68% in Q3 2024, attributed to a decrease in the overall cost of funds [6][7]. Credit Quality - The provision for credit losses was $6.0 million for Q4 2024, up from $3.3 million in Q3 2024, reflecting an increase in specific reserves and net charge-offs [12]. - Nonperforming assets increased to $81.0 million, or 2.03% of total assets, at December 31, 2024, compared to $60.7 million, or 1.52% of total assets, at September 30, 2024 [26]. Balance Sheet - Total assets were $4.0 billion as of December 31, 2024, a slight increase from $3.99 billion at September 30, 2024, but a decrease from $4.03 billion at December 31, 2023 [21]. - Loans held for investment totaled $3.1 billion, a decrease of $38.7 million from September 30, 2024, primarily due to declines in commercial real estate and construction loans [22]. - Total deposits were $3.1 billion, down $8.4 million from September 30, 2024, with a notable decrease in interest-bearing deposits [24]. Shareholders' Equity - Total shareholders' equity was $507.9 million at December 31, 2024, a decrease from $509.8 million at September 30, 2024, primarily due to higher unrealized losses on available-for-sale securities and dividends paid [34].

Core Points - RBB Bancorp has rescheduled the release of its financial results for Q4 and the year ended December 31, 2024, to February 3, 2025, after market close due to the need for additional analysis [1] - A conference call to discuss the financial results will be held on February 4, 2025, at 11:00 a.m. Pacific Time [2] - The company is a community-based financial holding company with total assets of $4.0 billion as of September 30, 2024 [4] Company Overview - RBB Bancorp operates through its subsidiary, Royal Business Bank, providing a range of banking services primarily to Asian-centric communities across various locations in California, Nevada, New York, New Jersey, Illinois, and Hawaii [4] - The bank offers services including remote deposit, E-banking, mobile banking, various types of loans, trade finance, and wealth management [4] - The company has multiple branches across several states, including nine in Los Angeles County and additional locations in Nevada, New York, New Jersey, Illinois, and Hawaii [4]

Core Points - RBB Bancorp declared a quarterly cash dividend of $0.16 per common share, payable on February 12, 2025, to shareholders of record as of January 31, 2025 [1] - The Company has donated $30,000 to support families affected by the recent wildfires in Los Angeles County and is providing resources for counseling and wellness support [2] - As of September 30, 2024, RBB Bancorp had total assets of $4.0 billion and operates primarily in Asian-centric communities across several states [3] Financial Performance - The quarterly cash dividend of $0.16 per share reflects the Company's ongoing commitment to returning value to shareholders [1] - The total assets of RBB Bancorp amount to $4.0 billion, indicating a solid financial foundation [3] Community Engagement - The Company is actively involved in community support, having partnered with non-profit organizations to assist low-to-moderate income communities affected by wildfires [2] - RBB Bancorp is committed to monitoring the situation and exploring further contributions for recovery efforts [2] Operational Overview - RBB Bancorp operates through its subsidiary, Royal Business Bank, which provides a range of banking services including consumer and business banking, primarily targeting Asian-centric communities [3] - The Bank has multiple branches across California, Nevada, New York, New Jersey, Illinois, and Hawaii, enhancing its accessibility to diverse customer bases [3]

Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for RBB due to lower revenues, with actual results being crucial for near-term stock price movements [1][2]. Earnings Expectations - RBB is expected to report quarterly earnings of $0.36 per share, reflecting a year-over-year decrease of 16.3% [3]. - Revenues are projected to be $28.18 million, down 14.8% from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 2.19% lower in the last 30 days, indicating a reassessment by analysts [4]. - A negative Earnings ESP of -1.69% suggests analysts have become bearish on RBB's earnings prospects [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive or negative reading can predict earnings deviations, but its predictive power is significant mainly for positive readings [7][8]. - RBB's current Zacks Rank is 4, making it challenging to predict an earnings beat [11]. Historical Performance - RBB has beaten consensus EPS estimates in the last four quarters, with a recent surprise of +2.63% [12][13]. Conclusion - RBB does not appear to be a strong candidate for an earnings beat, and investors should consider other factors before making decisions [16].

Core Viewpoint - RBB Bancorp will release its financial results for the fourth quarter and year ended December 31, 2024, on January 21, 2025, after market close [1] Financial Results Announcement - The management will hold a conference call on January 22, 2025, at 11:00 a.m. Pacific Time to discuss the financial results [2] - Interested parties can listen to the call by dialing specific numbers or via a live webcast on the Company's website [3] Corporate Overview - RBB Bancorp is a community-based financial holding company headquartered in Los Angeles, California, with total assets of $4.0 billion as of September 30, 2024 [4] - The wholly-owned subsidiary, Royal Business Bank, provides a range of banking services primarily to Asian-centric communities across various locations in California, Nevada, New York, New Jersey, Illinois, and Hawaii [4] - The Bank offers services including remote deposit, E-banking, mobile banking, various types of loans, trade finance, and wealth management services [4] - The Company operates multiple branches across several states, with its administrative and lending center located in Los Angeles, California [4]