Compared to Estimates, Preferred Bank (PFBC) Q3 Earnings: A Look at Key Metrics

Core Insights - Preferred Bank reported revenue of $74.98 million for the quarter ended September 2025, reflecting a year-over-year increase of 3.7% [1] - The earnings per share (EPS) for the quarter was $2.84, up from $2.46 in the same quarter last year, exceeding the consensus EPS estimate of $2.57 by 10.51% [1] Financial Performance Metrics - Net charge-offs to average loans were 0.1%, significantly lower than the average estimate of 0.3% from three analysts [4] - The net interest margin was reported at 3.9%, slightly above the estimated 3.8% [4] - The efficiency ratio stood at 28.7%, better than the average estimate of 30.3% [4] - Average interest-earning assets totaled $7.23 billion, surpassing the average estimate of $7.19 billion [4] - Net interest income before provision for credit losses was $71.31 million, exceeding the average estimate of $68.92 million [4] - Total noninterest income was reported at $3.67 million, slightly above the average estimate of $3.62 million [4] Stock Performance - Preferred Bank's shares have returned -8.8% over the past month, contrasting with the Zacks S&P 500 composite's increase of 1.1% [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]