Here's What Key Metrics Tell Us About Preferred Bank (PFBC) Q4 Earnings

Core Insights - Preferred Bank reported revenue of $78.07 million for the quarter ended December 2025, reflecting a year-over-year increase of 7.2% [1] - The earnings per share (EPS) for the quarter was $2.79, up from $2.25 in the same quarter last year, indicating strong growth [1] - The reported revenue exceeded the Zacks Consensus Estimate of $76.3 million by 2.32%, and the EPS also surpassed the consensus estimate of $2.78 by 0.45% [1] Financial Performance Metrics - Net charge-offs to average loans stood at 0%, better than the average estimate of 0.2% from three analysts [4] - The net interest margin was reported at 3.7%, slightly below the average estimate of 3.8% from three analysts [4] - The efficiency ratio was 31.2%, higher than the average estimate of 29.2% from three analysts [4] - Average interest-earning assets totaled $7.44 billion, exceeding the average estimate of $7.39 billion from two analysts [4] - Net interest income before provision for credit losses was $69.98 million, below the average estimate of $70.99 million from three analysts [4] - Total noninterest income was $4.35 million, also below the average estimate of $4.65 million from three analysts [4] Stock Performance - Preferred Bank's shares have returned -0.2% over the past month, while the Zacks S&P 500 composite has increased by 0.7% [3] - The stock currently holds a Zacks Rank 2 (Buy), suggesting potential for outperformance in the near term [3]