RBB Bancorp RBB Q3 2025 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Mon, January 26, 2026 astatine 10:27 AM CST 19 min read

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Tuesday, October 21, 2025 astatine 2 p.m. ET

• President and Chief Executive Officer — Johnny Lee

• Executive Vice President and Chief Financial Officer — Lynn Hopkins

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Johnny Lee: Thank you, [ Rebecca ]. Good day, everyone, and convey you for joining america today. Third 4th nett income totaled $10.1 cardinal oregon $0.59 per share, which is simply a 9% summation from past 4th and a 45% summation from a twelvemonth ago. The summation successful nett income was driven by halfway net maturation and little recognition costs, which we judge are some affirmative signs for our outlook. Loan maturation supported accrued plus yields and nett involvement income and indebtedness nonaccomplishment provisions decreased arsenic recognition continued to stabilize, and we made bully advancement addressing galore of our nonperforming loans and performing criticized loans.

Net involvement borderline accrued by 6 ground points to 2.98% compared to the anterior 4th and has accrued by 30 ground points implicit the past 4 quarters. Loans held for concern grew by $68 cardinal oregon 8% connected an annualized ground with a ample portion of that maturation coming from our in-house owe origination business, which continues to execute well. Third 4th indebtedness originations totaled $188 cardinal astatine a blended output of 6.70% oregon 67 ground points supra the anterior quarter's blended indebtedness portfolio yield. So adjacent with the caller complaint chopped successful continued competition, we've been capable to summation indebtedness yields and support beardown growth, which we consciousness demonstrates the advancement we're making connected originations.

We besides proceed to marque advancement addressing our nonperforming loans arsenic rapidly arsenic imaginable portion minimizing the interaction connected net and capital. Criticized and classified assets decreased owed mostly to the upgrade of a $44 cardinal operation indebtedness pursuing the completion of the project. And with that, I'll manus it implicit to Lynn to speech astir results successful much detail. Lynn?

Lynn Hopkins: Thank you, Johnny. Please consciousness escaped to notation to the capitalist presumption that we person provided, arsenic I stock my comments connected the company's 3rd 4th of 2025 fiscal performance. Slide 3 of our capitalist presumption has a summary of our caller and 3rd 4th results. As Johnny mentioned, nett income for the 3rd 4th was $10.1 cardinal oregon $0.59 per diluted share. Compared to our 2nd 4th results, nett income accrued 9%, our net per stock accrued 12% owed to the higher net and banal repurchase activity. The summation successful nett net was driven by ongoing indebtedness growth, little recognition costs and controlled operating expenses, which much than offset the worker retention recognition we recognized successful the 2nd quarter.