Company: BANC-PF
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001628280-25-050892
Chunk: 10

Company: BANC OF CALIFORNIA, INC.
Filing Date: 2025-11-10
Form: 10-Q
Item: Item 2
Chunk 10
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    Annualized net earnings divided by average assets.

(4)     Annualized adjusted net earnings divided by average assets.

Three Months EndedNine Months EndedSeptember 30,June 30,September 30,Pre-Tax Pre-Provision Income2025202520252024(Dollars in thousands)Net interest income (GAAP)$253,444 $240,216 $726,024 $690,765 Add: Noninterest income (GAAP)34,285 32,633 100,568 48,156 Total revenues (GAAP)287,729 272,849 826,592 738,921 Less: Noninterest expense (GAAP)185,684 185,869 555,206 610,370 Pre-tax pre-provision income (Non-GAAP)$102,045 $86,980 $271,386 $128,551 

82

Results of Operations

The Company reported net earnings available to common and equivalent stockholders of $59.7 million, or $0.38 per diluted common share, for the third quarter of 2025. This compares to net earnings available to common and equivalent stockholders of $18.4 million, or $0.12 per diluted common share, for the second quarter of 2025. On an adjusted basis, net earnings available to common and equivalent stockholders were $48.4 million for the second quarter of 2025, or $0.31 per diluted common share.(1) The second quarter of 2025 included provision expense, net of tax, of an additional $20.2 million taken during the quarter as a result of transferring $506.7 million of loans to held for sale at their estimated fair value. The second quarter also included a one-time non-cash income tax expense of $9.8 million primarily due to the revaluation of deferred tax assets related to California state tax changes passed as part of the 2025 California budget.

Third Quarter of 2025 Financial Highlights:

•Total revenue of $287.7 million increased over 5% and pre-tax pre-provision income(1) of $102.0 million increased 17% from the second quarter of 2025 driven by strong net interest income growth, margin expansion, and continued expense discipline.

•Net interest margin increased by 12 basis points from the previous quarter to 3.22% driven by a higher average yield on loans and leases increasing by