What is the market's earnings forecast for Preferred Bank next quarter?

What were the key takeaways from Preferred Bank’s earnings call?

What guidance did Preferred Bank's management provide for the next earnings period?

Did Preferred Bank beat or miss consensus estimates last quarter?

What were the key takeaways from Preferred Bank's earnings call?

What is the revenue and EPS growth rate for Preferred Bank year over year?

What is Preferred Bank's gross profit margin?

What is Preferred Bank's latest dividend and current dividend yield?

- **Strong Financial Performance**: $34.8 million quarterly net income and 12% loan growth highlight operational resilience.
- **Margin Challenges**: 3.66% net interest margin pressured by rate cuts, with deposit costs at 3.17%.
- **Growth Focus**: 2026 loan growth targeting 7-8%, prioritizing C&amp;I and commercial real estate.
- **Risk Management**: $123 million loan downgrade under active workout, with reserves adjusted to 42.5% Q factors.
- **Expense Control**: Mid-single-digit expense growth planned, with cautious approach to share repurchases.

**【CEO Summary Section】**
- Reported net income of $34.8 million for the quarter and $134 million annually, reflecting strong profitability.
- Loan growth of 12% and deposit growth of 7.4% for the quarter, with full-year growth of 7.3% and 7.2%, respectively.
- Sold two OREO properties, resulting in a $1.8 million gain, impacting noninterest income.
- Nonperforming assets declined slightly, but criticized assets increased by $97 million due to a large loan relationship.
- Outlook for 2026: Expecting growth year with cautious optimism on federal rate trends.

**【CFO Financial Commentary】**
- Net interest margin declined to 3.66% in December due to federal rate cuts, with deposit costs at 3.17%.
- Deposit beta expected to decline 5-6 basis points per month, with CDs maturing at 3.96% and repriced at 3.7-3.8%.
- Noninterest expenses of $22 million for the quarter, with mid-single-digit growth anticipated.
- $123 million loan downgrade classified as substandard, with workout efforts ongoing.

**【Q&A Key Highlights】**
- **Deposit Competition**: Stiff local and national bank competition, impacting cost control.
- **Loan Growth Outlook**: 2026 growth similar to 2025 pace (7-8%), focusing on C&amp;I and commercial real estate.
- **Expense Trends**: Noninterest expenses expected to grow mid-single digits, with cautious share repurchases due to loan growth needs.
- **Classified Loans**: $123 million relationship in workout, with goal to resolve most loans within two quarters.
- **Reserve Adequacy**: Allowance for credit losses increased by $4.3 million, with 42.5% of reserves based on Q factors.

Preferred Bank (PFBC) Q4 2025 Earnings Call Transcript

- **Record Financial Performance**: EPS of $2.84 and net income of $35.9 million, up 15% YoY.
- **Growth Momentum**: 2.3% loan growth and 2.5% deposit growth, with credit quality improving.
- **Expense Management**: Noninterest expenses steady at $21.5 million, efficiency ratio under 30%.
- **Share Repurchase**: $6.3 million repurchased in Q3, with plans for $22-22.5 million quarterly expenses.

**【CEO Summary Section】**
- Reported record earnings per share of $2.84 and net income of $35.9 million for the quarter, reflecting a 15% year-over-year increase in revenue driven by North American market recovery.
- Highlighted loan growth of 2.3% ($133 million) and deposit growth of 2.5% ($151 million), with credit quality improving as nonperforming loans decreased from $52 million to $17 million.
- Mentioned a $6.3 million share repurchase program and correction of a past diluted EPS underreporting.

**【CFO Financial Commentary】**
- Net interest income and margin improved, with noninterest expenses held steady at $21.5 million, leading to an efficiency ratio below 30%.
- Discussed plans for $22-22.5 million quarterly expenses in 2025 and potential $250-500 million increases in 2026.

**【Q&A Key Highlights】**
- Loan growth expectations for the fourth quarter aligned with the third quarter, driven by rate cuts and pipeline activity.
- Risk officer noted stable credit metrics with $1.8 million annual charge-offs.
- Discussed floating rate portfolio composition (71% floating, 98% with floors) and OREO gains of $3-4 million expected in Q4.

Preferred Bank (PFBC) Q3 2025 Earnings Call Transcript

- **Strong Financial Performance**: Q2 net income up to $32.8M, driven by 7% loan growth and 3.85% net interest margin.
- **Active Capital Management**: $56M share buyback executed; cautious on further repurchases due to price/book spread.
- **Credit Quality Improving**: Nonaccrual loans down; asset quality metrics stabilize despite economic uncertainty.
- **Growth Opportunities**: New branch in Manhattan performing well; expansion plans for Silicon Valley.
- **Economic Risks**: Tariffs and trade dynamics remain key risks; monitoring client supply chain impacts closely.

**【CEO Summary Section】**
- **Net Income Growth**: Q2 net income of $32.8 million ($2.52 per share), up from previous quarter.
- **Loan Performance**: 7% annualized loan growth; July shows increased demand (exact extent uncertain).
- **Deposit Management**: Flat deposits due to cost control; net interest margin improved to 3.85% (vs. 3.75% Q1).
- **Share Buyback**: $56 million repurchased at ~$80/share; $125 million remaining under May authorization.
- **Asset Quality**: Nonaccrual loans, criticized loans, and past-due loans all decreased; loan loss reserves deemed sufficient.
- **Economic Uncertainty**: Tariffs, inflation, and trade dynamics remain risks; hopes for clarity to improve operating environment.

**【CFO Financial Commentary】**
- **Net Interest Margin**: June margin 3.83%, cost of deposits 3.41%; stable throughout quarter.
- **CD Rollover**: $1.4B maturing in Q3 at 4.21%; re-offered at ~4%.
- **Expense Run Rate**: Q2 expenses $22.5M; expect $21.8-22.6M in coming quarters (excluding OREO costs).
- **Buyback Impact**: Q2 buyback reduced net interest income, PPNR, and margin slightly.

**【Q&A Key Highlights】**
- **Loan Growth Drivers**: C&I clients used lines of credit amid tariff uncertainty; new customer additions.
- **Construction Loans**: Primarily existing commitments; new requests increasing.
- **Deposit Strategy**: Focus on controlling cost while growing; may become more aggressive if needed.
- **Bond Portfolio**: $200M invested in 10-year bonds at 80bps below funding cost; EPS-positive but margin-dilutive.
- **OREO Resolution**: Ongoing marketing; no timeline for sale; no further losses expected.
- **Branch Expansion**: Manhattan branch performing well; Silicon Valley branch opening in H2.
- **Client Sentiment**: Close monitoring of tariff impacts; monthly borrower reviews; cautious optimism on growth acceleration.

Preferred Bank (PFBC) Q2 2025 Earnings Call Transcript

- **Q1 Results**: Net income $30M (-15% YoY) due to $1.3M OREO charge and NPL reversals. NPLs at $71M (66% concentrated in two loans with strong collateral).
- **Margin Resilience**: NIM 3.75% reported, 4.06% internal estimate. March loan yield 7.55%.
- **Expense Control**: Q2+ run rate $21.5-22M vs. $23.4M in Q1. $23M buyback capacity remaining.
- **Risk Management**: Trade finance portfolio under review. Industrial real estate underwriting tightened.
- **Liquidity**: $1.16B maturing deposits repriced to mid-3% from 4.28%.


**【CEO Opening Remarks】**
- Q1 2025 net income: $30 million ($2.23 per share), impacted by $1.3 million OREO charge-off and elevated NPL reversals.
- Non-performing loans (NPLs): $71 million total, with $66 million concentrated in two large relationships (LTV 62% and 71%).
- Loan growth: -0.1% (seasonal decline), deposit growth: +2.6% with reduced cost.
- Concerns over global tariff uncertainty impacting loan demand and supply chains.
- Proactive review of $200M trade finance portfolio to mitigate risks.

**【CFO Financial Highlights】**
- Net interest margin (NIM): 3.75% reported, 4.06% internally estimated without reversals.
- Q1 expenses: $23.4M, including one-time $1.3M OREO charge. Q2+ run rate expected at $21.5-22M.
- Stock buyback: $40M executed in Q1, $23M remaining under $65M program.

**【Q&A Key Takeaways】**
1. **NPL Resolution Progress**: 
   - $28.5M land credit under contract with non-refundable deposits.
   - $37M apartment complex in BK court, with $49M cash offer covering exposure.
2. **Expense Outlook**: 
   - Excluding one-time items, Q2+ expenses stable at $21.5-22M.
3. **Tariff Impact**: 
   - Trade finance customers vary in tariff exposure; no material portfolio stress yet.
   - Industrial real estate underwriting tightened due to demand uncertainty.
4. **Interest Rate Dynamics**: 
   - Loan renewals/downsizes contributing to $5M Q/Q decline in interest income.
   - March NIM (ex-reversals): 3.84%, loan yield: 7.55%.
5. **Liquidity Management**: 
   - $1.16B time deposits maturing in Q2 at 4.28%, re-priced to mid-3%.


Preferred Bank (PFBC)-25 Apr 25-2025 Q1 Earnings call transcript

- **Record Financials**: 2024 net income of $131 million, with ROA and ROE leading industry peers.
- **Credit Strength**: Nonperforming loans halved to $10 million; criticized loans down 33%.
- **Community Resilience**: Minimal impact from wildfire; $600k+ in relief funds planned for rebuilding.
- **Profitability Stability**: Q1 NIM expected to remain stable at ~3.98%, with deposit costs declining.
- **Strategic Investments**: $60M in 10-year treasuries; new Manhattan branch to expand market reach.


**【CEO Summary Section】**
- **2024 Yearly Performance**: Net income of $131 million ($9.64 per share), with ROA of 19.1% and ROE of 18.8%, outperforming industry peers.
- **Loan & Deposit Growth**: 7% loan growth and 3.6% deposit growth, in line with industry trends.
- **Credit Quality Improvement**: Nonperforming loans reduced by 50% to $10 million; criticized loans down 33%.
- **Community Impact**: Los Angeles wildfire affected one commercial real estate loan, but mortgage portfolio remained intact.
- **Capital Management**: Dividend increased to $0.75/share; $34 million in stock buybacks; tangible book value rose to $57.86.

**【CFO Financial Commentary】**
- **Profitability**: Fourth-quarter net income $30.3 million ($2.25/share), adjusted for $8.1 million nonrecurring rental expense.
- **Net Interest Margin (NIM)**: Q4 NIM 4.06%, with spot rate at 3.98%; expects stability in Q1.
- **Deposit Costs**: $1.6 billion in time deposits repricing in Q1 at 4.75%, with new rates in low 3s to mid-4s.
- **Expense Outlook**: Q1 noninterest expense ~$23 million, driven by wildfire relief donations, payroll taxes, and legal fees.
- **Balance Sheet Strategy**: Purchased $60 million in 10-year treasuries at 4.66% yield, exploring long-term asset allocation.

**【Q&A Key Points】**
- **Margin Stability**: CFO expects NIM to remain in high 3s, with limited impact from Fed rate changes.
- **Loan Growth Dynamics**: 7.5% annual growth driven by short-term loans; payoff activity elevated due to refinancing.
- **Credit Reserves**: Allowance ratio at 1.27%, targeting 1.15%-1.25% range, supported by strong sponsorships and collateral.
- **Community Investment**: Planning $600k-$1 million in wildfire relief donations, reflecting commitment to local recovery.
- **Branch Expansion**: New Manhattan branch to open in March, adding occupancy and personnel costs.
- **Share Repurchases**: Buybacks contingent on loan growth, stock price, and capital needs; stock trading at low multiple relative to peers.


Actual												1.08	1.03	1.15	1.4	1.42	1.44	1.76	1.8	1.74	1.87	2.71	2.8661	2.61	2.71	2.6	2.44	2.48	2.46	2.5726	2.23	2.52	2.84	2.79
Forecast												1.018	0.975	1.052	1.18	1.3633	1.48	1.62	1.72	1.685	1.7867	2.57	2.56	2.454	2.56	2.538	2.382	2.388	2.37	2.388	2.34	2.43	2.568	2.734
Surprise	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	+6.09%	+5.64%	+9.32%	+18.64%	+4.16%	-2.70%	+8.64%	+4.65%	+3.26%	+4.66%	+5.45%	+11.96%	+6.36%	+5.86%	+2.44%	+2.43%	+3.85%	+3.80%	+7.73%	-4.70%	+3.70%	+10.59%	+2.05%

PFBC

PFBC fundamentals

PFBC Q4 2025 Earnings

Earnings Call

You can ask Aime

PFBC

PFBC fundamentals

PFBC Q4 2025 Earnings

Earnings Call

PFBC Earnings Call Summary for Q4/20252:00 PM on Jan 22, 2026

PFBC Earnings Call Summary for Q3/20252:00 PM on Oct 21, 2025

PFBC Earnings Call Summary for Q2/20252:00 PM on Jul 21, 2025

PFBC Earnings Call Summary for Q1/20252:00 PM on Apr 25, 2025

PFBC Earnings Call Summary for Q4/20242:00 PM on Jan 28, 2025

You can ask Aime