Oct 27, 2026 earnings call — Loan production, deposits, and asset quality
Hanmi reported loan originations of $544 million and net income of $23.7 million for the quarter.
Revenue $0.1B (est $0.1B) · EPS $0.80 (est $0.81)
Key quotes
"Third quarter loan production was $544 million, up $172 million or 46.2% from the prior quarter, with a weighted average interest rate of 6.61% compared with 6.59% last quarter."
"Deposit balances for USKC customers increased by $145 million or 12%, surpassing $1.3 billion. At quarter end, Corporate Korea deposits represented 19% of total deposits and 18% of bank demand deposits."
"All told, delinquent loans and nonperforming loans continue to be a low percentage of total loans at 0.20% and 0.14%, respectively, at quarter end."
Analyst Q&A 3
deposit costs and CD rates
Q (Matthew Clark · Piper Sandler): He asked how deposit costs should be expected to move (the beta) and what rate maturing CDs will reprice to. He also asked about New York multifamily rent stabilization and what drove USKC deposit growth and the pipeline.
A: Management said average interest-bearing deposit costs were 3.19% in September (1 basis point above the quarter average of 3.18%) and October-to-date is about 3.22%. Anthony said a little over $1 billion of CDs is maturing in the fourth quarter at 3.69% and renewals so far are about the same or a tad higher. Bonita said, excluding the two called-out loans, the New York portfolio is about a half dozen smaller loans, most are current and a majority are not in rent control; Anthony said USKC deposit growth was broad-based by industry as clients bring in funds for CapEx or manufacturing.
"So beginning with average interest bearing deposit costs, for the month of September, they were 3.19%, 1 basis point higher than the average for the quarter of 3.18" — Romolo C. Santarosa (CFO)
loan growth and floating loans
Q (Gary Tenner · D. A. Davidson): He asked why loans were essentially flat year-to-date despite good production, what to expect for fourth-quarter net growth, and preliminary thoughts on 2027 growth. He also asked how much of the loan book is floating-rate and reprices with prime or SOFR.
A: Bonita said loans are flat because payoffs rose sharply: year-to-date loan production is up 4% but payoffs increased 65% versus last year, amounting to over $250 million. She said average quarterly year-to-date payoffs remain above $200 million, so the bank expects probably low single-digit loan growth for the year. For 2027 she projects low to mid single-digit growth and said higher rates would likely lower payoffs and could push growth to mid-single-digits or higher; Romolo added about 25% of the portfolio truly adjusts with rates.
"About 25% of the portfolio that truly adjust with rates." — Romolo C. Santarosa (CFO)
loan maturities, SBA sales, buybacks
Q (Kelly Motta · KBW): She asked for the timing cadence and yields on loans maturing over the next year, for commentary on SBA gain-on-sale margins and production/sales cadence, and about buyback appetite given limited loan growth.
A: Romolo said they only know the scheduled maturities and cannot predict payoffs induced by other lenders or borrower actions, so they have no better cadence guess. He said maturing loans are a mix of fixed and variable rates; he recalled production around '6.5 ish' and the adjusted average book yield is 'probably just around 6%,' so loan yields should inch up. Anthony said SBA 7a production runs about $45 million to $50 million per quarter (plus or minus 5% to 10%), they sell all of their SBA 7a production, and the bank would probably continue buybacks at the same dollar run rate seen in the previous 3 quarters.
"I mean, similar to this quarter, I think that the run rate for, in terms of production would be on a quarterly basis about $45 million to $50 million, you know, any given quarter, plus or minus 5% to 10%." — Anthony I. Kim