2018 Second Quarter Highlights:
Hanmi Financial Corporation
(NASDAQ:HAFC)
(or “Hanmi”), the parent
company of Hanmi Bank (the “Bank”), today reported net income for
the 2018 second quarter of $15.5 million, or $0.48 per diluted
share, compared with $14.9 million, or $0.46 per diluted share for
the 2018 first quarter and $14.5 million, or $0.45 per diluted
share for the 2017 second quarter.
C. G. Kum, Chief Executive Officer, said,
“Hanmi’s second quarter results reflect strong loan and lease
production, excellent asset quality and careful expense management
as we continue to operate in a highly competitive banking
environment. New loan and lease production in the quarter totaled
$309 million, up nearly 26% from the prior quarter and 11% from a
year ago. Importantly, asset quality remains excellent. We continue
to maintain disciplined underwriting standards and we will not
loosen our credit criteria in spite of increasing competition. In
addition, I am pleased with our ability to prudently manage
expenses and maintain noninterest expense in a tight range over the
past year. However, the flattening of the yield curve coupled with
strong competition has resulted in the cost of attracting deposits
outpacing the growth in loan yields, which has put pressure on our
net interest margin.”
Mr. Kum concluded, “To augment our organic
growth, during the quarter, we announced the acquisition of SWNB
Bancorp, Inc., which will significantly expand Hanmi’s presence in
attractive markets throughout Texas as well as provide excess
liquidity to help fund future growth. While expenses associated
with the SWNB acquisition totaled $0.4 million and reduced Hanmi’s
earnings per share by $0.01 during the second quarter, integration
activities are proceeding according to plan and we continue to
expect the transaction to be completed in the second half of the
year.”
Quarterly Highlights (Dollars
in thousands, except per share data)
|
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As
of or for the Three Months
Ended |
|
Amount Change |
|
|
June 30, |
|
March 31, |
|
December 31, |
|
September 30, |
|
June 30, |
|
Q2-18 |
|
Q2-18 |
|
|
2018 |
|
2018 |
|
2017 |
|
2017 |
|
|
2017 |
|
vs. Q1-18 |
|
vs. Q2-17 |
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|
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|
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|
|
|
|
|
Net income |
$ |
15,548 |
|
|
$ |
14,855 |
|
|
$ |
11,500 |
|
|
$ |
14,923 |
|
|
$ |
14,457 |
|
|
$ |
693 |
|
$ |
1,091 |
|
Net income per diluted
common share |
$ |
0.48 |
|
|
$ |
0.46 |
|
|
$ |
0.36 |
|
|
$ |
0.46 |
|
|
$ |
0.45 |
|
|
$ |
0.02 |
|
$ |
0.03 |
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Assets |
$ |
5,415,202 |
|
|
$ |
5,305,641 |
|
|
$ |
5,210,485 |
|
|
$ |
5,111,396 |
|
|
$ |
4,973,346 |
|
|
$ |
109,561 |
|
$ |
441,856 |
|
Loans
and leases receivable |
$ |
4,542,126 |
|
|
$ |
4,413,557 |
|
|
$ |
4,304,458 |
|
|
$ |
4,195,355 |
|
|
$ |
4,073,062 |
|
|
$ |
128,569 |
|
$ |
469,064 |
|
Deposits |
$ |
4,426,535 |
|
|
$ |
4,378,101 |
|
|
$ |
4,348,654 |
|
|
$ |
4,299,010 |
|
|
$ |
4,259,173 |
|
|
$ |
48,434 |
|
$ |
167,362 |
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Return on average
assets |
|
1.17 |
% |
|
|
1.16 |
% |
|
|
0.88 |
% |
|
|
1.18 |
% |
|
|
1.19 |
% |
|
|
0.02 |
|
|
-0.02 |
|
Return on average
stockholders' equity |
|
10.81 |
% |
|
|
10.65 |
% |
|
|
8.12 |
% |
|
|
10.73 |
% |
|
|
10.65 |
% |
|
|
0.16 |
|
|
0.16 |
|
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Net interest margin
(1) |
|
3.60 |
% |
|
|
3.70 |
% |
|
|
3.79 |
% |
|
|
3.79 |
% |
|
|
3.81 |
% |
|
|
-0.10 |
|
|
-0.21 |
|
Efficiency ratio
(2) |
|
57.80 |
% |
|
|
58.36 |
% |
|
|
54.16 |
% |
|
|
53.33 |
% |
|
|
54.74 |
% |
|
|
-0.57 |
|
|
3.06 |
|
|
|
|
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|
|
Tangible
common equity to tangible assets (3) |
|
10.35 |
% |
|
|
10.43 |
% |
|
|
10.58 |
% |
|
|
10.72 |
% |
|
|
10.83 |
% |
|
|
-0.07 |
|
|
-0.48 |
|
Tangible common equity
per common share (3) |
$ |
17.20 |
|
|
$ |
16.98 |
|
|
$ |
16.96 |
|
|
$ |
16.86 |
|
|
$ |
16.59 |
|
|
$ |
0.23 |
|
$ |
0.61 |
|
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(1) Amounts calculated on a fully taxable equivalent
basis using the federal tax rate in effect for the periods
presented. |
|
(2) Noninterest expense divided by net interest income
plus noninterest income. |
|
(3) Refer to "Non-GAAP Financial Measures" for further
details. |
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Results of Operations Net
interest income was $45.1 million for the second quarter of 2018
compared with $44.9 million for the first quarter of 2018.
Net interest margin on a tax equivalent basis was 3.60% for the
second quarter of 2018 compared with 3.70% for the first quarter of
2018. Interest and fees on loans and leases increased 4.1%,
or $2.1 million, from the preceding quarter due to a 2.4% increase
in average loan and lease receivables and a three basis point
increase in the average yield. Loan prepayment fees were
nominal at $28 thousand for the second quarter compared with $83
thousand in the first quarter.
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As of or For the Three
Months Ended (in thousands) |
|
Percentage Change |
|
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Q2-18 |
|
Q2-18 |
|
Net Interest
Income |
|
2018 |
|
|
|
2018 |
|
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|
2017 |
|
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|
2017 |
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|
2017 |
|
|
vs. Q1-18 |
|
vs. Q2-17 |
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|
Interest
and fees on loans and leases(1) |
$ |
53,708 |
|
|
$ |
51,574 |
|
|
$ |
52,176 |
|
|
$ |
50,265 |
|
|
$ |
47,971 |
|
|
|
4.1 |
% |
|
|
12.0 |
% |
|
Interest
on securities |
|
3,198 |
|
|
|
3,105 |
|
|
|
3,194 |
|
|
|
3,188 |
|
|
|
2,949 |
|
|
|
3.0 |
% |
|
|
8.4 |
% |
|
Dividends on FHLB stock |
|
283 |
|
|
|
289 |
|
|
|
289 |
|
|
|
286 |
|
|
|
283 |
|
|
|
-2.1 |
% |
|
|
0.0 |
% |
|
Interest
on deposits in other banks |
|
133 |
|
|
|
114 |
|
|
|
125 |
|
|
|
123 |
|
|
|
123 |
|
|
|
16.7 |
% |
|
|
8.1 |
% |
|
Total
interest and dividend income |
$ |
57,322 |
|
|
$ |
55,082 |
|
|
$ |
55,784 |
|
|
$ |
53,862 |
|
|
$ |
51,326 |
|
|
|
4.1 |
% |
|
|
11.7 |
% |
|
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|
|
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|
Interest
on deposits |
|
9,465 |
|
|
|
7,785 |
|
|
|
7,402 |
|
|
|
7,071 |
|
|
|
6,463 |
|
|
|
21.6 |
% |
|
|
46.4 |
% |
|
Interest
on borrowings |
|
1,015 |
|
|
|
679 |
|
|
|
363 |
|
|
|
198 |
|
|
|
49 |
|
|
|
49.5 |
% |
|
|
1971.4 |
% |
|
Interest
on subordinated debentures |
|
1,728 |
|
|
|
1,694 |
|
|
|
1,676 |
|
|
|
1,667 |
|
|
|
1,636 |
|
|
|
2.0 |
% |
|
|
5.6 |
% |
|
Total
interest expense |
|
12,208 |
|
|
|
10,158 |
|
|
|
9,441 |
|
|
|
8,936 |
|
|
|
8,148 |
|
|
|
20.2 |
% |
|
|
49.8 |
% |
|
Net
interest income |
$ |
45,114 |
|
|
$ |
44,924 |
|
|
$ |
46,343 |
|
|
$ |
44,926 |
|
|
$ |
43,178 |
|
|
|
0.4 |
% |
|
|
4.5 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
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(1) Includes loans held for sale. |
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The average earning asset yield (tax equivalent)
was 4.57% for the second quarter of 2018 compared with 4.53% for
the first quarter of 2018. The four basis point increase was
primarily due to the increase in average yield for loans and leases
receivable. The cost of interest-bearing liabilities was
1.44% for the second quarter of 2018 compared with 1.25% for the
first quarter of 2018. The 19 basis point increase was
primarily due to an increase in higher costing time deposits and an
increase in the average rate paid on overnight
borrowings.
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For the Three Months
Ended (in thousands) |
|
Percentage Change |
|
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Q2-18 |
|
Q2-18 |
|
Average Earning
Assets and Interest-bearing
Liabilities |
|
2018 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2017 |
|
|
|
2017 |
|
|
vs. Q1-18 |
|
vs. Q2-17 |
|
Loans
and leases receivable (1) |
$ |
4,414,217 |
|
|
$ |
4,310,964 |
|
|
$ |
4,227,259 |
|
|
$ |
4,092,131 |
|
|
$ |
3,951,934 |
|
|
|
2.4 |
% |
|
|
11.7 |
% |
|
Securities |
|
591,493 |
|
|
|
588,738 |
|
|
|
611,181 |
|
|
|
611,538 |
|
|
|
585,384 |
|
|
|
0.5 |
% |
|
|
1.0 |
% |
|
FHLB
stock |
|
16,385 |
|
|
|
16,385 |
|
|
|
16,385 |
|
|
|
16,385 |
|
|
|
16,385 |
|
|
|
0.0 |
% |
|
|
0.0 |
% |
|
Interest-bearing deposits in other banks |
|
28,831 |
|
|
|
32,401 |
|
|
|
36,386 |
|
|
|
38,981 |
|
|
|
47,402 |
|
|
|
-11.0 |
% |
|
|
-39.2 |
% |
|
Average
interest-earning assets |
$ |
5,050,926 |
|
|
$ |
4,948,488 |
|
|
$ |
4,891,211 |
|
|
$ |
4,759,035 |
|
|
$ |
4,601,105 |
|
|
|
2.1 |
% |
|
|
9.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Demand:
interest-bearing |
$ |
92,552 |
|
|
$ |
91,378 |
|
|
$ |
90,646 |
|
|
$ |
90,720 |
|
|
$ |
93,873 |
|
|
|
1.3 |
% |
|
|
-1.4 |
% |
|
Money
market and savings |
|
1,412,118 |
|
|
|
1,478,795 |
|
|
|
1,513,408 |
|
|
|
1,526,951 |
|
|
|
1,532,733 |
|
|
|
-4.5 |
% |
|
|
-7.9 |
% |
|
Time
deposits |
|
1,553,692 |
|
|
|
1,440,382 |
|
|
|
1,408,227 |
|
|
|
1,384,724 |
|
|
|
1,320,005 |
|
|
|
7.9 |
% |
|
|
17.7 |
% |
|
Average
interest-bearing deposits |
|
3,058,362 |
|
|
|
3,010,555 |
|
|
|
3,012,281 |
|
|
|
3,002,395 |
|
|
|
2,946,611 |
|
|
|
1.6 |
% |
|
|
3.8 |
% |
|
Borrowings |
|
214,066 |
|
|
|
179,000 |
|
|
|
119,946 |
|
|
|
67,935 |
|
|
|
20,000 |
|
|
|
19.6 |
% |
|
|
970.3 |
% |
|
Subordinated debentures |
|
117,456 |
|
|
|
117,323 |
|
|
|
117,198 |
|
|
|
117,065 |
|
|
|
116,850 |
|
|
|
0.1 |
% |
|
|
0.5 |
% |
|
Average
interest-bearing liabilities |
$ |
3,389,884 |
|
|
$ |
3,306,878 |
|
|
$ |
3,249,425 |
|
|
$ |
3,187,395 |
|
|
$ |
3,083,461 |
|
|
|
2.5 |
% |
|
|
9.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes loans held for sale. |
|
|
|
|
|
|
|
|
|
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
Ended |
|
Amount Change |
|
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Q2-18 |
|
Q2-18 |
|
Average Yields
and Rates |
|
2018 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2017 |
|
|
|
2017 |
|
|
vs. Q1-18 |
|
vs. Q2-17 |
|
Loans
and leases receivable(1) |
|
4.88 |
% |
|
|
4.85 |
% |
|
|
4.90 |
% |
|
|
4.87 |
% |
|
|
4.87 |
% |
|
|
0.03 |
|
|
|
0.01 |
|
|
Securities (2) |
|
2.29 |
% |
|
|
2.24 |
% |
|
|
2.37 |
% |
|
|
2.41 |
% |
|
|
2.35 |
% |
|
|
0.05 |
|
|
|
-0.06 |
|
|
FHLB
stock |
|
6.93 |
% |
|
|
7.15 |
% |
|
|
7.00 |
% |
|
|
6.93 |
% |
|
|
6.93 |
% |
|
|
-0.22 |
|
|
|
0.00 |
|
|
Interest-bearing deposits in other banks |
|
1.85 |
% |
|
|
1.43 |
% |
|
|
1.36 |
% |
|
|
1.25 |
% |
|
|
1.04 |
% |
|
|
0.42 |
|
|
|
0.81 |
|
|
Interest-earning assets |
|
4.57 |
% |
|
|
4.53 |
% |
|
|
4.56 |
% |
|
|
4.53 |
% |
|
|
4.52 |
% |
|
|
0.04 |
|
|
|
0.05 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing deposits |
|
1.24 |
% |
|
|
1.05 |
% |
|
|
0.97 |
% |
|
|
0.93 |
% |
|
|
0.88 |
% |
|
|
0.19 |
|
|
|
0.36 |
|
|
Borrowings |
|
1.90 |
% |
|
|
1.54 |
% |
|
|
1.20 |
% |
|
|
1.16 |
% |
|
|
0.98 |
% |
|
|
0.36 |
|
|
|
0.92 |
|
|
Subordinated debentures |
|
5.87 |
% |
|
|
5.77 |
% |
|
|
5.70 |
% |
|
|
5.68 |
% |
|
|
5.59 |
% |
|
|
0.10 |
|
|
|
0.28 |
|
|
Interest-bearing liabilities |
|
1.44 |
% |
|
|
1.25 |
% |
|
|
1.15 |
% |
|
|
1.11 |
% |
|
|
1.06 |
% |
|
|
0.19 |
|
|
|
0.38 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
interest margin (taxable equivalent basis) |
|
3.60 |
% |
|
|
3.70 |
% |
|
|
3.79 |
% |
|
|
3.79 |
% |
|
|
3.81 |
% |
|
|
-0.10 |
|
|
|
-0.21 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
deposits |
|
0.87 |
% |
|
|
0.73 |
% |
|
|
0.68 |
% |
|
|
0.66 |
% |
|
|
0.62 |
% |
|
|
0.14 |
|
|
|
0.25 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes loans held for sale. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) Amounts calculated on a fully taxable equivalent
basis using the federal tax rate in effect for the periods
presented. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
|
For the second quarter of 2018, the loan and lease loss
provision was $0.1 million compared with $0.6 million for the
preceding quarter reflecting the continued strong asset quality of
the portfolio of loans and leases.
Second quarter noninterest income decreased 1.9%
to $5.9 million from $6.1 million for the first quarter, primarily
due to a $0.2 million decrease in service charges on deposit
accounts and a $0.2 million decrease in servicing income. The
second quarter included a small gain from the sales of securities
compared with a $0.4 million loss on sales of securities in the
first quarter.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
Ended (in thousands) |
|
Percentage Change |
|
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Q2-18 |
|
Q2-18 |
|
Noninterest Income |
|
2018 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2017 |
|
|
|
2017 |
|
|
vs. Q1-18 |
|
vs. Q2-17 |
|
Service
charges on deposit accounts |
$ |
2,328 |
|
|
$ |
2,511 |
|
|
$ |
2,729 |
|
|
$ |
2,678 |
|
|
$ |
2,461 |
|
|
|
-7.3 |
% |
|
|
-5.4 |
% |
|
Trade
finance and other service charges and fees |
|
1,149 |
|
|
|
1,173 |
|
|
|
1,047 |
|
|
|
1,133 |
|
|
|
1,269 |
|
|
|
-2.0 |
% |
|
|
-9.5 |
% |
|
Servicing income |
|
421 |
|
|
|
662 |
|
|
|
564 |
|
|
|
644 |
|
|
|
625 |
|
|
|
-36.4 |
% |
|
|
-32.6 |
% |
|
Bank-owned life insurance income |
|
256 |
|
|
|
277 |
|
|
|
285 |
|
|
|
286 |
|
|
|
260 |
|
|
|
-7.6 |
% |
|
|
-1.5 |
% |
|
Other
operating income |
|
305 |
|
|
|
285 |
|
|
|
636 |
|
|
|
283 |
|
|
|
941 |
|
|
|
7.0 |
% |
|
|
-67.6 |
% |
|
Service
charges, fees & other |
|
4,459 |
|
|
|
4,908 |
|
|
|
5,261 |
|
|
|
5,024 |
|
|
|
5,556 |
|
|
|
-9.1 |
% |
|
|
-19.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on
sale of SBA loans |
|
1,408 |
|
|
|
1,448 |
|
|
|
2,056 |
|
|
|
2,546 |
|
|
|
2,668 |
|
|
|
-2.8 |
% |
|
|
-47.2 |
% |
|
Disposition gain on PCI loans |
|
11 |
|
|
|
133 |
|
|
|
91 |
|
|
|
979 |
|
|
|
540 |
|
|
|
-91.7 |
% |
|
|
-98.0 |
% |
|
Net gain
(loss) on sales of securities |
|
67 |
|
|
|
(428 |
) |
|
|
275 |
|
|
|
267 |
|
|
|
938 |
|
|
|
-115.7 |
% |
|
|
-92.9 |
% |
|
Total
noninterest income |
$ |
5,945 |
|
|
$ |
6,061 |
|
|
$ |
7,683 |
|
|
$ |
8,816 |
|
|
$ |
9,702 |
|
|
|
-1.9 |
% |
|
|
-38.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest expense has remained within a relatively tight range
over the past year. During the second quarter, noninterest expense
decreased 0.8% to $29.5 million from $29.8 million in the first
quarter primarily due to a $1.2 million decrease in salaries and
employee benefits and $0.2 million decrease in professional fees,
partially offset by a $0.6 million increase in other operating
expenses. Salaries and employee benefit expenses are typically
higher in the first quarter due to the seasonal impact of elevated
payroll taxes and employee benefits. As a result of the decrease in
noninterest expense, as well as the increase in net interest
income, the efficiency ratio improved to 57.80% in the second
quarter from 58.36% in the prior quarter.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
Ended (in thousands) |
|
Percentage Change |
|
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Q2-18 |
|
Q2-18 |
|
|
|
2018 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2017 |
|
|
|
2017 |
|
|
vs. Q1-18 |
|
vs. Q2-17 |
|
Noninterest
Expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries
and employee benefits |
$ |
17,453 |
|
|
$ |
18,702 |
|
|
$ |
17,270 |
|
|
$ |
16,947 |
|
|
$ |
16,623 |
|
|
|
-6.7 |
% |
|
|
5.0 |
% |
|
Occupancy and equipment |
|
4,082 |
|
|
|
4,072 |
|
|
|
3,997 |
|
|
|
3,883 |
|
|
|
3,878 |
|
|
|
0.2 |
% |
|
|
5.3 |
% |
|
Data
processing |
|
1,554 |
|
|
|
1,678 |
|
|
|
1,812 |
|
|
|
1,779 |
|
|
|
1,738 |
|
|
|
-7.4 |
% |
|
|
-10.6 |
% |
|
Professional fees |
|
1,214 |
|
|
|
1,369 |
|
|
|
1,552 |
|
|
|
1,210 |
|
|
|
1,554 |
|
|
|
-11.3 |
% |
|
|
-21.9 |
% |
|
Supplies
and communication |
|
693 |
|
|
|
708 |
|
|
|
778 |
|
|
|
755 |
|
|
|
745 |
|
|
|
-2.1 |
% |
|
|
-7.0 |
% |
|
Advertising and promotion |
|
1,034 |
|
|
|
876 |
|
|
|
988 |
|
|
|
1,147 |
|
|
|
1,015 |
|
|
|
18.0 |
% |
|
|
1.9 |
% |
|
Merger
and integration costs |
|
380 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(9 |
) |
|
|
0.0 |
% |
|
|
-4322.2 |
% |
|
Other
operating expenses |
|
2,854 |
|
|
|
2,273 |
|
|
|
2,961 |
|
|
|
2,955 |
|
|
|
2,881 |
|
|
|
25.6 |
% |
|
|
-0.9 |
% |
|
subtotal |
|
29,264 |
|
|
|
29,678 |
|
|
|
29,358 |
|
|
|
28,676 |
|
|
|
28,425 |
|
|
|
-1.4 |
% |
|
|
3.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
real estate owned expense (income) |
|
246 |
|
|
|
79 |
|
|
|
(100 |
) |
|
|
(16 |
) |
|
|
519 |
|
|
|
211.4 |
% |
|
|
-52.6 |
% |
|
Total
noninterest expense |
$ |
29,510 |
|
|
$ |
29,757 |
|
|
$ |
29,258 |
|
|
$ |
28,660 |
|
|
$ |
28,944 |
|
|
|
-0.8 |
% |
|
|
2.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hanmi recorded a provision for income taxes of $5.9 million for
the second quarter of 2018, representing an effective tax rate of
27.5%, compared with $5.7 million, representing an effective tax
rate of 27.8%, for the first quarter. Our effective tax rate for
the second quarter of 2017 was 38.5% with a provision of $9.1
million. The year-over-year decrease was a result of the lower
Federal corporate tax rate beginning in 2018.
Financial PositionTotal assets
were $5.42 billion at June 30, 2018, a 2.1% increase from $5.31
billion at March 31, 2018. The increase in total assets was
primarily due to an increase in loans and leases receivable.
Loans and leases receivable, before the
allowance for loan and lease losses, were $4.54 billion at June 30,
2018, up 2.9% from $4.41 billion at the end of the prior quarter.
The increase in loans and leases from the first quarter reflects
Hanmi’s continued strong loan and lease production. Loans held for
sale, representing the guaranteed portion of SBA loans, were $5.3
million at June 30, 2018 compared with $6.0 million at the end of
the first quarter.
Loans and leases receivable, before the
allowance for loan and lease losses, increased 11.5% from $4.07
billion for the second quarter last year, primarily due to strong
loan and lease production over the last twelve months.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of (in
thousands) |
|
Percentage Change |
|
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Q2-18 |
|
Q2-18 |
|
|
|
2018 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2017 |
|
|
|
2017 |
|
|
vs. Q1-18 |
|
vs. Q2-17 |
|
Loan and Lease
Portfolio |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial real estate loans |
$ |
3,241,348 |
|
|
$ |
3,122,745 |
|
|
$ |
3,069,063 |
|
|
$ |
3,108,931 |
|
|
$ |
3,068,069 |
|
|
|
3.8 |
% |
|
|
5.6 |
% |
|
Residential real estate loans |
|
539,861 |
|
|
|
545,053 |
|
|
|
521,852 |
|
|
|
430,627 |
|
|
|
384,044 |
|
|
|
-1.0 |
% |
|
|
40.6 |
% |
|
Commercial and industrial loans |
|
396,522 |
|
|
|
409,380 |
|
|
|
399,197 |
|
|
|
364,456 |
|
|
|
346,150 |
|
|
|
-3.1 |
% |
|
|
14.6 |
% |
|
Lease
receivable |
|
350,578 |
|
|
|
321,480 |
|
|
|
297,286 |
|
|
|
272,271 |
|
|
|
257,525 |
|
|
|
9.1 |
% |
|
|
36.1 |
% |
|
Consumer
loans |
|
13,817 |
|
|
|
14,899 |
|
|
|
17,060 |
|
|
|
19,070 |
|
|
|
17,274 |
|
|
|
-7.3 |
% |
|
|
-20.0 |
% |
|
Loans and
leases receivable |
|
4,542,126 |
|
|
|
4,413,557 |
|
|
|
4,304,458 |
|
|
|
4,195,355 |
|
|
|
4,073,062 |
|
|
|
2.9 |
% |
|
|
11.5 |
% |
|
Loans
held for sale |
|
5,349 |
|
|
|
6,008 |
|
|
|
6,394 |
|
|
|
6,469 |
|
|
|
10,949 |
|
|
|
-11.0 |
% |
|
|
-51.1 |
% |
|
Total
loans and leases |
$ |
4,547,475 |
|
|
$ |
4,419,565 |
|
|
$ |
4,310,852 |
|
|
$ |
4,201,824 |
|
|
$ |
4,084,011 |
|
|
|
2.9 |
% |
|
|
11.3 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New loan and lease production for the 2018 second quarter was
$308.8 million while payoffs, amortization and net line utilization
was $186.2 million compared with $245.3 million and $154.3 million,
respectively, for the first quarter. Second quarter 2018 new
loan and lease production was comprised of $198.3 million of
commercial real estate loans, $19.2 million of commercial and
industrial loans, $29.6 million of SBA loans, $60.3 million of
commercial leases and $1.3 million of consumer loans. Loan
purchases for the 2018 second quarter were $25.9 million, compared
with $38.9 million in the first quarter. For the second quarter of
2018, commercial real estate loans as a percentage of loans and
leases receivable decreased to 71.4% compared with 75.3% for the
same period last year.
Bonnie Lee, President and Chief Operating
Officer, said, “Hanmi continues to deliver strong new loan and
lease production. During the quarter we saw meaningful
contributions from the Illinois market, as well as our new branch
in New York City that provides access to one of the top Asian
American banking markets in the country. I am also pleased with our
Commercial Equipment Leasing division, which originated the most
leases since we acquired this business in the fourth quarter of
2016.”
Deposits increased to $4.43 billion at the end
of the second quarter from $4.38 billion at the end of the
preceding quarter. Time deposits and interest bearing demand
deposits led this growth with increases of 8.6% and 13.1%,
respectively. The loans to deposits ratio at June 30, 2018
increased to 102.6% from 100.8% in the first quarter.
Deposits increased 3.9% from $4.26 billion in
the second quarter last year, as total time deposits,
noninterest-bearing demand deposits and interest-bearing demand
deposits increased 15.4%, 7.1% and 13.3%, respectively, from a year
ago. Noninterest-bearing demand deposits as a percentage of total
deposits have remained stable in a range of 30% to 31% even as
overall deposits have increased.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of (in
thousands) |
|
Percentage Change |
|
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Q2-18 |
|
Q2-18 |
|
|
|
2018 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2017 |
|
|
|
2017 |
|
|
vs. Q1-18 |
|
vs. Q2-17 |
|
Deposit
Portfolio |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Demand:
noninterest-bearing |
$ |
1,350,383 |
|
|
$ |
1,352,162 |
|
|
$ |
1,312,274 |
|
|
$ |
1,293,538 |
|
|
$ |
1,260,929 |
|
|
|
-0.1 |
% |
|
|
7.1 |
% |
|
Demand:
interest-bearing |
|
105,825 |
|
|
|
93,591 |
|
|
|
92,948 |
|
|
|
90,734 |
|
|
|
93,390 |
|
|
|
13.1 |
% |
|
|
13.3 |
% |
|
Money
market and savings |
|
1,381,038 |
|
|
|
1,469,010 |
|
|
|
1,527,100 |
|
|
|
1,534,457 |
|
|
|
1,528,127 |
|
|
|
-6.0 |
% |
|
|
-9.6 |
% |
|
Time
deposits |
|
1,589,289 |
|
|
|
1,463,338 |
|
|
|
1,416,332 |
|
|
|
1,380,281 |
|
|
|
1,376,727 |
|
|
|
8.6 |
% |
|
|
15.4 |
% |
|
Total
deposits |
$ |
4,426,535 |
|
|
$ |
4,378,101 |
|
|
$ |
4,348,654 |
|
|
$ |
4,299,010 |
|
|
$ |
4,259,173 |
|
|
|
1.1 |
% |
|
|
3.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At June 30, 2018, stockholders’ equity was $571.7 million,
compared with $564.3 million at March 31, 2018. Tangible common
stockholders’ equity was $559.3 million, or 10.35% of tangible
assets, compared with $551.8 million, or 10.43% of tangible assets
at the end of the first quarter. Tangible book value per share
increased to $17.20 from $16.98 in the prior quarter.
Hanmi continues to be well capitalized, with a
preliminary Tier 1 risk-based capital ratio of 12.52% and a Total
risk-based capital ratio of 15.36% at June 30, 2018, versus 12.52%
and 15.43%, respectively, for the first quarter.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
of |
|
Amount Change |
|
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Q2-18 |
|
Q2-18 |
|
|
|
2018 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2017 |
|
|
|
2017 |
|
|
vs. Q1-18 |
|
vs. Q2-17 |
|
Regulatory
Capital ratios (1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hanmi Financial |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
risk-based capital |
|
15.36 |
% |
|
|
15.43 |
% |
|
|
15.50 |
% |
|
|
15.58 |
% |
|
|
15.69 |
% |
|
|
-0.07 |
|
|
|
-0.33 |
|
|
Tier 1
risk-based capital |
|
12.52 |
% |
|
|
12.52 |
% |
|
|
12.55 |
% |
|
|
12.56 |
% |
|
|
12.58 |
% |
|
|
0.00 |
|
|
|
-0.06 |
|
|
Common
equity tier 1 capital |
|
12.09 |
% |
|
|
12.09 |
% |
|
|
12.19 |
% |
|
|
12.20 |
% |
|
|
12.22 |
% |
|
|
0.00 |
|
|
|
-0.13 |
|
|
Tier 1
leverage capital ratio |
|
10.89 |
% |
|
|
10.88 |
% |
|
|
10.79 |
% |
|
|
10.92 |
% |
|
|
11.08 |
% |
|
|
0.01 |
|
|
|
-0.19 |
|
|
Hanmi Bank |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
risk-based capital |
|
15.04 |
% |
|
|
15.13 |
% |
|
|
15.20 |
% |
|
|
15.32 |
% |
|
|
15.44 |
% |
|
|
-0.09 |
|
|
|
-0.40 |
|
|
Tier 1
risk-based capital |
|
14.32 |
% |
|
|
14.39 |
% |
|
|
14.47 |
% |
|
|
14.55 |
% |
|
|
14.62 |
% |
|
|
-0.07 |
|
|
|
-0.30 |
|
|
Common
equity tier 1 capital |
|
14.32 |
% |
|
|
14.39 |
% |
|
|
14.47 |
% |
|
|
14.55 |
% |
|
|
14.62 |
% |
|
|
-0.07 |
|
|
|
-0.30 |
|
|
Tier 1
leverage capital ratio |
|
12.46 |
% |
|
|
12.51 |
% |
|
|
12.44 |
% |
|
|
12.66 |
% |
|
|
12.89 |
% |
|
|
-0.05 |
|
|
|
-0.43 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
Preliminary ratios for June 30, 2018 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hanmi declared a cash dividend of $0.24 per
common share on its common stock in the second quarter. The
dividend was paid on May 29, 2018, to stockholders of record as of
the close of business on May 7, 2018.
Asset Quality Nonperforming
loans were $15.8 million at the end of the second quarter of 2018,
or 0.35% of loans, compared with $15.4 million at the end the prior
quarter, or 0.35% of loans. Loans 30 to 89 days past due and still
accruing were 0.20% of loans at the end of the second quarter of
2018, compared with 0.16% of loans at the end of the first
quarter.
Nonperforming assets were $16.1 million at the
end of the second quarter of 2018, or 0.30% of assets, compared
with 0.32% of assets at the end of the prior quarter.
Gross charge-offs for the second quarter of 2018
were $0.7 million compared with $1.6 million for the preceding
quarter. Recoveries of previously charged-off loans for the second
quarter of 2018 were $0.6 million compared with $1.7 million for
the preceding quarter. As a result, there were net charge offs
totaling $59,000 for the second quarter of 2018, compared to net
recoveries of $85,000 for the preceding quarter. For the
second quarter of 2018, net charge offs were 0.01% of average loans
and leases compared to net recoveries of 0.01% of average loans for
the preceding quarter.
The allowance for loan and lease losses was
$31.8 million as of June 30, 2018, generating an allowance of loan
and lease losses to loans and leases of 0.70%, down from 0.72% the
prior quarter due to higher loan volume.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of or for the Three
Months Ended (in thousands) |
|
Amount Change |
|
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Q2-18 |
|
Q2-18 |
|
|
|
2018 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2017 |
|
|
|
2017 |
|
|
vs. Q1-18 |
|
vs. Q2-17 |
|
Asset
Quality |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-performing
assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans |
$ |
15,804 |
|
|
$ |
15,345 |
|
|
$ |
15,805 |
|
|
$ |
14,558 |
|
|
$ |
16,464 |
|
|
$ |
459 |
|
|
$ |
(660 |
) |
|
Loans 90
days or more past due and still accruing |
|
- |
|
|
|
17 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(17 |
) |
|
|
- |
|
|
Non-performing loans and leases |
|
15,804 |
|
|
|
15,362 |
|
|
|
15,805 |
|
|
|
14,558 |
|
|
|
16,464 |
|
|
|
442 |
|
|
|
(660 |
) |
|
Other
real estate, net |
|
280 |
|
|
|
1,660 |
|
|
|
1,946 |
|
|
|
1,946 |
|
|
|
4,321 |
|
|
|
(1,380 |
) |
|
|
(4,041 |
) |
|
Nonperforming assets |
$ |
16,084 |
|
|
$ |
17,022 |
|
|
$ |
17,751 |
|
|
$ |
16,504 |
|
|
$ |
20,785 |
|
|
$ |
(938 |
) |
|
$ |
(4,701 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Delinquent
loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans,
30 to 89 days past due and still accruing |
$ |
9,089 |
|
|
$ |
7,270 |
|
|
$ |
8,666 |
|
|
$ |
5,682 |
|
|
$ |
9,602 |
|
|
$ |
1,819 |
|
|
$ |
(513 |
) |
|
Delinquent loans to loans |
|
0.20 |
% |
|
|
0.16 |
% |
|
|
0.20 |
% |
|
|
0.14 |
% |
|
|
0.24 |
% |
|
|
3.5 |
% |
|
|
-3.6 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for
loan and lease losses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance
at beginning of period |
$ |
31,777 |
|
|
$ |
31,043 |
|
|
$ |
32,492 |
|
|
$ |
33,758 |
|
|
$ |
33,152 |
|
|
|
|
|
|
Loan and
lease loss provision |
|
100 |
|
|
|
649 |
|
|
|
220 |
|
|
|
269 |
|
|
|
422 |
|
|
|
|
|
|
Net loan
charge-offs (recoveries) |
|
59 |
|
|
|
(85 |
) |
|
|
1,669 |
|
|
|
1,535 |
|
|
|
(184 |
) |
|
|
|
|
|
Balance
at end of period |
$ |
31,818 |
|
|
$ |
31,777 |
|
|
$ |
31,043 |
|
|
$ |
32,492 |
|
|
$ |
33,758 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset quality
ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-performing loans and leases to loans and leases |
|
0.35 |
% |
|
|
0.35 |
% |
|
|
0.37 |
% |
|
|
0.35 |
% |
|
|
0.41 |
% |
|
|
|
|
|
Non-performing assets to assets |
|
0.30 |
% |
|
|
0.32 |
% |
|
|
0.34 |
% |
|
|
0.32 |
% |
|
|
0.42 |
% |
|
|
|
|
|
Net loan
and lease charge-offs (recoveries) to average loans and leases
(1) |
|
0.01 |
% |
|
|
-0.01 |
% |
|
|
0.16 |
% |
|
|
0.15 |
% |
|
|
-0.02 |
% |
|
|
|
|
|
Allowance for loan and lease losses to loans and leases |
|
0.70 |
% |
|
|
0.72 |
% |
|
|
0.72 |
% |
|
|
0.77 |
% |
|
|
0.83 |
% |
|
|
|
|
|
Allowance for loan and lease losses to non-performing loans and
leases |
|
201.33 |
% |
|
|
206.85 |
% |
|
|
196.41 |
% |
|
|
223.19 |
% |
|
|
205.04 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for
off-balance sheet items: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance
at beginning of period |
$ |
1,323 |
|
|
$ |
1,296 |
|
|
$ |
915 |
|
|
$ |
1,135 |
|
|
$ |
1,184 |
|
|
|
|
|
|
Provision (income) for off-balance sheet items |
|
34 |
|
|
|
27 |
|
|
|
381 |
|
|
|
(220 |
) |
|
|
(49 |
) |
|
|
|
|
|
Balance
at end of period |
$ |
1,357 |
|
|
$ |
1,323 |
|
|
$ |
1,296 |
|
|
$ |
915 |
|
|
$ |
1,135 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Annualized |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Conference CallManagement will host a
conference call today, July 24, 2018 at 2:00 p.m. PT (5:00 p.m. ET)
to discuss these results. This call will also be broadcast live via
the internet. Investment professionals and all current and
prospective stockholders are invited to access the live call by
dialing 1-877-407-9039 before 2:00 p.m. PT, using access code
HANMI. To listen to the call online, either live or archived, visit
the Investor Relations page of Hanmi’s website at
www.hanmi.com.
About Hanmi Financial
CorporationHeadquartered in Los Angeles, California, Hanmi
Financial Corporation owns Hanmi Bank, which serves multi-ethnic
communities through its network of 40 full-service branches and 9
loan production offices in California, Texas, Illinois, Virginia,
New Jersey, New York, Colorado, Washington and Georgia. Hanmi Bank
specializes in real estate, commercial, SBA and trade finance
lending to small and middle market businesses. Additional
information is available at www.hanmi.com.
Forward-Looking StatementsThis
press release contains forward-looking statements, which are
included in accordance with the “safe harbor” provisions of the
Private Securities Litigation Reform Act of 1995. In some cases,
you can identify forward-looking statements by terminology such as
“may,” “will,” “should,” “could,” “expects,” “plans,” “intends,”
“anticipates,” “believes,” “estimates,” “predicts,” “potential,” or
“continue,” or the negative of such terms and other comparable
terminology. Although we believe that the expectations reflected in
the forward-looking statements are reasonable, we cannot guarantee
future results, levels of activity, performance or achievements.
All statements other than statements of historical fact are
“forward–looking statements” for purposes of federal and state
securities laws, including, but not limited to, statements about
anticipated future operating and financial performance, financial
position and liquidity, business strategies, regulatory and
competitive outlook, investment and expenditure plans, capital and
financing needs and availability, plans and objectives of
management for future operations, developments regarding our
capital plans, strategic alternatives for a possible business
combination, merger or sale transaction, and other similar
forecasts and statements of expectation and statements of
assumption underlying any of the foregoing. These statements
involve known and unknown risks, uncertainties and other factors
that may cause our actual results, levels of activity, performance
or achievements to differ from those expressed or implied by the
forward-looking statement. These factors include the following:
failure to maintain adequate levels of capital and liquidity to
support our operations; the effect of potential future supervisory
action against us or Hanmi Bank; general economic and business
conditions internationally, nationally and in those areas in which
we operate; volatility and deterioration in the credit and equity
markets; changes in consumer spending, borrowing and savings
habits; availability of capital from private and government
sources; demographic changes; competition for loans and deposits
and failure to attract or retain loans and deposits; fluctuations
in interest rates and a decline in the level of our interest rate
spread; risks of natural disasters related to our real estate
portfolio; risks associated with Small Business Administration
loans; failure to attract or retain key employees; changes in
governmental regulation, including, but not limited to, any
increase in FDIC insurance premiums; ability of Hanmi Bank to make
distributions to Hanmi Financial Corporation, which is restricted
by certain factors, including Hanmi Bank’s retained earnings, net
income, prior distributions made, and certain other financial
tests; ability to identify a suitable strategic partner or to
consummate a strategic transaction; adequacy of our allowance for
loan and lease losses; credit quality and the effect of credit
quality on our provision for loan and lease losses and allowance
for loan and lease losses; changes in the financial performance
and/or condition of our borrowers and the ability of our borrowers
to perform under the terms of their loans and other terms of credit
agreements; our ability to control expenses; and changes in
securities markets. In addition, we set forth certain risks in our
reports filed with the U.S. Securities and Exchange Commission,
including, Item 1A of our Annual Report on Form 10-K for the year
ended December 31, 2017, our Quarterly Reports on Form 10-Q, and
Current Reports on Form 8-K that we will file hereafter, which
could cause actual results to differ from those projected. We
undertake no obligation to update such forward-looking statements
except as required by law.
Investor Contacts:Romolo (Ron) SantarosaSenior
Executive Vice President & Chief Financial
Officer213-427-5636
Richard PimentelSenior Vice President & Corporate Finance
Officer213-427-3191
Lasse GlassenInvestor RelationsAddo Investor
Relations310-829-5400
Hanmi Financial Corporation and
SubsidiariesConsolidated Balance
Sheets (Unaudited)(In thousands)
|
|
|
|
|
|
|
|
|
|
|
|
June 30, |
|
March 31, |
|
Percentage |
|
June 30, |
|
Percentage |
|
|
|
2018 |
|
|
|
2018 |
|
|
Change |
|
|
2017 |
|
|
Change |
|
Assets |
|
|
|
|
|
|
|
|
|
|
Cash and
due from banks |
$ |
136,474 |
|
|
$ |
151,611 |
|
|
-10 |
% |
|
$ |
138,507 |
|
|
-1.5 |
% |
|
Securities available for sale, at fair value |
|
565,529 |
|
|
|
570,351 |
|
|
-0.8 |
% |
|
|
571,846 |
|
|
-1.1 |
% |
|
Loans
held for sale, at the lower of cost or fair value |
|
5,349 |
|
|
|
6,008 |
|
|
-11.0 |
% |
|
|
10,949 |
|
|
-51.1 |
% |
|
Loans
receivable, net of allowance for loan losses |
|
4,510,308 |
|
|
|
4,381,780 |
|
|
2.9 |
% |
|
|
4,039,304 |
|
|
11.7 |
% |
|
Accrued
interest receivable |
|
12,940 |
|
|
|
12,751 |
|
|
1.5 |
% |
|
|
11,167 |
|
|
15.9 |
% |
|
Premises
and equipment, net |
|
26,324 |
|
|
|
26,465 |
|
|
-0.5 |
% |
|
|
26,869 |
|
|
-2.0 |
% |
|
Customers' liability on acceptances |
|
971 |
|
|
|
870 |
|
|
11.6 |
% |
|
|
1,481 |
|
|
-34.4 |
% |
|
Servicing
assets |
|
9,255 |
|
|
|
9,867 |
|
|
-6.2 |
% |
|
|
10,480 |
|
|
-11.7 |
% |
|
Goodwill
and other intangible assets, net |
|
12,363 |
|
|
|
12,454 |
|
|
-0.7 |
% |
|
|
12,712 |
|
|
-2.7 |
% |
|
Federal
Home Loan Bank ("FHLB") stock, at cost |
|
16,385 |
|
|
|
16,385 |
|
|
0.0 |
% |
|
|
16,385 |
|
|
0.0 |
% |
|
Bank-owned life insurance |
|
51,087 |
|
|
|
50,831 |
|
|
0.5 |
% |
|
|
49,982 |
|
|
2.2 |
% |
|
Prepaid
expenses and other assets |
|
68,217 |
|
|
|
66,268 |
|
|
2.9 |
% |
|
|
83,664 |
|
|
-18.5 |
% |
|
Total
assets |
$ |
5,415,202 |
|
|
$ |
5,305,641 |
|
|
2.1 |
% |
|
$ |
4,973,346 |
|
|
8.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
Stockholders' Equity |
|
|
|
|
|
|
|
|
|
|
Liabilities: |
|
|
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing |
$ |
1,350,383 |
|
|
$ |
1,352,162 |
|
|
-0.1 |
% |
|
$ |
1,260,929 |
|
|
7.1 |
% |
|
Interest-bearing |
|
3,076,152 |
|
|
|
3,025,939 |
|
|
1.7 |
% |
|
|
2,998,244 |
|
|
2.6 |
% |
|
Total
deposits |
|
4,426,535 |
|
|
|
4,378,101 |
|
|
1.1 |
% |
|
|
4,259,173 |
|
|
3.9 |
% |
|
Accrued
interest payable |
|
5,775 |
|
|
|
5,931 |
|
|
-2.6 |
% |
|
|
3,432 |
|
|
68.3 |
% |
|
Bank's
liability on acceptances |
|
971 |
|
|
|
870 |
|
|
11.6 |
% |
|
|
1,481 |
|
|
-34.4 |
% |
|
Borrowings |
|
270,000 |
|
|
|
220,000 |
|
|
22.7 |
% |
|
|
20,000 |
|
|
1250.0 |
% |
|
Subordinated debentures |
|
117,532 |
|
|
|
117,400 |
|
|
0.1 |
% |
|
|
117,011 |
|
|
0.4 |
% |
|
Accrued
expenses and other liabilities |
|
22,682 |
|
|
|
19,061 |
|
|
19.0 |
% |
|
|
22,109 |
|
|
2.6 |
% |
|
Total
liabilities |
|
4,843,495 |
|
|
|
4,741,363 |
|
|
2.2 |
% |
|
|
4,423,206 |
|
|
9.5 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders'
equity: |
|
|
|
|
|
|
|
|
|
|
Common
stock |
|
33 |
|
|
|
33 |
|
|
0.0 |
% |
|
|
33 |
|
|
0.0 |
% |
|
Additional paid-in capital |
|
568,011 |
|
|
|
567,081 |
|
|
0.2 |
% |
|
|
563,948 |
|
|
0.7 |
% |
|
Accumulated other comprehensive (loss) income |
|
(9,324 |
) |
|
|
(8,207 |
) |
|
13.6 |
% |
|
|
137 |
|
|
-6905.8 |
% |
|
Retained
earnings |
|
85,465 |
|
|
|
77,691 |
|
|
10.0 |
% |
|
|
57,717 |
|
|
48.1 |
% |
|
Less
treasury stock |
|
(72,478 |
) |
|
|
(72,320 |
) |
|
0.2 |
% |
|
|
(71,695 |
) |
|
1.1 |
% |
|
Total stockholders' equity |
|
571,707 |
|
|
|
564,278 |
|
|
1.3 |
% |
|
|
550,140 |
|
|
3.9 |
% |
|
Total
liabilities and stockholders' equity |
$ |
5,415,202 |
|
|
$ |
5,305,641 |
|
|
2.1 |
% |
|
$ |
4,973,346 |
|
|
8.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
Hanmi Financial Corporation and
SubsidiariesConsolidated Statements of
Income (Unaudited)(In thousands, except share and
per share data)
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
June 30, |
|
March 31, |
|
Percentage |
|
June 30, |
|
Percentage |
|
|
2018 |
|
|
|
2018 |
|
|
Change |
|
|
2017 |
|
|
Change |
Interest and
dividend income: |
|
|
|
|
|
|
|
|
|
Interest
and fees on loans and leases |
$ |
53,708 |
|
|
$ |
51,574 |
|
|
4.1 |
% |
|
$ |
47,971 |
|
|
12.0 |
% |
Interest
on securities |
|
3,198 |
|
|
|
3,105 |
|
|
3.0 |
% |
|
|
2,949 |
|
|
8.4 |
% |
Dividends
on FHLB stock |
|
283 |
|
|
|
289 |
|
|
-2.1 |
% |
|
|
283 |
|
|
0.0 |
% |
Interest
on deposits in other banks |
|
133 |
|
|
|
114 |
|
|
16.7 |
% |
|
|
123 |
|
|
8.1 |
% |
Total interest and dividend income |
|
57,322 |
|
|
|
55,082 |
|
|
4.1 |
% |
|
|
51,326 |
|
|
11.7 |
% |
Interest
expense: |
|
|
|
|
|
|
|
|
|
Interest
on deposits |
|
9,465 |
|
|
|
7,785 |
|
|
21.6 |
% |
|
|
6,463 |
|
|
46.4 |
% |
Interest
on borrowings |
|
1,015 |
|
|
|
679 |
|
|
49.5 |
% |
|
|
49 |
|
|
1971.4 |
% |
Interest
on subordinated debentures |
|
1,728 |
|
|
|
1,694 |
|
|
2.0 |
% |
|
|
1,636 |
|
|
5.6 |
% |
Total interest expense |
|
12,208 |
|
|
|
10,158 |
|
|
20.2 |
% |
|
|
8,148 |
|
|
49.8 |
% |
Net interest income
before provision for loan and lease losses |
|
45,114 |
|
|
|
44,924 |
|
|
0.4 |
% |
|
|
43,178 |
|
|
4.5 |
% |
Loan and
lease loss provision |
|
100 |
|
|
|
649 |
|
|
-84.6 |
% |
|
|
422 |
|
|
-76.3 |
% |
Net interest income
after provision for loan and lease losses |
|
45,014 |
|
|
|
44,275 |
|
|
1.7 |
% |
|
|
42,756 |
|
|
5.3 |
% |
Noninterest
income: |
|
|
|
|
|
|
|
|
|
Service
charges on deposit accounts |
|
2,328 |
|
|
|
2,511 |
|
|
-7.3 |
% |
|
|
2,461 |
|
|
-5.4 |
% |
Trade
finance and other service charges and fees |
|
1,149 |
|
|
|
1,173 |
|
|
-2.0 |
% |
|
|
1,269 |
|
|
-9.5 |
% |
Gain on
sale of Small Business Administration ("SBA") loans |
|
1,408 |
|
|
|
1,448 |
|
|
-2.8 |
% |
|
|
2,668 |
|
|
-47.2 |
% |
Servicing
income |
|
421 |
|
|
|
662 |
|
|
-36.4 |
% |
|
|
625 |
|
|
-32.6 |
% |
Bank-owned life insurance income |
|
256 |
|
|
|
277 |
|
|
-7.6 |
% |
|
|
260 |
|
|
-1.5 |
% |
Disposition gains on Purchased Credit Impaired ("PCI") loans |
|
11 |
|
|
|
133 |
|
|
-91.7 |
% |
|
|
540 |
|
|
-98.0 |
% |
Net gain
(loss) on sales of securities |
|
67 |
|
|
|
(428 |
) |
|
-115.7 |
% |
|
|
938 |
|
|
-92.9 |
% |
Other
operating income |
|
305 |
|
|
|
285 |
|
|
7.0 |
% |
|
|
941 |
|
|
-67.6 |
% |
Total noninterest income |
|
5,945 |
|
|
|
6,061 |
|
|
-1.9 |
% |
|
|
9,702 |
|
|
-38.7 |
% |
Noninterest
expense: |
|
|
|
|
|
|
|
|
|
Salaries
and employee benefits |
|
17,453 |
|
|
|
18,702 |
|
|
-6.7 |
% |
|
|
16,623 |
|
|
5.0 |
% |
Occupancy
and equipment |
|
4,082 |
|
|
|
4,072 |
|
|
0.2 |
% |
|
|
3,878 |
|
|
5.3 |
% |
Data
processing |
|
1,554 |
|
|
|
1,678 |
|
|
-7.4 |
% |
|
|
1,738 |
|
|
-10.6 |
% |
Professional fees |
|
1,214 |
|
|
|
1,369 |
|
|
-11.3 |
% |
|
|
1,554 |
|
|
-21.9 |
% |
Supplies
and communications |
|
693 |
|
|
|
708 |
|
|
-2.1 |
% |
|
|
745 |
|
|
-7.0 |
% |
Advertising and promotion |
|
1,034 |
|
|
|
876 |
|
|
18.0 |
% |
|
|
1,015 |
|
|
1.9 |
% |
Other
real estate owned expense |
|
246 |
|
|
|
79 |
|
|
211.4 |
% |
|
|
519 |
|
|
-52.6 |
% |
Merger
and integration costs |
|
380 |
|
|
|
- |
|
|
- |
|
|
|
(9 |
) |
|
-4322.2 |
% |
Other
operating expenses |
|
2,854 |
|
|
|
2,273 |
|
|
25.6 |
% |
|
|
2,881 |
|
|
-0.9 |
% |
Total noninterest expense |
|
29,510 |
|
|
|
29,757 |
|
|
-0.8 |
% |
|
|
28,944 |
|
|
2.0 |
% |
Income before provision
for income taxes |
|
21,449 |
|
|
|
20,579 |
|
|
4.2 |
% |
|
|
23,514 |
|
|
-8.8 |
% |
Provision
for income taxes |
|
5,901 |
|
|
|
5,724 |
|
|
3.1 |
% |
|
|
9,057 |
|
|
-34.8 |
% |
Net
income |
$ |
15,548 |
|
|
$ |
14,855 |
|
|
4.7 |
% |
|
$ |
14,457 |
|
|
7.6 |
% |
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per
share: |
$ |
0.48 |
|
|
$ |
0.46 |
|
|
|
|
$ |
0.45 |
|
|
|
Diluted earnings per
share: |
$ |
0.48 |
|
|
$ |
0.46 |
|
|
|
|
$ |
0.45 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average shares
outstanding: |
|
|
|
|
|
|
|
|
|
Basic |
|
32,189,096 |
|
|
|
32,145,214 |
|
|
|
|
|
32,078,038 |
|
|
|
Diluted |
|
32,336,775 |
|
|
|
32,301,095 |
|
|
|
|
|
32,243,034 |
|
|
|
Common shares
outstanding |
|
32,513,518 |
|
|
|
32,502,658 |
|
|
|
|
|
32,393,856 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hanmi Financial
Corporation and Subsidiaries |
|
|
|
|
|
|
|
|
|
Consolidated
Statements of Income (Unaudited) |
|
|
|
|
|
|
|
|
|
(In thousands, except
share and per share data) |
|
|
|
|
|
|
|
|
|
|
Six Months Ended |
|
|
|
|
|
June 30, |
|
June 30, |
|
Percentage |
|
|
|
|
|
|
2018 |
|
|
|
2017 |
|
|
Change |
|
|
|
|
Interest and
dividend income: |
|
|
|
|
|
|
|
|
|
Interest
and fees on loans |
$ |
105,283 |
|
|
$ |
93,349 |
|
|
12.8 |
% |
|
|
|
|
Interest
on securities |
|
6,302 |
|
|
|
5,468 |
|
|
15.3 |
% |
|
|
|
|
Dividends
on FHLB stock |
|
572 |
|
|
|
657 |
|
|
-12.9 |
% |
|
|
|
|
Interest
on deposits in other banks |
|
247 |
|
|
|
200 |
|
|
23.5 |
% |
|
|
|
|
Total interest and dividend income |
|
112,404 |
|
|
|
99,674 |
|
|
12.8 |
% |
|
|
|
|
Interest
expense: |
|
|
|
|
|
|
|
|
|
Interest
on deposits |
|
17,250 |
|
|
|
11,617 |
|
|
48.5 |
% |
|
|
|
|
Interest
on borrowings |
|
1,694 |
|
|
|
517 |
|
|
227.8 |
% |
|
|
|
|
Interest
on subordinated debentures |
|
3,421 |
|
|
|
2,009 |
|
|
70.3 |
% |
|
|
|
|
Total interest expense |
|
22,365 |
|
|
|
14,143 |
|
|
58.1 |
% |
|
|
|
|
Net interest income
before provision for loan and lease losses |
|
90,039 |
|
|
|
85,531 |
|
|
5.3 |
% |
|
|
|
|
Loan and
lease loss provision |
|
749 |
|
|
|
342 |
|
|
119.0 |
% |
|
|
|
|
Net interest income
after provision for loan and lease losses |
|
89,290 |
|
|
|
85,189 |
|
|
4.8 |
% |
|
|
|
|
Noninterest
income: |
|
|
|
|
|
|
|
|
|
Service
charges on deposit accounts |
|
4,839 |
|
|
|
4,989 |
|
|
-3.0 |
% |
|
|
|
|
Trade
finance and other service charges and fees |
|
2,322 |
|
|
|
2,316 |
|
|
0.3 |
% |
|
|
|
|
Gain on
sale of Small Business Administration ("SBA") loans |
|
2,856 |
|
|
|
4,132 |
|
|
-30.9 |
% |
|
|
|
|
Servicing
income |
|
1,083 |
|
|
|
1,423 |
|
|
-23.9 |
% |
|
|
|
|
Bank-owned life insurance income |
|
533 |
|
|
|
542 |
|
|
-1.6 |
% |
|
|
|
|
Disposition gains on Purchased Credit Impaired ("PCI") loans |
|
144 |
|
|
|
723 |
|
|
-80.1 |
% |
|
|
|
|
Net gain
(loss) on sales of securities |
|
(361 |
) |
|
|
1,206 |
|
|
-129.9 |
% |
|
|
|
|
Other
operating income |
|
590 |
|
|
|
1,586 |
|
|
-62.8 |
% |
|
|
|
|
Total noninterest income |
|
12,006 |
|
|
|
16,917 |
|
|
-29.0 |
% |
|
|
|
|
Noninterest
expense: |
|
|
|
|
|
|
|
|
|
Salaries
and employee benefits |
|
36,155 |
|
|
|
33,727 |
|
|
7.2 |
% |
|
|
|
|
Occupancy
and equipment |
|
8,154 |
|
|
|
7,861 |
|
|
3.7 |
% |
|
|
|
|
Data
processing |
|
3,231 |
|
|
|
3,369 |
|
|
-4.1 |
% |
|
|
|
|
Professional fees |
|
2,583 |
|
|
|
2,702 |
|
|
-4.4 |
% |
|
|
|
|
Supplies
and communications |
|
1,401 |
|
|
|
1,379 |
|
|
1.6 |
% |
|
|
|
|
Advertising and promotion |
|
1,911 |
|
|
|
1,817 |
|
|
5.2 |
% |
|
|
|
|
Other
real estate owned expense |
|
325 |
|
|
|
418 |
|
|
-22.2 |
% |
|
|
|
|
Merger
and integration costs |
|
380 |
|
|
|
(40 |
) |
|
-1050.0 |
% |
|
|
|
|
Other
operating expenses |
|
5,128 |
|
|
|
4,948 |
|
|
3.6 |
% |
|
|
|
|
Total noninterest expense |
|
59,268 |
|
|
|
56,181 |
|
|
5.5 |
% |
|
|
|
|
Income before provision
for income taxes |
|
42,028 |
|
|
|
45,925 |
|
|
-8.5 |
% |
|
|
|
|
Income
tax expense |
|
11,625 |
|
|
|
17,685 |
|
|
-34.3 |
% |
|
|
|
|
Net
income |
$ |
30,403 |
|
|
$ |
28,240 |
|
|
7.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per
share: |
$ |
0.94 |
|
|
$ |
0.88 |
|
|
|
|
|
|
|
Diluted earnings per
share: |
$ |
0.94 |
|
|
$ |
0.87 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average shares
outstanding: |
|
|
|
|
|
|
|
|
|
Basic |
|
32,167,111 |
|
|
|
32,040,113 |
|
|
|
|
|
|
|
Diluted |
|
32,316,648 |
|
|
|
32,216,671 |
|
|
|
|
|
|
|
Common shares
outstanding |
|
32,513,518 |
|
|
|
32,393,856 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hanmi Financial Corporation and
SubsidiariesAverage Balance, Average Yield
Earned, and Average Rate Paid (Unaudited)(In
thousands, except ratios)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
June 30, 2018 |
|
March 31, 2018 |
|
June 30, 2017 |
|
|
|
Interest |
Average |
|
|
Interest |
Average |
|
|
Interest |
Average |
|
|
Average |
Income / |
Yield / |
|
Average |
Income / |
Yield / |
|
Average |
Income / |
Yield / |
|
|
Balance |
Expense |
Rate |
|
Balance |
Expense |
Rate |
|
Balance |
Expense |
Rate |
|
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
Loans and
leases receivable (1) |
$ |
4,414,217 |
|
$ |
53,708 |
4.88 |
% |
|
$ |
4,310,964 |
|
$ |
51,574 |
4.85 |
% |
|
$ |
3,951,934 |
|
$ |
47,971 |
4.87 |
% |
|
Securities (2) |
|
591,493 |
|
|
3,384 |
2.29 |
% |
|
|
588,738 |
|
|
3,296 |
2.24 |
% |
|
|
585,384 |
|
|
3,444 |
2.35 |
% |
|
FHLB
stock |
|
16,385 |
|
|
283 |
6.93 |
% |
|
|
16,385 |
|
|
289 |
7.15 |
% |
|
|
16,385 |
|
|
283 |
6.93 |
% |
|
Interest-bearing deposits in other banks |
|
28,831 |
|
|
133 |
1.85 |
% |
|
|
32,401 |
|
|
114 |
1.43 |
% |
|
|
47,402 |
|
|
123 |
1.04 |
% |
|
Total
interest-earning assets |
|
5,050,926 |
|
|
57,508 |
4.57 |
% |
|
|
4,948,488 |
|
|
55,273 |
4.53 |
% |
|
|
4,601,105 |
|
|
51,821 |
4.52 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
Cash and
due from banks |
|
124,371 |
|
|
|
|
|
122,580 |
|
|
|
|
|
116,750 |
|
|
|
|
Allowance
for loan and lease losses |
|
(31,871 |
) |
|
|
|
|
(32,487 |
) |
|
|
|
|
(33,540 |
) |
|
|
|
Other
assets |
|
175,277 |
|
|
|
|
|
175,209 |
|
|
|
|
|
191,158 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets |
$ |
5,318,703 |
|
|
|
|
$ |
5,213,790 |
|
|
|
|
$ |
4,875,473 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
Stockholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
Demand:
interest-bearing |
$ |
92,552 |
|
$ |
18 |
0.08 |
% |
|
$ |
91,378 |
|
$ |
18 |
0.08 |
% |
|
$ |
93,873 |
|
$ |
18 |
0.08 |
% |
|
Money
market and savings |
|
1,412,118 |
|
|
3,546 |
1.01 |
% |
|
|
1,478,795 |
|
|
3,326 |
0.91 |
% |
|
|
1,532,733 |
|
|
3,224 |
0.84 |
% |
|
Time
deposits |
|
1,553,692 |
|
|
5,901 |
1.52 |
% |
|
|
1,440,382 |
|
|
4,441 |
1.25 |
% |
|
|
1,320,005 |
|
|
3,221 |
0.98 |
% |
|
Total
interest-bearing deposits |
|
3,058,362 |
|
|
9,465 |
1.24 |
% |
|
|
3,010,555 |
|
|
7,785 |
1.05 |
% |
|
|
2,946,611 |
|
|
6,463 |
0.88 |
% |
|
Borrowings |
|
214,066 |
|
|
1,015 |
1.90 |
% |
|
|
179,000 |
|
|
679 |
1.54 |
% |
|
|
20,000 |
|
|
49 |
0.98 |
% |
|
Subordinated debentures |
|
117,456 |
|
|
1,728 |
5.87 |
% |
|
|
117,323 |
|
|
1,694 |
5.77 |
% |
|
|
116,850 |
|
|
1,636 |
5.59 |
% |
|
Total
interest-bearing liabilities |
|
3,389,884 |
|
|
12,208 |
1.44 |
% |
|
|
3,306,878 |
|
|
10,158 |
1.25 |
% |
|
|
3,083,461 |
|
|
8,148 |
1.06 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing liabilities and equity: |
|
|
|
|
|
|
|
|
|
|
|
|
Demand
deposits: noninterest-bearing |
|
1,325,195 |
|
|
|
|
|
1,307,072 |
|
|
|
|
|
1,219,876 |
|
|
|
|
Other
liabilities |
|
26,651 |
|
|
|
|
|
33,973 |
|
|
|
|
|
27,853 |
|
|
|
|
Stockholders' equity |
|
576,973 |
|
|
|
|
|
565,867 |
|
|
|
|
|
544,283 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
liabilities and stockholders' equity |
$ |
5,318,703 |
|
|
|
|
$ |
5,213,790 |
|
|
|
|
$ |
4,875,473 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income (tax equivalent basis) |
|
$ |
45,300 |
|
|
|
$ |
45,115 |
|
|
|
$ |
43,673 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
deposits |
|
|
0.87 |
% |
|
|
|
0.73 |
% |
|
|
|
0.62 |
% |
|
Net interest
spread (taxable equivalent basis) |
|
|
3.13 |
% |
|
|
|
3.28 |
% |
|
|
|
3.46 |
% |
|
Net interest
margin (taxable equivalent basis) |
|
|
3.60 |
% |
|
|
|
3.70 |
% |
|
|
|
3.81 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
Includes loans held for sale |
|
|
|
|
|
|
|
|
|
|
|
|
(2) Amounts calculated on a fully taxable equivalent
basis using the federal tax rate in effect for the periods
presented. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hanmi Financial
Corporation and Subsidiaries |
|
|
|
|
|
|
|
|
|
|
|
|
Average
Balance, Average Yield Earned and Average Rate Paid
(Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
(In thousands, except
ratios) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended |
|
|
|
|
|
|
June 30, 2018 |
|
June 30, 2017 |
|
|
|
|
|
|
|
Interest |
Average |
|
|
Interest |
Average |
|
|
|
|
|
|
Average |
Income / |
Yield / |
|
Average |
Income / |
Yield / |
|
|
|
|
|
|
Balance |
Expense |
Rate |
|
Balance |
Expense |
Rate |
|
|
|
|
|
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
Loans and
leases receivable (1) |
$ |
4,362,876 |
|
$ |
105,283 |
4.87 |
% |
|
$ |
3,917,004 |
|
$ |
93,349 |
4.81 |
% |
|
|
|
|
|
Securities (2) |
|
590,123 |
|
|
6,678 |
2.26 |
% |
|
|
556,129 |
|
|
6,468 |
2.33 |
% |
|
|
|
|
|
FHLB
stock |
|
16,385 |
|
|
572 |
7.04 |
% |
|
|
16,385 |
|
|
657 |
8.09 |
% |
|
|
|
|
|
Interest-bearing deposits in other banks |
|
30,606 |
|
|
247 |
1.63 |
% |
|
|
43,026 |
|
|
200 |
0.94 |
% |
|
|
|
|
|
Total
interest-earning assets |
|
4,999,990 |
|
|
112,780 |
4.55 |
% |
|
|
4,532,544 |
|
|
100,674 |
4.48 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
Cash and
due from banks |
|
123,480 |
|
|
|
|
|
117,273 |
|
|
|
|
|
|
|
|
Allowance
for loan and lease losses |
|
(32,177 |
) |
|
|
|
|
(33,193 |
) |
|
|
|
|
|
|
|
Other
assets |
|
175,245 |
|
|
|
|
|
190,602 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets |
$ |
5,266,538 |
|
|
|
|
$ |
4,807,226 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
Stockholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
Demand:
interest-bearing |
$ |
91,968 |
|
$ |
36 |
0.08 |
% |
|
$ |
95,727 |
|
$ |
38 |
0.08 |
% |
|
|
|
|
|
Money
market and savings |
|
1,445,272 |
|
|
6,872 |
0.96 |
% |
|
|
1,470,165 |
|
|
5,890 |
0.81 |
% |
|
|
|
|
|
Time
deposits |
|
1,497,349 |
|
|
10,342 |
1.39 |
% |
|
|
1,247,000 |
|
|
5,689 |
0.92 |
% |
|
|
|
|
|
Total
interest-bearing deposits |
|
3,034,589 |
|
|
17,250 |
1.15 |
% |
|
|
2,812,892 |
|
|
11,617 |
0.83 |
% |
|
|
|
|
|
Borrowings |
|
196,630 |
|
|
1,694 |
1.74 |
% |
|
|
144,558 |
|
|
517 |
0.72 |
% |
|
|
|
|
|
Subordinated debentures |
|
117,390 |
|
|
3,421 |
5.82 |
% |
|
|
74,137 |
|
|
2,009 |
5.41 |
% |
|
|
|
|
|
Total
interest-bearing liabilities |
|
3,348,609 |
|
|
22,365 |
1.35 |
% |
|
|
3,031,587 |
|
|
14,143 |
0.94 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Demand
deposits: noninterest-bearing |
|
1,316,184 |
|
|
|
|
|
1,208,079 |
|
|
|
|
|
|
|
|
Other
liabilities |
|
30,292 |
|
|
|
|
|
28,255 |
|
|
|
|
|
|
|
|
Stockholders' equity |
|
571,453 |
|
|
|
|
|
539,305 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
liabilities and stockholders' equity |
$ |
5,266,538 |
|
|
|
|
$ |
4,807,226 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income (tax equivalent basis) |
|
$ |
90,415 |
|
|
|
$ |
86,531 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
deposits |
|
|
0.80 |
% |
|
|
|
0.58 |
% |
|
|
|
|
|
Net interest
spread (taxable equivalent basis) |
|
|
3.20 |
% |
|
|
|
3.54 |
% |
|
|
|
|
|
Net interest
margin (taxable equivalent basis) |
|
|
3.65 |
% |
|
|
|
3.85 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes loans held for sale |
|
|
|
|
|
(2) Amounts calculated on a fully taxable equivalent
basis using the federal tax rate in effect for the periods
presented. |
|
|
|
|
|
Non-GAAP Financial Measures
Tangible Common Equity to Tangible Assets
Ratio
Tangible common equity to tangible assets ratio is supplemental
financial information determined by a method other than in
accordance with U.S. generally accepted accounting principles
(“GAAP”). This non-GAAP measure is used by management in the
analysis of Hanmi’s capital strength. Tangible equity is calculated
by subtracting goodwill and other intangible assets from
stockholders’ equity. Banking and financial institution regulators
also exclude goodwill and other intangible assets from
stockholders’ equity when assessing the capital adequacy of a
financial institution. Management believes the presentation of this
financial measure excluding the impact of these items provides
useful supplemental information that is essential to a proper
understanding of the capital strength of Hanmi. This disclosure
should not be viewed as a substitution for results determined in
accordance with GAAP, nor is it necessarily comparable to non-GAAP
performance measures that may be presented by other companies.
The following table reconciles this non-GAAP performance measure
to the GAAP performance measure for the periods indicated:
Tangible Common Equity to Tangible Assets Ratio
(Unaudited)(In thousands, except share, per share data and
ratios)
|
|
|
|
|
|
|
|
|
|
|
June 30, |
|
March 31, |
|
December 31, |
|
September 30, |
|
June 30, |
Hanmi Financial Corporation |
|
2018 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2017 |
|
|
|
2017 |
|
Assets |
$ |
5,415,202 |
|
|
$ |
5,305,641 |
|
|
$ |
5,210,485 |
|
|
$ |
5,111,396 |
|
|
$ |
4,973,346 |
|
Less
goodwill and other intangible assets |
|
(12,363 |
) |
|
|
(12,454 |
) |
|
|
(12,544 |
) |
|
|
(12,628 |
) |
|
|
(12,712 |
) |
Tangible
assets |
$ |
5,402,839 |
|
|
$ |
5,293,187 |
|
|
$ |
5,197,941 |
|
|
$ |
5,098,768 |
|
|
$ |
4,960,634 |
|
|
|
|
|
|
|
|
|
|
|
Stockholders' equity |
$ |
571,707 |
|
|
$ |
564,278 |
|
|
$ |
562,477 |
|
|
$ |
559,247 |
|
|
$ |
550,140 |
|
Less
goodwill and other intangible assets |
|
(12,363 |
) |
|
|
(12,454 |
) |
|
|
(12,544 |
) |
|
|
(12,628 |
) |
|
|
(12,712 |
) |
Tangible
stockholders' equity |
$ |
559,344 |
|
|
$ |
551,824 |
|
|
$ |
549,933 |
|
|
$ |
546,619 |
|
|
$ |
537,428 |
|
|
|
|
|
|
|
|
|
|
|
Stockholders' equity to assets |
|
10.56 |
% |
|
|
10.64 |
% |
|
|
10.80 |
% |
|
|
10.94 |
% |
|
|
11.06 |
% |
Tangible
common equity to tangible assets |
|
10.35 |
% |
|
|
10.43 |
% |
|
|
10.58 |
% |
|
|
10.72 |
% |
|
|
10.83 |
% |
|
|
|
|
|
|
|
|
|
|
Common
shares outstanding |
|
32,513,518 |
|
|
|
32,502,658 |
|
|
|
32,431,627 |
|
|
|
32,413,082 |
|
|
|
32,393,856 |
|
Tangible
common equity per common share |
$ |
17.20 |
|
|
$ |
16.98 |
|
|
$ |
16.96 |
|
|
$ |
16.86 |
|
|
$ |
16.59 |
|
|
|
|
|
|
|
|
|
|
|
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