HAFC Hanmi Financial Corporation

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

_________________

FORM 8-K

_________________

CURRENT REPORT

Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):  July 23, 2024

HANMI FINANCIAL CORPORATION

(Exact name of registrant as specified in its charter)

Delaware	000-30421	95-4788120
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

900 Wilshire Boulevard, Suite 1250

Los Angeles, CA 90017

(Address of Principal Executive Offices) (Zip Code)

(213) 382-2200

(Registrant's telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company,indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	HANMI FINANCIAL CORPORATION
Date: July 23, 2024	By:	/s/ Bonita I. Lee
		Bonita I. Lee
		Chief Executive Officer

 

EXHIBIT 99.1

Hanmi Reports 2024 Second Quarter Results

LOS ANGELES, July 23, 2024 (GLOBE NEWSWIRE) -- Hanmi Financial Corporation (NASDAQ: HAFC, or “Hanmi”), the parent company of Hanmi Bank (the “Bank”), today reported financial results for the second quarter of 2024.

Net income for the second quarter of 2024 was $14.5 million, or $0.48 per diluted share, compared with $15.2 million, or $0.50 per diluted share, for the first quarter of 2024. The return on average assets for the second quarter of 2024 was 0.77% and the return on average equity was 7.50%, compared with a return on average assets of 0.81% and the return on average equity of 7.90% for the first quarter of 2024.

CEO Commentary
“Our second quarter results demonstrate that while the economic environment has been challenging, we are observing improved business activity and stabilizing margin pressure,” said Bonnie Lee, President and Chief Executive Officer of Hanmi. Our relationship banking model has enabled us to attract new customers, resulting in 17% quarterly growth in loan production as well as growth in demand deposit accounts, further expanding our market share. Importantly, our rigorous underwriting practices continue to generate excellent asset quality."

“As we look to the second half of 2024, we are progressing with a robust balance sheet, ample liquidity and strong capital ratios. We continue to prioritize our customers by enhancing their Hanmi experience through strategic technology investments, which are also enabling us to achieve operational efficiencies. Finally, our prudent expense and credit management has positioned Hanmi to capitalize on the growth opportunities ahead. I am thankful to our team of bankers and support staff who continue to foster meaningful relationships with our customers and enhance our franchise value.”

Second Quarter 2024 Highlights:        

• Second quarter net income was $14.5 million, or $0.48 per diluted share, compared with $15.2 million, or $0.50 per diluted share for the first quarter of 2024. The decline in net income reflects lower net interest income, and a higher credit loss expense, partially offset by lower noninterest expenses.
• Loans receivable were $6.18 billion at June 30, 2024, essentially unchanged from the end of the first quarter of 2024; loan production for the second quarter was $273.9 million with a weighted average interest rate of 8.31%.
• Deposits were $6.33 billion at June 30, 2024, down 0.7% from the end of the first quarter of 2024; noninterest-bearing demand deposits were 31.0% of total deposits at the end of the second quarter.
• Net interest income for the second quarter was $48.6 million, down 4.0% from the first quarter of 2024, and net interest margin (taxable equivalent) was 2.69% for the second quarter, down 9 basis points; the average yield on loans decreased 1 basis point, while the cost of interest-bearing deposits increased 11 basis points. 
• Noninterest income for the second quarter was $8.1 million, up $0.4 million, or 4.2%, from the first quarter of 2024.
  
• Noninterest expenses were $35.3 million for the second quarter, down 3.2% from the first quarter of 2024, primarily reflecting a decrease in salaries and benefits.
• Asset quality remained favorable with criticized loans declining 17.6% from the first quarter of 2024, to $70.9 million, or 1.1% of loans. Nonperforming assets rose 7 basis points, to 0.26% of total assets, and net charge offs continued to be low at $1.8 million, or 0.12% of average loans (annualized).

For more information about Hanmi, please see the Q2 2024 Investor Update (and Supplemental Financial Information), which is available on the Bank’s website at www.hanmi.com and via a current report on Form 8-K on the website of the Securities and Exchange Commission at www.sec.gov. Also, please refer to “Non-GAAP Financial Measures” herein for further details of the presentation of certain non-GAAP financial measures.

Quarterly Highlights
(Dollars in thousands, except per share data)

	As of or for the Three Months Ended																				Amount Change
	June 30,				March 31,				December 31,				September 30,				June 30,				Q2-24				Q2-24
	2024				2024				2023				2023				2023				vs. Q1-24				vs. Q2-23
Net income	$	14,451			$	15,164			$	18,633			$	18,796			$	20,620			$	(713	)		$	(6,169	)
Net income per diluted common share	$	0.48			$	0.50			$	0.61			$	0.62			$	0.67			$	(0.02	)		$	(0.19	)
Assets	$	7,586,347			$	7,512,046			$	7,570,341			$	7,350,140			$	7,344,924			$	74,301			$	241,423
Loans receivable	$	6,176,359			$	6,177,840			$	6,182,434			$	6,020,785			$	5,965,171			$	(1,481	)		$	211,188
Deposits	$	6,329,340			$	6,376,060			$	6,280,574			$	6,260,072			$	6,315,768			$	(46,720	)		$	13,572
Return on average assets		0.77	%			0.81	%			0.99	%			1.00	%			1.12	%			-0.04				-0.35
Return on average stockholders' equity		7.50	%			7.90	%			9.70	%			9.88	%			11.14	%			-0.40				-3.64
Net interest margin		2.69	%			2.78	%			2.92	%			3.03	%			3.11	%			-0.09				-0.42
Efficiency ratio (1)		62.24	%			62.42	%			58.86	%			51.82	%			54.11	%			-0.18				8.13
Tangible common equity to tangible assets (2)		9.19	%			9.23	%			9.14	%			8.89	%			8.96	%			-0.04				0.23
Tangible common equity per common share (2)	$	22.99			$	22.86			$	22.75			$	21.45			$	21.56				0.13				1.43
(1)       Noninterest expense divided by net interest income plus noninterest income.
(2)       Refer to "Non-GAAP Financial Measures" for further details.

Results of Operations
Net interest income for the second quarter decreased to $48.6 million from $50.7 million for the second quarter of 2024, down 4.0%. The decrease was primarily due to an increase in the cost of interest-bearing deposits. The cost of interest-bearing deposits increased 11 basis points to 4.27% for the second quarter of 2024, from 4.16% for the first quarter of 2024. The increase in the cost of interest-bearing deposits was due to higher market interest rates. Average interest-bearing deposits were $4.38 billion for the second quarter, down 0.6% from $4.41 billion for the first quarter of 2024. The yield on average loans for the second quarter decreased to 5.99% from 6.00% for the first quarter of 2024. Average loans were $6.09 billion for the second quarter, down 0.8% from $6.14 billion for the first quarter of 2024. Second quarter loan prepayment fees were $0.1 million, compared with $0.2 million for the first quarter of 2024. Net interest margin (taxable-equivalent) for the second quarter was 2.69%, compared with 2.78% for the first quarter of 2024.

	As of or For the Three Months Ended (in thousands)																				Percentage Change
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,				Q2-24				Q2-24
Net Interest Income	2024				2024				2023				2023				2023				vs. Q1-24				vs. Q2-23
Interest and fees on loans receivable(1)	$	90,752			$	91,674			$	89,922			$	85,398			$	83,567				-1.0	%			8.6	%
Interest on securities		5,238				4,955				4,583				4,204				4,126				5.7	%			27.0	%
Dividends on FHLB stock		357				361				341				317				283				-1.1	%			26.1	%
Interest on deposits in other banks		2,313				2,604				2,337				4,153				2,794				-11.2	%			-17.2	%
Total interest and dividend income	$	98,660			$	99,594			$	97,183			$	94,072			$	90,770				-0.9	%			8.7	%
Interest on deposits		46,495				45,638				40,277				36,818				32,115				1.9	%			44.8	%
Interest on borrowings		1,896				1,655				2,112				753				1,633				14.6	%			16.1	%
Interest on subordinated debentures		1,649				1,646				1,654				1,646				1,600				0.2	%			3.1	%
Total interest expense		50,040				48,939				44,043				39,217				35,348				2.2	%			41.6	%
Net interest income	$	48,620			$	50,655			$	53,140			$	54,855			$	55,422				-4.0	%			-12.3	%
(1)       Includes loans held for sale.

	For the Three Months Ended (in thousands)																				Percentage Change
Average Earning Assets and	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,				Q2-24				Q2-24
Interest-bearing Liabilities	2024				2024				2023				2023				2023				vs. Q1-24				vs. Q2-23
Loans receivable (1)	$	6,089,440			$	6,137,888			$	6,071,644			$	5,915,423			$	5,941,071				-0.8	%			2.5	%
Securities		979,671				969,520				961,551				955,473				971,531				1.0	%			0.8	%
FHLB stock		16,385				16,385				16,385				16,385				16,385				0.0	%			0.0	%
Interest-bearing deposits in other banks		180,177				201,724				181,140				317,498				230,974				-10.7	%			-22.0	%
Average interest-earning assets	$	7,265,673			$	7,325,517			$	7,230,720			$	7,204,779			$	7,159,961				-0.8	%			1.5	%
Demand: interest-bearing	$	85,443			$	86,401			$	86,679			$	94,703			$	99,057				-1.1	%			-13.7	%
Money market and savings		1,845,870				1,815,085				1,669,973				1,601,826				1,463,304				1.7	%			26.1	%
Time deposits		2,453,154				2,507,830				2,417,803				2,438,112				2,403,685				-2.2	%			2.1	%
Average interest-bearing deposits		4,384,467				4,409,316				4,174,455				4,134,641				3,966,046				-0.6	%			10.6	%
Borrowings		169,525				162,418				205,951				120,381				196,776				4.4	%			-13.8	%
Subordinated debentures		130,239				130,088				129,933				129,780				129,631				0.1	%			0.5	%
Average interest-bearing liabilities	$	4,684,231			$	4,701,822			$	4,510,339			$	4,384,802			$	4,292,453				-0.4	%			9.1	%
Average Noninterest Bearing Deposits
Demand deposits - noninterest bearing	$	1,883,765			$	1,921,189			$	2,025,212			$	2,136,156			$	2,213,171				-1.9	%			-14.9	%
(1)       Includes loans held for sale.

	For the Three Months Ended																				Yield/Rate Change
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,				Q2-24				Q2-24
Average Yields and Rates	2024				2024				2023				2023				2023				vs. Q1-24				vs. Q2-23
Loans receivable(1)		5.99	%			6.00	%			5.88	%			5.73	%			5.64	%			-0.01				0.35
Securities (2)		2.17	%			2.07	%			1.93	%			1.79	%			1.73	%			0.10				0.44
FHLB stock		8.77	%			8.87	%			8.25	%			7.67	%			6.92	%			-0.10				1.85
Interest-bearing deposits in other banks		5.16	%			5.19	%			5.12	%			5.19	%			4.85	%			-0.03				0.31
Interest-earning assets		5.46	%			5.47	%			5.34	%			5.19	%			5.09	%			-0.01				0.37
Interest-bearing deposits		4.27	%			4.16	%			3.83	%			3.53	%			3.25	%			0.11				1.02
Borrowings		4.50	%			4.10	%			4.07	%			2.48	%			3.33	%			0.40				1.17
Subordinated debentures		5.07	%			5.06	%			5.09	%			5.07	%			4.94	%			0.01				0.13
Interest-bearing liabilities		4.30	%			4.19	%			3.88	%			3.55	%			3.30	%			0.11				1.00
Net interest margin (taxable equivalent basis)		2.69	%			2.78	%			2.92	%			3.03	%			3.11	%			-0.09				-0.42
Cost of deposits		2.98	%			2.90	%			2.58	%			2.33	%			2.08	%			0.08				0.90
(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.

Credit loss expense for the second quarter was $1.0 million, compared with $0.2 million for the first quarter of 2024. Second quarter credit loss expense included a $1.3 million credit loss expense for loan losses, offset by a $0.3 million recovery for off-balance sheet items. Second quarter net loan charge-offs were $1.8 million, compared with first quarter of 2024 net loan charge-offs of $1.6 million.

Noninterest income for the second quarter increased $0.4 million to $8.1 million, or 4.2%, from $7.7 million for the first quarter of 2024. The increase primarily reflected $0.3 million in bank-owned life insurance benefit income in the second quarter of 2024. Additionally, gains on sales of SBA loans were $1.6 million for the second quarter of 2024, compared with $1.5 million for the first quarter of 2024. The volume of SBA loans sold in the second quarter decreased to $23.5 million, from $25.6 million for the first quarter of 2024, while trade premiums increased to 8.54% for the second quarter, from 7.23% for the first quarter of 2024. Moreover, gains on the sale of mortgage loans continued in the second quarter, whereby loans sold were $19.5 million, at a premium of 2.00%, compared with $29.7 million and 2.27% for the first quarter, resulting in income of $0.4 million for each period.

	For the Three Months Ended (in thousands)																				Percentage Change
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,				Q2-24				Q2-24
Noninterest Income	2024				2024				2023				2023				2023				vs. Q1-24				vs. Q2-23
Service charges on deposit accounts	$	2,429			$	2,450			$	2,391			$	2,605			$	2,571				-0.9	%			-5.5	%
Trade finance and other service charges and fees		1,277				1,414				1,245				1,155				1,173				-9.7	%			8.9	%
Servicing income		796				712				772				838				825				11.8	%			-3.5	%
Bank-owned life insurance income (expense)		638				304				(29	)			280				271				109.9	%			135.4	%
All other operating income		908				928				853				1,178				1,811				-2.2	%			-49.9	%
Service charges, fees & other		6,048				5,808				5,232				6,056				6,651				4.1	%			-9.1	%
Gain on sale of SBA loans		1,644				1,482				1,448				1,172				1,212				10.9	%			35.6	%
Gain on sale of mortgage loans		365				443				-				-				-				-17.6	%			100.0	%
Net gain (loss) on sales of securities		-				-				-				-				(1,871	)			0.0	%			-100.0	%
Gain (loss) on sale of bank premises		-				-				-				4,000				-				0.0	%			0.0	%
Legal settlement		-				-				-				-				1,943				0.0	%			-100.0	%
Total noninterest income	$	8,057			$	7,733			$	6,680			$	11,228			$	7,935				4.2	%			1.5	%

Noninterest expense for the second quarter decreased to $35.3 million from $36.4 million for the first quarter of 2024. The decline was primarily due to a $1.2 million decrease in salaries and benefits arising from $0.6 million in seasonally lower employer taxes and benefits and a $0.6 million decrease in capitalized labor costs associated with the Company's investment in a new loan origination system. All other categories of recurring noninterest expense combined, except for data processing, which increased by $0.1 million, decreased $0.5 million for the second quarter from the first quarter of 2024. Additionally, Hanmi recorded $0.3 million in nonrecurring branch consolidation expenses in the second quarter due to the consolidation of three branches; two branches in Texas and one branch in California. The efficiency ratio for the second quarter was 62.2%, compared with 62.4% for the first quarter of 2024.

	For the Three Months Ended (in thousands)																				Percentage Change
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,				Q2-24				Q2-24
	2024				2024				2023				2023				2023				vs. Q1-24				vs. Q2-23
Noninterest Expense
Salaries and employee benefits	$	20,434			$	21,585			$	20,062			$	20,361			$	20,365				-5.3	%			0.3	%
Occupancy and equipment		4,348				4,537				4,604				4,825				4,500				-4.2	%			-3.4	%
Data processing		3,686				3,551				3,487				3,490				3,465				3.8	%			6.4	%
Professional fees		1,749				1,893				1,977				1,568				1,376				-7.6	%			27.1	%
Supplies and communication		570				601				613				552				638				-5.2	%			-10.7	%
Advertising and promotion		669				907				990				534				748				-26.2	%			-10.6	%
All other operating expenses		3,251				3,160				3,252				2,852				3,243				2.9	%			0.2	%
Subtotal		34,707				36,234				34,985				34,182				34,335				-4.2	%			1.1	%
Branch consolidation expense		301				-				-				-				-				100.0	%			100.0	%
Other real estate owned expense		6				22				15				16				4				-72.7	%			50.0	%
Repossessed personal property expense (income)		262				189				211				47				(59	)			38.6	%			-544.1	%
Total noninterest expense	$	35,276			$	36,445			$	35,211			$	34,245			$	34,280				-3.2	%			2.9	%

Hanmi recorded a provision for income taxes of $6.0 million for the second quarter of 2024, compared with $6.6 million for the first quarter of 2024, representing an effective tax rate of 29.3% and 30.2%, respectively. The first quarter of 2024 income tax expense included a $0.2 million charge for share-based compensation vesting and $0.2 million of additional expense associated with amended state tax returns.

Financial Position
Total assets at June 30, 2024 increased 1.0%, or $74.3 million, to $7.59 billion from $7.51 billion at March 31, 2024. The sequential quarter increase mainly reflected a 22.3%, or $57.0 million, increase in cash and due from banks, a $6.5 million increase in loans held for sale, and a $5.4 million increase in securities.

Loans receivable, before allowance for credit losses, were $6.18 billion at June 30, 2024, and was consistent with the balance at March 31, 2024. Loans held for sale, representing the guaranteed portion of SBA 7(a) loans, were $10.5 million as of June 30, 2024, up from $4.0 million as of March 31, 2024.

	As of (in thousands)																				Percentage Change
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,				Q2-24				Q2-24
	2024				2024				2023				2023				2023				vs. Q1-24				vs. Q2-23
Loan Portfolio
Commercial real estate loans	$	3,888,505			$	3,878,677			$	3,889,739			$	3,773,015			$	3,738,325				0.3	%			4.0	%
Residential/consumer loans		954,209				970,362				962,661				926,326				886,984				-1.7	%			7.6	%
Commercial and industrial loans		802,372				774,851				747,819				728,792				753,456				3.6	%			6.5	%
Equipment finance		531,273				553,950				582,215				592,652				586,406				-4.1	%			-9.4	%
Loans receivable		6,176,359				6,177,840				6,182,434				6,020,785				5,965,171				0.0	%			3.5	%
Loans held for sale		10,467				3,999				12,013				11,767				7,293				161.7	%			43.5	%
Total	$	6,186,826			$	6,181,839			$	6,194,447			$	6,032,552			$	5,972,464				0.1	%			3.6	%

	As of
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,
	2024				2024				2023				2023				2023
Composition of Loan Portfolio
Commercial real estate loans		62.9	%			62.7	%			62.8	%			62.5	%			62.6	%
Residential/consumer loans		15.4	%			15.7	%			15.5	%			15.4	%			14.9	%
Commercial and industrial loans		13.0	%			12.5	%			12.1	%			12.1	%			12.6	%
Equipment finance		8.5	%			9.0	%			9.4	%			9.8	%			9.8	%
Loans receivable		99.8	%			99.9	%			99.8	%			99.8	%			99.9	%
Loans held for sale		0.2	%			0.1	%			0.2	%			0.2	%			0.1	%
Total		100.0	%			100.0	%			100.0	%			100.0	%			100.0	%

New loan production was $273.9 million for the second quarter of 2024 at an average rate of 8.31%, while payoffs were $148.4 million during the quarter at an average rate of 8.10%.

Commercial real estate loan production for the second quarter of 2024 was $87.6 million. Commercial and industrial loan production was $59.0 million, SBA loan production was $54.5 million, equipment finance production was $42.6 million, and residential mortgage loan production was $30.2 million.

	For the Three Months Ended (in thousands)
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,
	2024				2024				2023				2023				2023
New Loan Production
Commercial real estate loans	$	87,632			$	60,085			$	178,157			$	106,151			$	40,989
Commercial and industrial loans		59,007				50,789				52,079				67,907				36,322
SBA loans		54,486				30,817				48,432				36,109				30,926
Equipment finance		42,594				39,155				57,334				71,075				50,905
Residential/consumer loans		30,194				53,115				53,465				55,026				100,161
subtotal		273,913				233,961				389,467				336,268				259,303
Payoffs		(148,400	)			(86,250	)			(77,961	)			(62,140	)			(120,609	)
Amortization		(83,640	)			(90,711	)			(106,610	)			(116,411	)			(102,248	)
Loan sales		(42,945	)			(55,321	)			(29,861	)			(22,496	)			(20,933	)
Net line utilization		1,929				(4,150	)			(11,609	)			(70,238	)			(28,092	)
Charge-offs & OREO		(2,338	)			(2,123	)			(1,777	)			(9,369	)			(2,708	)
Loans receivable-beginning balance		6,177,840				6,182,434				6,020,785				5,965,171				5,980,458
Loans receivable-ending balance	$	6,176,359			$	6,177,840			$	6,182,434			$	6,020,785			$	5,965,171

Deposits were $6.33 billion at the end of the second quarter of 2024, down $46.7 million, or 0.7%, from $6.38 billion at the end of the preceding quarter. Driving the change was a $44.2 million decrease in time deposits and a $25.1 million decrease in money market and savings deposits, partially offset by a $26.9 million increase in noninterest-bearing demand deposits. Noninterest-bearing demand deposits represented 31.0% of total deposits at June 30, 2024 and the loan-to-deposit ratio was 97.6%.

	As of (in thousands)																				Percentage Change
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,				Q2-24				Q2-24
	2024				2024				2023				2023				2023				vs. Q1-24				vs. Q2-23
Deposit Portfolio
Demand: noninterest-bearing	$	1,959,963			$	1,933,060			$	2,003,596			$	2,161,238			$	2,206,078				1.4	%			-11.2	%
Demand: interest-bearing		82,981				87,374				87,452				88,133				97,076				-5.0	%			-14.5	%
Money market and savings		1,834,797				1,859,865				1,734,658				1,576,006				1,580,691				-1.3	%			16.1	%
Time deposits		2,451,599				2,495,761				2,454,868				2,434,695				2,431,923				-1.8	%			0.8	%
Total deposits	$	6,329,340			$	6,376,060			$	6,280,574			$	6,260,072			$	6,315,768				-0.7	%			0.2	%

	As of
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,
	2024				2024				2023				2023				2023
Composition of Deposit Portfolio
Demand: noninterest-bearing		31.0	%			30.3	%			31.9	%			34.5	%			34.9	%
Demand: interest-bearing		1.3	%			1.4	%			1.4	%			1.4	%			1.5	%
Money market and savings		29.0	%			29.2	%			27.6	%			25.2	%			25.0	%
Time deposits		38.7	%			39.1	%			39.1	%			38.9	%			38.6	%
Total deposits		100.0	%			100.0	%			100.0	%			100.0	%			100.0	%

Stockholders’ equity at June 30, 2024 was $707.1 million, up $4.0 million from $703.1 million at March 31, 2024. Second quarter net income, net of dividends paid, added $6.9 million to stockholders’ equity for the period. Offsetting this addition was a $0.9 million increase in unrealized after-tax losses on securities available for sale due to changes in interest rates during the second quarter and a $0.2 million increase in unrealized after-tax losses on cash flow hedges. In addition, Hanmi repurchased 170,000 shares of common stock during the quarter at an average share price of $16.05. At June 30, 2024, 1,330,000 shares remain under Hanmi’s share repurchase program. Tangible common stockholders’ equity was $696.0 million, or 9.19% of tangible assets, at June 30, 2024, compared with $692.0 million, or 9.23% of tangible assets at the end of the first quarter of 2024.

Hanmi and the Bank exceeded minimum regulatory capital requirements, and the Bank continues to exceed the minimum for the “well capitalized” category. At June 30, 2024, Hanmi’s preliminary common equity tier 1 capital ratio was 12.11% and its total risk-based capital ratio was 15.24%, compared with 12.05% and 15.20%, respectively, at the end of the first quarter of 2024.

	As of																				Ratio Change
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,				Q2-24				Q2-24
	2024				2024				2023				2023				2023				vs. Q1-24				vs. Q2-23
Regulatory Capital ratios (1)
Hanmi Financial
Total risk-based capital		15.24	%			15.20	%			14.95	%			15.07	%			15.11	%			0.04				0.13
Tier 1 risk-based capital		12.46	%			12.40	%			12.20	%			12.30	%			12.25	%			0.06				0.21
Common equity tier 1 capital		12.11	%			12.05	%			11.86	%			11.95	%			11.90	%			0.06				0.21
Tier 1 leverage capital ratio		10.51	%			10.36	%			10.37	%			10.27	%			10.22	%			0.15				0.29
Hanmi Bank
Total risk-based capital		14.51	%			14.50	%			14.27	%			14.42	%			14.45	%			0.01				0.06
Tier 1 risk-based capital		13.47	%			13.44	%			13.26	%			13.42	%			13.39	%			0.03				0.08
Common equity tier 1 capital		13.47	%			13.44	%			13.26	%			13.42	%			13.39	%			0.03				0.08
Tier 1 leverage capital ratio		11.41	%			11.29	%			11.32	%			11.25	%			11.21	%			0.12				0.20
(1)       Preliminary ratios for June 30, 2024

Asset Quality
Loans 30 to 89 days past due and still accruing were 0.22% of loans at the end of the second quarter of 2024, compared with 0.26% at the end of the prior quarter.

Criticized loans totaled $70.9 million at the end of the second quarter, down from $86.0 million at the end of the first quarter of 2024. Special mention loans were $36.9 million at the end of the second quarter, down from $62.3 million at March 31, 2024. Reductions in special mention loans included upgrades to pass of $17.9 million, paydowns and payoffs of $2.3 million and a downgrade of one loan relationship with total loans of $7.2 million. The upgrades to pass in the second quarter were mainly attributable to upgrades of $13.6 million on two commercial and industrial loans, and a $4.3 million upgrade on a commercial real estate loan. The quarter-over-quarter change also included increases from downgrades of $2.0 million of pass loans.

Classified loans were $33.9 million at June 30, 2024, up from $23.7 million at the end of the prior quarter. The $10.2 million increase was primarily driven by new loan downgrades to classified of $14.0 million, offset by charge-offs of $1.8 million, payoffs of $1.0 million, and paydowns and amortization of $1.0 million. The loan downgrades in the second quarter were primarily attributable to the previously mentioned $7.2 million in criticized loan downgrades.

Nonperforming loans were $19.2 million at June 30, 2024, up from $14.0 million at the end of the prior quarter. As a percentage of the loan portfolio, nonperforming loans were 0.31% at June 30, 2024, and 0.23% at the end of the first quarter.

Nonperforming assets were $20.0 million at the end of the second quarter of 2024, up from $14.1 million at the end of the prior quarter. The increase included a $0.7 million addition of a closed branch property. As a percentage of total assets, nonperforming assets were 0.26% at June 30, 2024, and 0.19% at the end of the first quarter.

Gross charge-offs for the second quarter of 2024 were $2.3 million, compared with $2.1 million for the preceding quarter. Recoveries of previously charged-off loans were $0.5 million in the second and first quarters of 2024. As a result, net charge-offs were $1.8 million for the second quarter of 2024, compared with net charge-offs of $1.6 million for the prior quarter.

The allowance for credit losses was $67.7 million at June 30, 2024, compared with $68.3 million at March 31, 2024. Specific allowances for loans increased $1.6 million, while the allowance for quantitative and qualitative considerations decreased $2.2 million. The ratio of the allowance for credit losses to loans was 1.10% at June 30, 2024, compared with 1.11% at March 31, 2024.

	As of or for the Three Months Ended (in thousands)																				Amount Change
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,				Q2-24				Q2-24
	2024				2024				2023				2023				2023				vs. Q1-24				vs. Q2-23
Asset Quality Data and Ratios
Delinquent loans:
Loans, 30 to 89 days past due and still accruing	$	13,844			$	15,839			$	10,263			$	9,545			$	13,749			$	(1,995	)		$	95
Delinquent loans to total loans		0.22	%			0.26	%			0.17	%			0.16	%			0.23	%			-0.04				-0.01
Criticized loans:
Special mention	$	36,921			$	62,317			$	65,314			$	76,473			$	44,632			$	(25,396	)		$	(7,711	)
Classified		33,945				23,670				31,367				33,134				38,840				10,275				(4,895	)
Total criticized loans	$	70,866			$	85,987			$	96,681			$	109,607			$	83,472			$	(15,121	)		$	(12,606	)
Nonperforming assets:
Nonaccrual loans	$	19,245			$	14,025			$	15,474			$	15,783			$	22,178			$	5,220			$	(2,933	)
Loans 90 days or more past due and still accruing		-				-				-				-				-				-				-
Nonperforming loans		19,245				14,025				15,474				15,783				22,178				5,220				(2,933	)
Other real estate owned, net		772				117				117				117				117				655				655
Nonperforming assets*	$	20,017			$	14,142			$	15,591			$	15,900			$	22,295			$	5,875			$	(2,278	)
Nonperforming assets to assets*		0.26	%			0.19	%			0.21	%			0.22	%			0.30	%			0.07				-0.04
Nonperforming loans to total loans		0.31	%			0.23	%			0.25	%			0.26	%			0.37	%			0.08				-0.06
* Excludes repossessed personal property of $1.2 million, $1.3 million, $1.3 million, $1.3 million, and $0.8 million as of Q2-24, Q1-24, Q4-23, Q3-23, and Q2-23, respectively

	As of or for the Three Months Ended (in thousands)
	Jun 30,				Mar 31,				Dec 31,				Sep 30,				Jun 30,
	2024				2024				2023				2023				2023
Allowance for credit losses:
Balance at beginning of period	$	68,270			$	69,462			$	67,313			$	71,024			$	72,249
Credit loss expense (recovery) on loans		1,248				404				(2,880	)			5,167				514
Net loan (charge-offs) recoveries		(1,789	)			(1,596	)			5,029				(8,878	)			(1,739	)
Balance at end of period	$	67,729			$	68,270			$	69,462			$	67,313			$	71,024
Net loan charge-offs (recoveries) to average loans (1)		0.12	%			0.10	%			-0.33	%			0.60	%			0.12	%
Allowance for credit losses to loans		1.10	%			1.11	%			1.12	%			1.12	%			1.19	%
Allowance for credit losses related to off-balance sheet items:
Balance at beginning of period	$	2,297			$	2,474			$	2,463			$	2,476			$	3,067
Credit loss expense (recovery) on off-balance sheet items		(287	)			(177	)			11				(13	)			(591	)
Balance at end of period	$	2,010			$	2,297			$	2,474			$	2,463			$	2,476
Unused commitments to extend credit	$	795,391			$	792,769			$	813,960			$	848,886			$	791,818
(1)       Annualized

Corporate Developments
On April 25, 2024, Hanmi’s Board of Directors declared a cash dividend on its common stock for the 2024 second quarter of $0.25 per share. Hanmi paid the dividend on May 22, 2024, to stockholders of record as of the close of business on May 6, 2024.

Earnings Conference Call 
Hanmi Bank will host its second quarter 2024 earnings conference call today, July 23, 2024, at 2:00 p.m. PST (5:00 p.m. EST) to discuss these results. This call will also be webcast. To access the call, please dial 1-877-407-9039 before 2:00 p.m. PST, using access code Hanmi Bank. To listen to the call online, either live or archived, please visit Hanmi’s Investor Relations website at https://investors.hanmi.com/ where it will also be available for replay approximately one hour following the call.

About Hanmi Financial Corporation
Headquartered in Los Angeles, California, Hanmi Financial Corporation owns Hanmi Bank, which serves multi-ethnic communities through its network of 32 full-service branches and eight 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 Statements
This 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. 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 our 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 and strategic plans, and other similar forecasts and statements of expectation and statements of assumption underlying any of the foregoing. 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 our forward-looking statements to be reasonable, we cannot guarantee future results, levels of activity, performance or achievements.

Forward-looking 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 statements. These factors include the following:

• a failure to maintain adequate levels of capital and liquidity to support our operations;
• general economic and business conditions internationally, nationally and in those areas in which we operate, including any potential recessionary conditions;
• 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;
• inflation and fluctuations in interest rates that reduce our margins and yields, the fair value of financial instruments, the level of loan originations or prepayments on loans we have made and make, the level of loan sales and the cost we pay to retain and attract deposits and secure other types of funding;
• our ability to enter new markets successfully and capitalize on growth opportunities;
• the current or anticipated impact of military conflict, terrorism or other geopolitical events;
• the effect of potential future supervisory action against us or Hanmi Bank and our ability to address any issues raised in our regulatory exams;
• risks of natural disasters;
• legal proceedings and litigation brought against us;
• a failure in or breach of our operational or security systems or infrastructure, including cyberattacks;
• the failure to maintain current technologies;
• risks associated with Small Business Administration loans;
• failure to attract or retain key employees;
• our ability to access cost-effective funding;
• changes in liquidity, including the size and composition of our deposit portfolio and the percentage of uninsured deposits in the portfolio;
• fluctuations in real estate values;
• changes in accounting policies and practices;
• changes in governmental regulation, including, but not limited to, any increase in FDIC insurance premiums and changes in the monetary policies of the U.S. Treasury and the Board of Governors of the Federal Reserve System;
• the 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;
• strategic transactions we may enter into;
• the adequacy of and changes in the methodology for computing our allowance for credit losses;
• our credit quality and the effect of credit quality on our credit losses expense and allowance for credit 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
• cyber security and fraud risks against our information technology and those of our third-party providers and vendors.

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, 2023, 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) Santarosa
Senior Executive Vice President & Chief Financial Officer
213-427-5636

Lisa Fortuna
Investor Relations
Financial Profiles, Inc.
lfortuna@finprofiles.com
310-622-8251

Hanmi Financial Corporation and Subsidiaries
Consolidated Balance Sheets (Unaudited)
(Dollars in thousands)

	June 30,				March 31,				Percentage			June 30,				Percentage
	2024				2024				Change			2023				Change
Assets
Cash and due from banks	$	313,079			$	256,038			22.3	%		$	344,907			-9.2	%
Securities available for sale, at fair value		877,638				872,190			0.6	%			836,650			4.9	%
Loans held for sale, at the lower of cost or fair value		10,467				3,999			161.7	%			7,293			43.5	%
Loans receivable, net of allowance for credit losses		6,108,630				6,109,570			0.0	%			5,894,147			3.6	%
Accrued interest receivable		23,958				23,032			4.0	%			18,163			31.9	%
Premises and equipment, net		21,955				21,952			0.0	%			22,849			-3.9	%
Customers' liability on acceptances		551				161			242.2	%			1,688			-67.4	%
Servicing assets		6,836				6,890			-0.8	%			7,352			-7.0	%
Goodwill and other intangible assets, net		11,048				11,074			-0.2	%			11,162			-1.0	%
Federal Home Loan Bank ("FHLB") stock, at cost		16,385				16,385			0.0	%			16,385			0.0	%
Bank-owned life insurance		56,534				56,639			-0.2	%			56,085			0.8	%
Prepaid expenses and other assets		139,266				134,116			3.8	%			128,243			8.6	%
Total assets	$	7,586,347			$	7,512,046			1.0	%		$	7,344,924			3.3	%
Liabilities and Stockholders' Equity
Liabilities:
Deposits:
Noninterest-bearing	$	1,959,963			$	1,933,060			1.4	%		$	2,206,078			-11.2	%
Interest-bearing		4,369,377				4,443,000			-1.7	%			4,109,690			6.3	%
Total deposits		6,329,340				6,376,060			-0.7	%			6,315,768			0.2	%
Accrued interest payable		47,699				38,007			25.5	%			34,621			37.8	%
Bank's liability on acceptances		551				161			242.2	%			1,688			-67.4	%
Borrowings		292,500				172,500			69.6	%			125,000			134.0	%
Subordinated debentures		130,318				130,165			0.1	%			129,708			0.5	%
Accrued expenses and other liabilities		78,880				92,053			-14.3	%			69,579			13.4	%
Total liabilities		6,879,288				6,808,946			1.0	%			6,676,364			3.0	%
Stockholders' equity:
Common stock		34				34			0.0	%			33			3.0	%
Additional paid-in capital		588,647				587,687			0.2	%			585,391			0.6	%
Accumulated other comprehensive income		(78,000	)			(76,890	)		-1.4	%			(84,639	)		7.8	%
Retained earnings		333,392				326,526			2.1	%			296,901			12.3	%
Less treasury stock		(137,014	)			(134,257	)		-2.1	%			(129,126	)		-6.1	%
Total stockholders' equity		707,059				703,100			0.6	%			668,560			5.8	%
Total liabilities and stockholders' equity	$	7,586,347			$	7,512,046			1.0	%		$	7,344,924			3.3	%

Hanmi Financial Corporation and Subsidiaries
Consolidated Statements of Income (Unaudited)
(Dollars in thousands, except share and per share data)

	Three Months Ended
	June 30,				March 31,				Percentage			June 30,				Percentage
	2024				2024				Change			2023				Change
Interest and dividend income:
Interest and fees on loans receivable	$	90,752			$	91,674			-1.0	%		$	83,567			8.6	%
Interest on securities		5,238				4,955			5.7	%			4,126			27.0	%
Dividends on FHLB stock		357				361			-1.1	%			283			26.1	%
Interest on deposits in other banks		2,313				2,604			-11.2	%			2,794			-17.2	%
Total interest and dividend income		98,660				99,594			-0.9	%			90,770			8.7	%
Interest expense:
Interest on deposits		46,495				45,638			1.9	%			32,115			44.8	%
Interest on borrowings		1,896				1,655			14.6	%			1,633			16.1	%
Interest on subordinated debentures		1,649				1,646			0.2	%			1,600			3.1	%
Total interest expense		50,040				48,939			2.2	%			35,348			41.6	%
Net interest income before credit loss expense		48,620				50,655			-4.0	%			55,422			-12.3	%
Credit loss expense (recovery)		961				227			323.3	%			(77	)		-1348.1	%
Net interest income after credit loss expense		47,659				50,428			-5.5	%			55,499			-14.1	%
Noninterest income:
Service charges on deposit accounts		2,429				2,450			-0.9	%			2,571			-5.5	%
Trade finance and other service charges and fees		1,277				1,414			-9.7	%			1,173			8.9	%
Gain on sale of Small Business Administration ("SBA") loans		1,644				1,482			10.9	%			1,212			35.6	%
Other operating income		2,707				2,387			13.4	%			2,979			-9.1	%
Total noninterest income		8,057				7,733			4.2	%			7,935			1.5	%
Noninterest expense:
Salaries and employee benefits		20,434				21,585			-5.3	%			20,365			0.3	%
Occupancy and equipment		4,607				4,537			1.5	%			4,500			2.4	%
Data processing		3,686				3,551			3.8	%			3,465			6.4	%
Professional fees		1,749				1,893			-7.6	%			1,376			27.1	%
Supplies and communications		570				601			-5.2	%			638			-10.7	%
Advertising and promotion		669				907			-26.2	%			748			-10.6	%
Other operating expenses		3,561				3,371			5.6	%			3,188			11.7	%
Total noninterest expense		35,276				36,445			-3.2	%			34,280			2.9	%
Income before tax		20,440				21,716			-5.9	%			29,154			-29.9	%
Income tax expense		5,989				6,552			-8.6	%			8,534			-29.8	%
Net income	$	14,451			$	15,164			-4.7	%		$	20,620			-29.9	%
Basic earnings per share:	$	0.48			$	0.50						$	0.68
Diluted earnings per share:	$	0.48			$	0.50						$	0.67
Weighted-average shares outstanding:
Basic		30,055,913				30,119,646							30,324,264
Diluted		30,133,646				30,119,646							30,387,041
Common shares outstanding		30,272,110				30,276,358							30,485,788

Hanmi Financial Corporation and Subsidiaries
Consolidated Statements of Income (Unaudited)
(Dollars in thousands, except share and per share data)

	Six Months Ended
	June 30,				June 30,				Percentage
	2024				2023				Change
Interest and dividend income:
Interest and fees on loans receivable	$	182,427			$	164,490				10.9	%
Interest on securities		10,193				8,152				25.0	%
Dividends on FHLB stock		719				572				25.7	%
Interest on deposits in other banks		4,914				4,859				1.1	%
Total interest and dividend income		198,253				178,073				11.3	%
Interest expense:
Interest on deposits		92,133				57,613				59.9	%
Interest on borrowings		3,551				4,002				-11.3	%
Interest on subordinated debentures		3,295				3,182				3.6	%
Total interest expense		98,979				64,797				52.8	%
Net interest income before credit loss expense		99,274				113,276				-12.4	%
Credit loss expense (recovery)		1,188				2,056				42.2	%
Net interest income after credit loss expense		98,086				111,220				-11.8	%
Noninterest income:
Service charges on deposit accounts		4,878				5,151				-5.3	%
Trade finance and other service charges and fees		2,691				2,431				10.7	%
Gain on sale of Small Business Administration ("SBA") loans		3,126				3,081				1.5	%
Other operating income		5,095				5,608				-9.1	%
Total noninterest income		15,790				16,271				-3.0	%
Noninterest expense:
Salaries and employee benefits		42,019				40,975				2.5	%
Occupancy and equipment		9,144				8,912				2.6	%
Data processing		7,237				6,718				7.7	%
Professional fees		3,642				2,710				34.4	%
Supplies and communications		1,172				1,314				-10.8	%
Advertising and promotion		1,576				1,581				-0.3	%
Other operating expenses		6,930				4,862				42.5	%
Total noninterest expense		71,720				67,072				6.9	%
Income before tax		42,156				60,419				-30.2	%
Income tax expense		12,541				17,807				-29.6	%
Net income	$	29,615			$	42,612				-30.5	%
Basic earnings per share:	$	0.98			$	1.40
Diluted earnings per share:	$	0.97			$	1.39
Weighted-average shares outstanding:
Basic		30,089,341				30,320,281
Diluted		30,166,181				30,383,226
Common shares outstanding		30,272,110				30,485,788

Hanmi Financial Corporation and Subsidiaries
Average Balance, Average Yield Earned, and Average Rate Paid (Unaudited)
(Dollars in thousands)

	Three Months Ended
	June 30, 2024											March 31, 2024											June 30, 2023
					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 receivable (1)	$	6,089,440			$	90,752			5.99	%		$	6,137,888			$	91,674			6.00	%		$	5,941,071			$	83,567			5.64	%
Securities (2)		979,671				5,238			2.17	%			969,520				4,955			2.07	%			971,531				4,126			1.73	%
FHLB stock		16,385				357			8.77	%			16,385				361			8.87	%			16,385				283			6.92	%
Interest-bearing deposits in other banks		180,177				2,313			5.16	%			201,724				2,604			5.19	%			230,974				2,794			4.85	%
Total interest-earning assets		7,265,673				98,660			5.46	%			7,325,517				99,594			5.47	%			7,159,961				90,770			5.09	%
Noninterest-earning assets:
Cash and due from banks		55,442											58,382											62,036
Allowance for credit losses		(67,908	)										(69,106	)										(72,098	)
Other assets		252,410											244,700											232,058
Total assets	$	7,505,617										$	7,559,493										$	7,381,957
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Demand: interest-bearing	$	85,443			$	32			0.15	%		$	86,401			$	30			0.14	%		$	99,057			$	27			0.11	%
Money market and savings		1,845,870				17,324			3.77	%			1,815,085				16,553			3.67	%			1,463,304				9,887			2.71	%
Time deposits		2,453,154				29,139			4.78	%			2,507,830				29,055			4.66	%			2,403,685				22,201			3.70	%
Total interest-bearing deposits		4,384,467				46,495			4.27	%			4,409,316				45,638			4.16	%			3,966,046				32,115			3.25	%
Borrowings		169,525				1,896			4.50	%			162,418				1,655			4.10	%			196,776				1,633			3.33	%
Subordinated debentures		130,239				1,649			5.07	%			130,088				1,646			5.06	%			129,631				1,600			4.94	%
Total interest-bearing liabilities		4,684,231				50,040			4.30	%			4,701,822				48,939			4.19	%			4,292,453				35,348			3.30	%
Noninterest-bearing liabilities and equity:
Demand deposits: noninterest-bearing		1,883,765											1,921,189											2,213,171
Other liabilities		162,543											164,524											133,623
Stockholders' equity		775,078											771,958											742,710
Total liabilities and stockholders' equity	$	7,505,617										$	7,559,493										$	7,381,957
Net interest income					$	48,620										$	50,655										$	55,422
Cost of deposits									2.98	%										2.90	%										2.08	%
Net interest spread (taxable equivalent basis)									1.16	%										1.28	%										1.79	%
Net interest margin (taxable equivalent basis)									2.69	%										2.78	%										3.11	%
(1)       Includes average loans held for sale
(2)       Income 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)
(Dollars in thousands)

	Six Months Ended
	June 30, 2024											June 30, 2023
					Interest			Average								Interest			Average
	Average				Income /			Yield /				Average				Income /			Yield /
	Balance				Expense			Rate				Balance				Expense			Rate
Assets
Interest-earning assets:
Loans receivable (1)	$	6,113,664			$	182,427			6.00	%		$	5,942,726			$	164,490			5.58	%
Securities (2)		974,596				10,193			2.12	%			976,096				8,152			1.70	%
FHLB stock		16,385				719			8.82	%			16,385				572			7.04	%
Interest-bearing deposits in other banks		190,950				4,914			5.18	%			212,043				4,859			4.62	%
Total interest-earning assets		7,295,595				198,253			5.46	%			7,147,250				178,073			5.02	%
Noninterest-earning assets:
Cash and due from banks		56,912											63,553
Allowance for credit losses		(68,507	)										(71,777	)
Other assets		248,555											235,571
Total assets	$	7,532,555										$	7,374,597
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Demand: interest-bearing	$	85,922			$	61			0.14	%		$	104,196			$	56			0.11	%
Money market and savings		1,830,478				33,877			3.72	%			1,458,463				17,201			2.38	%
Time deposits		2,480,492				58,195			4.72	%			2,314,148				40,356			3.52	%
Total interest-bearing deposits		4,396,892				92,133			4.21	%			3,876,807				57,613			3.00	%
Borrowings		165,972				3,551			4.30	%			232,219				4,002			3.48	%
Subordinated debentures		130,163				3,295			5.06	%			129,557				3,182			4.91	%
Total interest-bearing liabilities		4,693,027				98,979			4.24	%			4,238,583				64,797			3.08	%
Noninterest-bearing liabilities and equity:
Demand deposits: noninterest-bearing		1,902,477											2,268,485
Other liabilities		163,533											130,385
Stockholders' equity		773,518											737,144
Total liabilities and stockholders' equity	$	7,532,555										$	7,374,597
Net interest income					$	99,274										$	113,276
Cost of deposits									2.94	%										1.89	%
Net interest spread (taxable equivalent basis)									1.22	%										1.94	%
Net interest margin (taxable equivalent basis)									2.74	%										3.20	%
(1)       Includes average 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 common 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 substitute 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	2024				2024				2023				2023				2023
Assets	$	7,586,347			$	7,512,046			$	7,570,341			$	7,350,140			$	7,344,924
Less goodwill and other intangible assets		(11,048	)			(11,074	)			(11,099	)			(11,131	)			(11,162	)
Tangible assets	$	7,575,299			$	7,500,972			$	7,559,242			$	7,339,009			$	7,333,762
Stockholders' equity (1)	$	707,059			$	703,100			$	701,891			$	663,359			$	668,560
Less goodwill and other intangible assets		(11,048	)			(11,074	)			(11,099	)			(11,131	)			(11,162	)
Tangible stockholders' equity (1)	$	696,011			$	692,026			$	690,792			$	652,228			$	657,398
Stockholders' equity to assets		9.32	%			9.36	%			9.27	%			9.03	%			9.10	%
Tangible common equity to tangible assets (1)		9.19	%			9.23	%			9.14	%			8.89	%			8.96	%
Common shares outstanding		30,272,110				30,276,358				30,368,655				30,410,582				30,485,788
Tangible common equity per common share	$	22.99			$	22.86			$	22.75			$	21.45			$	21.56
(1)       There were no preferred shares outstanding at the periods indicated.

Exhibit 99.2

 

2Q24 Earnings Supplemental Presentation July 23, 2024 Los Angeles New York/ New Jersey Virginia Chicago Dallas Houston San Francisco San Diego

Hanmi Financial Corporation (the “Company”) cautions investors that any statements contained herein that are not historical facts are forward - looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 , including, but not limited to, those statements regarding operating and financial performance, financial position and liquidity, business strategies, regulatory, economic and competitive outlook, investment and expenditure plans, capital and financing needs and availability, litigation, plans and objectives, merger or sale activity, financial condition and results of operations, and all other forecasts and statements of expectation or assumption underlying any of the foregoing . These statements involve known and unknown risks and uncertainties that are difficult to predict . Investors should not rely on any forward - looking statement and should consider risks, such as changes in governmental policy, legislation and regulations, economic uncertainty and changes in economic conditions, inflation, the continuing impact of the COVID - 19 pandemic on our business and results of operations, fluctuations in interest rate and credit risk, competitive pressures our ability to access cost - effective funding, the ability to enter into new markets successfully and capitalize on growth opportunities, balance sheet management, liquidity and sources of funding, the size and composition of our deposit portfolio, and the percentage of uninsured deposits in the portfolio, increased assessments by the Federal Deposit Insurance Corporation, risk of natural disasters, a failure in or breach of our operational or security systems or infrastructure, including cyberattacks, the adequacy of and changes in the methodology of calculating our allowance for credit losses, and other operational factors . Forward - looking statements are based upon the good faith beliefs and expectations of management as of this date only and are further subject to additional risks and uncertainties, including, but not limited to, the risk factors set forth in our earnings release dated July 23 , 2024 , including the section titled “Forward Looking Statements” and the Company’s most recent Form 10 - K, 10 - Q and other filings with the Securities and Exchange Commission (“SEC”) . The Company disclaims any obligation to update or revise the forward - looking statements herein . 2 Forward - Looking Statements

This presentation contains financial information determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”) . These non - GAAP measures include tangible common equity to tangible assets, and tangible common equity per share . Management uses these “non - GAAP” measures in its analysis of the Company’s performance . Management believes these non - GAAP financial measures allow for better comparability of period to period operating performance . Additionally, the Company believes this information is utilized by regulators and market analysts to evaluate a company’s financial condition and therefore, such information is useful to investors . These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non - GAAP performance measures that may be presented by other companies . A reconciliation of the non - GAAP measures used in this presentation to the most directly comparable GAAP measures is provided in the Appendix to this presentation . 3 Non - GAAP Financial Information

2Q24 Highlights Diluted EPS $0.48 ROAA 0.77% NIM 2.69% Efficiency Ratio 62.24% TBVPS (1) $22.99 Net Income $14.5M • Net income was $14.5 million, or $0.48 per diluted share, down 4.7% from $15.2 million, or $0.50 per diluted share, for the prior quarter » Net interest income was $48.6 million, down 4.0% from the prior quarter » Noninterest income was $8.1 million, up 4.2% from the prior quarter » Noninterest expense was $35.3 million, down 3.2% from the prior quarter » Efficiency ratio was 62.24%, compared with 62.42% for the prior quarter • Loans receivable were $6.18 billion, consistent with the prior quarter » Loan production was $273.9 million with a weighted average interest rate of 8.31% • Deposits were $6.33 billion, down 0.7% from the prior quarter, with noninterest - bearing demand deposits representing 31.0% of total deposits » Cost of interest - bearing deposits was 4.27%, up 11 basis points from the prior quarter • Credit loss expense was $1.0 million; allowance for credit losses to loans was 1.10% at June 30, 2024 • Tangible common equity to tangible assets (1) was 9.19%, Common equity tier 1 capital ratio was 12.11% and total capital ratio was 15.24% ROAE 7.50% (1) Non - GAAP financial measure; refer to the non - GAAP reconciliation slide 4

32% 46% 11% 16% 21% 20% $259.3 12% 39% 20% 13% 16% $336.3 $389.5 12% 14% 15% 13% $234.0 12% 23% 17% 22% 26% $273.9 20% 11% 16% 21% 32% 2Q23 3Q23 4Q23 1Q24 CRE C&I Equipment Finance RRE (1,4) 2Q24 SBA (2,3) 7.39% 7.80% 8.10% 8.02% 8.31% Loan Production • Commercial real estate loan production was $87.6 million and Commercial and industrial loan production was $59.0 million • Equipment finance production was $42.6 million for the second quarter and Residential mortgage (1,4) loan production was $30.2 million • SBA (2,3) loan production was $54.5 million for the second quarter Loan production of $274 million for 2Q24 reflected balanced contribution from nearly all business lines, and a 29 basis point increase in the weighted average interest rate on new production. Weighted average interest rate on new production (1) Residential mortgage includes $0.0, $0.0, $0.0, $0.3, and $0.0 million of consumer loans for 2Q23, 3Q23, 4Q23, 1Q24, and 2Q24, respectively (2) $30.9 million, $36.1 million, $48.4 million, $30.8 million, and $54.5 million of SBA loan production includes $19.4 million, $17.6 million, $20.2 million, $12.2 million, and $31.4 million of loans secured by CRE and the remainder representing C&I as of 2Q23, 3Q23, 4Q23, 1Q24, and 2Q24, respectively (3) Production includes purchases of guaranteed SBA loans of $9.7 million, $10.2 million, and $14.5 million for 4Q23, 1Q24, and 2Q24, respectively (4) Production includes purchased mortgage loans of $5.2 million for 2Q24. ($ in millions) 5

Loan Portfolio Commercial Real Estate (CRE) (1,2) Portfolio $3,889 Outstanding ($ in millions) 5.63% 2Q24 Average Yield $6.2 Billion Loan Portfolio (as of June 30, 2024) C&I - 13% 6 Equipment Finance - 9% CRE (2) Multifamily 151 # of Loans 54.7% Weighted Average Loan - to - Value Ratio (4) 1.58x Weighted Average Debt Coverage Ratio (4) CRE (2) Investor (non - owner) 872 # of Loans 49.8% Weighted Average Loan - to - Value Ratio (4) 2.06x Weighted Average Debt Coverage Ratio (4) CRE (2) Owner Occupied 733 # of Loans 47.5% Weighted Average Loan - to - Value Ratio (4) 2.75x Weighted Average Debt Coverage Ratio (4) Residential Real Estate (RRE) (3) Portfolio $954 Outstanding ($ in millions) 5.20% 2Q24 Average Yield Commercial & Industrial (C&I) (1) Portfolio $802 Outstanding ($ in millions) 8.91% 2Q24 Average Yield Equipment Finance Portfolio $531 Outstanding ($ in millions) 6.08% 2Q24 Average Yield Note: Numbers may not add due to rounding (1) Includes syndicated loans of $273.4 million in total commitments ($221.6 million disbursed) across C&I ($209.2 million committed and $157.4 million disbursed) and CRE ($64.2 million committed and disbursed) (2) Commercial Real Estate (CRE) is a combination of Investor (non - owner), Owner Occupied, Multifamily, and Construction. Investor (or non - owner occupied) property is where the investor does not occupy the property. The primary source of repayment stems from the rental income associated with the respective properties. Owner occupied property is where the borrower owns the property and also occupies it. The primary source of repayment is the cash flow from the ongoing operations and activities conducted by the borrower/owner. Multifamily real estate is a residential property that has five or more housing units. (3) Residential real estate is a loan (mortgage) secured by a single family residence, including one to four units (duplexes, triplexes, and fourplexes). RRE also includes $1.5 million of HELOCs and $6.4 million in consumer loans (4) Weighted average DCR and weighted average LTV calculated when the loan was first underwritten or renewed subsequently (5) $80.5 million, or 19.0%, of the CRE multifamily loans are located in the rent - controlled New York City (2) CRE Construction - 2% (2,5) CRE Multifamily - 7% (2) CRE Owner - 12% CRE Investor (non - owner) (2) - 42% (3) RRE - 15%

Loan Portfolio Diversification Loan portfolio is well diversified across collateral and industry types; CRE represents 63% of the total portfolio and C&I, excluding Equipment Finance Agreements, represents 13%. CRE Portfolio (1) $3.9B C&I Portfolio (2) $802M Retail – 28% Hospitality – 19% Office – 15% Multifamily – 10% Industrial – 10% Gas Station – 6% Construction – 3% Mixed Use – 3% Other – 6% Manufacturing - 29% 7 Finance & Insurance - 13% Retail Trade - 7% Wholesale Trade - 6% Healthcare - 6% Real Estate Rental & Leasing - 3% Other - 36% (1) $103.1 million, or 2.7%, of the CRE portfolio are unguaranteed SBA loans (2) $48.3 million, or 6.0%, and $32.7 million, or 4.1%, of the C&I portfolio are unguaranteed and guaranteed SBA loans, respectively

CRE Portfolio Geographical Exposure CRE Composition by State $3,889 Multifamily by State $413 Construction by State $107 Owner Occupied by State $754 Investor (Non - owner Occupied) by State $2,615 California – $2,546 66% Texas – $415 11% New York – $234 6% Illinois – $88 2% Other – $606 15% California – $202 50% Texas – $101 24% New York – $80 19% Illinois – $14 3% Other – $16 4% California – $64 60% New York – $18 17% Other – $25 23% Texas – $60 8% New York – $9 1% California – Other – $452 $219 60% 29% Illinois – $14 2% California – $1,828 70% 8 Texas – $255 10% Illinois – $60 2% New York – $126 5% Other – $346 13% ($ in millions) ($ in millions)

Loan Portfolio Distribution CRE C&I ($ in millions) ($ in millions) Construction (1) Multifamily Non - owner Occupied Owner Occupied $107 $414 $2,614 $754 Total Balance $10.65 $2.74 $3.00 $1.03 Average $4.97 $1.10 $1.11 $0.33 Median $59 $299 $1,868 $565 (3) Top Quintile Balance $20.1 or more $2.5 or more $3.7 or more $1.1 or more Top Quintile Loan Size $29.67 $9.97 $10.80 $3.90 Top Quintile Average $29.67 $4.76 $6.94 $2.13 Top Quintile Median Lines of Credit (2) Term (2) $464 $338 Total Balance $0.87 $0.32 Average $0.06 $0.06 Median $407 $292 Top Quintile Balance (3) $0.8 or more $0.1 or more Top Quintile Loan Size $5.65 $1.39 Top Quintile Average $2.55 $0.28 Top Quintile Median Residential Real Estate & Equipment Finance 9 Equipment Finance Residential Real Estate $531 $954 Total Balance $0.05 $0.53 Average $0.06 $0.46 Median $271 $395 Top Quintile Balance (3) $0.1 or more $0.7 or more Top Quintile Loan Size $0.12 $1.11 Top Quintile Average $0.10 $0.91 Top Quintile Median ($ in millions) (1) Represents the total outstanding amount. Advances require authorization and disbursement requests, depending on the progress of the project and inspections. Advances are non - revolving and are made throughout the term, up to the original commitment amount (2) Term loans are a commitment for a specified term. Majority of the Lines of Credit are revolving, including commercial revolvers, with some non - revolvers (sub - notes and working capital tranches) (3) Top quintile represents top 20% of the loans

<1 Year 1 - 3 Years >3 Years Total Real estate loans $ 1,094.8 $ 578.8 $ 377.5 $ 138.5 Retail 754.6 323.7 212.6 218.3 Hospitality 572.6 137.1 292.9 142.6 Office 1,360.0 683.3 526.4 150.3 Other 3,782.0 1,722.9 1,409.4 649.7 Commercial Property 106.5 1.9 39.0 65.6 Construction 954.2 949.2 0.1 4.9 RRE / Consumer 4,842.7 2,674.0 1,448.5 720.2 Total Real Estate Loans 802.4 221.4 184.1 396.9 C&I (1) 531.2 287.9 214.8 28.5 Equipment Finance $ 6,176.3 $ 3,183.3 $ 1,847.4 $ 1,145.6 Loans receivable 10 Loan Portfolio Maturities ($ in millions) Note: numbers may not add due to rounding (1) $366.5 million of C&I are lines of credit expected to be renewed and maintain a maturity of less than one year

USKC (1) Loans & Deposits 28% 27% 19% 5% 3% 3% 2% 2% 2% 2% 7% Real Estate Investment Auto Part Manufacturer Hotel Food Education Steel Electronics/Home Appliances Golf Course Computer Equipment Transportation Other USKC portfolio represented $864.7 million in loans, or 14% of the loan portfolio, and $867.3 million in deposits, or 14% of the deposit portfolio. USKC CRE portfolio had a weighted average debt coverage ratio (2) of 1.95x and weighted average loan - to - value (2) of 60.44%. USKC Loans – Top 10 Industries (as of 2Q24) 72% 76% 80% 80% 77% 2Q24 1Q24 4Q23 3Q23 2Q23 USKC Loans by Product ($ in millions) $865 $834 C&I $764 CRE $720 $732 28% 24% 20% 20% 23% USKC Deposits – Top 10 Industries (as of 2Q24) 28% Auto Part Manufacurer 12% Steel 8% Electronics/Home Appliances 8% RE Investment/Leasing 7% Food 5% All Other Financial Investment Activities 3% IT 3% Hospitality 3% Research and Development 2% Electrical Auto Parts 21% Other $688 $795 $819 $848 $867 59% 62% 54% 49% 46% 36% 34% 41% 46% 49% 2Q24 1Q24 4Q23 3Q23 2Q23 Demand Noninterest - bearing Money Market & Savings USKC Deposits by Product 11 ($ in millions) (1) U.S. subsidiaries of Korean Corporations (2) Weighted average DCR and weighted average LTV calculated when the loan was first underwritten or renewed subsequently (3) Time deposits, not illustrated, represent the remainder to add to 100%. (3)

Office Loan Portfolio The CRE office portfolio (1) was $572.5 million (2) at June 30, 2024, representing 9% of the total loan portfolio. 80% 12% 3% Remaining = 4% 1% Portfolio by State • Average balance and median balance of the portfolio were $4.5 million and $1.1 million, respectively • Weighted average debt coverage ratio (3) of the segment was 2.03x • Weighted average loan to value (3) of the segment was 55.55% • $52.3 million, or 9.1%, of the office loans are located in the Central Business District (CBD) (4) • $23.3% of the portfolio is expected to reprice in 1 to 3 months • Delinquent loans represented 0.14% of the office portfolio • Criticized loans represented 1.52% of the office portfolio Rate Distribution (1) Segment represents exposure in CRE and excludes $18 million in construction. 7.7% of the portfolio is owner occupied (2) SBA CRE office loans were $6.8 million, or 1.2% of total office loans, at June 30, 2024 (3) Weighted average DCR and weighted average LTV calculated when the loan was first underwritten or renewed subsequently (4) Central Business Districts (CBD) include Los Angeles and Minneapolis 65% 35% Fixed Variable 12

Airport – 6% Resort – 8% 13 Metropolitan – 55% (3) Destination / Suburban – 27% (3) Hospitality Segment Hospitality segment represented $754.6 million (1) , or 12% of the loan portfolio, at June 30, 2024. Convention Center – 4% (1) SBA loans in the hospitality segment were $19.5 million, or 2.6% of total hospitality loans, at June 30, 2024 (2) Weighted average DCR and weighted average LTV calculated when the loan was first underwritten or renewed subsequently (3) Metropolitan is categorized as a location that is in a major city and in proximity to downtown areas; destination is categorized as a hotel whose location/amenities make it a distinct tourist location; suburban is defined as areas outside of major city hubs and can include more rural areas • Average balance and median balance of the segment (excluding construction) were $4.0 million and $1.0 million, respectively • Weighted average debt coverage ratio (2) of the segment was 2.2x • Weighted average loan to value (2) of the segment was 53.4% • $2.9 million, or 0.38%, of the hospitality segment was criticized as of June 30, 2024 • Segment includes two nonaccrual loans for $259 thousand - one in the metropolitan (3) area in Texas, and one in the suburban/destination areas in Tennessee

Retail Segment Retail segment represented $1.1 billion (1) , or 18% of the loan portfolio, at June 30, 2024. (1) SBA loans in the retail segment are $61.0 million, or 5.6% of total retail loans, at June 30, 2024 (2) Weighted average DCR and weighted average LTV calculated when the loan was first underwritten or renewed subsequently • Average balance and median balance of the segment were $1.5 million and $0.7 million, respectively • Weighted average debt coverage ratio (2) of the segment was 2.02x • Weighted average loan to value (2) of the segment was 46.44% • $7.8 million, or 0.71%, of the retail segment was criticized at June 30, 2024 • $1.2 million, or 0.11%, of the retail segment was on nonaccrual status at June 30, 2024 California 72% 14 Texas 13% Illinois 2% Georgia 3% Other 10%

Residential Real Estate Portfolio QM - 2% 15 The RRE (1) portfolio was $954.2 million at June 30, 2024, representing 15% of the total loan portfolio. Our conservative underwriting policy focuses on high - quality mortgage originations with maximum Loan - to - Value (LTV) ratios between 60% and 70%, maximum Debt - to - Income (DTI) ratios of 43% and minimum FICO scores of 680. (1) RRE includes $1.5 million of Home Equity Line of Credit (HELOC) and $6.4 million in consumer loans (2) QM loans conform to the Ability - to - Repay (ATR) rules/requirements of CFPB (3) Non - QM loans do not conform to the CFPB Dodd - Frank Act (4) Jumbo Non - QM loan amounts exceed FHFA limits, but generally conform to the ATR/QM rules • 27.2% of the Residential Real Estate portfolio is fixed and 72.8% is variable. Of the variable mortgage portfolio, 86.7% is expected to reset after 12 months and 13.3% within the next 12 months • Total delinquencies are 0.42% of the residential portfolio, consisting of 0.09% within 30 - 59 and 0.25% in 60 - 89 days delinquency categories • $0.8 million, or 0.08%, of the residential mortgage portfolio was on nonaccrual status at June 30, 2024 (2) (3) Non - QM - 92% (4) Jumbo Non - QM - 6%

Equipment Finance Portfolio Equipment finance portfolio represented $531.0 million, or 9% of the loan portfolio, at June 30, 2024. Transportation, 26% Construction, 15% Waste Management, 13% Manufacturing, 12% Professional Services, 5% Retail Trade, 5% Healthcare, 4% Wholesale Trade, 4% Other, 16% 34% 8% 7% 6% 5% 4% 3% 3% 1% 29% Trucks Earth Moving Machine Tools Software Trailers General Construction Medical/Dental Material Handling Printing Other Portfolio by Industry Portfolio by Equipment Portfolio by State 14% 16 9% 4% 8% 6% 4% 3% 3% Remaining = 45% 4% (1) Other includes agriculture and other services of 3% and 3%, respectively (1)

3.25% 3.53% 3.83% 4.16% 4.27% $3,966 $4,135 $4,174 $4,409 $4,384 3Q23 4Q23 1Q24 Average Balance of Interest - bearing Deposits Interest - bearing Deposit Costs 2Q23 2Q24 Deposit Base Noninterest - bearing demand deposits represented 31% of total deposits at June 30, 2024. Estimated uninsured deposit liabilities were 41% of the total deposit liabilities. Brokered deposits remained low, at 0.4% of the deposit base. Note: Numbers may not add due to rounding Deposits ($ in millions) Deposits (as of 2Q24) Average Interest - bearing Deposits ($ in millions) Business $3,292 52% Personal $3,037 48% ($ in millions) 32% 30% 31% 1% 1% 1% 25% 25% 1% 2% 35% 35% 28% 29% 29% $6,329 $6,376 $6,281 $6,260 $6,316 23% 24% 23% 23% 21% 16% 16% 16% 16% 17% 2Q23 3Q23 4Q23 1Q24 2Q24 Time <= $250K Money Market & Savings Demand Noninterest - bearing Time > $250K Demand Interest - bearing 17

Net Interest Income | Net Interest Margin Net interest income for the second quarter was $48.6 million and net interest margin (taxable equivalent) was 2.69%, both down from the previous quarter due to higher interest - bearing deposit costs. ($ in millions) 2.78% - 0.02% 0.01% - 0.07% - 0.01% 2.69% 1Q24 Loans Other earning assets IB - deposits FHLB Borrowings & other IB liabilities Decrease 2Q24 NIM Increase $55.4 $54.9 $53.1 $50.7 $48.6 3.11% 3.03% 2.92% 2.78% 2.69% 2Q23 3Q23 4Q23 1Q24 2Q24 Net Interest Income NIM 18

Deposits – CD Maturities Net Interest Income Sensitivity 29% of the loan portfolio reprices within 1 - 3 months. $127.6 $404.2 $542.7 $814.5 $801.7 $1,790.4 $184.2 $368.2 $350.1 $371.2 $520.6 $116.4 $1,918.0 $726.9 $1,182.7 $1,151.8 $684.9 $313.7 >3 - 5 Years >5 Years ≤3 Months >3 - 12 Months >1 - 2 Years Fixed >2 - 3 Years Variable Loans – Months to Reset / Maturity (1) ( . $ in millions) Fed Funds Rate & Cost of CDs $75.0 $73.2 $496.3 $1,033.6 $598.1 $163.4 $571.3 $1,106.8 $598.1 $163.4 4.81% 5.00% 4.70% 4.37% 3Q24 2Q25 4Q24 Wholesale 1Q25 Retail ($ in millions) Fed Funds Rate (3) 5.50% 5.50% 5.50% 5.50% 5.25% 4.78% 2Q24 4.66% 1Q24 4.24% 4Q23 3.95% 3Q23 Cost of CDs (2) 3.70% 2Q23 Cost of CDs (4) Numbers may not add due to rounding (1) Includes loans held for sale (2) Cost of CDs and interest bearing - deposits for the month of June 2024 was 4.81% and 4.28%, respectively (3) Fed funds rate represent the rate at the end of the quarter (4) Represent weighted average contractual rates 19

39% $2.4 21% $1.3 13% $0.8 10% $0.6 17% $1.0 Service charges on deposit accounts Trade finance and other service charges and fees Servicing income Bank - owned life insurance All other operating income Noninterest Income SBA 7(a) Loan Production and Sales ($ in millions) $30.9 $36.1 $48.4 $30.8 $54.5 $19.9 $21.0 $29.9 $25.6 $23.5 7.75% 6.84% 6.17% 7.23% 8.54% 2Q23 3Q23 4Q23 SBA Loan Sales SBA Production 1Q24 2Q24 SBA Trade Premium Noninterest income for the second quarter was $8.1 million, up 4% from the previous quarter. Noninterest Income 2Q24 Service Charges and Fees ($ in millions) ($ in millions) $6.7 $5.3 $5.8 $6.1 $1.2 $1.2 $1.4 ($1.9) $7.9 $1.9 $6.7 $7.7 $0.4 $1.5 $8.1 $0.4 $1.6 2Q23 3Q23 4Q23 1Q24 2Q24 (1) $10.0 Gain on sale of SBA loans Securities transactions Service charges, fees & other Gain of sale of mortgage loans Legal settlements $11.2 Numbers may not add due to rounding (1) Includes $4.0 million gain on the sale - and - leaseback of bank premises 20

Noninterest Expense Continued focus on disciplined expense management. 1.83% Noninterest expense / Average assets 1.94% 1.89% 1.87% 1.87% Noninterest expense was $35.3 million in the second quarter, down 3.2% from the prior quarter • $35.3 $36.4 $35.2 $34.2 $34.3 Noninterest expense over average assets for the second quarter was 1.89% compared with 1.94% for the prior quarter due to a $1.2 million decrease in salaries and benefits arising from $0.6 million in seasonally lower employer taxes and benefits and from $0.6 million of labor costs associated with the Company’s investment in a new loan origination system • $5.2 $1.7 $3.7 $4.3 $20.4 $4.8 $1.9 $3.6 $4.5 $21.6 $5.0 $2.0 $3.5 $4.6 $20.1 $3.9 $1.6 $3.5 $4.8 $20.4 $4.5 $1.4 $3.5 $4.5 $20.4 1Q24 2Q24 Occupancy and equipment Professional Fees 2Q23 3Q23 4Q23 Salaries and employee benefits Data Processing All other expenses ($ in millions) 21

Asset Quality – Delinquent & Criticized Loans Delinquent loans / Total loans $38.8 $33.1 $31.4 $23.7 $33.9 $44.6 $76.5 $65.3 $62.3 $36.9 $83.5 $109.6 $96.7 $86.0 $70.9 1.40% 1.82% 1.56% 1.39% 1.15% 2Q23 3Q23 4Q23 1Q24 2Q24 Classified Special Mention Delinquent Loans (1) Criticized Loans Criticized loans / Total loans Asset quality remains strong. $7.0 $6.9 $8.0 $8.2 $7.7 $6.7 $7.6 $6.1 $13.7 $9.5 $2.6 $10.3 $2.3 $15.8 $13.8 0.23% 0.16% 0.17% 0.26% 0.22% 2Q23 3Q23 4Q23 Equipment Finance Delinquent Loans 1Q24 2Q24 All Other Delinquent Loans ($ in millions) 22 ($ in millions) Numbers may not add due to rounding (1) Represents loans 30 to 89 days past due and still accruing

$22.2 $15.8 $15.5 $14.0 $19.2 $0.1 $0.1 $0.1 $0.1 $0.8 $22.3 $15.9 $15.6 $14.1 $20.0 1Q24 2Q24 2Q23 3Q23 4Q23 Nonperforming loans Note: Numbers may not add due to rounding OREO Asset Quality – Nonperforming Assets & Nonaccrual Loans 0.30% 0.22% 0.21% 0.19% 0.26% Nonperforming assets / Total assets Nonperforming Assets (1) Nonaccrual Loans Nonperforming assets were $20.0 million at the end of the second quarter, up from $14.1 million at the end of the first quarter. The increase in OREO included a $0.7 million addition of a closed branch property. ($ in millions) ($ in millions) (1) Nonperforming assets exclude repossessed personal property of $0.8 million, $1.3 million, $1.3 million, 1.3 million and $1.2 million for June 30, 2023, September 30, 2023, December 31, 2023, March 31, 2024, and June 30, 2024, respectively (2) Specific allowance for credit losses at June 30, 2023, September 30, 2023, December 31, 2023, March 31, 2024, and June 30, 2024 was $7.4 million, $2.9 million, $3.4 million, $5.3 million, and $6.8 million, respectively (3) RRE includes consumer loans $0.8 $5.3 $3.0 $3.3 $3.2 $5.9 $10.0 $4.9 $4.9 $3.9 $3.9 $22.2 $15.5 $14.0 $19.2 $8.6 $6.9 $7.3 $7.9 $6.9 2Q24 1Q24 4Q23 3Q23 2Q23 Equipment Finance All other CRE and C&I < $3M RRE (3) All other CRE and C&I >= $3M 23 (2) (2) (2) (2) $15.8 (2)

Asset Quality – Gross & Net Loan Charge - offs Gross Charge - offs Net Charge - offs Net Charge - offs / Average loans Net charge - offs for the second quarter were $1.8 million. ($ in millions) ($ in millions) $2.6 $2.8 $1.8 $2.0 $2.1 $6.6 $2.7 $0.1 $9.4 $1.8 $2.1 $0.1 $2.3 $0.2 2Q23 3Q23 4Q23 Equipment Finance Charge - offs 1Q24 2Q24 All Other Loan Charge - offs Note: Numbers may not add due to rounding $2.5 $1.2 $1.6 $1.8 $2.3 ($0.6) $6.4 ($6.2) $1.7 $8.9 $1.6 $1.8 0.12% 0.60% - 0.33% 0.10% 0.12% ($5.0) 4Q23 2Q23 3Q23 1Q24 2Q24 All Other Net Charge - offs Equipment Finance Net Charge - offs 24

ACL Trends Allowance for credit losses was $67.7 million at June 30, 2024, or 1.10% to total loans, compared with $68.3 million and 1.11% at the end of the prior quarter. $71.0 $67.3 $69.5 $68.3 $67.7 1.19% 1.12% 1.12% 1.11% 1.10% 2Q23 3Q23 4Q23 1Q24 2Q24 Allowance for credit losses ACL to Loans ($0.1) $5.2 $0.2 $1.0 ($2.9) 4Q23 2Q23 3Q23 1Q24 2Q24 Credit loss recovery Credit loss expense Allowance for Credit Losses Credit Loss Expense (Recovery) 25 ($ in millions) ($ in millions)

ACL Analysis by Loan Type June 30, 2023 September 30, 2023 December 31, 2023 March 31, 2024 June 30, 2024 ($ in millions) Loans Allowance Loans Allowance Loans Allowance Loans Allowance Loans Allowance $ 3,738.3 $ 38.4 $ 3,773.0 $ 38.9 $ 3,889.7 $ 40.2 $ 3,878.5 $ 36.4 $ 3,888.5 $ 36.1 CRE 753.5 16.0 728.8 11.2 747.8 10.3 774.9 11.8 802.4 10.6 C&I 586.4 11.9 592.7 12.3 582.2 13.7 554.0 13.7 531.3 15.0 Equipment Finance 887.0 4.7 926.3 4.9 962.7 5.3 970.4 6.2 954.2 6.0 RRE & Consumer $ 5,965.2 $ 71.0 $ 6,020.8 $ 67.3 $ 6,182.4 $ 69.5 $ 6,177.8 $ 68.3 $ 6,176.4 $ 67.7 Total Note: Numbers may not add due to rounding 26

US Agy Residential MBS - Maturity 15 Year - 71% 20 Year - 18% Securities Portfolio The $985 million securities portfolio (all AFS, no HTM) represented 13% of assets at June 30, 2024, and had a weighted average modified duration of 4.3 years with $108 million in an unrealized loss position. Principal Paydowns ($ in millions) $101 $157 $185 $170 $120 $19 $181 $24 $205 $20 $185 $15 2025 2026 Principal Interest Unrealized Loss UST - 1% US Agy - 6% US Agy MBS - Residential 61% US Agy MBS - Commercial - 12% US Agy CMO - 9% Municipal - 11% Available for Sale UST - 10% US Agy - 13% US Agy MBS - Residential - 50% US Agy MBS - Commerical - 7% US Agy CMO - 13 % Municipal - 7% $985 Million Securities Duration < 1 Year 7% 1 to 3 Year 23% 3 to 5 Years 42% > 5 Years 28% 4.3 Years $481 Million 30 Year - (2) 11% $108 Million (1) Based on the book value 2023 Actual (3) 2024 year - to - date observed $63 million of principal paydown and $11 million of interest payment Note: Numbers may not add due to rounding 27 (2) 94% constitutes CRA bonds 2024 (3) (1)

16.0% 1,219 FHLB available borrowing capacity 0.4% 29 FRB discount window borrowing capacity 1.5% 115 Federal funds lines (unsecured) available 17.9% 1,363 Secondary liquidity sources 4.1% $ 313 Cash & cash equivalents Liquid Assets to Deposits Liquid Assets to Total Assets 10.7% 811 Securities (unpledged) Broker Deposits to Deposits Liquid Assets to Total Liabilities 14.8% 1,124 Liquid assets Balance % of Assets Bank liquidity (liquid assets + secondary liquidity) $ 2,487 32.7% Liquidity The Bank and the Company have ample liquidity resources at June 30, 2024. (1) Rate at June 30, 2024, based on 3 - month SOFR + 166 bps (2) Issued in August 2021 and due in July 2031. Commencing on September 1, 2026, the interest rate will reset quarterly to the three - month SOFR + 310 bps Liquidity Position ($ in millions) 15.5% 14.6% 14.9% 14.4% 15.0% 18.0% 16.2% 16.6% 16.8% 17.9% 17.3% 17.0% 17.9% 16.1% 16.8% 1.3% 1.2% 0.9% 0.7% 0.4% 2Q23 3Q23 4Q23 1Q24 2Q24 Liquidity Ratios 28 Par Amortized Cost 2036 Trust Preferred Securitites $ 27 $ 22 Rate 7.00% (1) (2) 3.75% 108 110 2031 Subordinated Debt $ 130 $ 137 Company only Subordinated Debentures ($ in millions) Cash & Securities at Company only ($ in millions) Balance Cash $ 7 Securities (AFS) 36 $ 43

(1) Non - GAAP financial measure, refer to the non - GAAP reconciliation slides (2) Rate at the end of the quarter Capital Management Tangible book value per share (TBVPS) (1) increased to $22.99 from $22.86 at the end of the prior quarter. The increase reflects $6.9 million of net income, net of cash dividends paid, offset by a $0.9 million increase in unrealized after - tax losses on AFS securities, a $0.2 million increase in unrealized after - tax losses on cash flow hedges, and $2.7 million of stock repurchases. 4.16% 4.61% 3.85% 4.21% 4.38% ($84.6) ($99.4) ($71.9) ($76.9) ($78.0) 2Q23 3Q23 4Q23 1Q24 2Q24 AOCI $21.56 $21.45 $22.75 $22.86 $22.99 8.96% 8.89% 9.14% 9.23% 9.19% 2Q23 3Q23 4Q23 1Q24 2Q24 (1) TBVPS TBVPS (1) & TCE/TA (1) AOCI & 5 - YR TSY 5 - YR TSY (2) TCE / TA ($ in millions) (1) 29

Regulatory Capital The Company exceeds regulatory minimums and the Bank remains well capitalized at June 30, 2024. 8.00% 6.00% 4.50% 2.50% 2.50% 2.50% 15.24% 12.46% 12.11% 14.07% 11.28% 10.93% 10.50% 8.50% 7.00% Minimum Requirement Capital Conservation Buffer Company Pro Forma 10.00% 8.00% 6.50% 14.51% 13.47% 13.47% 13.34% 12.30% 12.30% Well Capitalized Bank Pro Forma (1) 30 CET1 Capital Tier 1 Capital Total Capital Company Bank CET1 Capital Tier 1 Capital Total Capital (1) Pro forma illustrates capital ratios with unrealized loses at June 30, 2024. Non - GAAP financial measure; refer to the non - GAAP reconciliation slide (1)

Appendix 31

2Q24 Financial Summary Note: numbers may not add due to rounding (1) Percentage change calculated from dollars in thousands for income statement summary; change in basis points for selected balance sheet items and profitability metrics (2) Non - GAAP financial measure, refer to the non - GAAP reconciliation slide $ 0.67 $ 0.50 $ 0.48 EPS - Diluted ($ in millions, except EPS) Change (1) June 30, 2024 March 31, 2024 June 30, 2023 Q/Q Y/Y Income Statement Summary - 12.3% - 4.0% $ 55.4 $ 50.7 $ 48.6 Net interest income before credit loss 1.5% 4.2% 7.9 7.7 8.1 Noninterest income - 10.5% - 2.9% 63.4 58.4 56.7 Operating revenue 2.9% - 3.2% 34.3 36.4 35.3 Noninterest expense - 1348.1% 323.3% (0.1) 0.2 1.0 Credit loss (recovery) expense - 29.9% - 5.9% 29.2 21.7 20.4 Pretax income - 29.8% - 8.6% 8.5 6.6 6.0 Income tax expense - 29.9% - 4.7% $ 20.6 $ 15.2 $ 14.5 Net income Selected balance sheet items 3.5% 0.0% $ 5,965 $ 6,178 $ 6,176 Loans receivable 0.2% - 0.7% 6,316 6,376 6,329 Deposits 3.3% 1.0% 7,345 7,512 7,586 Total assets 5.8% 0.6% $ 669 $ 703 $ 707 Stockholders' equity Profitability Metrics (35) (4) 1.12% 0.81% 0.77% Return on average assets (364) (40) 11.14% 7.90% 7.50% Return on average equity 23 (4) 8.96% 9.23% 9.19% TCE/TA (2) (42) (9) 3.11% 2.78% 2.69% Net interest margin 813 (18) 54.11% 62.42% 62.24% Efficiency ratio 32

Non - GAAP Reconciliation: Tangible Common Equity to Tangible Asset Ratio 33 (1) There were no preferred shares outstanding at the periods indicated June 30, September 30, December 31, March 31, June 30, 2023 2023 2023 2024 2024 Hanmi Financial Corporation $ 7,344,924 $ 7,350,140 $ 7,570,341 $ 7,512,046 $ 7,586,347 Assets (11,162) (11,131) (11,099) (11,074) (11,048) Less goodwill and other intangible assets $ 7,333,762 $ 7,339,009 $ 7,559,242 $ 7,500,972 $ 7,575,299 Tangible assets $ 668,560 $ 663,359 $ 701,891 $ 703,100 $ 707,059 Stockholders' equity (1) (11,162) (11,131) (11,099) (11,074) (11,048) Less goodwill and other intangible assets $ 657,398 $ 652,228 $ 690,792 $ 692,026 $ 696,011 Tangible stockholders' equity (1) 9.10% 9.03% 9.27% 9.36% 9.32% Stockholders' equity to assets 8.96% 8.89% 9.14% 9.23% 9.19% Tangible common equity to tangible assets (1) 30,485,788 30,410,582 30,368,655 30,276,358 30,272,110 Common shares outstanding $ 21.56 $ 21.45 $ 22.75 $ 22.86 $ 22.99 Tangible common equity per common share ($ in thousands, except per share data)

Non - GAAP Reconciliation: Pro Forma Regulatory Capital 34 Bank (1) Company (1) ($ in thousands) Total Risk - based Tier 1 Common Equity Tier 1 Total Risk - based Tier 1 Common Equity Tier 1 $ 916,437 $ 850,613 $ 850,613 $ 962,585 $ 786,761 $ 764,886 Regulatory capital (76,375) (76,375) (76,375) (76,443) (76,443) (76,443) Unrealized losses on AFS securities $ 840,062 $ 774,238 $ 774,238 $ 886,142 $ 710,318 $ 688,443 Adjusted regulatory capital $ 6,314,190 $ 6,314,190 $ 6,314,190 $ 6,315,974 $ 6,315,974 $ 6,315,974 Risk weighted assets (17,677) (17,677) (17,677) (17,053) (17,053) (17,053) Risk weighted assets impact of unrealized losses on AFS securities $ 6,296,513 $ 6,296,513 $ 6,296,513 $ 6,298,921 $ 6,298,921 $ 6,298,921 Adjusted Risk weighted assets 14.51% 13.47% 13.47% 15.24% 12.46% 12.11% Regulatory capital ratio as reported - 1.17% - 1.17% - 1.17% - 1.17% - 1.18% - 1.18% Impact of unrealized losses on AFS securities 13.34% 12.30% 12.30% 14.07% 11.28% 10.93% Pro forma regulatory capital ratio Note: numbers may not add due to rounding (1) Pro forma capital ratios at June 30, 2024

 

v3.24.2

Cover	Jul. 23, 2024
Cover [Abstract]
Document Type	8-K
Amendment Flag	false
Document Period End Date	Jul. 23, 2024
Entity File Number	000-30421
Entity Registrant Name	HANMI FINANCIAL CORPORATION
Entity Central Index Key	0001109242
Entity Tax Identification Number	95-4788120
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	900 Wilshire Boulevard, Suite 1250
Entity Address, City or Town	Los Angeles
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	90017
City Area Code	213
Local Phone Number	382-2200
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	Common Stock, $0.001 par value
Trading Symbol	HAFC
Security Exchange Name	NASDAQ
Entity Emerging Growth Company	false

---