Earnings call transcript: Hanmi Financial tops revenue in Q3 2026, shares edge up

Hanmi Financial reported a 10.8% increase in pre-provision net revenue for Q3 2026, driven by stronger net interest income and tighter expense control. The bank's revenue of $76.6 million beat estimates by 1.96%, while diluted EPS of $0.80 fell short of the forecasted $0.81 by $0.01. The stock surged 0.44% in after-hours trading to $32.55, nearing its 52-week high of $33.50.

Net interest margin expanded to 3.4%, up 8 basis points from the previous quarter. Loan production grew by 46.2% to $544 million, with gains across various lending categories. Hanmi continued returning capital to shareholders, repurchasing $4.9 million of stock. The bank's return on average assets and equity stood at 1.17% and 10.90% respectively, with a 12% return on common equity over the past year.

Hanmi maintains a strong Financial Health Score of 3.03 out of 5, indicating solid fundamentals. The company's commitment to dividend payments and share repurchases is highlighted, with 14 consecutive years of dividend payments and $4.9 million in stock repurchases. The bank's corporate initiative in Korea saw a 12% increase in deposits to $1.3 billion.

Despite a modest EPS miss, the broader operating trends remained positive, with strong revenue growth, margin expansion, and improved operating leverage.