PCB Bancorp Q3 2026 earnings reach record $12.1M
Deposits rose 5.6% year over year while loans held-for-investment fell 3.0% from June 30, 2026.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Form Type
8-K
Rhea-AI Filing Summary
PCB Bancorp reported record third-quarter 2026 net income available to common shareholders of $12.1 million, or $0.85 per diluted share, up 7.0% and 9.0%, respectively, from a year earlier. Net interest income increased 6.8% to $28.8 million, and net interest margin was 3.35%, versus 3.28% a year earlier. Deposits reached $3.08 billion, up 5.6% year over year; loans held-for-investment were $2.84 billion, down 3.0% from June 30, 2026. Management said selective reductions in certain large commercial lending relationships contributed to the loan decline.
Nonperforming assets were $12.3 million, or 0.35% of total assets, up 50.2% year over year. The board declared a quarterly cash dividend of $0.22 per common share, payable on or about November 20, 2026, to shareholders of record November 13, 2026. A new repurchase program authorizes up to 700,000 common shares through September 22, 2027; 700,000 shares were authorized for purchase under the program as of September 30, 2026.
3 points · 0 major0 major · 1 point
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- Moderate pointCommon earnings rose 7.0% year over year to $12.1 million.
- Moderate pointDeposits increased 5.6% year over year to $3.08 billion.
- Minor pointQuarterly dividend declared at $0.22 per share, versus $0.20 a year earlier.
Negative
- Moderate pointNonperforming assets rose 50.2% year over year to $12.3 million.
Filing Explained
PCB reports that its earlier program repurchased and retired 219,526 shares for
8-K Event Classification
4 items: 2.02, 7.01, 8.01, 9.01
4 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 7.01
Regulation FD Disclosure
Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 8.01
Other Events
Other
Voluntary disclosure of events the company deems important to shareholders but not covered by other items.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Key Figures
Net income available to common shareholders: $12.1 million
Diluted earnings per common share: $0.85 per share
Net interest income: $28.8 million
+5 more
8 metrics
Net income available to common shareholders
$12.1 million
Third quarter 2026; up 7.0% year over year
Diluted earnings per common share
$0.85 per share
Third quarter 2026; up 9.0% year over year
Net interest income
$28.8 million
Third quarter 2026; up 6.8% year over year
Net interest margin
3.35%
Third quarter 2026, compared with 3.28% a year earlier
Total deposits
$3.08 billion
At September 30, 2026; up 5.6% year over year
Loans held-for-investment
$2.84 billion
At September 30, 2026; down 3.0% from June 30, 2026
Nonperforming assets
$12.3 million
At September 30, 2026; up 50.2% year over year and 0.35% of total assets
Quarterly cash dividend
$0.22 per common share
Declared October 28, 2026
Key Terms
Net interest margin, Allowance for Credit Losses, Non-performing assets, Core Deposits
4 terms
Net interest margin financial
"Net interest margin was 3.35%"
Net interest margin measures how much a bank earns from lending and investing compared with what it pays for funding, expressed as a percentage of its interest-earning assets. Think of it like a grocery store’s markup: it shows the gap between buying cost and selling price per dollar of goods — here, the cost is interest paid and the sale is interest received. Investors watch it because a higher margin usually means a bank is more profitable and better at managing interest rate and credit conditions.
Allowance for Credit Losses financial
"Allowance for Credit Losses (“ACL”) on loans"
Allowance for credit losses is a reserve set aside by a financial institution to cover potential losses from borrowers who may not repay their loans. It acts like a safety net, helping the institution prepare for loans that might turn sour. For investors, it signals how cautious the institution is about the quality of its loans and potential risks to its financial health.
Non-performing assets financial
"Non-performing assets (“NPAs”)"
Loans or other credit exposures that are not producing expected income because borrowers have stopped making scheduled payments for a significant period (commonly around 90 days). Think of it like a business lending money that has gone quiet — the cash flow stops while the lender still carries the debt on its books. High levels of non-performing assets matter to investors because they reduce a lender’s earnings, tie up capital that could be used for growth, and signal higher risk of future losses.
Core Deposits financial
"Core Deposits is a non-GAAP measure"
Core deposits are the stable, everyday customer balances a bank keeps—like checking and savings accounts and regular business deposits—that are unlikely to be withdrawn suddenly. Think of them as a household’s paycheck direct-deposits: predictable, low-cost funding the bank can rely on. For investors, a larger share of core deposits means steadier cash available, lower borrowing needs and interest expenses, and therefore more predictable earnings and lower risk.
Earnings Snapshot
Net income available to common shareholders: $12.1 million
Third quarter 2026
Net income available to common shareholders
$12.1 million
Up 7.0% year over year
Diluted earnings per common share
$0.85 per share
Up 9.0% year over year
Net interest income
$28.8 million
Up 6.8% year over year
Net interest margin
3.35%
Compared with 3.28% a year earlier
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were PCB's Q3 2026 earnings?
PCB Bancorp reported $12.1 million in net income available to common shareholders for Q3 2026, or $0.85 per diluted share. These compared with $11.3 million and $0.78 per diluted share a year earlier.
What dividend did PCB declare, and when will it be paid?
PCB Bancorp declared a quarterly cash dividend of $0.22 per common share. It is payable on or about November 20, 2026, to shareholders of record at the close of business on November 13, 2026.
AI-generated analysis. How Rhea-AI works. Not financial advice.
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): October 28, 2026
(Exact name of registrant as specified in its charter)
(State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | ||||||||||||
(Address of principal offices) | (Zip Code) | |||||||||||||
Registrant’s telephone number, including area code: (213 ) 210-2000
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 (see General Instruction A.2. below):
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
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. ☐
Item 2.02 Results of Operations and Financial Condition.
On October 29, 2026, PCB Bancorp, a California corporation (the “Company”), issued a press release concerning its unaudited results for the third quarter of 2026. A copy of the press release is attached as Exhibit 99.1 to this Current Report and is incorporated herein by reference.
The information in this report set forth under this Item 2.02 and in Exhibit 99.1 shall not be treated as “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, except as expressly stated by specific reference in such filing.
Item 7.01 Regulation FD Disclosure.
Attached as Exhibit 99.2, and incorporated herein by reference, is a copy of an investor presentation that may be utilized by management at future discussions with investors. The information in this report set forth under this Item 7.01 and in Exhibit 99.2 shall not be treated as “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, except expressly stated by specific reference in such filing.
Item 8.01 Other Events.
Common Stock Dividend
On October 29, 2026, the Company issued a press release announcing that on October 28, 2026, its Board of Directors declared a quarterly cash dividend of $0.22 per common share. The dividend will be paid on or about November 20, 2026, to shareholders of record as of the close of business on November 13, 2026. A copy of the press release is attached as Exhibit 99.3 to this Current Report and is incorporated herein by reference.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
99.1 Press release of PCB Bancorp, issued October 29, 2026, concerning the results of operations and financial condition for the third quarter of 2026
99.2 Investor presentation of PCB Bancorp concerning the unaudited results for the third quarter of 2026
99.3 Press release of PCB Bancorp, issued October 29, 2026, announcing the declaration of a quarterly cash dividend
104 Cover Page Interactive Data File (embedded within the Inline XBRL document)
2
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.
| PCB Bancorp | |||||||||||
| Date: | October 29, 2026 | /s/ Timothy Chang | |||||||||
| Timothy Chang | |||||||||||
| Senior Executive Vice President and Chief Financial Officer | |||||||||||
3
Exhibit 99.1
PCB Bancorp Reports Record Earnings for Q3 2026
Los Angeles, California, - October 29, 2026 - PCB Bancorp (the “Company”) (NASDAQ: PCB), the holding company of PCB Bank (the “Bank”), today reported net income available to common shareholders of $12.1 million, or $0.85 per diluted common share, for the third quarter of 2026, compared with $10.4 million, or $0.73 per diluted common share, for the previous quarter and $11.3 million, or $0.78 per diluted common share, for the year-ago quarter.
Q3 2026 Highlights
•Net income available to common shareholders totaled $12.1 million, or $0.85 per diluted common share, for the current quarter;
•Provision (reversal) for credit losses was $(705) thousand for the current quarter compared with $926 thousand for the previous quarter and $(381) thousand for the year-ago quarter;
•Allowance for Credit Losses (“ACL”) on loans to loans held-for-investment ratio was 1.20% at September 30, 2026 compared with 1.18% at June 30, 2026, and 1.20% at September 30, 2025;
•Net interest income was $28.8 million for the current quarter compared with $27.5 million for the previous quarter and $27.0 million for the year-ago quarter. Net interest margin was 3.35% for the current quarter compared with 3.33% for the previous quarter and 3.28% for the year-ago quarter;
•Gain on sale of loans was $1.6 million for the current quarter compared with $1.2 million for the previous quarter and $1.6 million for the year-ago quarter;
•Total assets were $3.54 billion at September 30, 2026, an increase of $67.5 million, or 1.9%, from $3.47 billion at June 30, 2026, an increase of $255.9 million, or 7.8%, from $3.28 billion at December 31, 2025, and an increase of $174.2 million, or 5.2%, from $3.36 billion at September 30, 2025;
•Loans held-for-investment were $2.84 billion at September 30, 2026, a decrease of $87.2 million, or 3.0%, from $2.93 billion at June 30, 2026, but an increase of $24.5 million, or 0.9%, from $2.82 billion at December 31, 2025 and an increase of $92.3 million, or 3.4%, from $2.75 billion at September 30, 2025; and
•Total deposits were $3.08 billion at September 30, 2026, an increase of $153.9 million, or 5.3%, from $2.92 billion at June 30, 2026, an increase of $281.2 million, or 10.1%, from $2.80 billion at December 31, 2025, and an increase of $163.1 million, or 5.6%, from $2.91 billion at September 30, 2025.
Henry Kim, President and CEO, commented, “We delivered another quarter of strong financial performance despite a competitive operating environment and continued interest rate volatility. Our results reflect disciplined execution across the organization, highlighted by record earnings, solid core deposit growth, and an improvement in net interest margin.
During the quarter, we remained focused on prudent balance sheet management and long-term risk-adjusted returns. As part of that strategy, we selectively reduced certain large commercial lending relationships that no longer met our risk and return objectives. While these actions contributed to lower loan balances, they strengthened our liquidity position and reinforced the overall quality of our balance sheet.
Our strong retail deposit growth, solid capital position, and disciplined credit culture continue to provide a foundation for sustainable growth. As we look ahead to the remainder of 2026 and into 2027, we believe we are well positioned to deploy our excess liquidity, capitalize on attractive growth opportunities, and continue delivering long-term value for our shareholders.”
1
Financial Highlights (Unaudited)
($ in thousands, except per share data) | Three Months Ended | Nine Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||
| 9/30/2026 | 6/30/2026 | % Change | 9/30/2025 | % Change | 9/30/2026 | 9/30/2025 | % Change | |||||||||||||||||||||||||||||||||||||||||||
| Net income | $ | 12,208 | $ | 10,507 | 16.2 | % | $ | 11,412 | 7.0 | % | $ | 33,368 | $ | 28,218 | 18.3 | % | ||||||||||||||||||||||||||||||||||
| Net income available to common shareholders | $ | 12,122 | $ | 10,420 | 16.3 | % | $ | 11,326 | 7.0 | % | $ | 33,109 | $ | 28,005 | 18.2 | % | ||||||||||||||||||||||||||||||||||
| Diluted earnings per common share (“EPS”) | $ | 0.85 | $ | 0.73 | 16.4 | % | $ | 0.78 | 9.0 | % | $ | 2.32 | $ | 1.94 | 19.6 | % | ||||||||||||||||||||||||||||||||||
| Net interest income | $ | 28,819 | $ | 27,494 | 4.8 | % | $ | 26,978 | 6.8 | % | $ | 83,123 | $ | 77,251 | 7.6 | % | ||||||||||||||||||||||||||||||||||
| Provision (reversal) for credit losses | (705) | 926 | NM | (381) | 85.0 | % | 688 | 3,004 | (77.1) | % | ||||||||||||||||||||||||||||||||||||||||
| Noninterest income | 3,573 | 3,203 | 11.6 | % | 3,414 | 4.7 | % | 10,150 | 9,291 | 9.2 | % | |||||||||||||||||||||||||||||||||||||||
| Noninterest expense | 16,052 | 15,113 | 6.2 | % | 14,869 | 8.0 | % | 45,979 | 44,172 | 4.1 | % | |||||||||||||||||||||||||||||||||||||||
Return on average assets (“ROAA”) (1) | 1.38 | % | 1.24 | % | 1.35 | % | 1.31 | % | 1.17 | % | ||||||||||||||||||||||||||||||||||||||||
Return on average shareholders’ equity (“ROAE”) (1) | 12.03 | % | 10.55 | % | 11.92 | % | 11.18 | % | 10.10 | % | ||||||||||||||||||||||||||||||||||||||||
Return on average tangible common equity (“ROATCE”) (1),(2) | 14.42 | % | 12.65 | % | 14.46 | % | 13.42 | % | 12.30 | % | ||||||||||||||||||||||||||||||||||||||||
Net interest margin (1) | 3.35 | % | 3.33 | % | 3.28 | % | 3.35 | % | 3.29 | % | ||||||||||||||||||||||||||||||||||||||||
Efficiency ratio (3) | 49.56 | % | 49.23 | % | 48.92 | % | 49.30 | % | 51.04 | % | ||||||||||||||||||||||||||||||||||||||||
| ($ in thousands, except per share data) | 9/30/2026 | 6/30/2026 | % Change | 12/31/2025 | % Change | 9/30/2025 | % Change | |||||||||||||||||||||||||||||||||||||
Total assets | $ | 3,537,672 | $ | 3,470,124 | 1.9 | % | $ | 3,281,771 | 7.8 | % | $ | 3,363,506 | 5.2 | % | ||||||||||||||||||||||||||||||
Net loans held-for-investment | 2,810,769 | 2,897,281 | (3.0) | % | 2,787,019 | 0.9 | % | 2,719,554 | 3.4 | % | ||||||||||||||||||||||||||||||||||
Total deposits | 3,076,593 | 2,922,659 | 5.3 | % | 2,795,412 | 10.1 | % | 2,913,502 | 5.6 | % | ||||||||||||||||||||||||||||||||||
Book value per common share (4) | $ | 28.61 | $ | 28.40 | $ | 27.41 | $ | 26.93 | ||||||||||||||||||||||||||||||||||||
TCE per common share (2) | $ | 23.69 | $ | 23.49 | $ | 22.55 | $ | 22.09 | ||||||||||||||||||||||||||||||||||||
Tier 1 leverage ratio (consolidated) | 11.77 | % | 11.89 | % | 11.89 | % | 11.57 | % | ||||||||||||||||||||||||||||||||||||
| Total shareholders’ equity to total assets | 11.37 | % | 11.54 | % | 11.88 | % | 11.43 | % | ||||||||||||||||||||||||||||||||||||
TCE to total assets (2), (5) | 9.41 | % | 9.55 | % | 9.78 | % | 9.38 | % | ||||||||||||||||||||||||||||||||||||
(1)Ratios are presented on an annualized basis.
(2)Non-GAAP. See “Non-GAAP Financial Measures” for a reconciliation of this measure to its most comparable GAAP measure.
(3)Calculated by dividing noninterest expense by the sum of net interest income and noninterest income.
(4)Calculated by dividing total shareholders’ equity by the number of outstanding common shares.
(5)The Company had no intangible asset component for the presented periods.
2
Results of Operations (Unaudited)
Net Interest Income and Net Interest Margin
The following table presents the components of net interest income for the periods indicated:
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||
| ($ in thousands) | 9/30/2026 | 6/30/2026 | % Change | 9/30/2025 | % Change | 9/30/2026 | 9/30/2025 | % Change | ||||||||||||||||||||||||||||||||||||||||||
| Interest income/expense on | ||||||||||||||||||||||||||||||||||||||||||||||||||
Loans | $ | 47,154 | $ | 45,886 | 2.8 | % | $ | 46,193 | 2.1 | % | $ | 137,524 | $ | 134,697 | 2.1 | % | ||||||||||||||||||||||||||||||||||
Investment securities | 2,073 | 1,795 | 15.5 | % | 1,474 | 40.6 | % | 5,442 | 4,344 | 25.3 | % | |||||||||||||||||||||||||||||||||||||||
Other interest-earning assets | 3,255 | 2,359 | 38.0 | % | 3,804 | (14.4) | % | 8,387 | 8,630 | (2.8) | % | |||||||||||||||||||||||||||||||||||||||
Total interest-earning assets | 52,482 | 50,040 | 4.9 | % | 51,471 | 2.0 | % | 151,353 | 147,671 | 2.5 | % | |||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits | 23,242 | 21,795 | 6.6 | % | 23,995 | (3.1) | % | 66,515 | 69,064 | (3.7) | % | |||||||||||||||||||||||||||||||||||||||
Borrowings | 421 | 751 | (43.9) | % | 498 | (15.5) | % | 1,715 | 1,356 | 26.5 | % | |||||||||||||||||||||||||||||||||||||||
Total interest-bearing liabilities | 23,663 | 22,546 | 5.0 | % | 24,493 | (3.4) | % | 68,230 | 70,420 | (3.1) | % | |||||||||||||||||||||||||||||||||||||||
Net interest income | $ | 28,819 | $ | 27,494 | 4.8 | % | $ | 26,978 | 6.8 | % | $ | 83,123 | $ | 77,251 | 7.6 | % | ||||||||||||||||||||||||||||||||||
| Average balance of | ||||||||||||||||||||||||||||||||||||||||||||||||||
Loans | $ | 2,902,481 | $ | 2,885,996 | 0.6 | % | $ | 2,784,148 | 4.3 | % | $ | 2,876,614 | $ | 2,738,957 | 5.0 | % | ||||||||||||||||||||||||||||||||||
Investment securities | 195,312 | 178,716 | 9.3 | % | 152,084 | 28.4 | % | 178,402 | 149,914 | 19.0 | % | |||||||||||||||||||||||||||||||||||||||
Other interest-earning assets | 311,417 | 249,717 | 24.7 | % | 327,637 | (5.0) | % | 266,040 | 246,396 | 8.0 | % | |||||||||||||||||||||||||||||||||||||||
Total interest-earning assets | $ | 3,409,210 | $ | 3,314,429 | 2.9 | % | $ | 3,263,869 | 4.5 | % | $ | 3,321,056 | $ | 3,135,267 | 5.9 | % | ||||||||||||||||||||||||||||||||||
Interest-bearing deposits | $ | 2,445,630 | $ | 2,326,163 | 5.1 | % | $ | 2,326,170 | 5.1 | % | $ | 2,350,909 | $ | 2,218,542 | 6.0 | % | ||||||||||||||||||||||||||||||||||
Borrowings | 42,000 | 76,374 | (45.0) | % | 43,109 | (2.6) | % | 58,073 | 39,586 | 46.7 | % | |||||||||||||||||||||||||||||||||||||||
Total interest-bearing liabilities | $ | 2,487,630 | $ | 2,402,537 | 3.5 | % | $ | 2,369,279 | 5.0 | % | $ | 2,408,982 | $ | 2,258,128 | 6.7 | % | ||||||||||||||||||||||||||||||||||
Total funding (1) | $ | 3,041,978 | $ | 2,946,585 | 3.2 | % | $ | 2,910,522 | 4.5 | % | $ | 2,953,418 | $ | 2,788,686 | 5.9 | % | ||||||||||||||||||||||||||||||||||
| Annualized average yield/cost of | ||||||||||||||||||||||||||||||||||||||||||||||||||
Loans | 6.45 | % | 6.38 | % | 6.58 | % | 6.39 | % | 6.58 | % | ||||||||||||||||||||||||||||||||||||||||
Investment securities | 4.21 | % | 4.03 | % | 3.85 | % | 4.08 | % | 3.87 | % | ||||||||||||||||||||||||||||||||||||||||
Other interest-earning assets | 4.15 | % | 3.79 | % | 4.61 | % | 4.21 | % | 4.68 | % | ||||||||||||||||||||||||||||||||||||||||
| Total interest-earning assets | 6.11 | % | 6.06 | % | 6.26 | % | 6.09 | % | 6.30 | % | ||||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits | 3.77 | % | 3.76 | % | 4.09 | % | 3.78 | % | 4.16 | % | ||||||||||||||||||||||||||||||||||||||||
Borrowings | 3.98 | % | 3.94 | % | 4.58 | % | 3.95 | % | 4.58 | % | ||||||||||||||||||||||||||||||||||||||||
| Total interest-bearing liabilities | 3.77 | % | 3.76 | % | 4.10 | % | 3.79 | % | 4.17 | % | ||||||||||||||||||||||||||||||||||||||||
| Net interest margin | 3.35 | % | 3.33 | % | 3.28 | % | 3.35 | % | 3.29 | % | ||||||||||||||||||||||||||||||||||||||||
Cost of total funding (1) | 3.09 | % | 3.07 | % | 3.34 | % | 3.09 | % | 3.38 | % | ||||||||||||||||||||||||||||||||||||||||
Supplementary information | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Net accretion of discount on loans | $ | 759 | $ | 584 | 30.0 | % | $ | 563 | 34.8 | % | $ | 1,860 | $ | 2,045 | (9.0) | % | ||||||||||||||||||||||||||||||||||
| Net amortization of deferred loan fees | $ | 579 | $ | 357 | 62.2 | % | $ | 433 | 33.7 | % | $ | 1,289 | $ | 1,113 | 15.8 | % | ||||||||||||||||||||||||||||||||||
(1)Total funding is the sum of interest-bearing liabilities and noninterest-bearing deposits. The cost of total funding is calculated as annualized total interest expense divided by average total funding.
The increase in net interest margin for the current quarter compared with the previous quarter was primarily due to an increase in average yield on interest earning assets, partially offset by an increase in average cost of interest-bearing deposits. The increases for the current quarter and year-to-date period compared with the same periods of 2025 were primarily due to a decrease in average cost of interest-bearing deposits, partially offset by a decrease in average yield on interest earning assets.
3
Loans. The increase in average yield for the current quarter compared with the previous quarter was primarily due to increases in weighted-average interest rates on loans, net accretion of discount on loans and net amortization of deferred loan fees. The decrease for the current quarter compared with the year-ago quarter was primarily due to a decrease in weighted-average interest rates on loans, partially offset by increases in net accretion of discount on loans and net amortization of deferred loan fees. The decrease for the current year-to-date period compared with the previous year-to-date period was primarily due to decreases in weighted-average interest rates on loans and net accretion of discount on loans, partially offset by an increase in net amortization of deferred loan fees.
The following table presents a composition of total loans by interest rate type accompanied by the weighted-average contractual rates as of the dates indicated:
| 9/30/2026 | 6/30/2026 | 12/31/2025 | 9/30/2025 | |||||||||||||||||||||||||||||||||||||||||||||||
| % to Total Loans | Weighted-Average Contractual Rate | % to Total Loans | Weighted-Average Contractual Rate | % to Total Loans | Weighted-Average Contractual Rate | % to Total Loans | Weighted-Average Contractual Rate | |||||||||||||||||||||||||||||||||||||||||||
Fixed rate loans | 18.9 | % | 5.82 | % | 18.0 | % | 5.76 | % | 17.5 | % | 5.60 | % | 18.2 | % | 5.60 | % | ||||||||||||||||||||||||||||||||||
Hybrid rate loans | 39.3 | % | 5.84 | % | 39.9 | % | 5.67 | % | 39.7 | % | 5.57 | % | 39.5 | % | 5.51 | % | ||||||||||||||||||||||||||||||||||
Variable rate loans | 41.8 | % | 7.00 | % | 42.1 | % | 6.82 | % | 42.8 | % | 6.93 | % | 42.3 | % | 7.38 | % | ||||||||||||||||||||||||||||||||||
Investment Securities. The increases in average yield for the current quarter and year-to-date period were primarily due to higher yields on newly purchased investment securities.
Other Interest-Earning Assets. The increase in average yield for the current quarter compared with the previous quarter was primarily due to a special dividend on Federal Home Loan Bank (“FHLB”) stock of $253 thousand. The decreases for the current quarter and year-to-date period compared with the same periods of 2025 were primarily due to a decrease in average interest rate on cash held at the Federal Reserve Bank, partially offset by an increase in dividends received on FHLB stock.
Interest-Bearing Deposits. The decreases in average cost for the current quarter and year-to-date period compared with the same periods of 2025 were primarily due to decreases in market rates.
Provision (reversal) for credit losses
The following table presents a composition of provision for credit losses for the periods indicated:
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||
| ($ in thousands) | 9/30/2026 | 6/30/2026 | % Change | 9/30/2025 | % Change | 9/30/2026 | 9/30/2025 | % Change | ||||||||||||||||||||||||||||||||||||||||||
| Provision (reversal) for credit losses on loans | $ | (651) | $ | 798 | NM | $ | (428) | 52.1 | % | $ | 765 | $ | 2,884 | (73.5) | % | |||||||||||||||||||||||||||||||||||
| Provision (reversal) for credit losses on off-balance sheet credit exposure | (54) | 128 | NM | 47 | NM | (77) | 120 | NM | ||||||||||||||||||||||||||||||||||||||||||
| Total provision (reversal) for credit losses | $ | (705) | $ | 926 | NM | $ | (381) | 85.0 | % | $ | 688 | $ | 3,004 | (77.1) | % | |||||||||||||||||||||||||||||||||||
The reversal for credit losses on loans for the current quarter was primarily due to a decrease in loans held-for-investment, partially offset by an increase in nonaccrual loans held-for-investment.
4
Noninterest Income
The following table presents the components of noninterest income for the periods indicated:
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||
| ($ in thousands) | 9/30/2026 | 6/30/2026 | % Change | 9/30/2025 | % Change | 9/30/2026 | 9/30/2025 | % Change | ||||||||||||||||||||||||||||||||||||||||||
Gain on sale of loans | $ | 1,626 | $ | 1,182 | 37.6 | % | $ | 1,617 | 0.6 | % | $ | 4,217 | $ | 3,969 | 6.2 | % | ||||||||||||||||||||||||||||||||||
Service charges and fees on deposits | 457 | 450 | 1.6 | % | 377 | 21.2 | % | 1,337 | 1,124 | 19.0 | % | |||||||||||||||||||||||||||||||||||||||
Loan servicing income | 650 | 802 | (19.0) | % | 719 | (9.6) | % | 2,253 | 2,204 | 2.2 | % | |||||||||||||||||||||||||||||||||||||||
| Bank-owned life insurance (“BOLI”) income | 287 | 281 | 2.1 | % | 259 | 10.8 | % | 842 | 759 | 10.9 | % | |||||||||||||||||||||||||||||||||||||||
Other income | 553 | 488 | 13.3 | % | 442 | 25.1 | % | 1,501 | 1,235 | 21.5 | % | |||||||||||||||||||||||||||||||||||||||
Total noninterest income | $ | 3,573 | $ | 3,203 | 11.6 | % | $ | 3,414 | 4.7 | % | $ | 10,150 | $ | 9,291 | 9.2 | % | ||||||||||||||||||||||||||||||||||
Gain on Sale of Loans. The following table presents information on gain (loss) on sale of loans for the periods indicated:
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||
| ($ in thousands) | 9/30/2026 | 6/30/2026 | % Change | 9/30/2025 | % Change | 9/30/2026 | 9/30/2025 | % Change | ||||||||||||||||||||||||||||||||||||||||||
Gain on sale of SBA loans | ||||||||||||||||||||||||||||||||||||||||||||||||||
Sold loan balance | $ | 23,044 | $ | 17,095 | 34.8 | % | $ | 29,017 | (20.6) | % | $ | 61,969 | $ | 72,569 | (14.6) | % | ||||||||||||||||||||||||||||||||||
Premium received | 1,798 | 1,430 | 25.7 | % | 1,852 | (2.9) | % | 4,809 | 4,810 | — | % | |||||||||||||||||||||||||||||||||||||||
Gain recognized | 1,626 | 1,219 | 33.4 | % | 1,617 | 0.6 | % | 4,254 | 3,969 | 7.2 | % | |||||||||||||||||||||||||||||||||||||||
| Percentage to sold loan balance | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Premium | 7.8 | % | 8.4 | % | 6.4 | % | 7.8 | % | 6.6 | % | ||||||||||||||||||||||||||||||||||||||||
| Gain | 7.1 | % | 7.1 | % | 5.6 | % | 6.9 | % | 5.5 | % | ||||||||||||||||||||||||||||||||||||||||
| Loss on sale of other loans | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Sold loan balance | $ | — | $ | 1,071 | (100.0) | % | $ | — | — | % | $ | 1,071 | $ | — | NA | |||||||||||||||||||||||||||||||||||
| Loss recognized | — | (37) | (100.0) | % | — | — | % | (37) | — | NA | ||||||||||||||||||||||||||||||||||||||||
The other loan sold during the previous quarter of $1.1 million was a commercial property loan, which was transferred to loans held-for-sale from loans held-for-investment during the first quarter of 2026.
Loan Servicing Income. The Company services SBA loans and certain residential property loans sold to the secondary market. The following table presents information on loan servicing income for the periods indicated:
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||
| ($ in thousands) | 9/30/2026 | 6/30/2026 | % Change | 9/30/2025 | % Change | 9/30/2026 | 9/30/2025 | % Change | ||||||||||||||||||||||||||||||||||||||||||
| Loan servicing income | ||||||||||||||||||||||||||||||||||||||||||||||||||
Servicing income received | $ | 1,215 | $ | 1,243 | (2.3) | % | $ | 1,247 | (2.6) | % | $ | 3,676 | $ | 3,771 | (2.5) | % | ||||||||||||||||||||||||||||||||||
Servicing assets amortization | (565) | (441) | 28.1 | % | (528) | 7.0 | % | (1,423) | (1,567) | (9.2) | % | |||||||||||||||||||||||||||||||||||||||
| Loan servicing income | $ | 650 | $ | 802 | (19.0) | % | $ | 719 | (9.6) | % | $ | 2,253 | $ | 2,204 | 2.2 | % | ||||||||||||||||||||||||||||||||||
Underlying loans at end of period | $ | 497,197 | $ | 503,429 | (1.2) | % | $ | 518,309 | (4.1) | % | $ | 497,197 | $ | 518,309 | (4.1) | % | ||||||||||||||||||||||||||||||||||
5
Noninterest Expense
The following table presents the components of noninterest expense for the periods indicated:
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||
| ($ in thousands) | 9/30/2026 | 6/30/2026 | % Change | 9/30/2025 | % Change | 9/30/2026 | 9/30/2025 | % Change | ||||||||||||||||||||||||||||||||||||||||||
Salaries and employee benefits | $ | 10,026 | $ | 9,551 | 5.0 | % | $ | 9,293 | 7.9 | % | $ | 29,297 | $ | 27,212 | 7.7 | % | ||||||||||||||||||||||||||||||||||
Occupancy and equipment | 2,283 | 2,369 | (3.6) | % | 2,372 | (3.8) | % | 6,929 | 7,040 | (1.6) | % | |||||||||||||||||||||||||||||||||||||||
Professional fees | 834 | 645 | 29.3 | % | 541 | 54.2 | % | 2,013 | 1,974 | 2.0 | % | |||||||||||||||||||||||||||||||||||||||
Marketing and business promotion | 636 | 446 | 42.6 | % | 669 | (4.9) | % | 1,538 | 1,509 | 1.9 | % | |||||||||||||||||||||||||||||||||||||||
Data processing | 359 | 342 | 5.0 | % | 333 | 7.8 | % | 1,038 | 983 | 5.6 | % | |||||||||||||||||||||||||||||||||||||||
Director fees and expenses | 224 | 223 | 0.4 | % | 223 | 0.4 | % | 670 | 674 | (0.6) | % | |||||||||||||||||||||||||||||||||||||||
Regulatory assessments | 386 | 368 | 4.9 | % | 373 | 3.5 | % | 1,115 | 1,075 | 3.7 | % | |||||||||||||||||||||||||||||||||||||||
| Other expense | 1,304 | 1,169 | 11.5 | % | 1,065 | 22.4 | % | 3,379 | 3,705 | (8.8) | % | |||||||||||||||||||||||||||||||||||||||
Total noninterest expense | $ | 16,052 | $ | 15,113 | 6.2 | % | $ | 14,869 | 8.0 | % | $ | 45,979 | $ | 44,172 | 4.1 | % | ||||||||||||||||||||||||||||||||||
Salaries and Employee Benefits. The increase for the current quarter compared with the previous quarter was primarily due to increases in wages, incentives tied to sales of SBA loans, vacation accrual and group insurance. The increases for the current quarter and year-to-date period compared with the same periods of 2025 were primarily due to increases in wages, incentives tied to sales of SBA loans, vacation accrual and group insurance, partially offset by an increase in direct loan origination cost, which offsets and defers the recognition of salaries and benefits expense. The number of full-time equivalent employees was 276, 274 and 270 as of September 30, 2026, June 30, 2026 and September 30, 2025, respectively.
Professional Fees. The increases for the current quarter compared with the previous and year-ago quarters were due to increases in legal fees and internal audit fees. The increase for the current year-to-date period compared with the previous year-to-date period was primarily due to the increases in legal fees and internal audit during the current year-to-date period, partially offset by additional professional fees incurred related to evaluating the accounting for a preferred stock purchase option during the previous year-to-date period.
Marketing and Business Promotion. The increase for the current quarter compared with the previous quarter was primarily due to an increase in advertising.
Other Expense. The increases for the current quarter compared with the previous and year-ago quarter were primarily due to an increase in legal settlements related expenses, partially offset by a decrease in office operating expense. The decrease for the current year-to-date period compared with the previous year-to-date period was primarily due to impairments on operating lease assets of $238 thousand for sublease contracts and a decrease in office operating expense, partially offset by an increase in legal settlement related expenses.
6
Balance Sheet (Unaudited)
Total assets were $3.54 billion at September 30, 2026, an increase of $67.5 million, or 1.9%, from $3.47 billion at June 30, 2026, an increase of $255.9 million, or 7.8%, from $3.28 billion at December 31, 2025, and an increase of $174.2 million, or 5.2%, from $3.36 billion at September 30, 2025. The increase for the current quarter was primarily due to an increase in total cash and cash equivalents, partially offset by a decrease in loans held-for-investment. The increase for the current year was primarily due to increases in total cash and cash equivalents, loans held-for-investment and other assets. During the current year, the Company invested $8.0 million in qualified affordable housing projects.
Loans
The following table presents a composition of total loans (includes both loans held-for-sale and loans held-for-investment) as of the dates indicated:
| ($ in thousands) | 9/30/2026 | 6/30/2026 | % Change | 12/31/2025 | % Change | 9/30/2025 | % Change | |||||||||||||||||||||||||||||||||||||
| Commercial real estate: | ||||||||||||||||||||||||||||||||||||||||||||
| Commercial property | $ | 1,100,476 | $ | 1,120,171 | (1.8) | % | $ | 1,071,396 | 2.7 | % | $ | 1,039,965 | 5.8 | % | ||||||||||||||||||||||||||||||
| Business property | 650,596 | 697,627 | (6.7) | % | 638,063 | 2.0 | % | 639,596 | 1.7 | % | ||||||||||||||||||||||||||||||||||
| Multifamily | 213,592 | 208,797 | 2.3 | % | 175,579 | 21.7 | % | 172,098 | 24.1 | % | ||||||||||||||||||||||||||||||||||
| Construction | 11,142 | 11,121 | 0.2 | % | 18,561 | (40.0) | % | 25,911 | (57.0) | % | ||||||||||||||||||||||||||||||||||
| Total commercial real estate | 1,975,806 | 2,037,716 | (3.0) | % | 1,903,599 | 3.8 | % | 1,877,570 | 5.2 | % | ||||||||||||||||||||||||||||||||||
| Commercial and industrial | 449,325 | 494,944 | (9.2) | % | 508,662 | (11.7) | % | 465,424 | (3.5) | % | ||||||||||||||||||||||||||||||||||
| Consumer: | ||||||||||||||||||||||||||||||||||||||||||||
| Residential mortgage | 414,487 | 393,414 | 5.4 | % | 401,337 | 3.3 | % | 401,653 | 3.2 | % | ||||||||||||||||||||||||||||||||||
| Other consumer | 5,238 | 5,945 | (11.9) | % | 6,802 | (23.0) | % | 7,867 | (33.4) | % | ||||||||||||||||||||||||||||||||||
| Total consumer | 419,725 | 399,359 | 5.1 | % | 408,139 | 2.8 | % | 409,520 | 2.5 | % | ||||||||||||||||||||||||||||||||||
| Loans held-for-investment | 2,844,856 | 2,932,019 | (3.0) | % | 2,820,400 | 0.9 | % | 2,752,514 | 3.4 | % | ||||||||||||||||||||||||||||||||||
| Loans held-for-sale | 2,318 | 2,937 | (21.1) | % | 12,077 | (80.8) | % | 9,634 | (75.9) | % | ||||||||||||||||||||||||||||||||||
| Total loans | $ | 2,847,174 | $ | 2,934,956 | (3.0) | % | $ | 2,832,477 | 0.5 | % | $ | 2,762,148 | 3.1 | % | ||||||||||||||||||||||||||||||
| SBA loans included in: | ||||||||||||||||||||||||||||||||||||||||||||
| Loans held-for-investment | $ | 148,641 | $ | 145,457 | 2.2 | % | $ | 146,549 | 1.4 | % | $ | 151,766 | (2.1) | % | ||||||||||||||||||||||||||||||
| Loans held-for-sale | $ | 2,318 | $ | 2,937 | (21.1) | % | $ | 12,077 | (80.8) | % | $ | 9,634 | (75.9) | % | ||||||||||||||||||||||||||||||
| ACL on loans | $ | 34,087 | $ | 34,738 | (1.9) | % | $ | 33,381 | 2.1 | % | $ | 32,960 | 3.4 | % | ||||||||||||||||||||||||||||||
| ACL on loans to loans held-for-investment | 1.20 | % | 1.18 | % | 1.18 | % | 1.20 | % | ||||||||||||||||||||||||||||||||||||
The decrease in loans held-for-investment for the current quarter was primarily due to pay-downs and pay-offs of term loans of $175.2 million, net decrease of lines of credit of $37.6 million, and charge-offs of $35 thousand, partially offset by new funding of term loans of $125.6 million. The increase for the current year-to-date period was primarily due to new funding of term loans of $416.5 million, partially offset by pay-downs and pay-offs of term loans of $329.6 million, net decrease of lines of credit of $61.2 million, a loan transferred to loans held-for-sale of $1.1 million, and charge-offs of $130 thousand.
The decrease in loans held-for-sale for the current quarter was primarily due to sales of $23.0 million and pay-downs of $52 thousand, partially offset by new funding of $22.5 million. The decrease for the current year-to-date period was primarily due to sales of $63.0 million and pay-downs of $310 thousand, partially offset by new funding of $52.5 million and a loan transferred from loans held-for-investment of $1.1 million.
The following table presents a composition of off-balance sheet credit exposure as of the dates indicated:
| ($ in thousands) | 9/30/2026 | 6/30/2026 | % Change | 12/31/2025 | % Change | 9/30/2025 | % Change | |||||||||||||||||||||||||||||||||||||
| Commercial property | $ | 12,270 | $ | 10,069 | 21.9 | % | $ | 11,344 | 8.2 | % | $ | 13,772 | (10.9) | % | ||||||||||||||||||||||||||||||
| Business property | 7,425 | 8,297 | (10.5) | % | 7,569 | (1.9) | % | 10,740 | (30.9) | % | ||||||||||||||||||||||||||||||||||
| Construction | 3,011 | 3,022 | (0.4) | % | 5,229 | (42.4) | % | 7,688 | (60.8) | % | ||||||||||||||||||||||||||||||||||
| Commercial and industrial | 374,639 | 335,523 | 11.7 | % | 342,593 | 9.4 | % | 373,560 | 0.3 | % | ||||||||||||||||||||||||||||||||||
| Other consumer | 1,535 | 1,536 | (0.1) | % | 1,347 | 14.0 | % | 1,357 | 13.1 | % | ||||||||||||||||||||||||||||||||||
| Total commitments to extend credit | 398,880 | 358,447 | 11.3 | % | 368,082 | 8.4 | % | 407,117 | (2.0) | % | ||||||||||||||||||||||||||||||||||
| Letters of credit | 15,733 | 7,984 | 97.1 | % | 7,330 | 114.6 | % | 7,074 | 122.4 | % | ||||||||||||||||||||||||||||||||||
| Total off-balance sheet credit exposure | $ | 414,613 | $ | 366,431 | 13.1 | % | $ | 375,412 | 10.4 | % | $ | 414,191 | 0.1 | % | ||||||||||||||||||||||||||||||
7
Credit Quality
The following table presents a summary of non-performing loans and assets, and classified assets as of the dates indicated:
| ($ in thousands) | 9/30/2026 | 6/30/2026 | % Change | 12/31/2025 | % Change | 9/30/2025 | % Change | |||||||||||||||||||||||||||||||||||||
| Nonaccrual loans | ||||||||||||||||||||||||||||||||||||||||||||
| Commercial real estate: | ||||||||||||||||||||||||||||||||||||||||||||
| Commercial property | $ | 4,642 | $ | 1,331 | 248.8 | % | $ | 1,403 | 230.9 | % | $ | 1,448 | 220.6 | % | ||||||||||||||||||||||||||||||
| Business property | 1,598 | 1,330 | 20.2 | % | 938 | 70.4 | % | 962 | 66.1 | % | ||||||||||||||||||||||||||||||||||
| Total commercial real estate | 6,240 | 2,661 | 134.5 | % | 2,341 | 166.6 | % | 2,410 | 158.9 | % | ||||||||||||||||||||||||||||||||||
| Commercial and industrial | 652 | 607 | 7.4 | % | 161 | 305.0 | % | 378 | 72.5 | % | ||||||||||||||||||||||||||||||||||
| Consumer: | ||||||||||||||||||||||||||||||||||||||||||||
| Residential mortgage | 5,355 | 5,446 | (1.7) | % | 5,403 | (0.9) | % | 5,370 | (0.3) | % | ||||||||||||||||||||||||||||||||||
| Other consumer | 3 | 6 | (50.0) | % | 5 | (40.0) | % | — | NM | |||||||||||||||||||||||||||||||||||
| Total consumer | 5,358 | 5,452 | (1.7) | % | 5,408 | (0.9) | % | 5,370 | (0.2) | % | ||||||||||||||||||||||||||||||||||
Total nonaccrual loans held-for-investment | 12,250 | 8,720 | 40.5 | % | 7,910 | 54.9 | % | 8,158 | 50.2 | % | ||||||||||||||||||||||||||||||||||
Loans past due 90 days or more and still accruing | — | — | — | % | — | — | % | — | — | % | ||||||||||||||||||||||||||||||||||
| Non-performing loans (“NPLs”) | 12,250 | 8,720 | 40.5 | % | 7,910 | 54.9 | % | 8,158 | 50.2 | % | ||||||||||||||||||||||||||||||||||
| NPLs held-for-sale | — | — | — | % | — | — | % | — | — | % | ||||||||||||||||||||||||||||||||||
| Total NPLs | 12,250 | 8,720 | 40.5 | % | 7,910 | 54.9 | % | 8,158 | 50.2 | % | ||||||||||||||||||||||||||||||||||
Other real estate owned (“OREO”) | — | — | — | % | — | — | % | — | — | % | ||||||||||||||||||||||||||||||||||
Non-performing assets (“NPAs”) | $ | 12,250 | $ | 8,720 | 40.5 | % | $ | 7,910 | 54.9 | % | $ | 8,158 | 50.2 | % | ||||||||||||||||||||||||||||||
| Loans past due and still accruing | ||||||||||||||||||||||||||||||||||||||||||||
Past due 30 to 59 days | $ | 604 | $ | 339 | 78.2 | % | $ | 943 | (35.9) | % | $ | 1,548 | (61.0) | % | ||||||||||||||||||||||||||||||
Past due 60 to 89 days | 48 | 55 | (12.7) | % | 12 | 300.0 | % | — | NM | |||||||||||||||||||||||||||||||||||
Past due 90 days or more | — | — | — | % | — | — | % | — | — | % | ||||||||||||||||||||||||||||||||||
Total loans past due and still accruing | $ | 652 | $ | 394 | 65.5 | % | 955 | (31.7) | % | $ | 1,548 | (57.9) | % | |||||||||||||||||||||||||||||||
| Special mention loans | $ | 6,368 | $ | 6,412 | (0.7) | % | $ | 6,435 | (1.0) | % | $ | 6,477 | (1.7) | % | ||||||||||||||||||||||||||||||
Classified assets | ||||||||||||||||||||||||||||||||||||||||||||
| Classified loans held-for-investment | $ | 13,633 | $ | 10,525 | 29.5 | % | $ | 9,159 | 48.8 | % | $ | 10,172 | 34.0 | % | ||||||||||||||||||||||||||||||
| Classified loans held-for-sale | — | — | — | % | — | — | % | — | — | % | ||||||||||||||||||||||||||||||||||
OREO | — | — | — | % | — | — | % | — | — | % | ||||||||||||||||||||||||||||||||||
Classified assets | $ | 13,633 | $ | 10,525 | 29.5 | % | $ | 9,159 | 48.8 | % | $ | 10,172 | 34.0 | % | ||||||||||||||||||||||||||||||
| NPLs to loans held-for-investment | 0.43 | % | 0.30 | % | 0.28 | % | 0.30 | % | ||||||||||||||||||||||||||||||||||||
NPAs to total assets | 0.35 | % | 0.25 | % | 0.24 | % | 0.24 | % | ||||||||||||||||||||||||||||||||||||
Classified assets to total assets | 0.39 | % | 0.30 | % | 0.28 | % | 0.30 | % | ||||||||||||||||||||||||||||||||||||
Allowance for Credit Losses
The following table presents activity in ACL for the periods indicated:
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||
| ($ in thousands) | 9/30/2026 | 6/30/2026 | % Change | 9/30/2025 | % Change | 9/30/2026 | 9/30/2025 | % Change | ||||||||||||||||||||||||||||||||||||||||||
| ACL on loans | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Balance at beginning of period | $ | 34,738 | $ | 33,943 | 2.3 | % | $ | 33,554 | 3.5 | % | $ | 33,381 | $ | 30,628 | 9.0 | % | ||||||||||||||||||||||||||||||||||
| Charge-offs | (35) | (19) | 84.2 | % | (454) | (92.3) | % | (130) | (927) | (86.0) | % | |||||||||||||||||||||||||||||||||||||||
| Recoveries | 35 | 16 | 118.8 | % | 288 | (87.8) | % | 71 | 375 | (81.1) | % | |||||||||||||||||||||||||||||||||||||||
| Provision (reversal) for credit losses on loans | (651) | 798 | NM | (428) | 52.1 | % | 765 | 2,884 | (73.5) | % | ||||||||||||||||||||||||||||||||||||||||
| Balance at end of period | $ | 34,087 | $ | 34,738 | (1.9) | % | $ | 32,960 | 3.4 | % | $ | 34,087 | $ | 32,960 | 3.4 | % | ||||||||||||||||||||||||||||||||||
| ACL on off-balance sheet credit exposure | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Balance at beginning of period | $ | 1,520 | $ | 1,392 | 9.2 | % | $ | 1,263 | 20.3 | % | $ | 1,543 | $ | 1,190 | 29.7 | % | ||||||||||||||||||||||||||||||||||
| Provision (reversal) for credit losses on off-balance sheet credit exposure | (54) | 128 | NM | 47 | NM | (77) | 120 | NM | ||||||||||||||||||||||||||||||||||||||||||
| Balance at end of period | $ | 1,466 | $ | 1,520 | (3.6) | % | $ | 1,310 | 11.9 | % | $ | 1,466 | $ | 1,310 | 11.9 | % | ||||||||||||||||||||||||||||||||||
8
Investment Securities
Total investment securities were $190.2 million at September 30, 2026, an increase of $5.9 million, or 3.2%, from $184.3 million at June 30, 2026, an increase of $30.2 million, or 18.9%, from $160.0 million at December 31, 2025, and an increase of $39.9 million, or 26.6%, from $150.3 million at September 30, 2025. The increase for the current quarter was primarily due to purchases of $25.9 million, partially offset by principal pay-downs of $11.7 million, a fair value decrease of $8.3 million and net premium amortization of $42 thousand. The increase for the current year-to-date period was primarily due to purchases of $66.9 million, partially offset by principal pay-downs of $26.5 million, a fair value decrease of $10.0 million and net premium amortization of $114 thousand.
Deposits
The following table presents the Company’s deposit mix as of the dates indicated:
| 9/30/2026 | 6/30/2026 | 12/31/2025 | 9/30/2025 | |||||||||||||||||||||||||||||||||||||||||||||||
| ($ in thousands) | Amount | % to Total | Amount | % to Total | Amount | % to Total | Amount | % to Total | ||||||||||||||||||||||||||||||||||||||||||
| Noninterest-bearing demand deposits | $ | 579,783 | 18.8 | % | $ | 569,367 | 19.5 | % | $ | 555,645 | 19.9 | % | $ | 551,312 | 18.9 | % | ||||||||||||||||||||||||||||||||||
| Interest-bearing deposits: | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Savings, NOW and money market accounts | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Retail | 816,128 | 26.4 | % | 706,940 | 24.1 | % | 676,074 | 24.1 | % | 669,373 | 22.9 | % | ||||||||||||||||||||||||||||||||||||||
| Wholesale - brokered | 1 | 0.1 | % | 1 | 0.1 | % | 1 | 0.1 | % | 1 | 0.1 | % | ||||||||||||||||||||||||||||||||||||||
| Time deposits of $250,000 or less | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Retail | 587,744 | 19.2 | % | 578,814 | 19.8 | % | 574,519 | 20.6 | % | 580,300 | 19.9 | % | ||||||||||||||||||||||||||||||||||||||
| Wholesale - brokered | 245,829 | 7.9 | % | 245,829 | 8.4 | % | 280,540 | 10.1 | % | 381,000 | 13.0 | % | ||||||||||||||||||||||||||||||||||||||
| Time deposits of more than $250,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Retail | 727,108 | 23.7 | % | 701,708 | 24.0 | % | 648,633 | 23.1 | % | 671,516 | 23.1 | % | ||||||||||||||||||||||||||||||||||||||
| Wholesale - state | 120,000 | 3.9 | % | 120,000 | 4.1 | % | 60,000 | 2.1 | % | 60,000 | 2.1 | % | ||||||||||||||||||||||||||||||||||||||
| Total interest-bearing deposits | 2,496,810 | 81.2 | % | 2,353,292 | 80.5 | % | 2,239,767 | 80.1 | % | 2,362,190 | 81.1 | % | ||||||||||||||||||||||||||||||||||||||
| Total deposits | $ | 3,076,593 | 100.0 | % | $ | 2,922,659 | 100.0 | % | $ | 2,795,412 | 100.0 | % | $ | 2,913,502 | 100.0 | % | ||||||||||||||||||||||||||||||||||
| Total retail deposits | $ | 2,710,763 | 88.1 | % | $ | 2,556,829 | 87.4 | % | $ | 2,454,871 | 87.7 | % | $ | 2,472,501 | 84.8 | % | ||||||||||||||||||||||||||||||||||
| Total wholesale deposits | $ | 365,830 | 11.9 | % | $ | 365,830 | 12.6 | % | $ | 340,541 | 12.3 | % | $ | 441,001 | 15.2 | % | ||||||||||||||||||||||||||||||||||
| Estimated total deposits not covered by deposit insurance | $ | 1,527,426 | 49.6 | % | $ | 1,363,432 | 46.7 | % | $ | 1,270,159 | 45.4 | % | $ | 1,275,127 | 43.8 | % | ||||||||||||||||||||||||||||||||||
The increase in retail time deposits for the current quarter was primarily due to new accounts of $115.6 million, renewals of matured accounts of $303.8 million and balance increases of $17.8 million, partially offset by matured and closed accounts of $402.9 million. The increase for the current year-to-date period was primarily due to new accounts of $325.0 million, renewals of the matured accounts of $997.8 million and balance increases of $45.3 million, partially offset by matured and closed accounts of $1.28 billion.
9
Liquidity
The following table presents a summary of the Company’s liquidity position as of the dates indicated:
| ($ in thousands) | 9/30/2026 | 12/31/2025 | % Change | |||||||||||||||||
Cash and cash equivalents | $ | 413,199 | $ | 207,142 | 99.5 | % | ||||||||||||||
Cash and cash equivalents to total assets | 11.7 | % | 6.3 | % | ||||||||||||||||
| Available borrowing capacity | ||||||||||||||||||||
FHLB advances | $ | 867,226 | $ | 840,607 | 3.2 | % | ||||||||||||||
Federal Reserve Discount Window | 941,227 | 841,563 | 11.8 | % | ||||||||||||||||
Overnight federal funds lines | 65,000 | 65,000 | — | % | ||||||||||||||||
Total | $ | 1,873,453 | $ | 1,747,170 | 7.2 | % | ||||||||||||||
Total available borrowing capacity to total assets | 53.0 | % | 53.2 | % | ||||||||||||||||
Shareholders’ Equity
Shareholders’ equity was $402.1 million at September 30, 2026, an increase of $1.7 million, or 0.4%, from $400.5 million at June 30, 2026, an increase of $12.1 million, or 3.1%, from $390.0 million at December 31, 2025, and an increase of $17.6 million, or 4.6%, from $384.5 million at September 30, 2025.
The increase for the current quarter was primarily due to net income and proceeds from stock option exercises of $341 thousand, partially offset by repurchases of common stock of $2.0 million, cash dividends declared on common stock of $3.1 million and preferred stock dividends of $86 thousand, and an increase in accumulated other comprehensive loss of $5.9 million. The increase for the current year-to-date period was primarily due to net income and proceeds from stock option exercises of $654 thousand, partially offset by cash dividends declared on common stock of $9.3 million, repurchases of common stock of $5.8 million and preferred stock dividends of $259 thousand, and an increase in accumulated other comprehensive loss of $7.2 million.
Stock Repurchases
During the current year-to-date period, the Company repurchased and retired 219,526 shares of common stock at a weighted-average price of $26.51, totaling $5.8 million under the stock repurchase program that was first announced in 2023 and extended in 2024 and 2025. This stock repurchase program had been completed as of July 23, 2026. On September 28, 2026, the Company’s Board of Directors approved a new stock repurchase program authorizing the repurchase of up to 700,000 shares of common stock through September 22, 2027. As of September 30, 2026, the Company is authorized to purchase 700,000 shares under this new stock repurchase program.
In 2025, the Company repurchased and retired 358,251 shares of common stock at a weighted-average price of $19.82, totaling $7.1 million.
Series C Preferred Stock
The Company paid dividends of $86 thousand and $259 thousand for the current quarter and year-to-date period, respectively.
Capital Ratios
The following table presents capital ratios for the Company and the Bank as of the dates indicated:
| 9/30/2026 | 6/30/2026 | 12/31/2025 | 9/30/2025 | Well Capitalized Minimum Requirements | ||||||||||||||||||||||||||||
PCB Bancorp | ||||||||||||||||||||||||||||||||
Common tier 1 capital (to risk-weighted assets) | 11.98 | % | 11.41 | % | 11.46 | % | 11.52 | % | 6.50 | % | ||||||||||||||||||||||
Total capital (to risk-weighted assets) | 15.63 | % | 14.98 | % | 15.13 | % | 15.24 | % | 10.00 | % | ||||||||||||||||||||||
Tier 1 capital (to risk-weighted assets) | 14.39 | % | 13.75 | % | 13.89 | % | 14.00 | % | 8.00 | % | ||||||||||||||||||||||
Tier 1 capital (to average assets) | 11.77 | % | 11.89 | % | 11.89 | % | 11.57 | % | 5.00 | % | ||||||||||||||||||||||
| PCB Bank | ||||||||||||||||||||||||||||||||
Common tier 1 capital (to risk-weighted assets) | 13.96 | % | 13.35 | % | 13.49 | % | 13.61 | % | 6.50 | % | ||||||||||||||||||||||
Total capital (to risk-weighted assets) | 15.20 | % | 14.58 | % | 14.72 | % | 14.85 | % | 10.00 | % | ||||||||||||||||||||||
Tier 1 capital (to risk-weighted assets) | 13.96 | % | 13.35 | % | 13.49 | % | 13.61 | % | 8.00 | % | ||||||||||||||||||||||
Tier 1 capital (to average assets) | 11.42 | % | 11.54 | % | 11.55 | % | 11.25 | % | 5.00 | % | ||||||||||||||||||||||
10
About PCB Bancorp
PCB Bancorp is the bank holding company for PCB Bank, a California state chartered bank, offering a full suite of commercial banking services to small to medium-sized businesses, individuals and professionals, primarily in Southern California, and predominantly in Korean-American and other minority communities.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements. These forward-looking statements represent plans, estimates, objectives, goals, guidelines, expectations, intentions, projections and statements of our beliefs concerning future events, business plans, objectives, expected operating results and the assumptions upon which those statements are based. Forward-looking statements include without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and are typically identified with words such as “may,” “could,” “should,” “will,” “would,” “believe,” “anticipate,” “estimate,” “expect,” “aim,” “intend,” “plan,” or words or phrases of similar meaning. We caution that forward-looking statements are based largely on our expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond our control, including but not limited to the health of the national and local economies including the impact on the Company and its customers resulting from any adverse developments in real estate markets, inflation levels and interest rates; the impacts of the conflicts in the Middle East on the national and global economies and markets; the impact of governmental monetary policy; any material weaknesses in the Company’s internal control over financial reporting that we have identified or may identify; the impacts of sanctions, tariffs and other trade policies of the United States and its global trading partners and tensions related to the same; the Company’s ability to maintain and grow its deposit base; loan demand and continued portfolio performance; the impact of adverse developments at other banks, including bank failures; changes to valuations of the Company’s assets and liabilities including the allowance for credit losses, earning assets, and intangible assets; the ability of the Company to manage liquidity; changes in the availability of liquidity sources including borrowing lines and the ability to pledge or sell certain assets; the Company's ability to attract and retain skilled employees; customers' service expectations; cyber-security risks; the Company's ability to successfully deploy new technology; acquisitions and branch and loan production office expansions; operational risks including the ability to detect and prevent errors and fraud; the effectiveness of the Company’s enterprise risk management framework; litigation costs and outcomes; changes in laws, rules, regulations, or interpretations to which the Company is subject; the effects of severe weather events, pandemics, wildfires and other disasters, other public health crises, acts of war or terrorism, and other external events on our business. These and other important factors are detailed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 and other filings the Company makes with the SEC, which are available without charge at the SEC’s website (http://www.sec.gov) and on the investor relations section of the Company’s website at www.mypcbbank.com. Actual results, performance or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements. Any forward-looking statements presented herein are made only as of the date of this press release, and the Company undertakes no obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise, except as required by law.
Contact:
Timothy Chang
Senior Executive Vice President & Chief Financial Officer
213-210-2000
11
PCB Bancorp and Subsidiary
Consolidated Balance Sheets (Unaudited)
($ in thousands, except share and per share data)
| 9/30/2026 | 6/30/2026 | % Change | 12/31/2025 | % Change | 9/30/2025 | % Change | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||||||||
Cash and due from banks | $ | 24,120 | $ | 30,896 | (21.9) | % | $ | 25,319 | (4.7) | % | $ | 24,366 | (1.0) | % | ||||||||||||||||||||||||||||||
| Interest-bearing deposits in other financial institutions | 389,079 | 234,301 | 66.1 | % | 181,823 | 114.0 | % | 345,132 | 12.7 | % | ||||||||||||||||||||||||||||||||||
Total cash and cash equivalents | 413,199 | 265,197 | 55.8 | % | 207,142 | 99.5 | % | 369,498 | 11.8 | % | ||||||||||||||||||||||||||||||||||
Securities available-for-sale, at fair value | 190,185 | 184,318 | 3.2 | % | 160,009 | 18.9 | % | 150,279 | 26.6 | % | ||||||||||||||||||||||||||||||||||
Loans held-for-sale | 2,318 | 2,937 | (21.1) | % | 12,077 | (80.8) | % | 9,634 | (75.9) | % | ||||||||||||||||||||||||||||||||||
| Loans held-for-investment | 2,844,856 | 2,932,019 | (3.0) | % | 2,820,400 | 0.9 | % | 2,752,514 | 3.4 | % | ||||||||||||||||||||||||||||||||||
| Allowance for credit losses on loans | (34,087) | (34,738) | (1.9) | % | (33,381) | 2.1 | % | (32,960) | 3.4 | % | ||||||||||||||||||||||||||||||||||
Net loans held-for-investment | 2,810,769 | 2,897,281 | (3.0) | % | 2,787,019 | 0.9 | % | 2,719,554 | 3.4 | % | ||||||||||||||||||||||||||||||||||
Premises and equipment, net | 7,021 | 7,296 | (3.8) | % | 8,194 | (14.3) | % | 8,604 | (18.4) | % | ||||||||||||||||||||||||||||||||||
Federal Home Loan Bank and other bank stock | 15,170 | 15,170 | — | % | 14,978 | 1.3 | % | 14,978 | 1.3 | % | ||||||||||||||||||||||||||||||||||
| Bank-owned life insurance | 33,638 | 33,351 | 0.9 | % | 32,796 | 2.6 | % | 32,525 | 3.4 | % | ||||||||||||||||||||||||||||||||||
Deferred tax assets, net | 10,140 | 9,977 | 1.6 | % | 9,210 | 10.1 | % | 7,164 | 41.5 | % | ||||||||||||||||||||||||||||||||||
Servicing assets | 5,644 | 5,655 | (0.2) | % | 5,627 | 0.3 | % | 5,883 | (4.1) | % | ||||||||||||||||||||||||||||||||||
Operating lease assets | 15,941 | 15,844 | 0.6 | % | 17,158 | (7.1) | % | 17,136 | (7.0) | % | ||||||||||||||||||||||||||||||||||
Accrued interest receivable | 10,951 | 10,574 | 3.6 | % | 10,669 | 2.6 | % | 10,829 | 1.1 | % | ||||||||||||||||||||||||||||||||||
Other assets | 22,696 | 22,524 | 0.8 | % | 16,892 | 34.4 | % | 17,422 | 30.3 | % | ||||||||||||||||||||||||||||||||||
Total assets | $ | 3,537,672 | $ | 3,470,124 | 1.9 | % | $ | 3,281,771 | 7.8 | % | $ | 3,363,506 | 5.2 | % | ||||||||||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||||||||
| Deposits | ||||||||||||||||||||||||||||||||||||||||||||
Noninterest-bearing demand | $ | 579,783 | $ | 569,367 | 1.8 | % | $ | 555,645 | 4.3 | % | $ | 551,312 | 5.2 | % | ||||||||||||||||||||||||||||||
Savings, NOW and money market accounts | 816,129 | 706,941 | 15.4 | % | 676,075 | 20.7 | % | 669,374 | 21.9 | % | ||||||||||||||||||||||||||||||||||
Time deposits of $250,000 or less | 833,573 | 824,643 | 1.1 | % | 855,059 | (2.5) | % | 961,299 | (13.3) | % | ||||||||||||||||||||||||||||||||||
Time deposits of more than $250,000 | 847,108 | 821,708 | 3.1 | % | 708,633 | 19.5 | % | 731,517 | 15.8 | % | ||||||||||||||||||||||||||||||||||
Total deposits | 3,076,593 | 2,922,659 | 5.3 | % | 2,795,412 | 10.1 | % | 2,913,502 | 5.6 | % | ||||||||||||||||||||||||||||||||||
| Other short-term borrowings | — | 10,000 | (100.0) | % | — | — | % | — | — | % | ||||||||||||||||||||||||||||||||||
Federal Home Loan Bank advances | — | 80,000 | (100.0) | % | 34,000 | (100.0) | % | — | — | % | ||||||||||||||||||||||||||||||||||
Operating lease liabilities | 17,820 | 17,701 | 0.7 | % | 18,996 | (6.2) | % | 18,961 | (6.0) | % | ||||||||||||||||||||||||||||||||||
Accrued interest payable and other liabilities | 41,129 | 39,301 | 4.7 | % | 43,337 | (5.1) | % | 46,542 | (11.6) | % | ||||||||||||||||||||||||||||||||||
Total liabilities | 3,135,542 | 3,069,661 | 2.1 | % | 2,891,745 | 8.4 | % | 2,979,005 | 5.3 | % | ||||||||||||||||||||||||||||||||||
Commitments and contingent liabilities | ||||||||||||||||||||||||||||||||||||||||||||
Shareholders’ equity | ||||||||||||||||||||||||||||||||||||||||||||
| Preferred stock | 69,141 | 69,141 | — | % | 69,141 | — | % | 69,141 | — | % | ||||||||||||||||||||||||||||||||||
| Common stock | 134,767 | 136,237 | (1.1) | % | 139,256 | (3.2) | % | 140,580 | (4.1) | % | ||||||||||||||||||||||||||||||||||
Retained earnings | 210,245 | 201,214 | 4.5 | % | 186,485 | 12.7 | % | 180,189 | 16.7 | % | ||||||||||||||||||||||||||||||||||
| Accumulated other comprehensive loss, net | (12,023) | (6,129) | 96.2 | % | (4,856) | 147.6 | % | (5,409) | 122.3 | % | ||||||||||||||||||||||||||||||||||
Total shareholders’ equity | 402,130 | 400,463 | 0.4 | % | 390,026 | 3.1 | % | 384,501 | 4.6 | % | ||||||||||||||||||||||||||||||||||
Total liabilities and shareholders’ equity | $ | 3,537,672 | $ | 3,470,124 | 1.9 | % | $ | 3,281,771 | 7.8 | % | $ | 3,363,506 | 5.2 | % | ||||||||||||||||||||||||||||||
Outstanding common shares | 14,056,981 | 14,102,189 | 14,230,428 | 14,277,164 | ||||||||||||||||||||||||||||||||||||||||
Book value per common share (1) | $ | 28.61 | $ | 28.40 | $ | 27.41 | $ | 26.93 | ||||||||||||||||||||||||||||||||||||
TCE per common share (2) | $ | 23.69 | $ | 23.49 | $ | 22.55 | $ | 22.09 | ||||||||||||||||||||||||||||||||||||
Total loan to total deposit ratio | 92.54 | % | 100.42 | % | 101.33 | % | 94.81 | % | ||||||||||||||||||||||||||||||||||||
Noninterest-bearing deposits to total deposits | 18.84 | % | 19.48 | % | 19.88 | % | 18.92 | % | ||||||||||||||||||||||||||||||||||||
(1)The ratios are calculated by dividing total shareholders’ equity by the number of outstanding common shares. The Company had no intangible equity components for the presented periods.
(2)Non-GAAP. See “Non-GAAP Financial Measures” for a reconciliation of this measure to its most comparable GAAP measure.
12
PCB Bancorp and Subsidiary
Consolidated Statements of Income (Unaudited)
($ in thousands, except share and per share data)
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||
| 9/30/2026 | 6/30/2026 | % Change | 9/30/2025 | % Change | 9/30/2026 | 9/30/2025 | % Change | |||||||||||||||||||||||||||||||||||||||||||
| Interest and dividend income | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Loans, including fees | $ | 47,154 | $ | 45,886 | 2.8 | % | $ | 46,193 | 2.1 | % | $ | 137,524 | $ | 134,697 | 2.1 | % | ||||||||||||||||||||||||||||||||||
| Investment securities | 2,073 | 1,795 | 15.5 | % | 1,474 | 40.6 | % | 5,442 | 4,344 | 25.3 | % | |||||||||||||||||||||||||||||||||||||||
| Other interest-earning assets | 3,255 | 2,359 | 38.0 | % | 3,804 | (14.4) | % | 8,387 | 8,630 | (2.8) | % | |||||||||||||||||||||||||||||||||||||||
| Total interest income | 52,482 | 50,040 | 4.9 | % | 51,471 | 2.0 | % | 151,353 | 147,671 | 2.5 | % | |||||||||||||||||||||||||||||||||||||||
| Interest expense | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Deposits | 23,242 | 21,795 | 6.6 | % | 23,995 | (3.1) | % | 66,515 | 69,064 | (3.7) | % | |||||||||||||||||||||||||||||||||||||||
| Other borrowings | 421 | 751 | (43.9) | % | 498 | (15.5) | % | 1,715 | 1,356 | 26.5 | % | |||||||||||||||||||||||||||||||||||||||
Total interest expense | 23,663 | 22,546 | 5.0 | % | 24,493 | (3.4) | % | 68,230 | 70,420 | (3.1) | % | |||||||||||||||||||||||||||||||||||||||
Net interest income | 28,819 | 27,494 | 4.8 | % | 26,978 | 6.8 | % | 83,123 | 77,251 | 7.6 | % | |||||||||||||||||||||||||||||||||||||||
| Provision (reversal) for credit losses | (705) | 926 | NM | (381) | 85.0 | % | 688 | 3,004 | (77.1) | % | ||||||||||||||||||||||||||||||||||||||||
| Net interest income after provision (reversal) for credit losses | 29,524 | 26,568 | 11.1 | % | 27,359 | 7.9 | % | 82,435 | 74,247 | 11.0 | % | |||||||||||||||||||||||||||||||||||||||
| Noninterest income | ||||||||||||||||||||||||||||||||||||||||||||||||||
Gain on sale of loans | 1,626 | 1,182 | 37.6 | % | 1,617 | 0.6 | % | 4,217 | 3,969 | 6.2 | % | |||||||||||||||||||||||||||||||||||||||
Service charges and fees on deposits | 457 | 450 | 1.6 | % | 377 | 21.2 | % | 1,337 | 1,124 | 19.0 | % | |||||||||||||||||||||||||||||||||||||||
Loan servicing income | 650 | 802 | (19.0) | % | 719 | (9.6) | % | 2,253 | 2,204 | 2.2 | % | |||||||||||||||||||||||||||||||||||||||
| BOLI income | 287 | 281 | 2.1 | % | 259 | 10.8 | % | 842 | 759 | 10.9 | % | |||||||||||||||||||||||||||||||||||||||
Other income | 553 | 488 | 13.3 | % | 442 | 25.1 | % | 1,501 | 1,235 | 21.5 | % | |||||||||||||||||||||||||||||||||||||||
Total noninterest income | 3,573 | 3,203 | 11.6 | % | 3,414 | 4.7 | % | 10,150 | 9,291 | 9.2 | % | |||||||||||||||||||||||||||||||||||||||
| Noninterest expense | ||||||||||||||||||||||||||||||||||||||||||||||||||
Salaries and employee benefits | 10,026 | 9,551 | 5.0 | % | 9,293 | 7.9 | % | 29,297 | 27,212 | 7.7 | % | |||||||||||||||||||||||||||||||||||||||
Occupancy and equipment | 2,283 | 2,369 | (3.6) | % | 2,372 | (3.8) | % | 6,929 | 7,040 | (1.6) | % | |||||||||||||||||||||||||||||||||||||||
Professional fees | 834 | 645 | 29.3 | % | 541 | 54.2 | % | 2,013 | 1,974 | 2.0 | % | |||||||||||||||||||||||||||||||||||||||
| Marketing and business promotion | 636 | 446 | 42.6 | % | 669 | (4.9) | % | 1,538 | 1,509 | 1.9 | % | |||||||||||||||||||||||||||||||||||||||
Data processing | 359 | 342 | 5.0 | % | 333 | 7.8 | % | 1,038 | 983 | 5.6 | % | |||||||||||||||||||||||||||||||||||||||
Director fees and expenses | 224 | 223 | 0.4 | % | 223 | 0.4 | % | 670 | 674 | (0.6) | % | |||||||||||||||||||||||||||||||||||||||
Regulatory assessments | 386 | 368 | 4.9 | % | 373 | 3.5 | % | 1,115 | 1,075 | 3.7 | % | |||||||||||||||||||||||||||||||||||||||
| Other expense | 1,304 | 1,169 | 11.5 | % | 1,065 | 22.4 | % | 3,379 | 3,705 | (8.8) | % | |||||||||||||||||||||||||||||||||||||||
Total noninterest expense | 16,052 | 15,113 | 6.2 | % | 14,869 | 8.0 | % | 45,979 | 44,172 | 4.1 | % | |||||||||||||||||||||||||||||||||||||||
Income before income taxes | 17,045 | 14,658 | 16.3 | % | 15,904 | 7.2 | % | 46,606 | 39,366 | 18.4 | % | |||||||||||||||||||||||||||||||||||||||
Income tax expense | 4,837 | 4,151 | 16.5 | % | 4,492 | 7.7 | % | 13,238 | 11,148 | 18.7 | % | |||||||||||||||||||||||||||||||||||||||
Net income | 12,208 | 10,507 | 16.2 | % | 11,412 | 7.0 | % | 33,368 | 28,218 | 18.3 | % | |||||||||||||||||||||||||||||||||||||||
| Preferred stock dividends | 86 | 87 | (1.1) | % | 86 | — | % | 259 | 213 | 21.6 | % | |||||||||||||||||||||||||||||||||||||||
| Net income available to common shareholders | $ | 12,122 | $ | 10,420 | 16.3 | % | $ | 11,326 | 7.0 | % | $ | 33,109 | $ | 28,005 | 18.2 | % | ||||||||||||||||||||||||||||||||||
Earnings per common share | ||||||||||||||||||||||||||||||||||||||||||||||||||
Basic | $ | 0.86 | $ | 0.73 | $ | 0.79 | $ | 2.34 | $ | 1.95 | ||||||||||||||||||||||||||||||||||||||||
Diluted | $ | 0.85 | $ | 0.73 | $ | 0.78 | $ | 2.32 | $ | 1.94 | ||||||||||||||||||||||||||||||||||||||||
Average common shares | ||||||||||||||||||||||||||||||||||||||||||||||||||
Basic | 13,972,293 | 14,107,290 | 14,201,054 | 14,073,270 | 14,228,524 | |||||||||||||||||||||||||||||||||||||||||||||
Diluted | 14,095,095 | 14,220,414 | 14,325,956 | 14,193,697 | 14,354,284 | |||||||||||||||||||||||||||||||||||||||||||||
Dividend paid per common share | $ | 0.22 | $ | 0.22 | $ | 0.20 | $ | 0.66 | $ | 0.60 | ||||||||||||||||||||||||||||||||||||||||
ROAA (1) | 1.38 | % | 1.24 | % | 1.35 | % | 1.31 | % | 1.17 | % | ||||||||||||||||||||||||||||||||||||||||
ROAE (1) | 12.03 | % | 10.55 | % | 11.92 | % | 11.18 | % | 10.10 | % | ||||||||||||||||||||||||||||||||||||||||
ROATCE (1), (2) | 14.42 | % | 12.65 | % | 14.46 | % | 13.42 | % | 12.30 | % | ||||||||||||||||||||||||||||||||||||||||
Efficiency ratio (3) | 49.56 | % | 49.23 | % | 48.92 | % | 49.30 | % | 51.04 | % | ||||||||||||||||||||||||||||||||||||||||
(1)Ratios are presented on an annualized basis.
(2)Non-GAAP. See “Non-GAAP Financial Measures” for a reconciliation of this measure to its most comparable GAAP measure.
(3)The ratios are calculated by dividing noninterest expense by the sum of net interest income and noninterest income.
13
PCB Bancorp and Subsidiary
Average Balance, Average Yield, and Average Rate (Unaudited)
($ in thousands)
| Three Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 9/30/2026 | 6/30/2026 | 9/30/2025 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Average Balance | Interest Income/ Expense | Avg. Yield/Rate(6) | Average Balance | Interest Income/ Expense | Avg. Yield/Rate(6) | Average Balance | Interest Income/ Expense | Avg. Yield/Rate(6) | ||||||||||||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Interest-earning assets | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total loans (1) | $ | 2,902,481 | $ | 47,154 | 6.45 | % | $ | 2,885,996 | $ | 45,886 | 6.38 | % | $ | 2,784,148 | $ | 46,193 | 6.58 | % | ||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities | 164,122 | 1,754 | 4.24 | % | 150,065 | 1,534 | 4.10 | % | 120,226 | 1,167 | 3.85 | % | ||||||||||||||||||||||||||||||||||||||||||||
Collateralized mortgage obligation | 17,019 | 158 | 3.68 | % | 17,713 | 163 | 3.69 | % | 19,957 | 197 | 3.92 | % | ||||||||||||||||||||||||||||||||||||||||||||
SBA loan pool securities | 3,356 | 25 | 2.96 | % | 3,695 | 29 | 3.15 | % | 4,686 | 41 | 3.47 | % | ||||||||||||||||||||||||||||||||||||||||||||
Municipal bonds (2) | 2,446 | 22 | 3.57 | % | 2,459 | 22 | 3.59 | % | 2,411 | 22 | 3.62 | % | ||||||||||||||||||||||||||||||||||||||||||||
| Corporate bonds | 8,369 | 114 | 5.40 | % | 4,784 | 47 | 3.94 | % | 4,804 | 47 | 3.88 | % | ||||||||||||||||||||||||||||||||||||||||||||
Other interest-earning assets | 311,417 | 3,255 | 4.15 | % | 249,717 | 2,359 | 3.79 | % | 327,637 | 3,804 | 4.61 | % | ||||||||||||||||||||||||||||||||||||||||||||
Total interest-earning assets | 3,409,210 | 52,482 | 6.11 | % | 3,314,429 | 50,040 | 6.06 | % | 3,263,869 | 51,471 | 6.26 | % | ||||||||||||||||||||||||||||||||||||||||||||
| Noninterest-earning assets | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cash and due from banks | 24,291 | 23,224 | 23,539 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| ACL on loans | (34,732) | (33,951) | (33,548) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Other assets | 104,124 | 99,850 | 100,728 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total noninterest-earning assets | 93,683 | 89,123 | 90,719 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 3,502,893 | $ | 3,403,552 | $ | 3,354,588 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Liabilities and Shareholders’ Equity | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Interest-bearing liabilities | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Deposits | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NOW and money market accounts | $ | 774,135 | 6,865 | 3.52 | % | $ | 683,731 | 5,872 | 3.44 | % | $ | 612,527 | 5,698 | 3.69 | % | |||||||||||||||||||||||||||||||||||||||||
Savings | 4,904 | 3 | 0.24 | % | 4,995 | 3 | 0.24 | % | 5,519 | 3 | 0.22 | % | ||||||||||||||||||||||||||||||||||||||||||||
Time deposits | 1,666,591 | 16,374 | 3.90 | % | 1,637,437 | 15,920 | 3.90 | % | 1,708,124 | 18,294 | 4.25 | % | ||||||||||||||||||||||||||||||||||||||||||||
Total interest-bearing deposits | 2,445,630 | 23,242 | 3.77 | % | 2,326,163 | 21,795 | 3.76 | % | 2,326,170 | 23,995 | 4.09 | % | ||||||||||||||||||||||||||||||||||||||||||||
| Other borrowings | 42,000 | 421 | 3.98 | % | 76,374 | 751 | 3.94 | % | 43,109 | 498 | 4.58 | % | ||||||||||||||||||||||||||||||||||||||||||||
Total interest-bearing liabilities | 2,487,630 | 23,663 | 3.77 | % | 2,402,537 | 22,546 | 3.76 | % | 2,369,279 | 24,493 | 4.10 | % | ||||||||||||||||||||||||||||||||||||||||||||
Noninterest-bearing liabilities | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noninterest-bearing demand | 554,348 | 544,048 | 541,243 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Other liabilities | 58,254 | 57,499 | 64,232 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total noninterest-bearing liabilities | 612,602 | 601,547 | 605,475 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities | 3,100,232 | 3,004,084 | 2,974,754 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total shareholders’ equity | 402,661 | 399,468 | 379,834 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities and shareholders’ equity | $ | 3,502,893 | $ | 3,403,552 | $ | 3,354,588 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest income | $ | 28,819 | $ | 27,494 | $ | 26,978 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest spread (3) | 2.34 | % | 2.30 | % | 2.16 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest margin (4) | 3.35 | % | 3.33 | % | 3.28 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total deposits | $ | 2,999,978 | $ | 23,242 | 3.07 | % | $ | 2,870,211 | $ | 21,795 | 3.05 | % | $ | 2,867,413 | $ | 23,995 | 3.32 | % | ||||||||||||||||||||||||||||||||||||||
Total funding (5) | $ | 3,041,978 | $ | 23,663 | 3.09 | % | $ | 2,946,585 | $ | 22,546 | 3.07 | % | $ | 2,910,522 | $ | 24,493 | 3.34 | % | ||||||||||||||||||||||||||||||||||||||
(1)Total loans include both loans held-for-sale and loans held-for-investment.
(2)The yield on municipal bonds has not been computed on a tax-equivalent basis.
(3)Net interest spread is calculated by subtracting average rate on interest-bearing liabilities from average yield on interest-earning assets.
(4)Net interest margin is calculated by dividing annualized net interest income by average interest-earning assets.
(5)Total funding is the sum of interest-bearing liabilities and noninterest-bearing deposits. The cost of total funding is calculated as annualized total interest expense divided by average total funding.
(6)Annualized.
14
PCB Bancorp and Subsidiary
Average Balance, Average Yield, and Average Rate (Unaudited)
($ in thousands)
Nine Months Ended | ||||||||||||||||||||||||||||||||||||||
| 9/30/2026 | 9/30/2025 | |||||||||||||||||||||||||||||||||||||
| Average Balance | Interest Income/ Expense | Avg. Yield/Rate(6) | Average Balance | Interest Income/ Expense | Avg. Yield/Rate(6) | |||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
| Interest-earning assets | ||||||||||||||||||||||||||||||||||||||
Total loans (1) | $ | 2,876,614 | $ | 137,524 | 6.39 | % | $ | 2,738,957 | $ | 134,697 | 6.58 | % | ||||||||||||||||||||||||||
Mortgage-backed securities | 148,525 | 4,593 | 4.13 | % | 117,040 | 3,387 | 3.87 | % | ||||||||||||||||||||||||||||||
Collateralized mortgage obligation | 17,720 | 490 | 3.70 | % | 20,530 | 610 | 3.97 | % | ||||||||||||||||||||||||||||||
SBA loan pool securities | 3,701 | 85 | 3.07 | % | 5,322 | 141 | 3.54 | % | ||||||||||||||||||||||||||||||
Municipal bonds (2) | 2,469 | 66 | 3.57 | % | 2,405 | 65 | 3.61 | % | ||||||||||||||||||||||||||||||
| Corporate bonds | 5,987 | 208 | 4.64 | % | 4,617 | 141 | 4.08 | % | ||||||||||||||||||||||||||||||
Other interest-earning assets | 266,040 | 8,387 | 4.21 | % | 246,396 | 8,630 | 4.68 | % | ||||||||||||||||||||||||||||||
Total interest-earning assets | 3,321,056 | 151,353 | 6.09 | % | 3,135,267 | 147,671 | 6.30 | % | ||||||||||||||||||||||||||||||
| Noninterest-earning assets | ||||||||||||||||||||||||||||||||||||||
| Cash and due from banks | 23,676 | 23,817 | ||||||||||||||||||||||||||||||||||||
| ACL on loans | (34,014) | (32,063) | ||||||||||||||||||||||||||||||||||||
Other assets | 100,853 | 100,101 | ||||||||||||||||||||||||||||||||||||
Total noninterest-earning assets | 90,515 | 91,855 | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 3,411,571 | $ | 3,227,122 | ||||||||||||||||||||||||||||||||||
| Liabilities and Shareholders’ Equity | ||||||||||||||||||||||||||||||||||||||
| Interest-bearing liabilities | ||||||||||||||||||||||||||||||||||||||
| Deposits | ||||||||||||||||||||||||||||||||||||||
NOW and money market accounts | $ | 712,343 | 18,480 | 3.47 | % | $ | 543,570 | 14,767 | 3.63 | % | ||||||||||||||||||||||||||||
Savings | 5,085 | 9 | 0.24 | % | 5,488 | 10 | 0.24 | % | ||||||||||||||||||||||||||||||
Time deposits | 1,633,481 | 48,026 | 3.93 | % | 1,669,484 | 54,287 | 4.35 | % | ||||||||||||||||||||||||||||||
Total interest-bearing deposits | 2,350,909 | 66,515 | 3.78 | % | 2,218,542 | 69,064 | 4.16 | % | ||||||||||||||||||||||||||||||
| Other borrowings | 58,073 | 1,715 | 3.95 | % | 39,586 | 1,356 | 4.58 | % | ||||||||||||||||||||||||||||||
Total interest-bearing liabilities | 2,408,982 | 68,230 | 3.79 | % | 2,258,128 | 70,420 | 4.17 | % | ||||||||||||||||||||||||||||||
Noninterest-bearing liabilities | ||||||||||||||||||||||||||||||||||||||
Noninterest-bearing demand | 544,436 | 530,558 | ||||||||||||||||||||||||||||||||||||
Other liabilities | 59,222 | 64,997 | ||||||||||||||||||||||||||||||||||||
Total noninterest-bearing liabilities | 603,658 | 595,555 | ||||||||||||||||||||||||||||||||||||
Total liabilities | 3,012,640 | 2,853,683 | ||||||||||||||||||||||||||||||||||||
Total shareholders’ equity | 398,931 | 373,439 | ||||||||||||||||||||||||||||||||||||
Total liabilities and shareholders’ equity | $ | 3,411,571 | $ | 3,227,122 | ||||||||||||||||||||||||||||||||||
Net interest income | $ | 83,123 | $ | 77,251 | ||||||||||||||||||||||||||||||||||
Net interest spread (3) | 2.30 | % | 2.13 | % | ||||||||||||||||||||||||||||||||||
Net interest margin (4) | 3.35 | % | 3.29 | % | ||||||||||||||||||||||||||||||||||
Total deposits | $ | 2,895,345 | $ | 66,515 | 3.07 | % | $ | 2,749,100 | $ | 69,064 | 3.36 | % | ||||||||||||||||||||||||||
Total funding (5) | $ | 2,953,418 | $ | 68,230 | 3.09 | % | $ | 2,788,686 | $ | 70,420 | 3.38 | % | ||||||||||||||||||||||||||
(1)Total loans include both loans held-for-sale and loans held-for-investment.
(2)The yield on municipal bonds has not been computed on a tax-equivalent basis.
(3)Net interest spread is calculated by subtracting average rate on interest-bearing liabilities from average yield on interest-earning assets.
(4)Net interest margin is calculated by dividing annualized net interest income by average interest-earning assets.
(5)Total funding is the sum of interest-bearing liabilities and noninterest-bearing deposits. The cost of total funding is calculated as annualized total interest expense divided by average total funding.
(6)Annualized.
15
PCB Bancorp and Subsidiary
Non-GAAP Financial Measures
Return on average tangible common equity, tangible common equity per common share and tangible common equity to total assets ratios
The Company's TCE is calculated by subtracting preferred stock from shareholders’ equity. The Company had no intangible assets for the presented periods. ROATCE, TCE per common share, and TCE to total assets constitute supplemental financial information determined by methods other than in accordance with Generally Accepted Accounting Principles, or GAAP. These non-GAAP financial measures are used by management in its analysis of the Company's performance. These non-GAAP financial measures should not be viewed as substitutes for results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP financial measures that may be presented by other companies. The following tables provide reconciliations of the non-GAAP financial measures with financial measures defined by GAAP.
| ($ in thousands) | Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||
| 9/30/2026 | 6/30/2026 | 9/30/2025 | 9/30/2026 | 9/30/2025 | |||||||||||||||||||||||||||||||
| Average total shareholders' equity | (a) | $ | 402,661 | $ | 399,468 | $ | 379,834 | $ | 398,931 | $ | 373,439 | ||||||||||||||||||||||||
| Less: average preferred stock | (b) | 69,141 | 69,141 | 69,141 | 69,141 | 69,141 | |||||||||||||||||||||||||||||
| Average TCE | (c)=(a)-(b) | 333,520 | 330,327 | 310,693 | 329,790 | 304,298 | |||||||||||||||||||||||||||||
| Net income | (d) | $ | 12,208 | $ | 10,507 | $ | 11,412 | $ | 33,368 | $ | 28,218 | ||||||||||||||||||||||||
ROAE (1) | (d)/(a) | 12.03 | % | 10.55 | % | 11.92 | % | 11.18 | % | 10.10 | % | ||||||||||||||||||||||||
| Net income available to common shareholders | (e) | 12,122 | 10,420 | 11,326 | 33,109 | 28,005 | |||||||||||||||||||||||||||||
ROATCE (1) | (e)/(c) | 14.42 | % | 12.65 | % | 14.46 | % | 13.42 | % | 12.30 | % | ||||||||||||||||||||||||
(1) Annualized.
| ($ in thousands, except per share data) | 9/30/2026 | 6/30/2026 | 12/31/2025 | 9/30/2025 | |||||||||||||||||||||||||
| Total shareholders' equity | (a) | $ | 402,130 | $ | 400,463 | $ | 390,026 | $ | 384,501 | ||||||||||||||||||||
| Less: preferred stock | (b) | 69,141 | 69,141 | 69,141 | 69,141 | ||||||||||||||||||||||||
| TCE | (c)=(a)-(b) | 332,989 | 331,322 | 320,885 | 315,360 | ||||||||||||||||||||||||
Outstanding common shares | (d) | 14,056,981 | 14,102,189 | 14,230,428 | 14,277,164 | ||||||||||||||||||||||||
| Book value per common share | (a)/(d) | $ | 28.61 | $ | 28.40 | $ | 27.41 | $ | 26.93 | ||||||||||||||||||||
| TCE per common share | (c)/(d) | 23.69 | 23.49 | 22.55 | 22.09 | ||||||||||||||||||||||||
| Total assets | (e) | $ | 3,537,672 | $ | 3,470,124 | $ | 3,281,771 | $ | 3,363,506 | ||||||||||||||||||||
| Total shareholders' equity to total assets | (a)/(e) | 11.37 | % | 11.54 | % | 11.88 | % | 11.43 | % | ||||||||||||||||||||
| TCE to total assets | (c)/(e) | 9.41 | % | 9.55 | % | 9.78 | % | 9.38 | % | ||||||||||||||||||||
16
3Q26 Earnings Results October 29, 2026
Forward-Looking Statements & Non-GAAP 2 Cautionary Note Regarding Forward-Looking Statements This presentation contains forward-looking statements. These forward-looking statements represent plans, estimates, objectives, goals, guidelines, expectations, intentions, projections and statements of our beliefs concerning future events, business plans, objectives, expected operating results and the assumptions upon which those statements are based. Forward-looking statements include without limitation any statement that may predict, forecast, indicate or imply future results, performance or achievements, and are typically identified with words such as “may,” “could,” “should,” “will,” “would,” “believe,” “anticipate,” “estimate,” “expect,” “aim,” “intend,” “plan,” or words or phases of similar meaning. We caution that forward-looking statements are based largely on our expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond our control, including but not limited to the health of the national and local economies including the impact on the Company and its customers resulting from any adverse developments in real estate markets, inflation levels and interest rates; the impacts of the conflict in the Middle East on the national and global economies and markets; the impact of governmental monetary policy; the impacts of sanctions, tariffs and other trade policies of the United States and its global trading partners and tensions related to the same; the Company’s ability to maintain and grow its deposit base; loan demand and continued portfolio performance; the impact of adverse developments at other banks, including bank failures, that impact general sentiment regarding the stability and liquidity of banks that could affect our financial performance and our stock price; changes to valuations of the Company’s assets and liabilities including the allowance for credit losses, earning assets, and intangible assets; changes to the availability of liquidity sources including borrowing lines and the ability to pledge or sell certain assets; the Company's ability to attract and retain skilled employees; customers' service expectations; cyber security risks; the Company's ability to successfully deploy new technology; the success of acquisitions and branch expansion; operational risks including the ability to detect and prevent errors and fraud; the effectiveness of the Company’s enterprise risk management framework; litigation costs and outcomes; changes in laws, rules, regulations, or interpretations to which the Company is subject; the effects of severe weather events, pandemics, wildfires and other disasters, other public health crises, acts of war or terrorism, and other external events on our business. These and other important factors are detailed in various securities law filings made periodically by the Company, copies of which are available without charge on the SEC’s website at www.sec.gov and the on the investor relations section of the Company’s website at www.mypcbbank.com. Actual results, performance or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements. Any forward-looking statements presented herein are made only as of the date of this presentation, and we do not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise, except as required by law. Non-GAAP Financial Measures This presentation contains non-GAAP financial measures. A non-GAAP financial measure is a numerical measure of historical or future financial performance, financial position or cash flows that excludes amounts or is subject to adjustments that have the effect of excluding amounts that are included in the most directly comparable measure calculated and presented in accordance with Generally Accepted Accounting Principles, or GAAP. Reconciliations of non-GAAP measures to the most directly comparable GAAP measures are provided in the Non-GAAP Measures section of this presentation. References to the “Company,” “we,” or “us” refer to PCB Bancorp and references to the “Bank” refer to the Company’s subsidiary, PCB Bank.
Corporate Profile $28.98 Stock Price $407MM Market Cap $20.78-$30.84 52-Week Range 3.04% Dividend Yield PCB FootprintMarket Information (October 27, 2026) ❖ Founded in 2003 & Headquartered in Los Angeles ❖ 15 full-service branches & loan originators in 6 states 3 Shares Outstanding: 14,056,981
$0.44 $0.60 $0.69 $0.72 $0.80 $0.66$2.62 $2.31 $2.12 $1.74 $2.58 $2.33 $17.24 $22.94 $24.46 $25.30 $27.41 $28.61 $18.21 $19.62 $20.49 $22.55 $23.69 $(5.00) $- $5.00 $10.00 $15.00 $20.00 $25.00 $- $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $3.50 $4.00 $4.50 2021 2022 2023 2024 2025 09/26 YTD Cash Dividend/Diluted EPS & BV/TCE Per Share Cash Dividend Per Share Diluted EPS BV Per Share TCE Per Share $40.1 $35.0 $30.7 $25.8 $37.5 $33.4 $52.4 $53.0 $43.1 $39.7 $56.5 $47.3 $- $10.0 $20.0 $30.0 $40.0 $50.0 $60.0 2021 2022 2023 2024 2025 09/26 YTD Net Income/PTPP Income ($mm) Net Income PTPP Income Historical Performance $1.73 $2.05 $2.32 $2.63 $2.82 $2.84 $- $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 2021 2022 2023 2024 2025 Sep-26 Held - For - Investment Loans ($bn) $1.87 $2.05 $2.35 $2.62 $2.80 $3.08 $- $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 2021 2022 2023 2024 2025 Sep-26 Deposits ($ bn) CAGR +13.0% CAGR +10.6% (1), (2)(1) (2) Annualized +1.2% Annualized +13.4% (1) At period end. (2) Not presented in accordance with GAAP. See “Non-GAAP Financial Measures” for reconciliations of these measures to their most comparable GAAP measures. 4
3Q26 Highlights 5 Operating Results • Net income available to common shareholders: $12.1 million ($0.85 per diluted share) • Return on Average Assets (“ROAA”): 1.38% • Return on Average Equity (“ROAE”): 12.03% • Return on Average TCE (“ROATCE”)(2): 14.42% • Net interest margin: 3.35% • Efficiency ratio(1): 49.56% Loans • Loans held-for-investment (“HFI loans”): $2.84 billion • Average loan yield: 6.45% • Total loans to deposits ratio: 92.54% • Quarterly loan production: $156.6 million Asset Quality • ACL on loans: $34.1 million • ACL on loans to HFI loans: 1.20% • Total past due & still accruing loans: $652 thousand (0.02% of HFI loans) • Non-performing assets (“NPAs”): $12.3 million (0.35% of total assets) Deposits • Total deposits: $3.08 billion • Core deposits(2): $1.98 billion (64.5% of total deposits) • Noninterest-bearing deposits: $579.8 million (18.8% of total deposits) • Cost of average interest-bearing deposits: 3.77% • Cost of total deposits: 3.07% Capital & Liquidity • Quarterly cash dividend: $0.22 per share • Book value per share: $28.61 • TCE per share(2): $23.69 • Repurchased shares: 69,087 shares @ WA repurchase price of $29.29 • Maintained available borrowing capacity: $1.87 billion (53.0% of total assets) (1) Calculated by dividing noninterest expense by the sum of net interest income and noninterest income. (2) Not presented in accordance with GAAP. See “Non-GAAP Financial Measures” for a reconciliation to most comparable GAAP measure.
Selected Financials 6 (1) Not presented in accordance with GAAP. See “Non-GAAP Financial Measures” for reconciliations of these measures to their most comparable GAAP measures. (2) Annualized. (3) Calculated by dividing noninterest expense by the sum of net interest income and noninterest income. As of or For the Three Months Ended Compared to 6/30/26 Compared to 9/30/25 ($ in Thousands, Except Per Share Data) 9/30/26 6/30/26 9/30/25 Amount Percentage Amount Percentage Income Statement Summary: Interest Income $ 52,482 $ 50,040 $ 51,471 $ 2,442 4.9% $ 1,011 2.0% Interest Expense 23,663 22,546 24,493 1,117 5.0% (830) -3.4% Net Interest Income 28,819 27,494 26,978 1,325 4.8% 1,841 6.8% Noninterest Income 3,573 3,203 3,414 370 11.6% 159 4.7% Noninterest Expense 16,052 15,113 14,869 939 6.2% 1,183 8.0% Provision for Credit Losses (705) 926 (381) (1,631) -176.1% (324) 85.0% Pretax Income 17,045 14,658 15,904 2,387 16.3% 1,141 7.2% Income Tax Expense 4,837 4,151 4,492 686 16.5% 345 7.7% Net Income 12,208 10,507 11,412 1,701 16.2% 796 7.0% Preferred Stock Dividends 86 87 86 (1) -1.1% 0 0.0% Net Income Available to Common Shareholders 12,122 10,420 11,326 1,702 16.3% 796 7.0% Diluted EPS $ 0.85 $ 0.73 $ 0.78 $ 0.12 16.4% $ 0.07 9.0% Selected Balance Sheet Items: HFI loans $ 2,844,856 $ 2,932,019 $ 2,752,514 $ (87,163) -3.0% $ 92,342 3.4% HFS loans 2,318 2,937 9,634 (619) -21.1% (7,316) -75.9% Total Deposits 3,076,593 2,922,659 2,913,502 153,934 5.3% 163,091 5.6% Total Assets 3,537,672 3,470,124 3,363,506 67,548 1.9% 174,166 5.2% Shareholders’ Equity 402,130 400,463 384,501 1,667 0.4% 17,629 4.6% TCE (1), (2) 332,989 331,322 315,360 1,667 0.5% 17,629 5.6% Key Metrics: BV Per Share $ 28.61 $ 28.40 $ 26.93 $ 0.21 0.7% $ 1.68 6.2% TCE Per Share (1) $ 23.69 $ 23.49 $ 22.09 $ 0.20 0.9% $ 1.60 7.2% ROAA (2) 1.38% 1.24% 1.35% 0.14% 0.03% Return on Average Equity (“ROAE”) (2) 12.03% 10.55% 11.92% 1.48% 0.11% ROATCE (1), (2) 14.42% 12.65% 14.46% 1.77% -0.04% Net Interest Margin (2) 3.35% 3.33% 3.28% 0.02% 0.07% Efficiency Ratio (3) 49.56% 49.23% 48.92% 0.33% 0.64%
Loan Overview 7 $1,752 $1,815 $1,886 $1,878 $1,904 $1,953 $2,038 $1,976 $473 $495 $493 $465 $509 $521 $495 $449 $404 $418 $416 $410 $408 $399 $399 $420 $2,629 $2,728 $2,795 $2,753 $2,820 $2,874 $2,932 $2,845 - 500 1,000 1,500 2,000 2,500 3,000 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 HFI Loan Trend ($mm) Commercial Real Estate Commercial & Industrial Consumer Commercial Property 39% Business Property 23% Multifamily 7% Construction 0% Commercial & Industrial 16% Consumer 15% HFI Loan Composition September 30, 2026 $2.85B $1,175 $1,220 $1,274 $1,264 $1,285 $1,318 $1,356 $1,326 297% 304% 313% 306% 308% 310% 315% 304% 0% 50% 100% 150% 200% 250% 300% 300 500 700 900 1,100 1,300 1,500 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 Commercial Real Estate (1) Loan Trend ($mm) CRE Loans % to the Bank's Total Risk-Based Capital (1) Per federal regulatory definition in the Commercial Real Estate (“CRE”) Concentration Guidance. YoY +3.4%
Loan Production & Rate/Yield Analysis 8 $28 $44 $5 $23 $39 $30 $14 $80 $62 $55 $41 $48 $45 $71 $57 $122 $72 $50 $91 $91 $58 $66 $85 $211 $161 $149 $137 $161 $142 $167 $157 7.23% 7.04% 6.97% 7.36% 6.50% 6.35% 6.32% 6.45% -8% -6% -4% -2% 0% 2% 4% 6% 8% 0 50 100 150 200 250 300 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 New Production (1) by Rate Type ($mm) Fixed Hybrid Variable WA Rate Fixed (WA Rate: 5.82%) 19% Variable (WA Rate: 7.00%) 42% Hybrid (WA Rate: 5.84%) 39% HFI Loans Interest Rate Mix 18% 18% 18% 18% 18% 18% 18% 19% 37% 38% 38% 40% 40% 39% 39% 39% 45% 44% 44% 42% 43% 43% 43% 42% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 HFI Loans Interest Rate Mix Trend Fixed Hybrid Variable Repricing Schedule (09/30/26) HFI Loans HFS Loans Total Loans ($ in thousands) Amount WA Rate Amount WA Rate Amount WA Rate 3 Months or Less $ 1,189,022 6.80% $ 2,318 8.18% $ 1,191,340 6.80% 3 to 12 Months 424,817 5.01% 0 424,817 5.01% 1 to 3 Years 336,500 6.60% 0 336,500 6.60% 3 to 5 Years 863,276 6.17% 0 863,276 6.17% More than 5 Years 31,241 6.75% 0 31,241 6.75% Total $ 2,844,856 6.32% $ 2,318 8.18% $ 2,847,174 6.32% Loan Yield Analysis 3Q26 09/26 YTD ($ in thousands) Amount(2) Yield(3) Amount(2) Yield(3) Average Carrying Value $ 2,902,481 $ 2,876,614 Interest on Loans $ 45,816 6.26% $ 134,375 6.25% Fee (Cost) 388 0.05% 945 0.04% Prepayment Penalty & Late Charges 191 0.03% 344 0.02% Discount (Premium) 759 0.10% 1,860 0.09% Total Interest & Fees $ 47,154 6.45% $ 137,524 6.39% (1) Total commitment basis. (2) Include both HFI and HFS loans. (3) Annualized.
Loan Concentration 9 Amount % to Total Count WA LTV(1) WA Rate Maturing ($ in thousands) 1 Year or Less 1 to 3 Years 3 to 5 Years Over 5 Years Retail (More Than 50%) $ 446,040 22.7% 346 47.8% 6.04% $ 42,728 $ 91,478 $ 162,606 $ 149,228 Industrial 295,719 15.0% 168 48.3% 6.08% 34,575 57,210 125,644 78,290 Mixed Use 204,316 10.3% 155 45.5% 6.26% 30,537 51,515 64,613 57,651 Apartments 192,754 9.8% 73 54.6% 5.66% 25,146 66,913 55,605 45,090 Motel & Hotel 159,611 8.1% 95 46.9% 6.96% 18,726 31,781 45,262 63,842 Office 135,851 6.9% 64 53.3% 6.29% 9,658 17,745 62,236 46,212 Gas Station 111,524 5.6% 120 47.8% 6.88% 11,453 27,313 15,593 57,165 Medical 65,772 3.3% 33 44.1% 6.99% 35,109 8,467 6,171 16,025 Commercial Condominium 52,130 2.6% 46 49.0% 6.10% 9,139 6,252 18,414 18,325 Nursing Facility 44,065 2.2% 10 46.8% 6.83% 0 17,837 25,897 331 Spa, Sauna, & Other Self-Care 35,405 1.8% 8 43.8% 6.64% 0 0 27,275 8,130 Car Wash 34,467 1.7% 25 47.7% 6.49% 3,669 5,409 12,446 12,943 Auto (Sales, Repair, & etc.) 32,758 1.7% 28 49.0% 6.25% 0 17,952 8,821 5,985 Wholesale 27,518 1.4% 17 41.1% 6.05% 417 10,401 6,941 9,759 Church 18,711 0.9% 19 36.0% 6.55% 757 526 7,844 9,584 Golf Course 17,459 0.9% 7 50.2% 6.00% 5,114 7,272 4,631 442 Others 101,706 5.1% 74 51.3% 6.63% 16,362 9,769 37,392 38,183 Total $ 1,975,806 100.0% 1,288 48.4% 6.28% $ 243,390 $ 427,840 $ 687,391 $ 617,185 Commercial Real Estate Loans by Property Type (9/30/26) (1) Collateral value at origination. ($ in thousands) Amount WA LTV(1) WA FICO Residential Mortgage $ 414,487 57.0% 763 Residential Mortgage Loans (9/30/26) Los Angeles County 60% Orange County 9% San Bernardino County 3% Riverside County 2% Other CA Counties 1% Northern CA Counties 1% NY/NJ 8% Texas 7% Washington 3% Georgia 3% Other States 3% Commercial Real Estate Loans Geographic Concentration (9/30/26) $1.98B CA: $1.51B (76%)
Loan Concentration 10 Carrying Value % to Total WA Rate WA Month to Maturity($ in thousands) General Manufacturing & Wholesale Trade $ 109,018 24.3% 6.85% 38 Finance & Insurance 105,142 23.4% 6.44% 6 Food Services 59,677 13.3% 7.52% 32 Real Estate Related 54,961 12.2% 6.91% 14 Retail Trade 54,529 12.1% 7.10% 28 Professional, Scientific, & Technical Services 18,401 4.1% 7.30% 19 Transportation & Warehousing 12,667 2.8% 7.50% 22 Health Care & Social Assistance 7,230 1.6% 6.93% 51 Construction 7,184 1.6% 7.27% 33 Other Services 6,562 1.5% 7.08% 14 All Other 13,954 3.1% 6.62% 174 Total $ 449,325 100.0% 6.92% 28 Los Angeles County 46% Orange County 16% Other CA Counties 8% Northern CA Counties 3% San Bernardino County 2% Riverside County 0% Georgia 7% NY/NJ 7% Texas 4% Other States 7% Commercial & Industrial Loans Geographic Concentration (9/30/26) $449MM CA: $336MM (75%) Commercial & Industrial Loans by Industry Type (9/30/26)
Credit Quality & Peer(1) Comparison 11 $4.7 $6.2 $8.9 $8.2 $7.9 $9.3 $8.7 $12.3 0 1 2 3 4 5 6 7 8 9 10 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 NPAs ($mm) 0.15% 0.20% 0.27% 0.24% 0.24% 0.27% 0.25% 0.35% 0% 0% 0% 0% 0% 0% 0% 0% 0% Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 NPAs to Total Assets 1.16% 1.17% 1.20% 1.20% 1.18% 1.18% 1.18% 1.20% 1% 1% 1% 1% 1% Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 ACL on Loans to HFI Loans 653% 511% 376% 404% 422% 415% 398% 278% 0 1 2 3 4 5 6 7 8 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 ACL on Loans to Non - Performing HFI Loans 2.09% 1.96% 1.92% 1.79% 0.88% 0.78% 0.57% 0.43% 0.15% 0% 1% 1% 2% 2% 3% Open CBB Woori USM Hope Peer Shinhan PCB Hanmi NPAs / (Total Loans + OREO) (2) September 30, 2026 Peer Information: June 30, 2026 1.58% 1.08% 0.90% 0.57% 0.39% 0% 0% 0% 1% 1% 1% 1% 1% 2% 2% CBB Hope Open Hanmi PCB Classified Assets to Total Assets (4) September 30, 2026 Peer Information: June 30, 2026 (1) Korean-American banks operating in Southern California. (2) Source: UBPR. (3) PCB Bank’s Peer Group per UBPR. (4) Source: press releases concerning financial performance. (3)
Deposits 12 $548 $564 $576 $551 $566 $570 $569 $580 $467 $513 $551 $669 $676 $681 $707 $816 $1,099 $1,185 $1,205 $1,252 $1,223 $1,260 $1,281 $1,315 $502 $452 $491 $441 $341 $376 $366 $366 $2,616 $2,714 $2,823 $2,914 $2,795 $2,888 $2,923 $3,077 - 500 1,000 1,500 2,000 2,500 3,000 3,500 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 Deposit Trend ($mm) Noninterest DDA Retail Other Interest-Bearing Retail Time Deposits Wholesale Deposits Noninterest DDA 19% Retail Other Interest - Bearing 26% Retail Time Deposits 43% Wholesale Deposits 12% Deposit Composition $3.08B $1,610 $1,683 $1,801 $1,806 $1,827 $1,855 $1,984 59% 60% 62% 65% 63% 63% 64% 0% 10% 20% 30% 40% 50% 60% 70% 80% $500 $700 $900 $1,100 $1,300 $1,500 $1,700 $1,900 $2,100 $2,300 $2,500 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 Core Deposits (1) ($mm) Core Deposits % to Total Deposits (1) Not presented in accordance with GAAP. See “Non-GAAP Financial Measures” for a reconciliation of this measure to its most comparable GAAP measure. YoY 5.6% Time Deposit Maturity Schedule (9/30/26) Retail Wholesale Total ($ in thousands) Amount WA Rate Amount WA Rate Amount WA Rate 3 Months or Less $ 418,640 3.90% $ 250,000 3.84% $ 668,640 3.88% 3 to 6 Months 478,217 3.92% 45,829 3.80% 524,046 3.91% 6 to 9 Months 203,258 3.88% 70,000 4.01% 273,258 3.92% 9 to 12 Months 212,791 4.10% 0 0.00% 212,791 4.10% More than 12 Months 1,946 3.10% 0 0.00% 1,946 3.10% Total $ 1,314,852 3.94% $ 365,829 3.87% $ 1,680,681 3.92%
Profitability 13 $7.0 $7.7 $9.1 $11.4 $9.2 $10.7 $10.5 $12.2 $12.3 $12.4 $14.5 $15.5 $14.1 $15.4 $15.6 $16.3 0 2 4 6 8 10 12 14 16 18 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 Net Income PTPP $0.46 $0.53 $0.62 $0.78 $0.64 $0.74 $0.73 $0.85 $0.83 $0.85 $1.00 $1.07 $0.98 $1.07 $1.09 $1.15 $- $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 Diluted EPS Adjusted Diluted EPS 0.94% 1.01% 1.13% 1.35% 1.11% 1.30% 1.24% 1.38% 1.64% 1.62% 1.80% 1.84% 1.70% 1.87% 1.84% 1.85% 0% 0% 0% 1% 1% 1% 1% 1% 2% 2% 2% 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 ROAA Adjusted ROAA 7.69% 8.53% 9.76% 11.92% 9.45% 10.95% 10.55% 12.03% 13.46% 13.66% 15.56% 16.21% 14.48% 15.80% 15.65% 16.10% 0% 2% 4% 6% 8% 10% 12% 14% 16% 18% 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 ROAE Adjusted ROAE Net Income & PTPP (1) Income ($mm) Diluted EPS & Adjusted Diluted EPS (1) ROAA & Adjusted ROAA (1) ROAE & Adjusted ROAE (1) (1) Not presented in accordance with GAAP. See “Non-GAAP Financial Measures” for reconciliations of these measures to its most comparable GAAP measures.
Noninterest Income & Expense 14 $24.5 $16.6 $26.9 $29.0 $13.2 $21.8 $17.1 $23.0 $39.3 $26.4 $31.0 $38.8 $18.1 $13.4 $21.3 $35.7 7.8% 7.3% 6.5% 6.4% 5.8% 7.2% 8.4% 7.8% 4.7% 5.3% 5.4% 5.6% 4.9% 6.5% 7.1% 7.1% -10% -8% -6% -4% -2% 0% 2% 4% 6% 8% 10% 0 10 20 30 40 50 60 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 SBA 7(A) Loans ($mm) Sold Production Premium % Gain % $8.4 $9.1 $8.8 $9.3 $9.3 $9.7 $9.6 $10.0 $5.5 $5.4 $6.0 $5.6 $5.7 $5.1 $5.6 $6.0 1.86% 1.87% 1.84% 1.77% 1.82% 1.78% 1.78% 1.83% 0% 1% 1% 2% 2% 3% 0 5 10 15 20 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 Noninterest Expense Trend ($mm) Compensation All Other Expenses % to Average Total Assets 53.0% 53.9% 50.6% 48.9% 51.5% 49.1% 49.2% 49.6% 64.4% 59.7% 58.5% 57.6% 57.8% 57.2% 56.3% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 Efficiency Ratio (2) PCB Peer Average 262 257 266 270 264 264 274 276 200 210 220 230 240 250 260 270 280 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 Number of FTE (3) Employees $1.8 $1.7 $1.8 $1.8 $1.9 $2.0 $2.0 $1.9 $1.2 $0.9 $1.5 $1.6 $0.6 $1.4 $1.2 $1.6 38% 34% 44% 47% 25% 42% 37% 46% -40% -30% -20% -10% 0% 10% 20% 30% 40% 50% 60% 0 1 1 2 2 3 3 4 4 5 5 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 Noninterest Income Trend ($mm) All Other Income Gain on Sale of Loans % of Gain on Sale of Loans (1) Annualized. (2) Calculated by dividing noninterest expense by the sum of net interest income and noninterest income. Peer average data from UBPR. (3) Full-time equivalent. (1)
Net Interest Margin 15 3.33% 3.39% + 0.15% + 0.14% - 0.13% - 0.09% 2.40% 2.60% 2.80% 3.00% 3.20% 3.40% 3.60% 2Q26 Loan Yield Other Earning Assets Yield Int-Bearing Liabilities Cost Balance Sheet Mix 3Q26 Quarter - over - Quarter Impact to Net Interest Margin (1) 6.63% 6.59% 6.56% 6.58% 6.44% 6.35% 6.38% 6.45% 3.18% 3.28% 3.33% 3.28% 3.28% 3.36% 3.33% 3.35% 4.59% 4.28% 4.14% 4.10% 3.98% 3.82% 3.76% 3.77% 3.61% 3.45% 3.35% 3.34% 3.23% 3.11% 3.07% 3.09% 4.65% 4.33% 4.33% 4.29% 3.90% 3.64% 3.63% 3.67% 3% 3% 4% 4% 5% 5% 6% 6% 7% 7% 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 Yield & Cost (1) Loan Yield Net Interest Margin Cost of Interest-Bearing Liabilities Cost of Funds Average Fed Funds Rate (1) Annualized.
Capital 16 11.77% 11.98% 14.39% 15.63% 11.42% 13.96% 13.96% 15.20% 5.00% 6.50% 8.00% 10.00% 0% 2% 4% 6% 8% 10% 12% 14% 16% 18% 20% Tier 1 Leverage CET 1 Capital Tier 1 Capital Total Capital Regulatory Capital Ratios Consolidated Bank Minimum Requirement For Well-Capitalized $25.30 $25.78 $26.26 $26.93 $27.41 $27.88 $28.40 $28.61 $20.49 $20.97 $21.44 $22.09 $22.55 $23.02 $23.49 $23.69 $18 $20 $22 $24 $26 $28 $30 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 Book Value/TCE Per Share (1) BV Per Share TCE Per Share 11.87% 11.65% 11.39% 11.43% 11.89% 11.68% 11.54% 11.37% 9.62% 9.48% 9.30% 9.38% 9.78% 9.65% 9.55% 9.41% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 Total Equity/TCE to Total Assets (1) Total Equity to Total Assets TCE to Total Assets (1) Not presented in accordance with GAAP. See “Non-GAAP Financial Measures” for a reconciliation of this measure to its most comparable GAAP measure.
Non-GAAP Financial Measures 17 To supplement the financial information presented in accordance with GAAP, we use certain non-GAAP financial measures. Management believes the non-GAAP measures enhance investors’ understanding of the Company’s business and performance. These measures are also useful in understanding performance trends and facilitate comparisons with the performance of other financial institutions. Risks associated with non-GAAP measures are the risk that persons might disagree as to the appropriateness of items comprising these measures and that different companies might calculate these measures differently. In the information below, we provide reconciliations of the non-GAAP financial measures used in this presentation to the most direct comparable GAAP measures. Core Deposits Core Deposits is a non-GAAP measure that we use to measure the portion of our total deposits that is thought to be more stable, lower cost and reprice less frequently on average in a rising rate environment. We calculate core deposits as total deposits less time deposits greater than $250,000 and brokered deposits. We track core deposits because we believe it is a useful measure to help assess the Company’s deposit base and, among other things, potential volatility therein. TCE, ROATCE, TCE Per Share and TCE to Total Assets TCE, ROATCE, TCE per share and TCE to total assets are non-GAAP measures that we use to measure the Company’s performance. We calculated TCE as total shareholders’ equity excluding preferred stock. Management believes the non-GAAP measures provide useful supplemental information and a clearer understanding of the Company’s performance. PTPP Income, and Adjusted ROAA, ROAE and Diluted EPS for PTPP PTPP income, and adjusted ROAA, ROAE and Diluted EPS are non-GAAP measures that we use to measure the Company’s performance and believe these presentations provide useful supplemental information and a clearer understanding of the Company’s performance. We calculated PTPP income as net income excluding income tax provision and provision for loan losses.
Non-GAAP Financial Measures 18 The following table reconciles core deposits to its most comparable GAAP measure: The following table reconciles ROATCE to its most comparable GAAP measure: The following table reconciles TCE per share and TCE to total assets to their most comparable GAAP measures: ($ in thousands) Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 Total Deposits (a) $ 2,615,791 $ 2,714,399 $ 2,822,915 $ 2,913,502 $ 2,795,412 $ 2,887,980 $ 2,922,659 $ 3,076,593 Less: Time Deposits Greater Than $250K 665,124 712,458 709,160 731,517 708,633 805,074 821,708 847,108 Less: Brokered Deposits 442,284 392,284 431,001 381,001 280,541 256,370 245,830 245,830 Core Deposits (b) $ 1,508,383 $ 1,609,657 $ 1,682,754 $ 1,800,984 $ 1,806,238 $ 1,826,536 $ 1,855,121 $ 1,983,655 Core Deposits to Total Deposits (b)/(a) 57.7% 59.3% 59.6% 61.8% 64.6% 63.2% 63.5% 64.5% ($ in thousands) 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 Average Total Shareholders' Equity (a) $ 363,828 $ 367,710 $ 372,629 $ 379,834 $ 387,540 $ 394,574 $ 399,468 $ 402,661 Less: Average Preferred Stock 69,141 69,141 69,141 69,141 69,141 69,141 69,141 69,141 Average TCE (Non-GAAP) (b) $ 294,687 $ 298,569 $ 303,488 $ 310,693 $ 318,399 $ 325,433 $ 330,327 $ 333,520 Net Income (c) $ 7,030 $ 7,735 $ 9,071 $ 11,412 $ 9,234 $ 10,653 $ 10,507 $ 12,208 ROAE (1) (c)/(a) 7.69% 8.53% 9.76% 11.92% 9.45% 10.95% 10.55% 12.03% Net Income Available to Common Shareholders (d) $ 6,684 $ 7,695 $ 8,984 $ 11,326 $ 9,148 $ 10,567 $ 10,420 $ 12,122 ROATCE (Non-GAAP)(1) (d)/(b) 9.02% 10.45% 11.87% 14.46% 11.40% 13.17% 12.65% 14.42% ($ in thousands, except per share data) Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Sep-26 Total Shareholders' Equity (a) $ 363,814 $ 370,864 $ 376,500 $ 384,501 $ 392,026 $ 396,718 $ 400,463 $ 402,130 Less: Preferred Stock 69,141 69,141 69,141 69,141 69,141 69,141 69,141 69,141 TCE (Non-GAAP) (b) $ 294,673 $ 301,723 $ 307,359 $ 315,360 $ 320,885 $ 327,577 $ 331,322 $ 332,989 Outstanding Shares (c) 14,380,651 14,387,176 14,336,602 14,277,164 14,230,428 14,231,423 14,102,189 14,056,981 Book Value Per Share (a)/(c) $ 25.30 $ 25.78 $ 26.26 $ 26.93 $ 27.41 $ 27.88 $ 28.40 $ 28.61 TCE Per Share (Non-GAAP) (b)/(c) $ 20.49 $ 20.97 $ 21.44 $ 22.09 $ 22.55 $ 23.02 $ 23.49 $ 23.69 Total Assets (d) $ 3,063,971 $ 3,183,758 $ 3,305,589 $ 3,363,506 $ 3,281,771 $ 3,396,193 $ 3,470,124 $ 3,537,672 Total Shareholders’ Equity to Total Assets (a)/(d) 11.87% 11.65% 11.39% 11.43% 11.88% 11.68% 11.54% 11.37% TCE to Total Assets (Non-GAAP) (b)/(d) 9.62% 9.48% 9.30% 9.38% 9.78% 9.65% 9.55% 9.41% (1) Annualized.
Non-GAAP Financial Measures 19 The following table reconciles PTPP income, and adjusted ROAA, ROAE and diluted EPS for PTPP to their most comparable GAAP: measures:($ in thousands) 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 Net Income (a) $ 7,030 $ 7,735 $ 9,071 $ 11,412 $ 9,235 $ 10,653 $ 10,507 $ 12,208 Add: Provision (Reversal) for Credit Losses 2,002 1,598 1,787 (381) 1,024 467 926 (705) Add: Income Tax Provision 3,281 3,056 3,600 4,492 3,887 4,250 4,151 4,837 PTPP Income (Non-GAAP) (b) $ 12,313 $ 12,389 $ 14,458 $ 15,523 $ 14,146 $ 15,370 $ 15,584 $ 16,340 Average Total Assets (c) $ 2,980,641 $ 3,097,516 $ 3,226,395 $ 3,354,588 $ 3,307,828 $ 3,326,328 $ 3,403,552 $ 3,502,893 ROAA (2) (a)/(c) 0.94% 1.01% 1.13% 1.35% 1.11% 1.30% 1.24% 1.38% Adjusted ROAA (Non-GAAP)(2) (b)/(c) 1.64% 1.62% 1.80% 1.84% 1.70% 1.87% 1.84% 1.85% Average Total Shareholders' Equity (d) $ 363,828 $ 367,710 $ 372,629 $ 379,834 $ 387,540 $ 394,574 $ 399,468 $ 402,661 ROAE (2) (a)/(d) 7.69% 8.53% 9.76% 11.92% 9.45% 10.95% 10.55% 12.03% Adjusted ROAE (Non-GAAP)(2) (b)/(d) 13.46% 13.66% 15.56% 16.21% 14.48% 15.80% 15.65% 16.10% Net Income available to common shareholders $ 6,684 $ 7,695 $ 8,984 $ 11,326 $ 9,148 $ 10,567 $ 10,420 $ 12,122 Less: Income Allocated to Participating Securities (16) (61) (72) (91) (73) (64) (63) (74) Net Income Allocated to Common Stock (e) 6,668 7,634 8,912 11,235 9,075 10,503 10,357 12,048 Add: Provision for Loan Losses 2,002 1,598 1,787 (381) 1,024 467 926 (705) Add: Income Tax Provision 3,281 3,056 3,600 4,492 3,887 4,250 4,151 4,837 PTPP Income Allocated to Common Stock (f) $ 11,951 $ 12,288 $ 14,299 $ 15,346 $ 13,986 $ 15,220 $ 15,434 $ 16,180 WA common shares outstanding, diluted (g) 14,406,756 14,403,769 14,326,011 14,325,956 14,235,867 14,238,226 14,220,414 14,094,747 Diluted EPS (e)/(g) $ 0.46 $ 0.53 $ 0.62 $ 0.78 $ 0.64 $ 0.74 $ 0.73 $ 0.85 Adjusted Diluted EPS (Non-GAAP) (f)/(g) $ 0.83 $ 0.85 $ 1.00 $ 1.07 $ 0.98 $ 1.07 $ 1.09 $ 1.15 ($ in thousands) 2021 2022 2023 2024 2025 09/26 YTD Net Income $ 40,103 $ 34,987 $ 30,705 $ 25,810 $ 37,453 $ 33,368 Add: Provision (Reversal) for Credit Losses(1) (4,596) 3,602 (132) 3,401 4,028 688 Add: Income Tax Provision 16,856 14,416 12,557 10,476 15,035 13,238 PTPP Income (Non-GAAP) $ 52,363 $ 53,005 $ 43,130 $ 39,687 $ 56,516 $ 47,294 (1) Provision (reversal) for credit losses does not include provision (reversal) for off-balance sheet credit exposures for years ended December 31, 2021 and 2022. (2) Annualized.
Exhibit 99.3
PCB Bancorp Declares Quarterly Cash Dividend of $0.22 Per Common Share
Los Angeles, California, - October 29, 2026 - PCB Bancorp (the “Company”) (NASDAQ: PCB), the holding company of PCB Bank, announced that on October 28, 2026, its Board of Directors declared a quarterly cash dividend of $0.22 per common share. The dividend will be paid on or about November 20, 2026, to shareholders of record as of the close of business on November 13, 2026.
About PCB Bancorp
PCB Bancorp is the bank holding company for PCB Bank, a California state chartered bank, offering a full suite of commercial banking services to small to medium-sized businesses, individuals and professionals, primarily in Southern California, and predominantly in Korean-American and other minority communities.
Contact:
Timothy Chang
Senior Executive Vice President & Chief Financial Officer
213-210-2000
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