Banc of California expects fourth-quarter pre-tax pre-provision income of $125 million-$130 million
BANC•Banc of California reaffirmed fourth-quarter pre-tax pre-provision income guidance of $125 million-$130 million, implying 6%-10% sequential growth. It narrowed net interest margin guidance to 3.35%-3.4% and forecast return on average tangible common equity of 12%-12.5%.
1. Fourth-quarter outlook
Banc of California reaffirmed fourth-quarter 2026 pre-tax pre-provision income guidance of $125 million-$130 million, implying 6%-10% sequential growth. Net interest margin guidance narrowed to 3.35%-3.4% from 3.3%-3.4%, after rising 21 basis points to 3.34% in the third quarter. The company forecast return on average tangible common equity of 12%-12.5%, compared with its previous 11.5%-12.5% range.
2. Capital and margin
Loan sales are expected to contribute about 2 basis points of margin growth in the fourth quarter. The CET1 ratio is expected to reach 9.8%-9.9%, up from 9.7% in the third quarter, and exceed 10% in the first quarter of 2027.
