Hanmi Financial reported net income of $21.2 million, or $0.70 per diluted share, for the quarter ended December 31, 2025, a 3.7% decrease from the prior quarter’s $22.1 million ($0.73 per share) but a 20% increase from $17.7 million ($0.58 per share) in Q4 2024. Return on average assets was 1.07% and return on average equity was 10.14%, down from 1.12% and 10.69% in Q3 2025 but up from 0.93% and 8.89% a year earlier. Net interest income rose 2.9% sequentially to $62.9 million, driven by a 20 basis point decline in the cost of interest-bearing deposits, and net interest margin expanded six basis points to 3.28%. Noninterest income fell to $1.6 million due to lower bank-owned life insurance proceeds, while noninterest expense increased by $1.8 million primarily from higher salaries and professional fees, resulting in an efficiency ratio of 54.95%.

Loan balances grew by $35.1 million (0.5%) sequentially to $6.56 billion, supported by $374.8 million of production at a weighted average rate of 6.90%, compared with 6.46% on payoffs. The loan portfolio composition is shifting, with commercial and industrial loans up 25% year-over-year and residential mortgages up 10%. Total deposits declined 1.3% to $6.68 billion, but noninterest-bearing demand deposits remained a stable 30.2% of the base. Average loan yields of 5.94% were modestly lower than the prior quarter, while the average rate on interest-bearing deposits fell to 3.36%. Asset quality remains strong, with nonperforming loans at 0.28% of total loans and credit loss expense of $1.9 million versus $2.1 million in Q3.

Hanmi’s tangible common equity to tangible assets ratio improved to 9.99% from 9.80% in Q3 2025, and tangible book value per share rose to $26.27. During the quarter the company returned $10.1 million to shareholders—$2.0 million in share repurchases and $8.1 million in dividends. For full-year 2025, net income was $76.1 million ($2.51 per share), up 22% from 2024, with return on average assets of 0.98% and return on average equity of 9.32%. Management highlighted net interest margin expansion, 36% year-over-year loan production growth, and a stable deposit mix as key drivers, and projects continued loan and deposit growth, further margin expansion, disciplined expense control and stable asset quality to support long-term shareholder value.