Hanmi Financial Corporation reported net income of $21.2 million for the quarter ended December 31, 2025, or $0.70 per diluted share, missing consensus forecasts by $0.01 per share. This compares with $22.1 million, or $0.73 per share, in the third quarter. Return on average assets declined to 1.07% from 1.12% sequentially, while return on average equity fell to 10.14% from 10.69%. On a full-year basis, HAFC generated net income of $76.1 million, or $2.51 per diluted share, up 22% from $62.2 million, or $2.05 per share, in 2024.

Net interest income rose 2.9% quarter-over-quarter to $62.9 million, driven by a 20 basis-point decline in the average cost of interest-bearing deposits to 3.36%. Although average loan yield dipped nine basis points to 5.94%, the average loan balance grew 2.4% to $6.46 billion, resulting in a taxable-equivalent net interest margin of 3.28%, up six basis points from the prior quarter. For the full year, NII increased 16.5% to $236.2 million and net interest margin expanded 37 basis points to 3.15%, reflecting lower funding costs and loan growth.

Nonperforming loans improved by two basis points to 0.28% of total loans, while nonperforming assets to total assets tightened one basis point to 0.26%. Credit loss expense moderated to $1.9 million from $2.1 million in Q3. Loan receivables ended the quarter at $6.56 billion, up 0.5% sequentially, and total deposits were $6.68 billion, down 1.3%, with noninterest-bearing demand deposits representing 30.2% of the total. Tangible common equity to tangible assets strengthened to 9.99%, and the company returned $10.1 million of capital to shareholders through $2.0 million in share repurchases and $8.1 million in dividends.