Hope Bancorp reports Q2 net loss of $27.9 mln

Hope Bancorp

22/07/2025 12:11

Overview

Hope Bancorp reports Q2 net loss of $27.9 mln due to securities repositioning

Excluding notable items, Q2 net income rises 7% quarter-over-quarter

Net interest income grows 17%, aided by Territorial Bancorp acquisition

Outlook

Company expects $12 mln annual interest income from securities repositioning

Hope Bancorp anticipates 1% reduction in effective tax rate

Company maintains strong capital and liquidity for growth opportunities

Result Drivers

TERRITORIAL ACQUISITION - Acquisition contributed to loan growth and diversification, reducing deposit costs

SECURITIES REPOSITIONING - Strategic repositioning led to net loss but expected to improve future earnings

TAX LAW CHANGE - Change in California tax law impacted tax expense but expected to lower effective tax rate

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 EPS
-$0.22
Q2 Net Income
-$27.90 mln
Q2 Net Loan Losses
-$149.50 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the banks peer group is "buy."

Wall Street's median 12-month price target for Hope Bancorp Inc is $12.00, about 5.3% above its July 21 closing price of $11.36

The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nBw46M1MBa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)