Banc of California Inc. ( (BANC) ) has released its Q1 earnings. Here is a breakdown of the information Banc of California Inc. presented to its investors.
Banc of California, Inc. is a bank holding company headquartered in Los Angeles, providing banking and treasury management services to small-, middle-market, and venture-backed businesses across California and beyond. In its latest earnings report for the first quarter of 2025, Banc of California announced a diluted earnings per share of $0.26, alongside a 6% annualized loan growth. The company also expanded its stock buyback program to $300 million, reflecting its commitment to delivering shareholder value.
Key financial highlights include a total loan growth to $24.1 billion, driven by increases in commercial and industrial segments, and new loan originations totaling $2.6 billion with a weighted average interest rate of 7.20%. The net interest margin improved to 3.08%, supported by a decrease in the average total cost of deposits to 2.12%. The bank maintained strong liquidity levels, with available liquidity and unused borrowing capacity of $15.1 billion, and reported a CET1 ratio of 10.43%.
The bank’s credit quality remained robust, with low net charge-offs at 0.24% of average loans and leases. The allowance for credit losses was stable at 1.10% of total loans and leases. The company also reported an increase in book value per share to $18.17 and tangible book value per share to $16.12.
Looking ahead, Banc of California’s management remains optimistic about its ability to navigate economic uncertainties, highlighting its strong capital and liquidity positions. The bank aims to continue leveraging its market position to foster growth in net interest margin, loan and deposit growth, and operational efficiency.