Banc of California Earns $48 Million
Banc of California(NYSE:BANC) reported Q2 2025 earnings on July 22, 2025, noting adjusted net income of $48.4 million ($0.31 per share). Net interest income rose 3.4% quarter over quarter to $240 million, and tangible book value per share increased for the fifth consecutive quarter to $16.46. Management executed $507 million in commercial real estate loan sales at an expected 95% of face value, repurchased $150 million in stock, and reaffirmed guidance for mid-single-digit net interest income growth in the second half of 2025.
Key insights follow, including strategic loan sales, margin drivers, and evolving deposit/capital allocation strategies.
Management transferred $507 million in commercial real estate (CRE) loans to held for sale, closing $30.4 million and lining up $476.2 million for subsequent quarters. This action was reflected in net charge-offs of $37 million related to these loans, with favorable credit migration metrics: nonperforming, classified, and special mention loans improved by 19, 46, and 115 basis points, respectively, quarter over quarter.
Source Fool.com
