Hope Bancorp (NRB) Q3 2026 Earnings Report

The call was broadly positive, with strong revenue, earnings, margin, fee income and pre-provision net revenue growth; improving asset quality; better operating leverage; successful completion of the MANUBANK acquisition; and an upgraded funding and growth platform. The main challenges were the expected 200-basis-point reduction in the common equity Tier 1 ratio after the acquisition, higher reported expenses and provision expense, delayed full realization of cost savings, lower acquired loan balances than initially announced and changing interest-rate expectations.

Management expects end-of-period loan growth of approximately 15% year-over-year, full year revenue growth in the range of approximately 16% to 18% and pre-provision net revenue growth in the range of approximately 23% to 25%, excluding notable items; following the MANUBANK acquisition, common equity Tier 1 ratio is expected to be approximately 10.2%, down about 200 basis points from September 30, 2026, and fully phased-in cost savings are expected to be over 40% up off of MANUBANK's starting operating expense run rate of $136 million. Cost savings are being realized upfront this quarter, with less incremental realization before the next phase following core conversion, 2028 is going to be the full cost saves, and detailed guidance for 2027 will be provided with fourth quarter earnings; the purchase accounting discount is expected to have a life of about 5 years overall, with a big portion of it pretty short, like 2 years or so maybe, and the ACL portion is probably going to be, all I want to say, around $30 million.