Banc of California Inc. (BANC)
NYSE:BANC
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Earnings Data
Report Date
Jul 28, 2026Before Open (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.4Last Year’s EPS
0.12Same Quarter Last Year
Strong Buy
Based on 7 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed a predominantly positive performance narrative: strong earnings momentum (EPS +50%), NIM expansion, robust production and constructive deposit mix shifts, supported by disciplined expense and capital actions (buybacks, dividend increase, planned subordinated debt redemption). Management acknowledged a few concentrated credit migrations and modest net charge-offs but emphasized proactive credit management, solid reserve coverage (ACL 1.12%, economic coverage ~1.6%), and defined resolution paths. Given multiple visible earnings levers (portfolio remixing, deposit mix improvement, embedded repricing, potential regulatory capital relief) and conservative reserve posture, the positives materially outweigh the limited, idiosyncratic credit and deposit risks discussed.Company Guidance
Strong EPS and Earnings Growth
Net income of $62 million and diluted EPS of $0.39, up 50% year over year; pretax, pre-provision income increased 28% YoY; adjusted efficiency ratio improved by ~500 basis points YoY, demonstrating positive operating leverage.
Net Interest Income and Margin Expansion
Net interest income of $251.6 million, up 8% YoY and roughly flat Q/Q; net interest margin expanded to 3.24% (up 4 bps Q/Q and 6 bps YoY) with spot NIM of 3.22% after normalizing for a one-time FHLB dividend; management expects average quarterly NIM expansion of 3–4 bps for the remainder of the year.
Robust Loan Production and Embedded Repricing Tailwind
Loan production and disbursements of $2.1 billion in the quarter with new production yielding 6.65% versus weighted-average coupon of 4.7% on loans repricing/maturing by year-end; total average loan balances increased 4% annualized and ~$3.2 billion of multifamily loans expected to mature or reprice over the next 2.5 years, creating embedded earnings upside.
Improving Deposit Mix and Funding Costs
Average noninterest-bearing deposits grew ~4% annualized Q/Q and NIB represented ~29% of total average deposits; average balances per account increased 2.5% Q/Q; cost of deposits declined 11 bps to 1.78% and the bank achieved an interest-bearing deposit beta of 57% in Q1.
Active Capital Deployment and Strong Capital Position
Repurchased 1.7 million shares, extended buyback program through March 2027, increased dividend 20% from $0.10 to $0.12, and announced plan to redeem $385 million of subordinated debt; CET1 ratio at 10.18% and tangible book value per share up 1.5% Q/Q to $17.77.
Controlled Expenses and Expense Guidance
Noninterest expense of $181.4 million was relatively flat Q/Q and down 1% YoY; management targets positive operating leverage and reaffirmed noninterest expense growth guidance of 3%–3.5% for the year while reaffirming pretax, pre-provision income growth guidance of 20%–25%.
Conservative Reserve Position and Proactive Credit Management
Allowance for credit losses (ACL) ratio stable at 1.12% with an economic coverage ratio of ~1.6%; provision expense of $9.8 million reflecting targeted migration and increased weighting of adverse scenarios; reserves were increased where migration occurred and management does not expect migrated loans to produce material losses.
Strategic Tailwinds and Technology Adoption
Potential regulatory capital relief estimated at $150–$160 million CET1 (conservative baseline) could provide additional deployment flexibility; broad AI deployment with high developer adoption (>80%), widespread Copilot access and early efficiency gains expected to help productivity, risk management and operating leverage.
BANC Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
BANC Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 22, 2026 | $18.39 | $18.90 | +2.77% |
Jan 21, 2026 | $20.95 | $20.58 | -1.76% |
Sep 30, 2025 | $16.35 | $16.41 | +0.37% |
Jun 30, 2025 | $13.79 | $14.06 | +1.92% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Banc of California Inc. (BANC) report earnings?
Banc of California Inc. (BANC) is schdueled to report earning on Jul 28, 2026, Before Open (Confirmed).
What is Banc of California Inc. (BANC) earnings time?
Banc of California Inc. (BANC) earnings time is at Jul 28, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is BANC EPS forecast?
BANC EPS forecast for the fiscal quarter 2026 (Q2) is 0.4.