Cathay General Bancorp (CATY)
NASDAQ:CATY
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Earnings Data
Report Date
Jul 27, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
1.35Last Year’s EPS
1.1Same Quarter Last Year
Moderate Sell
Based on 3 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call presented a predominantly constructive picture: underlying profitability and margin trends improved (NIM up 7 bps, EPS resilient), efficiency and capital return metrics were strong (dividend +11.8% and completed buyback with a new program approved), credit metrics improved (lower net charge-offs and better NPA ratio), and management proactively repositioned the securities portfolio to support margins. Headwinds include modest q/q declines in net income and NII, a $15.7 million AFS impairment, softer loan and deposit growth (loans +0.2% q/q; deposits -1% q/q), heightened competition for brokered deposits, and an allowance increase driven by recalibration for office CRE stress. Overall, the positive operational and capital actions and improving efficiency/credit metrics outweigh the near-term growth and securities noise.Company Guidance
Solid Profitability and EPS
Reported net income of $86.9 million and diluted EPS of $1.29. Excluding notable one-time securities items, diluted EPS would have been only $0.02 lower, indicating underlying earnings stability.
Net Interest Margin Expansion
Net interest margin (NIM) expanded to 3.43%, up 7 basis points linked quarter, driven by disciplined deposit cost management and securities repositioning that is expected to contribute ~2–2.5 bps to NIM and roughly $4 million to NII for 2026.
Capital Return to Shareholders
Increased quarterly cash dividend to $0.38 per share, an 11.8% increase, completed the $150 million repurchase program (244,000 shares at $51.31 avg) and Board approved a new $150 million repurchase program (subject to regulatory approval).
Efficiency Improvement and Expense Management
Reported efficiency ratio improved to 40.4% (100 bps improvement q/q). Adjusted efficiency ratio decreased to 36.9% (down 1.5 percentage points q/q). Noninterest expense declined from $92.2 million to $86.7 million, and adjusted noninterest expense was $78.7 million, ~$3 million lower than last quarter.
Balance Sheet and Capital Strength
Period-end loans of $20.2 billion (up 0.2% linked quarter), period-end deposits $20.7 billion. Capital levels remained in excess of well-capitalized regulatory thresholds with modest q/q increases; book value per share grew 2% linked quarter and 9% year-over-year. Tangible book value per share reached $30.95.
Improving Credit Metrics
Credit quality remained stable: net charge-offs improved to $2.1 million from $5.4 million last quarter. Allowance increased to $209 million (up $13 million) providing coverage of 1.03% (1.30% excluding residential mortgages). Nonperforming asset ratio improved from 59 bps to 51 bps.
Securities Repositioning to Support Yield
Executed repositioning: sold $210 million of lower-yielding MBS and reinvested $197 million at significantly higher yields while keeping duration near 2 years. Portfolio remains short-duration, high-quality (over 90% U.S. government backed), and the trade carries an earn-back under 3 years.
Positive Fee Income Momentum
Core adjusted noninterest income (excluding one-time securities items) increased to $19.1 million from $18.1 million prior quarter, a ~5.5% increase, driven largely by wealth management and treasury management fees.
CATY 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
CATY Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 22, 2026 | $53.78 | $55.25 | +2.73% |
Jan 22, 2026 | $51.92 | $50.36 | -3.00% |
Oct 21, 2025 | $46.46 | $45.51 | -2.04% |
Jul 22, 2025 | $46.89 | $47.52 | +1.34% |
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 Cathay General Bancorp (CATY) report earnings?
Cathay General Bancorp (CATY) is schdueled to report earning on Jul 27, 2026, After Close (Confirmed).
What is Cathay General Bancorp (CATY) earnings time?
Cathay General Bancorp (CATY) earnings time is at Jul 27, 2026, After Close (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 CATY EPS forecast?
CATY EPS forecast for the fiscal quarter 2026 (Q2) is 1.35.