0001437749-26-007387
SEC filingRBB Bancorp reported net income of $31.9 million for fiscal year 2025, driven by net interest income of $112.3 million before provision for credit losses. Total interest and dividend income was $221.1 million, primarily from loans ($193.8 million), while total interest expense was $108.8 million, largely from time deposits ($78.1 million). Noninterest income contributed $16.9 million, with service charges and fees ($4.2 million) and other income ($7.6 million) as key components. Noninterest expenses totaled $76.7 million, led by salaries and employee benefits ($43.1 million). The company ended the year with total assets of $4.21 billion, total deposits of $3.35 billion, and shareholders' equity of $523.4 million. Cash flow from operations was $43.4 million, while investing activities used $260.2 million primarily for loan growth and securities activities, and financing activities provided $171.4 million mainly from deposit increases and FHLB advances.
RBB Bancorp reported net income of $31.9 million for fiscal year 2025, with net income before income taxes of $42.1 million and income tax expense of $10.2 million. The company generated net interest income before provision for credit losses of $112.3 million, with total interest and dividend income of $221.1 million offset by total interest expense of $108.8 million. After a provision for credit losses of $10.4 million, net interest income after provision for credit losses was $101.9 million. Noninterest income contributed $16.9 million, while noninterest expenses totaled $76.7 million. Basic and diluted earnings per share were both $2.00, based on weighted-average common shares outstanding of 17.4 million basic and 17.5 million diluted.
Total interest and dividend income of $221.1 million was primarily driven by interest income from loans of $193.8 million, representing approximately 87.7% of total interest income. Other significant components included interest-earning deposits ($7.9 million), investment securities ($17.1 million), FHLB stock ($1.3 million), and federal funds sold and other ($953,000). Interest expense of $108.8 million was dominated by time deposits ($78.1 million) and savings deposits, NOW and money market accounts ($19.0 million). Noninterest income of $16.9 million included service charges and fees ($4.2 million), loan servicing income net of amortization ($2.2 million), increase in cash surrender value of BOLI ($1.7 million), gain on sale of loans ($1.2 million), and other income ($7.6 million).
The company's net interest margin can be inferred from the relationship between net interest income before provision for credit losses ($112.3 million) and interest-earning assets, though specific margin percentages are not provided in the data. Noninterest expenses of $76.7 million represented the largest cost category, with salaries and employee benefits ($43.1 million) accounting for 56.2% of total noninterest expenses. Other significant expense categories included occupancy and equipment expenses ($9.6 million), legal and professional ($7.5 million), and data processing ($6.9 million). The efficiency ratio (noninterest expenses divided by total revenue) would be approximately 32.2% based on total revenue of $238.0 million (interest income plus noninterest income).
Net cash provided by operating activities was $43.4 million, primarily from net income of $31.9 million adjusted for non-cash items including provision for credit losses ($10.4 million), depreciation and amortization ($1.9 million), and stock-based compensation ($1.7 million). Net cash used in investing activities was $260.2 million, driven by net increase in loans ($343.8 million) partially offset by securities maturities, repayments and calls ($286.5 million). Net cash provided by financing activities was $171.4 million, mainly from net increase in demand deposits and savings accounts ($256.8 million) and advances from FHLB ($170.0 million), partially offset by repayment of FHLB borrowings ($240.0 million). The balance sheet shows total assets of $4.21 billion, with loans held for investment of $3.31 billion (net of allowance for loan losses of $43.9 million) and total deposits of $3.35 billion. Shareholders' equity was $523.4 million, resulting in an equity-to-assets ratio of approximately 12.4%.
The filing does not contain explicit forward-looking management guidance, strategic priorities, or specific risk factors beyond the standard financial disclosures. Investors should monitor the company's ability to maintain net interest income in changing rate environments, manage credit quality given the $10.4 million provision for credit losses, and control noninterest expenses which represented 32.2% of total revenue. The balance sheet shows strong liquidity with cash and cash equivalents of $212.3 million, though the net decrease in cash and cash equivalents of $45.4 million for the year suggests active deployment of funds into loans and other assets.