RBB · RBB Bancorp

RBB Bancorp delivered a strong start to 2026, with net income rising to $11.3 million, or $0.66 per diluted share, compared to $10.2 million, or $0.59 per diluted share, in the preceding quarter. The improvement was driven by higher net interest income, an expanding net interest margin, and lower credit costs. Net interest income increased to $30.5 million from $29.5 million, despite two fewer days in the quarter. The net interest margin expanded 16 basis points to 3.15%, primarily due to a 10 basis point decrease in the overall cost of deposits to 2.86% and a higher yield on average interest-earning assets, which benefited from a special FHLB dividend. Credit quality showed marked improvement, with nonperforming assets decreasing 9% to $48.8 million, or 1.16% of total assets. The provision for credit losses was a $200,000 reversal for the quarter, compared to a $600,000 provision in the prior quarter, supported by paydowns on loans with specific reserves and stabilized credit quality trends. Noninterest income increased to $4.3 million, largely due to higher gains on OREO sales and recoveries on acquired loans. The efficiency ratio improved to 55.41% from 58.69%. The Board declared a quarterly cash dividend of $0.16 per share, payable May 15, 2026. President and CEO Johnny Lee highlighted the disciplined focus on deposit gathering and credit resolution as key drivers for enhancing shareholder value.