East West Bancorp (EWBC) investor relations material

Executive summary

• Achieved record total revenue of $791 million in Q2 2026, up 12% year-over-year, with net income of $364 million and diluted EPS of $2.63, an 18% increase year-over-year.

• End-of-period deposits grew 8% year-over-year to $70.1 billion, and loans increased 7% year-over-year to $59.0 billion, reflecting balanced growth and diversification.

• Non-interest income reached a record $106 million, up over 20% year-over-year, with strong performance across all fee-based businesses.

• Credit quality remained strong, with nonperforming assets at 0.29% of total assets and net charge-offs at 0.19% annualized.

• Book value per share increased 13% year-over-year to $67.48; tangible book value per share rose 14% to $64.06.

Financial highlights

• Net interest income reached a record $685 million, up 11% year-over-year, with net interest margin at 3.43%.

• Fee income grew 19% year-over-year to $96 million, driven by deposit account and lending fees.

• Total operating non-interest expenses were $268 million; Q2 efficiency ratio was 36.7%.

• Allowance for credit losses increased to $842 million, or 1.43% of total loans.

• Return on average common equity at 16%; tangible common equity ratio at 10.4%.

Outlook and guidance

• Full-year 2026 loan growth expected at 6%-8% year-over-year, with NII projected to grow 7%-9%.

• Operating noninterest expense expected to rise 8%-9% year-over-year; efficiency ratio guidance reaffirmed.

• Net charge-offs anticipated in the range of 15 to 25 basis points for the year.

• Expect double-digit year-over-year growth in fee income for 2026.

• Effective tax rate forecasted at 22%-23%; assuming flat Fed funds rate through year-end.