OP Bancorp (OPBK) investor relations material

Executive summary

• Net income for Q2 2026 was $8.0 million, up 26% year-over-year and 10% sequentially, with diluted EPS of $0.53, reflecting strong revenue growth and a reversal of provision for credit losses.

• Total assets reached $2.74 billion, a 4% increase from December 2025, driven by loan and deposit growth.

• The company operates primarily in Korean-American communities, with 12 branches and a new loan production office opened in May 2026.

• Revenue reached $25.7 million, up from $24.6 million in Q1 2026 and $23.7 million in Q2 2025, driven by higher noninterest income and loan growth.

• Operating efficiency improved, with the efficiency ratio declining to 57.64% from 59.25% a year ago.

Financial highlights

• Net interest income for Q2 2026 was $20.1 million, up 2% year-over-year but down 2% sequentially, with net interest margin decreasing to 3.08%.

• Noninterest income increased 42% year-over-year and 40% sequentially in Q2, mainly from higher gains on SBA loan sales and increased loan servicing fees.

• Noninterest expense rose 6% year-over-year and 4% sequentially in Q2, primarily due to higher salaries and occupancy costs.

• Book value per share increased to $15.99, up from $15.62 in Q1 2026 and $14.36 in Q2 2025.

• Asset quality remained strong, with low net charge-offs and robust allowance coverage.

Outlook and guidance

• The company plans to elect the Community Bank Leverage Ratio framework in Q3 2026 to simplify capital reporting.

• Management remains focused on sustainable growth, disciplined risk management, and operating efficiency for the second half of 2026.

• Management continues to monitor interest rate trends and regulatory changes, adjusting strategies as needed.