PCB Bancorp (PCB) investor relations material

Executive summary

• Net income available to common shareholders rose 46.3% year-over-year and 17% sequentially to $9.0 million for Q2 2025, driven by higher net interest income and loan growth.

• Total assets reached $3.31 billion, up 7.9% since year-end, 3.8% from Q1 2025, and 15.9% from Q2 2024.

• Loans held-for-investment increased 6.3% since year-end, 2.5% sequentially, and 14.1% year-over-year to $2.80 billion.

• Deposits grew 7.9% since year-end, 4.0% sequentially, and 17.3% year-over-year to $2.82 billion.

• Opened a new full-service branch in Suwanee, Georgia as part of expansion strategy.

Financial highlights

• Net interest income for Q2 2025 was $26.0 million, up 7.0% sequentially and 19.6% year-over-year; net interest margin improved to 3.33%.

• Noninterest income rose 32.7% year-over-year and 27.8% sequentially, mainly from higher gains on loan sales.

• Noninterest expense was $14.8 million, down 2.3% year-over-year but up 2.5% sequentially.

• Provision for credit losses increased to $1.8 million, up 11.8% sequentially and 590% year-over-year.

• Efficiency ratio improved to 50.63% from 62.65% year-over-year and 53.88% in Q1 2025.

Outlook and guidance

• Management expects continued loan and deposit growth, disciplined expense management, and focus on credit quality and capital adequacy.

• Economic forecasts used in credit loss modeling reflect a more cautious outlook, with higher unemployment and lower GDP growth expected.

• The company is working to remediate a material weakness in internal controls and expects ongoing expenses related to this effort.