East West Bancorp (EWBC) Q3 2025 earnings summary

Executive summary

• Achieved record quarterly net income of $368 million and diluted EPS of $2.65 for Q3 2025, with revenue reaching $778 million and net interest income (NII) at $678 million, driven by strong deposit and loan growth.

• Total assets reached $79.7 billion, up $3.7 billion from year-end 2024, with net loans held-for-investment up $2.0 billion (4%) and deposits up $3.4 billion (5%) from December 2024.

• Maintained strong liquidity, with 26% of assets in cash and securities, and paid down $500 million in FHLB advances.

• Asset quality remained resilient, with a slight increase in allowance for loan losses due to economic uncertainty.

• Recognized as a top-performing bank for the third consecutive year by industry publications.

Financial highlights

• Net interest income reached $678 million, up 18% year-over-year; net interest margin was 3.53% (adjusted 3.36%).

• Fee income hit a record $101 million, up 19% year-over-year, with wealth management and FX derivatives showing strong growth.

• Operating expenses were $277 million, including a $27 million one-time compensation charge.

• Efficiency ratio was 35.6%, reflecting best-in-class cost management.

• Book value per share rose to $62.39, and tangible book value per share to $58.97, both up over 12% from year-end 2024.

Outlook and guidance

• FY25 guidance: loans expected to grow 4–6% year-over-year, net interest income and total revenue both trending above 10% growth.

• Full-year net charge-offs now guided to 10–20 bps, lower than prior guidance.

• Management expects continued organic growth from existing and targeted customer bases, with a focus on loan and deposit growth, profitability, and risk management.

• No 2026 guidance provided due to economic uncertainty.

• Effective tax rate anticipated at ~23%.