Hanmi Financial (HAFC) Investor presentation summary

Company overview and strategy

• Operates 32 branches and 8 loan production offices across 9 states, with $7.9B in assets, $6.3B in loans, and $6.7B in deposits as of June 2025.

• Focuses on MSAs with high Asian-American and multi-ethnic populations and is the second largest Korean-American bank in the U.S.

• Demonstrates strong growth with a 10% CAGR in loans and 9% CAGR in deposits since 2013.

• Maintains a diversified loan portfolio, reducing CRE concentration from 85% to 62% since 2013.

• Well-capitalized, with tangible common equity to tangible assets at 9.58% and a common equity tier 1 capital ratio of 12.12%.

Financial performance and capital

• 2Q25 net income was $15.1M ($0.50 per diluted share), down from $17.7M in 1Q25 due to higher credit loss expense.

• Net interest income rose 3.7% to $57.1M, with net interest margin improving to 3.07%.

• Noninterest income increased 4.5% to $8.1M, mainly from higher bank-owned life insurance income.

• Noninterest expense grew 4% to $36.3M, primarily from increased salaries and benefits.

• Tangible book value per share reached $24.91, supported by a decrease in unrealized losses on securities.

Loan and deposit portfolio

• Loans receivable totaled $6.31B, up 0.4% from 1Q25; loan production for the quarter was $329.6M, with a 7.10% weighted average rate.

• CRE loans make up 62% of the portfolio, with significant exposure to retail, hospitality, office, and multifamily segments.

• Deposits increased 1.7% to $6.73B, with noninterest-bearing deposits at 31.3% of the total.

• Estimated uninsured deposit liabilities were 43.3% of total deposits; brokered deposits remained low at 1.3%.

• USKC loans and deposits, serving U.S. subsidiaries of Korean corporations, represent 13% and 14% of respective portfolios.