RBB Bancorp (RBB) Q4 2025 earnings summary

Executive summary

• Net income for Q4 2025 was $10.2 million ($0.59 per share), up 132% year-over-year and stable sequentially, driven by strong loan growth and improved credit quality.

• Diluted EPS for Q4 2025 was $0.59, a 136% increase year-over-year; full-year EPS was $1.83, up 24.5% from 2024.

• Annual loan growth reached 8.6%, with originations up 32% year-over-year and a healthy pipeline for continued high single-digit growth in 2026.

• Deposit growth was robust at 8.6–9% year-over-year, supporting loan growth and reducing reliance on FHLB advances.

• Nonperforming loans and assets declined significantly, with NPLs down 45% and NPAs down 34% year-over-year.

Financial highlights

• Net interest income for Q4 2025 was $29.5 million, up 13.6% year-over-year; full-year net interest income rose 13% to $112.3 million.

• Net interest margin (NIM) was 2.99% in Q4, up one basis point sequentially and 23 bps year-over-year.

• Pre-tax, pre-provision income for Q4 2025 was $13.4 million, up 21% year-over-year; full-year PTPP income rose 15.3%.

• Tangible book value per share rose 7.8% year-over-year to $26.42.

• Efficiency ratio improved to 58.7% in Q4 2025 and 59.36% for the year.

Outlook and guidance

• Expectation for continued high single-digit loan growth in 2026, supported by a healthy pipeline.

• Deposit costs may see incremental improvement in Q1 2026, but competition remains intense.

• Operating expenses projected to stabilize at $18–$19 million per quarter after a seasonal Q1 increase.

• Effective tax rate expected between 27% and 28% in 2026; 2025 effective tax rate was 24.2%.

• Management expects continued improvement in credit quality and remains optimistic about future quarters.