LOS ANGELES–(BUSINESS WIRE)–Banc of California, Inc. (NYSE: BANC):
|
$38.5B |
$17.12 |
10.12% |
26% |
Banc of California, Inc. (NYSE: BANC) (“Banc of California”), parent of wholly-owned subsidiary Banc of California (the “Bank”), today reported financial results for the fourth quarter and year ended December 31, 2023. On November 30, 2023, Banc of California and PacWest Bancorp closed their transformational merger, creating California’s premier business bank. As of December 31, 2023, Banc of California had total assets of $38.5 billion.
| “Following the merger with PacWest, we have created California’s premier relationship-focused business bank.” |
|
– Jared Wolff, President & CEO |
Fourth quarter highlights include:
- As a result of the impact of the merger and the balance sheet repositioning, total assets of $38.5 billion increased $1.7 billion and total loans increased $3.6 billion, or 16% from the prior quarter, resulting in a year-end loans to deposits ratio of 84%.
- Total deposits of $30.4 billion increased $3.8 billion, an increase of 14% from the prior quarter, and noninterest-bearing deposits of $7.8 billion increased $2.2 billion, or 39% from the prior quarter. Borrowings decreased $3.4 billion, or 54% from the prior quarter.
- Completed asset sales of $6.1 billion and completed paydown of $8.6 billion high-cost funding related to the balance sheet repositioning, which improved the mix of earning assets and reduced higher cost funding. Wholesale fundings as a percentage of total assets down to 17%, compared to 28% in the prior quarter.
- Improved overall deposit mix, with the period-end noninterest-bearing deposit percentage increasing from 21% of total deposits at the prior quarter-end to 26% at year-end and brokered time deposits decreasing from 15% of total deposits at the prior quarter-end to 12% at year-end.
- Significant decrease in unrealized losses on securities, with unrealized losses in accumulated other comprehensive income (“AOCI”) of $434 million at year-end compared to $879 million at the prior quarter-end, resulting from security sales and decreased market forward rates in the fourth quarter.
- High liquidity levels, with immediately available on-balance sheet liquidity and unused borrowing capacity of $17.2 billion, which was 2.5 times greater than uninsured and uncollateralized deposits. Cash as a percentage of total assets was 14%, down from 17% in the prior quarter.
- Strong capital ratios well above the regulatory thresholds for “well capitalized” banks, including an estimated 16.40% Total risk-based capital ratio, 12.42% Tier 1 capital ratio, 10.12% CET1 capital ratio and 9.00% Tier 1 leverage ratio.
- Allowance for credit losses of 1.22%, up from 1.15% at the prior quarter-end after a provision for credit losses of $47.0 million, which includes a $22.2 million initial provision related to non-purchased credit deteriorated (“non-PCD”) loan balances.
- Strong credit quality, with year-end nonperforming loans to total loans at 0.29%, down from 0.57% at the prior quarter-end.
- Increased stockholders’ equity as a result of the merger, with total stockholders’ equity increasing by $1.0 billion in the fourth quarter resulting in book value per share of $17.12 and tangible book value per share(1) of $14.96.
|
(1) |
Non-GAAP measure; refer to section ‘Non-GAAP Measures’ |
Jared Wolff, President & CEO of Banc of California, commented, “Since closing our transformational merger with PacWest Bancorp on November 30, 2023, we have made excellent progress on the integration and the balance sheet repositioning actions that we indicated at the time of the merger announcement. As a result, we have created the well capitalized, highly-liquid financial institution we envisioned, with significant earnings potential and a strong position in key California markets.”
Mr. Wolff continued, “As we move through 2024, we will realize more of the benefits of our balance sheet repositioning, which will positively impact our net interest margin, as well as steadily reduce our noninterest expense as we complete the system conversion in the second quarter of 2024 and consolidate some of our branches that are in close proximity to each other. While we will remain conservative in our new loan production until economic conditions improve, we are already seeing the positive benefits of being a larger, stronger financial institution on our business development efforts. Given the strength of our franchise and the superior level of service, solutions and expertise that we can provide, we believe we have great opportunities to consistently add attractive client relationships that provide both operating deposit accounts and high quality loans, particularly given the significant changes we have seen over the past two years in the California banking landscape with many competitors exiting or significantly pulling back from the market. We believe we are well-positioned to deliver strong financial performance for our shareholders in 2024, as well as capitalize on the strong market position we have created in California to greatly enhance the value of our franchise in the coming years.”
Presentation of Results – PacWest Bancorp Merger
On November 30, 2023, PacWest Bancorp merged with and into Banc of California (the “Merger”), with Banc of California continuing as the surviving legal corporation and Banc of California concurrently closed a $400 million equity capital raise. The Merger was accounted for as a reverse merger using the acquisition method of accounting, therefore, PacWest Bancorp was deemed the acquirer for financial reporting purposes, even though Banc of California was the legal acquirer. The Merger was an all-stock transaction and has been accounted for as a business combination. Banc of California’s financial results for all periods ended prior to November 30, 2023 reflect PacWest Bancorp results only on a standalone basis. In addition, Banc of California’s reported financial results for the three months and year ended December 31, 2023 reflect PacWest Bancorp financial results only on a standalone basis until the closing of the Merger on November 30, 2023, and results of the combined company for the month of December 2023. The number of shares issued and outstanding, earnings per share, and all references to share quantities or metrics of Banc of California have been retrospectively restated to reflect the equivalent number of shares issued in the Merger as the Merger was accounted for as a reverse merger. Under the reverse merger method of accounting, the assets and liabilities of legacy Banc of California as of November 30, 2023 were recorded at their respective estimated fair values.
The Company recorded a net loss of $492.9 million, or a loss of $4.55 per diluted common share, for the fourth quarter of 2023. This compares to a net loss of $33.3 million, or a loss of $0.42 per diluted common share, for the third quarter of 2023. The fourth quarter of 2023 included pre-tax amounts of $442.4 million of losses on security sales relating to our previously announced balance sheet repositioning strategy, merger costs of $111.8 million, an FDIC special assessment of $32.7 million, and an initial credit provision on acquired loans of $22.2 million, in each case in connection with our merger with PacWest Bancorp. The fourth quarter also included borrowing facility and termination fees of $19.5 million, additional expenses related to the HOA business of $16.8 million, and various nonrecurring expenses of approximately $8.7 million.
INCOME STATEMENT HIGHLIGHTS
|
Three Months Ended |
|
Year Ended |
|||||||||||||||||
|
December 31, |
|
September 30, |
|
December 31, |
|
December 31, |
|||||||||||||
| Summary Income Statement |
|
2023 |
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
| (In thousands) | |||||||||||||||||||
| Total interest income |
$ |
467,240 |
|
$ |
446,084 |
|
$ |
473,023 |
|
$ |
1,971,000 |
|
$ |
1,556,489 |
|
||||
| Total interest expense |
|
316,189 |
|
|
315,355 |
|
|
150,084 |
|
|
1,223,872 |
|
|
265,727 |
|
||||
| Net interest income |
|
151,051 |
|
|
130,729 |
|
|
322,939 |
|
|
747,128 |
|
|
1,290,762 |
|
||||
| Provision for credit losses |
|
47,000 |
|
|
– |
|
|
10,000 |
|
|
52,000 |
|
|
24,500 |
|
||||
| (Loss) gain on sale of loans |
|
(3,526 |
) |
|
(1,901 |
) |
|
388 |
|
|
(161,346 |
) |
|
518 |
|
||||
| Loss on sale of securities |
|
(442,413 |
) |
|
– |
|
|
(49,302 |
) |
|
(442,413 |
) |
|
(50,321 |
) |
||||
| Other noninterest income |
|
45,537 |
|
|
45,709 |
|
|
29,958 |
|
|
155,474 |
|
|
124,630 |
|
||||
| Total noninterest (loss) income |
|
(400,402 |
) |
|
43,808 |
|
|
(18,956 |
) |
|
(448,285 |
) |
|
74,827 |
|
||||
| Total revenue |
|
(249,351 |
) |
|
174,537 |
|
|
303,983 |
|
|
298,843 |
|
|
1,365,589 |
|
||||
| Goodwill impairment |
|
– |
|
|
– |
|
|
29,000 |
|
|
1,376,736 |
|
|
29,000 |
|
||||
| Acquisition, integration and reorganization costs |
|
111,800 |
|
|
9,925 |
|
|
5,703 |
|
|
142,633 |
|
|
5,703 |
|
||||
| Other noninterest expense |
|
251,838 |
|
|
191,178 |
|
|
192,129 |
|
|
938,812 |
|
|
738,818 |
|
||||
| Total noninterest expense |
|
363,638 |
|
|
201,103 |
|
|
226,832 |
|
|
2,458,181 |
|
|
773,521 |
|
||||
| (Loss) earnings before income taxes |
|
(659,989 |
) |
|
(26,566 |
) |
|
67,151 |
|
|
(2,211,338 |
) |
|
567,568 |
|
||||
| Income tax (benefit) expense |
|
(177,034 |
) |
|
(3,222 |
) |
|
17,642 |
|
|
(312,201 |
) |
|
143,955 |
|
||||
| Net (loss) earnings |
|
(482,955 |
) |
|
(23,344 |
) |
|
49,509 |
|
|
(1,899,137 |
) |
|
423,613 |
|
||||
| Preferred stock dividends |
|
9,947 |
|
|
9,947 |
|
|
9,947 |
|
|
39,788 |
|
|
19,339 |
|
||||
| Net (loss) earnings available to common and equivalent stockholders |
$ |
(492,902 |
) |
$ |
(33,291 |
) |
$ |
39,562 |
|
$ |
(1,938,925 |
) |
$ |
404,274 |
|
||||
Net Interest Income
Q4-2023 vs Q3–2023
Net interest income increased by $20.3 million, or 15.5%, to $151.1 million for the fourth quarter due primarily to a change in the interest-earning asset mix combined with net interest margin expansion.
Average interest-earning assets of $35.4 billion decreased by $0.4 billion from the prior quarter due to the sales of loans and securities, partially offset by acquired legacy Banc of California interest-earning assets. The net interest margin increased by 24 basis points to 1.69% for the fourth quarter as the yield on average interest-earning assets increased by 29 basis points, while the cost of average total funds increased by 7 basis points. The net interest margin for the month of December 2023 was 2.15% and the estimated spot net interest margin at December 31, 2023 was 2.75%.
The yield on average interest-earning assets increased by 29 basis points to 5.23% for the fourth quarter from 4.94% in the third quarter due mainly to the change in the interest-earning asset mix driven by the increase in the balance of average loans and leases as a percentage of average interest-earning assets from 62% to 67%, the decrease in the balance of average investment securities as a percentage of average interest-earning assets from 19% to 17%, and the balance of average deposits in financial institutions as a percentage of average interest-earning assets from 19% to 16%. The yield on average loans and leases increased by 28 basis points to 5.82% during the fourth quarter as a result of higher discount accretion income and changes in portfolio mix from loan sales and acquired loans and leases.
The cost of average total funds increased by 7 basis points to 3.68% for the fourth quarter from 3.61% in the third quarter due mainly to higher market interest rates on borrowings. The cost of average total deposits decreased by 4 basis points to 2.94% for the fourth quarter compared to 2.98% in the third quarter. The cost of average interest-bearing liabilities increased by 17 basis points to 4.51% for the fourth quarter from 4.34% in the third quarter. Average noninterest-bearing deposits increased by $0.5 billion for the fourth quarter compared to the third quarter and average total deposits increased by $0.6 billion.
The estimated spot rates, or exit run-rates, at December 31, 2023 were 6.18% for loans and leases and 5.63% for interest-earning assets. The spot rates at December 31, 2023 were 2.69% for total deposits and 2.99% for the total cost of funds.
Full Year 2023 vs Full Year 2022
Net interest income decreased by $543.6 million, or 42.1%, to $747.1 million for the year ended December 31, 2023 from the same period in 2022, due primarily to higher funding costs from higher market interest rates, changes in the balance sheet mix, and the enhanced liquidity management strategies in the first half of 2023 due to the operating environment.
The net interest margin decreased by 151 basis points to 1.98% as the cost of average total funds increased by 260 basis points, while the yield on average interest-earning assets increased by 101 basis points.
The yield on average interest-earning assets increased by 101 basis points to 5.21% for the year ended December 31, 2023 from 4.20% for the same period in 2022 due mainly to higher market interest rates, partially offset by the changes in the mix of average interest-earning assets. The yield on average loans and leases increased by 85 basis points to 5.92% for the year ended December 31, 2023 compared to the year ended December 31, 2022. The yield on average investment securities increased by 20 basis points to 2.56% for the same period. Average loans and leases represented 67% of average interest-earnings assets for the year ended December 31, 2023 compared to 70% for the year ended December 31, 2022. Average loans and leases decreased by $714.1 million due mainly to loan sales during the year to increase liquidity to fund potential deposit outflows.
The cost of average total funds increased by 260 basis points to 3.34% for the year ended December 31, 2023 from 0.74% for the year ended December 31, 2022 due mainly to higher market interest rates and changes in the balance sheet mix. The cost of average total deposits increased by 202 basis points to 2.61% for the year ended December 31, 2023 compared to the same period in 2022. The cost of average interest-bearing liabilities increased by 296 basis points to 4.14% for the year ended December 31, 2023 compared to 1.18% for the same period in 2022 driven primarily by a 249 basis point increase in the cost of average interest-bearing deposits to 3.46% from 0.97% for the same period in 2022. The increase in the cost of these funding sources was due mainly to the impact of higher market interest rates. Average noninterest-bearing deposits decreased by $6.5 billion for the year ended December 31, 2023 compared to the same period in 2022 and average total deposits decreased by $5.6 billion. Average noninterest-bearing deposits represented 25% of total average deposits for the year ended December 31, 2023 compared to 40% for the same period in 2022.
Provision For Credit Losses
Q4-2023 vs Q3–2023
The provision for credit losses was $47.0 million for the fourth quarter and included an initial provision of $22.2 million for acquired legacy Banc of California non-PCD loans. Outside this initial provision, the quarter’s expense was driven by $13.2 million of net charge-offs and a need for increased quantitative reserves resulting from revising the economic forecast to reflect a 60% probability weighting on recessionary scenarios and updating expected prepayment speeds based on a high interest rate environment. There was no provision for credit losses for the third quarter which included an $8.0 million provision for loan losses related to higher qualitative reserves on office loans, offset by an $8.0 million reversal of the provision for credit losses related to lower unfunded loan commitments.
Full Year 2023 vs Full Year 2022
During the year ended December 31, 2023, the provision for credit losses was $52.0 million and included a $113.5 million provision for loan losses, offset partially by a $61.5 million reversal of the provision for credit losses related to lower unfunded loan commitments. The provision for loan losses included an initial provision of $22.2 million for acquired legacy Banc of California non-PCD loans. The provision for credit losses was $23.0 million during the year ended December 31, 2022, and included a $5.0 million provision for loan losses and an $18.0 million provision related to higher unfunded loan commitments.
Noninterest Income
Q4-2023 vs Q3–2023
Noninterest income decreased by $444.2 million to a loss of $400.4 million for the fourth quarter due almost entirely to an increase in the loss on sale of securities of $442.4 million. As part of our balance sheet repositioning strategy, we sold $2.7 billion of legacy PacWest available-for-sale securities in the fourth quarter resulting in losses of $442.4 million. Additionally, we sold $0.8 billion of legacy Banc of California available-for-sale securities in December 2023 resulting in no gain or loss as these securities were marked to fair value at the close of the merger.
Full Year 2023 vs Full Year 2022
Noninterest income for the year ended December 31, 2023 decreased by $523.1 million to a loss of $448.3 million compared to the same period in 2022 due mainly to a $392.1 million increase in the loss on the sale of securities and a $161.9 million increase in the loss on the sale of loans, offset partially by higher dividends and gains from equity investments, higher leased equipment income, and higher other income primarily from legal settlements totaling $22.1 million.
Noninterest Expense
Q4-2023 vs Q3–2023
Noninterest expense increased by $162.5 million to $363.6 million for the fourth quarter compared to the third quarter. The increase was due mainly to acquisition, integration and reorganization costs of $111.8 million related to our merger with PacWest, an increase in insurance and assessments expense of $21.7 million, which includes $32.7 million for the FDIC special assessment, an increase of $18.9 million in customer related expense, and higher compensation expense of $17.7 million.
Full Year 2023 vs Full Year 2022
Noninterest expense for the year ended December 31, 2023 increased by $1.7 billion to $2.5 billion compared to the same period in 2022. The increase was due mainly to higher (i) goodwill impairment of $1.3 billion, (ii) acquisition, integration and reorganization costs of $136.9 million, (iii) regulatory assessments of $110.2 million due to the special FDIC assessment and the generally-applicable FDIC increased assessment rates in 2023, (iv) customer related expense of $68.8 million, and (v) other expense of $96.8 million, including $106.8 million of unfunded commitments fair value loss adjustments, offset partially by lower compensation expense of $74.5 million.
Income Taxes
Q4-2023 vs Q3–2023
An income tax benefit of $177.0 million was recorded for the fourth quarter resulting in an effective tax rate of 26.8% compared to a benefit of $3.2 million for the third quarter and an effective tax rate of 12.1%.
Full Year 2023 vs Full Year 2022
Income tax benefit totaled $312.2 million for the year ended December 31, 2023, representing an effective tax rate of 14.1%, compared to tax expense of $144.0 million and an effective tax rate of 25.4% for the year ended December 31, 2022. The lower effective tax rate in 2023 was primarily due to the effect of the non-deductible goodwill impairment.
BALANCE SHEET HIGHLIGHTS
|
December 31, |
|
September 30, |
|
December 31, |
|
Increase (Decrease) |
||||||||||
| Selected Balance Sheet Items |
2023 |
|
2023 |
|
2022 |
|
CQ vs PQ |
|
CQ vs PYQ |
|||||||
| (In thousands) | ||||||||||||||||
| Cash and cash equivalents |
$ |
5,377,576 |
$ |
6,069,667 |
$ |
2,240,222 |
$ |
(692,091 |
) |
$ |
3,137,354 |
|
||||
| Securities available-for-sale |
|
2,346,864 |
|
4,487,172 |
|
4,843,487 |
|
(2,140,308 |
) |
|
(2,496,623 |
) |
||||
| Securities held-to-maturity |
|
2,287,291 |
|
2,282,586 |
|
2,269,135 |
|
4,705 |
|
|
18,156 |
|
||||
| Loan held for investment, net of deferred fees |
|
25,489,687 |
|
21,920,946 |
|
28,609,129 |
|
3,568,741 |
|
|
(3,119,442 |
) |
||||
| Total assets |
|
38,534,064 |
|
36,877,833 |
|
41,228,936 |
|
1,656,231 |
|
|
(2,694,872 |
) |
||||
| Noninterest-bearing deposits |
$ |
7,774,254 |
$ |
5,579,033 |
$ |
11,212,357 |
$ |
2,195,221 |
|
$ |
(3,438,103 |
) |
||||
| Total deposits |
|
30,401,769 |
|
26,598,681 |
|
33,936,334 |
|
3,803,088 |
|
|
(3,534,565 |
) |
||||
| Borrowings |
|
2,911,322 |
|
6,294,525 |
|
1,764,030 |
|
(3,383,203 |
) |
|
1,147,292 |
|
||||
| Total liabilities |
|
35,143,299 |
|
34,478,556 |
|
37,278,405 |
|
664,743 |
|
|
(2,135,106 |
) |
||||
| Total stockholders’ equity |
|
3,390,765 |
|
2,399,277 |
|
3,950,531 |
|
991,488 |
|
|
(559,766 |
) |
||||
Securities
The balance of securities held-to-maturity (“HTM”) remained consistent through the fourth quarter and totaled $2.3 billion at December 31, 2023. As of December 31, 2023, HTM securities had aggregate unrealized net after-tax losses in AOCI of $181.4 million remaining from the balance established at the time of transfer on June 1, 2022. These HTM unrealized losses are related to changes in overall interest rates.
Securities available-for-sale (“AFS”) decreased by $2.1 billion during the fourth quarter to $2.3 billion at December 31, 2023, due primarily to legacy PacWest securities sales of $2.7 billion, offset partially by a reduction in the unrealized net pre-tax losses. The decrease in unrealized net losses was due to the impact of lower market interest rate forward curves. AFS securities had aggregate unrealized net after-tax losses in AOCI of $252.2 million. These AFS unrealized net losses related primarily to changes in overall interest rates and spreads and the resulting impact on valuations.
Loans
The following table sets forth the composition, by loan category, of our loan portfolio as of the dates indicated:
|
December 31, |
|
September 30, |
|
June 30, |
|
March 31, |
|
December 31, |
|||||||||||
| Composition of Loans and Leases |
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2022 |
|
| (Dollars in thousands) | |||||||||||||||||||
| Real estate mortgage: | |||||||||||||||||||
| Commercial |
$ |
5,026,497 |
|
$ |
3,526,308 |
|
$ |
3,610,320 |
|
$ |
3,808,751 |
|
$ |
3,846,831 |
|
||||
| Multi-family |
|
6,025,179 |
|
|
5,279,659 |
|
|
5,304,544 |
|
|
5,523,320 |
|
|
5,607,865 |
|
||||
| Other residential |
|
5,060,309 |
|
|
5,228,524 |
|
|
5,373,178 |
|
|
6,075,540 |
|
|
6,275,628 |
|
||||
| Total real estate mortgage |
|
16,111,985 |
|
|
14,034,491 |
|
|
14,288,042 |
|
|
15,407,611 |
|
|
15,730,324 |
|
||||
| Real estate construction and land: | |||||||||||||||||||
| Commercial |
|
759,585 |
|
|
465,266 |
|
|
415,997 |
|
|
910,327 |
|
|
898,592 |
|
||||
| Residential |
|
2,399,684 |
|
|
2,272,271 |
|
|
2,049,526 |
|
|
3,698,113 |
|
|
3,253,580 |
|
||||
| Total real estate construction and land |
|
3,159,269 |
|
|
2,737,537 |
|
|
2,465,523 |
|
|
4,608,440 |
|
|
4,152,172 |
|
||||
| Total real estate |
|
19,271,254 |
|
|
16,772,028 |
|
|
16,753,565 |
|
|
20,016,051 |
|
|
19,882,496 |
|
||||
| Commercial: | |||||||||||||||||||
| Asset-based |
|
2,189,085 |
|
|
2,287,893 |
|
|
2,357,098 |
|
|
2,068,327 |
|
|
5,140,209 |
|
||||
| Venture capital |
|
1,446,362 |
|
|
1,464,160 |
|
|
1,723,476 |
|
|
2,058,237 |
|
|
2,033,302 |
|
||||
| Other commercial |
|
2,129,860 |
|
|
1,002,377 |
|
|
1,014,212 |
|
|
1,102,543 |
|
|
1,108,451 |
|
||||
| Total commercial |
|
5,765,307 |
|
|
4,754,430 |
|
|
5,094,786 |
|
|
5,229,107 |
|
|
8,281,962 |
|
||||
| Consumer |
|
453,126 |
|
|
394,488 |
|
|
409,859 |
|
|
427,223 |
|
|
444,671 |
|
||||
| Total loans and leases held for investment, net of deferred fees |
$ |
25,489,687 |
|
$ |
21,920,946 |
|
$ |
22,258,210 |
|
$ |
25,672,381 |
|
$ |
28,609,129 |
|
||||
| Total unfunded loan commitments |
$ |
5,578,907 |
|
$ |
5,289,221 |
|
$ |
5,845,375 |
|
$ |
9,776,789 |
|
$ |
11,110,264 |
|
||||
| Composition as % of Total |
December 31, |
|
September 30, |
|
June 30, |
|
March 31, |
|
December 31, |
||||||||||
| Loans and Leases |
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2023 |
|
|
|
2022 |
|
| Real estate mortgage: | |||||||||||||||||||
| Commercial |
|
20 |
% |
|
16 |
% |
|
16 |
% |
|
15 |
% |
|
13 |
% |
||||
| Multi-family |
|
23 |
% |
|
24 |
% |
|
24 |
% |
|
21 |
% |
|
20 |
% |
||||
| Other residential |
|
20 |
% |
|
24 |
% |
|
24 |
% |
|
24 |
% |
|
22 |
% |
||||
| Total real estate mortgage |
|
63 |
% |
|
64 |
% |
|
64 |
% |
|
60 |
% |
|
55 |
% |
||||
| Real estate construction and land: | |||||||||||||||||||
| Commercial |
|
3 |
% |
|
2 |
% |
|
2 |
% |
|
4 |
% |
|
3 |
% |
||||
| Residential |
|
9 |
% |
|
10 |
% |
|
9 |
% |
|
14 |
% |
|
11 |
% |
||||
| Total real estate construction and land |
|
12 |
% |
|
12 |
% |
|
11 |
% |
|
18 |
% |
|
14 |
% |
||||
| Total real estate |
|
75 |
% |
|
76 |
% |
|
75 |
% |
|
78 |
% |
|
69 |
% |
||||
| Commercial: | |||||||||||||||||||
| Asset-based |
|
9 |
% |
|
10 |
% |
|
11 |
% |
|
8 |
% |
|
18 |
% |
||||
| Venture capital |
|
6 |
% |
|
7 |
% |
|
8 |
% |
|
8 |
% |
|
7 |
% |
||||
| Other commercial |
|
8 |
% |
|
5 |
% |
|
4 |
% |
|
4 |
% |
|
4 |
% |
||||
| Total commercial |
|
23 |
% |
|
22 |
% |
|
23 |
% |
|
20 |
% |
|
29 |
% |
||||
| Consumer |
|
2 |
% |
|
2 |
% |
|
2 |
% |
|
2 |
% |
|
2 |
% |
||||
| Total loans and leases held for investment, net of deferred fees |
|
100 |
% |
|
100 |
% |
|
100 |
% |
|
100 |
% |
|
100 |
% |
||||
Total loans and leases ended the fourth quarter of 2023 at $25.5 billion, up $3.6 billion from $21.9 billion at September 30, 2023, due primarily to the addition of $6.1 billion of legacy Banc of California loans at fair value, partially offset by sales of legacy Banc of California loans totaling $2.
Contacts
Investor Relations Inquiries:
Banc of California, Inc.
(855) 361-2262
Jared Wolff, (310) 424-1230
Joe Kauder, (310) 844-5224
William Black, (919) 597-7466
Media Contact:
Debora Vrana, Banc of California
(213) 999-4141
[email protected]
Source: Banc of California, Inc.
