Hanmi Financial Corporation Reports Increased Net Income of $22.1 Million for Q3 2025

Hanmi Financial Corporation reported a significant increase in its financial performance for the third quarter of 2025, with net income rising to $22.1 million, or $0.73 per diluted share, compared to $14.9 million, or $0.49 per diluted share, in the same period last year. This growth was primarily driven by an $11 million increase in net interest income, which reached $61.1 million, and a $1.4 million rise in noninterest income, totaling $9.9 million. The company also noted a $2.3 million increase in noninterest expenses and a $3.2 million rise in income tax expenses, with credit loss expenses slightly decreasing to $2.1 million from $2.3 million year-over-year.

For the nine months ending September 30, 2025, Hanmi Financial's net income was $54.9 million, or $1.82 per diluted share, up from $44.5 million, or $1.47 per diluted share, in the prior year. The increase was attributed to a $24 million rise in net interest income and a $1.4 million increase in noninterest income, although this was partially offset by a $9 million increase in credit loss expenses. The company’s total loans receivable increased by $277.2 million, or 4.5%, to $6.46 billion, driven by $1.2 billion in new loan production, despite $1 billion in payoffs and other reductions.

In terms of operational metrics, total deposits rose to $6.77 billion as of September 30, 2025, compared to $6.44 billion at the end of 2024, reflecting a 5.1% increase. This growth was supported by a $160.5 million increase in money market and savings deposits and a $173.4 million rise in time deposits. The company’s loan-to-deposit ratio stood at 96.5%, slightly down from 97.1% at the end of the previous year. Additionally, Hanmi Financial's capital ratios remained strong, with a total risk-based capital ratio of 15.05% and a Tier 1 capital ratio of 12.33%, both exceeding regulatory requirements for a "well-capitalized" institution.

Strategically, Hanmi Financial has made adjustments to its credit loss estimation methodology effective January 1, 2025, transitioning to a historical loss rate approach. This change is expected to enhance the accuracy of the allowance for credit losses, which was $69.8 million as of September 30, 2025, compared to $70.1 million at the end of 2024. The company also reported a decrease in nonperforming loans to $19.4 million from $14.3 million, indicating improved asset quality. Looking ahead, Hanmi Financial remains focused on maintaining its capital strength and liquidity while navigating the evolving economic landscape.