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Sep 30, 2022

Banc of California Q3 2022 Earnings Report

Reported strong profitability and continued growth in noninterest-bearing deposits.

Key Takeaways

Banc of California reported a net income of $24.2 million, or $0.40 per diluted common share, for Q3 2022. The quarter's results include pre-tax transaction costs of $2.1 million related to the Deepstack acquisition. The company's noninterest-bearing deposits grew by $117.0 million, representing 40% of total quarter-end deposits.

Completed the acquisition of Deepstack Technologies on September 15, 2022.

Achieved an adjusted diluted EPS of $0.44.

Noninterest-bearing deposits increased by $117.0 million, representing 40% of total quarter-end deposits.

Repurchased $13.0 million of common stock during the quarter.

Total Revenue
$79.4M
Previous year: $63M
+26.1%
EPS
$0.44
Previous year: $0.38
+15.8%
Net Interest Margin
3.58%
Previous year: 3.28%
+9.1%
Cash and Equivalents
$256M
Previous year: $186M
+37.8%
Total Assets
$9.37B
Previous year: $8.28B
+13.2%

Banc of California

Banc of California

Forward Guidance

Banc of California expects asset sensitivity to support earnings growth going forward and anticipate the payments business to become a consistent source of high margin fee income and noninterest-bearing deposits in the next few years.