RBB Bancorp (RBB) SEC Filings & Earnings Calls

Deposit cost increased to 2.82% from 2.75% due to Fed rate hike, pressuring funding costs.

“The period end weighted average interest rate for total deposits increased to 2.82% at September 30, 2026 from 2.75% at June 30, 2026. The increase is due in part to the impact of the recent 25 basis point increase to the Federal funds rate.” · word for word

Provision for credit losses increased to $500K from zero due to loan growth, though credit quality improved.

“The provision for credit losses was $500,000 for the third quarter of 2026 compared to no provision for the second quarter of 2026.” · word for word

Loss of key operations executive

“Departure of EVP and COO”

Concentration in CRE and construction loans

“CRE loans $1,277,559 and Construction loans $146,273 represent 43% of total loans HFI”

Unrealized losses on securities portfolio

“Gross unrealized losses on AFS securities $21,406K at June 30, 2026”

NIM compression due to subordinated note repricing; interest expense increased $829K.

“increase in interest on subordinated notes as a result of the notes repricing from 4.00% to 6.98%” · word for word

Concentration in real estate loans

“Although we seek to avoid concentrations of loans to a single industry or based upon a single class of collateral, real estate and real estate associated businesses are among the principal industries in our market area and, as a result, our loan and collateral portfolios are, to some degree, concentrated in those industries.” · word for word

Credit risk from nonaccrual loans

“Nonaccrual loans $44,568 at March 31, 2026, with $41,436 having no allowance for loan losses.”

Interest rate risk from securities portfolio

“Unrealized losses on AFS securities $21,369 at March 31, 2026, primarily attributed to yield curve movement.”

Modest loan balance pressure; net interest income decline from fewer days and lower yields on cash/securities.

“modest pressure on loan balances; $390,000 decrease in interest income”

Credit quality improvement but NPL ratio still above threshold

“NPLs / Loans HFI: 1.35% (2025 Results) vs Threshold 1.25% (50% payout) – resulted in 0% payout for this metric.”

Key person dependency on CEO transition

“Mr. Johnny Lee appointed President and CEO effective January 1, 2025; Mr. David Morris retired in May 2025.”

Loss of board experience

“Dr. Lin served on Audit, Directors Loan, and CRA committees”

California wildfire exposure

“the California wildfires in Los Angeles County in January 2025 destroyed considerable commercial and residential properties impacting the businesses and lives of clients, employees and other shareholders.” · word for word

Elevated net charge-offs

“Net charge-offs totaled $14.4 million, or 0.45% of average loans HFI, for the year ended December 31, 2025, and $3.9 million, or 0.13% of average loans HFI, for the year ended December 31, 2024.” · word for word

Concentration in California real estate

“approximately 58.8% of the aggregate outstanding principal of our total loan portfolio was secured by real estate located in California or businesses in California.” · word for word

Credit quality improving but nonperforming assets remain elevated at $53.5M.

“Nonperforming assets decreased $27.6 million, or 34.0%, to $53.5 million at December 31, 2025 compared to year-end 2024.” · word for word

Concentration in real estate loans

“Real estate loans (single-family, CRE, construction) total $3.10B out of $3.30B total loans HFI.”

Unrealized losses on securities portfolio

“Gross unrealized losses on AFS securities $22.2M at Sep 2025.”