Business Wire·Oct 21, 2026, 4:30 PM ET

Cathay General Bancorp Announces Third Quarter 2026 Results

CATY

Cathay General Bancorp reported third quarter 2026 net income of $95.2 million, or $1.43 per diluted share, compared to $92.2 million, or $1.37 per diluted share, in the second quarter 2026.
Net interest income reached a record $211.9 million, an increase of 5.5% from the prior quarter, while the net interest margin expanded four basis points to 3.52%.
Total loans excluding held-for-sale assets increased $574.5 million, or 2.79%, to $21.20 billion, and total deposits grew $773.3 million, or 3.67%, to $21.83 billion.
Nonperforming assets declined $26.2 million, or 18.0%, to $119.2 million, reducing the ratio of nonperforming assets to total assets from 0.59% to 0.47%.
The provision for credit losses was $28.6 million, primarily reflecting strong loan growth and updated loss assumptions incorporating recent charge-off experience.
Non-interest income surged $21.4 million, or 99.8%, to $42.8 million, driven mainly by a $24.4 million increase in net gains from equity securities.
Non-interest expense rose $11.1 million, or 12.0%, to $103.4 million, due to an $8.0 million charitable contribution, a $5.4 million contract termination fee, and higher salaries.
The company completed the redemption of $54.1 million of Trust Preferred Securities, representing approximately 45% of its outstanding TruPS.
As of September 30, 2026, the Common Equity Tier 1 risk-based capital ratio was 13.51%, exceeding all applicable regulatory requirements.
Net income for the nine months ended September 30, 2026, totaled $274.3 million, a 22.1% increase from the same period in 2025.
Diluted earnings per share for the nine-month period were $4.09, up from $3.21 in the prior year, while the efficiency ratio improved to 40.82% from 44.18%.
The conference call to discuss these financial results is scheduled for Wednesday, October 21, 2026, at 3:00 p.m. Pacific Time.