RBB Bancorp Achieves Strong Earnings Growth, Expands into Northern California
RBB Bancorp, a leading bank holding company, has reported another solid quarter of earnings and continued progress across key metrics. The company's President and Chief Executive Officer, Johnny Lee, announced the results on a recent conference call.
During the second quarter of 2026, RBB Bancorp generated net income of $10.1 million, or $0.59 per share, representing a 13% increase from the same quarter in 2025. This growth was driven by improved credit quality, loan and deposit growth, and capital actions.
Johnny Lee highlighted the company's progress on credit quality, stating that non-performing assets declined 11% to 1.02% of total assets during the quarter. Loan originations also accelerated, with $159 million of new loans at an average yield of 6.3%. The lending pipeline remains healthy across the franchise, and RBB Bancorp expects continued progress on loan growth in the second half of the year.
An exciting development for the company is its expansion into Northern California, where it has recently opened a loan production office in Burlingame and hired a commercial banking team in the San Francisco Bay Area. This move will help RBB Bancorp expand its commercial banking business in a market that is a natural fit for the company.
The team in Northern California will be led by John Curtis, who brings over 37 years of financial services experience, including serving as President and CEO of the Bank of the Orient. Curtis has a strong track record of building high-performing lending organizations.
Deposits grew $50.8 million in the quarter, with non-interest-bearing deposits increasing to 17.5% of total deposits. This steady growth in core funding, combined with RBB Bancorp's strong regulatory capital, will help position the company to redeem $40 million of its subordinate debt on July 1st.
RBB Bancorp's Chief Financial Officer, Lynn Hopkins, discussed the results in more detail during the conference call. She noted that net income declined from the first quarter due primarily to lower gains from REO sales, but the year-over-year improvement of approximately 13% in earnings per share reflects the impact of share repurchases and sustained progress in growing net interest income and reducing credit costs over the past year.
The company's net interest income was $30.1 million for the second quarter, compared to $30.5 million in the first quarter. The decrease was primarily due to lower FHLB dividend income and higher subordinated debt service, offset in part by a lower cost of deposits. RBB Bancorp's net interest margin was 306 for the second quarter, down nine basis points from 315 in the first quarter.
