BANC OF CALIFORNIA, INC. (BANC) Form 10-Q — Aug 7, 2026

$BANCForm 10-QFiled Aug 7, 2026, 4:35 PM ET0001628280-26-054876Original filing

Banc of California reported a Q2 2026 net loss of $241.3 million, or $(1.61) per diluted share, swinging from net earnings of $28.4 million ($0.12 diluted) in Q2 2025 and $72.0 million ($0.39 diluted) in Q1 2026. The loss was driven by deliberate strategic balance sheet actions: a securities repositioning that sold $2.3 billion of lower-yielding HTM securities at a $256.7 million pre-tax loss, a $161.8 million provision tied to transferring $827.0 million of CRE and multi-family construction loans into held-for-sale ahead of a July 2026 sale agreement, and redemption of $385.0 million of 3.25% subordinated notes before a higher rate reset.

Key figures

Eps: -$1.61 diluted (Q2 2026); -$1.22 diluted for 6M 2026
Revenue: $16.4M GAAP total revenue in Q2 2026 (net interest income $250.5M less $234.1M noninterest loss, depressed by the securities sale loss)
Net Income: -$241.3M Q2 2026 net loss (-$251.3M available to common and equivalent stockholders)
Total Debt: Borrowings $2.46B plus subordinated debt $573.6M net at June 30, 2026
Total Assets: $35.03B (total liabilities and stockholders' equity, June 30, 2026)
Cash Position: $2.82B cash, cash equivalents and restricted cash at June 30, 2026
Shares Outstanding: 157950529
Roatce q2 2026: -36.18%
Targeted loan sale: $827.0M of CRE and multi-family construction loans transferred from HFI to HFS; sale agreements entered July 2026
Loan to deposit ratio: 89.3%, down 235 bps
Deposit growth q2 2026: +$799.0M (+2.9%) during the quarter
Loss on securities afs: $256.7M pre-tax in Q2 2026 from repositioning $2.3B of HTM securities
Warburg nvce repurchase: 1,000,000 NVCE shares repurchased from Warburg Investors at $20.00 per share during 6M 2026
Buyback activity 6m 2026: 1,709,935 shares repurchased for $31.9M at $18.68 weighted average; $82.6M remaining under $300M authorization extended through March 16, 2027
Securities repositioning: $2.3B lower-yielding HTM securities sold; $1.7B redeployed into higher-yielding shorter-duration securities; remaining proceeds expected invested in Q3 2026; 276 bps yield pickup on redeployed balances
Total stockholders equity: $3.41B at June 30, 2026 vs $3.54B at December 31, 2025
Dividends declared aug 2026: $0.12 per common share (payable Oct 1, 2026) and $0.4845 per preferred depositary share (payable Sep 1, 2026)
Net interest income q2 2026: $250.5M (vs $240.2M in Q2 2025)
Subordinated debt redemption: $385.0M of 3.25% Fixed-to-Floating Subordinated Notes due 2031 redeemed May 1, 2026
Tangible book value per share: $16.44 at June 30, 2026 vs $17.51 at December 31, 2025
Provision for credit losses q2 2026: $161.8M (vs $9.8M in Q1 2026 and $39.1M in Q2 2025)

Price after filing

1 day: 0.0%7 days: +5.4%30 days: +1.0%

Close on the filing date to close N calendar days later (from $18.73). Historical, not a forecast.

AI analysis

Red flags6 · Pro

The rest of the AI analysis, red flags and sentiment are part of Signal8 Pro.

Upgrade to Pro · $49/mo billed annually

AI-generated analysis of a public disclosure. Not investment advice; verify against the original document.