BANC Earnings Prediction
The chart below shows how BANC performed 10 days before and after its earnings report, based on data from the past quarters. Typically, BANC sees a -1.94% change in stock price 10 days leading up to the earnings, and a -0.69% change 10 days following the report. On the earnings day itself, the stock moves by -0.04%. This data can give you a slight idea of what to expect for the next quarter's release.
BANC Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
238.90M
186.76%
25.00%
Gross Margin
--
--
--
Operating Margin
28.92%
110.17%
402.08%
Net Margin
23.83%
102.91%
418.04%
EPS
0.28
106.15%
-2900.00%
No Data Available
BANC Earnings Analysis
Banc of California Inc Corporation (BANC.N) Earnings Conference Call
Positive
Non-Interest-Bearing Deposit Growth: NIB deposits increased to 29.1% of total average deposits, up nearly 7% year-over-year, indicating strong growth in non-interest-bearing deposits.
Funding Stability Improvement: Wholesale funding was reduced to 10.3% of assets, down from nearly 17% in Q4 2023, reflecting improved funding stability and cost management.
C&I Loan Portfolio Growth: C&I loans grew to 30.1% of the core loan portfolio, up from 25.6% a year ago, demonstrating effective loan growth strategies.
Net Interest Margin Expansion: Net interest margin expanded by 135 basis points year-over-year, contributing to a strong increase in profitability metrics across the board.
Q4 Net Income Performance: Net income for Q4 reached $47 million, or $0.28 per share, reflecting strong core profitability driven by balance sheet optimization and cost-saving initiatives.
Negative
Net Interest Income Decline: Net interest income decreased by $22.4 million, primarily due to the impact of rate cuts on cash balances and lower average interest-earning assets.
Non-Interest Income Volatility: Non-interest income totaled $29 million, which included a negative mark-to-market adjustment and lower dividend income compared to the prior quarter, indicating volatility and potential revenue instability.
Expense Normalization Forecast: Total non-interest expenses are expected to normalize in Q1 2025, with guidance suggesting an increase to $190 million to $195 million, reflecting a seasonal uptick and potential cost pressures.
Loan Portfolio Risk Concentration: The increase in problem loan categories was largely driven by a single borrower relationship, indicating potential risk concentration and vulnerability in the loan portfolio.
Life Sciences Loan Charge-offs: Charge-offs included $14 million in life sciences loans, suggesting exposure to higher-risk sectors and potential future credit quality issues.
BANC FAQs
How does BANC typically perform around its earnings report dates?
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BANC Earning Call Sentiment
Earnings call transcript: Banc of California beats Q4 2024 EPS forecast
BANC.N
-2.26%Positive
The earnings call summary reflects strong financial performance with increased net income and EPS, along with a positive net interest margin trend. The shareholder return plan, including potential buybacks, is favorable. Despite some uncertainties in the Q&A, such as unclear responses on margins and expenses, the overall sentiment is positive. The market cap suggests moderate volatility, and the strategic focus on reducing costs and enhancing capital efficiency further supports a positive outlook. Thus, a stock price increase of 2% to 8% is expected over the next two weeks.
