Private Bancorp of America, Inc. Announces Strong Net Income for Third Quarter 2026
Key Highlights
- ➤Q3 net income $11.4 million, versus $13.1 million prior quarter and $9.7 million year-ago
- ➤Q3 diluted EPS $1.97, versus $2.27 prior quarter and $1.65 year-ago
- ➤Core deposits $2.36 billion, up 7.8% year over year
- ➤Loans HFI $2.19 billion, up 5.0% year over year
- ➤Criticized loans $71.9 million, or 3.29% of loans, up from 2.72% prior quarter
Expert Statements
Rick Sowers, President and Chief Executive Officer of Private Bancorp of America, Inc. and CalPrivate Bank
“We are pleased with our third quarter results. The quarter included strong loan production and continued top-quartile net interest margin. Pipelines are strong going into the fourth quarter. Although criticized assets increased in the quarter, we are dedicating the appropriate resources to improve our credit metrics and believe that reserves are more than adequate. Our focus remains on delivering superior service and solutions to our clients and building a scalable business through investments in technology and people, including our recent hires in key positions — Chief Operating Officer, Chief Credit Officer and General Counsel, amongst others.”
Rick Sowers, President and Chief Executive Officer of Private Bancorp of America, Inc. and CalPrivate Bank
“This year we celebrate 20 years of providing our signature Distinctly Different® service. It’s this commitment to quality service delivered by an exceptional team that has driven consistent growth and shareholder value creation.”
Selwyn Isakow, Chairman of the Board of Private Bancorp of America, Inc. and CalPrivate Bank
“PBAM began trading on NASDAQ on July 30, 2026, and the subsequent share price performance reflected not only continued attractive financial results but also the increase in trading volume in the third quarter. We thank the management team and the professional support we received for their sterling efforts in this transformative uplisting. Profitability continues to be strong and the potential of being included in the reconstitution of the Russell 2000 Index provides additional momentum. The listing also creates additional strategic options and flexibility in pursuing external growth opportunities and enhances our successful team lift-out organic growth strategy by enhancing operational advantages in retaining and hiring exceptional talent. These factors, together with access to capital, provide opportunities for creating sustainable long-term value for shareholders.”
Third Quarter 2026 Highlights * Net income for the third quarter of 2026 was $11.4 million, compared to $13.1 million in the prior quarter and $9.7 million in the third quarter of 2025. * Net income for the third quarter of 2026 represents a return on average assets of 1.65% and a return on average tangible common equity((1)) of 15.62%. * Diluted earnings per share for the third quarter of 2026 was $1.97, compared to $2.27 in the prior quarter and $1.65 in the third quarter of 2025. * Core deposits were $2.36 billion as of September 30, 2026, an increase of $31.8 million, or 1.4%, from June 30, 2026, and an increase of $171.5 million, or 7.8%, from September 30, 2025. Total deposits were $2.41 billion. There was no change to the balance in brokered deposits. * Total cost of deposits was 1.66% for the third quarter of 2026, compared to 1.63% in the prior quarter and 2.02% in the third quarter of 2025, an increase of 3 bps quarter over quarter and a decrease of 17.8% year over year. The spot rate for total deposits was 1.68% as of September 30, 2026, compared to 1.65% at June 30, 2026. Total cost of funding sources was 1.71% for the third quarter of 2026, compared to 1.68% in the prior quarter and 2.08% in the third quarter of 2025. * Loans held-for-investment (“HFI”) totaled $2.19 billion as of September 30, 2026, an increase of $54.0 million, or 2.5%, from June 30, 2026, and an increase of $105.1 million, or 5.0%, from September 30, 2025. * Investment securities available-for-sale (“AFS”) were $267.7 million as of September 30, 2026, an increase of $30.6 million, or 12.9%, since June 30, 2026, and an increase of $67.8 million, or 33.9%, from September 30, 2025, primarily as a result of new securities purchased. * Net interest margin was 5.05% for the third quarter of 2026, compared to 5.18% in the prior quarter and 4.65% in the third quarter of 2025. * For the third quarter of 2026, a provision expense of $1.3 million was recorded, compared to a provision reversal of $0.2 million for the prior quarter and a provision expense of $1.8 million for the third quarter of 2025. The allowance for loan losses was 1.45% of loans HFI as of September 30, 2026, compared to 1.43% at June 30, 2026 and 1.38% at September 30, 2025. * As of September 30, 2026, criticized loans totaled $71.9 million, or 3.29% of total loans, compared to $58.0 million, or 2.72% of total loans, at June 30, 2026 and $70.5 million, or 3.39% of total loans, at September 30, 2025. * Tangible book value per share((1)) was $50.56 as of September 30, 2026, compared to $49.57 at June 30, 2026 and $44.11 at September 30, 2025. * The Company’s Registration Statement on Form 10 (the “Registration Statement”) was declared effective by the Securities and Exchange Commission on July 29, 2026, and its common stock began trading on the NASDAQ Global Select Market (“NASDAQ”) on July 30, 2026 (the “NASDAQ Uplisting”). Included in the quarter were approximately $0.9 million of expenses associated with the NASDAQ Uplisting, and approximately $1.4 million year to date. LA JOLLA, Calif., Oct. 16, 2026 (GLOBE NEWSWIRE) -- Private Bancorp of America, Inc. (NASDAQ: PBAM), (the “Company”) and CalPrivate Bank (the “Bank”) announced unaudited financial results for the third fiscal quarter ended September 30, 2026. The Company reported net income of $11.4 million, or $1.97 per diluted share, for the third quarter of 2026, compared to $13.1 million, or $2.27 per diluted share, in the prior quarter, and $9.7 million, or $1.65 per diluted share, in the third quarter of 2025.
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