Preferred Bank offers a wide array of commercial banking products and services throughout the United States. Its primary clients include small and ...
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Est. EPS $2.70 · Revenue $73.39M · 4 analysts
Est. EPS $2.68
Est. EPS $2.72 · Revenue $74.20M · 4 analysts
Est. EPS $10.72 · Revenue $291.03M · 5 analysts
$3.15 per share
$3.15 per share
EPS $2.78 · Revenue $125.75M
EPS $2.53 · Revenue $120.82M
EPS $10.41 · Revenue $499.04M
EPS $2.84 · Revenue $130.51M
| Metric | Latest | YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength. | QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes. |
|---|---|---|---|
| RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three). | $499.0M | -4.1% | +4.1% |
| Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day. | $133.6M | +2.3% | +7.7% |
| Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials. | +55.0% | +5.2% | +2.2% |
| Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on). | +38.0% | +7.4% | +4.6% |
| Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales. | +26.8% | +6.7% | +3.5% |
| Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock. | $166.8M | +1.9% | -40.0% |
| FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine. | +33.4% | +6.3% | -42.3% |
| Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe. | 48.6% | +124.2% | -3.2% |
| Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking. | 149.60x | +110678.1% | +39.3% |
| Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground. | $7.6B | +9.8% | +1.0% |
| Metric | Annual (A vs E) | Annual Surprise | Quarter (A vs E) | Quarter Surprise |
|---|---|---|---|---|
| EPS Surprise | 10.41 vs 10.36 | +0.5% | 2.78 vs 2.65 | +4.8% |
| Revenue Surprise | $499.0M vs $287.0M | +73.9% | $125.7M vs $73.6M | +70.9% |
Operator : Good day, everyone, and welcome to the Preferred Bank second quarter 2026 earnings conference call. Please note that this event is being recorded. I would now like to turn the conference over to Jeff Haas of Financial Profiles. Please go ahead, sir. Jeff Haas : Thank you, Cole. Hello, everyone, and thank you for joining us to discuss Preferred Bank's financial results for the second quarter ended June 30, 2026. With me today from management are Chairman and CEO Li Yu; President and Chief Operating Officer, Wellington Chen; Chief Financial Officer Edward Czajka; Chief Risk Officer, Nick Pi; and Deputy Chief Operating Officer, Johnny Hsu. Management will provide a brief summary of the results, and then we will open up the call to your questions. During the course of this conference call, statements made by management may include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based upon specific assumptions that may or may not prove correct. Forward-looking statements are also subject to known and unknown risks, uncertainties, and other factors relating to Preferred Bank's operations and business environment, all of which are difficult to predict and many of which are beyond the control of Preferred Bank. For a detailed description of these risks and uncertainties, please refer to the SEC required documents the bank files with the Federal Deposit Insurance Corporation or FDIC. If any of these risks materialize or any of these assumptions prove incorrect, Preferred Bank's results could differ materially from its expectations as set forth in these statements. Preferred Bank assumes no obligation to update such forward-looking statements. At this time, I'd like to turn the call over to Mr. Li Yu. Li Yu : Thank you all for joining our conference phone call. Good morning. We are pleased to report that our net income for the second quarter of 2026 was $33.5 million or $2.78 a share. This number compares favorably with previous quarter and same quarter previous year. It also exceeded our internal budget. For this quarter, we have been quite focused on the resolution of troubled assets, okay? Non-performing loans during the quarter has been reduced $70 million or 41.5%. And likewise, the criticized loans have been reduced by $90 million or 34%. With the large reduction in classified assets or criticized loans, okay? The reserve requirement on these items has been reduced. Therefore, our provision expense for the quarter is $1.2 million. Looking ahead at June 30, okay, we still have 3 more loans totaling $60 million -- non-performing loans, totaling $60 million, scheduled to be resolved in the second half of 2026. However, as each one of them is involved in its own bankruptcy case proceeding, the exact timing of the resolution will be at the mercy of our legal system. This quarter we have satisfactory or good loan production activities. Loan increased …
| Name | Title | Compensation | Gender | Year Born | Status |
|---|---|---|---|---|---|
Li Yu | Chairman, Chief Executive Officer & Corporate Secretary | USD 2,201,530 | Male | 1941 | Active |
Wellington Chen | President & Chief Operating Officer | USD 1,365,154 | Male | 1960 | Active |
Edward J. Czajka | Executive Vice President & Chief Financial Officer | USD 913,404 | Male | 1964 | Active |
Nick Pi | Executive Vice President & Chief Risk Officer | USD 824,288 | Male | 1961 | Active |
Johnny Hsu | Executive Vice President & Deputy Chief Operating Officer | USD 713,092 | Male | 1975 | Active |
Robert J. Kosof | Executive Vice President of Commercial Lending | USD 388,207 | Male | 1944 | Active |
Stella Chen | Senior Vice President | USD 172,263 | Female | — | Active |
Sandy | Executive Vice President & Regional Manager | USD 169,420 | Female | — | Active |
Erika Chi | Executive Vice President | — | — | — | Active |
Ted Hsu | Executive Vice President | — | Male | 1958 | Active |
Dividends are one of the best benefits to being a shareholder, but finding a great dividend stock is no easy task. Does Preferred Bank (PFBC) have what it takes?
Dividends are one of the best benefits to being a shareholder, but finding a great dividend stock is no easy task. Does Preferred Bank (PFBC) have what it takes?
Preferred Bank (PFBC) Q2 2026 Earnings Call Transcript
Preferred Bank NASDAQ: PFBC reported second-quarter 2026 net income of $33.5 million, or $2.78 per share, with Chairman and CEO Li Yu saying the results compared favorably with the prior quarter and year-earlier period and exceeded the bank's internal budget.
Although the revenue and EPS for Preferred Bank (PFBC) give a sense of how its business performed in the quarter ended June 2026, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
