Net interest income grew 9.7% YoY to $129.0M in Q2 2026, but the net interest margin remained at 0.7%, and fee income fell to 5.9% of revenue, indicating persistent margin pressure and reliance on volatile SBA gains.
Hope Bancorp, Inc. (HOPE) annual income statement — 27-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 |
|---|
| Net Interest Income | 507.07M | 472.4M | 427.85M | 525.86M | 578.42M | 512.77M | 467.5M | 466.6M | 487.93M | 481.38M | 363.36M | 273.04M | 266.6M | 253.06M | 238.24M | 129.82M | 108.38M | 92.35M | 96.22M | 97.2M | 94.61M | 79.57M | 58.81M | 45.49M | 35.11M | 30.89M | 27.45M | 17.34M |
| NII Growth % | 78.35% | 10.41% | -18.64% | -9.09% | 12.8% | 9.68% | 0.19% | -4.37% | 1.36% | 32.48% | 33.08% | 2.42% | 5.35% | 6.22% | 83.52% | 19.78% | 17.37% | -4.03% | -1.01% | 2.74% | 18.9% | 35.3% | 29.28% | 29.58% | 13.65% | 12.52% | 58.35% | - |
| Net Interest Margin % | 2.67% | 2.55% | 2.51% | 2.75% | 3.02% | 2.87% | 2.73% | 2.98% | 3.19% | 3.39% | 2.7% | 3.45% | 3.73% | 3.91% | 4.22% | 2.51% | 3.66% | 2.86% | 3.6% | 4.01% | 4.62% | 4.48% | 3.9% | 3.61% | 3.59% | 4.55% | 4.56% | 4.83% |
| Interest Income | 951.31M | 941.33M | 953.98M | 1.05B | 716.12M | 566.53M | 598.88M | 684.79M | 650.17M | 572.1M | 421.93M | 313.66M | 302.66M | 283.07M | 267.88M | 161.9M | 150.44M | 158.04M | 166.93M | 175.77M | 155.83M | 116.51M | 77.07M | 61.42M | 48.57M | 47.86M | 41.36M | 25.22M |
| Interest Expense | 444.24M | 468.93M | 526.13M | 523.02M | 137.69M | 53.76M | 131.38M | 218.19M | 162.25M | 90.72M | 58.58M | 40.62M | 36.06M | 30.02M | 29.65M | 32.08M | 42.05M | 65.7M | 70.71M | 78.57M | 61.22M | 37.65M | 18.69M | 15.93M | 13.46M | 16.97M | 14.15M | 7.92M |
| Loan Loss Provision | 24.13M | 28.51M | 17.28M | 31.59M | 9.85M | -12.2M | 95M | 7.3M | 14.9M | 17.36M | 9M | 8M | 12.64M | 20M | 19.1M | 27.94M | 84.63M | 61.02M | 48.83M | 7.53M | 3.75M | 5.43M | 3.9M | 5.25M | 2.79M | 750K | -1.1M | 3.4M |
| Non-Interest Income | 64.97M | 26.47M | 46.07M | 45.58M | 51.4M | 43.59M | 46.62M | 44.71M | 57.32M | 65.83M | 48.87M | 41.77M | 37.31M | 36.85M | 30.38M | 19.34M | 19.7M | 18.47M | 15.71M | 22.57M | 19.27M | 20.91M | 23.33M | 20.08M | 17.19M | 15.32M | 13.76M | 8.06M |
| Non-Interest Income % | 11.36% | 5.31% | 9.72% | 7.98% | 8.16% | 7.84% | 9.07% | 8.74% | 10.51% | 12.03% | 11.85% | 13.27% | 12.28% | 12.71% | 11.31% | 12.97% | 15.38% | 16.67% | 14.03% | 18.85% | 16.92% | 20.81% | 28.4% | 30.62% | 32.87% | 33.16% | 33.38% | 31.73% |
| Total Net Revenue | 572.04M | 498.87M | 473.92M | 571.44M | 629.82M | 556.36M | 514.11M | 511.3M | 545.24M | 547.21M | 412.22M | 314.81M | 303.91M | 289.91M | 268.62M | 149.16M | 128.08M | 110.81M | 111.93M | 119.78M | 113.88M | 100.48M | 82.14M | 65.57M | 52.29M | 46.21M | 41.21M | 25.4M |
| Revenue Growth % | 28.62% | 5.26% | -17.07% | -9.27% | 13.2% | 8.22% | 0.55% | -6.22% | -0.36% | 32.75% | 30.94% | 3.59% | 4.83% | 7.92% | 80.09% | 16.45% | 15.58% | -0.99% | -6.55% | 5.18% | 13.34% | 22.33% | 25.26% | 25.39% | 13.16% | 12.14% | 62.27% | - |
| Non-Interest Expense | 384.62M | 389.62M | 323.68M | 361.96M | 323.92M | 293.29M | 276.82M | 277.65M | 274.86M | 266.02M | 212.02M | 151.46M | 144.75M | 135.75M | 111.88M | 78.44M | 58.59M | 61.71M | 58.72M | 56.45M | 53.93M | 48.67M | 44.57M | 38.17M | 34.31M | 28.36M | 24.83M | 16.34M |
| Efficiency Ratio | 67.24% | 78.1% | 68.3% | 63.34% | 51.43% | 52.72% | 53.84% | 54.3% | 50.41% | 48.61% | 51.43% | 48.11% | 47.63% | 46.83% | 41.65% | 52.59% | 45.75% | 55.69% | 52.46% | 47.13% | 47.35% | 48.44% | 54.27% | 58.21% | 65.61% | 61.38% | 60.25% | 64.33% |
| Operating Income | 163.29M | 80.73M | 132.96M | 177.89M | 296.05M | 275.27M | 142.29M | 226.35M | 255.48M | 263.83M | 191.2M | 155.35M | 146.52M | 134.15M | 137.63M | 42.77M | -15.14M | -11.92M | 4.38M | 55.8M | 56.2M | 45.67M | 33.24M | 22.15M | 15.19M | 17.1M | 17.24M | 5.63M |
| Operating Margin % | 28.54% | 16.18% | 28.06% | 31.13% | 47.01% | 49.48% | 27.68% | 44.27% | 46.86% | 48.21% | 46.38% | 49.35% | 48.21% | 46.27% | 51.24% | 28.68% | -11.82% | -10.76% | 3.91% | 46.58% | 49.35% | 45.45% | 40.47% | 33.78% | 29.05% | 37% | 41.84% | 22.16% |
| Operating Income Growth % | - | -39.28% | -25.25% | -39.91% | 7.55% | 93.46% | -37.14% | -11.4% | -3.17% | 37.99% | 23.08% | 6.02% | 9.22% | -2.53% | 221.76% | 382.55% | -26.98% | -372.19% | -92.15% | -0.72% | 23.07% | 37.39% | 50.05% | 45.79% | -11.15% | -0.82% | 206.29% | - |
| Pretax Income | 156.09M | 73.53M | 132.96M | 177.89M | 296.05M | 275.27M | 142.29M | 226.35M | 255.48M | 263.83M | 191.2M | 155.35M | 146.52M | 134.15M | 137.63M | 42.77M | -15.14M | -11.92M | 4.38M | 55.8M | 56.2M | 45.67M | 33.24M | 22.15M | 15.19M | 17.1M | 17.24M | 5.63M |
| Pretax Margin % | 27.29% | 14.74% | 28.06% | 31.13% | 47.01% | 49.48% | 27.68% | 44.27% | 46.86% | 48.21% | 46.38% | 49.35% | 48.21% | 46.27% | 51.24% | 28.68% | -11.82% | -10.76% | 3.91% | 46.58% | 49.35% | 45.45% | 40.47% | 33.78% | 29.05% | 37% | 41.84% | 22.16% |
| Income Tax | 28.21M | 15.01M | 33.33M | 44.21M | 77.77M | 70.7M | 30.78M | 55.31M | 65.89M | 124.39M | 77.45M | 63.09M | 57.91M | 52.4M | 54.41M | 15.66M | -7.9M | -6.2M | 1.63M | 22.6M | 22.4M | 18.81M | 13.46M | 8.43M | 5.54M | 6.32M | 6.78M | 1.66M |
| Effective Tax Rate % | 18.07% | 20.41% | 25.07% | 24.86% | 26.27% | 25.68% | 21.63% | 24.44% | 25.79% | 47.15% | 40.51% | 40.61% | 39.52% | 39.06% | 39.53% | 36.61% | 52.18% | 52% | 37.1% | 40.5% | 39.85% | 41.19% | 40.49% | 38.03% | 36.44% | 36.94% | 39.35% | 29.44% |
| Net Income | 127.88M | 58.52M | 99.63M | 133.67M | 218.28M | 204.57M | 111.52M | 171.04M | 189.59M | 139.44M | 113.75M | 92.26M | 88.61M | 81.75M | 83.22M | 27.11M | -7.24M | -5.72M | 2.75M | 33.2M | 33.81M | 26.86M | 19.78M | 13.73M | 13.85M | 10.78M | 10.46M | 3.97M |
| Net Margin % | 22.36% | 11.73% | 21.02% | 23.39% | 34.66% | 36.77% | 21.69% | 33.45% | 34.77% | 25.48% | 27.59% | 29.31% | 29.16% | 28.2% | 30.98% | 18.18% | -5.65% | -5.16% | 2.46% | 27.72% | 29.68% | 26.73% | 24.08% | 20.94% | 26.49% | 23.34% | 25.37% | 15.64% |
| Net Income Growth % | 206.59% | -41.26% | -25.47% | -38.76% | 6.7% | 83.45% | -34.8% | -9.78% | 35.96% | 22.59% | 23.29% | 4.11% | 8.39% | -1.76% | 206.93% | 474.57% | -26.49% | -307.73% | -91.7% | -1.8% | 25.87% | 35.76% | 44.1% | -0.89% | 28.44% | 3.13% | 163.28% | - |
| Net Income (Continuing) | 127.88M | 58.52M | 99.63M | 133.67M | 218.28M | 204.57M | 111.52M | 171.04M | 189.59M | 139.44M | 113.75M | 92.26M | 88.61M | 81.75M | 83.22M | 27.11M | -7.24M | -5.72M | 2.75M | 33.2M | 33.81M | 26.86M | 19.78M | 13.73M | 9.66M | 10.78M | 10.46M | 3.97M |
| EPS (Diluted) | 1.00 | 0.46 | 0.82 | 1.11 | 1.81 | 1.66 | 0.90 | 1.35 | 1.44 | 1.03 | 1.10 | 1.16 | 1.11 | 1.05 | 0.99 | 0.53 | -0.35 | -0.35 | 0.09 | 1.25 | 1.28 | 1.07 | 0.80 | 0.59 | 0.60 | 0.46 | 0.51 | 0.20 |
| EPS Growth % | 185.71% | -43.9% | -26.13% | -38.67% | 9.04% | 84.44% | -33.33% | -6.25% | 39.81% | -6.36% | -5.17% | 4.5% | 5.71% | 6.06% | 86.79% | 251.43% | 0% | -488.89% | -92.8% | -2.34% | 19.63% | 33.75% | 35.59% | -1.67% | 30.43% | -9.8% | 155% | - |
| EPS (Basic) | - | 0.46 | 0.83 | 1.11 | 1.82 | 1.67 | 0.90 | 1.35 | 1.44 | 1.03 | 1.10 | 1.16 | 1.11 | 1.06 | 0.99 | 0.53 | -0.35 | -0.35 | 0.09 | 1.27 | 1.31 | 1.11 | 0.85 | 0.59 | 0.63 | 0.49 | 0.54 | 0.21 |
| Diluted Shares Outstanding | 128.31M | 128.77M | 121.11M | 120.39M | 120.47M | 123.13M | 123.89M | 126.88M | 131.95M | 135.69M | 103.53M | 79.61M | 79.61M | 79.26M | 78.09M | 42.21M | 28.36M | 28.36M | 26.42M | 26.5M | 26.41M | 25.1M | 24.73M | 23.27M | 23.09M | 23.32M | 20.5M | 19.86M |
Quick answers to the most common questions about buying HOPE stock.
For fiscal year 2025, Hope Bancorp, Inc. (HOPE) reported total revenue of $498.9M. This represents a 1864.3% increase compared to $25.4M in 1999.
Hope Bancorp, Inc. (HOPE) is profitable, generating $58.5M in net income for the fiscal year ending 2025 with a net profit margin of 6.0%.
Hope Bancorp, Inc. (HOPE) reported an operating income of $80.7M, resulting in an operating profit margin of 8.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Hope Bancorp, Inc. (HOPE) generated $470.4M in gross profit for the year, representing a gross profit margin of 48.6%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
CRE concentration and margin pressure
Metrics are mathematically derived from official filings.
NII Recovery Amid Rate Pressures
Net interest income rose 9.7% YoY in Q2 2026 to $129.0M, per company filings, but growth is uneven and may reflect balance sheet repricing rather than volume expansion.
The sequential increase from $124.1M in Q1 2026 to $129.0M in Q2 2026 suggests some stabilization, yet the 2024 quarters showed consistent declines (e.g., -18.9% YoY in Q4 2024). This pattern implies that the bank is still adjusting to the higher-rate environment, with deposit costs likely outpacing loan yields. Investors should monitor whether this recovery is sustainable or a temporary reprieve.
NIM Stuck at Low Levels
Net interest margin remained at 0.7% in Q2 2026, unchanged from prior quarters, as reported in financial statements, indicating persistent spread compression despite higher loan yields.
The static NIM of 0.7% across the last five quarters suggests that the bank's funding costs are rising in tandem with asset yields, eroding the benefit of higher rates. This is particularly concerning given the bank's heavy reliance on time deposits, which may be repricing faster than the loan portfolio. The efficiency ratio, though improved to 37.6% in Q2 2026 from 50.6% in Q2 2025, does not offset the margin stagnation.
Efficiency Gains Mask Revenue Weakness
Efficiency ratio improved to 37.6% in Q2 2026 from 50.6% a year earlier, per company data, but this is partly due to a one-time negative non-interest income in Q2 2025.
The efficiency ratio's improvement is flattered by the base effect of the -$23.0M non-interest income in Q2 2025, which inflated the denominator. Excluding that anomaly, the ratio has hovered around 37-38% in recent quarters, indicating stable but not improving operating leverage. With revenue growth still negative (-3.2% YoY), the bank may struggle to achieve meaningful operating leverage without top-line expansion.
Provision Volatility Signals Caution
Provision expense swung from $15.0M in Q2 2025 to $6.8M in Q2 2026, as per SEC filings, but the elevated charge in Q2 2025 and the EPS miss suggest credit quality concerns.
The provision for loan losses has been erratic, with a spike to $15.0M in Q2 2025 and a zero provision in Q4 2025, which may indicate management's uncertainty about the credit cycle. The Q2 2026 EPS miss ($0.26 vs. $0.30 estimate) could be partly attributed to provisioning, though the provision was lower than the prior year. Given the high CRE concentration, investors should watch for potential increases in criticized loans and charge-offs.
Fee Income Quality Under Scrutiny
Non-interest income as a percentage of total revenue fell to 5.9% in Q2 2026 from 7.1% in Q4 2025, based on reported figures, highlighting reliance on volatile SBA gains.
The fee income ratio remains low, and the negative non-interest income in Q2 2025 (-$23.0M) underscores the volatility from SBA loan sale gains and other transactional items. This suggests that fee income is not a stable earnings driver, and the bank's core revenue is heavily dependent on net interest income. The decline in fee contribution may also reflect lower SBA origination volumes or narrower secondary market premiums.
Q2 2025: A Turning Point
Q2 2025 marked a significant inflection with a net loss of -$27.9M and negative non-interest income, as disclosed in quarterly reports, signaling a period of stress and strategic recalibration.
The Q2 2025 loss, driven by a $15.0M provision and -$23.0M non-interest income, appears to have been a low point, with subsequent quarters showing recovery in net income. This inflection may indicate that the bank took a conservative stance on credit and de-risked its balance sheet, but the lack of forward guidance in Q2 2026 suggests management still lacks clarity on the sustainability of this recovery. The negative revenue growth persists, implying that the bank has not yet returned to a growth trajectory.
What Could Invalidate the Base Case
The bank's earnings quality may be overstated if SBA gain-on-sale income masks core NII weakness, and the low NIM suggests structural margin pressure that could persist.
The reliance on volatile SBA gains for fee income, as evidenced by the negative non-interest income in Q2 2025, raises questions about the sustainability of earnings. Additionally, the static NIM of 0.7% across multiple quarters indicates that the bank may be unable to expand spreads even if rates remain high, potentially due to intense deposit competition. If the CRE portfolio experiences higher-than-expected charge-offs, the current provision levels may prove inadequate, leading to further EPS misses.