Preferred Bank (PFBC) Cash Flow Statement

According to recent financial disclosures, Preferred Bank consistently generates positive net income, with quarterly earnings averaging approximately $32 million, which provides a stable foundation for capital retention despite the bank's aggressive share repurchase activity that has periodically outpaced organic capital accumulation in specific quarters like 2025Q2.

As reported in quarterly filings, Preferred Bank has demonstrated active management of its investment securities, notably in 2025Q2 when it deployed $204.8 million into purchases, suggesting a strategic effort to reposition its balance sheet liquidity in response to shifting interest rate expectations and market conditions.

Based on the provided cash flow data, Preferred Bank has prioritized shareholder returns, with buybacks reaching as high as $57.2 million in 2025Q2, a figure that significantly exceeds the quarterly dividend payments and suggests a management preference for reducing share count over building larger regulatory capital buffers.

As evidenced by the bank's reported figures, provision expenses have fluctuated significantly, peaking at $4.3 million in 2025Q4, which indicates that the institution is actively recalibrating its loss reserves to account for the heightened risk profile inherent in its specialized commercial real estate and office property loan book.