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Cathay Bancorp Sees Q2 Profit Jump on Margin Growth
23 Jul
Summary
- Second-quarter earnings rose to $92.2 million ($1.37 per share).
- Net interest income increased to $200.9 million.
- Loans grew 2.2% and deposits increased 1.9% from the prior quarter.
Cathay General Bancorp announced robust second-quarter 2026 financial results, highlighted by a notable increase in net income. The company reported earnings of $92.2 million, translating to $1.37 per diluted share, surpassing previous performance metrics.
This financial growth was largely driven by an expansion in net interest income, which climbed to $200.9 million. Furthermore, the bank successfully increased its net interest margin to 3.48%, marking the eighth consecutive quarter of such improvement. Management attributed this to effective cost management in a competitive funding landscape.
Operational improvements were also evident in loan and deposit figures. Loans increased by 2.2% from the prior quarter, reaching $20.6 billion. Deposits saw a 1.9% rise, totaling $21.1 billion, with a notable acceleration in growth during May and June. This shift favored non-maturity deposits over time deposits, indicating a more favorable funding mix.
