East West Bancorp, Inc. Q2 2026 Earnings Recap

Shares dipped 1.7% following the release as investors digested stable but cautious credit trends and modest net charge-off acceleration despite solid loan and deposit growth.

Key Takeaways

• Total loans grew 7% year-over-year, supported by $300 million net growth in both residential mortgage and C&I loans.
• Deposits increased by $1.2 billion, with demand deposits contributing $875 million of net growth, improving deposit mix and reducing funding costs.
• Net interest income reached a record $685 million, with a net interest margin of 3.43%, up 8 basis points year-over-year.
• Fee income rose 19% year-over-year to $96 million, despite a slight sequential decline from Q1’s wealth management peak.
• Asset quality showed a slight deterioration: net charge-offs more than doubled sequentially to 19 basis points, though still within guidance; non-performing assets ticked up 3 basis points to 29 basis points.