East West Bancorp beats estimates with record Q3 earnings

Published 21/10/2025, 21:40
 East West Bancorp beats estimates with record Q3 earnings

PASADENA - East West Bancorp, Inc. (NASDAQ:EWBC) reported third quarter 2025 net income of $368 million, or $2.65 per diluted share, surpassing analyst expectations of $2.36 per share. Revenue reached a record $778 million, exceeding the consensus estimate of $724.74 million.

The bank’s shares remained unchanged following the earnings announcement.

The parent company of East West Bank posted strong financial results with revenue increasing 11% quarter-over-quarter. Net interest income grew significantly, driven by deposit-led growth, while higher fee income came from strength in wealth management, lending, and deposit account fees.

"I am proud to report East West’s record-breaking financial results for the third quarter," said Dominic Ng, Chairman and Chief Executive Officer. "We earned record levels of revenue, net income, and earnings per share."

East West Bancorp reported a return on average common equity of 17.4% and return on average tangible common equity of 18.5%. Book value per share and tangible book value per share both grew 5% quarter-over-quarter to $62.39 and $58.97, respectively.

Despite strong results, management expressed caution about the economic outlook. "Asset quality remained resilient. Nevertheless, given the uncertainty in the outlook for 2026, we further bolstered our allowance for loan losses," Ng added.

The bank’s total assets increased 2% from the previous quarter to $79.67 billion. East West maintained strong capital levels with a total stockholders’ equity to assets ratio of 10.77%, up 28 basis points from the previous quarter.

East West Bank is the largest independent bank headquartered in Southern California, operating over 110 locations across the United States and Asia.

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