Latest news with #CentralPacificFinancial
Yahoo
5 days ago
- Business
- Yahoo
Central Pacific Financial Corp (CPF) Q2 2025 Earnings Call Highlights: Strong Net Interest ...
Net Income: $18.3 million or $0.67 per diluted share. Return on Average Assets: 1.00%. Return on Average Equity: 13.04%. Efficiency Ratio: 60.36%. Net Interest Income: $59.8 million, a 3.6% increase quarter over quarter. Net Interest Margin: Expanded by 13 basis points to 3.44%. Total Deposits: $6.54 billion, a slight decline from the prior quarter. Loan Portfolio: $5.29 billion, with growth in construction and consumer loans. Average Loan Yield: Increased to 4.96% from 4.88% in the prior quarter. Total Other Operating Income: $13.0 million, a $1.9 million increase quarter over quarter. Total Other Operating Expense: $43.9 million, a $1.9 million increase quarter over quarter. Effective Tax Rate: 23.5%. Share Repurchase: Approximately 103,000 shares at a total cost of $2.6 million. Quarterly Cash Dividend: $0.27 per share. Net Charge-Offs: $4.7 million or 35 basis points annualized on average loans. Nonperforming Assets: $14.9 million, or 20 basis points of total assets. Provision Expense: $5 million. Total Risk-Based Capital: 15.8%. Warning! GuruFocus has detected 2 Warning Sign with CPF. Release Date: July 25, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Central Pacific Financial Corp (NYSE:CPF) was named the Best Bank in Hawaii by Forbes Magazine for the fourth consecutive year. The bank reported strong asset quality, capital, and liquidity positions, enabling continued business growth. Net interest income increased by 3.6% quarter over quarter, with a net interest margin expansion of 13 basis points to 3.44%. The Hawaii market showed resilience with low unemployment rates and steady growth in the construction and tourism sectors. CPF's noninterest-bearing deposit growth was impressive, contributing to a favorable deposit mix shift. Negative Points Loan portfolio declined slightly, with growth only in construction and consumer loans, while other categories saw declines. Total deposits decreased slightly from the prior quarter, indicating challenges in deposit growth. Net charge-offs increased to $4.7 million, primarily due to a single commercial loan write-off. Nonperforming assets increased to $14.9 million, with a rise in residential mortgage and HELOC portfolio issues. The bank anticipates a one-time pretax write-off of $2 million to $2.5 million due to the exit of an operations center building. Q & A Highlights Q: Can you provide insights into the loan growth trends and the competitive landscape in Hawaii? A: Arnold Martines, CEO, noted that loan growth was muted in the first half of 2025, which was expected due to the operating environment. However, the outlook for the second half is positive, with anticipated low single-digit growth for the full year. David Morimoto, COO, added that while there was a runoff in residential mortgage and HELOC portfolios, the loan pipeline remains robust, with several deals expected to close in the third quarter. Competition in Hawaii remains steady, with no significant changes observed. Q: How is Central Pacific Financial Corp managing deposit growth and costs? A: Arnold Martines, CEO, emphasized the team's focus on maintaining customer relationships and prospecting to balance deposit growth and margin. David Morimoto, COO, highlighted efforts to grow core deposits through relationship building and prospecting, which has shown early success. The company is managing deposit costs effectively, with a favorable shift in deposit mix towards noninterest-bearing deposits. Q: What is the outlook for operating expenses and areas of investment? A: Dayna Matsumoto, CFO, stated that the company is pleased with its efficiency ratio and is investing in technology, facilities, and personnel to drive efficiency and revenue growth. The near-term guidance for total other operating expenses is between $43.5 million and $44.5 million per quarter, excluding any one-time impacts. Q: Can you provide details on the credit quality and any concerns in the loan portfolio? A: Ralph Mesick, Chief Risk Officer, reported strong credit performance, with net charge-offs primarily due to a single commercial loan write-off. The increase in criticized loans was attributed to specific circumstances, not systemic issues. The company maintains a strong capital position to absorb potential financial impacts, and no significant concerns were noted in the loan portfolio. Q: What are the expectations for net interest margin and deposit cost management in light of potential Fed rate cuts? A: Dayna Matsumoto, CFO, indicated that the company expects to successfully lower deposit costs with minimal timing lag following Fed rate cuts. The deposit pricing market remains rational, and the company anticipates maintaining its pricing strategies and discipline. The net interest margin showed improvement, with a focus on managing the balance sheet effectively. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
5 days ago
- Business
- Yahoo
Central Pacific Financial Corp (CPF) Q2 2025 Earnings Call Highlights: Strong Net Interest ...
Net Income: $18.3 million or $0.67 per diluted share. Return on Average Assets: 1.00%. Return on Average Equity: 13.04%. Efficiency Ratio: 60.36%. Net Interest Income: $59.8 million, a 3.6% increase quarter over quarter. Net Interest Margin: Expanded by 13 basis points to 3.44%. Total Deposits: $6.54 billion, a slight decline from the prior quarter. Loan Portfolio: $5.29 billion, with growth in construction and consumer loans. Average Loan Yield: Increased to 4.96% from 4.88% in the prior quarter. Total Other Operating Income: $13.0 million, a $1.9 million increase quarter over quarter. Total Other Operating Expense: $43.9 million, a $1.9 million increase quarter over quarter. Effective Tax Rate: 23.5%. Share Repurchase: Approximately 103,000 shares at a total cost of $2.6 million. Quarterly Cash Dividend: $0.27 per share. Net Charge-Offs: $4.7 million or 35 basis points annualized on average loans. Nonperforming Assets: $14.9 million, or 20 basis points of total assets. Provision Expense: $5 million. Total Risk-Based Capital: 15.8%. Warning! GuruFocus has detected 2 Warning Sign with CPF. Release Date: July 25, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Central Pacific Financial Corp (NYSE:CPF) was named the Best Bank in Hawaii by Forbes Magazine for the fourth consecutive year. The bank reported strong asset quality, capital, and liquidity positions, enabling continued business growth. Net interest income increased by 3.6% quarter over quarter, with a net interest margin expansion of 13 basis points to 3.44%. The Hawaii market showed resilience with low unemployment rates and steady growth in the construction and tourism sectors. CPF's noninterest-bearing deposit growth was impressive, contributing to a favorable deposit mix shift. Negative Points Loan portfolio declined slightly, with growth only in construction and consumer loans, while other categories saw declines. Total deposits decreased slightly from the prior quarter, indicating challenges in deposit growth. Net charge-offs increased to $4.7 million, primarily due to a single commercial loan write-off. Nonperforming assets increased to $14.9 million, with a rise in residential mortgage and HELOC portfolio issues. The bank anticipates a one-time pretax write-off of $2 million to $2.5 million due to the exit of an operations center building. Q & A Highlights Q: Can you provide insights into the loan growth trends and the competitive landscape in Hawaii? A: Arnold Martines, CEO, noted that loan growth was muted in the first half of 2025, which was expected due to the operating environment. However, the outlook for the second half is positive, with anticipated low single-digit growth for the full year. David Morimoto, COO, added that while there was a runoff in residential mortgage and HELOC portfolios, the loan pipeline remains robust, with several deals expected to close in the third quarter. Competition in Hawaii remains steady, with no significant changes observed. Q: How is Central Pacific Financial Corp managing deposit growth and costs? A: Arnold Martines, CEO, emphasized the team's focus on maintaining customer relationships and prospecting to balance deposit growth and margin. David Morimoto, COO, highlighted efforts to grow core deposits through relationship building and prospecting, which has shown early success. The company is managing deposit costs effectively, with a favorable shift in deposit mix towards noninterest-bearing deposits. Q: What is the outlook for operating expenses and areas of investment? A: Dayna Matsumoto, CFO, stated that the company is pleased with its efficiency ratio and is investing in technology, facilities, and personnel to drive efficiency and revenue growth. The near-term guidance for total other operating expenses is between $43.5 million and $44.5 million per quarter, excluding any one-time impacts. Q: Can you provide details on the credit quality and any concerns in the loan portfolio? A: Ralph Mesick, Chief Risk Officer, reported strong credit performance, with net charge-offs primarily due to a single commercial loan write-off. The increase in criticized loans was attributed to specific circumstances, not systemic issues. The company maintains a strong capital position to absorb potential financial impacts, and no significant concerns were noted in the loan portfolio. Q: What are the expectations for net interest margin and deposit cost management in light of potential Fed rate cuts? A: Dayna Matsumoto, CFO, indicated that the company expects to successfully lower deposit costs with minimal timing lag following Fed rate cuts. The deposit pricing market remains rational, and the company anticipates maintaining its pricing strategies and discipline. The net interest margin showed improvement, with a focus on managing the balance sheet effectively. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Yahoo
09-07-2025
- Business
- Yahoo
US Market Undiscovered Gems to Watch in July 2025
As the U.S. market navigates through a wave of tariff uncertainties, with key indices like the S&P 500 and Nasdaq showing modest gains despite recent fluctuations, investors are keenly observing how these developments impact small-cap stocks. In this dynamic environment, identifying promising stocks often involves looking for companies that demonstrate resilience and potential growth amid economic challenges, making them worthy of attention as undiscovered gems in the market landscape. Name Debt To Equity Revenue Growth Earnings Growth Health Rating West Bancorporation 169.96% -1.41% -8.52% ★★★★★★ Oakworth Capital 42.08% 15.43% 7.31% ★★★★★★ Metalpha Technology Holding NA 81.88% -4.97% ★★★★★★ FRMO 0.09% 44.64% 49.91% ★★★★★☆ Valhi 43.01% 1.55% -2.64% ★★★★★☆ China SXT Pharmaceuticals 64.25% -29.05% 10.33% ★★★★★☆ Pure Cycle 5.11% 1.07% -4.05% ★★★★★☆ Gulf Island Fabrication 19.65% -2.17% 42.26% ★★★★★☆ Reitar Logtech Holdings 31.39% 231.46% 41.38% ★★★★☆☆ Vantage 6.72% -16.62% -15.47% ★★★★☆☆ Click here to see the full list of 278 stocks from our US Undiscovered Gems With Strong Fundamentals screener. Let's explore several standout options from the results in the screener. Simply Wall St Value Rating: ★★★★★★ Overview: IBEX Limited offers comprehensive technology-driven customer lifecycle experience solutions globally, with a market cap of $407.32 million. Operations: IBEX generates revenue primarily from its Business Process Outsourcing segment, which accounts for $535.67 million. The company's gross profit margin is 22.5%. IBEX, a nimble player in the professional services sector, has been making waves with its impressive earnings growth of 31% over the past year, outpacing the industry average of 15.3%. The company's debt-to-equity ratio has significantly improved from 185.5% to just 15.4% over five years, showcasing strong financial management. Despite recent index reshuffling that saw IBEX drop from several value benchmarks and join growth indices like Russell 2000 Growth Benchmark, its shares trade at a good value compared to peers and are currently priced below fair market estimates by about 2.5%. Take a closer look at IBEX's potential here in our health report. Examine IBEX's past performance report to understand how it has performed in the past. Simply Wall St Value Rating: ★★★★★★ Overview: Central Pacific Financial Corp. is the bank holding company for Central Pacific Bank, offering a variety of commercial banking products and services to businesses, professionals, and individuals in the United States, with a market cap of $787.70 million. Operations: Central Pacific Financial derives its revenue primarily from its banking segment, totaling $247.71 million. The company's financial structure is centered around commercial banking services within the United States. Central Pacific Financial, with assets totaling US$7.4 billion and equity of US$557.4 million, showcases a robust financial foundation. The bank's total deposits stand at US$6.6 billion against loans of US$5.3 billion, highlighting its strong deposit base which comprises 96% low-risk funding sources like customer deposits. Its allowance for bad loans is notably sufficient at 0.2% of total loans, ensuring stability amidst potential credit risks. Recent strategic moves include a shelf registration filing for up to $300 million and a share repurchase program involving 77,316 shares worth $2.14 million in early 2025, reflecting confidence in its market position and future growth prospects. Central Pacific Financial is poised for growth through strategic market expansion and targeted lending. Click here to explore the full narrative on the company's potential. Simply Wall St Value Rating: ★★★★★★ Overview: Five Point Holdings, LLC designs, owns, and develops mixed-use planned communities in Orange County, Los Angeles County, and San Francisco County with a market cap of approximately $855.93 million. Operations: Five Point Holdings generates revenue primarily from its Great Park and Valencia segments, with Great Park contributing $905.39 million and Valencia adding $140.24 million. The company faces a significant deduction of $805.50 million due to the removal of the Great Park Venture segment. Five Point Holdings, a nimble player in the real estate sector, has shown impressive earnings growth of 43.8% over the past year, outpacing the industry average of 25.8%. The company is trading at a substantial discount to its estimated fair value by 82.4%, suggesting potential undervaluation. With net income jumping from US$2.33 million to US$23.28 million year-over-year and revenue increasing from US$9.94 million to US$13.16 million, Five Point seems to be on solid ground financially with high-quality earnings and satisfactory debt levels indicated by a net debt-to-equity ratio of just 2.7%. Get an in-depth perspective on Five Point Holdings' performance by reading our health report here. Learn about Five Point Holdings' historical performance. Click this link to deep-dive into the 278 companies within our US Undiscovered Gems With Strong Fundamentals screener. Hold shares in these firms? Setup your portfolio in Simply Wall St to seamlessly track your investments and receive personalized updates on your portfolio's performance. Invest smarter with the free Simply Wall St app providing detailed insights into every stock market around the globe. Explore high-performing small cap companies that haven't yet garnered significant analyst attention. Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management. Find companies with promising cash flow potential yet trading below their fair value. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include IBEX CPF and FPH. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
26-06-2025
- Business
- Yahoo
Why Central Pacific Financial (CPF) is a Top Dividend Stock for Your Portfolio
Getting big returns from financial portfolios, whether through stocks, bonds, ETFs, other securities, or a combination of all, is an investor's dream. But when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments. Cash flow can come from bond interest, interest from other types of investments, and of course, dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by its dividend yield, a metric that measures the dividend as a percent of the current stock price. Many academic studies show that dividends account for significant portions of long-term returns, with dividend contributions exceeding one-third of total returns in many cases. Headquartered in Honolulu, Central Pacific Financial (CPF) is a Finance stock that has seen a price change of -5.51% so far this year. Currently paying a dividend of $0.27 per share, the company has a dividend yield of 3.93%. In comparison, the Banks - West industry's yield is 3.2%, while the S&P 500's yield is 1.6%. Taking a look at the company's dividend growth, its current annualized dividend of $1.08 is up 3.8% from last year. Central Pacific Financial has increased its dividend 2 times on a year-over-year basis over the last 5 years for an average annual increase of 3.19%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. Right now, Central Pacific Financial's payout ratio is 43%, which means it paid out 43% of its trailing 12-month EPS as dividend. Earnings growth looks solid for CPF for this fiscal year. The Zacks Consensus Estimate for 2025 is $2.80 per share, representing a year-over-year earnings growth rate of 19.66%. Investors like dividends for a variety of different reasons, from tax advantages and decreasing overall portfolio risk to considerably improving stock investing profits. But, not every company offers a quarterly payout. Big, established firms that have more secure profits are often seen as the best dividend options, but it's fairly uncommon to see high-growth businesses or tech start-ups offer their stockholders a dividend. Income investors have to be mindful of the fact that high-yielding stocks tend to struggle during periods of rising interest rates. With that in mind, CPF is a compelling investment opportunity. Not only is it a strong dividend play, but the stock currently sits at a Zacks Rank of 3 (Hold). Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CPB Inc. (CPF) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
