East West Bank announced that its net profit for the third quarter of 2024 reached US$299 million, with diluted earnings per share of US$2.14._1

The East West Bancorp, Inc., which operates East West Bank, announced its financial results for the third quarter of 2024 on October 22. The bank reported a net income of $299 million, translating to a diluted earnings per share of $2.14. The average return on total assets was 1.62%, while the average return on common equity stood at 16.0%. Additionally, the average tangible common equity return reached 17.1%, with book value per share increasing by 6% from the previous quarter and 19% year-over-year.

Dominic Ng, Chairman and CEO of East West Bank, expressed his satisfaction with the bank’s performance, stating, “In the third quarter, East West Bank once again demonstrated strong resilience, achieving balanced growth while serving our customers. We continued to see increases in deposits from both personal and commercial clients, diversifying our loan portfolio with a focus on residential and commercial loans. Net interest income and fee income surged this quarter, reflecting the strength of our business model.”

Ng added, “This quarter, we enhanced shareholder book value and achieved a tangible common equity return of 17.1%.”

**Financial Overview:**

As of September 30, 2024, total assets amounted to $74.5 billion, up from $72.5 billion as of June 30, marking a $2 billion increase. Cash, repurchase agreements, and debt securities rose by 10% from the second quarter. Compared to the previous year, total assets grew by $6.2 billion, or 9%, from $68.3 billion as of September 30, 2023.

For the third quarter of 2024, the average earning assets were $70.3 billion, reflecting an increase of $2.2 billion, or 3%, from $68.1 billion in the second quarter. Specifically, average earning cash and bank deposits rose by $900 million, and available-for-sale debt securities increased by $800 million.

**Loans:**

As of September 30, 2024, total loans reached $53.3 billion, up by $500 million from $52.8 billion on June 30. This reflects a year-over-year increase of $2.3 billion, or 5%, from $50.9 billion as of September 30, 2023. The average loan balance for the third quarter was $52.4 billion, increasing by $500 million, or 1.0%, from the second quarter.

**Deposits:**

As of September 30, 2024, total deposits increased to $61.7 billion, up by $1.7 billion, or 3%, from $60 billion on June 30. Compared to $55.1 billion on September 30, 2023, total deposits grew by $6.6 billion. The average deposits for the third quarter stood at $60.6 billion, an increase of $1.9 billion from the previous quarter.

**Capital:**

As of September 30, 2024, East West Bank’s shareholders’ equity was $7.7 billion, reflecting a 6% increase from the second quarter. The shareholders’ equity ratio reached 10.29%, up from 9.96% on June 30. The book value per share was $55.30, representing a $3.24 increase, or 6%, driven by improvements in accumulated other comprehensive income (AOCI). The tangible book value per share was $51.90, an increase of $3.25, or 7%, also influenced by AOCI enhancements.

The tangible common equity ratio stood at 9.72%, up from 9.37% in the second quarter, with 0.29% of this increase attributed to improvements in AOCI.

East West Bank’s regulatory capital ratios as of September 30, 2024, showed the Common Equity Tier 1 (CET1) ratio rising to 14.08%, and the Total Risk-based Capital Ratio increased to 15.39%, up by 0.34% from the previous quarter.

**Quarterly Earnings:**

In the third quarter of 2024, net income reached $299 million, with diluted earnings per share of $2.14, each up by 4% from the second quarter. The pre-tax pre-provision income totaled $432 million, rising by 7% from $402 million in the second quarter of 2024.

The bank’s board announced a cash dividend of $0.55 per share for the fourth quarter of 2024, slated for distribution on November 15, with dividends allocated based on shares held as of November 4, 2024.