Earnings release
Page 1
Exhibit 99.1 RBB Bancorp Reports Second Quarter 2026 Earnings and Declares Quarterly Cash Dividend of $0.16 Per Common Share Los Angeles, CA, July 20, 2026 – RBB Bancorp (NASDAQ:RBB) and its bank subsidiary, Royal Business Bank (the “Bank”), collectively referred to herein as the “Company,” announced financial results for the quarter ended June 30, 2026. Second Quarter 2026 Highlights ● Net income totaled $10.1 million, or $0.59 diluted earnings per share ● Return on average assets of 0.97%, compared to 1.09% for the prior quarter ● Net interest margin of 3.06%, down from 3.15% for the prior quarter ● Nonperforming assets of $43.6 million, a $5.3 million, or 10.8%, decrease compared to prior quarter end ● Book value and tangible book value per share(1) increased to $31.51 and $27.23 at June 30, 2026, up from $31.10 and $26.84 at March 31, 2026 ● Announced new common stock repurchase plan for up to 1 million shares through June 30, 2028 ● Announced partial redemption of subordinated notes of $40 million which was completed on July 1, 2026 The Company reported net income of $10.1 million, or $0.59 diluted earnings per share, for the quarter ended June 30, 2026, compared to net income of $11.3 million, or $0.66 diluted earnings per share, for the quarter ended March 31, 2026. “Our second quarter results reflected the continued strength of our core banking franchise as stable loan yields, strong loan originations and continued growth in retail deposits supported another quarter of solid profitability," said Johnny Lee, President and Chief Executive Officer of RBB Bancorp. "We continued to improve the quality of our funding base through strong retail deposit growth while reducing our cost of deposits. Credit quality continued to improve, with nonperforming assets declining 11% from the prior quarter, and we remain focused on disciplined loan growth, relationship banking, and resolving problem assets to drive long-term shareholder value." (1) Reconciliations of the non–U.S. generally accepted accounting principles (“GAAP”) measures included at the end of this press release. 1
Page 2
Net Interest Income and Net Interest Margin Net interest income was $30.1 million for the second quarter of 2026, compared to $30.5 million for the first quarter of 2026. The $417,000 decrease was due to a $773,000 increase in interest expense, offset by a $356,000 increase in interest income. The increase in interest expense was due mainly to an $829,000 increase in interest on subordinated notes as a result of the notes repricing from 4.00% to 6.98% effective April 1, 2026 and one more day in the quarter. The increase in interest income was due to the combination of a $725,000 increase in loan interest income as average loans increased and one more day in the quarter, partially offset by lower FHLB dividend income as the first quarter of 2026 included a special dividend of $430,000. There was no special dividend from the FHLB in the second quarter of 2026. The net interest margin (“NIM”) decreased 9 basis points to 3.06% for the second quarter of 2026 from 3.15% for the first quarter of 2026. The NIM decrease included a 5 basis point decrease in the yield on average total interest-earning assets and a 4 basis point increase in the overall cost of funds. The yield on average total interest-earning assets decreased to 5.81% for the second quarter of 2026 from 5.86% for the first quarter of 2026, due mostly to the impact of a 4 basis point decrease from lower FHLB dividends and a 1 basis point decrease in the yield on average total loans. The average total cost of funds increased 4 basis points to 3.00% for the second quarter of 2026 from 2.96% for the first quarter of 2026, due mostly to an increase in the cost of subordinated notes due to their repricing on April 1, 2026, partially offset by a 5 basis point decrease in the cost of average total deposits to 2.81%. Average noninterest-bearing deposits represented approximately 16% of average total deposits for both the second and first quarters of 2026. The period end weighted average interest rate for total deposits declined to 2.75% at June 30, 2026 from 2.79% at March 31, 2026. Provision for Credit Losses There was no provision for credit losses for the second quarter of 2026 compared to a $200,000 reversal for the first quarter of 2026. The second quarter 2026 provision for credit losses reflected a provision for loan losses of $77,000 and a negative provision for unfunded loan commitments of $77,000 due to a lower volume of unfunded loan commitments. The second quarter provision for loan losses was due mainly to the impact of net charge-offs, while portfolio credit quality trends, underlying economic forecast indicators, and changes in loan portfolio composition remained relatively stable. Net charge-offs in the second quarter of 2026 represented 0.01% of average loans on an annualized basis, compared to 0.00% for the first quarter of 2026. Noninterest Income Noninterest income for the second quarter of 2026 was $3.0 million, a decrease of $1.3 million from $4.3 million for the first quarter of 2026. The decrease in noninterest income was mainly due to lower gains from OREO of $1.1 million, and lower other income of $870,000, offset partially by higher gain on sale of loans of $640,000. The net loss on OREO was $221,000 in the second quarter compared to the net gain on OREO of $890,000 in the first quarter. The decrease in other income was due to the first quarter including a $484,000 recovery of a fully charged-off acquired loan and $360,000 of interest income on the tax refunds related to purchased federal tax credits; there were no similar items in the second quarter of 2026. The sale of $42.1 million of mortgage loans and $8.1 million of Small Business Administration (“SBA”) loans resulted in gains of $964,000 for the second quarter of 2026 compared to the sale of mortgage loans of $4.9 million and SBA loans of $4.0 million for gains of $324,000 for the first quarter of 2026. Noninterest Expense Noninterest expense for the second quarter of 2026 was $19.0 million, a decrease of $236,000 from $19.3 million for the first quarter of 2026. The decrease was mainly due to lower salaries and employee benefits of $216,000 due mostly to lower payroll taxes. The efficiency ratio was 57.46% for the second quarter of 2026, compared to 55.41% for the first quarter of 2026. The increase in the efficiency ratio is attributed mostly to lower net revenues. 2
Page 3
Income Taxes The effective tax rate was 28.0% for both the second and first quarters of 2026. The effective tax rate for 2026 is estimated to be 28.0% compared to 24.2% for 2025. The estimated effective tax rate for 2026 is expected to be higher than the effective tax rate in 2025 due to a higher multi-state blended tax rate and lower benefits from purchased Federal tax credits. Balance Sheet At June 30, 2026, total assets were $4.3 billion, an $80.7 million, or 8% annualized, increase compared to total assets of $4.2 billion at March 31, 2026, and a $185.0 million, or 4.5%, increase compared to total assets of $4.1 billion at June 30, 2025. Loan and Securities Portfolio Loans held for investment ("HFI") totaled $3.3 billion as of June 30, 2026, a decrease of $15.8 million, or 1.9% annualized, compared to March 31, 2026 and an increase of $74.8 million, or 2.3%, compared to June 30, 2025. The decrease in loans in the second quarter of 2026 included payoffs/paydowns of $149.9 million, loans sold of $50.2 million, and $19.4 million transferred to OREO, offset by $158.9 million of originations with an average yield of 6.31%, $38.9 million in advances, and $6.0 million in purchases. The loan to deposit ratio was 97.6% at June 30, 2026, compared to 99.6% at March 31, 2026 and 101.5% at June 30, 2025. As of June 30, 2026, available for sale securities ("AFS") totaled $407.2 million, a decrease of $8.6 million from March 31, 2026, primarily related to maturities and paydowns of $63.3 million, offset by purchases of $55.0 million during the second quarter of 2026. As of June 30, 2026, net unrealized pre-tax losses totaled $20.9 million, a $0.5 million increase due to changes in market interest rates when compared to net unrealized pre-tax losses of $20.4 million as of March 31, 2026. Deposits Total deposits were $3.4 billion as of June 30, 2026, an increase of $50.8 million, or 6.1% annualized, compared to March 31, 2026 and an increase of $202.4 million, or 6.3%, compared to June 30, 2025. The increase in total deposits during the second quarter of 2026 was due to a $94.4 million increase in retail deposits, offset by a $43.6 million decrease in wholesale deposits. The increase in retail deposits included a $64.7 million increase in demand deposits and a $15.5 million increase in non-maturity interest-bearing accounts. Noninterest- bearing deposits totaled $591.6 million, or 17.5% of total deposits, at June 30, 2026, an increase of $64.7 million compared to March 31, 2026, and an increase of $47.7 million compared to June 30, 2025. Credit Quality Nonperforming assets totaled $43.6 million, or 1.02% of total assets, at June 30, 2026, down from $48.8 million, or 1.16% of total assets, at March 31, 2026, and down from $61.0 million, or 1.49% of total assets, at June 30, 2025. The decrease in nonperforming assets during the second quarter of 2026 included a decrease of $20.8 million in nonperforming loans partially offset by an increase of $15.6 million in OREO (included in “accrued interest and other assets”) to $19.8 million at June 30, 2026. OREO totaled $4.3 million at March 31, 2026, and $4.2 million at June 30, 2025. The increase in OREO during the second quarter of 2026 was primarily due to the transfer of one nonperforming construction loan to OREO, offset by the sale of the existing OREO properties for a net loss. Nonperforming loans (“NPLs”) totaled $23.8 million, or 0.72% of total loans, at June 30, 2026, down $20.8 million from $44.6 million, or 1.34% of total loans, at March 31, 2026 and down $33.0 million from $56.8 million, or 1.76% of total loans, at June 30, 2025. The $20.8 million decrease in NPLs during the second quarter of 2026 was due to $19.4 million transferred to OREO, $1.3 million in payoffs/paydowns and $1.3 million upgraded to performing, partially offset by additions of $1.2 million. Substandard loans totaled $61.5 million, or 1.86% of total loans, at June 30, 2026, down from $72.5 million, or 2.18% of total loans, at March 31, 2026 and $91.0 million, or 2.81% of total loans, at June 30, 2025. The $11.0 million decrease in substandard loans during the second quarter of 2026 was primarily due to $19.4 million transferred to OREO and $4.2 million in payoffs/paydowns, partially offset by additions of $12.6 million. Of the total substandard loans outstanding at June 30, 2026, there were $37.8 million, or 61% of such loans, on accrual status. Special mention loans totaled $20.3 million, or 0.61% of total loans, at June 30, 2026, down from $24.8 million, or 0.75% of total loans, at March 31, 2026, and down from $91.3 million, or 2.82% of total loans, at June 30, 2025. The $4.5 million decrease for the second quarter of 2026 was primarily due to payoffs/paydowns of $3.8 million, downgrades to substandard-rated loans of $1.8 million, and upgrades of $0.4 million to pass-rated loans, partially offset by additions of $1.5 million. As of June 30, 2026, all special mention loans were paying current. 30-89 day delinquent loans, excluding nonperforming loans, totaled $9.0 million, or 0.27% of total loans, at June 30, 2026, up from $7.9 million, or 0.24% of total loans, at March 31, 2026, and down from $18.0 million, or 0.56% of total loans, at June 30, 2025. The $1.1 million increase for the second quarter of 2026 was mainly due to $6.5 million in new delinquent loans, offset by $4.8 million in loans returning to current status and $0.6 million in loans which migrated to nonperforming. 3
Page 4
As of June 30, 2026, the allowance for credit losses totaled $44.1 million and was comprised of an allowance for loan losses of $43.7 million and a reserve for unfunded loan commitments of $407,000 (included in “accrued interest and other liabilities”). This compares to the allowance for credit losses of $44.2 million, comprised of an allowance for loan losses of $43.7 million and a reserve for unfunded loan commitments of $484,000 at March 31, 2026. The $83,000 decrease in the allowance for credit losses for the second quarter of 2026 was due to net charge-offs of $83,000. The allowance for loan losses as a percentage of loans HFI totaled 1.32% at June 30, 2026, compared to 1.31% at March 31, 2026. The allowance for loan losses as a percentage of nonperforming loans HFI was 183.76% at June 30, 2026, up from 97.98% at March 31, 2026. For the Three Months Ended June 30, 2026 For the Six Months Ended June 30, 2026 (dollars in thousands) Allowance for loan losses Reserve for unfunded loan commitments Allowance for credit losses Allowance for loan losses Reserve for unfunded loan commitments Allowance for credit losses Beginning balance $ 43,666 $ 484 $ 44,150 $ 43,888 $ 484 $ 44,372 Provision for/(reversal of) credit losses 77 (77) — (123) (77) (200) Less loans charged-off (119) — (119) (146) — (146) Recoveries on loans charged-off 36 — 36 41 — 41 Ending balance $ 43,660 $ 407 $ 44,067 $ 43,660 $ 407 $ 44,067 Shareholders' Equity At June 30, 2026, total shareholders' equity was $535.2 million, a $4.1 million increase compared to March 31, 2026, and a $17.5 million increase compared to June 30, 2025. The increase in shareholders' equity for the second quarter of 2026 was due mostly to net income of $10.1 million and stock-based compensation activity of $1.6 million, offset by common stock repurchases of $4.5 million and common stock cash dividends paid of $2.8 million. On June 15, 2026, the Company announced a new common stock repurchase plan providing for the repurchase of up to 1 million shares of the Company's outstanding common stock through June 30, 2028. Dividend Announcement The Board of Directors has declared a quarterly cash dividend of $0.16 per common share. The dividend is payable on August 11, 2026 to shareholders of record on July 31, 2026. Subordinated Notes Redemption On July 1, 2026, the Company redeemed $40.0 million in aggregate principal amount of its outstanding 4.00% Fixed-to-Floating Rate Subordinated Notes due 2031, originally issued on March 26, 2021 (the “Notes”). On April 1, 2026, the fixed interest rate of 4.00% on the Notes reset to a floating rate equal to three-month term SOFR plus a spread of 329 basis points, which equaled 6.98%, on that date. The Notes were redeemed at a cash redemption price equal to 100% of the aggregate principal amount of the Notes being redeemed, plus accrued and unpaid interest thereon, but excluding the redemption date of July 1, 2026, or approximately $40.7 million in aggregate. Upon completion of this $40.0 million redemption, $80.0 million aggregate principal amount of the Notes remain outstanding and the interest rate reset on July 1, 2026 to 7.02%. Contact: Lynn Hopkins, Chief Financial Officer (213) 716-8066 lhopkins@rbbusa.com 4
Page 5
Corporate Overview RBB Bancorp is a community-based financial holding company headquartered in Los Angeles, California. As of June 30, 2026, the Company had total assets of $4.3 billion. Its wholly-owned subsidiary, Royal Business Bank, is a full service commercial bank, which provides consumer and business banking services predominately to the Asian-centric communities through 24 branches located in six states including California, Nevada, New York, Illinois, New Jersey and Hawaii. Bank services include remote deposit, E-banking, mobile banking, commercial and investor real estate loans, business loans and lines of credit, commercial and industrial loans, SBA 7A and 504 loans, 1-4 single family residential loans, trade finance, a full range of depository account products and wealth management services. The Bank has nine branches in Los Angeles County, two branches in Ventura County, and one branch in Orange County, California; one branch in Las Vegas, Nevada; three branches and one loan operation center in Brooklyn, three branches in Queens, and one branch in Manhattan in New York; one branch in Edison, New Jersey; two branches in Chicago, Illinois; and, one branch in Honolulu, Hawaii. The Company's administrative and lending center is located at 1055 Wilshire Blvd., Los Angeles, California 90017, and its operations center is located at 7025 Orangethorpe Ave., Buena Park, California 90621. The Company's website address is www.royalbusinessbankusa.com. Conference Call Management will hold a conference call at 11:00 a.m. Pacific time/2:00 p.m. Eastern time on Tuesday, July 21, 2026, to discuss the Company’s second quarter 2026 financial results. To listen to the conference call, please dial 1-888-506-0062 or 1-973-528-0011, the Participant ID code is 631029, conference ID RBBQ226. A replay of the call will be made available at 1-877-481-4010 or 1-919-882-2331, the passcode is 54229, approximately one hour after the conclusion of the call and will remain available through August 4, 2026. The conference call will also be simultaneously webcast over the Internet; please visit our Royal Business Bank website at www.royalbusinessbankusa.com and click on the “Investors” tab to access the call from the site. This webcast will be recorded and available for replay on our website approximately two hours after the conclusion of the conference call. Disclosure This press release contains certain non-GAAP financial disclosures, which the Company uses to provide meaningful supplemental information regarding the Company’s operational performance and to enhance investors’ overall understanding of such financial performance. Please refer to the tables at the end of this press release for a presentation of performance ratios in accordance with GAAP and a reconciliation of the non-GAAP financial measures to the GAAP financial measures. 5
Page 6
Safe Harbor Certain matters set forth herein (including the exhibits hereto) constitute forward-looking statements relating to the Company’s current business plans and expectations and our future financial position and operating results. These forward-looking statements are subject to risks and uncertainties that could cause actual results, performance and/or achievements to differ materially from those projected. These risks and uncertainties include, but are not limited to, business and economic conditions generally and in the financial services industry, nationally and within our current and future geographic markets, including the tight labor market, ineffective management of the United States (“U.S.”) federal budget or debt or turbulence or uncertainly in domestic or foreign financial markets; the strength of the U.S. economy in general and the strength of the local economies in which we conduct operations; adverse developments in the banking industry highlighted by high-profile bank failures and the potential impact of such developments on customer confidence, liquidity and regulatory responses to these developments; federal government shutdowns and uncertainty regarding the federal government’s debt limit; possible additional provisions for credit losses and charge-offs; credit risks of lending activities and deterioration in asset or credit quality; extensive laws and regulations and supervision that we are subject to, including potential supervisory action by bank supervisory authorities; compliance with the Bank Secrecy Act and other money laundering statutes and regulations; potential goodwill impairment; liquidity risk; failure to comply with debt covenants; risks associated with acquisitions and the expansion of our business into new markets; inflation and deflation; real estate market conditions and the value of real estate collateral; the effects of having concentrations in our loan portfolio, including commercial real estate and the risks of geographic and industry concentrations; environmental liabilities; our ability to compete with larger competitors; our ability to retain key personnel; successful management of reputational risk; severe weather, natural disasters, earthquakes, fires, or other adverse external events could harm our business; geopolitical conditions, including acts or threats of terrorism, actions taken by the U.S. or other governments in response to acts or threats of terrorism and/or military conflicts, including the war between Russia and Ukraine, conflict in the Middle East, and increasing tensions between China and Taiwan, which could impact business and economic conditions in the U.S. and abroad; tariffs, trade policies, and related tensions, which could impact our clients, specific industry sectors, and/or broader economic conditions and financial market; public health crises and pandemics, and their effects on the economic and business environments in which we operate, including our credit quality and business operations, as well as the impact on general economic and financial market conditions; general economic or business conditions in Asia, and other regions where the Bank has operations; failures, interruptions, or security breaches of our information systems; climate change, including any enhanced regulatory, compliance, credit and reputational risks and costs; cybersecurity threats and the cost of defending against them; our ability to adapt our systems to the expanding use of technology in banking; risk management processes and strategies; the impact of regulatory enforcement actions, if any; certain provisions in our charter and bylaws that may affect acquisition of the Company; changes in tax laws and regulations; the impact of governmental efforts to restructure the U.S. financial regulatory system and increased costs of compliance and other risks associated with changes in regulation, including any amendments to the Dodd-Frank Wall Street Reform and Consumer Protection Act; the impact of changes in the Federal Deposit Insurance Corporation (“FDIC”) insurance assessment rate and the rules and regulations related to the calculation of the FDIC insurance assessments; the effect of changes in accounting policies and practices or accounting standards, as may be adopted from time- to-time by bank regulatory agencies, the U.S. Securities and Exchange Commission (“SEC”), the Public Company Accounting Oversight Board, the Financial Accounting Standards Board (FASB) or other accounting standards setters; fluctuations in the Company’s stock price; restrictions on dividends and other distributions by laws and regulations and by our regulators and our capital structure; our ability to raise additional capital, if needed, and the potential resulting dilution of interests of holders of our common stock; the soundness of other financial institutions; our ongoing relations with our various federal and state regulators, including the SEC, FDIC, Federal Reserve Bank, California Department of Financial Protection and Innovation, and Consumer Financial Protection Bureau; our success at managing the risks involved in the foregoing items and all other factors set forth in the Company’s public reports, including its Annual Report as filed under Form 10-K for the year ended December 31, 2025, and particularly the discussion of risk factors within that document. The Company does not undertake, and specifically disclaims any obligation, to update any forward-looking statements to reflect occurrences or unanticipated events or circumstances after the date of such statements except as required by law. Any statements about future operating results, such as those concerning accretion and dilution to the Company’s earnings or shareholders, are for illustrative purposes only, are not forecasts, and actual results may differ. 6
Page 7
RBB BANCORP AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Dollars in thousands) June 30, March 31, December 31, September 30, June 30, 2026 2026 2025 2025 2025 Assets Cash and due from banks $ 25,363 $ 23,893 $ 27,086 $ 24,251 $ 27,338 Interest-earning deposits with financial institutions 257,652 173,017 185,231 210,679 164,514 Cash and cash equivalents 283,015 196,910 212,317 234,930 191,852 Interest-earning time deposits with financial institutions 600 600 600 600 600 Investment securities available for sale 407,160 415,789 407,204 410,631 413,142 Investment securities held to maturity 4,181 4,182 4,184 4,185 4,186 Loans held for sale — — 2,067 756 — Loans held for investment 3,309,459 3,325,232 3,314,301 3,302,577 3,234,695 Allowance for loan losses (43,660) (43,666) (43,888) (44,892) (51,014) Net loans held for investment 3,265,799 3,281,566 3,270,413 3,257,685 3,183,681 Premises and equipment, net 22,868 23,204 23,540 23,851 23,945 Federal Home Loan Bank (FHLB) stock 15,000 15,000 15,000 15,000 15,000 Cash surrender value of bank owned life insurance 62,841 62,403 61,972 61,538 61,111 Goodwill 71,498 71,498 71,498 71,498 71,498 Servicing assets 5,864 5,834 6,041 6,252 6,482 Core deposit intangibles 1,078 1,204 1,338 1,495 1,667 Right-of-use assets 22,068 22,601 23,026 24,305 25,554 Accrued interest and other assets 113,030 93,521 109,094 95,729 91,322 Total assets $ 4,275,002 $ 4,194,312 $ 4,208,294 $ 4,208,455 $ 4,090,040 Liabilities and shareholders' equity Deposits: Noninterest-bearing demand $ 591,556 $ 526,882 $ 526,538 $ 550,488 $ 543,885 Savings, NOW and money market accounts 1,191,198 1,175,735 956,299 721,697 691,679 Time deposits, $250,000 and under 815,528 863,717 974,670 1,119,258 1,010,674 Time deposits, greater than $250,000 792,359 773,550 892,891 975,054 941,993 Total deposits 3,390,641 3,339,884 3,350,398 3,366,497 3,188,231 FHLB advances 160,000 130,000 130,000 130,000 180,000 Long-term debt, net of issuance costs 120,000 120,000 119,911 119,815 119,720 Subordinated debentures 15,484 15,429 15,375 15,320 15,265 Lease liabilities - operating leases 23,836 24,379 24,800 26,066 27,294 Accrued interest and other liabilities 29,864 33,566 44,400 36,422 41,877 Total liabilities 3,739,825 3,663,258 3,684,884 3,694,120 3,572,387 Shareholders' equity: Common stock 250,590 251,050 250,694 250,362 259,863 Additional paid-in capital 3,004 3,649 3,941 3,734 3,579 Retained earnings 296,119 290,566 282,024 274,608 270,152 Non-controlling interest 72 72 72 72 72 Accumulated other comprehensive loss, net (14,608) (14,283) (13,321) (14,441) (16,013) Total shareholders' equity 535,177 531,054 523,410 514,335 517,653 Total liabilities and shareholders’ equity $ 4,275,002 $ 4,194,312 $ 4,208,294 $ 4,208,455 $ 4,090,040 7
Page 8
RBB BANCORP AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (In thousands, except share and per share data) For the Three Months Ended For the Six Months Ended June 30, 2026 March 31, 2026 June 30, 2025 June 30, 2026 June 30, 2025 Interest and dividend income: Interest and fees on loans $ 50,663 $ 49,938 $ 47,687 $ 100,601 $ 93,308 Interest on interest-earning deposits 1,708 1,883 1,750 3,591 3,764 Interest on investment securities 4,259 3,969 4,213 8,228 8,349 Dividend income on FHLB stock 222 760 324 982 654 Interest on federal funds sold and other 307 253 231 560 466 Total interest and dividend income 57,159 56,803 54,205 113,962 106,541 Interest expense: Interest on savings deposits, NOW and money market accounts 9,197 7,347 4,567 16,544 9,035 Interest on time deposits 14,397 16,221 19,250 30,618 38,334 Interest on long-term debt and subordinated debentures 2,428 1,599 1,634 4,027 3,266 Interest on FHLB advances 1,051 1,133 1,420 2,184 2,409 Total interest expense 27,073 26,300 26,871 53,373 53,044 Net interest income before (reversal of)/provision for credit losses 30,086 30,503 27,334 60,589 53,497 (Reversal of)/provision for credit losses — (200) 2,387 (200) 9,133 Net interest income after (reversal of)/provision for credit losses 30,086 30,703 24,947 60,789 44,364 Noninterest income: Service charges and fees 1,104 1,032 1,060 2,136 2,077 Gain on sale of loans 964 324 358 1,288 439 Loan servicing fees, net of amortization 533 504 541 1,037 1,129 Increase in cash surrender value of life insurance 438 431 411 869 814 (Loss)/gain on OREO (221) 890 — 669 — Other income 200 1,070 6,108 1,270 6,314 Total noninterest income 3,018 4,251 8,478 7,269 10,773 Noninterest expense: Salaries and employee benefits 11,045 11,261 11,080 22,306 21,723 Occupancy and equipment expenses 2,449 2,511 2,377 4,960 4,784 Data processing 1,690 1,708 1,713 3,398 3,315 Legal and professional 1,311 1,503 2,904 2,814 4,419 Office expenses 377 359 405 736 813 Marketing and business promotion 178 215 212 393 409 Insurance and regulatory assessments 746 749 709 1,495 1,439 Core deposit premium 127 134 172 261 344 Other expenses 1,099 818 921 1,917 1,769 Total noninterest expense 19,022 19,258 20,493 38,280 39,015 Income before income taxes 14,082 15,696 12,932 29,778 16,122 Income tax expense 3,942 4,396 3,599 8,338 4,499 Net income $ 10,140 $ 11,300 $ 9,333 $ 21,440 $ 11,623 Net income per share Basic $ 0.60 $ 0.66 $ 0.53 $ 1.26 $ 0.66 Diluted $ 0.59 $ 0.66 $ 0.52 $ 1.25 $ 0.65 Cash dividends declared per common share $ 0.16 $ 0.16 $ 0.16 $ 0.32 $ 0.32 Weighted-average common shares outstanding Basic 17,011,624 17,063,757 17,746,607 17,037,546 17,737,212 Diluted 17,141,742 17,174,526 17,797,735 17,158,043 17,784,237 8
Page 9
RBB BANCORP AND SUBSIDIARIES AVERAGE BALANCE SHEET AND NET INTEREST INCOME (Unaudited) For the Three Months Ended June 30, 2026 March 31, 2026 June 30, 2025 Average Interest Yield / Average Interest Yield / Average Interest Yield / (tax-equivalent basis, dollars in thousands) Balance & Fees Rate Balance & Fees Rate Balance & Fees Rate Interest-earning assets Cash and cash equivalents (1) $ 194,256 $ 2,015 4.16% $ 215,930 $ 2,136 4.01% $ 163,838 $ 1,980 4.85% FHLB Stock 15,000 222 5.94% 15,000 760 20.55% 15,000 324 8.66% Securities Available for sale (2) 419,191 4,245 4.06% 404,610 3,955 3.96% 399,414 4,189 4.21% Held to maturity (2) 4,182 38 3.64% 4,183 38 3.68% 5,028 48 3.83% Total loans (3) 3,315,864 50,663 6.13% 3,296,165 49,938 6.14% 3,171,570 47,687 6.03% Total interest-earning assets 3,948,493 $57,183 5.81% 3,935,888 $56,827 5.86% 3,754,850 $54,228 5.79% Total noninterest- earning assets 262,546 268,010 254,029 Total average assets $4,211,039 $4,203,898 $4,008,879 Interest-bearing liabilities NOW $ 83,681 $ 478 2.29% $ 73,637 $ 398 2.19% $ 66,755 $ 368 2.21% Money market 556,084 4,189 3.02% 529,013 3,795 2.91% 482,669 3,774 3.14% Savings deposits 589,187 4,529 3.08% 441,123 3,154 2.90% 141,411 425 1.21% Time deposits, $250,000 and under 837,026 7,322 3.51% 926,226 8,313 3.64% 996,249 9,768 3.93% Time deposits, greater than $250,000 768,027 7,076 3.70% 845,786 7,908 3.79% 922,540 9,482 4.12% Total interest-bearing deposits 2,834,005 23,594 3.34% 2,815,785 23,568 3.39% 2,609,624 23,817 3.66% FHLB advances 116,813 1,051 3.61% 130,000 1,133 3.53% 159,286 1,420 3.58% Long-term debt 120,000 2,118 7.08% 119,945 1,289 4.36% 119,657 1,296 4.34% Subordinated debentures 15,448 310 8.05% 15,394 310 8.17% 15,230 338 8.90% Total borrowings 252,261 3,479 5.53% 265,339 2,732 4.18% 294,173 3,054 4.16% Total interest-bearing liabilities 3,086,266 27,073 3.52% 3,081,124 26,300 3.46% 2,903,797 26,871 3.71% Noninterest-bearing liabilities Noninterest-bearing deposits 535,756 526,151 526,113 Other noninterest-bearing liabilities 56,608 67,241 65,278 Total noninterest-bearing liabilities 592,364 593,392 591,391 Shareholders' equity 532,409 529,382 513,691 Total liabilities and shareholders' equity $4,211,039 $4,203,898 $4,008,879 Net interest income / interest rate spreads $30,110 2.29% $30,527 2.40% $27,357 2.08% Net interest margin 3.06% 3.15% 2.92% Total cost of deposits $3,369,761 $23,594 2.81% $3,341,936 $23,568 2.86% $3,135,737 $23,817 3.05% Total cost of funds $3,622,022 $27,073 3.00% $3,607,275 $26,300 2.96% $3,429,910 $26,871 3.14% (1) Includes income and average balances for interest-earning time deposits and other miscellaneous interest-earning assets. (2) Interest income and average rates for tax-exempt securities are presented on a tax-equivalent basis. (3) Average loan balances relate to loans held for investment and loans held for sale and include nonaccrual loans. Interest income on loans includes the effects of discount accretion and net deferred loan origination fees and costs accounted for as yield adjustments. 9
Page 10
RBB BANCORP AND SUBSIDIARIES AVERAGE BALANCE SHEET AND NET INTEREST INCOME (Unaudited) For the Six Months Ended June 30, 2026 2025 Average Interest Yield / Average Interest Yield / (tax-equivalent basis, dollars in thousands) Balance & Fees Rate Balance & Fees Rate Interest-earning assets Cash and cash equivalents (1) $ 205,033 $ 4,151 4.08% $ 178,953 $ 4,230 4.77% FHLB Stock 15,000 982 13.20% 15,000 654 8.79% Securities Available for sale (2) 411,941 8,200 4.01% 394,822 8,302 4.24% Held to maturity (2) 4,182 76 3.66% 5,108 97 3.83% Total loans (3) 3,306,068 100,601 6.14% 3,125,652 93,308 6.02% Total interest-earning assets 3,942,224 $ 114,010 5.83% 3,719,535 $ 106,591 5.78% Total noninterest-earning assets 265,264 257,250 Total average assets $ 4,207,488 $ 3,976,785 Interest-bearing liabilities NOW $ 78,687 $ 877 2.25% $ 64,004 $ 689 2.17% Money market 542,623 7,983 2.97% 473,109 7,399 3.15% Saving deposits 515,564 7,684 3.01% 148,225 947 1.29% Time deposits, $250,000 and under 881,380 15,634 3.58% 992,954 19,815 4.02% Time deposits, greater than $250,000 806,692 14,984 3.75% 893,832 18,519 4.18% Total interest-bearing deposits 2,824,946 47,162 3.37% 2,572,124 47,369 3.71% FHLB advances 123,370 2,184 3.57% 168,011 2,409 2.89% Long-term debt 119,973 3,407 5.73% 119,610 2,591 4.37% Subordinated debentures 15,421 620 8.11% 15,203 675 8.95% Total borrowings 258,764 6,211 4.84% 302,824 5,675 3.78% Total interest-bearing liabilities 3,083,710 53,373 3.49% 2,874,948 53,044 3.72% Noninterest-bearing liabilities Noninterest-bearing deposits 530,980 523,145 Other noninterest-bearing liabilities 61,895 65,711 Total noninterest-bearing liabilities 592,875 588,856 Shareholders' equity 530,903 512,981 Total liabilities and shareholders' equity $ 4,207,488 $ 3,976,785 Net interest income / interest rate spreads $ 60,637 2.34% $ 53,547 2.06% Net interest margin 3.10% 2.90% Total cost of deposits $ 3,355,926 $ 47,162 2.83% $ 3,095,269 $ 47,369 3.09% Total cost of funds $ 3,614,690 $ 53,373 2.98% $ 3,398,093 $ 53,044 3.15% (1) Includes income and average balances for interest-earning time deposits and other miscellaneous interest-earning assets. (2) Interest income and average rates for tax-exempt securities are presented on a tax-equivalent basis. (3) Average loan balances relate to loans held for investment and loans held for sale and include nonaccrual loans. Interest income on loans includes the effects of discount accretion and net deferred loan origination fees and costs accounted for as yield adjustments. 10
Page 11
RBB BANCORP AND SUBSIDIARIES SELECTED FINANCIAL HIGHLIGHTS (Unaudited) At or for the Three Months Ended At or for the Six Months Ended June 30, June 30, March 31, June 30, 2026 2026 2025 2026 2025 Per share data (common stock) Book value $ 31.51 $ 31.10 $ 29.25 $ 31.51 $ 29.25 Tangible book value (1) $ 27.23 $ 26.84 $ 25.11 $ 27.23 $ 25.11 Performance ratios Return on average assets, annualized 0.97% 1.09% 0.93% 1.03% 0.59% Return on average shareholders' equity, annualized 7.64% 8.66% 7.29% 8.14% 4.57% Return on average tangible common equity, annualized (1) 8.85% 10.04% 8.50% 9.44% 5.33% Noninterest income to average assets, annualized 0.29% 0.41% 0.85% 0.35% 0.55% Noninterest expense to average assets, annualized 1.81% 1.86% 2.05% 1.83% 1.98% Yield on average earning assets 5.81% 5.86% 5.79% 5.83% 5.78% Yield on average loans 6.13% 6.14% 6.03% 6.14% 6.02% Cost of average total deposits (2) 2.81% 2.86% 3.05% 2.83% 3.09% Cost of average interest-bearing deposits 3.34% 3.39% 3.66% 3.37% 3.71% Cost of average interest-bearing liabilities 3.52% 3.46% 3.71% 3.49% 3.72% Net interest spread 2.29% 2.40% 2.08% 2.34% 2.06% Net interest margin 3.06% 3.15% 2.92% 3.10% 2.90% Efficiency ratio (3) 57.46% 55.41% 57.22% 56.41% 60.70% Common stock dividend payout ratio 26.67% 24.24% 30.19% 25.40% 48.48% (1) Non-GAAP measure. See Non–GAAP reconciliations set forth at the end of this press release. (2) Total deposits include noninterest-bearing deposits and interest-bearing deposits. (3) Ratio calculated by dividing noninterest expense by the sum of net interest income before provision for credit losses and noninterest income. 11
Page 12
RBB BANCORP AND SUBSIDIARIES SELECTED FINANCIAL HIGHLIGHTS (Unaudited) (Dollars in thousands) At or for the quarter ended June 30, March 31, June 30, 2026 2026 2025 Credit Quality Data: Special mention loans $ 20,275 $ 24,778 $ 91,317 Special mention loans to total loans HFI 0.61% 0.75% 2.82% Substandard loans HFI $ 61,529 $ 72,494 $ 91,019 Substandard loans HFI to total loans HFI 1.86% 2.18% 2.81% Loans 30-89 days past due, excluding nonperforming loans $ 8,970 $ 7,911 $ 18,003 Loans 30-89 days past due, excluding nonperforming loans, to total loans 0.27% 0.24% 0.56% Nonperforming loans HFI $ 23,759 $ 44,568 $ 56,817 OREO (included in "accrued interest and other assets") 19,820 4,268 4,170 Nonperforming assets $ 43,579 $ 48,836 $ 60,987 Nonperforming loans to total loans HFI 0.72% 1.34% 1.76% Nonperforming assets to total assets 1.02% 1.16% 1.49% Allowance for loan losses $ 43,660 $ 43,666 $ 51,014 Allowance for loan losses to total loans HFI 1.32% 1.31% 1.58% Allowance for loan losses to nonperforming loans HFI 183.76% 97.98% 89.79% Net charge-offs $ 83 $ 22 $ 3,305 Net charge-offs to average loans 0.01% 0.00% 0.42% Capital ratios (1) Tangible common equity to tangible assets (2) 11.01% 11.12% 11.07% Tier 1 leverage ratio 11.86% 11.77% 12.04% Tier 1 common capital to risk-weighted assets 18.00% 17.85% 17.61% Tier 1 capital to risk-weighted assets 18.57% 18.41% 18.17% Total capital to risk-weighted assets 23.44% 24.20% 24.00% (1) June 30, 2026 capital ratios are preliminary. (2) Non-GAAP measure. See non-GAAP reconciliations set forth at the end of this press release. 12
Page 13
RBB BANCORP AND SUBSIDIARIES SELECTED FINANCIAL HIGHLIGHTS (Unaudited) Loan Portfolio Detail As of June 30, 2026 As of March 31, 2026 As of June 30, 2025 (dollars in thousands) $ % $ % $ % Loans: Single-family residential mortgages $ 1,680,635 50.8% $ 1,682,728 50.6% $ 1,603,114 49.6% Commercial real estate (1) 1,277,559 38.6% 1,274,105 38.3% 1,273,442 39.4% Construction and land development 146,273 4.4% 159,292 4.8% 157,970 4.9% Commercial and industrial 151,961 4.6% 152,911 4.6% 138,263 4.3% SBA 49,667 1.5% 52,279 1.6% 55,984 1.7% Other loans 3,364 0.1% 3,917 0.1% 5,922 0.1% Total loans held for investment $ 3,309,459 100.0% $ 3,325,232 100.0% $ 3,234,695 100.0% Allowance for loan losses (43,660) (43,666) (51,014) Total loans held for investment, net $ 3,265,799 $ 3,281,566 $ 3,183,681 (1) Includes non-farm and non-residential loans, multi-family residential loans and non-owner occupied single family residential loans. Deposits As of June 30, 2026 As of March 31, 2026 As of June 30, 2025 (dollars in thousands) $ % $ % $ % Deposits: Noninterest-bearing demand $ 591,556 17.5% $ 526,882 15.8% $ 543,885 17.1% Savings, NOW and money market accounts 1,191,198 35.1% 1,175,735 35.2% 691,679 21.7% Time deposits, $250,000 and under 736,102 21.7% 740,429 22.2% 848,379 26.6% Time deposits, greater than $250,000 751,600 22.2% 733,046 21.9% 920,481 28.8% Wholesale deposits (1) 120,185 3.5% 163,792 4.9% 183,807 5.8% Total deposits $ 3,390,641 100.0% $ 3,339,884 100.0% $ 3,188,231 100.0% (1) Includes brokered deposits, collateralized deposits from the State of California, and deposits acquired through internet listing services. 13
Page 14
Non-GAAP Reconciliations Tangible Book Value Reconciliations Tangible book value per share is a non-GAAP disclosure. Management measures tangible book value per share to assess the Company’s capital strength and business performance and believes this is helpful to investors as additional tools for further understanding our performance. The following is a reconciliation of tangible book value to the Company shareholders’ equity computed in accordance with GAAP, as well as a calculation of tangible book value per share as of as of the dates indicated. (dollars in thousands, except share and per share data) June 30, 2026 March 31, 2026 June 30, 2025 Tangible common equity: Total shareholders' equity $ 535,177 $ 531,054 $ 517,653 Adjustments Goodwill (71,498) (71,498) (71,498) Core deposit intangible (1,078) (1,204) (1,667) Tangible common equity $ 462,601 $ 458,352 $ 444,488 Tangible assets: Total assets-GAAP $ 4,275,002 $ 4,194,312 $ 4,090,040 Adjustments Goodwill (71,498) (71,498) (71,498) Core deposit intangible (1,078) (1,204) (1,667) Tangible assets $ 4,202,426 $ 4,121,610 $ 4,016,875 Common shares outstanding 16,985,919 17,074,159 17,699,091 Common equity to assets ratio 12.52% 12.66% 12.66% Tangible common equity to tangible assets ratio 11.01% 11.12% 11.07% Book value per share $ 31.51 $ 31.10 $ 29.25 Tangible book value per share $ 27.23 $ 26.84 $ 25.11 Return on Average Tangible Common Equity Management measures return on average tangible common equity (“ROATCE”) to assess the Company’s capital strength and business performance and believes this is helpful to investors as an additional tool for further understanding our performance. Tangible equity excludes goodwill and other intangible assets (excluding mortgage servicing rights) and is reviewed by banking and financial institution regulators when assessing a financial institution’s capital adequacy. This non-GAAP financial measure should not be considered a substitute for operating results determined in accordance with GAAP and may not be comparable to other similarly titled measures used by other companies. The following table reconciles ROATCE to its most comparable GAAP measure: Three Months Ended Six Month Ended June 30, (dollars in thousands) June 30, 2026 March 31, 2026 June 30, 2025 2026 2025 Net income available to common shareholders $ 10,140 $ 11,300 $ 9,333 $ 21,440 $ 11,623 Average shareholders' equity 532,409 529,382 513,691 530,903 512,981 Adjustments: Average goodwill (71,498) (71,498) (71,498) (71,498) (71,498) Average core deposit intangible (1,161) (1,288) (1,780) (1,224) (1,865) Adjusted average tangible common equity $ 459,750 $ 456,596 $ 440,413 $ 458,181 $ 439,618 Return on average common equity, annualized 7.64% 8.66% 7.29% 8.14% 4.57% Return on average tangible common equity, annualized 8.85% 10.04% 8.50% 9.44% 5.33% 14
Page 15
Pre-Tax Pre-Provision Income Management believes that pre-tax pre-provision (“PTPP”) income is a useful measure for investors to evaluate core operating performance, excluding the volatility of credit provision expenses/(reversals). PTPP income is calculated by subtracting noninterest expense from the sum of net interest income and noninterest income, as shown in the following table. Three Months Ended Six Month Ended June 30, (dollars in thousands) June 30, 2026 March 31, 2026 June 30, 2025 2026 2025 Net interest income before (reversal of)/provision for credit losses $ 30,086 $ 30,503 $ 27,334 $ 60,589 $ 53,497 Add: Noninterest income 3,018 4,251 8,478 7,269 10,773 Less: Noninterest expense (19,022) (19,258) (20,493) (38,280) (39,015) Pre-tax pre-provision income $ 14,082 $ 15,496 $ 15,319 $ 29,578 $ 25,255 15