SEC EDGAR · 10-Q
10-Q – 2025-11-07 – ewbc-20250930.htm
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Omsättning
- Item 2. | Unregistered Sales of Equity Securities and Use of Proceeds | 110
- Net gains on AFS debt securities ( 934 ) ( 1,979 ) | Net loss on other real estate owned (“OREO”) write-downs and sales 4,426 2,250
- ( 3,269 ) ( 2,491 ) | Proceeds from sales and paydowns/payoffs of loans originally classified as held-for-sale 3,266 2,629
- AFS debt securities: | Proceeds from sales 606,685 1,361,386 | Proceeds from repayments, maturities and redemptions 2,566,741 1,073,539
- Loans held-for-investment: | Proceeds from sales of loans originally classified as held-for-investment 251,012 702,564 | Purchases ( 709,194 ) ( 741,188 )
- Proceeds from sales of OREO | 30,939 24,550
- In connection with the Company’s acquisition of a 49.99 % equity interest in an investee during the third quarter of 2023, the Company granted 349 thousand performance-based restricted stock units (“RSUs”) as part of its consideration, in addition to $ 95 million in cash. The vesting of these equity contracts on September 1, 2028, is contingent on the investee meeting certain financial performance targets during the performance period. The fair value of liability-classified equity contracts vari
- Equity contracts (2) | $ 15,119 Internal model Payout % based on operating revenue and operating EBITDA of investee | 84 % 84 %
EBITDA
- In connection with the Company’s acquisition of a 49.99 % equity interest in an investee during the third quarter of 2023, the Company granted 349 thousand performance-based restricted stock units (“RSUs”) as part of its consideration, in addition to $ 95 million in cash. The vesting of these equity contracts on September 1, 2028, is contingent on the investee meeting certain financial performance targets during the performance period. The fair value of liability-classified equity contracts vari
- Equity contracts (2) | $ 15,119 Internal model Payout % based on operating revenue and operating EBITDA of investee | 84 % 84 %
Periodens resultat
- 96,730 90,151 289,594 253,566 | NET INCOME $ 368,394 $ 299,166 $ 968,917 $ 872,471 | EARNINGS PER SHARE (“EPS”)
- 2025 2024 2025 2024 | Net income $ 368,394 $ 299,166 $ 968,917 $ 872,471 | Other comprehensive income, net of tax:
- Net income — — 299,166 — — 299,166 | Other comprehensive income — — — — 216,869 216,869
- Net income — — 368,394 — — 368,394 | Other comprehensive income — — — — 86,823 86,823
- — — ( 9,482 ) — — ( 9,482 ) | Net income — — 872,471 — — 872,471 | Other comprehensive income
- Net income — — 968,917 — — 968,917 | Other comprehensive income
- CASH FLOWS FROM OPERATING ACTIVITIES | Net income $ 968,917 $ 872,471 | Adjustments to reconcile net income to net cash provided by operating activities:
- Net income $ 968,917 $ 872,471 | Adjustments to reconcile net income to net cash provided by operating activities:
Resultat per aktie
- 12 — Stockholders’ Equity and Earnings Per Share | 59
- NET INCOME $ 368,394 $ 299,166 $ 968,917 $ 872,471 | EARNINGS PER SHARE (“EPS”) | BASIC $ 2.68 $ 2.16 $ 7.03 $ 6.28
- Note 12 — Stockholders’ Equity and Earnings Per Share
- The following table presents the basic and diluted EPS calculations for the three and nine months ended September 30, 2025 and 2024. For more information on the calculation of EPS, see Note 1 — Summary of Significant Accounting Policies — Significant Accounting Policies — Earnings Per Share to the Consolidated Financial Statements in the Company’s 2024 Form 10-K.
- Weighted-average number of shares outstanding 137,676 138,606 137,897 138,997 | Basic EPS $ 2.68 $ 2.16 $ 7.03 $ 6.28 | Diluted:
- Diluted weighted-average number of shares outstanding 138,942 139,648 139,090 139,939 | Diluted EPS $ 2.65 $ 2.14 $ 6.97 $ 6.23
- Approximately two thousand and nine thousand weighted-average shares of anti-dilutive RSUs were excluded from the diluted EPS computations for the three and nine months ended September 30, 2025, respectively. In comparison, approximately one thousand and five thousand weighted-average shares of anti-dilutive RSUs were excluded from the diluted EPS computations for the three and nine months ended September 30, 2024, respectively.
- • Earnings per share growth. Third quarter 2025 basic and diluted earnings per share (“EPS”) both increased 24% to $2.68 and $2.65, respectively, from the third quarter of 2024. For the first nine months of 2025 basic and diluted EPS both increased 12% to $7.03 and $6.97, respectively, from the first nine months of 2024.
Kassaflöde
- Amortization of unrealized losses on debt securities transferred from AFS to HTM 4,102 2,765 8,015 8,161 | Net changes in unrealized gains on cash flow hedges | 1,802 83,202 51,211 36,519
- SUPPLEMENTAL CASH FLOW INFORMATION: | Cash paid during the period for:
- • Discounted cash flow valuation techniques consist of developing an expected stream of cash flows over the life of the loans, and then calculating the present value of the loans by discounting the expected cash flows at a designated discount rate. | • When the repayment of an individually evaluated loan is dependent on the sale of the collateral, the fair value of the loan is determined based on the fair value of the underlying collateral, which may take the form of real estate, inventory, equipment, contracts or guarantees. The fair value of the underlying collateral is generally based on third-party appraisals, or an internal valuation if a third-party appraisal is not required by regulations or is unavailable. An internal valuation utili
- • Corporate debt securities — The market value movement as of September 30, 2025 was primarily due to interest rate movement and spread change. A portion of the corporate debt securities is comprised of subordinated debt securities issued by U.S. banks. These securities are nearly all rated investment grade by nationally recognized statistical rating organizations (“NRSROs”) and issued by well-capitalized financial institutions with strong profitability. The contractual payments from these corpo | • Non-agency mortgage-backed securities — The market value movement for the majority of these securities as of September 30, 2025 was primarily due to interest rate movement and spread change. In contrast, one non-agency commercial mortgage-backed security experienced a deterioration in both its credit rating and expected cash flows, resulting in its fair value falling below its amortized cost. Consequently, a credit-related impairment of $ 3 million was recognized through allowance for credit l
- Cash flow hedges: | Interest rate contracts $ 4,250,000 $ 42,415 $ 1,010 $ 5,250,000 $ 5,647 $ 35,211
- Cash Flow Hedges — The Company uses interest rate swaps and collars to hedge the variability in the interest amount received on certain floating-rate commercial loans due to changes in the contractually specified interest rates. As of September 30, 2025, interest rate contracts in notional amounts of $ 4.3 billion were designated as cash flow hedges to convert certain variable-rate loans from floating-rate payments to fixed-rate payments. Gains and losses on the hedging derivative instruments ar
- The following table presents the pre-tax changes in AOCI from cash flow hedges for the three and nine months ended September 30, 2025 and 2024. The after-tax impact of cash flow hedges on AOCI is shown in Note 13 — Accumulated Other Comprehensive Income (Loss) to the Consolidated Financial Statements in this Form 10-Q.
- Interest and dividend income (for cash flow hedges on loans) $ 6,001 $ 24,272 $ 18,584 $ 73,471
Likvida medel
- Interest-bearing cash with banks 4,017,647 4,890,008 | Cash and cash equivalents 4,694,194 5,250,742 | Interest-bearing deposits with banks 68,200 48,198
- 2,591,879 4,106,361 | Effect of exchange rate changes on cash and cash equivalents ( 15,287 ) 6,746 | NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS
- Effect of exchange rate changes on cash and cash equivalents ( 15,287 ) 6,746 | NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS | ( 556,548 ) 245,089
- ( 556,548 ) 245,089 | CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 5,250,742 4,614,984 | CASH AND CASH EQUIVALENTS, END OF PERIOD $ 4,694,194 $ 4,860,073
- CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 5,250,742 4,614,984 | CASH AND CASH EQUIVALENTS, END OF PERIOD $ 4,694,194 $ 4,860,073
- Financial assets: | Cash and cash equivalents $ 4,694,194 $ 4,694,194 $ — $ — $ 4,694,194 | Interest-bearing deposits with banks $ 68,200 $ — $ 68,200 $ — $ 68,200
- Financial assets: | Cash and cash equivalents $ 5,250,742 $ 5,250,742 $ — $ — $ 5,250,742 | Interest-bearing deposits with banks $ 48,198 $ — $ 48,198 $ — $ 48,198
- Hong Kong branch: | Cash and cash equivalents $ 718,583 1 % $ 730,227 1 %
Nettoskuld
- Net income $ 968,917 $ 872,471 | Adjustments to reconcile net income to net cash provided by operating activities:
- Total adjustments ( 180,625 ) 39,063 | Net cash provided by operating activities 788,292 911,534 | CASH FLOWS FROM INVESTING ACTIVITIES
- Other investing activities, net 8,567 11,687 | Net cash used in investing activities ( 3,921,432 ) ( 4,779,552 )
- Cash dividends paid ( 251,439 ) ( 232,132 ) | Net cash provided by financing activities | 2,591,879 4,106,361
Eget kapital
- Consolidated Statement of Changes in Stockholders’ Equity (Unaudited) | 7
- 12 — Stockholders’ Equity and Earnings Per Share | 59
- STOCKHOLDERS’ EQUITY | Common stock, $ 0.001 par value, 200,000,000 shares authorized; 170,463,795 and 169,925,379 shares issued
- Accumulated other comprehensive loss (“AOCI”), net of tax ( 375,557 ) ( 585,260 ) | Total stockholders’ equity 8,582,800 7,723,054 | TOTAL $ 79,669,531 $ 75,976,475
- EAST WEST BANCORP, INC. AND SUBSIDIARIES | CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY | ($ in thousands, except shares and per share data)
- Common Stock and Additional Paid-in Capital Retained Earnings Treasury Stock AOCI, Net of Tax Total Stockholders’ Equity | Shares Amount
- Note 12 — Stockholders’ Equity and Earnings Per Share
- • Strong capital levels. Stockholders’ equity was $8.6 billion as of September 30, 2025, up $860 million or 11%, from December 31, 2024. Book value per share of $62.39 as of September 30, 2025, increased $6.60 or 12%, compared with December 31, 2024. Tangible book value per share of $58.97 as of September 30, 2025, increased $6.59 or 13%, compared with December 31, 2024. Tangible book value per share is a non-GAAP financial measure. For additional details, see the reconciliation of non-GAAP fina
Antal aktier
- Yes ☐ No ☒ | Number of shares outstanding of the issuer’s common stock on the latest practicable date: 137,585,604 shares as of October 31, 2025 .
- DILUTED $ 2.65 $ 2.14 $ 6.97 $ 6.23 | WEIGHTED-AVERAGE NUMBER OF SHARES OUTSTANDING | BASIC 137,676 138,606 137,897 138,997
- Net income $ 368,394 $ 299,166 $ 968,917 $ 872,471 | Weighted-average number of shares outstanding 137,676 138,606 137,897 138,997 | Basic EPS $ 2.68 $ 2.16 $ 7.03 $ 6.28
- Weighted-average number of shares outstanding 137,676 138,606 137,897 138,997 | Add: Dilutive impact of unvested RSUs 1,266 1,042 1,193 942
- Add: Dilutive impact of unvested RSUs 1,266 1,042 1,193 942 | Diluted weighted-average number of shares outstanding 138,942 139,648 139,090 139,939 | Diluted EPS $ 2.65 $ 2.14 $ 6.97 $ 6.23
- Weighted-average number of shares outstanding: | Basic 137,676 138,606 137,897 138,997
- Total deposits $ 66,587,556 $ 63,175,023 | Common shares outstanding at period-end 137,568 138,437 | Book value per share $ 62.39 $ 55.79
- Calendar Month Total Number of Shares Purchased (1) | Average Price Paid
Antal anställda
- • the success and timing of the Company’s business strategies; | • the Company’s ability to retain key officers and employees; | • changes in interest rates, competition, regulatory requirements and product mix;
- Stock-Based Compensation — The Company recognizes compensation expense related to stock awards over the requisite service period, generally based on the instruments’ grant-date fair value, reduced by expected forfeitures. Effective third quarter 2025, compensation cost related to awards granted to employees who meet certain age plus years-of-service requirements (“retirement-eligible employees”) is accrued over the service period required to earn the award prior to the grant date, in accordance
- Pursuant to the Company’s 2021 Stock Incentive Plan, as amended, the Company may issue stock, stock options, restricted stock, RSUs including performance-based RSUs, stock purchase warrants, stock appreciation rights, phantom stock and dividend equivalents to eligible employees, non-employee directors, consultants, and other service providers of East West and its subsidiaries. The Company has granted RSUs as its primary incentive awards. There were no outstanding awards other than RSUs as of bot
- Each segment’s net interest income represents the difference between actual interest earned on assets and interest incurred on liabilities of the segment, adjusted for funding charges or credits through the Company’s FTP process. Noninterest income and noninterest expense directly attributable to a business segment are assigned to that segment. Loan charge-offs and provision for credit losses are recorded to the segments, where the loans are recorded. Significant corporate overhead expenses incu
- East West is a bank holding company incorporated in Delaware on August 26, 1998, and is registered under the Bank Holding Company Act of 1956, as amended. The Company commenced business on December 30, 1998 when, pursuant to a reorganization, it acquired all of the voting stock of the Bank, which became its principal asset. The Bank is an independent commercial bank headquartered in California that focuses on the financial service needs of individuals and businesses that operate in both the U.S.
- Evolving trade policies and tariffs, and the government shutdown in late 2025 have increased concerns about inflation, supply chain disruptions, and slower economic growth. The F ederal Reserve resumed lowering interest rates in September 2025, and signaled a cautious approach to further cuts as it monitors inflation and labor market conditions. The economic uncertainty caused by these factors could result in decreased consumer spending and curb business investments. The Company monitors changes
- Compensation and employee benefits were $176 million for the third quarter of 2025, an increase of $40 million or 30%, compared with the third quarter of 2024. For the first nine months of 2025, compensation and employee benefits were $467 million, an increase of $56 million or 14%, compared with the first nine months of 2024. The increases were primarily driven by $27 million from the change in equity award expense recognition for retirement eligible employees, while the remaining increase was
- The Treasury and Other segment income before income taxes increased $119 million for the third quarter of 2025, compared with the third quarter of 2024, primarily driven by a $143 million increase in net interest income and a $15 million increase in reversal of credit losses, partially offset by a $29 million increase in compensation and employee benefits and a $11 million increase in other noninterest expense. The net interest income increase was mainly driven by higher loan interest income, pr
Organisk tillväxt
- East West is a bank holding company incorporated in Delaware on August 26, 1998, and is registered under the Bank Holding Company Act of 1956, as amended. The Company commenced business on December 30, 1998 when, pursuant to a reorganization, it acquired all of the voting stock of the Bank, which became its principal asset. The Bank is an independent commercial bank headquartered in California that focuses on the financial service needs of individuals and businesses that operate in both the U.S.
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ewbc:CommercialBankingMember 2025-01-01 2025-09-30 0001069157 ewbc:TreasuryAndOtherMember 2025-01-01 2025-09-30 0001069157 ewbc:ConsumerandBusinessBankingMember 2024-01-01 2024-09-30 0001069157 ewbc:CommercialBankingMember 2024-01-01 2024-09-30 0001069157 ewbc:TreasuryAndOtherMember 2024-01-01 2024-09-30 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 000-24939 EAST WEST BANCORP, INC. (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation or organization) 95-4703316 (I.R.S. Employer Identification No.) 135 North Los Robles Ave. , 7th Floor , Pasadena , California 91101 (Address of principal executive offices) (Zip Code) Registrant’s telephone number, including area code: ( 626 ) 768-6000 Securities registered pursuant to Section 12(b) of the Act: Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock, par value $0.001 per share EWBC The Nasdaq Global Select Market Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐ Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐ Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act. Large accelerated filer ☒ Accelerated filer ☐ Non-accelerated filer ☐ Smaller reporting company ☐ Emerging growth company ☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐ Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒ Number of shares outstanding of the issuer’s common stock on the latest practicable date: 137,585,604 shares as of October 31, 2025 . TABLE OF CONTENTS Page FORWARD-LOOKING S TATEMENTS 3 PART I — FINANCIAL INFORMATION 4 Item 1. Consolidated Financial Statements 4 Consolidated Balance Sheets (Unaudited) 4 Consolidated Statement of Income (Unaudited) 5 Consolidated Statement of Comprehensive Income (Unaudited) 6 Consolidated Statement of Changes in Stockholders’ Equity (Unaudited) 7 Consolidated Statement of Cash Flows (Unaudited) 8 Notes to Consolidated Financial Statements (Unaudited) 10 1 — Basis of Presentation, Current Accounting Developments, and Summary of Significant Accounting Policies Update 10 2 — Fair Value Measurement and Fair Value of Financial Instruments 11 3 — Securities Purchased under Resale Agreements and Sold under Repurchase Agreements 21 4 — Securities 22 5 — Derivatives 29 6 — Loans Receivable and Allowance for Credit Losses 35 7 — Affordable Housing Partnership, Tax Credit and Community Reinvestment Act Investments , Net 53 8 — Goodwill 55 9 — Federal Home Loan Bank Advances and Long-Term Debt 55 10 — Commitments and Contingencies 55 11 — Stock Compensation Plans 57 12 — Stockholders’ Equity and Earnings Per Share 59 13 — Accumulated Other Comprehensive Income (Loss) 59 14 — Business Segments 61 Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations 65 Item 3. Quantitative and Qualitative Disclosures About Market Risk 108 Item 4. Controls and Procedures 108 PART II — OTHER INFORMATION 109 Item 1. Legal Proceedings 109 Item 1A. Risk Factors 109 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 110 Item 5. Other Information 110 Item 6. Exhibits 111 GLOSSARY OF ACRONYMS 112 SIGNATURE 113 2 Forward-Looking Statements Certain matters discussed in this Quarterly Report on Form 10-Q contain “forward-looking statements” that are intended to be covered by the safe harbor for such statements provided by the Private Securities Litigation Reform Act of 1995. East West Bancorp, Inc. (referred to herein on an unconsolidated basis as “East West” and on a consolidated basis as the “Company,” “we,” “our” or “EWBC”) may make forward-looking statements in other documents that it files with, or furnishes to, the United States (“U.S.”) Securities and Exchange Commission (“SEC”) and management may make forward-looking statements to analysts, investors, media members and others. Forward-looking statements are those that do not relate to historical facts and that are based on current assumptions, beliefs, estimates, expectations and projections, many of which, by their nature, are inherently uncertain and beyond the Company’s control. Forward-looking statements may relate to various matters, including the Company’s financial condition, results of operations, plans, objectives, future performance, business or industry, and usually can be identified by the use of forward-looking words such as “anticipates,” “assumes,” “believes,” “can,” “continues,” “could,” “estimates,” “expects,” “forecasts,” “goal,” “intends,” “likely,” “may,” “might,” “objective,” “plans,” “potential,” “projects,” “remains,” “should,” “target,” “trend,” “will,” “would,” or similar expressions or variations thereof, and the negative thereof, but these terms are not the exclusive means of identifying such statements. You should not place undue reliance on forward-looking statements, as they are subject to known and unknown risks and uncertainties. Factors that might cause future results to differ materially from historical performance and any forward-looking statements include, but are not limited to: • changes in local, regional and global business, economic and political conditions, and natural or geopolitical events; • the soundness of other financial institutions and the impacts related to or resulting from bank failures and other industry volatility, including potential increased regulatory requirements, Federal Deposit Insurance Corporation insurance premiums and assessments, and deposit withdrawals; • changes in trade, tariff, tax, monetary and fiscal policies; • changes in immigration laws and enforcement practices, or travel and visa related policies; • current or potential disputes between the U.S., the People’s Republic of China, Singapore and other countries; • changes in the commercial and consumer real estate markets; • changes in consumer or commercial spending, savings and borrowing habits, and patterns and behaviors; • the Company’s ability to compete effectively against financial institutions and other entities, including as a result of emerging technologies; • the success and timing of the Company’s business strategies; • the Company’s ability to retain key officers and employees; • changes in interest rates, competition, regulatory requirements and product mix; • changes in the Company’s costs of operation, compliance and expansion; • disruption, failure in, or breach of, the Company’s operational or security systems or infrastructure, or those of third-party vendors with which the Company does business, including as a result of cyber-attacks, and the disclosure or misuse of confidential information; • the adequacy of the Company’s risk management framework; • future credit quality and performance, including expectations regarding future credit losses and allowance levels; • adverse changes to the Company’s credit ratings; • legal proceedings, regulatory investigations and their resolution; • the Company’s capital requirements and its ability to generate capital internally or raise capital on favorable terms; • the impact on the Company’s liquidity due to changes in the Company’s ability to receive dividends from its subsidiaries; and • any strategic acquisitions or divestitures, the introduction of new or expanded products and services or other events that may directly or indirectly result in a negative impact on the financial performance of the Company and its customers. For a more detailed discussion of some of the factors that might cause such differences, see the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, filed with the SEC on February 28, 2025 under the heading Item 1A. Risk Factors . You should treat forward-looking statements as speaking only as of the date they are made and based only on information then actually known to the Company. The Company does not undertake, and specifically disclaims any obligation to update or revise any forward-looking statements to reflect the occurrence of events or circumstances after the date of such statements except as required by law. 3 PART I — FINANCIAL INFORMATION ITEM 1. CONSOLIDATED FINANCIAL STATEMENTS EAST WEST BANCORP, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS ($ in thousands, except shares) (Unaudited) September 30, 2025 December 31, 2024 ASSETS Cash and due from banks $ 676,547 $ 360,734 Interest-bearing cash with banks 4,017,647 4,890,008 Cash and cash equivalents 4,694,194 5,250,742 Interest-bearing deposits with banks 68,200 48,198 Securities purchased under resale agreements (“resale agreements”) 425,000 425,000 Debt securities: Available-for-sale (“AFS”), at fair value (amortized cost of $ 13,189,313 and $ 11,505,775 ) 12,741,152 10,846,811 Held-to-maturity (“HTM”), at amortized cost (fair value of $ 2,467,362 and $ 2,387,754 ) 2,880,682 2,917,413 Loans held-for-sale 19,596 — Loans held-for-investment (net of allowance for loan and lease losses (“ALLL”) of $ 790,520 and $ 702,052 ) 54,976,252 53,024,585 Affordable housing partnership, tax credit and Community Reinvestment Act (“CRA”) investments, net 982,247 926,640 Premises and equipment (net of accumulated depreciation of $ 172,491 and $ 166,154 ) 78,615 82,233 Operating lease right-of-use assets 77,855 81,967 Goodwill 465,697 465,697 Other assets 2,260,041 1,907,189 TOTAL $ 79,669,531 $ 75,976,475 LIABILITIES Deposits: Noninterest-bearing $ 16,141,954 $ 15,450,428 Interest-bearing 50,445,602 47,724,595 Total deposits 66,587,556 63,175,023 Short-term borrowings 9,851 — Federal Home Loan Bank (“FHLB”) advances 3,000,000 3,500,000 Securities sold under repurchase agreements (“repurchase agreements”) 53,489 — Long-term debt and finance lease liabilities 35,707 35,974 Operating lease liabilities 83,998 89,263 Accrued expenses and other liabilities 1,316,130 1,453,161 Total liabilities 71,086,731 68,253,421 COMMITMENTS AND CONTINGENCIES (Note 10) STOCKHOLDERS’ EQUITY Common stock, $ 0.001 par value, 200,000,000 shares authorized; 170,463,795 and 169,925,379 shares issued 170 170 Additional paid-in capital 2,096,227 2,030,712 Retained earnings 8,028,882 7,311,542 Treasury stock, at cost 32,895,735 and 31,488,080 shares ( 1,166,922 ) ( 1,034,110 ) Accumulated other comprehensive loss (“AOCI”), net of tax ( 375,557 ) ( 585,260 ) Total stockholders’ equity 8,582,800 7,723,054 TOTAL $ 79,669,531 $ 75,976,475 See accompanying Notes to Consolidated Financial Statements. 4 EAST WEST BANCORP, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENT OF INCOME ($ and shares in thousands, except per share data) (Unaudited) Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024 INTEREST AND DIVIDEND INCOME Loans receivable, including fees $ 919,518 $ 887,353 $ 2,625,625 $ 2,622,183 Debt securities 158,562 123,983 460,134 311,107 Resale agreements 1,616 1,663 4,850 9,663 Restricted equity securities 2,866 2,840 8,682 7,129 Interest-bearing cash and deposits with banks 47,170 60,060 121,242 183,848 Total interest and dividend income 1,129,732 1,075,899 3,220,533 3,133,930 INTEREST EXPENSE Deposits 414,637 454,071 1,207,206 1,291,752 Federal funds purchased and other short-term borrowings 3 16 10 42,154 FHLB advances 36,740 48,261 114,919 104,840 Repurchase agreements 148 49 1,577 142 Long-term debt and finance lease liabilities 674 780 2,016 3,952 Total interest expense 452,202 503,177 1,325,728 1,442,840 Net interest income before provision for credit losses 677,530 572,722 1,894,805 1,691,090 Provision for credit losses 36,000 42,000 130,000 104,000 Net interest income after provision for credit losses 641,530 530,722 1,764,805 1,587,090 NONINTEREST INCOME Commercial and consumer deposit-related fees 28,409 26,815 82,349 77,412 Lending and loan servicing fees 27,605 26,453 79,421 73,718 Foreign exchange income 14,491 13,569 44,043 37,962 Wealth management fees 14,562 10,683 38,966 28,798 Customer derivative income (loss), net of mark-to-market adjustments 6,124 ( 706 ) 12,394 8,808 Net gains on AFS debt securities 57 145 934 1,979 Other investment income 705 2,800 3,645 6,201 Other income 8,564 4,636 17,045 12,175 Total noninterest income 100,517 84,395 278,797 247,053 NONINTEREST EXPENSE Compensation and employee benefits 175,585 135,464 466,861 410,864 Occupancy and equipment expense 16,970 17,001 48,948 48,016 Deposit account expense 8,851 12,229 27,241 36,467 Computer and software related expenses 12,949 11,436 39,709 34,172 Deposit insurance premiums and regulatory assessments 8,644 9,178 28,162 39,535 Other operating expense 38,231 34,892 116,499 104,193 Amortization of tax credit and CRA investments 15,693 5,600 57,671 34,859 Total noninterest expense 276,923 225,800 785,091 708,106 INCOME BEFORE INCOME TAXES 465,124 389,317 1,258,511 1,126,037 Income tax expense 96,730 90,151 289,594 253,566 NET INCOME $ 368,394 $ 299,166 $ 968,917 $ 872,471 EARNINGS PER SHARE (“EPS”) BASIC $ 2.68 $ 2.16 $ 7.03 $ 6.28 DILUTED $ 2.65 $ 2.14 $ 6.97 $ 6.23 WEIGHTED-AVERAGE NUMBER OF SHARES OUTSTANDING BASIC 137,676 138,606 137,897 138,997 DILUTED 138,942 139,648 139,090 139,939 See accompanying Notes to Consolidated Financial Statements. 5 EAST WEST BANCORP, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME ($ in thousands) (Unaudited) Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024 Net income $ 368,394 $ 299,166 $ 968,917 $ 872,471 Other comprehensive income, net of tax: Net changes in unrealized gains on AFS debt securities 78,845 132,028 150,518 137,227 Amortization of unrealized losses on debt securities transferred from AFS to HTM 4,102 2,765 8,015 8,161 Net changes in unrealized gains on cash flow hedges 1,802 83,202 51,211 36,519 Foreign currency translation adjustments 2,074 ( 1,126 ) ( 41 ) 1,385 Other comprehensive income 86,823 216,869 209,703 183,292 COMPREHENSIVE INCOME $ 455,217 $ 516,035 $ 1,178,620 $ 1,055,763 See accompanying Notes to Consolidated Financial Statements. 6 EAST WEST BANCORP, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY ($ in thousands, except shares and per share data) (Unaudited) Common Stock and Additional Paid-in Capital Retained Earnings Treasury Stock AOCI, Net of Tax Total Stockholders’ Equity Shares Amount BALANCE, JULY 1, 2024 138,604,437 $ 2,007,558 $ 6,873,653 $ ( 1,011,924 ) $ ( 654,173 ) $ 7,215,114 Net income — — 299,166 — — 299,166 Other comprehensive income — — — — 216,869 216,869 Issuance of common stock pursuant to various stock compensation plans and agreements 5,948 10,717 — — — 10,717 Repurchase of common stock pursuant to various stock compensation plans and agreements ( 1,132 ) — — ( 95 ) — ( 95 ) Cash dividends on common stock ($ 0.55 per share) — — ( 77,232 ) — — ( 77,232 ) BALANCE, SEPTEMBER 30, 2024 138,609,253 $ 2,018,275 $ 7,095,587 $ ( 1,012,019 ) $ ( 437,304 ) $ 7,664,539 BALANCE, JULY 1, 2025 137,816,091 $ 2,060,285 $ 7,744,221 $ ( 1,140,359 ) $ ( 462,380 ) $ 8,201,767 Net income — — 368,394 — — 368,394 Other comprehensive income — — — — 86,823 86,823 Issuance of common stock pursuant to various stock compensation plans and agreements 18,337 36,112 — — — 36,112 Repurchase of common stock pursuant to various stock compensation plans and agreements ( 8,608 ) — — ( 896 ) — ( 896 ) Repurchase of common stock pursuant to the stock repurchase program ( 257,760 ) — — ( 25,667 ) — ( 25,667 ) Cash dividends on common stock ($ 0.60 per share) — — ( 83,733 ) — — ( 83,733 ) BALANCE, SEPTEMBER 30, 2025 137,568,060 $ 2,096,397 $ 8,028,882 $ ( 1,166,922 ) $ ( 375,557 ) $ 8,582,800 Common Stock and Additional Paid-in Capital Retained Earnings Treasury Stock AOCI, Net of Tax Total Stockholders’ Equity Shares Amount BALANCE, JANUARY 1, 2024 140,027,367 $ 1,980,987 $ 6,465,230 $ ( 874,787 ) $ ( 620,596 ) $ 6,950,834 Cumulative-effect of change in accounting principle (1) — — ( 9,482 ) — — ( 9,482 ) Net income — — 872,471 — — 872,471 Other comprehensive income — — — — 183,292 183,292 Issuance of common stock pursuant to various stock compensation plans and agreements 516,125 37,288 — — — 37,288 Repurchase of common stock pursuant to various stock compensation plans and agreements ( 191,743 ) — — ( 14,011 ) — ( 14,011 ) Repurchase of common stock pursuant to the stock repurchase program ( 1,742,496 ) — — ( 123,221 ) ( 123,221 ) Cash dividends on common stock ($ 1.65 per share) — — ( 232,632 ) — — ( 232,632 ) BALANCE, SEPTEMBER 30, 2024 138,609,253 $ 2,018,275 $ 7,095,587 $ ( 1,012,019 ) $ ( 437,304 ) $ 7,664,539 BALANCE, JANUARY 1, 2025 138,437,299 $ 2,030,882 $ 7,311,542 $ ( 1,034,110 ) $ ( 585,260 ) $ 7,723,054 Net income — — 968,917 — — 968,917 Other comprehensive income — — — — 209,703 209,703 Issuance of common stock pursuant to various stock compensation plans and agreements 538,416 65,515 — — — 65,515 Repurchase of common stock pursuant to various stock compensation plans and agreements ( 205,559 ) — — ( 18,933 ) — ( 18,933 ) Repurchase of common stock pursuant to the stock repurchase program ( 1,202,096 ) — — ( 113,879 ) — ( 113,879 ) Cash dividends on common stock ($ 1.80 per share) — — ( 251,577 ) — — ( 251,577 ) BALANCE, SEPTEMBER 30, 2025 137,568,060 $ 2,096,397 $ 8,028,882 $ ( 1,166,922 ) $ ( 375,557 ) $ 8,582,800 (1) Represents the impact of the adoption of ASU 2023-02 , Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method on January 1, 2024. See accompanying Notes to Consolidated Financial Statements. 7 EAST WEST BANCORP, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENT OF CASH FLOWS ($ in thousands) (Unaudited) Nine Months Ended September 30, 2025 2024 CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 968,917 $ 872,471 Adjustments to reconcile net income to net cash provided by operating activities: Provision for credit losses 130,000 104,000 Depreciation, amortization and accretion, net 158,939 150,468 Stock compensation costs 62,592 34,371 Deferred income tax benefit ( 26,147 ) ( 12,780 ) Net gains on AFS debt securities ( 934 ) ( 1,979 ) Net loss on other real estate owned (“OREO”) write-downs and sales 4,426 2,250 Loans held-for-sale: Originations and purchases ( 3,269 ) ( 2,491 ) Proceeds from sales and paydowns/payoffs of loans originally classified as held-for-sale 3,266 2,629 Net change in accrued interest receivable and other assets ( 331,075 ) 58,797 Net change in accrued expenses and other liabilities ( 173,587 ) ( 295,554 ) Other operating activities, net ( 4,836 ) ( 648 ) Total adjustments ( 180,625 ) 39,063 Net cash provided by operating activities 788,292 911,534 CASH FLOWS FROM INVESTING ACTIVITIES Net increase in: Affordable housing partnership, tax credit and CRA investments ( 265,527 ) ( 224,828 ) Interest-bearing deposits with banks ( 19,476 ) ( 105,275 ) AFS debt securities: Proceeds from sales 606,685 1,361,386 Proceeds from repayments, maturities and redemptions 2,566,741 1,073,539 Purchases ( 4,877,885 ) ( 6,158,520 ) Loans held-for-investment: Proceeds from sales of loans originally classified as held-for-investment 251,012 702,564 Purchases ( 709,194 ) ( 741,188 ) Other changes in loans held-for-investment, net ( 1,575,591 ) ( 1,038,818 ) Proceeds from sales of OREO 30,939 24,550 Proceeds from paydowns and maturities of resale agreements — 360,000 Proceeds from repayments, maturities and redemptions of HTM debt securities 48,409 39,401 Redemption (purchases) of FHLB stock, net 13,888 ( 84,050 ) Other investing activities, net 8,567 11,687 Net cash used in investing activities ( 3,921,432 ) ( 4,779,552 ) See accompanying Notes to Consolidated Financial Statements. 8 EAST WEST BANCORP, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENT OF CASH FLOWS ($ in thousands) (Unaudited) (Continued) Nine Months Ended September 30, 2025 2024 CASH FLOWS FROM FINANCING ACTIVITIES Net change in deposits 3,412,410 5,591,371 Net change in short-term borrowings 9,847 ( 4,500,000 ) FHLB advances: Proceeds 2,500,000 4,000,000 Repayments ( 3,000,000 ) ( 500,000 ) Net change in repurchase agreements 53,489 — Repayment of lease liabilities and junior subordinated debt ( 627 ) ( 117,226 ) Common stock: Proceeds from issuance pursuant to various stock compensation plans and agreements 1,721 1,580 Stock tendered for payment of withholding taxes ( 18,974 ) ( 14,011 ) Repurchase of common stock pursuant to the stock repurchase program ( 114,548 ) ( 123,221 ) Cash dividends paid ( 251,439 ) ( 232,132 ) Net cash provided by financing activities 2,591,879 4,106,361 Effect of exchange rate changes on cash and cash equivalents ( 15,287 ) 6,746 NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS ( 556,548 ) 245,089 CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 5,250,742 4,614,984 CASH AND CASH EQUIVALENTS, END OF PERIOD $ 4,694,194 $ 4,860,073 SUPPLEMENTAL CASH FLOW INFORMATION: Cash paid during the period for: Interest $ 1,330,970 $ 1,584,127 Income taxes, net $ 263,995 $ 241,491 Noncash investing and financing activities: Loans transferred from held-for-investment to held-for-sale $ 270,451 $ 646,797 Loans transferred to OREO $ 25,506 $ 67,379 See accompanying Notes to Consolidated Financial Statements. 9 EAST WEST BANCORP, INC. AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Note 1 — Basis of Presentation, Current Accounting Developments and Summary of Significant Accounting Policies Update East West Bancorp, Inc. (referred to herein on an unconsolidated basis as “East West” and on a consolidated basis as the “Company,” “we,” “our” or “EWBC”) is a registered bank holding company that offers a full range of banking services to individuals and businesses through its subsidiary bank, East West Bank and its subsidiaries (“East West Bank” or the “Bank”). The unaudited interim Consolidated Financial Statements in this Quarterly Report on Form 10-Q (this “Form 10-Q”) include the accounts of East West, East West Bank and East West’s subsidiaries. All i ntercompany balances and transactions have been eliminated in consolidation. As of September 30, 2025, East West has one wholly-owned subsidiary that is a statutory business trust (the “Trust”). In accordance with the guidance in Financial Accounting Standards Board Accounting Standards Codification (“ASC”) Topic 810, Consolidation , the Trust has not been consolidated by the Company. The unaudited interim Consolidated Financial Statements are presented in accordance with United States (“U.S.”) Generally Accepted Accounting Principles (“GAAP”), applicable guidelines prescribed by regulatory authorities and general practices in the banking industry. While the unaudited interim Consolidated Financial Statements reflect all adjustments that, in the opinion of management, are necessary for fair presentation, they primarily serve to update the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, filed with the U.S. SEC on February 28, 2025 (the “Company’s 2024 Form 10-K”), and may not include all the information and notes necessary to constitute a complete set of financial statements. Accordingly, they should be read in conjunction with the audited Consolidated Financial Statements and notes thereto included in the Company’s 2024 Form 10-K. The preparation of the Consolidated Financial Statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the Consolidated Financial Statements, income and expenses during the reporting periods, and the related disclosures. Although our estimates consider current conditions and how we expect them to change in the future, it is reasonably possible that actual results could be materially different from those estimates. Hence, the current period’s results of operations are not necessarily indicative of results that may be expected for any future interim period or for the year as a whole. Certain items on the Consolidated Financial Statements and notes for the prior periods have been reclassified to conform to the current presentation. Events subsequent to the Consolidated Balance Sheet date have been evaluated through the date the Consolidated Financial Statements are issued for inclusion in the accompanying Consolidated Financial Statements. New Accounting Pronouncements Adopted The following standards were adopted on January 1, 2025, but they did not have a material impact on the Company’s Consolidated Financial Statements: • Accounting Standards Update (“ASU”) 2023-05, Business Combinations — Joint Venture Formations (Subtopic 805-60): Recognition and Initial Measurement • ASU 2024-02 , Codification Improvements — Amendments to Remove References to the Concepts Statements 10 Significant Accounting Policies Update Stock-Based Compensation — The Company recognizes compensation expense related to stock awards over the requisite service period, generally based on the instruments’ grant-date fair value, reduced by expected forfeitures. Effective third quarter 2025, compensation cost related to awards granted to employees who meet certain age plus years-of-service requirements (“retirement-eligible employees”) is accrued over the service period required to earn the award prior to the grant date, in accordance with ASC 718-10-55-108. This change in the timing of recognition for awards that were granted to or are expected to be granted to retirement-eligible employees resulted in $ 27 million of additional compensation expense during the three months ended September 30, 2025. For more information on the Company’s accounting policies related to stock-based compensation, see Note 1 — Summary of Significant Accounting Policies — Significant Accounting Policies — Stock-Based Compensation to the Consolidated Financial Statements of the Company’s 2024 Form 10-K. Note 2 — Fair Value Measurement and Fair Value of Financial Instruments Under applicable accounting standards, the Company measures a portion of its assets and liabilities at fair value. These assets and liabilities are predominantly recorded at fair value on a recurring basis. At times, certain assets and liabilities are measured at fair value on a nonrecurring basis; that is, they are subject to fair value adjustments only as required through the application of an accounting method such as lower of cost or fair value or write-down of individual assets. The Company categorizes its assets and liabilities into three levels based on the established fair value hierarchy and conducts a review of fair value hierarchy classifications on a quarterly basis. For more information regarding the fair value hierarchy and how the Company measures fair value, see Note 1 — Summary of Significant Accounting Policies — Significant Accounting Policies — Fair Value to the Consolidated Financial Statements in the Company’s 2024 Form 10-K. Assets and Liabilities Measured at Fair Value on a Recurring Basis The following section describes the valuation methodologies used by the Company to measure financial assets and liabilities on a recurring basis, as well as the general classification of these instruments within the fair value hierarchy. Available-for-Sale Debt Securities — The fair value of AFS debt securities is generally determined by independent external pricing service providers who have experience in valuing these securities or by taking the average quoted market prices obtained from independent external brokers. The valuations provided by the third-party pricing service providers are based on observable market inputs, which include benchmark yields, reported trades, issuer spreads, benchmark securities, bids, offers, prepayment expectations and reference data obtained from market research publications. Inputs used by the third-party pricing service providers in valuing collateralized mortgage obligations and other securitization structures also include newly issued data, monthly payment information, whole loan collateral performance, tranche evaluation and “To Be Announced” prices. In valuing securities issued by state and political subdivisions, inputs used by third-party pricing service providers also include material event notices. The valuations provided by the brokers incorporate information from their trading desks, research and other market data. On a monthly basis, the Company validates the valuations provided by third-party pricing service providers to ensure that the fair value determination is consistent with the applicable accounting guidance and that the financial instruments are properly classified in the fair value hierarchy. To perform this validation, the Company evaluates the fair values of securities by comparing the fair values provided by the third-party pricing service providers to prices from other available independent sources for the same securities. When significant variances in prices are identified, the Company further compares the inputs used by different sources to ascertain the reliability of these sources. On a quarterly basis, the Company reviews the valuation inputs and methodology furnished by third-party pricing service providers for each security category. On an annual basis, the Company assesses the reasonableness of broker pricing by reviewing the related pricing methodologies. This review includes corroborating pricing with market data, performing pricing input reviews under current market-related conditions, and investigating security pricing by instrument as needed. 11