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Wilshire Bancorp Reports Net Income of $14.7 Million or $0.19 per Share for Second Quarter 2014

LOS ANGELES, July 21, 2014 (GLOBE NEWSWIRE) -- Wilshire Bancorp, Inc. (Nasdaq:WIBC) (the "Company"), the holding company for Wilshire Bank (the "Bank"), today reported net income available to common shareholders of $14.7 million, or $0.19 per diluted common share, for the quarter ended June 30, 2014. This compares to net income available to common shareholders of $11.5 million, or $0.16 per diluted common share, for the same period of the prior year, and net income available to common shareholders of $13.1 million, or $0.17 per diluted common share, for the first quarter of 2014.

Jae Whan (J.W.) Yoo, President and CEO of Wilshire Bancorp, said, "We are pleased with our performance in the second quarter, which resulted in a strong level of returns, with our return on average assets totaling 1.62% and our return on average equity totaling 12.77%. With the integration of the BankAsiana and Saehan Bancorp acquisitions complete, we have been able to devote more resources and shift our focus to business development with our larger banking team. As a result, we generated $282 million in loan production in the second quarter, which is a record level for the Company and 45% higher than our loan production in the same period last year. We also continue to see very positive trends in deposit gathering, with solid growth in total deposits and steady improvement in our deposit mix. We have built a great deal of momentum since our acquisitions and we expect to see a continuation of our positive trends in the second half of 2014."

Q2 2014 Summary

  • Net income available to common shareholders totaled $14.7 million, or $0.19 per diluted common share, for the second quarter of 2014
  • Total revenue of $46.9 million for the second quarter of 2014, an increase of 38% from the second quarter of 2013
  • Return on average assets of 1.62% and return on average equity of 12.77% for the second quarter of 2014
  • Net interest margin of 4.35% for the second quarter of 2014, an increase from 3.97% for the second quarter of 2013
  • Loans receivable (net of deferred fees and costs) totaled $2.97 billion at June 30, 2014, an increase of 42% from $2.09 billion at June 30, 2013
  • Total deposits were $2.96 billion at June 30, 2014, an increase of 35% from $2.18 billion at June 30, 2013
  • Continued low credit losses and improvement in asset quality resulted in no provision for losses on loans and loan commitments for the second quarter of 2014

STATEMENT OF OPERATIONS

Net Interest Income and Margin

Net interest income before provision for losses on loans and loan commitments totaled $36.1 million for the second quarter of 2014, an increase of 40% from $25.8 million for the second quarter of 2013, and an increase of 3% from $35.2 million for the first quarter of 2014. The increase from the prior quarter is primarily attributable to a higher average loan balance and an increase in loan yields.

Net interest margin was 4.35% for the second quarter of 2014, compared to 4.22% for the first quarter of 2014, and 3.97% for the second quarter of 2013. Excluding the effect of the amortization/accretion of the purchase accounting adjustments for the acquisitions for Saehan Bancorp and BankAsiana, the net interest margin was 4.00% for the second quarter of 2014, compared with 3.85% for the first quarter of 2014. The increase in net interest margin is attributable to an increase in average yield on loans, excluding the effects of purchase accounting adjustments, and a more favorable mix of interest-earning assets.

Loan yields were 5.20% for the second quarter of 2014, compared with 5.15% for the first quarter of 2014, and 4.97% for the second quarter of 2013. Excluding the effect of the accretion of the purchase accounting adjustments for Saehan Bancorp and BankAsiana, loan yields were 4.85% for the second quarter of 2014, compared to 4.77% for the first quarter of 2014.

The total cost of deposits was 0.48% for the second quarter of 2014, compared with 0.51% for both the first quarter of 2014 and the second quarter of 2013.

Non-Interest Income

Total non-interest income was $10.7 million for the second quarter of 2014, compared to $8.3 million for the second quarter of 2013, and $11.0 million for the first quarter of 2014. The decrease from the prior quarter was primarily due to a lower level of income on servicing assets, which was partially offset by a higher net gain on sale of Small Business Administration ("SBA") loans.

The $4.7 million in net gain on sale of loans recognized during the second quarter of 2014 consisted substantially of gains from the sale of SBA loans. Net gain on sale of loans for the first quarter of 2014 was $4.3 million. During the second quarter of 2014, the Company sold $45.3 million in SBA loans, compared with $43.5 million sold during the first quarter of 2014.

Non-Interest Expense

Total non-interest expense was $24.6 million for the second quarter of 2014, compared with $17.1 million for the second quarter of 2013, and $26.3 million for the first quarter of 2014. Excluding merger-related expenses, the increase in non-interest expense from the prior quarter was attributable to an impairment charge to the Company's FDIC indemnification asset, an increase in losses on low income housing tax credit investments, and an increase in OREO provisions. Merger related costs for the second quarter of 2014 totaled $213,000, compared to $3.4 million for the first quarter of 2014.

The Company's loss share agreement with the FDIC relating to covered loans acquired from Mirae Bank expired on June 30, 2014. The remaining FDIC indemnification asset, less reimbursements to be received, was written off as an impairment to the asset. The impairment charge to the Company's FDIC indemnification asset reflects a lower level of losses than expected on covered loans acquired from Mirae Bank.

Total salaries and employee benefits expense was $12.5 million for the second quarter of 2014, compared with $9.5 million for the second quarter of 2013, and $12.7 million for the first quarter of 2014.

Other non-interest expense for the second quarter of 2014 totaled $7.1 million, compared with $4.9 million in the second quarter of 2013, and $6.0 million for the first quarter of 2014. The increase from the prior quarter was primarily attributable to a $490,000 increase in losses on low income housing tax credit investments and a $246,000 increase in provision for OREO.

The Company's operating efficiency ratio was 52.4% for the second quarter of 2014, compared with 50.1% for the second quarter of 2013 and 56.9% for the first quarter of 2014.

BALANCE SHEET

Total gross loans receivable (not including deferred fees and costs) were $2.98 billion at June 30, 2014, compared to $2.88 billion at March 31, 2014. The increase in loans during the second quarter of 2014 was primarily attributable to growth in the commercial real estate and commercial and industrial portfolios.

The following table shows gross loans receivable and gross loans by loan type:

Quarter Ended
(Dollars In Thousands) (Unaudited) June 30, 2014 March 31, 2014 December 31, 2013 September 30, 2013 June 30, 2013
Construction $ 44,598 $ 43,277 $ 40,367 $ 32,119 $ 36,371
Real Estate Secured 2,485,875 2,401,203 2,332,121 1,819,052 1,715,567
Commercial & Industrial 435,693 419,313 437,524 342,057 337,057
Consumer 13,075 16,100 14,694 9,637 11,089
Gross Loans Receivable * 2,979,241 2,879,893 2,824,706 2,202,865 2,100,084
Held-For-Sale Loans 6,207 27,791 47,557 56,065 60,910
Total Gross Loans * $ 2,985,448 $ 2,907,684 $ 2,872,263 $ 2,258,930 $ 2,160,994
* Gross loans receivable and total gross loans are not net of deferred fees and costs as shown in the consolidated balance sheet presentation

The following table presents the June 30, 2014 balance of gross loans by loan type and broken out by legacy Wilshire loans, and loans acquired from former Mirae Bank, BankAsiana, and Saehan Bancorp.

At June 30, 2014
(Dollars In Thousands) (Unaudited) BankAsiana* Saehan Bancorp* Mirae Bank* Legacy Wilshire Total
Construction $ 3,755 $ -- $ -- $ 40,843 $ 44,598
Real Estate Secured 109,780 330,117 57,243 1,988,735 2,485,875
Commercial & Industrial 28,266 27,239 3,174 377,014 435,693
Consumer 3 929 2 12,141 13,075
Gross Loans Receivable 141,804 358,285 60,419 2,418,733 2,979,241
Held-For-Sale Loans 384 -- -- 5,823 6,207
Total Gross Loans $ 142,188 $ 358,285 $ 60,419 $ 2,424,556 $ 2,985,448
* Represents loans balances net of fair value adjustment

The following table shows quarterly loan originations by loan type:

Quarter Ended
(Dollars In Thousands) (Unaudited) June 30, 2014 March 31, 2014 December 31, 2013 September 30, 2013 June 30, 2013
Real Estate Secured $ 170,042 60% $ 96,266 49% $ 132,780 60% $ 145,361 68% $ 93,606 48%
Commercial & Industrial 31,058 11% 36,619 18% 30,541 14% 23,710 11% 40,927 21%
Consumer 1,580 1% 632 0% 546 0% 540 0% 75 0%
SBA 37,004 13% 35,305 18% 44,599 20% 36,001 17% 40,209 21%
Residential Mortgage 42,325 15% 29,063 15% 13,858 6% 8,714 4% 20,022 10%
Total Loan Originations $ 282,009 100% $ 197,885 100% $ 222,324 100% $ 214,326 100% $ 194,839 100%

Originations for the second quarter of 2014 totaled $282.0 million, compared to $197.9 million for the first quarter of 2014, and $194.8 million for the second quarter of 2013. The increase from the previous quarter was primarily due to higher real estate secured and residential mortgage loan production.

Total SBA loans held-for-sale at the end of the second quarter of 2014 were $5.1 million, compared to $26.8 million at the end of the previous quarter. The decision to retain or sell SBA loans is made on a quarter-to-quarter basis, depending on prevailing pricing in the secondary market and the Company's liquidity needs.

Total deposits were $2.96 billion at June 30, 2014, compared with $2.92 billion at March 31, 2014. The increase in total deposits was primarily attributable to growth in non-interest bearing demand deposits, which was partially offset by a decline in money market deposits.

CREDIT QUALITY

The Company experienced a decline across most problem loan categories and a low level of credit losses during the second quarter of 2014. The Company determined that no provision for losses on loans and loan commitments was required for the second quarter of 2014. The allowance for loan losses totaled $52.7 million, or 1.77% of gross loans (excluding loans held-for-sale), at June 30, 2014, compared to $53.5 million, or 1.86% of gross loans (excluding loans held-for-sale), at March 31, 2014. Acquired loans, included in the allowance coverage ratios, were recorded at fair value and the remaining discount on these loans approximated $27.9 million at June 30, 2014. The coverage ratio of the allowance for loan losses to non-performing assets was 107.41% at June 30, 2014, compared with 102.66% at March 31, 2014.

Non-Performing Loans

At June 30, 2014, total non-performing loans were $42.4 million, or 1.42% of total gross loans, compared to $43.1 million, or 1.48% of total gross loans, at March 31, 2014.

The following table shows total non-performing loans by loan type:

NON-PERFORMING LOANS Quarter Ended
(Dollars In Thousands) (Unaudited) Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013
(Net of SBA Guaranty Portions)
Construction $ -- $ -- $ 2,471 $ 2,471 $ 5,467
Real Estate Secured 35,585 35,988 33,569 29,568 20,090
Commercial & Industrial 6,769 7,121 1,196 1,004 1,224
Consumer 4 -- -- -- --
Total Non-Performing Loans $ 42,358 $ 43,109 $ 37,236 $ 33,043 $ 26,781

Net Charge-offs/Recoveries

During the second quarter of 2014, the Company had total gross charge-offs of $1.8 million and recoveries of $1.0 million for net charge-offs of $795,000.

Gross charge-offs and recoveries by loan type are reflected in the tables below:

GROSS LOAN CHARGE-OFFS Quarter Ended
(Dollars In Thousands) (Unaudited) Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013
Real Estate Secured $ 782 $ 672 $ 552 $ 2,438 $ 3,668
Commercial & Industrial 1,021 964 997 764 746
Consumer -- 1 2 -- --
Total Loan Charge-Offs $ 1,803 $ 1,637 $ 1,551 $ 3,202 $ 4,414

LOAN RECOVERIES Quarter Ended
(Dollars In Thousands) (Unaudited) Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013
Real Estate Secured $ 586 $ 1,028 $ 2,038 $ 148 $ 340
Commercial & Industrial 408 510 679 510 433
Consumer 14 -- -- 4 1
Total Loan Recoveries $ 1,008 $ 1,538 $ 2,717 $ 662 $ 774

Other measures of credit quality are shown in the following tables:

DELINQUENT LOANS -- By Days Past Due Quarter Ended
(Dollars In Thousands) (Unaudited) Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013
(Net of SBA Guaranty Portions)
30 - 59 Days Past Due $ 4,556 $ 5,756 $ 2,846 $ 2,336 $ 4,993
60 - 89 Days Past Due 2,992 1,526 2,527 2,827 3,637
90 Days, and still accruing -- -- 167 -- 126
Total Delinquent Loans $ 7,548 $ 7,282 $ 5,540 $ 5,163 $ 8,756

TROUBLED DEBT RESTRUCTURED LOANS Quarter Ended
(Dollars In Thousands) (Unaudited) Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013
(Net of SBA Guaranty Portions)
Real Estate Secured $ 33,349 $ 34,565 $ 30,008 $ 23,133 $ 23,671
Commercial & Industrial 5,542 5,563 6,212 6,339 6,730
Total TDR Loans $ 38,891 $ 40,128 $ 36,220 $ 29,472 $ 30,401

LOAN CLASSIFICATIONS Quarter Ended
(Dollars In Thousands) (Unaudited) Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013
(Net of SBA Guaranty Portions)
Special Mention $ 88,382 $ 101,627 $ 100,798 $ 43,519 $ 49,571
Substandard 110,462 127,996 149,479 127,855 138,319
Doubtful 18,040 19,931 8,015 7,174 6,722
Total Criticized and Classified Loans $ 216,884 $ 249,554 $ 258,292 $ 178,548 $ 194,612
Classified Loans $ 128,502 $ 147,927 $ 157,494 $ 135,029 $ 145,041

CAPITAL RATIOS

All of the Company's capital ratios remain in excess of "well capitalized" regulatory requirements as shown in the following table:

(Dollars In Thousands, Except Per Share Info)

June 30, 2014
Well Capitalized
Regulatory
Requirements
Total Excess Above
Well Capitalized
Requirements
Tier 1 Leverage Capital Ratio 12.89% 5.00% $ 279,225
Tier 1 Risk-Based Capital Ratio 15.05% 6.00% $ 274,263
Total Risk-Based Capital Ratio 16.31% 10.00% $ 191,121
Tangible Common Equity To Tangible Assets * 10.88% N/A N/A
Tangible Common Equity Per Common Share * $ 5.02 N/A N/A

* "Tangible Common Equity" and "Tangible Assets" are Non-GAAP measures of financial performance. Please refer to the "Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures" table at the end of this press release for a reconciliation of Tangible Common Equity to Shareholders' Equity and Tangible Assets to Total Assets.

CONFERENCE CALL

Management will host its quarterly conference call on July 22, 2014, at 11:00 a.m. PT (2:00 p.m. ET). Investment professionals are invited to participate in the call by dialing 877-415-3185 (domestic) or 857-244-7328 (international) and providing passcode number 69604633.

ABOUT WILSHIRE BANCORP

Headquartered in Los Angeles, Wilshire Bancorp is the parent company of Wilshire Bank, which operates 35branch offices in California, Texas, New Jersey and New York, and 7 loan production offices in Dallas, TX, Atlanta, GA, Aurora, CO, Annandale, VA, Palisades Park, NJ, Newark, CA, and New York, NY, and is an SBA preferred lender nationwide. Wilshire Bank is a community bank with a focus on commercial real estate lending and general commercial banking, with its primary market encompassing the multi-ethnic populations of the Los Angeles Metropolitan area. For more information, please go to www.wilshirebank.com.

FORWARD-LOOKING STATEMENTS

Statements concerning future performance, events, or any other guidance on future periods constitute forward-looking statements that are subject to a number of risks and uncertainties that might cause actual results to differ materially from stated expectations. Undue reliance should not be placed on forward-looking statements, as they are subject to risks and uncertainties, including but not limited to the risk factors set forth in our most recent Annual Report on Form 10-K and our other filings made from time to time with the Securities and Exchange Commission. Specific factors that could cause future results to differ materially from historical performance and these forward-looking statements include, but are not limited to: (1) loan production and sales, (2) credit quality, (3) the ability to expand net interest margin, (4) the ability to continue to attract low-cost deposits, (5) success of expansion efforts, (6) competition in the marketplace, (7) political developments, war or other hostilities, (8) changes in the interest rate environment, (9) the ability of our borrowers to repay their loans, (10) the ability to maintain capital requirements and adequate sources of liquidity, (11) effects of or changes in accounting policies, (12) legislative or regulatory changes or actions, (13) the ability to attract and retain key personnel, (14) the ability to receive dividends from our subsidiaries, (15) the ability to secure confidential information through the use of computer systems and telecommunications networks, (16) weakening in the economy, specifically the real estate market, either nationally or in the states in which we do business, (17) the integration of our acquired businesses, and (18) general economic conditions. The information in this press release speaks only as of the date of this release and Wilshire Bancorp specifically disclaims any duty to update the information in this press release. Additional information on these and other factors that could affect financial results are included in filings by Wilshire Bancorp with the Securities and Exchange Commission.

CONSOLIDATED BALANCE SHEET
(Dollars In Thousands) (Unaudited) June 30, March 31, Three Months June 30, Twelve Months
2014 2014 % Change 2013 % Change
ASSETS:
Cash and due from banks $ 155,799 $ 160,999 -3% $ 162,553 -4%
Federal funds sold and other cash equivalents 927 7,301 -87% 55,005 -98%
Total Cash and Cash Equivalents 156,726 168,300 -7% 217,558 -28%
Deposits held in other financial institutions 20,509 21,006 -2% -- 0%
Investment securities available for sale 327,239 342,438 -4% 303,836 8%
Investment securities held to maturity 30 32 -6% 42 -29%
Total Investment Securities 327,269 342,470 -4% 303,878 8%
Total Loans Held-For-Sale 6,207 27,791 -78% 60,910 -90%
Real estate construction 43,292 42,124 3% 35,513 22%
Residential real estate 167,055 169,810 -2% 153,393 9%
Commercial real estate 2,314,746 2,225,677 4% 1,557,922 49%
Commercial and industrial 431,758 417,956 3% 336,048 28%
Consumer 13,044 16,072 -19% 11,068 18%
Total loans receivable, net of deferred fees and costs 2,969,895 2,871,639 3% 2,093,944 42%
Allowance for loan losses (52,669) (53,464) -1% (54,937) -4%
Loans Receivable, Net of Allowance for Loan Losses 2,917,226 2,818,175 4% 2,039,007 43%
Accrued interest receivable 8,032 8,293 -3% 7,135 13%
Due from customers on acceptances 3,090 889 248% 293 955%
Other real estate owned 6,676 8,969 -26% 982 580%
Premises and equipment 12,925 13,313 -3% 11,699 10%
Federal home loan bank (FHLB) stock, at cost 16,989 15,983 6% 13,280 28%
Cash surrender value of life insurance 22,803 22,661 1% 22,225 3%
Investment in affordable housing partnerships 41,112 42,459 -3% 45,511 -10%
Deferred income taxes 32,459 34,391 -6% 17,734 83%
Servicing assets 18,168 17,536 4% 11,040 65%
Goodwill 67,528 67,528 0% 6,675 912%
FDIC indemnification asset 267 2,169 -88% 5,311 -95%
Other assets 23,275 22,533 3% 24,163 -4%
TOTAL ASSETS $ 3,681,261 $ 3,634,466 1% $ 2,787,401 32%
LIABILITIES AND SHAREHOLDERS' EQUITY:
LIABILITIES:
Non-interest bearing demand deposits $ 945,010 $ 869,598 9% $ 624,770 51%
Savings and interest checking 160,155 156,587 2% 130,352 23%
Money market deposits 758,833 799,299 -5% 625,204 21%
Time deposits in denomination of $100,000 or more 856,681 860,697 0% 584,140 47%
Other time deposits 235,335 237,028 -1% 217,832 8%
Total Deposits 2,956,014 2,923,209 1% 2,182,298 35%
FHLB borrowings 150,260 150,292 0% 150,000 0%
Acceptance outstanding 3,090 889 248% 293 955%
Junior subordinated debentures 71,665 71,610 0% 61,857 16%
Accrued interest payable 2,349 2,462 -5% 2,072 13%
Other liabilities 33,114 34,429 -4% 35,547 -7%
Total Liabilities 3,216,492 3,182,891 1% 2,432,067 32%
SHAREHOLDERS' EQUITY:
Common stock 231,368 230,979 0% 160,932 44%
Retained earnings 229,556 218,806 5% 191,823 20%
Accumulated other comprehensive income 3,845 1,790 115% 2,579 49%
Total Shareholders' Equity 464,769 451,575 3% 355,334 31%
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 3,681,261 $ 3,634,466 1% $ 2,787,401 32%

CONSOLIDATED STATEMENT OF OPERATIONS
(Dollars In Thousands, Except Per Share Data) (Unaudited)
Quarter Ended Three Mths Quarter Ended Twelve Mths
June 30, 2014 March 31, 2014 % Change June 30, 2013 % Change
INTEREST INCOME
Interest and fees on loans $ 37,993 $ 37,101 2% $ 26,970 41%
Interest on investment securities 2,023 2,101 -4% 1,743 16%
Interest on federal funds sold and others 92 151 -39% 136 -32%
Total Interest Income 40,108 39,353 2% 28,849 39%
INTEREST EXPENSE
Deposits 3,486 3,676 -5% 2,750 27%
FHLB advances and other borrowings 493 504 -2% 345 43%
Total Interest Expense 3,979 4,180 -5% 3,095 29%
Net interest income before provision for losses on loans and loan commitments 36,129 35,173 3% 25,754 40%
Provision for losses on loans and loan commitments -- -- 0% -- 0%
Net interest income after provision for losses on loans and loan commitments 36,129 35,173 3% 25,754 40%
NONINTEREST INCOME
Service charges on deposits 3,174 3,146 1% 2,811 13%
Gain on sales of loans, net 4,687 4,329 8% 3,135 50%
Gain on sale/call of investment securities -- -- 0% 15 -100%
Other 2,883 3,511 -18% 2,371 22%
Total Noninterest Income 10,744 10,986 -2% 8,332 29%
NONINTEREST EXPENSES
Salaries and employee benefits 12,449 12,655 -2% 9,548 30%
FDIC indemnification impairment 597 -- 0% -- 0%
Occupancy and equipment 3,444 3,309 4% 2,038 69%
Data processing 795 963 -17% 583 36%
Merger related costs 213 3,364 -94% -- 0%
Other 7,052 5,966 18% 4,913 44%
Total Noninterest Expenses 24,550 26,257 -7% 17,082 44%
Income before income taxes 22,323 19,902 12% 17,004 31%
Income taxes provision 7,659 6,789 13% 5,465 40%
NET INCOME $ 14,664 $ 13,113 12% $ 11,539 27%
PER COMMON SHARE INFORMATION:
Basic income per common share $ 0.19 $ 0.17 12% $ 0.16 15%
Diluted income per common share $ 0.19 $ 0.17 12% $ 0.16 15%
WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING:
Basic 78,267,128 78,115,779 70,944,626
Diluted 78,613,468 78,496,106 71,101,787

CONSOLIDATED STATEMENT OF OPERATIONS
(Dollars In Thousands, Except Per Share Data) (Unaudited)
Six Months Ended Twelve Months
June 30, 2014 June 30, 2013 % Change
INTEREST INCOME
Interest and fees on loans $ 75,094 $ 53,855 39%
Interest on investment securities 4,124 3,468 19%
Interest on federal funds sold 243 289 -16%
Total Interest Income 79,461 57,612 38%
INTEREST EXPENSE
Deposits 7,162 5,599 28%
FHLB advances and other borrowings 997 707 41%
Total Interest Expense 8,159 6,306 29%
Net interest income before provision for losses on loans and loan commitments 71,302 51,306 39%
Provision for losses on loans and loan commitments -- -- 0%
Net interest income after provision for losses on loans and loan commitments 71,302 51,306 39%
NONINTEREST INCOME
Service charges on deposits 6,320 5,619 12%
Gain on sales of loans, net 9,016 6,621 36%
Gain on sale/call of investment securities -- 15 -100%
Other 6,394 4,782 34%
Total Noninterest Income 21,730 17,037 28%
NONINTEREST EXPENSES
Salaries and employee benefits 25,104 18,353 37%
FDIC indemnification impairment 597 -- 0%
Occupancy and equipment 6,753 4,078 66%
Data processing 1,758 1,258 40%
Merger related costs 3,577 -- 0%
Other 13,018 10,677 22%
Total Noninterest Expenses 50,807 34,366 48%
Income before income taxes 42,225 33,977 24%
Income taxes provision 14,448 10,849 33%
NET INCOME $ 27,777 $ 23,128 20%
PER COMMON SHARE INFORMATION:
Basic income per common share $ 0.36 $ 0.33 9%
Diluted income per common share $ 0.35 $ 0.32 9%
WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING:
Basic 78,191,872 71,119,180
Diluted 78,554,947 71,262,224
SUMMARY OF FINANCIAL DATA
(Dollars In Thousands, Except Per Share Data) (Unaudited)
Quarter Ended
AVERAGE BALANCES June 30, 2014 March 31, 2014 June 30, 2013
Average Assets $ 3,614,014 $ 3,631,268 $ 2,770,996
Average Equity 459,423 447,188 356,287
Average Net Loans 2,923,225 2,881,650 2,172,473
Average Deposits 2,896,815 2,878,950 2,170,628
Average Time Deposits of $100,000 or more 865,110 874,039 586,136
Average FHLB & Other Borrowings 150,280 193,413 150,000
Average Interest Earning Assets 3,337,010 3,346,954 2,613,813
Six Months Ended
AVERAGE BALANCES June 30, 2014 June 30, 2013
Average Assets $ 3,619,793 $ 2,747,399
Average Equity 453,495 352,202
Average Net Loans 2,901,713 2,149,832
Average Deposits 2,885,642 2,153,134
Average Time Deposits of $100,000 or more 868,318 583,688
Average FHLB & Other Borrowings 171,727 150,022
Average Interest Earning Assets 3,341,003 2,597,226
Quarter Ended
PROFITABILITY June 30, 2014 March 31, 2014 June 30, 2013
Annualized Return on Average Assets 1.62% 1.44% 1.67%
Annualized Return on Average Equity 12.77% 11.73% 12.95%
Efficiency Ratio 52.38% 56.88% 50.11%
Annualized Operating Expense/Average Assets 2.72% 2.89% 2.47%
Annualized Net Interest Margin 4.35% 4.22% 3.97%
Six Months Ended
PROFITABILITY June 30, 2014 June 30, 2013
Annualized Return on Average Assets 1.53% 1.68%
Annualized Return on Average Equity 12.25% 13.13%
Efficiency Ratio 54.61% 50.28%
Annualized Operating Expense/Average Assets 2.81% 2.50%
Annualized Net Interest Margin 4.29% 3.98%
DEPOSIT COMPOSITION
June 30, 2014
Cost of
Funds

March 31, 2014
Cost of
Funds

June 30, 2013
Cost of
Funds
Noninterest Bearing Demand Deposits 32.00% 0.00% 29.70% 0.00% 28.60% 0.00%
Savings & Interest Checking 5.40% 1.19% 5.40% 1.28% 6.00% 1.43%
Money Market Deposits 25.70% 0.66% 27.30% 0.66% 28.60% 0.63%
Time Deposits of $100,000 or More 29.00% 0.60% 29.40% 0.68% 26.80% 0.60%
Other Time Deposits 8.00% 0.77% 8.10% 0.67% 10.00% 0.78%
Total Deposits 100.00% 0.48% 100.00% 0.51% 100.00% 0.51%
CAPITAL RATIOS June 30, 2014 March 31, 2014 June 30, 2013
Tier 1 Leverage Ratio 12.89% 12.50% 14.67%
Tier 1 Risk-Based Capital Ratio 15.05% 14.92% 18.73%
Total Risk-Based Capital Ratio 16.31% 16.17% 20.00%
Total Shareholders' Equity $ 464,769 $ 451,575 $ 355,334
Book Value Per Common Share $5.94 $5.77 $5.03
Tangible Common Equity Per Common Share * $5.02 $4.84 $4.92
Tangible Common Equity to Tangible Assets ** 10.88% 10.64% 12.51%
* Tangible common equity excludes goodwill, other intangible assets
** Tangible assets excludes goodwill and intangible assets

ALLOWANCE FOR LOAN LOSSES
(Dollars In Thousands) (Unaudited)
Quarter Ended
June 30, 2014 March 31, 2014 December 31, 2013 September 30, 2013 June 30, 2013
Balance at Beginning of Period $ 53,464 $ 53,563 $ 52,397 $ 54,937 $ 58,577
Provision for Losses on Loans -- -- -- -- --
Recoveries on Loans Previously Charged-off 1,008 1,538 2,717 662 774
Gross Loan Charge-offs (1,803) (1,637) (1,551) (3,202) (4,414)
Balance at End of Period $ 52,669 $ 53,464 $ 53,563 $ 52,397 $ 54,937
Net Loan Charge-offs/Average Net Loans 0.03% 0.00% -0.04% 0.12% 0.17%
Charge-offs/Average Total Loans 0.06% 0.06% 0.06% 0.15% 0.21%
Allowance for Loan Losses/Gross Loans* 1.77% 1.86% 1.90% 2.38% 2.62%
Allowance for Loan Losses/Non-accrual Loans 124.34% 124.02% 144.50% 158.57% 206.10%
Allowance for Loan Losses/Non-performing Loans 124.34% 124.02% 143.85% 158.57% 205.13%
Allowance for Loan Losses/Non-performing Assets 107.41% 102.66% 119.46% 155.06% 197.88%
Allowance for Loan Losses/Classified Loans 34.01% 34.01% 34.01% 38.80% 37.88%
* Excluding held-for-sale loans
NON-PERFORMING ASSETS
(Dollars In Thousands, Net of SBA Guaranty) Quarter Ended
(Unaudited) June 30, 2014 March 31, 2014 December 31, 2013 September 30, 2013 June 30, 2013
Non-accrual Loans $ 42,358 $ 43,109 $ 37,068 $ 33,043 $ 26,655
Loans 90 days or more past due and still accruing -- -- 168 -- 126
Total Non-performing Loans 42,358 43,109 37,236 33,043 26,781
Total OREO 6,676 8,969 7,600 748 982
Total Non-performing Assets $ 49,034 $ 52,078 $ 44,836 $ 33,791 $ 27,763
Total Non-performing Loans/Gross Loans 1.42% 1.48% 1.30% 1.46% 1.24%
Total Non-performing Assets/Total Assets 1.33% 1.43% 1.24% 1.19% 1.00%
ALLOWANCE FOR OFF-BALANCE SHEET ITEMS
(Dollars In Thousands) (Unaudited) Quarter Ended
June 30, 2014 March 31, 2014 June 30, 2013
Balance at beginning of period $ 1,061 $ 1,061 $ 1,023
Credit for losses on off-balance sheet items -- -- --
Balance at end of period $ 1,061 $ 1,061 $ 1,023
Six Months Ended
June 30, 2014 June 30, 2013
Balance at beginning of period $ 1,061 $ 1,023
Credit for losses on off-balance sheet items -- --
Balance at end of period $ 1,061 $ 1,023
WILSHIRE BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCES, AVERAGE YIELDS EARNED AND AVERAGE RATES PAID
(Dollars In Thousands) (Unaudited)
For the Quarter Ended
June 30, 2014 March 31, 2014 June 30, 2013
Average Interest Average Average Interest Average Average Interest Average
Balance Income/ Yield/ Balance Income/ Yield/ Balance Income/ Yield/
INTEREST EARNING ASSETS Expense Rate Expense Rate Expense Rate
LOANS:
Real Estate Loans $ 2,497,372 $ 31,753 5.09% $ 2,447,610 $ 31,008 5.07% $ 1,815,010 $ 22,074 4.87%
Commercial Loans 421,163 5,120 4.86% 430,076 4,919 4.58% 351,460 4,061 4.62%
Consumer Loans 13,426 133 3.96% 11,873 118 3.98% 11,299 75 2.66%
Total Gross Loans 2,931,961 37,006 5.05% 2,889,559 36,045 4.99% 2,177,769 26,210 4.81%
Deferred Fees and Costs \ Loan Fees (8,736) 987 (7,909) 1,056 (5,296) 760
Total Loans * 2,923,225 37,993 5.20% 2,881,650 37,101 5.15% 2,172,473 26,970 4.97%
INVESTMENT SECURITIES AND
OTHER INTEREST-EARNING ASSETS:
Investment Securities** 338,060 2,023 2.60% 349,701 2,101 2.60% 323,502 1,743 2.39%
Deposits Held In Other Institutions 20,539 70 1.36% 21,019 69 1.31% -- -- 0.00%
Federal Funds Sold & Others 55,186 22 0.16% 94,584 82 0.35% 117,838 136 0.46%
Total Investment Securities and
Other Earning Assets 413,785 2,115 2.21% 465,304 2,252 2.09% 441,340 1,879 1.87%
TOTAL INTEREST-EARNING ASSETS $ 3,337,010 $ 40,108 4.83% $ 3,346,954 $ 39,353 4.72% $ 2,613,813 $ 28,849 4.44%
Total Non-Interest Earning Assets 277,004 284,314 157,183
TOTAL ASSETS $ 3,614,014 $ 3,631,268 $ 2,770,996
INTEREST BEARING LIABILITIES
INTEREST-BEARING DEPOSITS:
Money Market $ 770,512 $ 1,276 0.66% $ 784,219 $ 1,301 0.66% $ 617,837 $ 971 0.63%
NOW 34,812 16 0.18% 32,019 15 0.19% 27,915 14 0.20%
Savings 120,274 445 1.48% 120,908 476 1.58% 101,263 447 1.77%
Time Deposits of $100,000 or More 865,110 1,296 0.60% 874,039 1,485 0.68% 586,136 884 0.60%
Other Time Deposits 235,907 453 0.77% 236,826 399 0.67% 223,256 434 0.78%
Total Interest Bearing Deposits 2,026,615 3,486 0.69% 2,048,011 3,676 0.72% 1,556,407 2,750 0.71%
BORROWINGS:
FHLB Advances and Other Borrowings 150,280 67 0.18% 193,413 74 0.15% 150,000 64 0.17%
Junior Subordinated Debentures 71,631 426 2.38% 71,573 430 2.40% 61,857 281 1.82%
Total Borrowings 221,911 493 0.89% 264,986 504 0.76% 211,857 345 0.65%
TOTAL INTEREST BEARING LIABILITIES $ 2,248,526 $ 3,979 0.71% $ 2,312,997 $ 4,180 0.72% $ 1,768,264 $ 3,095 0.70%
Non-Interest Bearing Deposits 870,200 830,939 614,221
Other Liabilities 35,865 40,144 32,224
Shareholders' Equity 459,423 447,188 356,287
TOTAL LIABILITIES AND EQUITY $ 3,614,014 $ 3,631,268 $ 2,770,996
NET INTEREST INCOME $ 36,129 $ 35,173 $ 25,754
.
NET INTEREST SPREAD 4.12% 4.00% 3.74%
NET INTEREST MARGIN 4.35% 4.22% 3.97%
* Allowance for loan losses excluded from average total loans and earning assets
** Tax equivalent ratios for investment securities

WILSHIRE BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCES, AVERAGE YIELDS EARNED AND AVERAGE RATES PAID
(Dollars In Thousands) (Unaudited)
For the Six Months Ended
June 30, 2014 June 30, 2013
Average Interest Average Average Interest Average
Balance Income/ Yield/ Balance Income/ Yield/
INTEREST EARNING ASSETS Expense Rate Expense Rate
LOANS:
Real Estate Loans $ 2,472,184 $ 62,762 5.08% $ 1,795,056 $ 44,176 4.92%
Commercial Loans 425,284 10,039 4.72% 347,752 8,024 4.62%
Consumer Loans 12,567 250 3.98% 12,059 155 2.57%
Total Gross Loans 2,910,035 73,051 5.02% 2,154,867 52,355 4.86%
Deferred Fees and Costs \ Loan Fees (8,322) 2,043 (5,035) 1,500
Total Loans * 2,901,713 75,094 5.18% 2,149,832 53,855 5.01%
INVESTMENT SECURITIES AND
OTHER INTEREST-EARNING ASSETS:
Investment Securities** 343,764 4,124 2.60% 323,879 3,468 2.38%
Deposits Held In Other Institutions 20,776 139 1.34% -- -- 0.00%
Federal Funds Sold & Others 74,750 104 0.28% 123,515 289 0.47%
Total Investment Securities and
Other Earning Assets 439,290 4,367 2.15% 447,394 3,757 1.85%
TOTAL INTEREST-EARNING ASSETS $ 3,341,003 $ 79,461 4.78% $ 2,597,226 $ 57,612 4.47%
Total Non-Interest Earning Assets 278,790 150,173
TOTAL ASSETS $ 3,619,793 $ 2,747,399
INTEREST BEARING LIABILITIES
INTEREST-BEARING DEPOSITS:
Money Market $ 778,796 $ 2,577 0.66% $ 620,639 $ 1,947 0.63%
NOW 33,454 31 0.19% 26,941 26 0.19%
Savings 117,543 921 1.57% 100,914 912 1.81%
Time Deposits of $100,000 or More 868,318 2,781 0.64% 583,688 1,808 0.62%
Other Time Deposits 238,445 852 0.72% 229,524 906 0.79%
Total Interest Bearing Deposits 2,036,556 7,162 0.70% 1,561,706 5,599 0.72%
BORROWINGS:
FHLB Advances and Other Borrowings 171,727 141 0.16% 150,022 143 0.19%
Junior Subordinated Debentures 71,602 856 2.39% 61,857 564 1.82%
Total Borrowings 243,329 997 0.82% 211,879 707 0.67%
TOTAL INTEREST BEARING LIABILITIES $ 2,279,885 $ 8,159 0.72% $ 1,773,585 $ 6,306 0.71%
Non-Interest Bearing Deposits 849,086 591,428
Other Liabilities 37,327 30,184
Shareholders' Equity 453,495 352,202
TOTAL LIABILITIES AND EQUITY $ 3,619,793 $ 2,747,399
NET INTEREST INCOME $ 71,302 $ 51,306
.
NET INTEREST SPREAD 4.06% 3.76%
NET INTEREST MARGIN 4.29% 3.98%
* Allowance for loan losses excluded from average total loans and earning assets
** Tax equivalent ratios for investment securities
RECONCILIATION OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES:
TANGIBLE COMMON EQUITY AND TANGIBLE ASSETS *
(Dollars In Thousands, Except Share Data) (Unaudited)
Quarter Ended
June 30, 2014 March 31, 2014 June 30, 2013
Total shareholders' equity $ 464,769 $ 451,575 $ 355,334
Goodwill and other intangible assets, net (72,206) (72,480) (7,572)
Tangible common equity $ 392,563 $ 379,095 $ 347,762
Total assets $ 3,681,261 $ 3,634,466 $ 2,787,401
Goodwill and other intangible assets, net (72,206) (72,480) (7,572)
Tangible assets $ 3,609,055 $ 3,561,986 $ 2,779,829
Common shares outstanding 78,276,758 78,247,026 70,697,944
* Tangible Common Equity and Tangible Assets are Non-GAAP financial measures. Management believes that presentation of non-GAAP financial information included in this press release are meaningful and useful in understanding the business metrics of the Company's operations. We provide non-GAAP financial information for informational purposes and to enhance an understanding of the Company's GAAP consolidated financial statements. Readers should consider this non-GAAP information in addition to, but not instead or as superior to, the Company's financial statements in accordance with GAAP. Non-GAAP financial information presented by us may be determined or calculated differently by other companies, limiting the usefulness of non-GAAP measures for comparative purposes

CONTACT: Alex Ko, EVP & CFO, (213) 427-6560 www.wilshirebank.comSource:Wilshire Bancorp, Inc.