Hope Bancorp, Inc. (NASDAQ:HOPE) Q3 2016 Earnings Conference Call - Final Transcript
Oct 19, 2016 • 12:30 pm ET
Good morning, and welcome to the Hope Bancorp Third Quarter 2016 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions]
I would now like to turn the conference over to Angie Yang, Director of Investor Relations. Please go ahead.
Thank you, Gary. Good morning everyone, and thank you for joining us for the Hope Bancorp 2016 third quarter investor conference call. Before we begin, I'd like to make a brief statement regarding forward-looking remarks. The call today may contain forward-looking projections regarding the future financial performance of the company and future events. These statements constitute forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and are not statements of historical fact. We wish to caution you that such forward-looking statements reflect our expectations based on current expectations, estimates, forecast and projections, and management assumptions about the future performance of Hope Bancorp. These statements are not guarantees of future performance.
Actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements. We refer you to the documents the company files periodically with the SEC as well as the Safe Harbor statements in the press release issued yesterday. Hope Bancorp assumes no obligation to revise any forward-looking projections that may be made on today's call. The company cautions that the complete financial results to be included in the quarterly report on Form 10-Q for the quarter ended September 30, 2016 could differ materially from the financial results being reported today.
As usual, we have allotted one hour for this call. Presenting from the management side today will be Kevin Kim, Hope Bancorp's President and CEO; Kyu Kim, our Head of Community Banking; and Doug Goddard, our Chief Financial Officer. Chief Credit Officer, Peter Koh; Chief Lending Officer, Jason Kim; and our Chief Financial Strategist, Alex Ko are also here with us today and will participate in the Q&A session.
With that, let me turn the call over to Kevin Kim. Kevin?
Kevin Sung Kim
Thank you, Angie. Good morning everyone, and thank you for joining us today for our first earnings call as Hope Bancorp. It has been an exciting and busy quarter for the company as we merged the former BBCN Bancorp and Wilshire Bancorp to form the first Korean-American super regional bank in the United States.
During the third quarter of 2016, we generated $26.1 million in net income, or $0.22 per diluted share. This includes $11.2 million of merger-related expenses. Excluding the merger-related expenses, we would estimate net income would have been approximately $23 million or $0.28 per diluted share. And clearly that performance will improve as we realize the cost savings and other synergies we expect from the merger.
I'm very pleased with the progress we have made on the integration to-date. Our experience from the knowledge and center merger of equals has been invaluable in helping us anticipate potential issues and effectively plan and execute the integration. We're still in the early stages and we have