LOS ANGELES - RBB Bancorp (NASDAQ:RBB), a community-based financial holding company with a market capitalization of $377 million and a P/E ratio of 11.4, announced a significant leadership transition set to take place in the upcoming year. According to InvestingPro data, the company maintains a healthy dividend yield of 2.98% and has consistently raised its dividend for three consecutive years. Mr. Johnny Lee, currently serving as President and Chief Banking Officer of Royal Business Bank, will be appointed as President of RBB Bancorp and President and Chief Executive Officer of the Bank starting January 1, 2025. Additionally, Mr. Lee will join the Boards of Directors of both the Company and the Bank.
Following this initial appointment, Mr. Lee is slated to take on the role of Chief Executive Officer of RBB Bancorp effective May 22, 2025. Mr. Lee's extensive background includes over 35 years in the banking industry with previous senior positions at East West Bank, bringing considerable experience to his new roles.
In conjunction with these changes, Mr. David Morris will resign from his role as Chief Executive Officer of the Bank and President of the Company on January 1, 2025, and will retire from his position as the Company’s Chief Executive Officer on May 21, 2025. Mr. Morris, however, will continue to serve on the Boards of Directors for both the Company and the Bank.
The Company expressed its gratitude for Mr. Morris's 15 years of service, acknowledging his strategic contributions to RBB Bancorp's growth. The Chair of the Board of Directors, Christina Kao, highlighted the planned succession, noting Mr. Lee's exceptional executive talent. Recent InvestingPro data shows management's confidence through aggressive share buybacks, though the stock has experienced a 7.9% decline over the past week despite a strong 26.5% gain over the last six months.
In additional leadership shifts, Mr. Mina Rizkalla will advance from Senior Vice President/BSA Officer & Deputy Chief Risk Officer for the Bank to Executive Vice President and Chief Risk Officer for both the Company and the Bank. Mr. I-Ming (Vincent) Liu will transition from his current role as Chief Risk Officer to Executive Vice President and Chief of Staff for the Bank.
RBB Bancorp, headquartered in Los Angeles, California, reported total assets of $4.0 billion as of September 30, 2024. The company's subsidiary, Royal Business Bank, offers a range of banking services to Asian American communities and businesses across various U.S. locations.
The information for this article is based on a press release statement from RBB Bancorp.
In other recent news, RBB Bancorp reported a steady growth and margin expansion in the third quarter of 2024. The company disclosed a net income of $7 million, or $0.39 per share, which included significant one-time items such as a recovery on a charged-off loan and a credit provision. The bank's net interest margin saw a slight increase, and further expansion is expected as short-term interest rates decline. Loan and deposit portfolios both showed growth, with a notable reduction in reliance on wholesale deposits.
Despite an increase in non-performing loans, management remains confident in resolving these issues by mid-2025. RBB Bancorp anticipates a 6% annualized loan growth rate, largely driven by the commercial real estate sector. Approximately $800 million in CDs are set for repricing in the next quarter.
These recent developments reflect the company's focus on growth and margin expansion. Despite the challenges presented by non-performing loans, RBB Bancorp's management team is confident in the bank's ability to navigate through and emerge stronger in the following year.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.