East West Bancorp, Inc. reported its financial results for the third quarter and the nine months ended September 30, 2024, showcasing a mixed performance compared to the previous fiscal period. Total revenue for Q3 2024 reached $657.5 million, a slight increase from $647.6 million in Q3 2023. However, for the nine months ended September 30, 2024, total revenue decreased to $1.94 billion from $1.95 billion in the same period of 2023.

Net income for Q3 2024 was $299.2 million, reflecting a 4% increase from $287.7 million in Q3 2023. Conversely, net income for the nine months ended September 30, 2024, fell to $872.5 million, down 5% from $922.2 million in the prior year. Earnings per share (EPS) for Q3 2024 were $2.16, up from $2.03 in Q3 2023, while diluted EPS for the nine months was $6.23, down from $6.49.

The bank's net interest income before provision for credit losses for Q3 2024 was $572.7 million, a marginal increase from $570.8 million in Q3 2023. However, net interest income for the first nine months of 2024 decreased to $1.69 billion, down 3% from $1.74 billion in the same period of 2023. The net interest margin for Q3 2024 was 3.24%, a decline of 24 basis points year-over-year, attributed to higher deposit funding costs and shifts in deposit mix.

Total assets as of September 30, 2024, increased to $74.5 billion, up 7% from $69.6 billion at the end of 2023. Total deposits rose to $61.7 billion, a 10% increase from $56.1 billion. The bank's stockholders' equity also grew to $7.7 billion, reflecting a 10% increase from $7.0 billion at year-end 2023.

In terms of strategic developments, East West Bancorp acquired a 49.99% equity interest in Rayliant Global Advisors Limited in Q3 2023, which included performance-based restricted stock units. The company also reported an increase in its allowance for credit losses to $736 million as of September 30, 2024, up from $706 million at the end of 2023, driven by net loan growth and economic outlook concerns.

The bank's efficiency ratio improved to 34.40% in Q3 2024, down from 38.92% in the same quarter of the previous year, indicating better cost management. Noninterest expenses for Q3 2024 were $226.2 million, a decrease from $252 million in Q3 2023. The company continues to focus on its three segments: Consumer and Business Banking, Commercial Banking, and Treasury and Other, with ongoing efforts to enhance profitability and manage risks associated with market conditions.