Commercial Bank of California Achieves Continued Growth, Record Profitability in 2025

Highlights Include:

• Total assets, deposits, and loans all increased over prior-year levels to new highs, reflecting both organic growth and 2024's Community Bank of the Bay merger
• Net income more than doubled year-over-year, rising by 170.4% to the highest net income in CBC's history
• Net interest income increased year-over-year by 52.1%, reflecting the significant expansion of net interest margin

IRVINE, CALIF. (April 8, 2026) - Commercial Bank of California ("CBC" or "Bank"), a BauerFinancial Four-Star Excellent Bank, today reported 2025 net income of $42.5 million, a $26.8 million increase from the net income of $15.7 million recorded for full year 2024. For the fourth quarter of 2025, net income was $12.7 million, a sharp increase from the Bank's net income of $232 thousand in 2024's fourth quarter. The Bank's 2025 operating results improved markedly from the prior year, mainly driven by organic growth and the Community Bank of the Bay ("CBB") merger completed on November 1 of last year; 2024 profitability was impacted by one-time expenses related to the CBB merger of $10.6 million for the full year and $9.7 million for 2024's fourth quarter.Full year net interest income for 2025 increased by 52.1%, or $45.4 million, to $132.4 million from $87.1 million in the prior year primarily due to growth in earning assets combined with a 43-basis-point expansion of net interest margin. Provisions for credit losses declined from $9.6 million in 2024 to $4.5 million for 2025, largely reflecting the absence of 2024's $6.1 million loan loss provision related to non-PCD (purchased credit deteriorated) loans acquired in the CBB merger. Credit quality and borrower performance remained strong in 2025, due to the Bank's disciplined approach to lending, and a proactive and realistic approach to credit management.For the fourth quarter of 2025, net income strengthened compared to the preceding quarter, rising to $12.7 million from $11.1 million in the third quarter of the year. The $1.7 million improvement was primarily driven by higher gains from SBA loan and securities sales, increased income from SBIC equity investments, and lower salaries and employee benefits and other noninterest expenses.At December 31, 2025 CBC's total assets of $3.7 billion represented an increase of $164.1 million, or 4.6%, over $3.5 billion in total assets that existed at the end of 2024. Net loans rose from $2.5 billion at year-end 2024 to a comparable 2025 total of $2.7 billion, an increase of $244.0 million, or 9.8%. Deposits also rose, from $2.9 billion at December 31, 2024 to $3.1 billion at the end of 2025, an increase of $212.3 million (7.4%). CBC continued to experience substantial organic growth throughout 2025, building on the overall balance sheet increase resulting from the CBB merger in late 2024.

Total capital at December 31, 2025 was $343.8 million, compared to $291.8 million at the same point in 2024, meaning that total capital increased by $52.0 million, or 17.8%, over the course of 2025. Total capital for both years was diminished by unrealized after-tax losses on securities available for sale, although this factor was reduced by $13.3 million in 2025 due to the gradual decline in interest rates that occurred and the resulting increase in security values. All of the Bank's capital ratios continued to exceed the current standards for well-capitalized institutions, the highest capital category established by banking regulators. CBC's Tier 1 Leverage Ratio stood at 9.29% at the end of 2025, its Tier 1 Capital to Risk Weighted Assets ratio was 11.41%, and its ratio of Total Capital to Risk Weighted Assets was 12.50%. Returns on average assets and average equity improved to 1.36% and 14.92% in the fourth quarter of 2025 from 0.03% and 0.38% in the same period a year earlier, respectively. As noted earlier, one-time expenses related to the CBB merger in the fourth quarter of 2024 resulted in a significant profitability decline for that period.

Ash Patel, Chairman, President, and Chief Executive Officer, commented: "2025 was a record year for CBC, driven by strong growth in earning assets and net interest margin, resulting in a significant increase in net interest income. The successful integration of Community Bank of the Bay further strengthened our balance sheet and profitability, all while maintaining the strong asset quality that defines CBC.

"Looking ahead, we remain focused on disciplined growth, expanding revenues-particularly through our SBA lending platform-careful expense management, and increased use of AI to enhance efficiency and create more rewarding jobs for our team members. Both we and our clients can look to the future with confidence, because with a strong capital position and deep client relationships, CBC is well positioned to navigate a dynamic economic environment and deliver continued success in 2026 and beyond.

"None of this would be possible without the loyalty and support of our clients, team members, and partners, to whom we extend our sincere thanks."

About Commercial Bank of California

Commercial Bank of California is a full-service bank and diversified financial services company serving businesses, professionals, and communities in the greater Los Angeles and San Francisco Bay areas of California. Recognized as a BauerFinancial, Inc. "Four-Star Excellent Bank" for its financial strength and stability, CBC provides the financial expertise of a major bank while maintaining a commitment to personalized service for every CBC client. More information about CBC's custom solutions for your banking needs is available at https://www.cbcal.com.

STATEMENTS OF CONDITION (UNAUDITED)
($000s omitted)		December 31, 2025				December 31, 2024
ASSETS:
Cash and due from banks	$	19,547			$	36,274
Interest bearing deposits with banks		217,717				356,046
Fed funds sold		0				0
Cash and cash equivalents		237,264				392,320
Investment securities		589,343				513,828
Loans		2,760,214				2,514,473
Less: allowance for credit losses		32,266				30,497
Loans, net		2,727,948				2,483,976
Premises and equipment - net		11,646				13,343
Other real estate owned		3,458				0
Accrued interest receivable and other assets		131,952				134,093
Total assets	$	3,701,611			$	3,537,560
LIABILITIES AND CAPITAL:
Non-interest bearing deposits	$	1,203,330			$	1,146,712
Interest bearing demand deposits		388,154				371,739
Savings and money market deposits		1,158,721				942,813
Time deposits		319,248				395,895
Total deposits		3,069,453				2,857,159
Fed funds purchased		0				230
Other borrowings		254,564				344,435
Accrued interest payable and other liabilities		33,786				44,157
Total liabilities		3,357,803				3,245,751
Stated capital		229,266				228,622
Retained earnings		131,586				93,537
Accumulated other comprehensive income (loss)		-17,044				-30,350
Total capital		343,808				291,809
Total liabilities and capital	$	3,701,611			$	3,537,560

STATEMENTS OF OPERATIONS (UNAUDITED)
		Twelve Months Ended		Twelve Months Ended
($000's omitted)		December 31, 2025		December 31, 2024
Interest on loans	$	169,548	$	116,549
Interest on deposits with banks		17,692		17,260
Interest on investment securities		18,067		13,707
Other interest income		1,913		1,240
Total interest income		207,220		148,756
Interest on deposits		62,367		47,792
Interest on borrowings		12,446		13,914
Total interest expense		74,813		61,706
Net interest income		132,407		87,050
Provision for credit losses		4,460		9,610
Net interest income after provision for credit losses		127,947		77,440
Bank service charges and fees		1,135		1,173
Net servicing Fee		867		540
Payment processing fee income		14,724		1,4181
Gain (loss) on sale of loans		2,178		1,186
Other income		4,093		703
Other operating income		22,997		17,783
Salaries and related benefits		54,960		46,300
Occupancy expenses		5,684		4,096
Other expenses		30,915		22,315
Total other operating expenses		91,559		72,711
Income before provision for income taxes		59,385		22,512
Provision for income taxes		16,836		6,774
Net income	$	42,549	$	15,738

This report includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein may constitute forward-looking statements. Although Commercial Bank of California believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. Important factors that could cause actual results to differ materially from Commercial Bank of California's expectations include fluctuations in interest rates, inflation, government regulations, and economic conditions and competition in the geographic and business areas in which Commercial Bank of California conducts its operations.

Commercial Bank of California
Member FDIC, Equal Housing Lender