Banc of California (BANC) Q2 FY26 earnings call

Banc of California executed a significant balance sheet repositioning in Q2 FY26, selling $2.3 billion in lower-yielding securities and $825 million in select loans, alongside retiring $385 million in subordinated debt. These actions, while impacting reported earnings this quarter, are designed to enhance recurring earnings power, expand net interest margin, and accelerate organic capital generation. The company maintains strong underlying franchise momentum with robust loan and deposit growth, positioning it for a higher earnings profile in the second half of the year.