Cathay General Bancorp (CATY) 2025 Q2 法說會逐字稿

Good afternoon, ladies and gentlemen, and welcome to Cathay General Bancorp's second-quarter 2025 earnings conference call. My name is Ashia, and I'll be your coordinator for today. (Operator Instructions) Today's call is being recorded, and will be available for replay at www.cathaygeneralbancorp.com.

女士們、先生們，下午好，歡迎參加國泰萬通金控2025年第二季獲利電話會議。我叫 Ashia，今天我將擔任你們的協調員。（操作員指示）今天的電話會議正在錄音，可在 www.cathaygeneralbancorp.com 上重播。

Now, I would like to turn the call over to Georgia Lo, Investor Relations of Cathay General Bancorp. Please go ahead.

現在，我想將電話轉給國泰萬通金控投資者關係部的 Georgia Lo。請繼續。

Thank you, Ashia, and good afternoon. Here to discuss the financial results today are Mr. Chang Liu, our President and Chief Executive Officer; and Mr. Heng Chen, our Executive Vice President and Chief Financial Officer.

謝謝你，Ashia，下午好。今天來討論財務結果的有我們的總裁兼執行長劉昌先生和我們的執行副總裁兼財務長陳恆先生。

Before we begin, we wish to remind you that the speakers on this call may make forward-looking statements within the meaning of the applicable provisions of the Private Securities Litigation Reform Act of 1995 concerning future results and events, and that these statements are subject to certain risks and uncertainties that could cause actual results to differ materially.

在我們開始之前，我們想提醒您，本次電話會議的發言人可能會根據 1995 年《私人證券訴訟改革法》的適用條款就未來結果和事件做出前瞻性陳述，並且這些陳述受某些風險和不確定性的影響，可能導致實際結果大不相同。

These results and uncertainties are further described in the company's Annual Report on Form 10-K for the year ended December 31, 2024, at Item 1A in particular, and in other reports and filings with the Securities and Exchange Commission from time to time. As such, we caution you not to place undue reliance on such forward-looking statements.

這些結果和不確定性在公司截至 2024 年 12 月 31 日的 10-K 表年度報告（特別是第 1A 項）以及不時向美國證券交易委員會提交的其他報告和文件中有進一步描述。因此，我們提醒您不要過度依賴此類前瞻性陳述。

Any forward-looking statements speaks only as of the date on which it is made and except as required by law. We undertake no obligation to update or review any forward-looking statements to reflect future circumstances, developments, or events, or the occurrence of unanticipated events.

任何前瞻性陳述僅代表其作出之日的觀點，除非法律另有規定。我們不承擔更新或審查任何前瞻性陳述以反映未來情況、發展或事件或意外事件的發生的義務。

This afternoon, Cathay General Bancorp issued an earnings release outlining its second quarter 2025 results. To obtain a copy of our earnings release as well as our earnings presentation, please visit our website at cathaygeneralbancorp.com. After comments by management today, we will open up this call for questions.

今天下午，國泰萬通金控發布了一份收益報告，概述了 2025 年第二季的業績。如需我們的獲利報告及獲利演示，請造訪我們的網站 cathaygeneralbancorp.com。在今天管理層發表意見後，我們將開放本次電話會議，接受提問。

I will now turn the call over to our President and Chief Executive Officer, Mr. Chang Liu.

現在我將電話轉給我們的總裁兼執行長劉昌先生。

Thank you, Georgia, and good afternoon. This afternoon, we reported a net income of $77.4 million for Q2 2025, and the 11.4% increase as compared to $69.5 million for Q1 2025. The earnings per share increased 12.2% to $1.10 for Q2 2025 as compared to $0.98 in Q1 2025. During Q2 2025, we repurchased 804,179 shares of our common stock at an average cost of $44.22 per share for $35.6 million under the June 2025 $150 million stock repurchase.

謝謝你，喬治亞，下午好。今天下午，我們報告了 2025 年第二季的淨收入為 7,740 萬美元，與 2025 年第一季的 6,950 萬美元相比增長了 11.4%。2025 年第二季每股收益為 1.10 美元，而 2025 年第一季為 0.98 美元，成長 12.2%。2025 年第二季度，我們根據 2025 年 6 月的 1.5 億美元股票回購計劃，以平均每股 44.22 美元的價格回購了 804,179 股普通股，總價值 3560 萬美元。

In Q2 2025, total gross loans increased $432 million or 8.9% annualized, primarily driven by increases of $196 million in commercial loans, $202 million in commercial real estate loans, and $69 million in residential loans offset by decreases of $32 million in construction loans.

2025 年第二季度，總貸款增加了 4.32 億美元，年化成長率為 8.9%，主要原因是商業貸款增加了 1.96 億美元、商業房地產貸款增加了 2.02 億美元，住宅貸款增加了 6,900 萬美元，但建築貸款減少了 3,200 萬美元。

Given the strong Q2 loan growth, we are revising our 2025 loan growth guidance back to 3% to 4% from the previously revised guidance of 1% to 4%. Slide 6 shows the percentage of loans in each major loan portfolio that are either at a fixed rate or hybrid loans in their fixed rate period.

鑑於第二季貸款成長強勁，我們將 2025 年貸款成長指引從先前修訂的 1% 至 4% 上調至 3% 至 4%。投影片 6 顯示了每個主要貸款組合中固定利率貸款或固定利率期限內的混合貸款的百分比。

Our loan portfolio consists of 62% fixed rate in hybrid loans excluding fixed to flow interest rate swaps of 4.9% of total loans. Fixed rate loans comprise 30% of total loans and hybrid and fixed rate period comprise 32% of total loans. We expect these fixed rate loans to support our loan yields as market rates are expected to decline.

我們的貸款組合包括 62% 的固定利率混合貸款，不包括佔總貸款 4.9% 的固定流動利率互換。固定利率貸款佔貸款總額的 30%，混合和固定利率期限貸款佔貸款總額的 32%。由於市場利率預計下降，我們預計這些固定利率貸款將支持我們的貸款收益率。

We continue to track our commercial real estate loans, turning to slide 8 of our earnings presentation. As of June 30, 2025, the average loan to value of our CRE loans remained at 49%. As of June 30, 2025, our retail property loan portfolio, as shown on slide 9, comprises 24% of our total CRE loan portfolio, or 13% of our total loan portfolio. 90% of the $2.5 billion retail property loans are secured by retail store, building, neighborhood mixed use, or strips centers, and only 9% is secured by shopping centers.

我們繼續追蹤我們的商業房地產貸款，翻到我們的收益報告的第 8 張幻燈片。截至 2025 年 6 月 30 日，我們的 CRE 貸款的平均貸款價值比仍為 49%。截至 2025 年 6 月 30 日，我們的零售房地產貸款組合（如投影片 9 所示）占我們 CRE 貸款總額的 24%，或占我們貸款總額的 13%。 25 億美元零售房地產貸款中有 90% 由零售店、建築物、社區混合用途或商業街中心擔保，只有 9% 由購物中心擔保。

On slide 10, office property loans represent 14% of our total CRE loan portfolio or 7% of our total loan portfolio. Only 33% of the $1.5 billion in office property loans are collateralized by pure office buildings. Only 3.3% are in CBDs. 40% of office property loans are collateralized by office retail stores, office mixed use, and medical offices, and the remainder 27% are collateralized by office condos.

在投影片 10 中，辦公物業貸款占我們 CRE 貸款總額的 14% 或總貸款總額的 7%。15 億美元的辦公大樓物業貸款中，只有 33% 是以純辦公大樓作為抵押的。只有 3.3% 位於中央商務區。 40% 的辦公大樓物業貸款由辦公大樓零售店、辦公大樓混合用途和醫療辦公室作為抵押，其餘 27% 由辦公大樓公寓作為抵押。

For Q2 2025, we reported net charge-offs of $12.7 million as compared to $2 million in Q1 2025. The $12.7 million charge-offs included $8.3 million charge-off, which have been reserved for in the first quarter on a large commercial loan. Our non-accrual loans were 0.9% of total loans as of June 30, 2025, which increased $19.6 million to $174.2 million as compared to Q1 2025, primarily due to a $16 million real estate loan, which is in the process of foreclosure.

2025 年第二季度，我們報告的淨沖銷額為 1,270 萬美元，而 2025 年第一季為 200 萬美元。1,270 萬美元的沖銷金額包括 830 萬美元的沖銷金額，這些金額已為第一季的一筆大額商業貸款預留。截至 2025 年 6 月 30 日，我們的非應計貸款佔總貸款的 0.9%，與 2025 年第一季相比增加了 1,960 萬美元，達到 1.742 億美元，這主要是由於一筆 1,600 萬美元的房地產貸款正在止贖過程中。

Turning to slide 12 as of June 30, 2025, classified loans increased to $432 million from $380 million for Q1 2025 due to downgrade of our large loan relationship to substandard due to delays in interest payments which are now in the process of incurred. Our special mention loans increased slightly to $310 million from $300 million in Q1 2025.

翻到第 12 張投影片，截至 2025 年 6 月 30 日，分類貸款從 2025 年第一季的 3.8 億美元增至 4.32 億美元，原因是由於我們的大額貸款關係因利息支付延遲而被降級為次級貸款（目前正在發生中）。我們的特別提及貸款從 2025 年第一季的 3 億美元小幅增加至 3.1 億美元。

We recorded a provision for credit losses of $11.2 million in Q2 2025 as compared to $15.5 million in Q1 2025. The reserve to loan ratio decreased to 0.88% for Q2 2025 from 0.91% for Q1 2025. However, excluding our residential mortgage portfolios, the total reserve to loan ratio would be 1.1%.

我們在 2025 年第二季提列了 1,120 萬美元的信貸損失準備金，而 2025 年第一季則為 1,550 萬美元。準備金與貸款比率從 2025 年第一季的 0.91% 下降至 2025 年第二季的 0.88%。然而，如果不包括我們的住宅抵押貸款組合，總準備金與貸款比率將為 1.1%。

Total deposits increased by $189 million or 3.8% annualized during Q2 2025, primarily due to increases of $120 million in core deposits and $68 million in time deposits. Total core deposits increased $120 million due to seasonal factors and marketing activities. Total time deposits, excluding broker deposits, decreased $37 million during Q2 2025.

2025 年第二季度，總存款增加了 1.89 億美元，即年化成長率為 3.8%，主要原因是核心存款增加了 1.2 億美元，定期存款增加了 6,800 萬美元。由於季節性因素和行銷活動，核心存款總額增加了 1.2 億美元。2025 年第二季度，不包括經紀人存款的定期存款總額減少了 3,700 萬美元。

As of June 30, 2025, total uninsured deposits were $8.7 billion, net of $0.8 billion in collateralized deposits, or 43.3% of total deposits. We have an unused borrowing capacity from the Federal Home Loan bank of $7 billion and the Federal Reserve Bank of $1.5 billion and unpledged securities of $1.5 billion as of June 30, 2025. These sources of available liquidity are more than 100% of the uninsured and uncollateralized deposits as of June 30, 2025.

截至 2025 年 6 月 30 日，無保險存款總額為 87 億美元，扣除 8 億美元的抵押存款，佔存款總額的 43.3%。截至 2025 年 6 月 30 日，我們從聯邦住房貸款銀行和聯邦儲備銀行分別擁有 70 億美元和 15 億美元的未使用借款能力以及 15 億美元的未質押證券。這些可用流動性來源佔截至 2025 年 6 月 30 日無保險和無抵押存款的 100% 以上。

I will now turn the floor over to our Executive Vice President and Chief Financial Officer, Mr. Heng Chen, to discuss the quarterly financial results in more detail.

現在，我將把發言權交給我們的執行副總裁兼財務長陳恆先生，以更詳細地討論季度財務業績。

Thank you, Chang, and good afternoon, everyone. For Q2 2025. Net income increased $7.9 million or 11.4% to $77.4 million from $69.5 million for Q1 2025, primarily due to $4.6 million in a higher net interest income. $4.3 million lower provision for credit losses, and $4.2 million higher in non-interest expense -- no, sorry, a non-interest income offset by $3.5 million higher in non-interest expense, and $1.7 million higher in provision for income taxes.

謝謝張先生，大家下午好。針對 2025 年第二季。淨收入從 2025 年第一季的 6,950 萬美元增加 790 萬美元（11.4%）至 7,740 萬美元，這主要歸因於淨利息收入增加 460 萬美元。信貸損失準備金減少 430 萬美元，非利息支出增加 420 萬美元——不，抱歉，非利息收入被非利息支出增加 350 萬美元和所得稅準備金增加 170 萬美元所抵消。

Net interest margin increased from 3.25% for Q1 2025 to 3.27% for Q2 2025. The increase in that interest income was due to the lower cost of funds. In Q2 2025 interest recoveries and pre-payment penalties added 3 basis points to the net interest margin as compared to adding 6 basis points in net interest margin Q1 2025.

淨利差從 2025 年第一季的 3.25% 上升至 2025 年第二季的 3.27%。利息收入的增加是由於資金成本的降低。2025 年第二季度，利息回收和提前還款罰金使淨利差增加了 3 個基點，而 2025 年第一季淨利差增加了 6 個基點。

Non-interest income for Q2 2025 increased $4.2 million to $15.4 million when compared to $11.2 million in Q1 2025. The increase was primarily due to a $2.8 million change in market to market, unrealized loss of equity securities and Q2 compared to unrealized loss in equity securities in Q1, and the $2.4 million increase in other operating income resulting from higher foreign exchange income and derivative free income offset by $1.2 million lower in wealth management income.

2025 年第二季的非利息收入從 2025 年第一季的 1,120 萬美元增加 420 萬美元，達到 1,540 萬美元。成長的主要原因是市場對市場的變動、第二季股權證券未實現損失與第一季股權證券未實現損失相比增加了 280 萬美元，以及由於外匯收入和衍生性商品自由收入增加導致其他營業收入增加了 240 萬美元，但財富管理收入減少了 120 萬美元。

Non-interest expense increased by $3.4 million or 4% to $89.1 million in Q2 2025 from $85.7 million in Q1 2025. This increase was primarily due to a $2.1 million increase in low-come housing amortization, and a $1.4 million increase in professional expenses.

2025 年第二季非利息支出從 2025 年第一季的 8,570 萬美元增加 340 萬美元（增幅 4%）至 8,910 萬美元。這一增長主要是由於低收入住房攤銷增加了 210 萬美元，以及專業費用增加了 140 萬美元。

Effective tax rate for Q2 2025 was 19.56% as compared to 19.82% for Q1 202. Due to a recent California tax legislation, we are updating our guidance for the effective tax rate to between 18.5% to 19% from the previous guidance between 19.5% to 20.5%.

2025 年第二季的有效稅率為 19.56%，而 2025 年第一季的有效稅率為 19.82%。由於加州最近的稅收立法，我們將有效稅率指引從先前的 19.5% 至 20.5% 更新為 18.5% 至 19% 之間。

As of June 30, 2025, a Tier 1 leverage capital ratio increase to 11.07% as compared to 11.06% as of March 31, 2025. Our Tier 1 risk-based capital ratio decreased to 13.34% from 13.58% as of March 31, 2025, and our total risk-based capital ratio decreased to 14.9% from 15.19% as of March 31, 2025.

截至 2025 年 6 月 30 日，一級資本槓桿率增至 11.07%，而截至 2025 年 3 月 31 日為 11.06%。截至 2025 年 3 月 31 日，我們的第一級創投比率從 13.58% 下降至 13.34%，我們的總風險資本比率從 2025 年 3 月 31 日的 15.19% 下降至 14.9%。

Thank you , Heng. We'll now proceed to the question and answer portion of the call.

謝謝你，Heng。我們現在進入電話會議的問答部分。

(Operator Instructions)

（操作員指示）

Gary Tenner, D.A. Davidson.

坦納 (Gary Tenner)、地方檢察官戴維森 (D.A. Davidson)。

Thanks, good afternoon. In terms of the income tax rate for this quarter, was there any direct impact from that California state change that drove the income taxes higher this quarter? And if so, what amount?

謝謝，下午好。就本季的所得稅率而言，加州的稅率變化是否直接影響了本季所得稅的上漲？如果是的話，數量是多少？

Yes, $3.4 million that's a result of writing off a portion of our deferred tax asset to reflect a lower state apportionment -- lower California state apportionment.

是的，340 萬美元，這是我們註銷部分遞延稅項資產的結果，以反映較低的州分配額——較低的加州州分配額。

Okay, great. Thank you. And then just on the ACL, I know down 2 basis points quarter-over-quarter, but you did have the charge-off that was, I think, specifically reserved for. So what kind of drove the refill of that bucket this quarter of the allowance this quarter?

好的，太好了。謝謝。然後就 ACL 而言，我知道季度環比下降了 2 個基點，但你確實有沖銷，我認為這是專門保留的。那麼，是什麼原因促使本季重新補充了這個限額呢？

Well, there's a lot of noise this quarter, Gary. We have let me start with -- we use Moody's as an economic forecast, variable for our ACL. And Moody's, the unemployment factor increased by 40 basis points compared to March. And since five of our six loan pools, the one of the dependent variables is unemployment that added more.

嗯，這個季度有很多噪音，加里。首先，我們使用穆迪作為 ACL 的經濟預測變數。穆迪表示，失業率較3月上升了40個基點。由於我們的六個貸款池中有五個的因變數是失業率，因此失業率的增加幅度更大。

We had loan growth, which added more, and offsetting that, we reduced specific provision for tariffs. We're not seeing any impact on our importers. We had set up a reserve in Q1 for that. And then secondly, we had another credit that was on nonaccrual, and we increased the collateral as part of the bankruptcy settlement. We had a special reserve against that credit, which we now no longer need.

我們的貸款成長了，增加了更多，為了抵消這一成長，我們減少了關稅的具體準備金。我們沒有看到對我們的進口商有任何影響。我們在第一季為此設立了儲備金。其次，我們還有另一項未提列的信貸，我們增加了抵押品作為破產和解的一部分。我們曾為這筆貸款設立特別儲備，但現在我們不再需要它了。

So Heng, the refill of the ACL primarily related, would you say, just to the economic factors in Moody's model more than any of the portfolio specifics.

那麼，Heng，您是否認為 ACL 的補充主要與穆迪模型中的經濟因素有關，而不是任何投資組合細節。

That's right. That's right.

這是正確的。這是正確的。

Okay, that's what I was curious about. Thank you.

好的，這就是我好奇的。謝謝。

Thank you.

謝謝。

Andrew Terrell, Stephens.

安德魯·特雷爾，史蒂芬斯。

Hey, good afternoon. Hey, I wanted to ask on just the loan growth and the guidance first. It feels like after a really strong second quarter that loan growth would need to revert to that low single digit pace for kind of the next two quarters to stay within that kind of full year guidance that you updated this afternoon.

嘿，下午好。嘿，我想先問一下貸款成長和指導情況。感覺在經歷了非常強勁的第二季度之後，貸款增長需要在接下來的兩個季度恢復到低個位數的速度，才能保持在您今天下午更新的全年指導範圍內。

I'm just curious what you're seeing in terms of pipeline today, and kind of the growth outlook for the back half of the year. And maybe just curious what's keeping you from maybe raising the top end of the loan growth guidance.

我只是好奇您今天看到的管道情況以及今年下半年的成長前景。也許只是好奇，是什麼阻止您提高貸款成長指引的最高值。

So, Andrew, I think what we look at is really there's been a balanced growth in both the C&I side and the commercial real estate side. On the C&I side, we're seeing both some increases on existing line and their advances as well as some new customers that we've been able to bring into the bank.

所以，安德魯，我認為我們看到的是，工商業和商業房地產方面確實實現了均衡成長。在商業和工業方面，我們看到現有信用額度及其預付款都有所增加，同時我們也為銀行帶來了一些新客戶。

As far as the sort of the second half, we're still -- we believe that we have a strong pipeline for the second half. Based on what we're seeing so far, and we're looking forward to getting those deals closed as well. We want to be a little -- I want to just kind of look at the whole economic landscape, both in terms of just there's still some tariff noise out there, and some of the CPI adjustment and increases.

就下半年的情況而言，我們仍然相信我們擁有強大的下半年發展管道。根據我們目前所看到的情況，我們也期待這些交易的完成。我們想要稍微——我只是想看看整個經濟狀況，既包括仍然存在的一些關稅噪音，也包括一些消費者物價指數的調整和成長。

So we just want to be sensitive to that. And if loan demand starts to drop, then we don't want to kind of not hit the top end of the range. That's why we kept the top end of the range at the 4%.

所以我們只是想對此保持敏感。如果貸款需求開始下降，那麼我們就不希望貸款額度不會達到最高水準。這就是我們將最高範圍保持在 4% 的原因。

Yeah, understood. Okay. And then I wanted to ask just a balance sheet related question on the it looks like in the period, the FHLB borrowing position stepped up quite a lot. Just curious any -- I think it was $412 million. Any color you can provide on whether those were term borrowings, overnight borrowings and what the weighted average rate was and you still got a good cash position.

是的，明白了。好的。然後我想問一個與資產負債表相關的問題，看起來在此期間，FHLB 的借款部位上升了不少。只是好奇——我認為是 4.12 億美元。您能否說明這些是定期借款還是隔夜借款，以及加權平均利率是多少，並且您仍然擁有良好的現金狀況。

Should we expect you to keep those borrowings kind of going into the third quarter?

我們是否應該期望您將這些借款延續到第三季？

Andrew, we -- most of our loan growth was in the month of June. So that's why we had to borrow from the Federal Home Loan Bank. And those are mainly two-week borrowings. The rate is probably 4.6%. So we're in a process of replacing that with broker CDs, which would be in the 4.3% or maybe a little bit lower.

安德魯，我們的貸款成長大部分發生在六月。這就是我們不得不向聯邦住房貸款銀行借款的原因。這些主要是兩週的借款。該比率大概是4.6%。因此，我們正在用經紀人存單來替代它，其利率將在 4.3% 左右，甚至可能略低一些。

So we were just surprised, this is the treasury group. We were surprised by the surge in loan growth. So we didn't have time to ramp up broker CDs to match that.

所以我們很驚訝，這就是財務組。貸款成長的激增令我們感到驚訝。因此，我們沒有時間增加經紀人 CD 來匹配這一點。

Yes, okay, makes sense. Thanks for taking the questions.

是的，好的，有道理。感謝您回答這些問題。

Thank you.

謝謝。

Matthew Clark, Piper Sandler.

馬修克拉克、派珀桑德勒。

Hey, good afternoon, everyone. Can you just touch on the increase in classifieds. I may have missed it in your prepared remarks, but if you could just give us some color on what drove that $50 million increase? What drove it in terms of the type of credits and kind of what the situation is there?

嘿，大家下午好。能否簡單談談分類廣告的成長情況？我可能在您準備好的發言中忽略了這一點，但您能否向我們解釋一下是什麼推動了 5000 萬美元的成長？就信貸類型和情況而言，是什麼推動了這個進程？

Chang covered it. It was one commercial relationship. They had some cash flow issues. They didn't go 90 days past due. That's why it's still stay just only sub. And now they're catching up. So we hope that it will be fully current by the end of the third quarter, we have a program for that borrower to gradually reduce the borrowings.

張先生掩蓋了這一點。這是一種商業關係。他們遇到了一些現金流問題。他們並沒有逾期 90 天。這就是為什麼它仍然只是子版本。現在他們正在迎頭趕上。因此，我們希望它能在第三季末全面實現，我們有一個計劃，讓借款人逐步減少借款。

And was that -- how large is that credit? Was that the entire increase?

那麼——這個信用額度有多大？這就是全部的成長嗎？

Yeah, it's in the high 40s. Almost all of it is secured by real estate, but we want to limit our exposure to that borrower given to the delinquency.

是的，溫度高達 40 多度。幾乎所有貸款都是由房地產擔保的，但考慮到貸款拖欠的情況，我們希望限制對貸款人的風險敞口。

Got it. Okay, great. And then just two kind of minor housekeeping items. The prepay fees in the margin this quarter, interest income I think there were $3.5 million last quarter.

知道了。好的，太好了。然後只是兩種小的家務事。本季保證金中的預付費用、利息收入我認為上個季度有 350 萬美元。

Yeah, it's 3 basis points this quarter compared to 6 basis points in Q1.

是的，本季為 3 個基點，而第一季為 6 個基點。

Got it. And then the tax credit amortization expectations for 3Q and 4Q?

知道了。那麼第三季和第四季的稅收抵免攤銷預期是什麼？

It would be about $11 million per quarter.

每季約 1100 萬美元。

Okay, thank you.

好的，謝謝。

Thank you.

謝謝。

(Operator Instructions)

（操作員指示）

Kelly Motta, KBW.

凱利·莫塔（Kelly Motta），KBW。

Hey, good afternoon, thanks for the question. I wanted to circle back on loan growth and what you saw specifically on the commercial side. I appreciate the updated guide and the color there. But can you provide -- was there any unusual pulls in utilization? And how we should think about that? Is that part of the reason why we're seeing a kind of slowdown relative to such a strong 2Q in the back half of the year? Just any color would be helpful. Thank you.

嘿，下午好，謝謝你的提問。我想回顧一下貸款成長情況以及您在商業方面看到的具體情況。我很欣賞更新後的指南和其中的色彩。但是您能否提供—利用率方面是否存在任何不尋常的拉動？我們該如何看待這個問題？這是否是我們看到今年下半年第二季經濟相對於強勁成長放緩的原因之一？任何顏色都有幫助。謝謝。

Yeah, so on that end, I think a lot of the growth really was more kind of CRE. It was pretty balanced, but there was a larger proportion on the CRE side, and it was either purchase or refinance just our kind of traditional business. And then on the C&I end, we definitely have added new names and new relationship that also helped to propel the growth. But I would say, the advance on the existing lines, there were definitely some, but not as significant of a portion of the growth for Q2.

是的，從這個角度來看，我認為很多成長實際上更多的是 CRE。它相當平衡，但 CRE 方面的比例較大，要么是購買，要么是再融資，這只是我們的傳統業務。然後在 C&I 方面，我們確實增加了新名稱和新關係，這也有助於推動成長。但我想說，現有產品線的進步肯定有一些，但並不像第二季的成長那麼顯著。

Got it. That's helpful. And then on the deposit pricing side, you guys have done an excellent job getting deposit cost down after the first couple of cuts. With your NIM expectations ahead, wondering have we seen most of the improvement we're going to get after the first 100 basis points of cuts? And two, I know the guidance provides two cuts in the back half of the year.

知道了。這很有幫助。在存款定價方面，經過前幾次降息之後，你們在降低存款成本方面做得非常出色。鑑於您對 NIM 的預期，您想知道在首次降息 100 個基點之後，我們是否已經看到了大部分改善？第二，我知道指導意見提出今年下半年將有兩次降息。

Wondering how you guys are thinking about your ability to drive betas off of the next round of cuts? Thanks.

想知道你們如何看待自己在下一輪裁員中淘汰測試版的能力？謝謝。

Yeah, Kelly, I think for -- we were doing some analysis on our betas and for some CD -- retail CD balances, the adjustments last rate cut was in the middle of December and those CD rates since then, the two CD rates have been down more than 25 basis points because I think we're in the slightly less promotional environment for CDs.

是的，凱利，我認為——我們正在對我們的 beta 和一些 CD——零售 CD 餘額進行一些分析，上次降息調整是在 12 月中旬，自那時以來，這兩個 CD 利率已經下降了 25 個基點以上，因為我認為我們處於 CD 促銷環境略差的狀況下。

And then we -- as I mentioned in the script, about 60% of our loans are fixed or hybrid and we were getting some repricing on the loans like our resident to mortgage, the originations in Q2 were at like 6.25% and the average portfolio yield on residential mortgage in the second quarter as 5.79%.

然後我們——正如我在腳本中提到的那樣，我們大約 60% 的貸款是固定或混合的，我們對一些貸款進行了重新定價，例如我們的居民抵押貸款，第二季度的發放率為 6.25%，第二季度住宅抵押貸款的平均投資組合收益率為 5.79%。

And also on new CRE originations, I think we're getting a little bit of uplift as fixed-rate loans that we made three or four years ago repriced today. So we have a little bit of a backwind and our NIM should expand anytime there's another Fed rate cuts. We're just waiting for that to happen.

對於新的 CRE 發放，我認為我們獲得了一些提升，因為三、四年前發放的固定利率貸款今天重新定價了。因此，我們面臨一些逆風，只要聯準會再次降息，我們的淨利差就會擴大。我們只是在等待這件事發生。

And to answer your first part of your question, I think we've pulled through on the 100 basis points cut that, for the most part, happened in the fourth quarter of 2023. So that's kind of -- '24, sorry. And that's pulled through for us I think it's reflected in our current deposit rates. I don't think there's any kind of tailwind on that part of it.

回答您問題的第一部分，我認為我們已經完成了 100 個基點的降息，這在很大程度上發生在 2023 年第四季。所以這有點像——‘24，抱歉。我認為這對我們來說已經實現了，我認為這反映在我們當前的存款利率上。我不認為這方面有任何順風。

Awesome. Thanks for the call. I'll step back.

驚人的。謝謝您的來電。我會退後。

Thank you.

謝謝。

Thank you for your participation. I will now turn the call back over to Cathay General Bancorp's management for closing remarks. Please go ahead.

感謝您的參與。現在我將電話轉回國泰萬通金控管理階層，請他們作最後發言。請繼續。

I want to thank everyone for joining us on our call, and we look forward to speaking with you at our next quarterly earnings release call.

我要感謝大家參加我們的電話會議，我們期待在下一次季度收益發布電話會議上與您交談。

Ladies and gentlemen, thank you for your participation in today's conference. This concludes the presentation. You may now disconnect. Good day.

女士們、先生們，感謝各位參加今天的會議。演講到此結束。您現在可以斷開連線。再會。