HOPE BANCORP INC. Files 2023 10-K Report

TL;DR

<b>HOPE BANCORP INC. has filed its annual 10-K report for the fiscal year ended December 31, 2023.</b>

AI Summary

HOPE BANCORP INC (HOPE) filed a Annual Report (10-K) with the SEC on February 28, 2024. HOPE BANCORP INC. filed its 2023 10-K report on February 28, 2024. The report covers the fiscal year ending December 31, 2023. The company's principal executive offices are located at 3200 Wilshire Blvd, Suite 1400, Los Angeles, CA 90010. HOPE BANCORP INC. was formerly known as BBCN BANCORP INC. and NARA BANCORP INC. The filing references accounting standards updates from FASB and tax impact members.

Why It Matters

For investors and stakeholders tracking HOPE BANCORP INC, this filing contains several important signals. This 10-K filing provides a comprehensive overview of HOPE BANCORP INC.'s financial performance, operations, and risk factors for the fiscal year 2023, crucial for investors to assess the company's health and future prospects. Understanding the historical financial data and disclosures within this report is essential for evaluating the company's strategic direction, management's effectiveness, and its position within the national commercial banking sector.

Risk Assessment

Risk Level: low — HOPE BANCORP INC shows low risk based on this filing. The filing is a standard 10-K annual report, which typically contains routine financial and operational information, posing no immediate or unusual risks.

Analyst Insight

Review the detailed financial statements and risk factors within the 10-K to understand HOPE BANCORP INC.'s performance and outlook for the upcoming fiscal year.

Key Numbers

• 2023-12-31 — Fiscal Year End (The report covers the fiscal year ending on this date.)
• 2024-02-28 — Filing Date (The 10-K report was filed on this date.)
• 2023-01-01 — Fiscal Year Start (The reporting period began on this date.)
• 000-50245 — SEC File Number (The SEC file number associated with the filing.)

Key Players & Entities

• HOPE BANCORP INC. (company) — Filer of the 10-K report.
• BBCN BANCORP INC. (company) — Former name of HOPE BANCORP INC.
• NARA BANCORP INC. (company) — Former name of HOPE BANCORP INC.
• 3200 WILSHIRE BLVD (company) — Street address for business and mailing.
• LOS ANGELES (company) — City for business and mailing address.
• CA (company) — State for business and mailing address.
• 90010 (company) — ZIP code for business and mailing address.
• 2136391700 (company) — Business phone number.

FAQ

Industry Context

HOPE BANCORP INC. operates within the National Commercial Banks industry (SIC code 6021).

Regulatory Implications

The filing is made under the Securities Exchange Act of 1934, requiring public companies to submit annual reports detailing their financial performance and operations.

What Investors Should Do

1. Analyze the financial statements for revenue, net income, and other key performance indicators.
2. Review the risk factors section for potential challenges and mitigation strategies.
3. Examine any disclosures related to executive compensation and corporate governance.

Key Dates

• 2023-12-31: Fiscal Year End — Marks the end of the reporting period for the 10-K.
• 2024-02-28: Filing Date — The date the 10-K report was officially submitted to the SEC.

Year-Over-Year Comparison

This is the initial filing analyzed, so no comparison to a previous filing is available.

Key Financial Figures

• $0.001 — ) of the Act: Common Stock, par value $0.001 per share HOPE NASDAQ Global Select Mar
• $5.0 million — t to any one small business borrower of $5.0 million and a maximum SBA guaranteed amount of
• $3.75 million — and a maximum SBA guaranteed amount of $3.75 million. We are generally able to sell the gua
• $500 thousand — usiness purposes. These loans are below $500 thousand and are processed based on the Company'
• $126.0 million — ntor trusts ("Trusts") that have issued $126.0 million of pooled trust preferred securities ("
• $217.5 million — r up to five years. In 2018, we issued $217.5 million aggregate principal amount of 2.00% con
• $197.1 million — t their notes and therefore we paid off $197.1 million of convertible note principal in cash.
• $19.9 million — es in the aggregate principal amount of $19.9 million in 2023, and the repurchased notes were
• $444 thousand — ertible notes at December 31, 2023, was $444 thousand. Market Area and Competition As of D

Filing Documents

• hope-20231231.htm (10-K) — 4817KB
• a10-kxex21112x31x2023.htm (EX-21.1) — 5KB
• a10-kxex23112x31x2023.htm (EX-23.1) — 3KB
• a10-kxex31112x31x2023.htm (EX-31.1) — 10KB
• a10-kxex31212x31x2023.htm (EX-31.2) — 10KB
• a10-kxex32112x31x2023.htm (EX-32.1) — 6KB
• a10-kxex32212x31x2023.htm (EX-32.2) — 6KB
• a10-kxex9712x31x2023.htm (EX-97) — 59KB
• hope-20231231_g1.jpg (GRAPHIC) — 121KB
• image_0.jpg (GRAPHIC) — 4KB
• image_1.jpg (GRAPHIC) — 9KB
• 0001128361-24-000006.txt (&nbsp;) — 23300KB
• hope-20231231.xsd (EX-101.SCH) — 113KB
• hope-20231231_cal.xml (EX-101.CAL) — 153KB
• hope-20231231_def.xml (EX-101.DEF) — 671KB
• hope-20231231_lab.xml (EX-101.LAB) — 1528KB
• hope-20231231_pre.xml (EX-101.PRE) — 1066KB
• hope-20231231_htm.xml (XML) — 4868KB

Risk Factors 16

Item 1A. Risk Factors 16

Unresolved Staff Comments 24

Item 1B. Unresolved Staff Comments 24 Item 1C. Cybersecurity 24

Properties 26

Item 2. Properties 26

Legal Proceedings 26

Item 3. Legal Proceedings 26

Mine Safety Disclosures 26

Item 4. Mine Safety Disclosures 26 PART II Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 27

[RESERVED] 27

Item 6. [RESERVED] 27

Management's Discussion and Analysis of Financial Condition and Results of Operations 28

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 28

Quantitative and Qualitative Disclosures about Market Risk 63

Item 7A. Quantitative and Qualitative Disclosures about Market Risk 63

Financial Statements and Supplementary Data 66

Item 8. Financial Statements and Supplementary Data 66

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 66

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 66

Controls and Procedures 67

Item 9A. Controls and Procedures 67

Other Information 68

Item 9B. Other Information 68

Disclosure Regarding Foreign Jurisdictions That Prevent Inspections

Item 9C. Disclosure Regarding Foreign Jurisdictions That Prevent Inspections 68 PART III

Directors, Executive Officers and Corporate Governance 69

Item 10. Directors, Executive Officers and Corporate Governance 69

Executive Compensation 69

Item 11. Executive Compensation 69

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 69

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 69

Certain Relationships and Related Transactions, and Director Independence 69

Item 13. Certain Relationships and Related Transactions, and Director Independence 69

Principal Accountant Fees and Services 69

Item 14. Principal Accountant Fees and Services 69 PART IV

Exhibits and Financial Statement Schedules 70

Item 15. Exhibits and Financial Statement Schedules 70

Form 10-K Summary 73

Item 16. Form 10-K Summary 73 SIGNATURES 74 2 Forward-Looking Information Certain statements in this Annual Report on Form 10-K may constitute 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. These forward-looking statements relate to, among other things, expectations regarding the business environment in which we operate, projections of future performance, perceived opportunities in the market, and statements regarding our business strategies, objectives and vision. Forward-looking statements include, but are not limited to, statements preceded by, followed by or that include the words "will," "believes," "expects," "anticipates," "intends," "plans," "projects," "forecasts," "estimates" or similar expressions. With respect to any such forward-looking statements, the Company claims the protection provided for in the Private Securities Litigation Reform Act of 1995. These statements involve known and unknown risks, trends, uncertainties, and factors that are beyond the Company's control or ability to predict. The Company's actual results, performance or achievements may differ significantly from the results, performance or achievements expressed or implied in any forward-looking statements. The risks and uncertainties include, but are not limited to: possible further deterioration in economic conditions in our areas of operation; interest rate risk associated with volatile interest rates and related asset-liability matching risk; liquidity risks; risk of significant non-earning assets, and net credit losses that could occur, particularly in times of weak economic conditions or times of rising interest rates; the failure of or changes to assumptions and estimates underlying the Company's allowances for credit losses; and regulatory risks associated with current and future regulations. For additional information concerning these and other ri

BUSINESS

Item 1. BUSINESS General Hope Bancorp, Inc. ("Hope Bancorp" on a parent-only basis, and the "Company," "we" or "our" on a consolidated basis with the Bank of Hope) is a bank holding company headquartered in Los Angeles, California. Hope Bancorp was incorporated in Delaware in the year 2000. We offer commercial and retail banking loan and deposit products through our wholly-owned subsidiary, Bank of Hope, a California state-chartered bank (the "Bank" or "Bank of Hope"). From our roots as a Korean-American focused bank, we have grown to be one of the largest independent commercial banks headquartered in California and serve a multi-ethnic population of customers around the United States. Our network of branches and loan production offices includes locations in California, New York, Texas, Washington, Illinois, New Jersey, Virginia, Georgia, Florida, Alabama, Colorado, and Oregon and includes a representative office in Seoul, South Korea. Our headquarters are located at 3200 Wilshire Boulevard, Suite 1400, Los Angeles, California 90010, and our telephone number at that address is (213) 639-1700. Hope Bancorp exists primarily for the purpose of holding the stock of the Bank and other subsidiaries it may acquire or establish. Bank of Hope's deposits are insured by the Federal Deposit Insurance Corporation (the "FDIC"), up to applicable limits. We file reports with the Securities and Exchange Commission (the "SEC"), which include annual reports on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K, as well as proxy and information statements in connection with our stockholders' meetings. The SEC maintains a website that contains the reports, proxy and information statements, and other information regarding issuers that file electronically with the SEC. The address of the website is www.sec.gov. Our website address is www.bankofhope.com. Electronic copies of our annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on For

View Full Filing

View this 10-K filing on SEC EDGAR