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• A smaller, Southern California-focused U.S. Bank for businesses.
• Like PNC Bank, but specializing in commercial real estate and small business loans in Southern California.
• A regional version of East West Bank, focused on commercial real estate and small business lending in Southern California.

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RBB Bancorp (RBB) primarily provides traditional banking services, categorized as follows:

• Deposit Accounts: Attracting funds from individuals and businesses through various checking, savings, money market, and certificate of deposit accounts.
• Commercial Real Estate (CRE) Loans: Providing financing for the acquisition, development, and refinancing of income-producing properties such as multi-family, office, and retail buildings.
• Commercial & Industrial (C&I) Loans: Offering financing solutions to businesses for working capital, equipment purchases, inventory, and other operational needs.
• Residential Mortgage Loans: Providing financing for the purchase or refinancing of owner-occupied single-family homes.

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RBB Bancorp (RBB) is a bank holding company that operates Royal Business Bank. As such, it sells primarily financial products and services to a diverse base of individuals and businesses, rather than having a few major corporate customers.

The company serves the following categories of customers:

1. Individuals/Consumers: These customers utilize personal banking services such as checking and savings accounts, certificates of deposit, money market accounts, personal loans, and residential mortgage loans.
2. Small to Medium-sized Businesses (SMBs): This category includes various enterprises seeking commercial loans (e.g., lines of credit, term loans), business deposit accounts, and treasury management services to support their operations and growth.
3. Commercial Real Estate Investors and Developers: These customers typically seek financing for the acquisition, development, and refinancing of commercial properties, including commercial real estate loans and construction loans.

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• Fiserv (FISV)

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Johnny Lee, President and Chief Executive Officer

Mr. Lee is the President and Chief Executive Officer of Royal Business Bank and RBB Bancorp. He joined the Bank in June 2023. Prior to joining RBB, Mr. Lee spent 10 years (May 2013 to June 2023) at East West Bank, where he was the Senior Managing Director and Head of International and Commercial Banking, overseeing a portfolio of nearly $7.0 billion in outstanding commercial loans and $4.5 billion in deposits. Before East West Bank, he served as EVP and Head of Corporate Banking/C&I at CTBC Bank for nearly five years. Prior to CTBC Bank, Mr. Lee was SVP and Head of its Technology Banking Group at United Commercial Bank from February 2004 to October 2008, where he founded and built a specialized industry platform providing venture debt and banking services to emerging technology companies and venture capital firms. He began his banking career at General Bank in May 1990.

Lynn Hopkins, Executive Vice President and Chief Financial Officer

Ms. Hopkins joined RBB Bancorp as Executive Vice President and Chief Financial Officer in December 2023, with her formal appointment in April 2024. She brings over 30 years of experience in the financial services industry. Prior to RBB, Ms. Hopkins held Chief Financial Officer roles at Banc of California, Inc., First Choice Bancorp, and Commercial Bank of California. She also held various executive finance and corporate leadership positions at PacWest Bancorp, California Community Bancshares, and Western Bancorp.

Mina Rizkalla, Executive Vice President and Chief Risk Officer

Mr. Rizkalla is the Executive Vice President and Chief Risk Officer of the Bank. He previously served as the Deputy Chief and BSA Officer of RBB from October 2023 to December 2024. Mr. Rizkalla was also the Executive Vice President and Chief Risk Officer for Commonwealth Business Bank. He has over 32 years of experience in the banking industry, specializing in areas of Risk, Bank Secrecy Act, and Fraud Management, and has experience in mergers and acquisitions related to Bank Secrecy Act, Compliance Management Systems, and Fraud Prevention buildouts.

Gary Fan, Executive Vice President and Chief Operations Officer

Mr. Fan is the Executive Vice President and Chief Operations Officer of the Bank, serving as an executive officer since December 2022. In his role, he is responsible for identifying and executing growth opportunities, leading digital banking initiatives, managing products and services, driving merger and acquisition (M&A) activity, and evaluating market conditions. Prior to joining RBB, Mr. Fan was President of Gateway Bank FSB in Oakland, CA.

Jeffrey Yeh, Executive Vice President and Chief Credit Officer

Mr. Yeh has been an executive officer of Royal Business Bank since its founding in 2008 and of RBB Bancorp since 2011. He started at the Bank as Vice President and Portfolio Administration Manager and was promoted to Executive Vice President and Chief Credit Officer in January 2014. Before joining the Bank, Mr. Yeh served as a finance director and business control manager for Universal Science Industrial Co., Ltd. from 2001 through 2003, and as a director and general manager of Overseas Chinese Finance, Ltd.

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Key Business Risks for RBB Bancorp (RBB)

1. Regulatory Compliance and Anti-Money Laundering (AML) Issues: RBB Bancorp has faced significant challenges regarding its compliance with the Bank Secrecy Act (BSA) and anti-money laundering (AML) regulations. In October 2023, the company entered into a consent order with the Federal Deposit Insurance Corporation (FDIC) and the California Department of Financial Protection and Innovation (DFPI) to address deficiencies in its BSA/AML compliance program, including issues with internal controls and the timely filing of suspicious activity reports (SARs). Although the consent order was terminated in August 2024, indicating the successful resolution of identified deficiencies, the ongoing need to maintain robust compliance practices remains a critical operational and reputational risk. The bank's focus on international trade financing, particularly with Asia, and its reliance on undisclosed correspondent banking partners, continues to raise concerns about potential AML vulnerabilities and exposure to illicit financial networks.
2. Asset Quality Management and Credit Risk: RBB Bancorp faces ongoing challenges in managing its asset quality, as evidenced by an increase in substandard loans and provisions for credit losses impacting net income. The bank's loan-to-deposit ratio has exceeded 100%, reflecting an aggressive approach to loan growth, which could necessitate higher loss provisions if regional real estate markets or the broader economy experience a downturn. A significant portion of RBB's loan portfolio is concentrated in non-qualified mortgage (non-QM) residential loans (53% as of year-end 2023) and commercial real estate, making the bank susceptible to fluctuations in property values and local economic shocks in its operating regions.
3. Interest Rate Sensitivity: As a liability-sensitive institution, RBB Bancorp's net interest margin (NIM) and overall profitability are significantly influenced by changes in interest rates. While the company has seen some recent NIM expansion, sustained improvement is largely dependent on a reduction in rates by the Federal Reserve and careful management of deposit costs. Competitive pressures on deposit costs and the need for expense discipline could undermine future profit margin recovery, making the bank vulnerable to unfavorable interest rate movements.

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RBB Bancorp (NASDAQ: RBB) operates primarily through its subsidiary, Royal Business Bank, offering a range of financial products and services. The bank's main offerings include commercial banking services, various types of real estate loans, small business administration (SBA) loans, and a variety of deposit products. RBB Bancorp primarily serves the Chinese-American, Korean-American, and other Asian-American communities, with operations concentrated in California (Los Angeles County, Orange County, Ventura County), Nevada (Clark County), Hawaii (Honolulu), and metropolitan areas in New York (Manhattan, Brooklyn, Queens), Illinois (Chicago), and New Jersey (Edison).

The addressable markets for RBB Bancorp's main products and services are as follows:

• Commercial Banking: The commercial banking industry in California is estimated to have a market size of $125.7 billion in 2025. On a broader scale, the U.S. commercial banking market size is valued at $732.5 billion in 2025 and is projected to reach $915.45 billion by 2030. Commercial lending constituted 44.34% of the U.S. commercial banking market share in 2024.
• Real Estate Loans: The market size for Real Estate Loans & Collateralized Debt in California is estimated at $62.3 billion in 2025. The total U.S. real estate loan market was valued at $3.5 trillion in 2024, within a North American market that generated $3.78 trillion in revenue and accounted for over 33.2% of the global real estate loan market. The global real estate loan market is projected to grow from $11.4 trillion in 2024 to $35.4 trillion by 2034.
• Small Business Loans (including SBA loans): The global small business loan market was valued at $2.5 trillion in 2023 and is projected to reach $7.2 trillion by 2032, growing at a compound annual growth rate (CAGR) of 13.0% from 2024 to 2032. While specific California market size for small business loans was not available, California is a significant hub for small businesses, with various state and federal programs supporting small business financing.
• Deposit Products (Certificates of Deposit): The global certificate of deposit market is valued at $1.96 billion in 2024 and is anticipated to reach $2.77 billion by 2035, exhibiting a CAGR of 3.2% from 2025 to 2035.

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Here are 3-5 expected drivers of future revenue growth for RBB Bancorp (RBB) over the next 2-3 years:

1. Continued Loan Growth: RBB Bancorp anticipates sustained loan growth, with expectations for moderate expansion and stronger loan production in coming quarters. This includes growth across its residential mortgage portfolio, commercial loans, SBA loans, and single-family residential (SFR) balances, which directly contributes to increased net interest income.
2. Net Interest Margin (NIM) Expansion: The company projects incremental improvements in its net interest margin, a trend that has been observed for several consecutive quarters. This expansion is driven by increasing overall loan yields and strategic management of funding costs.
3. Strategic Acquisitions: RBB Bancorp has a stated strategy to pursue growth opportunities through acquisitions, specifically targeting Asian American banks. These acquisitions are intended to be beneficial for long-term growth in both loans and deposits, and immediately accretive to earnings.
4. Targeted Growth within Asian American Communities: The bank's core strategic plan focuses on providing commercial banking services to first-generation immigrants, particularly within the Chinese-American, Korean-American, and other Asian-American communities. Continued execution and potential expansion within these specific demographic markets are expected to drive customer acquisition and deposit growth.
5. Improved Asset Quality and Lower Credit Costs: While not a direct revenue driver, the company's efforts in improving asset quality metrics, such as a decrease in classified and criticized loans and nonperforming assets, coupled with lower credit costs, are expected to contribute to increased net income. This improved financial health supports a more robust lending environment and efficient capital deployment, indirectly fostering revenue growth.

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Share Repurchases

• RBB Bancorp authorized an $18 million stock repurchase plan effective through June 30, 2026. This plan represents approximately 6% of the company's market capitalization as of May 2025.
• In February 2024, the Board of Directors authorized a stock repurchase program to buy back up to 1,000,000 shares, or approximately 5% of its outstanding common stock, through March 31, 2026.
• In the fourth quarter of 2023, RBB Bancorp repurchased 396,374 shares for $6.7 million.
• In May 2022, a stock repurchase program was adopted to repurchase up to 500,000 shares, approximately 2.59% of its outstanding shares.

Inbound Investments

• RBB Bancorp recognized a $5.0 million Community Development Financial Institution (CDFI) Equitable Recovery Program (ERP) award in the fourth quarter of 2023.

Outbound Investments

• In 2021, RBB Bancorp entered into an agreement to acquire the Honolulu, Hawaii branch of the Bank of the Orient, which was completed in January 2022.
• Also in 2021, the company agreed to acquire Gateway Bank, F.S.B. in Oakland, California, with the acquisition expected to be completed in the following months of early 2022.