10-Q 1 hafc-20220930.htm 10-Q 10-Q
http://fasb.org/us-gaap/2022#MarketApproachValuationTechniqueMemberhttp://fasb.org/us-gaap/2022#MarketApproachValuationTechniqueMember2022http://fasb.org/us-gaap/2022#NoninterestIncomeOtherOperatingIncomehttp://fasb.org/us-gaap/2022#NoninterestIncomeOtherOperatingIncomehttp://fasb.org/us-gaap/2022#MarketApproachValuationTechniqueMemberhttp://fasb.org/us-gaap/2022#MarketApproachValuationTechniqueMemberfive yearshttp://fasb.org/us-gaap/2022#PrepaidExpenseAndOtherAssetshttp://fasb.org/us-gaap/2022#PrepaidExpenseAndOtherAssetshttp://fasb.org/us-gaap/2022#AccountsPayableAndAccruedLiabilitiesCurrentAndNoncurrenthttp://fasb.org/us-gaap/2022#MarketApproachValuationTechniqueMemberhttp://fasb.org/us-gaap/2022#NoninterestIncomeOtherOperatingIncome--12-31http://fasb.org/us-gaap/2022#MarketApproachValuationTechniqueMember0001109242http://fasb.org/us-gaap/2022#MarketApproachValuationTechniqueMemberhttp://fasb.org/us-gaap/2022#AccountsPayableAndAccruedLiabilitiesCurrentAndNoncurrenthttp://fasb.org/us-gaap/2022#NoninterestIncomeOtherOperatingIncomehttp://fasb.org/us-gaap/2022#NoninterestIncomeOtherOperatingIncomeQ3http://fasb.org/us-gaap/2022#MarketApproachValuationTechniqueMemberhttp://fasb.org/us-gaap/2022#NoninterestIncomeOtherOperatingIncome2022http://fasb.org/us-gaap/2022#NoninterestIncomeOtherOperatingIncomehttp://fasb.org/us-gaap/2022#MarketApproachValuationTechniqueMemberhttp://fasb.org/us-gaap/2022#MarketApproachValuationTechniqueMemberfalseOne yearhttp://fasb.org/us-gaap/2022#NoninterestIncomeOtherOperatingIncomeOne year0001109242hafc:TwoThousandAndTwentyOneSubordinatedNotesMember2021-08-200001109242us-gaap:FairValueInputsLevel3Memberhafc:USGovernmentAgenciesDebtSecuritiesAndUSGovernmentSponsoredEnterprisesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:LoansReceivableMemberhafc:AccruedInterestReceivableMember2021-12-3100011092422022-01-012022-09-300001109242us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:SpecialMentionMember2021-12-310001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242us-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:PassMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMember2021-12-310001109242us-gaap:CommonStockMember2021-06-300001109242hafc:RealEstateLoansMemberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:TreasuryStockMember2021-01-012021-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonPurchasedCreditImpairedCreditMember2022-06-300001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:RealEstatePortfolioSegmentMember2022-07-012022-09-300001109242us-gaap:USGovernmentAgenciesDebtSecuritiesMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMemberhafc:RealEstateLoansCommercialPropertyOtherLoansMember2022-09-300001109242us-gaap:RetainedEarningsMember2022-06-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMemberhafc:RealEstateLoansCommercialPropertyOtherLoansMember2021-12-310001109242hafc:UnusedCommitmentsToExtendCreditMember2022-09-300001109242us-gaap:NonperformingFinancingReceivableMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242hafc:RealEstateResidentialLoanMemberus-gaap:FinancialAssetNotPastDueMember2022-09-3000011092422022-07-012022-09-300001109242us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242hafc:ClassifiedGradeMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242hafc:RealEstateLoansCommercialPropertyHospitalityLoansMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242hafc:RealEstateLoansConstructionLoansMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242us-gaap:FairValueInputsLevel2Memberus-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:FairValueInputsLevel2Memberhafc:USGovernmentAgenciesDebtSecuritiesAndUSGovernmentSponsoredEnterprisesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:RealEstatePortfolioSegmentMember2021-07-012021-09-300001109242us-gaap:CommonStockMember2022-01-012022-09-300001109242us-gaap:PerformanceSharesMemberhafc:TwoThousandAndThirteenEquityCompensationPlanMember2022-01-012022-09-300001109242us-gaap:InterestRateContractMemberus-gaap:NondesignatedMember2021-12-310001109242us-gaap:USGovernmentAgenciesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:AdditionalPaidInCapitalMember2022-06-300001109242hafc:PPPLoansMember2021-07-012021-09-300001109242us-gaap:SubordinatedDebtMemberhafc:CentralBancorpIncMember2022-09-300001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:RealEstatePortfolioSegmentMember2022-01-012022-09-300001109242us-gaap:FairValueInputsLevel1Memberhafc:USGovernmentAgenciesDebtSecuritiesAndUSGovernmentSponsoredEnterprisesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:CommonStockMember2022-06-300001109242hafc:UninsuredTimeDeposits250000OrMoreMember2022-09-300001109242hafc:OtherRealEstateOwnedMembersrt:MaximumMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:DerivativeFinancialInstrumentsAssetsMember2021-12-310001109242us-gaap:StandbyLettersOfCreditMember2022-09-300001109242us-gaap:TreasuryStockMember2022-06-300001109242us-gaap:TreasuryStockMember2022-09-300001109242us-gaap:FinancingReceivables60To89DaysPastDueMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyOtherLoansMember2021-12-310001109242us-gaap:SubordinatedDebtMemberhafc:CentralBancorpIncMember2022-07-012022-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMemberhafc:RealEstateLoansCommercialPropertyOtherLoansMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyRetailLoansMemberus-gaap:FinancialAssetNotPastDueMember2022-09-300001109242hafc:SBALoansMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonPurchasedCreditImpairedCreditMember2020-12-310001109242hafc:RealEstatePortfolioSegmentMember2022-07-012022-09-300001109242us-gaap:USGovernmentAgenciesDebtSecuritiesMemberus-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:CommonStockMember2021-07-012021-09-300001109242us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2022-09-300001109242us-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:PassMember2022-09-300001109242hafc:RealEstateLoansMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242hafc:PPPLoansMember2021-01-012021-09-300001109242srt:FederalHomeLoanBankOfSanFranciscoMember2021-12-310001109242us-gaap:HomeEquityLoanMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMemberus-gaap:PerformingFinancingReceivableMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonPurchasedCreditImpairedCreditMember2022-07-012022-09-300001109242hafc:TwoThousandAndTwentyOneSubordinatedNotesMember2022-09-300001109242hafc:RealEstateLoansCommercialPropertyHospitalityLoansMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2021-12-310001109242us-gaap:USTreasurySecuritiesMembersrt:SubsidiariesMember2022-09-300001109242hafc:RealEstateLoansConstructionLoansMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:PerformingFinancingReceivableMember2021-12-310001109242us-gaap:CommonStockMember2022-09-300001109242us-gaap:TreasuryStockMember2020-12-310001109242srt:MinimumMember2022-09-300001109242hafc:ClassifiedGradeMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMember2021-01-012021-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonPurchasedCreditImpairedCreditMember2021-12-310001109242hafc:NonaccrualTDRsMemberus-gaap:PaymentDeferralMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMember2022-06-300001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-01-012022-09-300001109242hafc:RealEstateLoansCommercialPropertyOtherLoansIncludingGasStationsMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMember2022-01-012022-09-300001109242us-gaap:PassMember2021-12-310001109242us-gaap:EmployeeStockOptionMember2022-07-012022-09-300001109242us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-12-310001109242us-gaap:FinancingReceivables60To89DaysPastDueMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-09-300001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMember2022-06-300001109242us-gaap:AdditionalPaidInCapitalMember2020-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMember2022-01-012022-09-300001109242hafc:RealEstateLoansConstructionLoansMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2021-12-310001109242us-gaap:InterestRateContractMemberus-gaap:NondesignatedMember2022-01-012022-09-300001109242us-gaap:AdditionalPaidInCapitalMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:FinancingReceivables60To89DaysPastDueMember2021-12-310001109242us-gaap:FairValueInputsLevel2Memberus-gaap:NontaxableMunicipalBondsMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:NonperformingFinancingReceivableMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:PassMember2021-12-310001109242hafc:OtherTimeDepositsMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMember2021-12-310001109242us-gaap:PerformanceSharesMemberhafc:TwoThousandAndThirteenEquityCompensationPlanMember2021-01-012021-09-300001109242hafc:TwoThousandAndTwentySevenSubordinatedNotesMember2022-09-300001109242us-gaap:FairValueInputsLevel2Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2022-09-300001109242us-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:USGovernmentAgenciesDebtSecuritiesMember2021-12-310001109242srt:MinimumMember2021-01-012021-12-310001109242hafc:RealEstateLoansCommercialPropertyHospitalityLoansMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242srt:MinimumMemberhafc:USGovernmentAndAgenciesSecuritiesMember2022-09-300001109242us-gaap:OtherIncomeMember2021-01-012021-09-300001109242us-gaap:CommonStockMember2022-07-012022-09-300001109242hafc:OtherRealEstateOwnedMembersrt:MinimumMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:FairValueInputsLevel3Memberus-gaap:USTreasurySecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:DerivativeFinancialInstrumentsAssetsMember2022-09-300001109242us-gaap:FairValueInputsLevel2Memberus-gaap:USGovernmentAgenciesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:RetainedEarningsMember2022-07-012022-09-300001109242us-gaap:FairValueInputsLevel2Memberus-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-3100011092422021-06-300001109242us-gaap:LoansReceivableMemberhafc:AccruedInterestReceivableMember2022-09-300001109242us-gaap:SpecialMentionMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:PerformingFinancingReceivableMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMember2020-12-310001109242hafc:OtherRealEstateOwnedMemberus-gaap:FairValueInputsLevel3Membersrt:WeightedAverageMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMemberus-gaap:FinancialAssetNotPastDueMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateLoansCommercialPropertyRetailLoansMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:NonperformingFinancingReceivableMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242us-gaap:OtherIncomeMember2021-07-012021-09-3000011092422021-07-012021-09-300001109242hafc:RealEstateLoansCommercialPropertyOtherLoansIncludingGasStationsMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Membersrt:WeightedAverageMemberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:USGovernmentAgenciesDebtSecuritiesMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:FairValueInputsLevel3Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2022-09-300001109242us-gaap:CollateralizedMortgageObligationsMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-12-310001109242us-gaap:PerformingFinancingReceivableMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-12-310001109242us-gaap:CoreDepositsMember2022-09-300001109242hafc:NonaccrualTDRsMemberhafc:DeferralOfPrincipalAndInterestsMemberhafc:RealEstatePortfolioSegmentMember2021-12-3100011092422020-12-310001109242hafc:PaymentProtectionProgramMember2021-12-310001109242hafc:OtherTimeDepositsMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonPurchasedCreditImpairedCreditMember2021-06-300001109242hafc:ClassifiedGradeMember2022-09-300001109242us-gaap:SubordinatedDebtMemberhafc:CentralBancorpIncMemberhafc:ThreeMonthLondonInterbankOfferedRateLIBORMember2005-12-012005-12-310001109242us-gaap:SpecialMentionMember2022-09-300001109242us-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMemberus-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:FairValueInputsLevel1Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2022-09-300001109242us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:OtherIncomeMember2022-07-012022-09-300001109242us-gaap:CollateralizedMortgageObligationsMember2022-09-300001109242us-gaap:USGovernmentAgenciesDebtSecuritiesMember2022-09-300001109242us-gaap:PerformingFinancingReceivableMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-09-300001109242us-gaap:DerivativeFinancialInstrumentsLiabilitiesMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2020-12-310001109242us-gaap:AdditionalPaidInCapitalMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMemberus-gaap:PerformingFinancingReceivableMember2021-12-310001109242us-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMemberus-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-09-300001109242hafc:NonaccrualTDRsMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:ContractualInterestRateReductionMember2022-09-300001109242us-gaap:FinancingReceivables60To89DaysPastDueMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyOtherLoansMember2021-12-310001109242us-gaap:FinancialAssetNotPastDueMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMember2021-07-012021-09-300001109242us-gaap:FairValueInputsLevel1Memberus-gaap:USTreasurySecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:SubordinatedDebtMemberhafc:CentralBancorpIncMember2022-01-012022-09-300001109242us-gaap:AdditionalPaidInCapitalMember2021-09-300001109242srt:MaximumMember2021-01-012021-12-310001109242srt:MaximumMemberhafc:RealEstateLoansCommercialPropertyOtherLoansIncludingGasStationsMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:FairValueInputsLevel1Memberus-gaap:CollateralizedMortgageObligationsMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:USGovernmentAgenciesDebtSecuritiesMemberus-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242hafc:ClassifiedGradeMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMember2021-09-300001109242us-gaap:FairValueInputsLevel3Memberus-gaap:NontaxableMunicipalBondsMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242hafc:CommercialLettersOfCreditMember2021-12-310001109242us-gaap:PassMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242hafc:RepossessedPersonalPropertyMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:NonperformingFinancingReceivableMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMember2022-09-300001109242us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-01-012022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:ClassifiedGradeMember2021-12-310001109242hafc:NonaccrualTDRsMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:ContractualInterestRateReductionMember2021-12-310001109242us-gaap:FairValueInputsLevel2Memberus-gaap:USGovernmentAgenciesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:RealEstateResidentialLoanMember2022-09-300001109242srt:MaximumMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateLoansCommercialPropertyRetailLoansMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:CoreDepositsMember2021-12-310001109242hafc:UninsuredTimeDeposits250000OrMoreMember2021-12-3100011092422019-01-010001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-12-310001109242hafc:TwoThousandAndTwentySevenSubordinatedNotesMember2017-03-210001109242hafc:CommercialAndIndustrialPortfolioSegmentMember2021-07-012021-09-300001109242us-gaap:NontaxableMunicipalBondsMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyRetailLoansMember2022-09-300001109242hafc:USGovernmentAgenciesDebtSecuritiesAndUSGovernmentSponsoredEnterprisesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:DerivativeFinancialInstrumentsLiabilitiesMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonaccrualTDRsMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:ClassifiedGradeMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMember2021-06-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:FairValueInputsLevel2Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-12-310001109242hafc:NonaccrualTDRsMemberhafc:DeferralOfPrincipalAndInterestsMember2022-09-300001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:RealEstateLoansCommercialPropertyHospitalityLoansMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242us-gaap:NonperformingFinancingReceivableMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-12-310001109242us-gaap:AdditionalPaidInCapitalMember2021-01-012021-09-300001109242us-gaap:CollateralizedMortgageObligationsMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:SpecialMentionMember2022-09-300001109242us-gaap:OtherIncomeMember2022-01-012022-09-300001109242us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-06-300001109242hafc:NonPurchasedCreditImpairedCreditMember2022-01-012022-09-300001109242us-gaap:CommonStockMember2021-09-300001109242us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-06-300001109242us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:SpecialMentionMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2022-09-300001109242hafc:DepositInstitutionsMember2022-09-300001109242us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-09-300001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyRetailLoansMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateResidentialLoanMembersrt:WeightedAverageMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242hafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-12-310001109242us-gaap:FairValueInputsLevel3Memberus-gaap:NontaxableMunicipalBondsMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-06-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:NonperformingFinancingReceivableMember2022-09-300001109242us-gaap:NonperformingFinancingReceivableMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMemberus-gaap:PerformingFinancingReceivableMember2021-12-310001109242srt:MinimumMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateResidentialLoanMemberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:RealEstatePortfolioSegmentMember2021-09-300001109242hafc:NonPurchasedCreditImpairedCreditMember2021-01-012021-09-3000011092422021-12-310001109242us-gaap:NontaxableMunicipalBondsMember2021-12-310001109242hafc:RepossessedPersonalPropertyMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2022-09-300001109242us-gaap:CommonStockMember2021-01-012021-09-300001109242us-gaap:PassMember2022-09-300001109242srt:MaximumMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateResidentialLoanMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyRetailLoansMember2021-12-310001109242us-gaap:NontaxableMunicipalBondsMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:NonaccrualTDRsMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:PaymentDeferralMember2022-09-300001109242us-gaap:EmployeeStockOptionMember2021-07-012021-09-300001109242us-gaap:FairValueInputsLevel1Memberus-gaap:CollateralizedMortgageObligationsMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242hafc:ClassifiedGradeMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:RealEstatePortfolioSegmentMember2021-01-012021-09-300001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:RealEstateResidentialLoanMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:RealEstatePortfolioSegmentMember2021-06-300001109242us-gaap:AdditionalPaidInCapitalMember2021-07-012021-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMember2021-01-012021-09-300001109242us-gaap:NonperformingFinancingReceivableMember2022-09-3000011092422021-01-012021-09-300001109242us-gaap:NondesignatedMember2022-07-012022-09-300001109242hafc:OtherRealEstateOwnedMemberus-gaap:FairValueInputsLevel3Membersrt:WeightedAverageMemberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242hafc:LoansPledgedToSecureAdvancesMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonaccrualTDRsMember2022-09-300001109242us-gaap:USTreasurySecuritiesMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-07-012021-09-300001109242hafc:DerivativeAssetsCashCollateralReceivedMember2022-09-300001109242us-gaap:FairValueInputsLevel2Memberus-gaap:NontaxableMunicipalBondsMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:ClassifiedGradeMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMember2022-09-300001109242us-gaap:AdditionalPaidInCapitalMember2021-06-300001109242hafc:NonPurchasedCreditImpairedCreditMember2021-06-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateLoansCommercialPropertyRetailLoansMemberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:PerformanceSharesMemberhafc:TwoThousandAndThirteenEquityCompensationPlanMember2022-09-300001109242hafc:RealEstateLoansConstructionLoansMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2022-09-300001109242hafc:TwoThousandAndTwentyOneEquityCompensationPlanMemberus-gaap:PerformanceSharesMember2022-01-012022-09-300001109242hafc:RealEstateLoansCommercialPropertyOtherLoansIncludingGasStationsMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-12-310001109242us-gaap:SubordinatedDebtMemberhafc:CentralBancorpIncMember2005-12-310001109242us-gaap:RetainedEarningsMember2021-01-012021-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMemberhafc:RealEstateLoansCommercialPropertyLoanMember2022-09-300001109242hafc:CBIMergerMember2016-10-272016-10-270001109242srt:MaximumMemberhafc:RealEstateLoansCommercialPropertyOtherLoansIncludingGasStationsMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:FinancingReceivables60To89DaysPastDueMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2021-12-310001109242us-gaap:RetainedEarningsMember2021-06-300001109242srt:ParentCompanyMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:PerformingFinancingReceivableMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMember2021-12-310001109242us-gaap:FairValueInputsLevel2Memberus-gaap:USTreasurySecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242hafc:USGovernmentAgenciesDebtSecuritiesAndUSGovernmentSponsoredEnterprisesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:RealEstatePortfolioSegmentMember2020-12-310001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMemberus-gaap:PerformingFinancingReceivableMember2022-09-300001109242hafc:RealEstateLoansConstructionLoansMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242us-gaap:PassMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2021-12-310001109242srt:ParentCompanyMember2021-12-310001109242us-gaap:InterestRateContractMemberus-gaap:NondesignatedMember2021-07-012021-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:PerformingFinancingReceivableMember2022-09-300001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:FinancingReceivables60To89DaysPastDueMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2022-09-300001109242us-gaap:FairValueInputsLevel2Memberus-gaap:USTreasurySecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMember2021-06-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonaccrualTDRsMemberhafc:DeferralOfPrincipalAndInterestsMember2022-09-300001109242us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242hafc:DeferralOfPrincipalAndInterestsMemberhafc:RealEstatePortfolioSegmentMemberhafc:AccrualTDRsMember2022-09-300001109242us-gaap:SubordinatedDebtMemberhafc:CentralBancorpIncMember2021-12-310001109242us-gaap:FairValueInputsLevel1Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-12-3100011092422021-01-012021-12-3100011092422017-03-212017-03-210001109242us-gaap:NontaxableMunicipalBondsMember2022-09-300001109242hafc:ThirdPartyOriginatorsIntangibleMemberhafc:CBIMergerMember2016-10-272016-10-270001109242hafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-09-300001109242us-gaap:FinancingReceivables30To59DaysPastDueMember2022-09-300001109242hafc:RealEstateLoansCommercialPropertyOtherLoansIncludingGasStationsMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Membersrt:WeightedAverageMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:FairValueInputsLevel2Memberus-gaap:CollateralizedMortgageObligationsMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242hafc:TwoThousandAndTwentyOneSubordinatedNotesMember2021-08-202021-08-200001109242us-gaap:NondesignatedMember2021-07-012021-09-300001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-09-300001109242hafc:RealEstateResidentialLoanMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonPurchasedCreditImpairedCreditMember2021-07-012021-09-300001109242hafc:ClassifiedGradeMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2022-09-300001109242hafc:PaymentProtectionProgramMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonPurchasedCreditImpairedCreditMember2022-01-012022-09-300001109242us-gaap:TreasuryStockMember2022-07-012022-09-300001109242us-gaap:SubordinatedDebtMemberhafc:CentralBancorpIncMember2021-01-012021-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMemberhafc:RealEstateLoansCommercialPropertyOtherLoansMember2021-12-3100011092422022-06-300001109242us-gaap:StandbyLettersOfCreditMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:FinancingReceivables30To59DaysPastDueMember2022-09-300001109242us-gaap:CoreDepositsMemberhafc:CBIMergerMember2014-08-312014-08-310001109242us-gaap:RetainedEarningsMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyOtherLoansMember2022-09-3000011092422022-11-020001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMember2022-09-300001109242us-gaap:SpecialMentionMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242hafc:UnusedCommitmentsToExtendCreditMember2021-12-310001109242us-gaap:FairValueInputsLevel3Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateResidentialLoanMembersrt:WeightedAverageMemberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:PassMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242srt:MaximumMember2022-01-012022-09-300001109242hafc:DeferralOfPrincipalAndInterestsMemberhafc:AccrualTDRsMember2022-09-300001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2022-09-300001109242us-gaap:CollateralizedMortgageObligationsMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyOtherLoansMember2021-12-310001109242us-gaap:CommonStockMember2020-12-310001109242hafc:TimeDeposits250000orMoreMember2022-09-300001109242us-gaap:NonperformingFinancingReceivableMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2022-09-300001109242us-gaap:InterestRateContractMemberus-gaap:NondesignatedMember2022-07-012022-09-300001109242hafc:CommercialLettersOfCreditMember2022-09-300001109242us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-07-012022-09-300001109242us-gaap:AdditionalPaidInCapitalMember2022-07-012022-09-300001109242us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-09-300001109242us-gaap:InterestRateContractMemberus-gaap:NondesignatedMember2021-01-012021-09-3000011092422022-09-300001109242hafc:ClassifiedGradeMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMember2021-12-310001109242hafc:USGovernmentAgenciesDebtSecuritiesAndUSGovernmentSponsoredEnterprisesDebtSecuritiesMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonPurchasedCreditImpairedCreditMember2021-01-012021-09-300001109242us-gaap:NondesignatedMember2021-01-012021-09-300001109242us-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:InterestRateContractMemberus-gaap:NondesignatedMember2022-09-300001109242hafc:NonaccrualTDRsMember2022-09-300001109242srt:MinimumMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateResidentialLoanMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:SpecialMentionMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMember2022-09-300001109242us-gaap:NonperformingFinancingReceivableMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2021-12-310001109242us-gaap:PassMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-09-300001109242hafc:ClassifiedGradeMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2021-12-310001109242us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-09-300001109242hafc:NonPurchasedCreditImpairedCreditMember2022-06-300001109242us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-01-012021-09-300001109242us-gaap:CollateralizedMortgageObligationsMember2021-12-310001109242us-gaap:CommonStockMember2021-12-310001109242srt:MaximumMemberhafc:OtherRealEstateOwnedMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:TreasuryStockMember2021-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateLoansCommercialPropertyRetailLoansMembersrt:WeightedAverageMemberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMemberus-gaap:FinancialAssetNotPastDueMember2022-09-300001109242hafc:NonPurchasedCreditImpairedCreditMember2022-09-300001109242us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-12-310001109242srt:MinimumMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateLoansCommercialPropertyRetailLoansMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:CoreDepositsMember2022-01-012022-09-300001109242us-gaap:FinancingReceivables30To59DaysPastDueMember2021-12-310001109242us-gaap:PassMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-12-3100011092422021-09-300001109242us-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMember2021-12-310001109242us-gaap:PerformingFinancingReceivableMember2021-12-310001109242us-gaap:SpecialMentionMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMember2021-12-310001109242us-gaap:SpecialMentionMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateResidentialLoanMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-07-012022-09-300001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:RealEstateLoansCommercialPropertyHospitalityLoansMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonaccrualTDRsMemberhafc:DeferralOfPrincipalAndInterestsMember2021-12-310001109242hafc:TwoThousandAndTwentySevenSubordinatedNotesMember2021-12-310001109242us-gaap:USTreasurySecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242srt:MinimumMember2022-01-012022-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateLoansCommercialPropertyRetailLoansMembersrt:WeightedAverageMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:TreasuryStockMember2021-12-310001109242hafc:NonaccrualTDRsMember2021-12-310001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyOtherLoansMember2022-09-300001109242us-gaap:SubordinatedDebtMemberhafc:CentralBancorpIncMember2014-12-310001109242us-gaap:NonperformingFinancingReceivableMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-09-300001109242us-gaap:PerformingFinancingReceivableMember2022-09-300001109242hafc:ThirdPartyOriginatorsIntangibleMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonPurchasedCreditImpairedCreditMember2022-09-300001109242us-gaap:FinancingReceivables30To59DaysPastDueMemberhafc:RealEstateResidentialLoanMember2022-09-300001109242hafc:NonaccrualTDRsMemberhafc:DeferralOfPrincipalAndInterestsMember2021-12-310001109242us-gaap:RetainedEarningsMember2021-12-310001109242srt:MaximumMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateLoansCommercialPropertyRetailLoansMemberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242hafc:RealEstateLoansCommercialPropertyHospitalityLoansMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2022-09-300001109242srt:MinimumMemberhafc:RealEstateLoansCommercialPropertyOtherLoansIncludingGasStationsMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242us-gaap:FinancingReceivables60To89DaysPastDueMemberhafc:RealEstateResidentialLoanMember2021-12-310001109242us-gaap:FinancialAssetNotPastDueMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-09-300001109242hafc:NonaccrualTDRsMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242us-gaap:PassMemberhafc:RealEstateLoansConstructionLoansMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242hafc:NonaccrualTDRsMemberus-gaap:ContractualInterestRateReductionMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMember2022-09-300001109242us-gaap:SpecialMentionMemberhafc:RealEstateLoansConstructionLoansMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMember2021-07-012021-09-300001109242us-gaap:TreasuryStockMember2022-01-012022-09-300001109242us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242srt:SubsidiariesMember2022-09-300001109242us-gaap:FairValueInputsLevel1Memberus-gaap:USTreasurySecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMember2021-12-310001109242hafc:DerivativeAssetsCashCollateralReceivedMember2021-12-310001109242us-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMember2022-09-300001109242us-gaap:USTreasurySecuritiesMember2022-09-300001109242hafc:RealEstateResidentialLoanMemberus-gaap:FinancialAssetNotPastDueMember2021-12-310001109242us-gaap:FinancingReceivables60To89DaysPastDueMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-12-310001109242hafc:TwoThousandAndTwentySevenSubordinatedNotesMemberhafc:ThreeMonthLondonInterbankOfferedRateLIBORMember2017-03-212017-03-210001109242hafc:NonaccrualTDRsMemberus-gaap:PaymentDeferralMember2022-09-300001109242us-gaap:FairValueInputsLevel2Memberus-gaap:CollateralizedMortgageObligationsMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:NonperformingFinancingReceivableMember2021-12-310001109242us-gaap:FairValueInputsLevel2Memberhafc:USGovernmentAgenciesDebtSecuritiesAndUSGovernmentSponsoredEnterprisesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:FairValueInputsLevel1Memberhafc:USGovernmentAgenciesDebtSecuritiesAndUSGovernmentSponsoredEnterprisesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMemberhafc:RealEstateResidentialLoanMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMember2022-09-300001109242us-gaap:USTreasurySecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:CollateralizedMortgageObligationsMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:PassMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMember2022-09-300001109242hafc:TwoThousandAndTwentyOneSubordinatedNotesMember2021-12-310001109242us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:USGovernmentAgenciesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:NonaccrualTDRsMemberus-gaap:ContractualInterestRateReductionMember2022-09-300001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2022-09-300001109242hafc:OtherRealEstateOwnedMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:PerformingFinancingReceivableMember2022-09-300001109242us-gaap:FinancialAssetNotPastDueMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-12-310001109242us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateResidentialLoanMemberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-07-012021-09-300001109242us-gaap:FinancingReceivables60To89DaysPastDueMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateResidentialLoanMember2021-12-3100011092422021-08-202021-08-200001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242hafc:AccrualTDRsMember2022-09-300001109242us-gaap:FairValueInputsLevel3Memberus-gaap:USTreasurySecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242us-gaap:FairValueInputsLevel3Memberhafc:USGovernmentAgenciesDebtSecuritiesAndUSGovernmentSponsoredEnterprisesDebtSecuritiesMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242srt:MaximumMember2022-09-300001109242us-gaap:PassMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:FinancingReceivables30To59DaysPastDueMember2021-12-310001109242us-gaap:TreasuryStockMember2021-06-300001109242hafc:OtherRealEstateOwnedMembersrt:MinimumMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:RetainedEarningsMember2021-09-300001109242hafc:NonPurchasedCreditImpairedCreditMember2022-07-012022-09-300001109242hafc:TimeDeposits250000orMoreMember2021-12-310001109242hafc:RealEstatePortfolioSegmentMember2020-12-310001109242hafc:RealEstatePortfolioSegmentMemberhafc:AccrualTDRsMember2022-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2022-09-300001109242us-gaap:RetainedEarningsMember2021-07-012021-09-300001109242hafc:OtherRealEstateOwnedMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:SpecialMentionMemberhafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyLoanMember2021-12-310001109242hafc:PersonalLoansMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242us-gaap:AdditionalPaidInCapitalMember2022-01-012022-09-300001109242hafc:RealEstateLoansCommercialPropertyOtherLoansIncludingGasStationsMembersrt:MinimumMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242srt:MinimumMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateLoansCommercialPropertyRetailLoansMemberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242srt:MaximumMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberhafc:RealEstateResidentialLoanMemberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242srt:SubsidiariesMember2021-12-310001109242hafc:ThirdPartyOriginatorsIntangibleMember2021-12-310001109242us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberhafc:NonPurchasedCreditImpairedCreditMember2021-09-300001109242us-gaap:FairValueInputsLevel1Memberus-gaap:NontaxableMunicipalBondsMemberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:SBALoansMember2022-09-300001109242us-gaap:PerformanceSharesMemberhafc:TwoThousandAndThirteenEquityCompensationPlanMember2021-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMemberus-gaap:FinancialAssetNotPastDueMember2021-12-310001109242hafc:ThirdPartyOriginatorsIntangibleMember2022-01-012022-09-300001109242us-gaap:FairValueInputsLevel1Memberus-gaap:NontaxableMunicipalBondsMemberus-gaap:FairValueMeasurementsRecurringMember2022-09-300001109242hafc:RealEstateResidentialLoanMember2021-12-310001109242us-gaap:FinancialAssetNotPastDueMember2022-09-300001109242hafc:RealEstateLoansCommercialPropertyOtherLoansIncludingGasStationsMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242hafc:ClassifiedGradeMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2021-01-012021-09-300001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMemberhafc:RealEstateLoansCommercialPropertyLoanMember2021-12-310001109242us-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242us-gaap:RetainedEarningsMember2022-01-012022-09-300001109242us-gaap:PassMemberhafc:RealEstateLoansConstructionLoansMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242us-gaap:SubordinatedDebtMemberhafc:CentralBancorpIncMember2021-07-012021-09-300001109242hafc:TwoThousandAndTwentyOneSubordinatedNotesMemberhafc:BenchmarkRateMember2021-08-202021-08-200001109242hafc:NonaccrualTDRsMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:PaymentDeferralMember2021-12-310001109242us-gaap:HomeEquityLoanMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242hafc:CommercialAndIndustrialPortfolioSegmentMember2021-09-300001109242hafc:NonPurchasedCreditImpairedCreditMember2020-12-310001109242hafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-300001109242us-gaap:TreasuryStockMember2021-07-012021-09-300001109242us-gaap:FinancingReceivables60To89DaysPastDueMember2021-12-310001109242srt:FederalHomeLoanBankOfSanFranciscoMember2022-09-300001109242hafc:NonPurchasedCreditImpairedCreditMember2021-09-300001109242hafc:LoansPledgedToSecureAdvancesMember2021-12-310001109242us-gaap:MortgageBackedSecuritiesIssuedByUSGovernmentSponsoredEnterprisesMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2021-12-310001109242hafc:NonaccrualTDRsMemberhafc:RealEstatePortfolioSegmentMember2022-09-300001109242hafc:PersonalLoansMemberhafc:RealEstatePortfolioSegmentMember2021-12-310001109242hafc:USGovernmentAgenciesDebtSecuritiesAndUSGovernmentSponsoredEnterprisesDebtSecuritiesMember2021-12-310001109242us-gaap:RetainedEarningsMember2020-12-310001109242hafc:RealEstatePortfolioSegmentMemberhafc:RealEstateLoansCommercialPropertyRetailLoansMemberus-gaap:FinancialAssetNotPastDueMember2021-12-310001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:EquipmentFinancingAgreementsPortfolioSegmentMember2022-06-300001109242hafc:NonPurchasedCreditImpairedCreditMemberhafc:RealEstatePortfolioSegmentMember2022-06-300001109242hafc:RealEstateLoansCommercialPropertyOtherLoansIncludingGasStationsMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-12-310001109242hafc:CommercialAndIndustrialPortfolioSegmentMember2022-07-012022-09-300001109242us-gaap:NondesignatedMember2022-01-012022-09-300001109242hafc:RealEstateLoansConstructionLoansMemberhafc:RealEstatePortfolioSegmentMemberus-gaap:PerformingFinancingReceivableMember2022-09-300001109242us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMember2022-09-30hafc:Loanxbrli:purehafc:Securityxbrli:sharesiso4217:USDxbrli:sharesiso4217:USD

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-Q

 

 

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the Quarterly Period Ended September 30, 2022

or

 

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the Transition Period From To

Commission File Number: 000-30421

HANMI FINANCIAL CORPORATION

(Exact Name of Registrant as Specified in its Charter)

 

Delaware

 

95-4788120

(State or Other Jurisdiction of

 

(I.R.S. Employer

Incorporation or Organization)

 

Identification No.)

 

900 Wilshire Boulevard, Suite 1250

 

 

Los Angeles, California

 

90017

(Address of Principal Executive Offices)

 

(Zip Code)

(213) 382-2200

(Registrant’s Telephone Number, Including Area Code)

Not Applicable

(Former Name, Former Address and Former Fiscal Year, If Changed Since Last Report)

Securities Registered Pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange on which registered

Common Stock, $0.001 par value

 

HAFC

 

Nasdaq Global Select Market

 

Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes No

Indicate by check mark whether the Registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the Registrant was required to submit such files). Yes No

Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer

 

 

Accelerated filer

 

 

 

 

 

 

 

 

Non-accelerated filer

 

 

Smaller reporting company

 

 

 

 

 

 

 

 

 

 

 

 

Emerging Growth Company

 

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes No

As of November 2, 2022, there were 30,486,115 outstanding shares of the Registrant’s Common Stock.

 

 


 

Hanmi Financial Corporation and Subsidiaries Quarterly Report on Form 10-Q

Three Months Ended September 30, 2022

Table of Contents

 

 

 

Part I – Financial Information

 

 

 

 

 

 

 

Item 1.

 

Financial Statements

 

3

 

 

 

 

 

 

 

Consolidated Balance Sheets at September 30, 2022 (unaudited) and December 31, 2021

 

3

 

 

 

 

 

 

 

Consolidated Statements of Income for the three and nine months ended September 30, 2022 and 2021 (unaudited)

 

4

 

 

 

 

 

 

 

Consolidated Statements of Comprehensive Income (Loss) for the three and nine months ended September 30, 2022 and 2021 (unaudited)

 

5

 

 

 

 

 

 

 

Consolidated Statements of Changes in Stockholders’ Equity for the three and nine months ended September 30, 2022 and 2021 (unaudited)

 

6

 

 

 

 

 

 

 

Consolidated Statements of Cash Flows for the nine months ended September 30, 2022 and 2021 (unaudited)

 

8

 

 

 

 

 

 

 

Notes to Consolidated Financial Statements (unaudited)

 

9

 

 

 

 

 

Item 2.

 

Management’s Discussion and Analysis of Financial Condition and Results of Operations

 

40

 

 

 

 

 

Item 3.

 

Quantitative and Qualitative Disclosures About Market Risk

 

59

 

 

 

 

 

Item 4.

 

Controls and Procedures

 

59

 

 

 

 

 

 

 

Part II – Other Information

 

 

 

 

 

 

 

Item 1.

 

Legal Proceedings

 

60

 

 

 

 

 

Item 1A.

 

Risk Factors

 

60

 

 

 

 

 

Item 2.

 

Unregistered Sales of Equity Securities and Use of Proceeds

 

60

 

 

 

 

 

Item 3.

 

Defaults Upon Senior Securities

 

60

 

 

 

 

 

Item 4.

 

Mine Safety Disclosures

 

60

 

 

 

 

 

Item 5.

 

Other Information

 

60

 

 

 

 

 

Item 6.

 

Exhibits

 

61

 

 

 

Signatures

 

62

 

2


 

Part I — Financial Information

Item 1. Financial Statements

Hanmi Financial Corporation and Subsidiaries

Consolidated Balance Sheets

(in thousands, except share data)

 

 

 

September 30,

 

 

December 31,

 

 

 

2022

 

 

2021

 

 

 

(Unaudited)

 

 

 

 

Assets

 

 

 

 

 

 

Cash and due from banks

 

$

275,159

 

 

$

608,965

 

Securities available for sale, at fair value (amortized cost of $967,383 and $922,654 as of September 30, 2022 and December 31, 2021, respectively)

 

 

830,151

 

 

 

910,790

 

Loans held for sale, at the lower of cost or fair value

 

 

10,044

 

 

 

13,342

 

Loans receivable, net of allowance for credit losses of $71,584 and $72,557 as of September 30, 2022 and December 31, 2021, respectively

 

 

5,729,407

 

 

 

5,078,984

 

Accrued interest receivable

 

 

15,356

 

 

 

11,976

 

Premises and equipment, net

 

 

23,591

 

 

 

24,788

 

Customers' liability on acceptances

 

 

200

 

 

 

 

Servicing assets

 

 

7,424

 

 

 

7,080

 

Goodwill and other intangible assets, net

 

 

11,267

 

 

 

11,395

 

Federal Home Loan Bank ("FHLB") stock, at cost

 

 

16,385

 

 

 

16,385

 

Income tax assets

 

 

66,217

 

 

 

44,060

 

Bank-owned life insurance

 

 

55,641

 

 

 

54,905

 

Prepaid expenses and other assets

 

 

87,669

 

 

 

75,917

 

Total assets

 

$

7,128,511

 

 

$

6,858,587

 

 

 

 

 

 

 

 

Liabilities and Stockholders’ Equity

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

Deposits:

 

 

 

 

 

 

Noninterest-bearing

 

$

2,771,498

 

 

$

2,574,517

 

Interest-bearing

 

 

3,429,878

 

 

 

3,211,752

 

Total deposits

 

 

6,201,376

 

 

 

5,786,269

 

Accrued interest payable

 

 

2,180

 

 

 

1,161

 

Bank's liability on acceptances

 

 

200

 

 

 

 

Borrowings

 

 

100,000

 

 

 

137,500

 

Subordinated debentures ($136,800 and $224,100 face amount less unamortized discount and debt issuance costs of $7,539 and $9,094 as of September 30, 2022 and December 31, 2021, respectively)

 

 

129,261

 

 

 

215,006

 

Accrued expenses and other liabilities

 

 

86,601

 

 

 

75,234

 

Total liabilities

 

 

6,519,618

 

 

 

6,215,170

 

Stockholders’ equity:

 

 

 

 

 

 

Preferred stock, $0.001 par value; authorized 10,000,000 shares; no shares issued as of September 30, 2022 and December 31, 2021

 

 

 

 

 

 

Common stock, $0.001 par value; authorized 62,500,000 shares; issued 33,705,973 shares (30,484,004 shares outstanding) and 33,603,839 shares (30,407,261 shares outstanding) as of September 30, 2022 and December 31, 2021, respectively

 

 

33

 

 

 

33

 

Additional paid-in capital

 

 

582,695

 

 

 

580,796

 

Accumulated other comprehensive income (loss), net of tax benefit of $41,170 and $3,421 as of September 30, 2022 and December 31, 2021, respectively

 

 

(96,062

)

 

 

(8,443

)

Retained earnings

 

 

248,684

 

 

 

196,784

 

Less treasury stock; 3,221,969 shares and 3,196,578 shares as of September 30, 2022 and December 31, 2021, respectively

 

 

(126,457

)

 

 

(125,753

)

Total stockholders’ equity

 

 

608,893

 

 

 

643,417

 

Total liabilities and stockholders’ equity

 

$

7,128,511

 

 

$

6,858,587

 

 

See Accompanying Notes to Consolidated Financial Statements (Unaudited)

3


 

Hanmi Financial Corporation and Subsidiaries

Consolidated Statements of Income (Unaudited)

(in thousands, except share and per share data)

 

 

 

Three Months Ended

 

 

Nine Months Ended

 

 

 

September 30,

 

 

September 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Interest and dividend income:

 

 

 

 

 

 

 

 

 

 

 

 

Interest and fees on loans receivable

 

$

66,976

 

 

$

52,961

 

 

$

180,755

 

 

$

156,361

 

Interest on securities

 

 

3,271

 

 

 

1,865

 

 

 

8,718

 

 

 

4,409

 

Dividends on FHLB stock

 

 

245

 

 

 

245

 

 

 

735

 

 

 

693

 

Interest on deposits in other banks

 

 

958

 

 

 

329

 

 

 

1,366

 

 

 

601

 

Total interest and dividend income

 

 

71,450

 

 

 

55,400

 

 

 

191,574

 

 

 

162,064

 

Interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

Interest on deposits

 

 

6,567

 

 

 

2,466

 

 

 

11,038

 

 

 

9,419

 

Interest on borrowings

 

 

349

 

 

 

409

 

 

 

1,056

 

 

 

1,332

 

Interest on subordinated debentures

 

 

1,448

 

 

 

2,545

 

 

 

6,394

 

 

 

5,759

 

Total interest expense

 

 

8,364

 

 

 

5,420

 

 

 

18,488

 

 

 

16,510

 

Net interest income before credit loss expense

 

 

63,086

 

 

 

49,980

 

 

 

173,086

 

 

 

145,554

 

Credit loss expense (recovery)

 

 

563

 

 

 

(7,234

)

 

 

783

 

 

 

(8,452

)

Net interest income after credit loss expense (recovery)

 

 

62,523

 

 

 

57,214

 

 

 

172,303

 

 

 

154,006

 

Noninterest income:

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on deposit accounts

 

 

2,996

 

 

 

3,437

 

 

 

8,745

 

 

 

8,036

 

Trade finance and other service charges and fees

 

 

1,132

 

 

 

1,188

 

 

 

3,690

 

 

 

3,468

 

Gain on sale of Small Business Administration ("SBA") loans

 

 

2,250

 

 

 

5,842

 

 

 

7,545

 

 

 

13,475

 

Net gain on sales of securities

 

 

 

 

 

 

 

 

 

 

 

99

 

Other operating income

 

 

2,536

 

 

 

2,042

 

 

 

6,763

 

 

 

6,123

 

Total noninterest income

 

 

8,914

 

 

 

12,509

 

 

 

26,743

 

 

 

31,201

 

Noninterest expense:

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

19,365

 

 

 

18,795

 

 

 

55,861

 

 

 

53,917

 

Occupancy and equipment

 

 

4,736

 

 

 

5,037

 

 

 

13,979

 

 

 

14,235

 

Data processing

 

 

3,352

 

 

 

2,934

 

 

 

9,702

 

 

 

8,775

 

Professional fees

 

 

1,249

 

 

 

1,263

 

 

 

3,909

 

 

 

4,123

 

Supplies and communications

 

 

710

 

 

 

741

 

 

 

1,956

 

 

 

2,231

 

Advertising and promotion

 

 

1,186

 

 

 

953

 

 

 

2,664

 

 

 

1,685

 

Other operating expenses

 

 

2,677

 

 

 

2,779

 

 

 

8,370

 

 

 

7,852

 

Total noninterest expense

 

 

33,275

 

 

 

32,502

 

 

 

96,441

 

 

 

92,818

 

Income before tax

 

 

38,162

 

 

 

37,221

 

 

 

102,605

 

 

 

92,389

 

Income tax expense

 

 

10,993

 

 

 

10,656

 

 

 

29,690

 

 

 

27,042

 

Net income

 

$

27,169

 

 

$

26,565

 

 

$

72,915

 

 

$

65,346

 

Basic earnings per share

 

$

0.89

 

 

$

0.87

 

 

$

2.39

 

 

$

2.13

 

Diluted earnings per share

 

$

0.89

 

 

$

0.86

 

 

$

2.39

 

 

$

2.13

 

Weighted-average shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

30,314,439

 

 

 

30,474,391

 

 

 

30,289,068

 

 

 

30,222,978

 

Diluted

 

 

30,396,762

 

 

 

30,552,196

 

 

 

30,369,538

 

 

 

30,298,553

 

 

See Accompanying Notes to Consolidated Financial Statements (Unaudited)

4


 

Hanmi Financial Corporation and Subsidiaries

Consolidated Statements of Comprehensive Income (Loss) (Unaudited)

(in thousands)

 

 

 

Three Months Ended

 

 

Nine Months Ended

 

 

 

September 30,

 

 

September 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Net income

 

$

27,169

 

 

$

26,565

 

 

$

72,915

 

 

$

65,346

 

Other comprehensive income (loss), net of tax:

 

 

 

 

 

 

 

 

 

 

 

 

Unrealized gain on securities:

 

 

 

 

 

 

 

 

 

 

 

 

Unrealized holding (loss) gain arising during period

 

 

(42,135

)

 

 

(3,568

)

 

 

(125,368

)

 

 

(11,877

)

Less: reclassification adjustment for net gain included in net income

 

 

 

 

 

 

 

 

 

 

 

(99

)

Income tax benefit (expense) related to items of other comprehensive income