Hanmi Financial Corp. of Los Angeles said Thursday that its net loss improved in the third quarter and its bank returned to a well-capitalized regulatory standing.
The $3 billion-asset Korean-American banking company posted a net loss of $14.6 million in the quarter compared with a net loss of $59.7 million a year earlier and a net loss of $29.3 million in the second quarter.
In July, Hanmi raised $120 million in capital through a public offering and a rights offering. This helped the company raise capital ratios at its banking subsidiary, Hanmi Bank, which regulators had ordered to raise $100 million in capital.
Hanmi Bank became well capitalized, with a total risk-based capital ratio of 11.61% as of Sept. 30, compared with 7.35% at the end of the previous quarter.
The company has been reducing its balance sheet aggressively in the past two years. Total assets fell 14% year over year, to $2.97 billion, but rose 2% compared with the second quarter.
Hanmi reduced its total nonperforming loans by 19%, to $215.3 million, compared with the second quarter.
Nonperforming assets, however, were up nearly 7% from the third quarter of 2009.