Allowance for credit losses
East-West Bancorp Allowance for credit losses increased by 3.2% to $835.87M in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 13.7%, from $734.86M to $835.87M. Over 5 years (FY 2020 to FY 2025), Allowance for credit losses shows an upward trend with a 5.5% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.
Analysis
How to read this metric
An increase suggests higher expected defaults or a more conservative risk assessment, while a decrease suggests improved borrower creditworthiness.
Detailed definition
A contra-asset account representing the estimated amount of uncollectible loans and receivables within the company's len...
Peer comparison
Standard for financial institutions; peers with higher-risk loan portfolios will typically maintain higher allowance ratios.
bank_allowance_for_credit_lossesHistorical Data
| Q2 '21 | Q3 '21 | Q4 '21 | Q1 '22 | Q2 '22 | Q3 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q4 '24 | Q1 '25 | Q4 '25 | Q1 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $585.72M | $560.40M | $541.58M | $545.69M | $563.27M | $582.52M | $595.65M | $619.89M | $635.40M | $655.52M | $668.74M | $670.28M | $683.79M | $702.05M | $734.86M | $809.77M | $835.87M |
| QoQ Change | — | -4.3% | -3.4% | +0.8% | +3.2% | +3.4% | +2.3% | +4.1% | +2.5% | +3.2% | +2.0% | +0.2% | +2.0% | +2.7% | +4.7% | +10.2% | +3.2% |
| YoY Change | — | — | — | — | -3.8% | +3.9% | +10.0% | +13.6% | +12.8% | +12.5% | +12.3% | +8.1% | +7.6% | +5.0% | +9.6% | +15.3% | +13.7% |
Allowance for credit losses at Other Companies
Frequently Asked Questions
- What is East-West Bancorp's allowance for credit losses?
- East-West Bancorp (EWBC) reported allowance for credit losses of $835.87M in Q1 2026.
- How has East-West Bancorp's allowance for credit losses changed year-over-year?
- East-West Bancorp's allowance for credit losses increased by 13.7% year-over-year, from $734.86M to $835.87M.
- What is the long-term trend for East-West Bancorp's allowance for credit losses?
- Over 5 years (2020 to 2025), East-West Bancorp's allowance for credit losses has grown at a 5.5% compound annual growth rate (CAGR), from $619.98M to $809.77M.
- What does allowance for credit losses mean?
- The reserve set aside to cover potential losses from loans that may not be repaid.