Provision for Credit Losses
East-West Bancorp Provision for Credit Losses increased by 20.0% to $36M in Q1 2026 compared to the prior quarter. Year-over-year, this metric declined by 26.5%, from $49M to $36M. Over 4 years (FY 2021 to FY 2025), Provision for Credit Losses shows an upward trend with a 46.2% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.
Analysis
How to read this metric
An increase suggests rising credit risk or a larger loan portfolio, while a decrease may signal improved borrower creditworthiness or a more optimistic economic outlook.
Detailed definition
The provision for credit losses is an expense set aside to cover expected future losses from the loan portfolio. It refl...
Peer comparison
Highly comparable across commercial banks; peers with lower ratios relative to total loans often demonstrate superior underwriting standards.
provision_for_credit_losses_cfHistorical 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 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | -$15M | -$10M | -$10M | $8M | $13.5M | $27M | $25M | $20M | $26M | $42M | $37M | $25M | $37M | $42M | $70M | $49M | $45M | $36M | $30M | $36M |
| QoQ Change | — | +33.3% | +0.0% | +180.0% | +68.8% | +100.0% | -7.4% | -20.0% | +30.0% | +61.5% | -11.9% | -32.4% | +48.0% | +13.5% | +66.7% | -30.0% | -8.2% | -20.0% | -16.7% | +20.0% |
| YoY Change | — | — | — | — | +190.0% | +370.0% | +350.0% | +150.0% | +92.6% | +55.6% | +48.0% | +25.0% | +42.3% | +0.0% | +89.2% | +96.0% | +21.6% | -14.3% | -57.1% | -26.5% |
Business Segments
| Segment | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 |
|---|---|---|---|---|---|---|---|---|
| Commercial Banking | $40.16M | $36.93M | $66.96M | $40.78M | $38.72M | $35.58M | $37M | $27.01M |
| Consumer and Business Banking | -$3.25M | $5.93M | $3.45M | $7.69M | $6.78M | $16.68M | — | $9.19M |
| Treasury and Other | — | -$861K | -$402K | $536K | -$499K | -$16.26M | -$1.91M | -$192K |
| Other | $0 | — | — | — | — | — | — | — |
| Total | $37M | $42M | $70M | $49M | $45M | $36M | $30M | $36M |
Other was previously reported and has since been discontinued or reclassified. Only currently active segments are shown in the chart.
Provision for Credit Losses at Other Companies
Frequently Asked Questions
- What is East-West Bancorp's provision for credit losses?
- East-West Bancorp (EWBC) reported provision for credit losses of $36M in Q1 2026.
- How has East-West Bancorp's provision for credit losses changed year-over-year?
- East-West Bancorp's provision for credit losses decreased by 26.5% year-over-year, from $49M to $36M.
- What is the long-term trend for East-West Bancorp's provision for credit losses?
- Over 4 years (2021 to 2025), East-West Bancorp's provision for credit losses has grown at a 46.2% compound annual growth rate (CAGR), from -$35M to $160M.
- What does provision for credit losses mean?
- The amount of money a bank sets aside to cover potential losses from loans that may not be repaid.