Community West Bancshares · NASDAQ:CWBC
Community West Bancshares — Central Valley Community Bancorp — Keefe, Bruyette & Woods Virtual West Coast Bank Field Trip (November 2023)
19 slides from Community West Bancshares's conference presentation, Nov 2, 2023
Slide 1: Investor Presentation - KBW Virtual West Coast Bank Field Trip
Investor Presentation Keefe, Bruyette & Woods Virtual West Coast Bank Field Trip James J. Kim Shannon R. Avrett Dawn Cagle November 6, 2023 President & CEO Executive Vice President, Chief Financial Officer Executive Vice President, Chief Human Resources Officer
Slide 2: Forward-Looking Statements
Forward-Looking Statements 2 Certain matters discussed in this report constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained herein that are not historical facts, such as statements regarding the Company’s current bu
Slide 3: Mission and Values
Mission Inspire and empower our team to enrich and invest in every relationship by exceeding expectations. Values Teamwork Accountability Excellence Caring Integrity Inclusive
Slide 4: Experienced Executive Team
4 Executive Position Years at CVCY Years of Experience James J. Kim President & CEO 5 22 Shannon R. Avrett EVP, Chief Financial Officer < 1 18 Patrick A. Luis EVP, Chief Credit Officer 2 37 Blaine C. Lauhon EVP, Chief Banking Officer 5 37 A. Kenneth Ramos EVP, Market Executive – South 3 35 Jeff M. M
Slide 5: Overview
5 NASDAQ Symbol CVCY Market Capitalization $167 Million Institutional Ownership 50% Insider Ownership 16% Total Assets $2.4 Billion Headquarters Fresno, CA # of Banking Centers 20 Year Established 1980 Strategic Footprint Sacramento to Bakersfield As of September 30, 2023 Overview
Slide 6: Financial Highlights
6 2023 Q3 YTD 2022 2021 Total Assets $2.44 Billion $2.42 Billion $2.45 Billion Net Income $19.64 Million $26.65 Million $28.40 Million Diluted EPS $1.67 $2.27 $2.32 Net Interest Margin 3.59% 3.52% 3.54% ROAA 1.06% 1.09% 1.25% ROAE 14.16% 14.25% 11.50% Cash Dividends per share $0.36 $0.48 $0.47 Total
Slide 7: Attractive Investment Opportunity
CAGR = 5.31% 7 As of October 31, 2023 Source: NASDAQ Monthly Closing Price Data Attractive Investment Opportunity Dividend Payout Ratio - 21.56% Dividend Yield - 3.04% 0 5 10 15 20 25 30 1/1/2016 1/1/2017 1/1/2018 1/1/2019 1/1/2020 1/1/2021 1/1/2022 1/1/2023 Pr ic e CVCY Stock Price
Slide 8: Growing Franchise
8 Growing Franchise CAGR = 9.95% 1,577,410 1,574,089 1,832,987 2,267,615 2,439,394 2,474,977 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 2018 2019 2020 2021 2022 2023 Q3 YTD Th ou sa nd s Average Total Assets
Slide 9: Strong Net Income & NIM
9 Strong Net Income & NIM 21,289 21,443 20,347 28,401 26,645 19,642 4.44 4.51 3.87 3.54 3.52 3.59 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 5.00 0 5,000 10,000 15,000 20,000 25,000 30,000 2018 2019 2020 2021 2022 2023 Q3 YTD Pe rc en t Th ou sa nd s Net Income Net Interest Margin
Slide 10: Solid Earnings
10 Solid Earnings 1.35 1.36 1.11 1.25 1.09 1.06 10.07 9.39 8.85 11.50 14.25 14.16 - 2.00 4.00 6.00 8.00 10.00 12.00 14.00 16.00 - 0.20 0.40 0.60 0.80 1.00 1.20 1.40 1.60 2018 2019 2020 2021 2022 2023 Q3 YTD R O A E Pe rc en t R O A A P er ce nt ROAA / ROAE ROAA ROAE
Slide 11: Stable Deposit Base & Low Cost of Funds
11 Stable Deposit Base & Low Cost of Funds CAGR = 10.78% 1,333,754 1,295,780 1,568,194 1,974,576 2,156,092 2,168,786 0.09 0.15 0.09 0.05 0.06 0.67 0.00 0.10 0.20 0.30 0.40 0.50 0.60 0.70 0.80 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 2018 2019 2020 2021 2022 2023 Q3 YTD Pe rc en t Th ou sa n
Slide 12: Attractive Deposit Mix
12 Attractive Deposit Mix Total Deposits = $2.1 Billion Non-Interest Bearing 46% Now/Savings 21% Money Market 25% TCDs 8% As of September 30, 2023
Slide 13: Loan Totals & Yield
13 Loan Totals & Yield CAGR = 7.16% 908,419 928,560 1,053,450 1,067,316 1,133,641 1,261,509 5.50 5.54 4.94 5.07 4.93 5.50 4.60 4.70 4.80 4.90 5.00 5.10 5.20 5.30 5.40 5.50 5.60 0 200,000 400,000 600,000 800,000 1,000,000 1,200,000 1,400,000 2018 2019 2020 2021 2022 2023 Q3 YTD Pe rc en t Th ou sa nd
Slide 14: Well Diversified Loan Portfolio
14 Well Diversified Loan Portfolio Commercial & Industrial, 8% Agriculture Production & Land, 12% Owner Occupied Real Estate, 15% Real Estate Construction & Land, 6% Commercial Real Estate, 41% Multi-Family Residential, 4% 1-4 Family, 10% Consumer, 4% As of Sept 30, 2023 Excludes Deferred Loan Fees
Slide 15: Non Performing Assets
15 Non Performing Assets 2,740 1,693 3,278 946 0 0 0.99 0.97 1.17 0.92 0.86 1.22 - 0.20 0.40 0.60 0.80 1.00 1.20 1.40 0 500 1,000 1,500 2,000 2,500 3,000 3,500 2018 2019 2020 2021 2022 2023 Q3 YTD Pe rc en t Th ou sa nd s Non Performing Assets ALLL/Loans
Slide 16: Special Mention Loans
16 Special Mention Loans 26,254 28,183 36,406 40,845 31,024 16,966 2.86 2.99 3.30 3.93 2.47 1.33 - 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 - 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 2018 2019 2020 2021 2022 2023 Q3 YTD Pe rc en t Th ou sa nd s Special Mention Loans SM Loans
Slide 17: Substandard Loans
17 Substandard Loans 28,394 33,838 36,136 8,540 27,783 24,740 3.09 3.59 3.28 0.82 2.21 1.94 - 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 - 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 2018 2019 2020 2021 2022 2023 Q3 YTD Pe rc en t Th ou sa nd s Substandard Loans Sub Loans/Gross Loans
Slide 18: Investment Portfolio
2023 YTD Yield: 2.98% AFS Effective Duration: 4.89 18 Investment Portfolio 463,905 470,746 710,092 1,109,208 648,825 593,430 305,107 303,732 0 200,000 400,000 600,000 800,000 1,000,000 1,200,000 2018 2019 2020 2021 2022 2023 Q3 Th ou sa nd s AFS Securities HTM Securities
Slide 19: Central Valley Community Bancorp - Investing In Relationships
Central Valle Commun Bancorp <r Investing In Relationships. www.cvcb.com