Slide 1: Fourth Quarter 2022 Earnings Call
Fourth Quarter 2022 Earnings Call
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation may contain various statements about Renasant Corporation (“Renasant,” “we,” “our,” or “us”) that constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchan
Slide 3: Overview
Overview Company Snapshot Loans and Deposits by State Assets: $17.0 billion Loans Loans: 11.6 TN MS Deposits: 13.5 16% 19% Equity: 2.1 GA AL 29% 28% YTD Total Revenue(1) 4% 1% 2% Other FL 1% 7% Deposits TN 93% 12% MS 39% GA 32% Community Banking Wealth Management AL Mortgage Insurance 14% FL 3% 3 No
Slide 4: Renasant Footprint
Renasant Footprint [QRENASANT CORPORATION — ad ~ _ \ . o Winston-Salem. ot Nashville + Knowille © QGreensboro oS La eo & TENNESSEE Pt Raleigh vy AREANSES Chaotte NORTHCAROLINA Sv wy © Greenville / o y \ (wit i Sombie S—~/ SOUTH CAROLINA /- gt << Charleston e oO O p 6 Savannah @ Branch (157) { @ Loan
Slide 5: Fourth Quarter Highlights
Fourth Quarter Highlights • Net income of $46.3 million with diluted EPS of $0.82 and adjusted diluted EPS* of $0.89 • Net interest margin increased 24 basis points to 3.78% • Completed the acquisition of Republic Business Credit (“RBC”), a factoring and asset- based lending company headquartered in
Slide 6: Financial Condition
[NRENASANT CORPORATION Financial Condition
Slide 7: Total Assets
Total Assets $17 ,000 $16,988 $16,864 $16,810 $16 ,800 $16,618 $16 ,600 $16,471 $16 ,400 $16 ,200 $16 ,000 $15 ,800 $15 ,600 $15 ,400 $15 ,200 $15 ,000 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 7 Note: Dollars in millions
Slide 8: Loans and Yields
Loans and Yields 5.19% 4.57% 5.16% 4.12% 4.52% 3.98% 3.88% 3.87% 3.96% 3.82% $11,578 $11,100 $10,305 $10,597 $9,963 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 1-4 Family Mortgage Commercial Mortgage Construction Other* C&I Loan Yield Core Loan Yield** Note: Dollars in millions * Other loans are compris
Slide 9: Deposit Mix and Pricing
Deposit Mix and Pricing $13,906 $13,991 $13,764 $13,432 $13,487 0.52% 0.21% 0.18% 0.17% 0.15% 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 Noninterest-bearing Interest-bearing Savings Time Cost of deposits 9 Note: Dollars in millions
Slide 10: Core Deposit Funding
Core Deposit Funding Mix of Average Deposits 4Q15 4Q19 4Q22 Noninterest-bearing demand 21.36 % 25.52 % 36.03 % Interest-bearing demand* 46.16 46.42 45.13 Savings 8.03 6.46 8.21 Deposits as of December 31, 2022 ($13.5 Billion) Brokered deposits 0.00 0.00 0.70 Time deposits 24.45 21.60 9.93 2% Total 1
Slide 11: Liquidity
Liquidity Cash and Securities to Total Assets Average Loans to Average Deposits 91% $1 $0 27.84% 26.68% $1 2018 -2019 Average Loans to Average Deposits $0 $0 24.24% $1 $0 20.66% $1 $0 20.21% 85% 79% $1 76% 73% 74% $0 $1 $0 $0 $1 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q4 2021 Q1 2022 Q2 2022 Q3 2022
Slide 12: Capital Position
Capital Position Regulatory Capital as of December 31, 2022 Capital Highlights • $100 million stock repurchase program is in effect through October 2023; there was no buyback activity in the fourth quarter of 2022 • Consistent dividend payment history, including through the 2008 financial crisis Com
Slide 13: Asset Quality
[NRENASANT CORPORATION Asset Quality
Slide 14: Asset Quality
Asset Quality Loans 30-89 Days Past Due/ Criticized Loans/Total Loans Total Loans $400,000 4.00% $100,000 2.00% $350,000 3.50% $75,000 1.50% 0.51% $300,000 2.47% 3.00% $50,000 1.00% $25,000 0.50% $250,000 2.50% $- 0.00% $200,000 2.00% ($ in thousands) 4Q 1Q 2Q 3Q 4Q ($ in thousands) 4Q 1Q 2Q 3Q 4Q 2
Slide 15: Asset Quality
Asset Quality NPAs/Total Assets Net Charge-offs/Average Loans $150,000 3.00% $20,000 0.80% $125,000 2.50% $15,000 0.60% $100,000 2.00% $75,000 1.50% $10,000 0.40% 0.35% $50,000 1.00% $5,000 0.20% $25,000 0.50% 0.09% $- 0.00% $- 0.00% ($ in thousands) ($ in thousands) 4Q 1Q 2Q 3Q 4Q 4Q 1Q 2Q 3Q 4Q 20
Slide 16: ACL Metrics
ACL Metrics Allowance/Total Loans Allowance/Nonperforming Loans $220,000 2.00% $220,000 400% 1.66% 338% $210,000 $210,000 1.80% $200,000 $200,000 350% $190,000 1.60% $190,000 $180,000 $180,000 300% $170,000 1.40% $170,000 $160,000 $160,000 250% 1.20% $150,000 $150,000 $140,000 1.00% $140,000 200% ($
Slide 17: ACL Summary
ACL Summary 9/30/2022 12/31/2022 ACL as a % ACL as a % ($ in thousands) ACL of Loans ACL of Loans Commercial, Financial, Agricultural $ 30,594 2.02 $ 44,451 2.65 Lease Financing Receivables 2,314 2.24 2,463 2.15 Real Estate - 1-4 Family Mortgage 43,414 1.39 44,520 1.39 Real Estate - Commercial Mortg
Slide 18: Loss Absorption Capacity
Loss Absorption Capacity ($ in thousands) 12/31/2022 Allowance for Credit Losses on Loans $ 192,090 Reserve for Unfunded Commitments 20,118 Purchase Accounting Discounts 12,770 Total Loss Absorption Capacity $ 224,978 18
Slide 19: ACL Activity
ACL Activity *PCD Loans represent loans acquired from RBC with more than insignificant credit deterioration at the date of acquisition. 19
Slide 20: Profitability
[NRENASANT CORPORATION Profitability
Slide 21: Net Income & Adjusted Pre-Provision Net Revenue
Net Income & Adjusted Pre-Provision Net Revenue* $72.2 $67.0 $54.2 1.73% 1.60% $49.2 $42.7 1.31% 1.19% 1.04% $46.6 $46.3 $37.1 $39.7 $33.5 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 Net Income Adj. PPNR (non-GAAP)* PAdj. PPNR /Avg. Assets (non-GAAP)* Note: Dollars in millions *Adjusted Pre-Provision Ne
Slide 22: Diluted Earnings per Share Reported and Adjusted
Diluted Earnings per Share Reported and Adjusted* $1.00 $.89 $.83 $.82 $.79 $0.80 $.71 $.72 $.68 $.66 $.60 $.60 $0.60 $0.40 $0.20 $- 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 Diluted EPS (GAAP) Diluted EPS Adjusted (non-GAAP)* * Diluted earnings per share (adjusted) is a non-GAAP financial measure. A
Slide 23: Profitability Ratios
Profitability Ratios Return on Average Assets (ROAA) Return on Average Equity (ROE) 1.40% 20.00% 1.20% 17.35% 1.20% 1.11% 1.11% 1.05% 16.00% 14.87% 1.00% 0.96% 0.98% 13.81% 0.92% 0.89% 12.31% 0.81% 0.82% 12.00% 10.99% 0.80% 8.50% 8.58% 0.60% 8.00% 7.31% 6.59% 6.05% 0.40% 4.00% 0.20% 0.00% 0.00% 4Q 2
Slide 24: Net Interest Income (FTE) & Net Interest Margin
Net Interest Income (FTE) & Net Interest Margin 3.78% 3.54% 3.76% 3.11% 3.50% 2.81% 2.76% $140.6 3.00% $132.4 2.73% 2.71% $115.3 $103.3 $101.4 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 Core NII (FTE)(Non-GAAP)* Non-Core NII NIM Core NIM (Non-GAAP)* Note: Dollars in millions *Core Net Interest Income (
Slide 25: Noninterest Income
Noninterest Income Q4 2022 - Noninterest Income $47,582 Contribution $41,186 Other $37,458 $37,214 17% $33,395 Service Charges 31% Mortgage Banking 15% Fees and Wealth Commissions Management 13% 16% 4Q 2021 1Q 2022 2Q 2022 3Q 2022 4Q 2022 Insurance 8% Service Charges Fees and Commissions Insurance W
Slide 26: Mortgage Banking
Mortgage Banking Mortgage banking income Mortgage Mix ($ in thousands) 4Q21 3Q22 4Q22 (in %) 4Q21 3Q22 4Q22 Gain on sales of loans, net $ 10,801 $ 5,263 $ 1,003 Wholesale 38 34 35 Fees, net 4,320 2,405 1,849 Retail 62 66 65 Mortgage servicing (loss) income, net (395) 5,007 2,318 Purchase 65 81 82 Mo
Slide 27: Noninterest Expense and Efficiency Ratio
Noninterest Expense and Efficiency Ratio ($ in thousands) 3Q22 4Q22 Change Q4 2022 – Noninterest Expense Mix Salaries and employee benefits $ 66,463 $ 67,372 $ 909 Data processing 3,526 3,521 (5) Other 19% Net occupancy and equipment 11,266 11,122 (144) Intangible amortization 1,251 1,195 (56) Intan
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