First Us Bancshares, Inc. · NASDAQ:FUSB
First Us Bancshares — Investor Presentation (April 2023)
38 slides from First Us Bancshares's investor presentation, Apr 26, 2023
Slide 1: Investor Presentation As of March 31, 2023
Investor Presentation As of March 31, 2023 Exhibit 99.1
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation of First US Bancshares, Inc. (“FUSB” or the “Company”) contains forward-looking statements, as defined by federal securities laws. Statements contained in this presentation that are not historical facts are forward-looking statements. These statements may
Slide 3: Presentation Disclosure
Presentation Disclosure This presentation has been prepared by FUSB solely for informational purposes based on its own information, as well as information from public sources. This presentation has been prepared to assist interested parties in making their own evaluation of FUSB and does not purport
Slide 4: Contents
Contents Corporate Profile..…………..……………………………..……………………………………...….…....5 Strategic Focus………………………………………………………………………………...……………8 1Q2023 Highlights………………...……...…..…………………….…………………..………….……....12 Deposit Composition……………………………………………………………………………………...13 Loan Portfolio Trends…………………………………………………………………………
Slide 5: Corporate Profile
Company Founded: 1952 Headquarters: Birmingham, AL First US Bank: 15 Branches / 2 LPOs Acceptance Loan Co: 0 Branches (1) Total Assets: $1,026 million Total Loans: $776 million Total Deposits: $898 million Exchange: Nasdaq: FUSB Stock price: $7.48 Tangible BV: $13.02 per share (2) Price to TBV: 57%
Slide 6: Corporate Profile: Senior Leadership Team
Corporate Profile Senior Leadership Team James F. House President and Chief Executive Officer Veteran banker with SouthTrust Bank for 31 years Business consultant 2005 to 2009 focusing on management, investments, and commercial and consumer lending issues Florida Division President with BankTrust fr
Slide 7: First US Bank – Branch and LPO Location Map
Corporate Profile First US Bank – Branch and LPO Location Map
Slide 8: Strategic Focus
` PRIMARY GOALS Grow EPS, ROA and ROE Consistent, diversified loan and deposit growth Adherence to strong credit culture Effective expense control – both interest and non-interest LENDING FOCUS EXPENSE CONTROL LONGER TERM GROWTH EFFORTS Superior organic growth in earning assets Adherence to commerci
Slide 9: Update on Impact of Strategic Initiatives
Strategic Focus Update on Impact of Strategic Initiatives ALC Initiative: In 3Q2021, the Company undertook certain initiatives as part of a long-term strategy to reduce expenses, fortify asset quality, and focus the Company’s loan growth efforts. The most significant component of these initiatives w
Slide 10: Building and Maintaining a Diversified Balance Sheet
Strategic Focus Building and Maintaining a Diversified Balance Sheet Loan Composition as of 03/31/2023 Deposit Composition as of 03/31/2023
Slide 11: A Favorable Geographic Footprint
Strategic Focus A Favorable Geographic Footprint Potential Markets for Growth Alabama: Auburn Dothan Huntsville Montgomery Florida: Destin Panama City Pensacola Georgia: Athens Atlanta Augusta Columbus Macon Mississippi: Hattiesburg Jackson Meridian South Carolina: Greenville Tennessee: Memphis Nash
Slide 12: Year-Over-Year Earnings Improvement
Year-Over-Year Earnings Improvement 65.0% year-over-year diluted EPS growth, comparing 1Q2023 to 1Q2022 Diluted EPS of $0.33 in 1Q2023, compared to $0.35 in 4Q2022 and $0.20 in 1Q2022 Net interest margin totaled 4.13% in 1Q2023, compared to 4.27% in 4Q2022 and 3.97% 1Q2022 Year-over-year earnings im
Slide 13: Deposit Composition: A Stable Core Deposit Base
Deposit Composition A Stable Core Deposit Base
Slide 14: Loan Portfolio Trends: Quarterly Growth by Category
Loan Portfolio Trends Quarterly Growth by Category
Slide 15: Non-Residential CRE and Construction Portfolio Breakdown
Loan Portfolio Trends Non-Residential CRE and Construction Portfolio Breakdown Non-Residential CRE Breakdown as of 03/31/2023 Construction Breakdown as of 03/31/2023 Non-owner occupied office consists of 22 loans with an average loan size of $1.3 million. The properties are located in Tuscaloosa, AL
Slide 16: Loan Portfolio Trends: Indirect Portfolio
Loan Portfolio Trends Indirect Portfolio This portfolio segment includes loans secured by collateral purchased by consumers in retail stores with whom the Company has an established relationship to provide financing if applicable underwriting standards are met. The collateral securing these loans ge
Slide 17: Indirect Portfolio Breakdown
Loan Portfolio Trends Indirect Portfolio Breakdown Indirect by Collateral as of 03/31/2023(1) Indirect by State as of 03/31/2023(1)(2) (1) Dollars in thousands (2) Represents state in which the participating dealer operates
Slide 18: Asset Quality – Decreased charge-offs on ALC loans
Loan Portfolio Trends Asset Quality – Decreased charge-offs on ALC loans as portfolio pays down 5 Quarter Annualized Net Charge-offs
Slide 19: CECL Adoption
Loan Portfolio Trends CECL Adoption Increased ALLL by $2.1 million, with $0.3 million reserved for unfunded commitments A portion of the direct consumer loans and all the branch retail loans are part of the run-off portfolio held by ALC. Due to the nature of the loans, charge off history, as well as
Slide 20: Quarter Annualized Margin Report
Recent Financial Trends 5 Quarter Annualized Margin Report Average rates including both Interest-Bearing and Non-Interest-Bearing Deposits Average Rate on Interest-Bearing Liabilities and Non-Interest-Bearing Deposits
Slide 21: Asset Quality – Nonperforming Assets and Loans
Recent Financial Trends Asset Quality – Nonperforming Assets and Nonperforming Loans Nonperforming Assets (1) Nonperforming Loans (2) Nonperforming Assets: Nonaccrual loans and OREO Nonperforming Loans: Nonaccrual loans
Slide 22: Profitability Metrics – Quarter Trend
Recent Financial Trends Profitability Metrics – 5 Quarter Trend (1) Calculations of tangible balances and measures are included in the Appendix
Slide 23: Profitability Metrics – Year Trend
Recent Financial Trends Profitability Metrics – 5 Year Trend (1) Calculations of tangible balances and measures are included in the Appendix
Slide 24: Balance Sheet Metrics – Quarter Trend
Recent Financial Trends Balance Sheet Metrics – 5 Quarter Trend
Slide 25: Balance Sheet Metrics – Year Trend
Recent Financial Trends Balance Sheet Metrics – 5 Year Trend
Slide 26: Non-interest Income and Expense – Quarter Trend
Recent Financial Trends Non-interest Income and Expense – 5 Quarter Trend Non-interest Income Other lncome Other sources of non-interest income include: Bank-owned life insurance Gains on the sales of premises and equipment and other assets Credit insurance commissions and fees Non-interest Expense
Slide 27: Non-interest Income and Expense – Year Trend
Recent Financial Trends Non-interest Income and Expense – 5 Year Trend Non-interest Income Other lncome Other sources of non-interest income include: Bank-owned life insurance Gains on the sales of premises and equipment and other assets Credit insurance commissions and fees Non-interest Expense
Slide 28: Share Price vs. Tangible Book Value
Recent Financial Trends Share Price vs. Tangible Book Value (57% as of 03/31/2023)(1) (1) Calculations of tangible balances and measures are included in the Appendix
Slide 29: Selected Financial Data
Recent Financial Trends Selected Financial Data (1) Calculations of tangible balances and measures are included in the Appendix (2) Efficiency ratio = non-interest expense / (net interest income + non-interest income)
Slide 30: Selected Balance Sheet Information
Recent Financial Trends Selected Balance Sheet Information (dollars in thousands) The decrease in shareholder’s equity in 2022 resulted primarily from the decrease in valuations of available-for-sale investment securities, recorded net of tax in accumulated other comprehensive income, resulting from
Slide 31: Income Statements
Recent Financial Trends Income Statements (dollars in thousands, except per share data)
Slide 32: Risk Management: Equity Capital – Quarter Trend
Risk Management Equity Capital – 5 Quarter Trend (1) Calculations of tangible balances and measures are included in the Appendix.
Slide 33: Managing Liquidity and Investment Risk
Risk Management Managing Liquidity and Investment Risk Summary of Securities Portfolio The portfolio is structured with relatively short expected average lives in order to enhance liquidity Weighted average book yield was 2.12% in 1Q2023 Expected average life of securities in the portfolio was 3.7 y
Slide 34: Interest Rate Sensitivity
Risk Management Interest Rate Sensitivity The following table summarizes the forecasted impact on net interest margin and net interest income using a base case scenario given upward and downward movements in interest rates of 100, 200 and 300 basis points (“bps”) based on forecasted assumptions of p
Slide 35: Appendix: Non-GAAP Reconciliations
Appendix Non-GAAP Reconciliations
Slide 36: Non-GAAP Reconciliation
Appendix Non-GAAP Reconciliation (dollars and shares in thousands, except per share data) (1) Calculation of Return on average tangible common equity (annualized) = ((net income (d) / number of days in period) * number of days in year) / average tangible shareholders’ equity (c)
Slide 37: Non-GAAP Reconciliation
Appendix Non-GAAP Reconciliation (dollars and shares in thousands, except per share data)
Slide 38: www.firstusbank.com Contact
www.firstusbank.com Contact: Thomas S. Elley Chief Financial Officer telley@firstusbank.com 205.582.1200
First US Bancshares — Investor Presentation (April 2023) on 6ix