Pinnacle Financial Partners, Inc. · NYSE:PNFP
Pinnacle Financial Partners — Q3 2020 Earnings Presentation
72 slides from Pinnacle Financial Partners's earnings presentation, Oct 21, 2020
Slide 1: Investor Call Third Quarter 2020
Investor Call THIRD QUARTER 2020 October 21, 2020 Time: 8:30 AM CDT Webcast: www.pnfp.com (investor relations) Audio only: 877-602-7944 M. TERRY TURNER, PRESIDENT AND CEO HAROLD R. CARPENTER, EVP AND CFO TIM HUESTIS, EVP AND CHIEF CREDIT OFFICER
Slide 2: Safe Harbor Statements: Forward Looking Statements
Safe Harbor Statements Forward Looking Statements All statements, other than statements of historical fact, included in this presentation, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section
Slide 3: Safe Harbor Statements: Non-GAAP Financial Matters
Safe Harbor Statements Non-GAAP Financial Matters This presentation contains certain non-GAAP financial measures, including, without limitation, earnings per diluted common share, efficiency ratio, adjusted pre-tax, pre-provision net revenue and the ratio of noninterest expense to average assets, ex
Slide 4: 3Q20 Financial Information
3Q20 Financial Information Despite the difficult operating environment, the key success measures of asset quality, core deposit growth, fee growth, pre-provision net revenue growth and tangible book value accretion were all very strong this quarter.
Slide 5: 3Q20 Summary Results of Key GAAP Measures
3Q20 Summary Results of Key GAAP Measures Total Revenues FD EPS Net Income Available to Common Shareholders Total Loans Total Deposits Book Value per Common Share (millions) Classified Asset Ratio NPA/ Loans & OREO NCOs 5
Slide 6: 3Q20 Summary Results of Key Non-GAAP Measures
3Q20 Summary Results of Key Non-GAAP Measures Total Revenues Adjusted Pre-Tax Pre-Provision FD EPS* $1.45 $1.45 Net Income* $297,008 CAGR 20.2% $278,008 CAGR 13.2% $1.22 CAGR 20.9% (millions) $156,517 $240,887 $145,722 $216,159 $126,964 $0.90 $116,295 $118,327 $0.78 $60,507 Total Loans Total Core De
Slide 7: Average Loans
Loan demand is soft at this point in cycle Loan growth flattish in 3Q20 but we remain optimistic regarding future loan growth from recent hires Average Loan Growth $24,000 5.40% Annual Organic Loan Growth $22,000 5.20% (excludes Day 1 merger impact) $22,493 $22,257 24.0% $20,000 5.00% $20,009 $19,60
Slide 8: Balance Sheet Growth Driven by Outsized Deposit Inflows
Balance Sheet Growth Driven by Outsized Deposit Inflows Deposit growth has been remarkable this year reflecting our initiatives in that area Average Deposit Growth $27,000 2.70% Annual Organic Deposit Growth (excludes Day 1 merger impact) $26,352 $24,000 2.40% 45.0% $24,807 40.0% 14.6% $21,000 2.10%
Slide 9: 3Q20 Strong Quarter for Loan Pricing
3Q20 Strong Quarter for Loan Pricing Loan yields held very well in spite of economic environment as RMs successfully obtain floors All Loans C&I CRE Construction At September 30, 2020 LIBOR 21.1% Prime 37.4% T-Bill 37.7% 53.0% 38.2% 1.3% 36.8% 45.7% Fixed Rate <1Y 24.1% 53.4% Fixed Rate >1Y 16.7% 15
Slide 10: Relationship Managers are Successfully Reducing Deposit Costs
Relationship Managers are Successfully Reducing Deposit Costs Focused reductions in deposit costs are getting results, future reductions on the horizon soon • Recognized 58% beta on negotiated deposits and 95% on indexed deposits since 6/30/2019 • In the aggregate, interest-bearing transaction accou
Slide 11: Liquidity Ramp Temporarily Impactful to NIM
Liquidity Ramp Temporarily Impactful to NIM Deposit cost reductions and implementation of loan floors assist to offset impact $400 15.00% Actual/Estimated Discount Accretion Through Dec 2020 (in thousands) $18,000 $361 Net Quarterly Growth in Ratio of Total Securities $300 14.00% $16,000 Security Vo
Slide 12: PNFP Grew Fees at a Double-Digit Pace
PNFP Grew Fees at a Double-Digit Percentages Pace Linked-Quarter and YOY BHG and other fee areas provided for substantial growth Year-over-Year 3Q20 2Q20 3Q19 Change Rate • Income from equity method investment in BHG up $9.0 Service charges $9,854 $6,910 $10,193 (3.3%) million over last quarter Inve
Slide 13: PPNR Incentive Adjustment Impacts Expense Growth in 3Q20
PPNR Incentive Adjustment Impacts Expense Growth in 3Q20 Provides targets for PPNR growth in 2020 that should ramp into PPNR growth in 2021 Year-over-Year • 3Q20 headcount up 140 FTEs compared to 3Q19. Headcount 3Q20 2Q20 3Q19 Growth % Salaries and employee benefits: Salaries $54,331 $54,645 $47,369
Slide 14: PNFP Continues to Build Reserves in 3Q20
PNFP Continues to Build Reserves in 3Q20 Unemployment and GDP forecast improved quarter over quarter Total Allowance for Credit Losses for loans = $288.6 mm or 1.28% of loans at September 30, 2020, or 1.43% excluding PPP loans Off-Balance $’s in 000’s ALL % of Loans Total ACL Sheet Forecasted econom
Slide 15: PPP Program a Differentiator for Pinnacle in 2020
PPP Program a Differentiator for Pinnacle in 2020 Client feedback on PPP has been tremendous and creates optimism for future market share gains • Continued positive feedback from client base • Roughly 14,000 applications and $2.3B in funding PPP Loan Stratification Table as of 9/30/2020 (dollars in
Slide 16: PPNR Growth Now in Focus by Pinnacle Management
PPNR Growth Now in Focus by Pinnacle Management Despite the operating environment, PPNR grows meaningfully in 3Q20, both linked quarter and YOY We believe key to 2021 is focusing on PPNR in 2020 ($'s in thousands) 2017 2018 2019 YTD 2020 Adjusted Net PPNR per Share $2.50 PPNR Trends Net interest inc
Slide 17: PNFP Gaining Optimism about 2020 and 2021
PNFP Gaining Optimism about 2020 and 2021 The results of the Pandemic are not completely known, but we are confident in our model 4Q20 Outlook (in relation to Notes 3Q20) Anticipate PPP payoff/forgiveness cycle to begin before y/e with Average Loan Growth Flat corresponding PPP fee recognition. Low
Slide 18: Capital Initiatives Could Return Early Next Year
Capital Initiatives Could Return Early Next Year Tangible book value growth remains our focus, but capital initiatives should be considered • Preferred Share Issuance – • 9.0 mm depositary shares representing 1/40th of a share of Series B noncumulative, Tangible Book Value per Common Share** perpetu
Slide 19: Bankers' Healthcare Group
Bankers’ Healthcare Group BHG’s differentiated model has proven very resilient thus far with continued strong originations, loan sales and yield/spread premium. Temporarily reverting to the gain on sale model early in the year provided meaningful pre-provision net revenue to BHG and to Pinnacle. Cap
Slide 20: BHG's Differentiated Model Continues to Outperform
BHG’s Differentiated Model Continues to Outperform BHG continues to originate and sell loans at record levels while maintaining yields $500 18.0% Gain on Sale Model Drives Outperformance 15.8% 15.8% • 3Q20 reflects largest origination and 14.2% $450 16.2% 14.4% 14.6% 14.6% 14.5% 14.4% 14.4% $452 pla
Slide 21: BHG Credit Quality Continues to Impress
BHG Differentiated BHG’s Credit Quality Continues Model totoImpress Continues Outperform Consistently elevating Sophisticated FICOs scoring credit are yieldingmodels steady improvement in portfolio performance produce impressive results • Historical credit results indicate that 70% of losses occur H
Slide 22: BHG Deferrals Drop Significantly in 3Q20
BHG’s Differentiated Model Continues to Outperform Deferrals drop significantly in 3Q20, at just 3 loans • BHG received and approved roughly 5,800 deferral requests. Only 3 loans are still on payment deferral as of October 9th • Loans coming off deferrals have shown a 95% re-perform rate Active # of
Slide 23: BHG Recourse Obligation Reserve Build
BHG BHG’sCredit Quality Model Differentiated Continues to Impress Continues to Outperform Sophisticated Recourse creditbuild obligation reserve scoring models continues in 3Q20 produce impressive results 8.00% $4,000 7.43% Historical Charge Offs and Reserves 7.00% (Green Bars – Balance of loans in b
Slide 24: Big Year at BHG
BHG Differentiated Model Continues to Outperform BHG believes its model is outperforming other online lenders by a wide margin Big Year at BHG • Interest rate environment BHG Net Earnings provided opportunity to access $200,000 capital markets and execute on its $182,461 first securitization $150,00
Slide 25: COVID-19 and our Borrowers
COVID-19 and our Borrowers All borrowers have been impacted by COVID-19 to some extent. It seems apparent that segments like hotels, restaurants, retail and entertainment have been most impacted by the loss of revenue from the national and local attempts to contain its spread. But it appears the CAR
Slide 26: Asset Quality
Asset Quality Classified Asset Ratio NPA/ Loans & OREO Past Dues > 30 Days as a % of Total Loans 0.55% 0.53% 0.51% 0.41% 0.40% 9.9% 0.11% COVID Related Segments: Outstanding Balances Outstanding Balances, excluding PPP At Sept. 30 At June 30 At Mar. 31 At Sept. 30 At June 30 At Mar. 31 Hotel $ 989,8
Slide 27: Asset Quality: Loan Deferrals
Asset Quality The volume of loans with payment deferrals has declined meaningfully Status of loan deferrals as of Oct. 16, 2020 Deferred $ Volume at Deferred $ Volume at Deferred $ Volume at Deferred $ Volume at % of Total Loans in Mar. 31, 2020 June 30, 2020 Sept. 30, 2020 Oct. 16, 2020 Category Ho
Slide 28: Hotel Portfolio
Hotel Portfolio Amounts as of 9.30.20 – Comments as of 10.16.20 Hotel Portfolio Highlights: • Hotel exposure represents 4.4% of total loan portfolio at 9.30.20 • Hotel CRE and Construction LTVs 55% – all first mortgage exposure • Less than 25% of our portfolio is full service; so little of revenue i
Slide 29: Hotel Portfolio
Hotel Portfolio Amounts as of 9.30.20 – Comments as of 10.16.20 ADR, RevPAR & Occupancy Trendlines Hotel Construction Type, Delivery Dates, Volumes 29 Note: Charts above include hotel loans greater than $1mm
Slide 30: Restaurant Portfolio
Restaurant Portfolio Amounts as of 9.30.20 – Comments as of 10.16.20 Restaurant Portfolio Highlights: • Restaurant exposure represents 3.2% of total loan portfolio at 9.30.20 • Nonperformers are only $442k at 9.30.20 • Deferrals at 10.16.20 are less than 4% of total restaurant portfolio • PPP loans
Slide 31: Retail Portfolio
Retail Portfolio Amounts as of 9.30.20 – Comments as of 10.16.20 Retail Highlights • Retail exposure represents 11.3% of total loan portfolio at 9.30.20 • Extremely granular Nonowner-occupied CRE book – over 700 loans average $1.7mm • No mall exposure • 23% of loans are single-tenant, averaging $1.1
Slide 32: Retail Portfolio
Retail Portfolio Amounts as of 9.30.20 – Comments as of 10.16.20 Retail C&I Portfolio Highlights: Retail CRE Owner Occupied Portfolio Highlights: • 10 largest accounts represent 22.8% of balances • 10 largest accounts represent 13.3% of balances • Consumer services includes gas stations w-convenienc
Slide 33: Entertainment Portfolio
Entertainment Portfolio Amounts as of 9.30.20 – Comments as of 10.16.20 Entertainment Highlights: • Entertainment portfolio is approximately 3.1% of total loans • Over 50% of entertainment book is recording industry which is heavily weighted towards music publishing and royalty catalogs • Revenues f
Slide 34: Asset Quality Conclusions
Asset Quality Conclusions Amounts as of 9.30.20 – Comments as of 10.16.20 Extensive credit defense work accomplished in the third quarter, including a review of: • Pass grade loan exposure > $2mm • Low pass grade and non pass grade exposures > $500mm • In total, approximately 2,500 loans with approx
Slide 35: Moving Forward in this Pandemic
Moving Forward in this Pandemic All the impacts of the COVID-19 pandemic are unknown as yet. Duration and severity are likely a function of the length of time before a vaccine is readily available and the final aggregate amount of government stimulus that is injected – both unknowns at this time. At
Slide 36: Q4 Guidance: Focus on Building PPNR
Q4 Guidance: Focus on Building PPNR We have built liquidity and capital and thoroughly assessed loan risks during this crisis • Continue active monitoring of borrowers • Begin reductions in excess liquidity through mid 2021 • Continue focus on PPNR initiatives • Position for once in a generation mar
Slide 37: Record Levels of Expected Bank Switching
Moving Forward in this Pandemic Greenwich: “Record levels of Expected Bank Switching” According to a recent Greenwich Associates survey: • Large bank handling of clients in the pandemic has eroded bank loyalty among businesses and owners • 3 in 10 companies cite intent to switch banks (2-3 times nor
Slide 38: Pinnacle Has Built a Differentiated Service Level
Moving Forward in this Pandemic Pinnacle has built a differentiated service level Nashville Knoxville Chattanooga Memphis 30% 24% 35% 35% Regional Bank C Regional Pinnacle 22% 30% Commercial Market Share 25% Bank C 30% Regional 20% 25% Bank C 20% 25% Regional Regional Bank A 20% Bank B Regional 18%
Slide 39: Pinnacle's Differentiated Experience Results in Rapid Growth
Moving Forward in this Pandemic Pinnacle’s differentiated experience results in rapid growth Nashville Knoxville Chattanooga Memphis Institution Rank YoY Growth % Growth Rank Institution Rank YoY Growth % Growth Rank Institution Rank YoY Growth % Growth Rank Institution Rank YoY Growth % Growth Rank
Slide 40: PNFP's Ability to Grow Following Recessions
Moving Forward in this Pandemic PNFP’s ability to grow following recessions is well documented Annual Loan Growth CAGR: 2001 – 2007 (%) Annual Loan Growth CAGR: 2011 – 2019 (%) 65% 17% 25% 48% 8% 15% 13% 9% 17% 4% PNFP Peer Median Banking Industry PNFP Peer Median Banking Industry Organic Loan Growt
Slide 41: 3Q20 Summary
3Q20 Summary • Visibility on asset quality is very encouraging • EPS, PPNR and revenues are strong • BHG’s asset quality, loan originations, placements and spreads remain very strong • PNFP is extremely well positioned to take advantage of predicted and significant market share opportunity
Slide 42: Q&A Third Quarter 2020
Q&A THIRD QUARTER 2020 einnacle FINANCIAL PARTNERS
Slide 43: Supplemental Information
Supplemental Information Chart • Balance Sheet 44 • Asset Quality 59 • Income Statement 64 • Peer Group 71 43
Slide 44: Balance Sheet – Loan Portfolio
Balance Sheet – Loan Portfolio ($ in millions) Amts. % Amts. % Amts. %s Amts. %s 3Q20 3Q20 2Q20 2Q20 3Q19 3Q19 3Q18 3Q18 C&I $6,144.9 27.4% $6,293.7 27.9% $5,891.0 30.5% $5,006.2 28.7% C&I – Paycheck Protection Program 2,251.0 10.0% 2,222.6 9.9% - - - - CRE – Owner Occ. 2,748.1 12.2% 2,708.3 12.0% 2
Slide 45: Balance Sheet – Loan Portfolio
Balance Sheet – Loan Portfolio ($ in millions) TOTAL PINNACLE TENNESSEE LOANS CAROLINAS/ VA LOANS ATLANTA OTHER UNIT LOANS* Amts. Amts. Amts. Amts. Amts. Amts. Amts. Amts. Amts. Amts. 3Q20 3Q19 3Q20 3Q19 3Q20 3Q19 3Q20 3Q19 3Q20 3Q19 C&I $6,144.9 $5,891.0 $4,371.2 $4,381.2 $858.0 $834.1 $27.4 - $888
Slide 46: Balance Sheet – Loan Portfolio
Balance Sheet – Loan Portfolio ($ in millions) TOTAL PINNACLE C&I & O/O CRE CRE & CONSTRUCTION OTHER LOANS* Amts. Amts. Amts. Amts. Amts. Amts. Amts. Amts. 3Q20 3Q19 3Q20 3Q19 3Q20 3Q19 3Q20 3Q19 Nashville $6,500.4 $6,237.8 $2,851.9 $2,901.2 $2,574.4 $2,246.6 $1,074.1 $1,089.9 Knoxville 1,763.3 1,69
Slide 47: Balance Sheet – Loan Portfolio
Balance Sheet – Loan Portfolio ($ in millions) Amts. % Amts. % Amts. % Amts. % 3Q20 3Q20 2Q20 2Q20 3Q19 3Q19 3Q18 3Q18 Residential – Spec $251.9 1.1% $321.7 1.4% $360.0 1.9% $321.6 1.8% Residential – Custom 164.3 0.7% 165.9 0.8% 129.1 0.7% 146.0 0.8% Residential – Condo 0.4 0.0% 1.2 0.0% 1.0 0.0% -
Slide 48: Balance Sheet – Loan Portfolio
Balance Sheet – Loan Portfolio ($ in millions) TOTAL PINNACLE TENNESSEE LOANS CAROLINAS/VA ATLANTA LOANS OTHER UNIT LOANS LOANS Amts. Amts. Amts. Amts. Amts. Amts. Amts. Amts. Amts. Amts. 3Q20 3Q19 3Q20 3Q19 3Q20 3Q19 3Q20 3Q19 3Q20 3Q19 Residential – Spec $251.9 $360.0 $178.2 $251.0 $73.5 $107.6 $-
Slide 49: Balance Sheet – Loan Portfolio
Balance Sheet – Loan Portfolio ($ in millions) Total NOO and Multifamily Total Construction Total NOO and Construction Amts. Amts. Amts. Amts. Amts. Amts. Amts. Amts. Amts. 3Q20 2Q20 3Q19 3Q20 2Q20 3Q19 3Q20 2Q20 3Q19 Multifamily $571.6 $590.4 $669.7 $651.0 $548.4 $430.0 $1,222.6 $1,138.8 $1,099.7 H
Slide 50: Balance Sheet – Loan Portfolio Lines of Credit
Balance Sheet – Loan Portfolio Lines of Credit ($'s in millions) Linked Qtr. 6/30/2019 9/30/2019 12/31/2019 3/31/2020 6/30/2020 9/30/2020 Change CRE – Investment & Construction Net Active Balance $ 3,591.00 $ 3,814.50 $ 3,870.10 $ 3,929.10 $ 4,090.80 $4,067.10 ($23.70) Net Available Credit 2,736.80
Slide 51: Balance Sheet – Loan Portfolio
Balance Sheet – Loan Portfolio Net Consumer Loan Charge Offs by Loan Type Net Commercial Loan Charge Offs by Loan Type 0.50% 8.00% 7.00% 0.40% 6.00% 0.30% 5.00% 0.20% 4.00% 0.10% 3.00% 2.00% 0.00% 1.00% -0.10% 0.00% -0.20% -1.00% CRE Construction C&I Net commercial Consumer RE Consumer and other Net
Slide 52: Balance Sheet – Loan Portfolio
Balance Sheet – Loan Portfolio ($ in thousands) Description 3Q20 2Q20 1Q20 4Q19 3Q19 2Q19 Loans secured by real estate: Construction, land development, and other loans: 1-4 family residential construction loans $527,743 $580,193 $582,106 $578,443 $575,975 $564,339 Other construction loans and all la
Slide 53: Balance Sheet – Deposit Portfolio
Balance Sheet – Deposit Portfolio ($ in millions) TOTAL DEPOSITS CORE DEPOSITS NONCORE DEPOSITS TOTAL PINNACLE TRANSACTION AND MMDA CDs PUBLIC FUNDS and OTHER DEPOSITS 3Q20 3Q19 3Q20 3Q19 3Q20 3Q19 3Q20 3Q19 Nashville $9,597.4 $7,716.1 $8,864.6 $6,855.3 $487.7 $561.6 $245.1 $299.2 Knoxville 2,283.8
Slide 54: Balance Sheet – Bond Portfolio
Balance Sheet – Bond Portfolio Conservative bond portfolio Portfolio: September 30, 2020 Total Investments $4.5 billion Net Unrealized Gain $102.8 million 3.4% 2.5% Quarter Duration Avg. Yield- TE 3Q20 4.7% 2.4% 2Q20 4.6% 2.6% 1Q20 4.3% 2.8% 33.1% 4Q19 4.8% 2.9% 52.5% 3Q19 4.4% 3.0% 2Q19 4.1% 3.2% 1
Slide 55: Balance Sheet – Bond Portfolio
Balance Sheet – Bond Portfolio 4.00 40.0 Effective Bond Portfolio Composition End of Period 3.50 35.0 3.00 30.0 79% 80% 77% 76% 74% 2.39 % of Total Assets 2.50 25.0 Bond Yields 2.00 20.0 1.50 13.3 15.0 1.00 10.0 26% 23% 24% 0.50 5.0 21% 20% - - 2016Q1 2020Q1 2015Q3 2015Q4 2016Q2 2016Q3 2016Q4 2017Q1
Slide 56: Interest Rate Sensitivity
Interest Rate Sensitivity IRR analysis indicates neutral balance sheet positioning; 100bp +/- ramps and shocks generate <1% NII moves Rate Shock Scenarios Rate Ramp Scenarios 3.0% 6.0% 2.1% 4.1% 2.0% 4.0% Net Interest Income % D Net Interest Income % D 1.0% 2.2% 1.0% 0.8% 2.0% 0.6% 1.0% 0.3% 0.4% 0.
Slide 57: NIM Adjusted for PPP and Liquidity Impact
NIM Adjusted for PPP and Liquidity Impact Estimate that both PPP and Liquidity Build negatively impacted 3Q20 NIM by 0.40% Adjusted Avg Adjusted ProForma Adj. Yield/ Actual Avg Balances ProForma Balances after PF ProForma Interest after Rates/ Yield/ Rate Rates after 3Q20 Adjustments Entries Interes
Slide 58: Current Expected Credit Losses
Current Expected Credit Losses December 31, 2019 Probable Incurred January 1, 2020 March 31, 2020 June 30, 2020 September 30, 2020 Losses CECL Adoption CECL CECL CECL Allowance for Credit Losses Amount % of Loans Amount % of Loans Amount % of Loans Amount % of Loans Amount % of Loans Commercial and
Slide 59: Asset Quality
Asset Quality AS A % OF AS A % OF AS A % OF ($ in millions) September 30, 2020 June 30, 2020 September 30, 2019 TOTAL LOANS TOTAL LOANS TOTAL LOANS NPLs and > 90 days Const. and land development $3,152 0.01% $3,230 0.01% $2,047 0.01% Consumer RE 22,176 0.10% 23,255 0.10% 23,862 0.12% CRE – Owner Occ
Slide 60: Top 10 Hotel Borrowers
Hotel Portfolio Amounts as of 9.30.20 – Comments as of 10.16.20 Exposure at 10 Largest 9.30.20 Hotel Property Deferral at Top 10 Hotel Borrowers Hotel Loans Location ('000s) Loan Type Flag Type 10.16.20 LITTLE ROCK, AR $ 32,894 Term Marriott Full Service No CHATTANOOGA, TN 31,161 Construction Marrio
Slide 61: Restaurant Portfolio
Restaurant Portfolio Amounts as of 9.30.20 – Comments as of 10.16.20 Top 10 Non Owner-Occupied CRE Restaurant Borrowers Exposure at 9.30.20 Deferral at Location ('000s) Franchise Name 10.16.20 NASHVILLE, TN $ 7,572 Local/Independent No C&I and Owner-Occupied CRE Restaurant Borrowers with Exposure Gr
Slide 62: NOO CRE Retail Portfolio
NOO CRE Retail Portfolio Amounts as of 9.30.20 – Comments as of 10.16.20 Exposure at 10 Largest Deferral at 9.30.20 Loan Type Tenant Type Retail Relationships 10.16.20 ('000s) Top 10 Retail NOO CRE NEW BERN, NC $ 26,392 Term Retail Power Center or Lifestyle Center No DELRAY BEACH, FL 26,000 Term Gro
Slide 63: Entertainment Portfolio
Entertainment Portfolio Amounts as of 9.30.20 – Comments as of 10.16.20 Over 50% of entertainment book is recording industry which is heavily weighted towards music publishing and royalty catalogs 10 Largest Exposure at Entertainment Relationships 9.30.20 Loan Entertainment Deferral at ('000) ('000s
Slide 64: Income Statement – Revenue per Common Share
Income Statement – Revenue per Common Share LTM Revenue Per Share Growth vs. Peers $15.00 14.5% 15.0% 13.0% 13.0% 13.0% $14.36 11.9% 11.9% 11.6% $14.05 $14.00 11.3% $13.87 12.0% $13.54 $13.44 11.6% Y/Y Revenue per Share Growth 8.7% 7.3% 8.8% $12.92 $13.00 9.0% Revenue per Share* 7.3% $12.42 7.2% 6.8
Slide 65: Income Statement – Mortgage Volumes
Income Statement – Mortgage Volumes $625,000 5.00% $550,000 4.50% $475,000 4.00% $400,000 3.50% $325,000 3.00% $250,000 2.50% $175,000 2.00% $100,000 1.50% $25,000 1.00% Purchase Money Refinance Gross fees as a % of loans originated 65
Slide 66: BHG Financials
BHG Financials Strong equity to support business model • Strong performance in 3Q20 • Strong cash position to provide increased liquidity and, thus, better withstand any Pandemic losses At Sept. 30, At June 30, At March 31, 2020 2020 2020 3Q 2020 2Q 2020 1Q 2020 Cash and Cash Equivalents $ 279,561,5
Slide 67: Income Statement – Expenses
Income Statement – Expenses $500.0 Employee Retention^ $456.1 $449.8 $441.0 $400.0 $427.5 $426.9 $424.9 $414.3 $415.9 $404.6 3Q18 to 3Q20 $300.0 94% (increase of $20.1 per associate) $200.0 $221.1 $216.9 $215.6 $214.8 $208.1 3Q18 to 3Q20 $206.2 $205.4 $199.0 $201.0 $100.0 (increase of $31.2 per asso
Slide 68: Income Statement: Reconciliation of Non-GAAP Financial Measures
Income Statement Reconciliation of Non-GAAP Financial Measures 68
Slide 69: Income Statement: Reconciliation of Non-GAAP Financial Measures
Income Statement Reconciliation of Non-GAAP Financial Measures 69
Slide 70: Income Statement: Reconciliation of Non-GAAP Financial Measures
Income Statement Reconciliation of Non-GAAP Financial Measures 70
Slide 71: Peer Group
Peer Group Institution Name Ticker City, State Pinnacle Financial Partners PNFP Nashville, TN Valley National Bancorp VLY Wayne, NJ BancorpSouth, Inc. BXS Tupelo, MS Bank of the Ozarks, Inc. OZK Little Rock, AR Simmons First National Corp. SFNC Pine Bluff, AR F.N.B. Corporation FNB Pittsburgh, PA Cu
Slide 72: Investor Call
Investor Call THIRD QUARTER 2020 M. TERRY TURNER, PRESIDENT AND CEO HAROLD R. CARPENTER, EVP AND CFO TIM HUESTIS, EVP AND CHIEF CREDIT OFFICER
Pinnacle Financial Partners — Q3 2020 Earnings Presentation on 6ix