German American Bancorp, Inc. · NASDAQ:GABC
German American Bancorp — KBW Winter Financial Services Conference 2025
23 slides from German American Bancorp's conference presentation, Feb 12, 2025
Slide 1: KBW Winter Financial Services Conference
Symbol: GABC February 13-14, 2025 KBW Winter Financial Services Conference German American 1 Scan for electronic presentation
Slide 2: Presented By
Presented By D. Neil Dauby, Chairman and Chief Executive Officer (812) 482-0707 neil.dauby@germanamerican.com Bradley M. Rust, President and CFO (812) 482-0718 brad.rust@germanamerican.com 2
Slide 3: Cautionary Note Regarding Forward-Looking Statements
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS When used in this presentation and our oral statements, the words or phrases “believe,” “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimate,” “project,” “plans,” or similar expressions are intended to identify “fo
Slide 4: Who We Are
Indiana, Kentucky & Ohio Community-focused Financial Services Organization Who We Are 4 $8.3 Billion Total Banking Assets $3.7 Billion Investment & Trust Assets Under Management ~1100 Team Members 94 Banking Offices in Indiana, Kentucky & Ohio
Slide 5: Our Strategic Position
Out-perform and “out-local” competitors Build long-term, multi-line client relationships based on trust and customer service excellence Deliver the right balance of high touch/high tech customer experience Increase non-interest income Excel at both organic and targeted M&A growth Attract
Slide 6: History of Superior Financial Performance
History of Superior Financial Performance 6 Bank Director Magazine - Top 20 of 300 Largest Publicly Traded Banks for 2017 & 2018 Newsweek Best Banks in America (Indiana) 2020, 2021 & 2024 2022 S&P Global Top 20 Best Performing Banks between $3 and $10 Billion 2023 S&P Global Top 30 Best Performing B
Slide 7: Financial Trends
FINANCIAL TRENDS 7
Slide 8: Total Assets and Return on Average Assets
Total Assets 8 $4,978 $5,609 $6,156 $6,152 $6,296 1.32% 1.57% 1.26% 1.43% 1.34% 12/31/20 12/31/21 12/31/22 12/31/23 12/31/24 (dollars in millions, except per share amount) Return on Average Assets * 2022 was impacted by acquisition-related expenses and the Day 1 provision for credit losses under the
Slide 9: Loan Portfolio Trends
Loan Portfolio Trends 9 $3,088 $3,004 $3,785 $3,971 $4,125 82% 81% 81% 81% 80% 12/31/20 12/31/21 12/31/22 12/31/23 12/31/24 Total Loans, Net of Unearned Income Commercial & Agricultural Loans as % of Total Loans (dollars in millions) 58.50% 56.62% 52.07% 56.26% 61.23% 31.70% 31.35% 31.86% 31.49% 33.
Slide 10: Diversified Loan Portfolio
Floating 24% Fixed 33% 1 YR Adjustable 10% 3 YR + Adjustable 33% Rate Type Segmentation Diversified Loan Portfolio 10 Construction & Development Loans $ 304.4 million 7% Agricultural Loans $ 438.8 million 11% Commercial & Industrial Loans $ 628.8 million 15% Commerical Real Estate Owner Occupied $ 5
Slide 11: Non-Performing Assets to Total Assets
Non-Performing Assets to Total Assets 11 0.44% 0.26% 0.23% 0.15% 0.18% 0.52% 0.34% 0.29% 0.37% 0.46% 12/31/20 12/31/21 12/31/22 12/31/23 12/31/24 GABC Peer Group * *Peer Group (St. Louis Federal Reserve District BHC with Total Assets between $3 and $10 billion) Data as of 9/30/24.
Slide 12: Total Deposits
Total Deposits 12 $4,107 $4,744 $5,350 $5,253 $5,329 88% 93% 92% 85% 83% 12/31/20 12/31/21 12/31/22 12/31/23 12/31/24 Non-Maturity Deposit Accounts as % of Total Deposits (dollars in millions) 2020 0.35% 2021 0.11% 2022 0.24% 2023 1.10% 2024 1.71% Cost of Deposits Per Year 3/31/2024 1.62% 6/30/2024
Slide 13: Total Deposit Composition
Commercial $1,578 million 29% Public Fund $1,262 million 24% Retail $2,489 million 47% 13 Total Deposit Composition as of 12/31/2024 Non-Interest Bearing Demand $1,399 million 26% Interest Bearing Demand, Savings & Money Market $3,013 million 57% Time Deposits > $100,000 $590 million 11% Time Deposi
Slide 14: Total Shareholders' Equity
Total Shareholders' Equity 14 $625 $668 $558 $664 $715 12/31/20 12/31/21 12/31/22 12/31/23 12/31/24 (dollars in millions)
Slide 15: Regulatory Capital Levels
Regulatory Capital Levels 15 17.15% 15.72% 15.02% 12.28% 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 14.00% 16.00% 18.00% 20.00% Total Capital (to Risk Weighted Assets) Tier 1 (Core) Capital (to Risk Weighted Assets) Common Tier 1 (CET 1) Capital Ratio (to Risk Weighted Assets) Tier 1 Capital (to Av
Slide 16: Net Interest Income
Net Interest Income 16 $155,243 $160,830 $200,584 $190,433 $190,591 3.63% 3.31% 3.45% 3.58% 3.43% 12/31/20 12/31/21 12/31/22 12/31/23 12/31/24 Net Interest Margin (Tax-Equivalent) (dollars in thousands)
Slide 17: Non-Interest Income
Non-Interest Income 17 As of December 31, 2024 Net Gains on Sales of Loans $3.1 million 5% Insurance Revenues $4.4 million 7% Service Charges on Deposit Accounts $12.7 million 20% Wealth Management $14.4 million 23% Interchange Fee Income $17.1 million 27% Other Operating Income $11.0 million 18% To
Slide 18: Non-Interest Expense
Non-Interest Expense 18 $117,123 $124,007 $154,191 $144,497 $146,377 54.3% 54.4% 56.6% 55.1% 49.2% 12/31/20 12/31/21 12/31/22 12/31/23 12/31/24 Efficiency Ratio * 2022 was impacted by acquisition-related expenses for the CUB transaction that closed on January 1, 2022 of $12,323. * (dollars in thousa
Slide 19: Net Income & Earnings Per Share
Net Income & Earnings Per Share 19 $62,210 $84,137 $81,825 $85,888 $83,811 $2.34 $3.17 $2.78 $2.91 $2.83 12/31/20 12/31/21 12/31/22 12/31/23 12/31/24 Earnings Per Share * 2022 was impacted by acquisition-related expenses and the Day 1 provision for credit losses under the CECL model for the CUB tran
Slide 20: Why Invest in GABC? Earnings Per Share Growth
Why Invest in GABC? 20 $1.07 $1.27 $1.32 $1.43 $1.51 $1.57 $1.77 $1.99 $2.29 $2.34 $3.17 $2.78 $2.91 $2.83 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 As of 12/31 for years shown * Earnings Per Share adjusted for 3-for-2 stock split completed in 2017 ** 2022 was impacted by
Slide 21: Why Invest in GABC? Dividends Per Share
Why Invest in GABC? 21 $0.40 $0.43 $0.45 $0.48 $0.52 $0.60 $0.68 $0.76 $0.84 $0.92 $1.00 $1.08 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 *Dividends per share adjusted for 3-for-2 stock split completed in 2017 As of 12/31 for years shown * * * *
Slide 22: Why Invest in GABC?
Why Invest in GABC? 22 Diversified Footprint of Rural, Suburban, and Urban Markets Providing a Strong Deposit Franchise Base Along with Significant Organic Growth Opportunities Existing Platform for Continuous Improvement and Operating Efficiency Infrastructure in Place for Perpetuating Ongoing EPS
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