Unity Bancorp, Inc. · NASDAQ:UNTY
Unity Bancorp — Q1 2021 Earnings Presentation
18 slides from Unity Bancorp's earnings presentation, May 5, 2021
Slide 1: Unity Bancorp, Inc. 3/31/2021
w Unity BANCORP INC 3/31/2021 NASDAQ: UNTY
Slide 2: Forward-Looking Statements
Forward-Looking Statements y This presentation may contain forward-looking statements with respect to Unity Bancorp’s financial condition, results of operations and business. Do not unduly rely on forward-looking statements. Forward- looking statements can be identified by the use of words such as “
Slide 3: Company Snapshot
Company Snapshot « Founded September 16, 1991 « Headquartered in Clinton, New Jersey + Approximately $2.0 billion in assets and $1.6 billion in deposits + Unity Bank provides financial services to retail, corporate and small business customers through its 19 retail service offices located in Bergen,
Slide 4: Bank Franchise
Bank Franchise 4 Unity Bank Branch Locations Unity Branch Locations Forks Township, PA Phillipsburg, NJ Washington, NJ Clinton, NJ Flemington, NJ Whitehouse, NJ Somerset, NJ North Plainfield, NJ Middlesex, NJ Highland Park, NJ Edison, NJ ‘South Plainfield, NJ ‘Scotch Plains, NJ Union, NJ Linden, NJ
Slide 5: Executive Management Team
Executive Management Team James A. Hughes, CPA George Boyan John J. Kauchak Janice Bolomey President! Chief Financial Officer Chief Operating Officer Director of Sales’ Chief Executive Officer Chief Administrative Officer c Joined in 2000 Joined in 2021 Joined in 1996 Joined in 2001 c 32 years 7 yea
Slide 6: Engaged Board of Directors
Engaged Board of Directors y David Dallas, Chairman of the Board, and Robert Dallas, Board Member, both founding members of the Bank @ Average tenure of Board Members is 15 years @ Diverse experience including financial industry, medical professionals, university professional and business ownership
Slide 7: Recent Financial Performance
Recent Financial Performance
Slide 8: Financial Highlights
Financial Highlights $8.5 $0.80 $1,627.8 $5.4 $0.49 a P | $1,668.4 1,628.4 1Q2020 1Q2021 1Q2020 1Q2021 12/31/2020 3/31/2021 Net Income Diluted EPS Total Loans Total Deposits « Total Loans — 2.5% increase « Total Deposits — 4.5% increase + 1.6% increase in commercial loans + 10.3% increase in savings
Slide 9: Historical Growth
Historical Growth (dollars in millions) Total Assets 2,500.0 1,800.0 Sane sree $1,958,9 _ $2,004.8 Lee, < 425.6 2,000.0 1,400.0 $1,7189 S107 $1,579.2 12000 + $1,455.5 i 1,500.0 imo 1,000.0 = 600.0 500.0 400.0 200.0 2017 2018 2019 2020 3731/2021 2017 2018 2019 2020 3731/2021 Total Deposits 1,800.0 $1
Slide 10: Loan Mix
Loan Mix (dollars in millions) GY $1,800.00 $1,668.4 $1,627.8 CAR om $1,600.00 Loan Composition - Regulatory Classification Non Owner Occ. CRE $1,425.6 sapers $1,400.00 $1,304.6 $72.! $1,200.00 |—$1.170.7 $62, | = $467.6 $448. $1,000.00 5467.7 $436. | 800.00 +|—$366. $600.00 ‘Non Owner Occ. CRE “$ 3
Slide 11: Deposit Trend
Deposit Trend (dollars in millions) yY $1,800.00 * $1,628.4 $1,558.0 $1,600.00 ae Deposit Compos Jumbo CDs___ Money Market 1.7% $1,400.00 $465.5 46% $1,2501 $459.7 : $1,207.7 $1,200.00 1,043.2 $1, rob $2798 $1,000.00 $256.1 Retail CDs $800.00 $600.00 $400.00 $200.00 s- 2017 2018 2019 2020 © 3/31/202
Slide 12: Summary Income Statement and Profitability
Summary Income Statement and Profitability (dollars in millions) Y ‘Net Interest Income $ 15.2 $ 18.0 Provision for Loan Losses 15 0.5 ‘Noninterest Income 2 37 ‘Noninterest Expense 93 9.8 Provision for Income Taxes 15 2.9 Net Income $ 5.4 $ 8.5 Diluted Earnings Per Share $ 0.49 $ 0.80 Return on Aver
Slide 13: Net Interest Income & Net Interest Margin
Net Interest Income & Net Interest Margin (dollars in millions) 4.50%} | $25.00 4.50%) 300% 4.09% 92% aon ———— 4.00% $20.00 318.0 3.50% 3.50% $53.8 $152 3.00%) $15.00 are 3.00% 2.50%, 2.00%) 250% | s10.00 1.50% 2.00% $5.00 a a 0.50% 1.00% s 0.00%) 2017 2018 2019 2020 3/31/2020 3/31/2021 SEEANet Inte
Slide 14: Noninterest Income
; Noninterest Income van (dollars in millions) Y 14.00 .00 ‘ $129 st $3.7 $12.00 0 $10.00 $95 a2.00 59.0 2s $83 $2.50 $8.00 $2.00 $6.00 $1.50 $4.00 $1.00 $2.00 500 s- s- 2017 2018 2019 2020 3/31/2020 3/31/2021 es hicniwineraen Aconne: @Noninterest Income
Slide 15: Noninterest Expense
Noninterest Expense (dollars in millions) $50.00 237% 234% 2.50% $14.00 ——--___—__, 2.50% ‘ : 2.25% 2.24% 227% . $45.09 |_—_“## 2.10% $12.00 $40.00 2.00% 2.00% $35.00 310.00 $30.00 1.50% | | $8.00 Tae $25.00 $6.00 1.00% $20.00 + + 1.00% 4.00 $15.00 Ss 0.50% $10.00 0.50% $2.00 $5.00 $- | 9.00% s- 0.0
Slide 16: Profitability Progression
Pen fits ili Dy, rACET Profitability Progression yY $2.50 $1.00 $2.14 S219 $2.01 $0.80 $2.00 $0.80 $1.50 $136 $0.60 $0.49 $1.00 $0.40 $0.50 = $0.20 $0.3 $0.2 $0.0 $0.0 s- s- 2017 2018 2019 3/31/2020 3/31/2021 "Dividends Per Share Diluted EPS Dividends Per Share Diluted EPS
Slide 17: Repurchased Shares
Repurchased Shares wy 2021 Stock Buyback January| - $ - $ - $ s February 60,095 1,152,561 3,050 19.18 March 9,692 193,647 507 19.98 Remaining Shares Available| 700,688 $ = 1,155,611 194,154
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