Kearny Financial · NASDAQ:KRNY
Kearny Financial — Shareholder Meeting (October 2021)
27 slides from Kearny Financial's shareholder meeting presentation, Oct 28, 2021
Slide 1: Annual Meeting of Stockholders
Annual Meeting of Stockholders October 28, 2021 10:00 AM
Slide 2: Welcome and Introductory Remarks
Welcome and Introductory Remarks Craig L. Montanaro Director, President and Chief Executive Officer
Slide 3: Members of the Board of Directors
John J. Mazur, Jr., Chairman Theodore J. Aanensen John F. McGovern Raymond E. Chandonnet Craig L. Montanaro John N. Hopkins Leopold W. Montanaro Catherine A. Lawton Christopher Petermann Joseph P. Mazza Charles J. Pivirotto John F. Regan Members of the Board of Directors
Slide 4: Executive Management Team
Executive Management Team Eric B. Heyer Senior Executive Vice President Chief Operating Officer Keith Suchodolski Executive Vice President Chief Financial Officer Patrick M. Joyce Executive Vice President Chief Lending Officer Anthony V. Bilotta, Jr. Executive Vice President Chief Banking Officer Th
Slide 5: Corporate Secretary, Counsel and Other Participants
Corporate Secretary Kearny Financial Corp. Gail Corrigan Senior Vice President Legal Counsel Luse Gorman, PC Marc Levy, Esq. Independent Registered Public Accounting Firm Crowe LLP Andrey Dragun, CPA Senior Manager Inspector of Election Computershare Amilja Regan Assistant Vice President Other Parti
Slide 6: Business of the Meeting
Business of the Meeting Proposals to be voted upon: Election of four directors, each for a three-year term; Approval of Kearny Financial Corp. 2021 Equity Incentive Plan; Ratification of the appointment of Crowe LLP as the Company’s independent auditor for the fiscal year ending June 30, 2022; Advis
Slide 7: Review of Financial Results Fiscal Year Ended June 30, 2021
Review of Financial Results Fiscal Year Ended June 30, 2021
Slide 8: Forward-Looking Statements
This presentation may include certain “forward-looking statements,” which are made in good faith by Kearny Financial Corp. (the “Company”) pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncer
Slide 9: Company Overview
NASDAQ: KRNY Market Cap: $981.6 million1 Founded in 1884 Top 10 New Jersey-based financial institution by assets 48 full-service branches2 in 12 counties throughout northern and central New Jersey and New York City Active acquirer, having completed 7 whole-bank acquisitions since 1999 1 As of Octobe
Slide 10: Financial Highlights
Financial Highlights Net income increased 41% to $63.2 million, or $0.77 per share Net interest margin expanded 27 bps to 2.80% Completed acquisition of MSB Financial Corp., adding assets of $581.9 million Core non-maturity deposits grew $712.5 million, or 27.5% Increased gain on sale of loans by $2
Slide 11: Capital Strength
Capital Strength Tier 1 Leverage Ratio2 Total Risk-Based Capital Ratio2 Peer group includes BRKL, BMTC, CLBK, CNOB, DCOM, FLIC, FFIC, LBAI, EBSB, NFBK, PGC, STBA, TMP, TRST Peer group Tier 1 Leverage and Total Risk-Based Capital Ratios based on March 31, 2021 results. Source: S&P Global Market Intel
Slide 12: Capital Management
Capital Management Capital Returned to Stockholders $714 million of capital returned to stockholders via dividends and share repurchases over the past 5 years During fiscal 2021, 10.6 million shares repurchased at an average price of $11.26 per share, or 107% of 06/30/21 tangible book value Source:
Slide 13: Earnings Performance
Earnings Performance Net Income & Return on Average Assets1 Earnings per Share1 1) Although management believes core net income, EPS and ROAA, which are non-GAAP measures, are useful to investors by providing a greater level of understanding of its business, they should not be considered a substitut
Slide 14: Deposits
1 As of and for the quarter ended June 30, 2021. Source: S&P Global Market Intelligence & Company Filings Deposits Consolidated 15 branches over a two-year period while shifting the deposit base towards lower cost core deposit relationships Deposit Composition1 Deposit Growth Consolidated 15 branche
Slide 15: Mortgage Banking
Mortgage Banking 1-4 Family Avg. LTV = 59.0% Home Equity Avg. LTV = 41.0% $350,000 $300,000 $250,000 $200,000 $ 150,000 $100,000 $50,000 $0 $84,430 $713 2017 FY $78,766 $742 2018 FY $54,288 $524 2019 FY $282,277 $3,159 202 FY $285,385 $5,147 2021 FY $8,000 $7,000 $6,000 $5,000 $4,000 $3,000 $2,000 $
Slide 16: Portfolio Lending
Portfolio Lending Loan Composition1 Geographic Distribution2 1 As of and for the quarter ended June 30, 2021. Certain reclassifications have been made to conform to the current year presentation. Such reclassifications had no impact on net income or stockholder’s equity as previously reported. 2 As
Slide 17: Asset Quality
Asset Quality Net Charge-Offs / Average Loans Non-Performing Assets / Total Assets 1 As of June 30, 2021; amounts shown in millions 2 The Company adopted CECL methodology effective FY 2021 Q1 Source: S&P Global Market Intelligence & Company Filings Non-Performing Loans1 Allowance for Credit Losses o
Slide 18: M&A History and Strategy
M&A History and Strategy Experienced acquirer and integrator, having successfully completed 7 whole-bank acquisitions over the past 25 years Opportunistic acquisition strategy with an emphasis on: Low premium deals Similar or complementary business models Expansion in existing or contiguous markets
Slide 19: Technology Roadmap
Technology Roadmap Omni-channel sales and service model Traditional in-branch products available online and via mobile channels Adoption of Glia, a next-generation digital client service solution Acquisition of best-in-breed digital and mobile banking front-end solutions Streamline the client experi
Slide 20: Environment, Social & Governance (ESG)
Environment, Social & Governance (ESG) The Company’s inaugural ESG Report was released in September 2021, disclosing the Company’s efforts related to: Environmental sustainability and carbon footprint reduction Cyber security, community re-investment and affordable housing initiatives Human capital
Slide 21: Financial Update First Quarter Fiscal 2022
Financial Update First Quarter Fiscal 2022
Slide 22: First Quarter Fiscal 2022
First Quarter Fiscal 2022 Repurchased 3.2 million shares at $12.35 per share Authorized additional 10% repurchase plan on 9/22/21 Increased dividend 10%, to $0.11 per share Financial Highlights Record net income of $19.7 million, or $0.26 per share Net interest margin expanded 7 bps to 2.99% Non-int
Slide 23: First Quarter Fiscal 2022 Deposits and Loans
1 As of and for the quarter ended September 30, 2021. Source: S&P Global Market Intelligence & Company Filings Deposit Composition1 First Quarter Fiscal 2022 LTV by Real Estate Secured Segment1 Loan Composition1 QTD Cost of Deposits 0.29% 11.7% 35.9% 20.2% 32.2% Noninterest bearing DDA Interest bear
Slide 24: Questions? Stockholder Questions
Questions? Stockholder Questions
Slide 25: Report of the Inspector of Election
Report of the Inspector of Election Results of Voting
Slide 26: Annual Meeting of Stockholders
Annual Meeting of Stockholders October 28, 2021 10:00 AM
Slide 27: Non-GAAP Reconciliation
Non-GAAP Reconciliation } isan rece WepeEE A Fis Tan For parenied | BTR arene
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