Bank Of Marin Bancorp · NASDAQ:BMRC
Bank Of Marin Bancorp — Piper Sandler Western Financial Services Conference 2021
20 slides from Bank Of Marin Bancorp's conference presentation, Mar 1, 2021
Slide 1: Banking with discipline and financial strength
Banking with discipline and financial strength Piper Sandler Western Financial Services Conference March 2, 2021
Slide 2: Forward-Looking Statements
2 Nasdaq: BMRC Forward-Looking Statements This presentation may contain certain forward-looking statements that are based on management's current expectations regarding economic, legislative, and regulatory issues that may impact Bancorp's earnings in future periods. Forward-looking statements can b
Slide 3: Bank of Marin Bancorp
Bank of Marin Bancorp Recent awards: FIVE STAR BANK BAUER 3 Nasdaq: BMRC Headquarters Novato, California Marin County, North of San Francisco Employees, full-time equivalent 289 Assets $2.9 billion Market capitalization $500 million (As of 2/26/21) Total loans $2.1 billion Total deposits $2.5 billio
Slide 4: Management team
Russell A. Colombo President, Chief Executive Officer •46 years in banking •Comerica Bank, Imperial Bank, Security Pacific, Union Bank Tim Myers EVP, Chief Operating Officer •25 years in finance and banking •U.S. Bank, Comerica Bank, Imperial Bank Rich Lewis EVP, Chief Information Officer •25 years
Slide 5: Balanced Approach to Growth Creates Long-Term Value
5 Nasdaq: BMRC Balanced Approach to Growth Creates Long-Term Value 5 year average annual return: 7.3%1 1As of December 31, 2020 10 year average annual return: 9.0%1 Total annual shareholder return averages 11.0% over 20 years1 As of 2/26/21 the stock price was $37.00
Slide 6: Leading Community and Commercial Bank Serving the San Francisco Bay Area
6 Nasdaq: BMRC • 22 branches and 7 commercial banking offices located across 7 Bay Area counties. • Sound underwriting produces a high-quality loan portfolio with industry-leading credit metrics even in challenging economic periods. • Prudent lending paired with low- cost deposit base drives consist
Slide 7: Steady Loan Growth: Prudent, Sustainable Growth Model
Steady Loan Growth: Prudent, Sustainable Growth Model 7 Nasdaq: BMRC ($ billions) Five-year compound annual loan growth rate: 7.6% (4.4% excluding PPP loans) 2 1 Net of deferred unaccreted PPP loan fees and costs of $5.4 million. 2 Compounded annual growth rate from December 31, 2015 to December 31,
Slide 8: Low-Cost Deposit Base: A Key Competitive Advantage
Low-Cost Deposit Base: A Key Competitive Advantage ($ billions) 8 Nasdaq: BMRC 1 Compounded annual growth rate from December 31, 2015 to December 31, 2020. Q4 2020 Cost of Deposits 0.07% Five-year compound annual deposit growth rate: 7.7% (9.1% including off-balance sheet deposits) 1 (up from 45% at
Slide 9: Asset Quality: Disciplined Underwriting Standards Mitigate Risk
Asset Quality: Disciplined Underwriting Standards Mitigate Risk and Produce Strong Asset Quality Through Economic Cycles NPAs / Total Assets NCO / Average Loans 9 Nasdaq: BMRC Net Charge-offs [ Net Recoveries [
Slide 10: COVID-19 Response – Payment Relief Program Status Update
10 Nasdaq: BMRC COVID-19 Response – Payment Relief Program Status Update • Bank of Marin provided payment relief for 269 loans totaling $403 million since the onset of the pandemic, most of which have resumed normal payments or been paid off. • 21 borrowing relationships with 29 loans accounted for
Slide 11: COVID-19 Response – Paycheck Protection Program (PPP)
11 Nasdaq: BMRC COVID-19 Response – Paycheck Protection Program (PPP) Tiers as of 12/31/2020 Funded Balance Tier Amount (in thousands) % of Total Number of Loans % of Total Number $150M and less $ 58,725 20 % 1,309 74 % >$150M - $350M 60,873 20 % 270 15 % >$350M - $1MM 81,546 27 % 152 9 % >$1MM - $2
Slide 12: 2020 Financial Measure Results
2020 Financial Measure Results 12 Nasdaq: BMRC As of, and for the quarter and year ended December 31, 2020. *(Unfavorable) or favorable change from fiscal year 2019. Q4’20 FY’20 Δ FY’19* Earnings $8.1MM $30.2MM ($4.0MM) Diluted EPS $0.60 $2.22 ($0.26) Deposit Cost 0.07% 0.11% 9bps Total Deposits $2,
Slide 13: Net Interest Margin
Net Interest Margin 13 Nasdaq: BMRC 1 Peer group includes major exchange-traded Western region banks with assets of $1 billion to $6.5 billion. * Latest available peer data as of Q3 2020. 1 *
Slide 14: Expense Control and Net Interest Margin Compression
14 Nasdaq: BMRC • Continually reviewing interest rate risk management strategies • Adapting to changes in customer behavior due to digital banking enhancements and pandemic safety protocols • Assessing our branch footprint to best align with changes in customer behavior due to increased utilization
Slide 15: Low Efficiency Ratio Demonstrates Disciplined Expense Control
15 Nasdaq: BMRC Low Efficiency Ratio Demonstrates Disciplined Expense Control 1 Peer group includes major exchange-traded Western region banks with assets of $1 billion to $6.5 billion. * Latest available peer data as of Q3 2020. * 1 Bank of Napa Acquisition
Slide 16: Strong Capital Ratios Support Future Growth Opportunities
Strong Capital Ratios Support Future Growth Opportunities 16 Nasdaq: BMRC
Slide 17: Peer Comparison Financial Measures
Peer Comparison Financial Measures 17 Nasdaq: BMRC BMRC Q3 2020 Peer Median Percentile Non-Interest Bearing/Total Deposits 53.9% 37.6% 100% Gross Loan Growth Rate (year over year) 17.2% 16.4% 53.6% NPAs/Assets 0.05% 0.32% 96.6% Efficiency Ratio 57.8% 57.6% 48.9% Return on Average Assets 0.98% 1.04%
Slide 18: Dependable Earnings and Dividend Growth
Dependable Earnings and Dividend Growth 18 Nasdaq: BMRC 1 Prior period share and per share data have been adjusted to reflect the two-for-one stock split effective in 2018. 11 D o ll a rs p e r s h a re $ M M
Slide 19: Executing Bank of Marin's Growth Strategy
Executing Bank of Marin’s Growth Strategy 19 Nasdaq: BMRC • Economic impacts of the pandemic will likely persist through the first half of 2021. The Bank will focus on customer retention, maintaining credit quality, and new business development. • As economic conditions improve, our offices are full
Slide 20: Contact Us
Contact Us 20 Nasdaq: BMRC Russell A. Colombo President & Chief Executive Officer (415) 763-4521 russcolombo@bankofmarin.com Tani Girton EVP, Chief Financial Officer (415) 884-7781 tanigirton@bankofmarin.com Tim Myers EVP, Chief Operating Officer (415) 763-4970 timmyers@bankofmarin.com Media Request
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