Provident Financial Holdings, Inc. · NASDAQ:PROV
Provident Financial — Q3 FY2020 Earnings Presentation
15 slides from Provident Financial's earnings presentation, Apr 28, 2020
Slide 1: Third Quarter of Fiscal 2020
PROVIDENTif& Provident Financial Holdings, Inc. Third Quarter of Fiscal 2020 March 31, 2020 Www.myprovident.com
Slide 2: Safe Harbor Statement
Safe Harbor Stateme This presentation contains statements that the Company believes are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to the Company's financial condition, liquidity, results of operations, plans, obje
Slide 3: Market Highlights
Market Highlights Provident Financial Holdings, Inc. Nasdaq GS: PROV Share Price: $15.23 52-Week Range: $12.00 - $22.99 Shares Outstanding: 7,436,315 shares Market Capitalization: $113.3 million P/E (ttm): 17.11x Diluted EPS (ttm): $0.89 Annual Dividend & Yield: $0.56 (3.68%) As of March 31, 2020 PS
Slide 4: Branch locations and market position
Blythe Canyon Crest, Riverside Corona, Corporate Office, Riverside Downtown, Riverside Hemet La Sierra, Riverside Moreno Valley Orange Crest, Riverside Rancho Mirage Redlands Sun City Temecula _ eo i. SBP Cot hee pe Apt ceed. eg 7012 Meso Cone, 10 HERE > Largest independent community bank Expanding
Slide 5: Financial Performance
cial Performa e Developments Net Interest Income , 9 (htiions) _ $9.8 > Net Interest Income decreases approximately 7% (sequential 00 + = = quarter) 2 soe SY = > Net Interest Margin decreases by 29 basis points (sequential a S88 quarter) > Provision for Loan Losses increases to $874,000 in the third
Slide 6: Financial Performance: Earnings
cial Performa e Pre-Provision, Pre-Tax Earnings (Loss) Pre-Tax Income (Loss) (nitaons) (nttions) $40: $3.4 $3.4 ‘$4.0 $36 $35 335 335 $30 $30 $25 TT $25 J $20 [7 $20 7] 15 77] 31.5 77] $1.0 TT $1.0 TJ $0.5 PT $05 tT] s s $5) $0.3) bee (0.3) st.) st.) carvig aaFvIg aéFYi@ aiFY20 aaF20 _aaFv20 carvig
Slide 7: Financial Ratios
Financial Ratios Net Interest Margin Efficiency Ratio 4.00% 10.00% 354% 359% 3.52% «© SEHK 3.59% 102.68% 2.30% 100.00% 3.00% fT 90.00% 2.00% +] 80.00% 70.00% 1.00% tT 60.00% a 0.00% + aarvig” GaFYI9 GAFVIg aIFY20 G2FY20 " GaFY20 aaFvia” aaFvig G4Fvi9 aiFY20 ” aaFv20 ” a2FY20 Return on Average Assets
Slide 8: Balances and Activity
Balances and Activity Developments Loan to Investment Mix > Loans Held for Investment balance increases 3% from $1,200 March 31, 2019. . ; 1,000 > Yield on Loans Held for Investment decreases 16 basis points from March 31, 2019 _ se00 > Deposit costs decline by three basis points from March 5 31, 20
Slide 9: Balances and Activity: Loans Held for Investment Composition
Balances and Activi Loans Held for Investment Composition ‘Loan Category Balance as Interest Balance as Interest {Dollars in Thousands) of 03/3120 Rate of 03/31/19__Rate Single-Family S szeese 410% 5 s1g82¢ 4.52% Muti-Famiy aT5981 4.33% 440812 4.36% Commercial Real Estate soso: 4.78% 115965 492% Con
Slide 10: Balances and Activity: Deposits and Borrowings
Balances and Activity Deposits and Borrowings Deposit Composition Category (Dollarsin Thousands) _At03/34/2020 Rate At0331/2019 Rate Checking Accounts-Non terestBearng $ 86585 -% S 90874 -% ‘Checkng Accounts Interest-Bearing 210,369 0.12% 269649 012% Savings Accounts 261659 020% 271,971 020% Money M
Slide 11: Asset Quality
Asset Quality Developments NPA, NPA to Total Assets Ratio and ALLL to LHI Ratio 10,000 1.00% > Low level of Non-Performing Assets > Non-Performing Assets to Total Assets Ratio of 0.33% on s7500 ae ors March 31, 2020 . > No REO i #5000 050% > Early-Stage Delinquencies remain at low levels = 2500 025%
Slide 12: Asset Quality: Allowance for Loan Losses
Asset Qual Allowance for Loan Losses (ALLL) (in Thousands) $10,000, $7,810 $8,000 T5761 $7,080 $7,076 $6929 $5,921 $6,000 $4,000 $2,000 12RINe 0881/19" OBOE OBZO9 121/19 03/31/20 Delinquent and Non-Performing Loans ALLL Allocation as of 03/31/20 1 2%8 0%, 10% BSingle-Famiy aid uti-Famity J2.Commerci
Slide 13: Asset Quality: Geographic Location
Asset Quality Geographic Location Inland Empire Southern Caifomia™ __ Other Catfomia Other States. Total category Balance Percentage Balance Percentage Balance Percentage Galanos Percentaye Salance _Percentage| Singe-Farily ed Muti-Family eerss 14% Oats em 07029 2 315 Om a5S2 100% CommerialReslEsist
Slide 14: Asset Quality: Loans Held for Investment by Type
Asset Quali Single-Family (15) Loans Held for Investment Multi-Family — Loans Held for Investment fears we Coa oe foe Tae oe Ce a Foe ese ee fecectngiv® | “erm |‘tm | cm |'tom | om | om | em [tox | em | em | feomnoen | am [am fam [iam [am fam fam | am | om | ow Rests ian fas fae |e fr [ae (ae Pes |e
Slide 15: Capital Management
Capital Management Developments > Bank Capital Ratios remain strong > 3.68% cash dividend yield (approximately) > Repurchased approximately 47,000 shares of common stock Bank Capital Ratios Stock Repurchase Plan Activity Gof Shares) 48,756 50,000 40,000 30,000 20,000 aaFyie ” asFvia asFyig) aiFY20 ”
Provident Financial Holdings — Q3 FY2020 Earnings Presentation on 6ix