Ameris Bancorp · NYSE:ABCB
Ameris Bancorp — Q2 2013 Earnings Presentation
22 slides from Ameris Bancorp's earnings presentation, Jul 30, 2013
Slide 1: 2nd Quarter 2013 Investor Presentation
Exhibit 99.1 2nd Quarter 2013 Investor Presentation
Slide 2: Cautionary Statements
Cautionary Statements This presentation contains certain performance measures may not be necessarily comparable to similar capital measures determined by methods other than in accordance with that may be presented by other companies. accounting principles generally accepted in the United States of A
Slide 3: Corporate Profile
Corporate Profile • Headquartered in Moultrie, Georgia • Founded in 1971 as American Banking Company • Historically grown through acquisitions of smaller banks in areas close to existing operations • Recently announced merger with Prosperity (St. Augustine, FL) adds 12 Florida offices and $750 milli
Slide 4: Experienced Management Team
Experienced Management Team Name, Position Experience (Banking / Ameris) Edwin W. Hortman Jr. 32/14 Chief Executive Officer Andrew B. Cheney 36/4 EVP & Chief Operating Officer Dennis J. Zember Jr. 20/8 EVP & Chief Financial Officer Jon S. Edwards 28/13 EVP & Chief Credit Officer Stephen A. Melton 32
Slide 5: Current Focus
Current Focus Continue to Realize the Positive Impacts of our Earnings Strategies: • Continue to drive double digit growth in loans and low-cost/no-cost funding. • Maintain improving slope line on operating efficiency believing that the advantage of lower costs will make us more competitive at acqui
Slide 6: 2nd Quarter Update – Financial Condition
2nd Quarter UpdateFinancial – Condition dollars in millions, except per share data Q2 '12 Q3 '12 Q4 '12 Q1 '13 Q2 '13 Change BALANCE SHEET Total Assets $2,920 $2,949 $3,019 $2,862 $2,809 (3.80)% S/T assets & investments 546 492 628 461 418 (23.44) Loans -noncovered 1,385 1,469 1,499 1,535 1,618 16.8
Slide 7: 2nd Quarter Update – Operating Results
2nd Quarter Update O –perating Results dollars in millions, except per share data Q2 '12 Q3 '12 Q4 '12 Q1 '13 Q2 '13 Change PERFORMANCE Net Income $2,495 $1,903 $4,672 $5,285 $6,678 167.66% Net interest income $28,881 $28,238 $29,559 $28,338 $29,476 2.06 Provision for loan losses $7,225 $6,540 $4,44
Slide 8: 2nd Quarter Update – Credit Quality
2nd Quarter Update C –redit Quality dollars in millions, except per share data Q2 '12 Q3 '12 Q4 '12 Q1 '13 Q2 '13 Change CREDIT QUALITY (1) Non-performing assets 80,818 75,550 78,735 77,910 71,696 (11.29) Non-accrual loans 44,421 38,225 38,885 37,476 31,811 (28.39) OREO 36,397 37,325 39,850 40,434 3
Slide 9: Loan Portfolio Detail
Loan Portfolio Detail • Diversified loan portfolio across five regions – Inland Georgia –50% – South Carolina 1 –5% – Coastal Georgia 14% – – Florida –13% – Alabama –8% • In-house lending limit of $10.0 million versus $75 million legal limit – 7 loans greater than $5 million • Loan participations le
Slide 10: Loan Portfolio – Strong Loan Pipelines
Loan Portfoliostrong – loan pipelines Consistent Loan Pipelines¹ Lending Strategies • Leveraging presence in new markets (top five markets account for 70% of pipeline: Atlanta, Jacksonville, Columbia, Savannah, Charleston • Upgrading production positions in key markets: limited changes to expense ba
Slide 11: Loan Portfolio
Loan Portfolio Diversified through smaller relationships as well Portfoliocomprised ofsmallerrelationships RelationshipTotals in LegacyPortfolio (inmillions) Rank Total O/S % of total Top 10 $ 90.6 5.94% Top 50 $ 275.3 18.06% Top 100 $ 421.7 27.63% Top 200 $ 612.0 40.10% Top 300 $ 738.4 48.38% • $13
Slide 12: Significant Value in Deposit Portfolio
Significant Value in Deposit Portfolio Future revenue opportunity is large, and growing • $0.44 per share Additional – earnings embedded in today’s Balance Sheet vs. 2008. Today’s deposit mix would have reduced interest expense by 30% in 2008, or $16.0 million. • Built significant value in our core
Slide 13: FDIC Indemnification Asset
FDIC Indemnification Asset Managing towards the end of loss share protection Classifieds Maturing After L/S All Loans Remaining Original Current Current Original I/A Current I/A % of Original Months to Estimate of Estimate of Estimate as a Bank (000's) (000's) I/A Collect Losses (000's) Losses (000'
Slide 14: Earnings – Growth in Revenue
EarningsContinued – Growth in Revenue Revenue growth through this cycle with opportunistic strategies: 15%+ compounded annual growth rate in total revenue over the last three years Revenue has grown faster than earning assets Significant amount of assets that will be deployed over the next 3 years t
Slide 15: Earnings – Net Interest Margin
Earnings Net - Interest Margin Net Interest Margin (2) (%) “Acquisition Yields” Loans CDs Quarter Yield Quarter Yield Q4 '11 5.38% Q4 '11 0.67% Q1 '12 5.48% Q1 '12 0.65% Q2 '12 5.45% Q2 '12 0.54% Q3 '12 5.28% Q3 '12 0.51% Q4 '12 5.11% Q4 '12 0.44% Q1 '13 5.13% Q1 '13 0.49% Q2 '13 5.01% Q2 '13 0.42%
Slide 16: Earnings – Non-Interest Income
EarningsNon-Interest – Income Serious about building strength and diversification in non- interest income sources • Moving away from deposit charges • Researching unique lines of business • Momentum in our numbers coming from mortgage revenue; we believe we can duplicate that strategy with other LOB
Slide 17: Earnings – Corporate Restructure & Improved Efficiency
EarningsCorporate - Restructure & Improved Efficiency Details regarding the recently announced Corporate Restructuring: • Closed 13 branches since mid-2012. • Reducedbankingdivisionandcorporateheadcountby85since3Q2012.(11.2%of workforce) • To date, we have retained 75%+ of the loans and deposits. •
Slide 18: M&A Opportunities
M&A Opportunities (Significant opportunity building in our 4-State Footprint) Southeast Banking Statistics show positive and negative trends. (Datafor 563banks smaller than Ameris Bank in our four states) • Improvement in credit quality and capital levels of targets and the earnings and multiples of
Slide 19: Acquisition of Prosperity Banking Company - Proforma
Acquisition of Prosperity Banking Company - Proforma Pro Forma Highlights (1) Greenville Assets …………………………… $3.6 billion Columbia Loans …………………………… 2.5 Atlanta Deposits …………………………… 3.0 Branches…………………………… 69 Charleston Montgomery • Natural market extension Savannah adds meaningful scale • Improves t
Slide 20: Acquisition of Prosperity Banking Company - Rationale
Acquisition of Prosperity Banking Company - Rationale • Adds to our growing Northeast Florida presence Franchise • Higher-growth Florida markets represent a natural connection with our current footprint Accretive • Opportunity to become one of a few mid-sized community banks in the Jacksonville MSA
Slide 21: Acquisition of Prosperity Banking Company - Terms
Acquisition of Prosperity Banking Company - Terms Acquiror: Ameris Bancorp (NASDAQ: ABCB) Target: Prosperity Banking Company (Private) (1) Transaction Value: $15.7 million Consideration Mix: Up to 50% cash at shareholder election Per Share Consideration: 3.125 shares ABCB stock or $41.50 in cash per
Slide 22: First Quarter 2013 Investor Presentation
First Quarter 2013 Investor Presentation