JD Bancshares, Inc. · OTC:JDVB
JD Bancshares — Investor Presentation (September 2021)
18 slides from JD Bancshares's investor presentation, September 2021
Slide 1: JD Bancshares
BANCSHARES
Slide 2: Disclaimer
Disclaimer This presentation includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including those identified by the words “may,” “will,” “should,” “could,” “anticipate,” “believe,” “continue,” “estimate,” “expect,” “forecast,” “intend,” “foc
Slide 3: Overview of JD Bancshares, Inc.
Overview of JD Bancshares, Inc. Commentary Key stats Branch Network • JD Bancshares, Inc. (“JD”) is the holding company for JD $1.36B $586M Total Assets as of Core Loans as of Bank, which was founded in 6/30/21 6/30/21 1947 • JD trades on the OTCQX 36.4% 5.14% under the symbol “JDVB” Deposit growth
Slide 4: Operate in and adjacent to Louisiana's best markets
Operate in and adjacent to Louisiana’s best markets Commentary Lake Charles Lafayette Baton Rouge • The Lake Charles, LA market has benefited from the construction of several multi-billion dollar petrochemical and LNG export facilities • JD has recently expanded into the Lafayette market, Top Employ
Slide 5: JDVB Executive Management
JDVB Executive Management Bruce W. Elder – President, Chief Executive Officer & Director Bruce Elder is the President and CEO of JD Bank headquartered in Jennings, LA. Bruce joined JD Bank in December 2019. JD Bank is a $1.36 billion financial institution with 23 full service branch offices situated
Slide 6: Corporate Time Line
Corporate Time Line 2022 $17.5 million of 2019 subordinated Bruce Elder is 2020 2020 debt becomes appointed as Hurricane Hurricane callable on CEO of JD Laura hits Zeta Hits January 15th, Bancshares Louisiana Louisiana 2022 2017 2019 2020 2021 2022 2020 2020 2020 2021 2017 The Company Hurricane The
Slide 7: Key Accomplishments & Objectives
Key Accomplishments & Objectives Accomplishments Objectives • Enhanced financial reporting – Full earnings • Continue and accelerate loan growth – Remix press release to increase public visibility and balance sheet to enhance profitability internal alignment ‒ Currently exploring LPO expansion oppor
Slide 8: Recent Market Disruption
Recent Market Disruption Commentary Recent Transactions in Market • There have been several significant bank mergers in JD’s Acquirer Target markets • The sale of IberiaBank to First Horizon is the most significant, and the bank signs are due to change in 2022 • Capital One has also been closing bra
Slide 9: Balance Sheet Growth
Balance Sheet Growth $1,400,000 $1,354,238 $1,363,618 $1,287,760 $54,256 $51,600 $51,142 $65,800 $47,700 Commentary $1,200,000 $60,700 $1,000,000 $885,049 $586,624 $869,364 $864,688 $557,945 $806,277 $569,801 • As a result of the COVID-19 $800,000 $52,195 $52,569 $53,925 $54,546 pandemic and the thr
Slide 10: Loan and Deposit Composition
Loan and Deposit Composition Loan Commentary Deposit Commentary CDs < $100K CDs > $100K • JD has a balanced 40,748 80,827 • JD has a very low-cost All Other 3% 7% 46,116 loan portfolio deposit base 7% Total 1-4 • JD’s C&I Non-Interest • Nearly 40% of JD’s C&I Family 467,294 127,936 181,410 concentra
Slide 11: Asset Quality
Asset Quality Net Chargeoffs/ Avg Loans (%) Loan Loss Reserves/ Gross Loans (%) Commentary 0.25% 1.60% 1.40% • JD has solid asset quality 0.20% 1.20% • JD did increase its 0.15% 1.00% 0.80% reserve due to the 0.10% 0.60% COVID-19 pandemic, but 0.40% it has not seen any 0.05% 0.20% meaningful deterio
Slide 12: Loan Yields, Net Interest Margin & Cost of Deposits
Loan Yields, Net Interest Margin & Cost of Deposits Commentary • JD’s net interest margin 6.00% 5.59% 5.43% 5.19% 5.21% 5.27% 5.17% 5.13% has declined due to the change in the composition 5.00% 4.05% 4.41% of its balance sheet 4.14% 4.18% 3.81% • While JD’s deposit costs 4.00% are lower, the mix of
Slide 13: Profitability – ROAA, ROATCE & PPNR / AA
Profitability – ROAA, ROATCE & PPNR / AA Commentary ROAA ROATCE • JD’s profitability has been 1.20% 1.08% 14.00% 12.81% 1.02% depressed by the COVID- 1.00% 12.00% 11.25% 11.18% 19 pandemic related 0.74% 0.76% 10.00% 8.95% 0.80% 0.70% 8.33% provisioning 8.00% 8.05% 0.58% 0.60% 0.53% 6.12% • Profitabi
Slide 14: Profitability – EPS, TBV & Dividends Per Share
Profitability – EPS, TBV & Dividends Per Share Commentary Tangible Book Value / Share EPS $3.00 $30.00 $27.57 $27.88 $2.75 • Tangible book value $2.61 $24.67 $26.23 $2.50 $25.00 $22.41 per share has $2.10 $20.22 $21.04 $20.00 continued to grow $2.00 $1.82 $15.00 • While off peak levels, $1.50 $1.24
Slide 15: Key Investment Considerations
Key Investment Considerations • JD has a solid, low cost deposit base • JD’s loan growth engine has restarted, and it has the opportunity to enhance profitability by remixing its balance sheet • JD’s franchise is located in and adjacent to Louisiana’s most attractive growth markets • JD is one of th
Slide 16: Appendix
Appendix 16
Slide 17: Summary Financials
($000s, except share values) 2016 2017 2018 2019 2020 2021Q1 2021Q2 Summary Financials Balance Sheet Total Assets 806,277 869,364 864,688 885,049 1,287,760 1,354,238 1,363,618 Total Loans HFI 604,880 605,998 625,414 620,734 630,199 625,815 632,675 PPP Loans - - - 60,700 65,800 47,700 Total Deposits
Slide 18: Non-GAAP Reconciliation
Non-GAAP Reconciliation Dollars in thousands 2016 2017 2018 2019 2020 2021Q1 2021Q2 Pre-Provision Pre-Tax Net Revenue Net Interest Income $ 32,208 $ 32,135 $ 33,033 $ 35,133 $ 34,039 $ 8,411 $ 8,896 Total Noninterest Income 6,237 8,682 9,288 9,498 9,761 2,673 3,180 Less: Total Non Interest Expense 3
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