Magyar Bancorp, Inc. · NASDAQ:MGYR
Magyar Bancorp — Shareholder Meeting (February 2023)
25 slides from Magyar Bancorp's shareholder meeting presentation, Feb 16, 2023
Slide 1: 2023 Annual Shareholders Meeting
1 2023 Annual Shareholders Meeting February 16, 2023
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains statements about future events that constitute forward - looking statements within the meaning of the Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward - looking statements may be ident
Slide 3: Magyar Bancorp, Inc. Overview
Magyar Bancorp, Inc. Overview ▪ Magyar Bank, a New Jersey chartered savings bank originally founded in 1922, is the wholly owned subsidiary of Magyar Bancorp, Inc. ▪ Magyar Bancorp, Inc., trades on NASDAQ under the symbol MGYR. ▪ As of December 31, 2022, we had $822 million in total assets, $666 mil
Slide 4: Magyar Bank Branch Locations
4 Magyar Bank Branch Locations
Slide 5: Deposits by Branch
Deposits by Branch $235 $130 $108 $46 $29 $46 $48 $299 $126 $94 $45 $27 $36 $37 0 50 100 150 200 250 300 350 New Brunswick - HQ South Brunswick North Brunswick Branchburg Bridgewater North Edison Edison - Tano Mall Dollars in Millions Total Deposits - 12/31/21 Total Deposits - 12/31/22 5 Totals excl
Slide 6: 2022 Highlights
2022 Highlights ▪ Net Income $7.9 million, 29% increase over 2021, second consecutive year of record earnings ▪ Dividends ▪ Special dividend $0.08 per share paid in December 2022 ▪ First full year of quarterly dividends of $.03 per share ▪ Technology Upgrades ▪ Online deposit opening launched spring
Slide 7: 2022 Highlights
2022 Highlights ▪ Deployment of capital from 2 nd step produced strong loan growth ▪ Recognized as 5 - star Bank by Bauer Financial 7
Slide 8: Financial Highlights
Financial Highlights Magyar Bank Semply Magnificent for over 100 Years
Slide 9: Asset Trend
Asset Trend $300 $400 $500 $600 $700 $800 $900 Dollars in Millions Loans Investments & Cash Other $630 $774 $822 $624 $799 $754 9
Slide 10: Loan Composition
Loan Composition $- $100 $200 $300 $400 $500 $600 $700 9/30/18 9/30/19 9/30/20 9/30/21 9/30/22 12/31/22 Dollars in Millions 1-4 Family Residential Commercial Real Estate Construction PPP Commercial/Business HELOC Other 10 $523 $629 $512 $594 $611 $676
Slide 11: 2022 Loan Originations
2022 Loan Originations Residential/Home Equity 17% SBA 7% Construction 10% Stock/Consumer <1% Commercial/Business 66% 11 $159 million total
Slide 12: Non-Performing Assets/Assets
Non - Performing Assets/Assets 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 9/30/18 9/30/19 9/30/20 9/30/21 9/30/22 12/31/22 Non-Performing Loans OREO 1.63% 12 2.29% 0.51% 1.52% 0.39% 1.14%
Slide 13: Deposit Composition
Deposit Composition $530 $530 $618 $640 $668 $676 $0 $100 $200 $300 $400 $500 $600 $700 $800 9/30/18 9/30/19 9/30/20 9/30/21 9/30/22 12/31/22 Dollars in Millions CDs (inc. IRA) Savings Accounts Money Market Accounts Checking 13
Slide 14: Checking Deposit Composition
Checking Deposit Composition $151 $154 $229 $253 $280 $282 $0 $50 $100 $150 $200 $250 $300 $350 $400 9/30/18 9/30/19 9/30/20 9/30/21 9/30/22 12/31/22 Dollars in Millions Non-Interest Checking Interest Checking 14
Slide 15: Quarterly Net Interest Margin
Quarterly Net Interest Margin 3.57% 3.46% 3.37% 3.72% 3.83% 3.60% 1.48% 1.51% 2.38% 2.89% 3.71% 3.87% 3.10% 2.97% 2.98% 3.15% 3.36% 3.37% 1.00% 1.50% 2.00% 2.50% 3.00% 3.50% 4.00% 9/30/21 12/31/21 3/31/22 6/30/22 9/30/22 12/31/22 MGYR Net Interest Margin 10-yr. Treasury Yield Average NIM - Peer Grou
Slide 16: Net Income Increased 29% in FY22
Net Income Increased 29% in FY22 $2,030 $2,996 $2,190 $6,120 $7,919 $1,810 $- $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 $7,000 $8,000 $9,000 FY18 FY19 FY20 FY21 FY22 Q123 Dollars in Thousands 16
Slide 17: Earnings Per Share $1.17 in FY22
Earnings Per Share $1.17 in FY22 $0.35 $0.51 $0.38 $1.01 $1.17 $0.28 $- $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40 FY18 FY19 FY20 FY21 FY22 Q123 17
Slide 18: Stockholders Equity
Stockholders Equity 18 $55 $57 $98 $99 $100 $0 $20 $40 $60 $80 $100 $120 9/30/19 9/30/20 9/30/21 9/30/22 12/31/22 (Dollars in Millions) Total Equity $9.39 $9.78 $13.76 $14.60 $14.82 $0.00 $2.00 $4.00 $6.00 $8.00 $10.00 $12.00 $14.00 $16.00 9/30/19 9/30/20 9/30/21 9/30/22 12/31/22 Book Value Per Shar
Slide 19: Stock Price Performance
Stock Price Performance Magyar Bank Semply Magnificent for over 100 Years
Slide 20: MGYR Stock Performance
(20%) (15%) (10%) (5%) 0% 5% 10% 15% 2/3/22 4/3/22 6/3/22 8/3/22 10/3/22 12/3/22 2/3/23 MGYR Stock Performance 20 5.23 % KRX MGYR 11.14 % Data as of 2/3/2023
Slide 21: P/TBV vs Peers
0.87x 0.89x 0.90x 0.91x 0.92x 0.95x 0.96x 1.11x 1.12x 1.13x 1.20x 1.33x 1.33x 1.55x 1.57x 1.57x 1.75x 2.88x MGYR ECBK CMHF BSPA TRBK CARV WMPN FCOB HARL QNTO TYCB LFGP JFBC AMBK FMFG HONT FMFP JUVF Median: 1.13X P/TBV vs Peers 21 Source: S&P Global Market Intelligence. Market data as of 2/3/2023 Not
Slide 22: Fiscal year 2023 Outlook
Fiscal year 2023 Outlook Magyar Bank Semply Magnificent for over 100 Years
Slide 23: Fiscal Year 2023 Outlook
Fiscal Year 2023 Outlook • Enhance shareholder value – Quarterly dividend – Stock buyback • Continued emphasis on community banking strategy to grow the business – Identify quality residential and commercial lending opportunities 23
Slide 24: Fiscal Year 2023 Outlook
Fiscal Year 2023 Outlook • Manage interest rate risk in a rising interest rate environment/inverted yield curve • IT Cybersecurity • Continued focus on non - interest expenses 24
Slide 25: Questions
Questions Magyar Bank Semply Magnificent for over 100 Years