Coastalsouth Bancshares, Inc. · NYSE:COSO
Coastalsouth Bancshares — Q3 2025 Earnings Presentation
22 slides from Coastalsouth Bancshares's earnings presentation, Oct 21, 2025
Slide 1: Third Quarter 2025 Investor Presentation
CoastalSouth Bancshares, Inc. Third Quarter 2025 Investor Presentation October 20, 2025 October 20, 2025 Third Quarter 2025 Investor Presentation Exhibit 99.2
Slide 2: Disclosures: Forward Looking Statements
Disclosures Forward Looking Statements Statements in this Investor Presentation regarding future events and our expectations and beliefs about our future financial performance and financial condition, as well as trends in our business and markets, constitute “forward-looking statements” within the m
Slide 3: Disclosures: Non-GAAP Financial Measures
Disclosures Non-GAAP Financial Measures In addition to results presented in accordance with U.S. generally accepted accounting principles (“GAAP”), this Investor Presentation contains certain non-GAAP financial measures. The Company believes that providing certain non-GAAP financial measures provide
Slide 4: Company Overview
Company Overview Total Assets $2.26 Billion Total Deposits $1.95 Billion Total Loans $1.78 Billion Tier 1 Leverage(1) 11.15% CET1(1) 11.94% # of Banking Offices 11 Best-in-class growth profile with 1-year CAGR for Total Loans of 11.3% and 1-year CAGR for TBV(2)/Share of 11.6% Strong risk management
Slide 5: Quarterly Highlights: Q3 2025
Diluted EPS Return on Average Tangible Common Equity(1) Return on Average Assets Net Interest Margin Adj. Non-Performing Assets(1) / Total Assets Quarterly Highlights: Q3 2025 Non-GAAP financial measure; for a reconciliation of Non-GAAP financial measures to their most directly comparable GAAP measu
Slide 6: Loans Held for Investment Production
Loans Held for Investment Production $137.3 million in gross LHFI production for Q3 2025, $551.2 million in gross LHFI production year to date. Community Bank loan production is approximately 62% of total LHFI production for YTD 2025. YTD growth in Community Bank LHFI were approximately $81.5 millio
Slide 7: Loan Portfolio
Loan Portfolio Loan portfolio is well diversified across loan types and geographies and managed by a seasoned team of bankers and credit officers. Conservative relationship lending limits with well structured underwriting guidelines. CRE and ADC concentrations were 230% and 51% at the end of Q3 2025
Slide 8: Deposit Portfolio
Deposit Portfolio Reflects the effect of non-interest-bearing deposits. Non-GAAP financial measure; for a reconciliation of Non-GAAP financial measures to their most directly comparable GAAP measure see the Appendix. Average total deposits increased $5.3 million compared to the prior quarter and inc
Slide 9: Capital
Capital *Q3 2025 regulatory capital ratios are preliminary. (1) Capital ratios presented are for Coastal States Bank. (2) Non-GAAP financial measure; for a reconciliation of Non-GAAP financial measures to their most directly comparable GAAP measure see the Appendix. (3) Only Q3 2025 includes the imp
Slide 10: Net Interest Margin
Net Interest Margin (1) Annualized Net interest income increased $1.1 million compared to the prior quarter and $2.2 million compared to Q3 2024. Yield on investment securities positively impacted by $225 thousand on certain corporate securities owned at a discount which were redeemed ahead of matur
Slide 11: Interest Rate Sensitivity
Interest Rate Sensitivity (1) Cycle-to-date reflects changes since third quarter 2024 and incorporates the decrease in the average Fed Funds Effective Target rate. Note: NM – Not Meaningful The cycle-to-date (1) beta on total loans, compared to the average Fed Funds Effective Target rate was 36%. Th
Slide 12: Noninterest Income
Noninterest Income Gain on sale of government guaranteed loans (“GGL”) was $613 thousand for Q3 2025 compared to $265 thousand in Q2 2025. YTD GGL loan production was $44.7 million. At the end of Q3 2025, there are approximately $17.1 million loans that have been closed but have not been sold into t
Slide 13: Noninterest Expense
Noninterest Expense Q3 2025 efficiency ratio of 55.7%, down 516 bps from Q2 2025. Driven by higher revenue and modest reduction in expense Professional fees decreased during the quarter due to lower legal and consulting expenses related to loan collection efforts and decreased recruiting expenses. S
Slide 14: Credit Quality
Credit Quality Net charge-offs (“NCO”) continue to be minimal, with an average ratio of NCO to average LHFI of 0.01% over the last 5 consecutive quarters. Nonperforming assets improved $440 thousand Q3 2025 and were 0.63% of total loans, down 3 bps from Q2 2025, driven by payment activity and upgrad
Slide 15: Allowance for Credit Losses
Allowance for Credit Losses The level of the Allowance for Credit Losses (“ACL”) has remained relatively stable for the last several quarters. Net charge-off activity remains minor. Changes in the provision for ACL are driven by the impact of net charge-offs, loan production volume and mix, and othe
Slide 16: Appendix
COASTALSOUTH BANCSHARES, INC. Appendix
Slide 17: Core Operating Principles
Core Operating Principles We believe that by focusing on our five core values outlined below, we can create meaningful relationships between our Bank, team members, clients, and our communities Each of these relationships is critical to our financial success and supports our capacity to drive shareh
Slide 18: Business Evolution & Milestones
Business Evolution & Milestones Government Guaranteed Lending business; loans made through U.S. Small Business Administration (“SBA”) and United States Department of Agriculture (“USDA”) programs As of March 31, 2018 As of March 31, 2021 Early History & Recapitalization Expansion in Key Southeast MS
Slide 19: Specialty Lines of Business
Specialty Lines of Business Marine Lending (in millions) Q3 2024 Q4 2024 Q12025 Q22025 Q3 2025 @ Loan Balance Marine Lending Production 7.48% (in millions) 7:01% 6.77% 6.76% 6.80% $28.6) $29.3) $28.5 Q3 2024 Q4 2024 Q12025 Q22025 Q3 2025 mm Production —®=WAC at Origination Senior Housing Lending (in
Slide 20: Specialty Lines of Business
Specialty Lines of Business Government Guaranteed Lending (in mitiions) Q3 2024 Q42024 Q12025 Q22025 Q3 2025 @Loan Balance GGL Production (in mitiions) 85% 9.00% a 9.21% ms) Q3 2024 Q42024 Q12025 Q22025 Q3 2025 @@™ Production = -®=WAC at Origination Mortgage Banker Finance (in mitlions) 8.37% 79 8.3
Slide 21: Non-GAAP Reconciliation
Non-GAAP Reconciliation Annualized data. Tangible Book Value per Share / Tangible Common Equity to Tangible Assets (unaudited) As of and for the Three Months Ended As of and for the Nine Months Ended September 30, June 30, March 31, December 31, September 30, September 30, September 30, (dollars in
Slide 22: Non-GAAP Reconciliation (cont.)
Non-GAAP Reconciliation (cont.) The Company defines Core deposits as Total deposits less Brokered CDs. Core Deposits (unaudited) As of and for the Three Months Ended As of and for the Nine Months Ended September 30, June 30, March 31, December 31, September 30, September 30, September 30, (dollars i
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