Hingham Institution For Savings · NASDAQ:HIFS
Hingham Institution For Savings — Shareholder Meeting (2020)
23 slides from Hingham Institution For Savings's shareholder meeting presentation, 2020
Slide 1: Hingham Institution for Savings 2020 Shareholders Meeting
HINGHAM INSTITUTION FOR SAVINGS 2020 Shareholders Meeting
Slide 2: Safe Harbor Statement
Safe Harbor Statement 2 This presentation contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements about Hingham Institution for Savings and its industry involve substantial risks and uncertainties. Statements other than
Slide 3: Overview
Overview 3 ● Introduction ● Financial Results ● Looking Forward and Discussion
Slide 4: Banking is a very good business, unless you do dumb things
4 “Banking is a very good business, unless you do dumb things.” Warren Buffett
Slide 5: What We Do
What We Do 5 ● Commercial Real Estate Lending ● Residential Real Estate Lending ● Personal and Commercial Deposit Banking
Slide 6: What We Don’t Do
What We Don’t Do 6 ● Commercial and ● Investments Industrial Lending ○ Wealth ○ ABL Management ○ Leasing ○ Trust ○ Loans and Lines ○ Investment Advisory ○ SBA ● Insurance Brokerage or ○ Leveraged Lending Underwriting ● Consumer Lending ● Secondary Market ○ Credit Card Residential Mortgage ○ Marine ●
Slide 7: Capital Allocation
Capital Allocation 7 1. Attractive a. Reinvest in our Lending and Deposit Businesses - Existing and New Geographies (Organic Growth) b. Maintain Appropriate Leverage Through Regular and Special Dividends c. Make Minority Passive Equity Investments - Public and Private - Focused on Financial Services
Slide 8: 2019 Financial Results
8 2019 Financial Results
Slide 9: Earnings
(in millions) $40.0 $30.0 $20.0 $10.0 $0.0 Earnings Annual Earnings $38.9 $30.4 al 2015 2016 2017 2018 2019 @ Earnings
Slide 10: Return on Shareholder Equity
Return on Shareholder Equity 10 Source: Depositors Insurance Fund, All Massachusetts Savings Banks
Slide 11: Shareholder Equity Book Value Per Share
Shareholder Equity 11 Book Value Per Share 5YR CAGR of 15.2%
Slide 12: Low Cost Leadership
Low Cost Leadership 12 ● 2019 Efficiency Ratio = 30.26% ● This is the product of both structural and operational choices ● We must be relentless in taking unnecessary costs out of our business
Slide 13: Lending
13 Lending
Slide 14: Disciplined Loan Growth
Disciplined Loan Growth 14 5YR CAGR of 12.45%
Slide 15: Commercial Loan Growth
Commercial Loan Growth 15 5YR CAGR of 17.8%
Slide 16: Avoid Loan Losses
Avoid Loan Losses 16 Source: FDIC
Slide 17: Deposits
17 Deposits
Slide 18: Deposits
Deposits $1,500 $1,000 (in millions) $500 $o 2015 2016 2017 2018 2019 SYR CAGR of 10.8%
Slide 19: Deposit Approach
Deposit Approach 19 ● Approach ○ Personalized Service ○ Digital Excellence ○ Low Fee / No Fee ● Two Engines for Growth ○ Specialized Deposit Group (Private Client and Digital First) ○ Retail Banking Group
Slide 20: Increasing Commercial Deposit Focus
Increasing Commercial Deposit Focus 20 ● Specialized Deposit Group (SDG) ○ Team of relationship managers and digital banking specialists that handles our largest and most complex deposit relationships, as well as our digital-first account opening ○ Responsible for $360MM in retail and business depos
Slide 21: Looking Forward - Washington
Looking Forward - Washington 21
Slide 22: Looking Forward - Washington
Looking Forward - Washington 22
Slide 23: Discussion and Questions
ee Discussion and Questions za HINGHAM INSTITUTION FOR SAVINGS —— ESTABLISHED 1834——=
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