Slide 1: Investor Presentation Q2 2024
INVESTOR PRESENTATION Q 2 2 0 2 4 M V B – F 1 : S U C C E S S L O V E S S P E E D
Slide 2: Forward-looking statements
MVB Financial Corp. (“MVB” or the “Company”) has made forward-looking statements, within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, in this presentation that are intended to be covered by the protections p
Slide 3: Driving on a Wet Track with the Caution Flag Out: Adapting to the Wet Track
Driving on a Wet Track with the Caution Flag Out: Adapting to the Wet Track
Slide 4: MVB's Strategy on a Page (SOAP)
MVB’s Strategy on a Page (SOAP) Trust Commitment TeamworkRespect, Love & Caring Adaptive Enterprise Risk Management Talent & Culture Operational Excellence Our Why To positively impact people’s financial lives, one life at a time Purpose Trusted partners on the financial frontier, committed to your
Slide 5: Key Connection Points Across the MVB Strategy
Victor Strategic Lending Partnerships Gaming Payments Payments Gaming Provide deposit funding sources for SLP Offers a key product to Gaming and Banking-as-a-Service clients to build our moat SaaS supporting Fintech clients and strategic partnerships with API and other technology Growth Vehicle(s) W
Slide 6: Q2 2024 Key Highlights
Source: Company documents and SEC Filings Q2 2024 Key Highlights • Three-year partnership renewal with Intuit Credit Karma • MVB names payments industry veteran Jeremy Kuiper as Fintech President • Exit of digital asset program account relationships during second quarter reduced EPS by $0.08 with st
Slide 7: Payments: Money Movement of Any Kind
Payments: Money Movement of Any Kind Creating a Modern Platform of Capabilities
Slide 8: The Payments Market is Large and Growing
The Payments Market is Large and Growing Source: Raymond James 2023 U.S. Card Volume(1) $8.8 Trillion (1) Includes all volume on consumer and commercial credit, debit and pre-paid cards issued in the US by Mastercard and Visa (2) Includes debit and credit card volume on Visa, Mastercard, Amex, Disco
Slide 9: Key Players in the Payment Ecosystem
Key Players in the Payment Ecosystem Source: Raymond James 8
Slide 10: Payments-focused banks comparison: operating data and asset quality
Capital Ratios MRQ Operating Data LTM Asset Quality Total Total TCE Lev. Effncy NII / NIB L/D NPAs / LLRs / Branches Assets Ratio Ratio ROAA ROATCE Ratio Op. Rev NIM Deposit Ratio Assets Loans Price Override Ticker Company Name City, ST (#) ($MM) (%) (%) (%) (%) (%) (%) (%) (%) (%) (%) (%) 1 TBBK Th
Slide 11: Select public banks with <$10bn in assets with significant payments revenue
Select public banks with < $10bn in assets that derive a significant portion of their revenue from payment related activities Pricing data as of June 18, 2024 Price / Total 6/18/2024 Market Tang. Assets Price Cap. Book '24E '25E Price Override Ticker Company Name City, ST ($MM) ($) ($MM) (%) EPS EPS
Slide 12: Growth of MVB Payment Vehicle
$13,034 $19,188 $17,174 $9,333 $15,465 2021 2022 2023 YTD Q2 2023 YTD Q2 2024 Growth of MVB Payment Vehicle Source: Company documents and SEC Filings. $128 $170 $331 $382 $0 $100 $200 $300 $400 $500 2021 2022 2023 2024 Average Payment Deposits ($ Millions) 55% CAGR Payment Transactions ($ Millions)
Slide 13: Deposits
Deposits
Slide 14: Continued Growth of Deposit Base
Source: Company documents and SEC Filings $1,267 $1,257 $1,339 $1,704 $1,899 $716 $1,120 $1,232 $1,197 $984 $295 $483 $724 $1,092 $1,358 2020 2021 2022 2023 2024 Total Interest-bearing deposits Total Noninterest-bearing deposits Off Balance Sheet $3,993 On Balance Sheet: NIB/Total Deposits 34%Deposi
Slide 15: Deposit Composition
Deposit Composition Source of Deposits CoRe* 65% Fintech 35% Title (C) 5% Speciality (C) 6% Retail (C) 14% Commercial (C) 32% Public Funds (C) 8% Digital Assets (F) 2% Gaming (F) 10% Payments (F) 11% BaaS (F) 12% Deposits Breakdown – 06/30/2024 Source: Company documents and SEC Filings. *Commercial
Slide 16: Growth of Fintech Banking at MVB 2020–2024
$1,286 $6,394 $12,330 $15,722 $8,294 $9,211 2020 2021 2022 2023 YTD Q2 2023 YTD Q2 2024 172% CAGR Growth of Fintech Banking at MVB | 2020 – 2024 Source: Company documents and SEC Filings. *Commercial and Retail. (F) – Fintech deposits. (C) – CoRe deposits. $829 $1,624 $1,855 $2,038 $2,448 2020 2021
Slide 17: Asset Quality
Asset Quality
Slide 18: Loan Portfolio Composition
Loan Portfolio Composition Portfolio by Industry Source: Company Documents. *3.0% of MVB’s total loans were non-owner-occupied office space. MVB’s CRE concentration as of 6/30/2024 was 231%. Commercial Business 33.2% Commercial Real Estate 30.8% Acquisition & Development 4.7% Home Equity 0.6% Reside
Slide 19: Consistent, Top Tier Asset Quality Through Cycles
0.94% 0.95% 0.47% 0.36% 1.05% 0.94% 0.64% 0.48% 0.52% 0.57% 0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 1.20% 2020 2021 2022 2023 2024 MVBF Peers Non-Performing Loans / Total Loans 0.14% 0.08% 0.36% 0.40% 0.19% 0.08% 0.04% 0.05% 0.29% 0.14% 0.00% 0.10% 0.20% 0.30% 0.40% 0.50% 2020 2021 2022 2023 2024 MVBF -
Slide 20: Non-Performing Loans
Non-Performing Loans Source: Company Documents. All data as of December 31, 2023. By Loan Type ($ Thousands) Commercial NPLs – by Industry ($ Thousands) Multifamily $ 14,652 Government $ 264 Energy $ 1,316 Office $ 210 SBA Loans (various industries) $ 3,568 Other $ 330 Healthcare (SBA) $ 536 Consume
Slide 21: Backer of Fintech
Backer of Fintech
Slide 22: Investments Focused on Strategic Partnerships
$- $5,000 $10,000 $15,000 $20,000 $25,000 $30,000 $35,000 $40,000 $45,000 $50,000 2017 2018 2019 2020 2021 2022 2023 2024 (i n t h o u sa n d s) Cash Investment Estimated Fair Value Investments Focused on Strategic Partnerships Source: Company documents. Backer of Fintech • Realized gains of $2.5M s
Slide 23: Capital Strength
Capital Strength
Slide 24: Bank Capital Position
9.8% 9.6% 8.3% 8.6% 8.9% 7.5% 8.0% 8.5% 9.0% 9.5% 10.0% 2020 2021 2022 2023 2024 Tangible Common Equity / Tangible Assets (%) (1) 11.0% 11.6% 9.8% 10.5% 10.7% 8.5% 9.0% 9.5% 10.0% 10.5% 11.0% 11.5% 12.0% 2020 2021 2022 2023 2024 Tier 1/Community Bank Leverage Ratio (%) Source: Company documents. (1)
Slide 25: Risk Management: Investments in Staffing and Capabilities
Risk Management | Investments in Staffing and Capabilities (3-year trend) Teams 2021 2022 2023 2024 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Risk Management 10 12 11 14 16 22 23 24 24 24 30 27 32 35 BSA/AML (MVB) 17 19 18 18 18 18 18 18 23 31 50 59 50 60 BSA/AML (Co-sourced FTEs) 5 12 15 17 19 23 2
Slide 26: Caution Flag Mitigation
Caution Flag Mitigation Asset Quality Risk • Long history of strong asset quality • Proactive portfolio management • Disciplined and staged approach to new areas of lending Compliance/ Regulatory Risk • Significant investment in risk & compliance team • Technical expertise and experienced FinTech in
Slide 27: Best Workplaces in Financial Services
BEST WORKPLACES IN FINANCIAL, AMERICAN BANKER, “~ & NSURENEE © Best Banks S to Work For 1) | Certified MEDIUM WORKPLACES™ FEB 2023-FEB 2024 USA 25
Slide 28: Tangible Common Equity / Tangible Assets reconciliation
Source: Company documents. Tangible Common Equity / Tangible Assets (%) (Dollars in thousands) 2018 2019 2020 2021 2022 2023 2024 Total equity attributable to parent $ 176,773 $ 211,936 $ 239,483 $ 274,328 $ 261,084 $ 289,342 $ 296,625 Total assets 1,750,969 1,944,114 2,331,476 2,792,449 3,068,860 3