Gbank Financial Holdings Inc. · NASDAQ:GBFH
Gbank Financial — Shareholder Meeting (May 2024)
25 slides from Gbank Financial's shareholder meeting presentation, May 7, 2024
Slide 1: GBank Financial Holdings Inc. Annual Shareholder Meeting
May 7, 2024 GBank Financial Holdings Inc. Annual Shareholder Meeting 1
Slide 2: Welcome
Welcome • Disclosures • Call to Order • Introductions • Presentation • Q&A • Annual Meeting Business 2
Slide 3: Disclaimers
Disclaimers Forward-Looking Statements This presentation includes forward-looking statements, which are forecasts based on our current expectations and assumptions about future events. These statements are not historical facts nor assurances of future performance, and they may include projections of
Slide 4: GBank Financial Holdings Inc. Directors
GBank Financial Holdings Inc. Directors Edward M. Nigro Executive Chairman GBank Financial Holdings Inc. & GBank A. Lee Finley Charles W. Griege, Jr. William J. Hornbuckle IV Director Director Director Founder, Managing Partner, CEO and President, BrandFX Body Company Blue Lion Capital MGM Resorts I
Slide 5: GBank Directors
GBank Directors Edward M. Nigro Executive Chairman GBank Financial Holdings Inc. & GBank Dana A. Dwiggins Powell Timothy P. Herbst Shelli L. Lowe Director Director Director Managing Partner, President, Director of Client Services, Solomon, Dwiggins and Terrible Herbst Inc. Integra Realty Resources -
Slide 6: Experienced and Invested Leadership Team
Experienced and Invested Leadership Team Edward M. Nigro T. Ryan Sullivan Executive Chairman President/CEO GBank Financial Holdings GBank Financial Holdings Inc. & GBank Inc. & GBank Tara A. Campbell Nancy M. DeCou David J. Fersdahl EVP/Chief Operating Officer EVP/Chief SBA Officer EVP/Card & Paymen
Slide 7: Company Overview
Company Overview GBank Financial Holdings Inc., a bank holding company with $918 million in assets as of December 31, 2023, conducts business through its wholly owned subsidiary, GBank Positive Attitude Founded in 2007, the Bank operates two full-service commercial branches in Las Vegas, Nevada
Slide 8: Core Commercial Banking
Core Commercial Banking Commercial Banking Growth Strategy Robust Expansion Opportunities Expanding deposit and lending commercial business Fostering relationships for direct business and referrals NV UT Expanding further into Nevada, California, Utah, and Arizona CA Adding top professionals
Slide 9: Significant 2023 Accomplishments
Significant 2023 Accomplishments Successful Execution of Growth Plan • 2023 Earnings, Net Interest Margin, Capital, and Growth in Top Quartile for all U.S. Banks • Deposit Growth in 2023 of $190.3 million – during one of the most challenging bank deposit environments in many years • Net Loans increa
Slide 10: External Recognition
External Recognition DepositAccounts.com – 2023 & Current A+ rating for Texas Ratio, Deposit Growth, and Capitalization CB Resource’s CB Top Ten Report - Q4 2023 #33 of 548 US Banks in Peer Group ($500-$999 Million) Consistently in Top 100 for the past 8½ years Bauer Financial Five Star Supe
Slide 11: SBA Lending Overview
SBA Lending Overview SBA 7(a) Originations Since 2016 National Top SBA 7(a) Lenders Most Active SBA 7(a) Lenders Approval Approval $1,437,951 Loans Originated as of SBA FYE Count Am ount # 05/02/2024 ($MM) $1,002,284 Loans Sold 1 Live Oak Banking Company (NC) 683 960.4 69.70% Loans Originated Sold 2
Slide 12: SBA Lending - Hotel Portfolio Summary
SBA Lending - Hotel Portfolio Summary Diversified Accommodation Portfolio The Bank has been a top national SBA 7(a) Hotel/Motel lender for each of the past four years. The Bank maintains strong national relationships and has established itself as the premier government guaranteed lender within the
Slide 13: Gaming FinTech Overview
Gaming FinTech Overview Significant Deposit Generator Activity Trends (000s)(1) The gaming ecosystem includes: Commercial and Tribal Deposits ($000s) Casinos; Sports and iGaming; e-Sports and Daily Fantasy; 43.7 45.4 and State Lotteries. 17.8 27.8 GBank/BCS contract includes prepaid cards, poole
Slide 14: 2023 Operating Results
2023 Operating Results Balance Sheet ($’s in 000’s) 12/31/23 12/31/22 Cash and due from banks 97,933 136,436 Securities 100,379 107,521 Loans, net 676,634 398,586 Loan servicing assets 7,053 9,359 Fixed and other assets 36,381 26,800 Total assets 918,380 678,702 Deposits: Noninterest-bearing demand
Slide 15: 2023 Operating Results - Continued
2023 Operating Results - Continued Income Statement ($’s in 000’s) 2023 2022 Interest income 51,283 28,771 Interest expense (13,188) (3,423) Net interest income 38,095 25,348 Total noninterest income 7,679 16,468 Total net revenue 45,774 41,816 Noninterest expenses: Salaries and employee benefits 19
Slide 16: Key Results – Noninterest Income Strategy
Key Results – Noninterest Income Strategy Noninterest Income as % of Net Revenue - ($’s in 000’s) Year Net Revenue Noninterest % to ($) Income Net Revenue ($) 2023 45,774 7,679 16.8 2022 41,816 16,468 39.4 2021 37,030 19,406 52.4 2020 27,238 11,951 43.9 2019 19,322 5,215 27.0 2018 15,737 5,266 33.5
Slide 17: Compelling Balance Sheet Growth
Compelling Balance Sheet Growth Total Assets ($M) Total Loans ($M) 917 683 679 618 405 471 356 305 344 230 208 238 169 159 122 130 2016 2017 2018 2019 2020 2021 2022 2023 2016 2017 2018 2019 2020 2021 2022 2023 Total Deposits ($M) Loan/Deposit Ratio (%) 746 92 92 555 510 85 389 78 77 297 73 73 70 17
Slide 18: Attractive Low-Cost Core Deposit Base
Attractive Low-Cost Core Deposit Base Overview Deposit Composition Strong deposit base with “sticky” funding – core deposits of $625.2 million, which represents 84% of total deposits1 Stable cost of funding of 2.14% YTD 11% Small- and medium-sized business relationships are a source of 26% non
Slide 19: Interest Rate Sensitivity and Investment Portfolio
Interest Rate Sensitivity and Investment Portfolio Significant net interest margin expansion NIM Q4’23 – 5.16% NIM Q4’22 – 5.29% NIM Q4’21 – 3.40% Short duration balance sheet and strong levels of noninterest bearing and core deposits Balance Sheet Fair Value Premium 89% of securities
Slide 20: Capitalization and Sources of Liquidity
Capitalization and Sources of Liquidity Liquidity Coverage Summary 700,000 600,000 500,000 400,000 300,000 200,000 100,000 - Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Primary Liquidity Total Liquidity Funding and Sources of Liquidity at the Company $97.3 million in cash or deposits at other institutions
Slide 21: Q1 2023 Highlights - Unaudited
Q1 2023 Highlights - Unaudited Income Statement ($’s in 000’s) Q1 2024 Q1 2023 Change Change (%) Net interest income $10,802 $9,415 $1,387 14.73% Net revenue $13,207 $12,277 $930 7.58% Noninterest expense $8,374 $8,371 $3 0.04% Net income $3,701 $3,315 $386 11.64% Efficiency ratio 63.41% 68.
Slide 22: Q1 2024 Highlights & The Year Ahead
Q1 2024 Highlights & The Year Ahead • Q1 total new loan originations of $137 million – Largest quarter ever in new loan production • Lending pipelines remained strong and consistent after rapid expansion immediately following March 2023 • Exciting announcements and growth initiatives in Gaming Fin
Slide 23: Questions?
Q&A Questions’? GBank Financial Cc BANK Holdings Inc.
Slide 24: Annual Meeting Business
Annual Meeting Business • Director Election • RSM US LLP • Other Business 24
Slide 25: Thank You!
Thank You! 25
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