Ameris Bancorp · NYSE:ABCB
Ameris Bancorp — Q1 2021 Earnings Presentation
27 slides from Ameris Bancorp's earnings presentation, Apr 23, 2021
Slide 1: 1st Quarter 2021 Results Investor Presentation
1st Quarter 2021 Results Investor Presentation
Slide 2: Cautionary Statements
Cautionary Statements This presentation contains forward-looking statements, as defined by federal securities laws, including, among other forward- looking statements, certain plans, expectations and goals. Words such as “may,” “believe,” “expect,” “anticipate,” “intend,” “will,” “should,” “plan,” “
Slide 3: Ameris Profile
Ameris Profile Operating Strength • Historically top quartile return on assets (> 1.50% ROA for last three years) • Focus on expense control and improved operating efficiency • Strong liquidity and continued funding opportunities • Culture of disciplined banking Diversification • Geographic diversif
Slide 4: 1st Quarter 2021 Financial Results
1st Quarter 2021 Financial Results
Slide 5: Earnings Summary
Earnings Summary (dollars in thousands, except per share data) Quarter to Date Results 1Q21 1Q20 Change Net Income $ 124,962 $ 19,322 547% Net Income Per Diluted Share $ 1.79 $ 0.28 539% Return on Average Assets 2.44% 0.43% 468% Return on Average Equity 18.80% 3.16% 494% Efficiency Ratio 52.59% 68.2
Slide 6: 1Q 2021 Operating Highlights
1Q 2021 Operating Highlights • Net income of $125.0 million, or $1.79 per diluted share • Adjusted net income(1) of $115.7 million, or $1.66 per diluted share • Adjusted efficiency ratio(1) of 54.62%, compared with 52.67% in 4Q20 • Adjusted ROA(1) of 2.26%, compared with 2.04% in 4Q20 • Adjusted ROT
Slide 7: Operating Highlights
Operating Highlights (dollars in thousands) For the quarter 1Q21 1Q20 Asset Growth 988,489 ‐18,031 Asset Growth Rate 19.35% ‐0.40% Organic Loan Growth 118,880 275,630 Organic Loan Growth Rate 3.28% 8.60% Organic Loan Growth Ex. PPP 154,463 275,630 Organic Loan Growth Rate Ex. PPP 4.60% 8.60% Total R
Slide 8: Net Interest Margin
Net Interest Margin $200.0 Net Interest Income (TE) 5.50% Spread Income and Margin: (in millions) • Average earning assets up $851.9 $190.0 5.25% million, while spread income increased $180.0 5.00% $1.4 million compared with 4Q20 • Margin down 7bps from 4Q20 and down $170.0 4.75% 13bps from 1Q20 $16
Slide 9: Noninterest Income
Noninterest Income Noninterest Income Trends Noninterest Income Highlights: Noninterest Income Noninterest Income • Mortgage banking (in millions) – Revenue increased $63.2 million, or $180.0 178.7%, in 1Q21 compared with 1Q20 $159.0 – Production increased $1.28 billion, or $160.0 94.0%, over the sa
Slide 10: Expenses
Expenses Adjusted Operating Expenses and Efficiency Ratio(1) OPEX Highlights: 175.0 Adjusted Operating Expenses • Total adjusted operating expenses decreased $1.8 150.0 (in millions) $66.8 $70.8 $66.1 $66.0 million in 1Q21 compared with 4Q21 125.0 $44.6 • Decrease of $1.8 million in 1Q21 Banking div
Slide 11: Balance Sheet Trends
Balance Sheet Trends Earning Assets Deposit Composition (in millions) 25,000 1Q21 20,000 4Q20 15,000 3Q20 10,000 2Q20 5,000 1Q20 ‐ 1Q20 2Q20 3Q20 4Q20 1Q21 0% 20% 40% 60% 80% 100% Loans Loans HFS Other Earning Assets Total Assets NIB NOW MMDA Savings CD 10
Slide 12: Capital and TBV
Capital and TBV $30.00 Tangible Book Value $25.00 $25.27 Consistent Growth in TBV $23.69 $22.46 $20.00 $20.44 $20.90 • Management remains focused on growth in TBV $15.00 • TBV increased $1.58 per share in 1Q21: – $1.64 from retained earnings $10.00 – ($0.06) from all other items including treasury s
Slide 13: Loan Diversification and Credit Quality
Loan Diversification and Credit Quality
Slide 14: Diversified Loan Portfolio
Diversified Loan Portfolio 1Q21 Loan Portfolio • Loan portfolio is well diversified across all loan types Agriculture 2% SFR Mortgage & HELOC • C&I loans represent second largest category of 20% C&I loans 22% • PPP loans totaled $817.9 million at 1Q21, which added ~5% to this category • Average loan
Slide 15: Loan Growth
Loan Growth 1Q21 Loan Balance Changes $350 $317 $300 $250 $200 $150 $100 $57 $50 $19 $19 $‐ $(0) $(50) $(36) $(36) $(50) $(100) $(74) $(98) $(150) CRE SFR Mtgs C&I Premium Municipal PPP Mtg WHSE Consumer C&D Indirect Finance • First quarter net loan growth was $118.8 million, primarily the result of
Slide 16: Allowance for Loan Losses
Allowance for Loan Losses 1Q21 CECL Reserve • The ALLL totaled $178.6 million at 1Q21, a net decrease of $20.8 million, or 10% from YE20 • The reserve for unfunded commitments totaled $21.0 million, a decrease of $11.8 million, or 36% from YE20 • During 1Q21, $28.6 million of prior provision expense
Slide 17: COVID-19 Response
COVID-19 Response 1Q21 COVID-related Payment Extensions As a % of Portfolio Volume Active Loan Type Deferrals % Portfolio* • Active COVID deferrals totaled $280.2 million, or Agriculture $ 3.8 2% 1.9% of Total Loans C&I $ 5.9 0% Investor CRE $ 151.8 3% • The largest remaining categories of active de
Slide 18: NPA / Charge-Off Trend
NPA / Charge-Off Trend Non‐Performing Assets $180.0 0.90% 0.82% • Non-Performing Assets (“NPA”) decreased $11.2 $160.0 0.80% million, to $86.0 million at 1Q21, primarily as a result $140.0 0.61% 0.59% 0.70% of: $120.0 0.60% • $5.0 million decrease in nonaccrual loans as a result $100.0 0.48% 0.50% o
Slide 19: Problem Loan Trends
Problem Loan Trends $500 $450 2.92% 2.71% $400 2.57% $350 $300 1.91% 2.11% 1.87% 1.82% 1.78% $250 $200 1.29% 1.12% 0.97% $150 0.69% 0.64% $100 0.59% 0.52% $50 $0 1Q20 2Q20 3Q20 4Q20 1Q21 Criticized Loans Classified Loans Nonperforming Loans 1Q20 2Q20 3Q20 4Q20 1Q21 Total Loans $13,041 $14,508 $14,94
Slide 20: Hotel Exposure
Hotel Exposure $$ Avg National Hotel Portfolio by Flag Economy $$ Committed $$ Committed 54 Properties # of Balance Outstanding Balance $68.7 Loans (MM's) (MM's) (M's) Non-Flagged 37 Properties Term CRE 91 $ 363.4 $ 360.1 $ 4.0 $25.6 In-Process Construction 6 $ 98.7 $ 77.5 $ 16.5 Government Guarante
Slide 21: Investor CRE Loans
Investor CRE Loans • ~ 94% of CRE loans are concentrated within our five-state footprint, primarily in the Bank’s primary MSAs of Atlanta, Jacksonville, Orlando, Tallahassee, Columbia, Savannah and Charleston • Loans outside the Bank’s footprint are generally acquired loans or SBA guaranteed Avg Siz
Slide 22: Commercial Real Estate Production
Commercial Real Estate Production 1Q21 Construction and Development Loan Production Summary: Committed Avg Size • 1Q21 production of C&D and CRE loans - Outstanding Exposure Commitment Loan Type (MM's) (MM's) (000's) $735.3 million committed exposure RRE Construction - Pre-Sold $ 99.6 $ 238.7 $ 289.
Slide 23: Appendix
Appendix &} AMERIS BANCORP
Slide 24: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures (dollars in thousands) For the quarter 1Q21 1Q20 Net Income $ 124,962 $ 19,322 Adjustment items Merger and conversion charges - 540 Servicing right impairment (recovery) (10,639) 22,165 Gain on BOLI proceeds (603) - Expenses related to SEC/DOJ Investigatio
Slide 25: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures Quarter to Date (dollars in thousands) 1Q21 4Q20 3Q20 2Q20 1Q20 Adjusted Noninterest Expense Total noninterest expense $ 148,798 $ 151,116 $ 153,692 $ 155,768 $ 138,053 Adjustment items: Merger and conversion charges - - 44 (895) (540) Restructuring charge
Slide 26: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures Quarter to Date (dollars in thousands) 1Q21 4Q20 3Q20 2Q20 1Q20 Total shareholders' equity $ 2,757,596 $ 2,647,088 $ 2,564,683 $ 2,460,130 $ 2,437,150 Less: Goodwill 928,005 928,005 928,005 928,005 931,947 Other intangibles, net 67,848 71,974 76,164 80,354
Slide 27: Ameris Bancorp Press Release & Financial Highlights
Ameris Bancorp Press Release & Financial Highlights March 31, 2021