Investar Holding Corporation · NASDAQ:ISTR
Investar — Investor Presentation (September 2022)
23 slides from Investar's investor presentation, Sep 19, 2022
Slide 1: Financial Information: 2nd Quarter 2022
INVESTAR NASDAQ: ISTR Financial Information: 24 Quarter 2022 Confidential
Slide 2: Disclosures and Disclaimers
= ; pcan SY Disclosures and Disclaimers ‘This presentaton contains forward-iookng statements. whin the meaning ofthe Private Secures Liigason Reform Act of 1995 that refectInvestars current views wih respect, among ‘her tings, faure events and fnancial performance, Investar generaly Kenses forward-l
Slide 3: Disclosures and Disclaimers (continued)
Ser Disclosures and Disclaimers (continued) a + areducton in iquidty, incuding 2s aresut ofa reducon in the amount of deposts wehold or other sources of iquidty; * ongoing disruptions in the ol and gas industry due' the sgndcant fucuatons inthe price of ol and natural gas; + data processing system f
Slide 4: Our Company
oF Our Company Investar Holding Corp. is the Bank Holding Company for Investar Bank Headquartered in Baton Rouge, LA Mission Founded in 2006 Investaris a dynamic full service community bank focused on relationships that create value and opportunities for our customers, employees, Full service, comme
Slide 5: Highlights
Highlights = Recorded quarterlynetincome of $9.4 millionin the 2° quarter = Nonaccrual Loans have declined by $16,2M since the 3* quarter of 2021; incremental resolutionto the creditincidentin the 3 quarter of 2021 is expectedto continue through 2023, = Repurchased 304,671 sharesinthe 2~ quarter at
Slide 6: Leadership Team
CF x Leadership Team John J. D'Angelo, Presidentand Chief Executive Officer Mr, D’Angelo has been the Present and Chief Executve Oficer ofthe Company since the Share Exchange, Hehas also served as the Banks President and Chief Executive Oifcer since & organizaton in 2006, Proro Investar Bank's orgar
Slide 7: Corporate Culture
— el ) Corporate Culture A Integrity Neighborly Visionary Empowerment Star Service Team Focused Accountable Responsive INVESTAR INVESTAR IS a dynamic full service community bank focused on relationships that create value and opportunities for our customers, employees, shareholders and the community
Slide 8: Creating Shareholder Value
M=. S Sy Creating Shareholder Value le Book Value Per S| $2200 24% 5.2% $20.80 TBV/ TBV/ soe Share Share $9 son (Ex AOC) sm $02 so GROWTH CAGR® 2016-202202 sun s1000 aie ost _ $7.3 & sano ee S571 = & $14.00 sie s1000 216 2017 ois 2oi9 2020 ot 2on202 ‘TBVIShare —— WTBVShare (excl. ADC!) | Non-GAAP fn
Slide 9: Recent Earnings Performance
Mf = S A) Recent Earnings Performance Net Income ($000) Earnings Per Share pie o pilie sit mia 7103 wnat mat mraz 7103 nas nai ROAA (%) Net Interest Margin (%) an, INVESTAR Confidential »
Slide 10: Recent Core Earnings Performance
Ser Recent Core Earnings Performance Core Net Income’ ee, Core Earnings Per Share cpauted) ji @_ G00 worsae zn103 nas maat uaa mse waar mua siit037) $11.06) Core ROAA (%)* Core Efficiency Ratio (%)' on 19 va os 1 (| awn waa [aaa] = waar, was, lili ia wna waa auc aa INVESTAR , Confidential 10 itn GAA
Slide 11: Continued Execution of Acquisition Strategy
t= Sy Continued Execution of Acquisition Strategy Investar Has Completed 7 Whole Bank Acquisitions and 1 Branch Transaction 2011 Total Assets: South LA 2017 Sst Business Bank (LA) BOJ Bancshares (LA) $2.6 Billion 2019 201 3 Bank of York (AL) First Community Bank (LA) 2017 Citizens Bancshares (LA) 20
Slide 12: Loan Portfolio - 2nd Quarter Update
M= & . | ) Loan Portfolio - 2"¢ Quarter Update = Loan yield of 4.60% = Total Paycheck Protection Program (PPP) loans of $3.5 million = Excluding PPP loans, total loans increased $48.7 million, or 2.6% (10.4% annualized), comparedto the first quarter of 2022 = The total business lending portfolio, wh
Slide 13: Loan Loss Reserves / Total Loans
oF Loan Loss Reserves / Total Loans s Reserves / Total L ) ie 9a 115 oor on amy aey may may m0 For the Three Months (Dollars in Thoi Loan Loss Reserve Loan Loss Reserve - Beginning $7,891 $9,454 $10,700 $20,363 $21,088 Charge-ofs & Ad (1.185) (800) (1,754) (22,636) (131) Recoveries 178 138 21 27 % P
Slide 14: Asset Quality Trends
M= L : SW Asset Quality Trends LUT TIT ears 27103 waza: cores, zat 207200 Net Y Net Charge-offs/Avg. Loans (%) Sie Loans (%) Raia I cz f ——sReserves/NPLs(%) 12 1239 oo an aes wn103 nar ana amas ane nai INVESTAR Confidential 1
Slide 15: Deposit Transformation
or Deposit Transformation Deposit Mix at June 30, 2021 Deposit Mix at June 30, 2022 Brokered pry One Year Transformation —<— == Deposit Cor jon - Quarterly Lookback ota in Trousnes) 2003 20004 arin ria = m2ias oor 0 Noninterest-bearing Demand 452070 $448,230 $515,487 $582, 109 $997,452 $585,465 $614
Slide 16: Balance Sheet and Capital Summary
As of December 31 2018 201 2020 Balance Sheet Total Assess $1,622,734 $1,786,469 $2,148,916 $2,321,181 $2,513,208 $2,696,048 $2513.203 $2,572,708 $2,500,607 Total Loans $1,258,779 $1,400,825 $1,691,975 $1,860,318 $1,872,012 $1,880,658 $1,872,012 $1,877,444 $1,916,395 Total Deposts $1,225237 $1,361,7
Slide 17: Appendix
APPENDIX
Slide 18: Non-GAAP Reconciliation
Sr Non-GAAP Reconciliation tain thousseds,enoep pr shar data) For the Three Months Ended ‘Tangible common equity Torlencthoders eqity ‘Adjustments: Goedw Otherintangites Tangible commoneauty hoa. Tangible common equtyerctuding AOC, Common shares oustanding Book alve percommon share ‘Tangible bock el
Slide 19: Non-GAAP Reconciliation
Sr) Non-GAAP Reconciliation (Dollars in thousands) Forthe Three Months Ended 12/31/2020 3/31/2024 6730/2021 9730/2024 128172021 3/31/2022 6/30/2022 Netincome S$ 4540 $ 5360 $ 5688 $ (9984) $ 6936 $ 10,103 $ 9404 Less: Provision Expense (2400) (400) (114) (21,713) (658) 449 (941) Less:T ax Expense (1
Slide 20: Non-GAAP Reconciliation
$e) Non-GAAP Reconciliation (Dollars in thousands) Forthe Three Months Ended 072020 rai at 63072021 gozeat —i23iz02i «3732022 Intereston Deposts $3404 $2750 $2302 said $1854 $1217 $976 $907 ‘erage Interest-Bearing Deposts $1390483 —-$14d2711 $1,484,515 S1S7TAT1 «$169,318 $1,597,556 -$1,576643 $1,498
Slide 21: Non-GAAP Reconciliation
Sr) Non-GAAP Reconciliation (Dollarsin thousands) Forthe Three Months Ended faim «803 12022—=«=«=C«“‘*«ia OOD Netinterestinoome $21,165 $21,548 $21,467 $21,821 $21,978 Provision forloanlosses 114 21713 658 (5) 944 Netinterestincome ater provision $21,051 ($165) $20,808 $22,270 $21,037 Noninterest in
Slide 22: Non-GAAP Reconciliation
er > Sy ) Non-GAAP Reconciliation (Dollars in thousands) Forthe Three Months Ended Core basic eamings percommon share Diluted eamings percommon share (GAAP) Gain on call orsale ofinvestment securites Loss (gain) on sale or disposition of ued assets Loss (gain) on sale of otherreal esate owned, net ‘
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Investar Holding — Investor Presentation (September 2022) on 6ix