Slide 1: 2022 Second Quarter Earnings Presentation
2022 Second Quarter Earnings Presentation July 28, 2022
Slide 2: Forward-Looking Statements
Certain matters set forth herein constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including forward-looking statements relating to the Company’s current business plans and expectations regarding future operating results. These forwar
Slide 3: 2Q-2022 Highlights vs 2Q-2021
2Q-2022 Highlights vs 2Q-2021 31. Includes loans held for sale. Net Income $8.5M Earnings & Profitability Balance Sheet Growth Credit Quality Capital Adequacy • Net income of $8.5 million, up $2.1 million or 33% • Diluted earnings per share of $0.54, up $0.12 or 29% • Net interest margin of 4.21%, u
Slide 4: Balance Sheet Trend
Balance Sheet Trend 4 Gross Loans ($mm)Total Assets ($mm) Total Equity ($mm) & Book Value Per Share ($)Total Deposits ($mm)
Slide 5: Loan Trend
Loan Trend 5 Loan Originations ($mm)Loan Composition ($mm) Loan Yields (%) Commercial Real Estate Concentration (%)
Slide 6: Loan by Interest Rate Type
Loan by Interest Rate Type 6 Hybrid Loan Repricing Schedule ($mm)Composition by Interest Rate Type (%) Contractual Rates by Interest Rate Type (%) Loan Maturity Schedule ($mm)
Slide 7: Gross Loan Changes by Activity
Gross Loan Changes by Activity 7
Slide 8: Deposit Trend
Deposit Trend 8 Noninterest Bearing Deposits ($mm)Deposit Composition ($mm) Cost of Deposits (%) CD Maturity Schedule ($mm)
Slide 9: Earnings & Profitability: Net Interest Income and Noninterest Income
Earnings & Profitability 9 Noninterest Income ($mm)Net Interest Income ($mm) & Net Interest Margin (%) Interest Income & Interest Expense ($mm) Noninterest Income Components ($mm) * Ratios for interest income & interest expense are percentages of average assets and are annualized.
Slide 10: Earnings & Profitability: Efficiency Ratio and Noninterest Expense
Earnings & Profitability 10 Efficiency Ratio (%)Noninterest Expense ($mm) Noninterest Expense Components ($mm) Efficiency Ratio Components (%) * Ratios for Efficiency Ratio Components are percentages of average assets and are annualized.
Slide 11: Earnings & Profitability: PPNR, Provision, Net Income
Earnings & Profitability 11 Pre-Provision Net Revenue ($mm)Provision for Loan Losses ($mm) Net Income ($mm) & Diluted EPS ($) Return on Assets & Return on Equity (%)
Slide 12: Net Interest Margin Trend
Source: Target Fed Funds Rate per Federal Open Market Committee guidance. Net Interest Margin Trend 12
Slide 13: Asset Quality
Asset Quality 13 Criticized Loans ($mm)Nonperforming Loans ($mm) Net Charge-Offs ($mm)Allowance for Loan Losses ($mm)
Slide 14: Liquidity & Capital
Liquidity & Capital 14 Total Liquidity ($mm)On Balance Sheet Liquidity ($mm) Tier 1 Leverage ($mm) Total Risk Based Capital ($mm)
Slide 15: Non-GAAP Reconciliation: Pre-Provision Net Revenue
ax open bank —S” Non-GAAP Reconciliation Pre-Provision Net Revenue Pre-provision net revenue removes provision for loan losses and income tax expense. Management believes that this non-GAAP measure, when taken together with the corresponding GAAP financial measures (as applicable), provides meaningf
Slide 16: Non-GAAP Reconciliation: Adjusted Allowance to Gross Loans Ratio
ax open bank —S” Non-GAAP Reconciliation Adjusted Allowance to Gross Loans Ratio Adjusted allowance to gross loans ratio removes the impacts of purchased loans, PPP loans and allowance on accrued interest receivable. Management believes that this ratio provides greater consistency and comparability