Metrocity Bankshares, Inc. · NASDAQ:MCBS
Metrocity Bankshares — KBW Community Bank Investor Conference 2023
20 slides from Metrocity Bankshares's conference presentation, Aug 4, 2023
Slide 1: KBW Community Bank Investor Conference August 2023
KBW Community Bank Investor Conference NASDAQ: MCBS August 2023
Slide 2: Disclaimer
2 Disclaimer This presentation contains “forward-looking statements” within the meaning of, and subject to the protections of, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements may be regarding future events an
Slide 3: Company Overview
3 Company Overview Headquarters • Doraville, Georgia (Atlanta Metro Area) 2023 YTD Size and Scale • $3.5 billion in total assets • $3.0 billion in gross loans • $2.7 billion in total deposits Focus • Non-conforming mortgage lending, SBA lending and conservative CRE lending • Predominantly Asian-Amer
Slide 4: History of Metro City Bank
4 History of Metro City Bank • Opened April 2006 • $14.9mm in equity 2006 • Opened a branch in Suwanee, GA 2008 • Achieved 2% ROAA • Acquired Global Commerce (FDIC-Assisted) • Acquired Opelika branch from Synovus to enter Alabama 2012 • Entered the Washington D.C. area by opening a branch in Centrev
Slide 5: Senior Management Team
5 Senior Management Team Name Holding Company Title Years in Industry Year Joined MetroCity Prior Experience Nack Y. Paek Chairman and Chief Executive Officer 42 2006 • Founder of MetroCity Bankshares, Inc. and Metro City Bank • Served as President of Government Loan Service Corp. which specialized
Slide 6: Key Investment Highlights
6 Key Investment Highlights • Double-digit percentage asset growth in each of the last three years, driven by investments in personnel and branch infrastructure • Since 2015, we have added twelve full-service branches in carefully selected locations and added 120 employees • Investments yielded grow
Slide 7: Beneficial Ownership of Executive Officers and Directors
7 Beneficial Ownership of Executive Officers and Directors Name Age Year Joined Principal Occupation Nationality Title and Position with the Company Shares of Common Stock Beneficially Owned Nack Y. Paek 81 2006 Chairman and CEO of MetroCity Bankshares, Inc. Korean Chairman and Founder 5.54% Farid T
Slide 8: 23YTD Financial Snapshot
8 $1,244.2 $1,307.4 $1,479.9 $2,263.0 $2,666.8 $2,698.5 2018 2019 2020 2021 2022 2023YTD Financial Snapshot Total Deposits ($mm) Net Income ($mm) $41.3 $44.7 $36.4 $61.7 $62.6 $28.8 2018 2019 2020 2021 2022 2023 YTD Note: Dollars in millions unless otherwise noted. Financial data is as of or for the
Slide 9: Exceptional Profitability and Growth
9 2.87% 2.17% 2.51% 1.96% 1.71% 2019 2020 2021 2022 2023YTD 24.23% 16.02% 23.55% 19.55% 16.47% 2019 2020 2021 2022 2023YTD 39.66% 44.04% 35.10% 36.28% 35.84% 2019 2020 2021 2022 2023YTD Net Interest Margin Efficiency Ratio Exceptional Profitability and Growth Return on Average Shareholders’ Equity N
Slide 10: Peer-Leading Performance
10 Peer-Leading Performance Performance Metrics vs. Peers Growth Metrics vs. Peers(1) (2) Peer Median Note: Ethnic Peer Group includes eight banks traded on either the NYSE or the Nasdaq Global Select Market and headquartered in the United States with a primary focus on serving distinct ethnic commu
Slide 11: Strong Focus on Credit
11 0.63% 0.93% 0.89% 0.50% 0.71% 0.68% 2018 2019 2020 2021 2022 2023 YTD Strong Focus on Credit Credit Quality Highlights NPAs / Total Assets • Adherence to disciplined and well-defined underwriting practices No delegated individual lending authority Lending authority governed by graduated size
Slide 12: Diverse Loan Portfolio
12 Construction and Development $51.8 1.7% Commercial Real Estate $625.1 20.6% Commercial and Industrial $63.5 2.1% Consumer and Other $0.1 0.0% Residential Real Estate $2,289.1 75.6% Diverse Loan Portfolio 6/30/2023 Note: Dollars in millions unless otherwise noted Loan Portfolio Highlights 12/31/20
Slide 13: Residential Real Estate Lending Geographic Breakdown
13 Residential Real Estate Lending Geographic Breakdown Residential Real Estate Loan Balances ($mm) Note: Dollars in millions unless otherwise noted. Financial data is as of or for the 12 months ended December 31 for each respective year; YTD is as of or for the 6 months ended June 30, 2023 Volume o
Slide 14: SBA Lending Continues to Support Growth
14 Major Industry Exposure SBA Balances ($mm) Note: Dollars in millions unless otherwise noted. Financial data is as of or for the 12 months ended December 31 for each respective year; YTD is as of or for the 6 months ended June 30, 2023 SBA Lending Continues to Support Growth Volume of SBA Loans Or
Slide 15: Revenue Composition and Noninterest Income
15 Net Interest Income $51.2 82.6% SBA servicing income, net $3.2 5.2% Service charges, commissions and fees $3.1 4.9% Gain on sale - SBA loans $3.0 4.9% Gain on sale - SFR loans $0.0 0.0% Mortgage servicing income, net and other $1.5 2.4% • For the year ended December 31, 2022 and six months ended
Slide 16: Deposit Portfolio
16 1.21% 1.69% 0.83% 0.21% 0.97% 2.88% 2018 2019 2020 2021 2022 2023YTD Deposit Portfolio Deposit Portfolio Highlights Note: Dollars in millions unless otherwise noted. Financial data is as of or for the 12 months ended December 31 for each respective year; YTD is as of or for the 6 months ended Jun
Slide 17: Strong Capital Position
17 22.01% 20.86% 17.77% 16.68% 17.59% 2019 2020 2021 2022 2023 YTD 12.70% 13.44% 9.44% 9.57% 10.03% 2019 2020 2021 2022 2023 YTD Strong Capital Position Total Shareholders Equity to Total Assets Tier 1 Leverage Ratio Note: Financial data is as of or for the 12 months ended December 31 for each respe
Slide 18: Appendix
Appendix
Slide 19: Selected Historical Consolidated Financials
19 Selected Historical Consolidated Financials As of or for the As of or for the Year Ended Six Months Ended December 31, June 30, (Dollars in thousands, except per share data) 2018 2019 2020 2021 2022 2023 Statement of Income Data: Interest income $ 72,879 $ 83,213 $ 77,609 $ 108,741 $ 147,220 $ 93
Slide 20: Selected Historical Consolidated Financials
20 Selected Historical Consolidated Financials As of or for the As of or for the Year Ended Six Months Ended December 31, June 30, (Dollars in thousands, except per share data) 2018 2019 2020 2021 2022 2023 Asset quaility data: Net charge-offs to average loans held for investment 0.14% (0.02%) 0.01%
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