Metropolitan Bank Holding Corp. · NYSE:MCB
Metropolitan Bank — Q1 2022 Earnings Presentation
34 slides from Metropolitan Bank's earnings presentation, Apr 21, 2022
Slide 1: Q1 2022 Investor Presentation
1 Q 2022 Investor Presentation
Slide 2: Disclosure
Disclosure 1 This presentation contains “forward - looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Examples of forward - looking statements include but are not limited to the Company’s future financial condition and capital ratios, results of operation
Slide 3: A Diversified Financial Institution: More than a Commercial Bank
A Diversified Financial Institution We are More than a Commercial Bank Personal Banking • Broad range of hallmark personal checking and savings accounts • A full suite of electronic banking services that allow clients to easily manage their everyday financing needs Commercial Lending • Relationship
Slide 4: Proven high growth business model
Proven high growth business model $1,421 $1,867 $2,678 $3,137 $ 3 , 7 32 $ 4 , 12 1 2017 2 0 1 8 2 0 19 2 0 20 2021 1Q 2022 Loans $ millions $1,404 $1,661 $2,791 $3,830 $ 6 , 4 36 $ 5 , 9 39 2017 2 0 1 8 2 0 19 2 0 20 2 0 2 1 1Q 2022 D e p os i t s $ millions $63 $83 $108 $ 1 4 2 $ 1 8 1 $54 2017 2
Slide 5: Investors have been rewarded for our strong performance
2 9 . 9 % 1 7 . 8 % 7 . 2 % Revenue CAGR 1 2017 – 2021 Investors have been rewarded for our strong performance Tangible book value per share CAGR 1 2017 – 2021 Earnings per share CAGR 1 2017 – 2021 2 8 . 9 % 2 5 . 7 % 1 5 . 1 % High - growth banks² KRX Index³ High - growth banks² KRX Index³ Share pr
Slide 6: Delivering Financial Results
Delivering Financial Results 1 0 . 5 % 1 0 . 8 % 1 1 . 3 % 1 2 . 9 % 1 5 . 2 0 % 1 4 . 0 % Total Revenues** Full year, except 2022, which is for 1Q 2022 | $ thousands $ 6 0 , 0 13 $ 7 8 , 7 44 $ 1 02 , 5 9 6 $ 1 33 , 4 6 0 $ 1 64 , 2 5 3 $ 4 8 , 4 02 $ 1 6 , 4 45 $ 5 , 65 7 2017 2018 2 0 1 9 2 0 2 0
Slide 7: Loan Portfolio Growth and Diversification
Loan Portfolio Growth and Diversification 1 Includes commercial real estate, multifamily and construction loans. 2 Includes consumer and 1 - 4 family loans * Gross of deferred fees and unamortized costs $4.13 billion Gross Loan Portfolio* at March 31, 2022 | $ millions A Diversified Portfolio at Mar
Slide 8: Commercial Growth Driven by Expertise in Specific Lending Verticals
Commercial Growth Driven by Expertise in Specific Lending Verticals Commercial and Industrial Overview Target Market • Middle market businesses with annual revenues below $200 million • Well - diversified across industries Key Metrics • Strong historical credit performance - Pledged collateral and/o
Slide 9: Relationship-Based Commercial Real Estate Lending
Relationship - Based Commercial Real Estate Lending Target Market • New York metropolitan area real estate entrepreneurs with a net worth in excess of $50 million • Primarily concentrated in the New York MSA • Well - diversified across various property types Key Metrics • Weighted average LTV of 64%
Slide 10: Well-Developed, Sector Diversified Healthcare Portfolio
Well - Developed, Sector Diversified Healthcare Portfolio • Active in Healthcare lending since 2002 • CRE – Skilled Nursing Facilities (“SNF”) – Average LTV of 62% • Highly selective regarding the quality of Skilled Nursing Operators that we finance • Borrowers typically have over 1,000 beds under m
Slide 11: Geographically Diversified Skilled Nursing Facility Portfolio
Well - Developed, Geographically Diversified Skilled Nursing Facility Portfolio CRE Skilled Nursing Facility Exposure by State at March 31, 2022 C&I Skilled Nursing Facility Exposure by State at March 31, 2022 29 % 22 % 9 % 7 % 7 % 5 % 3 % 4% 5% 2% 2% 2% 2% 2 9 % New York 2 2 % Florida 9% New Jersey
Slide 12: Deposit Composition
5 3 % 4 5 % Total deposits: $5.94bn 1Q Cost of total deposits: 0.23% Deposit Composition Deposit Composition Over Time | $ millions $1,040 11 $1,254 $1,271 $1,320 $1,501 $1,492 $758 $901 $940 $940 $934 $930 $598 $708 $920 $1,044 $1,121 $1,129 $659 $651 $713 $796 $736 $734 $449 $484 $447 $495 $481 $1
Slide 13: Customer Centric Digital Payments Worldwide
Customer Centric Digital Payments Worldwide Global Payments Group About Global Payments • Domestic and international digital payments settlements • Gateway to payment networks – Wire, ACH, Visa, Mastercard, Remittance • Custodian of deposits on behalf of clients and their customers • Sponsorship for
Slide 14: Customer Centric Digital Payments Worldwide: Client Transactions
16.42 28.50 2 2 . 6 4 2 1 . 7 0 38.60 42.30 54.54 31.79 2 0 2 0 2 0 2 1 2 0 2 2 Customer Centric Digital Payments Worldwide Global Payments Group Client Transactions | Millions Customer $ Volume | Billions 2018 2019 Highlights • On pace for over 114 million client transactions totaling $32.20 billio
Slide 15: Diversified Revenue and Deposit Contribution
Diversified Revenue and Deposit Contribution Global Payments Group Total Revenue by Category* | Thousands This represents revenue from new clients who went live in 2021 and 2022 * Certain prior periods amounts have been reclassified for consistency with the current period presentation. ** General Pu
Slide 16: Well Managed Net Interest Margin
Well Managed Net Interest Margin 1 Represents full - year NIM, except 2022, which represents annualized NIM for the three months ended March 31, 2022. 2 Represents effective average daily FRB funds rate Net Interest Margin Analysis 1 . 0 0 % 1 . 8 3 % 2 . 1 6 % 0 . 3 6 % 0 . 0 8 % 0 . 1 2 % 3 . 5 2
Slide 17: Highly Profitable, Scalable Model
Highly Profitable, Scalable Model 1 7 . 8 % 14.7% 9.8% 9.7% 12.8% 13.7% 2017 2 0 1 8 2 0 19 2020 2 0 2 1 1Q 2022 Non - Interest Income ratio 1^ 10.5% 10.8% 11.3% 1 2 . 9 % 1 5 . 2 % 1 4 . 0 % 2017 2 0 1 8 2 0 19 2 0 20 2 0 2 1 1Q 2022 ROATCE 1 52.1% 52.1% 5 5 . 4 % 52.5% 48.3% 45.5% Net Interest Mar
Slide 18: Credit Metrics
Credit Metrics NCOs/Average Loans Non - Performing Loans/Loans Non - Performing Loans/ALLL 0.32% - 0 . 0 6 % - 0.13% 0 . 0 1 % 0.13% 0 . 0 0 % 2017 2 0 18 ALLL/Loans 2 0 1 9 2 0 2 0 2 0 21 1Q 2022 1 . 0 5 % 1 . 0 2 % 0.98% 1 . 1 3 % 0.93% 0.93% 2017 2 0 18 2 0 1 9 2 0 2 0 2 0 21 1Q 2022 0.24% 0 . 0
Slide 19: Capital ratios
1 9 . 9 % 1 7 . 0 % 12.5% 12.7% 15.2% 14.5% 2021 1Q 2022 Capital ratios* Common Equity Tier 1 Capital Ratio Tier 1 Leverage Ratio TCE / TA 1 1 5 . 3 % 1 3 . 2 % 1 0 . 1 % 1 0 . 1 % 1 4 . 4 % 1 3 . 6 % 2017 2018 2019 Total Risk - Based Capital Ratio 2 0 20 2 0 2 1 1Q 2022 1 3 . 7 % 1 3 . 7 % 9 . 4 %
Slide 20: Appendix
Appendix conmetropalitan GS) | 1s NYSE
Slide 21: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non - GAAP Measures 20 *Tangible common equity divided by common shares outstanding at period - end In addition to the results presented in accordance with Generally Accepted Accounting Principles (“GAAP”), this earnings release includes certain non - GAAP financial measure
Slide 22: Core-funded loan growth since founding
$ 11 $ 1 7 2 $ 2 3 8 $ 3 0 4 $ 3 6 0 $ 3 9 0 $ 4 9 0 $ 4 9 4 $ 4 3 9 $ 4 1 0 $ 4 1 2 $ 4 9 4 $ 6 2 7 $ 8 1 0 $ 1 , 8 46 $1,405 $1,043 $ 2 , 6 47 $ 3 , 1 01 $ 3 , 6 97 $ 4 , 0 83 $34 $56 $125 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Slide 23: A Diversified Financial Institution: How We Succeed
A Diversified Financial Institution We are More than a Commercial Bank How We Succeed 21 - Years of Reliable Asset Quality and Financial Performance • Organic business loan origination platform • Core funded organic deposit franchise • Helping our clients build and sustain generational wealth since
Slide 24: Delivering Critical Financial Infrastructure, Every Day
Delivering Critical Financial Infrastructure, Every Day Global Payments Group • Domestic and international digital payments settlements, every day • Gateway to payment networks – Wire, ACH, Visa, Mastercard, Remittance, every day • Custodian of deposits on behalf of clients and their customers, ever
Slide 25: Delivering Critical Financial Infrastructure, Every Day
Delivering Critical Financial Infrastructure, Every Day U.S. Treasury G o v e r n m e n t Payments Pension Companies Public and Private Pension Payments Law F i r m s Payouts for Legal Settlements Other Load Types MG, WU, GD, VRL, MCR Direct Deposits/ ACH Loads N e t w o r k Loads WU, MG GD C o r p
Slide 26: Client Case Study: Broxel
Client Case Study Global Payments Group “The B2B and B2C infrastructure Broxel has built in Mexico combined with MCB’s total support infrastructure in the United States is the blueprint for our mutual success.” Gustavo Gutierrez B r o x e l O v e r v i e w Broxel is a FinTech leader founded in 2011
Slide 27: Client Case Study: CIBanco
Client Case Study Global Payments Group C I B a n co O v e r v i e w Consultoría Internacional (CI) was established in 1983 and became known as CIBanco in 2008. CIBanco became a signatory of the Equator Principles from the World Bank in 2012 in response to the environmental challenges that the world
Slide 28: Client Case Study: Mesh Payments
Client Case Study Global Payments Group Mesh Payments O v e r v i e w Corporate HQ New York, NY, International office Tel Aviv, Israel; 20+ employees, privately held company founded in 2018 with VC backers and a recent round of favorable financing; strong growth in the virtual card space, which is a
Slide 29: Client Case Study: Revolut
Client Case Study Global Payments Group R e v o l u t O v e r v i e w • A global fintech financial services company • Corporate HQ London, England • International offices including Asia, Europe and Oceania • North American offices, San Francisco, CA and New York, NY • 2,000+ employees revolut.com/en
Slide 30: Client Case Study: Voyager Digital
Client Case Study Global Payments Group Voyager Digital, Ltd CSE: VYGR. CN O v e r v i e w Voyager : The Fastest - Growing Digital Asset Broker Voyager’s team of established Wall Street and Silicon Valley entrepreneurs is eliminating the roadblocks that currently exist in digital trading . The Compa
Slide 31: Partner with the Leading Processors and Payment Processing Networks
Partner with the Leading Processors and Payment Processing Networks, Every Day Global Payments Group Leading Processors Leading Payment Processing Networks 30
Slide 32: Who Are Our Payment Clients?
Who Are Our Payment Clients? Global Payments Group 31
Slide 33: Our Diverse Digital Payment Products Ecosystem
Engaging in Our Diverse Digital Payment Products Ecosystem, Every Day 32 Global Payments Group Illustrative photography and captions, not actual customers. Accounts Payable/ Expense Management ACH Processing and Settlement Bill P ay me n t Card Present Debit Card Claim Handling and Processing Digita
Slide 34: Our Place in a Diverse Digital Payment Industry
Establishing Our Place in a Diverse Digital Payment Industry Complex, Every Day 33 Global Payments Group Illustrative photography and captions, not actual customers. A u t o C o n s u me r Lending Corporate Accounts Payable Management Co r p o r a t e Payroll C o rr e spo n d e n t Banking Criminal
Metropolitan Bank Holding — Q1 2022 Earnings Presentation on 6ix