University Bancorp, Inc. · OTC:UNIB
University Bancorp — Investor Presentation (September 2023)
12 slides from University Bancorp's investor presentation, September 2023
Slide 1: University Bancorp & University Bank Investor Presentation
University Bancorp & University Bank Investor Presentation Stephen Lange Ranzini President & CEO, University Bancorp ((734) 741-5858 ext 9226 * ranzini@university-bank.com :www.university-bank.com/bancorp.htm June 2022
Slide 2: About University Bancorp
About University Bancorp • University Bancorp, Inc. (UNIB) is the holding company for University Bank, an Ann Arbor based community bank with $854 million in assets as of June 30th, 2023. • UNIB has $81 million in book equity capital, $15.93 per outstanding common share at June 30th, 2023. • UNIB's
Slide 3: Our Business Model
Our Business Model • University’s business model includes substantial mortgage loan subservicing and loan origination operations combined with traditional community banking. • University’s Retail Mortgage Operations are designed to be sustainable and profitable, with a hyper focus on purchase, new c
Slide 4: What Our Business Model Provides
What Our Business Model Provides • Our business model provides UNIB with a low cost of funds which we believe to be an important competitive advantage compared with traditional banks. • Over the quarter our mortgage subservicing business generated an average monthly balance of $412 million of non-in
Slide 5: Our Balance Sheet Breakdown – Average Assets
Our Balance Sheet Breakdown – Average Assets $900 $23.1 $800 $71.6 9.06% $2.4 Non-earning assets 5.52% $700 $96.3 Interest-earning Deposits $9.9 Interest-earning Deposits 5.49% Consumer Loans $600 Consumer Loans 3.22% $123.5 CRE CRE 7.81% Commercial Notes & Lines $500 Commercial Notes & Lines Home E
Slide 6: Our Balance Sheet Breakdown – Average Liabilities
Our Balance Sheet Breakdown – Average Liabilities $800 $22.6 0.00% $700 0.22% $600 $365.7 Other Liabiliti es Other Liabiliti es $500 0.44% Custodial Deposits Custodial Deposits $400 Consumer Transaction Deposits Consumer Transaction $60.4 Deposits $300 Consumer Time Deposits & Consumer Time Deposits
Slide 7: Mortgage Servicing – Fueling Growth
Mortgage Servicing – Fueling Growth • The total number of loans serviced decreased 3% from Number of Mortgages Serviced Q2 2022 – Q2 2023. Mortgage Unpaid Principal Balance serviced & sub-serviced decreased $3.8B YoY, or 10%. Number of Loans Ser viced Estimated Market Share by UPB • Our mortgage ser
Slide 8: UNIB's Mortgage Origination Channels
UNIB’s Mortgage Origination Channels • UNIB’s Retail Mortgage Operations, which are focused on purchase transactions, originating a combined $501MM loans in 2023 (excludes reverse mortgages). • University Lending Group (“ULG”) - Government, Conventional & HELOC Mortgage Origination • Originated $283
Slide 9: UNIB's Retail Mortgage – A proven model
UNIB’s Retail Mortgage – A proven model Mortgage Origination Volume ($ in Thousands) $600,000 4.00% 3.50% $500,000 3.00% $400,000 2.50% $300,000 2.00% 1.50% $200,000 1.00% $100,000 0.50% $- 0.00% Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Reverse Mtg & Other - - 11,708 10,032 11
Slide 10: Virtuous Cycle of Funding Advantage
Virtuous Cycle of Funding Advantage $412 million of average monthly escrow deposits (T&I) $34 billion of contract Internal warehouse lines subservicing rights ($1.1 billion of originations per annum) Monthly loan originations sold into market Page 10
Slide 11: Industry Awards
Industry Awards § For many years, ULG has been the #1 Residential Lender with local offices in Washtenaw County (Ann Arbor), Michigan & tied for #1 Residential Lender in the Florida Panhandle. § Bank Director magazine selected us as a top performing U.S. bank. We are very proud to be honored among all
Slide 12: Questions?
Questions? •FAQ list at www.university-bank.com/bancorp.htm •Press Releases •Newspaper & Magazine Articles •Comprehensive Data •Contact me: Stephen Lange Ranzini, President & CEO: ((734) 741-5858 xt 9226 * ranzini@university-bank.com CAUTIONARY STATEMENT: This Executive Summary contains certain forw
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