Provident Financial Holdings, Inc. · NASDAQ:PROV
Provident Financial — Q1 FY2020 Earnings Presentation
15 slides from Provident Financial's earnings presentation, Oct 30, 2019
Slide 1: Provident Financial Holdings, Inc. First Quarter of Fiscal 2020
PROVIDENTif& Provident Financial Holdings, Inc. First Quarter of Fiscal 2020 September 30, 2019 provizenrsa Sw. myprovident.com
Slide 2: Safe Harbor Statement
Safe Harbor Stateme This presentation contains statements that the Company believes are “forward-looking statements" within the meaning of the Private Securties Litigation Refarm Act of 1995, These statements relate to the Company's financial condition, liquidity, results of operations, plans, objec
Slide 3: Market Highlights
Market Highlights Provident Financial Holdings, Inc. Nasdaq GS: PROV Share Price: $20.75 52-Week Range: $14.67 - $21.81 Shares Outstanding: 7,479,682 shares Market Capitalization: $155.2 million P/E (ttm): 30.97x Diluted EPS (ttm): $0.67 Annual Dividend & Yield: $0.56 (2.70%) As of September 30, 201
Slide 4: Branch locations and market position
Blythe Canyon Crest, Riverside Corona Corporate Office, Riverside Downtown, Riverside Hemet La Sierra, Riverside Morena Valley Orange Crest, Riverside Rancho Mirage Redlands Sun City Temecula SBP Cot hee pe Apt ceed. eg 7012 Meso Cone, 10 HERE > Largest independent community bank > Expanding custome
Slide 5: Financial Performance
cial Performa e Developments > Net Interest Income increases by 2% (sequential quarter) > Net InterestMargin increases by 12 basis points (sequential quarter) > Operating Expenses decrease by 26% (sequential quarter) > Efficiency Ratio improves to 67.95% Non-Interest Income Net Interest Income (tn t
Slide 6: Financial Performance
cial Performa e Pre-Provision, Pre-Tax Earnings (Loss) Pre-Tax Income (Loss) in Millions) (ni Milions) wo v4 40 SE v5 v5 28 =o 26 $30 [saa ws +e s25 s20 +7 yo 4 Ce ol 30 ws t7 wa 10 FT 1.0 7 $05 F] $0.5 7 i £ ij $8) 0.3) se8) 0.3) 10) 901.0) OmFVIG GIFVIS GIFVIS GoVIa GaFYIa_oIFYa20 OMFVIG GIFYIS GI
Slide 7: Financial Ratios
Financial Ratios Net Interest Margin Efficiency Ratio 400% 7 110.0% 3.54% 3.53% 3.52% Bist 102.65% 328% 300% 100.00% 3.00% [7 80.00% +“TS55% saat 100% 200% {4 20.00% 70.00% 1.00% $7] 60.00% cox! s000% + QsFVI GIVI G2FVIS. G3FYI9 G4FVIS GIFY20 QAFYI8 GIFS G2FYI9 GOFYIS GaFYIS GIF Y20 Return on Averag
Slide 8: Balances and Activity
Balances and Activity Developments Loan to Investment Mix > Loans Held for Investment balance increases 5% at mr September 30, 2019 in comparison to June 30, 2019 $f > Yield on Loans Held for Investment increases eight basis ee ee points from September 30, 2018 800 > Deposit costs decline by two bas
Slide 9: Balances and Activity: Loans Held for Investment Composition
Balances and Activi Loans Held for Investment Composition Loan Category Balance as Interest Balaneeas Interest ollars in Thousands) of 09309 Rate of 0930/8 Rate Single-Family 3 328982 450% § 307.480 4.45% Muki-Family 470507 4.99% 454621 4.23% Commercial Real Estate 110862 5.00% 112028 470% Construct
Slide 10: Balances and Activity: Deposits and Borrowings
Balances and Activity Deposits and Borrowings Deposit Composition $1,200 Category (Dollarsin Thousands) Atos302019 Rate AtUNGOROIa Rate $1,000 CCheckng Accounts-Non terest Bearing $ 85538 -% § 87,250 -% Checking Accounts hterest-Beering 29400 012% 261,298 042% aa S00 Savings Accounts 288,880 0.20% 2
Slide 11: Asset Quality
Asset Quality Developments NPA, NPA to Total Assets Ratio and ALLL to LHI Ratio 10,000 100% > Low level of Non-Performing Assets > Non-Performing Assets to Total Assets Ratio declined to 7500 | Att ro 0.47% on September 30, 2019 > NoREO 5,000 050% > Early-Stage Delinquencies remain at low levels 92.
Slide 12: Asset Quality: Allowance for Loan Losses
Asset Qual Allowance for Loan Losses (ALLL) ALLL Allocation as of 09/30/19 (in Thousands) 20%, 0.0% 21%. He STgeFaRy $8 [52385 87.155 $7,061 97,080 $7078 g5,999 i Muti Faniy Commerce Real $6000 eae at onstucton other 5,000 sas oCommercial Business: consumer $2000 " “pesos 0as0ne 120118 033119 OBG0ng
Slide 13: Asset Quality: Geographic Location
Asset Quality GeographicLocation Intand Empire Southern California" __other California, Ghher States Total Category Balsnce Percentage Balance Percentage Galanos Percentage Baance Percentage Galanos Percentage: Single-Family Sto1s4s — s1% 51488684 70.118 24K S112 ow = S.a28g32 100%) uti Family iBT 1
Slide 14: Asset Quality: Loans Held for Investment
Asset Qualit Single-Family (1)—Loans Held for Investment Multi-Family - Loans Held for Investment pom cae ASE ge orn a ae es ee EE ae ee aM eee con| [Slee ele sels |e slelslsl2/s|elZlzls meee | pe lee telete tele e elels|elelsl2lzle|s er alga se [one fare | em (are poe ee ees se [oom | me | am | am
Slide 15: Capital Management
Capital Management Developments Stock Repurchase Plan Activity > Bank Capital Ratios remain strong Meith: > 2.7096 cash dividend yield (approximately) > Repurchased approximately 17,000 shares of common 49.000 stock 30,000 20,000 10,000 ourvie airvia” aarvia" carvia" GaFVig ” GiFY20 Bank Capital Rat
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