M&t Bank Corporation · NYSE:MTB
M&t Bank — BancAnalysts Association of Boston Conference 2017
21 slides from M&t Bank's conference presentation, Nov 3, 2017
Slide 1: BancAnalysts Association of Boston Conference Presentation
BancAnalysts Association of Boston Conference Presentation November 3, 2017 Exhibit 99.1
Slide 2: Disclaimer
Disclaimer This presentation contains forward- looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 giving M&T Bank Corporation’s (“M&T”) expectations or predictions of future financial or business performance or conditions. Forward-looking statements are typ
Slide 3: Who is M&T Bank Corporation?
Who is M&T Bank Corporation? Top 20 US-based, commercial bank holding company Substantial growth from $2 billion in assets in 1983 to $120 billion at September 30, 2017 16,836 employees across 783 domestic branches in eight states and Washington DC 3.8 million customers representing 6.0 million acco
Slide 4: Key Ratios
Key Ratios Notes: The Efficiency Ratio and Pre-provision Net Revenue are non-GAAP financial measures. A reconciliation of GAAP to non-GAAP financial measures is available in the appendix. The Efficiency Ratio reflects non-interest expense (excluding amortization expense associated with intangible as
Slide 5: M&T's Business Model – a Historical Perspective
M&T’s Business Model – a Historical Perspective Notes: Years prior to 2011 not restated for LIHTC. Refer to appendix for peer group list and GAAP reconciliation. Source: SNL Financial MTB 3Q 2017: 2.48% MTB 3Q 2017: 0.11% MTB 3Q 2017: 3.53% MTB 3Q 2017: 56.00%
Slide 6: Less Volatile Loan Growth Through Credit Cycles
Less Volatile Loan Growth Through Credit Cycles Commercial Real Estate Commercial and Industrial Notes: M&T data reflects average loan balances. Industry Commercial loans includes both “Commercial and Industrial Loans” and “Other Loans and Leases” as outlined in the Federal Reserve H8 report. Source
Slide 7: Loan Growth versus Peers
Annual Change – Average Loan Balances Loan Growth versus Peers Average Balances as a % of Average Diluted Shares Annual Change – Average Loan Balances per Share Loan growth through the cycle exceeds peer median, with organic loan growth complemented by disciplined acquisitions CAGR Rank 2008 2009 20
Slide 8: Core Deposit Trends – 3Q 2017 compared with 1Q 2016
Core Deposit Trends – 3Q 2017 compared with 1Q 2016(1) Average total core deposits up about 1% Consumer deposits down a net $4.5 billion, rates down 14 bps Primarily due to higher cost Hudson City CDs maturing Over 20% of HCBK outflows offset by higher legacy M&T balances Commercial & Business banki
Slide 9: Deposit Growth versus Peers
Annual Change – Average Deposit Balances Deposit Growth versus Peers Average Balances as a % of Average Diluted Shares Annual Change – Average Deposit Balances per Share Deposit growth exceeds peer median throughout the cycle CAGR Rank 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017-LTM 2008 to 20
Slide 10: Pre-Tax Pre-Provision Net Revenue (PPNR) versus Peers
Annual Change –PPNR Pre-Tax Pre-Provision Net Revenue (PPNR) versus Peers Average Balances as a % of Average Diluted Shares Annual Change – PPNR per Share CAGR Rank 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017-LTM 2008 to 2017-LTM 1 Peer 3 20.0% Peer 1 164.6% Peer 6 75.4% Peer 8 32.5% Peer 6 83
Slide 11: Low Return Volatility Validates Below Peer Capital Levels
Notes: TCE/TA range , volatility, and minimums are from 2007-2016 annuals and 3Q 2017. Volatility is calculated as standard deviation of ROTCE Refer to the appendix for the list of peers Source: SNL Financial. Low Return Volatility Validates Below Peer Capital Levels TCE/TA Above Peer Median TCE/TA
Slide 12: Focus on Capital Return
Total Payout Ratio Since CCAR 2016 (3Q 2016 – 3Q 2017) Focus on Capital Return Notes: Payout ratios in relation to net income excluding merger-related charges and intangible amortization on an after-tax basis Refer to the appendix for the list of peers Source: Company reports and SNL Financial M&T’s
Slide 13: Disciplined Approach to Acquisitions
M&T’s Acquisitions vs. Bank Acquisitions Greater Than $1B Since 2000 Disciplined Approach to Acquisitions Source: SNL Financial, Company Filings (1) Deal value at announcement and tangible common equity at most recent quarter before announcement (2) Although M&T’s acquisitions of Provident and Wilmi
Slide 14: M&T Outlook Summary for Remainder of 2017
M&T Outlook Summary for Remainder of 2017 Earning Asset / Loan Growth Continue to expect low-single digit overall loan growth – full year 2017 average over 2016 Slightly more positive tone from borrowers entering the fourth quarter Net Interest Income / Margin Potential for modest NIM pressure witho
Slide 15: Appendix and GAAP Reconciliations
Appendix and GAAP Reconciliations
Slide 16: Earnings & Dividend Growth: 1983 – Q3 2017
Earnings & Dividend Growth: 1983 – Q3 2017 15% Net Operating EPS CAGR 13% Dividend CAGR
Slide 17: M&T Bank Corporation…a solid investment
Of the largest 100 banks operating in 1983, only 23 remain today. Among the remaining, M&T ranks 1st in stock price growth M&T Bank Corporation…a solid investment (1) 1983 Stock Prices Source: Compustat, Bigcharts.com, and/or Company website
Slide 18: M&T Bank Corporation…a solid investment
18.8% Annual rate of return since 19801 In the top 30 of the entire universe2 of U.S. based stocks traded publicly since 1980 M&T Bank Corporation…a solid investment $1,518 invested in M&T in 1980 would be worth $1 million as of today CAGR calculated assuming reinvestment of dividends through Septem
Slide 19: Reconciliation of GAAP and Non-GAAP Measures
Reconciliation of GAAP and Non-GAAP Measures
Slide 20: Reconciliation of GAAP and Non-GAAP Measures
Reconciliation of GAAP and Non-GAAP Measures
Slide 21: M&T Peer Group
BB&T Corporation PNC Financial Services Group, Inc. Comerica Incorporated Regions Financial Corporation Fifth Third Bancorp SunTrust Banks, Inc. Huntington Bancshares Incorporated Zions Bancorporation KeyCorp M&T Peer Group U.S. Bancorp M&T Bank Corporation Citizens Financial Group, Inc.
M&T Bank — BancAnalysts Association of Boston Conference 2017 on 6ix