Glacier Bancorp, Inc. · NYSE:GBCI
Glacier Bancorp — Investor Presentation (May 2022)
43 slides from Glacier Bancorp's investor presentation, May 4, 2022
Slide 1: Investor Presentation As of March 31, 2022
INVESTOR PRESENTATION As of March 31, 2022
Slide 2: Forward-Looking Statements
1 Forward-Looking Statements This presentation may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements about the Company’s plans, objectives, expectations and inten
Slide 3: Glacier Bancorp, Inc. 3/31/2022 Snapshot
2 Glacier Bancorp, Inc. 3/31/2022 Snapshot Ticker GBCI Total Assets $26.10 billion Gross Loans $13.73 billion Deposits $21.70 billion TCBV Per Share $17.15 Dividends $0.33 Stock Price $50.28 Market Cap $5.57 billion
Slide 4: Differentiated Bank Model
3 Differentiated Bank Model Genuine community banking model Backed by resources and support of Glacier Bancorp Strategy of growth through acquisitions and organically
Slide 5: Glacier is a "Company of Banks"
4 Glacier is a “Company of Banks”
Slide 6: Altabancorp Acquisition Announcement
5 Altabancorp Acquisition Announcement Pro Forma Utah Branch Footprint ALTA Branches FCB Branches Largest community bank headquartered in Utah, with $3.5 billion in assets Transaction is consistent with Glacier’s targeted financial metrics and focused M&A strategy Solidifies and ensures Glacie
Slide 7: Bank Divisions locations (as of 3/31/2022)
6 WY ID UT AZ NV WA CO MT 17 Bank Divisions 223 locations (as of 3/31/2022)
Slide 8: GBCI Geography: Total chartered banks and target banks
7 3/31/22 GBCI Geography Total chartered banks 284 Total target banks 203 Assets under $1B 172 Assets $1 – $3.5B 31
Slide 9: Solid Financial Results
4 Solid Financial Results fro
Slide 10: Total Return 3/31/2017 – 3/31/2022
9 5 Year Total Return 3/31/2017 – 3/31/2022
Slide 11: Total Return 3/31/2021 – 3/31/2022
10 1 Year Total Return 3/31/2021 – 3/31/2022
Slide 12: Forbes Performance Ranking of America's Largest Banks
11 Forbes PERFORMANCE RANKING OF America’s 100 Largest Banks Sept 30 Rank Company Name ROTCE (%) NPAs/ Assets (%) CET1 Ratio (%) Efficiency Ratio (%) Operating Revenue Growth (%) 2021 8 Glacier Bancorp Inc. 18.5 0.29 12.2 49 10.1 2020 3 Glacier Bancorp Inc. 16.0 0.33 12.0 51 21.0 2019 9 Glacier Banc
Slide 13: Bank Director Bank Performance Scorecard
12 Bank Director BANK PERFORMANCE SCORECARD $5 Billion up to $50 Billion Year Ending Rank Company Name Core ROAA (%) Core ROAE (%) TCE/ Tang Assets (%) NPAs/ Loans & REO (%) NCOs/ Avg Loans (%) 2020 4 Glacier Bancorp Inc. 1.69 12.68 9.69 0.30 0.07 2019 4 Glacier Bancorp Inc. 1.78 12.99 10.95 0.35 0.
Slide 14: Reconciliation of 2017 Non-GAAP Measures to GAAP
13 Reconciliation of 2017 Non-GAAP Measures to GAAP In addition to the results presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”), this presentation contains certain non-GAAP financial measures. The Company believes that providing these non
Slide 15: Diluted Earnings Per Share
14 Diluted Earnings Per Share $0.00 $0.25 $0.50 $0.75 $1.00 $1.25 $1.50 $1.75 $2.00 $2.25 $2.50 $2.75 $3.00 $3.25 $1.75* $2.17 $2.38 $2.81 $0.85 $0.61 The decrease in first quarter 2022 EPS over the first quarter 2021 EPS includes: $15.4 million decrease in PPP related income $12.6 million dec
Slide 16: Return on Assets
15 1.00% 1.10% 1.20% 1.30% 1.40% 1.50% 1.60% 1.70% 1.80% 1.59% 1.41%* 1.64% 1.33% 1.73% 1.06% ROA in the fourth quarter of 2021 was in the 61st♦ percentile among Glacier’s peer group Return on Assets *Non-GAAP (see reconciliation on slide 13) ♦BHCPR as of 12/31/2021 1.62%
Slide 17: Return on Tangible Equity
16 Return on Tangible Equity 10.00% 11.00% 12.00% 13.00% 14.00% 15.00% 16.00% 17.00% 18.00% 19.00% 13.66%* 16.15% 16.85% 16.42% 15.49% 19.12% 13.95% The Company’s historically high capital levels have made it more difficult to produce higher ROTE * Non-GAAP (see reconciliation on slide 13)
Slide 18: Net Interest Income / Margin
17 Net Interest Income / Margin $100 $200 $300 $400 $500 $600 $700 $800 $345 $433 $503 $600 $663 $636* $753* 4.12% 4.21% 4.39% 4.09% 3.42% 3.74% 3.20% First quarter 2022 net interest income of $753 million increased $117 million, or 18%, over net interest income of $636 million for first quarter 2
Slide 19: Efficiency Ratio
18 Efficiency Ratio 44.0% 46.0% 48.0% 50.0% 52.0% 54.0% 56.0% 58.0% 60.0% 53.9% 54.7% 57.8% 50.0% 51.4% 46.8% 57.1% Excluding $6.2 million of acquisition-related expenses, the efficiency ratio would have been 54.33% for first quarter 2022 compared to 46.70% for first quarter 2021 Higher efficien
Slide 20: Strong Balance Sheet
Strong Balance Sheet Z 19 Neiscumn BANCORP, INC.
Slide 21: Asset Trends
20 Asset Trends $9,706 $12,115 $13,684 $18,504 $25,941 $26,100 $8,000 $10,000 $12,000 $14,000 $16,000 $18,000 $20,000 $22,000 $24,000 $26,000 $28,000 Total assets increased $160 million, or 1%, during first quarter 2022 Total assets grew $7.4 billion, or 40%, in 2021, including $4.1 billion from
Slide 22: Capital Ratios Relative to Peers
21 Capital Ratios Relative to Peers♦ 0.00% 3.00% 6.00% 9.00% 12.00% 15.00% 18.00% Tier 1 Leverage CET1 Tier 1 RBC Total RBC 9.0% 12.4% 13.1% 14.9% 8.6% 12.5% 12.5% 14.2% Peers Glacier Total risk-based capital ranks in the 44th percentile among Glacier’s peer group Capacity to add $2.0 billion of
Slide 23: Ample Liquidity of $18.5 Billion
22 Ample Liquidity of $18.5 Billion Ready access to liquidity totaling $13.3 billion $5.5 billion in available borrowing capacity o Fed Discount Window: $1.7 billion o FHLB: $3.2 billion o Correspondent banks: $0.6 billion $7.4 billion of unpledged marketable securities Cash of $0.4 billion
Slide 24: Deposit Trends
23 Deposit Trends $7,580 $9,494 $10,776 $14,798 $21,337 $21,698 $6,000 $8,000 $10,000 $12,000 $14,000 $16,000 $18,000 $20,000 $22,000 $24,000 During first quarter 2022, deposits increased $361 million, or 2% Growth in the number of deposit accounts has also increased significantly the past sever
Slide 25: Deposit Composition
24 Deposit Composition Non- Interest Bearing 38% NOW and DDA 25% Savings 14% MMDA 17% CDs 6% Wholesale 0% 3/31/2021 Non- Interest Bearing 37% NOW and DDA 25% Savings 15% MMDA 19% CDs 4% Wholesale 0% 3/31/2022
Slide 26: Non-Interest Bearing Deposits
25 Non-Interest Bearing Deposits $2,312 $3,001 $3,697 $5,455 $7,779 $7,990 $1,500 $2,500 $3,500 $4,500 $5,500 $6,500 $7,500 $8,500 Non-interest bearing deposits increased $211 million, or 3%, during first quarter 2022 Non-interest bearing deposits comprise 37% of total deposits (Dollars in milli
Slide 27: Interest-Bearing Deposit Cost Relative to Peers
26 Interest-Bearing Deposit Cost Relative to Peers 0.28% 0.23% 0.22% 0.24% 0.15% 0.09% 0.42% 0.52% 0.81% 1.10% 0.53% 0.21% 0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 1.20% Glacier Peers Total deposit costs have remained stable while Glacier’s peer group costs have experienced greater volatility Core de
Slide 28: Loan Trends
27 Loan Trends $6,578 $8,288 $9,513 $11,123 $13,432 $13,731 $5,000 $6,000 $7,000 $8,000 $9,000 $10,000 $11,000 $12,000 $13,000 $14,000 $15,000 Gross loans increased $299 million, or 9% annualized, during first quarter 2022 Gross loans increased $2.3 billion, or 21%, during 2021 Excluding PPP l
Slide 29: Organic Loan Growth
28 $0 $200 $400 $600 $800 $1,000 $1,200 $1,400 $601 $728 $364 $1,158 $419 $147 $299 Excluding PPP loans, organic loan growth for first quarter 2022 was $407 million, or 12% annualized, compared to $81 million, or 3% annualized, for first quarter 2021 Organic Loan Growth (Dollars in millions)
Slide 30: Loan Composition
29 Loan Composition Residential Real Estate 7% CRE 57% Other Commerical 27% HELOC 6% Other Consumer 3% 3/31/2021 Residential Real Estate 8% CRE 65% Other Commerical 19% HELOC 5% Other Consumer 3% 3/31/2022
Slide 31: Geographic Loan Dispersion
30 Geographic Loan Dispersion Montana 62% Idaho 22% Utah 2% Washington 1% Wyoming 9% Colorado 4% 12/31/2009 Montana 34% Idaho 13% Utah 17% Washington 6% Wyoming 8% Colorado 10% Arizona 9% Nevada 5% 3/31/2022
Slide 32: Investment Portfolio Trends
31 Investment Portfolio Trends $2,427 $2,870 $2,800 $5,528 $10,370 $10,113 $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 $7,000 $8,000 $9,000 $10,000 $11,000 $12,000 Investment securities ended first quarter 2022 at 39% of total assets compared to 33% at the end of first quarter 2021 Investments dec
Slide 33: Investment Composition
32 Investment Composition US Gov't & Federal Agency 1% US Gov't Sponsored Enterprises 0% State & Local Gov'ts 24% Corporate Bonds 5% Residential MBS 52% Commercial MBS 18% 3/31/2021 US Gov't & Federal Agency 13% US Gov't Sponsored Enterprises 3% State & Local Gov'ts 18% Corporate Bonds 1% Residentia
Slide 34: Improved Credit Quality
33 Improved Credit Quality
Slide 35: NPAs to Bank Assets
34 NPAs to Bank Assets 0.00% 0.10% 0.20% 0.30% 0.40% 0.50% 0.60% 0.70% 0.80% 0.90% 0.68% 0.47% 0.27% 0.19% 0.26% 0.19% 0.24% NPAs decreased $5.2 million during first quarter 2022 to 0.24% of Bank assets compared to the $1.2 million increase in first quarter 2021 to 0.19% of Bank assets
Slide 36: CECL and Allowance for Credit Losses (ACL)
35 CECL and Allowance for Credit Losses (ACL) (Dollars in millions) Commercial Asset Quality Ratings Consumer Loan Past Due Status Additional Qualitative Adjustments Prepayment Speed Assumptions Historical Loss Period Capture Other Key Model Inputs National Economic Assumptions (March 2022
Slide 37: Provision For Credit Losses
36 Provision For Credit Losses $0 $5,000 $10,000 $15,000 $20,000 $25,000 $30,000 $35,000 $40,000 $45,000 $10,824 $9,953 $57 $39,765 $23,076 $48 $7,031 Loan portfolio growth and credit quality considerations will determine the future level of credit loss expense or benefit (Dollars in thousands)
Slide 38: Net Charge-Offs
37 Net Charge-Offs $0 $2,500 $5,000 $7,500 $10,000 $12,500 $10,828 $8,282 $6,806 $7,653 $2,329 $2,286 $850 First quarter 2022, net charge- offs as a percentage of total loans were 0.01% compared to 0.02% in first quarter 2021 (Dollars in thousands)
Slide 39: ACL as a Percentage of Loans
38 ACL as a Percentage of Loans 1.00% 1.25% 1.50% 1.75% 2.00% 2.25% 2.50% 1.97% 1.58% 1.31% 1.42% 1.29% 1.39% 1.28% ACL was in the 61st♦ percentile of Glacier’s peer group for fourth quarter 2021 Excluding PPP loans, the ACL was 1.28% of loans at the end of first quarter 2022 compared to 1.51% a
Slide 40: Shareholder Return
7 / Shareholder Return 39
Slide 41: Dividends Declared
40 Dividends Declared At March 31, 2022, Glacier’s dividend yield was 2.66% The Company has declared 148 consecutive quarterly dividends In 2021, the Company increased its quarterly dividend by $0.09, or 7.6%, over 2020 $0.50 $0.55 $0.60 $0.65 $0.70 $0.75 $0.80 $0.85 $0.90 $0.95 $1.00 $1.05 $1
Slide 42: Long-Term Performance Since 1984
41 Long-Term Performance Since 1984 Annual Total Return * 15.4% Annual EPS Growth Rate 9.7% Annual Dividend Growth Rate 12.3% * Reflects results through 3/31/2022, assuming no reinvestment of dividends Compounded Rates Strong consistent performance over the past 38 years Long-term goal is to pro
Slide 43: Montana, Idaho, Utah, Washington, Wyoming, Colorado, Arizona & Nevada
Montana, Idaho, Utah, Washington, Wyoming, Colorado, Arizona & Nevada