Cb Financial Services, Inc. · NASDAQ:CBFV
Cb Financial Services — Investor Presentation (May 2019)
22 slides from Cb Financial Services's investor presentation, May 20, 2019
Slide 1: Shareholder Presentation May 2019
Shareholder Presentation May 2019
Slide 2: Forward-looking statements and non-GAAP disclosures
1 Statements contained in this investor presentation that are not historical facts may constitute forward - looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995 (the “Act”) . Such forward - looking statements are subject to significant risks and uncertai
Slide 3: Overview of CB Financial Services, Inc.
2 Source: S&P Global Market Intelligence. Financial data as of 6/30/17. (1) Alpine is an S - Corporation. ROAA and ROAE tax - effected at an effective rate of 30%. (2) NPLs include nonaccrual loans and TDRs. NPAs include NPLs, OREO and loans 90+ days past due and still accruing interest. 2 118 yea
Slide 4: Management team
3 President & Chief Executive Officer Appointed CEO in June 2018 and President in May 2017 Director since 2014 35+ years of commercial banking experience, 14 years in executive management Former President, CEO & Director of FFCO; previously a Regional President of WSBC Kevin Lemley Execu
Slide 5: Diversified Business
4 Diversified Business Source: Company documents - (1) For the quarter ended 3/31/2019. Fee income defined as noninterest income excluding net loss on sales of investments and nonrecurring items Focus on new commercial business generation and sales culture Growing presence within the Pittsburgh
Slide 6: Strategic Vision for CBFV
5 Empower our experienced, high quality employees to provide superior customer service in all aspects of our business Create a service culture which builds full relationships with our customers Continue our track record of opportunistic growth in the Marcellus/Utica Shale Region and the robust
Slide 7: Deposit market share
6 Rank HQ'ed in PA, WV, OHInstitution (State) Branches Deposits in Market Market Share 1 1 PNC Financial Services Group (PA) 37 4,162,700$ 20.2% 2 2 F.N.B. Corp. (PA) 28 1,807,170$ 8.8% 3 3 WesBanco Inc. (WV) 23 1,721,646$ 8.4% 4 Citizens Financial Group Inc. (RI) 28 1,688,848$ 8.2% 5 4 S&T Bancorp
Slide 8: Marcellus / Utica Shale Region
7 Shell Cracker Plant PTT Global Chemical Cracker Plant Source: U.S. Energy Information Administration (1) US Geological Survey and Energy Information Administration estimates. Includes natural gas and oil reserves (2) http :// aongrc.nrcce.wvu.edu/wp - content/uploads/MASTER_Final_Report_8 - 29 - 2
Slide 9: Key Economic Driver: Pittsburgh Market
8 Key Economic Driver: Pittsburgh Market • Pittsburgh has a robust and diverse economy. Unemployment is 3.9% the lowest level since 1976 when the Steel Industry was vibrant. • Carnegie Mellon University and the University of Pittsburgh have helped to bring tech jobs and innovation to the area. From
Slide 10: Financial Update
ch Financial Update
Slide 11: Financial Update – Q1 2019
10 Diluted EPS for Q1 2019 was $ 0.54, compared to $0.45 and $0.33 for Q4 2018 and Q1 2018, respectively Net income for Q1 2019 was $ 2.9 million, compared to $2.4 million for Q4 2018 and $1.4 million for Q1 2018, increases of $495,000, or 20.4% and $1.5 million, or 115.1%, respectively Total
Slide 12: Balance Sheet Mix: Deposits, Loans and Assets
11 Deposit Base Loan Portfolio Total Asset Mix Balance Sheet Mix Source: Company documents, as of or for the quarter ended 3/31/2019 *Includes brokered deposits $909 million in gross loans, 4.73% loan yield in Q1 2019 42.6% of loans are commercial real estate and C&I Q1 2019 organic loan growt
Slide 13: Loans, deposits, securities and borrowings trends
12 $683 $682 $744 $781 $892 $901 $913 $909 4.38% 4.37% 4.30% 4.32% 4.43% 4.52% 4.73% 4.73% 3.00% 3.50% 4.00% 4.50% 5.00% 5.50% 6.00% $- $200 $400 $600 $800 $1,000 2015 2016 2017 Q1 Q2 Q3 Q4 Q1 2018 2019 Gross Loans Loan Yield $679 $698 $773 $755 $1,025 $1,063 $1,087 $1,105 0.44% 0.44% 0.50% 0.56% 0.
Slide 14: High Quality Deposit Base
13 $679 $698 $773 $1,087 $1,105 $- $200 $400 $600 $800 $1,000 $1,200 2015 2016 2017 2018 Q1 2019 Demand NOW Money Market Savings Time Deposits Brokered Deposits 0.44% 0.44% 0.50% 0.56% 0.67% 0.70% 0.77% 0.84% 0.50% 0.75% 1.50% 1.75% 2.00% 2.25% 2.50% 2.50% 0.00% 0.30% 0.60% 0.90% 1.20% 1.50% 1.80% 2
Slide 15: Profitability Trends
14 1.01% 0.91% 0.78% 0.59% 0.34% 0.73% 0.75% 0.93% 0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 1.20% 2015 2016 2017 Q1 Q2 Q3 Q4 Q1 2018 2019 9.89% 8.48% 7.53% 5.93% 3.40% 6.77% 7.15% 8.53% 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 2015 2016 2017 Q1 Q2 Q3 Q4 Q1 2018 2019 2.74% 2.85% 2.80% 2.82% 3.05% 3.00%
Slide 16: Revenue Diversification with Fee Income
15 $29,202 $29,148 $29,060 $37,677 $10,434 $7,595 $7,194 $7,544 $8,074 $2,346 $- $10,000 $20,000 $30,000 $40,000 $50,000 2015 2016 2017 2018 Q1 2019 Net Interest Income Fee Income Fee Revenue Mix – Q1 2019 Fee income sources comprised approximately 18% of Q1 2019 total operating revenue Cross -
Slide 17: Strong Asset Quality
16 1.32% 1.02% 0.81% 0.60% 0.66% 0.62% 0.56% 0.44% 0.00% 0.40% 0.80% 1.20% 1.60% 2.00% 2015 2016 2017 Q1 Q2 Q3 Q4 Q1 2018 2019 0.95% 1.14% 1.18% 1.14% 1.05% 1.03% 1.05% 1.04% 0.00% 0.40% 0.80% 1.20% 1.60% 2.00% 2015 2016 2017 Q1 Q2 Q3 Q4 Q1 2018 2019 0.10% 0.11% 0.13% 0.74% 0.06% 0.05% 0.06% 0.08% 0
Slide 18: Financial Highlights – Since 2015
17 Financial Highlights – Since 2015 Source: S&P Global Market Intelligence and Company documents Note: All dollars in thousands, except per share (1) Non - GAAP financial metric. Please see the appendix to this presentation for non - GAAP reconciliations. As of, or for the Year Ended 2015 2016 2017
Slide 19: Market Performance and Shareholder Return
18 -20.0% 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% 120.0% 2014 2015 2016 2017 2018 2019 Russell 2000 KBW Regional CBFV CBFV (Total Return) $0.81 $0.83 $0.84 $0.84 $0.84 $0.85 $0.88 $0.88 $0.89 $0.96 $- $0.50 $1.00 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019** Market Performance – Since 2014 Shareho
Slide 20: Appendix
ch Appendix
Slide 21: TCE Ratio, Tangible Book Value and Efficiency Ratio Reconciliations
20 For the Year Ended December 31, 2015 2016 2017 2018 Q1 2019 Stockholders' Equity (GAAP) 86,896$ 89,469$ 93,256$ 137,625$ 141,729$ Less: Intangible Assets 9,306 8,772 8,237 39,359 38,874 Tangible Common Equity 77,590$ 80,697$ 85,019$ 98,266$ 102,855$ Total Assets (GAAP) 830,677$ 846,075$ 934,486$
Slide 22: Return on Average Tangible Common Equity Reconciliation
21 Return on Average Tangible Common Equity Non - GAAP Reconciliations Source: Company documents, as of 3/31/2019 Note: All dollars in thousands, except per share For the Year Ended December 31, 2015 2016 2017 2018 Q1 2019 Net Income (GAAP) 8,420$ 7,580$ 6,944$ 7,052$ 2,925$ Plus: Amortization of In
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