Unity Bancorp, Inc. · NASDAQ:UNTY
Unity Bancorp — Shareholder Meeting (April 2022)
14 slides from Unity Bancorp's shareholder meeting presentation, Apr 28, 2022
Slide 1: Unity Bancorp 2022 Shareholders' Meeting
w Unity BANCORP INC 2022 Shareholders’ Meeting April 28, 2022
Slide 2: Strong Q1 Results
Strong Q1 Results wy Net income Net income (in thousands) $ 9,108 $ 8,496 Net income per common share - Diluted |$ 0.85 $ 0.80 Operating Ratios Return on average assets 1.80 % 185 % Return on average equity 17.64 19.51 Efficiency ratio 45.86 45.74 Net interest margin 4.11 4.09
Slide 3: Unity Bank Posted its Best Earnings Ever in 2021
Unity Bank Posted its Best Earnings Ever in 2021 7» (dollars in millions) wy $36.1 $3.43 << oe s2.i4 $2.01 $1.20 | 2017 2018 2019 2020 2021 2017 2018 2019 2020 2021 Net Income Diluted EPS The provision for loan losses totaled $7.0 million in 2020 due to the uncertainty and the risk of loan defaults
Slide 4: Summary Income Statement and Profitability
Summary Income Statement and Profitability (dollars in millions) YY Net Interest Income $ 77.0 § 64.4 19.6 % Provision for Loan Losses (-) 0.2 7.0 (97.4) Noninterest Income (+) 12.1 12.9 (6.9) Noninterest Expense (-) 40.8 39.3 3:9 Provision for Income Taxes (-) 12.0 TS 60.7 Net Income 36.1 8 23.6 52
Slide 5: Unity Bank's Growing Footprint
Unity Bank’s Growing Footprint UNITY BANK BRANCH LOCATIONS Pennsylvania Northampton County: Middlesex County: 1) Bethichem, PA 8) Edison, NJ 2) Forks, PA 9) Highland Park, NJ 10) Middlesex, NJ New Jersey 11) South Plainfield, NJ Bergen County: Ons 5 3) Emerson, NI Joean County 4) Ramsey, NJ Lakewood
Slide 6: Generating Strong Loan and Deposit Growth
Generating Strong Loan and Deposit Growth (dollars in millions) $1,603 : i $1,759 ’ i 2020 2021 Total Loans - (Excluding PPP) 2020 2021 & Total Deposits Total Loans (Excluding PPP) — 6.15% increase ¢ 38.3% increase in residential construction loans ¢ 29.7% increase in SBA loans ¢ 17.9% increase in c
Slide 7: Total Loans
Total Loans (dollars in millions) $1,800 $1,628 $1,649 $1900 ge $1,426 am $1,400 $1,304 sagt $153 $144 $1,200 $1,171 Psa | 1 $67 sits $409 $4,000 $110 ee $436 $800 $365 $600 $400 $200 s 2017 2018 2019 2020 2024 Commercial uResidential Consumer PPP wSBA
Slide 8: Total Deposits
Total Deposits (dollars in millions) $1,759 $1,558 $529 $1,208 $1,250 $460 $1,043 = $280 $256 2017 2018 2019 2020 2021 Time deposits uinterest-bearing & SAV deposits _iNoninterest-bearing deposits
Slide 9: Net Interest Income & Net Interest Margin
Net Interest Income & Net Interest Margin (dollars in millions) wy $100 4.30% 4.16% $90 a ae 35% ai a ae . 3.85% 4.00% $30 $70 3.50% $576 $0 $53.8 3.00% $50 us 2.50% $30 2.00% $20 1.30% $10 s- 1.00% 2017 2018 2019 2020 2021 SamaiNet Interest Income =tiNet Interest Margin
Slide 10: Noninterest Income
Noninterest Income UN (dollars in thousands) wy 2021 2020 % Change Branch fee income $ 1,130 |$ 1,046 8.0 % ‘ervice and loan fee income 2,757 1,742 58.3 ain on sale of SBA loans held for sale, net 741 1,642 (54.9) ain on sale of mortgage loans, net 4,567 6,344 (28.0) BOLI income 689 613 12.4 Net sec
Slide 11: Book Value/Stock Price Comparison
Book Value/Stock Price Comparison yw 2017 2018 2019 2020 2021 Qi 2022 SSmmdBook Value Per Share =ti=Stock Price
Slide 12: Long History of Returning Capital Shareholders
Long History of Returning Capital Shareholders (dollars in millions) $12.0 $10.0 $8.0 36.0 $4.0 - |» | - = 2017 2018 2019 2020 2021 Dividends Shares Repurchased Announcing dividend increase to $0.11 per share payable June 24, 2022, from current $0.10 per share.
Slide 13: Capital Ratios
Capital Ratios wy BLR * 10.51 % excluding PPP loans 11.24 erage equity to average assets 9.77 excluding PPP loans 10.42 * To be well-capitalized, a banking entity must maintain a CBLR of 8% or greater starting in the second quarter 2020, 8.5% for calendar year 2021, and 9% thereafter.
Slide 14: bes
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