Cnb Financial Corporation · NASDAQ:CCNE
Cnb Financial — Investor Presentation (March 2019)
32 slides from Cnb Financial's investor presentation, Mar 25, 2019
Slide 1: Investor Presentation March 2019
Investor Presentation March 2019 Exhibit 99.1
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the financial condition, liquidity, results of operations,
Slide 3: CNB Financial Overview
CNB Financial Overview Network of 42 offices through principal subsidiary, CNB Bank: 20 full-service offices of CNB Bank, headquartered in Clearfield, PA and serving North Central Pennsylvania 11 full-service offices of ERIEBANK headquartered in Erie, PA and serving Northwestern PA and Northeastern
Slide 4: CNB Financial Franchise Geography
CNB Financial Franchise Geography * Triangle shape denotes headquarters for CNB Bank divisions
Slide 5: CNB's Experienced Management Team
CNB’s Experienced Management Team YEARS AT CCNE YEARS IN INDUSTRY AGE EXECUTIVE TITLE Joseph B. Bower Jr. President & Chief Executive Officer 21 25 55 Richard L. Greslick Jr. SEVP / Chief Support Officer & Secretary 20 20 42 Mark D. Breakey SEVP / Chief Risk Officer 27 33 60 Joseph E. Dell Jr. SEVP
Slide 6: Our Vision
Our Vision Look for a way to say yes to our customers, co-workers and communities, every time.
Slide 7: Strategic Principles
Strategic Principles a, al Be the Source of Foster an Position for Exceptional Experience: i of Leadershi Long-Term Growth Produce SIGNIFICANT REWARDS CNB CORPORA r CORPORATION
Slide 8: Key Differentiators
Key Differentiators Create a unique competitive advantage by operating as a community bank in metropolitan markets Invest in up-to-date customer solutions, including digital and mobile delivery channels Expand the level of customer usage of digital and mobile delivery channels Wealth and asset manag
Slide 9: Greater Presence in Metropolitan Markets
Greater Presence in Metropolitan Markets (% of loan portfolio) 12/31/09 12/31/18 * Source: Company data 12/31/13
Slide 10: Loan & Deposit Composition
Loan & Deposit Composition Source: Company data as of December 31, 2018.
Slide 11: Deposit Market Share
Deposit Market Share Source: S&P Global Market Intelligence. Deposit market share as of June 30, 2018.
Slide 12: CNB Bank market overview
At December 31, 2018: 20 branches $929 million in loans and $1.0 billion in deposits; organic loan growth of $89 million, or 10.6%, since December 31, 2017; organic deposit growth of $74 million, or 7.8%, since December 31, 2017 Today there are 14 banks headquartered in the 8 counties within CNB Ban
Slide 13: Source: Company data 2018.
Source: Company data as of December 31, 2018.
Slide 14: ERIEBANK market overview
At December 31, 2018: Eleven branches $830 million in loans and $897 million in deposits; organic loan growth of $52 million, or 6.7%, since December 31, 2017; organic deposit growth of $69 million, or 8.3%, since December 31, 2017 Entered the greater Cleveland market with the acquisition of Lake Na
Slide 15: Source: Company data 2018.
Source: Company data as of December 31, 2018.
Slide 16: Cleveland, OH Market
Cleveland, OH Market Sources: city.cleveland.oh.us, rethinkcleveland.org, largestemployers.org Cleveland, the second largest city in Ohio, is a major manufacturing and commercial center, ranks as one of the chief ports on the Great Lakes and functions as a collecting point for highway and railway tr
Slide 17: Successful Expansion into Ohio
The acquisition of FC Banc Corp. in 2013 expanded CNB’s geographic footprint into Central Ohio with meaningful size and scale, operating as FCBank, a division of CNB Bank $428 million in loans and $373 million in deposits as of December 31, 2018 Loan growth of $23 million, or 5.6%, since December 31
Slide 18: Source: Company data 2018.
Source: Company data as of December 31, 2018.
Slide 19: BankOnBuffalo overview
BankOnBuffalo, a division of CNB Bank, formed in 2016, is primarily focused on the large number of commercial and industrial businesses that operate in Erie and Niagara counties of NY The decision to move into this region with a de novo operation came after an extensive evaluation of the market and
Slide 20: Source: Company data 2018.
Source: Company data as of December 31, 2018.
Slide 21: Full-Time Employees by Division
Full-Time Employees by Division * CNB Bank FTEs include all operational functions. Source: Company data as of December 31, 2018. *
Slide 22: Most Recent Quarter Peer Comparison
Most Recent Quarter Peer Comparison Performance Asset Quality Capital Returns 75th percentile 50th percentile 25th percentile CNB: 1.12 Peers: 1.18 Source: S&P Global Market Intelligence as of December 31, 2018, or most recent quarter. CNB Bank excludes Holiday Financial Services Corporation (“Holid
Slide 23: Capital Management Philosophy
Capital Management Philosophy Capital plan prepared annually and approved by Board of Directors Dividend payout ratio and dividend yield benchmarked against peers The capital plan establishes the following minimum capital ratios for CNB Bank on a standalone basis: Leverage Ratio: 7.0% Tier 1 Capital
Slide 24: Strong Capital Ratios
Strong Capital Ratios Source: Company data as of December 31, 2018.
Slide 25: Peer Comparison – Dividend
Peer Comparison – Dividend Source: S&P Global Market Intelligence as of December 31, 2018 , or most recent quarter. See page 31 for full peer group.
Slide 26: Peer Comparison – Valuation (P/TBV)
Peer Comparison – Valuation (P/TBV) Full Year 2018 Source: S&P Global Market Intelligence for dates noted above. See page 31 for full peer group.
Slide 27: Peer Comparison – (P/E)
Peer Comparison – (P/E) Source: S&P Global Market Intelligence for dates noted above. See page 31 for full peer group. Full Year 2018
Slide 28: Peer Comparison – Total Return
Peer Comparison – Total Return Source: S&P Global Market Intelligence for dates noted above. See page 31 for full peer group. Full Year 2018
Slide 29: Peer Comparison – Performance
Peer Comparison – Performance Source: S&P Global Market Intelligence as of December 31, 2018, or most recent quarter. See page 31 for full peer group. Core ROAA is net income after taxes and before extraordinary items, less net income attributable to non-controlling interest, gain on the sale of HTM
Slide 30: Peer Comparison – Asset Quality
Peer Comparison – Asset Quality Source: S&P Global Market Intelligence and Company Data. CNB Bank excludes Holiday. See page 31 for full peer group.
Slide 31: CNB Peers $1-5 billion
CNB Peers $1-5 billion Source: S&P Global Market Intelligence as of December 31, 2018, or most recent quarter. Peers consisting of banks headquartered in the Northeast, as well as OH, WV, IN and KY (states bordering CNB footprint), excluding metro markets, with total assets between $1 billion and $5
Slide 32: Non-GAAP Financial Reconciliation
Non-GAAP Financial Reconciliation Tangible common equity, tangible assets, and tangible book value per share are non-GAAP financial measures calculated using GAAP amounts. Tangible common equity is calculated by excluding the balance of goodwill and the core deposit intangible from the calculation o