Op Bancorp · NASDAQ:OPBK
Op Bancorp — D.A. Davison 23rd Annual Financial Institutions Conference 2021
20 slides from Op Bancorp's conference presentation, May 6, 2021
Slide 1: D.A. Davison 23rd Annual Financial Institutions Conference
D.A. Davison 23rd Annual Financial Institutions Conference May 5 - 6, 2021
Slide 2: Forward-Looking Statements
Certain matters set forth herein constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including forward-looking statements relating to the Company’s current business plans and expectations regarding future operating results. These forwar
Slide 3: Key Investment Highlights
Key Investment Highlights 3 Proven Track Record of Organic and Profitable Growth Experienced Management Team Personal Relationship-Based Service Strong Community Relationships Strong Risk Management Practices and Disciplined Credit Quality Management Efficient and Scalable Banking Platform
Slide 4: Experienced Management Team
Set openbank Years in Name Title Industry Experience 1 ‘of Hope and Hope Bancorp Inc) > Served in various other executive postions within Nara Bancorp Min J. Kir hie Eecuve 8 2010 Ps Seen ‘and Manager of the Westom Street Branch of Hanmi Bank) Executive VP cnnstne on eamative VP 8 ~ oro ~ Former nem
Slide 5: Corporate History and Timeline
Corporate History and Timeline 5 Credit crisis significantly impacts financials FDIC Issued an Order to Cease and Desist 2005 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Opened First Standard Bank Min J. Kim appointed as CEO Renamed Open Bank Safety and Soundness and C&D lifted Raised $11.1 mi
Slide 6: Overview of OP Bancorp
Overview of OP Bancorp 6 Company Overview OP Bancorp (“OPBK”) is the bank holding company for Open Bank, a full service commercially-oriented community bank Target clients are small and medium-sized Korean-American businesses and their owners Nine full-service branches: Eight branches in Los Angeles
Slide 7: Geographic Footprint
Geographic Footprint Headquarters Wilshire Branch (June 2005) Fashion District Branch (November 2012) Gardena Branch (February 2013) Aroma Branch (October 2013) Buena Park Branch (December 2013) Olympic Branch (August 2014) Western Branch (October 2015) Carrollton Branch (April 2019) Seattle LPO (Ap
Slide 8: Operating Strategies
Operating Strategies 1. 2. 3. 4. 5. 6. 8
Slide 9: Track Record of Sustained Balance Sheet Growth
Track Record of Sustained Balance Sheet Growth 9 Total Loans ($mm) Total Assets ($mm) Pre-Provision Net Revenue(1) ($mm) Total Deposits ($mm) Note: As of or for the year ended December 31 of each respective year, except 2021-Q1, which was as of or for the three months ended March 31, 2021. Calculate
Slide 10: Commitment and Involvement in the Community
Commitment and Involvement in the Community 10 The Open Stewardship Foundation was established in October 2011 Committed to contributing 10% of OPBK’s annual consolidated net income after taxes to the Foundation OPBK has donated approximately $7.4 million to the Foundation, aiding over 190 local non
Slide 11: Loan Portfolio
Note: As of or for the year ended December 31 of each respective year, except 2021-Q1, which was as of March 31, 2021. Loan Portfolio 11 Loan Portfolio Diversification Loan Portfolio Highlights Yield on Loans (%) $1.18 billion total loan portfolio (including loans held for sale) as of March 31, 2021
Slide 12: Commercial Real Estate Loan Portfolio Details
* As of March 31 of each respective year. Commercial Real Estate Loan Portfolio Details 12 Total CRE Loan Portfolio Breakout CRE Loan Portfolio Highlights CRE loan balances as of March 31, 2021: $662.4 million (excluding SBA real estate loans) $801.9 million (including SBA real estate loans) Average
Slide 13: Loan Portfolio Yield
Loan Portfolio Yield Loan Portfolio Yield Details 13 As of March 31, 2021
Slide 14: High Quality Deposit Base
March 31, 2021 Note: As of or for the year ended December 31 of each respective year, except 2021-Q1, which was as of or for the three months ended March 31, 2021. Includes $112.4 million in wholesale deposits and $8.7 million in other bank-use deposits. High Quality Deposit Base 14 Deposit Portfoli
Slide 15: Rising Rate Environment & Net Interest Margin Sensitivity
Source: Target Fed Funds Rate per Federal Open Market Committee guidance. Rising Rate Environment & Net Interest Margin Sensitivity 15
Slide 16: Historical Earnings Growth and Stability
Note: For the year ended December 31 of each respective year, except 2021-Q1, which was as of or for the three months ended March 31, 2021. * Excluding net impact of one-time gain on company owned life insurance. Historical Earnings Growth and Stability 16 Net Income ($mm) and Diluted Income Per Sha
Slide 17: Consistent and Growing Profitability
Consistent and Growing Profitability 17 Return on Average Equity Return on Average Assets Noninterest Expense to Average Assets Efficiency Ratio Note: As of or for the year ended December 31 of each respective year, except 2021-Q1, which was as of or for the three months ended March 31, 2021. * Excl
Slide 18: High Asset Quality Through Disciplined Risk Management
Note: As of or for the year ended December 31 of each respective year, except 2021-Q1, which was as of or for the three months ended March 31, 2021. High Asset Quality Through Disciplined Risk Management 18 Nonperforming Loans to Gross Loans Nonperforming Assets to Total Assets Net Charge-Offs to Av
Slide 19: Strong Capital Position
Note: As of or for the year ended December 31 of each respective year, except 2021-Q1, which was as of or for the three months ended March 31, 2021. Strong Capital Position 19 Tier 1 Leverage Ratio Common Equity to Assets Tier 1 Risk Based Capital Total Risk Based Capital
Slide 20: Investment Highlights
Investment Highlights 20 A growing force in Korean-American Banking Experienced and proven management team Undervalue of our stock Continuous strong organic growth
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