Orange County Bancorp, Inc. · NASDAQ:OBT
Orange County Bancorp — Q4 2020 Earnings Presentation
15 slides from Orange County Bancorp's earnings presentation, March 2021
Slide 1: Soaring to New Heights
ORANGE COUNTY BANCORP, INC. SOARING TO NEW HEIGHTS March 2021
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements, which can be identified by the use of words such as “estimate,” “project,” “believe,” “intend,” “anticipate,” “plan,” “seek,” “expect” and words of similar meaning. These forward-looking statements include, but are not
Slide 3: Orange County Bancorp, Inc. Overview
Orange County Bancorp, Inc. Overview Holding Company for Orange Bank and Trust and Hudson Valley Investment Advisors, Inc. $1.7 Billion in Total Assets OTCQX: OCBI • 77% Loan / Deposit Ratio • Market Capitalization: ~$130 million • $1+ billion in Assets Under Management • Stock Price / Tangible Book
Slide 4: Business Evolution and Milestones
Business Evolution and Milestones • Michael Gilfeather was hired as President & CEO in 2014 • In early 2015, the Board of Directors approved a new strategic plan for organizational growth in a new and significant direction 2015: Strategic Planning 1892: 2007: Committee offsite at Mohonk Mountain 201
Slide 5: Leadership Team
Leadership Team Experienced Team with Strong Ties to the Community Years of Experience: 36 Michael Gilfeather Mr. Michael J. Gilfeather has been Chief Executive Officer and President of Orange County Bancorp, Inc and Orange Bank & Trust President, Chief Company since April 7, 2014 and its Director s
Slide 6: Our History, Transformation and Significant Growth and Expansion
Our History, Transformation and Significant Growth and Expansion Significant Investments in People, Systems and … Has Led to Strong Balance Sheet Growth and Expanding the Footprint… Enhanced Profitability Employee Count(1) Noninterest Expense ($M) Total Assets ($M) 170 $2,000 $1,664 $41.1 (inc. PPP)
Slide 7: Balanced Go-to-Market Business Model
Balanced Go-to-Market Business Model Business Banking Private Banking Trust & Wealth Management TRUST SERVICES • 13 branches • Launched in mid 2017 • Subsidiary of • Division of the • Division of Orange Bank & Trust Orange County Bank • Focus on local small to medium Bancorp, Inc. • Traditional trus
Slide 8: Franchise Scarcity Value in Highly Attractive Markets
Franchise Scarcity Value in Highly Attractive Markets #1 Ranked Community Bank in Lower Hudson Valley(1) OTCQX / Deposits in the Market ($ in millions) NASDAQ? Orange County $1,438 Westchester Bank $960 Avg. PCSB Bank $679 Branch Size: $110mm Walden Savings Bank $592 Mahopac Bank $421 NorthEas
Slide 9: Growth and Momentum Across All Areas
Growth and Momentum Across All Areas Lending Deposits Fee Income & AUM Gross Loans Total Deposits Trust / Wealth Revenue(1) $ in millions $1,151 $ in millions $ in millions (inc. PPP) $1,082 $1,800 $1,250 (ex.PPP) $1,489 $12.0 $1,500 $9.8 $1,000 $891 $10.0 $9.0 $737 $1,200 $1,083 $7.9 $8.1 $750 $8.0
Slide 10: Leading Core Deposit Franchise
Leading Core Deposit Franchise Areas of Focus $1.5B Total Deposits • Keys to Success Dedicated Deposit Relationship managers 36% Noninterest Bearing Mix Investment into state-of-the-art Treasury / Cash management product suite • Escrow 0.23% Cost of Total Deposits Attractable DDA capture • Mun
Slide 11: Credit Trends
75th Percentile Median Credit Trends 25th Percentile Reserves / Loans (ex. PPP) (%) Non-Performing Assets / Total Assets(1) (%) 2020Q4 2020Q4 2.00% 1.00% 1.56% 1.49% 0.80% 0.74% 1.50% 1.38% 0.60% 1.00% 1.16% 0.43% 0.40% 0.50% 0.20% 0.12% 0.22% 0.00% 0.00% (2) (2) OCBI National Peers OCBI National Pe
Slide 12: Loan Deferral Detail
Loan Deferral Detail Summary of Loan Portfolio Segments & Deferments at 12/31/2020 Industry Classification Breakdown $ in millions Total Deferments Loan % of Total Outstanding Loan Industry Classification Balance Count Loans Balance Count Deferred % Real Estate & Rental Leasing $457 481 39.5 % $5 6
Slide 13: Go-Forward Strategic Focus
Go-Forward Strategic Focus Continue executing strategic plan Further hiring to support lending capabilities Strategic Focus Further build out and integration of fee income businesses Evaluate opportunistic M&A opportunities Utilize excess liquidity for near-term loan growth and target long
Slide 14: Compelling Investment Opportunity
Compelling Investment Opportunity Superior Balance Sheet Superior Per Share Significantly Undervalued vs. Growth Rates Growth Rates Broader Bank Universe 2013 – 2020 Loan Growth CAGR Tangible Book Value per Share (+ Dividends) Price / Tangible Book Value (x) 19% $30.66 $26.76 1.38x 1.37x 1.44x 1.21x
Slide 15: Contact Information
Contact Information Corporate Headquarters Company Contacts Michael Gilfeather President, Chief Executive Officer & Director Phone: (845) 341-5127 Email: MGilfeather@orangebanktrust.com Orange County Bancorp, Inc. 212 Dolson Avenue Middletown, NY 10940 Robert Peacock (845) 341-5000 Sr. Executive VP
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