Amerant Bancorp Inc. · NYSE:AMTB
Amerant Bancorp — Q1 2025 Earnings Presentation
40 slides from Amerant Bancorp's earnings presentation, Apr 24, 2025
Slide 1: First Quarter Earnings Presentation
First Quarter Earnings Presentation April 24, 2025
Slide 2: Important Notices and Disclaimers
Important Notices and Disclaimers Forward-Looking Statements This presentation contains “forward-looking statements” including statements with respect to the Company’s objectives, expectations and intentions and other statements that are not historical facts. Examples of forward- looking statements
Slide 3: 1Q25 Highlights: Balance Sheet
1Q25 Highlights Balance Sheet • Total assets were $10.2 billion, up by $268.0 million, compared to $9.9 billion in 4Q24 • Cash and cash and equivalents were $648.4 million, up by $58.0 million, compared to $590.4 million in 4Q24 • Total investments were $1.76 billion, up by $263.8 million, compared
Slide 4: 1Q25 Highlights: Income Statement
1Q25 Highlights Income Statement • Net income attributable to the Company was $12.0 million, down $4.9 million, compared to $16.9 million in 4Q24 • Diluted earnings per share was $0.28, compared to diluted earnings per share of $0.40 in 4Q24 • Net Interest Margin ("NIM") was 3.75%, unchanged from 4Q
Slide 5: 1Q25 Highlights: Other Key Items
1Q25 Highlights Other Key Items • As of 1Q25 our aggregate borrowing capacity with either the Federal Reserve or FHLB was $3.0 billion • Assets under management increased $42.55 million to $2.93 billion, compared to $2.89 billion in 4Q24, primarily driven by net new assets • Paid quarterly cash divi
Slide 6: Amerant Mortgage Updates
Amerant Mortgage Updates Operating model transition: • Executing on a plan to reduce the size and scope of our mortgage business, transitioning from being a national mortgage originator to focusing on in-footprint mortgage lending to support Amerant's retail and private banking customer base • Curre
Slide 7: Select Performance Metrics
Select Performance Metrics NIB Deposits/ Efficiency ACL / Total Loans ROA ROE Total Deposits Ratio held for investment 1.37% 20.4% 7.38% 1.18% 19.2% 0.67% 0.48% 5.32% 74.91% 67.87% 4Q24 1Q25 4Q24 1Q25 4Q24 1Q25 4Q24 1Q25 4Q24 1Q25 Excluding non-routine items ($0.5 million in non-routine noninterest
Slide 8: Allowance for Credit Losses (ACL)
Allowance for Credit Losses (ACL) ($ in millions) $98.3 $85.0 $13.9 $1.5 $3.8 $4.7 $(5.3) $(4.4) $(0.9) 4Q24 Gross Charge- Recoveries Requirement for Specific Reserves Credit Quality Model Loan Growth 1Q25 offs Charge-offs Change and Other Adjustments for Macroeconomic Macroeconomic Updates Factors
Slide 9: Classified Loans
Classified Loans ($ in millions) $206.1 $166.5 $64.6 $(5.3) $(19.7) 4Q24 Downgrades to Classified Charge-offs Payoffs/Paydowns 1Q25 • Classified loans of $206.1 million include 3 loans totaling $83.5 million that remain in accruing status • Net increase of $39.6 million or 24% in 1Q25, primarily dri
Slide 10: Non-Performing Loans (NPLs)
Non-Performing Loans (NPLs) ($ in millions) $123.2 $104.1 $101.3 $85.1 $39.0 $9.4 $(2.8) $(16.2) $(5.3) $(5.0) (1) 4Q24 Payoffs Actual Estimated Original Downgrades Charge-offs Additional Delayed 1Q25 2/6/25 Payoffs Estimate to NPLs Payoffs Payoffs to 2/28/25 (1) 2Q25 In addition to a delayed payoff
Slide 11: Special Mention Loans
Special Mention Loans ($ in millions) $97.3 $99.7 $5.4 $(3.0) 4Q24 Downgrades to Special Mention Payoffs/Paydowns 1Q25 • 8 loans totaling $97.3 million downgraded to special mention, primarily due to: – 3 CRE NYC loans totaling $48.8 million that were originated between 2015-2017. While certain mile
Slide 12: 2Q25 Outlook
2Q25 Outlook • Projected deposit growth in line with previous guidance of 15% annualized; continued focus on improving ratio of non-interest bearing to total deposits • Projected loan growth in the range of 10-15% by year end; temporary asset mix change (e.g. investment securities) would occur in th
Slide 13: Recent Significant Additions to Our Team
Recent Significant Additions to Our Team Risk Management: Jeffrey Tischler • Chief Credit Officer (started 3/17/25); Executive Management Committee member • 24 years of experience, most recently as EVP, Chief Credit Officer at City National Bank, CA, an RBC Company. Previous experience includes 19 y
Slide 14: Recent Significant Additions to Our Team
Recent Significant Additions to Our Team Business Development: Braden Smith • Chief Consumer Banking Officer (appointed 4/14/25) • 30 years of experience, most recently as Vice Chairman and Head of Private Banking for Wintrust Financial Corp for the past 15 years • Started on 11/18/24 as Chief Busin
Slide 15: Strategic Update
Strategic Update • Opened our new regional office and banking center in West Palm Beach in mid-April 2025 • Opening two new locations in Miami Beach and a second one in downtown Tampa in the next several months; continuing to opportunistically look at other locations • Hiring focus is on adding to b
Slide 16: Supplemental Information
Supplemental Information
Slide 17: Investment Portfolio
Investment Portfolio Expected Prepayments & Maturities Balances and Yields (1) ($ in millions) ($ in millions) 75.0 2,000 $2.5 $2.5 51.9 49.5 1,500 $2.5 45.0 50.0 $224.0 4.94% 34.3 5.12% 1,000 5.08% 4.91% 25.0 4.73% 500 4.17% 4.84% $1,298.1 $1,437.2 $1,702.1 0 0.0 1Q24 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26
Slide 18: Loan Portfolio Highlights
Loan Portfolio Highlights Loan Composition (1) Geographic GeographicMix (1) Mix(Domestic) 4.8% 4.2% 3.8% 3.8% 3.4% 1.7% 1.6% 1.5% 1.6% 1.6% 3.9% 4.2% 4.7% 4.0% 3.8% 3.3% 3.0% 3.0% 3.0% 21.6% 21.7% 21.4% 21.3% 21.6% 2.9% 12.9% 11.6% 10.5% 16.4% 16.2% 13.9% 13.7% 17.0% 7.05% 7.08% 7.08% 7.00% 6.84% 91
Slide 19: Loans Held for Investment Portfolio by Industry
Loans Held for Investment Portfolio by Industry March 31, 2025 Non-Real Highlights ($ in millions) Real Estate Estate Total % Total Loans Financial Sector (1) $ 4 $ 402 $ 406 5.7 % • Diversified portfolio - highest Construction and Real Estate & Leasing: sector concentration, other than Commercial r
Slide 20: CRE Loans Held For Investment - Detail
CRE Loans Held For Investment - Detail Outstanding as of March 31, 2025 ($ in millions) Land and CRE Type FL TX NY Other Total % Total CRE % Total Loans (1) Income Producing (2) Construction Retail $ 563 $ 19 $ 83 $ 13 $ 678 26.7 % 9.5 % $ 673 $ 5 Multifamily $ 293 $ 76 $ 83 $ — $ 452 17.8 % 6.3 % $
Slide 21: CRE Retail - Detail
CRE Retail - Detail As of March 31, 2025 Retail - LTV (2) CRE Retail (1) CRE Retail - Single Tenant (1) Fashion/Specialty Center; 1% Flex Property; 1% 60% Food and Health Retail; 11% Regional Center; 2% Neighborhood Center; 38% 50% Retail Storefront; 4% Restaurant; 11% 40% 36% Single Tenant; 5% Groc
Slide 22: CRE Office - Detail
CRE Office - Detail As of March 31, 2025 CRE Office (1) Office - LTV (2) 60% New York; 10% Texas; 11% 50% Other ; 6.0% 41% 40% 35% 30% 20% 15% 9% 10% South Florida; 73% —% 0% 50% or 51-60% 61-70% 71-80% 81% or less more Total: $396 million Weighted Average LTV: 59% Loan Portfolio Percentage: 5.5% CR
Slide 23: Credit Quality
Credit Quality Allowance for Credit Losses NPLs/ Total Loans and NPAs / Total Assets 1.71% ($ in millions) 1.52% 1.38% 1.43% $96.1 $94.4 $98.3 $79.9 $85.0 1.24% 1.25% 0.43% 1.23% 1.38% 0.51% 1.38% 1.41% 1.15% 1.18% 1.37% 1Q24 2Q24 3Q24 4Q24 1Q25 1Q24 2Q24 3Q24 4Q24 1Q25 Allowance for Credit Losses A
Slide 24: Well Diversified and Stable Deposit Mix
Well Diversified and Stable Deposit Mix Deposit Composition Mix by Country of Domicile ($ in millions) Domestic Deposits 69% of Total Deposits ($ in millions) Approx. avg. acct balance: $110,000 (1) 9,000 8,111 8,155 7,878 7,816 7,855 8,000 5,000 $1,482 $1,653 $1,397 $1,465 $1,505 7,000 $5,430 $5,27
Slide 25: Net Interest Income and NIM
Net Interest Income and NIM 25 NII and NIM (%) ($ in millions) $87.6 $85.9 90 $81.0 $78.0 $79.4 80 70 60 50 3.75% 3.75% 40 3.51% 3.56% 3.49% 30 20 10 0 1Q24 2Q24 3Q24 4Q24 1Q25 Net Interest Income NIM Interest-Bearing Deposits Beta Evolution (1) Cost of Funds 0.46 0.60 1Q24 2Q24 3Q24 4Q24 1Q25 0.27
Slide 26: Interest Rate Sensitivity
Interest Rate Sensitivity 26 Impact on NII from Interest Rate Change (1)(2) Impact on AFS from Interest Rate Change (1) As of March 31, 2025 Expected AOCL Improvement 6.8% 8.6% 4.2% 6.4% — 480 0% 4.0% (9.9)% (5.0)% (2.5)% 2.1% 0% (2.3)% (4.7)% (10.2)% ($ in Millions) ($ in Millions) 240 1,808 1,768
Slide 27: Non-Interest Income Mix
Non-Interest Income Mix $(0.2) Non-Interest Income Mix Assets Under Management and Custody ($ in millions) 23.6 $1.4 $0.7 25 19.4 19.5 1Q24 1Q25 14.5 $0.2 $2.4 $3.5 $19.6 $1.5 $0.5 $7.2 $7.8 $8.1 $5.6 $4.7 $4.3 $4.3 $4.5 $4.5 $5.4 $4.7 17% 0 $(0.2) $5.3 ($0.1) $5.0 $(68.5) $5.1 28% $(8.2) $2.4B $2.9
Slide 28: Non-Interest Expense
Non-Interest Expense Non-Interest Expense Mix Non-routine Noninterest Expenses ($ in millions, except for FTEs) ($ in millions) 15.1 15 100 83.4 76.2 73.3 71.6 75 66.6 10 $12.6 $48.1 $39.4 $41.2 50 $38.3 $33.6 .9 5.6 5.7 5 $3.4 $33.9 $35.0 $35.3 $33.3 $33.0 25 735 726 $1.3 720 $2.5 0.0 $0.9 0.5 696
Slide 29: EPS Trend
EPS Trend Change in Diluted Earnings Per Common Share $0.60 $0.40 $0.40 $0.28 $0.20 $0.14 $— $(0.05) $(0.20) $(0.21) $(0.40) (1) 4Q24 PPNR Income Tax Expense Provision for Credit Losses 1Q25 and Other (1) Non-GAAP Financial Measure. See Appendix 1 for a reconciliation to GAAP. 29
Slide 30: Appendices
Appendices
Slide 31: Appendix 1: Non-GAAP Financial Measures Reconciliations
Appendix 1 Non-GAAP Financial Measures Reconciliations The following table sets forth selected financial information derived from the Company’s interim unaudited and annual audited consolidated financial statements, adjusted for the effect of non-core banking activities such as the sale of loans and
Slide 32: Appendix 1: Non-GAAP Reconciliations (cont'd)
Appendix 1 Non-GAAP Financial Measures Reconciliations (cont'd) Three Months Ended, ($ in thousands) March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Total noninterest expense $ 71,554 $ 83,386 $ 76,208 $ 73,302 $ 66,594 Less: non-routine noninterest expense items Non
Slide 33: Appendix 1: Non-GAAP Reconciliations (cont'd)
Appendix 1 Non-GAAP Financial Measures Reconciliations (cont'd) Three Months Ended, ($ in thousands, except percentages and per share data) March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Net income (loss) attributable to Amerant Bancorp Inc. $ 11,958 $ 16,881 $ (48,
Slide 34: Appendix 1: Non-GAAP Reconciliations (cont'd)
Appendix 1 Non-GAAP Financial Measures Reconciliations (cont'd) Three Months Ended, ($ in thousands, except percentages and per share data) March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Net income (loss)/ Average stockholders' equity (ROE) 5.32 % 7.38 % (24.98)% 2.
Slide 35: Appendix 1: Non-GAAP Reconciliations (cont'd)
Appendix 1 Non-GAAP Financial Measures Reconciliations (cont'd) Three Months Ended, ($ in thousands, except percentages and per share data) March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Tangible common stockholders' equity $ 882,128 $ 866,153 $ 878,522 $ 709,761 $
Slide 36: Appendix 1: Non-GAAP Reconciliations (cont'd)
Appendix 1 Non-GAAP Financial Measures Reconciliations (cont'd) (1) Includes provision for credit losses on loans and provision for loan contingencies. See Footnote 7 in Exhibit 1 - Selected Financial Information for more details. (2) In the third quarter of 2024, the Company executed an investment
Slide 37: Income Statement Highlights - 1Q25 vs 4Q24
Income Statement Highlights - 1Q25 vs 4Q24 ($ in thousands) 1Q25 4Q24 Change Total Interest Income Loans $ 121,021 $ 128,910 $ (7,889) Investment securities 18,919 17,123 1,796 Interest earning deposits with banks and other interest income 6,468 6,885 (417) Total Interest Expense — Interest bearing
Slide 38: Glossary
Glossary 38 • ACL - Allowance for Credit Losses • MV - Market Value • AFS - Available for Sale • NPL - Non-Performing Loans • AOCL - Accumulated Other Comprehensive Loss • NPA - Non-Performing Assets • CET 1 - Common Equity Tier 1 capital ratio • NIB - Noninterest Bearing • CRE - Commercial Real Est
Slide 39: Glossary (cont'd)
Glossary (cont'd) 39 • Total gross loans: includes loans held for investment carried at amortized cost, loans held for sale carried at fair value, and loans held for sale carried at the lower of estimated fair value or cost • Cost of Total Deposits: annualized and calculated based upon the average d
Slide 40: AMERANT BANK Imagine tomorrow.
AMERANT BANK Imagine tomorrow.