Fb Financial Corporation · NYSE:FBK
Fb Financial — Investor Presentation (May 2023)
34 slides from Fb Financial's investor presentation, May 15, 2023
Slide 1: Second Quarter 2023 Investor Presentation
May 16, 2023 Second Quarter 2023 Investor Presentation
Slide 2: Forward-Looking Statements
1 Forward–Looking Statements Certain statements contained in this Presentation that are not historical in nature may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, stat
Slide 3: Use of Non-GAAP Financial Measures
2 Use of Non-GAAP Financial Measures This Presentation contains certain financial measures that are not measures recognized under U.S. generally accepted accounting principles (“GAAP”) and therefore are considered non-GAAP financial measures. These non-GAAP financial measures may include, without li
Slide 4: Snapshot of FB Financial today
3 Snapshot of FB Financial today 1 Results are non-GAAP. See “Use of non-GAAP financial measures” and the Appendix hereto for a discussion and reconciliation of non-GAAP financial measures to the most directly comparable GAAP financial measures. Financial Results 1Q 2023Balance sheet ($mm) $13,101To
Slide 5: Strategic Drivers Poised for Solid Performance
4 Strategic Drivers Poised for Solid Performance Proven Opportunistic Acquirer with Scalable Platforms and Technology Highly Motivated Senior Management Team Great Place to Work Organic Growth Focused Empowered Teams Across Attractive Metro and Community Markets
Slide 6: Recent Corporate History
5 2017 2018 2019 2020 2021 2022 Recent Corporate History 1 See “Use of non-GAAP financial measures,” and “Reconciliation of non-GAAP financial measures” in the Appendix hereto. Note: Financial data presented on a consolidated basis. 202020182017 Completed acquisition of Clayton Bank & Trust and Am
Slide 7: Well Positioned in High Growth Markets
6 Well Positioned in High Growth Markets 1 Source: S&P Global. Market data is as of June 30, 2022 and is presented on a pro forma basis for announced acquisitions since June 30, 2022. 2 Source: S&P Global. FBK Footprint is based on weighted average demographics of MSAs and counties not located in MS
Slide 8: Well-capitalized for Future Opportunities
7 Well-capitalized for Future Opportunities Tangible Book Value per Share2 Simple Capital Structure Common Equity Tier 1 Capital 84% Trust Preferred 2% Subordinated Notes 6% Tier 2 ACL 8% Total regulatory capital: $1,5572 mm $11.56 $11.58 $14.56 $17.02 $18.55 $21.73 $24.67 $22.90 $23.86 3Q16 4Q16 4Q
Slide 9: Strong Liquidity Position
8 $2,176.6 $1,181.7 $889.7 $1,310.2 $1,609.2 17.5% 9.9% 7.4% 10.4% 12.5% $- $500.0 $1,000.0 $1,500.0 $2,000.0 $2,500.0 1Q22 2Q22 3Q22 4Q22 1Q23 On-Balance Sheet Liqudity On balance sheet liquidity / tangible assets Strong Liquidity Position On-Balance Sheet Liquidity Liquidity / Uninsured and Uncoll
Slide 10: Driving Shareholder Value
9 21% 31% 22% 8% 3% 1Q22 2Q22 3Q22 4Q22 1Q23 Driving Shareholder Value ¹ See “Use of non-GAAP financial measures” and the Appendix hereto for a discussion and reconciliation of non-GAAP measures to the most directly comparable GAAP financial measures. Adjusted Earnings per Share1 $2.83 $3.73 $3.78 $
Slide 11: Valuable Core Deposit Base
10 Noninterest- bearing checking 22% Interest-bearing checking 30% Money market 31% Savings 4% Time 13% 52% Checking accounts Valuable Core Deposit Base ¹ Noninterest bearing deposits includes mortgage servicing-related deposits of $131.1 million, $133.2 million, $140.8 million, $75.6 million, and $
Slide 12: Well-balanced Deposit Portfolio
11 $4,659 $4,628 $4,621 $4,986 $5,028 $3,700 $3,568 $3,759 $3,797 $3,768 $2,637 $2,347 $1,626 $2,073 $2,387 $10,996 $10,543 $10,006 $10,856 $11,183 1Q22 2Q22 3Q22 4Q22 1Q23 Consumer Commercial Public $7,631 $7,320 $6,653 $7,289 $7,927 $3,365 $3,223 $3,353 $3,567 $3,256 $10,996 $10,543 $10,006 $10,85
Slide 13: Balanced Loan Portfolio
12 Office 19% Retail 24% Hotel 16% Warehouse / Industrial 17% Land-Manufactured Home Communities 6% Self Storage 5% Healthcare Facility 2% Other 11% 1-4 Family to be sold 46% Commercial Land 22% 1-4 Consumer Construction 8% Multifamily 9% Retail 4% Warehouse 2% Office 1% Other 8% 1-4 family 17% 1-4
Slide 14: Office Exposure (Non-owner Occupied CRE & C&D)
13 Nashville 58% Memphis 10% Knoxville 6% Huntsville 5% Birmingham 3% Chattanooga 3% Other 5% Communities 10% Office Exposure (Non-owner Occupied CRE & C&D) Office loans represent only 4.0% of our total HFI loan portfolio as of the end of 1Q23 Projects characterized by significant cash equity re
Slide 15: Asset Quality Remains Solid
14 0.40% 0.45% 0.40% 0.41% 0.38% 0.22% 0.20% 0.16% 0.04% 0.01% 0.07% 0.07% 0.44% 0.46% 0.62% 0.68% 0.61% 1Q22 2Q22 3Q22 4Q22 1Q23 Commercial loans HFS Optional GNMA repurchase Other NPAs 1.50% 1.46% 1.48% 1.44% 1.48% 1Q22 2Q22 3Q22 4Q22 1Q23 (0.03%) 0.09% 0.00% 0.02% 0.02% 1Q22 2Q22 3Q22 4Q22 1Q23 A
Slide 16: Allowance for Credit Losses Overview
15 1.50% 0.92% 1.25% 0.86% 2.16% 1.60% 1.56% 1.67% 3.59% 1.44% 0.67% 1.12% 0.70% 2.40% 1.35% 1.66% 1.51% 3.67% 1.48% 0.67% 1.13% 0.70% 2.42% 1.35% 1.74% 1.82% 3.77% Gross Loans HFI Commercial & Industrial Non-Owner Occ CRE Owner Occ CRE Construction Multifamily 1-4 Family Mortgage 1-4 Family HELOC C
Slide 17: Strong Net Interest Margin
16 Strong Net Interest Margin Historical Yield and Costs ¹ Includes tax-equivalent adjustment. 2 Excess liquidity defined as interest-bearing deposits with other financial institutions in excess of 5% of average tangible assets. Assumes funded from all interest-bearing liabilities. $5,000 $7,000 $9,
Slide 18: Mortgage Performance in 1Q 2023
17 Mortgage Performance in 1Q 2023 Highlights Mortgage segment essentially broke even with pre-tax net loss of $0.2 million in 1Q 2023, a seasonally slow quarter for mortgage originations Interest rate lock commitment volume increased 33.2% in 1Q 2023 compared to 4Q 2022 Decay and interest rat
Slide 19: Managing Expenses
18 Managing Expenses Highlights Consolidated 1Q 2023 core efficiency ratio¹ of 63.3% Banking segment noninterest expense grew 2.4% as expected due to annual compensation increases and expense management initiatives; core efficiency ratio impacted by accelerating deposit growth and costs Mortgage
Slide 20: Appendix
19 Appendix
Slide 21: Adjusted Net Income and Diluted Earnings per Share
20 GAAP Reconciliation and use of non-GAAP Financial Measures Adjusted Net Income and Diluted Earnings per Share
Slide 22: Adjusted Pre-Tax, Pre-Provision Earnings
21 GAAP Reconciliation and use of non-GAAP Financial Measures Adjusted Pre-Tax, Pre-Provision Earnings
Slide 23: Adjusted Earnings and Diluted Earnings per Share
22 GAAP Reconciliation and use of non-GAAP Financial Measures Adjusted Earnings and Diluted Earnings per Share
Slide 24: Adjusted Pre-Tax, Pre-Provision Earnings
23 GAAP Reconciliation and use of non-GAAP Financial Measures Adjusted Pre-Tax, Pre-Provision Earnings
Slide 25: Adjusted Common Equity Tier and Total Capital Ratios
24 GAAP Reconciliation and use of non-GAAP Financial Measures Adjusted Common Equity Tier 1 and Total Capital Ratios
Slide 26: Core Efficiency Ratio (Tax-equivalent basis)
25 GAAP Reconciliation and use of non-GAAP Financial Measures Core Efficiency Ratio (Tax-equivalent basis)
Slide 27: Segment Core Efficiency Ratios (Tax-equivalent basis)
26 GAAP Reconciliation and use of non-GAAP Financial Measures Segment Core Efficiency Ratios (Tax-equivalent basis)
Slide 28: Adjusted Banking Segment Pre-Tax Pre-Provision Earnings Adjusted Mortgage Segment Pre-Tax Net Loss
27 GAAP Reconciliation and use of non-GAAP Financial Measures Adjusted Banking Segment Pre-Tax Pre-Provision Earnings Adjusted Mortgage Segment Pre-Tax Net Loss
Slide 29: Tangible Assets and Equity, Tangible Book Value per Common Share, TCE to Tangible Assets
28 GAAP Reconciliation and use of non-GAAP Financial Measures Tangible Assets and Equity, Tangible Book Value per Common Share, Tangible Common Equity to Tangible Assets, and On- Balance Sheet Liquidity to Tangible Assets
Slide 30: Tangible Assets and Equity, Tangible Book Value per Common Share and TCE to Tangible Assets
29 GAAP Reconciliation and use of non-GAAP Financial Measures Tangible Assets and Equity, Tangible Book Value per Common Share and Tangible Common Equity to Tangible Assets
Slide 31: Return on Average Tangible Common Equity
30 GAAP Reconciliation and use of non-GAAP Financial Measures Return on Average Tangible Common Equity
Slide 32: Adjusted Return on Average Assets and Common Equity
31 GAAP Reconciliation and use of non-GAAP Financial Measures Adjusted Return on Average Assets and Common Equity
Slide 33: Return on Average Tangible Common Equity
32 GAAP Reconciliation and use of non-GAAP Financial Measures Return on Average Tangible Common Equity
Slide 34: Adjusted Return on Average Assets and Common Equity
33 GAAP Reconciliation and use of non-GAAP Financial Measures Adjusted Return on Average Assets and Common Equity