Oceanfirst Financial Corp. · NASDAQ:OCFC
Oceanfirst Financial — Investor Presentation (May 2010)
19 slides from Oceanfirst Financial's investor presentation, May 25, 2010
Slide 1: OceanFirst Financial Corp. Investor Presentations May 25 & 26, 2010
NASDAQ: OCFC 1 OceanFirst Financial Corp. INVESTOR PRESENTATIONS MAY 25 & 26, 2010 OceanFirst Financial Corp. John John R. R. Garbarino Garbarino - - Chairman, Chairman, President President & & CEO CEO Vito Vito R. R. Nardelli Nardelli - - Executive Executive Vice Vice President President & & COO CO
Slide 2: Forward Looking Statements
NASDAQ: OCFC 2 Forward Looking Statements: This presentation contains certain forward-looking statements which are based on certain assumptions and describe future plans, strategies and expectations of the Company. These forward-looking statements are generally identified by use of the words “believ
Slide 3: Our History
NASDAQ: OCFC 3 Established in 1902 as a state-chartered building and loan association. Converts to public company from a mutual structure on July 2, 1996 with an issuance of 27.2 million¹ shares to the Bank's eligible depositors, our Employee Stock Ownership Plan, and the OceanFirst Foundation. As a
Slide 4: OCFC Considerations
NASDAQ: OCFC 4 Fundamental Franchise and Shareholder Value Superior Market Demographics Strong Credit Metrics Commercial Banking Platform with Solid Core Deposits Consistent Financial Performance and Fortified Capital Position Attractive Valuation OCFC Considerations OCFC Considerations
Slide 5: Branch Map
NASDAQ: OCFC 5 # # # # # ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( Ocean Burlington Morris Sussex Atlantic Salem Warren Monmouth Hunterdon Cumberland Bergen Mercer Somerset Middlesex Gloucester Camden Passaic Cape May Essex Union Hudson Branch Map Br
Slide 6: Management Team and Insider Ownership
NASDAQ: OCFC 6 Michael J. Fitzpatrick Insider ownership of 28.0% is substantial OceanFirst Bank ESOP 10.5% OceanFirst Foundation 7.4% Directors & Senior Executive Officers 10.1% # of # of Years Years in Name Position at OCFC Banking Professional Experience John R. Garbarino Chairman, CEO, & Presiden
Slide 7: Deposit Market Share
NASDAQ: OCFC 7 11,719,863 12,693,674 195 Total For Institutions In Market 1.50 176,034 1.50 190,051 6 Shore Community Bank (NJ) 10 1.91 223,633 1.80 228,140 6 Sun Bancorp Inc. (NJ) 9 3.59 420,931 3.65 463,303 12 PNC Financial Services Group (PA) 8 4.69 549,695 4.74 602,140 9 Investors Bancorp Inc. (
Slide 8: Market Demographics
NASDAQ: OCFC 8 5.4 79,468 2.2 795,633 0.3 34 3.8 Middlesex 5.9 83,164 1.8 646,088 0.9 18 10.6 Monmouth 4.1 5.6 11.6 Projected 2009-2014 Median Household Income Growth (%) 4.6 1.7 4.9 54,719 National 72,809 New Jersey 60,787 Median Household Income ($) 575,822 Population 9.3 Market Share (%) 6 Market
Slide 9: Loan Composition Transition
NASDAQ: OCFC 9 (1) Consumer and other loans primarily consist of home equity lines and loans. Commercial R.E., 24.3% Residential R.E., 57.6% Commercial & Industrial, 4.6% Construction R.E., 0.5% Consumer & Other(1), 13.0% Commercial R.E., 16.5% Residential R.E., 69.8% Commercial & Industrial, 3.8% C
Slide 10: Commercial Loan Portfolio Segmentation
NASDAQ: OCFC 10 Construction, 5.2% Retail Trade, 4.5% Other Services, 5.2% Manufacturing, 5.6% Miscellaneous, 11.1% Arts/Entertainment/ Recreation, 10.6% Healthcare, 6.0% Wholesale Trade, 7.1% Real Estate Investment, 36.1% Accommodations/ Food Services, 8.6% Total Commercial Loan Portfolio by Indust
Slide 11: Asset Quality Metrics
NASDAQ: OCFC 11 ¹ March 31, 2010 data annualized. 2 For the year ended December 31, 2009 and the three months ended March 31, 2010, the net charge-offs include $960,000 and $844,000, respectively, relating to loans originated by Columbia Home Loans, LLC, the Company’s mortgage banking subsidiary whi
Slide 12: Strong Portfolio Performance
NASDAQ: OCFC 12 0.24% $3,992 13.0% $215,115 Consumer 0.31% $5,212 24.9% $411,683 Commercial Real Estate and Construction 0.03% $466 4.5% $75,423 Commercial 1.95% 1.37% Percent of Total Loans $32,303 $22,633 Non-Performing Loans 100.0% 57.6% Percent of Total Loans $1,655,833 $953,612 Loan Portfolio B
Slide 13: Favorable Residential Delinquency Comparisons
NASDAQ: OCFC 13 Quarterly Delinquency Trends MBA – Mortgage Bankers Association 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 14.00% 16.00% 18.00% Q3 Q4 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 05 06 07 08 09 10 Quarters Favorable Residential Delinquency Comparisons Favorable Residential Del
Slide 14: Deposit Composition Transition
NASDAQ: OCFC 14 (1) Jumbo CDs have a balance of $100,000 or greater. December 31, 2005 March 31, 2010 Interest Bearing Demand Deposits, 44.6% Non-Interest Bearing Demand Deposits, 8.5% Jumbo Time Deposits(1), 5.3% Retail Time Deposits, 16.7% MMDA & Savings, 24.9% Interest Bearing Demand Deposits, 28
Slide 15: Profitability Ratios
NASDAQ: OCFC 15 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 2006 2007 2008 2009 MRQ 3/31/10 OCFC 0.0% 0.1% 0.2% 0.3% 0.4% 0.5% 0.6% 0.7% 0.8% 0.9% 2006 2007 2008 2009 MRQ 3/31/10 OCFC 2.5% 2.7% 2.9% 3.1% 3.3% 3.5% 3.7% 3.9% 2006 2007 2008 2009 MRQ 3/31/10 OCFC ROAA ROAE Net Interest Margin Non-Intere
Slide 16: Capital Ratios
NASDAQ: OCFC 16 Tangible Common Equity to Total Assets 0.00 2.00 4.00 6.00 8.00 10.00 2006 2007 2008 2009 3/31/2010 At December 31 Capital Ratios Capital Ratios
Slide 17: Attractive Valuation Metrics
NASDAQ: OCFC 17 OCFC Peers¹ 12.1x 13.0x 126% Valuation Price / Tang. Book Value 145% Price / LQA EPS 17.9x Price / Estimated EPS 14.4x ¹ Peers include: ALNC, CNBC, DCOM, FFIC, HUVL, LBAI, PBNY, PGC, SMTB, STBC, STL, SUBK, and TRST Note: Financial data for the period ended March 31, 2010; Incorporate
Slide 18: Why OCFC...?
NASDAQ: OCFC 18 Fundamental franchise value Experienced management team and insider ownership Attractive branch footprint and demographics Conservative credit culture and profile Strong commercial bank-like balance sheet Demonstrated financial management Attractive Valuation Why OCFC…? Why OCFC…?
Slide 19: Appendix: Loan Portfolio Metrics
NASDAQ: OCFC 19 APPENDIX 1 OCEANFIRST FINANCIAL CORP. LOAN PORTFOLIO METRICS ALL AMOUNTS AT MARCH 31, 2010 UNLESS OTHERWISE NOTED Average size of mortgage loans $185,000 Interest-only loans - Amount $113.2 million - Percent of total one-to-four family loans 11.7% Stated income loans - Amount $70.1 m
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