Bank7 Corp. · NASDAQ:BSVN
Bank7 — Q4 2023 Earnings Presentation
26 slides from Bank7's earnings presentation, Jan 29, 2024
Slide 1: Q4 and Full Year 2023 Earnings Release
Q4 and Full Year 2023 Earnings Release January 29, 2024 0
Slide 2: BSVN – Corporate Overview
BSVN – Corporate Overview Earnings Release: Q4 2023 and Full Year Consistently ranked by S & P Global Market Intelligence as one of the Top Performing Community Banks in the United States Annual Quarterly Q4 2023 Q4 2023 2023 2022 % Change Q3 2023 % Change Actual Event Adj.(1) Total assets $ 1,771,6
Slide 3: Q4 and Full Year Overview
Q4 and Full Year Overview Earnings Release: Q4 2023 and Full Year Record PPE & Low Efficiency Ratio Stable Quality Deposits & Liquidity Loan growth and expense discipline drove our PPE to a Grew deposits $160.00 million YoY or 11.18% in spite of record $58.38 million, a 33.14% increase YoY chall
Slide 4: Q4 Adjusted Financials
Q4 Adjusted Financials Earnings Release: Q4 2023 and Full Year For the Three Months Ended (1) Adjusted ■ Adjusted Financials are provided to illustrate the (Do llars in tho usands, except per share data) Dec 31, 2023 Adjustments Dec 31, 2023 negative impact to BSVN’s earnings for events INCOME STATE
Slide 5: Liquidity and Asset Sensitivity
Liquidity and Asset Sensitivity Earnings Release: Q4 2023 and Full Year Asset Sensitivity < 1 year 1 to 2 years 2 to 3 years > 3 years Total Earning Assets: Cash and cash equivalents, and interest-bearing time deposits $ 197,476 $ 1,245 $ - $ - $ 198,721 Gross Loans 1,043,578(1) 110,747 74,980 133,7
Slide 6: Deposit Growth & Composition
Deposit Growth & Composition Earnings Release: Q4 2023 and Full Year CAGR since 2019: 16.0% $1,591.4 $1,429.3 $1,217.5 $905.5 69.7% $757.5 69.3% 69.9% 72.8% 71.1% 30.1% 30.7% 30.3% 28.9% 27.2% 2019 2020 2021 2022 2023 Noninterest-bearing deposits Interest-bearing deposits Deposit Composition NOW dep
Slide 7: Consistent Net Interest Margin
Consistent Net Interest Margin Earnings Release: Q4 2023 and Full Year ■ Net interest margin continues to show strength due to disciplined loan pricing, a healthy amount of non-interest bearing deposits, and our asset sensitive balance sheet ◼ Loan Fee Income Contribution 5.35% 5.12% 5.01% 4.97% 0.5
Slide 8: Consistent Capital Accumulation / Strong Compounder
Consistent Capital Accumulation / Strong Compounder Earnings Release: Q4 2023 and Full Year Tangible Book Value Per Share Diluted Earnings Per Share CAGR since 2018: 15.5% 5.22% Decrease $20.00 $4.00 $17.49 $18.00 $3.50 $3.22 $14.69 $3.05 $16.00 $12.93 $3.00 $14.00 $2.55 $11.69 $2.50 $12.00 $9.78 $1
Slide 9: Reliable Top Performer
Reliable Top Performer Earnings Release: Q4 2023 and Full Year Return on Average Tangible Common Equity (1)(2) Return on Average Assets (1)(2) 5 year average: 20.7% 5 year average: 2.1% 30.00% 3.00% 2.51% 23.92% 25.00% 2.50% Pro 2.21% 20.90% 20.13% Forma 2.03% 2.02% 19.14% 19.25% 20.00% 2.00% Pro 1.
Slide 10: Consistently Outperforming Peers
Consistently Outperforming Peers Earnings Release: Q4 2023 and Full Year PPE to Average Assets vs Peers 4.00% 3.50% 3.00% 3.36% 3.44% 3.35% 3.29% 3.29% 2.50% 2.99% 2.00% 1.50% 1.50% 1.47% 1.51% 1.47% 1.50% 1.00% 1.13% 0.50% 0.00% 2018 2019 2020 2021 2022 Q3 2023 Peers BSVN Income Statement as a Perc
Slide 11: Strength in Core Earnings
Strength in Core Earnings Earnings Release: Q4 2023 and Full Year PPE(1) 33.14% increase ■ Record PPE: $70.0 $58.4 $60.0 $50.0 $43.9 ■ PPE of $58.38 million, an increase of 33.14% as $40.0 $31.2 $35.1 compared to 2022 $26.8 18.73% increase $30.0 Pro $20.0 Forma $15.1 $17.1 $14.4 $15.1 $10.0 ■ Strong
Slide 12: Loan Portfolio Trends – Selected Categories
Loan Portfolio Trends – Selected Categories Earnings Release: Q4 2023 and Full Year Loan Portfolio Trends CAGR Since 2019: 17.8% $1,364.0 $1,400 $1,273.6 $190.5 14.0% $1,200 $182.8 $1,031.0 $1,000 $116.7 $334.6 24.5% $327.6 $839.1 $800 $102.0 $245.1 $708.6 $102.1 $298.5 21.9% $204.3 $244.3 $600 $199
Slide 13: Loan Portfolio Distribution
Loan Portfolio Distribution Earnings Release: Q4 2023 and Full Year Consumer $20.2 / 1.5% PPP Loans $2.0 / 0.1% Agricultural Non-Farmland $25.4 / 1.9% Agricultural Farmland $41.1 / 3.0% Commercial and industrial Hospitality construction $334.6 / 24.5% $20.9 / 1.5% Commercial construction $53.7 / 3.9
Slide 14: Diverse CRE Portfolio
Diverse CRE Portfolio Earnings Release: Q4 2023 and Full Year 1-4 Family - Commercial $97.6 / 13.0% Multifamily $19.1 / 2.5% ■ Diverse commercial real estate lending activity in Texas and Oklahoma with an Retail $65.5 / 8.7% emphasis in the DFW, Oklahoma City, and Tulsa metros Office $21.3 / 2.8% ■
Slide 15: Hospitality Loan Portfolio Detail
Hospitality Loan Portfolio Detail Earnings Release: Q4 2023 and Full Year Hotel Portfolio by Class ■ No historical NCOs in the hospitality segment Midscale ■ Blue collar portfolio that is well-protected by the $155.52 / 52.1% “cycle-down” effect of a recession Upper Midscale $70.12 / 23.5% ■ Geograp
Slide 16: Strategic Growth in Dynamic Markets
Strategic Growth in Dynamic Markets Earnings Release: Q4 2023 and Full Year Total Assets CAGR Since 2014: 15.6% $1,771.7 $1,800.0 $1,584.2 $1,600.0 $1,400.0 $1,350.5 $1,200.0 $1,016.7 $1,000.0 $866.4 $770.5 $800.0 $703.6 $613.8 $563.5 $600.0 $479.5 $400.0 $200.0 $- 2014 2015 2016 2017 2018 2019 2020
Slide 17: Earnings-driven Capital Shock-absorption
Earnings-driven Capital Shock-absorption Earnings Release: Q4 2023 and Full Year Earnings-driven cushion far exceeds regulatory capital minimums as illustrated over a two-year period, consistent with DFAST parameters(1) Total Shock Absorption Regulatory Minimum Q4 2023 Capital Excess Capital to Targ
Slide 18: Appendix
Appendix 17
Slide 19: Bank7 Corp. Financials
Bank7 Corp. Financials Earnings Release: Q4 2023 and Full Year For the Three Months Ended For the Year Ended December 31 Dec 31, 2023 Sep 30, 2023 Dec 31, 2022 2023 2022 2021 2020 2019 2019 (Do llars in tho usands, except per share data) Pro Forma(3) INCOME STATEMENT DATA Total interest income $ 32,
Slide 20: Bank7 Corp. Performance Ratios
Bank7 Corp. Performance Ratios Earnings Release: Q4 2023 and Full Year For the Three Months Ended For the Year Ended December 31 Dec 31, 2023 Sep 30, 2023 Dec 31, 2022 2023 2022 2021 2020 2019 2019 (Do llars in tho usands, except per share data) Pro Forma(5) RETURN ON AVERAGE(1) Assets 0.24% 1.82% 2
Slide 21: Non-GAAP Reconciliations
Non-GAAP Reconciliations Earnings Release: Q4 2023 and Full Year For the Three Months Ended For the Year Ended December 31 Dec 31, 2023 Sep 30, 2023 Dec 31, 2022 2023 2022 2021 2020 2019 (Do llars in tho usands, except per share data) TANGIBLE SHAREHOLDERS' EQUITY Total shareholders equity $ 170,326
Slide 22: Non-GAAP Reconciliations -- Continued
Non-GAAP Reconciliations -- Continued Earnings Release: Q4 2023 and Full Year For the Three Months Ended For the Year Ended December 31 Dec 31, 2023 Sep 30, 2023 Dec 31, 2022 2023 2022 2021 2020 2019 (Do llars in tho usands, except per share data) PRE-PROVISION PRE-TAX EARNINGS Net Income $ 1,070 $
Slide 23: Investment Portfolio
Investment Portfolio Earnings Release: Q4 2023 and Full Year Available-for-Sale Securities Portfolio Corporate $4.34 / 2.6% Municipal - Taxable U.S. Federal Agencies $7.26 / 4.3% $0.13 / 0.1% Municipal - Tax Exempt $18.60 / 11.0% Mortgage Backed Securities $34.50 / 20.4% ■ Weighted Average Duration:
Slide 24: 2019 Pro Forma Net Income Reconciliation
2019 Pro Forma Net Income Reconciliation Earnings Release: Q4 2023 and Full Year On September 5, 2019, the largest shareholders, Haines Family Trusts, contributed approximately 6.5% of their shares (656,925 shares) to the Company. Subsequently, the Company For the Year immediately issued those share
Slide 25: Legal Information and Distribution
Legal Information and Distribution Earnings Release: Q4 2023 and Full Year This presentation and oral statements made regarding the subject of this presentation contain forward-looking statements. These forward-looking statements are subject to significant uncertainties because they are based upon:
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