Cnb Financial Corporation · NASDAQ:CCNE
Cnb Financial — Investor Presentation (January 2023)
24 slides from Cnb Financial's investor presentation, Jan 31, 2023
Slide 1: Discussion Materials - Investor Presentation January 2023
84 87 90 164 30 52 230 228 229 Discussion Materials Investor Presentation January 2023 164 30 52 164 30 52 164 30 52 Exhibit 99.1
Slide 2: Certain Important Information: Caution Regarding Forward Looking Statements
Certain Important information CAUTION REGARDING FORWARD LOOKING STATEMENTS This presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to CNB’s fina
Slide 3: CNB Financial Corporation
CNB Financial Corporation (1) Based on 21,121,346 share count reported as of December 31, 2022 in January 19, 2023 Earnings Release and the January 26, 2022 closing stock price ($23.40) (2) Return on average tangible common equity is a non-GAAP financial measure - see Appendix for reconciliation (3)
Slide 4: Compelling investment opportunity
Compelling investment opportunity The Great Recession 2008 COVID-19 Pandemic 2020 Return on Average tangible common equity(2) (1) Earnings per share includes merger costs in 2019 and merger costs, FHLB prepayment penalties and branch closure costs in 2020 (2) Return on average tangible common equity
Slide 5: Unique multi-state, multi-brand model
Unique Multi-state, multi-brand model Legacy bank of the organization founded in 1865 18 full-service offices serving Clearfield, Centre, McKean, Elk, Jefferson, Cambria, Indiana and Blair counties in PA Western and Central PA focus Opened August 2005 Comprised of two premium franchises Legacy marke
Slide 6: CNB Financial Corporation highlights
CNB financial corporation highlights A Premier Franchise Diversified markets Attractive business mix Experienced Leadership Strong financial positioning Consistent Growth Story Deep rooted community bank established in 1865 #2 ranked community bank(1) in legacy CNB Bank markets for deposit market sh
Slide 7: Demonstrated commitment to Diversity, Equity and Inclusion
DEMONSTRATED commitment to Diversity, Equity and Inclusion The Board views its diversity as an important strength, as our commitment to diversity of experience, gender, and ethnicity is a key driver of success Two female Board members One African American Board member Established an Inclusion and Di
Slide 8: Franchise Milestones
FRANCHISE Milestones 2020 Acquisition of Bank of Akron 2013 2010 2005 1934 Reorganized Through a Stock Offering to Existing Depositors 1984 1865 County National Bank of Clearfield Established 2015 2016 2021 CNB Financial Corporation Holding Company Organized ERIEBANK Formed Common Equity Capital Rai
Slide 9: Asset growth and key capital activities
Common Equity Capital Raise of $34.5M Acquisition of FC Banc Corp. in Bucyrus, OH Adding $360M in Assets $50M Sub-Debt Raise Acquisition of Lake National Bank Bank on Buffalo Is Formed Acquisition of Bank of Akron Preferred Equity Capital Raise of $60.4M $85M Sub- Debt Raise Ridge View Bank Is Forme
Slide 10: September 2022 Common Equity Offering
September 2022 Common Equity OFFERING CNB Financial Corporation Company Nasdaq | CCNE Exchange | Ticker $100 Million Including Overallotment Deal Size 15% Option Exercised Overallotment Option PNC FIG Advisory, part of PNC Capital Markets LLC Janney Montgomery Scott LLC Joint Bookrunners Largest 202
Slide 11: Consolidated Capital Position
Consolidated Capital Position (1) Capital ratios as of December 31st for each year presented. The capital ratios as of December 31, 2022 are estimated pending final regulatory filings. Rationale and Benefits of Successfully Completed Common Equity Raise in September 2022: Complements the strategic v
Slide 12: Long, uninterrupted history of dividends
The Corporation’s long, uninterrupted history of dividends to its common shareholders reflects a key component of its Total Shareholder Return Dividend yield of 2.94% as of December 30, 2022 Full year 2022 dividend payout ratio of 21.0% Dividend History Historical dividend per common share DOT-COM R
Slide 13: Significant growth in loans to deposits
Significant growth in Loans to Deposits As of 12/31/19(1) As of 12/31/22(1) (1) In millions if not otherwise noted As of December 31, ($000) 2019 2020 2021 2022 2019 – 2022 CAGR Total Loans $2,804,035 $3,371,789 $3,634,792 $4,275,178 +15% Total Deposits $3,102,327 $4,181,744 $4,715,619 $4,622,437 +1
Slide 14: Loan growth driven by C&I and CRE loans
Loan growth driven primarily by increases in C&I loans and CRE loans primarily from our Cleveland, Buffalo and Southwest Virginia regions Excluding net PPP loans and syndicated loans, loans grew $655 million, or 18.9%, from December 31, 2021, to December 31, 2022 CNB views commercial lending as its
Slide 15: Additional loan portfolio detail
Additional Loan portfolio Detail Well diversified and granular C&I portfolio with no single industry greater than 25% of total C&I portfolio CNB has proven C&I underwriting practices and strong loan loss history CRE portfolio is also well diversified and granular with no single segment greater than
Slide 16: Conservative credit culture
Conservative credit culture 12/31/22 nonaccrual loans by type Historical asset quality Historical NPAs/Assets & Ncos/Loans (1) NCOs-Bank Only excludes Holiday Financial Services Note: TDRs is an abbreviation for troubled debt restructurings and excludes COVID-19 related modifications; NPAs is an abb
Slide 17: Long-term growth in deposits
Long-term growth in deposits driven primarily by growth in checking and savings account relationships Growth in Non-Int. Demand deposits strengthened by C&I and TM customer relationships Time deposits represented 9.7% of total deposits as of December 31, 2022 Highlights Deposit mix 12/31/22 deposit
Slide 18: Financial trends
CAGR = 14.2% (1) Earnings per share includes merger costs in 2019 and merger costs, FHLB prepayment penalties and branch closure costs in 2020 Financial trends Total Assets ($M) Total Gross Loans ($M) Total Deposits ($M) Earnings Per common Share(1) CAGR = 10.2% CAGR = 14.6% CAGR = 15.3%
Slide 19: Earnings power
(1) Return on average assets, return on average equity, and efficiency ratio includes merger costs in 2019 and merger costs, FHLB prepayment penalties and branch closure costs in 2020 (2) Net interest margin, fully tax equivalent basis (FTE), and efficiency ratio are non-GAAP financial measures – se
Slide 20: Wealth & asset management financial trends
Wealth & asset management financial trends AUM CAGR = 11.3% Long-term growth and increased profitability based on leveraging expansion of footprint into higher growth markets Continued investment in technology leads to superior client and advisor experience Provides diversification in CNB’s revenue
Slide 21: Appendix: Other relevant information
Appendix Other relevant information
Slide 22: Non-GAAP reconciliation
Non-gaap reconciliation(1) This presentation contains references to financial measures that are not defined in GAAP. Management uses non-GAAP financial information in its analysis of the Corporation’s performance. Management believes that these non-GAAP measures provide a greater understanding of on
Slide 23: Non-GAAP reconciliation
Non-gaap reconciliation(1) (1) Figures in thousands
Slide 24: Non-GAAP reconciliation
Non-gaap reconciliation(1) (1) Figures in thousands