Hometrust Bancshares, Inc. · NYSE:HTB
Hometrust Bancshares — KBW 2015 Southeast Bank 1x1 Conference
22 slides from Hometrust Bancshares's conference presentation, Jun 24, 2015
Slide 1: KBW 2015 Southeast Bank 1x1 Conference
0 KBW 2015 Southeast Bank June 23, 2015 1x1 Conference
Slide 2: Forward-Looking Statements
1 Forward-Looking Statements This presentation includes “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements often include words such as “believe,” “expect,” “anticipate,” “estimate,” and “intend” or future or conditional verbs such
Slide 3: HomeTrust Bancshares, Inc. Overview
2 HomeTrust Bancshares, Inc. Overview Headquarters: Asheville, NC Exchange: NASDAQ: HTBI Locations: 45 Stock Price: $16.10 Total Assets: $2.6 billion Price to TBV: 90% Total Loans: $1.6 billion Market Cap: $326 million Total Deposits: $1.9 billion Average Daily Volume: 69,192 Market data as of 6/15/
Slide 4: HomeTrust Profile
3 HomeTrust Profile • Founded in 1926 • Operated as a mutual savings bank • 5 mutual combinations from 1996 – 2010 • 3/31/12 = $1.6 billion in assets, $171 million in capital • Converted to stock in 2012 and raised $211.6 million • Established goal of organic and acquisition growth • Plan = Enter la
Slide 5: Asset Growth Since 1996
4 Asset Growth Since 1996 $318 $431 $585 $605 $609 $686 $711 $722 $748 $885 $926 $1,124 $1,348 $1,470 $1,641 $1,638 $1,720 $1,583 $2,074 $2,609 $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Mar15 ( $ 0 0 0 )
Slide 6: Strategic Operating Committee
5 Strategic Operating Committee Leader Role Age Yrs in Banking Yrs w/HTBI Dana Stonestreet Chairman, President & Chief Executive Officer 61 37 26 Tony VunCannon Executive Vice President & Chief Financial Officer 50 27 23 Hunter Westbrook Executive Vice President & Chief Banking Officer 52 28 4 Howar
Slide 7: Organizational Clarity – Differentiation
6 Organizational Clarity – Differentiation Answers to Six Key Questions 1. Why Do We Exist? 2. How Do We Behave? 3. What Do We Do? 4. How Will We Succeed? 5. What Needs To Be Done Now? 6. Who Will Do What?
Slide 8: Repositioning for Growth
7 • (A) Strategy • (B) Execution • (C) Repositioned Repositioning for Growth
Slide 9: (A) Strategy
8 (A) Strategy • “Our primary objective is to continue to operate and grow HomeTrust Bank as a well-capitalized, profitable, independent community banking organization.” • “Expand our presence in contiguous larger markets that will support organic growth.” • “Create value for shareholders, employees
Slide 10: (B) Execution: Acquisitions & Expansions
9 (B) Execution Date Closed Description Assets Locations Commercial Relationship Managers July 31, 2013 BankGreenville $101 million 1 location 4 May 2014 Additional Pelham Rd location May 31,2014 Jefferson Bancshares, Inc. $489 million 12 locations – East Tennessee 11 July 21, 2014 Roanoke Loan Prod
Slide 11: Bank of America Branch Purchase Impact
10 Bank of America Branch Purchase Impact • Growth in deposit accounts of 60% • Growth in low cost core deposits • Debit card growth of 170% • Internet banking growth of 110% • 5 Branch locations in Roanoke, VA to complement new Commercial LPO
Slide 12: Our Franchise Footprint
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Slide 13: Growth Since Conversion
12 Growth Since Conversion (past 30 months) Mutual/Stock Conversion 9/30/2012 Actual 3/31/2015 Change Since Conversion $ % Total Assets $ 1,603 $2,609 $1,006 63% Total Loan Portfolio $ 1,203 $1,642 $439 36% 1-4 Family 611 652 41 7% HELOC’s & Consumer 143 236 93 65% Commercial Real Estate 232 452 220
Slide 14: Loan Portfolio Composition
13 Loan Portfolio Composition Loans: At Time of Conversion ¹ Loans: 3/31/15 With Recent Acquisitions 1-4 Family 51% HELOCs & Consumer 12% Commercial Real Estate 19% Construction & Development 7% Other Commercial 11% Commercial 30% 1-4 Family 39% HELOCs & Consumer 14% Commercial Real Estate 28% Const
Slide 15: Deposit Portfolio Composition
14 Deposit Portfolio Composition Deposits: At Time of Conversion (1) Deposits: 3/31/15 With Recent Acquisitions (1) Financial data as of 9/30/12 Transaction Accounts 21% MMDA / Savings 29% Time Deposits 50% Transaction Accounts 31% MMDA / Savings 37% Time Deposits 32% Core Deposits 50% Core Deposits
Slide 16: Market Demographics
15 Market Demographics New Markets – 150% Population increase – 532% CRM increase – 417% Commercial Relationship Markets Population Managers (CRMs) Original Markets at Conversion Asheville, NC/MSA 442,531 Lexington, NC/Davidson County 163,665 Shelby, NC/Cleveland County & Cherryville, NC 103,644 Ede
Slide 17: Earnings Release – 3/31/15
16 Net income $5,467 $8,809 ($3,342) (37.9%) ROA .30% .72% (.42%) (58.3%) EPS $.28 $.46 ($.18) (39.1%) Net interest margin 3.73% 3.79% (.06%) (1.58%) Net income $8,737 $6,370 $2,367 37.2% ROA .48% .52% (.04%) (7.7%) EPS $.46 $.34 $.12 35.3% (1) Merger-related expenses totaled $5.4 million and $711,0
Slide 18: Balance Sheet Highlights
17 Total assets $2,608,637 $1,632,308 $976,329 59.8% Total loans 1,641,057 1,166,119 474,938 40.7% Core deposits 1,305,692 693,881 611,811 88.2% Total deposits 1,913,773 1,211,904 701,869 57.9% Nonperforming loans/ Total loans 1.88% 4.66% (2.78%) (59.7%) Classified assets/Total assets 3.51% 5.93% (2
Slide 19: Improving Asset Quality
18 Improving Asset Quality Net Charge-Offs / Average Loans Nonperforming Assets / Total Assets Allowance for Loan Losses / Total Loans Source: SNL Financial; company documents previously filed with the SEC (1) Annualized 0.36% 0.42% 2.10% 3.87% 3.81% 4.67% 5.07% 2.59% 1.51% 0.00% 1.00% 2.00% 3.00% 4
Slide 20: Liquidity and Capital To Grow
19 Liquidity and Capital To Grow Tier 1 Risk-Based Capital RatioTier 1 Leverage Ratio Total Risk-Based Capital Ratio Source: Bank Call Reports (1) New capital ratio effective January 1, 2015, not applicable for earlier periods. • Well-capitalized balance sheet allows for a variety of strategic alter
Slide 21: (C) Repositioned for Organic Growth And EPS Growth
20 (C) Repositioned for Organic Growth And EPS Growth 1. Added six markets larger than Asheville MSA 2. Added 25 new locations 3. Added 25 commercial relationship managers 4. Achieved organic loan growth 5. Grew core deposits by $600 million 6. Added infrastructure expertise in all LOB’s 7. Added in
Slide 22: Fiscal 2015 Focus
21 Fiscal 2015 Focus • Integration • Execution • Organic Growth • Revenue / EPS Growth Create Sustainable Value For Shareholders!
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