Nbt Bancorp Inc. · NASDAQ:NBTB
Nbt Bancorp — Q3 2023 Earnings Presentation
20 slides from Nbt Bancorp's earnings presentation, Oct 25, 2023
Slide 1: NBT Bancorp Inc. Q3 2023 Earnings Presentation
NBT Bancorp Inc. Q3 2023 Earnings Presentation
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. These statements may be identified by the use of phrases such as “anticipate,” “believe,” “expect,” “forecasts,” “projects,” “will,” “can,” “would,” “
Slide 3: Q3 2023 Highlights
Q3 2023 Highlights Reported Operating(2) Successful completion of acquisition of Salisbury Bancorp, Inc. $0.54 $0.84 Added 13 banking offices, $1.54 billion in assets, $1.18 billion in loans and $1.31 billion in deposits Earnings per share Well positioned balance sheet Reported Operating(1)(2)
Slide 4: Merger Builds On Growth Opportunities
Merger Builds On Growth Opportunities Acquisition Completed August 2023 Advances NE Growth Strategy Extends coverage of Upstate New York Chip Corridor Attractive, complementary markets added to footprint Well-established wealth management business Q3 2023 Accretion / Purchase Fair Value Adju
Slide 5: Q3 2023 Results Overview
Q3 2023 Results Overview Financial Highlights Change % Change Quarterly Highlights(1) ($ in millions except per share data) Q3 2023 Q2 2023 Q3 2022 Q2 2023 Q3 2022 Period End Balance Sheet Balance Sheet Total loans $ 9,667.4 $ 1,309.3 $ 1,762.6 15.7% 22.3% Total deposits 11,401.5 1,871.5 1,482.7 19.
Slide 6: Loans
Loans Total Loans: $9.67 billion(1) Quarterly Highlights(2) Home Equity Residential Solar 3% 10% Loans up $1.52 billion from December 31, 2022, Indirect Auto $1.18 billion acquired from Salisbury 11% Total commercial loans increased Residential Real Estate 22% Other Consumer 2% $926.2 million to
Slide 7: Deposits
Deposits Total Deposits: $11.40 billion(1) Quarterly Highlights(2) Cost of total deposits of 1.18%, up 33 bps Total cost of funds was 1.50%, up 28 bps Time 12% Month of September 2023: Demand 1.31% total cost of deposits (Noninterest Bearing) 1.58% total cost of funds Money Market 33% 25%
Slide 8: Net Interest Income & Net Interest Margin
Net Interest Income & Net Interest Margin Net Interest Income ($ in millions) & Net Interest Margin (%) $105.0 4.00% Quarterly Highlights(1) $100.2 Net interest margin decreased 6 bps $95.0 3.75% to 3.21%, primarily due to higher $94.8 $95.5 $95.5 funding costs more than offsetting the 3.68% $85.0
Slide 9: Noninterest Income
Noninterest Income $45.0 $40.0 $4.0 $35.0 $3.6 $3.7 $3.5 $5.5 $3.6 $5.7 $4.8 $5.1 $30.0 $5.0 Noninterest $25.0 $12.8 Income $11.5 $10.7 $11.5 $11.7 $20.0 Trend(1) ($ in millions) $15.0 $9.3 $8.4 $8.1 $8.2 $8.0 $10.0 $3.9 $3.9 $3.7 $4.4 $5.0 $3.4 $4.3 $3.6 $4.5 $4.2 $4.5 $0.0 Q3 2022 Q4 2022 Q1 2023
Slide 10: Noninterest Expense
Noninterest Expense Quarterly Highlights(2) Noninterest expense of $90.8 million, Noninterest Expense Trend(1) up $12.0 million (15.2%), excluding acquisition expenses noninterest ($ in millions) expense was up $5.3 million (6.8%) $90.0 Salaries & benefits increase of 5.2% driven by Salisbury an
Slide 11: Asset Quality
Asset Quality Net Charge-Offs Nonperforming Loans(1) $5,000 0.40% $45,000 0.90% $4,204 $4,000 $3,677 $3,811 $3,456 0.30% $35,000 0.70% $3,000 $24,264 0.20% $25,000 $21,830 0.50% $21,056 $2,000 0.18% $18,612 $19,686 0.19% 0.18% $1,284 0.17% 0.10% $15,000 0.30% $1,000 0.07% 0.28% 0.26% 0.24% 0.25% 0.2
Slide 12: APPENDIX
APPENDIX 12
Slide 13: Loan Loss Reserve (CECL)
Loan Loss Reserve (CECL) Reserve / Loans by Segment Loan Type 1/1/2020 9/30/2022 12/31/2022 3/31/2023 6/30/2023 9/30/2023 Commercial & Industrial 0.98% 0.80% 0.82% 0.85% 0.86% 0.88% Commercial Real Estate 0.74% 0.88% 0.91% 0.93% 0.93% 1.00% Residential Real Estate 0.83% 0.74% 0.72% 0.73% 0.73% 0.79%
Slide 14: Commercial Loan Portfolio Detail
Commercial Loan Portfolio Detail Owner Occupied CRE ($0.80 billion)(1) Commercial & Industrial ($1.42 billion)(1) Rental Real Wholesalers All Other Estate Construction 6.5% Manufacturing Industries 11.6% Trade 10.8% 15.7% Construction 10.1% Trade Medical 5.3% 7.3% Restaurants Accommodations 5.6% 1.1
Slide 15: Consumer & Residential Portfolio Detail
Consumer & Residential Portfolio Detail Home Equity 7% Other Consumer 4% Consumer Residential Solar Residential Real Estate Lending 20% 45% Portfolio: $4.67 billion as of 9/30/23 Indirect Auto 24% As of 9/30/2023 Consumer Lending Portfolio Metrics Total Weighted Outstandings # of Average Average Ave
Slide 16: Investment Securities Portfolio
Investment Securities Portfolio September 30, 2023 December 31, 2022 AFS Securities Amortized Net Unrealized Estimated Amortized Net Unrealized Estimated (In thousands) Cost (Losses)/Gains Fair Value Cost (Losses)/Gains Fair Value U.S. treasury & federal agency $ 381,552 $ (56,201) $ 325,351 $ 381,3
Slide 17: External Recognition
External Recognition Highest Ranked Bank in NY 17
Slide 18: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures (Dollars in Thousands, Except Per Share Data) Q3 2023 Q2 2023 Q3 2022 Net Income $ 24,606 $ 30,072 $ 38,973 Amortization of Intangible Assets (Net of Tax) 1,206 344 408 Net Income, Excluding Intangibles Amortization $ 25,812 $ 30,416 $ 39,381 Average Tangible Comm
Slide 19: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures (Dollars in Thousands) Q3 2023 Q2 2023 Q1 2023 Q4 2022 Q3 2022 Net Interest Income $ 94,895 $ 89,085 $ 95,066 $ 99,779 $ 94,478 FTE Adjustment 568 402 395 392 337 Net Interest Income, Tax Equivalent $ 95,463 $ 89,487 $ 95,461 $ 100,171 $ 94,815 Average Total Inter
Slide 20: Peer Group
Peer Group Name HQ City State Ticker Berkshire Hills Bancorp, Inc. Boston MA BHLB Brookline Bancorp, Inc. Boston MA BRKL Community Bank System, Inc. Dewitt NY CBU Customers Bancorp, Inc. West Reading PA CUBI First Busey Corporation Champaign IL BUSE First Commonwealth Financial Corporation Indiana P