Fb Financial Corporation · NYSE:FBK
Fb Financial — Investor Presentation (November 2021)
32 slides from Fb Financial's investor presentation, Nov 30, 2021
Slide 1: Fourth Quarter 2021 Investor Presentation
December 1, 2021 Fourth Quarter 2021 Investor Presentation
Slide 2: Forward-Looking Statements
1 Forward–Looking Statements Certain statements contained in this presentation that are not historical in nature may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, stat
Slide 3: Use of non-GAAP financial measures
2 Use of non-GAAP financial measures This presentation contains certain financial measures that are not measures recognized under U.S. generally accepted accounting principles (“GAAP”) and therefore are considered non-GAAP financial measures. These non-GAAP financial measures include, without limita
Slide 4: Snapshot of FB Financial today
3 Snapshot of FB Financial today Note: Unaudited financial data as of June 30, 2021; presented on a consolidated basis. 1 Non-GAAP financial measure. See “Use of non-GAAP financial measures” and “Reconciliation of non-GAAP financial measures” in the Appendix hereto. Financial results Balance sheet (
Slide 5: Strategic drivers
4 Strategic drivers Elite Financial Performance Proven Opportunistic Acquirer with Scalable Platforms and Technology Highly Motivated Senior Management Team Great Place to Work Organic Growth Focused Empowered Teams Across Attractive Metro and Community Markets
Slide 6: Recent corporate history
5 2017 2018 2019 2020 2021 Recent corporate history 1 See “Use of non-GAAP financial measures,” and “Reconciliation of non-GAAP financial measures” in the Appendix hereto. Note: Financial data presented on a consolidated basis. 202020182017 Completed acquisition of Clayton Bank & Trust and America
Slide 7: Well positioned in high growth markets
6 Well positioned in high growth markets 1 Source: SNL Financial. Market data is as of June 30, 2021 and is presented on a pro forma basis for announced acquisitions since June 30, 2021. 2 Source: SNL Financial. FBK Footprint is based on weighted average demographics of MSAs and counties not located
Slide 8: Core earnings power
7 4.46% 4.66% 4.34% 3.46% 3.19% 2017 2018 2019 2020 YTD21 Core earnings power ¹ See “Use of non-GAAP financial measures” and the Appendix hereto for a discussion and reconciliation of non-GAAP measures to the most directly comparable GAAP financial measures. Adjusted return on average assets¹ 1.52%
Slide 9: Stable net interest margin
8 Stable net interest margin Historical yield and costs ¹ Includes tax-equivalent adjustment. 2 Excess liquidity defined as interest-bearing deposits with other financial institutions in excess of 5% of average tangible assets. Assumes funded from all interest bearing liabilities. $5,000 $6,000 $7,0
Slide 10: Mortgage operations overview
9 2Q21 Mortgage operations overview Highlights Total mortgage pre-tax contribution1 of $8.9 million for the third quarter The housing market continues to face supply shortages, weighing on purchase volume Pipeline at the end of 3Q 2021 of $738 million, as compared to $787 million at the end of
Slide 11: Managing expenses and investing to support growth
10 Managing expenses and investing to support growth Highlights Consolidated 3Q 2021 core efficiency ratio¹ of 64.7% Change in segment definitions 1Q 2021 as mortgage retail footprint no longer included in the banking segment Banking segment improvement reflects relatively flat expense base paire
Slide 12: Well-capitalized for future opportunities
11 Well-capitalized for future opportunities Tangible book value per share3 Simple capital structure Common Equity Tier 1 Capital 85% Trust Preferred 2% Subordinated Notes 7% Tier 2 ACL 6% Total regulatory capital: $1,4002 mm $11.56 $11.58 $14.56 $17.02 $18.55 $21.73 $23.90 3Q16 4Q16 4Q17 4Q18 4Q19
Slide 13: Valuable core deposit base
12 Noninterest- bearing checking 26% Interest-bearing checking 28% Money market 30% Savings 4% Time 12% 54% Checking accounts Valuable core deposit base ¹ Includes mortgage servicing-related deposits of $194.3 million, $147.9 million, $170.9 million, $166.1 million and $190.6 million for the quarter
Slide 14: Balanced loan portfolio
13 Retail 19% Hotel 18% Office 18% Warehouse / Industrial 11% Land-Mobile Home Park 4% Self Storage 4% Healthcare Facility 3% Other 23% 1-4 Family to be sold 43% Commercial Land 30% 1-4 Consumer Construction 9% Retail 4% Multifamily 3% Self Storage 2% Other 9% 1-4 family 16% 1-4 family HELOC 6% Mult
Slide 15: Pandemic-related credit update
14 Total deferrals across the entire loan portfolio are down to $18 million. $13 million are paying interest, while $5 million are full deferrals of principal and interest. Credit quality remains satisfactory overall Monitoring the ability of Retail, Hotel and Restaurant customers to hire suff
Slide 16: Asset quality remains solid
15 0.61% 0.91% 0.94% 0.83% 0.59% 0.64% 0.75% 0.77% 0.66% 0.50% 3Q20 4Q20 1Q21 2Q21 3Q21 NPLs (HFI)/loans (HFI) NPAs/assets 2.66% 2.48% 2.29% 2.03% 1.91% 3Q20 4Q20 1Q21 2Q21 3Q21 (0.01%) 0.58% 0.05% 0.02% 0.13% 3Q20 4Q20 1Q21 2Q21 3Q21 Asset quality remains solid Nonperforming ratios Classified loans
Slide 17: Allowance for credit losses overview
16 Allowance for credit losses overview ACL / Loans HFI by Category Current Expected Credit Loss (CECL) Allowance for Credit Losses (ACL) model utilizes Moody’s model with key economic data summarized below: 1Source: Moody’s “August 2021 U.S. Macroeconomic Outlook Baseline and Alternative Scenario
Slide 18: Appendix
FB RreBank Appendix
Slide 19: Adjusted net income and diluted earnings per share
18 GAAP reconciliation and use of non-GAAP financial measures Adjusted net income and diluted earnings per share
Slide 20: Adjusted pre-tax, pre-provision earnings
19 GAAP reconciliation and use of non-GAAP financial measures Adjusted pre-tax, pre-provision earnings
Slide 21: Adjusted earnings and diluted earnings per share
20 GAAP reconciliation and use of non-GAAP financial measures Adjusted earnings and diluted earnings per share*
Slide 22: Adjusted pre-tax, pre-provision earnings
21 GAAP reconciliation and use of non-GAAP financial measures Adjusted pre-tax, pre-provision earnings
Slide 23: Core efficiency ratio (tax-equivalent basis)
22 GAAP reconciliation and use of non-GAAP financial measures Core efficiency ratio (tax-equivalent basis)
Slide 24: Core efficiency ratio (tax-equivalent basis)
23 GAAP reconciliation and use of non-GAAP financial measures Core efficiency ratio (tax-equivalent basis)
Slide 25: Segment core efficiency ratios (tax-equivalent basis)
24 GAAP reconciliation and use of non-GAAP financial measures Segment core efficiency ratios (tax-equivalent basis)
Slide 26: Adjusted mortgage contribution
25 GAAP reconciliation and use of non-GAAP financial measures Adjusted mortgage contribution
Slide 27: Tangible assets and equity and tangible book value per share
26 GAAP reconciliation and use of non-GAAP financial measures Tangible assets and equity and tangible book value per share
Slide 28: Adjusted return on average tangible common equity
27 GAAP reconciliation and use of non-GAAP financial measures Adjusted return on average tangible common equity
Slide 29: Adjusted return on average tangible common equity
28 GAAP reconciliation and use of non-GAAP financial measures Adjusted return on average tangible common equity
Slide 30: Adjusted return on average assets and equity
29 GAAP reconciliation and use of non-GAAP financial measures Adjusted return on average assets and equity
Slide 31: Adjusted return on average assets and equity
30 GAAP reconciliation and use of non-GAAP financial measures Adjusted return on average assets and equity
Slide 32: Adjusted Allowance for Credit Losses to Loans Held for Investment
31 GAAP reconciliation and use of non-GAAP financial measures Adjusted Allowance for Credit Losses to Loans Held for Investment