Slide 1: Ameris Bancorp 2nd Quarter 2017 Results Investor Presentation
Ameris Bancorp 2 nd Quarter 2017 Results Investor Presentation
Slide 2: Non-GAAP measures and forward-looking statements
This presentation contains certain performance measures determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”) . Management of Ameris Bancorp (the “Company”) uses these non - GAAP measures in its analysis of the Company’s
Slide 3: Almost singular focus of our team right now is top quartile operating results
Almost singular focus of our team right now is “to produce top quartile operating results, consistently” • Six consecutive quarter of top quartile operating ROA, greater than 1 . 25 % . • Manage the momentum we have to produce 20 % + growth in loans and deposits in 2017 • Continue efforts to leverag
Slide 4: Earnings Summary – Operating Basis
Earnings Summary – Operating Basis Quarter to Date Results Year To Date Results 2Q 17 2Q 16 Change 2017 2016 Change Operating Earnings $ 23,458 $ 20,310 15% $ 45,064 $ 36,710 23% Earnings Per Share $ 0.63 $ 0.58 8% $ 1.20 $ 0.95 27% Return on Assets 1.32% 1.33% - 1% 1.29% 1.26% 3% Return on TCE 14.8
Slide 5: 2Q 2017 Operating Highlights
2Q 2017 Operating Highlights • Organic Loan Growth of $391 million, or 33% annualized during 2Q 2016 (21% annualized for the YTD period). • Operating efficiency ratio of 59.4% compared to 61.9% in 2Q 2016 • Total Revenue of $91.3 million, growth of 10.10% compared to 2Q 2016 • Legacy non - accrual a
Slide 6: Operating Highlights
Operating Highlights (1) Asset and revenue growth are materially impacted in 2016 QTD and YTD by the acquisition of JAXB. (2) Core Operating expenses exclude merger related charges and gain/loss on sale of premises (3) Operating efficiency ratio formula is Core Operating Expenses divided by Net Inte
Slide 7: Total Revenue
Total Revenue Reliable increases in revenue • Up 13% over 2Q16 • Lines of business up 32% over 2Q16 Diversified between spread and non - interest income: • 69% of revenue is spread related • Accretion income down to 3.2% of revenue compared to 5.1% in 2Q 2016. Strong Non - Interest Income • Non - in
Slide 8: Net Interest Margin
Net Interest Margin Margin impacted in 2Q 2017 by the following items: • Yields on E/A increased by 7bps over 1q 2017 (excludes accretion) • Excluding the effect of the subordinated debt issuance, COF increased 7 bps • Including subordinated debt, total cost of funds increased 10bps over 1q 2017 Acc
Slide 9: Expenses – 2Q17
Expenses – 2Q17 • Core bank expenses operating in essentially the same range for 8 quarters while revenue has grown . • Line of business expenses have increased 27 % from 2 Q 16 to 2 Q 17 , while net income from these groups have increased 29 % in the same period . • Improved our Net Overhead Ratios
Slide 10: LOB Approach to Overall Profitability
LOB Approach to Overall Profitability Retail Mortgage US Premium Finance • Loan production increased 6 . 5 % to $ 400 . 2 million in the 2 Q 17 vs . 2 Q 16 . • Profitability increased to $ 4 . 1 million in the 2 Q 17 , compared to $ 3 . 6 million in 2 Q 16 . • Increased in our model given these resu
Slide 11: Diversified Loan Portfolio
Diversified Loan Portfolio Lower levels of CRE to total Loans 2Q 2017 Loan Portfolio • Significantly better diversification with larger investments in Mortgage and Municipal credits. Only 23% of CRE is A&D oriented. • CRE assets concentrated in Atlanta, Jacksonville, Columbia, Savannah and Charlesto
Slide 12: Top Relationships
Top 300 Relationships Relative Size of our Top 300 Relationships • Top Relationships are small relative to our capital levels and our legal lending limit . • Looking for larger deals, but not making big bets especially on CRE . • About 30 % of our top 50 relationship $ ’s have liquid collateral or a
Slide 13: Retail Concentrations in Loan Portfolio
Retail Concentrations in Loan Portfolio Locally Oriented Retail Outstanding Balance (000’s) Average Loan $’s (000’s) DSC LTV Casual Restaurant $ 45,852 $ 716 2.12 56.7% C - Store 8,856 422 1.67 66.3% Day Care 10,246 1,025 2.09 55.4% Fast Food Restaurant 4,830 690 1.69 67.6% Fitness 11,981 1,498 1.97
Slide 14: Capital and TBV – 2Q17
Capital and TBV – 2Q17 • 8 quarters of growth in TBV despite M&A. • TBV impacted in 1Q by $1.67 per share associated with the capital raise. Consistent Growth in TBV • TCE / TA at year end of 8.85%, up from 7.46% at the end of 2016. • 1Q 2017 Operating ROTCE of 15.8%. • Normalized ROTCE in the range
Slide 15: Investment Rationale
Investment Rationale Attractive Multiples • Building consistency with our operating results • Top Quartile ROA & Top Quartile Growth Rate • ROTCE’s approaching 15 % with normalized capital levels and a modest dividend ensure growth in TBV . Operating Performance M&A Opportunities • Disciplined Acqui
Slide 16: Ameris Bancorp Press Release & Financial Highlights June 30, 2017
Ameris Bancorp Press Release & Financial Highlights June 30, 2017