West Coast Community Bancorp · NASDAQ:WCCB
West Coast Community Bancorp — Investor Presentation (April 2025)
39 slides from West Coast Community Bancorp's investor presentation, April 2025
Slide 1: Investor Presentation April 2025
I N V E S TO R P R E S E N TAT I O N APRIL 2025
Slide 2: Disclaimer
D IS C LA IME R This investor presentation has been prepared by West Coast Community Bancorp (traded as "SCZC" on the OTCQX, the "Company"), and its wholly owned subsidiary, West Coast Community Bank (formerly known as Santa Cruz County Bank) [the “Bank” or “WCCB“], solely for informational purposes
Slide 3: West Coast Community Bank
WE S T C OA S T C OMMU N IT Y B A N K Largest community bank headquartered in California’s Central Coast region; founded in Santa Cruz in 2004 Approximately 209 employees as of March 31, 2025 $2.7 billion in assets as of March 31, 2025 West Coast Community Bancorp was established as WCCB's bank hold
Slide 4: Leadership Team
LEADERSHIP TEAM Py , #6 Krista Snelling Cecilia Situ Jon P. Sisk Angelo DeBernardo, Jr. President & Chief Executive Officer EVP Chief Financial Officer EVP Chief Banking Officer EVP Chief Lending Officer 6-6 Shawn Lipman Matthew March Maxwell Sinclair EVP Chief Credit Officer EVP Chief Information O
Slide 5: Attractive Markets
AT T R A C T IV E MA R K E T S County # of Branches Deposit Market Share* Population** Median Household Income** Santa Cruz County 5 15.12%*** 271K $106K Monterey County 3 7.93%*** 439K $88K San Luis Obispo County 1 0.63% 282K $93K Santa Clara County 1 0.06% 1.9MM $155K *Per FDIC data as of June 30,
Slide 6: Financial Highlights
FINANCIAL HIGHLIGHTS WEST COAST COMMUNITY BANCORP
Slide 7: Q1 2025 Consolidated Financial Results
Q1 2025 C ON S OLID AT E D F IN A N C IA L R E S U LT S Strong Earnings Balance Sheet Strength Consistent Profitability Healthy Credit Quality Metrics $2.658 Billion $32.3 Million 1.78% / 1.84%(1) 0.08% Total Assets Q1 Net Interest Income Q1 ROAA / Q1 Non- NPAs/Assets GAAP Adjusted ROAA $2.105 Billi
Slide 8: Solid Liquidity Position
S OLID LIQU ID IT Y P OS IT ION ($ in 000s) As of March 31, 2025 Strong on-balance- As of sheet liquidity position 3/31/2025 12/31/2024 coupled with available Cash and due from banks $ 45,350 $ 85,007 external contingency Unencumbered AFS securities 268,525 302,386 liquidity capacity of Total on-bal
Slide 9: Investment Portfolio Composition
IN V E S T ME N T P ORT F OL IO C OMP OS IT ION Municipal Bond Ratings AAA 31% AA 65% A 4% As of March 31, 2025 SBA-backed securities 2% Chart includes available-for-sale Municipal bonds 25% (AFS) securities at market value Wtd Avg Life: 10.7 yrs and held-to-maturity (HTM) securities at amortized co
Slide 10: Attractive Deposit Mix
AT T R A C T IV E D E P OS IT MIX As of March 31, 2025 Money Market Top 10 deposit relationships 32% Savings (excluding government agency deposits 8% that are fully collateralized) represent approximately 11% of total deposits. CDs 7% Growth opportunities include: Interest Bearing Demand • Expanded
Slide 11: Q1 2025 New Deposit Relationship Growth
Q1 2025 N E W D E P OS IT R E LAT ION S H IP GR OWT H 11
Slide 12: Deposit Characteristics
D E P OS IT C H A R A CT E RIS T IC S ($ in 000s) Insured deposits $2,500,000 include fully collateralized balances. $2,000,000 $1,108,725 $1,062,831 IntraFi reciprocal (48%) (47%) deposit $1,500,000 network products $622,321 $690,342 maximize depositors' (45%) $1,000,000 (43%) FDIC insurance protec
Slide 13: Strong Deposit Franchise
S T R ON G D E P OS IT F R A N C HIS E Granular Deposit Account Composition ($ in 000s) 34% Personal Deposits As of March 31, 2025 Total Personal Deposits $ 776,856 Number of Accounts 15,276 Average Balance Per Account $ 51 Total Business Deposits $ 1,479,393 Number of Accounts 8,903 Average Balance
Slide 14: Disciplined Credit Culture
D IS C IP LIN E D C R E D IT C U LT U R E Nonperforming Loans Including Deferred Loan Fees and Costs* As of March 31, 2025 ($000) 2020 2021 2022 2023 2024 2025Q1 Nonaccrual Loans Nonperforming loans to total Commercial & Industrial $0 $163 $1,243 $0 $0 $0 loans of 0.11%. Construction 0 0 990 0 0 1,6
Slide 15: Loans by Type
LOA N S B Y T Y P E SBA, B&I and FSA $184MM 8% $2.13 Billion in Total Outstanding Loans* as of March 31, 2025 Consumer and Other $37MM 2% Q1 2025 tax equivalent loan yield of 7.12%, down 32 bps from Commercial & 7.44% in Q4 2024. Industrial $335MM Decrease was mainly driven by Commercial Real 16% le
Slide 16: Real Estate Loan Detail
R E A L E S TAT E LOA N D E TA IL $1.36 Billion in Total Real Estate Loans* as of March 31, 2025 1-4 SFR Bay Area* $77MM Farmland $39MM 6% 3% $41MM 3% Retail $154MM 11% Santa Cruz Monterey Hotel Other CRE, OO County County $245MM $223MM $486MM $444MM 18% 16% 36% 33% Multifamily Other CRE, NOO $225MM
Slide 17: Organic Loan Growth and Origination Rates
OR GA N IC LOA N GR OWT H A N D OR IGIN AT ION R AT E S Gross of deferred expenses and fees, and purchase discount Excludes the $630 million in loans acquired via the merger with 1st Capital Bank 17
Slide 18: Fixed vs. Variable Rate Loans and Repricing Timeline
F IX E D V S . VA R IA B L E R AT E L OA N S A N D R E P R IC IN G T IME L IN E Figures are based on gross loans excluding deferred expenses and fees 1Of the loans at their floor rate, 85% will remain at the floor for more than 12 months. 2Floating/Instant: WSJ Prime and SOFR based loans that repric
Slide 19: Fixed vs. Variable Rate Loans and Loan Floor Rates
F IX E D V S . VA R IA B L E R AT E L OA N S A N D LOA N F LOOR R AT E S Figures are based on gross loans excluding deferred expenses and fees 19
Slide 20: Upcoming CRE Interest Rate Repricing
U P C OMIN G C R E IN T E R E S T R AT E R E P R IC IN G Figures are based on gross loans excluding deferred expenses and fees * Using loan data and index rates as of 3/31/2025. ** Regularly monitored by Credit Admin. All loans with a projected DSCR < 1 are supported by guarantors, either through gl
Slide 21: Non-Owner-Occupied CRE Loans
N ON -OWN E R -OC C U P IE D C R E L OA N S *$10.9mm loan secured by a hotel undergoing renovation. Upon stabilization, the stressed LTV would be 83% using the 2023 appraised value. The borrower is maintaining a year’s worth of payments in deposits until stabilization is met, and the loan is further
Slide 22: Non-Owner-Occupied CRE Loans
N ON -OWN E R -OC C U P IE D C R E L OA N S Loans that have a stressed DSCR less than 1:1 have a weighted average LTV of 51%, in addition to adequate support from guarantor cash flow, liquidity, or outside assets. 22
Slide 23: Changes in the Credit Reserve
C H A N GE S IN T H E C R E D IT R E S E RVE ($ in 000s) Charge offs Change in Change in Change mainly /Recoveries Individually Q-Factor due to Analyzed Ratings improvement Reserves in FOMC Unemployment Increase in Forecasts from Loan 12/18/24 to Volume 3/19/25 12/31/2024 Reserve 3/31/2025 Reserve 1
Slide 24: Consistent Balance Sheet Growth
C ON S IS T E N T B A LA N C E S H E ET GR OWT H Total Assets ($MM) Gross Loans Excl. PPP & Purchase Discounts $2,680 $2,658 $2,076 * $2,133 * $1,794 $994 $1,701 $1,744 $1,411 $639 $1,423 $1,265 $1,109 $917 2020YE 2021YE 2022YE 2023YE 2024YE 2025QE1 2020YE 2021YE 2022YE 2023YE 2024YE 2025QE1 Total D
Slide 25: Strong Profitability
S T R ON G P R OF ITA B IL IT Y Net Income ($MM) 2.14% $14.0 2.05% 1.99% 1.94% 1.98% 1.98% $12.0 2.08% 1.84% $11.7 1.93% 1.87% 1.78% $8.4 $8.6 $9.1 $9.3 0.57% $8.8 $8.2 $8.3 $8.2 $11.7 $3.8 2023Q2 2023Q3 2023Q4 2024Q1 2024Q2 2024Q3 2024Q4 2025Q1 Net Income Net Income Excluding Merger Expense ROAA RO
Slide 26: High Margin Drives Profitability
H IGH MA R GIN D R IV E S P R OF ITA B ILIT Y Net Interest Income* ($MM) 4.93% 4.83% 4.93% 5.38% 5.29% 4.91% 4.87% 4.99% $20.0 $20.9 $20.6 $20.3 $20.2 $20.5 $34.1 $32.3 2023Q2 2023Q3 2023Q4 2024Q1 2024Q2 2024Q3 2024Q4 2025Q1 Net Interest Income NIM Diluted Earnings per Share (EPS) $1.13 $1.00 $1.01
Slide 27: Disciplined Expense Management Enhances Profitability
D IS C IP LIN E D E X P E N S E MA N A GE ME N T E N H A N CE S P R OF ITA B ILIT Y Noninterest Expense ($MM) 61.62% $11.7 45.76% 46.48% 45.30% 43.37% 42.81% 41.52% 38.23% 44.47% 43.65% 45.38% 43.05% $21.6 $15.5 $8.7 $9.4 $9.1 $9.6 $9.9 $8.5 2023Q2 2023Q3 2023Q4 2024Q1 2024Q2 2024Q3 2024Q4 2025Q1 No
Slide 28: Relationship-Based Pricing Drives NIM and Loan Yields
R E LAT ION S H IP -B A S E D P R IC IN G D R IV E S N IM A N D LOA N Y IE L D S 5-Year Yield on Loans and Net Interest Margin* Trend Compared to Peers 8.00% 7.12% 7.00% 5.97% 6.00% 5.29% 5.00% 4.50% 4.00% 3.55% 3.00% 2.00% 1.00% 0.00% 2020 2020 2020 2020 2021 2021 2021 2021 2022 2022 2022 2022 2023
Slide 29: Disciplined Pricing Drives Low Cost of Funds
D IS C IP LIN E D P R IC IN G D R IV E S LOW C OS T OF F U N D S 5-Year Cost of Funds Trend Compared to Peers 2.50% 2.00% 1.96% 1.50% 1.32% 1.00% 0.50% 0.00% 2020 2020 2020 2020 2021 2021 2021 2021 2022 2022 2022 2022 2023 2023 2023 2023 2024 2024 2024 2024 2025 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q
Slide 30: Robust Capital Position Even Post-Merger
R OB U S T C A P ITA L P OS IT ION E V E N P OS T-ME R GE R TCE Ratio Tier 1 Ratio 14.34% 13.72% 13.62% 13.69% 11.47% 12.24% 12.47% 10.75% 10.03% 9.90% 10.14% 9.44% 2020YE 2021YE 2022YE 2023YE 2024YE 2025QE1 2020YE 2021YE 2022YE 2023YE 2024YE 2025QE1 Total Capital Ratio Leverage Ratio 15.59% 12.09%
Slide 31: Tangible Book Value per Share Continues Upward Trend
TA N GIB LE B OOK VA LU E P E R S H A R E C ON T IN U E S U P WA R D T R E N D $26.32 $25.09 $24.10 $20.04 $18.50 $16.50 2020YE 2021YE 2022YE 2023YE 2024YE 2025QE1 Tangible Book Value per Share = (Shareholder’s Equity - Goodwill & Intangibles)/Outstanding Shares Adjusted for stock dividends and spli
Slide 32: Shareholder-Focused
S H A R E H OLDE R-F OC U SE D Superior Price Performance Cash Dividend 80% 58.6% 70% 60% $0.19 $0.20 50% $0.18 $0.17 $0.17 $0.17 40% $0.16 $0.15 30% 20% 10% 20.6% 0% -10% -20% -30% Mar-23 Jul-23 Nov-23 Mar-24 Jul-24 Nov-24 Mar-25 2023Q2 2023Q3 2023Q4 2024Q1 2024Q2 2024Q3 2024Q4 2025Q1 SCZC NASDAQ B
Slide 33: Community Reinvestment
C OMMU N IT Y R E IN V E S T ME N T Nearly 300 Hours of Community Service in Q1 2025 Outstanding CRA Rating – Corporate Leadership Through volunteerism and service on boards and committees, we reinvest our time and financials into the communities we serve by supporting local nonprofits, service club
Slide 34: Rankings and Recognition
R A N K IN GS A N D R E C OGN IT ION National California NEWSWEEK MAGAZINE THE FINDLEY REPORTS INC. Named one of the 2025 Top 500 Regional Banks & Super Premier Performing Bank for 15 consecutive years. Credit Unions in the U.S. S&P GLOBAL MARKET SBA LENDING* California – Ranked #33 in 7(a) lendin
Slide 35: Rankings and Recognition
R A N K IN GS A N D R E C OGN IT ION Local SILICON VALLEY GOOD TIMES READERS' POLL BUSINESS JOURNAL "BEST OF SANTA CRUZ COUNTY" Ranked #1 for Silicon Valley Banks with Fastest-growing Voted Best Local Bank for the 13th consecutive year. Deposits for deposits as of December 31, 2024. SILICON VALLEY B
Slide 36: Appendices
APPENDICES WEST COAST COMMUNITY BANCORP
Slide 37: Highlights
H IGH LIGH T S Capacity to Grow Profitability Consistent growth via organic expansion and strategic Profitability metrics are best mergers amongst peers Robust capital levels Disciplined expense Attractive markets management Featured Business Lines Clear Vision SBA lending expertise Ne
Slide 38: Non-GAAP Reconciliation
N ON -GA A P R E C ON C ILIAT ION Tangible common equity to tangible assets (the "tangible common equity ratio") and tangible book value per share are non-U.S. GAAP financial measures derived from U.S. stock GAAP-based amounts. We calculate the tangible common equity ratio by excluding the balance o
Slide 39: Non-GAAP Reconciliation (Continued)
N ON -GA A P R E C ON C ILIAT ION (CONTINUED) 31-Mar 31-Mar (Dollars in thousands, except share data) 2025 (Dollars in thousands) 2025 QTD Net Income $11,678 QTD Net interest income reported per GAAP $32,345 Add: net loss on sale of investments 257 QTD Non-interest expense reported per GAAP $15,497
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