ENB Financial Corp · OTC:ENBP
ENB Financial — Shareholder Meeting (May 2012)
39 slides from ENB Financial's shareholder meeting presentation, May 17, 2012
Slide 1: ENB Financial Corp Annual Meeting
ENB Financial Corp ANNUAL MEETING | MAY 15,2012
Slide 2: Agenda
• Welcome • Reading of the Minutes • Certify Voting Activity • Vote on Matters of the Proxy Statement • Discussion of Condition of Company » President’s Remarks » Financial Review » Retail Environment • Questions & Answers • Vote Results • Adjournment AGENDA
Slide 3: Presenters
PRESENTERS • Aaron L. Groff, Jr. » President, CEO and Board Chairman – ENB Financial Corp and Ephrata National Bank • Paul W. Wenger » Vice President and Corporate Secretary – ENB Financial Corp » Senior Vice President and Cashier – Ephrata National Bank • Scott E. Lied » Treasurer – ENB Financial C
Slide 4: Election Certification
Presented by: Paul W. Wenger Corporate Secretary - ENB Financial Corp ELECTION CERTIFICATION
Slide 5: Matters of Proxy
• Elect three (3) Class B directors to serve a three - year term • Approve and adopt an amendment to Article 11 of the Corporation’s Articles of Incorporation • Approve and adopt the ENB Financial Corp 2011 Employee Stock Purchase Plan MATTERS OF PROXY
Slide 6: Current Directors
CURRENT DIRECTORS Class B Election (3 Year Term) Willis R. Lefever Judith A. Weaver Donald Z. Musser Continuing Directors – Class A Aaron L. Groff, Jr. J. Harold Summers Paul M. Zimmerman, Jr. Thomas H. Zinn Continuing Directors – Class C Susan Y. Nicholas Mark C. Wagner Paul W. Wenger
Slide 7: Voting Process
VOTING PROCESS Presented by: Paul W. Wenger Corporate Secretary - ENB Financial Corp
Slide 8: Voting Process
Proxy Holders • Janice S. Eaby • John H. Shuey Judges of Election • Richard H. Binner • Roger S. Kline • William M. Rohrbach VOTING PROCESS
Slide 9: President's Remarks
Presented by: Aaron L. Groff, Jr. President/CEO - ENB Financial Corp PRESIDENT’S REMARKS
Slide 10: Enriching the Fabric of Our Community
ENRICHING THE FABRIC OF OUR COMMUNITY
Slide 11: Mission Statement
» To remain an independent community bank of undisputed integrity, serving the communities of Northern Lancaster County and beyond. » To offer state - of - the - art financial products and services of high quality and value at an affordable price. » To provide unsurpassed personal service, delivered
Slide 12: We CARE
• C ourteous • A ccurate • R esponsive • E mpowered WE CARE
Slide 13: 2011 Highlights
• Growth • Market share • Local market dynamics • Main office renovations • Customer survey » Convenience of local bank with good customer service 2011 HIGHLIGHTS
Slide 14: Importance of Branches
IMPORTANCE OF BRANCHES Non - ENB Customers 1 Branch Locations 13.1% 2 Local bank 13.1% 3 Where my family banks/history/have always banked there 12.7% 4 Convenience 12.5% 5 Customer service/personal attention/friendly 9.6% ENB Customers Top 5 unaided responses to the question “Why did you select your
Slide 15: Financial Condition
Presented by: Scott E. Lied Treasurer - ENB Financial Corp FINANCIAL CONDITION
Slide 16: Disclosures
• Unaudited Financial Information » Some of the following slides do present financial information that is unaudited. Therefore, this information is subject to adjustments that could be necessary upon completion of the annual audit. • Forward Looking Statements » Some of the material and/or language
Slide 17: Net Income
5,063 4,014 4,300 6,345 7,148 0 2,000 4,000 6,000 8,000 2007 2008 2009 2010 2011 Dollars in thousands NET INCOME
Slide 18: Significant Items
SIGNIFICANT ITEMS Annual $ Income Impact Annual % Change Net Interest Income 780,000 3.5 Gains/Loss on Securities 528,000 54.3 Loan Loss Provision 225,000 12.5 Student Loan Portfolio Loss (263,000) NA Operating Expense (103,000) 0.5 Total Income Impact 1,167,000
Slide 19: Net Interest Income
19.1 20.1 21.0 22.2 23.0 14 15 16 17 18 19 20 21 22 23 24 2007 2008 2009 2010 2011 Dollars in millions NET INTEREST INCOME
Slide 20: Security Gains & Losses
157 (506) 175 972 1,500 -1,000 -500 0 500 1,000 1,500 2007 2008 2009 2010 2011 Dollars in thousands SECURITY GAINS & LOSSES
Slide 21: Annual Provision for Loan Losses
1,276 1,446 669 2,920 1,800 1,575 0 500 1,000 1,500 2,000 2,500 3,000 2006 2007 2008 2009 2010 2011 Dollars in thousands ANNUAL PROVISION FOR LOAN LOSSES
Slide 22: Performance Ratios
2011 2010 Return on Average Assets 0.95% 0.85% Return on Average Equity 9.22% 8.62% Average Equity Ratio 10.26% 9.85% Net Interest Margin 3.56% 3.50% Efficiency Ratio 65.36% 65.68% PERFORMANCE RATIOS
Slide 23: Per Share Data
2011 2010 Earnings Per Share $2.50 $2.23 Dividends Per Share $0.96 $0.96 Dividend Payout Ratio 38.40% 43.05% PER SHARE DATA
Slide 24: 5 Year Dividend Comparison
0.00 0.25 0.50 0.75 1.00 1.25 2007 2008 2009 2010 2011 Annual Dividend in Dollars ENB Fulton Susq Vist 2.45% 3.31% 1.43% 5 YEAR DIVIDEND COMPARISON 4.52%
Slide 25: Stock Price
0.00 5.00 10.00 15.00 20.00 25.00 30.00 35.00 Stock Price in Dollars ENBP FULT SUSQ VIST | STOCK PRICE
Slide 26: Peer Analysis - Performance
Measurement ENB PA Peer Group ** Return on Assets 0.95 0.89 Return on Equity 9.2 8.8 Equity Capital Assets 10.7 9.6 Non - Performing Assets/ Total Assets 0.24 1.48 Net Charge Off Loans 0.05 0.24 PEER ANALYSIS - PERFORMANCE* * As of December 31, 2011 ** Boenning & Scattergood, Inc. publically traded
Slide 27: Peer Analysis - Stock Ratios
Measurement ENB PA Peer Group ** Price to Book 0.79 0.92 Price to Earnings 9.1 10.9 Dividend Yield 4.52 3.08 PEER ANALYSIS – STOCK RATIOS* * As of December 31, 2011 ** Boenning & Scattergood, Inc. publically traded PA bank peer group.
Slide 28: Average Assets
619 668 713 747 756 500 600 700 800 900 2007 2008 2009 2010 2011 Dollars in millions AVERAGE ASSETS
Slide 29: Average Loans
377 391 420 429 415 350 370 390 410 430 2007 2008 2009 2010 2011 Dollars in millions AVERAGE LOANS
Slide 30: First Quarter Results
• Q1 2012 » Earnings: $2,189,000 versus $1,697,000 (Q1 2011) • 29% increase over Q1 2011 » Performance Ratios: • Return on Average Assets 1.15% • Return on Average Equity 10.57% » Assets: $769 million versus $756 million (3/31/11) • 1.7% increase over prior year period FIRST QUARTER RESULTS
Slide 31: Retail Overview
RETAIL OVERVIEW Presented by: Mary E. Leaman Vice President and Sr. Retail Officer – Ephrata National Bank
Slide 32: ENB Branch Locations
ENB BRANCH LOCATIONS Denver Cloister Ephrata Akron Blue Ball Hinkletown Manheim Lititz
Slide 33: ENB Branch Deposit Summary
0 100 200 300 400 500 600 700 2009 2010 2011 Dollars in millions Ending Deposit Balances Manheim Blue Ball Lititz Akron Denver Hinkletown Cloister Main ENB BRANCH DEPOSIT SUMMARY
Slide 34: ENB Branch Loan Summary
0 50 100 150 200 250 300 350 400 450 2009 2010 2011 Dollars in millions Ending Loan Balances Manheim Blue Ball Lititz Akron Denver Hinkletown Cloister Main ENB BRANCH LOAN SUMMARY* * Net of Student Loans
Slide 35: Peer Analysis - Average Branch Deposit Size
PEER ANALYSIS – AVERAGE BRANCH DEPOSIT SIZE* Ephrata Newtown Jersey Shore Mid Penn Somerset Downingtown Established 1881 1864 1934 1868 1889 1861 Asset Size*** $755 $774 $745 $687 $672 $630 Branches** 8 14 11 13 13 11 County Footprint 1 1 3 4 3 2 Deposits*** $594 $673 $573 $606 $593 $519 Branch Depo
Slide 36: Enriching the Fabric of Our Community
ENRICHING THE FABRIC OF OUR COMMUNITY
Slide 37: Questions & Answers
QUESTIONS & ANSWERS
Slide 38: Voting Results
Presented by: Paul W. Wenger Corporate Secretary - ENB Financial Corp VOTING RESULTS
Slide 39: Adjournment
• Mission Statement: » To remain an independent community bank of undisputed integrity, serving the communities of Northern Lancaster County and beyond. » To offer state - of - the - art financial products and services of high quality and value at an affordable price. » To provide unsurpassed person