Prosperity Bancshares, Inc. · NYSE:PB
Prosperity Bancshares — Investor Presentation (June 2005)
18 slides from Prosperity Bancshares's investor presentation, Jun 1, 2005
Slide 1: May 20, 2005
May 20, 2005
Slide 2: Safe Harbor Statement
“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1999 The statements contained in this presentation which are not historical facts contain forward-looking information with respect to plans, projections, or future performance of Prosperity Bancshares, Inc. and its subsidi
Slide 3: Prosperity is a Track Record of Success
Prosperity is . . .. . a Track Record of Success A $3.5 billion Texas based Financial Holding Company Customer focused Results oriented Shareholder driven Accretive acquisition Excellent asset quality Fast growing Serving Houston, Dallas, Austin, Corpus Christi and many communities along the NAFTA H
Slide 4: Total Return Performance
Total Return Performance (Percent) 450 400 350 300 250 200 150 100 50 0 -50 Feb-99 Nov-99 Aug-00 Jun-01 Mar-02 Dec-02 Sep-03 Jun-04 Mar-05 IPO PRSP Bank NASDAQ Russell 3000 $100,000 invested in PRSP at IPO on 11/12/1998 was worth $469,810 on 03/31/2005 Source: CRSP, Center for Research in Security P
Slide 5: Banking Center Locations
Banking Center Locations 85 Full Service Locations 33 in Houston CMSA 16 in Corpus Christi area 11 in Dallas area 7 in Austin MSA 18 in South Texas along the NAFTA Highway and Interstate 10 Total Population: Texas: 22,293,020 Population (CMSA) Houston: 5,106,853 Dallas: 5,643,259 Austin: 1,393,420 C
Slide 6: 1Q05 Highlights
1Q05 Highlights 1Q05 EPS up 13.2% from 1Q04 1Q05 Return on Average Tangible Equity of 33.38% 1Q05 Total Loans up 94.8% from 1Q04 1Q05 Total Deposits up 36.3% from 1Q04 1Q05 Net Income up 30.9% from 1Q04 1Q05 Total Assets up 42.1% from 1Q04 1Q05 Non-Interest Income up 23.9% from 1Q04 Completed Larges
Slide 7: Balance Sheet Summary
Balance Sheet Summary As Originally Reported (Equity in Millions) (Millions) $3,600 $3,300 $3,000 $2,700 $2,400 $2,100 $1,800 $1,500 $1,200 $900 $600 $300 $0 1997 1998 1999 2000 2001 2002 2003 2004 1Q05 $500 $400 $300 $200 $100 $0 $24.9 $41.4 $43.3 $52.6 $88.7 $154.7 $219.6 $275.6 $426.15 Loans Depo
Slide 8: Annual Results
Annual Results As Originally Reported (Dollars in thousands, except EPS) 5 Year 1999 2000 2001 2002 2003 2004 CAGR Assets $608,673 $703,073 $1,263,169 $1,823,286 $2,400,487 $2,697,228 34.68% Loans $223,505 $248,665 $424,400 $679,559 $770,053 $1,035,513 35.89% Deposits $534,756 $634,262 $1,123,397 $1
Slide 9: Quarterly Results
Quarterly Results As Originally Reported (Dollars in thousands, except EPS) 1Q04 2Q04 3Q04 4Q04 1Q05 Percent Change 1Q04-1Q05 Assets $2,449,553 $2,434,344 $2,713,314 $2,697,228 $3,479,747 42.06% Loans $770,223 $790,920 $1,007,420 $1,035,513 $1,500,138 94.77% Deposits $2,122,861 $2,079,917 $2,327,278
Slide 10: Bond Portfolio
Bond Portfolio March 31, 2005 Total Market Value of Investment Securities $1,486,463 Preferred $24,000 2% Municipals $43,448 3% US Agencies & Treasury $88,588 6% Corporate $11,965 1% Other $805 0% CMOs $274,962 18% MBS $1,048,843 70% In Thousands Portfolio Allocation HTM $1,207,419 81.2% AFS $285,19
Slide 11: Deposit Composition
Deposit Composition March 31, 2005 Total Deposits $2,893,681 CDs & IRAs <$100,000 $569,104 19.7% CDs & IRAs >$100,000 $522,503 18.1% Non-interest bearing DDA $592,238 20.5% Interest Bearing DDA $552,835 18.1% MMA & Savings $687,001 23.6% In Thousands
Slide 12: Loan Composition
Loan Composition March 31, 2005 Total Loans $1,500,138 Commercial Real Estate $583,624 38.9% Commercial $242, 619 16.2% Construction $195,678 13.0% 1-4 Family Residential $305,710 20.4% Consumer $73,689 4.9% Agriculture $49,073 3.3% Home Equity $49,745 3.3% In Thousands
Slide 13: Historical Loan Composition
Historical Loan Composition 12/31/2002 12/31/2003 12/31/2004 3/31/2005 CAGR Loan Composition: Commercial $93.8 13.8% $94.0 12.2% $144.4 13.9% $242.6 16.2% 34.0% Construction $52.4 7.7% $36.5 4.7% $109.6 10.6% $195.7 13.0% 50.0% 1-4 Family Residential $206.6 30.4% $237.1 30.8% $260.5 25.2% $305.7 20.
Slide 14: Merger & Acquisition History
Merger & Acquisition History $30 $25 $20 $15 $10 $5 $0 Nov-98 May-99 Nov-99 May-00 Nov-00 May-01 Nov-01 May-02 Nov-02 May-03 Nov-03 May-04 Nov-04 May-05 06/21/99 South Texas Bancshares, Inc. Deal Value: $23.4 Location: Beeville 05/02/02 Paradigm Bank Deal Value: $41.6 Location: Houston 08/15/02 Firs
Slide 15: PRSP Completed Acquisitions
PRSP Completed Acquisitions All announced bank acquisitions At Announcement Announce Date Seller City State Type Consideration Accounting Method PRSP Assets ($000) Sellers Assets ($000) Sellers’ Asset Contribution (%) Deal Value ($000) 10/26/2004 FirstCapital Bankers, Inc. Corpus Christi TX Thrift C
Slide 16: Why Invest in PRSP?
Why Invest in PRSP? Excellent asset quality + Continuing operating efficiencies + Expanding non-interest income + High-growth Texas operations Superior Long-term returns
Slide 17: Contact Information
Contact Information Corporate Headquarters Prosperity Bank Plaza 4295 San Felipe Houston, Texas 77027 713.693.9300 Telephone 713.693.9309 Fax www.prosperitybanktx.com Investor Contacts David Zalman Chief Executive Officer 979.543.2200 david.zalman@prosperitybanktx.com David Hollaway Chief Financial
Slide 18: Slide 18
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