Nbt Bancorp Inc. · NASDAQ:NBTB
Nbt Bancorp — Q4 2023 Earnings Presentation
20 slides from Nbt Bancorp's earnings presentation, Jan 24, 2024
Slide 1: NBT Bancorp Inc. Q4 2023 Earnings Presentation
NBT Bancorp Inc. Q4 2023 Earnings Presentation
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. These statements may be identified by the use of phrases such as “anticipate,” “believe,” “expect,” “forecasts,” “projects,” “will,” “can,” “would,” “
Slide 3: Q4 2023 Highlights
Q4 2023 Highlights Reported Operating(1) Well Positioned Balance Sheet $0.64 $0.72 Diversified loan portfolio with desirable balance of Earnings per share commercial and consumer loans and deposits Year-to-date loan growth, excluding the Salisbury Reported(1)(2) Operating(1)(2) Bancorp, Inc. (
Slide 4: Q4 2023 Results Overview
Q4 2023 Results Overview Financial Highlights Change % Change Highlights(1) ($ in millions except per share data) Q4 2023 Q3 2023 Q4 2022 Q3 2023 Q4 2022 Period End Balance Sheet Balance Sheet Total loans $ 9,650.7 $ (16.7) $ 1,500.6 (0.2%) 18.4% Total deposits 10,969.0 (432.5) 1,473.1 (3.8%) 15.5%
Slide 5: Loans
Loans Total Loans: $9.65 billion(1) Highlights(2) Home Equity Residential Solar 3% 10% Loans increased $1.50 billion from December 31, Indirect Auto 2022, $1.18 billion acquired from Salisbury 12% Total commercial loans increased Residential Real $907.2 million to $4.98 billion Estate Other Cons
Slide 6: Deposits
Deposits Total Deposits: $10.97 billion(1) Highlights(2) Cost of total deposits of 1.51%, up 33 bps Total cost of funds was 1.72%, up 22 bps Time 12% Month of December 2023: Demand 1.55% total cost of deposits (Noninterest Bearing) 1.75% total cost of funds 31% Money Market Seasonally as
Slide 7: Net Interest Income & Net Interest Margin
Net Interest Income & Net Interest Margin Net Interest Income ($ in millions) & Net Interest Margin (%) Highlights(1) $105.0 4.00% Net interest margin decreased 6 bps to 3.15%, primarily due to higher $95.0 $100.2 $99.8 3.75% funding costs more than offsetting the $95.5 $95.5 increase in earning a
Slide 8: Noninterest Income
Noninterest Income $45.0 $40.0 $4.0 $4.2 $35.0 $3.5 $3.7 $5.5 $3.6 $4.8 $5.1 $5.4 $30.0 $5.0 Noninterest $25.0 $12.8 $11.2 Income $10.7 $11.5 $11.7 $20.0 Trend(1) ($ in millions) $15.0 $9.3 $8.1 $8.2 $9.2 $8.0 $10.0 $3.9 $3.7 $4.4 $3.7 $5.0 $3.4 $3.6 $4.5 $4.2 $4.5 $4.4 $0.0 Q4 2022 Q1 2023 Q2 2023
Slide 9: Noninterest Expense
Noninterest Expense Noninterest Expense Trend(1) ($ in millions) Highlights(2) Noninterest expense of $92.8 million, $100.0 up $2.0 million (2.2%) Excluding acquisition expenses and impairment loss, noninterest expense $80.0 was up $4.9 million (5.9%), reflective of a full quarter of Salisbury
Slide 10: Asset Quality
Asset Quality Net Charge-Offs Nonperforming Loans(1) $7,500 0.45% $50,000 0.90% $6,000 $40,000 $37,874 $5,327 0.70% 0.30% $4,500 $4,204 $3,811 $30,000 $3,677 $3,456 $24,264 $21,056 0.50% $18,612 $19,686 $3,000 0.22% $20,000 0.18% 0.19% 0.18% 0.15% 0.17% 0.39% 0.30% $1,500 $10,000 0.26% 0.23% 0.25% 0
Slide 11: Appendix
APPENDIX 11
Slide 12: Merger Builds On Growth Opportunities
Merger Builds On Growth Opportunities Acquisition Completed August 2023 Advances NE Growth Strategy Extends coverage of Upstate New York Chip Corridor Attractive, complementary markets added to footprint Well-established wealth management business Q4 2023 Accretion FY 2023 Accretion Fair Val
Slide 13: Loan Loss Reserve (CECL)
Loan Loss Reserve (CECL) Reserve / Loans by Segment Loan Type 1/1/2020 12/31/2022 3/31/2023 6/30/2023 9/30/2023 12/31/2023 Commercial & Industrial 0.98% 0.82% 0.85% 0.86% 0.87% 0.84% Commercial Real Estate 0.74% 0.91% 0.93% 0.93% 1.00% 0.99% Residential Real Estate 0.83% 0.72% 0.73% 0.73% 0.79% 0.84
Slide 14: Commercial Loan Portfolio Detail
Commercial Loan Portfolio Detail Owner Occupied CRE ($0.80 billion)(1) Commercial & Industrial ($1.35 billion)(1) Rental Real All Other Wholesalers Estate Construction Manufacturing Industries 5.5% 12.6% Trade 10.7% 15.7% Construction 9.2% Medical Trade 7.2% 5.3% Accommodations Restaurants 1.6% 5.4%
Slide 15: Consumer & Residential Portfolio Detail
Consumer & Residential Portfolio Detail Home Equity 7% Residential Solar 20% Consumer Lending Other Consumer Residential Real Portfolio: 3% Estate 46% $4.67 billion as of 12/31/23 Indirect Auto 24% As of 12/31/2023 Consumer Lending Portfolio Metrics Total Weighted Outstandings # of Average Average A
Slide 16: Investment Securities Portfolio
Investment Securities Portfolio December 31, 2023 December 31, 2022 AFS Securities Amortized Net Unrealized Estimated Amortized Net Unrealized Estimated (In thousands) Cost (Losses)/Gains Fair Value Cost (Losses)/Gains Fair Value U.S. treasury & federal agency $ 381,686 $ (41,922) $ 339,764 $ 381,31
Slide 17: External Recognition
External Recognition Highest Ranked Bank in NY 17
Slide 18: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures (Dollars in Thousands, Except Per Share Data) Q4 2023 Q3 2023 Q4 2022 Net Income $ 30,446 $ 24,606 $ 36,121 Amortization of Intangible Assets (Net of Tax) 1,599 1,206 404 Net Income, Excluding Intangibles Amortization $ 32,045 $ 25,812 $ 36,525 Average Tangible Co
Slide 19: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures (Dollars in Thousands) Q4 2023 Q3 2023 Q2 2023 Q1 2023 Q4 2022 Net Interest Income $ 99,173 $ 94,895 $ 89,085 $ 95,066 $ 99,779 FTE Adjustment 669 568 402 395 392 Net Interest Income, Tax Equivalent $ 99,842 $ 95,463 $ 89,487 $ 95,461 $ 100,171 Average Total Inter
Slide 20: Peer Group
Peer Group Name HQ City State Ticker Berkshire Hills Bancorp, Inc. Boston MA BHLB Brookline Bancorp, Inc. Boston MA BRKL Community Bank System, Inc. Dewitt NY CBU Customers Bancorp, Inc. West Reading PA CUBI First Busey Corporation Champaign IL BUSE First Commonwealth Financial Corporation Indiana P