Community West Bancshares · NASDAQ:CWBC
Community West Bancshares — Central Valley Community Bancorp — Piper Sandler Western Financial Services Conference 2023
19 slides from Community West Bancshares's conference presentation, Mar 1, 2023
Slide 1: Investor Presentation - Piper Sandler Western Financial Services Conference
Investor Presentation Piper Sandler & Co. Western Financial Services Conference James J. Kim Shannon R. Avrett Blaine C. Lauhon March 1-2, 2023 President & CEO Executive Vice President, Chief Financial Officer Executive Vice President, Chief Banking Officer
Slide 2: Forward-Looking Statements
Forward-Looking Statements 2 Certain matters discussed in this report constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained herein that are not historical facts, such as statements regarding the Company’s current bu
Slide 3: Mission and Values
Mission Inspire and empower our team to enrich and invest in every relationship by exceeding expectations. Values Teamwork Accountability Excellence Caring Integrity Inclusive
Slide 4: Experienced Executive Team
4 Executive Position Years at CVCY Years of Experience James J. Kim President & CEO 5 22 Shannon R. Avrett EVP, Chief Financial Officer < 1 18 Patrick A. Luis EVP, Chief Credit Officer 2 37 Blaine C. Lauhon EVP, Chief Banking Officer 5 37 A. Kenneth Ramos EVP, Market Executive – South 3 35 Jeff M. M
Slide 5: Overview
5 NASDAQ Symbol CVCY Market Capitalization $249 Million Institutional Ownership 46% Insider Ownership 16% Total Assets $2.42 Billion Headquarters Fresno, CA # of Banking Centers 19 Year Established 1980 Strategic Footprint Sacramento to Bakersfield As of December 31, 2022 Overview
Slide 6: Financial Highlights
6 2022 2021 2020 Total Assets $2.42 Billion $2.45 Billion $2.00 Billion Net Income $26.65 Million $28.40 Million $20.35 Million Diluted EPS $2.27 $2.32 $1.62 Net Interest Margin 3.52% 3.54% 3.87% ROAA 1.09% 1.25% 1.11% ROAE 14.25% 11.50% 8.85% Cash Dividends per share $0.48 $0.47 $0.44 Total Cost of
Slide 7: Attractive Investment Opportunity
CAGR = 13.27% 7 As of December 31, 2022 Source: NASDAQ Monthly Closing Price Data Attractive Investment Opportunity Dividend Payout Ratio - 21.15% Dividend Yield - 2.27% 0 5 10 15 20 25 30 1/1/2016 1/1/2017 1/1/2018 1/1/2019 1/1/2020 1/1/2021 1/1/2022 1/1/2023 Pr ic e CVCY Stock Price
Slide 8: Growing Franchise
8 Growing Franchise CAGR = 10.34% 1,491,696 1,577,410 1,574,089 1,832,987 2,267,615 2,439,394 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 2017 2018 2019 2020 2021 2022 Th ou sa nd s Average Total Assets
Slide 9: Strong Net Income & NIM
9 Strong Net Income & NIM 14,026 21,289 21,443 20,347 28,401 26,645 4.40 4.44 4.51 3.87 3.54 3.52 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 5.00 0 5,000 10,000 15,000 20,000 25,000 30,000 2017 2018 2019 2020 2021 2022 Pe rc en t Th ou sa nd s Net Income Net Interest Margin
Slide 10: Solid Earnings
10 Solid Earnings 0.94 1.35 1.36 1.11 1.25 1.09 7.69 10.07 9.39 8.85 11.50 14.25 - 2.00 4.00 6.00 8.00 10.00 12.00 14.00 16.00 - 0.20 0.40 0.60 0.80 1.00 1.20 1.40 1.60 2017 2018 2019 2020 2021 2022 R O A E Pe rc en t R O A A P er ce nt ROAA / ROAE ROAA ROAE
Slide 11: Steady Deposit Growth & Lowest Cost of Funds
11 Steady Deposit Growth & Lowest Cost of Funds CAGR = 10.92% 1,284,305 1,333,754 1,295,780 1,568,194 1,974,576 2,156,092 0.08 0.09 0.15 0.09 0.05 0.06 0.00 0.02 0.04 0.06 0.08 0.10 0.12 0.14 0.16 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 2017 2018 2019 2020 2021 2022 Pe rc en t Th ou sa nd
Slide 12: Attractive Deposit Mix
12 Attractive Deposit Mix Non-Interest Bearing 50% Now/Savings 26% Money Market 21% TCDs 3% As of December 31, 2022 Total Deposits = $2.1 Billion
Slide 13: Loan Totals & Yield
13 Loan Totals & Yield CAGR = 7.48% 790,504 908,419 928,560 1,053,450 1,067,316 1,133,641 5.51 5.50 5.54 4.94 5.07 4.93 4.60 4.70 4.80 4.90 5.00 5.10 5.20 5.30 5.40 5.50 5.60 0 200,000 400,000 600,000 800,000 1,000,000 1,200,000 2017 2018 2019 2020 2021 2022 Pe rc en t Th ou sa nd s Average Total Lo
Slide 14: Well Diversified Loan Portfolio
14 Well Diversified Loan Portfolio Commercial & Industrial, 11% Agriculture Production & Land, 12% Owner Occupied Real Estate, 16% Real Estate Construction & Land, 9% Commercial Real Estate, 37% Other Real Estate, 2% Equity Loans & Lines, 10% Consumer & Installment, 3% As of December 31, 2022 Exclud
Slide 15: Non Performing Assets
15 Non Performing Assets 2,945 2,740 1,693 3,278 946 0 0.97 0.99 0.97 1.17 0.92 0.86 - 0.20 0.40 0.60 0.80 1.00 1.20 1.40 0 500 1,000 1,500 2,000 2,500 3,000 3,500 2017 2018 2019 2020 2021 2022 Pe rc en t Th ou sa nd s Non Performing Assets ALLL/Loans
Slide 16: Special Mention Loans
16 Special Mention Loans 21,908 26,254 28,183 36,406 40,845 31,023 2.43 2.86 2.99 3.30 3.93 2.47 - 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 - 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 2017 2018 2019 2020 2021 2022 Pe rc en t Th ou sa nd s Special Mention Loans SM Loans/Gross
Slide 17: Substandard Loans
17 Substandard Loans 49,998 28,394 33,838 36,136 8,540 27,785 5.55 3.09 3.59 3.28 0.82 2.21 - 1.00 2.00 3.00 4.00 5.00 6.00 - 10,000 20,000 30,000 40,000 50,000 60,000 2017 2018 2019 2020 2021 2022 Pe rc en t Th ou sa nd s Substandard Loans Sub Loans/Gross Loans
Slide 18: Investment Portfolio
18 Investment Portfolio US Treasury Securities 1% Private Label Mortgage & Asset Backed 43% Municipal Securities 38% Agency CMO, MBS & Other Securities 12% Corporate Debt 5% Equity Mutual Funds 1% As of December 31, 2022 Total = $953.9 Million Yield = 2.44% Effective Duration 5.26
Slide 19: Investing In Relationships
Central Valle Commun Bancorp <r Investing In Relationships. www.cvcb.com
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