Fvcbankcorp, Inc. · NASDAQ:FVCB
Fvcbankcorp — IPO Roadshow (September 2018)
25 slides from Fvcbankcorp's IPO roadshow presentation, Sep 7, 2018
Slide 1: Securities Disclaimers and Forward-Looking Statements
Securities Disclaimers and Forward-Looking Statements This presentation has been prepared by FVCBankcorp, Inc. (“FVCB” or the “Company”) solely for informational purposes based on information regarding its operations, as well as information from public sources. This presentation has been prepared to
Slide 2: Offering Summary
Offering Summary 3 Issuer FVCBankcorp, Inc. Ticker / Proposed Exchange FVCB / NASDAQ Capital Market Shares Offered 1,750,000 shares (100% primary) Aggregate Offering Amount $35,000,000 (at the midpoint of filing range) Filing Range $19.00 – $21.00 Overallotment Option 15% (100% Primary) Lock-Up 180
Slide 3: Company Snapshot
Company Snapshot 4 Overview Financial Highlights¹ Financial data as of or annualized for the six months ended June 30, 2018 unless otherwise noted Nonperforming assets defined as nonaccruals, 90+ days past due and other real estate owned Nonperforming loans defined as nonaccruals and 90+ days past d
Slide 4: Investment Highlights
Investment Highlights Track Record of Exceptional Growth and Strong Profitability 4-Year CAGRs of 20% + for total assets, net loan and deposits and 36% for net income Core ROAA¹ of 1.24% and 1.19% for the three months and six months ended June 30, 2018, respectively Well Positioned for Future Profit
Slide 5: Deep and Experienced Executive Management Team
Deep and Experienced Executive Management Team FVCB’s executive management team consists of seven officers with over 185 years of combined experience in the Washington, D.C. metropolitan area David Pijor was the founding Chairman of the Board of James Monroe Bancorp, which opened in June 1998 in Arl
Slide 6: Board of Directors
Board of Directors 7 Name Brief Biography and Past Experiences David W. Pijor (Chairman of the Board) Founded FVCbank. Chairman and CEO of FVCB since its organization. B.A. with honors in economics with high distinction and a Juris Doctor degree from Georgetown Law. L. Burwell Gunn Jr. (Vice Chairma
Slide 7: Historical Balance Sheet Growth
Historical Balance Sheet Growth 8 Total Assets ($M) Total Loans, Net of Fees ($M) Total Deposits ($M) Total Shareholders’ Equity ($M) CAGR: 21% CAGR: 20% CAGR: 21% CAGR: 13% Source: S&P Global Market Intelligence; Company documents
Slide 8: Historical Summary Income Statement
Historical Summary Income Statement 9 Net Interest Income ($M) Earnings Per Share ($) Noninterest Expense ($M) Net Income ($M) CAGR: 28% / 35% CAGR: 36% / 45% CAGR: 20% CAGR: 12% Excludes one-time charges to reduce the carrying value of net deferred tax assets by $2.0 million Excludes merger related
Slide 9: Historical Financial Performance
Historical Financial Performance 10 ROAA (%) ROAE (%) Efficiency Ratio (%) Tangible Book Value Per Share ($) Excludes one-time charges to reduce the carrying value of net deferred tax assets by $2.0 million Excludes merger related costs YTD 2018 Source: S&P Global Market Intelligence; Company docume
Slide 10: FVCB Franchise History
FVCBFranchiseHistory Sinceinception,FVCbankhassuccessfullyexecutedastrategicplanfocusedonorganicgrowthandopportunisticacquisitionswithoutcompromisingassetqualityor financialdiscipline 11 (1)$13.00 for existing shareholders, $13.50 for new shares offered to the public Source: S&P Global Market Intell
Slide 11: Our Business Strategy
Our Business Strategy 12 FVCB aims to capitalize on market opportunities while maintaining disciplined and comprehensive credit underwriting. FVCB’s focus on providing high-touch, responsive, relationship-based client service allows it to compete effectively and exceed the needs of customers Opportu
Slide 12: Deposit Composition
Deposit Composition 13 Non-Interest Bearing demand deposits represent over 28% of total deposits as of June 30, 2018 Suite of excellent treasury management products and high-touch service Continued growth through June 30, 2018; 17.8% increase year-over-year Deposit Composition1 As of the six month p
Slide 13: Diversified Loan Portfolio Composition
Diversified Loan Portfolio Composition 14 Focus lending efforts on commercial, real estate, small business, retail and government contractors Sixteen loan officers with deep connections in the markets served Robust loan growth through June 30, 2018; 19.7% increase year over year Attractive interest
Slide 14: Asset Quality
Asset Quality 15 NPAs¹ / Assets (%) Reserves / Loans (%) NPLs² / Assets (%) Net Charge-off Ratio (%) Nonperforming assets defined as nonaccruals, 90+ days past due and other real estate owned Nonperforming loans defined as nonaccruals and 90+ days past due Source: S&P Global Market Intelligence; Com
Slide 15: Pro Forma Capital Ratios
Pro Forma Capital Ratios 16 Assumes gross proceeds of $35.00 million (1.75 million primary shares at $20.00 per share), 7.00% underwriting spread and $0.70 million additional expenses, for net proceeds of $31.85 million Source: S&P Global Market Intelligence; Company documents
Slide 16: Colombo Acquisition Key Points
Colombo Acquisition 17 Key Points Pro Forma Loan and Deposit Composition¹ For the six months ended June 30, 2018; Total loan and deposit numbers include purchase accounting marks Based on 344,248,084 Colombo common shares outstanding Assumes June 30, 2018 financials and 1.75 million shares raised at
Slide 17: Investment Highlights
Investment Highlights Track Record of Exceptional Growth and Strong Profitability 4-Year CAGRs of 20% + for total assets, net loan and deposits and 36% for net income Core ROAA¹ of 1.24% and 1.19% for the three months and six months ended June 30, 2018, respectively Well Positioned for Future Profit
Slide 18: Investment Highlights
Investment Highlights Track Record of Exceptional Growth and Strong Profitability 4-Year CAGRs of 20% + for total assets, net loan and deposits and 36% for net income Core ROAA' of 1.24% and 1.19% for the three months and six months ended June 30, 2018, respectively Well Positioned for Future Profit
Slide 19: Attractive Net Interest Spread
Attractive Net Interest Spread 20 Interest Earning Asset Yield (%) Cost of Total Deposits (%) Net Interest Spread (%) Net Interest Margin (%) Note: Cost of deposits includes noninterest-bearing deposits Source: S&P Global Market Intelligence; Company documents
Slide 20: Interest Rate Risk
Interest Rate Risk 21 Source: Company documents As of June 30, 2018 Change in Net Interest Dollar Basis Income Change Points ($000) ($000) % Change +100 42,358 1,026 2.48% +200 43,265 1,933 4.68% +300 44,092 2,760 6.68% +400 44,929 3,597 8.70% 2.48% 4.68% 6.68% 8.70% +100 +200 +300 +400
Slide 21: Commercial Real Estate (CRE) Portfolio
Commercial Real Estate (CRE) Portfolio 22 Commercial Real Estate by Type – June 30, 2018 Source: Company documents Owner Non-Owner Occupied ($mm) Occupied ($mm) Total ($mm) CRE Total Loans Condominium/Co-op, Investment Total 0.7 0.8 1.5 0.3% 0.06% CRE - Daycare Total 2.0 5.4 7.4 1.4% 0.78% CRE - Fle
Slide 22: Investment Portfolio Composition
Investment Portfolio Composition 23 State and Municipal Securi ties - HTM 0.2% U.S. Treasury Securi ties - HTM 1.2% U.S. Treasury Securi ties - AFS 0.8% Sta te and Municipal Securi ties - AFS 5.0% Corporate Bonds and Securities - AFS 4.1% MBS - AFS 88.3% CDs - AFS 0.4% Total Securities $123.3 mm • $
Slide 23: Non-GAAP Reconciliation
Non-GAAP Reconciliation 24 Source: S&P Global Market Intelligence; Company documents Twelve Months Ended Three Months Ended Six Months Ended (Amounts in thousands) 2017 June 30, 2018 June 30, 2018 GAAP Income Tax Expense $6,846 (-) Reduction of Value in Net Deferred Tax Asset ($2,036) GAAP Net Incom
Slide 24: Non-GAAP Reconciliation (Cont'd)
Non-GAAP Reconciliation (Cont’d) 25 Source: S&P Global Market Intelligence; Company documents As of December 31, Six Months Ended (Amounts in thousands) 2013 2014 2015 2016 2017 June 30, 2018 Net Interest Income $15,531 $19,185 $22,892 $27,200 $32,107 $18,119 Noninterest Income $1,025 $1,313 $1,161
Slide 25: Non-GAAP Reconciliation (Cont'd)
Non-GAAP Reconciliation (Cont’d) As of December 31, Six Months Ended (Amounts in thousands) 2014 2015 2016 2017 June 30, 2018 Net Interest Income $15,531 $19,185 $22,892 $27,200 $32,107 $18,119 Noninterest Income $1,025 $1,313 $1,161 $1,220 $2,975 $748 Total Net Interest Income and Noninterest Incom