Amerant Bancorp Inc. · NYSE:AMTB
Amerant Bancorp — Investor Presentation (November 2022)
29 slides from Amerant Bancorp's investor presentation, Nov 7, 2022
Slide 1: Investor Update
1 amerantbank.com November 8, 2022 Investor Update
Slide 2: Forward-Looking Statements
2 amerantbank.com Forward-Looking Statements This presentation contains “forward-looking statements” including statements with respect to the Company’s objectives, expectations and intentions and other statements that are not historical facts. All statements other than statements of historical fact
Slide 3: Investment Opportunity Highlights
3 amerantbank.com Investment Opportunity Highlights – Established franchise with high scarcity value; presence in attractive, high-growth markets of Miami, Tampa and Houston – Strong and diverse deposit base; deposits first focus – Strong reserve coverage and disciplined credit culture – Net interes
Slide 4: About Us
4 amerantbank.com 99% 1% 63% 37% Domestic • Largest community bank headquartered in Florida About Us • 23 banking centers throughout South Florida and Houston • $6.59 billion • $8.74 billion • Coral Gables, FL • 681 FTEs (Ex-MTG: 614 / MTG: 67) • $1.8 billion under management/ custody • Founded in 1
Slide 5: Growing and Attractive Markets
5 amerantbank.com 4.0% 6.0% 3.2% Miami Houston U.S. Te xa s 10.7% 18.7% 6.8% Miami Houston U.S. June 30, 2022 Growing and Attractive Markets (1) The Company closed its Wellington banking center on October 15, 2021 and its Pembroke Pines banking center on October 17, 2022 (2) Deposit Market Share dat
Slide 6: Performance Highlights 3Q22
6 amerantbank.com Performance Highlights 3Q22 Business • Net income attributable to the Company of $20.9 million in 3Q22, up $13.2 million, or 172.6%, compared to $7.7 million in 2Q22 • Core pre-provision net revenue (Core PPNR)(1) was $30.3 million, up $10.9 million, or 55.9%, in 3Q22 compared to $
Slide 7: Core PPNR - 3Q22
7 amerantbank.com Core PPNR(1) - 3Q22 (1) Non-GAAP Financial Measure ( 3Q22 2Q22 Net income attributable to the Company $ 20,920 $ 7,674 Plus: provision for loan losses 3,000 — Plus: provision for income tax expense 5,864 2,033 Pre-provision net revenue (PPNR) (1) $ 29,784 $ 9,707 Plus: non-routine
Slide 8: Key Actions of Note in 3Q22 and 4Q22
8 amerantbank.com Key Actions of Note in 3Q22 and 4Q22 • Reduced non-performing loans (“NPL”) to $18.7 million as of 3Q22 compared to $25.2 million as of 2Q22 • Sold NYC OREO of $6.1 million in October further reducing non performing assets post quarter end • Sold last property under OREO at no addi
Slide 9: Key Performance Metrics
9 amerantbank.com 86.59% 65.36% 2Q22 3Q22 20.9% 20.0% 2Q22 3Q22 11.99% 11.34% 2Q22 3Q22 3.28% 3.61% 2Q22 3Q22 Key Performance Metrics NIB Deposits/ Total Deposits Tier 1 Capital Ratio Net Interest Margin Efficiency Ratio (1) Calculated based upon the average daily balance of total assets (2) Calcula
Slide 10: Investment Portfolio Balances and Yields
10 amerantbank.com 83.9% 16.1% U.S. Gov't sponsored enterprises 37.5% U.S. Gov't agency 32.0% Collateralized loan obligations 0.5% Corporate debt 29.7% Other 0.3% $1,220.4 $1,124.8 $1,052.3 $130.5 $238.6 $234.3 $23.9 $10.8 $12.2 2.25% 2.64% 3.01% 3Q21 2Q22 3Q22 0 500 1,000 1,500 88.9% 11.1% • Effect
Slide 11: Loan Portfolio Highlights
11 amerantbank.com 48.1% 45.3% 43.3% 41.4% 41.3% 16.9% 17.6% 19.3% 19.4% 18.7% 17.1% 17.3% 16.2% 16.3% 15.3% 11.4% 12.2% 12.7% 13.3% 15.8% 6.5% 7.6% 8.5% 9.6% 8.9% 3.92% 4.10% 4.16% 4.38% 5.06% 3Q21 4Q21 1Q22 2Q22 3Q22 68.3% 69.8% 71.3% 71.7% 71.6% 17.2% 18.4% 19.4% 19.3% 20.6% 11.4% 8.8% 6.5% 6.1%
Slide 12: Credit Quality
12 amerantbank.com $83.4 $69.9 $56.1 $52.0 $53.71.59% 1.29% 0.99% 0.91% 0.83% 3Q21 4Q21 1Q22 2Q22 3Q22 1.16% 0.52% 0.29% 0.29% 0.09% 3Q21 4Q21 1Q22 2Q22 3Q22 • Recorded provision for loan losses of $3.0 million in 3Q22, compared to no provision for loan losses or release from the ALL in 2Q22 • Net c
Slide 13: Deposit Highlights
13 amerantbank.com $5,626 $5,631 $5,692 $6,203 $6,588 $2,875 $3,013 $3,076 $3,601 $3,839$1,107 $1,048 $951 $937 $926 $433 $387 $347 $366 $504 $1,211 $1,183 $1,318 $1,299 $1,319 0.44% 0.41% 0.38% 0.48% 0.83% 3Q21 4Q21 1Q22 2Q22 3Q22 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 $2,635 $2,529 $2,494 $2,
Slide 14: Net Interest Income and NIM
14 amerantbank.com $51.8 $55.8 $55.6 $58.9 $69.9 2.94% 3.17% 3.18% 3.28% 3.61% Net Interest Income NIM 3Q21 4Q21 1Q22 2Q22 3Q22 0 10 20 30 40 50 60 70 NII increase in 3Q22 was driven by: • Higher average yields on all interest- earning assets driven by the effect of a total increase of 300 basis poi
Slide 15: Interest Rate Sensitivity
15 amerantbank.com 304 317 325 335 344 -100 bps -50 bps BASE +50 bps +100 bps 250 300 350 400 (September 30, 2022) Fixed 48% Adjustable 52% Interest Rate Sensitivity By Interest TypeBy Rate Type By Repricing Term (1) NII and percentage change represents the base scenario of net interest income. The
Slide 16: Noninterest Income
16 amerantbank.com $14.0 $16.0 $13.4 $12.9 $4.3 $4.5 $4.6 $4.6 $4.6 $4.6 $5.0 $4.6 $4.3 $4.6 $0.8 $(2.6) $1.5 $4.0 $3.4 $2.1 $4.7 $2.5 $0.5 $3.2 $1.0 $2.8 $(1.3) $0.9 3Q21 4Q21 1Q22 2Q22 3Q22 0 10 20 30 11% 89% 12.5% 87.5% Noninterest Income Mix Noninterest Income Mix Commentary Noninterest income i
Slide 17: Noninterest Expense
17 amerantbank.com • Noninterest expense decreased in 3Q22 primarily due to: – $2.9 million lower non-routine charge related to an OREO valuation in New York vs 2Q22 and the absence of a lease impairment charge of $1.6 million related to the closing of a banking center – $2.5 million lower estimated
Slide 18: ESG Framework
18 amerantbank.com ESG Framework To visit our ESG website and see our 2021 Sustainability Report, please follow this link: https://www.amerantbank.com/esg
Slide 19: Partnerships - 2022 Second Half
19 amerantbank.com Partnerships - 2022 Second Half Each is a multi-year partnership which supports and aligns with businesses and organizations well known and deeply rooted in South Florida
Slide 20: New Banking Centers
20 amerantbank.com New Banking Centers University Place, Houston Key Biscayne, FL Downtown Miami, FL Opened 10/31/2022 Expected to Open 1Q23
Slide 21: Appendices
amerantbank.com Appendices
Slide 22: Appendix Summary Financial Statements
22 amerantbank.com Appendix 1 Summary Financial Statements (1) Includes debt securities available for sale, held to maturity, equity securities with readily determinable fair value not held for trading and trading securities. FHLB and FRB stock are included in "Other Assets" (2) Loans held for sale
Slide 23: Appendix Summary Financial Statements (cont'd)
23 amerantbank.com Appendix 1 Summary Financial Statements (cont’d) Nine Months Ended September 30, Years Ended December 31, (in thousands) 2022 2021 2020 2019 Total Interest Income $225,402 $247,844 $260,554 $312,974 Total Interest Expense 40,915 42,703 71,002 99,886 Net Interest Income $184,487 $2
Slide 24: Explanation of Certain Non-GAAP Financial Measures
24 amerantbank.com Explanation of Certain Non-GAAP Financial Measures This presentation contains certain adjusted financial information or non-GAAP financial measures, including “pre-provision net revenue (PPNR)”, “core pre- provision net revenue (Core PPNR)”, “core noninterest income”, “core nonint
Slide 25: Core PPNR Reconciliation
25 amerantbank.com (in thousands) Nine Months Ended September 30, Years Ended December 31, 2022 2021 2020 2019 Net income (loss) attributable to Amerant Bancorp Inc. $ 44,544 $ 112,921 $ (1,722) $ 51,334 Plus: (reversal of) provision for loan losses (7,000) (16,500) 88,620 (3,150) Plus: provision fo
Slide 26: Core Net Income Reconciliation
26 amerantbank.com Nine Months Ended September 30, Years Ended December 31, (in thousands) 2022 2021 2020 2019 Net income (loss) attributable to Amerant Bancorp Inc. $ 44,544 $ 112,921 $ (1,722) $ 51,334 Plus after-tax non-routine items in noninterest expense: Non-routine items in noninterest expens
Slide 27: Non-GAAP Financial Measures Reconciliations (cont'd)
27 amerantbank.com Appendix 2 Non-GAAP Financial Measures Reconciliations (cont’d)* Nine Months Ended September 30, Years Ended December 31, 2022 2021 2020 2019 Net income (loss) / Average total assets (ROA) 0.75 % 1.50 % (0.02) % 0.65 % Plus: after tax impact of non-routine items in noninterest exp
Slide 28: Non-GAAP Financial Measures Reconciliations (cont'd)
28 amerantbank.com Appendix 2 Non-GAAP Financial Measures Reconciliations (cont’d) Nine Months Ended September 30, Years Ended December 31, (in thousands, except per share data and percentages) 2022 2021 2020 2019 Tangible common equity ratio: Stockholders' equity $ 695,698 $ 831,873 $ 783,421 $ 834
Slide 29: Thank you
29 amerantbank.com Thank you Investor Relations InvestorRelations@amerantbank.com
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