Dime Community Bancshares, Inc. · NYSE:DCOM
Dime Community Bancshares — Investor Presentation (May 2017)
19 slides from Dime Community Bancshares's investor presentation, May 16, 2017
Slide 1: Investor Presentation May 2017
Investor PresentationMay 2017 DIME COMMUNITY BANCSHARES, INC(NASDAQ: DCOM)
Slide 2: Profile
PROFILE 2 Founded as The Dime Savings Bank of Williamsburgh in 1864; converted to public ownership in 199627 branches in Kings, Queens, Nassau and BronxHistorically, Dime has specialized in lending against New York City multifamily propertiesMainly pre-WWII, rent-regulated buildingsStrong legacy rel
Slide 3: Investment Highlights
INVESTMENT HIGHLIGHTS 3 Significant scarcity valueKey investments have already been made to improve franchiseNewly launched Business Banking group gaining significant tractionDeposit franchise has been growing robustlyExcellent stewards of capitalPotential benefit from Corporate Tax ReformWill never
Slide 4: 1. Significant Scarcity Value
1. Significant Scarcity Value 4 Brooklyn Nassau Queens Dime is Brooklyn’s pre-eminent community bankBrooklyn is the 2nd most densely populated county in the country (after Manhattan)Brooklyn is also one of the fastest growing population centers for millennials Dime is the only community bank with ~$
Slide 5: 2. Key Investments Have Already Been Made
2. Key Investments Have Already Been Made 5 Executive management team has been significantly bolsteredOver LTM hired a new: Chief Administrative Officer, Head of Human Resources, Chief Retail Officer, Head of Business Banking, Head of DimeDirect, and TreasurerScaled up IT talent poolCore systems con
Slide 6: 3. Business Banking Group Gaining Traction
3. Business Banking Group Gaining Traction 6 In January 2017, Dime hired proven bank executive Stu Lubow to spearhead its Business Banking groupOpportunistic hire capitalizing on local M&A (Community National sale to Bridge Bancorp)Dime effectively created a new business line without putting on any
Slide 7: 4. Deposit Franchise Has Been Growing Robustly
4. Deposit Franchise Has Been Growing Robustly 7 Cumulative Growth in Deposits / Share Over Last 5 Years (Q1 2012-Q1 2017) At 3/31/12 Deposits $2,387 $3,170 $1,153 $1,561 $1,680 $1,412 $5,195 $22,941 $2,288 $1,202 Shares (M) 35.2 30.9 16.3 20.0 18.6 8.9 60.2 439.1 28.3 8.5 Deposits / Share $67.87 $1
Slide 8: 5. Excellent Stewards of Capital
5. Excellent Stewards of Capital 8 Capital creation (and return) over last 5 Years We rank amongst the top-end of our peers in terms of growing TBV per share and paying dividends; given the high level of insider and ESOP ownership, we have an “owner-operated” mentality Source: SNL Financial Dime has
Slide 9: 6. Potential Benefit from Corporate Tax Reform
6. Potential Benefit from Corporate Tax Reform 9 Reported Effective Tax Rate for Q1 2017 Source: SNL Financial. Does not adjust for any one-time items 1.20% 1.35% 1.34% 1.20% 1.38% 1.14% 1.53% 1.34% 1.33% 1.21% Q1 2017ReportedPTX ROA
Slide 10: 7. Will Never Compromise on Core Foundational Strengths
7. Will Never Compromise on Core Foundational Strengths 10 Committed to being the Lowest-Cost Operator Committed to maintaining a Conservative Credit Culture Note: Peers include : Bridge, ConnectOne, First of Long Island, Flushing, Lakeland, New York Community, OceanFirst, Peapack, and Provident. Da
Slide 11: Q1 2017 Financial Highlights
Q1 2017 Financial Highlights 11 Q1 2017 EPS of $0.30; TBV per share grew to $13.92, a 5.6% y-o-y increaseReal estate loans grew 6.3% (annualized) on a linked quarter basis and 13.2% over the first quarter of 2016Successfully launched our Business Banking division, with C&I loans growing $28.1M and d
Slide 12: Forward Outlook
FORWARD OUTLOOK 12 As of date of Q1 earnings release (April 27th):Outstanding real estate loan commitments of $155M at an average rate of 3.86%Includes $35.9M from Business Banking group at an interest rate of 4.60%C&I pipeline totaled $41.3M, at an average interest rate of 4.54%Balance sheet growth
Slide 13: Rankings from SNL Financial
Rankings from SNL Financial 13 Source: SNL Financial: “The best of the biggest public thrifts”. Table above only shows the top 30 companies in the rankings. (1) Score based on a scale of -200 to 200. Analysis limited to the 50 largest thrifts by total assets at December 31st 2016, trading on the Nas
Slide 14: Vision
VISIONWhere is the company headed? 14 Our vision is to be a highly profitable, cost efficient, technology-driven community commercial bank with diverse, reliable sources of income;to be an aggregator of additional financial service companies;to be the company of choice for clients, an employer of ch
Slide 15: Appendix
15 Appendix
Slide 16: Repricing Loans
Repricing Loans Migration of Repricing Loans by Year March 31, 2017 1200000 0 1100000 sane 308 3% yay 1,000,000 r ‘4 900,000 230% | ase | 110,000 70000 ; nied 320% 40,000 $00,000 35% sooo 200000 20000 100.000 ° 218 209 200 0n woecis a0 + 793.08 oo882 e028 meee e057 386.081 108,897 996.867 Mart? ea7a
Slide 17: Loan Portfolio Yields among selected local peers
17 Loan Portfolio Yieldsamong selected local peers Institution Name Q1 2017Loan Yield (%) MRQ Reported Texas Ratio Bridge Bancorp 4.51 1.5 Sterling Bancorp 4.48 8.2 ConnectOne 4.38 21.6 OceanFirst 4.36 11.7 Lakeland Bancorp 4.20 6.7 TrustCo Bank 4.19 8.6 Flushing Financial 4.18 7.6 Oritani Financial
Slide 18: Revenue, Expenses and Prepayment Fee Income 2013-2016
18 DEC 2013 DEC 2014 DEC 2015 DEC 2016 3-year growth rate Includes prepayment fee income: _________ _________ _________ _________ GROSS REVENUE $ 182,565 $ 180,390 $ 182,134 $ 203,255 11% growth -1% 1% 12% NET (OPERATING) REVENUE $ 135,595 $ 131,974 $ 135,907 $ 151,114 11% ` -3% 3% 11% CORE OPERATIN
Slide 19: Forward-Looking Statements
19 Forward-Looking Statements This presentation contains a number of forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). These statements may be identified by u
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