Unity Bancorp, Inc. · NASDAQ:UNTY
Unity Bancorp — Shareholder Meeting (April 2023)
15 slides from Unity Bancorp's shareholder meeting presentation, Apr 28, 2023
Slide 1: Unity Bancorp 2023 Shareholders' Meeting
& Unity Bancorp 2023 Shareholders’ Meeting April 27, 2023
Slide 2: Robust Q1 Results
Robust Q1 Results wy Net income Net income (in thousands) $ 10,287 $ 9,956 Net income per common share - Diluted 0.96 0.93 Operating Ratios Return on average assets 1.72 % 1.72 % Return on average equity 17.14 16.82 Efficiency ratio 44.56 43.24 Net interest margin 4.19 447
Slide 3: Continued Earnings Growth
Continued Earnings Growth wy $3.59 a —_ ele <a cS s214 S219 | | | r | | 2018 2019 2020 2021 2022 2018 2019 2020 2021 2022 = Net Income (in millions) Diluted EPS (1) The provision for loan losses totaled $7.0 million in 2020 due to the uncertainty and the risk of loan defaults related to COVID-19. PP
Slide 4: Unity Bank's Growing Footprint
Unity Bank’s Growing Footprint @ UNITY BANK’S GROWING FOOTPRINT Unity Bank Locations } New Jersey ‘Bergen County: ‘Union County: 1) Emerson, NJ 15) Linden, NJ 16) Scotch Plains, NJ Hunterdon County: Edlomentad 3) Clinton, NJ ‘Warren County: 4) Flemingoos, NJ 18) Philipsburg, NJ 5} Whitehouse Station
Slide 5: Loan and Deposit Growth
Loan and Deposit Growth (dollars in millions) $2,107 $1,759 $1,788 j i i 2021 2022 2021 2022 Total Loans 8 Total Deposits « Total Loans — 27.7% increase « Total Deposits — 1.6% increase + 47.8% increase in residential mortgage loans + 45.9% increase in time deposits ‘+ 35.6% increase in residential
Slide 6: Total Loans excluding PPP
Total Loans excluding PPP (dollars in millions) 2018 2019 2020 2021 2022 Commercial uResidential Consumer uw SBA
Slide 7: Total Deposits
Total Deposits yew (dollars in millions) wy $1,759 $1,787 $1,600 $1,558 $529 $1,208 $1,250 ‘$460 jsm| ee = S 8 2018 2019 2020 2024 2022 Time deposits unterest-bearing & SAV deposits iNoninterest-bearing deposits
Slide 8: Summary Income Statement and Profitability
Summary Income Statement and Profitability (dollars in millions) Net Interest Income rovision for Loan Losses (-) INoninterest Income (+) 8,045 12,054 (33.3) \Noninterest Expense (-) 42,573 40,782 44 rovision for Income Taxes (-) 79 INet Income 6.5% Net Interest Margin
Slide 9: Net Interest Income & Net Interest Margin
Net Interest Income & Net Interest Margin (dollars in millions) y $100 440% 4.30% 4 — an $90 397% vied — an 85% 4.00% $80 $77.0 $70 350% $576 S60 $53.8 3.00% $30 a 2.50% $30 2.00% $20 1.30% $10 s- 1.00% 2018 2019 2020 2021 2022 SamsiNet Interest Income ti=-Net Interest Margin
Slide 10: Noninterest Income
Noninterest Income UN (dollars in thousands) y 2021 % Change Branch fee income $ 1,117 |$ 1,130 (1.2) % Service and loan fee income 2,433 DIST (11.8) ain on sale of SBA loans held for sale, net 954 741 28.7 ain on sale of mortgage loans, net 1,399 4,567 (69.4) BOLI income 636 689 (7.7) Net security
Slide 11: Noninterest Expense
Noninterest Expense van (dollars in thousands) wy ‘compensation and benefits $ $ 24,771 rocessing and communications 2,848 3,050 (6.6) Furniture and equipment 2,493 2,590 (3.7) 2,963 2,661 13 1,401 1,437 | (2.5) 1,212 1,236 (1.9) Director fees 916 811 12:9. Other loan expenses 240 922 | (74.0) Depos
Slide 12: Book Value and Share Price
Book Value and Share Price 2018 2019 2020 2021 2022 Qi 2023 lmdBook Value Per Share =ti=Stock Price
Slide 13: Earnings and Dividend Per Share
Earnings and Dividend Per Share y $4.00 $3.59 $3.50 $3.43 $3.00 = $2.14 $2.19 $2.00 F $1.50 $1.00 $0.50 : ; : s- r 2018 2019 2020 2021 2022 Diluted EPS Dividend per share The Company repurchased 338 thousand shares in QI 2023, 1,572 shares in 2022, 199 thousand shares in 2021, and 505 thousand share
Slide 14: Community Bank Leverage Ratio
Community Bank Leverage Ratio wy BLR — Bancorp Consolidated * 10.88 % 10.51 % erage equity to average assets 10.41 9.77 * A banking entity must maintain a 9% or greater CBLR to qualify.
Slide 15: Slide 15