Franklin Financial Services Corporation · NASDAQ:FRAF
Franklin Financial Services — Shareholder Meeting (April 2019)
59 slides from Franklin Financial Services's shareholder meeting presentation, Apr 30, 2019
Slide 1: Annual Meeting April 30, 2019
Annual Meeting April 30, 2019 Franklin Financial Services Corporation F&M Trust
Slide 2: Call to Order
Call to Order G. WARREN ELLIOTT
Slide 3: Invocation
Invocation MARTHA B. WALKER
Slide 4: Minutes of Last Meeting
Minutes of Last Meeting G. WARREN ELLIOTT
Slide 5: Forward Looking Statements
Forward Looking Statements In order for you to better understand the business of the Company – where we all have been and where we want to go – our remarks today (those of the Company officers who will speak or respond to questions) will include forward looking statements related to anticipated fina
Slide 6: Introductions
Introductions G. WARREN ELLIOTT
Slide 7: Board of Directors
Board of Directors G. Warren Elliott Chairman Timothy (Tim) G. Henry President & CEO Martin R. Brown Gregory A. Duffey
Slide 8: Board of Directors
Board of Directors Daniel J. Fisher Donald A. Fry Allan E. Jennings, Jr. Richard E. Jordan III
Slide 9: Board of Directors
Board of Directors Stanley J. Kerlin Patricia D. Lacy Donald H. Mowery Martha B. Walker
Slide 10: Meeting Guests and Advisors
Nick Bybel Partner, Bybel Rutledge LLP Joyce Riley Assistant Corporate Secretary – Judge of Elections Steve Morehart Partner, BDO USA, LLP Garrett Low Nasdaq Representative – Speaker
Slide 11: Chairman's Remarks
Chairman’s Remarks G. WARREN ELLIOTT
Slide 12: If It Ain't Broke Don't Fix It
If It Ain’t Broke Don’t Fix It
Slide 13: Respecting our Past while Building our Future
“Respecting our Past while Building our Future”
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Slide 15: F&M Trust: Banking Done Your Way
F&M Trust Personal Banking Commercial Services Manage Your Wealth Rates Banking Done Your Way When and where you need us. F&M Trust. A community bank with a passion for the right financial solutions. That’s banking done your way. Whether you’re a stay-at-home mom, a CFO or a business owner on the go
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Slide 20: Banking Done Your Way
Banking Done Your Way F&M Trust fmtrust.bank Member FDIC
Slide 21: Respecting our Past while Building our Future
“Respecting our Past while Building our Future.”
Slide 22: Thank you
Thank you
Slide 23: Election of Directors
Election of Directors G. WARREN ELLIOTT
Slide 24: Director Nominees
Martin R. Brown Gregory A. Duffey Allan E. Jennings, Jr. Patricia D. Lacy
Slide 25: Say-On-Pay Vote
Say-On-Pay Vote G. WARREN ELLIOTT
Slide 26: Articles of Incorporation
Articles of Incorporation G. WARREN ELLIOTT
Slide 27: Omnibus Stock Incentive Plan
Omnibus Stock Incentive Plan G. WARREN ELLIOTT
Slide 28: Selection of Auditors
Selection of Auditors G. WARREN ELLIOTT
Slide 29: Polls Are Open
Polls Are Open
Slide 30: Financial Overview
Financial Overview MARK R. HOLLAR, CFO
Slide 31: Balance Sheet Highlights
Balance Sheet Highlights Dollars in Thousands ($000’s) 2014 2015 2016 2017 2018 Total Assets $1,001,488 $1,035,295 $1,127,443 $1,179,813 $1,209,587 Investments $171,751 $159,473 $143,875 $127,336 $131,846 Net Loans $717,420 $771,930 $882,798 $931,908 $960,960 Deposits $881,181 $918,512 $982,120 $1,0
Slide 32: Financial Highlights
Financial Highlights Dollars in Thousands ($000’s) 2014 2015 2016 2017 2018 Net Interest Income $31,614 $32,244 $34,734 $37,394 $40,654 Provision $764 $1,285 $3,775 $670 $9,954 Noninterest Income $11,131 $12,652 $11,605 $12,189 $12,629 Noninterest Expense $31,573 $31,136 $33,175 $43,172 $37,369 Inco
Slide 33: Performance Measures
Performance Measures 2014 2015 2016 2017 2018 Return on Avg. Assets 0.83% 1.00% 0.74% 0.19% 0.52% Return on Avg. Equity 8.44% 9.52% 7.04% 1.80% 5.34% Efficiency Ratio 71.01% 67.39% 68.26% 82.59% 68.27% Net Interest Margin 3.56% 3.59% 3.62% 3.72% 3.78%
Slide 34: Safety & Soundness
Safety & Soundness 2014 2015 2016 2017 2018 Risk-based capital ratio (Total) 15.49% 16.03% 15.67% 15.31% 15.21% Leverage ratio (Tier 1) 9.69% 10.38% 10.11% 9.73% 9.78% Nonperforming assets/total assets 1.63% 1.18% 0.92% 0.45% 0.44% Allowance for Loan Loss as a % of loans 1.25% 1.29% 1.24% 1.25% 1.28
Slide 35: Quarterly Earnings Performance
Quarterly Earnings Performance $3,020 $3,342 $3,076 ($7,263) $3,502 ($5,181) $4,000 $3,804$3,237 $8,000 -$6,000 -$4,000 -$2,000 $0 $2,000 $4,000 $6,000 2017 2018 2019 Q1 Q2 Q3 Q4 2019 Dollars in Thousands ($000’s)
Slide 36: President & CEO's Remarks
President & CEO’s Remarks TIMOTHY (TIM) G. HENRY
Slide 37: What is a community bank?
“What is a community bank?”
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Slide 40: F&M Trust Counties and Headquarters
Fulton County Franklin County Cumberland County Huntingdon County F&M Trust Headquarters Harrisburg
Slide 41: Who's a Good Bank?
WHO’S A GOOD BANK? WHO’S SUCH A GOOOD BAAAANNK?!
Slide 42: Nasdaq
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Slide 43: Thank You
THANK YOU
Slide 44: Polls Are Closed
Polls Are Closed
Slide 45: Nasdaq Presentation
Nasdaq Presentation GARRETT LOW
Slide 46: Franklin Financial Services Corporation Nasdaq
Franklin Financial Services Corporation Nasdaq 46
Slide 47: Nasdaq's Diversified Business Model
Nasdaq’s Diversified Business Model From Leading Information Technology, Corporate Solutions, Listings & Connectivity Products Nasdaq Listed Companies 3,900 in 50 Countries Healthcare 26% Industrial/ Resources 16% Consumer 16% Financials 20% Info Tech & Telecom 22% 3,900 LISTED COMPANIES $15T TOTAL
Slide 48: Nasdaq's Prestigious Network Of Industry Leaders
Nasdaq’s Prestigious Network Of Industry Leaders Association With Marquee Brands Top 5 Largest U.S. public companies as of February 2019 Top 5 Most Admired Brands according to Fortune Top 8 Brands that matter now according to Fast Company 48
Slide 49: OTC Bank Upgrades to Nasdaq
OTC Bank Upgrades to Nasdaq OTC Companies Have Higher Average Daily Volume (ADV) After Upgrading To Nasdaq PFIS Institutional Ownership 3M Before: 3 Instituional Ownership 9M After: 54 CBFV Market Cap 3M Before: 52M Market Cap 3M After: 86M 49
Slide 50: Benefit From an Exchange Listing
50 Benefit From an Exchange Listing Removes investment restrictions • Some institutional investors have by-laws that prevent investment in OTC stocks • Retail investors may be required to sign a waiver stating that they understand the risks associated with OTC stocks Provides additional regulatory o
Slide 51: Past Hometown Bankshares Ownership Example
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Slide 52: OTC to Nasdaq GS: Carter Bank & Trust
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Slide 53: Nasdaq Corporate Solutions
Nasdaq Corporate Solutions As the only provider with clients across all industries, sectors and regions, we offer unparalleled visibility into the global capital markets for the long term. #1 In Global Scale And Reach 3,500+ Companies rely on Nasdaq IR Intelligence 6,500+ Users Rely on Nasdaq IR Ins
Slide 54: Committed to Our Clients' Success
Committed to Our Clients’ Success Nasdaq has made strategic investments to our suite of visibility assets & our expert teams in order help our listed companies achieve their brand & visibility goals 100+ DEDICATED PR & MARKETING EXPERTS 90% OF MARKETING BUDGET ALLOCATED TO OUR ISSUERS. Nasdaq’s Suit
Slide 55: Nasdaq's New Event Space
Nasdaq’s New Event Space 55
Slide 56: Investor Targeted Assets
Investor Targeted Assets $14T AUM Located In Midtown Drive increased attendance to Analyst/ Investor days by leveraging Nasdaq’s ideal Midtown location where the majority of investment banks have moved their headquarters Nasdaq International Investor Conference Ideal Midtown Location for Analyst / I
Slide 57: Your Nasdaq Team
57 Your Nasdaq Team Garrett Low Managing Director Garrett.Low@Nasdaq.com +1 415-439-3874
Slide 58: Report by Judge of Election
Report by Judge of Election G. WARREN ELLIOTT
Slide 59: Thank You
Thank You
Franklin Financial Services — Shareholder Meeting (April 2019) on 6ix