Fb Financial Corporation · NYSE:FBK
Fb Financial — Investor Presentation (September 2021)
32 slides from Fb Financial's investor presentation, Sep 21, 2021
Slide 1: Third Quarter 2021 Investor Presentation
September 22, 2021 Third Quarter 2021 Investor Presentation
Slide 2: Forward-Looking Statements
1 Forward–Looking Statements Certain statements contained in this presentation that are not historical in nature may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, stat
Slide 3: Use of non-GAAP financial measures
2 Use of non-GAAP financial measures This presentation contains certain financial measures that are not measures recognized under U.S. generally accepted accounting principles (“GAAP”) and therefore are considered non-GAAP financial measures. These non-GAAP financial measures include, without limita
Slide 4: Snapshot of FB Financial today
3 Snapshot of FB Financial today Note: Unaudited financial data as of June 30, 2021; presented on a consolidated basis. 1 Non-GAAP financial measure. See “Use of non-GAAP financial measures” and “Reconciliation of non-GAAP financial measures” in the Appendix hereto. Financial results Balance sheet (
Slide 5: Strategic drivers
4 Strategic drivers Elite Financial Performance Proven Opportunistic Acquirer with Scalable Platforms and Technology Experienced Senior Management Team Great Place to Work Organic Growth Focused Empowered Teams Across Attractive Metro and Community Markets
Slide 6: Recent corporate history
5 2017 2018 2019 2020 2021 Recent corporate history 1 See “Use of non-GAAP financial measures,” and “Reconciliation of non-GAAP financial measures” in the Appendix hereto. Note: Financial data presented on a consolidated basis. 202020182017 ◼ Completed acquisition of Clayton Bank & Trust and America
Slide 7: Well positioned in high growth markets
6 Well positioned in high growth markets 1 Source: SNL Financial. Market data is as of June 30, 2021 and is presented on a pro forma basis for announced acquisitions since June 30, 2021. 2 Source: SNL Financial. FBK Footprint is based on weighted average demographics of MSAs and counties not located
Slide 8: Core earnings power
7 Core earnings power ¹ See “Use of non-GAAP financial measures” and the Appendix hereto for a discussion and reconciliation of non-GAAP measures to the most directly comparable GAAP financial measures. Adjusted return on average assets¹ 1.52% 1.69% 1.55% 1.68% 1.65% 2017 2018 2019 2020 1H21 Drivers
Slide 9: Stable net interest margin
8 Stable net interest margin Historical yield and costs ¹ Includes tax-equivalent adjustment 2 Excess liquidity defined as interest-bearing deposits with other financial institutions in excess of 5% of average tangible assets. Assumes funded from all interest bearing liabilities. $0 $2,000 $4,000 $6
Slide 10: Mortgage performing better than expected
9 1Q21 Mortgage performing better than expected Highlights ◼ 2Q 2021 total mortgage pre-tax contribution of $0.5 million ◼ Anticipate moderate outperformance compared to 3Q 2021 guidance of $2 million to $4 million of direct contribution ◼ Margins and volumes have stabilized ◼ Pipeline at the end of
Slide 11: Managing expenses and investing to support growth
10 Managing expenses and investing to support growth Highlights ◼Consolidated 2Q 2021 core efficiency ratio¹ of 68.9% ◼Change in segment definitions 1Q 2021 as mortgage retail footprint no longer included in the banking segment ◼Banking segment reflects ongoing investment in people, processes and sy
Slide 12: Well-capitalized for future opportunities
11 Well-capitalized for future opportunities Tangible book value per share3 Simple capital structure Common Equity Tier 1 Capital 83% Trust Preferred 2% Subordinated Notes 9% Tier 2 ACL 6% Total regulatory capital: $1,3831 mm $11.56 $11.58 $14.56 $17.02 $18.55 $21.73 $23.43 3Q16 4Q16 4Q17 4Q18 4Q19
Slide 13: Valuable core deposit base
12 Noninterest- bearing checking 24% Interest-bearing checking 30% Money market 29% Savings 4% Time 13% 54% Checking accounts Valuable core deposit base ¹ Includes mortgage servicing-related deposits of $149.1 million, $194.3 million, $147.9 million, $170.9 million and $166.1 million for the quarter
Slide 14: Balanced loan portfolio
13 Retail 19% Hotel 18% Office 18% Warehouse / Industrial 12% Land-Mobile Home Park 5% Healthcare Facility 3% Self Storage 2% Other 23% 1-4 Family to be sold 43% Commercial Land 31% 1-4 Consumer Construction 9% Retail 4% Self Storage 3% Multifamily 2% Other 8% 1-4 family 16% 1-4 family HELOC 6% Mult
Slide 15: Pandemic-related credit update
14 ◼ Total deferrals across the entire loan portfolio are down to $73.9 million. $48.8 million are paying interest, while $25.1 million are full deferrals of principal and interest. ◼ Credit quality remains satisfactory overall ◼ Credit quality for the industries of concern has been better than init
Slide 16: Asset quality remains solid
15 0.72% 0.61% 0.91% 0.94% 0.83% 0.71% 0.64% 0.75% 0.77% 0.66% 2Q20 3Q20 4Q20 1Q21 2Q21 NPLs (HFI)/loans (HFI) NPAs/assets 2.51% 2.66% 2.48% 2.29% 2.03% 2Q20 3Q20 4Q20 1Q21 2Q21 0.00% (0.01%) 0.58% 0.05% 0.02% 2Q20 3Q20 4Q20 1Q21 2Q21 Asset quality remains solid Nonperforming ratios Classified loans
Slide 17: Allowance for credit losses overview
16 Allowance for credit losses overview ACL / Loans HFI by Category ◼ Current Expected Credit Loss (CECL) Allowance for Credit Losses (ACL) model utilizes Moody’s model with key economic data summarized below: 1Source: Moody’s “May 2021 U.S. Macroeconomic Outlook Baseline and Alternative Scenarios”.
Slide 18: Appendix
FB PeeBank Appendix
Slide 19: Adjusted net income and diluted earnings per share
18 GAAP reconciliation and use of non-GAAP financial measures Adjusted net income and diluted earnings per share
Slide 20: Adjusted pre-tax, pre-provision earnings
19 GAAP reconciliation and use of non-GAAP financial measures Adjusted pre-tax, pre-provision earnings
Slide 21: Adjusted earnings and diluted earnings per share
20 GAAP reconciliation and use of non-GAAP financial measures Adjusted earnings and diluted earnings per share*
Slide 22: Adjusted pre-tax, pre-provision earnings
21 GAAP reconciliation and use of non-GAAP financial measures Adjusted pre-tax, pre-provision earnings
Slide 23: Core efficiency ratio (tax-equivalent basis)
22 GAAP reconciliation and use of non-GAAP financial measures Core efficiency ratio (tax-equivalent basis)
Slide 24: Core efficiency ratio (tax-equivalent basis)
23 GAAP reconciliation and use of non-GAAP financial measures Core efficiency ratio (tax-equivalent basis)
Slide 25: Segment core efficiency ratios (tax-equivalent basis)
24 GAAP reconciliation and use of non-GAAP financial measures Segment core efficiency ratios (tax-equivalent basis)
Slide 26: Adjusted mortgage contribution
25 GAAP reconciliation and use of non-GAAP financial measures Adjusted mortgage contribution
Slide 27: Tangible assets and equity and tangible book value per share
26 GAAP reconciliation and use of non-GAAP financial measures Tangible assets and equity and tangible book value per share
Slide 28: Return on average tangible common equity and adjusted pre-tax pre-provision ROATCE
27 GAAP reconciliation and use of non-GAAP financial measures Return on average tangible common equity and adjusted pre-tax pre-provision return on average tangible common equity
Slide 29: Return on average tangible common equity and adjusted pre-tax pre-provision ROATCE
28 GAAP reconciliation and use of non-GAAP financial measures Return on average tangible common equity and adjusted pre-tax pre-provision return on average tangible common equity
Slide 30: Adjusted return on average assets and equity
29 GAAP reconciliation and use of non-GAAP financial measures Adjusted return on average assets and equity and adjusted pre-tax pre-provision return on average assets and equity
Slide 31: Adjusted return on average assets and equity
30 GAAP reconciliation and use of non-GAAP financial measures Adjusted return on average assets and equity and adjusted pre-tax pre-provision return on average assets and equity
Slide 32: Adjusted Allowance for Credit Losses to Loans Held for Investment
31 GAAP reconciliation and use of non-GAAP financial measures Adjusted Allowance for Credit Losses to Loans Held for Investment
FB Financial — Investor Presentation (September 2021) on 6ix