Metropolitan Bank Holding Corp. · NYSE:MCB
Metropolitan Bank — Q2 2022 Earnings Presentation
33 slides from Metropolitan Bank's earnings presentation, Jul 21, 2022
Slide 1: 2Q 2022 Investor Presentation
2Q 2022 Investor Presentation
Slide 2: Disclosure
Disclosure 1 This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Examples of forward-looking statements include but are not limited to the Company's future financial condition and capital ratios, results of operations an
Slide 3: A Diversified Financial Institution
2 A Diversified Financial Institution We are More than a Commercial Bank Personal Banking • Broad range of hallmark personal checking and savings accounts • A full suite of electronic banking services that allow clients to easily manage their everyday financing needs Commercial Lending &bu
Slide 4: Proven high growth business model
Proven high growth business model 3 $1,421 $1,867 $2,678 $3,137 $3,732 $4,375 2017 2018 2019 2020 2021 2Q 2022 Loans $ millions $1,404 $1,661 $2,791 $3,830 $6,436 $6,178 2017 2018 2019 2020 2021 2Q 2022 Deposits $ millions $63 $83 $108 $142 $181 $116 2017 2018 2019 2020 2021 2Q 2022* Revenue $ milli
Slide 5: Investors have been rewarded for our strong performance
33.5% 17.8% 8.7% Metropolitan Commercial Bank High-growth banks² KRX Index³ 4 Revenue CAGR1 2017–2022Q1 Investors have been rewarded for our strong performance Tangible book value per share CAGR1 2017–2022Q1 Earnings per share CAGR1 2017–2022Q1 28.4% 23.4% 11.9% Metropoli
Slide 6: Delivering Financial Results
Delivering Financial Results 5 10.5% 10.8% 11.3% 12.9% 15.2% 16.7% 2017 2018 2019 2020 2021 2Q 2022 Total Revenues* Full year, except 2022, which is YTD 2Q 2022 | $ thousands $60,013 $78,744 $102,596 $133,460 $164,253 $3,369 $105,460 $4,640 $5,643 $8,464 $16,445 $10,899 2017 2018 2019 2020 2021 2Q 2
Slide 7: Loan Portfolio Growth and Diversification
Loan Portfolio Growth and Diversification 6 1 Gross of deferred fees and unamortized costs 2 Certain prior period amounts adjusted to conform to current presentation. * Includes consumer and 1-4 family loans ** Includes commercial real estate, multifamily and construction loans $4.39 billion Gross L
Slide 8: Commercial Growth Driven by Expertise in Specific Lending Verticals
Commercial Growth Driven by Expertise in Specific Lending Verticals 7 Commercial and Industrial Overview Target Market • Middle market businesses with annual revenues below $200 million • Well-diversified across industries Key Metrics • Strong historical credit performance - Pledged c
Slide 9: Relationship-Based Commercial Real Estate Lending
Relationship-Based Commercial Real Estate Lending 8 Target Market • New York metropolitan area real estate entrepreneurs with a net worth in excess of $50 million • Primarily concentrated in the New York MSA • Well-diversified across various property types Key Metrics &
Slide 10: Well-Developed, Sector Diversified Healthcare Portfolio
Well-Developed, Sector Diversified Healthcare Portfolio 9 • Active in Healthcare lending since 2002 • CRE – Skilled Nursing Facilities ("SNF") – Average LTV of 63% • Highly selective regarding the quality of Skilled Nursing Operators that we finance &am
Slide 11: Well-Developed, Geographically Diversified Skilled Nursing Facility Portfolio
Well-Developed, Geographically Diversified Skilled Nursing Facility Portfolio 10 CRE Skilled Nursing Facility Exposure by State at June 30, 2022 C&I Skilled Nursing Facility Exposure by State at June 30, 2022 34% 8% 21% 6% 6% 5% 5% 4% 3% 34% New York 21% Florida 8% New Jersey 6% Virginia 6% Indi
Slide 12: Deposit Composition
56% 43% 1% 56% Non-interestbearing demand deposits 43% Money market & savings account 1% Time deposits Total deposits: $6.18bn 2Q Cost of total deposits: 0.24% Deposit Composition 11 * Includes liquidation, receivership, and litigation settlement. ** Certain prior period amounts have been reclas
Slide 13: Customer Centric Digital Payments Worldwide
Customer Centric Digital Payments Worldwide Global Payments Group 12 • Domestic and international digital payments settlements • Gateway to payment networks – Wire, ACH, Visa, Mastercard, Remittance • Custodian of deposits on behalf of clients and their customers
Slide 14: Customer Centric Digital Payments Worldwide
16.42 28.50 22.64 29.10 21.70 38.60 42.30 54.54 31.79 2018 2019 2020 2021 2Q 2022 4Q 3Q 2Q 1Q Customer Centric Digital Payments Worldwide Global Payments Group 13 Client Transactions | Millions Customer $ Volume | Billions Highlights • On pace for over 114 million client transactions totali
Slide 15: Diversified Revenue and Deposit Contribution
Diversified Revenue and Deposit Contribution Global Payments Group 14 Total Revenue by Category* | Thousands * Certain prior periods amounts have been reclassified for consistency with the current period presentation. ** General Purpose Re-Loadable (GPR) $240 $228 $292 $373 $241 $148 $154 $517 $133
Slide 16: Well Managed Net Interest Margin
15 Well Managed Net Interest Margin 1 Represents full-year NIM, except 2022, which represents annualized NIM for the three months ended June 30, 2022. 2 Represents effective average daily FRB funds rate Net Interest Margin Analysis 1.00% 1.83% 2.16% 0.36% 0.08% 0.77% 3.52% 3.70% 3.46% 3.26% 2.77% 3.
Slide 17: Highly Profitable, Scalable Model
Highly Profitable, Scalable Model 16 ^ This represents the percentage of total non-interest income (less any gains on sale of securities) as compared to total revenue. * Annualized 1 These are non-GAAP financial measures. See reconciliation on slide 20 17.8% 14.7% 9.8% 9.7% 12.8% 11.2% 2017 2018 201
Slide 18: Credit Metrics
Credit Metrics 17 NCOs/Average Loans Non-Performing Loans/Loans ALLL/Loans Non-Performing Loans/ALLL 0.32% -0.06% -0.13% 0.01% 0.13% 0.00% 2017 2018 2019 2020 2021 2Q 2022 1.05% 1.02% 0.98% 1.13% 0.93% 0.93% 2017 2018 2019 2020 2021 2Q 2022 0.24% 0.02% 0.17% 0.20% 0.28% 0.00% 2017 2018 2019 2020 202
Slide 19: Capital ratios
19.9% 17.0% 12.5% 12.7% 15.2% 13.2% 2017 2018 2019 2020 2021 2Q 2022 Capital ratios* 18 Common Equity Tier 1 Capital Ratio Tier 1 Leverage Ratio Total Risk-Based Capital Ratio TCE / TA1 15.3% 13.2% 10.1% 10.1% 14.4% 13.2% 2017 2018 2019 2020 2021 2Q 2022 13.7% 13.7% 9.4% 8.5% 8.4% 9.1% 2017 2018 201
Slide 20: Appendix
Appendix Commercebank Gs) | "St NYSE 19
Slide 21: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures 20 *Tangible common equity divided by common shares outstanding at period-end In addition to the results presented in accordance with Generally Accepted Accounting Principles ("GAAP"), this earnings release includes certain non-GAAP financial measures. Man
Slide 22: Since our founding, we have delivered exceptional core-funded loan growth
$11 $34 $56 $125 $172 $238 $304 $360 $390 $490 $494 $439 $410 $412 $494 $627 $810 $1,043 $1,405 $1,846 $2,647 $3,101 $3,697 $4,335 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022Q2 Since our founding, we have delivered exception
Slide 23: A Diversified Financial Institution: How We Succeed
A Diversified Financial Institution We are More than a Commercial Bank 22 How We Succeed 23-Years of Reliable Asset Quality and Financial Performance • Organic business loan origination platform • Core funded organic deposit franchise • Helping our clients build and sustai
Slide 24: Delivering Critical Financial Infrastructure, Every Day
Delivering Critical Financial Infrastructure, Every Day Global Payments Group 23 • Domestic and international digital payments settlements, every day • Gateway to payment networks – Wire, ACH, Visa, Mastercard, Remittance, every day • Custodian of deposits on beh
Slide 25: Delivering Critical Financial Infrastructure, Every Day
Delivering Critical Financial Infrastructure, Every Day 24 U.S. Treasury Government Payments Pension Companies Public and Private Pension Payments Law Firms Payouts for Legal Settlements Other Load Types MG, WU, GD, VRL, MCR Direct Deposits/ ACH Loads Network Loads WU, MG GD Corporate Prefund Adjust
Slide 26: Client Case Study: Broxel
Client Case Study Global Payments Group 25 "The B2B and B2C infrastructure Broxel has built in Mexico combined with MCB's total support infrastructure in the United States is the blueprint for our mutual success." Gustavo Gutierrez Broxel Overview Broxel is a FinTech leader founded in 2011 and based
Slide 27: Client Case Study: CIBanco
Client Case Study Global Payments Group 26 CIBanco Overview Consultoría Internacional (CI) was established in 1983 and became known as CIBanco in 2008. CIBanco became a signatory of the Equator Principles from the World Bank in 2012 in response to the environmental challenges that the world is facin
Slide 28: Client Case Study: Mesh Payments
Client Case Study Global Payments Group 27 Mesh Payments Overview Corporate HQ New York, NY, International office Tel Aviv, Israel; 20+ employees, privately held company founded in 2018 with VC backers and a recent round of favorable financing; strong growth in the virtual card space, which is a fra
Slide 29: Client Case Study: Revolut
Client Case Study Global Payments Group 28 Revolut Overview • A global fintech financial services company • Corporate HQ London, England • International offices including Asia, Europe and Oceania • North American offices, San Francisco, CA and New York, NY &bu
Slide 30: Partner with the Leading Processors and Payment Processing Networks
Partner with the Leading Processors and Payment Processing Networks, Every Day Global Payments Group 29 Leading Processors Leading Payment Processing Networks
Slide 31: Who Are Our Payment Clients?
Who Are Our Payment Clients? 30 Global Payments Group
Slide 32: Engaging in Our Diverse Digital Payment Products Ecosystem
Engaging in Our Diverse Digital Payment Products Ecosystem, Every Day Global Payments Group 31 Illustrative photography and captions, not actual customers. Accounts Payable/ Expense Management ACH Processing and Settlement Bill Payment Card Present Debit Card Claim Handling and Processing Digital As
Slide 33: Establishing Our Place in a Diverse Digital Payment Industry
Establishing Our Place in a Diverse Digital Payment Industry Complex, Every Day Global Payments Group 32 Illustrative photography and captions, not actual customers. Auto Consumer Lending Corporate Accounts Payable Management Corporate Payroll Correspondent Banking Criminal Justice and Corrections C
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