Axos Financial, Inc. · NYSE:AX
Axos Financial — BofI Holding — D.A. Davidson Annual Financial Services Conference 2011
22 slides from Axos Financial's conference presentation, May 12, 2011
Slide 1: D.A. Davidson Annual Financial Services Conference
D.A. Davidson Annual Financial Services Conference May 11, 2011 Greg Garrabrants President & Chief Executive Officer Exhibit 99.1
Slide 2: Safe Harbor
Safe Harbor This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the “Reform Act”). The words “believe,” “expect,” “anticipate,” “estimate,” “project,” or the negation thereof or similar expressions constitute forward-looki
Slide 3: Key Accomplishments
7 6 5 4 3 2 1 Return on equity of 15.0% (YTD 3/11) Key Accomplishments Common stock currently trading at: 125.0% of book; 9.15x TTM P/E Efficiency ratio of 39.3% (YTD 3/11) 5-year asset growth of 18.4% (CAGR) 6/30/2010 5-year deposit growth of 21.8% (CAGR) 6/30/2010 Third highest ranking on SNL list
Slide 4: Corporate Profile
Corporate Profile 1. Quarter ended March 31, 2011 2. As of 5/02/11 closing price of $16.56 per share $1.7 billion asset savings and loan holding company 10 years operating history, publicly traded on NASDAQ(BOFI) since 2005 Headquartered in single branch location in San Diego, CA 35,000 deposit and
Slide 5: The Best of the Biggest – Largest Public Thrifts by Asset Size
The Best of the Biggest – The Largest Public Thrifts by Asset Size BofI Holding, Inc. (BOFI) CA 89.40 1,401.1 1.16 15.87 13.14 32.23 1.21 0.80
Slide 6: Primary Business – Deposits
Deposit products Primary Business – Deposits • • Full-featured products • Self-service operations • Highly efficient operations (9 CSRs; 31,000 accounts) • • Strong start in first full year of operations • One dedicated employee • Significant expansion opportunities 1. Bank as of 3/31/2011 Deposit b
Slide 7: Primary Businesses – Lending
Primary Businesses – Lending Lending Single family Multifamily Wholesale banking Gain-on-sale Mortgage Banking Wholesale Jumbo Retail Wholesale Bank loan purchase Special situations • Internet-focused lend sources • Self-service operation • Low-fixed costs • High-end portfolio lender – "Common Sense
Slide 8: Loan Origination Group Production
Loan Origination Group Production Single Family – Jumbo Portfolio Multifamily – Portfolio 73.6 78.7 Total $175.6 138.7 107.8 $269.7 Pipeline Single Family – Gain on Sale $23.3 $23.2 (In millions) 1. Applications in as of 3/31/2011 Q3-2011 Production
Slide 9: Multifamily and Single Family Production are a Reliable Asset Generation Platform
Multi Family and Single Family Production are a Reliable Asset Generation Platform for the Bank ($ Million) Q1 Q2 Multifamily Loan Production Single Family Jumbo ($ Million) Q1 Q2 Q3 Q3
Slide 10: Our Business Model is More Profitable Because Our Costs are Lower
Our Business Model is More Profitable Because Our Costs are Lower Salaries and benefits Premises and equipment 1. Bank of Internet USA only for three months ended 12/31/10 - the most recent data on FDIC website “Statistics on Depository Institutions Report. ”Excludes BofI Holding company to compare
Slide 11: Our Efficiency Ratio Consistently is One of the Industry's Lowest
Our Efficiency Ratio Consistently is One of the Industry's Lowest Efficiency Ratio (Bank of Internet USA, for the fiscal quarter ended) (%) Banks Q2 ‘11 Q1 ‘11 Q4 ‘10 Q3 ’10 One of the lowest rates in the industry 63.24 34.49 30.67 31.39 29.21 1. Reported by FDIC – 424 commercial banks with $1-$10 b
Slide 12: Best in Class Asset Quality
Best in Class Asset Quality 0.83 0.27 (%) BofI Bank $1-10bn Assets 30-89 days delinquent Assets in non-accrual 2.66 1.01 (%) BofI Bank $1-10bn 1. Bank of Internet USA only at 12/31/10 (excludes BofI Holding, Inc. to compare to FDIC data). 2. Commercial banks by asset size. FDIC reported at 12/31/10.
Slide 13: Mortgage Loan Portfolio – Years Seasoned and Loan-to-Value
Mortgage Loan Portfolio – Years Seasoned and Loan-to-Value 3/31/11 3.4 4.1 3.8 4.1 Single Family Multifamily Commercial Home Equity Weighted-average number of years since origination Weighted-average loan-to-value Percent 1. Based on current loan balance and collateral value at origination or purcha
Slide 14: Loan Diversity – March 31, 2011
Loan Diversity – March 31, 2011 Loan Portfolio 100% = $1,126 mm 1. Gross loans before premiums, discounts and allowances Multifamily SF residential Home equity Commercial Consumer and other
Slide 15: Deposits – March 31, 2011
Deposits – March 31, 2011 Deposits (100% = $1,266 mm) Time Deposits <$100K Savings Time Deposits >$100K Demand
Slide 16: bankofinternet
bankofinternet Le ina state near you www.apartmentbank.com
Slide 17: Meeting All Your Multifamily Needs
bankofinternet eS Meeting All Your Multifamily Needs ane sbant Jumbo7St jumbo soaraeatbtang spareartabng Loans to $5 Million Hileagn enn rromeri¥3 Y 85 $650,00 Portal Lender aganment tiling | | aparnan bling sparse balng aa ae eet + Fae Neonat sperner outelng sane balelng cae + loge asset Rogan or m
Slide 18: Technology Improvements In Process
Technology Improvements In Process Completed Major Revisions to Online Banking Key Features Account Aggregation Safe Interbank Transfers Financial Management Reporting Tools Expanded Cross-Sell Capabilities Target Marketing (assuming consumer opt-in)
Slide 19: A Complete Financial Picture All From Our Website
A Complete Financial Picture All From Our Website View accounts across 16,000+ institutions Spending Reports Simplified budgeting tool Alerts and reminders for Bill Payment
Slide 20: A Complete Financial Picture All From Our Website
A Complete Financial Picture All From Our Website
Slide 21: Home Page with Purchase Rewards
Home Page with Purchase Rewards • Solves the most critical money management tasks on first page: Check balances and review recent transactions Make transfers Pay bills Review new and activated offers through Purchase Rewards View your spending • Extended cross-sell capabilities from the page where e
Slide 22: Investment Considerations
Investment Considerations High-quality consumer franchise Attractive valuation Scalability Strong credit quality Significant earnings upside potential
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