Provident Financial Holdings, Inc. · NASDAQ:PROV
Provident Financial — Q1 FY2022 Earnings Presentation
15 slides from Provident Financial's earnings presentation, Oct 26, 2021
Slide 1: Provident Financial Holdings, Inc. First Quarter of Fiscal 2022
PROVIDENT ifs Provident Financial Holdings, Inc. First Quarter of Fiscal 2022 September 30, 2021 yjww.myprovident.com
Slide 2: Safe Harbor Statement
Safe Harbor Stateme This presentation contains statements that the Company believes are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to the Company's financial condition, liquidity, results of operations. plans, obje
Slide 3: Market Highlights
Market Highlights Provident Financial Holdings, Inc. Nasdaq GS: PROV Share Price: $16.85 52-Week Range: $11.66 - $18.48 Shares Outstanding: 7,491,705 shares Market Capitalization: $126.2 million PIE (ttm): 14.53x Diluted EPS (ttm): $1.16 Annual Dividend & Yield: $0.56 (3.32%) As of September 30, 202
Slide 4: Branch locations in Riverside County
Blythe © Canyon Crest, Riverside © Corona © Corporate Office, Riverside © Downtown, Riverside © Hemet © La Sierra, Riverside © Moreno Valley © Orange Crest, Riverside © Rancho Mirage © Redlands © sun city © Temecula (00 ar cots vt pre es waned fry, OZER Ce, 9018 HERE > Largest independent community
Slide 5: Financial Performance
Financial Performance Developments Net Interest Income (in Millions) > Net Income decreases approximately 20% (sequential si00 quarter) > Net Interest Margin increases 17 basis points (sequential 390 quarter) #83 $82 S79 > Net Interest Income increases approximately 7% (sequential seo +4 we we ae qu
Slide 6: Financial Performance
cial Performance Pre-Provision, Pre-Tax Earnings Pre-Tax Income (in Millions) (in Millions) $4.0 $37 33 35.0 344 sas 336 $40 sorTero, 530 $25 J $2.2 sat siz S19 $20 S17 ‘S17 $20 +7 15 7 sto +9 sto 44 305 = s st.) ‘OsFY20 " IFY21 ” G2FYZ1 " GaFY2 ” aéFY21 ” aIFY22 ‘OsFY20 GIFY21 G2FY21 GaFY21 aéFY21_
Slide 7: Financial Ratios
Financial Ratios Net Interest Margin Efficiency Ratio 4.00% 25.00% oes 20.00% 3.00% 2.66% 2.60% 271% 254% 75.00% | 70.00% +7 2.00% 63.20% 65.00% t-4 1.00% 60.00% ‘S7-12% 55.00% 0.00% 50.00% airY2i azFY21 aaFY21 sFY21 ” aiFY22 casrv20 asrv2i aiFYz2 Return on Average Assets Return on Average Equity 12
Slide 8: Balances and Activity
Balances and Activity Developments Loan to Investment Mix > Loans Held for Investment balance increases by approximately 1% (sequential quarter) ® Yield on Loans Held for Investment decreases seven basis points from June 30, 2021 > Total Deposits balance increases by approximately 2% (sequential qua
Slide 9: Balances and Activity
Balances and Activity Loans Held for Investment Composition Loan Composition as of 09/30/21 Loan Category Balance as Interest Balance as Interest {Gollars in Thousands) of 093071 Rate of 099020 Rate consructon, OMT | mSingleFamiy Single-Fanily 3 274570 329% § 288790 3.93% 0% usmese | SMutiFamily Mit
Slide 10: Balances and Activity: Deposits and Borrowings
(notions) Balances and Activity Deposits and Borrowings 6/30/20 09/30/20 Deposit Composition at 09/30/21 yast20 03/31/21 06/30/21 "08/30/21 faChecking Accounis— Non interest-Bearing JaChecking Accounts InterestBearing JESavings Accounts JEMoney Market Accounts} JaTime Deposits 936% Deposit Compositi
Slide 11: Asset Quality
Asset Quality Developments NPA, NPA to Total Assets Ratio and ALLL to LHI Ratio > Non-Performing Assets to Total Assets Ratio declines to sees ‘ane 0.55% at September 30, 2021 ines +e > $339,000 Recovery from the Allowance for Loan Losses e $8000 2+ oso > No REO : | $6,000 0.60% > Early-Stage Delinq
Slide 12: Asset Quality
Asset Quality Allowance for Loan Losses (ALLL) ALLLAllocation as of 09/30/21 (Thousands) 9,000 sass S400 $8898 55 goig wSingleFamiy $8,000 antut-Famiy commercial Real Estate construction B00 mOther Commercial Business $4,000 consumer $2,000 s 06/30/20 09/30/20 12/31/20 03/31/21 06/30/21 09/30/21 MOI
Slide 13: Asset Quality: Geographic Location
Asset Quality Geographic Location z ae oe eee ja catego Bsbmce Percenbge Golanee Percentage Gale Percentage Golance Percentage Sabres Percentace SigeFamiy Sma Oh 5 REDS NBD aS 288 SZTHSTO 100% ae Famiy Co ee 28% B98 100% ConmenisiReslesoe 21.789 AD = om 31773 100% conscton ms 3% ime are er es 2574 1
Slide 14: Asset Quality
Asset Quality Single-Family (1) — Loans Held for Investment Multi-Family — Loans Held for Investment pore = mam oS Ge ee ee Deere [seen [scar sree (sean fons [ome foeen ces [oe a See we fam ax fas fam [as [am | om | am | am [tegesing Mqervers| ssa | rat Jew | sor | ax | Sur | a tax | are [are | va |
Slide 15: Capital Management
Capital Management Developments > Bank Capital Ratios remain strong > 3.32% cash dividend yield (approximately) > Purchased approximately 50,000 shares of common stock in the first quarter of fiscal 2022 Bank Capital Ratios Stock Repurchase Plan Activity (#ofShares) 60,000 54,707 50275 49,764 50,000
Provident Financial Holdings — Q1 FY2022 Earnings Presentation on 6ix