Pinnacle Financial Partners, Inc. · NYSE:PNFP
Pinnacle Financial Partners — Shareholder Meeting (2020)
20 slides from Pinnacle Financial Partners's shareholder meeting presentation, 2020
Slide 1: Pinnacle Financial Partners
le 4 FINANCIAL PARTNERS
Slide 2: Safe Harbor Statements: Forward Looking Statements
Safe Harbor Statements Forward Looking Statements All statements, other than statements of historical fact, included in this presentation, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section
Slide 3: Safe Harbor Statements: Non-GAAP Financial Matters
Safe Harbor Statements Non-GAAP Financial Matters This presentation contains certain non-GAAP financial measures, including, without limitation, earnings per diluted share, efficiency ratio and the ratio of noninterest expense to average assets, excluding in certain instances the impact of expenses
Slide 4: Pinnacle Grew EPS by 12.5% in 2019
Pinnacle Grew EPS by 12.5% in 2019 $6.00 $5.00 $5.22 $4.64 $4.00 $3.00 $2.70 $2.00 $1.00 $0.00 2017 2018 2019 4
Slide 5: Pinnacle Relied on Its Proven Model
Pinnacle Relied on Its Proven Model Excited Associates Engaged Clients Enriched Shareholders 5
Slide 6: 1Q20 Financial Information
1Q20 Financial Information Our key success measures such as asset quality, loan and core deposit growth, deposit betas and fee growth all pointed to a “beat the street” quarter prior to the impact of COVID-19.
Slide 7: 1Q20 Summary Results of Key GAAP Measures
1Q 1Q 1 Q1 16 16 6 2Q 2Q 2 Q1 16 16 6 3Q 3Q 3 Q1 16 16 6 4Q 4Q 4 Q1 16 16 6 1Q 1Q 1 Q1 17 17 7 2Q 2Q 2 Q1 17 17 7 3Q 3Q 3 Q1 17 17 7 4Q 4Q 4 Q1 17 17 7 1Q 1Q 1 Q1 18 18 8 2Q 2Q 2 Q1 18 18 8 (millions) 3Q 3Q 3 Q1 18 8 Total Loans 18 4Q 4Q 4 Q1 8 Total Revenues 18 18 1Q 1Q 1 Q1 9 NPA/ Loans & OREO 19
Slide 8: 1Q20 Summary Results of Key Non-GAAP Measures
1Q20 Summary Results of Key Non-GAAP Measures Total Revenues FD EPS* Adjusted Pre-Tax Pre-Provision $1.24 Net Income* $263,466 $218,624 $240,269 $1.13 (‘000) 128,532 114,603 126,464 $119,149 $0.83 $99,758 $0.71 58,271 47,748 $0.39 16 16 16 16 17 17 17 17 18 18 18 18 19 19 19 19 20 2Q 6 3Q 6 4Q 6 1Q
Slide 9: Pinnacle and COVID-19
Pinnacle and COVID-19 COVID-19 has had a dramatic impact on our associates, our communities, our clients and our firm. Our response has been aggressive and aimed at protecting all of our constituents.
Slide 10: Pinnacle Response Pandemic Timeline
Pinnacle and COVID-19 Pinnacle and Pandemic Timeline Pinnacle executed an aggressive pandemic response March 6 - Pinnacle March 12 - PNFP restricts business cancels company Jan 30 - Feb 20 - Response travel, inventories events and limits Pinnacle team meeting personal travel, meetings to <15 Pinnacl
Slide 11: Associate Protection
Pinnacle and COVID-19 Associate Protection Pinnacle responded quickly and decisively to protect associates and clients • Required pandemic training for all associates on best practices to stay safe. • Broadly distributed hand sanitizer throughout the organization. • Instituted enhanced deep cleaning
Slide 12: Associate Protection: Confirmed cases limited
Pinnacle and COVID-19 Associate Protection Confirmed cases of COVID-19 have been limited Market # Associate Cases # Associate • First associate case reported in Nashville on 03/31/2020 Household Cases Atlanta 0 0 • Second associate case reported in Nashville on 04/07/2020 Charleston 0 0 • Third asso
Slide 13: Associate Protection: Protecting borrowers
Pinnacle and COVID-19 Associate Protection Pinnacle responded quickly and decisively to protect borrowers Amount of PPP Loan Requests 3,000,000,000 2,500,000,000 2,000,000,000 1,500,000,000 1,000,000,000 Loan deferral table as of 4/15/20 500,000,000 - $ Volume at $ Volume at % age of Loans Mar. 31,
Slide 14: Pinnacle enhanced its reputation in PPP roll-out
Pinnacle and COVID-19 Associate Pinnacle enhancedProtection its reputation for valuing long-term relationships in PPP roll-out • Conducted PPP webinars for 5,100 participants prior to PPP launch. • Distributed email package with preliminary application, loan amount calculator and program requirement
Slide 15: Atlanta and Looking to the Future
Atlanta and Looking to the Future Atlanta represents a “once-in-a-generation” opportunity to build a relevant franchise in the Southeast’s most attractive market. In response to the potential damage created by COVID-19, we will substantially slow our anticipated hiring pace with its associated expen
Slide 16: PNFP's Entry into Atlanta – Commercial Market Share
PNFP’s Entry into Atlanta – The Southeast’s Economic Center The opportunity in Atlanta is extraordinary and warrants investment Nashville Atlanta 35% 35% Pinnacle Regional Bank B 30% 30% 25% 25% Commercial Market Share Commercial Market Share National Bank E 20% 20% National Bank A 15% 15% Regional
Slide 17: PNFP's Entry into Atlanta – 5 Year Build-out Targets
PNFP’s Entry into Atlanta – The Southeast’s Economic Center Pinnacle intends to invest in order to seize this “once-in-a-generation” opportunity 5 Year Build-out Targets • 50 relationship managers • 5 business focused offices • Full product offering • Treasury management • Wealth management • Mortga
Slide 18: PNFP's Entry into Atlanta – 1Q20 Progress
PNFP’s Entry into Atlanta – The Southeast’s Economic Center Pinnacle intends to invest in order to seize this “once-in-a-generation” opportunity 1Q20 Progress • Regulatory approval for branch location • Site selected and lease negotiated • Site build out underway. Projected complete date is mid-May.
Slide 19: Moving Forward in this Pandemic
Moving Forward in this Pandemic All the impacts of the COVID-19 pandemic are unknown as yet. Severity is likely a function of duration. But there can be little doubt that its impacts will be far reaching on our nation in general, and banks in particular. At this juncture, it is critical that we cont
Slide 20: PNFP Will Focus on Defense During This Pandemic
PNFP Will Focus on Defense During This Pandemic We have and will continue to build liquidity, reserves and capital during this crisis Consumer and Small Business Programs 1. Increased liquidity 1. Q1 was strongest core deposit growth in recent history; improving liquidity position 2. Completing liqu
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