University Bancorp, Inc. · OTC:UNIB

University Bancorp — Investor Presentation (December 2023)

12 slides from University Bancorp's investor presentation, December 2023

  1. Slide 1: University Bancorp & University Bank Investor Presentation

    University Bancorp & University Bank Investor Presentation Stephen Lange Ranzini President & CEO, University Bancorp ((734) 741-5858 ext 9226 * ranzini@university-bank.com :www.university-bank.com/bancorp.htm December 2023

  2. Slide 2: About University Bancorp

    About University Bancorp • University Bancorp, Inc. (UNIB) is the financial holding company for University Bank, an Ann Arbor based community bank with $907 million in assets as of December 31st, 2023. • Formed a captive insurance company, Crescent Captive PCC, in March 2023. • UNIB has $83.9 millio

  3. Slide 3: Our Business Model

    Our Business Model • University’s business model includes substantial mortgage loan subservicing and loan origination operations combined with traditional community banking and insurance. • University’s Retail Mortgage Operations are designed to be sustainable and profitable, with a hyper focus on p

  4. Slide 4: What Our Business Model Provides

    What Our Business Model Provides • Our business model provides UNIB with a low cost of funds which we believe to be an important competitive advantage compared with traditional banks. • Over the quarter our mortgage subservicing business generated an average monthly balance of $375 million of non-in

  5. Slide 5: Our Balance Sheet Breakdown – Average Assets

    Our Balance Sheet Breakdown – Average Assets $1,000 $23.5 $900 10.96% $22.2 $4.7 Non-earning assets $800 $109.4 6.18% Interest-earning Deposits $10.8 Interest-earning Deposits $700 5.93% Consumer Loans Consumer Loans $147.5 3.01% CRE $600 CRE 8.24% Commercial Notes & Lines Commercial Notes & Lines $

  6. Slide 6: Our Balance Sheet Breakdown – Average Liabilities

    Our Balance Sheet Breakdown – Average Liabilities $900 $800 0.00% $58.0 0.24% $700 $600 Other Liabiliti es Other Liabiliti es $383.5 $500 Custodial Deposits 0.64% Custodial Deposits $400 Consumer Transaction Deposits Consumer Transaction Deposits $300 $61.2 Consumer Time Deposits & Consumer Time Sav

  7. Slide 7: Mortgage Servicing – Fueling Growth

    Mortgage Servicing – Fueling Growth • Growth in the mortgages subserviced has been constant and persistent, at 20.2% per annum for the past 20 years and the customer base is diversified, servicing a total of 346 credit unions, 20 mortgage banking firms and 20 community banks. MORTGAGES SERVICED - •

  8. Slide 8: UNIB’s Mortgage Origination Channels

    UNIB’s Mortgage Origination Channels • UNIB’s Retail Mortgage Operations, which are focused on purchase transactions, originating a combined $1.07b loans in 2023 (excludes reverse mortgages). • University Lending Group (“ULG”) - Government, Conventional & HELOC Mortgage Origination • Originated $548

  9. Slide 9: UNIB’s Retail Mortgage – A proven model

    UNIB’s Retail Mortgage – A proven model Mortgage Origination Volume ($ in Thousands) $450,000 4.00% $400,000 3.50% $350,000 3.00% $300,000 2.50% $250,000 2.00% $200,000 1.50% $150,000 $100,000 1.00% $50,000 0.50% $- 0.00% Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Reverse Mtg &

  10. Slide 10: Virtuous Cycle of Funding Advantage

    Virtuous Cycle of Funding Advantage $375 million of average monthly escrow deposits (T&I) $34 billion of contract Internal warehouse lines subservicing rights ($1.2 billion of originations per annum) Monthly loan originations sold into market Page 10

  11. Slide 11: Industry Awards

    Industry Awards § For many years, ULG has been the #1 Residential Lender with local offices in Washtenaw County (Ann Arbor), Michigan & tied for #1 Residential Lender in the Florida Panhandle. § Bank Director magazine selected us as a top performing U.S. bank. We are very proud to be honored among all

  12. Slide 12: Questions?

    Questions? •FAQ list at www.university-bank.com/bancorp.htm •Press Releases •Newspaper & Magazine Articles •Comprehensive Data •Contact me: Stephen Lange Ranzini, President & CEO: ((734) 741-5858 xt 9226 * ranzini@university-bank.com CAUTIONARY STATEMENT: This Executive Summary contains certain forw

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