Provident Financial Services, Inc · NYSE:PFS
Provident Financial Services — Shareholder Meeting (April 2008)
20 slides from Provident Financial Services's shareholder meeting presentation, Apr 23, 2008
Slide 1: 2008 Annual Meeting of Stockholders
2008 Annual Meeting 2008 Annual Meeting of Stockholders of Stockholders April 23, 2008 April 23, 2008 Exhibit 99.1
Slide 2: Forward Looking Statements
Forward Looking Statements Certain statements contained herein are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements may be identified by reference to a future period or
Slide 3: Commemorating 5 Years as a Public Company
Commemorating 5 Years as a Public Company NYSE SYMBOL: PFS MARKET CAPITALIZATION: $844 MILLION (at 3/31/08)
Slide 4: Total Stockholder Return
Total Stockholder Return Source: SNL Financial
Slide 5: Financial Highlights
(Dollars in thousands) INCOME STATEMENT: 3/31/08 3/31/07 Net income $10,693 $10,808 Diluted earnings per share $0.19 $0.18 Return on equity 4.28% 4.32% Return on assets 0.68% 0.77% Net interest margin 2.87% 3.02% Efficiency ratio 66.60% 65.18% Financial Highlights
Slide 6: Financial Highlights
Financial Highlights (Dollars in thousands) BALANCE SHEET: 3/31/08 12/31/07 Total assets $6,396,844 $6,359,391 Total loans $4,255,667 $4,296,291 Total deposits $4,234,928 $4,224,820 Total investments $1,258,892 $1,167,870 Total borrowed funds $1,066,707 $1,075,104 Total stockholders' equity $1,010,8
Slide 7: Comparative Yield Curve
Comparative Yield Curve 2.25% 1.35% 1.68% 2.19% 2.35% 2.95% 3.77% 4.51% 4.04% 3.45% 3.07% 3.05% 3.49% 4.25% 3.36% 4.45% 4.70% 4.74% 4.82% 5.09% 5.02% 5.25% 4.71% 4.81% FF 3 mo 6 mo 2 yr. 3 yr. 5 yr. 10 yr. 30 yr. Current 4/18/2008 12/31/07 12/31/06
Slide 8: Yield on Earning Assets and Rate Paid on Liabilities
4.40% 4.80% 5.20% 5.60% 6.00% Dec-06 Mar-07 Jun-07 Sep-07 Dec-07 Mar-08 2.80% 3.20% 3.60% 4.00% Yield on Earning Assets Rate Paid on Liabilities Net Interest Rate Spread
Slide 9: Net Interest Margin
$39.2 $38.3 $43.4 $42.7 $39.9 $38.5 $37.3 $40.0 $39.3 Net Interest Margin 2.87% 3.31% 3.33% 3.08% 3.02% 3.02% 2.97% 2.84% 3.17% 1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 Net Interest Income (in millions) Net Interest Margin (%)
Slide 10: Branches in Counties
84 Branches in 10 Counties Well-positioned Branch Network Supports Efficiency, Synergy and Brand Recognition MORRIS BERGEN ESSEX UNION SOMERSET MERCER MIDDLESEX MONMOUTH OCEAN HUDSON
Slide 11: New Jersey Deposit Market Share
New Jersey •9 th Largest Share of New Jersey Deposit Market •3 rd Largest among Banks headquartered in-State Provident Financial Services, Inc. Deposit Market Share 2007 Rank Institution (ST) 2007 Number of Branches 2007 Total Deposits in Market ($000) 2007 Total Market Share (%) Bank of America Cor
Slide 12: Exceptional Commitment and Experience in Serving the Needs of Retail Customers
Exceptional Commitment and Experience in Serving the Needs of Retail Customers
Slide 13: Innovative Products for Individuals and Families
Innovative Products for Individuals and Families Convertible Convertible Home Equity Line of Credit Home Equity Line of Credit Provident Platinum Checking Provident Platinum Checking Relationship Banking Relationship Banking
Slide 14: Continually Building Business Customer Relationships: Deposits
Commercial 11.95% Retail 88.05% Commercial 14.25% Retail 85.75% Continually Building Business Customer Relationships: Deposits as of 12/31/06 as of 3/31/08
Slide 15: Continually Building Business Customer Relationships: Loans
Retail 58.7% Commercial 41.3% Retail 53.6% Commercial 46.4% Continually Building Business Customer Relationships: Loans as of 12/31/06 as of 3/31/08
Slide 16: Committed to Serving the Borrowing Needs of Business Customers
Committed to Serving the Borrowing Needs of Business Customers Within Our Markets 2007 LOAN ORIGINATIONS COMMERCIAL BUSINESS : $421.8 Million COMMERCIAL REAL ESTATE: $233.9 Million COMMERCIAL CONSTRUCTION: $236.1 Million
Slide 17: Solid Business Lending Experience and Capabilities
BUSINESS BANKING GROUP (LOANS UP TO $1.5 MILLION) 11 LOAN OFFICERS SUPPORTED BY 4 BUSINESS DEVELOPMENT OFFICERS MIDDLE MARKET LENDING GROUP (LOANS GREATER THAN $1.5 MILLION) 9 LOAN OFFICERS SUPPORTED BY 3 CORPORTE CASH MANAGEMENT REPRESENTATIVES COMMERCIAL REAL ESTATE GROUP 9 LOAN OFFICERS SUPPORTED
Slide 18: Operating in Markets with Superior Demographics
New Jersey (NJ) Operating in Markets with Superior Demographics Demographic Profile (Provident Financial Services, Inc.) County Market Rank Total Population (Actual) Median Income 2007 ($) Projected HH Income Change 2007-2012 Middlesex 803,610 77,559 17.34 Hudson 621,735 50,670 16.40 Morris 500,527
Slide 19: Looking Ahead: Strategic Priorities
Looking Ahead Strategic Priorities: - Maintain Strong Capital Position - Maintain Asset Quality - Manage Overhead Expense - Improve Net Interest Margin - Manage Credit Risk
Slide 20: Looking Ahead: Market Presence
Looking Ahead Market Presence: - Continue to explore new branch location opportunities - Monitor existing branch network to consolidate or eliminate underperformers - Remain alert to acquisition opportunities
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