Cnb Financial Corporation · NASDAQ:CCNE
Cnb Financial — Investor Presentation (May 2015)
22 slides from Cnb Financial's investor presentation, May 13, 2015
Slide 1: Investor Meetings May 2015
Exhibit 99.1 Investor Meetings May 2015
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the financial condition, liquidity, results of operations,
Slide 3: CNB Financial Overview
CNB Financial Overview CNB Financial is a full-service bank, headquartered in Clearfield, PA, providing services, including wealth and asset management, to individuals, businesses, governments, and institutional customers As of March 31, 2015: • Assets: $2.2 billion • Loans: $1.4 billion • Deposits:
Slide 4: Financial Highlights – 1Q15
Financial Highlights – 1Q15 Strong Balance Sheet Growth • Loans of $1.4 billion at March 31, 2015 represent 4.8% of organic growth over March 31, 2014 • Deposits of $1.9 billion at March 31, 2015 represent 2.1% growth over March 31, 2014, non-interest bearing demand deposits grew 17.0% and savings d
Slide 5: 2015 Initiatives
2015 Initiatives Acquisition of land in Worthington, Ohio and begin construction process of FCBank flagship office Acquisition of land in Altoona, PA and begin construction process of full-service branch Construction of new ERIEBANK full-service branch in Erie, PA that opened in January 2015 Focus o
Slide 6: History of CNB Financial
History of CNB Financial 1984: Forms 1865: County 2010: Joseph Bower CNB Financial National Bank 2005: 2006: Conversion becomes CEO after 2015: 150th Corporation of Clearfield ERIEBANK is to a state banking retirement of William Anniversary holding established formed charter Falger Celebration compa
Slide 7: ERIEBANK, a division of CNB Bank, was created de novo in 2005
ERIEBANK, a division of CNB Bank, was created de novo in 2005 At March 31, 2015: Eight branches One loan production office $433 million in loans $601 million in deposits 7
Slide 8: Expansion into Ohio
Expansion into Ohio • The acquisition of FC Banc Corp., which closed in the fourth quarter of 2013, expanded CNB’s geographic footprint into Central Ohio with meaningful size and scale – Entry into 5 new markets, similar to CNB core markets – $380 million in total assets; $243 million in loans; and
Slide 9: CNB’s Experienced Management Team
CNB’s Experienced Management Team Years at Years in Executive Title CCNE Industry Joseph B. Bower Jr. President & Chief Executive Officer 18 22 Richard L. Greslick Jr. SEVP / Chief Operating Officer & Secretary 17 17 Joseph E. Dell Jr. EVP / Chief Lending Officer 2 31 Mark D. Breakey SEVP / Chief Cr
Slide 10: CNB Stock Price Performance
CNB Stock Price Performance Since its follow-on offering in 2010, CNB has outperformed the NASDAQ Bank Index CCNE NASDAQ Bank 10 Source: SNL Financial. Price change from 6/14/10 to 4/28/15
Slide 11: Strong Organic Loan and Deposit Growth
Strong Organic Loan and Deposit Growth 0 0 Total Loans Strong organic loan and deposit growth 1,600,000 through the financial crisis and recession 5-Year CAGR: 1,400,000 Total13.7% 1,200,000 Organic 9.2% Fundamental focus on originating loans in- market and funding with local, low-cost core 1,000,00
Slide 12: Diversified Loan Portfolio
Diversified Loan Portfolio 0 0 0 0 12/31/10 3/31/15 C&I C&I 32.4% Consumer 32.1% 7.6% Consumer 5.4% Residential Commercial Mortgage Commercial Residential Real Estate 33.2% Real Estate Mortgage 26.8% 25.4% 37.1% 0.00 0 0 0 $795 million $1.4 billion 6.43% yield 5.19% yield 12
Slide 13: Attractive Deposit Mix
Attractive Deposit Mix 12/31/10 0 0 Retail CDs Jumbo CDs 3/31/15 17.5% Retail CDs 14.2% Non- 6.4% interest Jumbo CDs Bearing 5.0% 12.1% MMDA & Savings Non- 74.7% interest MMDA & Bearing Savings 13.9% 56.1% $1.2 billion 0.00 $1.9 billion 0 1.42% cost of deposits 0.51% cost of deposits 13
Slide 14: Available-for-Sale Investment Portfolio
Available-for-Sale Investment Portfolio March 31, 2015 Municipals 28% U.S. Gov't U.S. Gov't Wrapped Agencies Resi/Multi- 23% Family Mtgs 37% SBA 9% Other 0% Corporate 3% Total Portfolio $660 million Tax Equivalent Book Yield 2.6% Modified Duration 4.0 years Price Change +300 bps (11.8%) 14
Slide 15: Deposit Market Share
Deposit Market Share CNB Growth Market Growth Total CNB CNB Deposit Deposits in # of Deposits Market Share Year over 5-Year Market Year over 5-Year Market Rank Branches ($000) (%) Year (%) CAGR (%) ($000) Year (%) CAGR (%) Clearfield, PA 1 10 455,265 33.97 1.39 3.34 1,340,282 1.37 0.03 Erie, PA 5 4
Slide 16: Improved Profitability
0 Improved Profitability 0 0 0 Net Income 5-Year ROAA CAGR +20.8% 1.07 1.00 1.00 1.02 $23,074 0.87 0.88 0.79 $17,136 $16,679 $15,104 0.55 $11,316 $8,512 $5,235 $5,565 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y YTD 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y YTD 0 0 0 0 0 0 0 0 5-Year Diluted EPS CAGR R
Slide 17: Stable Net Interest Margin
Stable Net Interest Margin 0 0 8.00 6.72 7.00 5.89 6.00 5.23 4.84 5.00 4.42 4.15 4.43 4.42 4.00 4.33 3.00 4.00 3.82 3.82 3.65 3.59 3.49 3.47 2.00 2.64 2.07 0.71 0.71 1.00 1.78 1.44 1.08 0.79 0.00 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y YTD Net Interest Margin Yield on Interest Earning Assets Cost
Slide 18: Superior Asset Quality
Superior Asset Quality 0 0 0 0 NPAs/Assets Allowance for Loan Losses/ Gross Loans 1.17 1.48 1.51 1.09 1.37 1.35 1.29 1.25 1.28 1.30 0.93 0.85 0.61 0.47 0.47 0.42 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y 1Q15 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y 1Q15 0 0 0 0 0 0 0 0 NCOs/Average Loans Texas Rat
Slide 19: Strong Capital Levels
Strong Capital Levels 0 0 0 0 Tangible Common Tier 1 Risk Based Ratio Equity/Tangible Assets* 14.13 14.03 13.89 13.06 12.84 12.51 7.61 7.63 7.70 7.05 7.32 10.80 10.70 6.34 5.12 5.08 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y 1Q15 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y 1Q15 0 0 0 0 0 0 0 0 Leverage
Slide 20: CNB’s Growth Strategy
CNB’s Growth Strategy Organic / De Novo Growth Strategy Acquisition Strategy Intend to grow organically in the M&A is not a priority in our growth FCBank market through new strategy; however, we will remain offices and additional lenders opportunistic and would consider a transaction that would: Con
Slide 21: Appendix
Appendix FINANCIAL CORPORATION ~
Slide 22: Non-GAAP Financial Reconciliation
Non-GAAP Financial Reconciliation Tangible common equity, tangible assets and tangible book value per share are non-GAAP financial measures calculated using GAAP amounts. Tangible common equity is calculated by excluding the balance of goodwill and the core deposit intangible from the calculation of