Citizens & Northern Corp · NASDAQ:CZNC
Citizens & Northern — Shareholder Meeting (April 2016)
23 slides from Citizens & Northern's shareholder meeting presentation, Apr 21, 2016
Slide 1: 2016 Annual Shareholders' Meeting
Living our values every day 2016 ANNUAL SHAREHOLDERS’ MEETING Thursday, April 21, 2016 Deane Center for the Performing Arts Grand Community Room Committed to our shareholders, our local families and businesses, our employees and our communities
Slide 2: Financial Review: End of Period and Average Balances
Living our values every day FINANCIAL REVIEW END OF PERIOD BALANCES (in thousands) 2015 2014 2013 Available - for - sale securities $420,290 $516,807 $482,658 Gross loans 704,880 630,545 644,303 Allowance for loan losses 7,889 7,336 8,663 Total assets 1,223,417 1,241,963 1,237,695 Deposits 935,615 9
Slide 3: Financial Review: Income Statement
Living our values every day FINANCIAL REVIEW INCOME STATEMENT (in thousands) As of or for the Year Ended December 31 2015 2014 2013 Net interest income $39,917 $40,887 $43,149 Provision for loan losses 845 476 2,047 Net interest income after provision for loan losses 39,072 40,411 41,102 Noninterest
Slide 4: Financial Review: Per Common Share
Living our values every day FINANCIAL REVIEW PER COMMON SHARE: 2015 2014 2013 Basic earnings per share $1.35 $1.38 $1.51 Diluted earnings per share $1.35 $1.38 $1.50 Cash dividends declared per share $1.04 $1.04 $1.00 Book value per common share at period - end $15.39 $15.34 $14.49 Tangible book val
Slide 5: Financial Review: Key Ratios
Living our values every day FINANCIAL REVIEW KEY RATIOS 2015 2014 2013 Return on average assets 1.32% 1.38% 1.50% Return on average equity 8.72% 9.21% 10.25% Average equity to average assets 15.19% 14.96% 14.66% Net interest margin¹ 3.69% 3.80% 4.05% Efficiency² 56.60% 57.59% 53.27% Cash dividends a
Slide 6: Financial Review: Peer Group Comparison
Living our values every day FINANCIAL REVIEW 2015 2014 C&N Peer Group Average C&N Percentile within Peer Group C&N Percentile within Peer Group Earnings and Profitability Percent of Average Assets: Net interest income - fully taxable equivalent 3.46 3.33 60 65 Non - interest income 1.25 0.93 74 76 O
Slide 7: CEO Comments
Living our values every day CEO COMMENTS Brad Scovill President & Chief Executive Officer teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 8: Mission
Living our values every day MISSION Creating value through lifelong relationships with: as their resource for customized financial solutions, expertise and partnership. • Shareholders • Customers • Employees • Community teamwork excellence respect responsibility and accountability integrity client -
Slide 9: Vision
Living our values every day VISION Every customer says “C&N is the ONLY bank I need.” teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 10: Values
Living our values every day VALUES • Teamwork • Excellence • Respect • Responsibility and Accountability • Integrity • Client - Focus • Fun teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 11: Strong Foundation
Living our values every day STRONG FOUNDATION • History • Revenue Mix • Efficiency • Capital • Scale • Risk Profile teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 12: 2015 Focus
Living our values every day 2015 FOCUS • Current markets – penetration • Pace to business development • Capacity in key business lines • Delivery channels • Talent teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 13: Challenging Environment
Living our values every day CHALLENGING ENVIRONMENT • Economy • Interest Rates • Regulators • Technology • Talent teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 14: Strategic Goals
Living our values every day STRATEGIC GOALS • Leveraging capital to drive ROE • Grow Banking & Wealth assets • Sustainable risk profile • Employer of choice • Every customer says “C&N is the ONLY bank I need.” teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 15: 2016 Focus
Living our values every day 2016 FOCUS • Robust Sales & Relationship Management • Develop talent – at all levels • Technology • Strategic Risk Management teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 16: Growth
Living our values every day GROWTH • Long - term need to leverage capital • Revenue is the key • Existing markets first • Partnerships & Participations • New markets and acquisitions teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 17: Shareholder Value
Living our values every day SHAREHOLDER VALUE • Valuation • Attractive Dividend • Share repurchase • Investor Relations teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 18: Shareholder Value: Performance Graph
Living our values every day SHAREHOLDER VALUE * *See Appendix A for additional information related to this performance graph teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 19: Shareholder Value: EPS, Price, Dividend Yield
Living our values every day SHAREHOLDER VALUE Earnings per Share - Diluted Year - end Stock Price Year - end Price/Earnings Ratio Annual Dividends per Share Annual Dividend Yield ¹ 2010 $1.45 $14.86 10.2 $0.39 2.62% 2011 $1.92 $18.47 9.6 $0.58 3.14% 2012 $1.85 $18.90 10.2 $0.84 4.44% 2013 $1.50 $20.
Slide 20: Shareholder Value: Quarterly Cash Dividend
Living our values every day SHAREHOLDER VALUE Announcement: CZNC Quarterly Cash Dividend • Amount: $0.26 per share • Payable Date: May 13, 2016 • Record Date: May 2, 2016 teamwork excellence respect responsibility and accountability integrity client - focus fun
Slide 21: Shareholder Value: 2014 Stock Repurchase Program
Living our values every day SHAREHOLDER VALUE 2014 Stock Repurchase Program • Originally authorized by the Board - July 17, 2014 • Recently completed - final purchases in April 2016 • Total shares acquired - 622,500 (5%) • Total cost of shares acquired - $12.14 million • Average price of shares acqu
Slide 22: Shareholder Value: 2016 Share Repurchase Program
Living our values every day SHAREHOLDER VALUE Announcement: 2016 Share Repurchase Program • New program authorized by the Board today (April 21, 2016) • Total shares authorized - 600,000 shares, or 4.98% of shares outstanding as of April 19, 2016 • Purchases may be made from time to time in the open
Slide 23: Appendix A
Living our values every day Appendix A teamwork excellence respect responsibility and accountability integrity client - focus fun
Citizens & Northern — Shareholder Meeting (April 2016) on 6ix