Provident Financial Holdings, Inc. · NASDAQ:PROV
Provident Financial — Q2 FY2012 Earnings Presentation
17 slides from Provident Financial's earnings presentation, Jan 31, 2012
Slide 1: Provident Financial Holdings, Inc. Second Quarter of Fiscal 2012
vi PROV/DENT 23. Provident Financial Holdings, Inc. Second Quarter of Fiscal 2012 December 31, 2011 WwWw.myprovident.com
Slide 2: Safe Harbor Statement
fe Harbor Statemen This presentation contains statements that the Company believes ate “forward-looking statements." These statements relate to the Company's financial condition, results of operations, plans, objectives, future performance ar business. You should not place undue reliance on these st
Slide 3: Market Highlights
Market Highlights Provident Financial Holdings, Inc. Nasdaq GS: PROV Share Price: $9.32 52-Week Range: $6.90 - $9.47 Shares Outstanding: 11,175,761 shares Market Capitalization: $104.2 million P/E (ttm): 12.59x EPS (ttm): $0.74 Annual Dividend & Yield: $0.12 (1.29%) As of December 31, 2011 ROVIDENT
Slide 4: Franchise Overview
Franchise Overview +> Pleasanton, Northern California Provident Bank Provident Bank Mortgage +p Roseville: Northern California Full-Service Offices: Yr Wholesale Offices: Blythe Pleasanton Canyon Crest, Riverside Rancho Cucarnanga San Luis Obispo Corona Retail Offices: + Corporate Office, Riverside
Slide 5: Financial Performance
Financial Performance Highlights Net Interest Income > Non-Performing Assets dedine by38% Sa > Net Charge-Offs dedine by 9% > Core Deposits (Transaction Accounts) increase by 6% crs > Net Interest Margin increases by23 basis points (sequential quarter) ws sie9 ar ZB 22 ae 0 eo wo wo Non-Interest Inc
Slide 6: Financial Performance
Financial Performance Pre-Provision, Pre-Tax Earnings Pre-Tax Income—Operating Segments wo ws #0 wo | | 550 3 | sus 7 wa | eo a sean Tosa een Quarterly Net Income Diluted Earnings Per Share namin a a ue ne | | : wa | ] | ; ff if ] Ber 12 12 a ao 3m bei bart rit
Slide 7: Financial Ratios
Financial Ratios Net Interest Margin Efficiency Ratio Return on Average Assets Return on Average Equity
Slide 8: Community Banking
Community Banking Highlights > Core Deposits (Transaction Accounts) increase by 6% > Average Deposit Costs decrease by 20 basis points > Borrowings decrease due to maturities > Average BorrowingCosts decrease by 34 basis points > Loan Originations and Purchases increase Loan Portfolio Mix Loan to In
Slide 9: Community Banking
Community Banking Loans Held for Investment Composition Loan Composition as of 12/31/11 Commercial buriness o% Other Sinle-tamily 3 485606 300% 8 s31806 45%%6| om Consumer Iu-tamity 208285 584% e20270 813% ow Jcommercial real estate eore 6.84% 105720 886% Commercial eal estate constuction = 0.00% 40
Slide 10: Community Banking
Community Bankini Deposits and Borrowings Deposit Composition sioce. [Checking accounts-noninterestieering $51,785 -% «© A5475—-% [checking accounts-irterest-teaing 19683 026% 18508 0.3% = [Savings accounts 2iagis 036% — maggHa 0. soe. IMoney market accaurts O75 osm 324182 ee si Lime deposits 455.25
Slide 11: Highlights NPA, NPA to Total Assets and ALLL to LHI Ratios
Highlights NPA, NPAto Total Assets and ALLL to LHI Ratios > Non-Performing Assets dedine by 38% > Delinquent Loans decline by 68% > Net Charge-Offs dedine by 9% aR] Provision for Loan Losses Non-Performing Asset Composition m00 seas Ls eS
Slide 12: Asset Quality
Asset Quality Allowance for Loan Losses (ALLL) ALLL Allocation as of 12/31/11 im Delinquent and Non-Performing Loans IMongage Loans: Siige-tariy © 30% 8 Sune 19 ga2IT 8B eR atta 3 2886 4 6m (Commer ea estate 2 Tee 6 lime Canstucon 1 ‘a0 Other 1 tam 1 zo lconmercl busines loans re ae a6 IGansumer Lan
Slide 13: Asset Quality
Asset Quality Geographic Location Single-Family $142,197 31% «= §282575 5% $65.655 14% $4179 1% $465 605 Multi-Family 33659 11% 210422 71% 50,760 17% 3544 1% 298,286 100% Commercial RealEstate 47,457 48% ABBIS 49% 1855 2% 1587 1% 99,718 100% Other loans 1528 100% : 0% 2 0% = 0% 1528 100% Total $224
Slide 14: Asset Quality
Asset Quality Single-Family (1%) — Loans Held for Investment Multi-Family — Loans Held for Investment ssc [esr eana mr ran ts fess Commercial RE - Loans Held for Investment PROVIDENT
Slide 15: Mortgage Banking
Mortgage Banking Highlights PBM Loan Originations > Loans Originated for Sale increase by 11% (sequential quarter) > Locked Pipeline fueled byhistoricallylow mortgage rates > Loan Sale Margin at the low endof therange > Stable Recourse Reserve with small Recourse Provision PBM Locked Pipeline PBM Lo
Slide 16: Mortgage Banking
Mortgage Banking Gain on Sale of Loans ‘0000 ce 000 sw.0c0 waco wa Recourse Provision (Recovery) Loan Sale Margin Recourse Reserve ei a sm es sm: ea i 4 im | | _o suo wa sence ROVIDENT ta
Slide 17: Capital Management
al Managemen Highlights Stockholders’ Equity od > Steady increase in Stockholders’ Equity > Strong CapitalRatios >» Stock Price remains below Tangble Book¥alue we a0 0 se ico Bank Capital Ratios Value Proposition sno Stock Priceto Tangible Book Value Multiple face cap Ram was | eas [eres [assy [rose
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