ENB Financial Corp · OTC:ENBP
ENB Financial — Shareholder Meeting (May 2012)
39 slides from ENB Financial's shareholder meeting presentation, May 15, 2012
Slide 1: ENB Financial Corp Annual Meeting May 15, 2012
ENB Financial Corp ANNUAL MEETING | MAY 15,2012
Slide 2: Agenda
AGENDA • Welcome • Reading of the Minutes • Certify Voting Activity • Vote on Matters of the Proxy Statement • Discussion of Condition of Company President’s Remarks Financial Review Retail Environment • Questions & Answers • Vote Results • Adjournment
Slide 3: Presenters
PRESENTERS • Aaron L. Groff, Jr. President, CEO and Board Chairman – ENB Financial Corp and Ephrata National Bank • Paul W. Wenger Vice President and Corporate Secretary – ENB Financial Corp Senior Vice President and Cashier – Ephrata National Bank • Scott E. Lied Treasurer – ENB Financial C
Slide 4: Election Certification
ELECTION CERTIFICATION Presented by: Paul W. Wenger Corporate Secretary - ENB Financial Corp
Slide 5: Matters of Proxy
MATTERS OF PROXY • Elect three (3) Class B directors to serve a three-year term • Approve and adopt an amendment to Article 11 of the Corporation’s Articles of Incorporation • Approve and adopt the ENB Financial Corp 2011 Employee Stock Purchase Plan
Slide 6: Current Directors
CURRENT DIRECTORS Class B Election (3 Year Term) Willis R. Lefever Judith A. Weaver Donald Z. Musser Continuing Directors – Class A Aaron L. Groff, Jr. Paul M. Zimmerman, Jr. J. Harold Summers Thomas H. Zinn Continuing Directors – Class C Susan Y. Nicholas Paul W. Wenger Mark C. Wagner
Slide 7: Voting Process
VOTING PROCESS Presented by: Paul W. Wenger Corporate Secretary - ENB Financial Corp
Slide 8: Voting Process
VOTING PROCESS Proxy Holders Judges of Election • Janice S. Eaby • Richard H. Binner • John H. Shuey • Roger S. Kline • William M. Rohrbach
Slide 9: President's Remarks
PRESIDENT’S REMARKS Presented by: Aaron L. Groff, Jr. President/CEO - ENB Financial Corp
Slide 10: Enriching the Fabric of Our Community
ENRICHING THE FABRIC OF OUR COMMUNITY
Slide 11: Mission Statement
MISSION STATEMENT To remain an independent community bank of undisputed integrity, serving the communities of Northern Lancaster County and beyond. To offer state-of-the-art financial products and services of high quality and value at an affordable price. To provide unsurpassed personal servic
Slide 12: We Care
WE CARE • Courteous • Accurate • Responsive • Empowered
Slide 13: 2011 Highlights
2011 HIGHLIGHTS • Growth • Market share • Local market dynamics • Main office renovations • Customer survey Convenience of local bank with good customer service
Slide 14: Importance of Branches
IMPORTANCE OF BRANCHES Top 5 unaided responses to the question “Why did you select your primary financial institution?” Non-ENB Customers ENB Customers 1 Branch Locations 13.1% 1 Customer service/personal 29.1% 2 Local bank 13.1% attention/friendly 3 Where my family 12.7% 2 Local bank 26.2% banks/hi
Slide 15: Financial Condition
FINANCIAL CONDITION Presented by: Scott E. Lied Treasurer - ENB Financial Corp
Slide 16: Disclosures
DISCLOSURES • Unaudited Financial Information Some of the following slides do present financial information that is unaudited. Therefore, this information is subject to adjustments that could be necessary upon completion of the annual audit. • Forward Looking Statements Some of the material and/
Slide 17: Net Income
NET INCOME 8,000 7,148 6,345 Dollars in thousands 6,000 5,063 4,300 4,014 4,000 2,000 0 2007 2008 2009 2010 2011
Slide 18: Significant Items
SIGNIFICANT ITEMS Annual Annual $ Income Impact % Change Net Interest Income 780,000 3.5 Gains/Loss on Securities 528,000 54.3 Loan Loss Provision 225,000 12.5 Student Loan Portfolio (263,000) NA Loss Operating Expense (103,000) 0.5 Total Income Impact 1,167,000
Slide 19: Net Interest Income
NET INTEREST INCOME 24 23.0 23 22.2 Dollars in millions 22 21.0 21 20.1 20 19.1 19 18 17 16 15 14 2007 2008 2009 2010 2011
Slide 20: Security Gains & Losses
SECURITY GAINS & LOSSES 1,500 1,500 Dollars in thousands 1,000 972 500 157 175 0 -500 (506) -1,000 2007 2008 2009 2010 2011
Slide 21: Annual Provision for Loan Losses
ANNUAL PROVISION FOR LOAN LOSSES 3,000 2,920 2,500 Dollars in thousands 2,000 1,800 1,575 1,500 1,446 1,276 1,000 669 500 0 2006 2007 2008 2009 2010 2011
Slide 22: Performance Ratios
PERFORMANCE RATIOS 2011 2010 Return on Average Assets 0.95% 0.85% Return on Average Equity 9.22% 8.62% Average Equity Ratio 10.26% 9.85% Net Interest Margin 3.56% 3.50% Efficiency Ratio 65.36% 65.68%
Slide 23: Per Share Data
PER SHARE DATA 2011 2010 Earnings Per Share $2.50 $2.23 Dividends Per Share $0.96 $0.96 Dividend Payout Ratio 38.40% 43.05%
Slide 24: Year Dividend Comparison
5 YEAR DIVIDEND COMPARISON 1.25 4.52% Annual Dividend in Dollars 1.00 ENB 0.75 Fulton Susq 0.50 Vist 3.31% 0.25 2.45% 1.43% 0.00 2007 2008 2009 2010 2011
Slide 25: Stock Price
STOCK PRICE 35.00 30.00 Stock Price in Dollars 25.00 20.00 ENBP 15.00 FULT 10.00 SUSQ 5.00 VIST 0.00 |
Slide 26: Peer Analysis - Performance
PEER ANALYSIS - PERFORMANCE* Measurement ENB PA Peer Group** Return on Assets 0.95 0.89 Return on Equity 9.2 8.8 Equity Capital Assets 10.7 9.6 Non-Performing Assets/ 0.24 1.48 Total Assets Net Charge Off Loans 0.05 0.24 * As of December 31, 2011 ** Boenning & Scattergood, Inc. publically traded PA
Slide 27: Peer Analysis - Stock Ratios
PEER ANALYSIS – STOCK RATIOS* Measurement ENB PA Peer Group** Price to Book 0.79 0.92 Price to Earnings 9.1 10.9 Dividend Yield 4.52 3.08 * As of December 31, 2011 ** Boenning & Scattergood, Inc. publically traded PA bank peer group.
Slide 28: Average Assets
AVERAGE ASSETS 900 Dollars in millions 800 747 756 713 700 668 619 600 500 2007 2008 2009 2010 2011
Slide 29: Average Loans
AVERAGE LOANS 429 430 420 Dollars in millions 415 410 391 390 377 370 350 2007 2008 2009 2010 2011
Slide 30: First Quarter Results
FIRST QUARTER RESULTS • Q1 2012 Earnings: $2,189,000 versus $1,697,000 (Q1 2011) • 29% increase over Q1 2011 Performance Ratios: • Return on Average Assets 1.15% • Return on Average Equity 10.57% Assets: $769 million versus $756 million (3/31/11) • 1.7% increase over prior year period
Slide 31: Retail Overview
RETAIL OVERVIEW Presented by: Mary E. Leaman Vice President and Sr. Retail Officer – Ephrata National Bank
Slide 32: ENB Branch Locations
ENB BRANCH LOCATIONS Denver Cloister Ephrata Hinkletown Manheim Akron Blue Ball Lititz
Slide 33: ENB Branch Deposit Summary
ENB BRANCH DEPOSIT SUMMARY Ending Deposit Balances 700 600 Manheim Dollars in millions 500 Blue Ball 400 Lititz Akron 300 Denver 200 Hinkletown Cloister 100 Main 0 2009 2010 2011
Slide 34: ENB Branch Loan Summary
ENB BRANCH LOAN SUMMARY* Ending Loan Balances 450 400 350 Dollars in millions Manheim 300 Blue Ball 250 Lititz 200 Akron Denver 150 Hinkletown 100 Cloister 50 Main 0 2009 2010 2011 * Net of Student Loans
Slide 35: Peer Analysis - Average Branch Deposit Size
PEER ANALYSIS – AVERAGE BRANCH DEPOSIT SIZE* Ephrata Newtown Jersey Shore Mid Somerset Downingtown Penn Established 1881 1864 1934 1868 1889 1861 Asset Size*** $755 $774 $745 $687 $672 $630 Branches** 8 14 11 13 13 11 County 1 1 3 4 3 2 Footprint Deposits*** $594 $673 $573 $606 $593 $519 Branch Depo
Slide 36: Enriching the Fabric of Our Community
ENRICHING THE FABRIC OF OUR COMMUNITY
Slide 37: Questions & Answers
QUESTIONS & ANSWERS
Slide 38: Voting Results
VOTING RESULTS Presented by: Paul W. Wenger Corporate Secretary - ENB Financial Corp
Slide 39: Adjournment
ADJOURNMENT • Mission Statement: To remain an independent community bank of undisputed integrity, serving the communities of Northern Lancaster County and beyond. To offer state-of-the-art financial products and services of high quality and value at an affordable price. To provide unsurpassed