Provident Financial Holdings, Inc. · NASDAQ:PROV
Provident Financial — Q2 FY2014 Earnings Presentation
17 slides from Provident Financial's earnings presentation, Jan 30, 2014
Slide 1: Second Quarter of Fiscal 2014
wi PROW/DENT 2. Provident Financial Holdings, Inc. Second Quarter of Fiscal 2014 December 31, 2013 provizenriis. ""wwamyprovident.com
Slide 2: Safe Harbor Statement
afe Harbor Statemen This presentation contains statements that the Corporation believes are “forward-looking statements.” These statements relate to the Corporation's financial condition, results of operations. plans, objectives, future performance or business. You should not place undue reliance on
Slide 3: Market Highlights
Market Highlights Provident Financial Holdings, Inc. Nasdaq GS: PROV Share Price: $15.00 52-Week Range: $14.12 - $19.69 Shares Outstanding: 9,851,765 shares Market Capitalization: $147.8 million P/E (ttm): 12.10x EPS (ttm): $1.24 Annual Dividend & Yield: $0.40 (2.67%) As of December 31, 2013
Slide 4: Franchise Overview
Franchise Overview Northern California: Provident Bank Provident Bank Mortgage ee ; sale Om 1S ex Grove, Livermore, Rosevile and San Rafael Full-Service Offices: yy Wholesale Offices: Biythe Pleasanton Canyon Crest, Riverside Rancho Cucamonga Corona Retail Offices: Corporate Offce, Riverside City of
Slide 5: Financial Performance
Financial Performance Highlights > Operating Expenses decreasesby 23% from the samequarterlast year > Het Income increases 6% (sequential quarter) > Diluted Earnings Per Share increases 14% (sequential quarter) Non-Interest Income (tons) s250 200 sis0 s100 $50 soo QIFYI3 G2FVI3O3FYISQAFYIS QIFYIA O2
Slide 6: Financial Performance
Financial Performance Pre-Provision, Pre-Tax Earnings Pre-Tax Income — Operating Segments (io tions) si40 120 s100 seo 360 sto s20 soo 44 20 PL — ‘GIFYIS G2FYIO GGFYIS GMFVIO GIFYI4 GZFVIA QIFVIS G2FYIS " OSFYIS GMFYIS QIFYIe aaFviA Co Bang aToAGaGS BATES Quarterly Net Income Diluted Earnings Per Sh
Slide 7: Financial Ratios
Financial Ratios Net Interest Margin Efficiency Ratio 325% 100.00% 90.00% — 8697% 200% 275% 250% 225% 2.00% QIFYIS G2FVIS | aRFYIS " GsFYIS” aIFYTA ” aaFVTE GiFviD azrvis asrvis owrvIs airyi4 a2Fvi6 Return on Average Assets Return on Average Equity GIFYI. G2FYI2 GDFYTS G4FYIg aIFYIA aZFYIA QIFYIS O2
Slide 8: Community Banking
Community Banking Highlights Loan to Investment Mix > Preferred Loans increase by $25.9 millon or 7% since June 30, 2013 $200 7 > Increase in Loans Originated for Investment > Third consecutive quarter of Preferred Loan growth > Core Depositsincrease by $5.7 milion since June 30,2013 200 $700 600 $5
Slide 9: Community Banking
Community Banking Loans Held for Investment Composition Loan Composition as of 12/31/13 [Single-Famay 3302762 324% S$ 422.457 3.69% Commercial ute Fam, zase00 s00% 2eta8o 881 anes Commercial asl Estate s6300 60% torazt eter commercial eal eonireton sate aa =e ~ cp | auut.ramiy omer a = 390 4.82%| ‘C
Slide 10: Community Banking
Community Banking Deposits and Borrowings tations) DeRON2 12S1N2 ONIN os OBIONS 129113 Transaction Recourls COs oBorowi Deposit Composition at 12/31/2013 26% gC Interest Beara, saCheding Aczobnts \pterest Searn: Senge AaeoUns ‘Money Market Accounts ‘Time Deposts Deposit Composition Checking Accounts
Slide 11: Asset Quality
Asset Quality Highlights > Hlon-Performing Assets dedine by 15% since June 30,2013, > Het Charge-Offs decline to $166,000 during the currentquarter > Hew REOs decline by 40%, to3 foreclosures for the current quarter > 30-89 Days Delinquent balance dedines to zero Provision (Recovery) for Loan Losses
Slide 12: Asset Quality
Asset Quality Allowance for Loan Losses (ALLL) (We Thousands) $25,000, $20,000, $18,000 10,000, $5,000 90112 Delinquent and Non-Performing Loans $16,628 $1495 ‘512,105 12B12 O3G13 "6103 o9G0/3 ste R13 Sgerary, Sa sizg7e esse eo 21a idem Die omen] CormersaPea Eso a 7 438 sc : a oT ALLLAllocation as o
Slide 13: Asset Quality
Asset Quality Geographic Location SiveFaniy Ce a a ad MuseFamiy Ce CC ee id CommerciResiesme s888 SIR REAM. + % 5380 100% Censneton 1m 10%, - me a er ed a TLC TT a ther than Inland Empire, Geographic Location 12/31/13 am 20% fainandEmpre Jasoutnem Caroma (1) later Caliomia [other States 253%, ‘Other
Slide 14: Asset Quality
Asset Quality ‘Single-Family (1) — Loans Held for Investment Multi-Family — Loans Held for Investment a “Seton ae al Road eal ead ae | ee alala]a]e a “ae = = =
Slide 15: Mortgage Banking
Mortgage Banking Highlights PBM Loan Originations (in ttons) > Loan Sale Margin increases by 20 basis points (sequential quarter) a > Purchase Volume remains high at S8% of Total Volume ‘ > Recourse Risk remains low $1,000 $800 $600 s400 $200 so QIFVIS G2FYIS GRFYI O4FYI GIFYIS OZFYIE (Casio ara] PB
Slide 16: Mortgage Banking
Mortgage Banking Gain on Sale of Loans Loan Sale Margin (We Thousands) — $25,000 sarx2oee 200% Tae 520,000 sae 150% $15,000 Heer 100% $10,000 050% $5000 0.00% wo GIFVIS G2FYIDGDFYIaa4FYIS OIFYIS O2FYIE CIFVIS O2FVIS OSEVIS OHEVIS. GIFYI4 O2FYIA (pan Sate tain Loon Sate Margin, Fuioding Recourse Pois
Slide 17: Capital Management
Capital Manageme Highlights Stockholders’ Equity » Strong Capital Ratios (nitions) > 2.67% Cash Dividend yield a Ce anh - Bank Capital Ratios Value Proposition veo soc oa book oat 22.50% anaes 20.00% 77 1.80x a us o “se 0.00% [aoe ae 020% aaa = = Be se NE ESE EGE SEN EEN EE Sse Cs = eS
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