Cnb Financial Corporation · NASDAQ:CCNE
Cnb Financial — Investor Presentation (April 2024)
22 slides from Cnb Financial's investor presentation, Apr 16, 2024
Slide 1: Investor Presentation April 2024
Exhibit 99.1 INVESTOR PRESENTATION April 2024 OUR FA MILY O F BANKS
Slide 2: Caution Regarding Forward Looking Statements
CERTAIN IMPORTANT INFORMATION CAUTION REGARDING 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 CNB’s fina
Slide 3: 2023 Highlights at a Glance
2023 HIGHLIGHTS AT A GLANCE § Net income available to common shareholders (“earnings”) was $53.7 million, or $2.55 per diluted share, for the twelve months ended December 31, 2023, compared to earnings of $58.9 million, or $3.26 per diluted share, for the twelve months ended December 31, 2022 § As p
Slide 4: Financial Trends
FINANCIAL TRENDS TOTAL GROSS LOANS ($M) TOTAL DEPOSITS ($M) CAGR = 12.7% CAGR = 12.4% $6,000 $5,000 $4,468 $4,275 $4,999 $4,716 $5,000 $4,622 $4,000 $3,635 $4,182 $3,372 $4,000 $2,804 $3,000 $3,102 $3,000 $2,000 $2,000 $1,000 $1,000 $0 $0 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 TOTAL ASSET
Slide 5: Earnings Power (1)
EARNINGS POWER (1) (1) RETURN ON AVERAGE ASSETS RETURN ON AVERAGE EQUITY 14.1% 1.40% 15.00% 13.9% 13.4% 1.20% 1.17% 1.14% 1.20% 1.04% 12.00% 10.5% 1.00% 9.1% 0.75% 9.00% 0.80% 0.60% 6.00% 0.40% 3.00% 0.20% 0.00% 0.00% 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 (1) DILUTED EARNINGS PER SHARE $
Slide 6: Earnings Power (2)
EARNINGS POWER (2) NET INTEREST MARGIN EFFICIENCY RATIO(1)(2) 3.90% 3.83% 3.82% 3.80% 80% 3.69% Efficiency Ratio Efficiency Ratio - Fully Tax Equiv. 3.70% 3.64% 3.63% 3.61% 3.60% 70% 65.94% 65.13% 3.50% 61.55% 61.32% 60.26% 65.10% 3.38% 64.45% 3.40% 3.35% 60% 3.34% 60.87% 59.76% 3.29% 60.19% 3.30% 3
Slide 7: Credit Quality
CREDIT QUALITY NONPERFORMING ASSETS TO TOTAL ASSETS NET CHARGE-OFFS TO LOANS 0.75% 0.50% 0.67% 0.62% 0.55% 0.50% 0.43% 0.38% 0.24% 0.25% 0.21% 0.25% 0.08% 0.08% 0.05% 0.00% 0.00% 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 (1) ALLOWANCE FOR CREDIT LOSSES TO NONACCRUAL LOANS 2.5 2.07 1.94 2.0 1
Slide 8: C&I and Commercial Mortgage Portfolio
C&I AND COMMERCIAL MORTGAGE PORTFOLIO § Well diversified and granular C&I portfolio with no single industry greater than 22% of total C&I portfolio § CNB has proven C&I underwriting practices and strong loan loss history § Commercial Mortgage portfolio is also well diversified with no single segment
Slide 9: Additional Commercial Mortgage Detail
ADDITIONAL COMMERCIAL MORTGAGE DETAIL (1) (1) (1) LODGING (12/31/23) OFFICE (12/31/23) MULTI-FAMILY (12/31/23) § Consists of 171 loans, totaling $268.8 § Consists of 118 loans, totaling $114.7 million, § Consists of 206 loans, totaling $214.1 million, or 6.02% of total loans or 2.57% of total loans
Slide 10: Capital
CAPITAL DIVIDEND PER COMMON SHARE PREFERRED STOCK DIVIDEND – FIXED RATE $0.75 10.0% $0.70 $0.70 $0.69 $0.70 9.0% $0.68 $0.68 $0.65 8.0% 7.125% 7.125% 7.125% 7.125% $0.60 7.0% $0.55 6.0% $0.50 5.0% 2019 2020 2021 2022 2023 2020 2021 2022 2023 (1) TANGIBLE COMMON EQUITY/TANGIBLE ASSETS BOOK VALUE PER
Slide 11: Regulatory Capital Ratios
REGULATORY CAPITAL RATIOS 16.1% 16.0% 14.9% 11.5% 11.4% 10.7% 10.5% 9.7% 8.2% Common Equity Tier 1 Ratio Tier 1 Leverage Ratio Total Risk Based Ratio Q4 2021 Q4 2022 Q4 2023 11
Slide 12: Dividend History
DIVIDEND HISTORY HISTORICAL DIVIDEND PER COMMON SHARE $0.80 $0.70 $0.60 $0.50 $0.40 $0.30 $0.20 $0.10 $0.00 Common Dividend Special Dividend 12
Slide 13: Financial Performance Summary Q1 2024
FINANCIAL PERFORMANCE SUMMARY Q1 2024 Three Months Ended QoQ % YoY % Dollars in thousands, except per share data 3/31/24 12/31/23 3/31/23 Change Change Total Assets $ 5,801,412 $ 5,752,957 $ 5,583,334 0.8 % 3.91 % Loans 4 ,431,398 4 ,468,476 4 - ,301,297 0.8%3.0% Deposits 5, 037,553 4 ,998,750 4 ,75
Slide 14: Liquidity Profile
LIQUIDITY PROFILE § At March 31, 2024, the total estimated uninsured deposits for CNB Bank were approximately $1.4 billion, or approximately 27.70% of total CNB Bank deposits. However, when excluding $101.1 million of affiliate company deposits and $437.9 million of pledged-investment collateralized
Slide 15: Looking into 2024
LOOKING INTO 2024 § CNB Bank plans to continue its expansion in State College, PA, with the opening of a second full-service branch in 2024. § BankOnBuffalo plans to open another full-service branch in the Buffalo area before the end of the year and is expanding its presence in the Rochester, NY mar
Slide 16: Bank on Wheels
BANK ON WHEELS § The first of its kind operated by any financial institution in Western New York, BankOnWheels is a full-service, yet fully mobile bank branch, has enabled the bank to deliver essential banking services to communities with little or no access to such services today. § The BankOnWheel
Slide 17: Parade Street
PARADE STREET § ERIEBank, a division of CNB Bank, is working with the East Side Renaissance team to help revitalize and redevelop a four-block corridor of Parade Street, in Erie, PA to better serve the needs of the community and draw more economic activity back to this neglected section of the city.
Slide 18: Thank You for Attending Our 2024 Annual Shareholder Meeting
THANK YOU FOR ATTENDING OUR 2024 ANNUAL SHAREHOLDER MEETING. 18
Slide 19: Appendix
APPENDIX
Slide 20: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Twelve Months Ended Three Months Ended 12/31/19 12/31/20 12/31/21 12/31/22 12/31/23 3/31/23 12/31/23 3/31/24 Interest Income $155,728 $167,167 $179,600 $213,738 $293,696 $66,640 $79,208 $77,905 LESS: Interest Expense 39,530 32,456 19,820 24,079 103,867 19,001 31,514 32,683 Ne
Slide 21: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Twelve Months Ended Three Months Ended 12/31/19 12/31/20 12/31/21 12/31/22 12/31/23 3/31/23 12/31/23 3/31/24 Dollars in thousands, except per share data Calculation of efficiency ratio: Non-interest expense $87,508 $107,326 $116,433 $137,622 $145,342 $33,990 $38,450 $37,424 N
Slide 22: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Twelve Months Ended Dollars in thousands, except per share data 12/31/19 12/31/20 12/31/21 12/31/22 12/31/23 Total stockholder's equity (GAAP) $304,966 $416,137 $442,847 $530,762 $571,247 LESS: preferred equity - 57,785 57,785 57,785 57,785 Common equity 304,966 358,352 385,0