Bankunited, Inc. · NYSE:BKU
Bankunited — Q1 2025 Earnings Presentation
26 slides from Bankunited's earnings presentation, Apr 28, 2025
Slide 1: Q1 2025 – Supplemental Information
Q1 2025 – Supplemental Information April 28, 2025 1
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect the current views of BankUnited, Inc. (“BankUnited,” “BKU” or the “Company”) with respect to, among other things, future events and
Slide 3: Quarterly Highlights
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Slide 4: Near-term Strategic Priorities Scorecard
Near-term Strategic Priorities Scorecard • Non-brokered deposits grew by $719 million • NIDDA grew by 6% or $453 million 1 Improve Funding Profile • NIDDA at 29% of total deposits, up from 27% at 12/31/24 • Wholesale funding down $1.1 billion • Core C&I and CRE loans, impacted by seasonality, declin
Slide 5: Highlights from First Quarter Earnings
Highlights from First Quarter Earnings Change From ($ in millions, except per share data) Q1’25 Q4’24 Q1’24 Q4’24 Q1’24 Key Highlights Net Interest Income $233 $239 $215 ($6) $18 Provision for Credit Losses $15 $11 $15 $4 $— Total Non-interest Income $22 $25 $27 ($3) ($5) Q4 2024 included $2.5mm of
Slide 6: Deposits
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Slide 7: Deposit Trends
Deposit Trends ($ in millions) $29,438 $27,496 $27,509 $27,866 $28,058 $26,538 $7,009 $8,976 $7,616 $8,038 $6,835 $8,069 $3,020 $3,709 $2,142 $3,403 $4,893 $4,776 Non-interest Demand Interest Demand Money Market / Savings $12,660 $13,061 $11,136 $13,369 $11,056 $10,789 Time $4,807 $3,384 $4,268 $5,1
Slide 8: Cost of Funds Trend
Cost of Funds Trend Spot Average Annual Percentage Yield At December At December At December At December At December 31, At March 31, (“APY”) 31, 2020 31, 2021 31, 2022 31, 2023 2024 2025 Total non-maturity deposits 0.29% 0.14% 1.83% 2.87% 2.37% 2.25% Total interest-bearing deposits 0.48% 0.23% 2.66
Slide 9: Loans and the Allowance for Credit Losses
Loans and the Allowance for Credit Losses 9
Slide 10: Prudently Underwritten and Well-Diversified Loan Portfolio
Prudently Underwritten and Well-Diversified Loan Portfolio At March 31, 2025 ($ in millions) Loan Portfolio Over Time $24,886 $24,634 $24,298 $23,990 $23,866 $23,765 $1,455 $1,266 $935 $854 $525 $433 $586 $1,868 $580 $2,915 $1,092 $1,259 $8,305 $8,907 $8,982 $8,885 $6,735 $6,448 Other (1) Mortgage W
Slide 11: High Quality CRE Portfolio
High Quality CRE Portfolio At March 31, 2025 ($ in millions) % of Total Wtd. Avg. Wtd. Avg. Property Type Balance CRE FL NY Tri State Other DSCR LTV Office $ 1,717 28 % 57 % 23 % 20 % 1.58 64.5 % Warehouse/Industrial 1,305 21 % 52 % 8% 40 % 1.81 46.5 % Multifamily 822 13 % 52 % 48 % —% 2.01 49.8 % R
Slide 12: Manageable CRE Maturity Risk
Manageable CRE Maturity Risk At March 31, 2025 ($ in millions) 14% of total CRE portfolio fixed and maturing in the next 12 months Fixed Rate to Fixed Rate or Borrower Swapped Maturing in Next Maturing in the % Maturing in the Maturing in the 12 mos. as a % of Property Type Next 12 Months Next 12 Mo
Slide 13: CRE Peer Benchmarking
CRE Peer Benchmarking CRE / Total Loans(1)(2) CRE / Total Risk Based Capital(1)(2) 40% 250% 218% 35% 34% 33% 203% 200% 30% 173% 26% 25% 150% Peer Median 20% Peer Mean BankUnited, N.A 100% 15% 10% 50% 5% —% —% 1. BKU information as of March 31, 2025 2. CRE peer median information based on December 31
Slide 14: CRE Office Portfolio - Additional Information
CRE Office Portfolio - Additional Information At March 31, 2025 NY Tri-State by Sub-Market 4% 1% • 20% or $347 million of the total office portfolio is medical office 13% Manhattan • Rent rollover in next 12 months Long Island 42% NY Tri-State Other approximately 9% of the total office 19% Queens po
Slide 15: Granular, Diversified Commercial & Industrial Portfolio
Granular, Diversified Commercial & Industrial Portfolio At March 31, 2025 ($ in millions) Geographic Distribution Industry Balance(1) % of Portfolio Finance and Insurance $ 1,458 16.4 % Health Care and Social Assistance 801 9.0 % Manufacturing 795 9.0 % Utilities 792 8.9 % Wholesale Trade 651 7.3 %
Slide 16: Drivers of Change in the ACL - Current Quarter
Drivers of Change in the ACL - Current Quarter ($ in millions) Risk Rating Assumption Migration and Change in Portfolio and Specific Economic Qualitative Changes Modeling Net Charge- Reserves Forecast Overlay and Other Updates Offs $8.1 $13.4 $0.5 $223.2 $(1.4) $219.7 $(4.7) • Current • Primarily •
Slide 17: Allocation of the ACL
Allocation of the ACL ($ in millions) December 31, 2024 March 31, 2025 Balance % of Loans Balance % of Loans Commercial: Commercial real estate $ 70.5 1.13 % $ 65.6 1.06 % Commercial and industrial 138.0 1.54 % 136.6 1.54 % Franchise and equipment finance 2.3 1.12 % 1.6 0.96 % Total commercial 210.8
Slide 18: Asset Quality Metrics
Asset Quality Metrics Non-Performing Loans to Total Loans Non-Performing Assets to Total Assets Incl. guaranteed portion of non-accrual SBA loans Incl. guaranteed portion of non-accrual SBA loans Excl. guaranteed portion of non-accrual SBA loans Excl. guaranteed portion of non-accrual SBA loans 1.25
Slide 19: Non-Performing Loans by Portfolio Segment
Non-Performing Loans by Portfolio Segment ($ in millions) $260 $251 $3 $244 $4 $33 $16 $34 $6 $206 $6 $51 $10 $46 $105 Non-Guaranteed Portion of SBA $97 $45 Guaranteed Portion of SBA Franchise and Equipment $33 $127 C&I $6 CRE $43 $105 Residential and Other Consumer $9 $42 $58 $40 $83 $24 $86 $60 $1
Slide 20: Criticized and Classified Loans
Criticized and Classified Loans ($ in millions) Commercial Real Estate(1) $1,000 $900 $800 $700 $600 $500 $400 Special Mention $300 Substandard Accruing $200 Substandard Non-accruing and Doubtful $100 $— / 20 / 21 0 22 / 23 / 24 / 25 / 31 / 31 /2 / 31 / 31 / 31 12 12 / 31 12 12 03 12 Commercial(1)(2
Slide 21: Criticized and Classified CRE Loans by Property Type
Criticized and Classified CRE Loans by Property Type ($ in millions) March 31, 2025 $3 $15 Multifamily Hotel $107 $176 Industrial/ $17 Warehouse Construction and land category includes Retail $60 million of office exposure at 3/31/2025 $47 Office $354 $94 Construction & Land Other SBA December 31, 2
Slide 22: Asset Quality - Delinquencies
Asset Quality - Delinquencies ($ in millions) Commercial(1) CRE $100 $100 $80 $80 $60 $60 $40 $40 $20 $20 $— $— 20 21 22 23 24 25 20 21 22 23 24 25 3 1/ 3 1/ 3 1/ 3 1/ 3 1/ 3 1/ 3 1/ 3 1/ 3 1/ 3 1/ 3 1/ 3 1/ 1 2/ 1 2/ 1 2/ 1 2/ 1 2/ 0 3/ 1 2/ 1 2/ 1 2/ 1 2/ 1 2/ 0 3/ Residential(2) $100 $80 $60 30-5
Slide 23: Residential Portfolio Overview
Residential Portfolio Overview At March 31, 2025 Residential Loan Product Type FICO Distribution(1) <720 or NA 11% Formerly Govt Covered Insured 1% 14% 30 Yr Fixed High quality 34% residential 5/1 & 7/1 ARM 720-759 14% portfolio consists 27% primarily of high 10/1 >759 FICO, low LTV, ARM 12% 15 & 20
Slide 24: Investment Portfolio
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Slide 25: High Quality, Short-Duration Securities Portfolio
High Quality, Short-Duration Securities Portfolio ($ in millions) • No expected credit losses on AFS securities • Unrealized losses just 4% of amortized cost • AFS portfolio duration of 1.78; approximately 70% of the portfolio floating rate December 31, 2024 March 31, 2025 Net Unrealized Net Unreali
Slide 26: High Quality, Short-Duration Securities Portfolio
High Quality, Short-Duration Securities Portfolio At March 31, 2025 Strong credit enhancement levels - no SASB(1) exposure A NR Private Label RMBS AA 1% 3% 5% Subordination Wtd. Avg. Stress Scenario Rating Min Max Avg. Loss AAA 2.9 95.5 17.9 2.1 AA 21.4 41.0 29.5 6.5 AAA A 21.3 21.3 21.3 10.4 91% NR