Trico Bancshares · NASDAQ:TCBK
Trico Bancshares — Piper Jaffray Western Bank Symposium 2019
32 slides from Trico Bancshares's conference presentation, Nov 6, 2019
Slide 1: Piper Jaffray Western Bank Symposium
Piper Jaffray Western Bank Symposium Santa Monica, CA Richard P. Smith – President & Chief Executive Officer John S. Fleshood – EVP & Chief Operating Officer November 2019 Exhibit 99.1
Slide 2: Safe harbor statement
Safe harbor statement The statements contained herein that are not historical facts are forward-looking statements based on management's current expectations and beliefs concerning future developments and their potential effects on the Company. Such statements involve inherent risks and uncertaintie
Slide 3: Agenda
agenda Most Recent Quarter Recap Company Overview Lending Overview Deposit Overview Financials
Slide 4: Most recent quarter highlights
Most recent quarter highlights Earnings Consistency Q3 2019 return on average assets of 1.44% versus 1.05% in Q2 2018 and 1.45% in the linked quarter. Average yield on earning assets of 4.72% in Q3 2019 compared to 4.57% in Q3 2018 and 4.76% in the linked quarter. Industry Leading Net Interest Margi
Slide 5: Company Overview
Piper Jaffray V Bank S COMPANY OVERVIEW ® trico bancshares 5 November 2019
Slide 6: Company overview
COMPANY overview Asset Size:$6.4 Billion Founded:1975 Deposits:$5.3 Billion Loans (net):$4.2 Billion Bank Branches:79 ATMs:99 Market Area: TriCo currently serves 29 counties throughout Northern and Central California. These counties represent over 30% of California’s population.
Slide 7: Company overview
COMPANY overview Nasdaq:TCBK Stock Price*:$37.88 Market Capitalization:$1.16 billion Price to Book stated:1.3x Price to TBVPS1.8x Rank (Total Assets) among CA Publicly Traded Banks:12 (Source: SNL Financial) _________________________________________________________________________ *as of 10/29/2019
Slide 8: Executive Team
Executive Team Rick Smith President & CEO TriCo since 1993 John Fleshood EVP Chief Operating Officer TriCo since 2016 Dan Bailey EVP Chief Retail Banking Officer TriCo since 2007 Craig Carney EVP Chief Credit Officer TriCo since 1996 Peter Wiese EVP Chief Financial Officer TriCo since 2018
Slide 9: Consistent earnings track record
Consistent earnings track record * * Impact of the Tax Cut and Jobs Act.
Slide 10: Diluted earnings per share
DILUTED EARNINGS PER SHARE 2013 Caen | $0.53 $0.50 y | Eater $0.65 $0.30 $0.41 2014 2016 2017 2018 Q3 2019 mQi mQ2 =Q3 BQ4 trico bancshares
Slide 11: Consistent organic growth and disciplined acquirer
*Total Assets for years ending 2000-2018. Consistent Organic growth and disciplineD acquirer CAGR 5 yrs.18.3% 10 yrs.12.0%
Slide 12: What keeps us up at night?
Aggressive and Irrational Competitors Duration of Flat and Inverted Yield Curves The Cost of Regulatory Compliance Technology Costs and Limited Vendor Competition Domestic Policy and International Relationships What keeps us up at night?
Slide 13: Loans
Piper Jaffray Western Bank Symposium LOANS ® trico bancshares 13 November 2019
Slide 14: Consistent loan growth
CONSISTENT LOAN GROWTH *Note: Q3 2018 includes acquisition of FNB Bancorp (Loan Yield was 5.04%)
Slide 15: Loan portfolio mix
Loan portfolio MIX: *Excluding loans held-for-sale
Slide 16: Diversified CRE & construction portfolio
Diversified cre & construction portfolio Property Type Loan Size Avg. Loan Amount Hospitality $2,456,000 Mini Storage $1,686,000 Multifamily Residence $1,229,000 Gas Station/Convenience $921,000 Retail Building $843,000 Office Building $809,000 Warehouse $713,000 Light Industrial $583,000 Commercial
Slide 17: Conservative construction and CRE underwriting culture – LTV distribution
CONSERVATIVE Construction and CRE UNDERWRITING CULTURE – Ltv distribution Loan to Value Avg. Loan Amount <50% $841,627 51%-60% $637,704 61%-65% $452,326 66%-70% $406,401 71%-75% $324,511 76%-80% $92,753 81%-90% $39,420 >90% $15,480
Slide 18: Diversified geography – CRE & Construction
Diversified geography – CRE & Construction
Slide 19: Non-performing assets & net charge offs
non-performing assets & NET charge offs 2015 > > > > < > < < < > > > < < 2014 2015 2016 2017 2018 Q1 Q2 Q3 2019 2019 2019 < <
Slide 20: Home equity loans outstanding
Home equity loans outstanding
Slide 21: Deposits
Piper Jaffray V Bank Sym DEPOSITS ® trico bancshares 21 November 2019
Slide 22: Consistent and balanced core deposit funding
Consistent and balanced core deposit funding* *Weighted average costs of deposits for the quarter ended 9/30/2019 Wtd.Avg. Rate - 1.39% Wtd.Avg. Rate - 0.09%
Slide 23: Market share of all branches sorted by zip code
Market share of all branches sorted by zip code Source: FDIC Summary of Deposits, June 2019 Rank Institution Name State (Hdqtrd) Charter Deposits ($000) Market Share 1 Wells Fargo Bank, N.A. SD Federal $ 35,520,322 27.7% 2 Bank of America NC Federal $ 11,585,002 9.0% 3 U.S. Bank, N.A. OH Federal $ 1
Slide 24: Consistent deposit growth – attractive cost
CONSISTENT DEPOSIT GROWTH – ATTRACTIVE COST *Note: Q3 2018 includes acquisition of FNB Bancorp (Deposit cost of 0.28%) CAGR – TO 12/31/2018 5 yrs.17.4% 10 yrs. 12.4%
Slide 25: Financials
FINANCIALS ® trico bancshares 25 November 2019
Slide 26: Net interest margin – contribution from discount accretion
Net interest margin – contribution from discount accretion
Slide 27: Return on average assets
RETURN ON AVERAGE ASSETS 1.40% 1.20% 1.00% 0.80% 0.60% 0.40% 0.20% 0.00% 1.43% 145% 1.44% 1.24% 1.03% 0.87% ] 2014 2015 2016 2017 2018 Q12019 = Q22019 Q32019 trico bancshares
Slide 28: Return on average shareholder's equity
Return on average shareholder’s equity
Slide 29: Efficiency ratio (fully taxable equivalent)
Efficiency ratio (fully taxable equivalent)
Slide 30: Dividends paid
DividendS PAID 10.4% CAGR $0.60 $0.42 $0.52 $0.66 Annual Dividends $0.70 $0.44 *Declared and payable on September 27, 2019
Slide 31: Capital ratios
CAPITAL RATIOS (so00's) 16.0% aaa 14.4%, 14.0% 12.0% 10.0% 8.0% 6.0% 4.0% 2.0% 0.0% 2014 2015 2016 2017 2018 ©Q12019 Q22019 a3 2019 Common Equity Tier 1 mTier1 = Total Risk Based Tangible Common ee trico bancshares
Slide 32: TriCo Bancshares is committed to
TriCo Bancshares is committed to: Improving the financial success and well-being of our shareholders, customers, communities and employees. November 2019
TriCo Bancshares — Piper Jaffray Western Bank Symposium 2019 on 6ix