First Resource Bankcorp Inc · OTC:FRSB
First Resource Bankcorp — First Resource Bank — Shareholder Meeting (April 2022)
21 slides from First Resource Bankcorp's shareholder meeting presentation, Apr 27, 2022
Slide 1: Annual Shareholder's Meeting
Annual Shareholder’s Meeting April 27, 2022
Slide 2: Cautionary Note Regarding Forward Looking Statements
CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS This presentation contains forward-looking information about First Resource Bank that is intended to be covered by the safe harbor for forward-looking statements provided by the Private Securities Litigation Reform Act of 1995. Forward-looking sta
Slide 3: 2021 Highlights
2021 Highlights • Record annual net income of $4.1 million • Credit quality improvement-no past due loans at 12/31 • Technology enhancements completed • PPP loan program progress • 26% organic loan growth • 12% deposit growth • FHLB advance prepayments • 5% stock dividend paid May 2021
Slide 4: Technology Focused
Technology Focused • Utilizing proven, cost-effective, competitive technology solutions • Upgraded core processing system installed July 2021 • Digital banking platform updated January 2022 (mobile and online banking) • Near term planned enhancements include: • Internal workflow automations • Busine
Slide 5: Balance Sheet Growth
Balance Sheet Growth $500,000,000 $400,000,000 $300,000,000 $200,000,000 $100,000,000 $0 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Assets Loans Deposits
Slide 6: Deposit Growth
Deposit Growth $200,000,000 38.0% $175,000,000 33.0% $150,000,000 28.0% $125,000,000 23.0% $100,000,000 18.0% $75,000,000 13.0% $50,000,000 $25,000,000 8.0% $0 3.0% 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Checking Money Market CD % Checking
Slide 7: Loan Growth
Loan Growth (excluding PPP) $400,000,000 30.0% $350,000,000 25.0% $300,000,000 20.0% $250,000,000 $200,000,000 15.0% $150,000,000 10.0% $100,000,000 5.0% $50,000,000 $0 0.0% 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Total Loans % Growth
Slide 8: PPP Impact
PPP Impact • Total PPP loans $83.4 million, 654 loans • 1 loan in repayment mode • Total fees generated $3.0 million • 2020 fee recognition $1.1 million • 2021 fee recognition $1.7 million • Approximately $165 thousand in fees still to be recognized in 2022
Slide 9: Improving Asset Quality
Improving Asset Quality 2.50% Total non-performing assets/total assets 2.00% Net charged-off loans/total loans 1.50% 1.00% 0.50% 0.00% 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Slide 10: Top Line Income Growth
Top Line Income Growth $18,000,000 $16,000,000 $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $0 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Total Interest Income
Slide 11: Net Interest Margin
Net Interest Margin 2.50% 4.20% 4.00% 2.00% 3.80% 1.50% 3.60% 1.00% 3.40% 0.50% 3.20% 3.00% 0.00% 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 FRB NIM Peer Group NIM Average Fed Funds Effective Rate Note: Prior to 2019 Peer Group was PA Banks with Assets $100M to $300M; Peer Group for 2019
Slide 12: Overhead Expense Control
Overhead Expense Control 4.00% 3.50% 3.00% 2.50% 2.00% 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 FRB Overhead/Average Assets Peer Group Overhead/Average Assets Note: Prior to 2019 Peer Group was PA Banks with Assets $100M to $300M; Peer Group for 2019-21 is PA Banks with Assets $10
Slide 13: Net Income Growth
Net Income Growth $4,500,000 $4,000,000 $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $0 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Net Income
Slide 14: Q1 2022 Results
Q1 2022 Results • Record quarterly net income of $1,327,079 • Organic loan growth 5% • Checking growth 8% • Return of non-interest income revenue sources • $270 thousand of loan recoveries generated
Slide 15: Capital Planning
Capital Planning • Bank remains well capitalized • Holding company will provide access to enhanced capital options in the future
Slide 16: Book Value vs. Market Value
Book Value vs. Market Value 140% $12.00 $11.00 120% $10.00 $9.00 100% $8.00 $7.00 80% $6.00 60% $5.00 $4.00 40% $3.00 $2.00 20% $1.00 $0.00 0% 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 3/31/2022 Book Value per Share Market Value Price/Book Ratio
Slide 17: Common Stock Performance
First Common Stock Performance icone First Resource Bank | STOCK CHART QD Tr the new Stock Chart OTCQX:FRSB (MI KEY: 4096749; SPCIQ KEY: 22198873) [emeareatenr | [aooro ~ | | pawr | [ exon ~ | [ euuoanerorr | | Currency REPORTED CURRENCY - ‘FILTERS Period 1 Year Frequency Daily Indexes S&P U.S. 8M!
Slide 18: Culture is Everything
Culture is Everything Happy Employees = Happy Customers
Slide 19: Best Bank in Chester County
Best Bank in Chester County Voted Best Bank in Chester County for 2017-2021 by readers of The Daily Local, Chester County’s local newspaper
Slide 20: Best Bank on the Main Line
Best Bank on the Main Line Replicating the success we’ve had in Chester County on the Main Line
Slide 21: Annual Shareholder's Meeting
Annual Shareholder’s Meeting April 27, 2022
First Resource Bank — Shareholder Meeting (April 2022) on 6ix