Magyar Bancorp, Inc. · NASDAQ:MGYR
Magyar Bancorp — Shareholder Meeting (February 2008)
25 slides from Magyar Bancorp's shareholder meeting presentation, Feb 27, 2008
Slide 1: Shareholders' Meeting
Shareholders’ Meeting February 27, 2008
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS Certain statements contained herein about future events constitute forward-looking statements within the meaning of the Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements may be identified by re
Slide 3: Magyar Bancorp Overview
Magyar Bancorp Overview • Founded in 1922. • On January 23, 2006, Magyar Bancorp completed its IPO raising $26.2 mil. It currently has 45.7% of its outstanding shares owned by public shareholders, including the MagyarBank Charitable Foundation. The remainder is owned by Magyar Bancorp, MHC. • Magyar
Slide 4: Magyar Bank Branch Locations
Branchburg Route 202 South New Brunswick (Corporate Headquarters) Somerset Street North Brunswick Milltown Road South Brunswick Highway 27 Existing Locations New Brunswick (Inside Child Health Institute) French Street Edison Inman Avenue Opening Magyar Bank Branch Locations
Slide 5: Year in Review
Year in Review • Business Plan Continued to Spur Growth in 2007 – 9.0% increase in total assets – 9.5% increase in total loans – 13.3% increase in total deposits • 2 New Branch Locations – Branchburg (September 2006) – Child Health Institute - New Brunswick (March 2007) • Remote Deposit Implementati
Slide 6: Year in Review
Year in Review • Magyar Bank recognized for outstanding service to the community – FDIC CRA Rating—”Outstanding” – America’s Community Bankers - Community Service Award – NJ League of Community Bankers - Community Service Award – Employers Association of NJ - Exceptional Employer Award
Slide 7: Community Banking Strategy
Community Banking Strategy We attribute the majority of our growth to our commitment to our community and our focus on customer service. • Building our brand recognition through participation in local community events. • Strengthening our relationships with existing customers by offering new product
Slide 8: Community Banking Strategy
Community Banking Strategy • We are proud that our MagyarBank Charitable Foundation has been able to grant: – $141,260 since its inception in 2006; and – $66,120 in 2007 alone.
Slide 9: Community Banking Strategy: Organizations Helped
Here is a sampling of the organizations that MagyarBank Charitable Foundation was able to help. Community Banking Strategy
Slide 10: Financial Highlights
Financial Highlights
Slide 11: Asset Growth
Dollars in Thousands Asset Growth
Slide 12: Consistent Deposit Growth
Dollars in Thousands Consistent Deposit Growth
Slide 13: Focusing on Demand Account Growth
Dollars in Thousands Focusing on Demand Account Growth
Slide 14: Loan Portfolio Growth
Dollars in Thousands Loan Portfolio Growth
Slide 15: Non-Performing Assets/Total Assets
Non-Performing Assets/Total Assets
Slide 16: Construction Concentration Peer Group
Fully converted U.S. thrifts with construction and developmental loans greater than 20% Construction Concentration Peer Group
Slide 17: Update on Credit Issues
Update on Credit Issues… • Solomon Dwek Relationship – $4.2 million in Rumson, NJ - Bank is in the process of improving property and seeking buyers which is currently held in OREO. – $745,000 in Farmingdale, NJ - Full repayment received December 31, 2007 • Kara Homes Relationship – Originally $5.1 m
Slide 18: Maintaining a Solid Net Interest Margin
Peer Group Source: FDIC UBPR data - Banks with total assets $300M - $1B Maintaining a Solid Net Interest Margin
Slide 19: Equity and Earnings Performance
Dollars in thousands except per share data. (1) Magyar completed its IPO on January 23, 2006 raising $26.2 million (2) Reflects a one-time charge for funding and organizing the MagyarBank Charitable Foundation of $1,547,000 Equity and Earnings Performance
Slide 20: Stock Price Performance & Strategic Initiatives in 2008
Stock Price Performance & Strategic Initiatives in 2008
Slide 21: Stock Price & Volume Chart Since IPO
Stock Price & Volume Chart Since IPO - January 24, 2006
Slide 22: Stock Performance - Index Comparison
As of February 15, 2008 Stock Performance - Index Comparison
Slide 23: Capital Management Strategy
Capital Management Strategy • 5% Buyback of 130,927 shares, announced April 2007 – Completed November 2007 • Second 5% buyback of 129,924 shares, announced November – 11,800 shares purchased through February 22, 2008.
Slide 24: Looking Ahead to 2008
Looking Ahead to 2008 • Continue our Community Banking Growth Strategy • Reduce Non-Performing Assets • New Branch Location – North Edison - Opening Calendar Year 2008 • Managing the Balance Sheet to Maximize Net Interest Margin – Continued focus on core deposit growth • Increase Non-Interest Income
Slide 25: Any Questions?
Any Questions?