Ameris Bancorp · NYSE:ABCB
Ameris Bancorp — Q4 2021 Earnings Presentation
28 slides from Ameris Bancorp's earnings presentation, Jan 28, 2022
Slide 1: 4th Quarter 2021 Results Investor Presentation
4th Quarter 2021 Results Investor Presentation
Slide 2: Cautionary Statements
Cautionary Statements This presentation contains forward-looking statements, as defined by federal securities laws, including, among other forward- looking statements, certain plans, expectations and goals. Words such as “may,” “believe,” “expect,” “anticipate,” “intend,” “will,” “should,” “plan,” “
Slide 3: Ameris Profile
Ameris Profile Operating Strength • Historically top quartile adjusted return on assets (> 1.50% for last three years) • Focus on expense control and improved operating efficiency • Strong liquidity and continued funding opportunities • Culture of disciplined banking Diversification • Geographic div
Slide 4: 4th Quarter 2021 Financial Results
4 Quarter 2021 th Financial Results
Slide 5: Earnings Summary
Earnings Summary (dollars in thousands, except per share data) Quarter to Date Results Year To Date Results 4Q21 4Q20 Change 2021 2020 Change Net Income $ 81,944 $ 94,285 -13% $ 376,913 $ 261,988 44% Net Income Per Diluted Share $ 1.18 $ 1.36 -13% $ 5.40 $ 3.77 43% Return on Assets 1.41% 1.89% -25%
Slide 6: 4Q 2021 Operating Highlights
4Q 2021 Operating Highlights • Net income of $81.9 million, or $1.18 per diluted share • Adjusted net income(1) of $81.5 million, or $1.17 per diluted share • Organic loan growth(2) of $383.9 million, or 10.4% annualized (and $536.6 million, or 14.8% annualized, exclusive of PPP loans), during 4Q21
Slide 7: 2021 YTD Operating Highlights
2021 YTD Operating Highlights • Net income of $376.9 million, or $5.40 per diluted share • Adjusted net income(1) of $368.7 million, or $5.29 per diluted share • Adjusted efficiency ratio(1) of 55.00%, compared with 52.17% for 2020 • Adjusted ROA(1) of 1.69%, compared with 1.56% for 2020 • Adjusted
Slide 8: Operating Highlights
Operating Highlights (dollars in thousands) For the quarter For the year-to-date period 4Q21 4Q20 2021 2020 Asset Growth (1) 1,325,180 564,787 3,419,683 2,196,059 Asset Growth Rate 23.52% 11.37% 16.73% 12.04% Organic Loan Growth 383,903 (462,668) 727,517 1,662,449 Organic Loan Growth Rate 10.36% -12
Slide 9: Net Interest Margin
Net Interest Margin $200.0 5.25% Net Interest Income (TE) Spread Income and Margin: $190.0 (in millions) 5.00% • Average earning assets up $888.8 million, $180.0 4.75% while spread income increased $5.1 million compared with 3Q21 $170.0 4.50% • Margin down 4bps from 3Q21: $166.2 $167.9 $160.0 $164.8
Slide 10: Noninterest Income
Noninterest Income Noninterest Income Trends Noninterest Income Highlights: Noninterest Income • Mortgage banking Noninterest Income (in millions) – Revenue increased $4.1 million, or 7.4%, in 4Q21 compared with 3Q21 $140.0 – Production decreased $239.4 million, or 11.6%, over the same period $118.0
Slide 11: Expenses
Expenses Adjusted Operating Expenses and Efficiency Ratio(1) OPEX Highlights: 175.0 Adjusted Operating Expenses (in millions) • Total adjusted operating expenses decreased $1.4 150.0 million in 4Q21 compared with 3Q21 $66.1 $66.0 125.0 $59.9 $56.1 $55.9 • Decrease of $1.2 million in 4Q21 Banking div
Slide 12: Retail Mortgage Division Details
Retail Mortgage Division Details Rationalization and Stabilization of Mortgage Operations: Retail mortgage originations represent 13% of the Company’s adjusted pre-provision, pre-tax income for 4Q21, down from 50% this time last year Approximately 80% of costs are variable costs relative to prod
Slide 13: Balance Sheet Trends
Balance Sheet Trends Earning Assets Deposit Composition (in millions) 25,000 4Q21 20,000 3Q21 15,000 2Q21 10,000 1Q21 5,000 4Q20 - 4Q20 1Q21 2Q21 3Q21 4Q21 0% 20% 40% 60% 80% 100% Loans Loans HFS Other Earning Assets Total Assets NIB NOW MMDA Savings CD 12
Slide 14: Capital and TBV
Capital and TBV $28.00 Tangible Book Value $27.00 $27.46 Management Focus on TBV $26.45 $26.00 $26.26 • Management focused on long term growth in TBV $25.00 $25.27 • TBV decreased $1.20 per share in 4Q21: – ($2.21) from impact of Balboa Capital $24.00 acquisition $23.69 $23.00 – ($0.02) from all oth
Slide 15: Loan Diversification and Credit Quality
Loan Diversification and Credit Quality
Slide 16: Diversified Loan Portfolio
Diversified Loan Portfolio 4Q21 Loan Portfolio Agriculture SFR Mortgage & 1% HELOC • Loan portfolio is well diversified across loan 20% C&I 21% types & geographies • C&I loans represent second-largest category of Multi-Family loans 4% Municipal • Balboa Capital totaled $689.2 million at 4% YE21, whi
Slide 17: Loan Growth
Loan Growth 4Q21 Loan Balance Changes $800 $689 $700 $600 $500 $425 $400 $300 $200 $118 $116 $100 $19 $- $(3) $(16) $(100) $(42) $(52) $(59) $(200) $(147) CRE Balboa SFR Mtgs C&I Mtg WHSE C&D Consumer Premium Municipal Indirect PPP Capital Finance • 4Q21 loan growth totaled $1.1 billion. Net of Balb
Slide 18: Allowance for Loan Losses
Allowance for Loan Losses 4Q21 CECL Reserve • The ALLL totaled $167.6 million at 4Q21, a net decrease of $3.6 million, or 2%, from 3Q21 • The reserve for unfunded commitments totaled $33.2 million, an increase of $10.9 million, or 49%, from 3Q21 • The portion of the ALLL attributable to Balboa Capit
Slide 19: NPA / Charge-Off Trend
NPA / Charge-Off Trend Non-Performing Assets Non-Performing Assets $120.0 0.60% • Non-Performing Assets (“NPAs”) increased $30.8 0.48% $100.0 $3.9 0.50% million, to $101.9 million at 4Q21, primarily as a result $12.7 $12.4 0.40% 0.43% of: $80.0 $8.3 $9.7 0.40% $5.1 0.32% 0.32% • $25.0 million increa
Slide 20: Problem Loan Trends
Problem Loan Trends $450 $400 2.71% • Total Classified Loans increased 2.56% $6.3 million, primarily the result of $350 increased 90+ past due GNMA and 2.05% Portfolio Mortgage loans, and $300 purchased credit deteriorated loans 1.81% 1.78% 1.77% 1.64% added via the acquisition of Balboa $250 Capita
Slide 21: Investor CRE Loans
Investor CRE Loans • Approximately 92% of CRE loans are concentrated within our five-state footprint, primarily in the Bank’s primary MSAs of Atlanta, Jacksonville, Orlando, Charleston, Tampa and Greenville Avg Size Outstanding Commitment Loan Type (MM's) % NPL % PD (000's) Construction Loans: RRE -
Slide 22: Commercial Real Estate Production
Commercial Real Estate Production 4Q21 Construction and Development Loan Production Summary: Committed Avg Size • 4Q21 production of C&D and CRE loans - $2.00 Outstanding Exposure Commitment billion in total committed exposure Loan Type (MM's) (MM's) (000's) RRE Construction - Pre-Sold $ 223.8 $ 592
Slide 23: C&I Loans
C&I Loans C&I 21% • US Premium Finance 4Q21 production statistics: 4Q21 YTD New Production ($MM's) $ 474.8 $ 1,994.5 Weighted-Avg Down Payment 21.9% 22.6% Weighted-Avg # Instalments 9.7 9.8 • Balboa Capital acquisition in 4Q21 • Day 1 loans totaled $665.8 million • Loan production was $23.4 million
Slide 24: Appendix
Appendix AMERIS BANCORP
Slide 25: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures (dollars in thousands) For the quarter For the year to date period 4Q21 4Q21 2021 2020 Net Income $ 81,944 $ 94,285 $ 376,913 $ 261,988 Adjustment items Merger and conversion charges 4,023 - 4,206 1,391 Restructuring charges - - - 1,513 Servicing right imp
Slide 26: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures Quarter to Date Year to Date (dollars in thousands) 4Q21 3Q21 2Q21 1Q21 4Q20 2021 2020 Adjusted Noninterest Expense Total noninterest expense $ 138,369 $ 137,196 $ 135,761 $ 148,798 $ 151,116 $ 560,124 $ 598,629 Adjustment items: Merger and conversion char
Slide 27: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures Quarter to Date (dollars in thousands) 4Q21 3Q21 2Q21 1Q21 4Q20 Total shareholders' equity $ 2,966,451 $ 2,900,770 $ 2,837,004 $ 2,757,596 $ 2,647,088 Less: Goodwill 1,012,620 928,005 928,005 928,005 928,005 Other intangibles, net 125,938 60,396 63,783 67,
Slide 28: Ameris Bancorp Press Release & Financial Highlights
Ameris Bancorp Press Release & Financial Highlights December 31, 2021