Pinnacle Financial Partners, Inc. · NYSE:PNFP
Pinnacle Financial Partners — Q2 2020 Earnings Presentation
14 slides from Pinnacle Financial Partners's earnings presentation, Aug 11, 2020
Slide 1: Second Quarter 2020 Update – August 11, 2020
Second Quarter 2020 Update – August 11, 2020
Slide 2: Safe Harbor Statements: Forward Looking Statements
Safe Harbor Statements Forward Looking Statements All statements, other than statements of historical fact, included in this presentation, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section
Slide 3: Safe Harbor Statements: Non-GAAP Financial Matters
Safe Harbor Statements Non-GAAP Financial Matters This presentation contains certain non-GAAP financial measures, including, without limitation, earnings per diluted common share, adjusted pre-tax pre-provision net revenue and adjusted pre-tax pre- provision net revenue per common share, excluding i
Slide 4: 2Q20 Summary Results of Key GAAP Measures
2Q20 Summary Results of Key GAAP Measures Total Revenues FD EPS Net Income Total Loans Total Deposits Book Value per Common Share (millions) (millions) Classified Asset Ratio NPA/ Loans & OREO NCOs 4
Slide 5: 2Q20 Summary Results of Key Non-GAAP Measures
2Q20 Summary Results of Key Non-GAAP Measures Total Revenues FD EPS* Adjusted Pre-Tax Pre-Provision CAGR 20.5% $1.42 Net Revenue* $264,066 $273,739 $1.15 CAGR 22.7% (millions) $230,175 $ 143,628 $ 147,892 $141,684 $0.89 $0.84 $ 122,992 $0.75 $107,757 $ 73,233 $ 53,251 Total Loans Total Core Deposits
Slide 6: PNFP Will Focus on Defense During This Pandemic
PNFP Will Focus on Defense During This Pandemic WeConsumer continue to build andliquidity, Small reserves Businessand capital during Programs this crisis Second Quarter 2020 Recap • Increased liquidity • Q2 was strongest core deposit growth in recent history; improving liquidity position. • Complete
Slide 7: Asset Quality: Loan Deferrals Have Declined Meaningfully
Asset Quality The volume of loans with payment deferrals has declined meaningfully Loan deferrals as of August 7, 2020 Deferred $ Deferred $ Deferred $ Deferred $ Deferred $ Volume at Volume at Volume at Volume at Volume at Mar. 31, 2020 Apr. 15, 2020 June 30, 2020 July 17, 2020 August 7, 2020 Hotel
Slide 8: Balance Sheet Growth Remains Strong
Balance Sheet Growth Remains Strong PPP Impacts Both Loans and Deposits Meaningfully Avg. Loan Trends Avg. Deposit Trends $25,000 6.00% $25,000 1.80% $22,500 5.50% $22,500 1.50% $20,000 5.00% $20,000 1.20% $17,500 4.50% $17,500 0.90% LoanYields (millions) (millions) Deposit Deposit Rates Average Ave
Slide 9: Liquidity Build Will Remain Impactful During the Third Quarter
Liquidity Build Will Remain Impactful During the Third Quarter PPPConsumer Program and Liquidity and “Insurance” Small to Drive Business Significant but Temporary Programs Changes PPP Borrower Loan and Deposit Activity • Loans outstanding to borrowers that would eventually receive a $6,000 PPP loan
Slide 10: Bankers Healthcare Group Business Model Continues to Provide High Quality Growth
Bankers Healthcare Group Business Model Continues to Provide High Quality Growth to Licensed Professionals 2H2020 projections • 2Q20 was the strongest placement quarter in the history of BHG. • Estimate outstanding loans sold to investors to approximate $3.3 to • Business flows, including auction pl
Slide 11: Pre-Tax Pre-Provision Net Revenue Trends
Pre-Tax Pre-Provision Net Revenue Trends Despite difficult operating environment PPNR grew meaningfully in 2Q20. PPNR Trends Adjusted PPNR per Common Share $160 $2.50 $150 $2.00 $140 $130 $1.50 $120 $110 $1.00 $100 $0.50 $90 $80 $- 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 Est. 1Q18 2Q18 3Q1
Slide 12: PNFP Will Continue to Focus on Soundness More than Growth in 3Q20
PNFP will Continue to Focus on Soundness More than Growth in 3Q20 The Consumerlength and depth of the and pandemic Small are unknown, Business but we remain confidentPrograms in our model 3Q20 Outlook (in relation to Notes Full Year 2020 2Q20) Low to mid-single No meaningful PPP loan payoff/forgiven
Slide 13: Q3 Guidance: Focus on Defense During this Pandemic
Q3 Guidance: Focus on Defense During this Pandemic WeConsumer have built liquidity and and capital Small during Business this crisis Programs 2H20 Game Plan - Defend the franchise value of the firm • De-risk the loan portfolio, one borrower at a time • Complete in-depth reviews of ~2,500 clients by
Slide 14: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures 14
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