Colony Bankcorp, Inc. · NYSE:CBAN
Colony Bankcorp — Investor Presentation (July 2019)
20 slides from Colony Bankcorp's investor presentation, Jul 30, 2019
Slide 1: Investor Presentation 2nd Quarter 2019
0 Investor Presentation 2 nd Quarter - 2019
Slide 2: Forward-looking statements
1 This presentation contains "forward - looking statements" as defined in the Private Securities Litigation Reform Act of 1995. In g eneral, forward - looking statements usually use words such as "may," "believe," "expect," "anticipate," "intend," "will," "should," "plan ," "estimate," "predict," "c
Slide 3: Leadership Team
2 Name Position Years in Banking Years With CBAN T. Heath Fountain President and Chief Executive Officer 19 1 Max "Eddie" Hoyle EVP, Chief Banking Officer 40 8 Tracie Youngblood EVP, Chief Financial Officer 25 - Terry L. Hester EVP, Treasurer 44 44 Edward " Lee " Bagwell EVP, Chief Risk Officer and
Slide 4: Company Profile
3 ▪ Founded in 1975 ▪ Headquartered in Fitzgerald, Georgia ▪ $1.5 billion in assets at June 30, 2019 ▪ 29 locations in central, southern and coastal Georgia ▪ The ninth largest Georgia - based bank in the state and the largest community bank headquartered outside of Atlanta ▪ Strong capital position
Slide 5: Strategic Advantages
4 ▪ Size and capabilities ▪ Attractive footprint ▪ Clean balance sheet ▪ No TARP overhang ▪ New, seasoned leadership with a proven track record STRATEGIC ADVANTAGES
Slide 6: Driving High Performance: Change the culture
5 DRIVING HIGH PERFORMANCE ▪ Change the culture ▪ Assess current talent ▪ Strengthen the team where needed ▪ Changes in executive and senior management ▪ Added talent to the production staff ▪ Initiate new procedures and processes ▪ Proactive business development ▪ Implement sales tracking program ▪
Slide 7: Driving High Performance: Reallocate our resources
6 DRIVING HIGH PERFORMANCE ▪ Change the culture ▪ Reallocate our resources ▪ Focus on loan and deposit opportunities ▪ Opportunities across the footprint ▪ Expansion ▪ Efficiency ▪ Realign balance sheet ▪ Low loan - to - deposit ratio ▪ High level of investments - to - assets
Slide 8: Driving High Performance: Attract new bankers
7 DRIVING HIGH PERFORMANCE ▪ Change the culture ▪ Reallocate our resources ▪ Attract new bankers ▪ Identify bankers and teams from larger institutions ▪ Create the ideal culture for top bankers ▪ Become the banker’s bank of choice
Slide 9: Driving High Performance: Reaccelerate expansion
8 DRIVING HIGH PERFORMANCE ▪ Reaccelerate expansion ▪ Lift out/add to banking teams in current and new markets ▪ Identify potential whole - bank acquisitions ▪ Desired acquisition targets are smaller than targets typically pursued by larger acquisitive banks ▪ Less competition to enter smaller MSAs
Slide 10: Acquisition Activity
9 Atlanta Warner Robins Statesboro Savannah Columbus Albany Fitzgerald Valdosta LaGrange ACQUISITION ACTIVITY Overview Franchise Footprint ▪ Completed acquisition of LBC Bancshares on May 1 ▪ Holding company for Calumet Bank ▪ Natural expansion into logical, contiguous markets in western Georgia ▪ A
Slide 11: Driving High Performance: Target line of business growth
10 DRIVING HIGH PERFORMANCE ▪ Reaccelerate expansion ▪ Target line of business growth ▪ Expand mortgage lending – acquired PFB Mortgage with more than $100 million in annual mortgage production in 2Q19 ▪ Government guaranteed lending (SBA, USDA) begun in 2Q19 ▪ Treasury services ▪ Consider new lines
Slide 12: Financial Highlights
11 2016 2017 2018 2Q2018 2Q2019 Diluted earnings per share $0.84 $0.87* $1.40 $0.36 $0.23 Non - GAAP earnings per share $0.84 $1.11 $1.42 $0.36 $0.34 Dividends per share $0.00 $0.10 $0.20 $0.05 $0.075 Return on average assets 0.62% 0.63% 0.99% 1.04% 0.60% Return on average total equity 7.17% 8.28% 1
Slide 13: Dividends Restored
12 ▪ Cash dividends suspended in 2009 ▪ In 2017, the Company reinstated its quarterly cash dividend at a rate of $0.025 per share ▪ The Company increased the quarterly cash dividend to $0.05 per share in 2018 and to $0.075 per share in 2019 ▪ The current indicated annual rate is $0.30 per share, equ
Slide 14: Capital Ratios
13 10.3% 9.9% 10.2% 10.2% 9.3% 15.5% 14.6% 15.0% 14.8% 12.7% 16.6% 15.6% 15.9% 15.7% 13.4% 11.3% 11.8% 12.2% 12.0% 10.4% 2016 2017 2018 2Q2018 2Q2019 Tier One Leverage Ratio Tier One Ratio Total Risk-based Capital Ratio Common Equity Tier One Capital Ratio CAPITAL RATIOS
Slide 15: Solid Core Deposit Franchise
14 SOLID CORE DEPOSIT FRANCHISE Time Deposits 30% Savings and Money - markets 27% Noninterest - Bearing Demand 18% Interest - Bearing Demand 25% As of June 30, 2019 Total Deposits: $1.30 billion MRQ Cost of Deposits: 0.86%
Slide 16: Loan Portfolio Breakdown
15 LOAN PORTFOLIO BREAKDOWN Real estate 86% Commercial and agricultural 9% Consumer and other 5% Commercial construction 9% Residential construction 2% Commercial real estate 54% Residential real estate 26% Farmland 9% $935.3 million $804.9 million As of June 30, 2019
Slide 17: Loan Portfolio Growth
16 LOAN PORTFOLIO GROWTH (Dollars in thousands) $(1,701) $12,647 $(15,803) $(178) $32,583 Organic Loan Growths 6/30/18 9/30/18 12/31/18 3/31/19 6/30/19
Slide 18: Asset Quality Trends
17 (Dollars in millions) $12.4 $7.5 $9.5 $5.6 $9.8 $18.8 $11.8 $11.3 $9.2 $10.7 2016 2017 2018 2Q2018 2Q2019 Nonperforming Loans Nonperforming Assets ASSET QUALITY TRENDS
Slide 19: Key Investment Points
18 ▪ Strong, experienced management team ▪ Renewed focus on generating organic loan and deposit growth ▪ Potential acquisition opportunities ▪ Well positioned to take advantage of market disruption ▪ Nimble, with responsive decision/credit process ▪ Positioned to expand in existing and new lines of
Slide 20: Colony Bankcorp, Inc.
COLONY BANKCORP, INC. Right hore wsth you. NASDAQ: CBAN