Byline Bancorp, Inc. · NYSE:BY
Byline Bancorp — Investor Presentation (December 2019)
26 slides from Byline Bancorp's investor presentation, Dec 16, 2019
Slide 1: Investor Presentation – December 2019
Investor Presentation – December 2019 Exhibit 99.1
Slide 2: Forward-Looking Statements
Forward-Looking Statements This communication contains forward-looking statements within the meaning of the U.S. federal securities laws. Forward-looking statements include, without limitation, statements concerning plans, estimates, calculations, forecasts and projections with respect to the antici
Slide 3: The Byline Difference
Strengthen Franchise through Acquisitions Grow and establish presence in the market Focus on targets with strong deposit base Total Acquired Loans and Leases Total Originated Loans and Leases The Byline Difference Source: Company Management and SNL Financial. Note: Data for the quarter ended Septemb
Slide 4: A Leading Chicago Commercial Franchise
Total Assets $5,438 Total Loans & Leases $3,831 Total Deposits $4,080 Total Equity $736 Tangible Common Equity(2) $546 Loans & Leases / Deposits Ratio 94% Commercial Loans / Total Loans(3) 61% Non-interest Bearing Deposits / Total Deposits 30% Adjusted Return on Average Assets(2) 1.18% Net Interest
Slide 5: Hand-Picked Management Team with Deep Market Experience
Hand-Picked Management Team with Deep Market Experience Confidential – Not for Publication or Distribution Name Title Years in Banking Years in Market Prior Experience Alberto Paracchini CEO & President 26 26 Served as Principal for BXM Holdings, Inc. Served as President and CFO of Popular Financial
Slide 6: The Byline Franchise
The Byline Franchise Commercial Banking Wealth Management Size Customer and Market Focus $4.1 billion in total deposits 61 branch locations Serves small businesses and consumers within branch footprint Offers traditional retail deposit products through branch network and online and mobile banking pl
Slide 7: Niche Lending Businesses
Niche Lending Businesses Small Ticket Equipment Leasing Sponsor Finance Size Customer and Market Focus $621.8 million loan portfolio Services throughout the Midwest and California Fifth most active lender in the U.S., #1 in Illinois and Wisconsin Selected as the Illinois SBA 7(a) Lender of the Year
Slide 8: Progress Report on Growth Strategies
Drive Organic Loan Growth Deliver Improved Profitability Strengthen Franchise through Acquisitions Continue to bring in top tier talent with teams attracted to culture and local decision making Capitalize on market opportunities due to recent consolidation and the CRE concentration limitations of ot
Slide 9: Strengthening the Byline Franchise through Accretive Transactions
Strengthening the Byline Franchise through Accretive Transactions Key Highlights Closed May 31, 2018 Expanded Byline’s franchise to Evanston market with #2 deposit market share in the city Provided low-cost core deposit base with 36% DDA Added strong commercial banking team Further diversified reven
Slide 10: Third Quarter 2019 Results
Third Quarter 2019 Results @ Byline Bancorp, Inc:
Slide 11: Third Quarter 2019 Highlights
Third Quarter 2019 Highlights Balance Sheet Earnings Revenue Key Operating Trends Total revenue of $72.6 million, an increase of 5.9% from 2Q19 and 14.4% from 3Q18 Net interest income increased 6.2% from 2Q19 and 10.0% on a year over year basis Higher gain on sale revenue drove a 4.4% increase in no
Slide 12: Loan and Lease Trends
Loan and Lease Trends Loan & Lease Originations and Payoffs September 30, 2018 September 30, 2019 ($ in millions) Originated and Acquired Loan & Lease Portfolio Total loans and leases were $3.8 billion at 3Q19, a decrease of $32.1 million from the prior quarter, but up 10.9% from 3Q18 Originated por
Slide 13: Government-Guaranteed Lending Overview
Government-Guaranteed Lending Overview Managed SBA 7A and USDA Loans Top 10 SBA lender nationally; number 1 in Illinois and Wisconsin Dedicated origination, sale and servicing of SBA and USDA loans Attractive risk-adjusted returns (higher average loan yields compensate for higher loss rate) Gain on
Slide 14: Deposit Trends
Total deposits increased $20.1 million to $4.1 billion Growth primarily in lower-cost deposit categories Rate of increase in deposit costs further moderated from prior quarter Cost of interest bearing deposits was flat from prior quarter Total deposit costs increased two bps compared to five bps in
Slide 15: Net Interest Income and Net Interest Margin Trends
Net Interest Income and Net Interest Margin Trends Net interest income increased $3.4 million to $57.8 million, primarily due to earning asset growth and a higher margin Net interest margin expanded 11 basis points to 4.62% from 2Q19 due primarily to higher accretion income Loan yields excluding acc
Slide 16: Net Interest Margin: Strategies for Declining Rates
Net Interest Margin: Strategies for Declining Rates Net Interest Income Sensitivity: -100 bps Rate Shock Chicago Peer Average Unwound $250.0 million of fixed to floating interest rate swaps Lowered promotional CD terms and shortened duration Began the replacement of wholesale CDs to floating rate de
Slide 17: Non-Interest Income Trends
Total Non-Interest Income Non-Interest Income Trends Non-interest income increased $623,000 from 2Q19 Higher net gains on sales of loans $171,000 increase in fees and services charges on deposits $1.6 million charge to servicing asset due to higher prepayments ($ in millions) Total SBC Closed Loan C
Slide 18: Non-Interest Expense Trends
Non-Interest Expense Trends Non-interest expenses reflect full quarter impact of acquisition Non-interest expense, excluding significant adjustment items(1), was $44.3 million, up from $40.4 million in 2Q19 Increase in non-interest expense primarily due to full quarter impact of OPRF operations and
Slide 19: Asset Quality Trends
Asset Quality Trends NCOs were 0.56% in 3Q19, primarily consisting of the unguaranteed portion of U.S. government guaranteed loans ALLL/Loans and Leases increased to 0.82% in 3Q19 compared to 0.81% in 2Q19 Non-performing assets to total assets increased nine bps to 0.92% in 3Q19 NPLs/ Total Loans &
Slide 20: Appendix
Appendix @ Byline Bancorp, Inc:
Slide 21: Five Quarter Financial Summary
Five Quarter Financial Summary ($ in millions, except per share data) Represents a non-GAAP financial measure. See “Non-GAAP Reconciliation” in the appendix. For the Three Months Ended, September 30, 2019 June 30, 2019 March 31, 2019 December 31, 2018 September 30, 2018 Income Statement Net interest
Slide 22: Non-GAAP Reconciliation
@ Byline Bancorp, Inc: Non-GAAP Reconciliation (doltarsin thousands, per share data) Netincome and earnings per share excluding significant items Taxbenefit on significant items justed NetIncome Reported Diluted Earnings, pershare Significant items: Taxbenefit on significant items ‘Adjusted Diluted
Slide 23: Non-GAAP Reconciliation (continued)
Non-GAAP Reconciliation (continued)
Slide 24: Non-GAAP Reconciliation (continued)
Non-GAAP Reconciliation (continued)
Slide 25: Non-GAAP Reconciliation (continued)
Non-GAAP Reconciliation (continued)
Slide 26: Non-GAAP Reconciliation (continued)
Non-GAAP Reconciliation (continued)
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