Fb Financial Corporation · NYSE:FBK
Fb Financial — KBW Winter Financial Services Conference 2023
30 slides from Fb Financial's conference presentation, Feb 15, 2023
Slide 1: First Quarter 2023 Investor Presentation
February 16, 2023 First Quarter 2023 Investor Presentation
Slide 2: Forward-Looking Statements
1 Forward–Looking Statements Certain statements contained in this Presentation that are not historical in nature may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, stat
Slide 3: Use of non-GAAP financial measures
2 Use of non-GAAP financial measures This Presentation contains certain financial measures that are not measures recognized under U.S. generally accepted accounting principles (“GAAP”) and therefore are considered non-GAAP financial measures. These non-GAAP financial measures may include, without li
Slide 4: Snapshot of FB Financial today
3 Note: Unaudited financial data as of December 31, 2022; presented on a consolidated basis. 1 Non-GAAP financial measure. See “Use of non-GAAP financial measures” and “Reconciliation of non-GAAP financial measures” in the Appendix hereto. 2 Source: S&P Global. Market data is as of June 30, 2022 and
Slide 5: Strategic drivers
4 Strategic drivers Elite Financial Performance Proven Opportunistic Acquirer with Scalable Platforms and Technology Highly Motivated Senior Management Team Great Place to Work Organic Growth Focused Empowered Teams Across Attractive Metro and Community Markets
Slide 6: Recent corporate history
5 2017 2018 2019 2020 2021 2022 Recent corporate history 1 See “Use of non-GAAP financial measures,” and “Reconciliation of non-GAAP financial measures” in the Appendix hereto. Note: Financial data presented on a consolidated basis. 202020182017 Completed acquisition of Clayton Bank & Trust and Am
Slide 7: Well positioned in high growth markets
6 Well positioned in high growth markets 1 Source: S&P Global. Market data is as of June 30, 2022 and is presented on a pro forma basis for announced acquisitions since June 30, 2022. 2 Source: S&P Global. FBK Footprint is based on weighted average demographics of MSAs and counties not located in MS
Slide 8: Driving shareholder value
7 17% 21% 31% 22% 8% 4Q21 1Q22 2Q22 3Q22 4Q22 Driving shareholder value ¹ See “Use of non-GAAP financial measures” and the Appendix hereto for a discussion and reconciliation of non-GAAP measures to the most directly comparable GAAP financial measures. 2 Core Banking segment noninterest expense was
Slide 9: Strong net interest margin
8 Strong net interest margin Historical yield and costs ¹ Includes tax-equivalent adjustment. 2 Excess liquidity defined as interest-bearing deposits with other financial institutions in excess of 5% of average tangible assets. Assumes funded from all interest bearing liabilities. $5,000 $7,000 $9,0
Slide 10: Mortgage operations overview
9 Mortgage operations overview Highlights Mortgage segment pre-tax net loss of $4.2 million in 4Q 2022 Interest rate lock commitment volume declined 31% in 4Q resulting in negative fair value change Interest rate volatility led to MSR fair value changes, net of hedging losses of $4.9 million i
Slide 11: Managing expenses
10 Managing expenses Highlights Consolidated 4Q 2022 core efficiency ratio¹ of 61.0% Banking segment is realizing the benefit of an asset sensitive balance sheet; however, Q4 also saw an acceleration of increasing deposit cost resulting in NIM compression Mortgage efficiency ratio remains negativ
Slide 12: Well-capitalized for future opportunities
11 Well-capitalized for future opportunities Tangible book value per share3 Simple capital structure Common Equity Tier 1 Capital 84% Trust Preferred 2% Subordinated Notes 6% Tier 2 ACL 8% Total regulatory capital: $1,5282 mm $11.56 $11.58 $14.56 $17.02 $18.55 $21.73 $24.67 $22.90 3Q16 4Q16 4Q17 4Q1
Slide 13: Valuable core deposit base
12 Noninterest- bearing checking 25% Interest-bearing checking 28% Money market 30% Savings 4% Time 13% 53% Checking accounts Valuable core deposit base ¹ Noninterest bearing deposits includes mortgage servicing-related deposits of $127.6 million, $131.1 million, $133.2 million, $140.8 million, and
Slide 14: Balanced loan portfolio
13 Office 23% Retail 22% Hotel 16% Warehouse / Industrial 14% Land-Manufactured Home Communities 6% Self Storage 5% Healthcare Facility 2% Other 12% 1-4 Family to be sold 47% Commercial Land 24% 1-4 Consumer Construction 8% Multifamily 7% Retail 3% Warehouse 2% Office 2% Other 7% 1-4 family 17% 1-4
Slide 15: Asset quality remains solid
14 0.46% 0.40% 0.45% 0.40% 0.41% 0.22% 0.20%0.04% 0.04% 0.01% 0.07% 0.50% 0.44% 0.46% 0.62% 0.68% 4Q21 1Q22 2Q22 3Q22 4Q22 1.65% 1.50% 1.46% 1.48% 1.44% 4Q21 1Q22 2Q22 3Q22 4Q22 0.12% (0.03%) 0.09% 0.00% 0.02% 4Q21 1Q22 2Q22 3Q22 4Q22 Asset quality remains solid Nonperforming Assets1 / Assets Nonper
Slide 16: Allowance for credit losses overview
15 1.65% 1.22% 1.49% 1.32% 2.15% 2.14% 1.50% 1.54% 3.35% 1.48% 0.69% 1.17% 0.70% 2.47% 1.49% 1.64% 1.51% 3.56% 1.44% 0.67% 1.12% 0.70% 2.40% 1.35% 1.66% 1.51% 3.67% Gross Loans HFI Commercial & Industrial Non-Owner Occ CRE Owner Occ CRE Construction Multifamily 1-4 Family Mortgage 1-4 Family HELOC C
Slide 17: Appendix
16 Appendix
Slide 18: Adjusted net income and diluted earnings per share
17 GAAP reconciliation and use of non-GAAP financial measures Adjusted net income and diluted earnings per share
Slide 19: Adjusted pre-tax, pre-provision earnings
18 GAAP reconciliation and use of non-GAAP financial measures Adjusted pre-tax, pre-provision earnings
Slide 20: Adjusted earnings and diluted earnings per share
19 GAAP reconciliation and use of non-GAAP financial measures Adjusted earnings and diluted earnings per share
Slide 21: Adjusted pre-tax, pre-provision earnings
20 GAAP reconciliation and use of non-GAAP financial measures Adjusted pre-tax, pre-provision earnings
Slide 22: Core efficiency ratio (tax-equivalent basis)
21 GAAP reconciliation and use of non-GAAP financial measures Core efficiency ratio (tax-equivalent basis)
Slide 23: Segment core efficiency ratios (tax-equivalent basis)
22 GAAP reconciliation and use of non-GAAP financial measures Segment core efficiency ratios (tax-equivalent basis)
Slide 24: Adjusted Banking and Mortgage segment earnings
23 GAAP reconciliation and use of non-GAAP financial measures Adjusted Banking segment pre-tax pre-provision earnings Adjusted Mortgage segment pre-tax net (loss) contribution
Slide 25: Tangible assets and equity, tangible book value per share
24 GAAP reconciliation and use of non-GAAP financial measures Tangible assets and equity, tangible book value per common share and tangible common equity to tangible assets
Slide 26: Tangible assets and equity, tangible book value per share
25 GAAP reconciliation and use of non-GAAP financial measures Tangible assets and equity, tangible book value per common share and tangible common equity to tangible assets
Slide 27: Return on average tangible common equity
26 GAAP reconciliation and use of non-GAAP financial measures Return on average tangible common equity
Slide 28: Adjusted return on average assets and common equity
27 GAAP reconciliation and use of non-GAAP financial measures Adjusted return on average assets and common equity
Slide 29: Return on average tangible common equity
28 GAAP reconciliation and use of non-GAAP financial measures Return on average tangible common equity
Slide 30: Adjusted return on average assets and common equity
29 GAAP reconciliation and use of non-GAAP financial measures Adjusted return on average assets and common equity
FB Financial — KBW Winter Financial Services Conference 2023 on 6ix