Bank Of Marin Bancorp · NASDAQ:BMRC
Bank Of Marin Bancorp — 2022 KBW Virtual West Coast Bank Field Trip
19 slides from Bank Of Marin Bancorp's conference presentation, Nov 15, 2022
Slide 1: Delivering value through strategic and disciplined growth
Delivering value through strategic and disciplined growth 2022 KBW Virtual West Coast Bank Field Trip November 15, 2022
Slide 2: Forward-Looking Statements
2 Nasdaq: BMRC Forward-Looking Statements This discussion of financial results includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, (the "1933 Act") and Section 21E of the Securities Exchange Act of 1934, as amended, (the "1934 Act"). Those
Slide 3: Bank of Marin Bancorp
Bank of Marin Bancorp Recent awards: FIVE STAR BANK BAUER 3 Nasdaq: BMRC Headquarters Novato, California Marin County, North of San Francisco Employees, full-time equivalent 302 Assets $4.3 billion Market Capitalization $480.1 million Ticker BMRC (Nasdaq Capital Markets) Founded 1989 First branch op
Slide 4: Management team
Tim Myers President & Chief Executive Officer •26 years in finance and banking •Joined Bank of Marin in 2007 Rich Lewis EVP, Chief Information Officer •26 years in financial services •Joined Bank of Marin in 2020 Tani Girton EVP, Chief Financial Officer •38 years in financial services •Joined Bank o
Slide 5: Relationship and community focused banking model on a regional scale
5 Nasdaq: BMRC • 31 retail branches and 8 commercial banking offices located across 10 counties. • Sound underwriting produces a high-quality loan portfolio with low credit costs and stable earnings. • Strong deposit base with low- cost funding source for lending activity. Delivering a relationship
Slide 6: Balanced Approach to Growth Creates Long-Term Value
6 Nasdaq: BMRC Balanced Approach to Growth Creates Long-Term Value 1As of September 30, 2022 2As of November 10, 2022 10 year average annual return: 5.63%1 Total annual shareholder return averages 8.66% over 20 years1 Book Value per Common Share Closing Stock Price 1990 1995 2000 2005 2010 2015 2020
Slide 7: Prudent, Sustainable Model for Loan Growth
Prudent, Sustainable Model for Loan Growth 7 Nasdaq: BMRC ($ billions) Five-year compound annual loan growth rate: 7.20% 2 1 Net of $161 thousand in unrecognized PPP loan fees and costs. 2 Compounded annual growth rate from September 30, 2017 to September 30, 2022. PPP Loans: $7.6 million 1 Excludin
Slide 8: Investment Securities, AOCI and Tangible Equity
Investment Securities, AOCI and Tangible Equity 8 Nasdaq: BMRC M ill io ns $315.1 $378.8 $371.0 $341.4 $331.0 $318.4 $37.3 $58.0 $80.0 22.0% 27.0% 35.0% 40.0% 42.0% 40.8% 10.4% 9.1% 8.8% 8.0% 7.8% 7.5% Tangible equity (net AOCI Impact) Accumulated Other Comprehensive Income Accumulated Other Compreh
Slide 9: Low-Cost Deposit Base: A Key Competitive Advantage
Low-Cost Deposit Base: A Key Competitive Advantage ($ billions) 9 Nasdaq: BMRC 1 Compounded annual growth rate from September 30, 2017 to September 30, 2022. Q3 2022 Cost of Deposits 0.06% Five-year compound annual deposit growth rate: 15.60%1 Total Dep osits $2.15 $2.17 $2.34 $2.50 $3.81 $3.90 2017
Slide 10: Low Efficiency Ratio Demonstrates Disciplined Expense Control
Low Efficiency Ratio Demonstrates Disciplined Expense Control 10 Nasdaq BMRC 1 Peer group includes major exchange-traded Western region banks with assets of $2 billion to $10 billion. Latest available peer data as of Q2 2022. 2 Non-GAAP adjusted for merger-related expenses. Refer to page 12 for a re
Slide 11: 2022 & 2021 Results (Adjusted for one-time acquisition-related costs)
2022 & 2021 Results (Adjusted for one-time acquisition-related costs) 11 Nasdaq: BMRC 1 2022 and 2021 results are non-GAAP adjusted for merger-related expenses. Refer to page 12 for a reconciliation of GAAP to non-GAAP financial measures. 2 Excludes SBA PPP loans. 3 Decrease primarily due to a highe
Slide 12: Reconciliation of GAAP to Non-GAAP Financial Measures
Reconciliation of GAAP to Non-GAAP Financial Measures 12 Nasdaq: BMRC (in thousand, unaudited) Three months ended Nine months ended Year ended Net income September 30, 2022 June 30, 2022 September 30, 2022 September 30, 2021 December 31, 2021 Net income (GAAP) $ 12,174 $ 11,066 $ 33,705 $ 23,514 $ 3
Slide 13: Tax Equivalent Net Interest Margin
3.80% 3.90% 3.98% 3.55% 3.17% 2.96% 3.05% 3.16% 3.96% 4.19% 4.16% 3.58% 3.38% 3.21% 3.54% Bank of Marin Bancorp Peer Group Median 2017 2018 2019 2020 2021 Q1'22 Q2'22 Q3'22 2.75% 3.00% 3.25% 3.50% 3.75% 4.00% 4.25% 4.50% Tax Equivalent Net Interest Margin 13 Nasdaq: BMRC 1 Peer group includes major
Slide 14: Deposit Betas
Deposit Betas 14 Nasdaq: BMRC Actual Historical Interest Rates and Deposit Betas Fed Funds Rate Non-Maturity Interest Bearing Deposits Beta Total Deposits Implied Beta December 2015 0.25 % 0.15 % 0.08 % December 2018 2.50 % 0.20 % 2 % 0.10 % 1 % February 2020 Peak (full cycle beta) 0.48 % 15 % 0.24
Slide 15: Strong Capital Ratios Support Future Growth Opportunities
Strong Capital Ratios Support Future Growth Opportunities 15 Nasdaq: BMRC 6.5% 8.0% 10.0% 5.0% 14.2% 14.2% 15.1% 9.2% 7.5% Well Capitalized Threshold Bank of Marin Bancorp (as of September 30, 2022) Common Equity Tier-One Risk-Based Capital Total Tier-One Risk-Based Capital Total Risk-Based Capital
Slide 16: Peer Comparison Financial Measures
Peer Comparison Financial Measures (Adjusted for one-time acquisition-related costs) 16 Nasdaq: BMRC Performance Measures (dollars in thousands) BMRC Q2 2022 Peer Median Q2 2022 Percentile BMRC FY 2021 Peer Median FY 2021 Percentile Non-Interest Bearing/Total Deposits 53.12 % 36.77 % 100.0 % 50.16 %
Slide 17: Dependable Earnings and Dividend Growth
$1.89 $1.27 $2.33 $2.48 $2.22 $2.30 $0.51 $0.56 $0.64 $0.80 $0.92 $0.94 $23.1 $33.2 Earnings per Share Dividends per Share Net Income 2016 2017 2018 2019 2020 2021 $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $5.0 $10.0 $15.0 $20.0 $25.0 $30.0 $35.0 $40.0 Dependable Earnings and Dividend Growth 17 Nasdaq: BM
Slide 18: Bank of Marin's Strategic Priorities
Bank of Marin’s Strategic Priorities 18 Nasdaq: BMRC Driving strategic and disciplined growth Drive LOAN GROWTH Grow NON-INTEREST INCOME Scale through EFFICIENCY GAINS and ACQUISITIONS Invest in TALENT and TECHNOLOGY
Slide 19: Contact Us
Contact Us 19 Nasdaq: BMRC Tim Myers President & Chief Executive Officer (415) 763-4970 timmyers@bankofmarin.com Tani Girton EVP, Chief Financial Officer (415) 884-7781 tanigirton@bankofmarin.com Media Requests: Yahaira Garcia-Perea Marketing & Corporate Communications Manager (916) 231-6703 yahaira
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