Kearny Financial · NASDAQ:KRNY
Kearny Financial — Shareholder Meeting (October 2023)
25 slides from Kearny Financial's shareholder meeting presentation, Oct 26, 2023
Slide 1: Annual Meeting of Stockholders
ANNUAL MEETING OF STOCKHOLDERS O C TO B E R 2 6 , 2 0 2 3 10:00 AM
Slide 2: Welcome and Introductory Remarks
Welcome and Introductory Remarks Craig L. Montanaro Director, President and Chief Executive Officer 2
Slide 3: Members of the Board of Directors
Members of the Board of Directors John J. Mazur, Jr., Chairman Theodore J. Aanensen John F. McGovern Raymond E. Chandonnet Craig L. Montanaro Curtland E. Fields Leopold W. Montanaro John N. Hopkins Christopher Petermann Catherine A. Lawton Charles J. Pivirotto Joseph P. Mazza John F. Regan Melvina W
Slide 4: Executive Management Team
Executive Management Team Keith Suchodolski Patrick M. Joyce Anthony V. Bilotta, Jr. Thomas D. DeMedici Senior Executive Vice President Executive Vice President Executive Vice President Executive Vice President Chief Financial Officer Chief Lending Officer Chief Banking Officer Chief Credit Officer
Slide 5: Other Participants
Other Participants Corporate Secretary Legal Counsel Kearny Financial Corp. Luse Gorman, PC Gail Corrigan Marc Levy, Esq. Senior Vice President Independent Registered Public Inspector of Election Accounting Firm Computershare Crowe LLP Andrey Dragun, CPA Amilja Regan Partner Assistant Vice President
Slide 6: Business of the Meeting
Business of the Meeting Proposals to be voted upon: Election of six directors for the terms indicated; Ratification of the appointment of Crowe LLP as the Company’s independent auditor for the fiscal year ending June 30, 2024; Advisory, non-binding resolution to approve our executive compens
Slide 7: Review of Financial Results, Fiscal Year Ended June 30, 2023
ANNUAL MEETING OF STOCKHOLDERS R ev i ew o f F i n a n c i a l R e s u l t s F i s c a l Ye a r E n d e d J u n e 3 0 , 2 0 2 3
Slide 8: Forward Looking Statements & Non-GAAP Financial Measures
Forward Looking Statements & Non-GAAP Financial Measures This presentation may include certain “forward-looking statements,” which are made in good faith by Kearny Financial Corp. (the “Company”) pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These
Slide 9: Kearny Financial Corp.
Kearny Financial Corp. NASDAQ: KRNY Market Cap: $448.1 million1 Founded in 1884 Top 10 New Jersey-based financial institution by assets 43 full-service branches2 in 12 counties throughout New Jersey and New York City Active acquirer, having completed 7 whole-bank acquisitions since 1999 9 1 As of Oc
Slide 10: 139 Years of Serving our Communities and Clients
139 Years of Serving our Communities and Clients Formed the KearnyBank foundation funded with $10M Completed Second- South Bergen Savings West Essex Bank Central Jersey Step Conversion and Clifton Bancorp Introduced Private Founded, Kearny, NJ Bank Acquired Acquired Bancorp Acquired $717.5M Stock Ac
Slide 11: Fiscal 2023 – Financial Highlights
Fiscal 2023 – Financial Highlights Net Income Adjusted Net Income2 Diluted EPS (GAAP) (Adjusted)2 $40.8 million $50.6 million $0.63 $0.78 Total Assets Total Loans1 Total Deposits $8.1 billion $5.9 billion $5.6 billion Reduction in Interest Added $675 million of fair value asset swaps Rate Sensitiv
Slide 12: Equity & Capitalization
Equity & Capitalization Equity Capitalization Level Regulatory Capital Ratios1,2 20.00% 14.75% 16.99% 14.07% 14.07% 13.95% 16.04% 14.32% 11.46% 15.00% 11.20% 11.58% 9.59% 10.78% 9.07% 10.00% 14.19% 13.29% 11.72% 5.00% 9.06% 8.35% 0.00% 2019FY 2020FY 2021FY 2022FY 2023FY Tier 1 Common Equity Tier 1 R
Slide 13: Capital Management
Capital Management Cumulative Capital Returned to Stockholders1 ($ millions) $960 $903 $181 $743 $152 $596 $122 $502 $94 $69 $751 $779 $621 $502 $433 2019FY 2020FY 2021FY 2022FY 2023FY Repurchase of Common Stock Dividends Paid Repurchased 2.8 million shares during Fiscal 2023 at an average price of
Slide 14: Earnings Performance
Earnings Performance Earnings per Share1 $1.25 $0.98 $1.00 $0.81 $0.95 $0.78 $0.75 $0.77 $0.54 $0.63 $0.47 $0.50 $0.55 $0.46 $0.25 $0.00 2019FY 2020FY 2021FY 2022FY 2023FY 1 Adjusted EPS GAAP EPS Fiscal 2023 earnings per share were challenged due to the rapid increase in short-term interest rates wh
Slide 15: Deposits
Deposits Deposit Composition1 Deposit Growth ($ millions) $5,862 $5,629 11.4% 10.8% $5,485 $654 $610 $594 $4,430 $4,147 $419 YTD Cost $309 $1,902 $2,266 $2,253 24.5% of Deposits $843 $1,264 1.47% 40.0% $791 $907 $1,111 $1,053 $749 $302 $67 $479 $640 13.3% $773 $1,902 $1,773 $1,399 $1,377 $1,116 Noni
Slide 16: Portfolio Lending
Portfolio Lending Loan Composition1 Loan Growth Geographic Distribution2 2.5% ($ millions) $5,850 Other 3.9% $5,437 Pennsylvania 4.4% $4,880 5.8% $4,731 $4,540 $969 $1,020 16.6% $1,259 $1,079 $961 29.1% New York YTD Yield $2,762 35.3% $2,409 LTV on Loans $1,946 $2,060 $2,039 61.0% 4.00% 0.7% New Jer
Slide 17: Asset Quality
Asset Quality Net Charge-Offs / Average Loans Non-Performing Assets / Total Assets 0.15% 1.50% 1.19% 0.07% 1.25% 1.10% 0.10% 1.00% 0.69% 0.05% 0.03% 0.75% 0.55% 0.02% 0.01% 0.00% 0.50% 0.31% 0.00% 0.25% 2019FY 2020FY 2021FY 2022FY 2023FY 0.00% -0.05% 2019FY 2020FY 2021FY 2022FY 2023FY Non-Performing
Slide 18: M&A History and Strategy
M&A History and Strategy Experienced and disciplined acquirer and integrator Opportunistic acquisition strategy with an emphasis on: Low premium deals Similar or complementary business models Expansion in existing or contiguous markets Cultural compatibility Focus on limiting tangible book value dil
Slide 19: Selected Technology Partners
Selected Technology Partners 19
Slide 20: Environmental, Social & Governance (ESG)
Environmental, Social & Governance (ESG) The Company recently released an ESG Highlights Report disclosing updates to our ESG program during fiscal 2023 including: Welcoming two new directors to the Boards of Kearny Financial Corp. and Kearny Bank Appointing a Director of Diversity, Equity and Inclu
Slide 21: Non-GAAP Reconciliation
Non-GAAP Reconciliation Appendix A: Reconciliation of GAAP to Non-GAAP For the year ended For the year ended For the quarter ended For the quarter ended For the quarter ended For the quarter ended (Dollars and Shares in Thousands, June 30, June 30, June 30, March 31, December 31, September 30, Excep
Slide 22: Non-GAAP Reconciliation
Non-GAAP Reconciliation Appendix A: Reconciliation of GAAP to Non-GAAP For the year ended For the year ended For the quarter ended For the quarter ended For the quarter ended For the quarter ended (Dollars and Shares in Thousands, June 30, June 30, June 30, March 31, December 31, September 30, Excep
Slide 23: Stockholder Questions
Stockholder Questions Questions? 23
Slide 24: Results of Voting
Results of Voting Report of the Inspector of Election 24
Slide 25: Annual Meeting of Stockholders
ANNUAL MEETING OF STOCKHOLDERS O C TO B E R 2 6 , 2 0 2 3 10:00 AM
Kearny Financial — Shareholder Meeting (October 2023) on 6ix