Byline Bancorp, Inc. · NYSE:BY
Byline Bancorp — Q4 2021 Earnings Presentation
23 slides from Byline Bancorp's earnings presentation, Apr 28, 2022
Slide 1: Q4 2021 Conference Call
Q4 2021 Conference Call Byline Bancorp, Inc:
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: Full Year 2021 Summary
Full Year 2021 Summary Record Performance Highlights Revenue of $310.6 million Net income of $92.8 million Net gains on sales of loans of $46.3 million Loan servicing revenue of $12.7 million Wealth management and trust income of $3.1 million Returned $40.3 million capital to common stockholders thr
Slide 4: Fourth Quarter 2021 Highlights
$17.2 million Net Income $0.45 Earnings per Diluted Share 1.02% Return on Average Assets 10.94% Return on Tangible Common Equity(1) $6.7 billion Total Assets 41.9% Non-interest Bearing Deposits 3.97% Net Interest Margin (FTE)(1) 11.39% CET1 Capital Ratio Fourth Quarter 2021 Highlights Balance Sheet
Slide 5: Loan and Lease Trends
Loan and Lease Trends ($ in millions) Originations and Payoffs(1) Portfolio by Segment Total Loans & Leases and Average Yield Rate Type(1) Year-over-Year Change, ex. PPP $648.0MM or 16.9% Excludes PPP Loans. Total loans and leases decreased 4.8% annualized, to $4.6 billion, primarily driven by PPP f
Slide 6: Government-Guaranteed Lending
Government-Guaranteed Lending ($ in millions) On Balance Sheet SBA 7(a) & USDA Loans #5 SBA 7(a) lender in the United States for Fiscal Year 2021 #1 SBA 7(a) lender in: Illinois Wisconsin South Dakota #1 Third Party Lender for SBA 504 loans in Illinois #1 International Trade Loan Lender nationally C
Slide 7: Deposit Trends
Total deposits were $5.2 billion, flat from 3Q21 Strong inflow of commercial non-interest bearing deposits Deposit mix remains exceptional with non-interest bearing representing 41.9% of total deposits Commercial deposits accounted for 48.9% of total deposits and represents 76.0% of all non-interest
Slide 8: Net Interest Income and Net Interest Margin Trends
Net Interest Income and Net Interest Margin Trends ($ in millions) Net interest income was $61.7 million, up 3.1% from 3Q21 Net interest margin increased 5 basis points from 3Q21 to 3.96% Excluding accretion income, net interest margin increased 7 basis points from 3Q21 $237.9 million of CDs maturin
Slide 9: Non-Interest Income Trends
Total Non-Interest Income Non-Interest Income Trends ($ in millions) Non-interest income was $19.0 million, up 2.8% from 3Q21 Balanced growth in fee income with largest increase stemming from other non-interest income, primarily due to: Increase in BOLI income Net gains on sales of loans increased 1
Slide 10: Non-Interest Expense Trends
Non-Interest Expense Trends ($ in millions) Non-interest expense increased to $59.0 million from $44.2 million in 3Q21, primarily attributable to: $11.1 million increase in other non-interest expense related to impairment charges on assets held for sale and branch consolidation charges $2.9 million
Slide 11: Asset Quality Trends
Asset Quality Trends ($ in millions) NPLs / Total Loans & Leases Loss Absorbency 1.31% 1.54% Net Charge-offs Non-performing assets to total assets declined to 0.38% in 4Q21 from 0.56% in 3Q21 NPLs / total loans and leases decreased 24 bps to 0.51% in 4Q21 from 0.75% in 3Q21 NCOs / average loans and
Slide 12: Strong Capital Position and Focus on Return on Capital
Project Sox Offer Migration Strong Capital Position and Focus on Return on Capital Capital Ratios Return on Average Tangible Common Equity (1) Tangible Book Value per Share ($) (1) (1) Returned $40.3 million capital to common stockholders through dividends and share repurchases in 2021 Repurchased 1
Slide 13: 2022 Strategic Priorities and Outlook
2022 Strategic Priorities and Outlook Drive organic commercial loan and deposit growth Continue Investing in Technology to Improve Efficiencies and Enhance Revenue Generation Strategic M&A Opportunities and Team Lift-Outs with Attractive Metrics and Return Profile Increase Return of Capital to Stock
Slide 14: Appendix
Appendix @ Byline Bancorp, Inc.
Slide 15: Paycheck Protection Program Overview
At or For the Three Months Ended 9/30/21 12/31/21 Gross PPP Loans $275.6 $127.2 Average PPP Loans, net $383.8 $193.3 Average Borrowings Under PPPLF $252.5 $96.4 PPP Interest and Processing Fee Income $5.4 $4.5 PPPLF Interest Expense $0.3 $0.1 Average Loan Yield ex. PPP 4.87% 4.85% PPP Deferred Loan
Slide 16: Projected Acquisition Accounting Accretion
Projected Acquisition Accounting Accretion Projected Accretion(1) ($ in millions) Accretion as a Percentage of Total Revenue Projections are updated quarterly, assumes no prepayments and are subject to change.
Slide 17: Quarterly Financial Summary
As of or For the Three Months Ended (dollars in thousands, except per share data) December 31, September 30, June 30, March 31, December 31, 2021 2021 2021 2021 2020 Income Statement Net interest income $ 61,728 $ 59,845 $ 58,174 $ 56,640 $ 56,020 Provision for loan and lease losses (1,293) 352 (1,9
Slide 18: Non-GAAP Reconciliation
Non-GAAP Reconciliation As of or For the Three Months Ended (dollars in thousands, except per share data) December 31, 2021 September 30, 2021 June 30, 2021 March 31, 2021 December 31, 2020 Net income and earnings per share excluding significant items Reported Net Income $ 17,189 $ 25,306 $ 28,492 $
Slide 19: Non-GAAP Reconciliation: Adjusted Non-Interest Expense and PTPP
As of or For the Three Months Ended (dollars in thousands) December 31, 2021 September 30, 2021 June 30, 2021 March 31, 2021 December 31, 2020 Adjusted non-interest expense: Non-interest expense $ 58,968 $ 44,180 $ 42,981 $ 38,842 $ 47,021 Less: Significant items Impairment charges on assets held fo
Slide 20: Non-GAAP Reconciliation: Tangible Common Equity
As of or For the Three Months Ended (dollars in thousands) December 31, 2021 September 30, 2021 June 30, 2021 March 31, 2021 December 31, 2020 Tangible common stockholders' equity: Total stockholders' equity $ 836,382 $ 824,418 $ 817,073 $ 793,795 $ 805,464 Less: Preferred stock 10,438 10,438 10,438
Slide 21: Non-GAAP Reconciliation: PTPP ROAA and NIM
As of or For the Three Months Ended (dollars in thousands, except share and per share data, ratios annualized, where applicable) December 31, 2021 September 30, 2021 June 30, 2021 March 31, 2021 December 31, 2020 Pre-tax pre-provision return on average assets: Pre-tax pre-provision net income $ 21,7
Slide 22: Non-GAAP Reconciliation: Adjusted Returns
As of or For the Three Months Ended December 31, 2021 September 30, 2021 June 30, 2021 March 31, 2021 December 31, 2020 Adjusted return on average assets: Adjusted net income $ 26,261 $ 26,350 $ 29,905 $ 22,237 $ 15,193 Average total assets 6,699,069 6,560,868 6,720,492 6,587,765 6,400,621 Adjusted
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