Temecula Valley Bancorp Inc · OTC:TMCV
Temecula Valley Bancorp — 2006 West Coast Super-Community Bank Conference
35 slides from Temecula Valley Bancorp's conference presentation, Sep 14, 2006
Slide 1: Temecula Valley Bancorp, Inc.
Temecula Valley Bancorp, Inc. Temecula Valley Bancorp, Inc. Stephen H. Wacknitz Stephen H. Wacknitz President, CEO & Chairman of the Board President, CEO & Chairman of the Board 2006 West Coast 2006 West Coast Super Super-Community Bank Conference Community Bank Conference Sept 7 & 8, 2006 Sept 7 &
Slide 2: Safe Harbor Statement
2 Safe Harbor Statement Safe Harbor Statement Certain statements contained in this presentation, including, without limitation, statements containing the words “believes”, “anticipates”, “intends”, and “expects”, and words of similar import, constitute “forward-looking statements” within the meaning
Slide 3: Company Overview
3 Company Overview Company Overview ⑀⍼⑀⍼ NASDAQ Symbol: NASDAQ Symbol: TMCV TMCV ⑀⍼⑀⍼ Market Capitalization 6/30/06: Market Capitalization 6/30/06: $183.73 $183.73 Million Million ⑀⍼⑀⍼ Total Assets: Total Assets: $1.03 $1.03 Billion Billion ⑀⍼⑀⍼ Number of Offices: Number of Offices: ⑀⍼ 9 Full Servic
Slide 4: Major Business Lines
4 Major Business Lines Major Business Lines ⑀⍼⑀⍼ Community Banking Community Banking ⑀⍼⑀⍼ SBA Lending SBA Lending ⑀⍼⑀⍼ Construction Lending Construction Lending
Slide 5: Leader in Community Banking
5 Leader in Community Banking Leader in Community Banking Riverside & San Diego: Riverside & San Diego: Two of the Fastest Growing Counties in CA Two of the Fastest Growing Counties in CA ⑀⍼ Operating 9 full service offices ⑀⍼ Tenth full service office in Ontario to open in 4th quarter ⑀⍼ Population
Slide 6: Leader in SBA Lending
6 Leader in SBA Lending Leader in SBA Lending ⑀⍼⑀⍼ SBA loan production offices operate in 16 SBA loan production offices operate in 16 states states ⑀⍼⑀⍼ SBA Fiscal Year 2005, based on dollar volume SBA Fiscal Year 2005, based on dollar volume ⑀⍼ Ranked 15th largest SBA 7(a) lender ⑀⍼ Ranked 16th la
Slide 7: Leader in Construction Lending
7 Leader in Construction Lending Leader in Construction Lending ⑀⍼⑀⍼ RE Construction Financing RE Construction Financing ⑀⍼ Tract & multi-unit housing ⑀⍼ Commercial & industrial buildings ⑀⍼ Retail space ⑀⍼ Single family residential housing ⑀⍼⑀⍼ Offices: Offices: ⑀⍼ Northern California, San Rafael s
Slide 8: Financial Summary: 1st Half 2005 vs. 1st Half 2006
8 Financial Summary Financial Summary 1st Half 2005 vs. 1st Half 2006 1st Half 2005 vs. 1st Half 2006 3.56 3.56 $20.25 $20.25 $5.69 $5.69 $0.73 $0.73 8.87 8.87 MM MM 30.10% 30.10% 2.10% 2.10% $6.95 $6.95 $50 $50 $644 $644 $620 $620 $724 $724 1H05 1H05 9.14 9.14 MM MM Shares Outstanding Shares Outsta
Slide 9: Financial Achievements
9 Financial Achievements Financial Achievements ⑀⍼⑀⍼ Key Ratios Key Ratios 27.19% 27.19% 1.86% 1.86% 58.83% 58.83% 89.74% 89.74% 6.81% 6.81% 1H06 1H06 2005 YE 2005 YE 27.71% 27.71% Return on Average Equity Return on Average Equity 1.91% 1.91% Return on Average Assets Return on Average Assets 60.31%
Slide 10: Total Assets
10 10 Total Assets Total Assets $ Millions $ Millions ⑀⍼⑀⍼ 2001 2001-1H06 CAGR = 35.9% 1H06 CAGR = 35.9% $190 $311 $431 $607 $869 $1,028 $- $200 $400 $600 $800 $1,000 $1,200 2001 2002 2003 2004 2005 1s t Half 06
Slide 11: Total Loans
11 11 Total Loans Total Loans $ Millions $ Millions ⑀⍼⑀⍼ 2001 2001-1H06 CAGR = 38.9% 1H06 CAGR = 38.9% $150 $271 $361 $530 $753 $914 $- $200 $400 $600 $800 $1,000 2001 2002 2003 2004 2005 1st Half 06
Slide 12: Loan Portfolio - Portfolio Mix
12 12 Loan Portfolio Loan Portfolio June 30, 2006 June 30, 2006 - Portfolio Mix Portfolio Mix Consumer Loans 0% Commercial Loans 4% Real Estate Other 29% SBA Loans 14% Construction Loans 53%
Slide 13: Loan Portfolio - RE Secured / Other
13 13 Loan Portfolio Loan Portfolio June 30, 2006 June 30, 2006 - RE Secured / Other Secured & Unsecured RE Secured / Other Secured & Unsecured Other & Unsecured 5% RE Secured 95%
Slide 14: RE Loan to Value
14 14 RE Loan to Value RE Loan to Value June 30, 2006 June 30, 2006 - Weighted Average LTV Weighted Average LTV 64.0% 48.6% 76.8% 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% Construction Non-Const. RE SBA RE
Slide 15: RE Construction Portfolio
15 15 RE Construction Portfolio RE Construction Portfolio June 30, 2006 June 30, 2006 Speculative Residential Const. 55% Owner-Occ. Res. Const. 6% Other Construction 10% Speculative Com'l Const. 9% Owner-Occ. Com'l Const. 20%
Slide 16: RE Spec Residential Construction
16 16 RE Spec Residential Construction RE Spec Residential Construction June 30, 2006 June 30, 2006 Condominium Construction 9% High-End Condominium Construction 20% High-End Residential Const (1-4 units) 24% High-End Residential Tract Const (over 4 units) 11% Tract Construction (over 4 units) 12% M
Slide 17: Non-Construction RE Portfolio
17 17 Non Non-Construction RE Portfolio Construction RE Portfolio June 30, 2006 June 30, 2006 Owner- Occupied Commercial 18% Unimproved Land 30% Retail Investment 4% Ind / Whse Investment 11% Hotel / Motel 17% Misc Com'l / Other 16% Office Investment 4% Apts. Mini-Storage AVG LTV 48% AVG LTV 44.8% A
Slide 18: Strong Credit Performance
18 18 Strong Credit Performance Strong Credit Performance 0.00% 0.10% 0.20% 0.30% 0.40% 0.50% 0.60% 0.70% 2001 2002 2003 2004 2005 1H-06 Net Non-performing Assets / Assets Net Charge Offs / Average Total Loans
Slide 19: Total Deposits
19 19 Total Deposits Total Deposits $ Millions $ Millions ⑀⍼⑀⍼ 2001 2001-1H06 CAGR = 35.6% 1H06 CAGR = 35.6% $173 $269 $383 $535 $742 $922 $- $200 $400 $600 $800 $1,000 2001 2002 2003 2004 2005 1st Half 06
Slide 20: Deposit Mix
20 20 Deposit Mix Deposit Mix June 30, 2006 June 30, 2006 Time Deposits Over $100,000 35% Savings Accounts 4% Money Market & NOW 12% Time Deposits Under $100,000 32% Non-Interest Bearing Deposits 17%
Slide 21: Net Interest Margin
21 21 Net Interest Margin Net Interest Margin ⑀⍼⑀⍼ Bank is Asset Sensitive Bank is Asset Sensitive ⑀⍼ Increase in Fed Funds and Prime Rates have resulted in increasing NIM 6.73% 6.23% 5.67% 5.96% 6.78% 6.81% 0.00% 2.50% 5.00% 7.50% 10.00% 2001 2002 2003 2004 2005 1st Half 06
Slide 22: Net Income
22 22 $0 $2 $4 $6 $8 $10 $12 $14 $16 2001 2002 2003 2004 2005 1st Half 06 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Net Income Net Income $ Millions $ Millions 1.80 4.19 7.85 10.58 13.95 8.51 ⑀⍼⑀⍼ 2001 2001-2005 CAGR = 50.6% 2005 CAGR = 50.6%
Slide 23: Operating Revenue Contribution by Line of Business
23 23 Operating Revenue Operating Revenue Contribution by Line of Business Contribution by Line of Business 0% 20% 40% 60% 80% 100% 2002 2003 2004 2005 1st Half 06 SBA Construction Commercial Banking Mortgage
Slide 24: Non Interest Income
24 24 Non Interest Income Non Interest Income 0% 20% 40% 60% 80% 100% 2002 2003 2004 2005 1st Half 05 1st Half 06 Other Income Gain (Loss) on Other Assets & OREO Loan Related Income Servicing Income Loan Broker Income Service Charges & Fees Gain on Sale of Loans
Slide 25: Gross Income
25 25 Gross Income Gross Income 0.00 10.00 20.00 30.00 40.00 50.00 60.00 70.00 2001 2002 2003 2004 2005 1st Half 06 Net interest income Non interest income 18.24 31.33 43.43 55.90 67.36 39.32 $ Millions $ Millions ⑀⍼⑀⍼ 2001 2001-2005 CAGR = 29.9% 2005 CAGR = 29.9%
Slide 26: Diluted Earnings Per Share
26 26 - 0.25 0.50 0.75 1.00 1.25 1.50 1.75 2.00 2001 2002 2003 2004 2005 1st Half 06 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Diluted Earnings Per Share Diluted Earnings Per Share ⑀⍼⑀⍼ 2001 2001-2005 CAGR = 24.4% 2005 CAGR = 24.4% . 25 .50 .89 1.13 1.46 .89
Slide 27: Return on Average Assets
27 27 Return on Average Assets Return on Average Assets 1.15% 1.69% 2.04% 2.00% 1.91% 1.86% 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 2001 2002 2003 2004 2005 1st Half 06
Slide 28: Return on Average Equity
28 28 Return on Average Equity Return on Average Equity 14.82% 24.34% 31.84% 28.94% 27.71% 27.19% 0.00% 5.00% 10.00% 15.00% 20.00% 25.00% 30.00% 35.00% 2001 2002 2003 2004 2005 1st Half 06
Slide 29: Strategic Objectives
29 29 Strategic Objectives Strategic Objectives ⑀⍼⑀⍼ Maintain net income above industry average Maintain net income above industry average ⑀⍼⑀⍼ Maintain reasonable operating costs while Maintain reasonable operating costs while providing the best service available providing the best service availabl
Slide 30: Strong Sustainable Growth: Milestones 2002-2003
30 30 Strong Sustainable Growth Strong Sustainable Growth ⑀⍼⑀⍼ Milestones Milestones ⑀⍼⑀⍼ Announced record earnings of 132% over prior year Announced record earnings of 132% over prior year ⑀⍼⑀⍼ $145 million increase in SBA loan production earned $145 million increase in SBA loan production earned d
Slide 31: Strong Sustainable Growth: Milestones 2004-2005
31 31 Strong Sustainable Growth Strong Sustainable Growth ⑀⍼⑀⍼ Milestones Milestones ⑀⍼⑀⍼ Awarded the Awarded the “Three year stock appreciation award" for Three year stock appreciation award" for yielding 360% to investors from 2001 to 2003 by Carpenter yielding 360% to investors from 2001 to 2003
Slide 32: Strong Sustainable Growth: Milestones
32 32 Strong Sustainable Growth Strong Sustainable Growth ⑀⍼⑀⍼ Milestones Milestones ⑀⍼⑀⍼ Awarded the "Five year stock appreciation award" for Awarded the "Five year stock appreciation award" for yielding 675% to investors from 2001 to 2005 by yielding 675% to investors from 2001 to 2005 by Carpente
Slide 33: Why Buy TMCV
33 33 Why Buy TMCV Why Buy TMCV ⑀⍼⑀⍼ Located in high growth areas of San Diego Located in high growth areas of San Diego & Riverside Counties & Riverside Counties ⑀⍼⑀⍼ Substantial opportunity to take additional Substantial opportunity to take additional deposit market share deposit market share ⑀⍼⑀⍼
Slide 34: Stock Performance
34 34 Stock Performance Stock Performance 0% 100% 200% 300% 400% 500% 600% 700% 8/14/01 4/05/02 11/15/02 7/03/03 2/18/04 10/01/04 5/17/05 12/29/05 8/15/06 TM CV S&P 500 NASDAQ Bank Index S&P Bank Index 459.76% 47.37% 31.41% 8.33% Announced 2 for 1 stock split Recognized as 2nd most profitable bank i
Slide 35: Temecula Valley Bancorp, Inc
Temecula Valley Bancorp, Inc Temecula Valley Bancorp, Inc
Temecula Valley Bancorp — 2006 West Coast Super-Community Bank Conference on 6ix