Slide 1: CVB Financial Corp. January 2023
Exhibit 99.1 CVB Financial Corp. January 2023
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements that are intended to be covered by the safe harbor for such statements provided by the Private Securities Litigation Reform Act of 1995. These statements are based on the current beliefs and expectations of the manageme
Slide 3: CVB Financial Corp. (CVBF) at a glance
Total Assets: $16.5 Billion Gross Loans: $ 9.1 Billion Total Deposits (Including Repos):$13.4 Billion Total Equity: $ 1.9 Billion CVB Financial Corp. (CVBF) Largest financial institution headquartered in the Inland Empire region of Southern California. Founded in 1974.
Slide 4: Bank Accomplishments & Ratings
As of 1/13/2023 CVB Financial Corp. is the holding company for Citizens Business Bank SNL Financial ranking of largest bank holding companies in CA, as of 12/31/2022 Bank Accomplishments & Ratings 183 Consecutive Quarters of Profitability 133 Consecutive Quarters of Cash Dividends Ranked #4 Forbes,
Slide 5: Business Financial Centers and CitizensTrust Locations
62 Business Financial Centers 4 CitizensTrust Locations Corporate Office Business Financial Centers CitizensTrust
Slide 6: Our Vision
Our Vision Citizens Business Bank will strive to become the premier financial services company operating throughout the state of California, servicing the comprehensive financial needs of successful small to medium sized businesses and their owners.
Slide 7: Target Customer
Target Customer The best privately-held and/or family-owned businesses throughout California Annual revenues of $1-300 million Top 25% in their respective industry Full relationship banking Build long-term relationships
Slide 8: Three Areas of Growth
Three Areas of Growth De Novo San Diego (2014) Oxnard (2015) Santa Barbara (2015) San Diego (2017) Stockton (2018) Modesto (2020) Acquisitions American Security Bank (2014) County Commerce Bank (2016) Valley Business Bank (2017) Community Bank (2018) Suncrest Bank (2022)
Slide 9: Acquisition Strategy
Acquisition Strategy Target size: $1 billion to $10 billion in assets Financial & Strategic In-market and/or adjacent geographic market (California) Banks: Banking Teams: In-market New markets
Slide 10: Q4 2022 Financial Highlights
Q4 2022 Financial Highlights Profitability ROATCE = 23.65% ROAA = 1.60% NIM = 3.69% Efficiency Ratio = 36.31% Income Statement Q4 Net Income = $66.2 million / EPS = $0.47 $2.5 million provision for credit losses ~43% growth in pretax pre-provision income from Q4’21 Balance Sheet Growth QTR/QTR Core
Slide 11: YTD 2022 Financial Highlights
YTD 2022 Financial Highlights Profitability ROATCE = 18.85% ROAA = 1.39% NIM = 3.30% Efficiency Ratio = 38.98% Income Statement 2022 Net Income = $235.4 million / EPS = $1.67 $10.6 million provision for credit losses ~ 25% growth in pretax pre-provision income Balance Sheet Growth YR/YR ~$1.2 billio
Slide 12: Selected Ratios
Selected Ratios 2020 2021 2022 Q4’21 Q3’22 Q4’22 ROATCE 14.25% 15.93% 18.85% 13.89% 21.34% 23.65% NIM 3.59% 2.97% 3.30% 2.79% 3.46% 3.69% Cost of Deposits 0.12% 0.04% 0.05% 0.03% 0.05% 0.08% Cost of Funds 0.13% 0.05% 0.06% 0.03% 0.05% 0.13% Efficiency Ratio 41.40% 41.09% 38.98% 41.80% 36.59% 36.31%
Slide 13: Selected Highlights: Income Statement
Selected Highlights ($ in Thousands) 2019 2020 2021 2022 3 YR CAGR Net Interest Income $ 435,772 $ 416,053 $414,550 $505,513 5% Noninterest Income 59,042 49,870 47,385 49,989 -5% Noninterest Expense (excl. Acq. exp.) 192,293 192,903 188,825 210,542 3% Acquisition Expense 6,447 - 962 6,013 PTPP 296,0
Slide 14: Selected Highlights: Average Balance Sheet
Selected Highlights ($ in Thousands) 2019 2020 2021 2022 3 YR CAGR Average Loans $ 7,552,505 $ 8,066,483 $ 8,065,877 $ 8,676,820 5% Average PPP Loans - 699,807 614,146 75,853 - Average Total Securities 2,339,554 2,504,020 4,058,459 5,939,554 36% Average Noninterest-bearing Deposits 5,177,035 6,281,9
Slide 15: Pretax-Pre Provision Income
Pretax-Pre Provision Income PTPP income (Non -GAAP*) PTPP ROAA (Non-GAAP*) * We use certain non-GAAP financial measures to provide supplemental information regarding our performance. ($ in Millions)
Slide 16: Quality Loan Growth
Quality Loan Growth Balances as of period-end ($ in Millions) 9% Annualized Core Loan Growth* 8% Core Loan Growth* * Excluding Suncrest and PPP loans.
Slide 17: Line Utilization Trends
Line Utilization Trends 7 Total D&L C&I
Slide 18: Credit Quality
Credit Quality NPA % Total Assets Classified Loans % Total Loans Allowance for Credit Losses Ne Offs t ge L 5 i ; z pa : ® = 2 8 (0.01%) g : = 2019 2022 2018 2019 2020 2021 2022 18 cbbank.com
Slide 19: Net Interest Income and NIM
Net Interest Income and NIM ($ in Millions)
Slide 20: Earning Assets
Earning Assets ($ in Millions) Average Earning Assets Yields
Slide 21: Cost of Deposits
Cost of Deposits For the Last 5 Years CVBF Ranked Among the 5 Lowest Cost of Deposits of the 50 Banks in the KRX Index * Source: S&P Capital IQ. Unweighted Average NASDAQ Regional Banking Index KRX (50 Banks)
Slide 22: 2022 Share Repurchase Program
2022 Share Repurchase Program ASR $70 million (2,994K shares retired) 10b5-1 Stock Repurchases (1,915K shares) Repurchase Program up to 10 Million Shares 2022 – 4.9 million shares repurchased Impact of Suncrest Acquisition and Share Repurchase Program on CVBF Common Stock
Slide 23: Dividends – Consecutive Quarters
Dividends – 133 Consecutive Quarters 133 Consecutive Quarters More than 30 years of cash dividends since 1989 * Dividend payout ratio calculated on per share basis.
Slide 24: Strong Capital Ratios
Strong Capital Ratios $885MM $737MM $568MM $436MM * Source: S&P Capital IQ. Unweighted Average NASDAQ Regional Banking Index KRX (50 Banks)
Slide 25: Q4 2022 Allowance by Portfolio
Q4 2022 Allowance by Portfolio CECL Update Highlights Provision for credit loss of $2.5M in Q4 2022 Lifetime historical loss models - Macroeconomic variables include GDP, Unemployment Rate, & CRE price index Weighting of multiple forecasts Allowance for Credit Losses – by Loan Type ($ in Millions) 9
Slide 26: Loans by Type
Loans by Type CRE $6.88B C&I $0.95B Other $1.25B
Slide 27: Loans by Region
($ in Thousands) # of Center Locations (12/31/22) Average Loans per Location Total Loans (12/31/22) % Los Angeles County 21 $159,120 $ 3,341,516 36.8% Central Valley and Sacramento 15 148,310 2,224,652 24.5% Orange County 10 112,390 1,123,896 12.4% Inland Empire (Riverside & San Bernardino Counties)
Slide 28: Owner/Non-Owner Occupied Commercial Real Estate Loans
Owner/Non-Owner Occupied Commercial Real Estate Loans Collateral Type
Slide 29: CRE by Collateral Origination Year
CRE by Collateral Origination Year Collateral Type Balance ($ in Millions) % of Owner Occupied LTV at Origination Avg. Size ($ in Thousands) 2022 2021 2020 2019 2018 2017 2016 or earlier Industrial $ 2,280 48% 50% $ 1,597 21% 20% 12% 7% 8% 9% 23% Office 1,175 24% 55% 1,723 22% 15% 17% 10% 6% 7% 23%
Slide 30: C&I by Industry
C&I by Industry Industry Balance ($ in Millions) % of C&I Total Real Estate Rental and Leasing $ 211 22% Manufacturing 156 16% Wholesale Trade 95 10% Construction 87 9% Arts, Entertainment, and Recreation 53 6% Health Care and Social Assistance 50 5% Professional, Scientific, and Technical Services
Slide 31: Relationship-Centered Deposit Base
Relationship-Centered Deposit Base At December 31, 2022
Slide 32: Deposits by Region
Deposits by Region ($ in Thousands) # of Center Locations (12/31/22) Total Deposits (9/30/22) Total Deposits (12/31/22) Average Deposits per Center (12/31/22) Los Angeles County 21 $5,546,882 $5,177,824 $246,563 Inland Empire (Riverside & San Bernardino Counties) 9 3,837,972 3,552,798 394,755 Centra
Slide 33: Relationship Banking Model
Relationship Banking Model Relationship Manager (Bank) Real Estate International Services Treasury Management Specialty Banking Construction Lending CitizensTrust/ Wealth Management Bankcard/ Processing SBA Citizens Home Lending Marketing Citizens Equipment Financing Government Services Customer Cre
Slide 34: Digital and Technology Solutions
Digital and Technology Solutions Leveraging technology, digital transformation and data to better serve our clients and associates 34 Recently Completed Powerful personal and business online banking and mobile apps with Remote Deposit Personal financial management integration Same-day ACH, Personal
Slide 35: Appendix Non-GAAP Reconciliation
Appendix Non-GAAP Reconciliation
Slide 36: Reconciliation of Return on Average Tangible Common Equity
Reconciliation of Return on Average Tangible Common Equity (Non-GAAP) The return on average tangible common equity is a non-GAAP disclosure. We use certain non-GAAP financial measures to provide supplemental information regarding our performance. We believe that presenting the return on average tang
Slide 37: Reconciliation of PTPP Return on Average Assets
Reconciliation of PTPP Return on Average Assets (Non-GAAP) The Pretax-pre provision income (“PTPP”) return on average assets is a non-GAAP disclosure. We use certain non-GAAP financial measures to provide supplemental information regarding our performance. We believe that presenting the return on av
Slide 38: Copy of presentation at www.cbbank.com
Copy of presentation at www.cbbank.com