German American Bancorp, Inc. · NASDAQ:GABC
German American Bancorp — Shareholder Meeting (May 2018)
38 slides from German American Bancorp's shareholder meeting presentation, May 18, 2018
Slide 1: 2018 Annual Meeting
PUedcome 2018 Annual Meeting ree FOUNDATION OF bine Success ia a» aren.
Slide 2: Mark A. Schroeder, Chairman and CEO
Mark A. Schroeder Chairman and CEO dil German American Bancorp, Inc.
Slide 3: Directors for Re-election
Directors for Re-election Marc D. U. Butch Raymond W. Fine Klem Snowden
Slide 4: Board of Directors
Douglas A. Bawel Lonnie D. Collins Christina M. Ernst Marc D. Fine U. Butch Klem J. David Lett Qa @e ea @ ea Chris A. Ramsey M.DarrenRoot — Mark A.Schroeder Thomas W.Seger Raymond W.Snowden —_Michael J. Voyles
Slide 5: Introductions
Introductions
Slide 6: German American Bancorp, Inc.
= German American Bancorp, Inc.
Slide 7: Management Report
Management Report
Slide 8: Cautionary Note Regarding Forward-Looking Statements
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS When used in this presentation and our oral statements, the words or phrases “believe,” “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimate,” “project,” “plans,” or similar expressions are intended to identify “fo
Slide 9: 2017 Year in Review
2017 Year in Review
Slide 10: Who We Are
Who We Are Southern Indiana Community-focused Financial Services Organization • Banking, Insurance, Investments & Trust • $3.1 Billion Total Banking Assets • $1.3 Billion Investment and Trust Assets Under Management • $60 Million Annual Insurance Premiums • 600+ FTEs • 54 Branch Offices
Slide 11: Bradley M. Rust, Executive Vice President and CFO
Bradley M. Rust Executive Vice President and CFO
Slide 12: Financial Trends
Financial Trends
Slide 13: Net Income & Earnings Per Share
Net Income & Earnings Per Share Earnings Per Share $45,000 $40,676 $40,000 $35,184 $35,000 $30,064 $30,000 $28,344 $25,413 $25,000 $20,000 $1.77 $1.57 $1.43 $1.51 $15,000 $1.32 $10,000 $5,000 $- 12/31/2013 12/31/2014 12/31/2015 12/31/2016 12/31/2017 (Dollars in Thousands, Except Per Share Amounts) *
Slide 14: Total Assets and Annualized Return on Assets
Total Assets Annualized Return on Assets $3,500 $3,144 $3,125 $2,956 $3,000 $2,500 $2,374 $2,164 $2,237 $2,000 $1,500 1.51% 1.33% 1.35% 1.25% 1.31% 1.24% $1,000 $500 $- 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17 03/31/18 (Dollars in Millions)
Slide 15: Total Loans, Net of Unearned Income
Total Loans, Net of Unearned Income Commercial & Agricultural Loans as % of Total Loans $2,500 $2,250 $2,142 $2,151 $1,990 $2,000 $1,750 $1,564 $1,448 $1,500 $1,382 $1,250 $1,000 $750 81% 81% 82% 81% 81% 82% $500 $250 $- 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17 03/31/18 (Dollars in Millions)
Slide 16: Loan Portfolio Composition
Loan Portfolio Composition As of December 31, 2017 Total Loans $2,141.6 million Residential Mortgage Loans, $ 179.6 million, 8% Construction & Development Loans, $ 119.7 million, 6% Home Equity Loans, $152.3 million, 7% Agricultural Loans, $ 333.6 million, 16% Consumer Loans, $ 45.1 million, 2% Mult
Slide 17: Non-Performing Assets to Total Assets
Non-Performing Assets to Total Assets 2.50% 2.00% 1.45% 1.50% 1.04% 1.00% 0.84% 0.76% 0.48% 0.44% 0.50% 0.29% 0.34% 0.38% 0.15% 0.14% 0.00% 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17 03/31/18 GABC Peer Group
Slide 18: Total Deposits
Total Deposits Non-Maturity Deposit Accounts as % of Total Deposits $3,000 $2,484 $2,467 $2,500 $2,350 $2,000 $1,812 $1,780 $1,826 $1,500 83% 84% 84% 84% 81% 81% $1,000 $500 $- 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17 03/31/18 (Dollars in Millions)
Slide 19: Total Deposit Composition
Total Deposit Composition as of December 31, 2017 Total Deposits $2,484.0 million Non-Interest Bearing Demand, $606.1 million, 24% Interest Bearing Demand, Savings & Money Market, $1,490.0 million, 60% Cost of Funds 2013 0.37% 2014 0.30% Time Deposits, $387.9 million, 2015 0.28% 16% 2016 0.32% 2017
Slide 20: Total Shareholders' Equity and Return on Equity
Total Shareholders’ Equity Annualized Return on Equity $400 $365 $364 $350 $330 $300 $252 $250 $229 $200 $200 $150 13.40% 13.21% 13.00% 12.47% 10.94% 11.59% $100 $50 $- 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17 03/31/18 (Dollars in Millions)
Slide 21: Net Interest Income and Net Interest Margin
Net Interest Income Net Interest Margin (Tax-Equivalent) $120,000 $105,057 $99,470 $100,000 $79,072 $80,000 $76,991 $70,319 $60,000 3.76% 3.75% 3.76% 3.70% 3.67% $40,000 $25,993 $26,261 3.86% $20,000 3.66% $- 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17 Q1 '17 Q1 '18 (Dollars in Thousands)
Slide 22: Non-Interest Income
Non-Interest Income Non-Interest Income as % of Total Revenue $35,000 $32,013 $31,854 $30,000 $27,444 $25,000 $23,615 $23,937 $20,000 26% $15,000 25% 24% 24% 23% $9,492 $10,000 $8,188 27% 24% $5,000 $- 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17 Q1 '17 Q1 '18 (Dollars in Thousands)
Slide 23: Non-Interest Expense and Efficiency Ratio
Non-Interest Expense Efficiency Ratio $90,000 $80,000 $76,587 $77,803 $70,000 $61,326 $57,713 $60,000 $54,905 $50,000 $40,000 58.5% 58.3% 57.6% $30,000 57.2% 56.8% $19,036 $20,445 $20,000 57.2% $10,000 55.7% $- 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17 Q1 '17 Q1 '18 (Dollars in Thousands)
Slide 24: Net Income & Earnings Per Share
Net Income & Earnings Per Share Earnings Per Share $45,000 $40,676 $40,000 $35,184 $35,000 $30,064 $30,000 $28,344 $25,413 $25,000 $20,000 $1.77 $1.51 $1.57 $15,000 $1.43 $1.32 $11,813 $9,556 $10,000 $0.42 $0.51 $5,000 $- 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17 Q1 '17 Q1 '18 (Dollars in Thousan
Slide 25: German American Bancorp, Inc.
= German American Bancorp, Inc.
Slide 26: Northeast Market Branch Acquisition
Northeast Market Branch Acquisition Greensburg Location Columbus North Location
Slide 27: Market footprint map
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Slide 28: History of Superior Financial Performance
History of Superior Financial Performance Eight Years of Consecutive Record Earnings Performance Double-Digit Return on Equity for Past 13 Consecutive Fiscal Years Bank Director Magazine - Bank Performance Scorecard Top 10 National Ranking for Past 3 Years ($1 - $5 billion Publicly-traded Companies)
Slide 29: Comparison of Cumulative Total Return
Comparison of 5 Year Cumulative Total Return Assumes Initial Investment of $100,000 $350,000 15 years = $577,000 $300,000 10 years = $556,000 $250,000 $200,000 5 years = $272,000 $150,000 $100,000 $50,000 2012 2013 2014 2015 2016 2017 Russell 2000 Russell Microcap GABC Peer Group GABC Inc.
Slide 30: Our Mission
Our Mission German American is dedicated to helping individuals, families and businesses achieve greater prosperity and quality of life. Together, our financial team builds lasting client relationships based on integrity, responsive service, innovation, and shared values. We support the communities
Slide 31: Our Values
Our Values Integrity Our reputation relies on integrity. We value honesty, open communication, diverse perspectives, and high ethical principles. People People come first at German American. We invest in our communities and support social and economic development. We value respect and courtesy for e
Slide 32: Questions & Answers
Questions & Answers
Slide 33: Foundation of Success
FOUNDATION OF Success
Slide 34: Directors: Marc D. Fine, U. Butch Klem, Raymond W. Snowden
Marc D. U. Butch Raymond W. Fine Klem Snowden
Slide 35: German American Bancorp, Inc.
= German American Bancorp, Inc.
Slide 36: Slide 36
Slide 37: Douglas A Bawel & Michael J Voyles
Douglas A Bawel & Michael J Voyles
Slide 38: Slide 38
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