Bancfirst Corporation · NASDAQ:BANF
Bancfirst — Investor Presentation (June 2021)
37 slides from Bancfirst's investor presentation, Jun 4, 2021
Slide 1: Exhibit 99.1
1 Exhibit 99.1
Slide 2: BancFirst Corporation Profile
Relationship Banking 170,000 retail households and 40,000 commercial relationships More Oklahoma households bank with BancFirst than any other bank Overwhelmingly funded by core deposits 106 locations in 58 Oklahoma communities including the MSAs of Oklahoma City, Tulsa, Muskogee and Lawton Pegasus
Slide 3: BancFirst Corporation Profile: Credit Culture and Acquisition Strategy
Conservative Credit Culture Aggressive loan review function; proactive portfolio management Historically low problem loan and charge off ratios Acquisition and Integration Strategy Communities with a diversified employment base and reasonable growth Disciplined analysis, pricing and structuring of e
Slide 4: 2020 Highlights
2020 Highlights Earnings of $99.6 million, $3.00 diluted earnings per share Acquisition of Citizens State Bank in Okemah added $26 million in loans and $42 million in deposits Nonperforming to total assets remained low Dividends have increased 28 consecutive years 4
Slide 5: Pegasus Bank Acquisition
On August 15, 2019 BancFirst Corporation acquired Dallas, TX based Pegasus Bank $624 million in assets, $373 million in loans, and $575 million in deposits Pegasus continues to operate as a separate Texas state charter under BANF with current Board and management. Transaction added the high growth M
Slide 6: Pegasus Total Deposits
{Sin Thousands) $1,000,000 $900,000 $800,000 $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 so Pegasus Total Deposits
Slide 7: Average annual loan growth
Average annual loan growth was 19.1% over the last 10 years. Loan growth in 2020 was 28.1%. 7 ($ in Thousands)
Slide 8: BancFirst Locations
BaneFirs! BANCFIRST LOCATIONS + County sat ommunies +350 tl Fee As indtng ges 7 Seen bere 9 PEGASUS BANK We LOCATIONS DALLAS 6
Slide 9: Primary Risk Factors
Primary Risk Factors Changes to the Oklahoma economy Oil prices Commercial real estate Threats to noninterest income Interchange revenue – payment system changes; consumer regulation Overdraft fees – consumer regulation $10 billion threshold Industry move toward paying interest on business checking
Slide 10: COVID-19 Impact
COVID-19 Impact Began identification of loan customers impacted by COVID-19 that resulted in a modification of loan terms and coded these loans in accordance with interagency guidelines. As of 03/31/21, 286 loans totaling $88 million were coded accordingly. As of 03/31/21, BancFirst held $714 millio
Slide 11: Oklahoma Economic Overview
Oklahoma Economic Overview Source: Bureau of Labor Statistics & Department of Labor/Haver Analytics 11
Slide 12: Oklahoma Economic Overview
Oklahoma Economic Overview Source: Bureau of Labor Statistics & Department of Labor/Haver Analytics 12
Slide 13: Oklahoma Economic Overview
Oklahoma Economic Overview 13 Oklahoma Treasury gross receipts are up 3.2 percent from March 2020, the first year over year increase since July 2020.
Slide 14: Oklahoma Economic Overview: Gas Price
14 Oklahoma Economic Overview Gas Price
Slide 15: Total Deposits
Total Deposits 15 Average annual deposit growth was 6.1% in the last 10 years. Growth from acquisitions was 2.6% compared to 3.5% organic growth. BancFirst Corp had a deposit beta of 0.32 in 2020 for all deposits. ($ in millions)
Slide 16: Deposit Mix
Deposit Mix reasury Fund Other Savings (MMDA) 10% 24% Interest-Bearing, Transaction ‘Accounts, 9%
Slide 17: Deposit Beta
17 ($ in Thousands) Beta of all deposits was 0.95 for 1st quarter 2021 and 0.29 since December 2015.
Slide 18: Delivery Channels
(Volume in Thousands) Delivery Channels 2016 2017 2018 2019 2020 © Mobile App Teller Transactions -2-Online Banking © Daily Data Line Call Center
Slide 19: POS Transactions and Demand Deposit Accounts
BancFirst. CORPORATION 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 | POS Transactions (in thousands) —— 300,000 250,000 200,000 180,000 100,000 50,000 Number of Demand Deposit Accounts eo an 2016 2017 20182019 -®-POS Transactions POS Interchange Income 2020 2016 2017-2018 += 2019-2020 -®
Slide 20: Average annual loan growth
Average annual loan growth was 8.8% over the last 10 years. Loan growth in 2020 was 23.0% including 12.5% growth from PPP loans 20 ($ in Millions)
Slide 21: Loan Portfolio Composition
21 Loan Portfolio Composition
Slide 22: COVID-19 Sensitive Industries
22 COVID-19 Sensitive Industries
Slide 23: Nonperforming & Restructured Loans
($ in Thousands) $60,000 $50,000 $40,000 $30,000 $20,000 $10,000 $0 2015 Nonperforming & Restructured Loans 2016 2017 2018 2019 2020 & Loans ge 2021 to Total Loans
Slide 24: Net Charge-Offs to Loans & Leases
FDIC Insured Institutions: Net Charge-Offs to Loans & Leases “PRLLLLLLLL 2011 2012S 2013S «201420152016 += 2017S 2018-2019 2020 US BOK BBANF
Slide 25: Change in Net Interest Income
25 Change in Net Interest Income
Slide 26: Net Interest Income
Net Interest Income $350 6.00% $300 500% 4.00% 3.00% 2.00% $100 $50 1.00% $0 0.00% XG, %, %, %, % 2 2 %, %, % ty My My ey %, yy eG, My %qe MH %W ", lmENet Interest Income —Net Interest Margin Se
Slide 27: Noninterest Income
27 ($ in thousands) Noninterest Income
Slide 28: Noninterest Income Components
0,000 $15,000 $10,000 (Sin thousands) $5,000 so Treasury Management 2 2 %, 2, 90, %0, 30, %0, %, a tes eg Ors vtrs % 2% ig ty % $25,000 $20,000 (Sin thousands) $15,000 10,000 $5,000 ose &, so ! Insurance Commission} %, %%% My By My Mey Mp Mey ‘000 14000. s000 8,000 = 6,000 ene 2, ey mnTrust Assets r
Slide 29: Noninterest Income
Noninterest Income Cash Management, 11% Trust Revenue, 10% Service Charges, 10% Insurance Commissions, ;condar 15% Mortgage Market, 5% ‘Other, 5% Werdraft Fees, Interchange Fe
Slide 30: Earnings Per Share
Earnings Per Share SIAN
Slide 31: Dividend History
Dividend History s1.40 50.00% 45.00% $1.20 40.0% $1.00 ss00% so20 30.00% | as.00% $0.60 20.00% s0.40 | 48.00% 10.00% $0.20 | 5.00% $0.00 0.00% Zag 2g Eg Pg Ung ag hey gg aay egg gag, 20,202,090, OE Le '™™ Dividends per Share — Payout Ratio Oe 34
Slide 32: Capital Ratios
NOTE: Basel III became effective on 1/1/2015 32 Capital Ratios
Slide 33: Dodd-Frank Impact on Reaching $10 Billion
Dodd-Frank Impact on Reaching $10 Billion Limitations placed on debit card interchange fees Interchange income expected to be cut in half once $10 billion in assets is reached Consumer Financial Protection Bureau (CFPB) examinations Continuous monitoring by the Fed Quarterly information requests Inc
Slide 34: Stock Performance vs. the General Market since IPO
Stock Performance vs. the General Market since IPO 34 Average increase in shareholder return since IPO has been 12.9% vs. S&P 500 of 10.3% and KBW Bank Index of 8.1% BancFirst has a beta of 1.22
Slide 35: Summary
Summary Number and quality of both household and commercial core deposit relationships Sustained asset quality Strong capital Exceptional liquidity; high level of core deposit funding; modest rate risk Emphasis on non-interest income Invested management Acquisition/conversion expertise Strong curren
Slide 36: One of America's Strongest Banks
One of America’s Strongest Banks 36
Slide 37: Forward-Looking Statements
37 Forward-Looking Statements This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 with respect to earnings and other financial information, corporate objectives, and other busines