Equity Bancshares, Inc. · NYSE:EQBK
Equity Bancshares — Q1 2025 Earnings Presentation
25 slides from Equity Bancshares's earnings presentation, Apr 16, 2025
Slide 1: 2025 1st Quarter Financial Results
Exhibit 99.2 2025 1st Quarter Financial Results April 15, 2025
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements reflect the current views of the manage
Slide 3: Overview
Equity Bancshares, Inc.| NYSE: EQBK Overview $5.4B $3.6B $4.4B $618M Assets Loans Deposits Market Cap 1 10.13% 14.70% 18.32% $31.07 TCE/TA 2 CET 1 TRBC TBVPS2 Strategic Execution Of Acquisitions NBC OKLAHOMA $5.4B Merger Announced on April 2, 2025 26.4% Compound Annual Growth Rate3 $1.6B $380M SCALE
Slide 4: Leadership Team
Leadership Team Brad Elliott Rick Sems Equity Bancshares, Inc. Chairman & CEO Equity Bank CEO Years in Banking: 36 Years in Banking: 25 Founded Equity Bank in 2002 Announced as Equity Bank CEO in May 2024. Joined Equity Bank as 2018 EY Entrepreneur of the Year National Finalist President in May 2023
Slide 5: Our Value Proposition
Our Value Proposition Organic Growth Our guiding principles and Strategic Mergers & Acquisitions commitment to entrepreneurial spirit Disciplined Credit Standards are part of our longstanding framework for Effective Balance Sheet & Capital Management delivering shareholder value EPS & Tangible Book
Slide 6: Tangible Book Value Per Share
Tangible Book Value Per Share1 Tangible Book Value Per Share | IPO to Current TBVPS Ex. AOCI Since IPO, Tangible Book Value increased has increased $15.10 to $31.07 $ 33.63 AOCI Impact 8.18 % CAGR $31.07 TBVPS Ex. AOCI $ 16.26 $15.97 2015 2025 Q1 Tangible Book Value Per Share | Quarter over Quarter
Slide 7: 1st Quarter 2025 Financial Highlights
1st Quarter 2025 | Financial Highlights 2025 2024 2024 $16.0M Earnings & Profitability Earnings Per Share | Core Earnings Per Share 1 Q1 $0.85 | $0.90 Q4 $1.04 | $1.10 Q3 $1.28 | $1.32 Core Net Income 1 1 Book Value Per Share | TBV Per Share $35.23 | $31.07 $34.04 | $30.07 $32.97 | $28.38 1 Net Inco
Slide 8: Performance Metrics
Performance Metrics Core Return On Average Tangible Common Equity 1 Core Return on Average Assets 1 1.56% 19.58% 1.37% 16.89% 1.25% 1.24% 1.17% 15.15% 15.29% 12.14% Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Efficiency Ratio 1 TCE / TA Excluding AOCI 1 10.89% 10.
Slide 9: Net Income
Net Income Primary Drivers Net Interest Income Noninterest Income Noninterest Expense Provision for Credit Losses Net interest income was $50.3 million Total non-interest income was $10.3 Total non-interest expense for the $2.6 million in the provision for credit for the period, as compared to $49.5
Slide 10: Profitability
Profitability Revenue Composition 1 Profitability Ratios 1 Noninterest Income / Operating Revenue Net Interest Income Noninterest Income 20.92% $10,318 $8,818 16.24% 16.52% 17.02% 15.13% $8,985 $9,111 $11,668 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Noninterest Income / Average Assets 0.91% 0.80% 0.7
Slide 11: Net Interest Income
Net Interest Income Primary Drivers Deposits Cost of Deposits Loan Yield Investment Yield Borrowings Noninterest-bearing Cost of total deposits Loan yield increased 1bps Investment yield increased Borrowing balances deposits constitute 21.6% decreased 9bps and cost of quarter-over-quarter, 4bps quar
Slide 12: Strong Core Deposit Franchise
Strong Core Deposit Franchise Core Deposits 1 / Total Deposits Non-Interest Core Deposits Brokered Deposits Bearing DDA Interest 21.6% Bearing DDA 4.58% 4.70% 2.86% 7.44% 6.02% 25.9% Current Deposit Time Deposits < 97.14% 100k Composition 95.42% 95.30% 92.56% 93.98% 14.9% Time Deposits > 100k MMDA 4
Slide 13: Yield / Cost Components
Yield / Cost Components Cost Analysis Cumulative Betas Cost of Deposits Cost of IB Deposits Q3 Q4 Q1 2024 2024 2025 2.85% 2.77% 2.78% Fed Funds Effective Rate 5.33% 4.65% 4.33% 2.57% Change Since Beginning of 2.44% -0.07% -0.68% -1.00% 2.20% Rate Cycle – Sept 2024 2.16% 2.14% 1.99% Loan Coupon 25% 2
Slide 14: Diversified Loan Portfolio
Diversified Loan Portfolio Total Loans & Yield on Loans 7.15% 7.15% 6.62% 5.59% 4.36% Commercial real estate 51% $3.6B $3.5B $3.3B $3.3B $3.2B Consumer 2% Current Agricultural Loan 2021 2022 2023 2024 Q1 2025 3% Agricultural real Composition estate 7% Residential real Commercial and Total Classified
Slide 15: Asset Quality Trends | Quarterly
Asset Quality Trends | Quarterly Nonperforming Assets 1 ,2 Total Reserve Ratio Nonaccruals OREO & Other Repo. Assets NPAs / Assets Allowance for Credit Losses Purchase Discount 0.49% 0.52% 0.60% 0.65% 0.51% 1.33% 1.30% 1.26% 1.29% 1.30% $0.9 $7.5 0.05% 0.04% 0.05% 0.05% 0.04% $0.8 $0.6 $2.6 1.28% 1.
Slide 16: Asset Quality Trends | Annual
Asset Quality Trends | Annual Nonperforming Assets 1 ,2 Total Reserve Ratio Nonaccruals OREO & Other Repo. Assets NPAs / Assets Allowance for Credit Losses Purchase Discount 1.28% 1.65% 1.43% $36.4 0.65% 1.35% 1.29% 1.30% 0.53% 0.51% 0.12% 0.37% $7.5 0.05% 0.04% 0.05% 0.04% $1.2 $2.6 $0.6 1.53% 1.38
Slide 17: Capital Management
Capital Management THE COMPANY’S CAPITAL RATIOS ARE WELL CAPITALIZED LEVELS AS OF 3/31/2025 EQBK Well Capitalized CAPITAL PRIORITIES Maintain well capitalized regulatory levels 18.32% Capacity for organic growth 15.30% 14.70% 10.50% Merger & acquisitions 11.76% 10.13% 8.50% 7.00% Dividend payout rat
Slide 18: Outlook on Key Business Drivers
Outlook on Key Business Drivers 1 ST QUARTER 2025 FORWARD LOOKING RESULTS ESTIMATES 2 nd QUARTER 2025 FY 2025E Avg. $4,143M $4,300 – 4,350M $4,150 – 4,300M $4,400 - 4,500M Deposits Avg. $3,575M $3,525 - 3,600M $3,600 - 3,700M $3,575 - 3,675M Loans Avg. $4,771M $4,750 - 4,850M $4,800 - 4,900M $4,850
Slide 19: Focus Variables for Outlook & Forecast
Focus Variables for Outlook & Forecast OUR OUTLOOK REQUIRES CLARITY AROUND CERTAIN VARIABLES, INCLUDING: ECONOMIC CUSTOMER COST OF COMPETITIVE INVESTMENT POLITICAL ENVIRONMENT NEEDS FUNDING MARKET OPPORTUNITIES ENVIRONMENT Business activity Directly related to Impacts rates on our Providing customer
Slide 20: Our Markets
Our Markets Kansas Missouri Market Rank #8 Market Rank #7 Deposits $2.5B Deposits $1.1B Deposit Market Share 3.80% Deposit Market Share 1.89% Oklahoma Arkansas Market Rank #15 Market Rank #9 Deposits $536M Deposits $317M Deposit Market Share 1.63% Deposit Market Share 2.72% Equity Bancshares, Inc. |
Slide 21: Non-GAAP Reconciliations
Non-GAAP G EQUITY Reconciliations BANCSHARES, INC.
Slide 22: Non-GAAP reconciliations
Non-GAAP reconciliations CALCULATIONS OF TANGIBLE COMMON EQUITY AND RELATED MEASURES ($ in thousands, except per share data) Quarter Ended March 31, December 31, September 30, June 30, March 31, 2025 2024 2024 2024 2024 Total stockholder's equity $617,324 $592,918 $504,038 $461,435 $456,776 Goodwill
Slide 23: Non-GAAP reconciliations
Non-GAAP reconciliations CALCULATIONS OF RETURN ON AVERAGE TANGIBLE COMMON EQUITY AND EFFICIENCY RATIO ($ in thousands, except per share data) Quarter Ended March 31, December 31, September 30, June 30, March 31, 2025 2024 2024 2024 2024 Total average stockholders' equity $605,917 $533,227 $485,468
Slide 24: Non-GAAP reconciliations
Non-GAAP reconciliations CALCULATIONS OF RETURN ON AVERAGE ASSETS, AVERAGE EQUITY AND OPERATING INCOME ($ in thousands, except per share data) Quarter Ended March 31, December 31, September 30, June 30, March 31, 2025 2024 2024 2024 2024 Net income (loss) allocable to common stockholders 15,041 16,9
Slide 25: investor.equitybank.com
@ EQUITY BANCSHARES, INC. investor.equitybank.com