Slide 1: Second Quarter 2022 Investor Presentation
May 25, 2022 Second Quarter 2022 Investor Presentation
Slide 2: Forward-Looking Statements
1 Forward–Looking Statements Certain statements contained in this presentation that are not historical in nature may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, stat
Slide 3: Use of non-GAAP financial measures
2 Use of non-GAAP financial measures This Presentation contains certain financial measures that are not measures recognized under U.S. generally accepted accounting principles (“GAAP”) and therefore are considered non-GAAP financial measures. These non-GAAP financial measures may include, without li
Slide 4: Snapshot of FB Financial today
3 Snapshot of FB Financial today Note: Unaudited financial data as of March 31, 2022; presented on a consolidated basis. 1 Non-GAAP financial measure. See “Use of non-GAAP financial measures” and “Reconciliation of non-GAAP financial measures” in the Appendix hereto. Financial results Balance sheet
Slide 5: Strategic drivers
4 Strategic drivers Elite Financial Performance Proven Opportunistic Acquirer with Scalable Platforms and Technology Highly Motivated Senior Management Team Great Place to Work Organic Growth Focused Empowered Teams Across Attractive Metro and Community Markets
Slide 6: Recent corporate history
5 2017 2018 2019 2020 2021 2022 Recent corporate history 1 See “Use of non-GAAP financial measures,” and “Reconciliation of non-GAAP financial measures” in the Appendix hereto. Note: Financial data presented on a consolidated basis. 202020182017 ◼ Completed acquisition of Clayton Bank & Trust and Am
Slide 7: Well positioned in high growth markets
6 Well positioned in high growth markets 1 Source: SNL Financial. Market data is as of June 30, 2021 and is presented on a pro forma basis for announced acquisitions since June 30, 2021. 2 Source: SNL Financial. FBK Footprint is based on weighted average demographics of MSAs and counties not located
Slide 8: Driving shareholder value
7 -2% 9% 5% 17% 21% 1Q21 2Q21 3Q21 4Q21 1Q22 Driving shareholder value ¹ See “Use of non-GAAP financial measures” and the Appendix hereto for a discussion and reconciliation of non-GAAP measures to the most directly comparable GAAP financial measures. 2 1Q22 Banking Segment PTPP impacted by $2.2 mil
Slide 9: Stable net interest margin
8 Stable net interest margin Historical yield and costs ¹ Includes tax-equivalent adjustment. 2 Excess liquidity defined as interest-bearing deposits with other financial institutions in excess of 5% of average tangible assets. Assumes funded from all interest bearing liabilities. $5,000 $7,000 $9,0
Slide 10: Repositioning mortgage for current environment
9 3.88% 4.04% 3.14% 3.25% 2.87% 1Q21 2Q21 3Q21 4Q21 1Q22 Repositioning mortgage for current environment Highlights ◼ Total mortgage pre-tax loss of $0.3 million for the first quarter as refinance volumes declined and margins continued to be impacted by excess capacity in the industry ◼ Direct to con
Slide 11: Managing expenses and investing to support growth
10 Managing expenses and investing to support growth Highlights ◼Consolidated 1Q 2022 core efficiency ratio¹ of 68.1% ◼Banking segment balance sheet growth has paid for significant investments over the past 12 months, with efficiency ratio remaining flat with 1Q 2021 despite 6.9% increase in core ba
Slide 12: Well-capitalized for future opportunities
11 Well-capitalized for future opportunities Tangible book value per share3 Simple capital structure Common Equity Tier 1 Capital 85% Trust Preferred 2% Subordinated Notes 7% Tier 2 ACL 6% Total regulatory capital: $1,4582 mm $11.56 $11.58 $14.56 $17.02 $18.55 $21.73 $24.67 $23.62 3Q16 4Q16 4Q17 4Q1
Slide 13: Valuable core deposit base
12 Noninterest- bearing checking 25% Interest-bearing checking 33% Money market 27% Savings 5% Time 10% 58% Checking accounts Valuable core deposit base ¹ Includes mortgage servicing-related deposits of $170.9 million, $166.1 million, $190.6 million, $127.6 million and $131.1 million for the quarter
Slide 14: Balanced loan portfolio
13 Retail 20% Office 19% Hotel 17% Warehouse / Industrial 13% Land-Manufacture Home Community 5% Self Storage 4% Healthcare Facility 3% Other 19% 1-4 Family to be sold 40% Commercial Land 30% 1-4 Consumer Construction 8% Multifamily 5% Retail 4% Warehouse 3% Office 2% Other 8% 1-4 family 17% 1-4 fam
Slide 15: Asset quality remains solid
14 0.77% 0.66% 0.50% 0.50% 0.44% 1Q21 2Q21 3Q21 4Q21 1Q22 2.29% 2.03% 1.91% 1.65% 1.50% 1Q21 2Q21 3Q21 4Q21 1Q22 0.05% 0.02% 0.13% 0.12% (0.03%) 1Q21 2Q21 3Q21 4Q21 1Q22 Asset quality remains solid Nonperforming Assets1 / Assets Nonperforming Loans (HFI) / Loans (HFI) LLR/loans HFI (excluding PPP lo
Slide 16: Allowance for credit losses overview
15 Allowance for credit losses overview ACL / Loans HFI by Category ◼ Current Expected Credit Loss (CECL) Allowance for Credit Losses (ACL) model utilizes Moody’s model with key economic data summarized below: 1Source: Moody’s “November 2021 U.S. Macroeconomic Outlook Baseline and Alternative Scenar
Slide 17: Appendix
FB PeeBank Appendix
Slide 18: Adjusted net income and diluted earnings per share
17 GAAP reconciliation and use of non-GAAP financial measures Adjusted net income and diluted earnings per share
Slide 19: Adjusted pre-tax, pre-provision earnings
18 GAAP reconciliation and use of non-GAAP financial measures Adjusted pre-tax, pre-provision earnings
Slide 20: Adjusted earnings and diluted earnings per share
19 GAAP reconciliation and use of non-GAAP financial measures Adjusted earnings and diluted earnings per share
Slide 21: Adjusted pre-tax, pre-provision earnings
20 GAAP reconciliation and use of non-GAAP financial measures Adjusted pre-tax, pre-provision earnings
Slide 22: Core efficiency ratio (tax-equivalent basis)
21 GAAP reconciliation and use of non-GAAP financial measures Core efficiency ratio (tax-equivalent basis)
Slide 23: Segment core efficiency ratios (tax-equivalent basis)
22 GAAP reconciliation and use of non-GAAP financial measures Segment core efficiency ratios (tax-equivalent basis)
Slide 24: Adjusted Banking segment pre-tax pre-provision earnings
23 GAAP reconciliation and use of non-GAAP financial measures Adjusted Banking segment pre-tax pre-provision earnings
Slide 25: Tangible assets and equity, tangible book value per common share
24 GAAP reconciliation and use of non-GAAP financial measures Tangible assets and equity, tangible book value per common share and tangible common equity to tangible assets
Slide 26: Tangible assets and equity, tangible book value per common share
25 Tangible assets and equity, tangible book value per common share and tangible common equity to tangible assets GAAP reconciliation and use of non-GAAP financial measures
Slide 27: Return on average tangible common equity
26 GAAP reconciliation and use of non-GAAP financial measures Return on average tangible common equity
Slide 28: Return on average tangible common equity
27 GAAP reconciliation and use of non-GAAP financial measures Return on average tangible common equity
Slide 29: Adjusted return on average assets and common equity
28 GAAP reconciliation and use of non-GAAP financial measures Adjusted return on average assets and common equity
Slide 30: Adjusted return on average assets and common equity
29 GAAP reconciliation and use of non-GAAP financial measures Adjusted return on average assets and common equity
Slide 31: Adjusted Allowance for Credit Losses to Loans Held for Investment
30 GAAP reconciliation and use of non-GAAP financial measures Adjusted Allowance for Credit Losses to Loans Held for Investment