First Us Bancshares, Inc. · NASDAQ:FUSB
First Us Bancshares — Investor Presentation (April 2021)
35 slides from First Us Bancshares's investor presentation, Apr 30, 2021
Slide 1: Investor Presentation As of March 31, 2021
Investor Presentation As of March 31, 2021
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation of First US Bancshares, Inc. (“FUSB” or the “Company”) contains forward-looking statements, as defined by federal securities laws. Statements contained in this presentation that are not historical facts are forward-looking statements. These statements may
Slide 3: Presentation Disclosure
Presentation Disclosure This presentation has been prepared by FUSB solely for informational purposes based on its own information, as well as information from public sources. This presentation has been prepared to assist interested parties in making their own evaluation of FUSB and does not purport
Slide 4: Contents
Contents Corporate Profile ………………………………………..……………………………………...….….....5 1Q2021 Highlights……………………………...……………………………………………………….....9 Financial Results through March 31, 2021….....…………………………………………………….15 Ongoing Strategic Focus……………………………………………………………………………….20 Appendix A: Historical Information………………………
Slide 5: Corporate Profile
Company Founded:1952 Headquarters:Birmingham, AL First US Bank:19 Branches (1) / 2 LPOs Acceptance Loan Co:20 Branches (2) Total Assets:$927 million Net Loans:$659 million Total Deposits:$818 million Tangible BV:$12.81 per share (3) Exchange:NASDAQ: FUSB Stock Price:$9.30 Price to TBV:72.6% (3) Mark
Slide 6: Corporate Profile: Senior Leadership Team
Corporate Profile Senior Leadership Team James F. House President and Chief Executive Officer Veteran banker with SouthTrust Bank for 31 years Business consultant from 2005 to 2009 focusing on management, investments, and commercial and consumer lending issues Florida Division President with BankTru
Slide 7: First US Bank – Branch and LPO Location Map
Corporate Profile: First US Bank – Branch and LPO Location Map Bank Branch Locations Bank Loan Production Offices
Slide 8: Acceptance Loan Company – Branch Location Map
Corporate Profile: Acceptance Loan Company – Branch Location Map
Slide 9: 1Q2021 Highlights: Net income and diluted EPS
Net income of $1.0 million and diluted EPS of $0.14 Diluted EPS down $.01 compared to 4Q2020 due to two fewer accrual days Diluted EPS up $.01 per diluted share from 1Q2020 due to increase in net interest income, and non-interest expense savings 19-basis point decrease in net interest margin compare
Slide 10: Loan Growth of $20.4 million driven by Indirect Sales, Construction and CRE
1Q2021 Highlights Loan Growth of $20.4 million driven by Indirect Sales, Construction and CRE
Slide 11: A Focus on the Indirect Sales Portfolio
1Q2021Highlights A Focus on the Indirect Sales Portfolio Indirect Sales by Collateral as of 3/31/2021 Indirect Sales by State as of 3/31/2021(1) (1) Represents state in which the participating dealer operates
Slide 12: A challenging interest rate environment continues
1Q2021 Highlights A challenging interest rate environment continues 5 Quarter Margin Report (Annualized) (1) Average Rate on Interest-Bearing Liabilities and Non-Interest-Bearing Deposits
Slide 13: An uptick in charge-offs, but remain at historically low levels
1Q2021 Highlights An uptick in charge-offs, but remain at historically low levels ALLL as a % of loans as of June 30, 2020; September 30, 2020; December 31, 2020; and March 31, 2021 excludes PPP loans, which are guaranteed by the SBA 5 Quarter Net Charge-offs
Slide 14: Continued reduction in loans in COVID-19 deferment status
1Q2021 Highlights Continued reduction in loans in COVID-19 deferment status As of June 30, 2020 As of September 30, 2020 As of December 31, 2020 As of March 31, 2021 # of Loans Deferred Balance of Loans Deferred % of Portfolio Balance # of Loans Deferred Balance of Loans Deferred % of Portfolio Bala
Slide 15: Selected Financial Data
Quarter Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Diluted Net Income per Share $ 0.14 $ 0.15 $ 0.06 $ 0.06 $ 0.13 Return on Average Assets (annualized) 0.43% 0.48% 0.19% 0.20% 0.43% Return on Average Tangible Common Equity (annualized) (1) 4.87% 5.34% 2.12% 2.13% 4.49% Net Interest Ma
Slide 16: Income Statements
Financial Results Income Statements (dollars in thousands, except per share data) Quarter Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Total Interest Income $ 9,845 $ 10,204 $ 9,996 $ 9,780 $ 10,397 Total Interest Expense 781 912 1,031 1,157 1,511 Net Interest Income $ 9,064 $ 9,292 $ 8,
Slide 17: Selected Balance Sheet Information
Financial Results Selected Balance Sheet Information (dollars in thousands) As of 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Cash and Federal Funds Sold $ 125,951 $ 94,500 $ 65,729 $ 108,348 $ 71,201 Investment Securities $ 75,783 $ 91,422 $ 93,405 $ 103,964 $ 110,079 Loans, Net of Allowance
Slide 18: Yields and Rates, Net Interest Margin
Quarter Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Total Loans 5.89% 6.06% 6.24% 6.66% 7.07% Taxable Investment Securities 1.49% 1.48% 1.64% 1.90% 2.05% Tax-Exempt Investment Securities 1.84% 1.80% 1.80% 2.78% 3.38% Federal Home Loan Bank Stock 3.30% 3.51% 3.86% 5.32% 4.95% Federal Fun
Slide 19: Regulatory Capital
Financial Results Regulatory Capital: Shift downward due to deposit and loan growth Common Equity Tier 1 Capital to Risk-Weighted Assets Total Capital to Risk-Weighted Assets Tier 1 Leverage to Average Assets March 31, 2021 11.42% 12.50% 8.73% December 31, 2020 11.78% 12.92% 8.98% September 30, 2020
Slide 20: Ongoing Strategic Focus: Near term and longer term
Near term: Expand and diversify loan portfolio while maintaining credit and pricing discipline Continue to reprice deposit products consistent with interest rate environment Continue to evaluate the pandemic’s impact on earning asset categories and other revenue sources Maintain focus on expense con
Slide 21: Building and Maintaining a Diversified Balance Sheet
Ongoing Strategic Focus Building and Maintaining a Diversified Balance Sheet Loan Composition as of 3/31/2021 Deposit Composition as of 3/31/2021
Slide 22: A Favorable Geographic Footprint
Ongoing Strategic Focus A Favorable Geographic Footprint Potential Markets for Growth Alabama: Auburn Dothan Huntsville Montgomery Florida: Destin Panama City Pensacola Georgia: Athens Atlanta Augusta Columbus Macon Mississippi: Hattiesburg Jackson Meridian South Carolina: Greenville Tennessee: Memp
Slide 23: Appendices
FIRST US BANCSHARES, INC. Appendices
Slide 24: Appendix A: 2020 earnings review
Earnings challenged in Q2 and Q3 in wake of COVID-19 pandemic and margin compression Diluted EPS of $0.40 in 2020, compared to $0.67 in 2019 Net income of $2.7 million in 2020, compared to $4.6 million in 2019 Net interest income decreased by $1.2 million in 2020 49-basis point reduction to net inte
Slide 25: 17.1% loan growth helped to deploy significant increases in deposits
Appendix A – Historical Information 17.1% loan growth in 2020 helped to deploy significant increases in deposits
Slide 26: Indirect Sales Lending
Appendix A – Historical Information Indirect Sales Lending: Growth of $96 million following transfer to Bank Portfolio transferred from ALC to Bank, effective January 1, 2020 Marketing efforts enhanced under First US Bank brand Benefited from leisure activity choices during pandemic Growth enhances
Slide 27: Bringing COVID-19 At-Risk Loan Categories into Focus
Appendix A- Historical Information Bringing COVID-19 At-Risk Loan Categories into Focus March 31, 2021 December 31, 2020 At-Risk Loan Category Due to COVID-19 Balance of Risk Category % of Total Loan Balance Balance of Risk Category % of Total Loan Balance High-Risk Loan Categories: Hotels/Motels $
Slide 28: Committed to Sound Credit Policies
Appendix A – Historical Information Committed to Sound Credit Policies Total Classified Assets $74.5 million reduction in classified assets since 2011 Nonperforming Assets reduced from peak of $47 million to $3.5 million as of 3/31/2021 Nonperforming Assets as a % of Total Assets reduced from 5.73%
Slide 29: Modernized Technology While Maintaining Cost Discipline
Appendix A – Historical Information Modernized Technology While Maintaining Cost Discipline Cost-neutral positioning maintained while redeploying dollars to rebuild infrastructure and expand product offerings Increased expense beginning in 2018 due to acquisition of The Peoples Bank ALC adds substan
Slide 30: Income Statements Annual Comparison
Appendix A – Historical Information Income Statements Annual Comparison (dollars in thousands, except per share data) Year Ended 12/31/2020 12/31/2019 12/31/2018 12/31/2017 12/31/2016 Total Interest Income $ 40,377 $ 43,588 $ 37,138 $ 31,100 $ 30,155 Total Interest Expense 4,611 6,646 4,350 2,706 2,
Slide 31: Selected Balance Sheet Information – Annual Comparison
Appendix A – Historical Information Selected Balance Sheet Information – Annual Comparison (dollars in thousands) As of 12/31/2020 12/31/2019 12/31/2018 12/31/2017 12/31/2016 Cash and Federal Funds Sold $ 94,500 $ 67,110 $ 57,953 $ 42,124 $ 23,530 Investment Securities $ 91,422 $ 108,356 $ 153,949 $
Slide 32: Share Price vs. Tangible Book Value
Appendix A – Historical Information Share Price vs. Tangible Book Value (73% as of 3/31/2021)(1) (1) Calculations of tangible balances and measures are included in Appendix B
Slide 33: Appendix B: Tangible Balances Reconciliation
Quarter Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 TANGIBLE BALANCES Total assets $ 926,535 $ 890,511 $ 852,941 $ 845,747 $ 788,565 Less: Goodwill 7,435 7,435 7,435 7,435 7,435 Less: Core deposit intangible 884 975 1,067 1,170 1,280 Tangible assets (a) $ 918,216 $ 882,101 $ 844,439 $ 8
Slide 34: Tangible Book Value Reconciliation
3/31/2021 12/31/2020 6/30/2020 12/31/2019 6/30/2019 12/31/2018 6/30/2018 12/31/2017 TANGIBLE BOOK VALUE Total shareholders’ equity $ 87,917 $ 86,678 $ 85,281 $ 84,748 $ 83,748 $ 79,437 $ 75,634 $ 76,208 Less: Goodwill 7,435 7,435 7,435 7,435 7,435 7,435 — — Less: Core deposit intangible 884 975 1,17
Slide 35: Contact: Thomas S. Elley, Chief Financial Officer
www.firstusbank.com Contact: Thomas S. Elley Chief Financial Officer telley@firstusbank.com 205.582.1200
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