Peoples Bancorp Inc. · NASDAQ:PEBO
Peoples Bancorp — Q4 2024 Earnings Presentation
13 slides from Peoples Bancorp's earnings presentation, Jan 21, 2025
Slide 1: Fourth Quarter 2024 Earnings Conference Call
1 Fourth Quarter 2024 Earnings Conference Call January 21, 2025
Slide 2: Safe Harbor Statement
1 Statements in this presentation which are not historical facts are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. The
Slide 3: Use of Non-US GAAP Financial Measures
1 This presentation contains financial information and performance measures determined by methods other than those in accordance with accounting principles generally accepted in the United States of America (“US GAAP”). Management uses these “non-US GAAP” financial measures in its analysis of People
Slide 4: 2024 Financial Highlights
2 • Tangible equity to tangible assets improved 68 basis points to 8.01% • Book value and tangible book value per share grew to $31.26 and $19.94, respectively • Improvement in the mix of the loan portfolio, with growth in commercial and industrial reducing commercial real estate as a percent of tot
Slide 5: Loans
3 Loans Balances by Segment 29% 12% 22% 11% 21% 5% Consumer loans Owner occupied commercial real estate Non-owner occupied commercial real estate Specialty finance Commercial and industrial Construction Loan Balances and Yields (Dollars in billions) $1.83 $1.76 $1.69 $1.59 $1.56 $4.33 $4.45 $4.64 $4
Slide 6: North Star Leasing
4 North Star Leasing 1.54% 1.65% 6.72% 14.43% 14.49% 14.31% Net Charge-Off Rate Net Yield 2022 2023 2024 – While our North Star Leasing business has experienced higher net charge-off levels, the risk-adjusted return is still within our appetite, and also provides a diversified revenue stream – The h
Slide 7: Asset Quality
5 Asset Quality Metrics 3.82% 4.14% 3.79% 3.79% 3.80% 1.95% 2.38% 1.90% 2.12% 2.03% 1.01% 1.05% 1.05% 1.06% 1.00% 0.43% 0.50% 0.53% 0.76% 0.53% Criticized loans as a % of total loans Classified loans as a % of total loans Allowance for credit losses as a % of total loans Nonperforming assets as a %
Slide 8: Net Interest Income
6 Net interest income declined 3% compared to the linked quarter, and was attributable to lower accretion income – Accretion income declined $3.2 million – Accretion income added 23 basis points to net interest margin, compared to 39 basis points for the linked quarter – Excluding accretion, net int
Slide 9: Non-Interest Income
7 Non-interest income grew 1% compared to the linked quarter – Commercial loan swap fee income increased $1 million, coupled with improved bank owned life insurance income, which was partially offset by lower mortgage banking income – Non-interest income included a $1.2 million loss on an other real
Slide 10: Non-Interest Expense
8 – Core non-interest expense increased 4% compared to the linked quarter – Core non-interest expense was higher for the full year of 2024 due to the larger footprint and ongoing operating costs of the Limestone Merger Core Non-Interest Expense (Dollars in Thousands) $66,413 $66,982 $69,359 $247,641
Slide 11: Deposit Balances by Segment
9 Deposit Balances by Segment 20% 14% 25% 12% 10% 12% 7% Non-interest-bearing deposits Interest-bearing demand accounts Retail certificates of deposit Money market deposit accounts Governmental deposit accounts Savings accounts Brokered deposits Deposit Balances and Costs (Dollars in billions) $1.57
Slide 12: Capital
10 Capital Metrics 11.56% 11.69% 11.74% 11.80% 11.96% 12.37% 12.50% 12.53% 12.59% 12.40% 13.17% 13.40% 13.44% 13.49% 13.59% 9.48% 9.43% 9.56% 9.86% 9.73% 7.33% 7.37% 7.61% 8.25% 8.01% Common equity tier 1 capital ratio Tier 1 risk-based capital ratio Total risk-based capital ratio Leverage ratio Tan
Slide 13: 2025 Expectations
11 A high level look at our expectations for 2025: Operating Leverage – Generating positive operating leverage for 2025, compared to 2024 Net Interest Income – Assuming another 50 basis point rate reduction by the Federal Reserve, spread over the first nine months of 2025, we anticipate our net inte