Mid Penn Bancorp · NASDAQ:MPB
Mid Penn Bancorp — Investor Presentation (May 2024)
17 slides from Mid Penn Bancorp's investor presentation, May 15, 2024
Slide 1: Mid Penn Bancorp, Inc. Investor Presentation May 2024
1 DRAFT 04.07.2021 MID PENN BANCORP, INC. Investor Presentation May 2024
Slide 2: Cautionary Notice Regarding Forward-Looking Statements
2 Cautionary Notice Regarding Forward-Looking Statements This presentation regarding Mid Penn Bancorp, Inc. (“Mid Penn”), and oral statements made regarding the subjects of this release, contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. S
Slide 3: Experienced Management Team
3 Experienced Management Team Source: Company Documents. Executive Position Years at MPB Years in Industry Rory G. Ritrievi Chair, President & Chief Executive Officer 15 38 Scott W. Micklewright Sr. EVP / President of Commercial and Consumer Banking & Chief Revenue Officer 15 18 Justin T. Webb Sr. E
Slide 4: Mid Penn Bank Regional Presidents
4 Mid Penn Bank Regional Presidents Source: Company Documents. Executive Position / Region Years at MPB Years in Industry Natalie L. Falatek Sr. VP / Upper Dauphin County 13 20 Mark F. Ketch Sr. VP / Schuylkill & Luzerne Counties 7 31 Keith C. Rada Sr. VP / Brunswick Region 7 15 Joseph N. Butto Sr.
Slide 5: Mid Penn Bancorp, Inc. Overview at March 31, 2024
5 Mid Penn Bancorp, Inc. Overview at March 31, 2024 Source: S&P Global Market Intelligence, Company Documents. Note: Financial information as of or for the quarter ended March 31, 2024. (1) Non-GAAP financial metric. Please see Appendix for GAAP to non-GAAP reconciliation. (2) Annualized financial m
Slide 6: Compelling Investment Thesis
6 Compelling Investment Thesis Demonstrated track record of outsized shareholder value creation Successful whole-bank acquiror Exceptional asset quality and nicely diversified & granular commercial loan portfolio Strong profitability ratios, in-line or better than national peers Well-balanced deposi
Slide 7: Strong Profitability Ratios and Undervalued on Valuation Multiples
7 0.84x 1.06x MPB Peer Median 0.92% 0.83% MPB Peer Median 12.2% 10.6% MPB Peer Median Strong Profitability Ratios Return on Average Assets Source: S&P Global Market Intelligence, Company Documents. Note: Financial data as of or for the quarter ended March 31, 2024 unless otherwise stated. MRQ = Most
Slide 8: Exceptional Asset Quality and Diversified Commercial Loan Portfolio
8 Multifamily 22% Retail 27% Office 19% Industrial 10% Hospitality 9% Flex 3% Mobile Home Park 2% Healthcare 1% Other Property Types 7% ($000s) Commercial Real Estate Balance % Total Loan Count Avg. Balance WA LTV Multifamily $334,952 22.2% 337 $1,002 63.5% Retail 410,387 27.2% 311 1,328 53.7% Offic
Slide 9: Commercial Loan Portfolio: Geographic Distribution
9 Commercial Loan Portfolio: Geographic Distribution Multifamily Portfolio Nonowner Occupied CRE Portfolio Central PA 37% Greater Philadelphia 27% Central NJ 10% Other PA 23% Other Markets 3% Source: Company Documents, S&P Global Market Intelligence. Central PA 39% Greater Philadelphia 24% Central N
Slide 10: Well-Balanced Deposit Franchise with Best-in-Class Growth in NIB Accounts
10 Rank Institution Name Branches (#) Total Deposits ($M) Deposit Market Share (%) 1 The PNC Finl Svcs Grp (PA) 9 $5,592 30.10 2 Mid Penn Bancorp Inc. (PA) 16 2,002 10.78 3 M&T Bank Corp. (NY) 20 1,880 10.12 4 F.N.B. Corp. (PA) 10 1,765 9.50 5 Orrstown Financial Services (PA) 9 1,182 6.36 6 Wells Fa
Slide 11: Significant Opportunity to Grow in Southeastern Pennsylvania Region
11 $104,358 $112,156 $89,841 $74,466 Philly Counties of focus Central NJ Counties of focus South NJ Counties of focus State of PA Source: S&P Global Market Intelligence, FDIC. Note: FDIC deposit data as of June 30, 2023. (1) Central New Jersey defined as Monmouth, Mercer, Middlesex, Hunterdon and So
Slide 12: Proven Ability to Acquire and Successfully Integrate Franchises
12 Announcement Date 8/27/2014 3/29/2017 1/16/2018 6/30/2021 12/20/2022 Close Date 3/1/2015 1/8/2018 7/31/2018 11/30/2021 5/19/2023 Assets Acquired ($M) $141 $263 $612 $1,215 $382 Deal Value ($M) $15 $59 $91 $125 $54 Price / TBV (x) 1.10x 1.31x 1.94x 1.21x 1.20x Key Impacts EPS Accretion -- -- 19% 2
Slide 13: Demonstrated Track Record of Outsized Shareholder Value Creation
13 9% 12% 6% 7% MPB Core MPB GAAP Peer Median KRX Median $0.79 $1.30 $1.42 $1.41 $1.76 $1.74 $1.85 $1.79 $2.03 $2.09 $3.11 $3.66 $3.48 $2.70 $2.56 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23 Q1'24 218% 151% 195% MPB Peer Median KRX Median Demonstrated Track Record of Outsized Shareholder
Slide 14: Appendix
MID PENN BANCORP. Appendix
Slide 15: Non-GAAP Reconciliation
15 Non-GAAP Reconciliation Source: S&P Global Market Intelligence, Company Filings. ($000s) As of December 31, As of March 31, 2018 2019 2020 2021 2022 2023 2024 Total Common Equity $223,209 $237,874 $255,688 $490,076 $512,099 $542,350 $550,968 Goodwill 62,840 62,840 62,840 113,835 114,231 127,031 1
Slide 16: Non-GAAP Reconciliation
16 Non-GAAP Reconciliation ($000s) 2023Q1 2023Q2 2023Q3 2023Q4 2024Q1 Net Income Available to Common Shareholders $11,227 $4,836 $9,236 $12,098 $12,133 Less: BOLI Death Benefit Income -- -- -- -- 1,460 Plus: Merger and Acquisition Expenses 224 7,944 352 -- -- Less: Tax Effect of Merger and Acquisiti
Slide 17: Non-GAAP Reconciliation
17 Non-GAAP Reconciliation ($000s) 2023Q1 2023Q2 2023Q3 2023Q4 2024Q1 Net Income Available to Common Shareholders $11,227 $4,836 $9,236 $12,098 $12,133 Plus: Intangible Amortizations, Net of Tax 272 364 382 388 338 $11,499 $5,200 $9,618 $12,486 $12,471 Average Shareholder's Equity $510,857 $504,535