Slide 1: 4Q21 Quarterly Earnings Supplement
4Q21 QUARTERLY EARNINGS SUPPLEMENT January 25, 2022
Slide 2: Special Note Concerning Forward-Looking Statements
Special Note Concerning Forward-Looking Statements Statements made in this document, other than those concerning historical financial information, may be considered forward- looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the financial co
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures This document contains financial information determined other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Management uses these “non-GAAP” measures in its analysis of the Company’s performance. Management also
Slide 4: Table of Contents
Table of Contents Overview of First Busey Corporation (BUSE) 5 Diversified Business Model 6 Attractive Geographic Footprint 7 Experienced Management Team 8 Investment Highlights 10 Fortress Balance Sheet 11 Robust Capital Foundation 12 High Quality Loan Portfolio 13 Participating in the CARES Act Pa
Slide 5: Overview of First Busey Corporation (BUSE)
Overview of First Busey Corporation (BUSE) Company Overview Branch Map • 150+ year old bank headquartered in Champaign, IL • Full service community bank serving Illinois, St. Louis, Indianapolis, and Southwest Florida markets • Diversified lending portfolio across real estate, commercial, and retail
Slide 6: Diversified Business Model
Diversified Business Model Banking the intersection of commercial and wealth $12.9 Billion Assets $12.7 Billion AUC $9.5 Billion Payments Processed (1) Business Investment Advisory Business Solutions Commercial Lending Custom Consulting Investment Services Treasury Management Services Lockbox Proces
Slide 7: Attractive Geographic Footprint
Attractive Geographic Footprint Four distinct operating regions provide for attractive mix of customers and demographics, providing compelling business and market opportunities Northern Gateway Banking Banking Centers: Centers: 10 20 Deposits: Deposits: $1.9B $2.9B Avg. Deposits Avg. Deposits Per Br
Slide 8: Experienced Management Team
Experienced Management Team Van A. Dukeman Robin N. Elliott Jeffrey D. Jones Chairman, President & Chief President & CEO, Busey EVP & CFO Executive Officer, First Busey Bank Corporation Joined Busey in August 2019, bringing his nearly 20 years of Joined Busey in 2006 and led various investment banki
Slide 9: Experienced Management Team
Experienced Management Team Robert F. Plecki, Jr. Chip Jorstad EVP & Co-Chief Banking Officer EVP & Co-Chief Banking Officer Joined Busey in 1984 and has served in the role of Chief Joined Busey in 2011 and has over 20 years of experience in Credit Officer or Chief Banking Officer of First Busey sin
Slide 10: Investment Highlights
Investment Highlights • Established in 1868, with more than 150 years of commitment to local communities and businesses • Operating with 58 branches across four states: Illinois, Missouri, Indiana, and Florida • Experienced and proven management team and board of directors Attractive • Management al
Slide 11: Fortress Balance Sheet
Fortress Balance Sheet • TCE/TA ratio of 7.68% at 12/31/21(1) Robust • Capital ratios significantly in excess of well-capitalized minimums Capital - Total RBC of 15.7% and CET1 ratio of 11.8% at 12/31/21 Foundation • TBV per share of $17.01 at 12/31/21(1), representing 3-year CAGR of 6.6% • Diversif
Slide 12: Robust Capital Foundation
Robust Capital Foundation (2) Tangible Common Equity Ratio (1) Total Capital Ratio ($ in m $ in millions) illions $ in $ in m m illions illions 17.0% 17.4% 16.4% 15.9% 15.7% 9.0% 8.8% $517 $488 $479 8.2% $515 $538 7.8% 7.7% $982 $971 10% $806 $826 $841 $921 $959 $731 $728 $919 2020 Q4 2021 Q1 2021 Q
Slide 13: High Quality Loan Portfolio
High Quality Loan Portfolio Loan Portfolio Composition as of 12/31/2021 Loan Portfolio Geographic Segmentation (1) Other HELOCs 3% Florida 4% 5% Missouri 1-4 Family Commercial 21% Residential & Industrial 17% 27% Indiana Construction & 5% Development 5% Owner Non-Owner Occupied Illinois Occupied CRE
Slide 14: High Quality Loan Portfolio: C&I
High Quality Loan Portfolio: C&I C&I Portfolio Overview C&I Loans by Sector (ex-PPP) 26.3% of total loan portfolio (ex-PPP loans) $ in thousands Diversified portfolio results in low levels of concentrated exposure 12/31/21 % of Total 12/31/21 Balances Loans Classified • Top concentration in one
Slide 15: High Quality Loan Portfolio: CRE
High Quality Loan Portfolio: CRE $ in thousands Owner Occupied CRE Loans by Industry Investor Owned CRE Loans by Industry (1) % of Total 12/31/21 % of Total 12/31/21 12/31/21 Loans Classified 12/31/21 Loans Classified Property Type Balances (ex-PPP) Balances Property Type Balances (ex-PPP) Balances
Slide 16: Participating in the CARES Act Paycheck Protection Program
Participating in the CARES Act Paycheck Protection Program Small Business Applications & Loan Funding As part of the CARES Act, Congress appropriated approximately $349 billion for the creation of the Paycheck Protection Program (PPP) as well as approving on April 24, 2020 an additional $310 billi
Slide 17: Pristine Credit Quality
Pristine Credit Quality Overview NPAs / Assets Conservative underwriting continues to result in pristine credit quality performance $12,860 Non-performing asset, classified asset, and $10,544 NCO ratios have declined to multi-year lows $9,696 Net charge-off ratio of 0.03% in 2021 $7,702 repres
Slide 18: Reserve Supports Credit & Growth Profile
Reserve Supports Credit & Growth Profile Overview Allowance / NPLs Reserve level of 1.24% (ex-PPP) • Day 1 CECL estimate was 1.06% $36,598 522% 416% Approximately $4.4 million of NPLs were acquired in $29,507 the GSB acquisition $24,301 Excluding acquired NPLs, non-performing loan $16,852 bala
Slide 19: Ample Sources of Liquidity
Ample Sources of Liquidity 2021 Q4 Average Deposit Composition Total Deposits & Loan to Deposit Ratio $ in m illions CD > CD < 250k $10,818 $10,769 250k 1% $10,337 8% $8,874 Non-Int $8,678 Savings DDA & MMDA 33% 78.5% 76.4% 32% 69.5% 66.1% 66.8% Int DDA 26% 2020 Q4 2021 Q1 2021 Q2 2021 Q3 2021 Q4 20
Slide 20: Quarterly Earnings Review
Quarterly Earnings Review • Net interest income decreased from $70.8 million in 3Q21 to $70.5 million in 4Q21 • Loan interest income and fees (net of deferred costs) attributable to PPP decreased to $3.3 million in 4Q21 from $5.2 million in 3Q21 Net Interest • Net interest margin decreased 5 bps vs
Slide 21: Earnings Performance
Earnings Performance Adjusted Net Income & Earnings Per Share (1) Adjusted ROAA & ROATCE (1) 16.9% $38,065 15.2% 1.46% $34,255 $34,277 13.4% 14.3% $31,921 $32,845 1.31% 13.1% $0.69 1.12% $0.62 $0.61 1.05% $0.57 $0.58 1.03% 2020 Q4 2021 Q1 2021 Q2 2021 Q3 2021 Q4 2020 Q4 2021 Q1 2021 Q2 2021 Q3 2021
Slide 22: Net Interest Margin
Net Interest Margin Rate Roll Net Interest Income(1) - Existing loans amortize and paydown at higher rates than new loan production but difference continues to compress New Loan Volume Yields $ in thousands New loan volume yields in 4Q21 were 7 bps higher than in 3Q21, $70,391 $73,591 $71,353 $71,08
Slide 23: Diversified and Significant Sources of Fee Income
Diversified and Significant Sources of Fee Income Overview Noninterest Income / Total Revenue(1) Resilient, varied, and complimentary sources of fee income provide revenue diversification with heightened value amidst cycle of margin compression Noninterest income represented 32.9% of revenue (ex
Slide 24: Resilient and Growing Wealth Management Platform
Resilient and Growing Wealth Management Platform Wealth - Assets Under Care Overview Provides a full range of asset management, $12,731 $12,303 $12,364 investment and fiduciary services to individuals, businesses and foundations, tax preparation, philanthropic advisory services and farm and $10,69
Slide 25: FirsTech Growth and Expansion of Services
FirsTech Growth and Expansion of Services Multi-Layered Payment Technology Overview Solutions Platform FirsTech’s payments platform provides custom payment technology solutions through a comprehensive suite of capabilities Mobile bill pay, walk-in payment processing, lockbox, online bill pay, IV
Slide 26: Scalable Payment Technology Solutions Platform
Scalable Payment Technology Solutions Platform FirsTech Today Customer Overview $9.5 31 Large utilities Billion Million Payments processed Transactions processed 150+ Insurance annually per year Banks 500 Customers across numerous industries Credit Unions and growing years Telecom Combined years of
Slide 27: Technology-First Leadership at FirsTech
Technology-First Leadership at FirsTech Senior leadership is comprised of innovative technologists that, when combined with the more than 60 full-time employees, has 500+ years of experience in technology and money movements Farhan is a seasoned technology operator, founder, investor and advisor, wo
Slide 28: FirsTech's Payments Platform
FirsTech’s Payments Platform FirsTech is moving to a complete payments platform model, focusing on technology & customer experience Key features of the payments platform 1. A complete platform offering: • Microservices approach using API for fully customizable experiences • Applies to Web and Mobile
Slide 29: Continued Investment in Technology Enterprise-Wide
Continued Investment in Technology Enterprise-Wide Continued investment in technology, automation, and data analytics across the company Seeing tangible results as we continue to adapt to our customers’ needs • Digital relationship banking team formed in 4Q20 (1) • At 12/31/2021 Digital Preferre
Slide 30: Focused Control on Expenses
Focused Control on Expenses Overview Non-Interest Expense Core adjusted expenses(1) of $60.9 million in 4Q21 excluding amortization of intangible assets, provision for unfunded commitments, acquisition / restructuring related charges, and NMTC amortization Glenview State Bank merged into Busey B
Slide 31: Appendix
APPENDIX FIRST BUSEY CORPORATION
Slide 32: Loan Portfolio: Low Levels of Concentrated Exposure
Loan Portfolio: Low Levels of Concentrated Exposure $ in thousands Manufacturing Loans 1/14/22 12/31/21 % of Total Active 12/31/21 % of 12/31/21 Total Balances Loans Deferral Classified Category PPP Manufacturing Subsector (ex-PPP) (ex-PPP) Balances ⁽¹⁾ Balances Classified Balances Loans: $296 Machi
Slide 33: Loan Portfolio: Low Levels of Concentrated Exposure
Loan Portfolio: Low Levels of Concentrated Exposure $ in thousands Retail Trade & Retail CRE Loans 1/14/22 % of Neighborhood 12/31/21 % of Total Active Classified 12/31/21 Retail Center Balances Loans Deferral Weighted Loans in PPP Shopping 5% Center Retail Flag (ex-PPP) (ex-PPP) Balances⁽¹⁾ Avg LTV
Slide 34: Loan Portfolio: Low Levels of Concentrated Exposure
Loan Portfolio: Low Levels of Concentrated Exposure $ in thousands Food Services Loans 1/14/22 % of Other 12/31/21 % of Total Active Classified 12/31/21 0% Balances Loans Deferral Weighted Loans in PPP Full Serv Food Services (ex-PPP) (ex-PPP) Balances⁽¹⁾ Avg LTV Segment Balances Limited-Serv Restau
Slide 35: Update on COVID-Related Deferral & Modification Trends
Update on COVID –Related Deferral & Modification Trends Commercial and Small Business Clients Busey announced on March 26, 2020 a six-month modification program, including up to two 90-day deferrals of payments or interest only payment options. This program expired on September 30, 2020 and all de
Slide 36: Update on COVID-Related Deferral & Modification Trends
Update on COVID –Related Deferral & Modification Trends Commercial and Small Business Clients Deferrals have declined in the current outstanding commercial book from 4.1% at 12/31/2020 to 1.0% as of 1/14/2022 with none remaining on full-payment deferral $ in thousands Proportion of net % on Full c
Slide 37: Update on COVID-Related Deferral & Modification Trends
Update on COVID –Related Deferral & Modification Trends $ in thousands Active Commercial Deferrals by Sectors 1/14/22 1/14/22 1/14/22 Active Active % of Segment Balances Classified Deferrals I/O in Active Property/Industry (ex-PPP) Loan Balances − Full Pmts Modifications Deferral Nursing Homes $64,4
Slide 38: Update on COVID-Related Deferral & Modification Trends
Update on COVID –Related Deferral & Modification Trends Personal Loan and Mortgage Customers Retail Payment Relief Program % of All % of Total 1/14/22 1/14/22 Deferral Consumer $ in thousands # of Loans $ Balances Balances Balances Total Consumer Portfolio Loans (1) 27,703 $1,407,978 A Total Active
Slide 39: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures ($ in thousands) Three Months Ended (Unaudited results) December 31, 2021 S eptember 30, 2021 June 30, 2021 March 31, 2021 December 31, 2020 Net interest income $70,508 $70,755 $64,542 $64,893 $72,936 Non-interest income 35,089 33,259 33,011 31,445 30,499 Less secu
Slide 40: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures ($ in thousands) Three Months Ended (Unaudited results) December 31, 2021 S eptember 30, 2021 June 30, 2021 March 31, 2021 December 31, 2020 Reported: Net Interest income $70,508 $70,755 $64,542 $64,893 $72,936 Tax-equivalent adjustment 577 598 579 601 655 Tax-equi