Home Bancorp, Inc. · NASDAQ:HBCP
Home Bancorp — Gulf South Bank Conference 2021
23 slides from Home Bancorp's conference presentation, May 3, 2021
Slide 1: Gulf South Bank Conference May 3, 2021
Gulf South Bank Conference May 3, 2021
Slide 2: Forward-looking statements
Certain comments in this presentation contain certain forward looking statements (as defined in the Securities Exchange Act of 1934 and the regulations thereunder). Forward looking statements are not historical facts but instead represent only the beliefs, expectations or opinions of Home Bancorp, I
Slide 3: Our Company
Our Company • Head quartered in Lafayette, LA • Founded in 1908 • IPO completed October 2008 • Ticker symbol: HBCP (NASDAQ Global) • Market Cap: $325 million at April 28, 2021 • Total Assets: $2.7 billion at March 31, 2021 • 40 locations across south LA and western MS • Ownership (S&P Global as of A
Slide 4: Home Bank Total Assets and acquisitions
H om e B an k T ot al A ss et s ($ in m ill io ns ) 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Mar-21 YTD 500 1,000 1,500 2,000 2,500 3,000 Asset Growth Acquired Bank Date Assets ($ in MM) (at completion) % of TBV (at announcement) # of Branches Consideration Statewide Bank Mar
Slide 5: Net Income and Diluted EPS
($ in millions) $9.2 $7.3 $9.9 $12.6 $16.0 $16.8 $31.6 $27.9 $24.8 $11.9 Q1 Q2 Q3 Q4 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 $0 $10 $20 $30 $40 Net Income test $1.28 $1.06 $1.42 $1.79 $2.25 $2.28 $3.40 $3.05 $2.85 $1.41 Q1 Q2 Q3 Q4 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 $0.00 $1
Slide 6: Profitability
Profitability 0.94 1.04 1.04 1.46 1.27 0.99 1.85 1.03 1.05 1.26 1.50 1.27 0.99 1.85 GAAP Non-GAAP 2015 2016 2017 2018 2019 2020 Mar-21 YTD 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 1.4% 1.6% 1.8% 2.0% Return on Average Assets 7.8 9.2 8.6 10.9 9.0 7.8 14.8 8.6 9.3 10.5 11.1 9.0 7.8 14.8 GAAP Non-GAAP 2015 2
Slide 7: Loan Balance Outstanding
Lo an B al an ce O ut st an di ng ( $ in m ill io ns ) Originated Acquired PPP Loans Originated growth % (annualized & excluding PPP) 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Mar-21 YTD — 250 500 750 1,000 1,250 1,500 1,750 2,000 2,250 Steady Organic Loan Growth (excludes acq
Slide 8: Loan Portfolio Excluding PPP Loans
Loan Portfolio Excluding PPP Loans as of March 31, 2021 CRE, 47% 1-4 Mortgage, 22% C&D, 14% C&I, 11% Home Equity, 4% Consumer, 2% Composition Market Diversification Acadiana, 39% New Orleans, 32% Northshore, 15% Baton Rouge, 12% Mississippi, 2% | 8
Slide 9: COVID-19 Impact
COVID-19 Impact (dollars in thousands, except per share data) 1Q 2021 1Q 2020 % Change Earnings Interest income excluding PPP income $ 23,034 $ 25,249 (9) % PPP income 3,894 — — Interest expense 1,833 3,926 (53) Net interest income 25,095 21,323 18 Provision for loan losses (1,703) 6,257 (127) Nonin
Slide 10: Quarterly Financial Highlights
Quarterly Financial Highlights (dollars in thousands, except per share data) 1Q 2020 2Q 2020 3Q 2020 4Q 2020 1Q 2021 Profitability Net income $ 2,482 $ 2,921 $ 8,782 $ 10,580 $ 11,928 Diluted EPS 0.27 0.33 1.01 1.24 1.41 Pre-tax, pre-provision earnings(1) 9,265 10,067 10,950 13,253 13,189 ROA 0.45 %
Slide 11: Select Industry Exposure and Loan Deferrals
Select Industry Exposure (as of March 31, 2021) Retail, 11% Hotels and short- term rentals, 5% Restaurants and bars, 4% Energy, 2% Other, 78% Loans Excluding PPP COVID-19 Loan Deferrals As of Deferred Amount (in millions) % of Total Loans 6/30/2020 $559 28% 9/30/2020 $70 4% 12/31/2020 $36 2% 3/31/20
Slide 12: Changes in Allowance for Loan Losses
($ in m ill io ns ) $17.9 $4.6 $12.7 $(2.3) $(1.7) $(1.3) $22.5 $33.0 $30.0 Dec 2019 CECL Impact Day 1 ALL Provision Net Charge- offs Dec 2020 Provision Net Charge- offs Mar 2021 $0 $10 $20 $30 $40 • Day 1 ALL / total loans = 1.31% • Reversal of ALL in 2021 reflected improvement in our assessment of
Slide 13: Credit Quality Trends
Credit Quality Trends 0.73 1.07 1.16 1.21 1.30 0.77 0.64 0.37 0.84 1.01 0.72 0.75 0.40 0.36 NPAs / Total Assets Originated NPAs / Total Assets 2015 2016 2017 2018 2019 2020 Mar-21 YTD 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 1.4% NPAs / Assets title 0.03 0.02 0.00 0.15 0.09 0.12 0.26 2015 2016 2017 2018 2
Slide 14: Deposits
Acadiana 63% New Orleans 14% Northshore 10% Mississippi 9% Baton Rouge, 4% Deposits $ in m ill io ns 24% 25% 25% 24% 28% 30% 24% 26% 27% 28% 29% 29% 22% 21% 20% 22% 17% 15% 21% 16% 17% 15% 15% 15% 9% 12% 11% 11% 11% 12% Demand deposits NOW Certificates of deposit Money Market Savings Balance 2016 20
Slide 15: Yields
Yields 4.41 4.36 4.12 4.14 4.18 3.76 3.82 4.11 4.14 1Q 2019 2Q 2019 3Q 2019 4Q 2019 1Q 2020 2Q 2020 3Q 2020 4Q 2020 1Q 2021 3.00% 3.50% 4.00% 4.50% NIM (TE) 5.64 5.68 5.46 5.48 5.43 5.02 4.94 5.20 5.215.23 5.28 5.31 5.03 Loan Yield Loan Yield Excl. PPP 1Q 2019 2Q 2019 3Q 2019 4Q 2019 1Q 2020 2Q 2020
Slide 16: Noninterest Income & Expense
Noninterest Income & Expense 0.65 0.68 0.62 0.62 0.62 0.57 0.63 2015 2016 2017 2018 2019 2020 Mar- 21 YTD 0.55% 0.60% 0.65% 0.70% Noninterest Income(1) 3.04 2.98 2.79 2.83 2.87 2.53 2.47 2015 2016 2017 2018 2019 2020 Mar- 21 YTD 2.00% 2.50% 3.00% 3.50% Noninterest Expense(1) • Gains on sale of mortg
Slide 17: Capital
Capital $0.07 $0.30 $0.41 $0.55 $0.71 $0.84 $0.88 $0.45 Q1 Q2 Q3 Q4 2014 2015 2016 2017 2018 2019 2020 2021 $0.00 $0.25 $0.50 $0.75 $1.00 Dividends Per Share 10.8% 9.1% 9.4% 9.7% 9.9% 14.9% 14.8% 15.3% 15.2% 15.4% Tier 1 leverage capital Total risk-based capital 1Q 2020 2Q 2020 3Q 2020 4Q 2020 1Q 20
Slide 18: Investment Perspective
Investment Perspective Strong earnings and shareholder returns Conservative, well-managed credit culture Well capitalized with capacity for continued growth Market disruption creates new opportunities Disciplined acquirer Insider owners committed to continual improvement | 18
Slide 19: We Are One Team, Creating Exceptional Customer Experiences
WE ARE ONE TEAM, CREATING EXCEPTIONAL CUSTOMER EXPERIENCES | 19
Slide 20: Appendix (non-GAAP reconciliation)
Appendix (non-GAAP reconciliation) (dollars in thousands) 2015 2016 2017 2018 2019 2020 Mar-21 YTD Total shareholders' equity $ 165,046 $ 179,843 $ 277,871 $ 304,040 $ 316,329 $ 321,842 $ 328,610 Less: intangible assets 15,304 12,762 68,033 66,055 64,472 63,112 62,813 Non-GAAP tangible shareholders'
Slide 21: (dollars in thousands) Mar-21 YTD Reported noninterest income $ 8,770 $ 11,157 $ 9,962
(dollars in thousands) 2015 2016 2017 2018 2019 2020 Mar-21 YTD Reported noninterest income $ 8,770 $ 11,157 $ 9,962 $ 13,447 $ 14,415 $ 14,305 $ 4,060 Less: BOLI benefit — — — — 1,194 — — Less: gain (loss) on sale of assets — 641 (69) — (347) — — Non-GAAP noninterest income $ 8,770 $ 10,516 $ 10,03
Slide 22: (dollars in thousands, except per share data) 1Q 2020 2Q 0 3Q 2020 4Q
(dollars in thousands, except per share data) 1Q 2020 2Q 2020 3Q 2020 4Q 2020 1Q 2021 Total shareholders' equity $ 312,813 $ 311,071 $ 315,068 $ 321,842 $ 328,610 Less: intangible assets 64,119 63,777 63,439 63,112 62,813 Non-GAAP tangible shareholders' equity $ 248,694 $ 247,294 $ 251,629 $ 258,730
Slide 23: (dollars in thousands) 1Q 2020 2Q 2020 3Q 2020 4Q 2020 1Q 21 Reported
(dollars in thousands) 1Q 2020 2Q 2020 3Q 2020 4Q 2020 1Q 2021 Reported net income $ 2,482 $ 2,921 $ 8,782 $ 10,580 $ 11,928 Add: provision expense 6,257 6,471 — — (1,703) Add: income tax expense 526 675 2,168 2,673 2,964 Pre-tax, pre-provision earnings $ 9,265 $ 10,067 $ 10,950 $ 13,253 $ 13,189 Pr