First · NASDAQ:FUNC
First — First United — Shareholder Meeting (May 2022)
21 slides from First's shareholder meeting presentation, May 12, 2022
Slide 1: First United Corporation Annual Shareholders' Meeting
FIRST UNITED CORPORATION Annual Shareholders’ Meeting May 12, 2022
Slide 2: Welcome and Introduction
2 2 John McCullough Lead Independent Director Welcome and Introduction 1
Slide 3: Management Presentation
Carissa Rodeheaver President, Chief Executive Officer, and Chairman of the Board Management Presentation 2
Slide 4: Forward looking statements
Forward looking statements This presentation contains forward - looking statements as defined by the Private Securities Litigation Reform Act of 1995 . Forward - looking statements do not represent historical facts, but are statements about management's beliefs, plans and objectives about the future
Slide 5: Delivering for Stakeholders
Delivering for Stakeholders • Hybrid work schedules available for associates • Customers utilizing technology but still desire and value personal service • First United Community Dreams Foundation serving our communities • Financial literacy • Workforce and housing sustainability • Family resiliency
Slide 6: 2021 Financial Performance
6 6 2021 Financial Performance $23.8 million Adj. Net Income (1) $3.54 Adj. Diluted EPS (1) 1.35% * ROAA (1) 19.61% * ROATCE (1) 3.28% NIM • Increased core pre - provision net revenue (1) to $30.8 million in 2021 from $23.2 million in 2020 • Core non - interest income of $19.3 (1) million driven by
Slide 7: First Quarter 2022 Financial Performance
7 7 First Quarter 2022 Financial Performance $5.7 Million Net Income (1) $0.86 Diluted EPS (1) 1.31% * ROAA (1) 17.79% * ROATCE (1) 3.40% NIM ▪ Total assets increased by $30.5 million, or 1.8% compared to linked quarter ▪ Consolidated net income (1) of $5.7 million in 1Q22 compared to $3.4million in
Slide 8: Generating Reliable Growth
Generating Reliable Growth Our strategic plan is delivering consistent growth, increasing profits and earnings per share to drive long - term shareholder return. $15.5 $17.8 $23.2 $30.8 $7.2 2018 2019 2020 2021 1Q22 Pre - Provision Net Revenue ($ in millions) (1) Diluted Earnings per Share (1) $1.51
Slide 9: Solid Profitability
Solid Profitability ▪ Consistently improved return on assets and return on average equity enable us to fund the dividend and invest in future growth. ▪ Strategic initiatives are underway to enhance growth, lower expenses, and continue improving profitability. Core ROAA (non - GAPP (1) ) Core ROATCE
Slide 10: Total Shareholder Return
Total Shareholder Return Source: S&P Global Market Intelligence; includes price change and reinvested cash dividends (1) For the period ended April 30, 2022 (2) S&P U.S. Bank $1B - $5B Index (3) Peer groups are defined on page 16 of this presentation. Peer group refers to median unless stated otherw
Slide 11: Prudent Capital & Risk Management
Prudent Capital & Risk Management Strong Risk Management • Loan concentrations and diversification • Disciplined underwriting • Strong reserves • Interest sensitivity, liquidity and capital management • Cyber - security and fraud monitoring Regulatory Capital Tangible Book Value / Share $14.97 $16.1
Slide 12: Strategic priorities
▪ Develop focused strategies utilizing data analytics to grow profitable client relationships ▪ Align marketing plan to support data analytic strategies ▪ Promote digital banking and technology platforms to client base for repetitive transactions ▪ Leverage evolving technology to streamline operatio
Slide 13: Strong Investor Relations and Shareholder Engagement
Strong Investor Relations and Shareholder Engagement Members of the Board and senior management routinely engage with shareholders and other stakeholders, and management regularly updates the Board in the context of ongoing investor discussions . These engagements help the Board and management gathe
Slide 14: Board of Directors
Board of Directors Carissa L. Rodeheaver Chairman of the Board, President & CEO First United Corporation and First United Bank & Trust John F. Barr Independent Director Owner, Ellsworth Electric, Inc. John W. McCullough Lead Director, Nomination & Governance Chair Retired as Partner of Ernst & Young
Slide 15: Our Dedicated Management Team
Our leadership team reflects the diversity of thought from the communities we serve, executes on our strategy and drives shareholder returns. Our Dedicated Management Team Carissa L. Rodeheaver Chairman of the Board, President & CEO 30 - year career with First United with in - depth industry, sales,
Slide 16: "My Bank is First United!" Thank You!
16 16 “My Bank is First United!” Thank You! 15
Slide 17: Selected Peer Groups
Selected Peer Groups • Proxy peers can be found in First United’s 2022 definitive proxy statement found here: • https://www.sec.gov/Archives/edgar/data/763907/000110465922040545/t m223638d2_def14a.htm • Proxy peers include: ACNB, ASRV, CHMG, CVLY, CZNC, EVBN, FDBC, FRAF, FXNC, MPB, MVBF, NKSH, OPOF,
Slide 18: Non-GAAP financial measures
This presentation includes certain non - GAAP financial measures, including pre - provision net revenue, net income, earnings per share (basic and diluted), return on average assets, return on average tangible common equity, tangible common equity, tangible assets, the ratio of tangible common equit
Slide 19: Non-GAAP Reconciliation, continued
Non - GAAP Reconciliation , continued 2018 2019 2020 2021 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 3/31/2022 Earnings Per Share - Basic Earnings Per Share - Basic, as reported (a)/(d) 1.51$ 1.85$ 1.98$ 2.95$ 0.49$ 0.66$ 0.66$ 1.14$ 0.86$ 0.86$ Add back: FHLB penalty, net of tax - - - 0.27 - - 0.27 -
Slide 20: Non-GAAP Reconciliation, continued
Non - GAAP Reconciliation , continued ($000s, except where otherwise noted) YTD 2018 2019 2020 2021 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 3/31/2022 Return on Average Tangible Common Stockholders' Equity Average common stockholders' equity (f) 113,659$ 125,774$ 127,101$ 132,550$ 131,541$ 127,269$ 1
Slide 21: Non-GAAP Reconciliation, continued
Non - GAAP Reconciliation , continued ($000s, except where otherwise noted) YTD 2018 2019 2020 2021 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 3/31/2022 Tangible common equity to tangible assets ("TCE Ratio") Total assets, as reported (k) 1,384,516 1,442,966 1,733,414 1,729,838 1,781,833 1,763,806 1,70