Acnb Corporation · NASDAQ:ACNB
Acnb — Shareholder Meeting (May 2024)
42 slides from Acnb's shareholder meeting presentation, May 9, 2024
Slide 1: ACNB Corporation Annual Meeting of Shareholders May 7, 2024
ACNB Corporation Annual Meeting of Shareholders May 7, 2024
Slide 2: Welcome & Introductions
Welcome & Introductions Alan J. Stock Chairman of the Board 2
Slide 3: Board of Directors
Board of Directors Alan J. Stock Chairman of the Board Scott L. Kelley James P. Helt D. Arthur Seibel, Jr. Kimberly S. Chaney Donna M. Newell Todd L. Herring Vice Chairman of the Board James J. Lott Frank Elsner, III Daniel W. Potts 3
Slide 4: Board of Director Nominee Alexandra C. Chiaruttini
Alexandra “Alex” C. Chiaruttini Chief Administrative Officer and General Counsel The York Water Company Board of Director Nominee 4
Slide 5: James P. Helt President & CEO
James P. Helt President & CEO 5
Slide 6: Executive Management Team
Executive Management Team 6
Slide 7: Business Unit Subsidiary and Executive Officers
Business Unit Subsidiary and Executive Officers Mark P. Bernier SVP/Wealth Management Officer Mark A. Westcott President & Chief Executive Officer 7
Slide 8: Legal and Accounting Advisors
Partner Nicholas Bybel, Jr., Esquire Layla Collins Legal and Accounting Advisors Bybel Rutledge LLP: Crowe LLP: 8
Slide 9: Meeting Agenda
Meeting Agenda •Call to Order, Quorum & Business Matters •Management Presentations •Shareholder Questions & Answers •Voting Results from Judge of Election •Adjournment 9
Slide 10: Rules of Conduct and Procedures
Rules of Conduct and Procedures In the interest of an orderly Annual Meeting of Shareholders for ACNB Corporation, please honor the following basic Rules of Conduct and Procedures. • Shareholders should not address the Meeting until recognized by the Chairman of the Meeting. Upon recognition by the
Slide 11: Forward-Looking Statements
Forward-Looking Statements During the course of this presentation, there may be projections and forward-looking statements regarding events or the future financial performance of ACNB Corporation. We wish to caution you that these forward-looking statements involve certain risks and uncertainties, i
Slide 12: Call to Order, Quorum & Business Matters
Call to Order, Quorum & Business Matters 12
Slide 13: Management Presentations
Management Presentations James P. Helt President & CEO Jason H. Weber EVP/Treasurer & Chief Financial Officer 13
Slide 14: Executive Summary
Executive Summary Bank Established: 1857 Headquarters: Gettysburg, PA Market Capitalization1: $320 Million Total Assets²: $2.4 Billion Gross Loans²: $1.7 Billion Deposits²: $1.8 Billion 1. Source: S&P Capital IQ as of March 28,2024. 2. Source: April 25, 2024 ACNB Corporation Press Release Source: 10
Slide 15: Initiated Analyst Coverage of ACNB Corporation
Initiated Analyst Coverage of ACNB Corporation 15
Slide 16: Accolades
Accolades FASTEST GROWING COMPANIES ACNB Corporation Ranked #45 Bank Director RANKING BANKING. THE BEST U.S. BANKS. Rank Company Name Ticker State ACNB Corporation ACNB PA ACNB Bank Voted #1 Bank can Getlysbubgs Greatest CVinnet, ACNB Bank Voted #1 Bank S&P Global Market Intelligence Ranks the Best-
Slide 17: Market Overview
• ACNB Bank is ranked #1 in the Adams County market, with deposit market share of 61.28%¹. 2023 represented the 8th consecutive year of deposit growth in the market served by ACNB Bank. • ACNB Bank has the #1 deposit market share in 7 out of 13 defined market areas in Pennsylvania². • 29 Bank locati
Slide 18: Maryland Market Highlights
Maryland Market Highlights Source: FDIC Market Share Report as of June 30, 2023 and Internal Documents as of December 31, 2023. 11 1 Commercial Lending Manger 8 Commercial Lenders 1 Market Ambassador 1 Agribusiness Lender Commercial Banking Community Banking 13 1 Regional Sales Manager 8 Community O
Slide 19: Pennsylvania Market Highlights
Pennsylvania Market Highlights 1. Defined Market Area is Adams County, Chambersburg (17201 zip code), Dillsburg, Hanover, Newville, Spring Grove, and York (17402 zip code). Source: FDIC Market Share Report as of June 30, 2023 and Internal Documents as of December 31, 2023. 18 4 Commercial Lending Ma
Slide 20: Dividend Analysis 2017 to Present
Source: ACNB Public filings and Internal Documents. 20 Dividend Analysis 2017 to Present Quarterly Cash Dividend in 2017 was $0.20 compared to the Quarterly Cash Dividend as of 2nd Quarter 2024 at $0.32 (60%↑)
Slide 21: Overview of 2023 Results
Overview of 2023 Results Source: ACNB Public filings and Internal Documents. Financial Summary • Strong operating results in 2023 despite considerable market uncertainty and turmoil. • Operating results included an after-tax loss of approximately $3.5 million on securities repositioning. • Stable to
Slide 22: Balance Sheet Trends
1. Compounded Annual Growth Rate (CAGR). 2. Non-GAAP financial measure. Refer to the calculation on the page titled “Reconciliation of Non-GAAP Measures” at the end of this presentation. Balance Sheet Trends Total Assets ($MMs) Total Loans ($MMs)CAGR¹ (‘19 - ’23): 6.35% Total Deposits ($MMs) CAGR¹ (
Slide 23: Performance Over Time
Performance Over Time Source: ACNB Public filings and Internal Documents. 1. EPS and ROAE for 2020 are adjusted to reflect figures that exclude after-tax merger related charges of $4.6mn for Frederick County acquisitions (non-GAAP). 2. Non-GAAP financial measure. Refer to the calculation on the page
Slide 24: Diversified Loan Portfolio
Diversified Loan Portfolio • ACNB asset quality measures continue to reflect commitment to sound credit risk management, including conservative disciplined underwriting practices, timely credit administration processes, and proactive customer relationship management. • Independent loan review perfor
Slide 25: Prudent Reserve Discipline
Prudent Reserve Discipline ACL Overview Source: ACNB Public filings and Internal Documents. • ACNB actively monitors its loan portfolio to maintain strong asset quality. • On January 1, 2023, the Corporation adopted Topic 326, universally referred to as CECL; Day one impact resulted in $1.6 million
Slide 26: Healthy Deposit Portfolio
Healthy Deposit Portfolio Deposit Portfolio Gross Deposits $1.9BN 1. Core deposits are total deposits less CDs greater than or equal to $250,000. 2. Collateral consists of investment securities and FHLB Letters of Credit. Source: ACNB Public filings and Internal Documents. Financial Data as of 12/31
Slide 27: Strong Capital Position
Strong Capital Position Commentary Source: ACNB Public filings and Internal Documents. Capital Ratios¹ 1. Consolidated regulatory capital ratios as of 12/31/2023. 2. Excess capital defined as capital in excess of the regulatory capital minimums and 250 basis points capital conservation buffer, excep
Slide 28: Ample Liquidity
Ample Liquidity Commentary Source: ACNB Public filings and Internal Documents. Financial Data as of 12/31/2023. Balance Sheet Liquidity • Actively monitoring and projecting liquidity needs to minimize our liquidity risk; Liquidity monitored daily. • On-balance sheet liquidity primarily comprised of
Slide 29: Total Shareholder Return: 1-Year
Total Shareholder Return: 1-Year Source: S&P Capital IQ Pro; Data from 12/31/2022 to 12/31/2023 • While ACNB slightly underperformed the broader market indices in 2023, ACNB outperformed the bank index ... 29
Slide 30: Total Shareholder Return: 3-Year
Total Shareholder Return: 3-Year Source: S&P Capital IQ Pro; Data from 12/31/2020 to 12/31/2023 ...and outperformed the bank index and broad market indices over the past 3 years. 30
Slide 31: 2024 First Quarter Financial Highlights
Net Income = $6.8mn Diluted EPS = $0.80 Tangible Book Value Per Share1 = $26.70 Return on Average Assets = 1.12% Return on Average Equity = 9.76% FTE Net Interest Margin = 3.77% Non-performing Assets to Total Assets = 0.18% Allowance for Credit Losses to Totals Loans = 1.21% 2024 First Quart
Slide 32: Wealth Management
Wealth Management At Year-End in Thousands of Dollars 1. Securities and certain insurance products are offered through Cetera Investment Services, LLC, a registered broker-dealer and FINRA member, and advisory services are offered through Cetera Investment Advisers, LLC. Neither firm is affiliated w
Slide 33: ACNB Insurance Services, Inc.
ACNB Insurance Services, Inc. At Year-End in Thousands of Dollars Source: ACNB Public filings and Internal Documents • ACNB Insurance Services, Inc. is a full-service insurance agency, with licenses in 46 states, offering a broad range of property, casualty, health, life and disability insurance to
Slide 34: At the Heart of Community Life...Team ACNB!
At the Heart of Community Life...Team ACNB! • 57% of employees volunteered their time in 2023, contributing a total of 7,894 volunteer service hours and supporting 190 community organizations. • 49 employees served in volunteer leadership roles with 62 community organizations. • 54% of employees ple
Slide 35: Committed to our Local Communities
Committed to our Local Communities • The Bank contributed $220,753 to 240+ community organizations: • $128,260 in Southcentral PA • $92,493 in Central MD • Employees participated in 124 Bank-sponsored community events. • 34 employees engaged with 1,318 students about important financial literacy mat
Slide 36: ACNB Bank Volunteer of the Year Award
ACNB Bank Volunteer of the Year Award Created to recognize exemplary community service by a Bank staff member Winner receives: • Commemorative Trophy • One Extra Day of Paid Time Off AND • ACNB Bank presents $1,000 to a community organization(s) on behalf of the award winner. Mark J. Aswall, Vice Pr
Slide 37: Deeply Rooted in Community Banking
Deeply Rooted in Community Banking Our Vision To be the independent financial services provider of choice in the communities served by building relationships and finding solutions. 37
Slide 38: Shareholder Questions & Answers
Shareholder Questions & Answers 3838
Slide 39: Voting Results from Judge of Election
Voting Results from Judge of Election 39
Slide 40: Thank You & Meeting Adjournment
Thank You & Meeting Adjournment Stock Symbol: ACNB (Nasdaq) www.acnb.com 404
Slide 41: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures Note: The Corporation has presented the following non-GAAP financial measures because it believes that these measures provide useful and comparative information to assess trends in the Corporation’s results of operations and financial condition. These non-GAAP fin
Slide 42: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures 42