First Mid Bancshares, Inc. · NASDAQ:FMBH
First Mid Bancshares — Investor Presentation (July 2020)
33 slides from First Mid Bancshares's investor presentation, Jul 30, 2020
Slide 1: Investor Presentation July 30, 2020
Investor Presentation July 30, 2020 FIRST MID for every step of life.
Slide 2: Disclosure: Non-GAAP Measures and Forward Looking Statements
D i s c l o s u r e Non - GAAP Measures In addition to reports presented in accordance with generally accepted accounting principles (“GAAP”), this release contains certain non - GAAP financial measures. The Company believes that such non - GAAP financial measures provide investors with information
Slide 3: Corporate Profile
Corporate Profile First Mid Bancshares, Inc. (“First Mid”) is the parent company of First Mid Bank & Trust, N.A., First Mid Insurance Group, Inc., and First Mid Wealth Management Co. First Mid is a $4.5 billion community - focused organization that provides a full - suite of financial services inclu
Slide 4: Company Overview
Company Overview First Mid is headquartered in Mattoon with multiple locations and a dedicated team of nearly 900 employees serving central and southern Illinois, metro St . Louis, and the greater Indianapolis area . 4 Our vision is to be a nimble, community - focused organization committed to quali
Slide 5: COVID-Relief & Support to Our Employees and Customers
COVID - 19 Relief & Support to Our Employees and Customers • Executed pandemic plan already tested and in place. • Implemented preventative and personal hygiene measures per CDC guidelines. • Protected the safety of employees by closing all branch lobby locations from April 1 st through June 15 th w
Slide 6: COVID-19 Relief & Support Update
First Mid is committed to providing the support needed throughout the communities we serve during the pandemic. COVID - 19 Relief & Support Update Over 2,500 Total Loans Funded Fee Income Generated Small Business Customers Assisted Paycheck Protection Program (“PPP”) Q2’20 Update Beginning April 1st
Slide 7: COVID-Relief & Support Update: Deferred Payments
COVID - 19 Relief & Support Update $ 0 $ 20 $ 40 $ 6 0 $ 80 $ 1 0 0 ($ in millions) Retail & Related $70.0 H ot e l s $63 . 4 M u l t i - F am i l y $62 . 9 % Balances Deferred to Total Loans CRE Office Buildings $20.0 Re st a u r a n t s $19.6 Auto Dealers $9.5 Non - Residential Mortgages $8.9 Defe
Slide 8: COVID-Loan Monitoring
All Other Loans 88.7% Vulnerable Industries 11.3% COVID - 19 Loan Monitoring Industry Detail as of June 30, 2020 % of Loan Portfolio Retail Shopping / Strip Centers 4.2% Hotels 4.1% Restaurants 3.0% Total 11.3% Due to the unprecedented global pandemic and shelter in place mandate, First Mid implemen
Slide 9: Providing Shareholder Value
Providing Shareholder Value $ 1 . 4 2 $ 1 . 4 4 $ 1 . 5 1 $ 1 . 5 7 $ 1 . 6 7 $ 1 . 0 4 $ 1 . 0 7 $ 1 . 2 9 $ 1 . 6 2 $ 1 . 7 3 $ 1 . 8 5 $ 1 . 8 1 $ 2 . 0 5 $ 2 . 1 3 $ 2 . 5 2 $ 2 . 8 7 $0.30 $0.33 $0.35 $0.38 $0.38 $0.38 $0.38 $0.40 $0.42 $0.46 $0.55 $0.59 $0.62 $0.66 $0.70 $0.76 $ 8 . 4 9 $ 9 .
Slide 10: History and Recognition
History and Recognition First Mid has a proud 155 year history of service to agricultural, small business and retail customers. • First National Bank of Mattoon established in 1865 • The oldest nationally chartered bank in Illinois • First Mid Bancshares, Inc. incorporated in 1981 • Committed to our
Slide 11: Strategic Advantage
Strategic Advantage First Mid Bancshares is able to provide strong strategic advantages in key areas: • Diversified Sources of Revenue – Full service banking – Insurance Services – Trust and Wealth Management – Ag Services including Farm Management and Brokerage • Quality Core Deposit Franchise • Di
Slide 12: Our Branch Footprint
Our Branch Footprint *Source: S&P Global Market Intelligence 12 First Mid Bank & Trust currently operates 64 banking centers throughout Illinois and eastern Missouri and a loan production office in the greater Indianapolis area . Clusters of branches are located in and around cities such as St . Lou
Slide 13: Market Share
Market Share Market Share Ranking First Mid ranks in the Top 10 for market share in 21 of the 27 counties served and ranks in the Top 5 in 70% of those markets Community Bank Ranking First Mid ranks 1 st in its operating market among community banks (excluding money center, super regional and other
Slide 14: Quality Core Deposit Franchise
Quality Core Deposit Franchise June 30, 2020 Balance % Non - Interest bearing demand deposits $ 817,622 24 . 1% Interest bearing demand deposits $ 938,710 27 . 7% Savings deposits $ 492,760 14 . 6% Money Market $ 607,145 17 . 9% Time Deposits $ 529,588 15 . 6% Total Deposits $ 3,385,827 100% Deposit
Slide 15: Diversified Loan Portfolio
Diversified Loan Portfolio June 30, 2020 Balance % Commercial Real Estate ( N o n f a rm/ N o n r e s i d e n t i al) 3 5. 1 % Commercial & Industrial Loans 2 5. 3 % 1 - 4 Family Residential Properties 1 0. 7 % Agricultural Real Estate 7 .8% Construction & Land Development 5 .6% Agricultural Loans 4
Slide 16: Diversified Loan Portfolio Mix
35% 25% 11% 8% 5% 4% CRE (nonfarm/nonresidential) 1 - 4 Family Ag Real Estate Ag Loans Multi - Family C&L D C o n s u m er All Other Loans Diversified Loan Portfolio Mix 33% 16% 25% 9% 7% 3% 3% 3% 6% 1% A historical comparison of First Mid’s loan portfolio mix. 3% 4% June 30, 2010 35% 16 23% 16% 11%
Slide 17: Ag Loan Portfolio Highlights
16% 13% 8% 12% 4% 48% Central Region Champaign/Decatur Metro/St. Louis Region Peoria Region Southern Region Sullivan Region Ag Loan Portfolio Highlights 17 63% 35% Ag Portfolio Mix Ag Loans by Geography 2% 1% Ag Real Estate Grain Operations Beef Cattle Farms Specialty Farms • Totaled $400.4 million
Slide 18: Diverse Geographic Lending
Diverse Geographic Lending R e g i on 18 D e c at u r Region Metro / St . Louis Region Peoria R e g ion S ou th e rn Regio n Sullivan Central R e g ion Balance % Central Region $ 630,677 19.7% Champaign/Decatur Region Includes Indianapolis LPO balances $ 695,217 21.7% Metro/St. Louis Region $ 828,55
Slide 19: Strong Credit Culture
Strong Credit Culture 0 . 1 0 % 0 . 2 2 % 0 . 0 6 % 0 . 0 6 % 0 . 0 7 % 0 . 1 7 % 0.13% 0 . 2 8 % 0 . 2 5 % 0 . 3 9 % 0 . 2 9 % 0 . 2 3 % 0 . 0 8 % 0 . 0 2 % 0.04% 0.04% 0 . 2 4 % 0 . 0 9 % 0 . 1 1 % 0 . 2 2 % 0 . 15% 0 . 15% 0 . 0 0% 0 . 2 0% 0 . 4 0% 0 . 8 0% Earnings & Dividends/Share 1.00% Net C
Slide 20: Capital Management and Acquisitions
Capital Management and Acquisitions 20 R ecent Capital Events 2019 Strategically repurchased $1.1 million of common stock through Q3’19. June 2018 Raised $36 million through an overnight public offering of common stock. August 2017 Launched a $20 million at - the - market equity offering. June 2015
Slide 21: Recent Transactions
Recent Transactions First Mid has announced or successfully completed five major acquisitions since 2010 which has added nearly $2.5 billion of assets. T r a n s a ct i on Date Closed 9 / 10 / 10 Closed 8 / 14 / 15 Closed 9 / 08 / 16 Closed 5 / 01 / 18 Closed 11 / 15 / 18 $16 Million $16 Million $89
Slide 22: Strategic Acquire in 2020
Strategic Acquire in 2020 • Completed a strategic acquisition of a talented team of lenders and their loan relationships in the St. Louis metro market. • The acquisition was funded primarily through a depository agreement entered into with Promontory in the St. Louis Metro market. • The loan portfol
Slide 23: Diversified Solutions and Sources of Revenue: Wealth Management and Ag Services
Diversified Solutions and Sources of Revenue $5,425,000 $5,905,000 $8,460,000 $15,570,000 $3,500,000 $5,500,000 $7,500,000 $9,500,000 $11,500,000 $13,500,000 $15,500,000 2 0 16 2 0 17 2 0 18 2 0 19 • Complementary Wealth Management, Trust Operations, and Ag Services • Source of Revenue: • 50% coming
Slide 24: Diversified Solutions and Sources of Revenue: Insurance
Diversified Solutions and Sources of Revenue $3,454,000 $3,880,000 $5,592,000 $16,029,000 $0 $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000 $14,000,000 $16,000,000 2 0 16 2 0 17 2 0 18 2 0 19 • Largest community bank - owned insurance agent in Illinois 24 • Offers the following
Slide 25: Value Proposition
Value Proposition A Ca Strong Ris b i l i t y t o Ra ise Ma n a g em e pital and Grow Coupled wi Strategically Efficient Oper k n t th a t i o n s Increasing S h a r e h ol d e r Value 25 Experienced Management Team and Board Diversified Revenue Streams and Proven Earnings Engine Well Positioned Bal
Slide 26: Key Financial Metrics
Key Financial Metrics ui First Mid BANCSHARES, INC.
Slide 27: Selected Income Statement Data
Selected Income Statement Data 27 YTD Q 2’ 2 020 2019 2018 2017 2016 2015 Interest income $70 , 276 $149,7 2 1 $1 2 4,565 $99 , 555 $75 , 496 $59 , 251 Interest expense 8 , 821 24,047 12 , 827 6 , 482 4,2 9 2 3 ,499 Net interest income 61 , 455 1 25,674 111 , 738 93 , 073 71, 2 04 55 , 752 Provision
Slide 28: Selected Balance Sheet Data
Selected Balance Sheet Data ASSETS Q2’2020 2019 2018 2017 2016 2015 Cash and cash equivalents $238 , 487 $85 , 080 $ 141,400 $8 8 ,879 $175 , 902 $115, 7 84 Investment securities 727 , 154 760, 2 15 7 69,279 649 , 596 708 , 722 629,0 5 6 Net loans 3 , 166,881 2,66 8 ,436 2 ,618 , 330 1 , 919, 5 24 1
Slide 29: Non-GAAP Measures
Non-GAAP Measures ui First Mid BANCSHARES, INC.
Slide 30: Non-GAAP Measures
Non - GAAP Measures June 30, 2020 March 31, 2020 December 31, 2019 September 30, 2019 June 30, 2019 Net interest income as reported $31 , 582 $2 9 ,873 $30 , 984 $31 , 125 $31 , 313 Net interest income, (tax equivalent) 32 , 118 30 , 393 31 , 517 31 , 659 31 , 850 Average earning assets 3 , 942,832
Slide 31: Board of Directors
Board of Directors Holly A. Bailey President, Howell Asphalt Company President, Howell Paving, Inc. Robert S. Cook Managing Partner, TAR CO Investments, LLC Joseph R. Dively Chairman and Chief Executive Officer, First Mid Bancshares, Inc. Steven L. Grissom Chief Executive Officer, SKL Investment Gro
Slide 32: Experienced Management Team
Experienced Management Team Joseph R. Dively Chairman, Chief Executive Officer and President Joe joined First Mid as a Board of Director in 2004. Michael L. Taylor SEVP, Chief Operating Officer Mike joined First Mid in 2000. Matthew K. Smith EVP, Chief Financial Officer Matt joined First Mid in 2016
Slide 33: Achievements through Performance
Achievements through Performance:
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