Ameris Bancorp · NYSE:ABCB
Ameris Bancorp — Q1 2021 Earnings Presentation
27 slides from Ameris Bancorp's earnings presentation, Apr 22, 2021
Slide 1: 1st Quarter 2021 Results Investor Presentation
1st Quarter 2021 Results Investor Presentation Exhibit 99.2
Slide 2: Cautionary Statements
Cautionary Statements This presentation contains forward-looking statements, as defined by federal securities laws, including, among other forward-looking statements, certain plans, expectations and goals. Words such as “may,” “believe,” “expect,” “anticipate,” “intend,” “will,” “should,” “plan,” “e
Slide 3: Ameris Profile
Ameris Profile Operating Strength Diversification Historically top quartile return on assets (> 1.50% ROA for last three years) Focus on expense control and improved operating efficiency Strong liquidity and continued funding opportunities Culture of disciplined banking Summary Experienced executive
Slide 4: 1st Quarter 2021 Financial Results
1st Quarter 2021 Financial Results
Slide 5: Earnings Summary
Earnings Summary (dollars in thousands, except per share data) Quarter to Date Results 1Q21 1Q20 Change Net Income $ 124,962 $ 19,322 547% Net Income Per Diluted Share $ 1.79 $ 0.28 539% Return on Average Assets 2.44% 0.43% 468% Return on Average Equity 18.80% 3.16% 494% Efficiency Ratio 52.59% 68.2
Slide 6: 1Q 2021 Operating Highlights
1Q 2021 Operating Highlights Net income of $125.0 million, or $1.79 per diluted share Adjusted net income(1) of $115.7 million, or $1.66 per diluted share Adjusted efficiency ratio(1) of 54.62%, compared with 52.67% in 4Q20 Adjusted ROA(1) of 2.26%, compared with 2.04% in 4Q20 Adjusted ROTCE(1) of 2
Slide 7: Operating Highlights
Operating Highlights (dollars in thousands) For the quarter 1Q21 1Q20 Asset Growth 988,489 -18,031 Asset Growth Rate 19.35% -0.40% Organic Loan Growth 118,880 275,630 Organic Loan Growth Rate 3.28% 8.60% Organic Loan Growth Ex. PPP 154,463 275,630 Organic Loan Growth Rate Ex. PPP 4.60% 8.60% Total R
Slide 8: Net Interest Margin
Net Interest Margin Banking Division Loan Production Details Period Fixed Rate Variable Rate Total 1Q21 $ 359.3 3.64% $ 242.3 4.03% $ 600.6 3.80% 4Q20 $ 588.4 3.77% $ 196.5 4.14% $ 784.9 3.86% 3Q20 $ 474.9 3.78% $ 394.1 4.27% $ 869.0 4.00% Spread Income and Margin: Average earning assets up $851.9 m
Slide 9: Noninterest Income
Noninterest Income Noninterest Income Mortgage banking Revenue increased $63.2 million, or 178.7%, in 1Q21 compared with 1Q20 Production increased $1.28 billion, or 94.0%, over the same period. Mortgage open pipeline increased $327 million, or 16.3%, compared with 4Q20 SBA Gain on sale of loans incr
Slide 10: Expenses
Expenses Adjusted Operating Expenses and Efficiency Ratio(1) OPEX Highlights: Total adjusted operating expenses decreased $1.8 million in 1Q21 compared with 4Q21 Decrease of $1.8 million in 1Q21 Banking division operating expenses primarily due to: $1.0 million contribution to Ameris Bank Foundation
Slide 11: Balance Sheet Trends
Balance Sheet Trends ns) 1020 2020 3020 4020 1021 0% miLoans mLosnsHFS = Other Earning Assets m Total Assets Earning Assets Deposit Composition (in millions 20% 0% NIB xNOW =MMDA 60% 80% Savings =CD eT rs a a 100%
Slide 12: Capital and TBV
Capital and TBV Consistent Growth in TBV Steady Capital Levels Support Growth Rate Management remains focused on growth in TBV TBV increased $1.58 per share in 1Q21: $1.64 from retained earnings ($0.06) from all other items including treasury stock transactions and OCI TBV increased $4.83 per share,
Slide 13: Loan Diversification and Credit Quality
Loan Diversification and Credit Quality
Slide 14: Diversified Loan Portfolio
Diversified Loan Portfolio 1Q21 Loan Portfolio Loan portfolio is well diversified across all loan types C&I loans represent second largest category of loans PPP loans totaled $817.9 million at 1Q21, which added ~5% to this category Average loan size is $78.0 thousand across all loan types CRE and C&
Slide 15: Loan Growth
Loan Growth 1Q21 Loan Balance Changes First quarter net loan growth was $118.8 million, primarily the result of increases in investor CRE and portfolio mortgage loans. Annualized loan growth was 3.3% See Slide 21 for additional information on CRE production Seasonal decrease in Mortgage Warehouse li
Slide 16: Allowance for Loan Losses
Allowance for Loan Losses The ALLL totaled $178.6 million at 1Q21, a net decrease of $20.8 million, or 10% from YE20 The reserve for unfunded commitments totaled $21.0 million, a decrease of $11.8 million, or 36% from YE20 During 1Q21, $28.6 million of prior provision expense was reversed, primarily
Slide 17: COVID-19 Response
COVID-19 Response 1Q21 COVID-related Payment Extensions As a % of Portfolio Volume Active COVID deferrals totaled $280.2 million, or 1.9% of Total Loans The largest remaining categories of active deferrals are Hotel Loans ($126.0 million, 45% of active deferrals), and SFR Mortgages ($79.7 million, 2
Slide 18: NPA / Charge-Off Trend
NPA / Charge-Off Trend Non-Performing Assets (“NPA”) decreased $11.2 million, to $86.0 million at 1Q21, primarily as a result of: $5.0 million decrease in nonaccrual loans as a result of collection activities and upgrades $2.5 million decrease in 90+ past due loans in Premium Finance Division Net OR
Slide 19: Problem Loan Trends
Problem Loan Trends Non-Performing Loans decreased $8.5 million in 1Q21 to $76.3 million, primarily as a result of: $5.9 million decrease in legacy and indirect nonaccrual loans $2.5 million decrease 90+ days past due loans at Premium Finance Division Total Criticized Loans (Special Mention + Classi
Slide 20: Hotel Exposure
Hotel Exposure Hotel exposure totaled $509.6 million at 1Q21, or 3.5% of Total Loans. Approximately 14% of total committed exposure guaranteed by US Government Agencies (SBA or USDA) Top-Tier brands represent > 82% of exposure. All National brands totaled > 95% of committed balances. Approximately 7
Slide 21: Investor CRE Loans
Investor CRE Loans ~ 94% of CRE loans are concentrated within our five-state footprint, primarily in the Bank’s primary MSAs of Atlanta, Jacksonville, Orlando, Tallahassee, Columbia, Savannah and Charleston Loans outside the Bank’s footprint are generally acquired loans or SBA guaranteed Updated as
Slide 22: Commercial Real Estate Production
Commercial Real Estate Production 1Q21 Commercial Real Estate Production Summary: 1Q21 Construction and Development Loan Production Summary: 1Q21 production of C&D and CRE loans - $735.3 million committed exposure Residential Real Estate Construction: Spec & model to pre-sold ratio of 0.3:1 Total sp
Slide 23: Appendix
Appendix AMERIS BANCORP
Slide 24: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures (dollars in thousands) For the quarter 1Q21 1Q20 Net Income $ 124,962 $ 19,322 Adjustment items Merger and conversion charges - 540 Servicing right impairment (recovery) (10,639) 22,165 Gain on BOLI proceeds (603) - Expenses related to SEC/DOJ Investigatio
Slide 25: Reconciliation of GAAP to Non-GAAP Measures Quarter to Date
Reconciliation of GAAP to Non-GAAP Measures Quarter to Date (dollars in thousands) 1Q21 4Q20 3Q20 2Q20 1Q20 Adjusted Noninterest Expense Total noninterest expense $ 148,798 $ 151,116 $ 153,692 $ 155,768 $ 138,053 Adjustment items: Merger and conversion charges - - 44 (895) (540) Restructuring charge
Slide 26: Reconciliation of GAAP to Non-GAAP Measures Quarter to Date
Reconciliation of GAAP to Non-GAAP Measures Quarter to Date (dollars in thousands) 1Q21 4Q20 3Q20 2Q20 1Q20 Total shareholders' equity $ 2,757,596 $ 2,647,088 $ 2,564,683 $ 2,460,130 $ 2,437,150 Less: Goodwill 928,005 928,005 928,005 928,005 931,947 Other intangibles, net 67,848 71,974 76,164 80,354
Slide 27: Ameris Bancorp Press Release & Financial Highlights
Ameris Bancorp Press Release & Financial Highlights March 31, 2021