Triumph Financial, Inc. · NYSE:TFIN
Triumph Financial — Triumph Bancorp — Q1 2017 Earnings Presentation
19 slides from Triumph Financial's earnings presentation, Apr 19, 2017
Slide 1: Q1 2017 earnings release
Q1 2017 earnings release April 19, 2017 Exhibit 99.2
Slide 2: Forward-Looking Statements
disclaimer Forward-Looking Statements This presentation contains forward-looking statements. Any statements about our expectations, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance are not historical facts and may be forward-looking. You can identify fo
Slide 3: Company Overview
company OVERVIEW PAGE Triumph Bancorp, Inc. (NASDAQ: TBK) is a financial holding company headquartered in Dallas, Texas. Triumph offers a diversified line of community banking and commercial finance products through its bank subsidiary, TBK Bank, SSB. www.triumphbancorp.com Community Banking Full su
Slide 4: Platform Overview - Lending
PLATFORM OVERVIEW - LENDING PAGE 24% Texas Geographic Concentrations1 as of March 31, 2017 Diversification by asset class, geography, and collateral Commercial Finance target mix of 40% Industry leading portfolio yields 1 Excludes factored receivables 21% Colorado 2% Kansas 7% Iowa 20% Illinois
Slide 5: Platform Overview - Retail
PLATFORM OVERVIEW - RETAIL PAGE team members(2) Western division 16 branches in Colorado 2 branches in western Kansas MIDwest division 10 branches in the Quad Cities metroplex 8 branches throughout northern and central Illinois Dallas Corporate Headquarters 1 branch
Slide 6: Platform Overview - Commercial Finance
PLATFORM OVERVIEW – COMMERCIAL FINANCE PAGE Triumph Commercial Finance Asset Based Lending Borrowing base working capital lending Focus on facilities between $1MM - $20MM Core industries include manufacturing, distribution, services, and healthcare Equipment Finance Secured by revenue producing, ess
Slide 7: Long term performance goals vs Actual Q1
Return on Average Assets (“ROAA”) GAAP: 1.62% Core: 0.08% Goal: > 1.50% Net Overhead Ratio Net Interest Income to Average Assets Credit Costs Pre-Provision Net Revenue Taxes GAAP: 4.93% Core: 4.93% Goal: > 5.00% GAAP: 1.17% Core: 3.60% Goal: < 2.00% GAAP: 3.76% Core: 1.33% Goal: > 3.00% GAAP: 1.19%
Slide 8: Investment Considerations
INVESTMENT CONSIDERATIONS PAGE Coverage Analysts: Brad Milsaps – Sandler O’Neill & Partners Jared Shaw – Wells Fargo Securities, LLC Chris Nolan – FBR Capital Markets & Co. Brett Rabatin – Piper Jaffray & Co. Gary Tenner – D.A. Davidson & Co.
Slide 9: Q1 2017 Highlights
Q1 2017 HIGHLIGHTS PAGE Diluted earnings per share of $0.55 for the first quarter Pre-tax gain on sale of Triumph Capital Advisors subsidiary of $20.9 million (~$10.0 million net of taxes and transaction related costs) Commercial finance loan portfolio growth of $20.0 million $2.6 billion in assets
Slide 10: Loan Yields and Net Interest Margin
loan yields and NET INTEREST MARGIN PAGE *Reconciliations of non-GAAP financial measures can be found at the end of the presentation **SNL U.S. Bank $1-$5B: Includes all Major Exchange (NYSE, NYSE MKT, NASDAQ) Banks in SNL’s coverage universe with $1B to $5B in Assets. Q1 2017 SNL data not available
Slide 11: Loan Portfolio Detail
LOAN PORTFOLIO DETAIL PAGE Community Banking Commercial Finance Loans Held for Investment Chart data labels – dollars in millions 42460 42551 42643 42735 42825 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Community Banking 717.72799999999995 803.58500000000004 1,321.9390000000001 1,333.94 1,321.6 Equipme
Slide 12: Triumph Business Capital Factoring
TRIUMPH BUSINESS CAPITAL FACTORING PAGE Yield of 17.45% in the first quarter Average annual charge-off rate of 0.32% over the past 3 years 2,539 factoring clients at March 31, 2017
Slide 13: Asset Quality
Net Chargeofts ALLL ASSET QUALITY NCOs / Average Loans NPAs / Total Assets 023% One 0.20% gam 017% Bas 014% Fase 01% ix 0.08% © 09% 0.05% E 06% 0.02% 2 03% 001% 0.0% ais vais sais. sas 1017 1036 2016 sais sais 1017 ALLL / Non-performing Loans ALLL / Total Loans 120.0% 2.00% 90.0% 1.50% 60.0% 2 1.00%
Slide 14: Deposit Mix and Growth
DEPOSIT MIX AND GROWTH PAGE * Deposits totaling $653.0 million were assumed in the ColoEast Bankshares, Inc. acquisition
Slide 15: Financial Highlights
FINANCIAL HIGHLIGHTS PAGE Reconciliations of non-GAAP financial measures can be found at the end of the presentation Metric adjusted to exclude material gains and expenses related to merger and acquisition-related activities, net of tax where applicable Asset quality ratios exclude loans held for sa
Slide 16: Non-GAAP Financial Reconciliation
NON-GAAP FINANCIAL RECONCILIATION PAGE The Company uses certain non-GAAP financial measures to provide meaningful supplemental information regarding the Company's operational performance and to enhance investors' overall understanding of such financial performance. 42825QTD 42460QTD 42185QTD 42094QT
Slide 17: Non-GAAP Financial Reconciliation
NON-GAAP FINANCIAL RECONCILIATION PAGE 42825QTD 42460QTD 42185QTD 42094QTD 42094QTD 42825 42735 42643 42551 42460 365 366 366 366 366 90 92 92 91 91 As of and for the Three Months Ended (Dollars in thousands, March 31, December 31, September 30, June 30, March 31, except per share amounts) 2017 2016
Slide 18: Non-GAAP Financial Reconciliation
NON-GAAP FINANCIAL RECONCILIATION PAGE 42825QTD 42460QTD 42185QTD 42094QTD 42094QTD 42825 42735 42643 42551 42460 365 366 366 366 366 90 92 92 91 91 As of and for the Three Months Ended (Dollars in thousands, March 31, December 31, September 30, June 30, March 31, except per share amounts) 2017 2016
Slide 19: Non-GAAP Financial Reconciliation
NON-GAAP FINANCIAL RECONCILIATION PAGE 42825QTD 42460QTD 42185QTD 42094QTD 42094QTD 42825 42735 42643 42551 42460 365 366 366 366 366 90 92 92 91 91 As of and for the Three Months Ended (Dollars in thousands, March 31, December 31, September 30, June 30, March 31, except per share amounts) 2017 2016