Uscb Financial Holdings, Inc. · NASDAQ:USCB
Uscb Financial — Q1 2024 Earnings Presentation
21 slides from Uscb Financial's earnings presentation, Apr 25, 2024
Slide 1: Earnings Presentation First Quarter 2024
Exhibit 99.2 EARNINGS PRESENTATION FIRST QUARTER 2024 NASDAG: USCB USCB FINANCIAL HOLDINGS | U.S. CENTURY BANK
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation may contain statements that are not historical in nature and are intended to be, and are hereby identified as, forward-looking statements for purposes of the safe harbor provided by Section 21E of the Securities Exchange Act of 1934, as amended. Forward-l
Slide 3: Q1 2024 Highlights
Q1 2024 HIGHLIGHTS Growth Average deposits increased by $204.3 million or 11.1% compared to the first quarter 2023. Average loans increased $234.1 million or 15.1% compared to the first quarter 2023. Liquidity sources on March 31, 2024, totaled $673 millio n in on-balance sheet and off-balance sheet
Slide 4: Historical Financials
HISTORICAL FINANCIALS EOP for Balance Sheet amounts Loans (1) In millions $735 $1,821 2016 2017 2018 2019 2020 2021 2022 2023 Q1 2024 Deposits In millions $782 $2,103 2016 2017 2018 2019 2020 2021 2022 2023 Q1 2024 Total stockholders’ equity In millions $86 $195 2016 2017 2018 2019 2020 2021 2022 20
Slide 5: Financial Results
FINANCIAL RESULTS Balance Sheet (EOP) In thousands (except per share data) Q1 2024 Q4 2023 Q1 2023 Total Securities $433,030 $404,303 $415,837 Total Loans (1) $1,821,196 $1,780,827 $1,580,394 Total Assets $2,489,142 $2,339,093 $2,163,821 Total Deposits $2,102,794 $1,937,139 $1,830,462 Total Equity (
Slide 6: Key Performance Indicators
KEY PERFORMANCE INDICATORS Q1 2024 Q4 2023 Q1 2023 In thousands (except for TBV/share) GROWTH Total Assets (EOP) $2,489,142 $2,339,093 $2,163,821 Total Loans (EOP) $1,821,196 $1,780,827 $1,580,394 Total Deposits (EOP) $2,102,794 $1,937,139 $1,830,462 Tangible Book Value/Share (1)(4) $9.92 $9.81 $9.3
Slide 7: Deposit Portfolio
DEPOSIT PORTFOLIO Deposits AVG In millions $1,844 $1,872 $194 $1,914 $2,049 $225 $277 $290 $282 $323 $897 $940 $1,011 $1,005 $1,098 $58 $53 $52 $50 $53 $664 $602 $588 $577 $575 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Non-interest -bearing deposits Interest-bearing checking deposits Money market and
Slide 8: Loan Portfolio
LOAN PORTFOLIO Total Loans (AVG) In millions $1,547 $1,569 $1,611 $1,699 $1,782 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Loan Yields 5.17% 5.33% 5.55% 5.79% 6.01% 0.03% 0.02% 0.02% 0.00% 0.00% 5.14% 5.31% 5.53% 5.79% 6.01% +87 bps Q1'23 vs Q1'24 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Loan co upon Lo
Slide 9: Loan Production
LOAN PRODUCTION Net Loan Production Trend In millions 6.66% 7.20% 8.00% 8 8.16 $96 $22 $67 $51 $135 $55 $150 $46 $131 $91 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Loan Production/Line change Loan Amortization/payoffs New loans average coupon Loan Composition Trend EOP (1) In millions $948 $1,818 28%
Slide 10: Net Interest Margin
NET INTEREST MARGIN Net Interest Income/Margin (1) In thousands (except ratios) 3.22% 2.73% 2.60% 2.65% 2.62% $15,997 $14,173 $14,022 $14,376 $15,158 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Net Interest Income NIM Interest-Earning Assets Mix (AVG) 2% 4% 4% 2% 5% 21% 20% 21% 19% 18% 77% 76% 75% 79% 7
Slide 11: Interest Rate Sensitivity
INTEREST RATE SENSITIVITY Loan Portfolio Repricing Profile by Rate Type Hybrid ARM 4% Fixed Rate 42% Variable Rate 54% 18% 16% 66% Prime CMT SOFR 40% 36% 10% 14% 0-1 yrs. 0-2 1-2 yrs. 0-3 2-3 yrs. 0-4 >3 yrs. Static NII Simulation Year 1 & 2 Year 1 Yer 2 $7,000 $2,000 2.8% 5.4% -$3,000 -100 `+100 `-
Slide 12: Asset Quality
ASSET QUALITY Allowance for Credit Losses In thousands (except ratios) 1.20% 1.18% 1.16% 1.18% 1.18% $18,887 $18,815 $19,493 $21,084 $21,454 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Allowance for credit losses ACL/Total Loans Non-performing Loans In thousan ds (except ratios) 0.03% 0.03% 0.03% 0.03%
Slide 13: Loan Portfolio Mix
LOAN PORTFOLIO MIX Loan Portfolio Mix (1) Residential real estate CRE -Owner occupied CRE - Non-owner occupied Commercial and industrial Correspondent banks Consumer and other 11% 11% 13% 10% 48% 13% 5% $1,818MM(1) Commentary Total loan balance at quarter end was $1,818 million (1). Commercial Real
Slide 14: CRE Office Portfolio
CRE OFFICE PORTFOLIO Owner Occupied Office by Business Type In Millions as of 3/31/2024 $20.1 32% $19.2 31% $13.9 22% $9.6 15% Medical/Dental Other Professional Other < $1MM Non-Owner Occupied Office by Business Type $13.6 11% $83.2 67% $21.0 17% $5.9 5% Multi-Tenant Medical/Dental Other < $1MM Comm
Slide 15: Non-Interest Income
NON-INTEREST INCOME In thousands (except ratios) Q1 2024 Q4 2023 Q3 2023 Q2 2023 Q1 2023 Service fees $1,651 $1,348 $1,329 $1,173 $1,205 Gain (loss) on sale of securities available for sale - (883) (955) - (21) Gain on sale of loans held for sale 67 105 255 94 347 Other income 746 756 1,532 579 539
Slide 16: Non-Interest Expense
NON-INTEREST EXPENSE In thousands (except ratios) Q1 2024 Q4 2023 Q3 2023 Q2 2023 Q1 2023 Salaries and employee benefits $6,310 $6,104 $6,066 $5,882 $6,377 Occupancy 1,314 1,262 1,350 1,319 1,299 Regulatory assessments and fees 433 412 365 452 224 Consulting and legal fees 592 642 513 386 358 Networ
Slide 17: Capital
CAPITAL 'S Capital Ratios Ql 2024 8.91% Leverage Ratio TCE/TA (2) 7.83% Tier 1 Risk- Based Capital 11.80% Total Risk- 12.98% Based Capital AOCI ($45.4) ln Millions Well -Capitalized 9.28% 8.09% 11.62% 12.78% ($44.3) 9.36% 8.50% 12.04% 13.20% ($42.1) 5.00% NA 8.00% 10.00% Commentary The Company paid
Slide 18: Takeaways
TAKEAWAYS Leading franchise located in one of the most attractive banking markets in Florida and the U.S. Robust organic growth Strong asset quality, with minimal charge-offs experienced since 2015 recapitalization Experienced and tested management team Strong profitability, with pathway for future
Slide 19: Appendix - Non-GAAP Reconciliation
APPENDIX - NON-GAAP RECONCILIATION In thousands (except ratios) As of or For the Three Months Ended 3/31/2024 12/31/2023 9/30/2023 6/30/2023 3/31/2023 Pre-tax pre-provision ("PTPP") income: (1) Net income $4,612$2,721$3,819$4,196$5,809 Plus: Provision for income taxes 1,426 A A fl 787 1 17C 1,250 cc
Slide 20: Appendix - Non-GAAP Reconciliation
APPENDIX - NON-GAAP RECONCILIATION In thousands (except ratios and share data) As of or For the Three Months Bided 3/31/2024 12/31/2023 9/30/2023 6/30/2023 3/31/2023 Tangible book value per common share (at period-end): (1) Total stockholders' equity $195.011$191,968$182.884$183,685$183.858 Less: In
Slide 21: Contact Information
CONTACT INFORMATION LOU DE LA AGUILERA Chairman, President & CEO (305) 715-5186 laguilera@uscentury.com ROB ANDERSON EVP, Chief Financial Officer (305) 715-5393 rob.anderson@uscentury.com INVESTOR RELATIONS InvestorRelations@uscentury.com 21
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