Tfs Financial Corporation · NASDAQ:TFSL
Tfs Financial — Q2 2013 Earnings Presentation
14 slides from Tfs Financial's earnings presentation, Apr 25, 2013
Slide 1: Investor Conference Call April 26, 2013
Investor Conference Call April 26, 2013
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements, which can be identified by the use of such words as estimate, project, believe, intend, anticipate, plan, seek, expect and similar expressions. These forward-looking statements include: Statements of our goals, inten
Slide 3: Overview of TFS Financial Corporation
Overview of TFS Financial Corporation Organized in 1997 as the mid-tier stock holding company for Third Federal Savings & Loan Association of Cleveland (“Thrift”), which was founded in 1938 by Ben and Gerome Stefanski Completed first step minority stock offering in April 2007. TFSL (NASDAQ) As
Slide 4: Strategic Overview
Strategic Overview Our business model is to originate and service first mortgage loans. We also originate home equity lines to existing line customers as well as potential customers in our branch markets and we service all existing home equity lines and loans. We fund our loans primarily with core
Slide 5: Markets of Operation
Ohio 22 full service branches in Northeast Ohio 4 loan production offices in the Columbus area (Central Ohio) 4 loan production offices in the Cincinnati area (Southwestern Ohio) Markets of Operation Florida Organic, de novo expansion into Florida started in 2000 9 full service branches al
Slide 6: Financial Highlights
Financial Highlights (Dollars in Thousands) 9/30/12 9/30/11 9/30/10 3/31/13 12/31/12 3/31/12 Balance Sheet Assets ($) 11,518,125 10,892,948 11,076,027 11,121,761 11,379,628 11,286,768 Net Loans ($) 10,349,518 9,750,943 9,181,749 9,948,136 10,165,536 10,117,558 Deposits ($) 8,981,419 8,715,910 8,851,
Slide 7: Capital Position as of March 31, 2013
Capital Position as of March 31, 2013 0.00% 5.00% 10.00% 15.00% 20.00% 25.00% Tangible Common Equity Ratio (TFSL) Core Capital Ratio (Thrift) Tier 1 Risk-based Ratio (Thrift) Total Risk-Based Capital Ratio (Thrift) Well Capitalized 6.00% 10.00% 5.00% TFSL/Thrift 14.0% 16.4% 23.5% 22.3% 7
Slide 8: Deposit Overview
Deposit Overview Deposits have stayed consistent while average interest cost has decreased 8 0% 1% 2% 3% 4% $0 $1 $2 $3 $4 $5 $6 $7 $8 $9 FYE 9/30/09 FYE 9/30/10 FYE 9/30/11 FYE 9/30/12 3/31/2013 (a v e rage cos t) (in b ill io n s ) Profile of Retail Deposits CDs Savings NOW Avg Cost
Slide 9: Adjustable Rate Loan Production
Adjustable Rate Loan Production Smart Rate adjustable product began July 2010 In the six months ended 3/31/13, total loan production of $887 million was 51% ARM and 49% fixed. Of the fixed portion, 47% represents 10 year loans. $128 million of Smart Rate loans were sold in current quarter Av
Slide 10: Adjustable Rate Growth
Adjustable Rate Growth As of 3/31/13, 48% of all real estate loans, including equity loan products, are adjustable rate Smart Rate adjustable rate mortgages are now offered in 11 states. CA, CO, CT, IL, NC, NJ, OR, PA, TN, VA and WA New state expansion represents $464 million in closed loans
Slide 11: Loan Delinquencies and Charge-offs
Loan Delinquencies and Charge-offs Charge offs for the year ended 9/30/12 include $15.8 million in charge offs of mostly performing loans as a result of implementing new regulatory guidance on Chapter 7 bankruptcies and the elimination of the $55.5 million SVA. Decline in delinquencies from 9/30
Slide 12: Loan Portfolio Trends
12 Loan Portfolio Trends Charge off of SVA, which was $55.5 million at 9/30/11, positively impacted NPAs and delinquencies in fiscal year ended 9/30/12. Implementing OCC bankruptcy guidance negatively impacted NPAs by $34 million and TDRs by $20 million in fiscal year ended 9/30/12. $0 $50,000 $
Slide 13: Regulatory Status
Regulatory Status MOU under control of Federal Reserve for the holding company remains in effect and covers the further refinement and enhancement of our Enterprise Risk Management process. These actions will be subject to future regulatory validation. Dividends and stock buyback program continu
Slide 14: Investor Questions
Investor Conference Call April 26, 2013 Investor Questions 14