Eagle Financial Services Inc · NASDAQ:EFSI
Eagle Financial Services — Q1 2025 Earnings Presentation
21 slides from Eagle Financial Services's earnings presentation, Apr 25, 2025
Slide 1: Earnings Presentation 1st Quarter 2025
Earnings Presentation Eagle Financial 1st Quarter 2025 Services, Inc.
Slide 2: Forward Looking Statements
unfree... Forward Looking Statements Forward Looking Statements Certain information contained in tr Presentation togeter wit otal toterents mace in connection nerewitn ths “Pretentaton’) wey incuce “fouaraioceng sovements"witin me Tearing atthe “tate narsar” srevsons af me Lites States Prvcte Seauit
Slide 3: Company Overview
won e wnfert!.. Company Overview The EFSI Story MARYLAND. Eagle Financial Services, Inc. is the parent company for Bank of Clarke, was established over 140 years ago Annapaiis * Commercial focused banking institution operating in several [ASHINGTO! of the country’s most attractive markets = « Deep m
Slide 4: History of Growth
le Financial ue Services, Inc. History of Growth Bank of Clarke opened for business * Eagle Financial Services, Inc. was incorporated * First expansion out of Clarke County and into Winchester City, VA and Frederick County, VA markets * Opened branch in Loudoun County, VA + Expanded footprint in Nor
Slide 5: Investment Highlights
one. INVestment Highlights Experienced Leadership Team | Scalable ' Attractive | Operating Model ' Markets of \ H Operation Eagle Financial _ Services, Inc. : ‘ ‘ Disciplined Organic Growth Diversified Loan Portfolio Attractive Core Deposit Franchise ervice ana demang Experienced Leadership Team Dee
Slide 6: Management Team & Board of Directors
Management Team & Board of Directors
Slide 7: Our Markets
| ae woeferet.. Our Markets + The oldest city in Virginia west of the Blue Ridge mountains; founded in 1744 + #9 small metro area for business and careers in America (Forbes, 2024) * Major industries include education, health services, manufacturing and distribution * Home to a “Best Regional Hospit
Slide 8: Dominant Market Share in Our Core Markets
Dominant Market Share in Our Core Markets
Slide 9: Near and Long Term Priorities 2025
Eagle Financial mu Noo Term 2025 Maintain focus on strong, profitable organic growth without compromising credit quality Increase operating revenue, manage down NIE/AA to peer levels, maximize operating earings and grow tangible book value Increase utilization of technology to drive revenue and lowe
Slide 10: Balance Sheet Growth
unfree... Balance Sheet Growth Total Assets ($M) Gross Loans ($M) !!) $1,441 $1,452 $1,487 $1.470 $1,455 ’ ; ; J i - i i - i QI 2024 Q2 2024 Q3 2024 Q4 2024 Ql] 2025 QI 2024 Q2 2024 Q3 2024 Q4 2024 Ql] 2025 Total Deposits ($M) $1,474 $1,489 $1,546 $1,575 $1,614 Ql] 2024 Q2 2024 Q3 2024 Q4 2024 Ql] 2
Slide 11: Core Deposit Portfolio
wsefeeee. Core Deposit Portfolio Deposit Composition Deposit Composition Over Time ($M) (Ql '25Total 1 Jumbo (QI '25 Cost of | \_ Deposits: $1.68 } Time 1_ Deposits: 2.15% _} SSS ei etd me Deposits acti ead 12% Retail 26% Time Deposits 19% Now Money Market Accounts & Savings 18% 25% * Core deposits
Slide 12: Loan Portfolio
eseferee,. Loan Portfolio Loan Composition Loan Focus Consumer & ’ “Other rs C&D: sie * Continued focus on providing credit to small- and CRE: 207% medium-sized businesses red Re ile * Granular loan portfolio with average loan size of $280k 24% * Currently prioritizing C&l over owner-occupied lendin
Slide 13: Loan Portfolio Detail
Eagle foune Services, Inc. Loan Portfolio Detail C&l and Owner-Occupied CRE (%) Investment CRE (%) Line of Credit 7% Retail 13% Term Office 40% 15% Mixed Use 3% Warehouse / Industrial 12% Special Use 6% * Total C&l and OOCRE Loans: $502 million * C&l and OOCRE Loans / Total Loans: 34.7% * Largest C&
Slide 14: Asset Quality
wnfea,. Asset Quality * Comprehensive and conservative underwriting process « Highly experienced bankers incentivized with equity ownership * Commitment to a diverse loan portfolio while maintaining strong asset quality metrics * Proactive approach to managing problem credits * CECL was implemented
Slide 15: Earnings, Book Value and Dividends
Earnings, Book Value and Dividends
Slide 16: Yield and Cost Analysis
wo fer Yield and Cost Analysis — 292% 3.03% 3.03% 298% 2.46% 241% 2.33% 2.35% 2.36% Ql '24 224 @3'24 34 '24 —Yieldonloans —=—=NIM —=Yieldon Securities Cost of Funds jarterly
Slide 17: Profitability Metrics
wo fer Profitability Metrics Return on Average Assets (ROAA) (%) Return on Average Equity (ROAE) (%) 1328 21.1% Ql '24 Q2'24 Q3'24 Q4'24 25 Ql '24 Q2'24 Q3'24 Q4'24 '25 1.48% ) Oa) BROAA mCore ROAA””™ mROAE mCore ROAE Core Efficiency Ratio (%) ") Nil / AA and NIE / AA (%) 77.7% 77.0% 1 74.6% 71.3% i
Slide 18: Potential Securities Repositioning
Potential Securities Repositioning
Slide 19: Capital Ratios
wo fer Capital Ratios Tangible Common Equity / Tangible Assets (%)'” Bank Level Leverage Ratio (%) 10.7% 9.3% 88% 89% 87% 88% ; ; ; ; i if L i l i QI 2024 Q2 2024 Q3 2024 Q4 2024 Ql 2025 Ql 2024 Q2 2024 Q3 2024 Q4 2024 QI 2025 CET] Ratio (%) Total Risk-Based Capital Ratio (%) 15.3% 12.3% 11.5% 11.5%
Slide 20: NON-GAAP Reconciliation
vsefeeet. NON-GAAP Reconciliation As of and for the Quarter Ended, June 30, September 30, December 31 Cc O 2024 2024 2024 © PTPP Income Net Interest Income (GAAP) $12,415 $12,156 $13,157 $13,499 $13,336 Plus: Noninterest Income 3,480 4,305 5,251 8,521 (8,554) Total Revenue (Non-GAAP) $15,895 $16,461
Slide 21: NON-GAAP Reconciliation
vstfeeet. NON-GAAP Reconciliation As of and for the Quarter End June 30, September 30, December 31 March 31 2024 2024 2024 2025 Core Net Income Net Income $2,548 $3,185 $3,424 $6,186 ($6.974) Less: Gain (Loss) on the Sale of Bank Premises & Equipment (FTE) 0 0) ) (3,874) () Plus: Loss (Gain) on the
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