CB Financial Services, Inc. · NASDAQ:CBFV
CB Financial Services — Investor Presentation (May 2017)
24 slides from CB Financial Services's investor presentation, May 8, 2017
Slide 1: Investor Presentation May 2017
0 Investor Presentation May 2017
Slide 2: Forward-Looking Statements
1 Statements contained in this investor presentation that are not historical facts may constitute forward - looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995 . Such forward - looking statements are subject to significant risks and uncertainties . The
Slide 3: CB Financial Services Overview
2 CB Financial Services Overview
Slide 4: Corporate Highlights (3/31/2017)
3 Corporate Highlights (3/31/2017) Corporate Information Branches 16 FTEs (2) 199 Market Capitalization (3) $116M Financial Summary Assets $869 M Total Loans HFI $675 M Deposits $725 M Top 10 market share in core operating area (1) ; focused in South Hills market of the Pittsburgh metropolitan are
Slide 5: CBFV Footprint
4 CBFV Footprint Source: SNL Financial. Note: Map includes limited service facilities.
Slide 6: Key Senior Management
5 Key Senior Management Pat McCune Ralph Sommers Chairman Joined Community Bank in 1979 as EVP Became President in 1984 and President & CEO in 1988 Board member since 1983 and Chairman since 1999 Director, Senior Executive Vice President Responsible for new commercial business generation
Slide 7: Attractive Southwestern PA Market
6 Attractive Southwestern PA Market Source: SNL Financial for all demographic data, the Pennsylvania Department of Labor and Industry and the Washington County, PA Chamber of Commerce. Summary county statistics are deposit - weighted. Note: Deposit market share data as of 6/30/16 as adjusted for acq
Slide 8: Regional Economic Drivers
7 Regional Economic Drivers Source: U.S. Energy Information Administration. (1) Source: The Economist : “A Summary of the Livability Ranking and Overview” , published August 2014. (2) Per US Geological Survey and Energy Information Administration estimates. Includes natural gas and oil reserves. (3)
Slide 9: Shell Cracker Plant Site
8 Shell Cracker Plant Site Source: The Pittsburgh Post - Gazette, Marcellus Drilling News and Google Earth. 340 - acre expanse on the southern bank of the Ohio and visible just off Interstate 376 Site specific infrastructure project already completed: » $70M relocation of the Center Township wat
Slide 10: Diversified Business Mix
9 Retail Banking & Wealth Management Nearly 25% of deposits are noninterest bearing Nearly 80% non - time deposits Excellent branch coverage of Southwestern PA Wealth management services linked strongly to Marcellus Region footprint Diversified Business Mix Commercial Banking Focused on im
Slide 11: Financial Performance
10 Financial Performance
Slide 12: Historical Financial Highlights
11 Source: Company documents and SNL Financial . (1) NPLs include nonaccrual loans, loans 90+ days past due and TDRs. NPAs include NPLs and OREO. (2) Non - GAAP financial metric. Please see the appendix to this presentation for non - GAAP reconciliations. (3) 3/31/17 Profitability ratios have been c
Slide 13: Balanced Fee Revenue Mix With Opportunity For Continued Improvement
12 Net Interest Income 80% Fee Income 20% Balanced Fee Revenue Mix With Opportunity For Continued Improvement Source: Company documents. Note: Fee income defined as noninterest income less net gain on sales of investments. Fee Revenue Mix – 2016 Fee income sources comprise approximately 20% of tot
Slide 14: Cost of Funds and Net Interest Margin
13 Cost of Funds Source: SNL Financial and company documents, Peers include all commercial banks and bank holding companies headquartered in Pennsylvania with assets $300 million to $1.0 bil lion. Excludes mutual institutions and announced merger targets. Net Interest Margin Strong net interest ma
Slide 15: Loan Composition
14 Loan Composition Source: Company documents and SNL Financial; Data is as of 3/31/17. (1) Represents period between 3/31/16 and 3/31/17. Includes commercial real estate and commercial & industrial loans . 2017 Q1 Yield on Loans: 4.36% Balanced loan portfolio Approximately 6% year over year (1)
Slide 16: Deposit Composition
15 Source: Company documents; Data is as of 3/31/17. (1) Represents the period from 3/31/16 through 3/31/17. Based on period end balance sheet data. 2017 Q1 Cost of Deposits: 0.38% Stable, low cost deposit base; 38 bps cost of deposits for the quarter - ended March 31, 2017 Nearly 80% non - time
Slide 17: Strong Asset Quality
16 Nonperforming Assets / Assets (1) Nonperforming Assets / Loans + OREO (1) NCOs / Avg. Loans Source: SNL Financial and company documents, Peers include all commercial banks and bank holding companies headquartered in Pennsylvania with assets $300 million to $1.0 billio n. Excludes mutual instituti
Slide 18: Reserve Levels Support Capital Strength
17 Allowance for Loan Losses / NPLs (1) Allowance for Loan Losses / Loans Source: SNL Financial and company documents, Peers include all commercial banks and bank holding companies headquartered in Pennsylvania with assets $300 million to $1.0 billio n. Excludes mutual institutions and announced mer
Slide 19: Investment Returns and Potential
18 Investment Returns and Potential
Slide 20: Potential for Stock Appreciation
19 LTM ROAA (%) Price / LTM EPS Source: SNL Financial and company documents. Pricing data as of 5/3/17. Peers include exchange traded banks headquartered in the Mid - Atlantic and Midwest with assets less than $1.5 billion and at leas t one 2017 earnings per share estimate. Excludes announced merger
Slide 21: Strategic Vision for CB Financial Services
20 Opportunistically grow to over $1.0 billion in total assets in the TriState Area Create a sales culture which builds full relationships with our commercial business customers Maintain above peer profitability while continuing to invest for the future Empower our experienced, high quality
Slide 22: Appendix
21 Appendix
Slide 23: Non-GAAP Reconciliations TCE Ratio and Tangible Book Value Per Share
22 Non - GAAP Reconciliations TCE Ratio and Tangible Book Value Per Share Source: Company documents. Efficiency Ratio Quarter (dollars in thousands, except share data) For the Years Ended Ended 2014 2015 2016 3/31/2017 Stockholders' Equity 81,912$ 86,896$ 89,469$ 90,574$ Intangible Assets (10,520) (
Slide 24: Non-GAAP Reconciliations Return on Average Tangible Common Equity
23 Non - GAAP Reconciliations Return on Average Tangible Common Equity (1) Source: Company documents. (1) Date for the quarter ended 3/31/2017 has been annualized for comparability purposes. Quarter (dollars in thousands) For the Years Ended Ended 2014 2015 2016 3/31/2017 Net Income 4,292$ 8,420$ 7,
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