Bryn Mawr Bank — Q4 2020 Earnings Presentation
16 slides from Bryn Mawr Bank's earnings presentation, Jan 22, 2021
Slide 1: Fourth Quarter 2020 Earnings Review
Frank Leto Mike Harrington Liam Brickley President and Chief Executive Officer Chief Financial Officer Chief Credit Officer Fourth Quarter 2020 Earnings Review
Slide 2: Forward Looking Statements
4th Quarter 2020 Earnings Review2 Forward Looking Statements This presentation contains statements which, to the extent that they are not recitations of historical fact may constitute forward-looking statements for purposes of the Securities Act of 1933, as amended, and the Securities Exchange Act o
Slide 3: Full Year & Fourth Quarter 2020 Recap
4th Quarter 2020 Earnings Review3 Full Year & Fourth Quarter 2020 Recap ➢ 4th Quarter 2020: Reported net income of $15.5 million or $0.78 diluted earnings per share ➢ Full Year 2020: Reported net income of $32.6 million or $1.63 diluted earnings per share ➢ Wealth assets under management hit a recor
Slide 4: 4th Quarter 2020 Results
4th Quarter 2020 Earnings Review4 4th Quarter 2020 Results *Non-GAAP measure, see reconciliation on slides 15-16 Income Statement 4Q20 3Q20 % Change $ in thousands, except share and per share data Net interest income $35,037 $35,032 0% (Release of) provision for credit losses (1,209) 4,101 -129% Net
Slide 5: Full Year 2020 Results
4th Quarter 2020 Earnings Review5 Full Year 2020 Results *Non-GAAP measure, see reconciliation on slides 15-16 Income Statement FY 2020 FY 2019 % Change $ in thousands, except share and per share data Net interest income $143,787 $147,641 -3% Provision for credit losses 41,677 8,595 385% Net interes
Slide 6: Balance Sheet - Liquidity - Capital
4th Quarter 2020 Earnings Review6 4Q 2020 Assets ▪ Loan portfolio decreased 1.3% between linked quarters and 1.7% year over year ▪ Decrease to the allowance driven by a release in the provision for credit losses due to an improvement in current and forward-looking economic conditions, primarily PA u
Slide 7: Charge-Offs, Asset Quality and Provision under CECL
4th Quarter 2020 Earnings Review7 Charge-Offs • Net charge-offs increased $153 thousand as compared to the third quarter 2020 • Net charge-offs as a percent of average loans and leases increased 1 basis points between linked quarters • Nonperforming loans and leases decreased $3.3 million, or 38%, c
Slide 8: 2021 Outlook
4th Quarter 2020 Earnings Review8 2021 Outlook ➢ Continued uncertainty and potential for ongoing volatility ➢ Margin stabilizing but pressure could return ➢ Anticipate Fed keeping short-term rates low ➢ Excess liquidity causing additional pressure on loan yields ➢ Steepening yield curve is positive
Slide 9: Loan Portfolio Segments
4th Quarter 2020 Earnings Review9 Primarily commercial mortgage loans with 84% Pass- rated ➢Average originated LTV: 64% ➢Average loan size: $1.8 million ➢ 4% of portfolio in deferral ➢ Located in all 50 states and Washington D.C. ➢Average lease size: $24 thousand ➢ 1% of portfolio in deferral Leasin
Slide 10: Specialized Sector Exposures
4th Quarter 2020 Earnings Review10 Lines of credit usage decreased 8.6%, or $63.4 million, since September 30, 2020. Commercial Real Estate-Sector ($000) Size % of Total Loans Avg. Loan Size Retail $344,321 9.5% $1,602 Multifamily 319,018 8.8% 1,302 Flex 235,516 6.5% 1,071 Office 235,571 6.5% 1,798
Slide 11: Deferral & Classified/Criticized Loan Summary
4th Quarter 2020 Earnings Review11 Deferral & Classified/Criticized Loan Summary $67 $61 $155 $176 $153 $87 $76 $210 $224 $222 33.8% 26.0% 4Q19 1Q20 2Q20 3Q20 4Q20 $ i n m il li o n s Total Classified Loans & Leases Total Criticized Loans & Leases ACL / Classified Loans & Leases ACL / Criticized Loa
Slide 12: COVID-19 Deferrals – All Loan Types
4th Quarter 2020 Earnings Review12 COVID-19 Deferrals – All Loan Types • Information is based on the aggregate outstanding principal amount of loans as of December 31, 2020 that were in deferral in prior periods and/or are anticipated to be in deferral in future periods • Deferral information with r
Slide 13: COVID-19 Deferrals – All Loan Types
4th Quarter 2020 Earnings Review13 COVID-19 Deferrals – All Loan Types • Information is based on the aggregate outstanding principal amount of loans as of December 31, 2020 that were in deferral in prior periods and/or are anticipated to be in deferral in future periods • Deferral information with r
Slide 14: COVID-19 Deferrals – Nonowner-Occupied CRE
4th Quarter 2020 Earnings Review14 COVID-19 Deferrals – Nonowner-Occupied CRE • Information is based on the aggregate outstanding principal amount of loans as of December 31, 2020 that were in deferral in prior periods and/or are anticipated to be in deferral in future periods • Deferral information
Slide 15: Non-GAAP Reconciliation
15 Non-GAAP Reconciliation As of or For the Three Months Ended As of or For the Twelve Months Ended $ thousands December 31, 2020 September 30, 2020 December 31, 2020 December 31, 2019 Reconciliation of Net Income to Net Income (core): Net income (loss) attributable to BMBC (a GAAP measure) $ 15,537
Slide 16: Non-GAAP Reconciliation
16 Non-GAAP Reconciliation As of or For the Three Months Ended As of or For the Twelve Months Ended $ thousands December 31, 2020 September 30, 2020 December 31, 2020 December 31, 2019 Calculation of Efficiency Ratio*: Noninterest expense $ 38,624 $ 35,197 $ 142,727 $ 146,427 Less: certain nonintere