PSB Holdings, Inc. · OTC:PSBQ
PSB — Raymond James US Bank Conference 2025
37 slides from PSB's conference presentation, Sep 4, 2025
Slide 1: Raymond James US Bank Conference
Raymond James US Bank Conference September 3-4, 2025 1
Slide 2: Cautionary Note Regarding Forward-Looking Statements
Cautionary Note Regarding Forward-Looking Statements Certain matters discussed in this presentation, including without limitation those relating to potential loan and deposit growth, future profits, changes in noninterest income and expenses, pro-forma impacts to income from non- recurring or unusua
Slide 3: About PSB Holdings Inc. Peoples State Bank
About PSB Holdings Inc. Peoples State Bank 3
Slide 4: Management Team
Management Team Scott M. Cattanach has served as President & Chief Executive Officer of PSB Holdings, Inc. (“PSB”) and Peoples State Bank (“Bank”) since 2018. Mr. Cattanach previously served as Chief Financial Officer of PSB and the Bank from 2002 through 2017. Mr. Cattanach joined Peoples after ser
Slide 5: Company Overview
Overview Company Overview • PSB Holdings, Inc. ($1.5 billion in assets) is the parent company of Peoples State Bank, a community bank headquartered in Wausau, Wisconsin, serving northcentral and southeastern Wisconsin from twelve full-service banking locations. PSB Holdings, Inc. has the leading com
Slide 6: Focused Management
Focused Management Company Overview Award Winning Service Shareholder focused – American Banker Magazine “Top 200 Community Banks” list in 2023 for 14 consecutive years based on 3-year average return on equity Customer focused – – Peoples State Bank voted “Best Bank“ and Best Mortgage Lending Compan
Slide 7: 2025-2028 Strategy
2025-2028 Strategy Company Overview Goal: Support local market economic growth with customer focused independent banking that also meets the changing needs of our diverse and transitioning shareholder base that requires a competitive return on their investment. Plan: Grow in asset size and profitabi
Slide 8: Current Focus
Current Focus Continue building full banking relationships with current and prospective business customers in Wisconsin with credit spreads driven by the extent of deposit relationships Disciplined acquisition strategy: Explore small bank acquisitions to accelerate growth Manage liquidity to properl
Slide 9: Gaining Momentum in 2025
Gaining Momentum in 2025 Company Overview Positive Financial Trends continue… Loan growth of $31MM in first half of 2025 NIM expansion and improvement (2.84% for Q2 2024 versus 3.09% for Q2 2025) Earnings per share; record setting results of $0.89 per diluted share in Q2 2025 Tangible net bo
Slide 10: Nonperforming Assets – Improvements Expected
Nonperforming Assets – Improvements Expected Company Overview 10
Slide 11: Northcentral Wisconsin Employment Base
Northcentral Wisconsin Employment Base Central Region Northern Region Southeast Region Industry Marathon % of Total Oneida Vilas Total % of Total Waukesha Milwaukee Total % of Total All of WI All Industries 70,785 100.0% 16,385 7,986 24,371 100.0% 250,238 470,403 720,641 100.0% 100.0% Manufacturing
Slide 12: Business Model Strengths
Business Model Strengths Strong loan growth and momentum in our Milwaukee markets History of strong earnings with consistent dividend growth Margin improving in an uncertain economic environment Deposit base stability and depth (strong liquidity) Operating expense/average assets ratio outp
Slide 13: Industries Served
Industries Served (Percentage of total commercial related loan commitments as of June 30, 2025) 18.0% 17.1% 16.0% 14.0% 14.0% 12.0% 11.3% 11.2% 10.0% 8.4% 7.6% 8.0% 6.8% 6.0% 4.3% 4.0% 3.0% 2.9% 2.8% 2.4% 2.0% 1.7% 2.0% 1.2% 1.0% 0.9% 0.5% 0.3% 0.2% 0.2% 0.0% 13
Slide 14: Opportunities
Opportunities More Economic Upside than Downside. Economic Risks Already Imbedded in Current Stock Price: 1. Through organic growth or acquisition, the Company’s market capitalization continues to move closer to minimal threshold for inclusion in the Russell 2000. 2. Net interest margin is expected
Slide 15: Shareholder Focus
A PSB HOLDINGS, INC. Shareholder Focus
Slide 16: Key Data at a Glance
Key Data at a Glance (Dollars in Thousands) 2020 2021 2022 2023 2024 2025 Q2YTD Total Assets $1,131,955 $1,298,711 $1,337,689 $1,424,100 $1,465,956 $1,506,617 Total Loans $821,910 $879,398 $961,865 $1,078,705 $1,078,421 $1,109,645 Total Deposits $932,137 $1,105,240 $1,148,755 $1,141,802 $1,147,349 $
Slide 17: History of Strong Returns
History of Strong Returns History of Returns ROATCE 16% 14.09% 13.43% 14% 12.48% 12.79% 12.17% 11.97% 12% 11.33% 10.59% 10.78% 10.83% 10.86% 11.20% 9.84% 9.62% 9.54% 10% 8.37% 8% 6% 4% 2% 0% 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Q2 YTD 17
Slide 18: Per Share Trends
Per Share Trends Diluted EPS Annualized Dividend Per Share $0.68 $4.00 $0.70 $0.64 $0.60 $2.88 $3.07 $0.60 $0.50 $3.00 $2.51$2.40 $0.46 $2.29 $2.16 $2.37 $0.50 $0.40$0.42 $2.00 $0.40 $0.33$0.36 $1.61 $1.83$1.58 $1.49 $0.27$0.28$0.30 $0.26 $1.20 $1.30 $0.30 $0.23$0.23$0.25 $0.96$1.07 $0.96 $1.00 $0.2
Slide 19: Per Share Trends
Per Share Trends Tangible Common Book Value Per Share $30 $27.77 $25.98 $24.36 $23.84 $25 $23.43 $21.37 $20.72 $20 $17.98 $16.28 $15.08 $15 $13.72 $11.45 $12.51 $10.98 $10.15 $10 $9.48 $5 $0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 YTD AOCI $0.51 $0.39 $0.28 ($
Slide 20: Capital Management Strategies: Stock Repurchases
Capital Management Strategies Actively Support Liquidity with Stock Repurchases 200,000 4.50% 180,000 4.00% 160,000 3.50% % of shares outstanding 140,000 3.00% # of Shares 120,000 2.50% 100,000 2.00% 80,000 1.50% 60,000 40,000 1.00% 20,000 0.50% 0 0.00% 2012 2013 2014 2015 2016 2017 2018 2019 2020 2
Slide 21: P/TBV Comparison
P/TBV Comparison P/TBV Comparison 140.00% 135.1% 129.5% 128.1% 129.5% 127.9% 120.00% 116.4% 106.9% 109.2% 105.3% 106.2% 102.5% 102.0% 98.6% 100.00% 92.8% 87.8% 86.0% 80.00% 60.00% 40.00% 0.23% 20.00% 0.00% 2018 2019 2020 2021 2022 2023 2024 6/30/2025 PSBQ P/TBV Peer Median P/TBV Peers include all pu
Slide 22: P/E Comparison
P/E Comparison LTM P/E Comparison 16.00 13.80 14.00 12.60 11.60 12.00 11.10 11.18 11.20 10.70 10.24 10.10 10.00 9.50 9.05 9.00 9.00 8.57 8.20 8.00 7.13 6.00 0.23% 4.00 2.00 0.00 2018 2019 2020 2021 2022 2023 2024 6/30/2025 PSBQ P/E Peer Median P/E Peers include all publicly-traded financial institut
Slide 23: Appendix: Historical Financial Trends
Appendix: Historical Financial Trends 23
Slide 24: Quarterly Net Income Trends
Quarterly Net Income Trends Net Income to Common Shareholders $4,000 (Dollars in Thousands) $3,000 $2,000 $3,644 $2,866 $3,005 $1,000 $2,291 $2,324 $2,440 $1,227 $1,606 $0 9/30/2023 12/31/2023 3/31/2024 6/30/2024 9/30/2024 12/31/2024 3/31/2025 6/30/2025 Diluted EPS per Common Share $1.00 $0.50 $0.89
Slide 25: Quarterly Earnings Trends
Quarterly Earnings Trends ROAA ROATCE 1.20% 15.00% 13.11% 1.02% 1.00% 0.82% 0.84% 10.96% 11.07% 0.71% 9.34% 9.21% 0.80% 0.69% 10.00% 0.60% 0.40% 5.00% 0.20% 0.00% 0.00% 6/30/24 9/30/24 12/31/24 3/31/25 6/30/25 6/30/24 9/30/24 12/31/24 3/31/25 6/30/25 Net Interest Margin Efficiency Ratio 4.00% 80.00%
Slide 26: Quarterly Operating Expense Trends
Quarterly Operating Expense Trends Operating Expenses/Avg Assets 3.00% 2.49% 2.50% 2.35%* 2.24% 2.24% 2.22% 2.15% 2.00% 1.50% 1.00% 0.50% 0.00% 6/30/2024 9/30/2024 12/31/2025 3/31/2025 6/30/2025 *Impact of one-time severance payments. 26
Slide 27: Balance Sheet Trends
Balance Sheet Trends Total Assets (Dollars in $000’s) $1,600,000 $1,465,956 $1,506,617 $1,424,100 $1,298,711 $1,337,689 $1,400,000 $1,131,955 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 2020 2021 2022 2023 2024 2025 Q2 Tangible Equity $000 (excluding AOCI) $160,000 $132,864 $135,215
Slide 28: Loan Portfolio
Loan Portfolio Consumer, Constr, Dev Consumer, Constr, Dev 0.4% & Vac 0.4% & Vac Land, 9.1% Land, 8.7% Residential CRE Residential CRE RE, 28.1% Owner- RE, 27.2% Owner- Occ, 19.6% Occ, 21.1% CRE Non- CRE Non- Owner- Owner- Comm/Ag Comm/Ag Occ, 30.2% Occ, 29.4% Non RE, Non RE, 12.6% 13.2% 06/30/2024
Slide 29: Asset Quality Trends
Asset Quality Trends NPA/Assets and Reserves/Total Loans 3.00% 2.87% 2.64% 2.50% 1.96% 2.00% 1.77% 1.46% 1.49% 1.50% 1.27% 1.04% 1.06% 1.04% 1.00% 0.90% 0.67% 0.71% 0.23% 0.55% 0.48% 0.42% 0.50% 0.00% 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Q2 NPA/Assets Credi
Slide 30: Charge-Off History
Charge-Off History Charge-Off History vs Peers 0.25% 0.21% 0.20% 0.15% 0.10% 0.06% 0.05% 0.05% 0.04% 0.04% 0.05% 0.02% 0.02% 0.02% 0.01% 0.01% 0.01% 0.01%0.01% 0.01% 0.00% 0.23% -0.01% -0.02% -0.05% -0.04% -0.10% 2017 2018 2019 2020 2021 2022 2023 2024 2025 Q2 PSBQ Net Charge-offs/Ave Loans Peer Net
Slide 31: Asset Quality Trends
Asset Quality Trends 100.00% 0.95% 0.99% 0.88% 0.68% 0.94% 1.47% 2.11% 1.99% 2.60% 2.73% 2.68% 5.08% 5.21% % of Commercial, Com RE, C&D, Ag and Gov. Loans 5.41% 5.38% 5.89% 4.85% 3.33% 4.20% 3.60% 3.61% 95.00% 3.85% 94.68% 93.97% 94.11% 93.80% 93.60% 93.74% 93.68% 93.69% 93.42% 93.71% 93.17% 90.00%
Slide 32: Deposit Portfolio
Deposit Portfolio 25.40% 25.70% 25.40% 23.40% 22.60% 23.60% Nonint-Bearing Demand 29.6% 29.4% 27.4% 35.7% 37.4% 34.5% Int Bearing Demand & Savings Money Market Demand 23.4% 25.7% 23.0% 18.8% Retail & Local Time 23.8% 19.8% Wholesale Deposits 13.5% 17.2% 17.3% 20.3% 13.6% 15.4% 7.8% 6.4% 5.0% 5.7% 1.
Slide 33: Core Deposit Changes
Core Deposit Changes Retail and Commercial Deposits – Change Since 06/30/2023 $500,000,000 $450,000,000 $400,000,000 $350,000,000 $300,000,000 $250,000,000 $200,000,000 $150,000,000 $100,000,000 $50,000,000 $0 Retail Deposits Retail CDs Commercial Commercial CDs Private Banking Deposits 6/30/2023 6/
Slide 34: Asset Repricing Base Case at 6/30/25
Asset Repricing Base Case at 6/30/25 Securities $140,000 6.00% $120,000 5.00% 4.86% Volume ($000) $100,000 4.00% Yield (%) $80,000 3.46% 3.05% 3.00% $60,000 2.77% 2.00% $40,000 $20,000 1.00% $- 0.00% 1-12 Months 13-24 Months 25-60 Months Over 60 Months HTM Securities Vol AFS Securities Vol AFS Secur
Slide 35: Digital Survey Responses YTD 2025
Digital Survey Responses YTD 2025 2025 Goal = 87% NOTABLE PERFORMANCE COMPARED TO PEER AVERAGE SCORE (BENCHMARK) 95% Overall Satisfaction 2025 YTD +4% +5% +6% +8% +9% Easy to Easy to Easy to Easy to Easy to Deposit Checks Transfer Funds Log In Find Things Make Payments 2025 YTD = 89% 2025 YTD = 92%
Slide 36: Investment Appeal
Investment Appeal Current Price Discounted to Growth, Asset and Earnings Quality Actively Support Liquidity with Stock Repurchases Extended History of Delivering Double Digit Returns on Tangible Equity, Building Tangible Book Value 32 Year History of Increasing Dividends Paid to Shareholders
Slide 37: Capital Partners
Capital Partners What types of small banks have you invested with in the past and what level of investment? How would you approach the value of PSBQ today? Would you be more interested in acquiring PSBQ shares over time through open market purchases, or would you prefer the single purchase of