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| 8-K - 8-K - Triumph Bancorp, Inc. | d921721d8k.htm |
 LIKE NO OTHER
2015
ANNUAL
MEETING
May 7, 2015
Exhibit 99.1 |
 DISCLAIMER
FORWARD-LOOKING STATEMENTS
This presentation contains forward-looking statements. Any statements about our
expectations, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance are not
historical facts and may be forward-looking. You can identify forward-looking
statements by the use of forward-looking terminology such as “believes,” “expects,” “could,” “may,” “will,” “should,”
“seeks,” “likely,” “intends,” “plans,” “pro
forma,” “projects,” “estimates” or “anticipates” or the negative of these words and phrases or similar words or phrases that are predictions of or indicate
future events or trends and that do not relate solely to historical matters. You can also
identify forward-looking statements by discussions of strategy, plans or intentions. Forward-looking statements
involve numerous risks and uncertainties and you should not rely on them as predictions of
future events. Forward-looking statements depend on assumptions, data or methods that may be incorrect
or imprecise and we may not be able to realize them. We do not guarantee that the transactions
and events described will happen as described (or that they will happen at all). The following factors,
among others, could cause actual results and future events to differ materially from those set
forth or contemplated in the forward-looking statements: our limited operating history as an integrated
company; business and economic conditions generally and in the bank and non-bank financial
services industries, nationally and within our local market area; our ability to mitigate our risk exposures;
our ability to maintain our historical earnings trends; risks related to the integration of
acquired businesses and any future acquisitions; changes in management personnel; interest rate risk;
concentration of our factoring services in the transportation industry; credit risk associated
with our loan portfolio; lack of seasoning in our loan portfolio; deteriorating asset quality and higher loan
charge-offs; time and effort necessary to resolve nonperforming assets; inaccuracy of the
assumptions and estimates we make in establishing reserves for probable loan losses and other estimates;
lack of liquidity; fluctuations in the fair value and liquidity of the securities we hold for
sale; impairment of investment securities, goodwill, other intangible assets or deferred tax assets; risks related
to our asset management business; our risk management strategies; environmental liability
associated with our lending activities; increased competition in the bank and non-bank financial services
industries, nationally, regionally or locally, which may adversely affect pricing and terms;
the obligations associated with being a public company; the accuracy of our financial statements and related
disclosures; material weaknesses in our internal control over financial reporting; system
failures or failures to prevent breaches of our network security; the institution and outcome of litigation and
other legal proceedings against us or to which we become subject; changes in
carry-forwards of net operating losses; changes in federal tax law or policy; the impact of recent and future legislative
and regulatory changes, including changes in banking, securities and tax laws and regulations,
such as the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) and
their application by our regulators; governmental monetary and fiscal policies; changes in the
scope and cost of the Federal Deposit Insurance Corporation insurance and other coverages; failure to
receive regulatory approval for future acquisitions; increases in our capital requirements;
and risk retention requirements under the Dodd-Frank Act. While
forward-looking statements reflect our good-faith beliefs, they are not guarantees of future performance. All forward-looking statements are necessarily only estimates of future results.
Accordingly, actual results may differ materially from those expressed in or contemplated by
the particular forward-looking statement, and, therefore, you are cautioned not to place undue reliance
on such statements. Further, any forward-looking statement speaks only as of
the date on which it is made, and we undertake no obligation to update any forward-looking statement to reflect
events or circumstances after the date on which the statement is made or to reflect the
occurrence of unanticipated events or circumstances, except as required by applicable law.
NON-GAAP FINANCIAL MEASURES
This presentation includes certain non-GAAP financial measures intended to supplement, not
substitute for, comparable GAAP measures. Reconciliations of non-GAAP financial measures to GAAP
financial measures are provided at the end of the presentation. Numbers in this presentation
may not sum due to rounding. Unless otherwise referenced, all data presented is as of
12/31/2014. |
 PAGE 3
Ranked #36 on SNL’s 2014 best performing
community banks with assets between $500
million and $5 billion
(1)
Purchased Triumph Healthcare Finance asset
based lending group
$12.6 million pretax branch sale gain
Completed initial public offering raising net
proceeds of $83.8 million
Issued two CLOs and began warehousing a
third
Named one of the Best Companies to Work
for in TEXAS in 2015 by the Texas
Association of Business, after being named
a
Best Place to Work in Dallas in 2013 and
2014 by the Dallas Business Journal
$16.9 million
Net income to common stockholders
2014 HIGHLIGHTS
LOANS
14.2%
$124.8 million
loan growth
DEPOSITS
11.5%
$120.4 million
deposit growth
ROA
1.46%
Return on
Assets
OPERATIONS
509
Team
Members
(2)
in
12
States
(3)
(1)
Source:
SNL
Financial;
(2)
485
full
time
equivalent
employees
(as
of
March
31,
2015);
(3)
Number
of
states
represents
states
with
branches,
loan
production
offices
or
sales
personnel |
 PAGE 4
HOW WE GO TO MARKET
Commercial Finance
Community
Banking
Asset Management
Factoring
Asset Based
Lending &
Equipment Finance
Asset Based
Lending |
 PAGE 5
COMMUNITY BANKING
Focused on reaching our communities through long-
term customer relationships
Demonstrated ability to work with clients throughout
economic cycles
2014 Deposit Growth: $120.4 million, or 11.5%
$393.3
62%
$170.1
27%
$11.9
2%
$55.1
9%
Real Estate & Farmland
Commercial
Consumer
Mortgage Warehouse
Loans HFI =
$630.5 million
63% of Total
Pie
chart
data
labels
–
dollars
in
millions
12/31/2014 |
 PAGE 6
$106.4
28%
$41.8
11%
$46.4
13%
$180.9
48%
Equipment
Asset based lending (Healthcare)
Asset based lending (General)
Factored receivables
COMMERCIAL FINANCE
Loans HFI =
$375.4 million
37% of Total
Pie
chart
data
labels
–
dollars
in
millions
Equipment Finance, Asset Based Lending and
Factoring comprise a national lending platform
Executives leading our commercial finance businesses
have decades of experience operating these
businesses
2014 Loan growth: $178.2 million, or 90.4%
12/31/2014 |
 PAGE 7
ASSET MANAGEMENT
*Asset management fees include a performance fee of $258,000, that was payable on
the first payment date of Trinitas II Fee oriented asset management
business
TBK does not intend to consolidate
CLOs on its balance sheet or hold
material equity positions in Triumph
managed CLOs as a long term
strategy
Launch of Triumph Capital Advisors (Feb ‘13)
Trinitas CLO I, Ltd.
•
Priced
March 28
th
, 2014
•
Closed May 1
st
, 2014
Trinitas CLO II, Ltd.
•
Priced
June 20
th
, 2014
•
Closed August 4
th
, 2014
On March 3
rd
, 2015, TCA acquired Doral
Money, Inc. and assumed management of 2
CLOs with approximately $700mm of assets.
TCA recorded a preliminary bargain purchase
gain of $12.5 million associated with this
transaction. |
 PAGE 8
WHERE WE GO FROM HERE
Triumph Savings Bank
Goal: Replicate TCB Acquisition
Excess deposits, lower-cost
funding
Strong local market position
Solid management team
Compelling pricing metrics
Reasonable flight time from DFW
Focus on 50+ priority targets identified
between $700mm and $2bn of assets
Goal: Add scale to existing IA, IL and
TX markets
Excess deposits, lower-cost
funding
Whole bank and branch
acquisitions
1,350+ banks in Iowa, Illinois and Texas
850+ banks w/
$100mm -
$2bn assets
275+ banks within
targeted sub-markets
90+ in-market targets
Strategic Acquisitions
Opportunistic Acquisitions
Triumph Community Bank |
 PAGE 9
WHERE WE GO FROM HERE
3.82%
3.92%
3.99%
4.48%
4.44%
0.00%
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
7.00%
Q4 2013
Q1 2014
Q2 2014
Q3 2014
Q4 2014
Net Noninterest Expense / Avg Assets
Triumph Bancorp, Inc.*
Target
Salaries and
employee benefits
$42,131
Occupancy,
furniture and
equipment
$5,474
Professional fees
$3,574
Advertising and
promotion
$2,594
Communications
and technology
$3,748
Other
$11,681
Full Year 2014
Noninterest expense = $69.2 million
Efficiency Ratio = 74.7%*
Expenses have been front loaded to hire the
right people and build the right infrastructure
M&A activities focused on right sizing the
balance sheet for operating efficiencies
Ongoing efforts to consolidate banks, systems
and activities to capture efficiencies
*Reconciliations of non-GAAP financial measures can be found at the end of the
presentation Pie
chart
data
labels
–
dollars
in
thousands |
 PAGE
10 IPO TRANSACTION OVERVIEW
Triumph Bancorp, Inc. (TBK)
Pricing Date
November
6
th
,
2014
Exchange / Ticker
NASDAQ Global Select Market / TBK
Shares Offered / Overallotment
6,700,000 shares / 1,005,000 Shares
Total Capital Raised with Shoe
$92,460,000
Net Proceeds
Approximately $83.8 million
Joint Book Runners
Sandler O’Neill + Partners L.P., Evercore ISI, Wells Fargo
Securities
Co-Managers
Keefe, Bruyette & Woods a Stifel Company, Nomura
Use of Proceeds
TARP redemption: $26.2 million
Repaid senior secured note: $11.3 million |
 PAGE
11 NON-GAAP FINANCIAL RECONCILIATION
Metrics and non-GAAP financial reconciliation
Full Year
Dec 31,
Sep 30,
Jun 30,
Mar 31,
Dec 31,
(Dollars in thousands, except per share amounts)
2014
2014
2014
2014
2013
2014
Efficiency ratio:
Net interest income
21,329
$
20,395
$
19,881
$
18,855
$
17,358
$
80,460
$
Noninterest income
3,721
15,804
2,633
2,609
11,522
24,767
Operating revenue
25,050
36,199
22,514
21,464
28,880
105,227
Less: gain on branch sale
—
12,619
—
—
—
12,619
Less: bargain purchase gain
—
—
—
—
9,014
—
Adjusted operating revenue
25,050
$
23,580
$
22,514
$
21,464
$
19,866
$
92,608
$
Total noninterest expenses
19,685
$
18,461
$
16,160
$
14,896
$
14,657
$
69,202
$
Less: merger and acquisition expenses
—
—
—
—
938
—
Adjusted noninterest expenses
19,685
$
18,461
$
16,160
$
14,896
$
13,719
$
69,202
$
Efficiency ratio
78.58%
78.29%
71.78%
69.40%
69.06%
74.73%
Net noninterest expense to average assets ratio:
Total noninterest expenses
19,685
$
18,461
$
16,160
$
14,896
$
14,657
$
69,202
$
Less: merger and acquisition expenses
—
—
—
—
938
—
Less: noninterest income, excluding gain on
branch sale and bargain purchase gain
3,721
3,185
2,633
2,609
2,508
12,148
Adjusted net noninterest expenses
15,964
$
15,276
$
13,527
$
12,287
$
11,211
$
57,054
$
Average total assets
1,427,475
1,354,207
1,359,503
1,271,024
1,164,758
1,353,421
Net noninterest expense to average assets ratio
4.44%
4.48%
3.99%
3.92%
3.82%
4.22%
Total stockholders' equity
237,509
$
149,931
$
140,027
$
137,184
$
133,600
$
237,509
$
Less: Preferred stock liquidation preference
9,746
9,746
9,746
9,746
9,746
9,746
Total common stockholders' equity
227,763
140,185
130,281
127,438
123,854
227,763
Less: Goodwill and other intangibles
29,057
29,783
31,043
27,792
28,518
29,057
Tangible common stockholders' equity
198,706
$
110,402
$
99,238
$
99,646
$
95,336
$
198,706
$
Common shares outstanding
17,963,783
9,886,778
9,845,819
9,846,096
9,832,585
17,963,783
Tangible book value per share
11.06
$
11.17
$
10.08
$
10.12
$
9.70
$
11.06
$
As of and For the Three Months Ended |
 LIKE NO OTHER
2015
ANNUAL
MEETING
May 7, 2015 |