1 ANNUAL MEETING ANNUAL MEETING OF OF STOCKHOLDERS STOCKHOLDERS April 28, 2011 April 28, 2011 Exhibit 99.2 |
Forward Looking Statements 2 Certain statements contained herein are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements may be identified by reference to a future period or periods, or by the use of forward-looking terminology, such as "may," "will," "believe," "expect," "estimate," "anticipate," "continue," or similar terms or variations on those terms, or the negative of those terms. Forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, those related to the economic environment, particularly in the market areas in which Provident Financial Services, Inc. (the “Company”) operates, competitive products and pricing, fiscal and monetary policies of the U.S. Government, changes in government regulations affecting financial institutions, including regulatory fees and capital requirements, changes in prevailing interest rates, acquisitions and the integration of acquired businesses, credit risk management, asset-liability management, the financial and securities markets and the availability of and costs associated with sources of liquidity. The Company cautions readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. The Company also advises readers that the factors listed above could affect the Company's financial performance and could cause the Company's actual results for future periods to differ materially from any opinions or statements expressed with respect to future periods in any current statements. The Company does not undertake and specifically declines any obligation to publicly release the result of any revisions which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events. |
Company Profile 3 Holding Company for The Provident Bank New Jersey’s oldest chartered bank, founded in 1839 81 branches in 11 counties IPO Date: January 2003 NYSE Symbol: PFS Market Cap: $859.2 million Average Daily Volume: 313,161 shares* * 1 year period ended 4/25/11 |
Experienced Management Team 4 Financial Services Experience: |
Experienced Management Team 5 Financial Services Experience: |
6 All directors independent except CEO Independent lead director and committee chairs Broad diversification and backgrounds Strong financial and corporate governance expertise Independent Board Leadership |
Operating Strategies 7 Create and expand customer relationships to attain financial goals through personal attention Provide solutions for our customers’ needs with competitive and diverse product offerings Continue to diversify the balance sheet composition with emphasis on commercial relationships Conservatively manage our company for consistent long-term profitability and growth Logically grow in markets relevant to our company Expand/maintain margin while protecting against a rise in interest rates |
Operating Strategies (cont.) 8 Build upon our low-cost, core deposit funding base Build and grow fee income sources (Wealth Management) Challenge our officers and staff to further enhance operating efficiencies Continue to foster a “Pay for Performance” culture within our organization Maintain sufficient capital to provide adequate coverage to operate effectively Monitor the M & A environment for accretive opportunities |
Stockholder Value 9 Adhering to these strategies results in: Competitive advantage Profitable growth Increased earnings Enhanced long-term stockholder value |
Branch Map 10 |
Total Assets 11 As of December 31, |
Total Loans 12 As of December 31, |
Loan Mix 13 12/31/07 12/31/10 |
Investment Portfolio as of 12/31/10 Available for Sale Weighted Avg. Life 3.16 yrs. Held to Maturity Weighted Avg. Life 4.46 yrs. 14 |
Deposit Mix 15 * Non-Interest Bearing 12/31/07 12/31/10 |
Deposit Mix 16 * Non-Interest Bearing |
17 Thomas M. Lyons Executive Vice President & Chief Financial Officer |
(Dollars in thousands) INCOME STATEMENT: 3/31/11 3/31/10 Net income $12,931 $11,187 Diluted earnings per share $0.23 $0.20 Return on equity 5.65% 5.08% Return on assets 0.77% 0.67% Net interest margin 3.51% 3.35% Efficiency ratio 58.32% 59.14% Financial Highlights 18 |
(Dollars in thousands) BALANCE SHEET: 3/31/11 12/31/10 Total assets $6,793,992 $6,824,528 Total loans $4,457,128 $4,409,813 Total deposits $4,887,999 $4,877,734 Total investments $1,639,980 $1,763,232 Total borrowed funds $923,289 $969,683 Total stockholders' equity $926,106 $921,687 19 Financial Highlights (cont.) |
Asset Quality 20 $114,553 |
Allowance for Loan Losses to Total Loans 21 |
Amount Ratio Amount Ratio Regulatory Tier 1 leverage capital 257,915 $ 4.00% 479,156 $ 7.43% Tier 1 risk-based capital 171,529 $ 4.00% 479,156 $ 11.17% Total risk-based capital 343,059 $ 8.00% 532,995 $ 12.43% REQUIRED ACTUAL (Dollars in thousands) The Provident Bank continues to exceed all current regulatory capital The Provident Bank continues to exceed all current regulatory capital requirements and remains “well capitalized.” requirements and remains “well capitalized.” Capital 22 March 31, 2011 |
23 Christopher Martin Chairman, President & Chief Executive Officer |
Current Dividend Yield (as of 4/20/11) = 3.13% Quarterly Cash Dividend since IPO 24 |
ROA & ROE 25 *Operating ROA & ROE. Excludes Goodwill impairment. |
Total Return 26 Source: SNL |
27 Questions / Comments |