Sierra Bancorp (BSRR) Investor Presentation summary

Company overview and strategy

• Operates 35 branches with $3.6 billion in assets and a focus on California's South-Central Valley.

• Achieved 12% annualized loan growth YTD 2024 and a five-year CAGR of 5.8% for loans and 5.9% for deposits.

• Maintains a strong core deposit base with 34.83% noninterest-bearing deposits and approximately 120,000 customer accounts.

• Emphasizes a service-oriented, community-focused culture and disciplined growth strategies.

• Recent whole-bank acquisitions include Coast National Bank (2016) and Ojai Community Bank (2017).

Financial performance and trends

• Net interest margin improved to 3.66% YTD 2024, supported by low-cost deposits and a high-performing investment portfolio.

• ROAA increased from 0.94% in 2023 to 1.12% YTD 2024; diluted EPS rose from $2.36 in 2023 to $2.82 in 2024.

• Total assets reached $3.61 billion at year-end 2024, with a 7% CAGR since 2019.

• Net income for 2024 was $40.6 million, up from $33.7 million in 2023.

• Maintained a quarterly dividend, with the 104th consecutive payment announced in January 2025.

Balance sheet and capital management

• Strategic balance sheet repositioning in late 2023/early 2024 included a $19.1 million gain from a sale/leaseback and a $17.3 million loss from bond sales.

• Tangible capital ratio, EPS, NIM, and ROAA all improved following the repositioning.

• Repurchased 659,146 shares YTD 2024; current repurchase plan expires 10/31/2025.

• Tangible common equity ratio was 10.80% at year-end 2024, with tangible book value per share at $23.15.

• Deposits grew 6% CAGR since 2019, with a favorable mix of low-cost and noninterest-bearing accounts.