Peoples Bank, A Codorus Valley Company

Glen Rock, PA · Cert 13879

FDIC · 29 branches

Q2 2024

Board Package

Performance Trends and Peer Comparison

Part 1Performance Trends, own institution only2

Part 2Peer Comparison, banks $1B-$10B in assets operating regionally3

Basis

Quarter: Q2 2024, the quarter ended June 30, 2024, on both parts.

Income statement: year to date as filed, annualized, on both parts.

Balance sheet: as filed at quarter end.

Peer group

Banks $1B-$10B in assets operating regionally (n=160 to 164). Each measure ranks only the institutions that reported it, so n varies by measure.

Peer groups below the disclosure floor are suppressed.

Peer standing

Capital

Asset Quality

Profitability

Liquidity

Efficiency

Growth

No peer data yet

Capital, Asset Quality, Profitability, Efficiency: higher is always a stronger peer standing (▲ better, ▼ worse). Liquidity, Growth: the score reflects closeness to the peer median -- 100 is sitting exactly at the median, falling the same way whether the bank runs above or below it.

Peoples Bank, A Codorus Valley Company

Glen Rock, PA · Cert 13879

FDIC · 29 branches

Q2 2024

$2.2BAssets

$1.7BLoans

$2.0BDeposits

$233.5MEquity

Loan mix

Deposit mix

Market Position · York-Hanover, PA · 2024 SOD (annual) · 15.3% share · #2 of 16 inst. · $1.5B of $9.8B

15.3% York

0.9% Baltimore

0.8% Lancaster

1.7% Harford

Executive Summary

Earnings: ROA of 0.53%, down 83 bps year over year; NIM at 3.23%.
Asset quality: problem loans at 0.51% of loans (-16 bps YoY), with net charge-offs at 0.06%.
Capital: tier 1 leverage ratio of 11.83%, up 20 bps from a year ago.
Funding: loans stand at 88.78% of deposits as of Q2 2024.

Return on Assets (YTD, annualized)

0.53%-83 bps YoY

Net Interest Margin (YTD, annualized)

3.23%-54 bps YoY

Efficiency Ratio (YTD, annualized)

84.95%+2,552 bps YoY

Tier 1 Leverage Ratio

11.83%+20 bps YoY

NIM

Non-interest income vs. expense

Year to date, annualized, through each quarter.

Metric	Q3 2022	Q4 2022	Q1 2023	Q2 2023	Q3 2023	Q4 2023	Q1 2024	Q2 2024	YoY Δ	Trend
Earnings
Return on Assets	0.87%	1.04%	1.38%	1.36%	1.31%	1.29%	0.91%	0.53%	-83 bps
Return on Equity	9.27%	11.07%	13.92%	13.66%	13.08%	12.73%	8.49%	5.00%	-866 bps
Net Interest Margin	3.18%	3.44%	3.86%	3.77%	3.69%	3.67%	3.26%	3.23%	-54 bps
Efficiency Ratio	65.85%	63.64%	57.31%	59.43%	61.21%	62.70%	71.12%	84.95%	+2,552 bps
Non-Interest Burden	1.87%	1.93%	1.87%	1.92%	1.96%	2.01%	2.09%	2.62%	+70 bps
Growth
Asset Growth (YoY)	-3.08%	-9.22%	-6.82%	-3.18%	-3.01%	-0.06%	0.45%	0.30%	+348 bps
Loan Growth (YoY)	4.31%	6.20%	7.67%	6.08%	6.60%	4.50%	5.60%	3.19%	-289 bps
Deposit Growth (YoY)	-1.83%	-9.33%	-9.76%	-7.70%	-5.51%	-3.62%	1.33%	3.57%	+1,127 bps
Asset Quality
Nonperforming Loans / Loans	0.95%	0.67%	0.52%	0.67%	0.45%	0.21%	0.40%	0.51%	-16 bps
Net Charge-Offs / Loans	0.33%	0.30%	0.15%	0.17%	0.06%	0.05%	-0.06%	0.06%	-12 bps
Allowance / Loans	1.39%	1.27%	1.31%	1.23%	1.26%	1.20%	1.24%	1.16%	-7 bps
Allowance Coverage of NPLs	1.5x	1.9x	2.5x	1.8x	2.8x	5.7x	3.1x	2.3x	+0.4x
Capital
Tier 1 Leverage Ratio	10.32%	10.96%	11.43%	11.63%	11.75%	11.98%	11.97%	11.83%	+20 bps
Total Risk-Based Capital	15.17%	15.34%	15.54%	15.66%	15.84%	16.14%	16.12%	15.88%	+22 bps
Equity / Assets	9.06%	9.75%	10.09%	10.07%	10.08%	10.79%	10.74%	10.52%	+45 bps
Liquidity & Funding
Loans / Deposits	79.13%	83.85%	86.93%	89.10%	89.28%	90.91%	90.59%	88.78%	-32 bps
Liquid Assets / Assets	8.91%	4.55%	3.79%	3.12%	1.32%	0.50%	0.50%	1.17%	-195 bps
CRE / Total Capital	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a

Peoples Bank, A Codorus Valley Company

Glen Rock, PA · Cert 13879 · Peer group: banks $1B-$10B in assets operating regionally (n=160-164)

FDIC · 29 branches

Q2 2024

$2.2BAssets

$1.7BLoans

$2.0BDeposits

$233.5MEquity

Executive Summary

Strongest standing: total risk-based capital ratio outperforms 85% of banks $1B-$10B in assets operating regionally (rank 24 of 164).
Widest gap: efficiency ratio trails 89% of banks $1B-$10B in assets operating regionally (rank 147 of 164).
Overall: at or above the peer median on 4 of 9 directional measures.

Return on Assets

0.53%

Rank 131 of 164

Net Interest Margin

3.23%

Rank 55 of 160

Efficiency Ratio

84.95%

Rank 147 of 164

Equity / Assets

10.52%

Rank 52 of 164

Non-interest income vs. expense

Unfavorable gap of $58.8M · efficiency ratio beats 11% of banks $1B-$10B in assets operating regionally

Metric	Your Bank	Peer 25th	Peer Median	Peer 75th	Standing	Rank	8-Qtr Trend
Earnings
Return on Assets	0.53%	0.64%	0.88%	1.18%	Beats 20%	131 / 164	n/a
Return on Equity	5.05%	6.50%	9.72%	12.29%	Beats 15%	140 / 164	n/a
Net Interest Margin	3.23%	2.52%	3.02%	3.47%	Beats 66%	55 / 160	n/a
Efficiency Ratio	84.95%	58.93%	65.62%	73.88%	Beats 11%	147 / 164	n/a
Asset Quality
Nonperforming Loans / Loans	0.51%	0.21%	0.46%	0.72%	Beats 43%	95 / 164	n/a
Net Charge-Offs / Loans	0.07%	0.01%	0.03%	0.09%	Beats 29%	117 / 164	n/a
Capital
Tier 1 Capital Ratio	14.68%	10.74%	11.98%	13.63%	Beats 84%	26 / 164	n/a
Total Risk-Based Capital Ratio	15.88%	11.46%	13.10%	14.52%	Beats 85%	24 / 164	n/a
Equity / Assets	10.52%	8.14%	9.50%	11.21%	Beats 68%	52 / 164	n/a
Liquidity & Funding
Loans / Deposits	88.78%	79.29%	89.89%	95.58%	46th pctl	88 / 164	n/a
Loans / Assets	78.23%	66.90%	74.18%	79.91%	71st pctl	47 / 164	n/a
Brokered Deposits / Deposits	n/a	Not reported for this institution