Synergy Bank, SSB

Waco, TX · Cert 34669

FDIC · 5 branches

Q1 2017

Board Package

Performance Trends and Peer Comparison

Part 1Performance Trends, own institution only2

Part 2Peer Comparison, not published for this institution and quartern/a

Basis

Quarter: Q1 2017, the quarter ended March 31, 2017, on both parts.

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

Balance sheet: as filed at quarter end.

No peer standings are published for this institution and quarter.

Peer groups below the disclosure floor are suppressed.

Waco, TX · Cert 34669

FDIC · 5 branches

Q1 2017

$156.2MAssets

$124.9MLoans

$127.7MDeposits

$17.9MEquity

Loan mix

Deposit mix

Market Position · Dallas-Fort Worth-Arlington, TX · 2016 SOD (annual) · 0.0% share · #102 of 159 inst. · $0.1B of $247.2B

0.9% McLennan

0.0% Dallas

0.2% Denton

0.1% Collin

Earnings: ROA of 0.10%, down 3 bps year over year; NIM at 3.86%.
Asset quality: problem loans at 1.68% of loans (+168 bps YoY), with net recoveries of 0.02%.
Capital: tier 1 leverage ratio of 9.01%, down 94 bps from a year ago.
Funding: loans stand at 97.82% of deposits as of Q1 2017.

Return on Assets (YTD, annualized)

0.10%-3 bps YoY

Net Interest Margin (YTD, annualized)

3.86%+11 bps YoY

Efficiency Ratio (YTD, annualized)

91.70%-6 bps YoY

Tier 1 Leverage Ratio

9.01%-94 bps YoY

Year to date, annualized, through each quarter.

Metric	Q2 2015	Q3 2015	Q4 2015	Q1 2016	Q2 2016	Q3 2016	Q4 2016	Q1 2017	YoY Δ	Trend
Earnings
Return on Assets	0.15%	0.31%	0.41%	0.14%	0.15%	0.19%	-0.07%	0.10%	-3 bps
Return on Equity	1.07%	2.19%	2.99%	1.04%	1.18%	1.50%	-0.55%	0.89%	-15 bps
Net Interest Margin	3.40%	3.29%	3.33%	3.76%	3.65%	3.64%	3.59%	3.86%	+11 bps
Efficiency Ratio	93.10%	89.94%	87.01%	91.76%	91.15%	90.00%	93.61%	91.70%	-6 bps
Non-Interest Burden	2.95%	2.72%	2.60%	3.25%	3.14%	3.09%	3.24%	3.42%	+17 bps
Growth
Asset Growth (YoY)	6.28%	12.80%	17.51%	12.45%	9.12%	13.77%	12.00%	12.75%	+30 bps
Loan Growth (YoY)	17.12%	30.18%	28.99%	32.77%	18.68%	17.43%	18.44%	16.92%	-1,585 bps
Deposit Growth (YoY)	2.41%	13.38%	18.47%	17.64%	16.00%	17.48%	11.55%	6.66%	-1,098 bps
Asset Quality
Nonperforming Loans / Loans	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	1.68%	+168 bps
Net Charge-Offs / Loans	0.11%	0.07%	0.09%	0.09%	0.04%	0.03%	0.08%	-0.02%	-11 bps
Allowance / Loans	0.86%	0.83%	0.78%	0.79%	0.82%	0.84%	0.80%	0.83%	+5 bps
Allowance Coverage of NPLs	n/a	n/a	n/a	n/a	n/a	n/a	n/a	0.5x	n/a	n/a
Capital
Tier 1 Leverage Ratio	10.78%	9.93%	10.06%	9.96%	9.57%	9.46%	9.08%	9.01%	-94 bps
Total Risk-Based Capital	15.35%	15.09%	14.43%	13.85%	13.31%	13.41%	12.11%	12.56%	-129 bps
Equity / Assets	13.56%	13.35%	13.16%	13.07%	12.84%	12.03%	11.67%	11.49%	-158 bps
Liquidity & Funding
Loans / Deposits	88.86%	86.60%	87.63%	89.24%	90.92%	86.56%	93.05%	97.82%	+858 bps
Liquid Assets / Assets	4.04%	5.66%	4.74%	2.56%	1.75%	6.08%	3.76%	3.11%	+55 bps
CRE / Total Capital	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a