UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
 
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
 
Date of Report (Date of earliest event reported)
 
July 27, 2020

Bank7 Corp.
(Exact name of registrant as specified in its charter)

Oklahoma
001-38656
20-0764349
(State or other jurisdiction of incorporation)
(Commission File Number)
(IRS Employer Identification No.)

1039 N.W. 63rd Street, Oklahoma City, Oklahoma 73116
(Address of principal executive offices) (Zip Code)

(405) 810-8600
 (Registrant’s telephone number, including area code)
 
Not Applicable
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 Securities registered pursuant to Section 12(b) of the Act:

Title of each class
Trading
Symbol(s)
Name of each exchange on which
registered
Common Stock, $0.01 par value
BSVN
The NASDAQ Global Select Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).

Emerging growth company  ☑

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02.
Results of Operations and Financial Condition

Item 7.01
Regulation FD Disclosure

On July 27, 2020, Bank7 Corp. (the “Company”), the holding company for Bank7, issued a press release announcing its results of operation and financial condition for the three and six month periods ended June 30, 2020.  A copy of the press release is attached to this Current Report on Form 8-K as Exhibit 99.1 and is incorporated herein by reference.

The Company is conducting a conference call on July 27, 2020 at 4:00 pm ET to discuss its second quarter 2020 financial results.   A copy of the presentation slides to be used during the earnings call is attached to this Current Report on Form 8-K as Exhibit 99.2 and is incorporated herein by reference.

In accordance with General Instruction B.2 of Form 8-K, the information in this Current Report on Form 8-K, including Exhibit 99.1 and Exhibit 99.2, shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and shall not be incorporated by reference into any filing or other document pursuant to the Securities Act of 1933, as amended, or the Exchange Act except as shall be expressly set forth by specific reference in such filing.

Item 9.01
Financial Statements and Exhibits


(d)
Exhibits.

The following exhibits are filed herewith:

Item
  
 Description
     
 
Press Release dated July 27, 2020
 
Second Quarter 2020 Investor Presentation

SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 
BANK7 CORP.
     
Date: July 27, 2020
By:
/s/ Kelly J. Harris
   
Kelly J. Harris
   
Senior Vice President and Chief Financial Officer


Exhibit 99.1


FOR IMMEDIATE RELEASE: Bank7 Corp. Announces 2Q 2020 Earnings

Oklahoma City, OK, July 27, 2020 – Bank7 Corp. (NASDAQ: BSVN) ("the Company"), the parent company of Oklahoma City-based Bank7 (the "Bank"), today reported unaudited results for the fiscal quarter ended June 30, 2020.  “We are happy to report strong second quarter earnings reflected by (i) record pre-tax, pre-provision earnings and (ii) net income substantially in line with previous quarters. Clearly, the future is uncertain and we are adding loan loss reserves to make sure we are prepared for possible exposures; nonetheless, we continue to have confidence in our overall loan portfolio. In addition, our team continues to perform at a high level and because of that we expect to be able to navigate through these difficult times,” said Thomas L. Travis, President and CEO of the Company.

Three months ended June 30, 2020 compared to three months ended June 30, 2019:


 -
Pre-tax, pre-provision earnings of $8.1 million, an increase of 18.70%

-
Interest income on loans, including loan fee income, totaled $13.4 million, an increase of 10.61%

-
Total assets of $1.0 billion, an increase of 25.75%

-
Total loans of $837.9 million, an increase of 32.70%

-
Total deposits of $894.2 million, an increase of 28.47%

Six months ended June 30, 2020 compared to six months ended June 30, 2019:


 -
Pre-tax, pre-provision earnings of $15.5 million, an increase of 13.66%

-
Interest income on loans, including loan fee income, totaled $26.5 million, an increase of 11.67%

-
Efficiency ratio of 35.3%, compared to 36.3%

Additional Highlights

For the six months ended June 30, 2020 compared to six months ended June 30, 2019:


 -
Cost of funds was 0.91%, a decrease of 35.48%

-
Average loans of $786.9 million, an increase of 31.11%

-
Core deposits of $802.8 million, an increase of 30.4%

Both the Bank’s and the Company’s capital levels continue to be significantly above the minimum levels required to be designated as “well-capitalized” for regulatory purposes.  At June 30, 2020 the Tier 1 leverage ratio, Tier 1 risk based capital ratio, and total risk-based capital ratios were 10.30%, 13.09%, and 14.34% respectively for the Bank.  At June 30, 2020 the Tier 1 leverage ratio, Tier 1 risk based capital ratio, and total risk-based capital ratios were 10.29%, 13.08%, and 14.33% respectively for the Company on a consolidated basis.  Designation as a well-capitalized institution under regulations does not constitute a recommendation or endorsement by bank regulators.
 
Pre-tax, pre-provision earnings is defined as income before taxes and provision for loan losses.  We believe the most directly comparable GAAP financial measure is income before taxes.  Disclosure of this measure enables you to compare our operations to those of other banking companies before consideration of taxes and provision expense.  We calculate our tax-adjusted net income, return on average assets, and return on average equity, and per share amounts by using a combined effective tax rate for federal and state income taxes of 24.9% and 25.0% in the second quarter of 2020 and 2019, respectively.  We acknowledge that our non-GAAP financial measures have a number of limitations.  As such, you should not view these disclosures as a substitute for results determined in accordance with GAAP, and they are not necessarily comparable to non-GAAP financial measures that other banking companies use.  Other banking companies may use names similar to those we use for non-GAAP financial measures we disclose, but may calculate them differently.  You should understand how we and other companies each calculate their non-GAAP financial measures when making comparisons.  The following reconciliation table provides a more detailed analysis of these non-GAAP financial measures:
 
   
Three months ended
June 30,
    
Six months ended
June 30,
  
(Dollars in thousands, except per share data)
  
2020
    
2019
    
2020
    
2019
  
Loan interest income (excluding loan fees)
                        
Total loan interest income, including loan fee income
  
$
13,385
    
$
12,101
    
$
26,491
    
$
23,723
  
Loan fee income
    
(1,632
)
    
(1,369
)
    
(2,892
)
    
(2,658
)
Loan interest income excluding loan fee income
  
$
11,753
    
$
10,732
    
$
23,599
    
$
21,065
  
                                 
Average total loans
  
$
826,111
    
$
613,892
    
$
786,943
    
$
600,224
  
Yield on loans (including loan fee income)
    
6.52
%
    
7.91
%
    
6.77
%
    
7.97
%
Yield on loans (excluding loan fee income)
    
5.72
%
    
7.01
%
    
6.03
%
    
7.08
%
                                 
Net interest margin (excluding loan fees)
                                
Net interest income
  
$
11,929
    
$
10,583
    
$
23,361
    
$
20,936
  
Loan fee income
    
(1,632
)
    
(1,369
)
    
(2,892
)
    
(2,658
)
Net interest income excluding loan fees
  
$
10,297
    
$
9,214
    
$
20,469
    
$
18,278
  
                                 
Average earning assets
  
$
962,186
    
$
777,190
    
$
914,118
    
$
761,607
  
Net interest margin (including loan fee income)
    
4.99
%
    
5.46
%
    
5.14
%
    
5.54
%
Net interest margin (excluding loan fee income)
    
4.30
%
    
4.76
%
    
4.50
%
    
4.84
%
                                 
Pre-tax, pre-provision net earnings
                                
Net income before income taxes
  
$
6,707
    
$
6,830
    
$
13,466
    
$
13,651
  
Plus: Provision (reversal of) for loan losses
    
(1,400
)
    
-
      
(2,050
)
    
-
  
Pre-tax, pre-provision net earnings
  
$
8,107
    
$
6,830
    
$
15,516
    
$
13,651
  
                                 
Adjusted provision for income tax
                                
Net income before income taxes
  
$
6,707
    
$
6,830
    
$
13,466
    
$
13,651
  
Total effective adjusted tax rate
    
24.9
%
    
25.0
%
    
25.1
%
    
25.0
%
Adjusted provision for income taxes
  
$
1,671
    
$
1,704
    
$
3,379
    
$
3,409
  
                                 
Tax-adjusted net income
                                
Net income before income taxes
  
$
6,707
    
$
6,830
    
$
13,466
    
$
13,651
  
Adjusted provision for income taxes
    
1,671
      
1,704
      
3,379
      
3,409
  
Tax-adjusted net income
  
$
5,036
    
$
5,126
    
$
10,087
    
$
10,242
  
                                 
Tax-adjusted ratios and per share data
                                
Tax-adjusted net income (numerator)
  
$
5,036
    
$
5,126
    
$
10,087
    
$
10,242
  
                                 
Average assets (denominator)
  
$
971,373
    
$
786,773
    
$
923,087
    
$
770,621
  
Tax-adjusted return on average assets
    
2.09
%
    
2.61
%
    
2.20
%
    
2.68
%
                                 
Average shareholders' equity (denominator)
  
$
99,469
    
$
96,044
    
$
100,593
    
$
93,443
  
Tax-adjusted return on average shareholders' equity
    
20.36
%
    
21.41
%
    
20.17
%
    
22.10
%
                                 
Average tangible common equity (denominator)
  
$
97,760
    
$
94,128
    
$
98,858
    
$
91,498
  
Tax-adjusted return on average tangible common equity
    
20.72
%
    
21.84
%
    
20.52
%
    
22.57
%
                                 
Weighted average common shares outstanding basic (denominator)
    
9,232,509
      
10,187,500
      
9,598,232
      
10,187,500
  
Tax-adjusted net income per common share--basic
  
$
0.54
    
$
0.50
    
$
1.05
    
$
1.00
  
                                 
Weighted average common shares outstanding diluted (denominator)
    
9,232,509
      
10,192,649
      
9,598,232
      
10,187,500
  
Tax-adjusted net income per common share--diluted
  
$
0.54
    
$
0.50
    
$
1.05
    
$
1.00
  
Tangible assets
                                
Total assets
  
$
1,004,085
    
$
798,448
                  
Less: Goodwill and intangibles
    
(1,686
)
    
(1,892
)
                
Tangible assets
  
$
1,002,399
    
$
796,556
                  
                                 
Tangible shareholders' equity
                                
Total shareholders' equity
  
$
101,618
    
$
99,037
                  
Less: Goodwill and intangibles
    
(1,686
)
    
(1,892
)
                
Tangible shareholders' equity
  
$
99,932
    
$
97,145
                  
                                 
Tangible shareholders' equity
                                
Tangible shareholders' equity (numerator)
  
$
99,932
    
$
97,145
                  
Tangible assets (denominator)
  
$
1,002,399
    
$
796,556
                  
Tangible common equity to tangible assets
    
9.97
%
    
12.20
%
                
                                 
End of period common shares outstanding
    
9,226,252
      
10,187,500
                  
Book value per share
  
$
11.01
    
$
9.72
                  
Tangible book value per share
  
$
10.83
    
$
9.54
                  
Total shareholders' equity to total assets
    
10.12
%
    
12.40
%
                
 
         
Net Interest Margin Excluding Loan Fee Income
    
         
For the Three Months Ended June 30,
    
   
2020
    
2019
  
   
Average
Balance
    
Interest
Income/
Expense
    
Average
Yield/
Rate
 
Average
Balance
  
Interest
Income/
Expense
  
Average
Yield/
Rate
  
   
(Dollars in thousands)
  
Interest-earning assets:
                                  
Short-term investments(1)
  
$
134,764
    
$
156
      
0.47
%
  
$
162,056
    
$
941
      
2.33
%
Investment securities(2)
    
1,089
      
15
      
5.54
      
1,063
      
24
      
9.06
  
Loans held for sale
    
222
      
—
      
0.00
      
179
      
—
      
0.00
  
Total loans(3)
    
826,111
      
11,753
      
5.72
      
613,892
      
10,732
      
7.01
  
Total interest-earning assets
    
962,186
      
11,924
      
4.98
      
777,190
      
11,697
      
6.04
  
Noninterest-earning assets
    
9,187
                      
9,583
                  
Total assets
  
$
971,373
                       
$
786,773
                  
                                                 
Funding sources:
                                                
Interest-bearing liabilities:
                                                
Deposits:
                                                
Transaction accounts
  
$
373,812
      
704
      
0.76
%
  
$
294,926
      
1,388
      
1.89
%
Time deposits
    
219,990
      
923
      
1.69
      
205,978
      
1,095
      
2.13
  
Total interest-bearing deposits
    
593,802
      
1,627
      
1.10
      
500,904
      
2,483
      
1.99
  
Other borrowings
    
—
      
—
      
0.00
      
—
      
—
      
0.00
  
Total interest-bearing liabilities
    
593,802
      
1,627
      
1.10
      
500,904
      
2,483
      
1.99
  
                                                 
Noninterest-bearing liabilities:
                                                
Noninterest-bearing deposits
    
272,373
                      
185,715
                  
Other noninterest-bearing liabilities
    
5,729
                      
4,110
                  
Total noninterest-bearing liabilities
    
278,102
                      
189,825
                  
Shareholders’ equity
    
99,469
                      
96,044
                  
Total liabilities and shareholders’ equity
  
$
971,373
                       
$
786,773
                  
                                                 
Net interest income including loan fee income
          
$
10,297
                  
$
9,214
          
Net interest spread including loan fee income(4)
                    
3.88
%
                    
4.05
%
Net interest margin including loan fee income
                    
4.30
%
                    
4.76
%

           
Net Interest Margin With Loan Fee Income
          
           
For the Three Months Ended June 30,
          
    2020    
2019
  
   
Average
Balance
    
Interest
Income/
Expense
    
Average
Yield/
Rate
    
Average
Balance
    
Interest
Income/
Expense
      
Average
Yield/
Rate
  
   
(Dollars in thousands)
  
Interest-earning assets:
                                                
Short-term investments(1)
  
$
134,764
    
$
156
      
0.47
%
  
$
162,056
    
$
941
      
2.33
%
Investment securities(2)
    
1,089
      
15
      
5.54
      
1,063
      
24
      
9.06
  
Loans held for sale
    
222
      
—
      
0.00
      
179
      
—
      
0.00
  
Total loans(3)
    
826,111
      
13,385
      
6.52
      
613,892
      
12,101
      
7.91
  
Total interest-earning assets
    
962,186
      
13,556
      
5.67
      
777,190
      
13,066
      
6.74
  
Noninterest-earning assets
    
9,187
                      
9,583
                  
Total assets
  
$
971,373
                    
$
786,773
                  
                                                 
Funding sources:
                                                
Interest-bearing liabilities:
                                                
Deposits:
                                                
Transaction accounts
  
$
373,812
      
704
      
0.76
%
  
$
294,926
      
1,388
      
1.89
%
Time deposits
    
219,990
      
923
      
1.69
      
205,978
      
1,095
      
2.13
  
Total interest-bearing deposits
    
593,802
      
1,627
      
1.10
      
500,904
      
2,483
      
1.99
  
Other borrowings
    
—
      
—
      
0.00
      
—
      
—
      
0.00
  
Total interest-bearing liabilities
    
593,802
      
1,627
      
1.10
      
500,904
      
2,483
      
1.99
  
                                                 
Noninterest-bearing liabilities:
                                                
Noninterest-bearing deposits
    
272,373
                      
185,715
                  
Other noninterest-bearing liabilities
    
5,729
                      
4,110
                  
Total noninterest-bearing liabilities
    
278,102
                      
189,825
                  
Shareholders’ equity
    
99,469
                      
96,044
                  
Total liabilities and shareholders’ equity
  
$
971,373
                    
$
786,773
                  
                                                 
Net interest income excluding loan fee income
          
$
11,929
                    
$
10,583
          
Net interest spread excluding loan fee income(4)
                    
4.56
%
                    
4.76
%
Net interest margin excluding loan fee income
                    
4.99
%
                    
5.46
%

(1)
Includes income and average balances for fed funds sold, interest-earning deposits in banks and other miscellaneous interest-earning assets.

(2)
Includes income and average balances for FHLB and FRB stock.

(3)
Non-accrual loans are included in loans.

(4)
Net interest spread is the average yield on interest-earning assets minus the average rate on interest-bearing liabilities.

          Net Interest Margin Excluding Loan Fee Income        
          For the Six Months Ended June 30,        
   
2020
     2019  
   
Average
Balance
    
Interest
Income/
Expense
    
Average
Yield/
Rate
    
Average
Balance
    
Interest
Income/
Expense
    
Average
Yield/
Rate
  
   
(Dollars in thousands)
  
Interest-earning assets:
                                    
Short-term investments(1)
  
$
125,906
    
$
554
      
0.88
%
  
$
160,129
    
$
1,896
      
2.39
%
Investment securities(2)
    
1,095
      
18
      
3.31
      
1,059
      
24
      
4.57
  
Loans held for sale
    
174
      
—
      
0.00
      
195
      
—
      
0.00
  
Total loans(3)
    
786,943
      
23,599
      
6.03
      
600,224
      
21,065
      
7.08
  
Total interest-earning assets
    
914,118
      
24,171
      
5.32
      
761,607
      
22,985
      
6.09
  
Noninterest-earning assets
    
8,969
                      
9,014
                  
Total assets
  
$
923,087
                    
$
770,621
                  
                                                 
Funding sources:
                                                
Interest-bearing liabilities:
                                                
Deposits:
                                                
Transaction accounts
  
$
358,167
      
1,714
      
0.96
%
  
$
290,204
      
2,687
      
1.87
%
Time deposits
    
212,537
      
1,988
      
1.88
      
199,276
      
2,020
      
2.04
  
Total interest-bearing deposits
    
570,704
      
3,702
      
1.30
      
489,480
      
4,707
      
1.94
  
Other borrowings
    
—
      
—
      
0.00
      
—
      
—
      
0.00
  
Total interest-bearing liabilities
    
570,704
      
3,702
      
1.30
      
489,480
      
4,707
      
1.94
  
                                                 
Noninterest-bearing liabilities:
                                                
Noninterest-bearing deposits
    
246,630
                      
182,760
                  
Other noninterest-bearing liabilities
    
5,160
                      
4,938
                  
Total noninterest-bearing liabilities
    
251,790
                      
187,698
                  
Shareholders’ equity
    
100,593
                      
93,443
                  
Total liabilities and shareholders’ equity
  
$
923,087
                    
$
770,621
                  
                                                 
Net interest income including loan fee income
          
$
20,469
                    
$
18,278
          
Net interest spread including loan fee income(4)
                    
4.01
%
                    
4.15
%
Net interest margin including loan fee income
                    
4.50
%
                    
4.84
%

         
Net Interest Margin With Loan Fee Income
        
         
For the Six Months Ended June 30,
        
   
2020
    
2019
  
   
Average
Balance
    
Interest
Income/
Expense
    
Average
Yield/
Rate
    
Average
Balance
    
Interest
Income/
Expense
    
Average
Yield/
Rate
  
   
(Dollars in thousands)
  
Interest-earning assets:
                                    
Short-term investments(1)
  
$
125,906
    
$
554
      
0.88
%
  
$
160,129
    
$
1,896
      
2.39
%
Investment securities(2)
    
1,095
      
18
      
3.31
      
1,059
      
24
      
4.57
  
Loans held for sale
    
174
      
—
      
0.00
      
195
      
—
      
0.00
  
Total loans(3)
    
786,943
      
26,491
      
6.77
      
600,224
      
23,723
      
7.97
  
Total interest-earning assets
    
914,118
      
27,063
      
5.95
      
761,607
      
25,643
      
6.79
  
Noninterest-earning assets
    
8,969
                      
9,014
                  
Total assets
  
$
923,087
                    
$
770,621
                  
 
                                                
Funding sources:
                                                
Interest-bearing liabilities:
                                                
Deposits:
                                                
Transaction accounts
  
$
358,167
      
1,714
      
0.96
%
  
$
290,204
      
2,687
      
1.87
%
Time deposits
    
212,537
      
1,988
      
1.88
      
199,276
      
2,020
      
2.04
  
Total interest-bearing deposits
    
570,704
      
3,702
      
1.30
      
489,480
      
4,707
      
1.94
  
Other borrowings
    
—
      
—
      
0.00
      
—
      
—
      
0.00
  
Total interest-bearing liabilities
    
570,704
      
3,702
      
1.30
      
489,480
      
4,707
      
1.94
  
 
                                                
Noninterest-bearing liabilities:
                                                
Noninterest-bearing deposits
    
246,630
                      
182,760
                  
Other noninterest-bearing liabilities
    
5,160
                      
4,938
                  
Total noninterest-bearing liabilities
    
251,790
                      
187,698
                  
Shareholders’ equity
    
100,593
                      
93,443
                  
Total liabilities and shareholders’ equity
  
$
923,087
                    
$
770,621
                  
 
                                                
Net interest income excluding loan fee income
          
$
23,361
                    
$
20,936
          
Net interest spread excluding loan fee income(4)
                    
4.65
%
                    
4.85
%
Net interest margin excluding loan fee income
                    
5.14
%
                    
5.54
%

Bank7 Corp.
Consolidated Balance Sheets

Dollars in thousands, exceper per share data
  
Unaudited as of
        
Assets
  
June 30,
    
December 31,
  
   
2020
    
2019
    
2019
  
                   
Cash and due from banks
  
$
127,780
    
$
123,763
    
$
117,128
  
Interest-bearing time deposits in other banks
    
27,865
      
32,632
      
30,147
  
Loans, net
    
828,065
      
623,614
      
699,458
  
Loans held for sale
    
500
      
8
      
1,031
  
Premises and equipment, net
    
9,519
      
8,757
      
9,624
  
Nonmarketable equity securities
    
1,095
      
1,069
      
1,100
  
Foreclosed assets held for sale
    
-
      
188
      
0
  
Goodwill and intangibles
    
1,686
      
1,892
      
1,789
  
Interest receivable and other assets
    
7,575
      
6,525
      
6,115
  
                         
Total assets
  
$
1,004,085
    
$
798,448
    
$
866,392
  
                         
Liabilities and Shareholders’ Equity
                        
                         
Deposits
                        
Noninterest-bearing
  
$
254,735
    
$
190,092
    
$
219,221
  
Interest-bearing
    
639,496
      
505,963
      
538,262
  
                         
Total deposits
    
894,231
      
696,055
      
757,483
  
                         
Income taxes payable
    
4,022
      
20
      
357
  
Interest payable and other liabilities
    
4,214
      
3,336
      
8,426
  
                         
Total liabilities
    
902,467
      
699,411
      
766,266
  
                         
Common stock
    
92
      
102
      
101
  
Additional paid-in capital
    
92,761
      
80,604
      
92,391
  
Retained earnings
    
8,765
      
18,331
      
7,634
  
                         
Total shareholders’ equity
    
101,618
      
99,037
      
100,126
  
 
                        
Total liabilities and shareholders’ equity
  
$
1,004,085
    
$
798,448
    
$
866,392
  

Bank7 Corp.
Consolidated Statements of Income

   
Unaudited as of
  
   
Three Months Ended
    
Six Months Ended
  
   
June 30,
    
June 30,
  
Dollars in thousands, exceper per share data
  
2020
    
2019
    
2020
    
2019
  
Interest Income
                        
Loans, including fees
  
$
13,385
    
$
12,101
    
$
26,491
    
$
23,723
  
Interest-bearing time deposits in other banks
    
133
      
497
      
295
      
914
  
Interest-bearing deposits in other banks
    
38
      
468
      
277
      
1,006
  
                                 
Total interest income
    
13,556
      
13,066
      
27,063
      
25,643
  
                                 
Interest Expense
                                
Deposits
    
1,627
      
2,483
      
3,702
      
4,707
  
                                 
Total interest expense
    
1,627
      
2,483
      
3,702
      
4,707
  
                                 
Net Interest Income
    
11,929
      
10,583
      
23,361
      
20,936
  
                                 
Provision for Loan Losses
    
1,400
      
-
      
2,050
      
-
  
                                 
Net Interest Income After Provision for Loan Losses
    
10,529
      
10,583
      
21,311
      
20,936
  
                                 
Noninterest Income
                                
Secondary market income
    
39
      
40
      
77
      
77
  
Service charges on deposit accounts
    
95
      
109
      
214
      
169
  
Other
    
167
      
146
      
340
      
272
  
                                 
Total noninterest income
    
301
      
295
      
631
      
518
  
                                 
Noninterest Expense
                                
Salaries and employee benefits
    
2,597
      
2,365
      
5,071
      
4,536
  
Furniture and equipment
    
218
      
218
      
434
      
377
  
Occupancy
    
413
      
378
      
874
      
721
  
Data and item processing
    
269
      
276
      
545
      
538
  
Accounting, marketing and legal fees
    
77
      
142
      
203
      
289
  
Regulatory assessments
    
94
      
31
      
117
      
63
  
Advertising and public relations
    
29
      
92
      
298
      
278
  
Travel, lodging and entertainment
    
43
      
92
      
96
      
134
  
Other
    
383
      
454
      
838
      
867
  
                                 
Total noninterest expense
    
4,123
      
4,048
      
8,476
      
7,803
  
                                 
Income Before Taxes
    
6,707
      
6,830
      
13,466
      
13,651
  
Income tax expense
    
1,671
      
1,704
      
3,379
      
3,409
  
Net Income
  
$
5,036
    
$
5,126
    
$
10,087
    
$
10,242
  
                                 
Earnings per common share - basic
  
$
0.54
    
$
0.50
    
$
1.05
    
$
1.00
  
Diluted earnings per common share
    
0.54
      
0.50
      
1.05
      
1.00
  
Weighted average common shares outstanding - basic
    
9,232,509
      
10,187,500
      
9,598,232
      
10,187,500
  
Weighted average common shares outstanding - diluted
    
9,232,509
      
10,192,649
      
9,598,232
      
10,187,500
  

About Bank7 Corp.

We are Bank7 Corp., a bank holding company headquartered in Oklahoma City, Oklahoma. Through our wholly-owned subsidiary, Bank7, we operate nine locations in Oklahoma, the Dallas/Fort Worth, Texas metropolitan area and Kansas. We are focused on serving business owners and entrepreneurs by delivering fast, consistent and well-designed loan and deposit products to meet their financing needs. We intend to grow organically by selectively opening additional branches in our target markets as well as pursue strategic acquisitions.

Conference call

Bank7 Corp. has scheduled a conference call to discuss its first quarter results, which will be broadcast live over the Internet, on Monday, July 27, 2020 at 4:00 p.m. Eastern Time. To participate in the call, dial 1-888-348-6421, or access it live over the Internet at https://www.webcaster4.com/Webcast/Page/2179/35698.   For those not able to participate in the live call, an archive of the webcast will be available at https://www.webcaster4.com/Webcast/Page/2179/35698 shortly after the call for 1 year.

Cautionary Statements Regarding Forward-Looking Information

This communication contains a number of forward-looking statements. These forward-looking statements reflect Bank7 Corp.’s current views with respect to, among other things, future events and Bank7 Corp.’s financial performance. Any statements about Bank7 Corp.’s expectations, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance are not historical facts and may be forward-looking. These statements are often, but not always, made through the use of words or phrases such as “anticipate,” “believes,” “can,” “could,” “may,” “predicts,” “potential,” “should,” “will,” “estimate,” “plans,” “projects,” “continuing,” “ongoing,”
“expects,” “intends” and similar words or phrases. Any or all of the forward-looking statements in (or conveyed orally regarding) this presentation may turn out to be inaccurate. The inclusion of or reference to forward-looking information in this presentation should not be regarded as a representation by Bank7 Corp. or any other person that the future plans, estimates or expectations contemplated by Bank7 Corp. will be achieved.

These forward-looking statements are subject to significant uncertainties because they are based upon:  the amount and timing of future changes in interest rates, market behavior, and other economic conditions; future laws, regulations, and accounting principles; changes in regulatory standards and examination policies, and a variety of other matters.  These other matters include, among other things, the impact of COVID-19 on the United States economy and our operations, the direct and indirect effect of economic conditions on interest rates, credit quality, loan demand, liquidity, and monetary and supervisory policies of banking regulators.  Bank7 Corp. has based these forward-looking statements largely on its current expectations and projections about future events and financial trends that Bank7 Corp. believes may affect its financial condition, results of operations, business strategy and financial needs. Bank7 Corp.’s actual results could differ materially from those anticipated in such forward-looking statements as a result of risks, uncertainties and assumptions that are difficult to predict. If one or more events related to these or other risks or uncertainties materialize, or if Bank7 Corp.’s underlying assumptions prove to be incorrect, actual results may differ materially from what Bank7 Corp. anticipates. You are cautioned not to place undue reliance on forward-looking statements. Further, any forward-looking statement speaks only as of the date on which it is made and Bank7 Corp. undertakes no obligation to update or revise 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, except as may be required by law. All forward-looking statements herein are qualified by these cautionary statements.

About Non-GAAP Financial Measures

This communication includes certain non-GAAP financial measures, including tax-adjusted net income, tax-adjusted earnings per share, tax-adjusted return on average assets and tax-adjusted return on average shareholders’ equity. These non-GAAP financial measures and any other non-GAAP financial measures that we discuss in this presentation should not be considered in isolation, and should be considered as additions to, and not substitutes for or superior to, measures of financial performance prepared in accordance with GAAP. There are a number of limitations related to the use of these non-GAAP financial measures versus their nearest GAAP equivalents. For example, other companies may calculate non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of Bank7 Corp.’s non-GAAP financial measures as tools for comparison. See the table above in this communication for a reconciliation of the non-GAAP financial measures used in (or conveyed orally during) this communication to their most directly comparable GAAP financial measures.

Contact:
 
Thomas Travis
President & CEO
(405) 810-8600
 

Exhibit 99.2

 BSVN  2Q 2020EARNINGS RELEASEJuly 27, 2020 
 
 1  Corporate Overview NASDAQ: BSVN    June 30, 2019  June 30, 2020  $ Change  % Change  Assets  $798 million  $1 billion  $205 million  25.7%  Loans  $631 million  $838 million(2)  $206 million  32.7%  Deposits  $696 million  $894 million  $198 million  28.5%  Consistently recognized as one of the top performing Community Banks in the United States.Track Record of Strong Profitability and Expense Control.Intense Focus on Underwriting and Asset Quality.Scalable and Consistently Growing Platform.A company that provides commercial banking services to businesses and their owners, 98.8% of our loans are commercial purpose loans. We deliver our products and services using a “branch-lite” model.  Bank7’s bankers are relationship bankers.   Includes $64.0 million of paycheck protection program (PPP) loans. Excluding PPP loans, year-over-year change was $142 million, or 22.5%. 
 
 2  2Q Overview  Solid NIM & Top-Quartile PPE  Net interest margin continued to outperform the peer group(4).Excluding loan fee income, the Company earned $10.3 million in net interest income in 2Q 20, compared to $9.2 million for 2Q 19(5).PPE was 3.22% of average assets compared to 1.40% for the peer group(4) as of 1Q 20.   Continued Strong Performance  Core net interest margin of 4.30% (excludes loan fees).Historical low 35.3% efficiency ratio(1), which was driven by solid revenue growth and disciplined cost control.Excellent PPE(1) quarter of $8.1 million.Year-to-date TBV increase of $1.05 per share, which is a 20.5% annualized return.(2)Maintained credit discipline, while also reducing our energy exposure, which is now at 10.7% of our loan portfolio (11.7% excluding PPP loans), vs. 18.7% in 2Q 19.   Enhanced Stress Test Illustrates Strength of Earnings and Capital  DFAST stress test results show continued ability to withstand pandemic-induced stress.Hypothetical loan losses during DFAST timeframe totaled $27.5 million, and over the same period CET1 increased to 16.40%, and total RBC increased to 17.65%, while maintaining a regular dividend.   Efficiency ratio and Pre-tax pre-provision earnings (PPE) are non-GAAP financial measures. See Appendix for reconciliation to its most comparable GAAP measures.We ended the quarter with a TBVPS of $10.83. Without share repurchases, TBVPS would have been $10.64.Liquidity = total cash and investment CD’s divided by total liabilities. Peer group is defined as 192 exchange-traded banks nationwide with assets between $500 million and $5 billion, see slide 7.Net interest income excluding fee income is a non-GAAP financial measure. See non-GAAP reconciliation table for reconciliation to its most comparable GAAP measure.  Strong Capital & Liquidity  CET1: 13.08%Tier 1 leverage: 10.29%Total Risk-Based Capital: 14.33%Liquidity(3): 17.26% Ended the quarter with cash on hand of $155.6 million.ALLL build of $1.4 million in 2Q, $2.0 million YTD, resulting in a balance of $9.9 million. 
 
 13.7% increase YoY    Bank7 Corp. Key Statistics  For the Six Months EndedJune 30, 2020  After Tax Net Income(4)(5)  Dollars are in millions. Financial data is as of or for the twelve months ended December 31 of each respective year or the six months ended June 30, 2020.“Total Loans” on the balance sheet includes $64.0 million of paycheck protection program (PPP) loans. This amount is removed for purposes of calculating “Allowance for loan losses to total loans”.Tangible shareholders’ equity and tangible shareholders’ equity to tangible assets are non-GAAP financial measures. See non-GAAP reconciliation table for reconciliation to their most comparable GAAP measures.Net interest margin (excluding loan fee income) is a non-GAAP financial measure. See non-GAAP reconciliation table for reconciliation to its most comparable GAAP measure.Profitability metrics are tax-adjusted as if the Company were a C Corporation at the estimated tax rates for the respective periods. Combined federal and state effective tax rates for the six months ended June 30, 2019 and 2020 were 25.0% and 24.9% respectively. Pro Forma 2019 net income is a non-GAAP financial measure which adds back the one-time, extraordinary compensation expense related to the non-cash executive stock transaction that took place during the period. See Pro Forma Net Income reconciliation table for detailed calculation of this measure.  Total Assets  3  Pro Forma    $20.0  $13.7  $15.5    PPE  PPE   
 
 A Continuation of BSVN Exceptional Performance  Return on Average Assets (1)(2)  Return on Average Tangible Common Equity (1) (2)  Dollars are in millionsFinancial data is as of or for the twelve months ended December 31 of each respective year or for the six months ended June 30, 2020.Profitability metrics are tax-adjusted as if the Company were a C Corporation at the estimated tax rates for the respective periods. Pro Forma YTD ROAA, ROATCE, efficiency ratio, and noninterest expense to average assets ratio are non-GAAP financial measures. See non-GAAP reconciliation table for reconciliation to their most comparable GAAP measures.  Leveraging Our Employee Base(2)  Efficiency Ratio(2)  We continue to produce excellent ROAA and ROATCE, 2.20% and 20.52%, respectively. We improved upon our excellent efficiency ratio, as highlighted by our low noninterest expense to average assets ratio. Our efficiency ratio dropped from 37.0% at 1Q to 35.3% at 2Q.  4  5-year average: 2.17%  5-year average: 22.7%  Pro Forma  Pro Forma  Pro Forma  Pro Forma    38.3%    2.51%    20.9%    3.56%Actual 
 
 PPE    June 30, 2019    June 30, 2020  Balance Sheet and Earnings Growth  Dollars are in millionsFinancial data is as of the twelve months ended December 31 of each respective year or as of or for the six months ended June 30, 2020 and 2019. Tangible book value per share is a non-GAAP financial measure. See Appendix for reconciliation to its most comparable GAAP measure.June 30, 2020 balance includes $64.0 million of paycheck protection program (PPP) loans.  Balance Sheet and Earnings Growth  Tangible Book Value (1)  Year-to-date, tangible book value per share grew by $1.05, or 10.7% (20.5% annualized). Balance sheet growth remains strong YOY, highlighted by loan growth of 32.7%, deposit growth of 28.5%, total asset growth of 25.8% and growth in total shareholder equity of 2.6%.On a YOY basis, we grew PPE by 13.7% in a falling interest rate environment, and despite expenses related to our Dallas and Tulsa locations which were not present in the prior year.  5  (2) 
 
 Net Interest Margin Strength  *Calculated excluding $64 million in paycheck protection program (PPP) loans and $907,000 in PPP loan fee income.Financial data is as of or for the twelve months ended December 31 of each respective year, and as of the three or six month periods ended June 30, 2020.Net interest margin (excluding loan fee income) is a non-GAAP financial measure. See Appendix for reconciliation to their most comparable GAAP measures.(1) Peer group is defined as 192 exchange-traded banks nationwide with assets between $500 million and $5 billion, see slide 7.  Net Interest Margin  Despite the pandemic-induced stress which has significantly reduced deal flow, our net interest margin continues to show strength and outperform our peer group(1).   6 
 
 7  Income Statement as a Percentage of Average Assets  Dollars are in thousandsPeer group is defined as exchange-traded banks nationwide with assets between $500mm-$5bn (192 banks); Source: S&P Global Market Intelligence.Excludes non-cash executive stock transfer compensation expense of $11,796.  PPE to Average Assets – Much stronger than peers 
 
 8  Earnings-driven cushion to regulatory minimums illustrated over two years  Dollars are in millionsThe above assumes no cash dividends and is simply an illustration and should not be considered a projection or forward-looking guidance of any kind. Excess capital to target ratio expressed in % is the difference between the actual ratio and regulatory minimum divided by the regulatory minimum.Excess capital to target ratio expressed in $ is the excess capital % multiplied by either average assets or risk-weighted assets, assuming a static balance sheet over the next 24 months. Trailing twelve months PPE of $28.73 million extrapolated over two years. Excludes the one-time non-cash executive stock transaction in Q3 2019.   Excellent Shock-Absorption 
 
 9  Stress Test Methodology & Assumptions  Stress Test Results  Resulted in cumulative loan losses over the DFAST period of $27.5 million, which is 3.69% of loans.Dividend payout was unaffected and continues to be paid. Annualized actual ROATCE through 2Q 20 was 20.5%, which declines to approximately 8% for the full year ending 2021.Capital ratios continue to grow:  Applied the FRB’s DFAST methodology, and also used their projected losses by segment, as illustrated.Immediately reduced NIM to 4%, which was held flat.Significant non-accrual increase beginning now and peaking in 2Q 21 to reach almost 9% of total loans.Averaged the recent FRB Covid U,V, and W shaped recovery scenarios which resulted in projected loan losses of 9.5%, then subtracted the consumer and trading & securities segments, as we have virtually no exposure to those. Our scenario is also more severe than the 6.8% actual loan losses incurred during the global financial crisis, as reported in the June 2020 FRB Covid event. Those results were then tested against our incurred loss model and individual credit reviews.  DFAST projected losses - severely adverse scenario 
 
 10  Allowance for Loan Losses to Total Loans  Nonperforming Assets to Loans and OREO  Asset Quality  Net Charge-Offs to Average Loans  Financial data is as of or for the twelve months ended December 31 of each respective year and as of or for the six months ended June 30, 2020. (1) “Total Loans” excludes $64.0 in PPP loans. With PPP loans included, ratio is 1.18%.   Continued reduction of energy portfolio; down from 25.6% of total loans in 2Q 2018 to 10.7% of total loans in 2Q 20.Pandemic-induced stress impact on nonperforming assets and loan grades accelerated in 2Q, though stimulus money has delayed any potential impact of the pandemic on our loan portfolio. ALLL increased by $1.4 million in 2Q, or 16.0%, bringing YTD provision to $2.0 million, resulting in a total balance of $9.9 million.Net charge-offs of $35,000 in 2Q 20, bringing 30 month total to $26,000.We have experienced low historical net charge-offs and virtually zero oil & gas related charge-offs.  (1)  Energy Portfolio as a % of Total Loans 
 
 Loan Portfolio Distribution  Dollars are in millions. Data as of June 30, 2020.  Gross Loan Portfolio Composition by Purpose Type  11 
 
 Hospitality Loan Portfolio Detail as of 2Q 20  12  Blue collar portfolio that is better protected by the “cycle-down” effect of a recession. 18 properties have returned to original payment schedule with 4 additional properties on pace to return in August. 12 remaining properties will require additional COVID related payment relief.Experienced owner/operators with decades of history that spans multiple recessions. Our operators only need 45-55% occupancy to amortize debt. Average occupancy for the 22 properties on, or soon returning to, normal payments was 63% in June.Diversified exposure to many reputable brands.  Dollars are in millions. 
 
 13  Hospitality Loan Portfolio Detail as of 2Q 20  Equity advantage – Average loan per room is $45,000 vs. estimated replacement cost of $115,000 per room.Consistent underwriting fundamentals.  Concentrated in “Drive-To” markets with no exposure to “Gateway” cities.No exposure to towns or cities that are heavily dependent on the energy space.  Portfolio Metrics – 34 Operating Properties  Dollars are in millions except per room data. Data as of June 30, 2020. 
 
 14  Dollars are in millions. Data as of June 30, 2020.  Energy Loan Portfolio  Energy Portfolio as a % of Total Loans  The pandemic further exacerbated the stress in the energy markets during 2Q. Approximately 17% of outstanding energy loan balances received temporary payment relief.E&P borrowers were impacted by lower prices but continue to perform at a high level primarily due to hedging and minimal leverage.Midstream borrowers experienced significant declines in revenue opportunities and our view of the portfolio shifted to a belief that these loans now fall in the moderate and elevated risk segments.Mineral/Royalty borrowers experienced lower monthly revenues but operating with less leverage allows these borrowers to withstand temporary price declines with no payment modifications needed through 2Q.Most service company borrowers continue to be heavily impacted by reduced oilfield activity with 47% of the balances in this segment receiving some type of temporary payment relief.The energy segment was well into a decline that was further impacted by the pandemic resulting in a decline in oilfield activity, but we are comfortable with loan loss provision levels and the impacts of lower energy prices as incorporated in our enhanced stress testing. 
 
 Dollars are in millions  Energy Portfolio Potential Exposure  15 
 
 16  Development and Lot Exposure  Low exposure in the lot & land development category – total of lot & land development loans was $22.7 million, or 2.36% of total loans at the end of 2Q.Minimal raw land exposure – book balance of $502,189 or 0.60% of the total loan portfolio, and no additional commitments.  Dollars are in millions.  1 – 4 Family Construction as of 2Q 20    84% of exposure below $450,000  Homebuilder Loans  84% of 1-4 Family Construction loans are for low to moderate priced homes. 
 
 Deposit Composition  Historical Deposit Growth  Compound Annual Growth Rate = 13.4%  Deposit Composition as of June 30, 2020  84.9% of our loan customers also had a deposit relationship with us as of June 30, 2020.Core Deposits(1)Total organic core deposit growth YOY was $187.3M, or 30.4%.  Core deposits totaled $802.8 million as of June 30, 2020 compared to $615.4 million as of June 30, 2019.  Dollars are in millions.Financial data is as of or for the twelve months ended December 31 of each respective year and as of or for the six months ended June 30, 2020.(1) We define core deposits as deposits obtained directly from the depositor and exclude deposits obtained from listing services and brokered deposits that are obtained through an intermediary.  28.4%  26.3%  Commentary  17 
 
 Appendix  18 
 
 19  2019 Pro Forma Net Income Reconciliation   On September 5, 2019, our largest shareholders, the Haines Family Trusts, contributed approximately 6.5% of their shares (656,925 shares) to the Company.  Subsequently, the Company immediately issued those shares to certain executive officers, which was charged as compensation expense of $11.8 million, including payroll taxes, through the income statement of the Company. Additionally, at the discretion of the employees receiving shares to assist in paying tax withholdings, 149,425 shares were withheld and subsequently canceled, resulting in a charge to retained earnings of $2.6 million. 
 
 20  Bank7 Corp. Financials  Net income and earnings per share are tax-adjusted as if the Company were a C Corporation at the estimated tax rates for the respective periods. EPS calculation is based on diluted shares. Combined federal and state effective tax rates for the six months ended June 30, 2019 and 2020 were 25.0% and 24.9, respectively. Represents a non-GAAP financial measure. See non-GAAP reconciliations table for reconciliation to its more comparable GAAP measure. All pro forma amounts relate to the one-time, non-cash executive stock transfer which occurred in September 2019. These amounts remove the compensation expense and related tax impact from net income. See detail and reconciliation on slide 19 of this presentation. 
 
 21  Bank7 Corp. Financials  Return on average assets and shareholders’ equity are tax-adjusted as if the Company were a C Corporation at the estimated tax rates for the respective periods.Efficiency ratio is calculated by dividing noninterest expense by the sum of net interest income on a tax equivalent basis and noninterest income.   Represents a non-GAAP financial measure. See non-GAAP reconciliations table for reconciliation to its more comparable GAAP measure. Ratios are based on Bank level financial information rather than consolidated information. At June 30, 2020, Tier 1 leverage ratio, Tier 1 risk based capital ratio, and total risk-based capital ratios were 10.29%, 13.08%, and 14.33% respectively for the Company.All pro forma amounts relate to the one-time, non-cash executive stock transfer which occurred in September 2019. These amounts remove the compensation expense and related tax impact from net income. See detail and reconciliation on slide 19 of this presentation. 
 
 22  Non-GAAP Reconciliations 
 
 23  Important Presentation Information  The 2020 Dodd-Frank Act Annual Stress Test Results Disclosure (the “Stress Test Results”) included herein has not been prepared under accounting principles generally accepted in the United States of America (“GAAP”). The Stress Test Results present certain forward-looking projected financial measures for the Company under the hypothetical severely adverse economic and market scenario, and required assumptions described herein. The Stress Test Results are not forecasts of actual financial results for the Company. Investors in securities issued by the Company should not rely on the Stress Test Results as being indicative of expected future results or as a measure of the solvency or actual financial performance or condition of the Company. The stress testing of financial institutions conducted by the Board of Governors of the Federal Reserve System (“FRB”) is based on models and methodologies developed or employed by the FRB. The FRB does not disclose all details of its models and methodologies. Therefore, the Company may not be able to explain certain variances between the FRB’s projections and the Company’s Stress Test Results included herein.The Company’s financial information, prepared under GAAP, is available in reports filed with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2019.Amounts presented are rounded to the nearest significant digit, as indicated or stated. Immaterial differences arising from the effect of rounding are not adjusted.  
 
 24  Legal Information and Disclaimer  This presentation and oral statements made regarding the subject of this presentation contain forward-looking statements. These forward-looking statements are subject to significant uncertainties because they are based upon: the amount and timing of future changes in interest rates, market behavior, and other economic conditions; future laws, regulations, and accounting principles; changes in regulatory standards and examination policies, and a variety of other matters. These other matters include, among other things, the impact of COVID-19 on the United States economy and our operations, the direct and indirect effect of economic conditions on interest rates, credit quality, loan demand, liquidity, and monetary and supervisory policies of banking regulators. These forward-looking statements reflect Bank7 Corp.’s current views with respect to, among other things, future events and Bank7 Corp.’s financial performance. Any statements about Bank7 Corp.’s expectations, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance are not historical facts and may be forward-looking. These statements are often, but not always, made through the use of words or phrases such as “anticipate,” “believes,” “can,” “could,” “may,” “predicts,” “potential,” “should,” “will,” “estimate,” “plans,” “projects,” “continuing,” “ongoing,” “expects,” “intends” and similar words or phrases. Any or all of the forward-looking statements in (or conveyed orally regarding) this presentation may turn out to be inaccurate. The inclusion of or reference to forward-looking information in this presentation should not be regarded as a representation by Bank7 Corp. or any other person that the future plans, estimates or expectations contemplated by Bank7 Corp. will be achieved. Bank7 Corp. has based these forward-looking statements largely on its current expectations and projections about future events and financial trends that Bank7 Corp. believes may affect its financial condition, results of operations, business strategy and financial needs. Bank7 Corp.’s actual results could differ materially from those anticipated in such forward-looking statements as a result of risks, uncertainties and assumptions that are difficult to predict. If one or more events related to these or other risks or uncertainties materialize, or if Bank7 Corp.’s underlying assumptions prove to be incorrect, actual results may differ materially from what Bank7 Corp. anticipates. You are cautioned not to place undue reliance on forward-looking statements. Further, any forward-looking statement speaks only as of the date on which it is made and Bank7 Corp. undertakes no obligation to update or revise 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, except as may be required by law. All forward-looking statements herein are qualified by these cautionary statements. Within this presentation, we reference certain market, industry and demographic data, forecasts and other statistical information. We have obtained this data, forecasts and information from various independent, third party industry sources and publications. Nothing in the data, forecasts or information used or derived from third party sources should be construed as advice. Some data and other information are also based on our good faith estimates, which are derived from our review of industry publications and surveys and independent sources. We believe that these sources and estimates are reliable, but have not independently verified them. Statements as to our market position are based on market data currently available to us. Although we are not aware of any misstatements regarding the economic, employment, industry and other market data presented herein, these estimates involve inherent risks and uncertainties and are based on assumptions that are subject to change. This presentation includes certain non-GAAP financial measures, including pro forma net income, tax-adjusted net income, tax-adjusted earnings per share, tax-adjusted return on average assets and tax-adjusted return on average shareholders’ equity. These non-GAAP financial measures and any other non-GAAP financial measures that we discuss in this presentation should not be considered in isolation, and should be considered as additions to, and not substitutes for or superior to, measures of financial performance prepared in accordance with GAAP. There are a number of limitations related to the use of these non-GAAP financial measures versus their nearest GAAP equivalents. For example, other companies may calculate non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of Bank7 Corp.’s non-GAAP financial measures as tools for comparison. See the table on Slide 15 of this presentation for a reconciliation of the non-GAAP financial measures used in (or conveyed orally during) this presentation to their most directly comparable GAAP financial measures.