8-K - CWBC - Equibles

UNITED STATES<br>SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the<br>Securities Exchange Act of 1934

Date of Report: November 3, 2022

(Date of earliest event reported)

Central Valley Community Bancorp
(Exact name of registrant as specified in its charter)
CA<br><br>(State or other jurisdiction<br><br>of incorporation)	000-31977<br><br>(Commission File Number)	77-0539125<br><br>(IRS Employer<br><br>Identification Number)
7100 N. Financial Dr., Ste. 101, Fresno, CA<br><br>(Address of principal executive offices)		93720<br><br>(Zip Code)
559-298-1775<br><br>(Registrant’s telephone number, including area code)			Securities registered pursuant to Section 12(b) of the Act:
---	---	---
Common Stock, no par value	CVCY	NASDAQ
(Title of Each Class)	(Trading Symbol)	(Name of Each Exchange on which Registered)
Not Applicable<br><br>(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))

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

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 o

Item 7.01 Regulation FD Disclosure

On November 3, 2022, executive management of Central Valley Community Bancorp will meet electronically with investors at the 2022 Piper Sandler Community Bank Tour.

A copy of the information in the investor presentation is included as Exhibit 99.1 to this Current Report on Form 8-K and incorporated herein by reference.

The information in this Form 8-K filed on November 3, 2022 shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that Section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Securities Exchange Act of 1934, regardless of any general incorporation language in such filing

Item 9.01. Financial Statements and Exhibits

(a) Financial statements:

None

(b) Pro forma financial information:

None

(d) Exhibits

99.1 Investor Relations Presentation of Central Valley Community Bancorp November 2022

SIGNATURE

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.

| Dated: | November 3, 2022 | CENTRAL VALLEY COMMUNITY BANCORP By: /s/ Dawn. P. Crusinberry Dawn P. Crusinberry Executive Vice President and Chief Financial Officer (Principal Accounting Officer) | | --- | --- | --- || Exhibit Index | | | --- | --- | | Exhibit No. | Description | | 99.1 | Investor Relations Presentation of Central Valley Community Bancorp November 2022 |

cvcyirpresentationpipern

Investor Presentation Piper Sandler & Co. 2022 California Community Bank Tour November 3, 2022 James Kim Pres. & CEO Dawn Crusinberry EVP CFO

Forward‐Looking Statements 2 Certain matters discussed in this report constitute forward‐looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained herein that are not historical facts, such as statements regarding the Company’s current business strategy and the Company’s plans for future development and operations, are based upon current expectations. These statements are forward‐looking in nature and involve a number of risks and uncertainties. Such risks and uncertainties include, but are not limited to (1) significant increases in competitive pressure in the banking industry; (2) the impact of changes in interest rates; (3) a decline in economic conditions in the Central Valley and the Greater Sacramento Region; (4) the Company’s ability to continue its internal growth at historical rates; (5) the Company’s ability to maintain its net interest margin; (6) the decline in quality of the Company’s earning assets; (7) a decline in credit quality; (8) changes in the regulatory environment; (9) fluctuations in the real estate market; (10) changes in business conditions and inflation; (11) changes in securities markets (12) risks associated with acquisitions, relating to difficulty in integrating combined operations and related negative impact on earnings, and incurrence of substantial expenses; (13) political developments, uncertainties or instability, catastrophic events, acts of war or terrorism, or natural disasters, such as earthquakes, drought, pandemic diseases or extreme weather events, any of which may affect services we use or affect our customers, employees or third parties with which we conduct business; and (14) the rapidly changing uncertainties related to the Covid‐19 pandemic including, but not limited to, the potential adverse effect of the pandemic on the economy, our employees and customers, and our financial performance. Therefore, the information set forth in such forward‐looking statements should be carefully considered when evaluating the business prospects of the Company. When the Company uses in this presentation the words “anticipate,” “estimate,” “expect,” “project,” “intend,” “commit,” “believe,” and similar expressions, the Company intends to identify forward‐looking statements. Such statements are not guarantees of performance and are subject to certain risks, uncertainties and assumptions, including those described in this presentation. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated, expected, projected, intended, committed or believed. The future results and shareholder values of the Company may differ materially from those expressed in these forward‐looking statements. Many of the factors that will determine these results and values are beyond the Company’s ability to control or predict. For those statements, the Company claims the protection of the safe harbor for forward‐looking statements contained in the Private Securities Litigation Reform Act of 1995. Central Valley Community Bancorp will undertake no obligation to revise or publically release any revision or update to the forward looking statements to reflect events or circumstances that occur after the date on which statements were made.

Experienced Management Team 3 Executive Position Years at CVCY Years of Experience James J. Kim President & CEO 4 21 Dawn P. Crusinberry EVP, Chief Financial Officer 22 40 Patrick A. Luis EVP, Chief Credit Officer 2 37 Blaine Lauhon EVP, Chief Banking Officer 5 35 Ken Ramos EVP, Market Executive – South 3 33 Jeff Martin EVP, Market Executive – North 1 20 Teresa Gilio EVP, Chief Administrative Officer 13 40 Dawn Cagle EVP, Chief Human Resources Director 4 36

Overview 4 NASDAQ Symbol CVCY Market Capitalization $208 Million Institutional Ownership 46% Insider Ownership 16% Total Assets $2.43 Billion Headquarters Fresno, CA Number of Branches 20 Year Established 1980 Strategic Footprint Bakersfield to Sacramento 20 Branches in 9 Contiguous Counties As of September 30, 2022

Financial Highlights 5 2022 Q3 YTD 2021 2020 Total Assets $2.43 Billion $2.45 Billion $2.00 Billion Net Income $19.01 Million $28.40 Million $20.35 Million Diluted EPS $1.62 $2.32 $1.62 Net Interest Margin 3.42% 3.54% 3.87% ROAA 1.04% 1.25% 1.11% ROAE 12.98% 11.50% 8.85% Cash Dividends per share $0.36 $0.47 $0.44 Total Cost of Deposits 0.04% 0.05% 0.09% NPAs to Total Assets 0.01% 0.04% 0.16% Leverage Capital Ratio 8.26% 8.03% 9.28% Common Equity Tier 1 Ratio 11.56% 12.48% 14.10% Tier 1 Risk Based Capital Ratio 11.86% 12.82% 14.50% Total Risk Based Capital Ratio 14.54% 15.80% 15.58%

Attractive Investment Opportunity 6 As of September 30, 2022 Source: NASDAQ Monthly Closing Price Data 0 5 10 15 20 25 1/1/2015 1/1/2016 1/1/2017 1/1/2018 1/1/2019 1/1/2020 1/1/2021 1/1/2022 Pr ic e CVCY Stock Price Dividend Payout Ratio ‐ 22.2% Dividend Yield ‐ 2.71%

Growing Franchise 7 1,491,696 1,577,410 1,574,089 1,832,987 2,267,615 2,438,633 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 2017 2018 2019 2020 2021 2022 YTD Q3 Th ou sa nd s Average Total Assets

Strong Net Income and NIM 8 14,026 21,289 21,443 20,347 28,401 19,012 4.40 4.44 4.51 3.87 3.54 3.42 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 5.00 0 5,000 10,000 15,000 20,000 25,000 30,000 2017 2018 2019 2020 2021 2022 YTD Q3 Pe rc en t Th ou sa nd s Net Income Net Interest Margin

Solid Earnings 9 0.94 1.35 1.36 1.11 1.25 1.04 7.69 10.07 9.39 8.85 11.50 12.98 ‐ 2.00 4.00 6.00 8.00 10.00 12.00 14.00 ‐ 0.20 0.40 0.60 0.80 1.00 1.20 1.40 1.60 2017 2018 2019 2020 2021 2022 YTD Q3 RO AE P er ce nt RO AA P er ce nt ROAA / ROAE ROAA ROAE

Steady Deposit Growth and Lowest Cost of Funds 10 1,284,305 1,333,754 1,295,780 1,568,194 1,974,576 2,151,717 0.08 0.09 0.15 0.09 0.05 0.04 0.00 0.02 0.04 0.06 0.08 0.10 0.12 0.14 0.16 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 2017 2018 2019 2020 2021 2022 YTD Q3 Pe rc en t Th ou sa nd s Average Total Deposits Avg Deposits Cost of Funds

Attractive Deposit Mix 11 Non‐Interest Bearing 49% Now/Savings 27% Money Market 20% TCDs 4% As of September 30, 2022 Total Deposits = $2.14 Billion

Loan Totals and Yield 12 790,504 908,419 928,560 1,053,450 1,067,316 1,098,274 5.51 5.50 5.54 4.94 5.07 4.84 4.40 4.60 4.80 5.00 5.20 5.40 5.60 0 200,000 400,000 600,000 800,000 1,000,000 1,200,000 2017 2018 2019 2020 2021 2022 YTD Q3 Pe rc en t Th ou sa nd s Average Total Loans Total Loans Loan Yield

Well Diversified Loan Portfolio 13 Commercial & Industrial, 12% Agriculture Production & Land, 12% Owner Occupied Real Estate, 16% R/E Construction & Land, 8% Commercial Real Estate, 37% Other Real Estate, 2% Equity Loans and Lines, 10% Consumer & Installment, 3% As of September 30, 2022 Excludes Deferred Loan Fees Total Gross Loans = $1.23 Billion

Non Performing Assets 14 2,945 2,740 1,693 3,278 946 251 0.97 0.99 0.97 1.17 0.92 0.85 ‐ 0.20 0.40 0.60 0.80 1.00 1.20 1.40 0 500 1,000 1,500 2,000 2,500 3,000 3,500 2017 2018 2019 2020 2021 2022 YTD Q3 Pe rc en t Th ou sa nd s Non Performing Assets ALLL/Loans

Special Mention Loans 15 21,908 26,254 28,183 36,406 40,845 30,894 2.43 2.86 2.99 3.30 3.93 2.52 ‐ 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 ‐ 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 2017 2018 2019 2020 2021 2022 YTD Q3 Pe rc en t Th ou sa nd s Special Mention Loans SM Loans/Gross Loans

Substandard Loans 16 49,998 28,394 33,838 36,136 8,540 22,657 5.55 3.09 3.59 3.28 0.82 1.85 ‐ 1.00 2.00 3.00 4.00 5.00 6.00 ‐ 10,000 20,000 30,000 40,000 50,000 60,000 2017 2018 2019 2020 2021 2022 YTD Q3 Pe rc en t Th ou sa nd s Substandard Loans Sub Loans/Gross Loans

Investment Portfolio 17 US Treasury Securities 1% Private Label Mortgage & Asset Backed 42% Municipal Securities 38% Agency CMO, MBS & Other Securities 13% Corporate Debt 5% Equity Mutual Funds 1% As of September 30, 2022 Total = $973.8 Million Yield = 2.34% AFS Effective Duration 5.08

18 Investing in Relationships