Stock Yards Bancorp : 2023 Hovde Group Presentation

Stock Yards Bancorp

2023 Hovde Group Financial

Services Conference

November 1-3, 2023

Manalapan, FL

Cautionary Statement for Investors

This presentation contains forward-looking statements about future financial performance, business plans and strategies of Stock Yards Bancorp, Inc. Because forward- looking statements involve risks and uncertainties, actual results may differ materially from those expressed or implied. We caution investors not to place undue reliance on these forward-looking statements and advise them to carefully review the risk factors described in documents that the Company files with the Securities and Exchange Commission, including the Company's most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q.

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Company Profile

• Founded in 1904
• NASDAQ Global Select - SYBT
• Headquartered in Louisville, KY.
• 72 locations in Louisville, Central, Eastern, and Northern Kentucky as well as the Indianapolis, and Cincinnati MSAs
• $7.9 billion in assets at September 30, 2023
• $6.7 billion Wealth Management & Trust AUM at September 30, 2023

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Major Employers by Market

Louisville Market

Indianapolis Market

Cincinnati Market

Central Kentucky Market

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Over Three Decades of Growth

$100,000

$80,000

$60,000

$40,000

$20,000

$-

Compound Annual Growth 1990 - 2022	$92,972

• Net Income = 13%
• Earnings per share = 12%

	$2,005			$6,534				$15,650					$24,052				$25,801					$38,043
1990	1992	1994	1996		1998	2000	2002	2004	2006	2008	2010	2012	2014	2016	2018	2020	2022

Net income

000's omitted

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Three-year Financial Highlights

	2022*	2021**		2020
Net interest income	$ 233.4	$ 171.1	$	135.9
Wealth management and trust	36.1	27.6		23.4
income
Net income	93.0	74.6		58.9
Earnings per share (diluted)	3.21	2.97		2.59
Total assets	$ 7,496	$ 6,646	$	4,609
Net interest margin	3.35%	3.22%		3.39%
Return on average assets	1.25%	1.33%		1.40%
Return on average equity	12.6%	13.0%		14.0%

*Results for 2022 include $19.5 million in pre-tax merger related expenses and $4.4 million in merger related credit loss expense **Results for 2021 include $19.0 million in pre-tax merger related expenses and $7.4 million in merger related credit loss expense

Dollars in millions except per share data

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First Nine Months Highlights

	September 30,
	2023	2022	Change
Net interest income	$185.3	$168.1	10%
Net income	83.8	63.2	33%
Earnings per share (diluted)	2.86	2.20	30%
Net interest margin	3.44%	3.25%
Return on average assets	1.46%	1.14%
Return on average equity	14.1%	11.4%

Dollars in millions except per share data

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Net Interest Margin

	Q1	Q2	Q3	Q4	Q1	Q2	Q3
	2022	2022	2022	2022	2023	2023	2023
Net interest	3.11%	3.20%	3.46%	3.64%	3.59%	3.42%	3.34%
Margin
Average Loans*	$4,274	$4,798	$4,926	$5,076	$5,223	$5,278	$5,480
Net Interest	$48.9	$57.2	$62.6	$65.5	$63.2	$61.1	$61.4
Income
(dollars in millions)

* Excluding PPP loans

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Efficiency Ratio

Consistent investment in technology and branch network expansion

100.0%
70.0%	60.8%		57.4%	60.5%	56.1%		*	54.4%
							53.6%
57.4%	58.9%	56.6%			55.9%	54.1%	51.8%*
40.0%

Efficiency ratio

*An adjusted efficiency ratio is presented above for 2022 and 2021 in an effort to provide more comparable ratios for each period presented. These adjusted efficiency ratios eliminate net gains (losses) on sales, calls, and impairment of investment securities, as well as net gains (losses) on sales of acquired premises and equipment and disposition of any acquired assets, if applicable, and the fluctuation in non-interest expenses related to amortization of investments in tax credit partnerships and non-recurring merger expenses.

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Key Drivers for 2023 and Beyond

• Continued attraction and retention of talented people
• Commercial banking focus leading to full relationships
• Organic business model with sustainable growth in large mature markets complimented by acquisition
• Growing core deposit base
• Diverse and enviable non-interest income streams

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