Live Oak Bancshares : LiveOakBancshares Q4 2022 Earnings Presentation

FOURTH QUARTER 2022

January 26, 2023

©2023 Live Oak Bancshares. All rights reserved.

FORWARD LOOKING STATEMENTS	2

Information in this presentation may contain "forward-looking statements" within the Private Securities Litigation Reform Act of 1995. These statements generally relate to our financial condition, results of operations, plans, objectives, future performance or business and usually can be identified by the use of forward-looking terminology such as "may," "will," "would," "should," "could," "expect," "anticipate," "estimate," "believe," "plan," "intend," "project," "goals," "outlook," or "continue," or the negative thereof or other variations thereof or comparable terminology. These statements represent our judgment concerning the future and are subject to business, economic and other risks and uncertainties, both known and unknown. These statements are based on current expectations, estimates and projections about our business, management's beliefs and assumptions made by management. These statements are not guarantees of our future performance and involve certain risks and uncertainties, which are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in the forward-looking statements. Please see the Appendix for more information about these risks, uncertainties and assumptions.

Given these risks, uncertainties and other factors, you should not place undue reliance on these forward-looking statements. Moreover, these forward-looking statements speak only as of the date they are made and based only on information actually known to us at the time. We undertake no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise. Except as otherwise disclosed, forward-looking statements do not reflect: (i) the effect of any acquisitions, divestitures or similar transactions that have not been previously disclosed; (ii) any changes in laws, regulations or regulatory interpretations; or (iii) any change in current dividend or repurchase strategies, in each case after the date as of which such statements are made.

Non-GAAP Measures

This document presents non-GAAP financial measures. The adjustments to reconcile from the non-GAAP financial measures to the applicable GAAP financial measure are included where applicable in financial results presented in accordance with GAAP. Tabular presentation of this reconciliation is included in the Appendix to this document. We consider these adjustments to be relevant to ongoing operating results. We believe that excluding the amounts associated with these adjustments to present the non- GAAP financial measures provides a meaningful base for period-to-period comparisons, which will assist regulators, investors, and analysts in analyzing our operating results or financial position. The non-GAAP financial measures are used by management to assess the performance of our business for presentations of our performance to investors, and for other reasons as may be requested by investors and analysts. We further believe that presenting the non-GAAP financial measures will permit investors and analysts to assess our performance on the same basis as that applied by management. Non-GAAP financial measures have inherent limitations, are not required to be uniformly applied, and are not audited. Although non-GAAP financial measures are frequently used by shareholders to evaluate a company, they have limitations as an analytical tool and should not be considered in isolation or as a substitute for analysis of results reported under GAAP.

Numbers may not foot due to rounding in this presentation.

©2023 Live Oak Bancshares. All rights reserved.

LIVE OAK BANCSHARES Q4 GAAP RESULTS	3

Live Oak Bancshares, Inc.

($ in millions, except per share data)

• Net Interest Income
  Provision for Loan and Lease Credit Losses

• Total Noninterest Income a + b Total Revenue
  Total Noninterest Expense Income before Taxes Net Income
  Diluted Earnings per Share

Total Assets

Total HFS and HFI Loans and Leases

Allowance for Credit Losses on Loans and Leases All Other Assets

Total Liabilities Total Deposits Borrowings Other Liabilities

Total Shareholders' Equity

Net Interest Margin

Effective Tax Rate

	Q4 2022		Q3 2022		Q2 2022		Q1 2022		Q4 2021
$	86	$	84	$	80	$	78	$	78
	20		14		5		2		4
	19		58		129		33		34
	105		142		208		110		111
	85		83		81		66		60
	1		44		122		43		48
	2		43		97		35		30
$	0.04	$	0.96	$	2.16	$	0.76	$	0.66
$	9,855	$	9,315	$	9,121	$	8,620	$	8,213
	7,899		7,391		7,060		6,767		6,638
	(97)		(78)		(66)		(63)		(64)
	2,053		2,002		2,127		1,916		1,639
	9,044		8,512		8,329		7,907		7,498
	8,885		8,405		8,156		7,637		7,112
	83		36		86		197		318
	76		72		87		73		68
	811		802		792		713		715
	3.76 %		3.84%		3.89%		4.02%		4.02%
	NM		3.4%		20.7%		19.6%		36.9%

	FY 2022		FY 2021
$	328	$	297
	41		15
	238		160
	565		457
	314		231
	210		211

176 167

$ 3.92 $ 3.71

3.87% 3.86%

16.2% 20.8%

©2023 Live Oak Bancshares. All rights reserved.

IS THE WORLD COMING TO AN END?	4

Source: Headlines from Oct. 18, 2022 and Oct. 19, 2022 articles in the Wall Street Journal and Fortune.

©2023 Live Oak Bancshares. All rights reserved.

REGRESSION TO THE NORM

Shaded area represents quarters impacted by COVID-19.

1. Loans and leases at historical cost only (excludes loans measured at fair value). ©2023 Live Oak Bancshares. All rights reserved.

5

1

1