Bankwell Financial Group, Inc. · NASDAQ:BWFG
Bankwell Financial — Q3 2025 Earnings Presentation
25 slides from Bankwell Financial's earnings presentation, Oct 23, 2025
Slide 1: Third Quarter 2025 BWFG Investor Presentation
October 23, 2025 Third Quarter 2025 BWFG Investor Presentation
Slide 2: Forward Looking Statement
Forward Looking Statement Important note regarding forward-looking statements: Statements made in this presentation which are not purely historical are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. This includes any statements regarding management’s
Slide 3: Third Quarter 2025 Highlights
Third Quarter 2025 Highlights 3 1.24% Return on Average Assets; +10 bp growth to LQ 1.70% PPNR1 Return on Average Assets; + 27 bp growth to LQ 0.56% NPAs / Total Assets ratio; NPA balance down 28% to LQ on collection of $5 million SBA-guaranteed balances & $2 million sale of non-performing loan Non-
Slide 4: Third Quarter Financial Summary
Third Quarter Financial Summary 4 EPS PPNR Loans Deposits Capital • Fully diluted EPS of $1.27, up 10% versus LQ; driven by improving net interest margin and increased non-interest income • PPNR1 of $13.9 million, or $1.77 per share, increased 21% LQ • Net interest income of $26.0 million benefitted
Slide 5: Third Quarter 2025 Results
Third Quarter 2025 Results 5 Bankwell Financial Group, Inc. ($ in millions, except per share data) Q3 2025 Q2 2025 Q1 2025 Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4 2023 Q3 2023 Net Interest Income $ 26.0 $ 23.9 $ 22.1 $ 20.2 $ 20.7 $ 21.2 $ 21.1 $ 22.2 $ 22.7 Provision (Credit) for Credit Losses 0.4 (0.4)
Slide 6: Maintaining Our Strong Balance Sheet
Maintaining Our Strong Balance Sheet 6 Unencumbered Securities Unencumbered Cash Borrowing Capacity1 1 Bank lines, including FHLB & FRB 2 Estimates, pending FRY9C & FDIC call report filings • $2,053 million total insured deposits includes: ‒ $1,975 million FDIC-insured deposits ‒ $78 million deposit
Slide 7: Strong Loan Originations
Strong Loan Originations 7 • Funded originations through the third quarter 2025 exceed the prior two years’ total originations • September 30th , 2025 ending loan balance of $2,718 up $12 million from year-end 2024 • Payoffs remained elevated in the third quarter and are projected to be elevated thr
Slide 8: Favorable Deposit Trends
$2,268 $2,329 $2,360 $2,266 $2,237 $400 $413 $434 $458 $477 $2,668 $2,742 $2,793 $2,724 $2,714 2.00% 2.50% 3.00% 3.50% 4.00% 4.50% 5.00% 5.50% $200 $700 $1,200 $1,700 $2,200 $2,700 3Q24 4Q24 1Q25 2Q25 3Q25 Quarterly Averages Interest Bearing Deposits Low Cost Deposits • Average low cost deposits gre
Slide 9: Deposit Pricing Performance
Deposit Pricing Performance Recent Deposit Betas NIM Total Deposit Cost IB Deposit Cost Funding Cost & NIM Trends 4.30% 4.21% 4.08% 3.90% 3.84%3.81% 3.72% 3.60% 3.40% 3.30% 2.72% 2.60% 2.81% 3.10% 3.34% -0.10% 0.40% 0.90% 1.40% 1.90% 2.40% 2.90% 3.40% 3Q24 4Q24 1Q25 2Q25 3Q25 9 73% 49% 65% 55% Risin
Slide 10: Balance Sheet Repricing
Balance Sheet Repricing 10 Maturity Quarter Balance Maturity Rate Current Rate V 4Q25 $333 4.20% 3.96% -0.24% 1Q26 $352 4.19% 3.93% -0.26% 2Q26 $342 4.16% 3.84% -0.32% 3Q26 $224 4.16% 3.89% -0.27% Total $1,250 4.18% 3.91% -0.27% Dollars in millions Time Deposit Maturities Deposits • Year-to-date, re
Slide 11: Managing CRE Concentration Lower
Managing CRE Concentration Lower Dollars in millions 11 $1,046 $1,224 $1,228 $1,175 $1,123 $310 $697 $720 $724 $775$351 $522 $501 $516 $554 $98 $155 $183 $174 $171 $89 $77 $87 $118 $96 $1,895 $2,675 $2,719 $2,706 $2,718 454% 425% 397% 375% 344% 300% 320% 340% 360% 380% 400% 420% 440% 460% 480% - 500
Slide 12: Allowance for Credit Losses and Credit Quality
$27.8 $29.0 $29.5 $29.3 $30.0 1.06% 1.07% 1.11% 1.10% 1.10% 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% $10 $15 $20 $25 $30 3Q24 4Q24 1Q25 2Q25 3Q25 Allowance for Credit Losses (ACL) Allowance for credit losses ACL / Loans Dollars in millions $14.8 $3.0 $0.1 ($0.1) ($0.3) 3Q24 4Q24 1Q25 2Q25 3Q25 Net Charge
Slide 13: Non-Performing Asset Update
Loan Segment Balance % Total Assets Commentary Loan 1 CRE – Retail $8.7 0.27% • Suburban retail loan in Westchester County, NY modified during COVID • $4.5 million charged off, life-to-date Loan 2 CRE – Office $5.4 0.17% • Class A suburban NJ office park • Bankwell 17% participant in $84 million mul
Slide 14: Efficiency Gains Supported by Diversified Revenue Streams
Efficiency Gains Supported by Diversified Revenue Streams 14 58.8% 56.4% 59.9% 56.1% 51.4% 5.29% 4.56% 6.38% 7.76% 8.76% 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 14.00% 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 3Q24 4Q24 1Q25 2Q25 3Q25 Quarterly Trends Efficiency ratio Fee Income / Total Rev
Slide 15: Questions?
Questions? <> Bankwell 15
Slide 16: Appendix
Appendix 16
Slide 17: Total Loan Portfolio
Total Loan Portfolio = $2,718 million • Favorable long-term trends in Investor CRE: Residential 1.2% C&I 20.4% CRE Owner Occupied 28.5% CRE Investor 41.3% Commercial Const. 6.3% Other 2.3% 55.2% 45.8% 45.2% 43.4% 41.3% 34.9% 45.5% 44.9% 45.8% 48.9% 4Q21 4Q22 4Q23 4Q24 3Q25 Loan Portfolio Composition
Slide 18: Favorable Loan Yield Growth
Favorable Loan Yield Growth Loan portfolio yields increased 224 bps since 2021 1 September 2025 Yield2 by Vintage 1 Weighted average yield based on active loans as of each date, an “exit" rate 2 Weighted average yield based on active loans as of 9-30-2025, an “exit" rate 79% of balances are 2021-202
Slide 19: CRE Loan Portfolio
CRE Loan Portfolio1 Total CRE Portfolio = $1,898 million By Property Type • 59% Non-Owner Occupied • 62% weighted average LTV2 • 72% of loan balances have recourse Property Type Investor Owner Occupied Total Residential Care $30 $241 $271 Retail $84 $3 $87 Office $74 $13 $87 Multifamily $58 -- $58 A
Slide 20: Select CRE Sectors
CT - Fairfield County $38.5 CT - All Other $3.5 NY - Westchester County $10.1 NY - Brooklyn $3.0 NJ $29.1 TX $28.2 MS $17.5 GA $12.5 FL $2.2 Select CRE Sectors1 1Includes Owner Occupied CRE CRE Office : $144 million exposure 5% of total loan portfolio Geography• 43 loans with $3.4 million average ba
Slide 21: C&I Loan Portfolio
• 100% of C&I portfolio has recourse • 95% of Healthcare loans have recourse − Primarily consists of working capital lines secured by government accounts receivable • Insurance lending primarily to brokers of home and auto insurance 1 Does not Include Owner Occupied CRE C&I Loan Portfolio1 By Indust
Slide 22: Combined Healthcare Portfolio
$922 million combined Healthcare portfolio • Consists primarily of skilled nursing facilities located across the US • Healthcare lending team has more than 15 years of industry experience • High touch service model attracts desirable ultra-high net worth Healthcare borrowers • 100% of Skilled Nursin
Slide 23: Reduced Reliance on Brokered Deposits
$1,774 $1,785 $2,083 $2,149 $1,027 $952 $705 $609 4Q22 4Q23 4Q24 3Q25 Non-Brokered Brokered Reduced Reliance on Brokered Deposits Reduced Reliance on Brokered Deposits Dollars in millions Brokered deposit balances decreased $96 million YTD $418 million reduction from peak $2,801 $2,737 $2,788 $2,757
Slide 24: Bankwell Financial Group at a Glance
Bankwell Financial Group (Nasdaq: BWFG) 24 $3.2B Total Assets $2.7B Loans $0.29B Equity $2.8B Deposits 1.80% Non-interest Exp / Assets ~165 Employees 8.95% TCE Ratio 10.39% Consolidated CET1 Ratio C&I & CREOO 49% CRE Inv 41% All Other 10% Loans Core 69% Time > $250k 9% Brokered 22% Deposits 1 1 Esti
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