Northrim Bancorp Inc · NASDAQ:NRIM
Northrim Bancorp — Q4 2025 Earnings Presentation
24 slides from Northrim Bancorp's earnings presentation, 2026
Slide 1: Investor Presentation Fourth Quarter 2025
Investor Presentation Fourth Quarter 2025 Nasdaq: NRIM 1
Slide 2: Northrim Overview
Northrim Overview $3.3 billion community bank founded in 1990 to provide financial services to Alaskan residents and businesses • Superior customer first service • Strong balance sheet Fairbanks • Solid net interest margin; pricing reflects quality service Nome • Focus on asset quality • Diversified
Slide 3: 4th Quarter 2025 | Financial Highlights
4th Quarter 2025 | Financial Highlights1 Earnings & Profitability Q4-25 Q3-25 Q4-24 Earnings per Share $0.55 $1.20 $0.49 Net Income EPS Net Income (in Thousands) $12,441 $27,065 $10,927 $12.441 $0.55 million Tax Equivalent Net Interest Margin 4.75% 4.88% 4.47% ROAA 1.50% 3.32% 1.43% ROAE 15.16% 35.6
Slide 4: Shareholder Value and Capital
Credit Quality Shareholder – Non-Performing Value and Capital Assets (“NPAs”) Share Repurchase Activity Avg Repurchase Year # Shares Average Price Price / TBV 2019 1,390,704 $9.04 1.27x 2020 1,308,000 $7.63 0.99x 2021 1,117,104 $10.33 1.17x 2022 1,334,896 $10.61 1.18x * 2023 834,692 $10.84 1.16x 202
Slide 5: Regulatory Capital Ratios
Regulatory Capital Ratios 15.00% 12.50% 10.00% 7.50% 5.00% 2.50% a Northam BanGorp, nc, 7.68%! 10.67% 10.31% 13.86% 11.58% 9 10 10.63% 10.71% 10.639 10.269 9.76% 9.76% 9.80% 9.36% 9.37% 9.42% 8.66% 8.77% 2.02% 7.90% | | Q4'24 Qt '25 Q2'25 Q3'25 I Leverage Ratio CET1 Ratio i Tier 1 Ratio Ml Total RBC
Slide 6: Investment Opportunity
Investment Opportunity Unique Banking Environment Provides Opportunities to Gain Market Share • Northrim deposit market share has increased by 727 basis points since 2018 Alaska Banking Environment Drives Higher Yields on Loans and Lower Deposit Costs • Northrim loan yields averaged 5.82% over last
Slide 7: Capital Investment Drives Economic Growth - Partial List of Projects
Capital Investment Drives Economic Growth - Partial List of Projects • $6 billion in various federal infrastructure projects over the next 5 years • $250 million port of Nome • $170 million Lowell Creek flood diversion in Seward • $88 million Moose Creek dam in North Pole to protect Fairbanks • $46
Slide 8: Oil and Gas Development Drives Economic Growth
Oil and Gas Development Drives Economic Growth Future Oil Development Projects • Alaska North Slope oil production averaged 461,000 barrels per day (bpd) in 2024 • Santos and Repsol making $2.6 billion investment in Pikka Project (80k bpd, 768 million recoverable barrels, 2,600 construction jobs, 50
Slide 9: Alaska's Mining Sector Contributes Substantially to the State's Economy
Alaska's Mining Sector Contributes Substantially to the State's Economy • $1.8 billion spent on goods and services to support Alaska's mines, with $1.1 billion directly to Alaska businesses. • $145 million paid in local and state government revenues. • $240 million in royalty payments to Alaska Nati
Slide 10: Steady Loan Growth Supported by Increasing Market Share
Steady Loan Growth Supported by Increasing Market Share Portfolio Loans Outstanding ($2.30 billion) 1 Loan Composition (12/31/2025) YTD Portfolio Loan Yield: 6.99% 1After the reclassification of $100.4 million 1-4 family residential properties secured by first liens to loans held for sale in the fir
Slide 11: Diversified Loan Portfolio Limits Concentration Risk
Diversified Loan Portfolio Limits Concentration Risk • Legal lending limit was $50.4 million as of December 31, 2025 Special Industries as Percentage of • 8 relationships totaling $215.4 million in Total Portfolio Loans ($2.30 billion) portfolio loans have total direct and indirect commitments great
Slide 12: Commercial Real Estate Non-Owner Occupied Portfolio Details
Commercial Real Estate Non-Owner Occupied Portfolio Details CRE Non-owner Occupied Portfolio Metrics (12/31/2025) Average Loan Size $1.69 million Nonaccrual $0.00 million Special Mention $0.00 million / 0.00% of CRE Non-Owner Occupied Adversely Classified $9.74 million / 1.27% of CRE Non-Owner Occup
Slide 13: Deposit Franchise also Benefiting from Increasing Market Share
Deposit Franchise also Benefiting from Increasing Market Share Steady Market Share Growth Driving Deposits Deposit Composition (12/31/2025) YTD Cost IB Deposits: 1.99% 13
Slide 14: Deposit Concentrations
Deposit Concentrations Deposit Portfolio as of December 31, 2025: • 32 deposit customers with balances greater than $10 million totaling $707.8 million or 25% of total deposits. • Approximately 34,000 deposit customers with average balance of $62,000. • Uninsured deposits totaled $1.073 billion or 3
Slide 15: Net Interest Margin Driven by Asset Yields and Low Cost Liabilities
Net Interest Margin Driven by Asset Yields and Low Cost Liabilities • Three Fed rate cuts in the second half of 2025 impacting loan yields ◦ 18 bps decrease since Q3 2025 • Deposit franchise provides low cost financing ◦ 26% non-interest bearing deposits in Q4 2025 • Strong NIMTE supports profitabil
Slide 16: Credit Quality – Non-Performing Assets
Credit Solid Quality Credit – Non-Performing and a History Assets (“NPAs”) of Low Charge-Offs • Nonperforming loans have remained relatively low for past 5 years • Historically low charge-offs ◦ 0.01% Net Charge-offs / Loans 6-year average (2020-2025) • ACL / Nonperforming loans demonstrates a quali
Slide 17: Credit Quality – Special Mention and Adversely Classified Loans
CreditMention Special Quality and–Adversely Non-Performing Assets Classified Loans (“NPAs”) and Net Charge-Off History 1 1 Northrim believes it has a consistent lending approach throughout economic cycles, which emphasizes appropriate loan-to-value ratios, adequate debt coverage ratios, and competen
Slide 18: Operating Expenses Mitigated by Attractive Market Dynamics
Operating Expenses Mitigated by Attractive Market Dynamics • Alaskan operating expenses are higher than Higher Operating Expenses... mainland banks ◦ 1,300 miles from Nome to Ketchikan (1,400 miles from New York to Dallas) ◦ 6 branches only accessible by boat or plane • Alaskan loan yields are highe
Slide 19: Noninterest Income Supported by Multiple Business Lines
Noninterest Income Supported by Multiple Business Lines Business Line Description Operating Income 2025 ($77.2M) Home Mortgage Lending and • Includes mortgage servicing Residential Mortgage, LLC • Largest mortgage originator in AK 2024 2025 Q4-24 Q4-25 • Majority of loans serviced are Alaska Housing
Slide 20: Diversification has Enhanced Results Over the Long Term
Diversification has Enhanced Results Over the Long Term • Community Banking earnings have grown due to rising rates and successful expansion strategy • Mortgage Lending tends to be more cyclical, but has been a strong contributor over the longer term 20
Slide 21: Appendix
a Northrim BanCorp, Inc. Appendix
Slide 22: Financial Highlights
Financial Highlights1 Balance Sheet 2022 2023 2024 2025 2024 Q4 2025 Q4 Total Assets $2,674,318 $2,807,497 $3,041,869 $3,290,273 $3,041,869 $3,290,273 Portfolio Loans 1,501,785 1,789,497 2,129,263 2,295,499 2,129,263 2,295,499 Deposits 2,387,211 2,485,055 2,680,189 2,813,029 2,680,189 2,813,029 Shar
Slide 23: Non-GAAP Reconciliation
Non-GAAP Reconciliation (In thousands) 2022 2023 2024 2025 2024 Q4 2025 Q4 Shareholders' Equity $218,629 $234,718 $267,116 $326,544 $267,116 $326,544 Total Assets 2,672,041 2,807,497 3,041,869 3,290,273 3,041,869 3,290,273 Total Shareholders' Equity to Total Assets Ratio 8.18% 8.36% 8.78% 9.92% 8.78
Slide 24: Non-GAAP Reconciliation
Non-GAAP Reconciliation 2011 2012 2013 2014 2015 2016 Shareholders' Equity $125,435 $136,353 $144,318 $164,441 $177,214 $186,712 Divided by Common Shares Outstanding 25,867 26,047 26,151 27,417 27,509 27,592 Book Value per Share $4.85 $5.23 $5.52 $6.00 $6.44 $6.77 Shareholders' Equity $125,435 $136,