Finward Bancorp · NASDAQ:FNWD
Finward Bancorp — Shareholder Meeting (May 2022)
23 slides from Finward Bancorp's shareholder meeting presentation, May 20, 2022
Slide 1: Annual Meeting Presentation 2022
>> FINWARD BANCORP Annual Meeting Presentation 2022 Friday, May 20, 2022
Slide 2: Finward Bancorp
Finward Bancorp > FINWARD BANCORP A NASDAQ Traded Company — Symbol FNWD BANCORP
Slide 3: Forward-Looking Statements
May 20, 2022 Forward-Looking Statements Forward-Looking Statements This presentation may contain forward-looking statements regarding the financial performance, business prospects, growth and operating strategies of Finward Bancorp (“FNWD"). For these statements, FNWD claims the protections of the s
Slide 4: Overview of Finward Bancorp
May 20, 2022 Overview of Finward Bancorp 112-year old bankheadquartered in Munster, Indiana Community bank with core competency in commercial lending, funded by & formidable, low-costcore deposit franchise Named a Best Bank to Work for in America for 2015-20202s well as aTop 200 Community Bank for 1
Slide 5: Investment Rationale
May 20, 2022 Investment Rationale 6.5% TBV + Dividend CAGR since year-end 2013 Emphasis on expanding both wealth management and business banking Supporting Strong Profitability Organic growth enhanced by strategic acquisitions expanding reach into markets that are very similar tothe legacy footprint
Slide 6: Corporate History
May 20, 2022 Corporate History PPP) 3% excl. aGR- 14.4% (a4. = 1 Total Organic Assets asset GiAcquired Assets! 1308 $1096 $865 sre a sad BL $1,496 $1,621 SL555 $693 S737 $808 sou $927 $950 ao) Management + Completed = BanBochnowski = Ben Bochnowski = ToddScheub = Completed = Completed = Announcedkey
Slide 7: Executive Management Team
May 20, 2022 Executive Management Team Years of Banking Year Started at Officer Experience Finward Bancorp __Position with Company Mints genecationslisedershie pent fy 2010 President & Chief Executive Officer Bochnowski team with decades of A combined experience working fj " Robert T. together iaay
Slide 8: Diverse Board of Directors
Diverse Board of Directors Year Joined Board Member Age Board David A. Bochnowski ee ‘ai Executive Chairman Year Joined Year Joined Board Member Age Board Board Member Age Board Benjamin J. Bochnowski President & CEO aL 2014 58 2008 Donald P. Fesko 49 2005 Robert. Johnson Ill 52 2016 Kenneth V. Krup
Slide 9: Disciplined and Experienced Acquiror
May 20, 2022 Disciplined and Experienced Acquiror First Federal Savings Liberty \ Fist & Loan Association Savings Bank, ond ‘AJS BANCORP oyal of Hammond FSB Bark basal Transaction Closed ! Closed ! Closed ! Closed ! Closed Date April 2014 ' July 2015, ' July 2018 1 sanuary2019-!sanuary 2022 1 1 1 1
Slide 10: Driving Service Excellence
May 20, 20 Driving Service Excellence 6 Transitioning from customers and features to relationships and solutions per * Focus on what clients need to thrive * Broaden product/service offerings = Reduce complexity * Reduce cycle time * Improve sales growth * Grow into new markets organically * Expand
Slide 11: Well-Balanced, Growing Loan Portfolio
May 20, 2022 Well-Balanced, Growing Loan Portfolio Historical Gross Loans ($ Millions) 1 Organic Loans 1mPFP Loans Acquired Loans" se0s $965 $967! $766 as ao a? 2013 2014 2015 2016 2017 2018 2019 2020 2021 a1'22 Yield on Loans (%)) 479% 5 4.85% H 4.35% 4.37% 437% 4.37% 461% 447% 4.19% 14.10% 2018 20
Slide 12: Conservative Approach to Credit
Conservative Approach to Credit ‘= Experienced bankingteam with deep knowledge of the Chicago area market empowered to be relationship bankers (not just lenders) Prudent risk identification and mitigation processes in place to proactively address risksin the loan portfolio Credit Philosophy "Compete
Slide 13: Stable and Growing Core Deposit Franchise
May 20, 2022 Stable and Growing Core Deposit Franchise Historical Total Deposits ($ Millions) Q1’22 Deposit Composition 1 Organic Deposits Acquired Deposts'") 1 Noninterest Bearing Checking + Interest Bearing Checking += Savings Money Market += Retail Time <$100K_ 1 Jumbo Time >$100K x, 2013 2014 20
Slide 14: Core Earnings Power
May 20, 2022 Core Earnings Power ‘+ Strongearnings continue to accrete to and build capital + Low cost fundingallows for utilizing the balance sheet efficiently = Successful execution of M&A strategy resulting in realized synergies more than accounting for one-timedeal-related costs + Future profita
Slide 15: Capital to Support Growth
May 20, 2022 Capital to Support Growth Capital Management = Regulatory capital levels in excess of well-capitalized requirements * TCE and regulatory capital ratios demonstrate a consistent ability to leverage capital * Have a capital plan in place that satisfies our internal goals 155% i MEK 35% 14
Slide 16: Recap of Franchise Highlights
Recap of Franchise Highlights Experienced and Invested Leadership = Dynamicteam with significant experience in Chicago area markets Interests aligned with shareholders through substantial ownership Meaningful Presence in Diverse, Dynamic Markets Benefiting from Chicago's demographics and Indiana's b
Slide 17: Thank You
THANK YOU 2D FINWARD BANCORP
Slide 18: Appendix
APPENDIX 2D FINWARD BANCORP
Slide 19: Historical Financial Summary
May 20, 2022 Historical Financial Summary Quarter Ended FiscalvearEnded December 34 March 34 S inthousands, except persharedata aT Be 2018 ECO co 2022 fiatsnce sheet & Capeal Total Asse 3927288 31,098,158 31,328,161 stase2e2 steno $2087 845 Lesne.Net 012723, 750.438 357.228 922885 3377 tazeaat Total
Slide 20: Non-GAAP Reconciliation
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Slide 21: Non-GAAP Reconciliation
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Slide 22: Non-GAAP Reconciliation
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Slide 23: Non-GAAP Reconciliation
May 20, 2022 Non-GAAP Reconciliation (6 npeussas D» FINWARD BANCORP