Bankwell Financial Group, Inc. · NASDAQ:BWFG
Bankwell Financial — Q4 2025 Earnings Presentation
26 slides from Bankwell Financial's earnings presentation, Jan 29, 2026
Slide 1: Fourth Quarter 2025 BWFG Investor Presentation
Fourth Quarter 2025 BWFG Investor Presentation January 29, 2026
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: Fourth Quarter 2025 Highlights
Fourth Quarter 2025 Highlights 1.80% PPNR1 Return on Average Assets; + 10 bp growth to LQ; 1.11% Return on Average Assets, or 1.29%1 on an operating basis Non-interest income growth of $0.9 million to LQ driven by $2.2 million gains realized on SBA Loan sales $122 million net loan growth on $240 mil
Slide 4: Fourth Quarter Financial Summary
Fourth Quarter Financial Summary • Fully diluted EPS of $1.15, or $1.361 on an operating basis • Reported earnings include $1.5 million one-time adjustment to the income tax provision EPS associated with various states’ tax filings and changes in estimated tax positions as it relates to the Company’
Slide 5: Fourth Quarter 2025 Reported Results
Fourth Quarter 2025 Reported Results Bankwell Financial Group, Inc. ($ in millions, except per share data) Q4 2025 Q3 2025 Q2 2025 Q1 2025 Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4 2023 Net Interest Income $26.9 $ 26.0 $ 23.9 $ 22.1 $ 20.2 $ 20.7 $ 21.2 $ 21.1 $ 22.2 Provision (Credit) for Credit Losses 0.
Slide 6: Maintaining Our Strong Balance Sheet
Maintaining Our Strong Balance Sheet Dollars in millions 1.9X Liquidity Coverage $1,622 Unencumbered $164 Abundant Excess Liquidity Securities Unencumbered Cash $226 • $1,996 million total insured deposits includes: $833 ‒ $1,918 million FDIC-insured deposits ‒ $79 million deposits secured by FHLB L
Slide 7: Strong Loan Originations
Strong Loan Originations Dollars in millions New Originations Funding $758 • 2025 funded originations exceed the prior two years’ total originations $240 • December 31, 2025 ending loan balance of $2,840 up $134 million from year-end $328 2024, representing 5% growth $291 4Q $69 $152 $518 • Payoffs
Slide 8: Favorable Deposit Trends
Favorable Deposit Trends Dollars in millions Quarterly Averages Interest Bearing Deposits Low Cost Deposits $2,793 $2,817 $2,742 $2,724 $2,714 0.055 $2,700 $434 $499 $413 $458 $477 • Average low cost deposits grew 5% 0.05 $2,200 $2,329 $2,360 $2,318 sequentially and achieved 21% growth $2,266 $2,237
Slide 9: Deposit Pricing Performance
Deposit Pricing Performance Funding Cost & NIM Trends 3.34% 3.40% • 3.45% 4Q25 Total Deposit cost of 3.15% down 15 basis 3.10% points from prior quarter’s 3.30% 2.95% 2.81% NIM 2.60% • 2.45% The decrease in deposit costs was driven primarily by a 69 basis point favorable repricing of IB Deposit Cost
Slide 10: Balance Sheet Repricing
Balance Sheet Repricing Dollars in millions Time Deposit Maturities Deposits Maturity Maturity Current • In 2025, repriced ~$1.2 billion of time deposits 69 basis points Quarter Balance Rates Rates V 1Q26 $351 4.19% 3.78% -0.41% lower; annualized benefit of ~$8.2 million 2Q26 $400 4.11% 3.77% -0.34%
Slide 11: Expanding Loan Diversity
Expanding Loan Diversity Dollars in millions Loan Balances CRE Investor $2,840 CRE Owner Occupied $2,719 $2,706 $108 C&I $2,675 Construction $77 $87 $118 $154 480% 2,500 Residential / Other $155 $183 $174 CRE Concentration 460% 454% $647 $522 $501 $516 440% 2,000 $1,895 $89 425% $98 420% $697 $720 1
Slide 12: Credit Trends
Credit Trends Dollars in millions 4Q24 1Q25 2Q25 3Q25 4Q25 Risk Rating Balance % Balance % Balance % Balance % Balance % 1-5 “Pass” $2,557 94.5% $2,453 92.8% $2,523 94.5% $2,609 96.0% $2,711 95.5% 6 “Special Mention” $93 3.4% $163 6.2% $120 4.5% $90 3.3% $801 2.8% 7 “Substandard” $54 2.0% $27 1.0% $
Slide 13: Efficiency Gains Supported by Diversified Revenue Streams
Efficiency Gains Supported by Diversified Revenue Streams Quarterly Trends 20.00% Efficiency ratio 70.0% Noninterest Income / Total Revenue 18.00% 59.9% • Revenue growth outpacing expense 56.4% 60.0% 16.00% 56.1% 51.4% trends, generating positive operating 50.8% 14.00% 50.0% leverage 12.00% 11.4% 40
Slide 14: Questions?
Questions? <5 Bankwell 14
Slide 15: Appendix
Appendix Bankwell
Slide 16: Loan Portfolio Composition
Loan Portfolio Composition Dollars in millions Total Loan Portfolio = $2,840 million Other Commercial 2.6% Residential • Favorable long-term trends in Investor CRE: Const. 1.2% 5.4% CRE Investor CRE O/O + C&I C&I 22.8% 34.9% 45.5% 44.9% 45.8% CRE Investor 51.0% 39.8% CRE Owner 55.2% Occupied 45.8% 4
Slide 17: Favorable Loan Yield Growth
Favorable Loan Yield Growth Dollars in millions Loan portfolio yields increased 211 bps since 2021 December 2025 Yield2 by Vintage 81% of balances are 2021-2025 vintages 4,000 Loan Balance 7.00% 1 Portfolio Loan Yield 6.41% 5.45% 7.30% Pre 2021 3,500 5.99% 6.09% 6.00% 2025 5.56% 4.86% $2,840 3,000 2
Slide 18: CRE Loan Portfolio
CRE Loan Portfolio1 Dollars in millions By Property Type Industrial MultiFamily Warehouse Total CRE Portfolio = $1,931 million 14% Office 7% 8% • 59% Non-Owner Occupied Retail Mixed Use 15% 6% • 63% weighted average LTV2 Medical Office 4% Other • 73% of loan balances have recourse Residential 3% Car
Slide 19: Select CRE Sectors
Select CRE Sectors1 Dollars in millions CRE Office : $163 million exposure 6% of total loan portfolio • 44 loans with $3.7 million average balance • 63% located in Bankwell’s primary market Geography • Out of primary market loans are generally either GSA-leased, credit tenants, FL or owner-occupied
Slide 20: C&I Loan Portfolio
C&I Loan Portfolio1 Total C&I Portfolio = $645 million By Industry Type Manufacturing Admin & Support, Retail Trade 2% Arts, Entertainment & 2% Waste Mgmt, Recreation • 100% of C&I portfolio has recourse Remediation Svcs 2% 4% • 96% of Healthcare loans have recourse Other 8% − Primarily consists of
Slide 21: Combined Healthcare
Combined Healthcare Dollars in millions $1,001 million combined Healthcare portfolio CRE Skilled Nursing Facility By State • Consists primarily of skilled nursing facilities located across the US All Other 19% FL VA 32% 3% • Healthcare lending team has more than 15 years of industry NC experience 4%
Slide 22: Reduced Reliance on Brokered Deposits
Reduced Reliance on Brokered Deposits Reduced Reliance on Dollars in millions Brokered deposit balances decreased $146 million in 2025 Brokered Deposits $2,801 $468 million reduction from peak $2,788 $2,829 $3,000 $2,737 $559 $2,500 $705 $1,027 $952 $2,000 $1,500 $2,271 $2,083 $1,000 $1,774 $1,785 $
Slide 23: Reconciliation of non-GAAP Metrics
Reconciliation of non-GAAP Metrics Dollars in thousands As of Computation of Fully Diluted Tangible Book Value per December 31, September 30, June 30, March 31, December 31, Common Share 2025 2025 2025 2025 2024 Total shareholders' equity $ 301,489 $ 292,791 $ 283,290 $ 275,214 $ 270,520 Less: Prefe
Slide 24: Reconciliation of non-GAAP Metrics
Reconciliation of non-GAAP Metrics Dollars in thousands For the Quarter Ended December 31, September 30, June 30, March 31, December 31, Pre Provision Net Revenue (PPNR) 2025 2025 2025 2025 2024 Net interest income $ 26,946 $ 25,987 $ 23,936 $ 22,066 $ 20,199 Total noninterest income 3,376 2,495 2,0
Slide 25: Bankwell Financial Group
Bankwell Financial Group (Nasdaq: BWFG) $3.4B $2.8B Total Assets Loans $0.30B $2.8B Equity Deposits Deposits Loans 54.1% ~170 Total Year Employees All Other Efficiency Ratio Brokered 9% 22% C&I & Time > CREOO 1 $250k Core CRE Inv 51% 8.90% 10.23% 9% 40% 69% TCE Ratio Consolidated CET1 Ratio 1 Estima
Slide 26: BERBER Eee
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