First Northwest Bancorp · NASDAQ:FNWB
First Northwest Bancorp — Q1 2026 Earnings Presentation
20 slides from First Northwest Bancorp's earnings presentation, May 2026
Slide 1: Investor Deck: First Quarter Earnings & Strategic Update
Investor Deck 2026 First Quarter Earnings & Strategic Update May 2026 © 2026 First Fed
Slide 2: Forward Looking Statement
Forward Looking Statement Certain matters discussed in this investor presentation may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to, among other things, expectations of the business environmen
Slide 3: Deeply Rooted Puget Sound Banking Franchise
Deeply Rooted Puget Sound Banking Franchise First Northwest at a Glance Established Presence in Our Legacy Markets 1 Deposit Market Number of Deposits in % of County Market $2.1B $1.6B $1.6B Rank Branches Market ($M) Franchise Share (%) Assets Loans Deposits Clallam 2 1 8 1,162 41.2% 70.6% Jefferson
Slide 4: Strategic Pillars: Transform Operations, Funding, and Growth
Strategic Pillars: Transform Operations, Funding, and Growth Process & Data Core Deposit Organic Loan Growth Efficiency Strategy Focus • Enterprise process • Grow relationship- • Relationship-driven mapping based deposits lending • Automation of key • Strengthen operating • Expand commercial workflo
Slide 5: Executing a Disciplined Transformation: 2026 Priorities
Executing a Disciplined Transformation: 2026 Priorities Deliberate actions underway to improve efficiency, reposition the balance sheet, and drive sustainable profitability • Reduce elevated expense base Cost & Efficiency • Renegotiate vendor contracts • Implement automation initiatives to improve b
Slide 6: First Quarter 2026 Highlights
First Quarter 2026 Highlights Net interest margin rose 3 bps LQ to 3.03% Cost of deposits dropped 8 bps LQ to 2.04% Recorded a $13,000 recapture provision for credit losses on loans compared to a provision of $466,000 in prior quarter NPAs decreased to 1.08% of assets from 1.14% LQ Gross loan balanc
Slide 7: First Quarter 2026 Results
First Quarter 2026 Results • Net income of $6,000 for the first quarter of 2026 EPS • Diluted EPS of $0.00 • Gross loans decreased by $1.3 million, or 0.08% Loans • Growth in specialty/Northpointe portfolio mostly offset by further declines in multifamily and residential mortgages • Customer deposit
Slide 8: First Quarter 2026 Results: Selected Financial Data
First Quarter 2026 Results Selected Financial Data ($ in thousands, except for per share data) Q1 2026 Q4 2025 Q3 2025 Q2 2025 Q1 2025 Q4 2024 Q3 2024 Q2 2024 Q1 2024 Net Interest Income $ 14,440 $ 14,690 $ 14,569 $ 14,193 $ 13,847 $ 14,137 $ 14,020 $ 14,234 $ 13,929 Provision for Credit Losses 77 5
Slide 9: Average Deposits & Recent NIM Trends
Average Deposits & Recent NIM Trends ($ in millions) NIM expansion over the past four quarters stemmed from lower deposit costs 9 © 2026 First Fed
Slide 10: Repricing Time Deposits Benefits Margin
Repricing Time Deposits Benefits Margin Based on current maturities within the portfolio and assuming no further interest rate adjustments in the Fed Funds Rate, there are $360.3 million of time deposits repricing in the next 9 months • $312.3 million of customer time deposits are repricing at an av
Slide 11: Loan Portfolio Composition
Loan Portfolio Composition Total Loans and Average Yield Loan Trends • Loan production was seasonally slower, as new fundings decreased to $16.5 million from $102.6 million in 4Q25 • Draws on existing loans totaled $22.7 million compared to $19.5 million in 4Q25 • Participation in the Northpointe Mo
Slide 12: Core Deposit Composition
Core Deposit Composition Total Deposits and Average Cost Deposit Trends • Total deposits were little changed at $1.60 billion • Customer deposits increased $24.9 million, or 1.6%, while brokered CDs continued to decline, with balances decreasing $22.4 million • The average cost of customer interest-
Slide 13: Credit Trends – Risk Ratings
Credit Trends – Risk Ratings Loans by Risk Rating Q1 2026 % of Q4 2025 % of Q3 2025 % of Q2 2025 % of Q1 2025 % of ($ in Millions) Balance Total Balance Total Balance Total Balance Total Balance Total Pass (Grades 1-3) $1,450.0 89% $1,454.0 89% $1,496.7 92% $1,555.3 93% $1,545.9 93% Watch (Grade 4)
Slide 14: Credit Trends – Allowance for Credit Losses
Credit Trends – Allowance for Credit Losses The reserve rate declined 1 basis point sequentially to 1.03% as of March 31, 2026. The Company recorded a $13,000 recapture of provision expense, reflecting a $256,000 decrease in the pooled loan reserve, partially offset by $151,000 in net charge-offs an
Slide 15: Classified Assets Trend Lower
Classified Assets Trend Lower Amortized Cost of Classified Assets ($ in Thousands) Q1 2026 Q4 2025 Q3 2025 Q2 2025 Q1 2025 CRE – Multifamily BI $ 12,781 $ 12,530 $ - $ - $ - CRE – Office 6,158 6,306 6,656 6,676 6,695 CRE – Condo 4,160 5,139 6,029 8,120 8,120 CRE – Gas Station 3,435 3,435 3,435 4,091
Slide 16: Credit Quality Classified Asset Summary
Credit Quality Classified Asset Summary Classified Assets Schedule as of March 31, 2026 ($ in Thousands) Amortized % Total Cost Assets Status • Rental real estate located on Bainbridge Island, WA CRE – Multifamily BI $ 12,781 0.60% • 38 unit multifamily property • Office Building in Fremont, WA CRE
Slide 17: Strong Capital and Liquidity Positions
Strong Capital and Liquidity Positions Capital and Liquidity Ratios Bank (1) 9.6% leverage capital 12.4% CET1 capital 13.5% total risk-based capital 8.4% TCE/TA Company 14.4% primary liquidity 38.0% total liquidity Cash & Borrowings Combined $804 million cash and available borrowings (
Slide 18: Bank Level Capital Ratios
Bank Level Capital Ratios Equity/Total Assets, Tangible CE/Tangible Assets 1 Leverage Ratio (as reported on FFIEC Form 051) Tier 1 Capital Ratio (as reported on FFIEC Form 051) Total RBC Ratio (as reported on FFIEC Form 051) 1 - Non-GAAP reconciliation provided at the end of this presentation 18 © 2
Slide 19: First Fed Executive Team
First Fed Executive Team Curt Queyrouze David Edelstein Jennifer Gribble President and CEO Chief Innovation Officer Chief People Officer Kyle Henderson Allison Mahaney Phyllis Nomura Chief Credit Officer Chief Legal Officer Chief Financial Officer 19 © 2026 First Fed
Slide 20: Non-GAAP Reconciliations
Non-GAAP Reconciliations Equity/Total Assets and Tangible CE/Tangible Assets Bank Equity/Total Assets and Tangible CE/Tangible Assets 2025 Q1 2025 Q2 2025 Q3 2025 Q4 2026 Q1 2025 Q1 2025 Q2 2025 Q3 2025 Q4 2026 Q1 (Dollars in thousands) (Dollars in thousands) Total shareholders' equity $ 146,491 $ 1
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