Western New England Bancorp, Inc. · NASDAQ:WNEB
Western New England Bancorp — Q3 2026 Earnings Presentation
39 slides from Western New England Bancorp's earnings presentation, Oct 27, 2026
Slide 1: Investor Presentation 3rd Quarter 2026
Local banking is better than ever. INVESTOR PRESENTATION 3RD QUARTER 2026
Slide 2: Forward-Looking Statements
FORWARD - LOOKING STATEMENTS 2 This Investor Presentation contains “forward - looking statements” within the meaning of Section 27 A of the Securities Act of 1933 , as amended, and Section 21 E of the Securities Exchange Act of 1934 , as amended, with respect to the Company’s financial condition, li
Slide 3: Forward-Looking Statements
FORWARD - LOOKING STATEMENTS 3 the risk that we may not be successful in the implementation of our business strategy ; severe weather, natural disasters, pandemics, acts of war or terrorism and other external events which could significantly impact our business ; declines in real estate values
Slide 4: Who We Are
WHO WE ARE Every day, we focus on showing Westfield Bank customers “ what better banking is all about . ” For us, the idea of better banking starts with putting customers first, while adhering to our core values . Our Core Values : • Integrity • Enhance Shareholder Value • Customer Focus • Community
Slide 5: Senior Management Team
SENIOR MANAGEMENT TEAM James C . Hagan, President & Chief Executive Officer Guida R . Sajdak, Executive Vice President, Chief Financial Officer & Treasurer Allen J . Miles III, Executive Vice President & Chief Lending Officer Kevin C . O’Connor, Executive Vice President & Chief Operating Officer Joh
Slide 6: 3Q2026 Quarterly Earnings
3Q2026 QUARTERLY EARNINGS 6 3Q2025 4Q2025 1Q2026 (2) 2Q2026 3Q2026 (1) ($ in thousands, except EPS) $ 18,092 $ 18,829 $ 18,825 $ 19,321 $ 19,994 Net interest income 1,293 (485) 75 1,557 (971) (Reversal of) provision for credit losses 3,173 3,173 3,433 3,394 3,906 Non - interest income 15,778 15,870
Slide 7: Net Interest Income and Net Interest Margin
NET INTEREST INCOME AND NET INTEREST MARGIN 7 $18.1 $18.8 $18.8 $19.3 $20.0 2.81% 2.89% 2.95% 3.00% 3.07% 2.75% 2.80% 2.85% 2.90% 2.95% 3.00% 3.05% 3.10% $14.0 $16.0 $18.0 $20.0 $22.0 $24.0 Net interest income ($) Net interest margin (%) ($ in millions) (1) See slides 36 - 38 for the related net int
Slide 8: Total Loans
TOTAL LOANS 8 Residential Real Estate 35% Home Equity Lines and Loans 7% CRE - Owner Occupied 40% CRE - Non - Owner Occupied 8% C&I 10% Consumer 0% Total Loans $2.2 Billion HIGHLIGHTS • Total loans increased $ 11 . 1 million, or 0 . 5 % , from $ 2 . 2 billion, or 79 . 7 % of total assets, at Decembe
Slide 9: Total Loans
TOTAL LOANS 9 $2,112 $2,167 $2,187 $2,190 $2,192 5.04% 5.06% 5.11% 5.14% 5.18% 4.90% 4.95% 5.00% 5.05% 5.10% 5.15% 5.20% 5.25% 3Q2025 4Q2025 1Q2026 2Q2026 3Q2026 $2,075 $2,100 $2,125 $2,150 $2,175 $2,200 AVERAGE LOANS OUTSTANDING ($ in millions) Average Loans Outstanding Average Loan Yield, Tax-Equi
Slide 10: Commercial and Industrial Loans
COMMERCIAL AND INDUSTRIAL LOANS 10 $219 $222 $228 $234 $217 3Q2025 4Q2025 1Q2026 2Q2026 3Q2026 $205 $210 $215 $220 $225 $230 $235 $240 Total C&I loans decreased $ 4 . 9 million, or 2 . 2 % , from $ 221 . 8 million, or 10 . 2 % of total loans, at December 31 , 2025 to $ 216 . 9 million, or 9 . 9 % of
Slide 11: Commercial & Industrial Portfolio
COMMERCIAL & INDUSTRIAL PORTFOLIO (1) 11 (1) % of total loans as of September 30, 2026. Other , 2.3% Manufacturing , 2.4% Merchant Wholesalers , 1.8% Educational Services , 0.9% Construction, Sand and Gravel Mining , 0.7% Specialty Trade Contractors , 0.5% Healthcare , 0.5% Auto Sales/Service , 0.3%
Slide 12: Commercial Real Estate Loans
COMMERCIAL REAL ESTATE LOANS 12 $194 $189 $183 $182 $179 $884 $910 $918 $883 $879 3Q2025 4Q2025 1Q2026 2Q2026 3Q2026 $- $200 $400 $600 $800 $1,000 $1,200 Owner Non-Owner At September 30 , 2026 , total CRE loans decreased $ 40 . 6 million, or 3 . 7 % , to $ 1 . 1 billion from December 31 , 2025 . Non
Slide 13: Commercial Real Estate Loans (CRE) – September 30, 2026
COMMERCIAL REAL ESTATE LOANS (CRE) – SEPTEMBER 30, 2026 13 (1) The total RBC ratio is based on Westfield Bank’s capital. Due to loan classifications, the percentage of total RBC may d iff er from the Call Report. At September 30 , 2026 , the commercial real estate portfolio totaled $ 1 . 1 billion a
Slide 14: CRE Concentration
CRE CONCENTRATION 14 (1) The total RBC ratio is based on Westfield Bank’s capital. Due to loan classifications, the percentage of total RBC may differ fr om the Call Report. $884 $910 $918 $883 $879 322% 329% 330% 318% 314% 290% 300% 310% 320% 330% 340% 350% $850 $860 $870 $880 $890 $900 $910 $920 $
Slide 15: Commercial Real Estate – Non-Owner Occupied
COMMERCIAL REAL ESTATE – NON - OWNER OCCUPIED – SEPTEMBER 30, 2026 15 At September 30 , 2026 , the non - owner occupied CRE portfolio totaled $ 879 . 2 million, or 314 . 1 % of total RBC . Of the $ 879 . 2 million, $ 473 . 4 million, or 53 . 8 % of non - owner occupied CRE, was concentrated in Massa
Slide 16: Commercial Real Estate – Office Buildings
COMMERCIAL REAL ESTATE – OFFICE BUILDINGS – SEPTEMBER 30, 2026 16 (1) The total RBC ratio is based on Westfield Bank’s capital and due to loan classifications, the percentage of total RBC may dif fer from the Call Report. % of Total RBC (1) % of Office Portfolio Total Owner Occupied Non - Owner Occu
Slide 17: Residential Real Estate Loans
RESIDENTIAL REAL ESTATE LOANS 17 $828 $857 $866 $889 $914 3Q2025 4Q2025 1Q2026 2Q2026 3Q2026 $780 $800 $820 $840 $860 $880 $900 $920 $940 At September 30 , 2026 , residential real estate loans, including home equity loans, increased $ 57 . 3 million, or 6 . 7 % , from $ 856 . 9 million, or 39 . 3 %
Slide 18: Investment Portfolio
INVESTMENT PORTFOLIO 18 The held - to - maturity (“HTM”) and available - for - sale (“AFS”) securities portfolio totaled $ 338 . 8 million and represented 12 . 4 % of total assets at September 30 , 2026 and $ 364 . 6 million, or 13 . 3 % of total assets, at December 31 , 2025 . The HTM unrealized lo
Slide 19: Total Deposits - September 30, 2026
TOTAL DEPOSITS - SEPTEMBER 30, 2026 19 Time Deposits 30% Money Market 31% Demand (Non - interest - bearing) 25% Savings 8% Interest - bearing checking 6% Total Deposits $2.4 Billion HIGHLIGHTS • Average cost of total deposits decreased one basis point from 1 . 74 % for the three months ended June 30
Slide 20: Total Deposits
TOTAL DEPOSITS 20 $1,657 $1,671 $1,672 $1,666 $1,696 3Q2025 4Q2025 1Q2026 2Q2026 3Q2026 $1,630 $1,640 $1,650 $1,660 $1,670 $1,680 $1,690 $1,700 PERIOD - END CORE DEPOSITS Total deposits of $ 2 . 4 billion increased $ 67 . 2 million, or 2 . 8 % , from December 31 , 2025 to $ 2 . 4 billion at Septembe
Slide 21: Average Total Deposits
AVERAGE TOTAL DEPOSITS 21 $1,744 $1,761 $1,759 $1,792 $1,804 $582 $596 $589 $593 $608 1.77% 1.73% 1.72% 1.74% 1.73% 0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 1.20% 1.40% 1.60% 1.80% 2.00% 3Q2025 4Q2025 1Q2026 2Q2026 3Q2026 $500 $700 $900 $1,100 $1,300 $1,500 $1,700 $1,900 $2,100 $2,300 $2,500 AVERAGE DEPO
Slide 22: Average Core and Time Deposits
AVERAGE CORE AND TIME DEPOSITS 22 $1,633 $1,671 $1,656 $1,663 $1,678 1.04% 1.02% 1.02% 1.03% 1.01% 1.00% 1.00% 1.01% 1.01% 1.02% 1.02% 1.03% 1.03% 1.04% 1.04% 1.05% $1,500 $1,520 $1,540 $1,560 $1,580 $1,600 $1,620 $1,640 $1,660 $1,680 $1,700 AVERAGE CORE DEPOSITS AND RATES ($ in millions) During the
Slide 23: Loan-to-Deposit Ratio
LOAN - TO - DEPOSIT RATIO 23 90.7% 92.5% 92.4% 91.4% 90.4% 89% 90% 90% 91% 91% 92% 92% 93% 93% Loan to Deposit Ratio 71% 71% 70% 69% 70% 30% 29% 30% 31% 30% 25% 25% 25% 25% 25% 3Q2025 4Q2025 1Q2026 2Q2026 3Q2026 0% 20% 40% 60% 80% Deposits as a Percent of Total Deposits Demand deposits as a percent
Slide 24: Wholesale Funding
WHOLESALE FUNDING 24 $121 $106 $117 $63 $51 5.03% 4.96% 4.75% 5.15% 5.86% 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 3Q2025 4Q2025 1Q2026 2Q2026 3Q2026 $25 $45 $65 $85 $105 $125 $145 $165 WHOLESALE FUNDING ( Includes $20 million in Subordinated Debt) ($ in millions) Wholesale Funding Average Co
Slide 25: Liquidity Position
25 The Company’s liquidity position remains strong with solid core deposit relationships, cash, unencumbered securities and access to diversified borrowing sources . At September 30 , 2026 , the Company had available borrowing capacity with the FHLB of $ 615 . 6 million, including its overnight Idea
Slide 26: Deposit Market Share in Hampden County, MA
________ Source: SNL Financial as of June 30, 2026. Note: Total number of Westfield Bank branches shown includes the Big E seasonal branch and online deposit channel. Three Westfield branches are located in Hampshire County, MA and four Westfield branches are located in Hartford County, CT outside o
Slide 27: Asset Quality Indicators
ASSET QUALITY INDICATORS 27 3Q2026 2Q2026 1Q2026 4Q2025 3Q2025 ($ in thousands) $9,098 $4,658 $3,157 $3,145 $4,548 Total delinquent loans 0.41% 0.21% 0.14% 0.14% 0.21% Delinquent loans as a % of total loans $7,904 $7,759 $4,681 $5,162 $5,649 Nonaccrual loans 0.36% 0.35% 0.21% 0.24% 0.27% Nonaccrual
Slide 28: Asset Quality Indicators
ASSET QUALITY INDICATORS 28 % of Loan Segment Total Past Due Greater Than 90 Days Past Due 60 – 89 Days Past Due 30 – 59 Days Past Due September 30, 2026 ($ in thousands) Commercial Real Estate Loans: 0.20% $ 1,720 $ - $ 505 $ 1,215 Non - Owner 0.20% 360 - 261 99 Owner 0.20% 2,080 - 766 1,314 Total
Slide 29: Asset Quality Indicators
ASSET QUALITY INDICATORS 29 3Q2026 2Q2026 1Q2026 4Q2025 3Q2025 ($ in thousands) 0.89% 0.92% 0.93% 0.93% 0.96% Allowance for credit losses % of total loans 248.4% 260.2% 437% 393% 364% Allowance for credit losses % of nonaccrual loans ($274) $1,789 $55 $41 $43 Net charge - offs/(recoveries) (0.05%) 0
Slide 30: Allowance for Credit Losses (ACL)
ALLOWANCE FOR CREDIT LOSSES (“ACL”) 30 Management continues to remain attentive to any signs of deterioration in borrowers’ financial conditions and is proactive in taking the appropriate steps to mitigate risk . The allowance for credit losses as a percentage of total loans was 0 . 89 % at Septembe
Slide 31: Asset Quality
ASSET QUALITY 31 3Q2026 2Q2026 1Q2026 4Q2025 3Q2025 $28.0 $40.3 $37.6 $17.2 $13.0 Special Mention 1.3% 1.8% 1.7% 0.8% 0.6% % of Total Loans $29.7 $23.6 $21.1 $22.5 $27.0 Substandard 1.4% 1.1% 1.0% 1.0% 1.3% % of Total Loans $57.7 $63.9 $58.7 $39.7 $40.0 Total Criticized Loans 2.6% 2.9% 2.7% 1.8% 1.9
Slide 32: Asset Quality
ASSET QUALITY 32 At September 30 , 2026 , special mention loans totaled $ 28 . 0 million, or 1 . 3 % of total loans . Of the loans designated special mention, $ 15 . 6 million, or 55 . 7 % are commercial and industrial loans and $ 12 . 4 million, or 44 . 3 % are commercial real estate loans . At Sep
Slide 33: Capital Management
CAPITAL MANAGEMENT 33 We are well - capitalized with excess capital. December 31, 2025 September 30, 2026 Consolidated 9.13% 9.27% Tier 1 Leverage Ratio (to Adjusted Average Assets) 12.21% 12.31% Common Equity Tier 1 Capital (to Risk Weighted Assets) 12.21% 12.31% Tier 1 Capital (to Risk Weighted As
Slide 34: Capital Return to Shareholders
CAPITAL RETURN TO SHAREHOLDERS 34 # of Shares Year 720,975 2022 649,744 2023 934,282 2024 599,853 2025 186,000 1Q - 2026 195,000 2Q - 2026 215,000 3Q - 2026 Annual Dividends per Share Year $0.24 2022 $0.28 2023 $0.28 2024 $0.28 2025 $0.07 1Q - 2026 $0.07 2Q - 2026 $0.07 3Q - 2026 SHARE REPURCHASES D
Slide 35: Capital Management
CAPITAL MANAGEMENT 35 $11.89 $12.16 $12.26 $12.39 $12.34 $11.22 $11.49 $11.59 $11.72 $11.67 BOOK VALUE PER SHARE TANGIBLE BOOK VALUE PER SHARE (non - GAAP) (1) Book Value Tangible Book Value (non-GAAP) The Company’s book value per share was $12.34 at September 30, 2026, compared to $12.16 at Decembe
Slide 36: Appendix: Non-GAAP to GAAP Reconciliation
APPENDIX: NON - GAAP TO GAAP RECONCILIATION 36 Reconciliation of Non - GAAP to GAAP Financial Measures The Company believes that certain non - GAAP financial measures provide information to investors that is useful in understanding i ts results of operations and financial condition. Because not all
Slide 37: Appendix: Non-GAAP to GAAP Reconciliation
APPENDIX: NON - GAAP TO GAAP RECONCILIATION 37 9/30/2026 6/30/2026 3/31/2026 12/31/2025 9/30/2025 Net interest income (no tax adjustment) 19,994$ 19,321$ 18,825$ 18,829$ 18,092$ Tax equivalent adjustment 118 124 119 125 120 Net interest income (tax-equivalent basis) 20,112$ 19,445$ 18,944$ 18,954$ 1
Slide 38: Appendix: Non-GAAP to GAAP Reconciliation
APPENDIX: NON - GAAP TO GAAP RECONCILIATION 38 9/30/2026 6/30/2026 3/31/2026 12/31/2025 9/30/2025 Total Bank Equity (GAAP) 249,918$ 253,495$ 253,406$ 252,553$ 248,575$ Non-GAAP adjustments: Goodwill (12,487) (12,487) (12,487) (12,487) (12,487) Core deposit intangible, net of associated (562) (629) (
Slide 39: Westfield Bank – Contact
WESTFIELD BANK “WHAT BETTER BANKING’S ALL ABOUT” James C. Hagan , President and Chief Executive Officer Guida R. Sajdak , Executive Vice President and Chief Financial Officer Meghan Hibner , First Vice President and Investor Relations Officer 39 141 Elm Street, Westfield, MA
Western New England Bancorp — Q3 2026 Earnings Presentation on 6ix