First Northwest Bancorp · NASDAQ:FNWB
First Northwest Bancorp — Investor Presentation (September 2022)
27 slides from First Northwest Bancorp's investor presentation, Sep 8, 2022
Slide 1: First Northwest Bancorp Mid-Year Report
& First Northwest Bancorp Mid-Year Report September 2022
Slide 2: About First Northwest Bancorp (FNWB)
°S First Northwest Bancorp uy ™ Bank holding company for First Fed, a growing About First Northwest community bank with $2.0 billion* in assets Bancorp (FNWB) First Fed is a Washington state-chartered commercial bank, headquartered in Port Angeles where it was founded in 1923 F N W B = 12 branches:
Slide 3: First Fed Executive Team
°S First Northwest Bancorp First Fed Executive Team Matt Dei residentand oO Geri Bullard Chief Financat officer 202 NWe Terry Anderson Chleferedt tice Chris Neros el ending officer Derek Brown Chris Riffle het gta & Operating Officer | Generatcounse
Slide 4: Success Stories
~~ °S First Northwest Bancorp Success Stories ™ Converted from Bank Holding Company to Financial Holding Company Charter on August 5, 2022 ™ Invested in Meriwether Group and Meriwether Group Capital Hero Fund Mo MeriwerHer M MeniweTHer M Group Gaoup GR w ck = Recently hired new Chief Lending Officer
Slide 5: Meriwether Partnership
°S First Northwest Bancorp Meriwether Partnership M * Completed strategic partnership investment for 33% of Ww Meriwether Group (“MWG"), a Portland, Oregon based advisory - and boutique investment banking firm MERIWETHER = MWGis run by founder, David Howitt, and works with authentic, GROUP disruptiv
Slide 6: First Fed Strategic Initiatives
°S First Northwest Bancorp First Fed Strategic Initiatives ™ Focus on profitable growth of the core bank to create operating leverage to support expansion of digital efforts and fintech revenue strategy through First Fed Fintech Partners (F3P) ™ Management is currently evaluating divesting of one br
Slide 7: First Fed Fintech Partners (F3P)
°S First Northwest Bancorp First Fed Fintech Partners (F3P) * Built on a robust BaaS platform focused on regulatory, compliance and risk management and engineered to facilitate Fintech engagement, product development and financial success + Managed and operated by a highly qualified and talented tea
Slide 8: Selected Balance Sheet Detail
°S First Northwest Bancorp SS Selected Balance Sheet Detail ($ in Millions) - lt a Ss ee
Slide 9: Substantial Growth While Enhancing Asset Mix
°S First Northwest Bancorp Substantial Growth While Enhancing Asset Mix (Sin Thousands) ~ Q22020 Total Assets: \ $1,479M. ~ Q22022 Total Assets: $2,032M Q2 2021 Total Assets: $1,787M. ©2022 AWB Soc ong eset he 002 °
Slide 10: Securities Portfolio
°S First Northwest Bancorp Securities Portfolio Investment Portfolio Characteristics as of boa June 30, 2022 = Book Value: $386.9 Million = Market Value: $354.2 Million ® Effective Duration: 5.19 years = average Life: 8.16 years = Municipal Securities ~ Portfolio Ratings: = Aaa/AAA — $22.1M. = pal/a
Slide 11: Building Revenue (TTM)
°S First Northwest Bancorp Building Revenue (TTM) (Sin Thousands) 1022020 sean = a22021 ma22022 sss 535309 ©2022 FAW 2208 | j2 soe | | i I "TM eteange nme TIM Revere rom Sl aos rm txt Q2 2020 ‘Operating Revenue: $48.9M i We 2021 open avenue $67.6M ay TIM Total re opersng Revere: $77.6
Slide 12: Measurable Improved Profitability
°S First Northwest Bancorp Measurable Improved Profitability Trailing Twelve Month Net Income (s in thousands) Trailing Twelve Month ROAA (%) sae sau Trailing Twelve Month Efficiency Ratio (%) Trailing Twelve Month Net Interest Margin (%) ©2022 FAW Sect gna npn amen att 302 -
Slide 13: Net Interest Income and Margin
°S First Northwest Bancorp Net Interest Income and Margin ($ in Thousands) $20,000 $17,500 sisaie $15,000 $12,500 $1016 $10,000 $7,500 $5,000 022020 03200 © 420 =a 2021.» a22001 321 as amet mm Netinterestincome Net interest Margin ©2022 FAW seco oc oe 0222 12022 22022
Slide 14: Balance Sheet Growth
°S First Northwest Bancorp Balance Sheet Growth (Sin Millions) Total Assets I Actual(6 I PPP Loans PP) Total Loans and Leases cach: 14.0% ean sa sa S288 mms azms ano aazm am Total Deposits AGRA. 5% ase ems azzms ammo ana Total Equity can: 15.3% tone /oronts sm 955 ©2022 FAW “enatcnntton tote pre nin
Slide 15: Strong Core Deposit Composition
°S First Northwest Bancorp Strong Core Deposit Composition Brokered CDs oe Depositsby Type 6/20/2022 change fom Sinmounas Belance ‘of Total prior year Novntrest Chel Sean ——23e $29,198 Interest checking jes 22 1673 Savings 19503 23% 9201 Money Nacket ser7a7 372% 76.686 Q2 2022 Cenifiate of Deposit m
Slide 16: Loan Portfolio Composition
°S First Northwest Bancorp Loan Portfolio Composition Commercial and rer industria 012% Loans by Type 6/30/2022 ‘Change from Ey {sin mousnds Balance ‘of Total 6/30/2021 ‘Commercial RealEstate 3373878 253% $62,291 Other 14 Family 308.772 209% 6.758 ens Construction and land Development 212851 144% 29
Slide 17: Historically Strong Asset Quality
°S First Northwest Bancorp Historically Strong Asset Quality NPA / Assets (%) Loan Loss Reserve / Total Loans (%4) 02 a2 culate) us oxo 9x0 s0 Teas tio 0.06 ae ae ae ae ad NCOs / Avg. Loans (%) 000 000 amp Ot 008 ©2022 FAW Sect gna npn amen att 302 wea ea Ea mia we Growth focused on appropriate risk
Slide 18: Returning Capital to Shareholders
°S First Northwest Bancorp Returning Capital to Shareholders Status of Share Repurchase Program ™ On October 28, 2020, the Company announced that its Board of Directors had authorized the repurchase and retirement of up to an additional ~1 million shares ofits common stock, or 10% of the then outsta
Slide 19: Bank Level Capital Ratios
°S First Northwest Bancorp Bank Level Capital Ratios Leverage Ratio Common Equity Tier 1 Capital Ratio Tier 1 Capital Ratio youar 20a? mars enan tea? Total RBC Ratio a a ae ary yma moar omar ea eRa? ©2022 FAWe Se oni dott et 1»
Slide 20: Building Value with Improved ROAE and EPS Growth
°S First Northwest Bancorp Building Value with Improved ROAE and EPS Growth Trailing Twelve Month Return on Avg. Equity ‘Trailing Twelve Month Earnings per Share a su St a3K sen sss sae 26% soxs er cy wma: m0war mara? Rat Historical Book Value per Share Historical TCE Ratio a ee sm aa ©2022 FAWe Sec
Slide 21: Consolidated Historical Balance Sheet
°S First Northwest Bancorp forthe quarter Ending a a — aoa suas foo) : eet ee or Consolidated = “2m amass aatt. aa Ls rd . . Seas aa er mer mr Historical oes tcenebae nt icane (mse) feast Ties aires Sousa oe rer i rere ic at Balance auaieae eH a me. ast eH Se arau mh a el a et Sheet Sol oan serving
Slide 22: Consolidated Historical Income Statement
°S First Northwest Bancorp Consolidated Historical Income Statement For the quarter ending wna wis dengan 20a nome ($000) Interest and Fes on Loans Racenable 2806 ase son, 143536 reps IntrestonInvestnnt Saunier 228 238 2073 2275 2s Interest eome 50st a6778 37200 16901 anger intrest epee 1402 12s 139
Slide 23: First Fed Mission Statement
°S First Northwest Bancorp We design and deliver delightful, accessible, and effortless financial solutions by empowering our team members to improve the lives of those we serve. First Fed Mission Statement
Slide 24: Market Footprint
°S First Northwest Bancorp Market Footprint 16 locations in 5 counties: = 7 in Clallam: Headquarters with ITM, 5 branches, 1 business center with ITM. = LinJefferson = 2inkitsap * 2 inking: 1 branch, 1 business center, = 4 in Whatcom: 3 branches, 1 business center ©2022 FAW
Slide 25: Leading Deposit Market Share
°S First Northwest Bancorp Leading Deposit Market Share Clallam County, WA Whatcom County, WA he ee Tic Boe aera et) Tawi Sol et ? ieemecsicnieny oe Ps 2 tena merece)? om PA 3 fitmerre 2 = o onan : eS mt $ maureencs 9 4 i o 5 Maer 2 “ > pang 2 et 2 a a 7 women ew : o S Rares 38 mn = permet) : io oa
Slide 26: Experienced Leadership Collaborating Across PNW
°S First Northwest Bancorp Experienced Leadership Collaborating Across PNW ‘Name Tile Teestion Years withFist Fed Yearsin Industry Nat benes resident ChefBxeetve ffeerand vector oranges, Seat zi Es “eny Anderson Execute? chief crest eer Sequim a 26 Devek@roun ‘Executive VP, Chet Human Resourcesand M
Slide 27: Thank You! Contact
‘S First Northwest Bancorp Thank You! Contact Matt Deines Geri Bullard President and CEO EVP | CFO matt deines@ourfirstfed.com seri. bullard@ourfirstfed.com 202 ws ‘S First Fed
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