Bridgewater Bancshares, Inc. Announces Second Quarter 2025 Financial Results

Second Quarter 2025 Highlights

• Net income of $11.5 million, or $0.38 per diluted common share; adjusted net income of $11.3 million, or $0.37 per diluted common share.⁽¹⁾
• Pre-provision net revenue⁽¹⁾ increased $2.2 million, or 15.6%, from the first quarter of 2025.
• Net interest income increased $2.2 million, or 7.4%, from the first quarter of 2025.
• Record noninterest income of $3.6 million, up $1.5 million, or 74.5%, from the first quarter of 2025.
• Sold $58.5 million of securities acquired in the First Minnetonka City Bank (“FMCB”) acquisition for a gain of $474,000.
• Net interest margin (on a fully tax-equivalent basis) of 2.62% for the second quarter of 2025, an increase of 11 basis points from the first quarter of 2025.
• Gross loans increased by $125.7 million, or 12.5% annualized, from the first quarter of 2025.
• Total deposits increased by $74.3 million, or 7.2% annualized, from the first quarter of 2025; core deposits⁽²⁾ increased by $16.2 million, or 2.1% annualized, from the first quarter of 2025.
• Efficiency ratio⁽¹⁾ of 52.6%, down from 55.5% for the first quarter of 2025; adjusted efficiency ratio⁽¹⁾ of 51.5%, down from 53.7% for the first quarter of 2025.
• Annualized net loan charge-offs as a percentage of average loans of 0.00%, in line with the first quarter of 2025.
• Nonperforming assets to total assets of 0.19% at June 30, 2025, down from 0.20% at March 31, 2025.
• Tangible book value per share⁽¹⁾ of $14.21 at June 30, 2025, an increase of 9.2% annualized, from the first quarter of 2025.
• Repurchased 122,704 shares of common stock at a weighted average price of $12.80 per share, for a total of $1.6 million.
• Completed the private placement of $80.0 million of 7.625% Fixed-to-Floating Rate Subordinated Notes due 2035, with a portion of the net proceeds used to redeem $50.0 million of outstanding 5.25% Fixed-to-Floating Rate Subordinated Notes due 2030.

ST. LOUIS PARK, Minn.--(BUSINESS WIRE)-- Bridgewater Bancshares, Inc. (Nasdaq: BWB) (the Company), the parent company of Bridgewater Bank (the Bank), today announced net income of $11.5 million for the second quarter of 2025, compared to $9.6 million for the first quarter of 2025, and $8.1 million for the second quarter of 2024. Earnings per diluted common share were $0.38 for the second quarter of 2025, compared to $0.31 for the first quarter of 2025, and $0.26 for the second quarter of 2024. Adjusted net income, a non-GAAP financial measure, was $11.3 million for the second quarter of 2025, compared to $10.1 million for the first quarter of 2025, and $7.9 million for the second quarter of 2024. Adjusted earnings per diluted common share, a non-GAAP financial measure, were $0.37 for the second quarter of 2025, compared to $0.32 for the first quarter of 2025, and $0.25 for the second quarter of 2024.

“Bridgewater’s second quarter results demonstrated our ability to continue producing strong profitability and balance sheet growth trends as we also look to take advantage of continuing M&A disruption in the Twin Cities,” said Chairman and Chief Executive Officer, Jerry Baack. “Strong revenue growth during the quarter was driven by additional net interest margin expansion, a record level of fee income, and robust loan growth, while core expenses remained well-controlled. Asset quality trends also held strong as we maintained low levels of nonperforming assets and virtually no net charge-offs.

“As local banks in our market continue to be acquired by out-of-state buyers, Bridgewater continues to find opportunities to attract top talent and high-quality clients. We expect this will be another tailwind to help support our consistently growing tangible book value and drive long-term shareholder value.”

__________________
(1)	Represents a non-GAAP financial measure. See "Non-GAAP Financial Measures" for further details.
(2)	Core deposits are defined as total deposits less brokered deposits and certificates of deposit greater than $250,000.

Key Financial Measures

		As of and for the Three Months Ended										As of and for the Six Months Ended
		June 30,			March 31			June 30,				June 30,			June 30,
		2025			2025			2024				2025			2024
Per Common Share Data
Basic Earnings Per Share		$	0.38		$	0.31		$	0.26			$	0.70		$	0.51
Diluted Earnings Per Share			0.38			0.31			0.26				0.68			0.50
Adjusted Diluted Earnings Per Share (1)			0.37			0.32			0.25				0.69			0.49
Book Value Per Share			14.92			14.60			13.63				14.92			13.63
Tangible Book Value Per Share (1)			14.21			13.89			13.53				14.21			13.53
Financial Ratios
Return on Average Assets (2)			0.90	%		0.77	%		0.70	%			0.83	%		0.69	%
Pre-Provision Net Revenue Return on Average Assets (1)(2)			1.27			1.13			0.94				1.20			0.95
Return on Average Shareholders' Equity (2)			9.80			8.39			7.49				9.10			7.42
Return on Average Tangible Common Equity (1)(2)			10.93			9.22			7.80				10.08			7.72
Net Interest Margin (3)			2.62			2.51			2.24				2.56			2.24
Core Net Interest Margin (1)(3)			2.49			2.37			2.17				2.43			2.18
Cost of Total Deposits			3.16			3.18			3.46				3.17			3.39
Cost of Funds			3.19			3.17			3.49				3.18			3.42
Efficiency Ratio (1)			52.6			55.5			58.7				53.9			58.5
Noninterest Expense to Average Assets (2)			1.47			1.45			1.35				1.46			1.34
Tangible Common Equity to Tangible Assets (1)			7.40			7.48			7.90				7.40			7.90
Common Equity Tier 1 Risk-based Capital Ratio (Consolidated) (4)			9.03			9.03			9.41				9.03			9.41
Adjusted Financial Ratios (1)
Adjusted Return on Average Assets (2)			0.88	%		0.80	%		0.68	%			0.84	%		0.68	%
Adjusted Pre-Provision Net Revenue Return on Average Assets (2)			1.31			1.18			0.94				1.25			0.95
Adjusted Return on Average Shareholders' Equity (2)			9.64			8.77			7.27				9.21			7.28
Adjusted Return on Average Tangible Common Equity (2)			10.74			9.68			7.53				10.22			7.54
Adjusted Efficiency Ratio			51.5			53.7			58.7				52.5			58.5
Adjusted Noninterest Expense to Average Assets (2)			1.43			1.41			1.35				1.42			1.34
Balance Sheet and Asset Quality (dollars in thousands)
Total Assets		$	5,296,673		$	5,136,808		$	4,687,035			$	5,296,673		$	4,687,035
Total Loans, Gross			4,145,799			4,020,076			3,800,385				4,145,799			3,800,385
Deposits			4,236,742			4,162,457			3,807,712				4,236,742			3,807,712
Loan to Deposit Ratio			97.9	%		96.6	%		99.8	%			97.9	%		99.8	%
Net Loan Charge-Offs to Average Loans (2)			0.00			0.00			0.00				0.00			0.00
Nonperforming Assets to Total Assets (5)			0.19			0.20			0.01				0.19			0.01
Allowance for Credit Losses to Total Loans			1.35			1.34			1.37				1.35			1.37

__________________
(1)	Represents a non-GAAP financial measure. See "Non-GAAP Financial Measures" for further details.
(2)	Annualized.
(3)	Amounts calculated on a tax-equivalent basis using the statutory federal tax rate of 21%.
(4)	Preliminary data. Current period subject to change prior to filings with applicable regulatory agencies.
(5)	Nonperforming assets are defined as nonaccrual loans plus 90 days past due and still accruing plus foreclosed assets.

Income Statement

Net Interest Margin and Net Interest Income

Net interest margin (on a fully tax-equivalent basis) for the second quarter of 2025 was 2.62%, an 11 basis point increase from 2.51% in the first quarter of 2025, and a 38 basis point increase from 2.24% in the second quarter of 2024. Core net interest margin (on a fully tax-equivalent basis), a non-GAAP financial measure which excludes the impact of loan fees and purchase accounting accretion attributable to the acquisition of FMCB, was 2.49% for the second quarter of 2025, a 12 basis point increase from 2.37% in the first quarter of 2025, and a 32 basis point increase from 2.17% in the second quarter of 2024.

• Net interest margin expanded to 2.62% in the second quarter of 2025, primarily due to higher core loan yields and lower costs of deposits.

Net interest income was $32.5 million for the second quarter of 2025, an increase of $2.2 million from $30.2 million in the first quarter of 2025, and an increase of $7.5 million from $25.0 million in the second quarter of 2024.

• The linked-quarter increase in net interest income was primarily due to increased loan interest and fee income.
• The year-over-year increase in net interest income was primarily due to growth and higher yields in the loan portfolio and purchase accounting accretion.

Interest income was $69.2 million for the second quarter of 2025, an increase of $3.5 million from $65.7 million in the first quarter of 2025, and an increase of $8.3 million from $60.9 million in the second quarter of 2024.

• The yield on interest earning assets (on a fully tax-equivalent basis) was 5.56% in the second quarter of 2025, compared to 5.43% in the first quarter of 2025, and 5.41% in the second quarter of 2024.
• The linked-quarter and year-over-year increases in the yield on interest earning assets were primarily due to growth and repricing of the loan portfolio and purchase accounting accretion.
• The aggregate loan yield increased to 5.74% in the second quarter of 2025, 13 basis points higher than 5.61% in the first quarter of 2025, and 24 basis points higher than 5.50% in the second quarter of 2024.
• Core loan yield, a non-GAAP financial measure, increased to 5.59% in the second quarter of 2025, nine basis points higher than 5.50% in the first quarter of 2025, and 17 basis points higher than 5.42% in the second quarter of 2024.

A summary of interest and fees recognized on loans for the periods indicated is as follows:

		Three Months Ended
		June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024
Interest		5.59	%		5.50	%		5.47	%		5.47	%		5.42	%
Fees		0.11			0.07			0.08			0.10			0.08
Accretion		0.04			0.04			—			—			—
Yield on Loans		5.74	%		5.61	%		5.55	%		5.57	%		5.50	%

Interest expense was $36.7 million for the second quarter of 2025, an increase of $1.2 million from $35.5 million in the first quarter of 2025, and an increase of $864,000 from $35.9 million in the second quarter of 2024.

• The cost of interest bearing liabilities was 3.83% in the second quarter of 2025, compared to 3.82% in the first quarter of 2025, and 4.19% in the second quarter of 2024.
• The linked-quarter cost of interest bearing liabilities remained relatively stable.
• The year-over-year decrease in the cost of interest bearing liabilities was primarily due to lower rates paid on deposits and decreases in average brokered deposit balances.

Interest expense on deposits was $32.5 million for the second quarter of 2025, an increase of $394,000 from $32.1 million in the first quarter of 2025, and an increase of $879,000 from $31.6 million in the second quarter of 2024.

• The cost of total deposits was 3.16% in the second quarter of 2025, compared to 3.18% in the first quarter of 2025, and 3.46% in the second quarter of 2024.
• The year-over-year decrease in the cost of total deposits was primarily due to lower rates paid on deposits following interest rate cuts in 2024 and decreases in average brokered deposit balances.

Provision for Credit Losses

The provision for credit losses on loans and leases was $2.0 million for the second quarter of 2025, compared to $1.5 million for the first quarter of 2025 and $600,000 for the second quarter of 2024.

• The provision for credit losses on loans recorded in the second quarter of 2025 was primarily attributable to growth in the loan portfolio and an increase in specific reserves for loans individually evaluated.
• The allowance for credit losses on loans to total loans was 1.35% at June 30, 2025, compared to 1.34% at March 31, 2025, and 1.37% at June 30, 2024.

The provision for credit losses for off-balance sheet credit exposures was $-0- for each of the second quarter of 2025, the first quarter of 2025, and the second quarter of 2024.

Noninterest Income

Noninterest income was $3.6 million for the second quarter of 2025, an increase of $1.5 million from $2.1 million for the first quarter of 2025, and an increase of $1.9 million from $1.8 million for the second quarter of 2024.

• Noninterest income in the second quarter of 2025 inlcuded two non-core items: a $474,000 gain on sale of securities acquired in the FMCB acquisition and $301,000 of FHLB prepayment income.
• The linked-quarter increase was primarily due to higher swap fees, gains on sales of securities, and FHLB prepayment income, offset partially by a decrease in letter of credit fees and investment advisory fees.
• The year-over-year increase was primarily due to higher swap fees, gains on sales of securities, FHLB prepayment income, and investment advisory fees.

Noninterest Expense

Noninterest expense was $18.9 million for the second quarter of 2025, an increase of $805,000 from $18.1 million for the first quarter of 2025 and an increase of $3.4 million from $15.5 million for the second quarter of 2024.

• Noninterest expense for the second quarter of 2025 included $540,000 of merger-related expenses, compared to $565,000 for the first quarter of 2025.
• The linked-quarter increase was primarily due to increases in FDIC insurance assessments and other noninterest expense, which included higher charitable contributions.
• The year-over-year increase was primarily attributable to increases in salaries and employee benefits, operating costs related to the FMCB acquisition, and merger-related expenses, offset partially by a decrease in derivative collateral fees.
• The efficiency ratio, a non-GAAP financial measure, was 52.6% for the second quarter of 2025, compared to 55.5% for the first quarter of 2025, and 58.7% for the second quarter of 2024.
• The Company had 308 full-time equivalent employees at June 30, 2025, compared to 292 at March 31, 2025, and 258 at June 30, 2024.

Income Taxes

The effective combined federal and state income tax rate was 23.9% for the second quarter of 2025 and the first quarter of 2025, compared to 23.6% for the second quarter of 2024.

Balance Sheet

Loans

(dollars in thousands)		June 30, 2025				March 31, 2025				December 31, 2024				September 30, 2024				June 30, 2024
Commercial		$	549,259			$	528,801			$	497,662			$	493,403			$	518,762
Leases			44,817				43,958				44,291				—				—
Construction and Land Development			136,438				128,073				97,255				118,596				134,096
1-4 Family Construction			39,095				39,438				41,961				45,822				60,551
Real Estate Mortgage:
1 - 4 Family Mortgage			474,269				479,461				474,383				421,179				416,944
Multifamily			1,555,731				1,534,747				1,425,610				1,379,814				1,404,835
CRE Owner Occupied			192,837				196,080				191,248				182,239				185,988
CRE Nonowner Occupied			1,137,007				1,055,157				1,083,108				1,032,142				1,070,050
Total Real Estate Mortgage Loans			3,359,844				3,265,445				3,174,349				3,015,374				3,077,817
Consumer and Other			16,346				14,361				12,996				12,395				9,159
Total Loans, Gross			4,145,799				4,020,076				3,868,514				3,685,590				3,800,385
Allowance for Credit Losses on Loans			(55,765	)			(53,766	)			(52,277	)			(51,018	)			(51,949	)
Net Deferred Loan Fees			(7,629	)			(7,218	)			(6,801	)			(5,705	)			(6,214	)
Total Loans, Net		$	4,082,405			$	3,959,092			$	3,809,436			$	3,628,867			$	3,742,222

Total gross loans at June 30, 2025 were $4.15 billion, an increase of $125.7 million, or 12.5% annualized, over total gross loans of $4.02 billion at March 31, 2025, and an increase of $345.4 million, or 9.1%, over total gross loans of $3.80 billion at June 30, 2024.

• The increase in the loan portfolio during the second quarter of 2025 was due to strong loan originations in excess of loan payoffs and paydowns.

Deposits

(dollars in thousands)		June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024
Noninterest Bearing Transaction Deposits		$	787,868		$	791,528		$	800,763		$	713,309		$	705,175
Interest Bearing Transaction Deposits			791,748			840,378			862,242			805,756			752,568
Savings and Money Market Deposits			1,441,694			1,372,191			1,259,503			980,345			943,994
Time Deposits			344,882			326,821			338,506			347,080			373,713
Brokered Deposits			870,550			831,539			825,753			900,952			1,032,262
Total Deposits		$	4,236,742		$	4,162,457		$	4,086,767		$	3,747,442		$	3,807,712

Total deposits at June 30, 2025 were $4.24 billion, an increase of $74.3 million, or 7.2% annualized, over total deposits of $4.16 billion at March 31, 2025, and an increase of $429.0 million, or 11.3%, over total deposits of $3.81 billion at June 30, 2024.

• Core deposits, defined as total deposits excluding brokered deposits and certificates of deposits greater than $250,000, increased $16.2 million, or 2.1% annualized, from the first quarter of 2025, and increased $601.7 million, or 23.3%, from the second quarter of 2024.

Asset Quality

Overall asset quality remained strong due to the Company’s measured risk selection, consistent underwriting standards, active credit oversight, and experienced lending and credit teams.

• Annualized net charge-offs as a percentage of average loans were 0.00% for each of the second quarter of 2025, the first quarter of 2025, and the second quarter of 2024.
• At June 30, 2025, the Company’s nonperforming assets, which include nonaccrual loans, loans past due 90 days and still accruing, and foreclosed assets, were $10.3 million, or 0.19% of total assets, compared to $10.3 million, or 0.20% of total assets, at March 31, 2025, and $678,000, or 0.01% of total assets, at June 30, 2024.
• Loans with potential weaknesses that warranted a watch/special mention risk rating at June 30, 2025 totaled $53.3 million, compared to $38.3 million at March 31, 2025, and $30.4 million at June 30, 2024.
• Loans that warranted a substandard risk rating at June 30, 2025 totaled $45.0 million, compared to $31.6 million at March 31, 2025, and $33.9 million at June 30, 2024.

Capital

Total shareholders’ equity at June 30, 2025 was $476.3 million, an increase of $7.3 million, or 6.2% annualized, compared to total shareholders’ equity of $469.0 million at March 31, 2025, and an increase of $37.0 million, or 8.4%, over total shareholders’ equity of $439.2 million at June 30, 2024.

• The linked-quarter increase was primarily due to net income retained, offset partially by preferred stock dividends and stock repurchases.
• The year-over-year increase was primarily due to net income retained and a decrease in unrealized losses in the securities portfolio, offset partially by a decrease in unrealized gains in the derivative portfolio, preferred stock dividends, and stock repurchases.
• The Consolidated Common Equity Tier 1 Risk-Based Capital Ratio was 9.03% at June 30, 2025 and March 31, 2025, compared to 9.41% at June 30, 2024.
• Tangible common equity as a percentage of tangible assets, a non-GAAP financial measure, was 7.40% at June 30, 2025, compared to 7.48% at March 31, 2025, and 7.90% at June 30, 2024.

Tangible book value per share, a non-GAAP financial measure, was $14.21 as of June 30, 2025, an increase of 9.2% annualized from $13.89 as of March 31, 2025, and an increase of 5.0% from $13.53 as of June 30, 2024.

On June 24, 2025, the Company completed a private placement of $80.0 million of 7.625% Fixed-to-Floating Rate Subordinated Notes due 2035. A portion of the net proceeds were used to redeem $50.0 million of outstanding 5.25% Fixed-to-Floating Rate Subordinated Notes due 2030.

During the second quarter of 2025, the Company repurchased 122,704 shares of its common stock at an aggregate purchase price of $1.6 million (average price of $12.80 per share).

• The Company had $13.1 million remaining under its current share repurchase authorization at June 30, 2025.
• On July 22, 2025, the Board of Directors extended the expiration date of the current share repurchase authorization from August 20, 2025 to August 26, 2026.

Today, the Company also announced that its Board of Directors has declared a quarterly cash dividend on its 5.875% Non-Cumulative Perpetual Preferred Stock, Series A (Series A Preferred Stock). The quarterly cash dividend of $36.72 per share, equivalent to $0.3672 per depositary share, each representing a 1/100th interest in a share of the Series A Preferred Stock (Nasdaq: BWBBP), is payable on September 2, 2025 to shareholders of record of the Series A Preferred Stock at the close of business on August 15, 2025.

Conference Call and Webcast

The Company will host a conference call to discuss its second quarter 2025 financial results on Thursday, July 24, 2025 at 8:00 a.m. Central Time. The conference call can be accessed by dialing 844-481-2913 and requesting to join the Bridgewater Bancshares earnings call. To listen to a replay of the conference call via phone, please dial 877-344-7529 and enter access code 1833047. The replay will be available through July 31, 2025. The conference call will also be available via a live webcast on the Investor Relations section of the Company’s website, investors.bridgewaterbankmn.com, and archived for replay.

About the Company

Bridgewater Bancshares, Inc. (Nasdaq: BWB) is a St. Louis Park, Minnesota-based financial holding company founded in 2005. Its banking subsidiary, Bridgewater Bank, is a premier, full-service bank dedicated to providing responsive support and simple solutions to businesses, entrepreneurs, and successful individuals across the Twin Cities. Bridgewater offers a comprehensive suite of products and services spanning deposits, lending, and treasury management solutions. Bridgewater has also received numerous awards for its banking services and esteemed corporate culture. With total assets of $5.3 billion and nine strategically located branches as of June 30, 2025, Bridgewater is one of the largest locally-led banks in Minnesota and is committed to being the finest entrepreneurial bank. For more information, please visit www.bridgewaterbankmn.com.

Use of Non-GAAP Financial Measures

In addition to the results presented in accordance with U.S. Generally Accepted Accounting Principles (GAAP), the Company routinely supplements its evaluation with an analysis of certain non-GAAP financial measures. The Company believes these non-GAAP financial measures, in addition to the related GAAP measures, provide meaningful information to investors to help them understand the Company’s operating performance and trends, and to facilitate comparisons with the performance of peers. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Reconciliations of non-GAAP disclosures used in this earnings release to the comparable GAAP measures are provided in the accompanying tables.

Forward-Looking Statements

This earnings release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, statements concerning plans, estimates, calculations, forecasts and projections with respect to the anticipated future performance of the Company. These statements are often, but not always, identified by words such as “may”, “might”, “should”, “could”, “predict”, “potential”, “believe”, “expect”, “continue”, “will”, “anticipate”, “seek”, “estimate”, “intend”, “plan”, “projection”, “would”, “annualized”, “target” and “outlook”, or the negative version of those words or other comparable words of a future or forward-looking nature.

Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: interest rate risk, including the effects of changes in interest rates; effects on the U.S. economy resulting from the threat or implementation of new, or changes to, existing policies, regulations, regulatory and governmental agencies and executive orders, including with respect to tariffs, immigration, DEI and ESG initiatives, consumer protection, foreign policy, and tax regulations; fluctuations in the values of the securities held in our securities portfolio, including as the result of changes in interest rates; business and economic conditions generally and in the financial services industry, nationally and within our market area, including the level and impact of inflation, including future monetary policies of the Federal Reserve in response thereto, and possible recession; the effects of developments and events in the financial services industry, including the large-scale deposit withdrawals over a short period of time that resulted in several bank failures; credit risk and risks from concentrations (by type of borrower, geographic area, collateral and industry) within the Company’s loan portfolio or large loans to certain borrowers (including CRE loans); the overall health of the local and national real estate market; our ability to successfully manage credit risk; our ability to maintain an adequate level of allowance for credit losses on loans; new or revised accounting standards as may be adopted by state and federal regulatory agencies, the Financial Accounting Standards Board, Securities and Exchange Commission or Public Company Accounting Oversight Board; the concentration of large deposits from certain clients, including those who have balances above current Federal Deposit Insurance Corporation insurance limits; our ability to successfully manage liquidity risk, which may increase our dependence on non-core funding sources such as brokered deposits, and negatively impact our cost of funds; our ability to raise additional capital to implement our business plan; our ability to implement our growth strategy and manage costs effectively; the composition of our senior leadership team and our ability to attract and retain key personnel; talent and labor shortages and employee turnover; the occurrence of fraudulent activity, breaches or failures of our or our third-party vendors’ information security controls or cybersecurity-related incidents, including as a result of sophisticated attacks using artificial intelligence and similar tools or as a result of insider fraud; interruptions involving our information technology and telecommunications systems or third-party servicers; competition in the financial services industry, including from nonbank competitors such as credit unions, “fintech” companies and digital asset service providers; the effectiveness of our risk management framework; rapid technological changes implemented by us and other parties in the financial services industry, including third-party vendors, which may be more difficult to implement or more expensive than anticipated or which may have unforeseen consequence to us and our customers, including the development and implementation of tools incorporating artificial intelligence; the commencement, cost and outcome of litigation and other legal proceedings and regulatory actions against us; the impact of recent and future legislative and regulatory changes, domestic or foreign; risks related to climate change and the negative impact it may have on our customers and their businesses; the imposition of tariffs or other governmental policies impacting the global supply chain and the value of products produced by our commercial borrowers; severe weather, natural disasters, wide spread disease or pandemics, acts of war or terrorism or other adverse external events, including ongoing conflicts in the Middle East and the Russian invasion of Ukraine; potential impairment to the goodwill the Company recorded in connection with acquisitions; risks associated with our integration of FMCB, including the possibility that the merger may be more difficult or expensive to integrate than anticipated, and the effect of the merger on the Company’s customer and employee relationships and operating results; changes to U.S. or state tax laws, regulations and governmental policies concerning the Company’s general business, including changes in interpretation or prioritization of such rules and regulations; the impact of bank failures or adverse developments at other banks and related negative publicity about the banking industry in general on investor and depositor sentiment regarding the stability and liquidity of banks; and any other risks described in the “Risk Factors” sections of reports filed by the Company with the Securities and Exchange Commission.

Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. The Company undertakes no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

Bridgewater Bancshares, Inc. and Subsidiaries
Financial Highlights
(dollars in thousands, except share data)
		As of and for the Three Months Ended
		June 30,			March 31,			December 31,			September 30,			June 30,
(dollars in thousands)		2025			2025			2024			2024			2024
			(Unaudited)			(Unaudited)						(Unaudited)			(Unaudited)
Income Statement
Net Interest Income		$	32,452		$	30,208		$	26,967		$	25,599		$	24,996
Provision for Credit Losses			2,000			1,500			2,175			—			600
Noninterest Income			3,627			2,079			2,533			1,522			1,763
Noninterest Expense			18,941			18,136			16,812			15,760			15,539
Net Income			11,520			9,633			8,204			8,675			8,115
Net Income Available to Common Shareholders			10,506			8,620			7,190			7,662			7,101
Per Common Share Data
Basic Earnings Per Share		$	0.38		$	0.31		$	0.26		$	0.28		$	0.26
Diluted Earnings Per Share			0.38			0.31			0.26			0.27			0.26
Adjusted Diluted Earnings Per Share (1)			0.37			0.32			0.27			0.28			0.25
Book Value Per Share			14.92			14.60			14.21			14.06			13.63
Tangible Book Value Per Share (1)			14.21			13.89			13.49			13.96			13.53
Basic Weighted Average Shares Outstanding			27,460,982			27,568,772			27,459,433			27,382,798			27,386,713
Diluted Weighted Average Shares Outstanding			27,998,008			28,036,506			28,055,532			27,904,910			27,748,184
Shares Outstanding at Period End			27,470,283			27,560,150			27,552,449			27,425,690			27,348,049
Financial Ratios
Return on Average Assets (2)			0.90	%		0.77	%		0.68	%		0.73	%		0.70	%
Pre-Provision Net Revenue Return on Average Assets (1)(2)			1.27			1.13			1.05			0.96			0.94
Return on Average Shareholders' Equity (2)			9.80			8.39			7.16			7.79			7.49
Return on Average Tangible Common Equity (1)(2)			10.93			9.22			7.43			8.16			7.80
Net Interest Margin (3)			2.62			2.51			2.32			2.24			2.24
Core Net Interest Margin (1)(3)			2.49			2.37			2.24			2.16			2.17
Cost of Total Deposits			3.16			3.18			3.40			3.58			3.46
Cost of Funds			3.19			3.17			3.38			3.54			3.49
Efficiency Ratio (1)			52.6			55.5			56.8			58.0			58.7
Noninterest Expense to Average Assets (2)			1.47			1.45			1.40			1.33			1.35
Adjusted Financial Ratios (1)
Adjusted Return on Average Assets			0.88	%		0.80	%		0.71	%		0.75	%		0.68	%
Adjusted Pre-Provision Net Revenue Return on Average Assets (2)			1.31			1.18			1.09			0.98			0.94
Adjusted Return on Average Shareholders' Equity			9.64			8.77			7.49			7.96			7.27
Adjusted Return on Average Tangible Common Equity			10.74			9.68			7.82			8.36			7.53
Adjusted Efficiency Ratio			51.5			53.7			55.2			57.2			58.7
Adjusted Noninterest Expense to Average Assets			1.43			1.41			1.36			1.31			1.35
Balance Sheet
Total Assets		$	5,296,673		$	5,136,808		$	5,066,242		$	4,691,517		$	4,687,035
Total Loans, Gross			4,145,799			4,020,076			3,868,514			3,685,590			3,800,385
Deposits			4,236,742			4,162,457			4,086,767			3,747,442			3,807,712
Total Shareholders' Equity			476,282			468,975			457,935			452,200			439,241
Loan to Deposit Ratio			97.9	%		96.6	%		94.7	%		98.3	%		99.8	%
Core Deposits to Total Deposits (4)			75.2			76.2			76.0			71.5			67.9
Asset Quality
Net Loan Charge-Offs to Average Loans (2)			0.00	%		0.00	%		0.03	%		0.10	%		0.00	%
Nonperforming Assets to Total Assets (5)			0.19			0.20			0.01			0.19			0.01
Allowance for Credit Losses to Total Loans			1.35			1.34			1.35			1.38			1.37

		As of and for the Three Months Ended
		June 30,			March 31,			December 31,			September 30,			June 30,
(dollars in thousands)		2025			2025			2024			2024			2024
			(Unaudited)			(Unaudited)						(Unaudited)			(Unaudited)
Capital Ratios (Consolidated) (6)
Tier 1 Leverage Ratio			9.14	%		9.10	%		9.45	%		9.75	%		9.66	%
Common Equity Tier 1 Risk-based Capital Ratio			9.03			9.03			9.08			9.79			9.41
Tier 1 Risk-based Capital Ratio			10.51			10.55			10.64			11.44			11.03
Total Risk-based Capital Ratio			14.17			13.62			13.76			14.62			14.16
Tangible Common Equity to Tangible Assets (1)			7.40			7.48			7.36			8.17			7.90

__________________
(1)	Represents a non-GAAP financial measure. See "Non-GAAP Financial Measures" for further details.
(2)	Annualized.
(3)	Amounts calculated on a tax-equivalent basis using the statutory federal tax rate of 21%.
(4)	Core deposits are defined as total deposits less brokered deposits and certificates of deposit greater than $250,000.
(5)	Nonperforming assets are defined as nonaccrual loans plus 90 days past due and still accruing plus foreclosed assets.
(6)	Preliminary data. Current period subject to change prior to filings with applicable regulatory agencies.

Bridgewater Bancshares, Inc. and Subsidiaries
Consolidated Balance Sheets
(dollars in thousands, except share data)
		June 30,				March 31,				December 31,				September 30,				June 30,
		2025				2025				2024				2024				2024
			(Unaudited)				(Unaudited)								(Unaudited)				(Unaudited)
Assets
Cash and Cash Equivalents		$	217,495			$	166,205			$	229,760			$	191,859			$	134,093
Bank-Owned Certificates of Deposit			3,897				4,139				4,377				—				—
Securities Available for Sale, at Fair Value			743,889				764,626				768,247				664,715				601,057
Loans, Net of Allowance for Credit Losses			4,082,405				3,959,092				3,809,436				3,628,867				3,742,222
Federal Home Loan Bank (FHLB) Stock, at Cost			21,472				18,984				19,297				18,626				15,844
Premises and Equipment, Net			49,979				49,442				49,533				47,777				47,902
Foreclosed Assets			185				—				—				434				—
Accrued Interest			17,711				17,700				17,711				16,750				16,944
Goodwill			11,982				11,982				11,982				2,626				2,626
Other Intangible Assets, Net			7,390				7,620				7,850				163				171
Bank-Owned Life Insurance			45,413				45,025				44,646				38,219				35,090
Other Assets			94,855				91,993				103,403				81,481				91,086
Total Assets		$	5,296,673			$	5,136,808			$	5,066,242			$	4,691,517			$	4,687,035
Liabilities and Equity
Liabilities
Deposits:
Noninterest Bearing		$	787,868			$	791,528			$	800,763			$	713,309			$	705,175
Interest Bearing			3,448,874				3,370,929				3,286,004				3,034,133				3,102,537
Total Deposits			4,236,742				4,162,457				4,086,767				3,747,442				3,807,712
Notes Payable			13,750				13,750				13,750				13,750				13,750
FHLB Advances			404,500				349,500				359,500				349,500				287,000
Subordinated Debentures, Net of Issuance Costs			108,689				79,766				79,670				79,574				79,479
Accrued Interest Payable			4,110				4,525				4,008				3,458				3,999
Other Liabilities			52,600				57,835				64,612				45,593				55,854
Total Liabilities			4,820,391				4,667,833				4,608,307				4,239,317				4,247,794
Shareholders' Equity
Preferred Stock- $0.01 par value; Authorized 10,000,000
Preferred Stock - Issued and Outstanding 27,600 Series A shares ($2,500 liquidation preference) at June 30, 2025 (unaudited), March 31, 2025 (unaudited), December 31, 2024, September 30, 2024 (unaudited), and June 30, 2024 (unaudited)			66,514				66,514				66,514				66,514				66,514
Common Stock- $0.01 par value; Authorized 75,000,000
Common Stock - Issued and Outstanding 27,470,283 at June 30, 2025 (unaudited), 27,560,150 at March 31, 2025 (unaudited), 27,552,449 at December 31, 2024, 27,425,690 at September 30, 2024 (unaudited), and 27,348,049 at June 30, 2024 (unaudited)			275				276				276				274				273
Additional Paid-In Capital			95,174				95,503				95,088				94,597				93,205
Retained Earnings			328,547				318,041				309,421				302,231				294,569
Accumulated Other Comprehensive Loss			(14,228	)			(11,359	)			(13,364	)			(11,416	)			(15,320	)
Total Shareholders' Equity			476,282				468,975				457,935				452,200				439,241
Total Liabilities and Equity		$	5,296,673			$	5,136,808			$	5,066,242			$	4,691,517			$	4,687,035

Bridgewater Bancshares, Inc. and Subsidiaries
Consolidated Statements of Income
(dollars in thousands, except per share data)
		Three Months Ended																				Six Months Ended
		June 30,				March 31,				December 31,				September 30,				June 30,				June 30,				June 30,
		2025				2025				2024				2024				2024				2025				2024
			(Unaudited)				(Unaudited)								(Unaudited)				(Unaudited)				(Unaudited)				(Unaudited)
Interest Income
Loans, Including Fees		$	57,888			$	53,820			$	51,870			$	51,895			$	51,385			$	111,708			$	100,966
Investment Securities			9,200				9,397				9,109				8,725				8,177				18,597				16,093
Other			2,110				2,491				2,345				2,407				1,316				4,601				2,488
Total Interest Income			69,198				65,708				63,324				63,027				60,878				134,906				119,547
Interest Expense
Deposits			32,497				32,103				32,810				34,187				31,618				64,600				61,808
Federal Funds Purchased			16				—				42				2				853				16				1,157
Notes Payable			260				258				275				296				296				518				591
FHLB Advances			2,852				2,156				2,229				1,942				2,125				5,008				4,383
Subordinated Debentures			1,121				983				1,001				1,001				990				2,104				1,981
Total Interest Expense			36,746				35,500				36,357				37,428				35,882				72,246				69,920
Net Interest Income			32,452				30,208				26,967				25,599				24,996				62,660				49,627
Provision for Credit Losses			2,000				1,500				2,175				—				600				3,500				1,350
Net Interest Income After Provision for Credit Losses			30,452				28,708				24,792				25,599				24,396				59,160				48,277
Noninterest Income
Customer Service Fees			496				495				394				373				366				991				708
Net Gain (Loss) on Sales of Securities			474				1				—				(28	)			320				475				413
Net Gain on Sales of Foreclosed Assets			—				—				62				—				—				—				—
Letter of Credit Fees			323				455				849				424				387				778				703
Debit Card Interchange Fees			152				137				145				152				155				289				296
Swap Fees			938				42				521				26				—				980				—
Bank-Owned Life Insurance			387				379				362				352				312				766				613
FHLB Prepayment Income			301				—				—				—				—				301				—
Investment Advisory Fees			213				325				—				—				—				538				—
Other Income			343				245				200				223				223				588				580
Total Noninterest Income			3,627				2,079				2,533				1,522				1,763				5,706				3,313
Noninterest Expense
Salaries and Employee Benefits			11,363				11,371				10,605				9,851				9,675				22,734				19,108
Occupancy and Equipment			1,274				1,234				1,181				1,069				1,092				2,508				2,149
FDIC Insurance Assessment			750				450				609				750				725				1,200				1,600
Data Processing			625				619				445				368				472				1,244				884
Professional and Consulting Fees			1,110				994				989				1,149				852				2,104				1,741
Derivative Collateral Fees			372				451				426				381				528				823				1,014
Information Technology and Telecommunications			971				971				877				840				812				1,942				1,608
Marketing and Advertising			435				327				479				367				317				762				639
Intangible Asset Amortization			230				230				52				9				8				460				17
Other Expense			1,811				1,489				1,149				976				1,058				3,300				1,968
Total Noninterest Expense			18,941				18,136				16,812				15,760				15,539				37,077				30,728
Income Before Income Taxes			15,138				12,651				10,513				11,361				10,620				27,789				20,862
Provision for Income Taxes			3,618				3,018				2,309				2,686				2,505				6,636				4,916
Net Income			11,520				9,633				8,204				8,675				8,115				21,153				15,946
Preferred Stock Dividends			(1,014	)			(1,013	)			(1,014	)			(1,013	)			(1,014	)			(2,027	)			(2,027	)
Net Income Available to Common Shareholders		$	10,506			$	8,620			$	7,190			$	7,662			$	7,101			$	19,126			$	13,919
Earnings Per Share
Basic		$	0.38			$	0.31			$	0.26			$	0.28			$	0.26			$	0.70			$	0.51
Diluted			0.38				0.31				0.26				0.27				0.26				0.68				0.50

Bridgewater Bancshares, Inc. and Subsidiaries
Analysis of Average Balances, Yields and Rates
(dollars in thousands, except per share data)
(Unaudited)
		For the Three Months Ended
		June 30, 2025									March 31, 2025									June 30, 2024
		Average			Interest				Yield/		Average			Interest				Yield/		Average			Interest				Yield/
(dollars in thousands)		Balance			& Fees				Rate		Balance			& Fees				Rate		Balance			& Fees				Rate
Interest Earning Assets:
Cash Investments		$	166,164		$	1,681			4.06	%	$	205,897		$	2,056			4.05	%	$	81,672		$	922			4.54	%
Investment Securities:
Taxable Investment Securities			734,998			8,883			4.85			768,591			9,033			4.77			641,469			7,861			4.93
Tax-Exempt Investment Securities (1)			31,940			401			5.04			35,549			461			5.26			31,550			401			5.11
Total Investment Securities			766,938			9,284			4.86			804,140			9,494			4.79			673,019			8,262			4.94
Loans (1)(2)			4,064,540			58,122			5.74			3,899,258			53,979			5.61			3,771,768			51,592			5.50
Federal Home Loan Bank Stock			21,416			429			8.03			18,988			435			9.28			19,461			394			8.15
Total Interest Earning Assets			5,019,058			69,516			5.56	%		4,928,283			65,964			5.43	%		4,545,920			61,170			5.41	%
Noninterest Earning Assets			143,124									143,163									100,597
Total Assets		$	5,162,182								$	5,071,446								$	4,646,517
Interest Bearing Liabilities:
Deposits:
Interest Bearing Transaction Deposits		$	813,906		$	7,769			3.83	%	$	855,564		$	8,189			3.88	%	$	732,923		$	8,270			4.54	%
Savings and Money Market Deposits			1,370,831			12,692			3.71			1,302,349			11,935			3.72			914,397			9,459			4.16
Time Deposits			326,024			3,268			4.02			328,902			3,309			4.08			360,691			3,850			4.30
Brokered Deposits			833,629			8,768			4.22			834,866			8,670			4.21			976,467			10,039			4.13
Total Interest Bearing Deposits			3,344,390			32,497			3.90			3,321,681			32,103			3.92			2,984,478			31,618			4.26
Federal Funds Purchased			1,369			16			4.64			—			—			—			61,151			853			5.61
Notes Payable			13,750			260			7.58			13,750			258			7.60			13,750			296			8.64
FHLB Advances			404,473			2,852			2.83			354,556			2,156			2.47			306,396			2,125			2.79
Subordinated Debentures			83,892			1,121			5.36			79,710			983			5.00			79,424			990			5.02
Total Interest Bearing Liabilities			3,847,874			36,746			3.83	%		3,769,697			35,500			3.82	%		3,445,199			35,882			4.19	%
Noninterest Bearing Liabilities:
Noninterest Bearing Transaction Deposits			774,424									767,235									691,891
Other Noninterest Bearing Liabilities			69,178									69,106									73,842
Total Noninterest Bearing Liabilities			843,602									836,341									765,733
Shareholders' Equity			470,706									465,408									435,585
Total Liabilities and Shareholders' Equity		$	5,162,182								$	5,071,446								$	4,646,517
Net Interest Income / Interest Rate Spread						32,770			1.73	%					30,464			1.61	%					25,288			1.22	%
Net Interest Margin (3)									2.62	%								2.51	%								2.24	%
Taxable Equivalent Adjustment:
Tax-Exempt Investment Securities and Loans						(318	)								(256	)								(292	)
Net Interest Income					$	32,452								$	30,208								$	24,996

__________________
(1)	Interest income and average rates for tax-exempt investment securities and loans are presented on a tax-equivalent basis, assuming a statutory federal income tax rate of 21%.
(2)	Average loan balances include nonaccrual loans. Interest income on loans includes amortization of deferred loan fees, net of deferred loan costs.
(3)	Net interest margin includes the tax equivalent adjustment and represents the annualized results of: (i) the difference between interest income on interest earning assets and the interest expense on interest bearing liabilities, divided by (ii) average interest earning assets for the period.

Bridgewater Bancshares, Inc. and Subsidiaries
Analysis of Average Balances, Yields and Rates
(dollars in thousands, except per share data)
(Unaudited)
		For the Six Months Ended
		June 30, 2025									June 30, 2024
		Average			Interest				Yield/		Average			Interest				Yield/
(dollars in thousands)		Balance			& Fees				Rate		Balance			& Fees				Rate
Interest Earning Assets:
Cash Investments		$	185,850		$	3,737			4.06	%	$	78,380		$	1,751			4.49	%
Investment Securities:
Taxable Investment Securities			751,702			17,916			4.81			639,989			15,461			4.86
Tax-Exempt Investment Securities (1)			33,734			862			5.15			31,648			801			5.09
Total Investment Securities			785,436			18,778			4.82			671,637			16,262			4.87
Loans (1)(2)			3,982,389			112,101			5.68			3,750,561			101,450			5.44
Federal Home Loan Bank Stock			20,209			864			8.62			18,760			737			7.90
Total Interest Earning Assets			4,973,884			135,480			5.49	%		4,519,338			120,200			5.35	%
Noninterest Earning Assets			143,115									100,340
Total Assets		$	5,116,999								$	4,619,678
Interest Bearing Liabilities:
Deposits:
Interest Bearing Transaction Deposits		$	834,537		$	15,958			3.86	%	$	733,714		$	15,963			4.38	%
Savings and Money Market Deposits			1,336,632			24,627			3.72			905,620			18,240			4.05
Time Deposits			327,613			6,577			4.05			339,143			7,017			4.16
Brokered Deposits			834,244			17,438			4.22			995,332			20,588			4.16
Total Interest Bearing Deposits			3,333,026			64,600			3.91			2,973,809			61,808			4.18
Federal Funds Purchased			688			16			4.64			41,487			1,157			5.61
Notes Payable			13,750			518			7.60			13,750			591			8.64
FHLB Advances			379,652			5,008			2.66			312,522			4,383			2.82
Subordinated Debentures			81,813			2,104			5.19			79,376			1,981			5.02
Total Interest Bearing Liabilities			3,808,929			72,246			3.82	%		3,420,944			69,920			4.11	%
Noninterest Bearing Liabilities:
Noninterest Bearing Transaction Deposits			770,849									695,373
Other Noninterest Bearing Liabilities			68,607									71,445
Total Noninterest Bearing Liabilities			839,456									766,818
Shareholders' Equity			468,614									431,916
Total Liabilities and Shareholders' Equity		$	5,116,999								$	4,619,678
Net Interest Income / Interest Rate Spread						63,234			1.67	%					50,280			1.24	%
Net Interest Margin (3)									2.56	%								2.24	%
Taxable Equivalent Adjustment:
Tax-Exempt Investment Securities and Loans						(574	)								(653	)
Net Interest Income					$	62,660								$	49,627

Bridgewater Bancshares, Inc. and Subsidiaries
Asset Quality Summary
(unaudited)
		As of and for the Three Months Ended																				As of and for the Six Months Ended
		June 30,				March 31,				December 31,				September 30,				June 30,				June 30,				June 30,
(dollars in thousands)		2025				2025				2024				2024				2024				2025				2024
Allowance for Credit Losses
Balance at Beginning of Period		$	53,766			$	52,277			$	51,018			$	51,949			$	51,347			$	52,277			$	50,494
Day 1 PCD Allowance			—				—				114				—				—				—				—
Provision for Credit Losses(1)			2,000				1,500				1,450				—				600				3,500				1,450
Charge-offs			(6	)			(12	)			(317	)			(937	)			(10	)			(18	)			(12	)
Recoveries			5				1				12				6				12				6				17
Net Charge-offs		$	(1	)		$	(11	)		$	(305	)		$	(931	)		$	2			$	(12	)		$	5
Balance at End of Period			55,765				53,766				52,277				51,018				51,949				55,765				51,949
Allowance for Credit Losses to Total Loans			1.35		%		1.34		%		1.35		%		1.38		%		1.37		%		1.35		%		1.37		%

__________________
(1)	Includes a day 1 provision for credit losses for non-PCD loans acquired in the FMCB transaction of $950,000 for the three months ended December 31, 2024.

		As of and for the Three Months Ended															As of and for the Six Months Ended
		June 30,			March 31,			December 31,			September 30,			June 30,			June 30,			June 30,
(dollars in thousands)		2025			2025			2024			2024			2024			2025			2024
Provision for Credit Losses on Loans and Leases		$	2,000		$	1,500		$	1,450		$	—		$	600		$	3,500		$	1,450
Provision for (Recovery of) Credit Losses for Off-Balance Sheet Credit Exposures			—			—			725			—			—			—			(100	)
Provision for Credit Losses		$	2,000		$	1,500		$	2,175		$	—		$	600		$	3,500		$	1,350

		As of and for the Three Months Ended
		June 30,			March 31,			December 31,			September 30,			June 30,
(dollars in thousands)		2025			2025			2024			2024			2024
Selected Asset Quality Data
Loans 30-89 Days Past Due		$	12,492		$	466		$	1,291		$	65		$	502
Loans 30-89 Days Past Due to Total Loans			0.30	%		0.01	%		0.03	%		0.00	%		0.01	%
Nonperforming Loans		$	10,134		$	10,290		$	301		$	8,378		$	678
Nonperforming Loans to Total Loans			0.24	%		0.26	%		0.01	%		0.23	%		0.02	%
Nonaccrual Loans to Total Loans			0.24			0.26			0.01			0.23			0.02
Nonaccrual Loans and Loans Past Due 90 Days and Still Accruing to Total Loans			0.24			0.26			0.01			0.23			0.02
Foreclosed Assets		$	185		$	—		$	—		$	434		$	—
Nonperforming Assets (1)			10,319			10,290			301			8,812			678
Nonperforming Assets to Total Assets (1)			0.19	%		0.20	%		0.01	%		0.19	%		0.01	%
Net Loan Charge-Offs (Annualized) to Average Loans			0.00			0.00			0.03			0.10			0.00
Watchlist/Special Mention Risk Rating Loans		$	53,282		$	38,346		$	46,581		$	31,991		$	30,436
Substandard Risk Rating Loans			44,986			31,587			21,791			31,637			33,908

__________________
(1)	Nonperforming assets are defined as nonaccrual loans plus 90 days past due and still accruing plus foreclosed assets.

Bridgewater Bancshares, Inc. and Subsidiaries
Non-GAAP Financial Measures
(unaudited)
		For the Three Months Ended																				For the Six Months Ended
		June 30,				March 31,				December 31,				September 30,				June 30,				June 30,				June 30,
(dollars in thousands)		2025				2025				2024				2024				2024				2025				2024
Pre-Provision Net Revenue
Noninterest Income		$	3,627			$	2,079			$	2,533			$	1,522			$	1,763			$	5,706			$	3,313
Less: (Gain) Loss on Sales of Securities			(474	)			(1	)			—				28				(320	)			(475	)			(413	)
Less: FHLB Advance Prepayment Income			(301	)			—				—				—				—				(301	)			—
Total Operating Noninterest Income			2,852				2,078				2,533				1,550				1,443				4,930				2,900
Plus: Net Interest Income			32,452				30,208				26,967				25,599				24,996				62,660				49,627
Net Operating Revenue		$	35,304			$	32,286			$	29,500			$	27,149			$	26,439			$	67,590			$	52,527
Noninterest Expense		$	18,941			$	18,136			$	16,812			$	15,760			$	15,539			$	37,077			$	30,728
Total Operating Noninterest Expense		$	18,941			$	18,136			$	16,812			$	15,760			$	15,539			$	37,077			$	30,728
Pre-Provision Net Revenue		$	16,363			$	14,150			$	12,688			$	11,389			$	10,900			$	30,513			$	21,799
Plus:
Non-Operating Revenue Adjustments			775				1				—				(28	)			320				776				413
Less:
Provision for Credit Losses			2,000				1,500				2,175				—				600				3,500				1,350
Provision for Income Taxes			3,618				3,018				2,309				2,686				2,505				6,636				4,916
Net Income		$	11,520			$	9,633			$	8,204			$	8,675			$	8,115			$	21,153			$	15,946
Average Assets		$	5,162,182			$	5,071,446			$	4,788,036			$	4,703,804			$	4,646,517			$	5,116,999			$	4,619,678
Pre-Provision Net Revenue Return on Average Assets			1.27		%		1.13		%		1.05		%		0.96		%		0.94		%		1.20		%		0.95		%
Adjusted Pre-Provision Net Revenue
Net Operating Revenue		$	35,304			$	32,286			$	29,500			$	27,149			$	26,439			$	67,590			$	52,527
Noninterest Expense		$	18,941			$	18,136			$	16,812			$	15,760			$	15,539			$	37,077			$	30,728
Less: Merger-related Expenses			(540	)			(565	)			(488	)			(224	)			—				(1,105	)			—
Adjusted Total Operating Noninterest Expense		$	18,401			$	17,571			$	16,324			$	15,536			$	15,539			$	35,972			$	30,728
Adjusted Pre-Provision Net Revenue		$	16,903			$	14,715			$	13,176			$	11,613			$	10,900			$	31,618			$	21,799
Adjusted Pre-Provision Net Revenue Return on Average Assets			1.31		%		1.18		%		1.09		%		0.98		%		0.94		%		1.25		%		0.95		%
Core Net Interest Margin
Net Interest Income (Tax-equivalent Basis)		$	32,770			$	30,464			$	27,254			$	25,905			$	25,288			$	63,234			$	50,280
Less:
Loan Fees			(1,019	)			(719	)			(747	)			(968	)			(767	)			(1,738	)			(1,374	)
Purchase Accounting Accretion:
Loan Accretion			(425	)			(342	)			—				—				—				(767	)			—
Bond Accretion			(152	)			(578	)			(91	)			—				—				(730	)			—
Bank-Owned Certificates of Deposit Accretion			(4	)			(7	)			—				—				—				(11	)			—
Deposit Certificates of Deposit Accretion			(37	)			(38	)			—				—				—				(75	)			—
Total Purchase Accounting Accretion			(618	)			(965	)			(91	)			—				—				(1,583	)			—
Core Net Interest Income (Tax-equivalent Basis)		$	31,133			$	28,780			$	26,416			$	24,937			$	24,521			$	59,913			$	48,906
Average Interest Earning Assets		$	5,019,058			$	4,928,283			$	4,682,841			$	4,595,521			$	4,545,920			$	4,973,884			$	4,519,338
Core Net Interest Margin			2.49		%		2.37		%		2.24		%		2.16		%		2.17		%		2.43		%		2.18		%
Core Loan Yield
Loan Interest Income (Tax-equivalent Basis)		$	58,122			$	53,979			$	52,078			$	52,118			$	51,592			$	112,101			$	101,450
Less:
Loan Fees			(1,019	)			(719	)			(747	)			(968	)			(767	)			(1,738	)			(1,374	)
Loan Accretion			(425	)			(342	)			—				—				—				(767	)			—
Core Loan Interest Income		$	56,678			$	52,918			$	51,331			$	51,150			$	50,825			$	109,596			$	100,076
Average Loans		$	4,064,540			$	3,899,258			$	3,730,532			$	3,721,654			$	3,771,768			$	3,982,389			$	3,750,561
Core Loan Yield			5.59		%		5.50		%		5.47		%		5.47		%		5.42		%		5.55		%		5.37		%

Bridgewater Bancshares, Inc. and Subsidiaries
Non-GAAP Financial Measures
(unaudited)
		For the Three Months Ended																				For the Six Months Ended
		June 30,				March 31,				December 31,				September 30,				June 30,				June 30,				June 30,
(dollars in thousands)		2025				2025				2024				2024				2024				2025				2024
Efficiency Ratio
Noninterest Expense		$	18,941			$	18,136			$	16,812			$	15,760			$	15,539			$	37,077			$	30,728
Less: Amortization of Intangible Assets			(230	)			(230	)			(52	)			(9	)			(8	)			(460	)			(17	)
Adjusted Noninterest Expense		$	18,711			$	17,906			$	16,760			$	15,751			$	15,531			$	36,617			$	30,711
Net Interest Income		$	32,452			$	30,208			$	26,967			$	25,599			$	24,996			$	62,660			$	49,627
Noninterest Income			3,627				2,079				2,533				1,522				1,763				5,706				3,313
Less: (Gain) Loss on Sales of Securities			(474	)			(1	)			—				28				(320	)			(475	)			(413	)
Adjusted Operating Revenue		$	35,605			$	32,286			$	29,500			$	27,149			$	26,439			$	67,891			$	52,527
Efficiency Ratio			52.6		%		55.5		%		56.8		%		58.0		%		58.7		%		53.9		%		58.5		%
Adjusted Efficiency Ratio
Noninterest Expense		$	18,941			$	18,136			$	16,812			$	15,760			$	15,539			$	37,077			$	30,728
Less: Amortization of Intangible Assets			(230	)			(230	)			(52	)			(9	)			(8	)			(460	)			(17	)
Less: Merger-related Expenses			(540	)			(565	)			(488	)			(224	)			—				(1,105	)			—
Adjusted Noninterest Expense		$	18,171			$	17,341			$	16,272			$	15,527			$	15,531			$	35,512			$	30,711
Net Interest Income		$	32,452			$	30,208			$	26,967			$	25,599			$	24,996			$	62,660			$	49,627
Noninterest Income			3,627				2,079				2,533				1,522				1,763				5,706				3,313
Less: (Gain) Loss on Sales of Securities			(474	)			(1	)			—				28				(320	)			(475	)			(413	)
Less: FHLB Advance Prepayment Income			(301	)			—				—				—				—				(301	)			—
Adjusted Operating Revenue		$	35,304			$	32,286			$	29,500			$	27,149			$	26,439			$	67,590			$	52,527
Adjusted Efficiency Ratio			51.5		%		53.7		%		55.2		%		57.2		%		58.7		%		52.5		%		58.5		%
Adjusted Noninterest Expense to Average Assets (Annualized)
Noninterest Expense		$	18,941			$	18,136			$	16,812			$	15,760			$	15,539			$	37,077			$	30,728
Less: Merger-related Expenses			(540	)			(565	)			(488	)			(224	)			—				(1,105	)			—
Adjusted Noninterest Expense		$	18,401			$	17,571			$	16,324			$	15,536			$	15,539			$	35,972			$	30,728
Average Assets		$	5,162,182			$	5,071,446			$	4,788,036			$	4,703,804			$	4,646,517			$	5,116,999			$	4,619,678
Adjusted Noninterest Expense to Average Assets (Annualized)			1.43		%		1.41		%		1.36		%		1.31		%		1.35		%		1.42		%		1.34		%
Tangible Common Equity and Tangible Common Equity/Tangible Assets
Total Shareholders' Equity		$	476,282			$	468,975			$	457,935			$	452,200			$	439,241
Less: Preferred Stock			(66,514	)			(66,514	)			(66,514	)			(66,514	)			(66,514	)
Total Common Shareholders' Equity			409,768				402,461				391,421				385,686				372,727
Less: Intangible Assets			(19,372	)			(19,602	)			(19,832	)			(2,789	)			(2,797	)
Tangible Common Equity		$	390,396			$	382,859			$	371,589			$	382,897			$	369,930
Total Assets		$	5,296,673			$	5,136,808			$	5,066,242			$	4,691,517			$	4,687,035
Less: Intangible Assets			(19,372	)			(19,602	)			(19,832	)			(2,789	)			(2,797	)
Tangible Assets		$	5,277,301			$	5,117,206			$	5,046,410			$	4,688,728			$	4,684,238
Tangible Common Equity/Tangible Assets			7.40		%		7.48		%		7.36		%		8.17		%		7.90		%
Tangible Book Value Per Share
Book Value Per Common Share		$	14.92			$	14.60			$	14.21			$	14.06			$	13.63
Less: Effects of Intangible Assets			(0.71	)			(0.71	)			(0.72	)			(0.10	)			(0.10	)
Tangible Book Value Per Common Share		$	14.21			$	13.89			$	13.49			$	13.96			$	13.53
Return on Average Tangible Common Equity
Net Income Available to Common Shareholders		$	10,506			$	8,620			$	7,190			$	7,662			$	7,101			$	19,126			$	13,919
Average Shareholders' Equity		$	471,700			$	465,408			$	455,949			$	443,077			$	435,585			$	468,614			$	431,916
Less: Average Preferred Stock			(66,514	)			(66,514	)			(66,514	)			(66,514	)			(66,514	)			(66,514	)			(66,514	)
Average Common Equity			405,186				398,894				389,435				376,563				369,071				402,100				365,402
Less: Effects of Average Intangible Assets			(19,504	)			(19,738	)			(4,412	)			(2,794	)			(2,802	)			(19,620	)			(2,806	)
Average Tangible Common Equity		$	385,682			$	379,156			$	385,023			$	373,769			$	366,269			$	382,480			$	362,596
Return on Average Tangible Common Equity			10.93		%		9.22		%		7.43		%		8.16		%		7.80		%		10.08		%		7.72		%

Bridgewater Bancshares, Inc. and Subsidiaries
Non-GAAP Financial Measures
(unaudited)
		For the Three Months Ended																				For the Six Months Ended
		June 30,				March 31,				December 31,				September 30,				June 30,				June 30,				June 30,
(dollars in thousands)		2025				2025				2024				2024				2024				2025				2024
Adjusted Diluted Earnings Per Common Share
Net Income Available to Common Shareholders		$	10,506			$	8,620			$	7,190			$	7,662			$	7,101			$	19,126			$	13,919
Add: Merger-related Expenses			540				565				488				224				—				1,105				—
Less: FHLB Advance Prepayment Income			(301	)			—				—				—				—				(301	)			—
Less: (Gain) Loss on Sales of Securities			(474	)			(1	)			—				28				(320	)			(475	)			(413	)
Total Adjustments			(235	)			564				488				252				(320	)			329				(413	)
Less: Tax Impact of Adjustments			56				(135	)			(107	)			(59	)			76				(79	)			97
Adjusted Net Income Available to Common Shareholders		$	10,327			$	9,049			$	7,571			$	7,855			$	6,857			$	19,376			$	13,603
Diluted Weighted Average Shares Outstanding			27,998,008				28,036,506				28,055,532				27,904,910				27,748,184				28,022,592				27,921,601
Adjusted Diluted Earnings Per Common Share		$	0.37			$	0.32			$	0.27			$	0.28			$	0.25			$	0.69			$	0.49
Adjusted Return on Average Assets
Net Income		$	11,520			$	9,633			$	8,204			$	8,675			$	8,115			$	21,153			$	15,946
Add: Total Adjustments			(235	)			564				488				252				(320	)			329				(413	)
Less: Tax Impact of Adjustments			56				(135	)			(107	)			(59	)			76				(79	)			97
Adjusted Net Income		$	11,341			$	10,062			$	8,585			$	8,868			$	7,871			$	21,403			$	15,630
Average Assets		$	5,162,182			$	5,071,446			$	4,788,036			$	4,703,804			$	4,646,517			$	5,116,999			$	4,619,678
Adjusted Return on Average Assets			0.88		%		0.80		%		0.71		%		0.75		%		0.68		%		0.84		%		0.68		%
Adjusted Return on Average Shareholders' Equity
Adjusted Net Income		$	11,341			$	10,062			$	8,585			$	8,868			$	7,871			$	21,403			$	15,630
Average Shareholders' Equity		$	471,700			$	465,408			$	455,949			$	443,077			$	435,585			$	468,614			$	431,916
Adjusted Return on Average Shareholders' Equity			9.64		%		8.77		%		7.49		%		7.96		%		7.27		%		9.21		%		7.28		%
Adjusted Return on Average Tangible Common Equity
Adjusted Net Income Available to Common Shareholders		$	10,327			$	9,049			$	7,571			$	7,855			$	6,857			$	19,376			$	13,603
Average Tangible Common Equity		$	385,682			$	379,156			$	385,023			$	373,769			$	366,269			$	382,480			$	362,596
Adjusted Return on Average Tangible Common Equity			10.74		%		9.68		%		7.82		%		8.36		%		7.53		%		10.22		%		7.54		%

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250722750432/en/

Media Contact:

Jessica Stejskal | SVP Marketing

Jessica.Stejskal@bwbmn.com | 952.893.6860

Investor Contact:

Justin Horstman | VP Investor Relations

Justin.Horstman@bwbmn.com | 952.542.5169

Source: Bridgewater Bancshares, Inc.