First Northwest Bancorp Announces Third Quarter 2025 Results
First Northwest Bancorp (Nasdaq: FNWB) reported Q3 2025 net income of $802,000 versus $3.7 million in Q2 2025 and a $2.0 million loss in Q3 2024. EPS $0.09 for Q3 2025. Net interest margin rose to 2.91%, driven by lower rates on interest-bearing liabilities and deposit cost decline to 2.20%. Adjusted PPNR fell to $0.34 million from $2.1 million in Q2 2025. Allowance for credit losses on loans declined $2.1 million to $16.2 million; nonperforming loans fell $7.0 million to $13.4 million. Noninterest expense increased $4.6 million, including $1.1 million of executive transition costs and higher legal fees. The board elected not to declare a dividend for the quarter.
First Northwest Bancorp (Nasdaq: FNWB) ha riportato un utile netto nel terzo trimestre 2025 di $802.000, rispetto a $3,7 milioni nel secondo trimestre 2025 e a una perdita di $2,0 milioni nel terzo trimestre 2024. EPS $0,09 per il terzo trimestre 2025. Il margine di interesse netto è salito al 2,91%, trainato da tassi più bassi sui passivi soggetti a interesse e dal calo del costo dei depositi al 2,20%. Il PPNR rettificato è sceso a $0,34 milioni rispetto a $2,1 milioni nel Q2 2025. L’accantonamento per perdite su crediti sui prestiti è diminuito di $2,1 milioni a $16,2 milioni; i crediti in sofferenza sono scesi di $7,0 milioni a $13,4 milioni. Le spese non legate agli interessi sono aumentate di $4,6 milioni, includendo $1,1 milioni di costi di transizione esecutiva e maggiori oneri legali. Il consiglio di amministrazione ha deciso di non distribuire dividendi per il trimestre.
First Northwest Bancorp (Nasdaq: FNWB) reportó una utilidad neta del tercer trimestre de 2025 de $802,000 frente a $3.7 millones en el 2T 2025 y una pérdida de $2.0 millones en el 3T 2024. EPS $0.09 para el 3T 2025. El margen de interés neto subió a 2.91%, impulsado por tasas más bajas en pasivos con interés y la caída del costo de depósitos a 2.20%. El PPNR ajustado cayó a $0.34 millones desde $2.1 millones en el 2T 2025. La provisión para pérdidas crediticias sobre préstamos disminuyó en $2.1 millones a $16.2 millones; los préstamos morosos cayeron en $7.0 millones a $13.4 millones. Los gastos no financieros aumentaron en $4.6 millones, incluyendo $1.1 millones de costos de transición ejecutiva y mayores honorarios legales. La junta anunció que no declarará dividendo para el trimestre.
First Northwest Bancorp (나스닥: FNWB)는 2025년 3분기 순이익이 $802,000으로 보고되었으며 2025년 2분기의 $3.7백만과 2024년 3분기의 $2.0백만 손실 대비하였습니다. EPS $0.09 2025년 3분기. 순이자마진은 2.91%로 상승했고 이는 이자부 채무의 금리 하락과 예금 비용의 하락 2.20% 때문입니다. 조정된 PPNR은 2025년 2분기의 $2.1백만에서 $0.34백만으로 감소했습니다. 대출에 대한 신용손실 충당금은 $2.1백만 감소해 $16.2백만이 되었고, 부실대출은 $7.0백만 감소해 $13.4백만이 되었습니다. 비이자 비용은 $4.6백만 증가했고, 경영진 전환 비용 $1.1백만과 법적 비용 증가가 포함되어 있습니다. 이사회는 분기 배당을 선언하지 않기로 결정했습니다.
First Northwest Bancorp (Nasdaq: FNWB) a annoncé un résultat net pour le T3 2025 de $802 000 contre $3,7 millions au T2 2025 et une perte de $2,0 millions au T3 2024. EPS $0,09 pour le T3 2025. La marge nette d'intérêt est montée à 2,91%, tirée par des taux plus bas sur les passifs générant des intérêts et une baisse du coût des dépôts à 2,20%. Le PPNR ajusté a diminué à $0,34 million contre $2,1 millions au T2 2025. Les provisions pour pertes de crédit sur les prêts ont diminué de $2,1 millions pour atteindre $16,2 millions; les prêts non performants ont diminué de $7,0 millions pour atteindre $13,4 millions. Les dépenses non liées aux intérêts ont augmenté de $4,6 millions, incluant $1,1 millions de coûts de transition exécutive et des frais juridiques plus élevés. Le conseil d'administration a décidé de ne pas proposer de dividende pour le trimestre.
First Northwest Bancorp (Nasdaq: FNWB) meldete im Q3 2025 einen Nettogewinn von $802.000 gegenüber $3,7 Millionen im Q2 2025 und einem Verlust von $2,0 Millionen im Q3 2024. EPS $0,09 für Q3 2025. Die Nettomarge stieg auf 2,91%, getrieben durch niedrigere Zinssätze auf zinstragende Verbindlichkeiten und sinkende Einlagenkosten auf 2,20%. Der bereinigte PPNR fiel von $2,1 Millionen (Q2 2025) auf $0,34 Millionen. Die Kreditverlustrückstellungen für Darlehen sanken um $2,1 Millionen auf $16,2 Millionen; notleidende Darlehen sanken um $7,0 Millionen auf $13,4 Millionen. Nichtzinsausgaben erhöhten sich um $4,6 Millionen, einschließlich $1,1 Millionen Transitionskosten für das Management und gestiegener Rechtskosten. Der Vorstand beschloss, für das Quartal keine Dividende auszuschütten.
First Northwest Bancorp (ناسداك: FNWB) أبلغت عن صافي دخل للربع الثالث من 2025 قدره $802,000 مقارنة بـ $3.7 مليون في الربع الثاني من 2025 وخسارة قدرها $2.0 مليون في الربع الثالث من 2024. EPS $0.09 للربع الثالث من 2025. هامش الفائدة الصافي ارتفع إلى 2.91%، مدفوعاً بانخفاض معدلات الفائدة على الخصوم القابلة للفائدة وتراجع تكلفة الودائع إلى 2.20%. انخفض PPNR المعدل إلى $0.34 مليون من $2.1 مليون في Q2 2025. احتياطي الخسائر الائتمانية على القروض انخفض بمقدار $2.1 مليون ليصل إلى $16.2 مليون; القروض غير الأداء انخفضت بمقدار $7.0 مليون ليصل إلى $13.4 مليون. ارتفعت المصروفات غير المرتبطة بالفوائد بمقدار $4.6 مليون، بما في ذلك $1.1 مليون من تكاليف انتقال قيادي وزيادة الرسوم القانونية. قرر مجلس الإدارة عدم إعلان توزيعات للربع.
First Northwest Bancorp (纳斯达克：FNWB) 报告显示，2025 年第 3 季净收入为 $802,000，相比 2025 年第 2 季的 $3.7 百万 以及 2024 年第 3 季的 $2.0 百万亏损。每股收益（EPS）$0.09，2025 年第 3 季。净利差上升至 2.91%，这是由对息务负债利率下降和存款成本降至 2.20% 推动。调整后的 PPNR 从 2025 年第 2 季的 $2.1 百万 降至 $0.34 百万。贷款信用损失准备金下降了 $2.1 百万，至 $16.2 百万；不良贷款下降了 $7.0 百万，至 $13.4 百万。非利息支出增加了 $4.6 百万，其中包括 $1.1 百万 的高管过渡成本和更高的法律费用。董事会决定本季度不宣布分红。
- Net interest margin improved to 2.91%
- Cost of deposits declined to 2.20%
- Total risk-based capital rose to 13.7%
- Nonperforming loans decreased by $7.0M to $13.4M
- Net income fell to $0.8M from $3.7M in Q2 2025
- Adjusted PPNR declined $1.8M to $0.34M
- Noninterest expense rose $4.6M due to executive transition and legal costs
- ACLL decreased $2.1M to $16.2M, partly from lower loan balances
Insights
Q3 shows recovery from prior-year loss but mixed near-term results driven by higher expenses and legal costs.
Net income of
Operating performance remains uneven because noninterest expense jumped by about
Watch for the resolution timeline and expense impact of disclosed legal matters, any further management-related compensation charges, and quarterly trends in adjusted PPNR and ACLL; expect meaningful updates over the next
PORT ANGELES, Wash., Oct. 27, 2025 (GLOBE NEWSWIRE) --
First Northwest Bancorp (Nasdaq: FNWB) ("First Northwest" or the "Company"), the holding company for First Fed Bank ("First Fed" or the "Bank"), today reported net income of
Management Outlook:
"With over a century of history behind First Fed, I'm committed to honoring that legacy by continuing to deliver long-term value for our shareholders and remaining a trusted partner in the communities we serve," said Curt Queyrouze, President and Chief Executive Officer of First Northwest and First Fed. "Guided by our Board and driven by a talented team, we are building a modern, forward-thinking financial institution. Our third quarter results demonstrate meaningful progress in positioning First Fed to meet the evolving needs of our customers. As we embrace a culture of customer obsession, we recognize that their success is our success. I'm excited to build on the strong foundation we've established and work to ensure First Northwest continues to be a catalyst for financial growth and wellness throughout our communities."
The Board of Directors of First Northwest elected not to declare a dividend for this quarter as part of a prudent approach to capital management. The Company remains committed to maintaining a strong balance sheet and will continue to evaluate future dividend decisions in light of the Company’s long-term strategic objectives.
Key Points for the Third Quarter
Positive Trends:
| • | Net interest margin increased to | |
| • | Cost of total deposits dropped to | |
| • | First Fed risk-based capital ratios improved to | |
| • | Advances decreased | |
| • | Recorded a |
Other significant events:
| • | During the third quarter of 2025, the Company experienced higher compensation expenses as a result of executive management changes. | |
| • | The Bank continues to vigorously defend itself in the legal proceedings disclosed in our last Quarterly Report on Form 10-Q, resulting in continued higher legal expenses. |
| Selected Quarterly Financial Ratios: | ||||||||||||||||||||||||||||
| As of or For the Quarter Ended | As of or For the Nine Months Ended September 30, | |||||||||||||||||||||||||||
| September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | 2025 | 2024 | ||||||||||||||||||||||
| Performance ratios:(1) | ||||||||||||||||||||||||||||
| Return on average assets | 0.15 | % | 0.68 | % | -1.69 | % | -0.51 | % | -0.36 | % | -0.28 | % | -0.23 | % | ||||||||||||||
| Adjusted PPNR return on average assets(2) | 0.06 | 0.39 | 0.27 | 0.26 | 0.17 | 0.24 | 0.16 | |||||||||||||||||||||
| Return on average equity | 2.10 | 10.00 | -23.42 | -6.92 | -4.91 | -4.03 | -3.14 | |||||||||||||||||||||
| Net interest margin(3) | 2.91 | 2.83 | 2.76 | 2.73 | 2.70 | 2.83 | 2.74 | |||||||||||||||||||||
| Efficiency ratio(4) | 104.9 | 78.0 | 113.5 | 92.2 | 100.3 | 99.2 | 85.5 | |||||||||||||||||||||
| Equity to total assets | 7.32 | 6.82 | 6.75 | 6.89 | 7.13 | 7.32 | 7.13 | |||||||||||||||||||||
| Book value per common share | $ | 16.33 | $ | 15.85 | $ | 15.52 | $ | 16.45 | $ | 17.17 | $ | 16.33 | $ | 17.17 | ||||||||||||||
| Tangible performance ratios:(1) | ||||||||||||||||||||||||||||
| Tangible common equity to tangible assets(2) | 7.26 | % | 6.76 | % | 6.68 | % | 6.83 | % | 7.06 | % | 7.26 | % | 7.06 | % | ||||||||||||||
| Return on average tangible common equity(2) | 2.12 | 10.10 | -23.65 | -6.99 | -4.96 | -4.07 | -3.17 | |||||||||||||||||||||
| Tangible book value per common share(2) | $ | 16.18 | $ | 15.70 | $ | 15.36 | $ | 16.29 | $ | 17.00 | $ | 16.18 | $ | 17.00 | ||||||||||||||
| Capital ratios (First Fed):(5) | ||||||||||||||||||||||||||||
| Tier 1 leverage | 9.3 | % | 9.1 | % | 9.0 | % | 9.4 | % | 9.4 | % | 9.3 | % | 9.4 | % | ||||||||||||||
| Common equity Tier 1 | 12.7 | 12.0 | 12.1 | 12.4 | 12.2 | 12.7 | 12.2 | |||||||||||||||||||||
| Total risk-based | 13.7 | 13.1 | 13.4 | 13.6 | 13.4 | 13.7 | 13.4 | |||||||||||||||||||||
| (1 | ) | Performance ratios are annualized, where appropriate. |
| (2 | ) | See reconciliation of Non-GAAP Financial Measures later in this release. |
| (3 | ) | Net interest income divided by average interest-earning assets. |
| (4 | ) | Total noninterest expense as a percentage of net interest income and total other noninterest income. |
| (5 | ) | Current period capital ratios are preliminary and subject to finalization of the FDIC Call Report. |
Adjusted Pre-tax, Pre-Provision Net Revenue (1)
Adjusted PPNR for the third quarter of 2025 decreased
| For the Quarter Ended | For the Nine Months Ended | |||||||||||||||||||||||||||
| (Dollars in thousands) | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | September 30, 2025 | September 30, 2024 | |||||||||||||||||||||
| Net interest income (GAAP) | $ | 14,569 | $ | 14,193 | $ | 13,847 | $ | 14,137 | $ | 14,020 | $ | 42,609 | $ | 42,183 | ||||||||||||||
| Total noninterest income (GAAP) | 2,002 | 2,170 | 3,777 | 1,300 | 1,779 | 7,949 | 11,314 | |||||||||||||||||||||
| Total revenue (GAAP) | 16,571 | 16,363 | 17,624 | 15,437 | 15,799 | 50,558 | 53,497 | |||||||||||||||||||||
| Total noninterest expense (GAAP) | 17,390 | 12,765 | 20,000 | 14,233 | 15,848 | 50,155 | 45,760 | |||||||||||||||||||||
| PPNR (Non-GAAP)(1) | (819 | ) | 3,598 | (2,376 | ) | 1,204 | (49 | ) | 403 | 7,737 | ||||||||||||||||||
| Less selected nonrecurring adjustments to PPNR (Non-GAAP): | ||||||||||||||||||||||||||||
| Executive transition costs included in compensation and professional fees | (1,159 | ) | — | — | — | — | (1,159 | ) | — | |||||||||||||||||||
| Employee retention credit ("ERC") included in compensation | — | 2,640 | — | — | — | 2,640 | — | |||||||||||||||||||||
| ERC consulting expense included in professional fees | — | (528 | ) | — | — | — | (528 | ) | — | |||||||||||||||||||
| Costs associated with early termination of Bellevue Business Center lease included in other expense | — | (599 | ) | — | — | — | (599 | ) | — | |||||||||||||||||||
| Bank-owned life insurance ("BOLI") death benefit | — | — | 1,059 | 1,536 | — | 1,059 | — | |||||||||||||||||||||
| Gain on extinguishment of subordinated debt included in other income | — | — | 846 | — | — | 846 | — | |||||||||||||||||||||
| Legal reserve included in other expense | — | — | (5,750 | ) | — | — | (5,750 | ) | — | |||||||||||||||||||
| Equity investment repricing adjustment included in other income | — | — | — | (1,762 | ) | — | — | 651 | ||||||||||||||||||||
| One-time compensation payouts related to reduction in force | — | — | — | — | (996 | ) | — | (996 | ) | |||||||||||||||||||
| Net gain on sale of premises and equipment | — | — | — | — | — | — | 7,919 | |||||||||||||||||||||
| Sale leaseback taxes and assessments included in occupancy and equipment | — | — | — | — | — | — | (359 | ) | ||||||||||||||||||||
| Net gain on sale of investment securities | — | — | — | — | — | — | (2,117 | ) | ||||||||||||||||||||
| Adjusted PPNR (Non-GAAP)(1) | $ | 340 | $ | 2,085 | $ | 1,469 | $ | 1,430 | $ | 947 | $ | 3,894 | $ | 2,639 | ||||||||||||||
(1) See reconciliation of Non-GAAP Financial Measures later in this release.
| • | Total interest income decreased | |
| • | Total interest expense decreased | |
| • | Net interest margin increased to | |
| • | Noninterest income decreased | |
| • | Noninterest expense increased |
Allowance for Credit Losses on Loans ("ACLL") and Credit Quality
The allowance for credit losses on loans ("ACLL") decreased
Nonperforming loans decreased
Classified loans decreased
| For the Quarter Ended | ||||||||||||||||||||
| ACLL ($ in thousands) | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | |||||||||||||||
| Balance at beginning of period | $ | 18,345 | $ | 20,569 | $ | 20,449 | $ | 21,970 | $ | 19,343 | ||||||||||
| Charge-offs: | ||||||||||||||||||||
| Commercial real estate | (656 | ) | (15 | ) | (5,571 | ) | — | — | ||||||||||||
| Construction and land | (483 | ) | — | (374 | ) | (411 | ) | — | ||||||||||||
| Auto and other consumer | (106 | ) | (273 | ) | (243 | ) | (364 | ) | (492 | ) | ||||||||||
| Commercial business | (1,005 | ) | (2,823 | ) | (1,513 | ) | (4,596 | ) | (24 | ) | ||||||||||
| Total charge-offs | (2,250 | ) | (3,111 | ) | (7,701 | ) | (5,371 | ) | (516 | ) | ||||||||||
| Recoveries: | ||||||||||||||||||||
| One-to-four family | — | — | — | — | 42 | |||||||||||||||
| Commercial real estate | 6 | 20 | 6 | 2 | — | |||||||||||||||
| Construction and land | — | 5 | — | — | — | |||||||||||||||
| Auto and other consumer | 47 | 74 | 43 | 52 | 24 | |||||||||||||||
| Commercial business | 675 | 1,084 | 2 | 36 | — | |||||||||||||||
| Total recoveries | 728 | 1,183 | 51 | 90 | 66 | |||||||||||||||
| Net loan charge-offs | (1,522 | ) | (1,928 | ) | (7,650 | ) | (5,281 | ) | (450 | ) | ||||||||||
| (Recapture of) provision for credit losses | (620 | ) | (296 | ) | 7,770 | 3,760 | 3,077 | |||||||||||||
| Balance at end of period | $ | 16,203 | $ | 18,345 | $ | 20,569 | $ | 20,449 | $ | 21,970 | ||||||||||
| Average total loans | $ | 1,650,340 | $ | 1,658,723 | $ | 1,662,164 | $ | 1,708,232 | $ | 1,718,402 | ||||||||||
| Annualized net charge-offs to average outstanding loans | 0.37 | % | 0.47 | % | 1.87 | % | 1.23 | % | 0.10 | % | ||||||||||
| Asset Quality ($ in thousands) | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | |||||||||||||||
| Nonaccrual loans: | ||||||||||||||||||||
| One-to-four family | $ | 2,345 | $ | 2,274 | $ | 1,404 | $ | 1,477 | $ | 1,631 | ||||||||||
| Commercial real estate | 3,439 | 4,095 | 4 | 5,598 | 5,634 | |||||||||||||||
| Construction and land | 6,037 | 13,063 | 15,280 | 19,544 | 19,382 | |||||||||||||||
| Home equity | 9 | 10 | 54 | 55 | 116 | |||||||||||||||
| Auto and other consumer | 1,072 | 410 | 710 | 700 | 894 | |||||||||||||||
| Commercial business | 470 | 514 | 2,903 | 3,141 | 2,719 | |||||||||||||||
| Total nonaccrual loans | 13,372 | 20,366 | 20,355 | 30,515 | 30,376 | |||||||||||||||
| Other real estate owned | 1,377 | 1,297 | — | — | — | |||||||||||||||
| Total nonperforming assets | $ | 14,749 | $ | 21,663 | $ | 20,355 | $ | 30,515 | $ | 30,376 | ||||||||||
| Nonaccrual loans as a % of total loans (1) | 0.82 | % | 1.22 | % | 1.23 | % | 1.80 | % | 1.75 | % | ||||||||||
| Nonperforming assets as a % of total assets (2) | 0.70 | 0.99 | 0.94 | 1.37 | 1.35 | |||||||||||||||
| ACLL as a % of total loans | 1.00 | 1.10 | 1.24 | 1.21 | 1.27 | |||||||||||||||
| ACLL as a % of nonaccrual loans | 121.17 | 90.08 | 101.05 | 67.01 | 72.33 | |||||||||||||||
| Total past due loans to total loans | 0.88 | 1.17 | 1.36 | 1.98 | 1.92 | |||||||||||||||
| (1 | ) | Nonperforming loans consists of nonaccruing loans and accruing loans more than 90 days past due. |
| (2 | ) | Nonperforming assets consists of nonperforming loans (which include nonaccruing loans and accruing loans more than 90 days past due), real estate owned and repossessed assets. |
Financial Condition and Capital
Investment securities decreased
| Investment Securities ($ in thousands) | September 30, 2025 | June 30, 2025 | September 30, 2024 | Three Month % Change | One Year % Change | |||||||||||||||
| Available for Sale at Fair Value | ||||||||||||||||||||
| Municipal bonds | $ | 79,621 | $ | 77,324 | $ | 81,363 | 3.0 | % | -2.1 | % | ||||||||||
| U.S. government agency issued asset-backed securities (ABS agency) | 12,169 | 12,298 | 13,296 | -1.0 | -8.5 | |||||||||||||||
| Corporate issued asset-backed securities (ABS corporate) | 9,881 | 13,105 | 16,391 | -24.6 | -39.7 | |||||||||||||||
| Corporate issued debt securities (Corporate debt) | 43,339 | 55,760 | 54,058 | -22.3 | -19.8 | |||||||||||||||
| U.S. Small Business Administration securities (SBA) | 6,977 | 7,504 | 9,317 | -7.0 | -25.1 | |||||||||||||||
| Mortgage-backed securities: | ||||||||||||||||||||
| U.S. government agency issued mortgage-backed securities (MBS agency) | 94,203 | 96,014 | 78,549 | -1.9 | 19.9 | |||||||||||||||
| Non-agency issued mortgage-backed securities (MBS non-agency) | 36,418 | 41,510 | 57,886 | -12.3 | -37.1 | |||||||||||||||
| Total securities available for sale | $ | 282,608 | $ | 303,515 | $ | 310,860 | -6.9 | -9.1 |
Net loans, excluding loans held for sale, decreased
| Loans ($ in thousands) | September 30, 2025 | June 30, 2025 | September 30, 2024 | Three Month % Change | One Year % Change | |||||||||||||||
| Real Estate: | ||||||||||||||||||||
| One-to-four family | $ | 382,486 | $ | 387,459 | $ | 395,792 | -1.3 | % | -3.4 | % | ||||||||||
| Multi-family | 296,321 | 329,696 | 353,813 | -10.1 | -16.2 | |||||||||||||||
| Commercial real estate | 396,519 | 391,362 | 376,008 | 1.3 | 5.5 | |||||||||||||||
| Construction and land | 67,793 | 72,538 | 95,709 | -6.5 | -29.2 | |||||||||||||||
| Total real estate loans | 1,143,119 | 1,181,055 | 1,221,322 | -3.2 | -6.4 | |||||||||||||||
| Consumer: | ||||||||||||||||||||
| Home equity | 86,629 | 84,927 | 76,960 | 2.0 | 12.6 | |||||||||||||||
| Auto and other consumer | 280,224 | 280,877 | 281,198 | -0.2 | -0.3 | |||||||||||||||
| Total consumer loans | 366,853 | 365,804 | 358,158 | 0.3 | 2.4 | |||||||||||||||
| Commercial business | 113,160 | 117,843 | 155,327 | -4.0 | -27.1 | |||||||||||||||
| Total loans receivable | 1,623,132 | 1,664,702 | 1,734,807 | -2.5 | -6.4 | |||||||||||||||
| Less: | ||||||||||||||||||||
| Derivative basis adjustment | (896 | ) | (860 | ) | (1,579 | ) | -4.2 | 43.3 | ||||||||||||
| Allowance for credit losses on loans | 16,203 | 18,345 | 21,970 | -11.7 | -26.2 | |||||||||||||||
| Total loans receivable, net | $ | 1,607,825 | $ | 1,647,217 | $ | 1,714,416 | -2.4 | -6.2 |
Other decreases to total assets during the quarter included a
Total deposits decreased
| Deposits ($ in thousands) | September 30, 2025 | June 30, 2025 | September 30, 2024 | Three Month % Change | One Year % Change | |||||||||||||||
| Noninterest-bearing demand deposits | $ | 255,366 | $ | 240,051 | $ | 252,999 | 6.4 | % | 0.9 | % | ||||||||||
| Interest-bearing demand deposits | 146,373 | 144,409 | 167,202 | 1.4 | -12.5 | |||||||||||||||
| Money market accounts | 475,614 | 484,787 | 433,307 | -1.9 | 9.8 | |||||||||||||||
| Savings accounts | 232,831 | 227,968 | 212,763 | 2.1 | 9.4 | |||||||||||||||
| Certificates of deposit, customer | 438,780 | 450,494 | 441,665 | -2.6 | -0.7 | |||||||||||||||
| Certificates of deposit, brokered | 104,363 | 106,927 | 203,705 | -2.4 | -48.8 | |||||||||||||||
| Total deposits | $ | 1,653,327 | $ | 1,654,636 | $ | 1,711,641 | -0.1 | -3.4 |
Total shareholders’ equity increased to
Capital levels for both the Company and the Bank remain in excess of applicable regulatory requirements and the Bank was categorized as "well-capitalized" at September 30, 2025. Preliminary calculations of Common Equity Tier 1 and Total Risk-Based Capital Ratios at September 30, 2025, were
| 2025 Awards/Recognition | |||||||||
| Sound Publishing: | |||||||||
| Forbes Best-in-State Banks | Best Bank in Clallam County | ||||||||
| Bellingham Best of the Northwest - Best Bank Silver | Best Lender in Clallam County and West End | ||||||||
 |  |  |  | ||||||
| 2024 Awards/Recognition | ||||||||
| Sound Publishing: | ||||||||
| Puget Sound Business Journal Top Corporate Philanthropists | Best of the Olympic Peninsula Awards | |||||||
| Bellingham Best of the Northwest - Silver | Best Lender in Clallam and Jefferson County | |||||||
| The Leader Readers Choice Award - Best Bank | Best Bank in Clallam County and West End | |||||||
 |  |  |  |  |  | |||
About the Company
First Northwest Bancorp (Nasdaq: FNWB) is a financial holding company engaged in investment activities including the business of its subsidiary, First Fed Bank. First Fed is a Pacific Northwest-based financial institution which has served its customers and communities since 1923. Currently First Fed has 17 locations in Washington state including 12 full-service branches. First Fed’s business and operating strategy is focused on building sustainable earnings by delivering a full array of financial products and services for individuals, small businesses, non-profit organizations and commercial customers. First Northwest has also strategically invested in partnerships focused on developing modern financial solutions and a boutique investment banking/accelerator firm. These investments underscore the Company’s commitment to innovation and growth in the financial services sector. First Northwest Bancorp was incorporated in 2012 and completed its initial public offering in 2015 under the ticker symbol FNWB. The Company is headquartered in Port Angeles, Washington.
Forward-Looking Statements
Certain matters discussed in this press release 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 environment in which we operate, projections of future performance and execution on certain strategies, perceived opportunities in the market, potential future credit experience, including our ability to collect, the outcome of litigation and statements regarding our mission and vision, and include, but are not limited to, statements about our plans, objectives, expectations and intentions that are not historical facts, and other statements often identified by words such as "believes," "expects," "anticipates," "estimates," or similar expressions. These forward-looking statements are based upon current management beliefs and expectations and may, therefore, involve risks and uncertainties, many of which are beyond our control. Our actual results, performance, or achievements may differ materially from those suggested, expressed, or implied by forward-looking statements as a result of a wide variety of factors including, but not limited to: increased competitive pressures; changes in the interest rate environment; the credit risks of lending activities; pressures on liquidity, including as a result of withdrawals of deposits or declines in the value of our investment portfolio; changes in general economic conditions and conditions within the securities markets, including potential recessionary and other unfavorable conditions and trends relating to housing markets, unemployment levels, interest rates and inflationary pressures, among other things; legislative, regulatory, and policy changes; legal proceedings, regulatory investigations and their resolutions; and other factors described in the Company’s latest Annual Report on Form 10-K under the section entitled "Risk Factors," and other filings with the Securities and Exchange Commission ("SEC"),which are available on our website at www.ourfirstfed.com and on the SEC’s website at www.sec.gov.
Any of the forward-looking statements that we make in this press release and in the other public statements we make may turn out to be incorrect because of the inaccurate assumptions we might make, because of the factors illustrated above or because of other factors that we cannot foresee. Because of these and other uncertainties, our actual future results may be materially different from those expressed or implied in any forward-looking statements made by or on our behalf and the Company's operating and stock price performance may be negatively affected. Therefore, these factors should be considered in evaluating the forward-looking statements, and undue reliance should not be placed on such statements. We do not undertake and specifically disclaim any obligation to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements. These risks could cause our actual results for 2025 and beyond to differ materially from those expressed in any forward-looking statements by, or on behalf of, us and could negatively affect the Company’s operations and stock price performance.
For More Information Contact:
Curt Queyrouze, President and Chief Executive Officer
Phyllis Nomura, Chief Financial Officer and EVP
IRGroup@ourfirstfed.com
360-457-0461
| FIRST NORTHWEST BANCORP AND SUBSIDIARY CONSOLIDATED BALANCE SHEETS (Dollars in thousands, except share data) (Unaudited) | ||||||||||||||||||||
| September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | ||||||||||||||||
| ASSETS | ||||||||||||||||||||
| Cash and due from banks | $ | 15,688 | $ | 18,487 | $ | 18,911 | $ | 16,811 | $ | 17,953 | ||||||||||
| Interest-earning deposits in banks | 63,482 | 69,376 | 51,412 | 55,637 | 64,769 | |||||||||||||||
| Investment securities available for sale, at fair value (amortized cost at each period end of | 282,608 | 303,515 | 315,433 | 340,344 | 310,860 | |||||||||||||||
| Loans held for sale | 2,154 | 1,557 | 2,940 | 472 | 378 | |||||||||||||||
| Loans receivable (net of allowance for credit losses on loans at each period end of | 1,607,825 | 1,647,217 | 1,637,573 | 1,675,186 | 1,714,416 | |||||||||||||||
| Federal Home Loan Bank (FHLB) stock, at cost | 10,856 | 14,906 | 13,106 | 14,435 | 14,435 | |||||||||||||||
| Accrued interest receivable | 8,160 | 8,305 | 8,319 | 8,159 | 8,939 | |||||||||||||||
| Premises and equipment, net | 8,788 | 8,999 | 9,870 | 10,129 | 10,436 | |||||||||||||||
| Servicing rights on sold loans, at fair value | 3,093 | 3,220 | 3,301 | 3,281 | 3,584 | |||||||||||||||
| Bank-owned life insurance ("BOLI"), net | 41,889 | 41,380 | 31,786 | 41,150 | 41,429 | |||||||||||||||
| Equity and partnership investments | 15,048 | 14,811 | 15,026 | 13,229 | 14,912 | |||||||||||||||
| Goodwill and other intangible assets, net | 1,080 | 1,081 | 1,082 | 1,082 | 1,083 | |||||||||||||||
| Deferred tax asset, net | 14,168 | 14,266 | 14,304 | 13,738 | 10,802 | |||||||||||||||
| Right-of-use ("ROU") asset, net | 15,494 | 15,772 | 16,687 | 17,001 | 17,315 | |||||||||||||||
| Prepaid expenses and other assets | 21,040 | 32,471 | 31,680 | 21,352 | 24,175 | |||||||||||||||
| Total assets | $ | 2,111,373 | $ | 2,195,363 | $ | 2,171,430 | $ | 2,232,006 | $ | 2,255,486 | ||||||||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||||||||||||
| Deposits | $ | 1,653,327 | $ | 1,654,636 | $ | 1,666,068 | $ | 1,688,026 | $ | 1,711,641 | ||||||||||
| Borrowings | 259,625 | 344,108 | 307,091 | 336,014 | 334,994 | |||||||||||||||
| Accrued interest payable | 1,145 | 1,514 | 2,163 | 3,295 | 2,153 | |||||||||||||||
| Lease liability, net | 16,071 | 16,257 | 17,266 | 17,535 | 17,799 | |||||||||||||||
| Accrued expenses and other liabilities | 24,321 | 27,790 | 29,767 | 31,770 | 25,625 | |||||||||||||||
| Advances from borrowers for taxes and insurance | 2,356 | 1,325 | 2,583 | 1,484 | 2,485 | |||||||||||||||
| Total liabilities | 1,956,845 | 2,045,630 | 2,024,938 | 2,078,124 | 2,094,697 | |||||||||||||||
| Shareholders' Equity | ||||||||||||||||||||
| Preferred stock, | — | — | — | — | — | |||||||||||||||
| Common stock, | 94 | 94 | 94 | 93 | 94 | |||||||||||||||
| Additional paid-in capital | 93,646 | 93,595 | 93,450 | 93,357 | 93,218 | |||||||||||||||
| Retained earnings | 91,317 | 90,506 | 87,506 | 97,198 | 100,660 | |||||||||||||||
| Accumulated other comprehensive loss, net of tax | (24,429 | ) | (28,198 | ) | (28,129 | ) | (30,172 | ) | (26,424 | ) | ||||||||||
| Unearned employee stock ownership plan (ESOP) shares | (6,100 | ) | (6,264 | ) | (6,429 | ) | (6,594 | ) | (6,759 | ) | ||||||||||
| Total shareholders' equity | 154,528 | 149,733 | 146,492 | 153,882 | 160,789 | |||||||||||||||
| Total liabilities and shareholders' equity | $ | 2,111,373 | $ | 2,195,363 | $ | 2,171,430 | $ | 2,232,006 | $ | 2,255,486 | ||||||||||
8
| FIRST NORTHWEST BANCORP AND SUBSIDIARY CONSOLIDATED STATEMENTS OF OPERATIONS (Dollars in thousands, except per share data) (Unaudited) | ||||||||||||||||||||||||||||
| For the Quarter Ended | For the Nine Months Ended | |||||||||||||||||||||||||||
| September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | September 30, 2025 | September 30, 2024 | ||||||||||||||||||||||
| INTEREST INCOME | ||||||||||||||||||||||||||||
| Interest and fees on loans receivable | $ | 22,814 | $ | 22,814 | $ | 22,231 | $ | 23,716 | $ | 23,536 | $ | 67,859 | $ | 70,036 | ||||||||||||||
| Interest on investment securities | 3,244 | 3,466 | 3,803 | 3,658 | 3,786 | 10,513 | 11,367 | |||||||||||||||||||||
| Interest on deposits in banks | 570 | 520 | 482 | 550 | 582 | 1,572 | 1,798 | |||||||||||||||||||||
| FHLB dividends | 282 | 331 | 307 | 273 | 302 | 920 | 942 | |||||||||||||||||||||
| Total interest income | 26,910 | 27,131 | 26,823 | 28,197 | 28,206 | 80,864 | 84,143 | |||||||||||||||||||||
| INTEREST EXPENSE | ||||||||||||||||||||||||||||
| Deposits | 9,083 | 9,552 | 9,737 | 11,175 | 10,960 | 28,372 | 31,252 | |||||||||||||||||||||
| Borrowings | 3,258 | 3,386 | 3,239 | 2,885 | 3,226 | 9,883 | 10,708 | |||||||||||||||||||||
| Total interest expense | 12,341 | 12,938 | 12,976 | 14,060 | 14,186 | 38,255 | 41,960 | |||||||||||||||||||||
| Net interest income | 14,569 | 14,193 | 13,847 | 14,137 | 14,020 | 42,609 | 42,183 | |||||||||||||||||||||
| PROVISION FOR CREDIT LOSSES | ||||||||||||||||||||||||||||
| (Recapture of) provision for credit losses on loans | (620 | ) | (296 | ) | 7,770 | 3,760 | 3,077 | 6,854 | 12,956 | |||||||||||||||||||
| (Recapture of) provision for credit losses on unfunded commitments | (53 | ) | (64 | ) | 15 | (105 | ) | 57 | (102 | ) | (113 | ) | ||||||||||||||||
| (Recapture of) provision for credit losses | (673 | ) | (360 | ) | 7,785 | 3,655 | 3,134 | 6,752 | 12,843 | |||||||||||||||||||
| Net interest income after (recapture of) provision for credit losses | 15,242 | 14,553 | 6,062 | 10,482 | 10,886 | 35,857 | 29,340 | |||||||||||||||||||||
| NONINTEREST INCOME | ||||||||||||||||||||||||||||
| Loan and deposit service fees | 1,114 | 1,095 | 1,106 | 1,054 | 1,059 | 3,315 | 3,237 | |||||||||||||||||||||
| Sold loan servicing fees and servicing rights mark-to-market | 85 | 92 | 195 | (115 | ) | 10 | 372 | 303 | ||||||||||||||||||||
| Net (loss) gain on sale of loans | (39 | ) | 44 | 11 | 52 | 58 | 16 | 260 | ||||||||||||||||||||
| Increase in BOLI cash surrender value | 539 | 485 | 372 | 328 | 315 | 1,396 | 851 | |||||||||||||||||||||
| Income from BOLI death benefit, net | — | — | 1,059 | 1,536 | — | 1,059 | — | |||||||||||||||||||||
| Other income (loss) | 303 | 454 | 1,034 | (1,555 | ) | 337 | 1,791 | 861 | ||||||||||||||||||||
| Total noninterest income | 2,002 | 2,170 | 3,777 | 1,300 | 1,779 | 7,949 | 11,314 | |||||||||||||||||||||
| NONINTEREST EXPENSE | ||||||||||||||||||||||||||||
| Compensation and benefits | 8,353 | 4,698 | 7,715 | 7,367 | 8,582 | 20,766 | 25,298 | |||||||||||||||||||||
| Data processing | 1,941 | 1,926 | 2,011 | 2,065 | 2,085 | 5,878 | 6,037 | |||||||||||||||||||||
| Occupancy and equipment | 1,505 | 1,507 | 1,592 | 1,559 | 1,553 | 4,604 | 4,592 | |||||||||||||||||||||
| Supplies, postage, and telephone | 344 | 346 | 298 | 296 | 360 | 988 | 970 | |||||||||||||||||||||
| Regulatory assessments and state taxes | 558 | 501 | 479 | 460 | 548 | 1,538 | 1,518 | |||||||||||||||||||||
| Advertising | 282 | 299 | 265 | 362 | 409 | 846 | 1,095 | |||||||||||||||||||||
| Professional fees | 2,668 | 1,449 | 777 | 813 | 698 | 4,894 | 2,292 | |||||||||||||||||||||
| FDIC insurance premium | 411 | 463 | 434 | 491 | 533 | 1,308 | 1,392 | |||||||||||||||||||||
| Other expense | 1,328 | 1,576 | 6,429 | 820 | 1,080 | 9,333 | 2,566 | |||||||||||||||||||||
| Total noninterest expense | 17,390 | 12,765 | 20,000 | 14,233 | 15,848 | 50,155 | 45,760 | |||||||||||||||||||||
| (Loss) income before (benefit) provision for income taxes | (146 | ) | 3,958 | (10,161 | ) | (2,451 | ) | (3,183 | ) | (6,349 | ) | (5,106 | ) | |||||||||||||||
| (Benefit) provision for income taxes | (948 | ) | 297 | (1,125 | ) | 359 | (1,203 | ) | (1,776 | ) | (1,303 | ) | ||||||||||||||||
| Net income (loss) | $ | 802 | $ | 3,661 | $ | (9,036 | ) | $ | (2,810 | ) | $ | (1,980 | ) | $ | (4,573 | ) | $ | (3,803 | ) | |||||||||
| Basic and diluted earnings (loss) per common share | $ | 0.09 | $ | 0.42 | $ | (1.03 | ) | $ | (0.32 | ) | $ | (0.23 | ) | $ | (0.52 | ) | $ | (0.43 | ) | |||||||||
| FIRST NORTHWEST BANCORP AND SUBSIDIARY ADDITIONAL INFORMATION (Dollars in thousands) (Unaudited) | ||||||||||||||||||||
| Selected Loan Detail | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | |||||||||||||||
| Construction and land loans breakout | ||||||||||||||||||||
| 1-4 Family construction | $ | 29,961 | $ | 39,040 | $ | 42,371 | $ | 39,319 | $ | 43,125 | ||||||||||
| Multifamily construction | 15,660 | 14,728 | 9,223 | 15,407 | 29,109 | |||||||||||||||
| Nonresidential construction | 16,484 | 12,832 | 7,229 | 16,857 | 17,500 | |||||||||||||||
| Land and development | 5,688 | 5,938 | 6,054 | 6,527 | 5,975 | |||||||||||||||
| Total construction and land loans | $ | 67,793 | $ | 72,538 | $ | 64,877 | $ | 78,110 | $ | 95,709 | ||||||||||
| Auto and other consumer loans breakout | ||||||||||||||||||||
| Triad Manufactured Home loans | $ | 133,425 | $ | 135,537 | $ | 134,740 | $ | 128,231 | $ | 129,600 | ||||||||||
| Woodside auto loans | 131,800 | 127,828 | 118,972 | 117,968 | 126,129 | |||||||||||||||
| First Help auto loans | 9,561 | 11,221 | 13,012 | 14,283 | 15,971 | |||||||||||||||
| Other auto loans | 767 | 1,016 | 1,313 | 1,647 | 2,064 | |||||||||||||||
| Other consumer loans | 4,671 | 5,275 | 5,841 | 6,747 | 7,434 | |||||||||||||||
| Total auto and other consumer loans | $ | 280,224 | $ | 280,877 | $ | 273,878 | $ | 268,876 | $ | 281,198 | ||||||||||
| Commercial business loans breakout | ||||||||||||||||||||
| Northpointe Bank MPP | $ | - | $ | - | $ | - | $ | 36,230 | $ | 38,155 | ||||||||||
| Secured lines of credit | 43,081 | 41,043 | 39,986 | 35,701 | 37,686 | |||||||||||||||
| Unsecured lines of credit | 2,580 | 2,551 | 2,030 | 1,717 | 1,571 | |||||||||||||||
| SBA loans | 6,347 | 6,618 | 6,889 | 7,044 | 7,219 | |||||||||||||||
| Other commercial business loans | 61,152 | 67,631 | 70,878 | 70,801 | 70,696 | |||||||||||||||
| Total commercial business loans | $ | 113,160 | $ | 117,843 | $ | 119,783 | $ | 151,493 | $ | 155,327 | ||||||||||
| Loans by Collateral and Unfunded Commitments | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | |||||||||||||||
| One-to-four family construction | $ | 31,627 | $ | 40,509 | $ | 38,221 | $ | 44,468 | $ | 51,607 | ||||||||||
| All other construction and land | 36,161 | 36,129 | 30,947 | 34,290 | 45,166 | |||||||||||||||
| One-to-four family first mortgage | 415,670 | 420,847 | 428,081 | 466,046 | 469,053 | |||||||||||||||
| One-to-four family junior liens | 20,568 | 20,116 | 15,155 | 15,090 | 14,701 | |||||||||||||||
| One-to-four family revolving open-end | 58,486 | 57,502 | 51,832 | 51,481 | 48,459 | |||||||||||||||
| Commercial real estate, owner occupied: | ||||||||||||||||||||
| Health care | 28,794 | 29,091 | 29,386 | 29,129 | 29,407 | |||||||||||||||
| Office | 18,499 | 19,116 | 19,363 | 17,756 | 17,901 | |||||||||||||||
| Warehouse | 7,684 | 7,432 | 9,272 | 14,948 | 11,645 | |||||||||||||||
| Other | 73,562 | 74,364 | 74,915 | 78,170 | 64,535 | |||||||||||||||
| Commercial real estate, non-owner occupied: | ||||||||||||||||||||
| Office | 40,917 | 42,198 | 41,885 | 49,417 | 49,770 | |||||||||||||||
| Retail | 50,839 | 51,708 | 50,737 | 49,591 | 49,717 | |||||||||||||||
| Hospitality | 63,953 | 64,308 | 62,226 | 61,919 | 62,282 | |||||||||||||||
| Other | 106,991 | 93,505 | 93,549 | 81,640 | 82,573 | |||||||||||||||
| Multi-family residential | 297,379 | 330,784 | 339,217 | 333,419 | 354,118 | |||||||||||||||
| Commercial business loans | 68,062 | 73,403 | 75,628 | 77,381 | 86,904 | |||||||||||||||
| Commercial agriculture and fishing loans | 23,346 | 22,443 | 22,914 | 21,833 | 15,369 | |||||||||||||||
| State and political subdivision obligations | 369 | 369 | 369 | 369 | 404 | |||||||||||||||
| Consumer automobile loans | 142,064 | 139,992 | 133,209 | 133,789 | 144,036 | |||||||||||||||
| Consumer loans secured by other assets | 136,073 | 138,378 | 137,619 | 131,429 | 132,749 | |||||||||||||||
| Consumer loans unsecured | 2,088 | 2,508 | 3,051 | 3,658 | 4,411 | |||||||||||||||
| Total loans | $ | 1,623,132 | $ | 1,664,702 | $ | 1,657,576 | $ | 1,695,823 | $ | 1,734,807 | ||||||||||
| Unfunded commitments under lines of credit or existing loans | $ | 158,118 | $ | 166,589 | $ | 175,100 | $ | 163,827 | $ | 166,446 | ||||||||||
| FIRST NORTHWEST BANCORP AND SUBSIDIARY NET INTEREST MARGIN ANALYSIS (Dollars in thousands) (Unaudited) | ||||||||||||||||||||||||
| Three Months Ended September 30, | ||||||||||||||||||||||||
| 2025 | 2024 | |||||||||||||||||||||||
| Average | Interest | Average | Interest | |||||||||||||||||||||
| Balance | Earned/ | Yield/ | Balance | Earned/ | Yield/ | |||||||||||||||||||
| Outstanding | Paid | Rate | Outstanding | Paid | Rate | |||||||||||||||||||
| (Dollars in thousands) | ||||||||||||||||||||||||
| Interest-earning assets: | ||||||||||||||||||||||||
| Loans receivable, net (1) (2) | $ | 1,632,684 | $ | 22,814 | 5.54 | % | $ | 1,699,302 | $ | 23,536 | 5.51 | % | ||||||||||||
| Total investment securities | 293,723 | 3,244 | 4.38 | 307,623 | 3,786 | 4.90 | ||||||||||||||||||
| FHLB dividends | 12,810 | 282 | 8.73 | 12,697 | 302 | 9.46 | ||||||||||||||||||
| Interest-earning deposits in banks | 50,150 | 570 | 4.51 | 42,348 | 582 | 5.47 | ||||||||||||||||||
| Total interest-earning assets (3) | 1,989,367 | 26,910 | 5.37 | 2,061,970 | 28,206 | 5.44 | ||||||||||||||||||
| Noninterest-earning assets | 146,042 | 147,363 | ||||||||||||||||||||||
| Total average assets | $ | 2,135,409 | $ | 2,209,333 | ||||||||||||||||||||
| Interest-bearing liabilities: | ||||||||||||||||||||||||
| Interest-bearing demand deposits | $ | 141,469 | $ | 52 | 0.15 | $ | 166,846 | $ | 187 | 0.45 | ||||||||||||||
| Money market accounts | 464,265 | 2,832 | 2.42 | 431,346 | 2,875 | 2.65 | ||||||||||||||||||
| Savings accounts | 231,431 | 914 | 1.57 | 224,159 | 923 | 1.64 | ||||||||||||||||||
| Certificates of deposit, customer | 443,312 | 4,175 | 3.74 | 415,450 | 4,340 | 4.16 | ||||||||||||||||||
| Certificates of deposit, brokered | 103,959 | 1,110 | 4.24 | 215,016 | 2,635 | 4.88 | ||||||||||||||||||
| Total interest-bearing deposits (4) | 1,384,436 | 9,083 | 2.60 | 1,452,817 | 10,960 | 3.00 | ||||||||||||||||||
| Advances | 265,554 | 2,913 | 4.35 | 255,348 | 2,832 | 4.41 | ||||||||||||||||||
| Subordinated debt | 34,617 | 345 | 3.95 | 39,484 | 394 | 3.97 | ||||||||||||||||||
| Total interest-bearing liabilities | 1,684,607 | 12,341 | 2.91 | 1,747,649 | 14,186 | 3.23 | ||||||||||||||||||
| Noninterest-bearing deposits (4) | 251,448 | 252,911 | ||||||||||||||||||||||
| Other noninterest-bearing liabilities | 47,978 | 48,294 | ||||||||||||||||||||||
| Total average liabilities | 1,984,033 | 2,048,854 | ||||||||||||||||||||||
| Average equity | 151,376 | 160,479 | ||||||||||||||||||||||
| Total average liabilities and equity | $ | 2,135,409 | $ | 2,209,333 | ||||||||||||||||||||
| Net interest income | $ | 14,569 | $ | 14,020 | ||||||||||||||||||||
| Net interest rate spread | 2.46 | 2.21 | ||||||||||||||||||||||
| Net earning assets | $ | 304,760 | $ | 314,321 | ||||||||||||||||||||
| Net interest margin (5) | 2.91 | 2.70 | ||||||||||||||||||||||
| Average interest-earning assets to average interest-bearing liabilities | 118.1 | % | 118.0 | % | ||||||||||||||||||||
(1) The average loans receivable, net balances include nonaccrual loans.
(2) Interest earned on loans receivable includes net deferred (costs) fees of (
(3) Includes interest-earning deposits (cash) at other financial institutions.
(4) Cost of all deposits, including noninterest-bearing demand deposits, was
(5) Net interest income divided by average interest-earning assets.
FIRST NORTHWEST BANCORP AND SUBSIDIARY
ADDITIONAL INFORMATION
(Dollars in thousands) (Unaudited)
Non-GAAP Financial Measures
This press release contains financial measures that are not in conformity with generally accepted accounting principles in the United States of America ("GAAP"). Non-GAAP measures are presented where management believes the information will help investors understand the Company’s results of operations or financial position and assess trends. Where non-GAAP financial measures are used, the comparable GAAP financial measure is also provided. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, and are not necessarily comparable to non-GAAP performance measures that may be presented by other companies. Other banking companies may use names similar to those the Company uses for the non-GAAP financial measures the Company discloses, but may calculate them differently. Investors should understand how the Company and other companies each calculate their non-GAAP financial measures when making comparisons. Reconciliations of the GAAP and non-GAAP measures are presented below.
Calculations Based on PPNR and Adjusted PPNR:
| For the Quarter Ended | For the Nine Months Ended | |||||||||||||||||||||||||||
| (Dollars in thousands) | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | September 30, 2025 | September 30, 2024 | |||||||||||||||||||||
| Net income (loss) (GAAP) | $ | 802 | $ | 3,661 | $ | (9,036 | ) | $ | (2,810 | ) | $ | (1,980 | ) | $ | (4,573 | ) | $ | (3,803 | ) | |||||||||
| Plus: (recapture of) provision for credit losses (GAAP) | (673 | ) | (360 | ) | 7,785 | 3,655 | 3,134 | 6,752 | 12,843 | |||||||||||||||||||
| (Benefit) provision for income taxes (GAAP) | (948 | ) | 297 | (1,125 | ) | 359 | (1,203 | ) | (1,776 | ) | (1,303 | ) | ||||||||||||||||
| PPNR (Non-GAAP) (1) | (819 | ) | 3,598 | (2,376 | ) | 1,204 | (49 | ) | 403 | 7,737 | ||||||||||||||||||
| Less selected nonrecurring adjustments to PPNR (Non-GAAP): | ||||||||||||||||||||||||||||
| Executive transition costs included in compensation and professional fees | (1,159 | ) | — | — | — | — | (1,159 | ) | — | |||||||||||||||||||
| Employee retention credit ("ERC") included in compensation | — | 2,640 | — | — | — | 2,640 | — | |||||||||||||||||||||
| ERC consulting expense included in professional fees | — | (528 | ) | — | — | — | (528 | ) | — | |||||||||||||||||||
| Costs associated with early termination of Bellevue Business Center lease included in other expense | — | (599 | ) | — | — | — | (599 | ) | — | |||||||||||||||||||
| Bank-owned life insurance ("BOLI") death benefit | — | — | 1,059 | 1,536 | — | 1,059 | — | |||||||||||||||||||||
| Gain on extinguishment of subordinated debt included in other income | — | — | 846 | — | — | 846 | — | |||||||||||||||||||||
| Legal reserve included in other expense | — | — | (5,750 | ) | — | — | (5,750 | ) | — | |||||||||||||||||||
| Equity investment repricing adjustment included in other income | — | — | — | (1,762 | ) | — | — | 651 | ||||||||||||||||||||
| One-time compensation payouts related to reduction in force | — | — | — | — | (996 | ) | — | (996 | ) | |||||||||||||||||||
| Net gain on sale of premises and equipment | — | — | — | — | — | — | 7,919 | |||||||||||||||||||||
| Sale leaseback taxes and assessments included in occupancy and equipment | — | — | — | — | — | — | (359 | ) | ||||||||||||||||||||
| Net gain on sale of investment securities | — | — | — | — | — | — | (2,117 | ) | ||||||||||||||||||||
| Adjusted PPNR (Non-GAAP) (1) | $ | 340 | $ | 2,085 | $ | 1,469 | $ | 1,430 | $ | 947 | $ | 3,894 | $ | 2,639 | ||||||||||||||
| Average total assets (GAAP) | $ | 2,135,409 | $ | 2,164,579 | $ | 2,174,748 | $ | 2,205,502 | $ | 2,209,333 | $ | 2,158,091 | $ | 2,198,337 | ||||||||||||||
| GAAP Ratio: | ||||||||||||||||||||||||||||
| Return on average assets (GAAP) | 0.15 | % | 0.68 | % | -1.69 | % | -0.51 | % | -0.36 | % | -0.28 | % | -0.23 | % | ||||||||||||||
| Non-GAAP Ratios: | ||||||||||||||||||||||||||||
| PPNR return on average assets (Non-GAAP) (1) | -0.15 | % | 0.67 | % | -0.44 | % | 0.22 | % | -0.01 | % | 0.02 | % | 0.47 | % | ||||||||||||||
| Adjusted PPNR return on average assets (Non-GAAP) (1) | 0.06 | % | 0.39 | % | 0.27 | % | 0.26 | % | 0.17 | % | 0.24 | % | 0.16 | % | ||||||||||||||
| (1) PPNR removes the provisions for credit loss and income tax from net income. This removes potentially volatile estimates, providing a comparative amount limited to income and expense recorded during the period. Adjusted PPNR further removes large nonrecurring transactions recorded during the period. We believe these metrics provide comparative amounts for a better review of recurring net revenue. |
| FIRST NORTHWEST BANCORP AND SUBSIDIARY ADDITIONAL INFORMATION (Dollars in thousands) (Unaudited) | ||||||||||||||||||||||||||||
| Calculations Based on Tangible Common Equity: | ||||||||||||||||||||||||||||
| For the Quarter Ended | For the Nine Months Ended | |||||||||||||||||||||||||||
| (Dollars in thousands, except per share data) | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | September 30, 2024 | September 30, 2025 | September 30, 2024 | |||||||||||||||||||||
| Total shareholders' equity | $ | 154,528 | $ | 149,733 | $ | 146,492 | $ | 153,882 | $ | 160,789 | $ | 154,528 | $ | 160,789 | ||||||||||||||
| Less: Goodwill and other intangible assets | 1,080 | 1,081 | 1,082 | 1,082 | 1,083 | 1,080 | 1,083 | |||||||||||||||||||||
| Disallowed non-mortgage loan servicing rights | 317 | 372 | 415 | 423 | 489 | 317 | 489 | |||||||||||||||||||||
| Total tangible common equity | $ | 153,131 | $ | 148,280 | $ | 144,995 | $ | 152,377 | $ | 159,217 | $ | 153,131 | $ | 159,217 | ||||||||||||||
| Total assets | $ | 2,111,373 | $ | 2,195,363 | $ | 2,171,430 | $ | 2,232,006 | $ | 2,255,486 | $ | 2,111,373 | $ | 2,255,486 | ||||||||||||||
| Less: Goodwill and other intangible assets | 1,080 | 1,081 | 1,082 | 1,082 | 1,083 | 1,080 | 1,083 | |||||||||||||||||||||
| Disallowed non-mortgage loan servicing rights | 317 | 372 | 415 | 423 | 489 | 317 | 489 | |||||||||||||||||||||
| Total tangible assets | $ | 2,109,976 | $ | 2,193,910 | $ | 2,169,933 | $ | 2,230,501 | $ | 2,253,914 | $ | 2,109,976 | $ | 2,253,914 | ||||||||||||||
| Average shareholders' equity | $ | 151,376 | $ | 146,857 | $ | 156,470 | $ | 161,560 | $ | 160,479 | $ | 151,538 | $ | 161,803 | ||||||||||||||
| Less: Average goodwill and other intangible assets | 1,081 | 1,081 | 1,082 | 1,083 | 1,084 | 1,081 | 1,085 | |||||||||||||||||||||
| Average disallowed non-mortgage loan servicing rights | 371 | 415 | 423 | 489 | 517 | 403 | 496 | |||||||||||||||||||||
| Total average tangible common equity | $ | 149,924 | $ | 145,361 | $ | 154,965 | $ | 159,988 | $ | 158,878 | $ | 150,054 | $ | 160,222 | ||||||||||||||
| Net income (loss) | $ | 802 | $ | 3,661 | $ | (9,036 | ) | $ | (2,810 | ) | $ | (1,980 | ) | $ | (4,573 | ) | $ | (3,803 | ) | |||||||||
| Common shares outstanding | 9,462,150 | 9,444,963 | 9,440,618 | 9,353,348 | 9,365,979 | 9,462,150 | 9,365,979 | |||||||||||||||||||||
| GAAP Ratios: | ||||||||||||||||||||||||||||
| Equity to total assets | 7.32 | % | 6.82 | % | 6.75 | % | 6.89 | % | 7.13 | % | 7.32 | % | 7.13 | % | ||||||||||||||
| Return on average equity | 2.10 | % | 10.00 | % | -23.42 | % | -6.92 | % | -4.91 | % | -4.03 | % | -3.14 | % | ||||||||||||||
| Book value per common share | $ | 16.33 | $ | 15.85 | $ | 15.52 | $ | 16.45 | $ | 17.17 | $ | 16.33 | $ | 17.17 | ||||||||||||||
| Non-GAAP Ratios: | ||||||||||||||||||||||||||||
| Tangible common equity to tangible assets (1) | 7.26 | % | 6.76 | % | 6.68 | % | 6.83 | % | 7.06 | % | 7.26 | % | 7.06 | % | ||||||||||||||
| Return on average tangible common equity (1) | 2.12 | % | 10.10 | % | -23.65 | % | -6.99 | % | -4.96 | % | -4.07 | % | -3.17 | % | ||||||||||||||
| Tangible book value per common share (1) | $ | 16.18 | $ | 15.70 | $ | 15.36 | $ | 16.29 | $ | 17.00 | $ | 16.18 | $ | 17.00 | ||||||||||||||
| (1 | ) | We believe that the use of tangible equity and tangible assets improves the comparability to other institutions that have not engaged in acquisitions that resulted in recorded goodwill and other intangibles. |
Photos accompanying this announcement are available at: https://www.globenewswire.com/NewsRoom/AttachmentNg/ec579098-745c-484e-875a-7badda595e77
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FAQ
What did First Northwest (FNWB) report for Q3 2025 net income and EPS?
Why did First Northwest's net interest margin (FNWB) improve in Q3 2025?
How did First Northwest's adjusted PPNR (FNWB) change in Q3 2025?
What drove the increase in noninterest expense at First Northwest (FNWB) in Q3 2025?
Did First Northwest (FNWB) declare a dividend for Q3 2025?
What happened to First Northwest's allowance for credit losses and nonperforming loans in Q3 2025?
