Bridgewater Bancshares, Inc. Announces Second Quarter 2026 Financial Results

Bridgewater Bancshares, Inc. Announces Second Quarter 2026 Financial Results 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 $14.0 million for the second quarter of 2026, compared to $17.4 million for the first quarter of 2026, and $11.5 million for the second quarter of 2025. Earnings per diluted common share were $0.45 for the second quarter of 2026, compared to $0.58 for the first quarter of 2026, and $0.38 for the second quarter of 2025.

“Bridgewater’s strong second quarter reflected continued progress across key profitability drivers, highlighted by improved revenue and net interest income growth trends,” said Chairman and Chief Executive Officer, Jerry Baack. “The profitable growth of our loan portfolio, supported by continued net interest margin expansion and higher loan repricing, helped drive stronger earnings performance while we maintained our disciplined credit underwriting approach and strong asset quality profile. Our results demonstrated the strength of our core banking model, the benefits of disciplined balance sheet management, and the continued momentum we are seeing across our markets.

“We remain focused on executing our relationship-based growth strategy and are continuing to proactively add top talent across our production and support teams. These investments will support our ability to capitalize on future growth opportunities, strengthen our ability to serve clients, and create long-term value for our shareholders.”

________________________________________

(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,

2026

2025

2026

2025

Per Common Share Data

Basic Earnings Per Share

0.47

0.59

0.38

1.06

0.70

Diluted Earnings Per Share

0.45

0.58

0.38

1.03

0.68

Adjusted Diluted Earnings Per Share (1)

0.45

0.41

0.37

0.86

0.69

Book Value Per Share

17.27

16.60

14.92

17.27

14.92

Tangible Book Value Per Share (1)

16.61

15.93

14.21

16.61

14.21

Financial Ratios

Return on Average Assets (2)

1.06

1.35

0.90

1.20

0.83

Pre-Provision Net Revenue Return on Average Assets (1)(2)

1.43

1.30

1.27

1.37

1.20

Return on Average Shareholders' Equity (2)

10.17

13.45

9.80

11.76

9.10

Return on Average Tangible Common Equity (1)(2)

11.15

15.13

10.93

13.07

10.08

Net Interest Margin (3)

3.07

2.99

2.62

3.03

2.56

Core Net Interest Margin (1)(3)

2.94

2.86

2.49

2.90

2.43

Cost of Total Deposits

2.80

2.79

3.16

2.79

3.17

Cost of Funds

2.91

2.90

3.19

2.90

3.18

Yield on Loans

5.91

5.81

5.74

5.86

5.68

Efficiency Ratio (1)

53.0

56.3

52.6

54.6

53.9

Noninterest Expense to Average Assets (2)

1.65

1.71

1.47

1.68

1.46

Tangible Common Equity to Tangible Assets (1)

8.62

8.34

7.40

8.62

7.40

Common Equity Tier 1 Risk-based Capital Ratio (Consolidated) (4)

9.61

9.53

9.03

9.61

9.03

Adjusted Financial Ratios (1)

Adjusted Return on Average Assets (2)

1.06

0.98

0.88

1.02

0.84

Adjusted Pre-Provision Net Revenue Return on Average Assets (2)

1.43

1.37

1.31

1.40

1.25

Adjusted Return on Average Shareholders' Equity (2)

10.17

9.76

9.64

9.97

9.21

Adjusted Return on Average Tangible Common Equity (2)

11.15

10.72

10.74

10.94

10.22

Adjusted Efficiency Ratio

53.0

53.8

51.5

53.4

52.5

Adjusted Noninterest Expense to Average Assets (2)

1.65

1.64

1.43

1.65

1.42

Balance Sheet and Asset Quality (dollars in thousands)

Total Assets

5,389,726

5,335,396

5,296,673

5,389,726

5,296,673

Total Loans, Gross

4,426,389

4,368,042

4,145,799

4,426,389

4,145,799

Deposits

4,346,204

4,305,511

4,236,742

4,346,204

4,236,742

Loan to Deposit Ratio

101.8

101.5

97.9

101.8

97.9

Net Loan Charge-Offs to Average Loans (2)

0.04

0.05

0.00

0.04

0.00

Nonperforming Assets to Total Assets (5)

0.40

0.22

0.19

0.40

0.19

Allowance for Credit Losses to Total Loans

1.30

1.31

1.35

1.30

1.35

________________________________________

(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 2026 was 3.07%, an eight basis point increase from 2.99% in the first quarter of 2026, and a 45 basis point increase from 2.62% in the second quarter of 2025. 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 First Minnetonka City Bank (“FMCB”), was 2.94% for the second quarter of 2026, an eight basis point increase from 2.86% in the first quarter of 2026, and a 45 basis point increase from 2.49% in the second quarter of 2025.

Net interest income was $38.6 million for the second quarter of 2026, an increase of $1.9 million from $36.6 million in the first quarter of 2026, and an increase of $6.1 million from $32.5 million in the second quarter of 2025.

Interest income was $72.7 million for the second quarter of 2026, an increase of $2.7 million from $70.0 million in the first quarter of 2026, and an increase of $3.5 million from $69.2 million in the second quarter of 2025.

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

Three Months Ended

June 30, 2026

March 31, 2026

December 31, 2025

September 30, 2025

June 30, 2025

Interest

5.76

5.66

5.63

5.66

5.59

Fees

0.13

0.12

0.10

0.09

0.11

Accretion

0.02

0.03

0.05

0.04

Yield on Loans

5.91

5.81

5.78

5.79

5.74

Interest expense was $34.1 million for the second quarter of 2026, an increase of $772,000 from $33.3 million in the first quarter of 2026, and a decrease of $2.7 million from $36.7 million in the second quarter of 2025.

Interest expense on deposits was $29.7 million for the second quarter of 2026, an increase of $918,000 from $28.8 million in the first quarter of 2026, and a decrease of $2.8 million from $32.5 million in the second quarter of 2025.

Provision for Credit Losses

The provision for credit losses on loans and leases was $550,000 for the second quarter of 2026, compared to $1.4 million for the first quarter of 2026, and $2.0 million for the second quarter of 2025.

The provision for credit losses for off-balance sheet credit exposures was $-0- for the second quarter of 2026, compared to a negative provision of $150,000 for the first quarter of 2026, and a provision of $-0- for the second quarter of 2025.

Noninterest Income

Noninterest income was $2.3 million for the second quarter of 2026, a decrease of $7.2 million from $9.6 million for the first quarter of 2026, and a decrease of $1.3 million from $3.6 million for the second quarter of 2025.

Noninterest Expense

Noninterest expense was $21.9 million for the second quarter of 2026, a decrease of $276,000 from $22.2 million for the first quarter of 2026, and an increase of $3.0 million from $18.9 million for the second quarter of 2025.

Income Taxes

The effective combined federal and state income tax rate was 24.1% for the second quarter of 2026, compared to 23.8% for the first quarter of 2026, and 23.9% for the second quarter of 2025.

Balance Sheet

Loans

(dollars in thousands)

June 30, 2026

March 31, 2026

December 31, 2025

September 30, 2025

June 30, 2025

Commercial

591,034

593,406

547,245

533,476

549,259

Leases

41,802

41,791

43,407

43,186

44,817

Construction and Land Development

186,248

209,421

216,163

159,991

136,438

1-4 Family Construction

46,539

50,629

45,152

41,739

39,095

Real Estate Mortgage:

1-4 Family Mortgage

485,288

488,029

496,142

487,297

474,269

Multifamily

1,690,566

1,590,091

1,587,338

1,578,223

1,555,731

CRE Owner Occupied

191,153

188,588

189,754

192,966

192,837

CRE Nonowner Occupied

1,168,863

1,185,371

1,165,104

1,158,622

1,137,007

Total Real Estate Mortgage Loans

3,535,870

3,452,079

3,438,338

3,417,108

3,359,844

Consumer and Other

24,896

20,716

19,212

19,054

16,346

Total Loans, Gross

4,426,389

4,368,042

4,309,517

4,214,554

4,145,799

Allowance for Credit Losses on Loans

(57,418

)

(57,277

)

(56,443

)

(56,390

)

(55,765

)

Net Deferred Loan Fees

(8,469

)

(8,633

)

(8,966

)

(8,282

)

(7,629

)

Total Loans, Net

4,360,502

4,302,132

4,244,108

4,149,882

4,082,405

Total gross loans at June 30, 2026 were $4.43 billion, an increase of $58.3 million, or 5.4% annualized, compared to total gross loans of $4.37 billion at March 31, 2026, and an increase of $280.6 million, or 6.8%, compared to total gross loans of $4.15 billion at June 30, 2025.

Deposits

(dollars in thousands)

June 30, 2026

March 31, 2026

December 31, 2025

September 30, 2025

June 30, 2025

Noninterest Bearing Transaction Deposits

830,952

828,845

923,070

822,632

787,868

Interest Bearing Transaction Deposits

944,502

899,911

893,740

860,774

791,748

Savings and Money Market Deposits

1,435,582

1,497,517

1,380,922

1,428,726

1,441,694

Time Deposits

243,694

232,959

312,154

346,214

344,882

Brokered Deposits

891,474

846,279

810,483

834,418

870,550

Total Deposits

4,346,204

4,305,511

4,320,369

4,292,764

4,236,742

Total deposits at June 30, 2026 were $4.35 billion, an increase of $40.7 million, or 3.8% annualized, compared to total deposits of $4.31 billion at March 31, 2026, and an increase of $109.5 million, or 2.6%, compared to total deposits of $4.24 billion at June 30, 2025.

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.

Capital

Total shareholders’ equity at June 30, 2026 was $547.9 million, an increase of $19.5 million, or 14.8% annualized, compared to $528.4 million at March 31, 2026, and an increase of $71.6 million, or 15.0%, over $476.3 million at June 30, 2025.

Tangible book value per share, a non-GAAP financial measure, was $16.61 as of June 30, 2026, an increase of 17.1% annualized from $15.93 as of March 31, 2026, and an increase of 16.9% from $14.21 as of June 30, 2025.

During the second quarter of 2026, the Company repurchased 38,659 shares of its common stock at an aggregate purchase price of $700,000 (weighted average price of $18.12 per share).

The Company did not sell any shares during the second quarter of 2026 as part of its existing at-the-market offering.

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 1, 2026 to shareholders of record of the Series A Preferred Stock at the close of business on August 14, 2026.

Conference Call and Webcast

The Company will host a conference call to discuss its second quarter 2026 financial results on Wednesday, July 22, 2026 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 855-669-9658 and enter access code 9039549. The replay will be available through July 29, 2026. 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 received numerous awards for its banking services and esteemed corporate culture. With total assets of $5.4 billion as of June 30, 2026 and nine strategically located branches, 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 meanings of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the 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 known and unknown uncertainties, risks, changes in circumstances and other factors 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 actions taken by the federal government, including the threat or implementation of tariffs, immigration enforcement, executive orders, and changes in foreign policy; 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, and future monetary policies of the Federal Reserve and executive orders in response thereto, and possible recession; credit risk and risks from concentrations (including 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 consequences to us and our customers, including the development and implementation of tools incorporating artificial intelligence; emerging issues related to the development and use of artificial intelligence that could give rise to legal or regulatory action, damage our reputation, or otherwise materially harm our business or customers; 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, widespread disease or pandemics, acts of war, military conflicts, or terrorism, changes in foreign relations, or other adverse external events, including the wars in Iran and Ukraine, ongoing conflicts in the Middle East and other international military conflicts that can increase levels of political and economic unpredictability, contribute to rising energy and commodity prices, affect global supply chains, increase the volatility of financial markets, and other matters beyond our control; potential impairment to the goodwill the Company recorded in connection with acquisitions; risks associated with our integration of FMCB, and the effect of the merger on the Company’s customer and employee relationships and operating results; the availability of future equity and debt issuances and other capital raising opportunities on favorable terms; 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)

2026

2025

(Unaudited)

Income Statement

Net Interest Income

38,566

36,647

35,687

34,091

32,452

Provision for Credit Losses

550

1,200

1,450

1,100

2,000

Noninterest Income

2,324

9,564

3,148

2,061

3,627

Noninterest Expense

21,894

22,170

20,238

19,956

18,941

Net Income

14,007

17,406

13,334

11,601

11,520

Net Income Available to Common Shareholders

12,993

16,393

12,320

10,588

10,506

Per Common Share Data

Basic Earnings Per Share

0.47

0.59

0.45

0.38

Diluted Earnings Per Share

0.45

0.58

0.43

0.38

Adjusted Diluted Earnings Per Share (1)

0.45

0.41

0.44

0.39

0.37

Book Value Per Share

17.27

16.60

16.23

15.62

14.92

Tangible Book Value Per Share (1)

16.61

15.93

15.55

14.93

14.21

Basic Weighted Average Shares Outstanding

27,861,522

27,800,091

27,641,138

27,504,840

27,460,982

Diluted Weighted Average Shares Outstanding

28,589,332

28,490,176

28,354,756

28,190,406

27,998,008

Shares Outstanding at Period End

27,880,830

27,832,867

27,759,970

27,584,732

27,470,283

Financial Ratios

Return on Average Assets (2)

1.06

1.35

0.97

0.86

0.90

Pre-Provision Net Revenue Return on Average Assets (1)(2)

1.43

1.30

1.35

1.19

1.27

Return on Average Shareholders' Equity (2)

10.17

13.45

10.38

9.47

9.80

Return on Average Tangible Common Equity (1)(2)

11.15

15.13

11.53

10.50

10.93

Net Interest Margin (3)

3.07

2.99

2.75

2.63

2.62

Core Net Interest Margin (1)(3)

2.94

2.86

2.62

2.52

2.49

Cost of Total Deposits

2.80

2.79

2.97

3.19

3.16

Cost of Funds

2.91

2.90

3.07

3.25

3.19

Yield on Loans

5.91

5.81

5.78

5.79

5.74

Efficiency Ratio (1)

53.0

56.3

51.6

54.7

52.6

Noninterest Expense to Average Assets (2)

1.65

1.71

1.48

1.47

Adjusted Financial Ratios (1)

Adjusted Return on Average Assets (2)

1.06

0.98

0.99

0.88

Adjusted Pre-Provision Net Revenue Return on Average Assets (2)

1.43

1.37

1.38

1.23

1.31

Adjusted Return on Average Shareholders' Equity (2)

10.17

9.76

10.54

9.77

9.64

Adjusted Return on Average Tangible Common Equity (2)

11.15

10.72

11.72

10.86

10.74

Adjusted Efficiency Ratio

53.0

53.8

50.7

53.2

51.5

Adjusted Noninterest Expense to Average Assets (2)

1.65

1.64

1.45

1.43

Balance Sheet

Total Assets

5,389,726

5,335,396

5,407,002

5,359,994

5,296,673

Total Loans, Gross

4,426,389

4,368,042

4,309,517

4,214,554

4,145,799

Deposits

4,346,204

4,305,511

4,320,369

4,292,764

4,236,742

Total Shareholders' Equity

547,909

528,424

517,095

497,463

476,282

Loan to Deposit Ratio

101.8

101.5

99.7

98.2

97.9

Core Deposits to Total Deposits (4)

77.0

78.4

77.6

76.4

75.2

Asset Quality

Net Loan Charge-Offs to Average Loans (2)

0.04

0.05

0.11

0.03

0.00

Nonperforming Assets to Total Assets (5)

0.40

0.22

0.41

0.19

Allowance for Credit Losses to Total Loans

1.30

1.31

1.34

1.35

As of and for the Three Months Ended

June 30,

March 31,

December 31,

September 30,

June 30,

(dollars in thousands)

2026

2025

(Unaudited)

Capital Ratios (Consolidated) (6)

Tier 1 Leverage Ratio

10.02

9.89

9.20

9.02

9.14

Common Equity Tier 1 Risk-based Capital Ratio

9.61

9.53

9.17

9.08

9.03

Tier 1 Risk-based Capital Ratio

10.98

10.94

10.57

10.52

10.51

Total Risk-based Capital Ratio

14.48

14.12

14.17

Tangible Common Equity to Tangible Assets (1)

8.62

8.34

8.01

7.71

7.40

________________________________________

(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,

2026

2025

(Unaudited)

Assets

Cash and Cash Equivalents

169,806

222,154

123,511

131,818

217,495

Bank-Owned Certificates of Deposit

—

3,658

3,897

Securities Available for Sale, at Fair Value

605,412

566,565

776,441

826,473

743,889

Loans, Net of Allowance for Credit Losses

4,360,502

4,302,132

4,244,108

4,149,882

4,082,405

Federal Home Loan Bank (FHLB) Stock, at Cost

17,979

18,398

21,122

21,373

21,472

Premises and Equipment, Net

52,730

52,784

51,576

50,955

49,979

Foreclosed Assets

—

185

Accrued Interest

16,946

15,841

18,929

19,244

17,711

Goodwill

11,982

Other Intangible Assets, Net

6,477

6,703

6,930

7,160

7,390

Bank-Owned Life Insurance

45,671

45,219

46,576

46,121

45,413

Other Assets

102,221

93,618

105,827

91,328

94,855

Total Assets

5,389,726

5,335,396

5,407,002

5,359,994

5,296,673

Liabilities and Equity

Liabilities

Deposits:

Noninterest Bearing

830,952

828,845

923,070

822,632

787,868

Interest Bearing

3,515,252

3,476,666

3,397,299

3,470,132

3,448,874

Total Deposits

4,346,204

4,305,511

4,320,369

4,292,764

4,236,742

Notes Payable

—

13,750

FHLB Advances

326,000

336,000

399,500

404,500

Subordinated Debentures, Net of Issuance Costs

108,882

108,782

108,677

108,588

108,689

Accrued Interest Payable

2,565

4,254

3,227

5,208

4,110

Other Liabilities

58,166

52,425

58,134

51,471

52,600

Total Liabilities

4,841,817

4,806,972

4,889,907

4,862,531

4,820,391

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, 2026 (unaudited), March 31, 2026 (unaudited), December 31, 2025, September 30, 2025 (unaudited), and June 30, 2025 (unaudited)

66,514

Common Stock- $0.01 par value; Authorized 75,000,000

Common Stock - Issued and Outstanding 27,880,830 at June 30, 2026 (unaudited), 27,832,867 at March 31, 2026 (unaudited), 27,759,970 at December 31, 2025, 27,584,732 at September 30, 2025 (unaudited), and 27,470,283 at June 30, 2025 (unaudited)

279

278

276

275

Additional Paid-In Capital

100,868

99,564

98,287

97,101

95,174

Retained Earnings

380,841

367,848

351,455

339,135

328,547

Accumulated Other Comprehensive Gain (Loss)

(593)

(5,780)

561

(5,563)

(14,228)

Total Shareholders' Equity

547,909

528,424

517,095

497,463

476,282

Total Liabilities and Equity

5,389,726

5,335,396

5,407,002

5,359,994

5,296,673

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,

2026

2025

2026

2025

(Unaudited)

Interest Income

Loans, Including Fees

64,146

61,726

61,444

60,038

57,888

125,872

111,708

Investment Securities

6,904

6,923

9,720

10,371

9,200

13,827

18,597

Other

1,606

1,316

2,145

3,224

2,110

2,922

4,601

Total Interest Income

72,656

69,965

73,309

73,633

69,198

142,621

134,906

Interest Expense

Deposits

29,711

28,793

32,203

34,615

32,497

58,504

64,600

Federal Funds Purchased

238

—

257

Notes Payable

—

106

260

—

518

FHLB Advances

2,494

2,438

3,524

2,933

2,852

4,932

5,008

Subordinated Debentures

1,866

1,849

1,890

1,888

1,121

3,715

2,104

Total Interest Expense

34,090

33,318

37,622

39,542

36,746

67,408

72,246

Net Interest Income

38,566

36,647

35,687

34,091

32,452

75,213

62,660

Provision for Credit Losses

550

1,200

1,450

1,100

2,000

1,750

3,500

Net Interest Income After Provision for Credit Losses

38,016

35,447

34,237

32,991

30,452

73,463

59,160

Noninterest Income

Customer Service Fees

520

527

521

501

496

1,047

991

Net Gain on Sales of Securities

—

7,251

474

7,251

475

Letter of Credit Fees

304

185

668

383

323

489

778

Debit Card Interchange Fees

230

201

178

173

152

431

289

Swap Fees

263

240

651

—

938

503

980

Bank-Owned Life Insurance

451

447

455

440

387

898

766

Investment Advisory Fees

260

213

227

208

213

474

538

FHLB Prepayment Income

—

301

—

301

Other Income

296

500

368

297

343

795

588

Total Noninterest Income

2,324

9,564

3,148

2,061

3,627

11,888

5,706

Noninterest Expense

Salaries and Employee Benefits

13,916

13,492

12,434

12,229

11,363

27,408

22,734

Occupancy and Equipment

1,360

1,375

1,171

1,266

1,274

2,735

2,508

FDIC Insurance Assessment

595

780

770

775

750

1,375

1,200

Data Processing

692

611

638

637

625

1,303

1,244

Professional and Consulting Fees

1,267

1,196

1,404

1,261

1,110

2,463

2,104

Derivative Collateral Fees

206

168

237

309

372

374

823

Information Technology and Telecommunications

1,258

1,067

976

973

971

2,325

1,942

Marketing and Advertising

604

776

718

658

435

1,380

762

Intangible Asset Amortization

227

226

231

230

453

460

FHLB Prepayment Penalty

—

982

—

982

—

Other Expense

1,769

1,497

1,659

1,618

1,811

3,266

3,300

Total Noninterest Expense

21,894

22,170

20,238

19,956

18,941

44,064

37,077

Income Before Income Taxes

18,446

22,841

17,147

15,096

15,138

41,287

27,789

Provision for Income Taxes

4,439

5,435

3,813

3,495

3,618

9,874

6,636

Net Income

14,007

17,406

13,334

11,601

11,520

31,413

21,153

Preferred Stock Dividends

(1,014

)

(1,013

)

(1,014

)

(1,013

)

(1,014

)

(2,027

)

(2,027

)

Net Income Available to Common Shareholders

12,993

16,393

12,320

10,588

10,506

29,386

19,126

Earnings Per Share

Basic

0.47

0.59

0.45

0.38

1.06

0.70

Diluted

0.45

0.58

0.43

0.38

1.03

0.68

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, 2026

March 31, 2026

June 30, 2025

Average

Balance

Interest

& Fees

Yield/

Rate

Average

Balance

Interest

& Fees

Yield/

Rate

Average

Balance

Interest

& Fees

Yield/

Rate

(dollars in thousands)

Interest Earning Assets:

Cash Investments

140,738

1,167

3.33

97,488

771

3.21

166,164

1,681

4.06

Investment Securities:

Taxable Investment Securities

460,567

5,233

4.56

506,154

5,530

4.43

734,998

8,883

4.85

Tax-Exempt Investment Securities (1)

144,241

2,115

5.88

119,582

1,764

5.98

31,940

401

5.04

Total Investment Securities

604,808

7,348

4.87

625,736

7,294

4.73

766,938

9,284

4.86

Loans (1)(2)

4,380,477

64,537

5.91

4,336,869

62,102

5.81

4,064,540

58,122

5.74

Federal Home Loan Bank Stock

18,692

438

9.39

19,337

546

11.45

21,416

429

8.03

Total Interest Earning Assets

5,144,715

73,490

5.73

5,079,430

70,713

5.65

5,019,058

69,516

5.56

Noninterest Earning Assets

172,500

163,331

143,124

Total Assets

5,317,215

5,242,761

5,162,182

Interest Bearing Liabilities:

Deposits:

Interest Bearing Transaction Deposits

931,588

7,504

3.23

888,301

6,936

3.17

813,906

7,769

3.83

Savings and Money Market Deposits

1,436,829

11,650

3.25

1,411,090

11,423

3.28

1,370,831

12,692

3.71

Time Deposits

230,949

2,089

3.63

252,426

2,333

3.75

326,024

3,268

4.02

Brokered Deposits

843,456

8,468

4.03

804,618

8,101

4.08

833,629

8,768

4.22

Total Interest Bearing Deposits

3,442,822

29,711

3.46

3,356,435

28,793

3.48

3,344,390

32,497

3.90

Federal Funds Purchased

1,901

3.90

24,478

238

3.95

1,369

4.64

Notes Payable

—

13,750

260

7.58

FHLB Advances

340,341

2,494

2.94

336,472

2,438

2.94

404,473

2,852

2.83

Subordinated Debentures

108,835

1,866

6.87

108,730

1,849

6.90

83,892

1,121

5.36

Total Interest Bearing Liabilities

3,893,899

34,090

3.51

3,826,115

33,318

3.53

3,847,874

36,746

3.83

Noninterest Bearing Liabilities:

Noninterest Bearing Transaction Deposits

808,295

834,916

774,424

Other Noninterest Bearing Liabilities

62,446

56,905

69,178

Total Noninterest Bearing Liabilities

870,741

891,821

843,602

Shareholders' Equity

552,575

524,825

470,706

Total Liabilities and Shareholders' Equity

5,317,215

5,242,761

5,162,182

Net Interest Income / Interest Rate Spread

39,400

2.22

37,395

2.11

32,770

1.73

Net Interest Margin (3)

3.07

2.99

2.62

Taxable Equivalent Adjustment:

Tax-Exempt Investment Securities and Loans

(834

)

(748

)

(318

)

Net Interest Income

38,566

36,647

32,452

________________________________________

(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, 2026

June 30, 2025

Average

Balance

Interest

& Fees

Yield/

Rate

Average

Balance

Interest

& Fees

Yield/

Rate

(dollars in thousands)

Interest Earning Assets:

Cash Investments

119,232

1,938

3.28

185,850

3,737

4.06

Investment Securities:

Taxable Investment Securities

483,235

10,763

4.49

751,702

17,916

4.81

Tax-Exempt Investment Securities (1)

131,980

3,879

5.93

33,734

862

5.15

Total Investment Securities

615,215

14,642

4.80

785,436

18,778

4.82

Loans (1)(2)

4,358,793

126,639

5.86

3,982,389

112,101

5.68

Federal Home Loan Bank Stock

19,012

984

10.43

20,209

864

8.62

Total Interest Earning Assets

5,112,252

144,203

5.69

4,973,884

135,480

5.49

Noninterest Earning Assets

167,942

143,115

Total Assets

5,280,194

5,116,999

Interest Bearing Liabilities:

Deposits:

Interest Bearing Transaction Deposits

910,253

14,440

3.20

834,537

15,958

3.86

Savings and Money Market Deposits

1,424,031

23,073

3.27

1,336,632

24,627

3.72

Time Deposits

241,628

4,422

3.69

327,613

6,577

4.05

Brokered Deposits

824,144

16,569

4.05

834,244

17,438

4.22

Total Interest Bearing Deposits

3,400,056

58,504

3.47

3,333,026

64,600

3.91

Federal Funds Purchased

13,127

257

3.94

688

4.64

Notes Payable

—

13,750

518

7.60

FHLB Advances

338,417

4,932

2.94

379,652

5,008

2.66

Subordinated Debentures

108,783

3,715

6.89

81,813

2,104

5.19

Total Interest Bearing Liabilities

3,860,383

67,408

3.52

3,808,929

72,246

3.82

Noninterest Bearing Liabilities:

Noninterest Bearing Transaction Deposits

821,342

770,849

Other Noninterest Bearing Liabilities

59,692

68,607

Total Noninterest Bearing Liabilities

881,034

839,456

Shareholders' Equity

538,777

468,614

Total Liabilities and Shareholders' Equity

5,280,194

5,116,999

Net Interest Income / Interest Rate Spread

76,795

2.17

63,234

1.67

Net Interest Margin (3)

3.03

2.56

Taxable Equivalent Adjustment:

Tax-Exempt Investment Securities and Loans

(1,582)

(574)

Net Interest Income

75,213

62,660

________________________________________

(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)

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,

(dollars in thousands)

2026

2025

2026

2025

Allowance for Credit Losses

Balance at Beginning of Period

57,277

56,443

56,390

55,765

53,766

56,443

52,277

Provision for Credit Losses

550

1,350

1,250

900

2,000

1,900

3,500

Charge-offs

(738

)

(658

)

(1,259

)

(276

)

(1,396

)

(18

)

Recoveries

329

142

471

Net Charge-offs

(409

)

(516

)

(1,197

)

(275

)

(925

)

(12

)

Balance at End of Period

57,418

57,277

56,443

56,390

55,765

57,418

55,765

Allowance for Credit Losses to Total Loans

1.30

1.31

1.34

1.35

1.30

1.35

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,

(dollars in thousands)

2026

2025

2026

2025

Provision for Credit Losses on Loans and Leases

550

1,350

1,250

900

2,000

1,900

3,500

Provision for (Recovery of) Credit Losses for Off-Balance Sheet Credit Exposures

—

(150

)

200

—

(150

)

—

Provision for Credit Losses

550

1,200

1,450

1,100

2,000

1,750

3,500

As of and for the Three Months Ended

June 30,

March 31,

December 31,

September 30,

June 30,

(dollars in thousands)

2026

2025

Selected Asset Quality Data

Loans 30-89 Days Past Due

871

494

968

2,906

12,492

Loans 30-89 Days Past Due to Total Loans

0.02

0.01

0.02

0.07

0.30

Nonperforming Loans

21,648

11,715

22,034

9,991

10,134

Nonperforming Loans to Total Loans

0.49

0.27

0.51

0.24

Nonaccrual Loans to Total Loans

0.49

0.27

0.51

0.24

Nonaccrual Loans and Loans Past Due 90 Days and Still Accruing to Total Loans

0.49

0.27

0.51

0.24

Foreclosed Assets

—

185

Nonperforming Assets (1)

21,648

11,715

22,034

9,991

10,319

Nonperforming Assets to Total Assets (1)

0.40

0.22

0.41

0.19

Net Loan Charge-Offs (Annualized) to Average Loans

0.04

0.05

0.11

0.03

0.00

Watchlist/Special Mention Risk Rating Loans

38,469

47,681

47,823

40,642

53,282

Substandard Risk Rating Loans

43,888

43,074

52,956

58,074

44,986

________________________________________

(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,

(dollars in thousands)

2026

2025

2026

2025

Pre-Provision Net Revenue

Noninterest Income

2,324

9,564

3,148

2,061

3,627

11,888

5,706

Less: Gain on Sales of Securities

—

(7,251

)

(80

)

(59

)

(474

)

(7,251

)

(475

)

Less: FHLB Advance Prepayment Income

—

(301

)

—

(301

)

Total Operating Noninterest Income

2,324

2,313

3,068

2,002

2,852

4,637

4,930

Plus: Net Interest Income

38,566

36,647

35,687

34,091

32,452

75,213

62,660

Net Operating Revenue

40,890

38,960

38,755

36,093

35,304

79,850

67,590

Noninterest Expense

21,894

22,170

20,238

19,956

18,941

44,064

37,077

Total Operating Noninterest Expense

21,894

22,170

20,238

19,956

18,941

44,064

37,077

Pre-Provision Net Revenue

18,996

16,790

18,517

16,137

16,363

35,786

30,513

Plus:

Non-Operating Revenue Adjustments

—

7,251

775

7,251

776

Less:

Provision for Credit Losses

550

1,200

1,450

1,100

2,000

1,750

3,500

Provision for Income Taxes

4,439

5,435

3,813

3,495

3,618

9,874

6,636

Net Income

14,007

17,406

13,334

11,601

11,520

31,413

21,153

Average Assets

5,317,215

5,242,761

5,438,555

5,372,443

5,162,182

5,280,194

5,116,999

Pre-Provision Net Revenue Return on Average Assets

1.43

1.30

1.35

1.19

1.27

1.37

1.20

Adjusted Pre-Provision Net Revenue

Net Operating Revenue

40,890

38,960

38,755

36,093

35,304

79,850

67,590

Noninterest Expense

21,894

22,170

20,238

19,956

18,941

44,064

37,077

Less: Merger-related Expenses

—

(346

)

(530

)

(540

)

—

(1,105

)

Less: FHLB Prepayment Penalty

—

(982

)

—

(982

)

—

Adjusted Total Operating Noninterest Expense

21,894

21,188

19,892

19,426

18,401

43,082

35,972

Adjusted Pre-Provision Net Revenue

18,996

17,772

18,863

16,667

16,903

36,768

31,618

Adjusted Pre-Provision Net Revenue Return on Average Assets

1.43

1.37

1.38

1.23

1.31

1.40

1.25

Core Net Interest Margin

Net Interest Income (Tax-equivalent Basis)

39,400

37,395

36,447

34,614

32,770

76,795

63,234

Less:

Loan Fees

(1,464

)

(1,257

)

(1,041

)

(966

)

(1,019

)

(2,721

)

(1,738

)

Purchase Accounting Accretion:

Loan Accretion

(171

)

(324

)

(546

)

(380

)

(425

)

(495

)

(767

)

Bond Accretion

(17

)

(22

)

(33

)

(89

)

(152

)

(39

)

(730

)

Bank-Owned Certificates of Deposit Accretion

—

(16

)

—

(11

)

Deposit Certificates of Deposit Accretion

—

(13

)

(37

)

—

(75

)

Total Purchase Accounting Accretion

(188

)

(346

)

(595

)

(488

)

(618

)

(534

)

(1,583

)

Core Net Interest Income (Tax-equivalent Basis)

37,748

35,792

34,811

33,160

31,133

73,540

59,913

Average Interest Earning Assets

5,144,715

5,079,430

5,264,700

5,223,139

5,019,058

5,112,252

4,973,884

Core Net Interest Margin

2.94

2.86

2.62

2.52

2.49

2.90

2.43

Core Loan Yield

Loan Interest Income (Tax-equivalent Basis)

64,537

62,102

61,746

60,317

58,122

126,639

112,101

Less:

Loan Fees

(1,464

)

(1,257

)

(1,041

)

(966

)

(1,019

)

(2,721

)

(1,738

)

Loan Accretion

(171

)

(324

)

(546

)

(380

)

(425

)

(495

)

(767

)

Core Loan Interest Income

62,902

60,521

60,159

58,971

56,678

123,423

109,596

Average Loans

4,380,477

4,336,869

4,239,936

4,132,987

4,064,540

4,358,793

3,982,389

Core Loan Yield

5.76

5.66

5.63

5.66

5.59

5.71

5.55

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,

(dollars in thousands)

2026

2025

2026

2025

Efficiency Ratio

Noninterest Expense

21,894

22,170

20,238

19,956

18,941

44,064

37,077

Less: Amortization of Intangible Assets

(227

)

(226

)

(231

)

(230

)

(230

)

(453

)

(460

)

Adjusted Noninterest Expense

21,667

21,944

20,007

19,726

18,711

43,611

36,617

Net Interest Income

38,566

36,647

35,687

34,091

32,452

75,213

62,660

Noninterest Income

2,324

9,564

3,148

2,061

3,627

11,888

5,706

Less: Gain on Sales of Securities

—

(7,251

)

(80

)

(59

)

(474

)

(7,251

)

(475

)

Adjusted Operating Revenue

40,890

38,960

38,755

36,093

35,605

79,850

67,891

Efficiency Ratio

53.0

56.3

51.6

54.7

52.6

54.6

53.9

Adjusted Efficiency Ratio

Noninterest Expense

21,894

22,170

20,238

19,956

18,941

44,064

37,077

Less: Amortization of Intangible Assets

(227

)

(226

)

(231

)

(230

)

(230

)

(453

)

(460

)

Less: Merger-related Expenses

—

(346

)

(530

)

(540

)

—

(1,105

)

Less: FHLB Advance Prepayment Penalty

—

(982

)

—

(982

)

—

Adjusted Noninterest Expense

21,667

20,962

19,661

19,196

18,171

42,629

35,512

Net Interest Income

38,566

36,647

35,687

34,091

32,452

75,213

62,660

Noninterest Income

2,324

9,564

3,148

2,061

3,627

11,888

5,706

Less: Gain on Sales of Securities

—

(7,251

)

(80

)

(59

)

(474

)

(7,251

)

(475

)

Less: FHLB Advance Prepayment Income

—

(301

)

—

(301

)

Adjusted Operating Revenue

40,890

38,960

38,755

36,093

35,304

79,850

67,590

Adjusted Efficiency Ratio

53.0

53.8

50.7

53.2

51.5

53.4

52.5

Adjusted Noninterest Expense to Average Assets (Annualized)

Noninterest Expense

21,894

22,170

20,238

19,956

18,941

44,064

37,077

Less: Merger-related Expenses

—

(346

)

(530

)

(540

)

—

(1,105

)

Less: FHLB Advance Prepayment Penalty

—

(982

)

—

(982

)

—

Adjusted Noninterest Expense

21,894

21,188

19,892

19,426

18,401

43,082

35,972

Average Assets

5,317,215

5,242,761

5,438,555

5,372,443

5,162,182

5,280,194

5,116,999

Adjusted Noninterest Expense to Average Assets (Annualized)

1.65

1.64

1.45

1.43

1.65

1.42

Tangible Common Equity and Tangible Common Equity/Tangible Assets

Total Shareholders' Equity

547,909

528,424

517,095

497,463

476,282

Less: Preferred Stock

(66,514

)

(66,514

)

(66,514

)

(66,514

)

(66,514

)

Total Common Shareholders' Equity

481,395

461,910

450,581

430,949

409,768

Less: Intangible Assets

(18,459

)

(18,685

)

(18,912

)

(19,142

)

(19,372

)

Tangible Common Equity

462,936

443,225

431,669

411,807

390,396

Total Assets

5,389,726

5,335,396

5,407,002

5,359,994

5,296,673

Less: Intangible Assets

(18,459

)

(18,685

)

(18,912

)

(19,142

)

(19,372

)

Tangible Assets

5,371,267

5,316,711

5,388,090

5,340,852

5,277,301

Tangible Common Equity/Tangible Assets

8.62

8.34

8.01

7.71

7.40

Tangible Book Value Per Share

Book Value Per Common Share

17.27

16.60

16.23

15.62

14.92

Less: Effects of Intangible Assets

(0.66

)

(0.67

)

(0.68

)

(0.69

)

(0.71

)

Tangible Book Value Per Common Share

16.61

15.93

15.55

14.93

14.21

Return on Average Tangible Common Equity

Net Income Available to Common Shareholders

12,993

16,393

12,320

10,588

10,506

29,386

19,126

Average Shareholders' Equity

552,575

524,825

509,655

485,869

471,700

538,777

468,614

Less: Average Preferred Stock

(66,514

)

(66,514

)

(66,514

)

(66,514

)

(66,514

)

(66,514

)

(66,514

)

Average Common Equity

486,061

458,311

443,141

419,355

405,186

472,263

402,100

Less: Effects of Average Intangible Assets

(18,588

)

(18,816

)

(19,042

)

(19,274

)

(19,504

)

(18,702

)

(19,620

)

Average Tangible Common Equity

467,473

439,495

424,099

400,081

385,682

453,561

382,480

Return on Average Tangible Common Equity

11.15

15.13

11.53

10.50

10.93

13.07

10.08

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,

(dollars in thousands)

2026

2025

2026

2025

Adjusted Diluted Earnings Per Common Share

Net Income Available to Common Shareholders

12,993

16,393

12,320

10,588

10,506

29,386

19,126

Add: Merger-related Expenses

—

346

530

540

—

1,105

Add: FHLB Advance Prepayment Penalty

—

982

—

982

—

Less: FHLB Advance Prepayment Income

—

(301

)

—

(301

)

Less: Gain on Sales of Securities

—

(7,251

)

(80

)

(59

)

(474

)

(7,251

)

(475

)

Total Adjustments

—

(6,269

)

266

471

(235

)

(6,269

)

329

Less: Tax Impact of Adjustments

—

1,492

(59

)

(110

)

1,498

(79

)

Adjusted Net Income Available to Common Shareholders

12,993

11,616

12,527

10,949

10,327

24,615

19,376

Diluted Weighted Average Shares Outstanding

28,589,332

28,490,176

28,354,756

28,190,406

27,998,008

28,546,721

28,022,592

Adjusted Diluted Earnings Per Common Share

0.45

0.41

0.44

0.39

0.37

0.86

0.69

Adjusted Return on Average Assets

Net Income

14,007

17,406

13,334

11,601

11,520

31,413

21,153

Add: Total Adjustments

—

(6,269

)

266

471

(235

)

(6,269

)

329

Less: Tax Impact of Adjustments

—

1,492

(59

)

(110

)

1,498

(79

)

Adjusted Net Income

14,007

12,629

13,541

11,962

11,341

26,642

21,403

Average Assets

5,317,215

5,242,761

5,438,555

5,372,443

5,162,182

5,280,194

5,116,999

Adjusted Return on Average Assets

1.06

0.98

0.99

0.88

1.02

0.84

Adjusted Return on Average Shareholders' Equity

Adjusted Net Income

14,007

12,629

13,541

11,962

11,341

26,642

21,403

Average Shareholders' Equity

552,575

524,825

509,655

485,869

471,700

538,777

468,614

Adjusted Return on Average Shareholders' Equity

10.17

9.76

10.54

9.77

9.64

9.97

9.21

Adjusted Return on Average Tangible Common Equity

Adjusted Net Income Available to Common Shareholders

12,993

11,616

12,527

10,949

10,327

24,615

19,376

Average Tangible Common Equity

467,473

439,495

424,099

400,081

385,682

453,561

382,480

Adjusted Return on Average Tangible Common Equity

11.15

10.72

11.72

10.86

10.74

10.94

10.22