BankFinancial Corporation (NASDAQ:BFIN) Q4 2022 Earnings Conference Call January 30, 2023 10:30 AM ET Company Participants F. Morgan Gasior - Chairman and CEO Conference Call Participants Manuel Navas - Davidson Brian Martin - Janney Operator Good day and thank you for standing by. Welcome to the BankFinancial Corporation Q4 and 2022 Year End Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker’s presentation, there will be a question-and-answer session. [Ope ...

BankFinancial Corporation (NASDAQ:BFIN) Q3 2022 Earnings Conference Call October 31, 2022 10:30 AM ET Company Participants F. Morgan Gasior - Chairman and Chief Executive Officer Paul Cloutier - Executive Vice President and Chief Financial Officer Conference Call Participants Manuel Navas - D.A. Davidson & Co. Brian Martin - Janney Montgomery Scott LLC Operator Good day, and thank you for standing by. Welcome to the BankFinancial Corporation's Q3 Earnings Conference Call. At this time, all participants are ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock, par value $0.01 per share BFIN The NASDAQ Stock Market LLC Large accelerated filer ☐ Accelerated filer ☐ Non-accelerated filer ☒ Smaller reporting company ☒ Emerging growth company ☐ FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period ended September 30, 2022 or ☐ TRANSITI ...

BankFinancial Corporation. (NASDAQ:BFIN) Q2 2022 Earnings Conference Call August 1, 2022 10:30 AM ET Company Participants F. Morgan Gasior - Chairman & Chief Executive Officer Paul Cloutier - Executive Vice President & Chief Financial Officer Conference Call Participants Manuel Navas - D.A. Davidson Company Brian Martin - Janney Montgomery Ross Haberman - RLH Investments Operator [Abrupt Start]…investor conference call. At this time, I'd like to have our forward-looking statement read. Unidentified Company ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock, par value $0.01 per share BFIN The NASDAQ Stock Market LLC Large accelerated filer ☐ Accelerated filer ☐ Non-accelerated filer ☒ Smaller reporting company ☒ Emerging growth company ☐ FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period ended June 30, 2022 or ☐ TRANSITION RE ...

Financial Data and Key Metrics Changes - The loan portfolio increased to just over $1.1 billion, with a growth of approximately $45 million in April 2022, reflecting a 6% year-to-date increase in commercial-related loans [7][15][31] - The yield on originations in April was 4.68%, up from 4.56% at the end of the first quarter, indicating a positive trend in yield activity [13][14] Business Line Data and Key Metrics Changes - The Equipment Finance division originated more loans in April than in the entire first quarter of 2022, indicating strong growth despite supply chain delays [8][26] - Multifamily loans and commercial real estate loans saw strong originations, contributing significantly to the overall loan growth [7][20] - The commercial finance area experienced some volatility but is expected to contribute positively moving forward [9][30] Market Data and Key Metrics Changes - The company is seeing increased activity in healthcare finance, although it remains spotty, with cash drawn and returned in lessor finance also being inconsistent [28] - The demand for equipment remains strong, but delivery issues continue to impact transaction timing [25][29] Company Strategy and Development Direction - The company aims for loan growth of $40 million per quarter, with a target of reaching between $1.125 billion to $1.150 billion in the second quarter [10][31] - There is a focus on strengthening capabilities in equipment finance and commercial finance to leverage market opportunities [51][52] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the pipelines for the second and third quarters, expecting strong originations and improved yields [22][31] - The company anticipates that rising interest rates will compress refinancing opportunities, leading to fewer prepayments and a more stable loan portfolio [19][20] Other Important Information - The company expects to maintain operating expenses around $10 million per quarter, with potential fluctuations based on hiring and performance incentives [49][70] - The book value decreased from $11.90 to $11.68 due to market rate changes affecting the value of the Treasury note portfolio [76] Q&A Session Summary Question: Can you walk through the outlook on pipelines and originations versus paydowns? - Management noted that the decline in payoffs is due to fewer refinancing opportunities as rates rise, with a more normal run rate expected in the first quarter [18][19] Question: What are the expectations for payoffs over the balance of the year? - Management estimates around $20 million to $25 million in payoffs per quarter for the real estate portfolio and similar figures for equipment finance, with C&I being more variable [37] Question: How is the company planning to manage operating expenses? - Management indicated that expenses are expected to normalize around $10 million per quarter, with some variability based on performance incentives [49][70] Question: What is the outlook for interest income with upcoming Fed rate hikes? - Management expects an increase of $1 million to $1.5 million in net interest margin with each additional rate hike, as the company redeploys excess liquidity into loans [45][62] Question: What is the company's stance on share repurchases given the current stock price? - Management stated that while there is frustration over the stock price being below tangible book value, the focus remains on deploying excess cash into loans rather than share repurchases at this time [64][80]

Financial Performance - The company reported net income of $1.3 million, or $0.10 per common share for the quarter ended March 31, 2022[94]. - Net income for the three months ended March 31, 2022, was $1.3 million, compared to $1.5 million for the same period in 2021, with earnings per share remaining at $0.10[116]. - Net interest income decreased by $612,000, with a $276,000 provision for loan losses recorded[98]. - Net interest income increased by $195,000 to $10.8 million for the three months ended March 31, 2022, compared to $10.6 million for the same period in 2021[117]. - Income tax expense was $386,000 for the three months ended March 31, 2022, compared to $517,000 for the same period in 2021, with an effective tax rate of 23.3%[129]. Asset and Liability Management - Total assets decreased by $40.5 million, or 2.4%, to $1.660 billion at March 31, 2022, from $1.701 billion at December 31, 2021[109]. - Total liabilities decreased by $37.0 million (2.4%) to $1.506 billion at March 31, 2022, primarily due to a decrease in total deposits, which fell by $26.8 million (1.8%) to $1.462 billion[114]. - Total stockholders' equity was $153.9 million at March 31, 2022, down from $157.5 million at December 31, 2021, mainly due to a $3.0 million net loss on the U.S. Treasury Note portfolio and the repurchase of 50,000 shares of common stock[115]. Loan and Deposit Activity - Total net loans increased by $10.9 million during the quarter, with total commercial loans and leases rising by $6.7 million (1.4%)[95]. - Total deposits decreased by $26.8 million during the three months ended March 31, 2022[97]. - The company's ratio of nonperforming loans to total loans was 0.18% at March 31, 2022, up from 0.07% at December 31, 2021[101]. - The allowance for loan losses to total loans ratio remained stable at 0.64%[137]. Income and Expense Analysis - Noninterest income decreased by $187,000 primarily due to lower non-usage fees on commercial lines of credit[100]. - Noninterest income increased by $186,000, or 14.8%, to $1.4 million for the three months ended March 31, 2022, compared to $1.3 million for the same period in 2021[126]. - Noninterest expense increased by $102,000, or 1.0%, to $10.3 million for the three months ended March 31, 2022, compared to $10.2 million for the same period in 2021[128]. - Information technology expenses increased by $141,000, or 19.9%, to $851,000 for the three months ended March 31, 2022[128]. Capital Adequacy and Risk Management - The Tier 1 leverage ratio remained strong at 9.32% at March 31, 2022[102]. - As of March 31, 2022, the Bank's Community Bank Leverage Ratio was 10.05%, exceeding the required minimum of 9.00% for capital adequacy[149]. - The Bank targets a Tier 1 leverage ratio of at least 7.5% and a total risk-based capital ratio of at least 10.5%[148]. - The minimum capital conservation buffer (CCB) is set at 2.5%[148]. - The Bank's regulatory capital policies will be adjusted as necessary to maintain compliance with capital requirements[148]. Interest Rate Risk - In the event of a 200 basis point increase in interest rates, the Bank expects a 7.96% increase in net portfolio value (NPV) and an $8.1 million increase in net interest income[158]. - A 25 basis point decrease in interest rates would result in a 2.38% decrease in NPV and a $1.3 million decrease in net interest income[158]. - The Bank has de-emphasized residential mortgage loans and increased focus on nonresidential real estate loans and commercial loans[153]. - The Bank's interest rate risk management involves shortening the average maturity of interest-earning assets to reduce exposure to interest rate changes[153]. - The Bank's dynamic GAP analysis identifies mismatches in the timing of asset and liability repricing[156]. Nonperforming Assets - Nonperforming assets increased by $1.5 million to $2.9 million at March 31, 2022, primarily due to a government lease that was past due over 90 days[138]. - Total nonperforming loans included $330,000 in one-to-four family residential real estate and $101,000 in commercial loans and leases as of March 31, 2022[136]. - The allowance for loan losses as a percentage of nonperforming loans was 345.87% at March 31, 2022, down from 895.33% at December 31, 2021[125].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock, par value $0.01 per share BFIN The NASDAQ Stock Market LLC FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For transition period from to Commission File Number ...

BankFinancial Corporation (NASDAQ:BFIN) Q3 2021 Earnings Conference Call November 1, 2021 10:30 AM ET Company Participants F. Morgan Gasior - Chairman and CEO Conference Call Participants Manuel Navas - D.A. Davidson Brian Morgan - Janney Montgomery Operator Good day and thank you for standing by. Welcome to the BankFinancial Corp Q3 2021 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question-and-answer session. [Operator ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock, par value $0.01 per share BFIN The NASDAQ Stock Market LLC Large accelerated filer ☐ Accelerated filer ☐ Non-accelerated filer ☒ Smaller reporting company ☒ Emerging growth company ☐ FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period ended September 30, 2021 or ☐ TRANSITI ...