On May 28, Bankwell Financial Group, Inc. (NASDAQ: BWFG ) announced a strategic partnership with Crux Analytics to enhance its business banking services. The agreement should allow Bankwell customers to receive enhanced personalization and proactive serviceI have been involved in the financial world for over 20 years with experience as an advisor, teacher, and writer. I am a full believer in the free-market system and that financial markets are efficient with most stocks reflecting their real current value. ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________to________ Commission File Number: 001-36448 Bankwell Financial Group, Inc. (Exact Name of Registrant as specified in its Charter) (State or other ju ...

First Quarter 2025 Investor Presentation April 24, 2025 Forward Looking Statement Important note regarding forward-looking statements: Statements made in this presentation which are not purely historical are forward-looking statements, as defined in the Private Securities Litigation Reform Act of1995. This includes any statements regarding management'splans, objectives, or goals forfuture operations, products or services, and forecasts of its revenues, earnings, or other measures of performance. Such forwar ...

Bankwell Financial Group, Inc. (NASDAQ:BWFG) Q1 2025 Earnings Conference Call April 24, 2025 10:00 AM ET Company Participants Courtney Sacchetti - Chief Financial Officer Chris Gruseke - Chief Executive Officer Matt McNeill - President and CBO Conference Call Participants Chris O'Connell - KBW Operator Ladies and gentlemen, thank you for standing by and welcome to the Bankwell Financial Group First Quarter 2025 Earnings Call. All lines have been placed on mute to prevent any background noise. After the spea ...

Bankwell Financial Group (BWFG) Q1 2025 Earnings Call April 24, 2025 10:00 AM ET Company Participants Courtney Sacchetti - Executive VP & CFOChristopher Gruseke - CEOChristopher O'Connell - DirectorMatthew McNeill - Executive VP & Chief Banking Officer Operator Ladies and gentlemen, thank you for standing by, and welcome to the Bankwell Financial Group First Quarter twenty twenty five Earnings Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will b ...

Financial Performance - GAAP net income for Q1 2025 was $6.9 million, or $0.87 per share, compared to $3.0 million, or $0.37 per share, in Q4 2024[1] - Net income for the quarter ended March 31, 2025, was $6,888, representing a significant increase of 132.5% compared to $2,963 in the previous quarter[30] - Net income for Q1 2025 was $6,888,000, compared to $3,763,000 in Q1 2024, representing an increase of 83.5%[32] - Basic earnings per common share for Q1 2025 was $0.88, up from $0.48 in Q1 2024, reflecting an increase of 83.3%[32] Revenue and Income - Pre-tax, pre-provision net revenue (PPNR) increased by 10.7% to $9.4 million, or $1.22 per share, from $8.5 million, or $1.11 per share, in Q4 2024[2][11] - Total revenues for Q1 2025 were $23.6 million, up from $22.1 million in Q4 2024, driven by improved funding costs and gains on SBA loans[12][14] - Net interest income for the quarter ended March 31, 2025, was $22,066, an increase of 9.2% from $20,199 in the previous quarter[30] - Total noninterest income increased to $1,505 for the quarter ended March 31, 2025, compared to $964 in the previous quarter, reflecting a growth of 56.2%[30] Asset Quality - Nonperforming assets as a percentage of total assets decreased to 0.83% from 1.88% as of December 31, 2024, reflecting improved asset quality[3][16] - Nonperforming loans as a percentage of total loans improved to 1.00% as of March 31, 2025, from 1.97% as of December 31, 2024[19] - Total nonaccrual loans decreased to $26.4 million as of March 31, 2025, from $53.3 million as of December 31, 2024[19] Deposits and Loans - Core deposits increased by $43.4 million, including a $27.7 million growth in non-interest bearing deposits[8] - Total deposits decreased by $37.1 million, or 1.3%, to $2.8 billion as of March 31, 2025, compared to December 31, 2024[19] - Gross loans decreased by $61.0 million, or 2.3%, to $2.6 billion as of March 31, 2025, compared to December 31, 2024[19] Capital and Equity - Shareholders' equity increased by $4.7 million to $275.2 million as of March 31, 2025, primarily due to net income of $6.9 million[21] - The Company’s regulatory capital ratios were all above 'well capitalized' values, with total risk-based capital at 13.22% as of March 31, 2025[22] - Tangible common equity as of March 31, 2025, was $272,625,000, compared to $267,931,000 as of December 31, 2024, an increase of 1.0%[31] Operational Efficiency - The efficiency ratio for Q1 2025 was 59.9%, compared to 56.4% in Q4 2024, indicating a slight increase in operational costs relative to revenues[9] - Interest expense on deposits was $24,772 for the quarter ended March 31, 2025, a decrease of 3.4% from $25,640 in the previous quarter[30] Shareholder Returns - The company declared a cash dividend of $0.20 per share, payable on May 20, 2025[1] - The Company repurchased 29,924 shares at a weighted average price of $30.46 per share during the quarter ended March 31, 2025[22]

Financial Performance - Net income for 2024 was $9,770 thousand, significantly lower than $36,663 thousand in 2023, resulting in basic earnings per share of $1.24 compared to $4.71[218]. - Total revenue for 2024 was $87,000,000, a decrease of 12.3% from $99,310,000 in 2023[229]. - Net income for the year ended December 31, 2024 was $9.8 million, a decrease of $26.9 million, or 73.4%, compared to $36.7 million for the year ended December 31, 2023[254][256]. - Revenues for the year ended December 31, 2024 were $87.0 million, down from $99.3 million in 2023, primarily due to increased interest expense on deposits and lower gains from loan sales[255]. - Net interest income for 2024 was $83,282,000, down from $94,468,000 in 2023, reflecting a decline of 11.8%[229]. - Net interest income for the year ended December 31, 2024 was $83.3 million, a decrease of $11.2 million compared to the previous year, with a net interest margin decrease of 28 basis points to 2.70%[257]. - Net interest income for 2024 was $83.7 million, down from $94.7 million in 2023[268]. - Noninterest income decreased by $1.1 million to $3.7 million in 2024, driven by a decline in gains on SBA loan sales[271]. Asset Quality - Nonperforming loans to total loans increased to 1.97% in 2024 from 1.81% in 2023, reflecting a slight deterioration in asset quality[218]. - The net charge-offs to average loans ratio rose to 0.81% in 2024 from 0.03% in 2023, indicating an increase in loan losses[218]. - Nonperforming assets as a percentage of total assets increased to 1.88% at December 31, 2024, from 1.53% at December 31, 2023[304]. - Total past due loans amounted to $44.1 million as of December 31, 2024, an increase of $22.8 million from $21.3 million in 2023, representing 1.63% of total loans[308]. - The Allowance for Credit Losses on Loans (ACL-Loans) was $29.0 million at December 31, 2024, representing 1.07% of total loans[304]. - The company actively manages asset quality through disciplined underwriting and ongoing monitoring of borrowers' ability to service debt[301]. - The company expects fluctuations in nonperforming assets and potential problem loans in response to changing economic conditions[314]. Capital and Equity - Total assets as of December 31, 2024, were $3,268,476 thousand, up from $3,215,482 thousand in 2023, while total equity increased to $270,520 thousand from $265,752 thousand[218]. - Shareholders' equity grew to $270.5 million as of December 31, 2024, an increase of $4.8 million from the previous year[277]. - The Bank's shareholders' equity rose to $270.5 million as of December 31, 2024, an increase of $4.8 million from the previous year, driven by a net income of $9.8 million[353]. - The Bank's ratio of total common equity tier 1 capital to risk-weighted assets was 11.64% as of December 31, 2024, exceeding the regulatory minimum[354]. Efficiency and Ratios - The efficiency ratio increased to 57.9% in 2024 from 50.8% in 2023, indicating a rise in non-interest expenses relative to operating revenue[218]. - The return on average assets decreased to 0.31% in 2024 from 1.13% in 2023, and return on average common shareholders' equity fell to 3.60% from 14.55%[218]. - Return on average common shareholders' equity for 2024 was 3.60%, significantly lower than 14.55% in 2023[231]. - Efficiency ratio increased to 57.9% in 2024 from 50.8% in 2023, indicating a decline in operational efficiency[231]. Loans and Deposits - Total assets increased to $3.3 billion as of December 31, 2024, compared to $3.2 billion in 2023[276]. - Gross loans remained stable at $2.7 billion for both December 31, 2024, and December 31, 2023[276]. - Deposits rose to $2.8 billion as of December 31, 2024, up from $2.7 billion in 2023[276]. - Total deposits reached $2.79 billion at December 31, 2024, with a weighted average rate of 4.27%, compared to $2.74 billion and 3.59% in 2023[332]. - Time deposits of $100 thousand or more totaled $1.2 billion for both 2024 and 2023, with maturing amounts within 3 months increasing from $317.5 million in 2023 to $421.8 million in 2024[336]. Interest Income and Expense - Interest income for 2024 was $191,994 thousand, an increase from $188,454 thousand in 2023, while interest expense rose to $108,712 thousand from $93,986 thousand[218]. - Interest expense for the year ended December 31, 2024 increased by $14.7 million, or 15.7%, due to higher rates paid on interest-bearing deposits[261]. - The total yield on earning assets increased to 6.09% at December 31, 2024, compared to 5.86% at December 31, 2023, driven by higher yields on loans and securities[260]. Regulatory and Compliance - The company has met all minimum regulatory capital requirements to be considered "well capitalized" as of December 31, 2024[367]. - The Company adopted new credit loss measurement guidance in January 2023, resulting in a $6.4 million increase in the allowance for credit losses[235]. - The Company adopted ASU 2022-02 effective January 1, 2023, which had an immaterial impact on financial reporting[244]. Risk Management - The company remains liability sensitive, indicating more liabilities than assets subject to repricing as market rates change[370]. - The company manages liquidity to ensure adequate sources to fund commitments and honor drafts under standby letters of credit[361]. - The simulation analyses for interest rate risk are updated quarterly to reflect changes in market conditions[365].

January 22, 2025 Fourth Quarter 2024 Investor Presentation Forward Looking Statement Important note regarding forward-looking statements: Statements made in this presentation which are not purely historical are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. This includes any statements regarding management's plans, objectives, or goals for future operations, products or services, and forecasts of its revenues, earnings, or other measures of performance. Such ...

Financial Data and Key Metrics Changes - The earnings release for Q4 2024 is available on the company's website, indicating a structured approach to financial reporting [3]. - The call includes forward-looking statements and references to non-GAAP financial measures, highlighting the company's focus on transparency [4]. Business Line Data and Key Metrics Changes - Specific details regarding the performance of various business lines were not provided in the available content. Market Data and Key Metrics Changes - No specific market data or key metrics changes were mentioned in the provided content. Company Strategy and Development Direction and Industry Competition - The CEO, Chris Gruseke, emphasized the importance of the earnings call and the presence of key executives, indicating a collaborative approach to discussing the company's strategy [5]. Management's Comments on Operating Environment and Future Outlook - Management has not yet provided comments on the operating environment or future outlook in the available content. Other Important Information - The call is structured to include a question-and-answer session, allowing for further engagement with analysts and investors [1]. Q&A Session Summary - No specific questions or answers from the Q&A session were included in the provided content.

Financial Performance - Bankwell Financial Group reported GAAP net income of $2.5 million, or $0.32 per share for Q4 2024, an increase from $1.9 million, or $0.24 per share in Q3 2024[1]. - Total revenues for Q4 2024 were $21.2 million, down from $23.4 million in Q4 2023, primarily due to lower loan fees[18]. - Net income for the quarter was $2,507 thousand, reflecting an increase of 30.1% from $1,926 thousand in the prior quarter[32]. - Basic earnings per common share for the quarter ended December 31, 2024, is $0.32, down from $1.09 in the same quarter of 2023[34]. - For the year ended December 31, 2024, net interest income was $83,665 thousand, compared to $94,675 thousand for the year ended December 31, 2023[38]. Revenue and Income Sources - Bankwell anticipates $93-$95 million in net interest income and $7-$8 million in noninterest income for the full year 2025[6]. - Net interest income for the quarter ended December 31, 2024, was $20,199 thousand, a decrease of 4.7% compared to $22,245 thousand in the same quarter of the previous year[32]. - The average yield on total earning assets increased from 5.86% in 2023 to 6.09% in 2024[38]. - Commercial real estate loans generated an interest income of $112,804 thousand with a yield of 5.82% in 2024, compared to $109,110 thousand and 5.57% in 2023[38]. Asset and Liability Management - Total assets increased by $53.1 million, or 1.7%, to $3.3 billion as of December 31, 2024, compared to December 31, 2023[20]. - Total deposits increased by $50.8 million, or 1.9%, reaching $2.8 billion as of December 31, 2024, compared to December 31, 2023[20]. - Brokered deposits decreased by $78.4 million in Q4 2024, totaling a decline of $246.8 million since December 31, 2023[10]. - Total loans for the quarter ended December 31, 2024, amount to $2,661,094,000, with a total interest yield of 6.30%[36]. Nonperforming Assets and Credit Losses - The allowance for credit losses on loans was $29.0 million as of December 31, 2024, compared to $27.9 million a year earlier[15]. - Nonperforming assets as a percentage of total assets increased to 1.88% as of December 31, 2024, from 1.53% a year prior[17]. - Provision for credit losses was $4,458 thousand for the quarter, compared to a credit of $(960) thousand in the same quarter last year, indicating a significant increase in provisions[32]. - Nonperforming loans as a percentage of total loans decreased to 1.97% as of December 31, 2024, from 2.42% as of September 30, 2024[21]. Shareholder Information - Shareholders' equity increased by $4.3 million to $270.1 million as of December 31, 2024, primarily due to net income of $9.3 million for the year[22]. - The company repurchased 85,990 shares at a weighted average price of $24.82 per share during the year ended December 31, 2024[23]. - The company declared dividends of $0.20 per common share for the quarter, consistent with the previous quarter's dividend[32]. - Total equity as of December 31, 2024, is $270,063,000, an increase from $267,926,000 as of September 30, 2024[33]. Operational Efficiency - The company recorded total noninterest expense of $13.2 million in Q4 2024, a 2.9% increase compared to Q3 2024[18]. - Noninterest expense totaled $13,243 thousand for the quarter, an increase of 2.9% from $12,864 thousand in the same quarter of the previous year[32]. - The efficiency ratio and other non-GAAP financial measures are used to assess financial performance and trends[29]. Future Outlook - The company will host a conference call on January 23, 2025, to discuss financial results and business outlook[24].