DENVER, April 04, 2025 (GLOBE NEWSWIRE) -- First Western Financial, Inc. (NASDAQ:MYFW), a financial services holding company headquartered in Denver, Colorado ("First Western"), announced today that it will release financial results for its first quarter ended March 31, 2025 after the markets close on Thursday, April 24, 2025. Management will hold a conference call at 10:00 a.m. Mountain Time/12:00 p.m. Eastern Time on Friday, April 25, 2025, to discuss First Western's financial results. Analysts and invest ...

DENVER, April 04, 2025 (GLOBE NEWSWIRE) -- First Western Financial, Inc. (NASDAQ: MYFW), a financial services holding company headquartered in Denver, Colorado (“First Western”), announced today that it will release financial results for its first quarter ended March 31, 2025 after the markets close on Thursday, April 24, 2025. Management will hold a conference call at 10:00 a.m. Mountain Time/12:00 p.m. Eastern Time on Friday, April 25, 2025, to discuss First Western’s financial results. Analysts and inves ...

Financial Performance - For the year ended December 31, 2024, the company reported net income available to common shareholders of $8.5 million, a 63.5% increase from $5.2 million in 2023[303]. - Net income for 2024 increased to $8,473,000, up from $5,225,000 in 2023, representing a 62.5% year-over-year growth[472]. - Earnings per common share (basic) increased to $0.88 in 2024 from $0.55 in 2023, a 60% increase[472]. - Total comprehensive income for 2024 was $8,893,000, compared to $5,544,000 in 2023, representing a 60.5% increase[472]. Revenue and Income Sources - Total revenues of $90.1 million and $7.32 billion in assets under management (AUM)[291]. - Non-interest income increased by $5.8 million in 2024, driven by higher net gains on mortgage loans and increased risk management and insurance fees[303]. - Non-interest income increased to $27,680,000 in 2024, up from $21,948,000 in 2023, reflecting a 26.2% growth[469]. - Total interest and dividend income rose to $152,651,000 in 2024, compared to $145,558,000 in 2023, marking a 4.5% increase[469]. Interest Income and Expenses - Net interest income before provision for credit losses was $64.3 million for 2024, a decrease of 9.6% compared to 2023, primarily due to a $174.2 million increase in average interest-bearing deposit balances[304]. - The company's net interest margin for 2024 was 2.37%, down from 2.62% in 2023, while the net interest spread decreased from 1.71% to 1.50%[304]. - Average loan yield increased to 5.70% in 2024 from 5.43% in 2023, attributed to elevated interest rates impacting new loan production[305]. - Net interest income after provision for credit losses was $62,391,000 in 2024, compared to $60,750,000 in 2023, a 2.7% increase[469]. Assets and Liabilities - Total assets as of December 31, 2024, were $2.92 billion, with total revenues of $90.1 million and $7.32 billion in assets under management (AUM)[291]. - The company reported a total of $2.85 billion in assets as of December 31, 2024, up from $2.82 billion in 2023[8][10]. - Total deposits decreased by $14.8 million, or 0.6%, to $2.51 billion as of December 31, 2024, primarily driven by operating account fluctuations and clients using liquidity for strategic investments[341]. - Cash and cash equivalents decreased by $18.401 million, or 7.2%, to $236.041 million as of December 31, 2024[337]. Credit Losses and Risk Management - The provision for credit losses recorded for the year ended December 31, 2024 was $1.9 million, a significant decrease from $10.4 million in 2023, attributed to $9.0 million of net charge-offs[12][13]. - The total allowance for credit losses at the end of 2024 was $18.33 million, down from $23.93 million at the end of 2023, reflecting a decrease in expected credit losses[392]. - The allowance for credit losses to total loans ratio decreased to 0.76% in 2024 from 0.95% in 2023, indicating a reduction in risk[392]. - The company maintains a credit management program to mitigate credit risk, with a focus on early identification and management of problem loans[12][13]. Operational Expenses - The increase in non-interest expense was primarily due to higher operational costs related to non-performing asset workouts and technology enhancements[307]. - Total non-interest expense increased by $2.855 million, or 3.8%, to $78.492 million for the year ended December 31, 2024, compared to $75.637 million in 2023[321]. - Non-interest expense rose by 3.8% to $78.5 million, driven by operational costs related to OREO write-downs and technology enhancements[20]. Capital and Regulatory Compliance - The company has adopted the Basel III regulatory capital framework, exceeding the current well-capitalized regulatory requirements as of December 31, 2024[302]. - The Bank was classified as "well capitalized" under prompt corrective action regulations as of December 31, 2024[419]. - As of December 31, 2024, the Bank's Tier 1 capital to risk-weighted assets ratio was 11.41%, up from 10.54% in 2023[420]. - The Bank's total capital to risk-weighted assets ratio was 12.10% for the Bank and 13.12% for the consolidated entity as of December 31, 2024[420]. Loan Portfolio and Performance - Total loans amounted to $2.425565 billion as of December 31, 2024, with fixed-rate loans constituting $1.003445 billion and floating-rate loans $1.422120 billion[364]. - Non-performing loans totaled $12.8 million, a decrease from $50.8 million in 2023, indicating improved loan quality[378]. - The largest category of the loan portfolio is Commercial Real Estate (CRE), with Non-Owner Occupied CRE accounting for 25.3% of total loans in 2024, up from 21.6% in 2023[359]. - The company conducts regular loan reviews and stress tests to assess risk levels in the loan portfolio, ensuring robust credit policies are in place[363].

Financial Data and Key Metrics - The company held its Q4 2024 earnings conference call on January 24, 2025, with key management participants including Scott Wylie (Chairman and CEO), Julie Courkamp (COO), and David Weber (CFO) [1][3] - The call included forward-looking statements regarding the company's future performance and financial condition, with a reminder that actual results may differ due to various risks and uncertainties [5][6] Business Line Data and Key Metrics - No specific data or metrics related to individual business lines were provided in the content Market Data and Key Metrics - No specific data or metrics related to market performance were provided in the content Company Strategy and Industry Competition - No specific details on company strategy, development direction, or industry competition were provided in the content Management Commentary on Operating Environment and Future Outlook - Management emphasized the inclusion of forward-looking statements in the call, highlighting potential risks and uncertainties that could impact future results [5][6] Other Important Information - The company used a slide presentation during the call, which was available for download on the Investor Relations website [4] - Non-GAAP measures were referenced during the call, intended to supplement but not replace GAAP measures [6] Q&A Session Summary - No specific questions or answers from the Q&A session were provided in the content

Earnings Performance - First Western reported quarterly earnings of $0 28 per share, missing the Zacks Consensus Estimate of $0 34 per share, representing an earnings surprise of -17 65% [1] - The company's earnings were $0 03 per share a year ago, showing significant year-over-year growth despite the miss [1] - Over the last four quarters, the company has surpassed consensus EPS estimates only once [2] Revenue Performance - First Western posted revenues of $23 37 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 6 90% [2] - Year-ago revenues were $22 41 million, indicating a modest year-over-year increase [2] - The company has topped consensus revenue estimates just once over the last four quarters [2] Stock Performance - First Western shares have lost about 7 4% since the beginning of the year, underperforming the S&P 500's gain of 3 5% [3] - The stock's immediate price movement will depend on management's commentary on the earnings call [3] Earnings Outlook - The current consensus EPS estimate for the coming quarter is $0 30 on $25 1 million in revenues [7] - For the current fiscal year, the consensus EPS estimate is $1 74 on $108 8 million in revenues [7] - The estimate revisions trend for First Western is unfavorable, translating into a Zacks Rank 5 (Strong Sell) [6] Industry Context - First Western belongs to the Zacks Banks - Midwest industry, which is currently in the top 12% of the 250 plus Zacks industries [8] - The top 50% of Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1 [8] Peer Comparison - First Merchants, another stock in the same industry, is expected to post quarterly earnings of $0 90 per share, representing a year-over-year change of +3 5% [9] - First Merchants' revenues are expected to be $161 3 million, up 3 1% from the year-ago quarter [9] - The consensus EPS estimate for First Merchants has remained unchanged over the last 30 days [9]

Core Viewpoint - First Western Financial, Inc. reported a net income of $2.7 million for Q4 2024, showing a significant improvement compared to previous quarters and the same quarter last year, indicating a positive trend in profitability and operational efficiency [3][7][9]. Financial Performance - Net income available to common shareholders was $2.7 million, or $0.28 per diluted share, for Q4 2024, compared to $2.1 million, or $0.22 per diluted share, for Q3 2024, and a net loss of $3.2 million, or $0.34 per diluted share, for Q4 2023 [3][7]. - Net interest income increased to $16.9 million in Q4 2024, up 8.3% from $15.6 million in Q3 2024, and up 3.7% from $16.3 million in Q4 2023 [11][14]. - The net interest margin rose to 2.45% in Q4 2024, an increase of 13 basis points from 2.32% in Q3 2024 and 8 basis points from 2.37% in Q4 2023 [12][13]. Loan and Deposit Growth - Total loans increased by 2.1% from $2.40 billion in Q3 2024 to $2.45 billion in Q4 2024, while average deposits rose by 4.0% from $2.40 billion to $2.50 billion during the same period [7][22]. - Total loans held for investment were $2.43 billion as of December 31, 2024, reflecting a 1.7% increase from $2.39 billion as of September 30, 2024 [21]. Non-Interest Income and Expenses - Total non-interest income for Q4 2024 was $6.5 million, a decrease of 7.1% from $7.0 million in Q3 2024, primarily due to a decrease in net gain on mortgage loans [14][15]. - Non-interest expense increased to $20.4 million in Q4 2024, up 5.2% from $19.4 million in Q3 2024, driven by a $1.1 million write-down of other real estate owned (OREO) [16][18]. Asset Quality - Non-performing assets totaled $49.0 million, or 1.68% of total assets, as of December 31, 2024, down from $52.1 million, or 1.79% of total assets, as of September 30, 2024 [26][27]. - The company recorded a provision release of $1.0 million in Q4 2024, compared to a provision expense of $0.5 million in Q3 2024 and $8.5 million in Q4 2023 [29]. Capital Position - As of December 31, 2024, the company exceeded the minimum capital levels required by regulators, with a Tier 1 capital ratio of 10.07% and a total capital ratio of 13.12% [30]. - Book value per common share increased by 1.4% from $25.75 as of September 30, 2024, to $26.10 as of December 31, 2024 [30][31].

Financial Performance - Net income available to common shareholders was $2.7 million in Q4 2024, up from $2.1 million in Q3 2024, and a net loss of $3.2 million in Q4 2023[3]. - Diluted earnings per share increased to $0.28 in Q4 2024 from $0.22 in Q3 2024[6]. - Net income available to common shareholders for Q4 2024 was $2,748,000, compared to $2,134,000 in Q3 2024[33]. - Net income available to common shareholders was $2,748,000, a significant improvement from a net loss of $3,219,000 in the same quarter last year[43]. - Return on tangible common equity (annualized) improved to 4.98%, up from 3.93% in the previous quarter[43]. - Gross revenue for the quarter was $23,787,000, an increase from $22,749,000 in the prior quarter[43]. Income and Expenses - Net interest income rose to $16.9 million in Q4 2024, an 8.3% increase from $15.6 million in Q3 2024[9]. - Non-interest income decreased to $6.5 million in Q4 2024, down 7.1% from $7.0 million in Q3 2024[12]. - Non-interest expense increased to $20.4 million in Q4 2024, a 5.2% rise from $19.4 million in Q3 2024[14]. - Total non-interest expense for Q4 2024 was $20,427,000, an increase from $19,368,000 in Q3 2024[33]. - Allowance for credit losses decreased to $18,330,000, down from $18,796,000 in the prior quarter[43]. - Allowance for credit losses to adjusted loans ratio was 0.76%, slightly down from 0.79% in the previous quarter[43]. Loans and Deposits - Total loans increased by 2.1% to $2.45 billion in Q4 2024 from $2.40 billion in Q3 2024[6]. - Total loans held for investment increased to $2,428,994 as of December 31, 2024, compared to $2,387,288 as of September 30, 2024, and decreased from $2,539,990 as of December 31, 2023[37]. - Average deposits grew by 4.0% to $2.50 billion in Q4 2024 from $2.40 billion in Q3 2024[6]. - Total deposits reached $2,514,209 as of December 31, 2024, slightly up from $2,503,054 as of September 30, 2024, but down from $2,529,039 as of December 31, 2023[37]. Asset Management - Total assets under management decreased to $7.32 billion as of December 31, 2024, from $7.47 billion as of September 30, 2024[21]. - Assets under management increased to $7,321,147 as of December 31, 2024, compared to $7,465,757 as of September 30, 2024, and $6,752,981 as of December 31, 2023[41]. - Total assets as of December 31, 2024, were $2,919,037, an increase from $2,911,948 as of September 30, 2024, and a decrease from $2,975,462 as of December 31, 2023[35]. Capital Ratios - As of December 31, 2024, the Bank's Tier 1 capital to risk-weighted assets was 11.41% and total capital to risk-weighted assets was 12.10%[25]. - The Tier 1 capital to risk-weighted assets ratio was 10.07% as of December 31, 2024, stable from 10.06% as of September 30, 2024, and up from 9.40% as of December 31, 2023[41]. - Book value per common share increased 1.4% from $25.75 as of September 30, 2024, to $26.10 as of December 31, 2024[25]. - Tangible book value per common share increased 1.6% from $22.47 as of September 30, 2024, to $22.83 as of December 31, 2024[26]. - Total shareholders' equity increased to $252,322,000 as of December 31, 2024, up from $248,831,000 in the previous quarter[43]. - Tangible common equity rose to $220,695,000, compared to $217,147,000 in the prior quarter[43]. Asset Quality - Non-performing assets totaled $49.0 million, or 1.68% of total assets, as of December 31, 2024, down from $52.1 million, or 1.79% of total assets, as of September 30, 2024[22]. - Non-performing loans decreased to $13,052 as of December 31, 2024, from $15,031 as of September 30, 2024, and significantly down from $51,125 as of December 31, 2023[41]. - The allowance for credit losses to non-performing loans ratio improved to 140.44% as of December 31, 2024, from 125.05% as of September 30, 2024, and significantly up from 46.81% as of December 31, 2023[41]. Efficiency Metrics - The efficiency ratio improved to 80.7% in Q4 2024 from 85.0% in Q3 2024[15]. - Efficiency ratio improved to 80.74%, compared to 84.98% in the previous quarter[43]. - The net interest margin improved to 2.45% for the three months ended December 31, 2024, compared to 2.32% for the three months ended September 30, 2024, and 2.37% for the three months ended December 31, 2023[39]. Upcoming Events - The company will host a conference call on January 24, 2025, to discuss the fourth quarter 2024 results[27].

Core Viewpoint - First Western Financial, Inc. will release its financial results for the fourth quarter ended December 31, 2024, on January 23, 2025, after market close [1] Financial Results Announcement - The financial results will be discussed in a conference call scheduled for January 24, 2025, at 10:00 a.m. Mountain Time / 12:00 p.m. Eastern Time [2] - Analysts and investors are invited to participate in the question-and-answer session during the conference call [2] Conference Call Details - Participants must register for the conference call to receive the dial-in number and personalized PIN code [3] - The conference call will be accessible via a Telephone Access link and will also be webcast live on the investor relations website [4] Company Overview - First Western Financial, Inc. is a financial services holding company based in Denver, Colorado, with operations in multiple states including Colorado, Arizona, Wyoming, California, and Montana [5] - The company offers a comprehensive suite of wealth management services on a private trust bank platform, including deposit, loan, trust, wealth planning, and investment management products [5] - First Western's common stock is traded on the NASDAQ Global Select Market under the symbol "MYFW" [5]

Company Overview - First Western Financial, Inc. is a financial services holding company headquartered in Denver, Colorado, with operations in Colorado, Arizona, Wyoming, California, and Montana [5] - The company provides a fully integrated suite of wealth management services on a private trust bank platform, including deposit, loan, trust, wealth planning, and investment management products and services [5] - First Western's common stock is traded on the NASDAQ Global Select Market under the symbol "MYFW" [5] Upcoming Financial Results - First Western Financial will release its financial results for the fourth quarter ended December 31, 2024, after the markets close on Thursday, January 23, 2025 [1] - A conference call will be held on Friday, January 24, 2025, at 10:00 a.m. Mountain Time / 12:00 p.m. Eastern Time to discuss the financial results [2] - The conference call will be webcast live on the News & Events page of First Western's investor relations website, with an archived version available shortly after the live call [4]

Financial Performance - For the three months ended September 30, 2024, net income available to common shareholders was $2.1 million, a decrease of $1.0 million, or 31.6%, compared to the same period in 2023[172]. - For the nine months ended September 30, 2024, net income available to common shareholders was $5.7 million, a decrease of $2.7 million, or 32.2%, compared to the same period in 2023[173]. - Non-interest income increased by $5.4 million for the nine months ended September 30, 2024, partially offsetting the decrease in net interest income[173]. - Non-interest income increased by $0.9 million, or 14.3%, to $7.0 million for the three months ended September 30, 2024, driven by higher net gains on mortgage loans and risk management fees[184]. - Total non-interest income for the nine months ended September 30, 2024, increased by $5.4 million, or 33.7%, to $21.2 million, primarily due to higher net gains on mortgage loans[186]. - The effective tax rate decreased to 20.1% for the three months ended September 30, 2024, compared to 26.1% for the same period in 2023[195]. Interest Income and Expenses - Net interest income for the three months ended September 30, 2024, was $15.6 million, a decrease of $1.2 million, or 7.1%, compared to the same period in 2023[174]. - The company experienced a $8.4 million decrease in net interest income for the nine months ended September 30, 2024, primarily due to higher rates on deposits and borrowings[173]. - For the nine months ended September 30, 2024, net interest income was $47.4 million, a decrease of $7.4 million or 13.4% compared to the same period in 2023[175]. - Average interest-bearing deposit rates increased to 4.19% and 4.17% for the three and nine months ended September 30, 2024, compared to 3.75% and 3.39% for the same periods in 2023[177]. - Total interest-bearing liabilities increased to $2.132 billion, with interest expense rising to $67.1 million for the three months ended September 30, 2024[180]. - Interest income decreased by $1.6 million, or 1.9%, for the three months ended September 30, 2024, compared to the same period in 2023, primarily due to a decrease in loans[182]. Asset Management - Total assets as of September 30, 2024, were $2.91 billion, with total revenues of $65.7 million and $7.5 billion in assets under management (AUM)[163]. - Assets Under Management (AUM) increased by $454 million, or 6.5%, during the three months ended September 30, 2024, primarily driven by a net increase in market values[212]. - For the nine months ended September 30, 2024, AUM increased by $713 million, or 10.6%, attributed to contributions and improving market conditions year-over-year[212]. - Total Assets Under Management as of September 30, 2024, reached $7,466 million, compared to $6,396 million in the previous year[212]. - Contributions for the three months ended September 30, 2024, totaled $93 million, while withdrawals amounted to $262 million[212]. Loans and Credit Quality - Average loans outstanding decreased due to a net decline in several portfolios, with non-performing loans decreasing by $30.0 million[175]. - Non-performing assets totaled $51,450,000, with non-accrual loans accounting for 14,414,000, representing 0.61% of total loans[243]. - The company recorded $25.6 million of OREO in Q3 2024, increasing the carrying amount of OREO properties to $37.0 million[242]. - The allowance for credit losses to non-accrual loans was 130.40%, significantly higher than the previous year's 47.09%[243]. - The total amount of loans classified as substandard was $25.675 million as of September 30, 2024[246]. Deposits and Borrowings - Total deposits decreased by $26.0 million, or 1.0%, to $2.50 billion as of September 30, 2024, from December 31, 2023[258]. - Total average deposits for the three months ended September 30, 2024, increased by $43.7 million, or 1.9%, compared to $2.36 billion as of September 30, 2023[258]. - As of September 30, 2024, total borrowings decreased to $114.9 million from $178.1 million as of December 31, 2023, reflecting a lower reliance on FHLB and FRB borrowings due to decreased loans[262]. - The Company has pledged $1.30 billion in collateral for borrowings under the FHLB agreement as of September 30, 2024, with eligibility to borrow an additional $612.1 million[265]. Capital and Regulatory Compliance - The bank's capital ratios exceeded the current well-capitalized regulatory requirements established under Basel III as of September 30, 2024[171]. - Tier 1 capital to risk-weighted assets for the Bank improved to 11.39% as of September 30, 2024, up from 10.54% as of December 31, 2023[274]. - Total shareholders' equity increased by $6,093,000, or 2.5%, to $248,831,000 as of September 30, 2024, compared to $242,738,000 as of December 31, 2023[206]. Risk Management - The company actively monitors interest rate risk exposure, with quarterly reviews by the board of directors[280]. - Interest rate sensitivity analysis indicates potential changes in net interest income and economic value of equity under various interest rate scenarios[280]. - The company’s credit culture emphasizes conservative approaches to credit requests, ensuring strong credit underwriting practices across all loan types[228].