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].

DENVER, Jan. 07, 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 fourth quarter ended December 31, 2024 after the markets close on Thursday, January 23, 2025. Management will hold a conference call at 10:00 a.m. Mountain Time/12:00 p.m. Eastern Time on Friday, January 24, 2025, to discuss First Western’s financial results. Analysts an ...

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]

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].

Financial Data and Key Metrics Changes - The company generated net income of $2.1 million, or $0.22 per diluted share in Q3 2024, which was double the EPS from the prior quarter [7] - The tangible book value per share increased by about 1% this quarter [7] - The loan to deposit ratio improved to 95% at the end of Q3, achieving the company's goal of reducing it to the mid-90% range [5] Business Line Data and Key Metrics Changes - Loans held for investment decreased by $73 million from the end of the prior quarter, with new loan production of $83 million compared to $50 million in the prior quarter [7][8] - Non-interest bearing deposits increased by 19% from the end of the prior quarter, contributing to a total deposit increase of $92 million [5][8] - Assets under management (AUM) increased by $454 million in Q3, reflecting nearly a 17% increase over the past year [8] Market Data and Key Metrics Changes - The company experienced a decrease in gross revenue by 1.7% from the prior quarter, attributed to a problem credit migrating to non-accrual status and increased interest expenses [9] - Net interest income decreased by 1.3% from the prior quarter, with a net interest margin (NIM) of 2.32%, down 3 basis points from the previous quarter [10][11] Company Strategy and Development Direction - The company continues to prioritize prudent risk management and conservative underwriting criteria while focusing on deposit gathering and maintaining disciplined expense control [5][14] - There is an expectation of solid operating leverage in the near term due to modest growth in the balance sheet, improved net interest margin, and higher fee income [14][15] - The company aims to capitalize on market disruptions faced by competing banks to add new clients and banking talent [14] Management's Comments on Operating Environment and Future Outlook - Management noted that overall economic activity remains healthy in their markets, with positive trends in asset quality and a reduction in non-performing loans [14][16] - The company expects to see continued improvement in financial performance and value creation for shareholders, driven by positive trends in key areas [16] Other Important Information - The company reported a higher level of non-interest bearing deposits, which will positively impact the cost of funds [11] - The company is seeing a positive trend in mortgage production, with September being the highest month in 2.5 years [12][34] Q&A Session Summary Question: Inquiry about credit and charge-offs - Management explained that a $10 million loan was moved to non-accrual status due to a liquidity issue with the borrower, but they expect a full recovery [18] - Charge-offs were primarily related to the conversion of a large credit into OREO, with the value of OREO being higher than the loan balance [18] Question: Classified loans and asset quality - Classified loans decreased significantly, with non-accrual classified at $14.4 million compared to $37.6 million in the prior quarter [19] Question: Deposit growth and sustainability - The growth in non-interest bearing deposits was broad-based among customers, indicating a positive trend in core relationships [20][22] Question: Deposit costs and NIM - The company reported a spot NIM of 2.40% at quarter-end, with expectations for positive trends in the future [22][24] Question: Mortgage business outlook - Management noted that while mortgage revenues were down in Q3, there is pent-up demand and a strong pipeline due to new MLO hires [34][36] Question: Future expansion plans - The company is looking to grow its presence in Arizona and Montana, with plans to add more personnel and branches in these markets [46][48]

Third Quarter 2024 Conference Call Safe Harbor Statements in this presentation regarding our expectations and beliefs about our future financial performance and financial condition, as well as trends in our business and markets are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. Forwardlooking statements often include words such as "believe," "expect," "anticipate," "intend," "plan," "estimate," "project," "position," "outlook," or words of similar meaning, o ...

First Western (MYFW) came out with quarterly earnings of $0.22 per share, missing the Zacks Consensus Estimate of $0.30 per share. This compares to earnings of $0.32 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -26.67%. A quarter ago, it was expected that this company would post earnings of $0.31 per share when it actually produced earnings of $0.11, delivering a surprise of -64.52%.Over the last four quarters, the company ...

Third Quarter 2024 Summary Net income available to common shareholders of $2.1 million in Q3 2024, compared to $1.1 million in Q2 2024Diluted earnings per share of $0.22 in Q3 2024, compared to $0.11 in Q2 2024Total deposits increased 3.7% from $2.41 billion in Q2 2024 to $2.50 billion in Q3 2024. Noninterest-bearing deposits increased 19% from $397 million in Q2 2024 to $474 million in Q3 2024Loan-to-Deposit ratio decreased from 101.9% in Q2 2024 to 95.2% in Q3 2024 DENVER, Oct. 24, 2024 (GLOBE NEWSWIRE) - ...

Exhibit 99.1 First Western Reports Third Quarter 2024 Financial Results Third Quarter 2024 Summary • Net income available to common shareholders of $2.1 million in Q3 2024, compared to $1.1 million in Q2 2024 • Diluted earnings per share of $0.22 in Q3 2024, compared to $0.11 in Q2 2024 • Total deposits increased 3.7% from $2.41 billion in Q2 2024 to $2.50 billion in Q3 2024. Noninterestbearing deposits increased 19% from $397 million in Q2 2024 to $474 million in Q3 2024 • Loan-to-Deposit ratio decreased f ...