• ACL/Adjusted Total Loans(1) increased to 0.89% in 2Q23 from 0.81% in 1Q23 Approved Fonts Slide Headlines / Text on light background | --- | --- | --- | --- | --- | |-------|-------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | |-------|-------|-------------------|-------------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | ...

Financial Data and Key Metrics Changes - The company generated net income of $1.5 million, or $0.16 per diluted share in Q2 2023, with adjusted diluted earnings per share of $0.25, excluding certain non-recurring items [39][50] - Net interest income decreased by 5.8% from the prior quarter due to increased interest expense from higher average deposit costs, while net interest margin decreased by 20 basis points to 2.73% [54][55] - The allowance for credit losses was increased to 0.89% of total loans as of June 30, reflecting a prudent risk management approach [45][55] Business Line Data and Key Metrics Changes - Total loans increased by $27 million from the end of the prior quarter, driven by growth in the commercial real estate portfolio and draws on existing construction lines [40] - Non-interest income decreased by 32% from the prior quarter, primarily due to non-core items, while trust and investment management fees remained consistent with the prior quarter [43][54] - The average rate of new loan production increased by 23 basis points from the prior quarter, with $38 million in loan production in June, the largest monthly amount so far this year [51] Market Data and Key Metrics Changes - Total deposits were relatively unchanged from the prior quarter, with $37 million added in new deposit relationships during Q2 [41] - Average deposits increased by almost 12% annualized from Q4 2022, reflecting a trend of clients moving funds into interest-bearing accounts for higher yields [41] - The spot rate for deposits at the end of June was 2.81%, with loan rates ending at 5.38% [76] Company Strategy and Development Direction - The company continues to prioritize prudent risk management and maintain high levels of liquidity, capital, and reserves, even if it impacts short-term profitability [63][112] - There is a focus on deposit gathering and adding new clients, with expectations for loan growth to remain low in the near future but potential for higher growth in 2024 [63][84] - The company has been disciplined in its acquisition strategy, ensuring that pricing makes sense economically and that integration captures projected cost savings [114] Management's Comments on Operating Environment and Future Outlook - Management noted that while economic conditions remain healthy, there is a lower level of loan demand due to higher rates and recession concerns [38] - The company expects that the current economic environment will stabilize, allowing for potential capital utilization opportunities in the future [64][112] - Management expressed optimism about loan demand increasing as clients adjust to the current rate environment and begin utilizing existing credit lines [82][83] Other Important Information - The company recorded a $1.2 million pre-tax impairment related to contingent consideration assets and a $1.1 million pretax loss on loans accounted for under the fair value option [35][36] - The non-performing assets declined by 18% due to the full repayment of two private loans, with minimal charge-offs reported [55] Q&A Session Summary Question: What is the outlook for net interest margin and loan growth? - Management believes the margin may have hit its trough in Q2, with expectations for flat to slight improvement in Q3 and continued improvement in Q4 [79][67] - Loan growth is expected to remain low in the near term, but there is potential for stronger growth in 2024 if economic conditions improve [83][84] Question: What are the plans for capital levels and acquisitions? - Management indicated that they are focused on protecting capital and building tangible book value, with interest in future acquisition opportunities as market conditions normalize [112][101] Question: Can you provide details on the specific reserve for a non-performing loan? - The reserve was established for a C&I credit that encountered difficulties, with efforts ongoing to collect on personal guarantees and other sources of repayment [89][98]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _________________________________________ FORM 10-Q _________________________________________ x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Table of Contents Commission File Number 001-38595 _________________________________________ FIRST WESTERN FINANCIAL, INC. (Exact name of registrant as specified in its charter) _________________________________________ (State or other jurisdiction of inco ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ____________________________________________ FORM 10-K ____________________________________________ x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 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 001-38595 ___________________ ...

First Western Financial, Inc. (NASDAQ:MYFW) Q4 2022 Earnings Conference Call January 27, 2023 12:00 PM ET Corporate Participants Tony Rossi - Managing Director - Financial Profiles Scott Wylie - Chairman and Chief Executive Officer Julie Courkamp - Chief Financial Officer and Chief Operating Officer Conference Call Participants Brett Rabatin - Hovde Brady Gailey - KBW Matthew Clark - Piper Sandler Bill Dezellem - Tieton Operator Thank you for standing by and welcome to First Western Financial Fourth Quarter ...

Safe Harbor 2 4Q22 Earnings | --- | |-------| | | | | | | | ▪ | | | | ▪ | | ▪ | Increasing contributions from newer markets in Arizona, Wyoming and Montana | --- | |-------| | | | | | | | ▪ | | ▪ | Increase in Liquidity and Capital (1) See Non-GAAP reconciliation Net Income Available to Common Shareholders and Earnings per Share ▪ Net income of $5.5 million, or $0.56 diluted earnings per share, in 4Q22 ▪ Strong profitability resulted in 2.5% and 3.0% increase in book value per share and tangible book value ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 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 ☐ 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 001-38595 FIRST WESTERN FINANCIAL, INC. (Exact name of registrant as specified in its charter) Colorado ...

First Western Financial, Inc. (NASDAQ:MYFW) Q3 2022 Earnings Conference Call October 21, 2022 12:00 PM ET Company Participants Tony Rossi - Financial Profiles Scott Wylie - Chairman and Chief Executive Officer Julie Courkamp - Chief Financial Officer and Chief Operating Officer Conference Call Participants Brady Gailey - KBW Clark Matthew - Piper Stanley Bill Dezellem - Tieton Capital Management Operator Good day, and thank you for standing by. Welcome to First Western Financial???s Third Quarter 2022 Earni ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 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 REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission File Number 001-38595 FIRST WESTERN FINANCIAL, INC. (Exact name of registrant as specified in its charter) Colorado 37-1 ...

Second Quarter 2022 Conference Call Safe Harbor | --- | --- ...