Bridgewater Bank(US:BWB)2025-10-21 20:22Financial Performance - Net income for Q3 2025 was $11.6 million, or $0.38 per diluted common share, compared to $11.5 million in Q2 2025 and $8.7 million in Q3 2024[3] - Net income for Q3 2025 was $11,601,000, slightly up from $11,520,000 in Q2 2025 and significantly higher than $9,633,000 in Q1 2025[36] - Net Income for the nine months ended September 30, 2025, was $32,754,000, an increase from $24,621,000 in the same period of 2024[47] - Net Income Available to Common Shareholders for Q3 2025 was $10,588,000, an increase from $7,190,000 in Q3 2024, representing a year-over-year growth of 47.5%[49] - Total Adjusted Net Income for the nine months ended September 30, 2025, was $33,365,000, up from $24,498,000 in the same period of 2024, marking a 36.1% increase[49] Income and Expenses - Net interest income increased by $1.6 million, or 5.1%, from Q2 2025, totaling $34.1 million for Q3 2025[8] - Noninterest income decreased to $2.1 million in Q3 2025, down $1.6 million from Q2 2025, but up $539,000 from Q3 2024[16] - Total noninterest expense increased to $19,956,000 in Q3 2025, up from $18,941,000 in Q2 2025, reflecting a rise of 5.4%[40] - The total interest expense for Q3 2025 was $39,542,000, an increase from $36,746,000 in Q2 2025[40] - Provision for credit losses on loans was $900,000 in Q3 2025, down from $2.0 million in Q2 2025 and up from $0 in Q3 2024[14] Asset and Deposit Growth - Total assets increased to $5,359,994,000 in Q3 2025 from $5,296,673,000 in Q2 2025[36] - Total deposits rose by $56.0 million, or 5.2% annualized, from Q2 2025, with core deposits increasing by $92.1 million, or 11.5% annualized[2] - Total deposits were $4.29 billion in Q3 2025, an increase of $56.0 million, or 5.2% annualized, from Q2 2025, and up $545.3 million, or 14.6%, from Q3 2024[21] - Total interest earning assets increased to $5,223,139 thousand for the three months ended September 30, 2025, compared to $5,019,058 thousand for the previous quarter, reflecting a growth of 4.05%[41] Loan Performance - Gross loans increased by $68.8 million, or 6.6% annualized, from Q2 2025, reaching a total of $4.21 billion[2] - Total gross loans reached $4.21 billion in Q3 2025, an increase of $68.8 million, or 6.6% annualized, from Q2 2025, and up $529.0 million, or 14.4%, from Q3 2024[19] - The loan to deposit ratio was 98.2% in Q3 2025, compared to 97.9% in Q2 2025[36] - Nonperforming Loans amounted to $9,991,000, representing 0.24% of Total Loans as of September 30, 2025, consistent with the previous quarter[45] Efficiency and Ratios - The efficiency ratio was 54.7%, up from 52.6% in Q2 2025, indicating increased operational costs relative to income[2] - The efficiency ratio for Q3 2025 was 54.7%, an increase from 52.6% in Q2 2025[36] - Adjusted Return on Average Assets for Q3 2025 was 0.88%, consistent with Q2 2025, and up from 0.71% in Q3 2024[49] - Adjusted Return on Average Shareholders' Equity for Q3 2025 was 9.77%, compared to 7.49% in Q3 2024, showing a significant improvement[49] Capital and Book Value - Tangible book value per share increased by 20.0% annualized to $14.93 at September 30, 2025[2] - Tangible Book Value Per Common Share increased to $14.93 in Q3 2025 from $13.96 in Q3 2024, reflecting a growth of 6.9%[48] - Total shareholders' equity increased to $497.5 million in Q3 2025, up $21.2 million, or 17.6% annualized, from Q2 2025[25] - Common equity tier 1 risk-based capital ratio was 9.08% in Q3 2025, slightly up from 9.03% in Q2 2025[37] Operational Developments - The company successfully completed the systems conversion of the First Minnetonka City Bank acquisition[2] - A new retail and small business online banking platform was launched during the quarter, supporting future growth initiatives[5] - The Company had 325 full-time equivalent employees at September 30, 2025, an increase from 308 at June 30, 2025, driven by the acquisition of FMCB[18]