First Quarter 2025 Summary

Net income available to common shareholders of $4.2 million in Q1 2025, compared to $2.7 million in Q4 2024
Diluted earnings per share of $0.43 in Q1 2025, compared to $0.28 in Q4 2024
Net interest income of $17.5 million in Q1 2025, compared to $16.9 million in Q4 2024
Net interest margin increased 16 basis points from 2.45% in Q4 2024 to 2.61% in Q1 2025
Other real estate owned ("OREO") decreased $31.5 million from $35.9 million in Q4 2024 to $4.4 million in Q1 2025 due to the sale of two properties for a net gain of $0.5 million
Noninterest-bearing deposits increased 9.1% from $375.6 million as of Q4 2024 to $409.7 million as of Q1 2025

DENVER, April 24, 2025 (GLOBE NEWSWIRE) -- First Western Financial, Inc. ("First Western" or the "Company") (NASDAQ:MYFW), today reported financial results for the first quarter ended March 31, 2025.

Net income available to common shareholders was $4.2 million, or $0.43 per diluted share, for the first quarter of 2025. This compares to net income of $2.7 million, or $0.28 per diluted share, for the fourth quarter of 2024, and net income of $2.5 million, or $0.26 per diluted share, for the first quarter of 2024.

Scott C. Wylie, CEO of First Western, commented, "As expected, we generated a significant improvement in our level of profitability in the first quarter. We saw positive trends in many areas including an expansion in our net interest margin, a higher level of non-interest income, an increase in noninterest-bearing deposits, solid loan production, and well managed expenses. We also saw general stability in asset quality while having a substantial reduction in our nonperforming assets following the successful resolution of our two largest OREO properties, which were sold for a net gain.

"We expect to see a continuation of the positive trends we are seeing, while we also redeploy the cash from the sale of our two largest OREO properties into interest-earning assets. We believe this will continue to result in solid financial performance for our shareholders as we move through the year," said Mr. Wylie.


	For the Three Months Ended
	March 31,			December 31,			March 31,
*(Dollars in thousands, except per share data)*		2025			2024			2024
Earnings Summary
Net interest income	$	17,453		$	16,908		$	16,070
Less: Provision (release) for credit losses		80			(974	)		72
Total non-interest income		7,345			6,459			7,277
Total non-interest expense		19,361			20,427			19,696
Income before income taxes		5,357			3,914			3,579
Income tax expense		1,172			1,166			1,064
Net income available to common shareholders		4,185			2,748			2,515
Basic earnings per common share		0.43			0.28			0.26
Diluted earnings per common share		0.43			0.28			0.26

Return on average assets (annualized)		0.59	%		0.38	%		0.35	%
Return on average shareholders' equity (annualized)		6.63			4.39			4.10
Return on tangible common equity (annualized)⁽¹⁾		7.44			4.98			4.71
Net interest margin		2.61			2.45			2.34
Efficiency ratio⁽¹⁾		79.16			80.74			83.68

_____________________

⁽¹⁾	Represents a Non-GAAP financial measure. See "Reconciliations of Non-GAAP Financial Measures" for a reconciliation of our Non-GAAP measures to the most directly comparable GAAP financial measure.

Operating Results for the First Quarter 2025

Revenue

Total income before non-interest expense was $24.7 million for the first quarter of 2025, compared to $24.3 million for the fourth quarter of 2024. Gross revenue⁽¹⁾ was $24.6 million for the first quarter of 2025, compared to $23.8 million for the fourth quarter of 2024. Relative to the fourth quarter of 2024, the increase in total income before non-interest expense was primarily driven by increases in Net interest income, Net gain on mortgage loans, Net gain on other real estate owned, and Net gain on loans held for sale, partially offset by an increase in provision for credit losses and a decrease in Risk management and insurance fees. Relative to the first quarter of 2024, total income before non-interest expense increased 6.0% from $23.3 million and Gross revenue increased 4.7% from $23.5 million. Relative to the first quarter of 2024, the increase in total income before non-interest expense was primarily driven by increases in Net interest income and Net gain on other real estate owned, partially offset by decreases in Bank fees and Trust and investment management fees.

⁽¹⁾	Represents a Non-GAAP financial measure. See "Reconciliations of Non-GAAP Financial Measures" for a reconciliation of our Non-GAAP measures to the most directly comparable GAAP financial measure.

Net Interest Income

Net interest income for the first quarter of 2025 was $17.5 million, an increase of 3.6% from $16.9 million in the fourth quarter of 2024. The increase quarter over quarter was primarily driven by a 16 basis point increase in net interest margin, offset partially by a decline in average interest-earning assets. Relative to the first quarter of 2024, net interest income increased 8.7% from $16.1 million. The increase compared to the first quarter of 2024 was primarily driven by an 27 basis point increase in net interest margin, offset partially by a decline in average interest-earning assets.

Net Interest Margin

Net interest margin for the first quarter of 2025 increased 16 basis points to 2.61% from 2.45% reported in the fourth quarter of 2024, primarily due to a decrease in cost of deposits and increase in interest-earning assets yield.

The yield on interest-earning assets increased 4 basis points to 5.57% from 5.53% reported in the fourth quarter of 2024 and the cost of interest-bearing deposits decreased 19 basis points to 3.59% from 3.78% reported in the fourth quarter of 2024.

Relative to the first quarter of 2024, net interest margin increased 27 basis points from 2.34%, primarily due to a 32 basis point decrease in total cost of funds.

Non-interest Income

Non-interest income for the first quarter of 2025 was $7.3 million, an increase of 12.3% from $6.5 million in the fourth quarter of 2024. The increase was driven primarily by increases in Net gain on other real estate owned, Net gain on mortgage loans, and Net gain on loans held for sale, partially offset by a decrease in Risk management and insurance fees. The increase in Net gain on other real estate was due to the sale of our two largest OREO properties for a net gain of $0.5 million. The increase in Net gain on loans held for sale was due to the reversal of the previous quarter's write-down on a non-performing loan. This loan was previously classified as held for sale; however, during the quarter it was transferred to held for investment and charged off through the Allowance for credit losses.

Relative to the first quarter of 2024, non-interest income increased slightly, driven primarily by increases in Net gain on other real estate owned and Net gain on loans accounted for under the fair value option, offset partially by decreases in Trust and investment management fees and Bank fees.

Non-interest Expense

Non-interest expense for the first quarter of 2025 was $19.4 million, a decrease of 4.9% from $20.4 million in the fourth quarter of 2024. The decrease was primarily driven by the one-time $1.1 million Other real estate owned ("OREO") write-down recognized in the fourth quarter of 2024, offset partially by an increase in Salaries and employee benefits.

Relative to the first quarter of 2024, non-interest expense decreased 1.5% from $19.7 million, driven primarily by a decrease in Professional services due to decreases in legal expenses, audit fees, and FDIC insurance fees, partially offset by increases in Occupancy and equipment expenses and Salaries and employee benefits.

The Company's efficiency ratio⁽¹⁾ was 79.2% in the first quarter of 2025, compared with 80.7% in the fourth quarter of 2024 and 83.7% in the first quarter of 2024.

⁽¹⁾	Represents a Non-GAAP financial measure. See "Reconciliations of Non-GAAP Financial Measures" for a reconciliation of our Non-GAAP measures to the most directly comparable GAAP financial measure.

Income Taxes

The Company recorded Income tax expense of $1.2 million for the first quarter of 2025, compared to Income tax expense of $1.2 million for the fourth quarter of 2024 and Income tax expense of $1.1 million for the first quarter of 2024.

Loans

Total loans held for investment of $2.43 billion as of March 31, 2025 was flat compared to December 31, 2024. Changes in the quarter included net growth in the commercial real estate and 1 - 4 family residential portfolios, offset by net decreases in the cash, securities, and other and construction and development portfolios. Total average loans were $2.41 billion for the first quarter of 2025, an increase of $21.4 million from $2.39 billion for the fourth quarter of 2024. Relative to the first quarter of 2024, total loans held for investment decreased from $2.48 billion as of March 31, 2024, primarily driven by net decreases in the commercial and industrial, construction and development, and cash, securities, and other portfolios, partially offset by net growth in the 1 - 4 family residential and non-owner occupied commercial real estate portfolios.

Deposits

Total deposits were $2.52 billion as of March 31, 2025, an increase of 0.4% from $2.51 billion as of December 31, 2024. Relative to the first quarter of 2024, total deposits decreased from $2.53 billion as of March 31, 2024, driven primarily by a decrease in Noninterest-bearing deposits.

Borrowings

Federal Home Loan Bank ("FHLB") and Federal Reserve borrowings were a combined $51.6 million as of March 31, 2025, a decrease of $5.4 million from $57.0 million as of December 31, 2024. The change when compared to December 31, 2024 was primarily driven by net pay downs on the Company's FHLB line of credit. Relative to the first quarter of 2024, borrowings decreased $17.9 million from $69.5 million as of March 31, 2024. The decrease in borrowings from March 31, 2024 was primarily driven by BTFP payoffs and net pay downs on the Company's FHLB line of credit.

Subordinated notes were $44.6 million as of March 31, 2025, compared to $52.6 million as of December 31, 2024. Subordinated notes decreased $7.8 million from $52.4 million as of March 31, 2024. Relative to the fourth quarter of 2024 and first quarter of 2024, the decrease was due to the call of $8.0 million of subordinated notes that became eligible to call in the first quarter of 2025.

Assets Under Management

Assets Under Management ("AUM") decreased to $7.18 billion as of March 31, 2025, compared to $7.32 billion as of December 31, 2024. The decrease in AUM during the quarter was primarily attributable to net withdrawals throughout the first quarter of 2025. Compared to March 31, 2024, total AUM increased slightly from $7.14 billion.

Credit Quality

Non-performing assets totaled $17.1 million, or 0.59% of total assets, as of March 31, 2025, compared to $49.0 million, or 1.68% of total assets, as of December 31, 2024. The decrease in non-performing assets during the quarter was primarily due to the sale of two OREO properties for a net gain of $0.5 million. As of March 31, 2024, non-performing assets totaled $46.0 million, or 1.57% of total assets. Relative to the first quarter of 2024, the decrease in non-performing assets was primarily driven by the sale of two OREO properties, partially offset by additions to non-performing loans. OREO totaled $4.4 million as of March 31, 2025 a decrease of $31.5 million from $35.9 million as of December 31, 2024. As of March 31, 2024, the Company held no OREO.

Non-performing loans totaled $12.8 million as of March 31, 2025, a decrease of $0.3 million from $13.1 million as of December 31, 2024. The decrease was primarily due to the charge-off of a non-performing loan that had previously been held for sale. As of March 31, 2024, non-performing loans totaled $46.0 million. The decrease when compared to March 31, 2024 was driven by the migration of one loan relationship out of non-performing loans and into OREO, partially offset by additions to non-performing loans.

During the first quarter of 2025, the Company recorded provision expense of $0.1 million, compared to a provision release of $1.0 million in the fourth quarter of 2024 and provision expense of $0.1 million in the first quarter of 2024.

Capital

As of March 31, 2025, First Western ("Consolidated") and First Western Trust Bank ("Bank") exceeded the minimum capital levels required by their respective regulators. As of March 31, 2025, the Bank was classified as "well capitalized," as summarized in the following table:


	March 31,
	2025
Consolidated Capital
Tier 1 capital to risk-weighted assets	10.35	%
Common Equity Tier 1 ("CET1") to risk-weighted assets	10.35
Total capital to risk-weighted assets	13.15
Tier 1 capital to average assets	8.12

Bank Capital
Tier 1 capital to risk-weighted assets	11.76	%
CET1 to risk-weighted assets	11.76
Total capital to risk-weighted assets	12.52
Tier 1 capital to average assets	9.24

Book value per common share increased 1.3% from $26.10 as of December 31, 2024 to $26.44 as of March 31, 2025. Book value per common share increase 3.6% from $25.52 as of March 31, 2024.

Tangible book value per common share⁽¹⁾ increased 1.6% from $22.83 as of December 31, 2024, to $23.18 as of March 31, 2025. Tangible book value per common share increased 4.4% from $22.21 as of March 31, 2024.

⁽¹⁾	Represents a Non-GAAP financial measure. See "Reconciliations of Non-GAAP Financial Measures" for a reconciliation of our Non-GAAP measures to the most directly comparable GAAP financial measure.

Conference Call, Webcast and Slide Presentation

The Company will host a conference call and webcast at 10:00 a.m. MT/ 12:00 p.m. ET on Friday, April 25, 2025. Telephone access: https://register-conf.media-server.com/register/BI019349e043a94dc394d0159a3c41719d.

A slide presentation relating to the first quarter 2025 results will be accessible prior to the scheduled conference call. The slide presentation and webcast of the conference call can be accessed on the Events and Presentations page of the Company's investor relations website at https://myfw.gcs-web.com.

About First Western

First Western is a financial services holding company headquartered in Denver, Colorado, with operations in Colorado, Arizona, Wyoming, California, and Montana. First Western and its subsidiaries provide a fully integrated suite of wealth management services on a private trust bank platform, which includes a comprehensive selection of deposit, loan, trust, wealth planning and investment management products and services. First Western's common stock is traded on the Nasdaq Global Select Market under the symbol "MYFW." For more information, please visit www.myfw.com.

Non-GAAP Financial Measures

Some of the financial measures included in this press release are not measures of financial performance recognized in accordance with generally accepted accounting principles in the United States ("GAAP"). These non-GAAP financial measures include "Tangible Common Equity," "Tangible Common Book Value per Share," "Return on Tangible Common Equity," "Efficiency Ratio," "Gross Revenue," and "Allowance for Credit Losses to Adjusted Loans". The Company believes these non-GAAP financial measures provide both management and investors a more complete understanding of the Company's financial position and performance. These non-GAAP financial measures are supplemental and are not a substitute for any analysis based on GAAP financial measures. Not all companies use the same calculation of these measures; therefore, this presentation may not be comparable to other similarly titled measures as presented by other companies. Reconciliation of non-GAAP financial measures to GAAP financial measures are provided at the end of this press release.

Forward-Looking Statements

Statements in this news release 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. Forward-looking statements often include words such as "believe," "expect," "anticipate," "intend," "plan," "estimate," "project," "position," "outlook," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "opportunity," "could," or "may." The forward-looking statements in this news release are based on current information and on assumptions that we make about future events and circumstances that are subject to a number of risks and uncertainties that are often difficult to predict and beyond our control. As a result of those risks and uncertainties, our actual financial results in the future could differ, possibly materially, from those expressed in or implied by the forward-looking statements contained in this news release and could cause us to make changes to our future plans. Those risks and uncertainties include, without limitation, the lack of soundness of other financial institutions or financial market utilities may adversely affect the Company; the Company's ability to engage in routine funding and other transactions could be adversely affected by the actions and commercial soundness of other financial institutions; financial institutions are interrelated because of trading, clearing, counterparty or other relationships; defaults by, or even rumors or questions about, one or more financial institutions or financial market utilities, or the financial services industry generally, may lead to market-wide liquidity problems and losses of client, creditor and counterparty confidence and could lead to losses or defaults by other financial institutions, or the Company; integration risks and projected cost savings in connection with acquisitions; the risk of geographic concentration in Colorado, Arizona, Wyoming, California, and Montana; the risk of changes in the economy affecting real estate values and liquidity; the risk in our ability to continue to originate residential real estate loans and sell such loans; risks specific to commercial loans and borrowers; the risk of claims and litigation pertaining to our fiduciary responsibilities; the risk of competition for investment managers and professionals; the risk of fluctuation in the value of our debt securities; the risk of changes in interest rates; the risk of the adequacy of our allowance for credit losses; the risk in our ability to maintain a strong core deposit base or other low-cost funding sources; the risk of weak economic conditions and global trade, including the imposition of tariffs; the risk that legislative or regulatory actions may have a significant adverse effect on our operations. Additional information regarding these and other risks and uncertainties to which our business and future financial performance are subject is contained in our Annual Report on Form 10-K filed with the U.S. Securities and Exchange Commission ("SEC") on March 7, 2025 ("Form 10-K"), and other documents we file with the SEC from time to time. We urge readers of this news release to review the "Risk Factors" section our Form 10-K and any updates to those risk factors set forth in our subsequent Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and our other filings with the SEC. Also, our actual financial results in the future may differ from those currently expected due to additional risks and uncertainties of which we are not currently aware or which we do not currently view as, but in the future may become, material to our business or operating results. Due to these and other possible uncertainties and risks, readers are cautioned not to place undue reliance on the forward-looking statements contained in this news release, which speak only as of today's date, or to make predictions based solely on historical financial performance. Any forward-looking statement speaks only as of the date on which it is made, and we do not undertake any obligation to update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law.

Contacts:

Financial Profiles, Inc.

Tony Rossi

310-622-8221

MYFW@finprofiles.com

IR@myfw.com


First Western Financial, Inc. Condensed Consolidated Statements of Income (unaudited)

	Three Months Ended
	March 31,		December 31,			March 31,
*(dollars in thousands, except per share amounts)*		2025		2024			2024
Interest and dividend income:
Loans, including fees	$	34,068	$	34,287		$	35,139
Loans accounted for under the fair value option		111		118			209
Investment securities		681		696			603
Interest-bearing deposits in other financial institutions		2,221		2,879			2,352
Dividends, restricted stock		128		129			95
Total interest and dividend income		37,209		38,109			38,398

Interest expense:
Deposits		18,516		19,921			20,622
Other borrowed funds		1,240		1,280			1,706
Total interest expense		19,756		21,201			22,328
Net interest income		17,453		16,908			16,070
Less: Provision (release) for credit losses		80		(974	)		72
Net interest income, after provision (release) for credit losses		17,373		17,882			15,998

Non-interest income:
Trust and investment management fees		4,677		4,660			4,930
Net gain on mortgage loans		1,067		377			1,264
Net gain (loss) on loans held for sale		222		(222	)		117
Bank fees		422		426			891
Risk management and insurance fees		259		1,139			49
Income on company-owned life insurance		110		112			105
Net gain (loss) on loans accounted for under the fair value option		6		(149	)		(302	)
Net gain on other real estate owned		459		—			—
Unrealized gain (loss) recognized on equity securities		11		(49	)		(6	)
Other		112		165			229
Total non-interest income		7,345		6,459			7,277
Total income before non-interest expense		24,718		24,341			23,275

Non-interest expense:
Salaries and employee benefits		11,480		11,237			11,267
Occupancy and equipment		2,210		2,100			1,976
Professional services		1,704		1,821			2,411
Technology and information systems		1,078		1,073			1,010
Data processing		1,122		1,029			948
Marketing		216		397			194
Amortization of other intangible assets		51		56			57
Other		1,500		2,714			1,833
Total non-interest expense		19,361		20,427			19,696
Income before income taxes		5,357		3,914			3,579
Income tax expense		1,172		1,166			1,064
Net income available to common shareholders	$	4,185	$	2,748		$	2,515
Earnings per common share:
Basic	$	0.43	$	0.28		$	0.26
Diluted		0.43		0.28			0.26


First Western Financial, Inc. Condensed Consolidated Balance Sheets (unaudited)

	March 31,			December 31,			March 31,
*(dollars in thousands)*		2025			2024			2024
Assets
Cash and cash equivalents:
Cash and due from banks	$	15,924		$	9,770		$	8,136
Interest-bearing deposits in other financial institutions		255,658			226,271			249,753
Total cash and cash equivalents		271,582			236,041			257,889

Held-to-maturity debt securities (fair value of $67,479, $68,161 and $64,908, respectively), net of allowance for credit losses of $71		73,775			75,724			72,303
Correspondent bank stock, at cost		5,968			5,864			4,461
Mortgage loans held for sale, at fair value		10,557			25,455			10,470
Loans held for sale, at fair value		—			251			—
Loans (includes $6,112, $7,283, and $11,922 measured at fair value, respectively)		2,425,367			2,425,565			2,475,524
Allowance for credit losses		(17,956	)		(18,330	)		(24,630	)
Loans, net		2,407,411			2,407,235			2,450,894
Premises and equipment, net		24,554			24,129			24,869
Accrued interest receivable		10,623			10,364			11,919
Accounts receivable		4,505			4,763			4,980
Other receivables		4,608			5,710			5,254
Other real estate owned, net		4,385			35,929			—
Goodwill and other intangible assets, net		31,576			31,627			31,797
Deferred tax assets, net		2,856			3,079			5,695
Company-owned life insurance		17,071			16,961			16,635
Other assets		36,829			35,905			35,051
Total assets	$	2,906,300		$	2,919,037		$	2,932,217

Liabilities
Deposits:
Noninterest-bearing	$	409,696		$	375,603		$	434,236
Interest-bearing		2,105,701			2,138,606			2,097,734
Total deposits		2,515,397			2,514,209			2,531,970
Borrowings:
Federal Home Loan Bank and Federal Reserve borrowings		51,612			57,038			69,484
Subordinated notes		44,621			52,565			52,397
Accrued interest payable		2,371			1,995			2,415
Other liabilities		35,744			40,908			30,423
Total liabilities		2,649,745			2,666,715			2,686,689

Shareholders' Equity
Total shareholders' equity		256,555			252,322			245,528
Total liabilities and shareholders' equity	$	2,906,300		$	2,919,037		$	2,932,217


First Western Financial, Inc. Consolidated Financial Summary (unaudited)

	March 31,			December 31,			March 31,
*(dollars in thousands)*		2025			2024			2024
Loan Portfolio
Cash, Securities, and Other⁽¹⁾	$	101,078		$	120,005		$	151,178
Consumer and Other		16,688			17,333			18,556
Construction and Development		291,133			315,686			333,284
1-4 Family Residential		971,179			960,354			910,129
Non-Owner Occupied CRE		636,820			614,384			562,862
Owner Occupied CRE		182,417			173,223			194,338
Commercial and Industrial		223,197			220,501			297,573
Total		2,422,512			2,421,486			2,467,920
Loans accounted for under the fair value option		6,280			7,508			12,276
Total loans held for investment		2,428,792			2,428,994			2,480,196
Deferred (fees) costs and unamortized premiums/(unaccreted discounts), net⁽²⁾		(3,425	)		(3,429	)		(4,672	)
Loans (includes $6,112, $7,283, and $11,922 measured at fair value, respectively)	$	2,425,367		$	2,425,565		$	2,475,524
Mortgage loans held for sale		10,557			25,455			10,470
Loans held for sale		—			251			—

Deposit Portfolio
Money market deposit accounts	$	1,566,737		$	1,513,605		$	1,503,598
Time deposits		379,533			471,415			442,834
Interest checking accounts		144,980			139,374			132,415
Savings accounts		14,451			14,212			18,887
Total interest-bearing deposits		2,105,701			2,138,606			2,097,734
Noninterest-bearing accounts		409,696			375,603			434,236
Total deposits	$	2,515,397		$	2,514,209		$	2,531,970

____________________

⁽¹⁾	Includes PPP loans of $1.6 million as of March 31, 2025, $2.1 million as of December 31, 2024, and $3.8 million as of March 31, 2024.
⁽²⁾	Includes fair value adjustments on loans held for investment accounted for under the fair value option.


First Western Financial, Inc. Consolidated Financial Summary (unaudited) (continued)

	As of or for the Three Months Ended
	March 31,			December 31,			March 31,
*(dollars in thousands)*		2025			2024			2024
Average Balance Sheets
Assets
Interest-earning assets:
Interest-bearing deposits in other financial institutions	$	198,294		$	236,152		$	177,523
Debt securities		75,592			77,464			74,666
Correspondent bank stock		5,806			5,738			4,451
Gross loans		2,407,482			2,386,070			2,490,300
Mortgage loans held for sale		13,593			26,623			6,752
Loans held at fair value		6,846			8,136			13,134
Total interest-earning assets		2,707,613			2,740,183			2,766,826
Noninterest-earning assets		145,479			161,783			100,170
Total assets	$	2,853,092		$	2,901,966		$	2,866,996

Liabilities and Shareholders' Equity
Interest-bearing liabilities:
Interest-bearing deposits	$	2,090,505		$	2,095,204		$	2,008,246
FHLB and Federal Reserve borrowings		51,885			54,428			92,195
Subordinated notes		52,495			52,528			52,360
Total interest-bearing liabilities		2,194,885			2,202,160			2,152,801
Noninterest-bearing liabilities:
Noninterest-bearing deposits		363,922			403,433			446,457
Other liabilities		41,656			45,889			22,250
Total noninterest-bearing liabilities		405,578			449,322			468,707
Total shareholders' equity		252,629			250,484			245,488
Total liabilities and shareholders' equity	$	2,853,092		$	2,901,966		$	2,866,996

Yields/Cost of funds (annualized)
Interest-bearing deposits in other financial institutions		4.54	%		4.85	%		5.33	%
Debt securities		3.65			3.57			3.25
Correspondent bank stock		8.94			8.94			8.58
Loans		5.71			5.65			5.66
Loan held at fair value		6.58			5.77			6.40
Mortgage loans held for sale		5.46			6.02			6.79
Total interest-earning assets		5.57			5.53			5.58
Interest-bearing deposits		3.59			3.78			4.13
Total deposits		3.06			3.17			3.38
FHLB and Federal Reserve borrowings		3.92			3.96			4.23
Subordinated notes		5.70			5.59			5.66
Total interest-bearing liabilities		3.65			3.83			4.17
Net interest margin		2.61			2.45			2.34
Net interest rate spread		1.92			1.70			1.41


First Western Financial, Inc. Consolidated Financial Summary (unaudited) (continued)

	As of or for the Three Months Ended
	March 31,			December 31,			March 31,
*(dollars in thousands, except share and per share amounts)*		2025			2024			2024
Asset Quality
Non-performing loans	$	12,758		$	13,052		$	46,044
Non-performing assets		17,143			48,981			46,044
Net charge-offs (recoveries)		566			(270	)		—
Non-performing loans to total loans		0.53	%		0.54	%		1.86	%
Non-performing assets to total assets		0.59			1.68			1.57
Allowance for credit losses to non-performing loans		140.74			140.44			53.49
Allowance for credit losses to total loans		0.74			0.76			1.00
Allowance for credit losses to adjusted loans⁽¹⁾		0.74			0.76			1.00
Net charge-offs (recoveries) to average loans		0.02			(0.01	)		—

Assets Under Management	$	7,176,624		$	7,321,147		$	7,141,453

Market Data
Book value per share at period end	$	26.44		$	26.10		$	25.52
Tangible book value per common share⁽¹⁾		23.18			22.83			22.21
Weighted average outstanding shares, basic		9,704,419			9,665,621			9,621,309
Weighted average outstanding shares, diluted		9,798,591			9,794,797			9,710,764
Shares outstanding at period end		9,704,320			9,667,142			9,621,309

Consolidated Capital
Tier 1 capital to risk-weighted assets		10.35	%		10.07	%		9.77	%
CET1 to risk-weighted assets		10.35			10.07			9.77
Total capital to risk-weighted assets		13.15			13.12			13.15
Tier 1 capital to average assets		8.12			7.88			7.73

Bank Capital
Tier 1 capital to risk-weighted assets		11.76	%		11.41	%		11.00	%
CET1 to risk-weighted assets		11.76			11.41			11.00
Total capital to risk-weighted assets		12.52			12.10			12.02
Tier 1 capital to average assets		9.24			8.94			8.70

________________________

⁽¹⁾	Represents a Non-GAAP financial measure. See "Reconciliation of Non-GAAP Financial Measures" for a reconciliation of our Non-GAAP measures to the most directly comparable GAAP financial measure.


First Western Financial, Inc. Consolidated Financial Summary (unaudited) (continued)

Reconciliations of Non-GAAP Financial Measures

	As of or for the Three Months Ended
	March 31,			December 31,			March 31,
*(dollars in thousands, except share and per share amounts)*		2025			2024			2024
Tangible Common
Total shareholders' equity	$	256,555		$	252,322		$	245,528
Less: goodwill and other intangibles, net		31,576			31,627			31,797
Tangible common equity	$	224,979		$	220,695		$	213,731

Common shares outstanding, end of period		9,704,320			9,667,142			9,621,309
Tangible common book value per share	$	23.18		$	22.83		$	22.21
Net income available to common shareholders		4,185			2,748			2,515
Return on tangible common equity (annualized)		7.44	%		4.98	%		4.71	%

Efficiency
Non-interest expense	$	19,361		$	20,427		$	19,696
Less: OREO expenses and write-downs		(80	)		1,222			—
Adjusted non-interest expense	$	19,441		$	19,205		$	19,696

Total income before non-interest expense	$	24,718		$	24,341		$	23,275
Less: unrealized gain (loss) recognized on equity securities		11			(49	)		(6	)
Less: net gain (loss) on loans accounted for under the fair value option		6			(149	)		(302	)
Less: net gain (loss) on loans held for sale		222			(222	)		117
Plus: provision (release) for credit losses		80			(974	)		72
Gross revenue	$	24,559		$	23,787		$	23,538
Efficiency ratio		79.16	%		80.74	%		83.68	%

First Western Reports First Quarter 2025 Financial Results