First Northwest Bancorp (FNWB) Q3 2025 earnings summary

Executive summary

• Net income of $802,000 for Q3 2025, reversing a net loss of $2.0 million in Q3 2024 and down from $3.7 million in Q2 2025; year-to-date net loss of $4.6 million compared to $3.8 million loss in the prior year period.

• Basic and diluted EPS were $0.09, compared to $0.42 in Q2 2025 and a loss of $0.23 in Q3 2024.

• Total assets decreased 5.4% to $2.11 billion at September 30, 2025, from $2.23 billion at year-end 2024.

• Shareholders' equity increased slightly to $154.5 million, with book value per share at $16.33.

• The Board did not declare a dividend for the quarter, focusing on capital management.

Financial highlights

• Net interest income rose to $14.57 million for Q3 2025, up $549,000 year-over-year; net interest margin increased to 2.91%, marking five consecutive quarters of improvement.

• Total interest income was $26.9 million, down $221,000 sequentially and $1.3 million year-over-year.

• Total interest expense decreased to $12.3 million, down $597,000 from Q2 2025 and $1.8 million from Q3 2024.

• Noninterest income increased 12.5% to $2.0 million in Q3 2025, but fell $168,000 sequentially.

• Noninterest expense rose 9.7% to $17.4 million in Q3 2025, mainly due to higher legal and executive transition costs.

Outlook and guidance

• Management continues to monitor economic conditions and expects ongoing competition for deposits and pressure on net interest margin.

• The company is focused on controlling expenses, improving earnings, and managing credit risk.

• Management remains focused on long-term value creation, customer-centric culture, and prudent capital management.

• The company will continue to evaluate future dividend decisions based on strategic objectives.