First Western Financial (MYFW) Q1 2026 earnings summary

Executive summary

• Net income available to common shareholders rose to $6.2 million in Q1 2026, up 85% quarter-over-quarter and 47.6% year-over-year, with EPS increasing to $0.63, marking the third consecutive quarter of increased net income and EPS.

• Profitability improved due to higher net interest income, disciplined expense management, and a release of provision for credit losses.

• Book value and tangible book value per share increased, reflecting prudent balance sheet management.

• Positive trends in loan and deposit growth, net interest income, and asset quality contributed to improved profitability.

Financial highlights

• Net income reached $6.2 million ($0.63 per diluted share), with gross revenue up 3.4% sequentially to $27.6 million and net interest income rising 1.5% sequentially and 19.7% year-over-year to $20.9 million.

• Non-interest income was $6.7 million, up 9.8% sequentially but down year-over-year, driven by higher mortgage origination and trust fees.

• Non-interest expense decreased 5.2% sequentially to $20.2 million, with the efficiency ratio improving to 73.1%.

• Net interest margin expanded by 10 bps sequentially and 20 bps year-over-year to 2.81%.

Outlook and guidance

• Management expects continued strong financial performance, supported by robust loan and deposit pipelines and healthy economic conditions in core markets.

• Loan and deposit growth projected at high single digits to around 10% for the year, with no signs of asset quality deterioration expected.

• Targeting ROA above 1% and ROE in the low teens.