Bridgewater Bancshares, Inc. Announces Fourth Quarter 2025 Financial Results

Bridgewater Bancshares, Inc. Announces Fourth Quarter 2025 Financial Results Fourth Quarter 2025 Highlights Net income of $13.3 million, or $0.43 per diluted common share; adjusted net income of $13.5 million, or $0.44 per diluted common share.(1) Net interest income increased $1.6 million, or 4.7%, from the third quarter of 2025. Net interest margin (on a fully tax-equivalent basis) of 2.75%, an increase of 12 basis points from the third quarter of 2025. Noninterest income increased $1.1 million, or 52.7%, from the third quarter of 2025. Total deposits increased by $27.6 million, or 2.6% annualized, from the third quarter of 2025; core deposits(2) increased by $72.6 million, or 8.8% annualized, from the third quarter of 2025. Gross loans increased by $95.0 million, or 8.9% annualized, from the third quarter of 2025. Efficiency ratio(1) of 51.6%, down from 54.7% for the third quarter of 2025; adjusted efficiency ratio(1) of 50.7%, down from 53.2% for the third quarter of 2025. Completed the closure of one branch acquired from First Minnetonka City Bank (“FMCB”) in 2024. Full Year 2025 Highlights Net income of $46.1 million, or $1.49 per diluted common share; adjusted net income of $46.9 million, or $1.52 per diluted common share.(1) Pre-provision net revenue(1) increased $19.3 million, or 42.1%, from 2024. Tangible book value per share(1) of $15.55 at December 31, 2025, an increase of $2.06, or 15.3%, from December 31, 2024. Total deposits increased by $233.6 million, or 5.7%, in 2025; core deposits(2) increased by $244.6 million, or 7.9%, in 2025. Gross loans increased by $441.0 million, or 11.4%, in 2025. Net loan charge-offs as a percentage of average loans of 0.04%, up from 0.03% for the year ended December 31, 2024 Bridgewater Bancshares, Inc. (Nasdaq: BWB) (“the Company”), the parent company of Bridgewater Bank (“the Bank”), today announced net income of $13.3 million for the fourth quarter of 2025, compared to $11.6 million for the third quarter of 2025, and $8.2 million for the fourth quarter of 2024. Earnings per diluted common share were $0.43 for the fourth quarter of 2025, compared to $0.38 for the third quarter of 2025, and $0.26 for the fourth quarter of 2024. Adjusted net income, a non-GAAP financial measure, was $13.5 million for the fourth quarter of 2025, compared to $12.0 million for the third quarter of 2025, and $8.6 million for the fourth quarter of 2024. Adjusted earnings per diluted common share, a non-GAAP financial measure, were $0.44 for the fourth quarter of 2025, compared to $0.39 for the third quarter of 2025, and $0.27 for the fourth quarter of 2024. “Bridgewater’s fourth quarter was highlighted by strong revenue growth, well controlled expenses, and continued core deposit and loan growth momentum,” said Chairman and Chief Executive Officer, Jerry Baack. “Our overall efficiency improved as meaningful net interest margin expansion and strong swap fee income drove revenue higher while expense growth returned to more normalized levels following the systems conversion of our recent acquisition. Meanwhile, we continued to capitalize on the M&A disruption in the Twin Cities through opportunities to attract top talent and earn new client relationships. “As we look ahead to 2026, we are focused on driving profitable growth, gaining market share, and continuing to leverage technology investments to support future growth. We will also look to expand key verticals including affordable housing, which became a key growth driver for us in 2025. With the right team in place, an outlook for continued growth and net interest margin expansion, and a strong credit culture, we believe we are well positioned to continue improving profitability and growing tangible book value in 2026.” ___________________________________ (1) Represents a non-GAAP financial measure. See "Non-GAAP Financial Measures" for further details. (2) Core deposits are defined as total deposits less brokered deposits and certificates of deposit greater than $250,000. Key Financial Measures As of and for the Three Months Ended As of and for the Year Ended December 31, September 30, December 31, December 31, December 31, 2025 2025 2024 2025 2024 Per Common Share Data Basic Earnings Per Share $ 0.45 $ 0.38 $ 0.26 $ 1.53 $ 1.05 Diluted Earnings Per Share 0.43 0.38 0.26 1.49 1.03 Adjusted Diluted Earnings Per Share(1) 0.44 0.39 0.27 1.52 1.04 Book Value Per Share 16.23 15.62 14.21 16.23 14.21 Tangible Book Value Per Share(1) 15.55 14.93 13.49 15.55 13.49 Financial Ratios Return on Average Assets(2) 0.97 % 0.86 % 0.68 % 0.87 % 0.70 % Pre-Provision Net Revenue Return on Average Assets(1)(2) 1.35 1.19 1.05 1.24 0.98 Return on Average Shareholders' Equity(2) 10.38 9.47 7.16 9.53 7.45 Return on Average Tangible Common Equity (1)(2) 11.53 10.50 7.43 10.56 7.75 Net Interest Margin (3) 2.75 2.63 2.32 2.63 2.26 Core Net Interest Margin(1)(3) 2.62 2.52 2.24 2.50 2.19 Cost of Total Deposits 2.97 3.19 3.40 3.12 3.44 Cost of Funds 3.07 3.25 3.38 3.17 3.44 Efficiency Ratio (1) 51.6 54.7 56.8 53.5 57.9 Noninterest Expense to Average Assets(2) 1.48 1.47 1.40 1.47 1.35 Tangible Common Equity to Tangible Assets(1) 8.01 7.71 7.36 8.01 7.36 Common Equity Tier 1 Risk-based Capital Ratio (Consolidated)(4) 9.17 9.08 9.08 9.17 9.08 Adjusted Financial Ratios(1) Adjusted Return on Average Assets(2) 0.99 % 0.88 % 0.71 % 0.89 % 0.71 % Adjusted Pre-Provision Net Revenue Return on Average Assets(2) 1.38 1.23 1.09 1.27 0.99 Adjusted Return on Average Shareholders' Equity(2) 10.54 9.77 7.49 9.69 7.50 Adjusted Return on Average Tangible Common Equity(2) 11.72 10.86 7.82 10.77 7.82 Adjusted Efficiency Ratio 50.7 53.2 55.2 52.2 57.3 Adjusted Noninterest Expense to Average Assets(2) 1.45 1.43 1.36 1.43 1.34 Balance Sheet and Asset Quality (dollars in thousands) Total Assets $ 5,407,002 $ 5,359,994 $ 5,066,242 $ 5,407,002 $ 5,066,242 Total Loans, Gross 4,309,517 4,214,554 3,868,514 4,309,517 3,868,514 Deposits 4,320,369 4,292,764 4,086,767 4,320,369 4,086,767 Loan to Deposit Ratio 99.7 % 98.2 % 94.7 % 99.7 % 94.7 % Net Loan Charge-Offs to Average Loans(2) 0.11 0.03 0.03 0.04 0.03 Nonperforming Assets to Total Assets (5) 0.41 0.19 0.01 0.41 0.01 Allowance for Credit Losses to Total Loans 1.31 1.34 1.35 1.31 1.35 (1) Represents a non-GAAP financial measure. See "Non-GAAP Financial Measures" for further details. (2) Annualized. (3) Amounts calculated on a tax-equivalent basis using the statutory federal tax rate of 21%. (4) Preliminary data. Current period subject to change prior to filings with applicable regulatory agencies. (5) Nonperforming assets are defined as nonaccrual loans plus 90 days past due and still accruing plus foreclosed assets. Income Statement Net Interest Margin and Net Interest Income Net interest margin (on a fully tax-equivalent basis) for the fourth quarter of 2025 was 2.75%, a 12 basis point increase from 2.63% in the third quarter of 2025, and a 43 basis point increase from 2.32% in the fourth quarter of 2024. Core net interest margin (on a fully tax-equivalent basis), a non-GAAP financial measure which excludes the impact of loan fees and purchase accounting accretion attributable to the acquisition of FMCB, was 2.62% for the fourth quarter of 2025, a 10 basis point increase from 2.52% in the third quarter of 2025, and a 38 basis point increase from 2.24% in the fourth quarter of 2024. Net interest margin expanded to 2.75% in the fourth quarter of 2025 primarily due to growth in the loan portfolio at accretive yields and lower rates paid on deposits.The year-over-year expansion in margin was primarily due to growth in the securities and loan portfolios at higher yields and lower rates paid on deposit balances, offset by higher average balances and rates paid on FHLB advances, as well as the refinancing of subordinated debt at the end of the second quarter of 2025. Net interest income was $35.7 million for the fourth quarter of 2025, an increase of $1.6 million from $34.1 million in the third quarter of 2025, and an increase of $8.7 million from $27.0 million in the fourth quarter of 2024. The linked-quarter increase in net interest income was primarily due to growth in the loan portfolio and lower rates paid on deposit balances, offset partially by lower cash balances.The year-over-year increase in net interest income was primarily due to growth in the loan portfolio, lower rates paid on deposits, and purchase accounting accretion, offset partially by growth in deposit balances as well as higher balances and rates paid on FHLB advances. Interest income was $73.3 million for the fourth quarter of 2025, a decrease of $324,000 from $73.6 million in the third quarter of 2025, and an increase of $10.0 million from $63.3 million in the fourth quarter of 2024. The yield on interest earning assets (on a fully tax-equivalent basis) was 5.58% in the fourth quarter of 2025, compared to 5.63% in the third quarter of 2025, and 5.40% in the fourth quarter of 2024.The linked-quarter decrease in the yield on interest earning assets was primarily due to 0.75% of Fed interest rate cuts which occurred in the last four months of the year.The year-over-year increase in the yield on interest earning assets was primarily due to growth and repricing of the loan and securities portfolios at accretive yields and purchase accounting accretion.The aggregate loan yield was 5.78% in the fourth quarter of 2025, one basis point lower than 5.79% in the third quarter of 2025, and 23 basis points higher than 5.55% in the fourth quarter of 2024.Core loan yield, a non-GAAP financial measure, was 5.63% in the fourth quarter of 2025, three basis points lower than 5.66% in the third quarter of 2025, and 16 basis points higher than 5.47% in the fourth quarter of 2024. A summary of interest and fees recognized on loans for the periods indicated is as follows: Three Months Ended December 31, 2025 September 30, 2025 June 30, 2025 March 31, 2025 December 31, 2024 Interest 5.63 % 5.66 % 5.59 % 5.50 % 5.47 % Fees 0.10 0.09 0.11 0.07 0.08 Accretion 0.05 0.04 0.04 0.04 — Yield on Loans 5.78 % 5.79 % 5.74 % 5.61 % 5.55 % Interest expense was $37.6 million for the fourth quarter of 2025, a decrease of $1.9 million from $39.5 million in the third quarter of 2025, and an increase of $1.3 million from $36.4 million in the fourth quarter of 2024. The cost of interest bearing liabilities was 3.73% in the fourth quarter of 2025, compared to 3.89% in the third quarter of 2025, and 4.06% in the fourth quarter of 2024.The linked-quarter decrease in the cost of interest bearing liabilities was primarily due to lower rates paid on interest bearing deposits as the result of recent fed rate cuts, offset partially by higher balances and rates paid on FHLB advances.The year-over-year decrease in the cost of interest bearing liabilities was primarily due to lower interest bearing deposit costs, offset partially by growth in deposits and higher balances and rates paid on FHLB advances and subordinated debentures. Interest expense on deposits was $32.2 million for the fourth quarter of 2025, a decrease of $2.4 million from $34.6 million in the third quarter of 2025, and a decrease of $607,000 from $32.8 million in the fourth quarter of 2024. The cost of total deposits was 2.97% in the fourth quarter of 2025, 22 basis points lower than 3.19% in the third quarter of 2025, and 43 basis points lower than 3.40% in the fourth quarter of 2024.The linked-quarter decrease in the cost of total deposits was primarily due to lower rates paid on interest bearing deposits following interest rate cuts, lower average balance of brokered deposits, and an increase in noninterest bearing deposits.The year-over-year decrease in the cost of total deposits was primarily due to lower rates paid on deposits following interest rate cuts in 2024 and 2025, lower average brokered deposit balances, and an increase in noninterest bearing deposits. Provision for Credit Losses The provision for credit losses on loans and leases was $1.3 million for the fourth quarter of 2025, compared to $900,000 for the third quarter of 2025 and $1.5 million for the fourth quarter of 2024. The provision recorded in the fourth quarter of 2025 was primarily attributable to growth in the loan portfolio and an increase in historical loss rates.The allowance for credit losses on loans to total loans was 1.31% at December 31, 2025, compared to 1.34% at September 30, 2025, and 1.35% at December 31, 2024. The provision for credit losses for off-balance sheet credit exposures was $200,000 for the fourth quarter of 2025, stable with the third quarter of 2025, and compared to $725,000 for the fourth quarter of 2024. A provision was recorded during the fourth quarter of 2025 due to an increase in the volume of newly originated loans with unfunded commitments. Noninterest Income Noninterest income was $3.1 million for the fourth quarter of 2025, an increase of $1.1 million from $2.1 million for the third quarter of 2025, and an increase of $615,000 from $2.5 million for the fourth quarter of 2024. The linked-quarter increase was primarily due to higher swap fees and letter of credit fees.The year-over-year increase was primarily due to higher investment advisory fees, other income, and swap fees, offset partially by lower letter of credit fees. Noninterest Expense Noninterest expense was $20.2 million for the fourth quarter of 2025, an increase of $282,000 from $20.0 million for the third quarter of 2025 and an increase of $3.4 million from $16.8 million for the fourth quarter of 2024. Noninterest expense for the fourth quarter of 2025 included $346,000 of merger-related expenses associated with the acquisition of FMCB, compared to $530,000 for the third quarter of 2025, and $488,000 for the fourth quarter of 2024.The linked-quarter increase was primarily due to increases in salaries and employee benefits and professional and consulting fees.The year-over-year increase was primarily attributable to increases in salaries and employee benefits, professional and consulting fees, marketing and advertising, operating costs related to the FMCB acquisition, and merger-related expenses.The efficiency ratio, a non-GAAP financial measure, was 51.6% for the fourth quarter of 2025, compared to 54.7% for the third quarter of 2025, and 56.8% for the fourth quarter of 2024.The Company had 322 full-time equivalent employees at December 31, 2025, compared to 325 at September 30, 2025, and 290 at December 31, 2024. The year-over-year increase was largely driven by the hiring of key talent across the organization. Income Taxes The effective combined federal and state income tax rate was 22.2% for the fourth quarter of 2025, compared to 23.2% for the third quarter of 2025, and 22.0% for the fourth quarter of 2024. Balance Sheet Loans (dollars in thousands) December 31, 2025 September 30, 2025 June 30, 2025 March 31, 2025 December 31, 2024 Commercial $ 547,245 $ 533,476 $ 549,259 $ 528,801 $ 497,662 Leases 43,407 43,186 44,817 43,958 44,291 Construction and Land Development 216,163 159,991 136,438 128,073 97,255 1-4 Family Construction 45,152 41,739 39,095 39,438 41,961 Real Estate Mortgage: 1 - 4 Family Mortgage 496,142 487,297 474,269 479,461 474,383 Multifamily 1,587,338 1,578,223 1,555,731 1,534,747 1,425,610 CRE Owner Occupied 189,754 192,966 192,837 196,080 191,248 CRE Nonowner Occupied 1,165,104 1,158,622 1,137,007 1,055,157 1,083,108 Total Real Estate Mortgage Loans 3,438,338 3,417,108 3,359,844 3,265,445 3,174,349 Consumer and Other 19,212 19,054 16,346 14,361 12,996 Total Loans, Gross 4,309,517 4,214,554 4,145,799 4,020,076 3,868,514 Allowance for Credit Losses on Loans (56,443) (56,390) (55,765) (53,766) (52,277) Net Deferred Loan Fees (8,966) (8,282) (7,629) (7,218) (6,801) Total Loans, Net $ 4,244,108 $ 4,149,882 $ 4,082,405 $ 3,959,092 $ 3,809,436 Total gross loans at December 31, 2025 were $4.31 billion, an increase of $95.0 million, or 8.9% annualized, over total gross loans of $4.21 billion at September 30, 2025, and an increase of $441.0 million, or 11.4%, over total gross loans of $3.87 billion at December 31, 2024. The increase in the loan portfolio during the fourth quarter of 2025 was due to strong loan originations and advances outpacing the increase in payoffs and paydowns. Deposits (dollars in thousands) December 31, 2025 September 30, 2025 June 30, 2025 March 31, 2025 December 31, 2024 Noninterest Bearing Transaction Deposits $ 923,070 $ 822,632 $ 787,868 $ 791,528 $ 800,763 Interest Bearing Transaction Deposits 893,740 860,774 791,748 840,378 862,242 Savings and Money Market Deposits 1,380,922 1,428,726 1,441,694 1,372,191 1,259,503 Time Deposits 312,154 346,214 344,882 326,821 338,506 Brokered Deposits 810,483 834,418 870,550 831,539 825,753 Total Deposits $ 4,320,369 $ 4,292,764 $ 4,236,742 $ 4,162,457 $ 4,086,767 Total deposits at December 31, 2025 were $4.32 billion, an increase of $27.6 million, or 2.6% annualized, over total deposits of $4.29 billion at September 30, 2025, and an increase of $233.6 million, or 5.7%, over total deposits of $4.09 billion at December 31, 2024. Core deposits, defined as total deposits excluding brokered deposits and certificates of deposits greater than $250,000, increased $72.6 million, or 8.8% annualized, from September 30, 2025, and increased $244.6 million, or 7.9%, from December 31, 2024.Noninterest bearing deposits increased $100.4 million, or 48.4% annualized, from September 30, 2025, and increased $122.3 million, or 15.3%, from December 31, 2024. Based on the nature of the Company’s client base, noninterest bearing deposit balances can fluctuate from quarter to quarter, as deposit growth is not always linear.Brokered deposits decreased $23.9 million, or 11.4% annualized, from September 30, 2025, and decreased $15.3 million, or 1.8%, from December 31, 2024. While balances are down, brokered deposits continue to be used as a supplemental funding source, as needed. Asset Quality Overall asset quality remained strong due to the Company’s measured risk selection, consistent underwriting standards, active credit oversight, and experienced lending and credit teams. Annualized net charge-offs as a percentage of average loans were 0.11% for the fourth quarter of 2025, compared to 0.03% for both the third quarter of 2025 and the fourth quarter of 2024.Net charge-offs as a percentage of average loans for the year ended December 31, 2025 were 0.04%, compared to 0.03% for the year ended December 31, 2024.At December 31, 2025, the Company’s nonperforming assets, which include nonaccrual loans, loans past due 90 days and still accruing, and foreclosed assets, were $22.0 million, or 0.41% of total assets, compared to $10.0 million, or 0.19% of total assets, at September 30, 2025, and $301,000, or 0.01% of total assets, at December 31, 2024.Loans with potential weaknesses that warranted a watch/special mention risk rating at December 31, 2025 totaled $47.8 million, compared to $40.6 million at September 30, 2025, and $46.6 million at December 31, 2024.Loans that warranted a substandard risk rating at December 31, 2025 totaled $53.0 million, compared to $58.1 million at September 30, 2025, and $21.8 million at December 31, 2024. Capital Total shareholders’ equity at December 31, 2025 was $517.1 million, an increase of $19.6 million, or 15.7% annualized, compared to $497.5 million at September 30, 2025, and an increase of $59.2 million, or 12.9%, over $457.9 million at December 31, 2024. The linked-quarter increase was primarily due to net income retained, a decrease in unrealized losses in the securities portfolio, and an increase in unrealized gains in the derivatives portfolio, offset partially by preferred stock dividends.The year-over-year increase was primarily due to net income retained and a decrease in unrealized losses in the securities portfolio, offset partially by a decrease in unrealized gains in the derivatives portfolio, preferred stock dividends, and stock repurchases.The Consolidated Common Equity Tier 1 Risk-Based Capital Ratio was 9.17% at December 31, 2025, compared to 9.08% at both September 30, 2025 and December 31, 2024.Tangible common equity as a percentage of tangible assets, a non-GAAP financial measure, was 8.01% at December 31, 2025, compared to 7.71% at September 30, 2025, and 7.36% at December 31, 2024. Tangible book value per share, a non-GAAP financial measure, was $15.55 as of December 31, 2025, an increase of 16.5% annualized from $14.93 as of September 30, 2025, and an increase of 15.3% from $13.49 as of December 31, 2024. The Company did not repurchase any shares of its common stock during the fourth quarter of 2025. The Company had $13.1 million remaining under its current share repurchase authorization at December 31, 2025. Today, the Company also announced that its Board of Directors has declared a quarterly cash dividend on its 5.875% Non-Cumulative Perpetual Preferred Stock, Series A (“Series A Preferred Stock”). The quarterly cash dividend of $36.72 per share, equivalent to $0.3672 per depositary share, each representing a 1/100th interest in a share of the Series A Preferred Stock (Nasdaq: BWBBP), is payable on March 2, 2026 to shareholders of record of the Series A Preferred Stock at the close of business on February 13, 2026. Conference Call and Webcast The Company will host a conference call to discuss its fourth quarter 2025 financial results on Wednesday, January 28, 2026 at 8:00 a.m. Central Time. The conference call can be accessed by dialing 844-481-2913 and requesting to join the Bridgewater Bancshares earnings call. To listen to a replay of the conference call via phone, please dial 855-669-9658 and enter access code 9545199. The replay will be available through February 4, 2026. The conference call will also be available via a live webcast on the Investor Relations section of the Company’s website, investors.bridgewaterbankmn.com, and archived for replay. About the Company Bridgewater Bancshares, Inc. (Nasdaq: BWB) is a St. Louis Park, Minnesota-based financial holding company founded in 2005. Its banking subsidiary, Bridgewater Bank, is a premier, full-service bank dedicated to providing responsive support and simple solutions to businesses, entrepreneurs, and successful individuals across the Twin Cities. Bridgewater offers a comprehensive suite of products and services spanning deposits, lending, and treasury management solutions. Bridgewater has also received numerous awards for its banking services and esteemed corporate culture. With total assets of $5.4 billion as of December 31, 2025 and eight strategically located branches, Bridgewater is one of the largest locally-led banks in Minnesota and is committed to being the finest entrepreneurial bank. For more information, please visit www.bridgewaterbankmn.com. Use of Non-GAAP Financial Measures In addition to the results presented in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”), the Company routinely supplements its evaluation with an analysis of certain non-GAAP financial measures. The Company believes these non-GAAP financial measures, in addition to the related GAAP measures, provide meaningful information to investors to help them understand the Company’s operating performance and trends, and to facilitate comparisons with the performance of peers. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Reconciliations of non-GAAP disclosures used in this earnings release to the comparable GAAP measures are provided in the accompanying tables. Forward-Looking Statements This earnings release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, statements concerning plans, estimates, calculations, forecasts and projections with respect to the anticipated future performance of the Company. These statements are often, but not always, identified by words such as “may”, “might”, “should”, “could”, “predict”, “potential”, “believe”, “expect”, “continue”, “will”, “anticipate”, “seek”, “estimate”, “intend”, “plan”, “projection”, “would”, “annualized”, “target” and “outlook”, or the negative version of those words or other comparable words of a future or forward-looking nature. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: interest rate risk, including the effects of changes in interest rates; effects on the U.S. economy resulting from actions taken by the federal government, including the threat or implementation of tariffs, immigration enforcement and changes in foreign policy; fluctuations in the values of the securities held in our securities portfolio, including as the result of changes in interest rates; business and economic conditions generally and in the financial services industry, nationally and within our market area, including the level and impact of inflation, and future monetary policies of the Federal Reserve and executive orders in response thereto, and possible recession; credit risk and risks from concentrations (including by type of borrower, geographic area, collateral and industry) within the Company’s loan portfolio or large loans to certain borrowers (including CRE loans); the overall health of the local and national real estate market; our ability to successfully manage credit risk; our ability to maintain an adequate level of allowance for credit losses on loans; new or revised accounting standards as may be adopted by state and federal regulatory agencies, the Financial Accounting Standards Board, Securities and Exchange Commission or Public Company Accounting Oversight Board; the concentration of large deposits from certain clients, including those who have balances above current Federal Deposit Insurance Corporation insurance limits; our ability to successfully manage liquidity risk, which may increase our dependence on non-core funding sources such as brokered deposits, and negatively impact our cost of funds; our ability to raise additional capital to implement our business plan; our ability to implement our growth strategy and manage costs effectively; the composition of our senior leadership team and our ability to attract and retain key personnel; talent and labor shortages and employee turnover; the occurrence of fraudulent activity, breaches or failures of our or our third-party vendors’ information security controls or cybersecurity-related incidents, including as a result of sophisticated attacks using artificial intelligence and similar tools or as a result of insider fraud; interruptions involving our information technology and telecommunications systems or third-party servicers; competition in the financial services industry, including from nonbank competitors such as credit unions, “fintech” companies and digital asset service providers; the effectiveness of our risk management framework; rapid technological changes implemented by us and other parties in the financial services industry, including third-party vendors, which may be more difficult to implement or more expensive than anticipated or which may have unforeseen consequence to us and our customers, including the development and implementation of tools incorporating artificial intelligence; the commencement, cost and outcome of litigation and other legal proceedings and regulatory actions against us; the impact of recent and future legislative and regulatory changes, domestic or foreign; risks related to climate change and the negative impact it may have on our customers and their businesses; the imposition of tariffs or other governmental policies impacting the global supply chain and the value of products produced by our commercial borrowers; severe weather, natural disasters, wide spread disease or pandemics, acts of war, military conflicts, or terrorism, changes in foreign relations, or other adverse external events, including ongoing conflicts in the Middle East, the Russian invasion of Ukraine and recent military activities in Venezuela; potential impairment to the goodwill the Company recorded in connection with acquisitions; risks associated with our integration of FMCB, including the possibility that the merger may be more difficult or expensive to integrate than anticipated, and the effect of the merger on the Company’s customer and employee relationships and operating results; changes to U.S. or state tax laws, regulations and governmental policies concerning the Company’s general business, including changes in interpretation or prioritization of such rules and regulations; the impact of bank failures or adverse developments at other banks and related negative publicity about the banking industry in general on investor and depositor sentiment regarding the stability and liquidity of banks; and any other risks described in the “Risk Factors” sections of reports filed by the Company with the Securities and Exchange Commission. Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. The Company undertakes no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise. Bridgewater Bancshares, Inc. and Subsidiaries Financial Highlights (dollars in thousands, except share data) As of and for the Three Months Ended December 31, September 30, June 30, March 31, December 31, (dollars in thousands) 2025 2025 2025 2025 2024 (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) Income Statement Net Interest Income $ 35,687 $ 34,091 $ 32,452 $ 30,208 $ 26,967 Provision for Credit Losses 1,450 1,100 2,000 1,500 2,175 Noninterest Income 3,148 2,061 3,627 2,079 2,533 Noninterest Expense 20,238 19,956 18,941 18,136 16,812 Net Income 13,334 11,601 11,520 9,633 8,204 Net Income Available to Common Shareholders 12,320 10,588 10,506 8,620 7,190 Per Common Share Data Basic Earnings Per Share $ 0.45 $ 0.38 $ 0.38 $ 0.31 $ 0.26 Diluted Earnings Per Share 0.43 0.38 0.38 0.31 0.26 Adjusted Diluted Earnings Per Share(1) 0.44 0.39 0.37 0.32 0.27 Book Value Per Share 16.23 15.62 14.92 14.60 14.21 Tangible Book Value Per Share(1) 15.55 14.93 14.21 13.89 13.49 Basic Weighted Average Shares Outstanding 27,641,138 27,504,840 27,460,982 27,568,772 27,459,433 Diluted Weighted Average Shares Outstanding 28,354,756 28,190,406 27,998,008 28,036,506 28,055,532 Shares Outstanding at Period End 27,759,970 27,584,732 27,470,283 27,560,150 27,552,449 Financial Ratios Return on Average Assets(2) 0.97 % 0.86 % 0.90 % 0.77 % 0.68 % Pre-Provision Net Revenue Return on Average Assets(1)(2) 1.35 1.19 1.27 1.13 1.05 Return on Average Shareholders' Equity(2) 10.38 9.47 9.80 8.39 7.16 Return on Average Tangible Common Equity(1)(2) 11.53 10.50 10.93 9.22 7.43 Net Interest Margin (3) 2.75 2.63 2.62 2.51 2.32 Core Net Interest Margin(1)(3) 2.62 2.52 2.49 2.37 2.24 Cost of Total Deposits 2.97 3.19 3.16 3.18 3.40 Cost of Funds 3.07 3.25 3.19 3.17 3.38 Efficiency Ratio (1) 51.6 54.7 52.6 55.5 56.8 Noninterest Expense to Average Assets(2) 1.48 1.47 1.47 1.45 1.40 Adjusted Financial Ratios(1) Adjusted Return on Average Assets(2) 0.99 % 0.88 % 0.88 % 0.80 % 0.71 % Adjusted Pre-Provision Net Revenue Return on Average Assets(2) 1.38 1.23 1.31 1.18 1.09 Adjusted Return on Average Shareholders' Equity(2) 10.54 9.77 9.64 8.77 7.49 Adjusted Return on Average Tangible Common Equity(2) 11.72 10.86 10.74 9.68 7.82 Adjusted Efficiency Ratio 50.7 53.2 51.5 53.7 55.2 Adjusted Noninterest Expense to Average Assets(2) 1.45 1.43 1.43 1.41 1.36 Balance Sheet Total Assets $ 5,407,002 $ 5,359,994 $ 5,296,673 $ 5,136,808 $ 5,066,242 Total Loans, Gross 4,309,517 4,214,554 4,145,799 4,020,076 3,868,514 Deposits 4,320,369 4,292,764 4,236,742 4,162,457 4,086,767 Total Shareholders' Equity 517,095 497,463 476,282 468,975 457,935 Loan to Deposit Ratio 99.7 % 98.2 % 97.9 % 96.6 % 94.7 % Core Deposits to Total Deposits(4) 77.6 76.4 75.2 76.2 76.0 Asset Quality Net Loan Charge-Offs to Average Loans (2) 0.11 % 0.03 % 0.00 % 0.00 % 0.03 % Nonperforming Assets to Total Assets(5) 0.41 0.19 0.19 0.20 0.01 Allowance for Credit Losses to Total Loans 1.31 1.34 1.35 1.34 1.35 As of and for the Three Months Ended December 31, September 30, June 30, March 31, December 31, (dollars in thousands) 2025 2025 2025 2025 2024 (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) Capital Ratios (Consolidated)(6) Tier 1 Leverage Ratio 9.20 % 9.02 % 9.14 % 9.10 % 9.45 % Common Equity Tier 1 Risk-based Capital Ratio 9.17 9.08 9.03 9.03 9.08 Tier 1 Risk-based Capital Ratio 10.57 10.52 10.51 10.55 10.64 Total Risk-based Capital Ratio 14.12 14.12 14.17 13.62 13.76 Tangible Common Equity to Tangible Assets(1) 8.01 7.71 7.40 7.48 7.36 (1) Represents a non-GAAP financial measure. See "Non-GAAP Financial Measures" for further details. (2) Annualized. (3) Amounts calculated on a tax-equivalent basis using the statutory federal tax rate of 21%. (4) Core deposits are defined as total deposits less brokered deposits and certificates of deposit greater than $250,000. (5) Nonperforming assets are defined as nonaccrual loans plus 90 days past due and still accruing plus foreclosed assets. (6) Preliminary data. Current period subject to change prior to filings with applicable regulatory agencies. Bridgewater Bancshares, Inc. and Subsidiaries Consolidated Balance Sheets (dollars in thousands, except share data) December 31, September 30, June 30, March 31, December 31, 2025 2025 2025 2025 2024 (Unaudited) (Unaudited) (Unaudited) (Unaudited) Assets Cash and Cash Equivalents $ 123,511 $ 131,818 $ 217,495 $ 166,205 $ 229,760 Bank-Owned Certificates of Deposit — 3,658 3,897 4,139 4,377 Securities Available for Sale, at Fair Value 776,441 826,473 743,889 764,626 768,247 Loans, Net of Allowance for Credit Losses 4,244,108 4,149,882 4,082,405 3,959,092 3,809,436 Federal Home Loan Bank (FHLB) Stock, at Cost 21,122 21,373 21,472 18,984 19,297 Premises and Equipment, Net 51,576 50,955 49,979 49,442 49,533 Foreclosed Assets — — 185 — — Accrued Interest 18,929 19,244 17,711 17,700 17,711 Goodwill 11,982 11,982 11,982 11,982 11,982 Other Intangible Assets, Net 6,930 7,160 7,390 7,620 7,850 Bank-Owned Life Insurance 46,576 46,121 45,413 45,025 44,646 Other Assets 105,827 91,328 94,855 91,993 103,403 Total Assets $ 5,407,002 $ 5,359,994 $ 5,296,673 $ 5,136,808 $ 5,066,242 Liabilities and Equity Liabilities Deposits: Noninterest Bearing $ 923,070 $ 822,632 $ 787,868 $ 791,528 $ 800,763 Interest Bearing 3,397,299 3,470,132 3,448,874 3,370,929 3,286,004 Total Deposits 4,320,369 4,292,764 4,236,742 4,162,457 4,086,767 Notes Payable — — 13,750 13,750 13,750 FHLB Advances 399,500 404,500 404,500 349,500 359,500 Subordinated Debentures, Net of Issuance Costs 108,677 108,588 108,689 79,766 79,670 Accrued Interest Payable 3,227 5,208 4,110 4,525 4,008 Other Liabilities 58,134 51,471 52,600 57,835 64,612 Total Liabilities 4,889,907 4,862,531 4,820,391 4,667,833 4,608,307 Shareholders' Equity Preferred Stock- $0.01 par value; Authorized 10,000,000 Preferred Stock - Issued and Outstanding 27,600 Series A shares ($2,500 liquidation preference) at December 31, 2025 (unaudited), September 30, 2025 (unaudited), June 30, 2025 (unaudited), March 31, 2025 (unaudited), and December 31, 2024 66,514 66,514 66,514 66,514 66,514 Common Stock- $0.01 par value; Authorized 75,000,000 Common Stock - Issued and Outstanding 27,759,970 at December 31, 2025 (unaudited), 27,584,732 at September 30, 2025 (unaudited), 27,470,283 at June 30, 2025 (unaudited), 27,560,150 at March 31, 2025 (unaudited), and 27,552,449 at December 31, 2024 278 276 275 276 276 Additional Paid-In Capital 98,287 97,101 95,174 95,503 95,088 Retained Earnings 351,455 339,135 328,547 318,041 309,421 Accumulated Other Comprehensive Gain (Loss) 561 (5,563 ) (14,228 ) (11,359 ) (13,364 ) Total Shareholders' Equity 517,095 497,463 476,282 468,975 457,935 Total Liabilities and Equity $ 5,407,002 $ 5,359,994 $ 5,296,673 $ 5,136,808 $ 5,066,242 Bridgewater Bancshares, Inc. and Subsidiaries Consolidated Statements of Income (dollars in thousands, except per share data) Three Months Ended Year Ended December 31, September 30, June 30, March 31, December 31, December 31, December 31, 2025 2025 2025 2025 2024 2025 2024 (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) Interest Income Loans, Including Fees $ 61,444 $ 60,038 $ 57,888 $ 53,820 $ 51,870 $ 233,190 $ 204,731 Investment Securities 9,720 10,371 9,200 9,397 9,109 38,688 33,927 Other 2,145 3,224 2,110 2,491 2,345 9,970 7,240 Total Interest Income 73,309 73,633 69,198 65,708 63,324 281,848 245,898 Interest Expense Deposits 32,203 34,615 32,497 32,103 32,810 131,418 128,805 Federal Funds Purchased 5 — 16 — 42 21 1,201 Notes Payable — 106 260 258 275 624 1,162 FHLB Advances 3,524 2,933 2,852 2,156 2,229 11,465 8,554 Subordinated Debentures 1,890 1,888 1,121 983 1,001 5,882 3,983 Total Interest Expense 37,622 39,542 36,746 35,500 36,357 149,410 143,705 Net Interest Income 35,687 34,091 32,452 30,208 26,967 132,438 102,193 Provision for Credit Losses 1,450 1,100 2,000 1,500 2,175 6,050 3,525 Net Interest Income After Provision for Credit Losses 34,237 32,991 30,452 28,708 24,792 126,388 98,668 Noninterest Income Customer Service Fees 521 501 496 495 394 2,013 1,475 Net Gain on Sales of Securities 80 59 474 1 — 614 385 Net Gain on Sales of Foreclosed Assets — — — — 62 — 62 Letter of Credit Fees 668 383 323 455 849 1,829 1,976 Debit Card Interchange Fees 178 173 152 137 145 640 593 Swap Fees 651 — 938 42 521 1,631 547 Bank-Owned Life Insurance 455 440 387 379 362 1,661 1,327 Investment Advisory Fees 227 208 213 325 — 973 — FHLB Prepayment Income — — 301 — — 301 — Other Income 368 297 343 245 200 1,253 1,003 Total Noninterest Income 3,148 2,061 3,627 2,079 2,533 10,915 7,368 Noninterest Expense Salaries and Employee Benefits 12,434 12,229 11,363 11,371 10,605 47,397 39,564 Occupancy and Equipment 1,171 1,266 1,274 1,234 1,181 4,945 4,399 FDIC Insurance Assessment 770 775 750 450 609 2,745 2,959 Data Processing 638 637 625 619 445 2,519 1,697 Professional and Consulting Fees 1,404 1,261 1,110 994 989 4,769 3,879 Derivative Collateral Fees 237 309 372 451 426 1,369 1,821 Information Technology and Telecommunications 976 973 971 971 877 3,891 3,325 Marketing and Advertising 718 658 435 327 479 2,138 1,485 Intangible Asset Amortization 231 230 230 230 52 921 78 Other Expense 1,659 1,618 1,811 1,489 1,149 6,577 4,093 Total Noninterest Expense 20,238 19,956 18,941 18,136 16,812 77,271 63,300 Income Before Income Taxes 17,147 15,096 15,138 12,651 10,513 60,032 42,736 Provision for Income Taxes 3,813 3,495 3,618 3,018 2,309 13,944 9,911 Net Income 13,334 11,601 11,520 9,633 8,204 46,088 32,825 Preferred Stock Dividends (1,014) (1,013) (1,014) (1,013) (1,014) (4,054) (4,054) Net Income Available to Common Shareholders $ 12,320 $ 10,588 $ 10,506 $ 8,620 $ 7,190 $ 42,034 $ 28,771 Earnings Per Share Basic $ 0.45 $ 0.38 $ 0.38 $ 0.31 $ 0.26 $ 1.53 $ 1.05 Diluted 0.43 0.38 0.38 0.31 0.26 1.49 1.03 Bridgewater Bancshares, Inc. and Subsidiaries Analysis of Average Balances, Yields and Rates (dollars in thousands, except per share data) (Unaudited) For the Three Months Ended December 31, 2025 September 30, 2025 December 31, 2024 Average Interest Yield/ Average Interest Yield/ Average Interest Yield/ (dollars in thousands) Balance & Fees Rate Balance & Fees Rate Balance & Fees Rate Interest Earning Assets: Cash Investments $ 182,129 $ 1,649 3.59 % $ 256,174 $ 2,732 4.23 % $ 181,904 $ 1,968 4.30 % Investment Securities: Taxable Investment Securities 671,444 8,001 4.73 730,643 9,448 5.13 723,038 8,814 4.85 Tax-Exempt Investment Securities (1) 147,832 2,177 5.84 81,962 1,168 5.66 28,681 374 5.19 Total Investment Securities 819,276 10,178 4.93 812,605 10,616 5.18 751,719 9,188 4.86 Loans(1)(2) 4,239,936 61,746 5.78 4,132,987 60,317 5.79 3,730,532 52,078 5.55 Federal Home Loan Bank Stock 23,359 496 8.43 21,373 492 9.12 18,686 377 8.02 Total Interest Earning Assets 5,264,700 74,069 5.58 % 5,223,139 74,157 5.63 % 4,682,841 63,611 5.40 % Noninterest Earning Assets 173,855 149,304 105,195 Total Assets $ 5,438,555 $ 5,372,443 $ 4,788,036 Interest Bearing Liabilities: Deposits: Interest Bearing Transaction Deposits $ 891,419 $ 7,912 3.52 % $ 843,905 $ 8,037 3.78 % $ 836,155 $ 8,962 4.26 % Savings and Money Market Deposits 1,445,588 12,597 3.46 1,473,465 13,465 3.63 1,073,194 10,795 4.00 Time Deposits 333,904 3,282 3.90 342,926 3,703 4.28 336,917 3,650 4.31 Brokered Deposits 775,750 8,412 4.30 856,516 9,410 4.36 875,015 9,403 4.27 Total Interest Bearing Deposits 3,446,661 32,203 3.71 3,516,812 34,615 3.90 3,121,281 32,810 4.18 Federal Funds Purchased 496 5 4.22 — — — 3,290 42 5.09 Notes Payable — — — 5,679 106 7.40 13,750 275 7.95 FHLB Advances 449,065 3,524 3.11 404,500 2,933 2.88 347,652 2,229 2.55 Subordinated Debentures 108,629 1,890 6.90 108,639 1,888 6.89 79,616 1,001 5.00 Total Interest Bearing Liabilities 4,004,851 37,622 3.73 % 4,035,630 39,542 3.89 % 3,565,589 36,357 4.06 % Noninterest Bearing Liabilities: Noninterest Bearing Transaction Deposits 854,687 793,760 718,227 Other Noninterest Bearing Liabilities 69,362 57,184 48,271 Total Noninterest Bearing Liabilities 924,049 850,944 766,498 Shareholders' Equity 509,655 485,869 455,949 Total Liabilities and Shareholders' Equity $ 5,438,555 $ 5,372,443 $ 4,788,036 Net Interest Income / Interest Rate Spread 36,447 1.86 % 34,615 1.74 % 27,254 1.35 % Net Interest Margin(3) 2.75 % 2.63 % 2.32 % Taxable Equivalent Adjustment: Tax-Exempt Investment Securities and Loans (760) (524) (287) Net Interest Income $ 35,687 $ 34,091 $ 26,967 (1) Interest income and average rates for tax-exempt investment securities and loans are presented on a tax-equivalent basis, assuming a statutory federal income tax rate of 21%. (2) Average loan balances include nonaccrual loans. Interest income on loans includes amortization of deferred loan fees, net of deferred loan costs. (3) Net interest margin includes the tax equivalent adjustment and represents the annualized results of: (i) the difference between interest income on interest earning assets and the interest expense on interest bearing liabilities, divided by (ii) average interest earning assets for the period. Bridgewater Bancshares, Inc. and Subsidiaries Analysis of Average Balances, Yields and Rates (dollars in thousands, except per share data) (Unaudited) For the Year Ended December 31, 2025 December 31, 2024 Average Interest Yield/ Average Interest Yield/ (dollars in thousands) Balance & Fees Rate Balance & Fees Rate Interest Earning Assets: Cash Investments $ 203,433 $ 8,118 3.99 % $ 124,205 $ 5,690 4.58 % Investment Securities: Taxable Investment Securities 726,164 35,365 4.87 668,012 32,681 4.89 Tax-Exempt Investment Securities (1) 74,649 4,207 5.64 30,864 1,577 5.11 Total Investment Securities 800,813 39,572 4.94 698,876 34,258 4.90 Loans(1)(2) 4,088,601 234,164 5.73 3,738,260 205,646 5.50 Federal Home Loan Bank Stock 21,296 1,852 8.70 18,256 1,550 8.49 Total Interest Earning Assets 5,114,143 283,706 5.55 % 4,579,597 247,144 5.40 % Noninterest Earning Assets 154,410 103,547 Total Assets $ 5,268,553 $ 4,683,144 Interest Bearing Liabilities: Deposits: Interest Bearing Transaction Deposits $ 852,426 $ 31,907 3.74 % $ 776,768 $ 34,294 4.41 % Savings and Money Market Deposits 1,401,187 50,689 3.62 956,300 39,297 4.11 Time Deposits 334,003 13,562 4.06 342,582 14,585 4.26 Brokered Deposits 825,114 35,260 4.27 963,676 40,629 4.22 Total Interest Bearing Deposits 3,412,730 131,418 3.85 3,039,326 128,805 4.24 Federal Funds Purchased 466 21 4.53 21,493 1,201 5.59 Notes Payable 8,250 624 7.57 13,750 1,162 8.45 FHLB Advances 403,411 11,465 2.84 320,497 8,554 2.67 Subordinated Debentures 95,334 5,882 6.17 79,473 3,983 5.01 Total Interest Bearing Liabilities 3,920,191 149,410 3.81 % 3,474,539 143,705 4.14 % Noninterest Bearing Liabilities: Noninterest Bearing Transaction Deposits 799,099 705,247 Other Noninterest Bearing Liabilities 65,435 62,595 Total Noninterest Bearing Liabilities 864,534 767,842 Shareholders' Equity 483,828 440,763 Total Liabilities and Shareholders' Equity $ 5,268,553 $ 4,683,144 Net Interest Income / Interest Rate Spread 134,296 1.74 % 103,439 1.26 % Net Interest Margin(3) 2.63 % 2.26 % Taxable Equivalent Adjustment: Tax-Exempt Investment Securities and Loans (1,858) (1,246) Net Interest Income $ 132,438 $ 102,193 (1) Interest income and average rates for tax-exempt investment securities and loans are presented on a tax-equivalent basis, assuming a statutory federal income tax rate of 21%. (2) Average loan balances include nonaccrual loans. Interest income on loans includes amortization of deferred loan fees, net of deferred loan costs. (3) Net interest margin includes the tax equivalent adjustment and represents the annualized results of: (i) the difference between interest income on interest earning assets and the interest expense on interest bearing liabilities, divided by (ii) average interest earning assets for the period. Bridgewater Bancshares, Inc. and Subsidiaries Asset Quality Summary (unaudited) As of and for the Three Months Ended As of and for the Year Ended December 31, September 30, June 30, March 31, December 31, December 31, December 31, (dollars in thousands) 2025 2025 2025 2025 2024 2025 2024 Allowance for Credit Losses Balance at Beginning of Period $ 56,390 $ 55,765 $ 53,766 $ 52,277 $ 51,018 $ 52,277 $ 50,494 Day 1 PCD Allowance — — — — 114 — 114 Provision for Credit Losses(1) 1,250 900 2,000 1,500 1,450 5,650 2,900 Charge-offs (1,259) (276) (6) (12) (317) (1,553) (1,266) Recoveries 62 1 5 1 12 69 35 Net Charge-offs (1,197) (275) (1) (11) (305) (1,484) (1,231) Balance at End of Period $ 56,443 $ 56,390 $ 55,765 $ 53,766 $ 52,277 $ 56,443 $ 52,277 Allowance for Credit Losses to Total Loans 1.31 % 1.34 % 1.35 % 1.34 % 1.35 % 1.31 % 1.35 % (1) Includes a day 1 provision for credit losses for non-PCD loans acquired in the FMCB transaction of $950,000 for the three and twelve months ended December 31, 2024. As of and for the Three Months Ended As of and for the Year Ended December 31, September 30, June 30, March 31, December 31, December 31, December 31, (dollars in thousands) 2025 2025 2025 2025 2024 2025 2024 Provision for Credit Losses on Loans and Leases $ 1,250 $ 900 $ 2,000 $ 1,500 $ 1,450 $ 5,650 $ 2,900 Provision for Credit Losses for Off-Balance Sheet Credit Exposures 200 200 — — 725 400 625 Provision for Credit Losses $ 1,450 $ 1,100 $ 2,000 $ 1,500 $ 2,175 $ 6,050 $ 3,525 As of and for the Three Months Ended December 31, September 30, June 30, March 31, December 31, (dollars in thousands) 2025 2025 2025 2025 2024 Selected Asset Quality Data Loans 30-89 Days Past Due $ 968 $ 2,906 $ 12,492 $ 466 $ 1,291 Loans 30-89 Days Past Due to Total Loans 0.02 % 0.07 % 0.30 % 0.01 % 0.03 % Nonperforming Loans $ 22,034 $ 9,991 $ 10,134 $ 10,290 $ 301 Nonperforming Loans to Total Loans 0.51 % 0.24 % 0.24 % 0.26 % 0.01 % Nonaccrual Loans to Total Loans 0.51 0.24 0.24 0.26 0.01 Nonaccrual Loans and Loans Past Due 90 Days and Still Accruing to Total Loans 0.51 0.24 0.24 0.26 0.01 Foreclosed Assets $ — $ — $ 185 $ — $ — Nonperforming Assets(1) 22,034 9,991 10,319 10,290 301 Nonperforming Assets to Total Assets(1) 0.41 % 0.19 % 0.19 % 0.20 % 0.01 % Net Loan Charge-Offs (Annualized) to Average Loans 0.11 0.03 0.00 0.00 0.03 Watchlist/Special Mention Risk Rating Loans $ 47,823 $ 40,642 $ 53,282 $ 38,346 $ 46,581 Substandard Risk Rating Loans 52,956 58,074 44,986 31,587 21,791 (1) Nonperforming assets are defined as nonaccrual loans plus 90 days past due and still accruing plus foreclosed assets. Bridgewater Bancshares, Inc. and Subsidiaries Non-GAAP Financial Measures (unaudited) For the Three Months Ended For the Year Ended December 31, September 30, June 30, March 31, December 31, December 31, December 31, (dollars in thousands) 2025 2025 2025 2025 2024 2025 2024 Pre-Provision Net Revenue Noninterest Income $ 3,148 $ 2,061 $ 3,627 $ 2,079 $ 2,533 $ 10,915 $ 7,368 Less: Gain on Sales of Securities (80) (59) (474) (1) — (614) (385) Less: FHLB Advance Prepayment Income — — (301) — — (301) — Total Operating Noninterest Income 3,068 2,002 2,852 2,078 2,533 10,000 6,983 Plus: Net Interest Income 35,687 34,091 32,452 30,208 26,967 132,438 102,193 Net Operating Revenue $ 38,755 $ 36,093 $ 35,304 $ 32,286 $ 29,500 $ 142,438 $ 109,176 Noninterest Expense $ 20,238 $ 19,956 $ 18,941 $ 18,136 $ 16,812 $ 77,271 $ 63,300 Total Operating Noninterest Expense $ 20,238 $ 19,956 $ 18,941 $ 18,136 $ 16,812 $ 77,271 $ 63,300 Pre-Provision Net Revenue $ 18,517 $ 16,137 $ 16,363 $ 14,150 $ 12,688 $ 65,167 $ 45,876 Plus: Non-Operating Revenue Adjustments 80 59 775 1 — 915 385 Less: Provision for Credit Losses 1,450 1,100 2,000 1,500 2,175 6,050 3,525 Provision for Income Taxes 3,813 3,495 3,618 3,018 2,309 13,944 9,911 Net Income $ 13,334 $ 11,601 $ 11,520 $ 9,633 $ 8,204 $ 46,088 $ 32,825 Average Assets $ 5,438,555 $ 5,372,443 $ 5,162,182 $ 5,071,446 $ 4,788,036 $ 5,268,553 $ 4,683,144 Pre-Provision Net Revenue Return on Average Assets 1.35 % 1.19 % 1.27 % 1.13 % 1.05 % 1.24 % 0.98 % Adjusted Pre-Provision Net Revenue Net Operating Revenue $ 38,755 $ 36,093 $ 35,304 $ 32,286 $ 29,500 $ 142,438 $ 109,176 Noninterest Expense $ 20,238 $ 19,956 $ 18,941 $ 18,136 $ 16,812 $ 77,271 $ 63,300 Less: Merger-related Expenses (346) (530) (540) (565) (488) (1,981) (712) Adjusted Total Operating Noninterest Expense $ 19,892 $ 19,426 $ 18,401 $ 17,571 $ 16,324 $ 75,290 $ 62,588 Adjusted Pre-Provision Net Revenue $ 18,863 $ 16,667 $ 16,903 $ 14,715 $ 13,176 $ 67,148 $ 46,588 Adjusted Pre-Provision Net Revenue Return on Average Assets 1.38 % 1.23 % 1.31 % 1.18 % 1.09 % 1.27 % 0.99 % Core Net Interest Margin Net Interest Income (Tax-equivalent Basis) $ 36,447 $ 34,614 $ 32,770 $ 30,464 $ 27,254 $ 134,296 $ 103,440 Less: Loan Fees (1,041) (966) (1,019) (719) (747) (3,745) (3,090) Purchase Accounting Accretion: Loan Accretion (546) (380) (425) (342) — (1,693) — Bond Accretion (33) (89) (152) (578) (91) (852) (91) Bank-Owned Certificates of Deposit Accretion (16) (6) (4) (7) — (33) — Deposit Certificates of Deposit Accretion — (13) (37) (38) — (88) — Total Purchase Accounting Accretion (595) (488) (618) (965) (91) (2,666) (91) Core Net Interest Income (Tax-equivalent Basis) $ 34,811 $ 33,160 $ 31,133 $ 28,780 $ 26,416 $ 127,885 $ 100,259 Average Interest Earning Assets $ 5,264,700 $ 5,223,139 $ 5,019,058 $ 4,928,283 $ 4,682,841 $ 5,114,143 $ 4,579,597 Core Net Interest Margin 2.62 % 2.52 % 2.49 % 2.37 % 2.24 % 2.50 % 2.19 % Core Loan Yield Loan Interest Income (Tax-equivalent Basis) $ 61,746 $ 60,317 $ 58,122 $ 53,979 $ 52,078 $ 234,164 $ 205,646 Less: Loan Fees (1,041) (966) (1,019) (719) (747) (3,745) (3,090) Loan Accretion (546) (380) (425) (342) — (1,693) — Core Loan Interest Income $ 60,159 $ 58,971 $ 56,678 $ 52,918 $ 51,331 $ 228,726 $ 202,556 Average Loans $ 4,239,936 $ 4,132,987 $ 4,064,540 $ 3,899,258 $ 3,730,532 $ 4,088,601 $ 3,738,260 Core Loan Yield 5.63 % 5.66 % 5.59 % 5.50 % 5.47 % 5.59 % 5.42 % Bridgewater Bancshares, Inc. and Subsidiaries Non-GAAP Financial Measures (unaudited) For the Three Months Ended For the Year Ended December 31, September 30, June 30, March 31, December 31, December 31, December 31, (dollars in thousands) 2025 2025 2025 2025 2024 2025 2024 Efficiency Ratio Noninterest Expense $ 20,238 $ 19,956 $ 18,941 $ 18,136 $ 16,812 $ 77,271 $ 63,300 Less: Amortization of Intangible Assets (231) (230) (230) (230) (52) (921) (78) Adjusted Noninterest Expense $ 20,007 $ 19,726 $ 18,711 $ 17,906 $ 16,760 $ 76,350 $ 63,222 Net Interest Income $ 35,687 $ 34,091 $ 32,452 $ 30,208 $ 26,967 $ 132,438 $ 102,193 Noninterest Income 3,148 2,061 3,627 2,079 2,533 10,915 7,368 Less: Gain on Sales of Securities (80) (59) (474) (1) — (614) (385) Adjusted Operating Revenue $ 38,755 $ 36,093 $ 35,605 $ 32,286 $ 29,500 $ 142,739 $ 109,176 Efficiency Ratio 51.6 % 54.7 % 52.6 % 55.5 % 56.8 % 53.5 % 57.9 % Adjusted Efficiency Ratio Noninterest Expense $ 20,238 $ 19,956 $ 18,941 $ 18,136 $ 16,812 $ 77,271 $ 63,300 Less: Amortization of Intangible Assets (231) (230) (230) (230) (52) (921) (78) Less: Merger-related Expenses (346) (530) (540) (565) (488) (1,981) (712) Adjusted Noninterest Expense $ 19,661 $ 19,196 $ 18,171 $ 17,341 $ 16,272 $ 74,369 $ 62,510 Net Interest Income $ 35,687 $ 34,091 $ 32,452 $ 30,208 $ 26,967 $ 132,438 $ 102,193 Noninterest Income 3,148 2,061 3,627 2,079 2,533 10,915 7,368 Less: Gain on Sales of Securities (80) (59) (474) (1) — (614) (385) Less: FHLB Advance Prepayment Income — — (301) — — (301) — Adjusted Operating Revenue $ 38,755 $ 36,093 $ 35,304 $ 32,286 $ 29,500 $ 142,438 $ 109,176 Adjusted Efficiency Ratio 50.7 % 53.2 % 51.5 % 53.7 % 55.2 % 52.2 % 57.3 % Adjusted Noninterest Expense to Average Assets (Annualized) Noninterest Expense $ 20,238 $ 19,956 $ 18,941 $ 18,136 $ 16,812 $ 77,271 $ 63,300 Less: Merger-related Expenses (346) (530) (540) (565) (488) (1,981) (712) Adjusted Noninterest Expense $ 19,892 $ 19,426 $ 18,401 $ 17,571 $ 16,324 $ 75,290 $ 62,588 Average Assets $ 5,438,555 $ 5,372,443 $ 5,162,182 $ 5,071,446 $ 4,788,036 $ 5,268,553 $ 4,683,144 Adjusted Noninterest Expense to Average Assets (Annualized) 1.45 % 1.43 % 1.43 % 1.41 % 1.36 % 1.43 % 1.34 % Tangible Common Equity and Tangible Common Equity/Tangible Assets Total Shareholders' Equity $ 517,095 $ 497,463 $ 476,282 $ 468,975 $ 457,935 Less: Preferred Stock (66,514) (66,514) (66,514) (66,514) (66,514) Total Common Shareholders' Equity 450,581 430,949 409,768 402,461 391,421 Less: Intangible Assets (18,912) (19,142) (19,372) (19,602) (19,832) Tangible Common Equity $ 431,669 $ 411,807 $ 390,396 $ 382,859 $ 371,589 Total Assets $ 5,407,002 $ 5,359,994 $ 5,296,673 $ 5,136,808 $ 5,066,242 Less: Intangible Assets (18,912) (19,142) (19,372) (19,602) (19,832) Tangible Assets $ 5,388,090 $ 5,340,852 $ 5,277,301 $ 5,117,206 $ 5,046,410 Tangible Common Equity/Tangible Assets 8.01 % 7.71 % 7.40 % 7.48 % 7.36 % Tangible Book Value Per Share Book Value Per Common Share $ 16.23 $ 15.62 $ 14.92 $ 14.60 $ 14.21 Less: Effects of Intangible Assets (0.68) (0.69) (0.71) (0.71) (0.72) Tangible Book Value Per Common Share $ 15.55 $ 14.93 $ 14.21 $ 13.89 $ 13.49 Return on Average Tangible Common Equity Net Income Available to Common Shareholders $ 12,320 $ 10,588 $ 10,506 $ 8,620 $ 7,190 $ 42,034 $ 28,771 Average Shareholders' Equity $ 509,655 $ 485,869 $ 471,700 $ 465,408 $ 455,949 $ 483,828 $ 440,763 Less: Average Preferred Stock (66,514) (66,514) (66,514) (66,514) (66,514) (66,514) (66,514) Average Common Equity 443,141 419,355 405,186 398,894 389,435 417,314 374,249 Less: Effects of Average Intangible Assets (19,042) (19,274) (19,504) (19,738) (4,412) (19,387) (3,207) Average Tangible Common Equity $ 424,099 $ 400,081 $ 385,682 $ 379,156 $ 385,023 $ 397,927 $ 371,042 Return on Average Tangible Common Equity 11.53 % 10.50 % 10.93 % 9.22 % 7.43 % 10.56 % 7.75 % Bridgewater Bancshares, Inc. and Subsidiaries Non-GAAP Financial Measures (unaudited) For the Three Months Ended For the Year Ended December 31, September 30, June 30, March 31, December 31, December 31, December 31, (dollars in thousands) 2025 2025 2025 2025 2024 2025 2024 Adjusted Diluted Earnings Per Common Share Net Income Available to Common Shareholders $ 12,320 $ 10,588 $ 10,506 $ 8,620 $ 7,190 $ 42,034 $ 28,771 Add: Merger-related Expenses 346 530 540 565 488 1,981 712 Less: FHLB Advance Prepayment Income — — (301) — — (301) — Less: Gain on Sales of Securities (80) (59) (474) (1) — (614) (385) Total Adjustments 266 471 (235) 564 488 1,066 327 Less: Tax Impact of Adjustments (59) (110) 56 (135) (107) (247) (76) Adjusted Net Income Available to Common Shareholders $ 12,527 $ 10,949 $ 10,327 $ 9,049 $ 7,571 $ 42,853 $ 29,022 Diluted Weighted Average Shares Outstanding 28,354,756 28,190,406 27,998,008 28,036,506 28,055,532 28,169,857 27,943,343 Adjusted Diluted Earnings Per Common Share $ 0.44 $ 0.39 $ 0.37 $ 0.32 $ 0.27 $ 1.52 $ 1.04 Adjusted Return on Average Assets Net Income $ 13,334 $ 11,601 $ 11,520 $ 9,633 $ 8,204 $ 46,088 $ 32,825 Add: Total Adjustments 266 471 (235) 564 488 1,066 327 Less: Tax Impact of Adjustments (59) (110) 56 (135) (107) (247) (76) Adjusted Net Income $ 13,541 $ 11,962 $ 11,341 $ 10,062 $ 8,585 $ 46,907 $ 33,076 Average Assets $ 5,438,555 $ 5,372,443 $ 5,162,182 $ 5,071,446 $ 4,788,036 $ 5,268,553 $ 4,683,144 Adjusted Return on Average Assets 0.99 % 0.88 % 0.88 % 0.80 % 0.71 % 0.89 % 0.71 % Adjusted Return on Average Shareholders' Equity Adjusted Net Income $ 13,541 $ 11,962 $ 11,341 $ 10,062 $ 8,585 $ 46,907 $ 33,076 Average Shareholders' Equity $ 509,655 $ 485,869 $ 471,700 $ 465,408 $ 455,949 $ 483,828 $ 440,763 Adjusted Return on Average Shareholders' Equity 10.54 % 9.77 % 9.64 % 8.77 % 7.49 % 9.69 % 7.50 % Adjusted Return on Average Tangible Common Equity Adjusted Net Income Available to Common Shareholders $ 12,527 $ 10,949 $ 10,327 $ 9,049 $ 7,571 $ 42,853 $ 29,022 Average Tangible Common Equity $ 424,099 $ 400,081 $ 385,682 $ 379,156 $ 385,023 $ 397,927 $ 371,042 Adjusted Return on Average Tangible Common Equity 11.72 % 10.86 % 10.74 % 9.68 % 7.82 % 10.77 % 7.82 % Source: Bridgewater Bancshares, Inc.