Earnings release
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Exhibit 99.1 PORT ANGELES, Wash., July 29, 2026 (GLOBE NEWSWIRE) First Northwest Bancorp Reports Second Quarter 2026 Financial Results First Northwest Bancorp (Nasdaq: FNWB) ("First Northwest" or the "Company"), the holding company for First Fed Bank ("First Fed" or the "Bank"), today reported its financial results for the second quarter and first six months of 2026. The Company reported net income of $308,000 for the second quarter of 2026, compared to net income of $6,000 for the first quarter of 2026 and $3.7 million for the second quarter of 2025. Basic and diluted income per share were $0.03 for the second quarter of 2026, compared to basic and diluted income per share of $0.00 for the first quarter of 2026 and basic and diluted income per share of $0.42 for the second quarter of 2025. Management Outlook; President and Chief Executive Officer, Curt Queyrouze: "At the midpoint of 2026, we continue to execute a disciplined transformation to improve operating efficiency and reposition the balance sheet for long-term performance. We are pleased to report growth in customer deposits during the current quarter and are encouraged by the underlying momentum in our core banking franchise. Loan balances were down slightly for the quarter as we continue to rebalance our portfolio to lessen the dependence on commercial real estate lending. Consumer and commercial business lending were up, but offset by a decrease in commercial real estate balances. Our efforts to improve operating efficiency are on target at the midpoint of the year and we expect to begin realizing these benefits in late 2026 and over the course of 2027. We remain focused on disciplined balance sheet management, strengthening our funding and liquidity profile, and maintaining a strong capital position. Second quarter results reflect improved performance positioning the Company for accelerated growth in the second half of 2026 and beyond." Second Quarter Insights: • Core banking revenues remained steady. • Cost of total deposits was flat at 2.04% for both the first and second quarters of 2026. • A recapture of provision for credit losses on loans of $337,000 was recorded in the second quarter of 2026, compared to a recapture of $13,000 for the preceding quarter and a recapture of $296,000 for the second quarter of 2025. • First Fed total risk-based capital ratio remained relatively stable at 13.4% for the current quarter compared to 13.5% in the first quarter of 2026, and 13.1% for the second quarter of 2025. • Total assets decreased $8.6 million, or 0.4%, to $2.12 billion at June 30, 2026 from $2.13 billion at March 31, 2026, and decreased $70.5 million, or 3.2%, from $2.20 billion at June 30, 2025. • Net loans receivable, excluding loans held for sale, decreased $15.9 million, or 1.0%, to $1.60 billion at June 30, 2026 from $1.61 billion at March 31, 2026, and decreased $50.1 million, or 3.0%, from $1.65 billion at June 30, 2025. • Customer deposits increased $11.3 million, or 0.7%, to $1.55 billion at June 30, 2026 from $1.54 billion at March 31, 2026, and increased $1.1 million, or 0.1%, from $1.55 billion at June 30, 2025. • Brokered deposits decreased $5.5 million, or 8.6%, to $58.6 million at June 30, 2026 from $64.1 million at March 31, 2026, and decreased $48.3 million, or 45.2%, from $106.9 million at June 30, 2025. • FHLB advances decreased $15.0 million, or 5.4%, to $265.0 million at June 30, 2026 from $280.0 million at March 31, 2026, and decreased $35.0 million, or 11.7%, from $300.0 million at June 30, 2025. 1
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Selected Quarterly Financial Ratios: As of or For the Quarter Ended As of or For the Six Months Ended June 30, June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 June 30, 2025 2026 2025 Performance ratios: (1) Return on average assets 0.06% 0.00% 0.07% 0.15% 0.68% 0.03% -0.50% Return on average equity 0.78 0.02 0.96 2.10 10.00 0.40 -7.15 Net interest margin (2) 2.95 3.03 3.00 2.91 2.83 2.99 2.80 Efficiency ratio (3) 101.3 101.4 92.0 104.9 78.0 101.4 96.4 Equity to total assets 7.45 7.36 7.46 7.32 6.82 7.45 6.82 Book value per common share $ 16.66 $ 16.52 $ 16.61 $ 16.33 $ 15.85 $ 16.66 $ 15.85 Tangible performance ratios: (1) Tangible common equity to tangible assets (4) 7.39% 7.30% 7.40% 7.26% 6.76% 7.39% 6.76% Return on average tangible common equity (4) 0.79 0.02 0.97 2.12 10.10 0.40 -7.22 Tangible book value per common share (4) $ 16.52 $ 16.38 $ 16.47 $ 16.18 $ 15.70 $ 16.52 $ 15.70 Capital ratios (First Fed): (5) Tier 1 leverage 9.6% 9.6% 9.5% 9.3% 9.1% 9.6% 9.1% Common equity Tier 1 12.4 12.4 12.5 12.7 12.0 12.4 12.0 Total risk-based 13.4 13.5 13.6 13.7 13.1 13.4 13.1 (1) Performance ratios are annualized, where appropriate.(2) Net interest income divided by average interest-earning assets.(3) Total noninterest expense as a percentage of net interest income and total other noninterest income. (4) Non-GAAP financial measure; see "Additional Information - Non-GAAP Financial Measures" later in this release for definitions and a reconciliation to the mostcomparable GAAP financial measure.(5) Current period capital ratios are preliminary and subject to finalization of the FDIC Call Report. Net Interest Income and Margin Total interest income increased $121,000 to $25.5 million for the second quarter of 2026, compared to $25.3 million for the preceding quarter, and decreased $1.7 million compared to $27.1 million in the second quarter of 2025. Interest income increased during the second quarter of 2026 primarily due to 2026 purchases of investment securities. Average investment securities balances and yields increased compared to the preceding quarter as a result of purchases. Average real estate loan balances decreased while average consumer and commercial business loan balances increased over the preceding quarter. The yield on interest-earning assets decreased by 2 basis points to 5.30% compared to the preceding quarter, primarily due to a reduction in average balances of loans receivable and interest-earning deposits in banks. Total interest expense increased $388,000 to $11.3 million for the second quarter of 2026, compared to $10.9 million for the preceding quarter, and decreased $1.7 million compared to $12.9 million in the second quarter of 2025. Interest expense increased in the second quarter of 2026 primarily due to the transition of the Company's subordinated debt from a fixed rate to a floating rate at the end of March 2026. Higher volumes of customer deposits were partially offset by a reduced volume of brokered CDs. Interest paid on customer deposit accounts also increased compared to the preceding quarter due to an increase in CD and money market average balances combined with higher rates paid on non-maturity deposits. As a result of these second quarter changes, the total cost of funds increased 5 basis points to 2.42% compared to the preceding quarter. The net interest margin decreased to 2.95% for the second quarter of 2026, from 3.03% for the preceding quarter but increased from 2.83% for the second quarter of 2025. Noninterest Income and Expense Noninterest income was flat at $2.0 million for the second and first quarters of 2026. Noninterest expense decreased $291,000 to $16.4 million for the second quarter of 2026, compared to $16.7 million for the preceding quarter. The decline resulted from lower data processing and compensation costs, partially offset by increased legal and consulting fees recorded in professional fees. Legal fees remain elevated due to the Company's continued defense of ongoing legal matters. Consulting fees increased as several projects to improve operating efficiency were launched during the second quarter of 2026. 2
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Allowance for Credit Losses on Loans ("ACLL") and Credit Quality The ACLL decreased $514,000 to $16.3 million at June 30, 2026, from $16.8 million at March 31, 2026. The ACLL as a percentage of total loans was 1.01% at June 30, 2026, a decrease from 1.03% at March 31, 2026, and a decrease from 1.10% at June 30, 2025. A $337,000 recapture of loan provision expense for the quarter ended June 30, 2026, was the result of a $444,000 decrease in the overall pooled loan reserve and a $70,000 decrease in reserves on individually evaluated loans, partially offset by $177,000 in net charge-offs. The change in pooled loan reserve was driven by lower loss factors applied to commercial real estate and multi-family loans combined with decreased loan balances in multi-family and commercial business loans. Decreases to the pooled loan reserve balance were partially offset by higher loss factors applied to commercial business and home equity loan balances at the end of the current quarter. The pooled loan reserve loss rates were impacted by higher unemployment forecasts partially offset by a mild improvement in gross domestic product. Nonperforming loans decreased $971,000 to $20.7 million at June 30, 2026, from $21.7 million at March 31, 2026. Current quarter activity included principal payments totaling $1.1 million and net charge-offs on nonperforming loans totaling $216,000. The decreases were partially offset by the transition into nonaccrual status of loans totaling $1.1 million across multiple loan categories. ACLL to nonperforming loans increased slightly to 79% at June 30, 2026, from 78% at March 31, 2026. This ratio increased compared to the preceding quarter despite a reduction in nonperforming loan balances. Classified loans decreased $9.1 million to $25.5 million at June 30, 2026, from $34.6 million at March 31, 2026, primarily due to payoffs totaling $14.2 million, principal payments totaling $1.0 million, and net charge-offs totaling $216,000. The decreases were partially offset by $5.6 million of new downgrades across multiple loan categories. Four collateral-dependent loans totaling $18.3 million account for 72% of the classified loan balance at June 30, 2026. 3
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For the Quarter Ended ACLL ($ in thousands) June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 June 30, 2025 Balance at beginning of period $ 16,823 $ 16,987 $ 16,203 $ 18,345 $ 20,569 Charge-offs: Commercial real estate — (3) (329) (656) (15) Construction and land (200) (171) (1,027) (483) — Auto and other consumer (125) (276) (123) (106) (273) Commercial business (34) (133) (964) (1,005) (2,823) Total charge-offs (359) (583) (2,443) (2,250) (3,111) Recoveries: Commercial real estate — — — 6 20 Construction and land — — — — 5 Auto and other consumer 109 50 34 47 74 Commercial business 73 382 2,727 675 1,084 Total recoveries 182 432 2,761 728 1,183 Net loan (charge-offs) recoveries (177) (151) 318 (1,522) (1,928) (Recapture of) provision for credit losses (337) (13) 466 (620) (296) Balance at end of period $ 16,309 $ 16,823 $ 16,987 $ 16,203 $ 18,345 Average total loans $ 1,604,872 $ 1,613,526 $ 1,622,476 $ 1,650,340 $ 1,658,723 Annualized net charge-offs (recoveries) to average outstanding loans 0.04% 0.04% -0.08% 0.37% 0.47% Asset Quality ($ in thousands) June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 June 30, 2025 Nonaccrual loans: One-to-four family $ 1,627 $ 2,521 $ 2,272 $ 2,345 $ 2,274 Commercial real estate 9,449 9,619 9,745 3,439 4,095 Construction and land 4,164 4,164 5,146 6,037 13,063 Home equity 159 53 53 9 10 Auto and other consumer 1,332 1,280 1,086 1,072 410 Commercial business 3,997 4,062 4,293 470 514 Total nonaccrual loans 20,728 21,699 22,595 13,372 20,366 Other real estate owned 1,568 1,380 1,380 1,377 1,297 Total nonperforming assets $ 22,296 $ 23,079 $ 23,975 $ 14,749 $ 21,663 Nonaccrual loans as a % of total loans (1) 1.28% 1.33% 1.39% 0.82% 1.22% Nonperforming assets as a % of total assets (2) 1.05 1.08 1.14 0.70 0.99 ACLL as a % of total loans 1.01 1.03 1.04 1.00 1.10 ACLL as a % of nonaccrual loans 78.68 77.53 75.18 121.17 90.08 Total past due loans to total loans 1.09 1.18 1.21 0.88 1.17 (1) Nonperforming loans consists of nonaccruing loans and accruing loans more than 90 days past due. (2) Nonperforming assets consists of nonperforming loans (which include nonaccruing loans and accruing loans more than 90 days past due), real estate owned and repossessed assets. 4
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Financial Condition and Capital Continued disciplined balance sheet management resulted in lower borrowings and reduced reliance on higher-cost brokered deposits while maintaining stable capital levels. Investment securities increased $14.0 million, or 5.1%, to $287.0 million at June 30, 2026, compared to $273.0 million three months earlier, and decreased $16.5 million compared to $303.5 million at June 30, 2025. Purchases totaling $27.8 million and a $535,000 decrease in net unrealized losses were partially offset by maturities totaling $9.7 million and regular principal payments totaling $4.6 million during the second quarter of 2026. The estimated average life of the securities portfolio was approximately 6.4 years at June 30, 2026, 6.8 years at the preceding quarter end and 7.6 years at the end of the second quarter of 2025. The effective duration of the portfolio was approximately 4.6 years at June 30, 2026, compared to 4.7 years at the preceding quarter end and 4.9 years at the end of the second quarter of 2025. Investment Securities ($ in thousands) June 30, 2026 March 31, 2026 June 30, 2025 Three Month % Change One Year % Change Available for Sale at Fair Value Municipal bonds $ 79,990 $ 79,565 $ 77,324 0.5% 3.4% U.S. government agency issued asset-backed securities (ABS agency) 11,371 11,632 12,298 -2.2 -7.5 Corporate issued asset-backed securities (ABS corporate) 6,615 7,676 13,105 -13.8 -49.5 Corporate issued debt securities (Corporate debt) 50,991 37,392 55,760 36.4 -8.6 U.S. Small Business Administration securities (SBA) 5,362 5,820 7,504 -7.9 -28.5 Mortgage-backed securities: U.S. government agency issued mortgage- backed securities (MBS agency) 95,002 97,968 96,014 -3.0 -1.1 Non-agency issued mortgage-backed securities (MBS non-agency) 37,697 32,932 41,510 14.5 -9.2 Total securities available for sale $ 287,028 $ 272,985 $ 303,515 5.1 -5.4 Net loans receivable, excluding loans held for sale, decreased $15.9 million, or 1.0%, to $1.60 billion at June 30, 2026, from $1.61 billion at March 31, 2026, and decreased $50.1 million, or 3.0%, from $1.65 billion one year prior. Construction loans that converted into fully amortizing loans during the quarter totaled $8.9 million. Regular payments of $50.9 million, loan payoffs of $21.9 million and charge-offs totaling $359,000 outpaced new loan funding totaling $30.2 million and draws on existing loans totaling $20.4 million. Participation in the Northpointe MPP increased $2.7 million and purchased consumer loans increased $3.5 million during the current quarter. Loans ($ in thousands) June 30, 2026 March 31, 2026 June 30, 2025 Three Month % Change One Year % Change Real Estate: One-to-four family $ 357,077 $ 362,984 $ 387,459 -1.6% -7.8% Multi-family 255,813 270,979 329,696 -5.6 -22.4 Commercial real estate 402,798 403,243 391,362 -0.1 2.9 Construction and land 61,697 62,347 72,538 -1.0 -14.9 Total real estate loans 1,077,385 1,099,553 1,181,055 -2.0 -8.8 Consumer: Home equity 90,014 86,292 84,927 4.3 6.0 Auto and other consumer 294,982 290,960 280,877 1.4 5.0 Total consumer loans 384,996 377,252 365,804 2.1 5.2 Commercial business 151,000 152,591 117,843 -1.0 28.1 Total loans receivable 1,613,381 1,629,396 1,664,702 -1.0 -3.1 Less: Derivative basis adjustment (10) (406) (860) 97.5 98.8 Allowance for credit losses on loans 16,309 16,823 18,345 -3.1 -11.1 Total loans receivable, net $ 1,597,082 $ 1,612,979 $ 1,647,217 -1.0 -3.0 5
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Total deposits increased $5.8 million to $1.61 billion at June 30, 2026, compared to $1.60 billion at March 31, 2026, and decreased $47.2 million compared to $1.65 billion one year prior. During the second quarter of 2026, total customer deposit balances increased $11.3 million and brokered deposit balances decreased $5.5 million. The customer deposit mix reflects increased average money market and CD account balances while average balances of all other customer accounts decreased compared to the preceding quarter. The rates paid on customer interest-bearing deposits increased 3 basis points to 2.32% for the current quarter, compared to 2.29% for the first quarter of 2026. The deposit mix compared to June 30, 2025, reflects a continued shift in average balances of customer accounts to savings and money market accounts from demand deposit and CD accounts, with an overall $4.7 million decrease to average total customer balances. A $72.6 million decrease in the average balance of brokered CDs was the main driver for the year-over-year decrease in total deposits. Rates paid on total interest-bearing deposit accounts decreased 31 basis points compared to the same quarter one year ago. Deposits ($ in thousands) June 30, 2026 March 31, 2026 June 30, 2025 Three Month % Change One Year % Change Noninterest-bearing demand deposits $ 244,699 $ 238,901 $ 240,051 2.4% 1.9% Interest-bearing demand deposits 147,019 157,565 144,409 -6.7 1.8 Money market accounts 462,208 449,353 484,787 2.9 -4.7 Savings accounts 241,711 246,533 227,968 -2.0 6.0 Certificates of deposit, customer 453,140 445,110 450,494 1.8 0.6 Certificates of deposit, brokered 58,615 64,120 106,927 -8.6 -45.2 Total deposits $ 1,607,392 $ 1,601,582 $ 1,654,636 0.4 -2.9 FHLB advances decreased $15.0 million during the current quarter. Total shareholders’ equity increased to $158.3 million at June 30, 2026, compared to $157.0 million three months earlier, due to increases in the after-tax fair market values of the available-for-sale investment securities portfolio of $418,000, the after-tax fair value of the investment portfolio hedge of $295,000 and net income of $308,000. No shares of common stock were repurchased under the Company's April 2024 Stock Repurchase Plan (the "Repurchase Plan") during the quarter ended June 30, 2026. There are 846,123 shares that remain available for repurchase under the Repurchase Plan. Capital levels for both the Company and the Bank remain in excess of applicable requirements and the Bank was categorized as "well- capitalized" at June 30, 2026. Preliminary calculations of Common Equity Tier 1 and Total Risk-Based Capital Ratios at June 30, 2026, for the Bank were 12.4% and 13.4%, respectively. 2025 Awards/Recognition Sound Publishing: Bellingham Best of the Northwest - Best Bank Silver Best Bank in Clallam County Best Lender in Clallam County and West End 6
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About the Company First Northwest Bancorp (Nasdaq: FNWB) is a financial holding company engaged in investment activities including the business of its subsidiary, First Fed Bank. First Fed is a Pacific Northwest-based financial institution which has served its customers and communities since 1923. Currently First Fed has 16 locations in Washington state including 11 full-service branches. First Fed’s business and operating strategy is focused on building sustainable earnings by delivering a full array of financial products and services for individuals, small businesses, non-profit organizations and commercial customers. First Northwest has also strategically invested in partnerships focused on developing modern financial solutions and a boutique investment banking/accelerator firm. These investments underscore the Company’s commitment to innovation and growth in the financial services sector. First Northwest Bancorp was incorporated in 2012 and completed its initial public offering in 2015 under the ticker symbol FNWB. The Company is headquartered in Port Angeles, Washington. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to, among other things, expectations of the business environment in which we operate, projections of future performance and execution on certain strategies, perceived opportunities in the market, potential future credit experience, including our ability to collect, and include, but are not limited to, statements about our plans, objectives, expectations and intentions that are not historical facts, and other statements often identified by words such as "believes," "expects," "anticipates," "estimates," or similar expressions. These forward-looking statements are based upon current management beliefs and expectations and may, therefore, involve risks and uncertainties, many of which are beyond our control. Our actual results, performance, or achievements may differ materially from those suggested, expressed, or implied by forward-looking statements as a result of a wide variety of factors including, but not limited to: increased competitive pressures; changes in the interest rate environment; the credit risks of lending activities; pressures on liquidity, including as a result of withdrawals of deposits, declines in the value of our investment portfolio or changes in interest rates; risks related to overall economic conditions; geopolitical events; legislative, regulatory, and policy changes; legal proceedings, regulatory investigations and their resolutions; and other factors described in the Company’s latest Annual Report on Form 10-K under the section entitled "Risk Factors," and other filings with the Securities and Exchange Commission ("SEC"), which are available on our website at www.ourfirstfed.com and on the SEC’s website at www.sec.gov. Any of the forward-looking statements that we make in this press release and in the other public statements we make may turn out to be incorrect because of the inaccurate assumptions we might make, because of the factors illustrated above or because of other factors that we cannot foresee. Because of these and other uncertainties, our actual future results may be materially different from those expressed or implied in any forward-looking statements made by or on our behalf and the Company's operating and stock price performance may be negatively affected. Therefore, these factors should be considered in evaluating the forward-looking statements, and undue reliance should not be placed on such statements. We do not undertake and specifically disclaim any obligation to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements, except as required by law. These risks could cause our actual results for 2026 and beyond to differ materially from those expressed in or implied by any forward-looking statements by, or on behalf of, us and could negatively affect the Company’s operations and stock price performance. For More Information Contact: Curt Queyrouze, President and Chief Executive Officer Phyllis Nomura, Chief Financial Officer and EVP IRGroup@ourfirstfed.com 360-457-0461 7
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FIRST NORTHWEST BANCORP AND SUBSIDIARY CONSOLIDATED BALANCE SHEETS (Dollars in thousands, except share data) (Unaudited) June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 June 30, 2025 ASSETS Cash and due from banks $ 14,649 $ 16,548 $ 15,530 $ 15,688 $ 18,487 Interest-earning deposits in banks 83,709 87,588 69,587 63,482 69,376 Investment securities available for sale, at fair value (amortized cost at each period end of $313,215, $299,707, $295,849, $310,545 and $336,206) 287,028 272,985 270,310 282,608 303,515 Loans held for sale 1,286 1,140 1,063 2,154 1,557 Loans receivable (net of allowance for credit losses on loans at each period end of $16,309, $16,823, $16,987, $16,203, and $18,345) 1,597,082 1,612,979 1,612,028 1,607,825 1,647,217 Federal Home Loan Bank (FHLB) stock, at cost 13,279 13,927 13,105 10,856 14,906 Accrued interest receivable 7,181 7,051 6,498 8,160 8,305 Premises and equipment, net 9,160 8,591 8,464 8,788 8,999 Servicing rights on sold loans, at fair value 3,012 2,999 3,014 3,093 3,220 Bank-owned life insurance ("BOLI"), net 43,305 42,850 42,382 41,889 41,380 Equity and partnership investments 15,441 15,452 15,489 15,048 14,811 Goodwill and other intangible assets, net 1,062 1,062 1,062 1,080 1,081 Deferred tax asset, net 13,664 13,898 13,638 14,168 14,266 Right-of-use ("ROU") asset, net 15,057 15,316 15,596 15,494 15,772 Prepaid expenses and other assets 19,920 21,057 20,129 21,040 32,471 Total assets $ 2,124,835 $ 2,133,443 $ 2,107,895 $ 2,111,373 $ 2,195,363 LIABILITIES AND SHAREHOLDERS' EQUITY Deposits $ 1,607,392 $ 1,601,582 $ 1,599,101 $ 1,653,327 $ 1,654,636 Borrowings 313,177 328,160 308,143 259,625 344,108 Accrued interest payable 151 280 1,223 1,145 1,514 Lease liability, net 16,039 16,250 16,439 16,071 16,257 Accrued expenses and other liabilities 28,260 27,514 24,301 24,321 27,790 Advances from borrowers for taxes and insurance 1,503 2,691 1,424 2,356 1,325 Total liabilities 1,966,522 1,976,477 1,950,631 1,956,845 2,045,630 Shareholders' Equity Preferred stock, $0.01 par value, authorized 5,000,000 shares, no shares issued or outstanding — — — — — Common stock, $0.01 par value, 75,000,000 shares authorized; issued and outstanding at each period end: 9,504,441; 9,499,300; 9,467,925; 9,462,150; and 9,444,963 95 95 95 94 94 Additional paid-in capital 93,986 93,854 93,803 93,646 93,595 Retained earnings 92,015 91,707 91,699 91,317 90,506 Accumulated other comprehensive loss, net of tax (22,177) (22,920) (22,398) (24,429) (28,198) Unearned employee stock ownership plan (ESOP) shares (5,606) (5,770) (5,935) (6,100) (6,264) Total shareholders' equity 158,313 156,966 157,264 154,528 149,733 Total liabilities and shareholders' equity $ 2,124,835 $ 2,133,443 $ 2,107,895 $ 2,111,373 $ 2,195,363 8
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FIRST NORTHWEST BANCORP AND SUBSIDIARY CONSOLIDATED STATEMENTS OF INCOME (Dollars in thousands, except per share data) (Unaudited) For the Quarter Ended For the Six Months Ended June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 June 30, 2025 June 30, 2026 June 30, 2025 INTEREST INCOME Interest and fees on loans receivable $ 21,997 $ 22,000 $ 22,431 $ 22,814 $ 22,814 $ 43,997 $ 45,045 Interest on investment securities 2,723 2,585 2,971 3,244 3,466 5,308 7,269 Interest on deposits in banks 453 467 473 570 520 920 1,002 FHLB dividends 282 282 262 282 331 564 638 Total interest income 25,455 25,334 26,137 26,910 27,131 50,789 53,954 INTEREST EXPENSE Deposits 8,033 7,930 8,648 9,083 9,552 15,963 19,289 Borrowings 3,249 2,964 2,799 3,258 3,386 6,213 6,625 Total interest expense 11,282 10,894 11,447 12,341 12,938 22,176 25,914 Net interest income 14,173 14,440 14,690 14,569 14,193 28,613 28,040 PROVISION FOR CREDIT LOSSES Recapture of provision for credit losses on loans (337) (13) 466 (620) (296) (350) 7,474 (Recapture of) provision for credit losses on unfunded commitments (203) 91 97 (53) (64) (112) (49) (Recapture of) provision for credit losses (540) 78 563 (673) (360) (462) 7,425 Net interest income after (recapture of) provision for credit losses 14,713 14,362 14,127 15,242 14,553 29,075 20,615 NONINTEREST INCOME Loan and deposit service fees 1,107 1,122 1,044 1,114 1,095 2,229 2,201 Sold loan servicing fees and servicing rights mark-to-market 162 127 57 85 92 289 287 Net gain on sale of loans 73 76 96 (39) 44 149 55 Increase in BOLI cash surrender value 455 468 493 539 485 923 857 Income from BOLI death benefit, net — — — — — — 1,059 Other income 208 215 2,000 303 454 423 1,488 Total noninterest income 2,005 2,008 3,690 2,002 2,170 4,013 5,947 NONINTEREST EXPENSE Compensation and benefits 8,054 8,232 8,042 8,353 4,698 16,286 12,413 Data processing 1,702 2,228 1,990 1,941 1,926 3,930 3,937 Occupancy and equipment 1,538 1,565 1,539 1,505 1,507 3,103 3,099 Supplies, postage, and telephone 384 298 332 344 346 682 644 Regulatory assessments and state taxes 581 534 688 558 501 1,115 980 Advertising 245 304 290 282 299 549 564 Professional fees 2,305 2,026 1,957 2,668 1,449 4,331 2,226 FDIC insurance premium 387 363 424 411 463 750 897 Legal settlement — — — (10) — — 5,750 Other expense 1,197 1,134 1,640 1,338 1,576 2,331 2,255 Total noninterest expense 16,393 16,684 16,902 17,390 12,765 33,077 32,765 Income (loss) before provision for (benefit from) income taxes 325 (314) 915 (146) 3,958 11 (6,203) Provision for (benefit from) income taxes 17 (320) 533 (948) 297 (303) (828) Net income $ 308 $ 6 $ 382 $ 802 $ 3,661 $ 314 $ (5,375) Basic and diluted earnings per common share $ 0.03 $ - $ 0.04 $ 0.09 $ 0.42 $ 0.04 $ (0.61) Diluted weighted average common shares outstanding 8,930,663 8,894,998 8,860,060 8,813,632 8,791,478 8,911,965 8,765,335 9
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FIRST NORTHWEST BANCORP AND SUBSIDIARY ADDITIONAL INFORMATION (Dollars in thousands) (Unaudited) Selected Loan Detail June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 June 30, 2025 Construction and land loans breakout 1-4 Family construction $ 5,682 $ 18,802 $ 21,954 $ 29,961 $ 39,040 Multifamily construction 14,826 12,144 10,109 15,660 14,728 Nonresidential construction 35,749 25,758 23,005 16,484 12,832 Land and development 5,440 5,643 6,200 5,688 5,938 Total construction and land loans $ 61,697 $ 62,347 $ 61,268 $ 67,793 $ 72,538 Auto and other consumer loans breakout Triad Manufactured Home loans $ 131,367 $ 131,406 $ 132,287 $ 133,425 $ 135,537 Woodside auto loans 152,748 147,444 137,678 131,800 127,828 First Help auto loans 6,430 7,570 8,491 9,561 11,221 Other auto loans 346 468 586 767 1,016 Other consumer loans 4,091 4,072 4,460 4,671 5,275 Total auto and other consumer loans $ 294,982 $ 290,960 $ 283,502 $ 280,224 $ 280,877 Commercial business loans breakout Northpointe Bank MPP $ 44,602 $ 41,951 $ 18,941 $ - $ - Secured lines of credit 34,485 40,991 39,783 43,081 41,043 Unsecured lines of credit 2,953 3,351 2,901 2,580 2,551 SBA loans 6,818 5,505 5,645 6,347 6,618 Other commercial business loans 62,142 60,793 63,041 61,152 67,631 Total commercial business loans $ 151,000 $ 152,591 $ 130,311 $ 113,160 $ 117,843 Loans by Collateral and Unfunded Commitments June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 June 30, 2025 One-to-four family construction $ 20,583 $ 18,571 $ 23,815 $ 31,627 $ 40,509 All other construction and land 41,873 44,000 37,334 36,161 36,129 One-to-four family first mortgage 425,021 440,576 431,222 415,670 420,847 One-to-four family junior liens 19,986 21,169 21,003 20,568 20,116 One-to-four family revolving open-end 62,411 57,027 56,365 58,486 57,502 Commercial real estate, owner occupied: Health care 31,522 28,177 28,488 28,794 29,091 Office 22,895 18,953 19,216 18,499 19,116 Warehouse 9,270 7,549 7,608 7,684 7,432 Other 71,064 72,556 71,313 73,562 74,364 Commercial real estate, non-owner occupied: Office 36,297 36,657 40,311 40,917 42,198 Retail 52,465 53,519 50,494 50,839 51,708 Hospitality 62,352 62,729 63,113 63,953 64,308 Other 113,320 115,367 112,307 106,991 93,505 Multi-family residential 256,853 272,025 289,581 297,379 330,784 Commercial business loans 61,958 61,247 66,264 68,062 73,403 Commercial agriculture and fishing loans 30,197 27,982 25,842 23,346 22,443 State and political subdivision obligations 333 333 333 369 369 Consumer automobile loans 159,519 155,443 146,708 142,064 139,992 Consumer loans secured by other assets 133,899 133,825 134,826 136,073 138,378 Consumer loans unsecured 1,563 1,691 1,969 2,088 2,508 Total loans $ 1,613,381 $ 1,629,396 $ 1,628,112 $ 1,623,132 $ 1,664,702 Unfunded commitments under lines of credit or existing loans $ 164,614 $ 166,899 $ 167,489 $ 158,118 $ 166,589 10
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FIRST NORTHWEST BANCORP AND SUBSIDIARY NET INTEREST MARGIN ANALYSIS (Unaudited) Three Months Ended June 30, 2026 2025 Average Interest Average Interest Balance Earned/ Yield/ Balance Earned/ Yield/ (dollars in thousands) Outstanding Paid Rate Outstanding Paid Rate Interest-earning assets: Loans receivable, net (1) (2) $ 1,588,321 $ 21,997 5.55% $ 1,639,236 $ 22,814 5.58% Total investment securities 276,147 2,723 3.96 311,078 3,466 4.47 FHLB dividends 12,020 282 9.41 13,313 331 9.97 Interest-earning deposits in banks 48,783 453 3.72 46,807 520 4.46 Total interest-earning assets (3) 1,925,271 25,455 5.30 2,010,434 27,131 5.41 Noninterest-earning assets 143,007 154,145 Total average assets $ 2,068,278 $ 2,164,579 Interest-bearing liabilities: Interest-bearing demand deposits $ 141,339 $ 83 0.24 $ 164,475 $ 240 0.59 Money market accounts 455,356 2,451 2.16 444,135 2,660 2.40 Savings accounts 243,735 921 1.52 228,901 884 1.55 Certificates of deposit, customer 449,938 4,024 3.59 451,712 4,396 3.90 Certificates of deposit, brokered 51,788 554 4.29 124,383 1,372 4.42 Total interest-bearing deposits (4) 1,342,156 8,033 2.40 1,413,606 9,552 2.71 Advances 252,230 2,633 4.19 275,176 3,041 4.43 Subordinated debt 34,668 616 7.13 34,600 345 4.00 Total interest-bearing liabilities 1,629,054 11,282 2.78 1,723,382 12,938 3.01 Noninterest-bearing deposits (4) 237,762 243,655 Other noninterest-bearing liabilities 43,529 50,685 Total average liabilities 1,910,345 2,017,722 Average equity 157,933 146,857 Total average liabilities and equity $ 2,068,278 $ 2,164,579 Net interest income $ 14,173 $ 14,193 Net interest rate spread 2.52 2.40 Net earning assets $ 296,217 $ 287,052 Net interest margin (5) 2.95 2.83 Average interest-earning assets to average interest-bearing liabilities 118.2% 116.7% (1) The average loans receivable, net balances include nonaccrual loans. (2) Interest earned on loans receivable includes net deferred costs of $1.4 million and $486,000 for the three months ended June 30, 2026 and 2025, respectively. (3) Includes interest-earning deposits (cash) at other financial institutions. (4) Cost of all deposits, including noninterest-bearing demand deposits, was 2.04% and 2.31% for the three months ended June 30, 2026 and 2025, respectively. (5) Net interest income divided by average interest-earning assets. 11
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FIRST NORTHWEST BANCORP AND SUBSIDIARY ADDITIONAL INFORMATION (Unaudited) Non-GAAP Financial Measures This press release contains financial measures that are not in conformity with generally accepted accounting principles in the United States of America ("GAAP"). Non-GAAP financial measures are presented where management believes the information will help investors understand the Company’s results of operations or financial position and assess trends. Where non-GAAP financial measures are used, the comparable GAAP financial measure is also provided. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, and are not necessarily comparable to non-GAAP performance measures that may be presented by other companies. Other banking companies may use names similar to those the Company uses for the non-GAAP financial measures the Company discloses, but may calculate them differently. Investors should understand how the Company and other companies each calculate their non-GAAP financial measures when making comparisons. Reconciliations of the GAAP and non- GAAP measures are presented below. Calculations Based on Tangible Common Equity: For the Quarter Ended For the Six Months Ended ($ in thousands, except per share data) June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 June 30, 2025 June 30, 2026 June 30, 2025 Total shareholders' equity $ 158,313 $ 156,966 $ 157,264 $ 154,528 $ 149,733 $ 158,313 $ 149,733 Less: Goodwill and other intangible assets 1,062 1,062 1,062 1,080 1,081 1,062 1,081 Disallowed non-mortgage loan servicing rights 247 312 302 317 372 247 372 Total tangible common equity $ 157,004 $ 155,592 $ 155,900 $ 153,131 $ 148,280 $ 157,004 $ 148,280 Total assets $2,124,835 $2,133,443 $2,107,895 $ 2,111,373 $2,195,363 $2,124,835 $2,195,363 Less: Goodwill and other intangible assets 1,062 1,062 1,062 1,080 1,081 1,062 1,081 Disallowed non-mortgage loan servicing rights 247 312 302 317 372 247 372 Total tangible assets $2,123,526 $2,132,069 $2,106,531 $2,109,976 $2,193,910 $2,123,526 $2,193,910 Average shareholders' equity $ 157,933 $ 159,532 $ 157,588 $ 151,376 $ 146,857 $ 158,728 $ 151,620 Less: Average goodwill and other intangible assets 1,062 1,062 1,080 1,081 1,081 1,062 1,082 Average disallowed non-mortgage loan servicing rights 311 302 317 371 415 306 419 Total average tangible common equity $ 156,560 $ 158,168 $ 156,191 $ 149,924 $ 145,361 $ 157,360 $ 150,119 Net income $ 308 $ 6 $ 382 $ 802 $ 3,661 $ 314 $ (5,375) Common shares outstanding 9,504,441 9,499,300 9,467,925 9,462,150 9,444,963 9,504,441 9,444,963 GAAP Ratios: Equity to total assets 7.45% 7.36% 7.46% 7.32% 6.82% 7.45% 6.82% Return on average equity 0.78% 0.02% 0.96% 2.10% 10.00% 0.40% -7.15% Book value per common share $ 16.66 $ 16.52 $ 16.61 $ 16.33 $ 15.85 $ 16.66 $ 15.85 Non-GAAP Ratios: Tangible common equity to tangible assets (1) 7.39% 7.30% 7.40% 7.26% 6.76% 7.39% 6.76% Return on average tangible common equity (1) 0.79% 0.02% 0.97% 2.12% 10.10% 0.40% -7.22% Tangible book value per common share (1) $ 16.52 $ 16.38 $ 16.47 $ 16.18 $ 15.70 $ 16.52 $ 15.70 (1) We believe that the use of tangible equity and tangible assets improves the comparability to other institutions that have not engaged in acquisitions that resulted in recorded goodwill and other intangibles. 12