First Northwest Bancorp reported a net income of $382,000 for Q4 2025, a significant improvement from a net loss in the prior year quarter, driven by a rising net interest margin and reduced expenses. The company is focusing on operational efficiency and strengthening its deposit base for the upcoming year.
Net income of $382,000 for Q4 2025, a substantial improvement from a net loss of $2.8 million in Q4 2024.
positiveNet interest margin increased to 3.00% in Q4 2025, marking six consecutive quarters of improvement.
positiveCost of total deposits dropped to 2.12% in Q4 2025 from 2.20% in Q3 2025 due to maturing higher-rate CDs.
positiveNoninterest expense decreased $488,000 to $16.9 million in Q4 2025 compared to the preceding quarter, partly due to lower legal fees.
positiveNonperforming loans increased $9.2 million to $22.6 million at December 31, 2025, from $13.4 million at September 30, 2025.
negativeTotal deposits decreased $54.2 million to $1.6 billion at December 31, 2025, compared to September 30, 2025.
negativeThe Bank will permanently close its Bellevue branch on April 30, 2026, reflecting ongoing shifts in customer behavior toward digital banking.
attentionNo shares of common stock were repurchased under the Company's April 2024 Stock Repurchase Plan during Q4 2025.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.
Focus on positioning First Fed as a high-performing bank by leveraging data to operate more efficiently.
Strengthening the core deposit base and generating high-quality, relationship-based loan growth.
Adapting to ongoing shifts in customer behavior toward digital banking services by closing the Bellevue branch.
Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.
Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.