Business UpdateMay 4, 2026, 08:07 AM
Bridgewater Bancshares Highlights 1Q26 NIM Expansion, Strong Growth
AI Summary
Bridgewater Bancshares Inc. provided an investor presentation highlighting strong financial performance and strategic initiatives. The company reported a 24 basis point increase in its Net Interest Margin to 2.99% in 1Q26, with net interest income growing 3% from the prior quarter. Strategic balance sheet actions included selling $208.5 million in securities for a $7.3 million pre-tax gain and prepaying $97.5 million in FHLB advances. Bridgewater also emphasized its robust organic growth, efficient operating model, and strong asset quality, with expectations for high single-digit loan growth in 2026.
Key Highlights
- 1Q26 Net Interest Margin (NIM) increased 24 bps to 2.99%.
- Net interest income grew 3% from 4Q25 to $36.6 million in 1Q26.
- Sold $208.5 million of securities, generating a $7.3 million pre-tax gain in 1Q26.
- Prepaid $97.5 million of FHLB advances, incurring a $982K prepayment fee in 1Q26.
- Total assets reached $5.3 billion and loans $4.4 billion as of March 31, 2026.
- 1Q26 loan balances increased 5.5% annualized; core deposits grew 3.2% annualized.
- Maintained strong asset quality with 0.22% nonperforming assets to assets in 1Q26.
- Efficiency ratio was 57.0% in 1Q26, consistently below peers.