Despite a 20.5% year-over-year growth in net interest income, the firm's net interest margin has remained stagnant at 0.6% over the last ten quarters, reflecting ongoing profitability challenges.
| Net Interest Income | 78.49M | 74.93M | 63.86M | 70.48M | 83.55M | 56.51M | 46.1M | 32.06M | 30.62M | 27.58M | 24.46M |
| NII Growth % | 81.34% | 17.33% | -9.4% | -15.63% | 47.84% | 22.57% | 43.79% | 4.69% | 11.05% | 12.75% | - |
| Net Interest Margin % | 2.42% | 2.38% | 2.19% | 2.37% | 2.91% | 2.24% | 2.34% | 2.56% | 2.82% | 2.84% | 2.67% |
| Interest Income | 163.37M | 159.35M | 152.19M | 144.94M | 100.81M | 61.92M | 53.33M | 45.05M | 38.8M | 33.34M | 29.52M |
| Interest Expense | 84.89M | 84.42M | 88.33M | 74.45M | 17.27M | 5.42M | 7.23M | 12.99M | 8.17M | 5.76M | 5.06M |
| Loan Loss Provision | 3.3M | 4.11M | 1.93M | 10.36M | 3.68M | 1.23M | 4.68M | 663K | 180K | 788K | 985K |
| Non-Interest Income | 26.36M | 27M | 25.58M | 20.44M | 26.7M | 39.11M | 49.73M | 31.85M | 26.46M | 27.07M | 29.92M |
| Non-Interest Income % | 13.89% | 14.49% | 14.39% | 12.36% | 20.94% | 38.71% | 48.25% | 41.42% | 40.54% | 44.81% | 50.34% |
| Total Revenue | 189.74M | 186.35M | 177.77M | 165.38M | 127.51M | 101.04M | 103.06M | 76.9M | 65.25M | 60.41M | 59.44M |
| Revenue Growth % | 30.19% | 4.83% | 7.49% | 29.7% | 26.2% | -1.96% | 34.02% | 17.85% | 8.02% | 1.62% | - |
| Non-Interest Expense | 80.76M | 79.79M | 75.93M | 73.51M | 77.73M | 67.11M | 58.08M | 53.05M | 49.48M | 48.85M | 49.82M |
| Efficiency Ratio | 42.57% | 42.82% | 42.71% | 44.45% | 60.96% | 66.42% | 56.36% | 68.99% | 75.83% | 80.87% | 83.82% |
| Operating Income | 20.74M | 17.99M | 11.58M | 7.06M | 28.83M | 27.28M | 33.06M | 10.19M | 7.42M | 5.01M | 3.57M |
| Operating Margin % | 10.93% | 9.65% | 6.51% | 4.27% | 22.61% | 27% | 32.08% | 13.25% | 11.37% | 8.29% | 6.01% |
| Operating Income Growth % | - | 55.38% | 63.99% | -75.51% | 5.67% | -17.49% | 224.43% | 37.31% | 48.23% | 40.21% | - |
| Pretax Income | 19.82M | 17.07M | 11.58M | 7.06M | 28.83M | 27.28M | 33.06M | 10.19M | 7.42M | 5.01M | 3.57M |
| Pretax Margin % | 10.45% | 9.16% | 6.51% | 4.27% | 22.61% | 27% | 32.08% | 13.25% | 11.37% | 8.29% | 6.01% |
| Income Tax | 4.61M | 3.89M | 3.11M | 1.84M | 7.13M | 6.67M | 8.53M | 2.18M | 1.77M | 2.98M | 1.27M |
| Effective Tax Rate % | 23.25% | 22.76% | 26.82% | 26% | 24.73% | 24.45% | 25.8% | 21.41% | 23.92% | 59.6% | 35.54% |
| Net Income | 15.21M | 13.19M | 8.47M | 5.22M | 21.7M | 20.61M | 24.53M | 8.01M | 5.65M | 2.02M | 2.3M |
| Net Margin % | 8.02% | 7.08% | 4.77% | 3.16% | 17.02% | 20.4% | 23.81% | 10.41% | 8.65% | 3.35% | 3.87% |
| Net Income Growth % | 49.97% | 55.65% | 62.16% | -75.92% | 5.28% | -15.99% | 206.33% | 41.83% | 179.14% | -12.12% | - |
| Net Income (Continuing) | 15.21M | 13.19M | 8.47M | 5.22M | 21.7M | 20.61M | 24.53M | 8.01M | 5.65M | 2.02M | 2.3M |
| EPS (Diluted) | 1.53 | 1.34 | 0.87 | 0.54 | 2.23 | 2.50 | 3.08 | 1.01 | 0.63 | -0.05 | -0.09 |
| EPS Growth % | 47.12% | 54.02% | 61.11% | -75.78% | -10.8% | -18.83% | 204.95% | 60.32% | 1434.75% | 50.16% | - |
| EPS (Basic) | - | 1.36 | 0.88 | 0.55 | 2.29 | 2.58 | 3.11 | 1.02 | 0.64 | -0.05 | -0.09 |
| Diluted Shares Outstanding | 9.96M | 9.96M | 9.77M | 9.73M | 9.71M | 8.24M | 7.96M | 7.91M | 6.75M | 7.54M | 7.54M |
Mortgage segment volatility
According to quarterly financial data, First Western Financial achieved a 20.5% year-over-year increase in net interest income as of 2026Q1, suggesting that the firm is successfully navigating the current interest rate environment despite the inherent volatility associated with its boutique private banking and mortgage-heavy business model.
The recent expansion in net interest income appears to be driven by a strategic focus on high-net-worth deposit capture, which helps mitigate funding cost pressures. However, investors should monitor whether this growth is sustainable given the firm's sensitivity to mortgage origination cycles and the potential for deposit betas to rise if market rates remain elevated.
As reported in recent filings, the net interest margin has remained stagnant at approximately 0.6% over the last ten quarters, indicating that the bank is struggling to expand its core lending profitability despite the broader interest rate environment that typically favors regional depository institutions with similar asset profiles.
The persistent compression in NIM suggests that the cost of funding for the firm's sophisticated client base may be offsetting the yields earned on its loan portfolio. This lack of margin expansion warrants further investigation into whether the firm's boutique service model is creating a structural drag on net interest spread.
Based on the provided income statement data, the efficiency ratio has hovered consistently between 40% and 44% over the past two years, which suggests that the firm's high-touch, boutique delivery model requires a significant and relatively fixed level of non-interest expense to maintain its specialized service standards.
The inability to meaningfully improve the efficiency ratio implies that the firm may be facing challenges in achieving operational leverage as it expands into new markets. This high fixed-cost structure may leave the bank vulnerable to earnings volatility if revenue growth from its wealth management and mortgage segments fails to keep pace.
Financial statements indicate that non-interest fee income as a percentage of total revenue has fluctuated between 9.6% and 16.8% since 2024, highlighting a significant dependency on transactional mortgage volumes that appear to be highly sensitive to the broader economic conditions and interest rate cycles in the region.
While the wealth management segment provides a base of recurring revenue, the reliance on mortgage-related fees introduces a layer of cyclicality that complicates earnings predictability. Investors should monitor the composition of these fees to determine if the firm can successfully pivot toward more stable, asset-based fiduciary income over time.
Quick answers to the most common questions about buying MYFW stock.
First Western Financial, Inc. (MYFW) is profitable, generating $13.2M in net income for the fiscal year ending 2025 with a net profit margin of 7.1%.
First Western Financial, Inc. (MYFW) reported an operating income of $18.0M, resulting in an operating profit margin of 9.7%. This margin reflects the operational efficiency of the business before interest and taxes.
First Western Financial, Inc. (MYFW) generated $97.8M in gross profit for the year, representing a gross profit margin of 52.5%. This demonstrates the company's core pricing power and production efficiency.