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First Northwest Bancorp Reports Turnaround in Q2 2025

First Northwest Bancorp Reports Turnaround in Q2 2025

First Northwest Bancorp ( (FNWB) ) has released its Q2 earnings. Here is a breakdown of the information First Northwest Bancorp presented to its investors.

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First Northwest Bancorp, a financial holding company based in Port Angeles, Washington, operates through its subsidiary First Fed Bank, offering a range of financial services primarily in the Pacific Northwest. The company focuses on sustainable earnings and strategic partnerships to deliver modern financial services.

First Northwest Bancorp reported a significant turnaround in its financial performance for the second quarter of 2025, achieving a net income of $3.7 million compared to a net loss in previous quarters. This improvement is attributed to increased profitability metrics and strategic financial management.

Key financial highlights include a rise in net interest margin to 2.83% and an improvement in the efficiency ratio to 78.0%. The company also recorded a recapture of provision for credit losses and saw growth in customer deposits. Strategic moves included consolidating business centers to reduce costs and managing capital prudently by not declaring a dividend this quarter.

Looking ahead, First Northwest Bancorp remains focused on its strategic objectives, including a search for a new CEO and defending against ongoing legal proceedings. The company aims to build on positive trends and maintain a strong balance sheet to support its long-term goals.

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