Company: BWFG
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001505732-25-000162
Chunk: 83

Company: Bankwell Financial Group, Inc.
Filing Date: 2025-11-05
Form: 10-Q
Item: Part I, Item 1
Chunk 83
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420 6,516 627 18,582 Balance at end of period$29,984 $27,752 $29,984 $27,752 Net (recoveries) charge-offs to average loans(0.01)%0.56 %(0.01)%0.70 %ACL-Loans to total loans1.10 %1.06 %1.10 %1.06 %

At September 30, 2025, our ACL-Loans was $30.0 million and represented 1.10% of total gross loans, compared to $29.0 million or 1.07% of total gross loans, at December 31, 2024.

The following table presents the allocation of the ACL-Loans balance and the related allocation percentage of these loans across the total loan portfolio:

September 30, 2025December 31, 2024(Dollars in thousands)ACL-Loans AmountACL-Loans PercentageLoan Segment to Total Loans PercentageACL-Loans AmountACL-Loans PercentageLoan Segment to Total Loans PercentageResidential real estate$58 0.2 %1.3 %$94 0.3 %1.6 %Commercial real estate20,338 67.8 69.8 21,838 75.3 70.2 Construction2,548 8.5 6.3 2,059 7.1 6.4 Commercial business5,772 19.3 20.3 4,070 14.0 19.0 Consumer1,268 4.2 2.3 946 3.3 2.8 Total ACL-Loans$29,984 100.0 %100.0 %$29,007 100.0 %100.0 %

The allocation of the ACL-Loans at September 30, 2025 reflects our assessment of credit risk and probable loss within each portfolio. We believe that the level of the ACL-Loans at September 30, 2025 is appropriate to cover probable losses.

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ACL- Unfunded Commitments

The ACL-Unfunded Commitments provision is based on "forward looking" losses inherent with funding the unused portion of legal commitments to lend. The reserve for unfunded credit commitments is included within other liabilities in the accompanying Consolidated Balance Sheets. Changes