Company: BWFG
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001505732-25-000162
Chunk: 74

Company: Bankwell Financial Group, Inc.
Filing Date: 2025-11-05
Form: 10-Q
Item: Part I, Item 1
Chunk 74
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5 was $0.4 million compared to a provision for credit losses of $6.3 million for the three months ended September 30, 2024. The provision for credit losses for the nine months ended September 30, 2025 was $0.4 million compared to a provision for credit losses of $18.2 million for the nine months ended September 30, 2024. The reduction in the credit for credit losses was primarily driven by charge-offs recorded during the three- and nine-month periods of the prior year.

56

Noninterest Income

Noninterest income is a component of our revenue and is comprised primarily of fees generated from deposit relationships with our clients, fees generated from sales and referrals of loans, and income earned on bank-owned life insurance.

The following tables compare noninterest income for the three and nine months ended September 30, 2025 and 2024:

Three Months Ended September 30,Change(Dollars in thousands)20252024$%Gains and fees from sales of loans$1,372 $133 $1,239 FavorableBank-owned life insurance359 346 13 3.8 Service charges and fees779 575 204 35.5 Other(15)102 (117)UnfavorableTotal noninterest income$2,495 $1,156 $1,339 Favorable

Nine Months Ended September 30,Change(Dollars in thousands)20252024$%Gains and fees from sales of loans$2,894 $499 $2,395 FavorableBank-owned life insurance1,055 1,008 47 4.7 Service charges and fees2,055 1,374 681 49.6 Other8 (127)135 FavorableTotal noninterest income$6,012 $2,754 $3,258 Favorable

Noninterest income increased by $1.3 million for the three months ended September 30, 2025 compared to the three months ended September 30, 2024. Noninterest income increased by $3.3 million for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024. The increase in noninterest income for the three and nine months ended September 30, 2025 was driven by higher gains from SBA loan sales.

57

Noninterest Expense

The