NRIM

Northrim BanCorp (NRIM) came out with quarterly earnings of $0.68 per share, beating the Zacks Consensus Estimate of $0.61 per share. This compares to earnings of $0.52 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +11.48%. A quarter ago, it was expected that this holding company for Northrim Bank would post earnings of $0.53 per share when it actually produced earnings of $0.61, delivering a surprise of +15.09%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Northrim, which belongs to the Zacks Banks - West industry, posted revenues of $53.87 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 3.11%. This compares to year-ago revenues of $50.23 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Northrim shares have added about 4.9% since the beginning of the year versus the S&P 500's gain of 9.7%. While Northrim has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Northrim was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.67 on $54.25 million in revenues for the coming quarter and $2.53 on $210.25 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks - West is currently in the top 19% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Columbia Banking (COLB), is yet to report results for the quarter ended June 2026. The results are expected to be released on July 23. This bank holding company is expected to post quarterly earnings of $0.73 per share in its upcoming report, which represents a year-over-year change of -4%. The consensus EPS estimate for the quarter has been revised 1.9% lower over the last 30 days to the current level. Columbia Banking's revenues are expected to be $688.41 million, up 34.7% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Northrim BanCorp Inc (NRIM) : Free Stock Analysis Report Columbia Banking System, Inc. (COLB) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

ANCHORAGE, Alaska, July 22, 2026 (GLOBE NEWSWIRE) -- Northrim BanCorp, Inc. (NASDAQ:NRIM) (“Northrim” or the “Company”) today reported net income of $15.3 million, or $0.68 per diluted share, in the second quarter of 2026, compared to $13.7 million, or $0.61 per diluted share, in the first quarter of 2026, and $11.8 million, or $0.52 per diluted share, in the second quarter a year ago. The increase in the second quarter 2026 profitability as compared to the second quarter a year ago was mostly due to an increase in net interest income. Dividends per share in the second quarter of 2026 remained consistent with quarterly dividends in 2025 and the first quarter of 2026 at $0.16 per share. “Another quarter of record net interest income and continued loan and deposit growth reflects the strength of our relationship-driven banking model and our disciplined execution,” said Mike Huston, Northrim's President and Chief Executive Officer. “Our investments in people, technology and customer relationships continue to drive profitable growth, expand our market presence, and create long-term value for our shareholders. We were also pleased to expand our footprint during the quarter with the opening of our Palmer branch, further strengthening our ability to serve communities across Alaska.” Second Quarter 2026 Highlights: Opened a branch in Palmer, Alaska, Northrim's 21st branch. Net interest income in the second quarter of 2026 increased 7% to $37.1 million compared to $34.7 million in the first quarter of 2026 and increased 11% compared to $33.6 million in the second quarter of 2025. Net interest margin on a tax equivalent basis (“NIMTE”)* was 5.01% for the second quarter of 2026, up 24-basis points from the first quarter of 2026 and up 29-basis points from the second quarter a year ago. Return on average assets (“ROAA”) was 1.84% and return on average equity (“ROAE”) was 17.77% for the second quarter of 2026 compared to ROAA of 1.69% and ROAE of 16.60% in the prior quarter and ROAA of 1.48% and ROAE of 16.37% for the second quarter of 2025. Portfolio loans were $2.39 billion at June 30, 2026, up 1% from the preceding quarter and up 8% from a year ago, primarily due to new customer relationships and expanding market share, as well as retaining certain mortgages originated by Residential Mortgage, a subsidiary of Northrim Bank (the “Bank”). Core loans (excluding consumer mortgages) were $2.13 billion at June 30, 2026, up 7% from a year ago. Total deposits were $2.92 billion at June 30, 2026, up 2% from the preceding quarter, and up 4% from $2.81 billion a year ago. Non-interest bearing demand deposits remained consistent with the preceding quarter and increased 6% year-over-year to $826.3 million at June 30, 2026 and represent 28% of total deposits. The average cost of interest-bearing deposits was 1.71% at June 30, 2026, down from 1.77% at March 31, 2026 and 2.04% at June 30, 2025. Average purchased receivables and loan balances for the Specialty Finance segment were $141.5 million for the second quarter of 2026, compared to an average balance of $132.2 million for the first quarter of 2026, and $124.1 million for the second quarter of 2025. Alaska Economic Update(Note: sources for information included in this section are included on page 13.) Alaska’s seasonally adjusted unemployment rate was 4.6% in May of 2026, compared to 4.3% for the United States, according to the Alaska Department of Labor and Workforce Development. Both rates were unchanged from April of 2026. Alaska had a total of 343,600 payroll jobs in May of 2026 in Alaska, not including uniformed military. This was consistent with May of 2025. Year over year, the private sector grew by 0.9%, while the government sector declined 2.9%. The Federal component lost 1,500 jobs, or -9.8% since May of 2025, the State of Alaska decreased -700 jobs or 2.9% and Local government decreased -0.5%. The largest private sector growth came from Oil & Gas, up 1,000 direct jobs or +11.6%. Transportation, Warehousing and Utilities grew 1,600 jobs or +5.9% and Financial Activities added 200 jobs or +1.9%. Alaska’s seasonally adjusted aggregate personal income was $60 billion in the first quarter of 2026 according to the Federal Bureau of Economic Analysis (“BEA”). Alaska enjoyed an annual personal income improvement of 2.9% between the first quarter of 2025 and the first quarter of 2026. Based on a population estimate of 736,884 people, the per capita personal income in Alaska was $81,386. This is compared to the U.S. average of $77,816, according to the BEA, ranking Alaska 11th highest of the 50 U.S. states. Alaska’s Gross State Product (“GSP”) in the first quarter of 2026 reached $78.8 billion according to the BEA. Alaska’s inflation adjusted “real” GSP increased 2.1% between the first quarter of 2025 and 2026. The average U.S. GDP growth rate was 2.7% for the same time period. Alaska exported $6.7 billion in goods directly to foreign countries in 2025 according to the U.S. Census Bureau, a 13.4% increase over 2024 totals. South Korea took over the top trade spot by importing $1.1 billion in goods directly from Alaska. This was a 73% increase over 2024. South Korea imports significant quantities of fish, lead and zinc. The rapid growth primarily came from $515 million in gold and silver purchases in 2025. Australia imported over $1 billion in goods, primarily gold, zinc and lead. Australia’s growth rate in Alaska products was 30% in 2025. Japan moved up to the third spot with a 38% growth in purchases totaling $927 million in 2025. Japan has been a leading customer of a large variety of fish products from Alaska for decades and also purchases an array of minerals. China slipped from first to fourth place due to complex U.S. tariff negotiations. China’s imports from Alaska dropped 47% from $1.5 billion in 2024 to $803 million in 2025. Oil & Gas does not contribute a significant amount to international exports ($246 million in 2025) because the majority of Alaska’s production is refined and consumed within the United States. According to the U.S. Bureau of Labor Statistics, the Consumer Price Index (“CPI”) for the U.S. increased 3.8% between April of 2025 and April of 2026. In Alaska, the rate of increase was higher at 4.3% for the same time period. The largest increases since last April came from Motor Fuel (+33.1%), Apparel (+15%), Recreation (+5.3%), and Housing (+4.8%). There were declining costs in New and Used Vehicles (-2.8%), and Education (-2%), to help moderate inflationary pressures in Alaska. The monthly average price of Alaska North Slope (“ANS”) crude oil ranged between $76.39 a barrel in January of 2025 and $62.70 in December 2025. Prices began to rise dramatically in 2026 after conflicts began in Venezuela and Iran. ANS was priced at a monthly average price of $111.17 in April of 2026 and $114.66 a barrel in May of 2026. ANS has been earning a consistent premium over Brent and West Texas crude prices. The Alaska Department of Revenue (“DOR”) calculated ANS crude oil production was 468 thousand barrels per day (“bpd”) in Alaska’s fiscal year ending June 30, 2025. In the Fall 2025 Revenue Forecast published December 19, 2025, the DOR expects production to average 457 thousand bpd in fiscal year 2026 and 518 thousand bpd in fiscal year 2027. Over the next decade it is expected to continue to grow to 621 thousand bpd, or 33% by fiscal year 2036. This is primarily a result of new production coming on-line in and around the NPR-A region west of Prudhoe Bay. A partnership between Santos and Repsol is constructing the new Pikka field and ConocoPhillips is developing the large new Willow field. There are also several smaller new fields in Alaska’s North Slope that are contributing to the State of Alaska’s production growth estimate. The Alaska Permanent Fund is seeded annually by the natural resource wealth the State continues to save each year and has grown significantly over 40 years of successful investment. As of May 31, 2026 the fund’s value was $92.2 billion. According to the DOR it is scheduled to contribute $3.8 billion to Alaska’s General Fund in fiscal year 2026 and $4 billion in fiscal year 2027 for general government spending and to pay the annual dividend in October to Alaskan residents. According to the Alaska Multiple Listing Services, the average sales price of a single-family home in Anchorage rose 4.4% in 2025 to $532,339, following an increase of 6.2% in 2024 and 5.2% in 2023. This was the eighth consecutive year of price increases. In the first six months of 2026, prices are up 6.5% on average to $567,221. The average sales price for single family homes in the Matanuska Susitna Borough rose 6.6% in 2025 to $440,217, after climbing 3.8% in 2024 and 4% in 2023. In the first half of 2026 average prices in the Matanuska Susitna Borough are up 2.9%. This continues a trend of average price increases for more than a decade in the region. These two markets represent where the majority of the Bank’s residential lending activity occurs. The Alaska Multiple Listing Services reported a 1% increase in the number of units sold in Anchorage when comparing January to June 2026 to the same period in 2025. The number of homes sold in the Matanuska Susitna Borough in the first half of 2026 is 1.9% lower than January to June 2025. Northrim Bank sponsors the Alaskanomics blog to provide news, analysis, and commentary on Alaska’s economy. Join the conversation at Alaskanomics.com, or for more information on the Alaska economy, visit: www.northrim.com and click on the “Business Banking” link and then click “Learn.” Information from our website is not incorporated into, and does not form, a part of this earnings release. Review of Income Statement Consolidated Income Statement Net Interest Income/Net Interest Margin Net interest income increased 7% to $37.1 million in the second quarter of 2026 compared to $34.7 million in the first quarter of 2026 and increased 11% compared to $33.6 million in the second quarter of 2025. Interest expense on deposits decreased to $8.8 million in the second quarter of 2026 compared to $9.0 million in the first quarter of 2026 and $10.3 million in the second quarter of 2025. NIMTE* was 5.01% in the second quarter of 2026 up from 4.77% in the preceding quarter and 4.72% in the second quarter a year ago. NIMTE* increased 29 basis points in the second quarter of 2026 compared to the second quarter of 2025 primarily due to a favorable change in the mix of earning-assets towards higher loan balances as a percentage of total earning-assets and lower cost of funds due to lower rates on deposits, which were only partially offset by increased borrowing costs. The weighted average interest rate for new loans booked in the second quarter of 2026 was 7.25% compared to 6.70% in the first quarter of 2026 and 7.27% in the second quarter a year ago. The yield on the investment portfolio in the second quarter of 2026 increased to 3.79% from 3.44% in the first quarter of 2026 and 3.07% in the second quarter of 2025. “We saw a slight increase in our loan yields as a result of loan repricing and investment yields from new higher yield purchases. We are also continuing to see impacts from the decrease in our deposit costs from maturing of higher priced time deposits,” said Jed Ballard, Chief Financial Officer. Northrim’s NIMTE* continues to remain above the peer average of 3.45% posted by the S&P U.S. Small Cap Bank Index with total market capitalization between $250 million and $1 billion as of March 31, 2026. Provision for Credit Losses Northrim recorded a provision for credit losses of $1.6 million in the second quarter of 2026, which was comprised of a provision for credit losses on loans of $760,000, a $242,000 provision for credit losses on unfunded commitments, and a provision for credit losses on purchased receivables of $625,000. This compares to a provision for credit losses of $960,000 in the first quarter of 2026, which was comprised of a provision for credit losses on loans of $1.3 million, a $322,000 benefit to the provision for credit losses on unfunded commitments, and a benefit to the provision for credit losses on purchased receivables of $5,000. In the second quarter a year ago, Northrim recorded a provision for credit losses of $2.0 million which was comprised of a $1.8 million provision for credit losses on loans, a $157,000 provision for credit losses on unfunded commitments, and a provision for credit losses on purchased receivables of $18,000. Nonperforming assets (“NPAs”), net of government guarantees, increased during the quarter to $23.0 million at June 30, 2026, compared to $15.3 million at March 31, 2026, and increased compared to $11.9 million at June 30, 2025. The increase in NPAs was primarily in the Community Banking segment and was mostly attributable to one relationship which includes both commercial real estate and commercial loans which are well-collateralized. The allowance for credit losses on loans was 117% of nonperforming loans, net of government guarantees, at the end of the second quarter of 2026, compared to 175% three months earlier and 290% a year ago. Other Operating Income In addition to home mortgage lending, Northrim has interests in other businesses that complement its core community banking activities, including purchased receivables financing. Other operating income contributed $16.7 million, or 31% of total second quarter 2026 revenues, as compared to $14.9 million, or 30% of revenues in the first quarter of 2026, and $16.6 million, or 33% of revenues in the second quarter of 2025. The increase in other operating income in the second quarter of 2026 as compared to the first quarter of 2026 is primarily the result of higher mortgage banking income due to a higher volume of mortgage activity. See further discussion regarding mortgage activity contained under “Home Mortgage Lending” below. Other Operating Expenses Operating expenses were $32.0 million in the second quarter of 2026, compared to $30.6 million in the first quarter of 2026, and $32.5 million in the second quarter of 2025. The increase in other operating expenses in the second quarter of 2026 compared to the first quarter of 2026 was primarily due to an increase in salaries and other personnel expense, mostly due to a $819,000 increase in mortgage originator commission expense, from an increase in mortgage production, as well as a $661,000 increase in group medical expenses. Income Tax Provision In the second quarter of 2026, Northrim recorded $4.9 million in state and federal income tax expense for an effective tax rate of 24.1%, compared to $4.3 million, or 23.9% in the first quarter of 2026 and $4.0 million, or 25.3% in the second quarter a year ago. The decrease in the tax rate in the second quarter of 2026 as compared to the second quarter of 2025 is primarily the result of an increase in tax credits and tax exempt interest income as a percentage of pre-tax income. Community Banking Northrim is committed to meeting the needs of the diverse communities in which it operates. As a testament to that support, the Bank has branches in four regions of Alaska identified by the Federal Reserve as 'distressed or underserved non-metropolitan middle-income geographies'. Net interest income in the Community Banking segment totaled $33.2 million in the second quarter of 2026, compared to $31.8 million in the first quarter of 2026 and $30.0 million in the second quarter of 2025. Net interest income increased $3.2 million or 11% in the second quarter of 2026 as compared to the second quarter of 2025 mostly due to higher interest income on loans, on investments, and on deposits in banks as well as lower interest expense on deposits. This increase was only partially offset by higher interest expense on borrowings, as a result of the issuance of subordinated debt in the fourth quarter of 2025. The provision for credit losses in the Community Banking segment was $503,000 in the second quarter of 2026 compared to $153,000 in the first quarter of 2026 and $1.3 million in the same quarter a year ago. The increase in the provision for credit losses in the Community Banking segment in the second quarter of 2026 as compared to the prior quarter was primarily due to higher growth in loans in this segment during the quarter and an increase in qualitative factors to account for the increase in nonperforming loans, net of government guarantees to $22.3 million at the end of second quarter of 2026 compared to $14.8 million at the end of the first quarter of 2026. The decrease in the provision for credit losses in the second quarter of 2026 compared to the same quarter a year ago was primarily a result of larger increases in qualitative factors due to an increase in adversely classified assets, net of government guarantees in the second quarter of 2025. The decrease in other operating income in the Community Banking segment in the second quarter of 2026 as compared to the second quarter of 2025 was primarily the result of lower merchant fees and a decrease in the fair value of commercial servicing rights, which were only partially offset by higher service charges on deposit accounts and bankcard fees. Other operating expenses in the Community Banking segment totaled $20.4 million in the second quarter of 2026, relatively unchanged from $20.4 million in the first quarter of 2026, and down $1.3 million or 6% from $21.8 million in the second quarter a year ago. The decrease in other operating expenses in the second quarter of 2026 as compared to the same quarter a year ago was mostly due to a decrease in salaries and other personnel expense due to lower group medical claims expense and lower accruals for profit sharing and related taxes, as well as decreases in FDIC insurance expense due to improved regulatory capital ratios and marketing expense. These decreases were only partially offset by an increase in professional fees. The following table provides highlights of the Community Banking segment of Northrim: Home Mortgage Lending During the second quarter of 2026, mortgage loans funded for sale were $239.1 million, compared to $123.4 million in the first quarter of 2026, and $249.7 million in the second quarter of 2025. During the second quarter of 2026, the Bank purchased loans of $27.9 million from its subsidiary, Residential Mortgage, of which approximately one-third were jumbos, one-third were adjustable rate mortgages, and the remaining one-third were primarily second homes with a weighted average interest rate of 6.35%, as compared to $28.3 million and 6.01% in the first quarter of 2026, and $27.5 million and 6.39% in the second quarter of 2025. Net interest income contributed $3.5 million to Home Mortgage Lending revenue in the second quarter of 2026, up from $2.8 million in the prior quarter, and consistent with $3.5 million in the second quarter a year ago. The Company reclassified $100 million in consumer mortgages held for investment to held for sale in the first quarter of 2025 and recorded unrealized losses of $1.2 million related to this portfolio in the first quarter of 2025. In the second quarter of 2025, the Company sold $61 million of the $100 million that was reclassified to loans held for sale in the first quarter of 2025 for a total realized loss of $545,000. In the third quarter of 2025, the Company sold $16 million of the $100 million that was reclassified to loans held for sale in the first quarter of 2025 for a total realized loss of $37,000. In the second quarter of 2026, the Company sold the remaining $23 million of the $100 million that was reclassified to loans held for sale in the first quarter of 2025 and an additional $22 million of consumer mortgages held for investment for a total realized gain of $243,000. The Arizona, Colorado, and Pacific Northwest mortgage expansion markets were responsible for 27% of Residential Mortgage's $222 million total production in the second quarter of 2026 (excluding the $45 million in mortgages sold noted above), 35% of the $152 million total production in the first quarter of 2026, and 22% of the $216 million total production in the second quarter of 2025 (excluding the $61 million in mortgages sold noted above). The provision for credit losses in the Home Mortgage Lending segment was $279,000 in the second quarter of 2026 compared to $562,000 in the first quarter of 2026 and $639,000 provision for credit losses in the second quarter of 2025. The decrease in the provision for credit losses in the second quarter of 2026 in the Home Mortgage Lending segment as compared to the prior quarter was primarily a result of the sale of mortgage loans. The net change in fair value of mortgage servicing rights decreased mortgage banking income by $928,000 during the second quarter of 2026 compared to a decrease of $127,000 for the first quarter of 2026 and a decrease of $818,000 for the second quarter of 2025. Mortgage servicing revenue decreased slightly to $2.6 million in the second quarter of 2026 from $2.7 million in the prior quarter and $3.0 million in the second quarter of 2025. Mortgage servicing revenue fluctuates based on production of Alaska Housing Finance Corporation (“AHFC”) mortgages, which contribute to servicing revenues at origination. In the second quarter of 2026, the Company's mortgage servicing portfolio consisted of $1.66 billion of mortgage loans which increased $17.2 million compared to a $12.7 million increase in the first quarter of 2026, and an increase of $69.3 million in the second quarter of 2025. The following table provides highlights of the Home Mortgage Lending segment of Northrim: Specialty Finance Average purchased receivables and loan balances for the Specialty Finance segment were $141.5 million for the second quarter of 2026, compared to average balance of $132.2 million for the first quarter of 2026, and $124.1 million for the second quarter of 2025. The following table provides highlights of the Specialty Finance segment of Northrim: Balance Sheet Review Northrim’s total assets were $3.42 billion at June 30, 2026, up 2% from the preceding quarter and up 5% from a year ago. Northrim’s loan-to-deposit ratio was 82% at both June 30, 2026 and March 31, 2026, up from 78% at June 30, 2025. At June 30, 2026, liquid assets, investments, and loans maturing within one year were $1.11 billion and funds available for borrowing under existing lines of credit were $560.6 million. Given these sources of liquidity and our expectations for customer demands for cash and for our operating cash needs, we believe our sources of liquidity to be sufficient for the foreseeable future. Average interest-earning assets were $3.00 billion in the second quarter of 2026, up 1% from $2.97 billion in the first quarter of 2026 and up 4% from $2.89 billion in the second quarter a year ago. The average yield on interest-earning assets was 6.35% in the second quarter of 2026, up from 6.17% in the preceding quarter and up from 6.27% in the second quarter of 2025. Average investment securities decreased to $450.4 million in the second quarter of 2026, compared to $466.4 million in the first quarter of 2026 and $515.9 million in the second quarter a year ago. The average net tax equivalent yield on the securities portfolio was 3.79% for the second quarter of 2026, up from 3.44% in the preceding quarter and up from 3.07% in the year ago quarter. The average estimated duration of the investment portfolio at June 30, 2026, was approximately 2.5 years compared to approximately 2.4 years at June 30, 2025. As of June 30, 2026, $87.0 million of available for sale securities with a weighted average yield of 1.30% are scheduled to mature in the next six months, $63.7 million with a weighted average yield of 3.15% are scheduled to mature in six months to one year, and $87.1 million with a weighted average yield of 3.75% are scheduled to mature in the following year, representing a total of $237.7 million or 8% of earning assets that are scheduled to mature in the next 24 months. Average interest bearing deposits in other banks decreased to $85.1 million in the second quarter of 2026 from $123.6 million in the first quarter of 2026 and increased from $27.2 million in the second quarter of 2025. The decrease in the second quarter of 2026 compared to the first quarter of 2026 is primarily due to an increase in portfolio loans. The increase in the second quarter of 2026 compared to the same quarter a year ago is primarily due to an increase in deposits. Loans held for sale increased to $83.3 million at June 30, 2026, compared to $81.2 million at March 31, 2026 and decreased compared to $127.1 million a year ago. Portfolio loans were $2.39 billion at June 30, 2026, up 1% from the preceding quarter and up 8% from a year ago. Portfolio loans, excluding consumer mortgage loans, were $2.13 billion at June 30, 2026, up $31.8 million from the preceding quarter and up $130.7 million or 7% from a year ago. Average portfolio loans in the second quarter of 2026 were $2.38 billion, up 3% from the preceding quarter, and up 10% from a year ago. Yields on average portfolio loans in the second quarter of 2026 increased to 6.94% from 6.86% in the first quarter of 2026 and down slightly from 6.99% in the second quarter of 2025. The yield on new portfolio loans, excluding consumer mortgage loans, was 7.61% in the second quarter of 2026 as compared to 6.94% in the first quarter of 2026 and 7.45% in the second quarter of 2025. Alaskans continue to account for substantially all of Northrim’s deposit base. Total deposits were $2.92 billion at June 30, 2026, up 2% from $2.87 billion at March 31, 2026, and up 4% from $2.81 billion a year ago. At June 30, 2026, 76% of total deposits were held in business accounts and 24% of deposit balances were held in consumer accounts. Northrim had approximately 33,000 deposit customers with an average balance of $65,000 as of June 30, 2026. Northrim had 33 customers with balances over $10 million as of June 30, 2026, which accounted for $745.7 million, or 26%, of total deposits. Demand deposits remained consistent with the prior quarter and increased 6% from the prior year to $826.3 million at June 30, 2026. Demand deposits were 28% of total deposits at June 30, 2026 down from 29% at March 31, 2026 and consistent with 28% of total deposits at June 30, 2025. Average interest-bearing deposits were down slightly to $2.06 billion with an average cost of 1.71% in the second quarter of 2026, compared to $2.07 billion and an average cost of 1.77% in the first quarter of 2026, and up 1% compared to $2.03 billion and an average cost of 2.04% in the second quarter of 2025. Uninsured deposits totaled $1.14 billion or 39% of total deposits as of June 30, 2026 compared to $1.07 billion or 38% of total deposits as of December 31, 2025. Shareholders’ equity was $347.6 million, or $15.63 book value per share, at June 30, 2026, compared to $335.8 million, or $15.10 book value per share, at March 31, 2026 and $290.2 million, or $13.14 book value per share, a year ago. Tangible book value per share* was $13.34 at June 30, 2026, compared to $12.81 at March 31, 2026, and $10.84 per share a year ago. The increase in shareholders’ equity in the second quarter of 2026 as compared to the first quarter of 2026 was largely the result of earnings of $15.3 million, which were partially offset by dividends paid of $3.6 million and a decrease in the fair value of the available for sale securities portfolio, which decreased $378,000, net of tax. The Company did not repurchase any shares of common stock in the second quarter of 2026 and currently has no plans to repurchase shares this year. Tangible common equity to tangible assets* was 8.82% as of June 30, 2026, compared to 8.63% as of March 31, 2026 and 7.50% as of June 30, 2025. Northrim continues to maintain capital levels in excess of the requirements to be categorized as “well-capitalized” with Tier 1 Capital to Risk Adjusted Assets of 11.26% at June 30, 2026, compared to 10.95% at March 31, 2026, and 9.80% at June 30, 2025. Asset Quality Northrim believes it has a consistent lending approach throughout economic cycles, which emphasizes appropriate loan-to-value ratios, adequate debt coverage ratios, and competent management. NPAs net of government guarantees were $23.0 million at June 30, 2026, up from $15.3 million at March 31, 2026 and up from $11.9 million a year ago. Of the NPAs at June 30, 2026, $18.6 million are attributable to the Community Banking segment, $3.9 million are attributable to the Specialty Finance segment, and $494,000 are attributable to the Home Mortgage Lending segment. Net adversely classified loans were $33.4 million at June 30, 2026, as compared to $34.3 million at December 31, 2025, and $35.8 million a year ago. Adversely classified loans are loans that Northrim has classified as substandard, doubtful, and loss, net of government guarantees. Net loan charge-offs were $111,000 in the second quarter of 2026, compared to net loan charge-offs of $211,000 in the first quarter of 2026, and net loan charge-offs of $140,000 in the second quarter of 2025. Additionally, Northrim had 9 existing loan modifications to borrowers experiencing financial difficulty totaling $3.8 million, net of government guarantees that had been modified in the last twelve months as of June 30, 2026. Northrim had $153.1 million, or 6% of portfolio loans, in the Accommodations sector, $133.3 million, or 6% of portfolio loans, in the Healthcare sector, $113.4 million, or 5% of portfolio loans, in the Tourism sector, $101.5 million, or 4% of portfolio loans, in the Retail sector, $94.0 million, or 4% of portfolio loans, in the Aviation (non-tourism) sector, $71.2 million, or 3% of portfolio loans, in the Fishing sector, and $64.2 million, or 3% in the Restaurants and Breweries sector as of June 30, 2026. Northrim estimates that $128.6 million, or approximately 5% of portfolio loans, had direct exposure to the oil and gas industry in Alaska, as of June 30, 2026, and $0.4 million of these loans are adversely classified. As of June 30, 2026, Northrim has an additional $89.0 million in unfunded commitments to companies with direct exposure to the oil and gas industry in Alaska, and no unfunded commitments on adversely classified loans. Northrim defines direct exposure to the oil and gas sector as loans to borrowers that provide oilfield services and other companies that have been identified as significantly reliant upon activity in Alaska related to the oil and gas industry, such as lodging, equipment rental, transportation and other logistics services specific to this industry. About Northrim BanCorp Northrim BanCorp, Inc. is the parent company of Northrim Bank, an Alaska-based community bank with 21 branches throughout the state and differentiates itself with its detailed knowledge of Alaska’s economy and its “Customer First Service” philosophy. The Bank has two wholly-owned subsidiaries, Sallyport Commercial Finance, LLC, a specialty finance company and Residential Mortgage Holding Company, LLC, a regional home mortgage company. Pacific Wealth Advisors, LLC is an affiliated company. www.northrim.com Forward-Looking Statement This release may contain “forward-looking statements” as that term is defined for purposes of Section 21E of the Securities Exchange Act of 1934, as amended. These statements are, in effect, management’s attempt to predict future events, and thus are subject to various risks and uncertainties. Readers should not place undue reliance on forward-looking statements, which reflect management’s views only as of the date hereof. All statements, other than statements of historical fact, regarding our financial position, business strategy, management’s plans and objectives for future operations are forward-looking statements. When used in this report, the words “anticipate,” “believe,” “estimate,” “expect,” and “intend” and words or phrases of similar meaning, as they relate to Northrim and its management are intended to help identify forward-looking statements. Although we believe that management’s expectations as reflected in forward-looking statements are reasonable, we cannot assure readers that those expectations will prove to be correct. Forward-looking statements, are subject to various risks and uncertainties that may cause our actual results to differ materially and adversely from our expectations as indicated in the forward-looking statements. These risks and uncertainties include: descriptions of Northrim’s financial condition, results of operations, asset based lending volumes, asset and credit quality trends and profitability; the ability of Northrim to execute its business plans; potential further increases in interest rates; the value of securities held in our investment portfolio; the impact of the results of government shutdowns and government initiatives on the regulatory landscape, natural resource extraction industries, and capital markets; the impact of declines in the value of commercial and residential real estate markets, high unemployment rates, tariffs, inflationary pressures and slowdowns in economic growth; changes in banking regulation or actions by bank regulators; potential further increases in inflation, supply-chain constraints, and potential geopolitical instability, including the wars in Ukraine and Iran; financial stress on borrowers (consumers and businesses) as a result of higher rates or an uncertain economic environment; the general condition of, and changes in, the Alaska economy; our ability to maintain or expand our market share or net interest margin; the sufficiency of our allowance for credit losses and the accuracy of the assumptions or estimates used in preparing our financial statements, including those related to current expected credit losses accounting guidance; our ability to maintain asset quality; our ability to implement our marketing and growth strategies; our ability to identify and address cyber-security risks, including security breaches, “denial of service attacks,” “hacking,” and identity theft and increased cyber threats due to artificial intelligence; disease outbreaks; and our ability to execute our business plan. Further, actual results may be affected by competition on price and other factors with other financial institutions; customer acceptance of new products and services; the regulatory environment in which we operate; and general trends in the local, regional and national banking industry and economy. In addition, there are risks inherent in the banking industry relating to collectability of loans and changes in interest rates. Many of these risks, as well as other risks that may have a material adverse impact on our operations and business, are identified in the “Risk Factors” section of our Annual Report on Form 10-K for the fiscal year ended December 31, 2025, and from time to time are disclosed in our other filings with the Securities and Exchange Commission. However, you should be aware that these factors are not an exhaustive list, and you should not assume these are the only factors that may cause our actual results to differ from our expectations. These forward-looking statements are made only as of the date of this release, and Northrim does not undertake any obligation to release revisions to these forward-looking statements to reflect events or conditions after the date of this release. References: https://www.bea.gov/ http://almis.labor.state.ak.us/ http://www.tax.alaska.gov/programs/oil/prevailing/ans.aspx http://www.tax.state.ak.us/ https://www.bls.gov/regions/west/news-release/consumerpriceindex_anchorage.htm https://www.alaskarealestate.com/MLSMember/RealEstateStatistics.aspx https://www.akleg.gov/basis/Bill/Text/34?Hsid=HJR011C https://www.trade.gov/data-visualization/tradestats-express-trade-partner-state https://tax.alaska.gov/programs/programs/reports/RSB.aspx?Year=2025&Type=Spring https://apfc.org https://www.capitaliq.spglobal.com/web/client?auth=inherit&overridecdc=1&#markets/indexFinancials Additional Financial Information(Dollars in thousands)(Unaudited) Additional Financial Information(Dollars in thousands)(Unaudited) Additional Financial Information(Dollars in thousands)(Unaudited) Additional Financial Information(Dollars in thousands)(Unaudited) Additional Financial Information(Dollars in thousands, except per share data)(Unaudited) *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data)(Unaudited) Non-GAAP financial measures have inherent limitations, are not required to be uniformly applied, and are not audited. Although we believe these non-GAAP financial measures are frequently used by stakeholders in the evaluation of the Company, they have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of results as reported under GAAP. Net interest margin on a tax equivalent basis Net interest margin on a tax equivalent basis (“NIMTE”) is a non-GAAP performance measurement in which interest income on non-taxable investments and loans is presented on a tax equivalent basis using a combined federal and state statutory rate of 28.43% in both 2025 and 2024. The most comparable GAAP measure is net interest margin and the following table sets forth the reconciliation of NIMTE to net interest margin for the periods indicated. *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data)(Unaudited) Tangible Book Value Per Share Tangible book value per share is a non-GAAP measure defined as shareholders’ equity, less intangible assets, divided by shares outstanding. The most comparable GAAP measure is book value per share and the following table sets forth the reconciliation of tangible book value per share and book value per share for the periods indicated. Tangible Common Equity to Tangible Assets Tangible common equity to tangible assets is a non-GAAP ratio that represents total equity less goodwill and intangible assets divided by total assets less goodwill and intangible assets. The most comparable GAAP measure of shareholders’ equity to total assets is calculated by dividing total shareholders’ equity by total assets and the following table sets forth the reconciliation of tangible common equity to tangible assets and shareholders’ equity to total assets for the periods indicated. *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data)(Unaudited) Pre-provision pre-tax net revenue Pre-provision pre-tax net revenue is a non-GAAP measure that represents income before provision for income taxes excluding the provision for credit losses. The most comparable GAAP measure is income before provision for income taxes and the following tables set forth the reconciliation of pre-provision pre-tax net revenue to income before provision for income taxes for the periods indicated. *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data)(Unaudited) Adjusted net income Adjusted net income is a non-GAAP measure that represents net income excluding the gain on sale of certain assets by Pacific Wealth Advisors The most comparable GAAP measure is net income and the following tables set forth the reconciliation of net income to adjusted net income for the periods indicated. Adjusted diluted earnings per share Adjusted diluted earnings per share is a non-GAAP measure that represents diluted earnings per share excluding the gain on sale of certain assets by Pacific Wealth Advisors The most comparable GAAP measure is diluted earnings per share and the following tables set forth the reconciliation of diluted earnings per share to adjusted diluted earnings per share for the periods indicated. *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data)(Unaudited) Adjusted return on average assets Adjusted return on average assets is a non-GAAP measure that represents the return on average assets excluding the gain on sale of certain assets by Pacific Wealth Advisors, net of tax expense. The most comparable GAAP measure is return on average assets and the following tables set forth the reconciliation of return on average assets to adjusted return on average assets for the periods indicated. Adjusted return on average shareholders' equity Adjusted return on average shareholders' equity is a non-GAAP measure that represents the return on average shareholders' equity excluding the gain on sale of certain assets by Pacific Wealth Advisors, net of tax expense. The most comparable GAAP measure is return on average shareholders' equity and the following tables set forth the reconciliation of return on average shareholders' equity to adjusted return on average shareholders' equity for the periods indicated. *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data)(Unaudited) Adjusted efficiency ratio Adjusted efficiency ratio is a non-GAAP measure that represents other operating expense to income excluding the gain on sale of certain assets by Pacific Wealth Advisors. The most comparable GAAP measure is the efficiency ratio and the following tables set forth the reconciliation of the efficiency ratio to adjusted efficiency ratio for the periods indicated. Note Transmitted on GlobeNewswire on July 22, 2026, at 3:50 pm Alaska Standard Time.

Zions (ZION) came out with quarterly earnings of $1.74 per share, beating the Zacks Consensus Estimate of $1.57 per share. This compares to earnings of $1.58 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +10.83%. A quarter ago, it was expected that this financial holding company would post earnings of $1.43 per share when it actually produced earnings of $1.56, delivering a surprise of +9.09%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Zions, which belongs to the Zacks Banks - West industry, posted revenues of $879 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 0.02%. This compares to year-ago revenues of $851 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Zions shares have added about 23.5% since the beginning of the year versus the S&P 500's gain of 8.9%. While Zions has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Zions was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.65 on $900.3 million in revenues for the coming quarter and $6.49 on $3.55 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks - West is currently in the top 18% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Northrim BanCorp (NRIM), is yet to report results for the quarter ended June 2026. This holding company for Northrim Bank is expected to post quarterly earnings of $0.62 per share in its upcoming report, which represents a year-over-year change of +19.2%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Northrim BanCorp's revenues are expected to be $53.1 million, up 5.7% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Zions Bancorporation, N.A. (ZION) : Free Stock Analysis Report Northrim BanCorp Inc (NRIM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Plumas Bancorp (PLBC) came out with quarterly earnings of $1.41 per share, beating the Zacks Consensus Estimate of $1.37 per share. This compares to earnings of $1.05 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +2.92%. A quarter ago, it was expected that this company would post earnings of $1.31 per share when it actually produced earnings of $1.38, delivering a surprise of +5.34%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Plumas Bancorp, which belongs to the Zacks Banks - West industry, posted revenues of $28.76 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 2.71%. This compares to year-ago revenues of $20.54 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Plumas Bancorp shares have added about 30.5% since the beginning of the year versus the S&P 500's gain of 10.2%. While Plumas Bancorp has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Plumas Bancorp was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.42 on $28.6 million in revenues for the coming quarter and $5.64 on $113.75 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks - West is currently in the top 21% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Northrim BanCorp (NRIM), is yet to report results for the quarter ended June 2026. This holding company for Northrim Bank is expected to post quarterly earnings of $0.62 per share in its upcoming report, which represents a year-over-year change of +19.2%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Northrim BanCorp's revenues are expected to be $53.1 million, up 5.7% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Plumas Bancorp (PLBC) : Free Stock Analysis Report Northrim BanCorp Inc (NRIM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Northrim BanCorp (NRIM) came out with quarterly earnings of $0.61 per share, beating the Zacks Consensus Estimate of $0.53 per share. This compares to earnings of $0.6 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +15.09%. A quarter ago, it was expected that this holding company for Northrim Bank would post earnings of $0.64 per share when it actually produced earnings of $0.54, delivering a surprise of -15.63%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Northrim, which belongs to the Zacks Banks - West industry, posted revenues of $49.54 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 1.52%. This compares to year-ago revenues of $45.5 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Northrim shares have lost about 9.2% since the beginning of the year versus the S&P 500's gain of 3.2%. While Northrim has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Northrim was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.64 on $53.4 million in revenues for the coming quarter and $2.60 on $212.6 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks - West is currently in the top 28% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Bank of Marin (BMRC), another stock in the same industry, has yet to report results for the quarter ended March 2026. The results are expected to be released on April 27. This bank holding company is expected to post quarterly earnings of $0.57 per share in its upcoming report, which represents a year-over-year change of +90%. The consensus EPS estimate for the quarter has been revised 0.6% lower over the last 30 days to the current level. Bank of Marin's revenues are expected to be $34.25 million, up 23.1% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Northrim BanCorp Inc (NRIM) : Free Stock Analysis Report Bank of Marin Bancorp (BMRC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

ANCHORAGE, Alaska, April 22, 2026 (GLOBE NEWSWIRE) -- Northrim BanCorp, Inc. (NASDAQ:NRIM) (“Northrim” or the “Company”) today reported net income of $13.7 million, or $0.61 per diluted share, in the first quarter of 2026, compared to $12.4 million, or $0.55 per diluted share, in the fourth quarter of 2025, and $13.3 million, or $0.60 per diluted share, in the first quarter a year ago. The increase in first quarter 2026 profitability as compared to the first quarter a year ago was mostly due to an increase in net interest income and higher mortgage banking income, which were partially offset by higher other operating expenses and an increase in the provision for credit losses. Dividends per share in the first quarter of 2026 remained consistent with quarterly dividends in 2025 at $0.16 per share. “2026 is off to a strong start as another quarter of core loan growth, continued deposit growth and normalized operating expenses reflects Northrim’s ability to consistently execute our strategy,” said Mike Huston, Northrim’s President and Chief Executive Officer. “Our investments in people, technology and customer relationships continue to drive profitable growth, strengthen our market position and create long-term value for our shareholders.” First Quarter 2026 Highlights: Net interest income in the first quarter of 2026 decreased 2% to $34.7 million compared to $35.4 million in the fourth quarter of 2025 and increased 11% compared to $31.3 million in the first quarter of 2025. Net interest margin on a tax equivalent basis (“NIMTE”)* was 4.77% for the first quarter of 2026, up 2-basis points from the fourth quarter of 2025 and up 16-basis points from the first quarter a year ago. Return on average assets (“ROAA”) was 1.69% and return on average equity (“ROAE”) was 16.60% for the first quarter of 2026 compared to ROAA of 1.50% and ROAE of 15.16% in the prior quarter and ROAA of 1.76% and ROAE of 19.70% for the first quarter of 2025. Portfolio loans were $2.36 billion at March 31, 2026, up 3% from the preceding quarter and up 11% from a year ago, primarily due to new customer relationships and expanding market share, as well as retaining certain mortgages originated by Residential Mortgage, a subsidiary of Northrim Bank (the “Bank”). Core loans (excluding consumer mortgages) were $2.09 billion at March 31, 2026, up 8% from a year ago. Total deposits were $2.87 billion at March 31, 2026, up 2% from the preceding quarter, and up 3% from $2.78 billion a year ago. Non-interest bearing demand deposits increased 14% from the preceding quarter and increased 11% year-over-year to $826.4 million at March 31, 2026 and represent 29% of total deposits. The average cost of interest-bearing deposits was 1.77% at March 31, 2026, down from 1.91% at December 31, 2025 and 2.01% at March 31, 2025. Average purchased receivables and loan balances for the Specialty Finance segment were $132.2 million for the first quarter of 2026, compared to average balance of $137.4 million for the fourth quarter of 2025, and $97.1 million for the first quarter of 2025. * NIMTE, pre-provision pre-tax net revenue, tangible book value per share, and tangible common equity to tangible common assets, (both of which exclude intangible assets), represent non-GAAP financial measures. Adjusted net income, adjusted diluted earnings per share, adjusted return on average assets, adjusted return on average shareholders' equity, and adjusted efficiency ratio items exclude the impact of the sale of assets by Pacific Wealth Management and also represent non-GAAP financial measures. Management has presented these non-GAAP measurements in this earnings release, because it believes these measures are useful to investors. See the end of this release for reconciliations of these non-GAAP financial measures to GAAP financial measures. Alaska Economic Update (Note: sources for information included in this section are included on page 12.) Alaska’s seasonally adjusted unemployment rate was 4.8% at the end of 2025, compared to 4.4% for the United States, according to the Alaska Department of Labor and Workforce Development. Alaska had a total of 323,900 payroll jobs in December of 2025 in Alaska, not including uniformed military. This was an increase of 0.5% or 1,500 jobs from December of 2024. Alaska’s seasonally adjusted aggregate personal income was $59.2 billion in the third quarter of 2025 according to the Federal Bureau of Economic Analysis (“BEA”). Alaska enjoyed an annual personal income improvement of 4.4% between the third quarter of 2024 and the third quarter of 2025. Per capita personal income in Alaska was estimated at $79,850 compared to the U.S. average of $76,513, according to the BEA, ranking Alaska 14th highest of the 50 U.S. states. Alaska’s Gross State Product (“GSP”) in the third quarter of 2025 reached $75.3 billion according to the BEA. Alaska’s inflation adjusted “real” GSP increased 1.5% in 2024, and 3.8% annualized through the third quarter of 2025. The average U.S. GDP growth rate was 2.8% for 2024, and 4.4% annualized through the third quarter of 2025. Alaska exported $6.7 billion in goods directly to foreign countries in 2025 according to the U.S. Census Bureau, a 13.4% increase over 2024 totals. South Korea took over the top trade spot by importing $1.1 billion in goods directly from Alaska. This was a 73% increase over 2024. South Korea imports significant quantities of fish, lead and zinc. The rapid growth came from $515 million in gold and silver purchases in 2025. Australia imported over $1 billion in goods, primarily gold, zinc and lead. Australia’s growth rate in Alaska products was 30% in 2025. Japan moved up to the third spot with a 38% growth in purchases totaling $927 million in 2025. Japan has been a leading customer of a large variety of fish products from Alaska for decades and also purchases an array of minerals. China slipped from first to fourth place due in part to complex U.S. tariff negotiations. China’s imports from Alaska dropped 47% from $1.5 billion in 2024 to $803 million in 2025. Oil & Gas does not contribute a significant amount to international exports ($246 million in 2025) because the majority of Alaska’s production is refined and consumed within the United States. According to the U.S. Bureau of Labor Statistics, the Consumer Price Index (“CPI”) for the U.S. increased 2.4% between February of 2025 and February of 2026. In Alaska, the rate of increase was lower at 1.5% for the same time period. The largest increases since last February came from Apparel (+9.7%), Motor Fuel (+4.9%), Housing (+3.3%), and Recreation (+2%). Slower increases or declining costs in Food and Beverage (+1.7%) Medical Care (+1.2%), Education (-1.3%), and Transportation (-3.3%), helped moderate inflationary pressures in Alaska relative to the U.S. in 2025. The monthly average price of Alaska North Slope (“ANS”) crude oil ranged between $76.39 a barrel in January of 2025 and $62.70 in December 2025. Prices began to rise dramatically in 2026 after conflict began in Venezuela and Iran. ANS was priced at $110 a barrel on March 31, 2026. The Alaska Department of Revenue (“DOR”) calculated ANS crude oil production was 468 thousand barrels per day (“bpd”) in Alaska’s fiscal year ending June 30, 2025. In the Fall 2025 Revenue Forecast published December 19, 2025, the DOR expects production to average 457 thousand bpd in fiscal year 2026 and 518 thousand bpd in fiscal year 2027. Over the next decade it is expected to continue to grow to 621 thousand bpd, or 33% by fiscal year 2036. This is primarily a result of new production coming on-line in and around the NPR-A region west of Prudhoe Bay. A partnership between Santos and Repsol is constructing the new Pikka field and ConocoPhillips is developing the large new Willow field. There are also several smaller new fields in Alaska’s North Slope that are contributing to the State of Alaska’s production growth estimate. The Alaska Permanent Fund is seeded annually by the oil wealth the State continues to save each year and has grown significantly over 40 years of successful investment. As of February 28, 2026 the fund’s value was $88.8 billion. According to the DOR it is scheduled to contribute $3.8 billion to Alaska’s General Fund in fiscal year 2026 and $4 billion in fiscal year 2027 for general government spending and to pay the annual dividend in October to Alaskan residents. According to the Alaska Multiple Listing Services, the average sales price of a single-family home in Anchorage rose 4.4% in 2025 to $532,339, following an increase of 6.2% in 2024 and 5.2% in 2023. This was the eighth consecutive year of price increases. The average sales price for single family homes in the Matanuska Susitna Borough rose 6.6% in 2025 to $440,217, after climbing 3.8% in 2024 and 4% in 2023. This continues a trend of average price increases for more than a decade in the region. These two markets represent where the majority of the Bank’s residential lending activity occurs. The Alaska Multiple Listing Services reported a 0.6% decrease in the number of units sold in Anchorage when comparing 2025 to 2024. There were 2,222 homes sold in 2025 and 2,235 sold in 2024. Last year there were 1,766 homes sold in the Matanuska Susitna Borough, compared to 1,632 in 2024, an increase of 8.2%. Northrim Bank sponsors the Alaskanomics blog to provide news, analysis, and commentary on Alaska’s economy. Join the conversation at Alaskanomics.com, or for more information on the Alaska economy, visit: www.northrim.com and click on the “Business Banking” link and then click “Learn.” Information from our website is not incorporated into, and does not form, a part of this earnings release. Review of Income Statement Consolidated Income Statement Net Interest Income/Net Interest Margin Net interest income decreased 2% to $34.7 million in the first quarter of 2026 compared to $35.4 million in the fourth quarter of 2025 and increased 11% compared to $31.3 million in the first quarter of 2025. Interest expense on deposits decreased to $9.0 million in the first quarter of 2026 compared to $10.1 million in the fourth quarter of 2025 and $9.9 million in the first quarter of 2025. NIMTE* was 4.77% in the first quarter of 2026 up from 4.75% in the preceding quarter and 4.61% in the first quarter a year ago. NIMTE* increased 2 basis points in the first quarter of 2026 compared to the fourth quarter of 2025 primarily due to a favorable change in the mix of earning-assets towards higher loan balances as a percentage of total earning-assets and lower cost of funds due to lower rates on deposits, which were only partially offset by increased borrowing balances and costs. The weighted average interest rate for new loans booked in the first quarter of 2026 was 6.70% compared to 6.78% in the fourth quarter of 2025 and 7.30% in the first quarter a year ago. The yield on the investment portfolio in the first quarter of 2026 increased to 3.44% from 3.18% in the fourth quarter of 2025 and 2.97% in the first quarter of 2025. “We did see a slight decrease in our loan yields as a result of interest rate cuts at the end of last year, however we are also seeing impacts from the decrease in our deposit costs benefiting our overall margin,” said Jed Ballard, Chief Financial Officer. Northrim’s NIMTE* continues to remain above the peer average of 3.48% posted by the S&P U.S. Small Cap Bank Index with total market capitalization between $250 million and $1 billion as of December 31, 2025. Provision for Credit Losses Northrim recorded a provision for credit losses of $960,000 in the first quarter of 2026, which was comprised of a provision for credit losses on loans of $1.3 million, a $322,000 benefit to the provision for credit losses on unfunded commitments, and benefit to the provision for credit losses on purchased receivables of $5,000. This compares to a provision for credit losses of $1.6 million in the fourth quarter of 2025, which was comprised of a provision for credit losses on loans of $990,000, a $757,000 provision for credit losses on unfunded commitments, and a benefit to the provision for credit losses on purchased receivables of $120,000. In the first quarter a year ago, Northrim recorded a benefit to the provision for credit losses of $1.4 million which was comprised of a $1.1 million benefit to the provision for credit losses on loans, a $322,000 benefit to the provision for credit losses on unfunded commitments, and a provision for credit losses on purchased receivables of $46,000. The $1.1 million benefit to the provision for credit losses on loans in the first quarter of 2025 was primarily the result of the reclassification of $100 million in mortgage loans to loans held for sale. Nonperforming assets (“NPAs”), net of government guarantees, increased during the quarter to $15.3 million at March 31, 2026, compared to $11.4 million at December 31, 2025, and increased compared to $12.3 million at March 31, 2025. The Community Banking segment added one loan and Specialty Finance segment added two loans to nonaccrual in the first quarter of 2026. The allowance for credit losses on loans was 175% of nonperforming loans, net of government guarantees, at the end of the first quarter of 2026, compared to 210% three months earlier and 262% a year ago. Other Operating Income In addition to home mortgage lending, Northrim has interests in other businesses that complement its core community banking activities, including purchased receivables financing. Other operating income contributed $14.9 million, or 30% of total first quarter 2026 revenues, as compared to $16.3 million, or 32% of revenues in the fourth quarter of 2025, and $13.0 million, or 29% of revenues in the first quarter of 2025. The decrease in other operating income in the first quarter of 2026 as compared to the fourth quarter of 2025 is primarily the result of a decrease in interest rate swap income of $343,000, as well as the increase in unrealized losses on marketable securities and the absence of the gain on the sale of certain assets by Pacific Wealth Advisors which occurred in the fourth quarter of 2025. Other Operating Expenses Operating expenses were $30.6 million in the first quarter of 2026, compared to $33.4 million in the fourth quarter of 2025, and $28.2 million in the first quarter of 2025. The decrease in other operating expenses in the first quarter of 2026 compared to the fourth quarter of 2025 was primarily due to a decrease in salaries and other personnel expense, mostly due to a $917,000 decrease in mortgage originator commission expense, as well as a $858,000 decrease in profit share and equity compensation expense. Additionally, marketing expense decreased due to timing of annual charitable contributions and some one-time expenses that occurred in the fourth quarter of 2025. Insurance expense decreased due to a decrease in FDIC insurance expense resulting primarily from higher capital ratios. The increase in total other operating expenses in the first quarter of 2026 compared to the first quarter a year ago was primarily due to an increase in salaries and other personnel expense, which was partially offset by a decrease in insurance expense mostly attributable to the Company's FDIC insurance expense. Income Tax Provision In the first quarter of 2026, Northrim recorded $4.3 million in state and federal income tax expense for an effective tax rate of 23.9%, compared to $4.2 million, or 25.1% in the fourth quarter of 2025 and $4.3 million, or 24.2% in the first quarter a year ago. The decrease in the tax rate in the first quarter of 2026 as compared to the fourth quarter of 2025 and first quarter of 2025 is primarily the result of an increase in tax credits and tax exempt interest income as a percentage of pre-tax income in the first quarter of 2026 as compared to the same quarter in 2025. Community Banking In the most recent deposit market share data from the FDIC, Northrim’s deposit market share in Alaska increased to 17.53% of Alaska's total deposits as of June 30, 2025 compared to 15.66% of Alaska's total deposits as of June 30, 2024. This represents 187 basis points of growth in market share percentage for Northrim during that period while, according to the FDIC, the total deposits in Alaska were up 1.3% during the same period. Northrim opened a branch in Homer in the first quarter of 2024. See below for further discussion regarding the Company's deposit movement for the quarter. Northrim is committed to meeting the needs of the diverse communities in which it operates. As a testament to that support, the Bank has branches in four regions of Alaska identified by the Federal Reserve as 'distressed or underserved non-metropolitan middle-income geographies'. Net interest income in the Community Banking segment totaled $31.8 million in the first quarter of 2026, compared to $32.2 million in the fourth quarter of 2025 and $28.2 million in the first quarter of 2025. Net interest income increased $3.7 million or 13% in the first quarter of 2026 as compared to the first quarter of 2025 mostly due to higher interest income on loans and on deposits in banks as well as lower interest expense on deposits. This increase was only partially offset by higher interest expense on borrowings, as a result of the issuance of subordinated debt in the fourth quarter of 2025. The provision for credit losses in the Community Banking segment was $153,000 in the first quarter of 2026 compared to $1.2 million in the fourth quarter of 2025 and $1.8 million benefit to the provision for credit losses in the same quarter a year ago. The decrease in the provision for credit losses in the Community Banking segment in the first quarter of 2026 as compared to the prior quarter was primarily due to lower growth in loans in this segment during the quarter. The decrease in the first quarter of 2026 compared to the same quarter a year ago was primarily a result of the fact that there were changes in the Company's loss rate regression models for commercial, commercial real estate, and construction loans in the first quarter of 2025. The decrease in other operating income in the Community Banking segment in the first quarter of 2026 as compared to the first quarter of 2025 was primarily the result of a loss on fair value of marketable securities and a decrease in interest rate swap income, which was only partially offset by higher service charges on deposit accounts. Other operating expenses in the Community Banking segment totaled $20.4 million in the first quarter of 2026, down $1.7 million or 8% from $22.1 million in the fourth quarter of 2025, and up $1.8 million or 10% from $18.6 million in the first quarter a year ago. The decrease in the first quarter of 2026 as compared to the prior quarter was primarily due to a decrease in marketing expense due to timing of annual charitable contributions. Additionally, there was a decrease in salaries and other personnel expense, including $501,000 decrease in equity compensation expense. The increase in other operating expenses in the first quarter of 2026 as compared to the same quarter a year ago was mostly due to an increase in salaries and other personnel expense, which was only partially offset by a decrease in FDIC insurance expense. The following table provides highlights of the Community Banking segment of Northrim: Home Mortgage Lending During the first quarter of 2026, mortgage loans funded for sale were $123.4 million, compared to $199.6 million in the fourth quarter of 2026, and $108.5 million in the first quarter of 2025. During the first quarter of 2026, the Bank purchased loans of $28.3 million from its subsidiary, Residential Mortgage, of which approximately two-thirds were jumbos, and the remaining one-third were adjustable rate mortgages, with a weighted average interest rate of 5.91%, as compared to $31.6 million and 6.01% in the fourth quarter of 2025, and $13.1 million and 6.39% in the first quarter of 2025. Net interest income contributed $2.8 million to total Home Mortgage Lending revenue in the first quarter of 2026, down from $2.9 million in the prior quarter, and $3.0 million in the first quarter a year ago. The Company reclassified $100 million in consumer mortgages held for investment to held for sale in the first quarter of 2025 and recorded unrealized losses of $1.2 million related to this portfolio in the first quarter of 2025. In the second quarter of 2025, the Company sold $61 million of the $100 million that was reclassified to loans held for sale in the first quarter of 2025 for a total realized loss of $545,000. In the third quarter of 2025, the Company sold $16 million of the $100 million that was reclassified to loans held for sale in the first quarter of 2025 for a total realized loss of $37,000. The Arizona, Colorado, and Pacific Northwest mortgage expansion markets were responsible for 35% of Residential Mortgage's $152 million total production in the first quarter of 2026, 29% of the $231 million total production in the fourth quarter of 2025, and 20% of the $122 million total production in the first quarter of 2025. The provision for credit losses in the Home Mortgage Lending segment was $562,000 in the first quarter of 2026 compared to $688,000 in the fourth quarter of 2025 and $307,000 benefit to the provision for credit losses in the first quarter of 2025. The decrease in the provision for credit losses in the first quarter of 2026 in the Home Mortgage Lending segment as compared to the prior quarter was primarily a result of lower growth in home mortgage loans. The net change in fair value of mortgage servicing rights decreased mortgage banking income by $127,000 during the first quarter of 2026 compared to a decrease of $859,000 for the fourth quarter of 2025 and a decrease of $855,000 for the first quarter of 2025. Mortgage servicing revenue increased to $2.7 million in the first quarter of 2026 from $2.1 million in the prior quarter and remained consistent with $2.7 million in the first quarter of 2025 due to an increase in production of Alaska Housing Finance Corporation (“AHFC”) mortgages, which contribute to servicing revenues at origination. In the first quarter of 2026, the Company's servicing portfolio of $1.642 million increased $12.7 million compared to a $28.4 million increase in the fourth quarter of 2025, and an increase of $24.0 million in the first quarter of 2025. As of March 31, 2026, Northrim serviced 6,637 loans in its $1.64 billion home-mortgage-servicing portfolio, a 1% increase compared to the $1.63 billion serviced as of the end of the fourth quarter of 2025, and a 11% increase from the $1.48 billion serviced a year ago. The following table provides highlights of the Home Mortgage Lending segment of Northrim: 1Principally reflects changes in discount rates and prepayment speed assumptions, which are primarily affected by changes in interest rates. 2Represents changes due to collection/realization of expected cash flows over time. Specialty Finance Average purchased receivables and loan balances for the Specialty Finance segment were $132.2 million for the first quarter of 2026, compared to average balance of $137.4 million for the fourth quarter of 2025, and $97.1 million for the first quarter of 2025. The following table provides highlights of the Specialty Finance segment of Northrim: 3Includes interest income, purchased receivable income, and other operating income. Balance Sheet Review Northrim’s total assets were $3.35 billion at March 31, 2026, up 2% from the preceding quarter and up 7% from a year ago. Northrim’s loan-to-deposit ratio was 82% at both March 31, 2026 and December 31, 2025, up from 76% at March 31, 2025. At March 31, 2026, liquid assets, investments, and loans maturing within one year were $1.06 billion and our funds available for borrowing under our existing lines of credit were $606.2 million. Given these sources of liquidity and our expectations for customer demands for cash and for our operating cash needs, we believe our sources of liquidity to be sufficient for the foreseeable future. Average interest-earning assets were $2.97 billion in the first quarter of 2026, down 1% from $2.99 billion in the fourth quarter of 2025 and up 7% from $2.78 billion in the first quarter a year ago. The average yield on interest-earning assets was 6.17% in the first quarter of 2026, consistent with 6.17% in the preceding quarter and up from 6.10% in the first quarter of 2025. Average investment securities decreased slightly to $466.4 million in the first quarter of 2026, compared to $466.5 million in the fourth quarter of 2025 and $523.8 million in the first quarter a year ago. The average net tax equivalent yield on the securities portfolio was 3.44% for the first quarter of 2026, up from 3.18% in the preceding quarter and up from 2.97% in the year ago quarter. The average estimated duration of the investment portfolio at March 31, 2026, was approximately 2.2 years compared to approximately 2.4 years at March 31, 2025. As of March 31, 2026, $109.0 million of available for sale securities with a weighted average yield of 1.55% are scheduled to mature in the next six months, $68.3 million with a weighted average yield of 2.15% are scheduled to mature in six months to one year, and $84.8 million with a weighted average yield of 3.41% are scheduled to mature in the following year, representing a total of $262.1 million or 9% of earning assets that are scheduled to mature in the next 24 months. Average interest bearing deposits in other banks decreased to $123.6 million in the first quarter of 2026 from $149.8 million in the fourth quarter of 2025 and increased from $38.0 million in the first quarter of 2025. The decrease in the first quarter of 2026 compared to the fourth quarter of 2025 is primarily due to decreases in average deposits and increases in portfolio loans. The increase in the first quarter of 2026 compared to the same quarter a year ago is primarily due to an increase in deposits. Loans held for sale decreased to $81.2 million at March 31, 2026, compared to $100.3 million at December 31, 2025 and $159.6 million a year ago, largely due to the reclassification of $100 million of consumer mortgage loans from portfolio loans which occurred in the first quarter of 2025. Portfolio loans were $2.36 billion at March 31, 2026, up 3% from the preceding quarter and up 11% from a year ago. Portfolio loans, excluding consumer mortgage loans, were $2.09 billion at March 31, 2026, up $41.8 million from the preceding quarter and up $158.0 million or 8% from a year ago. Average portfolio loans in the first quarter of 2026 were $2.31 billion, up 2% from the preceding quarter, and up 6% from a year ago. Yields on average portfolio loans in the first quarter of 2026 decreased to 6.86% from 6.95% in the fourth quarter of 2025 and 6.89% in the first quarter of 2025. The yield on new portfolio loans, excluding consumer mortgage loans, was 6.94% in the first quarter of 2025 as compared to 7.04% in the fourth quarter of 2025 and 7.43% in the first quarter of 2025. Alaskans continue to account for substantially all of Northrim’s deposit base. Total deposits were $2.87 billion at March 31, 2026, up 2% from $2.81 billion at December 31, 2025, and up 3% from $2.78 billion a year ago. At March 31, 2026, 75% of total deposits were held in business accounts and 25% of deposit balances were held in consumer accounts. Northrim had approximately 33,000 deposit customers with an average balance of $64,000 as of March 31, 2026. Northrim had 33 customers with balances over $10 million as of March 31, 2026, which accounted for $721.0 million, or 25%, of total deposits. Demand deposits increased by 14% from the prior quarter and increased 11% from the prior year to $826.4 million at March 31, 2026. Demand deposits were 29% of total deposits at March 31, 2026 up from 26% at December 31, 2025 and 27% of total deposits at March 31, 2025. Average interest-bearing deposits were down 1% to $2.07 billion with an average cost of 1.77% in the first quarter of 2026, compared to $2.10 billion and an average cost of 1.91% in the fourth quarter of 2025, and up 3% compared to $2.00 billion and an average cost of 2.01% in the first quarter of 2025. Uninsured deposits totaled $1.14 billion or 40% of total deposits as of March 31, 2026 compared to $1.07 billion or 38% of total deposits as of December 31, 2025. Shareholders’ equity was $335.8 million, or $15.10 book value per share, at March 31, 2026, compared to $326.5 million, or $14.77 book value per share, at December 31, 2025 and $279.8 million, or $12.67 book value per share, a year ago. Tangible book value per share* was $12.81 at March 31, 2026, compared to $12.47 at December 31, 2025, and $10.37 per share a year ago. The increase in shareholders’ equity in the first quarter of 2026 as compared to the fourth quarter of 2025 was largely the result of earnings of $13.7 million, which were partially offset by dividends paid of $3.6 million and a decrease in the fair value of the available for sale securities portfolio, which decreased $447,000, net of tax. The Company did not repurchase any shares of common stock in the first quarter of 2026 and currently has no plans to repurchase shares this year. Tangible common equity to tangible assets* was 8.63% as of March 31, 2026, compared to 8.51% as of December 31, 2025 and 7.41% as of March 31, 2025. Northrim continues to maintain capital levels in excess of the requirements to be categorized as “well-capitalized” with Tier 1 Capital to Risk Adjusted Assets of 10.95% at March 31, 2026, compared to 10.67% at December 31, 2025, and 9.76% at March 31, 2025. Asset Quality Northrim believes it has a consistent lending approach throughout economic cycles, which emphasizes appropriate loan-to-value ratios, adequate debt coverage ratios, and competent management. NPAs net of government guarantees were $15.3 million at March 31, 2026, up from $11.4 million at December 31, 2025 and up from $12.3 million a year ago. Of the NPAs at March 31, 2026, $10.5 million are attributable to the Community Banking segment, $4.3 million are attributable to the Specialty Finance segment, and $499,000 are attributable to the Home Mortgage Lending segment. Net adversely classified loans were $34.3 million at March 31, 2026, as compared to $33.5 million at December 31, 2025, and $20.4 million a year ago. Adversely classified loans are loans that Northrim has classified as substandard, doubtful, and loss, net of government guarantees. The increase in adversely classified loans, net of government guarantees, at March 31, 2026, as compared to the prior quarter is mostly attributable to two Specialty Finance relationships. Net loan charge-offs were $211,000 in the first quarter of 2026, compared to net loan charge-offs of $495,000 in the fourth quarter of 2025, and net loan recoveries of $34,000 in the first quarter of 2025. Additionally, Northrim had 8 existing loan modifications to borrowers experiencing financial difficulty totaling $2.7 million, net of government guarantees that had been modified in the last twelve months as of March 31, 2026. Northrim had $150.9 million, or 6% of portfolio loans, in the Accommodations sector, $133.2 million, or 6% of portfolio loans, in the Healthcare sector, $121.3 million, or 5% of portfolio loans, in the Tourism sector, $101.4 million, or 4% of portfolio loans, in the Retail sector, $92.1 million, or 4% of portfolio loans, in the Aviation (non-tourism) sector, $62.5 million, or 3% in the Restaurants and Breweries sector, and $60.7 million, or 3% of portfolio loans, in the Fishing sector as of March 31, 2026. Northrim estimates that $127.8 million, or approximately 5% of portfolio loans, had direct exposure to the oil and gas industry in Alaska, as of March 31, 2026, and $1.5 million of these loans are adversely classified. As of March 31, 2026, Northrim has an additional $79.6 million in unfunded commitments to companies with direct exposure to the oil and gas industry in Alaska, and no unfunded commitments on adversely classified loans. Northrim defines direct exposure to the oil and gas sector as loans to borrowers that provide oilfield services and other companies that have been identified as significantly reliant upon activity in Alaska related to the oil and gas industry, such as lodging, equipment rental, transportation and other logistics services specific to this industry. About Northrim BanCorp Northrim BanCorp, Inc. is the parent company of Northrim Bank, an Alaska-based community bank with 20 branches throughout the state and differentiates itself with its detailed knowledge of Alaska’s economy and its “Customer First Service” philosophy. The Bank has two wholly-owned subsidiaries, Sallyport Commercial Finance, LLC, a specialty finance company and Residential Mortgage Holding Company, LLC, a regional home mortgage company. Pacific Wealth Advisors, LLC is an affiliated company. www.northrim.com Forward-Looking Statement This release may contain “forward-looking statements” as that term is defined for purposes of Section 21E of the Securities Exchange Act of 1934, as amended. These statements are, in effect, management’s attempt to predict future events, and thus are subject to various risks and uncertainties. Readers should not place undue reliance on forward-looking statements, which reflect management’s views only as of the date hereof. All statements, other than statements of historical fact, regarding our financial position, business strategy, management’s plans and objectives for future operations are forward-looking statements. When used in this report, the words “anticipate,” “believe,” “estimate,” “expect,” and “intend” and words or phrases of similar meaning, as they relate to Northrim and its management are intended to help identify forward-looking statements. Although we believe that management’s expectations as reflected in forward-looking statements are reasonable, we cannot assure readers that those expectations will prove to be correct. Forward-looking statements, are subject to various risks and uncertainties that may cause our actual results to differ materially and adversely from our expectations as indicated in the forward-looking statements. These risks and uncertainties include: descriptions of Northrim’s financial condition, results of operations, asset based lending volumes, asset and credit quality trends and profitability; the ability of Northrim to execute its business plans; potential further increases in interest rates; the value of securities held in our investment portfolio; the impact of the results of government shutdowns and government initiatives on the regulatory landscape, natural resource extraction industries, and capital markets; the impact of declines in the value of commercial and residential real estate markets, high unemployment rates, tariffs, inflationary pressures and slowdowns in economic growth; changes in banking regulation or actions by bank regulators; potential further increases in inflation, supply-chain constraints, and potential geopolitical instability, including the wars in Ukraine and Iran; financial stress on borrowers (consumers and businesses) as a result of higher rates or an uncertain economic environment; the general condition of, and changes in, the Alaska economy; our ability to maintain or expand our market share or net interest margin; the sufficiency of our allowance for credit losses and the accuracy of the assumptions or estimates used in preparing our financial statements, including those related to current expected credit losses accounting guidance; our ability to maintain asset quality; our ability to implement our marketing and growth strategies; our ability to identify and address cyber-security risks, including security breaches, “denial of service attacks,” “hacking,” and identity theft and increased cyber threats due to artificial intelligence; disease outbreaks; and our ability to execute our business plan. Further, actual results may be affected by competition on price and other factors with other financial institutions; customer acceptance of new products and services; the regulatory environment in which we operate; and general trends in the local, regional and national banking industry and economy. In addition, there are risks inherent in the banking industry relating to collectability of loans and changes in interest rates. Many of these risks, as well as other risks that may have a material adverse impact on our operations and business, are identified in the “Risk Factors” section of our Annual Report on Form 10-K for the fiscal year ended December 31, 2025, and from time to time are disclosed in our other filings with the Securities and Exchange Commission. However, you should be aware that these factors are not an exhaustive list, and you should not assume these are the only factors that may cause our actual results to differ from our expectations. These forward-looking statements are made only as of the date of this release, and Northrim does not undertake any obligation to release revisions to these forward-looking statements to reflect events or conditions after the date of this release. Media Contact: Mercedes Cozzubbo (Morgan & Morgan) – [email protected] / (407) 244-3986 References: https://www.bea.gov/ http://almis.labor.state.ak.us/ http://www.tax.alaska.gov/programs/oil/prevailing/ans.aspx http://www.tax.state.ak.us/ https://www.bls.gov/regions/west/news-release/consumerpriceindex_anchorage.htm https://www.alaskarealestate.com/MLSMember/RealEstateStatistics.aspx https://www.akleg.gov/basis/Bill/Text/34?Hsid=HJR011C https://www.trade.gov/data-visualization/tradestats-express-trade-partner-state https://tax.alaska.gov/programs/programs/reports/RSB.aspx?Year=2025&Type=Spring https://apfc.org https://www.capitaliq.spglobal.com/web/client?auth=inherit&overridecdc=1&#markets/indexFinancials Additional Financial Information (Dollars in thousands) (Unaudited) Additional Financial Information (Dollars in thousands) (Unaudited) Additional Financial Information (Dollars in thousands) (Unaudited) Additional Financial Information (Dollars in thousands, except per share data) (Unaudited) *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data) (Unaudited) Non-GAAP financial measures have inherent limitations, are not required to be uniformly applied, and are not audited. Although we believe these non-GAAP financial measures are frequently used by stakeholders in the evaluation of the Company, they have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of results as reported under GAAP. Net interest margin on a tax equivalent basis Net interest margin on a tax equivalent basis (“NIMTE”) is a non-GAAP performance measurement in which interest income on non-taxable investments and loans is presented on a tax equivalent basis using a combined federal and state statutory rate of 28.43% in both 2025 and 2024. The most comparable GAAP measure is net interest margin and the following table sets forth the reconciliation of NIMTE to net interest margin for the periods indicated. 2Calculated using actual days in the quarter divided by 365 for the quarters ended in 2025 and 366 for the quarters ended in 2024, respectively. Tangible Book Value Per Share Tangible book value per share is a non-GAAP measure defined as shareholders’ equity, less intangible assets, divided by shares outstanding. The most comparable GAAP measure is book value per share and the following table sets forth the reconciliation of tangible book value per share and book value per share for the periods indicated. *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data) (Unaudited) Tangible Common Equity to Tangible Assets Tangible common equity to tangible assets is a non-GAAP ratio that represents total equity less goodwill and intangible assets divided by total assets less goodwill and intangible assets. The most comparable GAAP measure of shareholders’ equity to total assets is calculated by dividing total shareholders’ equity by total assets and the following table sets forth the reconciliation of tangible common equity to tangible assets and shareholders’ equity to total assets for the periods indicated. *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data) (Unaudited) Pre-provision pre-tax net revenue Pre-provision pre-tax net revenue is a non-GAAP measure that represents income before provision for income taxes excluding the provision for credit losses. The most comparable GAAP measure is income before provision for income taxes and the following tables set forth the reconciliation of pre-provision pre-tax net revenue to income before provision for income taxes for the periods indicated. *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data) (Unaudited) Adjusted net income Adjusted net income is a non-GAAP measure that represents net income excluding the gain on sale of certain assets by Pacific Wealth Advisors The most comparable GAAP measure is net income and the following tables set forth the reconciliation of net income to adjusted net income for the periods indicated. Adjusted diluted earnings per share Adjusted diluted earnings per share is a non-GAAP measure that represents diluted earnings per share excluding the gain on sale of certain assets by Pacific Wealth Advisors The most comparable GAAP measure is diluted earnings per share and the following tables set forth the reconciliation of diluted earnings per share to adjusted diluted earnings per share for the periods indicated. *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data) (Unaudited) Adjusted return on average assets Adjusted return on average assets is a non-GAAP measure that represents the return on average assets excluding the gain on sale of certain assets by Pacific Wealth Advisors, net of tax expense. The most comparable GAAP measure is return on average assets and the following tables set forth the reconciliation of return on average assets to adjusted return on average assets for the periods indicated. Adjusted return on average shareholders' equity Adjusted return on average shareholders' equity is a non-GAAP measure that represents the return on average shareholders' equity excluding the gain on sale of certain assets by Pacific Wealth Advisors, net of tax expense. The most comparable GAAP measure is return on average shareholders' equity and the following tables set forth the reconciliation of return on average shareholders' equity to adjusted return on average shareholders' equity for the periods indicated. 3Calculated using actual days in the quarter or year-to-date divided by 365. *Non-GAAP Financial Measures (Dollars and shares in thousands, except per share data) (Unaudited) Adjusted efficiency ratio Adjusted efficiency ratio is a non-GAAP measure that represents other operating expense to income excluding the gain on sale of certain assets by Pacific Wealth Advisors The most comparable GAAP measure is the efficiency ratio and the following tables set forth the reconciliation of the efficiency ratio to adjusted efficiency ratio for the periods indicated. Note Transmitted on GlobeNewswire on April 22, 2026, at 12:15 pm Alaska Standard Time.