Norwood Financial Corp. · NASDAQ:NWFL
Norwood Financial — Q3 2026 Earnings Presentation
34 slides from Norwood Financial's earnings presentation, Oct 27, 2026
Slide 1: Q3 2026 Investor Presentation
Q3 2026 Investor Presentation Community Bank Making Every Day Better™ OCTOBER 27, 2026
Slide 2: Forward-looking statements and additional information
Forward-looking statements and additional information This presentation contains forward-looking statements within the meaning of the federal securities laws that are made by Norwood Financial Corp (“Norwood”). All statements other than statements of historical fact are statements that could be deem
Slide 3: Key messages
Key messages 1 Reinforcing strengths and growth trajectory of a regional bank with a rich history of serving communities since 1871 2 Creating a high-performance culture that consistently delivers improving results and increasing returns 3 Executing a disciplined strategy to achieve 6%+ growth throu
Slide 4: Growing and fortifying the Norwood franchise
Growing and fortifying the Norwood franchise Adding branch locations to GROW our geographic footprint Honesdale Milford Stroudsburg Oneonta Scranton Cooperstown New Branches Since 2025 From a strong foundation, we continue to FORTIFY our financial position NWFL NASDAQ Honesdale, PA Headquarters 1871
Slide 5: Driving consistent execution across the organization
Driving consistent execution across the organization to profitably growand create shareholder value Positioning the Bank for our next era of growth Structurally improved our franchise Repositioned our portfolio Strengthened and deepened our leadership bench Expanded and modernized our customer exper
Slide 6: Executing a disciplined growth strategy to achieve financial targets
Executing a disciplined growth strategy to achieve financial targets Leveraging our strengths to create value Organic growth Serving markets and regions that are growing Aim to outgrow underlying markets by partnering with regional small businesses and expanding with them Increasing and broadening s
Slide 7: Disciplined, opportunistic growth strategy
Disciplined, opportunistic growth strategy ~ 12% CAGR $0.2 $0.4 $0.5 $0.5 $0.5 $0.5 $0.7 $0.7 $0.7 $0.8 $0.7 $1.1 $1.2 $1.2 $1.4 $2.1 $2.0 $2.2 $2.3 $2.4 $3.0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Q3 2026 NWFL Assets ($B) Acquired Assets ($B) A history of or
Slide 8: Clear focus on regions with healthy small businesses environment
Clear focus on regions with healthy small businesses environment Community bank targeting opportunity-rich regions Small cities in rural and suburban settings Growing metro areas that have high credit quality Northeast PA Central PA Southern Tier NY Finger Lakes NY Stable growth Mixes towards higher
Slide 9: Additional Information on Regions
PLACEHOLDER: Additional Information on Regions Northeast PA Central PA Catskills Region NY Finger Lakes NY Population 1,035,8921 2,574,6221 356,3092 1,215,0003 Median Household Income $70,5031 $76,2891 78,9722 $73,8003 Unemployed 4.6%9 3.19%1 5.5%2 4.1%8 • Northeastern PA Ranks 6th in the Nation for
Slide 10: Our distinctives give us competitive advantages
Our distinctives give us competitive advantages We have COMPETITIVE DIFFERENTIATORS that position us to win in our markets Strong local ties provide consistent and sound growth opportunities Granular loan and deposit portfolio tied to our community Attractive financial profile enhanced by recent rep
Slide 11: Management team building on legacy to create shareholder value
Management team building on legacy to create shareholder value James O. Donnelly Janak Amin John McCaffery Vincent G. O’Bell John F. Carmody President and Chief Executive Officer Executive Vice President and Chief Operating Officer Executive Vice President and Chief Financial Officer Executive Vice
Slide 12: Executing a clear strategy to accelerate asset growth
Executing a clear strategy to accelerate asset growth Focus on small business lending, granular relationships, and diverse industry exposure 1 Organic growth as we serve and win with the small businesses in our communities 2 Disciplined underwriting process to ensure highest credit quality 3 Maintai
Slide 13: Upgrading the customer experience to support growth initiatives
Upgrading the customer experience to support growth initiatives Growing deposits as we enable customer engagement Modernizing our branches to provide the communities we serve with innovative banking technologies and tools Forty Fort grand opening and Presence Bank acquisition added five new branches
Slide 14: Growing noninterest income to enhance earnings quality
Growing noninterest income to enhance earnings quality Provides diverse, stable income stream Growing noninterest income more quickly than interest income Improve debit card utilization Building out mortgage franchise Upscale wealth management / trust department Leverage strength of franchise to dri
Slide 15: Capital allocation framework to extend shareholder value creation
Capital allocation framework to extend shareholder value creation Investing in growth Funding organic growth Above well-capitalized risk-based ratios Total capital: 13.396% Tier 1: 12.29% CET1: 12.29% Disciplined underwriting culture Expanding through strategic M&A Geographic adjacent Targeting bank
Slide 16: Building on history of generating total shareholder return
Building on history of generating total shareholder return Proactively repositioned investment portfolio to perform well in current and future interest rate environment Strong track record of growing assets organically and through strategic M&A Financial discipline to grow income and improve returns
Slide 17: M&A Case Study: Presence Bank
M&A CASE STUDY Presence Bank as an example of our successful M&A track record ANNOUNCED Jul 7, 2025 COMPLETED Jan 5, 2026 Presence Bank: a growing and respected bank located in attractive Pennsylvania markets Strategic fit Shared values, culture, and commitment to high quality customer service Geogr
Slide 18: Summary: Leveraging our distinctives to create shareholder value
SUMMARY Leveraging our distinctives to create shareholder value 1 2 3 4 Reinforcing strengths and growth trajectory of a regional bank with a rich history of serving communities since 1871 Creating a high-performance culture that consistently delivers improving results and increasing returns Executi
Slide 19: Appendix Q3 2026
APPENDIX Q3 2026 INVESTOR PRESENTATION 19
Slide 20: Quarterly Results Q3 2026
QUARTERLY RESULTS Q3 2026 INVESTOR PRESENTATION 20
Slide 21: Q3 2026 summary
Q3 2026 summary Selected financial highlights (all comps Y/Y) $28.0M Net Interest Income +37% 3.36% Net Interest Spread (fte) 1 +42 bps 4.01% Net Interest Margin (fte) 1 +38 bps $15.4M Adjusted Pre Provision Net Revenue1 +45% $11.8M Adjusted Net Income1 +34% $1.08 Adjusted Diluted EPS1 +15% 1.60% Ad
Slide 22: Making progress on our 2026 strategic priorities
Making progress on our 2026 strategic priorities Focused on actions that will create value and build momentum Successfully complete Presence Bank integration • Completed key integration activity, including core system conversion and brand convergence • Ongoing dialogue to share best practices as we
Slide 23: Improving financial performance and positioning for continued growth
Improving financial performance and positioning for continued growth Adjusted earnings per share 1 $0.94 $0.69 $1.08 Q3 2025 Q2 2026 Q3 2026 Tangible book value per share $22.19 $22.96 $22.35 Q3 2025 Q2 2026 Q3 2026 EPS improved on record net income due to record net interest income and growth in ot
Slide 24: Loan portfolio overview
Loan portfolio overview Small business lending, granular relationships and limited industry concentration Loan portfolio by category 1-4 Family 14% C &I 11% Const & Land 5% Consumer 1% CRE 49% Home Eq 4% Indirect 16% Total $2.3B $99K Average Loan Size $333K Average Commercial Loan Size 11% Adjustabl
Slide 25: Strong historical credit quality
Strong historical credit quality Credit quality ratios 2022 2023 2024 2025 Q3 2026 Non-performing Loans / Loans 0.08% 0.48% 0.46% 0.34% 0.73% Net Charge Offs / Loans 0.02% 0.39% 0.10% 0.03% 0.13% ACL / Loans 1.15% 1.18% 1.16% 1.07% 1.10% Reserves / NPAs 1,165% 246% 252% 280% 143% NORWOOD FINANCIAL C
Slide 26: Deposit portfolio overview
Deposit portfolio overview Attractive retail franchise bolstered by commercial and municipal relationships Deposit portfolio by category NIB Demand 19% IB Demand 15% MMDA 16% Savings 9% Time Depo sts 41% Total $2.5B $51K Average Account Size $524M in Municipal Deposits Historical funding costs 6.18%
Slide 27: Managing Exposure to Dynamic Interest Rate Environment
Managing Exposure to Dynamic Interest Rate Environment Net Interest Income Sensitivity 1.5% 0.5% 0.9% 1.5% 0.1% -0.8% -2.1% -1.1% -1.7% -2.1% -0.4% 0.2% -100 +100 Loan portfolio exposure to interest rates EXPOSURE TO RATE MOVES 11% Adjustable 44% Floating 45% Fixed Rate 48% reprice within next 12 mo
Slide 28: Strength. Security. Stability.
Strength. Security. Stability. 150+ years in business UNIFIED BRAND: Consolidated Wayne Bank, the Bank of Cooperstown, Bank of the Finger Lakes, and Presence Bank under single Wayne Bank brand Committed to the same community banking mission and core values instated upon our founding in 1871 Rewardin
Slide 29: Non-GAAP Reconciliations Q3 2026
NON-GAAP RECONCILIATIONS Q3 2026 INVESTOR PRESENTATION 29
Slide 30: Non-GAAP financial measures: Net Interest Income FTE and Average Tangible Equity
Non-GAAP financial measures Net Interest Income FTE and Average Tangible Equity Net Interest Income FTE (Dollars in thousands ) Nine Months Three Months Three Months Nine Months Three Months Ended Ended Ended Ended Ended September 30, September 30, June 30, September 30, September 30, 2026 2026 2026
Slide 31: Non-GAAP financial measures: Pre Provision Net Revenue
Non-GAAP financial measures Pre Provision Net Revenue Pre Provision Net Revenue (Dollars in thousands ) Nine Months Three Months Three Months Nine Months Three Months Ended Ended Ended Ended Ended September 30, September 30, June 30, September 30, September 30, 2026 2026 2026 2025 2025 Income before
Slide 32: Non-GAAP financial measures: Adjusted Return on Average Assets
Non-GAAP financial measures Adjusted Return on Average Assets Adjusted Return on Average Assets (Dollars in thousands ) Nine Months Three Months Three Months Nine Months Three Months Ended Ended Ended Ended Ended September 30, September 30, June 30, September 30, September 30, 2026 2026 2026 2025 20
Slide 33: Non-GAAP financial measures: Adjusted ROATE and Adjusted EPS
Non-GAAP financial measures Adjusted Return on Average Tangible Shareholders’ Equity and Adjusted Earnings Per Share Adjusted Return on Average Tangible Shareholders' Equity (Dollars in thousands) Nine Months Three Months Three Months Nine Months Three Months Ended Ended Ended Ended Ended September
Slide 34: Thank you
Thank you