8-K

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported):  April 29, 2020

Bankwell Financial Group, Inc.

(Exact name of registrant as specified in its charter)

Connecticut	001-36448	20-8251355
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

220 Elm Street

New Canaan, Connecticut 06840

(203) 652-0166

(Address of Principal Executive Officers and Telephone Number)

N/A

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class	Trading Symbol(s)	Name of Each Exchange on Which Registered
Common Stock, no par value per share	BWFG	NASDAQ Global Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR 230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR 240.12b-2).

Emerging growth company	☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.	☐

Item 2.02	Results of Operations and Financial Condition
	On April 29, 2020, Bankwell Financial Group, Inc., the holding company for Bankwell Bank, issued a press release describing its results of operations for the first quarter ended March 31, 2020. A copy of the press release is included as Exhibit 99.1 to this current report on Form 8-K and is incorporated herein by reference.
	The information furnished under this Item 2.02, including Exhibit 99.1, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or subject to the liabilities of that section. The information shall not be deemed incorporated by reference into any other filing with the Securities and Exchange Commission made by the Company, regardless of any general incorporation language in such filing.
Item 7.01	Regulation FD Disclosure
	On April 29, 2020, Bankwell Financial Group, Inc., the holding company for Bankwell Bank, issued slide presentation material, which includes among other things, a review of financial results and trends through the period ended March 31, 2020. A copy of the material will also be available on the Company’s website, http://investor.mybankwell.com/CorporateProfile. A copy of the Presentation Material is included as Exhibit 99.2 to this current report on Form 8-K and is incorporated herein by reference.
	The information furnished under this Item 7.01, including Exhibit 99.2, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or subject to the liabilities of that section. The information shall not be deemed incorporated by reference into any other filing with the Securities and Exchange Commission made by the Company, regardless of any general incorporation language in such filing.
Item 8.01	Other Events
	On April 29, 2020, Bankwell Financial Group, Inc., parent company of Bankwell Bank, announced its Board of Directors has voted to pay a quarterly dividend in the amount of $0.14 per share on May 28, 2020 to all shareholders of record as of May 18, 2020.
Item 9.01	Financial Statements and Exhibits
(a)	Not applicable.
(b)	Not applicable.
(c)	Not applicable.
(d)	Exhibits.

Exhibit Number	Description
99.1	Press Release Dated April 29, 2020
99.2	Presentation Materials

SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
	BANKWELL FINANCIAL GROUP, INC.
	Registrant
April 30, 2020	By:  /s/ Penko K. Ivanov
	Penko K. Ivanov
	Executive Vice President
	and Chief Financial Officer

EX-99.1

BANKWELL FINANCIAL GROUP REPORTS OPERATING RESULTS FOR THE FIRST QUARTER, RESERVE BUILD AND MAINTAINS QUARTERLY DIVIDEND

New Canaan, CT – April 29, 2020 – Bankwell Financial Group, Inc. (NASDAQ: BWFG) reported GAAP net income of $1.4 million, or $0.17 per share, for the first quarter of 2020, versus $5.1 million, or $0.65 per share, for the same period in 2019.The decline in net income is largely driven by an increase in the loan loss provisionrelating to potential exposure to thecoronavirus (COVID-19) pandemic.

The Company's Board of Directors declared a $0.14 per share cash dividend, payable May 28, 2020 to shareholders of record on May 18, 2020.

Please reference the First Quarter 2020 Investor Presentation located at http://investor.mybankwell.com/Presentations for further details regarding the impact of the COVID-19 pandemic on our operations and financial results.

Notes Bankwell Financial Group President and CEO, Christopher R. Gruseke:

"While we take this opportunity to announce our quarterly earnings, we are mindful of the COVID-19 plight which is besieging society, leaving no one unaffected. We are thankful for the dedication of health care workers and first responders, as well as the essential workers who are keeping our communities running."

"As a result of our first-rate preparedness, all of our non-branch personnel have been working remotely since mid-March with complete effectiveness. I have been inspired by the efforts and dedication of Bankwell’s team as they have worked tirelessly to service our customers and communities. This was particularly true as they worked around the clock to process approximately $60 million in PPP loans for our small businesses so in need of these funds."

"The economic road ahead will challenge all businesses, but Bankwell’s strong capital base, excellent credit culture, and amazing people put us on excellent footing to overcome adversity."

First Quarter 2020 Highlights:

• The allowance for loan losses was $16.7 million and represents 1.03% of total loans as of March 31, 2020, compared to an allowance for loan losses of $13.5 million, representing 0.84% of total loans as of December 31, 2019. The increase in the allowance for loan losses is primarily attributable to $3.0 million in incremental loan loss reserves recognized in the first quarter of 2020 relating to potential exposure to the COVID-19 pandemic.

• Reduced rates on approximately $0.5 billion of non-maturity deposit products by an average of approximately 70 basis points during the quarter ended March 31, 2020. We expect these rate reductions to drive lower deposit costs for the remainder of the year.

• Tax equivalent net interest margin was 2.98% for the quarter ended March 31, 2020, representing a 6 basis point increase compared to the quarter ended December 31, 2019.

• The Company repurchased 58,499 shares of common stock at an average price of $17.69 per share, during the quarter ended March 31, 2020.

• Total deposits were $1.68 billion at March 31, 2020 compared to $1.49 billion at December 31, 2019, primarily reflecting increases in brokered deposits to increase on-balance sheet liquidity.

• The loan-to-deposit ratio was 96.1% at March 31, 2020, reflecting the above-mentioned increase in brokered deposits.

• Total gross loans were $1.62 billion at March 31, 2020, and grew by $16.5 million during the quarter.

• Investment securities totaled $100.9 million and represent 5% of total assets.

• Total noninterest income was $1.1 million for the quarter ended March 31, 2020, or 7% of total revenue.

• The tangible common equity ratio and tangible book value per share, as of March 31, 2020, were 8.16% and $21.69, respectively. The tangible book value per share was primarily impacted by a $1.75 mark to market

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adjustment reflected in other comprehensive income on the Bank's interest rate swaps, which are used for hedging purposes.

Earnings and Performance

Revenues (net interest income plus noninterest income) for the quarter ended March 31, 2020 were $14.4 million, versus $15.6 million for the quarter ended March 31, 2019. The decrease in revenues was attributable to a decline in income from loan prepayments during the quarter ended March 31, 2020 when compared to the same period in 2019. The decrease in revenues was partially offset by a decline in interest expense, driven by lower interest rates on deposits when compared to the same period in 2019.

Net income for the quarter ended March 31, 2020 was $1.4 million, versus $5.1 million for the quarter ended March 31, 2019. Basic and diluted earnings per share were each $0.17 for the quarter ended March 31, 2020 compared to basic and diluted earnings per share of $0.65 each for the quarter ended March 31, 2019. The decrease in net income and earnings per share was largely driven by a $3.0 million, or $0.30 per share, increase in the provision for loan losses, due to the potential exposure as a result of the COVID-19 pandemic, and the absence of approximately $1.0 million, or $0.10 per share, of elevated prepayment fees as compared against the first quarter of 2019.

The net interest margin (fully taxable equivalent basis) for the quarters ended March 31, 2020 and December 31, 2019 was 2.98% and 2.92%, respectively. The increase in the net interest margin for the quarter ended March 31, 2020 when compared to the quarter ended December 31, 2019 was due to a decline in interest expense on deposits. The cost of interest bearing deposits declined 10 basis points for the quarter ended March 31, 2020 when compared to the quarter ended December 31, 2019.

Financial Condition

Assets totaled $2.1 billion at March 31, 2020, compared to assets of $1.9 billion at December 31, 2019. The increase in assets is primarily driven by an increase in cash and cash equivalents in order to maintain a higher level of liquidity during the COVID-19 pandemic. Gross loans totaled $1.62 billion at March 31, 2020, an increase of $16.5 million compared to December 31, 2019, reflecting growth in the commercial business loan portfolio. Deposits totaled $1.7 billion at March 31, 2020, compared to deposits of $1.5 billion at December 31, 2019. The increase in deposits was a result of an increase in brokered deposits to expand on-balance sheet liquidity.

Capital

Shareholders’ equity totaled $170.2 million as of March 31, 2020, a decrease of $12.2 million compared to December 31, 2019, primarily a result of an $11.8 million unfavorable impact to accumulated other comprehensive income driven by fair value marks related to hedge positions involving interest rate swaps, as well as dividends paid of $1.1 million and common stock repurchases of $1.0 million. The decrease was partially offset by net income for the quarter ended March 31, 2020 of $1.4 million. The marks on the interest rate swaps are driven by lower long term market interest rates in 2020 when compared to 2019. The Company's interest rate swaps are primarily used to hedge interest rate risk. The Company's current interest rate swap positions will cause a decrease to other comprehensive income in a falling interest rate environment and an increase in a rising interest rate environment. As of March 31, 2020, the tangible common equity ratio and tangible book value per share were 8.16% and $21.69, respectively.

About Bankwell Financial Group

Bankwell is a commercial bank that serves the banking needs of residents and businesses throughout Fairfield and New Haven Counties, Connecticut. For more information about this press release, interested parties may contact Christopher R. Gruseke, President and Chief Executive Officer or Penko Ivanov, Executive Vice President and Chief Financial Officer of Bankwell Financial Group at (203) 652-0166.

For more information, visit www.mybankwell.com.

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This press release may contain certain forward-looking statements about the Company. Forward-looking statements include statements regarding anticipated future events and can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as “believe,” “expect,” “anticipate,” “estimate,” and “intend” or future or conditional verbs such as “will,” “would,” “should,” “could,” or “may.” Forward-looking statements, by their nature, are subject to risks and uncertainties. Certain factors that could cause actual results to differ materially from expected results include, but are not limited to, increased competitive pressures, changes in the interest rate environment, general economic conditions or conditions within the securities markets, uncertain impacts of, or additional changes in, monetary, fiscal or tax policy to address the impact of COVID-19, prolonged measures to contain the spread of COVID-19 or premature easing of such containment measures, either of which could further exacerbate the effects on the Company’s business and results of operations, and legislative and regulatory changes that could adversely affect the business in which the Company and its subsidiaries are engaged.

Non-GAAP Financial Measures

In addition to evaluating the Company's financial performance in accordance with U.S. generally accepted accounting principles ("GAAP"), management may evaluate certain non-GAAP financial measures, such as the efficiency ratio. A computation and reconciliation of certain non-GAAP financial measures used for these purposes is contained in the accompanying Reconciliation of GAAP to Non-GAAP Measures tables. We believe that providing certain non-GAAP financial measures provides investors with information useful in understanding our financial performance, our performance trends and financial position. For example, the Company believes that the efficiency ratio is useful in the assessment of financial performance, including noninterest expense control. The Company believes that tangible common equity and tangible book value per share are useful to evaluate the relative strength of the Company's capital position. We utilize these measures for internal planning and forecasting purposes. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and results, and we strongly encourage investors to review our consolidated financial statements in their entirety and not to rely on any single financial measure.

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BANKWELL FINANCIAL GROUP, INC.

CONSOLIDATED BALANCE SHEETS (unaudited)

(Dollars in thousands)

	March 31, 2020			December 31, 2019			March 31, 2019
ASSETS
Cash and due from banks	$	203,569		$	78,051		$	88,827
Federal funds sold	6,427			—			4,764
Cash and cash equivalents	209,996			78,051			93,591
Investment securities
Marketable equity securities, at fair value	2,289			2,118			2,049
Available for sale investment securities, at fair value	82,342			82,439			96,423
Held to maturity investment securities, at amortized cost	16,252			16,308			21,364
Total investment securities	100,883			100,865			119,836
Loans receivable (net of allowance for loan losses of $16,686, $13,509, and $15,430 at March 31, 2020, December 31, 2019, and March 31, 2019, respectively)	1,602,146			1,588,840			1,578,609
Accrued interest receivable	5,867			5,959			6,534
Federal Home Loan Bank stock, at cost	6,507			7,475			7,475
Premises and equipment, net	27,835			28,522			29,629
Bank-owned life insurance	41,926			41,683			40,925
Goodwill	2,589			2,589			2,589
Other intangible assets	196			214			270
Deferred income taxes, net	10,009			5,788			4,835
Other assets	45,671			22,196			13,465
Total assets	$	2,053,625		$	1,882,182		$	1,897,758
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities
Deposits
Noninterest bearing deposits	$	168,448		$	191,518		$	161,844
Interest bearing deposits	1,512,684			1,300,385			1,359,521
Total deposits	1,681,132			1,491,903			1,521,365
Advances from the Federal Home Loan Bank	125,000			150,000			150,000
Subordinated debentures	25,220			25,207			25,168
Accrued expenses and other liabilities	52,059			32,675			24,384
Total liabilities	1,883,411			1,699,785			1,720,917
Shareholders’ equity
Common stock, no par value	119,953			120,589			120,750
Retained earnings	69,595			69,324			59,247
Accumulated other comprehensive loss	(19,334		)	(7,516		)	(3,156		)
Total shareholders’ equity	170,214			182,397			176,841
Total liabilities and shareholders’ equity	$	2,053,625		$	1,882,182		$	1,897,758

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BANKWELL FINANCIAL GROUP, INC.

CONSOLIDATED STATEMENTS OF INCOME (unaudited)

(Dollars in thousands, except share data)

	For the Quarter Ended
	March 31, 2020		December 31, 2019		March 31, 2019
Interest and dividend income
Interest and fees on loans	$	18,985	$	18,648	$	20,096
Interest and dividends on securities	825		858		997
Interest on cash and cash equivalents	286		427		383
Total interest and dividend income	20,096		19,933		21,476
Interest expense
Interest expense on deposits	5,709		5,948		6,100
Interest expense on borrowings	1,101		1,103		1,103
Total interest expense	6,810		7,051		7,203
Net interest income	13,286		12,882		14,273
Provision for loan losses	3,185		310		195
Net interest income after provision for loan losses	10,101		12,572		14,078
Noninterest income
Bank owned life insurance	243		250		249
Service charges and fees	217		247		249
Gains and fees from sales of loans	—		382		89
Other	612		169		721
Total noninterest income	1,072		1,048		1,308
Noninterest expense
Salaries and employee benefits	5,380		5,162		4,836
Occupancy and equipment	1,909		1,928		1,887
Professional services	711		402		590
Data processing	536		499		512
Director fees	295		224		189
Marketing	162		220		193
FDIC insurance	70		—		123
Amortization of intangibles	18		18		19
Other	578		771		626
Total noninterest expense	9,659		9,224		8,975
Income before income tax expense	1,514		4,396		6,411
Income tax expense	151		924		1,331
Net income	$	1,363	$	3,472	$	5,080
Earnings Per Common Share:
Basic	$	0.17	$	0.44	$	0.65
Diluted	$	0.17	$	0.44	$	0.65
Weighted Average Common Shares Outstanding:
Basic	7,750,135		7,745,227		7,760,460
Diluted	7,778,762		7,773,780		7,776,378
Dividends per common share	$	0.14	$	0.13	$	0.13

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BANKWELL FINANCIAL GROUP, INC.

CONSOLIDATED FINANCIAL HIGHLIGHTS (unaudited)

	For the Quarter Ended
	March 31, 2020		December 31, 2019		March 31, 2019
Performance ratios:
Return on average assets(1)	0.29	%	0.73	%	1.10	%
Return on average stockholders' equity(1)	3.03	%	7.68	%	11.60	%
Return on average tangible common equity(1)	3.07	%	7.80	%	11.80	%
Net interest margin	2.98	%	2.92	%	3.19	%
Efficiency ratio(2)	67.1	%	66.1	%	57.5	%
Net loan charge-offs as a % of average loans	—	%	—	%	0.01	%
Dividend payout ratio(3)	82.35	%	29.55	%	20.00	%

(1)March 31, 2020 performance ratios are negatively impacted by incremental COVID-19 related loan loss reserves totaling approximately $3.0 million. Please refer to the First Quarter 2020 Investor Presentation for more detailed information of the impact of the incremental loan loss reserve related to COVID-19 exposure on the Company’s performance ratios.

(2)Efficiency ratio is defined as noninterest expense, less other real estate owned expenses and amortization of intangible assets, divided by our operating revenue, which is equal to net interest income plus noninterest income excluding gains and losses on sales of securities and gains and losses on other real estate owned. In our judgment, the adjustments made to operating revenue allow investors and analysts to better assess our operating expenses in relation to our core operating revenue by removing the volatility that is associated with certain one-time items and other discrete items that are unrelated to our core business.

(3)The dividend payout ratio is calculated by dividing dividends per share by earnings per share.

	As of
	March 31, 2020			December 31, 2019			March 31, 2019
Capital ratios:
Total Common Equity Tier 1 Capital to Risk-Weighted Assets(1)	12.14		%	12.53		%	12.00		%
Total Capital to Risk-Weighted Assets(1)	13.13		%	13.35		%	12.94		%
Tier I Capital to Risk-Weighted Assets(1)	12.14		%	12.53		%	12.00		%
Tier I Capital to Average Assets(1)	10.84		%	10.99		%	10.53		%
Tangible common equity to tangible assets	8.16		%	9.56		%	9.18		%
Tangible book value per common share(2)	$	21.69		$	23.15		$	22.38

(1)Represents Bank ratios. Current period capital ratios are preliminary subject to finalization of the FDIC Call Report.

(2)Excludes unvested restricted shares of 154,012, 110,975, and 99,061 as of March 31, 2020, December 31, 2019, and March 31, 2019, respectively.

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BANKWELL FINANCIAL GROUP, INC.

ASSET QUALITY (unaudited)

(Dollars in thousands)

	For the Quarter Ended
	March 31, 2020			December 31, 2019			March 31, 2019
Allowance for loan losses:
Balance at beginning of period	$	13,509		$	13,212		$	15,462
Charge-offs:
Residential real estate	—			—			(233		)
Commercial business	(8		)	(13		)	(3		)
Consumer	(2		)	(5		)	(2		)
Total charge-offs	(10		)	(18		)	(238		)
Recoveries:
Commercial business	1			1			10
Consumer	1			4			1
Total recoveries	2			5			11
Net loan charge-offs	(8		)	(13		)	(227		)
Provision for loan losses	3,185			310			195
Balance at end of period	$	16,686		$	13,509		$	15,430

	As of
	March 31, 2020			December 31, 2019			March 31, 2019
Asset quality:
Nonaccrual loans
Residential real estate	$	1,532		$	1,560		$	3,516
Commercial real estate	5,339			5,222			5,880
Commercial business	3,783			3,806			3,837
Total nonaccrual loans	10,654			10,588			13,233
Other real estate owned	—			—			—
Total nonperforming assets	$	10,654		$	10,588		$	13,233
Nonperforming loans as a % of total loans	0.66		%	0.66		%	0.83		%
Nonperforming assets as a % of total assets	0.52		%	0.56		%	0.70		%
Allowance for loan losses as a % of total loans	1.03		%	0.84		%	0.97		%
Allowance for loan losses as a % of nonperforming loans	156.62		%	127.59		%	116.60		%

Total nonaccrual loans were $10.7 million as of March 31, 2020, of which $4.6 million is guaranteed by the Small Business Administration (SBA). Nonperforming assets as a percentage of total assets was 0.52% at March 31, 2020, down from0.56% at December 31, 2019. The allowance for loan losses at March 31, 2020 was $16.7 million, representing 1.03% of total loans. The $3.2 million increase in the allowance for loan losses at March 31, 2020 when compared to December 31, 2019 was primarily due to incremental loan loss reserves for potential COVID-19 exposure.

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BANKWELL FINANCIAL GROUP, INC.

LOAN & DEPOSIT PORTFOLIO (unaudited)

(Dollars in thousands)

Period End Loan Composition	March 31, 2020		December 31, 2019		% Change
Residential Real Estate	$	139,353	$	147,109	(5.3	)%
Commercial Real Estate(1)	1,131,206		1,128,614		0.2
Construction	107,594		98,583		9.1
Total Real Estate Loans	1,378,153		1,374,306		0.3
Commercial Business	242,705		230,028		5.5
Consumer	113		150		(24.7	)
Total Loans	$	1,620,971	$	1,604,484	1.0	%
(1) Includes owner occupied commercial real estate.

Period End Deposit Composition	March 31, 2020		December 31, 2019		% Change
Noninterest bearing demand	$	168,448	$	191,518	(12.0	)%
NOW	69,562		70,020		(0.7	)
Money Market	455,634		419,495		8.6
Savings	164,673		183,729		(10.4	)
Time	822,815		627,141		31.2
Total Deposits	$	1,681,132	$	1,491,903	12.7	%

Total deposits were $1.7 billion at March 31, 2020 compared to $1.5 billion at December 31, 2019, an increase of $0.2 billion or 12.7%. The increase in total deposits was primarily a result of an increase in brokered deposits to expand on-balance sheet liquidity.

8

BANKWELL FINANCIAL GROUP, INC.

NONINTEREST INCOME & EXPENSE - QTD (unaudited)

(Dollars in thousands)

	For the Quarter Ended
Noninterest income	March 31, 2020		December 31, 2019		March 31, 2019		Mar 20 vs. Dec 19 % Change		Mar 20 vs. Mar 19 % Change
Bank owned life insurance	$	243	$	250	$	249	(2.8	)%	(2.4	)%
Service charges and fees	217		247		249		(12.1	)	(12.9	)
Gains and fees from sales of loans	—		382		89		(100.0	)	(100.0	)
Other	612		169		721		262.1		(15.1	)
Total noninterest income	$	1,072	$	1,048	$	1,308	2.3	%	(18.0	)%

Noninterest income decreased by $0.2 million, or 18%, to $1.1 million for the quarter ended March 31, 2020 compared to the quarter ended March 31, 2019. The decrease in noninterest income was primarily a result of the absence of gains and fees from the sales of loans and a decrease of $0.2 million in income recognized from interest rate swap fees for the quarter ended March 31, 2020 compared to the same period in 2019.

	For the Quarter Ended
Noninterest expense	March 31, 2020		December 31, 2019		March 31, 2019		Mar 20 vs. Dec 19 % Change		Mar 20 vs. Mar 19 % Change
Salaries and employee benefits	$	5,380	$	5,162	$	4,836	4.2	%	11.2	%
Occupancy and equipment	1,909		1,928		1,887		(1.0	)	1.2
Professional services	711		402		590		76.9		20.5
Data processing	536		499		512		7.4		4.7
Director fees	295		224		189		31.7		56.1
Marketing	162		220		193		(26.4	)	(16.1	)
FDIC insurance	70		—		123		N/A		(43.1	)
Amortization of intangibles	18		18		19		—		(5.3	)
Other	578		771		626		(25.0	)	(7.7	)
Total noninterest expense	$	9,659	$	9,224	$	8,975	4.7	%	7.6	%

Noninterest expense increased by $0.7 million, or 8%, to $9.7 million for the quarter ended March 31, 2020 compared to the quarter ended March 31, 2019. The increase in noninterest expense was primarily driven by an increase in salaries and employee benefits and professional services. Salaries and employee benefits totaled $5.4 million for the quarter ended March 31, 2020, an increase of $0.5 million when compared to the same period in 2019. The increase in salaries and employee benefits was primarily driven by an increase in full time equivalent employees. Full time equivalent employees totaled 154 at March 31, 2020 compared to 140 at March 31, 2019. Professional services totaled $0.7 million for the quarter ended March 31, 2020, an increase of $0.1 million when compared to the same period in 2019. The increase in professional services was due to one-time consulting and recruiting costs of $0.2 million associated with the transition from our Chief Lending Officer's retirement to the on-boarding of our Chief Banking Officer.

9

BANKWELL FINANCIAL GROUP, INC.

RECONCILIATION OF GAAP TO NON-GAAP MEASURES (unaudited)

(Dollars in thousands, except share data)

	As of
Computation of Tangible Common Equity to Tangible Assets	March 31, 2020			December 31, 2019			March 31, 2019
Total Equity	$	170,214		$	182,397		$	176,841
Less:
Goodwill	2,589			2,589			2,589
Other intangibles	196			214			270
Tangible Common Equity	$	167,429		$	179,594		$	173,982
Total Assets	$	2,053,625		$	1,882,182		$	1,897,758
Less:
Goodwill	2,589			2,589			2,589
Other intangibles	196			214			270
Tangible Assets	$	2,050,840		$	1,879,379		$	1,894,899
Tangible Common Equity to Tangible Assets	8.16		%	9.56		%	9.18		%

	As of
Computation of Tangible Book Value per Common Share	March 31, 2020		December 31, 2019		March 31, 2019
Total shareholders' equity	$	170,214	$	182,397	$	176,841
Less:
Preferred stock	—		—		—
Common shareholders' equity	$	170,214	$	182,397	$	176,841
Less:
Goodwill	2,589		2,589		2,589
Other intangibles	196		214		270
Tangible common shareholders' equity	$	167,429	$	179,594	$	173,982
Common shares	7,871,419		7,868,803		7,873,471
Less:
Shares of unvested restricted stock	154,012		110,975		99,061
Common shares less unvested restricted stock	7,717,407		7,757,828		7,774,410
Book value per share	$	22.06	$	23.51	$	22.75
Less:
Effects of intangible assets	$	0.36	$	0.36	$	0.37
Tangible Book Value per Common Share	$	21.69	$	23.15	$	22.38

10

BANKWELL FINANCIAL GROUP, INC.

RECONCILIATION OF GAAP TO NON-GAAP MEASURES (unaudited) - Continued

(Dollars in thousands)

	For the Quarter Ended
Computation of Efficiency Ratio	March 31, 2020			December 31, 2019			March 31, 2019
Noninterest expense	$	9,659		$	9,224		$	8,975
Less:
Amortization of intangible assets	18			18			19
Adjusted noninterest expense	$	9,641		$	9,206		$	8,956
Net interest income	$	13,286		$	12,882		$	14,273
Noninterest income	1,072			1,048			1,308
Operating revenue	$	14,358		$	13,930		$	15,581
Efficiency ratio	67.1		%	66.1		%	57.5		%

	For the Quarter Ended
Computation of Return on Average Tangible Common Equity	March 31, 2020			December 31, 2019			March 31, 2019
Net Income Attributable to Common Shareholders	$	1,363		$	3,472		$	5,080
Total average shareholders' equity	$	181,127		$	179,312		$	177,532
Less:
Average Goodwill	2,589			2,589			2,589
Average Other intangibles	208			226			283
Average tangible common equity	$	178,330		$	176,497		$	174,660
Annualized Return on Average Tangible Common Equity	3.07		%	7.80		%	11.80		%

11

BANKWELL FINANCIAL GROUP, INC.

NET INTEREST MARGIN ANALYSIS ON A FULLY TAX EQUIVALENT BASIS - QTD (unaudited)

(Dollars in thousands)

	For the Quarter Ended
	March 31, 2020						March 31, 2019
	Average Balance		Interest		Yield/ Rate (5)		Average Balance		Interest		Yield/ Rate (5)
Assets:
Cash and Fed funds sold	$	73,497	$	286	1.56	%	$	73,128	$	383	2.12	%
Securities(1)	98,566		775		3.15		117,575		932		3.17
Loans:
Commercial real estate	1,108,709		13,024		4.65		1,065,636		12,426		4.66
Residential real estate	143,826		1,357		3.77		176,490		1,703		3.86
Construction(2)	100,437		1,215		4.78		81,136		1,124		5.54
Commercial business	258,848		3,386		5.18		276,744		4,838		6.99
Consumer	156		3		8.37		323		5		6.42
Total loans	1,611,976		18,985		4.66		1,600,329		20,096		5.02
Federal Home Loan Bank stock	7,325		103		5.65		7,587		137		7.30
Total earning assets	1,791,364		$	20,149	4.45	%	1,798,619		$	21,548	4.79	%
Other assets	111,585						78,903
Total assets	$	1,902,949					$	1,877,522
Liabilities and shareholders' equity:
Interest bearing liabilities:
NOW	$	67,925	$	28	0.17	%	$	58,812	$	47	0.33	%
Money market	438,588		1,492		1.37		473,084		1,981		1.70
Savings	185,478		672		1.46		180,367		769		1.73
Time	640,580		3,517		2.21		627,510		3,303		2.13
Total interest bearing deposits	1,332,571		5,709		1.72		1,339,773		6,100		1.85
Borrowed Money	172,464		1,101		2.53		175,515		1,103		2.51
Total interest bearing liabilities	1,505,035		$	6,810	1.82	%	1,515,288		$	7,203	1.93	%
Noninterest bearing deposits	179,066						163,558
Other liabilities	37,721						21,144
Total liabilities	1,721,822						1,699,990
Shareholders' equity	181,127						177,532
Total liabilities and shareholders' equity	$	1,902,949					$	1,877,522
Net interest income(3)			$	13,339					$	14,345
Interest rate spread					2.63	%					2.86	%
Net interest margin(4)					2.98	%					3.19	%

(1)Average balances and yields for securities are based on amortized cost.

(2)Includes commercial and residential real estate construction.

(3)The adjustment for securities and loans taxable equivalency amounted to $53 thousand and $72 thousand for the quarters ended March 31, 2020 and 2019, respectively.

(4)Annualized net interest income as a percentage of earning assets.

(5)Yields are calculated using the contractual day count convention for each respective product type.

12

EX-99.2

Bankwell Financial Group 1Q20 Investor Presentation

Safe Harbor This presentation may contain certain forward-looking statements about Bankwell Financial Group, Inc. (the “Company”). Forward-looking statements include statements regarding anticipated future events and can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as “believe,” “expect,” “would,” “should,” “could,” or “may.” Forward-looking statements, by their nature, are subject to risks and uncertainties. Certain factors that could cause actual results to differ materially from expected results include increased competitive pressures, changes in the interest rate environment, general economic conditions or conditions within the securities markets, and legislative and regulatory changes that could adversely affect the business in which the Company and its subsidiaries are engaged. The COVID-19 pandemic is adversely affecting Bankwell Financial Group, its customers, counterparties, employees, and third party service providers, and the ultimate extent of the impacts on its business, financial position, results of operations, liquidity, and prospects is uncertain. 2

Table of Contents • Executive Summary • COVID-19 • 1Q20 Performance • Credit & Capital Impact of COVID-19 • Portfolio Overview • Bankwell History & Overview 3

Executive Summary • Pre-tax pre-provision net revenue of $4.70 million, equal to prior quarter • Liability-sensitive balance sheet drives NIM expansion as deposit costs decrease • Welcomed new Chief Banking Officer, Matthew McNeill, to the Leadership Team • Minimal direct exposure to higher risk industries (e.g. Hotels, Restaurants, Nursing Homes, Energy, Airlines, Casinos, Consumer Loans) • Strong capital & liquidity positions • Bankwell’s response to COVID-19 pandemic ̶ 100% of Bank functional with all non-branch personnel working remotely ̶ Evaluating ~$218 million of COVID-19-specific deferral requests ̶ Processed over 320 PPP applications for ~$60 million1 ̶ $3 million increase to provision for loan losses for potential pandemic exposure ̶ Maintaining retail branch operations via drive-thrus and online banking 1 As of 4/29/20 4

COVID-19 Response Rapid response to unfolding pandemic, including preparation for potential next wave Facilities, Security & Employees Customers Community Technology • No furlough or termination • Granted payment deferrals • Additional financial • Additional cyber-security actions; all employees to borrowers who needed resources to community awareness training; receive full pay and relief partners to provide food to increased phishing/ social benefits • Processed Paycheck impacted families engineering tests Protection Program loans • Increased use of VPN use • Enhanced benefits (e.g. to hundreds of applicants • Partnered with local and other collaboration additional childcare • Maintaining banking hours restaurants to provide tools (e.g. Slack, Zoom, reimbursements) at several drive-thru meals to emergency & ICU Softphone) locations; lobbies teams in local hospitals • Shortened backup recovery • Secured & distributed temporarily closed to times, upgraded masks, gloves, and • Branches as donation public ransomware, increased disinfectant wipes to all locations to collect non- remote video security employees • Waiving ATM surcharge & perishable food items and overdraft fees clothing donations • Installing protective • Regular individual touch • 24/7 ATM, mobile & online Plexiglas shields inside points with employees banking access and a branches in anticipation of virtual centralized call eventual reopening center 5

1Q20 Performance

1Q20 Summary • Reported 1Q20 Net Income of $1.36 million, or $0.17 per share • $0.30 reduction in EPS due to incremental COVID-19-related provision • Pre-tax, pre-provision net revenue of $4.70 million, or $0.60 per share1 • 1Q20 Net Interest Margin (“NIM”) of 2.98%, a 6 basis points expansion compared to the prior quarter • Strong capital, liquidity and funding levels: ̶ $50+ million total capital in excess of “well capitalized” requirement ̶ Increased on balance sheet liquidity from ~9% to ~14% ̶ FHLB borrowing capacity ($467 million) & additional bank lines ($42 million) • Repurchased 58,499 shares at average price of $17.69; currently not repurchasing • The Company declared the 2Q20 dividend of $0.14 per share • In light of the COVID-19 pandemic, all previously issued earnings and performance guidance should be disregarded 1 Pre-tax, pre-provision net revenue is a non-GAAP metric 7

1Q Consolidated Financial Statements Linked Quarter Dollars in millions, except per share data Income Statement 1Q20 4Q19 Var1 Balance Sheet 1Q20 4Q19 Var1 Total Interest Income $20.1 $19.9 $0.2 Cash & Cash Equivalents $210 $78 $132 Total Interest Expense $6.8 $7.1 $0.2 Investment Securities $101 $101 $0 Net Interest Income $13.3 $12.9 $0.4 Loans Receivable, net $1,602 $1,589 $13 Non Interest Income $1.1 $1.0 $0.0 All Other Assets $141 $114 $26 Non Interest Expense2 $9.7 $9.2 $(0.4) Total Assets $2,054 $1,882 $171 Pre-Tax, Pre-Provision Net Revenue $4.7 $4.7 $(0.0) Total Deposits $1,681 $1,492 $189 Provision for Loan Losses $3.2 $0.3 $(2.9) Total Borrowings $150 $175 $(25) Pre-Tax Income $1.5 $4.4 $(2.9) Other Liabilities $52 $33 $19 Income Tax Expense $0.2 $0.9 $(0.8) Total Liabilities $1,883 $1,700 $184 Reported Net Income $1.4 $3.5 $(2.1) Equity $170 $182 $(12) EPS $0.17 $0.44 $(0.27) Total Liabilities & Equity $2,054 $1,882 $171 Pre-Tax, Pre-Provision Net Revenue per share3 $0.60 $0.61 $(0.01) 1 Variances are rounded based on actual whole dollar amounts 2 1Q20 includes $0.2 million of one-time expenses; please see 1Q20 Earnings Release for detailed discussion of non interest expense 8 3 Pre-tax, pre-provision per share is a non-GAAP metric

Deposit & Borrowing Trends Dollars in millions • Liability-sensitive balance sheet well Deposit Balances positioned to capture benefits of lower short- Checking Savings term rates Money Market Time Deposits $1,681 • Impact of 2020 rate reductions on non- $1,800 $1,502 $1,492 maturity deposits to yield a ~$2.5 million $1,398 1 $1,600 after tax benefit in 2020 $1,400 • Anticipate additional savings on Retail CD $1,200 rollovers in 2020 $1,000 ̶ ~$200 million maturing in 2020 at an $800 average rate of 2.23% $600 $400 • Post 3/31, executed $50 million of 5 year $200 Interest Rate Swaps on new borrowings, at a fixed rate of 0.55% $0 2017 2018 2019 1Q20 ̶ Facilitates run-off of higher priced Avg Cost 0.93% 1.30% 1.66% 1.52% funding as excess liquidity is paid down of Deposits post-COVID-19 Rate reductions expected to generate a cost of deposits 2020 “exit rate” of ~1.00% 1 Had these lower rates been in effect throughout 1Q, our pro-forma efficiency ratio would have been ~63% 9

Loan Portfolio Trends Dollars in millions Loan Portfolio Yields • Loans grew $16 million in 1Q20 $1,800 5.00% ̶ Driven by $48 million of funded 4.64% 4.58% 4.48% 4.45% 4.38% 4.50% originations and additional line $1,700 draws of $21 million (~44% $1,605 $1,604 $1,621 4.00% $1,600 construction related) $1,543 3.50% $1,500 ̶ Offset by prepayments of $42 3.00% million $1,400 $1,366 2.50% • Outlook for originations and 2.00% $1,300 prepayments for remainder of 2020 is 1.50% $1,200 uncertain 1.00% $1,100 • Existing portfolio has limited exposure 0.50% to interest rate variability in 2020: $1,000 0.00% 2016 2017 2018 2019 1Q20 ̶ < 10% variable rate loans 1 Gross Loan Balance Portfolio Yield ̶ Only ~$50 million of fixed rate loans have rate reset dates in 20202 1 Weighted average yield based on active loans as of 12-31 for each of the respective years & 3-31 for 1Q20 2 Some fixed rate loans have a contractual interest rate reset after 3 or 5 years (as examples), prior to maturity 10

Tangible Book Value • Bankwell utilizes interest rate swaps to manage its interest rate risk • The interest rate swaps are marked to market each quarter, with the unrealized gains or losses recognized in Other Comprehensive Income (“OCI”) • In 1Q20, falling long term interest rates have increased the unrealized loss positions on Bankwell’s interest rate swaps, reducing TBV by $1.75 per share • As long term rates rise, the impact to OCI is reversed ̶ For every 10 basis point increase on long term rates, TBV increases by ~$0.16 Tangible Book Value (TBV) Per Share Walk $0.47 $23.15 $0.30 $0.14 $21.69 $0.23 $0.03 $1.75 2019 NI x COVID-19 COVID-19 Dividends Int Rate Swaps Share Buyback All Other 1 1Q20 1 All Other includes items such as, but not limited to, changes in unrealized gain/loss of securities and changes related to stock grants 11

Financial Snapshot 1Q20 excl. Dollars in thousands, except per share data 2016 2017 1 2018 2019 1Q20 COVID-19 2 Total assets $1,628,919 $1,796,607 $1,873,665 $1,882,182 $2,053,625 $2,056,008 Net loans $1,343,895 $1,520,879 $1,586,775 $1,588,840 $1,602,146 $1,605,163 Loan-to-deposit ratio 105.6% 110.1% 106.4% 107.1% 96.1% 96.1% Efficiency ratio 56.5% 54.9% 59.2% 60.2% 67.1% 67.1% Non interest expense / Avg. assets 2.03% 1.88% 1.93% 1.90% 2.04% 2.04% Net interest margin 3.54% 3.30% 3.18% 3.03% 2.98% 2.98% Total capital to risk weighted assets 12.85% 12.19% 12.50% 13.35% 13.13% 13.09% Tangible common equity ratio 8.78% 8.81% 9.16% 9.56% 8.16% 8.27% Return on average equity 8.94% 8.93% 10.19% 10.20% 3.03% 8.30% Tangible book value per share $18.98 $20.59 $22.06 $23.15 $21.69 $21.99 Net interest income $49,092 $54,364 $56,326 $53,761 $13,286 $13,286 Net income $12,350 $13,830 $17,433 $18,216 $1,363 $3,746 EPS (fully diluted) $1.62 $1.78 $2.21 $2.31 $0.17 $0.47 1Q20 performance significantly impacted by the $3.0 million COVID-19-related provision 1 Values are based on reported earnings / performance, which were impacted primarily as a result of the Tax Cut and Jobs Act passed in December 2017 along with several other smaller items. Please refer to BWFG’s 4Q’17 Earnings Release for further detail 12 2 1Q20 values and metrics excluding only the impact of the $3.0 million COVID-19-related provision

Credit & Capital Impact of COVID-19

Strong Asset Quality Dollars in thousands Non Performing Loans / Gross Loans 0.66% 0.88% SBA-guaranteed portion 0.29% of NPLs ($4.6MM) 0.66% 0.66% 0.36% 0.37% Core NPL exposure 2017 2018 2019 1Q20 NPLs $5,481 $14,082 $10,588 $10,654 Quarry Loans1 $0 $6,943 $1,863 $1,863 1Q20 Detail • The Quarry Loans1 credit issue from 2018 is resolved; remaining balance 100% guaranteed by the SBA, processing delay possible due to COVID-19 • An additional $2.8 million of non-performing loan balances are also SBA-guaranteed SBA guarantee reduces NPLs by 29 basis points 1 See BWFG’s 4Q’18 Earnings Release and related Investor Presentation for Quarry Loans background 14

ALLL Update Dollars in thousands Allowance for Loan Loss (“ALLL”) Trends • Bankwell is not subject to CECL and 1.23% General Reserve ALLL is calculated under the incurred 0.01% COVID-19 loss model Specific Reserve 1.03% 0.96% 0.03% 0.02% • 1Q20 provision includes $132 0.84% 0.19% 1.22% thousand related to $16 million loan 0.03% growth in the quarter 0.94% 0.81% 0.81% • The remaining provision includes the impact of the macroeconomic 2017 2018 2019 1Q20 environment and a qualitative General Allowance for Loan Losses Reserve Detail assessment of sectors and loans most 4Q19 + Portfolio + Incremental 1Q20 As a % of likely impacted by COVID-19, Loan Type General Bal Growth COVID-19 General Bal Loan Type including initial loan modification CRE $10,179 $23 $2,468 $12,670 1.12% requests C&I $1,770 $97 $364 $2,230 0.92% COVID-19 modification requests have Resi & All Other $730 ($39) $95 $785 0.56% not been evaluated for specific Construction $324 $52 $90 $466 0.43% reserves General ALLL Reserve $13,003 $132 $3,017 $16,151 1.00% Added $3.0 million to provision as an initial estimate of potential COVID-19 exposure 15

COVID-19 Relief Requests Dollars in millions Total Portfolio • While this population has requested relief, Request for Loan $ Assoc. Total it does not reflect any assessment of future Loan Type Relief w/Requests Outstanding % of Total credit losses CRE excl. SBA 90 $200 $1,126 18% C&I excl. SBA 18 $4 $231 2% • As of March 31st, approximately 15% of the total portfolio have made requests, with SBA 70 $17 $17 100% 85% of requests coming from within the Residential 10 $4 $139 3% CRE portfolio1 Construction 2 $9 $108 9% • 100% of the SBA loan population received 6 month deferrals, as mandated by SBA Total 190 $235 $1,621 15% • Decisions on deferment requests made on a CRE Portfolio excluding SBA Loans case-by-case basis based on demonstrated Loan $ LTV need CRE Loan Request Assoc. Assoc. w/ Total % of Type for Relief w/Requests Requests Outstanding Total • All requests met the various regulatory Retail 33 $71 63% $327 22% guidelines under which relief is to be Mixed Use 13 $42 66% $103 41% granted Office 23 $40 72% $346 11% • Since March 31st, an additional 24 requests have been made3, representing an All Other 21 $48 67% $350 14% additional $40 million of our portfolio Total 90 $200 66% $1,126 18% 1 Based on dollars outstanding 2 LTVs based on original LTV values, at loan inception 16 3 As of April 21st, 2020

Capital Position Key Capital Ratios 1 • $50+ million of additional 13.13% Total Capital above ‘well 13.35% capitalized’ Total Capital Total 1 • This estimate represents 12.14% the magnitude of credit CET1 12.53% Tier 1 Tier / costs BWFG could CET1 Tier 1 withstand and is NOT an 1 estimate of what the 10.84% Company believes will Tier 1 Tier 10.99% Leverage happen 8.16% • CRE concentration of TCE 9.56% 473%, similar to prior years 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 8.00% 9.00% 10.00% 11.00% 12.00% 13.00% 14.00% 1Q20 4Q19 ‘Well Capitalized’ Min Bankwell’s capital position remains strong in the current environment 1 Represents Bank ratios; current period capital ratios are preliminary subject to finalization of the FDIC Call Report 17

Portfolio Overview

Total Loan Portfolio Consumer Loans / Other Commercial 0.57% Const. Residential 6.64% • Portfolio oversight 8.03% provided by team of 28 C&I relationship managers, 14.97% credit analysts and portfolio managers • Well diversified portfolio; CRE Owner no single relationship Occupied represents more than 10.32% ~5.5% of total loans, as of st March 31 , 2020 CRE Investor 59.46% Total Loan Portfolio = $1,621 million 19

CRE Loan Portfolio 1 Total CRE Portfolio = Special Use Industrial Select details of Retail and Office segments $1,131 million 3.13% Warehouse 11.06% Retail Composition Count $MM % LTV3 Mixed Use Retail2 82 $202 61.3% 64% Retail 9.10% 29.07% Grocery 10 $74 22.4% 61% Pharmacy 8 $27 8.1% 66% MultiFamily 10.57% Gas / Auto Services 15 $14 4.3% 64% 1-4 Family Restaurant 28 $13 3.9% 56% Investment 2.56% Other Total Retail 143 $329 100.0% 64% 3.88% • Average deal size is $2.3MM Office 30.63% • Property Type mix continues to show well diversified exposure Office Composition Count $MM % LTV3 • ~ 50% of all CRE loan balances have recourse, non recourse loans by Office (primarily suburban) 98 $249 71.9% 65% policy require lower LTV and higher DSCR Medical 38 $95 27.5% 68% • CRE Retail loans have an average LTV of 64%3 and an average DSCR of at least 1.7x Condo 8 $2 0.6% 67% • No significant exposure to any one retailer; no exposure to bankrupt Total Office 144 $346 100.0% 66% retailers • Average deal size is $2.4MM • No nursing home exposure 1 Includes Owner Occupied CRE, does not include Construction 2 Comprised primarily of neighborhood and convenience centers, typically characterized by: size up to 125,000 sq. ft.; convenience and service oriented 20 3 LTVs based on original LTV values, at loan inception

CRE Loan Portfolio 1 Geography Distribution Loan To Value 3 MS Property Type $MM LTV NC 1.53% Office $346.5 65.9% 1.60% PA All Other Retail $328.9 63.9% 1.74% 9.80% Industrial/Warehouse $125.1 61.5% NJ Multifamily $119.6 67.5% 2.12% Mixed Use $102.9 64.2% Special Use $35.5 61.8% NY 1-4 Family Investment $28.9 64.7% 13.87% Other $17.5 41.4% CT Land $15.8 49.7% 69.33% Self Storage $10.6 54.1% Total $1,131.2 64.0% Vintage Year $ MM Distribution The weighted Pre 2017 $655.2 58% • Continued focus in primary market of the tri-state area 2017 $163.9 14% average age of (CT/NY/NJ) but maintaining diversification by following 2018 $137.1 12% strongest customers to growth markets 2019 $127.0 11% the portfolio is • Of the CT-based loans, 63% are in Fairfield County2 2020 $48.0 4% 3.8 years Total $1,131.2 100% 1 Includes Owner Occupied CRE, does not include Construction 2 Based on dollar volume 21 3 LTVs based on original LTV values, at loan inception;

C&I Loan Portfolio • C&I portfolio has minimal Loans by Industry Type exposure to the following Transport/Warehouse industries (each industry < 2% Professional, Sci & Tech Services $4 million) : 2% All Other 12% ̶ Accommodation & Food Admin & Support, Waste Management, Remediation Services Services Finance 3% ̶ Retail Trade 34% Information • No exposure to the Energy 3% sector; Nursing Homes Arts, Entertainment & Recreation 7% Construction • Limited leverage loan 10% exposure (~$14 million) Insurance • Within the C&I portfolio, the (Primarily Brokers) 27% majority of the Lines of Credit are uncommitted lines Total C&I Portfolio = $243 million 22

Commercial Construction Portfolio • Commercial construction loans comprise < By Property Type 7% of total loan portfolio (~$108 million) Medical Special Use Office 3% General Condo 2% 1% • $67 million of unfunded commitments, Self Storage Land 4% committed construction draws are subject 4% to various terms and conditions, including 1-4 Family Inv. third party reports 4% # $ % $ General Retail 6% Dollars in millions Loans Committed Unfunded Unfunded Multifamily 48% YE’19 Balance 38 $180 45% $80 Mixed Use 1Q20 Closures (3) ($20) 13% YE’19 Loans @ 1Q20 35 $160 35% $56 New 1Q20 Loans 6 $14 Hotel/Motel 15% 1Q20 Balance 41 $175 38% $67 23

Residential Portfolio Loan Vintage • Bankwell exited the residential mortgage business at the end of 2017 Year $ MM Distribution Pre 2013 $41.7 30% • Of the $139 million in the Residential 2013 $20.5 15% portfolio, $9 million are HELOCs 2014 $15.9 11% 2015 $18.2 13% • The remaining $130 million of residential 2016 $22.5 16% mortgages have an average LTV of 66.2%1 2017 $19.7 14% and an average size of $632 thousand 2018 $0.8 1% 2019 $0.0 0% • 92% ($119 million) of residential mortgages 2020 $0.0 0% secured by residences in Fairfield County, Total $139.4 100% CT ̶ Of those Fairfield County mortgages, 68% are secured by residences in the towns of New Canaan, Fairfield & Westport 1 LTVs based on original LTV values, at loan inception 24

Bankwell History & Overview

Bankwell Profile Company Overview NASDAQ: BWFG • Connecticut-based $2.1 billion bank, with focus on CRE and C&I lending • 12 existing branches in Fairfield & New Haven Counties • Excluding the 3 branches opened in 2Q18, BWFG has $159 million deposits per branch; highest in Fairfield & New Haven Counties1 • Our core market of Fairfield County (the Bridgeport-Stamford-Norwalk MSA) is the premier Connecticut location, highlighted by: + Second most affluent MSA in the Nation in + Headquarters of 9 Fortune 500 companies4 per capita personal income (PCPI)2 + Home to the two largest hedge funds in the + 4 of the top 25 wealthiest towns in the U.S.3 U.S.5 1 Source: S&P Global Market Intelligence’s Branch Competitors & Pricing Report as of 6/30/19, excluding global money center banks (tickers BAC, WFC, JPM, TD & C) 2 Source: Bureau of Economic Analysis’ Metropolitan Area Table, contained within the Local Area Personal Income, 2018 news release 11/14/19 3 Source: Bloomberg: These Are the Wealthiest Towns in The U.S., 2/13/19 26 4 Source: Fortune.com: 2019 Fortune 500 5 Source: Business Insider: The 10 Biggest Hedge Funds in the U.S., 5/18/18

Experienced Leadership Team Years Name Experience Selected Professional Biography Christopher Gruseke 30+ Mr. Gruseke was a founding investor and director of Bankwell Financial Group’s predecessors, BNC Financial President & CEO Group, Inc., and The Bank of New Canaan. He brings more than 30 years of capital markets, operations, sales (since 2015) and finance experience to his role at the Company. Most recently, he was a member of the Executive Committee at CRT Capital, a Stamford, Connecticut-based broker/dealer. He also served as Co-Chief Operating Officer and a member of the Board of Greenwich Capital Markets. Mr. Gruseke earned a B.A. from Williams College and an M.S. from the Stern School of Business at New York University. Christine A. Chivily 40 Ms. Chivily has 40 years of experience in banking and real estate finance. She previously served in a risk management EVP & Chief Risk & Credit role for the CRE and C&I loan portfolios at People's United Bank. Her prior experience also includes 5 years as Officer Director of Freddie Mac’s New England region for multifamily properties and 11 years as Senior Credit Officer at RBS (since 2013) Greenwich Capital. She also has over 10 years of combined experience in lending, loan administration and workouts at other various banking institutions. Ms. Chivily received her B.A. from Mt. Holyoke College. Penko Ivanov 25+ Mr. Ivanov has more than 28 years of experience in accounting and finance. His more recent roles include CFO of EVP & CFO Darien Rowayton Bank, and CFO for the U.S. Operations of Doral Bank, where he created a scalable finance (since 2016) organization to support the rapid growth of several business units from infancy to $3 billion in assets. He began his career with Ernst & Young and held various accounting/finance positions at PepsiCo, GE Capital and Bridgewater Associates. His experience includes building, improving and overseeing all finance areas, including Controllership, SOX, Treasury, FP&A, as well as internal and external reporting functions. Mr. Ivanov holds M.B.A. and bachelor degrees in accounting and finance from the University of South Florida. He is a CPA and is also Six Sigma Black Belt certified. Matthew McNeill 20+ Mr. McNeill has more than 20 years of experience in Commercial Banking. He most recently served as Head of EVP & Chief Banking Officer Commercial Lending at Metropolitan Commercial Bank. He previously served as Senior Commercial Relationship (since 2020) Manager at HSBC, a Business Banker at Santander and a Managing Partner at American Real Estate Lending. Laura J. Waitz 35+ Ms. Waitz has over 35 years of experience for various businesses and previously was Senior Managing Director, EVP & Chief of Staff Global Head of Human Resources at The Blackstone Group. She also served as Managing Director and Global (since 2017) Head of Compensation at Citi Alternative Investments and as Head of Compensation (Americas) for Deutsche Bank. Prior to that she served as Global Compensation Manager for private equity and investment banks. Ms. Waitz received her B.S. from Penn State University. 27

Thank You & Questions