Bridgewater Bancshares, Inc. Annual Report

Fellow shareholders, It is a pleasure to provide Bridgewater Bancshares, Inc.’s annual report for 2019, a document that reinforces our story of continued financial prosperity. There are undoubtedlymany high-performing banks across the nation that boast impressive year-over-year earnings. However, we believe few operate at the level of growth, profitability and efficiency that is achieved by Bridgewater. Since inception in 2005, we have witnessed exceptional success, and we intend for this trend to continue. Looking back on another defining year, Bridgewater posted healthy financial returns in 2019 as we completed our 14th straight year of profitability. Loans and deposits experienced strong, double-digit growth, which propelled Bridgewater to $2.27 billion in assets at year-end. We held our position as one of the top five largest banks headquartered in Minnesota by asset size and continue to operate as the premier real estate lender in the Twin Cities. This past year also marked our first full fiscal year as a publicly-traded company on the Nasdaq Stock Market, a milestone that has provided the capital needed to fuel our continued growth aspirations. We continue to employ a focused business model that contributes to our efficiency: simple product offerings, a strategic branch model and a nimble, experienced team. This model has helped us build a local presence, a unique brand and strong, enduring network of local clients. We also reap the benefits of operating in an attractive market – one that has a healthy mix of both entrepreneurial and established companies, and one that headquarters over 15 Fortune 500 companies. The appeal of this market continues to heighten M&A activity. Throughout this disruption, we are proud to emerge as one of the largest, locally-led and locally-founded banks in Minnesota. While we celebrate the success of the past year, we are also planning for the future. We remain committed to maximizing shareholder value, and we intend to achieve this by delivering the same extraordinary service. We will do this by continuing to add talent and resources that help us achieve our mission. We plan to increase our market niche among seasoned real estate entrepreneurs and build out other products and services to meet the demands of our predominately commercial client base. There are several exciting strategies underway in which we plan to invest in the Bridgewater experience, including enhanced digital technologies, expanded product offerings and exciting facility developments. Building your bank continues to be an incredibly rewarding journey. While numbers show Bridgewater’s financial position, our success goes beyond that. As always, I remain appreciative of the efforts of our network. Every success from 2019 is a reflection of your trust in us. To our shareholders , thank you for your continued trust in Bridgewater. It is a privilege to be building your bank. To our clients, we recognize that you have many banking options, and we appreciate you for selecting us as your bank of choice. To our team members, your dedication makes our success a reality. Thank you for sharing your talents, expertise and commitment to our responsive service model. As we look ahead to the next year, our efficient practices, commitment to remain responsive and unconventional take on banking will remain the same. Thank you for your continued patronage of the Finest Entrepreneurial Bank in the Twin Cities.

Jerry Baack Chairman of the Board