Two Rivers Financial : Reports First Quarter Results

222 N. Main St. Burlington, IA 52601 319.753.9145

May 14, 2021

Dear Shareholder,

On February 25, 2021, Two Rivers Financial Group, Inc. (TRFG) successfully held its first virtual annual shareholder meeting. Four directors were re-elected to the TRFG Board of Directors: Brian Helling, John Reiher, Cristy Schmidt and Don Wiley. The Company's advancement in technology and the success of the 2021 virtual meeting were direct results of the pandemic and the necessity to leverage new and improved tools to better communicate with customers, team members and shareholders.

First Quarter Results

TRFG reported earnings of $2,755,045, or $1.26 per share, for the first quarter of 2021 compared to earnings of $2,713,606, or $1.23 per share, for the first quarter of 2020. TRFG's book value was $47.55 on March 31st, 2021 increasing 22% from $38.92 on March 31st, 2020. Tangible book value improved 34% during the same time period, increasing from $32.39 on March 31st, 2020 to $43.51 on March 31st, 2021.

The Company's return on average assets for the first quarter was 1.10% with assets and liquidity continuing to grow. Deposits increased 3% since year-end, while the demand for loans remained low. The pandemic continues to impact the needs of our customers and how our teams provide support. Our ability to assist borrowers with the Paycheck Protection Program loans was an important and continued priority during the first quarter.

Two Rivers Financial Group, Inc. Adopts Stock Repurchase Program

The Board of Directors of Two Rivers Financial Group, Inc. approved on April 21st, 2021 the repurchase of up to $4 million of its common stock, subject to market conditions.

The stock may be repurchased from time to time in the open market, in privately negotiated stock purchases or any trading plan that may be adopted in accordance with rule 10b5-1 of the Securities and Exchange Commission and applicable federal securities laws.

D.A. Davidson & Co. has been selected as managing broker for the repurchase. Contact may be made with Troy N. Carlson, SVP & Community Bank Professional at D.A. Davidson Co., [e-mail], for additional information.

TRFG 1st QTR 2021 Shareholder Letter Page 1 of 3

Transition from Physical Stock Certificates to Electronic Book Entry

On January 31, 2021, shareholders received notice TRFG elected to convert to Direct Registration System - Book Entry for TRVR stock registration. TRFG encourages shareholders to convert from physical stock certificates to electronic book entry format. Converting physical stock certificate(s) to book entry improves shareholder transferability. Maintaining shares in an electronic format is more efficient for shareholders and allows direct deposit for dividend payment. If you would like additional information or assistance in converting your shares, please contact Stacey Meyer, TRFG Executive Assistant, at [e-mail].

We continue to ensure the safety of our customers and team members as we responsibly initiate team returns to the office and safely open lobbies to our customers. Team members' and customers' responses have been positive as we cautiously transition to more normalized operations.

Respectfully,

Frank J. Delaney

TRFG Interim CEO & Chair

TRFG 1st QTR 2021 Shareholder Letter Page 2 of 3

TWO RIVERS FINANCIAL GROUP, INC.

CONSOLIDATED BALANCE SHEETS (unaudited)

IN THOUSANDS, EXCEPT FOR SHARE DATA

		Mar 31,	Mar 31,	Dec 31,
ASSETS		2021	2020	2020
CASH AND DUE FROM BANKS	$161,101	$15,977	$135,858
FEDERAL FUNDS SOLD	$498	$0	$286
INVESTMENT SECURITIES	$137,640	$86,178	$108,526
LOANS BEFORE ALLOWANCE FOR LOAN LOSSES	$694,510	$714,009	$728,325
ALLOWANCE FOR LOAN LOSSES	($10,107)	($8,006)	($10,760)
GOODWILL AND OTHER INTANGIBLES	$8,845	$14,407	$8,896
OTHER ASSETS		$38,911	$38,557	$39,470
TOTAL ASSETS		$1,031,398	$861,122	$1,010,601
LIABILITIES AND STOCKHOLDERS' EQUITY
DEPOSITS	$853,406	$697,567	$829,108
FEDERAL FUNDS PURCHASED	$0	$921	$0
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE	$29,016	$29,235	$33,125
BORROWINGS	$25,000	$30,000	$25,234
JUNIOR SUBORDINATED DEBENTURES	$10,310	$10,310	$10,310
OTHER LIABILITIES		$9,755	$7,241	$9,844
TOTAL LIABILITIES	$927,487	$775,274	$907,621
STOCKHOLDERS' EQUITY		$103,911	$85,848	$102,980
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY		$1,031,398	$861,122	$1,010,601
BOOK VALUE	$47.55	$38.92	$47.13
TANGIBLE BOOK VALUE	$43.51	$32.39	$43.06
TWO RIVERS FINANCIAL GROUP, INC.
CONSOLIDATED STATEMENTS OF INCOME (unaudited)
IN THOUSANDS, EXCEPT FOR SHARE DATA
		2021 Q1	2020 Q1	2020
INTEREST INCOME	$7,672	$8,907	$33,675
INTEREST EXPENSE		$563	$1,658	$4,245
NET INTEREST INCOME	$7,109	$7,249	$29,430
PROVISION FOR LOAN LOSSES		$255	$225	$3,050
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES	$6,854	$7,024	$26,380
NON-INTEREST INCOME	$3,528	$5,227	$23,026
NET GAIN ON SALE OF SUBSIDIARY	($19)	$0	$13,391
OPERATING EXPENSES	$6,813	$8,688	$36,451
INCOME TAXES		$795	$849	$5,904
NET INCOME		$2,755	$2,714	$20,442
EARNINGS PER SHARE	$1.26	$1.23	$9.27
CASH DIVIDENDS DECLARED PER COMMON SHARE	$0.00	$0.00	$0.66

TRFG 1st QTR 2021 Shareholder Letter Page 3 of 3