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Exhibit 99.1

FIRST FOUNDATION INC. REPORTS FIRST QUARTER 2021 RESULTS

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DALLAS, TX – First Foundation Inc. (NASDAQ: FFWM), a financial services company with two wholly-owned operating subsidiaries, First Foundation Advisors (“FFA”) and First Foundation Bank (“FFB”), reported net income of $22.4 million, or $0.50 per diluted share, for the first quarter of 2021, compared to net income of $22.4 million, or $0.50 per diluted share, for the fourth quarter of 2020.  Additionally, First Foundation Inc. announced today that its Board of Directors has approved the payment of a quarterly cash dividend of $0.09 per common share, payable on May 17, 2021 to common shareholders of record as of May 7, 2021.

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Loans

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Loans increased $321 million, or 6.0%, compared to the prior quarter to $5.6 billion as of March 31, 2021, and increased $304 million, or 5.7%, compared to March 31, 2020.  New loan fundings in the first quarter of 2021 were a quarterly record for FFB totaling $765 million, an increase of $50 million, or 7.0%, from the fourth quarter of 2020 and an increase of $102 million, or 15.4%, from the first quarter of 2020. Contributing to our record quarter of loan originations, our C&I division funded $406 million of new commercial loans during the first quarter of 2021 of which 48% were adjustable commercial revolving lines of credit.  The remaining C&I originations were comprised of $108 million of commercial term loans, $69 million of public finance loans, $24 million of equipment finance leases, and $9 million of owner occupied commercial real estate loans.  Included in commercial term loans originations is $45.8 million of second round PPP fundings. Loan growth during the first quarter of 2021 was also impacted by loan payoffs of $477 million, compared to payoffs of $534 million in the fourth quarter of 2020 and $396 million in the first quarter of 2020. The current pipeline remains strong in 2021.

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Investment Securities

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Investment securities decreased $56.6 million, or 6.9%, from the prior quarter to $758.1 million as of March 31, 2021, and decreased $203.4 million, or 21.2%, compared to March 31, 2020. The decreases in the balance of investment securities compared to the fourth quarter of 2020 and first quarter of 2020 were primarily driven by elevated prepayments in our agency mortgage backed securities portfolio.

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The allowance for credit losses for investments increased by $1.6 million to $8.9 million in the quarter. The increase was a result of the lower interest rate environment and faster than expected prepayments that negatively impacted the projected cash flows on FFB’s interest-only strip securities.   

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Deposits and Borrowings

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Deposits increased $332 million, or 5.6%, during the first quarter of 2021, to $6.2 billion compared to the prior quarter, and increased $1.2 billion, or 24.2%, compared to the first quarter of 2020. Deposit growth during the first quarter of 2021 was primarily driven by an increase of $526.9 million, or 32%, in non-interest bearing demand deposits, largely attributable to our commercial deposit services division, and an increase of $141.2 million, or 16%, in interest-bearing demand deposits, primarily driven by our retail branches.  The increases in deposits were offset by a reduction in savings accounts of $115.0 million, largely from the retail branches, in addition to a reduction in CDs of $213.2 million, primarily due to our intentional run-off of higher cost brokered deposits. Noninterest-bearing demand deposits measured 34.9% of total deposits as of March 31, 2021, compared to 28.0% of total deposits as of December 31, 2020, while core deposits continued to increase and measured 98% of total deposits as of March 31, 2021, compared to 94% of total deposits as of December 31, 2020.

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The $332 million growth in deposits during the first quarter of 2021 included increases in the commercial deposit services division of $419 million and retail branch deposits of $45 million, which were partially offset by a $179 million decrease in wholesale brokered deposits and Digital Bank channel deposits of $35 million. Of the $511 million increase in core deposits, $491 million, or 96% were attributed to commercial business deposits from both our Commercial Deposit channel serving complex treasury management commercial customers, and from our business banking customers served by our retail branches. Commercial business deposits were 70% of total core deposits as of March 31, 2021.  

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Our loan to deposit ratio measured 90.1% as of March 31, 2021, compared to 89.8% as of December 31, 2020 and 105.9% as of March 31, 2020.

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The balance of Federal Home Loan Bank (FHLB) advances decreased 98.0% in the first quarter of 2021, to $5 million, compared to $255 million in the fourth quarter of 2020, and decreased by $779 million compared to the first quarter of 2020. Borrowings decreased during the quarter as cash provided by the increase in deposits, which exceeded the growth in our assets, was used to pay down our borrowings at FFB.

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Private Wealth Management and Trust Assets

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AUM at FFA increased to $5.0 billion.  The $101 million increase in AUM during the first quarter of 2021 was the net result of $106 million of new accounts, $112 million of portfolio gains, and terminations and net withdrawals of $117 million. AUA at FFB’s Trust Department increased $91.6 million to $1.2 billion during the first quarter of 2021.  The Advisory and Trust divisions achieved a combined pre-tax profit margin of 16% in the quarter.

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Net Interest Income

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Net interest income was $54.2 million for the first quarter of 2021, compared to $51.7 million and $44.9 million in the fourth quarter of 2020 and first quarter of 2020, respectively.  Interest income from loans increased 3.8% to $53.5 million for the first quarter of 2021, compared to $51.5 million for the fourth quarter of 2020, driven primarily by higher average loan balances. Interest income from investment securities and interest-earning cash decreased by 13.8%, to $5.6 million for the first quarter of 2021, compared to $6.4 million for the fourth quarter in 2020, and decreased 24.8%, compared to $7.5 million in the first quarter of 2020, driven primarily by a decrease in average investment securities balances.

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Interest expense decreased 21.0% to $4.9 million for the first quarter of 2021, compared to $6.2 million for the fourth quarter of 2020, and decreased 72.0% compared to $17.5 million for the first quarter of 2020. The decreases in interest expense were driven primarily by 22.0% and 68.5% decreases in interest expense on deposits compared to the fourth quarter of 2020 and first quarter of 2020, respectively, to $4.6 million for the first quarter of 2021, and due to 16 and 114 basis point lower average rates on interest-bearing deposits, that were partially offset by higher average balances of deposits, compared to the fourth quarter of 2020 and first quarter of 2020, respectively. Interest expense on FHLB advances decreased 23.7% compared to the prior quarter, to $0.2 million for the first quarter of 2021, due to lower average balances.

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Net Interest Margin

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Net interest margin decreased three basis points to 3.16% in the first quarter of 2021 from 3.19% in the fourth quarter of 2020, and increased 24 basis points from 2.92% in the first quarter of 2020. The linked-quarter change was primarily driven by a 12 basis point decrease in interest-earning assets, combined with an increase in the balance of those interest-bearing assets by 6.0%.  The year to year quarterly change in NIM reflects the current low interest rate environment which positively impacted our NIM, as our cost of funds have fallen faster than the yield on our earnings assets between these two periods. Excess liquidity also contributed to the linked-quarter decrease in NIM, but that excess liquidity was used to pay down higher cost fixed FHLB borrowings and wholesale brokered CDs, in addition to funding strong loan growth.

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Noninterest Income

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Noninterest income increased 4.8% to $11.9 million in the first quarter of 2021, compared to $11.4 million in the fourth quarter of 2020. In addition, noninterest income increased 11.6% compared to $10.7 million in the first quarter of 2020.

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Noninterest income during the first quarter of 2021 was comprised primarily of $6.9 million of investment advisory fees from Wealth Management, $1.8 million of trust administrative and consulting fees, $2.9 million of loan and servicing fees, and $0.4 million of deposit account fees. Income related to Wealth Management increased in the first quarter of 2021, when compared to the fourth quarter of 2020 and the first quarter of 2020, due primarily to higher levels of fees earned on AUM.  Loan and servicing fees in the first quarter of 2021 increased compared to the first quarter of 2020 due to higher loan volume.  

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Noninterest Expense

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Noninterest expense increased 10.0% to $34.5 million for the first quarter of 2021, compared to $31.4 million for the fourth quarter of 2020, and increased 5.0%, compared to $32.9 million for the first quarter of 2020. Compensation and benefits were $3.7 million higher in the first quarter of 2021, to $21.5 million, compared to the $17.8 million in the fourth quarter of 2020, due to merit increases and annual bonus and commission payouts in the first quarter. Occupancy and depreciation expenses increased by $0.6 million in the first quarter of 2021 when compared to the first quarter of 2020 due primarily to higher core processing costs related to higher volumes and services. Noninterest expenses for Wealth Management increased by $0.7 million in the linked quarter also due to higher compensation and benefits costs.

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Our efficiency ratio for the first quarter of 2021 was 51.5%, compared to 49.0% for the fourth quarter of 2020 and 58.2% in the first quarter of 2020.

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Income Tax Expense

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We recorded an income tax expense of $8.9 million in the first quarter of 2021, compared to an income tax expense of $9.6 million in the fourth quarter of 2020, and an income tax expense of $5.4 million in the first quarter of 2020. Our effective tax rate for the first quarter of 2021 was 28.5%, compared to 30.0% for the fourth quarter of 2020, and 29.0% for the first quarter of 2020.

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Asset Quality

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Total nonperforming assets were $16.6 million as of March 31, 2021, compared to $20.6 million as of December 31, 2020, and $9.3 million as of March 31, 2020. Our ratio of nonperforming assets to total assets was 0.24% as of March 31, 2021, compared to 0.30% as of December 31, 2020, and 0.14% as of March 31, 2020. Total delinquent loans increased $7.9 million, to $10.7 million as of March 31, 2021, compared to $2.8 million as of December 31, 2020.

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Our allowance for credit losses for loans was $23.2 million, or 0.45% of total loans, as of March 31, 2021, compared to $24.2 million, or 0.50%, as of December 31, 2020 and $23.0 million, or 0.48%, as of March 31, 2020. The linked quarter decrease in the allowance for credit losses for loans was a result of improvement in the economic scenario outlook. Net charge-offs during the first quarter of 2021 were negative $0.2 million, or (0.01)% of average loans annualized, compared to net charge-offs of $0.2 million, or 0.02% of average loans annualized, for the fourth quarter of 2020, and $0.1 million, or 0.01% of average loans annualized, for the first quarter of 2020.  

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The ratio of the allowance for credit losses for loans to total nonperforming assets was 139.6% as of March 31, 2021, compared to 117.3% as of December 31, 2020 and 248.6% as of March 31, 2020.

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Capital

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As of March 31, 2021, FFB exceeded all Basel III minimum regulatory capital requirements necessary to be considered a "well-capitalized" depository institution, as summarized in the table below:

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Shareholders' equity totaled $714.4 million as of March 31, 2021, an increase from $695.7 million and $623.1 million as of December 31, 2020 and March 31, 2020, respectively. Our tangible book value per common share increased $0.40 to $13.84 as of March 31, 2021, compared to $13.44 as of December 31, 2020, and increased $2.04 compared to $11.80 as of March 31, 2020.

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About First Foundation

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First Foundation Inc. (NASDAQ: FFWM) and its subsidiaries offer personal banking, business banking, and private wealth management services, including investment, trust, insurance, and philanthropy services. This comprehensive platform of financial services is designed to help clients at any stage in their financial journey. First Foundation is comprised of an extraordinary team of financial professionals united around a single cause: to enable growth-minded individuals and businesses to boldly live the life they imagined and preserve the legacy they have worked so hard to build. The financial products and services offered by First Foundation are more consistent with those offered by larger financial institutions, while its high level of personalized service, accessibility, and responsiveness to clients are more aligned with community banks and boutique wealth management firms. This combination of an integrated platform of comprehensive financial services and the products along with personalized service differentiates First Foundation from many of its competitors and has contributed to the growth of its client base and business. Services are offered through bank and/or wealth management branch offices in California, Texas, Nevada, and Hawaii. Learn more at firstfoundationinc.com, or connect with us on LinkedIn and Twitter.  

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Forward-Looking Statements

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Statements in this report regarding our expectations and beliefs about our future financial performance and financial condition, dividends, as well as trends in our business and markets are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements often include words such as "believe," "expect," "anticipate," "intend," "plan," "estimate," "project," "outlook," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may." The forward-looking statements in this report are based on current information and on assumptions that we make about future events and circumstances that are subject to a number of risks and uncertainties that are often difficult to predict and beyond our control. As a result of those risks and uncertainties, our actual financial results in the future could differ, possibly materially, from those expressed in or implied by the forward-looking statements contained in this report and could cause us to make changes to our future plans. Those risks and uncertainties include, but are not limited to the risk of incurring credit losses, which is an inherent risk of the banking business; the negative impacts and disruptions resulting from the COVID-19 pandemic on our colleagues, clients, the communities we serve and the domestic and global economy, which may have an adverse effect on our business, financial position and results of operations; the risk that we will not be able to continue our internal growth rate; the risk that we will not be able to access the securitization market on favorable terms or at all; changes in general economic conditions, either nationally or locally in the areas in which we conduct or will conduct our business; risks associated with the Federal Reserve Board taking actions with respect to interest rates, which could adversely affect our interest income and interest rate margins and, therefore, our future operating results; the risk that the performance of our investment management business or of the equity and bond markets could lead clients to move their funds from or close their investment accounts with us, which would reduce our assets under management and adversely affect our operating

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results; the risk that we may be unable or that our board of directors may determine that it is inadvisable to pay future dividends; risks associated with changes in income tax laws and regulations; and risks associated with seeking new client relationships and maintaining existing client relationships. Additional information regarding these and other risks and uncertainties to which our business and future financial performance are subject is contained in our 2020 Annual Report on Form 10-K for the fiscal year ended December 31, 2020 that we filed with the SEC on February 26, 2021, and other documents we file with the SEC from time to time. We urge readers of this report to review those reports and other documents we file with the SEC from time to time. Also, our actual financial results in the future may differ from those currently expected due to additional risks and uncertainties of which we are not currently aware or which we do not currently view as, but in the future may become, material to our business or operating results. Due to these and other possible uncertainties and risks, readers are cautioned not to place undue reliance on the forward-looking statements contained in this report, which speak only as of today's date, or to make predictions based solely on historical financial performance. We also disclaim any obligation to update forward-looking statements contained in this report or in the above-referenced reports, whether as a result of new information, future events or otherwise, except as may be required by law or NASDAQ rules.

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CONSOLIDATED BALANCE SHEETS

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CONSOLIDATED INCOME STATEMENTS

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SELECTED FINANCIAL DATA AND ASSET QUALITY

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SEGMENT REPORTING

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LOAN AND DEPOSIT BALANCES

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