XML 35 R24.htm IDEA: XBRL DOCUMENT
v3.24.3

Fair Value Measurements (Tables) | 9 Months Ended
--- | ---
Sep. 30, 2024
Fair Value Disclosures [Abstract] |
Summary of Estimated Fair Values of Financial Instruments | The following tables present estimated fair values of the Company’s financial instruments as of the period indicated, whether or not recognized or recorded in the consolidated balance sheets at the period indicated:
| September 30, 2024 |  | Fair Value Measurements Using
| Carrying Value |  | Estimated Fair Value |  | Level 1 |  | Level 2 |  | Level 3
| (dollars in thousands; unaudited)
Financial assets |  |  |  |  |  |  |  |  |
Cash and due from banks | $ | 45,327 |  |  | $ | 45,327 |  |  | $ | 45,327 |  |  | $ | — |  |  | $ | — |
Interest earning deposits with other banks | 438,699 |  |  | 438,699 |  |  | 438,699 |  |  | — |  |  | — |
Investment securities | 48,620 |  |  | 49,197 |  |  | — |  |  | 49,197 |  |  | — |
Other investments | 10,757 |  |  | 10,757 |  |  | — |  |  | 8,138 |  |  | 2,619 |
Loans receivable | 3,418,832 |  |  | 3,413,386 |  |  | — |  |  | — |  |  | 3,413,386 |
Accrued interest receivable | 23,664 |  |  | 23,664 |  |  | — |  |  | 23,664 |  |  | — |
Financial liabilities |  |  |  |  |  |  |  |  |
Deposits | $ | 3,627,288 |  |  | 3,626,949 |  |  | $ | — |  |  | $ | 3,626,949 |  |  | $ | — |
Subordinated debt | 44,256 |  |  | 45,783 |  |  | — |  |  | 45,783 |  |  | — |
Junior subordinated debentures | 3,591 |  |  | 3,498 |  |  | — |  |  | 3,498 |  |  | — |
Accrued interest payable | 1,070 |  |  | 1,070 |  |  | — |  |  | 1,070 |  |  | — |
| December 31, 2023 |  | Fair Value Measurements Using
| Carrying Value |  | Estimated Fair Value |  | Level 1 |  | Level 2 |  | Level 3
| (dollars in thousands; unaudited)
Financial assets |  |  |  |  |  |  |  |  |
Cash and due from banks | $ | 31,345 |  |  | $ | 31,345 |  |  | $ | 31,345 |  |  | $ | — |  |  | $ | — |
Interest earning deposits with other banks | 451,783 |  |  | 451,783 |  |  | 451,783 |  |  | — |  |  | — |
Investment securities | 150,364 |  |  | 150,545 |  |  | 99,461 |  |  | 51,084 |  |  | — |
Other investments | 10,227 |  |  | 10,227 |  |  | — |  |  | 7,605 |  |  | 2,622 |
Loans receivable, net | 3,026,092 |  |  | 2,936,917 |  |  | — |  |  | — |  |  | 2,936,917 |
Accrued interest receivable | 26,819 |  |  | 26,819 |  |  | — |  |  | 26,819 |  |  | — |
Financial liabilities |  |  |  |  |  |  |  |  |
Deposits | $ | 3,360,363 |  |  | $ | 3,359,867 |  |  | $ | — |  |  | $ | 3,359,867 |  |  | $ | — |
Subordinated debt | 44,144 |  |  | 43,908 |  |  | — |  |  | 43,908 |  |  | — |
Junior subordinated debentures | 3,590 |  |  | 3,491 |  |  | — |  |  | 3,491 |  |  | — |
Accrued interest payable | 892 |  |  | 892 |  |  | — |  |  | 892 |  |  | — |
Summary of Assets Measured at Fair Value on Recurring Basis | Items measured at fair value on a recurring basis – The following fair value hierarchy table presents information about the Company’s assets that are measured at fair value on a recurring basis at the dates indicated:
| Level 1 |  | Level 2 |  | Level 3 |  | Total Fair Value
| (dollars in thousands; unaudited)
September 30, 2024 |  |  |  |  |  |  |
Available-for-sale |  |  |  |  |  |  |
U.S. Agency collateralized mortgage obligations | $ | — |  |  | $ | 38 |  |  | $ | — |  |  | $ | 38 |
| $ | — |  |  | $ | 38 |  |  | $ | — |  |  | $ | 38 |
December 31, 2023 |  |  |  |  |  |  |
Available-for-sale |  |  |  |  |  |  |
U.S. Treasury securities | $ | 99,461 |  |  | $ | — |  |  | $ | — |  |  | $ | 99,461 |
U.S. Agency collateralized mortgage obligations | — |  |  | 43 |  |  | — |  |  | 43 |
| $ | 99,461 |  |  | $ | 43 |  |  | $ | — |  |  | $ | 99,504 |
Summary of Financial Assets and Liabilities Measured at Fair Value on Nonrecurring Basis | Items measured at fair value on a nonrecurring basis – The following table presents financial assets and liabilities measured at fair value on a nonrecurring basis and the level within the fair value hierarchy of the fair value measurements for those assets at the dates indicated:
| Level 1 |  | Level 2 |  | Level 3 |  | Total Fair Value
| (dollars in thousands; unaudited)
September 30, 2024 |  |  |  |  |  |  |
Collateral dependent loans | $ | — |  |  | $ | — |  |  | $ | 933 |  |  | $ | 933 |
Equity securities | $ | — |  |  | $ | — |  |  | $ | 2,619 |  |  | $ | 2,619 |
Total | $ | — |  |  | $ | — |  |  | $ | 3,552 |  |  | $ | 3,552 |
December 31, 2023 |  |  |  |  |  |  |
Collateral dependent loans | $ | — |  |  | $ | — |  |  | $ | 7,315 |  |  | $ | 7,315 |
Equity securities | — |  |  | — |  |  | 2,622 |  |  | 2,622 |
Total | $ | — |  |  | $ | — |  |  | $ | 9,937 |  |  | $ | 9,937 |
Summary of Carrying Value of Equity Securities Without Readily Determinable Fair Values | The following table presents the carrying value of equity securities without readily determinable fair values, as of September 30, 2024, with adjustments recorded during the periods presented for those securities with observable price changes, if applicable. These equity securities are included in other investments on the balance sheet. •As of September 30, 2024 and December 31, 2023, we had a $2.2 million equity interest in a specialized bank technology company. •We had a $350,000 equity interest in a technology company as of September 30, 2024 and December 31, 2023. •We had a $47,000 and $50,000 equity interest in an additional technology company as of September 30, 2024 and December 31, 2023, respectively.
|  | For the Three Months Ended September 30, |  | For the Nine Months Ended September 30,
(dollars in thousands; unaudited) |  | 2024 |  | 2023 |  | 2024 |  | 2023
Carrying value, beginning of period |  | $ | 2,622 |  |  | $ | 2,572 |  |  | $ | 2,622 |  |  | $ | 2,572 |
Purchases |  | — |  |  | — |  |  | — |  |  | — |
Observable price change |  | (3) |  |  | — |  |  | (3) |  |  | — |
Carrying value, end of period |  | $ | 2,619 |  |  | $ | 2,572 |  |  | $ | 2,619 |  |  | $ | 2,572 |
Summary of Assets and Liabilities Classified as Level 3 and Measured at Fair Value on Nonrecurring Basis | The following table provides a description of the valuation technique, unobservable inputs, and qualitative information about the unobservable inputs for the Company’s assets and liabilities classified as Level 3 and measured at fair value on a nonrecurring basis at the date indicated:
(unaudited) |  | Valuation Technique |  | Unobservable Inputs |  | September 30, 2024 Weighted Average Rate |  | December 31, 2023 Weighted Average Rate
Collateral dependent loans |  | Collateral valuations |  | Discount to appraised value |  | 8.4% |  | 8.0%

X
- Definition Tabular disclosure of investment in equity security without readily determinable fair value. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 321 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479536/321-10-50-3 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 321 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479536/321-10-50-3 Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 321 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479536/321-10-50-3 + Details
Name: | us-gaap_EquitySecuritiesWithoutReadilyDeterminableFairValueTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of assets and liabilities by class, including financial instruments measured at fair value that are classified in shareholders' equity, if any, that are measured at fair value on a nonrecurring basis in periods after initial recognition (for example, impaired assets). Disclosures may include, but are not limited to: (a) the fair value measurements recorded and the reasons for the measurements and (b) the level within the fair value hierarchy in which the fair value measurements are categorized in their entirety (levels 1, 2, 3). + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 + Details
Name: | us-gaap_FairValueAssetsMeasuredOnNonrecurringBasisTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique used to measure similar asset in prior period by class of asset or liability on non-recurring basis. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (bbb) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 + Details
Name: | us-gaap_FairValueAssetsMeasuredOnNonrecurringBasisValuationTechniquesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of assets, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, by class that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3). + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 + Details
Name: | us-gaap_FairValueAssetsMeasuredOnRecurringBasisTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 11 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482907/825-10-50-11 + Details
Name: | us-gaap_FairValueByBalanceSheetGroupingTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_FairValueDisclosuresAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration