XML 31 R20.htm IDEA: XBRL DOCUMENT
v3.23.1

Stockholders' Equity and Regulatory Capital | 12 Months Ended
--- | ---
Jun. 30, 2022
Stockholders' Equity and Regulatory Capital |
Stockholders' Equity and Regulatory Capital | NOTE 11: Stockholders’ Equity and Regulatory Capital The Company and Bank are subject to various regulatory capital requirements administered by the Federal banking agencies. Failure to meet minimum capital requirements can result in certain mandatory – and possibly additional discretionary – actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and Bank must meet specific capital guidelines that involve quantitative measures of the Company and the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under U.S. GAAP, regulatory reporting requirements and regulatory capital standards. The Company and Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Furthermore, the Company and Bank’s regulators could require adjustments to regulatory capital not reflected in the consolidated financial statements. Quantitative measures established by regulatory capital standards to ensure capital adequacy require the Company and the Bank to maintain minimum amounts and ratios (set forth in the table below) of total capital, Tier 1 capital (as defined), and common equity Tier 1 capital (as defined) to risk-weighted assets (as defined) and of Tier 1 capital (as defined) to average total assets (as defined). Additionally, to make distributions or discretionary bonus payments, the Company and Bank must maintain a capital conservation buffer of 2.5% of risk-weighted assets. Management believes, as of June 30, 2022 and 2021, that the Company and the Bank met all capital adequacy requirements to which they are subject. Effective January 1, 2020, depository institutions and depository institution holding companies that have less than $10 billion in total consolidated assets and meet other qualifying criteria, including a tier 1 leverage ratio of greater than 9 percent, are considered qualifying community banking organizations and are eligible to opt into an alternative, simplified regulatory capital framework, which utilizes a newly-defined “Community Bank Leverage Ratio” (CBLR). The CBLR framework is an optional framework that is designed to reduce burden by removing the requirements for calculating and reporting risk-based capital ratios for qualifying community banking organizations that opt into the framework. Qualifying community banking organizations that elect to use the CBLR framework and that maintain a leverage ratio of greater than 9 percent are considered to have satisfied the risk-based and leverage capital requirements in the agencies’ generally applicable capital rule. In April 2020, the federal bank regulatory agencies announced the issuance of two interim final rules to provide temporary relief to community banking organizations. Under the rules, CBLR requirement was a minimum of 8.5% for calendar year 2021, and 9% thereafter. The Company and the Bank have not made an election to utilize the CBLR framework, but will continue to monitor the available option, and could do so in the future. In August 2020, the Federal banking agencies adopted a final rule updating a December 2018 rule regarding the impact on regulatory capital of adoption of the CECL standard. The rule now allows institutions that adopt the CECL standard in 2020 a five-year transition period to recognize the estimated impact of adoption on regulatory capital. The Company and the Bank elected to exercise the option to recognize the impact of adoption over the five-year period. As of June 30, 2022, the most recent notification from the Federal banking agencies categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized the Bank must maintain minimum total risk-based, Tier 1 risk-based, common equity Tier 1 risk-based, and Tier 1 leverage ratios as set forth in the table. There are no conditions or events since that notification that management believes have changed the Bank’s category. The tables below summarize the Company and Bank’s actual and required regulatory capital: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | To Be Well Capitalized Under |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Prompt Corrective Action |
​ | ​ | Actual | ​ | For Capital Adequacy Purposes | ​ | Provisions |
As of June 30, 2022 |  | Amount |  | Ratio |  | Amount |  | Ratio |  | Amount |  | Ratio |
(dollars in thousands) |  | ​ |  |  |  |  | ​ |  |  |  |  | ​ |  |  |  | ​
Total Capital (to Risk-Weighted Assets) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Consolidated | ​ | $ | 370,013 | ​ | 13.42 | % | $ | 220,558 | ​ | 8.00 | % | ​ | n/a | ​ | n/a | ​
Southern Bank | ​ | ​ | 352,169 | ​ | 12.90 | % | ​ | 218,397 | ​ | 8.00 | % | ​ | 272,996 | ​ | 10.00 | %
Tier I Capital (to Risk-Weighted Assets) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Consolidated | ​ | ​ | 335,316 | ​ | 12.16 | % | ​ | 165,418 | ​ | 6.00 | % | ​ | n/a | ​ | n/a | ​
Southern Bank | ​ | ​ | 325,183 | ​ | 11.91 | % | ​ | 163,797 | ​ | 6.00 | % | ​ | 218,397 | ​ | 8.00 | %
Tier I Capital (to Average Assets) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Consolidated | ​ | ​ | 335,316 | ​ | 10.41 | % | ​ | 128,822 | ​ | 4.00 | % | ​ | n/a | ​ | n/a | ​
Southern Bank | ​ | ​ | 325,183 | ​ | 10.22 | % | ​ | 127,333 | ​ | 4.00 | % | ​ | 159,167 | ​ | 5.00 | %
Common Equity Tier I Capital (to Risk-Weighted Assets) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Consolidated | ​ | ​ | 319,971 | ​ | 11.61 | % | ​ | 124,064 | ​ | 4.50 | % | ​ | n/a | ​ | n/a | ​
Southern Bank | ​ | ​ | 325,183 | ​ | 11.91 | % | ​ | 122,848 | ​ | 4.50 | % | ​ | 177,447 | ​ | 6.50 | %
​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | To Be Well Capitalized Under |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Prompt Corrective Action |
​ | ​ | Actual | ​ | For Capital Adequacy Purposes | ​ | Provisions |
As of June 30, 2021 |  | Amount |  | Ratio |  | Amount |  | Ratio |  | Amount |  | Ratio |
(dollars in thousands) |  | ​ |  |  |  |  | ​ |  |  |  |  | ​ |  |  |  | ​
Total Capital (to Risk-Weighted Assets) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Consolidated | ​ | $ | 315,490 | ​ | 14.18 | % | $ | 177,938 | ​ | 8.00 | % | ​ | n/a | ​ | n/a | ​
Southern Bank | ​ | ​ | 308,482 | ​ | 13.96 | % | ​ | 176,816 | ​ | 8.00 | % | ​ | 221,019 | ​ | 10.00 | %
Tier I Capital (to Risk-Weighted Assets) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Consolidated | ​ | ​ | 287,701 | ​ | 12.93 | % | ​ | 133,453 | ​ | 6.00 | % | ​ | n/a | ​ | n/a | ​
Southern Bank | ​ | ​ | 282,638 | ​ | 12.79 | % | ​ | 132,612 | ​ | 6.00 | % | ​ | 176,816 | ​ | 8.00 | %
Tier I Capital (to Average Assets) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Consolidated | ​ | ​ | 287,701 | ​ | 10.61 | % | ​ | 108,505 | ​ | 4.00 | % | ​ | n/a | ​ | n/a | ​
Southern Bank | ​ | ​ | 282,638 | ​ | 10.43 | % | ​ | 108,369 | ​ | 4.00 | % | ​ | 135,461 | ​ | 5.00 | %
Common Equity Tier I Capital (to Risk-Weighted Assets) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Consolidated | ​ | ​ | 272,458 | ​ | 12.25 | % | ​ | 100,090 | ​ | 4.50 | % | ​ | n/a | ​ | n/a | ​
Southern Bank | ​ | ​ | 282,638 | ​ | 12.79 | % | ​ | 99,459 | ​ | 4.50 | % | ​ | 143,663 | ​ | 6.50 | %
​ The Bank’s ability to pay dividends on its common stock to the Company is restricted to maintain adequate capital as shown in the above tables. Additionally, prior regulatory approval is required for the declaration of any dividends generally in excess of the sum of net income for that calendar year and retained net income for the preceding two calendar years. At June 30, 2022, approximately $38.0 million of the equity of the Bank was available for distribution as dividends to the Company without prior regulatory approval.

X
- Definition Represents the textual narrative disclosure of NOTE 14: Stockholders' Equity and Regulatory Capital, during the indicated time period. + References No definition available. + Details
Name: | smbc_StockholdersEquityAndRegulatoryCapitalTextBlock
Namespace Prefix: | smbc_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

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