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Securities
 9 Months Ended
Sep. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Securities Securities
Securities are classified as AFS, HTM, and equity securities. Total securities were $764.6 million as of September 30, 2025.
Securities AFS and Securities HTM
Securities AFS and securities HTM are debt securities. Securities AFS are held for indefinite periods of time and are carried at estimated fair value. As of September 30, 2025, the estimated fair value of securities AFS was $636.7 million. The net unrealized loss on securities AFS decreased $16.2 million for the nine months ended September 30, 2025, resulting in a net unrealized loss of $47.0 million as of September 30, 2025.
Securities HTM, which the Company has the intent and ability to hold until maturity, are carried at amortized cost. As of September 30, 2025, the amortized cost of securities HTM was $124.9 million.
Investment activity for the nine months ended September 30, 2025, included $146.7 million of securities purchased, partially offset by $83.5 million in maturities, principal repayments, and calls. There were no sales of securities AFS, and there were no purchases or sales of securities HTM for the same period.
The amortized cost and estimated fair value of securities AFS and securities HTM are summarized in the following tables:
September 30, 2025
(in thousands)Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair
Value
Securities AFS:
Mortgage-backed securities$418,630 $2,045 $(19,456)$401,219 
Municipal bonds196,828 15 (28,409)168,434 
U.S. agency securities68,247 19 (1,240)67,026 
Total Securities AFS$683,705 $2,079 $(49,105)$636,679 
Securities HTM:
Mortgage-backed securities$123,913 $— $(17,946)$105,967 
U.S. agency securities940 — (67)873 
Total Securities HTM$124,853 $— $(18,013)$106,840 
December 31, 2024
(in thousands)Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair
Value
Securities AFS:
Mortgage-backed securities$334,123 $539 $(27,562)$307,100 
Municipal bonds203,394 — (34,551)168,843 
U.S. Treasury securities10,995 — (63)10,932 
U.S. agency securities64,881 18 (1,626)63,273 
Total Securities AFS$613,393 $557 $(63,802)$550,148 
Securities HTM:
Mortgage-backed securities$130,864 $— $(22,698)$108,166 
U.S. agency securities932 — (108)824 
Total Securities HTM$131,796 $— $(22,806)$108,990 
The amortized cost and estimated fair value of securities AFS and securities HTM as of September 30, 2025, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because issuers have the right to call or repay obligations with or without call or prepayment penalties.
September 30, 2025
(in thousands)Amortized
Cost		Fair
Value
Securities AFS:
Within one year$4,294 $4,270 
After one year but within five years25,471 25,178 
After five years but within ten years140,263 132,751 
After ten years513,677 474,480 
Total Securities AFS$683,705 $636,679 
Securities HTM:
Within one year$— $— 
After one year but within five years— — 
After five years but within ten years940 873 
After ten years123,913 105,967 
Total Securities HTM$124,853 $106,840 
Accounting for Credit Losses – Securities AFS and Securities HTM
The Company evaluates securities AFS for impairment when there has been a decline in fair value below the amortized cost basis of a security to determine whether there is a credit loss associated with the decline in fair value on at least a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. Due to the zero credit loss assumption and the evaluation of the considerations applied to the securities AFS, there was no ACL recorded for securities AFS as of September 30, 2025 and December 31, 2024. Also, as part of the Company’s evaluation of its intent and ability to hold investments for a period of time sufficient to allow for any anticipated recovery in the market, the Company considers its investment strategy, cash flow needs, liquidity position, capital adequacy, and interest rate risk position. Management does not intend to sell these securities, and it is more likely than not that the Company will not have to sell these securities before each security has recovered its amortized cost basis.
Due to the zero credit loss assumption on the securities HTM portfolio, there was no ACL recorded for securities HTM as of September 30, 2025 and December 31, 2024.
Accrued interest receivable totaled $3.2 million and $3.0 million as of September 30, 2025 and December 31, 2024, respectively, for securities AFS and securities HTM and was reported in accrued interest receivable on the consolidated balance sheets.
Information pertaining to securities AFS with gross unrealized losses as of September 30, 2025 and December 31, 2024, aggregated by investment category and length of time that individual securities have been in a continuous loss position, is described as follows:
September 30, 2025
Less than twelve monthsTwelve months or more
(in thousands)Gross
Unrealized
Losses		Fair
Value		Gross
Unrealized
Losses		Fair
Value
Securities AFS:
Mortgage-backed securities$(184)$45,581 $(19,272)$176,289 
Municipal bonds— — (28,409)163,407 
U.S. agency securities(66)30,604 (1,174)26,805 
Total Securities AFS$(250)$76,185 $(48,855)$366,501 
December 31, 2024
Less than twelve monthsTwelve months or more
(in thousands)Gross
Unrealized
Losses		Fair
Value		Gross
Unrealized
Losses		Fair
Value
Securities AFS:
Mortgage-backed securities$(642)$66,986 $(26,920)$179,644 
Municipal bonds(136)2,863 (34,415)165,980 
U.S. Treasury securities— — (63)10,932 
U.S. agency securities(82)27,329 (1,544)19,801 
Total Securities AFS$(860)$97,178 $(62,942)$376,357 
As of September 30, 2025, the Company held 442 securities AFS that were in unrealized loss positions. The aggregate unrealized loss of these securities AFS as of September 30, 2025, was 7.18% of the amortized cost basis of securities AFS.
For the three and nine months ended September 30, 2025 and 2024, there were no proceeds from sales of debt securities.
Equity Securities
Equity securities are an investment in a CRA mutual fund, consisting primarily of bonds. Equity securities are carried at fair value on the consolidated balance sheets with periodic changes in value recorded through the consolidated statements of income. As of September 30, 2025, equity securities had a fair value of $3.0 million with a recognized gain of $82,000 for the nine months ended September 30, 2025. As of December 31, 2024, equity securities had a fair value of $2.9 million with a recognized loss of $28,000 for the year ended December 31, 2024.
Pledged Securities
Securities with carrying values of approximately $219.7 million and $226.5 million were used as collateral as of September 30, 2025 and December 31, 2024, respectively.