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Equity Method Investments
 9 Months Ended
Sep. 30, 2025
Equity Method Investments and Joint Ventures [Abstract]  
Equity Method Investments
Note 4 – Equity Method Investments

In accordance with Rules 3-09 and 4-08(g) of Regulation S-X, we must assess whether our equity method investments are significant. In evaluating the significance of these investments, we perform the income, investment and asset tests described in S-X 1-02(w) for each equity method investment. Rule 4-08(g) of Regulation S-X requires summarized financial information for all equity method investees in a quarterly report if any of the equity method investees, individually or in the aggregate, result in any of the tests exceeding 10%.

Under the income test, our proportionate share of the revenue from equity method investments in the aggregate exceeded the applicable threshold under Rule 4-08(g) of 10%, accordingly, we are required to provide summarized income statement information for all investees for all periods presented.

Our equity method investments are initially recorded at cost, including transaction costs to obtain the equity method investment, and are subsequently adjusted for our proportionate share of the entities' earnings.

ICM

The following table presents summarized income statement information for ICM for the periods shown:
Three Months Ended September 30,Nine Months Ended September 30,
(Dollars in thousands)2025202420252024
Total revenues$10,749 $11,530 $33,278 $34,251 
Net income681 724 1,797 1,419 
Gain on loans sold$7,124 $6,961 $21,283 $20,532 
Gain (loss) on loans held-for-sale22 665 (96)1,060 
Volume of loans sold329,360 356,537 1,034,805 1,016,775 
Our ownership percentage of 40% of ICM allows us to have significant influence over the operations and decision making. Accordingly, the investment, which had a carrying value of $24.4 million at September 30, 2025, is accounted for as an equity method investment. Our share of ICM's net income totaled $0.2 million and $0.6 million for the three and nine months ended September 30, 2025, while our share of ICM's net income totaled $0.2 million and $0.4 million for the three and nine months ended September 30, 2024. As of September 30, 2025 and December 31, 2024, the mortgage pipeline was $461.7 million and $482.4 million, respectively.
Warp Speed

The following table presents summarized income statement information for our equity method investment in Warp Speed for the periods shown:
Three Months Ended September 30,Nine Months Ended September 30,
(Dollars in thousands)2025202420252024
Total revenues$51,718 $42,542 $141,590 $110,695 
Net income (loss)5,769 1,339 $12,581 (3,012)
Gain on loans sold$14,781 $13,770 $43,756 $35,309 
Gain (loss) on loans held-for-sale750 1,797 2,537 1,879 
Volume of loans sold373,578 463,811 1,011,852 1,082,435 

Our ownership percentage of 37.5% of Warp Speed allows us to have significant influence over its operations and decision making. Accordingly, the investment, which had a carrying value of $57.9 million at September 30, 2025, is accounted for as an equity method investment. At the time of acquisition, we made a policy election to record our proportionate share of net income of the investee on a three month lag. Our share of Warp Speed's net income totaled $2.2 million and $4.7 million for the three and nine months ended September 30, 2025, while our share of net income and loss totaled $0.5 million and $0.3 million for the three and nine months ended September 30, 2024. As of September 30, 2025 and December 31, 2024, the mortgage pipeline was $712.6 million and $543.4 million, respectively.

Ayers Socure II

Our ownership percentage of Ayers Socure II is 10% and it was determined that we have significant influence over the company. Accordingly, the investment is accounted for as an equity method investment. Our share of net income from Ayers Socure II for the three and nine months ended September 30, 2025 and 2024 was not significant. The equity method investment in Ayers Socure II is not considered a significant investment based on the criteria of Rules 3-09 and 4-08(g) of Regulation S-X.
Ayers Socure II's sole business is ownership of equity securities in Socure Inc. (“Socure”). In addition to our equity method investment in Ayers Socure II, we also have a direct equity security ownership interest in Socure. With the combination of our investments in both Ayers Socure II and Socure directly, we own less than 1% of Socure in the aggregate.