XML 26 R16.htm IDEA: XBRL DOCUMENT v3.20.2
Business Segments
 6 Months Ended
Jun. 30, 2020
Business Segments [Abstract]  
Business Segments

Note 7 – Business Segments

The Company has two reportable business segments: (i) a traditional full-service community banking segment and, (ii) a mortgage loan origination business.  The community banking business segment includes Bank of the James which provides loans, deposits, investments and insurance to retail and commercial customers throughout Region 2000 and other areas within Central Virginia.  The mortgage segment provides a variety of mortgage loan products principally within Region 2000.  Mortgage loans are originated and sold in the secondary market through purchase commitments from investors with servicing released.  Because of the pre-arranged purchase commitments, there is minimal risk to the Company.

Both of the Company’s reportable segments are service based.  The mortgage business is a gain on sale business while the Bank’s primary source of revenue is net interest income.  The Bank also provides a referral network for the mortgage origination business.  The mortgage business may also be in a position to refer its customers to the Bank for banking services when appropriate.

Information about reportable business segments and reconciliation of such information to the consolidated financial statements for the three and six months ended June 30, 2020 and 2019 was as follows (dollars in thousands):

Note 7 – Business Segments (continued)











 

 

 

 

 

Business Segments

 

 

 

 

 



 

 

 

 

 



Community

 

 

 

 



Banking

 

Mortgage

 

Total

Six months ended June 30, 2020

 

 

 

 

 

   Net interest income

$       12,054

 

$            -

 

$      12,054

   Provision for loan losses

 1,648 

 

 -

 

 1,648 

   Net interest income after provision for loan losses

 10,406 

 

 -

 

 10,406 

   Noninterest income

 1,848 

 

 3,127 

 

 4,975 

   Noninterest expenses

 10,949 

 

 2,183 

 

 13,132 

   Income before income taxes

 1,305 

 

 944 

 

 2,249 

   Income tax expense

 235 

 

 198 

 

 433 

     Net income

$         1,070

 

$        746

 

$        1,816

     Total assets

$     820,623

 

$     6,475

 

$    827,098



 

 

 

 

 

Six months ended June 30, 2019

 

 

 

 

 

   Net interest income

$       12,282

 

$            -

 

$      12,282

   Provision for loan losses

 326 

 

 -

 

 326 

   Net interest income after provision for loan losses

 11,956 

 

 -

 

 11,956 

   Noninterest income

 1,112 

 

 1,766 

 

 2,878 

   Noninterest expenses

 10,247 

 

 1,327 

 

 11,574 

   Income before income taxes

 2,821 

 

 439 

 

 3,260 

   Income tax expense

 557 

 

 92 

 

 649 

     Net income

$         2,264

 

$        347

 

$        2,611

     Total assets

$     685,516

 

$     4,579

 

$    690,095



 

 

 

 

 



Community

 

 

 

 



Banking

 

Mortgage

 

Total

Three months ended June 30, 2020

 

 

 

 

 

   Net interest income

$         5,918

 

$            -

 

$        5,918

   Provision for loan losses

 760 

 

 -

 

 760 

   Net interest income after provision for loan losses

 5,158 

 

 -

 

 5,158 

   Noninterest income

 839 

 

 1,950 

 

 2,789 

   Noninterest expenses

 5,609 

 

 1,326 

 

 6,935 

   Income before income taxes

 388 

 

 624 

 

 1,012 

   Income tax expense

 60 

 

 131 

 

 191 

     Net income

$            328

 

$        493

 

$           821

     Total assets

$     820,623

 

$     6,475

 

$    827,098



 

 

 

 

 

Three months ended June 30, 2019

 

 

 

 

 

   Net interest income

$         6,152

 

$            -

 

$        6,152

   Provision for loan losses

 116 

 

 -

 

 116 

   Net interest income after provision for loan losses

 6,036 

 

 -

 

 6,036 

   Noninterest income

 584 

 

 1,075 

 

 1,659 

   Noninterest expenses

 5,222 

 

 753 

 

 5,975 

   Income before income taxes

 1,398 

 

 322 

 

 1,720 

   Income tax expense

 276 

 

 67 

 

 343 

     Net income

$         1,122

 

$        255

 

$        1,377

     Total assets

$     685,516

 

$     4,579

 

$    690,095