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Segment Reporting
 12 Months Ended
Dec. 31, 2024
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]  
Segment Reporting
20.
SEGMENT REPORTING

Bancshares is a bank holding company. Bancshares operates one banking subsidiary, the Bank. The Bank reporting unit is the only reportable segment of the Company. The Bank conducts a general commercial banking business and offers banking services such as demand, savings, individual retirement account and time deposits, personal and commercial loans, safe deposit box services and remote deposit capture. The Bank provides a wide range of commercial banking services to small- and medium-sized businesses, property managers, business executives, professionals and other individuals. The Bank also performs indirect lending through third-party retailers and currently conducts this lending in 17 states. Other than this indirect lending program, the Bank derives its revenue primarily in the southeast United States. The Bank does not have any customers that produce revenues of 10% or more.

The Company's chief operating decision makers (the "CODM") consist of a group of senior executive officers of Bancshares and the Bank that includes the chief executive officer, the chief financial officer, the chief information and consumer banking officer, the chief risk officer, the chief commercial lending officer, and the chief consumer lending officer.

The CODM uses net income to evaluate income generated from segment assets in deciding whether to reinvest profits into the Bank segment or into other parts of the entity, such as for acquisitions or to pay dividends. Net income is used to monitor budget versus actual results. The CODM also uses net income in competitive analysis by benchmarking to the Company’s competitors. The competitive analysis along with the monitoring of budgeted versus actual results are used in assessing performance of the segment and in establishing management’s compensation.

The accounting policies of the Bank segment are the same as those described in the summary of significant accounting policies. The CODM assesses performance for the Bank segment and decides how to allocate resources based on net income that also is reported on the income statement as consolidated net income. The measure of segment assets is reported on the consolidated balance sheet as total consolidated assets.

The table below provides information related to the Company's Bank operating segment for the years ended December 31, 2024 and 2023:

 

 

Bank Segment

 

 

 

Year Ended December 31,

 

 

 

2024

 

 

2023

 

 

 

(Dollars in Thousands)

 

Income:

 

 

 

 

 

 

Interest income

 

$

58,260

 

 

$

52,806

 

Non-interest income

 

 

3,583

 

 

 

3,381

 

Total income

 

 

61,843

 

 

 

56,187

 

Less:

 

 

 

 

 

 

Interest expense

 

 

22,111

 

 

 

15,456

 

Provision for credit losses

 

 

622

 

 

 

319

 

Salaries and employee benefits

 

 

15,460

 

 

 

16,076

 

Net occupancy and equipment

 

 

3,761

 

 

 

3,479

 

Computer services

 

 

1,687

 

 

 

1,756

 

Insurance expense and assessments

 

 

1,510

 

 

 

1,583

 

Fees for professional services

 

 

1,184

 

 

 

1,105

 

Postage, stationery and supplies

 

 

560

 

 

 

620

 

Telephone/data communication

 

 

779

 

 

 

722

 

Collection and recoveries

 

 

169

 

 

 

292

 

Directors fees

 

 

380

 

 

 

471

 

Software amortization

 

 

356

 

 

 

412

 

Other real estate/foreclosure expense, net

 

 

230

 

 

 

68

 

Other expense (1)

 

 

2,280

 

 

 

2,557

 

Provision for income taxes

 

 

2,584

 

 

 

2,786

 

Consolidated net income

 

$

8,170

 

 

$

8,485

 

(1) Other expense includes advertising, travel and business development, and life insurance expense.