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Segment Reporting
 3 Months Ended
Mar. 31, 2025
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]  
Segment Reporting
16.
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 retail, operations and technology 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 three months ended March 31, 2025 and 2024:

 

 

Bank Segment

 

 

 

Three months ended March 31,

 

 

 

2025

 

 

2024

 

 

 

(Dollars in Thousands)

 

Income:

 

 

 

 

 

 

Interest income

 

$

14,018

 

 

$

14,277

 

Non-interest income

 

 

875

 

 

 

865

 

Total income

 

 

14,893

 

 

 

15,142

 

Less:

 

 

 

 

 

 

Interest expense

 

 

5,121

 

 

 

5,237

 

Provision for credit losses

 

 

528

 

 

 

—

 

Salaries and employee benefits

 

 

3,736

 

 

 

4,088

 

Net occupancy and equipment

 

 

875

 

 

 

894

 

Computer services

 

 

412

 

 

 

443

 

Insurance expense and assessments

 

 

384

 

 

 

391

 

Fees for professional services

 

 

215

 

 

 

341

 

Postage, stationery and supplies

 

 

149

 

 

 

178

 

Telephone/data communication

 

 

199

 

 

 

192

 

Collection and recoveries

 

 

70

 

 

 

26

 

Directors fees

 

 

93

 

 

 

96

 

Software amortization

 

 

108

 

 

 

90

 

Other real estate/foreclosure expense, net

 

 

20

 

 

 

31

 

Other expense (1)

 

 

657

 

 

 

377

 

Provision for income taxes

 

 

554

 

 

 

651

 

Total expense

 

 

13,121

 

 

 

13,035

 

Consolidated net income

 

$

1,772

 

 

$

2,107

 

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