Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2022 | May 06, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2022 | |
Document Transition Report | false | |
Entity File Number | 001-36682 | |
Entity Registrant Name | VERITEX HOLDINGS, INC. | |
Entity Incorporation, State or Country Code | TX | |
Entity Tax Identification Number | 27-0973566 | |
Entity Address, Address Line One | 8214 Westchester Drive, Suite 800 | |
Entity Address, City or Town | Dallas, | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 75225 | |
City Area Code | (972) | |
Local Phone Number | 349-6200 | |
Title of 12(b) Security | Common Stock, par value $0.01 | |
Trading Symbol | VBTX | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 53,962,875 | |
Entity Central Index Key | 0001501570 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q1 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
ASSETS | ||
Cash and due from banks | $ 51,966 | $ 44,023 |
Interest bearing deposits in other banks | 499,607 | 335,761 |
Total cash and cash equivalents | 551,573 | 379,784 |
Debt securities available-for-sale (“AFS”), at fair value | 1,063,249 | 993,058 |
Debt securities held-to-maturity (fair value of $169,818 and $61,446, at March 31, 2022 and December 31, 2021, respectively) | 181,265 | 59,436 |
Equity securities | 14,880 | 15,393 |
Securities purchased under agreements to resell | 100,818 | 102,288 |
Investment in unconsolidated subsidiaries | 1,018 | 1,018 |
Federal Home Loan Bank of Dallas (“FHLB”) Stock and Federal Reserve Bank (“FRB”) Stock | 71,983 | 71,892 |
Total investments | 1,433,213 | 1,243,085 |
Loans held for sale | 18,721 | 26,007 |
Loans held for investment (“LHI”), Paycheck Protection Program (“PPP”) loans, carried at fair value | 18,512 | 53,369 |
LHI, mortgage warehouse (“MW”) | 542,877 | 565,645 |
LHI, excluding MW and PPP | 7,125,429 | 6,766,009 |
Less: Allowance for credit losses (“ACL”) | (72,485) | (77,754) |
Total LHI, net | 7,614,333 | 7,307,269 |
Bank-owned life insurance (“BOLI”) | 83,641 | 83,194 |
Bank premises, furniture and equipment, net | 109,138 | 109,271 |
Other real estate owned (“OREO”) | 1,062 | 0 |
Intangible assets, net of accumulated amortization | 63,986 | 66,017 |
Goodwill | 404,452 | 403,771 |
Other assets | 173,561 | 138,851 |
Total assets | 10,453,680 | 9,757,249 |
Deposits: | ||
Noninterest-bearing deposits | 2,765,895 | 2,510,723 |
Interest-bearing transaction and savings deposits | 3,688,292 | 3,276,312 |
Certificates and other time deposits | 1,435,409 | 1,576,580 |
Total deposits | 7,889,596 | 7,363,615 |
Accounts payable and other liabilities | 105,552 | 69,160 |
Advances from FHLB | 777,522 | 777,562 |
Subordinated debentures and subordinated notes | 228,018 | 227,764 |
Securities sold under agreements to repurchase | 4,996 | 4,069 |
Total liabilities | 9,005,684 | 8,442,170 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Common stock, $0.01 par value; 75,000,000 shares authorized; 60,547,018 and 56,010,423 shares issued at March 31, 2022 and December 31, 2021, respectively; 53,908,924 and 49,372,329 shares outstanding at March 31, 2022 and December 31, 2021, respectively | 605 | 560 |
Additional paid-in capital (“APIC”) | 1,297,161 | 1,142,758 |
Retained earnings | 298,830 | 275,273 |
Accumulated other comprehensive income (“AOCI”) | 18,982 | 64,070 |
Treasury stock, 6,638,094 and 6,638,094 shares at cost at March 31, 2022 and December 31, 2021, respectively | (167,582) | (167,582) |
Total stockholders’ equity | 1,447,996 | 1,315,079 |
Total liabilities and stockholders’ equity | $ 10,453,680 | $ 9,757,249 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Held-to-maturity debt securities, fair value | $ 169,818 | $ 61,446 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 75,000,000 | 75,000,000 |
Common stock, shares issued (in shares) | 60,547,018 | 56,010,423 |
Common stock, shares outstanding (in shares) | 53,908,924 | 49,372,329 |
Treasury stock, shares (in shares) | 6,638,094 | 6,638,094 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Interest and dividend income: | ||
Loans, including fees | $ 71,443 | $ 67,399 |
Debt securities | 7,762 | 7,437 |
Deposits in financial institutions and Fed Funds sold | 262 | 127 |
Equity securities and other investments | 910 | 663 |
Total interest and dividend income | 80,377 | 75,626 |
Interest expense: | ||
Transaction and savings deposits | 1,751 | 1,980 |
Certificates and other time deposits | 1,380 | 3,061 |
Advances from FHLB | 1,547 | 1,812 |
Subordinated debentures and subordinated notes | 2,659 | 3,138 |
Total interest expense | 7,337 | 9,991 |
Net interest income | 73,040 | 65,635 |
Benefit for credit losses | (500) | 0 |
Provision (benefit) for credit losses on unfunded commitments | 493 | (570) |
Net interest income after provision for credit losses | 73,047 | 66,205 |
Noninterest income: | ||
Service charges and fees on deposit accounts | 4,710 | 3,629 |
Loan fees | 2,794 | 1,341 |
Gain on sale of mortgage loans held for sale | 307 | 507 |
Government guaranteed loan income, net | 4,891 | 6,548 |
Equity method investment income | 367 | 0 |
Other | 2,028 | 2,147 |
Total noninterest income | 15,097 | 14,172 |
Noninterest expense: | ||
Salaries and employee benefits | 27,513 | 22,932 |
Occupancy and equipment | 4,517 | 4,096 |
Professional and regulatory fees | 3,158 | 3,441 |
Data processing and software expense | 2,921 | 2,319 |
Marketing | 1,187 | 909 |
Amortization of intangibles | 2,495 | 2,537 |
Telephone and communications | 385 | 337 |
Merger and acquisition (“M&A”) expense | 700 | 0 |
Other | 3,696 | 3,026 |
Total noninterest expense | 46,572 | 39,597 |
Income before income tax expense | 41,572 | 40,780 |
Income tax expense | 8,102 | 8,993 |
Net income | $ 33,470 | $ 31,787 |
Basic earnings per share (in dollars per share) | $ 0.66 | $ 0.64 |
Diluted earnings per share (in dollars per share) | $ 0.65 | $ 0.64 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 33,470 | $ 31,787 |
Net unrealized (losses) gains on securities AFS: | ||
Change in net unrealized losses on securities AFS during the period, net | (49,076) | (19,437) |
Amortization from transfer of securities from AFS to HTM | 4,255 | 0 |
Net unrealized losses on securities AFS | (44,821) | (19,437) |
Net unrealized (losses) gains on derivative instruments designated as cash flow hedges | (13,381) | 27,271 |
Other comprehensive (losses) income, before tax | (58,202) | 7,834 |
Income tax (benefit) expense | (13,114) | 1,646 |
Other comprehensive (loss) income, net of tax | (45,088) | 6,188 |
Comprehensive (loss) income | $ (11,618) | $ 37,975 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock | Treasury Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income |
Beginning balance (in shares) at Dec. 31, 2020 | 49,337,768 | 6,162,350 | ||||
Beginning balance at Dec. 31, 2020 | $ 1,203,376 | $ 555 | $ (152,073) | $ 1,126,437 | $ 172,232 | $ 56,225 |
Increase (Decrease) in Stockholders' Equity | ||||||
Restricted stock units vested, net of shares withheld to cover tax withholdings (in shares) | 58,110 | |||||
Restricted stock units vested, net of shares withheld to cover tax withholdings | (468) | (468) | ||||
Exercise of employee stock options (in shares) | 184,494 | |||||
Exercise of employee stock options | 2,879 | $ 2 | 2,877 | |||
Stock buyback (in shares) | (147,622) | (147,622) | ||||
Stock buyback | (4,074) | $ (4,074) | ||||
Stock based compensation | 2,478 | 2,478 | ||||
Net income | 31,787 | 31,787 | ||||
Dividends paid | (8,358) | (8,358) | ||||
Other comprehensive income (loss) | 6,188 | 6,188 | ||||
Ending balance (in shares) at Mar. 31, 2021 | 49,432,750 | 6,309,972 | ||||
Ending balance at Mar. 31, 2021 | $ 1,233,808 | $ 557 | $ (156,147) | 1,131,324 | 195,661 | 62,413 |
Beginning balance (in shares) at Dec. 31, 2021 | 49,372,329 | 49,372,329 | 6,638,094 | |||
Beginning balance at Dec. 31, 2021 | $ 1,315,079 | $ 560 | $ (167,582) | 1,142,758 | 275,273 | 64,070 |
Increase (Decrease) in Stockholders' Equity | ||||||
Restricted stock units vested, net of shares withheld to cover tax withholdings (in shares) | 187,801 | |||||
Restricted stock units vested, net of shares withheld to cover tax withholdings | (2,837) | $ 2 | (2,839) | |||
Exercise of employee stock options (in shares) | 34,320 | |||||
Exercise of employee stock options | 98 | 98 | ||||
Stock based compensation | 3,318 | 3,318 | ||||
Common stock follow on offering (in shares) | 4,314,474 | |||||
Common stock follow on offering | 153,869 | $ 43 | 153,826 | |||
Net income | 33,470 | 33,470 | ||||
Dividends paid | (9,913) | (9,913) | ||||
Other comprehensive income (loss) | $ (45,088) | (45,088) | ||||
Ending balance (in shares) at Mar. 31, 2022 | 53,908,924 | 53,908,924 | 6,638,094 | |||
Ending balance at Mar. 31, 2022 | $ 1,447,996 | $ 605 | $ (167,582) | $ 1,297,161 | $ 298,830 | $ 18,982 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Cash flows from operating activities: | ||
Net income | $ 33,470 | $ 31,787 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization of fixed assets and intangibles | 4,378 | 3,765 |
Net accretion of time deposit premium, debt discount and debt issuance costs | (16) | (80) |
Benefit for credit losses | (7) | (570) |
Accretion of loan discount | (1,598) | (1,911) |
Stock-based compensation expense | 3,318 | 2,478 |
Excess tax benefit from stock compensation | (992) | (154) |
Net amortization of premiums on debt securities | 811 | 730 |
Unrealized loss on equity securities recognized in earnings | 513 | 199 |
Change in cash surrender value and mortality rates of BOLI | (447) | (463) |
Change in fair value of government guaranteed loans using fair value option | (379) | (917) |
Gain on sales of mortgage loans held for sale | (307) | (507) |
Gain on sales of government guaranteed loans | (4,161) | 0 |
Net impairment (recovery) of servicing asset | 280 | (128) |
Originations of loans held for sale | (12,613) | (1,096) |
Proceeds from sales of loans held for sale | 21,293 | 4,070 |
Equity method investment income | (367) | 0 |
Termination of derivatives designated as hedging instruments | 0 | 43,900 |
(Increase) decrease in other assets | (9,687) | 10,554 |
Increase (decrease) in accounts payable and other liabilities | 34,729 | (8,437) |
Net cash provided by operating activities | 68,218 | 83,220 |
Cash flows from investing activities: | ||
Purchases of AFS debt securities | (266,490) | (79,816) |
Proceeds from maturities, calls and pay downs of AFS debt securities | 33,880 | 40,102 |
Purchases of HTM debt securities | (5,068) | (4,335) |
Maturity, calls and paydowns of HTM debt securities | 25 | 1,222 |
Purchases of other investments | (91) | (233) |
Proceeds from sales of equity securities | 1,470 | 0 |
Net loans originated | (332,290) | (184,586) |
Proceeds from sale of government guaranteed loans | 4,910 | 0 |
Net additions to bank premises, furniture and equipment | (1,130) | (661) |
Net cash used in investing activities | (564,784) | (228,307) |
Cash flows from financing activities: | ||
Net increase in deposits | 525,987 | 391,799 |
Net increase (decrease) in advances from FHLB | 224 | (39) |
Net change in securities sold under agreement to repurchase | 927 | 552 |
Net proceeds on sale of common stock in public offering | 153,869 | 0 |
Payments to tax authorities for stock-based compensation | (2,837) | (468) |
Proceeds from exercise of employee stock options | 98 | 2,879 |
Purchase of treasury stock | 0 | (4,074) |
Dividends paid | (9,913) | (8,358) |
Net cash provided by financing activities | 668,355 | 382,291 |
Net increase in cash and cash equivalents | 171,789 | 237,204 |
Cash and cash equivalents at beginning of period | 379,784 | 230,825 |
Cash and cash equivalents at end of period | $ 551,573 | $ 468,029 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Stockholders' Equity (Unaudited) (Parenthetical) - shares | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Restricted Stock Units | ||
Shares withheld to cover tax withholdings (in shares) | 67,965 | 16,587 |
Employee Stock Options | ||
Shares withheld to cover tax withholdings (in shares) | 5,738 | 18,052 |
Shares withheld to cover exercise price (in shares) | 28,064 | 3,474 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Nature of Organization In this report, the words “Veritex,” “the Company,” refer to the combined entities of Veritex Holdings, Inc. and its subsidiaries, including Veritex Community Bank. The word “Holdco” refers to Veritex Holdings, Inc. The word “the Bank” refers to Veritex Community Bank. Veritex is a Texas state banking organization, with corporate offices in Dallas, Texas, and currently operates 18 branches located in the Dallas-Fort Worth metroplex and 10 branches in the Houston metropolitan area. The Bank provides a full range of banking services, including commercial and retail lending and the acceptance of checking and savings deposits, to individual and corporate customers. The Texas Department of Banking and the Board of Governors of the Federal Reserve System (the “Federal Reserve”) are the primary regulators of the Company and the Bank, and both regulatory agencies perform periodic examinations to ensure regulatory compliance. Basis of Presentation The accompanying unaudited consolidated financial statements include the accounts of Veritex Holdings, Inc. and its subsidiaries, including Veritex Community Bank. The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”), but do not include all of the information and footnotes required for complete financial statements. Intercompany transactions and balances are eliminated in consolidation. In management’s opinion, these unaudited consolidated financial statements include all adjustments of a normal recurring nature necessary for a fair statement of the Company’s consolidated balance sheets at March 31, 2022 and December 31, 2021, consolidated statements of income and comprehensive income for the three months ended March 31, 2022 and 2021, consolidated statements of changes in stockholders’ equity for the three months ended March 31, 2022 and 2021 and consolidated statements of cash flows for the three months ended March 31, 2022 and 2021. Accounting measurements at interim dates inherently involve greater reliance on estimates than at year end and the results for the interim periods shown herein are not necessarily indicative of results to be expected for the full year due in part to global economic and financial market conditions, interest rates, access to sources of liquidity, market competition and interruptions of business processes. These unaudited consolidated financial statements have been prepared in accordance with GAAP for interim financial information and the instructions to Quarterly Reports on Form 10-Q adopted by the Securities and Exchange Commission (“SEC”). These unaudited consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the year ended December 31, 2021 included in the Company’s Annual Report on Form 10-K, as filed with the SEC on March 1, 2022. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. These estimates and assumptions may also affect disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. Segment Reporting The Company has one reportable segment. All of the Company’s activities are interrelated, and each activity is dependent and assessed based on how each activity of the Company supports the others. For example, lending is dependent upon the ability of the Company to fund itself with deposits and borrowings while managing interest rate and credit risk. Accordingly, all significant operating decisions are based upon an analysis of the Bank as one segment or unit. The Company’s chief operating decision-maker, the Chief Executive Officer, uses the consolidated results to make operating and strategic decisions. Recl assifications Certain items in the Company’s prior year financial statements were reclassified to conform to the current presentation. Earnings Per Share (“EPS”) EPS is based upon the weighted average shares outstanding. The table below sets forth the reconciliation between weighted average shares used for calculating basic and diluted EPS for the three months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 2021 Earnings (numerator) Net income $ 33,470 $ 31,787 Shares (denominator) Weighted average shares outstanding for basic EPS 50,695 49,394 Dilutive effect of employee stock-based awards 876 604 Adjusted weighted average shares outstanding 51,571 49,998 EPS: Basic $ 0.66 $ 0.64 Diluted $ 0.65 $ 0.64 For the three months ended March 31, 2022, there were 80 antidilutive shares excluded from the diluted EPS weighted average shares outstanding relating to restricted stock units (“RSUs”) and none relating to stock options. For the three months ended March 31, 2021, there were 75 antidilutive shares excluded from the diluted EPS weighted average shares outstanding, 23 relating to RSUs and 52 relating to stock options. Transfers of debt securities from AFS to HTM Transfers of debt securities into the HTM category from the AFS category are made at fair value at the date of transfer. The unrealized holding gain or loss at the date of transfer is retained in other comprehensive income and in the carrying value of the HTM securities. Such amounts are amortized over the remaining life of the security. Recent Accounting Pronouncements Accounting Standard Update (“ASU”) ASU 2022-01, “ Derivatives and Hedging (Topic 815) ” (“ASU 2022-01”) clarifies the guidance in ASC 815 on fair value hedge accounting of interest rate risk for portfolios and financial assets. Among other things, the amended guidance established the “last-of-layer” method for making the fair value hedge accounting for these portfolios more accessible and renamed that method the “portfolio layer” method. ASU 2022-01 is effective January 1, 2023 and is not expected to have a significant impact on our consolidated financial statements. ASU 2022-02, “ Financial Instruments - Credit Losses (Topic 326) ” (“ASU 2022-02”) eliminates the guidance on troubled debt restructurings and requires entities to evaluate all loan modifications to determine if they result in a new loan or a continuation of the existing loan. ASU 2022-02 also requires that entities disclose current-period gross charge-offs by year of origination for loans and leases. ASU 2022-02 is effective January 1, 2023 and will have an impact on our financial statement disclosures. |
Supplemental Statement of Cash
Supplemental Statement of Cash Flows | 3 Months Ended |
Mar. 31, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Statement of Cash Flows | Supplemental Statement of Cash Flows Other supplemental cash flow information is presented below: Three Months Ended March 31, 2022 2021 (in thousands) Supplemental Disclosures of Cash Flow Information: Cash paid for interest $ 5,368 $ 7,602 Cash paid for income taxes — 15 Supplemental Disclosures of Non-Cash Flow Information: Transfer of AFS debt securities to HTM debt securities 117,001 — Net foreclosure of OREO and repossessed assets 1,062 — Noncash assets acquired in business combination 1 LHI (681) — Goodwill 681 — 1 Represents adjustments to provisional estimates recorded during the three months ended March 31, 2022 for the acquisition of North Avenue Capital, LLC (“NAC”). Refer to Note 13. Business Combinations for further discussion. |
Share Transactions
Share Transactions | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Share Transactions | Share Transactions The Company's Board of Directors (the “Board”) has authorized the purchase of up to $250,000 of the Company's outstanding common stock under a stock buyback program (the "Stock Buyback Program") with an expiration date of December 31, 2022. The shares may be repurchased in the open market or in privately negotiated transactions from time to time, depending upon market conditions and other factors, and in accordance with applicable regulations of the SEC. The Stock Buyback Program does not obligate the Company to purchase any shares. The Stock Buyback Program may be terminated or amended by the Board at any time prior to its expiration. Shares repurchased through the periods indicated are as follows: Three Months Ended March 31, 2022 2021 Numbers of shares repurchased — 147,622 Weighted average price per share — $ 26.83 On March 8, 2022, the Company completed an underwritten public offering of 3,947,369 shares of its common stock at $38.00 per share. On March 10, 2022, the representatives of the underwriters delivered to the Company a written notice of exercise by the underwriters of the underwriters' option to purchase an additional 367,105 shares of the Company's common stock at $38.00 per share, which subsequently closed on March 14, 2022. Net proceeds, after deducting underwriting discounts and offering expenses, of such offering were approximately $153,826 . The Company intends to use the net proceeds from the Offering for general corporate purposes and to support its continued growth, including investments in the Bank and future strategic acquisitions. |
Securities
Securities | 3 Months Ended |
Mar. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Securities Equity Securities With a Readily Determinable Fair Value The Company held equity securities with a fair value of $10,525 and $11,038 at March 31, 2022 and December 31, 2021, respectively. The Company did not realize a loss on equity securities with a readily determinable fair value during the three months ended March 31, 2022 or 2021. The gross unrealized loss recognized on equity securities with readily determinable fair values recorded in other noninterest income in the Company’s consolidated statements of income were as follows: Three Months Ended March 31, 2022 2021 Unrealized loss recognized on equity securities with a readily determinable fair value $ 513 $ 199 Equity Securities Without a Readily Determinable Fair Value The Company held equity securities without a readily determinable fair values and measured at cost of $4,355 as of March 31, 2022 and December 31, 2021. Debt Securities Debt securities have been classified in the consolidated balance sheets according to management’s intent. The amortized cost, related gross unrealized gains and losses, ACL and the fair value of AFS and HTM debt securities are as follows: March 31, 2022 Amortized Gross Gross ACL Fair Value AFS Corporate bonds $ 262,839 $ 5,975 $ 1,593 $ — $ 267,221 Municipal securities 50,335 993 1,006 — 50,322 Mortgage-backed securities 153,215 593 5,838 — 147,970 Collateralized mortgage obligations 493,702 613 16,192 — 478,123 Asset-backed securities 50,452 721 1,233 — 49,940 Collateralized loan obligations 70,179 — 506 — 69,673 $ 1,080,722 $ 8,895 $ 26,368 $ — $ 1,063,249 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value HTM Mortgage-backed securities $ 39,072 $ — $ 3,340 $ — $ 35,732 Collateralized mortgage obligations 37,618 203 2,339 — 35,482 Municipal securities 104,575 603 6,574 — 98,604 $ 181,265 $ 806 $ 12,253 $ — $ 169,818 The Company elected to transfer 25 AFS debt securities with an aggregate fair value of $117,001 to a classification of HTM debt securities on January 1, 2022. In accordance with FASB ASC 320-10-35-10, the transfer from AFS to HTM must be recorded at the fair value of the AFS debt securities at the time of transfer. The net unrealized holding gain of $4,387, net of tax, at the date of transfer was retained in accumulated other comprehensive income (loss), with the associated pre-tax amount retained in the carrying value of the HTM debt securities. Such amounts will be amortized to comprehensive income over the remaining life of the securities. December 31, 2021 Amortized Gross Gross ACL Fair Value AFS Corporate bonds $ 198,396 $ 10,294 $ 178 $ — $ 208,512 Municipal securities 116,100 8,261 431 — 123,930 Mortgage-backed securities 124,230 4,326 1,489 — 127,067 Collateralized mortgage obligations 424,174 12,240 2,350 — 434,064 Asset-backed securities 53,466 1,616 519 — 54,563 Collateralized loan obligations 45,089 — 167 — 44,922 $ 961,455 $ 36,737 $ 5,134 $ — $ 993,058 Amortized Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value HTM Mortgage-backed securities $ 25,767 $ 45 $ 508 $ — $ 25,304 Collateralized mortgage obligations 5,490 560 — — 6,050 Municipal securities 28,179 2,015 102 — 30,092 $ 59,436 $ 2,620 $ 610 $ — $ 61,446 The following tables disclose the Company’s AFS debt securities in an unrealized loss position for which an ACL has not been recorded, aggregated by investment category and length of time that individual debt securities have been in a continuous loss position: March 31, 2022 Less Than 12 Months 12 Months or More Totals Fair Unrealized Fair Unrealized Fair Unrealized AFS Corporate bonds $ 72,219 $ 1,593 $ — $ — $ 72,219 $ 1,593 Municipal securities 11,731 902 1,889 104 13,620 1,006 Mortgage-backed securities 57,918 2,515 27,791 3,323 85,709 5,838 Collateralized mortgage obligations 338,386 13,597 23,610 2,595 361,996 16,192 Asset-backed securities 24,209 464 10,918 769 35,127 1,233 Collateralized loan obligations 69,673 506 — — 69,673 506 $ 574,136 $ 19,577 $ 64,208 $ 6,791 $ 638,344 $ 26,368 HTM Mortgage-backed securities $ 19,592 $ 1,784 $ 16,141 $ 1,556 $ 35,733 $ 3,340 Municipal securities 75,221 6,281 2,005 293 77,226 6,574 Collateralized mortgage obligations 31,162 2,339 — — 31,162 2,339 $ 125,975 $ 10,404 $ 18,146 $ 1,849 $ 144,121 $ 12,253 December 31, 2021 Less Than 12 Months 12 Months or More Totals Fair Unrealized Loss Fair Unrealized Loss Fair Unrealized Loss AFS Corporate bonds $ 7,072 $ 178 $ — $ — $ 7,072 $ 178 Municipal securities 12,704 194 4,350 237 17,054 431 Mortgage-backed securities 40,276 1,283 4,677 206 44,953 1,489 Collateralized mortgage obligations 106,063 2,350 — — 106,063 2,350 Asset-backed securities 11,265 519 — — 11,265 519 Collateralized loan obligations 44,922 167 — — 44,922 167 $ 222,302 $ 4,691 $ 9,027 $ 443 $ 231,329 $ 5,134 HTM Mortgage-backed securities $ 24,214 $ 508 $ — $ — $ 24,214 $ 508 Municipal securities 4,583 102 — — 4,583 102 $ 28,797 $ 610 $ — $ — $ 28,797 $ 610 Management evaluates AFS debt securities in unrealized loss positions to determine whether the impairment is due to credit-related factors or noncredit-related factors. Consideration is given to (1) the extent to which the fair value is less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent and ability of the Company to retain its investment in the security for a period of time sufficient to allow for any anticipated recovery in fair value. The number of AFS debt securities in an unrealized loss position totaled 93 and 34 at March 31, 2022 and December 31, 2021, respectively. Management does not have the intent to sell any of these debt securities and believes that it is more likely than not that the Company will not have to sell any such debt securities before a recovery of cost. The fair value is expected to recover as the debt securities approach their maturity date or repricing date or if market yields for such investments decline. Accordingly, as of March 31, 2022, management believes that the unrealized losses detailed in the previous table are due to noncredit-related factors, including changes in interest rates and other market conditions, and therefore no losses have been recognized in the Company’s consolidated statements of income. The amortized costs and estimated fair values of AFS debt securities, by contractual maturity, as of the dates indicated, are shown in the table below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage-backed securities, collateralized mortgage obligations, asset-backed securities, and collateralized loan obligations typically are issued with stated principal amounts, and the securities are backed by pools of mortgage loans and other loans that have varying maturities. The terms of mortgage-backed securities, collateralized mortgage obligations, asset-backed securities, and collateralized loan obligations thus approximates the terms of the underlying mortgages and loans and can vary significantly due to prepayments. Therefore, these securities are not included in the maturity categories below. March 31, 2022 AFS HTM Amortized Fair Amortized Fair Due from one year to five years $ 39,412 $ 41,647 $ — $ — Due from five years to ten years 204,782 206,454 4,304 4,330 Due after ten years 68,980 69,442 100,271 94,274 313,174 317,543 104,575 98,604 Mortgage-backed securities and collateralized mortgage obligations 646,917 626,093 76,690 71,214 Asset-backed securities 50,452 49,940 — — Collateralized loan obligations 70,179 69,673 — — $ 1,080,722 $ 1,063,249 $ 181,265 $ 169,818 December 31, 2021 AFS HTM Amortized Fair Amortized Fair Due from one year to five years $ 5,201 $ 5,241 $ — $ — Due from five years to ten years 178,203 186,972 3,849 4,115 Due after ten years 131,092 140,229 24,330 25,977 314,496 332,442 28,179 30,092 Mortgage-backed securities and collateralized mortgage obligations 548,404 561,131 31,257 31,354 Asset-backed securities 53,466 54,563 — — Collateralized loan obligations 45,089 44,922 — — $ 961,455 $ 993,058 $ 59,436 $ 61,446 No sales of AFS debt securities occurred during the three months ended March 31, 2022 and 2021. As of March 31, 2022 and December 31, 2021, there were no holdings of securities of any one issuer, other than the U.S. government and its agencies, in an amount greater than 10% of shareholders' equity. There was a blanket floating lien on all debt securities held by the Company to secure FHLB advances as of March 31, 2022 and December 31, 2021. |
LHI and ACL
LHI and ACL | 3 Months Ended |
Mar. 31, 2022 | |
Receivables [Abstract] | |
LHI and ACL | LHI and ACL LHI in the accompanying consolidated balance sheets are summarized as follows: March 31, 2022 December 31, 2021 LHI, carried at amortized cost: Real estate: Construction and land $ 1,297,338 $ 1,062,144 Farmland 48,095 55,827 1 - 4 family residential 604,408 542,566 Multi-family residential 272,250 310,241 OOCRE 633,615 665,537 NOOCRE 2,145,826 2,120,309 Commercial 2,125,900 2,006,876 MW 542,877 565,645 Consumer 9,533 11,998 7,679,842 7,341,143 Deferred loan fees, net (11,536) (9,489) ACL (72,485) (77,754) LHI carried at amortized cost, net 7,595,821 7,253,900 LHI, carried at fair value: PPP loans 18,512 53,369 Total LHI, net $ 7,614,333 $ 7,307,269 Included in the total LHI, net, as of March 31, 2022 and December 31, 2021 was an accretable discount related to purchased performing and purchased credit deteriorated (“PCD”) loans acquired within a business combination in the approximate amounts of $7,628 and $8,657, respectively. The discount is being accreted into income on a level-yield basis over the life of the loans. In addition, included in the net loan portfolio as of March 31, 2022 and December 31, 2021 is a discount on retained loans from sale of originated U.S. Small Business Administration (“SBA”) loans of $3,429 and $3,430, respectively. LHI, PPP loans, carried at fair value Included in total LHI, net, as of March 31, 2022 and December 31, 2021 was $18,512 and $53,369, respectively, of PPP loans, which are carried at fair value. The following table summarizes the PPP fee income and net gain (loss) due to the change in the fair value of PPP loans, both of which are included in government guaranteed loan income, net, on the Company's consolidated statements of income and in change in fair value of government guaranteed loans using fair value option on the Company's consolidated statements of cash flows: March 31, 2022 March 31, 2021 PPP fee income $ — $ 6,624 Net gain (loss) due to the change in fair value 175 (287) These PPP loans were originated through an application to the SBA under the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act and are 100% forgivable if certain criteria are met by the borrowers. As of March 31, 2022, we believe a majority of the Company’s PPP loans will meet such criteria. ACL The Company’s estimate of the ACL reflects losses expected over the remaining contractual life of the assets. The contractual term does not consider extensions, renewals or modifications unless the Company has identified an expected troubled debt restructuring (TDR). The activity in the ACL related to LHI is as follows: Three Months Ended March 31, 2022 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial Consumer Total Balance at beginning of year $ 7,293 $ 187 $ 5,982 $ 2,664 $ 9,215 $ 30,548 $ 21,632 $ 233 $ 77,754 Credit loss (benefit) expense non-PCD loans 1,595 (29) 224 (537) 813 (4,114) 4,044 622 2,618 Credit loss (benefit) expense PCD loans (5) — (72) — (1,264) 673 (2,442) (8) (3,118) Charge-offs — — — — (1,341) (553) (3,294) (134) (5,322) Recoveries — — — — — 400 144 9 553 Ending Balance $ 8,883 $ 158 $ 6,134 $ 2,127 $ 7,423 $ 26,954 $ 20,084 $ 722 $ 72,485 Three Months Ended March 31, 2021 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial Consumer Total Balance at beginning of year $ 7,768 $ 56 $ 8,148 $ 6,231 $ 9,719 $ 35,237 $ 37,554 $ 371 $ 105,084 Credit (benefit) loss expense non-PCD loans (949) (9) (1,144) (1,417) (1,615) 4,074 (1,103) (54) (2,217) Credit (benefit) loss expense PCD loans (14) — (24) — 1,018 192 1,050 (5) 2,217 Charge-offs — — (15) — — — (346) (18) (379) Recoveries — — 3 — — — 226 2 231 Ending Balance $ 6,805 $ 47 $ 6,968 $ 4,814 $ 9,122 $ 39,503 $ 37,381 $ 296 $ 104,936 The majority of the Company's loan portfolio consists of loans to businesses and individuals in the Dallas-Fort Worth metroplex and the Houston metropolitan area. This geographic concentration subjects the loan portfolio to the general economic conditions within these areas. The risks created by this concentration have been considered by management in the determination of the adequacy of the ACL. Management believes the ACL was adequate to cover estimated losses on loans as of March 31, 2022 and 2021. A loan is considered collateral-dependent when the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. The following table presents the amortized cost basis of collateral dependent loans, which are individually evaluated to determine expected credit losses, and the related ACL allocated to these loans: March 31, 2022 December 31, 2021 Real Property (1) ACL Allocation Real Property (1) ACL Allocation NOOCRE $ 17,551 $ 4,572 $ 17,908 $ 7,808 Commercial 1,085 84 1,702 — Consumer 1,063 538 1,063 — Total $ 19,699 $ 5,194 $ 20,673 $ 7,808 (1) Loans reported exclude PCD loans that transitioned upon adoption of ASC 326 and accounted for on a pooled basis. Nonaccrual and Past Due Loans Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due in accordance with the terms of the loan agreement . Loans are placed on nonaccrual status when, in management’s opinion, the borrower may be unable to meet payment obligations as they become due, as well as when required by regulatory provisions. Loans may be placed on nonaccrual status regardless of whether or not such loans are considered past due. When interest accrual is discontinued, all unpaid accrued interest is reversed. Interest income is subsequently recognized only to the extent cash payments are received in excess of principal due. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Nonaccrual loans aggregated by class of loans, as of March 31, 2022 and December 31, 2021, were as follows: March 31, 2022 December 31, 2021 Nonaccrual Nonaccrual With No ACL Nonaccrual Nonaccrual With No ACL Real estate: 1 - 4 family residential $ 1,005 $ 1,005 $ 990 $ 990 OOCRE 13,446 13,446 14,236 13,824 NOOCRE 17,739 189 17,978 191 Commercial 13,259 1,317 15,267 4,207 Consumer 1,231 168 1,216 1,216 Total $ 46,680 $ 16,125 $ 49,687 $ 20,428 There were $10,678 and $11,056 of PCD loans that are not accounted for on a pooled basis included in nonaccrual loans at March 31, 2022 and December 31, 2021, respectively. During the three months ended March 31, 2022 and 2021, interest income not recognized on nonaccrual loans was $889 and $1,120, respectively. An age analysis of past due loans, aggregated by class of loans and including past due nonaccrual loans, as of March 31, 2022 and December 31, 2021, is as follows: March 31, 2022 30 to 59 Days 60 to 89 Days 90 Days or Greater Total Past Due Total Current PCD Total Total 90 Days Past Due and Still Accruing (1) Real estate: Construction and land $ 1,400 $ — $ — $ 1,400 $ 1,294,062 $ 1,876 $ 1,297,338 $ — Farmland — — — — 48,095 — 48,095 — 1 - 4 family residential 2,429 — 926 3,355 599,891 1,162 604,408 — Multi-family residential — — — — 272,250 — 272,250 — OOCRE 3,114 509 13,446 17,069 593,946 22,600 633,615 — NOOCRE — — 17,739 17,739 2,112,843 15,244 2,145,826 — Commercial 4,026 6,280 3,881 14,187 2,104,273 7,440 2,125,900 264 MW 430 — — 430 542,447 — 542,877 — Consumer 68 35 1,161 1,264 8,099 170 9,533 — Total $ 11,467 $ 6,824 $ 37,153 $ 55,444 $ 7,575,906 $ 48,492 $ 7,679,842 $ 264 (1) Loans 90 days past due and still accruing excludes $5,511 of PCD loans and $203 of PPP loans as of March 31, 2022. December 31, 2021 30 to 59 Days 60 to 89 Days 90 Days or Greater Total Past Due Total Current PCD Total Total 90 Days Past Due and Still Accruing (1) Real estate: Construction and land $ — $ — $ — $ — $ 1,059,796 $ 2,348 $ 1,062,144 $ — Farmland — — — — 55,827 — 55,827 — 1 - 4 family residential 2,073 — 1,008 3,081 538,307 1,178 542,566 24 Multi-family residential — — — — 310,241 — 310,241 — OOCRE 4,538 965 11,622 17,125 620,848 27,564 665,537 — NOOCRE 936 — 192 1,128 2,100,981 18,200 2,120,309 — Commercial 1,525 4,395 3,708 9,628 1,988,622 8,626 2,006,876 191 MW — — — — 565,645 — 565,645 — Consumer 135 105 1,082 1,322 10,499 177 11,998 20 Total $ 9,207 $ 5,465 $ 17,612 $ 32,284 $ 7,250,766 $ 58,093 $ 7,341,143 $ 235 (1) Loans 90 days past due and still accruing excludes $9,345 of PCD loans and $206 of PPP loans as of December 31, 2021. Loans past due 90 days and still accruing were $264 and $235 as of March 31, 2022 and December 31, 2021, respectively. These loans are also considered well-secured, and are in the process of collection with plans in place for the borrowers to bring the notes fully current or to subsequently be renewed. The Company believes that it will collect all principal and interest due on each of the loans past due 90 days and still accruing. Troubled Debt Restructuring Modifications of terms for the Company’s loans and their inclusion as TDRs are based on individual facts and circumstances. Loan modifications that are included as TDRs may involve a reduction of the stated interest rate of the loan, an extension of the maturity date at a stated rate of interest lower than the current market rate for new debt with similar risk, or deferral of principal payments, regardless of the period of the modification. The recorded investment in TDRs was $23,273 and $25,518 as of March 31, 2022 and December 31, 2021, respectively. There were no new TDRs during the three months ended March 31, 2022. The following tables presents the pre- and post-modification amortized cost of loans modified as TDRs during the three months ended March 31, 2021. During the Three Months Ended March 31, 2021 Adjusted Payment Structure Payment Deferrals Total Modifications Number of Loans Commercial real estate $ 240 $ — $ 240 1 Total $ 240 $ — $ 240 1 There were no loans modified as TDR loans within the previous 12 months and for which there was a payment default during the three months ended March 31, 2022 and 2021. A default for purposes of this disclosure is a TDR loan in which the borrower is 90 days past due or results in the foreclosure and repossession of the applicable collateral. During the three months ended March 31, 2022 and 2021 , interest income that would have been recorded on TDR loans had the terms of the loans not been modified was $92 and $122, respectively. The Company has not committed to lend additional amounts to customers with outstanding loans classified as TDRs as of March 31, 2022 or December 31, 2021. Credit Quality Indicators From a credit risk standpoint, the Company classifies its loans in one of the following categories: (i) pass, (ii) special mention, (iii) substandard or (iv) doubtful. Loans classified as loss are charged-off. Loans not rated special mention, substandard, doubtful or loss are classified as pass loans. The classifications of loans reflect a judgment about the risks of default and loss associated with the loan. The Company reviews the ratings on criticized credits monthly. Ratings are adjusted to reflect the degree of risk and loss that is felt to be inherent in each credit as of each monthly reporting period. All classified credits are evaluated for impairment. If impairment is determined to exist, a specific reserve is established. The Company’s methodology is structured so that specific reserves are increased in accordance with deterioration in credit quality (and a corresponding increase in risk and loss) or decreased in accordance with improvement in credit quality (and a corresponding decrease in risk and loss). Credits rated special mention show clear signs of financial weaknesses or deterioration in credit worthiness, however, such concerns are generally not so pronounced that the Company expects to experience significant loss within the short-term. Such credits typically maintain the ability to perform within standard credit terms and credit exposure is not as prominent as credits with a lower rating. Credits rated substandard are those in which the normal repayment of principal and interest may be, or has been, jeopardized by reason of adverse trends or developments of a financial, managerial, economic or political nature, or important weaknesses which exist in collateral. A protracted workout on these credits is a distinct possibility. Prompt corrective action is therefore required to strengthen the Company’s position, and/or to reduce exposure and to assure that adequate remedial measures are taken by the borrower. Credit exposure becomes more likely in such credits and a serious evaluation of the secondary support to the credit is performed. Credits rated doubtful are those in which full collection of principal appears highly questionable, and in which some degree of loss is anticipated, even though the ultimate amount of loss may not yet be certain and/or other factors exist which could affect collection of debt. Based upon available information, positive action by the Company is required to avert or minimize loss. Credits rated doubtful are generally also placed on non-accrual. Credits classified as PCD are those that, at acquisition date, have experienced a more-than-insignificant deterioration in credit quality since origination. All loans considered to be purchased-credit impaired loans prior to January 1, 2020 were converted to PCD loans upon adoption of ASC 326. The Company elected to maintain pools of loans that were previously accounted for under ASC 310-30 and will continue to account for these pools as a unit of account. Loans are only removed from the existing pools if they are foreclosed, written off, paid off, or sold. The Company considers the guidance in ASC 310-20 when determining whether a modification, extension or renewal of a loan constitutes a current period origination. Generally, current period renewals of credit are re-underwritten at the point of renewal and considered current period originations for purposes of the table below. Based on the most recent analysis performed, the risk category of loans by class of loans based on year or origination is as follows: Term Loans Amortized Cost Basis by Origination Year 1 2022 2021 2020 2019 2018 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Total As of March 31, 2022 Construction and land: Pass $ 42,398 $ 530,492 $ 518,181 $ 113,127 $ 54,941 $ 27,712 $ 6,160 $ 838 $ 1,293,849 Special mention — — 1,613 — — — — — 1,613 PCD — — — — — 1,876 — — 1,876 Total construction and land $ 42,398 $ 530,492 $ 519,794 $ 113,127 $ 54,941 $ 29,588 $ 6,160 $ 838 $ 1,297,338 Farmland: Pass $ 2,278 $ 16,697 $ 18,914 $ 25 $ 3,367 $ 5,533 $ 1,281 $ — $ 48,095 Total farmland $ 2,278 $ 16,697 $ 18,914 $ 25 $ 3,367 $ 5,533 $ 1,281 $ — $ 48,095 1 - 4 family residential: Pass $ 26,827 $ 251,200 $ 102,312 $ 48,789 $ 52,176 $ 108,126 $ 11,245 $ 680 $ 601,355 Special mention — — — — — 344 — — 344 Substandard — — — — — 980 567 — 1,547 PCD — — — — — 1,162 — — 1,162 Total 1 - 4 family residential $ 26,827 $ 251,200 $ 102,312 $ 48,789 $ 52,176 $ 110,612 $ 11,812 $ 680 $ 604,408 Multi-family residential: Pass $ 28,596 $ 66,418 $ 59,149 $ 33,489 $ 51,868 $ 11,020 $ 46 $ — $ 250,586 Special mention — — — — 21,664 — — — 21,664 Total multi-family residential $ 28,596 $ 66,418 $ 59,149 $ 33,489 $ 73,532 $ 11,020 $ 46 $ — $ 272,250 OOCRE: Pass $ 12,150 $ 111,119 $ 101,059 $ 56,202 $ 60,078 $ 209,795 $ 2,566 $ 13,674 $ 566,643 Special mention — 2,397 889 1,037 — 5,713 — — 10,036 Substandard — — — — 23,628 10,708 — — 34,336 PCD — — — — — 22,600 — — 22,600 Total OOCRE $ 12,150 $ 113,516 $ 101,948 $ 57,239 $ 83,706 $ 248,816 $ 2,566 $ 13,674 $ 633,615 NOOCRE: Pass $ 150,063 $ 628,084 $ 271,385 $ 200,553 $ 285,499 $ 413,590 $ 7,237 $ 1,567 $ 1,957,978 Special mention — — 741 2,170 44,414 72,686 — — 120,011 Substandard — — — 1,770 9,889 40,934 — — 52,593 PCD — — — — 13,785 1,459 — — 15,244 Total NOOCRE $ 150,063 $ 628,084 $ 272,126 $ 204,493 $ 353,587 $ 528,669 $ 7,237 $ 1,567 $ 2,145,826 Commercial: Pass $ 92,216 $ 445,732 $ 170,620 $ 130,796 $ 58,092 $ 75,602 $ 1,048,204 $ 175 $ 2,021,437 Special mention — 17,848 2,421 131 10,101 6,394 5,737 — 42,632 Substandard — 4,744 4,918 6,137 13,579 6,463 18,550 — 54,391 PCD — — — — 309 7,131 — — 7,440 Total commercial $ 92,216 $ 468,324 $ 177,959 $ 137,064 $ 82,081 $ 95,590 $ 1,072,491 $ 175 $ 2,125,900 MW: Pass $ — $ — $ — $ — $ — $ — $ 542,447 $ — $ 542,447 Substandard — — — — — — 430 — 430 Total MW $ — $ — $ — $ — $ — $ — $ 542,877 $ — $ 542,877 Consumer: Pass $ 685 $ 899 $ 1,411 $ 437 $ 310 $ 3,341 $ 968 $ — $ 8,051 Special mention — — — — — 76 — — 76 Substandard — — — 2 — 170 1,064 — 1,236 PCD — — — — — 170 — — 170 Total consumer $ 685 $ 899 $ 1,411 $ 439 $ 310 $ 3,757 $ 2,032 $ — $ 9,533 Total Pass $ 355,213 $ 2,050,641 $ 1,243,031 $ 583,418 $ 566,331 $ 854,719 $ 1,620,154 $ 16,934 $ 7,290,441 Total Special Mention — 20,245 5,664 3,338 76,179 85,213 5,737 — 196,376 Total Substandard — 4,744 4,918 7,909 47,096 59,255 20,611 — 144,533 Total PCD — — — — 14,094 34,398 — — 48,492 Total $ 355,213 $ 2,075,630 $ 1,253,613 $ 594,665 $ 703,700 $ 1,033,585 $ 1,646,502 $ 16,934 $ 7,679,842 1 Term loans amortized cost basis by origination year excludes $11,536 of deferred loan fees, net. Term Loans Amortized Cost Basis by Origination Year 1 2021 2020 2019 2018 2017 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Total As of December 31, 2021 Construction and land: Pass $ 389,420 $ 453,262 $ 116,855 $ 57,637 $ 5,741 $ 29,182 $ 4,631 $ 1,163 $ 1,057,891 Special mention — 1,593 — 312 — — — — 1,905 PCD — — — — — 2,348 — — 2,348 Total construction and land $ 389,420 $ 454,855 $ 116,855 $ 57,949 $ 5,741 $ 31,530 $ 4,631 $ 1,163 $ 1,062,144 Farmland: Pass $ 16,849 $ 28,655 $ 27 $ 3,367 $ 2,957 $ 2,643 $ 1,329 $ — $ 55,827 Total farmland $ 16,849 $ 28,655 $ 27 $ 3,367 $ 2,957 $ 2,643 $ 1,329 $ — $ 55,827 1 - 4 family residential: Pass $ 191,333 $ 101,377 $ 54,826 $ 59,861 $ 27,743 $ 85,661 $ 12,659 $ 6,025 $ 539,485 Special mention — — — — — 352 — — 352 Substandard — — — — 81 903 567 — 1,551 PCD — — — — — 1,178 — — 1,178 Total 1 - 4 family residential $ 191,333 $ 101,377 $ 54,826 $ 59,861 $ 27,824 $ 88,094 $ 13,226 $ 6,025 $ 542,566 Multi-family residential: Pass $ 67,979 $ 59,239 $ 54,321 $ 68,531 $ 11,815 $ 27,020 $ 49 $ — $ 288,954 Special mention — — — 21,287 — — — — 21,287 Total multi-family residential $ 67,979 $ 59,239 $ 54,321 $ 89,818 $ 11,815 $ 27,020 $ 49 $ — $ 310,241 OOCRE: Pass $ 114,413 $ 111,516 $ 56,964 $ 73,112 $ 54,921 $ 174,500 $ 2,986 $ 2,965 $ 591,377 Special mention 2,420 — 1,052 — — 6,232 — — 9,704 Substandard — 412 — 25,440 781 10,259 — — 36,892 PCD — 1,377 — — 6,567 19,620 — — 27,564 Total OOCRE $ 116,833 $ 113,305 $ 58,016 $ 98,552 $ 62,269 $ 210,611 $ 2,986 $ 2,965 $ 665,537 NOOCRE: Pass $ 628,140 $ 298,091 $ 254,566 $ 319,359 $ 56,710 $ 336,713 $ 5,861 $ 23,015 $ 1,922,455 Special mention — 613 1,685 29,469 16,354 48,952 — 489 97,562 Substandard — 48 1,775 26,209 1,581 52,479 — — 82,092 PCD — — — 13,620 — 4,580 — — 18,200 Total NOOCRE $ 628,140 $ 298,752 $ 258,026 $ 388,657 $ 74,645 $ 442,724 $ 5,861 $ 23,504 $ 2,120,309 Commercial: Pass $ 430,213 $ 187,370 $ 124,798 $ 65,186 $ 40,254 $ 52,491 $ 968,229 $ 19,130 $ 1,887,671 Special mention 7,958 2,341 149 15,136 1,069 3,368 3,482 2,589 36,092 Substandard 15,662 5,843 6,286 14,908 4,167 2,779 20,500 4,342 74,487 PCD — — — 315 1,785 6,526 — — 8,626 Total commercial $ 453,833 $ 195,554 $ 131,233 $ 95,545 $ 47,275 $ 65,164 $ 992,211 $ 26,061 $ 2,006,876 MW: Pass $ — $ — $ — $ — $ — $ — $ 564,850 $ 250 $ 565,100 Substandard — — — — — — 545 — 545 Total MW $ — $ — $ — $ — $ — $ — $ 565,395 $ 250 $ 565,645 Consumer: Pass $ 3,362 $ 1,566 $ 512 $ 408 $ 2,777 $ 784 $ 1,006 $ 25 $ 10,440 Special mention — — — — 65 14 — — 79 Substandard — — 22 — 177 39 1,064 — 1,302 PCD — — — — 24 153 — — 177 Total consumer $ 3,362 $ 1,566 $ 534 $ 408 $ 3,043 $ 990 $ 2,070 $ 25 $ 11,998 Total Pass $ 1,841,709 $ 1,241,076 $ 662,869 $ 647,461 $ 202,918 $ 708,994 $ 1,561,600 $ 52,573 $ 6,919,200 Total Special Mention 10,378 4,547 2,886 66,204 17,488 58,918 3,482 3,078 166,981 Total Substandard 15,662 6,303 8,083 66,557 6,787 66,459 22,676 4,342 196,869 Total PCD — 1,377 — 13,935 8,376 34,405 — — 58,093 Total $ 1,867,749 $ 1,253,303 $ 673,838 $ 794,157 $ 235,569 $ 868,776 $ 1,587,758 $ 59,993 $ 7,341,143 1 Term loans amortized cost basis by origination year excludes $9,489 of deferred loan fees, net. Servicing Assets The Company was servicing loans of approximately $518,612 and $261,885 as of March 31, 2022 and 2021, respectively. A summary of the changes in the related servicing assets are as follows: Three Months Ended March 31, 2022 2021 Balance at beginning of period $ 17,705 $ 3,363 Increase from loan sales 1,491 — Servicing asset impairment, net of recoveries (280) 128 Amortization charged as a reduction to income (748) (89) Balance at end of period $ 18,168 $ 3,402 Fair value of servicing assets is estimated by discounting estimated future cash flows from the servicing assets using discount rates that approximate current market rates over the expected lives of the loans being serviced. A valuation allowance is recorded when the fair value is below the carrying amount of the asset. As of March 31, 2022 and 2021 there was a valuation allowance of $908 and $428, respectively. The Company may also receive a portion of subsequent interest collections on loans sold that exceed the contractual servicing fees. In that case, the Company records an interest-only strip based on its relative fair market value and the other components of the loans. There was no interest-only strip receivable recorded at March 31, 2022 and December 31, 2021. |
Fair Value
Fair Value | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Fair Value The following table summarizes assets measured at fair value on a recurring basis as of March 31, 2022 and December 31, 2021, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: March 31, 2022 Level 1 Level 2 Level 3 Total Financial Assets: AFS debt securities $ — $ 1,063,249 $ — $ 1,063,249 Equity securities with a readily determinable fair value 10,525 — — 10,525 PPP loans — 18,512 — 18,512 Loans held for sale (1) — 15,565 — 15,565 Interest rate swap designated as hedging instruments — 13,931 — 13,931 Correspondent interest rate swaps not designated as hedging instruments — 15,462 — 15,462 Customer interest rate swaps not designated as hedging instruments — 289 — 289 Correspondent interest rate caps and collars not designated as hedging instruments — 1 — 1 Financial Liabilities: Interest rate swap designated as hedging instruments $ — $ 21,453 $ — $ 21,453 Correspondent interest rate swaps not designated as hedging instruments — 348 — 348 Customer interest rate swaps not designated as hedging instruments — 15,327 — 15,327 Customer interest rate caps and collars not designated as hedging instruments — 1 — 1 (1) Represents loans held for sale elected to be carried at fair value. December 31, 2021 Level 1 Level 2 Level 3 Total Financial Assets: AFS debt securities $ — $ 993,058 $ — $ 993,058 Equity securities with a readily determinable fair value 11,038 — — 11,038 PPP loans — 53,369 — 53,369 Loans held for sale (1) — 9,867 — 9,867 Interest rate swap designated as hedging instruments — 7,001 — 7,001 Correspondent interest rate swaps not designated as hedging instruments — 1,527 — 1,527 Customer interest rate swaps not designated as hedging instruments — 3,261 — 3,261 Customer interest rate caps and collars not designated as hedging instruments — 1 — 1 Financial Liabilities: Interest rate swap designated as hedging instruments $ — $ 1,404 $ — $ 1,404 Correspondent interest rate swaps not designated as hedging instruments — 3,498 — 3,498 Customer interest rate caps and collars not designated as hedging instruments — 1,442 — 1,442 Correspondent interest rate caps and collars not designated as hedging instruments — 1 — 1 (1) Represents loans held for sale elected to be carried at fair value. There were no transfers between Level 2 and Level 3 during the three months ended March 31, 2022 and 2021. The following table summarizes assets measured at fair value on a non-recurring basis as of March 31, 2022 and December 31, 2021, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: Fair Value Level 1 Level 2 Level 3 Total As of March 31, 2022 Assets: Collateral dependent loans with an ACL $ — $ — $ 14,505 $ 14,505 Servicing assets with a valuation allowance — — 17,419 17,419 As of December 31, 2021 Assets: Collateral dependent loans with an ACL $ — $ — $ 10,100 $ 10,100 Servicing assets with a valuation allowance — — 3,223 3,223 At March 31, 2022, collateral dependent loans with an allowance had a recorded investment of $19,699, with $5,194 specific allowance for credit loss allocated. At December 31, 2021, impaired loans had a carrying value of $17,908, with $7,808 specific allowance for credit loss allocated. At March 31, 2022, servicing assets of $18,327 had a valuation allowance totaling $908. At December 31, 2021, servicing assets of $3,850 had a valuation allowance totaling $627. There were no liabilities measured at fair value on a non-recurring basis as of March 31, 2022 or December 31, 2021. Fair Value of Financial Instruments The Company’s methods of determining fair value of financial instruments in this Note are consistent with its methodologies disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. Please re fer to Note 17 in the Company’s Annual Report on Form 10-K for information on these methods. The estimated fair values and carrying values of all financial instruments not measured at fair value on a recurring basis under current authoritative guidance as of March 31, 2022 and December 31, 2021 were as follows: Fair Value Carrying Level 1 Level 2 Level 3 March 31, 2022 Financial assets: Cash and cash equivalents $ 551,573 $ — $ 551,573 $ — HTM debt securities 181,265 — 169,818 — Securities purchased under agreements to resell 100,818 — 100,818 — Loans held for sale (1) 3,156 — 3,156 — PPP Loans 18,512 — — 18,512 LHI, excluding PPP loans (2) 7,649,794 — — 7,537,714 Accrued interest receivable 23,356 — 23,356 — BOLI 83,641 — 83,641 — Servicing asset 749 — 749 — Equity securities without a readily determinable fair value 4,355 N/A N/A N/A FHLB and FRB stock 71,983 N/A N/A N/A Financial liabilities: Deposits $ 7,889,596 $ — $ 7,401,333 $ — Advances from FHLB 777,522 — 770,158 — Accrued interest payable 1,292 — 1,292 — Subordinated debentures and subordinated notes 228,018 — 228,018 — Securities sold under agreement to repurchase 4,996 — 5,017 — December 31, 2021 Financial assets: Cash and cash equivalents $ 379,784 $ — $ 379,784 $ — HTM debt securities 59,436 — 61,446 — Securities purchased under agreements to resell 102,288 — 102,288 — Loans held for sale (1) 16,140 — 16,140 — LHI (2) 7,259,233 — — 7,283,992 Accrued interest receivable 22,008 — 22,008 — Bank-owned life insurance 83,194 — 83,194 — Servicing asset 14,482 — 14,482 — Equity securities without a readily determinable fair value 4,355 N/A N/A N/A FHLB and FRB stock 71,892 N/A N/A N/A Financial liabilities: Deposits $ 7,363,615 $ — $ 7,145,175 $ — Advances from FHLB 777,562 — 796,480 — Accrued interest payable 1,507 — 1,507 — Subordinated debentures and subordinated notes 227,764 — 227,764 — Securities sold under agreement to repurchase 4,069 — 4,026 — (1) Loans held for sale represent mortgage loans held for sale that are carried at lower of cost or market. (2) LHI includes MW and is carried at amortized cost. |
Derivative Financial Instrument
Derivative Financial Instruments | 3 Months Ended |
Mar. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments The Company primarily uses derivatives to manage exposure to market risk, including interest rate risk and credit risk and to assist customers with their risk management objectives. Management will designate certain derivatives as hedging instruments in a qualifying hedge accounting relationship. The Company’s remaining derivatives consist of derivatives held for customer accommodation or other purposes. The fair value of derivative positions outstanding is included in other assets and accounts payable and other liabilities on the accompanying consolidated balance sheets and in the net change in each of these financial statement line items in the accompanying consolidated statements of cash flows. For derivatives not designated as hedging instruments, swap fee income and gains and losses due to changes in fair value are included in other noninterest income and the operating section of the consolidated statement of cash flows. For derivatives designated as hedging instruments, the entire change in the fair value related to the derivative instrument is recognized as a component of other comprehensive income and subsequently reclassified into interest income or interest expense when the forecasted transaction affects income. The notional amounts and estimated fair values as of March 31, 2022 and December 31, 2021 are as shown in the table below. March 31, 2022 December 31, 2021 Estimated Fair Value Estimated Fair Value Notional Asset Derivative Liability Derivative Notional Asset Derivative Liability Derivative Derivatives designated as hedging instruments (cash flow hedges): Interest rate swap on money market deposit account payments $ 250,000 $ 13,931 $ — $ 250,000 $ 4,541 $ — Interest rate swap on customer loan interest payments 125,000 — 7,780 125,000 — 867 Interest rate swap on customer loan interest payments 125,000 — 7,450 125,000 — 537 Interest rate swap on customer loan interest payments 125,000 — 6,223 125,000 2,460 — Total derivatives designated as hedging instruments $ 625,000 $ 13,931 $ 21,453 $ 625,000 $ 7,001 $ 1,404 Derivatives not designated as hedging instruments: Financial institution counterparty: Interest rate swaps $ 403,389 $ 15,462 $ 348 $ 379,787 $ 1,527 $ 3,498 Interest rate caps and collars 33,716 1 — 41,916 — 1 Commercial customer counterparty: Interest rate swaps 403,389 289 15,327 379,787 3,261 1,442 Interest rate caps and collars 33,716 — 1 41,916 1 — Total derivatives not designated as hedging instruments $ 874,210 $ 15,752 $ 15,676 $ 843,406 $ 4,789 $ 4,941 Offsetting derivative assets/liabilities — (11,353) (11,353) — (2,609) (2,609) Total derivatives $ 1,499,210 $ 18,330 $ 25,776 $ 1,468,406 $ 9,181 $ 3,736 Pre-tax gain (loss) included in the consolidated statements of income and related to derivative instruments for the three months ended March 31, 2022 and 2021 were as follows. For the Three Months Ended For the Three Months Ended Gain (loss) recognized in other comprehensive income on derivative Gain (loss) reclassified from accumulated other comprehensive income into income Location of gain (loss) reclassified from accumulated other comprehensive income into income Gain recognized in other comprehensive income on derivative Gain (loss) reclassified from accumulated other comprehensive income into income Location of gain (loss) reclassified from accumulated other comprehensive income into income Derivatives designated as hedging instruments (cash flow hedges): Interest rate swap on borrowing advances $ (264) $ 264 Interest Expense $ 26,357 $ — Interest Expense Interest rate swap on money market deposit account payments 9,389 (171) Interest Expense 3,895 (199) Interest Expense Commercial loan interest rate floor — — Interest Income — 541 Interest Income Interest rate swaps on customer loan interest payments (22,506) 1,078 Interest Income (2,981) 224 Interest Income Total $ (13,381) $ 1,171 $ 27,271 $ 566 Net gain recognized in other noninterest income Net gain recognized in other noninterest income Derivatives not designated as hedging instruments: Interest rate swaps, caps and collars $ 719 $ 98 Cash Flow Hedges Cash flow hedge relationships mitigate exposure to the variability of future cash flows or other forecasted transactions. The Company uses interest rate swaps, floors, caps and collars to manage overall cash flow changes related to interest rate risk exposure on benchmark interest rate loans. In March 2021, the Company entered into three fixed receive/pay variable interest rate swaps, each with a notional amount of $125,000, to hedge the variability of cash flow payments attributable to changes in interest rates in regards to forecasted of three-month attributable to changes in interest rates in regards to forecasted money market account borrowings from March 2021 through March 2028 and March 2021 through March 2031. In March 2020, the Company entered into an interest rate swap for a notional amount of $500,000 to hedge the variability of cash flow payments attributable to changes in interest rates in regards to forecasted issuances of three-month term debt arrangements every three months from March 2022 through March 2032. These forecasted borrowings can be sourced from a FHLB advance, repurchase agreement, brokered certificate of deposit or some combination. This interest rate swap was terminated on February 24, 2021. The pre-tax gain of $43,900, resulting from the termination of the interest rate swap, will remain in other comprehensive income (loss) and will be accreted over a 10 year period starting in March 2022 unless the forecasted transactions become probable of not occurring. The gain accreted into income during the three months months ended March 31, 2022 was $264. In March 2020, the Company entered into an interest rate swap for a notional amount of $250,000 to hedge the variability of cash flow payments attributable to changes in interest rates in regards to forecasted money market account borrowings from March 2020 through March 2025. In May 2019, the Company entered into a $275,000 notional interest rate floor for commercial loans with a two-year term. The interest rate floor had a purchased floor strike of 2.43%. In February 2020, the Company terminated this interest rate floor. The gain resulting from the termination of the interest rate floor will remain in other comprehensive income (loss) and will be accreted into earnings over the remaining period of the former hedging relationship unless the forecasted transaction becomes probable of not occurring. Interest Rate Swap, Floor, Cap and Collar Agreements Not Designated as Hedging Derivatives In order to accommodate the borrowing needs of certain commercial customers, the Company has entered into interest rate swap or cap agreements with those customers. These interest rate derivative contracts effectively allow the Company’s customers to convert a variable rate loan into a fixed rate loan. In order to offset the exposure and manage interest rate risk, at the time an agreement was entered into with a customer, the Company entered into an interest rate swap or cap with a correspondent bank counterparty with offsetting terms. These derivative instruments are not designated as accounting hedges and changes in the net fair value are recognized in noninterest income or expense. Because the Company acts as an intermediary for its customers, changes in the fair value of the underlying derivative contracts substantially offset each other and do not have a material impact on the Company’s results of operations. The fair value amounts are included in other assets and other liabilities. The following is a summary of the interest rate swaps, caps and collars outstanding as of March 31, 2022 and December 31, 2021. March 31, 2022 Notional Amount Fixed Rate Floating Rate Maturity Fair Value Non-hedging derivative instruments: Customer interest rate derivative: Interest rate swaps - receive fixed/pay floating $ 403,389 2.970% - 8.470% LIBOR 1 month + 2.2% - 5% SOFR CME 1 month + 2.1% - 3.8% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 4.6 years $ (15,038) Interest rate cap $ 33,716 3.000% LIBOR 1 month + —% Wtd. Avg. 0.4 years $ (1) Correspondent interest rate derivative: Interest rate swaps - pay fixed/receive floating $ 403,389 2.970% - 8.470% LIBOR 1 month + 2.2% - 5% SOFR CME 1 month + 2.1% - 3.75% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 4.6 years $ 15,114 Interest rate cap $ 33,716 3.000% LIBOR 1 month + —% Wtd. Avg. 0.4 years $ 1 December 31, 2021 Notional Amount Fixed Rate Floating Rate Maturity Fair Value Non-hedging derivative instruments: Customer interest rate derivative: Interest rate swaps - receive fixed/pay floating $ 379,787 2.970% - 8.470% LIBOR 1 month + 2.200% - 5.000% SOFR CME 1 month + 2.480% - 2.900% SOFR-NYFD 30 day avg + 2.500% - 2.964% Wtd. Avg. 4.8 years $ 1,820 Interest rate caps $ 41,916 3.000% / 5.000% LIBOR 1 month + —% - 2.500% Wtd. Avg. 0.6 years $ 1 Correspondent interest rate derivative: Interest rate swaps - pay fixed/receive floating $ 379,787 2.970% - 8.470% LIBOR 1 month + 2.200% - 5.000% SOFR CME 1 month + 2.480% - 2.900% SOFR-NYFD 30 day avg + 2.500% - 2.964% Wtd. Avg. 4.8 years $ (1,972) Interest rate caps $ 41,916 2.500% / 3.000% LIBOR 1 month + —% Wtd. Avg. 0.6 years $ (1) |
Off-Balance Sheet Loan Commitme
Off-Balance Sheet Loan Commitments | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Off-Balance Sheet Loan Commitments | Off-Balance Sheet Loan Commitments The Company is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit, MW commitments and standby and commercial letters of credit. Those instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized in the consolidated balance sheets. The Company’s exposure to credit loss in the event of nonperformance by the other party to a financial instrument for commitments to extend credit, MW commitments and standby and commercial letters of credit is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. The following table sets forth the approximate amounts of these financial instruments as of March 31, 2022 and December 31, 2021: March 31, December 31, 2022 2021 Commitments to extend credit $ 4,021,956 $ 3,809,509 MW commitments 844,415 716,370 Standby and commercial letters of credit 75,495 65,881 Total $ 4,941,866 $ 4,591,760 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments may expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Management evaluates each customer’s creditworthiness on a case-by-case basis and substantially all of the Company’s commitments to extend credit are contingent upon customers maintaining specific credit standards at the time of future loan funding. The amount of collateral obtained, if deemed necessary upon extension of credit, is based on management’s credit evaluation of the borrower. MW commitments are unconditionally cancellable and represent the unused capacity on MW facilities the Company has approved. The Company reserves the right to refuse to buy any mortgage loans offered for sale by a customer, for any reason, at the Company’s sole and absolute discretion. Standby and commercial letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Standby and commercial letters of credit generally have fixed expiration dates or other termination clauses and may require payment of a fee. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. The Company’s policy for obtaining collateral and the nature of such collateral is substantially the same as that involved in making commitments to extend credit. The table below presents the activity in the allowance for unfunded commitment credit losses related to those financial instruments discussed above. This allowance is recorded in accounts payable and other liabilities on the consolidated balance sheets: Three Months Ended March 31, 2022 2021 Beginning balance for ACL on unfunded commitments $ 9,266 $ 10,747 Provision (benefit) for credit losses on unfunded commitments 493 (570) Ending balance of ACL on unfunded commitments $ 9,759 $ 10,177 |
Stock-Based Awards
Stock-Based Awards | 3 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Awards | Stock-Based Awards 2010 Stock Option and Equity Incentive Plan (“2010 Incentive Plan”) The Company recognized no stock compensation expense related to the 2010 Incentive Plan for the three months ended March 31, 2022 and 2021. A summary of option activity under the 2010 Incentive Plan for the three months ended March 31, 2022 and 2021, and changes during the periods then ended, is presented below: 2010 Incentive Plan Non-Performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2021 20,000 $ 10.09 1.06 Exercised (18,300) 10.00 Outstanding and exercisable at March 31, 2021 1,700 $ 10.37 1.69 Outstanding at January 1, 2022 1,000 $ 10.43 1.07 $ 147 Outstanding and exercisable at March 31, 2022 1,000 $ 10.43 1.07 $ 68 As of March 31, 2022, December 31, 2021 and March 31, 2021 there was no unrecognized stock compensation expense related to non-performance based stock options. A summary of the fair value of the Company’s stock options exercised under the 2010 Incentive Plan for the three months ended March 31, 2022 and 2021 is presented below: Fair Value of Options Exercised as of March 31, 2022 2021 Nonperformance-based stock options exercised — 543 2019 Amended Plan and Green Acquired Omnibus Plans 2022 Grants of Restricted Stock Units During the three months ending March 31, 2022, the Company granted non-performance-based RSUs and performance-based restricted stock units (“PSUs”) under the 2019 Amended and Restatement Omnibus Incentive Plan (the “2019 Amended Plan”) and the Veritex (Green) 2014 Omnibus Equity Incentive Plan (the “Veritex (Green) 2014 Plan”). The majority of the RSUs granted to employees during the three months ending March 31, 2022 have an annual graded vesting over a three year period from the grant date. The PSUs granted in February 2022 are subject to a service, performance and market condition. The performance and market condition determine the number of awards to vest. The service period is from February 1, 2022 to January 31, 2025, the performance condition performance period is from January 1, 2022 to December 31, 2024 and the market condition performance period is from February 1, 2022 to January 31, 2025. A Monte Carlo simulation was used to estimate the fair value of PSUs on the grant date. Stock Compensation Expense Stock compensation expense for options, RSUs and PSUs granted under the 2019 Amended Plan and the Veritex (Green) 2014 Plan were as follows: Three Months Ended March 31, 2022 2021 2019 Amended Plan $ 2,904 $ 1,981 Veritex (Green) 2014 Plan 414 497 2019 Amended Plan A summary of the status of the Company’s stock options under the 2019 Amended Plan as of March 31, 2022 and 2021, and changes during the three months then ended, is as follows: 2019 Amended Plan Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2021 975,801 $ 24.26 Granted — — Forfeited (13,996) 25.93 Exercised (71,479) 23.03 Outstanding at March 31, 2021 890,326 $ 24.34 7.54 Options exercisable at March 31, 2021 560,176 $ 24.31 7.07 Outstanding at January 1, 2022 710,043 $ 24.38 Exercised (38,128) 23.34 Outstanding at March 31, 2022 671,915 $ 24.44 6.65 $ 9,226 Options exercisable at March 31, 2022 518,237 $ 24.45 6.35 $ 7,108 As of March 31, 2022, December 31, 2021 and March 31, 2021, there was $626, $803 and $2,047 of total unrecognized compensation expense related to options awarded under the 2019 Amended Plan, respectively. The unrecognized compensation expense at March 31, 2022 is expected to be recognized over the remaining weighted average requisite service period of 0.92 years. A summary of the status of the Company’s RSUs under the 2019 Amended Plan as of March 31, 2022 and 2021, and changes during the three months then ended, is as follows: 2019 Amended Plan RSUs Units Weighted Outstanding at January 1, 2021 441,132 $ 20.39 Granted 232,149 26.38 Vested into shares (41,362) 23.29 Outstanding at March 31, 2021 631,919 $ 22.40 Outstanding at January 1, 2022 598,051 $ 23.39 Granted 169,355 40.77 Vested into shares (96,141) 24.69 Forfeited (2,350) 26.12 Outstanding at March 31, 2022 668,915 $ 27.59 A summary of the status of the Company’s PSUs under the 2019 Amended Plan as of March 31, 2022 and 2021, and changes during the three months then ended, is as follows: 2019 Amended Plan Performance-Based PSUs Units Weighted Outstanding at January 1, 2021 100,195 $ 23.20 Granted 56,276 26.12 Outstanding at March 31, 2021 156,471 $ 24.23 Outstanding at January 1, 2022 156,471 $ 24.17 Granted 39,429 40.38 Incremental PSUs granted upon performance condition met 31,655 Vested into shares (94,991) 21.49 Outstanding at March 31, 2022 132,564 $ 30.15 As of March 31, 2022, December 31, 2021 and March 31, 2021 there was $16,882, $10,413 and $14,217 of total unrecognized compensation related to RSUs and PSUs awarded under the 2019 Amended Plan, respectively. The unrecognized compensation expense at March 31, 2022 is expected to be recognized over the remaining weighted average requisite service period of 2.31 years. A summary of the fair value of the Company’s stock options exercised, RSUs and PSUs vested under the 2019 Amended Plan during the three months ended March 31, 2022 and 2021 is presented below: Fair Value of Options Exercised or RSUs Vested in the Three Months Ended March 31, 2022 2021 Non-performance-based stock options exercised 1,562 2,090 RSUs vested 2,524 1,113 PSUs vested 2,270 — Veritex (Green) 2014 Plan A summary of the status of the Company’s stock options under the Veritex (Green) 2014 Plan as of March 31, 2022 and 2021, and changes during the three months then ended, is as follows: Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2021 352,000 $ 19.99 Forfeited (3,960) 21.38 Exercised (54,241) 19.77 Outstanding at March 31, 2021 293,799 $ 20.01 6.65 Options exercisable at March 31, 2021 222,312 $ 18.84 6.19 Outstanding at January 1, 2022 217,804 $ 19.62 6.13 $ 4,424 Exercised (28,622) 21.34 Outstanding at March 31, 2022 189,182 $ 19.37 5.57 $ 3,595 Options exercisable at March 31, 2022 180,830 $ 18.81 5.45 $ 3,501 As of March 31, 2022, December 31, 2021 and March 31, 2021, there was $75, $100, and $497 of total unrecognized compensation expense related to options awarded under the Veritex (Green) 2014 Plan, respectively. The unrecognized compensation expense at March 31, 2022 is expected to be recognized over the remaining weighted average requisite service period of 0.76 years. A summary of the status of the Company’s RSUs under the Veritex (Green) 2014 Plan as of March 31, 2022 and 2021 and changes during the three months then ended, is as follows: RSUs Units Weighted Outstanding at January 1, 2021 156,187 $ 21.15 Granted 5,692 26.12 Vested into shares (33,335) 21.38 Forfeited (2,646) 24.25 Outstanding at March 31, 2021 125,898 $ 21.25 Outstanding at January 1, 2022 122,784 $ 21.13 Granted 4,231 40.38 Vested into shares (32,931) 21.80 Forfeited (2,558) 29.13 Outstanding at March 31, 2022 91,526 $ 21.55 A summary of the status of the Company’s PSUs under the Veritex (Green) 2014 Plan as of March 31, 2022 and 2021 and changes during the three months then ended, is as follows: PSUs Units Weighted Outstanding at January 1, 2021 30,728 $ 21.43 Granted 6,231 26.12 Forfeited (724) 19.69 Outstanding at March 31, 2021 36,235 $ 22.27 Outstanding at January 1, 2022 35,899 $ 22.26 Granted 4,411 40.38 Incremental PSUs granted upon performance condition met 10,566 Vested into shares (31,703) 19.69 Outstanding at March 31, 2022 19,173 $ 29.26 As of March 31, 2022, December 31, 2021 and March 31, 2021, there was $1,399, $1,252, an d $2,429, respectively, of total unrecognized compensation related to outstanding RSUs and PSUs awarded under the Veritex (Green) 2014 Plan to be recognized over a remaining weighted average requisite service period of 2.13 years. A summary of the fair value of the Company’s stock options exercised and RSUs vested under the Veritex (Green) 2014 Plan during the three months ended March 31, 2022 and 2021 presented below: Fair Value of Options Exercised or RSUs Vested in the Three Months Ended March 31, 2022 2021 Non-performance-based stock options exercised $ 1,143 $ 1,582 RSUs vested 718 713 PSU vested 624 — Green 2010 Plan In addition to the Veritex (Green) 2014 Plan discussed earlier in this Note, the Company assumed the Green Bancorp Inc. 2010 Stock Option Plan (“Green 2010 Plan”). A summary of the status of the Company’s stock options under the Green 2010 Plan as of March 31, 2022 and 2021, and changes during the three months then ended, is as follows: Green 2010 Plan Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2021 131,083 $ 11.60 Exercised (62,000) 10.50 Outstanding at March 31, 2021 69,083 $ 12.59 2.90 Outstanding at January 1, 2022 66,143 $ 12.56 Exercised (1,372) 13.07 Outstanding at March 31, 2022 64,771 $ 12.55 1.95 $ 1,659 A summary of the fair value of the Company’s stock options exercised under the Green 2010 Plan during the three months ended March 31, 2022 and 2021 presented below: Fair Value of Options Exercised as of March 31, 2022 2021 Nonperformance-based stock options exercised 56 1,812 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Income tax expense for the three months ended March 31, 2022 and 2021 was as follows: Three Months Ended March 31, 2022 2021 Income tax expense for the period $ 8,102 $ 8,993 Effective tax rate 19.5 % 22.1 % For the three months ended March 31, 2022, the Company had an effective tax rate of 19.5%. The Company had a net discrete tax benefit of $992 associated with the recognition an excess tax benefit realized on share-based payment awards during the three months ended March 31, 2022. Excluding this discrete tax item, the Company had an effective tax rate of 21.9% for the three months ended March 31, 2022. |
Legal Contingencies
Legal Contingencies | 3 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Legal Contingencies | Legal Contingencies Litigation The Company may from time to time be involved in legal actions arising from normal business activities. In the opinion of management, there are no claims for which it is reasonably possible that an adverse outcome would have a material effect on the Company's financial position, liquidity or results of operations. The Company is not aware of any material unasserted claims. |
Capital Requirements and Restri
Capital Requirements and Restrictions on Retained Earnings | 3 Months Ended |
Mar. 31, 2022 | |
Regulatory Capital Requirements under Banking Regulations [Abstract] | |
Capital Requirements and Restrictions on Retained Earnings | Capital Requirements and Restrictions on Retained Earnings Under applicable U.S. banking laws, there are legal restrictions limiting the amount of dividends the Company can declare. Approval of the regulatory authorities is required if, among other things, the effect of the dividends declared would cause regulatory capital of the Company to fall below specified minimum levels. The Company on a consolidated basis and the Bank are subject to various regulatory capital requirements administered by federal banking agencies. Failure to meet minimum capital requirements triggers certain mandatory actions and may lead to additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action (“PCA”), the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and PCA classification are also subject to qualitative judgments by the regulators about components of capital, risk weightings of assets, and other factors. In addition, an institution may be downgraded to, or deemed to be in, a capital category that is lower than indicated by its capital ratios, if it is determined to be in an unsafe or unsound condition or if it receives an unsatisfactory examination rating with respect to certain matters. Under the Economic Growth, Regulatory Relief and Consumer Protection Act of 2018 and implementing regulations of the federal banking agencies, certain banking organizations with less than $10 billion in total consolidated assets may elect to satisfy a single Community Bank Leverage Ratio (“CBLR”) of Tier 1 capital to average total consolidated assets in lieu of the generally applicable capital requirements of the capital rules implementing Basel III. Banks meeting all of the requirements under this framework are not required to report or calculate risk-based capital, and will be considered to have met the well-capitalized ratio requirements under PCA regulations. The Bank was eligible and elected to use the CBLR framework as of December 31, 2020; however, the Bank was no longer eligible to use the CBLR framework beginning as of June 30, 2021. As a result of our no longer using the CBLR framework, we are subject to various quantitative measures established by regulation to ensure capital adequacy. These generally applicable capital requirements require a banking organization that does not operate under the CBLR framework to maintain minimum amounts and ratios (set forth in the table below) of total capital, Tier 1 capital, and common equity Tier 1 capital to risk-weighted assets, and of Tier 1 capital to average assets. The capital rules implementing Basel III also include a “capital conservation buffer” of 2.5% on top of each of the minimum risk-based capital ratios, and a banking organization with any risk-based capital ratio that meets or exceeds the minimum requirement but does not meet the capital conservation buffer will face constraints on dividends, equity repurchases and discretionary bonus payments based on the amount of the shortfall. Additionally, to be categorized as “well capitalized,” a bank that does not operate under the CBLR framework is required to maintain minimum total risk-based common equity Tier 1, Tier 1, and total capital ratios and Tier 1 leverage ratios as set forth in the table below. As of March 31, 2022 and December 31, 2021, the Company’s and the Bank’s capital ratios exceeded those levels necessary to be categorized as “well capitalized”. There are no conditions or events since March 31, 2022 that management believes have changed the Company’s category. In the first quarter of 2020, U.S. federal regulatory authorities issued an interim final rule that provides banking organizations that adopt CECL during the 2020 calendar year with the option to delay for two years the estimated impact of CECL on regulatory capital relative to regulatory capital determined under the prior incurred loss methodology, followed by a three-year transition period to phase out the aggregate amount of the capital benefit provided during the initial two-year delay (i.e., a five-year transition in total). In connection with our adoption of CECL on January 1, 2020, the Company elected to utilize the five-year CECL transition. As a result, the effects of CECL on the Company’s and the Bank’s regulatory capital was delayed through the year 2021, with the effects phased-in over a three-year period from January 1, 2022 through December 31, 2024. A comparison of the Company’s and Bank’s actual capital amounts and ratios to required capital amounts and ratios is presented in the following table: Actual For Capital To Be Well Amount Ratio Amount Ratio Amount Ratio As of March 31, 2022 Total capital (to risk-weighted assets “RWA”) Company $ 1,276,341 12.73 % $ 802,100 8.0 % n/a n/a Bank 1,245,323 12.42 802,140 8.0 $ 1,002,676 10.0 % Tier 1 capital (to RWA) Company 1,016,916 10.14 601,725 6.0 n/a n/a Bank 1,183,396 11.80 601,727 6.0 802,302 8.0 Common equity tier 1 (to RWA) Company 987,414 9.84 451,561 4.5 n/a n/a Bank 1,183,396 11.80 451,295 4.5 651,871 6.5 Tier 1 capital (to average assets) Company 1,016,916 10.66 381,582 4.0 n/a n/a Bank 1,183,396 12.41 381,433 4.0 476,791 5.0 As of December 31, 2021 Total capital (to RWA) Company $ 1,100,404 11.60 % $ 758,899 8.0 % n/a n/a Bank 1,053,871 11.11 758,863 8.0 $ 948,579 10.0 % Tier 1 capital (to RWA) Company 843,585 8.89 569,349 6.0 n/a n/a Bank 994,351 10.48 569,285 6.0 759,047 8.0 Common equity tier 1 (to RWA) Company 814,138 8.58 426,995 4.5 n/a n/a Bank 994,351 10.48 426,964 4.5 616,725 6.5 Tier 1 capital (to average assets) Company 843,585 9.05 372,855 4.0 n/a n/a Bank 994,351 10.69 372,068 4.0 465,085 5.0 Dividend Restrictions Dividends paid by the Bank are subject to certain restrictions imposed by regulatory agencies. Capital requirements further limit the amount of dividends that may be paid by the Bank. No dividends were paid by the Bank to the Holdco during the three months ended March 31, 2022. Dividends of $8,440 were paid by the Bank to the Holdco during the three months ended March 31, 2021. Dividends of $9,913, or $0.20 per outstanding share on the applicable record date, were paid by the Company during the three months ended March 31, 2022. Dividends of $8,358, or $0.17 per outstanding share on the applicable record date, were paid by the Company during the three months ended March 31, 2021 . |
Business Combinations
Business Combinations | 3 Months Ended |
Mar. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Business Combinations | Business Combinations NAC On November 1, 2021, the Company completed its acquisition of NAC. Under this method of accounting, assets acquired and liabilities assumed are recorded at their estimated fair values. The excess cost over fair value of net assets acquired is recorded as goodwill. As the consideration paid for NAC exceeded the provisional value of the net assets acquired, goodwill of $32,931 related to the acquisition was recorded. This goodwill resulted from the combination of expected operational synergies and increased market share in the fragmented USDA lending space. The goodwill will be deducted for tax purposes. The acquisition makes the Bank a leading player in the USDA Business and Industry lending program. It furthered the Company’s strategy of diversifying revenue streams and providing meaningful gain on sale and loan servicing fees. The Company will leverage NAC’s loan sourcing technology to further enhance the Company’s products and services. Consideration Under the terms of the definitive agreement for the acquisition, the Bank paid $57,500 in cash to existing shareholders of NAC. Three years after the transaction, NAC has the right, subject to adjustment, to receive an additional $5,000 in cash subject to certain performance measures. NAC will continue to operate under its current name and brand and in its current office space, as a wholly owned subsidiary of the Bank. Fair Value The following table presents the amounts recorded on the consolidated balance sheets on the acquisition date of November 1, 2021, showing the estimated fair value as reported at December 31, 2021, the measurement period adjustments and the fair value determined to be final as of March 31, 2022. Estimate at December 31, 2021 Measurement Period Adjustments Final Fair Value Assets acquired Cash and cash equivalents 1,978 — 1,978 LHI 29,338 (681) 28,657 Servicing asset 13,913 — 13,913 Other assets 690 — 690 45,919 (681) 45,238 Liabilities assumed 0 Accounts payable and other accrued expenses 16,350 — 16,350 16,350 — 16,350 Fair value of net assets acquired 29,569 (681) 28,888 Consideration: — Cash paid 57,500 — 57,500 Contingent consideration 5,000 — 5,000 Total consideration $ 62,500 $ — $ 62,500 Goodwill $ 32,931 $ 681 $ 33,612 Acquisition-related Expenses For the three months ended March 31, 2022, the Company incurred no pre-tax merger and acquisition expenses. For the year ended December 31, 2021, the Company incurred $826 of pre-tax merger and acquisition expenses. Acquired Loans and PCD Loans Acquired loans were recorded at fair value based on a discounted cash flow valuation methodology that considers, among other things, projected default rates, loss given defaults and recovery rates. No ACL was carried over from NAC. The Bank did not identify any acquired PCD loans. The following table discloses the fair value and contractual value of loans acquired from NAC on November 1, 2021: Total acquired loans Commercial $ 26,519 Commercial Real Estate 2,138 Total fair value $ 28,657 Contractual principal balance $ 29,338 Supplemental Pro Forma Information (unaudited) The following table presents supplemental pro forma information for the years ended December 31, 2020 and 2019 as if the NAC acquisition was completed as of January 1, 2019. The pro forma results combine the historical results of NAC into the Company's consolidated statements of income, including the impact of certain purchase accounting adjustments, including loan discount accretion. The pro forma results have been prepared for comparative purposes only and are not necessarily indicative of the results that would have been obtained had the acquisition actually occurred on January 1, 2019: Year Ended December 31, 2020 2019 Net interest income $ 267,331 $ 286,313 Net income 84,368 93,939 Basic EPS $ 1.69 $ 1.77 Diluted EPS 1.69 1.74 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited consolidated financial statements include the accounts of Veritex Holdings, Inc. and its subsidiaries, including Veritex Community Bank. The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”), but do not include all of the information and footnotes required for complete financial statements. Intercompany transactions and balances are eliminated in consolidation. In management’s opinion, these unaudited consolidated financial statements include all adjustments of a normal recurring nature necessary for a fair statement of the Company’s consolidated balance sheets at March 31, 2022 and December 31, 2021, consolidated statements of income and comprehensive income for the three months ended March 31, 2022 and 2021, consolidated statements of changes in stockholders’ equity for the three months ended March 31, 2022 and 2021 and consolidated statements of cash flows for the three months ended March 31, 2022 and 2021. Accounting measurements at interim dates inherently involve greater reliance on estimates than at year end and the results for the interim periods shown herein are not necessarily indicative of results to be expected for the full year due in part to global economic and financial market conditions, interest rates, access to sources of liquidity, market competition and interruptions of business processes. These unaudited consolidated financial statements have been prepared in accordance with GAAP for interim financial information and the instructions to Quarterly Reports on Form 10-Q adopted by the Securities and Exchange Commission (“SEC”). These unaudited consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the year ended December 31, 2021 included in the Company’s Annual Report on Form 10-K, as filed with the SEC on March 1, 2022. |
Segment Reporting | Segment Reporting The Company has one reportable segment. All of the Company’s activities are interrelated, and each activity is dependent and assessed based on how each activity of the Company supports the others. For example, lending is dependent upon the ability of the Company to fund itself with deposits and borrowings while managing interest rate and credit risk. Accordingly, all significant operating decisions are based upon an analysis of the Bank as one segment or unit. The Company’s chief operating decision-maker, the Chief Executive Officer, uses the consolidated results to make operating and strategic decisions. |
Reclassifications | Recl assifications Certain items in the Company’s prior year financial statements were reclassified to conform to the current presentation. |
Earnings Per Share ("EPS") | Earnings Per Share (“EPS”)EPS is based upon the weighted average shares outstanding. |
Transfers of debt securities from AFS to HTM | Transfers of debt securities from AFS to HTM Transfers of debt securities into the HTM category from the AFS category are made at fair value at the date of transfer. The unrealized holding gain or loss at the date of transfer is retained in other comprehensive income and in the carrying value of the HTM securities. Such amounts are amortized over the remaining life of the security. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Accounting Standard Update (“ASU”) ASU 2022-01, “ Derivatives and Hedging (Topic 815) ” (“ASU 2022-01”) clarifies the guidance in ASC 815 on fair value hedge accounting of interest rate risk for portfolios and financial assets. Among other things, the amended guidance established the “last-of-layer” method for making the fair value hedge accounting for these portfolios more accessible and renamed that method the “portfolio layer” method. ASU 2022-01 is effective January 1, 2023 and is not expected to have a significant impact on our consolidated financial statements. ASU 2022-02, “ Financial Instruments - Credit Losses (Topic 326) ” (“ASU 2022-02”) eliminates the guidance on troubled debt restructurings and requires entities to evaluate all loan modifications to determine if they result in a new loan or a continuation of the existing loan. ASU 2022-02 also requires that entities disclose current-period gross charge-offs by year of origination for loans and leases. ASU 2022-02 is effective January 1, 2023 and will have an impact on our financial statement disclosures. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Schedule of Reconciliation Between Weighted Average Shares Used for Calculating Basic and Diluted EPS | The table below sets forth the reconciliation between weighted average shares used for calculating basic and diluted EPS for the three months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 2021 Earnings (numerator) Net income $ 33,470 $ 31,787 Shares (denominator) Weighted average shares outstanding for basic EPS 50,695 49,394 Dilutive effect of employee stock-based awards 876 604 Adjusted weighted average shares outstanding 51,571 49,998 EPS: Basic $ 0.66 $ 0.64 Diluted $ 0.65 $ 0.64 |
Supplemental Statement of Cas_2
Supplemental Statement of Cash Flows (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Other Supplemental Cash Flow Information | Other supplemental cash flow information is presented below: Three Months Ended March 31, 2022 2021 (in thousands) Supplemental Disclosures of Cash Flow Information: Cash paid for interest $ 5,368 $ 7,602 Cash paid for income taxes — 15 Supplemental Disclosures of Non-Cash Flow Information: Transfer of AFS debt securities to HTM debt securities 117,001 — Net foreclosure of OREO and repossessed assets 1,062 — Noncash assets acquired in business combination 1 LHI (681) — Goodwill 681 — 1 Represents adjustments to provisional estimates recorded during the three months ended March 31, 2022 for the acquisition of North Avenue Capital, LLC (“NAC”). Refer to Note 13. Business Combinations for further discussion. |
Share Transactions (Tables)
Share Transactions (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Schedule of Share Repurchases | Shares repurchased through the periods indicated are as follows: Three Months Ended March 31, 2022 2021 Numbers of shares repurchased — 147,622 Weighted average price per share — $ 26.83 |
Securities (Tables)
Securities (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Gross Unrealized Gain Recognized on Equity Securities | The gross unrealized loss recognized on equity securities with readily determinable fair values recorded in other noninterest income in the Company’s consolidated statements of income were as follows: Three Months Ended March 31, 2022 2021 Unrealized loss recognized on equity securities with a readily determinable fair value $ 513 $ 199 |
Schedule of Carrying Amount and Approximate Fair Values of Available-for-Sale Securities | The amortized cost, related gross unrealized gains and losses, ACL and the fair value of AFS and HTM debt securities are as follows: March 31, 2022 Amortized Gross Gross ACL Fair Value AFS Corporate bonds $ 262,839 $ 5,975 $ 1,593 $ — $ 267,221 Municipal securities 50,335 993 1,006 — 50,322 Mortgage-backed securities 153,215 593 5,838 — 147,970 Collateralized mortgage obligations 493,702 613 16,192 — 478,123 Asset-backed securities 50,452 721 1,233 — 49,940 Collateralized loan obligations 70,179 — 506 — 69,673 $ 1,080,722 $ 8,895 $ 26,368 $ — $ 1,063,249 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value HTM Mortgage-backed securities $ 39,072 $ — $ 3,340 $ — $ 35,732 Collateralized mortgage obligations 37,618 203 2,339 — 35,482 Municipal securities 104,575 603 6,574 — 98,604 $ 181,265 $ 806 $ 12,253 $ — $ 169,818 The Company elected to transfer 25 AFS debt securities with an aggregate fair value of $117,001 to a classification of HTM debt securities on January 1, 2022. In accordance with FASB ASC 320-10-35-10, the transfer from AFS to HTM must be recorded at the fair value of the AFS debt securities at the time of transfer. The net unrealized holding gain of $4,387, net of tax, at the date of transfer was retained in accumulated other comprehensive income (loss), with the associated pre-tax amount retained in the carrying value of the HTM debt securities. Such amounts will be amortized to comprehensive income over the remaining life of the securities. December 31, 2021 Amortized Gross Gross ACL Fair Value AFS Corporate bonds $ 198,396 $ 10,294 $ 178 $ — $ 208,512 Municipal securities 116,100 8,261 431 — 123,930 Mortgage-backed securities 124,230 4,326 1,489 — 127,067 Collateralized mortgage obligations 424,174 12,240 2,350 — 434,064 Asset-backed securities 53,466 1,616 519 — 54,563 Collateralized loan obligations 45,089 — 167 — 44,922 $ 961,455 $ 36,737 $ 5,134 $ — $ 993,058 Amortized Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value HTM Mortgage-backed securities $ 25,767 $ 45 $ 508 $ — $ 25,304 Collateralized mortgage obligations 5,490 560 — — 6,050 Municipal securities 28,179 2,015 102 — 30,092 $ 59,436 $ 2,620 $ 610 $ — $ 61,446 |
Schedule of Investment Securities That Have Been in a Continuous Unrealized Loss Position | The following tables disclose the Company’s AFS debt securities in an unrealized loss position for which an ACL has not been recorded, aggregated by investment category and length of time that individual debt securities have been in a continuous loss position: March 31, 2022 Less Than 12 Months 12 Months or More Totals Fair Unrealized Fair Unrealized Fair Unrealized AFS Corporate bonds $ 72,219 $ 1,593 $ — $ — $ 72,219 $ 1,593 Municipal securities 11,731 902 1,889 104 13,620 1,006 Mortgage-backed securities 57,918 2,515 27,791 3,323 85,709 5,838 Collateralized mortgage obligations 338,386 13,597 23,610 2,595 361,996 16,192 Asset-backed securities 24,209 464 10,918 769 35,127 1,233 Collateralized loan obligations 69,673 506 — — 69,673 506 $ 574,136 $ 19,577 $ 64,208 $ 6,791 $ 638,344 $ 26,368 HTM Mortgage-backed securities $ 19,592 $ 1,784 $ 16,141 $ 1,556 $ 35,733 $ 3,340 Municipal securities 75,221 6,281 2,005 293 77,226 6,574 Collateralized mortgage obligations 31,162 2,339 — — 31,162 2,339 $ 125,975 $ 10,404 $ 18,146 $ 1,849 $ 144,121 $ 12,253 December 31, 2021 Less Than 12 Months 12 Months or More Totals Fair Unrealized Loss Fair Unrealized Loss Fair Unrealized Loss AFS Corporate bonds $ 7,072 $ 178 $ — $ — $ 7,072 $ 178 Municipal securities 12,704 194 4,350 237 17,054 431 Mortgage-backed securities 40,276 1,283 4,677 206 44,953 1,489 Collateralized mortgage obligations 106,063 2,350 — — 106,063 2,350 Asset-backed securities 11,265 519 — — 11,265 519 Collateralized loan obligations 44,922 167 — — 44,922 167 $ 222,302 $ 4,691 $ 9,027 $ 443 $ 231,329 $ 5,134 HTM Mortgage-backed securities $ 24,214 $ 508 $ — $ — $ 24,214 $ 508 Municipal securities 4,583 102 — — 4,583 102 $ 28,797 $ 610 $ — $ — $ 28,797 $ 610 |
Schedule of Amortized Costs and Estimated Fair Values of Securities Available for Sale, By Contractual Maturity | Therefore, these securities are not included in the maturity categories below. March 31, 2022 AFS HTM Amortized Fair Amortized Fair Due from one year to five years $ 39,412 $ 41,647 $ — $ — Due from five years to ten years 204,782 206,454 4,304 4,330 Due after ten years 68,980 69,442 100,271 94,274 313,174 317,543 104,575 98,604 Mortgage-backed securities and collateralized mortgage obligations 646,917 626,093 76,690 71,214 Asset-backed securities 50,452 49,940 — — Collateralized loan obligations 70,179 69,673 — — $ 1,080,722 $ 1,063,249 $ 181,265 $ 169,818 December 31, 2021 AFS HTM Amortized Fair Amortized Fair Due from one year to five years $ 5,201 $ 5,241 $ — $ — Due from five years to ten years 178,203 186,972 3,849 4,115 Due after ten years 131,092 140,229 24,330 25,977 314,496 332,442 28,179 30,092 Mortgage-backed securities and collateralized mortgage obligations 548,404 561,131 31,257 31,354 Asset-backed securities 53,466 54,563 — — Collateralized loan obligations 45,089 44,922 — — $ 961,455 $ 993,058 $ 59,436 $ 61,446 |
LHI and ACL (Tables)
LHI and ACL (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Receivables [Abstract] | |
Summary of Loans in the Accompanying Consolidated Balance Sheets | LHI in the accompanying consolidated balance sheets are summarized as follows: March 31, 2022 December 31, 2021 LHI, carried at amortized cost: Real estate: Construction and land $ 1,297,338 $ 1,062,144 Farmland 48,095 55,827 1 - 4 family residential 604,408 542,566 Multi-family residential 272,250 310,241 OOCRE 633,615 665,537 NOOCRE 2,145,826 2,120,309 Commercial 2,125,900 2,006,876 MW 542,877 565,645 Consumer 9,533 11,998 7,679,842 7,341,143 Deferred loan fees, net (11,536) (9,489) ACL (72,485) (77,754) LHI carried at amortized cost, net 7,595,821 7,253,900 LHI, carried at fair value: PPP loans 18,512 53,369 Total LHI, net $ 7,614,333 $ 7,307,269 |
Schedule of Government Guaranteed Loans and Fee Income | The following table summarizes the PPP fee income and net gain (loss) due to the change in the fair value of PPP loans, both of which are included in government guaranteed loan income, net, on the Company's consolidated statements of income and in change in fair value of government guaranteed loans using fair value option on the Company's consolidated statements of cash flows: March 31, 2022 March 31, 2021 PPP fee income $ — $ 6,624 Net gain (loss) due to the change in fair value 175 (287) |
Schedule of Activity in Allowance for Credit Loss | The activity in the ACL related to LHI is as follows: Three Months Ended March 31, 2022 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial Consumer Total Balance at beginning of year $ 7,293 $ 187 $ 5,982 $ 2,664 $ 9,215 $ 30,548 $ 21,632 $ 233 $ 77,754 Credit loss (benefit) expense non-PCD loans 1,595 (29) 224 (537) 813 (4,114) 4,044 622 2,618 Credit loss (benefit) expense PCD loans (5) — (72) — (1,264) 673 (2,442) (8) (3,118) Charge-offs — — — — (1,341) (553) (3,294) (134) (5,322) Recoveries — — — — — 400 144 9 553 Ending Balance $ 8,883 $ 158 $ 6,134 $ 2,127 $ 7,423 $ 26,954 $ 20,084 $ 722 $ 72,485 Three Months Ended March 31, 2021 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial Consumer Total Balance at beginning of year $ 7,768 $ 56 $ 8,148 $ 6,231 $ 9,719 $ 35,237 $ 37,554 $ 371 $ 105,084 Credit (benefit) loss expense non-PCD loans (949) (9) (1,144) (1,417) (1,615) 4,074 (1,103) (54) (2,217) Credit (benefit) loss expense PCD loans (14) — (24) — 1,018 192 1,050 (5) 2,217 Charge-offs — — (15) — — — (346) (18) (379) Recoveries — — 3 — — — 226 2 231 Ending Balance $ 6,805 $ 47 $ 6,968 $ 4,814 $ 9,122 $ 39,503 $ 37,381 $ 296 $ 104,936 |
Schedule of Amortized Cost Basis of Collateral Dependent Loans | March 31, 2022 December 31, 2021 Real Property (1) ACL Allocation Real Property (1) ACL Allocation NOOCRE $ 17,551 $ 4,572 $ 17,908 $ 7,808 Commercial 1,085 84 1,702 — Consumer 1,063 538 1,063 — Total $ 19,699 $ 5,194 $ 20,673 $ 7,808 |
Schedule of Non-Accrual Loans | Nonaccrual loans aggregated by class of loans, as of March 31, 2022 and December 31, 2021, were as follows: March 31, 2022 December 31, 2021 Nonaccrual Nonaccrual With No ACL Nonaccrual Nonaccrual With No ACL Real estate: 1 - 4 family residential $ 1,005 $ 1,005 $ 990 $ 990 OOCRE 13,446 13,446 14,236 13,824 NOOCRE 17,739 189 17,978 191 Commercial 13,259 1,317 15,267 4,207 Consumer 1,231 168 1,216 1,216 Total $ 46,680 $ 16,125 $ 49,687 $ 20,428 |
Schedule of Age Analysis of Past Due Loans, Aggregated by Class of Loans | An age analysis of past due loans, aggregated by class of loans and including past due nonaccrual loans, as of March 31, 2022 and December 31, 2021, is as follows: March 31, 2022 30 to 59 Days 60 to 89 Days 90 Days or Greater Total Past Due Total Current PCD Total Total 90 Days Past Due and Still Accruing (1) Real estate: Construction and land $ 1,400 $ — $ — $ 1,400 $ 1,294,062 $ 1,876 $ 1,297,338 $ — Farmland — — — — 48,095 — 48,095 — 1 - 4 family residential 2,429 — 926 3,355 599,891 1,162 604,408 — Multi-family residential — — — — 272,250 — 272,250 — OOCRE 3,114 509 13,446 17,069 593,946 22,600 633,615 — NOOCRE — — 17,739 17,739 2,112,843 15,244 2,145,826 — Commercial 4,026 6,280 3,881 14,187 2,104,273 7,440 2,125,900 264 MW 430 — — 430 542,447 — 542,877 — Consumer 68 35 1,161 1,264 8,099 170 9,533 — Total $ 11,467 $ 6,824 $ 37,153 $ 55,444 $ 7,575,906 $ 48,492 $ 7,679,842 $ 264 (1) Loans 90 days past due and still accruing excludes $5,511 of PCD loans and $203 of PPP loans as of March 31, 2022. December 31, 2021 30 to 59 Days 60 to 89 Days 90 Days or Greater Total Past Due Total Current PCD Total Total 90 Days Past Due and Still Accruing (1) Real estate: Construction and land $ — $ — $ — $ — $ 1,059,796 $ 2,348 $ 1,062,144 $ — Farmland — — — — 55,827 — 55,827 — 1 - 4 family residential 2,073 — 1,008 3,081 538,307 1,178 542,566 24 Multi-family residential — — — — 310,241 — 310,241 — OOCRE 4,538 965 11,622 17,125 620,848 27,564 665,537 — NOOCRE 936 — 192 1,128 2,100,981 18,200 2,120,309 — Commercial 1,525 4,395 3,708 9,628 1,988,622 8,626 2,006,876 191 MW — — — — 565,645 — 565,645 — Consumer 135 105 1,082 1,322 10,499 177 11,998 20 Total $ 9,207 $ 5,465 $ 17,612 $ 32,284 $ 7,250,766 $ 58,093 $ 7,341,143 $ 235 (1) Loans 90 days past due and still accruing excludes $9,345 of PCD loans and $206 of PPP loans as of December 31, 2021. |
Schedule of Loans Modified as TDRs | The following tables presents the pre- and post-modification amortized cost of loans modified as TDRs during the three months ended March 31, 2021. During the Three Months Ended March 31, 2021 Adjusted Payment Structure Payment Deferrals Total Modifications Number of Loans Commercial real estate $ 240 $ — $ 240 1 Total $ 240 $ — $ 240 1 |
Summary of Internal Ratings of Loans, Including Purchased Credit Impaired Loans | Based on the most recent analysis performed, the risk category of loans by class of loans based on year or origination is as follows: Term Loans Amortized Cost Basis by Origination Year 1 2022 2021 2020 2019 2018 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Total As of March 31, 2022 Construction and land: Pass $ 42,398 $ 530,492 $ 518,181 $ 113,127 $ 54,941 $ 27,712 $ 6,160 $ 838 $ 1,293,849 Special mention — — 1,613 — — — — — 1,613 PCD — — — — — 1,876 — — 1,876 Total construction and land $ 42,398 $ 530,492 $ 519,794 $ 113,127 $ 54,941 $ 29,588 $ 6,160 $ 838 $ 1,297,338 Farmland: Pass $ 2,278 $ 16,697 $ 18,914 $ 25 $ 3,367 $ 5,533 $ 1,281 $ — $ 48,095 Total farmland $ 2,278 $ 16,697 $ 18,914 $ 25 $ 3,367 $ 5,533 $ 1,281 $ — $ 48,095 1 - 4 family residential: Pass $ 26,827 $ 251,200 $ 102,312 $ 48,789 $ 52,176 $ 108,126 $ 11,245 $ 680 $ 601,355 Special mention — — — — — 344 — — 344 Substandard — — — — — 980 567 — 1,547 PCD — — — — — 1,162 — — 1,162 Total 1 - 4 family residential $ 26,827 $ 251,200 $ 102,312 $ 48,789 $ 52,176 $ 110,612 $ 11,812 $ 680 $ 604,408 Multi-family residential: Pass $ 28,596 $ 66,418 $ 59,149 $ 33,489 $ 51,868 $ 11,020 $ 46 $ — $ 250,586 Special mention — — — — 21,664 — — — 21,664 Total multi-family residential $ 28,596 $ 66,418 $ 59,149 $ 33,489 $ 73,532 $ 11,020 $ 46 $ — $ 272,250 OOCRE: Pass $ 12,150 $ 111,119 $ 101,059 $ 56,202 $ 60,078 $ 209,795 $ 2,566 $ 13,674 $ 566,643 Special mention — 2,397 889 1,037 — 5,713 — — 10,036 Substandard — — — — 23,628 10,708 — — 34,336 PCD — — — — — 22,600 — — 22,600 Total OOCRE $ 12,150 $ 113,516 $ 101,948 $ 57,239 $ 83,706 $ 248,816 $ 2,566 $ 13,674 $ 633,615 NOOCRE: Pass $ 150,063 $ 628,084 $ 271,385 $ 200,553 $ 285,499 $ 413,590 $ 7,237 $ 1,567 $ 1,957,978 Special mention — — 741 2,170 44,414 72,686 — — 120,011 Substandard — — — 1,770 9,889 40,934 — — 52,593 PCD — — — — 13,785 1,459 — — 15,244 Total NOOCRE $ 150,063 $ 628,084 $ 272,126 $ 204,493 $ 353,587 $ 528,669 $ 7,237 $ 1,567 $ 2,145,826 Commercial: Pass $ 92,216 $ 445,732 $ 170,620 $ 130,796 $ 58,092 $ 75,602 $ 1,048,204 $ 175 $ 2,021,437 Special mention — 17,848 2,421 131 10,101 6,394 5,737 — 42,632 Substandard — 4,744 4,918 6,137 13,579 6,463 18,550 — 54,391 PCD — — — — 309 7,131 — — 7,440 Total commercial $ 92,216 $ 468,324 $ 177,959 $ 137,064 $ 82,081 $ 95,590 $ 1,072,491 $ 175 $ 2,125,900 MW: Pass $ — $ — $ — $ — $ — $ — $ 542,447 $ — $ 542,447 Substandard — — — — — — 430 — 430 Total MW $ — $ — $ — $ — $ — $ — $ 542,877 $ — $ 542,877 Consumer: Pass $ 685 $ 899 $ 1,411 $ 437 $ 310 $ 3,341 $ 968 $ — $ 8,051 Special mention — — — — — 76 — — 76 Substandard — — — 2 — 170 1,064 — 1,236 PCD — — — — — 170 — — 170 Total consumer $ 685 $ 899 $ 1,411 $ 439 $ 310 $ 3,757 $ 2,032 $ — $ 9,533 Total Pass $ 355,213 $ 2,050,641 $ 1,243,031 $ 583,418 $ 566,331 $ 854,719 $ 1,620,154 $ 16,934 $ 7,290,441 Total Special Mention — 20,245 5,664 3,338 76,179 85,213 5,737 — 196,376 Total Substandard — 4,744 4,918 7,909 47,096 59,255 20,611 — 144,533 Total PCD — — — — 14,094 34,398 — — 48,492 Total $ 355,213 $ 2,075,630 $ 1,253,613 $ 594,665 $ 703,700 $ 1,033,585 $ 1,646,502 $ 16,934 $ 7,679,842 1 Term loans amortized cost basis by origination year excludes $11,536 of deferred loan fees, net. Term Loans Amortized Cost Basis by Origination Year 1 2021 2020 2019 2018 2017 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Total As of December 31, 2021 Construction and land: Pass $ 389,420 $ 453,262 $ 116,855 $ 57,637 $ 5,741 $ 29,182 $ 4,631 $ 1,163 $ 1,057,891 Special mention — 1,593 — 312 — — — — 1,905 PCD — — — — — 2,348 — — 2,348 Total construction and land $ 389,420 $ 454,855 $ 116,855 $ 57,949 $ 5,741 $ 31,530 $ 4,631 $ 1,163 $ 1,062,144 Farmland: Pass $ 16,849 $ 28,655 $ 27 $ 3,367 $ 2,957 $ 2,643 $ 1,329 $ — $ 55,827 Total farmland $ 16,849 $ 28,655 $ 27 $ 3,367 $ 2,957 $ 2,643 $ 1,329 $ — $ 55,827 1 - 4 family residential: Pass $ 191,333 $ 101,377 $ 54,826 $ 59,861 $ 27,743 $ 85,661 $ 12,659 $ 6,025 $ 539,485 Special mention — — — — — 352 — — 352 Substandard — — — — 81 903 567 — 1,551 PCD — — — — — 1,178 — — 1,178 Total 1 - 4 family residential $ 191,333 $ 101,377 $ 54,826 $ 59,861 $ 27,824 $ 88,094 $ 13,226 $ 6,025 $ 542,566 Multi-family residential: Pass $ 67,979 $ 59,239 $ 54,321 $ 68,531 $ 11,815 $ 27,020 $ 49 $ — $ 288,954 Special mention — — — 21,287 — — — — 21,287 Total multi-family residential $ 67,979 $ 59,239 $ 54,321 $ 89,818 $ 11,815 $ 27,020 $ 49 $ — $ 310,241 OOCRE: Pass $ 114,413 $ 111,516 $ 56,964 $ 73,112 $ 54,921 $ 174,500 $ 2,986 $ 2,965 $ 591,377 Special mention 2,420 — 1,052 — — 6,232 — — 9,704 Substandard — 412 — 25,440 781 10,259 — — 36,892 PCD — 1,377 — — 6,567 19,620 — — 27,564 Total OOCRE $ 116,833 $ 113,305 $ 58,016 $ 98,552 $ 62,269 $ 210,611 $ 2,986 $ 2,965 $ 665,537 NOOCRE: Pass $ 628,140 $ 298,091 $ 254,566 $ 319,359 $ 56,710 $ 336,713 $ 5,861 $ 23,015 $ 1,922,455 Special mention — 613 1,685 29,469 16,354 48,952 — 489 97,562 Substandard — 48 1,775 26,209 1,581 52,479 — — 82,092 PCD — — — 13,620 — 4,580 — — 18,200 Total NOOCRE $ 628,140 $ 298,752 $ 258,026 $ 388,657 $ 74,645 $ 442,724 $ 5,861 $ 23,504 $ 2,120,309 Commercial: Pass $ 430,213 $ 187,370 $ 124,798 $ 65,186 $ 40,254 $ 52,491 $ 968,229 $ 19,130 $ 1,887,671 Special mention 7,958 2,341 149 15,136 1,069 3,368 3,482 2,589 36,092 Substandard 15,662 5,843 6,286 14,908 4,167 2,779 20,500 4,342 74,487 PCD — — — 315 1,785 6,526 — — 8,626 Total commercial $ 453,833 $ 195,554 $ 131,233 $ 95,545 $ 47,275 $ 65,164 $ 992,211 $ 26,061 $ 2,006,876 MW: Pass $ — $ — $ — $ — $ — $ — $ 564,850 $ 250 $ 565,100 Substandard — — — — — — 545 — 545 Total MW $ — $ — $ — $ — $ — $ — $ 565,395 $ 250 $ 565,645 Consumer: Pass $ 3,362 $ 1,566 $ 512 $ 408 $ 2,777 $ 784 $ 1,006 $ 25 $ 10,440 Special mention — — — — 65 14 — — 79 Substandard — — 22 — 177 39 1,064 — 1,302 PCD — — — — 24 153 — — 177 Total consumer $ 3,362 $ 1,566 $ 534 $ 408 $ 3,043 $ 990 $ 2,070 $ 25 $ 11,998 Total Pass $ 1,841,709 $ 1,241,076 $ 662,869 $ 647,461 $ 202,918 $ 708,994 $ 1,561,600 $ 52,573 $ 6,919,200 Total Special Mention 10,378 4,547 2,886 66,204 17,488 58,918 3,482 3,078 166,981 Total Substandard 15,662 6,303 8,083 66,557 6,787 66,459 22,676 4,342 196,869 Total PCD — 1,377 — 13,935 8,376 34,405 — — 58,093 Total $ 1,867,749 $ 1,253,303 $ 673,838 $ 794,157 $ 235,569 $ 868,776 $ 1,587,758 $ 59,993 $ 7,341,143 1 Term loans amortized cost basis by origination year excludes $9,489 of deferred loan fees, net. |
Schedule of Summary of Changes in Servicing Assets | A summary of the changes in the related servicing assets are as follows: Three Months Ended March 31, 2022 2021 Balance at beginning of period $ 17,705 $ 3,363 Increase from loan sales 1,491 — Servicing asset impairment, net of recoveries (280) 128 Amortization charged as a reduction to income (748) (89) Balance at end of period $ 18,168 $ 3,402 |
Fair Value (Tables)
Fair Value (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets Measured at Fair Value on a Recurring Basis | The following table summarizes assets measured at fair value on a recurring basis as of March 31, 2022 and December 31, 2021, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: March 31, 2022 Level 1 Level 2 Level 3 Total Financial Assets: AFS debt securities $ — $ 1,063,249 $ — $ 1,063,249 Equity securities with a readily determinable fair value 10,525 — — 10,525 PPP loans — 18,512 — 18,512 Loans held for sale (1) — 15,565 — 15,565 Interest rate swap designated as hedging instruments — 13,931 — 13,931 Correspondent interest rate swaps not designated as hedging instruments — 15,462 — 15,462 Customer interest rate swaps not designated as hedging instruments — 289 — 289 Correspondent interest rate caps and collars not designated as hedging instruments — 1 — 1 Financial Liabilities: Interest rate swap designated as hedging instruments $ — $ 21,453 $ — $ 21,453 Correspondent interest rate swaps not designated as hedging instruments — 348 — 348 Customer interest rate swaps not designated as hedging instruments — 15,327 — 15,327 Customer interest rate caps and collars not designated as hedging instruments — 1 — 1 (1) Represents loans held for sale elected to be carried at fair value. December 31, 2021 Level 1 Level 2 Level 3 Total Financial Assets: AFS debt securities $ — $ 993,058 $ — $ 993,058 Equity securities with a readily determinable fair value 11,038 — — 11,038 PPP loans — 53,369 — 53,369 Loans held for sale (1) — 9,867 — 9,867 Interest rate swap designated as hedging instruments — 7,001 — 7,001 Correspondent interest rate swaps not designated as hedging instruments — 1,527 — 1,527 Customer interest rate swaps not designated as hedging instruments — 3,261 — 3,261 Customer interest rate caps and collars not designated as hedging instruments — 1 — 1 Financial Liabilities: Interest rate swap designated as hedging instruments $ — $ 1,404 $ — $ 1,404 Correspondent interest rate swaps not designated as hedging instruments — 3,498 — 3,498 Customer interest rate caps and collars not designated as hedging instruments — 1,442 — 1,442 Correspondent interest rate caps and collars not designated as hedging instruments — 1 — 1 (1) Represents loans held for sale elected to be carried at fair value. |
Schedule of Assets Measured at Fair Value on a Non-Recurring Basis | The following table summarizes assets measured at fair value on a non-recurring basis as of March 31, 2022 and December 31, 2021, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: Fair Value Level 1 Level 2 Level 3 Total As of March 31, 2022 Assets: Collateral dependent loans with an ACL $ — $ — $ 14,505 $ 14,505 Servicing assets with a valuation allowance — — 17,419 17,419 As of December 31, 2021 Assets: Collateral dependent loans with an ACL $ — $ — $ 10,100 $ 10,100 Servicing assets with a valuation allowance — — 3,223 3,223 |
Schedule of Estimated Fair Values and Carrying Values of All Financial Instruments | The estimated fair values and carrying values of all financial instruments not measured at fair value on a recurring basis under current authoritative guidance as of March 31, 2022 and December 31, 2021 were as follows: Fair Value Carrying Level 1 Level 2 Level 3 March 31, 2022 Financial assets: Cash and cash equivalents $ 551,573 $ — $ 551,573 $ — HTM debt securities 181,265 — 169,818 — Securities purchased under agreements to resell 100,818 — 100,818 — Loans held for sale (1) 3,156 — 3,156 — PPP Loans 18,512 — — 18,512 LHI, excluding PPP loans (2) 7,649,794 — — 7,537,714 Accrued interest receivable 23,356 — 23,356 — BOLI 83,641 — 83,641 — Servicing asset 749 — 749 — Equity securities without a readily determinable fair value 4,355 N/A N/A N/A FHLB and FRB stock 71,983 N/A N/A N/A Financial liabilities: Deposits $ 7,889,596 $ — $ 7,401,333 $ — Advances from FHLB 777,522 — 770,158 — Accrued interest payable 1,292 — 1,292 — Subordinated debentures and subordinated notes 228,018 — 228,018 — Securities sold under agreement to repurchase 4,996 — 5,017 — December 31, 2021 Financial assets: Cash and cash equivalents $ 379,784 $ — $ 379,784 $ — HTM debt securities 59,436 — 61,446 — Securities purchased under agreements to resell 102,288 — 102,288 — Loans held for sale (1) 16,140 — 16,140 — LHI (2) 7,259,233 — — 7,283,992 Accrued interest receivable 22,008 — 22,008 — Bank-owned life insurance 83,194 — 83,194 — Servicing asset 14,482 — 14,482 — Equity securities without a readily determinable fair value 4,355 N/A N/A N/A FHLB and FRB stock 71,892 N/A N/A N/A Financial liabilities: Deposits $ 7,363,615 $ — $ 7,145,175 $ — Advances from FHLB 777,562 — 796,480 — Accrued interest payable 1,507 — 1,507 — Subordinated debentures and subordinated notes 227,764 — 227,764 — Securities sold under agreement to repurchase 4,069 — 4,026 — (1) Loans held for sale represent mortgage loans held for sale that are carried at lower of cost or market. (2) LHI includes MW and is carried at amortized cost. |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments in Balance Sheet | The notional amounts and estimated fair values as of March 31, 2022 and December 31, 2021 are as shown in the table below. March 31, 2022 December 31, 2021 Estimated Fair Value Estimated Fair Value Notional Asset Derivative Liability Derivative Notional Asset Derivative Liability Derivative Derivatives designated as hedging instruments (cash flow hedges): Interest rate swap on money market deposit account payments $ 250,000 $ 13,931 $ — $ 250,000 $ 4,541 $ — Interest rate swap on customer loan interest payments 125,000 — 7,780 125,000 — 867 Interest rate swap on customer loan interest payments 125,000 — 7,450 125,000 — 537 Interest rate swap on customer loan interest payments 125,000 — 6,223 125,000 2,460 — Total derivatives designated as hedging instruments $ 625,000 $ 13,931 $ 21,453 $ 625,000 $ 7,001 $ 1,404 Derivatives not designated as hedging instruments: Financial institution counterparty: Interest rate swaps $ 403,389 $ 15,462 $ 348 $ 379,787 $ 1,527 $ 3,498 Interest rate caps and collars 33,716 1 — 41,916 — 1 Commercial customer counterparty: Interest rate swaps 403,389 289 15,327 379,787 3,261 1,442 Interest rate caps and collars 33,716 — 1 41,916 1 — Total derivatives not designated as hedging instruments $ 874,210 $ 15,752 $ 15,676 $ 843,406 $ 4,789 $ 4,941 Offsetting derivative assets/liabilities — (11,353) (11,353) — (2,609) (2,609) Total derivatives $ 1,499,210 $ 18,330 $ 25,776 $ 1,468,406 $ 9,181 $ 3,736 |
Derivative Instruments, Gain (Loss) | Pre-tax gain (loss) included in the consolidated statements of income and related to derivative instruments for the three months ended March 31, 2022 and 2021 were as follows. For the Three Months Ended For the Three Months Ended Gain (loss) recognized in other comprehensive income on derivative Gain (loss) reclassified from accumulated other comprehensive income into income Location of gain (loss) reclassified from accumulated other comprehensive income into income Gain recognized in other comprehensive income on derivative Gain (loss) reclassified from accumulated other comprehensive income into income Location of gain (loss) reclassified from accumulated other comprehensive income into income Derivatives designated as hedging instruments (cash flow hedges): Interest rate swap on borrowing advances $ (264) $ 264 Interest Expense $ 26,357 $ — Interest Expense Interest rate swap on money market deposit account payments 9,389 (171) Interest Expense 3,895 (199) Interest Expense Commercial loan interest rate floor — — Interest Income — 541 Interest Income Interest rate swaps on customer loan interest payments (22,506) 1,078 Interest Income (2,981) 224 Interest Income Total $ (13,381) $ 1,171 $ 27,271 $ 566 Net gain recognized in other noninterest income Net gain recognized in other noninterest income Derivatives not designated as hedging instruments: Interest rate swaps, caps and collars $ 719 $ 98 |
Schedule of Derivative Instruments Outstanding | The following is a summary of the interest rate swaps, caps and collars outstanding as of March 31, 2022 and December 31, 2021. March 31, 2022 Notional Amount Fixed Rate Floating Rate Maturity Fair Value Non-hedging derivative instruments: Customer interest rate derivative: Interest rate swaps - receive fixed/pay floating $ 403,389 2.970% - 8.470% LIBOR 1 month + 2.2% - 5% SOFR CME 1 month + 2.1% - 3.8% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 4.6 years $ (15,038) Interest rate cap $ 33,716 3.000% LIBOR 1 month + —% Wtd. Avg. 0.4 years $ (1) Correspondent interest rate derivative: Interest rate swaps - pay fixed/receive floating $ 403,389 2.970% - 8.470% LIBOR 1 month + 2.2% - 5% SOFR CME 1 month + 2.1% - 3.75% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 4.6 years $ 15,114 Interest rate cap $ 33,716 3.000% LIBOR 1 month + —% Wtd. Avg. 0.4 years $ 1 December 31, 2021 Notional Amount Fixed Rate Floating Rate Maturity Fair Value Non-hedging derivative instruments: Customer interest rate derivative: Interest rate swaps - receive fixed/pay floating $ 379,787 2.970% - 8.470% LIBOR 1 month + 2.200% - 5.000% SOFR CME 1 month + 2.480% - 2.900% SOFR-NYFD 30 day avg + 2.500% - 2.964% Wtd. Avg. 4.8 years $ 1,820 Interest rate caps $ 41,916 3.000% / 5.000% LIBOR 1 month + —% - 2.500% Wtd. Avg. 0.6 years $ 1 Correspondent interest rate derivative: Interest rate swaps - pay fixed/receive floating $ 379,787 2.970% - 8.470% LIBOR 1 month + 2.200% - 5.000% SOFR CME 1 month + 2.480% - 2.900% SOFR-NYFD 30 day avg + 2.500% - 2.964% Wtd. Avg. 4.8 years $ (1,972) Interest rate caps $ 41,916 2.500% / 3.000% LIBOR 1 month + —% Wtd. Avg. 0.6 years $ (1) |
Off-Balance Sheet Loan Commit_2
Off-Balance Sheet Loan Commitments (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of the Approximate Amounts of Financial Instruments with Off-Balance Sheet Risk | The following table sets forth the approximate amounts of these financial instruments as of March 31, 2022 and December 31, 2021: March 31, December 31, 2022 2021 Commitments to extend credit $ 4,021,956 $ 3,809,509 MW commitments 844,415 716,370 Standby and commercial letters of credit 75,495 65,881 Total $ 4,941,866 $ 4,591,760 |
Schedule of Allowance for Unfunded Commitments | This allowance is recorded in accounts payable and other liabilities on the consolidated balance sheets: Three Months Ended March 31, 2022 2021 Beginning balance for ACL on unfunded commitments $ 9,266 $ 10,747 Provision (benefit) for credit losses on unfunded commitments 493 (570) Ending balance of ACL on unfunded commitments $ 9,759 $ 10,177 |
Stock-Based Awards (Tables)
Stock-Based Awards (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Option Activity | A summary of option activity under the 2010 Incentive Plan for the three months ended March 31, 2022 and 2021, and changes during the periods then ended, is presented below: 2010 Incentive Plan Non-Performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2021 20,000 $ 10.09 1.06 Exercised (18,300) 10.00 Outstanding and exercisable at March 31, 2021 1,700 $ 10.37 1.69 Outstanding at January 1, 2022 1,000 $ 10.43 1.07 $ 147 Outstanding and exercisable at March 31, 2022 1,000 $ 10.43 1.07 $ 68 A summary of the status of the Company’s stock options under the 2019 Amended Plan as of March 31, 2022 and 2021, and changes during the three months then ended, is as follows: 2019 Amended Plan Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2021 975,801 $ 24.26 Granted — — Forfeited (13,996) 25.93 Exercised (71,479) 23.03 Outstanding at March 31, 2021 890,326 $ 24.34 7.54 Options exercisable at March 31, 2021 560,176 $ 24.31 7.07 Outstanding at January 1, 2022 710,043 $ 24.38 Exercised (38,128) 23.34 Outstanding at March 31, 2022 671,915 $ 24.44 6.65 $ 9,226 Options exercisable at March 31, 2022 518,237 $ 24.45 6.35 $ 7,108 A summary of the status of the Company’s stock options under the Veritex (Green) 2014 Plan as of March 31, 2022 and 2021, and changes during the three months then ended, is as follows: Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2021 352,000 $ 19.99 Forfeited (3,960) 21.38 Exercised (54,241) 19.77 Outstanding at March 31, 2021 293,799 $ 20.01 6.65 Options exercisable at March 31, 2021 222,312 $ 18.84 6.19 Outstanding at January 1, 2022 217,804 $ 19.62 6.13 $ 4,424 Exercised (28,622) 21.34 Outstanding at March 31, 2022 189,182 $ 19.37 5.57 $ 3,595 Options exercisable at March 31, 2022 180,830 $ 18.81 5.45 $ 3,501 A summary of the status of the Company’s stock options under the Green 2010 Plan as of March 31, 2022 and 2021, and changes during the three months then ended, is as follows: Green 2010 Plan Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2021 131,083 $ 11.60 Exercised (62,000) 10.50 Outstanding at March 31, 2021 69,083 $ 12.59 2.90 Outstanding at January 1, 2022 66,143 $ 12.56 Exercised (1,372) 13.07 Outstanding at March 31, 2022 64,771 $ 12.55 1.95 $ 1,659 |
Schedule of Fair Value of Stock Options Exercised or Restricted Stock Units Vested | A summary of the fair value of the Company’s stock options exercised under the 2010 Incentive Plan for the three months ended March 31, 2022 and 2021 is presented below: Fair Value of Options Exercised as of March 31, 2022 2021 Nonperformance-based stock options exercised — 543 Fair Value of Options Exercised or RSUs Vested in the Three Months Ended March 31, 2022 2021 Non-performance-based stock options exercised 1,562 2,090 RSUs vested 2,524 1,113 PSUs vested 2,270 — Fair Value of Options Exercised or RSUs Vested in the Three Months Ended March 31, 2022 2021 Non-performance-based stock options exercised $ 1,143 $ 1,582 RSUs vested 718 713 PSU vested 624 — A summary of the fair value of the Company’s stock options exercised under the Green 2010 Plan during the three months ended March 31, 2022 and 2021 presented below: Fair Value of Options Exercised as of March 31, 2022 2021 Nonperformance-based stock options exercised 56 1,812 |
Schedule of Share-based Compensation Expense | Stock compensation expense for options, RSUs and PSUs granted under the 2019 Amended Plan and the Veritex (Green) 2014 Plan were as follows: Three Months Ended March 31, 2022 2021 2019 Amended Plan $ 2,904 $ 1,981 Veritex (Green) 2014 Plan 414 497 |
Summary of Status of the Company's Restricted Shares or Restricted Stock Units | A summary of the status of the Company’s RSUs under the 2019 Amended Plan as of March 31, 2022 and 2021, and changes during the three months then ended, is as follows: 2019 Amended Plan RSUs Units Weighted Outstanding at January 1, 2021 441,132 $ 20.39 Granted 232,149 26.38 Vested into shares (41,362) 23.29 Outstanding at March 31, 2021 631,919 $ 22.40 Outstanding at January 1, 2022 598,051 $ 23.39 Granted 169,355 40.77 Vested into shares (96,141) 24.69 Forfeited (2,350) 26.12 Outstanding at March 31, 2022 668,915 $ 27.59 A summary of the status of the Company’s PSUs under the 2019 Amended Plan as of March 31, 2022 and 2021, and changes during the three months then ended, is as follows: 2019 Amended Plan Performance-Based PSUs Units Weighted Outstanding at January 1, 2021 100,195 $ 23.20 Granted 56,276 26.12 Outstanding at March 31, 2021 156,471 $ 24.23 Outstanding at January 1, 2022 156,471 $ 24.17 Granted 39,429 40.38 Incremental PSUs granted upon performance condition met 31,655 Vested into shares (94,991) 21.49 Outstanding at March 31, 2022 132,564 $ 30.15 A summary of the status of the Company’s RSUs under the Veritex (Green) 2014 Plan as of March 31, 2022 and 2021 and changes during the three months then ended, is as follows: RSUs Units Weighted Outstanding at January 1, 2021 156,187 $ 21.15 Granted 5,692 26.12 Vested into shares (33,335) 21.38 Forfeited (2,646) 24.25 Outstanding at March 31, 2021 125,898 $ 21.25 Outstanding at January 1, 2022 122,784 $ 21.13 Granted 4,231 40.38 Vested into shares (32,931) 21.80 Forfeited (2,558) 29.13 Outstanding at March 31, 2022 91,526 $ 21.55 A summary of the status of the Company’s PSUs under the Veritex (Green) 2014 Plan as of March 31, 2022 and 2021 and changes during the three months then ended, is as follows: PSUs Units Weighted Outstanding at January 1, 2021 30,728 $ 21.43 Granted 6,231 26.12 Forfeited (724) 19.69 Outstanding at March 31, 2021 36,235 $ 22.27 Outstanding at January 1, 2022 35,899 $ 22.26 Granted 4,411 40.38 Incremental PSUs granted upon performance condition met 10,566 Vested into shares (31,703) 19.69 Outstanding at March 31, 2022 19,173 $ 29.26 |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income Tax Expense | Income tax expense for the three months ended March 31, 2022 and 2021 was as follows: Three Months Ended March 31, 2022 2021 Income tax expense for the period $ 8,102 $ 8,993 Effective tax rate 19.5 % 22.1 % |
Capital Requirements and Rest_2
Capital Requirements and Restrictions on Retained Earnings (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Regulatory Capital Requirements under Banking Regulations [Abstract] | |
Schedule of Comparison of the Company's and Bank's Actual Capital Amounts and Ratios to Required Capital Amounts and Ratios | A comparison of the Company’s and Bank’s actual capital amounts and ratios to required capital amounts and ratios is presented in the following table: Actual For Capital To Be Well Amount Ratio Amount Ratio Amount Ratio As of March 31, 2022 Total capital (to risk-weighted assets “RWA”) Company $ 1,276,341 12.73 % $ 802,100 8.0 % n/a n/a Bank 1,245,323 12.42 802,140 8.0 $ 1,002,676 10.0 % Tier 1 capital (to RWA) Company 1,016,916 10.14 601,725 6.0 n/a n/a Bank 1,183,396 11.80 601,727 6.0 802,302 8.0 Common equity tier 1 (to RWA) Company 987,414 9.84 451,561 4.5 n/a n/a Bank 1,183,396 11.80 451,295 4.5 651,871 6.5 Tier 1 capital (to average assets) Company 1,016,916 10.66 381,582 4.0 n/a n/a Bank 1,183,396 12.41 381,433 4.0 476,791 5.0 As of December 31, 2021 Total capital (to RWA) Company $ 1,100,404 11.60 % $ 758,899 8.0 % n/a n/a Bank 1,053,871 11.11 758,863 8.0 $ 948,579 10.0 % Tier 1 capital (to RWA) Company 843,585 8.89 569,349 6.0 n/a n/a Bank 994,351 10.48 569,285 6.0 759,047 8.0 Common equity tier 1 (to RWA) Company 814,138 8.58 426,995 4.5 n/a n/a Bank 994,351 10.48 426,964 4.5 616,725 6.5 Tier 1 capital (to average assets) Company 843,585 9.05 372,855 4.0 n/a n/a Bank 994,351 10.69 372,068 4.0 465,085 5.0 |
Business Combinations (Tables)
Business Combinations (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Acquired Assets and Assumed Liabilities | Estimate at December 31, 2021 Measurement Period Adjustments Final Fair Value Assets acquired Cash and cash equivalents 1,978 — 1,978 LHI 29,338 (681) 28,657 Servicing asset 13,913 — 13,913 Other assets 690 — 690 45,919 (681) 45,238 Liabilities assumed 0 Accounts payable and other accrued expenses 16,350 — 16,350 16,350 — 16,350 Fair value of net assets acquired 29,569 (681) 28,888 Consideration: — Cash paid 57,500 — 57,500 Contingent consideration 5,000 — 5,000 Total consideration $ 62,500 $ — $ 62,500 Goodwill $ 32,931 $ 681 $ 33,612 |
Summary of Loans Acquired in a Business Combination | The following table discloses the fair value and contractual value of loans acquired from NAC on November 1, 2021: Total acquired loans Commercial $ 26,519 Commercial Real Estate 2,138 Total fair value $ 28,657 Contractual principal balance $ 29,338 |
Schedule of Supplemental Pro Forma Information | The following table presents supplemental pro forma information for the years ended December 31, 2020 and 2019 as if the NAC acquisition was completed as of January 1, 2019. The pro forma results combine the historical results of NAC into the Company's consolidated statements of income, including the impact of certain purchase accounting adjustments, including loan discount accretion. The pro forma results have been prepared for comparative purposes only and are not necessarily indicative of the results that would have been obtained had the acquisition actually occurred on January 1, 2019: Year Ended December 31, 2020 2019 Net interest income $ 267,331 $ 286,313 Net income 84,368 93,939 Basic EPS $ 1.69 $ 1.77 Diluted EPS 1.69 1.74 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Details) | 3 Months Ended | |
Mar. 31, 2022segmentbranchshares | Mar. 31, 2021shares | |
Segment Reporting Information [Line Items] | ||
Number of reportable segments | segment | 1 | |
Excluded from diluted EPS weighted average shares (in shares) | 80 | 75 |
Restricted Stock Units | ||
Segment Reporting Information [Line Items] | ||
Excluded from diluted EPS weighted average shares (in shares) | 23 | |
Employee Stock Options | ||
Segment Reporting Information [Line Items] | ||
Excluded from diluted EPS weighted average shares (in shares) | 0 | 52 |
Dallas-Fort Worth | ||
Segment Reporting Information [Line Items] | ||
Number of branches | branch | 18 | |
Houston | ||
Segment Reporting Information [Line Items] | ||
Number of branches | branch | 10 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Earnings (numerator) | ||
Net income | $ 33,470 | $ 31,787 |
Shares (denominator) | ||
Weighted average shares outstanding for basic EPS (in shares) | 50,695 | 49,394 |
Dilutive effect of employee stock based awards (in shares) | 876 | 604 |
Adjusted weighted average shares outstanding (in shares) | 51,571 | 49,998 |
EPS: | ||
Basic (in dollars per share) | $ 0.66 | $ 0.64 |
Diluted (in dollars per share) | $ 0.65 | $ 0.64 |
Supplemental Statement of Cas_3
Supplemental Statement of Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Supplemental Disclosures of Cash Flow Information: | ||
Cash paid for interest | $ 5,368 | $ 7,602 |
Cash paid for income taxes | 0 | 15 |
Supplemental Disclosures of Non-Cash Flow Information: | ||
Transfer of AFS debt securities to HTM debt securities | 117,001 | 0 |
Net foreclosure of OREO and repossessed assets | 1,062 | 0 |
Noncash assets acquired in business combination | ||
LHI | (681) | 0 |
Goodwill | $ 681 | $ 0 |
Share Transactions - Summary of
Share Transactions - Summary of Shares Repurchased (Details) - Common Stock - $ / shares | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Equity, Class of Treasury Stock [Line Items] | ||
Number of shares repurchased (in shares) | 0 | 147,622 |
Weighted average price per share (in dollars per share) | $ 0 | $ 26.83 |
Share Transactions - Narrative
Share Transactions - Narrative (Details) - USD ($) | Mar. 14, 2022 | Mar. 10, 2022 | Mar. 08, 2022 | Mar. 31, 2022 | Mar. 31, 2021 | Sep. 30, 2021 |
Subsidiary, Sale of Stock [Line Items] | ||||||
Net proceeds on sale of common stock in public offering | $ 153,826,000 | $ 153,869,000 | $ 0 | |||
Common Stock | ||||||
Subsidiary, Sale of Stock [Line Items] | ||||||
Stock buyback program, authorized amount | $ 250,000,000 | |||||
Public Offering | ||||||
Subsidiary, Sale of Stock [Line Items] | ||||||
Sale of stock, number of shares issued in transaction (in shares) | 3,947,369 | |||||
Sale of stock, price per share (in dollars per share | $ 38 | |||||
Over-Allotment Option | ||||||
Subsidiary, Sale of Stock [Line Items] | ||||||
Sale of stock, number of shares issued in transaction (in shares) | 367,105 | |||||
Sale of stock, price per share (in dollars per share | $ 38 |
Securities - Securities (Detail
Securities - Securities (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |||
Equity securities | $ 10,525,000 | $ 11,038,000 | |
Realized gain (loss) on equity securities | 0 | $ 0 | |
Unrealized loss recognized on equity securities with a readily determinable fair value | 513,000 | $ 199,000 | |
Equity securities without a readily determinable fair value | $ 4,355,000 | $ 4,355,000 |
Securities - Carrying Amount an
Securities - Carrying Amount and Fair Values (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
AFS | ||
Amortized Cost | $ 1,080,722 | $ 961,455 |
Gross Unrealized Gains | 8,895 | 36,737 |
Gross Unrealized Losses | 26,368 | 5,134 |
ACL | 0 | 0 |
Fair Value | 1,063,249 | 993,058 |
HTM | ||
Amortized Cost | 181,265 | 59,436 |
Gross Unrealized Gains | 806 | 2,620 |
Gross Unrealized Losses | 12,253 | 610 |
ACL | 0 | 0 |
Fair Value | 169,818 | 61,446 |
Corporate bonds | ||
AFS | ||
Amortized Cost | 262,839 | 198,396 |
Gross Unrealized Gains | 5,975 | 10,294 |
Gross Unrealized Losses | 1,593 | 178 |
ACL | 0 | 0 |
Fair Value | 267,221 | 208,512 |
Municipal securities | ||
AFS | ||
Amortized Cost | 50,335 | 116,100 |
Gross Unrealized Gains | 993 | 8,261 |
Gross Unrealized Losses | 1,006 | 431 |
ACL | 0 | 0 |
Fair Value | 50,322 | 123,930 |
HTM | ||
Amortized Cost | 104,575 | 28,179 |
Gross Unrealized Gains | 603 | 2,015 |
Gross Unrealized Losses | 6,574 | 102 |
ACL | 0 | 0 |
Fair Value | 98,604 | 30,092 |
Mortgage-backed securities | ||
AFS | ||
Amortized Cost | 153,215 | 124,230 |
Gross Unrealized Gains | 593 | 4,326 |
Gross Unrealized Losses | 5,838 | 1,489 |
ACL | 0 | 0 |
Fair Value | 147,970 | 127,067 |
HTM | ||
Amortized Cost | 39,072 | 25,767 |
Gross Unrealized Gains | 0 | 45 |
Gross Unrealized Losses | 3,340 | 508 |
ACL | 0 | 0 |
Fair Value | 35,732 | 25,304 |
Collateralized mortgage obligations | ||
AFS | ||
Amortized Cost | 493,702 | 424,174 |
Gross Unrealized Gains | 613 | 12,240 |
Gross Unrealized Losses | 16,192 | 2,350 |
ACL | 0 | 0 |
Fair Value | 478,123 | 434,064 |
HTM | ||
Amortized Cost | 37,618 | 5,490 |
Gross Unrealized Gains | 203 | 560 |
Gross Unrealized Losses | 2,339 | 0 |
ACL | 0 | 0 |
Fair Value | 35,482 | 6,050 |
Asset-backed securities | ||
AFS | ||
Amortized Cost | 50,452 | 53,466 |
Gross Unrealized Gains | 721 | 1,616 |
Gross Unrealized Losses | 1,233 | 519 |
ACL | 0 | 0 |
Fair Value | 49,940 | 54,563 |
Collateralized loan obligations | ||
AFS | ||
Amortized Cost | 70,179 | 45,089 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 506 | 167 |
ACL | 0 | 0 |
Fair Value | $ 69,673 | $ 44,922 |
Securities - Unrealized Loss Po
Securities - Unrealized Loss Position (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 |
AFS Fair Value | |||
Less Than 12 Months | $ 574,136 | $ 222,302 | |
12 Months or More | 64,208 | 9,027 | |
Totals | 638,344 | 231,329 | |
AFS Unrealized Loss | |||
Less Than 12 Months | 19,577 | 4,691 | |
12 Months or More | 6,791 | 443 | |
Totals | 26,368 | 5,134 | |
HTM Fair Value | |||
Less Than 12 Months | 125,975 | 28,797 | |
12 Months or More | 18,146 | 0 | |
Totals | 144,121 | 28,797 | |
HTM Unrealized Loss | |||
Less Than 12 Months | 10,404 | 610 | |
12 Months or More | 1,849 | 0 | |
Totals | 12,253 | 610 | |
Corporate bonds | |||
AFS Fair Value | |||
Less Than 12 Months | 72,219 | 7,072 | |
12 Months or More | 0 | 0 | |
Totals | 72,219 | 7,072 | |
AFS Unrealized Loss | |||
Less Than 12 Months | 1,593 | 178 | |
12 Months or More | 0 | 0 | |
Totals | 1,593 | 178 | |
Municipal securities | |||
AFS Fair Value | |||
Less Than 12 Months | 11,731 | 12,704 | |
12 Months or More | 1,889 | 4,350 | |
Totals | 13,620 | 17,054 | |
AFS Unrealized Loss | |||
Less Than 12 Months | 902 | 194 | |
12 Months or More | 104 | 237 | |
Totals | 1,006 | 431 | |
HTM Fair Value | |||
Less Than 12 Months | 75,221 | 4,583 | |
12 Months or More | 2,005 | 0 | |
Totals | 77,226 | 4,583 | |
HTM Unrealized Loss | |||
Less Than 12 Months | 6,281 | 102 | |
12 Months or More | 293 | 0 | |
Totals | 6,574 | 102 | |
Mortgage-backed securities | |||
AFS Fair Value | |||
Less Than 12 Months | 57,918 | 40,276 | |
12 Months or More | 27,791 | 4,677 | |
Totals | 85,709 | 44,953 | |
AFS Unrealized Loss | |||
Less Than 12 Months | 2,515 | 1,283 | |
12 Months or More | 3,323 | 206 | |
Totals | 5,838 | 1,489 | |
HTM Fair Value | |||
Less Than 12 Months | 19,592 | 24,214 | |
12 Months or More | 16,141 | 0 | |
Totals | 35,733 | 24,214 | |
HTM Unrealized Loss | |||
Less Than 12 Months | 1,784 | 508 | |
12 Months or More | 1,556 | 0 | |
Totals | 3,340 | 508 | |
Collateralized mortgage obligations | |||
AFS Fair Value | |||
Less Than 12 Months | 338,386 | 106,063 | |
12 Months or More | 23,610 | 0 | |
Totals | 361,996 | 106,063 | |
AFS Unrealized Loss | |||
Less Than 12 Months | 13,597 | 2,350 | |
12 Months or More | 2,595 | 0 | |
Totals | 16,192 | 2,350 | |
Asset-backed securities | |||
AFS Fair Value | |||
Less Than 12 Months | 24,209 | 11,265 | |
12 Months or More | 10,918 | 0 | |
Totals | 35,127 | 11,265 | |
AFS Unrealized Loss | |||
Less Than 12 Months | 464 | 519 | |
12 Months or More | 769 | 0 | |
Totals | 1,233 | 519 | |
Collateralized loan obligations | |||
AFS Fair Value | |||
Less Than 12 Months | 44,922 | $ 69,673 | |
12 Months or More | 0 | 0 | |
Totals | 44,922 | 69,673 | |
AFS Unrealized Loss | |||
Less Than 12 Months | 167 | 506 | |
12 Months or More | 0 | 0 | |
Totals | $ 167 | $ 506 | |
HTM Fair Value | |||
Less Than 12 Months | 31,162 | ||
12 Months or More | 0 | ||
Totals | 31,162 | ||
HTM Unrealized Loss | |||
Less Than 12 Months | 2,339 | ||
12 Months or More | 0 | ||
Totals | $ 2,339 |
Securities - Narrative (Details
Securities - Narrative (Details) | Jan. 01, 2022USD ($)Security | Mar. 31, 2022USD ($)investment | Mar. 31, 2021USD ($) | Dec. 31, 2021investment |
Investments, Debt and Equity Securities [Abstract] | ||||
Number of AFS positions elected for transfer | Security | 25 | |||
Aggregate fair value of AFS transferred | $ 117,001,000 | |||
Net unrealized holding gain | $ 4,387,000 | |||
Number of investment positions in an unrealized loss position | investment | 93 | 34 | ||
Proceeds from sales of AFS debt securities | $ 0 | $ 0 |
Securities - Maturities (Detail
Securities - Maturities (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Available For Sale Amortized Cost | ||
Due from one year to five years | $ 39,412 | $ 5,201 |
Due from five years to ten years | 204,782 | 178,203 |
Due after ten years | 68,980 | 131,092 |
Total investment securities available for sale, single maturity date | 313,174 | 314,496 |
Amortized Cost | 1,080,722 | 961,455 |
Available For Sale Fair value | ||
Due from one year to five years | 41,647 | 5,241 |
Due from five years to ten years | 206,454 | 186,972 |
Due after ten years | 69,442 | 140,229 |
Total investment securities available for sale | 317,543 | 332,442 |
Fair Value | 1,063,249 | 993,058 |
Held-to-Maturity Amortized Cost | ||
Due from one year to five years | 0 | 0 |
Due from five years to ten years | 4,304 | 3,849 |
Due after ten years | 100,271 | 24,330 |
Total investment securities held to maturity, single maturity date | 104,575 | 28,179 |
Amortized Cost | 181,265 | 59,436 |
Held-to-Maturity Fair Value | ||
Due from one year to five years | 0 | 0 |
Due from five years to ten years | 4,330 | 4,115 |
Due after ten years | 94,274 | 25,977 |
Total investment securities held to maturity | 98,604 | 30,092 |
Fair Value | 169,818 | 61,446 |
Mortgage-backed securities and collateralized mortgage obligations | ||
Available For Sale Amortized Cost | ||
Amortized cost | 646,917 | 548,404 |
Amortized Cost | 153,215 | 124,230 |
Available For Sale Fair value | ||
Fair value | 626,093 | 561,131 |
Fair Value | 147,970 | 127,067 |
Held-to-Maturity Amortized Cost | ||
Amortized cost | 76,690 | 31,257 |
Amortized Cost | 39,072 | 25,767 |
Held-to-Maturity Fair Value | ||
Fair value | 71,214 | 31,354 |
Asset-backed securities | ||
Available For Sale Amortized Cost | ||
Amortized cost | 50,452 | 53,466 |
Amortized Cost | 50,452 | 53,466 |
Available For Sale Fair value | ||
Fair value | 49,940 | 54,563 |
Fair Value | 49,940 | 54,563 |
Held-to-Maturity Amortized Cost | ||
Amortized cost | 0 | 0 |
Held-to-Maturity Fair Value | ||
Fair value | 0 | 0 |
Collateralized loan obligations | ||
Available For Sale Amortized Cost | ||
Amortized cost | 70,179 | 45,089 |
Amortized Cost | 70,179 | 45,089 |
Available For Sale Fair value | ||
Fair value | 69,673 | 44,922 |
Fair Value | 69,673 | 44,922 |
Held-to-Maturity Amortized Cost | ||
Amortized cost | 0 | 0 |
Held-to-Maturity Fair Value | ||
Fair value | $ 0 | $ 0 |
LHI and ACL - Balance Sheet Sum
LHI and ACL - Balance Sheet Summary (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Loans and Allowance for Credit Losses | ||||
Loans | $ 7,679,842 | $ 7,341,143 | ||
Deferred loan fees, net | (11,536) | (9,489) | ||
Less: Allowance for credit losses (“ACL”) | (72,485) | (77,754) | $ (104,936) | $ (105,084) |
LHI carried at amortized cost, net | 7,595,821 | 7,253,900 | ||
PPP loans | 18,512 | 53,369 | ||
Total LHI, net | 7,614,333 | 7,307,269 | ||
Contractual principal balance | 7,628 | 8,657 | ||
Discount on retained loans from sale | 3,429 | 3,430 | ||
Real Estate | Construction and land | ||||
Loans and Allowance for Credit Losses | ||||
Loans | 1,297,338 | 1,062,144 | ||
Less: Allowance for credit losses (“ACL”) | (8,883) | (7,293) | (6,805) | (7,768) |
Real Estate | Farmland | ||||
Loans and Allowance for Credit Losses | ||||
Loans | 48,095 | 55,827 | ||
Less: Allowance for credit losses (“ACL”) | (158) | (187) | (47) | (56) |
Real Estate | Residential Real Estate | 1 - 4 family residential | ||||
Loans and Allowance for Credit Losses | ||||
Loans | 604,408 | 542,566 | ||
Less: Allowance for credit losses (“ACL”) | (6,134) | (5,982) | (6,968) | (8,148) |
Real Estate | Residential Real Estate | Multi-family residential | ||||
Loans and Allowance for Credit Losses | ||||
Loans | 272,250 | 310,241 | ||
Less: Allowance for credit losses (“ACL”) | (2,127) | (2,664) | (4,814) | (6,231) |
Real Estate | Commercial Real Estate | OOCRE | ||||
Loans and Allowance for Credit Losses | ||||
Loans | 633,615 | 665,537 | ||
Less: Allowance for credit losses (“ACL”) | (7,423) | (9,215) | (9,122) | (9,719) |
Real Estate | Commercial Real Estate | NOOCRE | ||||
Loans and Allowance for Credit Losses | ||||
Loans | 2,145,826 | 2,120,309 | ||
Less: Allowance for credit losses (“ACL”) | (26,954) | (30,548) | (39,503) | (35,237) |
Commercial | ||||
Loans and Allowance for Credit Losses | ||||
Loans | 2,125,900 | 2,006,876 | ||
Less: Allowance for credit losses (“ACL”) | (20,084) | (21,632) | (37,381) | (37,554) |
MW | ||||
Loans and Allowance for Credit Losses | ||||
Loans | 542,877 | 565,645 | ||
Consumer | ||||
Loans and Allowance for Credit Losses | ||||
Loans | 9,533 | 11,998 | ||
Less: Allowance for credit losses (“ACL”) | $ (722) | $ (233) | $ (296) | $ (371) |
LHI and ACL - Schedule of Gover
LHI and ACL - Schedule of Government Guaranteed Loans and Fee Income (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Receivables [Abstract] | ||
PPP fee income | $ 0 | $ 6,624 |
Net gain (loss) due to the change in fair value | $ 175 | $ (287) |
LHI and ACL - Allowance for Cre
LHI and ACL - Allowance for Credit Loss Activity (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Analysis of allowance for loan losses | ||
Balance at beginning of year | $ 77,754 | $ 105,084 |
Credit loss (benefit) expense | (500) | 0 |
Charge-offs | (5,322) | (379) |
Recoveries | 553 | 231 |
Ending Balance | 72,485 | 104,936 |
Non-PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | 2,618 | (2,217) |
PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | (3,118) | 2,217 |
Real Estate | Construction and land | ||
Analysis of allowance for loan losses | ||
Balance at beginning of year | 7,293 | 7,768 |
Charge-offs | 0 | 0 |
Recoveries | 0 | 0 |
Ending Balance | 8,883 | 6,805 |
Real Estate | Construction and land | Non-PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | 1,595 | (949) |
Real Estate | Construction and land | PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | (5) | (14) |
Real Estate | Farmland | ||
Analysis of allowance for loan losses | ||
Balance at beginning of year | 187 | 56 |
Charge-offs | 0 | 0 |
Recoveries | 0 | 0 |
Ending Balance | 158 | 47 |
Real Estate | Farmland | Non-PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | (29) | (9) |
Real Estate | Farmland | PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | 0 | 0 |
Real Estate | Residential Real Estate | 1 - 4 family residential | ||
Analysis of allowance for loan losses | ||
Balance at beginning of year | 5,982 | 8,148 |
Charge-offs | 0 | (15) |
Recoveries | 0 | 3 |
Ending Balance | 6,134 | 6,968 |
Real Estate | Residential Real Estate | 1 - 4 family residential | Non-PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | 224 | (1,144) |
Real Estate | Residential Real Estate | 1 - 4 family residential | PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | (72) | (24) |
Real Estate | Residential Real Estate | Multi-family residential | ||
Analysis of allowance for loan losses | ||
Balance at beginning of year | 2,664 | 6,231 |
Charge-offs | 0 | 0 |
Recoveries | 0 | 0 |
Ending Balance | 2,127 | 4,814 |
Real Estate | Residential Real Estate | Multi-family residential | Non-PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | (537) | (1,417) |
Real Estate | Residential Real Estate | Multi-family residential | PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | 0 | 0 |
Real Estate | Commercial Real Estate | OOCRE | ||
Analysis of allowance for loan losses | ||
Balance at beginning of year | 9,215 | 9,719 |
Charge-offs | (1,341) | 0 |
Recoveries | 0 | 0 |
Ending Balance | 7,423 | 9,122 |
Real Estate | Commercial Real Estate | OOCRE | Non-PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | 813 | (1,615) |
Real Estate | Commercial Real Estate | OOCRE | PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | (1,264) | 1,018 |
Real Estate | Commercial Real Estate | NOOCRE | ||
Analysis of allowance for loan losses | ||
Balance at beginning of year | 30,548 | 35,237 |
Charge-offs | (553) | 0 |
Recoveries | 400 | 0 |
Ending Balance | 26,954 | 39,503 |
Real Estate | Commercial Real Estate | NOOCRE | Non-PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | (4,114) | 4,074 |
Real Estate | Commercial Real Estate | NOOCRE | PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | 673 | 192 |
Commercial | ||
Analysis of allowance for loan losses | ||
Balance at beginning of year | 21,632 | 37,554 |
Charge-offs | (3,294) | (346) |
Recoveries | 144 | 226 |
Ending Balance | 20,084 | 37,381 |
Commercial | Non-PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | 4,044 | (1,103) |
Commercial | PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | (2,442) | 1,050 |
Consumer | ||
Analysis of allowance for loan losses | ||
Balance at beginning of year | 233 | 371 |
Charge-offs | (134) | (18) |
Recoveries | 9 | 2 |
Ending Balance | 722 | 296 |
Consumer | Non-PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | 622 | (54) |
Consumer | PCD Loans | ||
Analysis of allowance for loan losses | ||
Credit loss (benefit) expense | $ (8) | $ (5) |
LHI and ACL - Collateral Depend
LHI and ACL - Collateral Dependent Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Servicing Asset at Amortized Cost [Line Items] | ||||
Loans | $ 7,679,842 | $ 7,341,143 | ||
ACL Allocation | 72,485 | 77,754 | $ 104,936 | $ 105,084 |
Real Estate | Commercial Real Estate | NOOCRE | ||||
Servicing Asset at Amortized Cost [Line Items] | ||||
Loans | 2,145,826 | 2,120,309 | ||
ACL Allocation | 26,954 | 30,548 | 39,503 | 35,237 |
Commercial | ||||
Servicing Asset at Amortized Cost [Line Items] | ||||
Loans | 2,125,900 | 2,006,876 | ||
ACL Allocation | 20,084 | 21,632 | 37,381 | 37,554 |
Consumer | ||||
Servicing Asset at Amortized Cost [Line Items] | ||||
Loans | 9,533 | 11,998 | ||
ACL Allocation | 722 | 233 | $ 296 | $ 371 |
Real Property | ||||
Servicing Asset at Amortized Cost [Line Items] | ||||
Loans | 19,699 | 20,673 | ||
Real Property | Real Estate | Commercial Real Estate | NOOCRE | ||||
Servicing Asset at Amortized Cost [Line Items] | ||||
Loans | 17,551 | 17,908 | ||
Real Property | Commercial | ||||
Servicing Asset at Amortized Cost [Line Items] | ||||
Loans | 1,085 | 1,702 | ||
Real Property | Consumer | ||||
Servicing Asset at Amortized Cost [Line Items] | ||||
Loans | 1,063 | 1,063 | ||
Collateralized | ||||
Servicing Asset at Amortized Cost [Line Items] | ||||
ACL Allocation | 5,194 | 7,808 | ||
Collateralized | Real Estate | Commercial Real Estate | NOOCRE | ||||
Servicing Asset at Amortized Cost [Line Items] | ||||
ACL Allocation | 4,572 | 7,808 | ||
Collateralized | Commercial | ||||
Servicing Asset at Amortized Cost [Line Items] | ||||
ACL Allocation | 84 | 0 | ||
Collateralized | Consumer | ||||
Servicing Asset at Amortized Cost [Line Items] | ||||
ACL Allocation | $ 538 | $ 0 |
LHI and ACL - Nonaccrual (Detai
LHI and ACL - Nonaccrual (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Loans and Allowance for Credit Losses | |||
Nonaccrual | $ 46,680 | $ 49,687 | |
Nonaccrual With No ACL | 16,125 | 20,428 | |
Financing receivable, nonaccrual, interest income | 889 | $ 1,120 | |
Commercial | |||
Loans and Allowance for Credit Losses | |||
Nonaccrual | 13,259 | 15,267 | |
Nonaccrual With No ACL | 1,317 | 4,207 | |
Consumer | |||
Loans and Allowance for Credit Losses | |||
Nonaccrual | 1,231 | 1,216 | |
Nonaccrual With No ACL | 168 | 1,216 | |
1 - 4 family residential | Residential Real Estate | Real Estate | |||
Loans and Allowance for Credit Losses | |||
Nonaccrual | 1,005 | 990 | |
Nonaccrual With No ACL | 1,005 | 990 | |
OOCRE | Commercial Real Estate | Real Estate | |||
Loans and Allowance for Credit Losses | |||
Nonaccrual | 13,446 | 14,236 | |
Nonaccrual With No ACL | 13,446 | 13,824 | |
NOOCRE | Commercial Real Estate | Real Estate | |||
Loans and Allowance for Credit Losses | |||
Nonaccrual | 17,739 | 17,978 | |
Nonaccrual With No ACL | 189 | 191 | |
PCD Loans | |||
Loans and Allowance for Credit Losses | |||
Financing receivable, nonaccrual, interest income | $ 10,678 | $ 11,056 |
LHI and ACL - Past Due (Details
LHI and ACL - Past Due (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Non-Accrual and Past Due Loans | ||
Loans | $ 7,679,842 | $ 7,341,143 |
Total 90 days past due and still accruing | 264 | 235 |
PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 48,492 | 58,093 |
Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 55,444 | 32,284 |
30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 11,467 | 9,207 |
60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 6,824 | 5,465 |
90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 37,153 | 17,612 |
PPP loans excluded | 203 | 206 |
Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 7,575,906 | 7,250,766 |
Real Estate | Construction and land | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,297,338 | 1,062,144 |
Total 90 days past due and still accruing | 0 | 0 |
Real Estate | Construction and land | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,876 | 2,348 |
Real Estate | Construction and land | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,400 | 0 |
Real Estate | Construction and land | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,400 | 0 |
Real Estate | Construction and land | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Construction and land | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Construction and land | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,294,062 | 1,059,796 |
Real Estate | Farmland | ||
Non-Accrual and Past Due Loans | ||
Loans | 48,095 | 55,827 |
Total 90 days past due and still accruing | 0 | 0 |
Real Estate | Farmland | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Farmland | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Farmland | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Farmland | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Farmland | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 48,095 | 55,827 |
Real Estate | 1 - 4 family residential | Residential Real Estate | ||
Non-Accrual and Past Due Loans | ||
Loans | 604,408 | 542,566 |
Total 90 days past due and still accruing | 0 | 24 |
Real Estate | 1 - 4 family residential | Residential Real Estate | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,162 | 1,178 |
Real Estate | 1 - 4 family residential | Residential Real Estate | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 3,355 | 3,081 |
Real Estate | 1 - 4 family residential | Residential Real Estate | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 2,429 | 2,073 |
Real Estate | 1 - 4 family residential | Residential Real Estate | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | 1 - 4 family residential | Residential Real Estate | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 926 | 1,008 |
Real Estate | 1 - 4 family residential | Residential Real Estate | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 599,891 | 538,307 |
Real Estate | Multi-family residential | Residential Real Estate | ||
Non-Accrual and Past Due Loans | ||
Loans | 272,250 | 310,241 |
Total 90 days past due and still accruing | 0 | 0 |
Real Estate | Multi-family residential | Residential Real Estate | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Multi-family residential | Residential Real Estate | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Multi-family residential | Residential Real Estate | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Multi-family residential | Residential Real Estate | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Multi-family residential | Residential Real Estate | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 272,250 | 310,241 |
Real Estate | OOCRE | Commercial Real Estate | ||
Non-Accrual and Past Due Loans | ||
Loans | 633,615 | 665,537 |
Total 90 days past due and still accruing | 0 | 0 |
Real Estate | OOCRE | Commercial Real Estate | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 22,600 | 27,564 |
Real Estate | OOCRE | Commercial Real Estate | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 17,069 | 17,125 |
Real Estate | OOCRE | Commercial Real Estate | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 3,114 | 4,538 |
Real Estate | OOCRE | Commercial Real Estate | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 509 | 965 |
Real Estate | OOCRE | Commercial Real Estate | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 13,446 | 11,622 |
Real Estate | OOCRE | Commercial Real Estate | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 593,946 | 620,848 |
Real Estate | NOOCRE | Commercial Real Estate | ||
Non-Accrual and Past Due Loans | ||
Loans | 2,145,826 | 2,120,309 |
Total 90 days past due and still accruing | 0 | 0 |
Real Estate | NOOCRE | Commercial Real Estate | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 15,244 | 18,200 |
Real Estate | NOOCRE | Commercial Real Estate | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 17,739 | 1,128 |
Real Estate | NOOCRE | Commercial Real Estate | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 936 |
Real Estate | NOOCRE | Commercial Real Estate | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | NOOCRE | Commercial Real Estate | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 17,739 | 192 |
Real Estate | NOOCRE | Commercial Real Estate | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 2,112,843 | 2,100,981 |
Commercial | ||
Non-Accrual and Past Due Loans | ||
Loans | 2,125,900 | 2,006,876 |
Total 90 days past due and still accruing | 264 | 191 |
Commercial | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 7,440 | 8,626 |
Commercial | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 14,187 | 9,628 |
Commercial | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 4,026 | 1,525 |
Commercial | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 6,280 | 4,395 |
Commercial | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 3,881 | 3,708 |
Commercial | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 2,104,273 | 1,988,622 |
MW | ||
Non-Accrual and Past Due Loans | ||
Loans | 542,877 | 565,645 |
Total 90 days past due and still accruing | 0 | 0 |
MW | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 430 | 0 |
MW | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 430 | 0 |
MW | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
MW | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
MW | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 542,447 | 565,645 |
Consumer | ||
Non-Accrual and Past Due Loans | ||
Loans | 9,533 | 11,998 |
Total 90 days past due and still accruing | 0 | 20 |
Consumer | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 170 | 177 |
Consumer | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,264 | 1,322 |
Consumer | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 68 | 135 |
Consumer | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 35 | 105 |
Consumer | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,161 | 1,082 |
Consumer | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 8,099 | 10,499 |
Acquired Loans with Deteriorated Credit Quality | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 48,492 | 58,093 |
Acquired Loans with Deteriorated Credit Quality | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Total 90 days past due and still accruing | 5,511 | 9,345 |
Acquired Loans with Deteriorated Credit Quality | Real Estate | Construction and land | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,876 | 2,348 |
Acquired Loans with Deteriorated Credit Quality | Real Estate | Farmland | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Acquired Loans with Deteriorated Credit Quality | Real Estate | 1 - 4 family residential | Residential Real Estate | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,162 | 1,178 |
Acquired Loans with Deteriorated Credit Quality | Real Estate | Multi-family residential | Residential Real Estate | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Acquired Loans with Deteriorated Credit Quality | Real Estate | OOCRE | Commercial Real Estate | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 22,600 | 27,564 |
Acquired Loans with Deteriorated Credit Quality | Real Estate | NOOCRE | Commercial Real Estate | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 15,244 | 18,200 |
Acquired Loans with Deteriorated Credit Quality | Commercial | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 7,440 | 8,626 |
Acquired Loans with Deteriorated Credit Quality | MW | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Acquired Loans with Deteriorated Credit Quality | Consumer | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | $ 170 | $ 177 |
LHI and ACL - Trouble Debt Rest
LHI and ACL - Trouble Debt Restructuring (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022USD ($)loan | Mar. 31, 2021USD ($)loan | Dec. 31, 2021USD ($) | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Recorded investment for financing receivable, modifications | $ 23,273 | $ 25,518 | |
Adjusted Payment Structure | $ 240 | ||
Payment Deferrals | 0 | ||
Total Modifications | $ 240 | ||
Number of Loans | loan | 0 | 1 | |
Loans modified as TDR | loan | 0 | 0 | |
Interest income that would have been recorded if there was no modification | $ 92 | $ 122 | |
Commercial | Commercial Real Estate | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Adjusted Payment Structure | 240 | ||
Payment Deferrals | 0 | ||
Total Modifications | $ 240 | ||
Number of Loans | loan | 1 |
LHI and ACL - Credit Quality In
LHI and ACL - Credit Quality Indicators (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Credit Quality Indicators | ||
Year One | $ 355,213 | $ 1,867,749 |
Year Two | 2,075,630 | 1,253,303 |
Year Three | 1,253,613 | 673,838 |
Year Four | 594,665 | 794,157 |
Year Five | 703,700 | 235,569 |
Prior | 1,033,585 | 868,776 |
Revolving Loans Amortized Cost Basis | 1,646,502 | 1,587,758 |
Revolving Loans Converted to Term | 16,934 | 59,993 |
Total | 7,679,842 | 7,341,143 |
Deferred loan fees, net | (11,536) | (9,489) |
Pass | ||
Credit Quality Indicators | ||
Year One | 355,213 | 1,841,709 |
Year Two | 2,050,641 | 1,241,076 |
Year Three | 1,243,031 | 662,869 |
Year Four | 583,418 | 647,461 |
Year Five | 566,331 | 202,918 |
Prior | 854,719 | 708,994 |
Revolving Loans Amortized Cost Basis | 1,620,154 | 1,561,600 |
Revolving Loans Converted to Term | 16,934 | 52,573 |
Total | 7,290,441 | 6,919,200 |
Special mention | ||
Credit Quality Indicators | ||
Year One | 0 | 10,378 |
Year Two | 20,245 | 4,547 |
Year Three | 5,664 | 2,886 |
Year Four | 3,338 | 66,204 |
Year Five | 76,179 | 17,488 |
Prior | 85,213 | 58,918 |
Revolving Loans Amortized Cost Basis | 5,737 | 3,482 |
Revolving Loans Converted to Term | 0 | 3,078 |
Total | 196,376 | 166,981 |
Substandard | ||
Credit Quality Indicators | ||
Year One | 0 | 15,662 |
Year Two | 4,744 | 6,303 |
Year Three | 4,918 | 8,083 |
Year Four | 7,909 | 66,557 |
Year Five | 47,096 | 6,787 |
Prior | 59,255 | 66,459 |
Revolving Loans Amortized Cost Basis | 20,611 | 22,676 |
Revolving Loans Converted to Term | 0 | 4,342 |
Total | 144,533 | 196,869 |
PCD | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 1,377 |
Year Three | 0 | 0 |
Year Four | 0 | 13,935 |
Year Five | 14,094 | 8,376 |
Prior | 34,398 | 34,405 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 48,492 | 58,093 |
Commercial | ||
Credit Quality Indicators | ||
Year One | 92,216 | 453,833 |
Year Two | 468,324 | 195,554 |
Year Three | 177,959 | 131,233 |
Year Four | 137,064 | 95,545 |
Year Five | 82,081 | 47,275 |
Prior | 95,590 | 65,164 |
Revolving Loans Amortized Cost Basis | 1,072,491 | 992,211 |
Revolving Loans Converted to Term | 175 | 26,061 |
Total | 2,125,900 | 2,006,876 |
Commercial | Pass | ||
Credit Quality Indicators | ||
Year One | 92,216 | 430,213 |
Year Two | 445,732 | 187,370 |
Year Three | 170,620 | 124,798 |
Year Four | 130,796 | 65,186 |
Year Five | 58,092 | 40,254 |
Prior | 75,602 | 52,491 |
Revolving Loans Amortized Cost Basis | 1,048,204 | 968,229 |
Revolving Loans Converted to Term | 175 | 19,130 |
Total | 2,021,437 | 1,887,671 |
Commercial | Special mention | ||
Credit Quality Indicators | ||
Year One | 0 | 7,958 |
Year Two | 17,848 | 2,341 |
Year Three | 2,421 | 149 |
Year Four | 131 | 15,136 |
Year Five | 10,101 | 1,069 |
Prior | 6,394 | 3,368 |
Revolving Loans Amortized Cost Basis | 5,737 | 3,482 |
Revolving Loans Converted to Term | 0 | 2,589 |
Total | 42,632 | 36,092 |
Commercial | Substandard | ||
Credit Quality Indicators | ||
Year One | 0 | 15,662 |
Year Two | 4,744 | 5,843 |
Year Three | 4,918 | 6,286 |
Year Four | 6,137 | 14,908 |
Year Five | 13,579 | 4,167 |
Prior | 6,463 | 2,779 |
Revolving Loans Amortized Cost Basis | 18,550 | 20,500 |
Revolving Loans Converted to Term | 0 | 4,342 |
Total | 54,391 | 74,487 |
Commercial | PCD | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 315 |
Year Five | 309 | 1,785 |
Prior | 7,131 | 6,526 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 7,440 | 8,626 |
MW | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 0 |
Year Five | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 542,877 | 565,395 |
Revolving Loans Converted to Term | 0 | 250 |
Total | 542,877 | 565,645 |
MW | Pass | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 0 |
Year Five | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 542,447 | 564,850 |
Revolving Loans Converted to Term | 0 | 250 |
Total | 542,447 | 565,100 |
MW | Substandard | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 0 |
Year Five | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 430 | 545 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 430 | 545 |
Consumer | ||
Credit Quality Indicators | ||
Year One | 685 | 3,362 |
Year Two | 899 | 1,566 |
Year Three | 1,411 | 534 |
Year Four | 439 | 408 |
Year Five | 310 | 3,043 |
Prior | 3,757 | 990 |
Revolving Loans Amortized Cost Basis | 2,032 | 2,070 |
Revolving Loans Converted to Term | 0 | 25 |
Total | 9,533 | 11,998 |
Consumer | Pass | ||
Credit Quality Indicators | ||
Year One | 685 | 3,362 |
Year Two | 899 | 1,566 |
Year Three | 1,411 | 512 |
Year Four | 437 | 408 |
Year Five | 310 | 2,777 |
Prior | 3,341 | 784 |
Revolving Loans Amortized Cost Basis | 968 | 1,006 |
Revolving Loans Converted to Term | 0 | 25 |
Total | 8,051 | 10,440 |
Consumer | Special mention | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 0 |
Year Five | 0 | 65 |
Prior | 76 | 14 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 76 | 79 |
Consumer | Substandard | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 22 |
Year Four | 2 | 0 |
Year Five | 0 | 177 |
Prior | 170 | 39 |
Revolving Loans Amortized Cost Basis | 1,064 | 1,064 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 1,236 | 1,302 |
Consumer | PCD | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 0 |
Year Five | 0 | 24 |
Prior | 170 | 153 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 170 | 177 |
Construction and land | Real Estate | ||
Credit Quality Indicators | ||
Year One | 42,398 | 389,420 |
Year Two | 530,492 | 454,855 |
Year Three | 519,794 | 116,855 |
Year Four | 113,127 | 57,949 |
Year Five | 54,941 | 5,741 |
Prior | 29,588 | 31,530 |
Revolving Loans Amortized Cost Basis | 6,160 | 4,631 |
Revolving Loans Converted to Term | 838 | 1,163 |
Total | 1,297,338 | 1,062,144 |
Construction and land | Real Estate | Pass | ||
Credit Quality Indicators | ||
Year One | 42,398 | 389,420 |
Year Two | 530,492 | 453,262 |
Year Three | 518,181 | 116,855 |
Year Four | 113,127 | 57,637 |
Year Five | 54,941 | 5,741 |
Prior | 27,712 | 29,182 |
Revolving Loans Amortized Cost Basis | 6,160 | 4,631 |
Revolving Loans Converted to Term | 838 | 1,163 |
Total | 1,293,849 | 1,057,891 |
Construction and land | Real Estate | Special mention | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 1,593 |
Year Three | 1,613 | 0 |
Year Four | 0 | 312 |
Year Five | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 1,613 | 1,905 |
Construction and land | Real Estate | PCD | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 0 |
Year Five | 0 | 0 |
Prior | 1,876 | 2,348 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 1,876 | 2,348 |
Farmland | Real Estate | ||
Credit Quality Indicators | ||
Year One | 2,278 | 16,849 |
Year Two | 16,697 | 28,655 |
Year Three | 18,914 | 27 |
Year Four | 25 | 3,367 |
Year Five | 3,367 | 2,957 |
Prior | 5,533 | 2,643 |
Revolving Loans Amortized Cost Basis | 1,281 | 1,329 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 48,095 | 55,827 |
Farmland | Real Estate | Pass | ||
Credit Quality Indicators | ||
Year One | 2,278 | 16,849 |
Year Two | 16,697 | 28,655 |
Year Three | 18,914 | 27 |
Year Four | 25 | 3,367 |
Year Five | 3,367 | 2,957 |
Prior | 5,533 | 2,643 |
Revolving Loans Amortized Cost Basis | 1,281 | 1,329 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 48,095 | 55,827 |
Residential Real Estate | Single Family | Real Estate | ||
Credit Quality Indicators | ||
Year One | 26,827 | 191,333 |
Year Two | 251,200 | 101,377 |
Year Three | 102,312 | 54,826 |
Year Four | 48,789 | 59,861 |
Year Five | 52,176 | 27,824 |
Prior | 110,612 | 88,094 |
Revolving Loans Amortized Cost Basis | 11,812 | 13,226 |
Revolving Loans Converted to Term | 680 | 6,025 |
Total | 604,408 | 542,566 |
Residential Real Estate | Single Family | Real Estate | Pass | ||
Credit Quality Indicators | ||
Year One | 26,827 | 191,333 |
Year Two | 251,200 | 101,377 |
Year Three | 102,312 | 54,826 |
Year Four | 48,789 | 59,861 |
Year Five | 52,176 | 27,743 |
Prior | 108,126 | 85,661 |
Revolving Loans Amortized Cost Basis | 11,245 | 12,659 |
Revolving Loans Converted to Term | 680 | 6,025 |
Total | 601,355 | 539,485 |
Residential Real Estate | Single Family | Real Estate | Special mention | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 0 |
Year Five | 0 | 0 |
Prior | 344 | 352 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 344 | 352 |
Residential Real Estate | Single Family | Real Estate | Substandard | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 0 |
Year Five | 0 | 81 |
Prior | 980 | 903 |
Revolving Loans Amortized Cost Basis | 567 | 567 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 1,547 | 1,551 |
Residential Real Estate | Single Family | Real Estate | PCD | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 0 |
Year Five | 0 | 0 |
Prior | 1,162 | 1,178 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 1,162 | 1,178 |
Residential Real Estate | Multi-family residential | Real Estate | ||
Credit Quality Indicators | ||
Year One | 28,596 | 67,979 |
Year Two | 66,418 | 59,239 |
Year Three | 59,149 | 54,321 |
Year Four | 33,489 | 89,818 |
Year Five | 73,532 | 11,815 |
Prior | 11,020 | 27,020 |
Revolving Loans Amortized Cost Basis | 46 | 49 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 272,250 | 310,241 |
Residential Real Estate | Multi-family residential | Real Estate | Pass | ||
Credit Quality Indicators | ||
Year One | 28,596 | 67,979 |
Year Two | 66,418 | 59,239 |
Year Three | 59,149 | 54,321 |
Year Four | 33,489 | 68,531 |
Year Five | 51,868 | 11,815 |
Prior | 11,020 | 27,020 |
Revolving Loans Amortized Cost Basis | 46 | 49 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 250,586 | 288,954 |
Residential Real Estate | Multi-family residential | Real Estate | Special mention | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 21,287 |
Year Five | 21,664 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 21,664 | 21,287 |
Commercial Real Estate | OOCRE | Real Estate | ||
Credit Quality Indicators | ||
Year One | 12,150 | 116,833 |
Year Two | 113,516 | 113,305 |
Year Three | 101,948 | 58,016 |
Year Four | 57,239 | 98,552 |
Year Five | 83,706 | 62,269 |
Prior | 248,816 | 210,611 |
Revolving Loans Amortized Cost Basis | 2,566 | 2,986 |
Revolving Loans Converted to Term | 13,674 | 2,965 |
Total | 633,615 | 665,537 |
Commercial Real Estate | OOCRE | Real Estate | Pass | ||
Credit Quality Indicators | ||
Year One | 12,150 | 114,413 |
Year Two | 111,119 | 111,516 |
Year Three | 101,059 | 56,964 |
Year Four | 56,202 | 73,112 |
Year Five | 60,078 | 54,921 |
Prior | 209,795 | 174,500 |
Revolving Loans Amortized Cost Basis | 2,566 | 2,986 |
Revolving Loans Converted to Term | 13,674 | 2,965 |
Total | 566,643 | 591,377 |
Commercial Real Estate | OOCRE | Real Estate | Special mention | ||
Credit Quality Indicators | ||
Year One | 0 | 2,420 |
Year Two | 2,397 | 0 |
Year Three | 889 | 1,052 |
Year Four | 1,037 | 0 |
Year Five | 0 | 0 |
Prior | 5,713 | 6,232 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 10,036 | 9,704 |
Commercial Real Estate | OOCRE | Real Estate | Substandard | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 412 |
Year Three | 0 | 0 |
Year Four | 0 | 25,440 |
Year Five | 23,628 | 781 |
Prior | 10,708 | 10,259 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 34,336 | 36,892 |
Commercial Real Estate | OOCRE | Real Estate | PCD | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 1,377 |
Year Three | 0 | 0 |
Year Four | 0 | 0 |
Year Five | 0 | 6,567 |
Prior | 22,600 | 19,620 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 22,600 | 27,564 |
Commercial Real Estate | NOOCRE | Real Estate | ||
Credit Quality Indicators | ||
Year One | 150,063 | 628,140 |
Year Two | 628,084 | 298,752 |
Year Three | 272,126 | 258,026 |
Year Four | 204,493 | 388,657 |
Year Five | 353,587 | 74,645 |
Prior | 528,669 | 442,724 |
Revolving Loans Amortized Cost Basis | 7,237 | 5,861 |
Revolving Loans Converted to Term | 1,567 | 23,504 |
Total | 2,145,826 | 2,120,309 |
Commercial Real Estate | NOOCRE | Real Estate | Pass | ||
Credit Quality Indicators | ||
Year One | 150,063 | 628,140 |
Year Two | 628,084 | 298,091 |
Year Three | 271,385 | 254,566 |
Year Four | 200,553 | 319,359 |
Year Five | 285,499 | 56,710 |
Prior | 413,590 | 336,713 |
Revolving Loans Amortized Cost Basis | 7,237 | 5,861 |
Revolving Loans Converted to Term | 1,567 | 23,015 |
Total | 1,957,978 | 1,922,455 |
Commercial Real Estate | NOOCRE | Real Estate | Special mention | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 613 |
Year Three | 741 | 1,685 |
Year Four | 2,170 | 29,469 |
Year Five | 44,414 | 16,354 |
Prior | 72,686 | 48,952 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 489 |
Total | 120,011 | 97,562 |
Commercial Real Estate | NOOCRE | Real Estate | Substandard | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 48 |
Year Three | 0 | 1,775 |
Year Four | 1,770 | 26,209 |
Year Five | 9,889 | 1,581 |
Prior | 40,934 | 52,479 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | 52,593 | 82,092 |
Commercial Real Estate | NOOCRE | Real Estate | PCD | ||
Credit Quality Indicators | ||
Year One | 0 | 0 |
Year Two | 0 | 0 |
Year Three | 0 | 0 |
Year Four | 0 | 13,620 |
Year Five | 13,785 | 0 |
Prior | 1,459 | 4,580 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term | 0 | 0 |
Total | $ 15,244 | $ 18,200 |
LHI and ACL - Servicing Assets
LHI and ACL - Servicing Assets (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Servicing Asset at Amortized Cost [Line Items] | |||
Servicing asset | $ 261,885,000 | ||
Summary of changes in related servicing assets | |||
Balance at beginning of period | $ 17,705,000 | 3,363,000 | |
Increase from loan sales | 1,491,000 | 0 | |
Servicing asset impairment, net of recoveries | (280,000) | 128,000 | |
Amortization charged as a reduction to income | (748,000) | (89,000) | |
Balance at end of period | 18,168,000 | 3,402,000 | |
Valuation allowance recorded | 908,000 | 428,000 | |
Proceeds from sale of loans | 21,293,000 | 4,070,000 | |
Gain on sale of loans | 307,000 | 507,000 | |
Interest-only strip | |||
Summary of changes in related servicing assets | |||
Interest receivable | 0 | $ 0 | |
Small Business Administration Loans | |||
Servicing Asset at Amortized Cost [Line Items] | |||
Servicing asset | 518,612,000 | ||
Summary of changes in related servicing assets | |||
Proceeds from sale of loans | 4,376,000 | 0 | |
Gain on sale of loans | 533,000 | ||
USDA Loans | |||
Summary of changes in related servicing assets | |||
Proceeds from sale of loans | 20,000,000 | $ 0 | |
Gain on sale of loans | $ 3,628,000 |
Fair Value - Recurring Basis (D
Fair Value - Recurring Basis (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Assets measured at fair value | ||
AFS debt securities | $ 1,063,249 | $ 993,058 |
Equity securities with a readily determinable fair value | 10,525 | 11,038 |
PPP loans | 18,512 | 53,369 |
Derivative asset | 18,330 | 9,181 |
Derivative liability | 25,776 | 3,736 |
Designated as hedging instrument | ||
Assets measured at fair value | ||
Derivative asset | 13,931 | 7,001 |
Derivative liability | 21,453 | 1,404 |
Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 15,752 | 4,789 |
Derivative liability | 15,676 | 4,941 |
Recurring | ||
Assets measured at fair value | ||
AFS debt securities | 1,063,249 | 993,058 |
Equity securities with a readily determinable fair value | 10,525 | 11,038 |
PPP loans | 18,512 | 53,369 |
Loans held-for-sale | 15,565 | 9,867 |
Recurring | Level 1 Inputs | ||
Assets measured at fair value | ||
AFS debt securities | 0 | 0 |
Equity securities with a readily determinable fair value | 10,525 | 11,038 |
PPP loans | 0 | 0 |
Loans held-for-sale | 0 | 0 |
Recurring | Level 2 Inputs | ||
Assets measured at fair value | ||
AFS debt securities | 1,063,249 | 993,058 |
Equity securities with a readily determinable fair value | 0 | 0 |
PPP loans | 53,369 | |
Loans held-for-sale | 15,565 | 9,867 |
Recurring | Level 3 Inputs | ||
Assets measured at fair value | ||
AFS debt securities | 0 | 0 |
Equity securities with a readily determinable fair value | 0 | 0 |
PPP loans | 0 | 0 |
Loans held-for-sale | 0 | 0 |
Interest rate swaps | Recurring | ||
Assets measured at fair value | ||
Derivative asset | 13,931 | |
Derivative liability | 21,453 | |
Interest rate swaps | Recurring | Designated as hedging instrument | ||
Assets measured at fair value | ||
Derivative asset | 7,001 | |
Derivative liability | 1,404 | |
Interest rate swaps | Recurring | Level 1 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate swaps | Recurring | Level 1 Inputs | Designated as hedging instrument | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate swaps | Recurring | Level 2 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 13,931 | |
Derivative liability | 21,453 | |
Interest rate swaps | Recurring | Level 2 Inputs | Designated as hedging instrument | ||
Assets measured at fair value | ||
Derivative asset | 7,001 | |
Derivative liability | 1,404 | |
Interest rate swaps | Recurring | Level 3 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate swaps | Recurring | Level 3 Inputs | Designated as hedging instrument | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate swaps | Financial institution counterparty | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 15,462 | 1,527 |
Derivative liability | 348 | 3,498 |
Interest rate swaps | Financial institution counterparty | Recurring | ||
Assets measured at fair value | ||
Derivative asset | 15,462 | |
Derivative liability | 348 | |
Interest rate swaps | Financial institution counterparty | Recurring | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 1,527 | |
Derivative liability | 3,498 | |
Interest rate swaps | Financial institution counterparty | Recurring | Level 1 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate swaps | Financial institution counterparty | Recurring | Level 1 Inputs | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate swaps | Financial institution counterparty | Recurring | Level 2 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 15,462 | |
Derivative liability | 348 | |
Interest rate swaps | Financial institution counterparty | Recurring | Level 2 Inputs | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 1,527 | |
Derivative liability | 3,498 | |
Interest rate swaps | Financial institution counterparty | Recurring | Level 3 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate swaps | Financial institution counterparty | Recurring | Level 3 Inputs | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate swaps | Commercial customer counterparty | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 289 | 3,261 |
Derivative liability | 15,327 | 1,442 |
Interest rate swaps | Commercial customer counterparty | Recurring | ||
Assets measured at fair value | ||
Derivative asset | 289 | |
Derivative liability | 15,327 | |
Interest rate swaps | Commercial customer counterparty | Recurring | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 3,261 | |
Interest rate swaps | Commercial customer counterparty | Recurring | Level 1 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate swaps | Commercial customer counterparty | Recurring | Level 1 Inputs | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Interest rate swaps | Commercial customer counterparty | Recurring | Level 2 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 289 | |
Derivative liability | 15,327 | |
Interest rate swaps | Commercial customer counterparty | Recurring | Level 2 Inputs | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 3,261 | |
Interest rate swaps | Commercial customer counterparty | Recurring | Level 3 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate swaps | Commercial customer counterparty | Recurring | Level 3 Inputs | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Interest rate caps and collars | Financial institution counterparty | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 1 | 0 |
Derivative liability | 0 | 1 |
Interest rate caps and collars | Financial institution counterparty | Recurring | ||
Assets measured at fair value | ||
Derivative asset | 1 | |
Derivative liability | 1 | |
Interest rate caps and collars | Financial institution counterparty | Recurring | Level 1 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate caps and collars | Financial institution counterparty | Recurring | Level 2 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 1 | |
Derivative liability | 1 | |
Interest rate caps and collars | Financial institution counterparty | Recurring | Level 3 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate caps and collars | Commercial customer counterparty | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative asset | 0 | 1 |
Derivative liability | 1 | 0 |
Interest rate caps and collars | Commercial customer counterparty | Recurring | ||
Assets measured at fair value | ||
Derivative asset | 1 | |
Derivative liability | 1 | |
Interest rate caps and collars | Commercial customer counterparty | Recurring | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative liability | 1,442 | |
Interest rate caps and collars | Commercial customer counterparty | Recurring | Level 1 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Interest rate caps and collars | Commercial customer counterparty | Recurring | Level 1 Inputs | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative liability | 0 | |
Interest rate caps and collars | Commercial customer counterparty | Recurring | Level 2 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 1 | |
Derivative liability | 1 | |
Interest rate caps and collars | Commercial customer counterparty | Recurring | Level 2 Inputs | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative liability | 1,442 | |
Interest rate caps and collars | Commercial customer counterparty | Recurring | Level 3 Inputs | ||
Assets measured at fair value | ||
Derivative asset | 0 | |
Derivative liability | $ 0 | |
Interest rate caps and collars | Commercial customer counterparty | Recurring | Level 3 Inputs | Non-hedging derivatives | ||
Assets measured at fair value | ||
Derivative liability | $ 0 |
Fair Value - Non-recurring Basi
Fair Value - Non-recurring Basis (Details) - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
Assets measured at fair value | ||
Impaired loans, specific allowance | $ 5,194,000 | $ 7,808,000 |
Non-recurring | ||
Assets measured at fair value | ||
Collateral dependent loans with an ACL | 14,505,000 | 10,100,000 |
Servicing asset | 17,419,000 | 3,223,000 |
Servicing asset at fair value, gross | 18,327,000 | 3,850,000 |
Valuation allowance for servicing asset | 908,000 | 627,000 |
Liabilities measured at fair value | 0 | 0 |
Non-recurring | Level 1 Inputs | ||
Assets measured at fair value | ||
Collateral dependent loans with an ACL | 0 | 0 |
Servicing asset | 0 | 0 |
Non-recurring | Level 2 Inputs | ||
Assets measured at fair value | ||
Collateral dependent loans with an ACL | 0 | 0 |
Servicing asset | 0 | 0 |
Non-recurring | Level 3 Inputs | ||
Assets measured at fair value | ||
Collateral dependent loans with an ACL | 14,505,000 | 10,100,000 |
Servicing asset | 17,419,000 | 3,223,000 |
Collateral dependent loans with an ACL, gross | $ 19,699,000 | $ 17,908,000 |
Fair Value - Financial Instrume
Fair Value - Financial Instruments (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Financial assets: | ||
HTM debt securities | $ 169,818 | $ 61,446 |
Securities purchased under agreements to resell | 100,818 | 102,288 |
PPP loans | 18,512 | 53,369 |
Equity securities without a readily determinable fair value | 4,355 | 4,355 |
Financial liabilities: | ||
Subordinated debentures and subordinated notes | 228,018 | 227,764 |
Securities sold under agreements to repurchase | 4,996 | 4,069 |
Carrying Amount | ||
Financial assets: | ||
Cash and cash equivalents | 551,573 | 379,784 |
HTM debt securities | 181,265 | 59,436 |
Securities purchased under agreements to resell | 100,818 | 102,288 |
Loans held-for-sale | 3,156 | 16,140 |
PPP loans | 18,512 | |
LHI, excluding PPP loans | 7,259,233 | |
Accrued interest receivable | 23,356 | 22,008 |
BOLI | 83,641 | 83,194 |
Servicing asset | 749 | 14,482 |
Equity securities without a readily determinable fair value | 4,355 | 4,355 |
FHLB and FRB stock | 71,983 | 71,892 |
Financial liabilities: | ||
Deposits | 7,889,596 | 7,363,615 |
Advances from FHLB | 777,522 | 777,562 |
Accrued interest payable | 1,292 | 1,507 |
Subordinated debentures and subordinated notes | 228,018 | 227,764 |
Securities sold under agreements to repurchase | 4,996 | 4,069 |
Level 1 Inputs | Fair Value | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
HTM debt securities | 0 | 0 |
Securities purchased under agreements to resell | 0 | 0 |
Loans held-for-sale | 0 | 0 |
PPP loans | 0 | |
LHI, excluding PPP loans | 0 | |
Accrued interest receivable | 0 | 0 |
BOLI | 0 | 0 |
Servicing asset | 0 | 0 |
Financial liabilities: | ||
Deposits | 0 | 0 |
Advances from FHLB | 0 | 0 |
Accrued interest payable | 0 | 0 |
Subordinated debentures and subordinated notes | 0 | 0 |
Securities sold under agreements to repurchase | 0 | 0 |
Level 2 Inputs | Fair Value | ||
Financial assets: | ||
Cash and cash equivalents | 551,573 | 379,784 |
HTM debt securities | 169,818 | 61,446 |
Securities purchased under agreements to resell | 100,818 | 102,288 |
Loans held-for-sale | 3,156 | 16,140 |
PPP loans | 0 | |
LHI, excluding PPP loans | 0 | |
Accrued interest receivable | 23,356 | 22,008 |
BOLI | 83,641 | 83,194 |
Servicing asset | 749 | 14,482 |
Financial liabilities: | ||
Deposits | 7,401,333 | 7,145,175 |
Advances from FHLB | 770,158 | 796,480 |
Accrued interest payable | 1,292 | 1,507 |
Subordinated debentures and subordinated notes | 228,018 | 227,764 |
Securities sold under agreements to repurchase | 5,017 | 4,026 |
Level 3 Inputs | Fair Value | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
HTM debt securities | 0 | 0 |
Securities purchased under agreements to resell | 0 | 0 |
Loans held-for-sale | 0 | 0 |
PPP loans | 18,512 | |
LHI, excluding PPP loans | 7,283,992 | |
Accrued interest receivable | 0 | 0 |
BOLI | 0 | 0 |
Servicing asset | 0 | 0 |
Financial liabilities: | ||
Deposits | 0 | 0 |
Advances from FHLB | 0 | 0 |
Accrued interest payable | 0 | 0 |
Subordinated debentures and subordinated notes | 0 | 0 |
Securities sold under agreements to repurchase | 0 | $ 0 |
Real Estate, Commercial and Consumer Portfolio Segments | Carrying Amount | ||
Financial assets: | ||
LHI, excluding PPP loans | 7,649,794 | |
Real Estate, Commercial and Consumer Portfolio Segments | Level 1 Inputs | Fair Value | ||
Financial assets: | ||
LHI, excluding PPP loans | 0 | |
Real Estate, Commercial and Consumer Portfolio Segments | Level 2 Inputs | Fair Value | ||
Financial assets: | ||
LHI, excluding PPP loans | 0 | |
Real Estate, Commercial and Consumer Portfolio Segments | Level 3 Inputs | Fair Value | ||
Financial assets: | ||
LHI, excluding PPP loans | $ 7,537,714 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Balance Sheet Information (Details) - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | Mar. 31, 2020 |
Derivative [Line Items] | ||||
Notional Amount | $ 1,499,210,000 | $ 1,468,406,000 | ||
Asset Derivative | ||||
Gross derivatives | 18,330,000 | 9,181,000 | ||
Offsetting derivative assets | (11,353,000) | (2,609,000) | ||
Liability Derivative | ||||
Gross derivatives | 25,776,000 | 3,736,000 | ||
Offsetting derivative liabilities | (11,353,000) | (2,609,000) | ||
Interest rate swaps | ||||
Derivative [Line Items] | ||||
Notional Amount | $ 125,000 | $ 500,000 | ||
Designated as hedging instrument | ||||
Derivative [Line Items] | ||||
Notional Amount | 625,000,000 | 625,000,000 | ||
Asset Derivative | ||||
Gross derivatives | 13,931,000 | 7,001,000 | ||
Liability Derivative | ||||
Gross derivatives | 21,453,000 | 1,404,000 | ||
Designated as hedging instrument | Interest rate swap on money market deposit account payments | ||||
Derivative [Line Items] | ||||
Notional Amount | 250,000,000 | 250,000,000 | ||
Asset Derivative | ||||
Gross derivatives | 13,931,000 | 4,541,000 | ||
Liability Derivative | ||||
Gross derivatives | 0 | 0 | ||
Designated as hedging instrument | Interest rate swap on customer loan interest payments | ||||
Derivative [Line Items] | ||||
Notional Amount | 125,000,000 | 125,000,000 | ||
Asset Derivative | ||||
Gross derivatives | 0 | 0 | ||
Liability Derivative | ||||
Gross derivatives | 7,780,000 | 867,000 | ||
Designated as hedging instrument | Interest rate swap on customer loan interest payments | ||||
Derivative [Line Items] | ||||
Notional Amount | 125,000,000 | 125,000,000 | ||
Asset Derivative | ||||
Gross derivatives | 0 | 0 | ||
Liability Derivative | ||||
Gross derivatives | 7,450,000 | 537,000 | ||
Designated as hedging instrument | Interest rate swap on customer loan interest payments | ||||
Derivative [Line Items] | ||||
Notional Amount | 125,000,000 | 125,000,000 | ||
Asset Derivative | ||||
Gross derivatives | 0 | 2,460,000 | ||
Liability Derivative | ||||
Gross derivatives | 6,223,000 | 0 | ||
Non-hedging derivatives | ||||
Derivative [Line Items] | ||||
Notional Amount | 874,210,000 | 843,406,000 | ||
Asset Derivative | ||||
Gross derivatives | 15,752,000 | 4,789,000 | ||
Liability Derivative | ||||
Gross derivatives | 15,676,000 | 4,941,000 | ||
Financial institution counterparty | Non-hedging derivatives | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Notional Amount | 403,389,000 | 379,787,000 | ||
Asset Derivative | ||||
Gross derivatives | 15,462,000 | 1,527,000 | ||
Liability Derivative | ||||
Gross derivatives | 348,000 | 3,498,000 | ||
Financial institution counterparty | Non-hedging derivatives | Interest rate caps and collars | ||||
Derivative [Line Items] | ||||
Notional Amount | 33,716,000 | 41,916,000 | ||
Asset Derivative | ||||
Gross derivatives | 1,000 | 0 | ||
Liability Derivative | ||||
Gross derivatives | 0 | 1,000 | ||
Commercial customer counterparty | Non-hedging derivatives | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Notional Amount | 403,389,000 | 379,787,000 | ||
Asset Derivative | ||||
Gross derivatives | 289,000 | 3,261,000 | ||
Liability Derivative | ||||
Gross derivatives | 15,327,000 | 1,442,000 | ||
Commercial customer counterparty | Non-hedging derivatives | Interest rate caps and collars | ||||
Derivative [Line Items] | ||||
Notional Amount | 33,716,000 | 41,916,000 | ||
Asset Derivative | ||||
Gross derivatives | 0 | 1,000 | ||
Liability Derivative | ||||
Gross derivatives | $ 1,000 | $ 0 |
Derivative Financial Instrume_4
Derivative Financial Instruments - AOCI Reclassification (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Designated as hedging instrument | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gain (loss) recognized in other comprehensive income on derivative | $ (13,381) | $ 27,271 |
Gain (loss) reclassified from accumulated other comprehensive income into income | 1,171 | 566 |
Interest rate swap on borrowing advances | Interest Expense | Designated as hedging instrument | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gain (loss) recognized in other comprehensive income on derivative | (264) | 26,357 |
Gain (loss) reclassified from accumulated other comprehensive income into income | 264 | 0 |
Interest rate swap on money market deposit account payments | Interest Expense | Designated as hedging instrument | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gain (loss) recognized in other comprehensive income on derivative | 9,389 | 3,895 |
Gain (loss) reclassified from accumulated other comprehensive income into income | (171) | (199) |
Interest rate floor | Interest Income | Designated as hedging instrument | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gain (loss) recognized in other comprehensive income on derivative | 0 | 0 |
Gain (loss) reclassified from accumulated other comprehensive income into income | 0 | 541 |
Interest rate swap on money market deposit account payments | Interest Income | Designated as hedging instrument | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gain (loss) recognized in other comprehensive income on derivative | (22,506) | (2,981) |
Gain (loss) reclassified from accumulated other comprehensive income into income | 1,078 | 224 |
Interest rate caps and collars | Non-hedging derivatives | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Net gain recognized in other noninterest income | $ 719 | $ 98 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Narrative (Details) - USD ($) | 1 Months Ended | 3 Months Ended | |||
May 31, 2019 | Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | Mar. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Notional amount | $ 1,499,210,000 | $ 1,468,406,000 | |||
Pre-tax gain from termination of derivative | 0 | $ (43,900,000) | |||
Accretion into income | $ 264,000 | ||||
Interest rate swaps | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Notional amount | $ 125,000 | $ 500,000 | |||
Accretion period (in years) | 10 years | ||||
Interest rate swap on money market deposit account payments | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Notional amount | $ 250,000 | ||||
Interest rate floor | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Notional amount | $ 275,000 | ||||
Term of contract (in years) | 2 years | ||||
Floor interest rate | 2.43% |
Derivative Financial Instrume_6
Derivative Financial Instruments - Summary of Interest Rate Swaps Outstanding (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | Mar. 31, 2020 | |
Derivative [Line Items] | ||||
Notional Amount | $ 1,499,210,000 | $ 1,468,406,000 | ||
Interest rate swaps | ||||
Derivative [Line Items] | ||||
Notional Amount | $ 125,000 | $ 500,000 | ||
Non-hedging derivatives | ||||
Derivative [Line Items] | ||||
Notional Amount | 874,210,000 | 843,406,000 | ||
Non-hedging derivatives | Commercial customer counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Notional Amount | $ 403,389,000 | $ 379,787,000 | ||
Maturity | 4 years 7 months 6 days | 4 years 9 months 18 days | ||
Fair Value | $ (15,038,000) | $ 1,820,000 | ||
Non-hedging derivatives | Commercial customer counterparty | Interest rate cap | ||||
Derivative [Line Items] | ||||
Notional Amount | $ 33,716,000 | $ 41,916,000 | ||
Fixed Rate | 3.00% | |||
Maturity | 4 months 24 days | 7 months 6 days | ||
Fair Value | $ (1,000) | $ 1,000 | ||
Non-hedging derivatives | Financial institution counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Notional Amount | $ 403,389,000 | $ 379,787,000 | ||
Maturity | 4 years 7 months 6 days | 4 years 9 months 18 days | ||
Fair Value | $ 15,114,000 | $ (1,972,000) | ||
Non-hedging derivatives | Financial institution counterparty | Interest rate cap | ||||
Derivative [Line Items] | ||||
Notional Amount | $ 33,716,000 | $ 41,916,000 | ||
Fixed Rate | 3.00% | |||
Maturity | 4 months 24 days | 7 months 6 days | ||
Fair Value | $ 1,000 | $ (1,000) | ||
LIBOR | Non-hedging derivatives | Commercial customer counterparty | Interest rate cap | ||||
Derivative [Line Items] | ||||
Floating Rate | 0.00% | |||
Minimum | Non-hedging derivatives | Commercial customer counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Fixed Rate | 2.97% | 2.97% | ||
Minimum | Non-hedging derivatives | Commercial customer counterparty | Interest rate cap | ||||
Derivative [Line Items] | ||||
Fixed Rate | 3.00% | |||
Minimum | Non-hedging derivatives | Financial institution counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Fixed Rate | 2.97% | 2.97% | ||
Minimum | Non-hedging derivatives | Financial institution counterparty | Interest rate cap | ||||
Derivative [Line Items] | ||||
Fixed Rate | 2.50% | |||
Minimum | LIBOR | Non-hedging derivatives | Commercial customer counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 2.20% | 2.20% | ||
Minimum | LIBOR | Non-hedging derivatives | Commercial customer counterparty | Interest rate cap | ||||
Derivative [Line Items] | ||||
Floating Rate | 0.00% | |||
Minimum | LIBOR | Non-hedging derivatives | Financial institution counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 2.20% | 2.20% | ||
Minimum | LIBOR | Non-hedging derivatives | Financial institution counterparty | Interest rate cap | ||||
Derivative [Line Items] | ||||
Floating Rate | 0.00% | 0.00% | ||
Minimum | Secured Overnight Financing Rate (SOFR) - CME | Non-hedging derivatives | Commercial customer counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 2.10% | 2.48% | ||
Minimum | Secured Overnight Financing Rate (SOFR) - CME | Non-hedging derivatives | Financial institution counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 2.10% | 2.48% | ||
Minimum | Secured Overnight Financing Rate (SOFR) - NYFD | Non-hedging derivatives | Commercial customer counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 2.50% | 2.50% | ||
Minimum | Secured Overnight Financing Rate (SOFR) - NYFD | Non-hedging derivatives | Financial institution counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 2.50% | 2.50% | ||
Maximum | Non-hedging derivatives | Commercial customer counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Fixed Rate | 8.47% | 8.47% | ||
Maximum | Non-hedging derivatives | Commercial customer counterparty | Interest rate cap | ||||
Derivative [Line Items] | ||||
Fixed Rate | 5.00% | |||
Maximum | Non-hedging derivatives | Financial institution counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Fixed Rate | 8.47% | 8.47% | ||
Maximum | Non-hedging derivatives | Financial institution counterparty | Interest rate cap | ||||
Derivative [Line Items] | ||||
Fixed Rate | 3.00% | |||
Maximum | LIBOR | Non-hedging derivatives | Commercial customer counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 5.00% | 5.00% | ||
Maximum | LIBOR | Non-hedging derivatives | Commercial customer counterparty | Interest rate cap | ||||
Derivative [Line Items] | ||||
Floating Rate | 2.50% | |||
Maximum | LIBOR | Non-hedging derivatives | Financial institution counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 5.00% | 5.00% | ||
Maximum | Secured Overnight Financing Rate (SOFR) - CME | Non-hedging derivatives | Commercial customer counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 3.80% | 2.90% | ||
Maximum | Secured Overnight Financing Rate (SOFR) - CME | Non-hedging derivatives | Financial institution counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 3.75% | 2.90% | ||
Maximum | Secured Overnight Financing Rate (SOFR) - NYFD | Non-hedging derivatives | Commercial customer counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 3.00% | 2.964% | ||
Maximum | Secured Overnight Financing Rate (SOFR) - NYFD | Non-hedging derivatives | Financial institution counterparty | Interest rate swaps | ||||
Derivative [Line Items] | ||||
Floating Rate | 3.00% | 2.964% |
Off-Balance Sheet Loan Commit_3
Off-Balance Sheet Loan Commitments - Financial Instruments Approximate Value (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Financial instruments with off-balance sheet risk | ||
Total commitments | $ 4,941,866 | $ 4,591,760 |
Commitments to extend credit | ||
Financial instruments with off-balance sheet risk | ||
Total commitments | 4,021,956 | 3,809,509 |
MW commitments | ||
Financial instruments with off-balance sheet risk | ||
Total commitments | 844,415 | 716,370 |
Standby and commercial letters of credit | ||
Financial instruments with off-balance sheet risk | ||
Total commitments | $ 75,495 | $ 65,881 |
Off-Balance Sheet Loan Commit_4
Off-Balance Sheet Loan Commitments - Allowance for Unfunded Commitments (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Allowance For Unfunded Commitments [Roll Forward] | ||
Beginning balance for ACL on unfunded commitments | $ 9,266 | $ 10,747 |
Provision (benefit) for credit losses on unfunded commitments | 493 | (570) |
Ending balance of ACL on unfunded commitments | $ 9,759 | $ 10,177 |
Stock-Based Awards - 2010 Plan
Stock-Based Awards - 2010 Plan - Options (Details) - 2010 Stock Option and Equity Incentive Plan - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock based compensation expense | $ 0 | $ 0 | ||
Non Performance Based Stock Options | ||||
Shares Underlying Options | ||||
Outstanding at beginning of period (in shares) | 1,000 | 20,000 | 20,000 | |
Exercised (in shares) | (18,300) | |||
Outstanding at the end of period (in shares) | 1,000 | 1,700 | 1,000 | 20,000 |
Options exercisable at end of period (in shares) | 1,000 | 1,700 | ||
Weighted Exercise Price | ||||
Outstanding at beginning of period (in dollars per share) | $ 10.43 | $ 10.09 | $ 10.09 | |
Exercised (in dollars per share) | 10 | |||
Outstanding at the end of period (in dollars per share) | 10.43 | 10.37 | $ 10.43 | $ 10.09 |
Options exercisable at end of period (in dollars per share) | $ 10.43 | $ 10.37 | ||
Weighted Average Contractual Term | ||||
Outstanding (years) | 1 year 25 days | 1 year 8 months 8 days | 1 year 25 days | 1 year 21 days |
Exercisable | 1 year 25 days | 1 year 8 months 8 days | ||
Aggregate Intrinsic Value | ||||
Outstanding beginning balance | $ 147,000 | |||
Outstanding ending balance | 68,000 | $ 147,000 | ||
Exercisable | 68,000 | |||
Unrecognized compensation expense | 0 | $ 0 | $ 0 | |
Non-performance-based stock options exercised | $ 0 | $ 543,000 |
Stock-Based Awards - 2021 Grant
Stock-Based Awards - 2021 Grant Terms and Stock Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting rights, cliff vesting period (in years) | 3 years | |
2019 Amended Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock based compensation expense | $ 2,904 | $ 1,981 |
Veritex (Green) 2014 Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock based compensation expense | $ 414 | $ 497 |
Stock-Based Awards - 2019 Amend
Stock-Based Awards - 2019 Amended Plan - Options (Details) - 2019 Amended Plan - Non Performance Based Stock Options - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | |
Shares Underlying Options | ||||
Outstanding at beginning of period (in shares) | 710,043 | 975,801 | 975,801 | |
Granted (in shares) | 0 | |||
Forfeited (in shares) | (13,996) | |||
Exercised (in shares) | (38,128) | (71,479) | ||
Outstanding at the end of period (in shares) | 671,915 | 890,326 | 710,043 | 975,801 |
Options exercisable at end of period (in shares) | 518,237 | 560,176 | ||
Weighted Exercise Price | ||||
Outstanding at beginning of period (in dollars per share) | $ 24.38 | $ 24.26 | $ 24.26 | |
Granted (in dollars per share) | 0 | |||
Forfeited (in dollars per share) | 25.93 | |||
Exercised (in dollars per share) | 23.34 | 23.03 | ||
Outstanding at the end of period (in dollars per share) | 24.44 | 24.34 | $ 24.38 | $ 24.26 |
Options exercisable at end of period (in dollars per share) | $ 24.45 | $ 24.31 | ||
Weighted Average Contractual Term | ||||
Outstanding (years) | 6 years 7 months 24 days | 7 years 6 months 14 days | ||
Exercisable | 6 years 4 months 6 days | 7 years 25 days | ||
Aggregate Intrinsic Value | ||||
Outstanding (in dollars) | $ 9,226 | |||
Exercisable | 7,108 | |||
Unrecognized compensation expense | $ 626 | $ 2,047 | $ 803 | |
Requisite service period to recognize compensation cost (in years) | 11 months 1 day |
Stock-Based Awards - 2019 Ame_2
Stock-Based Awards - 2019 Amended Plan - RSUs and PSUs (Details) - 2019 Amended Plan - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
RSUs | |||
Units | |||
Outstanding at the beginning of the period (in shares) | 598,051 | 441,132 | |
Granted (in shares) | 169,355 | 232,149 | |
Vested into shares (in shares) | (96,141) | (41,362) | |
Forfeited (in shares) | (2,350) | ||
Outstanding at the end of the period (in shares) | 668,915 | 631,919 | |
Weighted Average Grant Date Fair Value | |||
Outstanding at the beginning of the period (in dollars per share) | $ 23.39 | $ 20.39 | |
Granted (in dollars per share) | 40.77 | 26.38 | |
Vested into shares (in dollars per share) | 24.69 | 23.29 | |
Forfeited (in dollars per share) | 26.12 | ||
Outstanding at the end of the period (in dollars per share) | $ 27.59 | $ 22.40 | |
Additional disclosures | |||
Equity instrument other than option, units vested | $ 2,524 | $ 1,113 | |
PSUs | |||
Units | |||
Outstanding at the beginning of the period (in shares) | 156,471 | 100,195 | |
Granted (in shares) | 39,429 | 56,276 | |
Incremental PSUs granted upon performance condition met (in shares) | 31,655 | ||
Vested into shares (in shares) | (94,991) | ||
Outstanding at the end of the period (in shares) | 132,564 | 156,471 | |
Weighted Average Grant Date Fair Value | |||
Outstanding at the beginning of the period (in dollars per share) | $ 24.17 | $ 23.20 | |
Granted (in dollars per share) | 40.38 | 26.12 | |
Incremental PSUs granted upon performance condition met (in dollars per share) | |||
Vested into shares (in dollars per share) | 21.49 | ||
Outstanding at the end of the period (in dollars per share) | $ 30.15 | $ 24.23 | |
Additional disclosures | |||
Equity instrument other than option, units vested | $ 2,270 | $ 0 | |
Restricted Stock Units and Performance Stock Based Units | |||
Additional disclosures | |||
Unrecognized compensation expense | $ 16,882 | 14,217 | $ 10,413 |
Requisite service period to recognize compensation cost (in years) | 2 years 3 months 21 days | ||
Non Performance Based Stock Options | |||
Additional disclosures | |||
Unrecognized compensation expense | $ 626 | 2,047 | $ 803 |
Requisite service period to recognize compensation cost (in years) | 11 months 1 day | ||
Non-performance-based stock options exercised | $ 1,562 | $ 2,090 |
Stock-Based Awards - Veritex Gr
Stock-Based Awards - Veritex Green 2014 Plan - Options (Details) - Veritex (Green) 2014 Plan - Non Performance Based Stock Options - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | |
Shares Underlying Options | ||||
Outstanding at beginning of period (in shares) | 217,804,000 | 352,000 | 352,000 | |
Forfeited (in shares) | (3,960) | |||
Exercised (in shares) | (28,622,000) | (54,241) | ||
Outstanding at the end of period (in shares) | 189,182,000 | 293,799 | 217,804,000 | 352,000 |
Options exercisable at end of period (in shares) | 180,830,000 | 222,312 | ||
Weighted Exercise Price | ||||
Outstanding at beginning of period (in dollars per share) | $ 19.62 | $ 19.99 | $ 19.99 | |
Forfeited (in dollars per share) | 21.38 | |||
Exercised (in dollars per share) | 21.34 | 19.77 | ||
Outstanding at the end of period (in dollars per share) | 19.37 | 20.01 | $ 19.62 | $ 19.99 |
Options exercisable at end of period (in dollars per share) | $ 18.81 | $ 18.84 | ||
Weighted Average Contractual Term | ||||
Outstanding (years) | 5 years 6 months 25 days | 6 years 7 months 24 days | 6 years 1 month 17 days | |
Exercisable | 5 years 5 months 12 days | 6 years 2 months 8 days | ||
Aggregate Intrinsic Value | ||||
Outstanding (in dollars) | $ 3,595 | $ 4,424 | ||
Exercisable | 3,501 | |||
Unrecognized compensation expense | $ 75 | $ 497 | $ 100 | |
Requisite service period to recognize compensation cost (in years) | 9 months 3 days |
Stock-Based Awards - Veritex (G
Stock-Based Awards - Veritex (Green) 2014 Plan - RSUs and PSUs (Details) - Veritex (Green) 2014 Plan - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
RSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |||
Outstanding at the beginning of the period (in shares) | 122,784 | 156,187 | |
Granted (in shares) | 4,231 | 5,692 | |
Vested into shares (in shares) | (32,931) | (33,335) | |
Forfeited (in shares) | (2,558) | (2,646) | |
Outstanding at the end of the period (in shares) | 91,526 | 125,898 | |
Weighted Average Grant Date Fair Value | |||
Outstanding at the beginning of the period (in dollars per share) | $ 21.13 | $ 21.15 | |
Granted (in dollars per share) | 40.38 | 26.12 | |
Vested into shares (in dollars per share) | 21.80 | 21.38 | |
Forfeited (in dollars per share) | 29.13 | 24.25 | |
Outstanding at the end of the period (in dollars per share) | $ 21.55 | $ 21.25 | |
PSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |||
Outstanding at the beginning of the period (in shares) | 35,899 | 30,728 | |
Granted (in shares) | 4,411 | 6,231 | |
Incremental PSUs granted upon performance condition met (in shares) | 10,566 | ||
Vested into shares (in shares) | (31,703) | ||
Forfeited (in shares) | (724) | ||
Outstanding at the end of the period (in shares) | 19,173 | 36,235 | |
Weighted Average Grant Date Fair Value | |||
Outstanding at the beginning of the period (in dollars per share) | $ 22.26 | $ 21.43 | |
Granted (in dollars per share) | 40.38 | 26.12 | |
Incremental PSUs granted upon performance condition met (in dollars per share) | |||
Vested into shares (in dollars per share) | 19.69 | ||
Forfeited (in dollars per share) | 19.69 | ||
Outstanding at the end of the period (in dollars per share) | $ 29.26 | $ 22.27 | |
Restricted Stock Units and Performance Stock Based Units | |||
Weighted Average Grant Date Fair Value | |||
Unrecognized compensation expense | $ 1,399 | $ 2,429 | $ 1,252 |
Requisite service period to recognize compensation cost (in years) | 2 years 1 month 17 days |
Stock-Based Awards - Veritex _2
Stock-Based Awards - Veritex (Green) 2014 Plan - Fair Value Options Exercised and Restricted Stock Units Vested (Details) - Veritex (Green) 2014 Plan - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Non Performance Based Stock Options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Non-performance-based stock options exercised | $ 1,143 | $ 1,582 |
RSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Equity instrument other than option, units vested | $ 718 | $ 713 |
Stock-Based Awards - Green Banc
Stock-Based Awards - Green Bancorp Inc. 2010 Option Plan (Details) - Non Performance Based Stock Options - Green Bancorp Inc. 2010 Stock Option Plan - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Shares Underlying Options | |||
Outstanding at beginning of period (in shares) | 66,143 | 131,083 | 131,083 |
Exercised (in shares) | (1,372) | (62,000) | |
Outstanding at the end of period (in shares) | 64,771 | 69,083 | 66,143 |
Weighted Exercise Price | |||
Outstanding at beginning of period (in dollars per share) | $ 12.56 | $ 11.60 | $ 11.60 |
Exercised (in dollars per share) | 13.07 | 10.50 | |
Outstanding at the end of period (in dollars per share) | $ 12.55 | $ 12.59 | $ 12.56 |
Weighted Average Contractual Term | |||
Outstanding (years) | 1 year 11 months 12 days | 2 years 10 months 24 days | |
Aggregate Intrinsic Value | |||
Outstanding (in dollars) | $ 1,659 | ||
Non-performance-based stock options exercised | $ 56 | $ 1,812 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Income Tax Disclosure [Abstract] | ||
Income tax expense for the period | $ 8,102 | $ 8,993 |
Effective tax rate | 19.50% | 22.10% |
Net discrete tax expense (benefit), true-up adjustment | $ (992) | $ 272 |
Deferred tax true-up adjustment of liability | 426 | |
Net discrete tax benefit, share-based payment award | $ 154 | |
Effective tax rate excluding discrete tax item | 21.90% | 21.40% |
Capital Requirements and Rest_3
Capital Requirements and Restrictions on Retained Earnings (Details) | 3 Months Ended | ||
Mar. 31, 2022USD ($)$ / shares | Mar. 31, 2021USD ($)$ / shares | Dec. 31, 2021USD ($) | |
Total capital (to risk-weighted assets “RWA”) | |||
Actual Amount | $ 1,276,341,000 | $ 1,100,404,000 | |
Actual Ratio (as a percent) | 0.1273 | 0.1160 | |
For Capital Adequacy Purposes Amount | $ 802,100,000 | $ 758,899,000 | |
For Capital Adequacy Purposes Ratio (as a percent) | 0.080 | 0.080 | |
Tier 1 capital (to RWA) | |||
Actual Amount | $ 1,016,916,000 | $ 843,585,000 | |
Actual Ratio (as a percent) | 0.1014 | 0.0889 | |
For Capital Adequacy Purposes Amount | $ 601,725,000 | $ 569,349,000 | |
For Capital Adequacy Purposes Ratio (as a percent) | 0.060 | 0.060 | |
Common equity tier 1 (to RWA) | |||
Actual Amount | $ 987,414,000 | $ 814,138,000 | |
Actual Ratio (as a percent) | 9.84% | 8.58% | |
For Capital Adequacy Purposes Amount | $ 451,561,000 | $ 426,995,000 | |
For Capital Adequacy Purposes Amount (as a percent) | 4.50% | 4.50% | |
Tier 1 capital (to average assets) | |||
Actual Amount | $ 1,016,916,000 | $ 843,585,000 | |
Actual Ratio (as a percent) | 0.1066 | 0.0905 | |
For Capital Adequacy Purposes Amount | $ 381,582,000 | $ 372,855,000 | |
For Capital Adequacy Purposes Ratio (as a percent) | 0.040 | 0.040 | |
Dividends paid | $ 9,913,000 | $ 8,358,000 | |
Bank's capital conservation buffer | 0.0442 | ||
Bank | |||
Total capital (to risk-weighted assets “RWA”) | |||
Actual Amount | $ 1,245,323,000 | $ 1,053,871,000 | |
Actual Ratio (as a percent) | 0.1242 | 0.1111 | |
For Capital Adequacy Purposes Amount | $ 802,140,000 | $ 758,863,000 | |
For Capital Adequacy Purposes Ratio (as a percent) | 0.080 | 0.080 | |
To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 1,002,676,000 | $ 948,579,000 | |
To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio (as a percent) | 0.100 | 0.100 | |
Tier 1 capital (to RWA) | |||
Actual Amount | $ 1,183,396,000 | $ 994,351,000 | |
Actual Ratio (as a percent) | 0.1180 | 0.1048 | |
For Capital Adequacy Purposes Amount | $ 601,727,000 | $ 569,285,000 | |
For Capital Adequacy Purposes Ratio (as a percent) | 0.060 | 0.060 | |
To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 802,302,000 | $ 759,047,000 | |
To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio (as a percent) | 0.080 | 0.080 | |
Common equity tier 1 (to RWA) | |||
Actual Amount | $ 1,183,396,000 | $ 994,351,000 | |
Actual Ratio (as a percent) | 11.80% | 10.48% | |
For Capital Adequacy Purposes Amount | $ 451,295,000 | $ 426,964,000 | |
For Capital Adequacy Purposes Amount (as a percent) | 4.50% | 4.50% | |
To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 651,871,000 | $ 616,725,000 | |
To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio (as a percent) | 6.50% | 6.50% | |
Tier 1 capital (to average assets) | |||
Actual Amount | $ 1,183,396,000 | $ 994,351,000 | |
Actual Ratio (as a percent) | 0.1241 | 0.1069 | |
For Capital Adequacy Purposes Amount | $ 381,433,000 | $ 372,068,000 | |
For Capital Adequacy Purposes Ratio (as a percent) | 0.040 | 0.040 | |
To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 476,791,000 | $ 465,085,000 | |
To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio (as a percent) | 0.050 | 0.050 | |
Dividends Paid to Holdco | $ 0 | 8,440,000 | |
Dividends paid | $ 8,358,000 | ||
Dividends paid (in dollars per share) | $ / shares | $ 0.17 | ||
Veritex Holdings, Inc. | |||
Tier 1 capital (to average assets) | |||
Dividends paid | $ 9,913,000 | ||
Dividends paid (in dollars per share) | $ / shares | $ 0.20 |
Business Combinations - Narrati
Business Combinations - Narrative (Details) - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 |
Business Acquisition [Line Items] | |||||
Goodwill | $ 404,452,000 | $ 403,771,000 | $ 404,452,000 | $ 403,771,000 | |
Merger and acquisition (“M&A”) expense | 700,000 | $ 0 | |||
North Avenue Capital, LLC | |||||
Business Acquisition [Line Items] | |||||
Goodwill | 33,612,000 | 32,931,000 | 33,612,000 | 32,931,000 | |
Cash consideration transferred in acquisition | 57,500,000 | 57,500,000 | |||
Contingent consideration | $ 5,000,000 | $ 5,000,000 | |||
Merger and acquisition (“M&A”) expense | $ 0 | $ 826,000 |
Business Combinations - Acquire
Business Combinations - Acquired Assets and Assumed Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2022 |
Consideration: | |||
Goodwill | $ 404,452 | $ 403,771 | $ 404,452 |
North Avenue Capital, LLC | |||
Assets acquired | |||
Cash and cash equivalents | 1,978 | 1,978 | 1,978 |
LHI | 28,657 | 29,338 | 28,657 |
Measurement period adjustments, LHI | (681) | ||
Servicing asset | 13,913 | 13,913 | 13,913 |
Other assets | 690 | 690 | 690 |
Total assets acquired | 45,238 | 45,919 | 45,238 |
Measurement period adjustments, Total assets acquired | (681) | ||
Liabilities assumed | |||
Accounts payable and other accrued expenses | 16,350 | 16,350 | 16,350 |
Total liabilities assumed | 16,350 | 16,350 | 16,350 |
Fair value of net assets acquired | 28,888 | 29,569 | 28,888 |
Measurement period adjustments, Fair value of net assets acquired | (681) | ||
Consideration: | |||
Cash paid | 57,500 | 57,500 | |
Contingent consideration | 5,000 | 5,000 | |
Total consideration | 62,500 | 62,500 | |
Goodwill | $ 33,612 | $ 32,931 | 33,612 |
Measurement period adjustments, Goodwill | $ 681 |
Business Combinations - Loans A
Business Combinations - Loans Acquired (Details) - North Avenue Capital, LLC $ in Thousands | Nov. 01, 2021USD ($) |
Fair Value | |
Business Acquisition [Line Items] | |
Total fair value | $ 28,657 |
Carrying Amount | |
Business Acquisition [Line Items] | |
Total fair value | 29,338 |
Commercial | |
Business Acquisition [Line Items] | |
Total fair value | 26,519 |
Real Estate | |
Business Acquisition [Line Items] | |
Total fair value | $ 2,138 |
Business Combinations - Pro For
Business Combinations - Pro Forma Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Business Combination and Asset Acquisition [Abstract] | ||
Business Acquisition, Pro Forma Revenue | $ 267,331 | $ 286,313 |
Business Acquisition, Pro Forma Net Income (Loss) | $ 84,368 | $ 93,939 |
Basic EPS (in dollars per share) | $ 1.69 | $ 1.77 |
Diluted EPS (in dollars per share) | $ 1.69 | $ 1.74 |