Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2023 | Nov. 07, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2023 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | AFBI | |
Entity Registrant Name | Affinity Bancshares, Inc. | |
Entity Central Index Key | 0001823406 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 6,388,309 | |
Entity Current Reporting Status | Yes | |
Entity Shell Company | false | |
Entity File Number | 001-39914 | |
Entity Tax Identification Number | 82-1147778 | |
Entity Address, Address Line One | 3175 Highway 278 | |
Entity Address, City or Town | Covington | |
Entity Address, State or Province | GA | |
Entity Address, Postal Zip Code | 30014 | |
City Area Code | 770 | |
Local Phone Number | 786-7088 | |
Entity Interactive Data Current | Yes | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Entity Incorporation, State or Country Code | MD | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Security Exchange Name | NASDAQ |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Assets | ||
Cash and due from banks | $ 5,441 | $ 2,928 |
Interest-earning deposits in other depository institutions | 56,062 | 23,396 |
Cash and cash equivalents | 61,503 | 26,324 |
Investment securities available-for-sale | 48,012 | 46,200 |
Investment securities held-to-maturity (estimated fair value of $32,925, net of allowance for credit losses of $42 at September 30, 2023 and estimated fair value of $26,251 at December 31, 2022) | 34,183 | 26,527 |
Other investments | 4,885 | 1,082 |
Loans | 661,016 | 646,234 |
Less allowance for credit losses | (9,211) | (9,325) |
Net loans | 651,805 | 636,909 |
Other real estate owned | 2,901 | 2,901 |
Premises and equipment, net | 3,872 | 4,257 |
Bank owned life insurance | 15,991 | 15,724 |
Intangible assets | 18,414 | 18,558 |
Other assets | 13,865 | 12,801 |
Total assets | 855,431 | 791,283 |
Liabilities: | ||
Non-interest-bearing checking | 170,654 | 190,297 |
Interest-bearing checking | 92,177 | 91,167 |
Money market accounts | 144,439 | 148,097 |
Savings accounts | 79,446 | 101,622 |
Certificates of deposit | 222,329 | 125,989 |
Total deposits | 709,045 | 657,172 |
Federal Home Loan Bank advances and other borrowings | 20,000 | 10,025 |
Accrued interest payable and other liabilities | 7,910 | 6,983 |
Total liabilities | 736,955 | 674,180 |
Stockholders' equity: | ||
Common stock (par value $0.01 per share, 40,000,000 shares authorized; 6,404,961 issued and outstanding at September 30, 2023 and 6,605,384 issued and outstanding at December 31, 2022) | 64 | 66 |
Preferred stock (10,000,000 shares authorized, no shares outstanding) | ||
Additional paid in capital | 60,978 | 63,130 |
Unearned ESOP shares | (4,639) | (4,795) |
Retained earnings | 69,832 | 65,357 |
Accumulated other comprehensive loss | (7,759) | (6,655) |
Total stockholders' equity | 118,476 | 117,103 |
Total liabilities and stockholders' equity | $ 855,431 | $ 791,283 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Investment securities held-to-maturity estimated allowance for credit losses | $ 42,000 | |
Investment securities held-to-maturity estimated fair value | $ 32,925,000 | $ 26,251,000 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 6,404,961 | 6,605,384 |
Common stock, shares outstanding | 6,404,961 | 6,605,384 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares outstanding | 0 | 0 |
Consolidated Statements of Inco
Consolidated Statements of Income (unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Interest income: | ||||
Loans, including fees | $ 9,113,000 | $ 7,734,000 | $ 26,131,000 | $ 22,013,000 |
Investment securities | 1,022,000 | 301,000 | 2,957,000 | 857,000 |
Interest-earning deposits | 889,000 | 189,000 | 2,527,000 | 286,000 |
Total interest income | 11,024,000 | 8,224,000 | 31,615,000 | 23,156,000 |
Interest expense: | ||||
Deposits | 3,915,000 | 625,000 | 10,015,000 | 1,612,000 |
FHLB advances and other borrowings | 208,000 | 73,000 | 1,109,000 | (874,000) |
Total interest expense | 4,123,000 | 698,000 | 11,124,000 | 738,000 |
Net interest income before provision for credit losses | 6,901,000 | 7,526,000 | 20,491,000 | 22,418,000 |
Provision for credit losses | 187,000 | 7,000 | 654,000 | |
Net interest income after provision for credit losses | 6,901,000 | 7,339,000 | 20,484,000 | 21,764,000 |
Noninterest income: | ||||
Service charges on deposit accounts | 426,000 | 420,000 | 1,222,000 | 1,205,000 |
Other | 204,000 | 173,000 | 638,000 | 631,000 |
Total noninterest income | 630,000 | 593,000 | 1,860,000 | 1,836,000 |
Noninterest expenses: | ||||
Salaries and employee benefits | 3,007,000 | 3,187,000 | 9,047,000 | 9,219,000 |
Occupancy | 637,000 | 675,000 | 1,919,000 | 1,798,000 |
Advertising | 59,000 | 128,000 | 238,000 | 326,000 |
Data processing | 525,000 | 486,000 | 1,504,000 | 1,476,000 |
FHLB prepayment penalties | 647,000 | |||
Other | 1,178,000 | 1,014,000 | 3,176,000 | 3,019,000 |
Total noninterest expenses | 5,406,000 | 5,490,000 | 15,884,000 | 16,485,000 |
Income before income taxes | 2,125,000 | 2,442,000 | 6,460,000 | 7,115,000 |
Income tax expense | 502,000 | 581,000 | 1,525,000 | 1,680,000 |
Net income | $ 1,623,000 | $ 1,861,000 | $ 4,935,000 | $ 5,435,000 |
Weighted average common shares outstanding | ||||
Basic | 6,417,754 | 6,652,811 | 6,500,562 | 6,683,052 |
Diluted | 6,493,114 | 6,752,152 | 6,575,923 | 6,782,393 |
Basic earnings per share | $ 0.25 | $ 0.28 | $ 0.76 | $ 0.81 |
Diluted earnings per share | $ 0.25 | $ 0.27 | $ 0.75 | $ 0.8 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) (unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 1,623 | $ 1,861 | $ 4,935 | $ 5,435 |
Other comprehensive loss: | ||||
Net unrealized loss on available-for-sale securities, net of taxes of $368, $629, $374 and $2,230 | (1,090) | (1,855) | (1,104) | (6,586) |
Total other comprehensive loss | (1,090) | (1,855) | (1,104) | (6,586) |
Total comprehensive income (loss) | $ 533 | $ 6 | $ 3,831 | $ (1,151) |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Loss) (unaudited) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net unrealized loss on available-for-sale securities, tax | $ (368) | $ (629) | $ (374) | $ (2,230) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity (unaudited) - USD ($) $ in Thousands | Total | Common Stock | Additional Paid In Capital | Unearned ESOP Shares | Retained Earnings | Accumulated Other Comprehensive Income (Loss) |
Beginning balance at Dec. 31, 2021 | $ 120,968 | $ 69 | $ 68,038 | $ (5,004) | $ 58,223 | $ (358) |
ESOP loan payment and release of ESOP shares | 237 | 80 | 157 | |||
Issuance of restricted stock awards | 78 | 1 | 77 | |||
Stock-based compensation expense | 382 | 382 | ||||
Change in unrealized loss on investment securities available- for-sale, net of tax | (6,586) | (6,586) | ||||
Common stock repurchase | (5,293) | (4) | (5,289) | |||
Net income | 5,435 | 5,435 | ||||
Ending balance at Sep. 30, 2022 | 115,221 | 66 | 63,288 | (4,847) | 63,658 | (6,944) |
Beginning balance at Jun. 30, 2022 | 115,371 | 65 | 63,497 | (4,899) | 61,797 | (5,089) |
ESOP loan payment and release of ESOP shares | 77 | 25 | 52 | |||
Issuance of restricted stock awards | 78 | 1 | 77 | |||
Stock-based compensation expense | 203 | 203 | ||||
Change in unrealized loss on investment securities available- for-sale, net of tax | (1,855) | (1,855) | ||||
Common stock repurchase | (514) | (514) | ||||
Net income | 1,861 | 1,861 | ||||
Ending balance at Sep. 30, 2022 | 115,221 | 66 | 63,288 | (4,847) | 63,658 | (6,944) |
Beginning balance at Dec. 31, 2022 | 117,103 | 66 | 63,130 | (4,795) | 65,357 | (6,655) |
ESOP loan payment and release of ESOP shares | 219 | 63 | 156 | |||
Stock-based compensation expense | 782 | 782 | ||||
Change in unrealized loss on investment securities available- for-sale, net of tax | (1,104) | (1,104) | ||||
Common stock repurchase | (2,999) | (2) | (2,997) | |||
Adoption of new accounting pronouncement (see Note 1) | ASU 2016-13 | (460) | (460) | ||||
Net income | 4,935 | 4,935 | ||||
Ending balance at Sep. 30, 2023 | 118,476 | 64 | 60,978 | (4,639) | 69,832 | (7,759) |
Beginning balance at Jun. 30, 2023 | 117,939 | 64 | 61,027 | (4,692) | 68,209 | (6,669) |
ESOP loan payment and release of ESOP shares | 74 | 21 | 53 | |||
Stock-based compensation expense | 258 | 258 | ||||
Change in unrealized loss on investment securities available- for-sale, net of tax | (1,090) | (1,090) | ||||
Common stock repurchase | (328) | (328) | ||||
Net income | 1,623 | 1,623 | ||||
Ending balance at Sep. 30, 2023 | $ 118,476 | $ 64 | $ 60,978 | $ (4,639) | $ 69,832 | $ (7,759) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash flows from operating activities: | ||
Net income | $ 4,935 | $ 5,435 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and (accretion) amortization | 576 | (329) |
Stock-based compensation expense | 782 | 460 |
Provision for credit losses | 7 | 654 |
ESOP expense | 219 | 237 |
Increase in cash surrender value of bank owned life insurance | (267) | (260) |
Change in: | ||
Accrued interest receivable and other assets | (531) | 168 |
Accrued interest payable and other liabilities | 341 | 1,850 |
Net cash provided by operating activities | 6,062 | 8,215 |
Cash flows from investing activities: | ||
Purchases of investment securities held-to-maturity | (7,609) | |
Purchases of investment securities available-for-sale | (5,710) | (5,701) |
Purchases of premises and equipment | (352) | (930) |
Proceeds from paydowns of investment securities available-for-sale | 2,424 | 3,428 |
Proceeds from maturity of investment securities held-to-maturity | 37 | |
Purchases of other investments | (5,716) | (1,130) |
Proceeds from sales of other investments | 1,913 | 2,581 |
Net change in loans | (14,720) | (65,665) |
Net cash used in investing activities | (29,733) | (67,417) |
Cash flows from financing activities: | ||
Net change in deposits | 51,875 | 31,225 |
Stock repurchase | (2,999) | (5,293) |
Proceeds from FHLB advances | 65,000 | 105,000 |
Repayment of FHLB advances | (55,000) | (143,000) |
Proceeds from federal funds purchased | 26 | |
Repayment of federal funds purchased | (51) | |
Net cash provided by (used in) financing activities | 58,851 | (12,068) |
Net change in cash and cash equivalents | 35,180 | (71,270) |
Cash and cash equivalents at beginning of period | 26,324 | 111,776 |
Cash and cash equivalents at end of period | 61,503 | 40,506 |
Supplemental disclosures of cash flow information: | ||
Cash paid for income taxes | 1,543 | 1,019 |
Cash paid for interest | 10,306 | 1,788 |
Change in unrealized gain on investment securities available-for-sale, net of tax | $ (1,104) | $ (6,586) |
Nature of Operations
Nature of Operations | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Nature of Operations | (1) Nature of Operations Affinity Bancshares, Inc. (the “Company”) is a bank holding company, headquartered in Covington, Georgia. The Company has one operating subsidiary, Affinity Bank, National Association (the “Bank”, and formerly named “Newton Federal Bank”), a national bank, conducting banking activities primarily in Newton County, Georgia and surrounding counties and in Cobb and Fulton Counties, Georgia and surrounding counties, and originating dental practice loans and indirect automobile loans throughout the Southeastern United States. Effective September 15, 2023, the Bank converted from a federal savings association to a national bank, and as a result, the Company became a bank holding company instead of a savings and loan holding company. The Bank offers such customary banking services as consumer and commercial checking accounts, savings accounts, certificates of deposit, mortgage, commercial and consumer loans, including indirect automobile loans, money transfers and a variety of other banking services. The Company was incorporated in 2020 to be the successor corporation to Community First Bancshares, Inc., a federal corporation, upon completion of the second-step mutual-to-stock conversion (the “Conversion”) of Community First Bancshares, MHC, the top tier mutual holding company of Community First Bancshares, Inc. Community First Bancshares, Inc. was the former mid-tier holding company for the Bank (formerly named Newton Federal Bank). Prior to completion of the Conversion, approximately 54 % of the shares of common stock of Community First Bancshares, Inc. were owned by Community First Bancshares, MHC. In conjunction with the Conversion, Community First Bancshares, Inc. was merged into Affinity Bancshares, Inc. (and ceased to exist) and Affinity Bancshares, Inc. became its successor holding company for Newton Federal Bank. Basis of Presentation The accompanying unaudited consolidated financial statements and notes thereto contain all adjustments, consisting only of normal recurring adjustments, necessary to present fairly, in accordance with accounting principles generally accepted in the United States of America (“GAAP”), the financial position of the Company as of September 30, 2023 and the results of its operations and its cash flows for the periods presented. The interim consolidated financial information should be read in conjunction with the audited financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. The results of operations for the three and nine months ended September 30, 2023 are not necessarily indicative of the results to be expected for a full year or for any other period. Use of Estimates – The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reported period. Actual results could differ from those estimates. Material estimates common to the banking industry that are particularly susceptible to significant change in the near term include, but are not limited to, the determination of the allowance for credit losses, the valuation of other real estate acquired in connection with foreclosure or in satisfaction of loans and valuation allowances associated with the realization of deferred tax assets, which are based on future taxable income. Summary of Significant Accounting Policie s – The accounting and reporting policies of the Company conform to GAAP and general practices within the banking industry. There have been no material changes or developments in the application of principles or in our evaluation of the accounting estimates and the underlying assumptions or methodologies that we believe to be Critical Accounting Policies as disclosed in the Company’s financial statements for the year ended December 31, 2022 included in the Company’s Form 10-K. Earnings per Share Basic earnings per common share are calculated by dividing net income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted earnings per common share are calculated by dividing net income available to common shareholders by the weighted average number of shares adjusted for the dilutive effect of common stock awards (outstanding stock options), if any. Presented below are the calculations for basic and diluted earnings per common share. Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (Dollars in thousands except per share data) Net income $ 1,623 $ 1,861 $ 4,935 $ 5,435 Weighted average common shares outstanding 6,417,754 6,652,811 6,500,562 6,683,052 Effect of dilutive common stock awards 75,360 99,341 75,361 99,341 Diluted weighted average common shares outstanding 6,493,114 6,752,152 6,575,923 6,782,393 Basic earnings per common share $ 0.25 $ 0.28 $ 0.76 $ 0.81 Diluted earnings per common share* 0.25 $ 0.27 0.75 0.80 * Cumulative quarterly per share performance may not equal annual per share totals due to the effects of the amount and timing of capital increases. When computing earnings per share for an interim period, the denominator is based on the weighted average shares outstanding during the interim period, and not on an annualized weighted average basis. Accordingly, the sum of the earnings per share data for the quarters will not necessarily equal the year-to-date earnings per share data. There were 284,454 anti-dilutive options for the three and nine months ended September 30, 2023 and 234,954 anti-dilutive options for the three and nine months ended September 30, 2022 . Adoption of New Accounting Standards On January 1, 2023 , the Company adopted Accounting Standards Update ("ASU") 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, as amended, which replaces the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss (CECL) methodology. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including held-to-maturity securities. It also applies to off-balance sheet credit exposures. In addition, Accounting Standard Codification ("ASC") 326 made changes to the accounting for available-for-sale securities. One such change is to require credit losses to be presented as an allowance rather than as a write-down on available-for-sale securities management does not intend to sell or believes that it is more likely than not they will be required to sell. The Company adopted ASC 326 using the modified retrospective method for all financial assets measured at amortized cost and off-balance-sheet credit exposures. Results for reporting periods beginning after January 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP. The Company adopted this ASU on January 1, 2023, and recorded a one-time entry to retained earnings of $ 460,000 , net of tax ($ 437,000 related to credit losses for unfunded commitments and $ 23,000 related to credit losses for securities held-to-maturity). In January 2023, the Company adopted ASU 2022-02, “Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures” (“ASU 2022-02”), which eliminated the accounting guidance for troubled debt restructurings (“TDRs”) while enhancing disclosure requirements for certain loan refinancing and restructurings by creditors when a borrower is experiencing financial difficulty. This guidance was applied on a prospective basis. Upon adoption of this guidance, the Bank no longer establishes a specific reserve for modifications to borrowers experiencing financial difficulty. Instead, these modifications are included in their respective cohort and a historical loss rate is applied to the current loan balance to arrive at the quantitative baseline portion of the Allowance. Adoption of this ASU did not have a material impact on the Company’s consolidated financial statements; however, it resulted in new disclosures. See Note 3 for the new disclosures. Allowance for Credit Losses ("ACL") - Loans The CECL framework requires an estimate of expected credit losses for the remaining estimated life of the financial asset using historical experience, current conditions, and reasonable and supportable forecasts. The following discussion provides a description of the methodology applied to calculate the ACL under CECL. The ACL is a valuation account that is deducted from the loans' amortized cost basis to present the net amount expected to be collected on the loans. Loans are charged off against the ACL when management believes the uncollectibility of a loan balance is confirmed. Accrued interest receivable is excluded from the estimate of credit losses. Commercial (secured by real estate - owner occupied)- Loans in this category are susceptible to business failure and general economic conditions. Commercial (secured by real estate - non-owner occupied) - Common risks for this loan category are declines in general economic conditions, declines in real estate value, declines in occupancy rates, and lack of suitable alternative use for the property. Commercial & industrial - Risks to this loan category include the inability to monitor the condition of the collateral, which often consists of inventory, accounts receivable and other non-real estate assets. Equipment and inventory obsolescence can also pose a risk. Declines in general economic conditions and other events can cause cash flows to fall to levels insufficient to service debt. Consumer installment - Risks common to consumer direct loans include unemployment and changes in local economic conditions as well as the inability to monitor collateral consisting of personal property. When management determines that foreclosure is probable or when the borrower is experiencing financial difficulty at the reporting date and repayment is expected to be provided substantially through the operation or sale of the collateral, expected credit losses are based on the fair value of the collateral at the reporting date, adjusted for selling costs as appropriate. When the discounted cash flow method is used to determine the ACL, management adjusts the effective interest rate used to discount expected cash flows to incorporate expected prepayments. The ACL on a TDR is measured using the same method as all other loans held for investment, except that the original interest rate is used to discount the expected cash flows, not the rate specified within the restructuring. Allowance for Credit Losses - Off-Balance Sheet Credit Exposures The Bank estimates expected credit losses over the contractual period in which the Bank is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Bank. The allowance for credit losses on off-balance sheet credit exposures is adjusted through provision for credit loss expense. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life. The estimate is influenced by historical loss experience, adjusted for current risk characteristics, and economic forecasts. Allowance for Credit Losses - Investment Securities Available-for-Sale For available-for-sale securities in an unrealized loss position, the Bank first assesses whether it intends to sell, or it is more likely than not that it will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security's amortized cost basis is written down to fair value through income. For available-for-sale securities that do not meet the aforementioned criteria, the Bank evaluates whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the securities by a rating agency, and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected form the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in the comprehensive income. Accrued interest receivable on available-for-sale securities is excluded from the estimate of credit losses. The guidance under ASC Topic 326 had no impact on the Bank’s available-for-sale debt securities at January 1, or September 30, 2023. Changes in the allowance for credit losses are recorded as provision of (or reversal of) credit loss expense. Losses are charged against the allowance when management believes the uncollectibility of an available-for-sale security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Allowance for Credit Losses - Investment Securities Held-to-Maturity Management measures expected credit losses on held-to-maturity securities on a collective basis by major security type. The estimate of expected credit losses considers historical credit loss information that is adjusted for current conditions and reasonable and supportable forecasts. Accrued interest receivable on held-to-maturity debt securities is excluded from the estimate of credit losses. Management classifies the held-to-maturity portfolio into the following major security types: U.S. Treasuries, government agency mortgage-backed, and corporate securities. The U.S. Treasuries and the Government agency mortgage-backed securities held by the Bank are issues by U.S. government entities and agencies. These securities are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major rating agencies, and have a long history of no credit losses. The corporate securities are comprised of investments in corporate bonds whose issuers are primarily banks. At September 30, 2023 , these securities are all rated as investment grade. |
Investment Securities
Investment Securities | 9 Months Ended |
Sep. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | (2) Investment Securities Investment securities available-for-sale at September 30, 2023 and December 31, 2022 are as follows: (in thousands) Amortized Gross Gross Estimated September 30, 2023 Cost Gains Losses Fair Value U.S. Treasury securities $ 6,132 $ — $ ( 841 ) $ 5,291 Municipal securities - tax exempt 528 — ( 136 ) 392 Municipal securities - taxable 2,530 — ( 524 ) 2,006 U. S. Government sponsored enterprises 11,837 — ( 3,772 ) 8,065 Government agency mortgage-backed securities 19,063 — ( 3,585 ) 15,478 Corporate securities 18,309 26 ( 1,555 ) 16,780 Total $ 58,399 $ 26 $ ( 10,413 ) $ 48,012 December 31, 2022 U.S. Treasury securities $ 6,084 $ — $ ( 776 ) $ 5,308 Municipal securities - tax exempt 533 — ( 96 ) 437 Municipal securities - taxable 2,529 — ( 485 ) 2,044 U. S. Government sponsored enterprises 11,837 — ( 3,499 ) 8,338 Government agency mortgage-backed securities 20,555 — ( 3,053 ) 17,502 Corporate securities 13,571 5 ( 1,005 ) 12,571 Total $ 55,109 $ 5 $ ( 8,914 ) $ 46,200 Investment securities held-to-maturity at September 30, 2023 and December 31, 2022 are as follows: (in thousands) Amortized Gross Gross Estimated Allowance for September 30, 2023 Cost Gains Losses Fair Value Credit Losses U.S. Treasury securities $ 999 $ — $ ( 10 ) $ 989 $ — Government agency mortgage-backed securities 812 — ( 109 ) 703 — Corporate securities 32,414 4 ( 1,185 ) 31,233 ( 42 ) Total $ 34,225 $ 4 $ ( 1,304 ) $ 32,925 $ ( 42 ) December 31, 2022 U.S. Treasury securities $ 998 $ — $ — $ 998 $ — Government agency mortgage-backed securities 837 — ( 13 ) 824 — Corporate securities 24,692 4 ( 267 ) 24,429 — Total $ 26,527 $ 4 $ ( 280 ) $ 26,251 $ — The Bank recorded $ 32,000 of provision for credit losses on held-to-maturity securities on January 1, 2023 upon adoption of ASC 326, and recorded an additional provision for credit losses for the three and nine months ended September 30, 2023 of $ 0 and $ 10,000 for held-to-maturity securities, respectively. Investment securities available-for-sale in an unrealized loss position at September 30, 2023 and December 31, 2022 are as follows: (in thousands) Less Than 12 Months 12 Months or More Total September 30, 2023 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. Treasury securities $ 994 $ ( 2 ) $ 4,297 $ ( 839 ) $ 5,291 $ ( 841 ) Municipal securities - tax exempt — — 392 ( 136 ) 392 ( 136 ) Municipal securities - taxable — — 2,006 ( 524 ) 2,006 ( 524 ) U. S. Government sponsored enterprises — — 8,065 ( 3,772 ) 8,065 ( 3,772 ) Government agency mortgage-backed securities — — 15,478 ( 3,585 ) 15,478 ( 3,585 ) Corporate securities 6,953 ( 237 ) 8,233 ( 1,318 ) 15,186 ( 1,555 ) Total $ 7,947 $ ( 239 ) $ 38,471 $ ( 10,174 ) $ 46,418 $ ( 10,413 ) December 31, 2022 U.S. Treasury securities $ — $ — $ 4,331 $ ( 776 ) $ 4,331 $ ( 776 ) Municipal securities - tax exempt — — 437 ( 96 ) 437 ( 96 ) Municipal securities - taxable 452 ( 32 ) 1,592 ( 453 ) 2,044 ( 485 ) U. S. Government sponsored enterprises — — 8,338 ( 3,499 ) 8,338 ( 3,499 ) Government agency mortgage-backed securities 5,598 ( 452 ) 11,904 ( 2,601 ) 17,502 ( 3,053 ) Corporate securities 4,541 ( 324 ) 5,466 ( 681 ) 10,007 ( 1,005 ) Total $ 10,591 $ ( 808 ) $ 32,068 $ ( 8,106 ) $ 42,659 $ ( 8,914 ) There were six available-for-sale securities in an unrealized loss position totaling $ 239,000 as of September 30, 2023 for less than 12 months. There were 65 available-for-sale securities in an unrealized loss position for 12 months or greater totaling $ 10.2 million as of September 30, 2023 . The unrealized losses on the debt securities arose due to changing interest rates and market conditions and are considered to be temporary because of acceptable investment grades and are reviewed regularly. Four of the securities are agency bonds and six are U.S. Treasury bonds, so all of these are direct obligations of the U.S. Government. Thirty-nine of the securities are mortgage backed bonds that have the direct or implied backing of the U.S. Government. Four of the bonds are municipal securities and the remaining 18 securities are corporate securities that are either trust preferred securities or subordinated debentures where the Bank performs a credit review regularly and such review has raised no concerns. Debt securities issued by U.S. government agencies, U.S. government-sponsored enterprises ("GSEs"), and the U.S. Treasury, including notes and mortgage backed securities, accounted for the majority of the available-for-sale portfolio as of September 30, 2023, and the Bank expects no credit losses on these securities, given the explicit and implicit guarantees provided by the U.S. federal government. The available-for-sale portfolio also includes corporate securities, but are underwritten as loans with features that are typically found in commercial loans. Accordingly, the Bank monitors the credit quality of these corporate bonds through quarterly credit reviews to determine impairment, if any. The decline in fair value is attributable to changes in interest rates, and not credit quality, and the Bank does not have the intent to sell the U.S. government and agencies debt securities and the corporate securities and it is likely that it will not be required to sell the securities before their anticipated recovery, the Bank does not consider impairments on these securities to be credit related as of September 30, 2023. There were 17 held-to-maturity securities in an unrealized loss position totaling $ 1.3 million as of September 30, 2023 for less than 12 months. There were no held-to-maturity securities in an unrealized loss position greater than 12 months as of September 30, 2023. The unrealized losses on the debt securities arose due to changing interest rates and market conditions and are considered to be temporary because of acceptable investment grades and are reviewed regularly. One security is a U.S. Treasury bonds, so it is a direct obligations of the U.S. Government. One security is a mortgage-backed security of a U.S. Government sponsored agency that has the implied backing of the U.S. Government. Fifteen are subordinated debentures of banks where the Bank performs a credit review quarterly and such reviews have raised no concerns. Corporate securities account for the majority of the held-to-maturity portfolio as of September 30, 2023. As stated above, these corporate securities are accounted for as securities, but are underwritten as loans with features that are typically found in commercial loans. Accordingly, the Bank monitors the credit quality of these corporate bonds through quarterly credit reviews to determine impairment, if any. At September 30, 2023 , these securities are all rated as investment grade and the $ 42,000 of allowance for credit losses associated with these securities was calculated using a Moody's report on the cumulative default rates of corporate issuers. The amortized cost and estimated fair value of investment securities available-for-sale and held-to-maturity at September 30, 2023, by contractual maturity, are shown below. Maturities of mortgage-backed securities will differ from contractual maturities because borrowers may have the right to call or prepay certain obligations with or without call or prepayment penalties. Therefore, these securities are not included in the maturity categories. (in thousands) Available-for-Sale Held-to-Maturity Amortized Estimated Amortized Estimated Cost Fair Value Cost Fair Value Within 1 year $ 996 $ 994 $ — $ — Greater than 1 to 5 years 6,931 6,452 17,756 17,359 Greater than 5 to 10 years 19,315 16,778 15,657 14,863 Greater than 10 years 12,094 8,310 — — 39,336 32,534 33,413 32,222 Government agency mortgage-backed securities 19,063 15,478 812 703 Total $ 58,399 $ 48,012 $ 34,225 $ 32,925 There were no sales of investment securities available-for-sale during the three and nine months ended September 30, 2023 or 2022. Available-for-sale securities with a carrying value of approximately $ 4.1 million and $ 4.7 million were pledged to secure public deposits at September 30, 2023 and December 31, 2022 , respectively. |
Loans and Allowance for Credit
Loans and Allowance for Credit Losses | 9 Months Ended |
Sep. 30, 2023 | |
Receivables [Abstract] | |
Loans and Allowance for Credit Losses | (3) Loans and Allowance for Credit Losses Major classifications of loans, by collateral code, at September 30, 2023 and December 31, 2022 are summarized as follows: (in thousands) September 30, 2023 December 31, 2022 Commercial (secured by real estate - owner occupied) $ 159,958 $ 162,989 Commercial (secured by real estate - non-owner occupied) 140,287 135,720 Commercial and industrial 143,371 147,775 Construction, land and acquisition & development 46,626 37,158 Residential mortgage 1-4 family 55,558 51,324 Consumer installment 115,216 111,268 Total 661,016 646,234 Less allowance for credit losses ( 9,211 ) ( 9,325 ) Total loans, net $ 651,805 $ 636,909 The Bank grants loans and extensions of credit to individuals and a variety of firms and corporations located primarily in the Atlanta, Georgia MSA. A substantial portion of the loan portfolio is collateralized by improved and unimproved real estate and is dependent upon the real estate market. The Bank also conducts lending within professional markets, with a primary focus on the dental industry in Georgia and adjoining states. The majority of these loans are commercial and industrial credits for practice acquisitions and equipment financing with the remainder being owner-occupied real estate. Accrued interest on loans totaled $ 1.9 million on September 30, 2023 and $ 1.6 million on December 31, 2022 and is included in other assets on the consolidated balance sheet. The adoption of ASU 2016-13 Financial Instruments - Credit Losses (Topic 326) did not result in an increase to allowance for credit losses for loans for the Bank. The following table presents the balance in the allowance for credit losses and the recorded investment in loans by portfolio segment and based on impairment method as of and for the three and nine months ended September 30, 2023 and as of December 31, 2022: (in thousands) September 30, 2023 Commercial Commercial Commercial Construction, Residential Consumer Unallocated Total Allowance for credit losses: Beginning balance December 31, 2022 $ 2,403 $ 2,079 $ 2,292 $ 487 $ 345 $ 1,675 $ 44 $ 9,325 Provision ( 996 ) ( 819 ) ( 1,369 ) 547 1,183 780 674 - Charge-offs ( 4 ) — ( 3 ) — — ( 212 ) — ( 219 ) Recoveries 8 — 1 — 49 47 — 105 Ending balance $ 1,411 $ 1,260 $ 921 $ 1,034 $ 1,577 $ 2,290 $ 718 $ 9,211 Allowance for credit losses: Beginning balance June 30, 2023 $ 1,492 $ 1,331 $ 1,116 $ 1,010 $ 1,475 $ 2,321 $ 507 $ 9,252 Provision ( 81 ) ( 71 ) ( 196 ) 24 89 24 211 - Charge-offs — — — — — ( 64 ) — ( 64 ) Recoveries — — 1 — 13 9 — 23 Ending balance $ 1,411 $ 1,260 $ 921 $ 1,034 $ 1,577 $ 2,290 $ 718 $ 9,211 December 31, 2022 Allowance for credit losses: Beginning balance $ 2,701 $ 1,980 $ 2,242 $ 162 $ 502 $ 969 $ 3 $ 8,559 Provision ( 421 ) 99 55 325 ( 196 ) 801 41 704 Charge-offs — — ( 26 ) — — ( 123 ) — ( 149 ) Recoveries 123 — 21 — 39 28 — 211 Ending balance $ 2,403 $ 2,079 $ 2,292 $ 487 $ 345 $ 1,675 $ 44 $ 9,325 Ending allowance attributable to Individually evaluated $ 85 $ 1 $ — $ — $ 4 $ — $ — $ 90 Collectively evaluated 2,318 2,078 2,292 487 341 1,675 44 9,235 Total ending allowance $ 2,403 $ 2,079 $ 2,292 $ 487 $ 345 $ 1,675 $ 44 $ 9,325 Loans: Individually evaluated $ 85 $ 3,265 $ — $ — $ 2,399 $ — $ — $ 5,749 Collectively evaluated 162,904 132,455 147,775 37,158 48,925 111,268 — 640,485 Total loans $ 162,989 $ 135,720 $ 147,775 $ 37,158 $ 51,324 $ 111,268 $ $ 646,234 The Bank recorded a provision for credit losses for unfunded commitments of $ 586,000 on January 1, 2023 upon adoption of ASC 326. A release on unfunded commitments for the nine months ended September 30, 2023 of $ 3,000 was recorded, and is included in other liabilities on the consolidated balance sheet. The Bank also recorded a provision of $ 10,000 for credit losses for held-to-maturity securities for a net $ 7,000 recorded of provision for credit losses for the nine months ended September 30, 2023 . No provision for credit losses was recorded for the three months ended September 30, 2023. The Bank individually evaluates all loans for impairment that are on nonaccrual status or are rated substandard (as described below). Additionally, all loan modifications to a borrower with financial difficulty are evaluated for impairment. A loan is considered impaired when, based on current events and circumstances, it is probable that all amounts due according to the contractual terms of the loan will not be collected. Impaired loans are measured based on the present value of expected future cash flows, discounted at the loan’s effective interest rate, at the loan’s observable market price, or the fair value of the collateral if the loan is collateral dependent. Interest payments received on impaired loans are applied as a reduction of the outstanding principal balance. Collateral-Dependent Loans , and we had $ 4.6 million of collateral-dependent loans without an allowance and no collateral-dependent loans with an allowance at September 30, 2023. Impaired loans at December 31, 2022 were as follows: (in thousands) December 31, 2022 Recorded Unpaid Allocated Average Interest With no related allowance recorded: Commercial (secured by real estate - owner occupied) $ — $ — $ — $ — $ — Commercial (secured by real estate - non-owner occupied) 3,089 3,089 — 3,145 — Commercial and industrial — — — — — Construction, land and acquisition & development — — — — — Residential mortgage 1,526 1,526 — 1,596 5 Consumer installment — — — — — 4,615 4,615 — 4,741 5 With an allowance recorded: Commercial (secured by real estate - owner occupied) 85 85 85 90 4 Commercial (secured by real estate - non-owner occupied) 176 176 1 182 8 Commercial and industrial — — — — — Construction, land and acquisition & development — — — — — Residential mortgage 873 873 4 907 22 Consumer installment — — — — — 1,134 1,134 90 1,179 34 Total impaired loans $ 5,749 $ 5,749 $ 90 $ 5,920 $ 39 The following table presents the aging of the recorded investment in past due loans, as well as the recorded investment in nonaccrual loans, as of September 30, 2023 and December 31, 2022 by class of loans: (in thousands) September 30, 2023 30 -59 60- 89 90 Days Total Accruing Loans Nonaccrual with Allowance Nonaccrual without Allowance Current Total Commercial (secured by real estate - owner occupied) $ — $ — $ — $ — $ — $ — $ 159,958 $ 159,958 Commercial (secured by real estate - non-owner occupied) — — — — — 4,777 135,510 140,287 Commercial and industrial — — — — — — 143,371 143,371 Construction, land and acquisition & — — — — — — 46,626 46,626 Residential mortgage 984 - - 984 - 2,570 52,004 55,558 Consumer installment 83 — — 83 — 290 114,843 115,216 Total $ 1,067 $ — $ — $ 1,067 $ — $ 7,637 $ 652,312 $ 661,016 December 31, 2022 30 -59 60- 89 90 Days Total Accruing Loans Nonaccrual Current Total Commercial (secured by real estate - owner occupied) $ — $ — $ — $ — $ 85 $ 162,904 $ 162,989 Commercial (secured by real estate - non-owner occupied) — — — — 3,312 132,408 135,720 Commercial and industrial — — — — 3 147,772 147,775 Construction, land and acquisition & 85 — — 85 — 37,073 37,158 Residential mortgage 2,341 533 249 3,123 3,185 45,016 51,324 Consumer installment 571 59 — 630 135 110,503 111,268 Total $ 2,997 $ 592 $ 249 $ 3,838 $ 6,720 $ 635,676 $ 646,234 On January 1, 2023, the Bank adopted ASU 2022-02, which eliminated the accounting guidance for TDRs by creditors and enhanced the disclosure requirements for certain loan modifications to borrowers experiencing financial difficulty. There was one loan that was both experiencing financial difficulty and was modified during the nine months ended September 30, 2023. There was one new residential mortgage loan modification to a borrower with financial difficulty for $ 26,000 during the nine months ended September 30, 2023 . The maturity date was extended. No loan modifications made to a borrower with financial difficulty subsequently defaulted during the nine months ended September 30, 2023. The Bank categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information and current economic trends, among other factors. The Bank analyzes loans individually by classifying the loans as to credit risk. This analysis is performed on a continuous basis. The Bank uses the following definitions for its risk ratings: Special Mention. Loans have potential weaknesses that may, if not corrected, weaken or inadequately protect the Bank's credit position at some future date. Weaknesses are generally the result of deviation from prudent lending practices, such as over advances on collateral. Credits in this category should, within a 12-month period, move to Pass if improved or drop to Substandard if poor trends continue. Substandard. Inadequately protected by the current net worth and paying capacity of the obligor or by the collateral pledged, if any. Loans have a well-defined weakness or weaknesses such as primary source of repayment is gone or severely impaired or cash flow is insufficient to reduce debt. There is a distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. Doubtful. Loans have the same weaknesses as those classified Substandard, with the added characteristic that the weaknesses make collection or liquidation in full highly questionable and improbable. The likelihood of a loss on an asset or portion of an asset classified Doubtful is high. Loss. Loans considered uncollectible and of such little value that the continuance as a Bank asset is not warranted. This does not mean that the loan has no recovery or salvage value, but rather the asset should be charged off even though partial recovery may be possible in the future. Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be Pass rated loans. As of September 30, 2023 and December 31, 2022, and based on the most recent analysis performed, the risk category and year of origination of loans by class of loans is as follows: (in thousands) 2023 2022 2021 2020 2019 Prior Revolvers Total Pass Commercial (secured by real estate - owner occupied) $ 4,239 $ 28,079 $ 30,166 $ 23,411 $ 11,915 $ 53,082 $ 8,726 $ 159,618 Commercial (secured by real estate - non-owner occupied) 25,934 36,270 25,932 4,493 10,156 17,846 10,729 131,360 Commercial and industrial 17,836 22,111 28,494 15,849 17,743 27,950 13,388 143,371 Construction, land and acquisition & development 16,247 21,084 6,359 147 219 610 1,938 46,604 Residential mortgage 5,702 6,147 2,477 1,928 1,440 30,029 4,921 52,644 Consumer installment 34,341 51,590 19,639 5,818 2,451 289 654 114,782 Total pass 104,299 165,281 113,067 51,646 43,924 129,806 40,356 648,379 Special Mention Commercial (secured by real estate - owner occupied) — — — — — 340 — 340 Commercial (secured by real estate - non-owner occupied) — — 3,561 — — 543 — 4,104 Commercial and industrial — — — — — — — — Construction, land and acquisition & development — — — — — — — — Residential mortgage — — — — — 224 — 224 Consumer installment — 99 75 — 8 — — 182 Total special mention — 99 3,636 — 8 1,107 — 4,850 Substandard Commercial (secured by real estate - owner occupied) — — — — — — — — Commercial (secured by real estate - non-owner occupied) — — — — — 4,808 15 4,823 Commercial and industrial — — — — — — — — Construction, land and acquisition & development — — — 22 — — — 22 Residential mortgage — 205 109 110 118 2,148 — 2,690 Consumer installment — 79 146 6 21 — — 252 Total substandard — 284 255 138 139 6,956 15 7,787 Total $ 104,299 $ 165,664 $ 116,958 $ 51,784 $ 44,071 $ 137,869 $ 40,371 $ 661,016 Current year to date period gross write-offs Commercial (secured by real estate - owner occupied) $ — $ — $ — $ — $ — $ 4 $ — $ 4 Commercial (secured by real estate - non-owner occupied) — — — — — — — — Commercial and industrial — — — — — 3 — 3 Construction, land and acquisition & development — — — — — — — — Residential mortgage — — — — — — — — Consumer installment — 111 90 11 — — — 212 Total current period gross write-offs $ — $ 111 $ 90 $ 11 $ — $ 7 $ — $ 219 December 31, 2022 Pass Special Substandard Doubtful/ Total Commercial (secured by real estate - owner occupied) $ 162,541 $ 362 $ 86 $ — $ 162,989 Commercial (secured by real estate - non-owner occupied) 130,115 2,293 3,312 — 135,720 Commercial and industrial 147,772 — 3 — 147,775 Construction, land and acquisition & development 37,158 — — — 37,158 Residential mortgage 48,193 — 3,131 — 51,324 Consumer installment 111,049 84 135 — 111,268 Total $ 636,828 $ 2,739 $ 6,667 $ — $ 646,234 |
Intangible Assets
Intangible Assets | 9 Months Ended |
Sep. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | (4) Intangible Assets The core deposit premium intangible asset had a gross carrying amount of $ 1.9 million and accumulated amortization of $ 717,000 at September 30, 2023 . The core deposit premium intangible asset had a gross carrying amount of $ 1.9 million and accumulated amortization of $ 574,000 at December 31, 2022 . Aggregate amortization expense was $ 47,000 and $ 143,000 during for the three and nine months ended September 30, 2023 and 2022. Goodwill acquired through acquisition was $ 17.2 million at September 30, 2023 and 2022. No impairment loss was recognized during the nine months ended September 30, 2023 and 2022 . |
Deposits
Deposits | 9 Months Ended |
Sep. 30, 2023 | |
Deposits [Abstract] | |
Deposits | (5) Deposits The aggregate amounts of certificates of deposit of $250,000 or more, the standard FDIC deposit insurance coverage limit per depositor, were approximately $ 35.4 million at September 30, 2023 and $ 26.4 million at December 31, 2022 . Due to the FDIC insurance coverage rules and limits for a depositor's specific group of deposit accounts, it is important to note not all deposits in excess of $ 250,000 are uninsured. Brokered CDs totaled $ 107.3 million and had a weighted average rate of 4.87 % and a weighted average maturity of 31 months at September 30, 2023 and $ 34.9 million and had a weighted average rate of 4.50 % and a weighted average maturity of 34 months at December 31, 2022 . |
Borrowings
Borrowings | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Borrowings | (6) Borrowings The following FHLB advances, which required monthly or quarterly interest payments, were outstanding at September 30, 2023: Advance Date Advance Interest Rate Maturity Rate Call Feature 1/6/2023 $ 10,000,000 4.22 % 1/6/2026 Fixed N/A 1/6/2023 10,000,000 3.94 % 1/6/2028 Fixed N/A $ 20,000,000 There were FHLB advances totaling $ 10.0 million consisting of advances with a book value of $ 10.0 million and no fair value adjustment as of December 31, 2022. At September 30, 2023 and December 31, 2022 , the FHLB advances were collateralized by certain loans which totaled approximately $ 395.4 million and $ 384.4 million, and by the Company’s investment in FHLB stock which totaled approximately $ 1.5 million and $ 832,000 at September 30, 2023 and December 31, 2022 . Acquired FHLB advances totaling $ 49.0 million were paid off during the nine months ended September 30, 2022 . We were able to accrete to income the remaining $ 1.0 million fair value adjustment associated with these acquired advances, resulting in a reduction in interest expense for the nine months ended September 30, 2022. We also incurred $ 647,000 of prepayment penalties during the nine months ended September 30, 2022 in connection with the payoff of the acquired advances. The Company had one FHLB letter of credit of $ 12.5 million, used to collateralize public deposits, outstanding at both September 30, 2023 and December 31, 2022. The Company has Federal Funds unsecured lines of credit totaling $ 32.5 million. No amount was borrowed under these lines as of September 30, 2023. We also have a line of $ 70.9 million with the Federal Reserve Bank of Atlanta Discount Window secured by $ 102.5 million in loans. No amount was outstanding on the unsecured lines of credit or the Discount Window at September 30, 2023 |
Employee Stock Ownership Plan
Employee Stock Ownership Plan | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Employee Stock Ownership Plan | (7) Employee Stock Ownership Plan The Company sponsors an employee stock ownership plan (“ESOP”) that covers all employees who meet certain service requirements. The Company makes annual contributions to the ESOP in amounts as defined by the plan document. These contributions are used to pay debt service and purchase additional shares. Certain ESOP shares are pledged as collateral for debt. As the debt is repaid, shares are released from collateral and allocated to active employees, based on the proportion of debt service paid in the year. In 2017, the ESOP borrowed $ 3.0 million payable to the Company for the purpose of purchasing shares of the Company’s common stock. A total of 295,499 shares were purchased with the loan proceeds as part of the Company’s initial stock offering. In 2021, the ESOP borrowed $ 3.0 million payable to the Company for the purpose of purchasing additional shares of the Company’s common stock. A total of 225,721 shares were purchased with the loan proceeds as part of the Company’s second stock offering. Total ESOP expense for the three and nine months ended September 30, 2023 and 2022 was approximately $ 74,000 , $ 77,000 , $ 220,000 and $ 237,000 , respectively. The balance of the note payable of the ESOP was approximately $ 5.3 million at September 30, 2023 and December 31, 2022. Because the source of the loan payments is contributions received by the ESOP from the Company, the related note receivable is shown as a reduction of stockholders’ equity. As of September 30, 2023 and December 31, 2022 , 80,000 shares had been released. |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Additional General Disclosures [Abstract] | |
Stock-Based Compensation | (8) Stock-Based Compensation In 2018, shareholders approved the Company’s 2018 Equity Incentive Plan, which authorizes the issuance of up to 133,987 shares of common stock pursuant to restricted stock grants and up to 334,970 shares of common stock pursuant to the exercise of options. In May 2022, shareholders approved the Company’s 2022 Equity Incentive Plan, which authorizes the issuance of up to 148,060 shares of common stock pursuant to restricted stock grants and up to 370,150 shares of common stock pursuant to the exercise of options. A Black-Scholes model is utilized to estimate the fair value of stock option grants, while the market price of the Company’s stock at the date of grant is used to estimate the fair value of restricted stock awards. The weighted average assumptions used in the Black-Scholes model for valuing stock option grants during the nine months ended September 30, 2023 were as follows: dividend yield of 0 %, expected volatility of 27.58 %, risk-free interest rate of 3.84 %, expected average life of 7.13 , and weighted average per share fair value of options of $ 5.46 . A summary of the Company’s stock option activity is summarized below. Stock Options Option Shares Outstanding Weighted Average Exercise Price Weighted Average Remaining Life (Years) Aggregate Intrinsic Value (in thousands) Outstanding - December 31, 2022 484,519 $ 12.28 8.45 $ 1,522 Granted 57,500 14.40 Exercise of stock options* ( 8,753 ) 11.14 Outstanding - March 31, 2023 533,266 $ 12.21 8.06 $ 1,439 Exercisable - March 31, 2023 125,255 $ 9.78 6.53 $ 643 Granted — — Forfeited — — Outstanding - June 30, 2023 533,266 $ 12.21 7.81 $ 934 Exercisable - June 30, 2023 189,515 $ 10.06 6.50 $ 607 Granted 7,500 $ 13.51 Forfeited ( 8,000 ) 14.85 Outstanding - September 30, 2023 532,766 $ 12.19 7.57 $ 1,143 Exercisable - September 30, 2023 225,739 $ 10.81 6.64 $ 747 * The terms of the stock option agreements permit having a number of shares of stock withheld, the fair market value of which as of the date of exercise is sufficient to satisfy the exercise price and/or tax withholding requirements. All 2023 exercises of stock options were exercised in this manner. Intrinsic value represents the amount by which the fair market value of the underlying stock exceeds the exercise price of the stock options. A summary of the Company’s restricted stock activity is summarized below. Restricted Stock Restricted Shares Outstanding Weighted Average Grant Date Fair Value Outstanding - December 31, 2022 169,504 $ 11.97 Granted 12,400 14.40 Outstanding - March 31, 2023 181,904 $ 12.08 Vested* ( 27,147 ) 10.42 Outstanding - June 30, 2023 154,757 $ 12.08 Vested* ( 20,867 ) 14.85 Outstanding - September 30, 2023 133,890 $ 12.08 * The terms of the restricted stock agreements permit the surrender of shares to the Company upon vesting in order to satisfy applicable tax withholding requirements at the minimum statutory withholding rate, and accordingly, 1,666 and 3,417 shares were surrendered during the three and nine months ended September 30, 2023 . The Company recognized approximately $ 258,000 , $ 281,000 , $ 782,000 and $ 460,000 of stock-based compensation expense during the three months and nine months ended September 30, 2023 and 2022 respectively, associated with its common stock awards granted to directors and officers. As of September 30, 2023 , there was approximately $ 2.9 million of unrecognized compensation cost related to equity award grants. The cost is expected to be recognized over the weighted average remaining vesting period of approximately 2.34 years. |
Fair Value Measurements and Dis
Fair Value Measurements and Disclosures | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements and Disclosures | (9) Fair Value Measurements and Disclosures The Company utilizes fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. From time to time, the Company may be required to record at fair value other assets on a nonrecurring basis, such as impaired loans and other real estate owned. These nonrecurring fair value adjustments typically involve application of the lower of cost or market accounting or write-downs of individual assets. Additionally, the Company is required to disclose, but not record, the fair value of other financial instruments. Fair Value Hierarchy The Company groups assets and liabilities at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. These levels are: Level 1 – Valuation is based upon quoted prices for identical instruments traded in active markets. Level 2 – Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market. Level 3 – Valuation is generated from model-based techniques that use at least one significant assumption not observable in the market. These unobservable assumptions reflect estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques include use of option pricing models, discounted cash flow models and similar techniques. Following is a description of valuation methodologies used for assets and liabilities recorded at fair value. Cash and Cash Equivalents The carrying value of cash and cash equivalents is a reasonable estimate of fair value. Investment Securities Available-for-Sale Available-for-sale securities are recorded at market value. Fair value measurement is based upon quoted prices, if available. If quoted prices are not available, fair values are measured using independent pricing models or other model-based valuation techniques such as the present value of future cash flows, adjusted for the security’s credit rating, prepayment assumptions and other factors such as credit loss assumptions. Level 1 securities include those traded on an active exchange, such as the New York Stock Exchange, and U.S. Treasury securities that are traded by dealers or brokers in active over-the-counter market funds. Level 2 securities include mortgage-backed securities issued by government sponsored enterprises and state, county and municipal bonds. Securities classified as Level 3 include asset-backed securities in less liquid markets. Other Investments The carrying value of other investments includes FHLB stock and FNBB stock and approximates fair value. Loans The Company does not record loans at fair value on a recurring basis. However, from time to time, a loan is considered impaired and a specific reserve may be required to be established within the allowance for credit losses. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Once a loan is identified as individually impaired, management measures impairment in accordance with GAAP. The fair value of impaired loans is estimated using one of three methods, including collateral value, market value of similar debt, and discounted cash flows. Those impaired loans not requiring an allowance represent loans for which the fair value of the expected repayments or collateral exceed the recorded investments in such loans. In accordance with GAAP, impaired loans where an allowance is established based on the fair value of collateral require classification in the fair value hierarchy. When the fair value of the collateral is based on an observable market price, the Company records the impaired loan as nonrecurring Level 2. When an appraised value is used or an appraisal is not available or management determines the fair value of the collateral is further impaired below the appraised value and there is no observable market price, the Company records the impaired loan as nonrecurring Level 3. For disclosure purposes, the fair value of fixed rate loans which are not considered impaired is estimated by discounting the future cash flows using the current rates at which similar loans would be made to borrowers with similar credit ratings. For unimpaired variable rate loans, the carrying amount is a reasonable estimate of fair value for disclosure purposes. Other Real Estate Owned Other real estate properties are adjusted to fair value upon transfer of the loans to other real estate. Subsequently, other real estate assets are carried at fair value less estimated selling costs. Fair value is based upon independent market prices, appraised values of the collateral or management’s estimation of the value of the collateral. When the fair value of the collateral is based on an observable market price, the Bank records the other real estate as nonrecurring Level 2. When an appraised value is used or an appraisal is not available or management determines the fair value of the collateral is further impaired below the appraised value and there is no observable market price, the Bank records the other real estate asset as nonrecurring Level 3. Bank Owned Life Insurance The carrying value of the cash surrender value of life insurance reasonably approximates fair value. Deposits The fair value of savings accounts, interest bearing checking accounts, non-interest bearing checking accounts and market rate checking accounts is the amount payable on demand at the reporting date, while the fair value of fixed maturity certificates of deposit is estimated by discounting the future cash flows using current rates at which comparable certificates would be issued. FHLB Advances and Other Borrowings FHLB advances are carried at cost and the fair value is obtained from the Federal Home Loan Bank of Atlanta. Federal Funds Commitments to Extend Credit Commitments to extend credit are short-term and, therefore, the carrying value and the fair value are considered immaterial for disclosure. Assets Recorded at Fair Value on a Recurring Basis The Company’s only assets recorded at fair value on a recurring basis are available-for-sale securities that had fair values of approximately $ 48.0 million and $ 46.2 million at September 30, 2023 and December 31, 2022. They are classified as Level 2. Assets Recorded at Fair Value on a Nonrecurring Basis The Company may be required, from time to time, to measure certain assets at fair value on a nonrecurring basis in accordance with GAAP. These include assets that are measured at the lower of cost or market that were recognized at fair value below cost at the end of the period. Assets measured at fair value on a nonrecurring basis are included in the table below as of September 30, 2023 and December 31, 2022 (in thousands). September 30, 2023 Level 1 Level 2 Level 3 Total Other real estate owned $ — $ — $ 2,901 $ 2,901 Collateral dependent loans — — 4,600 4,600 Total assets at fair value $ — $ — $ 7,501 $ 7,501 December 31, 2022 Level 1 Level 2 Level 3 Total Other real estate owned $ — $ — $ 2,901 $ 2,901 Impaired loans — — 5,659 5,659 Total assets at fair value $ — $ — $ 8,560 $ 8,560 The carrying amounts and estimated fair values (in thousands) of the Company’s financial instruments at September 30, 2023 and December 31, 2022 are as follows: September 30, 2023 December 31, 2022 Carrying Estimated Carrying Estimated Amount Fair Value Amount Fair Value Financial assets: Cash and cash equivalents $ 61,503 $ 61,503 $ 26,324 $ 26,324 Investment securities available-for-sale 48,012 48,012 46,200 46,200 Investment securities held-to-maturity 34,183 32,925 26,527 26,251 Other investments 4,885 4,885 1,082 1,082 Loans, net 651,805 629,318 636,909 611,687 Bank owned life insurance 15,991 15,991 15,724 15,724 Financial liabilities: Deposits 709,045 706,468 657,172 653,577 FHLB advances and other borrowings 20,000 20,374 10,025 10,025 Limitations Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument. Because no market exists for a significant portion of the Company’s financial instruments, fair value estimates are based on many judgments. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. Fair value estimates are based on existing on and off-balance sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Significant assets and liabilities that are not considered financial instruments include deferred income taxes and premises and equipment. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimates. |
Nature of Operations (Policies)
Nature of Operations (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited consolidated financial statements and notes thereto contain all adjustments, consisting only of normal recurring adjustments, necessary to present fairly, in accordance with accounting principles generally accepted in the United States of America (“GAAP”), the financial position of the Company as of September 30, 2023 and the results of its operations and its cash flows for the periods presented. The interim consolidated financial information should be read in conjunction with the audited financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. The results of operations for the three and nine months ended September 30, 2023 are not necessarily indicative of the results to be expected for a full year or for any other period. Use of Estimates – The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reported period. Actual results could differ from those estimates. Material estimates common to the banking industry that are particularly susceptible to significant change in the near term include, but are not limited to, the determination of the allowance for credit losses, the valuation of other real estate acquired in connection with foreclosure or in satisfaction of loans and valuation allowances associated with the realization of deferred tax assets, which are based on future taxable income. Summary of Significant Accounting Policie s – The accounting and reporting policies of the Company conform to GAAP and general practices within the banking industry. There have been no material changes or developments in the application of principles or in our evaluation of the accounting estimates and the underlying assumptions or methodologies that we believe to be Critical Accounting Policies as disclosed in the Company’s financial statements for the year ended December 31, 2022 included in the Company’s Form 10-K. |
Use of Estimates | Use of Estimates – The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reported period. Actual results could differ from those estimates. Material estimates common to the banking industry that are particularly susceptible to significant change in the near term include, but are not limited to, the determination of the allowance for credit losses, the valuation of other real estate acquired in connection with foreclosure or in satisfaction of loans and valuation allowances associated with the realization of deferred tax assets, which are based on future taxable income. |
Earnings Per Share | Earnings per Share Basic earnings per common share are calculated by dividing net income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted earnings per common share are calculated by dividing net income available to common shareholders by the weighted average number of shares adjusted for the dilutive effect of common stock awards (outstanding stock options), if any. Presented below are the calculations for basic and diluted earnings per common share. Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (Dollars in thousands except per share data) Net income $ 1,623 $ 1,861 $ 4,935 $ 5,435 Weighted average common shares outstanding 6,417,754 6,652,811 6,500,562 6,683,052 Effect of dilutive common stock awards 75,360 99,341 75,361 99,341 Diluted weighted average common shares outstanding 6,493,114 6,752,152 6,575,923 6,782,393 Basic earnings per common share $ 0.25 $ 0.28 $ 0.76 $ 0.81 Diluted earnings per common share* 0.25 $ 0.27 0.75 0.80 * Cumulative quarterly per share performance may not equal annual per share totals due to the effects of the amount and timing of capital increases. When computing earnings per share for an interim period, the denominator is based on the weighted average shares outstanding during the interim period, and not on an annualized weighted average basis. Accordingly, the sum of the earnings per share data for the quarters will not necessarily equal the year-to-date earnings per share data. There were 284,454 anti-dilutive options for the three and nine months ended September 30, 2023 and 234,954 anti-dilutive options for the three and nine months ended September 30, 2022 . |
Adoption of New Accounting Standards | Adoption of New Accounting Standards On January 1, 2023 , the Company adopted Accounting Standards Update ("ASU") 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, as amended, which replaces the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss (CECL) methodology. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including held-to-maturity securities. It also applies to off-balance sheet credit exposures. In addition, Accounting Standard Codification ("ASC") 326 made changes to the accounting for available-for-sale securities. One such change is to require credit losses to be presented as an allowance rather than as a write-down on available-for-sale securities management does not intend to sell or believes that it is more likely than not they will be required to sell. The Company adopted ASC 326 using the modified retrospective method for all financial assets measured at amortized cost and off-balance-sheet credit exposures. Results for reporting periods beginning after January 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP. The Company adopted this ASU on January 1, 2023, and recorded a one-time entry to retained earnings of $ 460,000 , net of tax ($ 437,000 related to credit losses for unfunded commitments and $ 23,000 related to credit losses for securities held-to-maturity). In January 2023, the Company adopted ASU 2022-02, “Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures” (“ASU 2022-02”), which eliminated the accounting guidance for troubled debt restructurings (“TDRs”) while enhancing disclosure requirements for certain loan refinancing and restructurings by creditors when a borrower is experiencing financial difficulty. This guidance was applied on a prospective basis. Upon adoption of this guidance, the Bank no longer establishes a specific reserve for modifications to borrowers experiencing financial difficulty. Instead, these modifications are included in their respective cohort and a historical loss rate is applied to the current loan balance to arrive at the quantitative baseline portion of the Allowance. Adoption of this ASU did not have a material impact on the Company’s consolidated financial statements; however, it resulted in new disclosures. See Note 3 for the new disclosures. |
Allowance for Credit Losses ("ACL") - Loans | Allowance for Credit Losses ("ACL") - Loans The CECL framework requires an estimate of expected credit losses for the remaining estimated life of the financial asset using historical experience, current conditions, and reasonable and supportable forecasts. The following discussion provides a description of the methodology applied to calculate the ACL under CECL. The ACL is a valuation account that is deducted from the loans' amortized cost basis to present the net amount expected to be collected on the loans. Loans are charged off against the ACL when management believes the uncollectibility of a loan balance is confirmed. Accrued interest receivable is excluded from the estimate of credit losses. Commercial (secured by real estate - owner occupied)- Loans in this category are susceptible to business failure and general economic conditions. Commercial (secured by real estate - non-owner occupied) - Common risks for this loan category are declines in general economic conditions, declines in real estate value, declines in occupancy rates, and lack of suitable alternative use for the property. Commercial & industrial - Risks to this loan category include the inability to monitor the condition of the collateral, which often consists of inventory, accounts receivable and other non-real estate assets. Equipment and inventory obsolescence can also pose a risk. Declines in general economic conditions and other events can cause cash flows to fall to levels insufficient to service debt. Consumer installment - Risks common to consumer direct loans include unemployment and changes in local economic conditions as well as the inability to monitor collateral consisting of personal property. When management determines that foreclosure is probable or when the borrower is experiencing financial difficulty at the reporting date and repayment is expected to be provided substantially through the operation or sale of the collateral, expected credit losses are based on the fair value of the collateral at the reporting date, adjusted for selling costs as appropriate. When the discounted cash flow method is used to determine the ACL, management adjusts the effective interest rate used to discount expected cash flows to incorporate expected prepayments. The ACL on a TDR is measured using the same method as all other loans held for investment, except that the original interest rate is used to discount the expected cash flows, not the rate specified within the restructuring. |
Allowance for Credit Losses - Off-Balance Sheet Credit Exposures | Allowance for Credit Losses - Off-Balance Sheet Credit Exposures The Bank estimates expected credit losses over the contractual period in which the Bank is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Bank. The allowance for credit losses on off-balance sheet credit exposures is adjusted through provision for credit loss expense. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life. The estimate is influenced by historical loss experience, adjusted for current risk characteristics, and economic forecasts. |
Allowance for Credit Losses - Investment Securities Available-for-Sale | Allowance for Credit Losses - Investment Securities Available-for-Sale For available-for-sale securities in an unrealized loss position, the Bank first assesses whether it intends to sell, or it is more likely than not that it will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security's amortized cost basis is written down to fair value through income. For available-for-sale securities that do not meet the aforementioned criteria, the Bank evaluates whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the securities by a rating agency, and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected form the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in the comprehensive income. Accrued interest receivable on available-for-sale securities is excluded from the estimate of credit losses. The guidance under ASC Topic 326 had no impact on the Bank’s available-for-sale debt securities at January 1, or September 30, 2023. Changes in the allowance for credit losses are recorded as provision of (or reversal of) credit loss expense. Losses are charged against the allowance when management believes the uncollectibility of an available-for-sale security is confirmed or when either of the criteria regarding intent or requirement to sell is met. |
Allowance for Credit Losses - Investment Securities Held-to-Maturity | Allowance for Credit Losses - Investment Securities Held-to-Maturity Management measures expected credit losses on held-to-maturity securities on a collective basis by major security type. The estimate of expected credit losses considers historical credit loss information that is adjusted for current conditions and reasonable and supportable forecasts. Accrued interest receivable on held-to-maturity debt securities is excluded from the estimate of credit losses. Management classifies the held-to-maturity portfolio into the following major security types: U.S. Treasuries, government agency mortgage-backed, and corporate securities. The U.S. Treasuries and the Government agency mortgage-backed securities held by the Bank are issues by U.S. government entities and agencies. These securities are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major rating agencies, and have a long history of no credit losses. The corporate securities are comprised of investments in corporate bonds whose issuers are primarily banks. At September 30, 2023 , these securities are all rated as investment grade. |
Nature of Operations (Tables)
Nature of Operations (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Schedule of Calculations for Basic and Diluted Earnings Per Common Share | Presented below are the calculations for basic and diluted earnings per common share. Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (Dollars in thousands except per share data) Net income $ 1,623 $ 1,861 $ 4,935 $ 5,435 Weighted average common shares outstanding 6,417,754 6,652,811 6,500,562 6,683,052 Effect of dilutive common stock awards 75,360 99,341 75,361 99,341 Diluted weighted average common shares outstanding 6,493,114 6,752,152 6,575,923 6,782,393 Basic earnings per common share $ 0.25 $ 0.28 $ 0.76 $ 0.81 Diluted earnings per common share* 0.25 $ 0.27 0.75 0.80 * Cumulative quarterly per share performance may not equal annual per share totals due to the effects of the amount and timing of capital increases. When computing earnings per share for an interim period, the denominator is based on the weighted average shares outstanding during the interim period, and not on an annualized weighted average basis. Accordingly, the sum of the earnings per share data for the quarters will not necessarily equal the year-to-date earnings per share data. |
Investment Securities (Tables)
Investment Securities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Investment Securities Available-for-Sale | Investment securities available-for-sale at September 30, 2023 and December 31, 2022 are as follows: (in thousands) Amortized Gross Gross Estimated September 30, 2023 Cost Gains Losses Fair Value U.S. Treasury securities $ 6,132 $ — $ ( 841 ) $ 5,291 Municipal securities - tax exempt 528 — ( 136 ) 392 Municipal securities - taxable 2,530 — ( 524 ) 2,006 U. S. Government sponsored enterprises 11,837 — ( 3,772 ) 8,065 Government agency mortgage-backed securities 19,063 — ( 3,585 ) 15,478 Corporate securities 18,309 26 ( 1,555 ) 16,780 Total $ 58,399 $ 26 $ ( 10,413 ) $ 48,012 December 31, 2022 U.S. Treasury securities $ 6,084 $ — $ ( 776 ) $ 5,308 Municipal securities - tax exempt 533 — ( 96 ) 437 Municipal securities - taxable 2,529 — ( 485 ) 2,044 U. S. Government sponsored enterprises 11,837 — ( 3,499 ) 8,338 Government agency mortgage-backed securities 20,555 — ( 3,053 ) 17,502 Corporate securities 13,571 5 ( 1,005 ) 12,571 Total $ 55,109 $ 5 $ ( 8,914 ) $ 46,200 |
Schedule Of Investment Securities Held-to-maturity | Investment securities held-to-maturity at September 30, 2023 and December 31, 2022 are as follows: (in thousands) Amortized Gross Gross Estimated Allowance for September 30, 2023 Cost Gains Losses Fair Value Credit Losses U.S. Treasury securities $ 999 $ — $ ( 10 ) $ 989 $ — Government agency mortgage-backed securities 812 — ( 109 ) 703 — Corporate securities 32,414 4 ( 1,185 ) 31,233 ( 42 ) Total $ 34,225 $ 4 $ ( 1,304 ) $ 32,925 $ ( 42 ) December 31, 2022 U.S. Treasury securities $ 998 $ — $ — $ 998 $ — Government agency mortgage-backed securities 837 — ( 13 ) 824 — Corporate securities 24,692 4 ( 267 ) 24,429 — Total $ 26,527 $ 4 $ ( 280 ) $ 26,251 $ — |
Schedule Of Investment Securities Available-for-sale In An Unrealized Loss Position | Investment securities available-for-sale in an unrealized loss position at September 30, 2023 and December 31, 2022 are as follows: (in thousands) Less Than 12 Months 12 Months or More Total September 30, 2023 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. Treasury securities $ 994 $ ( 2 ) $ 4,297 $ ( 839 ) $ 5,291 $ ( 841 ) Municipal securities - tax exempt — — 392 ( 136 ) 392 ( 136 ) Municipal securities - taxable — — 2,006 ( 524 ) 2,006 ( 524 ) U. S. Government sponsored enterprises — — 8,065 ( 3,772 ) 8,065 ( 3,772 ) Government agency mortgage-backed securities — — 15,478 ( 3,585 ) 15,478 ( 3,585 ) Corporate securities 6,953 ( 237 ) 8,233 ( 1,318 ) 15,186 ( 1,555 ) Total $ 7,947 $ ( 239 ) $ 38,471 $ ( 10,174 ) $ 46,418 $ ( 10,413 ) December 31, 2022 U.S. Treasury securities $ — $ — $ 4,331 $ ( 776 ) $ 4,331 $ ( 776 ) Municipal securities - tax exempt — — 437 ( 96 ) 437 ( 96 ) Municipal securities - taxable 452 ( 32 ) 1,592 ( 453 ) 2,044 ( 485 ) U. S. Government sponsored enterprises — — 8,338 ( 3,499 ) 8,338 ( 3,499 ) Government agency mortgage-backed securities 5,598 ( 452 ) 11,904 ( 2,601 ) 17,502 ( 3,053 ) Corporate securities 4,541 ( 324 ) 5,466 ( 681 ) 10,007 ( 1,005 ) Total $ 10,591 $ ( 808 ) $ 32,068 $ ( 8,106 ) $ 42,659 $ ( 8,914 ) |
Schedule Of Amortized Cost And Estimated Fair Value Of Investment Securities Available-for-sale And Held -To-Maturity By Contractual Maturity | The amortized cost and estimated fair value of investment securities available-for-sale and held-to-maturity at September 30, 2023, by contractual maturity, are shown below. Maturities of mortgage-backed securities will differ from contractual maturities because borrowers may have the right to call or prepay certain obligations with or without call or prepayment penalties. Therefore, these securities are not included in the maturity categories. (in thousands) Available-for-Sale Held-to-Maturity Amortized Estimated Amortized Estimated Cost Fair Value Cost Fair Value Within 1 year $ 996 $ 994 $ — $ — Greater than 1 to 5 years 6,931 6,452 17,756 17,359 Greater than 5 to 10 years 19,315 16,778 15,657 14,863 Greater than 10 years 12,094 8,310 — — 39,336 32,534 33,413 32,222 Government agency mortgage-backed securities 19,063 15,478 812 703 Total $ 58,399 $ 48,012 $ 34,225 $ 32,925 |
Loans and Allowance for Credi_2
Loans and Allowance for Credit Losses (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Receivables [Abstract] | |
Summary of Major Classifications of Loans | Major classifications of loans, by collateral code, at September 30, 2023 and December 31, 2022 are summarized as follows: (in thousands) September 30, 2023 December 31, 2022 Commercial (secured by real estate - owner occupied) $ 159,958 $ 162,989 Commercial (secured by real estate - non-owner occupied) 140,287 135,720 Commercial and industrial 143,371 147,775 Construction, land and acquisition & development 46,626 37,158 Residential mortgage 1-4 family 55,558 51,324 Consumer installment 115,216 111,268 Total 661,016 646,234 Less allowance for credit losses ( 9,211 ) ( 9,325 ) Total loans, net $ 651,805 $ 636,909 |
Summary of Allowance for Credit Losses and Recorded Investment in Loans by Portfolio Segment and Based on Impairment Method | The following table presents the balance in the allowance for credit losses and the recorded investment in loans by portfolio segment and based on impairment method as of and for the three and nine months ended September 30, 2023 and as of December 31, 2022: (in thousands) September 30, 2023 Commercial Commercial Commercial Construction, Residential Consumer Unallocated Total Allowance for credit losses: Beginning balance December 31, 2022 $ 2,403 $ 2,079 $ 2,292 $ 487 $ 345 $ 1,675 $ 44 $ 9,325 Provision ( 996 ) ( 819 ) ( 1,369 ) 547 1,183 780 674 - Charge-offs ( 4 ) — ( 3 ) — — ( 212 ) — ( 219 ) Recoveries 8 — 1 — 49 47 — 105 Ending balance $ 1,411 $ 1,260 $ 921 $ 1,034 $ 1,577 $ 2,290 $ 718 $ 9,211 Allowance for credit losses: Beginning balance June 30, 2023 $ 1,492 $ 1,331 $ 1,116 $ 1,010 $ 1,475 $ 2,321 $ 507 $ 9,252 Provision ( 81 ) ( 71 ) ( 196 ) 24 89 24 211 - Charge-offs — — — — — ( 64 ) — ( 64 ) Recoveries — — 1 — 13 9 — 23 Ending balance $ 1,411 $ 1,260 $ 921 $ 1,034 $ 1,577 $ 2,290 $ 718 $ 9,211 December 31, 2022 Allowance for credit losses: Beginning balance $ 2,701 $ 1,980 $ 2,242 $ 162 $ 502 $ 969 $ 3 $ 8,559 Provision ( 421 ) 99 55 325 ( 196 ) 801 41 704 Charge-offs — — ( 26 ) — — ( 123 ) — ( 149 ) Recoveries 123 — 21 — 39 28 — 211 Ending balance $ 2,403 $ 2,079 $ 2,292 $ 487 $ 345 $ 1,675 $ 44 $ 9,325 Ending allowance attributable to Individually evaluated $ 85 $ 1 $ — $ — $ 4 $ — $ — $ 90 Collectively evaluated 2,318 2,078 2,292 487 341 1,675 44 9,235 Total ending allowance $ 2,403 $ 2,079 $ 2,292 $ 487 $ 345 $ 1,675 $ 44 $ 9,325 Loans: Individually evaluated $ 85 $ 3,265 $ — $ — $ 2,399 $ — $ — $ 5,749 Collectively evaluated 162,904 132,455 147,775 37,158 48,925 111,268 — 640,485 Total loans $ 162,989 $ 135,720 $ 147,775 $ 37,158 $ 51,324 $ 111,268 $ $ 646,234 |
Summary of Impaired Loans | Impaired loans at December 31, 2022 were as follows: (in thousands) December 31, 2022 Recorded Unpaid Allocated Average Interest With no related allowance recorded: Commercial (secured by real estate - owner occupied) $ — $ — $ — $ — $ — Commercial (secured by real estate - non-owner occupied) 3,089 3,089 — 3,145 — Commercial and industrial — — — — — Construction, land and acquisition & development — — — — — Residential mortgage 1,526 1,526 — 1,596 5 Consumer installment — — — — — 4,615 4,615 — 4,741 5 With an allowance recorded: Commercial (secured by real estate - owner occupied) 85 85 85 90 4 Commercial (secured by real estate - non-owner occupied) 176 176 1 182 8 Commercial and industrial — — — — — Construction, land and acquisition & development — — — — — Residential mortgage 873 873 4 907 22 Consumer installment — — — — — 1,134 1,134 90 1,179 34 Total impaired loans $ 5,749 $ 5,749 $ 90 $ 5,920 $ 39 |
Summary of Recorded Investment in Past Due Loans, as Well as Nonaccrual Loans | The following table presents the aging of the recorded investment in past due loans, as well as the recorded investment in nonaccrual loans, as of September 30, 2023 and December 31, 2022 by class of loans: (in thousands) September 30, 2023 30 -59 60- 89 90 Days Total Accruing Loans Nonaccrual with Allowance Nonaccrual without Allowance Current Total Commercial (secured by real estate - owner occupied) $ — $ — $ — $ — $ — $ — $ 159,958 $ 159,958 Commercial (secured by real estate - non-owner occupied) — — — — — 4,777 135,510 140,287 Commercial and industrial — — — — — — 143,371 143,371 Construction, land and acquisition & — — — — — — 46,626 46,626 Residential mortgage 984 - - 984 - 2,570 52,004 55,558 Consumer installment 83 — — 83 — 290 114,843 115,216 Total $ 1,067 $ — $ — $ 1,067 $ — $ 7,637 $ 652,312 $ 661,016 December 31, 2022 30 -59 60- 89 90 Days Total Accruing Loans Nonaccrual Current Total Commercial (secured by real estate - owner occupied) $ — $ — $ — $ — $ 85 $ 162,904 $ 162,989 Commercial (secured by real estate - non-owner occupied) — — — — 3,312 132,408 135,720 Commercial and industrial — — — — 3 147,772 147,775 Construction, land and acquisition & 85 — — 85 — 37,073 37,158 Residential mortgage 2,341 533 249 3,123 3,185 45,016 51,324 Consumer installment 571 59 — 630 135 110,503 111,268 Total $ 2,997 $ 592 $ 249 $ 3,838 $ 6,720 $ 635,676 $ 646,234 |
Summary of Risk Category of Loans by Class of Loans | Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be Pass rated loans. As of September 30, 2023 and December 31, 2022, and based on the most recent analysis performed, the risk category and year of origination of loans by class of loans is as follows: (in thousands) 2023 2022 2021 2020 2019 Prior Revolvers Total Pass Commercial (secured by real estate - owner occupied) $ 4,239 $ 28,079 $ 30,166 $ 23,411 $ 11,915 $ 53,082 $ 8,726 $ 159,618 Commercial (secured by real estate - non-owner occupied) 25,934 36,270 25,932 4,493 10,156 17,846 10,729 131,360 Commercial and industrial 17,836 22,111 28,494 15,849 17,743 27,950 13,388 143,371 Construction, land and acquisition & development 16,247 21,084 6,359 147 219 610 1,938 46,604 Residential mortgage 5,702 6,147 2,477 1,928 1,440 30,029 4,921 52,644 Consumer installment 34,341 51,590 19,639 5,818 2,451 289 654 114,782 Total pass 104,299 165,281 113,067 51,646 43,924 129,806 40,356 648,379 Special Mention Commercial (secured by real estate - owner occupied) — — — — — 340 — 340 Commercial (secured by real estate - non-owner occupied) — — 3,561 — — 543 — 4,104 Commercial and industrial — — — — — — — — Construction, land and acquisition & development — — — — — — — — Residential mortgage — — — — — 224 — 224 Consumer installment — 99 75 — 8 — — 182 Total special mention — 99 3,636 — 8 1,107 — 4,850 Substandard Commercial (secured by real estate - owner occupied) — — — — — — — — Commercial (secured by real estate - non-owner occupied) — — — — — 4,808 15 4,823 Commercial and industrial — — — — — — — — Construction, land and acquisition & development — — — 22 — — — 22 Residential mortgage — 205 109 110 118 2,148 — 2,690 Consumer installment — 79 146 6 21 — — 252 Total substandard — 284 255 138 139 6,956 15 7,787 Total $ 104,299 $ 165,664 $ 116,958 $ 51,784 $ 44,071 $ 137,869 $ 40,371 $ 661,016 Current year to date period gross write-offs Commercial (secured by real estate - owner occupied) $ — $ — $ — $ — $ — $ 4 $ — $ 4 Commercial (secured by real estate - non-owner occupied) — — — — — — — — Commercial and industrial — — — — — 3 — 3 Construction, land and acquisition & development — — — — — — — — Residential mortgage — — — — — — — — Consumer installment — 111 90 11 — — — 212 Total current period gross write-offs $ — $ 111 $ 90 $ 11 $ — $ 7 $ — $ 219 December 31, 2022 Pass Special Substandard Doubtful/ Total Commercial (secured by real estate - owner occupied) $ 162,541 $ 362 $ 86 $ — $ 162,989 Commercial (secured by real estate - non-owner occupied) 130,115 2,293 3,312 — 135,720 Commercial and industrial 147,772 — 3 — 147,775 Construction, land and acquisition & development 37,158 — — — 37,158 Residential mortgage 48,193 — 3,131 — 51,324 Consumer installment 111,049 84 135 — 111,268 Total $ 636,828 $ 2,739 $ 6,667 $ — $ 646,234 |
Borrowings (Tables)
Borrowings (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Federal Home Loan Bank of Atlanta (FHLB) Advances | The following FHLB advances, which required monthly or quarterly interest payments, were outstanding at September 30, 2023: Advance Date Advance Interest Rate Maturity Rate Call Feature 1/6/2023 $ 10,000,000 4.22 % 1/6/2026 Fixed N/A 1/6/2023 10,000,000 3.94 % 1/6/2028 Fixed N/A $ 20,000,000 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Additional General Disclosures [Abstract] | |
Summary of Stock Option Activity | A summary of the Company’s stock option activity is summarized below. Stock Options Option Shares Outstanding Weighted Average Exercise Price Weighted Average Remaining Life (Years) Aggregate Intrinsic Value (in thousands) Outstanding - December 31, 2022 484,519 $ 12.28 8.45 $ 1,522 Granted 57,500 14.40 Exercise of stock options* ( 8,753 ) 11.14 Outstanding - March 31, 2023 533,266 $ 12.21 8.06 $ 1,439 Exercisable - March 31, 2023 125,255 $ 9.78 6.53 $ 643 Granted — — Forfeited — — Outstanding - June 30, 2023 533,266 $ 12.21 7.81 $ 934 Exercisable - June 30, 2023 189,515 $ 10.06 6.50 $ 607 Granted 7,500 $ 13.51 Forfeited ( 8,000 ) 14.85 Outstanding - September 30, 2023 532,766 $ 12.19 7.57 $ 1,143 Exercisable - September 30, 2023 225,739 $ 10.81 6.64 $ 747 * The terms of the stock option agreements permit having a number of shares of stock withheld, the fair market value of which as of the date of exercise is sufficient to satisfy the exercise price and/or tax withholding requirements. All 2023 exercises of stock options were exercised in this manner. |
Summary of Restricted Stock Activity | A summary of the Company’s restricted stock activity is summarized below. Restricted Stock Restricted Shares Outstanding Weighted Average Grant Date Fair Value Outstanding - December 31, 2022 169,504 $ 11.97 Granted 12,400 14.40 Outstanding - March 31, 2023 181,904 $ 12.08 Vested* ( 27,147 ) 10.42 Outstanding - June 30, 2023 154,757 $ 12.08 Vested* ( 20,867 ) 14.85 Outstanding - September 30, 2023 133,890 $ 12.08 * The terms of the restricted stock agreements permit the surrender of shares to the Company upon vesting in order to satisfy applicable tax withholding requirements at the minimum statutory withholding rate, and accordingly, 1,666 and 3,417 shares were surrendered during the three and nine months ended September 30, 2023 . |
Fair Value Measurements and D_2
Fair Value Measurements and Disclosures (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets Measured at Fair Value on Nonrecurring Basis | Assets measured at fair value on a nonrecurring basis are included in the table below as of September 30, 2023 and December 31, 2022 (in thousands). September 30, 2023 Level 1 Level 2 Level 3 Total Other real estate owned $ — $ — $ 2,901 $ 2,901 Collateral dependent loans — — 4,600 4,600 Total assets at fair value $ — $ — $ 7,501 $ 7,501 December 31, 2022 Level 1 Level 2 Level 3 Total Other real estate owned $ — $ — $ 2,901 $ 2,901 Impaired loans — — 5,659 5,659 Total assets at fair value $ — $ — $ 8,560 $ 8,560 |
Schedule of Carrying Amounts and Estimated Fair Values of Company's Financial Instruments | The carrying amounts and estimated fair values (in thousands) of the Company’s financial instruments at September 30, 2023 and December 31, 2022 are as follows: September 30, 2023 December 31, 2022 Carrying Estimated Carrying Estimated Amount Fair Value Amount Fair Value Financial assets: Cash and cash equivalents $ 61,503 $ 61,503 $ 26,324 $ 26,324 Investment securities available-for-sale 48,012 48,012 46,200 46,200 Investment securities held-to-maturity 34,183 32,925 26,527 26,251 Other investments 4,885 4,885 1,082 1,082 Loans, net 651,805 629,318 636,909 611,687 Bank owned life insurance 15,991 15,991 15,724 15,724 Financial liabilities: Deposits 709,045 706,468 657,172 653,577 FHLB advances and other borrowings 20,000 20,374 10,025 10,025 |
Nature of Operations - Addition
Nature of Operations - Additional Information (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2023 | Jan. 01, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Basis Of Presentation [Line Items] | ||||||||
Related to credit losses for unfunded commitments | $ 9,211,000 | $ 9,211,000 | $ 9,252,000 | $ 9,325,000 | $ 8,559,000 | |||
Related to credit losses for securities held -to- maturity | 42,000 | 42,000 | ||||||
Retained earnings | $ 69,832,000 | $ 69,832,000 | $ 65,357,000 | |||||
ASU 2016-13 | ||||||||
Basis Of Presentation [Line Items] | ||||||||
Related to credit losses for securities held -to- maturity | $ 23,000 | |||||||
Change in accounting principle, accounting standards update, adopted | true | true | ||||||
Change in Accounting Principle, Accounting Standards Update, Adoption Date | Jan. 01, 2023 | Jan. 01, 2023 | ||||||
Retained earnings | 460,000 | |||||||
Unfunded Commmitments | ASU 2016-13 | ||||||||
Basis Of Presentation [Line Items] | ||||||||
Related to credit losses for unfunded commitments | $ 437,000 | |||||||
Stock Options | ||||||||
Basis Of Presentation [Line Items] | ||||||||
Options to purchase shares excluded from calculation of diluted earnings per common share | 284,454 | 234,954 | 284,454 | 234,954 | ||||
Community First Bancshares, MHC | ||||||||
Basis Of Presentation [Line Items] | ||||||||
Common stock ownership percentage | 54% | 54% |
Nature of Operations - Schedule
Nature of Operations - Schedule of Calculations for Basic and Diluted Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Net income | $ 1,623 | $ 1,861 | $ 4,935 | $ 5,435 |
Weighted average common shares outstanding | 6,417,754 | 6,652,811 | 6,500,562 | 6,683,052 |
Effect of dilutive common stock awards | 75,360 | 99,341 | 75,361 | 99,341 |
Diluted weighted average common shares outstanding | 6,493,114 | 6,752,152 | 6,575,923 | 6,782,393 |
Basic earnings per common share | $ 0.25 | $ 0.28 | $ 0.76 | $ 0.81 |
Diluted earnings per common share | $ 0.25 | $ 0.27 | $ 0.75 | $ 0.8 |
Investment Securities - Schedul
Investment Securities - Schedule of Investment Securities Available-for-Sale (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule Of Available For Sale Securities [Line Items] | ||
Investment securities available-for-sale, Amortized Cost | $ 58,399 | $ 55,109 |
Investment securities available-for-sale, Gross Unrealized Gains | 26 | 5 |
Investment securities available-for-sale, Gross Unrealized Losses | (10,413) | (8,914) |
Investment securities available-for-sale, Estimated Fair Value | 48,012 | 46,200 |
U.S. Treasury Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Investment securities available-for-sale, Amortized Cost | 6,132 | 6,084 |
Investment securities available-for-sale, Gross Unrealized Losses | (841) | (776) |
Investment securities available-for-sale, Estimated Fair Value | 5,291 | 5,308 |
Municipal Securities - Tax Exempt | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Investment securities available-for-sale, Amortized Cost | 528 | 533 |
Investment securities available-for-sale, Gross Unrealized Losses | (136) | (96) |
Investment securities available-for-sale, Estimated Fair Value | 392 | 437 |
Municipal Securities - Taxable | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Investment securities available-for-sale, Amortized Cost | 2,530 | 2,529 |
Investment securities available-for-sale, Gross Unrealized Losses | (524) | (485) |
Investment securities available-for-sale, Estimated Fair Value | 2,006 | 2,044 |
Government Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Investment securities available-for-sale, Amortized Cost | 19,063 | 20,555 |
Investment securities available-for-sale, Gross Unrealized Losses | (3,585) | (3,053) |
Investment securities available-for-sale, Estimated Fair Value | 15,478 | 17,502 |
U.S. Government Sponsored Enterprises | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Investment securities available-for-sale, Amortized Cost | 11,837 | 11,837 |
Investment securities available-for-sale, Gross Unrealized Losses | (3,772) | (3,499) |
Investment securities available-for-sale, Estimated Fair Value | 8,065 | 8,338 |
Corporate Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Investment securities available-for-sale, Amortized Cost | 18,309 | 13,571 |
Investment securities available-for-sale, Gross Unrealized Gains | 26 | 5 |
Investment securities available-for-sale, Gross Unrealized Losses | (1,555) | (1,005) |
Investment securities available-for-sale, Estimated Fair Value | $ 16,780 | $ 12,571 |
Investment Securities - Sched_2
Investment Securities - Schedule of Investment Securities Held-to-Maturity (Details) - USD ($) | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held-to-maturity, Amortized Cost | $ 34,225,000 | $ 26,527,000 |
Investment securities held -to-maturity, Gross Unrealized Gain | 4,000 | 4,000 |
Investment securities held -to-maturity, Gross Unrealized Losses | (1,304,000) | (280,000) |
Investment securities held-to-maturity estimated fair value | 32,925,000 | 26,251,000 |
Investment securities held-to-maturity estimated allowance for credit losses | (42,000) | |
U.S. Treasury Securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held-to-maturity, Amortized Cost | 999,000 | 998,000 |
Investment securities held -to-maturity, Gross Unrealized Losses | (10,000) | |
Investment securities held-to-maturity estimated fair value | 989,000 | 998,000 |
Government Agency Mortgage-Backed Securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held-to-maturity, Amortized Cost | 812,000 | 837,000 |
Investment securities held -to-maturity, Gross Unrealized Losses | (109,000) | (13,000) |
Investment securities held-to-maturity estimated fair value | 703,000 | 824,000 |
Corporate Securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held-to-maturity, Amortized Cost | 32,414,000 | 24,692,000 |
Investment securities held -to-maturity, Gross Unrealized Gain | 4,000 | 4,000 |
Investment securities held -to-maturity, Gross Unrealized Losses | (1,185,000) | (267,000) |
Investment securities held-to-maturity estimated fair value | 31,233,000 | $ 24,429,000 |
Investment securities held-to-maturity estimated allowance for credit losses | $ (42,000) |
Investments securities - Invest
Investments securities - Investment Securities Available-For-Sale In An Unrealized Loss Position (Details) - USD ($) | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-Sale [Line Items] | ||
Investment securities available-for-sale Less Than 12 Months Fair Value | $ 7,947,000 | $ 10,591,000 |
Investment securities available-for-sale Less Than 12 Months Unrealized Loss | (239,000) | (808,000) |
Investment securities available-for-sale 12 Months or More Fair Value | 38,471,000 | 32,068,000 |
Investment securities available-for-sale 12 Months or More Unrealized Loss | (10,174,000) | (8,106,000) |
Investment securities available-for-sale Total Fair Value | 46,418,000 | 42,659,000 |
Investment securities available-for-sale Total Unrealized Loss | (10,413,000) | (8,914,000) |
U.S. Treasury Securities | ||
Debt Securities, Available-for-Sale [Line Items] | ||
Investment securities available-for-sale Less Than 12 Months Fair Value | 994,000 | |
Investment securities available-for-sale Less Than 12 Months Unrealized Loss | (2,000) | |
Investment securities available-for-sale 12 Months or More Fair Value | 4,297,000 | 4,331,000 |
Investment securities available-for-sale 12 Months or More Unrealized Loss | (839,000) | (776,000) |
Investment securities available-for-sale Total Fair Value | 5,291,000 | 4,331,000 |
Investment securities available-for-sale Total Unrealized Loss | (841,000) | (776,000) |
Municipal Securities - Tax Exempt | ||
Debt Securities, Available-for-Sale [Line Items] | ||
Investment securities available-for-sale 12 Months or More Fair Value | 392,000 | 437,000 |
Investment securities available-for-sale 12 Months or More Unrealized Loss | (136,000) | (96,000) |
Investment securities available-for-sale Total Fair Value | 392,000 | 437,000 |
Investment securities available-for-sale Total Unrealized Loss | (136,000) | (96,000) |
Municipal Securities - Taxable | ||
Debt Securities, Available-for-Sale [Line Items] | ||
Investment securities available-for-sale Less Than 12 Months Fair Value | 452,000 | |
Investment securities available-for-sale Less Than 12 Months Unrealized Loss | (32,000) | |
Investment securities available-for-sale 12 Months or More Fair Value | 2,006,000 | 1,592,000 |
Investment securities available-for-sale 12 Months or More Unrealized Loss | (524,000) | (453,000) |
Investment securities available-for-sale Total Fair Value | 2,006,000 | 2,044,000 |
Investment securities available-for-sale Total Unrealized Loss | (524,000) | (485,000) |
U.S. Government Sponsored Enterprises | ||
Debt Securities, Available-for-Sale [Line Items] | ||
Investment securities available-for-sale 12 Months or More Fair Value | 8,065,000 | 8,338,000 |
Investment securities available-for-sale 12 Months or More Unrealized Loss | (3,772,000) | (3,499,000) |
Investment securities available-for-sale Total Fair Value | 8,065,000 | 8,338,000 |
Investment securities available-for-sale Total Unrealized Loss | (3,772,000) | (3,499,000) |
Government Agency Mortgage-Backed Securities | ||
Debt Securities, Available-for-Sale [Line Items] | ||
Investment securities available-for-sale Less Than 12 Months Fair Value | 5,598,000 | |
Investment securities available-for-sale Less Than 12 Months Unrealized Loss | (452,000) | |
Investment securities available-for-sale 12 Months or More Fair Value | 15,478,000 | 11,904,000 |
Investment securities available-for-sale 12 Months or More Unrealized Loss | (3,585,000) | (2,601,000) |
Investment securities available-for-sale Total Fair Value | 15,478,000 | 17,502,000 |
Investment securities available-for-sale Total Unrealized Loss | (3,585,000) | (3,053,000) |
Corporate Securities | ||
Debt Securities, Available-for-Sale [Line Items] | ||
Investment securities available-for-sale Less Than 12 Months Fair Value | 6,953,000 | 4,541,000 |
Investment securities available-for-sale Less Than 12 Months Unrealized Loss | (237,000) | (324,000) |
Investment securities available-for-sale 12 Months or More Fair Value | 8,233,000 | 5,466,000 |
Investment securities available-for-sale 12 Months or More Unrealized Loss | (1,318,000) | (681,000) |
Investment securities available-for-sale Total Fair Value | 15,186,000 | 10,007,000 |
Investment securities available-for-sale Total Unrealized Loss | $ (1,555,000) | $ (1,005,000) |
Investment Securities - Sched_3
Investment Securities - Schedule of Amortized Cost and Estimated Fair Value of Investment Securities Available-for-Sale by Contractual Maturity (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule Of Available For Sale Securities [Line Items] | ||
Investment securities available-for-sale, within 1 year, Amortized Cost | $ 996 | |
Investment securities available-for-sale, Greater than 1 to 5 years, Amortized Cost | 6,931 | |
Investment securities available-for-sale, Greater than 5 to 10 years, Amortized Cost | 19,315 | |
Investment securities available-for-sale, Greater than 10 years, Amortized Cost | 12,094 | |
Investment securities available-for-sale, Amortized Cost | 58,399 | $ 55,109 |
Investment securities available-for-sale, within 1 year, Estimated Fair Value | 994 | |
Investment securities available-for-sale, Greater than 1 to 5 years, Estimated Fair Value | 6,452 | |
Investment securities available-for-sale, Greater than 5 to 10 years, Estimated Fair Value | 16,778 | |
Investment securities available-for-sale, Greater than10 years, Estimated Fair Value | 8,310 | |
Investment securities available-for-sale, Estimated Fair Value | 48,012 | 46,200 |
Investment securities held to maturity, Greater than 1 to 5 years, Amortized Cost | 17,756 | |
Investment securities held to maturity, Greater than 5 to 10 years, Amortized Cost | 15,657 | |
Investment securities held to maturity, Amortized Cost | 34,225 | |
Investment securities held to maturity, Greater than 1 to 5 years, Estimated Fair Value | 17,359 | |
Investment securities held to maturity, Greater than 5 to 10 years, Estimated Fair Value | 14,863 | |
Investment securities held to maturity, Estimated Fair Value | 32,925 | |
Debt Securities Excluding Mortgage Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Investment securities available-for-sale, Amortized Cost | 39,336 | |
Investment securities available-for-sale, Estimated Fair Value | 32,534 | |
Investment securities held to maturity, Amortized Cost | 33,413 | |
Investment securities held to maturity, Estimated Fair Value | 32,222 | |
Government Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Investment securities available-for-sale, Amortized Cost | 19,063 | 20,555 |
Investment securities available-for-sale, Estimated Fair Value | 15,478 | $ 17,502 |
Investment securities held to maturity, Amortized Cost | 812 | |
Investment securities held to maturity, Estimated Fair Value | $ 703 |
Investment Securities - Additio
Investment Securities - Additional Information (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Jan. 01, 2023 USD ($) | Sep. 30, 2023 USD ($) Security | Sep. 30, 2022 Security | Sep. 30, 2023 USD ($) Security | Sep. 30, 2022 Security | Dec. 31, 2022 USD ($) | |
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||||||
Provision for credit losses | $ 704,000 | |||||
Provision for credit losses, net | $ 0 | $ 7,000 | ||||
Number of available-for-sale securities in unrealized loss position less than 12 months | Security | 6 | 6 | ||||
Number of available-for-sale securities in unrealized loss position 12 months or greater | Security | 65 | 65 | ||||
Debt securities, available-for-sale, continuous unrealized loss position, less than 12 months, accumulated loss | $ 239,000 | $ 239,000 | 808,000 | |||
Debt securities, available-for-sale, continuous unrealized loss position, 12 months or longer, accumulated loss | $ 10,174,000 | $ 10,174,000 | 8,106,000 | |||
Number of held-to-maturity securities in unrealized loss position less than 12 months | Security | 17 | 17 | ||||
Debt Securities, held-to-maturity, continuous unrealized loss position, less than 12 Months | $ 1,300,000 | $ 1,300,000 | ||||
Number of held-to-maturity securities in unrealized loss position gretaer than 12 months | Security | 0 | 0 | ||||
Sales of available-for-sale securities | Security | 0 | 0 | 0 | 0 | ||
Carrying value of available-for-sale securities pledged to secure public deposits | $ 48,012,000 | $ 48,012,000 | 46,200,000 | |||
Investment securities held-to-maturity estimated allowance for credit losses | 42,000 | 42,000 | ||||
Collateral Pledged | ||||||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||||||
Carrying value of available-for-sale securities pledged to secure public deposits | $ 4,100,000 | $ 4,100,000 | $ 4,700,000 | |||
U.S. Agency Bonds | ||||||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||||||
Number of available-for-sale securities in unrealized loss position less than 12 months | Security | 4 | 4 | ||||
U.S. Treasury Bonds | ||||||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||||||
Number of available-for-sale securities in unrealized loss position less than 12 months | Security | 6 | 6 | ||||
Government Agency Mortgage-Backed Securities | ||||||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||||||
Number of available-for-sale securities in unrealized loss position less than 12 months | Security | 39 | 39 | ||||
Municipal Securities | ||||||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||||||
Number of available-for-sale securities in unrealized loss position less than 12 months | Security | 4 | 4 | ||||
Corporate Securities | ||||||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||||||
Number of available-for-sale securities in unrealized loss position less than 12 months | Security | 18 | 18 | ||||
Held to Maturity Securities | ||||||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||||||
Additional provision for credit losses | $ 0 | $ 10,000 | ||||
ASU 2016-13 | ||||||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||||||
Investment securities held-to-maturity estimated allowance for credit losses | $ 23,000 | |||||
ASU 2016-13 | Held to Maturity Securities | ||||||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||||||
Provision for credit losses | 32,000 | |||||
ASU 2016-13 | Unfunded Commmitments | ||||||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||||||
Provision for credit losses | $ 586,000 | $ 3,000 |
Loans and Allowance for Credi_3
Loans and Allowance for Credit Losses - Summary of Major Classifications of Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Total | $ 661,016 | $ 646,234 | ||
Less allowance for credit losses | (9,211) | $ (9,252) | (9,325) | $ (8,559) |
Total loans, net | 651,805 | 636,909 | ||
Commercial (Secured by Real Estate - Owner Occupied) | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Total | 159,958 | 162,989 | ||
Less allowance for credit losses | (1,411) | (1,492) | (2,403) | (2,701) |
Commercial (Secured by Real Estate - Non-owner Occupied) | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Total | 140,287 | 135,720 | ||
Less allowance for credit losses | (1,260) | (1,331) | (2,079) | (1,980) |
Commercial and Industrial | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Total | 143,371 | 147,775 | ||
Construction, Land and Acquisition & Development | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Total | 46,626 | 37,158 | ||
Less allowance for credit losses | (1,034) | (1,010) | (487) | (162) |
Residential Mortgage 1-4 Family | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Total | 55,558 | 51,324 | ||
Consumer Installment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Total | 115,216 | 111,268 | ||
Less allowance for credit losses | $ (2,290) | $ (2,321) | $ (1,675) | $ (969) |
Loans and Allowance for Credi_4
Loans and Allowance for Credit Losses - Additional Information (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Jan. 01, 2023 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2023 USD ($) Loan | Dec. 31, 2022 USD ($) | Sep. 30, 2022 USD ($) | |
Financing Receivable Recorded Investment Past Due [Line Items] | |||||
Qualifying loans pledged to secure the line of credit from FHLB | $ 661,016,000 | $ 661,016,000 | $ 646,234,000 | ||
Accrued interest on loans | $ 1,900,000 | $ 1,900,000 | $ 1,600,000 | ||
Financing Receivable, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] | Other Assets | Other Assets | Other Assets | ||
Provision for credit losses | $ 704,000 | ||||
Provision for credit losses for held-to-maturity securities | $ 10,000 | ||||
Provision for credit losses, net | $ 0 | $ 7,000 | |||
Troubled Debt Restructurings, Number of Contracts | Loan | 1 | ||||
Collateral-dependent loans without an allowance | $ 4,600,000 | ||||
Collateral dependent loans with an allowance | $ 0 | $ 0 | |||
Residential mortgage | |||||
Financing Receivable Recorded Investment Past Due [Line Items] | |||||
Residential mortgage loan recorded investment | $ 26,000 | ||||
Troubled Debt Restructurings, Number of Contracts | Loan | 1 | ||||
Troubled Debt Restructurings that have Subsequently Defaulted, Number of Contracts | Loan | 0 | ||||
ASU 2016-13 | Unfunded Commmitments | |||||
Financing Receivable Recorded Investment Past Due [Line Items] | |||||
Provision for credit losses | $ 586,000 | $ 3,000 |
Loans and Allowance for Credi_5
Loans and Allowance for Credit Losses - Summary of Allowance for Credit Losses and Recorded Investment in Loans by Portfolio Segment and Based on Impairment Method (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Sep. 30, 2023 | Dec. 31, 2022 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | $ 9,252 | $ 9,325 | $ 8,559 |
Provision | 704 | ||
Charge-offs | (64) | (219) | (149) |
Recoveries | 23 | 105 | 211 |
Ending balance | 9,211 | 9,211 | 9,325 |
Ending allowance attributable to loans: | |||
Individually evaluated for impairment | 90 | ||
Collectively evaluated for impairment | 9,235 | ||
Ending balance | 9,325 | ||
Loans: | |||
Individually evaluated for impairment | 5,749 | ||
Collectively evaluated for impairment | 640,485 | ||
Total | 661,016 | 661,016 | 646,234 |
Commercial (Secured by Real Estate - Owner Occupied) | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 1,492 | 2,403 | 2,701 |
Provision | (81) | (996) | (421) |
Charge-offs | (4) | ||
Recoveries | 8 | 123 | |
Ending balance | 1,411 | 1,411 | 2,403 |
Ending allowance attributable to loans: | |||
Individually evaluated for impairment | 85 | ||
Collectively evaluated for impairment | 2,318 | ||
Ending balance | 2,403 | ||
Loans: | |||
Individually evaluated for impairment | 85 | ||
Collectively evaluated for impairment | 162,904 | ||
Total | 159,958 | 159,958 | 162,989 |
Commercial (Secured by Real Estate - Non-owner Occupied) | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 1,331 | 2,079 | 1,980 |
Provision | (71) | (819) | 99 |
Ending balance | 1,260 | 1,260 | 2,079 |
Ending allowance attributable to loans: | |||
Individually evaluated for impairment | 1 | ||
Collectively evaluated for impairment | 2,078 | ||
Ending balance | 2,079 | ||
Loans: | |||
Individually evaluated for impairment | 3,265 | ||
Collectively evaluated for impairment | 132,455 | ||
Total | 140,287 | 140,287 | 135,720 |
Commercial and Industrial | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 1,116 | 2,292 | 2,242 |
Provision | (196) | (1,369) | 55 |
Charge-offs | (3) | (26) | |
Recoveries | 1 | 1 | 21 |
Ending balance | 921 | 921 | 2,292 |
Ending allowance attributable to loans: | |||
Collectively evaluated for impairment | 2,292 | ||
Ending balance | 2,292 | ||
Loans: | |||
Collectively evaluated for impairment | 147,775 | ||
Total | 143,371 | 143,371 | 147,775 |
Construction, Land and Acquisition & Development | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 1,010 | 487 | 162 |
Provision | 24 | 547 | 325 |
Ending balance | 1,034 | 1,034 | 487 |
Ending allowance attributable to loans: | |||
Collectively evaluated for impairment | 487 | ||
Ending balance | 487 | ||
Loans: | |||
Collectively evaluated for impairment | 37,158 | ||
Total | 46,626 | 46,626 | 37,158 |
Residential Mortgage | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 1,475 | 345 | 502 |
Provision | 89 | 1,183 | (196) |
Recoveries | 13 | 49 | 39 |
Ending balance | 1,577 | 1,577 | 345 |
Ending allowance attributable to loans: | |||
Individually evaluated for impairment | 4 | ||
Collectively evaluated for impairment | 341 | ||
Ending balance | 345 | ||
Loans: | |||
Individually evaluated for impairment | 2,399 | ||
Collectively evaluated for impairment | 48,925 | ||
Total | 55,558 | 55,558 | 51,324 |
Consumer Installment | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 2,321 | 1,675 | 969 |
Provision | 24 | 780 | 801 |
Charge-offs | (64) | (212) | (123) |
Recoveries | 9 | 47 | 28 |
Ending balance | 2,290 | 2,290 | 1,675 |
Ending allowance attributable to loans: | |||
Collectively evaluated for impairment | 1,675 | ||
Ending balance | 1,675 | ||
Loans: | |||
Collectively evaluated for impairment | 111,268 | ||
Total | 115,216 | 115,216 | 111,268 |
Unallocated | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 507 | 44 | 3 |
Provision | 211 | 674 | 41 |
Ending balance | $ 718 | $ 718 | 44 |
Ending allowance attributable to loans: | |||
Collectively evaluated for impairment | 44 | ||
Ending balance | $ 44 |
Loans and Allowance for Credi_6
Loans and Allowance for Credit Losses - Summary of Impaired Loans (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Financing Receivable Impaired [Line Items] | |
Recorded Investment, With no related allowance recorded | $ 4,615 |
Unpaid Principal Balance, With no related allowance recorded | 4,615 |
Average Recorded Investment, With no related allowance recorded | 4,741 |
Interest Income Recognized, With no related allowance recorded | 5 |
Recorded Investment, With an allowance recorded | 1,134 |
Unpaid Principal Balance, With an allowance recorded | 1,134 |
Allocated Related Allowance, With an allowance recorded | 90 |
Average Recorded Investment, With an allowance recorded | 1,179 |
Interest Income Recognized, With an allowance recorded | 34 |
Total impaired loans, Recorded Investment | 5,749 |
Total impaired loans, Unpaid Principal Balance | 5,749 |
Total impaired loans, Allocated Related Allowance | 90 |
Total impaired loans, Average Recorded Investment | 5,920 |
Total impaired loans, Interest Income Recognized | 39 |
Commercial (Secured by Real Estate - Owner Occupied) | |
Financing Receivable Impaired [Line Items] | |
Recorded Investment, With an allowance recorded | 85 |
Unpaid Principal Balance, With an allowance recorded | 85 |
Allocated Related Allowance, With an allowance recorded | 85 |
Average Recorded Investment, With an allowance recorded | 90 |
Interest Income Recognized, With an allowance recorded | 4 |
Commercial (Secured by Real Estate - Non-owner Occupied) | |
Financing Receivable Impaired [Line Items] | |
Recorded Investment, With no related allowance recorded | 3,089 |
Unpaid Principal Balance, With no related allowance recorded | 3,089 |
Average Recorded Investment, With no related allowance recorded | 3,145 |
Recorded Investment, With an allowance recorded | 176 |
Unpaid Principal Balance, With an allowance recorded | 176 |
Allocated Related Allowance, With an allowance recorded | 1 |
Average Recorded Investment, With an allowance recorded | 182 |
Interest Income Recognized, With an allowance recorded | 8 |
Residential Mortgage | |
Financing Receivable Impaired [Line Items] | |
Recorded Investment, With no related allowance recorded | 1,526 |
Unpaid Principal Balance, With no related allowance recorded | 1,526 |
Average Recorded Investment, With no related allowance recorded | 1,596 |
Interest Income Recognized, With no related allowance recorded | 5 |
Recorded Investment, With an allowance recorded | 873 |
Unpaid Principal Balance, With an allowance recorded | 873 |
Allocated Related Allowance, With an allowance recorded | 4 |
Average Recorded Investment, With an allowance recorded | 907 |
Interest Income Recognized, With an allowance recorded | $ 22 |
Loans and Allowance for Credi_7
Loans and Allowance for Credit Losses - Summary of Recorded Investment in Past Due Loans, as Well as Nonaccrual Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | $ 661,016 | $ 646,234 |
Nonaccrual | 6,720 | |
Nonaccrual without Allowance | 7,637 | |
30 -59 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 1,067 | 2,997 |
60- 89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 592 | |
90 Days or Greater Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 249 | |
Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 1,067 | 3,838 |
Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 652,312 | 635,676 |
Commercial (Secured by Real Estate - Owner Occupied) | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 159,958 | 162,989 |
Nonaccrual | 85 | |
Commercial (Secured by Real Estate - Owner Occupied) | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 159,958 | 162,904 |
Commercial (Secured by Real Estate - Non-owner Occupied) | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 140,287 | 135,720 |
Nonaccrual | 3,312 | |
Nonaccrual without Allowance | 4,777 | |
Commercial (Secured by Real Estate - Non-owner Occupied) | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 135,510 | 132,408 |
Commercial and Industrial | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 143,371 | 147,775 |
Nonaccrual | 3 | |
Commercial and Industrial | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 143,371 | 147,772 |
Construction, Land and Acquisition & Development | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 46,626 | 37,158 |
Construction, Land and Acquisition & Development | 30 -59 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 85 | |
Construction, Land and Acquisition & Development | Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 85 | |
Construction, Land and Acquisition & Development | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 46,626 | 37,073 |
Residential Mortgage | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 55,558 | 51,324 |
Nonaccrual | 3,185 | |
Nonaccrual without Allowance | 2,570 | |
Residential Mortgage | 30 -59 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 984 | 2,341 |
Residential Mortgage | 60- 89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 533 | |
Residential Mortgage | 90 Days or Greater Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 249 | |
Residential Mortgage | Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 984 | 3,123 |
Residential Mortgage | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 52,004 | 45,016 |
Consumer Installment | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 115,216 | 111,268 |
Nonaccrual | 135 | |
Nonaccrual without Allowance | 290 | |
Consumer Installment | 30 -59 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 83 | 571 |
Consumer Installment | 60- 89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 59 | |
Consumer Installment | Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | 83 | 630 |
Consumer Installment | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total | $ 114,843 | $ 110,503 |
Loans and Allowance for Credi_8
Loans and Allowance for Credit Losses - Summary of Risk Category and Year of Origination of Loans by Class of Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Composition Of Loan Portfolio [Line Items] | ||
2023 | $ 104,299 | |
2022 | 165,664 | |
2021 | 116,958 | |
2020 | 51,784 | |
2019 | 44,071 | |
Prior | 137,869 | |
Revolvers | 40,371 | |
Total | 661,016 | $ 646,234 |
Pass | ||
Composition Of Loan Portfolio [Line Items] | ||
2023 | 104,299 | |
2022 | 165,281 | |
2021 | 113,067 | |
2020 | 51,646 | |
2019 | 43,924 | |
Prior | 129,806 | |
Revolvers | 40,356 | |
Total | 648,379 | 636,828 |
Special Mention | ||
Composition Of Loan Portfolio [Line Items] | ||
2022 | 99 | |
2021 | 3,636 | |
2019 | 8 | |
Prior | 1,107 | |
Total | 4,850 | 2,739 |
Substandard | ||
Composition Of Loan Portfolio [Line Items] | ||
2022 | 284 | |
2021 | 255 | |
2020 | 138 | |
2019 | 139 | |
Prior | 6,956 | |
Revolvers | 15 | |
Total | 7,787 | 6,667 |
Current Period Gross Write-offs | ||
Composition Of Loan Portfolio [Line Items] | ||
2022 | 111 | |
2021 | 90 | |
2020 | 11 | |
Prior | 7 | |
Total | 219 | |
Commercial (Secured by Real Estate - Owner Occupied) | ||
Composition Of Loan Portfolio [Line Items] | ||
Total | 159,958 | 162,989 |
Commercial (Secured by Real Estate - Owner Occupied) | Pass | ||
Composition Of Loan Portfolio [Line Items] | ||
2023 | 4,239 | |
2022 | 28,079 | |
2021 | 30,166 | |
2020 | 23,411 | |
2019 | 11,915 | |
Prior | 53,082 | |
Revolvers | 8,726 | |
Total | 159,618 | 162,541 |
Commercial (Secured by Real Estate - Owner Occupied) | Special Mention | ||
Composition Of Loan Portfolio [Line Items] | ||
Prior | 340 | |
Total | 340 | 362 |
Commercial (Secured by Real Estate - Owner Occupied) | Substandard | ||
Composition Of Loan Portfolio [Line Items] | ||
Total | 86 | |
Commercial (Secured by Real Estate - Owner Occupied) | Current Period Gross Write-offs | ||
Composition Of Loan Portfolio [Line Items] | ||
Prior | 4 | |
Total | 4 | |
Commercial (Secured by Real Estate - Non-owner Occupied) | ||
Composition Of Loan Portfolio [Line Items] | ||
Total | 140,287 | 135,720 |
Commercial (Secured by Real Estate - Non-owner Occupied) | Pass | ||
Composition Of Loan Portfolio [Line Items] | ||
2023 | 25,934 | |
2022 | 36,270 | |
2021 | 25,932 | |
2020 | 4,493 | |
2019 | 10,156 | |
Prior | 17,846 | |
Revolvers | 10,729 | |
Total | 131,360 | 130,115 |
Commercial (Secured by Real Estate - Non-owner Occupied) | Special Mention | ||
Composition Of Loan Portfolio [Line Items] | ||
2021 | 3,561 | |
Prior | 543 | |
Total | 4,104 | 2,293 |
Commercial (Secured by Real Estate - Non-owner Occupied) | Substandard | ||
Composition Of Loan Portfolio [Line Items] | ||
Prior | 4,808 | |
Revolvers | 15 | |
Total | 4,823 | 3,312 |
Commercial and Industrial | ||
Composition Of Loan Portfolio [Line Items] | ||
Total | 143,371 | 147,775 |
Commercial and Industrial | Pass | ||
Composition Of Loan Portfolio [Line Items] | ||
2023 | 17,836 | |
2022 | 22,111 | |
2021 | 28,494 | |
2020 | 15,849 | |
2019 | 17,743 | |
Prior | 27,950 | |
Revolvers | 13,388 | |
Total | 143,371 | 147,772 |
Commercial and Industrial | Substandard | ||
Composition Of Loan Portfolio [Line Items] | ||
Total | 3 | |
Commercial and Industrial | Current Period Gross Write-offs | ||
Composition Of Loan Portfolio [Line Items] | ||
Prior | 3 | |
Total | 3 | |
Construction, Land and Acquisition & Development | ||
Composition Of Loan Portfolio [Line Items] | ||
Total | 46,626 | 37,158 |
Construction, Land and Acquisition & Development | Pass | ||
Composition Of Loan Portfolio [Line Items] | ||
2023 | 16,247 | |
2022 | 21,084 | |
2021 | 6,359 | |
2020 | 147 | |
2019 | 219 | |
Prior | 610 | |
Revolvers | 1,938 | |
Total | 46,604 | 37,158 |
Construction, Land and Acquisition & Development | Substandard | ||
Composition Of Loan Portfolio [Line Items] | ||
2020 | 22 | |
Total | 22 | |
Residential Mortgage | ||
Composition Of Loan Portfolio [Line Items] | ||
Total | 55,558 | 51,324 |
Residential Mortgage | Pass | ||
Composition Of Loan Portfolio [Line Items] | ||
2023 | 5,702 | |
2022 | 6,147 | |
2021 | 2,477 | |
2020 | 1,928 | |
2019 | 1,440 | |
Prior | 30,029 | |
Revolvers | 4,921 | |
Total | 52,644 | 48,193 |
Residential Mortgage | Special Mention | ||
Composition Of Loan Portfolio [Line Items] | ||
Prior | 224 | |
Total | 224 | |
Residential Mortgage | Substandard | ||
Composition Of Loan Portfolio [Line Items] | ||
2022 | 205 | |
2021 | 109 | |
2020 | 110 | |
2019 | 118 | |
Prior | 2,148 | |
Total | 2,690 | 3,131 |
Consumer Installment | ||
Composition Of Loan Portfolio [Line Items] | ||
Total | 115,216 | 111,268 |
Consumer Installment | Pass | ||
Composition Of Loan Portfolio [Line Items] | ||
2023 | 34,341 | |
2022 | 51,590 | |
2021 | 19,639 | |
2020 | 5,818 | |
2019 | 2,451 | |
Prior | 289 | |
Revolvers | 654 | |
Total | 114,782 | 111,049 |
Consumer Installment | Special Mention | ||
Composition Of Loan Portfolio [Line Items] | ||
2022 | 99 | |
2021 | 75 | |
2020 | 90 | |
2019 | 8 | |
Total | 182 | 84 |
Consumer Installment | Substandard | ||
Composition Of Loan Portfolio [Line Items] | ||
2022 | 79 | |
2021 | 146 | |
2020 | 6 | |
2019 | 21 | |
Total | 252 | $ 135 |
Consumer Installment | Current Period Gross Write-offs | ||
Composition Of Loan Portfolio [Line Items] | ||
2022 | 111 | |
2020 | 11 | |
Total | $ 212 |
Intangible Assets - Additional
Intangible Assets - Additional Information (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||||
Intangible asset gross carrying amount | $ 1,900,000 | $ 1,900,000 | $ 1,900,000 | ||
Accumulated amortization | 717,000 | 717,000 | $ 574,000 | ||
Aggregate amortization expense | 47,000 | $ 47,000 | 143,000 | $ 143,000 | |
Goodwill acquired acquisition | 17,200,000 | 17,200,000 | 17,200,000 | 17,200,000 | |
Impairment loss | $ 0 | $ 0 | $ 0 | $ 0 |
Deposits - Additional Informati
Deposits - Additional Information (Details) - USD ($) | Sep. 30, 2023 | Dec. 31, 2022 |
Deposits [Abstract] | ||
Time certificates of deposit in denomination of $250,000 or more | $ 35,400,000 | $ 26,400,000 |
Cash, FDIC insured amount | 250,000 | |
Brokered certificate of deposit | $ 107,300,000 | $ 34,900,000 |
Brokered certificate of deposit, weighted average maturity | 4.87% | 4.50% |
Brokered certificate of deposit, weighted average maturity | 31 months | 34 months |
Borrowings - Schedule of Federa
Borrowings - Schedule of Federal Home Loan Bank of Atlanta (FHLB) Advances (Details) - USD ($) | 9 Months Ended | ||
Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | |
Federal Home Loan Bank Advances [Line Items] | |||
Advances from FHLB, Fair Value Adjustment | $ 0 | $ 1,000,000 | |
Federal Home Loan Bank of Atlanta | |||
Federal Home Loan Bank Advances [Line Items] | |||
Advances from FHLB | $ 20,000,000 | ||
Federal Home Loan Bank of Atlanta | January 06, 2026 | |||
Federal Home Loan Bank Advances [Line Items] | |||
Advances from FHLB, Advance Date | Jan. 06, 2023 | ||
Advances from FHLB | $ 10,000,000 | ||
Advances from FHLB, Interest Rate | 4.22% | ||
Advances from FHLB, Maturity | Jan. 06, 2026 | ||
Advances from FHLB, Rate | Fixed | ||
Advances from FHLB, Call Feature | N/A | ||
Federal Home Loan Bank of Atlanta | January 06, 2028 | |||
Federal Home Loan Bank Advances [Line Items] | |||
Advances from FHLB, Advance Date | Jan. 06, 2023 | ||
Advances from FHLB | $ 10,000,000 | ||
Advances from FHLB, Interest Rate | 3.94% | ||
Advances from FHLB, Maturity | Jan. 06, 2028 | ||
Advances from FHLB, Rate | Fixed | ||
Advances from FHLB, Call Feature | N/A |
Borrowings - Additional Informa
Borrowings - Additional Information (Details) - USD ($) | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2023 | Dec. 31, 2022 | |
Line Of Credit Facility [Line Items] | |||
Federal Home Loan Bank (FHLB) advances | $ 20,000,000 | $ 10,025,000 | |
Fair value adjustment | $ 1,000,000 | 0 | |
Advances from FHLB collateralized by certain loans | 395,400,000 | 384,400,000 | |
Investment in FHLB stock | 1,500,000 | 832,000 | |
FHLB advances book value | 10,000,000 | ||
Repayment of acquired FHLB advances | 49,000,000 | ||
Line of credit amount outstanding | 12,500,000 | $ 12,500,000 | |
Prepayment penalties | $ 647,000 | ||
Federal Reserve Bank of Atlanta Discount Window | |||
Line Of Credit Facility [Line Items] | |||
Line of credit amount outstanding | 0 | ||
Line of credit facility, secured loans | 102,500,000 | ||
Line of credit | 70,900,000 | ||
Unsecured Federal Funds | |||
Line Of Credit Facility [Line Items] | |||
Line of credit amount outstanding | 0 | ||
Line of credit | $ 32,500,000 |
Employee Stock Ownership Plan -
Employee Stock Ownership Plan - Additional Information (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Jan. 31, 2021 | Dec. 31, 2017 | |
Share-Based Payment Arrangement [Abstract] | |||||||
Note payable balance of ESOP | $ 5,300,000 | $ 5,300,000 | $ 5,300,000 | $ 3,000,000 | $ 3,000,000 | ||
Shares purchased by ESOP | 225,721 | 295,499 | |||||
ESOP expense | $ 74,000 | $ 77,000 | $ 220,000 | $ 237,000 | |||
ESOP released shares | 80,000 | 80,000 | 80,000 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
May 31, 2022 | Sep. 30, 2023 | Mar. 31, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Stock-based compensation expense | $ 258,000 | $ 281,000 | $ 782,000 | $ 460,000 | |||
Unrecognized compensation cost related to equity award grants | $ 2,900,000 | $ 2,900,000 | |||||
Unrecognized compensation cost expected remaining vesting period | 2 years 4 months 2 days | ||||||
Dividend yield | 0% | ||||||
Expected volatility | 27.58% | ||||||
Risk-free interest rate | 3.84% | ||||||
Expected average life | 7 years 1 month 17 days | ||||||
Weighted average per share fair value | $ 5.46 | $ 5.46 | |||||
Restricted Stock | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Number of restricted stock grants | 12,400 | ||||||
2018 Equity Incentive Plan | Restricted Stock | Common Stock | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Number of shares approved under the plan | 133,987 | ||||||
2018 Equity Incentive Plan | Stock Options | Common Stock | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Number of shares approved under the plan | 334,970 | ||||||
2022 Equity Incentive Plan | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Number of shares approved under the plan | 148,060 | ||||||
2022 Equity Incentive Plan | Maximum | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Number of restricted stock grants | 370,150 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Additional General Disclosures [Abstract] | ||||
Option Shares Outstanding, Outstanding - Beginning Balance | 533,266 | 533,266 | 484,519 | |
Option Shares Outstanding, Grants | 7,500 | 57,500 | ||
Option Shares Outstanding, Exercise of stock options | (8,753) | |||
Option Shares Outstanding, Forfeited | (8,000) | |||
Option Shares Outstanding, Outstanding - Ending Balance | 532,766 | 533,266 | 533,266 | 484,519 |
Option Shares Outstanding, Exercisable | 225,739 | 189,515 | 125,255 | |
Weighted Average Exercise Price, Outstanding - Beginning Balance | $ 12.21 | $ 12.21 | $ 12.28 | |
Weighted Average Exercise Price, Granted | 13.51 | 14.4 | ||
Weighted Average Exercise Price, Exercise of stock options | 11.14 | |||
Weighted Average Exercise Price, Forfeited | 14.85 | |||
Weighted Average Exercise Price, Outstanding - Ending Balance | 12.19 | 12.21 | 12.21 | $ 12.28 |
Weighted Average Exercise Price, Exercisable | $ 10.81 | $ 10.06 | $ 9.78 | |
Weighted Average Remaining Life (Years), Outstanding | 7 years 6 months 25 days | 7 years 9 months 21 days | 8 years 21 days | 8 years 5 months 12 days |
Weighted Average Remaining Life (Years), Exercisable | 6 years 7 months 20 days | 6 years 6 months | 6 years 6 months 10 days | |
Aggregate Intrinsic Value (in thousands), Outstanding | $ 1,143 | $ 934 | $ 1,439 | $ 1,522 |
Aggregate Intrinsic Value (in thousands), Exercisable | $ 747 | $ 607 | $ 643 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Restricted Stock Activity (Details) - Restricted Stock - $ / shares | 3 Months Ended | ||
Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Restricted Shares Outstanding, Outstanding - Beginning Balance | 154,757 | 181,904 | 169,504 |
Restricted Shares Outstanding, Granted | 12,400 | ||
Restricted Shares Outstanding, Vested | (20,867) | (27,147) | |
Restricted Shares Outstanding, Outstanding - Ending Balance | 133,890 | 154,757 | 181,904 |
Weighted Average Grant Date Fair Value, Outstanding - Beginning Balance | $ 12.08 | $ 12.08 | $ 11.97 |
Weighted Average Grant Date Fair Value, Granted | 14.4 | ||
Weighted Average Grant Date Fair Value, Vested | 14.85 | 10.42 | |
Weighted Average Grant Date Fair Value, Outstanding - Ending Balance | $ 12.08 | $ 12.08 | $ 12.08 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Restricted Stock Activity (Parenthetical) (Details) - shares | 3 Months Ended | 9 Months Ended |
Sep. 30, 2023 | Sep. 30, 2023 | |
Restricted Stock | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Restricted shares applicable tax withholding requirements | 1,666 | 3,417 |
Fair Value Measurements and D_3
Fair Value Measurements and Disclosures - Additional Information (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale, Estimated Fair Value | $ 48,012 | $ 46,200 |
Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale, Estimated Fair Value | $ 48,000 | $ 46,200 |
Fair Value Measurements and D_4
Fair Value Measurements and Disclosures - Schedule of Assets Measured at Fair Value on Nonrecurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 5,749 | |
Fair Value, Measurements, Nonrecurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other real estate owned | $ 2,901 | 2,901 |
Collateral dependent loans | 4,600 | |
Impaired loans | 5,659 | |
Total assets at fair value | 7,501 | 8,560 |
Fair Value, Measurements, Nonrecurring | Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other real estate owned | 2,901 | 2,901 |
Collateral dependent loans | 4,600 | |
Impaired loans | 5,659 | |
Total assets at fair value | $ 7,501 | $ 8,560 |
Fair Value Measurements and D_5
Fair Value Measurements and Disclosures - Schedule of Carrying Amounts and Estimated Fair Values of Company's Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Financial assets: | ||
Investment securities available-for-sale | $ 48,012 | $ 46,200 |
Investment securities held-to-maturity | 32,925 | 26,251 |
Carrying Amount | ||
Financial assets: | ||
Cash and cash equivalents | 61,503 | 26,324 |
Investment securities available-for-sale | 48,012 | 46,200 |
Investment securities held-to-maturity | 34,183 | 26,527 |
Other investments | 4,885 | 1,082 |
Loans, net | 651,805 | 636,909 |
Bank owned life insurance | 15,991 | 15,724 |
Financial liabilities: | ||
Deposits | 709,045 | 657,172 |
FHLB advances and other borrowings | 20,000 | 10,025 |
Estimated Fair Value | ||
Financial assets: | ||
Cash and cash equivalents | 61,503 | 26,324 |
Investment securities available-for-sale | 48,012 | 46,200 |
Investment securities held-to-maturity | 32,925 | 26,251 |
Other investments | 4,885 | 1,082 |
Loans, net | 629,318 | 611,687 |
Bank owned life insurance | 15,991 | 15,724 |
Financial liabilities: | ||
Deposits | 706,468 | 653,577 |
FHLB advances and other borrowings | $ 20,374 | $ 10,025 |