Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2023 | Aug. 14, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2023 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | CULLMAN BANCORP, INC. | |
Entity Central Index Key | 0001845799 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 7,382,539 | |
Entity Shell Company | false | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Title of 12(b) Security | Common Stock, per value $0.01 per share | |
Trading Symbol | CULL | |
Security Exchange Name | NASDAQ | |
Entity File Number | 001-40607 | |
Entity Incorporation, State or Country Code | MD | |
Entity Tax Identification Number | 61-1990996 | |
Entity Address, Address Line One | 316 Second Avenue | |
Entity Address, Address Line Two | SW | |
Entity Address, City or Town | Cullman | |
Entity Address, State or Province | AL | |
Entity Address, Postal Zip Code | 35055 | |
City Area Code | 256 | |
Local Phone Number | 734-1740 | |
Document Quarterly Report | true | |
Document Transition Report | false |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
ASSETS | ||
Interest Bearing Cash and cash equivalents | $ 173 | $ 434 |
Non-interest Bearing Cash and cash equivalents | 3,660 | 5,986 |
Federal funds sold | 22,350 | 30,225 |
Total cash and cash equivalents | 26,183 | 36,645 |
Securities available for sale | 29,368 | 29,796 |
Equity securities | 0 | 479 |
Loans, net of allowance of $3,112 and $2,841 respectively | 334,273 | 329,943 |
Premises and equipment, net | 11,483 | 10,851 |
Foreclosed real estate | 0 | 50 |
Accrued interest receivable | 1,203 | 1,162 |
Restricted equity securities | 2,507 | 2,033 |
Bank owned life insurance | 9,097 | 8,964 |
Deferred Tax asset, net | 2,445 | 2,194 |
Other assets | 1,331 | 1,112 |
Total assets | 417,890 | 423,229 |
Deposits | ||
Non-interest bearing | 14,016 | 16,281 |
Interest bearing | 261,136 | 276,668 |
Total deposits | 275,152 | 292,949 |
Federal Home Loan Bank advances | 35,000 | 25,000 |
Accrued interest payable | 204 | 155 |
Other liabilities | 5,791 | 4,943 |
Total liabilities | 316,147 | 323,047 |
Shareholders' equity | ||
Common stock, $0.01 par value; 50,000,000 shares authorized; 7,382,539 shares and 7,394,615 shares outstanding at June 30, 2022 and December 31, 2021 | 74 | 74 |
Additional paid-in capital | 50,302 | 50,161 |
Retained earnings | 57,434 | 56,561 |
Accumulated other comprehensive income (loss) | (3,085) | (3,558) |
Unearned ESOP shares, at cost | (2,982) | (3,056) |
Total shareholders' equity | 101,743 | 100,182 |
Total liabilities and shareholders' equity | $ 417,890 | $ 423,229 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Loans and Leases Receivable, Allowance | $ 3,112 | $ 2,841 |
Common Stock, Par Value | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 50,000,000 | 50,000,000 |
Common Stock, Shares, Outstanding | 7,382,539 | 7,394,615 |
Consolidated Statements of Net
Consolidated Statements of Net Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Interest and dividend income: | ||||
Loans, including fees | $ 4,221 | $ 3,811 | $ 8,354 | $ 7,218 |
Non taxable securities | 232 | 194 | 473 | 318 |
Taxable securities | 8 | 8 | 16 | 16 |
FHLB dividends | 20 | 3 | 38 | 15 |
Federal funds sold and other | 283 | 74 | 535 | 92 |
Total interest income | 4,764 | 4,090 | 9,416 | 7,659 |
Deposits | 656 | 216 | 1,132 | 434 |
Federal Home Loan Bank advances and other borrowings | 377 | 0 | 660 | 21 |
Total interest expense | 1,033 | 216 | 1,792 | 455 |
Net interest income | 3,731 | 3,874 | 7,624 | 7,204 |
Provision for credit losses on loans | 17 | 115 | 23 | 155 |
Provision for unfunded commitments | (44) | 0 | 24 | 0 |
Net interest income after provision for credit losses | 3,758 | 3,759 | 7,577 | 7,049 |
Noninterest income: | ||||
Service charges on deposit accounts | 283 | 256 | 540 | 481 |
Income on bank owned life insurance | 66 | 56 | 133 | 93 |
Gain on sales of mortgage loans | 9 | 39 | 15 | 62 |
Net gain on sale of foreclosed real estate | 0 | 44 | 0 | 46 |
Gain on prepayment of Federal Home Loan Bank advances | 127 | 0 | 127 | 91 |
Other | 37 | 39 | 79 | 81 |
Total noninterest income | 522 | 434 | 894 | 854 |
Noninterest expense: | ||||
Salaries and employee benefits | 2,048 | 1,759 | 3,971 | 3,370 |
Occupancy and equipment | 244 | 215 | 500 | 426 |
Data processing | 242 | 208 | 469 | 411 |
Professional and supervisory fees | 205 | 169 | 420 | 352 |
Office expense | 33 | 47 | 77 | 98 |
Advertising | 25 | 44 | 49 | 64 |
FDIC deposit insurance | 56 | 15 | 82 | 34 |
Loss on prepayment of Federal Home Loan Bank advances | 0 | 0 | 0 | 4 |
Other | 108 | 109 | 227 | 207 |
Total noninterest expense | 2,961 | 2,566 | 5,795 | 4,966 |
Income before income taxes | 1,319 | 1,627 | 2,676 | 2,937 |
Income tax expense | 291 | 315 | 633 | 615 |
Net income | $ 1,028 | $ 1,312 | $ 2,043 | $ 2,322 |
Earnings per share: | ||||
Basic | $ 0.15 | $ 0.19 | $ 0.29 | $ 0.33 |
Dilutive | $ 0.14 | $ 0.19 | $ 0.29 | $ 0.33 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net Income | $ 1,028 | $ 1,312 | $ 2,043 | $ 2,322 |
Other comprehensive income (loss), net of tax | ||||
Unrealized gain (loss) on securities available for sale | (51) | (1,752) | 384 | (3,574) |
Income tax effect | 12 | 368 | 89 | 751 |
Other comprehensive income (loss) | (39) | (1,384) | 473 | (2,823) |
Comprehensive income (loss) | $ 989 | $ (72) | $ 2,516 | $ (501) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Cumulative Effect, Period of Adoption, Adjustment [Member] | Common Stock [Member] | Common Stock [Member] Cumulative Effect, Period of Adoption, Adjustment [Member] | Additional Paid-In Capital [Member] | Additional Paid-In Capital [Member] Cumulative Effect, Period of Adoption, Adjustment [Member] | Retained Earnings [Member] | Retained Earnings [Member] Cumulative Effect, Period of Adoption, Adjustment [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Accumulated Other Comprehensive Income (Loss) [Member] Cumulative Effect, Period of Adoption, Adjustment [Member] | Unearned ESOP Shares [Member] | Unearned ESOP Shares [Member] Cumulative Effect, Period of Adoption, Adjustment [Member] |
Beginning Balance at Dec. 31, 2021 | $ 99,734 | $ 74 | $ 49,674 | $ 53,267 | $ 277 | $ (3,558) | ||||||
Beginning Balance (in shares) at Dec. 31, 2021 | 7,405,893 | |||||||||||
Net income | 2,322 | 2,322 | ||||||||||
Other comprehensive income (loss) | (2,823) | (2,823) | ||||||||||
ESOP shares earned | 74 | 74 | ||||||||||
Dividends | 889 | 889 | ||||||||||
Stock-based compensation expense | 278 | 278 | ||||||||||
Ending Balance at Jun. 30, 2022 | 98,696 | $ 74 | 49,952 | 54,700 | (2,546) | (3,484) | ||||||
Ending Balance (in shares) at Jun. 30, 2022 | 7,405,893 | |||||||||||
Beginning Balance at Mar. 31, 2022 | 98,592 | $ 74 | 49,813 | 53,388 | (1,162) | (3,521) | ||||||
Beginning Balance (in shares) at Mar. 31, 2022 | 7,405,893 | |||||||||||
Net income | 1,312 | 1,312 | ||||||||||
Other comprehensive income (loss) | (1,384) | (1,384) | ||||||||||
ESOP shares earned | 37 | 37 | ||||||||||
Stock-based compensation expense | 139 | 139 | ||||||||||
Ending Balance at Jun. 30, 2022 | 98,696 | $ 74 | 49,952 | 54,700 | (2,546) | (3,484) | ||||||
Ending Balance (in shares) at Jun. 30, 2022 | 7,405,893 | |||||||||||
Beginning Balance at Dec. 31, 2022 | 100,182 | $ 99,898 | $ 74 | $ 74 | 50,161 | $ 50,161 | 56,561 | $ 56,277 | (3,558) | $ (3,558) | (3,056) | $ (3,056) |
Beginning Balance (in shares) at Dec. 31, 2022 | 7,394,615 | 7,394,615 | ||||||||||
Net income | 2,043 | 2,043 | 2,043 | |||||||||
Cumulative change in accounting principle (Note 1) | (284) | (284) | ||||||||||
Other comprehensive income (loss) | $ 473 | 473 | 473 | |||||||||
Net Settlement of common stock options exercised (in shares) | 0 | |||||||||||
Share repurchase | (137) | (137) | ||||||||||
Share repurchase, (in shares) | (12,076) | |||||||||||
ESOP shares earned | 74 | 74 | ||||||||||
Dividends | (886) | (886) | ||||||||||
Stock-based compensation expense | 278 | 278 | ||||||||||
Ending Balance at Jun. 30, 2023 | $ 101,743 | 101,743 | $ 74 | $ 74 | 50,302 | 50,302 | 57,434 | 57,434 | (3,085) | (3,085) | (2,982) | (2,982) |
Ending Balance (in shares) at Jun. 30, 2023 | 7,382,539 | 7,382,539 | ||||||||||
Beginning Balance at Mar. 31, 2023 | 100,580 | $ 74 | 50,165 | 56,406 | (3,046) | (3,019) | ||||||
Beginning Balance (in shares) at Mar. 31, 2023 | 7,382,772 | |||||||||||
Net income | 1,028 | 1,028 | ||||||||||
Other comprehensive income (loss) | (39) | (39) | ||||||||||
Share repurchase | (2) | (2) | ||||||||||
Share repurchase, (in shares) | (233) | |||||||||||
ESOP shares earned | 37 | 37 | ||||||||||
Stock-based compensation expense | 139 | 139 | ||||||||||
Ending Balance at Jun. 30, 2023 | $ 101,743 | $ 101,743 | $ 74 | $ 74 | $ 50,302 | $ 50,302 | $ 57,434 | $ 57,434 | $ (3,085) | $ (3,085) | $ (2,982) | $ (2,982) |
Ending Balance (in shares) at Jun. 30, 2023 | 7,382,539 | 7,382,539 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Cash flows from operating activities | ||
Net income | $ 2,043 | $ 2,322 |
Adjustment to reconcile net income to net cash provided from operating activities: | ||
Provision for loan losses | 47 | 155 |
Depreciation and amortization, net | 232 | 228 |
Deferred income taxes | (67) | (81) |
Net gains from sales and impairment of foreclosed real estate | (12) | (46) |
Net gain of extinguishment of debt | (127) | (87) |
Gain from change in fair value of equity securities | (18) | (5) |
Losses on disposals of fixed assets | 12 | 0 |
Gains on sale of mortgage loans | 4 | 0 |
Income on bank owned life insurance | (133) | (93) |
Gains on sale of mortgage loans | (15) | (62) |
Mortgage loans originated for sale | (454) | (1,912) |
Mortgage loans sold | 469 | 1,974 |
ESOP Compensation expense | 74 | 74 |
Stock based compensation expense | 278 | 278 |
Net change in operating assets and liabilities | ||
Increase in Accrued interest receivable | (41) | (238) |
Increase/(decrease) in Accrued interest payable | 49 | (37) |
Increase other assets | (237) | (44) |
Increase other liabilities | 848 | 658 |
Net cash provided by operating activities | 2,952 | 3,084 |
Cash flows from investing activities | ||
Net purchases of premises and equipment | (900) | (565) |
Purchases of securities- available for sale | 0 | (10,634) |
Redemptions (purchases) of securities- equity | 497 | (1,000) |
Proceeds from maturities, prepayments and calls of securities | 836 | 773 |
Proceeds from sales of foreclosed real estate | 76 | 453 |
(Purchases)/redemption of restricted equity securities | (474) | 683 |
Purchases of bank owned life insurance | 0 | (3,000) |
Loan originations and payments, net | (4,756) | (55,854) |
Net cash used in investing activities | (4,721) | (69,144) |
Cash flows from financing activities | ||
Net increase/(decrease) in deposits | (17,797) | 48,208 |
Proceeds from Federal Home Loan Bank advances | 25,000 | 0 |
Repayment of Federal Home Loan Bank advances | (14,873) | (18,413) |
Cash payment of dividends | (886) | (889) |
Payments from share repurchases | (137) | 0 |
Net cash (used for)/provided by financing activities | (8,693) | 28,906 |
Net change in cash and cash equivalents | (10,462) | (37,154) |
Cash and cash equivalents at the beginning of period | 36,645 | 61,938 |
Cash ad cash equivalents at end of the period | 26,183 | 24,784 |
Supplemental cash flow information | ||
Interest expense | 1,743 | 492 |
Income taxes paid | 361 | 375 |
Supplemental noncash disclosures | ||
Day 1 impact of adoption of Current Expected Credit Losses methodology | $ (379) | $ 0 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations and Principles of Consolidation : The consolidated financial statements of Cullman Bancorp, Inc. (“the Bancorp”) include the accounts of its wholly owned subsidiary, Cullman Savings Bank (“the Bank”), together referred to as “the Company”. The Company provides financial services through its offices in Cullman County, Alabama. Its primary deposit products are checking, savings, and term certificate accounts, and its primary lending products are residential mortgage, commercial, and installment loans. Substantially all loans are secured by specific items of collateral including business assets, consumer assets, and commercial and residential real estate. Commercial loans are expected to be repaid from cash flows from operations of businesses. There are no significant concentrations of loans to any one industry or customer. However, the customers' ability to repay their loans is dependent on the real estate and general economic conditions in the area. Risk and Uncertainties : Ongoing economic challenges, including issues such as rising inflation and global supply chain disruption have impacted global financial markets. Additionally, the Company faces increased public and regulatory scrutiny resulting from the financial market crisis resulting from recent bank failures. Because of the significant uncertainties related to the economy and its potential effects on customers and prospects, there can be no assurances as to how the crisis may ultimately affect the Company. It is unknown how long the adverse conditions associated with the ongoing issues will last and what the complete financial effect will be to the Company. It is reasonably possible that estimates made in the financial statements could be materially and adversely impacted in the near term as a result of these conditions, including expected credit losses on loans and off-balance sheet credit exposures. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) As an “emerging growth company” under the Jumpstart Our Business Startups Act of 2012 (“JOBS Act”), the Company is permitted an extended transition period for complying with new or revised accounting standards affecting public companies. We will remain an emerging growth company until the earliest of (i) the end of the fiscal year during which we have total annual gross revenues of $ 1.235 billion or more, (ii) the end of the fiscal year following the fifth anniversary of the completion of our initial public offering (December 31, 2026), (iii) the date on which we have, during the previous three year period, issued more than $ 1.0 billion in non-convertible debt and (iv) the end of the fiscal year in which the market value of our equity securities that are held by non-affiliates exceeds $ 700 million as of June 30 of that year. We have elected to take advantage of this extended transition period, which means that the financial statements included herein, as well as any financial statements that we file in the future, will not be subject to all new or revised accounting standards generally applicable to public companies for the transition period for so long as we remain an emerging growth company or until we affirmatively and irrevocably opt out of the extended transition period under the JOBS Act. If we do so, we will prominently disclose this decision in the first periodic report following our decision, and such decision is irrevocable. As a filer under the JOBS Act, we will implement new accounting standards subject to the effective dates required for non-public entities. ADOPTION OF NEW ACCOUNTING STANDARDS: FASB ASU 2016-13 (Topic 326), “Measurement of Credit Losses on Financial Instruments” 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 CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments). In addition, ASC 326 made changes to the accounting for available-for-sale debt 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 debt securities. Management does not intend to sell or believes that it is more likely than not they will be required to sell. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) The Company adopted Accounting Standards Codification (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 generally accepted accounting principles (GAAP). The Company recorded a net decrease to retained earnings of $ 284 , an increase to deferred tax asset of $ 95 , and an increase to the allowance for credit losses of $ 379 as of January 1, 2023 for the cumulative effect of adopting ASC 326. The following table illustrates the impact of ASC 326. January 1, 2023 Assets: As Reported Under ASC 326 Pre-ASC 326 Adoption Impact of ASC 326 Adoption Allowance for credit losses on loans: One-to-Four Family $ 1,827 $ 1,710 $ 117 Multi-Family 18 17 1 Commercial Real Estate 784 654 130 Construction 124 145 ( 21 ) Commercial 129 204 ( 75 ) Consumer 205 111 94 Allowance for credit losses on loans 3,087 2,841 246 Liabilities: Allowance for credit losses on OBS (1) credit exposures 133 — 133 Totals: $ 3,220 $ 2,841 $ 379 (1) Off Balance Sheet Allowance for Credit Losses- Available-For-Sale Securities: For available-for-sale debt securities in an unrealized loss position, the Company 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 debt securities available-for-sale that do not meet the aforementioned criteria, the Company 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 security by a rating agency, and the adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exist, the present value of cash flows expected to be collected from 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 other comprehensive income. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Changes in the allowance for credit losses are recorded as credit loss expense (or reversal). 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- Loans: The allowance for credit losses (ACL) is a valuation account that is deducted from (or added to) the loans' amortized cost basis to present the net amount expected to be collected on the loans. Loans are charged off against the allowance when management believes the uncollectibility of a loan balance is confirmed. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Management estimates the allowance balance using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term as well as for changes in environmental conditions, such as changes in unemployment rates, property values, or other relevant factors. The allowance for credit losses is measured on a collective pool basis when similar risk characteristics exist. The company has identified the following portfolio segments: One-to-four family Multi-family Commercial real estate Construction Commercial Home equity loans and line of credit Consumer loans The Company uses call code and loan level information in a profitability of default/loss given default model. The model incorporates life-of-loan requirements and considers assumptions that effect the contractual life. There is one set of financial models for all interest rate risk, liquidity risk and credit risk modeling, in addition to loan origination and pricing process. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Loans that do not share risk characteristics are evaluated on an individual basis. Loans evaluated individually are not also included in the collective evaluation. When management determines that foreclosure is probable, expected credit losses are based on the fair value of the collateral at the reporting date, adjusted for selling costs as appropriate. Allowance for Credit Losses on Off-Balance Sheet Credit Exposures: The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The allowance for credit losses on off-balance sheet credit exposures is adjusted through the unfunded commitments provision. 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. FASB ASU 2022-02 (Topic 326), “Financial Instruments- Credit Losses: Troubled Debt Restructurings and Vintage Disclosures” On January 1, 2023, the Company prospectively adopted ASU 2022-02 “ Financial Instruments- Credit Losses: Troubled Debt Restructurings and Vintage Disclosures” related to troubled debt restructurings and vintage disclosures for financing receivables. The amendments eliminate the accounting guidance for troubled debt restructurings by creditors that have adopted the CECL model and enhance the disclosure requirements for loan modifications and restructurings made with borrowers experiencing financial difficulty. In addition, the amendments require disclosure of current-period gross write-offs for financing receivable by year or origination in the vintage disclosures. The amendments in this update are effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, with early adoption permitted. |
Securities Available for Sale
Securities Available for Sale | 6 Months Ended |
Jun. 30, 2023 | |
Debt Securities, Available-for-Sale [Abstract] | |
Securities Available for Sale | NOTE 2 – SECURITIES AVAILABLE FOR SALE Debt Securities The fair value of available-for-sale securities and the related gross unrealized gains and losses recognized in accumulated other comprehensive income at June 30, 2023 and December 31, 2022 were as follows: June 30, 2023 Amortized Gross Gross Estimated U.S Government sponsored entities $ 5,988 $ — $ ( 740 ) $ 5,248 Municipal – taxable 14,401 14 ( 2,548 ) 11,867 Municipal – tax exempt 1,365 — ( 45 ) 1,320 Residential mortgage-backed 10,187 — ( 732 ) 9,455 Commercial mortgage-backed 988 — ( 25 ) 963 SBA (1) guaranteed debenture 558 — ( 43 ) 515 Total $ 33,487 $ 14 $ ( 4,133 ) $ 29,368 December 31, 2022 Amortized Gross Gross Estimated U.S Government sponsored entities $ 5,987 $ — $ ( 734 ) $ 5,253 Municipal – taxable 14,421 14 ( 2,924 ) 11,511 Municipal – tax exempt 1,365 — ( 50 ) 1,315 Residential mortgage-backed 10,871 — ( 729 ) 10,142 Commercial mortgage-backed 983 — ( 23 ) 960 SBA guaranteed debenture 672 — ( 57 ) 615 Total $ 34,299 $ 14 $ ( 4,517 ) $ 29,796 (1) Small Business Administration NOTE 2 – SECURITIES AVAILABLE FOR SALE (Continued) The Company’s mortgage-backed securities are primarily issued by agencies such as Fannie Mae and Ginnie Mae. There were no sales or calls of securities in the six months ended June 30, 2023 or the six months ended June 30, 2022. The amortized cost and fair value of the debt securities portfolio are shown below by expected maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. June 30, 2023 Amortized Estimated Due within one year $ 420 $ 420 Due after one to five years 3,967 3,898 Due after five to ten years 3,351 3,056 Due after ten years 14,016 11,061 Residential mortgage-backed 10,187 9,455 Commercial mortgage-backed 988 963 SBA guaranteed debenture 558 515 Total $ 33,487 $ 29,368 NOTE 2 – SECURITIES AVAILABLE FOR SALE (Continued) Carrying amounts of securities pledged to secure public deposits as of June 30, 2023 and December 31, 2022 were $ 20,117 and $ 26,666 , respectively. At June 30, 2023 and December 31, 2022 , there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of shareholders’ equity. Securities with unrealized losses at June 30, 2023 and December 31, 2022, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, are as follows: Less than 12 months 12 months or more Total June 30, 2023 Fair Unrealized Fair Unrealized Fair Unrealized U.S Government sponsored entities $ 2,951 $ ( 37 ) $ 2,297 $ ( 703 ) $ 5,248 $ ( 740 ) Municipal – taxable — — 11,080 ( 2,548 ) 11,080 ( 2,548 ) Municipal – tax exempt 669 ( 1 ) 651 ( 44 ) 1,320 ( 45 ) Residential mortgage-backed 590 ( 16 ) 8,865 ( 716 ) 9,455 ( 732 ) Commercial mortgage-backed 963 ( 25 ) — — 963 ( 25 ) SBA guaranteed debenture — — 515 ( 43 ) 515 ( 43 ) Total temporarily impaired $ 5,173 $ ( 79 ) $ 23,408 $ ( 4,054 ) $ 28,581 $ ( 4,133 ) Less than 12 months 12 months or more Total December 31, 2022 Fair Unrealized Fair Unrealized Fair Unrealized U.S Government sponsored entities $ 2,978 $ ( 9 ) $ 2,275 $ ( 725 ) $ 5,253 $ ( 734 ) Municipal – taxable 4,404 ( 815 ) 6,318 ( 2,109 ) 10,722 ( 2,924 ) Municipal – tax exempt 1,065 ( 50 ) — — 1,065 ( 50 ) Residential mortgage-backed 9,789 ( 661 ) 353 ( 68 ) 10,142 ( 729 ) Commercial mortgage-backed 960 ( 23 ) — — 960 ( 23 ) SBA guaranteed debenture — — 615 ( 57 ) 615 ( 57 ) Total temporarily impaired $ 19,196 $ ( 1,558 ) $ 9,561 $ ( 2,959 ) $ 28,757 $ ( 4,517 ) NOTE 2 – SECURITIES AVAILABLE FOR SALE (Continued) ACL on Securities: The Company evaluates securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. Quarterly, the Company evaluates if any security has a fair value less than its amortized cost. Once these securities are identified, in order to determine whether a decline in fair value resulted from a credit loss or other factors, the Company performs further analysis. The Company considers the length of time and the extent to which the fair value has been less than cost and the financial condition and near-term prospects of the issuer. Additionally, the Company considers its intent to sell or whether it will be more likely than not it will be required to sell the security prior to the security’s anticipated recovery in fair value. If the Company determines that a credit loss exists, the credit portion of the allowance is measured using a discounted cash flow analysis using the effective interest rate as of the security’s purchase date. The amount of credit loss will be limited to the amount by which the amortized cost exceeds the fair value. The analysis utilizes contractual maturities, as well as third-party credit ratings. At June 30, 2023 , the Company did not identify any securities that violate the credit loss triggers; therefore, no analysis was performed and no credit loss was recognized on any of the securities available-for-sale. Additionally, accrued interest receivable is excluded from the estimate of credit losses for securities available-for-sale and was reported in other assets on the accompanying consolidated balance sheet. All of the securities except for one municipal-taxable security have unrealized losses at June 30, 2023 . None of the unrealized losses for these securities have been recognized into net income for the period ended June 30, 2023 because the issuer's bonds are of high credit quality, management does not intend to sell and it is likely that management will not be required to sell the securities prior to their anticipated recovery, and the decline in fair value is largely due to changes in interest rates. The fair value is expected to recover as the bonds approach their maturity date or reset date. Equity Securities There was one equity security with a readily determinable fair value amount of $ 479 as of December 31, 2022 . We had redemptions of $ 60 and $ 497 for the three and six months ended June 30, 2023 respectively. Net gains of $ 1 and $ 17 were recognized for the three and six months ended June 30, 2023 respectively. |
Loans
Loans | 6 Months Ended |
Jun. 30, 2023 | |
Receivables [Abstract] | |
Loans | NOTE 3 – LOANS Loans at June 30, 2023 and December 31, 2022 were as follows: 2023 2022 Real Estate Loans: One-to-four family $ 177,650 $ 172,157 Multi-family 3,564 3,668 Commercial 94,968 95,989 Construction 17,043 18,466 Total real estate loans 293,225 290,280 Commercial loans 32,855 32,156 Consumer loans: Home equity loans and lines of credit 7,681 6,656 Other consumer 3,633 3,702 Total consumer loans 11,314 10,358 Total loans 337,394 332,794 Net deferred loans fees ( 9 ) ( 10 ) Allowance for credit losses ( 3,112 ) ( 2,841 ) Loans, net $ 334,273 $ 329,943 NOTE 3 – LOANS (Continued) The following tables present the activity in the allowance for credit losses by portfolio segment for the period ending June 30, 2023, and the allowance for loan losses for the period ending June 30, 2022. On January 1, 2023, the Company adopted ASC 326. Refer to Note 1 for further details. The recorded investment in loans in any of the following tables does not include accrued and unpaid interest or any deferred loan fees or costs, as amounts are not significant. Real Estate Three Months Ended June 30, 2023 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Beginning balance April 1, 2023 $ 1,822 $ 17 $ 745 $ 161 $ 103 $ 234 $ 3,082 Charge offs — — — — — — — Recoveries — — — 13 — — 13 Provisions 32 — ( 32 ) ( 61 ) 40 38 17 Total ending balance June 30, 2023 $ 1,854 $ 17 $ 713 $ 113 $ 143 $ 272 $ 3,112 Six Months Ended June 30, 2023 Beginning balance January 1, 2023, prior to adoption of ASC 326 $ 1,710 $ 17 $ 654 $ 145 $ 204 $ 111 $ 2,841 Impact of adoptong ASC 326 117 1 130 ( 21 ) ( 75 ) 94 246 Charge offs — — — — — ( 11 ) ( 11 ) Recoveries — — — 13 — — 13 Provisions 27 ( 1 ) ( 71 ) ( 24 ) 14 78 23 Total ending balance June 30, 2023 $ 1,854 $ 17 $ 713 $ 113 $ 143 $ 272 $ 3,112 Real Estate Three Months Ended June 30, 2022 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Beginning balance April 1, 2022 $ 1,332 $ 16 $ 732 $ 116 $ 166 $ 84 $ 2,446 Charge offs — — — ( 5 ) — — ( 5 ) Recoveries 6 — — — — — 6 Provisions 166 ( 2 ) ( 140 ) 31 45 15 115 Total ending balance June 30, 2022 $ 1,504 $ 14 $ 592 $ 142 $ 211 $ 99 $ 2,562 Six Months Ended June 30, 2022 Beginning balance January 1, 2022 $ 1,355 $ 19 $ 712 $ 109 $ 145 $ 66 $ 2,406 Charge offs — — — ( 5 ) — — ( 5 ) Recoveries 6 — — — — — 6 Provisions 143 ( 5 ) ( 120 ) 38 66 33 155 Total ending balance June 30, 2022 $ 1,504 $ 14 $ 592 $ 142 $ 211 $ 99 $ 2,562 For collateral-dependent loans, the allowance for credit losses is individually assessed based on the fair value of the collateral less estimated costs of sale. The following table presents the amortized cost of collateral-dependent loans by class of loans as June 30, 2023. June 30, 2023 Real estate loans: One-to-four family $ 930 Multi-family — Commercial 4,183 Commercial — Consumer: — Total $ 5,113 NOTE 3 – LOANS (Continued) The following table provides the amount of the allowance for credit losses by class of financing receivable for loans individually evaluated for impairment, loans collectively evaluated for impairment and loans acquired with deteriorated credit quality for the period ending December 31, 2022. Real Estate December 31, 2022 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Ending balance attributed to loans: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment 1,710 17 654 145 204 111 2,841 Total ending allowance balance December 31, 2022: $ 1,710 $ 17 $ 654 $ 145 $ 204 $ 111 $ 2,841 The following table provides the amount of loans by class of financing receivable for loans individually evaluated for impairment, loans collectively evaluated for impairment and loans acquired with deteriorated credit quality for the periods ending December 31, 2022. Loans: Loans individually evaluated for impairment $ 9 $ — $ 2,463 $ — $ — $ — $ 2,472 Loans collectively evaluated for impairment 172,148 3,668 93,526 18,466 32,156 10,358 330,322 Total ending loans balance December 31, 2022 $ 172,157 $ 3,668 $ 95,989 $ 18,466 $ 32,156 $ 10,358 $ 332,794 The following tables presents loans individually evaluated for impairment by portfolio class at December 31, 2022 and the respective average balances of impaired loans and interest income recognized for the three and six months ended June 30, 2022: December 31, 2022 Unpaid Recorded Related With no recorded allowance: Real estate loans: One-to-four family $ 45 $ 9 $ — Multi-family — — — Commercial 2,463 2,463 — Commercial — — — Consumer: — — — Total $ 2,508 $ 2,472 $ — NOTE 3 – LOANS (Continued) Three Months ended Six Months ended Average Interest Average Interest With no recorded allowance: Real estate loans: One-to-four family $ 120 $ 1 $ 85 $ 2 Multi-family — — — — Commercial 3,166 38 3,173 67 Commercial loans: 115 2 126 4 Consumer loans: — — — — Total $ 3,401 $ 41 $ 3,384 $ 73 There were no loans individually evaluated for impairment with recorded allowance for the three and six months ended June 30, 2023 and 2022. The difference between interest income recognized and cash basis interest income recognized was not material. NOTE 3 – LOANS (Continued) The following tables present the aging of the recorded investment in past due loans at June 30, 2023 and December 31, 2022 by portfolio class of loans: June 30, 2023 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total Past Due Current Total Loans Real estate loans: One-to-four family $ 660 $ 106 $ 103 $ 869 $ 176,781 $ 177,650 Multi-family — — — — 3,564 3,564 Commercial 88 — — 88 94,880 94,968 Construction — — — — 17,043 17,043 Total real estate loans 748 106 103 957 292,268 293,225 Commercial — — — — 32,855 32,855 Consumer loans: Home equity loans and lines of credit — — — — 7,681 7,681 Other consumer loans 7 — — 7 3,626 3,633 Total $ 755 $ 106 $ 103 $ 964 $ 336,430 $ 337,394 December 31, 2022 30-59 Days Past due 60-89 Days Past due 90 Days or More Past Due Total Past Due Current Total Loans Real estate loans: One-to-four family $ 2,315 $ 1,251 $ 211 $ 3,777 $ 168,380 $ 172,157 Multi-family — — — — 3,668 3,668 Commercial — — — — 95,989 95,989 Construction — — — — 18,466 18,466 Total real estate loans 2,315 1,251 211 3,777 286,503 290,280 Commercial 48 40 41 129 32,027 32,156 Consumer loans: Home equity loans and lines of credit — — — — 6,656 6,656 Other consumer loans 10 — — 10 3,692 3,702 Total $ 2,373 $ 1,291 $ 252 $ 3,916 $ 328,878 $ 332,794 A loan past due 90 days or more need not be placed on nonaccrual status if the loan is a consumer loan (loans to individuals for household, family and other personal expenditures) or the loan is secured by a one-to-four family residential property. Such loans should be subject to other alternative methods of evaluation to assure that the Bank's interest income is not materially overstated. The loans that were past due 90 days or more were accruing interest as of June 30, 2023 due to the fact that they were well secured and in the process of collection. Not all nonaccrual loans, including loans over 89 past due and still accruing, have an individually evaluated ACL. NOTE 3 – LOANS (Continued) The following tables provide the amortized cost basis of loans on nonaccrual status and loans past due 90 days or more still accruing interest at June 30, 2023 and December 31, 2022 by portfolio class of loans: June 30, 2023 Nonaccrual with No ACL Total Nonaccrual Loans Past Due 90 Days or More Still Accruing Real estate loans: One-to-four family $ 7 $ 7 $ 103 Commercial real estate — — — Construction — — — Total real estate loans 7 7 103 Commercial loans: — — — Consumer loans: Other consumer loans — — — Total consumer loans — — — Total $ 7 $ 7 $ 103 December 31, 2022 Nonaccrual with No ACL Total Nonaccrual Loans Past Due 90 Days or More Still Accruing Real estate loans: One-to-four family $ 9 $ 9 $ 211 Commercial real estate — — — Construction — — — Total real estate loans 9 9 211 Commercial loans: 73 73 — Consumer loans: Other consumer loans — — — Total consumer loans — — — Total $ 82 $ 82 $ 211 NOTE 3 – LOANS (Continued) Loan Modifications to Borrowers Experiencing Financial Difficulty: Occasionally, the Company may make certain modifications of loans to borrowers experiencing financial difficultly. These modifications may be in the form of an interest rate reduction, a term extension or a combination thereof. Upon the Company's determination that a modified loan has subsequently been uncollectible, the portion of the loan deemed uncollectible is charged off against the allowance for credit losses on loans held for investment. The Company closely monitors the performance of the loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of these modifications efforts. During the three and six months ended June 30, 2023, the Company had no modified loans to borrowers experiencing financial difficulty. Troubled debt restructurings (TDR). The following disclosure is presented in accordance with GAAP in effect prior to the adoption of ASU 2022-02. The Company has included this disclosure as of December 31, 2022 or for the three and six months ended June 30, 2023. Prior to the Company's adoption of ASU 2022-02, the Company accounted for a modification to the contractual terms of loans that resulted in granting a concession to borrowers experiencing financial difficulties as a TDR. ASU 2022-02 eliminated TDR accounting prospectively for all restructurings occurring on or after January 1, 2023. Loans that were restructured in a TDR prior to the adoption of ASU 2022-002 will continue to be accounted for under the historical TDR accounting until the loan is paid off, liquidated or subsequently modified. See Note 1 for more information on the Company's adoption of ASU 2022-02. Loan restructurings as of December 31, 2022 were $ 2,878 . The Company has committed no additional amounts at December 31, 2022 to customers with outstanding loans that are restructured. There were no loan restructurings for which there was a payment default within twelve months of the modification during the six months ended June 30, 2023 or the year ended December 31, 2022 . A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms. NOTE 3 – LOANS (Continued) Credit Quality Indicators: The Company utilizes a grading system whereby all loans are assigned a grade based on the risk profile of each loan. Loan grades are determined based on an evaluation of 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. All loans, regardless of size, are analyzed and are given a grade based upon the management’s assessment of the ability of borrowers to service their debts. The analysis is performed on a quarterly basis. The Company uses the following definitions for loan grades: Special Mention. Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of repayment prospects for the loan or of the institution’s credit position at some future date. Substandard . Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Doubtful . Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Loans not meeting the criteria above are graded Pass. These loans are included within groups of homogeneous pools of loans based upon portfolio segment and class for estimation of the allowance for loan losses on a collective basis. NOTE 3 – LOANS (Continued) At June 30, 2023, based on the most recent analysis performed, the risk category of loans by class of loans is as follows: Term Loans by Origination Year June 30, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Total One-to-four family Risk rating Pass $ 16,313 $ 62,511 $ 31,813 $ 18,263 $ 7,142 $ 40,678 $ — $ 176,720 Special mention — — — — — — — — Substandard — 82 585 — — 263 — 930 Doubtful — — — — — — — — Total one-to-four family $ 16,313 $ 62,593 $ 32,398 $ 18,263 $ 7,142 $ 40,941 $ — $ 177,650 Multi-family Risk rating Pass $ — $ 767 $ 927 $ 1,306 $ — $ 564 $ — $ 3,564 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total multi-family. $ — $ 767 $ 927 $ 1,306 $ — $ 564 $ — $ 3,564 Commercial real estate Risk rating Pass $ 5,738 $ 36,529 $ 9,178 $ 12,494 $ 4,536 $ 21,870 $ 440 $ 90,785 Special mention — — — — — — — — Substandard — 1,720 2,463 — — — — 4,183 Doubtful — — — — — — — — Total commercial real estate $ 5,738 $ 38,249 $ 11,641 $ 12,494 $ 4,536 $ 21,870 $ 440 $ 94,968 Construction Risk rating Pass $ 3,239 $ 12,081 $ 1,723 $ — $ — $ — $ — $ 17,043 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total construction $ 3,239 $ 12,081 $ 1,723 $ — $ — $ — $ — $ 17,043 Commercial Risk rating Pass $ 3,039 $ 8,297 $ 2,396 $ 795 $ 204 $ 4,485 $ 13,639 $ 32,855 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total commercial $ 3,039 $ 8,297 $ 2,396 $ 795 $ 204 $ 4,485 $ 13,639 $ 32,855 NOTE 3 – LOANS (Continued) Term Loans by Origination Year June 30, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Total Home equity and lines of credit Risk rating Pass $ — $ — $ — $ — $ — $ — $ 7,681 $ 7,681 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total home equity and lines of credit $ — $ — $ — $ — $ — $ — $ 7,681 $ 7,681 Consumer Risk rating Pass $ 1,372 $ 1,475 $ 536 $ 216 $ — $ 34 $ — $ 3,633 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total consumer $ 1,372 $ 1,475 $ 536 $ 216 $ — $ 34 $ — $ 3,633 Total Loans $ 29,701 $ 123,462 $ 49,621 $ 33,074 $ 11,882 $ 67,894 $ 21,760 $ 337,394 At December 31, 2022, based on the most recent analysis performed, the loan grade for each loan by portfolio class is as follows: December 31, 2022 Pass Special Mention Substandard Doubtful Total Real estate loans: One-to-four family $ 170,397 $ 1,452 $ 308 $ — $ 172,157 Multi-family 3,668 — — — 3,668 Commercial 91,749 1,751 2,489 — 95,989 Construction 18,466 — — — 18,466 Total real estate loans 284,280 3,203 2,797 — 290,280 Commercial 32,115 — 41 — 32,156 Consumer loans: Home equity loans and lines of credit 6,656 — — — 6,656 Other consumer loans 3,702 — — — 3,702 Total $ 326,753 $ 3,203 $ 2,838 $ — $ 332,794 |
Premises and Equipment
Premises and Equipment | 6 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | NOTE 4- PREMISES AND EQUIPMENT Premises and equipment at June 30, 2023 and December 31, 2022 were as follows: 2023 2022 Land $ 1,924 $ 1,924 Buildings and improvements 16,524 15,668 Furniture, fixtures and equipment 2,566 2,623 21,014 20,215 Less: Accumulated depreciation ( 9,531 ) ( 9,364 ) $ 11,483 $ 10,851 Depreciation expense for the three and six months ended June 30, 2023 was $ 128 and $ 256 , respectively. Depreciation expense for the three and six months ended June 30, 2022 was $ 115 and $ 226 respectively. Depreciation expense for the year ended December 31, 2022 was $ 468 . |
Deposits
Deposits | 6 Months Ended |
Jun. 30, 2023 | |
Deposits [Abstract] | |
Deposits | NOTE 5 – DEPOSITS Time deposits that meet or exceed the FDIC insurance limit of $ 250 at June 30, 2023 and December 31, 2022 were $ 33,327 and $ 32,614 , respectively. Scheduled maturities of time deposits at June 30, 2023 for the next five years were as follows: 2023 $ 26,387 2024 42,137 2025 11,904 2026 2,375 2027 or thereafter 1,910 At June 30, 2023 and 2022, overdraft demand and savings deposits reclassified to loans totaled $ 66 and $ 109 , respectively. |
Federal Home Loan Bank Advances
Federal Home Loan Bank Advances and Other Debt | 6 Months Ended |
Jun. 30, 2023 | |
Federal Home Loan Banks [Abstract] | |
Federal Home Loan Bank Advances and Other Debt | NOTE 6 – FEDERAL HOME LOAN BANK ADVANCES AND OTHER DEBT At June 30, 2023 and December 31, 2022, advances from the Federal Home Loan Bank were as follows: 2023 2022 Maturities October 2025 through March 2028, fixed rate at rates 4.1175 % to 4.611 %, averaging 4.26 % $ 35,000 $ — Maturities September 2024 through October 2027, fixed rate at rates 4.2265 % to 4.611 %, averaging 4.3371 % — 25,000 Total $ 35,000 $ 25,000 During the six months ended June 30, 2023 , the Company restructured $ 15,000 of outstanding advances, recognizing a net gain of $ 127 . The average rate of 4.26 % was a blended rate at June 30, 2023. Each advance, in the table above, is payable at its maturity date, with a prepayment penalty for fixed rate advances.The advances were collateralized by $ 86,332 and $ 83,008 of eligible first mortgage one-to-four family, multi-family, and commercial loans under a blanket lien arrangement at June 30, 2023 and December 31, 2022 , respectively. Based on this collateral and the Company’s holdings of FHLB stock, the Company is eligible to borrow funds of $ 126,541 at June 30, 2023. Payments over the next five years are as follows: 2023 $ — 2024 — 2025 5,000 2026 10,000 2027 10,000 Thereafter 10,000 The Company had approximately $ 10,000 available in a line of credit for federal funds (or the equivalent thereof) with correspondent banks at June 30, 2023 and December 31, 2022 . There were no amounts outstanding as of June 30, 2023 or December 31, 2022 . |
Employee Stock Ownership Plan
Employee Stock Ownership Plan | 6 Months Ended |
Jun. 30, 2023 | |
Compensation Related Costs [Abstract] | |
Employee Stock Ownership Plan | NOTE 7 - EMPLOYEE STOCK OWNERSHIP PLAN With the conversion to the stock holding company, 354,599 shares were sold to the Employee Stock Ownership Plan (ESOP). The ESOP borrowed from the Company to purchase the shares of the Company’s common stock at $ 10 . The Company combined the preexisting loan with the current loan. The Company will make discretionary contributions to the ESOP, as well as paying dividends on unallocated shares to the ESOP, and the ESOP uses funds it receives to repay the loan. When loan payments are made, ESOP shares are allocated to participants based on relative compensation and expense is recorded. Dividends on allocated shares increase participant accounts. Participants receive the shares at the end of employment. A participant may require stock received to be repurchased unless the stock is traded on an established market. The ESOP compensation expense for the three months ended June 30, 2023 and 2022 was $ 76 and $ 46 , respectively. The ESOP compensation expense for the six months ended June 30, 2023 and 2022 was $ 151 and $ 120 , respectively. At June 30, 2023 , there were 295,938 shares not yet released, having an aggregate market value of $ 3,155 based on close price of $ 10.66 . |
Stock Based Compensation
Stock Based Compensation | 6 Months Ended |
Jun. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock Based Compensation | NOTE 8 – STOCK BASED COMPENSATION In May 2020, the stockholders approved the Cullman Bancorp, Inc. 2020 Equity Incentive Plan (the “2020 Equity Incentive Plan”) for employees and directors of the Company. The 2020 Equity Incentive Plan authorizes the issuance of up to 200,000 shares of the Company’s common stock, with no more than 80,000 of shares as restricted stock awards and 120,000 as stock options, either incentive stock options or non-qualified stock options. These amounts have been subsequently converted at the exchange ratio of 2.8409 -to-one for the mutual-to-stock conversion, rounding down for fractional shares.The exercise price of options granted under the 2020 Equity Incentive Plan may not be less than the fair market value on the date the stock option is granted. The Compensation Committee of the Board of Directors has sole discretion to determine the amount and to whom equity incentive awards are granted. In May 2023, the stockholders approved the Cullman Bancorp, Inc 2023 Equity Incentive Plan (the "2023 Equity Incentive Plan") for employees and directors of the Company. The 2023 Equity Incentive Plan authorizes the issuance of up to 620,548 shares of the Company's common stock, with no more than 177,299 of shares as restricted stock awards and 443,249 as stock options, either incentive stock options or non-qualified stock options. The exercise price of the options granted under the 2023 Equity Incentive Plan may not be less than the fair market value on the date the stock options is granted. The Compensation Committee of the Board of Directors has sole discretion to determine the amount and to whom equity incentive awards are granted. NOTE 8 – STOCK BASED COMPENSATION (Continued) As of June 30, 2023 , there were no shares available for future grants under the 2020 plan, except in the event of forfeitures. Under the 2023 plan, there are 177,299 of restricted shares available for future grants. The following table summarizes stock option activity for the six months ended June 30, 2023: Options Weighted- Weighted- Aggregate (1) Outstanding 1/1/23 340,903 $ 9.86 7.13 Granted 443,249 10.54 10.00 Exercised — — Forfeited — Outstanding 6/30/23 784,152 $ 10.24 8.75 Vested or expected to vest 784,152 $ 10.24 8.75 $ 329 Exercisable at period end 136,354 57 (1) Based on close price of $ 10.66 as of June 30, 2023 . Intrinsic value for stock options is defined as the difference between the current market value and the exercise price multiplied by the number of in-the-money options. Stock based compensation expense for stock options for the three and six months ended June 30, 2023 was $ 27 and $ 54 , respectively. Unrecognized compensation cost related to nonvested stock options for the 2020 plan at June 30, 2023 was $ 279 and is expected to be recognized over 2.08 years. Unrecognized compensation cost related to the nonvested stock options for the 2023 plan at June 30, 2023 was $ 594 and is expected to be recognized over 5 years. The following table summarizes non-vested restricted stock activity for the quarter ended June 30, 2023: 2023 Weighted Average Grant-Date Fair Value Balance – January 1, 2023 136,356 $ 9.86 Granted — — Vested — Balance –June 30, 2023 136,356 $ 9.86 NOTE 8 – STOCK BASED COMPENSATION (Continued) The following table summarizes the restricted stock fair value: Date of Awards Shares Converted Shares Vesting Period (years) Converted Fair Value August 2020 80,000 227,266 5 $ 9.86 For the three and six months ended June 30, 2023 , stock-based compensation expense for restricted stock included in non-interest expense was $ 112 and $ 224 , respectively. Unrecognized compensation expense for nonvested restricted stock awards was $ 933 as of June 30, 2023 and is expected to be recognized over 2.08 years. |
Regulatory Capital Matters
Regulatory Capital Matters | 6 Months Ended |
Jun. 30, 2023 | |
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract] | |
Regulatory Capital Matters | NOTE 9 - REGULATORY CAPITAL MATTERS Banks are subject to regulatory capital requirements administered by federal banking agencies. Capital adequacy guidelines and, additionally for banks, prompt corrective action regulations, involve quantitative measures of assets, liabilities, and certain off-balance-sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators. Failure to meet capital requirements can initiate regulatory action. The net unrealized gain or loss on available-for-sale securities is not included in computing regulatory capital. Management believes as of June 30, 2023, the Bank meets all capital adequacy requirements to which it is subject. The Bancorp is not subject to regulatory capital requirements due to its size. Prompt corrective action regulations provide five classifications: well capitalized, adequately capitalized, undercapitalized, significantly undercapitalized, and critically undercapitalized, although these terms are not used to represent overall financial condition. If adequately capitalized, regulatory approval is required to accept brokered deposits. If undercapitalized, capital distributions are limited, as is asset growth and expansion, and capital restoration plans are required. As of June 30, 2023 and December 31, 2022, the most recent regulatory notifications categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. There are no conditions or events since that notification that management believes have changed the institution’s category. The community bank leverage ratio framework (CBLR framework) provides qualifying community banking organizations an optional, simplified measure to determine capital adequacy. The Bank made the election to be subject to the CBLR framework as of December 31, 2020. The community bank leverage ratio removes the requirement for qualifying banking organizations to calculate and report risk-based capital but rather only requires a Tier 1 to average assets (leverage) ratio. Qualifying banking organizations that elect to use the community bank leverage rate framework and that maintain a leverage ratio of greater than required minimums will be considered to have satisfied the generally applicable risk based and leverage capital requirements in the agencies’ capital rules (generally applicable rule) and, if applicable, will be considered to have met the well capitalized ratio requirements for purposes of section 38 of the Federal Deposit Insurance Act. The community bank leverage ratio minimum requirement is currently 9.00 %. An eligible banking organization can opt out of the CBLR framework and revert back to the risk-weighting framework without restriction. As of June 30, 2023 the Bank was a qualifying community banking organization as defined by the federal banking agencies and elected to measure capital adequacy under the CBLR framework. NOTE 9 - REGULATORY CAPITAL MATTERS (Continued) Actual and required capital amounts for the Bank and ratios at June 30, 2023 and December 31, 2022 are presented below: Actual To be well Capitalized Amount Ratio Amount Ratio June 30, 2023 Tier 1 (Core) Capital to average total $ 77,448 18.44 % $ 37,798 9.00 % December 31, 2022 Tier 1 (Core) Capital to average total $ 75,221 17.75 % $ 38,137 9.00 % The Qualified Thrift Lender test requires at least 65 % of assets be maintained in housing-related finance and other specified areas. If this test is not met, limits are placed on growth, branching, new investments, FHLB advances and dividends, or the Bank must convert to a commercial bank charter. Management believes this test is met. However, during 2022, the Bank was approved to make and made the election for Covered Savings Association (CSA) status. This election provides the Bank with the same rights and privileges as a national bank but the Bank retains its federal savings association charter. Dividend Restrictions - The Company’s principal source of funds for dividend payments is dividends received from the Bank. Banking regulations limit the amount of dividends that may be paid without prior approval of regulatory agencies. Under these regulations, the amount of dividends that may be paid in any calendar year is limited to the current year’s net profits, combined with the retained net profits of the preceding two years, subject to the capital requirements described above. During 2023, the Bank could, without prior approval from its regulators, declare dividends of approximately $ 7,257 plus any 2023 net profits retained to the date of the dividend declaration. |
Fair Values of Financial Instru
Fair Values of Financial Instruments | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Values of Financial Instruments | NOTE 10 – FAIR VALUES OF FINANCIAL INSTRUMENTS Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability; or generated from model-based techniques that use at least one significant assumption not observable in the market. Valuation techniques include use of option pricing models, discounted cash flow models and similar techniques. The Company used the following methods and significant assumptions to estimate fair value: Investment Securities : The fair values for investment securities are determined by quoted market prices, if available (Level 1). For securities where quoted prices are not available, fair values are calculated based on market prices of similar securities (Level 2), using matrix pricing. Matrix pricing is a mathematical technique commonly used to price debt securities that are not actively traded, values debt securities without relying exclusively on quoted prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities (Level 2 inputs). Equity securities are carried at fair value, with changes in fair value reported in net income. This investment is considered an equity security with readily determinable fair value not held for trading (Level 3). For securities where quoted prices or market prices of similar securities are not available, fair values are calculated using discounted cash flows or other market indicators (Level 3). The Company’s taxable municipal investment securities’ fair values are determined based on a discounted cash flow analysis prepared by an independent third party. NOTE 10 – FAIR VALUES OF FINANCIAL INSTRUMENTS (Continued) Impaired Loans : At the time a loan is considered impaired, it is valued at the lower of cost or fair value. For collateral dependent loans, fair value is commonly based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. Non-real estate collateral may be valued using an appraisal, net book value per the borrower’s financial statements, or aging reports, adjusted or discounted based on management’s historical knowledge, changes in market conditions from the time of the valuation, and management’s expertise and knowledge of the client and client’s business, resulting in a Level 3 fair value classification. Impaired loans are evaluated on a quarterly basis for additional impairment and adjusted accordingly. Foreclosed Real Estate : Assets acquired through or instead of loan foreclosure are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. These assets are subsequently accounted for at lower of cost or fair value less estimated costs to sell. Fair value is commonly based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. For appraisals where the value is $ 100 or above for both collateral-dependent impaired loans and other real estate owned are performed by certified general appraisers (for commercial properties) or certified residential appraisers (for residential properties) whose qualifications and licenses have been reviewed and verified by the Company. Once received, a member of the Loan Department reviews the assumptions and approaches utilized in the appraisal as well as the overall resulting fair value in comparison with independent data sources such as recent market data or industry-wide statistics. In accordance to company policy, if the Company holds the property for over two years , an updated appraisal or validation would be obtained in order to determine if the fair value amount should be adjusted. NOTE 10 – FAIR VALUES OF FINANCIAL INSTRUMENTS (Continued) Assets and Liabilities Measured on a Recurring Basis Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurement Using Quoted Prices in Significant Other Significant June 30, 2023 Securities available for sale U.S. Government sponsored agencies $ — $ 5,248 $ — Municipal – taxable — 11,867 — Municipal – taxable exempt — 1,320 — Residential mortgage-backed — 9,455 — Commercial mortgage-backed 963 SBA guaranteed debenture — 515 — Total investment securities available for sale $ — $ 29,368 $ — Fair Value Measurement Using Quoted Prices in Significant Other Significant December 31, 2022 Securities available for sale U.S. Government sponsored agencies $ — $ 5,253 $ — Municipal – taxable — 11,511 — Municipal – taxable exempt — 1,315 — Residential mortgage-backed — 10,142 — Commercial mortgage-backed — 960 — SBA guaranteed debenture — 615 — Total investment securities available for sale $ — $ 29,796 $ — NOTE 10 – FAIR VALUES OF FINANCIAL INSTRUMENTS (Continued) The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2023: Equity Securities 2023 2022 Beginning Balance of recurring Level 3 assets $ 479 $ — Purchases — 1,000 Redemption ( 497 ) Unrealized gain 18 5 Ending Balance of recurring Level 3 assets $ — $ 1,005 There were no transfers between levels during six months ended June 30, 2023 and 2022. Our state and municipal securities valuations are supported by analysis prepared by an independent third party. Their approach to determining fair value involves using recently executed transactions for similar securities and market quotations for similar securities. As these securities are not rated by the rating agencies and trading volumes are thin, it was determined that these were valued using Level 3 inputs. The significant unobservable inputs used in the fair value measurement of the Company's taxable municipal securities are discount rates and credit spreads that the market would require for taxable municipal securities with similar maturities and risk characteristics. Significant increases/(decreases) in any of those inputs in isolation would result in a significantly lower/(higher) fair value measurement. Assets and Liabilities Measured 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 U.S. 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 June 30, 2023 and December 31, 2022 (amounts in thousands): Fair Value Measurements June 30, 2023 December 31, 2022 Impaired loans: RE loans: One-to four family $ 7 $ 9 Commercial — 73 Foreclosed real estate: One-to four family $ — $ 50 NOTE 10 – FAIR VALUES OF FINANCIAL INSTRUMENTS (Continued) The Company has estimated the fair values of these assets using Level 3 inputs, specifically the appraised value of the collateral. Impaired loan balances represent those collateral dependent impaired loans where management has estimated the credit loss by comparing the loan’s carrying value against the expected realizable fair value of the impaired loan for the amount of the credit loss. The Company had zero Level 3 assets measured at fair value on a recurring basis at June 30, 2023 and December 31, 2022. For Level 3 assets measured at fair value on a nonrecurring basis as of June 30, 2023 and December 31, 2022 appraisals were used for the valuation technique. For the significant unobservable input, the appraisal discounts and the weighted average input of 15 - 20 % were used for the periods ended June 30, 2023 and December 31, 2022. The carrying amounts and estimated fair values of the Company’s on-balance sheet financial instruments at June 30, 2023 and December 31, 2022 are summarized below: Fair Value Measurements at Carrying Amount Level 1 Level 2 Level 3 Total Financial assets: Cash and cash equivalents $ 26,183 $ 26,183 $ — $ — $ 26,183 Securities available for sale 29,368 — 29,368 — 29,368 Loans held for sale — — — — — Loan, net 334,273 — — 326,657 326,657 Accrued interest receivable 1,203 — 217 986 1,203 Restricted equity securities 2,507 N/A N/A N/A N/A Financial liabilities: Deposits $ 275,152 $ 190,439 $ 82,008 $ — $ 272,447 Federal Home Loan Bank advances 35,000 — 35,479 — 35,479 Accrued interest payable 204 6 198 — 204 Fair Value Measurements at Carrying Amount Level 1 Level 2 Level 3 Total Financial assets: Cash and cash equivalents $ 36,645 $ 36,645 $ — $ — $ 36,645 Securities available for sale 29,796 — 29,796 — 29,796 Loan, net 329,943 — — 320,687 320,687 Accrued interest receivable 1,162 — 219 943 1,162 Restricted equity securities 2,033 — — — N/A Financial liabilities: Deposits $ 292,949 $ 213,499 $ 76,306 $ — $ 289,805 Federal Home Loan Bank advances 25,000 — 25,102 — 25,102 Accrued interest payable 155 5 150 — 155 |
Earnings Per Common Share
Earnings Per Common Share | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | NOTE 11 – EARNINGS PER COMMON SHARE The factors used in the earnings per common share computation follow: For the Three Months For the Six Months 2023 2022 2023 2022 Earnings per share Net Income $ 1,028 $ 1,312 $ 2,043 $ 2,322 Less: Distributed earning allocated to participating — — — — Less: Earnings allocated to participating securities ( 19 ) ( 10 ) ( 21 ) ( 35 ) Net earnings allocated to common stock 1,009 1,302 2,022 2,287 Weighted common shares outstanding 7,382,731 7,405,893 7,383,476 7,405,893 Less: Participating securities ( 136,356 ) ( 181,811 ) ( 136,356 ) ( 181,811 ) Less: Average unearned ESOP shares ( 299,603 ) ( 352,079 ) ( 301,435 ) ( 353,911 ) Weighted average shares 6,946,772 6,872,003 6,945,685 6,870,171 Basic earnings per share $ 0.15 $ 0.19 $ 0.29 $ 0.33 Dilutive Net earnings allocated to common stock 1,009 1,302 2,022 2,287 Weighted average shares 6,946,772 6,872,003 6,945,685 6,870,171 Add: dilutive effects of assumed exercises of stock 79,312 93,129 86,852 86,568 Average shares and dilutive potential common shares 7,026,084 6,965,132 7,032,537 6,956,739 Dilutive earnings per share $ 0.14 $ 0.19 $ 0.29 $ 0.33 Stock options for shares of common stock of 443,249 during 2023 and 340,903 during 2022 were not considered in computing diluted earnings per share for 2023 and 2022, respectively because they were antidilutive. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Nature of Operations and Principles of Consolidation | Nature of Operations and Principles of Consolidation : The consolidated financial statements of Cullman Bancorp, Inc. (“the Bancorp”) include the accounts of its wholly owned subsidiary, Cullman Savings Bank (“the Bank”), together referred to as “the Company”. The Company provides financial services through its offices in Cullman County, Alabama. Its primary deposit products are checking, savings, and term certificate accounts, and its primary lending products are residential mortgage, commercial, and installment loans. Substantially all loans are secured by specific items of collateral including business assets, consumer assets, and commercial and residential real estate. Commercial loans are expected to be repaid from cash flows from operations of businesses. There are no significant concentrations of loans to any one industry or customer. However, the customers' ability to repay their loans is dependent on the real estate and general economic conditions in the area. |
Risk and Uncertainties | Risk and Uncertainties : Ongoing economic challenges, including issues such as rising inflation and global supply chain disruption have impacted global financial markets. Additionally, the Company faces increased public and regulatory scrutiny resulting from the financial market crisis resulting from recent bank failures. Because of the significant uncertainties related to the economy and its potential effects on customers and prospects, there can be no assurances as to how the crisis may ultimately affect the Company. It is unknown how long the adverse conditions associated with the ongoing issues will last and what the complete financial effect will be to the Company. It is reasonably possible that estimates made in the financial statements could be materially and adversely impacted in the near term as a result of these conditions, including expected credit losses on loans and off-balance sheet credit exposures. |
Allowance for Loan Losses | Allowance for Credit Losses- Loans: The allowance for credit losses (ACL) is a valuation account that is deducted from (or added to) the loans' amortized cost basis to present the net amount expected to be collected on the loans. Loans are charged off against the allowance when management believes the uncollectibility of a loan balance is confirmed. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Management estimates the allowance balance using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term as well as for changes in environmental conditions, such as changes in unemployment rates, property values, or other relevant factors. The allowance for credit losses is measured on a collective pool basis when similar risk characteristics exist. The company has identified the following portfolio segments: One-to-four family Multi-family Commercial real estate Construction Commercial Home equity loans and line of credit Consumer loans The Company uses call code and loan level information in a profitability of default/loss given default model. The model incorporates life-of-loan requirements and considers assumptions that effect the contractual life. There is one set of financial models for all interest rate risk, liquidity risk and credit risk modeling, in addition to loan origination and pricing process. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Loans that do not share risk characteristics are evaluated on an individual basis. Loans evaluated individually are not also included in the collective evaluation. When management determines that foreclosure is probable, expected credit losses are based on the fair value of the collateral at the reporting date, adjusted for selling costs as appropriate. |
Allowance for Credit Losses on Off-Balance Sheet Credit Exposures | Allowance for Credit Losses on Off-Balance Sheet Credit Exposures: The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The allowance for credit losses on off-balance sheet credit exposures is adjusted through the unfunded commitments provision. 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. FASB ASU 2022-02 (Topic 326), “Financial Instruments- Credit Losses: Troubled Debt Restructurings and Vintage Disclosures” On January 1, 2023, the Company prospectively adopted ASU 2022-02 “ Financial Instruments- Credit Losses: Troubled Debt Restructurings and Vintage Disclosures” related to troubled debt restructurings and vintage disclosures for financing receivables. The amendments eliminate the accounting guidance for troubled debt restructurings by creditors that have adopted the CECL model and enhance the disclosure requirements for loan modifications and restructurings made with borrowers experiencing financial difficulty. In addition, the amendments require disclosure of current-period gross write-offs for financing receivable by year or origination in the vintage disclosures. The amendments in this update are effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, with early adoption permitted. |
Marketable Securities | Allowance for Credit Losses- Available-For-Sale Securities: For available-for-sale debt securities in an unrealized loss position, the Company 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 debt securities available-for-sale that do not meet the aforementioned criteria, the Company 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 security by a rating agency, and the adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exist, the present value of cash flows expected to be collected from 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 other comprehensive income. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Changes in the allowance for credit losses are recorded as credit loss expense (or reversal). 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. |
Recent Accounting Pronouncements and Accounting Changes | NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) As an “emerging growth company” under the Jumpstart Our Business Startups Act of 2012 (“JOBS Act”), the Company is permitted an extended transition period for complying with new or revised accounting standards affecting public companies. We will remain an emerging growth company until the earliest of (i) the end of the fiscal year during which we have total annual gross revenues of $ 1.235 billion or more, (ii) the end of the fiscal year following the fifth anniversary of the completion of our initial public offering (December 31, 2026), (iii) the date on which we have, during the previous three year period, issued more than $ 1.0 billion in non-convertible debt and (iv) the end of the fiscal year in which the market value of our equity securities that are held by non-affiliates exceeds $ 700 million as of June 30 of that year. We have elected to take advantage of this extended transition period, which means that the financial statements included herein, as well as any financial statements that we file in the future, will not be subject to all new or revised accounting standards generally applicable to public companies for the transition period for so long as we remain an emerging growth company or until we affirmatively and irrevocably opt out of the extended transition period under the JOBS Act. If we do so, we will prominently disclose this decision in the first periodic report following our decision, and such decision is irrevocable. As a filer under the JOBS Act, we will implement new accounting standards subject to the effective dates required for non-public entities. ADOPTION OF NEW ACCOUNTING STANDARDS: FASB ASU 2016-13 (Topic 326), “Measurement of Credit Losses on Financial Instruments” 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 CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments). In addition, ASC 326 made changes to the accounting for available-for-sale debt 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 debt securities. Management does not intend to sell or believes that it is more likely than not they will be required to sell. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) The Company adopted Accounting Standards Codification (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 generally accepted accounting principles (GAAP). The Company recorded a net decrease to retained earnings of $ 284 , an increase to deferred tax asset of $ 95 , and an increase to the allowance for credit losses of $ 379 as of January 1, 2023 for the cumulative effect of adopting ASC 326. The following table illustrates the impact of ASC 326. January 1, 2023 Assets: As Reported Under ASC 326 Pre-ASC 326 Adoption Impact of ASC 326 Adoption Allowance for credit losses on loans: One-to-Four Family $ 1,827 $ 1,710 $ 117 Multi-Family 18 17 1 Commercial Real Estate 784 654 130 Construction 124 145 ( 21 ) Commercial 129 204 ( 75 ) Consumer 205 111 94 Allowance for credit losses on loans 3,087 2,841 246 Liabilities: Allowance for credit losses on OBS (1) credit exposures 133 — 133 Totals: $ 3,220 $ 2,841 $ 379 (1) Off Balance Sheet |
Securities Available for Sale (
Securities Available for Sale (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Debt Securities, Available-for-Sale [Abstract] | |
Summary of Fair Value of Available for Sale Securities and Related Gross Unrealized Gains and Losses | The fair value of available-for-sale securities and the related gross unrealized gains and losses recognized in accumulated other comprehensive income at June 30, 2023 and December 31, 2022 were as follows: June 30, 2023 Amortized Gross Gross Estimated U.S Government sponsored entities $ 5,988 $ — $ ( 740 ) $ 5,248 Municipal – taxable 14,401 14 ( 2,548 ) 11,867 Municipal – tax exempt 1,365 — ( 45 ) 1,320 Residential mortgage-backed 10,187 — ( 732 ) 9,455 Commercial mortgage-backed 988 — ( 25 ) 963 SBA (1) guaranteed debenture 558 — ( 43 ) 515 Total $ 33,487 $ 14 $ ( 4,133 ) $ 29,368 December 31, 2022 Amortized Gross Gross Estimated U.S Government sponsored entities $ 5,987 $ — $ ( 734 ) $ 5,253 Municipal – taxable 14,421 14 ( 2,924 ) 11,511 Municipal – tax exempt 1,365 — ( 50 ) 1,315 Residential mortgage-backed 10,871 — ( 729 ) 10,142 Commercial mortgage-backed 983 — ( 23 ) 960 SBA guaranteed debenture 672 — ( 57 ) 615 Total $ 34,299 $ 14 $ ( 4,517 ) $ 29,796 (1) Small Business Administration |
Schedule of Amortized Cost and Fair Value of Investment Securities Portfolio by Expected Maturities | The amortized cost and fair value of the debt securities portfolio are shown below by expected maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. June 30, 2023 Amortized Estimated Due within one year $ 420 $ 420 Due after one to five years 3,967 3,898 Due after five to ten years 3,351 3,056 Due after ten years 14,016 11,061 Residential mortgage-backed 10,187 9,455 Commercial mortgage-backed 988 963 SBA guaranteed debenture 558 515 Total $ 33,487 $ 29,368 |
Summary of Unrealized Loss on Securities | Securities with unrealized losses at June 30, 2023 and December 31, 2022, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, are as follows: Less than 12 months 12 months or more Total June 30, 2023 Fair Unrealized Fair Unrealized Fair Unrealized U.S Government sponsored entities $ 2,951 $ ( 37 ) $ 2,297 $ ( 703 ) $ 5,248 $ ( 740 ) Municipal – taxable — — 11,080 ( 2,548 ) 11,080 ( 2,548 ) Municipal – tax exempt 669 ( 1 ) 651 ( 44 ) 1,320 ( 45 ) Residential mortgage-backed 590 ( 16 ) 8,865 ( 716 ) 9,455 ( 732 ) Commercial mortgage-backed 963 ( 25 ) — — 963 ( 25 ) SBA guaranteed debenture — — 515 ( 43 ) 515 ( 43 ) Total temporarily impaired $ 5,173 $ ( 79 ) $ 23,408 $ ( 4,054 ) $ 28,581 $ ( 4,133 ) Less than 12 months 12 months or more Total December 31, 2022 Fair Unrealized Fair Unrealized Fair Unrealized U.S Government sponsored entities $ 2,978 $ ( 9 ) $ 2,275 $ ( 725 ) $ 5,253 $ ( 734 ) Municipal – taxable 4,404 ( 815 ) 6,318 ( 2,109 ) 10,722 ( 2,924 ) Municipal – tax exempt 1,065 ( 50 ) — — 1,065 ( 50 ) Residential mortgage-backed 9,789 ( 661 ) 353 ( 68 ) 10,142 ( 729 ) Commercial mortgage-backed 960 ( 23 ) — — 960 ( 23 ) SBA guaranteed debenture — — 615 ( 57 ) 615 ( 57 ) Total temporarily impaired $ 19,196 $ ( 1,558 ) $ 9,561 $ ( 2,959 ) $ 28,757 $ ( 4,517 ) |
Loans (Tables)
Loans (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Receivables [Abstract] | |
Summary of Major Classifications of Loans | Loans at June 30, 2023 and December 31, 2022 were as follows: 2023 2022 Real Estate Loans: One-to-four family $ 177,650 $ 172,157 Multi-family 3,564 3,668 Commercial 94,968 95,989 Construction 17,043 18,466 Total real estate loans 293,225 290,280 Commercial loans 32,855 32,156 Consumer loans: Home equity loans and lines of credit 7,681 6,656 Other consumer 3,633 3,702 Total consumer loans 11,314 10,358 Total loans 337,394 332,794 Net deferred loans fees ( 9 ) ( 10 ) Allowance for credit losses ( 3,112 ) ( 2,841 ) Loans, net $ 334,273 $ 329,943 |
Recorded investment in loans based on impairment method | The following tables present the activity in the allowance for credit losses by portfolio segment for the period ending June 30, 2023, and the allowance for loan losses for the period ending June 30, 2022. On January 1, 2023, the Company adopted ASC 326. Refer to Note 1 for further details. The recorded investment in loans in any of the following tables does not include accrued and unpaid interest or any deferred loan fees or costs, as amounts are not significant. Real Estate Three Months Ended June 30, 2023 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Beginning balance April 1, 2023 $ 1,822 $ 17 $ 745 $ 161 $ 103 $ 234 $ 3,082 Charge offs — — — — — — — Recoveries — — — 13 — — 13 Provisions 32 — ( 32 ) ( 61 ) 40 38 17 Total ending balance June 30, 2023 $ 1,854 $ 17 $ 713 $ 113 $ 143 $ 272 $ 3,112 Six Months Ended June 30, 2023 Beginning balance January 1, 2023, prior to adoption of ASC 326 $ 1,710 $ 17 $ 654 $ 145 $ 204 $ 111 $ 2,841 Impact of adoptong ASC 326 117 1 130 ( 21 ) ( 75 ) 94 246 Charge offs — — — — — ( 11 ) ( 11 ) Recoveries — — — 13 — — 13 Provisions 27 ( 1 ) ( 71 ) ( 24 ) 14 78 23 Total ending balance June 30, 2023 $ 1,854 $ 17 $ 713 $ 113 $ 143 $ 272 $ 3,112 Real Estate Three Months Ended June 30, 2022 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Beginning balance April 1, 2022 $ 1,332 $ 16 $ 732 $ 116 $ 166 $ 84 $ 2,446 Charge offs — — — ( 5 ) — — ( 5 ) Recoveries 6 — — — — — 6 Provisions 166 ( 2 ) ( 140 ) 31 45 15 115 Total ending balance June 30, 2022 $ 1,504 $ 14 $ 592 $ 142 $ 211 $ 99 $ 2,562 Six Months Ended June 30, 2022 Beginning balance January 1, 2022 $ 1,355 $ 19 $ 712 $ 109 $ 145 $ 66 $ 2,406 Charge offs — — — ( 5 ) — — ( 5 ) Recoveries 6 — — — — — 6 Provisions 143 ( 5 ) ( 120 ) 38 66 33 155 Total ending balance June 30, 2022 $ 1,504 $ 14 $ 592 $ 142 $ 211 $ 99 $ 2,562 For collateral-dependent loans, the allowance for credit losses is individually assessed based on the fair value of the collateral less estimated costs of sale. |
Allowance for credit losses by financing recievables for loans individually evaluated | The following table provides the amount of the allowance for credit losses by class of financing receivable for loans individually evaluated for impairment, loans collectively evaluated for impairment and loans acquired with deteriorated credit quality for the period ending December 31, 2022. Real Estate December 31, 2022 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Ending balance attributed to loans: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment 1,710 17 654 145 204 111 2,841 Total ending allowance balance December 31, 2022: $ 1,710 $ 17 $ 654 $ 145 $ 204 $ 111 $ 2,841 |
Loans By Class Of Financing Receivable For Loans Individually Evaluated For Impairment Text Block | The following table provides the amount of loans by class of financing receivable for loans individually evaluated for impairment, loans collectively evaluated for impairment and loans acquired with deteriorated credit quality for the periods ending December 31, 2022. Loans: Loans individually evaluated for impairment $ 9 $ — $ 2,463 $ — $ — $ — $ 2,472 Loans collectively evaluated for impairment 172,148 3,668 93,526 18,466 32,156 10,358 330,322 Total ending loans balance December 31, 2022 $ 172,157 $ 3,668 $ 95,989 $ 18,466 $ 32,156 $ 10,358 $ 332,794 |
Loans individually evaluated for impairment by portfolio class | The following tables presents loans individually evaluated for impairment by portfolio class at December 31, 2022 and the respective average balances of impaired loans and interest income recognized for the three and six months ended June 30, 2022: December 31, 2022 Unpaid Recorded Related With no recorded allowance: Real estate loans: One-to-four family $ 45 $ 9 $ — Multi-family — — — Commercial 2,463 2,463 — Commercial — — — Consumer: — — — Total $ 2,508 $ 2,472 $ — NOTE 3 – LOANS (Continued) Three Months ended Six Months ended Average Interest Average Interest With no recorded allowance: Real estate loans: One-to-four family $ 120 $ 1 $ 85 $ 2 Multi-family — — — — Commercial 3,166 38 3,173 67 Commercial loans: 115 2 126 4 Consumer loans: — — — — Total $ 3,401 $ 41 $ 3,384 $ 73 |
Schedule of Analysis of Past due Loans | The following tables present the aging of the recorded investment in past due loans at June 30, 2023 and December 31, 2022 by portfolio class of loans: June 30, 2023 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total Past Due Current Total Loans Real estate loans: One-to-four family $ 660 $ 106 $ 103 $ 869 $ 176,781 $ 177,650 Multi-family — — — — 3,564 3,564 Commercial 88 — — 88 94,880 94,968 Construction — — — — 17,043 17,043 Total real estate loans 748 106 103 957 292,268 293,225 Commercial — — — — 32,855 32,855 Consumer loans: Home equity loans and lines of credit — — — — 7,681 7,681 Other consumer loans 7 — — 7 3,626 3,633 Total $ 755 $ 106 $ 103 $ 964 $ 336,430 $ 337,394 December 31, 2022 30-59 Days Past due 60-89 Days Past due 90 Days or More Past Due Total Past Due Current Total Loans Real estate loans: One-to-four family $ 2,315 $ 1,251 $ 211 $ 3,777 $ 168,380 $ 172,157 Multi-family — — — — 3,668 3,668 Commercial — — — — 95,989 95,989 Construction — — — — 18,466 18,466 Total real estate loans 2,315 1,251 211 3,777 286,503 290,280 Commercial 48 40 41 129 32,027 32,156 Consumer loans: Home equity loans and lines of credit — — — — 6,656 6,656 Other consumer loans 10 — — 10 3,692 3,702 Total $ 2,373 $ 1,291 $ 252 $ 3,916 $ 328,878 $ 332,794 |
Schedule of amortized cost basis of loans on nonaccrual status and loans | The following tables provide the amortized cost basis of loans on nonaccrual status and loans past due 90 days or more still accruing interest at June 30, 2023 and December 31, 2022 by portfolio class of loans: June 30, 2023 Nonaccrual with No ACL Total Nonaccrual Loans Past Due 90 Days or More Still Accruing Real estate loans: One-to-four family $ 7 $ 7 $ 103 Commercial real estate — — — Construction — — — Total real estate loans 7 7 103 Commercial loans: — — — Consumer loans: Other consumer loans — — — Total consumer loans — — — Total $ 7 $ 7 $ 103 December 31, 2022 Nonaccrual with No ACL Total Nonaccrual Loans Past Due 90 Days or More Still Accruing Real estate loans: One-to-four family $ 9 $ 9 $ 211 Commercial real estate — — — Construction — — — Total real estate loans 9 9 211 Commercial loans: 73 73 — Consumer loans: Other consumer loans — — — Total consumer loans — — — Total $ 82 $ 82 $ 211 |
Summary of Information Regarding Amortized Cost Bases of Collateral-Dependent Loans | The following table presents the amortized cost of collateral-dependent loans by class of loans as June 30, 2023. June 30, 2023 Real estate loans: One-to-four family $ 930 Multi-family — Commercial 4,183 Commercial — Consumer: — Total $ 5,113 |
Summary of Internal Risk Ratings of Loans | NOTE 3 – LOANS (Continued) At June 30, 2023, based on the most recent analysis performed, the risk category of loans by class of loans is as follows: Term Loans by Origination Year June 30, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Total One-to-four family Risk rating Pass $ 16,313 $ 62,511 $ 31,813 $ 18,263 $ 7,142 $ 40,678 $ — $ 176,720 Special mention — — — — — — — — Substandard — 82 585 — — 263 — 930 Doubtful — — — — — — — — Total one-to-four family $ 16,313 $ 62,593 $ 32,398 $ 18,263 $ 7,142 $ 40,941 $ — $ 177,650 Multi-family Risk rating Pass $ — $ 767 $ 927 $ 1,306 $ — $ 564 $ — $ 3,564 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total multi-family. $ — $ 767 $ 927 $ 1,306 $ — $ 564 $ — $ 3,564 Commercial real estate Risk rating Pass $ 5,738 $ 36,529 $ 9,178 $ 12,494 $ 4,536 $ 21,870 $ 440 $ 90,785 Special mention — — — — — — — — Substandard — 1,720 2,463 — — — — 4,183 Doubtful — — — — — — — — Total commercial real estate $ 5,738 $ 38,249 $ 11,641 $ 12,494 $ 4,536 $ 21,870 $ 440 $ 94,968 Construction Risk rating Pass $ 3,239 $ 12,081 $ 1,723 $ — $ — $ — $ — $ 17,043 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total construction $ 3,239 $ 12,081 $ 1,723 $ — $ — $ — $ — $ 17,043 Commercial Risk rating Pass $ 3,039 $ 8,297 $ 2,396 $ 795 $ 204 $ 4,485 $ 13,639 $ 32,855 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total commercial $ 3,039 $ 8,297 $ 2,396 $ 795 $ 204 $ 4,485 $ 13,639 $ 32,855 NOTE 3 – LOANS (Continued) Term Loans by Origination Year June 30, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans Total Home equity and lines of credit Risk rating Pass $ — $ — $ — $ — $ — $ — $ 7,681 $ 7,681 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total home equity and lines of credit $ — $ — $ — $ — $ — $ — $ 7,681 $ 7,681 Consumer Risk rating Pass $ 1,372 $ 1,475 $ 536 $ 216 $ — $ 34 $ — $ 3,633 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total consumer $ 1,372 $ 1,475 $ 536 $ 216 $ — $ 34 $ — $ 3,633 Total Loans $ 29,701 $ 123,462 $ 49,621 $ 33,074 $ 11,882 $ 67,894 $ 21,760 $ 337,394 At December 31, 2022, based on the most recent analysis performed, the loan grade for each loan by portfolio class is as follows: December 31, 2022 Pass Special Mention Substandard Doubtful Total Real estate loans: One-to-four family $ 170,397 $ 1,452 $ 308 $ — $ 172,157 Multi-family 3,668 — — — 3,668 Commercial 91,749 1,751 2,489 — 95,989 Construction 18,466 — — — 18,466 Total real estate loans 284,280 3,203 2,797 — 290,280 Commercial 32,115 — 41 — 32,156 Consumer loans: Home equity loans and lines of credit 6,656 — — — 6,656 Other consumer loans 3,702 — — — 3,702 Total $ 326,753 $ 3,203 $ 2,838 $ — $ 332,794 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Summary of Premises and Equipment | Premises and equipment at June 30, 2023 and December 31, 2022 were as follows: 2023 2022 Land $ 1,924 $ 1,924 Buildings and improvements 16,524 15,668 Furniture, fixtures and equipment 2,566 2,623 21,014 20,215 Less: Accumulated depreciation ( 9,531 ) ( 9,364 ) $ 11,483 $ 10,851 |
Deposits (Tables)
Deposits (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Deposits [Abstract] | |
Scheduled Maturities of Time Deposits | Scheduled maturities of time deposits at June 30, 2023 for the next five years were as follows: 2023 $ 26,387 2024 42,137 2025 11,904 2026 2,375 2027 or thereafter 1,910 |
Federal Home Loan Bank Advanc_2
Federal Home Loan Bank Advances and Other Debt (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Federal Home Loan Banks [Abstract] | |
Summary of Advances from Federal Home Loan Bank | At June 30, 2023 and December 31, 2022, advances from the Federal Home Loan Bank were as follows: 2023 2022 Maturities October 2025 through March 2028, fixed rate at rates 4.1175 % to 4.611 %, averaging 4.26 % $ 35,000 $ — Maturities September 2024 through October 2027, fixed rate at rates 4.2265 % to 4.611 %, averaging 4.3371 % — 25,000 Total $ 35,000 $ 25,000 |
Summary of Payments Over Next Five Years | Payments over the next five years are as follows: 2023 $ — 2024 — 2025 5,000 2026 10,000 2027 10,000 Thereafter 10,000 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Stock Option Activity | The following table summarizes stock option activity for the six months ended June 30, 2023: Options Weighted- Weighted- Aggregate (1) Outstanding 1/1/23 340,903 $ 9.86 7.13 Granted 443,249 10.54 10.00 Exercised — — Forfeited — Outstanding 6/30/23 784,152 $ 10.24 8.75 Vested or expected to vest 784,152 $ 10.24 8.75 $ 329 Exercisable at period end 136,354 57 (1) Based on close price of $ 10.66 as of June 30, 2023 . Intrinsic value for stock options is defined as the difference between the current market value and the exercise price multiplied by the number of in-the-money options. |
Summary of Nonvested Restricted Stock Activity | The following table summarizes non-vested restricted stock activity for the quarter ended June 30, 2023: 2023 Weighted Average Grant-Date Fair Value Balance – January 1, 2023 136,356 $ 9.86 Granted — — Vested — Balance –June 30, 2023 136,356 $ 9.86 |
Summary of Restricted Stock Fair Value | The following table summarizes the restricted stock fair value: Date of Awards Shares Converted Shares Vesting Period (years) Converted Fair Value August 2020 80,000 227,266 5 $ 9.86 |
Regulatory Capital Matters (Tab
Regulatory Capital Matters (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract] | |
Schedule of Actual and Required Capital Amounts for the Bank and Ratios | Actual and required capital amounts for the Bank and ratios at June 30, 2023 and December 31, 2022 are presented below: Actual To be well Capitalized Amount Ratio Amount Ratio June 30, 2023 Tier 1 (Core) Capital to average total $ 77,448 18.44 % $ 37,798 9.00 % December 31, 2022 Tier 1 (Core) Capital to average total $ 75,221 17.75 % $ 38,137 9.00 % |
Fair Values of Financial Inst_2
Fair Values of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Financial Assets and Liabilities Measured at Fair Value on Recurring Basis | Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurement Using Quoted Prices in Significant Other Significant June 30, 2023 Securities available for sale U.S. Government sponsored agencies $ — $ 5,248 $ — Municipal – taxable — 11,867 — Municipal – taxable exempt — 1,320 — Residential mortgage-backed — 9,455 — Commercial mortgage-backed 963 SBA guaranteed debenture — 515 — Total investment securities available for sale $ — $ 29,368 $ — Fair Value Measurement Using Quoted Prices in Significant Other Significant December 31, 2022 Securities available for sale U.S. Government sponsored agencies $ — $ 5,253 $ — Municipal – taxable — 11,511 — Municipal – taxable exempt — 1,315 — Residential mortgage-backed — 10,142 — Commercial mortgage-backed — 960 — SBA guaranteed debenture — 615 — Total investment securities available for sale $ — $ 29,796 $ — |
Reconciliation of Assets Measured at Fair Value on Recurring Basis Using Unobservable Inputs | The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2023: Equity Securities 2023 2022 Beginning Balance of recurring Level 3 assets $ 479 $ — Purchases — 1,000 Redemption ( 497 ) Unrealized gain 18 5 Ending Balance of recurring Level 3 assets $ — $ 1,005 |
Financial Assets and Liabilities Measured at Fair Value on Non Recurring Basis | Assets measured at fair value on a nonrecurring basis are included in the table below as of June 30, 2023 and December 31, 2022 (amounts in thousands): Fair Value Measurements June 30, 2023 December 31, 2022 Impaired loans: RE loans: One-to four family $ 7 $ 9 Commercial — 73 Foreclosed real estate: One-to four family $ — $ 50 |
Estimated Fair Value of Financial Instruments | The carrying amounts and estimated fair values of the Company’s on-balance sheet financial instruments at June 30, 2023 and December 31, 2022 are summarized below: Fair Value Measurements at Carrying Amount Level 1 Level 2 Level 3 Total Financial assets: Cash and cash equivalents $ 26,183 $ 26,183 $ — $ — $ 26,183 Securities available for sale 29,368 — 29,368 — 29,368 Loans held for sale — — — — — Loan, net 334,273 — — 326,657 326,657 Accrued interest receivable 1,203 — 217 986 1,203 Restricted equity securities 2,507 N/A N/A N/A N/A Financial liabilities: Deposits $ 275,152 $ 190,439 $ 82,008 $ — $ 272,447 Federal Home Loan Bank advances 35,000 — 35,479 — 35,479 Accrued interest payable 204 6 198 — 204 Fair Value Measurements at Carrying Amount Level 1 Level 2 Level 3 Total Financial assets: Cash and cash equivalents $ 36,645 $ 36,645 $ — $ — $ 36,645 Securities available for sale 29,796 — 29,796 — 29,796 Loan, net 329,943 — — 320,687 320,687 Accrued interest receivable 1,162 — 219 943 1,162 Restricted equity securities 2,033 — — — N/A Financial liabilities: Deposits $ 292,949 $ 213,499 $ 76,306 $ — $ 289,805 Federal Home Loan Bank advances 25,000 — 25,102 — 25,102 Accrued interest payable 155 5 150 — 155 |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Calculation of Earnings Per Common Share | The factors used in the earnings per common share computation follow: For the Three Months For the Six Months 2023 2022 2023 2022 Earnings per share Net Income $ 1,028 $ 1,312 $ 2,043 $ 2,322 Less: Distributed earning allocated to participating — — — — Less: Earnings allocated to participating securities ( 19 ) ( 10 ) ( 21 ) ( 35 ) Net earnings allocated to common stock 1,009 1,302 2,022 2,287 Weighted common shares outstanding 7,382,731 7,405,893 7,383,476 7,405,893 Less: Participating securities ( 136,356 ) ( 181,811 ) ( 136,356 ) ( 181,811 ) Less: Average unearned ESOP shares ( 299,603 ) ( 352,079 ) ( 301,435 ) ( 353,911 ) Weighted average shares 6,946,772 6,872,003 6,945,685 6,870,171 Basic earnings per share $ 0.15 $ 0.19 $ 0.29 $ 0.33 Dilutive Net earnings allocated to common stock 1,009 1,302 2,022 2,287 Weighted average shares 6,946,772 6,872,003 6,945,685 6,870,171 Add: dilutive effects of assumed exercises of stock 79,312 93,129 86,852 86,568 Average shares and dilutive potential common shares 7,026,084 6,965,132 7,032,537 6,956,739 Dilutive earnings per share $ 0.14 $ 0.19 $ 0.29 $ 0.33 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
schedule of Cumulative Effect of Adopting ASC 326 | The following table illustrates the impact of ASC 326. January 1, 2023 Assets: As Reported Under ASC 326 Pre-ASC 326 Adoption Impact of ASC 326 Adoption Allowance for credit losses on loans: One-to-Four Family $ 1,827 $ 1,710 $ 117 Multi-Family 18 17 1 Commercial Real Estate 784 654 130 Construction 124 145 ( 21 ) Commercial 129 204 ( 75 ) Consumer 205 111 94 Allowance for credit losses on loans 3,087 2,841 246 Liabilities: Allowance for credit losses on OBS (1) credit exposures 133 — 133 Totals: $ 3,220 $ 2,841 $ 379 (1) Off Balance Sheet |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 6 Months Ended | |
Jan. 01, 2023 | Jun. 30, 2023 | |
Decrease In Retained Earnings | $ 284 | |
Valuation Allowance Deferred Tax Asset Change In Amount | 95 | |
Allowanc eFor Loan And Lease Losses Period Increase Decrease | $ 379 | |
Minimum [Member] | ||
Annual gross revenue to cease emerging growth company status | $ 1,235,000 | |
Non-convertible debt issued during three years period to cease emerging growth company status | 1,000,000 | |
Market value of equity securities issued to non-affiliates to cease emerging growth company status | $ 700,000 | |
Conversion and Reorganization Plan [Member] | Two Thousand and Nine Employee Stock Ownership Plan [Member] | ||
Sale of stock, shares | 354,599 | |
Sale of stock, price per share | $ 10 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Schedule of Cumulative Effect of Adopting ASC 326 (Details) $ in Thousands | Jan. 01, 2023 USD ($) |
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | |
Allowance for credit losses on loans | $ 3,087 |
Allowance for credit losses on OBS(1) credit exposures | 133 |
Totals | 3,220 |
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | One-to-Four Family [Member] | |
Allowance for credit losses on loans | 1,827 |
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Multifamily [Member] | |
Allowance for credit losses on loans | 18 |
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Commercial Real Estate [Member] | |
Allowance for credit losses on loans | 784 |
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Construction [Member] | |
Allowance for credit losses on loans | 124 |
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Commercial Loan [Member] | |
Allowance for credit losses on loans | 129 |
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Consumer Loan [Member] | |
Allowance for credit losses on loans | 205 |
Cumulative Effect, Period of Adoption, Adjustment [Member] | |
Allowance for credit losses on loans | 2,841 |
Allowance for credit losses on OBS(1) credit exposures | 0 |
Totals | 2,841 |
Cumulative Effect, Period of Adoption, Adjustment [Member] | One-to-Four Family [Member] | |
Allowance for credit losses on loans | 1,710 |
Cumulative Effect, Period of Adoption, Adjustment [Member] | Multifamily [Member] | |
Allowance for credit losses on loans | 17 |
Cumulative Effect, Period of Adoption, Adjustment [Member] | Commercial Real Estate [Member] | |
Allowance for credit losses on loans | 654 |
Cumulative Effect, Period of Adoption, Adjustment [Member] | Construction [Member] | |
Allowance for credit losses on loans | 145 |
Cumulative Effect, Period of Adoption, Adjustment [Member] | Commercial Loan [Member] | |
Allowance for credit losses on loans | 204 |
Cumulative Effect, Period of Adoption, Adjustment [Member] | Consumer Loan [Member] | |
Allowance for credit losses on loans | 111 |
Impact of ASC 326 Adoption [Member] | |
Allowance for credit losses on loans | 246 |
Allowance for credit losses on OBS(1) credit exposures | 133 |
Totals | 379 |
Impact of ASC 326 Adoption [Member] | One-to-Four Family [Member] | |
Allowance for credit losses on loans | 117 |
Impact of ASC 326 Adoption [Member] | Multifamily [Member] | |
Allowance for credit losses on loans | 1 |
Impact of ASC 326 Adoption [Member] | Commercial Real Estate [Member] | |
Allowance for credit losses on loans | 130 |
Impact of ASC 326 Adoption [Member] | Construction [Member] | |
Allowance for credit losses on loans | (21) |
Impact of ASC 326 Adoption [Member] | Commercial Loan [Member] | |
Allowance for credit losses on loans | (75) |
Impact of ASC 326 Adoption [Member] | Consumer Loan [Member] | |
Allowance for credit losses on loans | $ 94 |
Securities Available for Sale -
Securities Available for Sale - Summary of Fair Value of Available for Sale Securities and Related Gross Unrealized Gains and Losses (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | ||
Schedule Of Available For Sale Securities [Line Items] | |||
Amortized cost | $ 33,487 | $ 34,299 | |
Gross Unrealized Gains | 14 | 14 | |
Gross Unrealized Losses | (4,133) | (4,517) | |
Estimated Fair Value | 29,368 | 29,796 | |
US Government Sponsored Entities and Agencies [Member] | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Amortized cost | 5,988 | 5,987 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | (740) | (734) | |
Estimated Fair Value | 5,248 | 5,253 | |
Municipal- Taxable | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Amortized cost | 14,401 | 14,421 | |
Gross Unrealized Gains | 14 | 14 | |
Gross Unrealized Losses | (2,548) | (2,924) | |
Estimated Fair Value | 11,867 | 11,511 | |
Municipal- Tax Exempt | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Amortized cost | 1,365 | 1,365 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | (45) | (50) | |
Estimated Fair Value | 1,320 | 1,315 | |
Residential MBS | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Amortized cost | 10,187 | 10,871 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | (732) | (729) | |
Estimated Fair Value | 9,455 | 10,142 | |
Commercial MBS | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Amortized cost | 988 | 983 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | (25) | (23) | |
Estimated Fair Value | 963 | 960 | |
SBA Guaranteed Debenture [Member] | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Amortized cost | 558 | [1] | 672 |
Gross Unrealized Gains | 0 | [1] | 0 |
Gross Unrealized Losses | (43) | [1] | (57) |
Estimated Fair Value | $ 515 | [1] | $ 615 |
[1] Small Business Administration |
Securities Available for Sale_2
Securities Available for Sale - Schedule of Amortized Cost and Fair Value of Investment Securities Portfolio by Expected Maturities (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Schedule Of Available For Sale Securities [Line Items] | ||
Due within one year, amorized cost | $ 420 | |
Due after one to five years, amortized cost | 3,967 | |
Due after five to ten years, amortized cost | 3,351 | |
Due after ten years, amortized cost | 14,016 | |
Total amortized cost | 33,487 | $ 34,299 |
Due within one year, estimated fair value | 420 | |
Due after one to five years, estimated fair value | 3,898 | |
Due after five to ten years, estimated fair value | 3,056 | |
Due after ten years, estimated fair value | 11,061 | |
Total estimated fair value | 29,368 | $ 29,796 |
Residential Mortgage Backed | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, available-for-sale, maturity, allocated and single maturity date, amortized cost | 10,187 | |
Debt securities, available-for-sale, maturity, allocated and single maturity date, estimated fair value | 9,455 | |
Commercial Mortgage Backed [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, available-for-sale, maturity, allocated and single maturity date, amortized cost | 988 | |
Debt securities, available-for-sale, maturity, allocated and single maturity date, estimated fair value | 963 | |
SBA Guaranteed Debenture [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, available-for-sale, maturity, allocated and single maturity date, amortized cost | 558 | |
Debt securities, available-for-sale, maturity, allocated and single maturity date, estimated fair value | $ 515 |
Securities Available for Sale_3
Securities Available for Sale - Additional Information (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 USD ($) Security shares | Jun. 30, 2023 USD ($) Security shares | Jun. 30, 2022 USD ($) shares | Dec. 31, 2022 USD ($) Security | |
Schedule Of Available For Sale Securities [Line Items] | ||||
Carrying amounts of securities pledged to secure public deposits | $ 20,117 | $ 20,117 | $ 26,666 | |
Number of security holdings greater than 10% percent of equity | Security | 0 | 0 | 0 | |
Calls of securities | shares | 0 | 0 | ||
Debt Securities, Available-for-Sale, Allowance for Credit Loss, Total | $ 0 | $ 0 | ||
Unrealized loss recognized in net income | 0 | |||
Equity Securities [Member] | ||||
Schedule Of Available For Sale Securities [Line Items] | ||||
Fair value carried amount | $ 479 | |||
Proceeds From Sale Of Equity Securities | $ 60 | $ 497 | ||
Number of securities held and carried at fair value | shares | 1 | 1 | ||
Equity securities net gains | $ 1 | $ 17 |
Securities Available for Sale_4
Securities Available for Sale - Summary of Unrealized Loss on Securities (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
U.S Government Sponsored Entities [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair value | $ 2,951 | $ 2,978 |
Less than 12 months, Unrealized loss | (37) | (9) |
12 months or more, Fair value | 2,297 | 2,275 |
12 months or more, Unrealized loss | (703) | (725) |
Total fair value | 5,248 | 5,253 |
Total unrealized loss | (740) | (734) |
Municipal- Taxable | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair value | 0 | 4,404 |
Less than 12 months, Unrealized loss | 0 | (815) |
12 months or more, Fair value | 11,080 | 6,318 |
12 months or more, Unrealized loss | (2,548) | (2,109) |
Total fair value | 11,080 | 10,722 |
Total unrealized loss | (2,548) | (2,924) |
Municipal- Tax free | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair value | 669 | 1,065 |
Less than 12 months, Unrealized loss | (1) | (50) |
12 months or more, Fair value | 651 | 0 |
12 months or more, Unrealized loss | (44) | 0 |
Total fair value | 1,320 | 1,065 |
Total unrealized loss | (45) | (50) |
Residential MBS | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair value | 590 | 9,789 |
Less than 12 months, Unrealized loss | (16) | (661) |
12 months or more, Fair value | 8,865 | 353 |
12 months or more, Unrealized loss | (716) | (68) |
Total fair value | 9,455 | 10,142 |
Total unrealized loss | (732) | (729) |
Commercial MBS | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair value | 963 | 960 |
Less than 12 months, Unrealized loss | (25) | (23) |
12 months or more, Fair value | 0 | 0 |
12 months or more, Unrealized loss | 0 | 0 |
Total fair value | 963 | 960 |
Total unrealized loss | (25) | (23) |
SBA Guaranteed Debenture [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair value | 0 | 0 |
Less than 12 months, Unrealized loss | 0 | 0 |
12 months or more, Fair value | 515 | 615 |
12 months or more, Unrealized loss | (43) | (57) |
Total fair value | 515 | 615 |
Total unrealized loss | (43) | (57) |
Total Temporarily Impaired | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair value | 5,173 | 19,196 |
Less than 12 months, Unrealized loss | (79) | (1,558) |
12 months or more, Fair value | 23,408 | 9,561 |
12 months or more, Unrealized loss | (4,054) | (2,959) |
Total fair value | 28,581 | 28,757 |
Total unrealized loss | $ (4,133) | $ (4,517) |
Loans - Summary of Major Classi
Loans - Summary of Major Classification of Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans | $ 337,394 | $ 332,794 | |
Net deferred loans fees | (9) | (10) | |
Allowance for loan losses | (3,112) | (2,841) | $ (2,841) |
Loans, net | 334,273 | 329,943 | |
Real estate loans [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans | 293,225 | 290,280 | |
Real estate loans [Member] | One To Four Family [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans | 177,650 | 172,157 | |
Real estate loans [Member] | Multifamily [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans | 3,564 | 3,668 | |
Real estate loans [Member] | Commercial [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans | 94,968 | 95,989 | |
Real estate loans [Member] | Construction [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans | 17,043 | 18,466 | |
Commercial Loans [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans | 32,855 | 32,156 | |
Consumer Loans [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans | 11,314 | 10,358 | |
Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans | 7,681 | 6,656 | |
Consumer Loans [Member] | Other Consumer [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total loans | $ 3,633 | $ 3,702 |
Loans - Recorded investment in
Loans - Recorded investment in loans based on impairment method (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | $ 3,082 | $ 2,446 | $ 2,841 | $ 2,406 | |
Impact of adoptong ASC 326 | 246 | ||||
Charge offs | (5) | (11) | (5) | ||
Recoveries | 13 | 6 | 13 | 6 | |
Provisions | 17 | 115 | 23 | 155 | |
Ending balance | 3,112 | 2,562 | 3,112 | 2,562 | |
Individually evaluated for impairment | $ 0 | ||||
Collectively evaluated for impairment | 2,841 | ||||
Loans individually evaluated for impairment | 2,472 | ||||
Loans collectively evaluated for impairment | 330,322 | ||||
Total ending loans balance | 332,794 | ||||
Commercial Loans [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | 103 | 166 | 204 | 145 | |
Impact of adoptong ASC 326 | 75 | ||||
Charge offs | |||||
Recoveries | |||||
Provisions | 40 | 45 | 14 | 66 | |
Ending balance | 143 | 211 | 143 | 211 | |
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 204 | ||||
Loans individually evaluated for impairment | |||||
Loans collectively evaluated for impairment | 32,156 | ||||
Total ending loans balance | 32,156 | ||||
Consumer Loans [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | 234 | 84 | 111 | 66 | |
Impact of adoptong ASC 326 | 94 | ||||
Charge offs | (11) | ||||
Recoveries | |||||
Provisions | 38 | 15 | 78 | 33 | |
Ending balance | 272 | 99 | 272 | 99 | |
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 111 | ||||
Loans individually evaluated for impairment | |||||
Loans collectively evaluated for impairment | 10,358 | ||||
Total ending loans balance | 10,358 | ||||
One To Four Family [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Ending balance | 1,854 | 1,854 | |||
One To Four Family [Member] | Real estate loans [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | 1,822 | 1,332 | 1,710 | 1,355 | |
Impact of adoptong ASC 326 | 117 | ||||
Charge offs | |||||
Recoveries | 6 | 6 | |||
Provisions | 32 | 166 | 27 | 143 | |
Ending balance | 1,854 | 1,504 | 1,854 | 1,504 | |
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 1,710 | ||||
Loans individually evaluated for impairment | 9 | ||||
Loans collectively evaluated for impairment | 172,148 | ||||
Total ending loans balance | 172,157 | ||||
Multifamily [Member] | Real estate loans [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | 17 | 16 | 17 | 19 | |
Impact of adoptong ASC 326 | 1 | ||||
Charge offs | |||||
Recoveries | |||||
Provisions | (2) | (1) | (5) | ||
Ending balance | 17 | 14 | 17 | 14 | |
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 17 | ||||
Loans collectively evaluated for impairment | 3,668 | ||||
Total ending loans balance | 3,668 | ||||
Commercial [Member] | Real estate loans [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | 745 | 732 | 654 | 712 | |
Impact of adoptong ASC 326 | 130 | ||||
Charge offs | |||||
Recoveries | |||||
Provisions | 32 | (140) | 71 | (120) | |
Ending balance | 713 | 592 | 713 | 592 | |
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 654 | ||||
Loans individually evaluated for impairment | 2,463 | ||||
Loans collectively evaluated for impairment | 93,526 | ||||
Total ending loans balance | 95,989 | ||||
Construction [Member] | Real estate loans [Member] | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning balance | 161 | 116 | 145 | 109 | |
Impact of adoptong ASC 326 | 21 | ||||
Charge offs | (5) | (5) | |||
Recoveries | 13 | ||||
Provisions | 61 | 31 | 24 | 38 | |
Ending balance | $ 113 | $ 142 | $ 113 | $ 142 | |
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 145 | ||||
Loans collectively evaluated for impairment | 18,466 | ||||
Total ending loans balance | $ 18,466 |
Loans - Loans individually eval
Loans - Loans individually evaluated for impairment by portfolio class (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2022 | |
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | $ 2,508 | ||
Recorded Investment | 2,472 | ||
Related Allowance | 0 | ||
Average Recorded Investment | $ 3,401 | $ 3,384 | |
Interest Income Recognized | 41 | 73 | |
Real estate loans [Member] | One To Four Family [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | 45 | ||
Recorded Investment | 9 | ||
Related Allowance | 0 | ||
Average Recorded Investment | 120 | 85 | |
Interest Income Recognized | 1 | 2 | |
Real estate loans [Member] | Multifamily [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | 0 | ||
Recorded Investment | 0 | ||
Related Allowance | 0 | ||
Average Recorded Investment | 0 | 0 | |
Interest Income Recognized | 0 | 0 | |
Real estate loans [Member] | Commercial [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | 2,463 | ||
Recorded Investment | 2,463 | ||
Related Allowance | 0 | ||
Average Recorded Investment | 3,166 | 3,173 | |
Interest Income Recognized | 38 | 67 | |
Commercial Loans [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Related Allowance | 0 | ||
Average Recorded Investment | 115 | 126 | |
Interest Income Recognized | $ 2 | $ 4 | |
Consumer Loans [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | 0 | ||
Recorded Investment | 0 | ||
Related Allowance | $ 0 |
Loans - Schedule of Analysis of
Loans - Schedule of Analysis of Past due Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | $ 337,394 | $ 332,794 |
Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 293,225 | 290,280 |
Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 177,650 | 172,157 |
Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 3,564 | 3,668 |
Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 32,855 | 32,156 |
Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 17,043 | 18,466 |
Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 94,968 | 95,989 |
Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 7,681 | 6,656 |
Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 3,633 | 3,702 |
30-59 Days Past Due [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 755 | 2,373 |
30-59 Days Past Due [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 748 | 2,315 |
30-59 Days Past Due [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 660 | 2,315 |
30-59 Days Past Due [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
30-59 Days Past Due [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 88 | 48 |
30-59 Days Past Due [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
30-59 Days Past Due [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
30-59 Days Past Due [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
30-59 Days Past Due [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 7 | 10 |
60-89 Days Past Due [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 106 | 1,291 |
60-89 Days Past Due [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 106 | 1,251 |
60-89 Days Past Due [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 106 | 1,251 |
60-89 Days Past Due [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
60-89 Days Past Due [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 40 | |
60-89 Days Past Due [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
60-89 Days Past Due [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
60-89 Days Past Due [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
60-89 Days Past Due [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
90 Days or More Past Due [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 103 | 252 |
90 Days or More Past Due [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 103 | 211 |
90 Days or More Past Due [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 103 | 211 |
90 Days or More Past Due [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
90 Days or More Past Due [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
90 Days or More Past Due [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
90 Days or More Past Due [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
90 Days or More Past Due [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
90 Days or More Past Due [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
Financing Receivable Total Past Due [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 964 | 3,916 |
Financing Receivable Total Past Due [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 957 | 3,777 |
Financing Receivable Total Past Due [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 869 | 3,777 |
Financing Receivable Total Past Due [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
Financing Receivable Total Past Due [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 88 | 129 |
Financing Receivable Total Past Due [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
Financing Receivable Total Past Due [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
Financing Receivable Total Past Due [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | ||
Financing Receivable Total Past Due [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 7 | 10 |
Financing Receivable Current [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 336,430 | 328,878 |
Financing Receivable Current [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 292,268 | 286,503 |
Financing Receivable Current [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 176,781 | 168,380 |
Financing Receivable Current [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 3,564 | 3,668 |
Financing Receivable Current [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 94,880 | 32,027 |
Financing Receivable Current [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 17,043 | 18,466 |
Financing Receivable Current [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 95,989 | |
Financing Receivable Current [Member] | Commercial Loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 32,855 | |
Financing Receivable Current [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | 7,681 | 6,656 |
Financing Receivable Current [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Financing Receivable Recorded Investment In Past Due | $ 3,626 | $ 3,692 |
Loans - Summary of Information
Loans - Summary of Information Regarding Non-accrual Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Accounts Receivable, Noncurrent, Nonaccrual | $ 82 | |
Financing Receivable, Nonaccrual | $ 7 | 82 |
Accounts Receivable, Noncurrent, 90 Days or More Past Due, Still Accruing | 103 | 211 |
Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Accounts Receivable, Noncurrent, Nonaccrual | 7 | 9 |
Financing Receivable, Nonaccrual | 7 | 9 |
Accounts Receivable, Noncurrent, 90 Days or More Past Due, Still Accruing | 103 | 211 |
Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Accounts Receivable, Noncurrent, Nonaccrual | 7 | 9 |
Financing Receivable, Nonaccrual | 7 | 9 |
Accounts Receivable, Noncurrent, 90 Days or More Past Due, Still Accruing | $ 103 | 211 |
Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Accounts Receivable, Noncurrent, Nonaccrual | 73 | |
Financing Receivable, Nonaccrual | $ 73 |
Loans - Summary of Informatio_2
Loans - Summary of Information Regarding Amortized Cost Bases of Collateral-Dependent Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Financing Receivable, Past Due [Line Items] | ||
Total loans | $ 7 | $ 82 |
Collateral Dependent Loans [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 5,113 | |
Real estate loans [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 7 | 9 |
Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 7 | 9 |
Real estate loans [Member] | Collateral Dependent Loans [Member] | One To Four Family [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 930 | |
Real estate loans [Member] | Collateral Dependent Loans [Member] | Multi-family [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | |
Real estate loans [Member] | Collateral Dependent Loans [Member] | Commercial [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 4,183 | |
Commercial Loans [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | $ 73 | |
Commercial Loans [Member] | Collateral Dependent Loans [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | |
Consumer Loans [Member] | Collateral Dependent Loans [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | $ 0 |
Loans - Additional Information
Loans - Additional Information (Details) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 USD ($) Loan | Dec. 31, 2022 USD ($) Loan | |
Accounts Notes And Loans Receivable [Line Items] | ||
Troubled debt restructurings | $ 2,878 | |
Troubled debt restructurings additional amount | $ 0 | |
Number of troubled debt restructured loans | Loan | 0 | 0 |
Loan modification description | A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms. | |
Loans and leases receivable net reported amount | $ 334,273 | $ 329,943 |
Total loans | $ 337,394 | $ 332,794 |
Loans - Summary of Internal Ris
Loans - Summary of Internal Risk Ratings of Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | $ 337,394 | $ 332,794 |
Term Loans Two Thousand Twenty Three [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 29,701 | |
Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 123,462 | |
Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 49,621 | |
Term Loans Two Thousand Twenty [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 33,074 | |
Term Loans Two Thousand Nineteen [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 11,882 | |
Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 67,894 | |
Revolving Credit Facility [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 21,760 | |
One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 177,650 | |
One To Four Family [Member] | Term Loans Two Thousand Twenty Three [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 16,313 | |
One To Four Family [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 62,593 | |
One To Four Family [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 32,398 | |
One To Four Family [Member] | Term Loans Two Thousand Twenty [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 18,263 | |
One To Four Family [Member] | Term Loans Two Thousand Nineteen [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 7,142 | |
One To Four Family [Member] | Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 40,941 | |
Multifamily [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 3,564 | |
Multifamily [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 767 | |
Multifamily [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 927 | |
Multifamily [Member] | Term Loans Two Thousand Twenty [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 1,306 | |
Multifamily [Member] | Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 564 | |
Commercial Real Estate [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 94,968 | |
Commercial Real Estate [Member] | Term Loans Two Thousand Twenty Three [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 5,738 | |
Commercial Real Estate [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 38,249 | |
Commercial Real Estate [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 11,641 | |
Commercial Real Estate [Member] | Term Loans Two Thousand Twenty [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 12,494 | |
Commercial Real Estate [Member] | Term Loans Two Thousand Nineteen [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 4,536 | |
Commercial Real Estate [Member] | Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 21,870 | |
Commercial Real Estate [Member] | Revolving Credit Facility [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 440 | |
Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 32,855 | |
Commercial [Member] | Term Loans Two Thousand Twenty Three [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 3,039 | |
Commercial [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 8,297 | |
Commercial [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 2,396 | |
Commercial [Member] | Term Loans Two Thousand Twenty [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 795 | |
Commercial [Member] | Term Loans Two Thousand Nineteen [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 204 | |
Commercial [Member] | Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 4,485 | |
Commercial [Member] | Revolving Credit Facility [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 13,639 | |
Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 17,043 | |
Construction [Member] | Term Loans Two Thousand Twenty Three [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 3,239 | |
Construction [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 12,081 | |
Construction [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 1,723 | |
Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 7,681 | |
Home Equity Loans And Lines Of Credit [Member] | Revolving Credit Facility [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 7,681 | |
Other Consumer [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 3,633 | |
Other Consumer [Member] | Term Loans Two Thousand Twenty Three [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 1,372 | |
Other Consumer [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 1,475 | |
Other Consumer [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 536 | |
Other Consumer [Member] | Term Loans Two Thousand Twenty [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 216 | |
Other Consumer [Member] | Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 34 | |
Real estate loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 290,280 | |
Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 172,157 | |
Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 3,668 | |
Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 95,989 | |
Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 18,466 | |
Commercial Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 32,156 | |
Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 6,656 | |
Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 3,702 | |
Pass [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 326,753 | |
Pass [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 176,720 | |
Pass [Member] | One To Four Family [Member] | Term Loans Two Thousand Twenty Three [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 16,313 | |
Pass [Member] | One To Four Family [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 62,511 | |
Pass [Member] | One To Four Family [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 31,813 | |
Pass [Member] | One To Four Family [Member] | Term Loans Two Thousand Twenty [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 18,263 | |
Pass [Member] | One To Four Family [Member] | Term Loans Two Thousand Nineteen [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 7,142 | |
Pass [Member] | One To Four Family [Member] | Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 40,678 | |
Pass [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 3,564 | |
Pass [Member] | Multifamily [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 767 | |
Pass [Member] | Multifamily [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 927 | |
Pass [Member] | Multifamily [Member] | Term Loans Two Thousand Twenty [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 1,306 | |
Pass [Member] | Multifamily [Member] | Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 564 | |
Pass [Member] | Commercial Real Estate [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 90,785 | |
Pass [Member] | Commercial Real Estate [Member] | Term Loans Two Thousand Twenty Three [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 5,738 | |
Pass [Member] | Commercial Real Estate [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 36,529 | |
Pass [Member] | Commercial Real Estate [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 9,178 | |
Pass [Member] | Commercial Real Estate [Member] | Term Loans Two Thousand Twenty [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 12,494 | |
Pass [Member] | Commercial Real Estate [Member] | Term Loans Two Thousand Nineteen [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 4,536 | |
Pass [Member] | Commercial Real Estate [Member] | Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 21,870 | |
Pass [Member] | Commercial Real Estate [Member] | Revolving Credit Facility [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 440 | |
Pass [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 32,855 | |
Pass [Member] | Commercial [Member] | Term Loans Two Thousand Twenty Three [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 3,039 | |
Pass [Member] | Commercial [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 8,297 | |
Pass [Member] | Commercial [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 2,396 | |
Pass [Member] | Commercial [Member] | Term Loans Two Thousand Twenty [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 795 | |
Pass [Member] | Commercial [Member] | Term Loans Two Thousand Nineteen [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 204 | |
Pass [Member] | Commercial [Member] | Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 4,485 | |
Pass [Member] | Commercial [Member] | Revolving Credit Facility [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 13,639 | |
Pass [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 17,043 | |
Pass [Member] | Construction [Member] | Term Loans Two Thousand Twenty Three [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 3,239 | |
Pass [Member] | Construction [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 12,081 | |
Pass [Member] | Construction [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 1,723 | |
Pass [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 7,681 | |
Pass [Member] | Home Equity Loans And Lines Of Credit [Member] | Revolving Credit Facility [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 7,681 | |
Pass [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 3,633 | |
Pass [Member] | Other Consumer [Member] | Term Loans Two Thousand Twenty Three [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 1,372 | |
Pass [Member] | Other Consumer [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 1,475 | |
Pass [Member] | Other Consumer [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 536 | |
Pass [Member] | Other Consumer [Member] | Term Loans Two Thousand Twenty [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 216 | |
Pass [Member] | Other Consumer [Member] | Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 34 | |
Pass [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 284,280 | |
Pass [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 170,397 | |
Pass [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 3,668 | |
Pass [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 91,749 | |
Pass [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 18,466 | |
Pass [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 32,115 | |
Pass [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 6,656 | |
Pass [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 3,702 | |
Special Mention [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 3,203 | |
Special Mention [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 3,203 | |
Special Mention [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 1,452 | |
Special Mention [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 1,751 | |
Substandard [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 2,838 | |
Substandard [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 930 | |
Substandard [Member] | One To Four Family [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 82 | |
Substandard [Member] | One To Four Family [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 585 | |
Substandard [Member] | One To Four Family [Member] | Term Loans Prior [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 263 | |
Substandard [Member] | Commercial Real Estate [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 4,183 | |
Substandard [Member] | Commercial Real Estate [Member] | Term Loans Two Thousand Twenty Two [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | 1,720 | |
Substandard [Member] | Commercial Real Estate [Member] | Term Loans Two Thousand Twenty One [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss, Total | $ 2,463 | |
Substandard [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 2,797 | |
Substandard [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 308 | |
Substandard [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 2,489 | |
Substandard [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | $ 41 |
Premises and Equipment - Summar
Premises and Equipment - Summary of Premises and Equipment (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Abstract] | ||
Land | $ 1,924 | $ 1,924 |
Buildings and improvements | 16,524 | 15,668 |
Furniture, fixtures and equipment | 2,566 | 2,623 |
Premises and equipment, gross | 21,014 | 20,215 |
Less: Accumulated depreciation | (9,531) | (9,364) |
Premises and equipment, net | $ 11,483 | $ 10,851 |
Premises and Equipment - Additi
Premises and Equipment - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |||||
Depreciation expense | $ 128 | $ 115 | $ 256 | $ 226 | $ 468 |
Deposits - Additional Informati
Deposits - Additional Information (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 | Jun. 30, 2022 |
Deposits [Abstract] | |||
FDIC insurance limit | $ 250 | $ 250 | |
Time deposits that meet or exceed the FDIC Insurance limit | 33,327 | $ 32,614 | |
Demand account reclassification to loans | $ 66 | $ 109 |
Deposits - Scheduled Maturities
Deposits - Scheduled Maturities of Time Deposits (Details) $ in Thousands | Jun. 30, 2023 USD ($) |
Deposits [Abstract] | |
2023 | $ 26,387 |
2024 | 42,137 |
2025 | 11,904 |
2026 | 2,375 |
2027 or thereafter | $ 1,910 |
Federal Home Loan Bank Advanc_3
Federal Home Loan Bank Advances and Other Debt - Summary of Advances from the Federal Home Loan Bank (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Federal Home Loan Bank Advances [Line Items] | |||
Federal Home Loan Bank advances | $ 35,000 | $ 25,000 | $ 25,000 |
Fixed Rate Maturities October 2025 Through March 2028 Averaging 4.26% [Member] | |||
Federal Home Loan Bank Advances [Line Items] | |||
Federal Home Loan Bank advances | 35,000 | 0 | |
Fixed Rate Maturities September 2024 Through October 2027, Averaging 4.3371% [Member] | |||
Federal Home Loan Bank Advances [Line Items] | |||
Federal Home Loan Bank advances | $ 0 | $ 25,000 |
Federal Home Loan Bank Advanc_4
Federal Home Loan Bank Advances and Other Debt - Summary of Advances from the Federal Home Loan Bank (Parenthetical) (Details) | Jun. 30, 2023 | Dec. 31, 2022 |
Fixed Rate Maturities October 2025 Through March 2028 Averaging 4.26% [Member] | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB average interest rate | 4.26% | |
Fixed Rate Maturities October 2025 Through March 2028 Averaging 4.26% [Member] | Minimum | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB advances, interest rate | 4.1175% | |
Fixed Rate Maturities October 2025 Through March 2028 Averaging 4.26% [Member] | Maximum | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB advances, interest rate | 4.611% | |
Fixed Rate Maturities September 2024 Through October 2027, Averaging 4.3371% [Member] | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB average interest rate | 4.3371% | |
Fixed Rate Maturities September 2024 Through October 2027, Averaging 4.3371% [Member] | Minimum | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB advances, interest rate | 4.2265% | |
Fixed Rate Maturities September 2024 Through October 2027, Averaging 4.3371% [Member] | Maximum | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB advances, interest rate | 4.611% |
Federal Home Loan Bank Advanc_5
Federal Home Loan Bank Advances and Other Debt - Additional Information (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Federal Home Loan Banks [Abstract] | |||
Payments for FHLB advance | $ 15,000 | ||
Federal Home Loan Bank advances | 35,000 | $ 25,000 | $ 25,000 |
Recognized gain loss | 127 | ||
Collateralized agreements | $ 86,332 | 83,008 | |
Average rate of funds raised | 4.26% | ||
Maximum borrowing capacity | $ 126,541 | ||
Long-term line of credit | 10,000 | 10,000 | |
Line of credit facility, average outstanding amount | $ 0 | $ 0 |
Federal Home Loan Bank Advanc_6
Federal Home Loan Bank Advances and Other Debt - Summary of Payments over next Five Years (Details) $ in Thousands | Jun. 30, 2023 USD ($) |
Federal Home Loan Banks [Abstract] | |
2023 | $ 0 |
2024 | 0 |
2025 | 5,000 |
2026 | 10,000 |
2027 | 10,000 |
Thereafter | $ 10,000 |
Employee Stock Ownership Plan -
Employee Stock Ownership Plan - Additional Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Employee stock ownership plan ESOP compensation expense including mark to market adjustment amount | $ 76,000 | $ 46,000 | $ 151,000 | $ 120,000 |
2009 ESOP [Member] | ||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Number of shares not yet released | 295,938 | 295,938 | ||
Annual ESOP on the based on close price. | $ 3,155,000 | $ 3,155,000 | ||
Close Price | 10.66 | 10.66 | ||
2009 ESOP [Member] | Conversion and Reorganization Plan [Member] | ||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Sale of stock, shares | 354,599 | |||
Sale of stock, price per share | $ 10 | $ 10 |
Stock Based Compensation - Addi
Stock Based Compensation - Additional Information (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 USD ($) shares | Jun. 30, 2023 USD ($) shares | Jun. 30, 2022 | May 31, 2023 shares | Dec. 31, 2022 shares | May 31, 2020 shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 50,000,000 | 50,000,000 | 50,000,000 | |||
Exchange ratio applied in the conversion | 2.8409 | |||||
Stock-based compensation expense | $ | $ 27 | $ 54 | ||||
2020 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 200,000 | |||||
Number of shares available for future grants | 0 | 0 | ||||
Unrecognized compensation cost | $ | $ 279 | $ 279 | ||||
Unrecognized compensation cost recognition period | 2 years 29 days | |||||
2023 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 620,548 | |||||
Unrecognized compensation cost | $ | 594 | $ 594 | ||||
Unrecognized compensation cost recognition period | 5 years | |||||
Restricted Stock | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Vested | 0 | |||||
Stock-based compensation expense | $ | 112 | $ 224 | ||||
Unrecognized compensation cost | $ | $ 933 | $ 933 | ||||
Unrecognized compensation cost recognition period | 2 years 29 days | |||||
Restricted Stock | 2023 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Number of shares available for future grants | 177,299 | 177,299 | ||||
Restricted Stock | Maximum | 2020 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 80,000 | |||||
Restricted Stock | Maximum | 2023 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 177,299 | |||||
Stock Options | 2020 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 120,000 | |||||
Stock Options | 2023 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 443,249 |
Stock Based Compensation - Summ
Stock Based Compensation - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | ||
Share-Based Payment Arrangement [Abstract] | |||
Beginning balance of stock option | 340,903 | ||
Granted | 443,249 | ||
Options exercised | 0 | ||
Forfeited | 0 | ||
Ending balance of stock option | 784,152 | 340,903 | |
Options, Vested or expected to vest | 784,152 | ||
Options, Exercisable at period end | 136,354 | ||
Beginning balance of weighted avg exercise price per share | $ 9.86 | ||
Granted | 10.54 | ||
Weighted avg exercise price per share | 0 | ||
Ending balance of weighted avg exercise price per share | 10.24 | $ 9.86 | |
Weighted avg exercise price per share, Vested or expected to vest | $ 10.24 | ||
Outstanding balance of weighted avg remaining contractual life | 8 years 9 months | 7 years 1 month 17 days | |
Weighted average remaining contractual life, Vested or expected to vest | 8 years 9 months | ||
Weighted- Average Remaining Contractual Life, Granted | 10 years | ||
Aggregate intrinsic value, vested or expected to vest | [1] | $ 329 | |
Aggregate intrinsic value exercisable at period end | [1] | $ 57 | |
[1] Based on close price of $ 10.66 as of June 30, 2023 . Intrinsic value for stock options is defined as the difference between the current market value and the exercise price multiplied by the number of in-the-money options. |
Stock Based Compensation - Su_2
Stock Based Compensation - Summary of Stock Option Activity (Parenthetical) (Details) | Jun. 30, 2023 $ / shares |
Share-Based Payment Arrangement [Abstract] | |
Share Price | $ 10.66 |
Stock Based Compensation - Su_3
Stock Based Compensation - Summary of Nonvested Restricted Stock Activity (Details) - $ / shares | 6 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Granted | 443,249 | |
Restricted Stock | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Balance – beginning of period | 136,356 | |
Granted | 0 | |
Vested | 0 | |
Balance – end of period | 136,356 | |
Weighted Average Grant Date Fair Value | $ 9.86 | $ 9.86 |
Stock Based Compensation - Su_4
Stock Based Compensation - Summary of Restricted Stock Fair Value (Details) - Restricted Stock - August 2020 | 6 Months Ended |
Jun. 30, 2023 $ / shares shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Shares issued | 80,000 |
Converted Shares | 227,266 |
Vesting period | 5 years |
Converted Fair Value | $ / shares | $ 9.86 |
Regulatory Capital Matters - Ad
Regulatory Capital Matters - Additional information (Details) $ in Thousands | 6 Months Ended | |
Jun. 30, 2023 USD ($) | Dec. 31, 2022 | |
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Community bank leverage ratio minimum requirement | 0.1844 | 0.1775 |
Banking regulation, tier one leverage capital ratio | 0.09 | |
Dividends yet to be declare | $ 7,257 | |
Minimum | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Percentage of assets be maintianed | 65% |
Regulatory Capital Matters - Sc
Regulatory Capital Matters - Schedule of actual and required capital amounts for the bank and ratios (Details) $ in Thousands | Jun. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) |
Tier I capital (to average assets), Amount [Abstract] | ||
Actual Amount | $ 77,448 | $ 75,221 |
To be well Capitalized Under Prompt Corrective Action Regulations (CBLR Framework) Amount | $ 37,798 | $ 38,137 |
Tier I capital (to average assets), Ratio [Abstract] | ||
Actual Ratio | 0.1844 | 0.1775 |
To be well Capitalized Under Prompt Corrective Action Regulations (CBLR Framework) Ratio | 0.09 | 0.09 |
Fair Values of Financial Inst_3
Fair Values of Financial Instruments - Additional Information (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Other real estate owned assets value | $ 100 | ||
Fair value, assets, transfers, amount | 0 | $ 0 | |
Fair Value, Recurring [Member] | Fair Value Inputs Level 3 [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Assets measured at fair value | $ 0 | $ 0 | |
Minimum [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Duration of real estate assets hold | 2 years | ||
Significant unobservable input appraisal discounts and weighted average input used | 15% | 15% | |
Maximum [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Significant unobservable input appraisal discounts and weighted average input used | 20% | 20% |
Fair Values of Financial Inst_4
Fair Values of Financial Instruments - Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Fair Value, Recurring [Member] - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Fair Value Inputs Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | $ 0 | $ 0 |
Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 29,368 | 29,796 |
Fair Value Inputs Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | 0 |
U.S Government Sponsored Entities [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | 0 |
U.S Government Sponsored Entities [Member] | Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 5,248 | 5,253 |
U.S Government Sponsored Entities [Member] | Fair Value Inputs Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | 0 |
Municipal- Taxable [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | 0 |
Municipal- Taxable [Member] | Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 11,867 | 11,511 |
Municipal- Taxable [Member] | Fair Value Inputs Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | 0 |
Municipal- Tax Exempt [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | 0 |
Municipal- Tax Exempt [Member] | Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 1,320 | 1,315 |
Municipal- Tax Exempt [Member] | Fair Value Inputs Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | 0 |
Residential MB, GSE [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | 0 |
Residential MB, GSE [Member] | Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 9,455 | 10,142 |
Residential MB, GSE [Member] | Fair Value Inputs Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | 0 |
Commercial Mortgage Backed [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | |
Commercial Mortgage Backed [Member] | Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 963 | 960 |
Commercial Mortgage Backed [Member] | Fair Value Inputs Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | |
SBA Guaranteed Debenture [Member] | Fair Value Inputs Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | 0 |
SBA Guaranteed Debenture [Member] | Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 515 | 615 |
SBA Guaranteed Debenture [Member] | Fair Value Inputs Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | $ 0 | $ 0 |
Fair Values of Financial Inst_5
Fair Values of Financial Instruments - Reconciliation of Assets Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Details) - Municipal- Taxable [Member] - Fair Value Inputs Level 3 [Member] - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Beginning Balance of recurring Level 3 assets | $ 479 | $ 0 |
Purchase | 0 | 1,000 |
Redemption | (497) | |
Unrealized gain | 18 | 5 |
Ending Balance of recurring Level 3 assets | $ 0 | $ 1,005 |
Fair Values of Financial Inst_6
Fair Values of Financial Instruments - Schedule of Assets and Liabilities Measured at Fair Value on Non Recurring Basis (Details) - Fair Value Inputs Level 3 [Member] - Fair Value Measurements Non Recurring [Member] - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Real Estate Loan [Member] | One-To Four Family [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | $ 7 | $ 9 |
Real Estate Loan [Member] | Commercial Real Estate [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | 0 | 73 |
Foreclosed Real Esate [Member] | One-To Four Family [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | $ 0 | $ 50 |
Fair Values of Financial Inst_7
Fair Values of Financial Instruments - Schedule of Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Financial assets: | ||
Securities available for sale | $ 29,368 | $ 29,796 |
Restricted equity securities | 2,507 | 2,033 |
Accrued interest receivable | 1,203 | 1,162 |
Financial liabilities: | ||
Deposits | 275,152 | 292,949 |
Accrued interest payable | 204 | 155 |
Fair Value [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 26,183 | 36,645 |
Securities available for sale | 29,368 | 29,796 |
Loans held for sale | 0 | |
Loan, net | 326,657 | 320,687 |
Accrued interest receivable | 1,203 | 1,162 |
Financial liabilities: | ||
Deposits | 272,447 | 289,805 |
Federal Home Loan Bank advances | 35,479 | 25,102 |
Accrued interest payable | 204 | 155 |
Fair Value [Member] | Fair Value Inputs Level 1 [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 26,183 | 36,645 |
Securities available for sale | 0 | 0 |
Loans held for sale | 0 | |
Loan, net | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Restricted equity securities | 0 | |
Financial liabilities: | ||
Deposits | 190,439 | 213,499 |
Federal Home Loan Bank advances | 0 | 0 |
Accrued interest payable | 6 | 5 |
Fair Value [Member] | Fair Value Inputs Level 2 [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
Securities available for sale | 29,368 | 29,796 |
Loans held for sale | 0 | |
Loan, net | 0 | 0 |
Accrued interest receivable | 217 | 219 |
Restricted equity securities | 0 | |
Financial liabilities: | ||
Deposits | 82,008 | 76,306 |
Federal Home Loan Bank advances | 35,479 | 25,102 |
Accrued interest payable | 198 | 150 |
Fair Value [Member] | Fair Value Inputs Level 3 [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
Securities available for sale | 0 | 0 |
Loans held for sale | 0 | |
Loan, net | 326,657 | 320,687 |
Accrued interest receivable | 986 | 943 |
Restricted equity securities | 0 | |
Financial liabilities: | ||
Deposits | 0 | 0 |
Federal Home Loan Bank advances | 0 | 0 |
Accrued interest payable | 0 | 0 |
Carrying Amount [Member] | ||
Financial assets: | ||
Securities available for sale | 29,368 | 29,796 |
Loans held for sale | 0 | |
Accrued interest receivable | 1,203 | 1,162 |
Restricted equity securities | 2,507 | 2,033 |
Cash and cash equivalents | 26,183 | 36,645 |
Loan, net | 334,273 | 329,943 |
Financial liabilities: | ||
Deposits | 275,152 | 292,949 |
Federal Home Loan Bank advances | 35,000 | 25,000 |
Accrued interest payable | $ 204 | $ 155 |
Earnings Per Common Share - Cal
Earnings Per Common Share - Calculation of Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Earnings Per Share, Basic [Abstract] | ||||
Net Income | $ 1,028 | $ 1,312 | $ 2,043 | $ 2,322 |
Less: Distributed earning allocated to participating securities | 0 | 0 | 0 | 0 |
Less: Earnings allocated to participating securities | (19) | (10) | (21) | (35) |
Net earnings allocated to common stock | $ 1,009 | $ 1,302 | $ 2,022 | $ 2,287 |
Weighted common shares outstanding including participating securities | 7,382,731 | 7,405,893 | 7,383,476 | 7,405,893 |
Less: Participating securities | (136,356) | (181,811) | (136,356) | (181,811) |
Less: Average unearned ESOP shares | (299,603) | (352,079) | (301,435) | (353,911) |
Weighted average shares | 6,946,772 | 6,872,003 | 6,945,685 | 6,870,171 |
Basic earnings per share | $ 0.15 | $ 0.19 | $ 0.29 | $ 0.33 |
Net earnings allocated to common stock | $ 1,009 | $ 1,302 | $ 2,022 | $ 2,287 |
Weighted average shares | 6,946,772 | 6,872,003 | 6,945,685 | 6,870,171 |
Add: dilutive effects of assumed exercises of stock options | 79,312 | 93,129 | 86,852 | 86,568 |
Average shares and dilutive potential common shares | 7,026,084 | 6,965,132 | 7,032,537 | 6,956,739 |
Dilutive earnings per share | $ 0.14 | $ 0.19 | $ 0.29 | $ 0.33 |
Earnings Per Common Share - Add
Earnings Per Common Share - Additional Information (Details) - shares | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Earnings Per Share [Abstract] | ||
Antidilutive shares | 443,249 | 340,903 |