Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2023 | Oct. 27, 2023 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0000921183 | |
Entity Registrant Name | HMN FINANCIAL INC | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2023 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2023 | |
Document Transition Report | false | |
Entity File Number | 0-24100 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 41-1777397 | |
Entity Address, Address Line One | 1016 Civic Center Drive N.W. | |
Entity Address, City or Town | Rochester | |
Entity Address, State or Province | MN | |
Entity Address, Postal Zip Code | 55901 | |
City Area Code | 507 | |
Local Phone Number | 535-1200 | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | HMNF | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 4,487,362 |
Consolidated Balance Sheets (Cu
Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Assets | ||
Cash and cash equivalents | $ 46,676 | $ 36,259 |
Securities available for sale (at fair value) | 218,167 | 246,019 |
Loans held for sale | 1,898 | 1,314 |
Loans receivable, net | 850,760 | 777,078 |
Accrued interest receivable | 3,868 | 3,003 |
Mortgage servicing rights, net | 2,780 | 2,986 |
Premises and equipment, net | 16,128 | 16,492 |
Goodwill | 802 | 802 |
Prepaid expenses and other assets | 4,067 | 3,902 |
Deferred tax asset, net | 9,025 | 8,347 |
Total assets | 1,154,171 | 1,096,202 |
Deposits | 1,043,588 | 981,926 |
Accrued interest payable | 2,377 | 298 |
Customer escrows | 4,649 | 10,122 |
Accrued expenses and other liabilities | 1,787 | 6,520 |
Total liabilities | 1,052,401 | 998,866 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Serial preferred stock ($.01 par value):authorized 500,000 shares; issued 0 | 0 | 0 |
Common stock ($.01 par value): authorized 16,000,000 shares; issued 9,128,662 outstanding 4,487,362 and 4,480,976 | 91 | 91 |
Additional paid-in capital | 41,127 | 41,013 |
Retained earnings, subject to certain restrictions | 141,175 | 138,409 |
Accumulated other comprehensive loss | (18,498) | (19,761) |
Unearned employee stock ownership plan shares | (918) | (1,063) |
Treasury stock, at cost 4,641,300 and 4,647,686 shares | (61,207) | (61,353) |
Total stockholders’ equity | 101,770 | 97,336 |
Total liabilities and stockholders’ equity | 1,154,171 | 1,096,202 |
Collateralized Mortgage-Backed Securities [Member] | ||
Assets | ||
Securities available for sale (at fair value) | 163,849 | 192,688 |
Other Debt Obligations [Member] | ||
Assets | ||
Securities available for sale (at fair value) | $ 54,318 | $ 53,331 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Securities available for sale, amortized cost | $ 243,831 | $ 272,319 |
Serial-preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Serial-preferred stock, shares authorized (in shares) | 500,000 | 500,000 |
Serial-preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 16,000,000 | 16,000,000 |
Common stock, shares issued (in shares) | 9,128,662 | 9,128,662 |
Common Stock, Shares, Outstanding (in shares) | 4,487,362 | 4,480,976 |
Treasury stock, common, share (in shares) | 4,641,300 | 4,647,686 |
Collateralized Mortgage-Backed Securities [Member] | ||
Securities available for sale, amortized cost | $ 188,199 | $ 216,621 |
Other Debt Obligations [Member] | ||
Securities available for sale, amortized cost | $ 55,632 | $ 55,698 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | ||
Interest income: | |||||
Loans receivable | $ 10,549 | $ 7,473 | $ 29,171 | $ 21,389 | |
Securities available for sale: | |||||
Mortgage-backed and related | 566 | 691 | 1,818 | 2,126 | |
Other marketable | 269 | 120 | 612 | 289 | |
Other | 143 | 347 | 336 | 449 | |
Total interest income | 11,527 | 8,631 | 31,937 | 24,253 | |
Interest expense: | |||||
Deposits | 3,614 | 340 | 7,966 | 910 | |
Customer escrows | 4 | 0 | 59 | 0 | |
Advances and other borrowings | 106 | 0 | 318 | 5 | |
Total interest expense | 3,724 | 340 | 8,343 | 915 | |
Net interest income | 7,803 | 8,291 | 23,594 | 23,338 | |
Provision for credit losses | [1] | 318 | 579 | 566 | 941 |
Net interest income after provision for credit losses | 7,485 | 7,712 | 23,028 | 22,397 | |
Non-interest income: | |||||
Gain on sales of loans | 463 | 414 | 1,092 | 2,096 | |
Other | 474 | 413 | 1,318 | 1,264 | |
Total non-interest income | 2,184 | 2,054 | 6,086 | 6,945 | |
Non-interest expense: | |||||
Compensation and benefits | 4,455 | 4,355 | 13,719 | 12,805 | |
Occupancy and equipment | 893 | 918 | 2,757 | 2,865 | |
Data processing | 566 | 513 | 1,616 | 1,443 | |
Professional services | 245 | 306 | 774 | 1,095 | |
Other | 1,122 | 1,082 | 3,565 | 3,201 | |
Total non-interest expense | 7,281 | 7,174 | 22,431 | 21,409 | |
Income before income tax expense | 2,388 | 2,592 | 6,683 | 7,933 | |
Income tax expense (benefit) | 890 | 761 | 2,130 | 2,326 | |
Net income | 1,498 | 1,831 | 4,553 | 5,607 | |
Other comprehensive income (loss), net of tax | (1,688) | (7,189) | 1,263 | (23,458) | |
Comprehensive income (loss) available to common stockholders | $ (190) | $ (5,358) | $ 5,816 | $ (17,851) | |
Basic earnings per common share (in dollars per share) | $ 0.34 | $ 0.42 | $ 1.05 | $ 1.28 | |
Diluted earnings per common share (in dollars per share) | $ 0.34 | $ 0.42 | $ 1.04 | $ 1.27 | |
Financial Service [Member] | |||||
Non-interest income: | |||||
Revenue from Contract with Customer | $ 857 | $ 821 | $ 2,495 | $ 2,397 | |
Bank Servicing [Member] | |||||
Non-interest income: | |||||
Revenue from Contract with Customer | $ 390 | $ 406 | $ 1,181 | $ 1,188 | |
[1]The Company adopted Accounting Standard Update (ASU) 2016-13 as of January 1, 2023. The 2022 amount presented is calculated under the prior accounting standard. |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Cumulative Effect, Period of Adoption, Adjustment [Member] Retained Earnings [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Unearned Employee Stock Ownership Plan Shares [Member] | Treasury Stock, Common [Member] | Total |
Balance at Dec. 31, 2021 | $ 91 | $ 40,740 | $ 131,413 | $ (1,583) | $ (1,256) | $ (59,374) | $ 110,031 | ||
Net income | 5,607 | 5,607 | |||||||
Other comprehensive income (loss) | (23,458) | (23,458) | |||||||
Dividends paid to stockholders | (790) | (790) | |||||||
Amortization of restricted stock awards | 172 | 172 | |||||||
Earned employee stock ownership plan shares | 207 | 145 | 352 | ||||||
Restricted stock awards | (225) | 225 | 0 | ||||||
Stock awards withheld for tax withholding | (70) | (70) | |||||||
Stock repurchases | (2,134) | (2,134) | |||||||
Balance at Sep. 30, 2022 | 91 | 40,894 | 136,230 | (25,041) | (1,111) | (61,353) | 89,710 | ||
Balance at Jun. 30, 2022 | 91 | 40,775 | 134,661 | (17,852) | (1,159) | (60,668) | 95,848 | ||
Net income | 1,831 | 1,831 | |||||||
Other comprehensive income (loss) | (7,189) | (7,189) | |||||||
Dividends paid to stockholders | (262) | (262) | |||||||
Amortization of restricted stock awards | 55 | 55 | |||||||
Earned employee stock ownership plan shares | 64 | 48 | 112 | ||||||
Stock repurchases | (685) | (685) | |||||||
Balance at Sep. 30, 2022 | 91 | 40,894 | 136,230 | (25,041) | (1,111) | (61,353) | 89,710 | ||
Balance (Accounting Standards Update 2016-13 [Member]) at Dec. 31, 2022 | $ (830) | $ (830) | |||||||
Balance at Dec. 31, 2022 | 91 | 41,013 | 138,409 | (19,761) | (1,063) | (61,353) | 97,336 | ||
Net income | 4,553 | 4,553 | |||||||
Other comprehensive income (loss) | 1,263 | 1,263 | |||||||
Dividends paid to stockholders | (957) | (957) | |||||||
Amortization of restricted stock awards | 168 | 168 | |||||||
Earned employee stock ownership plan shares | 156 | 145 | 301 | ||||||
Restricted stock awards | (210) | 210 | 0 | ||||||
Stock awards withheld for tax withholding | (64) | (64) | |||||||
Balance at Sep. 30, 2023 | 91 | 41,127 | 141,175 | (18,498) | (918) | (61,207) | 101,770 | ||
Balance at Jun. 30, 2023 | 91 | 41,019 | 140,025 | (16,810) | (966) | (61,207) | 102,152 | ||
Net income | 1,498 | 1,498 | |||||||
Other comprehensive income (loss) | (1,688) | (1,688) | |||||||
Dividends paid to stockholders | (348) | (348) | |||||||
Amortization of restricted stock awards | 57 | 57 | |||||||
Earned employee stock ownership plan shares | 51 | 48 | 99 | ||||||
Balance at Sep. 30, 2023 | $ 91 | $ 41,127 | $ 141,175 | $ (18,498) | $ (918) | $ (61,207) | $ 101,770 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Unaudited) (Parentheticals) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Common Stock, Dividends, Per Share, Cash Paid (in dollars per share) | $ 0.08 | $ 0.06 | $ 0.22 | $ 0.18 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | ||
Cash flows from operating activities: | |||
Net income | $ 4,553 | $ 5,607 | |
Adjustments to reconcile net income to cash provided by operating activities: | |||
Provision for credit losses | [1] | 566 | 941 |
Depreciation | 843 | 924 | |
Amortization of premiums, net | 600 | 783 | |
Amortization of deferred loan fees | (116) | (406) | |
Amortization of mortgage servicing rights and servicing costs | 623 | 695 | |
Capitalized mortgage servicing rights | (417) | (532) | |
Deferred income tax expense | 275 | 550 | |
(Gains) losses recognized on equity securities, net | (83) | 50 | |
Gains on sale of premises and equipment | (19) | (6) | |
Gain on sale of real estate | (17) | (113) | |
Gain on sales of loans | (1,092) | (2,096) | |
Proceeds from sales of loans held for sale | 49,361 | 81,275 | |
Disbursements on loans held for sale | (45,140) | (61,820) | |
Amortization of restricted stock awards | 168 | 172 | |
Amortization of unearned Employee Stock Ownership Plan shares | 145 | 145 | |
Earned Employee Stock Ownership Plan shares priced above original cost | 156 | 207 | |
Increase in accrued interest receivable | (865) | (530) | |
Increase (decrease) in accrued interest payable | 2,079 | (10) | |
(Increase) decrease in other assets | (33) | 178 | |
(Decrease) increase in other liabilities | (4,772) | 506 | |
Other, net | (1) | 4 | |
Net cash provided by operating activities | 6,814 | 26,534 | |
Cash flows from investing activities: | |||
Principal collected on securities available for sale | 27,818 | 35,032 | |
Proceeds collected on maturities of securities available for sale | 10,000 | 5,000 | |
Purchases of securities available for sale | (9,931) | (35,043) | |
Purchase of Federal Home Loan Bank stock | (7,398) | (1,743) | |
Redemption of Federal Home Loan Bank stock | 7,365 | 1,552 | |
Proceeds from sales of real estate | 237 | 402 | |
Net increase in loans receivable | (79,197) | (102,021) | |
Proceeds from sale of premises | 61 | 9 | |
Purchases of premises and equipment | (520) | (306) | |
Net cash used by investing activities | (51,565) | (97,118) | |
Cash flows from financing activities: | |||
Increase (decrease) in deposits | 61,662 | (3,109) | |
Purchase of treasury stock | 0 | (2,134) | |
Stock awards withheld for tax withholding | (64) | (70) | |
Dividends to stockholders | (957) | (790) | |
Proceeds from borrowings | 180,120 | 31,000 | |
Repayment of borrowings | (180,120) | (31,000) | |
(Decrease) increase in customer escrows | (5,473) | 1,189 | |
Net cash provided (used) by financing activities | 55,168 | (4,914) | |
Increase (decrease) in cash and cash equivalents | 10,417 | (75,498) | |
Cash and cash equivalents, beginning of period | 36,259 | 94,143 | |
Cash and cash equivalents, end of period | 46,676 | 18,645 | |
Supplemental cash flow disclosures: | |||
Cash paid for interest | 6,264 | 925 | |
Cash paid for income taxes | 2,114 | 2,399 | |
Supplemental noncash flow disclosures: | |||
Loans transferred to loans held for sale | 3,729 | 13,708 | |
Transfer of loans to real estate | 220 | 0 | |
Right to use assets obtained in exchange for lease liabilities | 0 | 137 | |
Core Deposits [Member] | |||
Adjustments to reconcile net income to cash provided by operating activities: | |||
Amortization of core deposit intangible | $ 0 | $ 10 | |
[1]The Company adopted Accounting Standard Update (ASU) 2016-13 as of January 1, 2023. The 2022 amount presented is calculated under the prior accounting standard. |
Note 1 - Description of the Bus
Note 1 - Description of the Business and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | ( 1 Description of the Business and Summary of Significant Accounting Policies HMN Financial, Inc. (HMN or the Company) is a stock savings bank holding company that owns 100 percent of Home Federal Savings Bank (the Bank). The Bank has a community banking philosophy and operates retail banking and loan production facilities in Minnesota, Iowa and Wisconsin. The Bank has two wholly owned subsidiaries, Osterud Insurance Agency, Inc. (OIA), which does business as Home Federal Investment Services and offers financial planning products and services, and HFSB Property Holdings, LLC (HPH), which is currently inactive, but has acted in the past as an intermediary for the Bank in holding and operating certain foreclosed properties. The consolidated financial statements included herein are for HMN, the Bank, OIA and HPH. All significant intercompany accounts and transactions have been eliminated in consolidation. The Company adopted Accounting Standards Update (ASU) 2016 13, Financial Instruments-Credit Losses (Topic 326 January 1, 2023, 3 New Accounting Standards , 7 Securities Available for Sale , 9 Allowance for Credit Losses and Credit Quality Information 2016 13. The Company adopted ASU 2022 02, Financial Instruments-Credit Losses (Topic 326 310 40, Receivables-Troubled Debt Restructurings by Creditors, 3 New Accounting Standards 9 Allowance for Credit Losses and Credit Quality Information 2022 02. |
Note 2 - Basis of Preparation
Note 2 - Basis of Preparation | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Basis of Accounting [Text Block] | ( 2 Basis of Preparation The accompanying unaudited consolidated financial statements were prepared in accordance with instructions for Form 10 not The unaudited consolidated financial statements presented in this report should be read in conjunction with the audited consolidated financial statements and the accompanying notes for the year ended December 31, 2022, 10 March 3, 2023. three nine September 30, 2023 not may The Company has evaluated subsequent events for potential recognition and/or disclosure through the date the unaudited consolidated financial statements included in this Quarterly Report on Form 10 |
Note 3 - New Accounting Standar
Note 3 - New Accounting Standards | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Accounting Standards Update and Change in Accounting Principle [Text Block] | ( 3 New Accounting Standards In March 2022, 2022 02, Financial Instruments-Credit Losses (Topic 326 310 40, Receivables-Troubled Debt Restructurings by Creditors, 310 20 35 9 35 11 326 20, Financial Instruments-Credit Losses-Measured at Amortized Cost 326 20 50 6. 2016 13 January 1, 2023 9 Allowance for Credit Losses and Credit Quality Information first nine 2023. In June 2016, 2016 13, Financial Instruments-Credit Losses (Topic 326 not December 15, 2019, November 26, 2019, 2019 11, Codification Improvements to Topic 326, Credit Losses, 2016 13 first 2020 first 2023. January 1, 2023. not January 1, 2023 7 Securities Available For Sale 9 Allowance for Credit Losses and Credit Quality Information . On February 6, 2020, 2020 02, Financial Instruments-Credit Losses (Topic 326 842 No. 119 No. 2016 02, 842 Leases (Topic 842 not 326 326. third |
Note 4 - Fair Value Measurement
Note 4 - Fair Value Measurements | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | ( 4 Fair Value Measurements ASC 820, Fair Value Measurements three Level 1 Level 2 not Level 3 not not The following table summarizes the assets and off-balance sheet financial instruments of the Company for which fair values are determined on a recurring basis as of September 30, 2023 December 31, 2022. Carrying Value at September 30, 2023 (Dollars in thousands) Total Level 1 Level 2 Level 3 Securities available for sale $ 218,167 0 218,167 0 Equity securities 309 0 309 0 Commitments to extend credit (37 ) 0 (37 ) 0 Total $ 218,439 0 218,439 0 Carrying Value at December 31, 2022 (Dollars in thousands) Total Level 1 Level 2 Level 3 Securities available for sale $ 246,019 0 246,019 0 Equity securities 225 0 225 0 Commitments to extend credit (28 ) 0 (28 ) 0 Total $ 246,216 0 246,216 0 The Company may September 30, 2023 December 31, 2022. Carrying Value at September 30, 2023 (Dollars in thousands) Total Level 1 Level 2 Level 3 Three Months Ended September 30, 2023 Total Gains (Losses) Nine Months Ended September 30, 2023 Total Gains (Losses) Loans held for sale $ 1,898 0 1,898 0 (14 ) (24 ) Mortgage servicing rights 2,780 0 0 2,780 0 0 Collateral dependent loans 1,171 0 1,171 0 (2 ) (14 ) Total $ 5,849 0 3,069 2,780 (16 ) (38 ) Carrying Value at December 31, 2022 (Dollars in thousands) Total Level 1 Level 2 Level 3 Year Ended December 31, 2022 Total Gains (Losses) Loans held for sale $ 1,314 0 1,314 0 3 Mortgage servicing rights, net 2,986 0 0 2,986 0 Impaired loans 1,978 0 1,978 0 (46 ) Total $ 6,278 0 3,292 2,986 (43 ) |
Note 5 - Fair Value of Financia
Note 5 - Fair Value of Financial Instruments | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Financial Instruments Disclosure [Text Block] | ( 5 Fair Value of Financial Instruments ASC 825, Disclosures about Fair Values of Financial Instruments September 30, 2023 December 31, 2022 no The estimated fair value of the Company’s financial instruments as of September 30, 2023 December 31, 2022 September 30, 2023 December 31, 2022 Fair Value Hierarchy (Dollars in thousands) Carrying Amount Estimated Fair Value Level 1 Level 2 Level 3 Contract Amount Carrying Amount Estimated Fair Value Contract Amount Financial assets: Cash and cash equivalents $ 46,676 46,676 46,676 36,259 36,259 Securities available for sale 218,167 218,167 218,167 246,019 246,019 Equity securities 309 309 309 225 225 Loans held for sale 1,898 1,898 1,898 1,314 1,314 Loans receivable, net 850,760 780,050 780,050 777,078 724,497 Federal Home Loan Bank stock 1,316 1,316 1,316 1,283 1,283 Accrued interest receivable 3,868 3,868 3,868 3,003 3,003 Mortgage servicing assets 2,780 6,624 6,624 2,986 6,344 Financial liabilities: Deposits 1,043,588 977,135 977,135 981,926 983,420 Accrued interest payable 2,377 2,377 2,377 298 298 Off-balance sheet financial instruments: Commitments to extend credit (37 ) (37 ) 197,776 (28 ) (28 ) 232,940 Commitments to sell loans 33 33 6,941 8 8 6,575 Cash and Cash Equivalents The carrying amount of cash and cash equivalents approximates their fair value. Securities Available for Sale The fair values of securities were based upon quoted market prices for similar securities. Equity Securities The fair values of equity securities were based upon quoted market prices for similar securities. Loans Held for Sale The fair values of loans held for sale were based upon quoted market prices for loans with similar interest rates and terms to maturity. Loans Receivable The fair value of the loan portfolio, with the exception of the adjustable rate portfolio, was calculated by discounting the scheduled cash flows through the estimated maturity using anticipated prepayment speeds and using discount rates that reflect the credit and interest rate risk inherent in each loan portfolio. The fair value of the adjustable loan portfolio was estimated by grouping the loans with similar characteristics and comparing the characteristics of each group to the prices quoted for similar types of loans in the secondary market. The fair value disclosures for both the fixed and adjustable rate portfolios were adjusted to reflect the exit price amount anticipated to be received from the sale of the portfolio in an open market transaction. Federal Home Loan Bank (FHLB) Stock The carrying amount of FHLB stock approximates its fair value. Accrued Interest Receivable The carrying amount of accrued interest receivable approximates its fair value since it is short-term in nature and does not Mortgage Servicing Assets The fair values of mortgage servicing assets were calculated by a third Deposits The fair value of demand deposits, savings accounts and certain money market account deposits is the amount payable on demand at the reporting date. The fair value of fixed maturity certificates of deposit is estimated using the rates currently offered for deposits of similar remaining maturities. The fair value disclosures for all of the deposits were adjusted to reflect the exit price amount anticipated to be received from the sale of the deposits in an open market transaction . Accrued Interest Payable The carrying amount of accrued interest payable approximates its fair value since it is short-term in nature. Commitments to Extend Credit The fair values of commitments to extend credit are estimated using the fees normally charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counter parties. Commitments to Sell Loans The fair values of commitments to sell loans are estimated using the quoted market prices for loans with similar interest rates and terms to maturity. |
Note 6 - Other Comprehensive In
Note 6 - Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Comprehensive Income (Loss) Note [Text Block] | ( 6 Other Comprehensive Income (Loss) Other comprehensive income (loss) is defined as the change in equity during a period from transactions and other events from non-owner sources. Comprehensive income (loss) is the total of net income and other comprehensive income or loss, which for the Company is comprised of unrealized gains or losses on securities available for sale. The components of other comprehensive income (loss) and the related tax effects were as follows: For the Three Months Ended September 30, (Dollars in thousands) 2023 2022 Securities available for sale: Before Tax Tax Effect Net of Tax Before Tax Tax Effect Net of Tax Unrealized gains (losses) arising during the period $ (2,316 ) (628 ) (1,688 ) (9,100 ) (1,911 ) (7,189 ) Other comprehensive income (loss) $ (2,316 ) (628 ) (1,688 ) (9,100 ) (1,911 ) (7,189 ) For the Nine Months Ended September 30, (Dollars in thousands) 2023 2022 Securities available for sale: Before Tax Tax Effect (1) Net of Tax Before Tax Tax Effect Net of Tax Unrealized gains (losses) arising during the period $ 636 (627 ) 1,263 (30,782 ) (7,324 ) (23,458 ) Other comprehensive income (loss) $ 636 (627 ) 1,263 (30,782 ) (7,324 ) (23,458 ) ( 1 The tax effect on gross unrealized gains (losses) was impacted by a change in the effective tax rate used in the second 2023 |
Note 7 - Securities Available f
Note 7 - Securities Available for Sale | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | ( 7 Securities Available For Sale The following table shows the gross unrealized losses and fair values for the securities available for sale portfolio, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at September 30, 2023 December 31, 2022. Less Than Twelve Months Twelve Months or More Total (Dollars in thousands) # of Investments Fair Value Unrealized Losses # of Investments Fair Value Unrealized Losses Fair Value Unrealized Losses September 30, 2023 Mortgage backed securities: Federal National Mortgage Association (FNMA) 0 $ 0 0 34 $ 88,744 (13,145 ) $ 88,744 (13,145 ) Federal Home Loan Mortgage Corporation (FHLMC) 0 0 0 24 75,073 (11,202 ) 75,073 (11,202 ) Collateralized mortgage obligations: FNMA 0 0 0 1 32 (3 ) 32 (3 ) Other marketable securities: U.S. Government agency obligations 2 9,841 (92 ) 9 43,987 (1,012 ) 53,828 (1,104 ) Corporate preferred stock 0 0 0 1 490 (210 ) 490 (210 ) Total temporarily impaired securities 2 $ 9,841 (92 ) 69 $ 208,326 (25,572 ) $ 218,167 (25,664 ) December 31, 2022 Mortgage backed securities: FNMA 12 $ 19,337 (1,629 ) 22 $ 85,599 (11,125 ) $ 104,936 (12,754 ) FHLMC 4 10,542 (1,214 ) 20 77,174 (9,963 ) 87,716 (11,177 ) Collateralized mortgage obligations: FNMA 1 36 (2 ) 0 0 0 36 (2 ) Other marketable securities: U.S. government agency obligations 4 19,334 (667 ) 7 33,507 (1,490 ) 52,841 (2,157 ) Corporate preferred stock 0 0 0 1 490 (210 ) 490 (210 ) Total temporarily impaired securities 21 $ 49,249 (3,512 ) 50 $ 196,770 (22,788 ) $ 246,019 (26,300 ) The Company reviews its investment portfolio on a quarterly basis for indications of impairment due to credit-related and noncredit-related factors. This review includes analyzing the extent to which the fair value has been lower than the cost, the market liquidity for the investment, the financial condition and near-term prospects of the issuer, including any specific events which may As of September 30, 2023, not no September 30, 2023 September 30, 2023 not September 30, 2023. not may no 2022. three nine September 30, 2023 September 30, 2022, no The Company made an accounting policy election to exclude accrued interest receivable from the amortized cost basis of securities available for sale. Accrued interest receivable on securities available for sale was reported as a component of accrued interest receivable on the consolidated balance sheet, totaled $0.4 million at September 30, 2023, A summary of securities available for sale at September 30, 2023 December 31, 2022 (Dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value September 30, 2023 Mortgage-backed securities: FNMA $ 101,889 0 (13,145 ) 88,744 FHLMC 86,275 0 (11,202 ) 75,073 Collateralized mortgage obligations: FNMA 35 0 (3 ) 32 188,199 0 (24,350 ) 163,849 Other marketable securities: U.S. Government agency obligations 54,932 0 (1,104 ) 53,828 Corporate preferred stock 700 0 (210 ) 490 55,632 0 (1,314 ) 54,318 $ 243,831 0 (25,664 ) 218,167 December 31, 2022 Mortgage-backed securities: FNMA $ 117,690 0 (12,754 ) 104,936 FHLMC 98,893 0 (11,177 ) 87,716 Collateralized mortgage obligations: FNMA 38 0 (2 ) 36 216,621 0 (23,933 ) 192,688 Other marketable securities: U.S. Government agency obligations 54,998 0 (2,157 ) 52,841 Corporate preferred stock 700 0 (210 ) 490 55,698 0 (2,367 ) 53,331 $ 272,319 0 (26,300 ) 246,019 The Company had available for sale securities pledged as collateral for customer deposits in excess of the $250,000 September 30, 2023 December 31, 2022, The following table indicates amortized cost and estimated fair value of securities available for sale at September 30, 2023 (Dollars in thousands) Amortized Cost Fair Value Due less than one year $ 75,709 69,735 Due after one year through five years 128,724 114,251 Due after five years through fifteen years 39,395 34,179 Due after fifteen years 3 2 Total $ 243,831 218,167 The allocation of mortgage-backed securities in the table above is based upon the anticipated future cash flow of the securities using estimated mortgage prepayment speeds. The allocation of other marketable securities that have call features is based on the anticipated cash flows to the expected call date if it is anticipated that the security will be called, or to the maturity date if it is not |
Note 8 - Loans Receivable, Net
Note 8 - Loans Receivable, Net | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | ( 8 Loans Receivable, Net A summary of loans receivable at September 30, 2023 December 31, 2022 (Dollars in thousands) September 30, 2023 December 31, 2022 Single family $ 260,716 205,890 Commercial real estate: Real estate rental and leasing 270,638 249,783 Other 224,389 221,562 495,027 471,345 Consumer 43,991 44,817 Commercial business 63,663 65,835 Total loans 863,397 787,887 Less: Unamortized discounts 15 13 Net deferred loan fees 655 519 Allowance for credit losses 11,967 10,277 Total loans receivable, net $ 850,760 777,078 |
Note 9 - Allowance for Credit L
Note 9 - Allowance for Credit Losses and Credit Quality Information | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Allowance For Loan Losses And Credit Quality Information [Text Block] | ( 9 Allowance for Credit Losses and Credit Quality Information The allowance for credit losses is summarized as follows: (Dollars in thousands) Single Family Commercial Real Estate Consumer Commercial Business Total For the three months ended September 30, 2023: Balance, June 30, 2023 $ 1,243 7,865 582 1,827 11,517 Provision for losses 155 187 (1 ) 103 444 Charge-offs 0 0 0 0 0 Recoveries 1 0 5 0 6 Balance, September 30, 2023 $ 1,399 8,052 586 1,930 11,967 For the nine months ended September 30, 2023: Balance, December 31, 2022 $ 1,261 7,026 1,058 932 10,277 January 1, 2023 adoption of ASU 2016-13 (259 ) 512 (485 ) 1,302 1,070 Provision for losses 395 514 34 (331 ) 612 Charge-offs 0 0 (27 ) 0 (27 ) Recoveries 2 0 6 27 35 Balance, September 30, 2023 $ 1,399 8,052 586 1,930 11,967 Allocated to: Individual allowance $ 33 0 112 17 162 Collective allowance 1,228 7,026 946 915 10,115 Balance, December 31, 2022 $ 1,261 7,026 1,058 932 10,277 Allocated to: Individual allowance $ 29 0 112 23 164 Collective allowance 1,370 8,052 474 1,907 11,803 Balance, September 30, 2023 $ 1,399 8,052 586 1,930 11,967 Loans receivable at December 31, 2022: Individually reviewed for impairment $ 908 179 492 561 2,140 Collectively reviewed for impairment 204,982 471,166 44,325 65,274 785,747 Ending balance $ 205,890 471,345 44,817 65,835 787,887 Loans receivable at September 30, 2023: Individually reviewed for impairment $ 638 177 458 62 1,335 Collectively reviewed for impairment 260,078 494,850 43,533 63,601 862,062 Ending balance $ 260,716 495,027 43,991 63,663 863,397 (Dollars in thousands) Single Family Commercial Real Estate Consumer Commercial Business Total For the three months ended September 30, 2022: Balance, June 30, 2022, $ 1,068 6,586 1,047 943 9,644 Provision for losses 77 505 12 (15 ) 579 Charge-offs 0 (90 ) (8 ) 0 (98 ) Recoveries 1 0 5 10 16 Balance, September 30, 2022 $ 1,146 7,001 1,056 938 10,141 For the nine months ended September 30, 2022: Balance, December 31, 2021 $ 974 6,388 981 936 9,279 Provision for losses 171 703 92 (25 ) 941 Charge-offs 0 (90 ) (24 ) 0 (114 ) Recoveries 1 0 7 27 35 Balance, September 30, 2022 $ 1,146 7,001 1,056 938 10,141 The Company adopted ASU 2016 13 January 1, 2023, not not The Company’s total expected loss estimate is based, in part, on the maximum historical credit loss experience of each pool of loans over a full credit cycle and all available portfolio data is considered in the analysis. When historical credit loss experience is not may Collateral dependent loans are those for which the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. These loans do not not not may not The Company made an accounting policy election to exclude accrued interest receivable from the amortized cost basis of loans. Accrued interest receivable on loans is reported as a component of accrued interest receivable on the consolidated balance sheet and totaled $3.4 million at September 30, 2023 In addition to the ACL on loans, the Company has established an ACL on unfunded commitments that is included in other liabilities on the consolidated balance sheets. This reserve is maintained at a level that management believes is sufficient to absorb losses arising from unfunded loan commitments. This amount is determined quarterly based on an estimate of outstanding commitments that are anticipated to be funded and multiplying those amounts by the loss rate for their loan category. The allowance for unfunded commitments at September 30, 2023 not The provision for credit losses is determined by the Company as the amount to be added to the ACL for various types of financial instruments including loans, investment securities, and off-balance sheet credit exposures after net charge-offs have been deducted to bring the ACL to a level that, in management’s judgment, is necessary to absorb expected credit losses over the lives of the respective financial instruments. No three nine September 30, 2023. The following table presents the components of the provision for credit losses for the three nine September 30, 2023 2022. (Dollars in thousands) Three Months Ended September 30, 2023 Nine Months Ended September 30, 2023 Provision for credit losses on: Loans (1) $ 444 612 Unfunded commitments (1) (126 ) (46 ) Total $ 318 566 (Dollars in thousands) Three Months Ended September 30, 2022 Nine Months Ended September 30, 2022 Provision for credit losses on: Loans (1) $ 579 941 Total $ 579 941 ( 1 2016 13 January 1, 2023. 2022 The following table presents total loans by risk categories and year of origination as of September 30, 2023: (Dollars in thousands) 2023 2022 2021 2020 2019 Prior Revolving Total Single family Unclassified $ 71,341 61,468 64,829 35,153 11,441 15,575 0 259,807 Special Mention 0 0 0 0 0 0 0 0 Substandard 79 193 0 80 185 332 0 869 Doubtful 0 0 0 0 25 15 0 40 Loss 0 0 0 0 0 0 0 0 71,420 61,661 64,829 35,233 11,651 15,922 0 260,716 Commercial Real Estate Unclassified 54,927 192,113 113,087 77,712 14,928 9,898 0 462,665 Special Mention 711 8,564 2,665 161 0 1,026 0 13,127 Substandard 2,965 658 292 13,109 639 1,572 0 19,235 Doubtful 0 0 0 0 0 0 0 0 Loss 0 0 0 0 0 0 0 0 58,603 201,335 116,044 90,982 15,567 12,496 0 495,027 Consumer Unclassified 8,613 8,522 1,864 2,175 2,631 5,171 14,525 43,501 Special Mention 34 0 0 0 0 0 0 34 Substandard 0 26 136 0 3 131 43 339 Doubtful 0 15 0 0 0 0 0 15 Loss 4 0 34 0 0 23 41 102 8,651 8,563 2,034 2,175 2,634 5,325 14,609 43,991 Current period gross write offs 0 1 0 0 0 26 0 27 Commercial Business Unclassified 12,209 9,065 4,093 3,633 250 781 28,548 58,579 Special Mention 0 572 0 0 0 0 54 626 Substandard 1,503 479 196 195 20 35 2,030 4,458 Doubtful 0 0 0 0 0 0 0 0 Loss 0 0 0 0 0 0 0 0 13,712 10,116 4,289 3,828 270 816 30,632 63,663 Total Loans $ 152,386 281,675 187,196 132,218 30,122 34,559 45,241 863,397 Credit Quality Indicators The Company categorized loans into risk categories based on relevant information about the ability of borrowers to service their debt. The information considered includes information, such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company established a risk rating at origination for all commercial real estate and commercial business loans and management monitors the loans on an ongoing basis for any changes in the borrower’s ability to service their debt. Management also affirms the risk ratings for these loans on an annual basis. The Company uses the following definitions for classifying loans: Special Mention - Loans classified as special mention are loans that have potential weaknesses that, if left uncorrected, may Substandard - not Doubtful - Loss - Loans classified as loss are essentially uncollateralized and/or considered uncollectible and of such little value that continuance as an asset on the balance sheet may not Classified loans are categorized as special mention, substandard, doubtful, and loss. Loans classified as substandard, doubtful, or loss require the Bank to perform an analysis of the individual loan and charge off any loans, or portion thereof, that are deemed uncollectible. Loans not not The aging of past due loans at September 30, 2023 December 31, 2022 (Dollars in thousands) 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total Past Due Current Loans Total Loans Loans 90 Days or More Past Due and Still Accruing September 30, 2023 Single family $ 1,116 199 210 1,525 259,191 260,716 0 Commercial real estate: Real estate rental and leasing 71 0 0 71 270,567 270,638 0 Other 820 0 0 820 223,569 224,389 0 Consumer 327 22 63 412 43,579 43,991 0 Commercial business 0 937 0 937 62,726 63,663 0 Total $ 2,334 1,158 273 3,765 859,632 863,397 0 December 31, 2022 Single family $ 380 145 481 1,006 204,884 205,890 0 Commercial real estate: Real estate rental and leasing 0 0 0 0 249,783 249,783 0 Other 578 0 0 578 220,984 221,562 0 Consumer 394 123 88 605 44,212 44,817 0 Commercial business 0 0 0 0 65,835 65,835 0 Total $ 1,352 268 569 2,189 785,698 787,887 0 The Company considers a loan to have defaulted when it becomes 90 may The following table presents the carrying value of collateral dependent individually analyzed loans as of September 30, 2023: September 30, 2023 (Dollars in thousands) Recorded Investment Unpaid Principal Balance Related Allowance Loans with no related allowance recorded: Single family $ 413 429 0 Commercial real estate: Other 177 177 0 Consumer 323 323 0 Loans with an allowance recorded: Single family 225 225 29 Consumer 135 135 112 Commercial business 62 62 23 Total: Single family 638 654 29 Commercial real estate: Other (1) 177 177 0 Consumer (2) 458 458 112 Commercial business (3) 62 62 23 Total $ 1,335 1,351 164 ( 1 ( 2 second ( 3 The following table presents, under previously applicable GAAP, loans individually evaluated for impairment by portfolio segment as of December 31, 2022: December 31, 2022 (Dollars in thousands) Recorded Investment Unpaid Principal Balance Related Allowance Loans with no related allowance recorded: Single family $ 667 685 0 Commercial real estate: Other 179 179 0 Consumer 338 338 0 Loans with an allowance recorded: Single family 241 241 33 Consumer 154 154 112 Commercial business 561 561 17 Total: Single family 908 926 33 Commercial real estate: Other (1) 179 179 0 Consumer (2) 492 492 112 Commercial business (3) 561 561 17 Total $ 2,140 2,158 162 ( 1 ( 2 second ( 3 The following table summarizes the average recorded investment and interest income recognized on loans individually evaluated for impairment under previously applicable GAAP during the three nine September 30, 2022: For the Three Months Ended For the Nine Months Ended September 30, 2022 (Dollars in thousands) Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Loans with no related allowance recorded: Single family $ 584 1 454 8 Commercial real estate: Other 180 5 183 7 Consumer 304 2 346 7 Loans with an allowance recorded: Single family 65 0 75 0 Commercial real estate: Other 1,643 0 2,555 0 Consumer 157 0 151 1 Commercial business 323 0 165 0 Total: Single family 649 1 529 8 Commercial real estate: Other 1,823 5 2,738 7 Consumer 461 2 497 8 Commercial business 323 0 165 0 Total $ 3,256 8 3,929 23 At September 30, 2023 December 31, 2022, no September 30, 2023 December 31, 2022, The non-accrual loans at September 30, 2023 December 31, 2022 (Dollars in thousands) September 30, 2023 December 31, 2022 Single family $ 638 $ 908 Consumer 408 441 Commercial business 35 529 $ 1,081 $ 1,878 There were no September 30, 2023 December 31, 2022. The Company adopted ASU 2022 02, Financial Instruments-Credit Losses (Topic 326 January 1, 2023. January 1, 2023 Based on the guidance in ASU 2022 02, not not There are additional disclosures for modification of loans with borrowers experiencing financial difficulty that result in a direct change in the timing or amount of contractual cash flows. The disclosures are applicable to situations where there is principal forgiveness, interest rate reductions, other-than-insignificant payment delays, term extensions, or a combination of any of these items. If the Company modifies any loans to borrowers in financial distress that involves principal forgiveness, the amount of principal that is forgiven is charged off against the ACL. The Company made two third 2023 no September 30, 2023 not |
Note 10 - Intangible Assets
Note 10 - Intangible Assets | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Intangible Assets Disclosure [Text Block] | ( 10 Intangible Assets The Company’s intangible assets consist of goodwill and mortgage servicing rights. A summary of mortgage servicing rights activity is as follows: (Dollars in thousands) Nine Months Ended Twelve Months Ended December 31, 2022 Nine Month Ended September 30, 2022 Balance, beginning of period $ 2,986 3,280 3,280 Originations 417 615 532 Amortization (623 ) (909 ) (695 ) Balance, end of period $ 2,780 2,986 3,117 Fair value of mortgage servicing rights $ 6,624 6,344 6,249 All of the loans sold where the Company continues to service the loans are serviced for FNMA under the individual loan sale program. The following is a summary of the risk characteristics of the loans being serviced for FNMA at September 30, 2023: Weighted Weighted Loan Average Average Principal Interest Remaining Number (Dollars in thousands) Balance Rate Term (months) of Loans Original term 15 year fixed rate $ 96,365 2.92 % 129 969 Original term 30 year fixed rate 438,060 3.78 304 2,702 Amortization expense for intangible assets was $0.6 million and $0.7 million for the nine September 30, 2023 2022, September 30, 2023 December 31, 2022 September 30, 2023 Gross Unamortized Carrying Accumulated Intangible (Dollars in thousands) Amount Amortization Assets Mortgage servicing rights $ 6,174 (3,394 ) 2,780 Goodwill 802 0 802 Total $ 6,976 (3,394 ) 3,582 December 31, 2022 Gross Unamortized Carrying Accumulated Intangible (Dollars in thousands) Amount Amortization Assets Mortgage servicing rights $ 5,995 (3,009 ) 2,986 Core deposit intangible 574 (574 ) 0 Goodwill 802 0 802 Total $ 7,371 (3,583 ) 3,788 The following table indicates the estimated future amortization expense for mortgage servicing rights: (Dollars in thousands) Mortgage Servicing Rights Year ending December 31, 2023 $ 185 2024 709 2025 644 2026 550 2027 380 Thereafter 312 Total $ 2,780 The projection of amortization is based on existing asset balances and the existing interest rate environment as of September 30, 2023. may No not may Goodwill was tested for impairment at September 30, 2023 not no |
Note 11 - Leases
Note 11 - Leases | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | ( 11 Leases The Company accounts for its leases in accordance with ASC Topic 842. The Company’s leases relate to office space and bank branches with remaining lease terms between eleven fifty three ten not not September 30, 2023 three nine September 30, 2023 2022, The table below summarizes other information related to the Company’s operating leases: Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands) 2023 2022 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 55 57 165 172 Weighted-average remaining lease term – operating leases, in years 2.2 3.0 2.2 3.0 Weighted-average discount rate – operating leases 2.69 % 2.63 % 2.69 % 2.63 % The table below summarizes the maturity of remaining lease liabilities at September 30, 2023: (Dollars in thousands) September 30, 2023 2023 $ 59 2024 212 2025 58 2026 27 2027 25 Total lease payments 381 Less: Interest (12 ) Present value of lease liabilities $ 369 |
Note 12 - Earnings Per Common S
Note 12 - Earnings Per Common Share | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | ( 12 Earnings per Common Share The following table reconciles the weighted average shares outstanding and the earnings available to common stockholders used for basic and diluted earnings per common share: Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands, except per share data) 2023 2022 2023 2022 Weighted average number of common shares outstanding used in basic earnings per common share calculation 4,355,613 4,348,444 4,347,166 4,366,672 Net dilutive effect of: Restricted stock awards and options 26,843 30,652 27,865 32,651 Weighted average number of shares outstanding adjusted for effect of dilutive securities 4,382,456 4,379,096 4,375,031 4,399,323 Income available to common stockholders $ 1,498 1,831 4,553 5,607 Basic earnings per common share $ 0.34 0.42 1.05 1.28 Diluted earnings per common share $ 0.34 0.42 1.04 1.27 |
Note 13 - Regulatory Capital an
Note 13 - Regulatory Capital and Oversight | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Regulatory Capital Requirements under Banking Regulations [Text Block] | ( 13 Regulatory Capital and Oversight The Bank is subject to the Basel III regulatory capital requirements. The Basel III requirements, among other things, (i) apply a set of capital requirements to the Bank, including requirements relating to common equity as a component of core capital, (ii) implement a “capital conservation buffer” against risk and a higher minimum Tier 1 The Board of Governors of the Federal Reserve Bank in its Small Bank Holding Company Policy Statement (Policy Statement) has exempted small bank holding companies with assets less than $3 Quantitative measures established by regulations to ensure capital adequacy require the Bank to maintain minimum amounts and ratios (set forth in the following table and defined in the regulation) of common equity Tier 1 1 1 The Bank’s average total assets and adjusted total assets for the third 2023 September 30, 2023 Actual Required to be Adequately Capitalized Excess Capital To Be Well Capitalized Under Prompt Corrective Action Provisions (Dollars in thousands) Amount Percent of Assets (1) Amount Percent of Assets (1) Amount Percent of Assets (1) Amount Percent of Assets (1) September 30, 2023 Common equity Tier 1 capital $ 102,309 11.11 % $ 41,421 4.50 % $ 60,888 6.61 % $ 59,830 6.50 % Tier 1 leverage 102,309 8.93 45,827 4.00 56,482 4.93 57,284 5.00 Tier 1 risk-based capital 102,309 11.11 55,228 6.00 47,081 5.11 73,637 8.00 Total risk-based capital 113,821 12.37 73,637 8.00 40,184 4.37 92,047 10.00 ( 1 1 The Bank must maintain a capital conservation buffer of 2.50% composed of common equity Tier 1 September 30, 2023, no |
Note 14 - Stockholders' Equity
Note 14 - Stockholders' Equity | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Equity [Text Block] | ( 14 Stockholders Equity The Company did not first nine 2023. September 30, 2023, 6 March 8, 2023. 8 June 7, 2023 September 7, 2023. |
Note 15 - Commitments and Conti
Note 15 - Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | ( 15 Commitments and Contingencies The Bank issues standby letters of credit which guarantee the performance of customers to third September 30, 2023 twenty-seven may not From time to time, the Company is party to legal proceedings arising out of its lending and deposit operations. The Company is, and expects to become, engaged in foreclosure proceedings, collection actions, and other litigation as part of its normal banking activities. The Company examines each legal matter, and, in those situations where it determines that a particular legal matter presents loss contingencies that are both probable and reasonably estimable, establishes an appropriate accrual. In many situations, the Company is not not |
Note 16 - Business Segments
Note 16 - Business Segments | 9 Months Ended |
Sep. 30, 2023 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | ( 16 Business Segments The Bank has been identified as a reportable operating segment in accordance with the provisions of ASC 280. not The Company evaluates performance and allocates resources based on the segment’s net income, return on average assets and return on average equity. Each corporation is managed separately with its own officers and board of directors. The following table sets forth certain information about the reconciliations of reported profit and assets for each of the Company’s reportable segments. (Dollars in thousands) Home Federal Savings Bank Other Eliminations Consolidated Total At or for the nine months ended September 30, 2023: Interest income – external customers $ 31,937 0 0 31,937 Non-interest income – external customers 6,086 0 0 6,086 Intersegment interest income 0 228 (228 ) 0 Intersegment non-interest income 201 4,889 (5,090 ) 0 Interest expense 8,571 0 (228 ) 8,343 Provision for credit losses 566 0 0 566 Non-interest expense 21,981 651 (201 ) 22,431 Income tax expense (benefit) 2,217 (87 ) 0 2,130 Net income 4,889 4,553 (4,889 ) 4,553 Total assets 1,154,015 101,855 (101,700 ) 1,154,171 At or for the nine months ended September 30, 2022: Interest income – external customers $ 24,253 0 0 24,253 Non-interest income – external customers 6,945 0 0 6,945 Intersegment interest income 0 27 (27 ) 0 Intersegment non-interest income 176 6,052 (6,228 ) 0 Interest expense 942 0 (27 ) 915 Provision for loan losses 941 0 0 941 Non-interest expense 20,972 613 (176 ) 21,409 Income tax expense (benefit) 2,467 (141 ) 0 2,326 Net income 6,052 5,607 (6,052 ) 5,607 Total assets 1,046,983 89,817 (89,007 ) 1,047,793 At or for the quarter ended September 30, 2023: Interest income – external customers $ 11,527 0 0 11,527 Non-interest income – external customers 2,184 0 0 2,184 Intersegment interest income 0 88 (88 ) 0 Intersegment non-interest income 71 1,602 (1,673 ) 0 Interest expense 3,812 0 (88 ) 3,724 Provision for credit losses 318 0 0 318 Non-interest expense 7,134 218 (71 ) 7,281 Income tax expense (benefit) 916 (26 ) 0 890 Net income 1,602 1,498 (1,602 ) 1,498 Total assets 1,154,015 101,855 (101,700 ) 1,154,171 At or for the quarter ended September 30, 2022: Interest income – external customers $ 8,631 0 0 8,631 Non-interest income – external customers 2,054 0 0 2,054 Intersegment interest income 0 10 (10 ) 0 Intersegment non-interest income 59 1,981 (2,040 ) 0 Interest expense 350 0 (10 ) 340 Provision for loan losses 579 0 0 579 Non-interest expense 7,025 208 (59 ) 7,174 Income tax expense (benefit) 809 (48 ) 0 761 Net income 1,981 1,831 (1,981 ) 1,831 Total assets 1,046,983 89,817 (89,007 ) 1,047,793 |
Note 4 - Fair Value Measureme_2
Note 4 - Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Notes Tables | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Carrying Value at September 30, 2023 (Dollars in thousands) Total Level 1 Level 2 Level 3 Securities available for sale $ 218,167 0 218,167 0 Equity securities 309 0 309 0 Commitments to extend credit (37 ) 0 (37 ) 0 Total $ 218,439 0 218,439 0 Carrying Value at December 31, 2022 (Dollars in thousands) Total Level 1 Level 2 Level 3 Securities available for sale $ 246,019 0 246,019 0 Equity securities 225 0 225 0 Commitments to extend credit (28 ) 0 (28 ) 0 Total $ 246,216 0 246,216 0 |
Fair Value Measurements, Nonrecurring [Table Text Block] | Carrying Value at September 30, 2023 (Dollars in thousands) Total Level 1 Level 2 Level 3 Three Months Ended September 30, 2023 Total Gains (Losses) Nine Months Ended September 30, 2023 Total Gains (Losses) Loans held for sale $ 1,898 0 1,898 0 (14 ) (24 ) Mortgage servicing rights 2,780 0 0 2,780 0 0 Collateral dependent loans 1,171 0 1,171 0 (2 ) (14 ) Total $ 5,849 0 3,069 2,780 (16 ) (38 ) Carrying Value at December 31, 2022 (Dollars in thousands) Total Level 1 Level 2 Level 3 Year Ended December 31, 2022 Total Gains (Losses) Loans held for sale $ 1,314 0 1,314 0 3 Mortgage servicing rights, net 2,986 0 0 2,986 0 Impaired loans 1,978 0 1,978 0 (46 ) Total $ 6,278 0 3,292 2,986 (43 ) |
Note 5 - Fair Value of Financ_2
Note 5 - Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Notes Tables | |
Fair Value, by Balance Sheet Grouping [Table Text Block] | September 30, 2023 December 31, 2022 Fair Value Hierarchy (Dollars in thousands) Carrying Amount Estimated Fair Value Level 1 Level 2 Level 3 Contract Amount Carrying Amount Estimated Fair Value Contract Amount Financial assets: Cash and cash equivalents $ 46,676 46,676 46,676 36,259 36,259 Securities available for sale 218,167 218,167 218,167 246,019 246,019 Equity securities 309 309 309 225 225 Loans held for sale 1,898 1,898 1,898 1,314 1,314 Loans receivable, net 850,760 780,050 780,050 777,078 724,497 Federal Home Loan Bank stock 1,316 1,316 1,316 1,283 1,283 Accrued interest receivable 3,868 3,868 3,868 3,003 3,003 Mortgage servicing assets 2,780 6,624 6,624 2,986 6,344 Financial liabilities: Deposits 1,043,588 977,135 977,135 981,926 983,420 Accrued interest payable 2,377 2,377 2,377 298 298 Off-balance sheet financial instruments: Commitments to extend credit (37 ) (37 ) 197,776 (28 ) (28 ) 232,940 Commitments to sell loans 33 33 6,941 8 8 6,575 |
Note 6 - Other Comprehensive _2
Note 6 - Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Notes Tables | |
Comprehensive Income (Loss) [Table Text Block] | For the Three Months Ended September 30, (Dollars in thousands) 2023 2022 Securities available for sale: Before Tax Tax Effect Net of Tax Before Tax Tax Effect Net of Tax Unrealized gains (losses) arising during the period $ (2,316 ) (628 ) (1,688 ) (9,100 ) (1,911 ) (7,189 ) Other comprehensive income (loss) $ (2,316 ) (628 ) (1,688 ) (9,100 ) (1,911 ) (7,189 ) For the Nine Months Ended September 30, (Dollars in thousands) 2023 2022 Securities available for sale: Before Tax Tax Effect (1) Net of Tax Before Tax Tax Effect Net of Tax Unrealized gains (losses) arising during the period $ 636 (627 ) 1,263 (30,782 ) (7,324 ) (23,458 ) Other comprehensive income (loss) $ 636 (627 ) 1,263 (30,782 ) (7,324 ) (23,458 ) |
Note 7 - Securities Available_2
Note 7 - Securities Available for Sale (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Notes Tables | |
Schedule of Unrealized Loss on Investments [Table Text Block] | Less Than Twelve Months Twelve Months or More Total (Dollars in thousands) # of Investments Fair Value Unrealized Losses # of Investments Fair Value Unrealized Losses Fair Value Unrealized Losses September 30, 2023 Mortgage backed securities: Federal National Mortgage Association (FNMA) 0 $ 0 0 34 $ 88,744 (13,145 ) $ 88,744 (13,145 ) Federal Home Loan Mortgage Corporation (FHLMC) 0 0 0 24 75,073 (11,202 ) 75,073 (11,202 ) Collateralized mortgage obligations: FNMA 0 0 0 1 32 (3 ) 32 (3 ) Other marketable securities: U.S. Government agency obligations 2 9,841 (92 ) 9 43,987 (1,012 ) 53,828 (1,104 ) Corporate preferred stock 0 0 0 1 490 (210 ) 490 (210 ) Total temporarily impaired securities 2 $ 9,841 (92 ) 69 $ 208,326 (25,572 ) $ 218,167 (25,664 ) December 31, 2022 Mortgage backed securities: FNMA 12 $ 19,337 (1,629 ) 22 $ 85,599 (11,125 ) $ 104,936 (12,754 ) FHLMC 4 10,542 (1,214 ) 20 77,174 (9,963 ) 87,716 (11,177 ) Collateralized mortgage obligations: FNMA 1 36 (2 ) 0 0 0 36 (2 ) Other marketable securities: U.S. government agency obligations 4 19,334 (667 ) 7 33,507 (1,490 ) 52,841 (2,157 ) Corporate preferred stock 0 0 0 1 490 (210 ) 490 (210 ) Total temporarily impaired securities 21 $ 49,249 (3,512 ) 50 $ 196,770 (22,788 ) $ 246,019 (26,300 ) |
Debt Securities, Available-for-Sale [Table Text Block] | (Dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value September 30, 2023 Mortgage-backed securities: FNMA $ 101,889 0 (13,145 ) 88,744 FHLMC 86,275 0 (11,202 ) 75,073 Collateralized mortgage obligations: FNMA 35 0 (3 ) 32 188,199 0 (24,350 ) 163,849 Other marketable securities: U.S. Government agency obligations 54,932 0 (1,104 ) 53,828 Corporate preferred stock 700 0 (210 ) 490 55,632 0 (1,314 ) 54,318 $ 243,831 0 (25,664 ) 218,167 December 31, 2022 Mortgage-backed securities: FNMA $ 117,690 0 (12,754 ) 104,936 FHLMC 98,893 0 (11,177 ) 87,716 Collateralized mortgage obligations: FNMA 38 0 (2 ) 36 216,621 0 (23,933 ) 192,688 Other marketable securities: U.S. Government agency obligations 54,998 0 (2,157 ) 52,841 Corporate preferred stock 700 0 (210 ) 490 55,698 0 (2,367 ) 53,331 $ 272,319 0 (26,300 ) 246,019 |
Available-for-Sale Securities [Member] | |
Notes Tables | |
Contractual Obligation, Fiscal Year Maturity [Table Text Block] | (Dollars in thousands) Amortized Cost Fair Value Due less than one year $ 75,709 69,735 Due after one year through five years 128,724 114,251 Due after five years through fifteen years 39,395 34,179 Due after fifteen years 3 2 Total $ 243,831 218,167 |
Note 8 - Loans Receivable, Net
Note 8 - Loans Receivable, Net (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Notes Tables | |
Summary of Loans Receivable [Table Text Block] | (Dollars in thousands) September 30, 2023 December 31, 2022 Single family $ 260,716 205,890 Commercial real estate: Real estate rental and leasing 270,638 249,783 Other 224,389 221,562 495,027 471,345 Consumer 43,991 44,817 Commercial business 63,663 65,835 Total loans 863,397 787,887 Less: Unamortized discounts 15 13 Net deferred loan fees 655 519 Allowance for credit losses 11,967 10,277 Total loans receivable, net $ 850,760 777,078 |
Note 9 - Allowance for Credit_2
Note 9 - Allowance for Credit Losses and Credit Quality Information (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Notes Tables | |
Financing Receivable, Allowance for Credit Loss [Table Text Block] | (Dollars in thousands) Single Family Commercial Real Estate Consumer Commercial Business Total For the three months ended September 30, 2023: Balance, June 30, 2023 $ 1,243 7,865 582 1,827 11,517 Provision for losses 155 187 (1 ) 103 444 Charge-offs 0 0 0 0 0 Recoveries 1 0 5 0 6 Balance, September 30, 2023 $ 1,399 8,052 586 1,930 11,967 For the nine months ended September 30, 2023: Balance, December 31, 2022 $ 1,261 7,026 1,058 932 10,277 January 1, 2023 adoption of ASU 2016-13 (259 ) 512 (485 ) 1,302 1,070 Provision for losses 395 514 34 (331 ) 612 Charge-offs 0 0 (27 ) 0 (27 ) Recoveries 2 0 6 27 35 Balance, September 30, 2023 $ 1,399 8,052 586 1,930 11,967 Allocated to: Individual allowance $ 33 0 112 17 162 Collective allowance 1,228 7,026 946 915 10,115 Balance, December 31, 2022 $ 1,261 7,026 1,058 932 10,277 Allocated to: Individual allowance $ 29 0 112 23 164 Collective allowance 1,370 8,052 474 1,907 11,803 Balance, September 30, 2023 $ 1,399 8,052 586 1,930 11,967 Loans receivable at December 31, 2022: Individually reviewed for impairment $ 908 179 492 561 2,140 Collectively reviewed for impairment 204,982 471,166 44,325 65,274 785,747 Ending balance $ 205,890 471,345 44,817 65,835 787,887 Loans receivable at September 30, 2023: Individually reviewed for impairment $ 638 177 458 62 1,335 Collectively reviewed for impairment 260,078 494,850 43,533 63,601 862,062 Ending balance $ 260,716 495,027 43,991 63,663 863,397 (Dollars in thousands) Single Family Commercial Real Estate Consumer Commercial Business Total For the three months ended September 30, 2022: Balance, June 30, 2022, $ 1,068 6,586 1,047 943 9,644 Provision for losses 77 505 12 (15 ) 579 Charge-offs 0 (90 ) (8 ) 0 (98 ) Recoveries 1 0 5 10 16 Balance, September 30, 2022 $ 1,146 7,001 1,056 938 10,141 For the nine months ended September 30, 2022: Balance, December 31, 2021 $ 974 6,388 981 936 9,279 Provision for losses 171 703 92 (25 ) 941 Charge-offs 0 (90 ) (24 ) 0 (114 ) Recoveries 1 0 7 27 35 Balance, September 30, 2022 $ 1,146 7,001 1,056 938 10,141 |
Provision for Credit Losses [Table Text Block] | (Dollars in thousands) Three Months Ended September 30, 2023 Nine Months Ended September 30, 2023 Provision for credit losses on: Loans (1) $ 444 612 Unfunded commitments (1) (126 ) (46 ) Total $ 318 566 (Dollars in thousands) Three Months Ended September 30, 2022 Nine Months Ended September 30, 2022 Provision for credit losses on: Loans (1) $ 579 941 Total $ 579 941 |
Financing Receivable Credit Quality Indicators [Table Text Block] | (Dollars in thousands) 2023 2022 2021 2020 2019 Prior Revolving Total Single family Unclassified $ 71,341 61,468 64,829 35,153 11,441 15,575 0 259,807 Special Mention 0 0 0 0 0 0 0 0 Substandard 79 193 0 80 185 332 0 869 Doubtful 0 0 0 0 25 15 0 40 Loss 0 0 0 0 0 0 0 0 71,420 61,661 64,829 35,233 11,651 15,922 0 260,716 Commercial Real Estate Unclassified 54,927 192,113 113,087 77,712 14,928 9,898 0 462,665 Special Mention 711 8,564 2,665 161 0 1,026 0 13,127 Substandard 2,965 658 292 13,109 639 1,572 0 19,235 Doubtful 0 0 0 0 0 0 0 0 Loss 0 0 0 0 0 0 0 0 58,603 201,335 116,044 90,982 15,567 12,496 0 495,027 Consumer Unclassified 8,613 8,522 1,864 2,175 2,631 5,171 14,525 43,501 Special Mention 34 0 0 0 0 0 0 34 Substandard 0 26 136 0 3 131 43 339 Doubtful 0 15 0 0 0 0 0 15 Loss 4 0 34 0 0 23 41 102 8,651 8,563 2,034 2,175 2,634 5,325 14,609 43,991 Current period gross write offs 0 1 0 0 0 26 0 27 Commercial Business Unclassified 12,209 9,065 4,093 3,633 250 781 28,548 58,579 Special Mention 0 572 0 0 0 0 54 626 Substandard 1,503 479 196 195 20 35 2,030 4,458 Doubtful 0 0 0 0 0 0 0 0 Loss 0 0 0 0 0 0 0 0 13,712 10,116 4,289 3,828 270 816 30,632 63,663 Total Loans $ 152,386 281,675 187,196 132,218 30,122 34,559 45,241 863,397 |
Financing Receivable, Past Due [Table Text Block] | (Dollars in thousands) 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total Past Due Current Loans Total Loans Loans 90 Days or More Past Due and Still Accruing September 30, 2023 Single family $ 1,116 199 210 1,525 259,191 260,716 0 Commercial real estate: Real estate rental and leasing 71 0 0 71 270,567 270,638 0 Other 820 0 0 820 223,569 224,389 0 Consumer 327 22 63 412 43,579 43,991 0 Commercial business 0 937 0 937 62,726 63,663 0 Total $ 2,334 1,158 273 3,765 859,632 863,397 0 December 31, 2022 Single family $ 380 145 481 1,006 204,884 205,890 0 Commercial real estate: Real estate rental and leasing 0 0 0 0 249,783 249,783 0 Other 578 0 0 578 220,984 221,562 0 Consumer 394 123 88 605 44,212 44,817 0 Commercial business 0 0 0 0 65,835 65,835 0 Total $ 1,352 268 569 2,189 785,698 787,887 0 |
Impaired Financing Receivables [Table Text Block] | September 30, 2023 (Dollars in thousands) Recorded Investment Unpaid Principal Balance Related Allowance Loans with no related allowance recorded: Single family $ 413 429 0 Commercial real estate: Other 177 177 0 Consumer 323 323 0 Loans with an allowance recorded: Single family 225 225 29 Consumer 135 135 112 Commercial business 62 62 23 Total: Single family 638 654 29 Commercial real estate: Other (1) 177 177 0 Consumer (2) 458 458 112 Commercial business (3) 62 62 23 Total $ 1,335 1,351 164 December 31, 2022 (Dollars in thousands) Recorded Investment Unpaid Principal Balance Related Allowance Loans with no related allowance recorded: Single family $ 667 685 0 Commercial real estate: Other 179 179 0 Consumer 338 338 0 Loans with an allowance recorded: Single family 241 241 33 Consumer 154 154 112 Commercial business 561 561 17 Total: Single family 908 926 33 Commercial real estate: Other (1) 179 179 0 Consumer (2) 492 492 112 Commercial business (3) 561 561 17 Total $ 2,140 2,158 162 For the Three Months Ended For the Nine Months Ended September 30, 2022 (Dollars in thousands) Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Loans with no related allowance recorded: Single family $ 584 1 454 8 Commercial real estate: Other 180 5 183 7 Consumer 304 2 346 7 Loans with an allowance recorded: Single family 65 0 75 0 Commercial real estate: Other 1,643 0 2,555 0 Consumer 157 0 151 1 Commercial business 323 0 165 0 Total: Single family 649 1 529 8 Commercial real estate: Other 1,823 5 2,738 7 Consumer 461 2 497 8 Commercial business 323 0 165 0 Total $ 3,256 8 3,929 23 |
Financing Receivable, Nonaccrual [Table Text Block] | (Dollars in thousands) September 30, 2023 December 31, 2022 Single family $ 638 $ 908 Consumer 408 441 Commercial business 35 529 $ 1,081 $ 1,878 |
Note 10 - Intangible Assets (Ta
Note 10 - Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Notes Tables | |
Servicing Liability at Amortized Cost [Table Text Block] | (Dollars in thousands) Nine Months Ended Twelve Months Ended December 31, 2022 Nine Month Ended September 30, 2022 Balance, beginning of period $ 2,986 3,280 3,280 Originations 417 615 532 Amortization (623 ) (909 ) (695 ) Balance, end of period $ 2,780 2,986 3,117 Fair value of mortgage servicing rights $ 6,624 6,344 6,249 |
Summary of Risk Characteristics of Loans Being Serviced [Table Text Block] | Weighted Weighted Loan Average Average Principal Interest Remaining Number (Dollars in thousands) Balance Rate Term (months) of Loans Original term 15 year fixed rate $ 96,365 2.92 % 129 969 Original term 30 year fixed rate 438,060 3.78 304 2,702 |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | September 30, 2023 Gross Unamortized Carrying Accumulated Intangible (Dollars in thousands) Amount Amortization Assets Mortgage servicing rights $ 6,174 (3,394 ) 2,780 Goodwill 802 0 802 Total $ 6,976 (3,394 ) 3,582 December 31, 2022 Gross Unamortized Carrying Accumulated Intangible (Dollars in thousands) Amount Amortization Assets Mortgage servicing rights $ 5,995 (3,009 ) 2,986 Core deposit intangible 574 (574 ) 0 Goodwill 802 0 802 Total $ 7,371 (3,583 ) 3,788 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | (Dollars in thousands) Mortgage Servicing Rights Year ending December 31, 2023 $ 185 2024 709 2025 644 2026 550 2027 380 Thereafter 312 Total $ 2,780 |
Note 11 - Leases (Tables)
Note 11 - Leases (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Notes Tables | |
Other Information Related to Operating Leases [Table Text Block] | Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands) 2023 2022 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 55 57 165 172 Weighted-average remaining lease term – operating leases, in years 2.2 3.0 2.2 3.0 Weighted-average discount rate – operating leases 2.69 % 2.63 % 2.69 % 2.63 % |
Lessee, Operating Lease, Liability, to be Paid, Maturity [Table Text Block] | (Dollars in thousands) September 30, 2023 2023 $ 59 2024 212 2025 58 2026 27 2027 25 Total lease payments 381 Less: Interest (12 ) Present value of lease liabilities $ 369 |
Note 12 - Earnings Per Common_2
Note 12 - Earnings Per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands, except per share data) 2023 2022 2023 2022 Weighted average number of common shares outstanding used in basic earnings per common share calculation 4,355,613 4,348,444 4,347,166 4,366,672 Net dilutive effect of: Restricted stock awards and options 26,843 30,652 27,865 32,651 Weighted average number of shares outstanding adjusted for effect of dilutive securities 4,382,456 4,379,096 4,375,031 4,399,323 Income available to common stockholders $ 1,498 1,831 4,553 5,607 Basic earnings per common share $ 0.34 0.42 1.05 1.28 Diluted earnings per common share $ 0.34 0.42 1.04 1.27 |
Note 13 - Regulatory Capital _2
Note 13 - Regulatory Capital and Oversight (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Notes Tables | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations [Table Text Block] | Actual Required to be Adequately Capitalized Excess Capital To Be Well Capitalized Under Prompt Corrective Action Provisions (Dollars in thousands) Amount Percent of Assets (1) Amount Percent of Assets (1) Amount Percent of Assets (1) Amount Percent of Assets (1) September 30, 2023 Common equity Tier 1 capital $ 102,309 11.11 % $ 41,421 4.50 % $ 60,888 6.61 % $ 59,830 6.50 % Tier 1 leverage 102,309 8.93 45,827 4.00 56,482 4.93 57,284 5.00 Tier 1 risk-based capital 102,309 11.11 55,228 6.00 47,081 5.11 73,637 8.00 Total risk-based capital 113,821 12.37 73,637 8.00 40,184 4.37 92,047 10.00 |
Note 16 - Business Segments (Ta
Note 16 - Business Segments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | (Dollars in thousands) Home Federal Savings Bank Other Eliminations Consolidated Total At or for the nine months ended September 30, 2023: Interest income – external customers $ 31,937 0 0 31,937 Non-interest income – external customers 6,086 0 0 6,086 Intersegment interest income 0 228 (228 ) 0 Intersegment non-interest income 201 4,889 (5,090 ) 0 Interest expense 8,571 0 (228 ) 8,343 Provision for credit losses 566 0 0 566 Non-interest expense 21,981 651 (201 ) 22,431 Income tax expense (benefit) 2,217 (87 ) 0 2,130 Net income 4,889 4,553 (4,889 ) 4,553 Total assets 1,154,015 101,855 (101,700 ) 1,154,171 At or for the nine months ended September 30, 2022: Interest income – external customers $ 24,253 0 0 24,253 Non-interest income – external customers 6,945 0 0 6,945 Intersegment interest income 0 27 (27 ) 0 Intersegment non-interest income 176 6,052 (6,228 ) 0 Interest expense 942 0 (27 ) 915 Provision for loan losses 941 0 0 941 Non-interest expense 20,972 613 (176 ) 21,409 Income tax expense (benefit) 2,467 (141 ) 0 2,326 Net income 6,052 5,607 (6,052 ) 5,607 Total assets 1,046,983 89,817 (89,007 ) 1,047,793 At or for the quarter ended September 30, 2023: Interest income – external customers $ 11,527 0 0 11,527 Non-interest income – external customers 2,184 0 0 2,184 Intersegment interest income 0 88 (88 ) 0 Intersegment non-interest income 71 1,602 (1,673 ) 0 Interest expense 3,812 0 (88 ) 3,724 Provision for credit losses 318 0 0 318 Non-interest expense 7,134 218 (71 ) 7,281 Income tax expense (benefit) 916 (26 ) 0 890 Net income 1,602 1,498 (1,602 ) 1,498 Total assets 1,154,015 101,855 (101,700 ) 1,154,171 At or for the quarter ended September 30, 2022: Interest income – external customers $ 8,631 0 0 8,631 Non-interest income – external customers 2,054 0 0 2,054 Intersegment interest income 0 10 (10 ) 0 Intersegment non-interest income 59 1,981 (2,040 ) 0 Interest expense 350 0 (10 ) 340 Provision for loan losses 579 0 0 579 Non-interest expense 7,025 208 (59 ) 7,174 Income tax expense (benefit) 809 (48 ) 0 761 Net income 1,981 1,831 (1,981 ) 1,831 Total assets 1,046,983 89,817 (89,007 ) 1,047,793 |
Note 1 - Description of the B_2
Note 1 - Description of the Business and Summary of Significant Accounting Policies (Details Textual) | 9 Months Ended |
Sep. 30, 2023 | |
Percentage Of Ownership In Subsidiaries | 100% |
Number of Wholly Owned Subsidiaries | 2 |
Note 3 - New Accounting Stand_2
Note 3 - New Accounting Standards (Details Textual) - USD ($) $ in Thousands | Sep. 30, 2023 | Jun. 30, 2023 | Jan. 01, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
Financing Receivable, Allowance for Credit Loss | $ 11,967 | $ 11,517 | $ 10,277 | $ 10,141 | $ 9,644 | $ 9,279 | |
Retained Earnings (Accumulated Deficit) | $ 141,175 | 138,409 | |||||
Accounting Standards Update 2016-13 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | |||||||
Financing Receivable, Allowance for Credit Loss | $ 1,100 | $ 1,070 | |||||
Deferred Tax Assets, Gross | 300 | ||||||
Retained Earnings (Accumulated Deficit) | (800) | ||||||
Off-Balance-Sheet, Credit Loss, Liability | $ 100 |
Note 4 - Fair Value Measureme_3
Note 4 - Fair Value Measurements - Assets and Liabilities Measured on Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Securities available for sale | $ 218,167 | $ 246,019 |
Fair Value, Recurring [Member] | ||
Securities available for sale | 218,167 | 246,019 |
Equity securities | 309 | 225 |
Commitments to extend credit | (37) | (28) |
Total | 218,439 | 246,216 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Securities available for sale | 0 | 0 |
Equity securities | 0 | 0 |
Commitments to extend credit | 0 | 0 |
Total | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Securities available for sale | 218,167 | 246,019 |
Equity securities | 309 | 225 |
Commitments to extend credit | (37) | (28) |
Total | 218,439 | 246,216 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Securities available for sale | 0 | 0 |
Equity securities | 0 | 0 |
Commitments to extend credit | 0 | 0 |
Total | $ 0 | $ 0 |
Note 4 - Fair Value Measureme_4
Note 4 - Fair Value Measurements - Assets Measured at Fair Value on Nonrecurring Basis (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Sep. 30, 2023 | Dec. 31, 2022 | |
Loans held for sale, Total gains (losses) | $ (14) | $ (24) | $ 3 |
Mortgage servicing rights, Total gains (losses) | 0 | 0 | 0 |
Collateral dependent loans, Total gains (losses) | (2) | (14) | |
Total, Total gains (losses) | (16) | (38) | (43) |
Impaired loans, Total gains (losses) | (46) | ||
Fair Value, Nonrecurring [Member] | |||
Loans held for sale | 1,898 | 1,898 | 1,314 |
Mortgage servicing rights | 2,780 | 2,780 | 2,986 |
Collateral dependent loans | 1,171 | 1,171 | 1,978 |
Total | 5,849 | 5,849 | 6,278 |
Fair Value, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Loans held for sale | 0 | 0 | 0 |
Mortgage servicing rights | 0 | 0 | 0 |
Collateral dependent loans | 0 | 0 | 0 |
Total | 0 | 0 | 0 |
Fair Value, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Loans held for sale | 1,898 | 1,898 | 1,314 |
Mortgage servicing rights | 0 | 0 | 0 |
Collateral dependent loans | 1,171 | 1,171 | 1,978 |
Total | 3,069 | 3,069 | 3,292 |
Fair Value, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Loans held for sale | 0 | 0 | 0 |
Mortgage servicing rights | 2,780 | 2,780 | 2,986 |
Collateral dependent loans | 0 | 0 | 0 |
Total | $ 2,780 | $ 2,780 | $ 2,986 |
Note 5 - Fair Value of Financ_3
Note 5 - Fair Value of Financial Instruments - Estimated Fair Value of Company's Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Securities available for sale | $ 218,167 | $ 246,019 |
Commitments to extend credit | 197,776 | 232,940 |
Commitments to sell loans | 6,941 | 6,575 |
Reported Value Measurement [Member] | ||
Cash and cash equivalents | 46,676 | 36,259 |
Securities available for sale | 218,167 | 246,019 |
Equity securities | 309 | 225 |
Loans held for sale | 1,898 | 1,314 |
Loans receivable, net | 850,760 | 777,078 |
Federal Home Loan Bank stock | 1,316 | 1,283 |
Accrued interest receivable | 3,868 | 3,003 |
Mortgage servicing assets | 2,780 | 2,986 |
Deposits | 1,043,588 | 981,926 |
Accrued interest payable | 2,377 | 298 |
Commitments to extend credit | (37) | (28) |
Commitments to sell loans | 33 | 8 |
Estimate of Fair Value Measurement [Member] | ||
Cash and cash equivalents | 46,676 | 36,259 |
Securities available for sale | 218,167 | 246,019 |
Equity securities | 309 | 225 |
Loans held for sale | 1,898 | 1,314 |
Loans receivable, net | 780,050 | 724,497 |
Federal Home Loan Bank stock | 1,316 | 1,283 |
Accrued interest receivable | 3,868 | 3,003 |
Mortgage servicing assets | 6,624 | 6,344 |
Deposits | 977,135 | 983,420 |
Accrued interest payable | 2,377 | 298 |
Commitments to extend credit | (37) | (28) |
Commitments to sell loans | 33 | $ 8 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Cash and cash equivalents | 46,676 | |
Securities available for sale | ||
Equity securities | ||
Loans held for sale | ||
Loans receivable, net | ||
Federal Home Loan Bank stock | ||
Accrued interest receivable | ||
Mortgage servicing assets | ||
Deposits | ||
Accrued interest payable | ||
Commitments to extend credit | ||
Commitments to sell loans | ||
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Cash and cash equivalents | ||
Securities available for sale | 218,167 | |
Equity securities | 309 | |
Loans held for sale | 1,898 | |
Loans receivable, net | 780,050 | |
Federal Home Loan Bank stock | 1,316 | |
Accrued interest receivable | 3,868 | |
Mortgage servicing assets | ||
Deposits | 977,135 | |
Accrued interest payable | 2,377 | |
Commitments to extend credit | ||
Commitments to sell loans | ||
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Cash and cash equivalents | ||
Securities available for sale | ||
Equity securities | ||
Loans held for sale | ||
Loans receivable, net | ||
Federal Home Loan Bank stock | ||
Accrued interest receivable | ||
Mortgage servicing assets | 6,624 | |
Deposits | ||
Accrued interest payable | ||
Commitments to extend credit | ||
Commitments to sell loans |
Note 6 - Other Comprehensive _3
Note 6 - Other Comprehensive Income (Loss) - Components of Other Comprehensive (Loss) Income and Related Tax Effects (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Unrealized gains (losses) arising during the period | $ (2,316) | $ (9,100) | $ 636 | $ (30,782) |
Unrealized gains (losses) arising during the period, tax | (628) | (1,911) | (627) | (7,324) |
Unrealized gains (losses) arising during the period, net of tax | (1,688) | (7,189) | 1,263 | (23,458) |
Other comprehensive income (loss) | (2,316) | (9,100) | 636 | (30,782) |
Other comprehensive income (loss), tax | (628) | (1,911) | (627) | (7,324) |
Other comprehensive income (loss), net of tax | $ (1,688) | $ (7,189) | $ 1,263 | $ (23,458) |
Note 7 - Securities Available_3
Note 7 - Securities Available for Sale (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Sep. 30, 2023 | |
Other-than-temporary Impairment Loss, Available-for-Sale Debt Securities | $ 0 | |
Debt Securities, Available-for-Sale, Accrued Interest, after Allowance for Credit Loss | $ 400 | |
Asset Pledged as Collateral [Member] | Deposits [Member] | ||
Securities Held as Collateral, at Fair Value | $ 45,900 | $ 42,600 |
Note 7 - Securities Available_4
Note 7 - Securities Available for Sale - Securities in a Continuous Unrealized Loss Position (Details) $ in Thousands | Sep. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) |
Less Than Twelve Months # of Investments | 2 | 21 |
Less Than Twelve Months Fair Value | $ 9,841 | $ 49,249 |
Less Than Twelve Months Unrealized Losses | $ (92) | $ (3,512) |
Twelve Months or More # of Investments | 69 | 50 |
Twelve Months or More Fair Value | $ 208,326 | $ 196,770 |
Twelve Months or More Unrealized Losses | (25,572) | (22,788) |
Total fair value | 218,167 | 246,019 |
Total temporarily impaired securities | $ (25,664) | $ (26,300) |
Mortgage Backed Securities, Federal National Mortgage Association Certificates and Obligations FNMA [Member] | ||
Less Than Twelve Months # of Investments | 0 | 12 |
Less Than Twelve Months Fair Value | $ 0 | $ 19,337 |
Less Than Twelve Months Unrealized Losses | $ 0 | $ (1,629) |
Twelve Months or More # of Investments | 34 | 22 |
Twelve Months or More Fair Value | $ 88,744 | $ 85,599 |
Twelve Months or More Unrealized Losses | (13,145) | (11,125) |
Total fair value | 88,744 | 104,936 |
Total temporarily impaired securities | $ (13,145) | $ (12,754) |
Mortgage Backed Securities, Issued by Us Government Sponsored Enterprises, Federal Home Loan Mortgage Corporation Certificates and Obligations FHLMC [Member] | ||
Less Than Twelve Months # of Investments | 0 | 4 |
Less Than Twelve Months Fair Value | $ 0 | $ 10,542 |
Less Than Twelve Months Unrealized Losses | $ 0 | $ (1,214) |
Twelve Months or More # of Investments | 24 | 20 |
Twelve Months or More Fair Value | $ 75,073 | $ 77,174 |
Twelve Months or More Unrealized Losses | (11,202) | (9,963) |
Total fair value | 75,073 | 87,716 |
Total temporarily impaired securities | $ (11,202) | $ (11,177) |
Mortgage Backed Securities, Issued by Us Government Sponsored Enterprises, Federal National Mortgage Association Certificates and Obligations FNMA [Member] | ||
Less Than Twelve Months # of Investments | 0 | 1 |
Less Than Twelve Months Fair Value | $ 0 | $ 36 |
Less Than Twelve Months Unrealized Losses | $ 0 | $ (2) |
Twelve Months or More # of Investments | 1 | 0 |
Twelve Months or More Fair Value | $ 32 | $ 0 |
Twelve Months or More Unrealized Losses | (3) | 0 |
Total fair value | 32 | 36 |
Total temporarily impaired securities | $ (3) | $ (2) |
Other Marketable Securities, Us Government Agencies Debt Securities [Member] | ||
Less Than Twelve Months # of Investments | 2 | 4 |
Less Than Twelve Months Fair Value | $ 9,841 | $ 19,334 |
Less Than Twelve Months Unrealized Losses | $ (92) | $ (667) |
Twelve Months or More # of Investments | 9 | 7 |
Twelve Months or More Fair Value | $ 43,987 | $ 33,507 |
Twelve Months or More Unrealized Losses | (1,012) | (1,490) |
Total fair value | 53,828 | 52,841 |
Total temporarily impaired securities | $ (1,104) | $ (2,157) |
Other Marketable Securities, Corporate Preferred Stock [Member] | ||
Less Than Twelve Months # of Investments | 0 | 0 |
Less Than Twelve Months Fair Value | $ 0 | $ 0 |
Less Than Twelve Months Unrealized Losses | $ 0 | $ 0 |
Twelve Months or More # of Investments | 1 | 1 |
Twelve Months or More Fair Value | $ 490 | $ 490 |
Twelve Months or More Unrealized Losses | (210) | (210) |
Total fair value | 490 | 490 |
Total temporarily impaired securities | $ (210) | $ (210) |
Note 7 - Securities Available_5
Note 7 - Securities Available for Sale - Summary of Securities Available for Sale (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Securities available for sale, amortized cost | $ 243,831 | $ 272,319 |
Investment securities available for sale, gross unrealized gains | 0 | 0 |
Investment securities available for sale, gross unrealized losses | (25,664) | (26,300) |
Securities available for sale | 218,167 | 246,019 |
Mortgage Backed Securities, Federal National Mortgage Association Certificates and Obligations FNMA [Member] | ||
Securities available for sale, amortized cost | 101,889 | 117,690 |
Investment securities available for sale, gross unrealized gains | 0 | 0 |
Investment securities available for sale, gross unrealized losses | (13,145) | (12,754) |
Securities available for sale | 88,744 | 104,936 |
Mortgage Backed Securities, Issued by Us Government Sponsored Enterprises, Federal Home Loan Mortgage Corporation Certificates and Obligations FHLMC [Member] | ||
Securities available for sale, amortized cost | 86,275 | 98,893 |
Investment securities available for sale, gross unrealized gains | 0 | 0 |
Investment securities available for sale, gross unrealized losses | (11,202) | (11,177) |
Securities available for sale | 75,073 | 87,716 |
Mortgage Backed Securities, Issued by Us Government Sponsored Enterprises, Federal National Mortgage Association Certificates and Obligations FNMA [Member] | ||
Securities available for sale, amortized cost | 35 | 38 |
Investment securities available for sale, gross unrealized gains | 0 | 0 |
Investment securities available for sale, gross unrealized losses | (3) | (2) |
Securities available for sale | 32 | 36 |
Collateralized Mortgage-Backed Securities [Member] | ||
Securities available for sale, amortized cost | 188,199 | 216,621 |
Investment securities available for sale, gross unrealized gains | 0 | 0 |
Investment securities available for sale, gross unrealized losses | (24,350) | (23,933) |
Securities available for sale | 163,849 | 192,688 |
Other Marketable Securities, Us Government Agencies Debt Securities [Member] | ||
Securities available for sale, amortized cost | 54,932 | 54,998 |
Investment securities available for sale, gross unrealized gains | 0 | 0 |
Investment securities available for sale, gross unrealized losses | (1,104) | (2,157) |
Securities available for sale | 53,828 | 52,841 |
Other Marketable Securities, Corporate Preferred Stock [Member] | ||
Securities available for sale, amortized cost | 700 | 700 |
Investment securities available for sale, gross unrealized gains | 0 | 0 |
Investment securities available for sale, gross unrealized losses | (210) | (210) |
Securities available for sale | 490 | 490 |
Other Marketable Securities [Member] | ||
Securities available for sale, amortized cost | 55,632 | 55,698 |
Investment securities available for sale, gross unrealized gains | 0 | 0 |
Investment securities available for sale, gross unrealized losses | (1,314) | (2,367) |
Securities available for sale | $ 54,318 | $ 53,331 |
Note 7 - Securities Available_6
Note 7 - Securities Available for Sale - Securities by Contractual Maturity (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Due less than one year, amortized cost | $ 75,709 | |
Due less than one year, fair value | 69,735 | |
Due after one year through five years, amortized cost | 128,724 | |
Due after one year through five years, fair value | 114,251 | |
Due after five years through fifteen years, amortized cost | 39,395 | |
Due after five years through fifteen years, fair value | 34,179 | |
Due after fifteen years, amortized cost | 3 | |
Due after fifteen years, fair value | 2 | |
Total, amortized cost | 243,831 | $ 272,319 |
Total, fair value | $ 218,167 | $ 246,019 |
Note 8 - Loans Receivable, Ne_2
Note 8 - Loans Receivable, Net - Loans Receivable (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
Loans receivable | $ 863,397 | $ 787,887 | ||||
Unamortized discounts | 15 | 13 | ||||
Net deferred loan fees | 655 | 519 | ||||
Allowance for credit losses | 11,967 | $ 11,517 | 10,277 | $ 10,141 | $ 9,644 | $ 9,279 |
Total loans receivable, net | 850,760 | 777,078 | ||||
Residential Portfolio Segment [Member] | ||||||
Loans receivable | 260,716 | 205,890 | ||||
Allowance for credit losses | 1,399 | 1,243 | 1,261 | 1,146 | 1,068 | 974 |
Commercial Real Estate Portfolio Segment [Member] | ||||||
Loans receivable | 495,027 | 471,345 | ||||
Allowance for credit losses | 8,052 | 7,865 | 7,026 | 7,001 | 6,586 | 6,388 |
Consumer Portfolio Segment [Member] | ||||||
Loans receivable | 43,991 | 44,817 | ||||
Allowance for credit losses | 586 | 582 | 1,058 | 1,056 | 1,047 | 981 |
Commercial Portfolio Segment [Member] | ||||||
Loans receivable | 63,663 | 65,835 | ||||
Allowance for credit losses | 1,930 | $ 1,827 | 932 | $ 938 | $ 943 | $ 936 |
Single Family Segment [Member] | Residential Portfolio Segment [Member] | ||||||
Loans receivable | 260,716 | 205,890 | ||||
Real Estate [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||||
Loans receivable | 270,638 | 249,783 | ||||
Commercial Real Estate Other [Member] | Commercial Real Estate Portfolio Segment [Member] | ||||||
Loans receivable | $ 224,389 | $ 221,562 |
Note 9 - Allowance for Credit_3
Note 9 - Allowance for Credit Losses and Credit Quality Information (Details Textual) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Financing Receivable, Accrued Interest, after Allowance for Credit Loss | $ 3,400 | |
Financing Receivable, Nonaccrual | 1,081 | $ 1,878 |
Impaired Financing Receivable, Related Allowance | 164 | 162 |
Loan Receivable for Which Value of Collateral Sufficient to Repay | 700 | 1,000 |
Residential Portfolio Segment [Member] | ||
Financing Receivable, Nonaccrual | 638 | 908 |
Impaired Financing Receivable, Related Allowance | 29 | 33 |
Residential Portfolio Segment [Member] | Single Family Segment [Member] | ||
Mortgage Loans in Process of Foreclosure, Amount | 200 | |
Nonperforming Financial Instruments [Member] | ||
Financing Receivable, Nonaccrual | 1,100 | 1,900 |
Impaired Financing Receivable, Related Allowance | $ 200 | $ 200 |
Note 9 - Allowance for Credit_4
Note 9 - Allowance for Credit Losses and Credit Quality Information - Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Jan. 01, 2023 | Dec. 31, 2022 | ||
Balance | $ 11,517 | $ 9,644 | $ 10,277 | $ 9,279 | |||
Provision for losses | [1] | 444 | 579 | 612 | 941 | ||
Charge-offs | 0 | (98) | (27) | (114) | |||
Recoveries | 6 | 16 | 35 | 35 | |||
Balance | 11,967 | 10,141 | 11,967 | 10,141 | |||
Individual allowance | 164 | 164 | $ 162 | ||||
Collective allowance | 11,803 | 11,803 | 10,115 | ||||
Allowance for credit losses | 11,967 | 10,141 | 11,967 | 10,141 | 10,277 | ||
Individually reviewed for impairment | 1,335 | 1,335 | 2,140 | ||||
Collectively reviewed for impairment | 862,062 | 862,062 | 785,747 | ||||
Ending balance | 863,397 | 863,397 | 787,887 | ||||
Accounting Standards Update 2016-13 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | |||||||
Balance | 1,070 | ||||||
Allowance for credit losses | $ 1,100 | 1,070 | |||||
Residential Portfolio Segment [Member] | |||||||
Balance | 1,243 | 1,068 | 1,261 | 974 | |||
Provision for losses | 155 | 77 | 395 | 171 | |||
Charge-offs | 0 | 0 | 0 | 0 | |||
Recoveries | 1 | 1 | 2 | 1 | |||
Balance | 1,399 | 1,146 | 1,399 | 1,146 | |||
Individual allowance | 29 | 29 | 33 | ||||
Collective allowance | 1,370 | 1,370 | 1,228 | ||||
Allowance for credit losses | 1,399 | 1,146 | 1,399 | 1,146 | 1,261 | ||
Individually reviewed for impairment | 638 | 638 | 908 | ||||
Collectively reviewed for impairment | 260,078 | 260,078 | 204,982 | ||||
Ending balance | 260,716 | 260,716 | 205,890 | ||||
Residential Portfolio Segment [Member] | Accounting Standards Update 2016-13 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | |||||||
Balance | (259) | ||||||
Allowance for credit losses | (259) | ||||||
Commercial Real Estate Portfolio Segment [Member] | |||||||
Balance | 7,865 | 6,586 | 7,026 | 6,388 | |||
Provision for losses | 187 | 505 | 514 | 703 | |||
Charge-offs | 0 | (90) | 0 | (90) | |||
Recoveries | 0 | 0 | 0 | 0 | |||
Balance | 8,052 | 7,001 | 8,052 | 7,001 | |||
Individual allowance | 0 | 0 | 0 | ||||
Collective allowance | 8,052 | 8,052 | 7,026 | ||||
Allowance for credit losses | 8,052 | 7,001 | 8,052 | 7,001 | 7,026 | ||
Individually reviewed for impairment | 177 | 177 | 179 | ||||
Collectively reviewed for impairment | 494,850 | 494,850 | 471,166 | ||||
Ending balance | 495,027 | 495,027 | 471,345 | ||||
Commercial Real Estate Portfolio Segment [Member] | Accounting Standards Update 2016-13 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | |||||||
Balance | 512 | ||||||
Allowance for credit losses | 512 | ||||||
Consumer Portfolio Segment [Member] | |||||||
Balance | 582 | 1,047 | 1,058 | 981 | |||
Provision for losses | (1) | 12 | 34 | 92 | |||
Charge-offs | 0 | (8) | (27) | (24) | |||
Recoveries | 5 | 5 | 6 | 7 | |||
Balance | 586 | 1,056 | 586 | 1,056 | |||
Individual allowance | 112 | 112 | 112 | ||||
Collective allowance | 474 | 474 | 946 | ||||
Allowance for credit losses | 586 | 1,056 | 586 | 1,056 | 1,058 | ||
Individually reviewed for impairment | 458 | 458 | 492 | ||||
Collectively reviewed for impairment | 43,533 | 43,533 | 44,325 | ||||
Ending balance | 43,991 | 43,991 | 44,817 | ||||
Consumer Portfolio Segment [Member] | Accounting Standards Update 2016-13 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | |||||||
Balance | (485) | ||||||
Allowance for credit losses | (485) | ||||||
Commercial Portfolio Segment [Member] | |||||||
Balance | 1,827 | 943 | 932 | 936 | |||
Provision for losses | 103 | (15) | (331) | (25) | |||
Charge-offs | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 10 | 27 | 27 | |||
Balance | 1,930 | 938 | 1,930 | 938 | |||
Individual allowance | 23 | 23 | 17 | ||||
Collective allowance | 1,907 | 1,907 | 915 | ||||
Allowance for credit losses | 1,930 | $ 938 | 1,930 | $ 938 | 932 | ||
Individually reviewed for impairment | 62 | 62 | 561 | ||||
Collectively reviewed for impairment | 63,601 | 63,601 | 65,274 | ||||
Ending balance | $ 63,663 | 63,663 | 65,835 | ||||
Commercial Portfolio Segment [Member] | Accounting Standards Update 2016-13 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | |||||||
Balance | $ 1,302 | ||||||
Allowance for credit losses | $ 1,302 | ||||||
[1]The Company adopted ASU 2016-13 as of January 1, 2023. The 2022 amounts presented are calculated under the prior accounting standard. |
Note 9 - Allowance for Credit_5
Note 9 - Allowance for Credit Losses and Credit Quality Information - Provision for Credit Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | ||
Loans (1) | [1] | $ 444 | $ 579 | $ 612 | $ 941 |
Unfunded commitments(1) | (126) | (46) | |||
Total | [2] | $ 318 | $ 579 | $ 566 | $ 941 |
[1]The Company adopted ASU 2016-13 as of January 1, 2023. The 2022 amounts presented are calculated under the prior accounting standard.[2]The Company adopted Accounting Standard Update (ASU) 2016-13 as of January 1, 2023. The 2022 amount presented is calculated under the prior accounting standard. |
Note 9 - Allowance for Credit_6
Note 9 - Allowance for Credit Losses and Credit Quality Information - Credit Quality Indicators (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Unclassified | $ 152,386 | $ 152,386 | |||
Unclassified | 281,675 | 281,675 | |||
Unclassified | 187,196 | 187,196 | |||
Unclassified | 132,218 | 132,218 | |||
Unclassified | 30,122 | 30,122 | |||
Unclassified | 34,559 | 34,559 | |||
Unclassified | 45,241 | 45,241 | |||
Unclassified | 863,397 | 863,397 | $ 787,887 | ||
Current period gross write offs | 0 | ||||
Current period gross write offs | 1 | ||||
Current period gross write offs | 0 | ||||
Current period gross write offs | 0 | ||||
Current period gross write offs | 0 | ||||
Current period gross write offs | 26 | ||||
Current period gross write offs | 0 | ||||
Current period gross write offs | 0 | $ 98 | 27 | $ 114 | |
Residential Portfolio Segment [Member] | |||||
Unclassified | 71,420 | 71,420 | |||
Unclassified | 61,661 | 61,661 | |||
Unclassified | 64,829 | 64,829 | |||
Unclassified | 35,233 | 35,233 | |||
Unclassified | 11,651 | 11,651 | |||
Unclassified | 15,922 | 15,922 | |||
Unclassified | 0 | 0 | |||
Unclassified | 260,716 | 260,716 | 205,890 | ||
Current period gross write offs | 0 | 0 | 0 | 0 | |
Residential Portfolio Segment [Member] | Unclassified [Member] | |||||
Unclassified | 71,341 | 71,341 | |||
Unclassified | 61,468 | 61,468 | |||
Unclassified | 64,829 | 64,829 | |||
Unclassified | 35,153 | 35,153 | |||
Unclassified | 11,441 | 11,441 | |||
Unclassified | 15,575 | 15,575 | |||
Unclassified | 0 | 0 | |||
Unclassified | 259,807 | 259,807 | |||
Residential Portfolio Segment [Member] | Special Mention [Member] | |||||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Residential Portfolio Segment [Member] | Substandard [Member] | |||||
Unclassified | 79 | 79 | |||
Unclassified | 193 | 193 | |||
Unclassified | 0 | 0 | |||
Unclassified | 80 | 80 | |||
Unclassified | 185 | 185 | |||
Unclassified | 332 | 332 | |||
Unclassified | 0 | 0 | |||
Unclassified | 869 | 869 | |||
Residential Portfolio Segment [Member] | Doubtful [Member] | |||||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 25 | 25 | |||
Unclassified | 15 | 15 | |||
Unclassified | 0 | 0 | |||
Unclassified | 40 | 40 | |||
Residential Portfolio Segment [Member] | Loss [Member] | |||||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Commercial Real Estate Portfolio Segment [Member] | |||||
Unclassified | 58,603 | 58,603 | |||
Unclassified | 201,335 | 201,335 | |||
Unclassified | 116,044 | 116,044 | |||
Unclassified | 90,982 | 90,982 | |||
Unclassified | 15,567 | 15,567 | |||
Unclassified | 12,496 | 12,496 | |||
Unclassified | 0 | 0 | |||
Unclassified | 495,027 | 495,027 | 471,345 | ||
Current period gross write offs | 0 | 90 | 0 | 90 | |
Commercial Real Estate Portfolio Segment [Member] | Unclassified [Member] | |||||
Unclassified | 54,927 | 54,927 | |||
Unclassified | 192,113 | 192,113 | |||
Unclassified | 113,087 | 113,087 | |||
Unclassified | 77,712 | 77,712 | |||
Unclassified | 14,928 | 14,928 | |||
Unclassified | 9,898 | 9,898 | |||
Unclassified | 0 | 0 | |||
Unclassified | 462,665 | 462,665 | |||
Commercial Real Estate Portfolio Segment [Member] | Special Mention [Member] | |||||
Unclassified | 711 | 711 | |||
Unclassified | 8,564 | 8,564 | |||
Unclassified | 2,665 | 2,665 | |||
Unclassified | 161 | 161 | |||
Unclassified | 0 | 0 | |||
Unclassified | 1,026 | 1,026 | |||
Unclassified | 0 | 0 | |||
Unclassified | 13,127 | 13,127 | |||
Commercial Real Estate Portfolio Segment [Member] | Substandard [Member] | |||||
Unclassified | 2,965 | 2,965 | |||
Unclassified | 658 | 658 | |||
Unclassified | 292 | 292 | |||
Unclassified | 13,109 | 13,109 | |||
Unclassified | 639 | 639 | |||
Unclassified | 1,572 | 1,572 | |||
Unclassified | 0 | 0 | |||
Unclassified | 19,235 | 19,235 | |||
Commercial Real Estate Portfolio Segment [Member] | Doubtful [Member] | |||||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Commercial Real Estate Portfolio Segment [Member] | Loss [Member] | |||||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Consumer Portfolio Segment [Member] | |||||
Unclassified | 8,651 | 8,651 | |||
Unclassified | 8,563 | 8,563 | |||
Unclassified | 2,034 | 2,034 | |||
Unclassified | 2,175 | 2,175 | |||
Unclassified | 2,634 | 2,634 | |||
Unclassified | 5,325 | 5,325 | |||
Unclassified | 14,609 | 14,609 | |||
Unclassified | 43,991 | 43,991 | 44,817 | ||
Current period gross write offs | 0 | 8 | 27 | 24 | |
Consumer Portfolio Segment [Member] | Unclassified [Member] | |||||
Unclassified | 8,613 | 8,613 | |||
Unclassified | 8,522 | 8,522 | |||
Unclassified | 1,864 | 1,864 | |||
Unclassified | 2,175 | 2,175 | |||
Unclassified | 2,631 | 2,631 | |||
Unclassified | 5,171 | 5,171 | |||
Unclassified | 14,525 | 14,525 | |||
Unclassified | 43,501 | 43,501 | |||
Consumer Portfolio Segment [Member] | Special Mention [Member] | |||||
Unclassified | 34 | 34 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 34 | 34 | |||
Consumer Portfolio Segment [Member] | Substandard [Member] | |||||
Unclassified | 0 | 0 | |||
Unclassified | 26 | 26 | |||
Unclassified | 136 | 136 | |||
Unclassified | 0 | 0 | |||
Unclassified | 3 | 3 | |||
Unclassified | 131 | 131 | |||
Unclassified | 43 | 43 | |||
Unclassified | 339 | 339 | |||
Consumer Portfolio Segment [Member] | Doubtful [Member] | |||||
Unclassified | 0 | 0 | |||
Unclassified | 15 | 15 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 15 | 15 | |||
Consumer Portfolio Segment [Member] | Loss [Member] | |||||
Unclassified | 4 | 4 | |||
Unclassified | 0 | 0 | |||
Unclassified | 34 | 34 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 23 | 23 | |||
Unclassified | 41 | 41 | |||
Unclassified | 102 | 102 | |||
Commercial Portfolio Segment [Member] | |||||
Unclassified | 13,712 | 13,712 | |||
Unclassified | 10,116 | 10,116 | |||
Unclassified | 4,289 | 4,289 | |||
Unclassified | 3,828 | 3,828 | |||
Unclassified | 270 | 270 | |||
Unclassified | 816 | 816 | |||
Unclassified | 30,632 | 30,632 | |||
Unclassified | 63,663 | 63,663 | $ 65,835 | ||
Current period gross write offs | 0 | $ 0 | 0 | $ 0 | |
Commercial Portfolio Segment [Member] | Unclassified [Member] | |||||
Unclassified | 12,209 | 12,209 | |||
Unclassified | 9,065 | 9,065 | |||
Unclassified | 4,093 | 4,093 | |||
Unclassified | 3,633 | 3,633 | |||
Unclassified | 250 | 250 | |||
Unclassified | 781 | 781 | |||
Unclassified | 28,548 | 28,548 | |||
Unclassified | 58,579 | 58,579 | |||
Commercial Portfolio Segment [Member] | Special Mention [Member] | |||||
Unclassified | 0 | 0 | |||
Unclassified | 572 | 572 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 54 | 54 | |||
Unclassified | 626 | 626 | |||
Commercial Portfolio Segment [Member] | Substandard [Member] | |||||
Unclassified | 1,503 | 1,503 | |||
Unclassified | 479 | 479 | |||
Unclassified | 196 | 196 | |||
Unclassified | 195 | 195 | |||
Unclassified | 20 | 20 | |||
Unclassified | 35 | 35 | |||
Unclassified | 2,030 | 2,030 | |||
Unclassified | 4,458 | 4,458 | |||
Commercial Portfolio Segment [Member] | Doubtful [Member] | |||||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Commercial Portfolio Segment [Member] | Loss [Member] | |||||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | 0 | 0 | |||
Unclassified | $ 0 | $ 0 |
Note 9 - Allowance for Credit_7
Note 9 - Allowance for Credit Losses and Credit Quality Information - Aging of Past Due Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Loans receivable | $ 863,397 | $ 787,887 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Residential Portfolio Segment [Member] | ||
Loans receivable | 260,716 | 205,890 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans receivable | 495,027 | 471,345 |
Commercial Real Estate Portfolio Segment [Member] | Real Estate Loan [Member] | ||
Loans receivable | 270,638 | 249,783 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate Other [Member] | ||
Loans receivable | 224,389 | 221,562 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Consumer Portfolio Segment [Member] | ||
Loans receivable | 43,991 | 44,817 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Commercial Portfolio Segment [Member] | ||
Loans receivable | 63,663 | 65,835 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Loans 90 days or more past due and still accruing | 0 | 0 |
Financial Asset, 30 to 59 Days Past Due [Member] | ||
Loans receivable | 2,334 | 1,352 |
Financial Asset, 30 to 59 Days Past Due [Member] | Residential Portfolio Segment [Member] | ||
Loans receivable | 1,116 | 380 |
Financial Asset, 30 to 59 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Real Estate Loan [Member] | ||
Loans receivable | 71 | 0 |
Financial Asset, 30 to 59 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate Other [Member] | ||
Loans receivable | 820 | 578 |
Financial Asset, 30 to 59 Days Past Due [Member] | Consumer Portfolio Segment [Member] | ||
Loans receivable | 327 | 394 |
Financial Asset, 30 to 59 Days Past Due [Member] | Commercial Portfolio Segment [Member] | ||
Loans receivable | 0 | 0 |
Financial Asset, 60 to 89 Days Past Due [Member] | ||
Loans receivable | 1,158 | 268 |
Financial Asset, 60 to 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | ||
Loans receivable | 199 | 145 |
Financial Asset, 60 to 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Real Estate Loan [Member] | ||
Loans receivable | 0 | 0 |
Financial Asset, 60 to 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate Other [Member] | ||
Loans receivable | 0 | 0 |
Financial Asset, 60 to 89 Days Past Due [Member] | Consumer Portfolio Segment [Member] | ||
Loans receivable | 22 | 123 |
Financial Asset, 60 to 89 Days Past Due [Member] | Commercial Portfolio Segment [Member] | ||
Loans receivable | 937 | 0 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Loans receivable | 273 | 569 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Residential Portfolio Segment [Member] | ||
Loans receivable | 210 | 481 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Real Estate Loan [Member] | ||
Loans receivable | 0 | 0 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate Other [Member] | ||
Loans receivable | 0 | 0 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Consumer Portfolio Segment [Member] | ||
Loans receivable | 63 | 88 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Commercial Portfolio Segment [Member] | ||
Loans receivable | 0 | 0 |
Financial Asset, Past Due [Member] | ||
Loans receivable | 3,765 | 2,189 |
Financial Asset, Past Due [Member] | Residential Portfolio Segment [Member] | ||
Loans receivable | 1,525 | 1,006 |
Financial Asset, Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Real Estate Loan [Member] | ||
Loans receivable | 71 | 0 |
Financial Asset, Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate Other [Member] | ||
Loans receivable | 820 | 578 |
Financial Asset, Past Due [Member] | Consumer Portfolio Segment [Member] | ||
Loans receivable | 412 | 605 |
Financial Asset, Past Due [Member] | Commercial Portfolio Segment [Member] | ||
Loans receivable | 937 | 0 |
Financial Asset, Not Past Due [Member] | ||
Loans receivable | 859,632 | 785,698 |
Financial Asset, Not Past Due [Member] | Residential Portfolio Segment [Member] | ||
Loans receivable | 259,191 | 204,884 |
Financial Asset, Not Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Real Estate Loan [Member] | ||
Loans receivable | 270,567 | 249,783 |
Financial Asset, Not Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate Other [Member] | ||
Loans receivable | 223,569 | 220,984 |
Financial Asset, Not Past Due [Member] | Consumer Portfolio Segment [Member] | ||
Loans receivable | 43,579 | 44,212 |
Financial Asset, Not Past Due [Member] | Commercial Portfolio Segment [Member] | ||
Loans receivable | $ 62,726 | $ 65,835 |
Note 9 - Allowance for Credit_8
Note 9 - Allowance for Credit Losses and Credit Quality Information - Impaired Loans and Related Allowances (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2023 | Dec. 31, 2022 | ||
Related allowance | $ 164 | $ 162 | |||
Recorded investment | 1,335 | 2,140 | |||
Unpaid principal balance | 1,351 | 2,158 | |||
Average recorded investment | $ 3,256 | $ 3,929 | |||
Interest income recognized | 8 | 23 | |||
Residential Portfolio Segment [Member] | |||||
Recorded investment, with no related allowance | 413 | 667 | |||
Unpaid principal balance, with no related allowance | 429 | 685 | |||
Recorded investment, with related allowance | 225 | 241 | |||
Unpaid principal balance, with related allowance | 225 | 241 | |||
Related allowance | 29 | 33 | |||
Recorded investment | 638 | 908 | |||
Unpaid principal balance | 654 | 926 | |||
Average recorded investment, with no related allowance | 584 | 454 | |||
Interest income recognized, with no related allowance | 1 | 8 | |||
Average recorded investment, with related allowance | 65 | 75 | |||
Interest income recognized, with related allowance | 0 | 0 | |||
Average recorded investment | 649 | 529 | |||
Interest income recognized | 1 | 8 | |||
Commercial Real Estate Portfolio Segment [Member] | Commercial Real Estate Other [Member] | |||||
Recorded investment, with no related allowance | 177 | 179 | |||
Unpaid principal balance, with no related allowance | 177 | 179 | |||
Recorded investment, with related allowance | [1] | 177 | 179 | ||
Unpaid principal balance, with related allowance | [1] | 177 | 179 | ||
Related allowance | [1] | 0 | 0 | ||
Average recorded investment, with no related allowance | 180 | 183 | |||
Interest income recognized, with no related allowance | 5 | 7 | |||
Average recorded investment, with related allowance | 1,643 | 2,555 | |||
Interest income recognized, with related allowance | 0 | 0 | |||
Average recorded investment | 1,823 | 2,738 | |||
Interest income recognized | 5 | 7 | |||
Consumer Portfolio Segment [Member] | |||||
Recorded investment, with no related allowance | 323 | 338 | |||
Unpaid principal balance, with no related allowance | 323 | 338 | |||
Recorded investment, with related allowance | 135 | 154 | |||
Unpaid principal balance, with related allowance | 135 | 154 | |||
Related allowance | [2] | 112 | 112 | ||
Recorded investment | [2] | 458 | 492 | ||
Unpaid principal balance | [2] | 458 | 492 | ||
Average recorded investment, with no related allowance | 304 | 346 | |||
Interest income recognized, with no related allowance | 2 | 7 | |||
Average recorded investment, with related allowance | 157 | 151 | |||
Interest income recognized, with related allowance | 0 | 1 | |||
Average recorded investment | 461 | 497 | |||
Interest income recognized | 2 | 8 | |||
Commercial Portfolio Segment [Member] | |||||
Recorded investment, with related allowance | 62 | 561 | |||
Unpaid principal balance, with related allowance | 62 | 561 | |||
Related allowance | [3] | 23 | 17 | ||
Recorded investment | [3] | 62 | 561 | ||
Unpaid principal balance | [3] | $ 62 | $ 561 | ||
Average recorded investment, with related allowance | 323 | 165 | |||
Interest income recognized, with related allowance | 0 | 0 | |||
Average recorded investment | 323 | 165 | |||
Interest income recognized | $ 0 | $ 0 | |||
[1]Secured by commercial land.[2]Secured by second mortgages on single family housing and recreational vehicles.[3]Secured by business equipment primarily related to the farming and trucking industries. |
Note 9 - Allowance for Credit_9
Note 9 - Allowance for Credit Losses and Credit Quality Information - Non-accrual Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Non-accrual loans | $ 1,081 | $ 1,878 |
Residential Portfolio Segment [Member] | ||
Non-accrual loans | 638 | 908 |
Consumer Portfolio Segment [Member] | ||
Non-accrual loans | 408 | 441 |
Commercial Portfolio Segment [Member] | ||
Non-accrual loans | $ 35 | $ 529 |
Note 10 - Intangible Assets (De
Note 10 - Intangible Assets (Details Textual) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Mortgage Servicing Rights and Core Deposits [Member] | ||
Amortization of Intangible Assets | $ 0.6 | $ 0.7 |
Note 10 - Intangible Assets - M
Note 10 - Intangible Assets - Mortgage Servicing Activity (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Balance, beginning of period | $ 2,986 | $ 3,280 | $ 3,280 |
Originations | 417 | 532 | 615 |
Amortization | (623) | (695) | (909) |
Balance, end of period | 2,780 | 3,117 | 2,986 |
Fair value of mortgage servicing rights | $ 6,624 | $ 6,249 | $ 6,344 |
Note 10 - Intangible Assets - R
Note 10 - Intangible Assets - Risk Characteristics of Loans Being Serviced (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2023 USD ($) | |
Original Term Fifteen Year Fixed Rate [Member] | |
Loan Principal Balance | $ 96,365 |
Weighted Average Interest Rate | 2.92% |
Weighted Average Remaining Term (Month) | 129 months |
Number of Loans | 969 |
Original Term Thirty Year Fixed Rate [Member] | |
Loan Principal Balance | $ 438,060 |
Weighted Average Interest Rate | 3.78% |
Weighted Average Remaining Term (Month) | 304 months |
Number of Loans | 2,702 |
Note 10 - Intangible Assets - G
Note 10 - Intangible Assets - Gross Carrying Amount and Accumulated Amortization of Intangible Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Finite-lived intangible assets, accumulated amortization | $ (3,394) | $ (3,583) |
Goodwill, gross carrying amount | 802 | 802 |
Goodwill, accumulated impairment | 0 | 0 |
Goodwill | 802 | 802 |
Intangible assets (including goodwill), gross carrying amount | 6,976 | 7,371 |
Intangible assets, unamortized intangible assets | 3,582 | 3,788 |
Mortgage Servicing Rights [Member] | ||
Finite-lived intangible assets, gross carrying amount | 6,174 | 5,995 |
Finite-lived intangible assets, accumulated amortization | (3,394) | (3,009) |
Finite-lived intangible assets, unamortized intangible assets | $ 2,780 | 2,986 |
Core Deposits [Member] | ||
Finite-lived intangible assets, gross carrying amount | 574 | |
Finite-lived intangible assets, accumulated amortization | (574) | |
Finite-lived intangible assets, unamortized intangible assets | $ 0 |
Note 10 - Intangible Assets - E
Note 10 - Intangible Assets - Estimated Future Amortization Expense (Details) - Mortgage Servicing Rights [Member] - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
2023 | $ 185 | |
2024 | 709 | |
2025 | 644 | |
2026 | 550 | |
2027 | 380 | |
Thereafter | 312 | |
Total | $ 2,780 | $ 2,986 |
Note 11 - Leases (Details Textu
Note 11 - Leases (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Operating Lease, Cost | $ 0.1 | $ 0.1 | $ 0.2 | $ 0.2 |
Other Assets [Member] | ||||
Operating Lease, Right-of-Use Asset | $ 0.4 | $ 0.4 | ||
Minimum [Member] | ||||
Lessee, Operating Lease, Remaining Lease Term (Month) | 11 months | 11 months | ||
Lessee, Operating Lease, Renewal Term (Year) | 3 years | 3 years | ||
Maximum [Member] | ||||
Lessee, Operating Lease, Remaining Lease Term (Month) | 50 months | 50 months | ||
Lessee, Operating Lease, Renewal Term (Year) | 10 years | 10 years |
Note 11 - Leases - Summary of O
Note 11 - Leases - Summary of Other Information Related to Operating Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||||
Operating cash flows from operating leases | $ 55 | $ 57 | $ 165 | $ 172 |
Weighted-average remaining lease term – operating leases (Year) | 2 years 2 months 12 days | 3 years | 2 years 2 months 12 days | 3 years |
Weighted-average discount rate – operating leases | 2.69% | 2.63% | 2.69% | 2.63% |
Note 11 - Leases - Maturity of
Note 11 - Leases - Maturity of Remaining Lease Liabilities (Details) $ in Thousands | Sep. 30, 2023 USD ($) |
2023 | $ 59 |
2024 | 212 |
2025 | 58 |
2026 | 27 |
2027 | 25 |
Total lease payments | 381 |
Less: Interest | (12) |
Other Liabilities [Member] | |
Present value of lease liabilities | $ 369 |
Note 12 - Earnings Per Common_3
Note 12 - Earnings Per Common Share - Basic and Diluted Earnings (Loss) Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Weighted average number of common shares outstanding used in basic earnings per common share calculation (in shares) | 4,355,613 | 4,348,444 | 4,347,166 | 4,366,672 |
Restricted stock awards and options (in shares) | 26,843 | 30,652 | 27,865 | 32,651 |
Weighted average number of shares outstanding adjusted for effect of dilutive securities (in shares) | 4,382,456 | 4,379,096 | 4,375,031 | 4,399,323 |
Net income | $ 1,498 | $ 1,831 | $ 4,553 | $ 5,607 |
Basic earnings per common share (in dollars per share) | $ 0.34 | $ 0.42 | $ 1.05 | $ 1.28 |
Diluted earnings per common share (in dollars per share) | $ 0.34 | $ 0.42 | $ 1.04 | $ 1.27 |
Note 13 - Regulatory Capital _3
Note 13 - Regulatory Capital and Oversight (Details Textual) $ in Millions | Sep. 30, 2023 USD ($) |
Banks Tangible Assets | $ 1,100 |
Banking Regulation, Risk-Weighted Assets, Actual | $ 920.5 |
Banking Regulation, Capital Conservation Buffer, Common Equity Tier One Risk-Based Capital, Actual | 0.0250 |
Note 13 - Regulatory Capital _4
Note 13 - Regulatory Capital and Oversight - Capital Amounts and Ratios (Details) $ in Thousands | Sep. 30, 2023 USD ($) | |
Common equity tier 1 capital, actual amount | $ 102,309 | |
Common equity tier 1 capital, actual percent of asset | 0.1111 | |
Common equity tier 1 capital, amount required to be adequately capitalized | $ 41,421 | |
Common equity tier 1 capital, percent of assets required to be adequately capitalized | 0.0450 | [1] |
Common equity tier 1 capital, excess capital amount | $ 60,888 | |
Common equity tier 1 capital, excess capital percent of assets | 0.0661 | [1] |
Common equity tier 1 capital, amount to be well capitalized under prompt corrective action provisions | $ 59,830 | |
Common equity tier 1 capital, percent of assets to be well capitalized under prompt corrective action provisions | 0.0650 | |
Tier 1 leverage, actual amount | $ 102,309 | |
Tier 1 leverage, actual percent of asset | 0.0893 | |
Tier 1 leverage, amount required to be adequately capitalized | $ 45,827 | |
Tier 1 leverage, percent of assets required to be adequately capitalized | 0.0400 | [1] |
Tier 1 leverage, excess capital amount | $ 56,482 | |
Tier 1 leverage, excess capital percent of assets | 0.0493 | [1] |
Tier 1 leverage, amount to be well capitalized under prompt corrective action provisions | $ 57,284 | |
Tier 1 leverage, percent of assets to be well capitalized under prompt corrective action provisions | 0.0500 | |
Tier 1 risk-based capital, actual amount | $ 102,309 | |
Tier 1 risk-based capital, actual percent of asset | 0.1111 | |
Tier 1 risk-based capital, amount required to be adequately capitalized | $ 55,228 | |
Tier 1 risk-based capital, percent of assets required to be adequately capitalized | 0.0600 | [1] |
Tier 1 risk-based capital, excess capital amount | $ 47,081 | |
Tier 1 risk-based capital, excess capital percent of assets | 0.0511 | [1] |
Tier 1 risk-based capital, amount to be well capitalized under prompt corrective action provisions | $ 73,637 | |
Tier 1 risk-based capital, percent of assets to be well capitalized under prompt corrective action provisions | 0.0800 | |
Total risk-based capital, actual amount | $ 113,821 | |
Total risk-based capital, actual percent of asset | 0.1237 | |
Total risk-based capital, amount required to be adequately capitalized | $ 73,637 | |
Total risk-based capital, percent of assets required to be adequately capitalized | 0.0800 | [1] |
Total risk-based capital, excess capital amount | $ 40,184 | |
Total risk-based capital, excess capital percent of assets | 0.0437 | [1] |
Total risk-based capital, amount to be well capitalized under prompt corrective action provisions | $ 92,047 | |
Total risk-based capital, percent of assets to be well capitalized under prompt corrective action provisions | 0.1000 | |
[1]Based upon the Bank’s adjusted total assets for the purpose of the Tier 1 leverage capital ratio and risk-weighted assets for the purpose of the risk-based capital ratios. |
Note 14 - Stockholders' Equity
Note 14 - Stockholders' Equity (Details Textual) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 9 Months Ended | |||
Sep. 07, 2023 | Jun. 07, 2023 | Mar. 08, 2023 | Sep. 30, 2023 | |
Stock Repurchase Program, Authorized Amount | $ 6 | |||
Quarterly Dividend [Member] | ||||
Common Stock, Dividends, Per Share, Declared (in dollars per share) | $ 0.08 | $ 0.08 | $ 0.06 | |
New Share Repurchase Program [Member] | ||||
Treasury Stock, Shares, Acquired (in shares) | 0 |
Note 15 - Commitments and Con_2
Note 15 - Commitments and Contingencies (Details Textual) $ in Millions | Sep. 30, 2023 USD ($) |
Letters of Credit Issued and Available Amount | $ 10.3 |
Note 16 - Business Segments - P
Note 16 - Business Segments - Profit and Assets for the Reportable Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | ||
Interest income – external customers | $ 11,527 | $ 8,631 | $ 31,937 | $ 24,253 | ||
Non-interest income – external customers | 2,184 | 2,054 | 6,086 | 6,945 | ||
Intersegment interest income | 0 | 0 | 0 | 0 | ||
Intersegment non-interest income | 0 | 0 | 0 | 0 | ||
Interest expense | 3,724 | 340 | 8,343 | 915 | ||
Provision for credit losses | [1] | 318 | 579 | 566 | 941 | |
Non-interest expense | 7,281 | 7,174 | 22,431 | 21,409 | ||
Income tax expense (benefit) | 890 | 761 | 2,130 | 2,326 | ||
Net income | 1,498 | 1,831 | 4,553 | 5,607 | ||
Total assets | 1,154,171 | 1,047,793 | 1,154,171 | 1,047,793 | $ 1,096,202 | |
Consolidation, Eliminations [Member] | ||||||
Interest income – external customers | 0 | 0 | 0 | 0 | ||
Non-interest income – external customers | 0 | 0 | 0 | 0 | ||
Intersegment interest income | (88) | (10) | (228) | (27) | ||
Intersegment non-interest income | (1,673) | (2,040) | (5,090) | (6,228) | ||
Interest expense | (88) | (10) | (228) | (27) | ||
Provision for credit losses | 0 | 0 | 0 | 0 | ||
Non-interest expense | (71) | (59) | (201) | (176) | ||
Income tax expense (benefit) | 0 | 0 | 0 | 0 | ||
Net income | (1,602) | (1,981) | (4,889) | (6,052) | ||
Total assets | (101,700) | (89,007) | (101,700) | (89,007) | ||
Home Federal Savings Bank [Member] | Operating Segments [Member] | ||||||
Interest income – external customers | 11,527 | 8,631 | 31,937 | 24,253 | ||
Non-interest income – external customers | 2,184 | 2,054 | 6,086 | 6,945 | ||
Intersegment interest income | 0 | 0 | 0 | 0 | ||
Intersegment non-interest income | 71 | 59 | 201 | 176 | ||
Interest expense | 3,812 | 350 | 8,571 | 942 | ||
Provision for credit losses | 318 | 579 | 566 | 941 | ||
Non-interest expense | 7,134 | 7,025 | 21,981 | 20,972 | ||
Income tax expense (benefit) | 916 | 809 | 2,217 | 2,467 | ||
Net income | 1,602 | 1,981 | 4,889 | 6,052 | ||
Total assets | 1,154,015 | 1,046,983 | 1,154,015 | 1,046,983 | ||
Other Segments [Member] | Operating Segments [Member] | ||||||
Interest income – external customers | 0 | 0 | 0 | 0 | ||
Non-interest income – external customers | 0 | 0 | 0 | 0 | ||
Intersegment interest income | 88 | 10 | 228 | 27 | ||
Intersegment non-interest income | 1,602 | 1,981 | 4,889 | 6,052 | ||
Interest expense | 0 | 0 | 0 | 0 | ||
Provision for credit losses | 0 | 0 | 0 | 0 | ||
Non-interest expense | 218 | 208 | 651 | 613 | ||
Income tax expense (benefit) | (26) | (48) | (87) | (141) | ||
Net income | 1,498 | 1,831 | 4,553 | 5,607 | ||
Total assets | $ 101,855 | $ 89,817 | $ 101,855 | $ 89,817 | ||
[1]The Company adopted Accounting Standard Update (ASU) 2016-13 as of January 1, 2023. The 2022 amount presented is calculated under the prior accounting standard. |