Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Mar. 11, 2019 | Jun. 29, 2018 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2018 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | MFIN | ||
Entity Registrant Name | MEDALLION FINANCIAL CORP | ||
Entity Central Index Key | 0001000209 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Shell Company | false | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Common Stock, Shares Outstanding | 24,433,178 | ||
Entity Public Float | $ 111,869,794 |
Consolidated Balance Sheet
Consolidated Balance Sheet - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | ||
Assets | ||||
Cash | $ 110,233 | |||
Investment securities | 908,297 | |||
Loans | 864,819 | |||
Loans, at fair value | $ 140,180 | 338,867 | ||
Allowance for losses | (36,395) | |||
Net loans receivable | 981,487 | |||
Intangible assets, net | 53,982 | |||
Other assets | 58,827 | |||
Total assets | 1,381,846 | 1,077,357 | ||
Liabilities | ||||
Total liabilities | 913,127 | |||
Stockholders' equity | ||||
Total stockholders' equity | [1] | 164,230 | ||
Total equity | 290,204 | 287,159 | ||
Total liabilities and equity | $ 1,077,357 | |||
Book value per share/net asset value per share | [2] | $ 11.80 | ||
Medallion Bank and Other Controlled Subsidiaries [Member] | ||||
Assets | ||||
Investment in affiliates | [3] | $ 302,147 | ||
Bank Holding Company Accounting [Member] | ||||
Assets | ||||
Cash | [4] | 23,842 | ||
Federal funds sold | 33,871 | |||
Equity investments | 9,197 | |||
Investment securities | 45,324 | |||
Loans | 1,017,882 | |||
Allowance for losses | (36,395) | 0 | [5] | |
Net loans receivable | 981,487 | |||
Accrued interest receivable | [4] | 7,413 | ||
Property and equipment, net | 1,222 | |||
Loan collateral in process of foreclosure | [4],[6] | 49,495 | ||
Goodwill | 150,803 | |||
Intangible assets, net | 53,982 | |||
Other assets | 25,210 | |||
Total assets | 1,381,846 | |||
Liabilities | ||||
Accounts payable and accrued expenses | [4] | 18,789 | ||
Accrued interest payable | [4] | 3,852 | ||
Deposits | 848,040 | |||
Short-term borrowings | 55,178 | |||
Deferred tax liabilities and other tax payables | 6,973 | |||
Long-term debt | 158,810 | |||
Total liabilities | 1,091,642 | |||
Commitments and contingencies | ||||
Stockholders' equity | ||||
Preferred stock (1,000,000 shares of $0.01 par value stock authorized - none outstanding) | ||||
Common stock (50,000,000 shares of $0.01 par value stock authorized - 27,385,600 shares at December 31, 2018 and 27,294,327 shares at December 31, 2017 issued) | 274 | |||
Additional paid in capital | 274,292 | |||
Treasury stock (2,951,243 shares at December 31, 2018 and December 31, 2017) | (24,919) | |||
Accumulated other comprehensive loss | (82) | |||
Retained earnings | 13,043 | |||
Total stockholders' equity | 262,608 | |||
Non-controlling interest in consolidated subsidiaries | 27,596 | |||
Total equity | 290,204 | |||
Total liabilities and equity | $ 1,381,846 | |||
Number of shares outstanding | 24,434,357 | |||
Book value per share/net asset value per share | $ 10.75 | |||
Investment Company Accounting [Member] | ||||
Assets | ||||
Cash | [4] | 12,690 | ||
Equity investments, at fair value | 5,213 | |||
Net investments | [4] | 610,135 | ||
Accrued interest receivable | [4] | 547 | ||
Property and equipment, net | 235 | |||
Investments other than securities | 7,450 | |||
Other assets | 4,465 | |||
Total assets | 635,522 | |||
Liabilities | ||||
Accounts payable and accrued expenses | [4] | 4,373 | ||
Accrued interest payable | [4] | 3,831 | ||
Deferred tax liabilities and other tax payables | 12,536 | |||
Funds borrowed | [4] | 327,623 | ||
Total liabilities | 348,363 | |||
Commitments and contingencies | ||||
Stockholders' equity | ||||
Preferred stock (1,000,000 shares of $0.01 par value stock authorized - none outstanding) | ||||
Common stock (50,000,000 shares of $0.01 par value stock authorized - 27,385,600 shares at December 31, 2018 and 27,294,327 shares at December 31, 2017 issued) | 273 | |||
Additional paid in capital | 273,716 | |||
Treasury stock (2,951,243 shares at December 31, 2018 and December 31, 2017) | (24,919) | |||
Accumulated undistributed net investment loss | (65,592) | |||
Net unrealized appreciation on investments, net of tax | 103,681 | |||
Total stockholders' equity | 287,159 | |||
Total equity | 287,159 | |||
Total liabilities and equity | $ 635,522 | |||
Number of shares outstanding | 24,343,084 | |||
Book value per share/net asset value per share | $ 11.80 | |||
Investment Company Accounting [Member] | Affiliated Entity [Member] | ||||
Assets | ||||
Investment in affiliates | $ 4,308 | |||
Investment Company Accounting [Member] | Medallion Bank and Other Controlled Subsidiaries [Member] | ||||
Assets | ||||
Investment in affiliates | 302,147 | |||
Investment Company Accounting [Member] | Parent Loan [Member] | ||||
Assets | ||||
Loans, at fair value | 208,279 | |||
Investment Company Accounting [Member] | Commercial Loans [Member] | ||||
Assets | ||||
Loans, at fair value | 53,737 | |||
Investment Company Accounting [Member] | Commercial Loans to Affiliated Entities [Member] | ||||
Assets | ||||
Loans, at fair value | 999 | |||
Investment Company Accounting [Member] | Commercial Loans To Controlled Subsidiaries [Member] | ||||
Assets | ||||
Loans, at fair value | $ 35,452 | |||
[1] | Includes $26,303 of preferred stock issued to the U.S. Treasury under the Small Business Lending Fund Program (SBLF). | |||
[2] | Includes $0.00 of undistributed net investment income per share as of three months ended March 31, 2018 and December 31, 2017, 2016, 2015 and 2014, and $0.00 of undistributed net realized gains per share for all periods presented. | |||
[3] | Includes $152,267 of unrealized appreciation on Medallion Bank in excess of Medallion Bank's book value as of December 31, 2017. | |||
[4] | See Note 23 for details of balances related to a consolidated variable interest entity. | |||
[5] | Beginning balance for the nine months ended reflects the transition to Bank Holding Company Accounting by netting previously established unrealized depreciation against the gross loan balances resulting in a starting point of zero for this table. | |||
[6] | Includes financed sales of this collateral to third parties that are reported separately from the loan portfolio, and that are conducted by the Bank of $3,134. |
Consolidated Balance Sheet (Par
Consolidated Balance Sheet (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Loan collateral in process of foreclosure, financed sales collateral to third parties | $ 3,134 | |
Bank Holding Company Accounting [Member] | ||
Preferred stock, shares authorized | 1,000,000 | |
Preferred stock, par value | $ 0.01 | |
Preferred stock, shares outstanding | 0 | |
Common stock, shares authorized | 50,000,000 | |
Common stock, par value | $ 0.01 | |
Common stock, shares issued | 27,385,600 | |
Treasury stock,shares | 2,951,243 | |
Investment Company Accounting [Member] | ||
Preferred stock, shares authorized | 1,000,000 | |
Preferred stock, par value | $ 0.01 | |
Preferred stock, shares outstanding | 0 | |
Common stock, shares authorized | 50,000,000 | |
Common stock, par value | $ 0.01 | |
Common stock, shares issued | 27,294,327 | |
Treasury stock,shares | 2,951,243 |
Consolidated Statement of Incom
Consolidated Statement of Income - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||
Interest and fees on loans | $ 95,080 | [1] | $ 1,729 | ||
Interest income | [1] | 3,287 | |||
Medallion lease income | [1] | 133 | |||
Interest and dividends on investment securities | [1] | 1,644 | |||
Total interest income/total investment income | [1],[2] | 100,836 | |||
Interest on deposits | [1] | 14,230 | |||
Interest on short-term borrowings | [1] | 4,441 | |||
Interest on long-term debt | [1] | 6,145 | |||
Interest expense | [1] | 3,551 | |||
Total interest expense | [1],[3] | 28,367 | |||
Net interest income (loss) | [1] | 72,469 | |||
Provision for loan losses | [1] | 59,008 | |||
Net interest income after provision for loan losses | [1] | 13,461 | |||
Other income (loss) | |||||
Gain on deconsolidation of Trust III | [1],[4] | 25,325 | |||
Sponsorship and race winnings | [1] | 14,368 | |||
Gain on sale of loans | [1] | 4,946 | |||
Writedown of loan collateral in process of foreclosure | [1] | (2,188) | |||
Impairment of equity investments | [1] | (939) | |||
Other income | [1] | 494 | |||
Total other income | [1] | 42,006 | |||
Other expenses | |||||
Salaries and employee benefits | [1] | 21,706 | |||
Professional fees | [1] | 9,332 | |||
Race team related expenses | [1] | 7,121 | |||
Intangible asset impairment | [1],[4] | 5,615 | |||
Collection costs | [1] | 5,207 | |||
Loan servicing fees | [1] | 3,470 | |||
Rent expense | [1] | 2,040 | |||
Travel, meals, and entertainment | [1] | 1,448 | |||
Regulatory fees | [1] | 1,703 | |||
Amortization of intangible assets | [1] | 1,083 | |||
Other expenses | [1],[5] | 7,464 | |||
Total other expenses | [1],[6] | 66,189 | |||
Loss before income taxes and undistributed earnings of subsidiaries | [1],[6] | (10,722) | |||
Income tax benefit (provision) | [1] | (373) | |||
Net loss after taxes/net investment income (loss) after taxes | [1] | (11,095) | |||
Net realized gains (losses) on investments | [1],[4],[7] | (34,745) | |||
Income tax benefit (provision) | [1] | 8,426 | |||
Total net realized gains (losses) on investments | [1] | (26,319) | |||
Net change in unrealized appreciation on Medallion Bank and other controlled subsidiaries | [1] | 29,115 | |||
Net change in unrealized depreciation on investments other than securities | [1],[4] | (1,915) | |||
Net change in unrealized appreciation (depreciation) on investments | [1] | (4,403) | |||
Income tax (provision) benefit | [1] | (8,122) | |||
Net unrealized appreciation on investments | [1] | 14,675 | |||
Net realized/unrealized gains (losses) on investments | [1] | (11,644) | |||
Net loss after taxes/net increase (decrease) on net assets resulting from operations | [1],[4] | (22,739) | |||
Less: income attributable to the non-controlling interest | [1] | 2,307 | |||
Loss before undistributed earnings of subsidiaries | [1] | $ (25,046) | |||
Basic net income (loss) per share | $ (1.03) | [1] | $ 0.01 | $ 0.97 | |
Diluted net income (loss) per share | $ (1.03) | [1] | $ 0.01 | $ 0.97 | |
Weighted average common shares outstanding | |||||
Basic | 24,214,978 | [1] | 23,919,994 | 24,123,888 | |
Diluted | 24,214,978 | [1] | 24,053,307 | 24,173,020 | |
Controlled Subsidiary Investment [Member] | |||||
Dividend income | [1] | $ 28 | |||
Interest income | [1] | 10 | |||
Affiliate Investment [Member] | |||||
Interest income | [1] | $ 654 | |||
Investment Company Accounting [Member] | |||||
Interest income | $ 14,564 | $ 17,654 | |||
Medallion lease income | 198 | 538 | |||
Dividends and interest income on short-term investments | 878 | 81 | |||
Total interest income/total investment income | [2] | 19,624 | 25,088 | ||
Interest expense | 13,770 | 12,638 | |||
Total interest expense | [3] | 13,770 | 12,638 | ||
Net interest income (loss) | 5,854 | 12,450 | |||
Net interest income after provision for loan losses | 5,854 | 12,450 | |||
Other income (loss) | |||||
Other income | 107 | 408 | |||
Total other income | 107 | 408 | |||
Other expenses | |||||
Salaries and employee benefits | 7,508 | 11,770 | |||
Professional fees | 2,619 | 2,347 | |||
Intangible asset impairment | 5,099 | ||||
Collection costs | 316 | 94 | |||
Rent expense | 1,069 | 966 | |||
Travel, meals, and entertainment | 750 | 964 | |||
Other expenses | [5] | 1,548 | 1,546 | ||
Total other expenses | [6] | 13,810 | 22,786 | ||
Loss before income taxes and undistributed earnings of subsidiaries | [6] | (7,849) | (9,928) | ||
Income tax benefit (provision) | 728 | 10,047 | |||
Net loss after taxes/net investment income (loss) after taxes | (7,121) | 119 | |||
Net realized gains (losses) on investments | [7] | (43,744) | 457 | ||
Income tax benefit (provision) | 15,955 | (384) | |||
Total net realized gains (losses) on investments | (27,789) | 73 | |||
Net change in unrealized appreciation on Medallion Bank and other controlled subsidiaries | 9,483 | 130,121 | |||
Net change in unrealized depreciation on investments other than securities | (2,060) | (28,372) | |||
Net change in unrealized appreciation (depreciation) on investments | 8,222 | (22,863) | |||
Income tax (provision) benefit | 19,543 | (55,563) | |||
Net unrealized appreciation on investments | 35,188 | 23,323 | |||
Net realized/unrealized gains (losses) on investments | 7,399 | 23,396 | |||
Net loss after taxes/net increase (decrease) on net assets resulting from operations | 278 | 23,515 | |||
Loss before undistributed earnings of subsidiaries | $ 278 | $ 23,515 | |||
Basic net income (loss) per share | $ 0.01 | $ 0.97 | |||
Diluted net income (loss) per share | $ 0.01 | 0.97 | |||
Distributions declared per share | $ 0.35 | ||||
Weighted average common shares outstanding | |||||
Basic | 23,919,994 | 24,123,888 | |||
Diluted | 24,053,307 | 24,173,020 | |||
Investment Company Accounting [Member] | Controlled Subsidiary Investment [Member] | |||||
Dividend income | $ 1,278 | $ 3,000 | |||
Interest income | 165 | 596 | |||
Investment Company Accounting [Member] | Affiliate Investment [Member] | |||||
Dividend income | 201 | ||||
Interest income | $ 2,541 | $ 3,018 | |||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | ||||
[2] | Included in interest and investment income is $1,869, $2,268 and $2,580 of paid in kind interest for the years ended December 31, 2018, 2017, and 2016. | ||||
[3] | Average borrowings outstanding were $1,198,124, $334,022, and $380,305, and the related average borrowing costs were 2.37%, 4.12% and 3.32% for the years ended December 31, 2018, 2017, and 2016. | ||||
[4] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. | ||||
[5] | See Note 15 for the components of other expenses. | ||||
[6] | Includes $256, $870, and $1,235 of net revenues received from Medallion Bank for the years ended December 31, 2018, 2017, and 2016, primarily for expense reimbursements. See Notes 6 and 13 for additional information. | ||||
[7] | There were no net losses on investment securities of affiliated issuers for the years ended December 31, 2018, 2017, and 2016. |
Consolidated Statement of Inc_2
Consolidated Statement of Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Interest paid in kind | $ 1,869 | $ 2,268 | $ 2,580 | |
Average borrowings outstanding | $ 1,198,124 | $ 334,022 | $ 380,305 | |
Average borrowing costs rate | 2.37% | 4.12% | 3.32% | |
Net Gain/losses on investment securities of affiliated | [1],[2],[3] | $ (34,745) | ||
Affiliated Entity [Member] | ||||
Net Gain/losses on investment securities of affiliated | 0 | $ 0 | $ 0 | |
Medallion Bank [Member] | ||||
Revenue | $ 256 | $ 870 | $ 1,235 | |
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | |||
[2] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. | |||
[3] | There were no net losses on investment securities of affiliated issuers for the years ended December 31, 2018, 2017, and 2016. |
Consolidated Statements of Othe
Consolidated Statements of Other Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Net loss after taxes/net increase on net assets resulting from operations | [1],[2] | $ (22,739) | ||
Other comprehensive loss, net of tax | [2] | (82) | ||
Total comprehensive income (loss) | [2] | (22,821) | ||
Less: comprehensive income attributable to the non-controlling interest | [2] | 2,307 | ||
Total comprehensive income (loss) attributable to Medallion Financial Corp. | [2] | $ (25,128) | ||
Investment Company Accounting [Member] | ||||
Net loss after taxes/net increase on net assets resulting from operations | $ 278 | $ 23,515 | ||
Total comprehensive income (loss) | 278 | 23,515 | ||
Total comprehensive income (loss) attributable to Medallion Financial Corp. | $ 278 | $ 23,515 | ||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | |||
[2] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. |
Consolidated Statement of Chang
Consolidated Statement of Changes in Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock [Member] | Preferred Stock [Member] | Capital in Excess of Par [Member] | Treasury Stock [Member] | Noncontrolling Interest [Member] | Investment Company Accounting [Member] | Investment Company Accounting [Member]Accumulated Undistributed Net Investment Loss [Member] | Investment Company Accounting [Member]Accumulated Undistributed Net Realized Gains on Investments [Member] | Investment Company Accounting [Member]Net Unrealized Appreciation on Investment Net of Tax [Member] | Bank Holding Company Accounting [Member] | Bank Holding Company Accounting [Member]Retained Earnings [Member] | Bank Holding Company Accounting [Member]Accumulated Other Comprehensive Income [Member] | Bank Holding Company Accounting [Member]Parent [Member] | |
Balance at Dec. 31, 2015 | $ 278,088 | ||||||||||||||
Net loss | $ 23,515 | ||||||||||||||
Forfeiture of restricted stock, net, shares | 37,202 | ||||||||||||||
Ending balance at Dec. 31, 2016 | 286,096 | ||||||||||||||
Ending balance, shares at Dec. 31, 2016 | 24,024,821 | ||||||||||||||
Net loss | $ 278 | ||||||||||||||
Forfeiture of restricted stock, net, shares | 318,263 | ||||||||||||||
Ending balance at Dec. 31, 2017 | 287,159 | $ 273 | $ 273,716 | $ (24,919) | $ 287,159 | $ (65,592) | $ 103,681 | $ 287,159 | |||||||
Ending balance, shares at Dec. 31, 2017 | 27,294,327 | (2,951,243) | 24,343,084 | ||||||||||||
Net increase(decrease) in net assets resulting from operations | (14,874) | (38,299) | 23,425 | (14,874) | |||||||||||
Net loss | (14,874) | ||||||||||||||
Stock based compensation | 152 | $ 1 | 151 | 152 | |||||||||||
Forfeiture of restricted stock, net | 0 | $ 0 | $ 0 | 0 | $ 0 | $ 0 | 0 | $ 0 | 0 | $ 0 | $ 0 | 0 | |||
Forfeiture of restricted stock, net, shares | 95,726 | ||||||||||||||
Ending balance at Mar. 31, 2018 | 272,437 | $ 274 | 273,867 | $ (24,919) | (103,891) | 127,106 | 272,437 | ||||||||
Ending balance, shares at Mar. 31, 2018 | 27,390,053 | (2,951,243) | |||||||||||||
Balance at Dec. 31, 2017 | 287,159 | $ 273 | 273,716 | $ (24,919) | $ 287,159 | (65,592) | 103,681 | 287,159 | |||||||
Balance, shares at Dec. 31, 2017 | 27,294,327 | (2,951,243) | 24,343,084 | ||||||||||||
Net loss | [1],[2] | (22,739) | |||||||||||||
Ending balance at Dec. 31, 2018 | 290,204 | $ 274 | 274,292 | $ (24,919) | 27,596 | $ 290,204 | 13,043 | (82) | 262,608 | ||||||
Ending balance, shares at Dec. 31, 2018 | 27,385,600 | (2,951,243) | 24,434,357 | ||||||||||||
Balance at Mar. 31, 2018 | 272,437 | $ 274 | 273,867 | $ (24,919) | (103,891) | 127,106 | 272,437 | ||||||||
Balance, shares at Mar. 31, 2018 | 27,390,053 | (2,951,243) | |||||||||||||
Net loss | (7,865) | 2,307 | (10,172) | (10,172) | |||||||||||
Distributions to non-controlling interest | (1,776) | (1,776) | |||||||||||||
Stock based compensation | 425 | 425 | 425 | ||||||||||||
Forfeiture of restricted stock, net | 0 | $ 0 | $ 0 | 0 | $ 0 | 0 | 0 | $ 0 | 0 | 0 | 0 | 0 | |||
Forfeiture of restricted stock, net, shares | (4,453,000) | ||||||||||||||
Net change in unrealized losses on investments, net of tax | (82) | (82) | (82) | ||||||||||||
Ending balance at Dec. 31, 2018 | 290,204 | $ 274 | 274,292 | $ (24,919) | 27,596 | $ 290,204 | 13,043 | $ (82) | 262,608 | ||||||
Ending balance, shares at Dec. 31, 2018 | 27,385,600 | (2,951,243) | 24,434,357 | ||||||||||||
Adoption of Bank Holding Company Accounting | $ 103,891 | $ (127,106) | 23,215 | ||||||||||||
Balance after adoption of Bank Holding Company Accounting | $ 299,502 | $ 274 | $ 273,867 | $ (24,919) | $ 27,065 | $ 23,215 | $ 272,437 | ||||||||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | ||||||||||||||
[2] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. |
Consolidated Statements of Chan
Consolidated Statements of Changes In Net Assets - USD ($) | 12 Months Ended | |||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||||
Net investment income (loss) after income taxes | [1] | $ (11,095,000) | ||||
Net realized gains (losses) on investments, net of tax | [1] | (26,319,000) | ||||
Net unrealized depreciation on investments, net of tax | [1] | 14,675,000 | ||||
Net increase in net assets resulting from operations | (25,046,000) | $ 278,000 | $ 23,515,000 | |||
Stock-based compensation expense | [2] | 576,000 | ||||
Capital share activity | ||||||
Exercise of stock options | [3] | 2,100 | ||||
Investment Company Accounting [Member] | ||||||
Net investment income (loss) after income taxes | (7,121,000) | $ 119,000 | ||||
Net realized gains (losses) on investments, net of tax | (27,789,000) | 73,000 | ||||
Net unrealized depreciation on investments, net of tax | 35,188,000 | 23,323,000 | ||||
Net increase in net assets resulting from operations | 278 | 23,515 | ||||
Investment income, net | (14,570,000) | |||||
Return of capital | 0 | 0 | ||||
Realized gains from investment transactions, net | 0 | 0 | ||||
Distributions to shareholders | [4] | (14,570,000) | ||||
Stock-based compensation expense | 785,000 | 568,000 | ||||
Exercise of stock options | 19,000 | |||||
Treasury stock acquired | (1,524,000) | |||||
Capital share transactions | 785,000 | (937,000) | ||||
Total increase in net assets | 1,063,000 | 8,008,000 | ||||
Net assets at the beginning of the period | $ 287,159,000 | [5] | 286,096,000 | [5] | 278,088,000 | |
Net assets at the end of the period | [5] | $ 287,159,000 | $ 286,096,000 | |||
Capital share activity | ||||||
Capital share activity Common stock issued, beginning of period | 27,294,327 | 26,976,064 | 26,936,762 | |||
Exercise of stock options | 2,100 | |||||
Issuance of restricted stock, net | 318,263 | 37,202 | ||||
Common stock issued, end of period | 27,294,327 | 26,976,064 | ||||
Treasury stock, beginning of period | (2,951,243) | (2,951,243) | (2,590,069) | |||
Treasury stock acquired | (361,174) | |||||
Treasury stock, end of period | (2,951,243) | (2,951,243) | ||||
Common stock outstanding | 24,343,084 | 24,024,821 | ||||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | |||||
[2] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. | |||||
[3] | The aggregate intrinsic value, which represents the difference between the price of the Company's common stock at the exercise date and the related exercise price of the underlying options, was $0, $0, and $0 for 2018, 2017, and 2016. | |||||
[4] | Distributions declared were $0.00 and $0.35, per share for the years ended December 31, 2017 and 2016. | |||||
[5] | Includes $0 and $0 of undistributed net investment income and $0 and $0 of undistributed net realized gains on investments, and $0 and $0 of capital loss carryforwards at December 31, 2017 and 2016. |
Consolidated Statements of Ch_2
Consolidated Statements of Changes In Net Assets (Parenthetical) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Distributions declared Per share | $ 0.60 | |
Undistributed net investment income | $ 0.60 | |
Investment Company Accounting [Member] | ||
Distributions declared Per share | $ 0 | $ 0.35 |
Undistributed net investment income | $ 0 | $ 0 |
Undistributed net realized gains on investments | 0 | 0 |
Capital Loss carryforwards | $ 0 | $ 0 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||
Net loss/net increase in net assets resulting from operations | [1],[2] | $ (22,739) | |||||
Adjustments to reconcile net loss/net increase in net assets resulting from operations to net cash provided by operating activities: | |||||||
Provision for loan losses | [2] | 59,008 | |||||
Loans originated | [2] | (8,193) | |||||
Proceeds from principal receipts, sales, and maturities of loans | [2],[3] | 13,279 | |||||
Paid-in-kind interest | [2] | (1,869) | |||||
Depreciation and amortization | [2] | 5,564 | |||||
Decrease/increase (decrease) in deferred and other tax asset/liabilities, net | [2] | 13,637 | |||||
Amortization (accretion) of origination fees, net | 3,132 | [2] | $ 68 | $ 49 | |||
Proceeds from the sale of loan collateral in process of foreclosure | [2] | 11,593 | |||||
Net change in loan collateral in process of foreclosure | [2] | 9,926 | |||||
Capital returned by (investment in) Medallion Bank and other controlled subsidiaries, net | [2] | 93 | |||||
Net realized gains on sale of investments | [2] | (5,921) | |||||
Net change in unrealized (appreciation) depreciation on investments | [2] | 6,457 | |||||
Net change in unrealized depreciation on investment other than securities | [1],[2] | 1,915 | |||||
Increase in unrealized appreciation on Medallion Bank and other controlled subsidiaries | [2] | (29,115) | |||||
Net realized (gains) losses on investments | [1],[2],[4] | 34,745 | |||||
Gain on deconsolidation of Trust III | [1],[2] | (25,325) | |||||
Intangible asset impairment | [1],[2] | 5,615 | |||||
Stock-based compensation expense | [2] | 576 | |||||
Decrease in accrued interest receivable | [2] | 797 | |||||
Increase in other liabilities | [2] | 4,196 | |||||
Decrease in other assets | [2] | 1,309 | |||||
Increase (decrease) in accounts payable and accrued expenses | [2] | (675) | |||||
Increase in accrued interest payable | [2] | 139 | |||||
Net cash provided by operating activities | [2] | 78,144 | |||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||
Loans originated | [2] | (333,740) | |||||
Proceeds from principal receipts, sales, and maturities of loans | [2] | 302,409 | |||||
Purchases of investments | [2] | (10,376) | |||||
Proceeds from principal receipts, sales, and maturities of investments | [2] | 6,417 | |||||
Net cash used for investing activities | [2] | (35,290) | |||||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||||
Proceeds from time deposits and funds borrowed | [2] | 364,139 | |||||
Repayments of time deposits and funds borrowed | [2] | (389,951) | |||||
Purchase of federal funds | [2] | 8,000 | |||||
Repayments of federal funds | [2] | (8,000) | |||||
Distributions to non-controlling interests | [2] | (1,776) | |||||
Payments of declared distributions | [2] | (66) | |||||
Net cash used for financing activities | [2] | (27,654) | |||||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | [2] | 15,200 | |||||
Cash and cash equivalents, beginning of period | [2],[5] | 42,513 | |||||
Cash and cash equivalents, end of period | [2] | 57,713 | [6] | 42,513 | [5] | ||
SUPPLEMENTAL INFORMATION | |||||||
Cash paid during the period for interest | [2] | 25,102 | |||||
Cash paid during the period for income taxes | [2] | 85 | |||||
Deposit | 110,233 | ||||||
Medallion Bank [Member] | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||
Net loss/net increase in net assets resulting from operations | 56,408 | 68,045 | |||||
Adjustments to reconcile net loss/net increase in net assets resulting from operations to net cash provided by operating activities: | |||||||
Amortization (accretion) of origination fees, net | (3,993) | (3,581) | (3,440) | ||||
SUPPLEMENTAL INFORMATION | |||||||
Deposit | 100 | ||||||
Investment Company Accounting [Member] | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||
Net loss/net increase in net assets resulting from operations | 278 | 23,515 | |||||
Adjustments to reconcile net loss/net increase in net assets resulting from operations to net cash provided by operating activities: | |||||||
Loans originated | (29,131) | (324,753) | |||||
Proceeds from principal receipts, sales, and maturities of loans | [3] | 46,755 | 393,104 | ||||
Paid-in-kind interest | (2,268) | (2,580) | |||||
Depreciation and amortization | 1,019 | 485 | |||||
Decrease/increase (decrease) in deferred and other tax asset/liabilities, net | (33,364) | 45,900 | |||||
Amortization (accretion) of origination fees, net | 68 | (49) | |||||
Capital returned by (investment in) Medallion Bank and other controlled subsidiaries, net | 696 | (3,326) | |||||
Net change in unrealized (appreciation) depreciation on investments | (8,222) | 22,863 | |||||
Net change in unrealized depreciation on investment other than securities | 2,060 | 28,372 | |||||
Increase in unrealized appreciation on Medallion Bank and other controlled subsidiaries | (9,483) | (130,121) | |||||
Net realized (gains) losses on investments | [4] | 43,744 | (457) | ||||
Intangible asset impairment | 5,099 | ||||||
Stock-based compensation expense | 785 | 568 | |||||
Decrease in accrued interest receivable | 222 | 234 | |||||
Decrease in other assets | 122 | 804 | |||||
Increase (decrease) in accounts payable and accrued expenses | (907) | 353 | |||||
Increase in accrued interest payable | 949 | 1,580 | |||||
Net cash provided by operating activities | 13,323 | 61,591 | |||||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||||
Proceeds from time deposits and funds borrowed | 294,650 | ||||||
Repayments of time deposits and funds borrowed | (21,450) | (350,116) | |||||
Proceeds from exercise of stock options | 19 | ||||||
Purchase of treasury stock | (1,524) | ||||||
Payments of declared distributions | (145) | (14,570) | |||||
Net cash used for financing activities | (21,595) | (71,541) | |||||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | [2] | (8,272) | (9,950) | ||||
Cash and cash equivalents, beginning of period | 12,690 | [6] | 20,962 | [5],[6] | 30,912 | [5] | |
Cash and cash equivalents, end of period | [6] | 12,690 | 20,962 | [5] | |||
SUPPLEMENTAL INFORMATION | |||||||
Cash paid during the period for interest | 11,897 | $ 10,682 | |||||
Cash paid during the period for income taxes | 62 | ||||||
Deposit | [7] | $ 12,690 | |||||
Previously Unconsolidated Subsidiaries [Member] | |||||||
SUPPLEMENTAL INFORMATION | |||||||
Cash, cash equivalents and federal funds sold | $ 29,923 | ||||||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | ||||||
[2] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. | ||||||
[3] | Originated investments of $280,563 and maturities or proceeds from sales of $330,466 related to the investment securities portfolio for the year ended December 31, 2016. | ||||||
[4] | There were no net losses on investment securities of affiliated issuers for the years ended December 31, 2018, 2017, and 2016. | ||||||
[5] | Included in the beginning balance for the year ended December 31, 2018 was $29,923 of cash, cash equivalents, and federal funds sold as a result of the consolidation of previously unconsolidated subsidiaries and excludes $100 of cash held by the Company on deposit with Medallion Bank. | ||||||
[6] | Includes federal funds sold at December 31, 2018. | ||||||
[7] | See Note 23 for details of balances related to a consolidated variable interest entity. |
Organization of Medallion Finan
Organization of Medallion Financial Corp. and its Subsidiaries | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization of Medallion Financial Corp. and its Subsidiaries | (1) ORGANIZATION OF MEDALLION FINANCIAL CORP. AND ITS SUBSIDIARIES Medallion Financial Corp. (the Company) is a finance company organized as a Delaware corporation that reports as a bank holding company, but is not a bank holding company for regulatory purposes. The Company conducts its business through various wholly-owned subsidiaries including its primary operating company, Medallion Bank (the Bank), a Federal Deposit Insurance Corporation (FDIC) insured industrial bank, that originates consumer loans, raises deposits, and conducts other banking activities. Medallion Bank is subject to competition from other financial institutions and to the regulations of certain federal and state agencies, and undergoes examinations by those agencies. Medallion Bank was initially formed for the primary purpose of originating commercial loans in three categories: 1) loans to finance the purchase of taxicab medallions, 2) asset-based commercial loans, and 3) SBA 7(a) loans. The loans are marketed and serviced by Medallion Bank’s affiliates that have extensive prior experience in these asset groups. Subsequent to its formation, Medallion Bank began originating consumer loans to finance the purchases of recreational vehicles (RVs), boats, and other related items, and to finance small scale home improvements. The Company also conducts business through Medallion Funding LLC (MFC), a Small Business Investment Company (SBIC) which originates and services taxicab medallion and commercial loans. The Company also conducts business through its subsidiaries Medallion Capital, Inc. (MCI), an SBIC which conducts a mezzanine financing business, and Freshstart Venture Capital Corp. (FSVC), an SBIC which originates and services taxicab medallion and commercial loans. MFC, MCI, and FSVC, as SBICs, are regulated by the Small Business Administration (SBA). MCI and FSVC are financed in part by the SBA. The Company has a controlling ownership stake in Medallion Motorsports, LLC, the primary owner of RPAC Racing, LLC (RPAC), a professional car racing team that competes in the Monster Energy NASCAR Cup Series, which is also consolidated with the Company. The Company formed a wholly-owned subsidiary, Medallion Servicing Corporation (MSC), to provide loan services to Medallion Bank. The Company has assigned all of its loan servicing rights for Medallion Bank, which consists of servicing taxi medallion loans originated by Medallion Bank, to MSC, which bills and collects the related service fee income from Medallion Bank, and is allocated and charged by the Company for MSC’s share of these servicing costs. Taxi Medallion Loan Trust III (Trust III) was established for the purpose of owning medallion loans originated by MFC or others. Trust III is a variable interest entity (VIE), and MFC was the primary beneficiary and as a result the Company consolidated Trust III in its financial results until consummation of a restructuring in the 2018 fourth quarter. For a discussion of the restructuring, see Note 23. Trust III is a separate legal and corporate entity with its own creditors which, in any liquidation of Trust III, will be entitled to be satisfied out of Trust III’s assets prior to any value in Trust III becoming available to Trust III’s equity holders. The assets of Trust III are not available to pay obligations of its affiliates or any other party, and the assets of affiliates or any other party are not available to pay obligations of Trust III. Trust III’s loans are serviced by MFC. The Company established a wholly-owned subsidiary, Medallion Financing Trust I (Fin Trust) for the purpose of issuing unsecured preferred securities to investors. Fin Trust is a separate legal and corporate entity with its own creditors who, in any liquidation of Fin Trust, will be entitled to be satisfied out of Fin Trust’s assets prior to any value in Fin Trust becoming available to Fin Trust’s equity holders. The assets of Fin Trust, aggregating $36,141,000 at December 31, 2018, are not available to pay obligations of its affiliates or any other party, and the assets of affiliates or any other party are not available to pay obligations of Fin Trust. MFC, through several wholly-owned subsidiaries (together, Medallion Chicago), purchased $8,689,000 of City of Chicago taxicab medallions out of foreclosure, which are leased to fleet operators while being held for sale. The 159 medallions are carried at a net realizable value of $4,305,000 on the Company’s consolidated balance sheet at December 31, 2018 compared to fair value of $7,450,000 at December 31, 2017. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | (2) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Change to Bank Holding Company Accounting Effective April 2, 2018, the Company withdrew its previous election to be regulated as a business development company (BDC) under the Investment Company Act of 1940 (the 1940 Act). Prior to such time, the Company was a closed-end, Use of Estimates The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the U.S. (GAAP) requires management to make estimates that affect the amounts reported in the consolidated financial statements and the accompanying notes. Accounting estimates and assumptions are those that management considers to be the most critical to an understanding of the consolidated financial statements because they inherently involve significant judgments and uncertainties. All of these estimates reflect management’s best judgment about current economic and market conditions and their effects based on information available as of the date of these consolidated financial statements. If such conditions change, it is reasonably possible that the judgments and estimates could change, which may result in future impairments of loans and loans in process of foreclosure, goodwill and intangible assets, and investments, among other effects. Principles of Consolidation The consolidated financial statements include the accounts of the Company and all of its wholly-owned and controlled subsidiaries commencing with the three months ended June 30, 2018. All significant intercompany transactions, balances, and profits (losses) have been eliminated in consolidation. As a result of the Company’s election to withdraw from being regulated as a BDC under the 1940 Act, effective April 2, 2018, Medallion Bank and various other Company subsidiaries were not consolidated with the Company prior to the three months ended June 30, 2018. See Note 6 for the presentation of financial information for Medallion Bank and other controlled subsidiaries for such prior periods. The consolidated financial statements have been prepared in accordance with GAAP. The Company consolidates all entities it controls through a majority voting interest, a controlling interest through other contractual rights, or as being identified as the primary beneficiary of VIEs. The primary beneficiary is the party who has both (1) the power to direct the activities of a VIE that most significantly impact the entity’s economic performance and (2) an obligation to absorb losses of the entity or a right to receive benefits from the entity that could potentially be significant to the entity. For consolidated entities that are less than wholly owned, the third-party’s holding is recorded as non-controlling Cash and Cash Equivalents The Company considers all highly liquid instruments with an original purchased maturity of three months or less to be cash equivalents. Cash balances are generally held in accounts at large national or regional banking organizations in amounts that exceed the federally insured limits. Fair Value of Assets and Liabilities The Company follows FASB Accounting Standards Codification Topic 820, Fair Value Measurements and Disclosures (FASB ASC 820), which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. FASB ASC 820 defines fair value as an exit price (i.e. a price that would be received to sell, as opposed to acquire, an asset or transfer a liability), and emphasizes that fair value is a market-based measurement. It establishes a fair value hierarchy that distinguishes between assumptions developed based on market data obtained from independent external sources and the reporting entity’s own assumptions. Further, it specifies that fair value measurement should consider adjustment for risk, such as the risk inherent in the valuation technique or its inputs. See also Notes 18 and 19 to the consolidated financial statements. Equity Investments Equity investments of $9,197,000 at December 31, 2018, comprised mainly of nonmarketable stock and stock warrants, are recorded at cost and are evaluated for impairment periodically. Prior to April 2, 2018, equity investments were recorded at fair value, represented as cost, plus or minus unrealized appreciation or depreciation. The fair value of investments that had no ready market were determined in good faith by the Board of Directors, based upon the financial condition and operating performance of the underlying investee companies as well as general market trends for businesses in the same industry. Included in the equity investments were non-marketable Investment Securities (Bank Holding Company Accounting) The Company follows FASB ASC Topic 320, Investments–Debt and Equity Securities (ASC 320), which requires that all applicable investments in equity securities with readily determinable fair values, and debt securities be classified as trading securities, available-for-sale securities, or held-to-maturity securities. that held-to-maturity securities available-for-sale . Other Investment Valuation (Investment Company Accounting) Prior to April 2, 2018, under the 1940 Act, the Company’s investment in Medallion Bank, as a wholly owned portfolio investment, was subject to quarterly assessments of fair value. The Company conducted a thorough valuation analysis, and also received an opinion regarding the valuation from an independent third party to assist the Board of Directors in its determination of the fair value of Medallion Bank on at least an annual basis. The Company’s analysis included factors such as various regulatory restrictions that were established at Medallion Bank’s inception, by the FDIC and State of Utah, and also by additional regulatory restrictions, such as the prior moratorium imposed by the Dodd-Frank Act on the acquisition of control of an industrial bank by a “commercial firm” (a company whose gross revenues are primarily derived from non-financial At December 31, 2017, there were non-marketable Loans The Company’s loans are currently reported at the principal amount outstanding, inclusive of deferred loan acquisition costs, which primarily includes deferred fees paid to loan originators, and which is amortized to interest income over the life of the loan. Effective April 2, 2018, the existing loan balances were adjusted to fair value in connection with the change in reporting, and balances, net of reserves and fees, became the opening balances. Loan origination fees and certain direct origination costs are deferred and recognized as an adjustment to the yield of the related loans. At December 31, 2018 and December 31, 2017, net loan origination costs were $14,416,000 and $90,000 ($11,183,000 when combined with Medallion Bank). The 2018 amount reflects the amount of origination costs that were netted into the loan balances at April 2, 2018. Net amortization (accretion) to income for the years ended December 31, 2018, 2017 and 2016 was $3,128,000 ($3,993,000 when combined with Medallion Bank), $68,000 ($3,581,000 when combined with Medallion Bank), and ($49,000) ($3,440,000 when combined with Medallion Bank). Interest income is recorded on the accrual basis. Taxicab medallion and commercial loans are placed on nonaccrual status, and all uncollected accrued interest is reversed, when there is doubt as to the collectability of interest or principal, or if loans are 90 days or more past due, unless management has determined that they are both well-secured and in the process of collection. Interest income on nonaccrual loans is generally recognized when cash is received, unless a determination has been made to apply all cash receipts to principal. The consumer portfolio has different characteristics, typified by a larger number of lower dollar loans that have similar characteristics. A loan is considered to be impaired, or nonperforming, when based on current information and events, it is likely the Company will be unable to collect all amounts due according to the contractual terms of the original loan agreement. Management considers loans that are in bankruptcy status, but have not been charged-off, to charged-off Loan collateral in process of foreclosure primarily includes taxicab medallion loans that have reached 120 days past due and have been charged down to their net realizable value, in addition to consumer repossessed collateral in the process of being sold. The taxicab medallion loan component reflects that the collection activities on the loans have transitioned from working with the borrower to the liquidation of the collateral securing the loans. The Company had $40,500,000 and $183,529,000 of net loans pledged as collateral under borrowing arrangements at December 31, 2018 and December 31, 2017. The Company accounts for its sales of loans in accordance with FASB Accounting Standards Codification Topic 860, Transfers and Servicing (FASB ASC 860), which provides accounting and reporting standards for transfers and servicing of financial assets and extinguishments of liabilities. In accordance with FASB ASC 860, the Company had elected the fair value measurement method for its servicing assets and liabilities. The principal portion of loans serviced for others by the Company and its affiliates was $140,180,000 at December 31, 2018 and $338,867,000 at December 31, 2017, which included $311,988,000 of loans serviced for Medallion Bank. The Company has evaluated the servicing aspect of its business in accordance with FASB ASC 860, which relates to servicing assets held by MFC (related to the remaining assets in Trust III) and Medallion Bank, and determined that no material servicing asset or liability existed as of December 31, 2018 and 2017. The Company assigned its servicing rights of the Medallion Bank portfolio to MSC. The costs of servicing were allocated to MSC by the Company, and the servicing fee income was billed to and collected from Medallion Bank by MSC. Allowance for Loan Losses (Bank Holding Company Accounting) The allowance for loan losses is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral, prevailing economic conditions, and excess concentration risks. In analyzing the adequacy of the allowance for loan losses, the Company uses historical delinquency and actual loss rates with a one year lookback period for consumer loans. For commercial loans deemed nonperforming, the historical loss experience and other projections are looked at, and for medallion loans, nonperforming loans are valued at the median sales price over the most recent quarter, and performing medallion loans are reserved utilizing historical loss ratios over a three year lookback period. This evaluation is inherently subjective, as it requires estimates that are susceptible to significant revision as more information becomes available. As a result, reserves of $5,708,000 were recorded by the Company as a general reserve on medallion loans as an additional buffer against future losses, not including the Bank general reserve of $17,351,000 which was netted against loan balances at consolidation on April 2, 2018. Credit losses are deducted from the allowance and subsequent recoveries are added back to the allowance. Unrealized Appreciation (Depreciation) and Realized Gains (Losses) on Investments (Investment Company Accounting) Prior to April 2, 2018, under Investment Company Accounting, the Company’s loans, net of participations and any unearned discount, were considered investment securities under the 1940 Act and recorded at fair value. As part of the fair value methodology, loans were valued at cost adjusted for any unrealized appreciation (depreciation). Since no ready market existed for these loans, the fair value was determined in good faith by the Board of Directors. In determining the fair value, the Board of Directors considered factors such as the financial condition of the borrower, the adequacy of the collateral, individual credit risks, cash flows of the borrower, market conditions for loans (e.g. values used by other lenders and any active bid/ask market), historical loss experience, and the relationships between current and projected market rates and portfolio rates of interest and maturities. Investments other than securities, which represent collateral received from defaulted borrowers, were valued similarly. Under Investment Company Accounting, the Company recognized unrealized appreciation (depreciation) on investments as the amount by which the fair value estimated by the Company is greater (less) than the cost basis of the investment portfolio. Realized gains or losses on investments are generated through sales of investments, foreclosure on specific collateral, and writeoffs of loans or assets acquired in satisfaction of loans, net of recoveries. Unrealized appreciation on investments was $139,700,000 as of December 31, 2017. Refer to Note 5 for additional details. Goodwill and Intangible Assets The Company’s goodwill and intangible assets arose as a result of the excess of fair value over book value for several of the Company’s previously unconsolidated portfolio investment companies as of April 2, 2018. This fair value was brought forward under the Company’s new reporting, and was subject to a purchase price accounting allocation process conducted by an independent third party expert to arrive at the current categories and amounts. Goodwill is not amortized, but is subject to impairment testing on an annual basis. Intangible assets are amortized over their useful life of approximately 20 years. See below for detailed information on the fair value allocation as of April 2, 2018. As of December 31, 2018, the Company had goodwill of $150,803,000, which all related to the Bank, and intangible assets of $53,982,000, and recognized $1,083,000 of amortization expense on the intangible assets for the year then ended (at a rate of $361,000 per quarter for three quarters). The Company engaged an expert to assess the goodwill and intangibles for impairment, who concluded there was no impairment on Medallion Bank and impairment on the RPAC intangible asset was $5,615,000, which was recorded in the 2018 fourth quarter. The table below shows the initial fair value detail inclusive of the goodwill and intangible assets related to the Bank as of April 2, 2018. (in thousands) Fair Value as of Allocation as Medallion Bank Assets Net loans (1) $ 890,000 Other assets 130,393 Liabilities Funds borrowed and other liabilities (853,650 ) Total fair value excluding goodwill and intangibles 166,743 Goodwill 150,803 Intangibles 28,900 Total fair value (2) $ 346,446 $ 346,446 (1) Includes $12,387 of premiums associated with the loan portfolio. (2) Includes $26,303 of preferred stock held by the U.S. Treasury. See Note 21 for details. The table below shows the initial fair value detail inclusive of the intangible assets related to RPAC as of April 2, 2018. (in thousands) Fair Value as Allocation as RPAC Assets Cash $ 1,647 Net fixed assets 774 Race cars and parts, net 203 Race cars held for sale 916 Other assets 1,902 Liabilities Deferred revenue (6,531 ) Notes payable (1) (27,220 ) Other liabilities (2,275 ) Total fair value excluding goodwill and intangibles (30,584 ) Intangibles (2) 31,779 Total fair value (3) $ 1,195 $ 1,195 (1) Includes $20,177 due to the Company and its affiliates as of March 31, 2018. (2) As of December 31, 2018 an assessment of the intangible asset resulted in impairment of $5,615 based upon the analysis of current market conditions using discounted cash flows. (3) Fair value as of March 31, 2018 represents the Company’s investment in RPAC series D units. The table below shows the details of the intangible assets as of December 31, 2018. (in thousands) December 31, Brand- related intellectual property $ 21,176 Home improvement contractor relationships 6,641 Race organization 26,165 Total intangible assets $ 53,982 Fixed Assets Fixed assets are carried at cost less accumulated depreciation and amortization, and are depreciated on a straight-line basis over their estimated useful lives of 3 to 10 years. Leasehold improvements are amortized on a straight-line basis over the shorter of the lease term or the estimated economic useful life of the improvement. Depreciation and amortization expense was $422,000, $94,000 ($232,000 had Medallion Bank been consolidated), and $110,000 ($225,000 had Medallion Bank been consolidated) for the years ended December 31, 2018, 2017, and 2016. Deferred Costs Deferred financing costs, included in other assets, represents costs associated with obtaining the Company’s borrowing facilities, and is amortized on a straight line basis over the lives of the related financing agreements. Amortization expense was $1,864,000, $925,000 ($2,255,000 had Medallion Bank been consolidated), and $722,000 ($2,091,000 had Medallion Bank been consolidated) for the years ended December 31, 2018, 2017, and 2016, recorded as interest expense. In addition, the Company capitalizes certain costs for transactions in the process of completion (other than business combinations), including those for potential investments, and the sourcing of other financing alternatives. Upon completion or termination of the transaction, any accumulated amounts will be amortized against income over an appropriate period, or written off. The amounts on the Company’s balance sheet for all of these purposes were $4,461,000 and $3,070,000 ($5,011,000 had Medallion Bank been consolidated) at December 31, 2018 and 2017. Income Taxes Income taxes are accounted for using the asset and liability approach in accordance with FASB ASC Topic 740, Income Taxes (ASC 740). Deferred tax assets and liabilities reflect the impact of temporary differences between the carrying amount of assets and liabilities and their tax basis and are stated at tax rates expected to be in effect when taxes are actually paid or recovered. Deferred tax assets are also recorded for net operating losses, capital losses and any tax credit carryforwards. A valuation allowance is provided against a deferred tax asset when it is more likely than not that some or all of the deferred tax assets will not be realized. All available evidence, both positive and negative, is considered to determine whether a valuation allowance for deferred tax assets is needed. Items considered in determining our valuation allowance include expectations of future earnings of the appropriate tax character, recent historical financial results, tax planning strategies, the length of statutory carryforward periods and the expected timing of the reversal of temporary differences. Under ASC 740, forming a conclusion that a valuation allowance is not needed is difficult when there is negative evidence, such as cumulative losses in recent years. The Company recognizes tax benefits of uncertain tax positions only when the position is more likely than not to be sustained assuming examination by tax authorities. The Company records income tax related interest and penalties, if applicable, within current income tax expense. Sponsorship and Race Winnings The Company accounts for the sponsorship and race winnings revenue under FASB ASC Topic 606, Revenue from Contracts with Customers. Sponsorship revenue is recognized based upon the contract terms and only over the course of the whole season, will revenue be recognized evenly throughout the ten months. Race winnings revenue is recognized after each race during the season based upon terms provided by NASCAR and the placement of the driver. Earnings (Loss) Per Share (EPS) Basic earnings (loss) per share are computed by dividing net income (loss)/net increase (decrease) in net assets resulting from operations available to common shareholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if option contracts to issue common stock were exercised, or if restricted stock vests, and has been computed after giving consideration to the weighted average dilutive effect of the Company’s stock options and restricted stock. The Company uses the treasury stock method to calculate diluted EPS, which is a method of recognizing the use of proceeds that could be obtained upon exercise of options and warrants, including unvested compensation expense related to the shares, in computing diluted EPS. It assumes that any proceeds would be used to purchase common stock at the average market price during the period. The table below shows the calculation of basic and diluted EPS. Years Ended December 31, (Dollars in thousands) 2018 2017 2016 Net (loss)/net increase in net assets resulting from operations available to common shareholders $ (25,046 ) $ 278 $ 23,515 Weighted average common shares outstanding applicable to basic EPS 24,214,978 23,919,994 24,123,888 Effect of dilutive stock options — 439 230 Effect of restricted stock grants — 132,874 48,902 Adjusted weighted average common shares outstanding applicable to diluted EPS 24,214,978 24,053,307 24,173,020 Basic earnings (loss) per share $ (1.03 ) $ 0.01 $ 0.97 Diluted earnings (loss) per share (1.03 ) 0.01 0.97 Potentially dilutive common shares excluded from the above calculations aggregated 100,000, 366,245, and 346,232 shares as of December 31, 2018, 2017, and 2016. Stock Compensation The Company follows FASB ASC Topic 718 (ASC 718), Compensation – Stock Compensation, for its equity incentive, stock option, and restricted stock plans, and accordingly, the Company recognizes the expense of these grants as required. Stock-based employee compensation costs pertaining to stock options is reflected in net increase in net income/net assets resulting from operations for any new grants using the fair values established by usage of the Black-Scholes option pricing model, expensed over the vesting period of the underlying option. Stock-based employee compensation costs pertaining to restricted stock are reflected in net income/net increase net assets resulting from operations for any new grants using the grant date fair value of the shares granted, expensed over the vesting period of the underlying stock. During 2018, 2017, and 2016, the Company issued 101,010, 327,251, and 48,527 restricted shares of stock-based compensation awards, and issued 39,000, 29,666, and 12,000 shares of other stock-based compensation awards, and recognized $576,000, $785,000, and $568,000, or $0.02, $0.03, and $0.02 per diluted common share for each respective year, of non-cash Regulatory Capital Medallion Bank is subject to various regulatory capital requirements administered by the FDIC and the Utah Department of Financial Institutions. Failure to meet minimum capital requirements can initiate certain mandatory and possible additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet FDIC-insured banks, including Medallion Bank, are subject to certain federal laws, which impose various legal limitations on the extent to which banks may finance or otherwise supply funds to certain of their affiliates. In particular, Medallion Bank is subject to certain restrictions on any extensions of credit to, or other covered transactions, such as certain purchases of assets, with the Company or its affiliates. Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios as defined in the regulations (set forth in the table below). Additionally, as conditions of granting the Bank’s application for federal deposit insurance, the FDIC ordered that the Tier 1 leverage capital to total assets ratio, as defined, be not less than 15%, which would preclude their ability to pay dividends to the Company, and that an adequate allowance for loan losses be maintained. As of December 31, 2018, the Bank’s Tier 1 leverage ratio was 15.85%. The Bank’s actual capital amounts and ratios, and the regulatory minimum ratios are presented in the following table. Regulatory (Dollars in thousands) Minimum Well-capitalized December 31, 2018 December 31, 2017 Common equity Tier 1 capital — — $ 141,608 $ 137,494 Tier 1 capital — — 167,911 163,797 Total capital — — 180,917 176,876 Average assets — — 1,059,461 1,127,087 Risk-weighted assets — — 993,374 995,145 Leverage ratio (1) 4.0 % 5.0 % 15.8 % 14.5 % Common equity Tier 1 capital ratio (2) 4.5 6.5 14.3 13.8 Tier 1 capital ratio (3) 6.0 8.0 16.9 16.5 Total capital ratio (3) 8.0 10.0 18.2 17.8 (1) Calculated by dividing Tier 1 capital by average assets. (2) Calculated by subtracting preferred stock or non-controlling (3) Calculated by dividing Tier 1 or total capital by risk-weighted assets. In addition, the Bank is subject to a Common Equity Tier 1 capital conservation buffer on top of the minimum risk-based capital ratios. The implementation of the capital conservation buffer began on January 1, 2016 at the 0.625% level and increased by 0.625% each subsequent January 1 until January 1, 2019. Including the buffer, commencing January 1, 2019, the Bank is required to maintain the following minimum capital ratios: a Common Equity Tier 1 risk-based capital ratio of greater than 7.0%, a Tier 1 risk-based capital ratio of greater than 8.5% and a total risk-based capital ratio of greater than 10.5%. Recently Issued Accounting Standards In August 2018, the FASB issued ASU 2018-13 In January 2017, the FASB issued ASU 2017-04 In June 2016, the FASB issued ASU 2016-13, “Financial ASU 2016-13 applies In February 2016, the FASB issued ASU 2016-02, Leases ASU 2016-02 requires ASU 2016-02 applies Reclassifications Certain reclassifications have been made to prior year balances to conform with the current year presentation. These reclassifications have no effect on the previously reported results of operations. |
Investment Securities
Investment Securities | 12 Months Ended |
Dec. 31, 2018 | |
Investments Schedule [Abstract] | |
Investment Securities | (3) INVESTMENT SECURITIES (Bank Holding Company Accounting) Fixed maturity securities available for sale at December 31, 2018 consisted of the following: (Dollars in thousands) Amortized Cost Gross Gross Unrealized Fair Value Mortgage-backed securities, principally obligations of US federal agencies $ 32,184 $ 15 $ (742 ) $ 31,457 State and municipalities 14,239 35 (407 ) 13,867 Total $ 46,423 $ 50 $ (1,149 ) $ 45,324 The amortized cost and estimated market value of investment securities as of December 31, 2018 by contractual maturity are shown below. Actual maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. (Dollars in thousands) Amortized Fair Due in one year or less $ 26 $ 26 Due after one year through five years 9,040 8,834 Due after five years through ten years 11,487 11,218 Due after ten years 25,870 25,246 Total $ 46,423 $ 45,324 Information pertaining to securities with gross unrealized losses at December 31, 2018, aggregated by investment category and length of time that individual securities have been in a continuous loss position follows. Less than Twelve Months Twelve Months and Over (Dollars in thousands) Gross Unrealized Fair Value Gross Unrealized Fair Value Mortgage-backed securities, principally obligations of US federal agencies $ (54 ) $ 4,616 $ (688 ) $ 24,871 State and municipalities (78 ) 5,429 (329 ) 6,259 Total $ (132 ) $ 10,045 $ (1,017 ) $ 31,130 Unrealized losses on securities have not been recognized into income because the issuers’ bonds are of high credit quality, and the Company has the intent and ability to hold the securities for the foreseeable future. The fair value is expected to recover as the bonds approach the maturity date. As of December 31, 2017, under Investment Company Accounting, investment securities made up 0% of the net investments. |
Loans and Allowance for Loan Lo
Loans and Allowance for Loan Losses | 12 Months Ended |
Dec. 31, 2018 | |
Text Block [Abstract] | |
Loans and Allowance for Loan Losses | (4) LOANS AND ALLOWANCE FOR LOAN LOSSES (Bank Holding Company Accounting) The following table shows the major classification of loans, inclusive of capitalized loan origination costs, at December 31, 2018. (Dollars in thousands) Amount As a Recreation $ 587,038 58 % Home improvement 183,155 18 Commercial 64,083 6 Medallion 183,606 18 Total gross loans 1,017,882 100 % Allowance for loan losses (36,395 ) Total net loans $ 981,487 The following table sets forth the activity in the allowance for loan losses for the nine months ended December 31, 2018. (Dollars in thousands) Nine Months Allowance for loan losses – beginning balance (1) $ — Charge-offs Recreation (12,697 ) Home improvement (1,562 ) Commercial — Medallion (14,277 ) Total charge-offs (28,536 ) Recoveries Recreation 4,437 Home improvement 905 Commercial 4 Medallion 577 Total recoveries 5,923 Net charge-offs (22,613 ) (2) Provision for loan losses (3) 59,008 Allowance for loan losses – ending balance $ 36,395 (1) Beginning balance for the nine months ended reflects the transition to Bank Holding Company Accounting by netting previously established unrealized depreciation against the gross loan balances, resulting in a starting point of zero for this table. (2) As of December 31, 2018, cumulative charge-offs of loans and loans in process of foreclosure in the medallion portfolio were $215,789, representing collection opportunities for the Company. (3) Includes $5,708 of a general reserve, for the Company, for current and performing medallion loans under 90 days past due, as an additional buffer against future losses, representing 16% of the total allowance, and 3.54% of the loans in question. This figure excludes the general reserve for the Bank, which was netted against loan balances at consolidation on April 2, 2018. The following table sets forth the composition of the allowance for loan losses by type as of December 31, 2018. (Dollars in thousands) Amount Percentage Allowance as a Recreation $ 6,856 19 % 1.17 % Home Improvement 1,796 5 0.98 Commercial — — 0.00 Medallion 27,743 76 15.11 Total $ 36,395 100 % 3.58 % The following table presents total nonaccrual loans and foregone interest, substantially all of which is in the medallion portfolio. The decline reflects the charge-offs of certain loans and their movement to loan collateral in process of foreclosure. The fluctuation in nonaccrual interest foregone is due to past due loans and market conditions. Bank Holding Investment Company Accounting (Dollars in thousands) December 31, 2018 December 31, 2017 (1) December 31, 2016 (2) Total nonaccrual loans $ 34,877 $ 98,494 $ 77,161 Interest foregone for the year 1,153 823 1,317 Amount of foregone interest applied to principal for the year 535 52 638 Interest foregone life-to-date 1,952 12,485 10,658 Amount of foregone interest applied to principal life-to-date 1,214 3,495 7,834 Percentage of nonaccrual loans to gross loan portfolio 3% 31% 20% (1) Does not include Medallion Bank nonaccrual loans of $32,668, interest income foregone for the year of $795 and foregone interest paid and applied to principal for the year of $917, interest income foregone life-to-date life-to-date (2) Does not include Medallion Bank nonaccrual loans of $52,020, interest income foregone for the year of $683 and foregone interest paid and applied to principal for the year of $402, interest income foregone life-to-date life-to-date The following presents our performance status of loans as of December 31, 2018 under Bank Holding Company Accounting. (Dollars in thousands) Performing Nonperforming Total Percentage of Recreation $ 581,250 $ 5,788 $ 587,038 0.99 % Home improvement 183,018 137 183,155 0.07 Commercial 60,249 3,834 64,083 5.98 Medallion 158,488 25,118 183,606 13.68 Total $ 983,005 $ 34,877 $ 1,017,882 3.43 % For those loans aged 31-90 The following table provides additional information on attributes of the nonperforming loan portfolio as of December 31, 2018 under Bank Holding Company Accounting, all of which had an allowance recorded against the principal balance. December 31, 2018 Nine Months Ended December 31, 2018 (Dollars in thousands) Recorded Unpaid Related Average Investment Interest Income With an allowance recorded Recreation $ 5,788 $ 5,788 $ 204 $ 6,165 $ 357 Home improvement 137 137 3 137 — Commercial 3,834 3,929 — 6,036 (12) Medallion 25,118 26,237 22,035 46,176 482 Total with allowance $ 34,877 $ 36,091 $ 22,242 $ 58,514 $ 827 Total nonperforming loans $ 34,877 $ 36,091 $ 22,242 $ 58,514 $ 827 The following table provides additional information on attributes of the nonperforming loan portfolio as of December 31, 2017 under Investment Company Accounting. (Dollars in thousands) Recorded (1) (2) Unpaid Principal Average Recorded December 31, 2017 Medallion (3) $ 79,871 $ 82,612 $ 128,671 Commercial (3) 18,623 20,491 18,792 (1) As of December 31, 2017, $20,851 of unrealized depreciation was recorded as a valuation allowance on these loans. (2) Interest income of $1,729 was recognized on loans for the year ended December 31, 2017. (3) Included in the unpaid principal balance is unearned paid-in-kind The following tables show the aging of all loans as of December 31, 2018 and December 31, 2017. Bank Holding Company Accounting Days Past Due Recorded December 31, 2018 (Dollars in thousands) 31-60 61-90 91 + Total Current Total (1) Recreation $ 18,483 $ 5,655 $ 4,020 $ 28,158 $ 539,051 $ 567,209 $ — Home improvement 715 283 135 1,133 184,528 185,661 — Commercial — 454 279 733 63,350 64,083 — Medallion 8,689 3,652 15,720 28,061 148,774 176,835 — Total $ 27,887 $ 10,044 $ 20,154 $ 58,085 $ 935,703 $ 993,788 $ — (1) Excludes loan premiums of $9,047 resulting from purchase price accounting and $15,047 of capitalized loan origination costs. Investment Company Accounting Days Past Due Recorded December 31, 2017 (Dollars in thousands) 31-60 61-90 91 + Total Current Total Medallion loans $ 16,049 $ 12,387 $ 59,701 $ 88,137 $ 140,279 $ 228,416 $ 265 Commercial loans Secured mezzanine — — — — 88,334 88,334 — Other secured commercial — — 749 749 1,728 2,477 — Total commercial loans — — 749 749 90,062 90,811 — Total $ 16,049 $ 12,387 $ 60,450 $ 88,886 $ 230,341 $ 319,227 $ 265 The following table shows the troubled debt restructurings which the Company entered into during the year ended December 31, 2018. (Dollars in thousands) Number of Loans Pre- Post- Medallion loans 11 $ 5,581 $ 5,581 During the year ended December 31, 2018, one loan modified as troubled debt restructurings were in default and had an investment value of $218,000 as of December 31, 2018, net of $71,000 of an allowance for loan loss under Bank Holding Company Accounting. The following table shows troubled debt restructurings which the Company entered into during the year ended December 31, 2017. (Dollars in thousands) Number of Loans Pre-Modification Post- Medallion loans 63 $ 39,898 $ 39,824 Commercial loans 2 6,547 6,547 Total 65 $ 46,445 $ 46,371 During the year ended December 31, 2017, sixteen loans modified as troubled debt restructurings were in default and had an investment value of $4,248,000 as of December 31, 2017, net of $1,956,000 of unrealized depreciation. The following table shows the activity of the loans in process of foreclosure, which relates only to the recreation and medallions loans, for the nine months ended December 31, 2018. (Dollars in thousands) Recreation Medallions Total Loans in process of foreclosure – beginning balance (1) $ 1,369 $ 51,479 $ 52,848 Transfer from loans 9,289 25,369 34,658 Loan in process of foreclosure sales (451 ) (2,533 ) (2,984 ) Principal payments — (4,275 ) (4,275 ) Collateral adjustment (4,350 ) (4,122 ) (8,472 ) Liquidation (4,354 ) (62 ) (4,416 ) Deconsolidation of Trust III — (17,864 ) (17,864 ) Total $ 1,503 $ 47,992 $ 49,495 (1) Beginning balance for the nine months ended December 31, 2018 reflects the transition to Bank Holding Company Accounting by reclassifying the medallions loans of the Company of $31,099,000 from investments to loans in process of foreclosure as of April 2, 2018. |
Unrealized Appreciation (Deprec
Unrealized Appreciation (Depreciation) and Realized Gains (Losses) on Investments | 12 Months Ended |
Dec. 31, 2018 | |
Schedule of Investments [Abstract] | |
Unrealized Appreciation (Depreciation) and Realized Gains (Losses) on Investments | (5) UNREALIZED APPRECIATION (DEPRECIATION) AND REALIZED GAINS (LOSSES) ON INVESTMENTS (Investment Company Accounting) The following table sets forth the pre-tax (Dollars in thousands) Medallion Commercial Investments Equity Investment Investments Total Balance December 31, 2015 $ (3,438 ) $ (2,239 ) $ 18,640 $ 2,582 $ (18 ) $ 28,956 $ 44,483 Net change in unrealized Appreciation on investments — — 133,805 2,979 7 (28,372 ) 108,419 Depreciation on investments (28,028 ) 318 305 — 5 — (27,400 ) Reversal of unrealized appreciation (depreciation) related to realized Gains on investments — — — (1,627 ) — — (1,627 ) Losses on investments 2,943 543 — — 12 — 3,498 Other — — — — (6 ) — (6 ) Balance December 31, 2016 (28,523 ) (1,378 ) 152,750 3,934 — 584 127,367 Net change in unrealized Appreciation on investments — — 6,170 2,060 — (821 ) 7,409 Depreciation on investments (37,335 ) (410 ) — (277 ) — (1,253 ) (39,275 ) Reversal of unrealized appreciation (depreciation) related to realized Gains on investments — — — (3,082 ) — — (3,082 ) Losses on investments 45,520 1,275 — 486 — — 47,281 Balance December 31, 2017 (20,338 ) (513 ) 158,920 3,121 — (1,490 ) 139,700 Net change in unrealized Appreciation on investments — — 38,795 (998 ) — — 37,797 Depreciation on investments (38,170 ) 18 — — — (1,915 ) (40,067 ) Reversal of unrealized appreciation (depreciation) related to realized Gains on investments — — — — — — — Losses on investments 34,747 — — — — — 34,747 Balance March 31, 2018 ($ 23,761 ) ($ 495 ) $ 197,715 $ 2,123 $ — ($ 3,405 ) $ 172,177 The table below summarizes pre-tax Three Months Years Ended December 31, (Dollars in thousands) 2017 2016 Net change in unrealized appreciation (depreciation) on investments Unrealized appreciation $ (998 ) $ 2,060 $ 2,986 Unrealized depreciation (38,152 ) (38,022 ) (27,705 ) Net unrealized appreciation on investments in Medallion Bank and other controlled subsidiaries 29,115 9,483 130,121 Realized gains — (3,082 ) (1,627 ) Realized losses 34,747 47,281 3,498 Net unrealized losses on investments other than securities and other assets (1,915 ) (2,075 ) (28,387 ) Total $ 22,797 $ 15,645 $ 78,886 Net realized gains (losses) on investments Realized gains $ — $ 3,082 $ — Realized losses (34,747 ) (47,281 ) (3,486 ) Other gains — 4,684 4,140 Direct charge-offs 2 (4,229 ) (197 ) Total $ (34,745 ) $ (43,744 ) $ 457 |
Investments in Medallion Bank a
Investments in Medallion Bank and Other Controlled Subsidiaries | 12 Months Ended |
Dec. 31, 2018 | |
Text Block [Abstract] | |
Investments in Medallion Bank and Other Controlled Subsidiaries | (6) INVESTMENTS IN MEDALLION BANK AND OTHER CONTROLLED SUBSIDIARIES The following note is included for informational purposes as it relates to the prior periods when the Company reported under Investment Company Accounting and as such, was not able to consolidate Medallion Bank’s results. The following table presents information derived from Medallion Bank’s statement of comprehensive income and other valuation adjustments on other controlled subsidiaries for the years ended December 31, 2017 and 2016. (Dollars in thousands) 2017 2016 Statement of comprehensive income Investment income $ 111,281 $ 103,454 Interest expense 13,869 11,762 Net interest income 97,412 91,692 Noninterest income 121 308 Operating expenses (1) 26,032 24,281 Net investment income before income taxes 71,501 67,719 Income tax provision (benefit) 15,093 (326 ) Net investment income after income taxes 56,408 68,045 Net realized/unrealized losses of Medallion Bank (1) (51,696 ) (66,328 ) Net increase in net assets resulting from operations of Medallion Bank 4,712 1,717 Unrealized appreciation on Medallion Bank (2) 5,482 123,667 Net realized/unrealized gains (losses) on controlled subsidiaries other than Medallion Bank (711 ) 4,737 Net increase in net assets resulting from operations of Medallion Bank and other controlled subsidiaries $ 9,483 $ 130,121 (1) Excluded from operating expenses and included in net realized/unrealized losses of Medallion Bank were $1,476 and $0 of unrealized losses on other assets for 2017 and 2016. (2) Unrealized appreciation on Medallion Bank reflects the adjustment to the investment carrying amount to reflect the dividends declared to the Company and the U.S. Treasury, and the fair value adjustments to the carrying amount of Medallion Bank. The following table presents Medallion Bank’s balance sheets and the net investments in other controlled subsidiaries as of December 31, 2017. (Dollars in thousands) 2017 Loans $ 864,819 Investment securities, at fair value 43,478 Net investments 908,297 Cash 110,233 Other assets, net 58,827 Total assets $ 1,077,357 Other liabilities $ 3,836 Due to affiliates 1,055 Deposits and other borrowings, including accrued interest payable 908,236 Total liabilities 913,127 Medallion Bank equity (1) 164,230 Total liabilities and equity $ 1,077,357 Investment in other controlled subsidiaries $ 11,449 Total investment in Medallion Bank and other controlled subsidiaries (2) $ 302,147 (1) Includes $26,303 of preferred stock issued to the U.S. Treasury under the Small Business Lending Fund Program (SBLF). (2) Includes $152,267 of unrealized appreciation on Medallion Bank in excess of Medallion Bank’s book value as of December 31, 2017. |
Funds Borrowed
Funds Borrowed | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Funds Borrowed | (7) FUNDS BORROWED The outstanding balances of funds borrowed were as follows: Payments Due for the Fiscal Year Ending December 31, Bank December 31, 2018 Investment Interest Rate (1) (Dollars in thousands) 2019 2020 2021 2022 2023 Thereafter Deposits $ 325,890 $ 191,054 $ 158,846 $ 136,508 $ 35,742 $ — $ 848,040 $ — 2.14 % DZ loan — — — — — — — 99,984 — SBA debentures and borrowings 3,226 25,873 8,500 — 5,000 37,500 80,099 79,564 3.40 % Notes payable to banks 51,452 458 7,145 280 280 — 59,615 81,450 4.55 % Retail notes (2) — — 33,625 — — — 33,625 33,625 9.00 % Preferred securities (2) — — — — — 33,000 33,000 33,000 4.86 % Other borrowings 500 7,149 — — — — 7,649 — 2.00 % Total $ 381,068 $ 224,534 $ 208,116 $ 136,788 $ 41,022 $ 70,500 $ 1,062,028 $ 327,623 2.67 % (1) Weighted average contractual rate as of December 31, 2018. (2) Relates to loans held at the Company, Parent Company only. (A) DEPOSITS Deposits are raised through the use of investment brokerage firms who package deposits qualifying for FDIC insurance into pools that are sold to the Bank. The rates paid on the deposits are highly competitive with market rates paid by other financial institutions. Additionally, a brokerage fee is paid, depending on the maturity of the deposits, which averages less than 0.15%. Interest on the deposits is accrued daily and paid monthly, quarterly, semiannually, or at maturity. All time deposits are in denominations of less than $250,000 and have been originated through certificates of deposit broker relationships. The table presents time deposits of $100,000 or more by their maturity: (Dollars in thousands) December 31, Three months or less $ 72,280 Over three months through six months 110,012 Over six months through one year 143,598 Over one year 522,150 Total deposits $ 848,040 (B) DZ LOAN In December 2008, Trust III entered into the DZ loan agreement with DZ Bank, to provide up to $200,000,000 of financing through a commercial paper conduit to acquire medallion loans from MFC (DZ loan), which was extended in December 2013 until December 2016 through an amended and restated credit agreement, which has been further extended several times and currently terminates in September 2019. The line was reduced to $150,000,000, and was further reduced in stages to $125,000,000 on July 1, 2016, remained as an amortizing facility and was restructured during the fourth quarter of 2018. Borrowings under Trust III’s DZ loan are collateralized by Trust III’s assets. MFC is the servicer of the loans owned by Trust III. In addition, if certain financial tests are not met, MFC can be replaced as the servicer. See Note 23 for more information about Trust III and the DZ loan. (C) SBA DEBENTURES AND BORROWINGS Over the years, the SBA has approved commitments for MCI and FSVC, typically for a four and half year term and a 1% fee, which was paid. During 2017, the SBA restructured FSVC’s debentures with SBA totaling $33,485,000 in principal into a new loan by the SBA to FSVC in the principal amount of $34,024,756 (the SBA Loan). In connection with the SBA Loan, FSVC executed a Note (the SBA Note), with an effective date of March 1, 2017, in favor of SBA, in the principal amount of $34,024,756. The SBA Loan bears interest at a rate of 3.25% per annum, required a minimum of $5,000,000 of principal and interest to be paid on or before February 1, 2018 (which was paid) and a minimum of $10,000,000 of principal and interest to be paid on or before March 15, 2019, and all remaining unpaid principal and interest on or before February 1, 2020, the final maturity date. The SBA Loan agreement contains covenants and events of defaults, including, without limitation, payment defaults, breaches of representations and warranties and covenants defaults. As of December 31, 2018, $172,485,000 of commitments had been fully utilized, there were $3,000,000 of commitments available, and $80,099,000 was outstanding, including $29,099,000 under the SBA Note. (D) NOTES PAYABLE TO BANKS The Company and its subsidiaries have entered into note agreements with a variety of local and regional banking institutions over the years. The notes are typically secured by various assets of the underlying borrower. The table below summarizes the key attributes of the Company’s various borrowing arrangements with these lenders as of December 31, 2018. (Dollars in thousands) Borrower # of Lenders/ Note Maturity Type Note Balance Monthly Payment Average Interest Interest Rate (1) The Company 6/6 4/11 - 8/14 3/19 - 7/19 Term loans and demand notes secured by pledged loans (2) $ 38,870 (2) $ 38,870 Interest only (3) 5.09 % Various (3) Medallion 3/28 11/11 - 12/11 6/19 - 9/21 Term loans secured by owned Chicago medallions (4) 25,708 19,345 $171 of 3.50 % N/A Medallion 1/1 11/18 12/23 1,400 1,400 $70 4.00 % N/A $ 65,978 $ 59,615 (1) At December 31, 2018, 30 day LIBOR was 2.50%, 360 day LIBOR was 3.01%, and the prime rate was 5.50%. (2) One note has an interest rate of Prime, one note has an interest rate of Prime plus 0.50%, one note has a fixed interest rate of 3.75%, one note has an interest rate of LIBOR plus 3.75%, and the other interest rates on these borrowings are LIBOR plus 2%. (3) Various agreements call for remittance of all principal received on pledged loans subject to minimum monthly payments ranging up to or from $12 to $75. (4) Guaranteed by the Company. In November 2018, MFC entered into a note to the benefit of DZ Bank for $1,400,000 at a 4.00% interest rate due December 2023, as part of the restructuring of the DZ loan. See Note 23 for more information. (E) RETAIL NOTES In April 2016, the Company issued a total of $33,625,000 aggregate principal amount of 9.00% unsecured notes due 2021, with interest payable quarterly in arrears. The Company used the net proceeds from the offering of approximately $31,786,000 to make loans and other investments in portfolio companies and for general corporate purposes, including repaying borrowings under its DZ loan in the ordinary course of business. (F) PREFERRED SECURITIES In June 2007, the Company issued and sold $36,083,000 aggregate principal amount of unsecured junior subordinated notes to Fin Trust which, in turn, sold $35,000,000 of preferred securities to Merrill Lynch International and issued 1,083 shares of common stock to the Company. The notes bear a variable rate of interest of 90 day LIBOR (2.81% at December 31, 2018) plus 2.13%. The notes mature in September 2037 and are prepayable at par. Interest is payable quarterly in arrears. The terms of the preferred securities and the notes are substantially identical. In December 2007, $2,000,000 of the preferred securities were repurchased from a third party investor. At December 31, 2018, $33,000,000 was outstanding on the preferred securities. (G) OTHER BORROWINGS In November and December 2017, RPAC amended the terms of various promissory notes with affiliate Richard Petty (refer to Note 13 for more details). At December 31, 2017, the total outstanding on these notes was $7,007,894 at a 2.00% annual interest rate compounded monthly and due March 31, 2020. As of December 31, 2018, $7,149,000 was outstanding on these notes. Additionally, RPAC has a short term promissory note to Travis Burt, an unrelated party, for $500,000 due on December 31, 2019. (H) COVENANT COMPLIANCE Certain of our debt agreements contain restrictions that require the Company and its subsidiaries to maintain certain financial ratios, including debt to equity and minimum net worth, which in the event of noncompliance could preclude their ability to pay dividends to the Company. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (8) INCOME TAXES The Company is subject to federal and applicable state corporate income taxes on its taxable ordinary income and capital gains. As a corporation taxed under Subchapter C, the Company is able, and intends, to file a consolidated federal income tax return with corporate subsidiaries in which it holds 80 percent or more of the outstanding equity interest measured by both vote and fair value. The following table sets forth the significant components of our deferred and other tax assets and liabilities as of December 31, 2018 and 2017. (Dollars in thousands) 2018 2017 Goodwill and other intangibles/unrealized gain on investment in Medallion Bank ($ 45,272 ) ($ 35,297 ) Provision for loan losses/unrealized losses on loans and nonaccrual interest 25,790 10,071 Net operating loss carryforwards (1) 11,132 615 Unrealized gains on investments in other controlled subsidiaries — (3,617 ) Unrealized gains on investments other than securities — (1,395 ) Accrued expenses, compensation, and other assets 1,844 782 Unrealized gains on other investments (2,024 ) (542 ) Total deferred tax liability (8,530 ) (29,383 ) Valuation allowance (255 ) (39 ) Deferred tax liability, net (8,785 ) (29,422 ) Taxes receivable 1,812 16,886 Net deferred and other tax liabilities ($ 6,973 ) ($ 12,536 ) (1) As of December 31, 2018, various subsidiaries of the Company had $11,148 of net operating loss carryforwards that expire at various dates between December 31, 2026 and December 31, 2035, which had a net asset value of $1,969 as of the balance sheet date. The components of our tax benefit (provision) for the years ended December 31, 2018, 2017, and 2016 were as follows. (Dollars in thousands) 2018 2017 2016 Current Federal ($ 2,797 ) $ 15,613 $ 2,690 State (1,078 ) 756 689 Deferred Federal 5,270 (4,169 ) (39,028 ) Federal income tax rate change — 17,279 — State (1,464 ) 6,747 (10,251 ) Net benefit (provision) for income taxes ($ 69 ) $ 36,226 ($ 45,900 ) The following table presents a reconciliation of statutory federal income tax benefit (provision) to consolidated actual income tax (benefit) expense reported for the years ended December 31, 2018, 2017, and 2016. (Dollars in thousands) 2018 2017 2016 Statutory Federal Income tax at 21% (35% in 2017 and 2016) $ 4,935 $ 12,582 ($ 24,295 ) State and local income taxes, net of federal income tax benefit 440 645 (3,829 ) Federal income tax rate change — 17,279 — Change in effective state income tax rate (2,564 ) 3,232 — Utilization of carry forwards (910 ) 2,284 — Appreciation of Medallion Bank (1,974 ) 1,050 — Conversion to a taxable corporation — — (16,630 ) Book impairment of goodwill — — (2,065 ) Other 4 (846 ) 919 Total income tax benefit (provision) ($ 69 ) $ 36,226 ($ 45,900 ) On December 22, 2017, the U.S. Government signed into law the “Tax Cuts and Jobs Act” which, starting in 2018, reduced the Company’s corporate statutory income tax rate from 35% to 21%, but eliminated or increased certain permanent differences. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible pursuant to ASC 740. The Company considers the reversal of deferred tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. The Company’s evaluation of the realizability of deferred tax assets must consider both positive and negative evidence. The weight given to the potential effects of positive and negative evidence is based on the extent to which it can be objectively verified. Based upon these considerations, the Company determined the valuation allowance deemed necessary as of December 31, 2018. The Company has filed tax returns in many states. Federal, New York State, New York City, and Utah tax filings of the Company for the tax years 2015 through the present are the more significant filings that are open for examination. Currently the Company and the Bank are undergoing various state exams covering the years 2009 to 2011 and 2013 to 2017. |
Stock Options and Restricted St
Stock Options and Restricted Stock | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Options and Restricted Stock | (9) STOCK OPTIONS AND RESTRICTED STOCK The Company has a stock option plan (2006 Stock Option Plan) available to grant both incentive and nonqualified stock options to employees. The 2006 Stock Option Plan, which was approved by the Board of Directors on February 15, 2006 and shareholders on June 16, 2006, provided for the issuance of a maximum of 800,000 shares of common stock of the Company. No additional shares are available for issuance under the 2006 Stock Option Plan. The 2006 Stock Option Plan is administered by the Compensation Committee of the Board of Directors. The option price per share may not be less than the current market value of the Company’s common stock on the date the option is granted. The term and vesting periods of the options are determined by the Compensation Committee, provided that the maximum term of an option may not exceed a period of ten years. The Company’s Board of Directors approved the 2018 Equity Incentive Plan (2018 Plan), which was approved by the Company’s shareholders on June 15, 2018. The terms of 2018 Plan provide for grants of a variety of different type of stock awards to the Company’s employees, including options, restricted stock, stock appreciation rights, etc. A total of 1,500,253 shares of the Company’s common stock are issuable under the 2018 Plan, and 1,458,407 remained issuable as of December 31, 2018. Awards under the 2018 Plan are subject to certain limitations as set forth in the 2018 Plan, which will terminate when all shares of common stock authorized for delivery have been delivered and the forfeiture restrictions on all awards have lapsed, or by action of the Board of Directors pursuant to the 2018 Plan, whichever first occurs. The Company’s Board of Directors approved the 2015 Employee Restricted Stock Plan (2015 Restricted Stock Plan) on February 13, 2015, which was approved by the Company’s shareholders on June 5, 2015. The 2015 Restricted Stock Plan became effective upon the Company’s receipt of exemptive relief from the SEC on March 1, 2016. The terms of 2015 Restricted Stock Plan provide for grants of restricted stock awards to the Company’s employees. A grant of restricted stock is a grant of shares of the Company’s common stock which, at the time of issuance, is subject to certain forfeiture provisions, and thus is restricted as to transferability until such forfeiture restrictions have lapsed. A total of 700,000 shares of the Company’s common stock were issuable under the 2015 Restricted Stock Plan, and 241,919 remained issuable as of June 15, 2018. Effective June 15, 2018, the 2018 Plan was approved, and these remaining shares were rolled into the 2018 Plan. Awards under the 2015 Restricted Stock Plan are subject to certain limitations as set forth in the 2015 Restricted Stock Plan. The 2015 Restricted Stock Plan will terminate when all shares of common stock authorized for delivery under the 2015 Restricted Stock Plan have been delivered and the forfeiture restrictions on all awards have lapsed, or by action of the Board of Directors pursuant to the 2015 Restricted Stock Plan, whichever first occurs. The Company’s Board of Directors approved the 2015 Non-Employee non-employee The Company’s Board of Directors approved the First Amended and Restated 2006 Director Plan (the Amended Director Plan) on April 16, 2009, which was approved by the Company’s shareholders on June 5, 2009, and on which exemptive relief to implement the Amended Director Plan was received from the SEC on July 17, 2012. A total of 200,000 shares of the Company’s common stock were issuable under the Amended Director Plan. No additional shares are available for issuance under the Amended Director Plan. Under the Amended Director Plan, unless otherwise determined by a committee of the Board of Directors comprised of directors who are not eligible for grants under the Amended Director Plan, the Company will grant options to purchase 9,000 shares of the Company’s common stock to an Eligible Director upon election to the Board of Directors, with an adjustment for directors who are elected to serve less than a full term. The option price per share may not be less than the current market value of the Company’s common stock on the date the option is granted. Options granted under the Amended Director Plan are exercisable annually, as defined in the Amended Director Plan. The term of the options may not exceed ten years. Additional shares are only available for future issuance under the 2018 Plan. At December 31, 2018, 144,666 options on the Company’s common stock were outstanding under the Company’s plans, of which 81,889 options were exercisable, and there were 190,915 unvested shares of the Company’s common stock outstanding under the Company’s restricted stock plans. The fair value of each restricted stock grant is determined on the date of grant by the closing market price of the Company’s common stock on the grant date. The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model. The weighted average fair value of options granted was $1.06, $0.28, and $0.53 per share for the years ended December 31, 2018, 2017, and 2016. The following assumption categories are used to determine the value of any option grants. Year ended December 31, 2018 2017 2016 Risk free interest rate 2.82 % 1.84 % 1.22 % Expected dividend yield 4.86 7.39 10.13 Expected life of option in years (1) 6.00 6.00 6.00 Expected volatility (2) 30.00 % 30.00 % 30.00 % (1) Expected life is calculated using the simplified method. (2) We determine our expected volatility based on our historical volatility. The following table presents the activity for the stock option programs for the years ended December 31, 2018, 2017, and 2016. Number of Options Exercise Weighted Outstanding at December 31, 2015 446,254 $ 7.49-13.84 $ 10.38 Granted 12,000 7.10 7.10 Cancelled (110,636 ) 9.22-13.84 12.25 Exercised (1) (2,100 ) 9.22 9.22 Outstanding at December 31, 2016 345,518 7.10-13.84 9.67 Granted 29,666 2.14-2.61 2.35 Cancelled (54,558 ) 10.76-11.21 10.94 Exercised (1) — — — Outstanding at December 31, 2017 320,626 2.14-13.84 8.78 Granted 39,000 5.27-5.58 5.46 Cancelled (214,960 ) 9.22-9.24 9.22 Exercised (1) — — — Outstanding at December 31, 2018 (2) 144,666 $ 2.06-13.84 $ 7.23 Options exercisable at December 31, 2016 312,518 $ 7.49-13.84 $ 9.75 December 31, 2017 273,960 7.10-13.84 9.50 December 31, 2018 (2) 81,889 2.14-13.84 9.25 (1) The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at the exercise date and the related exercise price of the underlying options, was $0, $0, and $0 for 2018, 2017, and 2016. (2) The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at December 31, 2018 and the related exercise price of the underlying options, was $69,000 for outstanding options and $23,000 for exercisable options as of December 31, 2018. The remaining contractual life was 6.97 years for outstanding options and 5.35 years for exercisable options at December 31, 2018. The following table presents the activity for the restricted stock programs for the years ended December 31, 2018, 2017, and 2016. Number of Shares Grant Weighted Outstanding at December 31, 2015 209,040 $ 9.08-15.61 $ 10.96 Granted 48,527 3.95-7.98 4.47 Cancelled (11,325 ) 9.92-15.61 11.17 Vested (1) (78,539 ) 9.08-15.61 11.38 Outstanding at December 31, 2016 167,703 3.95-13.46 8.88 Granted 327,251 2.06-3.93 2.48 Cancelled (8,988 ) 2.14-10.08 3.07 Vested (1) (77,384 ) 9.08-13.46 11.09 Outstanding at December 31, 2017 408,582 2.06-10.38 3.45 Granted 101,010 3.93-5.27 4.41 Cancelled (9,737 ) 3.93-9.08 4.66 Vested (1) (308,940 ) 2.06-10.38 3.35 Outstanding at December 31, 2018 (2) 190,915 $ 2.14-5.27 $ 4.06 (1) The aggregate fair value of the restricted stock vested was $1,270,000, $169,000, and $722,000 for 2018, 2017, and 2016. (2) The aggregate fair value of the restricted stock was $895,000 as of December 31, 2018. The remaining vesting period was 1.21 years at December 31, 2018. The following table presents the activity for the unvested options outstanding under the plans for the year ended December 31, 2018. Number of Exercise Price Weighted Outstanding at December 31, 2017 46,666 $ 2.14-9.38 $ 4.52 Granted 39,000 5.27-5.58 5.46 Cancelled — — — Vested (22,889 ) 2.14-9.38 5.95 Outstanding at December 31, 2018 62,777 $ 2.14-7.10 $ 4.59 The intrinsic value of the options vested was $32,000, $0, and $0 in 2018, 2017, and 2016. |
Quarterly Results of Operations
Quarterly Results of Operations (Unaudited) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Results of Operations (Unaudited) | (10) QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) The following table presents the Company’s quarterly results of operations for the years ended December 31, 2018, 2017, and 2016. (Dollars in thousands, except per share data) March 31 June 30 September 30 December 31 2018 Quarter Ended (1) Net interest income/net investment income $ 482 $ 24,719 $ 24,265 $ 23,003 Income (loss) before income taxes/net investment loss before taxes (3,566 ) (17,905 ) (3,963 ) 14,712 Net income (loss) after taxes/net decrease on net assets resulting from operations (14,874 ) (13,884 ) (3,846 ) 9,865 Net income (loss) attributable to Medallion Financial Corp./net decrease in net assets resulting from operations (14,874 ) (14,647 ) (4,697 ) 9,172 Basic ($ 0.62 ) ($ 0.60 ) ($ 0.19 ) $ 0.38 Diluted (0.62 ) (0.60 ) (0.19 ) 0.38 2017 Quarter Ended Investment income $ 4,250 $ 3,787 $ 5,567 $ 6,020 Net investment loss after income taxes (435 ) (1,293 ) (2,490 ) (2,903 ) Net increase (decrease) in net assets resulting from operations 1,111 (4,797 ) 619 3,345 Net increase (decrease) in net assets resulting from operations per common share Basic $ 0.05 ($ 0.20 ) $ 0.03 $ 0.14 Diluted 0.05 (0.20 ) 0.03 0.14 2016 Quarter Ended Investment income $ 8,986 $ 5,836 $ 5,269 $ 4,997 Net investment income (loss) after income taxes 2,039 (1,402 ) (2,606 ) 2,088 Net increase in net assets resulting from operations 6,848 4,568 5,043 7,056 Net increase in net assets resulting from operations per common share Basic $ 0.28 $ 0.19 $ 0.21 $ 0.29 Diluted 0.28 0.19 0.21 0.29 (1) The three months ended March 31, 2018 have been accounted for under Investment Company Accounting and subsequent 2018 quarters have been accounted for under Bank Holding Company Accounting. |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Reporting | (11) SEGMENT REPORTING (Bank Holding Company Accounting) Under Bank Holding Company Accounting, the Company has six business segments, which include four lending and two non-operating Prior to April 2, 2018, the Company had one business segment, its lending and investing operations. This segment originated and serviced medallion, secured commercial and consumer loans, and invested in both marketable and nonmarketable securities. The four lending segments reflect the main types of lending performed at the Company, which are recreation, home improvement, commercial, and medallion. The recreation and home improvement lending segments are conducted by the Bank in all fifty states, with the highest concentrations in Texas, California, and Florida, at 18%, 11%, and 10% of loans outstanding and with no other states over 10% as of December 31, 2018. The recreation lending segment is a consumer finance business that works with third-party dealers and financial service providers for the purpose of financing RVs, boats, and other consumer recreational equipment. The home improvement lending segment works with contractors and financial service providers to finance residential home improvements concentrated in swimming pools, solar panels, roofs, and windows, at 31%, 16%, 15%, and 11% of total loans outstanding, respectively, and with no other product lines over 10% as of December 31, 2018. The commercial lending segment focuses on enterprise wide industries, including manufacturing, retail trade, information, recreation and various other industries, in which 42% of these loans are made in the Midwest. The medallion lending segment arose in connection with the financing of the taxicab medallions, taxicabs, and related assets, of which 87% were in New York City as of December 31, 2018. In addition, our non-operating The following table presents segment data at December 31, 2018 and for the nine months then ended. Nine Months Ended December 31, Consumer Lending Commercial Medallion RPAC Corp. Consolidated (Dollars in thousands) Recreation Home Total interest income $ 68,870 $ 12,799 $ 7,459 $ 6,317 $ — $ 1,358 $ 96,803 Total interest expense 6,986 2,290 2,037 10,125 121 3,257 24,816 Net interest income (loss) 61,884 10,509 5,422 (3,808 ) (121 ) (1,899 ) 71,987 Provision for loan losses 15,118 2,453 — 41,437 — — 59,008 Net interest income after loss provision 46,766 8,056 5,422 (45,245 ) (121 ) (1,899 ) 12,979 Sponsorship and race — — — — 14,368 — 14,368 Race team related expenses — — — — (7,121 ) — (7,121 ) Other income (expense) (14,242 ) (3,093 ) (1,917 ) 9,742 (11,476 ) (6,396 ) (27,382 ) Net income before taxes 32,524 4,963 3,505 (35,503 ) (4,350 ) (8,295 ) (7,156 ) Income tax benefit (8,579 ) (1,319 ) (808 ) 7,938 1,108 951 (709 ) Net income (loss) after tax $ 23,945 $ 3,644 $ 2,697 ($ 27,565 ) ($ 3,242 ) ($ 7,344 ) ($ 7,865 ) Balance Sheet Data Total loans net $ 580,182 $ 181,359 $ 64,083 $ 155,863 $ — $ — $ 981,487 Total assets 590,746 188,892 90,264 273,501 29,925 208,522 1,381,846 Total funds borrowed 434,527 143,815 51,266 294,465 7,649 130,306 1,062,028 Selected Financial Ratios Return on assets 5.48 % 2.56 % 3.59 % (10.13 %) (11.69 %) (4.13 %) (0.90 %) Return on equity 22.60 11.30 7.52 NM NM (13.18 ) (4.62 ) Interest yield 15.78 9.06 12.61 3.58 N/A N/A 10.98 Net interest margin 14.18 7.44 9.17 (2.16 ) N/A N/A 8.19 Reserve coverage 1.17 0.98 0.00 15.11 N/A N/A 3.58 Delinquency ratio 0.69 0.07 0.44 8.89 N/A N/A 2.03 Charge-off 1.89 0.46 0.00 7.21 N/A N/A 2.73 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | (12) COMMITMENTS AND CONTINGENCIES (A) EMPLOYMENT AGREEMENTS The Company has employment agreements with certain key officers for either a two- two-year two-year one-year Employment agreements expire at various dates through 2023. At December 31, 2018, minimum payments under employment agreements were as follows: (Dollars in thousands) 2019 $ 2,062 2020 889 2021 665 2022 665 2023 277 Thereafter — Total $ 4,558 (B) OTHER COMMITTMENTS The Company had no commitments outstanding at December 31, 2018. Generally, commitments are on the same terms as loans to or investments in existing borrowers or investees, and generally have fixed expiration dates. Since some commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Commitments for leased premises expire at various dates through April 30, 2027. At December 31, 2018, minimum rental commitments for non-cancelable (Dollars in thousands) 2019 $ 2,357 2020 2,380 2021 2,278 2022 2,216 2023 2,136 Thereafter 6,048 Total $ 17,415 Occupancy expense was $2,287,000, $1,069,000, and $966,000 for the years ended December 31, 2018, 2017, and 2016. (C) LITIGATION The Company and its subsidiaries become defendants to various legal proceedings arising from the normal course of business. In the opinion of management, based on the advice of legal counsel, other than as set forth in the following paragraph there is no proceeding pending, or to the knowledge of management threatened, which in the event of an adverse decision could result in a material adverse impact on the financial condition or results of operations of the Company. On December 20, 2017, a stockholder derivative action was filed in the Supreme Court of the State of New York, County of New York ( Shields v. Murstein, et al. (D) REGULATORY In the ordinary course of business, the Company and its subsidiaries are subject to inquiries from certain regulators. During 2014, FSVC was examined by the SBA. The foregoing regulatory examination was resolved in January 2017 as a result of Freshstart’s transfer to liquidation status and the restructure of the Freshstart loan described in Note 7. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | (13) RELATED PARTY TRANSACTIONS Certain directors, officers, and shareholders of the Company are also directors and officers of its main consolidated subsidiaries, MFC, MCI, FSVC, and Medallion Bank, as well as other subsidiaries. Officer salaries are set by the Board of Directors of the Company. Jeffrey Rudnick, the son of one of the Company’s directors, is an officer of LAX Group, LLC (LAX), one of the Company’s equity investments. Mr. Rudnick receives a salary from LAX of $171,000 per year, and certain equity from LAX consisting of 10% ownership in LAX Class B stock, vesting at 3.34% per year; 5% of any new equity raised from outside investors at a valuation of $1,500,000 or higher; and 10% of LAX’s profits as a year-end The Company’s consolidated subsidiary RPAC, has an agreement with minority shareholder Richard Petty, in which they make an annual payment of $700,000 per year for services provided to the entity. In addition, RPAC has a note payable to a trust controlled by Mr. Petty of $7,149,000 that earns interest at an annual rate of 2% as of December 31, 2018. The Company and MSC serviced $311,988,000 and $325,751,000 of loans for Medallion Bank at December 31, 2017 and 2016. Under Investment Company Accounting, included in net investment income were amounts as described in the table below that were received from Medallion Bank for services rendered in originating and servicing loans, and also for reimbursement of certain expenses incurred on their behalf. The Company assigned its servicing rights to the Medallion Bank portfolio to MSC, a wholly-owned entity that had been unconsolidated under Investment Company Accounting. The costs of servicing are allocated to MSC by the Company, and the servicing fee income is billed and collected from Medallion Bank by MSC. As a result, $5,272,000 and $5,421,000 of servicing fee income was earned by MSC in the years ended December 31, 2017 and 2016. The following table summarizes the net revenues received from Medallion Bank not eliminated under Investment Company Accounting. Three Months Ended Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Reimbursement of operating expenses $ 250 $ 865 $ 1,006 Loan origination and servicing fees 6 5 229 Total other income $ 256 $ 870 $ 1,235 The Company had a loan to Medallion Fine Art, Inc., a wholly-owned entity that had been unconsolidated under Investment Company Accounting, in the amount of $999,000 as of December 31, 2017, which was repaid in full during the 2018 first quarter. The loan bore interest at a rate of 12%, all of which was paid in kind. During 2017, the Company advanced $0, and was repaid $2,365,000 with respect to this loan. Additionally, the Company recognized $10,000 of interest income not eliminated for the year ended December 31, 2018, and $165,000 and $596,000 of interest income in 2017 and 2016. The Company and MCI have loans to RPAC, an affiliate of Medallion Motorsports LLC, which totaled $16,472,000 as of December 31, 2017 and under Investment Company Accounting had not been eliminated, and which were placed on nonaccrual during 2017. These loans have been eliminated in consolidation for the nine months ended December 31, 2018. The loans bear interest at 2%, inclusive of cash and paid in kind interest. The Company and MCI recognized $0 of interest income for the three months ended March 31, 2018 and during the years ended December 31, 2017 and 2016, recognized $56,000 and $626,000 of interest income with respect to these loans. |
Stockholders'_Shareholders' Equ
Stockholders'/Shareholders' Equity | 12 Months Ended |
Dec. 31, 2018 | |
Federal Home Loan Banks [Abstract] | |
Stockholders'/Shareholders' Equity | (14) STOCKHOLDERS’/SHAREHOLDERS’ EQUITY In November 2003, the Company announced a stock repurchase program which authorized the repurchase of up to $10,000,000 of common stock during the following six months, with an option for the Board of Directors to extend the time frame for completing the purchases, which expired in May 2018. In November 2004, the repurchase program was increased by an additional $10,000,000, which was further increased to a total of $20,000,000 in July 2014, and which was further increased to a total of $26,000,000 in July 2015. As of December 31, 2018, a total of 2,931,125 shares had been repurchased for $24,587,000. There were no purchases in 2018 and 2017, and purchases were 361,174 shares for $1,524,000 in 2016. |
Other Operating Expenses
Other Operating Expenses | 12 Months Ended |
Dec. 31, 2018 | |
Other Income and Expenses [Abstract] | |
Other Operating Expenses | (15) OTHER OPERATING EXPENSES (Investment Company Accounting) The major components of other expenses were as follows. Three Months Ended, Year ended December 31, (Dollars in thousands) March 31, 2018 2017 2016 Directors’ fees $ 89 $ 319 $ 387 Miscellaneous taxes 120 258 328 Computer expense 74 244 257 Other expenses 304 727 574 Total other operating expenses $ 587 $ 1,548 $ 1,546 |
Selected Financial Ratios and O
Selected Financial Ratios and Other Data | 12 Months Ended |
Dec. 31, 2018 | |
Investment Company [Abstract] | |
Selected Financial Ratios and Other Data | (16) SELECTED FINANCIAL RATIOS AND OTHER DATA (Investment Company Accounting) The following table provides selected financial ratios and other data for the periods indicated. Three Year ended December 31, (Dollars in thousands, except per share data) 2018 2017 2016 2015 2014 Net share data Net asset value at the beginning of the year $ 11.80 $ 11.91 $ 11.42 $ 11.16 $ 10.95 Net investment income (loss) (0.15 ) (0.33 ) (0.41 ) 0.69 0.60 Income tax provision (benefit) 0.03 1.51 (1.90 ) 0.00 0.00 Net realized gains (losses) on investments (1.44 ) (1.82 ) 0.02 0.31 (0.22 ) Net change in unrealized appreciation on investments 0.94 0.65 3.26 0.20 0.76 Net increase (decrease) in net assets resulting from operations (0.62 ) 0.01 0.97 1.20 1.14 Issuance of common stock (0.03 ) (0.12 ) — — (0.01 ) Repurchase of common stock — — 0.12 0.06 0.03 Distribution of net investment income — — (0.60 ) (0.81 ) (0.60 ) Return of capital — — — (0.18 ) (0.35 ) Distribution of net realized gains on investments — — — — — Total distributions — — (0.60 ) (0.99 ) (0.95 ) Other — — — (0.01 ) — Total increase (decrease) in net asset value (0.65 ) (0.11 ) 0.49 0.26 0.21 Net asset value at the end of the period/year (1) $ 11.15 $ 11.80 $ 11.91 $ 11.42 $ 11.16 Per share market value at beginning of year $ 3.53 $ 3.02 $ 7.04 $ 10.01 $ 14.35 Per share market value at end of period/year 4.65 3.53 3.02 7.04 10.01 Total return (2) (129 %) 17 % (54 %) (22 %) (25 %) Ratios/supplemental data Total shareholders’ equity (net assets) $ 272,437 $ 287,159 $ 286,096 $ 278,088 $ 274,670 Average net assets 284,021 285,704 276,978 276,745 276,254 Total expense ratio (3) (4) (5) 10.02 % (3.03 %) 29.36 % 9.45 % 9.57 % Operating expenses to average net assets (4) (5) 5.87 4.83 8.23 6.04 6.48 Net investment income (loss) after income taxes to average net assets (4) (5) (4.61 ) (2.49 ) 0.04 6.08 5.48 (1) Includes $0.00 of undistributed net investment income per share as of three months ended March 31, 2018 and December 31, 2017, 2016, 2015 and 2014, and $0.00 of undistributed net realized gains per share for all periods presented. (2) Total return is calculated by dividing the change in market value of a share of common stock during the year, assuming the reinvestment of distributions on the payment date, by the per share market value at the beginning of the year. (3) Total expense ratio represents total expenses (interest expense, operating expenses, and income taxes) divided by average net assets. (4) MSC has assumed certain of the Company’s servicing obligations, and as a result, servicing fee income of $1,290, $5,272, $5,421, $5,658, and $5,946, and operating expenses of $1,150, $4,211, $5,249, $6,044, and $6,005 which formerly were the Company’s, were now MSC’s for the three months ended March 31, 2018 and the years ended December 31, 2017, 2016, 2015, and 2014. Excluding the impact of the MSC amounts, the total expense ratio, operating expense ratio, and net investment income (loss) ratio would have been 11.75%, 6.88%, and 7.51% in the March 31, 2018 quarter, (1.37%), 6.31%, and (2.49%) in 2017, 29.42%, 8.28%, and 1.95% in 2016, 11.63%, 8.23%, and 5.94% in 2015, and 11.74%, 8.65%, and 5.46% in 2014. (5) These ratios include the goodwill impairment writeoff of $5,099 in 2016. Excluding the writeoff, the total expense, operating expense, and net investment income ratios were 27.52%, 6.39%, and 1.88% in 2016. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2018 | |
Postemployment Benefits [Abstract] | |
Employee Benefit Plans | (17) EMPLOYEE BENEFIT PLANS The Company has a 401(k) Investment Plan (the 401(k) Plan) which covers all full-time and part-time employees of the Company who have attained the age of 21 and have a minimum of one year of service, including the employees of Medallion Bank. Under the 401(k) Plan, an employee may elect to defer not less than 1% and no more than 15% of the total annual compensation that would otherwise be paid to the employee, provided, however, that employee’s contributions may not exceed certain maximum amounts determined under the Internal Revenue Code. Employee contributions are invested in various mutual funds according to the directions of the employee. The Company matches employee contributions to the 401(k) Plan in an amount per employee up to one-third |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2018 | |
Investments, All Other Investments [Abstract] | |
Fair Value of Financial Instruments | (18) FAIR VALUE OF FINANCIAL INSTRUMENTS FASB ASC Topic 825, “Financial Instruments,” requires disclosure of fair value information about certain financial instruments, whether assets, liabilities, or off-balance-sheet (a) Cash – (b) Equity securities – (c) Investment securities – (d) Loans receivable – (e) Floating rate borrowings – (f) Commitments to extend credit – off-balance-sheet (g) Fixed rate borrowings Bank Holding Company Accounting Investment Company Accounting (Dollars in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Financial assets Cash and federal funds sold (1) $ 57,713 $ 57,713 $ 12,690 $ 12,690 Equity investments 9,197 9,197 — — Investment securities 45,324 45,324 — — Loans receivable 981,487 981,487 — — Investments — — 610,135 610,135 Accrued interest receivable (2) 7,413 7,413 547 547 Financial liabilities Funds borrowed (3) 1,062,028 1,062,297 327,623 330,084 Accrued interest payable (2) 3,852 3,852 3,831 3,831 (1) Categorized as level 1 within the fair value hierarchy. (2) Categorized as level 3 within the fair value hierarchy. (3) As of December 31, 2018 and 2017, publicly traded unsecured notes traded at a premium to par of $269 and $2,461. |
Fair Value of Assets and liabil
Fair Value of Assets and liabilities | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Assets and liabilities | (19) FAIR VALUE OF ASSETS AND LIABILITIES The Company follows the provisions of FASB ASC 820, which defines fair value, establishes a framework for measuring fair value, establishes a fair value hierarchy based on the quality of inputs used to measure fair value, and enhances disclosure requirements for fair value measurements. In accordance with FASB ASC 820, the Company has categorized its assets and liabilities measured at fair value, based on the priority of the inputs to the valuation technique, into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (level 1) and the lowest priority to unobservable inputs (level 3). Our assessment and classification of an investment within a level can change over time based upon maturity or liquidity of the investment and would be reflected at the beginning of the quarter in which the change occurred. As required by FASB ASC 820, when the inputs used to measure fair value fall within different levels of the hierarchy, the level within which the fair value measurement is categorized is based on the lowest level input that is significant to the fair value measurement in its entirety. For example, a level 3 fair value measurement may include inputs that are observable (level 1 and 2) and unobservable (level 3). Therefore gains and losses for such assets and liabilities categorized within the level 3 table below may include changes in fair value that are attributable to both observable inputs (level 1 and 2) and unobservable inputs (level 3). Assets and liabilities measured at fair value, recorded on the consolidated balance sheets, are categorized based on the inputs to the valuation techniques as follows: Level 1. Level 2. A) Quoted prices for similar assets or liabilities in active markets (for example, restricted stock); B) Quoted price for identical or similar assets or liabilities in non-active C) Pricing models whose inputs are observable for substantially the full term of the asset or liability (examples include most over-the-counter D) Pricing models whose inputs are derived principally from or corroborated by observable market data through correlation or other means for substantially the full term of the asset or liability (examples include certain residential and commercial mortgage-related assets, including loans, securities, and derivatives). Level 3. A review of fair value hierarchy classification is conducted on a quarterly basis. Changes in the observability of valuation inputs may result in a reclassification for certain assets or liabilities. Reclassifications impacting level 3 of the fair value hierarchy are reported as transfers in/out of the level 3 category as of the beginning of the quarter in which the reclassifications occur. The following paragraphs describe the sensitivity of the various level 3 valuations to the factors that are relevant in their valuation analysis under both Bank Holding Company Accounting (applicable as of June 30, 2018 and for the quarter then ended) and Investment Company Accounting (applicable to prior periods). Bank Holding Company Accounting Commencing with the quarter ended June 30, 2018, equity investments are recorded at cost and are evaluated for impairment periodically. The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of December 31, 2018. Bank Holding Company Accounting (Dollars in thousands) Level 1 Level 2 Level 3 Total Assets Equity investments $ — $ — $ 9,197 $ 9,197 Available for sale investment securities (1) — 45,324 — 45,324 Total $ — $ 45,324 $ 9,197 $ 54,521 (1) Total unrealized losses of $82, net of tax, was included in accumulated other comprehensive income (loss) for the nine months ended December 31, 2018 related to these assets. Investment Company Accounting Medallion loans are primarily collateral-based lending, whereby the collateral value exceeds the amount of the loan, providing sufficient excess collateral to protect against losses to the Company. As a result, under Investment Company Accounting, the initial valuation assessment was that as long as the loan is current and performing, its fair value approximates the par value of the loan. To the extent a loan became nonperforming, the collateral value would be adequate to result in a complete recovery. In a case where the collateral value was inadequate, an unrealized loss would be recorded to reflect any shortfall. Collateral values for medallion loans are typically obtained from transfer prices reported by the regulatory agency in a particular local market (e.g. New York City Taxi and Limousine Commission). Recently, as transfer price activity and the collateral value of medallion loans has declined, greater weight was placed on the operating cash flows of the borrowers and the values of their personal guarantees in determining whether or not a valuation adjustment would be necessary. Those portfolios had historically been at very low loan to collateral value ratios, and as a result, historically were not highly sensitive to changes in collateral values. Over the last few years, as medallion collateral values declined, the impact on the Company’s valuation analysis had become more significant, which could have resulted in a significantly lower fair value measurement. The mezzanine and other secured commercial portions of the commercial loan portfolio were a combination of cash flow and collateral based lending. The initial valuation assessment was that as long as the loan is current and performing, its fair value approximates the par value of the loan. If a loan became nonperforming, an evaluation would be performed which considered and analyzed a variety of factors which may have included the financial condition and operating performance of the borrower, the adequacy of the collateral, individual credit risks, historical loss experience, the relationships between the then current and projected market rates and portfolio rates of interest and maturities, as well as general market trends for businesses in the same industry. Since each individual nonperforming loan had its own unique attributes, the factors analyzed, and their relative importance to each valuation analysis, differed between each asset, and may have differed from period to period for a particular asset. The valuation was highly sensitive to changes in the assumptions used. To the extent that any assumption in the analysis changed significantly from one period to another, that change could have resulted in a significantly lower or higher fair market value measurement. For example, if a borrower’s valuation was determined primarily on the cash flow generated from their business, then if that cash flow deteriorated significantly from a prior period valuation, that could have had a material impact on the valuation in the appropriate period. The investment in Medallion Bank was subject to a thorough valuation analysis as described previously, and on at least an annual basis, the Company received an opinion regarding the valuation from an independent third party to assist the Board of Directors in its determination of the fair value. The Company determined whether any factors gave rise to a valuation different than recorded book value, including various regulatory restrictions that were established at Medallion Bank’s inception, by the FDIC and State of Utah, and also by additional regulatory restrictions, such as the prior moratorium imposed by the Dodd-Frank Act on the acquisition of control of an industrial bank by a “commercial firm” (a company whose gross revenues are primarily derived from non-financial Investments in controlled subsidiaries, other than Medallion Bank, equity investments, and investments other than securities were valued similarly, but also considered available then-current market data, including relevant and applicable market trading and transaction comparables, the nature and realizable value of any collateral, applicable interest rates and market yields, the portfolio company’s ability to make payments, its earnings and cash flows, the markets in which the portfolio company does business, and borrower financial analysis, among other factors. As a result of this valuation process, the Company used the actual results of operations of the controlled subsidiaries as the best estimate of changes in fair value, in most cases, and recorded the results as a component of unrealized appreciation (depreciation) on investments. For the balance of controlled subsidiary investments, equity investments, and investments other than securities positions, the result of the analysis resulted in changes to the value of the position if there was clear evidence that its value had either decreased or increased in light of the specific facts considered for each investment. The valuation was highly sensitive to changes in the assumptions used. To the extent that any assumption in the analysis changed significantly from one period to another, that change could have resulted in a significantly lower or higher fair market value measurement. For example, if an investee’s valuation was determined primarily on the cash flow generated from their business, then if that cash flow deteriorated significantly from a prior period valuation, that could have a material impact on the valuation in the current period. The following tables present the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of December 31, 2017. Investment Company Accounting (Dollars in thousands) Level 1 Level 2 Level 3 Total Assets Medallion loans $ — $ — $ 208,279 $ 208,279 Commercial loans — — 90,188 90,188 Investments in Medallion Bank and other controlled subsidiaries — — 302,147 302,147 Equity investments — — 9,521 9,521 Investments other than securities — — 7,450 7,450 Other assets — — 339 339 Included in level 3 investments in Medallion Bank and other controlled subsidiaries is primarily the investment in Medallion Bank, as well as other consolidated subsidiaries such as MSC, and other investments detailed in the consolidated summary schedule of investments following these footnotes. Included in level 3 equity investments are unregistered shares of common stock in a publicly-held company, as well as certain private equity positions in non-marketable The following tables provide a summary of changes in fair value of the Company’s level 3 assets and liabilities for the nine months ended December 31, 2018 under Bank Holding Company Accounting, and for the quarter ended March 31, 2018 and year ended December 31, 2017 under Investment Company Accounting. (Dollars in thousands) Equity March 31, 2018 $ 9,458 Losses included in earnings (1,274 ) Purchases, investments, and issuances 1,232 Sales, maturities, settlements, and distributions (1,596 ) Transfers in (1) 1,377 December 31, 2018 $ 9,197 Amounts related to held assets (2) ($ 1,851 ) (1) Represents the removal of RPAC investments eliminated in consolidation as well as the transfer of LAX from controlled subsidiaries during the 2018 second quarter. (2) Total realized and unrealized gains (losses) included in income for the period which relate to assets held as of December 31, 2018. (Dollars in thousands) Medallion Commercial Investments in Equity Investments Other December 31, 2017 $ 208,279 $ 90,188 $ 302,147 $ 9,521 $ 7,450 $ 339 Gains (losses) included in earnings (38,190 ) (8 ) 29,143 (993 ) (1,915 ) — Purchases, investments, and issuances 7 7,252 462 935 — — Sales, maturities, settlements, and distributions (8,941 ) (3,812 ) (583 ) (5 ) — — March 31, 2018 $ 161,155 $ 93,620 $ 331,169 $ 9,458 $ 5,535 $ 339 Amounts related to held assets (1) ($ 38,190 ) ($ 10 ) $ 29,143 ($ 993 ) ($ 1,915 ) $ — (1) Total realized and unrealized gains (losses) included in income for the period which relate to assets held as of March 31, 2018. (Dollars in thousands) Medallion Commercial Investments in Equity Investments Other December 31, 2016 $ 266,816 $ 83,634 $ 293,360 $ 8,407 $ 9,510 $ 354 Gains (losses) included in earnings (41,555 ) (491 ) 10,761 4,727 (2,060 ) (15 ) Purchases, investments, and issuances 1,953 25,517 441 1,660 — — Sales, maturities, settlements, and distributions (18,935 ) (18,472 ) (2,415 ) (5,273 ) — — December 31, 2017 $ 208,279 $ 90,188 $ 302,147 $ 9,521 $ 7,450 $ 339 Amounts related to held assets (1) $ 37,335 ($ 410 ) $ 10,756 $ 1,941 ($ 2,060 ) ($ 15 ) (1) Total unrealized gains (losses) included in income for the year which relate to assets held as of December 31, 2017. The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring 2018 (Dollars in thousands) Level 1 Level 2 Level 3 Total Assets Impaired loans $ — $ — $ 34,877 $ 34,877 Loan collateral in process of foreclosure — — 49,495 49,495 Total $ — $ — $ 84,372 $ 84,372 Significant Unobservable Inputs ASC Topic 820 requires disclosure of quantitative information about the significant unobservable inputs used in the valuation of assets and liabilities classified as level 3 within the fair value hierarchy. The tables below are not intended to be all-inclusive, The valuation techniques and significant unobservable inputs used in recurring level 3 fair value measurements of assets and liabilities as of December 31, 2018 were as follows under Bank Holding Company Accounting. (Dollars in thousands) Fair Value Valuation Techniques Unobservable Inputs Range Equity investments $5,683 Investee financial analysis Financial condition and operating performance of the borrower N/A Collateral support N/A 1,850 Investee book value adjusted for market appreciation Financial condition and operating performance of the investee N/A Precedent arm’s length offer Business enterprise value $6,014 – $7,214 Business enterprise value/revenue multiples 0.96x – 4.54x 1,455 Precedent market transaction Offering price $8.73 / share 209 Investee book value Valuation indicated by investee filings N/A The valuation techniques and significant unobservable inputs used in recurring level 3 fair value measurements of assets and liabilities as of December 31, 2017 were as follows under Investment Company Accounting. (Dollars in thousands) Fair Value Valuation Techniques Unobservable Inputs Range Medallion Loans $208,279 Precedent market transactions Adequacy of collateral (loan to value) 1% - 420% (131%) Commercial Loans – Mezzanine and Other 90,188 Borrower financial analysis Financial condition and operating performance of N/A the borrower Portfolio yields 2% -19.00% (12.02%) Investment in Medallion Bank 290,548 Precedent M&A transactions Price/book value multiples 2.1x to 2.5x Price/earnings multiples 8.7x to 10.6x Discounted cash flow Discount rate 17.50% Terminal value $470,964 to $623,007 Investment in Other Controlled Subsidiaries 4,623 Investee financial analysis Financial condition and operating performance N/A Enterprise value $37,500 - $41,500 Equity value $2,000 - $5,000 3,878 Investee book value adjusted for asset appreciation Financial condition and operating performance of the investee N/A Third party valuation/ offer to purchase asset N/A 3,001 Investee book value adjusted for market appreciation Financial condition and operating performance of the investee N/A Third party offer to purchase investment N/A 97 Investee book value and equity pickup Financial condition and operating performance of the investee N/A Equity Investments 5,417 Investee financial analysis Financial condition and operating performance of the borrower N/A Collateral support N/A 2,193 Investee financial analysis Equity value $2,000 - Preferred equity yield 12% 1,455 Precedent market transaction Offering price $8.73/share 456 Investee book value Valuation indicated by investee filings N/A Investments Other Than Securities 7,450 Precedent market transaction Transfer prices of Chicago medallions N/A Cash flow analysis Discount rate in cash flow analysis 6% Other Assets 339 Borrower collateral analysis Adequacy of collateral (loan to value) 0% |
Investments Other Than Securiti
Investments Other Than Securities | 12 Months Ended |
Dec. 31, 2018 | |
Schedule of Investments [Abstract] | |
Investments Other Than Securities | (20) INVESTMENTS OTHER THAN SECURITIES The following table presents the Company’s investments other than securities as of December 31, 2017 under Investment Company Accounting. Investment Type (Dollars in thousands) Number of Investment Value as of City of Chicago taxicab medallions 154 (1) $ 8,411 $ 7,238 (2) City of Chicago taxicab medallions (handicap accessible) 5 (1) 278 212 (3) Total investments other than securities $ 8,689 $ 7,450 (1) Investment is not readily marketable, is considered income producing, is not subject to option, and is a non-qualifying (2) Gross unrealized appreciation, gross unrealized depreciation, and net unrealized appreciation for federal income tax purposes was $5,846, $0, and $5,846 as of December 31, 2017. The aggregate cost for federal income tax purposes was $1,392 at December 31, 2017. (3) Gross unrealized appreciation, gross unrealized depreciation, and net unrealized appreciation for federal income tax purposes was $172, $0, and $172 as of December 31, 2017. The aggregate cost for federal income tax purposes was $40 at December 31, 2017. |
Small Business Lending Fund Pro
Small Business Lending Fund Program (SBLF) and Troubled Assets Relief Program (TARP) | 12 Months Ended |
Dec. 31, 2018 | |
Text Block [Abstract] | |
Small Business Lending Fund Program (SBLF) and Troubled Assets Relief Program (TARP) | (21) SMALL BUSINESS LENDING FUND PROGRAM (SBLF) AND TROUBLED ASSETS RELIEF PROGRAM (TARP) On February 27, 2009 and December 22, 2009, Medallion Bank issued, and the U.S. Treasury purchased under the TARP Capital Purchase Program (the CPP), Medallion Bank’s fixed rate non-cumulative Perpetual Senior Non-Cumulative Perpetual |
Parent Company Only Condensed F
Parent Company Only Condensed Financial Statements | 12 Months Ended |
Dec. 31, 2018 | |
Condensed Financial Information Disclosure [Abstract] | |
Parent Company Only Condensed Financial Statements | (22) PARENT COMPANY ONLY CONDENSED FINANCIAL STATEMENTS The following shows the condensed financial information of Medallion Financial Corp. (parent company only) under Bank Holding Company Accounting. Condensed balance sheet ( Dollars in thousands) December 31, 2018 Assets Cash $ 1,110 Net loans receivable 37,737 Loans collateral in process of foreclosure 12,001 Goodwill and intangible assets 178,621 Investments in bank subsidiaries 142,469 Investments in non-bank 91,059 Other assets 5,776 Total assets $ 468,773 Liabilities Other liabilities $ 9,073 Intercompany payables 63,352 Short-term borrowings 38,870 Deferred tax liabilities and other tax payables 28,245 Long-term borrowings 66,625 Total liabilities 206,165 Total stockholders’ equity 262,608 Total liabilities and equity $ 468,773 Condensed statements of operations ( Dollars in thousands) Nine Months Interest income $ (1,958 ) Interest expense 5,480 Net interest loss (7,438 ) Provision for loan losses 19,190 Net interest loss after provision for loan losses (26,628 ) Other income (expenses), net (16,913 ) Loss before income taxes and undistributed earnings of subsidiaries (43,541 ) Income tax benefit 5,328 Loss before undistributed earnings of subsidiaries (38,213 ) Undistributed earnings of subsidiaries 28,041 Net loss attributable to parent company $ (10,172 ) Condensed statement of other comprehensive loss ( Dollars in thousands) Nine Months Ended Net loss $ (10,172 ) Other comprehensive loss (82 ) Total comprehensive loss attributable to MFIN $ (10,254 ) Condensed statement of cash flow ( Dollars in thousands) Nine Months Ended CASH FLOWS FROM OPERATING ACTIVITIES Net loss $ (10,172 ) Adjustments to reconcile net loss to net cash provided by operating activities: Equity in undistributed earnings of subsidiaries (28,041 ) Provision for loan losses 19,190 Depreciation and amortization 5,451 Change in deferred and other tax assets/liabilities, net 4,512 Proceeds loan collateral in process of foreclosure 487 Net change in loan collateral in process of foreclosure 678 Stock-based compensation expense 425 Decrease in other assets 4,073 Decrease in intercompany payables (3,368 ) Increase in other liabilities 4,237 Net cash used by operating activities (2,528 ) CASH FLOWS FROM INVESTING ACTIVITIES Loans originated (309 ) Proceeds from principal receipts, sales, and maturities of loans 10,900 Dividends from subsidiaries 5,200 Net cash provided by investing activities 15,791 CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from funds borrowed — Repayments of funds borrowed (17,208 ) Net cash used for financing activities (17,208 ) NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (3,945 ) Cash and cash equivalents, 5,055 Cash and cash equivalents, $ 1,110 |
Variable Interest Entities (VIE
Variable Interest Entities (VIE) | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entities (VIE) | (23) VARIABLE INTEREST ENTITIES (VIE) During the 2018 third quarter, the Company determined that Trust III was a VIE. Trust III had been consolidated as a subsidiary of MFC historically, although it should have been consolidated under the variable interest model, since MFC was its primary beneficiary until October 31, 2018. Trust III is a VIE since the key decision-making authority rests in the servicing agreement (where MFC is the servicer for Trust III) rather than in the voting rights of the equity interests and as a result the decision-making rights are considered a variable interest. This conclusion is supported by a qualitative assessment that Trust III does not have sufficient equity at risk. Since the inception of Trust III, MFC had also been party to a limited guaranty which was considered a variable interest because, pursuant to the guaranty, MFC absorbed variability as a result of the on-going The following table shows the assets and liabilities of Trust III as December 31, 2017 when it had been a consolidated VIE. Investment ( Dollars in thousands) December 31, 2017 Assets Cash $ 393 Net investments 96,688 Accrued interest receivable 170 Total assets $ 97,251 Liabilities Accrued interest payable $ 1,849 DZ loan 99,984 Total liabilities $ 101,833 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | (24) SUBSEQUENT EVENTS On February 28, 2019, a credit facility with a maturity date of March 1, 2019 was extended until September 1, 2020. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Change to Bank Holding Company Accounting | Change to Bank Holding Company Accounting Effective April 2, 2018, the Company withdrew its previous election to be regulated as a business development company (BDC) under the Investment Company Act of 1940 (the 1940 Act). Prior to such time, the Company was a closed-end, |
Use of Estimates | Use of Estimates The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the U.S. (GAAP) requires management to make estimates that affect the amounts reported in the consolidated financial statements and the accompanying notes. Accounting estimates and assumptions are those that management considers to be the most critical to an understanding of the consolidated financial statements because they inherently involve significant judgments and uncertainties. All of these estimates reflect management’s best judgment about current economic and market conditions and their effects based on information available as of the date of these consolidated financial statements. If such conditions change, it is reasonably possible that the judgments and estimates could change, which may result in future impairments of loans and loans in process of foreclosure, goodwill and intangible assets, and investments, among other effects. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company and all of its wholly-owned and controlled subsidiaries commencing with the three months ended June 30, 2018. All significant intercompany transactions, balances, and profits (losses) have been eliminated in consolidation. As a result of the Company’s election to withdraw from being regulated as a BDC under the 1940 Act, effective April 2, 2018, Medallion Bank and various other Company subsidiaries were not consolidated with the Company prior to the three months ended June 30, 2018. See Note 6 for the presentation of financial information for Medallion Bank and other controlled subsidiaries for such prior periods. The consolidated financial statements have been prepared in accordance with GAAP. The Company consolidates all entities it controls through a majority voting interest, a controlling interest through other contractual rights, or as being identified as the primary beneficiary of VIEs. The primary beneficiary is the party who has both (1) the power to direct the activities of a VIE that most significantly impact the entity’s economic performance and (2) an obligation to absorb losses of the entity or a right to receive benefits from the entity that could potentially be significant to the entity. For consolidated entities that are less than wholly owned, the third-party’s holding is recorded as non-controlling |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid instruments with an original purchased maturity of three months or less to be cash equivalents. Cash balances are generally held in accounts at large national or regional banking organizations in amounts that exceed the federally insured limits. |
Fair Value of Assets and Liabilities | Fair Value of Assets and Liabilities The Company follows FASB Accounting Standards Codification Topic 820, Fair Value Measurements and Disclosures (FASB ASC 820), which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. FASB ASC 820 defines fair value as an exit price (i.e. a price that would be received to sell, as opposed to acquire, an asset or transfer a liability), and emphasizes that fair value is a market-based measurement. It establishes a fair value hierarchy that distinguishes between assumptions developed based on market data obtained from independent external sources and the reporting entity’s own assumptions. Further, it specifies that fair value measurement should consider adjustment for risk, such as the risk inherent in the valuation technique or its inputs. See also Notes 18 and 19 to the consolidated financial statements. |
Equity Investments | Equity Investments Equity investments of $9,197,000 at December 31, 2018, comprised mainly of nonmarketable stock and stock warrants, are recorded at cost and are evaluated for impairment periodically. Prior to April 2, 2018, equity investments were recorded at fair value, represented as cost, plus or minus unrealized appreciation or depreciation. The fair value of investments that had no ready market were determined in good faith by the Board of Directors, based upon the financial condition and operating performance of the underlying investee companies as well as general market trends for businesses in the same industry. Included in the equity investments were non-marketable |
Investment Securities (Bank Holding Company Accounting) | Investment Securities (Bank Holding Company Accounting) The Company follows FASB ASC Topic 320, Investments–Debt and Equity Securities (ASC 320), which requires that all applicable investments in equity securities with readily determinable fair values, and debt securities be classified as trading securities, available-for-sale securities, or held-to-maturity securities. that held-to-maturity securities available-for-sale . |
Other Investment Valuation (Investment Company Accounting) | Other Investment Valuation (Investment Company Accounting) Prior to April 2, 2018, under the 1940 Act, the Company’s investment in Medallion Bank, as a wholly owned portfolio investment, was subject to quarterly assessments of fair value. The Company conducted a thorough valuation analysis, and also received an opinion regarding the valuation from an independent third party to assist the Board of Directors in its determination of the fair value of Medallion Bank on at least an annual basis. The Company’s analysis included factors such as various regulatory restrictions that were established at Medallion Bank’s inception, by the FDIC and State of Utah, and also by additional regulatory restrictions, such as the prior moratorium imposed by the Dodd-Frank Act on the acquisition of control of an industrial bank by a “commercial firm” (a company whose gross revenues are primarily derived from non-financial At December 31, 2017, there were non-marketable |
Loans | Loans The Company’s loans are currently reported at the principal amount outstanding, inclusive of deferred loan acquisition costs, which primarily includes deferred fees paid to loan originators, and which is amortized to interest income over the life of the loan. Effective April 2, 2018, the existing loan balances were adjusted to fair value in connection with the change in reporting, and balances, net of reserves and fees, became the opening balances. Loan origination fees and certain direct origination costs are deferred and recognized as an adjustment to the yield of the related loans. At December 31, 2018 and December 31, 2017, net loan origination costs were $14,416,000 and $90,000 ($11,183,000 when combined with Medallion Bank). The 2018 amount reflects the amount of origination costs that were netted into the loan balances at April 2, 2018. Net amortization (accretion) to income for the years ended December 31, 2018, 2017 and 2016 was $3,128,000 ($3,993,000 when combined with Medallion Bank), $68,000 ($3,581,000 when combined with Medallion Bank), and ($49,000) ($3,440,000 when combined with Medallion Bank). Interest income is recorded on the accrual basis. Taxicab medallion and commercial loans are placed on nonaccrual status, and all uncollected accrued interest is reversed, when there is doubt as to the collectability of interest or principal, or if loans are 90 days or more past due, unless management has determined that they are both well-secured and in the process of collection. Interest income on nonaccrual loans is generally recognized when cash is received, unless a determination has been made to apply all cash receipts to principal. The consumer portfolio has different characteristics, typified by a larger number of lower dollar loans that have similar characteristics. A loan is considered to be impaired, or nonperforming, when based on current information and events, it is likely the Company will be unable to collect all amounts due according to the contractual terms of the original loan agreement. Management considers loans that are in bankruptcy status, but have not been charged-off, to charged-off Loan collateral in process of foreclosure primarily includes taxicab medallion loans that have reached 120 days past due and have been charged down to their net realizable value, in addition to consumer repossessed collateral in the process of being sold. The taxicab medallion loan component reflects that the collection activities on the loans have transitioned from working with the borrower to the liquidation of the collateral securing the loans. The Company had $40,500,000 and $183,529,000 of net loans pledged as collateral under borrowing arrangements at December 31, 2018 and December 31, 2017. The Company accounts for its sales of loans in accordance with FASB Accounting Standards Codification Topic 860, Transfers and Servicing (FASB ASC 860), which provides accounting and reporting standards for transfers and servicing of financial assets and extinguishments of liabilities. In accordance with FASB ASC 860, the Company had elected the fair value measurement method for its servicing assets and liabilities. The principal portion of loans serviced for others by the Company and its affiliates was $140,180,000 at December 31, 2018 and $338,867,000 at December 31, 2017, which included $311,988,000 of loans serviced for Medallion Bank. The Company has evaluated the servicing aspect of its business in accordance with FASB ASC 860, which relates to servicing assets held by MFC (related to the remaining assets in Trust III) and Medallion Bank, and determined that no material servicing asset or liability existed as of December 31, 2018 and 2017. The Company assigned its servicing rights of the Medallion Bank portfolio to MSC. The costs of servicing were allocated to MSC by the Company, and the servicing fee income was billed to and collected from Medallion Bank by MSC. |
Allowance for Loan Losses (Bank Holding Company Accounting) | Allowance for Loan Losses (Bank Holding Company Accounting) The allowance for loan losses is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral, prevailing economic conditions, and excess concentration risks. In analyzing the adequacy of the allowance for loan losses, the Company uses historical delinquency and actual loss rates with a one year lookback period for consumer loans. For commercial loans deemed nonperforming, the historical loss experience and other projections are looked at, and for medallion loans, nonperforming loans are valued at the median sales price over the most recent quarter, and performing medallion loans are reserved utilizing historical loss ratios over a three year lookback period. This evaluation is inherently subjective, as it requires estimates that are susceptible to significant revision as more information becomes available. As a result, reserves of $5,708,000 were recorded by the Company as a general reserve on medallion loans as an additional buffer against future losses, not including the Bank general reserve of $17,351,000 which was netted against loan balances at consolidation on April 2, 2018. Credit losses are deducted from the allowance and subsequent recoveries are added back to the allowance. |
Unrealized Appreciation (Depreciation) and Realized Gains (Losses) on Investments (Investment Company Accounting) | Unrealized Appreciation (Depreciation) and Realized Gains (Losses) on Investments (Investment Company Accounting) Prior to April 2, 2018, under Investment Company Accounting, the Company’s loans, net of participations and any unearned discount, were considered investment securities under the 1940 Act and recorded at fair value. As part of the fair value methodology, loans were valued at cost adjusted for any unrealized appreciation (depreciation). Since no ready market existed for these loans, the fair value was determined in good faith by the Board of Directors. In determining the fair value, the Board of Directors considered factors such as the financial condition of the borrower, the adequacy of the collateral, individual credit risks, cash flows of the borrower, market conditions for loans (e.g. values used by other lenders and any active bid/ask market), historical loss experience, and the relationships between current and projected market rates and portfolio rates of interest and maturities. Investments other than securities, which represent collateral received from defaulted borrowers, were valued similarly. Under Investment Company Accounting, the Company recognized unrealized appreciation (depreciation) on investments as the amount by which the fair value estimated by the Company is greater (less) than the cost basis of the investment portfolio. Realized gains or losses on investments are generated through sales of investments, foreclosure on specific collateral, and writeoffs of loans or assets acquired in satisfaction of loans, net of recoveries. Unrealized appreciation on investments was $139,700,000 as of December 31, 2017. Refer to Note 5 for additional details. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The Company’s goodwill and intangible assets arose as a result of the excess of fair value over book value for several of the Company’s previously unconsolidated portfolio investment companies as of April 2, 2018. This fair value was brought forward under the Company’s new reporting, and was subject to a purchase price accounting allocation process conducted by an independent third party expert to arrive at the current categories and amounts. Goodwill is not amortized, but is subject to impairment testing on an annual basis. Intangible assets are amortized over their useful life of approximately 20 years. See below for detailed information on the fair value allocation as of April 2, 2018. As of December 31, 2018, the Company had goodwill of $150,803,000, which all related to the Bank, and intangible assets of $53,982,000, and recognized $1,083,000 of amortization expense on the intangible assets for the year then ended (at a rate of $361,000 per quarter for three quarters). The Company engaged an expert to assess the goodwill and intangibles for impairment, who concluded there was no impairment on Medallion Bank and impairment on the RPAC intangible asset was $5,615,000, which was recorded in the 2018 fourth quarter. The table below shows the initial fair value detail inclusive of the goodwill and intangible assets related to the Bank as of April 2, 2018. (in thousands) Fair Value as of Allocation as Medallion Bank Assets Net loans (1) $ 890,000 Other assets 130,393 Liabilities Funds borrowed and other liabilities (853,650 ) Total fair value excluding goodwill and intangibles 166,743 Goodwill 150,803 Intangibles 28,900 Total fair value (2) $ 346,446 $ 346,446 (1) Includes $12,387 of premiums associated with the loan portfolio. (2) Includes $26,303 of preferred stock held by the U.S. Treasury. See Note 21 for details. The table below shows the initial fair value detail inclusive of the intangible assets related to RPAC as of April 2, 2018. (in thousands) Fair Value as Allocation as RPAC Assets Cash $ 1,647 Net fixed assets 774 Race cars and parts, net 203 Race cars held for sale 916 Other assets 1,902 Liabilities Deferred revenue (6,531 ) Notes payable (1) (27,220 ) Other liabilities (2,275 ) Total fair value excluding goodwill and intangibles (30,584 ) Intangibles (2) 31,779 Total fair value (3) $ 1,195 $ 1,195 (1) Includes $20,177 due to the Company and its affiliates as of March 31, 2018. (2) As of December 31, 2018 an assessment of the intangible asset resulted in impairment of $5,615 based upon the analysis of current market conditions using discounted cash flows. (3) Fair value as of March 31, 2018 represents the Company’s investment in RPAC series D units. The table below shows the details of the intangible assets as of December 31, 2018. (in thousands) December 31, Brand- related intellectual property $ 21,176 Home improvement contractor relationships 6,641 Race organization 26,165 Total intangible assets $ 53,982 |
Fixed Assets | Fixed Assets Fixed assets are carried at cost less accumulated depreciation and amortization, and are depreciated on a straight-line basis over their estimated useful lives of 3 to 10 years. Leasehold improvements are amortized on a straight-line basis over the shorter of the lease term or the estimated economic useful life of the improvement. Depreciation and amortization expense was $422,000, $94,000 ($232,000 had Medallion Bank been consolidated), and $110,000 ($225,000 had Medallion Bank been consolidated) for the years ended December 31, 2018, 2017, and 2016. |
Deferred Costs | Deferred Costs Deferred financing costs, included in other assets, represents costs associated with obtaining the Company’s borrowing facilities, and is amortized on a straight line basis over the lives of the related financing agreements. Amortization expense was $1,864,000, $925,000 ($2,255,000 had Medallion Bank been consolidated), and $722,000 ($2,091,000 had Medallion Bank been consolidated) for the years ended December 31, 2018, 2017, and 2016, recorded as interest expense. In addition, the Company capitalizes certain costs for transactions in the process of completion (other than business combinations), including those for potential investments, and the sourcing of other financing alternatives. Upon completion or termination of the transaction, any accumulated amounts will be amortized against income over an appropriate period, or written off. The amounts on the Company’s balance sheet for all of these purposes were $4,461,000 and $3,070,000 ($5,011,000 had Medallion Bank been consolidated) at December 31, 2018 and 2017. |
Income Taxes | Income Taxes Income taxes are accounted for using the asset and liability approach in accordance with FASB ASC Topic 740, Income Taxes (ASC 740). Deferred tax assets and liabilities reflect the impact of temporary differences between the carrying amount of assets and liabilities and their tax basis and are stated at tax rates expected to be in effect when taxes are actually paid or recovered. Deferred tax assets are also recorded for net operating losses, capital losses and any tax credit carryforwards. A valuation allowance is provided against a deferred tax asset when it is more likely than not that some or all of the deferred tax assets will not be realized. All available evidence, both positive and negative, is considered to determine whether a valuation allowance for deferred tax assets is needed. Items considered in determining our valuation allowance include expectations of future earnings of the appropriate tax character, recent historical financial results, tax planning strategies, the length of statutory carryforward periods and the expected timing of the reversal of temporary differences. Under ASC 740, forming a conclusion that a valuation allowance is not needed is difficult when there is negative evidence, such as cumulative losses in recent years. The Company recognizes tax benefits of uncertain tax positions only when the position is more likely than not to be sustained assuming examination by tax authorities. The Company records income tax related interest and penalties, if applicable, within current income tax expense. |
Sponsorship and Race Winnings | Sponsorship and Race Winnings The Company accounts for the sponsorship and race winnings revenue under FASB ASC Topic 606, Revenue from Contracts with Customers. Sponsorship revenue is recognized based upon the contract terms and only over the course of the whole season, will revenue be recognized evenly throughout the ten months. Race winnings revenue is recognized after each race during the season based upon terms provided by NASCAR and the placement of the driver. |
Earnings (Loss) Per Share (EPS) | Earnings (Loss) Per Share (EPS) Basic earnings (loss) per share are computed by dividing net income (loss)/net increase (decrease) in net assets resulting from operations available to common shareholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if option contracts to issue common stock were exercised, or if restricted stock vests, and has been computed after giving consideration to the weighted average dilutive effect of the Company’s stock options and restricted stock. The Company uses the treasury stock method to calculate diluted EPS, which is a method of recognizing the use of proceeds that could be obtained upon exercise of options and warrants, including unvested compensation expense related to the shares, in computing diluted EPS. It assumes that any proceeds would be used to purchase common stock at the average market price during the period. The table below shows the calculation of basic and diluted EPS. Years Ended December 31, (Dollars in thousands) 2018 2017 2016 Net (loss)/net increase in net assets resulting from operations available to common shareholders $ (25,046 ) $ 278 $ 23,515 Weighted average common shares outstanding applicable to basic EPS 24,214,978 23,919,994 24,123,888 Effect of dilutive stock options — 439 230 Effect of restricted stock grants — 132,874 48,902 Adjusted weighted average common shares outstanding applicable to diluted EPS 24,214,978 24,053,307 24,173,020 Basic earnings (loss) per share $ (1.03 ) $ 0.01 $ 0.97 Diluted earnings (loss) per share (1.03 ) 0.01 0.97 Potentially dilutive common shares excluded from the above calculations aggregated 100,000, 366,245, and 346,232 shares as of December 31, 2018, 2017, and 2016. |
Stock Compensation | Stock Compensation The Company follows FASB ASC Topic 718 (ASC 718), Compensation – Stock Compensation, for its equity incentive, stock option, and restricted stock plans, and accordingly, the Company recognizes the expense of these grants as required. Stock-based employee compensation costs pertaining to stock options is reflected in net increase in net income/net assets resulting from operations for any new grants using the fair values established by usage of the Black-Scholes option pricing model, expensed over the vesting period of the underlying option. Stock-based employee compensation costs pertaining to restricted stock are reflected in net income/net increase net assets resulting from operations for any new grants using the grant date fair value of the shares granted, expensed over the vesting period of the underlying stock. During 2018, 2017, and 2016, the Company issued 101,010, 327,251, and 48,527 restricted shares of stock-based compensation awards, and issued 39,000, 29,666, and 12,000 shares of other stock-based compensation awards, and recognized $576,000, $785,000, and $568,000, or $0.02, $0.03, and $0.02 per diluted common share for each respective year, of non-cash |
Regulatory Capital | Regulatory Capital Medallion Bank is subject to various regulatory capital requirements administered by the FDIC and the Utah Department of Financial Institutions. Failure to meet minimum capital requirements can initiate certain mandatory and possible additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet FDIC-insured banks, including Medallion Bank, are subject to certain federal laws, which impose various legal limitations on the extent to which banks may finance or otherwise supply funds to certain of their affiliates. In particular, Medallion Bank is subject to certain restrictions on any extensions of credit to, or other covered transactions, such as certain purchases of assets, with the Company or its affiliates. Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios as defined in the regulations (set forth in the table below). Additionally, as conditions of granting the Bank’s application for federal deposit insurance, the FDIC ordered that the Tier 1 leverage capital to total assets ratio, as defined, be not less than 15%, which would preclude their ability to pay dividends to the Company, and that an adequate allowance for loan losses be maintained. As of December 31, 2018, the Bank’s Tier 1 leverage ratio was 15.85%. The Bank’s actual capital amounts and ratios, and the regulatory minimum ratios are presented in the following table. Regulatory (Dollars in thousands) Minimum Well-capitalized December 31, 2018 December 31, 2017 Common equity Tier 1 capital — — $ 141,608 $ 137,494 Tier 1 capital — — 167,911 163,797 Total capital — — 180,917 176,876 Average assets — — 1,059,461 1,127,087 Risk-weighted assets — — 993,374 995,145 Leverage ratio (1) 4.0 % 5.0 % 15.8 % 14.5 % Common equity Tier 1 capital ratio (2) 4.5 6.5 14.3 13.8 Tier 1 capital ratio (3) 6.0 8.0 16.9 16.5 Total capital ratio (3) 8.0 10.0 18.2 17.8 (1) Calculated by dividing Tier 1 capital by average assets. (2) Calculated by subtracting preferred stock or non-controlling (3) Calculated by dividing Tier 1 or total capital by risk-weighted assets. In addition, the Bank is subject to a Common Equity Tier 1 capital conservation buffer on top of the minimum risk-based capital ratios. The implementation of the capital conservation buffer began on January 1, 2016 at the 0.625% level and increased by 0.625% each subsequent January 1 until January 1, 2019. Including the buffer, commencing January 1, 2019, the Bank is required to maintain the following minimum capital ratios: a Common Equity Tier 1 risk-based capital ratio of greater than 7.0%, a Tier 1 risk-based capital ratio of greater than 8.5% and a total risk-based capital ratio of greater than 10.5%. |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In August 2018, the FASB issued ASU 2018-13 In January 2017, the FASB issued ASU 2017-04 In June 2016, the FASB issued ASU 2016-13, “Financial ASU 2016-13 applies In February 2016, the FASB issued ASU 2016-02, Leases ASU 2016-02 requires ASU 2016-02 applies |
Reclassifications | Reclassifications Certain reclassifications have been made to prior year balances to conform with the current year presentation. These reclassifications have no effect on the previously reported results of operations. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Purchase Price Accounting | The Company’s goodwill and intangible assets arose as a result of the excess of fair value over book value for several of the Company’s previously unconsolidated portfolio investment companies as of April 2, 2018. This fair value was brought forward under the Company’s new reporting, and was subject to a purchase price accounting allocation process conducted by an independent third party expert to arrive at the current categories and amounts. Goodwill is not amortized, but is subject to impairment testing on an annual basis. Intangible assets are amortized over their useful life of approximately 20 years. See below for detailed information on the fair value allocation as of April 2, 2018. As of December 31, 2018, the Company had goodwill of $150,803,000, which all related to the Bank, and intangible assets of $53,982,000, and recognized $1,083,000 of amortization expense on the intangible assets for the year then ended (at a rate of $361,000 per quarter for three quarters). The Company engaged an expert to assess the goodwill and intangibles for impairment, who concluded there was no impairment on Medallion Bank and impairment on the RPAC intangible asset was $5,615,000, which was recorded in the 2018 fourth quarter. The table below shows the initial fair value detail inclusive of the goodwill and intangible assets related to the Bank as of April 2, 2018. (in thousands) Fair Value as of Allocation as Medallion Bank Assets Net loans (1) $ 890,000 Other assets 130,393 Liabilities Funds borrowed and other liabilities (853,650 ) Total fair value excluding goodwill and intangibles 166,743 Goodwill 150,803 Intangibles 28,900 Total fair value (2) $ 346,446 $ 346,446 (1) Includes $12,387 of premiums associated with the loan portfolio. (2) Includes $26,303 of preferred stock held by the U.S. Treasury. See Note 21 for details. The table below shows the initial fair value detail inclusive of the intangible assets related to RPAC as of April 2, 2018. (in thousands) Fair Value as Allocation as RPAC Assets Cash $ 1,647 Net fixed assets 774 Race cars and parts, net 203 Race cars held for sale 916 Other assets 1,902 Liabilities Deferred revenue (6,531 ) Notes payable (1) (27,220 ) Other liabilities (2,275 ) Total fair value excluding goodwill and intangibles (30,584 ) Intangibles (2) 31,779 Total fair value (3) $ 1,195 $ 1,195 (1) Includes $20,177 due to the Company and its affiliates as of March 31, 2018. (2) As of December 31, 2018 an assessment of the intangible asset resulted in impairment of $5,615 based upon the analysis of current market conditions using discounted cash flows. (3) Fair value as of March 31, 2018 represents the Company’s investment in RPAC series D units. The table below shows the details of the intangible assets as of December 31, 2018. (in thousands) December 31, Brand- related intellectual property $ 21,176 Home improvement contractor relationships 6,641 Race organization 26,165 Total intangible assets $ 53,982 |
Summary of the Calculation of Basic and Diluted EPS | The table below shows the calculation of basic and diluted EPS. Years Ended December 31, (Dollars in thousands) 2018 2017 2016 Net (loss)/net increase in net assets resulting from operations available to common shareholders $ (25,046 ) $ 278 $ 23,515 Weighted average common shares outstanding applicable to basic EPS 24,214,978 23,919,994 24,123,888 Effect of dilutive stock options — 439 230 Effect of restricted stock grants — 132,874 48,902 Adjusted weighted average common shares outstanding applicable to diluted EPS 24,214,978 24,053,307 24,173,020 Basic earnings (loss) per share $ (1.03 ) $ 0.01 $ 0.97 Diluted earnings (loss) per share (1.03 ) 0.01 0.97 |
Summary of Bank's Actual Capital Amounts and Ratios, and the Regulatory Minimum Ratios | The Bank’s actual capital amounts and ratios, and the regulatory minimum ratios are presented in the following table. Regulatory (Dollars in thousands) Minimum Well-capitalized December 31, 2018 December 31, 2017 Common equity Tier 1 capital — — $ 141,608 $ 137,494 Tier 1 capital — — 167,911 163,797 Total capital — — 180,917 176,876 Average assets — — 1,059,461 1,127,087 Risk-weighted assets — — 993,374 995,145 Leverage ratio (1) 4.0 % 5.0 % 15.8 % 14.5 % Common equity Tier 1 capital ratio (2) 4.5 6.5 14.3 13.8 Tier 1 capital ratio (3) 6.0 8.0 16.9 16.5 Total capital ratio (3) 8.0 10.0 18.2 17.8 (1) Calculated by dividing Tier 1 capital by average assets. (2) Calculated by subtracting preferred stock or non-controlling (3) Calculated by dividing Tier 1 or total capital by risk-weighted assets. |
Investment Securities (Tables)
Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Investments Schedule [Abstract] | |
Summary of Fixed Maturity Securities Available for Sale | Fixed maturity securities available for sale at December 31, 2018 consisted of the following: (Dollars in thousands) Amortized Cost Gross Gross Unrealized Fair Value Mortgage-backed securities, principally obligations of US federal agencies $ 32,184 $ 15 $ (742 ) $ 31,457 State and municipalities 14,239 35 (407 ) 13,867 Total $ 46,423 $ 50 $ (1,149 ) $ 45,324 |
Summary of Amortized Cost and Estimated Market Value of Investment Securities by Contractual Maturity | The amortized cost and estimated market value of investment securities as of December 31, 2018 by contractual maturity are shown below. Actual maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. (Dollars in thousands) Amortized Fair Due in one year or less $ 26 $ 26 Due after one year through five years 9,040 8,834 Due after five years through ten years 11,487 11,218 Due after ten years 25,870 25,246 Total $ 46,423 $ 45,324 |
Summary of Securities with Gross Unrealized Losses | Information pertaining to securities with gross unrealized losses at December 31, 2018, aggregated by investment category and length of time that individual securities have been in a continuous loss position follows. Less than Twelve Months Twelve Months and Over (Dollars in thousands) Gross Unrealized Fair Value Gross Unrealized Fair Value Mortgage-backed securities, principally obligations of US federal agencies $ (54 ) $ 4,616 $ (688 ) $ 24,871 State and municipalities (78 ) 5,429 (329 ) 6,259 Total $ (132 ) $ 10,045 $ (1,017 ) $ 31,130 |
Loans and Allowance for Loan _2
Loans and Allowance for Loan Losses (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text Block [Abstract] | |
Summary of Inclusive Capitalized Loans | The following table shows the major classification of loans, inclusive of capitalized loan origination costs, at December 31, 2018. (Dollars in thousands) Amount As a Recreation $ 587,038 58 % Home improvement 183,155 18 Commercial 64,083 6 Medallion 183,606 18 Total gross loans 1,017,882 100 % Allowance for loan losses (36,395 ) Total net loans $ 981,487 |
Summary of Activity in Allowance for Loan Losses | The following table sets forth the activity in the allowance for loan losses for the nine months ended December 31, 2018. (Dollars in thousands) Nine Months Allowance for loan losses – beginning balance (1) $ — Charge-offs Recreation (12,697 ) Home improvement (1,562 ) Commercial — Medallion (14,277 ) Total charge-offs (28,536 ) Recoveries Recreation 4,437 Home improvement 905 Commercial 4 Medallion 577 Total recoveries 5,923 Net charge-offs (22,613 ) (2) Provision for loan losses (3) 59,008 Allowance for loan losses – ending balance $ 36,395 (1) Beginning balance for the nine months ended reflects the transition to Bank Holding Company Accounting by netting previously established unrealized depreciation against the gross loan balances, resulting in a starting point of zero for this table. (2) As of December 31, 2018, cumulative charge-offs of loans and loans in process of foreclosure in the medallion portfolio were $215,789, representing collection opportunities for the Company. (3) Includes $5,708 of a general reserve, for the Company, for current and performing medallion loans under 90 days past due, as an additional buffer against future losses, representing 16% of the total allowance, and 3.54% of the loans in question. This figure excludes the general reserve for the Bank, which was netted against loan balances at consolidation on April 2, 2018. |
Summary of Composition of Allowance for Loan Losses by Type of Loan | The following table sets forth the composition of the allowance for loan losses by type as of December 31, 2018. (Dollars in thousands) Amount Percentage Allowance as a Recreation $ 6,856 19 % 1.17 % Home Improvement 1,796 5 0.98 Commercial — — 0.00 Medallion 27,743 76 15.11 Total $ 36,395 100 % 3.58 % |
Summary of Total Nonaccrual Loans and Foregone Interest | The following table presents total nonaccrual loans and foregone interest, substantially all of which is in the medallion portfolio. The decline reflects the charge-offs of certain loans and their movement to loan collateral in process of foreclosure. The fluctuation in nonaccrual interest foregone is due to past due loans and market conditions. Bank Holding Investment Company Accounting (Dollars in thousands) December 31, 2018 December 31, 2017 (1) December 31, 2016 (2) Total nonaccrual loans $ 34,877 $ 98,494 $ 77,161 Interest foregone for the year 1,153 823 1,317 Amount of foregone interest applied to principal for the year 535 52 638 Interest foregone life-to-date 1,952 12,485 10,658 Amount of foregone interest applied to principal life-to-date 1,214 3,495 7,834 Percentage of nonaccrual loans to gross loan portfolio 3% 31% 20% (1) Does not include Medallion Bank nonaccrual loans of $32,668, interest income foregone for the year of $795 and foregone interest paid and applied to principal for the year of $917, interest income foregone life-to-date life-to-date (2) Does not include Medallion Bank nonaccrual loans of $52,020, interest income foregone for the year of $683 and foregone interest paid and applied to principal for the year of $402, interest income foregone life-to-date life-to-date |
Summary of Performance Status of Loan | The following presents our performance status of loans as of December 31, 2018 under Bank Holding Company Accounting. (Dollars in thousands) Performing Nonperforming Total Percentage of Recreation $ 581,250 $ 5,788 $ 587,038 0.99 % Home improvement 183,018 137 183,155 0.07 Commercial 60,249 3,834 64,083 5.98 Medallion 158,488 25,118 183,606 13.68 Total $ 983,005 $ 34,877 $ 1,017,882 3.43 % |
Summary of Attributes of Nonperforming Loan Portfolio | The following table provides additional information on attributes of the nonperforming loan portfolio as of December 31, 2018 under Bank Holding Company Accounting, all of which had an allowance recorded against the principal balance. December 31, 2018 Nine Months Ended December 31, 2018 (Dollars in thousands) Recorded Unpaid Related Average Investment Interest Income With an allowance recorded Recreation $ 5,788 $ 5,788 $ 204 $ 6,165 $ 357 Home improvement 137 137 3 137 — Commercial 3,834 3,929 — 6,036 (12) Medallion 25,118 26,237 22,035 46,176 482 Total with allowance $ 34,877 $ 36,091 $ 22,242 $ 58,514 $ 827 Total nonperforming loans $ 34,877 $ 36,091 $ 22,242 $ 58,514 $ 827 The following table provides additional information on attributes of the nonperforming loan portfolio as of December 31, 2017 under Investment Company Accounting. (Dollars in thousands) Recorded (1) (2) Unpaid Principal Average Recorded December 31, 2017 Medallion (3) $ 79,871 $ 82,612 $ 128,671 Commercial (3) 18,623 20,491 18,792 (1) As of December 31, 2017, $20,851 of unrealized depreciation was recorded as a valuation allowance on these loans. (2) Interest income of $1,729 was recognized on loans for the year ended December 31, 2017. (3) Included in the unpaid principal balance is unearned paid-in-kind |
Summary of Aging of Loans | The following tables show the aging of all loans as of December 31, 2018 and December 31, 2017. Bank Holding Company Accounting Days Past Due Recorded December 31, 2018 (Dollars in thousands) 31-60 61-90 91 + Total Current Total (1) Recreation $ 18,483 $ 5,655 $ 4,020 $ 28,158 $ 539,051 $ 567,209 $ — Home improvement 715 283 135 1,133 184,528 185,661 — Commercial — 454 279 733 63,350 64,083 — Medallion 8,689 3,652 15,720 28,061 148,774 176,835 — Total $ 27,887 $ 10,044 $ 20,154 $ 58,085 $ 935,703 $ 993,788 $ — (1) Excludes loan premiums of $9,047 resulting from purchase price accounting and $15,047 of capitalized loan origination costs. Investment Company Accounting Days Past Due Recorded December 31, 2017 (Dollars in thousands) 31-60 61-90 91 + Total Current Total Medallion loans $ 16,049 $ 12,387 $ 59,701 $ 88,137 $ 140,279 $ 228,416 $ 265 Commercial loans Secured mezzanine — — — — 88,334 88,334 — Other secured commercial — — 749 749 1,728 2,477 — Total commercial loans — — 749 749 90,062 90,811 — Total $ 16,049 $ 12,387 $ 60,450 $ 88,886 $ 230,341 $ 319,227 $ 265 |
Summary of Troubled Debt Restructurings | The following table shows the troubled debt restructurings which the Company entered into during the year ended December 31, 2018. (Dollars in thousands) Number of Loans Pre- Post- Medallion loans 11 $ 5,581 $ 5,581 The following table shows troubled debt restructurings which the Company entered into during the year ended December 31, 2017. (Dollars in thousands) Number of Loans Pre-Modification Post- Medallion loans 63 $ 39,898 $ 39,824 Commercial loans 2 6,547 6,547 Total 65 $ 46,445 $ 46,371 |
Summary of Activities of the Loans in Process of Foreclosure Related to Recreation and Medallions Loans | The following table shows the activity of the loans in process of foreclosure, which relates only to the recreation and medallions loans, for the nine months ended December 31, 2018. (Dollars in thousands) Recreation Medallions Total Loans in process of foreclosure – beginning balance (1) $ 1,369 $ 51,479 $ 52,848 Transfer from loans 9,289 25,369 34,658 Loan in process of foreclosure sales (451 ) (2,533 ) (2,984 ) Principal payments — (4,275 ) (4,275 ) Collateral adjustment (4,350 ) (4,122 ) (8,472 ) Liquidation (4,354 ) (62 ) (4,416 ) Deconsolidation of Trust III — (17,864 ) (17,864 ) Total $ 1,503 $ 47,992 $ 49,495 (1) Beginning balance for the nine months ended December 31, 2018 reflects the transition to Bank Holding Company Accounting by reclassifying the medallions loans of the Company of $31,099,000 from investments to loans in process of foreclosure as of April 2, 2018. |
Unrealized Appreciation (Depr_2
Unrealized Appreciation (Depreciation) and Realized Gains (Losses) on Investments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Schedule of Investments [Abstract] | |
Schedule of Unrealized Appreciation (Depreciation) on Investments | (Dollars in thousands) Medallion Commercial Investments Equity Investment Investments Total Balance December 31, 2015 $ (3,438 ) $ (2,239 ) $ 18,640 $ 2,582 $ (18 ) $ 28,956 $ 44,483 Net change in unrealized Appreciation on investments — — 133,805 2,979 7 (28,372 ) 108,419 Depreciation on investments (28,028 ) 318 305 — 5 — (27,400 ) Reversal of unrealized appreciation (depreciation) related to realized Gains on investments — — — (1,627 ) — — (1,627 ) Losses on investments 2,943 543 — — 12 — 3,498 Other — — — — (6 ) — (6 ) Balance December 31, 2016 (28,523 ) (1,378 ) 152,750 3,934 — 584 127,367 Net change in unrealized Appreciation on investments — — 6,170 2,060 — (821 ) 7,409 Depreciation on investments (37,335 ) (410 ) — (277 ) — (1,253 ) (39,275 ) Reversal of unrealized appreciation (depreciation) related to realized Gains on investments — — — (3,082 ) — — (3,082 ) Losses on investments 45,520 1,275 — 486 — — 47,281 Balance December 31, 2017 (20,338 ) (513 ) 158,920 3,121 — (1,490 ) 139,700 Net change in unrealized Appreciation on investments — — 38,795 (998 ) — — 37,797 Depreciation on investments (38,170 ) 18 — — — (1,915 ) (40,067 ) Reversal of unrealized appreciation (depreciation) related to realized Gains on investments — — — — — — — Losses on investments 34,747 — — — — — 34,747 Balance March 31, 2018 ($ 23,761 ) ($ 495 ) $ 197,715 $ 2,123 $ — ($ 3,405 ) $ 172,177 |
Schedule of Pre-Tax Components of Unrealized and Realized Gains and Losses in Investment Portfolio | Three Months Years Ended December 31, (Dollars in thousands) 2017 2016 Net change in unrealized appreciation (depreciation) on investments Unrealized appreciation $ (998 ) $ 2,060 $ 2,986 Unrealized depreciation (38,152 ) (38,022 ) (27,705 ) Net unrealized appreciation on investments in Medallion Bank and other controlled subsidiaries 29,115 9,483 130,121 Realized gains — (3,082 ) (1,627 ) Realized losses 34,747 47,281 3,498 Net unrealized losses on investments other than securities and other assets (1,915 ) (2,075 ) (28,387 ) Total $ 22,797 $ 15,645 $ 78,886 Net realized gains (losses) on investments Realized gains $ — $ 3,082 $ — Realized losses (34,747 ) (47,281 ) (3,486 ) Other gains — 4,684 4,140 Direct charge-offs 2 (4,229 ) (197 ) Total $ (34,745 ) $ (43,744 ) $ 457 |
Investments in Medallion Bank_2
Investments in Medallion Bank and Other Controlled Subsidiaries (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text Block [Abstract] | |
Schedule of Comprehensive Income and Other Valuation Adjustments on Other Controlled Subsidiaries | The following table presents information derived from Medallion Bank’s statement of comprehensive income and other valuation adjustments on other controlled subsidiaries for the years ended December 31, 2017 and 2016. (Dollars in thousands) 2017 2016 Statement of comprehensive income Investment income $ 111,281 $ 103,454 Interest expense 13,869 11,762 Net interest income 97,412 91,692 Noninterest income 121 308 Operating expenses (1) 26,032 24,281 Net investment income before income taxes 71,501 67,719 Income tax provision (benefit) 15,093 (326 ) Net investment income after income taxes 56,408 68,045 Net realized/unrealized losses of Medallion Bank (1) (51,696 ) (66,328 ) Net increase in net assets resulting from operations of Medallion Bank 4,712 1,717 Unrealized appreciation on Medallion Bank (2) 5,482 123,667 Net realized/unrealized gains (losses) on controlled subsidiaries other than Medallion Bank (711 ) 4,737 Net increase in net assets resulting from operations of Medallion Bank and other controlled subsidiaries $ 9,483 $ 130,121 (1) Excluded from operating expenses and included in net realized/unrealized losses of Medallion Bank were $1,476 and $0 of unrealized losses on other assets for 2017 and 2016. (2) Unrealized appreciation on Medallion Bank reflects the adjustment to the investment carrying amount to reflect the dividends declared to the Company and the U.S. Treasury, and the fair value adjustments to the carrying amount of Medallion Bank. |
Schedule of Balance Sheet and Net Investments in Other Controlled Subsidiaries | The following table presents Medallion Bank’s balance sheets and the net investments in other controlled subsidiaries as of December 31, 2017. (Dollars in thousands) 2017 Loans $ 864,819 Investment securities, at fair value 43,478 Net investments 908,297 Cash 110,233 Other assets, net 58,827 Total assets $ 1,077,357 Other liabilities $ 3,836 Due to affiliates 1,055 Deposits and other borrowings, including accrued interest payable 908,236 Total liabilities 913,127 Medallion Bank equity (1) 164,230 Total liabilities and equity $ 1,077,357 Investment in other controlled subsidiaries $ 11,449 Total investment in Medallion Bank and other controlled subsidiaries (2) $ 302,147 (1) Includes $26,303 of preferred stock issued to the U.S. Treasury under the Small Business Lending Fund Program (SBLF). (2) Includes $152,267 of unrealized appreciation on Medallion Bank in excess of Medallion Bank’s book value as of December 31, 2017. |
Funds Borrowed (Tables)
Funds Borrowed (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Outstanding Balances of Funds Borrowed | The outstanding balances of funds borrowed were as follows: Payments Due for the Fiscal Year Ending December 31, Bank December 31, 2018 Investment Interest Rate (1) (Dollars in thousands) 2019 2020 2021 2022 2023 Thereafter Deposits $ 325,890 $ 191,054 $ 158,846 $ 136,508 $ 35,742 $ — $ 848,040 $ — 2.14 % DZ loan — — — — — — — 99,984 — SBA debentures and borrowings 3,226 25,873 8,500 — 5,000 37,500 80,099 79,564 3.40 % Notes payable to banks 51,452 458 7,145 280 280 — 59,615 81,450 4.55 % Retail notes (2) — — 33,625 — — — 33,625 33,625 9.00 % Preferred securities (2) — — — — — 33,000 33,000 33,000 4.86 % Other borrowings 500 7,149 — — — — 7,649 — 2.00 % Total $ 381,068 $ 224,534 $ 208,116 $ 136,788 $ 41,022 $ 70,500 $ 1,062,028 $ 327,623 2.67 % (1) Weighted average contractual rate as of December 31, 2018. (2) Relates to loans held at the Company, Parent Company only. |
Summary of Time Deposits on Basis of Their Maturity | The table presents time deposits of $100,000 or more by their maturity: (Dollars in thousands) December 31, Three months or less $ 72,280 Over three months through six months 110,012 Over six months through one year 143,598 Over one year 522,150 Total deposits $ 848,040 |
Summary of Key Attributes of Various Borrowing Arrangements with Lenders | The table below summarizes the key attributes of the Company’s various borrowing arrangements with these lenders as of December 31, 2018. (Dollars in thousands) Borrower # of Lenders/ Note Maturity Type Note Balance Monthly Payment Average Interest Interest Rate (1) The Company 6/6 4/11 - 8/14 3/19 - 7/19 Term loans and demand notes secured by pledged loans (2) $ 38,870 (2) $ 38,870 Interest only (3) 5.09 % Various (3) Medallion 3/28 11/11 - 12/11 6/19 - 9/21 Term loans secured by owned Chicago medallions (4) 25,708 19,345 $171 of 3.50 % N/A Medallion 1/1 11/18 12/23 1,400 1,400 $70 4.00 % N/A $ 65,978 $ 59,615 (1) At December 31, 2018, 30 day LIBOR was 2.50%, 360 day LIBOR was 3.01%, and the prime rate was 5.50%. (2) One note has an interest rate of Prime, one note has an interest rate of Prime plus 0.50%, one note has a fixed interest rate of 3.75%, one note has an interest rate of LIBOR plus 3.75%, and the other interest rates on these borrowings are LIBOR plus 2%. (3) Various agreements call for remittance of all principal received on pledged loans subject to minimum monthly payments ranging up to or from $12 to $75. (4) Guaranteed by the Company. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Summary of Components of Deferred and Other Tax Assets and Liabilities | The following table sets forth the significant components of our deferred and other tax assets and liabilities as of December 31, 2018 and 2017. (Dollars in thousands) 2018 2017 Goodwill and other intangibles/unrealized gain on investment in Medallion Bank ($ 45,272 ) ($ 35,297 ) Provision for loan losses/unrealized losses on loans and nonaccrual interest 25,790 10,071 Net operating loss carryforwards (1) 11,132 615 Unrealized gains on investments in other controlled subsidiaries — (3,617 ) Unrealized gains on investments other than securities — (1,395 ) Accrued expenses, compensation, and other assets 1,844 782 Unrealized gains on other investments (2,024 ) (542 ) Total deferred tax liability (8,530 ) (29,383 ) Valuation allowance (255 ) (39 ) Deferred tax liability, net (8,785 ) (29,422 ) Taxes receivable 1,812 16,886 Net deferred and other tax liabilities ($ 6,973 ) ($ 12,536 ) (1) As of December 31, 2018, various subsidiaries of the Company had $11,148 of net operating loss carryforwards that expire at various dates between December 31, 2026 and December 31, 2035, which had a net asset value of $1,969 as of the balance sheet date. |
Schedule of Components of Tax Provision (Benefit) | The components of our tax benefit (provision) for the years ended December 31, 2018, 2017, and 2016 were as follows. (Dollars in thousands) 2018 2017 2016 Current Federal ($ 2,797 ) $ 15,613 $ 2,690 State (1,078 ) 756 689 Deferred Federal 5,270 (4,169 ) (39,028 ) Federal income tax rate change — 17,279 — State (1,464 ) 6,747 (10,251 ) Net benefit (provision) for income taxes ($ 69 ) $ 36,226 ($ 45,900 ) |
Summary of Reconciliation of Statutory Federal Income Tax (Benefit) Expense to Consolidated Actual Income Tax Benefit | The following table presents a reconciliation of statutory federal income tax benefit (provision) to consolidated actual income tax (benefit) expense reported for the years ended December 31, 2018, 2017, and 2016. (Dollars in thousands) 2018 2017 2016 Statutory Federal Income tax at 21% (35% in 2017 and 2016) $ 4,935 $ 12,582 ($ 24,295 ) State and local income taxes, net of federal income tax benefit 440 645 (3,829 ) Federal income tax rate change — 17,279 — Change in effective state income tax rate (2,564 ) 3,232 — Utilization of carry forwards (910 ) 2,284 — Appreciation of Medallion Bank (1,974 ) 1,050 — Conversion to a taxable corporation — — (16,630 ) Book impairment of goodwill — — (2,065 ) Other 4 (846 ) 919 Total income tax benefit (provision) ($ 69 ) $ 36,226 ($ 45,900 ) |
Stock Options and Restricted _2
Stock Options and Restricted Stock (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Assumption Categories Used to Determine Value of Option Grants | The following assumption categories are used to determine the value of any option grants. Year ended December 31, 2018 2017 2016 Risk free interest rate 2.82 % 1.84 % 1.22 % Expected dividend yield 4.86 7.39 10.13 Expected life of option in years (1) 6.00 6.00 6.00 Expected volatility (2) 30.00 % 30.00 % 30.00 % (1) Expected life is calculated using the simplified method. (2) We determine our expected volatility based on our historical volatility. |
Summary of Activity for Stock Option Programs | The following table presents the activity for the stock option programs for the years ended December 31, 2018, 2017, and 2016. Number of Options Exercise Weighted Outstanding at December 31, 2015 446,254 $ 7.49-13.84 $ 10.38 Granted 12,000 7.10 7.10 Cancelled (110,636 ) 9.22-13.84 12.25 Exercised (1) (2,100 ) 9.22 9.22 Outstanding at December 31, 2016 345,518 7.10-13.84 9.67 Granted 29,666 2.14-2.61 2.35 Cancelled (54,558 ) 10.76-11.21 10.94 Exercised (1) — — — Outstanding at December 31, 2017 320,626 2.14-13.84 8.78 Granted 39,000 5.27-5.58 5.46 Cancelled (214,960 ) 9.22-9.24 9.22 Exercised (1) — — — Outstanding at December 31, 2018 (2) 144,666 $ 2.06-13.84 $ 7.23 Options exercisable at December 31, 2016 312,518 $ 7.49-13.84 $ 9.75 December 31, 2017 273,960 7.10-13.84 9.50 December 31, 2018 (2) 81,889 2.14-13.84 9.25 (1) The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at the exercise date and the related exercise price of the underlying options, was $0, $0, and $0 for 2018, 2017, and 2016. (2) The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at December 31, 2018 and the related exercise price of the underlying options, was $69,000 for outstanding options and $23,000 for exercisable options as of December 31, 2018. The remaining contractual life was 6.97 years for outstanding options and 5.35 years for exercisable options at December 31, 2018. |
Summary of Activity for Restricted Stock Programs | The following table presents the activity for the restricted stock programs for the years ended December 31, 2018, 2017, and 2016. Number of Shares Grant Weighted Outstanding at December 31, 2015 209,040 $ 9.08-15.61 $ 10.96 Granted 48,527 3.95-7.98 4.47 Cancelled (11,325 ) 9.92-15.61 11.17 Vested (1) (78,539 ) 9.08-15.61 11.38 Outstanding at December 31, 2016 167,703 3.95-13.46 8.88 Granted 327,251 2.06-3.93 2.48 Cancelled (8,988 ) 2.14-10.08 3.07 Vested (1) (77,384 ) 9.08-13.46 11.09 Outstanding at December 31, 2017 408,582 2.06-10.38 3.45 Granted 101,010 3.93-5.27 4.41 Cancelled (9,737 ) 3.93-9.08 4.66 Vested (1) (308,940 ) 2.06-10.38 3.35 Outstanding at December 31, 2018 (2) 190,915 $ 2.14-5.27 $ 4.06 (1) The aggregate fair value of the restricted stock vested was $1,270,000, $169,000, and $722,000 for 2018, 2017, and 2016. (2) The aggregate fair value of the restricted stock was $895,000 as of December 31, 2018. The remaining vesting period was 1.21 years at December 31, 2018. |
Summary of Activity for Unvested Options Outstanding | The following table presents the activity for the unvested options outstanding under the plans for the year ended December 31, 2018. Number of Exercise Price Weighted Outstanding at December 31, 2017 46,666 $ 2.14-9.38 $ 4.52 Granted 39,000 5.27-5.58 5.46 Cancelled — — — Vested (22,889 ) 2.14-9.38 5.95 Outstanding at December 31, 2018 62,777 $ 2.14-7.10 $ 4.59 |
Quarterly Results of Operatio_2
Quarterly Results of Operations (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Results of Operations | The following table presents the Company’s quarterly results of operations for the years ended December 31, 2018, 2017, and 2016. (Dollars in thousands, except per share data) March 31 June 30 September 30 December 31 2018 Quarter Ended (1) Net interest income/net investment income $ 482 $ 24,719 $ 24,265 $ 23,003 Income (loss) before income taxes/net investment loss before taxes (3,566 ) (17,905 ) (3,963 ) 14,712 Net income (loss) after taxes/net decrease on net assets resulting from operations (14,874 ) (13,884 ) (3,846 ) 9,865 Net income (loss) attributable to Medallion Financial Corp./net decrease in net assets resulting from operations (14,874 ) (14,647 ) (4,697 ) 9,172 Basic ($ 0.62 ) ($ 0.60 ) ($ 0.19 ) $ 0.38 Diluted (0.62 ) (0.60 ) (0.19 ) 0.38 2017 Quarter Ended Investment income $ 4,250 $ 3,787 $ 5,567 $ 6,020 Net investment loss after income taxes (435 ) (1,293 ) (2,490 ) (2,903 ) Net increase (decrease) in net assets resulting from operations 1,111 (4,797 ) 619 3,345 Net increase (decrease) in net assets resulting from operations per common share Basic $ 0.05 ($ 0.20 ) $ 0.03 $ 0.14 Diluted 0.05 (0.20 ) 0.03 0.14 2016 Quarter Ended Investment income $ 8,986 $ 5,836 $ 5,269 $ 4,997 Net investment income (loss) after income taxes 2,039 (1,402 ) (2,606 ) 2,088 Net increase in net assets resulting from operations 6,848 4,568 5,043 7,056 Net increase in net assets resulting from operations per common share Basic $ 0.28 $ 0.19 $ 0.21 $ 0.29 Diluted 0.28 0.19 0.21 0.29 (1) The three months ended March 31, 2018 have been accounted for under Investment Company Accounting and subsequent 2018 quarters have been accounted for under Bank Holding Company Accounting. |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Schedule of Segment Data | The following table presents segment data at December 31, 2018 and for the nine months then ended. Nine Months Ended December 31, Consumer Lending Commercial Medallion RPAC Corp. Consolidated (Dollars in thousands) Recreation Home Total interest income $ 68,870 $ 12,799 $ 7,459 $ 6,317 $ — $ 1,358 $ 96,803 Total interest expense 6,986 2,290 2,037 10,125 121 3,257 24,816 Net interest income (loss) 61,884 10,509 5,422 (3,808 ) (121 ) (1,899 ) 71,987 Provision for loan losses 15,118 2,453 — 41,437 — — 59,008 Net interest income after loss provision 46,766 8,056 5,422 (45,245 ) (121 ) (1,899 ) 12,979 Sponsorship and race — — — — 14,368 — 14,368 Race team related expenses — — — — (7,121 ) — (7,121 ) Other income (expense) (14,242 ) (3,093 ) (1,917 ) 9,742 (11,476 ) (6,396 ) (27,382 ) Net income before taxes 32,524 4,963 3,505 (35,503 ) (4,350 ) (8,295 ) (7,156 ) Income tax benefit (8,579 ) (1,319 ) (808 ) 7,938 1,108 951 (709 ) Net income (loss) after tax $ 23,945 $ 3,644 $ 2,697 ($ 27,565 ) ($ 3,242 ) ($ 7,344 ) ($ 7,865 ) Balance Sheet Data Total loans net $ 580,182 $ 181,359 $ 64,083 $ 155,863 $ — $ — $ 981,487 Total assets 590,746 188,892 90,264 273,501 29,925 208,522 1,381,846 Total funds borrowed 434,527 143,815 51,266 294,465 7,649 130,306 1,062,028 Selected Financial Ratios Return on assets 5.48 % 2.56 % 3.59 % (10.13 %) (11.69 %) (4.13 %) (0.90 %) Return on equity 22.60 11.30 7.52 NM NM (13.18 ) (4.62 ) Interest yield 15.78 9.06 12.61 3.58 N/A N/A 10.98 Net interest margin 14.18 7.44 9.17 (2.16 ) N/A N/A 8.19 Reserve coverage 1.17 0.98 0.00 15.11 N/A N/A 3.58 Delinquency ratio 0.69 0.07 0.44 8.89 N/A N/A 2.03 Charge-off 1.89 0.46 0.00 7.21 N/A N/A 2.73 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Payments Under Employment Agreements | Employment agreements expire at various dates through 2023. At December 31, 2018, minimum payments under employment agreements were as follows: (Dollars in thousands) 2019 $ 2,062 2020 889 2021 665 2022 665 2023 277 Thereafter — Total $ 4,558 |
Schedule of Minimum Rental Commitments For Non-Cancelable Leases | Commitments for leased premises expire at various dates through April 30, 2027. At December 31, 2018, minimum rental commitments for non-cancelable (Dollars in thousands) 2019 $ 2,357 2020 2,380 2021 2,278 2022 2,216 2023 2,136 Thereafter 6,048 Total $ 17,415 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Summary of net revenue received | The following table summarizes the net revenues received from Medallion Bank not eliminated under Investment Company Accounting. Three Months Ended Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Reimbursement of operating expenses $ 250 $ 865 $ 1,006 Loan origination and servicing fees 6 5 229 Total other income $ 256 $ 870 $ 1,235 |
Other Operating Expenses (Table
Other Operating Expenses (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Other Income and Expenses [Abstract] | |
Summary of Major Components of Other Expenses | The major components of other expenses were as follows. Three Months Ended, Year ended December 31, (Dollars in thousands) March 31, 2018 2017 2016 Directors’ fees $ 89 $ 319 $ 387 Miscellaneous taxes 120 258 328 Computer expense 74 244 257 Other expenses 304 727 574 Total other operating expenses $ 587 $ 1,548 $ 1,546 |
Selected Financial Ratios and_2
Selected Financial Ratios and Other Data (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Investment Company [Abstract] | |
Summary of Selected Financial Ratios and Other Data | The following table provides selected financial ratios and other data for the periods indicated. Three Year ended December 31, (Dollars in thousands, except per share data) 2018 2017 2016 2015 2014 Net share data Net asset value at the beginning of the year $ 11.80 $ 11.91 $ 11.42 $ 11.16 $ 10.95 Net investment income (loss) (0.15 ) (0.33 ) (0.41 ) 0.69 0.60 Income tax provision (benefit) 0.03 1.51 (1.90 ) 0.00 0.00 Net realized gains (losses) on investments (1.44 ) (1.82 ) 0.02 0.31 (0.22 ) Net change in unrealized appreciation on investments 0.94 0.65 3.26 0.20 0.76 Net increase (decrease) in net assets resulting from operations (0.62 ) 0.01 0.97 1.20 1.14 Issuance of common stock (0.03 ) (0.12 ) — — (0.01 ) Repurchase of common stock — — 0.12 0.06 0.03 Distribution of net investment income — — (0.60 ) (0.81 ) (0.60 ) Return of capital — — — (0.18 ) (0.35 ) Distribution of net realized gains on investments — — — — — Total distributions — — (0.60 ) (0.99 ) (0.95 ) Other — — — (0.01 ) — Total increase (decrease) in net asset value (0.65 ) (0.11 ) 0.49 0.26 0.21 Net asset value at the end of the period/year (1) $ 11.15 $ 11.80 $ 11.91 $ 11.42 $ 11.16 Per share market value at beginning of year $ 3.53 $ 3.02 $ 7.04 $ 10.01 $ 14.35 Per share market value at end of period/year 4.65 3.53 3.02 7.04 10.01 Total return (2) (129 %) 17 % (54 %) (22 %) (25 %) Ratios/supplemental data Total shareholders’ equity (net assets) $ 272,437 $ 287,159 $ 286,096 $ 278,088 $ 274,670 Average net assets 284,021 285,704 276,978 276,745 276,254 Total expense ratio (3) (4) (5) 10.02 % (3.03 %) 29.36 % 9.45 % 9.57 % Operating expenses to average net assets (4) (5) 5.87 4.83 8.23 6.04 6.48 Net investment income (loss) after income taxes to average net assets (4) (5) (4.61 ) (2.49 ) 0.04 6.08 5.48 (1) Includes $0.00 of undistributed net investment income per share as of three months ended March 31, 2018 and December 31, 2017, 2016, 2015 and 2014, and $0.00 of undistributed net realized gains per share for all periods presented. (2) Total return is calculated by dividing the change in market value of a share of common stock during the year, assuming the reinvestment of distributions on the payment date, by the per share market value at the beginning of the year. (3) Total expense ratio represents total expenses (interest expense, operating expenses, and income taxes) divided by average net assets. (4) MSC has assumed certain of the Company’s servicing obligations, and as a result, servicing fee income of $1,290, $5,272, $5,421, $5,658, and $5,946, and operating expenses of $1,150, $4,211, $5,249, $6,044, and $6,005 which formerly were the Company’s, were now MSC’s for the three months ended March 31, 2018 and the years ended December 31, 2017, 2016, 2015, and 2014. Excluding the impact of the MSC amounts, the total expense ratio, operating expense ratio, and net investment income (loss) ratio would have been 11.75%, 6.88%, and 7.51% in the March 31, 2018 quarter, (1.37%), 6.31%, and (2.49%) in 2017, 29.42%, 8.28%, and 1.95% in 2016, 11.63%, 8.23%, and 5.94% in 2015, and 11.74%, 8.65%, and 5.46% in 2014. (5) These ratios include the goodwill impairment writeoff of $5,099 in 2016. Excluding the writeoff, the total expense, operating expense, and net investment income ratios were 27.52%, 6.39%, and 1.88% in 2016. |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Investments, All Other Investments [Abstract] | |
Summary of Carrying Values and Fair Values of Financial Instruments | (g) Fixed rate borrowings Bank Holding Company Accounting Investment Company Accounting (Dollars in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Financial assets Cash and federal funds sold (1) $ 57,713 $ 57,713 $ 12,690 $ 12,690 Equity investments 9,197 9,197 — — Investment securities 45,324 45,324 — — Loans receivable 981,487 981,487 — — Investments — — 610,135 610,135 Accrued interest receivable (2) 7,413 7,413 547 547 Financial liabilities Funds borrowed (3) 1,062,028 1,062,297 327,623 330,084 Accrued interest payable (2) 3,852 3,852 3,831 3,831 (1) Categorized as level 1 within the fair value hierarchy. (2) Categorized as level 3 within the fair value hierarchy. (3) As of December 31, 2018 and 2017, publicly traded unsecured notes traded at a premium to par of $269 and $2,461. |
Fair Value of Assets and liab_2
Fair Value of Assets and liabilities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis | The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of December 31, 2018. Bank Holding Company Accounting (Dollars in thousands) Level 1 Level 2 Level 3 Total Assets Equity investments $ — $ — $ 9,197 $ 9,197 Available for sale investment securities (1) — 45,324 — 45,324 Total $ — $ 45,324 $ 9,197 $ 54,521 (1) Total unrealized losses of $82, net of tax, was included in accumulated other comprehensive income (loss) for the nine months ended December 31, 2018 related to these assets. The following tables present the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of December 31, 2017. Investment Company Accounting (Dollars in thousands) Level 1 Level 2 Level 3 Total Assets Medallion loans $ — $ — $ 208,279 $ 208,279 Commercial loans — — 90,188 90,188 Investments in Medallion Bank and other controlled subsidiaries — — 302,147 302,147 Equity investments — — 9,521 9,521 Investments other than securities — — 7,450 7,450 Other assets — — 339 339 |
Schedule of Changes in Fair Value of the Company's Level 3 Assets and Liabilities | The following tables provide a summary of changes in fair value of the Company’s level 3 assets and liabilities for the nine months ended December 31, 2018 under Bank Holding Company Accounting, and for the quarter ended March 31, 2018 and year ended December 31, 2017 under Investment Company Accounting. (Dollars in thousands) Equity March 31, 2018 $ 9,458 Losses included in earnings (1,274 ) Purchases, investments, and issuances 1,232 Sales, maturities, settlements, and distributions (1,596 ) Transfers in (1) 1,377 December 31, 2018 $ 9,197 Amounts related to held assets (2) ($ 1,851 ) (1) Represents the removal of RPAC investments eliminated in consolidation as well as the transfer of LAX from controlled subsidiaries during the 2018 second quarter. (2) Total realized and unrealized gains (losses) included in income for the period which relate to assets held as of December 31, 2018. (Dollars in thousands) Medallion Commercial Investments in Equity Investments Other December 31, 2017 $ 208,279 $ 90,188 $ 302,147 $ 9,521 $ 7,450 $ 339 Gains (losses) included in earnings (38,190 ) (8 ) 29,143 (993 ) (1,915 ) — Purchases, investments, and issuances 7 7,252 462 935 — — Sales, maturities, settlements, and distributions (8,941 ) (3,812 ) (583 ) (5 ) — — March 31, 2018 $ 161,155 $ 93,620 $ 331,169 $ 9,458 $ 5,535 $ 339 Amounts related to held assets (1) ($ 38,190 ) ($ 10 ) $ 29,143 ($ 993 ) ($ 1,915 ) $ — (1) Total realized and unrealized gains (losses) included in income for the period which relate to assets held as of March 31, 2018. (Dollars in thousands) Medallion Commercial Investments in Equity Investments Other December 31, 2016 $ 266,816 $ 83,634 $ 293,360 $ 8,407 $ 9,510 $ 354 Gains (losses) included in earnings (41,555 ) (491 ) 10,761 4,727 (2,060 ) (15 ) Purchases, investments, and issuances 1,953 25,517 441 1,660 — — Sales, maturities, settlements, and distributions (18,935 ) (18,472 ) (2,415 ) (5,273 ) — — December 31, 2017 $ 208,279 $ 90,188 $ 302,147 $ 9,521 $ 7,450 $ 339 Amounts related to held assets (1) $ 37,335 ($ 410 ) $ 10,756 $ 1,941 ($ 2,060 ) ($ 15 ) (1) Total unrealized gains (losses) included in income for the year which relate to assets held as of December 31, 2017. |
Summary of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis | The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring 2018 (Dollars in thousands) Level 1 Level 2 Level 3 Total Assets Impaired loans $ — $ — $ 34,877 $ 34,877 Loan collateral in process of foreclosure — — 49,495 49,495 Total $ — $ — $ 84,372 $ 84,372 |
Summary of Valuation Techniques and Significant Unobservable Inputs Used in Recurring Level 3 Fair Value Measurements of Assets and Liabilities | The valuation techniques and significant unobservable inputs used in recurring level 3 fair value measurements of assets and liabilities as of December 31, 2018 were as follows under Bank Holding Company Accounting. (Dollars in thousands) Fair Value Valuation Techniques Unobservable Inputs Range Equity investments $5,683 Investee financial analysis Financial condition and operating performance of the borrower N/A Collateral support N/A 1,850 Investee book value adjusted for market appreciation Financial condition and operating performance of the investee N/A Precedent arm’s length offer Business enterprise value $6,014 – $7,214 Business enterprise value/revenue multiples 0.96x – 4.54x 1,455 Precedent market transaction Offering price $8.73 / share 209 Investee book value Valuation indicated by investee filings N/A The valuation techniques and significant unobservable inputs used in recurring level 3 fair value measurements of assets and liabilities as of December 31, 2017 were as follows under Investment Company Accounting. (Dollars in thousands) Fair Value Valuation Techniques Unobservable Inputs Range Medallion Loans $208,279 Precedent market transactions Adequacy of collateral (loan to value) 1% - 420% (131%) Commercial Loans – Mezzanine and Other 90,188 Borrower financial analysis Financial condition and operating performance of N/A the borrower Portfolio yields 2% -19.00% (12.02%) Investment in Medallion Bank 290,548 Precedent M&A transactions Price/book value multiples 2.1x to 2.5x Price/earnings multiples 8.7x to 10.6x Discounted cash flow Discount rate 17.50% Terminal value $470,964 to $623,007 Investment in Other Controlled Subsidiaries 4,623 Investee financial analysis Financial condition and operating performance N/A Enterprise value $37,500 - $41,500 Equity value $2,000 - $5,000 3,878 Investee book value adjusted for asset appreciation Financial condition and operating performance of the investee N/A Third party valuation/ offer to purchase asset N/A 3,001 Investee book value adjusted for market appreciation Financial condition and operating performance of the investee N/A Third party offer to purchase investment N/A 97 Investee book value and equity pickup Financial condition and operating performance of the investee N/A Equity Investments 5,417 Investee financial analysis Financial condition and operating performance of the borrower N/A Collateral support N/A 2,193 Investee financial analysis Equity value $2,000 - Preferred equity yield 12% 1,455 Precedent market transaction Offering price $8.73/share 456 Investee book value Valuation indicated by investee filings N/A Investments Other Than Securities 7,450 Precedent market transaction Transfer prices of Chicago medallions N/A Cash flow analysis Discount rate in cash flow analysis 6% Other Assets 339 Borrower collateral analysis Adequacy of collateral (loan to value) 0% |
Investments Other Than Securi_2
Investments Other Than Securities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Schedule of Investments [Abstract] | |
Summary of Investment Other Than Securities | The following table presents the Company’s investments other than securities as of December 31, 2017 under Investment Company Accounting. Investment Type (Dollars in thousands) Number of Investment Value as of City of Chicago taxicab medallions 154 (1) $ 8,411 $ 7,238 (2) City of Chicago taxicab medallions (handicap accessible) 5 (1) 278 212 (3) Total investments other than securities $ 8,689 $ 7,450 (1) Investment is not readily marketable, is considered income producing, is not subject to option, and is a non-qualifying (2) Gross unrealized appreciation, gross unrealized depreciation, and net unrealized appreciation for federal income tax purposes was $5,846, $0, and $5,846 as of December 31, 2017. The aggregate cost for federal income tax purposes was $1,392 at December 31, 2017. (3) Gross unrealized appreciation, gross unrealized depreciation, and net unrealized appreciation for federal income tax purposes was $172, $0, and $172 as of December 31, 2017. The aggregate cost for federal income tax purposes was $40 at December 31, 2017. |
Parent Company Only Condensed_2
Parent Company Only Condensed Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Balance Sheet | The following shows the condensed financial information of Medallion Financial Corp. (parent company only) under Bank Holding Company Accounting. Condensed balance sheet ( Dollars in thousands) December 31, 2018 Assets Cash $ 1,110 Net loans receivable 37,737 Loans collateral in process of foreclosure 12,001 Goodwill and intangible assets 178,621 Investments in bank subsidiaries 142,469 Investments in non-bank 91,059 Other assets 5,776 Total assets $ 468,773 Liabilities Other liabilities $ 9,073 Intercompany payables 63,352 Short-term borrowings 38,870 Deferred tax liabilities and other tax payables 28,245 Long-term borrowings 66,625 Total liabilities 206,165 Total stockholders’ equity 262,608 Total liabilities and equity $ 468,773 |
Condensed Statements of Operations | Condensed statements of operations ( Dollars in thousands) Nine Months Interest income $ (1,958 ) Interest expense 5,480 Net interest loss (7,438 ) Provision for loan losses 19,190 Net interest loss after provision for loan losses (26,628 ) Other income (expenses), net (16,913 ) Loss before income taxes and undistributed earnings of subsidiaries (43,541 ) Income tax benefit 5,328 Loss before undistributed earnings of subsidiaries (38,213 ) Undistributed earnings of subsidiaries 28,041 Net loss attributable to parent company $ (10,172 ) |
Condensed Statement of Other Comprehensive Loss | Condensed statement of other comprehensive loss ( Dollars in thousands) Nine Months Ended Net loss $ (10,172 ) Other comprehensive loss (82 ) Total comprehensive loss attributable to MFIN $ (10,254 ) |
Condensed Statements of Cash Flows | Condensed statement of cash flow ( Dollars in thousands) Nine Months Ended CASH FLOWS FROM OPERATING ACTIVITIES Net loss $ (10,172 ) Adjustments to reconcile net loss to net cash provided by operating activities: Equity in undistributed earnings of subsidiaries (28,041 ) Provision for loan losses 19,190 Depreciation and amortization 5,451 Change in deferred and other tax assets/liabilities, net 4,512 Proceeds loan collateral in process of foreclosure 487 Net change in loan collateral in process of foreclosure 678 Stock-based compensation expense 425 Decrease in other assets 4,073 Decrease in intercompany payables (3,368 ) Increase in other liabilities 4,237 Net cash used by operating activities (2,528 ) CASH FLOWS FROM INVESTING ACTIVITIES Loans originated (309 ) Proceeds from principal receipts, sales, and maturities of loans 10,900 Dividends from subsidiaries 5,200 Net cash provided by investing activities 15,791 CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from funds borrowed — Repayments of funds borrowed (17,208 ) Net cash used for financing activities (17,208 ) NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (3,945 ) Cash and cash equivalents, 5,055 Cash and cash equivalents, $ 1,110 |
Variable Interest Entities (V_2
Variable Interest Entities (VIE) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Variable Interest Entities | The following table shows the assets and liabilities of Trust III as December 31, 2017 when it had been a consolidated VIE. Investment ( Dollars in thousands) December 31, 2017 Assets Cash $ 393 Net investments 96,688 Accrued interest receivable 170 Total assets $ 97,251 Liabilities Accrued interest payable $ 1,849 DZ loan 99,984 Total liabilities $ 101,833 |
Organization of Medallion Fin_2
Organization of Medallion Financial Corp. and its Subsidiaries - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2018USD ($)Medallion | Dec. 31, 2017USD ($) | |
Subsidiary or Equity Method Investee [Line Items] | ||
Purchase price for City of Chicago taxicab medallions out of foreclosure | $ 8,689,000 | |
Number of medallions purchased out of foreclosure | Medallion | 159 | |
Net realizable value of medallions | $ 4,305,000 | |
Net Fair value of medallions | $ 7,450,000 | |
Medallion Financing Trust I [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Aggregate assets of trust | $ 36,141,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) | Apr. 02, 2018 | Jan. 01, 2016 | Dec. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 30, 2016 | Jan. 01, 2019 | Mar. 31, 2018 | Dec. 31, 2015 | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Non-marketable securities | $ 9,197,000 | $ 9,197,000 | $ 9,197,000 | ||||||||||
Investment in non-marketable securities | $ 9,521,000 | ||||||||||||
Net premium on investment securities | 154,000 | 265,000 | |||||||||||
Investment securities Amortized to interest income | 80,000 | 81,000 | $ 82,000 | ||||||||||
Net loan origination costs | 14,416,000 | 90,000 | |||||||||||
Net accretion to income | (3,132,000) | [1] | (68,000) | (49,000) | |||||||||
Total loans more than 90 days past due | 58,085,000 | 58,085,000 | 58,085,000 | 88,886,000 | |||||||||
Loans pledged as collateral | 40,500,000 | 40,500,000 | 40,500,000 | 183,529,000 | |||||||||
Principal portion of loans serviced, fair value | 140,180,000 | 140,180,000 | $ 140,180,000 | 338,867,000 | |||||||||
Bank reserves against future losses | $ 17,351,000 | ||||||||||||
Net unrealized appreciation on investments, net of tax | 139,700,000 | 127,367,000 | $ 172,177,000 | $ 44,483,000 | |||||||||
Intangible assets useful life | 20 years | ||||||||||||
Intangible assets, net | 53,982,000 | 53,982,000 | $ 53,982,000 | ||||||||||
Amortization of intangible assets | [2] | 1,083,000 | |||||||||||
Amortization expense | 1,864,000 | 925,000 | $ 722,000 | ||||||||||
Deferred costs | $ 4,461,000 | $ 4,461,000 | $ 4,461,000 | $ 3,070,000 | |||||||||
Potential dilutive common shares excluded from EPS computation | 100,000 | 366,245 | 346,232 | ||||||||||
Stock based compensation award | 39,000 | 29,666 | 12,000 | ||||||||||
Stock based compensation award, Amount | $ 576,000 | $ 785,000 | $ 568,000 | ||||||||||
Stock based compensation award per diluted common share | $ 0.02 | $ 0.02 | $ 0.02 | $ 0.03 | $ 0.02 | ||||||||
Unrecognized compensation cost related to unvested stock options and restricted stock | $ 244,000 | $ 244,000 | $ 244,000 | ||||||||||
Unrecognized compensation cost related to unvested stock options and restricted stock, recognition period | 2 years 6 months | ||||||||||||
Tier 1 leverage capital ratio | 15.85% | 15.85% | 15.85% | ||||||||||
Capital conversation buffer | 0.625% | ||||||||||||
Period increase of capital conversation buffer | 0.625% | ||||||||||||
Common Equity Tier 1 risk-based capital ratio | 14.30% | 14.30% | 14.30% | 13.80% | |||||||||
Tier 1 risk-based capital ratio | 16.90% | 16.90% | 16.90% | 16.50% | |||||||||
Total risk-based capital ratio | 18.20% | 18.20% | 18.20% | 17.80% | |||||||||
Restricted Shares [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Stock based compensation award | 101,010 | 327,251 | 48,527 | ||||||||||
Medallion Financing Trust I [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Appreciation in Investment in Medallion Bank | $ 152,267,000 | ||||||||||||
Principal portion of loans serviced, fair value, Medallion bank | 311,988,000 | ||||||||||||
91+ [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Total loans more than 90 days past due | $ 20,154,000 | $ 20,154,000 | $ 20,154,000 | 60,450,000 | |||||||||
91+ [Member] | Loans [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Total loans more than 90 days past due | $ 20,154,000 | $ 20,154,000 | $ 20,154,000 | $ 60,450,000 | |||||||||
Total loans more than 90 days past due ,percentage | 2.03% | 2.03% | 2.03% | 18.90% | |||||||||
Medallion Bank [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Appreciation in Investment in Medallion Bank | $ 7,849,000 | $ 128,918,000 | $ 39,826,000 | $ 15,500,000 | |||||||||
Net loan origination costs | $ 11,183,000 | 11,183,000 | |||||||||||
Net accretion to income | 3,993,000 | 3,581,000 | 3,440,000 | ||||||||||
Reserves against future losses | 5,708,000 | ||||||||||||
Goodwill | 150,803,000 | ||||||||||||
Intangible assets, net | $ 28,900,000 | ||||||||||||
Amortization of intangible assets | 0 | ||||||||||||
Amortization expense | 2,255,000 | 2,255,000 | 2,091,000 | ||||||||||
Deferred costs | $ 5,011,000 | $ 5,011,000 | 5,011,000 | 5,011,000 | |||||||||
RPAC [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Amortization of intangible assets | $ 5,615,000 | ||||||||||||
Minimum [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Estimated useful life of fixed assets | 3 years | ||||||||||||
Tier 1 leverage capital to total assets ratio | 15.00% | 15.00% | 15.00% | ||||||||||
Common Equity Tier 1 risk-based capital ratio | 7.00% | 7.00% | 7.00% | ||||||||||
Tier 1 risk-based capital ratio | 8.50% | 8.50% | 8.50% | ||||||||||
Total risk-based capital ratio | 10.50% | 10.50% | 10.50% | ||||||||||
Maximum [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Estimated useful life of fixed assets | 10 years | ||||||||||||
Subsequent Event [Member] | Accounting Standards Update 2016-02 [Member] | Accrued/amortized over the remaining lease life terms [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Right-of-use asset | $ 13,997,000 | ||||||||||||
Lease liability | $ 13,997,000 | ||||||||||||
Medallion Bank and Other Controlled Subsidiaries [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Investment in non-marketable securities | 302,147,000 | ||||||||||||
Investment Company Accounting [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Net accretion to income | (68,000) | $ 49,000 | |||||||||||
Net unrealized appreciation on investments, net of tax | 139,700,000 | ||||||||||||
Bank Holding Company Accounting [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Goodwill | $ 150,803,000 | $ 150,803,000 | $ 150,803,000 | ||||||||||
Intangible assets, net | 53,982,000 | $ 53,982,000 | 53,982,000 | ||||||||||
Amortization of intangible assets | $ 361,000 | 1,083,000 | |||||||||||
Leasehold Improvements [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Depreciation and amortization | 422,000,000 | 94,000,000 | $ 110,000,000 | ||||||||||
Leasehold Improvements [Member] | Medallion Bank [Member] | |||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||||
Depreciation and amortization | $ 232,000 | $ 232,000 | $ 225,000 | ||||||||||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. | ||||||||||||
[2] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Summary of Purchase Price Accounting (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Apr. 02, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | |
Assets | |||||
Cash | $ 110,233 | ||||
Net loans | $ 981,487 | ||||
Other assets | 58,827 | ||||
Liabilities | |||||
Other liabilities | $ (3,836) | ||||
Intangibles assets | 53,982 | ||||
Intellectual Property [Member] | |||||
Liabilities | |||||
Intangibles assets | 21,176 | ||||
Contractor Relationships [Member] | |||||
Liabilities | |||||
Intangibles assets | 6,641 | ||||
Race Organization [Member] | |||||
Liabilities | |||||
Intangibles assets | 26,165 | ||||
Medallion Bank [Member] | |||||
Assets | |||||
Cash | $ 100 | ||||
Net loans | [1] | $ 890,000 | |||
Other assets | 130,393 | ||||
Liabilities | |||||
Funds borrowed and other liabilities | (853,650) | ||||
Total fair value excluding goodwill and intangibles | 166,743 | ||||
Goodwill | 150,803 | ||||
Intangibles assets | 28,900 | ||||
Total fair value | [2] | 346,446 | $ 346,446 | ||
RPAC [Member] | Operating Segments [Member] | |||||
Assets | |||||
Cash | 1,647 | ||||
Race cars held for sale | 916 | ||||
Other assets | 1,902 | ||||
Liabilities | |||||
Deferred revenue | (6,531) | ||||
Notes payable | [3] | (27,220) | |||
Other liabilities | (2,275) | ||||
Total fair value excluding goodwill and intangibles | (30,584) | ||||
Intangibles assets | [4] | 31,779 | |||
Total fair value | [5] | 1,195 | $ 1,195 | ||
RPAC [Member] | Operating Segments [Member] | Fixed Assets Net [Member] | |||||
Assets | |||||
Net fixed assets | 774 | ||||
RPAC [Member] | Operating Segments [Member] | Race Cars and Parts Net [Member] | |||||
Assets | |||||
Net fixed assets | $ 203 | ||||
[1] | Includes $12,387 of premiums associated with the loan portfolio. | ||||
[2] | Includes $26,303 of preferred stock held by the U.S. Treasury. See Note 21 for details. | ||||
[3] | Includes $20,177 due to the Company and its affiliates as of March 31, 2018. | ||||
[4] | As of December 31, 2018 an assessment of the intangible asset resulted in impairment of $5,615 based upon the analysis of current market conditions using discounted cash flows. | ||||
[5] | Fair value as of March 31, 2018 represents the Company's investment in RPAC series D units. |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Summary of Purchase Price Accounting (Parenthetical) (Detail) - USD ($) $ in Thousands | Apr. 02, 2018 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | |
Investments In Loans [Line Items] | |||||
Premiums in loan portfolio | $ 58,085 | $ 88,886 | |||
Amortization of intangible assets | [1] | 1,083 | |||
Affiliated Entity [Member] | |||||
Investments In Loans [Line Items] | |||||
Notes payable | $ 20,177 | ||||
U.S. Treasury Securities [Member] | Capital Purchase Program [Member] | |||||
Investments In Loans [Line Items] | |||||
Preferred stock | $ 26,303 | ||||
RPAC [Member] | |||||
Investments In Loans [Line Items] | |||||
Amortization of intangible assets | 5,615 | ||||
61-90 [Member] | |||||
Investments In Loans [Line Items] | |||||
Premiums in loan portfolio | $ 12,387 | $ 10,044 | $ 12,387 | ||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Summary of the Calculation of Basic and Diluted EPS (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Accounting Policies [Abstract] | ||||||||||||||||
Net (loss)/net increase in net assets resulting from operations available to common shareholders | $ (25,046) | $ 278 | $ 23,515 | |||||||||||||
Weighted average common shares outstanding applicable to basic EPS | 24,214,978 | [1] | 23,919,994 | 24,123,888 | ||||||||||||
Effect of dilutive stock options | 439 | 230 | ||||||||||||||
Effect of restricted stock grants | 132,874 | 48,902 | ||||||||||||||
Adjusted weighted average common shares outstanding applicable to diluted EPS | 24,214,978 | [1] | 24,053,307 | 24,173,020 | ||||||||||||
Basic earnings (loss) per share | $ 0.38 | $ (0.19) | $ (0.60) | $ (0.62) | $ 0.14 | $ 0.03 | $ (0.20) | $ 0.05 | $ 0.29 | $ 0.21 | $ 0.19 | $ 0.28 | $ (1.03) | [1] | $ 0.01 | $ 0.97 |
Diluted earnings (loss) per share | $ 0.38 | $ (0.19) | $ (0.60) | $ (0.62) | $ 0.14 | $ 0.03 | $ (0.20) | $ 0.05 | $ 0.29 | $ 0.21 | $ 0.19 | $ 0.28 | $ (1.03) | [1] | $ 0.01 | $ 0.97 |
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Summary of Bank's Actual Capital Amounts and Ratios, and the Regulatory Minimum Ratios (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Accounting Policies [Abstract] | ||
Regulatory, Minimum, Common equity tier 1 capital | $ 0 | |
Regulatory, Minimum, Tier 1 capital | 0 | |
Regulatory, Minimum, Total capital | 0 | |
Regulatory, Minimum, Average assets | 0 | |
Regulatory, Minimum, Risk-weighted assets | $ 0 | |
Regulatory, Minimum, Leverage ratio | 4.00% | |
Regulatory, Minimum, Common equity tier 1 capital ratio | 4.50% | |
Regulatory, Minimum, Tier 1 capital ratio | 6.00% | |
Regulatory, Minimum, Total capital ratio | 8.00% | |
Regulatory, Well-capitalized, Common equity tier 1 capital | $ 0 | |
Regulatory, Well-capitalized, Tier 1 capital | 0 | |
Regulatory, Well-capitalized, Total capital | 0 | |
Regulatory, Well-capitalized, Average assets | 0 | |
Regulatory, Well-capitalized, Risk-weighted assets | $ 0 | |
Regulatory, Well-capitalized, Leverage ratio | 5.00% | |
Regulatory, Well-capitalized, Common equity tier 1 capital ratio | 6.50% | |
Regulatory, Well-capitalized, Tier 1 capital ratio | 8.00% | |
Regulatory, Well-capitalized, Total capital ratio | 10.00% | |
Common equity Tier 1 capital | $ 141,608 | $ 137,494 |
Tier 1 capital | 167,911 | 163,797 |
Total capital | 180,917 | 176,876 |
Average assets | 1,059,461 | 1,127,087 |
Risk-weighted assets | $ 993,374 | $ 995,145 |
Leverage ratio | 15.80% | 14.50% |
Common equity Tier 1 capital ratio | 14.30% | 13.80% |
Tier 1 capital ratio | 16.90% | 16.50% |
Total capital ratio | 18.20% | 17.80% |
Investment Securities - Summary
Investment Securities - Summary of Fixed Maturity Securities Available for Sale (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Debt Securities, Available-for-sale [Line Items] | |
Amortized Cost | $ 46,423 |
Gross Unrealized Gains | 50 |
Gross Unrealized Losses | (1,149) |
Fair Value | 45,324 |
Mortgage-backed Securities, Principally Obligations of US Federal Agencies [Member] | |
Debt Securities, Available-for-sale [Line Items] | |
Amortized Cost | 32,184 |
Gross Unrealized Gains | 15 |
Gross Unrealized Losses | (742) |
Fair Value | 31,457 |
State and Municipalities [Member] | |
Debt Securities, Available-for-sale [Line Items] | |
Amortized Cost | 14,239 |
Gross Unrealized Gains | 35 |
Gross Unrealized Losses | (407) |
Fair Value | $ 13,867 |
Investment Securities - Summa_2
Investment Securities - Summary of Amortized Cost and Estimated Market Value of Investment Securities by Contractual Maturity (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Available-for-sale Securities, Debt Maturities [Abstract] | |
Amortized Cost, due in one year or less | $ 26 |
Amortized Cost, due after one year through five years | 9,040 |
Amortized Cost, due after five years through ten years | 11,487 |
Amortized Cost, due after ten years | 25,870 |
Amortized Cost | 46,423 |
Market Value, due in one year or less | 26 |
Market Value, due after one year through five years | 8,834 |
Market Value, due after five years through ten years | 11,218 |
Market Value, due after ten years | 25,246 |
Market Value, total | $ 45,324 |
Investment Securities - Summa_3
Investment Securities - Summary of Securities with Gross Unrealized Losses (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Debt Securities, Available-for-sale [Line Items] | |
Gross Unrealized Losses, Less than Twelve Months | $ (132) |
Fair Value, Less than Twelve Months | 10,045 |
Gross Unrealized Losses, Twelve Months and Over | (1,017) |
Fair Value, Twelve Months and Over | 31,130 |
Mortgage-backed Securities, Principally Obligations of US Federal Agencies [Member] | |
Debt Securities, Available-for-sale [Line Items] | |
Gross Unrealized Losses, Less than Twelve Months | (54) |
Fair Value, Less than Twelve Months | 4,616 |
Gross Unrealized Losses, Twelve Months and Over | (688) |
Fair Value, Twelve Months and Over | 24,871 |
State and Municipalities [Member] | |
Debt Securities, Available-for-sale [Line Items] | |
Gross Unrealized Losses, Less than Twelve Months | (78) |
Fair Value, Less than Twelve Months | 5,429 |
Gross Unrealized Losses, Twelve Months and Over | (329) |
Fair Value, Twelve Months and Over | $ 6,259 |
Investment Securities - Additio
Investment Securities - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
Minimum [Member] | |
Investments [Line Items] | |
Investment in securities | 0.00% |
Loans and Allowance for Loan _3
Loans and Allowance for Loan Losses - Summary of Inclusive Capitalized Loans (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | ||||
Student Loan Portfolio By Program [Line Items] | |||||
Total gross loans | $ 993,788 | [1] | $ 319,227 | ||
Allowance for loan losses | (36,395) | ||||
Net loans receivable | 981,487 | ||||
Bank Holding Company Accounting [Member] | |||||
Student Loan Portfolio By Program [Line Items] | |||||
Total gross loans | 1,017,882 | ||||
Allowance for loan losses | (36,395) | 0 | [2] | ||
Net loans receivable | $ 981,487 | ||||
Percentage of total gross loans | 100.00% | ||||
Recreation [Member] | |||||
Student Loan Portfolio By Program [Line Items] | |||||
Total gross loans | [1] | $ 567,209 | |||
Allowance for loan losses | (6,856) | ||||
Recreation [Member] | Bank Holding Company Accounting [Member] | |||||
Student Loan Portfolio By Program [Line Items] | |||||
Total gross loans | $ 587,038 | ||||
Percentage of total gross loans | 58.00% | ||||
Home Improvement [Member] | |||||
Student Loan Portfolio By Program [Line Items] | |||||
Total gross loans | [1] | $ 185,661 | |||
Allowance for loan losses | (1,796) | ||||
Home Improvement [Member] | Bank Holding Company Accounting [Member] | |||||
Student Loan Portfolio By Program [Line Items] | |||||
Total gross loans | $ 183,155 | ||||
Percentage of total gross loans | 18.00% | ||||
Commercial [Member] | Bank Holding Company Accounting [Member] | |||||
Student Loan Portfolio By Program [Line Items] | |||||
Total gross loans | $ 64,083 | ||||
Percentage of total gross loans | 6.00% | ||||
Medallion [Member] | |||||
Student Loan Portfolio By Program [Line Items] | |||||
Total gross loans | $ 176,835 | [1] | $ 228,416 | ||
Allowance for loan losses | (27,743) | ||||
Medallion [Member] | Bank Holding Company Accounting [Member] | |||||
Student Loan Portfolio By Program [Line Items] | |||||
Total gross loans | $ 183,606 | ||||
Percentage of total gross loans | 18.00% | ||||
[1] | Excludes loan premiums of $9,047 resulting from purchase price accounting and $15,047 of capitalized loan origination costs. | ||||
[2] | Beginning balance for the nine months ended reflects the transition to Bank Holding Company Accounting by netting previously established unrealized depreciation against the gross loan balances resulting in a starting point of zero for this table. |
Loans and Allowance for Loan _4
Loans and Allowance for Loan Losses - Summary of Activity in Allowance for Loan Losses (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2018 | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Provision for loan losses | $ 59,008 | $ 59,008 | [1] | |
Allowance for loan losses - ending balance | 36,395 | 36,395 | ||
Recreation [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for loan losses - ending balance | 6,856 | 6,856 | ||
Home Improvement [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for loan losses - ending balance | 1,796 | 1,796 | ||
Medallion [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for loan losses - ending balance | 27,743 | 27,743 | ||
Bank Holding Company Accounting [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for loan losses - beginning balance | [2] | 0 | ||
Total charge- offs | (28,536) | |||
Total recoveries | 5,923 | |||
Net charge offs | [3] | (22,613) | ||
Provision for loan losses | [4] | 59,008 | ||
Allowance for loan losses - ending balance | $ 36,395 | 36,395 | ||
Bank Holding Company Accounting [Member] | Recreation [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total charge- offs | (12,697) | |||
Total recoveries | 4,437 | |||
Bank Holding Company Accounting [Member] | Home Improvement [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total charge- offs | (1,562) | |||
Total recoveries | 905 | |||
Bank Holding Company Accounting [Member] | Commercial [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total recoveries | 4 | |||
Bank Holding Company Accounting [Member] | Medallion [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total charge- offs | (14,277) | |||
Total recoveries | $ 577 | |||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | |||
[2] | Beginning balance for the nine months ended reflects the transition to Bank Holding Company Accounting by netting previously established unrealized depreciation against the gross loan balances resulting in a starting point of zero for this table. | |||
[3] | As of December 31, 2018, cumulative charge-offs of loans and loans in process of foreclosure in the medallion portfolio were $215,789, representing collection opportunities for the Company. | |||
[4] | Includes $5,708 of a general reserve, for the Company, for current and performing medallion loans under 90 days past due, as an additional buffer against future losses, representing 16% of the total allowance, and 3.54% of the loans in question. This figure excludes the general reserve for the Bank, which was netted against loan balances at consolidation on April 2, 2018. |
Loans and Allowance for Loan _5
Loans and Allowance for Loan Losses - Summary of Activity in Allowance for Loan Losses (Parenthetical) (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |
Percentage of Allowance | 100.00% |
Medallion Bank [Member] | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |
Cumulative charges of loans and loans process of foreclosure | $ 215,789 |
Reserves against future losses | $ 5,708 |
Percentage of Allowance | 16.00% |
Percentage of total gross loans | 3.54% |
Financing Receivables, 90 Days Past Due [Member] | Medallion Bank [Member] | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |
Reserves against future losses | $ 5,708 |
Loans and Allowance for Loan _6
Loans and Allowance for Loan Losses - Summary Composition of the Allowance for Loan Losses by Type (Detail) | Dec. 31, 2018USD ($) |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Amount | $ 36,395,000 |
Percentage of Allowance | 100.00% |
Allowance as a Percent of Loan Category | $ 0.0358 |
Recreation [Member] | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Amount | $ 6,856,000 |
Percentage of Allowance | 19.00% |
Allowance as a Percent of Loan Category | $ 0.0117 |
Home Improvement [Member] | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Amount | $ 1,796,000 |
Percentage of Allowance | 5.00% |
Allowance as a Percent of Loan Category | $ 0.0098 |
Commercial [Member] | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Allowance as a Percent of Loan Category | 0 |
Medallion [Member] | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Amount | $ 27,743,000 |
Percentage of Allowance | 76.00% |
Allowance as a Percent of Loan Category | $ 0.1511 |
Loans and Allowance for Loan _7
Loans and Allowance for Loan Losses - Summary of Non Accrual Loan (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | [1] | Dec. 31, 2016 | [2] | |
Receivables [Abstract] | |||||
Total nonaccrual loans | $ 34,877 | $ 98,494 | $ 77,161 | ||
Interest foregone for the year | 1,153 | 823 | 1,317 | ||
Amount of foregone interest applied to principal for the year | 535 | 52 | 638 | ||
Interest foregone life-to-date | 1,952 | 12,485 | 10,658 | ||
Amount of foregone interest applied to principal life-to-date | $ 1,214 | $ 3,495 | $ 7,834 | ||
Percentage of nonaccrual loans to gross loan portfolio | 3.00% | 31.00% | 20.00% | ||
[1] | Does not include Medallion Bank nonaccrual loans of $32,668, interest income foregone for the year of $795 and foregone interest paid and applied to principal for the year of $917, interest income foregone life-to-date of $1,487 and foregone interest paid and applied to principal life-to-date of $1,221. | ||||
[2] | Does not include Medallion Bank nonaccrual loans of $52,020, interest income foregone for the year of $683 and foregone interest paid and applied to principal for the year of $402, interest income foregone life-to-date of $1,034 and foregone interest paid and applied to principal life-to-date of $520. |
Loans and Allowance for Loan _8
Loans and Allowance for Loan Losses - Summary of Non Accrual Loan (Parenthetical) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | [1] | Dec. 31, 2016 | [2] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Interest collected on nonaccrual loans recorded | $ 827 | ||||
Interest foregone life to date | 1,952 | $ 12,485 | $ 10,658 | ||
Amount of foregone interest applied to principal life to date | 1,214 | $ 3,495 | $ 7,834 | ||
Non Accrual Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Non accrual loans | 52,020 | ||||
Interest collected on nonaccrual loans recorded | 683 | ||||
Interest paid | 402 | ||||
Interest foregone life to date | 1,034 | ||||
Amount of foregone interest applied to principal life to date | 520 | ||||
Non Accrual Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Non accrual loans | 32,668 | ||||
Interest collected on nonaccrual loans recorded | 795 | ||||
Interest paid | 917 | ||||
Interest foregone life to date | 1,487 | ||||
Amount of foregone interest applied to principal life to date | $ 1,221 | ||||
[1] | Does not include Medallion Bank nonaccrual loans of $32,668, interest income foregone for the year of $795 and foregone interest paid and applied to principal for the year of $917, interest income foregone life-to-date of $1,487 and foregone interest paid and applied to principal life-to-date of $1,221. | ||||
[2] | Does not include Medallion Bank nonaccrual loans of $52,020, interest income foregone for the year of $683 and foregone interest paid and applied to principal for the year of $402, interest income foregone life-to-date of $1,034 and foregone interest paid and applied to principal life-to-date of $520. |
Loans and Allowance for Loan _9
Loans and Allowance for Loan Losses - Summary of Performance Status of Loan (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | $ 1,017,882 |
Percentage of Non-performing to Total | 3.43% |
Recreation [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | $ 587,038 |
Percentage of Non-performing to Total | 0.99% |
Home Improvement [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | $ 183,155 |
Percentage of Non-performing to Total | 0.07% |
Commercial [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | $ 64,083 |
Percentage of Non-performing to Total | 5.98% |
Medallion [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | $ 183,606 |
Percentage of Non-performing to Total | 13.68% |
Performing [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | $ 983,005 |
Performing [Member] | Recreation [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | 581,250 |
Performing [Member] | Home Improvement [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | 183,018 |
Performing [Member] | Commercial [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | 60,249 |
Performing [Member] | Medallion [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | 158,488 |
Non - Performing [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | 34,877 |
Non - Performing [Member] | Recreation [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | 5,788 |
Non - Performing [Member] | Home Improvement [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | 137 |
Non - Performing [Member] | Commercial [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | 3,834 |
Non - Performing [Member] | Medallion [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Status of loans | $ 25,118 |
Loans and Allowance for Loan_10
Loans and Allowance for Loan Losses - Summary of Nonperforming Loan Portfolio (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | ||
Financing Receivable, Recorded Investment [Line Items] | |||
Recorded Investment, With related allowance | $ 34,877 | ||
Recorded investment | 34,877 | ||
Unpaid principal balance,total non performing loans | 36,091 | ||
Average investment recorded, Total nonperforming loans | 58,514 | ||
Unpaid principal balance, With related allowance | 36,091 | ||
Related allowance, With related allowance | 22,242 | ||
Related allowance, Total nonperforming loans | 22,242 | ||
Average investment recorded, With related allowance | 58,514 | ||
Interest income (expense) recognized, With related allowance | 827 | ||
Interest income (expense) recognized, Total nonperforming loans | 827 | ||
Recreation [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Recorded Investment, With related allowance | 5,788 | ||
Unpaid principal balance, With related allowance | 5,788 | ||
Related allowance, With related allowance | 204 | ||
Average investment recorded, With related allowance | 6,165 | ||
Interest income (expense) recognized, With related allowance | 357 | ||
Home Improvement [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Recorded Investment, With related allowance | 137 | ||
Unpaid principal balance, With related allowance | 137 | ||
Related allowance, With related allowance | 3 | ||
Average investment recorded, With related allowance | 137 | ||
Commercial [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Recorded Investment, With related allowance | 3,834 | ||
Recorded investment | [1],[2],[3] | $ 18,623 | |
Unpaid principal balance,total non performing loans | [2] | 20,491 | |
Average investment recorded, Total nonperforming loans | [2] | 18,792 | |
Unpaid principal balance, With related allowance | 3,929 | ||
Average investment recorded, With related allowance | 6,036 | ||
Interest income (expense) recognized, With related allowance | 12 | ||
Medallion [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Recorded Investment, With related allowance | 25,118 | ||
Recorded investment | [1],[2],[3] | 79,871 | |
Unpaid principal balance,total non performing loans | [2] | 82,612 | |
Average investment recorded, Total nonperforming loans | [2] | $ 128,671 | |
Unpaid principal balance, With related allowance | 26,237 | ||
Related allowance, With related allowance | 22,035 | ||
Average investment recorded, With related allowance | 46,176 | ||
Interest income (expense) recognized, With related allowance | $ 482 | ||
[1] | As of December 31, 2017 $20,851 of unrealized depreciation was recorded as a valuation allowance on these loans. | ||
[2] | Included in the unpaid principal balance is unearned paid-in-kind interest on nonaccrual loans of $4,609 as of December 31, 2017, which is included in the nonaccrual disclosures on page F-25. | ||
[3] | Interest income of $1,729 was recognized on loans for the year ended December 31, 2017. |
Loans and Allowance for Loan_11
Loans and Allowance for Loan Losses - Summary of Nonperforming Loan Portfolio (Parenthetical) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | [1] | Dec. 31, 2017 | |
Receivables [Abstract] | |||
Valuation allowances | $ 20,851 | ||
Interest and Fee Income | $ 95,080 | 1,729 | |
Unearned paid-in-kind interest on nonaccrual loans | $ 4,609 | ||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. |
Loans and Allowance for Loan_12
Loans and Allowance for Loan Losses - Summary of Aging of Loans (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Apr. 02, 2018 | Dec. 31, 2017 | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | $ 58,085 | $ 88,886 | |||
Current | 935,703 | 230,341 | |||
Total | 993,788 | [1] | 319,227 | ||
Accruing | 265 | ||||
Recreation [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 28,158 | ||||
Current | 539,051 | ||||
Total | [1] | 567,209 | |||
Home Improvement [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 1,133 | ||||
Current | 184,528 | ||||
Total | [1] | 185,661 | |||
Commercial Loans [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 733 | 749 | |||
Current | 63,350 | 90,062 | |||
Total | 64,083 | [1] | 90,811 | ||
Medallion [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 28,061 | 88,137 | |||
Current | 148,774 | 140,279 | |||
Total | 176,835 | [1] | 228,416 | ||
Accruing | 265 | ||||
Secured Mezzanine Term Loan [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Current | 88,334 | ||||
Total | 88,334 | ||||
Other Secured Commercial [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 749 | ||||
Current | 1,728 | ||||
Total | 2,477 | ||||
31-60 [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 27,887 | 16,049 | |||
31-60 [Member] | Recreation [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 18,483 | ||||
31-60 [Member] | Home Improvement [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 715 | ||||
31-60 [Member] | Medallion [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 8,689 | 16,049 | |||
61-90 [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 10,044 | $ 12,387 | 12,387 | ||
61-90 [Member] | Recreation [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 5,655 | ||||
61-90 [Member] | Home Improvement [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 283 | ||||
61-90 [Member] | Commercial Loans [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 454 | ||||
61-90 [Member] | Medallion [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 3,652 | 12,387 | |||
91+ [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 20,154 | 60,450 | |||
91+ [Member] | Recreation [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 4,020 | ||||
91+ [Member] | Home Improvement [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 135 | ||||
91+ [Member] | Commercial Loans [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | 279 | 749 | |||
91+ [Member] | Medallion [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | $ 15,720 | 59,701 | |||
91+ [Member] | Other Secured Commercial [Member] | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
31-60 | $ 749 | ||||
[1] | Excludes loan premiums of $9,047 resulting from purchase price accounting and $15,047 of capitalized loan origination costs. |
Loans and Allowance for Loan_13
Loans and Allowance for Loan Losses - Summary of Troubled Debt Restructurings (Detail) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018USD ($)TDRs | Dec. 31, 2017USD ($)TDRs | |
Debt Securities, Available-for-sale [Line Items] | ||
Number of Loans | TDRs | 65 | |
Pre- Modification Investment | $ 46,445 | |
Post- Modification Investment | $ 46,371 | |
Medallion [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Number of Loans | TDRs | 11 | 63 |
Pre- Modification Investment | $ 5,581 | $ 39,898 |
Post- Modification Investment | $ 5,581 | $ 39,824 |
Commercial Loans [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Number of Loans | TDRs | 2 | |
Pre- Modification Investment | $ 6,547 | |
Post- Modification Investment | $ 6,547 |
Loans and Allowance for Loan_14
Loans and Allowance for Loan Losses - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2018USD ($)TDRs | Dec. 31, 2017USD ($)TDRs | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Number of loans modified as TDRs defaulted | TDRs | 65 | |
TDR investment value | $ 4,248,000 | |
Allowance for loan loss | $ 36,395,000 | |
TDR unrealized depreciation | $ 1,956,000 | |
Troubled Debt Restructuring Defaulted [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Number of loans modified as TDRs defaulted | TDRs | 1 | |
TDR investment value | $ 218,000 | |
Allowance for loan loss | $ 71,000 |
Loans and Allowance for Loan_15
Loans and Allowance for Loan Losses - Summary of Activities of the Loans in Process of Foreclosure Related to Recreation and Medallions Loans (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Loans and Leases Receivable Disclosure [Line Items] | |
Loans in process of foreclosure - beginning balance | $ 52,848 |
Transfer from loans | 34,658 |
Loan in process of foreclosure sales | (2,984) |
Principal payments | (4,275) |
Collateral adjustment | (8,472) |
Liquidation | (4,416) |
Deconsolidation of Trust III | (17,864) |
Total | 49,495 |
Recreation [Member] | |
Loans and Leases Receivable Disclosure [Line Items] | |
Loans in process of foreclosure - beginning balance | 1,369 |
Transfer from loans | 9,289 |
Loan in process of foreclosure sales | (451) |
Collateral adjustment | (4,350) |
Liquidation | (4,354) |
Total | 1,503 |
Medallion [Member] | |
Loans and Leases Receivable Disclosure [Line Items] | |
Loans in process of foreclosure - beginning balance | 51,479 |
Transfer from loans | 25,369 |
Loan in process of foreclosure sales | (2,533) |
Principal payments | (4,275) |
Collateral adjustment | (4,122) |
Liquidation | (62) |
Deconsolidation of Trust III | (17,864) |
Total | $ 47,992 |
Loans and Allowance for Loan_16
Loans and Allowance for Loan Losses - Summary of Activities of the Loans in Process of Foreclosure Related to Recreation and Medallions Loans (Parenthetical) (Detail) - Bank Holding Company Accounting [Member] - USD ($) | Dec. 31, 2018 | Apr. 02, 2018 | |
Loans and Leases Receivable Disclosure [Line Items] | |||
Loans in process of foreclosure investment | [1],[2] | $ 49,495,000 | |
Medallion [Member] | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Loans in process of foreclosure investment | $ 31,099,000 | ||
[1] | Includes financed sales of this collateral to third parties that are reported separately from the loan portfolio, and that are conducted by the Bank of $3,134. | ||
[2] | See Note 23 for details of balances related to a consolidated variable interest entity. |
Unrealized Appreciation (Depr_3
Unrealized Appreciation (Depreciation) and Realized Gains (Losses) on Investments - Schedule of Unrealized Appreciation (Depreciation) on Investments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Debt Securities, Available-for-sale [Line Items] | |||
Beginning balance | $ 139,700 | $ 127,367 | $ 44,483 |
Appreciation on investments | 37,797 | 7,409 | 108,419 |
Depreciation on investments | (40,067) | (39,275) | (27,400) |
Gains on investments | (3,082) | (1,627) | |
Losses on investments | 34,747 | 47,281 | 3,498 |
Other | (6) | ||
Ending balance | 172,177 | 139,700 | 127,367 |
Medallion [Member] | |||
Debt Securities, Available-for-sale [Line Items] | |||
Beginning balance | (20,338) | (28,523) | (3,438) |
Depreciation on investments | (38,170) | (37,335) | (28,028) |
Losses on investments | 34,747 | 45,520 | 2,943 |
Ending balance | (23,761) | (20,338) | (28,523) |
Commercial Loans [Member] | |||
Debt Securities, Available-for-sale [Line Items] | |||
Beginning balance | (513) | (1,378) | (2,239) |
Depreciation on investments | 18 | (410) | 318 |
Losses on investments | 1,275 | 543 | |
Ending balance | (495) | (513) | (1,378) |
Investment In Subsidiary One [Member] | |||
Debt Securities, Available-for-sale [Line Items] | |||
Beginning balance | 158,920 | 152,750 | 18,640 |
Appreciation on investments | 38,795 | 6,170 | 133,805 |
Depreciation on investments | 305 | ||
Ending balance | 197,715 | 158,920 | 152,750 |
Equity Investments [Member] | |||
Debt Securities, Available-for-sale [Line Items] | |||
Beginning balance | 3,121 | 3,934 | 2,582 |
Appreciation on investments | (998) | 2,060 | 2,979 |
Depreciation on investments | (277) | ||
Gains on investments | (3,082) | (1,627) | |
Losses on investments | 486 | ||
Ending balance | 2,123 | 3,121 | 3,934 |
Investment Securities [Member] | |||
Debt Securities, Available-for-sale [Line Items] | |||
Beginning balance | (18) | ||
Appreciation on investments | 7 | ||
Depreciation on investments | 5 | ||
Losses on investments | 12 | ||
Other | (6) | ||
Other than Securities Investment [Member] | |||
Debt Securities, Available-for-sale [Line Items] | |||
Beginning balance | (1,490) | 584 | 28,956 |
Appreciation on investments | (821) | (28,372) | |
Depreciation on investments | (1,915) | (1,253) | |
Ending balance | $ (3,405) | $ (1,490) | $ 584 |
Unrealized Appreciation (Depr_4
Unrealized Appreciation (Depreciation) and Realized Gains (Losses) on Investments - Schedule of Pre-Tax Components of Unrealized and Realized Gains and Losses in Investment Portfolio (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Mar. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||||
Net change in unrealized appreciation (depreciation) on investments | |||||||
Unrealized appreciation | $ 37,797 | $ 7,409 | $ 108,419 | ||||
Unrealized depreciation | 40,067 | 39,275 | 27,400 | ||||
Net unrealized appreciation on investments in Medallion Bank and other controlled subsidiaries | [1] | $ 29,115 | |||||
Net realized gains (losses) on investments | |||||||
Total | [1],[2],[3] | $ (34,745) | |||||
Investment Company Accounting [Member] | |||||||
Net change in unrealized appreciation (depreciation) on investments | |||||||
Unrealized appreciation | (998) | 2,060 | 2,986 | ||||
Unrealized depreciation | (38,152) | (38,022) | (27,705) | ||||
Net unrealized appreciation on investments in Medallion Bank and other controlled subsidiaries | 9,483 | 130,121 | |||||
Realized gains | (3,082) | (1,627) | |||||
Realized losses | 34,747 | 47,281 | 3,498 | ||||
Net unrealized losses on investments other than securities and other assets | (1,915) | (2,075) | (28,387) | ||||
Total | 22,797 | 15,645 | 78,886 | ||||
Net realized gains (losses) on investments | |||||||
Realized gains | 3,082 | ||||||
Realized losses | (34,747) | (47,281) | (3,498) | ||||
Other gains | 4,684 | 4,140 | |||||
Direct charge-offs | 2 | (4,229) | (197) | ||||
Total | (34,745) | (43,744) | [3] | 457 | [3] | ||
Investment Company Accounting [Member] | Medallion Financing Trust I [Member] | |||||||
Net change in unrealized appreciation (depreciation) on investments | |||||||
Net unrealized appreciation on investments in Medallion Bank and other controlled subsidiaries | $ 29,115 | $ 9,483 | $ 130,121 | ||||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | ||||||
[2] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. | ||||||
[3] | There were no net losses on investment securities of affiliated issuers for the years ended December 31, 2018, 2017, and 2016. |
Investment in Medallion Bank an
Investment in Medallion Bank and Other Controlled Subsidiaries - Schedule of Comprehensive Income and Other Valuation Adjustments on Other Controlled Subsidiaries (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||||||||||
Investment income | $ 23,003 | $ 24,265 | $ 24,719 | $ 482 | $ 6,020 | $ 5,567 | $ 3,787 | $ 4,250 | $ 4,997 | $ 5,269 | $ 5,836 | $ 8,986 | $ 100,836 | [1],[2] | ||||||
Interest expense | $ 24,816 | 28,367 | [1],[3] | |||||||||||||||||
Net interest income | 71,987 | 72,469 | [1] | |||||||||||||||||
Noninterest income | [1] | 42,006 | ||||||||||||||||||
Operating expenses | 1,150 | $ 4,211 | $ 5,249 | $ 6,044 | $ 6,005 | |||||||||||||||
Net investment income before income taxes | 14,712 | (3,963) | (17,905) | (3,566) | (7,156) | (10,722) | [1],[4] | |||||||||||||
Income tax provision (benefit) | (709) | 69 | (36,226) | 45,900 | ||||||||||||||||
Net investment income after income taxes | $ 9,865 | $ (3,846) | $ (13,884) | $ (14,874) | $ (2,903) | $ (2,490) | $ (1,293) | $ (435) | $ 2,088 | $ (2,606) | $ (1,402) | $ 2,039 | $ (7,865) | (22,739) | [1],[5] | |||||
Net realized/unrealized losses of Medallion Bank | [1] | 14,675 | ||||||||||||||||||
Net realized/unrealized gains (losses) on controlled subsidiaries other than Medallion Bank | [1] | (11,644) | ||||||||||||||||||
Net increase in net assets resulting from operations | $ (25,046) | 278 | 23,515 | |||||||||||||||||
Medallion Bank [Member] | ||||||||||||||||||||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||||||||||
Investment income | 111,281 | 103,454 | ||||||||||||||||||
Interest expense | 13,869 | 11,762 | ||||||||||||||||||
Net interest income | 97,412 | 91,692 | ||||||||||||||||||
Noninterest income | 121 | 308 | ||||||||||||||||||
Operating expenses | [6] | 26,032 | 24,281 | |||||||||||||||||
Net investment income before income taxes | 71,501 | 67,719 | ||||||||||||||||||
Income tax provision (benefit) | 15,093 | (326) | ||||||||||||||||||
Net investment income after income taxes | 56,408 | 68,045 | ||||||||||||||||||
Net realized/unrealized losses of Medallion Bank | [6] | (51,696) | (66,328) | |||||||||||||||||
Unrealized appreciation on Medallion Bank | [7] | 5,482 | 123,667 | |||||||||||||||||
Net realized/unrealized gains (losses) on controlled subsidiaries other than Medallion Bank | (711) | 4,737 | ||||||||||||||||||
Net increase in net assets resulting from operations | 9,483 | 130,121 | ||||||||||||||||||
Medallion Bank [Member] | Medallion Financing Trust I [Member] | ||||||||||||||||||||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||||||||||
Net increase in net assets resulting from operations | $ 4,712 | $ 1,717 | ||||||||||||||||||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | |||||||||||||||||||
[2] | Included in interest and investment income is $1,869, $2,268 and $2,580 of paid in kind interest for the years ended December 31, 2018, 2017, and 2016. | |||||||||||||||||||
[3] | Average borrowings outstanding were $1,198,124, $334,022, and $380,305, and the related average borrowing costs were 2.37%, 4.12% and 3.32% for the years ended December 31, 2018, 2017, and 2016. | |||||||||||||||||||
[4] | Includes $256, $870, and $1,235 of net revenues received from Medallion Bank for the years ended December 31, 2018, 2017, and 2016, primarily for expense reimbursements. See Notes 6 and 13 for additional information. | |||||||||||||||||||
[5] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. | |||||||||||||||||||
[6] | Excluded from operating expenses and included in net realized/unrealized losses of Medallion Bank were $1,476 and $0 of unrealized losses on other assets for 2017 and 2016. | |||||||||||||||||||
[7] | Unrealized appreciation on Medallion Bank reflects the adjustment to the investment carrying amount to reflect the dividends declared to the Company and the U.S. Treasury, and the fair value adjustments to the carrying amount of Medallion Bank. |
Investment in Medallion Bank _2
Investment in Medallion Bank and Other Controlled Subsidiaries - Schedule of Comprehensive Income and Other Valuation Adjustments on Other Controlled Subsidiaries (Parenthetical) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Debt Securities, Available-for-sale [Abstract] | ||
Unrealized gain(loss) on other assets | $ 1,476 | $ 0 |
Investment in Medallion Bank _3
Investment in Medallion Bank and Other Controlled Subsidiaries - Schedule of Balance Sheet and Net Investment (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | |
Debt Securities, Available-for-sale [Line Items] | |||
Loans | $ 864,819 | ||
Investment securities, at fair value | 43,478 | ||
Net investments | 908,297 | ||
Cash | 110,233 | ||
Other assets, net | 58,827 | ||
Total assets | $ 1,381,846 | 1,077,357 | |
Other liabilities | 3,836 | ||
Due to affiliates | 1,055 | ||
Deposits and other borrowings, including accrued interest payable | 908,236 | ||
Total liabilities | 913,127 | ||
Medallion Bank equity | [1] | 164,230 | |
Total liabilities and equity | 1,077,357 | ||
Investment in other controlled subsidiaries | 11,449 | ||
Medallion Bank and Other Controlled Subsidiaries [Member] | |||
Debt Securities, Available-for-sale [Line Items] | |||
Total investment in Medallion Bank and other controlled subsidiaries | [2] | $ 302,147 | |
[1] | Includes $26,303 of preferred stock issued to the U.S. Treasury under the Small Business Lending Fund Program (SBLF). | ||
[2] | Includes $152,267 of unrealized appreciation on Medallion Bank in excess of Medallion Bank's book value as of December 31, 2017. |
Investment in Medallion Bank _4
Investment in Medallion Bank and Other Controlled Subsidiaries - Schedule of Balance Sheet and Net Investment (Parenthetical) (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Medallion Financing Trust I [Member] | |
Debt Securities, Available-for-sale [Line Items] | |
Unrealized appreciation | $ 152,267 |
Small Business Lending Fund Program [Member] | |
Debt Securities, Available-for-sale [Line Items] | |
Preferred stock issued | $ 26,303 |
Funds Borrowed - Schedule of Ou
Funds Borrowed - Schedule of Outstanding Balances of Funds Borrowed (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | |
Debt Instrument [Line Items] | |||
2019 | $ 381,068 | ||
2020 | 224,534 | ||
2021 | 208,116 | ||
2022 | 136,788 | ||
2023 | 41,022 | ||
Thereafter | 70,500 | ||
Long term debt | $ 1,062,028 | ||
Interest Rate | [1] | 2.67% | |
Deposits [Member] | |||
Debt Instrument [Line Items] | |||
2019 | $ 325,890 | ||
2020 | 191,054 | ||
2021 | 158,846 | ||
2022 | 136,508 | ||
2023 | $ 35,742 | ||
Interest Rate | [1] | 2.14% | |
Small Business Administration Debentures and Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
2019 | $ 3,226 | ||
2020 | 25,873 | ||
2021 | 8,500 | ||
2023 | 5,000 | ||
Thereafter | $ 37,500 | ||
Interest Rate | [1] | 3.40% | |
Retail Notes [Member] | |||
Debt Instrument [Line Items] | |||
2021 | [2] | $ 33,625 | |
Interest Rate | [1],[2] | 9.00% | |
Preferred Securities [Member] | |||
Debt Instrument [Line Items] | |||
Thereafter | [2] | $ 33,000 | |
Interest Rate | [1],[2] | 4.86% | |
Other Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
2019 | $ 500 | ||
2020 | $ 7,149 | ||
Interest Rate | [1] | 2.00% | |
Notes Payable to Banks [Member] | |||
Debt Instrument [Line Items] | |||
2019 | $ 51,452 | ||
2020 | 458 | ||
2021 | 7,145 | ||
2022 | 280 | ||
2023 | $ 280 | ||
Interest Rate | [1] | 4.55% | |
Bank Holding Company Accounting [Member] | |||
Debt Instrument [Line Items] | |||
Long term debt | $ 1,062,028 | ||
Bank Holding Company Accounting [Member] | Deposits [Member] | |||
Debt Instrument [Line Items] | |||
Long term debt | 848,040 | ||
Bank Holding Company Accounting [Member] | Small Business Administration Debentures and Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
Long term debt | 80,099 | ||
Bank Holding Company Accounting [Member] | Retail Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long term debt | [2] | 33,625 | |
Bank Holding Company Accounting [Member] | Preferred Securities [Member] | |||
Debt Instrument [Line Items] | |||
Long term debt | [2] | 33,000 | |
Bank Holding Company Accounting [Member] | Other Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
Long term debt | 7,649 | ||
Bank Holding Company Accounting [Member] | Notes Payable to Banks [Member] | |||
Debt Instrument [Line Items] | |||
Long term debt | $ 59,615 | ||
Investment Company Accounting [Member] | |||
Debt Instrument [Line Items] | |||
Funds borrowed | [3] | $ 327,623 | |
Investment Company Accounting [Member] | DZ Loan [Member] | |||
Debt Instrument [Line Items] | |||
Funds borrowed | 99,984 | ||
Investment Company Accounting [Member] | Small Business Administration Debentures and Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
Funds borrowed | 79,564 | ||
Investment Company Accounting [Member] | Retail Notes [Member] | |||
Debt Instrument [Line Items] | |||
Funds borrowed | [2] | 33,625 | |
Investment Company Accounting [Member] | Preferred Securities [Member] | |||
Debt Instrument [Line Items] | |||
Funds borrowed | [2] | 33,000 | |
Investment Company Accounting [Member] | Notes Payable to Banks [Member] | |||
Debt Instrument [Line Items] | |||
Funds borrowed | $ 81,450 | ||
[1] | Weighted average contractual rate as of December 31, 2018. | ||
[2] | Relates to loans held at the Company, Parent Company only. | ||
[3] | See Note 23 for details of balances related to a consolidated variable interest entity. |
Funds Borrowed - Additional Inf
Funds Borrowed - Additional Information (Detail) - USD ($) | Dec. 31, 2007 | Nov. 30, 2018 | Apr. 30, 2016 | Jun. 30, 2007 | Dec. 31, 2018 | Dec. 31, 2017 | Jul. 01, 2018 | Dec. 31, 2008 |
Preferred Securities [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Sale of preferred securities | $ 35,000,000 | |||||||
Issue of common stock | 1,083 | |||||||
Maturity date | Sep. 30, 2037 | |||||||
Preferred securities outstanding | $ 33,000,000 | |||||||
Preferred Securities [Member] | 90 day LIBOR [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Basis spread on variable rate | 2.81% | |||||||
Preferred Securities [Member] | LIBOR Rate [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Basis spread on variable rate | 2.13% | |||||||
Small Business Administration Debentures and Borrowings [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Loan commitment term | 4 years 6 months | |||||||
Commitment fee percentage | 1.00% | |||||||
Principal amount of loan | $ 34,024,756 | |||||||
Debt instrument interest rate Percentage | 3.25% | |||||||
Debt instrument commitments amount fully utilized | $ 172,485,000 | |||||||
Debt instrument commitments available | 3,000,000 | |||||||
Debt instrument outstanding amount | 80,099,000 | |||||||
Debt instrument remaining amount | 29,099,000 | |||||||
FSVC's [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Principal amount of loan | $ 33,485,000 | |||||||
Unsecured Debt [Member] | Preferred Securities [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Aggregate principal amount of unsecured junior subordinated notes | $ 36,083,000 | |||||||
Third Party Investors [Member] | Preferred Securities [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Preferred securities repurchased from a third party investor | $ 2,000,000 | |||||||
Retail Notes [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument interest rate Percentage | 9.00% | |||||||
Aggregate principal amount | $ 33,625,000 | |||||||
Net proceeds from offering | $ 31,786,000 | |||||||
Maturity date | 2021 | |||||||
Commercial Paper [Member] | DZ Loan [Member] | Taxi Medallion Loan Trust III [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Line of credit facility maximum borrowing capacity | $ 200,000,000 | |||||||
Line of credit facility current borrowing capacity | 150,000,000 | $ 125,000,000 | ||||||
Dz Bank [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument interest rate Percentage | 4.00% | |||||||
Debt instrument face amount | $ 1,400,000 | |||||||
Debt instrument expiration date | 2023-12 | |||||||
Richard Petty [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Maturity date | Mar. 31, 2020 | |||||||
Loan amount | $ 7,007,894 | |||||||
Annual interest rate | 2.00% | |||||||
Outstanding loan amount | $ 7,149,000 | |||||||
Travis Burt [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Maturity date | Dec. 31, 2019 | |||||||
Short term promissory note | $ 500,000 | |||||||
Minimum [Member] | Paid on or Before February 1, 2018 [Member] | Small Business Administration Debentures and Borrowings [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument minimum annual payment | 5,000,000 | |||||||
Minimum [Member] | Paid on or Before February 1, 2019 [Member] | Small Business Administration Debentures and Borrowings [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument minimum annual payment | $ 10,000,000 | |||||||
Brokerage [Member] | Maximum [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Average brokerage fee percentage in relation to the maturity of deposits | 0.15% |
Funds Borrowed - Summary of Tim
Funds Borrowed - Summary of Time Deposits of $100,000 or More (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Banking and Thrift [Abstract] | |
Three months or less | $ 72,280 |
Over three months through six months | 110,012 |
Over six months through one year | 143,598 |
Over one year | 522,150 |
Total deposits | $ 848,040 |
Funds Borrowed - Summary of Key
Funds Borrowed - Summary of Key Attributes of Various Borrowing Arrangements with Lenders (Detail) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018USD ($) | ||
Notes Payable [Line Items] | ||
Average Interest Rate | 2.67% | [1] |
Notes Payable to Banks [Member] | ||
Notes Payable [Line Items] | ||
Note Amounts | $ 65,978 | |
Balance outstanding | $ 59,615 | |
Average Interest Rate | 4.55% | [1] |
Notes Payable to Banks [Member] | Parent Company [Member] | ||
Notes Payable [Line Items] | ||
Note Dates | Apr. 30, 2011 | |
Note Dates | Aug. 31, 2014 | |
Maturity Dates | Mar. 31, 2019 | |
Maturity Dates | Jul. 31, 2019 | |
Type | Term loans and demand notes secured by pledged loans | [2] |
Note Amounts | $ 38,870 | [2] |
Balance outstanding | $ 38,870 | |
Monthly Payment | Interest only | [3] |
Average Interest Rate | 5.09% | |
Notes Payable to Banks [Member] | Medallion Chicago [Member] | ||
Notes Payable [Line Items] | ||
Note Dates | Nov. 30, 2011 | |
Note Dates | Dec. 31, 2011 | |
Maturity Dates | Jun. 30, 2019 | |
Maturity Dates | Sep. 30, 2021 | |
Type | Term loans secured by owned Chicago medallions | [4] |
Note Amounts | $ 25,708 | |
Balance outstanding | $ 19,345 | |
Monthly Payment | 171 of principal & interest | |
Average Interest Rate | 3.50% | |
Notes Payable to Banks [Member] | Medallion Funding [Member] | ||
Notes Payable [Line Items] | ||
Note Dates | Nov. 30, 2018 | |
Maturity Dates | Dec. 31, 2023 | |
Note Amounts | $ 1,400 | |
Balance outstanding | $ 1,400 | |
Monthly Payment | 70 principal & interest paid quarterly | |
Average Interest Rate | 4.00% | |
[1] | Weighted average contractual rate as of December 31, 2018. | |
[2] | One note has an interest rate of Prime, one note has an interest rate of Prime plus 0.50%, one note has a fixed interest rate of 3.75%, one note has an interest rate of LIBOR plus 3.75%, and the other interest rates on these borrowings are LIBOR plus 2%. | |
[3] | Various agreements call for remittance of all principal received on pledged loans subject to minimum monthly payments ranging up to or from $12 to $75. | |
[4] | Guaranteed by the Company. |
Funds Borrowed - Summary of K_2
Funds Borrowed - Summary of Key Attributes of Various Borrowing Arrangements with Lenders (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Minimum [Member] | |
Notes Payable [Line Items] | |
Minimum monthly payments of pledged loan | $ 12,000 |
Maximum [Member] | |
Notes Payable [Line Items] | |
Minimum monthly payments of pledged loan | $ 75,000 |
Parent Company [Member] | Notes Payable to Banks [Member] | |
Notes Payable [Line Items] | |
Description of variable rate basis | 30 day LIBOR was 2.50%, 360 day LIBOR was 3.01% |
Parent Company [Member] | Notes Payable to Banks [Member] | Prime Rate [Member] | |
Notes Payable [Line Items] | |
Debt Instrument interest rate, stated percentage | 5.50% |
Parent Company [Member] | Notes Payable to Banks [Member] | 30 Day LIBOR [Member] | |
Notes Payable [Line Items] | |
Debt Instrument interest rate, stated percentage | 2.50% |
Parent Company [Member] | Notes Payable to Banks [Member] | 360 Day LIBOR [Member] | |
Notes Payable [Line Items] | |
Debt Instrument interest rate, stated percentage | 3.01% |
Medallion Chicago [Member] | Notes Payable to Banks [Member] | |
Notes Payable [Line Items] | |
Debt Instrument interest rate, stated percentage | 3.75% |
Description of variable rate basis | One note has an interest rate of Prime, one note has an interest rate of Prime plus 0.50%, one note has a fixed interest rate of 3.75%, one note has an interest rates of LIBOR plus 3.75%, and the other interest rates on these borrowings are LIBOR plus 2%. |
Medallion Chicago [Member] | Notes Payable to Banks [Member] | Prime Rate Plus [Member] | |
Notes Payable [Line Items] | |
Basis spread on variable rate | 0.50% |
Medallion Chicago [Member] | Notes Payable to Banks [Member] | Fixed Interest Rate [Member] | |
Notes Payable [Line Items] | |
Basis spread on variable rate | 3.75% |
Medallion Chicago [Member] | Notes Payable to Banks [Member] | LIBOR Rate [Member] | |
Notes Payable [Line Items] | |
Basis spread on variable rate | 2.00% |
Income Taxes - Summary of Compo
Income Taxes - Summary of Components of Deferred and Other Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | ||
Income Tax Disclosure [Abstract] | |||
Goodwill and other intangibles/unrealized gain on investment in Medallion Bank | $ (45,272) | $ (35,297) | |
Provision for loan losses/unrealized losses on loans and nonaccrual interest | 25,790 | 10,071 | |
Net operating loss carryforwards | [1] | 11,132 | 615 |
Unrealized gains on investments in other controlled subsidiaries | (3,617) | ||
Unrealized gains on investments other than securities | (1,395) | ||
Accrued expenses, compensation, and other assets | 1,844 | 782 | |
Unrealized gains on other investments | (2,024) | (542) | |
Total deferred tax liability | (8,530) | (29,383) | |
Valuation allowance | (255) | (39) | |
Deferred tax liability, net | (8,785) | (29,422) | |
Taxes receivable | 1,812 | 16,886 | |
Net deferred and other tax liabilities | $ (6,973) | $ (12,536) | |
[1] | As of December 31, 2018, various subsidiaries of the Company had $11,148 of net operating loss carryforwards that expire at various dates between December 31, 2026 and December 31, 2035, which had a net asset value of $1,969 as of the balance sheet date. |
Income Taxes - Summary of Com_2
Income Taxes - Summary of Components of Deferred and Other Tax Assets and Liabilities (Parenthetical) (Detail) - Medallion Chicago [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Income Tax Rate Reconciliation [Line Items] | |
Net operating loss carryforwards | $ 11,148 |
Net operating loss carryforwards expiration period | Expire at various dates between December 31, 2026 and December 31, 2035. |
Net operating loss carryforwards assets | $ 1,969 |
Income Taxes - Summary of Com_3
Income Taxes - Summary of Components of Tax Provision (Benefit) (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current | ||||
Federal | $ (2,797) | $ 15,613 | $ 2,690 | |
State | (1,078) | 756 | 689 | |
Deferred | ||||
Federal | 5,270 | (4,169) | (39,028) | |
Federal income tax rate change | 17,279 | |||
State | (1,464) | 6,747 | (10,251) | |
Net benefit (provision) for income taxes | $ 709 | $ (69) | $ 36,226 | $ (45,900) |
Income Taxes - Summary of Recon
Income Taxes - Summary of Reconciliation of Statutory Federal Income Tax (Benefit) Expense to Consolidated Actual Income Tax Benefit (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | ||||
Statutory Federal Income tax benefit at 21% (35% in 2017 and 2016) | $ 4,935 | $ 12,582 | $ (24,295) | |
State and local income taxes, net of federal income tax benefit | 440 | 645 | (3,829) | |
Federal income tax rate change | 17,279 | |||
Change in effective state income tax rate | (2,564) | 3,232 | ||
Utilization of carry forwards | (910) | 2,284 | ||
Appreciation of Medallion Bank | (1,974) | 1,050 | ||
Conversion to a taxable corporation | (16,630) | |||
Book impairment of goodwill | (2,065) | |||
Other | 4 | (846) | 919 | |
Net benefit (provision) for income taxes | $ 709 | $ (69) | $ 36,226 | $ (45,900) |
Income Taxes - Summary of Rec_2
Income Taxes - Summary of Reconciliation of Statutory Federal Income Tax (Benefit) Expense to Consolidated Actual Income Tax Benefit (Parenthetical) (Detail) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
Statutory Federal Income tax benefit percentage | 21.00% | 35.00% | 35.00% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
U.S. federal statutory rate | 21.00% | 35.00% | 35.00% |
Stock Options and Restricted _3
Stock Options and Restricted Stock - Additional Information (Detail) - USD ($) | 12 Months Ended | ||||||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jun. 15, 2018 | Mar. 01, 2016 | Feb. 29, 2016 | Dec. 31, 2015 | Jun. 16, 2006 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Stock option outstanding | 144,666 | [1] | 320,626 | 345,518 | 446,254 | ||||
Stock option exercisable | 81,889 | [1] | 273,960 | 312,518 | |||||
Unvested shares of common stock outstanding | 62,777 | 46,666 | |||||||
Weighted average fair value of options granted | $ 5.46 | ||||||||
Intrinsic value of options vested | $ 32,000 | $ 0 | $ 0 | ||||||
Restricted Shares [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Weighted average fair value of options granted | $ 1.06 | $ 0.28 | $ 0.53 | ||||||
2006 Stock Option Plan [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Issuance of maximum number of shares approved | 800,000 | ||||||||
Number of additional shares available for issuance | 0 | ||||||||
Amended Director Plan [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of additional shares available for issuance | 0 | ||||||||
Number of shares available for grant | 200,000 | ||||||||
Amended Director Plan [Member] | Director [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares available for grant | 9,000 | ||||||||
2018 Equity Incentive Plan [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares available for grant | 1,500,253 | 241,919 | |||||||
Shares were rolled into the 2018 Plan | 1,458,407 | ||||||||
2015 Restricted Stock Plan [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares available for grant | 700,000 | ||||||||
Unvested shares of common stock outstanding | 190,915 | ||||||||
2015 Director Plan [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares available for grant | 258,334 | 300,000 | |||||||
2015 Director Plan [Member] | Non Employee Director One [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares available for grant | 12,000 | ||||||||
[1] | The aggregate intrinsic value, which represents the difference between the price of the Company's common stock at December 31, 2018 and the related exercise price of the underlying options, was $69,000 for outstanding options and $23,000 for exercisable options as of December 31, 2018. The remaining contractual life was 6.97 years for outstanding options and 5.35 years for exercisable options at December 31, 2018. |
Stock Options and Restricted _4
Stock Options and Restricted Stock - Summary of Assumption Categories Used to Determine Value of Option Grants (Detail) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Stock Options/Shares Outstanding, Weighted-Average Exercise Price, and Additional Disclosures [Abstract] | ||||
Risk free interest rate | 2.82% | 1.84% | 1.22% | |
Expected dividend yield | 4.86% | 7.39% | 10.13% | |
Expected life of option in years | [1] | 6 years | 6 years | 6 years |
Expected volatility | [2] | 30.00% | 30.00% | 30.00% |
[1] | Expected life is calculated using the simplified method. | |||
[2] | We determine our expected volatility based on our historical volatility. |
Stock Options and Restricted _5
Stock Options and Restricted Stock - Summary of Activity for Stock Option Programs (Detail) - $ / shares | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of options beginning balance | 320,626 | 345,518 | 446,254 | ||
Granted | 39,000 | 29,666 | 12,000 | ||
Cancelled | (214,960) | (54,558) | (110,636) | ||
Exercised | [1] | 2,100 | |||
Number of options ending balance | 144,666 | [2] | 320,626 | 345,518 | |
Options exercisable | 81,889 | [2] | 273,960 | 312,518 | |
Exercise price per share, lower range limit beginning balance | $ 2.14 | $ 7.10 | $ 7.49 | ||
Exercise price per share, upper range limit beginning balance | 13.84 | 13.84 | 13.84 | ||
Exercise price per share, granted | 7.10 | ||||
Exercise price per share, exercised | [1] | 9.22 | |||
Exercise price per share, lower range limit ending balance | 2.06 | [2] | 2.14 | 7.10 | |
Exercise price per share, upper range limit ending balance | 13.84 | [2] | 13.84 | 13.84 | |
Exercise price per share, option exercisable lower range limit | 2.14 | [2] | 7.10 | 7.49 | |
Exercise price per share, option exercisable upper range limit | 13.84 | [2] | 13.84 | 13.84 | |
Weighted average exercise price, beginning balance | 8.78 | 9.67 | 10.38 | ||
Weighted average exercise price, granted | 5.46 | 2.35 | 7.10 | ||
Weighted average exercise price, cancelled | 9.22 | 10.94 | 12.25 | ||
Weighted average exercise price, exercised | [1] | 9.22 | |||
Weighted average exercise price, ending balance | 7.23 | [2] | 8.78 | 9.67 | |
Weighted average exercise price, options exercisable | 9.25 | [2] | 9.50 | 9.75 | |
Minimum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Exercise price per share, granted | 5.27 | 2.14 | |||
Exercise price per share, cancelled | 9.22 | 10.76 | 9.22 | ||
Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Exercise price per share, granted | 5.58 | 2.61 | |||
Exercise price per share, cancelled | $ 9.24 | $ 11.21 | $ 13.84 | ||
[1] | The aggregate intrinsic value, which represents the difference between the price of the Company's common stock at the exercise date and the related exercise price of the underlying options, was $0, $0, and $0 for 2018, 2017, and 2016. | ||||
[2] | The aggregate intrinsic value, which represents the difference between the price of the Company's common stock at December 31, 2018 and the related exercise price of the underlying options, was $69,000 for outstanding options and $23,000 for exercisable options as of December 31, 2018. The remaining contractual life was 6.97 years for outstanding options and 5.35 years for exercisable options at December 31, 2018. |
Stock Options and Restricted _6
Stock Options and Restricted Stock - Summary of Activity for Stock Option Programs (Parenthetical) (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Aggregate intrinsic value for option exercised | $ 0 | $ 0 | $ 0 |
Aggregate intrinsic value of option outstanding | 69,000 | ||
Aggregate intrinsic value of option exercisable | $ 23,000 | ||
Remaining contractual life of option outstanding | 6 years 11 months 19 days | ||
Remaining contractual life of option exercisable | 5 years 4 months 6 days |
Stock Options and Restricted _7
Stock Options and Restricted Stock - Summary of Activity for Restricted Stock Programs (Detail) - $ / shares | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares, granted | 39,000 | 29,666 | 12,000 | ||
Grant price per share, vested, lower limit | $ 2.14 | ||||
Grant price per share, vested, upper limit | $ 9.38 | ||||
Restricted Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares, beginning balance | 408,582 | 167,703 | 209,040 | ||
Number of shares, granted | 101,010 | 327,251 | 48,527 | ||
Number of shares, cancelled | (9,737) | (8,988) | (11,325) | ||
Number of shares, vested | [1] | (308,940) | (77,384) | (78,539) | |
Number of shares, ending balance | 190,915 | [2] | 408,582 | 167,703 | |
Grant price per share, lower range limit beginning balance | $ 2.06 | $ 3.95 | $ 9.08 | ||
Grant price per share, upper range limit beginning balance | 10.38 | 13.46 | 15.61 | ||
Grant price per share, granted, lower limit | 3.93 | 2.06 | 3.95 | ||
Grant price per share, granted, upper limit | 5.27 | 3.93 | 7.98 | ||
Grant price per share, cancelled, lower limit | 3.93 | 2.14 | 9.92 | ||
Grant price per share, cancelled, upper limit | 9.08 | 10.08 | 15.61 | ||
Grant price per share, vested, lower limit | [1] | 2.06 | 9.08 | 9.08 | |
Grant price per share, vested, upper limit | [1] | 10.38 | 13.46 | 15.61 | |
Grant price per share, lower range limit ending balance | 2.14 | [2] | 2.06 | 3.95 | |
Grant price per share, upper range limit ending balance | 5.27 | [2] | 10.38 | 13.46 | |
Weighted average grant price beginning balance | 3.45 | 8.88 | 10.96 | ||
Weighted average grant price, granted | 4.41 | 2.48 | 4.47 | ||
Weighted average grant price, cancelled | 4.66 | 3.07 | 11.17 | ||
Weighted average grant price, vested | [1] | 3.35 | 11.09 | 11.38 | |
Weighted average grant price, ending balance | $ 4.06 | [2] | $ 3.45 | $ 8.88 | |
[1] | The aggregate fair value of the restricted stock vested was $1,270,000, $169,000, and $722,000 for 2018, 2017, and 2016. | ||||
[2] | The aggregate fair value of the restricted stock was $895,000 as of December 31, 2018. The remaining vesting period was 1.21 years at December 31, 2018. |
Stock Options and Restricted _8
Stock Options and Restricted Stock - Summary of Activity for Restricted Stock Programs (Parenthetical) (Detail) - Restricted Shares [Member] - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Aggregate fair value of restricted stock vested | $ 1,270,000 | $ 169,000 | $ 722,000 |
Aggregate fair value of restricted stock outstanding | $ 895,000 | ||
Remaining vesting period of restricted stock | 1 year 2 months 15 days |
Stock Options and Restricted _9
Stock Options and Restricted Stock - Summary of Activity for Unvested Options Outstanding (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward] | |||
Number of options beginning balance | 46,666 | ||
Number of options, granted | 39,000 | 29,666 | 12,000 |
Number of options, cancelled | 0 | ||
Number of options, vested | (22,889) | ||
Number of options ending balance | 62,777 | 46,666 | |
Exercise price per share beginning balance, Lower limit | $ 2.14 | ||
Exercise price per share beginning balance, Upper limit | 9.38 | ||
Exercise price per share, Granted, Lower limit | 5.27 | ||
Exercise price per share, Granted, Upper limit | 5.58 | ||
Exercise price per share, Cancelled | 0 | ||
Exercise price per share, Vested, lower limit | 2.14 | ||
Exercise price per share, Vested, upper limit | 9.38 | ||
Exercise price per share ending balance, Lower limit | 2.14 | $ 2.14 | |
Exercise price per share ending balance, Upper limit | 7.10 | 9.38 | |
Weighted average exercise price | 4.52 | ||
Weighted average exercise price, granted | 5.46 | ||
Weighted average exercise price, cancelled | 0 | ||
Weighted average exercise price, vested | 5.95 | ||
Weighted average exercise price | $ 4.59 | $ 4.52 |
Quarterly Results of Operatio_3
Quarterly Results of Operations (Unaudited) - Schedule of Quarterly Results of Operations (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2018 | [1] | Dec. 31, 2017 | Dec. 31, 2016 | |
Selected Quarterly Financial Information [Abstract] | |||||||||||||||||
Net interest income/net investment income | $ 23,003 | $ 24,265 | $ 24,719 | $ 482 | $ 6,020 | $ 5,567 | $ 3,787 | $ 4,250 | $ 4,997 | $ 5,269 | $ 5,836 | $ 8,986 | $ 100,836 | [2] | |||
Income (loss) before income taxes/net investment loss before taxes | 14,712 | (3,963) | (17,905) | (3,566) | $ (7,156) | (10,722) | [3] | ||||||||||
Net income (loss) after taxes/net decrease on net assets resulting from operations | 9,865 | (3,846) | (13,884) | (14,874) | (2,903) | (2,490) | (1,293) | (435) | 2,088 | (2,606) | (1,402) | 2,039 | $ (7,865) | (22,739) | [4] | ||
Net income (loss) attributable to Medallion Financial Corp./net decrease in net assets resulting from operations | $ 9,172 | $ (4,697) | $ (14,647) | $ (14,874) | $ 3,345 | $ 619 | $ (4,797) | $ 1,111 | $ 7,056 | $ 5,043 | $ 4,568 | $ 6,848 | $ (25,046) | ||||
Net increase (decrease) in net assets resulting from operations per common share | |||||||||||||||||
Basic | $ 0.38 | $ (0.19) | $ (0.60) | $ (0.62) | $ 0.14 | $ 0.03 | $ (0.20) | $ 0.05 | $ 0.29 | $ 0.21 | $ 0.19 | $ 0.28 | $ (1.03) | $ 0.01 | $ 0.97 | ||
Diluted | $ 0.38 | $ (0.19) | $ (0.60) | $ (0.62) | $ 0.14 | $ 0.03 | $ (0.20) | $ 0.05 | $ 0.29 | $ 0.21 | $ 0.19 | $ 0.28 | $ (1.03) | $ 0.01 | $ 0.97 | ||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | ||||||||||||||||
[2] | Included in interest and investment income is $1,869, $2,268 and $2,580 of paid in kind interest for the years ended December 31, 2018, 2017, and 2016. | ||||||||||||||||
[3] | Includes $256, $870, and $1,235 of net revenues received from Medallion Bank for the years ended December 31, 2018, 2017, and 2016, primarily for expense reimbursements. See Notes 6 and 13 for additional information. | ||||||||||||||||
[4] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. |
Segment Reporting - Additional
Segment Reporting - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2018Segment | |
Segment Reporting Disclosure [Line Items] | |
Number of business segments | 6 |
Number of operating segments | 4 |
Number of non-operating segments | 2 |
Loan outstanding percent | 10.00% |
Swimming Pools [Member] | |
Segment Reporting Disclosure [Line Items] | |
Loan outstanding percent | 31.00% |
Solar Panels [Member] | |
Segment Reporting Disclosure [Line Items] | |
Loan outstanding percent | 16.00% |
Roofs [Member] | |
Segment Reporting Disclosure [Line Items] | |
Loan outstanding percent | 15.00% |
Windows [Member] | |
Segment Reporting Disclosure [Line Items] | |
Loan outstanding percent | 11.00% |
Texas [Member] | |
Segment Reporting Disclosure [Line Items] | |
Loan outstanding percent | 18.00% |
California [Member] | |
Segment Reporting Disclosure [Line Items] | |
Loan outstanding percent | 11.00% |
Florida [Member] | |
Segment Reporting Disclosure [Line Items] | |
Loan outstanding percent | 10.00% |
Geographic Concentration Risk [Member] | Midwest [Member] | |
Segment Reporting Disclosure [Line Items] | |
Aggregate percentage of loans lending | 42.00% |
Geographic Concentration Risk [Member] | New York | |
Segment Reporting Disclosure [Line Items] | |
Aggregate percentage of loans lending | 87.00% |
Segment Reporting - Schedule of
Segment Reporting - Schedule of Segment Data (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Segment Reporting Disclosure [Line Items] | |||||||||||||||||
Total interest income | $ 96,803 | $ 3,287 | [1] | ||||||||||||||
Total interest expense | 24,816 | 28,367 | [1],[2] | ||||||||||||||
Net interest income (loss) | 71,987 | 72,469 | [1] | ||||||||||||||
Provision for loan losses | 59,008 | 59,008 | [1] | ||||||||||||||
Net interest income after loss provision | 12,979 | 13,461 | [1] | ||||||||||||||
Sponsorship and race winnings | 14,368 | 14,368 | [1] | ||||||||||||||
Race team related expenses | (7,121) | 7,121 | [1] | ||||||||||||||
Other income (expense) | (27,382) | ||||||||||||||||
Loss before income taxes and undistributed earnings of subsidiaries | $ 14,712 | $ (3,963) | $ (17,905) | $ (3,566) | (7,156) | (10,722) | [1],[3] | ||||||||||
Income tax benefit (provision) | 709 | (69) | $ 36,226 | $ (45,900) | |||||||||||||
Net loss after taxes/net increase (decrease) on net assets resulting from operations | 9,865 | $ (3,846) | $ (13,884) | $ (14,874) | $ (2,903) | $ (2,490) | $ (1,293) | $ (435) | $ 2,088 | $ (2,606) | $ (1,402) | $ 2,039 | (7,865) | (22,739) | [1],[4] | ||
Balance Sheet Data | |||||||||||||||||
Total loans net | 981,487 | 981,487 | 981,487 | ||||||||||||||
Total assets | 1,381,846 | $ 1,077,357 | 1,381,846 | 1,381,846 | $ 1,077,357 | ||||||||||||
Total funds borrowed | 1,062,028 | $ 1,062,028 | 1,062,028 | ||||||||||||||
Selected Financial Ratios | |||||||||||||||||
Return on assets | (0.90%) | ||||||||||||||||
Return on equity | (4.62%) | ||||||||||||||||
Interest yield | 10.98% | ||||||||||||||||
Net interest margin | 8.19% | ||||||||||||||||
Reserve coverage | 3.58% | ||||||||||||||||
Delinquency ratio | 2.03% | ||||||||||||||||
Charge off ratio | 2.73% | ||||||||||||||||
RPAC [Member] | |||||||||||||||||
Segment Reporting Disclosure [Line Items] | |||||||||||||||||
Total interest expense | $ 121 | ||||||||||||||||
Net interest income (loss) | (121) | ||||||||||||||||
Net interest income after loss provision | (121) | ||||||||||||||||
Sponsorship and race winnings | 14,368 | ||||||||||||||||
Race team related expenses | (7,121) | ||||||||||||||||
Other income (expense) | (11,476) | ||||||||||||||||
Loss before income taxes and undistributed earnings of subsidiaries | (4,350) | ||||||||||||||||
Income tax benefit (provision) | 1,108 | ||||||||||||||||
Net loss after taxes/net increase (decrease) on net assets resulting from operations | (3,242) | ||||||||||||||||
Balance Sheet Data | |||||||||||||||||
Total assets | 29,925 | 29,925 | 29,925 | ||||||||||||||
Total funds borrowed | 7,649 | $ 7,649 | 7,649 | ||||||||||||||
Selected Financial Ratios | |||||||||||||||||
Return on assets | (11.69%) | ||||||||||||||||
Operating Segments [Member] | Consumer Lending [Member] | Recreation [Member] | |||||||||||||||||
Segment Reporting Disclosure [Line Items] | |||||||||||||||||
Total interest income | $ 68,870 | ||||||||||||||||
Total interest expense | 6,986 | ||||||||||||||||
Net interest income (loss) | 61,884 | ||||||||||||||||
Provision for loan losses | 15,118 | ||||||||||||||||
Net interest income after loss provision | 46,766 | ||||||||||||||||
Other income (expense) | (14,242) | ||||||||||||||||
Loss before income taxes and undistributed earnings of subsidiaries | 32,524 | ||||||||||||||||
Income tax benefit (provision) | (8,579) | ||||||||||||||||
Net loss after taxes/net increase (decrease) on net assets resulting from operations | 23,945 | ||||||||||||||||
Balance Sheet Data | |||||||||||||||||
Total loans net | 580,182 | 580,182 | 580,182 | ||||||||||||||
Total assets | 590,746 | 590,746 | 590,746 | ||||||||||||||
Total funds borrowed | 434,527 | $ 434,527 | 434,527 | ||||||||||||||
Selected Financial Ratios | |||||||||||||||||
Return on assets | 5.48% | ||||||||||||||||
Return on equity | 22.60% | ||||||||||||||||
Interest yield | 15.78% | ||||||||||||||||
Net interest margin | 14.18% | ||||||||||||||||
Reserve coverage | 1.17% | ||||||||||||||||
Delinquency ratio | 0.69% | ||||||||||||||||
Charge off ratio | 1.89% | ||||||||||||||||
Operating Segments [Member] | Consumer Lending [Member] | Home Improvement [Member] | |||||||||||||||||
Segment Reporting Disclosure [Line Items] | |||||||||||||||||
Total interest income | $ 12,799 | ||||||||||||||||
Total interest expense | 2,290 | ||||||||||||||||
Net interest income (loss) | 10,509 | ||||||||||||||||
Provision for loan losses | 2,453 | ||||||||||||||||
Net interest income after loss provision | 8,056 | ||||||||||||||||
Other income (expense) | (3,093) | ||||||||||||||||
Loss before income taxes and undistributed earnings of subsidiaries | 4,963 | ||||||||||||||||
Income tax benefit (provision) | (1,319) | ||||||||||||||||
Net loss after taxes/net increase (decrease) on net assets resulting from operations | 3,644 | ||||||||||||||||
Balance Sheet Data | |||||||||||||||||
Total loans net | 181,359 | 181,359 | 181,359 | ||||||||||||||
Total assets | 188,892 | 188,892 | 188,892 | ||||||||||||||
Total funds borrowed | 143,815 | $ 143,815 | 143,815 | ||||||||||||||
Selected Financial Ratios | |||||||||||||||||
Return on assets | 2.56% | ||||||||||||||||
Return on equity | 11.30% | ||||||||||||||||
Interest yield | 9.06% | ||||||||||||||||
Net interest margin | 7.44% | ||||||||||||||||
Reserve coverage | 0.98% | ||||||||||||||||
Delinquency ratio | 0.07% | ||||||||||||||||
Charge off ratio | 0.46% | ||||||||||||||||
Operating Segments [Member] | Commercial Lending [Member] | |||||||||||||||||
Segment Reporting Disclosure [Line Items] | |||||||||||||||||
Total interest income | $ 7,459 | ||||||||||||||||
Total interest expense | 2,037 | ||||||||||||||||
Net interest income (loss) | 5,422 | ||||||||||||||||
Net interest income after loss provision | 5,422 | ||||||||||||||||
Other income (expense) | (1,917) | ||||||||||||||||
Loss before income taxes and undistributed earnings of subsidiaries | 3,505 | ||||||||||||||||
Income tax benefit (provision) | (808) | ||||||||||||||||
Net loss after taxes/net increase (decrease) on net assets resulting from operations | 2,697 | ||||||||||||||||
Balance Sheet Data | |||||||||||||||||
Total loans net | 64,083 | 64,083 | 64,083 | ||||||||||||||
Total assets | 90,264 | 90,264 | 90,264 | ||||||||||||||
Total funds borrowed | 51,266 | $ 51,266 | 51,266 | ||||||||||||||
Selected Financial Ratios | |||||||||||||||||
Return on assets | 3.59% | ||||||||||||||||
Return on equity | 7.52% | ||||||||||||||||
Interest yield | 12.61% | ||||||||||||||||
Net interest margin | 9.17% | ||||||||||||||||
Reserve coverage | 0.00% | ||||||||||||||||
Delinquency ratio | 0.44% | ||||||||||||||||
Charge off ratio | 0.00% | ||||||||||||||||
Operating Segments [Member] | Medallion Lending [Member] | |||||||||||||||||
Segment Reporting Disclosure [Line Items] | |||||||||||||||||
Total interest income | $ 6,317 | ||||||||||||||||
Total interest expense | 10,125 | ||||||||||||||||
Net interest income (loss) | (3,808) | ||||||||||||||||
Provision for loan losses | 41,437 | ||||||||||||||||
Net interest income after loss provision | (45,245) | ||||||||||||||||
Other income (expense) | 9,742 | ||||||||||||||||
Loss before income taxes and undistributed earnings of subsidiaries | (35,503) | ||||||||||||||||
Income tax benefit (provision) | 7,938 | ||||||||||||||||
Net loss after taxes/net increase (decrease) on net assets resulting from operations | (27,565) | ||||||||||||||||
Balance Sheet Data | |||||||||||||||||
Total loans net | 155,863 | 155,863 | 155,863 | ||||||||||||||
Total assets | 273,501 | 273,501 | 273,501 | ||||||||||||||
Total funds borrowed | 294,465 | $ 294,465 | 294,465 | ||||||||||||||
Selected Financial Ratios | |||||||||||||||||
Return on assets | (10.13%) | ||||||||||||||||
Interest yield | 3.58% | ||||||||||||||||
Net interest margin | (2.16%) | ||||||||||||||||
Reserve coverage | 15.11% | ||||||||||||||||
Delinquency ratio | 8.89% | ||||||||||||||||
Charge off ratio | 7.21% | ||||||||||||||||
Intersegment Eliminations [Member] | |||||||||||||||||
Segment Reporting Disclosure [Line Items] | |||||||||||||||||
Total interest income | $ 1,358 | ||||||||||||||||
Total interest expense | 3,257 | ||||||||||||||||
Net interest income (loss) | (1,899) | ||||||||||||||||
Net interest income after loss provision | (1,899) | ||||||||||||||||
Other income (expense) | (6,396) | ||||||||||||||||
Loss before income taxes and undistributed earnings of subsidiaries | (8,295) | ||||||||||||||||
Income tax benefit (provision) | 951 | ||||||||||||||||
Net loss after taxes/net increase (decrease) on net assets resulting from operations | (7,344) | ||||||||||||||||
Balance Sheet Data | |||||||||||||||||
Total assets | 208,522 | 208,522 | 208,522 | ||||||||||||||
Total funds borrowed | $ 130,306 | $ 130,306 | $ 130,306 | ||||||||||||||
Selected Financial Ratios | |||||||||||||||||
Return on assets | (4.13%) | ||||||||||||||||
Return on equity | (13.18%) | ||||||||||||||||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | ||||||||||||||||
[2] | Average borrowings outstanding were $1,198,124, $334,022, and $380,305, and the related average borrowing costs were 2.37%, 4.12% and 3.32% for the years ended December 31, 2018, 2017, and 2016. | ||||||||||||||||
[3] | Includes $256, $870, and $1,235 of net revenues received from Medallion Bank for the years ended December 31, 2018, 2017, and 2016, primarily for expense reimbursements. See Notes 6 and 13 for additional information. | ||||||||||||||||
[4] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Commitment And Contingencies [Abstract] | |||
Employment agreements expiration description | Employment agreements expire at various dates through 2023 | ||
Commitments outstanding | $ 0 | ||
Lease expiration date | Apr. 30, 2027 | ||
Occupancy expense | $ 2,287,000 | $ 1,069,000 | $ 966,000 |
Commitment and Contingencies -
Commitment and Contingencies - Schedule of Future Minimum Payments Under Employment Agreements (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Commitment And Contingencies [Abstract] | |
2019 | $ 2,062 |
2020 | 889 |
2021 | 665 |
2022 | 665 |
2023 | 277 |
Thereafter | 0 |
Total | $ 4,558 |
Commitment and Contingencies _2
Commitment and Contingencies - Schedule of Minimum Rental Commitments For Non-Cancelable Leases (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
2019 | $ 2,357 |
2020 | 2,380 |
2021 | 2,278 |
2022 | 2,216 |
2023 | 2,136 |
Thereafter | 6,048 |
Total | $ 17,415 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Medallion Bank [Member] | ||||
Related Party Transaction [Line Items] | ||||
Loan receivable to bank | $ 311,988,000 | $ 325,751,000 | ||
Medallion Servicing Corporation [Member] | ||||
Related Party Transaction [Line Items] | ||||
Interest income | 5,272,000 | 5,421,000 | ||
Medallion Fine Art Inc [Member] | ||||
Related Party Transaction [Line Items] | ||||
Interest income | $ 10,000 | 165,000 | 596,000 | |
Outstanding loan amount to Medallion Fine Art | 999,000 | |||
Loan amount advanced | 0 | |||
Loan amount repaid | $ 2,365,000 | |||
Medallion Fine Art Inc [Member] | Paid In Kind [Member] | ||||
Related Party Transaction [Line Items] | ||||
Interest rate on loan | 12.00% | |||
RPAC [Member] | ||||
Related Party Transaction [Line Items] | ||||
Interest income | $ 0 | $ 56,000 | $ 626,000 | |
Outstanding loan amount to Medallion Fine Art | $ 16,472,000 | |||
Interest rate on loan | 2.00% | |||
Officer [Member] | LAX Group, LLC [Member] | ||||
Related Party Transaction [Line Items] | ||||
Salary from related party | 171,000 | |||
Consulting services revenue from related party | $ 4,200 | |||
Officer [Member] | Common Class B [Member] | LAX Group, LLC [Member] | ||||
Related Party Transaction [Line Items] | ||||
Equity ownership percentage by a related party | 10.00% | |||
Common stock vesting percentage | 3.34% | |||
Percentage of equity raised from outside investors | 5.00% | |||
Percentage of bonus received from related party | 10.00% | |||
Petty Trust [Member] | RPAC [Member] | ||||
Related Party Transaction [Line Items] | ||||
Annual payment for services provided to the entity | $ 700,000 | |||
Note payable to the Petty Trust | $ 7,149,000 | |||
Interest percentage of Notes payable | 2.00% | |||
Minimum [Member] | Officer [Member] | Common Class B [Member] | LAX Group, LLC [Member] | ||||
Related Party Transaction [Line Items] | ||||
Valuation of equity raised from outside investors | $ 1,500,000 |
Related Party Transaction - Sum
Related Party Transaction - Summary of Net Revenue Received (Detail) - Medallion Bank [Member] - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Schedule of Other Related Party Transactions [Line Items] | |||
Reimbursement of operating expenses | $ 250 | $ 865 | $ 1,006 |
Loan origination and servicing fees | 6 | 5 | 229 |
Total other income | $ 256 | $ 870 | $ 1,235 |
Stockholder's_Shareholder's Equ
Stockholder's/Shareholder's Equity - Additional Information (Detail) - Stock Repurchase Program [Member] - USD ($) | 1 Months Ended | 12 Months Ended | |||||
Nov. 30, 2003 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jul. 31, 2015 | Jul. 31, 2014 | Nov. 30, 2004 | |
Stockholders Equity [Line Items] | |||||||
Repurchases of common stock | $ 10,000,000 | $ 26,000,000 | $ 20,000,000 | $ 10,000,000 | |||
Stock repurchase program expiration date | May 31, 2018 | ||||||
Stock repurchased during period | 2,931,125 | ||||||
Payment for repurchase of common stock | $ 24,587,000 | ||||||
Stock purchased during period | 0 | 0 | 361,174 | ||||
Stock purchased during period, value | $ 1,524,000 |
Other Operating Expenses - Summ
Other Operating Expenses - Summary of Major Components of Other Operating Expenses (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Other Operating Expenses [Abstract] | |||
Directors' fees | $ 89 | $ 319 | $ 387 |
Miscellaneous taxes | 120 | 258 | 328 |
Computer expense | 74 | 244 | 257 |
Other expenses | 304 | 727 | 574 |
Total other operating expenses | $ 587 | $ 1,548 | $ 1,546 |
Selected Financial Ratios and_3
Selected Financial Ratios and Other Data - Summary of Selected Financial Ratios and Other Data (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | ||||||||||
Mar. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||
Net share data | ||||||||||||
Net asset value at the beginning of the year | $ 11,800 | $ 11,800 | $ 11,910 | $ 11,420 | $ 11,160 | $ 10,950 | ||||||
Net investment income (loss) | (0.15) | (0.33) | (0.41) | 0.69 | 0.60 | |||||||
Income tax provision (benefit) | 0.03 | 1.51 | (1.90) | 0 | 0 | |||||||
Net realized gains (losses) on investments | (1.44) | (1.82) | 0.02 | 0.31 | (0.22) | |||||||
Net change in unrealized appreciation on investments | 0.94 | 0.65 | 3.26 | 0.20 | 0.76 | |||||||
Net increase (decrease) in net assets resulting from operations | (0.62) | 0.01 | 0.97 | 1.20 | 1.14 | |||||||
Issuance of common stock | (0.03) | (0.12) | (0.01) | |||||||||
Repurchase of common stock | $ 0.12 | $ 0.06 | $ 0.03 | |||||||||
Distribution of net investment income | $ (0.60) | $ (0.81) | $ (0.60) | |||||||||
Return of capital | $ (0.18) | $ (0.35) | ||||||||||
Distribution of net realized gains on investments | 0 | 0 | $ 0 | 0 | 0 | |||||||
Total distributions | (0.60) | (0.99) | (0.95) | |||||||||
Other | (0.01) | |||||||||||
Total increase (decrease) in net asset value | (0.65) | (0.11) | 0.49 | 0.26 | 0.21 | |||||||
Net asset value at the end of the period/year | [1] | 11.15 | 11.80 | 11.91 | 11.42 | 11.16 | ||||||
Per share market value at beginning of year | 3.53 | $ 3.53 | 3.02 | 7.04 | 10.01 | 14.35 | ||||||
Per share market value at end of period/year | $ 4.65 | $ 3.53 | $ 3.02 | $ 7.04 | $ 10.01 | |||||||
Total return | [2] | (129.00%) | 17.00% | (54.00%) | (22.00%) | (25.00%) | ||||||
Ratios/supplemental data | ||||||||||||
Total shareholders' equity (net assets) | $ 272,437,000 | $ 290,204,000 | $ 287,159,000 | $ 286,096,000 | $ 278,088,000 | $ 274,670,000 | ||||||
Average net assets | $ 284,021,000 | $ 285,704,000 | $ 276,978,000 | $ 276,745,000 | $ 276,254,000 | |||||||
Total expense ratio | 10.02% | [3],[4],[5] | 27.52% | (3.03%) | [3],[4],[5] | 29.36% | [3],[4],[5] | 9.45% | [3],[4],[5] | 9.57% | [3],[4],[5] | |
Operating expenses to average net assets | 5.87% | [3],[4] | 6.39% | 4.83% | [3],[4] | 8.23% | [3],[4] | 6.04% | [3],[4] | 6.48% | [3],[4] | |
Net investment income (loss) after income taxes to average net assets | [3],[4] | (4.61%) | (2.49%) | 0.04% | 6.08% | 5.48% | ||||||
[1] | Includes $0.00 of undistributed net investment income per share as of three months ended March 31, 2018 and December 31, 2017, 2016, 2015 and 2014, and $0.00 of undistributed net realized gains per share for all periods presented. | |||||||||||
[2] | Total return is calculated by dividing the change in market value of a share of common stock during the year, assuming the reinvestment of distributions on the payment date, by the per share market value at the beginning of the year. | |||||||||||
[3] | MSC has assumed certain of the Company's servicing obligations, and as a result, servicing fee income of $1,290, $5,272, $5,421, $5,658, and $5,946, and operating expenses of $1,150, $4,211, $5,249, $6,044, and $6,005 which formerly were the Company's, were now MSC's for the three months ended March 31, 2018 and the years ended December 31, 2017, 2016, 2015, and 2014. Excluding the impact of the MSC amounts, the total expense ratio, operating expense ratio, and net investment income (loss) ratio would have been 11.75%, 6.88%, and 7.51% in the March 31, 2018 quarter, (1.37%), 6.31%, and (2.49%) in 2017, 29.42%, 8.28%, and 1.95% in 2016, 11.63%, 8.23%, and 5.94% in 2015, and 11.74%, 8.65%, and 5.46% in 2014. | |||||||||||
[4] | These ratios include the goodwill impairment writeoff of $5,099 in 2016. Excluding the writeoff the total expense, operating expense, and net investment income ratios were 27.52%, 6.39%, and 1.88% in 2016. | |||||||||||
[5] | Total expense ratio represents total expenses (interest expense, operating expenses, and income taxes) divided by average net assets. |
Selected Financial Ratios and_4
Selected Financial Ratios and Other Data - Summary of Selected Financial Ratios and Other Data (Parenthetical) (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||||||
Investment Holdings [Line Items] | |||||||||||
Undistributed net investment income per share | $ 0 | ||||||||||
Undistributed net realized gains per share | $ 0 | $ 0 | $ 0 | $ 0 | |||||||
Servicing fee | $ 1,290 | $ 5,272 | $ 5,421 | $ 5,658 | $ 5,946 | ||||||
Operating expenses | $ 1,150 | $ 4,211 | $ 5,249 | $ 6,044 | $ 6,005 | ||||||
Goodwill impairment writeoff | $ 5,099 | ||||||||||
Total expense ratio | 10.02% | [1],[2],[3] | 27.52% | (3.03%) | [1],[2],[3] | 29.36% | [1],[2],[3] | 9.45% | [1],[2],[3] | 9.57% | [1],[2],[3] |
Operating expense ratio | 5.87% | [1],[2] | 6.39% | 4.83% | [1],[2] | 8.23% | [1],[2] | 6.04% | [1],[2] | 6.48% | [1],[2] |
Net investment income ratio | 1.88% | ||||||||||
Excluding Impact of Medallion Servicing Corp. Amounts [Member] | |||||||||||
Investment Holdings [Line Items] | |||||||||||
Total expense ratio | 11.75% | (1.37%) | 29.42% | 11.63% | 11.74% | ||||||
Operating expense ratio | 6.88% | 6.31% | 8.28% | 8.23% | 8.65% | ||||||
Net investment income ratio | 7.51% | (2.49%) | 1.95% | 5.94% | 5.46% | ||||||
[1] | MSC has assumed certain of the Company's servicing obligations, and as a result, servicing fee income of $1,290, $5,272, $5,421, $5,658, and $5,946, and operating expenses of $1,150, $4,211, $5,249, $6,044, and $6,005 which formerly were the Company's, were now MSC's for the three months ended March 31, 2018 and the years ended December 31, 2017, 2016, 2015, and 2014. Excluding the impact of the MSC amounts, the total expense ratio, operating expense ratio, and net investment income (loss) ratio would have been 11.75%, 6.88%, and 7.51% in the March 31, 2018 quarter, (1.37%), 6.31%, and (2.49%) in 2017, 29.42%, 8.28%, and 1.95% in 2016, 11.63%, 8.23%, and 5.94% in 2015, and 11.74%, 8.65%, and 5.46% in 2014. | ||||||||||
[2] | These ratios include the goodwill impairment writeoff of $5,099 in 2016. Excluding the writeoff the total expense, operating expense, and net investment income ratios were 27.52%, 6.39%, and 1.88% in 2016. | ||||||||||
[3] | Total expense ratio represents total expenses (interest expense, operating expenses, and income taxes) divided by average net assets. |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Detail) - 401 K Plan [Member] - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Contribution Plan Disclosure [Line Items] | |||
Minimum percentage of compensation allowed to be deferred | 1.00% | ||
Maximum percentage of compensation allowed to be deferred | 15.00% | ||
Employee contributions to 401(k) Plan matched by company in an amount per employee | 33.33% | ||
Employer matching contribution, percent of employees' annual pay | 2.00% | ||
Defined benefit plan amount expense | $ 182,000 | $ 185,000 | $ 187,000 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Summary of Carrying Values and Fair Values of Financial Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | |
Financial assets | |||
Investment securities | $ 908,297 | ||
Loans receivable | 864,819 | ||
Investments | 43,478 | ||
Carrying Amount [Member] | Bank Holding Company Accounting [Member] | |||
Financial assets | |||
Cash and federal funds sold | [1] | $ 57,713 | |
Equity investments | 9,197 | ||
Investment securities | 45,324 | ||
Loans receivable | 981,487 | ||
Accrued interest receivable | [2] | 7,413 | |
Financial liabilities | |||
Funds borrowed | [3] | 1,062,028 | |
Accrued interest payable | 3,852 | ||
Carrying Amount [Member] | Investment Company Accounting [Member] | |||
Financial assets | |||
Cash and federal funds sold | [1] | 12,690 | |
Investments | 610,135 | ||
Accrued interest receivable | [2] | 547 | |
Financial liabilities | |||
Funds borrowed | [3] | 327,623 | |
Accrued interest payable | 3,831 | ||
Fair Value Recurring [Member] | |||
Financial assets | |||
Investments | [4] | 45,324 | |
Fair Value Recurring [Member] | Bank Holding Company Accounting [Member] | |||
Financial assets | |||
Cash and federal funds sold | [1] | 57,713 | |
Equity investments | 9,197 | ||
Investment securities | 45,324 | ||
Loans receivable | 981,487 | ||
Accrued interest receivable | [2] | 7,413 | |
Financial liabilities | |||
Funds borrowed | [3] | 1,062,297 | |
Accrued interest payable | $ 3,852 | ||
Fair Value Recurring [Member] | Investment Company Accounting [Member] | |||
Financial assets | |||
Cash and federal funds sold | [1] | 12,690 | |
Investments | 610,135 | ||
Accrued interest receivable | [2] | 547 | |
Financial liabilities | |||
Funds borrowed | [3] | 330,084 | |
Accrued interest payable | $ 3,831 | ||
[1] | Categorized as level 1 within the fair value hierarchy. | ||
[2] | Categorized as level 3 within the fair value hierarchy. | ||
[3] | As of December 31, 2018 and 2017, publicly traded unsecured notes traded at a premium to par of $269 and $2,461. | ||
[4] | Total unrealized losses of $82, net of tax, was included in accumulated other comprehensive income (loss) for the nine months ended December 31, 2018 related to these assets. |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments - Summary of Carrying Values and Fair Values of Financial Instruments (Parenthetical) (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value Disclosures [Abstract] | ||
Publicly traded retail notes traded at a premium to par | $ 269 | $ 2,461 |
Fair Value of Assets and Liab_3
Fair Value of Assets and Liabilities - Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | |
Assets | |||
Available for sale investment securities | $ 43,478 | ||
Medallion Financing Trust I [Member] | |||
Assets | |||
Medallion loans | 311,988 | ||
Medallion Bank and Other Controlled Subsidiaries [Member] | |||
Assets | |||
Investments in Medallion Bank and other controlled subsidiaries | [1] | 302,147 | |
Fair Value Recurring [Member] | |||
Assets | |||
Equity investments | $ 9,197 | 9,521 | |
Available for sale investment securities | [2] | 45,324 | |
Total | 54,521 | ||
Commercial loans | 90,188 | ||
Equity investments | 9,197 | 9,521 | |
Investments other than securities | 7,450 | ||
Other assets | 339 | ||
Fair Value Recurring [Member] | Medallion Financing Trust I [Member] | |||
Assets | |||
Medallion loans | 208,279 | ||
Fair Value Recurring [Member] | Medallion Bank and Other Controlled Subsidiaries [Member] | |||
Assets | |||
Investments in Medallion Bank and other controlled subsidiaries | 302,147 | ||
Fair Value Recurring [Member] | Level 2 [Member] | |||
Assets | |||
Available for sale investment securities | [2] | 45,324 | |
Total | 45,324 | ||
Fair Value Recurring [Member] | Level 3 [Member] | |||
Assets | |||
Equity investments | 9,197 | 9,521 | |
Total | 9,197 | ||
Commercial loans | 90,188 | ||
Equity investments | $ 9,197 | 9,521 | |
Investments other than securities | 7,450 | ||
Other assets | 339 | ||
Fair Value Recurring [Member] | Level 3 [Member] | Medallion Financing Trust I [Member] | |||
Assets | |||
Medallion loans | 208,279 | ||
Fair Value Recurring [Member] | Level 3 [Member] | Medallion Bank and Other Controlled Subsidiaries [Member] | |||
Assets | |||
Investments in Medallion Bank and other controlled subsidiaries | $ 302,147 | ||
[1] | Includes $152,267 of unrealized appreciation on Medallion Bank in excess of Medallion Bank's book value as of December 31, 2017. | ||
[2] | Total unrealized losses of $82, net of tax, was included in accumulated other comprehensive income (loss) for the nine months ended December 31, 2018 related to these assets. |
Fair Value of Assets and Liab_4
Fair Value of Assets and Liabilities - Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Parenthetical) (Detail) $ in Thousands | 9 Months Ended |
Dec. 31, 2018USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Abstract] | |
Net change in unrealized losses on investments, net of tax | $ (82) |
Fair Value of Assets and Liab_5
Fair Value of Assets and Liabilities - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||||
Moratorium's expiration period | 2013-07 | |||
Medallion Financing Trust I [Member] | ||||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||||
Appreciation in Investment in Medallion Bank | $ 39,826,000 | $ 7,849,000 | $ 128,918,000 | $ 15,500,000 |
Fair Value of Assets and Liab_6
Fair Value of Assets and Liabilities - Schedule of Changes in Fair Value of the Company's Level 3 Assets and Liabilities (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Mar. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |||||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | |||||||
Beginning balance | $ 7,450,000 | ||||||
Ending balance | $ 7,450,000 | ||||||
Fair Value, Measurements, Nonrecurring [Member] | Taxi Medallion Loan Trust III [Member] | |||||||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | |||||||
Beginning balance | 208,279,000 | $ 161,155,000 | 266,816,000 | ||||
Gains (losses) included in earnings | (38,190,000) | (41,555,000) | |||||
Purchases, investments, and issuances | 7,000 | 1,953,000 | |||||
Sales, maturities, settlements, and distributions | (8,941,000) | (18,935,000) | |||||
Ending balance | 161,155,000 | 208,279,000 | |||||
Amounts related to held assets | (38,190,000) | [1] | 37,335,000 | [2] | |||
Fair Value, Measurements, Nonrecurring [Member] | Commercial Loan And Lease [Member] | |||||||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | |||||||
Beginning balance | 90,188,000 | 93,620,000 | 83,634,000 | ||||
Gains (losses) included in earnings | (8,000) | (491,000) | |||||
Purchases, investments, and issuances | 7,252,000 | 25,517,000 | |||||
Sales, maturities, settlements, and distributions | (3,812,000) | (18,472,000) | |||||
Ending balance | 93,620,000 | 90,188,000 | |||||
Amounts related to held assets | (10,000) | [1] | (410,000) | [2] | |||
Fair Value, Measurements, Nonrecurring [Member] | Investment [Member] | |||||||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | |||||||
Beginning balance | 302,147,000 | 331,169,000 | 293,360,000 | ||||
Gains (losses) included in earnings | 29,143,000 | 10,761,000 | |||||
Purchases, investments, and issuances | 462,000 | 441,000 | |||||
Sales, maturities, settlements, and distributions | (583,000) | (2,415,000) | |||||
Ending balance | 331,169,000 | 302,147,000 | |||||
Amounts related to held assets | 29,143,000 | [1] | 10,756,000 | [2] | |||
Fair Value, Measurements, Nonrecurring [Member] | Equity Investment [Member] | |||||||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | |||||||
Beginning balance | 9,521,000 | 9,458,000 | 8,407,000 | ||||
Gains (losses) included in earnings | (993,000) | (1,274,000) | 4,727,000 | ||||
Purchases, investments, and issuances | 935,000 | 1,232,000 | 1,660,000 | ||||
Sales, maturities, settlements, and distributions | (5,000) | (1,596,000) | (5,273,000) | ||||
Transfers in | [3] | 1,377,000 | |||||
Ending balance | 9,458,000 | 9,197,000 | 9,521,000 | ||||
Amounts related to held assets | (993,000) | [1] | (1,851,000) | [4] | 1,941,000 | [2] | |
Fair Value, Measurements, Nonrecurring [Member] | Other than Securities Investment [Member] | |||||||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | |||||||
Beginning balance | 7,450,000 | 5,535,000 | 9,510,000 | ||||
Gains (losses) included in earnings | (1,915,000) | (2,060,000) | |||||
Ending balance | 5,535,000 | 7,450,000 | |||||
Amounts related to held assets | (1,915,000) | [1] | (2,060,000) | [2] | |||
Fair Value, Measurements, Nonrecurring [Member] | Other Asset [Member] | |||||||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | |||||||
Beginning balance | 339,000 | $ 339,000 | 354,000 | ||||
Gains (losses) included in earnings | (15,000) | ||||||
Ending balance | $ 339,000 | 339,000 | |||||
Amounts related to held assets | [2] | $ (15,000) | |||||
[1] | Total realized and unrealized gains (losses) included in income for the period which relate to assets held as of March 31, 2018 | ||||||
[2] | Total unrealized gains (losses) included in income for the year which relate to assets held as of December 31, 2017. | ||||||
[3] | Represents the removal of RPAC investments eliminated in consolidation as well as the transfer of LAX from controlled subsidiaries during the 2018 second quarter. | ||||||
[4] | Total realized and unrealized gains (losses) included in income for the period which relate to assets held as of December 31, 2018. |
Fair Value of Assets and Liab_7
Fair Value of Assets and Liabilities - Summary of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Assets | ||
Impaired loans | $ 140,180 | $ 338,867 |
Fair Value, Measurements, Nonrecurring [Member] | ||
Assets | ||
Impaired loans | 34,877 | |
Loan collateral in process of foreclosure | 49,495 | |
Total | 84,372 | |
Fair Value, Measurements, Nonrecurring [Member] | Level 3 [Member] | ||
Assets | ||
Impaired loans | 34,877 | |
Loan collateral in process of foreclosure | 49,495 | |
Total | $ 84,372 |
Fair Value of Assets and Liab_8
Fair Value of Assets and Liabilities - Summary of Valuation Techniques and Significant Unobservable Inputs Used in Recurring Level 3 Fair Value Measurements of Assets and Liabilities (Detail) | 12 Months Ended | |
Dec. 31, 2018USD ($)$ / shares | Dec. 31, 2017USD ($)$ / shares | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investment | $ 43,478,000 | |
Medallion Loans [Member] | Level 3 [Member] | Precedent Market Transactions [Member] | Measurement Input Adequacy of Collateral Loan to Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Loans | 208,279,000 | |
Commercial Loans [Member] | Level 3 [Member] | Borrower Financial Analysis [Member] | Measurement Input Financial Condition and Operational Performance [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Loans | $ 90,188,000 | |
Investment in Medallion Bank [Member] | Cash Flow Analysis [Member] | Measurement Input, Conversion Price [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investment, measurement input | 0.1750 | |
Investment in Medallion Bank [Member] | Level 3 [Member] | Valuation Technique Precedent Merger and Acquisition Transactions [Member] | Price Book Value Multiples [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investment | $ 290,548,000 | |
Investment in Other Controlled Subsidiaries [Member] | Level 3 [Member] | Investee Financial Analysis [Member] | Financial Condition and Operating Performance of the Investee [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investment | 4,623,000 | |
Investment in Other Controlled Subsidiaries [Member] | Level 3 [Member] | Investee Book Value Adjusted for Asset Appreciation [Member] | Third Party Valuation or Offer to Purchase Asset [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investment | 3,878,000 | |
Investment in Other Controlled Subsidiaries [Member] | Level 3 [Member] | Investee Book Value Adjusted for Market Appreciation [Member] | Third Party Offer to Purchase Investment [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investment | 3,001,000 | |
Investment in Other Controlled Subsidiaries [Member] | Level 3 [Member] | Investee Book Value and Equity Pickup [Member] | Financial Condition and Operating Performance of the Investee [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investment | $ 97,000 | |
Equity Investments [Member] | Precedent Market Transactions [Member] | Equity Method Offering Price [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity Value | $ / shares | $ 8.73 | $ 8.73 |
Equity Investments [Member] | Investee Financial Analysis [Member] | Measurement Input, Credit Spread [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity investment, input | 0.12 | |
Equity Investments [Member] | Level 3 [Member] | Precedent Market Transactions [Member] | Equity Method Offering Price [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity investments | $ 1,455,000 | $ 1,455,000 |
Equity Investments [Member] | Level 3 [Member] | Investee Financial Analysis [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity investments | 5,417,000 | |
Equity Investments [Member] | Level 3 [Member] | Investee Financial Analysis [Member] | Measurement Input Financial Condition and Operational Performance [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity investments | 5,683,000 | |
Equity Investments [Member] | Level 3 [Member] | Investee Financial Analysis [Member] | Measurement Input, Share Price [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity investments | 2,193,000 | |
Equity Investments [Member] | Level 3 [Member] | Investee Book Value Adjusted for Market Appreciation [Member] | Financial Condition and Operating Performance of the Investee [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity investments | 1,850,000 | |
Equity Investments [Member] | Level 3 [Member] | Investee Book Value [Member] | Measurement Input, Transfer prices of Chicago medallions [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity investments | $ 456,000 | |
Equity Investments [Member] | Level 3 [Member] | Investee Book Value [Member] | Equity Method Valuation Indicated By Investee Filings [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity investments | 209,000 | |
Other than Securities Investment [Member] | Cash Flow Analysis [Member] | Discount Rate in Cash Flow Analysis [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investments other than securities | 0.06 | |
Other than Securities Investment [Member] | Level 3 [Member] | Cash Flow Analysis [Member] | Discount Rate in Cash Flow Analysis [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investments other than securities | $ 7,450,000 | |
Other Debt Obligations [Member] | Borrower Collateral Analysis [Member] | Measurement Input, Adequacy of Collateral [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Other assets, input | 0 | |
Other Debt Obligations [Member] | Level 3 [Member] | Borrower Collateral Analysis [Member] | Measurement Input, Adequacy of Collateral [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Other assets | $ 339,000 | |
Minimum [Member] | Medallion Loans [Member] | Precedent Market Transactions [Member] | Measurement Input Adequacy of Collateral Loan to Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Loans, measurement input | 0.01 | |
Minimum [Member] | Commercial Loans [Member] | Borrower Financial Analysis [Member] | Measurement Input Financial Condition and Operational Performance [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Loans, measurement input | 0.0200 | |
Minimum [Member] | Investment in Medallion Bank [Member] | Valuation Technique Precedent Merger and Acquisition Transactions [Member] | Price Book Value Multiples [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investment, measurement input | 2.1 | |
Minimum [Member] | Investment in Medallion Bank [Member] | Valuation Technique Precedent Merger and Acquisition Transactions [Member] | Price Earnings Multiple [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investment, measurement input | 8.7 | |
Minimum [Member] | Investment in Medallion Bank [Member] | Cash Flow Analysis [Member] | Terminal Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity Value | $ 470,964,000 | |
Minimum [Member] | Investment in Other Controlled Subsidiaries [Member] | Investee Financial Analysis [Member] | Financial Condition and Operating Performance Enterprise Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity Value | 37,500,000 | |
Minimum [Member] | Investment in Other Controlled Subsidiaries [Member] | Investee Financial Analysis [Member] | Financial Condition and Operating Performance Equity Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity Value | 2,000,000 | |
Minimum [Member] | Equity Investments [Member] | Investee Financial Analysis [Member] | Measurement Input, Share Price [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity Value | $ 2,000,000 | |
Minimum [Member] | Equity Investments [Member] | Precedent Arms Length Offer [Member] | Financial Condition and Operating Performance Enterprise Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity Value | $ 6,014,000 | |
Equity investment, input | 0.96 | |
Maximum [Member] | Medallion Loans [Member] | Precedent Market Transactions [Member] | Measurement Input Adequacy of Collateral Loan to Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Loans, measurement input | 4.20 | |
Maximum [Member] | Commercial Loans [Member] | Borrower Financial Analysis [Member] | Measurement Input Financial Condition and Operational Performance [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Loans, measurement input | 0.1900 | |
Maximum [Member] | Investment in Medallion Bank [Member] | Valuation Technique Precedent Merger and Acquisition Transactions [Member] | Price Book Value Multiples [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investment, measurement input | 2.5 | |
Maximum [Member] | Investment in Medallion Bank [Member] | Valuation Technique Precedent Merger and Acquisition Transactions [Member] | Price Earnings Multiple [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Investment, measurement input | 10.6 | |
Maximum [Member] | Investment in Medallion Bank [Member] | Cash Flow Analysis [Member] | Terminal Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity Value | $ 623,007,000 | |
Maximum [Member] | Investment in Other Controlled Subsidiaries [Member] | Investee Financial Analysis [Member] | Financial Condition and Operating Performance Enterprise Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity Value | 41,500,000 | |
Maximum [Member] | Investment in Other Controlled Subsidiaries [Member] | Investee Financial Analysis [Member] | Financial Condition and Operating Performance Equity Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity Value | 5,000,000 | |
Maximum [Member] | Equity Investments [Member] | Investee Financial Analysis [Member] | Measurement Input, Share Price [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity Value | $ 5,000,000 | |
Maximum [Member] | Equity Investments [Member] | Precedent Arms Length Offer [Member] | Financial Condition and Operating Performance Enterprise Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity Value | $ 7,214,000 | |
Equity investment, input | 4.54 | |
Weighted Average [Member] | Medallion Loans [Member] | Precedent Market Transactions [Member] | Measurement Input Adequacy of Collateral Loan to Value [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Loans, measurement input | 1.31 | |
Weighted Average [Member] | Commercial Loans [Member] | Borrower Financial Analysis [Member] | Measurement Input Financial Condition and Operational Performance [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Loans, measurement input | 0.1202 |
Investments Other Than Securi_3
Investments Other Than Securities - Summary of Investments Other than Securities (Detail) $ in Thousands | Dec. 31, 2017USD ($)Investment | |
Investment Holdings [Line Items] | ||
Investment Cost | $ 8,689 | |
Value as of 12/31/17 | $ 7,450 | |
City of Chicago Taxicab Medallions [Member] | ||
Investment Holdings [Line Items] | ||
Number of Investments | Investment | 154 | [1] |
Investment Cost | $ 8,411 | |
Value as of 12/31/17 | $ 7,238 | [2] |
City of Chicago Taxicab Medallions Handicap Accessible [Member] | ||
Investment Holdings [Line Items] | ||
Number of Investments | Investment | 5 | [1] |
Investment Cost | $ 278 | |
Value as of 12/31/17 | $ 212 | [3] |
[1] | Investment is not readily marketable, is considered income producing, is not subject to option, and is a non-qualifying asset under the 1940 Act. | |
[2] | Gross unrealized appreciation, gross unrealized depreciation, and net unrealized appreciation for federal income tax purposes was $5,846, $0, and $5,846 as of December 31, 2017. The aggregate cost for federal income tax purposes was $1,392 at December 31, 2017. | |
[3] | Gross unrealized appreciation, gross unrealized depreciation, and net unrealized appreciation for federal income tax purposes was $172, $0, and $172 as of December 31, 2017. The aggregate cost for federal income tax purposes was $40 at December 31, 2017. |
Investments Other Than Securi_4
Investments Other Than Securities - Summary of Investments Other than Securities (Parenthetical) (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
City of Chicago Taxicab Medallions [Member] | |
Investment Holdings [Line Items] | |
Gross unrealized appreciation | $ 5,846 |
Gross unrealized depreciation | 0 |
Net unrealized appreciation | 5,846 |
Aggregate Cost for federal income tax | 1,392 |
City of Chicago Taxicab Medallions Handicap Accessible [Member] | |
Investment Holdings [Line Items] | |
Gross unrealized appreciation | 172 |
Gross unrealized depreciation | 0 |
Net unrealized appreciation | 172 |
Aggregate Cost for federal income tax | $ 40 |
Small Business Lending Fund P_2
Small Business Lending Fund Program (SBLF) and Troubled Assets Relief Program (TARP) - Additional Information (Detail) - Capital Purchase Program [Member] - USD ($) | Apr. 02, 2018 | Jul. 21, 2011 | Feb. 27, 2009 | Dec. 31, 2018 |
U.S. Treasury Securities [Member] | ||||
Changes In Equity And Comprehensive Income Line Items [Line Items] | ||||
Aggregate purchase price | $ 26,303,000 | |||
US Treasury shares purchased | 26,303 | |||
Series ABC and D Non-cumulative Perpetual Preferred Stock [Member] | ||||
Changes In Equity And Comprehensive Income Line Items [Line Items] | ||||
Aggregate purchase price | $ 21,498,000 | |||
Redemption of preferred stock | $ 4,000,000 | |||
Series E Senior Non-Cumulative Perpetual Preferred Stock [Member] | ||||
Changes In Equity And Comprehensive Income Line Items [Line Items] | ||||
Aggregate purchase price | $ 26,303,000 | |||
Percentage of dividend payment rate | 9.00% |
Parent Company Only Condensed_3
Parent Company Only Condensed Financial Information - Condensed Balance Sheet (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | |
Assets | |||
Cash | $ 110,233 | ||
Net loans receivable | $ 981,487 | ||
Other assets | 58,827 | ||
Total assets | 1,381,846 | 1,077,357 | |
Liabilities | |||
Other liabilities | 3,836 | ||
Total liabilities | 913,127 | ||
Total stockholders' equity | [1] | 164,230 | |
Total liabilities and equity | $ 1,077,357 | ||
Parent Company [Member] | |||
Assets | |||
Cash | 1,110 | ||
Net loans receivable | 37,737 | ||
Loans collateral in process of foreclosure | 12,001 | ||
Goodwill and intangible assets | 178,621 | ||
Investments in bank subsidiaries | 142,469 | ||
Investments in non-bank subsidiaries | 91,059 | ||
Other assets | 5,776 | ||
Total assets | 468,773 | ||
Liabilities | |||
Other liabilities | 9,073 | ||
Intercompany payables | 63,352 | ||
Short-term borrowings | 38,870 | ||
Deferred tax liabilities and other tax payables | 28,245 | ||
Long-term borrowings | 66,625 | ||
Total liabilities | 206,165 | ||
Total stockholders' equity | 262,608 | ||
Total liabilities and equity | $ 468,773 | ||
[1] | Includes $26,303 of preferred stock issued to the U.S. Treasury under the Small Business Lending Fund Program (SBLF). |
Parent Company Only Condensed_4
Parent Company Only Condensed Financial Information - Condensed Statements of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2018 | |||
Condensed Income Statements, Captions [Line Items] | ||||||||||||||||
Interest income | $ 96,803 | $ 3,287 | [1] | |||||||||||||
Interest expense | [1] | 3,551 | ||||||||||||||
Net interest income (loss) | 71,987 | 72,469 | [1] | |||||||||||||
Provision for loan losses | (59,008) | (59,008) | [1] | |||||||||||||
Net interest loss after provision for loan losses | 12,979 | 13,461 | [1] | |||||||||||||
Loss before income taxes and undistributed earnings of subsidiaries | $ 14,712 | $ (3,963) | $ (17,905) | $ (3,566) | (7,156) | (10,722) | [1],[2] | |||||||||
Income tax benefit | [1] | 8,426 | ||||||||||||||
Loss before undistributed earnings of subsidiaries | $ 9,172 | $ (4,697) | $ (14,647) | $ (14,874) | $ 3,345 | $ 619 | $ (4,797) | $ 1,111 | $ 7,056 | $ 5,043 | $ 4,568 | $ 6,848 | $ (25,046) | [1] | ||
Parent Company [Member] | ||||||||||||||||
Condensed Income Statements, Captions [Line Items] | ||||||||||||||||
Interest income | (1,958) | |||||||||||||||
Interest expense | 5,480 | |||||||||||||||
Net interest income (loss) | (7,438) | |||||||||||||||
Provision for loan losses | 19,190 | |||||||||||||||
Net interest loss after provision for loan losses | (26,628) | |||||||||||||||
Other income (expenses), net | (16,913) | |||||||||||||||
Loss before income taxes and undistributed earnings of subsidiaries | (43,541) | |||||||||||||||
Income tax benefit | 5,328 | |||||||||||||||
Loss before undistributed earnings of subsidiaries | (38,213) | |||||||||||||||
Undistributed earnings of subsidiaries | 28,041 | |||||||||||||||
Net loss attributable to parent company | $ (10,172) | |||||||||||||||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | |||||||||||||||
[2] | Includes $256, $870, and $1,235 of net revenues received from Medallion Bank for the years ended December 31, 2018, 2017, and 2016, primarily for expense reimbursements. See Notes 6 and 13 for additional information. |
Parent Company Only Condensed_5
Parent Company Only Condensed Financial Information - Condensed Statement of Other Comprehensive Loss (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2018 | |||
Condensed Statement of Income Captions [Line Items] | ||||||||||||||||
Net loss | $ 9,865 | $ (3,846) | $ (13,884) | $ (14,874) | $ (2,903) | $ (2,490) | $ (1,293) | $ (435) | $ 2,088 | $ (2,606) | $ (1,402) | $ 2,039 | $ (7,865) | $ (22,739) | [1],[2] | |
Other comprehensive loss | [2] | (82) | ||||||||||||||
Total comprehensive income (loss) attributable to Medallion Financial Corp. | [2] | $ (25,128) | ||||||||||||||
Parent Company [Member] | ||||||||||||||||
Condensed Statement of Income Captions [Line Items] | ||||||||||||||||
Net loss | (10,172) | |||||||||||||||
Other comprehensive loss | (82) | |||||||||||||||
Total comprehensive income (loss) attributable to Medallion Financial Corp. | $ (10,254) | |||||||||||||||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | |||||||||||||||
[2] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. |
Parent Company Only Condensed_6
Parent Company Only Condensed Financial Information - Condensed Statements of Cash Flows (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2018 | ||||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||||||||||||||
Net loss | $ 9,865 | $ (3,846) | $ (13,884) | $ (14,874) | $ (2,903) | $ (2,490) | $ (1,293) | $ (435) | $ 2,088 | $ (2,606) | $ (1,402) | $ 2,039 | $ (7,865) | $ (22,739) | [1],[2] | ||||
Adjustments to reconcile net loss to net cash provided by operating activities: | |||||||||||||||||||
Provision for loan losses | [2] | 59,008 | |||||||||||||||||
Depreciation and amortization | [2] | 5,564 | |||||||||||||||||
Change in deferred and other tax assets/liabilities, net | [2] | 13,637 | |||||||||||||||||
Proceeds loan collateral in process of foreclosure | [2] | 11,593 | |||||||||||||||||
Net change in loan collateral in process of foreclosure | [2] | 9,926 | |||||||||||||||||
Stock-based compensation expense | [2] | 576 | |||||||||||||||||
Decrease in other assets | [2] | 1,309 | |||||||||||||||||
Increase in other liabilities | [2] | 4,196 | |||||||||||||||||
Net cash used by operating activities | [2] | 78,144 | |||||||||||||||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||||||||||||||
Loans originated | [2] | (333,740) | |||||||||||||||||
Proceeds from principal receipts, sales, and maturities of loans | [2] | 302,409 | |||||||||||||||||
Net cash used for investing activities | [2] | (35,290) | |||||||||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||||||||||||||||
Proceeds from funds borrowed | [2] | 364,139 | |||||||||||||||||
Repayments of funds borrowed | [2] | (389,951) | |||||||||||||||||
Net cash used for financing activities | [2] | (27,654) | |||||||||||||||||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | [2] | 15,200 | |||||||||||||||||
Cash and cash equivalents, beginning of period | [2],[3] | 42,513 | 42,513 | ||||||||||||||||
Cash and cash equivalents, end of period | [2] | 57,713 | [4] | $ 42,513 | [3] | 57,713 | [4] | 57,713 | [4] | ||||||||||
Parent Company [Member] | |||||||||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||||||||||||||
Net loss | (10,172) | ||||||||||||||||||
Adjustments to reconcile net loss to net cash provided by operating activities: | |||||||||||||||||||
Equity in undistributed earnings of subsidiaries | (28,041) | ||||||||||||||||||
Provision for loan losses | 19,190 | ||||||||||||||||||
Depreciation and amortization | 5,451 | ||||||||||||||||||
Change in deferred and other tax assets/liabilities, net | 4,512 | ||||||||||||||||||
Proceeds loan collateral in process of foreclosure | 487 | ||||||||||||||||||
Net change in loan collateral in process of foreclosure | 678 | ||||||||||||||||||
Stock-based compensation expense | 425 | ||||||||||||||||||
Decrease in other assets | 4,073 | ||||||||||||||||||
Decrease in intercompany payables | (3,368) | (3,368) | (3,368) | ||||||||||||||||
Increase in other liabilities | 4,237 | ||||||||||||||||||
Net cash used by operating activities | (2,528) | ||||||||||||||||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||||||||||||||
Loans originated | (309) | ||||||||||||||||||
Proceeds from principal receipts, sales, and maturities of loans | 10,900 | ||||||||||||||||||
Dividends from subsidiaries | 5,200 | ||||||||||||||||||
Net cash used for investing activities | 15,791 | ||||||||||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||||||||||||||||
Proceeds from funds borrowed | 0 | ||||||||||||||||||
Repayments of funds borrowed | (17,208) | ||||||||||||||||||
Net cash used for financing activities | (17,208) | ||||||||||||||||||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | (3,945) | ||||||||||||||||||
Cash and cash equivalents, beginning of period | $ 5,055 | 5,055 | |||||||||||||||||
Cash and cash equivalents, end of period | $ 1,110 | $ 5,055 | $ 1,110 | $ 1,110 | |||||||||||||||
[1] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and the three months ended March 31, 2018 under Investment Company Accounting. | ||||||||||||||||||
[2] | Balance includes the nine months ended December 31, 2018 under Bank Holding Company Accounting and three months ended March 31, 2018 under Investment Company Accounting. | ||||||||||||||||||
[3] | Included in the beginning balance for the year ended December 31, 2018 was $29,923 of cash, cash equivalents, and federal funds sold as a result of the consolidation of previously unconsolidated subsidiaries and excludes $100 of cash held by the Company on deposit with Medallion Bank. | ||||||||||||||||||
[4] | Includes federal funds sold at December 31, 2018. |
Variable Interest Entities - Ad
Variable Interest Entities - Additional Information (Detail) | Oct. 31, 2018USD ($) |
Variable Interest Entity [Line Items] | |
Variable interest entity net gain | $ 25,325,000 |
Medallion Financing Trust I [Member] | |
Variable Interest Entity [Line Items] | |
Promissory note payable | $ 1,400,000 |
Variable Interest Entities - Sc
Variable Interest Entities - Schedule of Variable Interest Entities (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Assets | ||
Cash | $ 110,233 | |
Total assets | $ 1,381,846 | 1,077,357 |
Liabilities | ||
Total liabilities | 913,127 | |
Investment Company Accounting [Member] | ||
Assets | ||
Cash | 393 | |
Net investments | 96,688 | |
Accrued interest receivable | 170 | |
Total assets | 97,251 | |
Liabilities | ||
Accrued interest payable | 1,849 | |
Total liabilities | 101,833 | |
DZ Loan [Member] | Investment Company Accounting [Member] | ||
Liabilities | ||
Loans | $ 99,984 |