Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Nov. 30, 2015 | Mar. 31, 2015 | |
Document and Entity Information | |||
Entity Registrant Name | TIMBERLAND BANCORP INC, | ||
Entity Central Index Key | 1,046,050 | ||
Current Fiscal Year End Date | --09-30 | ||
Entity Filer Category | Smaller Reporting Company | ||
Document Type | 10-K | ||
Document Period End Date | Sep. 30, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 6,994,148 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 71 |
Timberland Bancorp, Inc. and Su
Timberland Bancorp, Inc. and Subsidiary Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Cash and cash equivalents: | ||
Cash and due from financial institutions | $ 14,014 | $ 11,818 |
Interest-bearing deposits in banks | 78,275 | 60,536 |
Total cash and cash equivalents | 92,289 | 72,354 |
Certificates of deposit (“CDs”) held for investment (at cost, which approximates fair value) | 48,611 | 35,845 |
Investment securities held to maturity, at amortized cost (estimated fair value of $8,894 and $6,274) | 7,913 | 5,298 |
Investment securities available for sale | 1,392 | 2,857 |
Federal Home Loan Bank (“FHLB”) stock | 2,699 | 5,246 |
Loans receivable, net of allowance for loan losses of $9,924 and $10,427 | 604,277 | 564,853 |
Loans held for sale | 3,051 | 899 |
Net loans receivable | 607,328 | 565,752 |
Premises and equipment, net | 16,854 | 17,679 |
Other real estate owned (“OREO”) and other repossessed assets, net | 7,854 | 9,092 |
Accrued interest receivable | 2,170 | 1,910 |
Bank owned life insurance (“BOLI”) | 18,170 | 17,632 |
Goodwill | 5,650 | 5,650 |
Mortgage servicing rights (“MSRs”), net | 1,478 | 1,684 |
Other assets | 3,407 | 4,566 |
Total assets | 815,815 | 745,565 |
Deposits: | ||
Non-interest-bearing demand | 141,388 | 106,417 |
Interest-bearing | 537,524 | 508,699 |
Total deposits | 678,912 | 615,116 |
FHLB advances | 45,000 | 45,000 |
Other liabilities and accrued expenses | 2,716 | 2,671 |
Total liabilities | 726,628 | 662,787 |
Shareholders’ equity | ||
Common stock, $0.01 par value; 50,000,000 shares authorized; 6,988,848 shares issued and outstanding - September 30, 2015 7,047,336 shares issued and outstanding - September 30, 2014 | 10,293 | 10,773 |
Unearned shares issued to Employee Stock Ownership Plan (“ESOP”) | (926) | (1,190) |
Retained earnings | 80,133 | 73,534 |
Accumulated other comprehensive loss | (313) | (339) |
Total shareholders’ equity | 89,187 | 82,778 |
Total liabilities and shareholders’ equity | $ 815,815 | $ 745,565 |
Timberland Bancorp, Inc. and S3
Timberland Bancorp, Inc. and Subsidiary Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Statement of Financial Position [Abstract] | ||
Mortgage-backed securities and other investments held to maturity-fair value | $ 8,894 | $ 6,274 |
Preferred stock par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock shares authorized | 1,000,000 | 1,000,000 |
Preferred stock shares issued | 0 | 0 |
Preferred stock shares outstanding | 0 | 0 |
Preferred stock per share liquidation value (in dollars per share) | $ 1,000 | $ 1,000 |
Common stock par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock shares authorized | 50,000,000 | 50,000,000 |
Common stock shares issued | 6,988,848 | 7,047,336 |
Common stock shares outstanding | 6,988,848 | 7,047,336 |
Timberland Bancorp, Inc. and S4
Timberland Bancorp, Inc. and Subsidiary Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Interest and dividend income | |||
Loans receivable | $ 30,397 | $ 29,205 | $ 29,591 |
Investment securities | 249 | 259 | 281 |
Dividends from mutual funds and FHLB stock | 31 | 27 | 29 |
Interest-bearing deposits in banks and CDs | 491 | 366 | 336 |
Total interest and dividend income | 31,168 | 29,857 | 30,237 |
Interest expense | |||
Deposits | 2,004 | 2,066 | 2,568 |
FHLB advances | 1,886 | 1,873 | 1,871 |
Total interest expense | 3,890 | 3,939 | 4,439 |
Net interest income | 27,278 | 25,918 | 25,798 |
Provision for (recapture of) loan losses | (1,525) | 0 | 2,925 |
Net interest income after provision for (recapture of) loan losses | 28,803 | 25,918 | 22,873 |
Non-interest income | |||
Recoveries (other than temporary impairment “OTTI”) on investment securities | 0 | 7 | (15) |
Adjustment for portion of OTTI recorded as (transferred from) other comprehensive income (before income taxes) | (13) | 52 | (32) |
Net recoveries (OTTI) on investment securities | (13) | 59 | (47) |
Gain (loss) on sales of investment securities | 45 | (32) | 0 |
Service charges on deposits | 3,615 | 3,738 | 3,663 |
ATM and debit card interchange transaction fees | 2,664 | 2,426 | 2,142 |
BOLI net earnings | 538 | 530 | 577 |
Gain on sales of loans, net | 1,610 | 1,013 | 2,507 |
Escrow fees | 206 | 158 | 184 |
Fee income from non-deposit investment sales | 41 | 68 | 82 |
Valuation recovery on MSRs, net | 0 | 0 | 475 |
Other, net | 816 | 570 | 679 |
Total non-interest income, net | 9,522 | 8,530 | 10,262 |
Non-interest expense | |||
Salaries and employee benefits | 13,200 | 13,294 | 12,605 |
Premises and equipment | 3,053 | 2,878 | 2,835 |
Gain on sales/dispositions of premises and equipment, net | (296) | (7) | (431) |
Advertising | 779 | 742 | 742 |
OREO and other repossessed assets, net | 918 | 1,010 | 2,587 |
ATM and debit card interchange transaction fees | 1,221 | 1,096 | 857 |
Postage and courier | 429 | 446 | 443 |
Amortization of CDI | 3 | 116 | 130 |
State and local taxes | 561 | 479 | 576 |
Professional fees | 829 | 792 | 856 |
Federal Deposit Insurance Corporation (FDIC) insurance | 593 | 636 | 685 |
Loan administration and foreclosure | 269 | 456 | 430 |
Data processing and telecommunications | 1,767 | 1,450 | 1,232 |
Deposit operations | 812 | 759 | 607 |
Other | 1,706 | 1,767 | 1,840 |
Total non-interest expense, net | 25,841 | 25,798 | 25,864 |
Income before federal income taxes | 12,484 | 8,650 | 7,271 |
Provision for federal income taxes | 4,192 | 2,800 | 2,514 |
Net income | 8,292 | 5,850 | 4,757 |
Preferred stock dividends | 0 | (136) | (710) |
Preferred stock discount accretion | 0 | (70) | (283) |
Repurchase of preferred stock at a discount | 0 | 0 | 255 |
Net income to common shareholders | $ 8,292 | $ 5,644 | $ 4,019 |
Net income per common share | |||
Basic (in dollars per share) | $ 1.20 | $ 0.82 | $ 0.59 |
Diluted (in dollars per share) | $ 1.17 | $ 0.80 | $ 0.58 |
Timberland Bancorp, Inc. and S5
Timberland Bancorp, Inc. and Subsidiary Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Comprehensive income | |||
Net income | $ 8,292 | $ 5,850 | $ 4,757 |
Unrealized holding gain (loss) on investment securities available for sale, net of income taxes | (34) | (63) | 23 |
Change in OTTI on investment securities held to maturity, net of income taxes: | |||
Additional amount recognized related to credit loss for which OTTI was previously recognized | 13 | 13 | 15 |
Amount reclassified to credit loss for previously recorded market loss | 9 | 21 | 6 |
Accretion of OTTI on investment securities held to maturity | 38 | 52 | 57 |
Other Comprehensive Income (Loss), Net of Tax | $ 26 | $ 23 | $ 101 |
Timberland Bancorp, Inc. and S6
Timberland Bancorp, Inc. and Subsidiary Condensed Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | MRDP Stock | [1] | Stock Options | Preferred Stock | Common Stock | Common StockMRDP Stock | [1] | Common StockStock Options | Unearned Shares Issued to ESOP | Retained Earnings | Accumulated Other Comprehensive Loss |
Balance at beginning of period - shares at Sep. 30, 2012 | 16,641 | 7,045,036 | ||||||||||
Balance at beginning of period - amount at Sep. 30, 2012 | $ 90,319 | $ 16,229 | $ 10,484 | $ (1,719) | $ 65,788 | $ (463) | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income | 4,757 | 4,757 | ||||||||||
Preferred stock accretion | $ 283 | $ 283 | 283 | |||||||||
Preferred shares repurchased and retired (in shares) | (4,576) | |||||||||||
Proceeds from (Repurchase of) Redeemable Preferred Stock | 255 | |||||||||||
Preferred shares repurchased and retired, amount | (4,321) | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 0 | |||||||||||
5% preferred stock dividends | $ (885) | (885) | ||||||||||
Common stock dividends ($0.24 per common share) | (634) | (634) | ||||||||||
Earned ESOP shares, net of income taxes | 271 | $ 6 | 265 | |||||||||
Stock option/MRDP compensation expense | $ 31 | $ 49 | $ 31 | $ 49 | ||||||||
Unrealized holding loss on investment securities available for sale, net of income taxes | 23 | 23 | ||||||||||
Change in OTTI on investment securities held to maturity, net of income taxes | 21 | 21 | ||||||||||
Accretion of OTTI on investment securities held to maturity, net of income taxes | (57) | (57) | ||||||||||
Balance at end of period - shares at Sep. 30, 2013 | 12,065 | 7,045,036 | ||||||||||
Balance at end of period - amount at Sep. 30, 2013 | 89,688 | $ 11,936 | $ 10,570 | (1,454) | 68,998 | (362) | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Preferred Stock, Redemption Amount | (4,576) | |||||||||||
Net income | 5,850 | 5,850 | ||||||||||
Preferred stock accretion | $ 70 | $ 70 | 70 | |||||||||
Preferred shares repurchased and retired (in shares) | (12,065) | |||||||||||
Proceeds from (Repurchase of) Redeemable Preferred Stock | (59) | |||||||||||
Preferred shares repurchased and retired, amount | (12,065) | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | (5,000) | 0 | ||||||||||
Stock Issued During Period, Value, Stock Options Exercised | $ 23 | |||||||||||
Stock Issued During Period, Shares, Share-based Compensation, Forfeited | (2,700) | |||||||||||
5% preferred stock dividends | $ (58) | (58) | ||||||||||
Common stock dividends ($0.24 per common share) | (1,127) | (1,127) | ||||||||||
Earned ESOP shares, net of income taxes | 328 | $ 64 | 264 | |||||||||
Stock option/MRDP compensation expense | $ 4 | $ 112 | $ 4 | 112 | ||||||||
Unrealized holding loss on investment securities available for sale, net of income taxes | (63) | (63) | ||||||||||
Change in OTTI on investment securities held to maturity, net of income taxes | 34 | 34 | ||||||||||
Accretion of OTTI on investment securities held to maturity, net of income taxes | (52) | (52) | ||||||||||
Balance at end of period - shares at Sep. 30, 2014 | 0 | 7,047,336 | ||||||||||
Balance at end of period - amount at Sep. 30, 2014 | 82,778 | $ 0 | $ 10,773 | (1,190) | 73,534 | (339) | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Preferred Stock, Redemption Amount | (12,006) | |||||||||||
Net income | 8,292 | 8,292 | ||||||||||
Preferred stock accretion | $ 0 | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | (6,300) | |||||||||||
Stock Issued During Period, Value, Stock Options Exercised | $ 30 | |||||||||||
Repurchase of common stock | (64,788) | |||||||||||
Repurchase of common stock | (709) | $ (709) | ||||||||||
Common stock dividends ($0.24 per common share) | (1,693) | (1,693) | ||||||||||
Earned ESOP shares, net of income taxes | 336 | $ 72 | 264 | |||||||||
Stock option/MRDP compensation expense | $ 127 | $ 127 | ||||||||||
Unrealized holding loss on investment securities available for sale, net of income taxes | (34) | (34) | ||||||||||
Change in OTTI on investment securities held to maturity, net of income taxes | 22 | 22 | ||||||||||
Accretion of OTTI on investment securities held to maturity, net of income taxes | (38) | (38) | ||||||||||
Balance at end of period - shares at Sep. 30, 2015 | 0 | 6,988,848 | ||||||||||
Balance at end of period - amount at Sep. 30, 2015 | $ 89,187 | $ 0 | $ 10,293 | $ (926) | $ 80,133 | $ (313) | ||||||
[1] | 1998 Management Recognition and Development Plan (“MRDP”). |
Timberland Bancorp, inc. and S7
Timberland Bancorp, inc. and Subsidiary Condensed Consolidated Statements of Shareholders' Equity (Parentheticals) | 12 Months Ended |
Sep. 30, 2015$ / shares | |
Preferred Stock | |
Preferred stock, dividend rate (percent) | 5.00% |
Common Stock | |
Common stock dividends (in dollars per share) | $ 0.16 |
Timberland Bancorp, Inc. and S8
Timberland Bancorp, Inc. and Subsidiary Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Cash flows from operating activities | |||
Net income | $ 8,292 | $ 5,850 | $ 4,757 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation | 1,356 | 1,244 | 1,095 |
Deferred federal income taxes | 196 | 451 | 777 |
Amortization of CDI | 3 | 116 | 130 |
Earned ESOP shares | 264 | 264 | 265 |
MRDP compensation expense | 0 | 2 | 39 |
Stock option compensation expense | 125 | 104 | 49 |
Stock Option Tax Effect Less Excess Tax Benefit | 1 | 4 | 0 |
(Gain) loss on sales of investment securities | (45) | 32 | 0 |
Net OTTI (recoveries) on investment securities | 13 | (59) | 47 |
Gain on sales of OREO and other repossessed assets, net | (110) | (169) | (264) |
Gain on sales of loans, net | (1,610) | (1,013) | (2,507) |
Gain on sales/dispositions of premises and equipment, net | (296) | (7) | (431) |
Provision for (recapture of) loan losses | (1,525) | 0 | 2,925 |
Provision for OREO losses | 644 | 605 | 2,064 |
Loans originated for sale | (54,490) | (31,320) | (87,329) |
Amortization of MSRs | 841 | 969 | 948 |
Proceeds from sales of loans | 53,948 | 33,345 | 89,352 |
Valuation recovery on MSRs, net | 0 | 0 | (475) |
BOLI net earnings | (538) | (530) | (577) |
Increase (decrease) in deferred loan origination fees | 447 | 36 | (60) |
Increase (decrease) in deferred loan origination fees | 36 | (1,301) | 767 |
Net cash provided by operating activities | 7,552 | 8,623 | 11,572 |
Proceeds from Stock Options Exercised | 30 | 23 | 0 |
Cash flows from investing activities | |||
Net increase in CDs held for investment | (12,766) | (5,803) | (6,552) |
Payments to Acquire Held-to-maturity Securities | (2,988) | (3,003) | 0 |
Proceeds from maturities and prepayments of investment securities held to maturity | 509 | 583 | 689 |
Proceeds from maturities and prepayments of investment securities available for sale | 242 | 355 | 891 |
Proceeds from sales of investment securities available for sale | 1,219 | 856 | 0 |
Proceeds from redemption of FHLB stock | 2,547 | 206 | 203 |
Increase in loans receivable, net | (40,019) | (23,569) | (15,819) |
Additions to premises and equipment | (700) | (1,189) | (1,302) |
Proceeds from sales of OREO and other repossessed assets | 2,377 | 7,065 | 3,596 |
Proceeds from sales/dispositions of premises and equipment, net | 465 | 37 | 760 |
Net cash used in investing activities | (49,114) | (24,462) | (17,534) |
Cash flows from financing activities | |||
Net increase in deposits | 63,796 | 6,854 | 10,336 |
Net decrease in repurchase agreements | 0 | 0 | (855) |
ESOP tax effect | 72 | 64 | 6 |
MRDP compensation tax effect | 0 | 2 | (8) |
Repurchase of preferred stock | 0 | (12,065) | (4,321) |
Payments for Repurchase of Common Stock | (709) | 0 | 0 |
Payment of dividends | (1,693) | (1,185) | (1,368) |
Net cash provided by (used in) financing activities | 61,497 | (6,303) | 3,790 |
Net increase (decrease) in cash and cash equivalents | 19,935 | (22,142) | (2,172) |
Beginning of period | 72,354 | 94,496 | |
End of period | 92,289 | 72,354 | 94,496 |
Supplemental disclosure of cash flow information | |||
Income taxes paid | 3,663 | 2,888 | 1,793 |
Interest paid | 3,899 | 3,961 | 4,523 |
Supplemental disclosure of non-cash investing activities | |||
Loans transferred to OREO and other repossessed assets | 2,123 | 6,155 | 6,375 |
Accumulated other comprehensive loss | (313) | (339) | |
Other Comprehensive Income (Loss), Net of Tax | 26 | 23 | 101 |
Loans originated to facilitate the sale of OREO | $ 450 | $ 1,282 | $ 2,708 |
Summary Of Significant Accounti
Summary Of Significant Accounting Policies | 12 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Summary Of Significant Accounting Policies | Summary of Significant Accounting Policies Principles of Consolidation The accompanying consolidated financial statements include the accounts of Timberland Bancorp, Inc. (“Timberland Bancorp”); its wholly owned subsidiary, Timberland Bank (the “Bank”); and the Bank’s wholly owned subsidiary, Timberland Service Corp. (collectively, the "Company”). All significant intercompany transactions and balances have been eliminated in consolidation. Nature of Operations Timberland Bancorp is a bank holding company which operates primarily through its subsidiary, the Bank. The Bank was established in 1915 and, through its 22 branches located in Grays Harbor, Pierce, Thurston, Kitsap, King and Lewis counties in Washington State, attracts deposits from the general public, and uses those funds, along with other borrowings, primarily to provide residential real estate, construction, commercial real estate, commercial business and consumer loans to borrowers primarily in western Washington. Consolidated Financial Statement Presentation The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S.") (“GAAP”) and prevailing practices within the banking industry. The preparation of consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and the disclosure of contingent assets and liabilities, as of the date of the consolidated balance sheets, and the reported amounts of income and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the determination of OTTI in the estimated fair value of investment securities, the valuation of deferred tax assets, the valuation of MSRs, the valuation of OREO and the valuation of goodwill for potential impairment. Certain prior year amounts have been reclassified to conform to the 2015 fiscal year presentation with no change to previously reported net income or shareholders’ equity. Segment Reporting The Company has one reportable operating segment which is defined as community banking in western Washington under the operating name “Timberland Bank.” Preferred Stock Sold in Troubled Asset Relief Program ("TARP") Capital Purchase Program ("CPP") On December 23, 2008, the Company received $16.64 million from the U.S. Treasury Department ("Treasury") as a part of the Treasury's CPP, which was established as part of the TARP. The Company sold 16,641 shares of Fixed Rate Cumulative Perpetual Preferred Stock, Series A ("Series A Preferred Stock"), with a liquidation value of $1,000 per share and a related warrant to purchase 370,899 shares of the Company's common stock at an exercise price of $6.73 per share (subject to anti-dilution adjustments) at any time through December 23, 2018. The proceeds received in connection with the issuance of the Series A Preferred Stock were allocated between the preferred stock and warrant based on their relative fair values on the date of issuance. As a result, the preferred stock's initial recorded value was at a discount from the liquidation value or stated value. The discount from the liquidation value was accreted to the expected/actual redemption date and charged to retained earnings. This accretion was recorded using the level-yield method. On November 13, 2012, the Company’s outstanding 16,641 shares of Series A Preferred Stock were sold by the Treasury as part of its efforts to manage and recover its investments under the TARP. While the sale of the Series A Preferred Stock to new owners did not result in any proceeds to the Company and did not change the Company’s capital position or accounting for these securities, it did eliminate restrictions put in place by the Treasury on TARP recipients. On June 12, 2013, the Treasury sold the warrant to purchase up to 370,899 shares of the Company’s common stock to private investors. The sale of the warrant to new owners did not result in any proceeds to the Company and did not change the Company's capital position or accounting for the warrant. During the year ended September 30, 2013, the Company purchased and retired 4,576 shares of its Series A Preferred Stock for $4.32 million ; a $255,000 discount from its liquidation value. The discount from liquidation value on the repurchased shares was recorded as an increase to retained earnings. On December 20, 2013, the Company redeemed the remaining 12,065 shares of its Series A Preferred Stock at the liquidation value of $12.07 million . The Series A Preferred Stock paid a 5.0% dividend through December 20, 2013, the date of its redemption. Cash and Cash Equivalents and Cash Flows The Company considers amounts included in the consolidated balance sheets’ captions “Cash and due from financial institutions” and “Interest-bearing deposits in banks,” all of which mature within ninety days, to be cash equivalents for purposes of reporting cash flows. Cash flows from loans, deposits, FHLB advances and repurchase agreements are reported net in the accompanying consolidated statements of cash flows. Interest-bearing deposits in banks as of September 30, 2015 and 2014 included deposits with the Federal Reserve Bank of San Francisco ("FRB") of $70,975,000 and $55,445,000 , respectively. The Company also maintains balances in correspondent bank accounts which, at times, may exceed FDIC insurance limits of $250,000 . Management believes that its risk of loss associated with such balances is minimal due to the financial strength of the Federal Reserve Bank of San Francisco ("FRB") and the correspondent banks. Investment Securities Investment securities are classified upon acquisition as either held to maturity or available for sale. Investment securities that the Company has the positive intent and ability to hold to maturity are classified as held to maturity and reflected at amortized cost. Investment securities classified as available for sale are reflected at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income (loss), net of income tax effects. Premiums and discounts are amortized to earnings using the interest method over the contractual lives of the securities. Gains and losses on sales of securities are recognized on the trade date and determined using the specific identification method. In estimating whether there are any OTTI losses, management considers (1) the length of time and the extent to which the fair value has been less than amortized cost, (2) the financial condition and near term prospects of the issuer, (3) the impact of changes in market interest rates and (4) the intent and ability of the Company to retain its investment for a period of time sufficient to allow for any anticipated recovery in fair value. Declines in the fair value of individual investment securities available for sale that are deemed to be other than temporary are reflected in earnings when identified. The fair value of the investment security then becomes the new cost basis. For individual investment securities that are held to maturity which the Company does not intend to sell, and it is not more likely than not that the Company will be required to sell before recovery of its amortized cost basis, the other than temporary decline in the fair value of the investment security related to: (1) credit loss is recognized in earnings and (2) market or other factors is recognized in other comprehensive income (loss). Credit loss is recorded if the present value of expected future cash flows is less than the amortized cost. For individual investment securities which the Company intends to sell or more likely than not will not recover all of its amortized cost, the OTTI is recognized in earnings equal to the entire difference between the investment security’s cost basis and its fair value at the consolidated balance sheet date. For individual investment securities for which credit loss has been recognized in earnings, interest accruals and amortization and accretion of premiums and discounts are suspended when the credit loss is recognized. Interest received after accruals have been suspended is recognized on a cash basis. FHLB Stock On May 31, 2015, the Federal Home Loan Bank of Seattle merged into the Federal Home Loan Bank of Des Moines ("FHLB"). The Bank, as a member of the FHLB, is required to maintain an investment in capital stock of the FHLB in an amount equal to 0.12% of the Bank's total assets plus 4% of advances from the FHLB. No ready market exists for this stock, and it has no quoted market value. However, redemption of FHLB stock has historically been at par value. The Company's investment in FHLB stock is carried at cost, which approximates fair value. The Company evaluates its FHLB stock for impairment as needed. The Company's determination of whether this investment is impaired is based on its assessment of the ultimate recoverability of cost rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability of cost is influenced by criteria such as (1) the significance of any decline in net assets of the FHLB as compared with the capital stock amount and the length of time any decline has persisted; (2) commitments by the FHLB to make payments required by law or regulation and the level of such payments in relation to the operating performance of the FHLB; (3) the impact of legislative and regulatory changes on institutions and, accordingly, the customer base of the FHLB; and (4) the liquidity position of the FHLB. Based on its evaluation, the Company determined that there was no impairment of FHLB stock at September 30, 2015 and 2014. Loans Held for Sale Mortgage loans originated and intended for sale in the secondary market are stated in the aggregate at the lower of cost or estimated fair value. Net unrealized losses, if any, are recognized through a valuation allowance by charges to income. Gains or losses on sales of loans are recognized at the time of sale. The gain or loss is the difference between the net sales proceeds and the recorded value of the loans, including any remaining unamortized deferred loan origination fees. Loans Receivable Loans are stated at the amount of unpaid principal, reduced by the undisbursed portion of construction loans in process, deferred loan origination fees and the allowance for loan losses. Impaired Loans A loan is generally considered impaired when it is probable that the Company will be unable to collect all contractual principal and interest payments due in accordance with the original or modified terms of the loan agreement. When a loan is considered collateral dependent, impairment is measured using the estimated fair value of the underlying collateral, less any prior liens, and when applicable, less estimated selling costs. For impaired loans that are not collateral dependent, impairment is measured using the present value of expected future cash flows, discounted at the loan’s original effective interest rate. The categories of non-accrual loans and impaired loans overlap, although they are not identical. Troubled Debt Restructured Loans A troubled debt restructured loan is a loan for which the Company, for reasons related to a borrower’s financial difficulties, grants a significant concession to the borrower that the Company would not otherwise consider. Examples of such concessions include, but are not limited to: a reduction in the stated interest rate; an extension of the maturity at an interest rate below current market rates; a reduction in the face amount of the debt; a reduction in the accrued interest; or re-amortizations, extensions, deferrals and renewals. Troubled debt restructured loans are considered impaired and are individually evaluated for impairment. Troubled debt restructured loans are classified as non-performing unless they have been performing in accordance with modified terms for a period of at least six months. Allowance for Loan Losses The allowance for loan losses is maintained at a level sufficient to provide for estimated loan losses based on evaluating known and inherent risks in the loan portfolio. The allowance is provided based upon management's comprehensive analysis of the pertinent factors underlying the quality of the loan portfolio. These factors include changes in the amount and composition of the loan portfolio, delinquency levels, actual loan loss experience, current economic conditions, and a detailed analysis of individual loans for which full collectability may not be assured. The detailed analysis includes methods to estimate the fair value of loan collateral and the existence of potential alternative sources of repayment. The allowance consists of specific and general components. The specific component relates to loans that are deemed impaired. For such loans that are classified as impaired, an allowance is established when the discounted cash flows, collateral value less selling costs (if applicable), or observable market price of the impaired loan is lower than the recorded value of that loan. The general component covers non-classified loans and classified loans that are not evaluated individually for impairment and is based on historical loss experience adjusted for qualitative factors. The Company's historical loss experience is determined by evaluating the average net charge-offs over the most recent economic cycle, but not to exceed six years. Qualitative factors are determined by loan type and allow management to adjust reserve levels to reflect the current general economic environment and portfolio performance trends including recent charge-off trends. Allowances are provided based on management’s continuing evaluation of the pertinent factors underlying the quality of the loan portfolio, including changes in the size and composition of the loan portfolio, actual loan loss experience, current economic conditions, collateral values, geographic concentrations, seasoning of the loan portfolio, specific industry conditions, the duration of the current business cycle, and regulatory requirements and expectations. The appropriateness of the allowance for loan losses is estimated based upon these factors and trends identified by management at the time consolidated financial statements are prepared. In accordance with GAAP, a loan is considered impaired when it is probable that a creditor will be unable to collect all amounts (principal and interest) due according to the contractual terms of the loan agreement. Smaller balance homogeneous loans, such as residential mortgage loans and consumer loans, may be collectively evaluated for impairment. When a loan has been identified as being impaired, the amount of the impairment is measured by using discounted cash flows, except when, as an alternative, the current estimated fair value of the collateral, reduced by estimated costs to sell (if applicable), or observable market price is used. The valuation of real estate collateral is subjective in nature and may be adjusted in future periods because of changes in economic conditions. Management considers third-party appraisals, as well as independent fair market value assessments from realtors or persons involved in selling real estate, in determining the estimated fair value of particular properties. In addition, as certain of these third-party appraisals and independent fair market value assessments are only updated periodically, changes in the values of specific properties may have occurred subsequent to the most recent appraisals. Accordingly, the amounts of any such potential changes and any related adjustments are generally recorded at the time such information is received. When the measurement of the impaired loan is less than the recorded investment in the loan (including accrued interest and net deferred loan origination fees or costs), impairment is recognized by creating or adjusting an allocation of the allowance for loan losses and uncollected accrued interest is reversed against interest income. If ultimate collection of principal is in doubt, all cash receipts on impaired loans are applied to reduce the principal balance. A provision for (recapture of) loan losses is charged (credited) to operations and is added to (deducted from) the allowance for loan losses based on a quarterly comprehensive analysis of the loan portfolio. The allowance for loan losses is allocated to certain loan categories based on the relative risk characteristics, asset classifications and actual loss experience of the loan portfolio. While management has allocated the allowance for loan losses to various loan portfolio segments, the allowance is general in nature and is available for the loan portfolio in its entirety. The ultimate recovery of all loans is susceptible to future market factors beyond the Company’s control. These factors may result in losses or recoveries differing significantly from those provided in the consolidated financial statements. The Company has experienced a significant decline in valuations for some real estate collateral since October 2008. If real estate values decline further and as updated appraisals are received on collateral for impaired loans, the Company may need to increase the allowance for loan losses appropriately. In addition, regulatory agencies, as an integral part of their examination process, periodically review the Company’s allowance for loan losses, and may require the Company to make additions to the allowance based on their judgment about information available to them at the time of their examinations. Premises and Equipment Premises and equipment are recorded at cost. Depreciation is computed using the straight-line method over the following estimated useful lives: buildings and improvements - five to 40 years; furniture and equipment - three to seven years; and automobiles - five years. The cost of maintenance and repairs is charged to expense as incurred. Gains and losses on dispositions are reflected in earnings. Impairment of Long-Lived Assets Long-lived assets, consisting of premises and equipment, are reviewed for impairment whenever events or changes in circumstances indicate that the recorded amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the recorded amount of an asset to future net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the recorded amount of the assets exceeds the discounted recovery amount or estimated fair value of the assets. No events or changes in circumstances have occurred during the years ended September 30, 2015 or 2014 that would cause management to evaluate the recoverability of the Company’s long-lived assets. OREO and Other Repossessed Assets OREO and other repossessed assets consist of properties or assets acquired through or in lieu of foreclosure, and are recorded initially at the estimated fair value of the properties less estimated costs of disposal. When the property is acquired, any excess of the loan balance over the estimated net realizable value is charged to the allowance for loan losses. Costs relating to development and improvement of the properties or assets are capitalized, while costs relating to holding the properties or assets are expensed. The valuation of real estate is subjective in nature and may be adjusted in future periods because of changes in economic conditions. Management considers third-party appraisals, as well as independent fair market value assessments from realtors or persons involved in selling real estate, in determining the estimated fair value of particular properties. In addition, as certain of these third-party appraisals and independent fair market value assessments are only updated periodically, changes in the values of specific properties may have occurred subsequent to the most recent appraisals. Accordingly, the amounts of any such potential changes and any related adjustments are generally recorded at the time such information is received. Interest on Loans and Loan Fees Interest on loans is accrued daily based on the principal amount outstanding. Generally, the accrual of interest on loans is discontinued when, in management’s opinion, the borrower may be unable to make payments as they become due or when they are past due 90 days as to either principal or interest (based on contractual terms), unless the loan is well secured and in the process of collection. In determining whether a borrower may be able to make payments as they become due, management considers circumstances such as the financial strength of the borrower, the estimated collateral value, reasons for the delays in payments, payment record, the amounts past due and the number of days past due. All interest accrued but not collected for loans that are placed on non-accrual status or charged off is reversed against interest income. Subsequent collections on a cash basis are applied proportionately to past due principal and interest, unless collectability of principal is in doubt, in which case all payments are applied to principal. Loans are returned to accrual status when the loan is deemed current, and the collectability of principal and interest is no longer doubtful, or, in the case of one- to four-family loans, when the loan is less than 90 days delinquent. The Company charges fees for originating loans. These fees, net of certain loan origination costs, are deferred and amortized to income, on the level-yield basis, over the loan term. If the loan is repaid prior to maturity, the remaining unamortized deferred loan origination fee is recognized in income at the time of repayment. BOLI BOLI policies are recorded at their cash surrender value less applicable cash surrender charges. Income from BOLI is recognized when earned. Goodwill Goodwill is initially recorded when the purchase price paid for an acquisition exceeds the estimated fair value of the net identified tangible and intangible assets acquired. Goodwill is presumed to have an indefinite useful life and is analyzed annually for impairment. The Company performs an annual review during the third quarter of each fiscal year, or more frequently if indicators of potential impairment exist, to determine if the recorded goodwill is impaired. The goodwill impairment test involves a two-step process. Step one estimates the fair value of the reporting unit. If the estimated fair value of the Company's sole reporting unit, the Bank, under step one exceeds the recorded value of the reporting unit, goodwill is not considered impaired, and no further analysis is necessary. If the estimated fair value of the Company's sole reporting unit is less than the recorded value, then a step two test, which calculates the fair value of assets and liabilities to calculate an implied value of goodwill, is performed. The Company performed its fiscal year 2015 goodwill impairment test during the quarter ended June 30, 2015 with the assistance of an independent third-party firm specializing in goodwill impairment valuations for financial institutions. The third-party analysis was conducted as of May 31, 2015 and the step one test concluded that the reporting unit's fair value was more than its recorded value, and, therefore, step two of the analysis was not necessary. Accordingly, the recorded value of goodwill as of May 31, 2015 was not impaired. Step one of the goodwill impairment test estimated the fair value of the reporting unit utilizing a discounted cash flow income approach analysis, a public company market approach analysis, a merger and acquisition market approach analysis and a trading price market approach analysis in order to derive an enterprise value for the Company. The discounted cash flow income approach analysis uses a reporting unit's projection of estimated operating results and cash flows and discounts them using a rate that reflects current market conditions. The projection uses management's estimates of economic and market conditions over the projected period including growth rates in loans and deposits, estimates of future expected changes in net interest margins and cash expenditures. Key assumptions used by the Company in its discounted cash flow model (income approach) included an annual loan growth rate that ranged from 3.00% to 3.60% , an annual deposit growth rate that ranged from 2.20% to 3.20% and a return on assets that ranged from 0.80% to 1.00% . In addition to the above projections of estimated operating results, key assumptions used to determine the fair value estimate under the approach were the discount rate of 12.2% and the residual capitalization rate of 9.2% . The discount rate used was the cost of equity capital. The cost of equity capital was based on the capital asset pricing model ("CAPM"), modified to account for a small stock premium. The small stock premium represents the additional return required by investors for small stocks based on the 2015 Valuation Handbook - Guide to Cost of Capital. Beyond the approximate five-year forecast period, residual free cash flows were estimated to increase at a constant rate into perpetuity. These cash flows were converted to a residual value using an appropriate residual capitalization rate. The residual capitalization rate was equal to the discount rate minus the expected long-term growth rate of cash flows. Based on historical results, the economic climate, the outlook for the industry and management's expectations, a long-term growth rate of 3.0% was estimated. The public company market approach analysis estimates the fair value by applying cash flow multiples to the reporting unit's operating performance. The multiples are derived from comparable publicly traded companies with operating and investment characteristics similar to those of the Company. Key assumptions used by the Company included the selection of comparable public companies and performance ratios. In applying the public company analysis, the Company selected nine publicly traded institutions based on similar lines of business, markets, growth prospects, risks and firm size. The performance ratios included price to earnings (last twelve months), price to earnings (current year to date), price to book value, price to tangible book value and price to deposits. The merger and acquisition market approach analysis estimates the fair value by using merger and acquisition transactions involving companies that are similar in nature to the Company. Key assumptions used by the Company included the selection of comparable merger and acquisition transactions and valuation ratios to be used. The analysis used banks located in Washington or Oregon that were acquired after January 1, 2013. The valuation ratios from these transactions for price to earnings and price to tangible book value were then used to derive an estimated fair value of the Company. The trading price market approach analysis used the closing market price at May 29, 2015 of the Company's common stock, traded on the NASDAQ Global Market to determine the market value of total equity capital. A key assumption used by the Company in the public company market approach analysis and the trading price market approach analysis was the application of a control premium. The Company's common stock is thinly traded, and therefore management believes the trading price reflects a discount for illiquidity. In addition, the trading price of the Company's common stock reflects a minority interest value. To determine the fair market value of a majority interest in the Company's stock, premiums were calculated and applied to the indicated values. Therefore, a control premium was applied to the results of the discounted cash flow income approach analysis, the public company market approach analysis and the trading price market approach analysis because the initial value conclusion was based on minority interest transactions. Merger and acquisition studies were analyzed to conclude that the difference between the acquisition price and a company's stock price prior to acquisition indicates, in part, the price effect of a controlling interest. Based on the evaluation of merger and acquisition studies, a control premium of 25% was used. A significant amount of judgment is involved in determining if an indicator of goodwill impairment has occurred. Such indicators may include, among others: a significant decline in the expected future cash flows; a sustained significant decline in the Company's stock price and market capitalization; a significant adverse change in legal factors or in the business climate; adverse assessment or action by a regulator; and unanticipated competition. Key assumptions used in the annual goodwill impairment test are highly judgmental and include: selection of comparable companies, amount of control premium, projected cash flows and discount rate applied to projected cash flows. Any change in these indicators or key assumptions could have a significant negative impact on the Company's financial condition, impact the goodwill impairment analysis or cause the Company to perform a goodwill impairment analysis more frequently than once per year. As of September 30, 2015, management believes that there had been no events or changes in the circumstances since May 31, 2015 that would indicate a potential impairment of goodwill. No assurances can be given, however, that the Company will not record an impairment loss on goodwill in the future. CDI During the year ended September 30, 2005, the Company had recorded CDI of $2,201,000 in connection with the acquisition of certain branches and related deposits. The net remaining unamortized balance of the CDI was $3,000 at September 30, 2014, and was fully amortized during the year ended September 30, 2015. The CDI was amortized to non-interest expense using an accelerated method over a ten -year period. MSRs The Company holds rights to service loans that it has originated and sold to the Federal Home Loan Mortgage Corporation (“Freddie Mac”). MSRs are capitalized at estimated fair value when acquired through the origination of loans that are subsequently sold with the servicing rights retained and are amortized to servicing income on loans sold approximately in proportion to and over the period of estimated net servicing income. The value of MSRs at the date of the sale of loans is estimated based on the discounted present value of expected future cash flows using key assumptions for servicing income and costs and expected prepayment rates on the underlying loans. The estimated fair value is periodically evaluated for impairment by comparing actual cash flows and estimated future cash flows from the servicing assets to those estimated at the time the servicing assets were originated. Fair values are estimated using expected future discounted cash flows based on current market rates of interest. For purposes of measuring impairment, the MSRs must be stratified by one or more predominant risk characteristics of the underlying loans. The Company stratifies its capitalized MSRs based on product type and term of the underlying loans. The amount of impairment recognized is the amount, if any, by which the amortized cost of the MSRs exceeds their fair value. Impairment, if deemed temporary, is recognized through a valuation allowance to the extent that fair value is less than the recorded amount. Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. Income Taxes The Company files a consolidated federal income tax return. The Bank provides for income taxes separately and remits to (receives from) Timberland Bancorp amounts currently due (receivable). Deferred federal income taxes result from temporary differences between the tax basis of assets and liabilities, and their reported amounts in the consol |
MBS And Other Investments
MBS And Other Investments | 12 Months Ended |
Sep. 30, 2015 | |
Investments [Abstract] | |
MBS And Other Investments | s were as follows as of September 30, 2015 and 2014 (dollars in thousands): Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value September 30, 2015 Held to Maturity Mortgage-backed securities ("MBS"): U.S. government agencies $ 828 $ 23 $ (1 ) $ 850 Private label residential 1,081 894 (12 ) 1,963 U.S. Treasury and U.S. government agency securities 6,004 77 — 6,081 Total $ 7,913 $ 994 $ (13 ) $ 8,894 Available for Sale MBS: U.S. government agencies $ 387 $ 34 $ — $ 421 Mutual funds 1,000 — (29 ) 971 Total $ 1,387 $ 34 $ (29 ) $ 1,392 September 30, 2014 Held to Maturity MBS: U.S. government agencies $ 1,002 $ 32 $ (2 ) $ 1,032 Private label residential 1,280 965 (7 ) 2,238 U.S. government agency securities 3,016 1 (13 ) 3,004 Total $ 5,298 $ 998 $ (22 ) $ 6,274 Available for Sale MBS: U.S. government agencies $ 1,801 $ 100 $ (2 ) $ 1,899 Mutual funds 1,000 — (42 ) 958 Total $ 2,801 $ 100 $ (44 ) $ 2,857 Held to maturity and available for sale investment securities with unrealized losses were as follows as of September 30, 2015 (dollars in thousands): Less Than 12 Months 12 Months or Longer Total Estimated Fair Value Gross Unrealized Losses Qty Estimated Fair Value Gross Unrealized Losses Qty Estimated Fair Value Gross Unrealized Losses Held to Maturity MBS: U.S. government agencies $ 49 $ — 4 $ 63 $ (1 ) 5 $ 112 $ (1 ) Private label residential 1 — 1 157 (12 ) 11 158 (12 ) Total $ 50 $ — 5 $ 220 $ (13 ) 16 $ 270 $ (13 ) Available for Sale MBS: U.S. government agencies $ 1 $ — 1 $ 48 $ — 2 $ 49 $ — Mutual funds — — — 971 (29 ) 1 971 (29 ) Total $ 1 $ — 1 $ 1,019 $ (29 ) 3 $ 1,020 $ (29 ) Held to maturity and available for sale investment securities with unrealized losses were as follows as of September 30, 2014 (dollars in thousands): Less Than 12 Months 12 Months or Longer Total Estimated Fair Value Gross Unrealized Losses Qty Estimated Fair Value Gross Unrealized Losses Qty Estimated Fair Value Gross Unrealized Losses Held to Maturity MBS: U.S. government agencies $ — $ — — $ 76 $ (2 ) 8 $ 76 $ (2 ) Private label residential 9 — 1 188 (7 ) 11 197 (7 ) U.S. government agency securities 2,989 (13 ) 1 — — — 2,989 (13 ) Total $ 2,998 $ (13 ) 2 $ 264 $ (9 ) 19 $ 3,262 $ (22 ) Available for Sale MBS: U.S. government agencies $ 19 $ — 1 $ 40 $ (2 ) 1 $ 59 $ (2 ) Mutual funds — — — 958 (42 ) 1 958 (42 ) Total $ 19 $ — 1 $ 998 $ (44 ) 2 $ 1,017 $ (44 ) The Company has evaluated the investment securities in the above tables and has determined that the decline in their value is temporary. The unrealized losses are primarily due to changes in market interest rates and spreads in the market for mortgage-related products. The fair value of these securities is expected to recover as the securities approach their maturity dates and/or as the pricing spreads narrow on mortgage-related securities. The Company has the ability and the intent to hold the investments until the market value recovers. Furthermore, as of September 30, 2015 , management does not have the intent to sell any of the securities classified as available for sale where the estimated fair value is below the recorded value and believes that it is more likely than not that the Company will not have to sell such securities before a recovery of cost or recorded value if previously written down. In accordance with GAAP, the Company bifurcates OTTI into (1) amounts related to credit losses which are recognized through earnings and (2) amounts related to all other factors which are recognized as a component of other comprehensive income (loss). To determine the component of the gross OTTI related to credit losses, the Company compared the amortized cost basis of the OTTI security to the present value of its revised expected cash flows, discounted using its pre-impairment yield. The revised expected cash flow estimates for individual securities are based primarily on an analysis of default rates, prepayment speeds and third-party analytic reports. Significant judgment by management is required in this analysis that includes, but is not limited to, assumptions regarding the collectability of principal and interest, net of related expenses, on the underlying loans. The following table presents a summary of the significant inputs utilized to measure management’s estimates of the credit loss component on OTTI securities as of September 30, 2015 , 2014 and 2013 : Range Weighted Minimum Maximum Average September 30, 2015 Constant prepayment rate 6.00 % 15.00 % 11.49 % Collateral default rate 0.16 % 14.65 % 6.08 % Loss severity rate 3.92 % 65.00 % 39.83 % September 30, 2014 Constant prepayment rate 6.00 % 15.00 % 10.59 % Collateral default rate 0.01 % 22.34 % 7.41 % Loss severity rate 0.16 % 75.17 % 45.81 % September 30, 2013 Constant prepayment rate 6.00 % 15.00 % 12.33 % Collateral default rate 0.73 % 22.53 % 7.84 % Loss severity rate 20.48 % 75.02 % 52.69 % The following table presents the OTTI losses for the years ended September 30, 2015 , 2014 and 2013 (dollars in thousands): 2015 2014 2013 Held To Maturity Available For Sale Held To Maturity Available For Sale Held To Maturity Available For Sale Total (OTTI) recoveries $ — $ — $ (83 ) $ 90 $ (13 ) $ (2 ) Adjustment for portion of OTTI recorded as (transferred from) other comprehensive income (before income taxes)(1) (13 ) — 52 — (32 ) — Net (OTTI) recoveries recognized in earnings (2) $ (13 ) $ — $ (31 ) $ 90 $ (45 ) $ (2 ) ________________________ (1) Represents OTTI related to all other factors. (2) Represents OTTI related to credit losses. The following table presents a roll forward of the credit loss component of held to maturity and available for sale debt securities that have been written down for OTTI with the credit loss component recognized in earnings for the years ended September 30, 2015 , 2014 and 2013 (dollars in thousands): 2015 2014 2013 Balance, beginning of year $ 1,654 $ 2,084 $ 2,703 Additions: Credit losses for which OTTI was not previously recognized — 2 7 Additional increases to the amount related to credit loss for which OTTI was previously recognized 13 33 45 Subtractions: Realized losses previously recorded as credit losses (91 ) (555 ) (671 ) Recovery of prior credit loss — 90 — Balance, end of year $ 1,576 $ 1,654 $ 2,084 During the year ended September 30, 2015 , there were $45,000 in realized gains on sixteen available for sale investment securities. During the year ended September 30, 2014 , there were $32,000 in realized losses on five available for sale investment securities. During the year ended September 30, 2013 , there were no realized gains or losses on available for sale investment securities. During the year ended September 30, 2015 , the Company recorded a $91,000 net realized loss (as a result of investment securities being deemed worthless) on fifteen held to maturity investment securities, all of which had been recognized previously as a credit loss. During the year ended September 30, 2014 , the Company recorded a $465,000 net realized loss (as a result of investment securities being deemed worthless) on fifteen held to maturity and six available for sale residential MBS, all of which had been recognized previously as a credit loss. During the year ended September 30, 2013 , the Company recorded a $671,000 net realized loss (as a result of investment securities being deemed worthless) on eighteen held to maturity and five available for sale residential MBS all of which had been recognized previously as a credit loss. The recorded amount of residential MBS, treasury and agency securities pledged as collateral for public fund deposits, federal treasury tax and loan deposits, FHLB collateral and other non-profit organization deposits totaled $7,249,000 and $6,221,000 at September 30, 2015 and 2014 , respectively. The contractual maturities of debt securities at September 30, 2015 are as follows (dollars in thousands). Expected maturities may differ from scheduled maturities due to the prepayment of principal or call provisions. Held to Maturity Available for Sale Amortized Cost Estimated Fair Value Amortized Cost Estimated Fair Value Due after one year to five years $ 6,006 $ 6,083 $ 10 $ 10 Due after five years to ten years 22 22 — — Due after ten years 1,885 2,789 377 411 Total $ 7,913 $ 8,894 $ 387 $ 421 |
Restricted Assets
Restricted Assets | 12 Months Ended |
Sep. 30, 2015 | |
Cash and Cash Equivalents [Abstract] | |
Restricted Assets | Restricted Assets Federal Reserve Board regulations require that the Bank maintain certain minimum reserve balances on hand or on deposit with the FRB, based on a percentage of transaction account deposits. The amounts of the reserve requirement balances as of September 30, 2015 and 2014 were $1,026,000 and $1,008,000 , respectively. |
Loans Receivable And Allowance
Loans Receivable And Allowance For Loan Losses | 12 Months Ended |
Sep. 30, 2015 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Loans Receivable And Allowance For Loan Losses | Loans Receivable and Allowance for Loan Losses Loans receivable and loans held for sale by portfolio segment consisted of the following at September 30, 2015 and 2014 (dollars in thousands): 2015 2014 Mortgage loans: One- to four-family $ 116,664 $ 97,635 Multi-family 52,322 46,206 Commercial 291,216 294,354 Construction – custom and owner/builder 62,954 59,752 Construction – speculative one- to four-family 6,668 2,577 Construction – commercial 20,728 3,310 Construction – multi-family 20,570 2,840 Land 26,140 29,589 Total mortgage loans 597,262 536,263 Consumer loans: Home equity and second mortgage 34,157 34,921 Other 4,669 4,699 Total consumer loans 38,826 39,620 Commercial business loans 33,763 30,559 Total loans receivable 669,851 606,442 Less: Undisbursed portion of construction loans in process 53,457 29,416 Deferred loan origination fees 2,193 1,746 Allowance for loan losses 9,924 10,427 65,574 41,589 Loans receivable, net 604,277 564,853 Loans held for sale (one- to four-family) 3,051 899 Total loans receivable and loans held for sale, net $ 607,328 $ 565,752 Certain related parties of the Company, principally Bank directors and officers, are loan customers of the Bank in the ordinary course of business. Such related party loans were performing according to their repayment terms at September 30, 2015 and 2014 . Activity in related party loans during the years ended September 30, 2015 , 2014 and 2013 was as follows (dollars in thousands): 2015 2014 2013 Balance, beginning of year $ 927 $ 1,095 $ 1,113 New loans or advances 112 40 276 Repayments and reclassifications (409 ) (208 ) (294 ) Balance, end of year $ 630 $ 927 $ 1,095 Loan Segment Risk Characteristics The Company believes that its loan classes are the same as its loan segments. One- To Four-Family Residential Lending: The Company originates both fixed-rate and adjustable-rate loans secured by one- to four-family residences. A portion of the fixed-rate one- to four-family loans are sold in the secondary market for asset/liability management purposes and to generate non-interest income. The Company’s lending policies generally limit the maximum loan-to-value on one- to four-family loans to 90% of the lesser of the appraised value or the purchase price. However, the Company usually obtains private mortgage insurance on the portion of the principal amount that exceeds 80% of the appraised value of the property. Multi-Family Lending : The Company originates loans secured by multi-family dwelling units (more than four units). Multi-family lending generally affords the Company an opportunity to receive interest at rates higher than those generally available from one- to four-family residential lending. However, loans secured by multi-family properties usually are greater in amount, more difficult to evaluate and monitor and, therefore, involve a greater degree of risk than one- to four-family residential mortgage loans. Because payments on loans secured by multi-family properties are often dependent on the successful operation and management of the properties, repayment of such loans may be affected by adverse conditions in the real estate market or economy. The Company attempts to minimize these risks by scrutinizing the financial condition of the borrower, the quality of the collateral and the management of the property securing the loan. Commercial Mortgage Lending : The Company originates commercial real estate loans secured by properties such as office buildings, retail/wholesale facilities, motels, restaurants, mini-storage facilities and other commercial properties. Commercial real estate lending generally affords the Company an opportunity to receive interest at higher rates than those available from one- to four-family residential lending. However, loans secured by such properties usually are greater in amount, more difficult to evaluate and monitor and, therefore, involve a greater degree of risk than one- to four-family residential mortgage loans. Because payments on loans secured by commercial properties are often dependent on the successful operation and management of the properties, repayment of these loans may be affected by adverse conditions in the real estate market or economy. The Company attempts to mitigate these risks by generally limiting the maximum loan-to-value ratio to 80% and scrutinizing the financial condition of the borrower, the quality of the collateral and the management of the property securing the loan. Construction Lending : The Company currently originates the following types of construction loans: custom construction loans, owner/builder construction loans, speculative construction loans (on a limited basis), commercial real estate construction loans and multi-family construction loans. The Company is not currently originating land development loans. Construction lending affords the Company the opportunity to achieve higher interest rates and fees with shorter terms to maturity than does its single-family permanent mortgage lending. Construction lending, however, is generally considered to involve a higher degree of risk than one-to four family residential lending because of the inherent difficulty in estimating both a property’s value at completion of the project and the estimated cost of the project. The nature of these loans is such that they are generally more difficult to evaluate and monitor. If the estimated cost of construction proves to be inaccurate, the Company may be required to advance funds beyond the amount originally committed to complete the project. If the estimate of value upon completion proves to be inaccurate, the Company may be confronted with a project whose value is insufficient to assure full repayment, and the Company may incur a loss. Projects may also be jeopardized by disagreements between borrowers and builders and by the failure of builders to pay subcontractors. Loans to construct homes for which no purchaser has been identified carry more risk because the payoff for the loan depends on the builder’s ability to sell the property prior to the time that the construction loan is due. The Company attempts to mitigate these risks by adhering to its underwriting policies, disbursement procedures and monitoring practices. Construction Lending – Custom and Owner/Builder: Custom construction loans are made to home builders who, at the time of construction, have a signed contract with a home buyer who has a commitment to purchase the finished home. Owner/builder construction loans are originated to home owners rather than home builders and are typically refinanced into permanent loans at the completion of construction. Construction Lending – Speculative One- To Four-Family: Speculative one-to four-family construction loans are made to home builders and are termed “speculative” because the home builder does not have, at the time of the loan origination, a signed contract with a home buyer who has a commitment for permanent financing with the Company or another lender for the finished home. The home buyer may be identified either during or after the construction period. The Company is currently originating speculative one-to four-family construction loans on a limited basis. Construction Lending – Commercial: Commercial construction loans are originated to construct properties such as office buildings, hotels, retail rental space and mini-storage facilities. Construction Lending – Multi-Family: Multi-family construction loans are originated to construct apartment buildings and condominium projects. Construction Lending – Land Development: The Company historically originated loans to real estate developers for the purpose of developing residential subdivisions. The Company is not currently originating any land development loans. Land Lending : The Company has historically originated loans for the acquisition of land upon which the purchaser can then build or make improvements necessary to build or to sell as improved lots. Currently, the Company is originating new land loans on a limited basis. Loans secured by undeveloped land or improved lots involve greater risks than one- to four-family residential mortgage loans because these loans are more difficult to evaluate. If the estimate of value proves to be inaccurate, in the event of default or foreclosure, the Company may be confronted with a property value which is insufficient to assure full repayment. The Company attempts to minimize this risk by generally limiting the maximum loan-to-value ratio on land loans to 75% . Consumer Lending – Home Equity and Second Mortgages: The Company originates home equity lines of credit and second mortgage loans. Home equity lines of credit and second mortgage loans have a greater credit risk than one- to four-family residential mortgage loans because they are secured by mortgages subordinated to the existing first mortgage on the property, which may or may not be held by the Company. The Company attempts to mitigate these risks by adhering to its underwriting policies in evaluating the collateral and the credit-worthiness of the borrower. Consumer Lending – Other: The Company originates other consumer loans, which include automobile loans, boat loans, motorcycle loans, recreational vehicle loans, savings account loans and unsecured loans. Other consumer loans generally have shorter terms to maturity than mortgage loans. Other consumer loans generally involve a greater degree of risk than do residential mortgage loans, particularly in the case of consumer loans that are unsecured or secured by rapidly depreciating assets such as automobiles. In such cases, any repossessed collateral for a defaulted consumer loan may not provide an adequate source of repayment of the outstanding loan balance as a result of the greater likelihood of damage, loss or depreciation. The Company attempts to mitigate these risks by adhering to its underwriting policies in evaluating the credit-worthiness of the borrower. Commercial Business Lending : The Company originates commercial business loans which are generally secured by business equipment, accounts receivable, inventory or other property. The Company also generally obtains personal guarantees from the business owners based on a review of personal financial statements. Commercial business lending generally involves risks that are different from those associated with residential and commercial real estate lending. Real estate lending is generally considered to be collateral based lending with loan amounts based on predetermined loan to collateral values, and liquidation of the underlying real estate collateral is viewed as the primary source of repayment in the event of borrower default. Although commercial business loans are often collateralized by equipment, inventory, accounts receivable or other business assets, the liquidation of collateral in the event of a borrower default is often an insufficient source of repayment, because accounts receivable may be uncollectible and inventories and equipment may be obsolete or of limited use. Accordingly, the repayment of a commercial business loan depends primarily on the credit-worthiness of the borrower (and any guarantors), while the liquidation of collateral is a secondary and potentially insufficient source of repayment. The Company attempts to mitigate these risks by adhering to its underwriting policies in evaluating the management of the business and the credit-worthiness of the borrowers and the guarantors. Allowance for Loan Losses The following table sets forth information for the year ended September 30, 2015 regarding activity in the allowance for loan losses by portfolio segment (dollars in thousands): Beginning Allowance Provision for (Recapture of) Charge- offs Recoveries Ending Allowance Mortgage loans: One-to four-family $ 1,650 $ (214 ) $ (220 ) $ 264 $ 1,480 Multi-family 387 2 — 3 392 Commercial 4,836 (775 ) — 4 4,065 Construction – custom and owner/builder 450 1 — — 451 Construction – speculative one- to four-family 52 69 — 2 123 Construction – commercial 78 348 — — 426 Construction – multi-family 25 (867 ) — 1,125 283 Land 1,434 (305 ) (145 ) 37 1,021 Consumer loans: Home equity and second mortgage 879 242 (50 ) 2 1,073 Other 176 16 (9 ) 4 187 Commercial business loans 460 (42 ) — 5 423 Total $ 10,427 $ (1,525 ) $ (424 ) $ 1,446 $ 9,924 The following table sets forth information for the year ended September 30, 2014 regarding activity in the allowance for loan losses by portfolio segment (dollars in thousands): Beginning Allowance Provision for (Recapture of) Charge- offs Recoveries Ending Allowance Mortgage loans: One-to four-family $ 1,449 $ 1,113 $ (1,106 ) $ 194 $ 1,650 Multi-family 749 (362 ) — — 387 Commercial 5,275 20 (463 ) 4 4,836 Construction – custom and owner/builder 262 188 — — 450 Construction – speculative one- to four-family 96 (44 ) — — 52 Construction – commercial 56 22 — — 78 Construction – multi-family — (226 ) — 251 25 Construction – land development — (287 ) — 287 — Land 1,940 (664 ) (260 ) 418 1,434 Consumer loans: Home equity and second mortgage 782 137 (47 ) 7 879 Other 200 (20 ) (6 ) 2 176 Commercial business loans 327 123 (14 ) 24 460 Total $ 11,136 $ — $ (1,896 ) $ 1,187 $ 10,427 The following table sets forth information for the year ended September 30, 2013 regarding activity in the allowance for loan losses by portfolio segment (dollars in thousands): Beginning Allowance Provision for (Recapture of) Charge- offs Recoveries Ending Allowance Mortgage loans: One-to four-family $ 1,558 $ 565 $ (769 ) $ 95 $ 1,449 Multi-family 1,156 (407 ) — — 749 Commercial 4,247 1,640 (667 ) 55 5,275 Construction – custom and owner/builder 386 (124 ) (26 ) 26 262 Construction – speculative one- to four-family 128 (32 ) — — 96 Construction – commercial 429 (373 ) — — 56 Construction – multi-family — 116 (116 ) — — Construction – land development — (129 ) (17 ) 146 — Land 2,392 1,801 (2,307 ) 54 1,940 Consumer loans: Home equity and second mortgage 759 202 (184 ) 5 782 Other 254 (40 ) (14 ) — 200 Commercial business loans 516 (294 ) — 105 327 Total $ 11,825 $ 2,925 $ (4,100 ) $ 486 $ 11,136 The following table presents information on the loans evaluated individually and collectively for impairment in the allowance for loan losses by portfolio segment at September 30, 2015 (dollars in thousands): Allowance for Loan Losses Recorded Investment in Loans Individually Evaluated for Impairment Collectively Evaluated for Impairment Total Individually Evaluated for Impairment Collectively Evaluated for Impairment Total Mortgage loans: One- to four-family $ 307 $ 1,173 $ 1,480 $ 4,291 $ 115,424 $ 119,715 Multi-family 16 376 392 4,037 48,285 52,322 Commercial 265 3,800 4,065 12,852 278,364 291,216 Construction – custom and owner/ builder — 451 451 — 36,192 36,192 Construction – speculative one- to four-family — 123 123 — 3,781 3,781 Construction – commercial — 426 426 — 12,200 12,200 Construction – multi-family — 283 283 — 5,290 5,290 Land 37 984 1,021 2,305 23,835 26,140 Consumer loans: Home equity and second mortgage 362 711 1,073 910 33,247 34,157 Other 24 163 187 36 4,633 4,669 Commercial business loans — 423 423 — 33,763 33,763 Total $ 1,011 $ 8,913 $ 9,924 $ 24,431 $ 595,014 $ 619,445 The following table presents information on the loans evaluated individually and collectively for impairment in the allowance for loan losses by portfolio segment at September 30, 2014 (dollars in thousands): Allowance for Loan Losses Recorded Investment in Loans Individually Evaluated for Impairment Collectively Evaluated for Impairment Total Individually Evaluated for Impairment Collectively Evaluated for Impairment Total Mortgage loans: One- to four-family $ 709 $ 941 $ 1,650 $ 7,011 $ 91,523 $ 98,534 Multi-family 39 348 387 3,317 42,889 46,206 Commercial 797 4,039 4,836 17,188 277,166 294,354 Construction – custom and owner/ builder — 450 450 — 34,553 34,553 Construction – speculative one- to four-family — 52 52 — 1,204 1,204 Construction – commercial — 78 78 — 2,887 2,887 Construction – multi-family — 25 25 — 419 419 Land 300 1,134 1,434 5,158 24,431 29,589 Consumer loans: Home equity and second mortgage 162 717 879 797 34,124 34,921 Other — 176 176 3 4,696 4,699 Commercial business loans — 460 460 — 30,559 30,559 Total $ 2,007 $ 8,420 $ 10,427 $ 33,474 $ 544,451 $ 577,925 The following table presents an age analysis of past due status of loans by portfolio segment at September 30, 2015 (dollars in thousands): 30–59 Days Past Due 60-89 Days Past Due Non- Accrual(1) Past Due 90 Days or More and Still Accruing Total Past Due Current Total Loans Mortgage loans: One- to four-family $ — $ 425 $ 2,368 $ — $ 2,793 $ 116,922 $ 119,715 Multi-family — — 760 — 760 51,562 52,322 Commercial — — 1,016 — 1,016 290,200 291,216 Construction – custom and owner/ builder — 345 — — 345 35,847 36,192 Construction – speculative one- to four-family — — — — — 3,781 3,781 Construction – commercial — — — — — 12,200 12,200 Construction – multi-family — — — — — 5,290 5,290 Land 15 32 1,558 — 1,605 24,535 26,140 Consumer loans: Home equity and second mortgage 146 14 303 151 614 33,543 34,157 Other — — 35 — 35 4,634 4,669 Commercial business loans — — — — — 33,763 33,763 Total $ 161 $ 816 $ 6,040 $ 151 $ 7,168 $ 612,277 $ 619,445 __________________ (1) Includes non-accrual loans past due 90 days or more and other loans classified as non-accrual. The following table presents an age analysis of past due status of loans by portfolio segment at September 30, 2014 (dollars in thousands): 30–59 Days Past Due 60-89 Days Past Due Non- Accrual(1) Past Due 90 Days or More and Still Accruing Total Past Due Current Total Loans Mortgage loans: One- to four-family $ — $ 577 $ 4,376 $ — $ 4,953 $ 93,581 $ 98,534 Multi-family — — — — — 46,206 46,206 Commercial — 695 1,468 812 2,975 291,379 294,354 Construction – custom and owner/ builder — 156 — — 156 34,397 34,553 Construction – speculative one- to four-family — — — — — 1,204 1,204 Construction – commercial — — — — — 2,887 2,887 Construction – multi-family — — — — — 419 419 Land 357 27 4,564 — 4,948 24,641 29,589 Consumer loans: Home equity and second mortgage 62 44 498 — 604 34,317 34,921 Other 42 — 3 — 45 4,654 4,699 Commercial business loans 21 — — — 21 30,538 30,559 Total $ 482 $ 1,499 $ 10,909 $ 812 $ 13,702 $ 564,223 $ 577,925 ___________________ (1) Includes non-accrual loans past due 90 days or more and other loans classified as non-accrual. Credit Quality Indicators The Company uses credit risk grades which reflect the Company’s assessment of a loan’s risk or loss potential. The Company categorizes loans into risk grade categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information and current economic trends, among other factors such as the estimated fair value of the collateral. The Company uses the following definitions for credit risk ratings as part of the on-going monitoring of the credit quality of its loan portfolio: Pass: Pass loans are defined as those loans that meet acceptable quality underwriting standards. Watch: Watch loans are defined as those loans that still exhibit acceptable quality but have some concerns that justify greater attention. If these concerns are not corrected, a potential for further adverse categorization exists. These concerns could relate to a specific condition peculiar to the borrower, its industry segment or the general economic environment. Special Mention: Special mention loans are defined as those loans deemed by management to have some potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in the deterioration of the payment prospects of the loan. Assets in this category do not expose the Company to sufficient risk to warrant a substandard classification. Substandard : Substandard loans are defined as those loans that are inadequately protected by the current net worth and paying capacity of the obligor, or of the collateral pledged. Loans classified as substandard have a well-defined weakness or weaknesses that jeopardize the repayment of the debt. If the weakness or weaknesses are not corrected, there is the distinct possibility that some loss will be sustained. Loss: Loans in this classification are considered uncollectible and of such little value that continuance as an asset is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off this loan even though partial recovery may be realized in the future. At September 30, 2015 and 2014, there were no loans classified as loss. The following table lists the loan credit risk grades utilized by the Company as credit quality indicators, by portfolio segment, at September 30, 2015 (dollars in thousands). Loan Grades Pass Watch Special Mention Substandard Total Mortgage loans: One- to four-family $ 114,402 $ 653 $ 1,339 $ 3,321 $ 119,715 Multi-family 45,249 — 6,313 760 52,322 Commercial 270,685 8,040 6,803 5,688 291,216 Construction – custom and owner / builder 36,192 — — — 36,192 Construction – speculative one- to four-family 3,781 — — — 3,781 Construction – commercial 12,200 — — — 12,200 Construction – multi-family 5,290 — — — 5,290 Land 20,964 1,105 2,078 1,993 26,140 Consumer loans: Home equity and second mortgage 32,172 664 404 917 34,157 Other 4,631 — — 38 4,669 Commercial business loans 33,635 49 79 — 33,763 Total $ 579,201 $ 10,511 $ 17,016 $ 12,717 $ 619,445 The following table lists the loan credit risk grades utilized by the Company as credit quality indicators, by portfolio segment, at September 30, 2014 (dollars in thousands): Loan Grades Pass Watch Special Mention Substandard Total Mortgage loans: One- to four-family $ 90,340 $ 1,749 $ 1,045 $ 5,400 $ 98,534 Multi-family 37,336 1,697 6,410 763 46,206 Commercial 266,467 5,819 15,946 6,122 294,354 Construction – custom and owner / builder 34,553 — — — 34,553 Construction – speculative one- to four-family 1,204 — — — 1,204 Construction – commercial 2,887 — — — 2,887 Construction – multi-family 419 — — — 419 Land 21,084 114 3,586 4,805 29,589 Consumer loans: Home equity and second mortgage 33,207 724 27 963 34,921 Other 4,657 39 — 3 4,699 Commercial business loans 30,355 112 92 — 30,559 Total $ 522,509 $ 10,254 $ 27,106 $ 18,056 $ 577,925 The following table is a summary of information related to impaired loans by portfolio segment as of and for the year ended September 30, 2015 (dollars in thousands): September 30, 2015 For the Year Ended Recorded Investment Unpaid Principal Balance (Loan Balance Plus Charge Off) Related Allowance Average Recorded Investment Interest Income Recognized Cash Basis Interest Income Recognized With no related allowance recorded: Mortgage loans: One- to four-family $ 1,321 $ 1,546 $ — $ 1,919 $ 25 $ 25 Multi-family 760 791 — 570 3 3 Commercial 7,199 8,259 — 9,078 521 412 Construction – custom and owner / builder — — — 118 — — Land 1,614 2,150 — 1,028 25 20 Consumer loans: Home equity and second mortgage 165 381 — 270 — — Commercial business loans — 6 — — — — Subtotal 11,059 13,133 — 12,983 574 460 With an allowance recorded: Mortgage loans: One- to four-family 2,970 2,970 307 3,833 149 112 Multi-family 3,277 3,277 16 3,291 184 137 Commercial 5,653 5,653 265 3,475 202 152 Construction – custom and owner / builder — — — 17 — — Land 691 691 37 3,298 32 27 Consumer loans: Home equity and second mortgage 745 745 362 516 18 15 Other 36 36 24 28 — — Subtotal 13,372 13,372 1,011 14,458 585 443 Total: Mortgage loans: One- to four-family 4,291 4,516 307 5,752 174 137 Multi-family 4,037 4,068 16 3,861 187 140 Commercial 12,852 13,912 265 12,553 723 564 Construction – custom and owner / builder — — — 135 — — Land 2,305 2,841 37 4,326 57 47 Consumer loans: Home equity and second mortgage 910 1,126 362 786 18 15 Other 36 36 24 28 — — Commercial business loans — 6 — — — — Total $ 24,431 $ 26,505 $ 1,011 $ 27,441 $ 1,159 $ 903 The following table is a summary of information related to impaired loans by portfolio segment as of and for the year ended September 30, 2014 (dollars in thousands): September 30, 2014 For the Year Ended September 30, 2014 Recorded Investment Unpaid Principal Balance (Loan Balance Plus Charge Off) Related Allowance Average Recorded Investment Interest Income Recognized Cash Basis Interest Income Recognized With no related allowance recorded: Mortgage loans: One- to four-family $ 2,647 $ 3,301 $ — $ 3,763 $ — $ — Multi-family — 857 — — — — Commercial 11,057 14,184 — 7,859 414 325 Construction – multi-family — — — 57 — — Construction – land development — — — 141 — — Land 1,079 1,674 — 1,044 12 10 Consumer loans: Home equity and second mortgage 351 574 — 276 — — Other 3 3 — 7 — — Commercial business loans — 10 — 22 — — Subtotal 15,137 20,603 — 13,169 426 335 With an allowance recorded: Mortgage loans: One- to four-family 4,364 4,364 709 4,140 146 110 Multi-family 3,317 3,317 39 4,157 220 165 Commercial 6,131 6,131 797 10,083 541 423 Construction – speculative one- to four-family — — — 275 11 7 Land 4,079 4,079 300 3,780 18 16 Consumer loans: Home equity and second mortgage 446 446 162 404 16 12 Subtotal 18,337 18,337 2,007 22,839 952 733 Total: Mortgage loans: One- to four-family 7,011 7,665 709 7,903 146 110 Multi-family 3,317 4,174 39 4,157 220 165 Commercial 17,188 20,315 797 17,942 955 748 Construction – speculative one- to four-family — — — 275 11 7 Construction – multi-family — — — 57 — — Construction – land development — — — 141 — — Land 5,158 5,753 300 4,824 30 26 Consumer loans: Home equity and second mortgage 797 1,020 162 680 16 12 Other 3 3 — 7 — — Commercial business loans — 10 — 22 — — Total $ 33,474 $ 38,940 $ 2,007 $ 36,008 $ 1,378 $ 1,068 The following table is a summary of information related to impaired loans by portfolio segment as of and for the year ended September 30, 2013 (dollars in thousands): September 30, 2013 For the Year Ended September 30, 2013 Recorded Investment Unpaid Principal Balance (Loan Balance Plus Charge Off) Related Allowance Average Recorded Investment Interest Income Recognized Cash Basis Interest Income Recognized With no related allowance recorded: Mortgage loans: One- to four-family $ 5,342 $ 5,775 $ — $ 2,661 $ 18 $ 13 Multi-family — 982 — 473 3 3 Commercial 4,879 8,005 — 8,781 322 267 Construction – custom and owner / builder — — — 97 — — Construction – speculative one- to four-family — — — 65 — — Construction – multi-family 143 608 — 293 — — Construction – land development 515 3,279 — 534 — — Land 1,188 2,133 — 3,519 9 8 Consumer loans: Home equity and second mortgage 380 556 — 266 — — Other 6 6 — 8 — — Commercial business loans — 33 — — — — Subtotal 12,453 21,377 — 16,697 352 291 With an allowance recorded: Mortgage loans: One- to four-family 3,642 3,726 600 4,397 91 68 Multi-family 5,184 5,184 334 5,960 301 230 Commercial 14,631 15,297 1,763 9,052 526 420 Construction – custom and owner / builder — — — 60 — — Construction – speculative one- to four-family 687 687 88 695 29 16 Land 1,203 1,226 234 1,962 27 27 Consumer loans: Home equity and second mortgage 299 299 57 352 16 12 Subtotal 25,646 26,419 3,076 22,478 990 773 Total: Mortgage loans: One- to four-family 8,984 9,501 600 7,058 109 81 Multi-family 5,184 6,166 334 6,433 304 233 Commercial 19,510 23,302 1,763 17,833 848 687 Construction – custom and owner / builder — — — 157 — — Construction – speculative one- to four-family 687 687 88 760 29 16 Construction – multi-family 143 608 — 293 — — Construction – land development 515 3,279 — 534 — — Land 2,391 3,359 234 5,481 36 35 Consumer loans: Home equity and second mortgage 679 855 57 618 16 12 Other 6 6 — 8 — — Commercial business loans — 33 — — — — Total $ 38,099 $ 47,796 $ 3,076 $ 39,175 $ 1,342 $ 1,064 Troubled debt restructured loans are considered impaired loans and are individually evaluated for impairment. Troubled debt restructured loans can be classified as either accrual or non-accrual. The Company had $13,718,000 in troubled debt restructured loans included in impaired loans at September 30, 2015 and had no commitments to lend additional funds on these loans. The Company had $19,088,000 in troubled debt restructured loans included in impaired loans at September 30, 2014 and had no commitments to lend additional funds on these loans. The allowance for loan losses allocated to troubled debt restructured loans at September 30, 2015 and 2014 was $310,000 and $994,000 , respectively. The following tables set forth information with respect to the Company’s troubled debt restructured loans by interest accrual status as of September 30, 2015 and 2014 (dollars in thousands): 2015 Accruing Non- Accrual Total Mortgage loans: One- to four-family $ 1,929 $ 826 $ 2,755 Multi-family 3,277 — 3,277 Commercial 6,237 — 6,237 Land 747 255 1,002 Consumer loans: Home equity and second mortgage 295 152 447 Total $ 12,485 $ 1,233 $ 13,718 2014 Accruing Non- Accrual Total Mortgage loans: One- to four-family $ 2,634 $ 233 $ 2,867 Multi-family 3,317 — 3,317 Commercial 9,960 1,468 11,428 Land 594 431 1,025 Consumer loans: Home equity and second mortgage 299 152 451 Total $ 16,804 $ 2,284 $ 19,088 The following tables set forth information with respect to the Company’s loans, by portfolio segment, which were modified in troubled debt restructurings during the years ended September 30, 2015, 2014 and 2013 (dollars in thousands): 2015 Number of Contracts Pre-Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment End of Period Balance One- to four-family (1) 1 $ 48 $ 48 $ 48 Total 1 $ 48 $ 48 $ 48 ___________________________ (1) Modification was a result of a reduction in the stated interest rate. 2014 Number of Contracts Pre-Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment End of Period Balance One-to four-family (1) 1 $ 42 $ 42 $ 42 Land (1) 1 157 157 153 Total 2 $ 199 $ 199 $ 195 _______________________________ (1) Modifications were a result of a reduction in the stated interest rate. 2013 Number of Contracts Pre-Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment End of Period Balance One-to four-family (1) 2 $ 353 $ 353 $ 350 Commercial (2) 2 2,327 2,327 2,318 Total 4 $ 2,680 $ 2,680 $ 2,668 _______________________________ (1) Modifications were a result of a combination of changes (i.e., a reduction in the stated interest rate and an extension of the maturity at an interest rate below current market). (2) Modifications were a result of reductions in the stated interest rates. No troubled debt restructured loans were recorded that subsequently defaulted during the years ended September 30, 2015 , 2014 or 2013 . |
Mortgage Servicing Rights
Mortgage Servicing Rights | 12 Months Ended |
Sep. 30, 2015 | |
Transfers and Servicing [Abstract] | |
Mortgage Servicing Rights | MSRs Loans serviced for Freddie Mac are not included in the accompanying consolidated balance sheets. The principal amounts of those loans at September 30, 2015 , 2014 and 2013 were $331,494,000 , $327,594,000 and $325,726,000 , respectively. The following is an analysis of the changes in MSRs for the years ended September 30, 2015, 2014 and 2013 (dollars in thousands): 2015 2014 2013 Balance, beginning of year $ 1,684 $ 2,266 $ 2,011 Additions 635 387 728 Amortization (841 ) (969 ) (948 ) Recovery of valuation allowance — — 475 Balance, end of year $ 1,478 $ 1,684 $ 2,266 At September 30, 2015 , 2014 and 2013 , the estimated fair value of MSRs totaled $3,095,000 , $3,204,000 and $3,129,000 , respectively. The MSRs' fair values for 2015 , 2014 and 2013 were estimated using discounted cash flow analyses with average discount rates of 9.52% , 10.04% and 10.04% , respectively, and average prepayment speed factors of 174 , 164 and 177 , respectively. At September 30, 2015, 2014 and 2013 there were no valuation allowances on MSRs. |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Sep. 30, 2015 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | Premises and Equipment Premises and equipment consisted of the following at September 30, 2015 and 2014 (dollars in thousands): 2015 2014 Land $ 3,944 $ 4,085 Buildings and improvements 17,664 17,546 Furniture and equipment 8,071 8,332 Property held for future expansion 110 110 Construction and purchases in progress 96 153 29,885 30,226 Less accumulated depreciation 13,031 12,547 Premises and equipment, net $ 16,854 $ 17,679 The Company leases certain premises under operating lease agreeements. Total rental expense was $280,000 , $267,000 and $250,000 for the years ended September 30, 2015 , 2014 , and 2013 , respectively, which was included in premises and equipment expense in the accompanying consolidated statements of income. Minimum net rental commitments under non-cancellable leases having an original or remaining term of more than one year for fiscal years ending subsequent to September 30, 2015 are as follows (dollars in thousands): 2016 $ 225 2017 96 2018 96 2019 96 2020 96 Thereafter 24 Total minimum payments required $ 633 Certain leases contain renewal options from five to ten years and escalation clauses based on increases in property taxes and other costs. |
OREO and Other Repossessed Asse
OREO and Other Repossessed Assets | 12 Months Ended |
Sep. 30, 2015 | |
Other Real Estate, Foreclosed Assets, and Repossessed Assets [Abstract] | |
OREO and Other Repossessed Assets | OREO and Other Repossessed Assets The following table presents the activity related to OREO and other repossessed assets for the years ended September 30, 2015 and 2014 (dollars in thousands): 2015 2014 Amount Number Number Balance, beginning of year $ 9,092 40 $ 11,720 47 Additions to OREO and other repossessed assets 2,120 12 6,108 29 Capitalized improvements 3 — 47 — Lower of cost or estimated fair value losses (644 ) — (605 ) — Disposition of OREO and other repossessed assets (2,717 ) (17 ) (8,178 ) (36 ) Balance, end of year $ 7,854 35 $ 9,092 40 At September 30, 2015 , OREO and other repossessed assets consisted of 34 OREO properties and one other repossessed asset in Washington, with balances ranging from $6,000 to $1,091,000 . At September 30, 2014 , OREO consisted of 40 OREO properties in Washington, with balances ranging from $6,000 to $1,203,000 . The Company recorded net gains on sales of OREO and other repossessed assets of $110,000 , $169,000 , and $264,000 for the years ended September 30, 2015, 2014 and 2013, respectively. Gains and losses on sales of OREO and other repossessed assets are recorded in the OREO and other repossessed assets, net category in non-interest expense in the accompanying consolidated statements of income. |
Deposits
Deposits | 12 Months Ended |
Sep. 30, 2015 | |
Deposits [Abstract] | |
Deposits | Deposits Deposits consisted of the following at September 30, 2015 and 2014 (dollars in thousands): 2015 2014 Non-interest-bearing demand $ 141,388 $ 106,417 NOW checking 180,628 160,748 Savings 110,315 95,665 Money market 92,476 88,999 Certificates of deposit 154,105 163,287 Total $ 678,912 $ 615,116 Certificates of deposit of $100,000 or greater totaled $68,033,000 and $66,663,000 at September 30, 2015 and 2014 , respectively. The Company had brokered deposits totaling $11,646,000 and $3,192,000 at September 30, 2015 and 2014, respectively. Scheduled maturities of certificates of deposit for future years ending September 30 are as follows (dollars in thousands): 2016 $ 93,882 2017 33,416 2018 9,626 2019 8,003 2020 8,646 Thereafter 532 Total $ 154,105 Interest expense on deposits by account type was as follows for the years ended September 30, 2015 , 2014 and 2013 (dollars in thousands): 2015 2014 2013 NOW checking $ 450 $ 440 $ 463 Savings 53 46 55 Money market 274 246 246 Certificates of deposit 1,227 1,334 1,804 Total $ 2,004 $ 2,066 $ 2,568 |
FHLB Advances and Other Borrowi
FHLB Advances and Other Borrowings | 12 Months Ended |
Sep. 30, 2015 | |
Advances from Federal Home Loan Banks [Abstract] | |
FHLB Advances and Other Borrowings | FHLB Advances and Other Borrowings The Bank has long- and short-term borrowing lines with the FHLB with total credit on the lines equal to 35% of the Bank’s total assets, limited by available collateral. Borrowings are considered short-term when the original maturity is less than one year. The Bank had $45,000,000 of long-term FHLB advances outstanding at September 30, 2015 and 2014 . The long-term borrowings at September 30, 2015 mature at various dates during the 2017 fiscal year and bear interest at rates ranging from 3.69% to 4.34% . Under the Advances, Security and Deposit Agreement entered into with the FHLB ("FHLB Advance Agreement"), virtually all of the Bank’s assets, not otherwise encumbered, are pledged as collateral for advances. A portion of the long-term advances have a putable feature and may be called by the FHLB earlier than the scheduled maturities. The Bank also has a letter of credit ("LOC") with the FHLB for the purpose of collateralizing Washington State public deposits. The LOC amount reduces the Bank's available borrowings under the FHLB Advance Agreement. The LOC had a limit of $15,000,000 as of September 30, 2015, all of which was available to draw upon. The Bank also maintains a short-term borrowing line with the FRB with total credit based on eligible collateral. At September 30, 2015 the Bank had a borrowing capacity on this line of $45,201,000 . The Bank had no outstanding balance on this line at September 30, 2015 and 2014. The Bank has a short-term $10,000,000 overnight borrowing line with Pacific Coast Bankers' Bank. The borrowing line may be reduced or withdrawn at any time. As of September 30, 2015 and 2014 the Bank did no t have any outstanding advances on this borrowing line. The Bank had no short-term borrowings outstanding during the years ended September 30, 2015 , 2014 and 2013 . |
Other Liabilities and Accrued E
Other Liabilities and Accrued Expenses | 12 Months Ended |
Sep. 30, 2015 | |
Payables and Accruals [Abstract] | |
Other Liabilities and Accrued Expenses | Other Liabilities and Accrued Expenses Other liabilities and accrued expenses were comprised of the following at September 30, 2015 and 2014 (dollars in thousands): 2015 2014 Accrued deferred compensation and profit sharing plans payable $ 828 $ 657 Accrued interest payable on deposits and advances 289 298 Accounts payable and accrued expenses - other 1,599 1,716 Total other liabilities and accrued expenses $ 2,716 $ 2,671 |
Federal Income Taxes
Federal Income Taxes | 12 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Federal Income Taxes | Federal Income Taxes The components of the provision for federal income taxes for the years ended September 30, 2015 , 2014 and 2013 were as follows (dollars in thousands): 2015 2014 2013 Current $ 3,996 $ 2,349 $ 1,737 Deferred 196 451 777 Provision $ 4,192 $ 2,800 $ 2,514 At September 30, 2015 and 2014 , the Company had income taxes receivable of $92,000 and $461,000 , respectively, which are included in other assets in the accompanying consolidated balance sheets. The components of the Company’s deferred tax assets and liabilities at September 30, 2015 and 2014 were as follows (dollars in thousands): 2015 2014 Deferred Tax Assets Allowance for loan losses $ 3,483 $ 3,669 Allowance for OREO losses 564 628 Unearned ESOP shares 255 202 CDI 201 249 OTTI credit impairment 176 185 Accrued interest on loans 130 — Net unrealized investment securities losses 114 128 Other 164 180 Total deferred tax assets $ 5,087 $ 5,241 Deferred Tax Liabilities 2015 2014 Goodwill $ 1,417 $ 1,281 MSRs 505 572 Depreciation 464 141 FHLB stock dividends 447 773 Prepaid expenses 125 134 Other 8 9 Total deferred tax liabilities 2,966 2,910 Net deferred tax assets $ 2,121 $ 2,331 The provision for federal income taxes for the years ended September 30, 2015 , 2014 and 2013 differs from that computed at the statutory corporate tax rate as follows (dollars in thousands): 2015 2014 2013 Expected tax provision at statutory rate $ 4,268 $ 2,941 $ 2,472 BOLI income (184 ) (180 ) (196 ) Change in estimated utilization of net capital loss carry-forward — — 281 Dividends on ESOP (58 ) (41 ) (24 ) Other - net 166 80 (19 ) Provision for federal income taxes $ 4,192 $ 2,800 $ 2,514 During the year ended September 30, 2013, the Company utilized $183,000 of the capital loss carry-forward and wrote-off the remaining portion of the related deferred tax asset and valuation allowance due to the expiration of the capital loss carry-forward period. No valuation allowance for net deferred tax assets was recorded as of September 30, 2015 and 2014, as management believes that it is more likely than not that all of the net deferred tax assets will be realized based on management's expectations of future taxable income and/or because they were supported by recoverable taxes paid in prior years. |
Employee Stock Ownership and 40
Employee Stock Ownership and 401(k) Plan ("KSOP") | 12 Months Ended |
Sep. 30, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Employee Stock Ownership and 401(k) Plan (KSOP) | Employee Stock Ownership and 401(k) Plan (“KSOP”) Effective October 3, 2007, the Bank established the Timberland Bank Employee Stock Ownership and 401(k) Plan (“KSOP”) by combining the existing Timberland Bank Employee Stock Ownership Plan (established in 1997) and the Timberland Bank 401(k) Plan (established in 1970). The KSOP is comprised of two components, the ESOP and the 401(k) Plan. The KSOP benefits employees with at least one year of service who are 21 years of age or older. The Bank may fund the ESOP with contributions of cash or stock, and may fund the 401(k) Plan with contributions of cash. Employee vesting occurs over six years. ESOP In January 1998, the ESOP borrowed $7,930,000 from the Company to purchase 1,058,000 shares of common stock of the Company. The loan is being repaid primarily from the Bank’s contributions to the ESOP and is scheduled to be fully repaid by March 31, 2019. The interest rate on the loan is 8.5% . Interest expense on the ESOP debt was $173,000 , $206,000 and $237,000 for the years ended September 30, 2015 , 2014 and 2013 , respectively. The balance of the loan at September 30, 2015 was $1,766,000 . The amount of the Bank's annual contribution is discretionary, except that it must be sufficient to enable the ESOP to service its debt. All dividends received by the ESOP are used to pay debt service. Dividends of $170,000 , $120,000 and $72,000 were used to service the debt during the years ended September 30, 2015, 2014 and 2013, respectively. As the Plan makes each payment of principal and interest, an appropriate percentage of stock is released and allocated annually to eligible employee accounts, in accordance with applicable regulations. As of September 30, 2015 , 379,819 ESOP shares, which were previously released for allocation to participants, had been distributed to participants. Shares held by the ESOP as of September 30, 2015 , 2014 and 2013 were classified as follows: 2015 2014 2013 Unallocated shares 123,436 158,702 193,968 Shares released for allocation 554,745 564,111 592,468 Total ESOP shares 678,181 722,813 786,436 The approximate fair market value of the ESOP’s unallocated shares at September 30, 2015 , 2014 and 2013 was $1,344,000 , $1,673,000 and $1,746,000 , respectively. Compensation expense recognized under the ESOP for the years ended September 30, 2015 , 2014 and 2013 was $203,000 , $242,000 , and $202,000 , respectively. 401(k) Plan Eligible employees may contribute a portion of their wages to the 401(k) Plan up to the maximum established by the Internal Revenue Service. Contributions by the Bank are at the discretion of the Board except for a 3% safe harbor contribution which is mandatory according to the plan document. Bank contributions totaled $313,000 , $302,000 and $289,000 for the years ended September 30, 2015 , 2014 and 2013 , respectively. |
Stock Compensation Plans
Stock Compensation Plans | 12 Months Ended |
Sep. 30, 2015 | |
Share-based Compensation [Abstract] | |
Stock Compensation Plans | Stock Compensation Plans Stock Compensation Plans Under the Company’s prior stock compensation plans (1999 Stock Option Plan, 2003 Stock Option Plan and the MRDP), the Company was able to grant options and awards for restricted stock for up to 2,151,500 shares of common stock to employees, officers, directors and directors emeriti. Under the Company's 2014 Equity Incentive Plan, which was approved by shareholders on January 27, 2015, the Company is able to grant options and awards of restricted stock (with or without performance measures) for up to 352,366 shares of common stock to employees, officers, directors and directors emeriti. Shares issued may be purchased in the open market or may be issued from authorized and unissued shares. The exercise price of each option equals the fair market value of the Company’s common stock on the date of grant. Generally, options and restricted stock vest in 20% annual installments on each of the five anniversaries from the date of the grant. At September 30, 2015 , there were 224,366 shares of restricted stock or options for common shares available for future grant under the 2014 Equity Incentive Plan. At September 30, 2015, there were no options or awards for restricted stock available for future grant under the 1999 Stock Option Plan, the 2003 Stock Option Plan, or the MRDP. Stock Options Stock option activity for the years ended September 30, 2015 , 2014 and 2013 is summarized as follows: Number of Shares Weighted Average Exercise Price Outstanding September 30, 2012 195,626 $ 7.97 Options granted 29,000 6.00 Options forfeited (61,680 ) 9.69 Outstanding September 30, 2013 162,946 6.96 Options granted 135,000 9.29 Options exercised (5,000 ) 4.66 Options forfeited (71,546 ) 9.87 Outstanding September 30, 2014 221,400 7.49 Options granted 128,000 10.62 Options exercised (6,300 ) 4.84 Options forfeited (1,800 ) 4.55 Outstanding September 30, 2015 341,300 $ 8.73 The aggregate intrinsic value of options exercised during the years ended September 30, 2015 and 2014 was $36,000 and $25,000 , respectively. The Company uses the Black-Scholes option pricing model to estimate the fair value of stock-based awards with the weighted average assumptions noted in the following table. The risk-free interest rate is based on the U.S. Treasury rate of a similar term as the stock option at the particular grant date. The expected life is based on historical data, vesting terms and estimated exercise dates. The expected dividend yield is based on the most recent quarterly dividend on an annualized basis in effect at the time the options were granted, adjusted, if appropriate, for management's expectations regarding future dividends. At the time the options were granted for the year ended September 30, 2013, the Company was under regulatory restrictions prohibiting the payment of dividends. Since management did not know when the Company would be allowed to pay dividends, an expected dividend yield of 0% was used. The expected volatility is based on historical volatility of the Company’s stock price. There were 29,000 options granted during the year ended September 30, 2013 with an aggregate grant date fair value of $69,000 . There were 135,000 options granted during the year ended September 30, 2014 with an aggregate grant date fair value of $349,000 . There were 128,000 options granted during the year ended September 30, 2015 with an aggregate grant date fair value of $241,000 . The weighted average assumptions for options granted during the years ended September 30, 2015 , 2014 and 2013 were as follows: 2015 2014 2013 Expected volatility 28 % 39 % 45 % Expected term (in years) 5 5 5 Expected dividend yield 3.31 % 2.51 % — % Risk free interest rate 1.43 % 1.41 % 0.76 % Grant date fair value per share $ 1.88 $ 2.59 $ 2.37 There were 42,900 options that vested during the year ended September 30, 2015 with a total fair value of $100,000 . There were 43,800 options that vested during the year ended September 30, 2014 with a total fair value of $80,000 . There were 17,300 options that vested during the year ended September 30, 2013 with a total fair value of $32,000 . At September 30, 2015 there were 262,700 unvested options with an aggregate grant date fair value of $574,000 , all of which the Company assumes will vest. The unvested options had an aggregate intrinsic value of $390,000 at September 30, 2015 . At September 30, 2014 there were 177,600 unvested options with an aggregate grant date fair value of $434,000 . Additional information regarding options outstanding at September 30, 2015 is as follows: Options Outstanding Options Exercisable Range of Exercise Prices ($) Number Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Number Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) $ 4.01 - 4.55 31,600 $ 4.23 5.3 24,000 $ 4.30 5.0 5.86 - 6.00 59,700 5.92 7.0 30,200 5.91 7.0 9.00 96,000 9.00 8.1 19,200 9.00 8.1 10.26 - 10.71 154,000 10.57 9.6 5,200 10.34 8.6 341,300 $ 8.73 8.3 78,600 $ 6.47 6.8 The aggregate intrinsic value of options outstanding at September 30, 2015 , 2014 and 2013 was $738,000 , $675,000 , and $443,000 , respectively. Restricted Stock Grants A summary of restricted stock grant shares vested for the years ended September 30, 2014 and 2013 were as follows: 2014 2013 Shares vested 3,254 6,207 Aggregate vesting date fair value $ 30,000 $ 38,000 At both September 30, 2015 and 2014 there were no unvested restricted stock grant shares. There were no restricted stock grants awarded during the years ended September 30, 2015, 2014 and 2013. Expense for Stock Compensation Plans Compensation expense recorded in the consolidated financial statements for all stock-based plans was as follows for the years ended September 30, 2015 , 2014 and 2013 (dollars in thousands): 2015 2014 2013 Stock options $ 127 $ 112 $ 49 Restricted stock grants — 2 39 Less: related tax benefit recognized (2 ) (10 ) (8 ) $ 125 $ 104 $ 80 The compensation expense to be recognized in the future years ending September 30 for stock options that had been awarded as of September 30, 2015 is as follows (in thousands): 2016 $ 151 2017 144 2018 113 2019 55 2020 33 $ 496 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies The Company is party to financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit. These instruments involve, to varying degrees, elements of credit risk not recognized in the consolidated balance sheets. The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit is represented by the contractual amount of those instruments. The Bank uses the same credit policies in making commitments as it does for on-balance-sheet instruments. A summary of the Company’s commitments at September 30, 2015 and 2014 is as follows (dollars in thousands): 2015 2014 Undisbursed portion of construction loans in process (see Note 4) $ 53,457 $ 29,416 Undisbursed lines of credit 41,494 30,678 Commitments to extend credit 12,196 18,119 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Since commitments may expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer’s credit - worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the party. However, such loan to value ratios will subsequently change, based on increases and decreases in the supporting collateral values. Collateral held varies, but may include accounts receivable, inventory, property and equipment, residential real estate, land and income-producing commercial properties. The Company maintains a separate reserve for losses related to unfunded loan commitments. Management estimates the amount of probable losses related to unfunded loan commitments by applying the loss factors used in the allowance for loan loss methodology to an estimate of the expected amount of funding and applies this adjusted factor to the unused portion of unfunded loan commitments. The reserve for unfunded loan commitments totaled $226,000 and $192,000 at September 30, 2015 and 2014 , respectively. These amounts are included in other liabilities and accrued expenses in the accompanying consolidated balance sheets. Increases (decreases) in the reserve for unfunded loan commitments are recorded in non-interest expense in the accompanying consolidated statements of income. The Bank has an employee severance compensation plan which expires in 2017 and which provides severance pay benefits to eligible employees in the event of a change in control of Timberland Bancorp or the Bank (as defined in the plan). In general, all employees with two or more years of service will be eligible to participate in the plan. Under the plan, in the event of a change in control of Timberland Bancorp or the Bank, eligible employees who are terminated or who terminate employment (but only upon the occurrence of events specified in the plan) within 12 months of the effective date of a change in control would be entitled to a payment based on years of service or officer rank with the Bank. The maximum payment for any eligible employee would be equal to 24 months of the employee’s current compensation. In March 2013, the Bank and the Company entered into employment agreements with the Chief Executive Officer and the Chief Financial Officer. The employment agreements provide for a severance payment and other benefits if the officers are involuntarily terminated following a change in control of the Company or the Bank. The maximum value of the severance benefits under the employment agreements is 2.99 times the officer's average annual compensation during the five-year period prior to the effective date of the change in control. Because of the nature of its activities, the Company is subject to various pending and threatened legal actions which arise in the ordinary course of business. In the opinion of management, liabilities arising from these claims, if any, will not have a material effect on the consolidated financial position of the Company. |
Significant Concentrations of C
Significant Concentrations of Credit Risk | 12 Months Ended |
Sep. 30, 2015 | |
Risks and Uncertainties [Abstract] | |
Significant Concentrations of Credit Risk | Significant Concentrations of Credit Risk Most of the Company’s lending activity is with customers located in the state of Washington and involves real estate. At September 30, 2015 , the Company had $634,470,000 (including $53,457,000 of undisbursed construction loans in process) in loans secured by real estate, which represents 94.3% of total loans and loans held for sale. The real estate loan portfolio is primarily secured by one- to four-family properties, multi-family properties, undeveloped land, and a variety of commercial real estate property types. At September 30, 2015 , there were no concentrations of real estate loans to a specific industry or secured by a specific collateral type that equaled or exceeded 20% of the Company’s total loan portfolio, other than loans secured by one-to four-family properties. The ultimate collectability of a substantial portion of the loan portfolio is susceptible to changes in economic and market conditions in the region and the impact of those changes on the real estate market. The Company typically originates real estate loans with loan-to-value ratios of no greater than 90% . Collateral and/or guarantees are required for all loans. The Company also had $48,611,000 in CDs held for investment at September 30, 2015 . The CDs are held with various FDIC insured institutions throughout the U.S., and each CD is below the FDIC insurance limit of $250,000. |
Regulatory Matters
Regulatory Matters | 12 Months Ended |
Sep. 30, 2015 | |
Regulatory Capital Requirements [Abstract] | |
Regulatory Matters | Regulatory Matters The Bank, as a state-chartered, federally insured savings bank, is subject to the capital requirements established by the FDIC. Under the FDIC's 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 items as calculated under regulatory accounting practices. The Bank's capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weighting and other factors. Effective January 1, 2015 (with some changes transitioned into full effectiveness over two to four years), the Bank became subject to new capital adequacy requirements. The capital adequacy requirements are quantitative measures established by regulation that require the Bank to maintain minimum amounts and ratios of capital. The new capital requirements adopted by the FDIC created a new required ratio for common equity Tier 1 ("CET1") capital, increased the leverage and Tier 1 capital ratios, changed the risk-weightings of certain assets for purposes of the risk-based capital ratios, created an additional capital conservation buffer over the required capital ratios and changed what qualifies as capital for purpose of meeting these various capital requirements. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by bank regulators that, if undertaken, could have a direct material effect on the Company's consolidated financial statements. The Bank is required to maintain additional levels of Tier 1 common equity over the minimum risk-based capital levels before it may pay dividends, repurchase shares or pay discretionary bonuses. The new minimum requirements are a ratio of CET1 capital to total risk-weighted assets (the "CET1 risk-based ratio") of 4.5%, a Tier 1 capital ratio of 6.0%, a total capital ratio of 8.0% and a leverage ratio of 4.0%. In addition to the minimum CET1, Tier 1 and total capital ratios, the Bank will have to maintain a capital conservation buffer consisting of additional CET1 capital equal to 2.5% of risk-weighted assets above the required minimum levels in order to avoid limitations on paying dividends, engaging in share repurchases, and paying discretionary bonuses based on percentages of eligible retained income that could be utilized for such actions. This new capital conservation buffer requirement is to be phased in beginning in January 2016 at 0.625% of risk-weighted assets and increasing each year until fully implemented in January 2019. In addition to the capital requirements, there are a number of changes in what constitutes regulatory capital, subject to transition periods. These changes include the phasing-out of certain instruments as qualifying capital. As of September 30, 2015, the Bank did not have any of these instruments. MSRs and deferred tax assets over designated percentages of CET1 capital will be deducted from capital, subject to a four-year transition period. CET1 capital will consist of Tier 1 capital less all capital components that are not considered common equity. In addition, Tier 1 capital will include accumulated other comprehensive income (loss), which includes all unrealized gains and losses on available for sale investment securities, subject to a four-year transition period. Because of the Bank's asset size, it was not considered an advanced approaches banking organization and elected in the first quarter of calendar year 2015 to take the one-time option of deciding to permanently opt-out of the inclusion of unrealized gains and losses on available for sale investment securities in its capital calculations. The new requirements also include changes in the risk-weighting of assets to better reflect credit risk and other risk exposure. These include a 150% risk weight (up from 100%) for certain high volatility commercial real estate acquisition, development and construction loans and for non-residential mortgage loans that are 90 days or more past due or otherwise on non-accrual status; a 20% (up from 0%) credit conversion factor for the unused portion of a commitment with an original maturity of one year or less that is not unconditionally cancellable; and a 250% risk weight (up from 100%) for MSRs and deferred tax assets that are not deducted from capital. Under the new standards, in order to be considered well-capitalized, the Bank must have a CET1 risk-based capital ratio of 6.5% (new), a Tier 1 risk-based capital ratio of 8.0% (increased from 6.0%), a total risk-based capital ratio of 10.0% (unchanged) and a Tier 1 leverage capital ratio of 5.0% (unchanged). At September 30, 2015 and 2014, the Bank exceeded all regulatory capital requirements. The Bank was categorized as "well capitalized" at September 30, 2015 and 2014 under the regulations of the FDIC. The following tables compare the Bank’s actual capital amounts at September 30, 2015 and 2014 to its minimum regulatory capital requirements and "Well Capitalized" regulatory capital at those dates (dollars in thousands): September 30, 2015 Actual Regulatory Minimum To Be "Adequately Capitalized" To Be "Well Capitalized" Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio Leverage Capital Ratio: Tier 1 capital $ 82,297 10.3 % $ 32,006 4.0 % $ 40,008 5.0 % Risk-based Capital Ratios: Common equity tier 1 capital 82,297 13.4 27,568 4.5 39,821 6.5 Tier 1 capital 82,297 13.4 36,758 6.0 49,010 8.0 Total capital 89,986 14.7 49,010 8.0 61,263 10.0 September 30, 2014 Actual Regulatory Minimum To Be "Adequately Capitalized" To Be "Well Capitalized" Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio Leverage Capital Ratio: Tier 1 capital $ 75,734 10.2 % $ 29,629 4.0 % $ 37,036 5.0 % Risk-based Capital Ratios: Tier 1 capital 75,734 13.2 22,939 4.0 34,409 6.0 Total capital 82,945 14.5 45,878 8.0 57,348 10.0 Timberland Bancorp is a bank holding company registered with the Federal Reserve. Bank holding companies are subject to capital adequacy requirements of the Federal Reserve under the Bank Holding Company Act of 1956, as amended, and the regulations of the Federal Reserve. For a bank holding company with less than $1.0 billion in assets, the capital guidelines apply on a bank only basis, and the Federal Reserve expects the holding company's subsidiary bank to be well capitalized under the prompt corrective action regulations. If Timberland Bancorp were subject to regulatory guidelines for bank holding companies with $1.0 billion or more in assets at September 30, 2015 , Timberland Bancorp would have exceeded all regulatory requirements. The following table presents the regulatory capital ratios for Timberland Bancorp at September 30, 2015 and 2014 (dollars in thousands): Actual September 30, 2015 Amount Ratio Leverage Capital Ratio: Tier 1 capital $ 85,221 10.6 % Risk-based Capital Ratios: Common equity tier 1 capital 85,221 13.9 Tier 1 capital 85,221 13.9 Total capital 92,911 15.2 September 30, 2014 Leverage Capital Ratio: Tier 1 capital $ 78,480 10.6 % Risk-based Capital Ratios: Tier 1 capital 78,480 13.7 Total capital 85,692 14.9 Restrictions on Retained Earnings At the time of conversion of the Bank from a Washington-chartered mutual savings bank to a Washington-chartered stock savings bank, the Bank established a liquidation account in an amount equal to its retained earnings of $23,866,000 as of June 30, 1997, the date of the latest statement of financial condition used in the final conversion prospectus. The liquidation account is maintained for the benefit of eligible account holders who have maintained their deposit accounts in the Bank after conversion. The liquidation account reduces annually to the extent that eligible account holders have reduced their qualifying deposits as of each anniversary date. Subsequent increases do not restore an eligible account holder’s interest in the liquidation account. At September 30, 2015 management estimates the amount of the liquidation account to be $429,000 . In the event of a complete liquidation of the Bank (and only in such an event), eligible depositors who have continued to maintain accounts will be entitled to receive a distribution from the liquidation account before any distribution may be made with respect to common stock. The Bank may not declare or pay cash dividends if the effect thereof would reduce its regulatory capital below the amount required for the liquidation account. |
Condensed Financial Information
Condensed Financial Information - Parent Company Only | 12 Months Ended |
Sep. 30, 2015 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Financial Information - Parent Company Only | Condensed Financial Information - Parent Company Only Condensed Balance Sheets - September 30, 2015 and 2014 (dollars in thousands) 2015 2014 Assets Cash and cash equivalents: Cash and due from financial institutions $ 439 $ 55 Interest-bearing deposits in banks 811 440 Total cash and cash equivalents 1,250 495 Loan receivable from ESOP 1,766 2,183 Investment in Bank 86,263 80,031 Other assets 13 124 Total assets $ 89,292 $ 82,833 Liabilities and shareholders’ equity Accrued expenses $ 105 $ 55 Shareholders’ equity 89,187 82,778 Total liabilities and shareholders’ equity $ 89,292 $ 82,833 Condensed Statements of Income - Years Ended September 30, 2015 , 2014 and 2013 (dollars in thousands) 2015 2014 2013 Operating income Interest on deposits in banks $ — $ — $ 1 Interest on loan receivable from ESOP 173 206 237 Dividends from Bank 2,698 13,190 3,300 Total operating income 2,871 13,396 3,538 Operating expenses 445 409 455 Income before income taxes and equity in undistributed income of Bank 2,426 12,987 3,083 Benefit for income taxes (150 ) (110 ) (98 ) Income before undistributed income of Bank 2,576 13,097 3,181 Equity in undistributed income of Bank (dividends in excess of income of Bank) 5,716 (7,247 ) 1,576 Net income 8,292 5,850 4,757 Preferred stock dividends — (136 ) (710 ) Preferred stock accretion — (70 ) (283 ) Discount on redemption of preferred stock — — 255 Net income to common shareholders $ 8,292 $ 5,644 $ 4,019 Condensed Statements of Cash Flows - Years Ended September 30, 2015 , 2014 and 2013 (dollars in thousands) 2015 2014 2013 Cash flows from operating activities Net income $ 8,292 $ 5,850 $ 4,757 Adjustments to reconcile net income to net cash provided by operating activities: (Equity in undistributed income of Bank) dividends in excess of income of Bank (5,716 ) 7,247 (1,576 ) Earned ESOP shares 264 264 265 MRDP compensation expense — 2 39 Stock option compensation expense 125 104 49 Stock option tax effect less excess tax benefit 1 4 — Other, net 162 (247 ) (39 ) Net cash provided by operating activities 3,128 13,224 3,495 Cash flows from investing activities Investment in Bank (491 ) (459 ) (344 ) Principal repayments on loan receivable from Bank 417 382 353 Net cash provided by (used in) investing activities (74 ) (77 ) 9 Cash flows from financing activities ESOP tax effect 72 64 6 MRDP compensation tax effect — 2 (8 ) Stock option excess tax benefit 1 4 — Proceeds from exercise of stock options 30 23 — Repurchase of preferred stock — (12,065 ) (4,321 ) Repurchase of common stock (709 ) — — Payment of dividends (1,693 ) (1,185 ) (1,368 ) Net cash used in financing activities (2,299 ) (13,157 ) (5,691 ) Net increase (decrease) in cash and cash equivalents 755 (10 ) (2,187 ) Cash and cash equivalents Beginning of period 495 505 2,692 End of period $ 1,250 $ 495 $ 505 |
Net Income Per Common Share
Net Income Per Common Share | 12 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Net Income Per Common Share | Net Income Per Common Share Information regarding the calculation of basic and diluted net income per common share for the years ended September 30, 2015 , 2014 and 2013 is as follows (dollars in thousands, except per share amounts): 2015 2014 2013 Basic net income per common share computation Numerator - net income $ 8,292 $ 5,850 $ 4,757 Preferred stock dividends — (136 ) (710 ) Preferred stock discount accretion — (70 ) (283 ) Discount on redemption of preferred stock — — 255 Net income to common stockholders $ 8,292 $ 5,644 $ 4,019 Denominator - weighted average common shares outstanding 6,897,270 6,856,730 6,817,918 Basic net income per common share $ 1.20 $ 0.82 $ 0.59 Diluted net income per common share computation Numerator - net income $ 8,292 $ 5,850 $ 4,757 Preferred stock dividends — (136 ) (710 ) Preferred stock discount accretion — (70 ) (283 ) Discount on redemption of preferred stock — — 255 Net income to common stockholders $ 8,292 $ 5,644 $ 4,019 Denominator - weighted average common shares outstanding 6,897,270 6,856,730 6,817,918 Effect of dilutive stock options 36,863 36,614 16,555 Effect of dilutive stock warrant 134,955 126,332 52,522 Weighted average common shares outstanding- assuming dilution 7,069,088 7,019,676 6,886,995 Diluted net income per common share $ 1.17 $ 0.80 $ 0.58 For the years ended September 30, 2015 , 2014 and 2013 , average options to purchase 155,152 , 131,489 and 109,953 shares of common stock, respectively, were outstanding but not included in the computation of diluted net income per common share because their effect would have been anti-dilutive. |
Fair Value Measurement
Fair Value Measurement | 12 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements GAAP requires disclosure of estimated fair values for financial instruments. Such estimates are subjective in nature, and significant judgment is required regarding the risk characteristics of various financial instruments at a discrete point in time. Therefore, such estimates could vary significantly if assumptions regarding uncertain factors were to change. In addition, as the Company normally intends to hold the majority of its financial instruments until maturity, it does not expect to realize many of the estimated amounts disclosed. The disclosures also do not include estimated fair value amounts for certain items which are not defined as financial instruments but which may have significant value. The Company does not believe that it would be practicable to estimate a representational fair value for these types of items as of September 30, 2015 and 2014 . Because GAAP excludes certain items from fair value disclosure requirements, any aggregation of the fair value amounts presented would not represent the underlying value of the Company. GAAP defines fair value and establishes a framework for measuring fair value. Fair value is the price that would be received for an asset or paid to transfer a liability in an orderly transaction between market participants on the measurement date. The three levels for categorizing assets and liabilities under GAAP's fair value measurement requirements are as follows: Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 2: Significant observable inputs other than quoted prices included within Level 1, such as quoted prices for similar (as opposed to identical) assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, and inputs other than quoted prices that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect a company’s own assumptions about the assumptions market participants would use in pricing an asset or liability based on the best information available in the circumstances. The Company's assets measured at fair value on a recurring basis consist of investment securities available for sale. The estimated fair value of MBS are based upon market prices of similar securities or observable inputs (Level 2). The estimated fair value of mutual funds are based upon quoted market prices (Level 1). The Company had no liabilities measured at fair value on a recurring basis at September 30, 2015 and 2014. The Company's assets measured at estimated fair value on a recurring basis at September 30, 2015 and 2014 are as follows (dollars in thousands): Estimated Fair Value September 30, 2015 Level 1 Level 2 Level 3 Total Available for sale investment securities MBS: U.S. government agencies $ — $ 421 $ — $ 421 Mutual funds 971 — — 971 Total $ 971 $ 421 $ — $ 1,392 September 30, 2014 Available for sale investment securities MBS: U.S. government agencies $ — $ 1,899 $ — $ 1,899 Mutual funds 958 — — 958 Total $ 958 $ 1,899 $ — $ 2,857 There were no transfers among Level 1, Level 2 and Level 3 during the years ended September 30, 2015 and 2014. The Company may be required, from time to time, to measure certain assets and liabilities at fair value on a non-recurring basis in accordance with GAAP. These include assets that are measured at the lower of cost or market value that were recognized at fair value below cost at the end of the period. The Company uses the following methods and significant assumptions to estimate fair value on a non-recurring basis: Impaired Loans : The estimated fair value of impaired loans is calculated using the collateral value method or on a discounted cash flow basis. The specific reserve for collateral dependent impaired loans was based on the estimated fair value of the collateral less estimated costs to sell, if applicable. In some cases, adjustments were made to the appraised values due to various factors including age of the appraisal, age of comparables included in the appraisal and known changes in the market and in the collateral. Such adjustments may be significant and typically result in a Level 3 classification of the inputs for determining fair value. Impaired loans are evaluated on a quarterly basis for additional impairment and adjusted accordingly. Investment Securities Held to Maturity: The estimated fair value of investment securities held to maturity are based upon the assumptions market participants would use in pricing the investment security. Such assumptions include quoted market prices (Level 1), market prices of similar securities or observable inputs (Level 2) and unobservable inputs such as dealer quotes, discounted cash flows or similar techniques (Level 3). OREO and Other Repossessed Assets, net: The Company’s OREO and other repossessed assets are initially recorded at estimated fair value less estimated costs to sell. This amount becomes the property’s new basis. Estimated fair value was generally determined by management based on a number of factors, including third-party appraisals of estimated fair value in an orderly sale. Estimated costs to sell are based on standard market factors. The valuation of OREO and other repossessed assets is subject to significant external and internal judgment (Level 3). The following table summarizes the balances of assets measured at estimated fair value on a non-recurring basis at September 30, 2015 , and the total losses resulting from these estimated fair value adjustments for the year ended September 30, 2015 (dollars in thousands): Estimated Fair Value Level 1 Level 2 Level 3 Total Losses Impaired loans: Mortgage loans: One-to four-family $ — $ — $ 2,663 $ 220 Multi-family — — 3,261 — Commercial — — 5,388 — Land — — 654 145 Consumer loans: Home equity and second mortgage — — 383 50 Other 12 9 Total impaired loans (1) — — 12,361 424 Investment securities – held to maturity (2): MBS - Private label residential — 31 — 13 OREO and other repossessed assets (3) — — 7,854 644 Total $ — $ 31 $ 20,215 $ 1,081 _______________________ (1) The loss represents charge-offs on collateral dependent loans for estimated fair value adjustments based on the estimated fair value of the collateral net of estimated costs to sell, if applicable. (2) The loss represents OTTI credit-related charges on held to maturity MBS. (3) The loss represents adjustments resulting from management’s periodic reviews of the recorded value to determine whether the property continues to be recorded at the lower of its recorded book value or estimated fair value, net of estimated costs to sell. The following table summarizes the balances of assets measured at estimated fair value on a non-recurring basis at September 30, 2014 and the total losses resulting from these estimated fair value adjustments for the year ended September 30, 2014 (dollars in thousands): Estimated Fair Value Level 1 Level 2 Level 3 Total Losses Impaired loans: Mortgage loans: One-to four-family $ — $ — $ 3,655 $ 1,106 Multi-family — — 3,278 — Commercial — — 5,334 463 Land — — 3,779 260 Consumer loans: Home equity and second mortgage — — 284 47 Total impaired loans (1) — — 16,330 1,876 Investment securities – held to maturity (2): MBS - Private label residential — 40 — 31 OREO and other repossessed assets (3) — — 9,092 605 Total $ — $ 40 $ 25,422 $ 2,512 _______________________ (1) The loss represents charge-offs on collateral dependent loans for estimated fair value adjustments based on the estimated fair value of the collateral, net of estimated cost to sell, if applicable. (2) The loss represents OTTI credit-related charges on held to maturity MBS. (3) The loss represents adjustments resulting from management’s periodic reviews of the recorded value to determine whether the property continues to be recorded at the lower of its recorded book value or estimated fair value, net of estimated costs to sell. The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis as of September 30, 2015 (dollars in thousands): Estimated Fair Value Valuation Technique(s) Unobservable Input(s) Range Impaired loans $ 12,361 Market approach Appraised value less selling costs NA OREO and other repossessed assets 7,854 Market approach Lower of appraised value or listing price less selling costs NA The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis as of September 30, 2014 (dollars in thousands): Estimated Fair Value Valuation Technique(s) Unobservable Input(s) Range Impaired loans $ 16,330 Market approach Appraised value less selling costs NA OREO and other repossessed assets 9,092 Market approach Lower of appraised value or listing price less selling costs NA The following methods and assumptions were used by the Company in estimating fair value of its other financial instruments: Cash and Cash Equivalents: The estimated fair value of financial instruments that are short-term or re-price frequently and that have little or no risk are considered to have an estimated fair value equal to the recorded value. CDs Held for Investment: The estimated fair value of financial instruments that are short-term or re-price frequently and that have little or no risk are considered to have an estimated fair value equal to the recorded value. Investment Securities: See descriptions above. FHLB Stock: No ready market exists for this stock, and it has no quoted market value. However, redemption of this stock has historically been at par value. During the year ended September 30, 2015 , 25,463 shares of FHLB stock were redeemed from the Company at par value. Accordingly, par value is deemed to be a reasonable estimate of fair value. Loans Receivable, Net: The fair value of non-impaired loans is estimated by discounting the future cash flows using the current rates at which similar loans would be made to borrowers for the same remaining maturities. Prepayments are based on the historical experience of the Bank. Fair values for impaired loans are estimated using the methods described above. Loans Held for Sale: The estimated fair value is based on quoted market prices obtained from Freddie Mac. Accrued Interest: The recorded amount of accrued interest approximates the estimated fair value. Deposits : The estimated fair value of deposits with no stated maturity date is deemed to be the amount payable on demand. The estimated fair value of fixed maturity certificates of deposit is computed by discounting future cash flows using the rates currently offered by the Bank for deposits of similar remaining maturities. FHLB Advances: The estimated fair value of FHLB advances is computed by discounting the future cash flows of the borrowings at a rate which approximates the current offering rate of the borrowings with a comparable remaining life. Off-Balance-Sheet Instruments: Since the majority of the Company’s off-balance-sheet instruments consist of variable-rate commitments, the Company has determined that they do not have a distinguishable estimated fair value. The estimated fair values of financial instruments were as follows as of September 30, 2015 (dollars in thousands): Fair Value Measurements Using: Recorded Amount Estimated Fair Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 92,289 $ 92,289 $ 92,289 $ — $ — CDs held for investment 48,611 48,611 48,611 — — Investment securities 9,305 10,286 3,996 6,676 6,290 — FHLB stock 2,699 2,699 2,699 — — Loans receivable, net 604,277 614,734 — — 614,734 Loans held for sale 3,051 3,139 3,139 — — Accrued interest receivable 2,170 2,170 2,170 — — Financial Liabilities Deposits: Non-interest bearing demand 141,388 141,388 141,388 — — Interest-bearing 537,524 538,092 383,419 — 154,673 Total deposits 678,912 679,480 524,807 — 154,673 FHLB advances 45,000 46,742 — 46,742 — Accrued interest payable 289 289 289 — — The estimated fair values of financial instruments were as follows as of September 30, 2014 (dollars in thousands): Fair Value Measurements Using: Recorded Amount Estimated Fair Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 72,354 $ 72,354 $ 72,354 $ — $ — CDs held for investment 35,845 35,845 35,845 — — Invesment securities 8,155 9,131 958 8,173 — FHLB stock 5,246 5,246 5,246 — — Loans receivable, net 564,853 571,411 — — 571,411 Loans held for sale 899 921 921 — — Accrued interest receivable 1,910 1,910 1,910 — — Financial Liabilities Deposits: Non-interest bearing demand 106,417 106,417 106,417 — — Interest-bearing 508,699 509,406 345,412 — 163,994 Total deposits 615,116 615,823 451,829 — 163,994 FHLB advances 45,000 47,279 — 47,279 — Accrued interest payable 298 298 298 — — The Company assumes interest rate risk (the risk that general interest rate levels will change) as a result of its normal operations. As a result, the estimated fair value of the Company’s financial instruments will change when interest rate levels change, and that change may either be favorable or unfavorable to the Company. Management attempts to match maturities of assets and liabilities to the extent believed necessary to appropriately manage interest rate risk. However, borrowers with fixed interest rate obligations are less likely to prepay in a rising interest rate environment and more likely to prepay in a falling interest rate environment. Conversely, depositors who are receiving fixed interest rates are more likely to withdraw funds before maturity in a rising interest rate environment and less likely to do so in a falling interest rate environment. Management monitors interest rates and maturities of assets and liabilities, and attempts to manage interest rate risk by adjusting terms of new loans and deposits and by investing in securities with terms that mitigate the Company’s overall interest rate risk. |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (unaudited) | 12 Months Ended |
Sep. 30, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Selected Quarterly Financial Data (unaudited) | Selected Quarterly Financial Data (Unaudited) The following selected financial data is presented for the quarters ended (dollars in thousands, except per share amounts): September 30, June 30, March 31, December 31, Interest and dividend income $ 8,008 $ 7,947 $ 7,527 $ 7,686 Interest expense (984 ) (963 ) (960 ) (983 ) Net interest income 7,024 6,984 6,567 6,703 Recapture of loan losses (1) (1,525 ) — — — Non-interest income 2,662 2,523 2,214 2,123 Non-interest expense (6,693 ) (6,220 ) (6,654 ) (6,274 ) Income before federal income taxes 4,518 3,287 2,127 2,552 Provision for federal income taxes 1,563 1,128 676 825 Net income $ 2,955 $ 2,159 $ 1,451 $ 1,727 Net income per common share Basic $ 0.43 $ 0.31 $ 0.21 $ 0.25 Diluted (2) $ 0.42 $ 0.31 $ 0.21 $ 0.24 __________________________________________ (1) During the quarter ended September 30, 2015, the Company recorded a $1,525 recapture of loan losses, primarily as a result of significant recoveries on loans which had previously been charged off in prior years and improvements in other credit quality metrics. (2) The net income per common share amounts for the quarters does not add to the total for the fiscal year due to rounding. September 30, June 30, March 31, December 31, Interest and dividend income $ 7,567 $ 7,397 $ 7,412 $ 7,481 Interest expense (978 ) (964 ) (975 ) (1,022 ) Net interest income 6,589 6,433 6,437 6,459 Non-interest income 2,206 2,116 2,013 2,195 Non-interest expense (6,373 ) (6,430 ) (6,754 ) (6,241 ) Income before federal income taxes 2,422 2,119 1,696 2,413 Provision for federal income taxes 776 685 537 802 Net income 1,646 1,434 1,159 1,611 Preferred stock dividends — — — (136 ) Preferred stock discount accretion — — — (70 ) Net income to common shareholders $ 1,646 $ 1,434 $ 1,159 $ 1,405 Net income per common share Basic $ 0.24 $ 0.21 $ 0.17 $ 0.20 Diluted (1) $ 0.23 $ 0.20 $ 0.16 $ 0.20 __________________________________________ (1) The net income per common share amounts for the quarters does not add to the total for the fiscal year due to rounding. |
Summary Of Significant Accoun29
Summary Of Significant Accounting Policies: Basis of Presentation (Policies) | 12 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements include the accounts of Timberland Bancorp, Inc. (“Timberland Bancorp”); its wholly owned subsidiary, Timberland Bank (the “Bank”); and the Bank’s wholly owned subsidiary, Timberland Service Corp. (collectively, the "Company”). All significant intercompany transactions and balances have been eliminated in consolidation. |
Nature of Operations | Nature of Operations Timberland Bancorp is a bank holding company which operates primarily through its subsidiary, the Bank. The Bank was established in 1915 and, through its 22 branches located in Grays Harbor, Pierce, Thurston, Kitsap, King and Lewis counties in Washington State, attracts deposits from the general public, and uses those funds, along with other borrowings, primarily to provide residential real estate, construction, commercial real estate, commercial business and consumer loans to borrowers primarily in western Washington. |
Consolidated Financial Statement Presentation | Consolidated Financial Statement Presentation The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S.") (“GAAP”) and prevailing practices within the banking industry. |
Use of Estimates | The preparation of consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and the disclosure of contingent assets and liabilities, as of the date of the consolidated balance sheets, and the reported amounts of income and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the determination of OTTI in the estimated fair value of investment securities, the valuation of deferred tax assets, the valuation of MSRs, the valuation of OREO and the valuation of goodwill for potential impairment. |
Reclassification Policy | Certain prior year amounts have been reclassified to conform to the 2015 fiscal year presentation with no change to previously reported net income or shareholders’ equity. |
Operating Segment Policy | Segment Reporting The Company has one reportable operating segment which is defined as community banking in western Washington under the operating name “Timberland Bank.” |
U.S. Treasury Department's Capital Purchase Program | Preferred Stock Sold in Troubled Asset Relief Program ("TARP") Capital Purchase Program ("CPP") On December 23, 2008, the Company received $16.64 million from the U.S. Treasury Department ("Treasury") as a part of the Treasury's CPP, which was established as part of the TARP. The Company sold 16,641 shares of Fixed Rate Cumulative Perpetual Preferred Stock, Series A ("Series A Preferred Stock"), with a liquidation value of $1,000 per share and a related warrant to purchase 370,899 shares of the Company's common stock at an exercise price of $6.73 per share (subject to anti-dilution adjustments) at any time through December 23, 2018. The proceeds received in connection with the issuance of the Series A Preferred Stock were allocated between the preferred stock and warrant based on their relative fair values on the date of issuance. As a result, the preferred stock's initial recorded value was at a discount from the liquidation value or stated value. The discount from the liquidation value was accreted to the expected/actual redemption date and charged to retained earnings. This accretion was recorded using the level-yield method. On November 13, 2012, the Company’s outstanding 16,641 shares of Series A Preferred Stock were sold by the Treasury as part of its efforts to manage and recover its investments under the TARP. While the sale of the Series A Preferred Stock to new owners did not result in any proceeds to the Company and did not change the Company’s capital position or accounting for these securities, it did eliminate restrictions put in place by the Treasury on TARP recipients. On June 12, 2013, the Treasury sold the warrant to purchase up to 370,899 shares of the Company’s common stock to private investors. The sale of the warrant to new owners did not result in any proceeds to the Company and did not change the Company's capital position or accounting for the warrant. During the year ended September 30, 2013, the Company purchased and retired 4,576 shares of its Series A Preferred Stock for $4.32 million ; a $255,000 discount from its liquidation value. The discount from liquidation value on the repurchased shares was recorded as an increase to retained earnings. On December 20, 2013, the Company redeemed the remaining 12,065 shares of its Series A Preferred Stock at the liquidation value of $12.07 million . The Series A Preferred Stock paid a 5.0% dividend through December 20, 2013, the date of its redemption. Cash and Cash Equivalents and Cash Flows The Company considers amounts included in the consolidated balance sheets’ captions “Cash and due from financial institutions” and “Interest-bearing deposits in banks,” all of which mature within ninety days, to be cash equivalents for purposes of reporting cash flows. Cash flows from loans, deposits, FHLB advances and repurchase agreements are reported net in the accompanying consolidated statements of cash flows. Interest-bearing deposits in banks as of September 30, 2015 and 2014 included deposits with the Federal Reserve Bank of San Francisco ("FRB") of $70,975,000 and $55,445,000 , respectively. The Company also maintains balances in correspondent bank accounts which, at times, may exceed FDIC insurance limits of $250,000 . Management believes that its risk of loss associated with such balances is minimal due to the financial strength of the Federal Reserve Bank of San Francisco ("FRB") and the correspondent banks. |
MBS and Other Investments | Investment Securities Investment securities are classified upon acquisition as either held to maturity or available for sale. Investment securities that the Company has the positive intent and ability to hold to maturity are classified as held to maturity and reflected at amortized cost. Investment securities classified as available for sale are reflected at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income (loss), net of income tax effects. Premiums and discounts are amortized to earnings using the interest method over the contractual lives of the securities. Gains and losses on sales of securities are recognized on the trade date and determined using the specific identification method. In estimating whether there are any OTTI losses, management considers (1) the length of time and the extent to which the fair value has been less than amortized cost, (2) the financial condition and near term prospects of the issuer, (3) the impact of changes in market interest rates and (4) the intent and ability of the Company to retain its investment for a period of time sufficient to allow for any anticipated recovery in fair value. Declines in the fair value of individual investment securities available for sale that are deemed to be other than temporary are reflected in earnings when identified. The fair value of the investment security then becomes the new cost basis. For individual investment securities that are held to maturity which the Company does not intend to sell, and it is not more likely than not that the Company will be required to sell before recovery of its amortized cost basis, the other than temporary decline in the fair value of the investment security related to: (1) credit loss is recognized in earnings and (2) market or other factors is recognized in other comprehensive income (loss). Credit loss is recorded if the present value of expected future cash flows is less than the amortized cost. For individual investment securities which the Company intends to sell or more likely than not will not recover all of its amortized cost, the OTTI is recognized in earnings equal to the entire difference between the investment security’s cost basis and its fair value at the consolidated balance sheet date. For individual investment securities for which credit loss has been recognized in earnings, interest accruals and amortization and accretion of premiums and discounts are suspended when the credit loss is recognized. Interest received after accruals have been suspended is recognized on a cash basis. |
FHLB Stock | FHLB Stock On May 31, 2015, the Federal Home Loan Bank of Seattle merged into the Federal Home Loan Bank of Des Moines ("FHLB"). The Bank, as a member of the FHLB, is required to maintain an investment in capital stock of the FHLB in an amount equal to 0.12% of the Bank's total assets plus 4% of advances from the FHLB. No ready market exists for this stock, and it has no quoted market value. However, redemption of FHLB stock has historically been at par value. The Company's investment in FHLB stock is carried at cost, which approximates fair value. The Company evaluates its FHLB stock for impairment as needed. The Company's determination of whether this investment is impaired is based on its assessment of the ultimate recoverability of cost rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability of cost is influenced by criteria such as (1) the significance of any decline in net assets of the FHLB as compared with the capital stock amount and the length of time any decline has persisted; (2) commitments by the FHLB to make payments required by law or regulation and the level of such payments in relation to the operating performance of the FHLB; (3) the impact of legislative and regulatory changes on institutions and, accordingly, the customer base of the FHLB; and (4) the liquidity position of the FHLB. Based on its evaluation, the Company determined that there was no impairment of FHLB stock at September 30, 2015 and 2014. |
Loans Held For Sale | Loans Held for Sale Mortgage loans originated and intended for sale in the secondary market are stated in the aggregate at the lower of cost or estimated fair value. Net unrealized losses, if any, are recognized through a valuation allowance by charges to income. Gains or losses on sales of loans are recognized at the time of sale. The gain or loss is the difference between the net sales proceeds and the recorded value of the loans, including any remaining unamortized deferred loan origination fees. |
Loans Receivable | Loans Receivable Loans are stated at the amount of unpaid principal, reduced by the undisbursed portion of construction loans in process, deferred loan origination fees and the allowance for loan losses. |
Troubled Debt Restructured Loans | |
Impaired Loans | Impaired Loans A loan is generally considered impaired when it is probable that the Company will be unable to collect all contractual principal and interest payments due in accordance with the original or modified terms of the loan agreement. When a loan is considered collateral dependent, impairment is measured using the estimated fair value of the underlying collateral, less any prior liens, and when applicable, less estimated selling costs. For impaired loans that are not collateral dependent, impairment is measured using the present value of expected future cash flows, discounted at the loan’s original effective interest rate. The categories of non-accrual loans and impaired loans overlap, although they are not identical. |
Allowance for Loan Losses | Allowance for Loan Losses The allowance for loan losses is maintained at a level sufficient to provide for estimated loan losses based on evaluating known and inherent risks in the loan portfolio. The allowance is provided based upon management's comprehensive analysis of the pertinent factors underlying the quality of the loan portfolio. These factors include changes in the amount and composition of the loan portfolio, delinquency levels, actual loan loss experience, current economic conditions, and a detailed analysis of individual loans for which full collectability may not be assured. The detailed analysis includes methods to estimate the fair value of loan collateral and the existence of potential alternative sources of repayment. The allowance consists of specific and general components. The specific component relates to loans that are deemed impaired. For such loans that are classified as impaired, an allowance is established when the discounted cash flows, collateral value less selling costs (if applicable), or observable market price of the impaired loan is lower than the recorded value of that loan. The general component covers non-classified loans and classified loans that are not evaluated individually for impairment and is based on historical loss experience adjusted for qualitative factors. The Company's historical loss experience is determined by evaluating the average net charge-offs over the most recent economic cycle, but not to exceed six years. Qualitative factors are determined by loan type and allow management to adjust reserve levels to reflect the current general economic environment and portfolio performance trends including recent charge-off trends. Allowances are provided based on management’s continuing evaluation of the pertinent factors underlying the quality of the loan portfolio, including changes in the size and composition of the loan portfolio, actual loan loss experience, current economic conditions, collateral values, geographic concentrations, seasoning of the loan portfolio, specific industry conditions, the duration of the current business cycle, and regulatory requirements and expectations. The appropriateness of the allowance for loan losses is estimated based upon these factors and trends identified by management at the time consolidated financial statements are prepared. In accordance with GAAP, a loan is considered impaired when it is probable that a creditor will be unable to collect all amounts (principal and interest) due according to the contractual terms of the loan agreement. Smaller balance homogeneous loans, such as residential mortgage loans and consumer loans, may be collectively evaluated for impairment. When a loan has been identified as being impaired, the amount of the impairment is measured by using discounted cash flows, except when, as an alternative, the current estimated fair value of the collateral, reduced by estimated costs to sell (if applicable), or observable market price is used. The valuation of real estate collateral is subjective in nature and may be adjusted in future periods because of changes in economic conditions. Management considers third-party appraisals, as well as independent fair market value assessments from realtors or persons involved in selling real estate, in determining the estimated fair value of particular properties. In addition, as certain of these third-party appraisals and independent fair market value assessments are only updated periodically, changes in the values of specific properties may have occurred subsequent to the most recent appraisals. Accordingly, the amounts of any such potential changes and any related adjustments are generally recorded at the time such information is received. When the measurement of the impaired loan is less than the recorded investment in the loan (including accrued interest and net deferred loan origination fees or costs), impairment is recognized by creating or adjusting an allocation of the allowance for loan losses and uncollected accrued interest is reversed against interest income. If ultimate collection of principal is in doubt, all cash receipts on impaired loans are applied to reduce the principal balance. A provision for (recapture of) loan losses is charged (credited) to operations and is added to (deducted from) the allowance for loan losses based on a quarterly comprehensive analysis of the loan portfolio. The allowance for loan losses is allocated to certain loan categories based on the relative risk characteristics, asset classifications and actual loss experience of the loan portfolio. While management has allocated the allowance for loan losses to various loan portfolio segments, the allowance is general in nature and is available for the loan portfolio in its entirety. The ultimate recovery of all loans is susceptible to future market factors beyond the Company’s control. These factors may result in losses or recoveries differing significantly from those provided in the consolidated financial statements. The Company has experienced a significant decline in valuations for some real estate collateral since October 2008. If real estate values decline further and as updated appraisals are received on collateral for impaired loans, the Company may need to increase the allowance for loan losses appropriately. In addition, regulatory agencies, as an integral part of their examination process, periodically review the Company’s allowance for loan losses, and may require the Company to make additions to the allowance based on their judgment about information available to them at the time of their examinations. |
Interest on Loans and Loan Fees | Interest on Loans and Loan Fees Interest on loans is accrued daily based on the principal amount outstanding. Generally, the accrual of interest on loans is discontinued when, in management’s opinion, the borrower may be unable to make payments as they become due or when they are past due 90 days as to either principal or interest (based on contractual terms), unless the loan is well secured and in the process of collection. In determining whether a borrower may be able to make payments as they become due, management considers circumstances such as the financial strength of the borrower, the estimated collateral value, reasons for the delays in payments, payment record, the amounts past due and the number of days past due. All interest accrued but not collected for loans that are placed on non-accrual status or charged off is reversed against interest income. Subsequent collections on a cash basis are applied proportionately to past due principal and interest, unless collectability of principal is in doubt, in which case all payments are applied to principal. Loans are returned to accrual status when the loan is deemed current, and the collectability of principal and interest is no longer doubtful, or, in the case of one- to four-family loans, when the loan is less than 90 days delinquent. The Company charges fees for originating loans. These fees, net of certain loan origination costs, are deferred and amortized to income, on the level-yield basis, over the loan term. If the loan is repaid prior to maturity, the remaining unamortized deferred loan origination fee is recognized in income at the time of repayment. |
MSRs | |
BOLI | BOLI BOLI policies are recorded at their cash surrender value less applicable cash surrender charges. Income from BOLI is recognized when earned. |
Goodwill | Goodwill Goodwill is initially recorded when the purchase price paid for an acquisition exceeds the estimated fair value of the net identified tangible and intangible assets acquired. Goodwill is presumed to have an indefinite useful life and is analyzed annually for impairment. The Company performs an annual review during the third quarter of each fiscal year, or more frequently if indicators of potential impairment exist, to determine if the recorded goodwill is impaired. The goodwill impairment test involves a two-step process. Step one estimates the fair value of the reporting unit. If the estimated fair value of the Company's sole reporting unit, the Bank, under step one exceeds the recorded value of the reporting unit, goodwill is not considered impaired, and no further analysis is necessary. If the estimated fair value of the Company's sole reporting unit is less than the recorded value, then a step two test, which calculates the fair value of assets and liabilities to calculate an implied value of goodwill, is performed. The Company performed its fiscal year 2015 goodwill impairment test during the quarter ended June 30, 2015 with the assistance of an independent third-party firm specializing in goodwill impairment valuations for financial institutions. The third-party analysis was conducted as of May 31, 2015 and the step one test concluded that the reporting unit's fair value was more than its recorded value, and, therefore, step two of the analysis was not necessary. Accordingly, the recorded value of goodwill as of May 31, 2015 was not impaired. Step one of the goodwill impairment test estimated the fair value of the reporting unit utilizing a discounted cash flow income approach analysis, a public company market approach analysis, a merger and acquisition market approach analysis and a trading price market approach analysis in order to derive an enterprise value for the Company. The discounted cash flow income approach analysis uses a reporting unit's projection of estimated operating results and cash flows and discounts them using a rate that reflects current market conditions. The projection uses management's estimates of economic and market conditions over the projected period including growth rates in loans and deposits, estimates of future expected changes in net interest margins and cash expenditures. Key assumptions used by the Company in its discounted cash flow model (income approach) included an annual loan growth rate that ranged from 3.00% to 3.60% , an annual deposit growth rate that ranged from 2.20% to 3.20% and a return on assets that ranged from 0.80% to 1.00% . In addition to the above projections of estimated operating results, key assumptions used to determine the fair value estimate under the approach were the discount rate of 12.2% and the residual capitalization rate of 9.2% . The discount rate used was the cost of equity capital. The cost of equity capital was based on the capital asset pricing model ("CAPM"), modified to account for a small stock premium. The small stock premium represents the additional return required by investors for small stocks based on the 2015 Valuation Handbook - Guide to Cost of Capital. Beyond the approximate five-year forecast period, residual free cash flows were estimated to increase at a constant rate into perpetuity. These cash flows were converted to a residual value using an appropriate residual capitalization rate. The residual capitalization rate was equal to the discount rate minus the expected long-term growth rate of cash flows. Based on historical results, the economic climate, the outlook for the industry and management's expectations, a long-term growth rate of 3.0% was estimated. The public company market approach analysis estimates the fair value by applying cash flow multiples to the reporting unit's operating performance. The multiples are derived from comparable publicly traded companies with operating and investment characteristics similar to those of the Company. Key assumptions used by the Company included the selection of comparable public companies and performance ratios. In applying the public company analysis, the Company selected nine publicly traded institutions based on similar lines of business, markets, growth prospects, risks and firm size. The performance ratios included price to earnings (last twelve months), price to earnings (current year to date), price to book value, price to tangible book value and price to deposits. The merger and acquisition market approach analysis estimates the fair value by using merger and acquisition transactions involving companies that are similar in nature to the Company. Key assumptions used by the Company included the selection of comparable merger and acquisition transactions and valuation ratios to be used. The analysis used banks located in Washington or Oregon that were acquired after January 1, 2013. The valuation ratios from these transactions for price to earnings and price to tangible book value were then used to derive an estimated fair value of the Company. The trading price market approach analysis used the closing market price at May 29, 2015 of the Company's common stock, traded on the NASDAQ Global Market to determine the market value of total equity capital. A key assumption used by the Company in the public company market approach analysis and the trading price market approach analysis was the application of a control premium. The Company's common stock is thinly traded, and therefore management believes the trading price reflects a discount for illiquidity. In addition, the trading price of the Company's common stock reflects a minority interest value. To determine the fair market value of a majority interest in the Company's stock, premiums were calculated and applied to the indicated values. Therefore, a control premium was applied to the results of the discounted cash flow income approach analysis, the public company market approach analysis and the trading price market approach analysis because the initial value conclusion was based on minority interest transactions. Merger and acquisition studies were analyzed to conclude that the difference between the acquisition price and a company's stock price prior to acquisition indicates, in part, the price effect of a controlling interest. Based on the evaluation of merger and acquisition studies, a control premium of 25% was used. A significant amount of judgment is involved in determining if an indicator of goodwill impairment has occurred. Such indicators may include, among others: a significant decline in the expected future cash flows; a sustained significant decline in the Company's stock price and market capitalization; a significant adverse change in legal factors or in the business climate; adverse assessment or action by a regulator; and unanticipated competition. Key assumptions used in the annual goodwill impairment test are highly judgmental and include: selection of comparable companies, amount of control premium, projected cash flows and discount rate applied to projected cash flows. Any change in these indicators or key assumptions could have a significant negative impact on the Company's financial condition, impact the goodwill impairment analysis or cause the Company to perform a goodwill impairment analysis more frequently than once per year. |
CDI | CDI During the year ended September 30, 2005, the Company had recorded CDI of $2,201,000 in connection with the acquisition of certain branches and related deposits. The net remaining unamortized balance of the CDI was $3,000 at September 30, 2014, and was fully amortized during the year ended September 30, 2015. The CDI was amortized to non-interest expense using an accelerated method over a ten -year period. |
Premises and Equipment | |
Impairment of Long-Lived Assets | |
OREO and Other Repossessed Assets | |
Transfers of Financial Assets | Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. |
Income Taxes | Income Taxes The Company files a consolidated federal income tax return. The Bank provides for income taxes separately and remits to (receives from) Timberland Bancorp amounts currently due (receivable). Deferred federal income taxes result from temporary differences between the tax basis of assets and liabilities, and their reported amounts in the consolidated financial statements. These temporary differences will result in differences between income for tax purposes and income for financial reporting purposes in future years. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. Valuation allowances are established to reduce the net recorded amount of deferred tax assets if it is determined to be more likely than not that all or some portion of the potential deferred tax asset will not be realized. With respect to accounting for uncertainty in incomes taxes, a tax provision is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely to be realized upon examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. The Company recognizes interest and/or penalties related to income tax matters as income tax expense. The Company is no longer subject to U.S. federal income tax examination by tax authorities for years ended on or before September 30, 2011. |
ESOP | ESOP The Bank sponsors a leveraged ESOP that is accounted for in accordance with GAAP. Accordingly, the debt of the ESOP is recorded as other borrowed funds of the Bank, and the shares pledged as collateral are reported as unearned shares issued to the ESOP in the consolidated financial statements. The debt of the ESOP is payable to Timberland Bancorp and is therefore eliminated in the consolidated financial statements. As shares are released from collateral, compensation expense is recorded equal to the average market price of the shares for the period, and the shares become available for net income per common share calculations. Dividends paid on unallocated shares reduce the Company’s cash contributions to the ESOP. |
Cash and Cash Equivalents and Cash Flows | |
Advertising | Advertising Costs for advertising and marketing are expensed as incurred. |
Stock-based Compensation | Stock-Based Compensation The Company measures compensation cost for all stock-based awards based on the grant-date fair value of the stock-based awards and recognizes compensation cost over the service period of stock-based awards. The fair value of stock options is determined using the Black-Scholes valuation model. The fair value of stock grants under the MRDP was equal to the fair value of the shares at the grant date. |
Net Income (Loss) Per Common Share | Net Income Per Common Share Basic net income per common share is computed by dividing net income to common shareholders by the weighted average number of common shares outstanding during the period, without considering any dilutive items. Diluted net income per common share is computed by dividing net income to common shareholders by the weighted average number of common shares and common stock equivalents for items that are dilutive, net of shares assumed to be repurchased using the treasury stock method at the average share price for Timberland Bancorp's common stock during the period. The 5% dividend and related accretion for the amount of the Company's Series A Preferred Stock outstanding for the respective year was deducted from net income, and the discount on the redemption of Series A Preferred Stock was added to net income in computing net income to common shareholders. Common stock equivalents arise from the assumed conversion of outstanding stock options and the outstanding warrant to purchase common stock. Shares owned by the Bank’s ESOP that have not been allocated are not considered to be outstanding for the purpose of computing net income per common share. |
Related Party Transactions | Related Party Transactions The Chairman of the Board of the Bank and Timberland Bancorp is a member of the law firm that provides general counsel to the Company. Legal and other fees paid to this law firm for the years ended September 30, 2015, 2014 and 2013 totaled $164,000 , $179,000 and $166,000 , respectively. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers (Topic 606) , with an effective date for annual reporting periods beginning after December 15, 2016. The core principle of this ASU is that an entity recognizes revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In general, the new guidance requires companies to use more judgment and make more estimates than under current guidance, including identifying performance obligations in the contract and estimating the amount of variable consideration to include in the transaction price related to each separate performance obligation. In August 2015, the FASB issued ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606) , which deferred the effective date of ASU No. 2014-09 to annual periods beginning after December 15, 2017, including interim periods within that reporting period. The adoption of ASU No. 2014-09 is not expected to have a material impact on the Company's consolidated financial statements. In August 2014, the FASB issued ASU No. 2014-14, Receivables - Troubled Debt Restructurings by Creditors (Subtopic 310-40): Classification of Certain Government-Guaranteed Mortgage Loans upon Foreclosure . The ASU addresses the classification of foreclosed loans that are either fully or partially guaranteed under government programs. ASU No. 2014-14 clarifies that upon foreclosure of fully or partially guaranteed loans which are guaranteed under government programs and meet certain conditions, the creditor will be required to reclassify the previously existing mortgage loan to a separate other receivable from the guarantor, measured at the amount of the loan balance (principal and interest) that it expects to collect from the guarantor. ASU No. 2014-14 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2014 for public organizations. The adoption of ASU No. 2014-14 is not expected to have a material impact on the Company's consolidated financial statements. In January 2015, the FASB issued ASU No. 2015-01, Income Statement - Extraordinary and Unusual Items (Subtopic 225-20) . The ASU eliminates the need to separately classify, present and disclose extraordinary events. The disclosure of events or transactions that are unusual or infrequent in nature will be included in other guidance. The amendments in this ASU are effective for annual periods, and interim periods within those annual periods, beginning after December 15, 2015. The adoption of ASU No. 2015-01 is not expected to have a material impact on the Company's consolidated financial statements. In February 2015, the FASB issued ASU No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis . The ASU is intended to improve targeted areas of consolidation guidance for legal entities such as limited partnerships, limited liability corporations, and securitization structures (collateralized debt obligations, collateralized loan obligations, and mortgage-backed security transactions). The ASU focuses on the consolidation evaluation for reporting organizations that are required to evaluate whether they should consolidate certain legal entities. In addition to reducing the number of consolidation models from four to two, the new standard simplifies the FASB Accounting Standards Codification ("Codification") and improves current GAAP by placing more emphasis on risk of loss when determining a controlling financial interest. ASU No. 2015-02 will be effective for periods beginning after December 15, 2015 for public companies. Early adoption is permitted, including adoption in an interim period. The adoption of ASU No. 2015-02 is not expected to have a material impact on the Company's consolidated financial statements. In June 2015, the FASB issued ASU No. 2015-10, Technical Corrections and Improvements . On November 10, 2010, the FASB added a standing project that will facilitate the Codification updates for technical corrections, clarifications and improvements. These amendments are referred to as Technical Corrections and Improvements. Maintenance updates include non-substantive corrections to the Codification, such as editorial corrections, various link-related changes and changes to source fragment information. This update contains amendments that will affect a wide variety of Topics in the Codification. The amendments in this ASU will apply to all reporting entities within the scope of the affected accounting guidance and generally fall into one of four categories: amendments related to differences between original guidance and the Codification, guidance clarification and reference corrections, simplification and minor improvements. In summary, the amendments in this ASU represent changes to clarify the Codification, correct unintended application of guidance or make minor improvements to the Codification that are not expected to have a significant effect on current accounting practice. Transaction guidance varies based on the amendments in this ASU. The amendments in this ASU that require transition guidance are effective for fiscal years, and interim reporting periods within these fiscal years, beginning after December 15, 2015. Early adoption is permitted, including adoption in an interim period. All other amendments were effective upon the issuance of this ASU. The adoption of ASU 2015-10 is not expected to have a material impact on the Company's consolidated financial statements. In September 2015, the FASB issued ASU No. 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments. This ASU requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The amendments in this ASU require that the acquirer record, in the same period's financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. The amendments in this ASU require an entity to present separately on the face of the income statement or disclose in the notes the portion of the amount recorded in the current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the provisional amounts had been recognized as of the acquisition date. ASU No. 2015-16 is effective for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. The adoption of ASU No. 2015-16 is not expected to have a material impact on the Company's consolidated financial statements. |
MBS And Other Investments (Tabl
MBS And Other Investments (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Investments [Abstract] | |
Marketable Securities | were as follows as of September 30, 2015 and 2014 (dollars in thousands): Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value September 30, 2015 Held to Maturity Mortgage-backed securities ("MBS"): U.S. government agencies $ 828 $ 23 $ (1 ) $ 850 Private label residential 1,081 894 (12 ) 1,963 U.S. Treasury and U.S. government agency securities 6,004 77 — 6,081 Total $ 7,913 $ 994 $ (13 ) $ 8,894 Available for Sale MBS: U.S. government agencies $ 387 $ 34 $ — $ 421 Mutual funds 1,000 — (29 ) 971 Total $ 1,387 $ 34 $ (29 ) $ 1,392 September 30, 2014 Held to Maturity MBS: U.S. government agencies $ 1,002 $ 32 $ (2 ) $ 1,032 Private label residential 1,280 965 (7 ) 2,238 U.S. government agency securities 3,016 1 (13 ) 3,004 Total $ 5,298 $ 998 $ (22 ) $ 6,274 Available for Sale MBS: U.S. government agencies $ 1,801 $ 100 $ (2 ) $ 1,899 Mutual funds 1,000 — (42 ) 958 Total $ 2,801 $ 100 $ (44 ) $ 2,857 |
Unrealized Gain (Loss) on Investments | of September 30, 2015 (dollars in thousands): Less Than 12 Months 12 Months or Longer Total Estimated Fair Value Gross Unrealized Losses Qty Estimated Fair Value Gross Unrealized Losses Qty Estimated Fair Value Gross Unrealized Losses Held to Maturity MBS: U.S. government agencies $ 49 $ — 4 $ 63 $ (1 ) 5 $ 112 $ (1 ) Private label residential 1 — 1 157 (12 ) 11 158 (12 ) Total $ 50 $ — 5 $ 220 $ (13 ) 16 $ 270 $ (13 ) Available for Sale MBS: U.S. government agencies $ 1 $ — 1 $ 48 $ — 2 $ 49 $ — Mutual funds — — — 971 (29 ) 1 971 (29 ) Total $ 1 $ — 1 $ 1,019 $ (29 ) 3 $ 1,020 $ (29 ) Held to maturity and available for sale investment securities with unrealized losses were as follows as of September 30, 2014 (dollars in thousands): Less Than 12 Months 12 Months or Longer Total Estimated Fair Value Gross Unrealized Losses Qty Estimated Fair Value Gross Unrealized Losses Qty Estimated Fair Value Gross Unrealized Losses Held to Maturity MBS: U.S. government agencies $ — $ — — $ 76 $ (2 ) 8 $ 76 $ (2 ) Private label residential 9 — 1 188 (7 ) 11 197 (7 ) U.S. government agency securities 2,989 (13 ) 1 — — — 2,989 (13 ) Total $ 2,998 $ (13 ) 2 $ 264 $ (9 ) 19 $ 3,262 $ (22 ) Available for Sale MBS: U.S. government agencies $ 19 $ — 1 $ 40 $ (2 ) 1 $ 59 $ (2 ) Mutual funds — — — 958 (42 ) 1 958 (42 ) Total $ 19 $ — 1 $ 998 $ (44 ) 2 $ 1,017 $ (44 ) |
Schedule of Significant Inputs Utilized to Measure Estimate of Credit Loss Component on OTTI Securities | The following table presents a summary of the significant inputs utilized to measure management’s estimates of the credit loss component on OTTI securities as of September 30, 2015 , 2014 and 2013 : Range Weighted Minimum Maximum Average September 30, 2015 Constant prepayment rate 6.00 % 15.00 % 11.49 % Collateral default rate 0.16 % 14.65 % 6.08 % Loss severity rate 3.92 % 65.00 % 39.83 % September 30, 2014 Constant prepayment rate 6.00 % 15.00 % 10.59 % Collateral default rate 0.01 % 22.34 % 7.41 % Loss severity rate 0.16 % 75.17 % 45.81 % September 30, 2013 Constant prepayment rate 6.00 % 15.00 % 12.33 % Collateral default rate 0.73 % 22.53 % 7.84 % Loss severity rate 20.48 % 75.02 % 52.69 % |
Schedule of Other than Temporary Impairments | The following table presents the OTTI losses for the years ended September 30, 2015 , 2014 and 2013 (dollars in thousands): 2015 2014 2013 Held To Maturity Available For Sale Held To Maturity Available For Sale Held To Maturity Available For Sale Total (OTTI) recoveries $ — $ — $ (83 ) $ 90 $ (13 ) $ (2 ) Adjustment for portion of OTTI recorded as (transferred from) other comprehensive income (before income taxes)(1) (13 ) — 52 — (32 ) — Net (OTTI) recoveries recognized in earnings (2) $ (13 ) $ — $ (31 ) $ 90 $ (45 ) $ (2 ) ________________________ (1) Represents OTTI related to all other factors. (2) Represents OTTI related to credit losses. |
Other than Temporary Impairment, Credit Losses Recognized in Earnings | The following table presents a roll forward of the credit loss component of held to maturity and available for sale debt securities that have been written down for OTTI with the credit loss component recognized in earnings for the years ended September 30, 2015 , 2014 and 2013 (dollars in thousands): 2015 2014 2013 Balance, beginning of year $ 1,654 $ 2,084 $ 2,703 Additions: Credit losses for which OTTI was not previously recognized — 2 7 Additional increases to the amount related to credit loss for which OTTI was previously recognized 13 33 45 Subtractions: Realized losses previously recorded as credit losses (91 ) (555 ) (671 ) Recovery of prior credit loss — 90 — Balance, end of year $ 1,576 $ 1,654 $ 2,084 |
Schedule of Contractual Maturities of Debt Securities | The contractual maturities of debt securities at September 30, 2015 are as follows (dollars in thousands). Expected maturities may differ from scheduled maturities due to the prepayment of principal or call provisions. Held to Maturity Available for Sale Amortized Cost Estimated Fair Value Amortized Cost Estimated Fair Value Due after one year to five years $ 6,006 $ 6,083 $ 10 $ 10 Due after five years to ten years 22 22 — — Due after ten years 1,885 2,789 377 411 Total $ 7,913 $ 8,894 $ 387 $ 421 |
Loans Receivable And Allowanc31
Loans Receivable And Allowance For Loan Losses (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Schedule of Loans receivable and Loans held for sale | Loans receivable and loans held for sale by portfolio segment consisted of the following at September 30, 2015 and 2014 (dollars in thousands): 2015 2014 Mortgage loans: One- to four-family $ 116,664 $ 97,635 Multi-family 52,322 46,206 Commercial 291,216 294,354 Construction – custom and owner/builder 62,954 59,752 Construction – speculative one- to four-family 6,668 2,577 Construction – commercial 20,728 3,310 Construction – multi-family 20,570 2,840 Land 26,140 29,589 Total mortgage loans 597,262 536,263 Consumer loans: Home equity and second mortgage 34,157 34,921 Other 4,669 4,699 Total consumer loans 38,826 39,620 Commercial business loans 33,763 30,559 Total loans receivable 669,851 606,442 Less: Undisbursed portion of construction loans in process 53,457 29,416 Deferred loan origination fees 2,193 1,746 Allowance for loan losses 9,924 10,427 65,574 41,589 Loans receivable, net 604,277 564,853 Loans held for sale (one- to four-family) 3,051 899 Total loans receivable and loans held for sale, net $ 607,328 $ 565,752 |
Schedule of Activity in Related Party Loans | Activity in related party loans during the years ended September 30, 2015 , 2014 and 2013 was as follows (dollars in thousands): 2015 2014 2013 Balance, beginning of year $ 927 $ 1,095 $ 1,113 New loans or advances 112 40 276 Repayments and reclassifications (409 ) (208 ) (294 ) Balance, end of year $ 630 $ 927 $ 1,095 |
Schedule of Allowance for Loan Losses | The following table sets forth information for the year ended September 30, 2015 regarding activity in the allowance for loan losses by portfolio segment (dollars in thousands): Beginning Allowance Provision for (Recapture of) Charge- offs Recoveries Ending Allowance Mortgage loans: One-to four-family $ 1,650 $ (214 ) $ (220 ) $ 264 $ 1,480 Multi-family 387 2 — 3 392 Commercial 4,836 (775 ) — 4 4,065 Construction – custom and owner/builder 450 1 — — 451 Construction – speculative one- to four-family 52 69 — 2 123 Construction – commercial 78 348 — — 426 Construction – multi-family 25 (867 ) — 1,125 283 Land 1,434 (305 ) (145 ) 37 1,021 Consumer loans: Home equity and second mortgage 879 242 (50 ) 2 1,073 Other 176 16 (9 ) 4 187 Commercial business loans 460 (42 ) — 5 423 Total $ 10,427 $ (1,525 ) $ (424 ) $ 1,446 $ 9,924 The following table sets forth information for the year ended September 30, 2014 regarding activity in the allowance for loan losses by portfolio segment (dollars in thousands): Beginning Allowance Provision for (Recapture of) Charge- offs Recoveries Ending Allowance Mortgage loans: One-to four-family $ 1,449 $ 1,113 $ (1,106 ) $ 194 $ 1,650 Multi-family 749 (362 ) — — 387 Commercial 5,275 20 (463 ) 4 4,836 Construction – custom and owner/builder 262 188 — — 450 Construction – speculative one- to four-family 96 (44 ) — — 52 Construction – commercial 56 22 — — 78 Construction – multi-family — (226 ) — 251 25 Construction – land development — (287 ) — 287 — Land 1,940 (664 ) (260 ) 418 1,434 Consumer loans: Home equity and second mortgage 782 137 (47 ) 7 879 Other 200 (20 ) (6 ) 2 176 Commercial business loans 327 123 (14 ) 24 460 Total $ 11,136 $ — $ (1,896 ) $ 1,187 $ 10,427 |
Summary Analysis of Activity in the Allowance for Loan Losses | The following table sets forth information for the year ended September 30, 2013 regarding activity in the allowance for loan losses by portfolio segment (dollars in thousands): Beginning Allowance Provision for (Recapture of) Charge- offs Recoveries Ending Allowance Mortgage loans: One-to four-family $ 1,558 $ 565 $ (769 ) $ 95 $ 1,449 Multi-family 1,156 (407 ) — — 749 Commercial 4,247 1,640 (667 ) 55 5,275 Construction – custom and owner/builder 386 (124 ) (26 ) 26 262 Construction – speculative one- to four-family 128 (32 ) — — 96 Construction – commercial 429 (373 ) — — 56 Construction – multi-family — 116 (116 ) — — Construction – land development — (129 ) (17 ) 146 — Land 2,392 1,801 (2,307 ) 54 1,940 Consumer loans: Home equity and second mortgage 759 202 (184 ) 5 782 Other 254 (40 ) (14 ) — 200 Commercial business loans 516 (294 ) — 105 327 Total $ 11,825 $ 2,925 $ (4,100 ) $ 486 $ 11,136 |
Schedule of Loans Evaluated Individually for Impairment and Collectively Evaluated for Impairment in the Allowance for Loan Losses | The following table presents information on the loans evaluated individually and collectively for impairment in the allowance for loan losses by portfolio segment at September 30, 2015 (dollars in thousands): Allowance for Loan Losses Recorded Investment in Loans Individually Evaluated for Impairment Collectively Evaluated for Impairment Total Individually Evaluated for Impairment Collectively Evaluated for Impairment Total Mortgage loans: One- to four-family $ 307 $ 1,173 $ 1,480 $ 4,291 $ 115,424 $ 119,715 Multi-family 16 376 392 4,037 48,285 52,322 Commercial 265 3,800 4,065 12,852 278,364 291,216 Construction – custom and owner/ builder — 451 451 — 36,192 36,192 Construction – speculative one- to four-family — 123 123 — 3,781 3,781 Construction – commercial — 426 426 — 12,200 12,200 Construction – multi-family — 283 283 — 5,290 5,290 Land 37 984 1,021 2,305 23,835 26,140 Consumer loans: Home equity and second mortgage 362 711 1,073 910 33,247 34,157 Other 24 163 187 36 4,633 4,669 Commercial business loans — 423 423 — 33,763 33,763 Total $ 1,011 $ 8,913 $ 9,924 $ 24,431 $ 595,014 $ 619,445 The following table presents information on the loans evaluated individually and collectively for impairment in the allowance for loan losses by portfolio segment at September 30, 2014 (dollars in thousands): Allowance for Loan Losses Recorded Investment in Loans Individually Evaluated for Impairment Collectively Evaluated for Impairment Total Individually Evaluated for Impairment Collectively Evaluated for Impairment Total Mortgage loans: One- to four-family $ 709 $ 941 $ 1,650 $ 7,011 $ 91,523 $ 98,534 Multi-family 39 348 387 3,317 42,889 46,206 Commercial 797 4,039 4,836 17,188 277,166 294,354 Construction – custom and owner/ builder — 450 450 — 34,553 34,553 Construction – speculative one- to four-family — 52 52 — 1,204 1,204 Construction – commercial — 78 78 — 2,887 2,887 Construction – multi-family — 25 25 — 419 419 Land 300 1,134 1,434 5,158 24,431 29,589 Consumer loans: Home equity and second mortgage 162 717 879 797 34,124 34,921 Other — 176 176 3 4,696 4,699 Commercial business loans — 460 460 — 30,559 30,559 Total $ 2,007 $ 8,420 $ 10,427 $ 33,474 $ 544,451 $ 577,925 |
Past Due Status of Loans Receivable | The following table presents an age analysis of past due status of loans by portfolio segment at September 30, 2015 (dollars in thousands): 30–59 Days Past Due 60-89 Days Past Due Non- Accrual(1) Past Due 90 Days or More and Still Accruing Total Past Due Current Total Loans Mortgage loans: One- to four-family $ — $ 425 $ 2,368 $ — $ 2,793 $ 116,922 $ 119,715 Multi-family — — 760 — 760 51,562 52,322 Commercial — — 1,016 — 1,016 290,200 291,216 Construction – custom and owner/ builder — 345 — — 345 35,847 36,192 Construction – speculative one- to four-family — — — — — 3,781 3,781 Construction – commercial — — — — — 12,200 12,200 Construction – multi-family — — — — — 5,290 5,290 Land 15 32 1,558 — 1,605 24,535 26,140 Consumer loans: Home equity and second mortgage 146 14 303 151 614 33,543 34,157 Other — — 35 — 35 4,634 4,669 Commercial business loans — — — — — 33,763 33,763 Total $ 161 $ 816 $ 6,040 $ 151 $ 7,168 $ 612,277 $ 619,445 __________________ (1) Includes non-accrual loans past due 90 days or more and other loans classified as non-accrual. The following table presents an age analysis of past due status of loans by portfolio segment at September 30, 2014 (dollars in thousands): 30–59 Days Past Due 60-89 Days Past Due Non- Accrual(1) Past Due 90 Days or More and Still Accruing Total Past Due Current Total Loans Mortgage loans: One- to four-family $ — $ 577 $ 4,376 $ — $ 4,953 $ 93,581 $ 98,534 Multi-family — — — — — 46,206 46,206 Commercial — 695 1,468 812 2,975 291,379 294,354 Construction – custom and owner/ builder — 156 — — 156 34,397 34,553 Construction – speculative one- to four-family — — — — — 1,204 1,204 Construction – commercial — — — — — 2,887 2,887 Construction – multi-family — — — — — 419 419 Land 357 27 4,564 — 4,948 24,641 29,589 Consumer loans: Home equity and second mortgage 62 44 498 — 604 34,317 34,921 Other 42 — 3 — 45 4,654 4,699 Commercial business loans 21 — — — 21 30,538 30,559 Total $ 482 $ 1,499 $ 10,909 $ 812 $ 13,702 $ 564,223 $ 577,925 ___________________ (1) Includes non-accrual loans past due 90 days or more and other loans classified as non-accrual. |
Financing Receivable Credit Quality Indicators | The following table lists the loan credit risk grades utilized by the Company as credit quality indicators, by portfolio segment, at September 30, 2015 (dollars in thousands). Loan Grades Pass Watch Special Mention Substandard Total Mortgage loans: One- to four-family $ 114,402 $ 653 $ 1,339 $ 3,321 $ 119,715 Multi-family 45,249 — 6,313 760 52,322 Commercial 270,685 8,040 6,803 5,688 291,216 Construction – custom and owner / builder 36,192 — — — 36,192 Construction – speculative one- to four-family 3,781 — — — 3,781 Construction – commercial 12,200 — — — 12,200 Construction – multi-family 5,290 — — — 5,290 Land 20,964 1,105 2,078 1,993 26,140 Consumer loans: Home equity and second mortgage 32,172 664 404 917 34,157 Other 4,631 — — 38 4,669 Commercial business loans 33,635 49 79 — 33,763 Total $ 579,201 $ 10,511 $ 17,016 $ 12,717 $ 619,445 The following table lists the loan credit risk grades utilized by the Company as credit quality indicators, by portfolio segment, at September 30, 2014 (dollars in thousands): Loan Grades Pass Watch Special Mention Substandard Total Mortgage loans: One- to four-family $ 90,340 $ 1,749 $ 1,045 $ 5,400 $ 98,534 Multi-family 37,336 1,697 6,410 763 46,206 Commercial 266,467 5,819 15,946 6,122 294,354 Construction – custom and owner / builder 34,553 — — — 34,553 Construction – speculative one- to four-family 1,204 — — — 1,204 Construction – commercial 2,887 — — — 2,887 Construction – multi-family 419 — — — 419 Land 21,084 114 3,586 4,805 29,589 Consumer loans: Home equity and second mortgage 33,207 724 27 963 34,921 Other 4,657 39 — 3 4,699 Commercial business loans 30,355 112 92 — 30,559 Total $ 522,509 $ 10,254 $ 27,106 $ 18,056 $ 577,925 |
Impaired Financing Receivables | The following table is a summary of information related to impaired loans by portfolio segment as of and for the year ended September 30, 2015 (dollars in thousands): September 30, 2015 For the Year Ended Recorded Investment Unpaid Principal Balance (Loan Balance Plus Charge Off) Related Allowance Average Recorded Investment Interest Income Recognized Cash Basis Interest Income Recognized With no related allowance recorded: Mortgage loans: One- to four-family $ 1,321 $ 1,546 $ — $ 1,919 $ 25 $ 25 Multi-family 760 791 — 570 3 3 Commercial 7,199 8,259 — 9,078 521 412 Construction – custom and owner / builder — — — 118 — — Land 1,614 2,150 — 1,028 25 20 Consumer loans: Home equity and second mortgage 165 381 — 270 — — Commercial business loans — 6 — — — — Subtotal 11,059 13,133 — 12,983 574 460 With an allowance recorded: Mortgage loans: One- to four-family 2,970 2,970 307 3,833 149 112 Multi-family 3,277 3,277 16 3,291 184 137 Commercial 5,653 5,653 265 3,475 202 152 Construction – custom and owner / builder — — — 17 — — Land 691 691 37 3,298 32 27 Consumer loans: Home equity and second mortgage 745 745 362 516 18 15 Other 36 36 24 28 — — Subtotal 13,372 13,372 1,011 14,458 585 443 Total: Mortgage loans: One- to four-family 4,291 4,516 307 5,752 174 137 Multi-family 4,037 4,068 16 3,861 187 140 Commercial 12,852 13,912 265 12,553 723 564 Construction – custom and owner / builder — — — 135 — — Land 2,305 2,841 37 4,326 57 47 Consumer loans: Home equity and second mortgage 910 1,126 362 786 18 15 Other 36 36 24 28 — — Commercial business loans — 6 — — — — Total $ 24,431 $ 26,505 $ 1,011 $ 27,441 $ 1,159 $ 903 The following table is a summary of information related to impaired loans by portfolio segment as of and for the year ended September 30, 2014 (dollars in thousands): September 30, 2014 For the Year Ended September 30, 2014 Recorded Investment Unpaid Principal Balance (Loan Balance Plus Charge Off) Related Allowance Average Recorded Investment Interest Income Recognized Cash Basis Interest Income Recognized With no related allowance recorded: Mortgage loans: One- to four-family $ 2,647 $ 3,301 $ — $ 3,763 $ — $ — Multi-family — 857 — — — — Commercial 11,057 14,184 — 7,859 414 325 Construction – multi-family — — — 57 — — Construction – land development — — — 141 — — Land 1,079 1,674 — 1,044 12 10 Consumer loans: Home equity and second mortgage 351 574 — 276 — — Other 3 3 — 7 — — Commercial business loans — 10 — 22 — — Subtotal 15,137 20,603 — 13,169 426 335 With an allowance recorded: Mortgage loans: One- to four-family 4,364 4,364 709 4,140 146 110 Multi-family 3,317 3,317 39 4,157 220 165 Commercial 6,131 6,131 797 10,083 541 423 Construction – speculative one- to four-family — — — 275 11 7 Land 4,079 4,079 300 3,780 18 16 Consumer loans: Home equity and second mortgage 446 446 162 404 16 12 Subtotal 18,337 18,337 2,007 22,839 952 733 Total: Mortgage loans: One- to four-family 7,011 7,665 709 7,903 146 110 Multi-family 3,317 4,174 39 4,157 220 165 Commercial 17,188 20,315 797 17,942 955 748 Construction – speculative one- to four-family — — — 275 11 7 Construction – multi-family — — — 57 — — Construction – land development — — — 141 — — Land 5,158 5,753 300 4,824 30 26 Consumer loans: Home equity and second mortgage 797 1,020 162 680 16 12 Other 3 3 — 7 — — Commercial business loans — 10 — 22 — — Total $ 33,474 $ 38,940 $ 2,007 $ 36,008 $ 1,378 $ 1,068 The following table is a summary of information related to impaired loans by portfolio segment as of and for the year ended September 30, 2013 (dollars in thousands): September 30, 2013 For the Year Ended September 30, 2013 Recorded Investment Unpaid Principal Balance (Loan Balance Plus Charge Off) Related Allowance Average Recorded Investment Interest Income Recognized Cash Basis Interest Income Recognized With no related allowance recorded: Mortgage loans: One- to four-family $ 5,342 $ 5,775 $ — $ 2,661 $ 18 $ 13 Multi-family — 982 — 473 3 3 Commercial 4,879 8,005 — 8,781 322 267 Construction – custom and owner / builder — — — 97 — — Construction – speculative one- to four-family — — — 65 — — Construction – multi-family 143 608 — 293 — — Construction – land development 515 3,279 — 534 — — Land 1,188 2,133 — 3,519 9 8 Consumer loans: Home equity and second mortgage 380 556 — 266 — — Other 6 6 — 8 — — Commercial business loans — 33 — — — — Subtotal 12,453 21,377 — 16,697 352 291 With an allowance recorded: Mortgage loans: One- to four-family 3,642 3,726 600 4,397 91 68 Multi-family 5,184 5,184 334 5,960 301 230 Commercial 14,631 15,297 1,763 9,052 526 420 Construction – custom and owner / builder — — — 60 — — Construction – speculative one- to four-family 687 687 88 695 29 16 Land 1,203 1,226 234 1,962 27 27 Consumer loans: Home equity and second mortgage 299 299 57 352 16 12 Subtotal 25,646 26,419 3,076 22,478 990 773 Total: Mortgage loans: One- to four-family 8,984 9,501 600 7,058 109 81 Multi-family 5,184 6,166 334 6,433 304 233 Commercial 19,510 23,302 1,763 17,833 848 687 Construction – custom and owner / builder — — — 157 — — Construction – speculative one- to four-family 687 687 88 760 29 16 Construction – multi-family 143 608 — 293 — — Construction – land development 515 3,279 — 534 — — Land 2,391 3,359 234 5,481 36 35 Consumer loans: Home equity and second mortgage 679 855 57 618 16 12 Other 6 6 — 8 — — Commercial business loans — 33 — — — — Total $ 38,099 $ 47,796 $ 3,076 $ 39,175 $ 1,342 $ 1,064 |
Schedule 1 of Troubled debt restructured loans | The following tables set forth information with respect to the Company’s troubled debt restructured loans by interest accrual status as of September 30, 2015 and 2014 (dollars in thousands): 2015 Accruing Non- Accrual Total Mortgage loans: One- to four-family $ 1,929 $ 826 $ 2,755 Multi-family 3,277 — 3,277 Commercial 6,237 — 6,237 Land 747 255 1,002 Consumer loans: Home equity and second mortgage 295 152 447 Total $ 12,485 $ 1,233 $ 13,718 2014 Accruing Non- Accrual Total Mortgage loans: One- to four-family $ 2,634 $ 233 $ 2,867 Multi-family 3,317 — 3,317 Commercial 9,960 1,468 11,428 Land 594 431 1,025 Consumer loans: Home equity and second mortgage 299 152 451 Total $ 16,804 $ 2,284 $ 19,088 |
Schedule 2 of Troubled debt restructured loans | The following tables set forth information with respect to the Company’s loans, by portfolio segment, which were modified in troubled debt restructurings during the years ended September 30, 2015, 2014 and 2013 (dollars in thousands): 2015 Number of Contracts Pre-Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment End of Period Balance One- to four-family (1) 1 $ 48 $ 48 $ 48 Total 1 $ 48 $ 48 $ 48 ___________________________ (1) Modification was a result of a reduction in the stated interest rate. 2014 Number of Contracts Pre-Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment End of Period Balance One-to four-family (1) 1 $ 42 $ 42 $ 42 Land (1) 1 157 157 153 Total 2 $ 199 $ 199 $ 195 _______________________________ (1) Modifications were a result of a reduction in the stated interest rate. 2013 Number of Contracts Pre-Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment End of Period Balance One-to four-family (1) 2 $ 353 $ 353 $ 350 Commercial (2) 2 2,327 2,327 2,318 Total 4 $ 2,680 $ 2,680 $ 2,668 _______________________________ (1) Modifications were a result of a combination of changes (i.e., a reduction in the stated interest rate and an extension of the maturity at an interest rate below current market). (2) Modifications were a result of reductions in the stated interest rates. |
Mortgage Servicing Rights (Tabl
Mortgage Servicing Rights (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Transfers and Servicing [Abstract] | |
Analysis of the changes in MSRs | ollowing is an analysis of the changes in MSRs for the years ended September 30, 2015, 2014 and 2013 (dollars in thousands): 2015 2014 2013 Balance, beginning of year $ 1,684 $ 2,266 $ 2,011 Additions 635 387 728 Amortization (841 ) (969 ) (948 ) Recovery of valuation allowance — — 475 Balance, end of year $ 1,478 $ 1,684 $ 2,266 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Premises and Equipment | Premises and equipment consisted of the following at September 30, 2015 and 2014 (dollars in thousands): 2015 2014 Land $ 3,944 $ 4,085 Buildings and improvements 17,664 17,546 Furniture and equipment 8,071 8,332 Property held for future expansion 110 110 Construction and purchases in progress 96 153 29,885 30,226 Less accumulated depreciation 13,031 12,547 Premises and equipment, net $ 16,854 $ 17,679 |
Minimum net rental commitments under non-cancellable leases | Minimum net rental commitments under non-cancellable leases having an original or remaining term of more than one year for fiscal years ending subsequent to September 30, 2015 are as follows (dollars in thousands): 2016 $ 225 2017 96 2018 96 2019 96 2020 96 Thereafter 24 Total minimum payments required $ 633 |
OREO and Other Repossessed As34
OREO and Other Repossessed Assets (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Other Real Estate, Foreclosed Assets, and Repossessed Assets [Abstract] | |
Schedule of OREO and Other Repossesssed Assets | The following table presents the activity related to OREO and other repossessed assets for the years ended September 30, 2015 and 2014 (dollars in thousands): 2015 2014 Amount Number Number Balance, beginning of year $ 9,092 40 $ 11,720 47 Additions to OREO and other repossessed assets 2,120 12 6,108 29 Capitalized improvements 3 — 47 — Lower of cost or estimated fair value losses (644 ) — (605 ) — Disposition of OREO and other repossessed assets (2,717 ) (17 ) (8,178 ) (36 ) Balance, end of year $ 7,854 35 $ 9,092 40 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Deposits [Abstract] | |
Schedule of Deposits | Deposits consisted of the following at September 30, 2015 and 2014 (dollars in thousands): 2015 2014 Non-interest-bearing demand $ 141,388 $ 106,417 NOW checking 180,628 160,748 Savings 110,315 95,665 Money market 92,476 88,999 Certificates of deposit 154,105 163,287 Total $ 678,912 $ 615,116 |
Scheduled maturities of certificates of deposit for future years | Scheduled maturities of certificates of deposit for future years ending September 30 are as follows (dollars in thousands): 2016 $ 93,882 2017 33,416 2018 9,626 2019 8,003 2020 8,646 Thereafter 532 Total $ 154,105 |
Schedule of Interest Expense on Deposits | Interest expense on deposits by account type was as follows for the years ended September 30, 2015 , 2014 and 2013 (dollars in thousands): 2015 2014 2013 NOW checking $ 450 $ 440 $ 463 Savings 53 46 55 Money market 274 246 246 Certificates of deposit 1,227 1,334 1,804 Total $ 2,004 $ 2,066 $ 2,568 |
Other Liabilities and Accrued36
Other Liabilities and Accrued Expenses: Schedule of Other Liabilities and Accrued Expenses (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Payables and Accruals [Abstract] | |
Schedule of Other Liabilities and Accrued Expenses | Other liabilities and accrued expenses were comprised of the following at September 30, 2015 and 2014 (dollars in thousands): 2015 2014 Accrued deferred compensation and profit sharing plans payable $ 828 $ 657 Accrued interest payable on deposits and advances 289 298 Accounts payable and accrued expenses - other 1,599 1,716 Total other liabilities and accrued expenses $ 2,716 $ 2,671 |
Federal Income Taxes (Tables)
Federal Income Taxes (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The components of the provision for federal income taxes for the years ended September 30, 2015 , 2014 and 2013 were as follows (dollars in thousands): 2015 2014 2013 Current $ 3,996 $ 2,349 $ 1,737 Deferred 196 451 777 Provision $ 4,192 $ 2,800 $ 2,514 |
Schedule of Deferred Tax Assets and Liabilities | The components of the Company’s deferred tax assets and liabilities at September 30, 2015 and 2014 were as follows (dollars in thousands): 2015 2014 Deferred Tax Assets Allowance for loan losses $ 3,483 $ 3,669 Allowance for OREO losses 564 628 Unearned ESOP shares 255 202 CDI 201 249 OTTI credit impairment 176 185 Accrued interest on loans 130 — Net unrealized investment securities losses 114 128 Other 164 180 Total deferred tax assets $ 5,087 $ 5,241 Deferred Tax Liabilities 2015 2014 Goodwill $ 1,417 $ 1,281 MSRs 505 572 Depreciation 464 141 FHLB stock dividends 447 773 Prepaid expenses 125 134 Other 8 9 Total deferred tax liabilities 2,966 2,910 Net deferred tax assets $ 2,121 $ 2,331 |
Schedule of Effective Income Tax Rate Reconciliation | The provision for federal income taxes for the years ended September 30, 2015 , 2014 and 2013 differs from that computed at the statutory corporate tax rate as follows (dollars in thousands): 2015 2014 2013 Expected tax provision at statutory rate $ 4,268 $ 2,941 $ 2,472 BOLI income (184 ) (180 ) (196 ) Change in estimated utilization of net capital loss carry-forward — — 281 Dividends on ESOP (58 ) (41 ) (24 ) Other - net 166 80 (19 ) Provision for federal income taxes $ 4,192 $ 2,800 $ 2,514 During the year ended September 30, 2013, the Company utilized $183,000 of the capital loss carry-forward and wrote-off the remaining portion of the related deferred tax asset and valuation allowance due to the expiration of the capital loss carry-forward period. No valuation allowance for net deferred tax assets was recorded as of September 30, 2015 and 2014, as management believes that it is more likely than not that all of the net deferred tax assets will be realized based on management's expectations of future taxable income and/or because they were supported by recoverable taxes paid in prior years. |
Employee Stock Ownership and 38
Employee Stock Ownership and 401(k) Plan ("KSOP") (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Schedule of Shares Held by the ESOP | Shares held by the ESOP as of September 30, 2015 , 2014 and 2013 were classified as follows: 2015 2014 2013 Unallocated shares 123,436 158,702 193,968 Shares released for allocation 554,745 564,111 592,468 Total ESOP shares 678,181 722,813 786,436 |
Stock Compensation Plans (Table
Stock Compensation Plans (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Share-based Compensation [Abstract] | |
Schedule of Stock Option Activity | tock option activity for the years ended September 30, 2015 , 2014 and 2013 is summarized as follows: Number of Shares Weighted Average Exercise Price Outstanding September 30, 2012 195,626 $ 7.97 Options granted 29,000 6.00 Options forfeited (61,680 ) 9.69 Outstanding September 30, 2013 162,946 6.96 Options granted 135,000 9.29 Options exercised (5,000 ) 4.66 Options forfeited (71,546 ) 9.87 Outstanding September 30, 2014 221,400 7.49 Options granted 128,000 10.62 Options exercised (6,300 ) 4.84 Options forfeited (1,800 ) 4.55 Outstanding September 30, 2015 341,300 $ 8.73 |
Schedule of Fair Value Assumptions | The weighted average assumptions for options granted during the years ended September 30, 2015 , 2014 and 2013 were as follows: 2015 2014 2013 Expected volatility 28 % 39 % 45 % Expected term (in years) 5 5 5 Expected dividend yield 3.31 % 2.51 % — % Risk free interest rate 1.43 % 1.41 % 0.76 % Grant date fair value per share $ 1.88 $ 2.59 $ 2.37 |
Schedule of Stock Option Plans, by Exercise Price Range | Additional information regarding options outstanding at September 30, 2015 is as follows: Options Outstanding Options Exercisable Range of Exercise Prices ($) Number Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Number Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) $ 4.01 - 4.55 31,600 $ 4.23 5.3 24,000 $ 4.30 5.0 5.86 - 6.00 59,700 5.92 7.0 30,200 5.91 7.0 9.00 96,000 9.00 8.1 19,200 9.00 8.1 10.26 - 10.71 154,000 10.57 9.6 5,200 10.34 8.6 341,300 $ 8.73 8.3 78,600 $ 6.47 6.8 |
Summary of MRDP Shares Vested | A summary of restricted stock grant shares vested for the years ended September 30, 2014 and 2013 were as follows: 2014 2013 Shares vested 3,254 6,207 Aggregate vesting date fair value $ 30,000 $ 38,000 |
Summary of MRDP Shares Unvested | |
Schedule of Compensation Expense by Plan | Compensation expense recorded in the consolidated financial statements for all stock-based plans was as follows for the years ended September 30, 2015 , 2014 and 2013 (dollars in thousands): 2015 2014 2013 Stock options $ 127 $ 112 $ 49 Restricted stock grants — 2 39 Less: related tax benefit recognized (2 ) (10 ) (8 ) $ 125 $ 104 $ 80 |
Schedule of Compensation Expense to be Recognized in Future Periods | The compensation expense to be recognized in the future years ending September 30 for stock options that had been awarded as of September 30, 2015 is as follows (in thousands): 2016 $ 151 2017 144 2018 113 2019 55 2020 33 $ 496 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Supply Commitment | A summary of the Company’s commitments at September 30, 2015 and 2014 is as follows (dollars in thousands): 2015 2014 Undisbursed portion of construction loans in process (see Note 4) $ 53,457 $ 29,416 Undisbursed lines of credit 41,494 30,678 Commitments to extend credit 12,196 18,119 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Regulatory Capital Requirements [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | The following tables compare the Bank’s actual capital amounts at September 30, 2015 and 2014 to its minimum regulatory capital requirements and "Well Capitalized" regulatory capital at those dates (dollars in thousands): September 30, 2015 Actual Regulatory Minimum To Be "Adequately Capitalized" To Be "Well Capitalized" Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio Leverage Capital Ratio: Tier 1 capital $ 82,297 10.3 % $ 32,006 4.0 % $ 40,008 5.0 % Risk-based Capital Ratios: Common equity tier 1 capital 82,297 13.4 27,568 4.5 39,821 6.5 Tier 1 capital 82,297 13.4 36,758 6.0 49,010 8.0 Total capital 89,986 14.7 49,010 8.0 61,263 10.0 September 30, 2014 Actual Regulatory Minimum To Be "Adequately Capitalized" To Be "Well Capitalized" Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio Leverage Capital Ratio: Tier 1 capital $ 75,734 10.2 % $ 29,629 4.0 % $ 37,036 5.0 % Risk-based Capital Ratios: Tier 1 capital 75,734 13.2 22,939 4.0 34,409 6.0 Total capital 82,945 14.5 45,878 8.0 57,348 10.0 Timberland Bancorp is a bank holding company registered with the Federal Reserve. Bank holding companies are subject to capital adequacy requirements of the Federal Reserve under the Bank Holding Company Act of 1956, as amended, and the regulations of the Federal Reserve. For a bank holding company with less than $1.0 billion in assets, the capital guidelines apply on a bank only basis, and the Federal Reserve expects the holding company's subsidiary bank to be well capitalized under the prompt corrective action regulations. If Timberland Bancorp were subject to regulatory guidelines for bank holding companies with $1.0 billion or more in assets at September 30, 2015 , Timberland Bancorp would have exceeded all regulatory requirements. The following table presents the regulatory capital ratios for Timberland Bancorp at September 30, 2015 and 2014 (dollars in thousands): Actual September 30, 2015 Amount Ratio Leverage Capital Ratio: Tier 1 capital $ 85,221 10.6 % Risk-based Capital Ratios: Common equity tier 1 capital 85,221 13.9 Tier 1 capital 85,221 13.9 Total capital 92,911 15.2 September 30, 2014 Leverage Capital Ratio: Tier 1 capital $ 78,480 10.6 % Risk-based Capital Ratios: Tier 1 capital 78,480 13.7 Total capital 85,692 14.9 |
Condensed Financial Informati42
Condensed Financial Information - Parent Company Only (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Balance Sheets, Parent Company | Condensed Balance Sheets - September 30, 2015 and 2014 (dollars in thousands) 2015 2014 Assets Cash and cash equivalents: Cash and due from financial institutions $ 439 $ 55 Interest-bearing deposits in banks 811 440 Total cash and cash equivalents 1,250 495 Loan receivable from ESOP 1,766 2,183 Investment in Bank 86,263 80,031 Other assets 13 124 Total assets $ 89,292 $ 82,833 Liabilities and shareholders’ equity Accrued expenses $ 105 $ 55 Shareholders’ equity 89,187 82,778 Total liabilities and shareholders’ equity $ 89,292 $ 82,833 |
Condensed Statements of Operations, Parent Company | 2015 2014 2013 Operating income Interest on deposits in banks $ — $ — $ 1 Interest on loan receivable from ESOP 173 206 237 Dividends from Bank 2,698 13,190 3,300 Total operating income 2,871 13,396 3,538 Operating expenses 445 409 455 Income before income taxes and equity in undistributed income of Bank 2,426 12,987 3,083 Benefit for income taxes (150 ) (110 ) (98 ) Income before undistributed income of Bank 2,576 13,097 3,181 Equity in undistributed income of Bank (dividends in excess of income of Bank) 5,716 (7,247 ) 1,576 Net income 8,292 5,850 4,757 Preferred stock dividends — (136 ) (710 ) Preferred stock accretion — (70 ) (283 ) Discount on redemption of preferred stock — — 255 Net income to common shareholders $ 8,292 $ 5,644 $ 4,019 |
Condensed Statements of Cash Flows, Parent Company | Condensed Statements of Cash Flows - Years Ended September 30, 2015 , 2014 and 2013 (dollars in thousands) 2015 2014 2013 Cash flows from operating activities Net income $ 8,292 $ 5,850 $ 4,757 Adjustments to reconcile net income to net cash provided by operating activities: (Equity in undistributed income of Bank) dividends in excess of income of Bank (5,716 ) 7,247 (1,576 ) Earned ESOP shares 264 264 265 MRDP compensation expense — 2 39 Stock option compensation expense 125 104 49 Stock option tax effect less excess tax benefit 1 4 — Other, net 162 (247 ) (39 ) Net cash provided by operating activities 3,128 13,224 3,495 Cash flows from investing activities Investment in Bank (491 ) (459 ) (344 ) Principal repayments on loan receivable from Bank 417 382 353 Net cash provided by (used in) investing activities (74 ) (77 ) 9 Cash flows from financing activities ESOP tax effect 72 64 6 MRDP compensation tax effect — 2 (8 ) Stock option excess tax benefit 1 4 — Proceeds from exercise of stock options 30 23 — Repurchase of preferred stock — (12,065 ) (4,321 ) Repurchase of common stock (709 ) — — Payment of dividends (1,693 ) (1,185 ) (1,368 ) Net cash used in financing activities (2,299 ) (13,157 ) (5,691 ) Net increase (decrease) in cash and cash equivalents 755 (10 ) (2,187 ) Cash and cash equivalents Beginning of period 495 505 2,692 End of period $ 1,250 $ 495 $ 505 |
Net Income Per Common Share (Ta
Net Income Per Common Share (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share | Information regarding the calculation of basic and diluted net income per common share for the years ended September 30, 2015 , 2014 and 2013 is as follows (dollars in thousands, except per share amounts): 2015 2014 2013 Basic net income per common share computation Numerator - net income $ 8,292 $ 5,850 $ 4,757 Preferred stock dividends — (136 ) (710 ) Preferred stock discount accretion — (70 ) (283 ) Discount on redemption of preferred stock — — 255 Net income to common stockholders $ 8,292 $ 5,644 $ 4,019 Denominator - weighted average common shares outstanding 6,897,270 6,856,730 6,817,918 Basic net income per common share $ 1.20 $ 0.82 $ 0.59 Diluted net income per common share computation Numerator - net income $ 8,292 $ 5,850 $ 4,757 Preferred stock dividends — (136 ) (710 ) Preferred stock discount accretion — (70 ) (283 ) Discount on redemption of preferred stock — — 255 Net income to common stockholders $ 8,292 $ 5,644 $ 4,019 Denominator - weighted average common shares outstanding 6,897,270 6,856,730 6,817,918 Effect of dilutive stock options 36,863 36,614 16,555 Effect of dilutive stock warrant 134,955 126,332 52,522 Weighted average common shares outstanding- assuming dilution 7,069,088 7,019,676 6,886,995 Diluted net income per common share $ 1.17 $ 0.80 $ 0.58 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value, Assets Measured on Recurring Basis | assets measured at estimated fair value on a recurring basis at September 30, 2015 and 2014 are as follows (dollars in thousands): Estimated Fair Value September 30, 2015 Level 1 Level 2 Level 3 Total Available for sale investment securities MBS: U.S. government agencies $ — $ 421 $ — $ 421 Mutual funds 971 — — 971 Total $ 971 $ 421 $ — $ 1,392 September 30, 2014 Available for sale investment securities MBS: U.S. government agencies $ — $ 1,899 $ — $ 1,899 Mutual funds 958 — — 958 Total $ 958 $ 1,899 $ — $ 2,857 |
Balances of Assets Measured at Estimated Fair Value, Nonrecurring Basis | The following table summarizes the balances of assets measured at estimated fair value on a non-recurring basis at September 30, 2015 , and the total losses resulting from these estimated fair value adjustments for the year ended September 30, 2015 (dollars in thousands): Estimated Fair Value Level 1 Level 2 Level 3 Total Losses Impaired loans: Mortgage loans: One-to four-family $ — $ — $ 2,663 $ 220 Multi-family — — 3,261 — Commercial — — 5,388 — Land — — 654 145 Consumer loans: Home equity and second mortgage — — 383 50 Other 12 9 Total impaired loans (1) — — 12,361 424 Investment securities – held to maturity (2): MBS - Private label residential — 31 — 13 OREO and other repossessed assets (3) — — 7,854 644 Total $ — $ 31 $ 20,215 $ 1,081 _______________________ (1) The loss represents charge-offs on collateral dependent loans for estimated fair value adjustments based on the estimated fair value of the collateral net of estimated costs to sell, if applicable. (2) The loss represents OTTI credit-related charges on held to maturity MBS. (3) The loss represents adjustments resulting from management’s periodic reviews of the recorded value to determine whether the property continues to be recorded at the lower of its recorded book value or estimated fair value, net of estimated costs to sell. The following table summarizes the balances of assets measured at estimated fair value on a non-recurring basis at September 30, 2014 and the total losses resulting from these estimated fair value adjustments for the year ended September 30, 2014 (dollars in thousands): Estimated Fair Value Level 1 Level 2 Level 3 Total Losses Impaired loans: Mortgage loans: One-to four-family $ — $ — $ 3,655 $ 1,106 Multi-family — — 3,278 — Commercial — — 5,334 463 Land — — 3,779 260 Consumer loans: Home equity and second mortgage — — 284 47 Total impaired loans (1) — — 16,330 1,876 Investment securities – held to maturity (2): MBS - Private label residential — 40 — 31 OREO and other repossessed assets (3) — — 9,092 605 Total $ — $ 40 $ 25,422 $ 2,512 _______________________ (1) The loss represents charge-offs on collateral dependent loans for estimated fair value adjustments based on the estimated fair value of the collateral, net of estimated cost to sell, if applicable. (2) The loss represents OTTI credit-related charges on held to maturity MBS. (3) The loss represents adjustments resulting from management’s periodic reviews of the recorded value to determine whether the property continues to be recorded at the lower of its recorded book value or estimated fair value, net of estimated costs to sell. |
Level 3 Fair Value Measurements, Nonrecurring Basis | The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis as of September 30, 2015 (dollars in thousands): Estimated Fair Value Valuation Technique(s) Unobservable Input(s) Range Impaired loans $ 12,361 Market approach Appraised value less selling costs NA OREO and other repossessed assets 7,854 Market approach Lower of appraised value or listing price less selling costs NA |
Balances of Assets and Liabilities Measured at Estimated Fair Value, Recurring Basis | he estimated fair values of financial instruments were as follows as of September 30, 2015 (dollars in thousands): Fair Value Measurements Using: Recorded Amount Estimated Fair Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 92,289 $ 92,289 $ 92,289 $ — $ — CDs held for investment 48,611 48,611 48,611 — — Investment securities 9,305 10,286 3,996 6,676 6,290 — FHLB stock 2,699 2,699 2,699 — — Loans receivable, net 604,277 614,734 — — 614,734 Loans held for sale 3,051 3,139 3,139 — — Accrued interest receivable 2,170 2,170 2,170 — — Financial Liabilities Deposits: Non-interest bearing demand 141,388 141,388 141,388 — — Interest-bearing 537,524 538,092 383,419 — 154,673 Total deposits 678,912 679,480 524,807 — 154,673 FHLB advances 45,000 46,742 — 46,742 — Accrued interest payable 289 289 289 — — The estimated fair values of financial instruments were as follows as of September 30, 2014 (dollars in thousands): Fair Value Measurements Using: Recorded Amount Estimated Fair Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 72,354 $ 72,354 $ 72,354 $ — $ — CDs held for investment 35,845 35,845 35,845 — — Invesment securities 8,155 9,131 958 8,173 — FHLB stock 5,246 5,246 5,246 — — Loans receivable, net 564,853 571,411 — — 571,411 Loans held for sale 899 921 921 — — Accrued interest receivable 1,910 1,910 1,910 — — Financial Liabilities Deposits: Non-interest bearing demand 106,417 106,417 106,417 — — Interest-bearing 508,699 509,406 345,412 — 163,994 Total deposits 615,116 615,823 451,829 — 163,994 FHLB advances 45,000 47,279 — 47,279 — Accrued interest payable 298 298 298 — — |
Selected Quarterly Financial 45
Selected Quarterly Financial Data (unaudited): Selected financial data (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Data | The following selected financial data is presented for the quarters ended (dollars in thousands, except per share amounts): September 30, June 30, March 31, December 31, Interest and dividend income $ 8,008 $ 7,947 $ 7,527 $ 7,686 Interest expense (984 ) (963 ) (960 ) (983 ) Net interest income 7,024 6,984 6,567 6,703 Recapture of loan losses (1) (1,525 ) — — — Non-interest income 2,662 2,523 2,214 2,123 Non-interest expense (6,693 ) (6,220 ) (6,654 ) (6,274 ) Income before federal income taxes 4,518 3,287 2,127 2,552 Provision for federal income taxes 1,563 1,128 676 825 Net income $ 2,955 $ 2,159 $ 1,451 $ 1,727 Net income per common share Basic $ 0.43 $ 0.31 $ 0.21 $ 0.25 Diluted (2) $ 0.42 $ 0.31 $ 0.21 $ 0.24 __________________________________________ (1) During the quarter ended September 30, 2015, the Company recorded a $1,525 recapture of loan losses, primarily as a result of significant recoveries on loans which had previously been charged off in prior years and improvements in other credit quality metrics. (2) The net income per common share amounts for the quarters does not add to the total for the fiscal year due to rounding. September 30, June 30, March 31, December 31, Interest and dividend income $ 7,567 $ 7,397 $ 7,412 $ 7,481 Interest expense (978 ) (964 ) (975 ) (1,022 ) Net interest income 6,589 6,433 6,437 6,459 Non-interest income 2,206 2,116 2,013 2,195 Non-interest expense (6,373 ) (6,430 ) (6,754 ) (6,241 ) Income before federal income taxes 2,422 2,119 1,696 2,413 Provision for federal income taxes 776 685 537 802 Net income 1,646 1,434 1,159 1,611 Preferred stock dividends — — — (136 ) Preferred stock discount accretion — — — (70 ) Net income to common shareholders $ 1,646 $ 1,434 $ 1,159 $ 1,405 Net income per common share Basic $ 0.24 $ 0.21 $ 0.17 $ 0.20 Diluted (1) $ 0.23 $ 0.20 $ 0.16 $ 0.20 __________________________________________ (1) The net income per common share amounts for the quarters does not add to the total for the fiscal year due to rounding. |
Summary Of Significant Accoun46
Summary Of Significant Accounting Policies Summary of Significant Accounting Policies: Operations (Details) | 12 Months Ended |
Sep. 30, 2015branch | |
Accounting Policies [Abstract] | |
Number of branches | 22 |
Summary Of Significant Accoun47
Summary Of Significant Accounting Policies Summary of Significant Accounting Policies: TARP and CPP (Details) - USD ($) $ / shares in Units, $ in Thousands | Dec. 20, 2013 | Dec. 23, 2008 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | Jun. 12, 2013 | Nov. 13, 2012 |
Class of Stock [Line Items] | |||||||
Preferred stock per share liquidation value (in dollars per share) | $ 1,000 | $ 1,000 | |||||
Preferred stock outstanding under Capital Purchase program under TARP | 0 | 0 | |||||
Preferred shares repurchased and retired (in shares) | 12,065 | 4,576 | |||||
Fixed Rate Cumulative Perpetual Preferred Stock, Series A | |||||||
Class of Stock [Line Items] | |||||||
Proceeds from preferred stock sold under Capital Purchase Program under TARP | $ 16,640 | ||||||
Preferred stock sold under Capital Purchase program under TARP | 16,641 | ||||||
Preferred stock per share liquidation value (in dollars per share) | $ 1,000 | ||||||
Preferred stock outstanding under Capital Purchase program under TARP | 16,641 | ||||||
Preferred shares repurchased and retired (in shares) | 4,576 | ||||||
Preferred shares repurchased and retired, amount | $ 12,070 | $ 4,320 | |||||
Preferred shares repurchased and retired, discount from par value | $ 255 | ||||||
Fixed Rate Cumulative Perpetual Preferred Stock, Series A | Subsequent Event | |||||||
Class of Stock [Line Items] | |||||||
Preferred shares repurchased and retired (in shares) | 12,065 | ||||||
Fixed Rate Cumulative Perpetual Preferred Stock, Series A | Dividend rate, term 1 | |||||||
Class of Stock [Line Items] | |||||||
Preferred stock, dividend rate (percent) | 5.00% | ||||||
Common Stock | |||||||
Class of Stock [Line Items] | |||||||
Warrant issued to purchase common stock (in shares) | 370,899 | 370,899 | |||||
Exercise price of warrant (in dollars per share) | $ 6.73 |
Summary Of Significant Accoun48
Summary Of Significant Accounting Policies Summary of Significant Accounting Policies: FHLB Stock (Details) - Minimum | 12 Months Ended |
Sep. 30, 2015 | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |
FHLB, investment in capital stock, home loans (percent) | 1.00% |
FHLB, investment in capital stock, advances (percent) | 4.00% |
Summary Of Significant Accoun49
Summary Of Significant Accounting Policies Summary of Significant Accounting Policies: Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | May. 31, 2014 | May. 31, 2013 | |
Goodwill [Line Items] | ||||
Goodwill | $ 5,650 | $ 5,650 | ||
Expected control premium | 25.00% | |||
Discount rate | 12.20% | |||
Terminal value | 125.00% | |||
Estimated useful life, CDI | 10 years |
Summary Of Significant Accoun50
Summary Of Significant Accounting Policies Summary of Significant Accounting Policies: Premises and Equipment (Details) | 12 Months Ended |
Sep. 30, 2015 | |
Buildings and improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 5 years |
Buildings and improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 40 years |
Furniture and equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 3 years |
Furniture and equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 7 years |
Automobiles | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 5 years |
Summary Of Significant Accoun51
Summary Of Significant Accounting Policies Summary of Significant Accounting Policies: Cash (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Restricted Cash and Cash Equivalents Items [Line Items] | |||
Interest-bearing deposits in Federal Reserve Bank | $ 78,275 | $ 60,536 | |
Preferred Stock | |||
Restricted Cash and Cash Equivalents Items [Line Items] | |||
Preferred stock, dividend rate (percent) | 5.00% | 5.00% | 5.00% |
Interest-bearing deposits | |||
Restricted Cash and Cash Equivalents Items [Line Items] | |||
Interest-bearing deposits in Federal Reserve Bank | $ 70,975 | $ 55,445 |
Summary Of Significant Accoun52
Summary Of Significant Accounting Policies Summary of Significant Accounting Policies: Related Party Transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Chairman of the Board | |||
Related Party Transaction [Line Items] | |||
Related party transaction, legal fees | $ 164 | $ 179 | $ 166 |
Restricted Assets (Details)
Restricted Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Federal Reserve Bank | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted assets | $ 1,026 | $ 1,008 |
MBS And Other Investments_ Mark
MBS And Other Investments: Marketable Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Held to Maturity | ||
Amortized Cost | $ 7,913 | $ 5,298 |
Gross Unrealized Gains | 994 | 998 |
Gross Unrealized Losses | (13) | (22) |
Total | 8,894 | 6,274 |
Available for Sale | ||
Amortized Cost | 1,387 | 2,801 |
Gross Unrealized Gains | 34 | 100 |
Gross Unrealized Losses | (29) | (44) |
Estimated Fair Value | 1,392 | 2,857 |
Mortgage-backed Securities, U.S. government agencies | ||
Held to Maturity | ||
Amortized Cost | 828 | 1,002 |
Gross Unrealized Gains | 23 | 32 |
Gross Unrealized Losses | (1) | (2) |
Total | 850 | 1,032 |
Available for Sale | ||
Amortized Cost | 387 | 1,801 |
Gross Unrealized Gains | 34 | 100 |
Gross Unrealized Losses | 0 | (2) |
Estimated Fair Value | 421 | 1,899 |
Mortgage-backed Securities, Private label residential | ||
Held to Maturity | ||
Amortized Cost | 1,081 | 1,280 |
Gross Unrealized Gains | 894 | 965 |
Gross Unrealized Losses | (12) | (7) |
Total | 1,963 | 2,238 |
U.S. agency securities | ||
Held to Maturity | ||
Amortized Cost | 6,004 | 3,016 |
Gross Unrealized Gains | 77 | 1 |
Gross Unrealized Losses | 0 | (13) |
Total | 6,081 | 3,004 |
Mutual funds | ||
Available for Sale | ||
Amortized Cost | 1,000 | 1,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (29) | (42) |
Estimated Fair Value | $ 971 | $ 958 |
MBS And Other Investments_ Unre
MBS And Other Investments: Unrealized Gain (Loss) on Investments (Details) $ in Thousands | 12 Months Ended | |
Sep. 30, 2015USD ($)security | Sep. 30, 2014USD ($)security | |
Held-to-maturity Securities, Fair Value: | ||
Less Than 12 Months | $ (50) | $ (2,998) |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 220 | 264 |
Total | 270 | 3,262 |
Held-to-maturity Securities, Gross Unrealized Losses | ||
Less Than 12 Months | 0 | (13) |
12 Months or Longer | (13) | (9) |
Total | $ (13) | $ (22) |
Held-to-maturity, Qty, Less Than 12 Months | security | 5 | 2 |
Held-to-maturity, Qty, 12 Months or Longer | security | 16 | 19 |
Available-for-sale Securities, Fair Value: | ||
Less Than 12 Months | $ 1 | $ 19 |
Available-for-sale Securities, 12 Months or Longer, Estimated Fair Value | 1,019 | 998 |
Total | 1,020 | 1,017 |
Available-for-sale Securities, Gross Unrealized Losses: | ||
Less Than 12 Months | 0 | 0 |
12 Months or Longer | (29) | (44) |
Total | $ (29) | $ (44) |
Available-for-sale, Qty, Less than 12 Months | security | 1 | 1 |
Available-for-sale, Qty, 12 Months or Longer | security | 3 | 2 |
Mortgage-backed Securities, U.S. government agencies | ||
Held-to-maturity Securities, Fair Value: | ||
Less Than 12 Months | $ (49) | $ 0 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 63 | 76 |
Total | 112 | 76 |
Held-to-maturity Securities, Gross Unrealized Losses | ||
Less Than 12 Months | 0 | 0 |
12 Months or Longer | (1) | (2) |
Total | $ (1) | $ (2) |
Held-to-maturity, Qty, Less Than 12 Months | security | 4 | 0 |
Held-to-maturity, Qty, 12 Months or Longer | security | 5 | 8 |
Available-for-sale Securities, Fair Value: | ||
Less Than 12 Months | $ 1 | $ 19 |
Available-for-sale Securities, 12 Months or Longer, Estimated Fair Value | 48 | 40 |
Total | 49 | 59 |
Available-for-sale Securities, Gross Unrealized Losses: | ||
Less Than 12 Months | 0 | 0 |
12 Months or Longer | 0 | (2) |
Total | $ 0 | $ (2) |
Available-for-sale, Qty, Less than 12 Months | security | 1 | 1 |
Available-for-sale, Qty, 12 Months or Longer | security | 2 | 1 |
Mortgage-backed Securities, Private label residential | ||
Held-to-maturity Securities, Fair Value: | ||
Less Than 12 Months | $ (1) | $ (9) |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 157 | 188 |
Total | 158 | 197 |
Held-to-maturity Securities, Gross Unrealized Losses | ||
Less Than 12 Months | 0 | 0 |
12 Months or Longer | (12) | (7) |
Total | $ (12) | $ (7) |
Held-to-maturity, Qty, Less Than 12 Months | security | 1 | 1 |
Held-to-maturity, Qty, 12 Months or Longer | security | 11 | 11 |
US Government Agencies Debt Securities [Member] | ||
Held-to-maturity Securities, Fair Value: | ||
Less Than 12 Months | $ (2,989) | |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | |
Total | 2,989 | |
Held-to-maturity Securities, Gross Unrealized Losses | ||
Less Than 12 Months | (13) | |
12 Months or Longer | 0 | |
Total | $ (13) | |
Held-to-maturity, Qty, Less Than 12 Months | security | 1 | |
Held-to-maturity, Qty, 12 Months or Longer | security | 0 | |
Mutual funds | ||
Available-for-sale Securities, Fair Value: | ||
Less Than 12 Months | $ 0 | $ 0 |
Available-for-sale Securities, 12 Months or Longer, Estimated Fair Value | 971 | 958 |
Total | 971 | 958 |
Available-for-sale Securities, Gross Unrealized Losses: | ||
Less Than 12 Months | 0 | 0 |
12 Months or Longer | (29) | (42) |
Total | $ (29) | $ (42) |
Available-for-sale, Qty, Less than 12 Months | security | 0 | 0 |
Available-for-sale, Qty, 12 Months or Longer | security | 1 | 1 |
MBS And Other Investments_ Sche
MBS And Other Investments: Schedule of significant inputs utilized to measure management's estimate of the credit loss component on OTTI securities (Details) | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 |
Minimum | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
OTTI significant inputs - Constant prepayment rate | 6.00% | 6.00% | 6.00% |
OTTI significant inputs - Collateral default rate | 0.16% | 0.01% | 0.73% |
OTTI significant inputs - Loss severity rate | 3.92% | 0.16% | 20.48% |
Maximum | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
OTTI significant inputs - Constant prepayment rate | 15.00% | 15.00% | 15.00% |
OTTI significant inputs - Collateral default rate | 14.65% | 22.34% | 22.53% |
OTTI significant inputs - Loss severity rate | 65.00% | 75.17% | 75.02% |
Weighted Average | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
OTTI significant inputs - Constant prepayment rate | 11.49% | 10.59% | 12.33% |
OTTI significant inputs - Collateral default rate | 6.08% | 7.41% | 7.84% |
OTTI significant inputs - Loss severity rate | 39.83% | 45.81% | 52.69% |
MBS And Other Investments_ Sc57
MBS And Other Investments: Schedule of Other than Temporary Impairments (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | ||
Held to Maturity | ||||
Net OTTI recognized in earnings | $ (38) | $ (52) | $ (57) | |
Held-to-maturity Securities | ||||
Held to Maturity | ||||
Total OTTI | 0 | (83) | (13) | |
Portion of OTTI recognized in other comprehensive (income) loss (before income taxes) | (13) | 52 | (32) | |
Net OTTI recognized in earnings | [1] | (13) | (31) | (45) |
Available-for-sale Securities | ||||
Available for Sale | ||||
Total OTTI | 0 | (90) | (2) | |
Portion of OTTI recognized in other comprehensive (income) loss (before income taxes) | 0 | 0 | 0 | |
Net OTTI recognized in earnings | [1] | $ 0 | $ (90) | $ (2) |
[1] | Represents OTTI related to credit losses. |
MBS And Other Investments_ Othe
MBS And Other Investments: Other than Temporary Impairment, Credit Losses Recognized in Earnings (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Roll Forward] | |||
Balance, beginning of year | $ 1,654 | $ 2,084 | $ 2,703 |
Credit losses for which OTTI was not previously recognized | 0 | 2 | 7 |
Additional increases to the amount related to credit loss for which OTTI was previously recognized | 13 | 33 | 45 |
Realized losses previously recorded as credit losses | (91) | (555) | (671) |
Recovery of prior credit loss | 0 | 90 | 0 |
Balance, end of year | $ 1,576 | $ 1,654 | $ 2,084 |
MBS And Other Investments_ Narr
MBS And Other Investments: Narrative-Realized Gains (Losses) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2014USD ($)security | Sep. 30, 2015USD ($)security | Sep. 30, 2014USD ($)security | Sep. 30, 2013USD ($)security | |
Schedule of Available-for-sale Securities [Line Items] | ||||
Loss on sale of securities | $ 91 | $ 465 | $ 671 | |
Held-to-maturity securities, realized loss, number of securities | security | 15 | 15 | 18 | |
Available-for-sale securities, realized loss, number of securities | security | 6 | 16 | 5 | |
Available-for-sale Securities, Gross Realized Gains | $ 32 | $ 0 | ||
Available-for-sale Securities, Gross Realized Losses | $ 45 | |||
Security owned and pledged as collateral | $ 6,221 | $ 7,249 | $ 6,221 |
MBS And Other Investments_ Sc60
MBS And Other Investments: Schedule of Contractual maturities of debt securities (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Held-to-maturity Securities, Amortized Cost: | ||
Due within one year | $ 6,006 | |
Due after one year to five years | 22 | |
Due after ten years | 1,885 | |
Total | 7,913 | $ 5,298 |
Held-to-maturity Securities, Estimated Fair Value: | ||
Due within one year | 6,083 | |
Due after one year to five years | 22 | |
Due after ten years | 2,789 | |
Total | 8,894 | $ 6,274 |
Available-for-sale Securities, Amortized Cost: | ||
Due within one year | 10 | |
Due after one year to five years | 0 | |
Due after ten years | 377 | |
Total | 387 | |
Available-for-sale Securities, Estimated Fair Value: | ||
Due within one year | 10 | |
Due after one year to five years | 0 | |
Due after ten years | 411 | |
Total | $ 421 |
Loans Receivable And Allowanc61
Loans Receivable And Allowance For Loan Losses: Schedule of Loans receivable and Loans held for sale (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans receivable | $ 669,851 | $ 606,442 |
Undisbursed portion of construction loans in process | (53,457) | (29,416) |
Deferred loan origination fees | (2,193) | (1,746) |
Allowance for loan losses | (9,924) | (10,427) |
Less: Loans in process, Deferred fees and Allowance for loan losses | 65,574 | 41,589 |
Total loans receivable, net | 604,277 | 564,853 |
Loans held for sale (one- to four-family) | 3,051 | 899 |
Total loans receivable and loans held for sale, net | 607,328 | 565,752 |
Total mortgage loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 597,262 | 536,263 |
Mortgage loans, one-to-four family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 116,664 | 97,635 |
Mortgage loans, multi-family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 52,322 | 46,206 |
Mortgage loans, commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 291,216 | 294,354 |
Mortgage loans, construction - custom and owner/builder | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 62,954 | 59,752 |
Mortgage loans, construction - speculative one-to-four family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 6,668 | 2,577 |
Construction - commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 20,728 | 3,310 |
Mortgage loans, construction - multi-family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 20,570 | 2,840 |
Mortgage loans, land | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 26,140 | 29,589 |
Total consumer loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Consumer loans | 38,826 | 39,620 |
Consumer loans, home equity and second mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Consumer loans | 34,157 | 34,921 |
Consumer loans, other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Consumer loans | 4,669 | 4,699 |
Commercial business loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Commercial business loans | $ 33,763 | $ 30,559 |
Loans Receivable And Allowanc62
Loans Receivable And Allowance For Loan Losses: Schedule of Activity in Related Party Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Receivables [Abstract] | |||
Balance, beginning of year | $ 927 | $ 1,095 | $ 1,113 |
New loans or advances | 112 | 40 | 276 |
Repayments and reclassifications | (409) | (208) | (294) |
Balance, end of year | $ 630 | $ 927 | $ 1,095 |
Loans Receivable And Allowanc63
Loans Receivable And Allowance For Loan Losses: Loan Segment Risk Narrative (Details) | 12 Months Ended |
Sep. 30, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Ratio of loans to appraisal or purchase price | 90.00% |
Mortgage loans, one-to-four family | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Ratio of loans to appraisal or purchase price | 90.00% |
Ratio of loans to appraised value, private mortgage insurance requirement, percentage limit | 80.00% |
Mortgage loans, commercial | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Ratio of loans to appraisal or purchase price | 80.00% |
Mortgage loans, land | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Ratio of loans to appraisal or purchase price | 75.00% |
Loans Receivable And Allowanc64
Loans Receivable And Allowance For Loan Losses: Schedule of Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | $ 10,427 | $ 11,136 | |
Provision/(Credit) | 1,525 | 0 | $ 2,925 |
Charge-offs | (424) | (1,896) | (4,100) |
Recoveries | 1,446 | 1,187 | 486 |
Allowance for loan losses, Ending Allowance | 9,924 | 10,427 | 11,136 |
Mortgage loans, one-to-four family | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 1,650 | 1,449 | |
Provision/(Credit) | 214 | 1,113 | 565 |
Charge-offs | (220) | (1,106) | (769) |
Recoveries | 264 | 194 | 95 |
Allowance for loan losses, Ending Allowance | 1,480 | 1,650 | 1,449 |
Mortgage loans, multi-family | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 387 | 749 | |
Provision/(Credit) | 2 | (362) | (407) |
Charge-offs | 0 | 0 | 0 |
Recoveries | 3 | 0 | 0 |
Allowance for loan losses, Ending Allowance | 392 | 387 | 749 |
Mortgage loans, commercial | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 4,836 | 5,275 | |
Provision/(Credit) | 775 | 20 | 1,640 |
Charge-offs | 0 | (463) | (667) |
Recoveries | 4 | 4 | 55 |
Allowance for loan losses, Ending Allowance | 4,065 | 4,836 | 5,275 |
Mortgage loans, construction - custom and owner/builder | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 450 | 262 | |
Provision/(Credit) | 1 | 188 | (124) |
Charge-offs | 0 | 0 | (26) |
Recoveries | 0 | 0 | 26 |
Allowance for loan losses, Ending Allowance | 451 | 450 | 262 |
Mortgage loans, construction - speculative one-to-four family | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 52 | 96 | |
Provision/(Credit) | 69 | (44) | (32) |
Charge-offs | 0 | 0 | 0 |
Recoveries | 2 | 0 | 0 |
Allowance for loan losses, Ending Allowance | 123 | 52 | 96 |
Construction - commercial | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 78 | 56 | |
Provision/(Credit) | (348) | 22 | (373) |
Charge-offs | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Allowance for loan losses, Ending Allowance | 426 | 78 | 56 |
Mortgage loans, construction - multi-family | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 25 | 0 | |
Provision/(Credit) | 867 | (226) | 116 |
Charge-offs | 0 | 0 | (116) |
Recoveries | 1,125 | 251 | 0 |
Allowance for loan losses, Ending Allowance | 283 | 25 | 0 |
Mortgage loans, construction - land development | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 0 | 0 | |
Provision/(Credit) | (287) | (129) | |
Charge-offs | 0 | (17) | |
Recoveries | 287 | 146 | |
Allowance for loan losses, Ending Allowance | 0 | 0 | |
Mortgage loans, land | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 1,434 | 1,940 | |
Provision/(Credit) | 305 | (664) | 1,801 |
Charge-offs | (145) | (260) | (2,307) |
Recoveries | 37 | 418 | 54 |
Allowance for loan losses, Ending Allowance | 1,021 | 1,434 | 1,940 |
Consumer loans, home equity and second mortgage | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 879 | 782 | |
Provision/(Credit) | 242 | 137 | 202 |
Charge-offs | (50) | (47) | (184) |
Recoveries | 2 | 7 | 5 |
Allowance for loan losses, Ending Allowance | 1,073 | 879 | 782 |
Consumer loans, other | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 176 | 200 | |
Provision/(Credit) | 16 | (20) | (40) |
Charge-offs | (9) | (6) | (14) |
Recoveries | 4 | 2 | 0 |
Allowance for loan losses, Ending Allowance | 187 | 176 | 200 |
Commercial business loans | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan losses, Beginning Allowance | 460 | 327 | |
Provision/(Credit) | 42 | 123 | (294) |
Charge-offs | 0 | (14) | 0 |
Recoveries | 5 | 24 | 105 |
Allowance for loan losses, Ending Allowance | $ 423 | $ 460 | $ 327 |
Loans Receivable And Allowanc65
Loans Receivable And Allowance For Loan Losses: Schedule of loans evaluated individually for impairment and collectively evaluated for impairment in the allowance for loan losses (Details) - USD ($) | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2010 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | $ 1,011,000 | $ 2,007,000 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 8,913,000 | 8,420,000 | ||
Allowance for Loan Losses, Total | 9,924,000 | 10,427,000 | $ 11,136,000 | $ 11,825,000 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 24,431,000 | 33,474,000 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 595,014,000 | 544,451,000 | ||
Loans receivable | 619,445,000 | 577,925,000 | ||
Mortgage loans, one-to-four family | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | 307,000 | 709,000 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 1,173,000 | 941,000 | ||
Allowance for Loan Losses, Total | 1,480,000 | 1,650,000 | 1,449,000 | 1,558,000 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 4,291,000 | 7,011,000 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 115,424,000 | 91,523,000 | ||
Loans receivable | 119,715,000 | 98,534,000 | ||
Mortgage loans, multi-family | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | 16,000 | 39,000 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 376,000 | 348,000 | ||
Allowance for Loan Losses, Total | 392,000 | 387,000 | 749,000 | 1,156,000 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 4,037,000 | 3,317,000 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 48,285,000 | 42,889,000 | ||
Loans receivable | 52,322,000 | 46,206,000 | ||
Mortgage loans, commercial | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | 265,000 | 797,000 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 3,800,000 | 4,039,000 | ||
Allowance for Loan Losses, Total | 4,065,000 | 4,836,000 | 5,275,000 | 4,247,000 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 12,852,000 | 17,188,000 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 278,364,000 | 277,166,000 | ||
Loans receivable | 291,216,000 | 294,354,000 | ||
Mortgage loans, construction - custom and owner/builder | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | 0 | 0 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 451,000 | 450,000 | ||
Allowance for Loan Losses, Total | 451,000 | 450,000 | 262,000 | 386,000 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 0 | 0 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 36,192,000 | 34,553,000 | ||
Loans receivable | 36,192,000 | 34,553,000 | ||
Mortgage loans, construction - speculative one-to-four family | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | 0 | 0 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 123,000 | 52,000 | ||
Allowance for Loan Losses, Total | 123,000 | 52,000 | 96,000 | 128,000 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 0 | 0 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 3,781,000 | 1,204,000 | ||
Loans receivable | 3,781,000 | 1,204,000 | ||
Construction - commercial | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | 0 | 0 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 426,000 | 78,000 | ||
Allowance for Loan Losses, Total | 426,000 | 78,000 | 56,000 | 429,000 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 0 | 0 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 12,200,000 | 2,887,000 | ||
Loans receivable | 12,200,000 | 2,887,000 | ||
Mortgage loans, construction - multi-family | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | 0 | 0 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 283,000 | 25,000 | ||
Allowance for Loan Losses, Total | 283,000 | 25,000 | 0 | 0 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 0 | 0 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 5,290,000 | 419,000 | ||
Loans receivable | 5,290,000 | 419,000 | ||
Mortgage loans, construction - land development | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Total | 0 | 0 | 0 | |
Mortgage loans, land | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | 37,000 | 300,000 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 984,000 | 1,134,000 | ||
Allowance for Loan Losses, Total | 1,021,000 | 1,434,000 | 1,940,000 | 2,392,000 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 2,305,000 | 5,158,000 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 23,835,000 | 24,431,000 | ||
Loans receivable | 26,140,000 | 29,589,000 | ||
Consumer loans, home equity and second mortgage | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | 362,000 | 162,000 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 711,000 | 717,000 | ||
Allowance for Loan Losses, Total | 1,073,000 | 879,000 | 782,000 | 759,000 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 910,000 | 797,000 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 33,247,000 | 34,124,000 | ||
Loans receivable | 34,157,000 | 34,921,000 | ||
Consumer loans, other | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | 24,000 | 0 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 163,000 | 176,000 | ||
Allowance for Loan Losses, Total | 187,000 | 176,000 | 200,000 | 254,000 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 36,000 | 3,000 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 4,633,000 | 4,696,000 | ||
Loans receivable | 4,669,000 | 4,699,000 | ||
Commercial business loans | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance for Loan Losses, Individually Evaluated for Impairment | 0 | 0 | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 423,000 | 460,000 | ||
Allowance for Loan Losses, Total | 423,000 | 460,000 | $ 327,000 | $ 516,000 |
Recorded Investment in Loans, Individually Evaluated for Impairment | 0 | 0 | ||
Recorded Investment in Loans, Collectively Evaluated for Impairment | 33,763,000 | 30,559,000 | ||
Loans receivable | $ 33,763,000 | $ 30,559,000 |
Loans Receivable And Allowanc66
Loans Receivable And Allowance For Loan Losses: Past Due Status of Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | $ 161 | $ 482 |
Loans receivable, 60-89 Days Past Due | 816 | 1,499 |
Loans receivable, Non-Accrual | 6,040 | 10,909 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 151 | 812 |
Loans receivable, Total Past Due | 7,168 | 13,702 |
Loans receivable, Current | 612,277 | 564,223 |
Loans receivable | 619,445 | 577,925 |
Mortgage loans, one-to-four family | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | 0 | 0 |
Loans receivable, 60-89 Days Past Due | 425 | 577 |
Loans receivable, Non-Accrual | 2,368 | 4,376 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans receivable, Total Past Due | 2,793 | 4,953 |
Loans receivable, Current | 116,922 | 93,581 |
Loans receivable | 119,715 | 98,534 |
Mortgage loans, multi-family | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | 0 | 0 |
Loans receivable, 60-89 Days Past Due | 0 | 0 |
Loans receivable, Non-Accrual | 760 | 0 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans receivable, Total Past Due | 760 | 0 |
Loans receivable, Current | 51,562 | 46,206 |
Loans receivable | 52,322 | 46,206 |
Mortgage loans, commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | 0 | 0 |
Loans receivable, 60-89 Days Past Due | 0 | 695 |
Loans receivable, Non-Accrual | 1,016 | 1,468 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 0 | 812 |
Loans receivable, Total Past Due | 1,016 | 2,975 |
Loans receivable, Current | 290,200 | 291,379 |
Loans receivable | 291,216 | 294,354 |
Mortgage loans, construction - custom and owner/builder | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | 0 | 0 |
Loans receivable, 60-89 Days Past Due | 345 | 156 |
Loans receivable, Non-Accrual | 0 | 0 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans receivable, Total Past Due | 345 | 156 |
Loans receivable, Current | 35,847 | 34,397 |
Loans receivable | 36,192 | 34,553 |
Mortgage loans, construction - speculative one-to-four family | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | 0 | 0 |
Loans receivable, 60-89 Days Past Due | 0 | 0 |
Loans receivable, Non-Accrual | 0 | 0 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans receivable, Total Past Due | 0 | 0 |
Loans receivable, Current | 3,781 | 1,204 |
Loans receivable | 3,781 | 1,204 |
Construction - commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | 0 | 0 |
Loans receivable, 60-89 Days Past Due | 0 | 0 |
Loans receivable, Non-Accrual | 0 | 0 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans receivable, Total Past Due | 0 | 0 |
Loans receivable, Current | 12,200 | 2,887 |
Loans receivable | 12,200 | 2,887 |
Mortgage loans, construction - multi-family | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | 0 | 0 |
Loans receivable, 60-89 Days Past Due | 0 | 0 |
Loans receivable, Non-Accrual | 0 | 0 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans receivable, Total Past Due | 0 | 0 |
Loans receivable, Current | 5,290 | 419 |
Loans receivable | 5,290 | 419 |
Mortgage loans, land | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | 15 | 357 |
Loans receivable, 60-89 Days Past Due | 32 | 27 |
Loans receivable, Non-Accrual | 1,558 | 4,564 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans receivable, Total Past Due | 1,605 | 4,948 |
Loans receivable, Current | 24,535 | 24,641 |
Loans receivable | 26,140 | 29,589 |
Consumer loans, home equity and second mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | 146 | 62 |
Loans receivable, 60-89 Days Past Due | 14 | 44 |
Loans receivable, Non-Accrual | 303 | 498 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 151 | 0 |
Loans receivable, Total Past Due | 614 | 604 |
Loans receivable, Current | 33,543 | 34,317 |
Loans receivable | 34,157 | 34,921 |
Consumer loans, other | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | 0 | 42 |
Loans receivable, 60-89 Days Past Due | 0 | 0 |
Loans receivable, Non-Accrual | 35 | 3 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans receivable, Total Past Due | 35 | 45 |
Loans receivable, Current | 4,634 | 4,654 |
Loans receivable | 4,669 | 4,699 |
Commercial business loans | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans receivable, 30-59 Days Past Due | 0 | 21 |
Loans receivable, 60-89 Days Past Due | 0 | 0 |
Loans receivable, Non-Accrual | 0 | 0 |
Loans receivable, Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans receivable, Total Past Due | 0 | 21 |
Loans receivable, Current | 33,763 | 30,538 |
Loans receivable | $ 33,763 | $ 30,559 |
Loans Receivable And Allowanc67
Loans Receivable And Allowance For Loan Losses: Financing Receivable Credit Quality Indicators (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | $ 619,445 | $ 577,925 |
Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 579,201 | 522,509 |
Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 10,511 | 10,254 |
Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 17,016 | 27,106 |
Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 12,717 | 18,056 |
Mortgage loans, one-to-four family | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 119,715 | 98,534 |
Mortgage loans, one-to-four family | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 114,402 | 90,340 |
Mortgage loans, one-to-four family | Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 653 | 1,749 |
Mortgage loans, one-to-four family | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 1,339 | 1,045 |
Mortgage loans, one-to-four family | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 3,321 | 5,400 |
Mortgage loans, multi-family | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 52,322 | 46,206 |
Mortgage loans, multi-family | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 45,249 | 37,336 |
Mortgage loans, multi-family | Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 1,697 |
Mortgage loans, multi-family | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 6,313 | 6,410 |
Mortgage loans, multi-family | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 760 | 763 |
Mortgage loans, commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 291,216 | 294,354 |
Mortgage loans, commercial | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 270,685 | 266,467 |
Mortgage loans, commercial | Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 8,040 | 5,819 |
Mortgage loans, commercial | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 6,803 | 15,946 |
Mortgage loans, commercial | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 5,688 | 6,122 |
Mortgage loans, construction - custom and owner/builder | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 36,192 | 34,553 |
Mortgage loans, construction - custom and owner/builder | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 36,192 | 34,553 |
Mortgage loans, construction - custom and owner/builder | Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Mortgage loans, construction - custom and owner/builder | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Mortgage loans, construction - custom and owner/builder | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Mortgage loans, construction - speculative one-to-four family | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 3,781 | 1,204 |
Mortgage loans, construction - speculative one-to-four family | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 3,781 | 1,204 |
Mortgage loans, construction - speculative one-to-four family | Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Mortgage loans, construction - speculative one-to-four family | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Mortgage loans, construction - speculative one-to-four family | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Construction - commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 12,200 | 2,887 |
Construction - commercial | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 12,200 | 2,887 |
Construction - commercial | Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Construction - commercial | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Construction - commercial | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Mortgage loans, construction - multi-family | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 5,290 | 419 |
Mortgage loans, construction - multi-family | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 5,290 | 419 |
Mortgage loans, construction - multi-family | Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Mortgage loans, construction - multi-family | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Mortgage loans, construction - multi-family | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Mortgage loans, land | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 26,140 | 29,589 |
Mortgage loans, land | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 20,964 | 21,084 |
Mortgage loans, land | Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 1,105 | 114 |
Mortgage loans, land | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 2,078 | 3,586 |
Mortgage loans, land | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 1,993 | 4,805 |
Consumer loans, home equity and second mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 34,157 | 34,921 |
Consumer loans, home equity and second mortgage | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 32,172 | 33,207 |
Consumer loans, home equity and second mortgage | Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 664 | 724 |
Consumer loans, home equity and second mortgage | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 404 | 27 |
Consumer loans, home equity and second mortgage | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 917 | 963 |
Consumer loans, other | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 4,669 | 4,699 |
Consumer loans, other | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 4,631 | 4,657 |
Consumer loans, other | Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 39 |
Consumer loans, other | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 0 | 0 |
Consumer loans, other | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 38 | 3 |
Commercial business loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 33,763 | 30,559 |
Commercial business loans | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 33,635 | 30,355 |
Commercial business loans | Watch | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 49 | 112 |
Commercial business loans | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | 79 | 92 |
Commercial business loans | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans receivable | $ 0 | $ 0 |
Loans Receivable And Allowanc68
Loans Receivable And Allowance For Loan Losses: Impaired Financing Receivables (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Recorded Investment | |||
With no related allowance recorded | $ 11,059 | $ 15,137 | |
With an allowance recorded | 13,372 | 18,337 | |
Total | 24,431 | 33,474 | |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 13,133 | 20,603 | |
With an allowance recorded | 13,372 | 18,337 | |
Total | 26,505 | 38,940 | |
Related Allowance | (1,011) | (2,007) | |
YTD Average Recorded Investment | |||
With no related allowance recorded | 12,983 | 13,169 | |
With an allowance recorded | 14,458 | 22,839 | |
Total | 27,441 | 36,008 | |
YTD Interest Income Recognized | |||
With no related allowance recorded | 574 | 426 | |
With an allowance recorded | 585 | 952 | |
Total | 1,159 | 1,378 | |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 460 | 335 | |
With an allowance recorded | 443 | 733 | |
Total | 903 | 1,068 | |
Mortgage loans, one-to-four family | |||
Recorded Investment | |||
With no related allowance recorded | 1,321 | 2,647 | $ 5,342 |
With an allowance recorded | 2,970 | 4,364 | 3,642 |
Total | 4,291 | 7,011 | 8,984 |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 1,546 | 3,301 | 5,775 |
With an allowance recorded | 2,970 | 4,364 | 3,726 |
Total | 4,516 | 7,665 | 9,501 |
Related Allowance | (307) | (709) | (600) |
YTD Average Recorded Investment | |||
With no related allowance recorded | 1,919 | 3,763 | 2,661 |
With an allowance recorded | 3,833 | 4,140 | 4,397 |
Total | 5,752 | 7,903 | 7,058 |
YTD Interest Income Recognized | |||
With no related allowance recorded | 25 | 0 | 18 |
With an allowance recorded | 149 | 146 | 91 |
Total | 174 | 146 | 109 |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 25 | 0 | 13 |
With an allowance recorded | 112 | 110 | 68 |
Total | 137 | 110 | 81 |
Mortgage loans, multi-family | |||
Recorded Investment | |||
With no related allowance recorded | 760 | 0 | 0 |
With an allowance recorded | 3,277 | 3,317 | 5,184 |
Total | 4,037 | 3,317 | 5,184 |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 791 | 857 | 982 |
With an allowance recorded | 3,277 | 3,317 | 5,184 |
Total | 4,068 | 4,174 | 6,166 |
Related Allowance | (16) | (39) | (334) |
YTD Average Recorded Investment | |||
With no related allowance recorded | 570 | 0 | 473 |
With an allowance recorded | 3,291 | 4,157 | 5,960 |
Total | 3,861 | 4,157 | 6,433 |
YTD Interest Income Recognized | |||
With no related allowance recorded | 3 | 0 | 3 |
With an allowance recorded | 184 | 220 | 301 |
Total | 187 | 220 | 304 |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 3 | 0 | 3 |
With an allowance recorded | 137 | 165 | 230 |
Total | 140 | 165 | 233 |
Mortgage loans, commercial | |||
Recorded Investment | |||
With no related allowance recorded | 7,199 | 11,057 | 4,879 |
With an allowance recorded | 5,653 | 6,131 | 14,631 |
Total | 12,852 | 17,188 | 19,510 |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 8,259 | 14,184 | 8,005 |
With an allowance recorded | 5,653 | 6,131 | 15,297 |
Total | 13,912 | 20,315 | 23,302 |
Related Allowance | (265) | (797) | (1,763) |
YTD Average Recorded Investment | |||
With no related allowance recorded | 9,078 | 7,859 | 8,781 |
With an allowance recorded | 3,475 | 10,083 | 9,052 |
Total | 12,553 | 17,942 | 17,833 |
YTD Interest Income Recognized | |||
With no related allowance recorded | 521 | 414 | 322 |
With an allowance recorded | 202 | 541 | 526 |
Total | 723 | 955 | 848 |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 412 | 325 | 267 |
With an allowance recorded | 152 | 423 | 420 |
Total | 564 | 748 | 687 |
Mortgage loans, construction - custom and owner/builder | |||
Recorded Investment | |||
With no related allowance recorded | 0 | 0 | |
With an allowance recorded | 0 | 0 | |
Total | 0 | 0 | |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 0 | 0 | |
With an allowance recorded | 0 | 0 | |
Total | 0 | 0 | |
Related Allowance | 0 | 0 | |
YTD Average Recorded Investment | |||
With no related allowance recorded | 118 | 97 | |
With an allowance recorded | 17 | 60 | |
Total | 135 | 157 | |
YTD Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | |
With an allowance recorded | 0 | 0 | |
Total | 0 | 0 | |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | |
With an allowance recorded | 0 | 0 | |
Total | 0 | 0 | |
Mortgage loans, construction - speculative one-to-four family | |||
Recorded Investment | |||
With no related allowance recorded | 0 | ||
With an allowance recorded | 0 | 687 | |
Total | 0 | 687 | |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 0 | ||
With an allowance recorded | 0 | 687 | |
Total | 0 | 687 | |
Related Allowance | 0 | (88) | |
YTD Average Recorded Investment | |||
With no related allowance recorded | 65 | ||
With an allowance recorded | 275 | 695 | |
Total | 275 | 760 | |
YTD Interest Income Recognized | |||
With no related allowance recorded | 0 | ||
With an allowance recorded | 11 | 29 | |
Total | 11 | 29 | |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 0 | ||
With an allowance recorded | 7 | 16 | |
Total | 7 | 16 | |
Mortgage loans, construction - multi-family | |||
Recorded Investment | |||
With no related allowance recorded | 0 | 143 | |
Total | 0 | 143 | |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 0 | 608 | |
Total | 0 | 608 | |
Related Allowance | 0 | 0 | |
YTD Average Recorded Investment | |||
With no related allowance recorded | 57 | 293 | |
Total | 57 | 293 | |
YTD Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | |
Total | 0 | 0 | |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | |
Total | 0 | 0 | |
Mortgage loans, construction - land development | |||
Recorded Investment | |||
With no related allowance recorded | 0 | 515 | |
Total | 0 | 515 | |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 0 | 3,279 | |
Total | 0 | 3,279 | |
Related Allowance | 0 | 0 | |
YTD Average Recorded Investment | |||
With no related allowance recorded | 141 | 534 | |
Total | 141 | 534 | |
YTD Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | |
Total | 0 | 0 | |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | |
Total | 0 | 0 | |
Mortgage loans, land | |||
Recorded Investment | |||
With no related allowance recorded | 1,614 | 1,079 | 1,188 |
With an allowance recorded | 691 | 4,079 | 1,203 |
Total | 2,305 | 5,158 | 2,391 |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 2,150 | 1,674 | 2,133 |
With an allowance recorded | 691 | 4,079 | 1,226 |
Total | 2,841 | 5,753 | 3,359 |
Related Allowance | (37) | (300) | (234) |
YTD Average Recorded Investment | |||
With no related allowance recorded | 1,028 | 1,044 | 3,519 |
With an allowance recorded | 3,298 | 3,780 | 1,962 |
Total | 4,326 | 4,824 | 5,481 |
YTD Interest Income Recognized | |||
With no related allowance recorded | 25 | 12 | 9 |
With an allowance recorded | 32 | 18 | 27 |
Total | 57 | 30 | 36 |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 20 | 10 | 8 |
With an allowance recorded | 27 | 16 | 27 |
Total | 47 | 26 | 35 |
Consumer loans, home equity and second mortgage | |||
Recorded Investment | |||
With no related allowance recorded | 165 | 351 | 380 |
With an allowance recorded | 745 | 446 | 299 |
Total | 910 | 797 | 679 |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 381 | 574 | 556 |
With an allowance recorded | 745 | 446 | 299 |
Total | 1,126 | 1,020 | 855 |
Related Allowance | (362) | (162) | (57) |
YTD Average Recorded Investment | |||
With no related allowance recorded | 270 | 276 | 266 |
With an allowance recorded | 516 | 404 | 352 |
Total | 786 | 680 | 618 |
YTD Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | 0 |
With an allowance recorded | 18 | 16 | 16 |
Total | 18 | 16 | 16 |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | 0 |
With an allowance recorded | 15 | 12 | 12 |
Total | 15 | 12 | 12 |
Consumer loans, other | |||
Recorded Investment | |||
With no related allowance recorded | 3 | 6 | |
Total | 36 | 3 | 6 |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 3 | 6 | |
Total | 36 | 3 | 6 |
Related Allowance | (24) | 0 | 0 |
YTD Average Recorded Investment | |||
With no related allowance recorded | 7 | 8 | |
Total | 28 | 7 | 8 |
YTD Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | |
Total | 0 | 0 | 0 |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | |
Total | 0 | 0 | 0 |
Commercial business loans | |||
Recorded Investment | |||
With no related allowance recorded | 0 | 0 | 0 |
Total | 0 | 0 | 0 |
Unpaid Principal Balance (Loan Balance Plus Charge Off) | |||
With no related allowance recorded | 6 | 10 | 33 |
Total | 6 | 10 | 33 |
Related Allowance | 0 | 0 | 0 |
YTD Average Recorded Investment | |||
With no related allowance recorded | 0 | 22 | 0 |
Total | 0 | 22 | 0 |
YTD Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | 0 |
Total | 0 | 0 | 0 |
YTD Cash Basis Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | 0 |
Total | $ 0 | $ 0 | $ 0 |
Loans Receivable And Allowanc69
Loans Receivable And Allowance For Loan Losses Loans Receivable And Allowance For Loan Losses: Summary of TDR Loans (Details) | 12 Months Ended | |
Sep. 30, 2015USD ($)contract | Sep. 30, 2014USD ($)contract | |
Financing Receivable, Modifications [Line Items] | ||
TDR loans included in impaired loans | $ 13,718,000 | $ 19,088,000 |
TDR loans, commitment to lend additional funds | $ 0 | $ 0 |
Financing receivable modifications, subsequent default, number of contracts | contract | 0 | 0 |
Financing receivable modifications, subsequent default, recorded investment | $ 0 | $ 0 |
Allowance for loan losses | 9,924,000 | 10,427,000 |
Troubled debt restructured loans | ||
Financing Receivable, Modifications [Line Items] | ||
Allowance for loan losses | $ 310,000 | $ 994,000 |
Loans Receivable And Allowanc70
Loans Receivable And Allowance For Loan Losses: Schedule of Troubled debt restructured loans (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | $ 13,718 | $ 19,088 |
Accruing | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 12,485 | 16,804 |
Non-Accrual | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 1,233 | 2,284 |
Mortgage loans, one-to-four family | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 2,755 | 2,867 |
Mortgage loans, one-to-four family | Accruing | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 1,929 | 2,634 |
Mortgage loans, one-to-four family | Non-Accrual | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 826 | 233 |
Mortgage loans, multi-family | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 3,277 | 3,317 |
Mortgage loans, multi-family | Accruing | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 3,277 | 3,317 |
Mortgage loans, multi-family | Non-Accrual | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 0 | 0 |
Mortgage loans, commercial | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 6,237 | 11,428 |
Mortgage loans, commercial | Accruing | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 6,237 | 9,960 |
Mortgage loans, commercial | Non-Accrual | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 0 | 1,468 |
Mortgage loans, land | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 1,002 | 1,025 |
Mortgage loans, land | Accruing | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 747 | 594 |
Mortgage loans, land | Non-Accrual | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 255 | 431 |
Consumer loans, home equity and second mortgage | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 447 | 451 |
Consumer loans, home equity and second mortgage | Accruing | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | 295 | 299 |
Consumer loans, home equity and second mortgage | Non-Accrual | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructured loan | $ 152 | $ 152 |
Loans Receivable And Allowanc71
Loans Receivable And Allowance For Loan Losses: Schedule of Troubled Debt Restructurings by Portfolio Segment (Details) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015USD ($)contract | Sep. 30, 2014USD ($)contract | Sep. 30, 2013USD ($)contract | |
Financing Receivable, Modifications [Line Items] | |||
Troubled debt restructurings, End of Period Balance | $ 13,718 | $ 19,088 | |
Portfolio Segment [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Contracts | contract | 1 | 2 | |
Pre- Modification Outstanding Recorded Investment | $ 48 | $ 199 | $ 2,680 |
Post- Modification Outstanding Recorded Investment | 48 | 199 | 2,680 |
Troubled debt restructurings, End of Period Balance | $ 48 | $ 195 | $ 2,668 |
Portfolio Segment [Member] | One-to-four family | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Contracts | contract | 1 | 1 | 2 |
Pre- Modification Outstanding Recorded Investment | $ 48 | $ 42 | $ 353 |
Post- Modification Outstanding Recorded Investment | 48 | 42 | 353 |
Troubled debt restructurings, End of Period Balance | $ 48 | $ 42 | $ 350 |
Portfolio Segment [Member] | Commercial | |||
Financing Receivable, Modifications [Line Items] | |||
Number of Contracts | contract | 1 | 2 | |
Pre- Modification Outstanding Recorded Investment | $ 157 | $ 2,327 | |
Post- Modification Outstanding Recorded Investment | 157 | 2,327 | |
Troubled debt restructurings, End of Period Balance | $ 153 | $ 2,318 |
Mortgage Servicing Rights_ Summ
Mortgage Servicing Rights: Summary of Loans serviced for Freddie Mac (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 |
Transfers and Servicing [Abstract] | |||
Loans serviced for Freddie Mac, Principal amount | $ 331,494 | $ 327,594 | $ 325,726 |
Mortgage Servicing Rights_ Anal
Mortgage Servicing Rights: Analysis of the changes in MSRs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Transfers and Servicing [Abstract] | |||
Mortgage Servicing Rights (MSR), Starting Balance | $ 1,684 | $ 2,266 | $ 2,011 |
Mortgage Servicing Rights (MSR), Additions | (635) | (387) | (728) |
Mortgage Servicing Rights (MSR), Amortization | (841) | (969) | (948) |
Mortgage Servicing Rights (MSR), Recovery of Valuation Allowance | 0 | 0 | 475 |
Mortgage Servicing Rights (MSR), Ending Balance | $ 1,478 | $ 1,684 | $ 2,266 |
Mortgage Servicing Rights (Deta
Mortgage Servicing Rights (Details) | 12 Months Ended | ||
Sep. 30, 2015USD ($)prepayment_speed_factor | Sep. 30, 2014USD ($)prepayment_speed_factor | Sep. 30, 2013USD ($)prepayment_speed_factor | |
Transfers and Servicing [Abstract] | |||
Mortgate Servicing Rights (MSR), Fair Value | $ 3,095,000 | $ 3,204,000 | $ 3,129,000 |
Mortgate Servicing Rights (MSR), Average Discount Rate for estimating Fair Value | 9.52% | 10.04% | 10.04% |
Mortgate Servicing Rights (MSR), Average Prepayment Speed Factor for estimating Fair Value | prepayment_speed_factor | 174 | 164 | 177 |
MSRs valuation allowances | $ 0 | $ 475,000 |
Premises and Equipment_ Propert
Premises and Equipment: Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 29,885 | $ 30,226 |
Less accumulated depreciation | 13,031 | 12,547 |
Premises and equipment, net | 16,854 | 17,679 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 3,944 | 4,085 |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 17,664 | 17,546 |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 8,071 | 8,332 |
Property held for future expansion | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 110 | 110 |
Construction and purchases in progress | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 96 | $ 153 |
Premises and Equipment_ Rent Ex
Premises and Equipment: Rent Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Property, Plant and Equipment [Abstract] | |||
Operating Leases, Rent Expense | $ 280 | $ 267 | $ 250 |
Premises and Equipment_ Minimum
Premises and Equipment: Minimum net rental commitments under non-cancellable leases (Details) $ in Thousands | 12 Months Ended |
Sep. 30, 2015USD ($) | |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
2,014 | $ 225 |
2,015 | 96 |
2,016 | 96 |
2,017 | 96 |
2,018 | 96 |
Thereafter | 24 |
Total minimum payments required | $ 633 |
Minimum | |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
Operating lease renewal options, term | 5 years |
Maximum | |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
Operating lease renewal options, term | 10 years |
OREO and Other Repossessed As78
OREO and Other Repossessed Assets: Other Real Estate, Roll Forward (Details) $ in Thousands | 12 Months Ended | |
Sep. 30, 2015USD ($)property | Sep. 30, 2014USD ($)property | |
OREO and Other Repossessed Assets | ||
OREO and Other Repossessed Assets, Amount, Starting Balance | $ 9,092 | $ 11,720 |
Additions to OREO and other repossessed assets, Amount | 2,120 | 6,108 |
Capitalized improvements | 3 | 47 |
Lower of cost or fair value losses | (644) | (605) |
Disposition of OREO and other repossessed assets, Amount | (2,717) | (8,178) |
OREO and Other Repossessed Assets, Amount, Ending Balance | $ 7,854 | $ 9,092 |
OREO and Other Repossessed Assets, Number, Starting | property | 40 | 47 |
Additions to OREO and other repossessed assets, Number | property | 12 | 29 |
Disposition of OREO and other repossessed assets, Number | property | (17) | (36) |
OREO and Other Repossessed Assets, Number, Ending | property | 35 | 40 |
OREO and Other Repossessed As79
OREO and Other Repossessed Assets (Details) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015USD ($)property | Sep. 30, 2014USD ($)property | Sep. 30, 2013USD ($)property | |
Real Estate Properties [Line Items] | |||
OREO and Other Repossessed Assets, Number | property | 35 | 40 | 47 |
Other real estate owned (“OREO”) and other repossessed assets, net | $ 7,854 | $ 9,092 | $ 11,720 |
(Gain) loss on sales of OREO and other repossessed assets, net | 110 | 169 | $ 264 |
Minimum | |||
Real Estate Properties [Line Items] | |||
Other real estate owned (“OREO”) and other repossessed assets, net | 6 | 6 | |
Maximum | |||
Real Estate Properties [Line Items] | |||
Other real estate owned (“OREO”) and other repossessed assets, net | $ 1,091 | $ 1,203 | |
Washington | |||
Real Estate Properties [Line Items] | |||
OREO and Other Repossessed Assets, Number | property | 34 | 40 |
CDI (Details)
CDI (Details) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015USD ($)branch | Sep. 30, 2014USD ($) | Sep. 30, 2013USD ($) | |
Finite-Lived Intangible Assets [Line Items] | |||
Number of branches | branch | 22 | ||
Amortization of CDI | $ 3 | $ 116 | $ 130 |
Deposits_ Schedule of Deposits
Deposits: Schedule of Deposits (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Deposits [Abstract] | ||
Non-interest-bearing demand | $ 141,388 | $ 106,417 |
NOW checking | 180,628 | 160,748 |
Savings | 110,315 | 95,665 |
Money market | 92,476 | 88,999 |
Certificates of deposit | 154,105 | 163,287 |
Total deposits | $ 678,912 | $ 615,116 |
Deposits (Details)
Deposits (Details) - USD ($) | Sep. 30, 2015 | Sep. 30, 2014 |
Deposits [Abstract] | ||
Time Deposits, $100,000 or More | $ 68,033,000 | $ 66,663,000 |
Brokered deposits | $ 11,646,000 | $ 3,192,000 |
Deposits_ Scheduled maturities
Deposits: Scheduled maturities of certificates of deposit for future years (Details) $ in Thousands | Sep. 30, 2015USD ($) |
Deposits [Abstract] | |
2,014 | $ 93,882 |
2,015 | 33,416 |
2,016 | 9,626 |
2,017 | 8,003 |
2,018 | 8,646 |
Thereafter | 532 |
Total | $ 154,105 |
Deposits_ Schedule of Interest
Deposits: Schedule of Interest Expense on Deposits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Deposits [Abstract] | |||
NOW checking | $ 450 | $ 440 | $ 463 |
Savings | 53 | 46 | 55 |
Money market | 274 | 246 | 246 |
Certificates of deposit | 1,227 | 1,334 | 1,804 |
Total | $ 2,004 | $ 2,066 | $ 2,568 |
FHLB Advances and Other Borro85
FHLB Advances and Other Borrowings (Details) - USD ($) | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
FHLB borrowings, ratio of maximum borrowing capacity to total assets | 35.00% | ||
Short-term borrowings | $ 0 | $ 0 | $ 0 |
Pacific Coast Banker's Bank | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Short-term overnight borrowings, maximum borrowing capacity | 10,000,000 | ||
Overnight line of credit, amount outstanding | 0 | 0 | |
Federal Home Loan Bank Advances | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Short-term FHLB borrowings, maximum borrowing capacity | 45,201,000 | ||
Short-term FHLB advances | 0 | ||
Federal Home Loan Bank Advances | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Long-term FHLB advances | $ 45,000,000 | $ 45,000,000 | |
Long-term FHLB borrowings, minimum interest rate | 3.69% | ||
Long-term FHLB borrowings, maximum interest rate | 4.34% |
Other Liabilities and Accrued86
Other Liabilities and Accrued Expenses: Schedule of Other Liabilities and Accrued Expenses (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Payables and Accruals [Abstract] | ||
Accrued deferred compensation and profit sharing plans payable | $ 828 | $ 657 |
Accrued interest payable on deposits and advances | 289 | 298 |
Accounts payable and accrued expenses - other | 1,599 | 1,716 |
Total other liabilities and accrued expenses | $ 2,716 | $ 2,671 |
Federal Income Taxes_ Schedule
Federal Income Taxes: Schedule of Components of Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Sep. 30, 2014 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | |||||||||||
Current | $ 3,996 | $ 2,349 | $ 1,737 | ||||||||
Deferred | 196 | 451 | 777 | ||||||||
Provision | $ 1,563 | $ 776 | $ 1,128 | $ 676 | $ 825 | $ 685 | $ 537 | $ 802 | $ 4,192 | $ 2,800 | $ 2,514 |
Federal Income Taxes (Details)
Federal Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Income Tax Disclosure [Abstract] | ||
Income Taxes Receivable | $ 92 | $ 461 |
Capital loss carry-forward utilized during period | $ 183 |
Federal Income Taxes_ Schedul89
Federal Income Taxes: Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Deferred Tax Assets | ||
Allowance for OREO losses | $ 130 | $ 0 |
Unearned ESOP shares | 255 | 202 |
Unearned ESOP shares | 3,483 | 3,669 |
CDI | 564 | 628 |
OTTI credit impairment | 201 | 249 |
Net unrealized securities losses | 114 | 128 |
Accrued interest on loans | 176 | 185 |
Net unrealized investment securities losses | 164 | 180 |
Total deferred tax assets | 5,087 | 5,241 |
Deferred Tax Liabilities | ||
FHLB stock dividends | 447 | 773 |
Depreciation | 464 | 141 |
FHLB stock dividends | 1,417 | 1,281 |
MSRs | 505 | 572 |
Prepaid expenses | 125 | 134 |
Other | 8 | 9 |
Total deferred tax liabilities | 2,966 | 2,910 |
Net deferred tax assets | $ 2,121 | $ 2,331 |
Federal Income Taxes_ Schedul90
Federal Income Taxes: Schedule of Effective Income Tax Rate Reconciliation (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Sep. 30, 2014 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | |||||||||||
Expected tax provision at statutory rate | $ 4,268 | $ 2,941 | $ 2,472 | ||||||||
BOLI income | (184) | (180) | (196) | ||||||||
Change in estimated utilization of net capital loss carry-forward | 0 | 0 | 281 | ||||||||
Dividends on ESOP | (58) | (41) | (24) | ||||||||
Other - net | 166 | 80 | (19) | ||||||||
Provision for federal income taxes | $ 1,563 | $ 776 | $ 1,128 | $ 676 | $ 825 | $ 685 | $ 537 | $ 802 | $ 4,192 | $ 2,800 | $ 2,514 |
Employee Stock Ownership and 91
Employee Stock Ownership and 401(k) Plan ("KSOP") (Details) | 1 Months Ended | 12 Months Ended | 72 Months Ended | |||
Jan. 31, 2008shares | Sep. 30, 2015USD ($)component | Sep. 30, 2014USD ($) | Sep. 30, 2013USD ($) | Sep. 30, 2013USD ($)shares | Jan. 31, 1998USD ($) | |
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||||
Earned ESOP shares | $ 336,000 | $ 328,000 | $ 271,000 | |||
KSOP | ||||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||||
Number of components in KSOP | component | 2 | |||||
Required service period | 1 year | |||||
Employee minimum age requirement | 21 years | |||||
Award vesting period | 6 years | |||||
ESOP | ||||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||||
Dividends used for debt service | $ 170,000 | 72,000 | 0 | |||
ESOP, shares distributed to participants | shares | 379,819 | |||||
ESOP, loan borrowed from employer | $ 7,930,000 | |||||
ESOP, shares purchased for plan | shares | 1,058,000 | |||||
ESOP, interest rate on employer loan | 8.50% | |||||
ESOP, interest expense on employer loan | $ 173,000 | 206,000 | 237,000 | |||
ESOP, amount outstanding on employer loan | 1,766,000 | |||||
ESOP, fair value of unallocated shares | 1,344,000 | 1,673,000 | 1,746,000 | $ 1,746,000 | ||
Earned ESOP shares | $ 203,000 | 242,000 | 202,000 | |||
401(k) | ||||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||||
401(k), employer safe harbor contribution (percent) | 3.00% | |||||
401(k), employer contributions | $ 313,000 | $ 302,000 | $ 289,000 |
Employee Stock Ownership and 92
Employee Stock Ownership and 401(k) Plan ("KSOP"): Schedule of Shares held by the ESOP (Details) - shares shares in Thousands | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 |
Compensation and Retirement Disclosure [Abstract] | |||
Unallocated shares | 123,436 | 158,702 | 193,968 |
Shares released for allocation | 554,745 | 564,111 | 592,468 |
Total ESOP shares | 678,181 | 722,813 | 786,436 |
Stock Compensation Plans (Detai
Stock Compensation Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 1998 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | (6,300) | (5,000) | ||
Stock Options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized | 2,151,500 | |||
Award vesting percentage | 20.00% | |||
Award vesting period | 5 years | |||
Stock options granted during period | 128,000 | 135,000 | 29,000 | |
Stock options, aggregate grant date fair value | $ 241 | $ 349 | $ 69 | |
Stock options vested during period | 42,900 | 43,800 | 17,300 | |
Stock options vested during period, aggregate grant date fair value | $ 100 | $ 80 | $ 32 | |
Number of unvested stock options | 263,000 | 177,600 | ||
Unvested stock awards, aggregate grant date fair value | $ 574 | $ 434 | ||
Unvested stock options, aggregate intrinsic value | $ 390 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 0 | 0 | ||
Stock options, outstanding, aggregate intrinsic value | $ 738 | $ 675 | $ 443 | |
Stock Grants | MRDP | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized | 529,000 | |||
Award vesting percentage | 20.00% | |||
Award vesting period | 5 years | |||
Number of shares available for grant (shares) | 0 | |||
Stock awards, granted during period | 0 | 0 | 0 | |
Number of unvested stock awards (shares) | 0 | 0 |
Stock Compensation Plans_ Stock
Stock Compensation Plans: Stock Option Activity (Details) - $ / shares | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Share-based Compensation [Abstract] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 128,000 | 135,000 | 29,000 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 10.62 | $ 9.29 | $ 6 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | (6,300) | (5,000) | |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Exercises in Period, Weighted Average Exercise Price | $ 4.84 | $ 4.66 | |
Shares: | |||
Options outstanding, beginning of period | 221,400 | 162,946 | 195,626 |
Forfeited | (1,800) | (71,546) | (61,680) |
Options outstanding, end of period | 341,300 | 221,400 | 162,946 |
Weighted Average Exercise Price (in dollars per share): | |||
Options outstanding, beginning of period | $ 7.49 | $ 6.96 | $ 7.97 |
Forfeited | 4.55 | 9.87 | 9.69 |
Options outstanding, end of period | $ 8.73 | $ 7.49 | $ 6.96 |
Stock Compensation Plans_ Fair
Stock Compensation Plans: Fair Value Assumptions (Details) - Stock Options - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrrangement by Share-based Payment Award, Options, Aggregate Grant Date Fair Value | $ 241 | $ 349 | $ 69 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | 128 | 135 | 29 |
Expected Volatility | 28.00% | 39.00% | 45.00% |
Expected term (in years) | 5 years | 5 years | 5 years |
Expected dividend yield | 3.31% | 2.51% | 0.00% |
Risk free interest rate | 1.43% | 1.41% | 0.76% |
Grant date fair value per share (in dollars per share) | $ 1.88 | $ 2.59 | $ 2.37 |
Stock Compensation Plans_ Sto96
Stock Compensation Plans: Stock Options by Exercise Price (Details) - Stock Options shares in Thousands | 12 Months Ended |
Sep. 30, 2015$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Number | shares | 341,300 |
Options Outstanding, Weighted Average Exercise Price | $ 8.73 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 8 years 3 months 15 days |
Options Exercisable, Number | shares | 78,600 |
Options Exercisable, Weighted Average Exercise Price | $ 6.47 |
Options Exercisable, Weighted Average Remaining Contractual Life (Years) | 6 years 9 months 6 days |
$4.01 - $4.55 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Number | shares | 31,600 |
Options Outstanding, Weighted Average Exercise Price | $ 4.23 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 5 years 3 months 21 days |
Options Exercisable, Number | shares | 24,000 |
Options Exercisable, Weighted Average Exercise Price | $ 4.30 |
Options Exercisable, Weighted Average Remaining Contractual Life (Years) | 5 years 15 days |
$5.86 - $6.00 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Number | shares | 59,700 |
Options Outstanding, Weighted Average Exercise Price | $ 5.92 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 7 years |
Options Exercisable, Number | shares | 30,200 |
Options Exercisable, Weighted Average Exercise Price | $ 5.91 |
Options Exercisable, Weighted Average Remaining Contractual Life (Years) | 7 years |
$9.00 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Number | shares | 96,000 |
Options Outstanding, Weighted Average Exercise Price | $ 9 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 8 years 1 month |
Options Exercisable, Number | shares | 19,200 |
Options Exercisable, Weighted Average Exercise Price | $ 9 |
Options Exercisable, Weighted Average Remaining Contractual Life (Years) | 8 years 1 month |
$10.26 - $10.59 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Number | shares | 154,000 |
Options Outstanding, Weighted Average Exercise Price | $ 10.57 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 9 years 6 months 21 days |
Options Exercisable, Number | shares | 5,200 |
Options Exercisable, Weighted Average Exercise Price | $ 10.34 |
Options Exercisable, Weighted Average Remaining Contractual Life (Years) | 8 years 7 months |
Stock Compensation Plans_ Summa
Stock Compensation Plans: Summary of MRDP Shares Vested (Details) - MRDP - Stock Grants - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares vested | 0 | 3,254 | 6,207 |
Aggregate vesting date fair value | $ 30,000 | $ 38,000 |
Stock Compensation Plans_ Sum98
Stock Compensation Plans: Summary of MRDP Shares Unvested (Details) - MRDP - Stock Grants - $ / shares shares in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Unvested shares, beginning of period | 0 | ||
Shares vested | 0 | 3,254 | 6,207 |
Unvested shares, end of period | 0 | 0 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Unvested shares, beginning of period, Weighted Average Grant Date Fair Value | $ 0 | ||
Shares vested, Weighted Average Grant Date Fair Value | 0 | ||
Unvested shares, end of period, Weighted Average Grant Date Fair Value | $ 0 | $ 0 |
Stock Compensation Plans_ Sched
Stock Compensation Plans: Schedule of Expenses for Stock Compensation Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $ 125 | $ 104 | $ 80 |
Related tax benefit recognized | (2) | (10) | (8) |
Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | 127 | 112 | 49 |
Stock Grants | MRDP | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $ 0 | $ 2 | $ 39 |
Stock Compensation Plans_ Sc100
Stock Compensation Plans: Schedule of Unrecognized Compensation Expense for Stock Compensation Plans (Details) - Stock Options $ in Thousands | Sep. 30, 2015USD ($) |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation, nonvested awards, future recognition of compensation cost, Stock Options | $ 496 |
2,014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation, nonvested awards, future recognition of compensation cost, Stock Options | 151 |
2,015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation, nonvested awards, future recognition of compensation cost, Stock Options | 144 |
2,016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation, nonvested awards, future recognition of compensation cost, Stock Options | 113 |
2,017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation, nonvested awards, future recognition of compensation cost, Stock Options | 55 |
2,018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation, nonvested awards, future recognition of compensation cost, Stock Options | $ 33 |
Commitments and Contingencies_
Commitments and Contingencies: Supply Commitment (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 |
Commitments and Contingencies Disclosure [Abstract] | ||
Undisbursed portion of construction loans in process | $ 53,457 | $ 29,416 |
Undisbursed lines of credit | 41,494 | 30,678 |
Commitments to extend credit | $ 12,196 | $ 18,119 |
Commitments and Contingencie102
Commitments and Contingencies (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Reserve for unfunded loan commitments | $ 226 | $ 192 |
Employee severance compensation plan, employee minimum service requirement | 2 years | |
Employee severance compensation plan, eligible payment, maximum compensation term | 24 months |
Significant Concentrations o103
Significant Concentrations of Credit Risk (Details) $ in Thousands | 12 Months Ended |
Sep. 30, 2015USD ($) | |
Risks and Uncertainties [Abstract] | |
Loans secured by real estate | $ 634,470 |
Undisbursed construction loan proceeds | $ 53,457 |
Loans secured by real estate, percentage of total portfolio | 94.30% |
Concentration of credit risk, real estate loans by industry, benchmark percentage | 20.00% |
Ratio of loans to appraisal or purchase price | 90.00% |
CDs held for investment | $ 48,611 |
Regulatory Matters_ Restriction
Regulatory Matters: Restrictions on Retained Earnings (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 | Jun. 30, 1997 |
Regulatory Capital Requirements [Abstract] | |||
Retained earnings | $ 80,133 | $ 73,534 | $ 23,866 |
Liquidation Account, Amount | $ 429 |
Condensed Financial Informat105
Condensed Financial Information - Parent Company Only: Condensed Balance Sheets, Parent Company (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2010 |
Cash and cash equivalents: | |||||
Cash and due from financial institutions | $ 14,014 | $ 11,818 | |||
Interest-bearing deposits in banks | 78,275 | 60,536 | |||
Total cash and cash equivalents | 92,289 | 72,354 | $ 94,496 | $ 96,668 | |
Other assets | 3,407 | 4,566 | |||
Total assets | 815,815 | 745,565 | |||
Liabilities and shareholders’ equity | |||||
Shareholders’ equity | 89,187 | 82,778 | 89,688 | $ 90,319 | |
Total liabilities and shareholders’ equity | 815,815 | 745,565 | |||
Parent Company | |||||
Cash and cash equivalents: | |||||
Cash and due from financial institutions | 439 | 55 | |||
Interest-bearing deposits in banks | 811 | 440 | |||
Total cash and cash equivalents | 1,250 | 495 | $ 505 | $ 2,692 | |
Loan receivable from ESOP | 1,766 | 2,183 | |||
Investment in Bank | 86,263 | 80,031 | |||
Other assets | 13 | 124 | |||
Total assets | 89,292 | 82,833 | |||
Liabilities and shareholders’ equity | |||||
Accrued expenses | 105 | 55 | |||
Shareholders’ equity | 89,187 | 82,778 | |||
Total liabilities and shareholders’ equity | $ 89,292 | $ 82,833 |
Condensed Financial Informat106
Condensed Financial Information - Parent Company Only: Condensed Statements of Operations, Parent Company (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Operating income | ||||||||||||||
Interest on deposits in banks | $ 491 | $ 366 | $ 336 | |||||||||||
Operating expenses | 812 | 759 | 607 | |||||||||||
Income before income taxes and equity in undistributed income of Bank | 12,484 | 8,650 | 7,271 | |||||||||||
Benefit for income taxes | $ (1,563) | $ (776) | $ (1,128) | $ (676) | $ (825) | $ (685) | $ (537) | $ (802) | (4,192) | (2,800) | (2,514) | |||
Net income | 2,955 | 1,646 | $ 2,159 | $ 1,451 | $ 1,727 | 1,434 | 1,159 | 1,611 | 8,292 | 5,850 | 4,757 | |||
Preferred stock dividends | 0 | 0 | 0 | (136) | 0 | (136) | (710) | |||||||
Preferred stock accretion | $ 0 | $ 0 | $ 0 | $ (70) | 0 | (70) | (283) | |||||||
Discount on redemption of preferred stock | 0 | 0 | 255 | |||||||||||
Net income to common shareholders | $ 1,646 | $ 1,434 | $ 1,159 | $ 1,405 | 8,292 | 5,644 | 4,019 | |||||||
Parent Company | ||||||||||||||
Operating income | ||||||||||||||
Interest on deposits in banks | 0 | 0 | 1 | |||||||||||
Interest on loan receivable from ESOP | 173 | 206 | 237 | |||||||||||
Dividend Income, Operating | 2,698 | 13,190 | 3,300 | |||||||||||
Total operating income | 2,871 | 13,396 | 3,538 | |||||||||||
Operating expenses | 445 | 409 | 455 | |||||||||||
Income before income taxes and equity in undistributed income of Bank | 2,426 | 12,987 | 3,083 | |||||||||||
Benefit for income taxes | 150 | 110 | 98 | |||||||||||
Income before undistributed income of Bank | 2,576 | 13,097 | 3,181 | |||||||||||
Equity in undistributed income of Bank (dividends in excess of income of Bank) | 5,716 | (7,247) | 1,576 | |||||||||||
Net income | 8,292 | 5,850 | 4,757 | |||||||||||
Preferred stock dividends | 0 | (136) | (710) | |||||||||||
Preferred stock accretion | 0 | (70) | (283) | |||||||||||
Discount on redemption of preferred stock | 0 | 0 | 255 | |||||||||||
Net income to common shareholders | $ 8,292 | $ 5,644 | $ 4,019 |
Condensed Financial Informat107
Condensed Financial Information - Parent Company Only: Condensed Statements of Cash Flows, Parent Company (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Sep. 30, 2014 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Cash flows from operating activities | |||||||||||
Net income | $ 2,955 | $ 1,646 | $ 2,159 | $ 1,451 | $ 1,727 | $ 1,434 | $ 1,159 | $ 1,611 | $ 8,292 | $ 5,850 | $ 4,757 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Earned ESOP shares | 336 | 328 | 271 | ||||||||
MRDP compensation expense | 0 | 2 | 39 | ||||||||
Stock option compensation expense | 125 | 104 | 49 | ||||||||
Stock Option Tax Effect Less Excess Tax Benefit | 1 | 4 | 0 | ||||||||
Net cash provided by operating activities | 7,552 | 8,623 | 11,572 | ||||||||
Cash flows from investing activities | |||||||||||
Net cash provided by (used in) investing activities | (49,114) | (24,462) | (17,534) | ||||||||
Cash flows from financing activities | |||||||||||
Repurchase of preferred stock | 0 | (12,065) | (4,321) | ||||||||
Payment of dividends | (1,693) | (1,185) | (1,368) | ||||||||
Proceeds from exercise of stock options | 72 | 64 | 6 | ||||||||
MRDP compensation tax effect | 0 | 2 | (8) | ||||||||
Net cash used in financing activities | 61,497 | (6,303) | 3,790 | ||||||||
Net increase (decrease) in cash and cash equivalents | 19,935 | (22,142) | (2,172) | ||||||||
Cash and cash equivalents: | |||||||||||
Beginning of period | 72,354 | 94,496 | |||||||||
End of period | 72,354 | 94,496 | 92,289 | 72,354 | 94,496 | ||||||
Parent Company | |||||||||||
Cash flows from operating activities | |||||||||||
Net income | 8,292 | 5,850 | 4,757 | ||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
(Equity in undistributed income of Bank) dividends in excess of income of Bank | (5,716) | 7,247 | (1,576) | ||||||||
Earned ESOP shares | 264 | 264 | 265 | ||||||||
MRDP compensation expense | 0 | 2 | 39 | ||||||||
Stock option compensation expense | 125 | 104 | 49 | ||||||||
Stock Option Tax Effect Less Excess Tax Benefit | 1 | 4 | 0 | ||||||||
Other, net | (162) | 247 | 39 | ||||||||
Net cash provided by operating activities | 3,128 | 13,224 | 3,495 | ||||||||
Cash flows from investing activities | |||||||||||
Investment in Bank | 491 | 459 | 344 | ||||||||
Principal repayments on loan receivable from Bank | 417 | 382 | 353 | ||||||||
Net cash provided by (used in) investing activities | (74) | (77) | 9 | ||||||||
Proceeds from Issuance of Common Stock | 30 | 23 | 0 | ||||||||
Cash flows from financing activities | |||||||||||
Repurchase of preferred stock | 0 | (12,065) | (4,321) | ||||||||
Payment of dividends | (1,693) | (1,185) | (1,368) | ||||||||
Proceeds from exercise of stock options | (72) | (64) | (6) | ||||||||
MRDP compensation tax effect | 0 | (2) | 8 | ||||||||
Excess Tax Benefit from Share-based Compensation, Financing Activities | 1 | 4 | 0 | ||||||||
Net cash used in financing activities | (2,299) | (13,157) | (5,691) | ||||||||
Net increase (decrease) in cash and cash equivalents | 755 | (10) | (2,187) | ||||||||
Cash and cash equivalents: | |||||||||||
Beginning of period | 495 | 505 | |||||||||
End of period | $ 495 | $ 505 | $ 1,250 | $ 495 | $ 505 |
Net Income Per Common Share_ Sc
Net Income Per Common Share: Schedule of Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Sep. 30, 2015 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Earnings Per Share, Basic [Abstract] | |||||||||||||||
Numerator – net income | $ 2,955 | $ 1,646 | $ 2,159 | $ 1,451 | $ 1,727 | $ 1,434 | $ 1,159 | $ 1,611 | $ 8,292 | $ 5,850 | $ 4,757 | ||||
Preferred stock dividends | 0 | 0 | 0 | (136) | 0 | (136) | (710) | ||||||||
Repurchase of preferred stock at a discount | 0 | 0 | 255 | ||||||||||||
Preferred stock discount accretion | $ 0 | $ 0 | $ 0 | $ (70) | 0 | (70) | (283) | ||||||||
Net income to common shareholders | $ 1,646 | $ 1,434 | $ 1,159 | $ 1,405 | $ 8,292 | $ 5,644 | $ 4,019 | ||||||||
Denominator – weighted average common shares outstanding | 6,897,270 | 6,856,730 | 6,817,918 | ||||||||||||
Basic net income per common share (in dollars per share) | $ 0.43 | $ 0.31 | $ 0.21 | $ 0.25 | $ 1.20 | $ 0.82 | $ 0.59 | ||||||||
Diluted net income per common share computation | |||||||||||||||
Effect of dilutive stock options | 36,863 | 36,614 | 16,555 | ||||||||||||
Effect of dilutive stock warrant | 134,955 | 126,332 | 52,522 | ||||||||||||
Weighted average common shares outstanding- assuming dilution | 7,069,088 | 7,019,676 | 6,886,995 | ||||||||||||
Diluted net income per common share (in dollars per share) | $ 0.42 | $ 0.23 | $ 0.20 | $ 0.16 | $ 0.20 | $ 0.24 | $ 0.31 | $ 0.21 | $ 0.24 | $ 0.21 | $ 0.17 | $ 0.20 | $ 1.17 | $ 0.80 | $ 0.58 |
Net Income Per Common Share (De
Net Income Per Common Share (Details) - shares | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Stock Options | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 155,152 | 131,489 | 109,953 |
Warrant | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 370,899 | ||
Preferred Stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Preferred stock, dividend rate (percent) | 5.00% | 5.00% | 5.00% |
Fair Value Measurement_ Balance
Fair Value Measurement: Balances of Assets and Liabilities Measured on Recurring Basis (Details) - USD ($) | Sep. 30, 2015 | Sep. 30, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | $ 1,392,000 | $ 2,857,000 |
Mortgage-backed Securities, U.S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 421,000 | 1,899,000 |
Mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 971,000 | 958,000 |
Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 1,392,000 | 2,857,000 |
Recurring | Mortgage-backed Securities, U.S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 421,000 | 1,899,000 |
Recurring | Mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 971,000 | 958,000 |
Recurring | Fair Value, Inputs, Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 971,000 | 958,000 |
Recurring | Fair Value, Inputs, Level 1 | Mortgage-backed Securities, U.S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 0 | 0 |
Recurring | Fair Value, Inputs, Level 1 | Mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 971,000 | 958,000 |
Recurring | Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 421,000 | 1,899,000 |
Recurring | Fair Value, Inputs, Level 2 | Mortgage-backed Securities, U.S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 421,000 | 1,899,000 |
Recurring | Fair Value, Inputs, Level 2 | Mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 0 | 0 |
Recurring | Fair Value, Inputs, Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 0 | 0 |
Recurring | Fair Value, Inputs, Level 3 | Mortgage-backed Securities, U.S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | 0 | 0 |
Recurring | Fair Value, Inputs, Level 3 | Mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale investment securities | $ 0 | $ 0 |
Fair Value Measurement_ Bala111
Fair Value Measurement: Balances of Assets and Liabilities Measured on Nonrecurring Basis (Details) - Nonrecurring - USD ($) | Sep. 30, 2015 | Sep. 30, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | $ 1,081,000 | $ 2,512,000 |
Mortgage loans, one-to-four family | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 220,000 | 1,106,000 |
Mortgage loans, multi-family | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Mortgage loans, commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 463,000 |
Mortgage loans, land | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 145,000 | 260,000 |
Consumer loans, home equity and second mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 50,000 | 47,000 |
Total impaired loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 424,000 | 1,876,000 |
Private label residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 13,000 | 31,000 |
OREO and other repossessed items | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 644,000 | 605,000 |
Fair Value, Inputs, Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 1 | Mortgage loans, one-to-four family | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 1 | Mortgage loans, multi-family | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 1 | Mortgage loans, commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 1 | Mortgage loans, land | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 1 | Consumer loans, home equity and second mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 1 | Total impaired loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 1 | Private label residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 1 | OREO and other repossessed items | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 31,000 | 40,000 |
Fair Value, Inputs, Level 2 | Mortgage loans, one-to-four family | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 2 | Mortgage loans, multi-family | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 2 | Mortgage loans, commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 2 | Mortgage loans, land | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 2 | Consumer loans, home equity and second mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 2 | Total impaired loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 2 | Private label residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 31,000 | 40,000 |
Fair Value, Inputs, Level 2 | OREO and other repossessed items | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 20,215,000 | 25,422,000 |
Fair Value, Inputs, Level 3 | Mortgage loans, one-to-four family | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 2,663,000 | 3,655,000 |
Fair Value, Inputs, Level 3 | Mortgage loans, multi-family | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 3,261,000 | 3,278,000 |
Fair Value, Inputs, Level 3 | Mortgage loans, commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 5,388,000 | 5,334,000 |
Fair Value, Inputs, Level 3 | Mortgage loans, land | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 654,000 | 3,779,000 |
Fair Value, Inputs, Level 3 | Consumer loans, home equity and second mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 383,000 | 284,000 |
Fair Value, Inputs, Level 3 | Total impaired loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 12,361,000 | 16,330,000 |
Fair Value, Inputs, Level 3 | Private label residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 3 | OREO and other repossessed items | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, estimated fair value, nonrecurring | $ 7,854,000 | $ 9,092,000 |
Fair Value Measurement_ Level 3
Fair Value Measurement: Level 3 Fair Value Measurements, Nonrecurring (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
FHLB stock, shares redeemed during period | 25,463 | |
Nonrecurring | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Assets, estimated fair value, nonrecurring | $ 1,081 | $ 2,512 |
Nonrecurring | Impaired loans | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Assets, estimated fair value, nonrecurring | 424 | 1,876 |
Nonrecurring | Fair Value, Inputs, Level 3 | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Assets, estimated fair value, nonrecurring | 20,215 | 25,422 |
Nonrecurring | Fair Value, Inputs, Level 3 | Impaired loans | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Assets, estimated fair value, nonrecurring | 12,361 | 16,330 |
Nonrecurring | Fair Value, Inputs, Level 3 | Impaired loans | Market approach | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Assets, estimated fair value, nonrecurring | 12,361 | $ 16,330 |
Nonrecurring | Fair Value, Inputs, Level 3 | Other real estate owned | Market approach | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Assets, estimated fair value, nonrecurring | $ 7,854 |
Fair Value Measurement_ Estimat
Fair Value Measurement: Estimated Fair Values of Financial Instruments (Details) - USD ($) | Sep. 30, 2015 | Sep. 30, 2014 |
Recorded Amount | ||
Fair value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | $ 92,289,000 | $ 72,354,000 |
CDs held for investment | 48,611,000 | 35,845,000 |
Invesment securities | 9,305,000 | 8,155,000 |
FHLB stock | 2,699,000 | 5,246,000 |
Loans receivable, net | 604,277,000 | 564,853,000 |
Loans held for sale | 3,051,000 | 899,000 |
Accrued interest receivable | 2,170,000 | 1,910,000 |
Non-interest bearing demand | 141,388,000 | 106,417,000 |
Interest-bearing | 537,524,000 | 508,699,000 |
Total deposits | 678,912,000 | 615,116,000 |
FHLB advances | 45,000,000 | 45,000,000 |
Accrued interest payable | 289,000 | 298,000 |
Fair Value | ||
Fair value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 92,289,000 | 72,354,000 |
CDs held for investment | 48,611,000 | 35,845,000 |
Invesment securities | 10,286,000 | 9,131,000 |
FHLB stock | 2,699,000 | 5,246,000 |
Loans receivable, net | 614,734,000 | 571,411,000 |
Loans held for sale | 3,139,000 | 921,000 |
Accrued interest receivable | 2,170,000 | 1,910,000 |
Non-interest bearing demand | 141,388,000 | 106,417,000 |
Interest-bearing | 538,092,000 | 509,406,000 |
Total deposits | 679,480,000 | 615,823,000 |
FHLB advances | 46,742,000 | 47,279,000 |
Accrued interest payable | 289,000 | 298,000 |
Fair Value | Fair Value, Inputs, Level 1 | ||
Fair value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 92,289,000 | 72,354,000 |
CDs held for investment | 48,611,000 | 35,845,000 |
Invesment securities | 3,996,000 | 958,000 |
FHLB stock | 2,699,000 | 5,246,000 |
Loans receivable, net | 0 | 0 |
Loans held for sale | 3,139,000 | 921,000 |
Accrued interest receivable | 2,170,000 | 1,910,000 |
Non-interest bearing demand | 141,388,000 | 106,417,000 |
Interest-bearing | 383,419,000 | 345,412,000 |
Total deposits | 524,807,000 | 451,829,000 |
FHLB advances | 0 | 0 |
Accrued interest payable | 289,000 | 298,000 |
Fair Value | Fair Value, Inputs, Level 2 | ||
Fair value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
CDs held for investment | 0 | 0 |
Invesment securities | 6,290,000 | 8,173,000 |
FHLB stock | 0 | 0 |
Loans receivable, net | 0 | 0 |
Loans held for sale | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Non-interest bearing demand | 0 | 0 |
Interest-bearing | 0 | 0 |
Total deposits | 0 | 0 |
FHLB advances | 46,742,000 | 47,279,000 |
Accrued interest payable | 0 | 0 |
Fair Value | Fair Value, Inputs, Level 3 | ||
Fair value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
CDs held for investment | 0 | 0 |
Invesment securities | 0 | 0 |
FHLB stock | 0 | 0 |
Loans receivable, net | 614,734,000 | 571,411,000 |
Loans held for sale | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Non-interest bearing demand | 0 | 0 |
Interest-bearing | 154,673,000 | 163,994,000 |
Total deposits | 154,673,000 | 163,994,000 |
FHLB advances | 0 | 0 |
Accrued interest payable | $ 0 | $ 0 |
Selected Quarterly Financial114
Selected Quarterly Financial Data (unaudited): Selected financial data (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Sep. 30, 2015 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||
Interest and dividend income | $ 8,008 | $ 7,567 | $ 7,947 | $ 7,527 | $ 7,686 | $ 7,397 | $ 7,412 | $ 7,481 | |||||||
Interest expense | (984) | (978) | (963) | (960) | 983 | (964) | (975) | (1,022) | $ 3,890 | $ 3,939 | $ 4,439 | ||||
Net interest income | 7,024 | 6,589 | 6,984 | 6,567 | 6,703 | 6,433 | 6,437 | 6,459 | 27,278 | 25,918 | 25,798 | ||||
Provision for loan losses | 1,525 | 0 | 0 | 0 | 1,525 | 0 | (2,925) | ||||||||
Non-interest income | 2,662 | 2,206 | 2,523 | 2,214 | 2,123 | 2,116 | 2,013 | 2,195 | 9,522 | 8,530 | 10,262 | ||||
Non-interest expense | 6,693 | (6,373) | (6,220) | (6,654) | (6,274) | (6,430) | (6,754) | (6,241) | (25,841) | (25,798) | (25,864) | ||||
Income before federal income taxes | 4,518 | 2,422 | 3,287 | 2,127 | 2,552 | 2,119 | 1,696 | 2,413 | |||||||
Provision for federal income taxes | 1,563 | 776 | 1,128 | 676 | 825 | 685 | 537 | 802 | 4,192 | 2,800 | 2,514 | ||||
Net income | 2,955 | 1,646 | $ 2,159 | $ 1,451 | $ 1,727 | 1,434 | 1,159 | 1,611 | 8,292 | 5,850 | 4,757 | ||||
Preferred stock dividends | 0 | 0 | 0 | (136) | 0 | (136) | (710) | ||||||||
Preferred stock accretion | $ 0 | $ 0 | $ 0 | $ (70) | 0 | (70) | (283) | ||||||||
Repurchase of preferred stock at a discount | 0 | 0 | 255 | ||||||||||||
Net income to common shareholders | $ 1,646 | $ 1,434 | $ 1,159 | $ 1,405 | $ 8,292 | $ 5,644 | $ 4,019 | ||||||||
Net income per common share | |||||||||||||||
Basic (in dollars per share) | $ 0.43 | $ 0.31 | $ 0.21 | $ 0.25 | $ 1.20 | $ 0.82 | $ 0.59 | ||||||||
Diluted (in dollars per share) | $ 0.42 | $ 0.23 | $ 0.20 | $ 0.16 | $ 0.20 | $ 0.24 | $ 0.31 | $ 0.21 | $ 0.24 | $ 0.21 | $ 0.17 | $ 0.20 | $ 1.17 | $ 0.80 | $ 0.58 |