Cover
Cover - shares | 9 Months Ended | |
Sep. 30, 2022 | Nov. 04, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 333-236022 | |
Entity Registrant Name | BANCPLUS CORPORATION | |
Entity Incorporation, State or Country Code | MS | |
Entity Tax Identification Number | 64-0655312 | |
Entity Address, Address Line One | 1068 Highland Colony Parkway | |
Entity Address, City or Town | Ridgeland | |
Entity Address, State or Province | MS | |
Entity Address, Postal Zip Code | 39157 | |
City Area Code | 601 | |
Local Phone Number | 898-8300 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 11,602,114 | |
Entity Central Index Key | 0001118004 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2022 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Assets: | ||
Cash and due from banks | $ 54,726 | $ 55,603 |
Interest bearing deposits with banks | 117,559 | 608,562 |
Total cash and cash equivalents | 172,285 | 664,165 |
Securities available for sale | 614,658 | 576,614 |
Securities held to maturity - fair value: $65,505 - 2022; $72,084 - 2021 | 65,889 | 71,648 |
Loans held for sale | 4,199 | 10,621 |
Loans | 5,549,768 | 3,619,172 |
Less: Allowance for loan losses | 42,533 | 45,000 |
Net loans | 5,507,235 | 3,574,172 |
Premises and equipment | 122,590 | 101,965 |
Operating lease right-of-use assets | 34,532 | 34,561 |
Accrued interest receivable | 20,315 | 14,329 |
Goodwill | 62,772 | 2,616 |
Other assets | 176,758 | 145,587 |
Total assets | 6,781,233 | 5,196,278 |
Liabilities: | ||
Deposits | 5,594,217 | 4,622,116 |
Advances from Federal Home Loan Bank and other borrowings | 310,099 | 20,501 |
Subordinated debentures | 133,430 | 111,509 |
Operating lease liabilities | 36,061 | 35,793 |
Accrued interest payable | 2,949 | 1,425 |
Other liabilities | 21,407 | 14,515 |
Total liabilities | 6,098,163 | 4,805,859 |
Redeemable common stock owned by the ESOP | 93,352 | 100,487 |
Senior Non-Cumulative Perpetual Preferred Stock, Series ECIP, no par value | ||
250,000 and zero authorized, issued and outstanding at September 30, 2022 and December 31, 2021; aggregate liquidation preference of $250,000 | 250,000 | 0 |
Common Stock, par value $1.00 per share. | ||
40,000,000 authorized at September 30, 2022 and December 31, 2021; 11,601,136 and 10,115,945 issued and outstanding at September 30, 2022 and December 31, 2021, respectively | 11,601 | 10,116 |
Unearned Employee Stock Ownership Plan compensation | 0 | (1,401) |
Additional paid-in capital | 121,350 | 67,380 |
Retained earnings | 345,615 | 314,357 |
Accumulated other comprehensive loss, net | (45,496) | (33) |
Stockholders' equity before redeemable common stock owned by employee stock ownership plan | 683,070 | 390,419 |
Less: Redeemable common stock owned by the ESOP | (93,352) | (100,487) |
Total shareholders' equity | 589,718 | 289,932 |
Liabilities and equity | $ 6,781,233 | $ 5,196,278 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Securities, held to maturity, fair value | $ 65,505 | $ 72,084 |
Preferred stock, authorized (in shares) | 250,000 | 0 |
Preferred stock, shares issued (in shares) | 250,000 | 0 |
Preferred stock, shares outstanding (in shares) | 250,000 | 0 |
Preferred stock, liquidation value (in USD per share) | $ 250,000 | $ 250,000 |
Common stock, par value per share (in USD per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 40,000,000 | 40,000,000 |
Common stock, shares, issued (in shares) | 11,601,136 | 10,115,945 |
Common stock outstanding (in shares) | 11,601,136 | 10,115,945 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Interest income: | ||||
Interest and fees on loans | $ 64,309 | $ 43,835 | $ 161,008 | $ 129,066 |
Taxable securities | 2,658 | 2,097 | 7,467 | 6,024 |
Tax-exempt securities | 387 | 455 | 1,208 | 1,473 |
Interest bearing bank balances and other | 463 | 242 | 1,171 | 493 |
Total interest income | 67,817 | 46,629 | 170,854 | 137,056 |
Interest expense: | ||||
Deposits | 3,066 | 1,746 | 7,105 | 5,873 |
Advances from Federal Home Loan Bank | 1,093 | 78 | 1,246 | 233 |
Other borrowings | 1,781 | 1,371 | 5,014 | 4,112 |
Total interest expense | 5,940 | 3,195 | 13,365 | 10,218 |
Net interest income | 61,877 | 43,434 | 157,489 | 126,838 |
Provision for loan losses | 489 | 1,469 | 940 | 7,395 |
Net interest income after provision for loan losses | 61,388 | 41,965 | 156,549 | 119,443 |
Other operating income: | ||||
Service charges on deposit accounts | 8,203 | 7,484 | 22,696 | 19,226 |
Mortgage origination income | 1,119 | 1,999 | 5,661 | 6,726 |
Debit card interchange | 2,393 | 2,390 | 7,569 | 7,634 |
Other income | 5,851 | 7,193 | 18,336 | 24,494 |
Total other operating income | 17,566 | 19,066 | 54,262 | 58,080 |
Other operating expenses: | ||||
Salaries and employee benefits expenses | 32,909 | 25,218 | 88,559 | 72,365 |
Net occupancy expenses | 4,733 | 3,606 | 13,740 | 10,779 |
Furniture, equipment and data processing expenses | 7,671 | 6,282 | 21,957 | 18,322 |
Other expenses | 9,391 | 7,716 | 29,533 | 19,931 |
Total other operating expenses | 54,704 | 42,822 | 153,789 | 121,397 |
Income before income taxes | 24,250 | 18,209 | 57,022 | 56,126 |
Income tax expense | 5,107 | 4,012 | 12,075 | 10,593 |
Net income | $ 19,143 | $ 14,197 | $ 44,947 | $ 45,533 |
Earnings per common share - basic (in USD per share) | $ 1.67 | $ 1.43 | $ 4.04 | $ 4.58 |
Earnings per common share - diluted (in USD per share) | $ 1.67 | $ 1.41 | $ 4.01 | $ 4.53 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 19,143 | $ 14,197 | $ 44,947 | $ 45,533 |
Other comprehensive income (loss), net of tax: | ||||
Unrealized losses on securities available for sale | (20,975) | (2,340) | (60,537) | (4,698) |
Tax effect | 5,223 | 583 | 15,074 | 1,170 |
Total other comprehensive loss, net of tax | (15,752) | (1,757) | (45,463) | (3,528) |
Comprehensive income (loss) | $ 3,391 | $ 12,440 | $ (516) | $ 42,005 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders’ Equity - USD ($) $ in Thousands | Total | Preferred Stock | Common Stock | Unearned ESOP Compensation | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Less: Redeemable Common Stock Owned by the ESOP |
Shares outstanding, beginning balance (in shares) at Dec. 31, 2020 | 10,079,277 | |||||||
Shareholders' equity, beginning balance at Dec. 31, 2020 | $ 280,972 | $ 10,079 | $ (2,650) | $ 67,742 | $ 273,204 | $ 6,875 | $ (74,278) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 45,533 | 45,533 | ||||||
Other comprehensive loss, net | (3,528) | (3,528) | ||||||
Issuance of restricted stock (in shares) | 83,317 | |||||||
Issuance of restricted stock | 0 | $ 83 | (83) | |||||
Shares withheld to satisfy withholding obligation in the vesting of restricted stock (in shares) | (4,477) | |||||||
Shares withheld to satisfy withholding obligation in the vesting of restricted stock | (229) | $ (4) | (225) | |||||
Purchase of Company stock (in shares) | (45,863) | |||||||
Purchase of Company stock | (2,433) | $ (46) | (2,387) | |||||
Stock based compensation | 1,720 | 1,720 | ||||||
Net change fair value of ESOP shares | (22,345) | (22,345) | ||||||
Common stock released by ESOP | 1,041 | 1,041 | ||||||
Dividends declared | (11,468) | (11,468) | ||||||
Shares outstanding, ending balance (in shares) at Sep. 30, 2021 | 10,112,254 | |||||||
Shareholders' equity, ending balance at Sep. 30, 2021 | 289,263 | $ 10,112 | (1,609) | 66,767 | 307,269 | 3,347 | (96,623) | |
Shares outstanding, beginning balance (in shares) at Jun. 30, 2021 | 10,111,045 | |||||||
Shareholders' equity, beginning balance at Jun. 30, 2021 | 288,516 | $ 10,111 | (1,957) | 66,152 | 296,900 | 5,104 | (87,794) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 14,197 | 14,197 | ||||||
Other comprehensive loss, net | (1,757) | (1,757) | ||||||
Issuance of restricted stock (in shares) | 1,209 | |||||||
Issuance of restricted stock | 0 | $ 1 | (1) | |||||
Stock based compensation | 616 | 616 | ||||||
Net change fair value of ESOP shares | (8,829) | (8,829) | ||||||
Common stock released by ESOP | 348 | 348 | ||||||
Dividends declared | (3,828) | (3,828) | ||||||
Shares outstanding, ending balance (in shares) at Sep. 30, 2021 | 10,112,254 | |||||||
Shareholders' equity, ending balance at Sep. 30, 2021 | 289,263 | $ 10,112 | (1,609) | 66,767 | 307,269 | 3,347 | (96,623) | |
Shares outstanding, beginning balance (in shares) at Dec. 31, 2021 | 10,115,945 | |||||||
Shareholders' equity, beginning balance at Dec. 31, 2021 | $ 289,932 | $ 10,116 | (1,401) | 67,380 | 314,357 | (33) | (100,487) | |
Preferred stock, beginning balance (in shares) at Dec. 31, 2021 | 0 | 0 | ||||||
Preferred stock, beginning balance at Dec. 31, 2021 | $ 0 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | $ 44,947 | 44,947 | ||||||
Issuance of preferred stock (in shares) | 250,000 | |||||||
Issuance of preferred stock | 250,000 | $ 250,000 | ||||||
Issuance of common stock for acquisition of First Trust Corporations (in shares) | 1,444,732 | |||||||
Issuance of common stock for acquisition of First Trust Corporation | 56,489 | $ 1,445 | 55,044 | |||||
Other comprehensive loss, net | (45,463) | (45,463) | ||||||
Issuance of restricted stock (in shares) | 98,679 | |||||||
Issuance of restricted stock | 0 | $ 99 | (99) | |||||
Shares withheld to satisfy withholding obligation in the vesting of restricted stock (in shares) | (10,438) | |||||||
Shares withheld to satisfy withholding obligation in the vesting of restricted stock | (712) | $ (11) | (701) | |||||
Purchase of Company stock (in shares) | (47,782) | |||||||
Purchase of Company stock | (3,103) | $ (48) | (3,055) | |||||
Stock based compensation | 2,781 | 2,781 | ||||||
Net change fair value of ESOP shares | 7,135 | 7,135 | ||||||
Common stock released by ESOP | 1,401 | 1,401 | ||||||
Dividends declared | (13,689) | (13,689) | ||||||
Shares outstanding, ending balance (in shares) at Sep. 30, 2022 | 11,601,136 | |||||||
Shareholders' equity, ending balance at Sep. 30, 2022 | $ 589,718 | $ 11,601 | 0 | 121,350 | 345,615 | (45,496) | (93,352) | |
Preferred stock, ending balance (in shares) at Sep. 30, 2022 | 250,000 | 250,000 | ||||||
Preferred stock, ending balance at Sep. 30, 2022 | $ 250,000 | |||||||
Shares outstanding, beginning balance (in shares) at Jun. 30, 2022 | 11,627,071 | |||||||
Shareholders' equity, beginning balance at Jun. 30, 2022 | $ 587,455 | $ 11,627 | 0 | 122,132 | 331,239 | (29,744) | (97,799) | |
Preferred stock, beginning balance (in shares) at Jun. 30, 2022 | 250,000 | |||||||
Preferred stock, beginning balance at Jun. 30, 2022 | $ 250,000 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 19,143 | 19,143 | ||||||
Other comprehensive loss, net | (15,752) | (15,752) | ||||||
Issuance of restricted stock (in shares) | 2,911 | |||||||
Issuance of restricted stock | 0 | $ 3 | (3) | |||||
Purchase of Company stock (in shares) | (28,846) | |||||||
Purchase of Company stock | (1,853) | $ (29) | (1,824) | |||||
Stock based compensation | 1,045 | 1,045 | ||||||
Net change fair value of ESOP shares | 4,447 | 4,447 | ||||||
Dividends declared | (4,767) | (4,767) | ||||||
Shares outstanding, ending balance (in shares) at Sep. 30, 2022 | 11,601,136 | |||||||
Shareholders' equity, ending balance at Sep. 30, 2022 | $ 589,718 | $ 11,601 | $ 0 | $ 121,350 | $ 345,615 | $ (45,496) | $ (93,352) | |
Preferred stock, ending balance (in shares) at Sep. 30, 2022 | 250,000 | 250,000 | ||||||
Preferred stock, ending balance at Sep. 30, 2022 | $ 250,000 |
Consolidated Statements of Sh_2
Consolidated Statements of Shareholders’ Equity (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Statement of Stockholders' Equity [Abstract] | ||||
Dividends declared (in USD per share) | $ 0.41 | $ 0.38 | $ 1.23 | $ 1.14 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Cash flows from operating activities: | ||
Net income per consolidated statements of income | $ 44,947 | $ 45,533 |
Adjustments to reconcile net income to net cash from operating activities: | ||
Provision for loan losses | 940 | 7,395 |
Depreciation and amortization | 7,466 | 5,818 |
Net loss on sales of premises and equipment | 278 | 279 |
Net (gain) loss on sales of other real estate owned | 74 | (169) |
Write-downs of other real estate-owned | 563 | 186 |
Deferred income tax expense | 911 | 399 |
Federal Home Loan Bank stock dividends | (23) | (9) |
Common stock released by ESOP | 1,401 | 1,041 |
Stock based compensation expense | 2,781 | 1,720 |
Origination of loans held for sale | (228,530) | (300,866) |
Proceeds from loans held for sale | 241,152 | 315,646 |
Earnings on bank-owned life insurance | (1,913) | (5,858) |
Net change in: | ||
Accrued interest receivable and other assets | (933) | 5,849 |
Accrued interest payable and other liabilities | 4,848 | (2,163) |
Net cash from operating activities | 73,962 | 74,801 |
Cash flows from investing activities: | ||
Purchases of securities available for sale | (115,927) | (317,600) |
Maturities and calls of securities available for sale | 48,856 | 81,015 |
Purchases of securities held to maturity | 0 | (19,103) |
Maturities, prepayments and calls of securities held to maturity | 5,678 | 34,318 |
Net increase in loans | (934,387) | (151,332) |
Purchases of premises and equipment | (12,162) | (5,188) |
Proceeds from sales of premises and equipment | 0 | 31 |
Proceeds from sales of other real estate owned | 4,418 | 4,672 |
Investment in unconsolidated entities | (30) | (96) |
Distributions from unconsolidated entities | 2,490 | 0 |
Purchase of bank-owned life insurance | 0 | (10,000) |
Proceeds from bank-owned life insurance | 0 | 5,987 |
Purchases or redemptions of Federal Home Loan Bank stock | (12,210) | (163) |
Cash received in excess of cash paid for acquisition | 165,974 | 0 |
Net cash used in investing activities | (847,300) | (377,459) |
Net increase (decrease) in: | ||
Noninterest-bearing deposits | (18,413) | 168,926 |
Money market, negotiable order of withdrawal, and savings deposits | (89,991) | 265,081 |
Certificates of deposit | (132,207) | (56,950) |
Proceeds from Federal Home Loan Bank advances | 1,392,000 | 0 |
Payments on Federal Home Loan Bank advances | (1,102,402) | (120) |
Proceeds from issuance of preferred stock | 250,000 | 0 |
Proceeds from other borrowings | 20,000 | 0 |
Payments on other borrowings | (20,000) | (2,625) |
Payment of debt issuance costs on other borrowings | (25) | 0 |
Cash dividends paid on common stock | (13,689) | (11,468) |
Purchase of Company stock | (3,103) | (2,433) |
Shares withheld to pay taxes on restricted stock vesting | (712) | (229) |
Net cash from financing activities | 281,458 | 360,182 |
Net change in cash and cash equivalents | (491,880) | 57,524 |
Cash and cash equivalents at beginning of period | 664,165 | 637,545 |
Cash and cash equivalents at end of period | 172,285 | 695,069 |
Supplemental cash flow information: | ||
Interest paid | 11,840 | 10,280 |
Federal and state income tax payments | 5,750 | 9,950 |
Acquisition of real estate in non-cash foreclosures | 1,374 | 4,924 |
Fair value of assets acquired net of liabilities assumed | $ 59,572 | $ 0 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation BancPlus Corporation (the “Company”) is a bank holding company headquartered in Ridgeland, Mississippi operating in one reportable segment. BankPlus (the “Bank”), the principal operating subsidiary and sole banking subsidiary of the Company, is a commercial bank primarily engaged in the business of commercial and consumer banking. In addition to general and consumer banking, other products and services offered though the Bank’s subsidiaries include certain insurance and annuity services, asset and investment management and financial planning services. Oakhurst Development, Inc. (“Oakhurst”) is a real estate subsidiary originally formed by the Company to liquidate a real estate development that was acquired by the Bank through foreclosure in 2002. Oakhurst became active again in March 2009 and holds loans and other real estate. The unaudited interim consolidated financial statements include the accounts of the Company and all other entities in which the Company has a controlling financial interest, and reflect all adjustments (consisting of normal recurring adjustments) that are necessary in the opinion of the Company’s management to fairly present the financial position, results of operations and cash flows of the Company. They have been derived from the audited consolidated financial statements for the fiscal year ended December 31, 2021; however, certain notes and information have been omitted from the interim periods. Therefore, these unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 2021. All significant intercompany balances and transactions have been eliminated in consolidation. Certain reclassifications have been made to prior period amounts to conform to the current period presentation. The accounting and financial reporting policies followed by the Company conform, in all material respects, to the accounting principles generally accepted in the United States (“GAAP”) and to general practices within the financial services industry. The results of operations for the interim periods are not necessarily indicative of the results to be expected for future interim periods or for the entire year. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Particularly given the effects of the COVID-19 pandemic, the allowance/provision for loan losses, the fair value of financial instruments and the status of contingencies are particularly subject to change. Material estimates that are subject to significant change in the near term are the allowance for loan losses, provision for loan losses, valuation of other real estate owned and fair values of financial instruments. Actual results could differ from these estimates. Unless otherwise indicated, references to “BancPlus” refer to BancPlus Corporation and its subsidiaries, on a consolidated basis, and reference to “BankPlus” refer to BankPlus, our wholly-owned subsidiary, as applicable. Recently Issued But Not Yet Effective Accounting Standards Accounting Standards Update 2016-13 (“ASU 2016-13”), “ Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments .” In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13, which requires earlier measurement of credit losses and enhances disclosures. The main objective of ASU 2016-13 is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. Many of the loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses over the life of the loan. ASU 2016-13 was originally effective for the Company for annual and interim periods beginning on January 1, 2021. Subsequently, FASB approved a deferral of the effective date. ASU 2016-13 will now be effective for the Company for annual and interim periods beginning on January 1, 2023. The Company has a cross functional team that has been working with third-party vendors to build and validate a CECL model which has been running parallel with the Company’s current model while validation of the model is completed. The Company expects to recognize a one-time cumulative effect adjustment to the allowance for loan losses as of the beginning of the first reporting period in which the Company adopts the new standard, but has not yet determined the magnitude of the one-time adjustment or the overall impact on the Company’s consolidated financial statements. Accounting Standards Update 2020-04 (“ASU 2020-04”), “Reference Rate Reform - Topic 848.” In March 2020, the FASB issued ASU 2020-04, which provides temporary optional expedients and exceptions to the GAAP guidance on contract modifications, hedge accounting, and other transactions affected that reference the London Inter-Bank Offered Rate (“LIBOR”) or another reference rate expected to be discontinued. ASU 2020-04 is effective upon issuance and can be applied through December 31, 2022. The Company does not expect ASU 2020-04 to have a material impact on the Company’s consolidated financial statements. Accounting Standards Update 2022-02 (“ASU 2022-02”), “Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures.” In March 2022, the FASB issued ASU 2022-02 which eliminates the TDR recognition and measurement guidance and instead requires that an entity evaluate whether the modification represents a new loan or a continuation of an existing loan. ASU 2022-02 also enhances existing disclosure requirements and introduces new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. For public business entities, these amendments require that an entity disclose current period gross write-offs by year of origination for financing receivables and net investment in leases within the scope of Subtopic 326-20. Gross write-off information must be included in the vintage disclosures required for public business entities in accordance with paragraph 326-20-50-6, which requires that an entity disclose the amortized cost basis of financing receivables by credit quality indicator and class of financing receivable by year of origination. ASU 2022-02 is effective for the Company for annual and interim periods beginning on January 1, 2023. Implementation of ASU 2022-02 is not expected to materially impact the Company’s consolidated financial statements. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Basic earnings per share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted earnings per share is computed by dividing net income available to common shareholders by the weighted number of common shares outstanding during the period and the number of common shares that would have been outstanding assuming the issuance of common shares for all dilutive potential common shares outstanding during the reporting period. Three Months Ended September 30, Nine Months Ended September 30, (In thousands except per share data) 2022 2021 2022 2021 Net income $ 19,143 $ 14,197 $ 44,947 $ 45,533 Weighted average common shares outstanding 11,437 9,934 11,120 9,936 Diluted effect of unallocated stock — 75 6 44 Diluted effect of stock-based awards 32 41 73 61 Diluted common shares 11,469 10,050 11,199 10,041 Basic earnings per common share $ 1.67 $ 1.43 $ 4.04 $ 4.58 Diluted earnings per common share $ 1.67 $ 1.41 $ 4.01 $ 4.53 |
Business Combinations
Business Combinations | 9 Months Ended |
Sep. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Business Combinations | Business Combinations First Trust Corporation Effective March 1, 2022, the Company completed its previously announced merger with First Trust Corporation (“FTC”), the holding company of First Bank and Trust (“FBT”). Pursuant to the terms of the Agreement and Plan of Share Exchange and Merger, dated September 28, 2021, as amended on February 9, 2022, by and among the Company, BankPlus, FTC, and FBT (the “FTC Merger Agreement”), following the Company’s acquisition of FTC by statutory share exchange, FTC was merged with and into BancPlus, with BancPlus surviving the merger (the “FTC Holding Company Merger”). Immediately thereafter FBT was merged with and into BankPlus, with BankPlus surviving the merger (together with the FTC Holding Company Merger, the “FTC Merger”). The FTC Merger expands the Company’s geographic footprint into Florida and adds additional locations in Louisiana and Mississippi, providing access to new markets and deposits. Pursuant to the FTC Merger Agreement, holders of FTC stock received, in the aggregate, 1,444,764 shares of BancPlus common stock, with cash paid in lieu of fractional shares, and $52.7 million in cash, plus up to $10.0 million, less certain fees, costs, and expenses, that was held in escrow pursuant to the terms of a previously disclosed Indemnity and Escrow Agreement that was entered into immediately prior to the completion of the FTC Merger pending a final determination from the Internal Revenue Service as to whether FTC’s subchapter S election would be reinstated retroactively to September 23, 2020. On June 27, 2022, the Company received notice from the IRS that FTC’s subchapter S election had been reinstated. On July 7, 2022, the escrow account balance of $10.0 million was paid to the former holders of FTC stock. The fair value of the common shares issued was determined based on a third-party appraisal at the date of the acquisition, as there is no active market for the Company’s stock. At the time of this filing, final valuations of the stock consideration, assets acquired and liabilities assumed were not complete. The Company expects to finalize its analysis of the acquired assets and assumed liabilities in this transaction within one year of the completion of the FTC Merger. Therefore, adjustments to the estimated amounts and carrying values may occur. During the three and nine months ended September 30, 2022, the Company incurred approximately $2.9 million and $8.4 million of acquisition expenses in connection with the FTC Merger, respectively. These expenses are recorded in other expenses in the Company’s Consolidated Statement of Income for the three and nine months ended September 30, 2022. The excess cost paid over the fair value of net assets acquired was recorded as goodwill during 2022. Goodwill, which reflects an enhanced presence in the Louisiana and Southern Mississippi market areas and expansion into the Florida panhandle market as well as synergies expected as a result of the combined operations, is not deductible for tax purposes. The following table reflects the consideration paid and the preliminary fair value allocation of assets acquired and liabilities assumed as of the acquisition date: (In thousands) Purchase price allocation: Common stock issued $ 56,489 Cash paid 63,239 Total purchase price $ 119,728 Assets acquired: Cash and due from banks $ 229,213 Securities 33,407 Loans held for sale 6,200 Loans, net 1,000,382 Premises and equipment 15,152 Accrued interest receivable 1,441 Core deposit intangible 7,825 Other assets 4,584 Total assets acquired $ 1,298,204 Liabilities assumed: Deposits $ 1,212,712 Subordinated debentures 21,733 Other liabilities 4,187 Total liabilities assumed $ 1,238,632 Net assets acquired 59,572 Goodwill $ 60,156 In connection with the FTC Merger, the Company recorded a $7.8 million core deposit intangible, which will be amortized over 10 years. The Company also acquired loans with a fair value of $1.000 billion. The fair value of acquired loans at the time of acquisition is recorded as a premium or discount to the unpaid balance of each acquired loan. The net premium or discount is accreted or amortized into interest income over the remaining life of the loan. The Company recorded a net discount of $6.6 million on the acquired FTC loans, which included a credit mark discount of $15.7 million. Purchase credit impaired loans were insignificant. In the third quarter of 2022, the Company increased the fair value of other real estate and deferred tax assets resulting in a corresponding decrease to goodwill of $1.1 million. Revenues and earnings of the acquired company since the FTC Merger date have not been disclosed as it is not practicable as FTC was merged into BancPlus and separate financial information for FTC is not available. The following table presents unaudited pro forma information as if the FTC Merger had occurred on January 1, 2021. This pro forma information combines the historic consolidated results of operations of BancPlus and FTC after giving effect to certain adjustments, including purchase accounting fair value adjustments and amortization of intangibles, as well as the related income tax effects of those adjustments. The pro forma information does not necessarily reflect the results of operations that would have occurred had the FTC Merger occurred on January 1, 2021. Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share data) 2022 2021 2022 2021 Net interest income $ 62,029 $ 55,280 $ 165,082 $ 161,007 Other operating income 17,443 20,544 55,494 63,624 Net income available to common shareholders 19,268 18,514 47,576 57,363 Earnings per common share: Basic $ 1.68 $ 1.63 $ 4.16 $ 5.04 Diluted 1.68 1.61 4.13 4.99 |
Investment Securities
Investment Securities | 9 Months Ended |
Sep. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | Investment Securities The following is a summary of the amortized cost and fair value of securities available for sale. Amortized Gross Unrealized Fair (In thousands) Cost Gains Losses Value September 30, 2022: U.S. Treasuries $ 35,741 $ — $ 1,390 $ 34,351 U.S. Government agency obligations 405,428 140 37,885 367,683 Residential mortgage-backed securities 109,693 15 11,887 97,821 Commercial mortgage-backed securities 13,846 — 1,808 12,038 Asset-backed securities 11,094 137 144 11,087 Corporate investments 49,000 — 4,091 44,909 State and political subdivisions 50,437 2 3,670 46,769 Total available for sale $ 675,239 $ 294 $ 60,875 $ 614,658 December 31, 2021: U.S. Government agency obligations $ 354,774 $ 256 $ 4,780 $ 350,250 Residential mortgage-backed securities 107,772 2,312 297 109,787 Commercial mortgage-backed securities 14,286 41 51 14,276 Asset backed securities 12,730 421 44 13,107 Corporate investments 43,500 1,138 128 44,510 State and political subdivisions 43,596 1,200 112 44,684 Total available for sale $ 576,658 $ 5,368 $ 5,412 $ 576,614 Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific identification method. The following is a summary of the amortized cost and fair value of securities held to maturity. Amortized Gross Unrealized Fair (In thousands) Cost Gains Losses Value September 30, 2022: States and political subdivisions $ 65,889 $ — $ 384 $ 65,505 Total held to maturity $ 65,889 $ — $ 384 $ 65,505 December 31, 2021: States and political subdivisions $ 71,648 $ 436 $ — $ 72,084 Total held to maturity $ 71,648 $ 436 $ — $ 72,084 All mortgage-backed securities in the above tables were issued or guaranteed by U.S. government agencies or sponsored agencies. Provided below is a summary of investment securities that were in an unrealized loss position and the length of time that individual securities have been in a continuous loss position. Less Than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (In thousands) September 30, 2022: Available for sale: U.S. Treasuries $ 34,351 $ 1,390 $ — $ — 34,351 $ 1,390 U.S. Government agencies 149,098 13,997 214,034 23,888 363,132 37,885 Residential mortgage-backed securities 86,999 9,799 8,740 2,088 95,739 11,887 Commercial mortgage-backed securities 9,412 1,266 2,626 542 12,038 1,808 Asset backed securities 1,909 75 1,831 69 3,740 144 Corporate investments 40,379 3,622 4,530 469 44,909 4,091 States and political subdivisions 40,406 2,939 4,542 731 44,948 3,670 $ 362,554 $ 33,088 $ 236,303 $ 27,787 598,857 $ 60,875 Held to maturity: States and political subdivisions $ 9,758 $ 384 $ — $ — 9,758 $ 384 $ 9,758 $ 384 $ — $ — 9,758 $ 384 December 31, 2021: Available for sale: U.S. Government agencies $ 314,614 $ 4,780 $ — $ — 314,614 $ 4,780 Residential mortgage-backed securities 15,216 297 — — 15,216 297 Commercial mortgage-backed securities 8,376 51 — — 8,376 51 Asset backed securities 2,272 8 2,192 36 4,464 44 Corporate investments 11,372 128 — — 11,372 128 States and political subdivisions 6,117 112 — — 6,117 112 $ 357,967 $ 5,376 $ 2,192 $ 36 360,159 $ 5,412 The number of debt securities in an unrealized loss position increased from 82 at December 31, 2021 to 344 at September 30, 2022. The unrealized losses shown above are due to increases in market rates over the yields available at the time of purchase of the underlying securities and not credit quality. Because the Company does not intend to sell these securities and it is more likely than not that the Company will not be required to sell the investments before recovery of their amortized cost bases, which may be at maturity, the Company does not consider these investments to be impaired on an other-than-temporary basis at September 30, 2022. The amortized cost and fair value of debt securities, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because borrowers have the right to call or prepay certain obligations with, or without, call or prepayment penalties. Available for Sale Held to Maturity Amortized Fair Amortized Fair (In thousands) Cost Value Cost Value September 30, 2022: One year or less $ 34,491 $ 33,739 $ 7,868 $ 7,851 After one through five years 363,116 334,048 47,439 47,155 After five through ten years 153,343 134,894 8,372 8,289 After ten years 124,289 111,977 2,210 2,210 $ 675,239 $ 614,658 $ 65,889 $ 65,505 The following is a summary of the amortized cost and fair value for investment securities which were pledged to secure public deposits and for other purposes required or permitted by law. Available for Sale Held to Maturity Amortized Fair Amortized Fair (In thousands) Cost Value Cost Value September 30, 2022 $ 436,693 $ 393,434 $ 35,755 $ 35,433 December 31, 2021 $ 451,402 $ 450,480 $ 38,704 $ 39,102 |
Loans
Loans | 9 Months Ended |
Sep. 30, 2022 | |
Receivables [Abstract] | |
Loans | Loans The following is a summary of the Company’s loan portfolio by loan class. (In thousands) September 30, 2022 December 31, 2021 Secured by real estate: Residential properties $ 1,311,672 $ 774,699 Construction and land development 945,639 543,763 Farmland 273,575 211,503 Other commercial 2,145,785 1,396,085 Total real estate 4,676,671 2,926,050 Commercial and industrial loans 664,439 527,102 Agricultural production and other loans to farmers 90,647 86,520 Consumer and other loans 118,011 79,500 Total loans before allowance for loan losses $ 5,549,768 $ 3,619,172 Loans are stated at the amount of unpaid principal net of discounts and premiums on acquired loans, before allowance for loan losses. Interest on loans is calculated using the simple interest method on daily balances of the principal amount outstanding. Loan Origination/Risk Management/Credit Concentration – The Company has certain lending policies and procedures in place that are designed to maximize loan income within an acceptable level of risk. The Company’s Board of Directors reviews and approves these policies and procedures on a regular basis. Although the Company has a diversified loan portfolio, the Company has concentrations of credit risks related to the real estate market, including residential, commercial, and construction and land development lending. Most of the Company’s lending activity occurs within Mississippi, Louisiana, Alabama, and Florida. The risk characteristics of the Company’s material portfolio segments are as follows: Residential Real Estate Loans – The residential real estate loan portfolio consists of residential loans for single and multifamily properties. Residential loans are generally secured by owner occupied 1-4 family residences. Repayment of these loans is primarily dependent on the personal income and credit rating of the borrowers and can be impacted by economic conditions within their market area. Risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers. Commercial Real Estate Loans – Commercial real estate loans include construction and land development loans, loans secured by farmland and other commercial real estate loans. Construction and land development loans are usually based upon estimates of costs and estimated value of the completed project and include independent appraisal reviews and a financial analysis of the developers and property owners. Sources of repayment of these loans may include permanent loans, sales of developed property or an interim loan commitment from the Company until permanent financing is obtained. These loans are considered to be higher risk than other real estate loans due to their ultimate repayment being sensitive to interest rate changes, general economic conditions and the availability of long-term financing. Farmland loans are generally made for the purpose of acquiring land devoted to crop production or livestock, the propagation of timber or the operation of a similar type of business on the secured property. Sources of repayment for these loans generally include income generated from operations of a business on the property, rental income, or sales of timber. Repayment may be impacted by changes in economic conditions which affect underlying collateral values. Commercial real estate loans typically involve larger principal amounts and repayment of these loans is generally dependent on the successful operations of the property securing the loan or the business conducted on the property securing the loan. These loans are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Management monitors and evaluates commercial real estate loans based on collateral and risk grade criteria. Commercial and Industrial Loans – The commercial and industrial loan portfolio consists of loans to commercial customers for use in normal business operations to finance working capital needs, equipment purchase or other expansion projects. Commercial loan underwriting standards are designed to promote relationship banking rather than transactional banking and are underwritten based on the borrower’s expected ability to profitably operate its business. The cash flows of borrowers, however, may not be as expected and collateral securing these loans may fluctuate in value. Most commercial loans are secured by assets being financed or other business assets such as accounts receivable or inventory and may incorporate a personal guarantee. In the case of loans secured by accounts receivable, the availability of funds for repayment of these loans may be substantially dependent on the ability of the borrower to collect amounts due from its customers. Consumer and Other Loans – The consumer and other loan portfolio consists of various term and line of credit loans such as automobile loans and loans for other personal purposes. Repayment for these types of loans will come from a borrower’s income sources that are typically independent of the loan purpose. Credit risk is driven by consumer economic factors (such as unemployment and general economic conditions in the Company’s market area) and the creditworthiness of a borrower. Loans that are 30 days or more past due based on payments received and applied to the loan are considered delinquent. Accrual of interest is discontinued on a loan when management believes, after considering economic and business conditions and collection efforts, that a borrower's financial condition is such that collection of interest, but not necessarily principal, is doubtful. A loan is typically placed on non-accrual when the contractual payment of principal or interest becomes 90 days past due unless the loan is well-secured and in the process of collection. Loans may be placed on non-accrual status regardless of whether or not such loans are considered past due. Current year interest previously recorded, but deemed not collectible, is reversed and charged against current year income. Prior year interest previously recorded, but deemed not collectible, is charged against the allowance. Payments subsequently received on non-accrual loans are applied to principal. Interest income is recognized to the extent that cash payments are received in excess of principal due. A loan may return to accrual status when principal and interest payments are no longer past due and collectability is reasonably assured. The following table presents the recorded investment in nonaccrual loans, segregated by class. (In thousands) September 30, 2022 December 31, 2021 Secured by real estate: Residential properties $ 2,902 $ 3,154 Construction and land development 30 51 Farmland 960 1,327 Other commercial 1,502 1,176 Total real estate 5,394 5,708 Commercial and industrial loans 759 20 Agricultural production and other loans to farmers — 3 Consumer and other loans 26 166 Total nonaccrual loans $ 6,179 $ 5,897 An age analysis of past due loans (including both accruing and non-accruing loans) segregated by class of loans is as follows: (In thousands) Past Due 30-89 Days Past Due 90 Days or More Total Past Due Current Total Loans Past Due 90 Days or More and Accruing September 30, 2022 Secured by real estate: Residential properties $ 6,833 $ 1,674 $ 8,507 $ 1,303,165 $ 1,311,672 $ 829 Construction and land development 194 66 260 945,379 945,639 66 Farmland 313 1,039 1,352 272,223 273,575 75 Other commercial 819 916 1,735 2,144,050 2,145,785 287 Total real estate 8,159 3,695 11,854 4,664,817 4,676,671 1,257 Commercial and industrial loans 1,444 174 1,618 662,821 664,439 107 Agricultural production and other loans to farmers 181 168 349 90,298 90,647 168 Consumer loans 909 52 961 117,050 118,011 26 Total $ 10,693 $ 4,089 $ 14,782 $ 5,534,986 $ 5,549,768 $ 1,558 (In thousands) Past Due 30-89 Days Past Due 90 Days or More Total Past Due Current Total Loans Past Due 90 Days or More and Accruing December 31, 2021 Secured by real estate: Residential properties $ 4,537 $ 2,032 $ 6,569 $ 768,130 $ 774,699 $ 865 Construction and land development 367 1,085 1,452 542,311 543,763 1,085 Farmland 600 425 1,025 210,478 211,503 30 Other commercial 1,589 1,118 2,707 1,393,378 1,396,085 212 Total real estate 7,093 4,660 11,753 2,914,297 2,926,050 2,192 Commercial and industrial loans 824 623 1,447 525,655 527,102 606 Agricultural production and other loans to farmers 311 32 343 86,177 86,520 32 Consumer loans 374 250 624 78,876 79,500 84 Total $ 8,602 $ 5,565 $ 14,167 $ 3,605,005 $ 3,619,172 $ 2,914 Impaired Loans – Impaired loans include nonperforming loans, loans modified in troubled debt restructurings (“TDRs”) where concessions have been granted to borrowers experiencing financial difficulties, and certain other loans identified by management. Certain other loans identified by management consist of performing loans with specific allocations of the allowance for loan loss. Impaired loans, or portions thereof, are charged-off when deemed uncollectible. Impaired loans, segregated by class were as follows: September 30, 2022 Principal Recorded Related (In thousands) Balance Balance (1) Allowance Impaired loans with no related allowance: Secured by real estate: Residential properties $ 7,255 $ 4,752 $ — Construction and land development 2,273 908 — Farmland 1,387 969 — Other commercial 8,372 7,250 — Total real estate 19,287 13,879 — Commercial and industrial 15,173 11,710 — Agricultural production and other loans to farmers 36 — — Consumer and other loans 276 53 — Total $ 34,772 $ 25,642 $ — Impaired loans with related allowance: Secured by real estate: Residential properties $ 800 $ 800 $ 7 Construction and land development — — — Farmland — — — Other commercial — — — Total real estate 800 800 7 Commercial and industrial — — — Agricultural production and other loans to farmers — — — Consumer and other loans — — — Total 800 800 7 Total impaired loans $ 35,572 $ 26,442 $ 7 (1) Recorded balance represents the carrying value – the contractual principal obligation due from the customer less charge offs and payments applied. December 31, 2021 Principal Recorded Related (In thousands) Balance Balance (1) Allowance Impaired loans with no related allowance: Secured by real estate: Residential properties $ 7,667 $ 5,034 $ — Construction and land development 3,615 1,649 — Farmland 3,413 2,859 — Other commercial 2,671 1,300 — Total real estate 17,366 10,842 — Commercial and industrial 17,528 17,300 — Agricultural production and other loans to farmers 105 15 — Consumer and other loans 249 166 — Total $ 35,248 $ 28,323 $ — Impaired loans with related allowance: Secured by real estate: Residential properties $ 813 $ 813 $ 9 Construction and land development — — — Farmland — — — Other commercial 1,906 1,906 304 Total real estate 2,719 2,719 313 Commercial and industrial 4,542 4,542 1,701 Agricultural production and other loans to farmers — — — Consumer and other loans — — — Total 7,261 7,261 2,014 Total impaired loans $ 42,509 $ 35,584 $ 2,014 (1) Recorded balance represents the carrying value – the contractual principal obligation due from the customer less charge-offs and payments applied. The average recorded investment and interest recognized for impaired loans for the nine months ended September 30, 2022 and 2021 are presented below. Three Months Ended September 30, 2022 2021 Average Interest Average Interest (In thousands) Investment Recognized Investment Recognized Secured by real estate: Residential properties $ 5,034 $ 47 $ 6,123 $ 42 Construction and land development 881 22 1,139 23 Farmland 965 — 11,150 104 Other commercial 6,066 68 5,046 14 Total real estate 12,946 137 23,458 183 Commercial and industrial 12,165 282 21,728 281 Agricultural production and other loans to farmers 5 1 146 3 Consumer loans 45 — 210 — Total $ 25,161 $ 420 $ 45,542 $ 467 Nine Months Ended September 30, 2022 2021 Average Interest Average Interest (In thousands) Investment Recognized Investment Recognized Secured by real estate: Residential properties $ 5,274 $ 66 $ 6,489 $ 106 Construction and land development 1,221 77 2,107 80 Farmland 1,838 — 10,452 356 Other commercial 5,239 131 6,827 129 Total real estate 13,572 274 25,875 671 Commercial and industrial 14,936 506 20,076 753 Agricultural production and other loans to farmers 9 1 94 3 Consumer loans 64 — 191 — Total $ 28,581 $ 781 $ 46,236 $ 1,427 |
Allowance for Loan Losses
Allowance for Loan Losses | 9 Months Ended |
Sep. 30, 2022 | |
Receivables [Abstract] | |
Allowance for Loan Losses | Allowance for Loan Losses As management evaluates the allowance for loan losses, it is categorized as follows: (1) specific allocations; (2) allocations for classified assets with no specific allowance, based on historical loan experience for similar loans with similar characteristics, adjusted as necessary, to reflect the impact of current conditions; and (3) general allocations for each major loan category for loans not deemed impaired or classified, segmented by loan class based on historical loss experience and other risk factors. In assessing general economic conditions, management monitors several factors, including regional and national economic conditions, real estate market conditions and recently enacted regulations with potential economic effects. Credit Quality Indicators – The Company utilizes a risk grading matrix to assign a grade to each of its commercial and real estate loans. Loans are rated on a scale of 1 to 10. A description of the general characteristics of the 10 risk ratings is as follows: • Risk Grades 1, 2, 3, 4 and 5 – These grades include loans to borrowers of solid credit quality with no higher than normal risk of loss. Borrowers in these categories have satisfactory financial strength and adequate cash flow coverage to service debt requirements. Collateral type and quality, as well as protection, are adequate. The borrower’s management is strong and capable, financial information is timely and accurate, and guarantor support is strong. • Risk Grade 6 – Pass and Watch – Loans in this category are currently protected, but risks are emerging that warrant more than normal attention and have above average risk of loss. These factors require a higher level of monitoring and may include emerging balance sheet weaknesses, strained liquidity, increased leverage ratio, and weakening management. Collateral support is less marketable or limited use and, although the protection is sufficient, the loan-to-value ratio may not meet policy guidelines. Guarantors may have a limited ability and willingness to provide intermediate support. Also, considerations surrounding industry deterioration, increased competition and minor policy exceptions concerning structure or amortization may affect the rating of these loans. • Risk Grade 7 – Special Mention – The Company’s special mention rating is intended to closely align with the regulatory definition. A special mention asset has potential weaknesses that deserve management’s close attention. If left uncorrected, these weaknesses may result in deterioration of repayment prospects. These weaknesses may include deteriorating balance sheets, strained liquidity and elevated leverage ratios. Cash flow and profitability are marginally sufficient to service debt and collateral is exhibiting signs of decline in value; however, protection is currently sufficient. Limited management experience or weaknesses have emerged requiring more than normal supervision and uncertainties regarding the quality of the financials are not explained. Guarantor has very limited ability and willingness to provide short-term support. Moderate policy exceptions concerning structure or amortization may be considered in order to provide relief to the borrower. Special mention assets are not adversely classified and do not expose an institution to sufficient risk to warrant adverse classification. • Risk Grade 8 – Substandard – A loan in this category is inadequately protected by the current net worth and paying capacity of the borrower or of the collateral pledged. Assets so classified have a well-defined weakness that jeopardizes the liquidation of the debt. Factors affecting these loans may include balance sheet deterioration that has resulted in illiquid, highly leveraged or deficit net worth, cash flow that is not able to service debts as structured, collateral protection that may be inadequate, guarantor support that may be virtually non-existent, and management that is poor. Loans may require a major policy exception concerning structure or amortization. They are characterized by the distinct possibility that the Company will incur some loss if the deficiencies are not corrected. • Risk Grade 9 – Doubtful – Loans classified doubtful have all the weaknesses inherent in those classified substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently known facts, conditions and values, highly questionable and improbable. • Risk Grade 10 – Loss – Loans are considered uncollectible and of such little value that continuing to carry them as an active asset is not warranted. It does not mean that there will be no recovery, but, rather, it is not practical or desirable to defer writing off these assets even though a partial recovery may be possible in the future. Classified loans for the Company include loans in Risk Grades 8, 9 and 10. Loans may be classified but not considered impaired, due to one of the following reasons: (i) the loan falls below the established minimum dollar thresholds for loan impairment testing or (ii) the loan was tested for impairment, but not deemed to be impaired. The following table summarizes the credit quality of the Company’s loan portfolio by loan class for the period indicated: Risk Grades Risk Grade Risk Grade Risk Grade (In thousands) 1-6 7 8 9 Total September 30, 2022 Secured by real estate: Residential properties $ 1,298,704 $ 26 $ 12,899 $ 43 $ 1,311,672 Construction and land development 939,982 4,107 1,550 — 945,639 Farmland 270,512 — 3,063 — 273,575 Other commercial 2,134,357 116 11,312 — 2,145,785 Total real estate 4,643,555 4,249 28,824 43 4,676,671 Commercial and industrial 651,158 — 13,274 7 664,439 Agricultural production and other loans to farmers 90,192 — 368 87 90,647 Consumer and other loans 117,798 — 213 — 118,011 Total $ 5,502,703 $ 4,249 $ 42,679 $ 137 $ 5,549,768 Risk Grades Risk Grade Risk Grade Risk Grade (In thousands) 1-6 7 8 9 Total December 31, 2021 Secured by real estate: Residential properties $ 763,116 $ — $ 11,583 $ — $ 774,699 Construction and land development 537,573 4,097 2,093 — 543,763 Farmland 208,318 — 3,185 — 211,503 Other commercial 1,386,240 — 9,845 — 1,396,085 Total real estate 2,895,247 4,097 26,706 — 2,926,050 Commercial and industrial 503,603 — 23,496 3 527,102 Agricultural production and other loans to farmers 86,292 — 228 — 86,520 Consumer and other loans 79,176 — 306 18 79,500 Total $ 3,564,318 $ 4,097 $ 50,736 $ 21 $ 3,619,172 Transactions in the allowance for loan losses and balances in the loan portfolio by loan segment are as follows: (In thousands) Commercial Commercial Residential Consumer Total Three Months Ended September 30, 2022 Allowance for loan losses: Beginning balance $ 4,126 $ 27,957 $ 9,274 $ 1,996 $ 43,353 Provision for loan losses 1,331 (1,169) 193 134 489 Recoveries on loans 34 272 49 486 841 Loans charged off (774) (240) (3) (1,133) (2,150) Ending balance $ 4,717 $ 26,820 $ 9,513 $ 1,483 $ 42,533 Nine Months Ended September 30, 2022 Allowance for loan losses: Beginning balance $ 6,556 $ 27,133 $ 9,488 $ 1,823 $ 45,000 Provision for loan losses (200) (459) 650 949 940 Recoveries on loans 114 826 158 2,047 3,145 Loans charged off (1,753) (680) (783) (3,336) (6,552) Ending balance $ 4,717 $ 26,820 $ 9,513 $ 1,483 $ 42,533 Period End Allowance Balance Allocated To: Individually evaluated for impairment $ — $ — $ 7 $ — $ 7 Collectively evaluated for impairment 4,717 26,820 9,506 1,483 42,526 Ending balance $ 4,717 $ 26,820 $ 9,513 $ 1,483 $ 42,533 (In thousands) Commercial and Industrial Commercial Real Estate Residential Consumer and other Total Three Months Ended September 30, 2021 Allowance for loan losses: Beginning balance $ 6,493 $ 23,051 $ 10,234 $ 2,226 $ 42,004 Provision for loan losses (565) 616 352 1,066 1,469 Recoveries on loans 175 1,625 59 449 2,308 Loans charged off (37) (349) (122) (1,272) (1,780) Balance, end of year $ 6,066 $ 24,943 $ 10,523 $ 2,469 $ 44,001 Nine Months Ended September 30, 2021 Allowance for loan losses: Beginning balance $ 6,337 $ 20,163 $ 7,900 $ 1,600 $ 36,000 Provision for loan losses (433) 3,481 2,581 1,766 7,395 Recoveries on loans 479 2,277 340 2,046 5,142 Loans charged off (317) (978) (298) (2,943) (4,536) Ending balance $ 6,066 $ 24,943 $ 10,523 $ 2,469 $ 44,001 Period End Allowance Balance Allocated To: Individually evaluated for impairment $ 991 $ 276 $ 9 $ — $ 1,276 Collectively evaluated for impairment 5,075 24,667 10,514 2,469 42,725 Ending balance $ 6,066 $ 24,943 $ 10,523 $ 2,469 $ 44,001 The following table provides the recorded investment in loans, net of unearned income, based on the Company’s impairment methodology as of the dates presented: (In thousands) Commercial and Industrial Commercial Real Estate Residential Consumer and other Total September 30, 2022 Individually evaluated for impairment $ 10,952 $ 4,811 $ 1,603 $ — $ 17,366 Collectively evaluated for impairment 653,487 3,360,188 1,310,069 208,658 5,532,402 Ending balance $ 664,439 $ 3,364,999 $ 1,311,672 $ 208,658 $ 5,549,768 December 31, 2021 Individually evaluated for impairment $ 21,822 $ 3,434 $ 1,640 $ 166 $ 27,062 Collectively evaluated for impairment 505,280 2,147,917 773,059 165,854 3,592,110 Ending balance $ 527,102 $ 2,151,351 $ 774,699 $ 166,020 $ 3,619,172 |
Regulatory Matters
Regulatory Matters | 9 Months Ended |
Sep. 30, 2022 | |
Regulatory Matters [Abstract] | |
Regulatory Matters | Regulatory Matters The Company (on a consolidated basis) and the Bank are subject to various regulatory capital requirements administered by state and federal banking agencies. Failure to meet minimum capital requirements triggers certain mandatory, and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the consolidated financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. The U.S. capital rules, which in substance adopted the international Basel III Capital Rules and accordingly are referred to as the Basel III rules, became effective for both the Company and the Bank on January 1, 2015, with full compliance with all of the requirements being phased in over a multi-year schedule and fully phased in by January 1, 2019. The Basel III rules require banking institutions to comply with three minimum risk-based capital ratios for common equity Tier 1 (“CET1”) capital, Tier 1 capital, and total capital, as well as a minimum leverage ratio based on Tier 1 capital. Under the Basel III rules, the Company must maintain a capital conservation buffer of CET1 capital above the minimum risk-based capital ratios. The capital conservation buffer is designed to absorb losses during periods of economic stress and effectively increases the minimum required risk-weighted capital ratios. If, after deducting the buffer amount from its CET1 capital, Tier 1 capital, and total capital, any of these amounts results in a risk-based capital ratio below the minimum, a banking institution will face constraints on dividends, equity repurchases and compensation based on the amount of the shortfall. The capital conservation buffer, which is 2.50%, is included in the minimum capital requirements relative to risk-weighted assets in the following table. In 2019, the federal bank regulatory agencies finalized a rule that simplifies capital requirements for qualifying community banks by providing an option to use a simple leverage ratio to measure capital adequacy and to not calculate risk-based capital ratios. A qualifying community bank has less than $10 billion in total consolidated assets, limited amounts of off-balance-sheet exposures and trading assets and liabilities, and a leverage ratio greater than 9.0% percent. The community bank leverage ratio (“CBLR”) framework was effective on January 1, 2020, and the Company and the Bank elected to adopt the optional CBLR framework in the third quarter of 2022, as an alternative to the Basel III risk-based capital framework. Management believes as of September 30, 2022 and December 31, 2021, the Company and the Bank met the minimum leverage ratio or capital requirements to which they are subject. The Bank is also subject to capital requirements under the prompt corrective action regime. As of September 30, 2022, the Bank maintained each of the capital ratios required to be categorized as well capitalized under the regulatory framework for prompt corrective action. The prompt corrective action framework applies only to insured depository institutions, such as the Bank, and not to their holding companies, such as the Company. For the period ended September 30, 2022, the Company and the Bank elected to adopt the CBLR framework, which provides for the Company and the Bank to be categorized as well capitalized based on a single capital ratio, the CBLR. Prior to the adoption of the CBLR framework, including at December 31, 2021, the Bank was required to maintain certain ratios of CET1 capital, Tier 1 capital and total capital to risk-weighted assets, and of Tier 1 capital to adjusted quarterly average assets to be categorized as well capitalized. There are no conditions or events since September 30, 2022 that management believes have changed the Bank’s category. The amounts of the Bank’s capital relative to the standards for well capitalized status are set forth in the following table. At December 31, 2021, the Company’s and the Bank’s CET1 capital includes total common equity reduced by goodwill and other intangible assets, net of associated deferred tax liabilities. In connection with the adoption of Basel III, the Company elected to opt out of the requirement to include most components of accumulated other comprehensive income (loss) in CET1 capital. Tier 1 capital includes CET1 capital and additional Tier 1 capital. For the Company, additional Tier 1 capital at December 31, 2021 included $51.0 million of trust preferred securities issued by the trusts (net of investment in the trusts). The Bank did not have any additional Tier 1 capital beyond CET1 capital as of December 31, 2021. Total capital includes Tier 1 capital and Tier 2 capital. Tier 2 capital for both the Company and the Bank includes a permissible portion of the allowance for loan losses. In addition, Tier 2 capital at December 31, 2021 for the Company includes $58.8 million of subordinated debentures. Capital levels required to be considered well capitalized are based upon prompt corrective action regulations. The following table presents actual and required capital ratios for the Company and the Bank. Actual Minimum Requirement to be Well Capitalized (In thousands) Capital Amount Ratio Capital Amount Ratio September 30, 2022: Company: Community Bank Leverage Ratio 708,028 10.69 % 595,970 9.00 % Bank: Community Bank Leverage Ratio 622,789 9.41 % 595,436 9.00 % Actual Minimum Requirement Required to be (In thousands) Capital Amount Ratio Capital Amount Ratio Capital Amount Ratio December 31, 2021: Company: CET1 Capital to Risk-Weighted Assets $ 382,736 9.40 % $ 285,078 7.00 % N/A N/A Tier 1 Capital to Risk-Weighted Assets 433,754 10.65 % 346,166 8.50 % N/A N/A Total Capital to Risk-Weighted Assets 537,541 13.20 % 427,617 10.50 % N/A N/A Tier 1 Capital to Average Assets 433,754 8.46 % 205,072 4.00 % N/A N/A Bank: CET1 Capital to Risk-Weighted Assets $ 428,602 10.55 % $ 284,509 7.00 % $ 264,187 6.50 % Tier 1 Capital to Risk-Weighted Assets 428,602 10.55 % 345,475 8.50 % 325,153 8.00 % Total Capital to Risk-Weighted Assets 473,602 11.65 % 426,763 10.50 % 406,441 10.00 % Tier 1 Capital to Average Assets 428,602 8.37 % 204,714 4.00 % 255,893 5.00 % |
Fair Value
Fair Value | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Fair Value Financial Instruments Measured at Fair Value Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The Company groups its assets and liabilities measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. Valuations within these levels are based upon: Level 1 Unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access as of the measurement date Level 2 Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities Level 3 Unobservable inputs that are significant to the fair value of the assets or liabilities that reflect a company’s own assumptions about the assumptions that market participants would use in pricing assets or liabilities Management monitors the availability of observable market data to assess the appropriate classification of assets and liabilities within the fair value hierarchy. Changes in economic conditions or model-based valuation techniques may require the transfer of financial instruments from one fair value level to another. In such instances, the transfer is reported at the beginning of the reporting period. There were no transfers of financial instruments between fair value levels for any period presented. The Company used the following methods and significant assumptions to estimate fair value. Securities – The Company utilizes an independent pricing service to advise it on the value of the securities portfolio. Where quoted market prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics or discounted cash flows. For these investments, the inputs used by the pricing service to determine fair value may include one, or a combination of several, observable inputs such as benchmark yields, reported trades, benchmark securities, bids, offers and reference data market research publications and are classified within Level 2 of the valuation hierarchy. In certain cases where Level 1 or Level 2 inputs are not available, securities are classified within Level 3 of the hierarchy. For Level 3 securities, in addition to the inputs noted above, inputs used by the pricing service to determine fair value may also include estimated duration, municipal bond interest rate curve, and tax effected yield. There were no Level 3 securities as of September 30, 2022 or December 31, 2021. The Company’s treasury department and Asset Liability Management Committee review the aggregate fair values of the securities portfolio. Impaired loans – Loans for which it is probable that the Company will not collect all principal and interest due according to contractual terms are measured for impairment on a non-recurring basis. Allowable methods for determining the amount of impairment include estimating fair value using the fair value of the collateral for collateral-dependent loans. Specific allowances for impaired loans are based on comparisons of the recorded carrying values of the loans to the present value of the estimated cash flows of these loans at each loan’s effective interest rate or the fair value of the collateral net of selling costs if the loan is collateral dependent. Impaired loans are primarily collateral dependent loans and are assessed using a fair value approach. Fair value estimates for collateral dependent loans are derived from appraised values based on the current market value or as-is value of the property being appraised. Appraisals are based on certain assumptions, which may include construction or development status and the highest and best use of the property. The appraisals are reviewed by the Company’s appraisal department to ensure they are acceptable. Impaired loans are classified within Level 3 of the fair value hierarchy. Impaired loans are evaluated on a quarterly basis for additional impairment and adjusted in accordance with the allowance policy. Other Real Estate Owned – Other real estate owned is initially recorded at fair value less cost to sell at the date of foreclosure, establishing a new cost basis. These assets are subsequently accounted for at lower of cost or fair value less estimated cost to sell. Fair value estimates begin with obtaining a current independent appraisal or internal evaluation of the collateral value. Subsequent to foreclosure, valuations are performed periodically by the Company’s appraisal department and any subsequent reduction in value is recognized by a charge to income. Appraisals for both collateral-dependent impaired loans and other real estate owned are performed by certified appraisers whose qualifications and licenses have been reviewed by the Company. These appraisals are reviewed by a member of the Company’s appraisal department to ensure they are acceptable. Appraised values are adjusted down for costs associated with asset disposal. The significant unobservable inputs (Level 3) used in the fair value measurement of collateral for collateral impaired loans and other real estate owned are primarily based on appraisals, observable market conditions, and other factors which may affect collectability. The appraisals use marketability and comparability discounts, which generally range from 5% to 15%. Assessment of the significance of a specific input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset. It is reasonably possible that a change in the estimated fair value for assets measured using Level 3 inputs could occur in the future. Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Fair Value Measurements Using (In thousands) Value Level 1 Level 2 Level 3 September 30, 2022 U.S. Treasuries $ 34,351 $ — $ 34,351 $ — U.S. Government agency obligations 367,683 — 367,683 — Residential mortgage-backed securities 97,821 — 97,821 — Commercial mortgage-backed securities 12,038 — 12,038 — Asset-backed securities 11,087 — 11,087 — Corporate investments 44,909 — 44,909 — State and political subdivisions 46,769 — 46,769 — Total securities available for sale $ 614,658 $ — $ 614,658 $ — December 31, 2021 U.S. Government agency obligations $ 350,250 $ — $ 350,250 $ — Residential mortgage-backed securities 109,787 — 109,787 — Commercial mortgage-backed securities 14,276 — 14,276 — Asset backed securities 13,107 — 13,107 — Corporate investments 44,510 — 44,510 — State and political subdivisions 44,684 — 44,684 — Total securities available for sale $ 576,614 $ — $ 576,614 $ — Assets measured at fair value on a non-recurring basis are summarized below. Fair Fair Value Measurements Using (In thousands) Value Level 1 Level 2 Level 3 Impaired loans, net of allowance for loan losses: September 30, 2022 $ 26,435 $ — $ — $ 26,435 December 31, 2021 $ 33,570 $ — $ — $ 33,570 Other real estate owned: September 30, 2022 $ 4,850 $ — $ — $ 4,850 December 31, 2021 $ 5,815 $ — $ — $ 5,815 The following table presents quantitative information about Level 3 fair value measurements for assets measured at fair value on a non-recurring basis. Qualitative Information about Level 3 Fair Value Measurements (In thousands) Carrying Valuation Unobservable Range Weighted Average September 30, 2022 Impaired loans, net of specific allowance $ 26,435 Third-party appraisals Selling costs 5% - 10% 6% Other real estate owned $ 4,850 Third-party appraisals and internal evaluations Selling costs 5% - 10% 6% Qualitative Information about Level 3 Fair Value Measurements (In thousands) Carrying Valuation Unobservable Range Weighted Average December 31, 2021 Impaired loans, net of specific allowance $ 33,570 Third-party appraisals Selling costs 5% - 10% 6% Other real estate owned $ 5,815 Third-party appraisals and internal evaluations Selling costs 5% - 10% 6% Fair Value of Financial Instruments GAAP requires disclosure of fair value information about financial instruments, whether or not recognized on the balance sheet, that are not measured and reported at fair value on a recurring or non-recurring basis. Because no market exists for a significant portion of the Company’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions significantly affect the estimates and, as such, the derived fair value may not be indicative of the value negotiated in an actual sale and may not be comparable to that reported by other financial institutions. In addition, the fair value estimates are based on existing financial instruments without attempting to estimate the value of anticipated business and the value of assets and liabilities that are not considered financial instruments. In addition, the tax ramifications related to the realization of unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimates. The following table presents estimated fair values of the Company’s financial instruments not previously disclosed: September 30, 2022 December 31, 2021 (In thousands) Carrying Fair Carrying Fair Financial assets: Level 1 inputs: Cash and cash equivalents $ 172,285 $ 172,285 $ 664,165 $ 664,165 Level 2 inputs: Securities held to maturity 65,889 65,505 71,648 72,084 FHLB stock 16,759 16,759 2,731 2,731 Accrued interest receivable 20,315 20,315 14,329 14,329 Level 3 inputs: Loans held for sale 4,199 4,199 10,621 10,621 Loans, net 5,507,235 5,457,342 3,574,172 3,548,595 Financial liabilities: Level 2 inputs: Deposits 5,594,217 5,050,544 4,622,116 4,493,657 FHLB and other borrowings 310,099 310,205 20,501 21,024 Subordinated debentures 133,430 139,267 111,509 111,509 Accrued interest payable 2,949 2,949 1,425 1,425 |
Subordinated Debentures and Tru
Subordinated Debentures and Trust Preferred Securities | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Subordinated Debentures and Trust Preferred Securities | Subordinated Debentures and Trust Preferred Securities Subordinated Debentures On June 4, 2020, the Company entered into a Subordinated Note Purchase Agreement with certain qualified institutional buyers and institutional accredited investors pursuant to which the Company issued and sold $60.0 million in aggregate principal amount of its 6.000% Fixed-to-Floating Rate Subordinated Notes due June 15, 2030 (the “Notes”). The Company incurred issuance costs of $1.4 million in conjunction with the issuance of the Notes. These issuance costs are netted with the balance of the Notes on the Company’s Consolidated Balance Sheets and will be amortized over the life of the Notes. At September 30, 2022 and December 31, 2021, the remaining unamortized balance of these issuance costs was $1.1 million and $1.2 million, respectively. The Notes initially bear interest at a rate of 6.000% per annum from and including June 4, 2020, to but excluding June 15, 2025 or the early redemption date, with interest during this period payable semiannually in arrears. From and including June 15, 2025, to but excluding the maturity date or early redemption date, the interest rate will reset quarterly to an annual floating rate equal to Three-Month Term Secured Overnight Financing Rate plus 586 basis points, with interest during this period payable quarterly in arrears. The Company used the proceeds of the private placement for general corporate purposes, including improving the Company’s liquidity and capital position. The Notes are not redeemable by the Company, in whole or in part, prior to the fifth anniversary of the original date of issue, except that the Notes may be redeemed at any time in whole but not in part in the event of a Tier 2 Capital Event, a Tax Event, or an Investment Company Event, each as defined and described in the Notes. On or after the fifth anniversary of the original date of issue, the Notes are redeemable on any interest payment date at the option of the Company, in whole or in part in integral multiples of $1,000, at an amount equal to 100% of the outstanding principal amount redeemed plus accrued but unpaid interest thereon. Any partial redemption will be made on a pro rata basis as to the holders of the Notes. Any redemption of the Notes is subject to any applicable regulatory requirements and approvals. Effective March 1, 2022, in conjunction with the FTC Merger, the Company assumed FTC’s obligations under its Subordinated Note Purchase Agreement, dated as of December 23, 2020, and the several purchasers of the $21.0 million aggregate principal amount of 5.50% Fixed-to-Floating Rate Subordinated Notes due 2030 issued thereunder (the “Subordinated Notes”). The Subordinated Notes will mature on December 30, 2030 and bear interest at an initial fixed rate of 5.50% per annum, payable semi-annually in arrears. From and including December 30, 2025, to but excluding the maturity date or early redemption date, the interest rate will reset quarterly to a Three-Month Term Secured Overnight Financing Rate plus 527 basis points, payable quarterly in arrears. BancPlus will be entitled to redeem the Subordinated Notes, in whole or in part, on any interest payment date on or after December 30, 2025, and to redeem the Subordinated Notes in whole upon certain other events. The Subordinated Notes are not subject to redemption at the option of the holder. The Subordinated Notes are unsecured, subordinated obligations of BancPlus only and are not obligations of, and are not guaranteed by, any subsidiary of BancPlus. The Subordinated Notes rank junior in right to payment to BancPlus’ current and future senior indebtedness. The Subordinated Notes have been structured to qualify as Tier 2 capital for regulatory capital purposes. The Subordinated Notes vary from the amount carried on the Consolidated Balance Sheets at September 30, 2022 due to the remaining purchase premium of $633,000, which was established upon closing of the FTC Merger and is being amortized over the remaining life of the debentures. Trust Preferred Securities The Company also owns the outstanding common stock of business trusts that have issued preferred capital securities to third parties. Under a grandfathering provision in the Basel III capital rules that applies to bank holding companies with less than $15 billion in total consolidated assets, these preferred capital securities have qualified as Tier 1 capital for the Company, subject to regulatory rules and limits. These trusts used the proceeds from the issuance of the common stock and the preferred capital securities to purchase subordinated debentures issued by the Company. These subordinated debentures are these trusts’ only assets, and quarterly interest payments on these subordinated debentures are the sole source of cash for these trusts to pay quarterly distributions on the common stock and preferred capital securities. The Company has fully and unconditionally guaranteed the trusts’ obligations with respect to the preferred capital securities. The Company has the right to defer the payment of interest on the subordinated debentures at any time, or from time to time, for periods not exceeding five years. If interest payments on the subordinated debentures are deferred, the distributions on the trust preferred securities are also deferred. Interest on the subordinated debentures and distributions on the trust preferred securities are cumulative. The following is a summary of subordinated debentures payable to statutory trusts. (In thousands) Year of Interest September 30, December 31, First Bancshares of Baton Rouge Statutory Trust I 2034 3 month LIBOR, plus 2.50% $ 4,124 $ 4,124 State Capital Statutory Trust IV 2035 3 month LIBOR, plus 1.99% 5,155 5,155 BancPlus Statutory Trust II 2036 3 month LIBOR, plus 1.50% 20,619 20,619 BancPlus Statutory Trust III 2037 3 month LIBOR, plus 1.35% 20,619 20,619 State Capital Master Trust 2037 3 month LIBOR, plus 1.46% 6,186 6,186 $ 56,703 $ 56,703 The subordinated debentures payable to statutory trusts vary from the amount carried on the Consolidated Balance Sheets at September 30, 2022 due to the remaining purchase discount of $3.8 million, which was established upon the merger with State Capital Corp. (“SCC”), in which BancPlus acquired SCC, the holding company of State Bank & Trust Company (“State Bank”) by a statutory share exchange and SCC was merged with and into BancPlus and State Bank was merged with and into BankPlus, with BancPlus and BankPlus surviving the mergers, which closed on April 1, 2020, and is being amortized over the remaining life of the debentures. Interest rates adjust quarterly for the subordinated debentures with rates that are indexed with LIBOR. On March 15, 2022 the Adjustable Interest Rate (LIBOR) Act was signed into law as part of the Consolidated Appropriations Act, 2022. The Adjustable Interest Rate (LIBOR) Act establishes a nationwide process for replacing LIBOR in financial contracts that mature after the cessation of the overnight, one-, three-, six- and 12-month U.S. dollar LIBOR tenors on June 30, 2023 and that do not provide for an effective means to replace LIBOR upon its cessation. For contracts in which a party has the discretion to identify a replacement rate, the Act also provides a safe harbor to parties if they choose the Secured Overnight Financing Rate (“SOFR”)-based benchmark replacement rate to be identified by the Board of Governors of the Federal Reserve System. We are currently monitoring these developments to determine any potential impact on the subordinated debentures. The Company has the right to redeem the subordinated debentures prior to maturity. Upon redemption of the subordinated debentures payable to a statutory trust, the trust will also liquidate its common stock and preferred capital securities. |
Employee Benefits
Employee Benefits | 9 Months Ended |
Sep. 30, 2022 | |
Postemployment Benefits [Abstract] | |
Employee Benefits | Employee Benefits The Company has an Employee Stock Ownership Plan (“ESOP”) that covers all employees of the Bank who are at least 21 years of age and work in a position requiring at least one thousand hours of service annually. The plan also has 401(k) provisions that allow for employee tax deferred contributions. Participants may make contributions to the ESOP in accordance with applicable regulations and the ESOP’s provisions. The Company makes a “safe harbor” matching contribution on the first 3% of an employee’s salary deferral contributions, plus an additional matching contribution equal to 50% of the next 2% of an employee’s salary deferral contributions in excess of 3%. Additional contributions are made to the ESOP at the discretion of the Company’s Board of Directors. The ESOP owned 1,452,950 and 1,500,732 shares of the Company's common stock at September 30, 2022 and December 31, 2021, respectively. The ESOP entered into loans, collateralized by ESOP shares, with the Company in connection with the repurchase of shares of Company stock that were sold by participants in accordance with diversification provisions of the ESOP. A total of 176,786 shares were repurchased through 2011, an additional 77,000 shares were repurchased under this program in 2012, and 27,594 shares were repurchased under this program in 2019. These unallocated shares were released to participants proportionately as the loans were repaid. Dividends on allocated shares were recorded as dividends and charged to retained earnings. Dividends on unallocated shares that were used to repay the loan were treated as compensation expense. As of September 30, 2022, the ESOP had zero outstanding loans with the Company. The following table presents information related to the Company’s ESOP-owned shares. (In thousands, except share data) September 30, 2022 December 31, 2021 Allocated shares 1,452,950 1,472,334 Unearned shares — 28,398 Total ESOP shares 1,452,950 1,500,732 Fair value of unearned shares $ — $ 1,938 Distributions of the ESOP may be either in cash or Company common stock. The allocated shares are subject to a put option, whereby the Company will provide a market for a specified period of time for shares distributed to participants. The put price is the appraised value of the stock. The fair value of allocated shares of common stock held by the ESOP are deducted from permanent shareholders’ equity in the Consolidated Balance Sheets and reflected in a line item below liabilities and above shareholders’ equity. This presentation is necessary in order to recognize the put option within the ESOP-owned shares, consistent with U.S. Securities and Exchange Commission guidelines, that is present as long as the Company is not publicly traded. The Company uses a valuation by an external third party to determine the maximum possible cash obligation related to these securities. Increases or decreases in the value of the cash obligation are included in a separate line item in the Consolidated Statements of Shareholders’ Equity. The fair value of allocated shares held by the ESOP at September 30, 2022 was $93.4 million, based on the Company’s previously disclosed appraised value of $64.25 per share of common stock. The fair value at December 31, 2021 was $100.5 million, based on the Company’s previously disclosed appraised value of $68.25 per share of common stock. As previously disclosed, these appraised values were determined solely for purposes of the ESOP’s administration and are therefore subject to certain limitations, qualifications and assumptions and may not reflect the fair value of the Company’s common stock and should not be relied on for any reason. Neither the Company nor the ESOP has any obligation to seek an adjusted valuation, to use these appraised values for any other purpose or, if the Company or the ESOP obtains a new appraised value, to disclose such new appraised value. |
Equity
Equity | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Equity | Equity The Company’s Articles of Incorporation authorize 10,000,000 shares of preferred stock with no par value, which may be issued from time to time and in one or more classes or series upon authorization of the Board of Directors. On June 22, 2022, the Company entered into a Letter Agreement (including annexes thereto, collectively, the “Purchase Agreement”) with the U.S. Department of Treasury (the “Treasury”) under the Emergency Capital Investment Program (“ECIP”). Pursuant to the Purchase Agreement, the Company agreed to issue and sell 250,000 shares of the Company’s preferred stock designated as Senior Non-Cumulative Perpetual Preferred Stock, Series ECIP (the “Preferred Stock”) for an aggregate purchase price of $250.0 million in cash. The Preferred Stock was issued in a private placement exempt from registration pursuant to Section 4(a)(2) of the Securities Act of 1933, as amended. The Preferred Stock bears no dividend for the first two years following the issuance of the Preferred Stock. Thereafter, the annual dividend rate will be adjusted, not lower than 0.5% and not higher than 2.0%, based on our extension of credit for qualified lending as defined in the terms of the ECIP Interim Final Rule, the Purchase Agreement and the Certificate of Designations (the “Certificate of Designations”) and the investment amount. After the tenth anniversary of the issuance of the Preferred Stock, the dividend rate will be fixed based on the average annual amount of lending in years 2 through 10 compared to the baseline qualified lending and the average investment amount. The dividends will be payable quarterly in arrears on March 15, June 15, September 15, and December 15. The Preferred Stock may be redeemed at the option of the Company on or after September 15, 2027 (or earlier in the event of loss of regulatory capital treatment), subject to the approval of the appropriate federal banking regulator and in accordance with the federal banking agencies’ regulatory capital regulations. The restrictions on redemption are set forth in the Certificate of Designations filed with the Mississippi Secretary of State for the purpose of amending its Articles of Incorporation to fix the designations, preferences, limitations and relative rights of the Preferred Stock as described in Item 5.03 of our Current Report on Form 8-K filed with the SEC on June 23, 2022. In the Purchase Agreement, the Company also agreed to, upon the future written request of the Treasury, comply with the terms of a Registration Rights Agreement included as an annex to the Purchase Agreement and incorporated by reference therein (the “Registration Rights Agreement”), providing for certain registration rights of the Treasury. As long as the Company is not eligible to file on Form S-3, upon written request of the Treasury, the Company would be required to prepare and file a shelf registration |
Stock Based Compensation
Stock Based Compensation | 9 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Stock Based Compensation | Stock Based Compensation Under the Company’s long-term incentive program, certain officers, employees and directors are eligible to receive equity-based awards under the 2018 Long-Term Incentive Plan (“LTIP”). Restricted stock awards (“RSAs”) granted under the LTIP generally vest over one Stock based compensation that has been charged against income was $2.8 million for the nine months ended September 30, 2022 and $1.7 million for same period of 2021. There were zero and 1,830 shares forfeited during the nine months ended September 30, 2022 and 2021, respectively. As of September 30, 2022, there was $9.6 million of total unrecognized compensation cost related to unvested RSAs. The cost is expected to be recognized over a remaining weighted average period of 3.0 years. A summary of the Company’s equity-based award activity and related information for the Company’s RSAs is as follows: Nine Months Ended September 30, 2022 September 30, 2021 Number of Shares Weighted Average Grant Date Fair Value Number of Shares Weighted Average Grant Date Fair Value Beginning of period 144,572 $ 51.56 91,109 $ 50.60 Granted 98,679 68.13 85,147 51.59 Vested (55,397) 53.38 (33,545) 52.03 Forfeited — — (1,830) 49.46 End of period 187,854 $ 58.73 140,881 $ 50.88 |
Contingencies
Contingencies | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies | Contingencies On March 20, 2019, a complaint (the “Complaint”), Mills v. BankPlus, et al., Case #3:19-cv-00196-CWR-FKB, was filed in the United States District Court for the Southern District of Mississippi, Northern Division, by Alysson Mills, in her capacity as Court-appointed Receiver for Arthur Lamar Adams (“Adams”) and Madison Timber Properties, LLC (“Madison Timber”), naming the Bank, three former Bank employees, one then-current BankPlus employee and other defendants, including defendants affiliated and unaffiliated with BankPlus (“Defendants”). The Complaint seeks to recover damages from the Defendants for the benefit of the receivership estate related to certain investors who were allegedly defrauded by Adams and Madison Timber, whose actions were allegedly attributable to the actions of the Defendants that allegedly enabled negligent, illegal or fraudulent activities engaged in by Adams and Madison Timber. A brief description of the cause of action on the cover sheet filed with the Complaint includes securities, civil conspiracy, aiding and abetting, negligence, and other possible causes of action. The amount of damages (including punitive damages) requested against the Defendants in the Complaint is unspecified. On January 4, 2021, the plaintiff, Mills, filed an Amended Complaint. Answers and/or Motions to Dismiss the Amended complaint were filed by the Defendants. On July 8, 2021, the Court denied the Motion to Dismiss filed by BankPlus. A related motion for reconsideration was filed by BankPlus on August 9, 2021. On September 30, 2021, an order was entered to consolidate for purposes of discovery this case (No. 3:19-cv-00196-CWR-FKB) with three other related cases filed by Mills, the Receiver. A Case Management Order (No.: 3:22-cv-36-CWRFKB) was entered on January 31, 2022 for the sole purpose of managing consolidated discovery in the four related cases. Phase one written discovery is still underway. Phases two and three discovery, allowing depositions, will begin at a future date pursuant to a subsequent court order. In addition to the above, the Company, including subsidiaries, is party to various legal proceedings arising in the ordinary course of business. We do not believe that loss contingencies, if any, arising from pending litigation and regulatory matters will have a material adverse effect on our consolidated financial position or liquidity. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidation | The unaudited interim consolidated financial statements include the accounts of the Company and all other entities in which the Company has a controlling financial interest, and reflect all adjustments (consisting of normal recurring adjustments) that are necessary in the opinion of the Company’s management to fairly present the financial position, results of operations and cash flows of the Company. They have been derived from the audited consolidated financial statements for the fiscal year ended December 31, 2021; however, certain notes and information have been omitted from the interim periods. Therefore, these unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 2021. All significant intercompany balances and transactions have been eliminated in consolidation. Certain reclassifications have been made to prior period amounts to conform to the current period presentation. The accounting and financial reporting policies followed by the Company conform, in all material respects, to the accounting principles generally accepted in the United States (“GAAP”) and to general practices within the financial services industry. The results of operations for the interim periods are not necessarily indicative of the results to be expected for future interim periods or for the entire year. |
Basis of Accounting | The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Particularly given the effects of the COVID-19 pandemic, the allowance/provision for loan losses, the fair value of financial instruments and the status of contingencies are particularly subject to change. Material estimates that are subject to significant change in the near term are the allowance for loan losses, provision for loan losses, valuation of other real estate owned and fair values of financial instruments. Actual results could differ from these estimates. |
Recently Issued But Not Yet Effective Accounting Standards | Recently Issued But Not Yet Effective Accounting Standards Accounting Standards Update 2016-13 (“ASU 2016-13”), “ Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments .” In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13, which requires earlier measurement of credit losses and enhances disclosures. The main objective of ASU 2016-13 is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. Many of the loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses over the life of the loan. ASU 2016-13 was originally effective for the Company for annual and interim periods beginning on January 1, 2021. Subsequently, FASB approved a deferral of the effective date. ASU 2016-13 will now be effective for the Company for annual and interim periods beginning on January 1, 2023. The Company has a cross functional team that has been working with third-party vendors to build and validate a CECL model which has been running parallel with the Company’s current model while validation of the model is completed. The Company expects to recognize a one-time cumulative effect adjustment to the allowance for loan losses as of the beginning of the first reporting period in which the Company adopts the new standard, but has not yet determined the magnitude of the one-time adjustment or the overall impact on the Company’s consolidated financial statements. Accounting Standards Update 2020-04 (“ASU 2020-04”), “Reference Rate Reform - Topic 848.” In March 2020, the FASB issued ASU 2020-04, which provides temporary optional expedients and exceptions to the GAAP guidance on contract modifications, hedge accounting, and other transactions affected that reference the London Inter-Bank Offered Rate (“LIBOR”) or another reference rate expected to be discontinued. ASU 2020-04 is effective upon issuance and can be applied through December 31, 2022. The Company does not expect ASU 2020-04 to have a material impact on the Company’s consolidated financial statements. Accounting Standards Update 2022-02 (“ASU 2022-02”), “Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures.” In March 2022, the FASB issued ASU 2022-02 which eliminates the TDR recognition and measurement guidance and instead requires that an entity evaluate whether the modification represents a new loan or a continuation of an existing loan. ASU 2022-02 also enhances existing disclosure requirements and introduces new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. For public business entities, these amendments require that an entity disclose current period gross write-offs by year of origination for financing receivables and net investment in leases within the scope of Subtopic 326-20. Gross write-off information must be included in the vintage disclosures required for public business entities in accordance with paragraph 326-20-50-6, which requires that an entity disclose the amortized cost basis of financing receivables by credit quality indicator and class of financing receivable by year of origination. ASU 2022-02 is effective for the Company for annual and interim periods beginning on January 1, 2023. Implementation of ASU 2022-02 is not expected to materially impact the Company’s consolidated financial statements. |
Allowance for Loan Losses | Loans are stated at the amount of unpaid principal net of discounts and premiums on acquired loans, before allowance for loan losses. Interest on loans is calculated using the simple interest method on daily balances of the principal amount outstanding. Loan Origination/Risk Management/Credit Concentration – The Company has certain lending policies and procedures in place that are designed to maximize loan income within an acceptable level of risk. The Company’s Board of Directors reviews and approves these policies and procedures on a regular basis. Although the Company has a diversified loan portfolio, the Company has concentrations of credit risks related to the real estate market, including residential, commercial, and construction and land development lending. Most of the Company’s lending activity occurs within Mississippi, Louisiana, Alabama, and Florida. The risk characteristics of the Company’s material portfolio segments are as follows: Residential Real Estate Loans – The residential real estate loan portfolio consists of residential loans for single and multifamily properties. Residential loans are generally secured by owner occupied 1-4 family residences. Repayment of these loans is primarily dependent on the personal income and credit rating of the borrowers and can be impacted by economic conditions within their market area. Risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers. Commercial Real Estate Loans – Commercial real estate loans include construction and land development loans, loans secured by farmland and other commercial real estate loans. Construction and land development loans are usually based upon estimates of costs and estimated value of the completed project and include independent appraisal reviews and a financial analysis of the developers and property owners. Sources of repayment of these loans may include permanent loans, sales of developed property or an interim loan commitment from the Company until permanent financing is obtained. These loans are considered to be higher risk than other real estate loans due to their ultimate repayment being sensitive to interest rate changes, general economic conditions and the availability of long-term financing. Farmland loans are generally made for the purpose of acquiring land devoted to crop production or livestock, the propagation of timber or the operation of a similar type of business on the secured property. Sources of repayment for these loans generally include income generated from operations of a business on the property, rental income, or sales of timber. Repayment may be impacted by changes in economic conditions which affect underlying collateral values. Commercial real estate loans typically involve larger principal amounts and repayment of these loans is generally dependent on the successful operations of the property securing the loan or the business conducted on the property securing the loan. These loans are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Management monitors and evaluates commercial real estate loans based on collateral and risk grade criteria. Commercial and Industrial Loans – The commercial and industrial loan portfolio consists of loans to commercial customers for use in normal business operations to finance working capital needs, equipment purchase or other expansion projects. Commercial loan underwriting standards are designed to promote relationship banking rather than transactional banking and are underwritten based on the borrower’s expected ability to profitably operate its business. The cash flows of borrowers, however, may not be as expected and collateral securing these loans may fluctuate in value. Most commercial loans are secured by assets being financed or other business assets such as accounts receivable or inventory and may incorporate a personal guarantee. In the case of loans secured by accounts receivable, the availability of funds for repayment of these loans may be substantially dependent on the ability of the borrower to collect amounts due from its customers. Consumer and Other Loans – The consumer and other loan portfolio consists of various term and line of credit loans such as automobile loans and loans for other personal purposes. Repayment for these types of loans will come from a borrower’s income sources that are typically independent of the loan purpose. Credit risk is driven by consumer economic factors (such as unemployment and general economic conditions in the Company’s market area) and the creditworthiness of a borrower. Loans that are 30 days or more past due based on payments received and applied to the loan are considered delinquent. Accrual of interest is discontinued on a loan when management believes, after considering economic and business conditions and collection efforts, that a borrower's financial condition is such that collection of interest, but not necessarily principal, is doubtful. A loan is typically placed on non-accrual when the contractual payment of principal or interest becomes 90 days past due unless the loan is well-secured and in the process of collection. Loans may be placed on non-accrual status regardless of whether or not such loans are considered past due. Current year interest previously recorded, but deemed not collectible, is reversed and charged against current year income. Prior year interest previously recorded, but deemed not collectible, is charged against the allowance. Payments subsequently received on non-accrual loans are applied to principal. Interest income is recognized to the extent that cash payments are received in excess of principal due. A loan may return to accrual status when principal and interest payments are no longer past due and collectability is reasonably assured. Impaired Loans – Impaired loans include nonperforming loans, loans modified in troubled debt restructurings (“TDRs”) where concessions have been granted to borrowers experiencing financial difficulties, and certain other loans identified by management. As management evaluates the allowance for loan losses, it is categorized as follows: (1) specific allocations; (2) allocations for classified assets with no specific allowance, based on historical loan experience for similar loans with similar characteristics, adjusted as necessary, to reflect the impact of current conditions; and (3) general allocations for each major loan category for loans not deemed impaired or classified, segmented by loan class based on historical loss experience and other risk factors. In assessing general economic conditions, management monitors several factors, including regional and national economic conditions, real estate market conditions and recently enacted regulations with potential economic effects. Credit Quality Indicators – The Company utilizes a risk grading matrix to assign a grade to each of its commercial and real estate loans. Loans are rated on a scale of 1 to 10. A description of the general characteristics of the 10 risk ratings is as follows: • Risk Grades 1, 2, 3, 4 and 5 – These grades include loans to borrowers of solid credit quality with no higher than normal risk of loss. Borrowers in these categories have satisfactory financial strength and adequate cash flow coverage to service debt requirements. Collateral type and quality, as well as protection, are adequate. The borrower’s management is strong and capable, financial information is timely and accurate, and guarantor support is strong. • Risk Grade 6 – Pass and Watch – Loans in this category are currently protected, but risks are emerging that warrant more than normal attention and have above average risk of loss. These factors require a higher level of monitoring and may include emerging balance sheet weaknesses, strained liquidity, increased leverage ratio, and weakening management. Collateral support is less marketable or limited use and, although the protection is sufficient, the loan-to-value ratio may not meet policy guidelines. Guarantors may have a limited ability and willingness to provide intermediate support. Also, considerations surrounding industry deterioration, increased competition and minor policy exceptions concerning structure or amortization may affect the rating of these loans. • Risk Grade 7 – Special Mention – The Company’s special mention rating is intended to closely align with the regulatory definition. A special mention asset has potential weaknesses that deserve management’s close attention. If left uncorrected, these weaknesses may result in deterioration of repayment prospects. These weaknesses may include deteriorating balance sheets, strained liquidity and elevated leverage ratios. Cash flow and profitability are marginally sufficient to service debt and collateral is exhibiting signs of decline in value; however, protection is currently sufficient. Limited management experience or weaknesses have emerged requiring more than normal supervision and uncertainties regarding the quality of the financials are not explained. Guarantor has very limited ability and willingness to provide short-term support. Moderate policy exceptions concerning structure or amortization may be considered in order to provide relief to the borrower. Special mention assets are not adversely classified and do not expose an institution to sufficient risk to warrant adverse classification. • Risk Grade 8 – Substandard – A loan in this category is inadequately protected by the current net worth and paying capacity of the borrower or of the collateral pledged. Assets so classified have a well-defined weakness that jeopardizes the liquidation of the debt. Factors affecting these loans may include balance sheet deterioration that has resulted in illiquid, highly leveraged or deficit net worth, cash flow that is not able to service debts as structured, collateral protection that may be inadequate, guarantor support that may be virtually non-existent, and management that is poor. Loans may require a major policy exception concerning structure or amortization. They are characterized by the distinct possibility that the Company will incur some loss if the deficiencies are not corrected. • Risk Grade 9 – Doubtful – Loans classified doubtful have all the weaknesses inherent in those classified substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently known facts, conditions and values, highly questionable and improbable. • Risk Grade 10 – Loss – Loans are considered uncollectible and of such little value that continuing to carry them as an active asset is not warranted. It does not mean that there will be no recovery, but, rather, it is not practical or desirable to defer writing off these assets even though a partial recovery may be possible in the future. Classified loans for the Company include loans in Risk Grades 8, 9 and 10. Loans may be classified but not considered impaired, due to one of the following reasons: (i) the loan falls below the established minimum dollar thresholds for loan impairment testing or (ii) the loan was tested for impairment, but not deemed to be impaired. |
Financial Instruments Measured at Fair Value | Financial Instruments Measured at Fair Value Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The Company groups its assets and liabilities measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. Valuations within these levels are based upon: Level 1 Unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access as of the measurement date Level 2 Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities Level 3 Unobservable inputs that are significant to the fair value of the assets or liabilities that reflect a company’s own assumptions about the assumptions that market participants would use in pricing assets or liabilities Management monitors the availability of observable market data to assess the appropriate classification of assets and liabilities within the fair value hierarchy. Changes in economic conditions or model-based valuation techniques may require the transfer of financial instruments from one fair value level to another. In such instances, the transfer is reported at the beginning of the reporting period. There were no transfers of financial instruments between fair value levels for any period presented. The Company used the following methods and significant assumptions to estimate fair value. Securities – The Company utilizes an independent pricing service to advise it on the value of the securities portfolio. Where quoted market prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics or discounted cash flows. For these investments, the inputs used by the pricing service to determine fair value may include one, or a combination of several, observable inputs such as benchmark yields, reported trades, benchmark securities, bids, offers and reference data market research publications and are classified within Level 2 of the valuation hierarchy. In certain cases where Level 1 or Level 2 inputs are not available, securities are classified within Level 3 of the hierarchy. For Level 3 securities, in addition to the inputs noted above, inputs used by the pricing service to determine fair value may also include estimated duration, municipal bond interest rate curve, and tax effected yield. There were no Level 3 securities as of September 30, 2022 or December 31, 2021. The Company’s treasury department and Asset Liability Management Committee review the aggregate fair values of the securities portfolio. Impaired loans – Loans for which it is probable that the Company will not collect all principal and interest due according to contractual terms are measured for impairment on a non-recurring basis. Allowable methods for determining the amount of impairment include estimating fair value using the fair value of the collateral for collateral-dependent loans. Specific allowances for impaired loans are based on comparisons of the recorded carrying values of the loans to the present value of the estimated cash flows of these loans at each loan’s effective interest rate or the fair value of the collateral net of selling costs if the loan is collateral dependent. Impaired loans are primarily collateral dependent loans and are assessed using a fair value approach. Fair value estimates for collateral dependent loans are derived from appraised values based on the current market value or as-is value of the property being appraised. Appraisals are based on certain assumptions, which may include construction or development status and the highest and best use of the property. The appraisals are reviewed by the Company’s appraisal department to ensure they are acceptable. Impaired loans are classified within Level 3 of the fair value hierarchy. Impaired loans are evaluated on a quarterly basis for additional impairment and adjusted in accordance with the allowance policy. Other Real Estate Owned – Other real estate owned is initially recorded at fair value less cost to sell at the date of foreclosure, establishing a new cost basis. These assets are subsequently accounted for at lower of cost or fair value less estimated cost to sell. Fair value estimates begin with obtaining a current independent appraisal or internal evaluation of the collateral value. Subsequent to foreclosure, valuations are performed periodically by the Company’s appraisal department and any subsequent reduction in value is recognized by a charge to income. Appraisals for both collateral-dependent impaired loans and other real estate owned are performed by certified appraisers whose qualifications and licenses have been reviewed by the Company. These appraisals are reviewed by a member of the Company’s appraisal department to ensure they are acceptable. Appraised values are adjusted down for costs associated with asset disposal. The significant unobservable inputs (Level 3) used in the fair value measurement of collateral for collateral impaired loans and other real estate owned are primarily based on appraisals, observable market conditions, and other factors which may affect collectability. The appraisals use marketability and comparability discounts, which generally range from 5% to 15%. Assessment of the significance of a specific input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset. It is reasonably possible that a change in the estimated fair value for assets measured using Level 3 inputs could occur in the future. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of earnings per share | Three Months Ended September 30, Nine Months Ended September 30, (In thousands except per share data) 2022 2021 2022 2021 Net income $ 19,143 $ 14,197 $ 44,947 $ 45,533 Weighted average common shares outstanding 11,437 9,934 11,120 9,936 Diluted effect of unallocated stock — 75 6 44 Diluted effect of stock-based awards 32 41 73 61 Diluted common shares 11,469 10,050 11,199 10,041 Basic earnings per common share $ 1.67 $ 1.43 $ 4.04 $ 4.58 Diluted earnings per common share $ 1.67 $ 1.41 $ 4.01 $ 4.53 |
Business Combinations (Tables)
Business Combinations (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Consideration paid and preliminary fair value allocation | The following table reflects the consideration paid and the preliminary fair value allocation of assets acquired and liabilities assumed as of the acquisition date: (In thousands) Purchase price allocation: Common stock issued $ 56,489 Cash paid 63,239 Total purchase price $ 119,728 Assets acquired: Cash and due from banks $ 229,213 Securities 33,407 Loans held for sale 6,200 Loans, net 1,000,382 Premises and equipment 15,152 Accrued interest receivable 1,441 Core deposit intangible 7,825 Other assets 4,584 Total assets acquired $ 1,298,204 Liabilities assumed: Deposits $ 1,212,712 Subordinated debentures 21,733 Other liabilities 4,187 Total liabilities assumed $ 1,238,632 Net assets acquired 59,572 Goodwill $ 60,156 |
Unaudited pro forma information | The following table presents unaudited pro forma information as if the FTC Merger had occurred on January 1, 2021. This pro forma information combines the historic consolidated results of operations of BancPlus and FTC after giving effect to certain adjustments, including purchase accounting fair value adjustments and amortization of intangibles, as well as the related income tax effects of those adjustments. The pro forma information does not necessarily reflect the results of operations that would have occurred had the FTC Merger occurred on January 1, 2021. Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share data) 2022 2021 2022 2021 Net interest income $ 62,029 $ 55,280 $ 165,082 $ 161,007 Other operating income 17,443 20,544 55,494 63,624 Net income available to common shareholders 19,268 18,514 47,576 57,363 Earnings per common share: Basic $ 1.68 $ 1.63 $ 4.16 $ 5.04 Diluted 1.68 1.61 4.13 4.99 |
Investment Securities (Tables)
Investment Securities (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of the amortized cost and fair value of securities available for sale | The following is a summary of the amortized cost and fair value of securities available for sale. Amortized Gross Unrealized Fair (In thousands) Cost Gains Losses Value September 30, 2022: U.S. Treasuries $ 35,741 $ — $ 1,390 $ 34,351 U.S. Government agency obligations 405,428 140 37,885 367,683 Residential mortgage-backed securities 109,693 15 11,887 97,821 Commercial mortgage-backed securities 13,846 — 1,808 12,038 Asset-backed securities 11,094 137 144 11,087 Corporate investments 49,000 — 4,091 44,909 State and political subdivisions 50,437 2 3,670 46,769 Total available for sale $ 675,239 $ 294 $ 60,875 $ 614,658 December 31, 2021: U.S. Government agency obligations $ 354,774 $ 256 $ 4,780 $ 350,250 Residential mortgage-backed securities 107,772 2,312 297 109,787 Commercial mortgage-backed securities 14,286 41 51 14,276 Asset backed securities 12,730 421 44 13,107 Corporate investments 43,500 1,138 128 44,510 State and political subdivisions 43,596 1,200 112 44,684 Total available for sale $ 576,658 $ 5,368 $ 5,412 $ 576,614 |
Summary of the amortized cost and fair value of securities held to maturity | The following is a summary of the amortized cost and fair value of securities held to maturity. Amortized Gross Unrealized Fair (In thousands) Cost Gains Losses Value September 30, 2022: States and political subdivisions $ 65,889 $ — $ 384 $ 65,505 Total held to maturity $ 65,889 $ — $ 384 $ 65,505 December 31, 2021: States and political subdivisions $ 71,648 $ 436 $ — $ 72,084 Total held to maturity $ 71,648 $ 436 $ — $ 72,084 |
Summary of investment securities that were in an unrealized loss position | Provided below is a summary of investment securities that were in an unrealized loss position and the length of time that individual securities have been in a continuous loss position. Less Than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (In thousands) September 30, 2022: Available for sale: U.S. Treasuries $ 34,351 $ 1,390 $ — $ — 34,351 $ 1,390 U.S. Government agencies 149,098 13,997 214,034 23,888 363,132 37,885 Residential mortgage-backed securities 86,999 9,799 8,740 2,088 95,739 11,887 Commercial mortgage-backed securities 9,412 1,266 2,626 542 12,038 1,808 Asset backed securities 1,909 75 1,831 69 3,740 144 Corporate investments 40,379 3,622 4,530 469 44,909 4,091 States and political subdivisions 40,406 2,939 4,542 731 44,948 3,670 $ 362,554 $ 33,088 $ 236,303 $ 27,787 598,857 $ 60,875 Held to maturity: States and political subdivisions $ 9,758 $ 384 $ — $ — 9,758 $ 384 $ 9,758 $ 384 $ — $ — 9,758 $ 384 December 31, 2021: Available for sale: U.S. Government agencies $ 314,614 $ 4,780 $ — $ — 314,614 $ 4,780 Residential mortgage-backed securities 15,216 297 — — 15,216 297 Commercial mortgage-backed securities 8,376 51 — — 8,376 51 Asset backed securities 2,272 8 2,192 36 4,464 44 Corporate investments 11,372 128 — — 11,372 128 States and political subdivisions 6,117 112 — — 6,117 112 $ 357,967 $ 5,376 $ 2,192 $ 36 360,159 $ 5,412 |
Schedule of investments classified by contractual maturity date | The amortized cost and fair value of debt securities, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because borrowers have the right to call or prepay certain obligations with, or without, call or prepayment penalties. Available for Sale Held to Maturity Amortized Fair Amortized Fair (In thousands) Cost Value Cost Value September 30, 2022: One year or less $ 34,491 $ 33,739 $ 7,868 $ 7,851 After one through five years 363,116 334,048 47,439 47,155 After five through ten years 153,343 134,894 8,372 8,289 After ten years 124,289 111,977 2,210 2,210 $ 675,239 $ 614,658 $ 65,889 $ 65,505 |
Summary of the amortized cost and fair value for investment securities which were pledged to secure public deposits and for other purposes | The following is a summary of the amortized cost and fair value for investment securities which were pledged to secure public deposits and for other purposes required or permitted by law. Available for Sale Held to Maturity Amortized Fair Amortized Fair (In thousands) Cost Value Cost Value September 30, 2022 $ 436,693 $ 393,434 $ 35,755 $ 35,433 December 31, 2021 $ 451,402 $ 450,480 $ 38,704 $ 39,102 |
Loans (Tables)
Loans (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Receivables [Abstract] | |
Summary of the Company’s loan portfolio by loan class | The following is a summary of the Company’s loan portfolio by loan class. (In thousands) September 30, 2022 December 31, 2021 Secured by real estate: Residential properties $ 1,311,672 $ 774,699 Construction and land development 945,639 543,763 Farmland 273,575 211,503 Other commercial 2,145,785 1,396,085 Total real estate 4,676,671 2,926,050 Commercial and industrial loans 664,439 527,102 Agricultural production and other loans to farmers 90,647 86,520 Consumer and other loans 118,011 79,500 Total loans before allowance for loan losses $ 5,549,768 $ 3,619,172 |
Summary of the recorded investment in non-accrual loans, segregated by class | The following table presents the recorded investment in nonaccrual loans, segregated by class. (In thousands) September 30, 2022 December 31, 2021 Secured by real estate: Residential properties $ 2,902 $ 3,154 Construction and land development 30 51 Farmland 960 1,327 Other commercial 1,502 1,176 Total real estate 5,394 5,708 Commercial and industrial loans 759 20 Agricultural production and other loans to farmers — 3 Consumer and other loans 26 166 Total nonaccrual loans $ 6,179 $ 5,897 |
Summary of age analysis of past due loans | An age analysis of past due loans (including both accruing and non-accruing loans) segregated by class of loans is as follows: (In thousands) Past Due 30-89 Days Past Due 90 Days or More Total Past Due Current Total Loans Past Due 90 Days or More and Accruing September 30, 2022 Secured by real estate: Residential properties $ 6,833 $ 1,674 $ 8,507 $ 1,303,165 $ 1,311,672 $ 829 Construction and land development 194 66 260 945,379 945,639 66 Farmland 313 1,039 1,352 272,223 273,575 75 Other commercial 819 916 1,735 2,144,050 2,145,785 287 Total real estate 8,159 3,695 11,854 4,664,817 4,676,671 1,257 Commercial and industrial loans 1,444 174 1,618 662,821 664,439 107 Agricultural production and other loans to farmers 181 168 349 90,298 90,647 168 Consumer loans 909 52 961 117,050 118,011 26 Total $ 10,693 $ 4,089 $ 14,782 $ 5,534,986 $ 5,549,768 $ 1,558 (In thousands) Past Due 30-89 Days Past Due 90 Days or More Total Past Due Current Total Loans Past Due 90 Days or More and Accruing December 31, 2021 Secured by real estate: Residential properties $ 4,537 $ 2,032 $ 6,569 $ 768,130 $ 774,699 $ 865 Construction and land development 367 1,085 1,452 542,311 543,763 1,085 Farmland 600 425 1,025 210,478 211,503 30 Other commercial 1,589 1,118 2,707 1,393,378 1,396,085 212 Total real estate 7,093 4,660 11,753 2,914,297 2,926,050 2,192 Commercial and industrial loans 824 623 1,447 525,655 527,102 606 Agricultural production and other loans to farmers 311 32 343 86,177 86,520 32 Consumer loans 374 250 624 78,876 79,500 84 Total $ 8,602 $ 5,565 $ 14,167 $ 3,605,005 $ 3,619,172 $ 2,914 |
Summary of impaired loans | Impaired loans, segregated by class were as follows: September 30, 2022 Principal Recorded Related (In thousands) Balance Balance (1) Allowance Impaired loans with no related allowance: Secured by real estate: Residential properties $ 7,255 $ 4,752 $ — Construction and land development 2,273 908 — Farmland 1,387 969 — Other commercial 8,372 7,250 — Total real estate 19,287 13,879 — Commercial and industrial 15,173 11,710 — Agricultural production and other loans to farmers 36 — — Consumer and other loans 276 53 — Total $ 34,772 $ 25,642 $ — Impaired loans with related allowance: Secured by real estate: Residential properties $ 800 $ 800 $ 7 Construction and land development — — — Farmland — — — Other commercial — — — Total real estate 800 800 7 Commercial and industrial — — — Agricultural production and other loans to farmers — — — Consumer and other loans — — — Total 800 800 7 Total impaired loans $ 35,572 $ 26,442 $ 7 (1) Recorded balance represents the carrying value – the contractual principal obligation due from the customer less charge offs and payments applied. December 31, 2021 Principal Recorded Related (In thousands) Balance Balance (1) Allowance Impaired loans with no related allowance: Secured by real estate: Residential properties $ 7,667 $ 5,034 $ — Construction and land development 3,615 1,649 — Farmland 3,413 2,859 — Other commercial 2,671 1,300 — Total real estate 17,366 10,842 — Commercial and industrial 17,528 17,300 — Agricultural production and other loans to farmers 105 15 — Consumer and other loans 249 166 — Total $ 35,248 $ 28,323 $ — Impaired loans with related allowance: Secured by real estate: Residential properties $ 813 $ 813 $ 9 Construction and land development — — — Farmland — — — Other commercial 1,906 1,906 304 Total real estate 2,719 2,719 313 Commercial and industrial 4,542 4,542 1,701 Agricultural production and other loans to farmers — — — Consumer and other loans — — — Total 7,261 7,261 2,014 Total impaired loans $ 42,509 $ 35,584 $ 2,014 (1) Recorded balance represents the carrying value – the contractual principal obligation due from the customer less charge-offs and payments applied. The average recorded investment and interest recognized for impaired loans for the nine months ended September 30, 2022 and 2021 are presented below. Three Months Ended September 30, 2022 2021 Average Interest Average Interest (In thousands) Investment Recognized Investment Recognized Secured by real estate: Residential properties $ 5,034 $ 47 $ 6,123 $ 42 Construction and land development 881 22 1,139 23 Farmland 965 — 11,150 104 Other commercial 6,066 68 5,046 14 Total real estate 12,946 137 23,458 183 Commercial and industrial 12,165 282 21,728 281 Agricultural production and other loans to farmers 5 1 146 3 Consumer loans 45 — 210 — Total $ 25,161 $ 420 $ 45,542 $ 467 Nine Months Ended September 30, 2022 2021 Average Interest Average Interest (In thousands) Investment Recognized Investment Recognized Secured by real estate: Residential properties $ 5,274 $ 66 $ 6,489 $ 106 Construction and land development 1,221 77 2,107 80 Farmland 1,838 — 10,452 356 Other commercial 5,239 131 6,827 129 Total real estate 13,572 274 25,875 671 Commercial and industrial 14,936 506 20,076 753 Agricultural production and other loans to farmers 9 1 94 3 Consumer loans 64 — 191 — Total $ 28,581 $ 781 $ 46,236 $ 1,427 The following table provides the recorded investment in loans, net of unearned income, based on the Company’s impairment methodology as of the dates presented: (In thousands) Commercial and Industrial Commercial Real Estate Residential Consumer and other Total September 30, 2022 Individually evaluated for impairment $ 10,952 $ 4,811 $ 1,603 $ — $ 17,366 Collectively evaluated for impairment 653,487 3,360,188 1,310,069 208,658 5,532,402 Ending balance $ 664,439 $ 3,364,999 $ 1,311,672 $ 208,658 $ 5,549,768 December 31, 2021 Individually evaluated for impairment $ 21,822 $ 3,434 $ 1,640 $ 166 $ 27,062 Collectively evaluated for impairment 505,280 2,147,917 773,059 165,854 3,592,110 Ending balance $ 527,102 $ 2,151,351 $ 774,699 $ 166,020 $ 3,619,172 |
Allowance for Loan Losses (Tabl
Allowance for Loan Losses (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Receivables [Abstract] | |
Summary of the credit quality of the Company’s loan portfolio by loan class | The following table summarizes the credit quality of the Company’s loan portfolio by loan class for the period indicated: Risk Grades Risk Grade Risk Grade Risk Grade (In thousands) 1-6 7 8 9 Total September 30, 2022 Secured by real estate: Residential properties $ 1,298,704 $ 26 $ 12,899 $ 43 $ 1,311,672 Construction and land development 939,982 4,107 1,550 — 945,639 Farmland 270,512 — 3,063 — 273,575 Other commercial 2,134,357 116 11,312 — 2,145,785 Total real estate 4,643,555 4,249 28,824 43 4,676,671 Commercial and industrial 651,158 — 13,274 7 664,439 Agricultural production and other loans to farmers 90,192 — 368 87 90,647 Consumer and other loans 117,798 — 213 — 118,011 Total $ 5,502,703 $ 4,249 $ 42,679 $ 137 $ 5,549,768 Risk Grades Risk Grade Risk Grade Risk Grade (In thousands) 1-6 7 8 9 Total December 31, 2021 Secured by real estate: Residential properties $ 763,116 $ — $ 11,583 $ — $ 774,699 Construction and land development 537,573 4,097 2,093 — 543,763 Farmland 208,318 — 3,185 — 211,503 Other commercial 1,386,240 — 9,845 — 1,396,085 Total real estate 2,895,247 4,097 26,706 — 2,926,050 Commercial and industrial 503,603 — 23,496 3 527,102 Agricultural production and other loans to farmers 86,292 — 228 — 86,520 Consumer and other loans 79,176 — 306 18 79,500 Total $ 3,564,318 $ 4,097 $ 50,736 $ 21 $ 3,619,172 |
Summary of allowance for loan losses and balances in the loan portfolio by loan segment | Transactions in the allowance for loan losses and balances in the loan portfolio by loan segment are as follows: (In thousands) Commercial Commercial Residential Consumer Total Three Months Ended September 30, 2022 Allowance for loan losses: Beginning balance $ 4,126 $ 27,957 $ 9,274 $ 1,996 $ 43,353 Provision for loan losses 1,331 (1,169) 193 134 489 Recoveries on loans 34 272 49 486 841 Loans charged off (774) (240) (3) (1,133) (2,150) Ending balance $ 4,717 $ 26,820 $ 9,513 $ 1,483 $ 42,533 Nine Months Ended September 30, 2022 Allowance for loan losses: Beginning balance $ 6,556 $ 27,133 $ 9,488 $ 1,823 $ 45,000 Provision for loan losses (200) (459) 650 949 940 Recoveries on loans 114 826 158 2,047 3,145 Loans charged off (1,753) (680) (783) (3,336) (6,552) Ending balance $ 4,717 $ 26,820 $ 9,513 $ 1,483 $ 42,533 Period End Allowance Balance Allocated To: Individually evaluated for impairment $ — $ — $ 7 $ — $ 7 Collectively evaluated for impairment 4,717 26,820 9,506 1,483 42,526 Ending balance $ 4,717 $ 26,820 $ 9,513 $ 1,483 $ 42,533 (In thousands) Commercial and Industrial Commercial Real Estate Residential Consumer and other Total Three Months Ended September 30, 2021 Allowance for loan losses: Beginning balance $ 6,493 $ 23,051 $ 10,234 $ 2,226 $ 42,004 Provision for loan losses (565) 616 352 1,066 1,469 Recoveries on loans 175 1,625 59 449 2,308 Loans charged off (37) (349) (122) (1,272) (1,780) Balance, end of year $ 6,066 $ 24,943 $ 10,523 $ 2,469 $ 44,001 Nine Months Ended September 30, 2021 Allowance for loan losses: Beginning balance $ 6,337 $ 20,163 $ 7,900 $ 1,600 $ 36,000 Provision for loan losses (433) 3,481 2,581 1,766 7,395 Recoveries on loans 479 2,277 340 2,046 5,142 Loans charged off (317) (978) (298) (2,943) (4,536) Ending balance $ 6,066 $ 24,943 $ 10,523 $ 2,469 $ 44,001 Period End Allowance Balance Allocated To: Individually evaluated for impairment $ 991 $ 276 $ 9 $ — $ 1,276 Collectively evaluated for impairment 5,075 24,667 10,514 2,469 42,725 Ending balance $ 6,066 $ 24,943 $ 10,523 $ 2,469 $ 44,001 |
Summary of impaired loans | Impaired loans, segregated by class were as follows: September 30, 2022 Principal Recorded Related (In thousands) Balance Balance (1) Allowance Impaired loans with no related allowance: Secured by real estate: Residential properties $ 7,255 $ 4,752 $ — Construction and land development 2,273 908 — Farmland 1,387 969 — Other commercial 8,372 7,250 — Total real estate 19,287 13,879 — Commercial and industrial 15,173 11,710 — Agricultural production and other loans to farmers 36 — — Consumer and other loans 276 53 — Total $ 34,772 $ 25,642 $ — Impaired loans with related allowance: Secured by real estate: Residential properties $ 800 $ 800 $ 7 Construction and land development — — — Farmland — — — Other commercial — — — Total real estate 800 800 7 Commercial and industrial — — — Agricultural production and other loans to farmers — — — Consumer and other loans — — — Total 800 800 7 Total impaired loans $ 35,572 $ 26,442 $ 7 (1) Recorded balance represents the carrying value – the contractual principal obligation due from the customer less charge offs and payments applied. December 31, 2021 Principal Recorded Related (In thousands) Balance Balance (1) Allowance Impaired loans with no related allowance: Secured by real estate: Residential properties $ 7,667 $ 5,034 $ — Construction and land development 3,615 1,649 — Farmland 3,413 2,859 — Other commercial 2,671 1,300 — Total real estate 17,366 10,842 — Commercial and industrial 17,528 17,300 — Agricultural production and other loans to farmers 105 15 — Consumer and other loans 249 166 — Total $ 35,248 $ 28,323 $ — Impaired loans with related allowance: Secured by real estate: Residential properties $ 813 $ 813 $ 9 Construction and land development — — — Farmland — — — Other commercial 1,906 1,906 304 Total real estate 2,719 2,719 313 Commercial and industrial 4,542 4,542 1,701 Agricultural production and other loans to farmers — — — Consumer and other loans — — — Total 7,261 7,261 2,014 Total impaired loans $ 42,509 $ 35,584 $ 2,014 (1) Recorded balance represents the carrying value – the contractual principal obligation due from the customer less charge-offs and payments applied. The average recorded investment and interest recognized for impaired loans for the nine months ended September 30, 2022 and 2021 are presented below. Three Months Ended September 30, 2022 2021 Average Interest Average Interest (In thousands) Investment Recognized Investment Recognized Secured by real estate: Residential properties $ 5,034 $ 47 $ 6,123 $ 42 Construction and land development 881 22 1,139 23 Farmland 965 — 11,150 104 Other commercial 6,066 68 5,046 14 Total real estate 12,946 137 23,458 183 Commercial and industrial 12,165 282 21,728 281 Agricultural production and other loans to farmers 5 1 146 3 Consumer loans 45 — 210 — Total $ 25,161 $ 420 $ 45,542 $ 467 Nine Months Ended September 30, 2022 2021 Average Interest Average Interest (In thousands) Investment Recognized Investment Recognized Secured by real estate: Residential properties $ 5,274 $ 66 $ 6,489 $ 106 Construction and land development 1,221 77 2,107 80 Farmland 1,838 — 10,452 356 Other commercial 5,239 131 6,827 129 Total real estate 13,572 274 25,875 671 Commercial and industrial 14,936 506 20,076 753 Agricultural production and other loans to farmers 9 1 94 3 Consumer loans 64 — 191 — Total $ 28,581 $ 781 $ 46,236 $ 1,427 The following table provides the recorded investment in loans, net of unearned income, based on the Company’s impairment methodology as of the dates presented: (In thousands) Commercial and Industrial Commercial Real Estate Residential Consumer and other Total September 30, 2022 Individually evaluated for impairment $ 10,952 $ 4,811 $ 1,603 $ — $ 17,366 Collectively evaluated for impairment 653,487 3,360,188 1,310,069 208,658 5,532,402 Ending balance $ 664,439 $ 3,364,999 $ 1,311,672 $ 208,658 $ 5,549,768 December 31, 2021 Individually evaluated for impairment $ 21,822 $ 3,434 $ 1,640 $ 166 $ 27,062 Collectively evaluated for impairment 505,280 2,147,917 773,059 165,854 3,592,110 Ending balance $ 527,102 $ 2,151,351 $ 774,699 $ 166,020 $ 3,619,172 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Regulatory Matters [Abstract] | |
Schedule of actual and required capital ratios | The following table presents actual and required capital ratios for the Company and the Bank. Actual Minimum Requirement to be Well Capitalized (In thousands) Capital Amount Ratio Capital Amount Ratio September 30, 2022: Company: Community Bank Leverage Ratio 708,028 10.69 % 595,970 9.00 % Bank: Community Bank Leverage Ratio 622,789 9.41 % 595,436 9.00 % Actual Minimum Requirement Required to be (In thousands) Capital Amount Ratio Capital Amount Ratio Capital Amount Ratio December 31, 2021: Company: CET1 Capital to Risk-Weighted Assets $ 382,736 9.40 % $ 285,078 7.00 % N/A N/A Tier 1 Capital to Risk-Weighted Assets 433,754 10.65 % 346,166 8.50 % N/A N/A Total Capital to Risk-Weighted Assets 537,541 13.20 % 427,617 10.50 % N/A N/A Tier 1 Capital to Average Assets 433,754 8.46 % 205,072 4.00 % N/A N/A Bank: CET1 Capital to Risk-Weighted Assets $ 428,602 10.55 % $ 284,509 7.00 % $ 264,187 6.50 % Tier 1 Capital to Risk-Weighted Assets 428,602 10.55 % 345,475 8.50 % 325,153 8.00 % Total Capital to Risk-Weighted Assets 473,602 11.65 % 426,763 10.50 % 406,441 10.00 % Tier 1 Capital to Average Assets 428,602 8.37 % 204,714 4.00 % 255,893 5.00 % |
Fair Value (Tables)
Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule assets and liabilities measured on recurring basis | Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Fair Value Measurements Using (In thousands) Value Level 1 Level 2 Level 3 September 30, 2022 U.S. Treasuries $ 34,351 $ — $ 34,351 $ — U.S. Government agency obligations 367,683 — 367,683 — Residential mortgage-backed securities 97,821 — 97,821 — Commercial mortgage-backed securities 12,038 — 12,038 — Asset-backed securities 11,087 — 11,087 — Corporate investments 44,909 — 44,909 — State and political subdivisions 46,769 — 46,769 — Total securities available for sale $ 614,658 $ — $ 614,658 $ — December 31, 2021 U.S. Government agency obligations $ 350,250 $ — $ 350,250 $ — Residential mortgage-backed securities 109,787 — 109,787 — Commercial mortgage-backed securities 14,276 — 14,276 — Asset backed securities 13,107 — 13,107 — Corporate investments 44,510 — 44,510 — State and political subdivisions 44,684 — 44,684 — Total securities available for sale $ 576,614 $ — $ 576,614 $ — |
Schedule of assets measured at fair value on a non-recurring basis | Assets measured at fair value on a non-recurring basis are summarized below. Fair Fair Value Measurements Using (In thousands) Value Level 1 Level 2 Level 3 Impaired loans, net of allowance for loan losses: September 30, 2022 $ 26,435 $ — $ — $ 26,435 December 31, 2021 $ 33,570 $ — $ — $ 33,570 Other real estate owned: September 30, 2022 $ 4,850 $ — $ — $ 4,850 December 31, 2021 $ 5,815 $ — $ — $ 5,815 |
Schedule of quantitative information about Level 3 fair value measurements for assets measured at fair value on a non-recurring basis | The following table presents quantitative information about Level 3 fair value measurements for assets measured at fair value on a non-recurring basis. Qualitative Information about Level 3 Fair Value Measurements (In thousands) Carrying Valuation Unobservable Range Weighted Average September 30, 2022 Impaired loans, net of specific allowance $ 26,435 Third-party appraisals Selling costs 5% - 10% 6% Other real estate owned $ 4,850 Third-party appraisals and internal evaluations Selling costs 5% - 10% 6% Qualitative Information about Level 3 Fair Value Measurements (In thousands) Carrying Valuation Unobservable Range Weighted Average December 31, 2021 Impaired loans, net of specific allowance $ 33,570 Third-party appraisals Selling costs 5% - 10% 6% Other real estate owned $ 5,815 Third-party appraisals and internal evaluations Selling costs 5% - 10% 6% |
Schedule of estimated fair values of the Company’s financial instruments not previously disclosed | The following table presents estimated fair values of the Company’s financial instruments not previously disclosed: September 30, 2022 December 31, 2021 (In thousands) Carrying Fair Carrying Fair Financial assets: Level 1 inputs: Cash and cash equivalents $ 172,285 $ 172,285 $ 664,165 $ 664,165 Level 2 inputs: Securities held to maturity 65,889 65,505 71,648 72,084 FHLB stock 16,759 16,759 2,731 2,731 Accrued interest receivable 20,315 20,315 14,329 14,329 Level 3 inputs: Loans held for sale 4,199 4,199 10,621 10,621 Loans, net 5,507,235 5,457,342 3,574,172 3,548,595 Financial liabilities: Level 2 inputs: Deposits 5,594,217 5,050,544 4,622,116 4,493,657 FHLB and other borrowings 310,099 310,205 20,501 21,024 Subordinated debentures 133,430 139,267 111,509 111,509 Accrued interest payable 2,949 2,949 1,425 1,425 |
Subordinated Debentures and T_2
Subordinated Debentures and Trust Preferred Securities (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Summary of debentures payable to statutory trusts | The following is a summary of subordinated debentures payable to statutory trusts. (In thousands) Year of Interest September 30, December 31, First Bancshares of Baton Rouge Statutory Trust I 2034 3 month LIBOR, plus 2.50% $ 4,124 $ 4,124 State Capital Statutory Trust IV 2035 3 month LIBOR, plus 1.99% 5,155 5,155 BancPlus Statutory Trust II 2036 3 month LIBOR, plus 1.50% 20,619 20,619 BancPlus Statutory Trust III 2037 3 month LIBOR, plus 1.35% 20,619 20,619 State Capital Master Trust 2037 3 month LIBOR, plus 1.46% 6,186 6,186 $ 56,703 $ 56,703 |
Employee Benefits (Tables)
Employee Benefits (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Postemployment Benefits [Abstract] | |
Schedule of ESOP-owned shares | The following table presents information related to the Company’s ESOP-owned shares. (In thousands, except share data) September 30, 2022 December 31, 2021 Allocated shares 1,452,950 1,472,334 Unearned shares — 28,398 Total ESOP shares 1,452,950 1,500,732 Fair value of unearned shares $ — $ 1,938 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of restricted stock activity | A summary of the Company’s equity-based award activity and related information for the Company’s RSAs is as follows: Nine Months Ended September 30, 2022 September 30, 2021 Number of Shares Weighted Average Grant Date Fair Value Number of Shares Weighted Average Grant Date Fair Value Beginning of period 144,572 $ 51.56 91,109 $ 50.60 Granted 98,679 68.13 85,147 51.59 Vested (55,397) 53.38 (33,545) 52.03 Forfeited — — (1,830) 49.46 End of period 187,854 $ 58.73 140,881 $ 50.88 |
Basis of Presentation (Details)
Basis of Presentation (Details) | 9 Months Ended |
Sep. 30, 2022 segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of reportable segments | 1 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Earnings Per Share [Abstract] | ||||
Net income | $ 19,143 | $ 14,197 | $ 44,947 | $ 45,533 |
Weighted average common shares outstanding (in shares) | 11,437 | 9,934 | 11,120 | 9,936 |
Dilutive effect of unallocated stock (in shares) | 0 | 75 | 6 | 44 |
Diluted effect of stock-based awards (in shares) | 32 | 41 | 73 | 61 |
Diluted common shares (in shares) | 11,469 | 10,050 | 11,199 | 10,041 |
Basic earnings per common share (in USD per share) | $ 1.67 | $ 1.43 | $ 4.04 | $ 4.58 |
Diluted earnings per common share (in USD per share) | $ 1.67 | $ 1.41 | $ 4.01 | $ 4.53 |
Business Combinations - Narrati
Business Combinations - Narrative (Details) - First Trust Corporation ("FTC") Merger Agreement - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jul. 07, 2022 | Mar. 01, 2022 | Sep. 30, 2022 | Sep. 30, 2022 | |
Business Acquisition [Line Items] | ||||
Number of shares issued with cash in lieu of fractional shares (in shares) | 1,444,764 | |||
Cash consideration paid | $ 52,700 | |||
Escrow deposit | 10,000 | |||
Escrow deposit paid to former holders of FTC stock | $ 10,000 | |||
Acquisition expenses | $ 2,900 | $ 8,400 | ||
Acquired core deposit intangible | $ 7,800 | |||
Acquired core deposit intangible, amortization period | 10 years | |||
Loans acquired | $ 1,000,382 | |||
Discount on loans acquired | 6,600 | |||
Contractual cash flows not expected to be collected | $ 15,700 | |||
Decrease in goodwill | $ (1,100) |
Business Combinations - Conside
Business Combinations - Consideration Paid and Preliminary Fair Value Allocation (Details) - USD ($) $ in Thousands | Mar. 01, 2022 | Sep. 30, 2022 | Dec. 31, 2021 |
Liabilities assumed: | |||
Goodwill | $ 62,772 | $ 2,616 | |
First Trust Corporation ("FTC") Merger Agreement | |||
Purchase price allocation: | |||
Common stock issued | $ 56,489 | ||
Cash paid | 63,239 | ||
Total purchase price | 119,728 | ||
Assets acquired: | |||
Cash and due from banks | 229,213 | ||
Securities | 33,407 | ||
Loans held for sale | 6,200 | ||
Loans, net | 1,000,382 | ||
Premises and equipment | 15,152 | ||
Accrued interest receivable | 1,441 | ||
Core deposit intangible | 7,825 | ||
Other assets | 4,584 | ||
Total assets acquired | 1,298,204 | ||
Liabilities assumed: | |||
Deposits | 1,212,712 | ||
Subordinated debentures | 21,733 | ||
Other liabilities | 4,187 | ||
Total liabilities assumed | 1,238,632 | ||
Net assets acquired | 59,572 | ||
Goodwill | $ 60,156 |
Business Combinations - Unaudit
Business Combinations - Unaudited Pro Forma Information (Details) - First Trust Corporation ("FTC") Merger Agreement - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Business Acquisition [Line Items] | ||||
Net interest income | $ 62,029 | $ 55,280 | $ 165,082 | $ 161,007 |
Other operating income | 17,443 | 20,544 | 55,494 | 63,624 |
Net income available to common shareholders | $ 19,268 | $ 18,514 | $ 47,576 | $ 57,363 |
Earnings per common share: | ||||
Basic (in dollars per share) | $ 1.68 | $ 1.63 | $ 4.16 | $ 5.04 |
Diluted (in dollars per share) | $ 1.68 | $ 1.61 | $ 4.13 | $ 4.99 |
Investment Securities - Summary
Investment Securities - Summary of Amortized Cost and Fair Value of the Securities Available for Sale (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized cost | $ 675,239 | $ 576,658 |
Gross unrealized gains | 294 | 5,368 |
Gross unrealized losses | 60,875 | 5,412 |
Fair value | 614,658 | 576,614 |
U.S. Treasuries | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized cost | 35,741 | |
Gross unrealized gains | 0 | |
Gross unrealized losses | 1,390 | |
Fair value | 34,351 | |
U.S. Government agency obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized cost | 405,428 | 354,774 |
Gross unrealized gains | 140 | 256 |
Gross unrealized losses | 37,885 | 4,780 |
Fair value | 367,683 | 350,250 |
Residential mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized cost | 109,693 | 107,772 |
Gross unrealized gains | 15 | 2,312 |
Gross unrealized losses | 11,887 | 297 |
Fair value | 97,821 | 109,787 |
Commercial mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized cost | 13,846 | 14,286 |
Gross unrealized gains | 0 | 41 |
Gross unrealized losses | 1,808 | 51 |
Fair value | 12,038 | 14,276 |
Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized cost | 11,094 | 12,730 |
Gross unrealized gains | 137 | 421 |
Gross unrealized losses | 144 | 44 |
Fair value | 11,087 | 13,107 |
Corporate investments | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized cost | 49,000 | 43,500 |
Gross unrealized gains | 0 | 1,138 |
Gross unrealized losses | 4,091 | 128 |
Fair value | 44,909 | 44,510 |
State and political subdivisions | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized cost | 50,437 | 43,596 |
Gross unrealized gains | 2 | 1,200 |
Gross unrealized losses | 3,670 | 112 |
Fair value | $ 46,769 | $ 44,684 |
Investment Securities - Summa_2
Investment Securities - Summary of Amortized Cost and Fair Value of Securities Held to Maturity (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized cost | $ 65,889 | $ 71,648 |
Gross unrealized gains | 0 | 436 |
Gross unrealized losses | 384 | 0 |
Fair value | 65,505 | 72,084 |
State and political subdivisions | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized cost | 65,889 | 71,648 |
Gross unrealized gains | 0 | 436 |
Gross unrealized losses | 384 | 0 |
Fair value | $ 65,505 | $ 72,084 |
Investment Securities - Summa_3
Investment Securities - Summary of Investment Securities that were in an Unrealized Loss Position (Details) $ in Thousands | Sep. 30, 2022 USD ($) debtPosition | Dec. 31, 2021 USD ($) debtPosition |
Available for Sale | ||
Fair value, less than 12 months | $ 362,554 | $ 357,967 |
Unrealized losses, less than 12 months | 33,088 | 5,376 |
Fair value, 12 months or more | 236,303 | 2,192 |
Unrealized losses, 12 months or more | 27,787 | 36 |
Fair value, total | 598,857 | 360,159 |
Unrealized losses, total | 60,875 | $ 5,412 |
Held to maturity: | ||
Fair value, less than 12 months | 9,758 | |
Unrealized losses, less than 12 months | 384 | |
Fair value, 12 months or more | 0 | |
Unrealized Losses, 12 months or more | 0 | |
Fair value, total | 9,758 | |
Unrealized losses, total | $ 384 | |
Unrealized loss position, number of positions | debtPosition | 344 | 82 |
U.S. Treasuries | ||
Available for Sale | ||
Fair value, less than 12 months | $ 34,351 | |
Unrealized losses, less than 12 months | 1,390 | |
Fair value, 12 months or more | 0 | |
Unrealized losses, 12 months or more | 0 | |
Fair value, total | 34,351 | |
Unrealized losses, total | 1,390 | |
U.S. Government agencies | ||
Available for Sale | ||
Fair value, less than 12 months | 149,098 | $ 314,614 |
Unrealized losses, less than 12 months | 13,997 | 4,780 |
Fair value, 12 months or more | 214,034 | 0 |
Unrealized losses, 12 months or more | 23,888 | 0 |
Fair value, total | 363,132 | 314,614 |
Unrealized losses, total | 37,885 | 4,780 |
Residential mortgage-backed securities | ||
Available for Sale | ||
Fair value, less than 12 months | 86,999 | 15,216 |
Unrealized losses, less than 12 months | 9,799 | 297 |
Fair value, 12 months or more | 8,740 | 0 |
Unrealized losses, 12 months or more | 2,088 | 0 |
Fair value, total | 95,739 | 15,216 |
Unrealized losses, total | 11,887 | 297 |
Commercial mortgage-backed securities | ||
Available for Sale | ||
Fair value, less than 12 months | 9,412 | 8,376 |
Unrealized losses, less than 12 months | 1,266 | 51 |
Fair value, 12 months or more | 2,626 | 0 |
Unrealized losses, 12 months or more | 542 | 0 |
Fair value, total | 12,038 | 8,376 |
Unrealized losses, total | 1,808 | 51 |
Asset-backed securities | ||
Available for Sale | ||
Fair value, less than 12 months | 1,909 | 2,272 |
Unrealized losses, less than 12 months | 75 | 8 |
Fair value, 12 months or more | 1,831 | 2,192 |
Unrealized losses, 12 months or more | 69 | 36 |
Fair value, total | 3,740 | 4,464 |
Unrealized losses, total | 144 | 44 |
Corporate investments | ||
Available for Sale | ||
Fair value, less than 12 months | 40,379 | 11,372 |
Unrealized losses, less than 12 months | 3,622 | 128 |
Fair value, 12 months or more | 4,530 | 0 |
Unrealized losses, 12 months or more | 469 | 0 |
Fair value, total | 44,909 | 11,372 |
Unrealized losses, total | 4,091 | 128 |
State and political subdivisions | ||
Available for Sale | ||
Fair value, less than 12 months | 40,406 | 6,117 |
Unrealized losses, less than 12 months | 2,939 | 112 |
Fair value, 12 months or more | 4,542 | 0 |
Unrealized losses, 12 months or more | 731 | 0 |
Fair value, total | 44,948 | 6,117 |
Unrealized losses, total | 3,670 | $ 112 |
Held to maturity: | ||
Fair value, less than 12 months | 9,758 | |
Unrealized losses, less than 12 months | 384 | |
Fair value, 12 months or more | 0 | |
Unrealized Losses, 12 months or more | 0 | |
Fair value, total | 9,758 | |
Unrealized losses, total | $ 384 |
Investment Securities - Summa_4
Investment Securities - Summary of Amortized Cost and Fair Value of Debt Securities by Contractual Maturity (Details) $ in Thousands | Sep. 30, 2022 USD ($) |
Amortized cost | |
One year or less | $ 34,491 |
After one through five years | 363,116 |
After five through ten years | 153,343 |
After ten years | 124,289 |
Allocated and single maturity date, total | 675,239 |
Fair value | |
One year or less | 33,739 |
After one through five years | 334,048 |
After five through ten years | 134,894 |
After ten years | 111,977 |
Allocated and single maturity date, total | 614,658 |
Amortized Cost | |
One year or less | 7,868 |
After one through five years | 47,439 |
After five through ten years | 8,372 |
After ten years | 2,210 |
Allocated and single maturity date, total | 65,889 |
Fair Value | |
One year or less | 7,851 |
After one through five years | 47,155 |
After five through ten years | 8,289 |
After ten years | 2,210 |
Allocated and single maturity date, total | $ 65,505 |
Investment Securities - Summa_5
Investment Securities - Summary of the Amortized Cost and Fair Value for Investment Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Available for Sale | ||
Amortized cost | $ 675,239 | $ 576,658 |
Fair value | 614,658 | 576,614 |
Held to Maturity | ||
Securities held to maturity | 65,889 | 71,648 |
Fair value | 65,505 | 72,084 |
Pledged to secure public deposits and for other purposes required or permitted by law | ||
Available for Sale | ||
Amortized cost | 436,693 | 451,402 |
Fair value | 393,434 | 450,480 |
Held to Maturity | ||
Securities held to maturity | 35,755 | 38,704 |
Fair value | $ 35,433 | $ 39,102 |
Loans - Summary of the Company'
Loans - Summary of the Company's Loan Portfolio by Loan Class (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | $ 5,549,768 | $ 3,619,172 |
Real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 4,676,671 | 2,926,050 |
Real estate | Residential properties | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,311,672 | 774,699 |
Real estate | Construction and land development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 945,639 | 543,763 |
Real estate | Farmland | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 273,575 | 211,503 |
Real estate | Other commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 2,145,785 | 1,396,085 |
Commercial and industrial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 664,439 | 527,102 |
Agricultural production and other loans to farmers | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 90,647 | 86,520 |
Consumer and other loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | $ 118,011 | $ 79,500 |
Loans - Summary of Non-accrual
Loans - Summary of Non-accrual Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual loans | $ 6,179 | $ 5,897 |
Real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual loans | 5,394 | 5,708 |
Real estate | Residential properties | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual loans | 2,902 | 3,154 |
Real estate | Construction and land development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual loans | 30 | 51 |
Real estate | Farmland | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual loans | 960 | 1,327 |
Real estate | Other commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual loans | 1,502 | 1,176 |
Commercial and industrial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual loans | 759 | 20 |
Agricultural production and other loans to farmers | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual loans | 0 | 3 |
Consumer and other loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual loans | $ 26 | $ 166 |
Loans - Summary of Past Due Loa
Loans - Summary of Past Due Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | $ 5,549,768 | $ 3,619,172 |
Past Due 90 Days or More and Accruing | 1,558 | 2,914 |
Financial Asset, Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 14,782 | 14,167 |
Past Due 30-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 10,693 | 8,602 |
Past Due 90 Days or More | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 4,089 | 5,565 |
Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 5,534,986 | 3,605,005 |
Real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 4,676,671 | 2,926,050 |
Past Due 90 Days or More and Accruing | 1,257 | 2,192 |
Real estate | Financial Asset, Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 11,854 | 11,753 |
Real estate | Past Due 30-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 8,159 | 7,093 |
Real estate | Past Due 90 Days or More | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 3,695 | 4,660 |
Real estate | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 4,664,817 | 2,914,297 |
Real estate | Residential properties | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,311,672 | 774,699 |
Past Due 90 Days or More and Accruing | 829 | 865 |
Real estate | Residential properties | Financial Asset, Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 8,507 | 6,569 |
Real estate | Residential properties | Past Due 30-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 6,833 | 4,537 |
Real estate | Residential properties | Past Due 90 Days or More | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,674 | 2,032 |
Real estate | Residential properties | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,303,165 | 768,130 |
Real estate | Construction and land development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 945,639 | 543,763 |
Past Due 90 Days or More and Accruing | 66 | 1,085 |
Real estate | Construction and land development | Financial Asset, Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 260 | 1,452 |
Real estate | Construction and land development | Past Due 30-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 194 | 367 |
Real estate | Construction and land development | Past Due 90 Days or More | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 66 | 1,085 |
Real estate | Construction and land development | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 945,379 | 542,311 |
Real estate | Farmland | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 273,575 | 211,503 |
Past Due 90 Days or More and Accruing | 75 | 30 |
Real estate | Farmland | Financial Asset, Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,352 | 1,025 |
Real estate | Farmland | Past Due 30-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 313 | 600 |
Real estate | Farmland | Past Due 90 Days or More | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,039 | 425 |
Real estate | Farmland | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 272,223 | 210,478 |
Real estate | Other commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 2,145,785 | 1,396,085 |
Past Due 90 Days or More and Accruing | 287 | 212 |
Real estate | Other commercial | Financial Asset, Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,735 | 2,707 |
Real estate | Other commercial | Past Due 30-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 819 | 1,589 |
Real estate | Other commercial | Past Due 90 Days or More | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 916 | 1,118 |
Real estate | Other commercial | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 2,144,050 | 1,393,378 |
Commercial and industrial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 664,439 | 527,102 |
Past Due 90 Days or More and Accruing | 107 | 606 |
Commercial and industrial loans | Financial Asset, Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,618 | 1,447 |
Commercial and industrial loans | Past Due 30-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,444 | 824 |
Commercial and industrial loans | Past Due 90 Days or More | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 174 | 623 |
Commercial and industrial loans | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 662,821 | 525,655 |
Agricultural production and other loans to farmers | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 90,647 | 86,520 |
Past Due 90 Days or More and Accruing | 168 | 32 |
Agricultural production and other loans to farmers | Financial Asset, Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 349 | 343 |
Agricultural production and other loans to farmers | Past Due 30-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 181 | 311 |
Agricultural production and other loans to farmers | Past Due 90 Days or More | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 168 | 32 |
Agricultural production and other loans to farmers | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 90,298 | 86,177 |
Consumer and other loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 118,011 | 79,500 |
Past Due 90 Days or More and Accruing | 26 | 84 |
Consumer and other loans | Financial Asset, Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 961 | 624 |
Consumer and other loans | Past Due 30-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 909 | 374 |
Consumer and other loans | Past Due 90 Days or More | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 52 | 250 |
Consumer and other loans | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | $ 117,050 | $ 78,876 |
Loans - Summary of Impaired Loa
Loans - Summary of Impaired Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Impaired loans with no related allowance: | ||
Principal balance | $ 34,772 | $ 35,248 |
Recorded balance | 25,642 | 28,323 |
Impaired loans with related allowance: | ||
Principal balance | 800 | 7,261 |
Recorded investment | 800 | 7,261 |
Related allowance | 7 | 2,014 |
Principal balance, total impaired loans | 35,572 | 42,509 |
Recorded balance, total impaired loans | 26,442 | 35,584 |
Real estate | ||
Impaired loans with no related allowance: | ||
Principal balance | 19,287 | 17,366 |
Recorded balance | 13,879 | 10,842 |
Impaired loans with related allowance: | ||
Principal balance | 800 | 2,719 |
Recorded investment | 800 | 2,719 |
Related allowance | 7 | 313 |
Real estate | Residential properties | ||
Impaired loans with no related allowance: | ||
Principal balance | 7,255 | 7,667 |
Recorded balance | 4,752 | 5,034 |
Impaired loans with related allowance: | ||
Principal balance | 800 | 813 |
Recorded investment | 800 | 813 |
Related allowance | 7 | 9 |
Real estate | Construction and land development | ||
Impaired loans with no related allowance: | ||
Principal balance | 2,273 | 3,615 |
Recorded balance | 908 | 1,649 |
Impaired loans with related allowance: | ||
Principal balance | 0 | 0 |
Recorded investment | 0 | 0 |
Related allowance | 0 | 0 |
Real estate | Farmland | ||
Impaired loans with no related allowance: | ||
Principal balance | 1,387 | 3,413 |
Recorded balance | 969 | 2,859 |
Impaired loans with related allowance: | ||
Principal balance | 0 | 0 |
Recorded investment | 0 | 0 |
Related allowance | 0 | 0 |
Real estate | Other commercial | ||
Impaired loans with no related allowance: | ||
Principal balance | 8,372 | 2,671 |
Recorded balance | 7,250 | 1,300 |
Impaired loans with related allowance: | ||
Principal balance | 0 | 1,906 |
Recorded investment | 0 | 1,906 |
Related allowance | 0 | 304 |
Commercial and industrial loans | ||
Impaired loans with no related allowance: | ||
Principal balance | 15,173 | 17,528 |
Recorded balance | 11,710 | 17,300 |
Impaired loans with related allowance: | ||
Principal balance | 0 | 4,542 |
Recorded investment | 0 | 4,542 |
Related allowance | 0 | 1,701 |
Agricultural production and other loans to farmers | ||
Impaired loans with no related allowance: | ||
Principal balance | 36 | 105 |
Recorded balance | 0 | 15 |
Impaired loans with related allowance: | ||
Principal balance | 0 | 0 |
Recorded investment | 0 | 0 |
Related allowance | 0 | 0 |
Consumer and other loans | ||
Impaired loans with no related allowance: | ||
Principal balance | 276 | 249 |
Recorded balance | 53 | 166 |
Impaired loans with related allowance: | ||
Principal balance | 0 | 0 |
Recorded investment | 0 | 0 |
Related allowance | $ 0 | $ 0 |
Loans - Summary of Average Reco
Loans - Summary of Average Recorded Investment and Interest Recognized for Impaired Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average investment | $ 25,161 | $ 45,542 | $ 28,581 | $ 46,236 |
Interest recognized | 420 | 467 | 781 | 1,427 |
Real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average investment | 12,946 | 23,458 | 13,572 | 25,875 |
Interest recognized | 137 | 183 | 274 | 671 |
Real estate | Residential properties | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average investment | 5,034 | 6,123 | 5,274 | 6,489 |
Interest recognized | 47 | 42 | 66 | 106 |
Real estate | Construction and land development | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average investment | 881 | 1,139 | 1,221 | 2,107 |
Interest recognized | 22 | 23 | 77 | 80 |
Real estate | Farmland | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average investment | 965 | 11,150 | 1,838 | 10,452 |
Interest recognized | 0 | 104 | 0 | 356 |
Real estate | Other commercial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average investment | 6,066 | 5,046 | 5,239 | 6,827 |
Interest recognized | 68 | 14 | 131 | 129 |
Commercial and industrial loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average investment | 12,165 | 21,728 | 14,936 | 20,076 |
Interest recognized | 282 | 281 | 506 | 753 |
Agricultural production and other loans to farmers | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average investment | 5 | 146 | 9 | 94 |
Interest recognized | 1 | 3 | 1 | 3 |
Consumer and other loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average investment | 45 | 210 | 64 | 191 |
Interest recognized | $ 0 | $ 0 | $ 0 | $ 0 |
Loans - Narrative (Details)
Loans - Narrative (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan losses attributable to restructured loans | $ 42,533 | $ 43,353 | $ 45,000 | $ 44,001 | $ 42,004 | $ 36,000 |
Restructured loan | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan losses attributable to restructured loans | $ 7 | $ 139 |
Allowance for Loan Losses - Sch
Allowance for Loan Losses - Schedule of the Credit Quality of the Company's Loan Portfolio by Loan Class (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | $ 5,549,768 | $ 3,619,172 |
Risk Grades 1-6 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 5,502,703 | 3,564,318 |
Risk Grade 7 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 4,249 | 4,097 |
Rick Grade 8 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 42,679 | 50,736 |
Risk Grade 9 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 137 | 21 |
Real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 4,676,671 | 2,926,050 |
Real estate | Risk Grades 1-6 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 4,643,555 | 2,895,247 |
Real estate | Risk Grade 7 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 4,249 | 4,097 |
Real estate | Rick Grade 8 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 28,824 | 26,706 |
Real estate | Risk Grade 9 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 43 | 0 |
Real estate | Residential properties | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,311,672 | 774,699 |
Real estate | Residential properties | Risk Grades 1-6 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,298,704 | 763,116 |
Real estate | Residential properties | Risk Grade 7 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 26 | 0 |
Real estate | Residential properties | Rick Grade 8 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 12,899 | 11,583 |
Real estate | Residential properties | Risk Grade 9 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 43 | 0 |
Real estate | Construction and land development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 945,639 | 543,763 |
Real estate | Construction and land development | Risk Grades 1-6 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 939,982 | 537,573 |
Real estate | Construction and land development | Risk Grade 7 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 4,107 | 4,097 |
Real estate | Construction and land development | Rick Grade 8 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 1,550 | 2,093 |
Real estate | Construction and land development | Risk Grade 9 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 0 | 0 |
Real estate | Farmland | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 273,575 | 211,503 |
Real estate | Farmland | Risk Grades 1-6 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 270,512 | 208,318 |
Real estate | Farmland | Risk Grade 7 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 0 | 0 |
Real estate | Farmland | Rick Grade 8 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 3,063 | 3,185 |
Real estate | Farmland | Risk Grade 9 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 0 | 0 |
Real estate | Other commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 2,145,785 | 1,396,085 |
Real estate | Other commercial | Risk Grades 1-6 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 2,134,357 | 1,386,240 |
Real estate | Other commercial | Risk Grade 7 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 116 | 0 |
Real estate | Other commercial | Rick Grade 8 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 11,312 | 9,845 |
Real estate | Other commercial | Risk Grade 9 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 0 | 0 |
Commercial and industrial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 664,439 | 527,102 |
Commercial and industrial loans | Risk Grades 1-6 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 651,158 | 503,603 |
Commercial and industrial loans | Risk Grade 7 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 0 | 0 |
Commercial and industrial loans | Rick Grade 8 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 13,274 | 23,496 |
Commercial and industrial loans | Risk Grade 9 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 7 | 3 |
Agricultural production and other loans to farmers | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 90,647 | 86,520 |
Agricultural production and other loans to farmers | Risk Grades 1-6 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 90,192 | 86,292 |
Agricultural production and other loans to farmers | Risk Grade 7 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 0 | 0 |
Agricultural production and other loans to farmers | Rick Grade 8 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 368 | 228 |
Agricultural production and other loans to farmers | Risk Grade 9 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 87 | 0 |
Consumer and other loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 118,011 | 79,500 |
Consumer and other loans | Risk Grades 1-6 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 117,798 | 79,176 |
Consumer and other loans | Risk Grade 7 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 0 | 0 |
Consumer and other loans | Rick Grade 8 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | 213 | 306 |
Consumer and other loans | Risk Grade 9 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans before allowance for loan losses | $ 0 | $ 18 |
Allowance for Loan Losses - S_2
Allowance for Loan Losses - Schedule of Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | $ 43,353 | $ 42,004 | $ 45,000 | $ 36,000 |
Provision for loan losses | 489 | 1,469 | 940 | 7,395 |
Recoveries on loans | 841 | 2,308 | 3,145 | 5,142 |
Loans charged off | (2,150) | (1,780) | (6,552) | (4,536) |
Ending balance | 42,533 | 44,001 | 42,533 | 44,001 |
Period End Allowance Balance Allocated To: | ||||
Individually evaluated for impairment | 7 | 1,276 | 7 | 1,276 |
Collectively evaluated for impairment | 42,526 | 42,725 | 42,526 | 42,725 |
Ending balance | 42,533 | 44,001 | 42,533 | 44,001 |
Commercial and industrial loans | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 4,126 | 6,493 | 6,556 | 6,337 |
Provision for loan losses | 1,331 | (565) | (200) | (433) |
Recoveries on loans | 34 | 175 | 114 | 479 |
Loans charged off | (774) | (37) | (1,753) | (317) |
Ending balance | 4,717 | 6,066 | 4,717 | 6,066 |
Period End Allowance Balance Allocated To: | ||||
Individually evaluated for impairment | 0 | 991 | 0 | 991 |
Collectively evaluated for impairment | 4,717 | 5,075 | 4,717 | 5,075 |
Ending balance | 4,717 | 6,066 | 4,717 | 6,066 |
Commercial real estate | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 27,957 | 23,051 | 27,133 | 20,163 |
Provision for loan losses | (1,169) | 616 | (459) | 3,481 |
Recoveries on loans | 272 | 1,625 | 826 | 2,277 |
Loans charged off | (240) | (349) | (680) | (978) |
Ending balance | 26,820 | 24,943 | 26,820 | 24,943 |
Period End Allowance Balance Allocated To: | ||||
Individually evaluated for impairment | 0 | 276 | 0 | 276 |
Collectively evaluated for impairment | 26,820 | 24,667 | 26,820 | 24,667 |
Ending balance | 26,820 | 24,943 | 26,820 | 24,943 |
Residential | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 9,274 | 10,234 | 9,488 | 7,900 |
Provision for loan losses | 193 | 352 | 650 | 2,581 |
Recoveries on loans | 49 | 59 | 158 | 340 |
Loans charged off | (3) | (122) | (783) | (298) |
Ending balance | 9,513 | 10,523 | 9,513 | 10,523 |
Period End Allowance Balance Allocated To: | ||||
Individually evaluated for impairment | 7 | 9 | 7 | 9 |
Collectively evaluated for impairment | 9,506 | 10,514 | 9,506 | 10,514 |
Ending balance | 9,513 | 10,523 | 9,513 | 10,523 |
Consumer and other loans | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 1,996 | 2,226 | 1,823 | 1,600 |
Provision for loan losses | 134 | 1,066 | 949 | 1,766 |
Recoveries on loans | 486 | 449 | 2,047 | 2,046 |
Loans charged off | (1,133) | (1,272) | (3,336) | (2,943) |
Ending balance | 1,483 | 2,469 | 1,483 | 2,469 |
Period End Allowance Balance Allocated To: | ||||
Individually evaluated for impairment | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 1,483 | 2,469 | 1,483 | 2,469 |
Ending balance | $ 1,483 | $ 2,469 | $ 1,483 | $ 2,469 |
Allowance for Loan Losses - S_3
Allowance for Loan Losses - Schedule of the Impairment Methodology (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Individually evaluated for impairment | $ 17,366 | $ 27,062 |
Collectively evaluated for impairment | 5,532,402 | 3,592,110 |
Total Loans | 5,549,768 | 3,619,172 |
Commercial and industrial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Individually evaluated for impairment | 10,952 | 21,822 |
Collectively evaluated for impairment | 653,487 | 505,280 |
Total Loans | 664,439 | 527,102 |
Commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Individually evaluated for impairment | 4,811 | 3,434 |
Collectively evaluated for impairment | 3,360,188 | 2,147,917 |
Total Loans | 3,364,999 | 2,151,351 |
Residential | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Individually evaluated for impairment | 1,603 | 1,640 |
Collectively evaluated for impairment | 1,310,069 | 773,059 |
Total Loans | 1,311,672 | 774,699 |
Consumer and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Individually evaluated for impairment | 0 | 166 |
Collectively evaluated for impairment | 208,658 | 165,854 |
Total Loans | $ 208,658 | $ 166,020 |
Regulatory Matters - Narrative
Regulatory Matters - Narrative (Details) | Sep. 30, 2022 | Dec. 31, 2021 USD ($) |
Regulatory Matters [Abstract] | ||
CET1 capital to risk-weighted assets (as a percentage) | 0.0250 | 0.0250 |
Tier one additional capital, trust preferred securities | $ 51,000,000 | |
Banking regulation, tier one additional capital, trust preferred securities | 0 | |
Tier 2 capital, subordinated debentures | $ 58,800,000 |
Regulatory Matters - Summary of
Regulatory Matters - Summary of Capital Requirements (Details) $ in Thousands | Sep. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) |
Minimum Requirement | ||
CET1 capital to risk-weighted assets (as a percentage) | 0.0250 | 0.0250 |
BancPlus Corporation | ||
Actual | ||
CET1 Capital to Risk-Weighted Assets | $ 382,736 | |
CET1 Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.0940 | |
Tier 1 Capital to Risk-Weighted Assets | $ 433,754 | |
Tier 1 Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.1065 | |
Total Capital to Risk-Weighted Assets | $ 537,541 | |
Total Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.1320 | |
Tier 1 Capital to Average Assets | $ 708,028 | $ 433,754 |
Tier 1 Capital to Average Assets, ratio (as a percentage) | 0.1069 | 0.0846 |
Minimum Requirement | ||
CET1 Capital to Risk-Weighted Assets | $ 285,078 | |
CET1 capital to risk-weighted assets (as a percentage) | 0.0700 | |
Tier 1 Capital to Risk-Weighted Assets | $ 346,166 | |
Tier 1 Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.0850 | |
Total Capital to Risk-Weighted Assets | $ 427,617 | |
Total Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.1050 | |
Tier 1 Capital to Average Assets | $ 595,970 | $ 205,072 |
Tier 1 Capital to Average Assets, ratio (as a percentage) | 0.0900 | 0.0400 |
Subsidiaries | ||
Actual | ||
CET1 Capital to Risk-Weighted Assets | $ 428,602 | |
CET1 Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.1055 | |
Tier 1 Capital to Risk-Weighted Assets | $ 428,602 | |
Tier 1 Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.1055 | |
Total Capital to Risk-Weighted Assets | $ 473,602 | |
Total Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.1165 | |
Tier 1 Capital to Average Assets | $ 622,789 | $ 428,602 |
Tier 1 Capital to Average Assets, ratio (as a percentage) | 0.0941 | 0.0837 |
Minimum Requirement | ||
CET1 Capital to Risk-Weighted Assets | $ 284,509 | |
CET1 capital to risk-weighted assets (as a percentage) | 0.0700 | |
Tier 1 Capital to Risk-Weighted Assets | $ 345,475 | |
Tier 1 Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.0850 | |
Total Capital to Risk-Weighted Assets | $ 426,763 | |
Total Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.1050 | |
Tier 1 Capital to Average Assets | $ 595,436 | $ 204,714 |
Tier 1 Capital to Average Assets, ratio (as a percentage) | 0.0900 | 0.0400 |
Required to be Well Capitalized | ||
CET1 Capital to Risk-Weighted Assets | $ 264,187 | |
CET1 Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.0650 | |
Tier 1 Capital to Risk-Weighted Assets | $ 325,153 | |
Tier 1 Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.0800 | |
Total Capital to Risk-Weighted Assets | $ 406,441 | |
Total Capital to Risk-Weighted Assets, ratio (as a percentage) | 0.1000 | |
Tier 1 Capital to Average Assets | $ 255,893 | |
Tier 1 Capital to Average Assets, ratio (as a percentage) | 0.0500 |
Fair Value - Schedule of Assets
Fair Value - Schedule of Assets and Liabilities Measured on Recurring Basis (Details) $ in Thousands | Sep. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | $ 614,658 | $ 576,614 |
Minimum | Marketability and comparability discounts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Measurement input (as a percent) | 0.05 | |
Maximum | Marketability and comparability discounts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Measurement input (as a percent) | 0.15 | |
Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | $ 0 | 0 |
Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 614,658 | 576,614 |
Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
U.S. Treasuries | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 34,351 | |
U.S. Treasuries | Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | |
U.S. Treasuries | Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 34,351 | |
U.S. Treasuries | Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | |
U.S. Government agency obligations | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 367,683 | 350,250 |
U.S. Government agency obligations | Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
U.S. Government agency obligations | Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 367,683 | 350,250 |
U.S. Government agency obligations | Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
Residential mortgage-backed securities | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 97,821 | 109,787 |
Residential mortgage-backed securities | Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
Residential mortgage-backed securities | Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 97,821 | 109,787 |
Residential mortgage-backed securities | Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
Commercial mortgage-backed securities | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 12,038 | 14,276 |
Commercial mortgage-backed securities | Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
Commercial mortgage-backed securities | Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 12,038 | 14,276 |
Commercial mortgage-backed securities | Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
Asset-backed securities | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 11,087 | 13,107 |
Asset-backed securities | Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
Asset-backed securities | Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 11,087 | 13,107 |
Asset-backed securities | Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
Corporate investments | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 44,909 | 44,510 |
Corporate investments | Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
Corporate investments | Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 44,909 | 44,510 |
Corporate investments | Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
State and political subdivisions | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 46,769 | 44,684 |
State and political subdivisions | Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 0 | 0 |
State and political subdivisions | Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | 46,769 | 44,684 |
State and political subdivisions | Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available for sale | $ 0 | $ 0 |
Fair Value - Schedule of Asse_2
Fair Value - Schedule of Assets Measured at Fair Value on a Non-recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans, net of allowance for loan losses | $ 26,435 | $ 33,570 |
Other real estate owned | 4,850 | 5,815 |
Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans, net of allowance for loan losses | 26,435 | 33,570 |
Other real estate owned | 4,850 | 5,815 |
Nonrecurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans, net of allowance for loan losses | 0 | 0 |
Other real estate owned | 0 | 0 |
Nonrecurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans, net of allowance for loan losses | 0 | 0 |
Other real estate owned | 0 | 0 |
Nonrecurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans, net of allowance for loan losses | 26,435 | 33,570 |
Other real estate owned | $ 4,850 | $ 5,815 |
Fair Value - Qualitative Inform
Fair Value - Qualitative Information About Level 3 Fair Value Measurement (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Impaired loans, net of specific allowance | $ 26,435 | $ 33,570 |
Other real estate owned | $ 4,850 | $ 5,815 |
Selling costs | Third-party appraisals | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Impaired loans, measurement input weighted average (as a percentage) | 6% | 6% |
Other real estate owned, weighted average measurement input (as a percentage) | 6% | 6% |
Minimum | Selling costs | Third-party appraisals | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Impaired loans, net of allowance for loan losses, selling costs (as a percentage) | 5% | 5% |
Other real estate owned, measurement input (as a percentage) | 0.05 | 0.05 |
Maximum | Selling costs | Third-party appraisals | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Impaired loans, net of allowance for loan losses, selling costs (as a percentage) | 10% | 10% |
Other real estate owned, measurement input (as a percentage) | 0.10 | 0.10 |
Fair Value - Summary of Estimat
Fair Value - Summary of Estimated Fair Values of the Company’s Financial Instruments Not Previously Disclosed (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Level 2 inputs: | ||
Securities held to maturity | $ 65,889 | $ 71,648 |
Accrued interest receivable | 20,315 | 14,329 |
Carrying Value | Level 1 | ||
Level 1 inputs: | ||
Cash and cash equivalents | 172,285 | 664,165 |
Carrying Value | Level 2 | ||
Level 2 inputs: | ||
Securities held to maturity | 65,889 | 71,648 |
FHLB stock | 16,759 | 2,731 |
Accrued interest receivable | 20,315 | 14,329 |
Level 2 inputs: | ||
Deposits | 5,594,217 | 4,622,116 |
FHLB and other borrowings | 310,099 | 20,501 |
Subordinated debentures | 133,430 | 111,509 |
Accrued interest payable | 2,949 | 1,425 |
Carrying Value | Level 3 | ||
Level 3 inputs: | ||
Loans held for sale | 4,199 | 10,621 |
Loans, net | 5,507,235 | 3,574,172 |
Fair Value | Level 1 | ||
Level 1 inputs: | ||
Cash and cash equivalents | 172,285 | 664,165 |
Fair Value | Level 2 | ||
Level 2 inputs: | ||
Securities held to maturity | 65,505 | 72,084 |
FHLB stock | 16,759 | 2,731 |
Accrued interest receivable | 20,315 | 14,329 |
Level 2 inputs: | ||
Deposits | 5,050,544 | 4,493,657 |
FHLB and other borrowings | 310,205 | 21,024 |
Subordinated debentures | 139,267 | 111,509 |
Accrued interest payable | 2,949 | 1,425 |
Fair Value | Level 3 | ||
Level 3 inputs: | ||
Loans held for sale | 4,199 | 10,621 |
Loans, net | $ 5,457,342 | $ 3,548,595 |
Subordinated Debentures and T_3
Subordinated Debentures and Trust Preferred Securities - Narrative (Details) - USD ($) | Jun. 04, 2025 | Mar. 01, 2022 | Jun. 04, 2020 | Sep. 30, 2022 | Dec. 31, 2021 |
Subordinated Debt | The Notes | |||||
Debt Instrument [Line Items] | |||||
Face amount of debt issued and sold | $ 60,000,000 | ||||
Issuance costs | $ 1,400,000 | ||||
Unamortized debt issuance costs | $ 1,100,000 | $ 1,200,000 | |||
Period to defer payment of interest (not exceeding) | 5 years | ||||
Remaining purchase discount | 3,800,000 | ||||
Subordinated Debt | The Notes | Forecast | |||||
Debt Instrument [Line Items] | |||||
Multiples allowed to be redeemed | $ 1,000 | ||||
Redemption price (as a percent) | 100% | ||||
Subordinated Debt | The Notes | From and including June 4, 2020, to but excluding June 15, 2025 or early redemption date | |||||
Debt Instrument [Line Items] | |||||
Fixed interest rate | 6% | ||||
Subordinated Debt | The Notes | From and including June 15, 2025, to but excluding the maturity date or early redemption date | SOFR | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 5.86% | ||||
Junior Subordinated Debt | 5.50% Fixed to Floating Rate Subordinated Notes Due 2030 | |||||
Debt Instrument [Line Items] | |||||
Fixed interest rate | 5.50% | ||||
Junior Subordinated Debt | 5.50% Fixed to Floating Rate Subordinated Notes Due 2030 | First Trust Corporation ("FTC") Merger Agreement | |||||
Debt Instrument [Line Items] | |||||
Aggregate obligation assumed in conjunction with FTC merger | $ 21,000,000 | ||||
Remaining purchase premium | $ 633,000 | ||||
Junior Subordinated Debt | 5.50% Fixed to Floating Rate Subordinated Notes Due 2030 | SOFR | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 5.27% |
Subordinated Debentures and T_4
Subordinated Debentures and Trust Preferred Securities - Summary of Debentures Payable to Statutory Trusts (Details) - Subordinated Debt - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Dec. 31, 2021 | |
Debt Instrument [Line Items] | ||
Debentures payable | $ 56,703 | $ 56,703 |
First Bancshares of Baton Rouge Statutory Trust I | ||
Debt Instrument [Line Items] | ||
Debentures payable | 4,124 | 4,124 |
State Capital Statutory Trust IV | ||
Debt Instrument [Line Items] | ||
Debentures payable | 5,155 | 5,155 |
BancPlus Statutory Trust II | ||
Debt Instrument [Line Items] | ||
Debentures payable | 20,619 | 20,619 |
BancPlus Statutory Trust III | ||
Debt Instrument [Line Items] | ||
Debentures payable | 20,619 | 20,619 |
State Capital Master Trust | ||
Debt Instrument [Line Items] | ||
Debentures payable | $ 6,186 | $ 6,186 |
LIBOR | First Bancshares of Baton Rouge Statutory Trust I | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 2.50% | |
LIBOR | State Capital Statutory Trust IV | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.99% | |
LIBOR | BancPlus Statutory Trust II | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.50% | |
LIBOR | BancPlus Statutory Trust III | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.35% | |
LIBOR | State Capital Master Trust | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.46% |
Employee Benefits - Narrative (
Employee Benefits - Narrative (Details) $ / shares in Units, $ in Thousands | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2022 USD ($) hour $ / shares shares | Dec. 31, 2019 shares | Dec. 31, 2012 shares | Dec. 31, 2011 shares | Dec. 31, 2021 USD ($) $ / shares shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Required annual hours of service for participation in ESOP (in hours) | hour | 1,000 | ||||
Employers matching contribution, annual vesting percentage (as a percentage) | 3% | ||||
Employer matching contribution, percent of match (as a percentage) | 50% | ||||
Employer matching contribution, percent of employees' gross pay (as a percentage) | 2% | ||||
ESOP owned shares (in shares) | shares | 1,452,950 | 1,500,732 | |||
Stock repurchased during period (in shares) | shares | 27,594 | 77,000 | 176,786 | ||
Redeemable common stock owned by the ESOP | $ | $ 93,352 | $ 100,487 | |||
Employee Stock Ownership Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Redeemable common stock owned by the ESOP | $ | $ 93,400 | $ 100,500 | |||
Temporary equity (in USD per share) | $ / shares | $ 64.25 | $ 68.25 |
Employee Benefits - Schedule of
Employee Benefits - Schedule of ESOP (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Postemployment Benefits [Abstract] | ||
Allocated shares (in shares) | 1,452,950 | 1,472,334 |
Unearned shares (in shares) | 0 | 28,398 |
Total ESOP (in shares) | 1,452,950 | 1,500,732 |
Fair value of unearned shares (in USD) | $ 0 | $ 1,938 |
Equity (Details)
Equity (Details) - USD ($) $ / shares in Units, $ in Millions | Jun. 22, 2022 | Sep. 30, 2022 |
Class of Stock [Line Items] | ||
Preferred stock, shares authorized (in shares) | 10,000,000 | |
Preferred stock, par value (in dollars per share) | $ 0 | |
Dividends paid initial two years | 0% | |
Period of no dividends paid (in years) | 2 years | |
Review lookback period after year 10, beginning of period | 2 years | |
Review lookback period after year 10, end of period | 10 years | |
Minimum | ||
Class of Stock [Line Items] | ||
Dividend rate after initial two years | 0.50% | |
Maximum | ||
Class of Stock [Line Items] | ||
Dividend rate after initial two years | 2% | |
Noncumulative Preferred Stock | Private Placement | ||
Class of Stock [Line Items] | ||
Shares issued in sale | 250,000 | |
Aggregate purchase price of shares | $ 250 |
Stock Based Compensation - Narr
Stock Based Compensation - Narrative (Details) - Restricted stock awards - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock based compensation expense | $ 2.8 | $ 1.7 |
Forfeited (in shares) | 0 | 1,830 |
Unrecognized compensation cost related to nonvested RSAs | $ 9.6 | |
Unrecognized compensation cost related to nonvested RSAs, period for recognition | 3 years | |
Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period (in years) | 1 year | |
Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period (in years) | 5 years |
Stock Based Compensation - Summ
Stock Based Compensation - Summary of Restricted Stock Activity (Details) - Restricted stock awards - $ / shares | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Number of Shares | ||
Beginning of period (in shares) | 144,572 | 91,109 |
Granted (in shares) | 98,679 | 85,147 |
Vested (in shares) | (55,397) | (33,545) |
Forfeited (in shares) | 0 | (1,830) |
End of period (in shares) | 187,854 | 140,881 |
Weighted Average Grant Date Fair Value | ||
Beginning of period (in dollars per share) | $ 51.56 | $ 50.60 |
Granted (in dollars per share) | 68.13 | 51.59 |
Vested (in dollars per share) | 53.38 | 52.03 |
Forfeited (in dollars per share) | 0 | 49.46 |
Ending of period (in dollars per share) | $ 58.73 | $ 50.88 |
Contingencies (Details)
Contingencies (Details) | Mar. 20, 2019 defendant |
Commitments and Contingencies Disclosure [Abstract] | |
Number of former employees named as defendants | 3 |
Number of current employees named as defendants | 1 |