Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2016 | Nov. 07, 2016 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | FFWM | |
Entity Registrant Name | First Foundation Inc. | |
Entity Central Index Key | 1,413,837 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 16,327,658 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
ASSETS | ||
Cash and cash equivalents | $ 496,813 | $ 215,748 |
Securities available-for-sale (“AFS”) | 542,703 | 565,135 |
Loans held for sale | 200,002 | |
Loans, net of deferred fees | 2,308,829 | 1,765,483 |
Allowance for loan and lease losses (“ALLL”) | (13,600) | (10,600) |
Net loans | 2,295,229 | 1,754,883 |
Investment in FHLB stock | 25,677 | 21,492 |
Premises and equipment, net | 5,342 | 2,653 |
Deferred taxes | 10,156 | 15,392 |
Real estate owned (“REO”) | 544 | 4,036 |
Goodwill and intangibles | 2,232 | 2,416 |
Other assets | 14,970 | 10,824 |
Total Assets | 3,593,668 | 2,592,579 |
Liabilities: | ||
Deposits | 2,338,737 | 1,522,176 |
Borrowings | 951,000 | 796,000 |
Accounts payable and other liabilities | 16,637 | 14,667 |
Total Liabilities | 3,306,374 | 2,332,843 |
Commitments and contingencies | ||
Shareholders’ Equity | ||
Common Stock, par value $0.001: 70,000,000 shares authorized; 16,300,833 and 15,980,526 shares issued and outstanding at September 30, 2016 and December 31, 2015, respectively | 16 | 16 |
Additional paid-in-capital | 231,631 | 227,262 |
Retained earnings | 50,548 | 33,762 |
Accumulated other comprehensive income (loss), net of tax | 5,099 | (1,304) |
Total Shareholders’ Equity | 287,294 | 259,736 |
Total Liabilities and Shareholders’ Equity | $ 3,593,668 | $ 2,592,579 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Sep. 30, 2016 | Dec. 31, 2015 |
Statement Of Financial Position [Abstract] | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 70,000,000 | 70,000,000 |
Common stock, shares issued | 16,300,833 | 15,980,526 |
Common stock, shares outstanding | 16,300,833 | 15,980,526 |
CONSOLIDATED INCOME STATEMENTS
CONSOLIDATED INCOME STATEMENTS - UNAUDITED - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Interest income: | ||||
Loans | $ 22,231 | $ 15,634 | $ 61,362 | $ 41,097 |
Securities AFS | 3,202 | 1,107 | 9,423 | 2,744 |
Fed funds sold, FHLB stock and deposits | 571 | 367 | 1,490 | 1,418 |
Total interest income | 26,004 | 17,108 | 72,275 | 45,259 |
Interest expense: | ||||
Deposits | 2,426 | 1,328 | 6,194 | 3,366 |
Borrowings | 415 | 319 | 1,636 | 1,137 |
Total interest expense | 2,841 | 1,647 | 7,830 | 4,503 |
Net interest income | 23,163 | 15,461 | 64,445 | 40,756 |
Provision for loan losses | 1,231 | 570 | 2,881 | 1,473 |
Net interest income after provision for loan losses | 21,932 | 14,891 | 61,564 | 39,283 |
Noninterest income: | ||||
Asset management, consulting and other fees | 6,141 | 5,870 | 18,127 | 17,642 |
Gain on sale of loans | 7,238 | 205 | 7,238 | 205 |
Gain (loss) on capital markets activities | 993 | (2) | (1,055) | (28) |
Other income | 707 | 795 | 2,664 | 1,673 |
Total noninterest income | 15,079 | 6,868 | 26,974 | 19,492 |
Noninterest expense: | ||||
Compensation and benefits | 12,059 | 10,870 | 36,707 | 29,440 |
Occupancy and depreciation | 3,072 | 2,561 | 8,783 | 6,486 |
Professional services and marketing costs | 3,525 | 1,481 | 7,808 | 4,051 |
Other expenses | 2,880 | 2,044 | 7,505 | 4,311 |
Total noninterest expense | 21,536 | 16,956 | 60,803 | 44,288 |
Income before taxes on income | 15,475 | 4,803 | 27,735 | 14,487 |
Taxes on income | 5,800 | 2,041 | 10,949 | 6,157 |
Net income | $ 9,675 | $ 2,762 | $ 16,786 | $ 8,330 |
Net income per share: | ||||
Basic | $ 0.60 | $ 0.22 | $ 1.04 | $ 0.87 |
Diluted | $ 0.58 | $ 0.21 | $ 1.01 | $ 0.84 |
Shares used to compute net income per share: | ||||
Basic | 16,257,008 | 12,623,924 | 16,132,112 | 9,534,056 |
Diluted | 16,787,947 | 13,074,935 | 16,682,807 | 9,929,445 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - Unaudited - 9 months ended Sep. 30, 2016 - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in-Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) |
Beginning balance at Dec. 31, 2015 | $ 259,736 | $ 16 | $ 227,262 | $ 33,762 | $ (1,304) |
Beginning balance (in shares) at Dec. 31, 2015 | 15,980,526 | ||||
Net income | 16,786 | 16,786 | |||
Other comprehensive income | 6,403 | 6,403 | |||
Stock based compensation | 712 | 712 | |||
Exercise of options | 3,657 | 3,657 | |||
Exercise of options (in shares) | 293,471 | ||||
Issuance of restricted stock (in shares) | 26,836 | ||||
Ending balance at Sep. 30, 2016 | $ 287,294 | $ 16 | $ 231,631 | $ 50,548 | $ 5,099 |
Ending balance (in shares) at Sep. 30, 2016 | 16,300,833 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - UNAUDITED - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income | $ 9,675 | $ 2,762 | $ 16,786 | $ 8,330 |
Other comprehensive income: | ||||
Unrealized holding gains (loss) on securities arising during the period | (1,033) | 2,690 | 9,805 | 1,477 |
Other comprehensive income (loss) before tax | (1,033) | 2,690 | 9,805 | 1,477 |
Income tax (expense) benefit related to items of other comprehensive income | 425 | (1,107) | (4,035) | (607) |
Other comprehensive income (loss) | (608) | 1,583 | 5,770 | 870 |
Less: Reclassification adjustment for gains (loss) included in net earnings | (993) | (2) | 1,055 | (28) |
Income tax (expense) benefit related to reclassification adjustment | 397 | 1 | (422) | 12 |
Reclassification adjustment for gains included in net earnings, net of tax | (596) | (1) | 633 | (16) |
Other comprehensive income (loss), net of tax | (1,204) | 1,582 | 6,403 | 854 |
Total comprehensive income | $ 8,471 | $ 4,344 | $ 23,189 | $ 9,184 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - UNAUDITED - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Cash Flows from Operating Activities: | ||
Net income | $ 16,786 | $ 8,330 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Provision for loan losses | 2,881 | 1,473 |
Stock–based compensation expense | 712 | 383 |
Depreciation and amortization | 1,338 | 995 |
Deferred tax provision | 758 | (1,068) |
Accretion of discounts on purchased loans, net | (755) | (523) |
Gain on sale of loans | (7,238) | (205) |
Gain on sale of capital market activities | (1,307) | |
Increase in other assets | (1,429) | (2,076) |
Increase (decrease) in accounts payable and other liabilities | 1,970 | (14) |
Net cash provided by operating activities | 13,716 | 7,295 |
Cash Flows from Investing Activities: | ||
Net increase in loans | (1,008,136) | (402,543) |
Proceeds from sale of REO | 4,442 | 2,205 |
Proceeds from sale of loans | 270,005 | |
Purchases of premises and equipment | (4,027) | (1,142) |
Purchases of securities AFS | (130,829) | (225,396) |
Proceeds from sale of securities AFS | 104,146 | |
Maturities / payments – securities AFS | 60,715 | 11,648 |
Cash acquired in acquisition | 38,081 | |
Purchases (net of redemptions) of FHLB stock | (4,185) | (5,307) |
Net cash used in investing activities | (707,869) | (582,454) |
Cash Flows from Financing Activities: | ||
Increase in deposits | 816,561 | 238,732 |
FHLB Advances – net increase | 155,000 | 397,000 |
Proceeds – term note | 10,114 | |
Principal payments – term note | (30,000) | |
Proceeds from sale of stock, net | 3,657 | 135,959 |
Net cash provided by financing activities | 975,218 | 751,805 |
Increase in cash and cash equivalents | 281,065 | 176,646 |
Cash and cash equivalents at beginning of year | 215,748 | 29,692 |
Cash and cash equivalents at end of period | 496,813 | 206,338 |
Supplemental disclosures of cash flow information: | ||
Interest | 7,334 | 4,444 |
Income taxes | 10,050 | 7,650 |
Noncash transactions: | ||
Recoveries (net of chargeoffs) added to allowance for loans losses | 119 | 323 |
Transfer of loans to REO | 950 | |
Transfer of loans to loans held for sale | 468,743 | $ 113,325 |
Mortgage servicing rights created from sale of loans | $ 1,945 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation | NOTE 1: BASIS OF PRESENTATION The consolidated financial statements include First Foundation Inc. (“FFI”) and its wholly owned subsidiaries: First Foundation Advisors (“FFA”), First Foundation Bank (“FFB” or the “Bank”) and First Foundation Insurance Services (“FFIS”), a wholly owned subsidiary of FFB (collectively referred to as the “Company”). All inter-company balances and transactions have been eliminated in consolidation. The results of operations reflect any interim adjustments, all of which are of a normal recurring nature and which, in the opinion of management, are necessary for a fair presentation of the results for the interim period presented. The results for the 2016 interim periods are not necessarily indicative of the results expected for the full year. The consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America and prevailing practices within the banking industry. In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and revenues and expenses for the period. Actual results could differ significantly from those estimates. The accompanying unaudited consolidated financial statements include all information and footnotes required for interim financial statement presentation. Those financial statements assume that readers of this Report have read the most recent Annual Report on Form 10-K which contains the latest available audited consolidated financial statements and notes thereto as of and for the year ended December 31, 2015. Certain reclassifications have been made to the prior year consolidated financial statements to conform to the 2016 presentation. In March 2016, the Financial Accounting Standards Board (“ FASB”) Accounting Standards Update (“ASU”) Compensation - Stock Compensation (Topic 718): Improvement to Employee Share-Based Payment Accounting In August 2016, the FASB issued ASU “Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments” In June 2016, the FASB issued ASU “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” On February 25, 2016, the FASB issued ASU 2016-02, Leases (Topic 842) The amendments in this update are effective for interim and annual periods beginning after December 15, 2018. On January 5, 2016, the FASB issued ASU 2016-01, Financial Instruments–Overall: Recognition and Measurement of Financial Assets and Financial Liabilities (Subtopic 825-10) In September, 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments |
Acquisitions
Acquisitions | 9 Months Ended |
Sep. 30, 2016 | |
Business Combinations [Abstract] | |
Acquisitions | NOTE 2: ACQUISITIONS On June 16, 2015, the Company completed the acquisition of Pacific Rim Bank (“PRB”), through a merger of PRB with and into the Bank, in exchange for 621,345 shares of its common stock with a fair value of $19.00 per share and $543,000 in cash, which was paid to dissenting shareholders. The primary reason for acquiring PRB was to expand our operations into Hawaii. The acquisition is accounted for under the purchase method of accounting. The acquired assets, assumed liabilities and identifiable intangible assets are recorded at their respective acquisition date fair values. Goodwill of $1.3 million, which is not tax deductible, is included in intangible assets in the table below. The following table represents the assets acquired and liabilities assumed of PRB as of June 16, 2015 and the fair value adjustments and amounts recorded by the Bank in 2015 under the acquisition method of accounting: PRB Book Value Fair Value Adjustments Fair Value (dollars in thousands) Assets Acquired: Cash and cash equivalents $ 38,624 $ — $ 38,624 Securities AFS 7,179 115 7,294 Loans, net of deferred fees 80,192 (2,419 ) 77,773 Allowance for loan losses (2,034 ) 2,034 — Premises and equipment, net 251 (188 ) 63 Investment in FHLB stock 152 — 152 Deferred taxes — 2,258 2,258 REO 4,374 (672 ) 3,702 Goodwill — 1,300 1,300 Core deposit intangible — 1,099 1,099 Other assets 269 — 269 Total assets acquired $ 129,007 $ 3,527 $ 132,534 Liabilities Assumed: Deposits $ 119,663 $ 178 $ 119,841 Accounts payable and other liabilities 442 (98 ) 344 Total liabilities assumed 120,105 80 120,185 Excess of assets acquired over liabilities assumed 8,902 3,447 12,349 Total $ 129,007 $ 3,527 $ 132,534 Consideration: Stock issued $ 11,806 Cash paid 543 Total $ 12,349 In many cases, the fair values of assets acquired and liabilities assumed were determined by estimating the cash flows expected to result from those assets and liabilities and discounting them at appropriate market rates. The most significant category of assets for which this procedure was used was that of acquired loans. The excess of expected cash flows above the fair value of the majority of loans will be accreted to interest income over the remaining lives of the loans in accordance with FASB Accounting Standards Codification (“ASC”) 310-20. Certain loans, for which specific credit-related deterioration since origination was identified, are recorded at fair value reflecting the present value of the amounts expected to be collected. Income recognition on these “purchased credit impaired” loans is based on a reasonable expectation about the timing and amount of cash flows to be collected. Acquired loans deemed impaired and considered collateral dependent, with the timing of the sale of loan collateral indeterminate, remain on nonaccrual status and have no accretable yield. All purchased credit impaired loans were classified as accruing loans as of and subsequent to the acquisition date. In accordance with generally accepted accounting principles there was no carryover of the allowance for loan losses that had been previously recorded by PRB. The Company recorded a deferred income tax asset of $2.3 million related to PRB’s operating loss carry-forward and other tax attributes of PRB, along with the effects of fair value adjustments resulting from applying the purchase method of accounting. The fair value of savings and transaction deposit accounts acquired from PRB were assumed to approximate their carrying value as these accounts have no stated maturity and are payable on demand. Certificates of deposit accounts were valued by comparing the contractual cost of the portfolio to an identical portfolio bearing current market rates. The portfolio was segregated into pools based on remaining maturity. For each pool, the projected cash flows from maturing certificates were then calculated based on contractual rates and prevailing market rates. The valuation adjustment for each pool is equal to the present value of the difference of these two cash flows, discounted at the assumed market rate for a certificate with a corresponding maturity. This valuation adjustment will be accreted to reduce interest expense over the remaining maturities of the respective pools. The Company also recorded a core deposit intangible, which represents the value of the deposit relationships acquired from PRB, of $1.1 million. The core deposit intangible will be amortized over a period of 7 years. Pro Forma Information (unaudited) The following table presents unaudited pro forma information as if the acquisition of PRB had occurred on January 1, 2015, for the nine months period ending September 30, 2015, after giving effect to certain adjustments. The unaudited pro forma information for these periods includes adjustments for interest income on loans acquired, amortization of intangibles arising from the transaction, adjustments for interest expense on deposits acquired, and the related income tax effects of all these items and the income tax benefits derived from PRB’s loss before taxes. The net effect of these pro forma adjustments was an increase of Pro Forma (dollars in thousands) Net interest income $ 42,386 Provision for loan losses 1,473 Noninterest income 19,610 Noninterest expenses 47,050 Income before taxes 13,473 Taxes on income 5,728 Net income $ 7,745 Net income per share: Basic $ 0.76 Diluted $ 0.73 The revenues (net interest income and noninterest income) and net income for the period from June 16, 2015 to September 30, 2015 related to the operations acquired from PRB and included in the results of operations for 2015 was approximately $1.6 million and $0.5 million, respectively. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | NOTE 3: FAIR VALUE MEASUREMENTS Assets Measured at Fair Value on a Recurring Basis F air 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. Current accounting guidance establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. There are three levels of inputs that may be used to measure fair values: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2: Significant observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect the Company's own assumptions requiring significant judgment or estimation about the assumptions that market participants would use in pricing an asset or liability. The Fair Value Measurement Level Total Level 1 Level 2 Level 3 (dollars in thousands) September 30, 2016: Investment securities available for sale: US Treasury securities $ 300 $ 300 $ — $ — Agency mortgage-backed securities 498,886 — 498,886 — Beneficial interest – FHLMC securitizations 43,517 — — 43,517 Total assets at fair value on a recurring basis $ 542,703 $ 300 $ 498,886 $ 43,517 December 31, 2015: Investment securities available for sale: US Treasury securities $ 300 $ 300 $ — $ — FNMA and FHLB Agency notes 16,013 — 16,013 — Agency mortgage-backed securities 536,148 — 536,148 — Beneficial interest – FHLMC securitizations 12,674 — — 12,674 Total assets at fair value on a recurring basis $ 565,135 $ 300 $ 552,161 $ 12,674 The increase in level 3 assets from December 31, 2015 was due to Beneficial interest – FHLMC securitization purchases. The Company did not have any material assets measured at fair value on a nonrecurring basis as of September 30, 2016 and December 31, 2015. Fair Value of Financial Instruments We have elected to use fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. Securities available for sale are measured at fair value on a recurring basis. Additionally, from time to time, we may be required to measure at fair value other assets on a nonrecurring basis, such as loans held for investment and certain other assets. These nonrecurring fair value adjustments typically involve application of lower of cost or market accounting or write-downs of individual assets. Fair value estimates are made at a discrete point in time based on relevant market information and other information about the financial instruments. Because no active market exists for a significant portion of our financial instruments, fair value estimates are based in large part on judgments we make primarily regarding current economic conditions, risk characteristics of various financial instruments, prepayment rates, and future expected loss experience. These estimates are subjective in nature and invariably involve some inherent uncertainties. Additionally, unexpected changes in events or circumstances can occur that could require us to make changes to our assumptions and which, in turn, could significantly affect and require us to make changes to our previous estimates of fair value. In addition, the fair value estimates are based on existing on and off-balance sheet financial instruments without attempting to estimate the value of existing and anticipated future customer relationships and the value of assets and liabilities that are not considered financial instruments, such as premises and equipment and other real estate owned. The Company does not currently have any material assets measured at fair value on a nonrecurring basis. The following methods and assumptions were used to estimate the fair value of financial instruments. Cash and Cash Equivalents . The fair value of cash and cash equivalents approximates its carrying value. Investment Securities Available for Sale . Investment securities available-for-sale are measured at fair value on a recurring basis. Fair value measurement is based upon quoted prices, if available. If quoted prices are not available, fair values are measured using independent pricing models or other model-based valuation techniques such as the present value of future cash flows, adjusted for the security’s credit rating, prepayment assumptions and other factors such as credit loss assumptions. When a market is illiquid or there is a lack of transparency around the inputs to valuation, the securities are classified as Level 3 and reliance is placed upon internally developed models, and management judgment and evaluation for valuation. Level 1 securities include those traded on an active exchange, such as the New York Stock Exchange, U.S. Treasury securities that are traded by dealers or brokers in active over-the-counter markets and money market funds. Level 2 securities include mortgage-backed securities issued by government sponsored entities, municipal bonds and corporate debt securities. Securities classified as level 3 include beneficial interests – FHLMC securitization. Significant assumptions in the valuation of these Level 3 securities as of September 30, 2016 included a prepayment rate of 15% and discount rates ranging from 4.0% to 10%. Federal Home Loan Bank Stock. The Bank is a member of the Federal Home Loan Bank (the “FHLB”). As a member, we are required to own stock of the FHLB, the amount of which is based primarily on the level of our borrowings from this institution. The fair value of that stock is equal to the carrying amount, is classified as restricted securities and is periodically evaluated for impairment based on our assessment of the ultimate recoverability of our investments in that stock. Any cash or stock dividends paid to us on such stock are reported as income. Loans Held for Sale. Mortgage loans originated or transferred and intended for sale in the secondary market are carried at the lower of aggregate cost or fair value, as determined by outstanding commitments from investors. Net unrealized losses, if any, are recorded as a valuation allowance and charged to earnings. Loans . The fair value for loans with variable interest rates is the carrying amount. The fair value of fixed rate loans is derived by calculating the discounted value of future cash flows expected to be received by the various homogeneous categories of loans. All loans have been adjusted to reflect changes in credit risk. Impaired Loans . ASC 820-10 applies to loans measured for impairment in accordance with ASC 310-10, “Accounting by Creditors for Impairment of a Loan”, including impaired loans measured at an observable market price (if available), and at the fair value of the loan’s collateral (if the loan is collateral dependent) less estimated selling cost. The fair value of an impaired loan is estimated using one of several methods, including collateral value, market value of similar debt, enterprise value, liquidation value and discounted cash flows. When the fair value of the collateral is based on an observable market price or a current appraised value, we measure the impaired loan at nonrecurring Level 2. When an appraised value is not available, or management determines the fair value of the collateral is further impaired below the appraised value and there is no observable market price or a discounted cash flow has been used to determine the fair value, we measure the impaired loan at nonrecurring Level 3. Mortgage Servicing Rights . Fair values are measured using independent pricing models or other model-based valuation techniques that would incorporate assumptions that market participants would use in estimating the fair value of servicing. These assumptions might include estimates of prepayment speeds, discount rate, costs to service, escrow account earnings, contractual servicing fee income, prepayment and late fees, among other considerations. Mortgage servicing rights are considered a Level 3 measurement at September 30, 2016 and are included in other assets in the accompanying consolidated balance sheets Deposits . The fair value of demand deposits, savings deposits, and money market deposits is defined as the amounts payable on demand at quarter-end. The fair value of fixed maturity certificates of deposit is estimated based on the discounted value of the future cash flows expected to be paid on the deposits, using current market rates. Borrowings . The fair value of $951 million in borrowings is the carrying value of overnight FHLB advances that approximate fair value because of the short-term maturity of this instrument, resulting in a Level 2 classification. The fair value of term borrowings is derived by calculating the discounted value of future cash flows expected to be paid out by the Company. The carrying amounts and estimated fair values of financial instruments are as follows as of: Carrying Fair Value Measurement Level (dollars in thousands) Value 1 2 3 Total September 30, 2016: Assets: Cash and cash equivalents $ 496,813 $ 496,813 $ — $ — $ 496,813 Securities AFS 542,703 300 498,886 43,517 542,703 Loans 2,295,229 — — 2,313,425 2,313,425 Loans held for sale 200,002 — — 200,002 200,002 Investment in FHLB stock 25,677 — 25,677 — 25,677 Liabilities: Deposits 2,338,737 1,787,742 551,051 — 2,338,737 Borrowings 951,000 — 951,000 — 951,000 December 31, 2015: Assets: Cash and cash equivalents $ 215,748 $ 215,748 $ — $ — $ 215,748 Securities AFS 565,135 300 552,161 12,674 565,135 Loans 1,754,883 — — 1,779,941 1,779,941 Investment in FHLB stock 21,492 — 21,492 — 21,492 Liabilities: Deposits 1,522,176 1,051,976 470,128 — 1,522,104 Borrowings 796,000 — 796,000 — 796,000 |
Securities
Securities | 9 Months Ended |
Sep. 30, 2016 | |
Investments Debt And Equity Securities [Abstract] | |
Securities | NOTE 4: SECURITIES The following table provides a summary of the Company’s securities AFS portfolio as of: Amortized Gross Unrealized Estimated (dollars in thousands) Cost Gains Losses Fair Value September 30, 2016: US Treasury securities $ 300 $ — $ — $ 300 Agency mortgage-backed securities 489,233 9,749 (96 ) 498,886 Beneficial interests in FHLMC securitization 44,505 121 (1,109 ) 43,517 Total $ 534,038 $ 9,870 $ (1,205 ) $ 542,703 December 31, 2015: US Treasury securities $ 300 $ — $ — $ 300 FNMA and FHLB Agency notes 16,108 — (95 ) 16,013 Agency mortgage-backed securities 538,269 909 (3,030 ) 536,148 Beneficial interests in FHLMC securitization 12,674 476 (476 ) 12,674 Total $ 567,351 $ 1,385 $ (3,601 ) $ 565,135 The US Treasury securities are pledged as collateral to the State of California to meet regulatory requirements related to the Bank’s trust operations. The belo indicate a o September 30 and December 31, 2015 th gros unrealize losse an fai value o ou investments aggregate b investmen categor and lengt o tim tha th individua securitie hav bee i continuou unrealize los position. Securities with Unrealized Loss at September 30, 2016 Less than 12 months 12 months or more Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Agency and FHLB Agency notes $ 46,649 $ (96 ) $ — $ — $ 46,649 $ (96 ) Beneficial interests in FHLMC securitization 31,645 (1,109 ) — — 31,645 (1,109 ) $ 78,294 $ (1,205 ) $ — $ — $ 78,294 $ (1,205 ) Securities with Unrealized Loss at December 31, 2015 Less than 12 months 12 months or more Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Agency notes $ 16,013 $ (95 ) $ — $ — $ 16,013 $ (95 ) Agency mortgage backed securities 397,850 (3,030 ) — — 397,850 (3,030 ) Beneficial interests in FHLMC securitization 12,674 (476 ) — — 12,674 (476 ) $ 426,537 $ (3,601 ) $ — $ — $ 426,537 $ (3,601 ) Unrealized losses in agency and FHLB agency notes, agency mortgage backed securities, and beneficial interests in FHLMC securitizations have not been recognized into income because the issuer bonds are of high credit quality, management does not intend to sell, it is not more likely than not that management would be required to sell the securities prior to their anticipated recovery, and the decline in fair value is largely due to changes in discount rates and assumptions regarding future interest rates. The fair value is expected to recover as the bonds approach maturity. The scheduled maturities of securities AFS and the related weighted average yields were as follows as of September 30, 2016: (dollars in thousands) Less than 1 Through 5 Through After 10 Total Amortized Cost: US Treasury securities $ — $ 300 $ — $ — $ 300 Weighted average yield — % 0.90 % — % — % 0.90 % Estimated Fair Value: US Treasury Securities $ — $ 300 $ — $ — $ 300 Agency mortgage backed securities and beneficial interests in FHLMC securitizations are excluded from the above table because such securities are not due at a single maturity date. The weighted average yield of the agency mortgage backed securities and beneficial interests in FHLMC securitizations as of September 30, 2016 was 2.59%. |
Loans
Loans | 9 Months Ended |
Sep. 30, 2016 | |
Receivables [Abstract] | |
Loans | NOTE 5: LOANS The following is a summary of our loans as of: (dollars in thousands) September 30, December 31, Outstanding principal balance: Loans secured by real estate: Residential properties: Multifamily $ 986,921 $ 627,311 Single family 576,886 533,257 Total real estate loans secured by residential properties 1,563,807 1,160,568 Commercial properties 459,703 358,791 Land and construction 20,034 12,320 Total real estate loans 2,043,544 1,531,679 Commercial and industrial loans 228,579 196,584 Consumer loans 34,248 37,206 Total loans 2,306,371 1,765,469 Premiums, discounts and deferred fees and expenses 2,458 14 Total $ 2,308,829 $ 1,765,483 As of September 30, 2016 and December 31, 2015, the principal balances shown above are net of unaccreted discount related to loans acquired in an acquisition of $2.1 million and $2.8 million, respectively. In 2012 and 2015, the Company purchased loans, for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. The carrying amount of these purchased credit impaired loans is as follows as of: (dollars in thousands) September 30, 2016 December 31, Outstanding principal balance: Loans secured by real estate: Commercial properties $ 298 $ 533 Land — 1,616 Total real estate loans 298 2,149 Commercial and industrial loans 6,192 6,787 Consumer loans 5 14 Total loans 6,495 8,950 Unaccreted discount on purchased credit impaired loans (1,625 ) (2,291 ) Total $ 4,870 $ 6,659 Accretable yield, or income expected to be collected on purchased credit impaired loans, and the related changes, is as follows for the periods indicated: (dollars in thousands) Nine Months Ended September 30, 2016 Year Ended December 31, 2015 Beginning balance $ 582 $ 130 Accretion of income (155 ) (529 ) Reclassifications from nonaccretable difference — 176 Acquisition — 805 Disposals (108 ) — Ending balance $ 319 $ 582 The following table summarizes our delinquent and nonaccrual loans as of: Past Due and Still Accruing Total Past (dollars in thousands) 30–59 Days 60-89 Days 90 Days Nonaccrual Due and Current Total September 30, 2016: Real estate loans: Residential properties $ — $ — $ — $ 4,021 $ 4,021 $ 1,559,786 $ 1,563,807 Commercial properties 1,363 — 780 1,187 3,330 456,373 459,703 Land and construction — — — — — 20,034 20,034 Commercial and industrial loans 4,145 5 3,136 4,184 11,470 217,109 228,579 Consumer loans 18 — — 14 32 34,216 34,248 Total $ 5,526 $ 5 $ 3,916 $ 9,406 $ 18,853 $ 2,287,518 $ 2,306,371 Percentage of total loans 0.24 % — % 0.17 % 0.41 % 0.82 % December 31, 2015: Real estate loans: Residential properties $ — $ — $ — $ — $ — $ 1,160,568 $ 1,160,568 Commercial properties 1,232 — 793 1,552 3,577 355,214 358,791 Land and construction — — — — — 12,320 12,320 Commercial and industrial loans 2,425 1,639 5,713 2,509 12,286 184,298 196,584 Consumer loans 1,010 — 1,991 75 3,076 34,130 37,206 Total $ 4,667 $ 1,639 $ 8,497 $ 4,136 $ 18,939 $ 1,746,530 $ 1,765,469 Percentage of total loans 0.26 % 0.09 % 0.48 % 0.23 % 1.07 % The level of delinquent loans and nonaccrual loans have been adversely impacted by the loans acquired from acquisitions. As of September 30, 2016, of the $13.3 Accrual of interest on loans is discontinued when reasonable doubt exists as to the full, timely collection of interest or principal and, generally, when a loan becomes contractually past due for ninety days or more with respect to principal or interest. The accrual of interest may be continued on a well-secured loan contractually past due ninety days or more with respect to principal or interest if the loan is in the process of collection or collection of the principal and interest is deemed probable. The Bank considers a loan to be impaired when, based upon current information and events, it believes it is probable that the Bank will be unable to collect all amounts due according to the contractual terms of the loan agreement. The determination of past due, nonaccrual or impairment status of loans acquired in an acquisition, other than loans deemed purchased impaired, is the same as loans we originate. The troubled debt restructure (“TDR”) activity during the first nine months of 2016 consisted of 6 commercial and industrial loans, with a recorded investment of $3.9 million, whose payment terms were restructured. The TDR activity during the first nine months of 2015 consisted of two commercial and industrial loans, with a recorded investment of $0.5 million, whose payment terms were restructured. |
Allowance for Loan Losses
Allowance for Loan Losses | 9 Months Ended |
Sep. 30, 2016 | |
Receivables [Abstract] | |
Allowance for Loan Losses | NOTE 6: ALLOWANCE FOR LOAN LOSSES The following is a roll forward of the Bank’s allowance for loan losses for the following periods: (dollars in thousands) Beginning Provision for Charge-offs Recoveries Ending Quarter Ended September 30, 2016: Real estate loans: Residential properties $ 5,353 $ 951 $ — $ — $ 6,304 Commercial properties 1,887 572 — 169 2,628 Land and construction 272 (70 ) 202 Commercial and industrial loans 4,139 31 — — 4,170 Consumer loans 549 (253 ) — — 296 Total $ 12,200 $ 1,231 $ — $ 169 $ 13,600 Nine Months Ended September 30, 2016: Real estate loans: Residential properties $ 6,799 $ (495 ) $ — $ — $ 6,304 Commercial properties 1,813 696 (50 ) 169 2,628 Land and construction 103 99 202 Commercial and industrial loans 1,649 2,521 — — 4,170 Consumer loans 236 60 — — 296 Total $ 10,600 $ 2,881 $ (50 ) $ 169 $ 13,600 Year Ended December 31, 2015: Real estate loans: Residential properties $ 6,546 $ 253 $ — $ — $ 6,799 Commercial properties 1,499 624 (310 ) — 1,813 Land and construction 67 36 — — 103 Commercial and industrial loans 1,897 1,665 (1,913 ) — 1,649 Consumer loans 141 95 — — 236 Total $ 10,150 $ 2,673 $ (2,223 ) $ — $ 10,600 The following table presents the balance in the allowance for loan losses and the recorded investment in loans by impairment method as of: (dollars in thousands) Allowance for Loan Losses Unaccreted Evaluated for Impairment Purchased Component Individually Collectively Impaired Total Other Loans September 30, 2016: Allowance for loan losses: Real estate loans: Residential properties $ — $ 6,304 $ — $ 6,304 $ 148 Commercial properties — 2,628 — 2,628 149 Land and construction — 202 — 202 3 Commercial and industrial loans — 4,170 — 4,170 161 Consumer loans — 296 — 296 20 Total $ — $ 13,600 $ — $ 13,600 $ 481 Loans: Real estate loans: Residential properties $ 3,844 $ 1,559,963 $ — $ 1,563,807 $ 13,472 Commercial properties 1,187 458,334 182 459,703 24,982 Land and construction — 20,034 — 20,034 436 Commercial and industrial loans 2,653 221,238 4,688 228,579 24,157 Consumer loans 14 34,234 — 34,248 1,477 Total $ 7,698 $ 2,293,803 $ 4,870 $ 2,306,371 $ 64,524 December 31, 2015: Allowance for loan losses: Real estate loans: Residential properties $ — $ 6,799 $ — $ 6,799 $ 127 Commercial properties 30 1,783 — 1,813 363 Land and construction — 103 — 103 42 Commercial and industrial loans — 1,649 — 1,649 187 Consumer loans — 236 — 236 13 Total $ 30 $ 10,570 $ — $ 10,600 $ 732 Loans: Real estate loans: Residential properties $ — $ 1,160,568 $ — $ 1,160,568 $ 7,747 Commercial properties 6,275 352,162 354 358,791 43,287 Land and construction — 11,180 1,140 12,320 4,267 Commercial and industrial loans 5,687 185,732 5,165 196,584 28,231 Consumer loans 76 37,130 — 37,206 1,761 Total $ 12,038 $ 1,746,772 $ 6,659 $ 1,765,469 $ 85,293 The column labeled “Unaccreted Credit Component Other Loans” represents the amount of unaccreted credit component discount for loans acquired in an acquisition that were not classified as purchased impaired or individually evaluated for impairment as of the dates indicated, and the stated principal balance of the related loans. The unaccreted credit component discount is equal to 0.75% and 0.86% of the stated principal balance of these loans as of September 30, 2016 and December 31, 2015, respectively. In addition to this unaccreted credit component discount, an additional $0.4 million and $0.3 million of the ALLL has been provided for these loans as of September 30, 2016 and December 31, 2015, respectively. The Bank categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as current financial information, historical payment experience, collateral adequacy, credit documentation, and current economic trends, among other factors. The Bank analyzes loans individually by classifying the loans as to credit risk. This analysis typically includes larger, non-homogeneous loans such as loans secured by multifamily or commercial real estate and commercial and industrial loans. This analysis is performed on an ongoing basis as new information is obtained. The Bank uses the following definitions for risk ratings: Pass: Loans classified as pass are strong credits with no existing or known potential weaknesses deserving of management’s close attention. Special Mention: Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. Substandard: Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Impaired: A loan is considered impaired, when, based on current information and events, it is probable that the Bank will be unable to collect all amounts due according to the contractual terms of the loan agreement. Purchased credit impaired loans are not considered impaired loans for these purposes. Loans listed as pass include larger non-homogeneous loans not meeting the risk rating definitions above and smaller, homogeneous loans not assessed on an individual basis. Based on the most recent analysis performed, the risk category of loans by class of loans is as follows as of: (dollars in thousands) Pass Special Substandard Impaired Total September 30, 2016: Real estate loans: Residential properties $ 1,556,117 $ 3,846 $ — $ 3,844 $ 1,563,807 Commercial properties 456,548 — 1,968 1,187 459,703 Land and construction 20,034 — — — 20,034 Commercial and industrial loans 207,574 1,913 16,439 2,653 228,579 Consumer loans 34,234 — — 14 34,248 Total $ 2,274,507 $ 5,759 $ 18,407 $ 7,698 $ 2,306,371 December 31, 2015: Real estate loans: Residential properties $ 1,159,029 $ 1,539 $ — $ — $ 1,160,568 Commercial properties 351,988 174 354 6,275 358,791 Land and construction 11,180 — 1,140 — 12,320 Commercial and industrial loans 180,755 4,977 5,165 5,687 196,584 Consumer loans 37,130 — — 76 37,206 Total $ 1,740,082 $ 6,690 $ 6,659 $ 12,038 $ 1,765,469 Impaired loans evaluated individually and any related allowance are as follows as of: With No Allowance Recorded With an Allowance Recorded (dollars in thousands) Unpaid Principal Balance Recorded Investment Unpaid Principal Balance Recorded Investment Related Allowance September 30, 2016 : Real estate loans: Residential properties $ 3,844 $ 3,844 $ $ $ Commercial properties 1,187 1,187 — — — Commercial and industrial loans 2,653 2,653 — — — Consumer 14 14 — — — Total $ 7,698 $ 7,698 $ — $ — $ — December 31, 2015 : Real estate loans: Commercial properties $ 5,925 $ 5,925 $ 590 $ 350 $ 30 Commercial and industrial loans 7,770 5,687 — — — Consumer loans 114 76 — — — Total $ 13,809 $ 11,688 $ 590 $ 350 $ 30 The weighted average annualized average balance of the recorded investment for impaired loans, beginning from when the loan became impaired, and any interest income recorded on impaired loans after they became impaired is as follows for the: Nine months Ended Year Ended (dollars in thousands) Average Recorded Investment Interest Income after Impairment Average Recorded Investment Interest Income after Impairment Real estate loans: Residential properties $ — $ — $ 27 $ 2 Commercial properties 1,788 5 6,487 281 Commercial and industrial loans 1,600 19 7,850 394 Consumer loans 3 — 105 — Total $ 3,391 $ 24 $ 14,469 $ 677 There was no interest income recognized on a cash basis in either 2016 or 2015 on impaired loans. |
Deposits
Deposits | 9 Months Ended |
Sep. 30, 2016 | |
Deposits [Abstract] | |
Deposits | NOTE 7: DEPOSITS The following table summarizes the outstanding balance of deposits and average rates paid thereon as of: September 30, 2016 December 31, 2015 (dollars in thousands) Amount Weighted Amount Weighted Demand deposits: Noninterest-bearing $ 775,466 — $ 299,794 — Interest-bearing 175,782 0.436 % 260,167 0.359 % Money market and savings 836,494 0.697 % 492,015 0.531 % Certificates of deposits 550,995 0.587 % 470,200 0.554 % Total $ 2,338,737 0.420 % $ 1,522,176 0.404 % At September 30, 2016, of the $179.5 million of certificates of deposits of $250,000 or more, $174.3 million mature within one year and $5.2 million mature after one year. Of the $371.4 million of certificates of deposit of less than $250,000, $360.4 million mature within one year and $11.0 million mature after one year. At December 31, 2015, of the $149.2 million of certificates of deposits of $250,000 or more, $137.8 million mature within one year and $11.4 million mature after one year. Of the $321 million of certificates of deposit of less than $250,000, $292.5 million mature within one year and $28.5 million mature after one year. |
Borrowings
Borrowings | 9 Months Ended |
Sep. 30, 2016 | |
Debt Disclosure [Abstract] | |
Borrowings | NOTE 8: BORROWINGS At September 30, 2016, our borrowings consisted of $951 million of overnight FHLB advances. At December 31, 2015, our borrowings consisted of $796.0 million of overnight FHLB advances. The FHLB advances were paid in full in the early part of October 2016 and January 2016, respectively, and bore interest rates of 0.38% and 0.27%, respectively. Because the Bank utilizes overnight borrowings, the balance of outstanding borrowings fluctuates on a daily basis. The average balance of overnight borrowings during the first nine months of 2016 was $499 million, as compared to $353 million during all of 2015. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | NOTE 9: EARNINGS PER SHARE Basic earnings per share excludes dilution and is computed by dividing net income or loss available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if contracts to issue common stock were exercised or converted into common stock that would then share in earnings. The following table sets forth the Company’s unaudited earnings per share calculations for the periods indicated: Quarter Ended September 30, 2016 Quarter Ended September 30, 2015 (dollars in thousands, except per share amounts) Basic Diluted Basic Diluted Net income $ 9,675 $ 9,675 $ 2,762 $ 2,762 Basic common shares outstanding 16,257,008 16,257,008 12,623,924 12,623,924 Effect of contingent shares issuable 796 796 Effect of options and restricted stock 530,143 450,215 Diluted common shares outstanding 16,787,947 13,074,935 Earnings per share $ 0.60 $ 0.58 $ 0.22 $ 0.21 Based on a weighted average basis, options to purchase 14,500 shares of common stock were excluded for the quarter ended September 30, 2015 because their effect would have been anti-dilutive. Nine Months Ended September 30, 2016 Nine Months Ended September 30, 2015 (dollars in thousands, except per share amounts) Basic Diluted Basic Diluted Net income $ 16,786 $ 16,786 $ 8,330 $ 8,330 Basic common shares outstanding 16,132,112 16,132,112 9,534,056 9,534,056 Effect of contingent shares issuable 796 796 Effect of options and restricted stock 549,899 394,593 Diluted common shares outstanding 16,682,807 9,929,445 Earnings per share $ 1.04 $ 1.01 $ 0.87 $ 0.84 Based on a weighted average basis, options to purchase 4,401 and 56,847 shares of common stock were excluded for the nine months ended September 30, 2016 and 2015, respectively, because their effect would have been anti-dilutive. |
Segment Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2016 | |
Segment Reporting [Abstract] | |
Segment Reporting | NOTE 10: SEGMENT REPORTING For the quarter and nine months ended September 30, 2016 and 2015, the Company had two reportable business segments: Banking (FFB and FFIS) and Wealth Management (FFA). The results of FFI and any elimination entries are included in the column labeled Other. The following tables show key operating results for each of our business segments used to arrive at our consolidated totals for the following periods: (dollars in thousands) Banking Wealth Management Other Total Quarter ended September 30, 2016: Interest income $ 26,004 $ — $ — $ 26,004 Interest expense 2,841 — — 2,841 Net interest income 23,163 — — 23,163 Provision for loan losses 1,231 — — 1,231 Noninterest income 9,923 5,319 (163 ) 15,079 Noninterest expense 16,134 4,697 705 21,536 Income (loss) before taxes on income $ 15,721 $ 622 $ (868 ) $ 15,475 Quarter ended September 30, 2015: Interest income $ 17,108 $ — $ — $ 17,108 Interest expense 1,509 — 138 1,647 Net interest income 15,599 — (138 ) 15,461 Provision for loan losses 570 — — 570 Noninterest income 1,839 5,171 (142 ) 6,868 Noninterest expense 11,653 4,685 618 16,956 Income (loss) before taxes on income $ 5,215 $ 486 $ (898 ) $ 4,803 Banking Wealth Management Other Total Nine months ended September 30, 2016: Interest income $ 72,275 $ — $ — $ 72,275 Interest expense 7,830 — — 7,830 Net interest income 64,445 — — 64,445 Provision for loan losses 2,881 — — 2,881 Noninterest income 11,505 15,917 (448 ) 26,974 Noninterest expense 43,746 14,536 2,521 60,803 Income (loss) before taxes on income $ 29,323 $ 1,381 $ (2,969 ) $ 27,735 Nine months ended September 30, 2015: Interest income $ 45,259 $ — $ — $ 45,259 Interest expense 3,829 — 674 4,503 Net interest income 41,430 — (674 ) 40,756 Provision for loan losses 1,473 — — 1,473 Noninterest income 4,501 15,426 (435 ) 19,492 Noninterest expense 28,138 13,950 2,200 44,288 Income (loss) before taxes on income $ 16,320 $ 1,476 $ (3,309 ) $ 14,487 |
Acquisitions (Tables)
Acquisitions (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Business Combinations [Abstract] | |
Schedule of Assets Acquired and Liabilities Assumed | The following table represents the assets acquired and liabilities assumed of PRB as of June 16, 2015 and the fair value adjustments and amounts recorded by the Bank in 2015 under the acquisition method of accounting: PRB Book Value Fair Value Adjustments Fair Value (dollars in thousands) Assets Acquired: Cash and cash equivalents $ 38,624 $ — $ 38,624 Securities AFS 7,179 115 7,294 Loans, net of deferred fees 80,192 (2,419 ) 77,773 Allowance for loan losses (2,034 ) 2,034 — Premises and equipment, net 251 (188 ) 63 Investment in FHLB stock 152 — 152 Deferred taxes — 2,258 2,258 REO 4,374 (672 ) 3,702 Goodwill — 1,300 1,300 Core deposit intangible — 1,099 1,099 Other assets 269 — 269 Total assets acquired $ 129,007 $ 3,527 $ 132,534 Liabilities Assumed: Deposits $ 119,663 $ 178 $ 119,841 Accounts payable and other liabilities 442 (98 ) 344 Total liabilities assumed 120,105 80 120,185 Excess of assets acquired over liabilities assumed 8,902 3,447 12,349 Total $ 129,007 $ 3,527 $ 132,534 Consideration: Stock issued $ 11,806 Cash paid 543 Total $ 12,349 |
Pro Forma Summarized Income Statement Data | The following table presents unaudited pro forma information as if the acquisition of PRB had occurred on January 1, 2015, for the nine months period ending September 30, 2015, after giving effect to certain adjustments. Pro Forma (dollars in thousands) Net interest income $ 42,386 Provision for loan losses 1,473 Noninterest income 19,610 Noninterest expenses 47,050 Income before taxes 13,473 Taxes on income 5,728 Net income $ 7,745 Net income per share: Basic $ 0.76 Diluted $ 0.73 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Recorded Amounts of Assets and Liabilities Measured at Fair Value on Recurring Basis | The Fair Value Measurement Level Total Level 1 Level 2 Level 3 (dollars in thousands) September 30, 2016: Investment securities available for sale: US Treasury securities $ 300 $ 300 $ — $ — Agency mortgage-backed securities 498,886 — 498,886 — Beneficial interest – FHLMC securitizations 43,517 — — 43,517 Total assets at fair value on a recurring basis $ 542,703 $ 300 $ 498,886 $ 43,517 December 31, 2015: Investment securities available for sale: US Treasury securities $ 300 $ 300 $ — $ — FNMA and FHLB Agency notes 16,013 — 16,013 — Agency mortgage-backed securities 536,148 — 536,148 — Beneficial interest – FHLMC securitizations 12,674 — — 12,674 Total assets at fair value on a recurring basis $ 565,135 $ 300 $ 552,161 $ 12,674 |
Carrying Amounts and Estimated Fair Value of Financial Instruments | The carrying amounts and estimated fair values of financial instruments are as follows as of: Carrying Fair Value Measurement Level (dollars in thousands) Value 1 2 3 Total September 30, 2016: Assets: Cash and cash equivalents $ 496,813 $ 496,813 $ — $ — $ 496,813 Securities AFS 542,703 300 498,886 43,517 542,703 Loans 2,295,229 — — 2,313,425 2,313,425 Loans held for sale 200,002 — — 200,002 200,002 Investment in FHLB stock 25,677 — 25,677 — 25,677 Liabilities: Deposits 2,338,737 1,787,742 551,051 — 2,338,737 Borrowings 951,000 — 951,000 — 951,000 December 31, 2015: Assets: Cash and cash equivalents $ 215,748 $ 215,748 $ — $ — $ 215,748 Securities AFS 565,135 300 552,161 12,674 565,135 Loans 1,754,883 — — 1,779,941 1,779,941 Investment in FHLB stock 21,492 — 21,492 — 21,492 Liabilities: Deposits 1,522,176 1,051,976 470,128 — 1,522,104 Borrowings 796,000 — 796,000 — 796,000 |
Securities (Tables)
Securities (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Investments Debt And Equity Securities [Abstract] | |
Summary of AFS Securities Portfolio | The following table provides a summary of the Company’s securities AFS portfolio as of: Amortized Gross Unrealized Estimated (dollars in thousands) Cost Gains Losses Fair Value September 30, 2016: US Treasury securities $ 300 $ — $ — $ 300 Agency mortgage-backed securities 489,233 9,749 (96 ) 498,886 Beneficial interests in FHLMC securitization 44,505 121 (1,109 ) 43,517 Total $ 534,038 $ 9,870 $ (1,205 ) $ 542,703 December 31, 2015: US Treasury securities $ 300 $ — $ — $ 300 FNMA and FHLB Agency notes 16,108 — (95 ) 16,013 Agency mortgage-backed securities 538,269 909 (3,030 ) 536,148 Beneficial interests in FHLMC securitization 12,674 476 (476 ) 12,674 Total $ 567,351 $ 1,385 $ (3,601 ) $ 565,135 |
Schedule of Securities in a Continuous Unrealized Loss Position Aggregated by Investment Category and Length of Time | The belo indicate a o September 30 and December 31, 2015 th gros unrealize losse an fai value o ou investments aggregate b investmen categor and lengt o tim tha th individua securitie hav bee i continuou unrealize los position. Securities with Unrealized Loss at September 30, 2016 Less than 12 months 12 months or more Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Agency and FHLB Agency notes $ 46,649 $ (96 ) $ — $ — $ 46,649 $ (96 ) Beneficial interests in FHLMC securitization 31,645 (1,109 ) — — 31,645 (1,109 ) $ 78,294 $ (1,205 ) $ — $ — $ 78,294 $ (1,205 ) Securities with Unrealized Loss at December 31, 2015 Less than 12 months 12 months or more Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Agency notes $ 16,013 $ (95 ) $ — $ — $ 16,013 $ (95 ) Agency mortgage backed securities 397,850 (3,030 ) — — 397,850 (3,030 ) Beneficial interests in FHLMC securitization 12,674 (476 ) — — 12,674 (476 ) $ 426,537 $ (3,601 ) $ — $ — $ 426,537 $ (3,601 ) |
Scheduled Maturities of Securities AFS Other than Mortgage Backed Securities and the Related Weighted Average Yield | The scheduled maturities of securities AFS and the related weighted average yields were as follows as of September 30, 2016: (dollars in thousands) Less than 1 Through 5 Through After 10 Total Amortized Cost: US Treasury securities $ — $ 300 $ — $ — $ 300 Weighted average yield — % 0.90 % — % — % 0.90 % Estimated Fair Value: US Treasury Securities $ — $ 300 $ — $ — $ 300 |
Loans (Tables)
Loans (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Receivables [Abstract] | |
Summary of Loans | The following is a summary of our loans as of: (dollars in thousands) September 30, December 31, Outstanding principal balance: Loans secured by real estate: Residential properties: Multifamily $ 986,921 $ 627,311 Single family 576,886 533,257 Total real estate loans secured by residential properties 1,563,807 1,160,568 Commercial properties 459,703 358,791 Land and construction 20,034 12,320 Total real estate loans 2,043,544 1,531,679 Commercial and industrial loans 228,579 196,584 Consumer loans 34,248 37,206 Total loans 2,306,371 1,765,469 Premiums, discounts and deferred fees and expenses 2,458 14 Total $ 2,308,829 $ 1,765,483 |
Carrying Amount of Purchased Credit Impaired Loans | In 2012 and 2015, the Company purchased loans, for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. The carrying amount of these purchased credit impaired loans is as follows as of: (dollars in thousands) September 30, 2016 December 31, Outstanding principal balance: Loans secured by real estate: Commercial properties $ 298 $ 533 Land — 1,616 Total real estate loans 298 2,149 Commercial and industrial loans 6,192 6,787 Consumer loans 5 14 Total loans 6,495 8,950 Unaccreted discount on purchased credit impaired loans (1,625 ) (2,291 ) Total $ 4,870 $ 6,659 |
Accretable Yield or Income Expected to be Collected on Purchased Credit Impaired Loans and Related Changes | Accretable yield, or income expected to be collected on purchased credit impaired loans, and the related changes, is as follows for the periods indicated: (dollars in thousands) Nine Months Ended September 30, 2016 Year Ended December 31, 2015 Beginning balance $ 582 $ 130 Accretion of income (155 ) (529 ) Reclassifications from nonaccretable difference — 176 Acquisition — 805 Disposals (108 ) — Ending balance $ 319 $ 582 |
Summary of Delinquent and Nonaccrual Loans | The following table summarizes our delinquent and nonaccrual loans as of: Past Due and Still Accruing Total Past (dollars in thousands) 30–59 Days 60-89 Days 90 Days Nonaccrual Due and Current Total September 30, 2016: Real estate loans: Residential properties $ — $ — $ — $ 4,021 $ 4,021 $ 1,559,786 $ 1,563,807 Commercial properties 1,363 — 780 1,187 3,330 456,373 459,703 Land and construction — — — — — 20,034 20,034 Commercial and industrial loans 4,145 5 3,136 4,184 11,470 217,109 228,579 Consumer loans 18 — — 14 32 34,216 34,248 Total $ 5,526 $ 5 $ 3,916 $ 9,406 $ 18,853 $ 2,287,518 $ 2,306,371 Percentage of total loans 0.24 % — % 0.17 % 0.41 % 0.82 % December 31, 2015: Real estate loans: Residential properties $ — $ — $ — $ — $ — $ 1,160,568 $ 1,160,568 Commercial properties 1,232 — 793 1,552 3,577 355,214 358,791 Land and construction — — — — — 12,320 12,320 Commercial and industrial loans 2,425 1,639 5,713 2,509 12,286 184,298 196,584 Consumer loans 1,010 — 1,991 75 3,076 34,130 37,206 Total $ 4,667 $ 1,639 $ 8,497 $ 4,136 $ 18,939 $ 1,746,530 $ 1,765,469 Percentage of total loans 0.26 % 0.09 % 0.48 % 0.23 % 1.07 % |
Allowance for Loan Losses (Tabl
Allowance for Loan Losses (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Receivables [Abstract] | |
Bank's Allowance for Loan Losses | The following is a roll forward of the Bank’s allowance for loan losses for the following periods: (dollars in thousands) Beginning Provision for Charge-offs Recoveries Ending Quarter Ended September 30, 2016: Real estate loans: Residential properties $ 5,353 $ 951 $ — $ — $ 6,304 Commercial properties 1,887 572 — 169 2,628 Land and construction 272 (70 ) 202 Commercial and industrial loans 4,139 31 — — 4,170 Consumer loans 549 (253 ) — — 296 Total $ 12,200 $ 1,231 $ — $ 169 $ 13,600 Nine Months Ended September 30, 2016: Real estate loans: Residential properties $ 6,799 $ (495 ) $ — $ — $ 6,304 Commercial properties 1,813 696 (50 ) 169 2,628 Land and construction 103 99 202 Commercial and industrial loans 1,649 2,521 — — 4,170 Consumer loans 236 60 — — 296 Total $ 10,600 $ 2,881 $ (50 ) $ 169 $ 13,600 Year Ended December 31, 2015: Real estate loans: Residential properties $ 6,546 $ 253 $ — $ — $ 6,799 Commercial properties 1,499 624 (310 ) — 1,813 Land and construction 67 36 — — 103 Commercial and industrial loans 1,897 1,665 (1,913 ) — 1,649 Consumer loans 141 95 — — 236 Total $ 10,150 $ 2,673 $ (2,223 ) $ — $ 10,600 |
Balance in Allowance for Loan Losses and Recorded Investment in Loans by Impairment | The following table presents the balance in the allowance for loan losses and the recorded investment in loans by impairment method as of: (dollars in thousands) Allowance for Loan Losses Unaccreted Evaluated for Impairment Purchased Component Individually Collectively Impaired Total Other Loans September 30, 2016: Allowance for loan losses: Real estate loans: Residential properties $ — $ 6,304 $ — $ 6,304 $ 148 Commercial properties — 2,628 — 2,628 149 Land and construction — 202 — 202 3 Commercial and industrial loans — 4,170 — 4,170 161 Consumer loans — 296 — 296 20 Total $ — $ 13,600 $ — $ 13,600 $ 481 Loans: Real estate loans: Residential properties $ 3,844 $ 1,559,963 $ — $ 1,563,807 $ 13,472 Commercial properties 1,187 458,334 182 459,703 24,982 Land and construction — 20,034 — 20,034 436 Commercial and industrial loans 2,653 221,238 4,688 228,579 24,157 Consumer loans 14 34,234 — 34,248 1,477 Total $ 7,698 $ 2,293,803 $ 4,870 $ 2,306,371 $ 64,524 December 31, 2015: Allowance for loan losses: Real estate loans: Residential properties $ — $ 6,799 $ — $ 6,799 $ 127 Commercial properties 30 1,783 — 1,813 363 Land and construction — 103 — 103 42 Commercial and industrial loans — 1,649 — 1,649 187 Consumer loans — 236 — 236 13 Total $ 30 $ 10,570 $ — $ 10,600 $ 732 Loans: Real estate loans: Residential properties $ — $ 1,160,568 $ — $ 1,160,568 $ 7,747 Commercial properties 6,275 352,162 354 358,791 43,287 Land and construction — 11,180 1,140 12,320 4,267 Commercial and industrial loans 5,687 185,732 5,165 196,584 28,231 Consumer loans 76 37,130 — 37,206 1,761 Total $ 12,038 $ 1,746,772 $ 6,659 $ 1,765,469 $ 85,293 |
Risk Category of Loans by Class of Loans | Based on the most recent analysis performed, the risk category of loans by class of loans is as follows as of: (dollars in thousands) Pass Special Substandard Impaired Total September 30, 2016: Real estate loans: Residential properties $ 1,556,117 $ 3,846 $ — $ 3,844 $ 1,563,807 Commercial properties 456,548 — 1,968 1,187 459,703 Land and construction 20,034 — — — 20,034 Commercial and industrial loans 207,574 1,913 16,439 2,653 228,579 Consumer loans 34,234 — — 14 34,248 Total $ 2,274,507 $ 5,759 $ 18,407 $ 7,698 $ 2,306,371 December 31, 2015: Real estate loans: Residential properties $ 1,159,029 $ 1,539 $ — $ — $ 1,160,568 Commercial properties 351,988 174 354 6,275 358,791 Land and construction 11,180 — 1,140 — 12,320 Commercial and industrial loans 180,755 4,977 5,165 5,687 196,584 Consumer loans 37,130 — — 76 37,206 Total $ 1,740,082 $ 6,690 $ 6,659 $ 12,038 $ 1,765,469 |
Individual Evaluation of Impaired Loans and Related Allowance | Impaired loans evaluated individually and any related allowance are as follows as of: With No Allowance Recorded With an Allowance Recorded (dollars in thousands) Unpaid Principal Balance Recorded Investment Unpaid Principal Balance Recorded Investment Related Allowance September 30, 2016 : Real estate loans: Residential properties $ 3,844 $ 3,844 $ $ $ Commercial properties 1,187 1,187 — — — Commercial and industrial loans 2,653 2,653 — — — Consumer 14 14 — — — Total $ 7,698 $ 7,698 $ — $ — $ — December 31, 2015 : Real estate loans: Commercial properties $ 5,925 $ 5,925 $ 590 $ 350 $ 30 Commercial and industrial loans 7,770 5,687 — — — Consumer loans 114 76 — — — Total $ 13,809 $ 11,688 $ 590 $ 350 $ 30 |
Weighted Average Annualized Balance of Recorded Investment and Interest Income on Impaired Loans | The weighted average annualized average balance of the recorded investment for impaired loans, beginning from when the loan became impaired, and any interest income recorded on impaired loans after they became impaired is as follows for the: Nine months Ended Year Ended (dollars in thousands) Average Recorded Investment Interest Income after Impairment Average Recorded Investment Interest Income after Impairment Real estate loans: Residential properties $ — $ — $ 27 $ 2 Commercial properties 1,788 5 6,487 281 Commercial and industrial loans 1,600 19 7,850 394 Consumer loans 3 — 105 — Total $ 3,391 $ 24 $ 14,469 $ 677 |
Deposits (Tables)
Deposits (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Deposits [Abstract] | |
Summary of Outstanding Balance of Deposits and Average Rates | The following table summarizes the outstanding balance of deposits and average rates paid thereon as of: September 30, 2016 December 31, 2015 (dollars in thousands) Amount Weighted Amount Weighted Demand deposits: Noninterest-bearing $ 775,466 — $ 299,794 — Interest-bearing 175,782 0.436 % 260,167 0.359 % Money market and savings 836,494 0.697 % 492,015 0.531 % Certificates of deposits 550,995 0.587 % 470,200 0.554 % Total $ 2,338,737 0.420 % $ 1,522,176 0.404 % |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings Per Share | The following table sets forth the Company’s unaudited earnings per share calculations for the periods indicated: Quarter Ended September 30, 2016 Quarter Ended September 30, 2015 (dollars in thousands, except per share amounts) Basic Diluted Basic Diluted Net income $ 9,675 $ 9,675 $ 2,762 $ 2,762 Basic common shares outstanding 16,257,008 16,257,008 12,623,924 12,623,924 Effect of contingent shares issuable 796 796 Effect of options and restricted stock 530,143 450,215 Diluted common shares outstanding 16,787,947 13,074,935 Earnings per share $ 0.60 $ 0.58 $ 0.22 $ 0.21 Nine Months Ended September 30, 2016 Nine Months Ended September 30, 2015 (dollars in thousands, except per share amounts) Basic Diluted Basic Diluted Net income $ 16,786 $ 16,786 $ 8,330 $ 8,330 Basic common shares outstanding 16,132,112 16,132,112 9,534,056 9,534,056 Effect of contingent shares issuable 796 796 Effect of options and restricted stock 549,899 394,593 Diluted common shares outstanding 16,682,807 9,929,445 Earnings per share $ 1.04 $ 1.01 $ 0.87 $ 0.84 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Segment Reporting [Abstract] | |
Key Operating Results of Business Segments | The following tables show key operating results for each of our business segments used to arrive at our consolidated totals for the following periods: (dollars in thousands) Banking Wealth Management Other Total Quarter ended September 30, 2016: Interest income $ 26,004 $ — $ — $ 26,004 Interest expense 2,841 — — 2,841 Net interest income 23,163 — — 23,163 Provision for loan losses 1,231 — — 1,231 Noninterest income 9,923 5,319 (163 ) 15,079 Noninterest expense 16,134 4,697 705 21,536 Income (loss) before taxes on income $ 15,721 $ 622 $ (868 ) $ 15,475 Quarter ended September 30, 2015: Interest income $ 17,108 $ — $ — $ 17,108 Interest expense 1,509 — 138 1,647 Net interest income 15,599 — (138 ) 15,461 Provision for loan losses 570 — — 570 Noninterest income 1,839 5,171 (142 ) 6,868 Noninterest expense 11,653 4,685 618 16,956 Income (loss) before taxes on income $ 5,215 $ 486 $ (898 ) $ 4,803 Banking Wealth Management Other Total Nine months ended September 30, 2016: Interest income $ 72,275 $ — $ — $ 72,275 Interest expense 7,830 — — 7,830 Net interest income 64,445 — — 64,445 Provision for loan losses 2,881 — — 2,881 Noninterest income 11,505 15,917 (448 ) 26,974 Noninterest expense 43,746 14,536 2,521 60,803 Income (loss) before taxes on income $ 29,323 $ 1,381 $ (2,969 ) $ 27,735 Nine months ended September 30, 2015: Interest income $ 45,259 $ — $ — $ 45,259 Interest expense 3,829 — 674 4,503 Net interest income 41,430 — (674 ) 40,756 Provision for loan losses 1,473 — — 1,473 Noninterest income 4,501 15,426 (435 ) 19,492 Noninterest expense 28,138 13,950 2,200 44,288 Income (loss) before taxes on income $ 16,320 $ 1,476 $ (3,309 ) $ 14,487 |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Business Acquisition [Line Items] | ||||
Taxes on income | $ 5,800 | $ 2,041 | $ 10,949 | $ 6,157 |
ASU 2016-09 | ||||
Business Acquisition [Line Items] | ||||
Taxes on income | $ 800 | $ 800 | ||
Effective Income Tax Rate | 4.50% | 2.50% |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Details) - Pacific Rim Bank - USD ($) | Jun. 16, 2015 | Sep. 30, 2016 | Sep. 30, 2015 |
Business Acquisition [Line Items] | |||
Acquisition date | Jun. 16, 2015 | ||
Common stock issued in exchange for acquisition, shares | 621,345 | ||
Stock value per share, acquisition date | $ 19 | ||
Cash paid to dissenting shareholders upon acquisition | $ 543,000 | ||
Goodwill | 1,300,000 | ||
Deferred income tax asset, operating loss carry-forward and other tax attributes | $ 2,300,000 | ||
Business combination, value of deposit | $ 1,100,000 | ||
Finite-lived intangible asset, amortized period | 7 years | ||
Acquisition date | Jan. 1, 2015 | ||
Increase in net income, pro forma adjustment | $ 200,000 | ||
Business combination, pro forma information, revenue of acquiree since acquisition date, actual | 1,600,000 | ||
Business combination, pro forma information, earnings or loss of acquiree since acquisition date, actual | $ 500,000 |
Acquisitions - Schedule of Asse
Acquisitions - Schedule of Assets Acquired and Liabilities Assumed (Details) - Pacific Rim Bank | Jun. 16, 2015USD ($) |
Assets Acquired: | |
Goodwill | $ 1,300,000 |
Consideration: | |
Cash paid | 543,000 |
PRB Book Value | |
Assets Acquired: | |
Cash and cash equivalents | 38,624,000 |
Securities AFS | 7,179,000 |
Loans, net of deferred fees | 80,192,000 |
Allowance for loan losses | (2,034,000) |
Premises and equipment, net | 251,000 |
Investment in FHLB stock | 152,000 |
REO | 4,374,000 |
Other assets | 269,000 |
Total assets acquired | 129,007,000 |
Liabilities Assumed: | |
Deposits | 119,663,000 |
Accounts payable and other liabilities | 442,000 |
Total liabilities assumed | 120,105,000 |
Excess of assets acquired over liabilities assumed | 8,902,000 |
Total assets acquired | 129,007,000 |
Fair Value Adjustments | |
Assets Acquired: | |
Securities AFS | 115,000 |
Loans, net of deferred fees | (2,419,000) |
Allowance for loan losses | 2,034,000 |
Premises and equipment, net | (188,000) |
Deferred taxes | 2,258,000 |
REO | (672,000) |
Goodwill | 1,300,000 |
Core deposit intangible | 1,099,000 |
Total assets acquired | 3,527,000 |
Liabilities Assumed: | |
Deposits | 178,000 |
Accounts payable and other liabilities | (98,000) |
Total liabilities assumed | 80,000 |
Excess of assets acquired over liabilities assumed | 3,447,000 |
Total assets acquired | 3,527,000 |
Fair Value | |
Assets Acquired: | |
Cash and cash equivalents | 38,624,000 |
Securities AFS | 7,294,000 |
Loans, net of deferred fees | 77,773,000 |
Premises and equipment, net | 63,000 |
Investment in FHLB stock | 152,000 |
Deferred taxes | 2,258,000 |
REO | 3,702,000 |
Goodwill | 1,300,000 |
Core deposit intangible | 1,099,000 |
Other assets | 269,000 |
Total assets acquired | 132,534,000 |
Liabilities Assumed: | |
Deposits | 119,841,000 |
Accounts payable and other liabilities | 344,000 |
Total liabilities assumed | 120,185,000 |
Excess of assets acquired over liabilities assumed | 12,349,000 |
Total assets acquired | 132,534,000 |
Consideration: | |
Stock issued | 11,806,000 |
Cash paid | 543,000 |
Total | $ 12,349,000 |
Acquisitions - Pro Forma Summar
Acquisitions - Pro Forma Summarized Income Statement Data (Details) - Pacific Rim Bank $ / shares in Units, $ in Thousands | 9 Months Ended |
Sep. 30, 2015USD ($)$ / shares | |
Business Acquisition [Line Items] | |
Net interest income | $ 42,386 |
Provision for loan losses | 1,473 |
Noninterest income | 19,610 |
Noninterest expenses | 47,050 |
Income before taxes | 13,473 |
Taxes on income | 5,728 |
Net income | $ 7,745 |
Net income per share: | |
Basic | $ / shares | $ 0.76 |
Diluted | $ / shares | $ 0.73 |
Fair Value Measurements - Recor
Fair Value Measurements - Recorded Amounts of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | $ 542,703 | $ 565,135 |
U.S. Treasury Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 300 | 300 |
Agency Mortgage-backed Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 498,886 | 536,148 |
Beneficial interest – FHLMC securitizations | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 43,517 | 12,674 |
FNMA and FHLB Agency Notes | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 16,013 | |
Fair Value on Recurring Basis | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 542,703 | 565,135 |
Fair Value on Recurring Basis | U.S. Treasury Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 300 | 300 |
Fair Value on Recurring Basis | Agency Mortgage-backed Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 498,886 | 536,148 |
Fair Value on Recurring Basis | Beneficial interest – FHLMC securitizations | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 43,517 | 12,674 |
Fair Value on Recurring Basis | FNMA and FHLB Agency Notes | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 16,013 | |
Fair Value Measurement Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 300 | 300 |
Fair Value Measurement Level 1 | Fair Value on Recurring Basis | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 300 | 300 |
Fair Value Measurement Level 1 | Fair Value on Recurring Basis | U.S. Treasury Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 300 | 300 |
Fair Value Measurement Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 498,886 | 552,161 |
Fair Value Measurement Level 2 | Fair Value on Recurring Basis | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 498,886 | 552,161 |
Fair Value Measurement Level 2 | Fair Value on Recurring Basis | Agency Mortgage-backed Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 498,886 | 536,148 |
Fair Value Measurement Level 2 | Fair Value on Recurring Basis | FNMA and FHLB Agency Notes | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 16,013 | |
Fair Value Measurement Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 43,517 | 12,674 |
Fair Value Measurement Level 3 | Fair Value on Recurring Basis | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | 43,517 | 12,674 |
Fair Value Measurement Level 3 | Fair Value on Recurring Basis | Beneficial interest – FHLMC securitizations | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Investment securities available for sale | $ 43,517 | $ 12,674 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2016 | Dec. 31, 2015 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets measured at fair value on a nonrecurring basis | $ 0 | |
Impaired loans measured at nonrecurring basis | When the fair value of the collateral is based on an observable market price or a current appraised value, we measure the impaired loan at nonrecurring Level 2. When an appraised value is not available, or management determines the fair value of the collateral is further impaired below the appraised value and there is no observable market price or a discounted cash flow has been used to determine the fair value, we measure the impaired loan at nonrecurring Level 3. | |
Borrowings | $ 951,000,000 | $ 796,000,000 |
Fair Value Measurement Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Prepayment rate | 15.00% | |
Fair Value Measurement Level 3 | Minimum | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Discount rate | 4.00% | |
Fair Value Measurement Level 3 | Maximum | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Discount rate | 10.00% | |
Fair Value Measurement Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Borrowings | $ 951,000,000 | $ 796,000,000 |
Fair Value Measurements - Carry
Fair Value Measurements - Carrying Amounts and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2014 |
ASSETS | ||||
Cash and cash equivalents | $ 496,813 | $ 215,748 | $ 206,338 | $ 29,692 |
Securities available-for-sale (“AFS”) | 542,703 | 565,135 | ||
Loans | 2,295,229 | 1,754,883 | ||
Loans held for sale | 200,002 | |||
Investment in FHLB stock | 25,677 | 21,492 | ||
Liabilities: | ||||
Deposits | 2,338,737 | 1,522,176 | ||
Borrowings | 951,000 | 796,000 | ||
Assets Fair Value: | ||||
Cash and cash equivalents | 496,813 | 215,748 | ||
Securities available-for-sale (“AFS”) | 542,703 | 565,135 | ||
Loans | 2,313,425 | 1,779,941 | ||
Loans held for sale | 200,002 | |||
Investment in FHLB stock | 25,677 | 21,492 | ||
Liabilities Fair Value: | ||||
Deposits | 2,338,737 | 1,522,104 | ||
Borrowings | 951,000 | 796,000 | ||
Fair Value Measurement Level 1 | ||||
ASSETS | ||||
Securities available-for-sale (“AFS”) | 300 | 300 | ||
Assets Fair Value: | ||||
Cash and cash equivalents | 496,813 | 215,748 | ||
Securities available-for-sale (“AFS”) | 300 | 300 | ||
Liabilities Fair Value: | ||||
Deposits | 1,787,742 | 1,051,976 | ||
Fair Value Measurement Level 2 | ||||
ASSETS | ||||
Securities available-for-sale (“AFS”) | 498,886 | 552,161 | ||
Investment in FHLB stock | 25,677 | 21,492 | ||
Assets Fair Value: | ||||
Securities available-for-sale (“AFS”) | 498,886 | 552,161 | ||
Investment in FHLB stock | 25,677 | 21,492 | ||
Liabilities Fair Value: | ||||
Deposits | 551,051 | 470,128 | ||
Borrowings | 951,000 | 796,000 | ||
Fair Value Measurement Level 3 | ||||
ASSETS | ||||
Securities available-for-sale (“AFS”) | 43,517 | 12,674 | ||
Assets Fair Value: | ||||
Securities available-for-sale (“AFS”) | 43,517 | 12,674 | ||
Loans | 2,313,425 | $ 1,779,941 | ||
Loans held for sale | $ 200,002 |
Securities - Summary of AFS Sec
Securities - Summary of AFS Securities Portfolio (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost | $ 534,038 | $ 567,351 |
Gross Unrealized gains | 9,870 | 1,385 |
Gross Unrealized losses | (1,205) | (3,601) |
Estimated Fair Value | 542,703 | 565,135 |
U.S. Treasury Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost | 300 | 300 |
Estimated Fair Value | 300 | 300 |
FNMA and FHLB Agency Notes | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost | 16,108 | |
Gross Unrealized losses | (95) | |
Estimated Fair Value | 16,013 | |
Agency Mortgage-backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost | 489,233 | 538,269 |
Gross Unrealized gains | 9,749 | 909 |
Gross Unrealized losses | (96) | (3,030) |
Estimated Fair Value | 498,886 | 536,148 |
Beneficial interests in FHLMC securitization | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost | 44,505 | 12,674 |
Gross Unrealized gains | 121 | 476 |
Gross Unrealized losses | (1,109) | (476) |
Estimated Fair Value | $ 43,517 | $ 12,674 |
Securities - Schedule of Securi
Securities - Schedule of Securities in a Continuous Unrealized Loss Position Aggregated by Investment Category and Length of Time (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair Value | $ 78,294 | $ 426,537 |
Less than 12 months, Unrealized Loss | (1,205) | (3,601) |
Total, Fair Value | 78,294 | 426,537 |
Total, Unrealized Loss | (1,205) | (3,601) |
Agency and FHLB Agency notes | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 46,649 | |
Less than 12 months, Unrealized Loss | (96) | |
Total, Fair Value | 46,649 | |
Total, Unrealized Loss | (96) | |
Beneficial interests in FHLMC securitization | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 31,645 | 12,674 |
Less than 12 months, Unrealized Loss | (1,109) | (476) |
Total, Fair Value | 31,645 | 12,674 |
Total, Unrealized Loss | $ (1,109) | (476) |
Agency Notes | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 16,013 | |
Less than 12 months, Unrealized Loss | (95) | |
Total, Fair Value | 16,013 | |
Total, Unrealized Loss | (95) | |
Agency Mortgage-backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 397,850 | |
Less than 12 months, Unrealized Loss | (3,030) | |
Total, Fair Value | 397,850 | |
Total, Unrealized Loss | $ (3,030) |
Securities - Scheduled Maturiti
Securities - Scheduled Maturities of Securities AFS Other than Mortgage Backed Securities and the Related Weighted Average Yield (Details) $ in Thousands | Sep. 30, 2016USD ($) |
Schedule Of Available For Sale Securities [Line Items] | |
Weighted average yield, one through five years | 0.90% |
Weighted average yield, total | 0.90% |
U.S. Treasury Securities | |
Schedule Of Available For Sale Securities [Line Items] | |
Amortized cost, one through five years | $ 300 |
Amortized cost, total | 300 |
Estimated fair value, one through five years | 300 |
Estimated fair value, total | $ 300 |
Securities - Additional Informa
Securities - Additional Information (Details) | Sep. 30, 2016 |
Schedule Of Available For Sale Securities [Line Items] | |
Weighted average yield, total | 0.90% |
Agency mortgage backed securities and beneficial interests in FHLMC securitizations | |
Schedule Of Available For Sale Securities [Line Items] | |
Weighted average yield, total | 2.59% |
Loans - Summary of Loans (Detai
Loans - Summary of Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | $ 2,306,371 | $ 1,765,469 |
Premiums, discounts and deferred fees and expenses | 2,458 | 14 |
Loans, net of deferred fees | 2,308,829 | 1,765,483 |
Residential Properties | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 1,563,807 | 1,160,568 |
Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 459,703 | 358,791 |
Commercial and Industrial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 228,579 | 196,584 |
Consumer Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 34,248 | 37,206 |
Real Estate Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 2,043,544 | 1,531,679 |
Real Estate Loans | Residential Properties | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 1,563,807 | 1,160,568 |
Real Estate Loans | Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 459,703 | 358,791 |
Real Estate Loans | Land and Construction | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 20,034 | 12,320 |
Multifamily | Real Estate Loans | Residential Properties | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 986,921 | 627,311 |
Single Family | Real Estate Loans | Residential Properties | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | $ 576,886 | $ 533,257 |
Loans - Additional Information
Loans - Additional Information (Details) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2016USD ($)Loan | Sep. 30, 2015USD ($)Loan | Dec. 31, 2015USD ($) | |
Financing Receivable Recorded Investment [Line Items] | |||
Loans acquired | $ 2,100 | $ 2,800 | |
90 Days or More Past Due and Still Accruing | 3,916 | 8,497 | |
Nonaccrual Past Due and Still Accruing | $ 9,406 | $ 4,136 | |
Percentage of Total Loans Due 90 Days or More | 0.17% | 0.48% | |
Commercial and Industrial Loans | |||
Financing Receivable Recorded Investment [Line Items] | |||
90 Days or More Past Due and Still Accruing | $ 3,136 | $ 5,713 | |
Nonaccrual Past Due and Still Accruing | $ 4,184 | $ 2,509 | |
Number of loans classified as troubled debt restructurings | Loan | 6 | 2 | |
Troubled debt restructuring balance | $ 3,900 | $ 500 | |
DCB | |||
Financing Receivable Recorded Investment [Line Items] | |||
90 Days or More Past Due and Still Accruing | 13,300 | ||
Nonaccrual Past Due and Still Accruing | $ 4,500 | ||
Percentage of Total Loans Due 90 Days or More | 34.00% |
Loans - Carrying Amount of Purc
Loans - Carrying Amount of Purchased Credit Impaired Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Accounts Notes And Loans Receivable [Line Items] | ||
Total impaired loans | $ 6,495 | $ 8,950 |
Unaccreted discount on purchased credit impaired loans | (1,625) | (2,291) |
Receivables Acquired with Deteriorated Credit Quality | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total | 4,870 | 6,659 |
Commercial Real Estate | Receivables Acquired with Deteriorated Credit Quality | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total | 182 | 354 |
Commercial and Industrial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total impaired loans | 6,192 | 6,787 |
Commercial and Industrial Loans | Receivables Acquired with Deteriorated Credit Quality | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total | 4,688 | 5,165 |
Consumer Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total impaired loans | 5 | 14 |
Real Estate Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total impaired loans | 298 | 2,149 |
Real Estate Loans | Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total impaired loans | $ 298 | 533 |
Real Estate Loans | Land | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total impaired loans | $ 1,616 |
Loans - Accretable Yield or Inc
Loans - Accretable Yield or Income Expected to be Collected on Purchased Credit Impaired Loans and Related Changes (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2016 | Dec. 31, 2015 | |
Receivables [Abstract] | ||
Beginning balance | $ 582 | $ 130 |
Accretion of income | (155) | (529) |
Reclassifications from nonaccretable difference | 176 | |
Acquisition | 805 | |
Disposals | (108) | |
Ending balance | $ 319 | $ 582 |
Loans - Summary of Delinquent a
Loans - Summary of Delinquent and Nonaccrual Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Accounts Notes And Loans Receivable [Line Items] | ||
Total Past Due and Nonaccrual | $ 18,853 | $ 18,939 |
90 Days or More Past Due and Still Accruing | 3,916 | 8,497 |
Nonaccrual Past Due and Still Accruing | 9,406 | 4,136 |
Current | 2,287,518 | 1,746,530 |
Total loans | $ 2,306,371 | $ 1,765,469 |
Percentage of Total Loans Due 30-59 Days | 0.24% | 0.26% |
Percentage of Total Loans Due 60-89 Days | 0.09% | |
Percentage of Total Loans Due 90 Days or More | 0.17% | 0.48% |
Percentage of Total Loans Due Nonaccrual | 0.41% | 0.23% |
Percentage of Total Loans | 0.82% | 1.07% |
Residential Properties | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | $ 1,563,807 | $ 1,160,568 |
Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 459,703 | 358,791 |
Commercial and Industrial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total Past Due and Nonaccrual | 11,470 | 12,286 |
90 Days or More Past Due and Still Accruing | 3,136 | 5,713 |
Nonaccrual Past Due and Still Accruing | 4,184 | 2,509 |
Current | 217,109 | 184,298 |
Total loans | 228,579 | 196,584 |
Consumer Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total Past Due and Nonaccrual | 32 | 3,076 |
90 Days or More Past Due and Still Accruing | 1,991 | |
Nonaccrual Past Due and Still Accruing | 14 | 75 |
Current | 34,216 | 34,130 |
Total loans | 34,248 | 37,206 |
30-59 Days | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total Past Due and Nonaccrual | 5,526 | 4,667 |
30-59 Days | Commercial and Industrial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total Past Due and Nonaccrual | 4,145 | 2,425 |
30-59 Days | Consumer Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total Past Due and Nonaccrual | 18 | 1,010 |
60-89 Days | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total Past Due and Nonaccrual | 5 | 1,639 |
60-89 Days | Commercial and Industrial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total Past Due and Nonaccrual | 5 | 1,639 |
Real Estate Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 2,043,544 | 1,531,679 |
Real Estate Loans | Residential Properties | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total Past Due and Nonaccrual | 4,021 | |
Nonaccrual Past Due and Still Accruing | 4,021 | |
Current | 1,559,786 | 1,160,568 |
Total loans | 1,563,807 | 1,160,568 |
Real Estate Loans | Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total Past Due and Nonaccrual | 3,330 | 3,577 |
90 Days or More Past Due and Still Accruing | 780 | 793 |
Nonaccrual Past Due and Still Accruing | 1,187 | 1,552 |
Current | 456,373 | 355,214 |
Total loans | 459,703 | 358,791 |
Real Estate Loans | 30-59 Days | Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total Past Due and Nonaccrual | 1,363 | 1,232 |
Real Estate Loans | Land and Construction | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Current | 20,034 | 12,320 |
Total loans | $ 20,034 | $ 12,320 |
Allowance for Loan Losses - Ban
Allowance for Loan Losses - Bank's Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning Balance | $ 12,200 | $ 10,600 | $ 10,150 | $ 10,150 | |
Provision for loan losses | 1,231 | $ 570 | 2,881 | 1,473 | 2,673 |
Charge-offs | (50) | (2,223) | |||
Recoveries | 169 | 169 | |||
Ending Balance | 13,600 | 13,600 | 10,600 | ||
Residential Properties | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning Balance | 5,353 | 6,799 | 6,546 | 6,546 | |
Provision for loan losses | 951 | (495) | 253 | ||
Ending Balance | 6,304 | 6,304 | 6,799 | ||
Commercial Real Estate | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning Balance | 1,887 | 1,813 | 1,499 | 1,499 | |
Provision for loan losses | 572 | 696 | 624 | ||
Charge-offs | (50) | (310) | |||
Recoveries | 169 | 169 | |||
Ending Balance | 2,628 | 2,628 | 1,813 | ||
Land And Construction | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning Balance | 272 | 103 | 67 | 67 | |
Provision for loan losses | (70) | 99 | 36 | ||
Ending Balance | 202 | 202 | 103 | ||
Commercial and Industrial Loans | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning Balance | 4,139 | 1,649 | 1,897 | 1,897 | |
Provision for loan losses | 31 | 2,521 | 1,665 | ||
Charge-offs | (1,913) | ||||
Ending Balance | 4,170 | 4,170 | 1,649 | ||
Consumer Loans | |||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||
Beginning Balance | 549 | 236 | $ 141 | 141 | |
Provision for loan losses | (253) | 60 | 95 | ||
Ending Balance | $ 296 | $ 296 | $ 236 |
Allowance for Loan Losses - Bal
Allowance for Loan Losses - Balance in Allowance for Loan Losses and Recorded Investment in Loans by Impairment (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Financing Receivable Impaired [Line Items] | ||
Allowance for Loan Losses, Individually Evaluated for Impairment | $ 30 | |
Allowance for Loan Losses, Collectively Evaluated for Impairment | $ 13,600 | 10,570 |
Total Allowance for Loan Losses | 13,600 | 10,600 |
Unaccreted Credit Component Other Loans | 481 | 732 |
Loans, Individually Evaluated for Impairment | 7,698 | 12,038 |
Loans, Collectively Evaluated for Impairment | 2,293,803 | 1,746,772 |
Total loans | 2,306,371 | 1,765,469 |
Unaccreted Credit Component Other Loans | 64,524 | 85,293 |
Receivables Acquired with Deteriorated Credit Quality | ||
Financing Receivable Impaired [Line Items] | ||
Loans, Purchased Impaired | 4,870 | 6,659 |
Residential Properties | ||
Financing Receivable Impaired [Line Items] | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 6,304 | 6,799 |
Total Allowance for Loan Losses | 6,304 | 6,799 |
Unaccreted Credit Component Other Loans | 148 | 127 |
Loans, Individually Evaluated for Impairment | 3,844 | |
Loans, Collectively Evaluated for Impairment | 1,559,963 | 1,160,568 |
Total loans | 1,563,807 | 1,160,568 |
Unaccreted Credit Component Other Loans | 13,472 | 7,747 |
Commercial Real Estate | ||
Financing Receivable Impaired [Line Items] | ||
Allowance for Loan Losses, Individually Evaluated for Impairment | 30 | |
Allowance for Loan Losses, Collectively Evaluated for Impairment | 2,628 | 1,783 |
Total Allowance for Loan Losses | 2,628 | 1,813 |
Unaccreted Credit Component Other Loans | 149 | 363 |
Loans, Individually Evaluated for Impairment | 1,187 | 6,275 |
Loans, Collectively Evaluated for Impairment | 458,334 | 352,162 |
Total loans | 459,703 | 358,791 |
Unaccreted Credit Component Other Loans | 24,982 | 43,287 |
Commercial Real Estate | Receivables Acquired with Deteriorated Credit Quality | ||
Financing Receivable Impaired [Line Items] | ||
Loans, Purchased Impaired | 182 | 354 |
Commercial and Industrial Loans | ||
Financing Receivable Impaired [Line Items] | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 4,170 | 1,649 |
Total Allowance for Loan Losses | 4,170 | 1,649 |
Unaccreted Credit Component Other Loans | 161 | 187 |
Loans, Individually Evaluated for Impairment | 2,653 | 5,687 |
Loans, Collectively Evaluated for Impairment | 221,238 | 185,732 |
Total loans | 228,579 | 196,584 |
Unaccreted Credit Component Other Loans | 24,157 | 28,231 |
Commercial and Industrial Loans | Receivables Acquired with Deteriorated Credit Quality | ||
Financing Receivable Impaired [Line Items] | ||
Loans, Purchased Impaired | 4,688 | 5,165 |
Consumer Loans | ||
Financing Receivable Impaired [Line Items] | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 296 | 236 |
Total Allowance for Loan Losses | 296 | 236 |
Unaccreted Credit Component Other Loans | 20 | 13 |
Loans, Individually Evaluated for Impairment | 14 | 76 |
Loans, Collectively Evaluated for Impairment | 34,234 | 37,130 |
Total loans | 34,248 | 37,206 |
Unaccreted Credit Component Other Loans | 1,477 | 1,761 |
Land and Construction | ||
Financing Receivable Impaired [Line Items] | ||
Allowance for Loan Losses, Collectively Evaluated for Impairment | 202 | 103 |
Total Allowance for Loan Losses | 202 | 103 |
Unaccreted Credit Component Other Loans | 3 | 42 |
Loans, Collectively Evaluated for Impairment | 20,034 | 11,180 |
Total loans | 20,034 | 12,320 |
Unaccreted Credit Component Other Loans | $ 436 | 4,267 |
Land and Construction | Receivables Acquired with Deteriorated Credit Quality | ||
Financing Receivable Impaired [Line Items] | ||
Loans, Purchased Impaired | $ 1,140 |
Allowance for Loan Losses - Add
Allowance for Loan Losses - Additional Information (Details) - USD ($) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2016 | Dec. 31, 2015 | |
Receivables [Abstract] | ||
Allowance of purchase impaired loans | 0.75% | 0.86% |
Additional allowance on credit impaired loans | $ 400,000 | $ 300,000 |
Interest income recognized on impaired loans | $ 0 | $ 0 |
Allowance for Loan Losses - Ris
Allowance for Loan Losses - Risk Category of Loans by Class of Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | $ 2,306,371 | $ 1,765,469 |
Residential Properties | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 1,563,807 | 1,160,568 |
Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 459,703 | 358,791 |
Commercial and Industrial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 228,579 | 196,584 |
Consumer Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 34,248 | 37,206 |
Land and Construction | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 20,034 | 12,320 |
Pass | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 2,274,507 | 1,740,082 |
Pass | Residential Properties | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 1,556,117 | 1,159,029 |
Pass | Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 456,548 | 351,988 |
Pass | Commercial and Industrial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 207,574 | 180,755 |
Pass | Consumer Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 34,234 | 37,130 |
Pass | Land and Construction | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 20,034 | 11,180 |
Special Mention | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 5,759 | 6,690 |
Special Mention | Residential Properties | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 3,846 | 1,539 |
Special Mention | Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 174 | |
Special Mention | Commercial and Industrial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 1,913 | 4,977 |
Substandard | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 18,407 | 6,659 |
Substandard | Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 1,968 | 354 |
Substandard | Commercial and Industrial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 16,439 | 5,165 |
Substandard | Land and Construction | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 1,140 | |
Impaired | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 7,698 | 12,038 |
Impaired | Residential Properties | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 3,844 | |
Impaired | Commercial Real Estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 1,187 | 6,275 |
Impaired | Commercial and Industrial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | 2,653 | 5,687 |
Impaired | Consumer Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans | $ 14 | $ 76 |
Allowance for Loan Losses - Ind
Allowance for Loan Losses - Individual Evaluation of Impaired Loans and Related Allowance (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Financing Receivable Modifications [Line Items] | ||
Unpaid Principal Balance, With No Allowance Recorded | $ 7,698 | $ 13,809 |
Recorded Investment, With No Allowance Recorded | 7,698 | 11,688 |
Unpaid Principal Balance, With an Allowance Recorded | 590 | |
Recorded Investment, With an Allowance Recorded | 350 | |
Related Allowance, With an Allowance Recorded | 30 | |
Residential Properties | ||
Financing Receivable Modifications [Line Items] | ||
Unpaid Principal Balance, With No Allowance Recorded | 3,844 | |
Recorded Investment, With No Allowance Recorded | 3,844 | |
Commercial Real Estate | ||
Financing Receivable Modifications [Line Items] | ||
Unpaid Principal Balance, With No Allowance Recorded | 1,187 | 5,925 |
Recorded Investment, With No Allowance Recorded | 1,187 | 5,925 |
Unpaid Principal Balance, With an Allowance Recorded | 590 | |
Recorded Investment, With an Allowance Recorded | 350 | |
Related Allowance, With an Allowance Recorded | 30 | |
Commercial and Industrial Loans | ||
Financing Receivable Modifications [Line Items] | ||
Unpaid Principal Balance, With No Allowance Recorded | 2,653 | 7,770 |
Recorded Investment, With No Allowance Recorded | 2,653 | 5,687 |
Consumer Loans | ||
Financing Receivable Modifications [Line Items] | ||
Unpaid Principal Balance, With No Allowance Recorded | 14 | 114 |
Recorded Investment, With No Allowance Recorded | $ 14 | $ 76 |
Allowance for Loan Losses - Wei
Allowance for Loan Losses - Weighted Average Annualized Balance of Recorded Investment and Interest Income on Impaired Loans (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2016 | Dec. 31, 2015 | |
Financing Receivable Modifications [Line Items] | ||
Average Recorded Investment | $ 3,391 | $ 14,469 |
Interest Income after Impairment | 24 | 677 |
Residential Properties | ||
Financing Receivable Modifications [Line Items] | ||
Average Recorded Investment | 27 | |
Interest Income after Impairment | 2 | |
Commercial Real Estate | ||
Financing Receivable Modifications [Line Items] | ||
Average Recorded Investment | 1,788 | 6,487 |
Interest Income after Impairment | 5 | 281 |
Commercial and Industrial Loans | ||
Financing Receivable Modifications [Line Items] | ||
Average Recorded Investment | 1,600 | 7,850 |
Interest Income after Impairment | 19 | 394 |
Consumer Loans | ||
Financing Receivable Modifications [Line Items] | ||
Average Recorded Investment | $ 3 | $ 105 |
Deposits - Summary of Outstandi
Deposits - Summary of Outstanding Balance of Deposits and Average Rates (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Deposits [Abstract] | ||
Demand deposits, Noninterest-bearing | $ 775,466 | $ 299,794 |
Demand deposits, Interest-bearing | 175,782 | 260,167 |
Money market and savings | 836,494 | 492,015 |
Certificates of deposits | 550,995 | 470,200 |
Total | $ 2,338,737 | $ 1,522,176 |
Demand deposits, Interest-bearing, Weighted Average Rate | 0.436% | 0.359% |
Money market and savings, Weighted Average Rate | 0.697% | 0.531% |
Certificates of deposits, Weighted Average Rate | 0.587% | 0.554% |
Total, Weighted Average Rate | 0.42% | 0.404% |
Deposits - Additional Informati
Deposits - Additional Information (Details) - USD ($) $ in Millions | Sep. 30, 2016 | Dec. 31, 2015 |
Deposits [Abstract] | ||
Certificates of deposits of $250,000 or more, maturities within one year | $ 174.3 | $ 137.8 |
Certificates of deposits of $250,000 or more, maturities after one year | 5.2 | 11.4 |
Certificates of deposits of $250,000 or more, total | 179.5 | 149.2 |
Certificates of deposit of less than $ 250,000, maturities within one year | 360.4 | 292.5 |
Certificates of deposit of less than $ 250,000, maturities after one year | 11 | 28.5 |
Certificates of deposit of less than $250,000, total | $ 371.4 | $ 321 |
Borrowings - Additional Informa
Borrowings - Additional Information (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2016 | Dec. 31, 2015 | |
Debt Disclosure [Abstract] | ||
Overnight FHLB advances | $ 951 | $ 796 |
FHLB advances interest rates | 0.38% | 0.27% |
FHLB, average balance of overnight borrowings | $ 499 | $ 353 |
Earnings Per Share - Computatio
Earnings Per Share - Computation of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Earnings Per Share [Abstract] | ||||
Net income, Basic | $ 9,675 | $ 2,762 | $ 16,786 | $ 8,330 |
Basic common shares outstanding | 16,257,008 | 12,623,924 | 16,132,112 | 9,534,056 |
Earnings per share, Basic | $ 0.60 | $ 0.22 | $ 1.04 | $ 0.87 |
Net income, Diluted | $ 9,675 | $ 2,762 | $ 16,786 | $ 8,330 |
Effect of contingent shares issuable | 796 | 796 | 796 | 796 |
Effect of options and restricted stock | 530,143 | 450,215 | 549,899 | 394,593 |
Diluted common shares outstanding | 16,787,947 | 13,074,935 | 16,682,807 | 9,929,445 |
Earnings per share, Diluted | $ 0.58 | $ 0.21 | $ 1.01 | $ 0.84 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Details) - shares | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Stock Options | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti-dilutive shares excluded from computation of earnings per share | 14,500 | 4,401 | 56,847 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Details) - Segment | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Segment Reporting [Abstract] | ||
Reportable business segments | 2 | 2 |
Segment Reporting - Key Operati
Segment Reporting - Key Operating Results of Business Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||||
Interest income | $ 26,004 | $ 17,108 | $ 72,275 | $ 45,259 | |
Interest expense | 2,841 | 1,647 | 7,830 | 4,503 | |
Net interest income | 23,163 | 15,461 | 64,445 | 40,756 | |
Provision for loan losses | 1,231 | 570 | 2,881 | 1,473 | $ 2,673 |
Noninterest income | 15,079 | 6,868 | 26,974 | 19,492 | |
Noninterest expense | 21,536 | 16,956 | 60,803 | 44,288 | |
Income before taxes on income | 15,475 | 4,803 | 27,735 | 14,487 | |
Operating Segments | Banking | |||||
Segment Reporting Information [Line Items] | |||||
Interest income | 26,004 | 17,108 | 72,275 | 45,259 | |
Interest expense | 2,841 | 1,509 | 7,830 | 3,829 | |
Net interest income | 23,163 | 15,599 | 64,445 | 41,430 | |
Provision for loan losses | 1,231 | 570 | 2,881 | 1,473 | |
Noninterest income | 9,923 | 1,839 | 11,505 | 4,501 | |
Noninterest expense | 16,134 | 11,653 | 43,746 | 28,138 | |
Income before taxes on income | 15,721 | 5,215 | 29,323 | 16,320 | |
Operating Segments | Wealth Management | |||||
Segment Reporting Information [Line Items] | |||||
Noninterest income | 5,319 | 5,171 | 15,917 | 15,426 | |
Noninterest expense | 4,697 | 4,685 | 14,536 | 13,950 | |
Income before taxes on income | 622 | 486 | 1,381 | 1,476 | |
Other | |||||
Segment Reporting Information [Line Items] | |||||
Interest expense | 138 | 674 | |||
Net interest income | (138) | (674) | |||
Noninterest income | (163) | (142) | (448) | (435) | |
Noninterest expense | 705 | 618 | 2,521 | 2,200 | |
Income before taxes on income | $ (868) | $ (898) | $ (2,969) | $ (3,309) |