Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2023 | May 04, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-38589 | |
Entity Registrant Name | COASTAL FINANCIAL CORPORATION | |
Entity Incorporation, State or Country Code | WA | |
Entity Tax Identification Number | 56-2392007 | |
Entity Address, Address Line One | 5415 Evergreen Way | |
Entity Address, City or Town | Everett | |
Entity Address, State or Province | WA | |
Entity Address, Postal Zip Code | 98203 | |
City Area Code | 425 | |
Local Phone Number | 257-9000 | |
Title of 12(b) Security | Common Stock, no par value per share | |
Trading Symbol | CCB | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | true | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 13,283,232 | |
Entity Central Index Key | 0001437958 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Filer Category | Accelerated Filer |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
ASSETS | ||
Cash and due from banks | $ 37,676 | $ 32,722 |
Interest earning deposits with other banks (restricted cash of $0 at March 31, 2023 and December 31, 2022) | 356,240 | 309,417 |
Investment securities, available for sale, at fair value | 97,999 | 97,317 |
Investment securities, held to maturity, at amortized cost | 3,705 | 1,036 |
Other investments | 11,346 | 10,555 |
Loans held for sale | 27,292 | 0 |
Loans receivable, post-adoption | 2,837,204 | 2,627,256 |
Total loans receivable, pre-adoption | 2,627,256 | |
Allowance for loan losses, pre-adoption | (74,029) | |
Allowance for loan losses, post-adoption | (89,123) | (74,029) |
Total loans receivable, net | 2,748,081 | 2,553,227 |
CCBX credit enhancement asset | 76,395 | 53,377 |
CCBX receivable | 13,681 | 10,416 |
Premises and equipment, net | 18,030 | 18,213 |
Operating lease right-of-use assets | 4,812 | 5,018 |
Accrued interest receivable | 19,321 | 17,815 |
Bank-owned life insurance, net | 12,761 | 12,667 |
Deferred tax asset, net | 20,527 | 18,458 |
Other assets | 3,167 | 4,229 |
Total assets | 3,451,033 | 3,144,467 |
LIABILITIES | ||
Deposits | 3,095,223 | 2,817,521 |
Principal amount $45,000 (less unamortized debt issuance costs of $969 and $1,001) at March 31, 2023 and December 31, 2022, respectively | 44,031 | 43,999 |
Principal amount $3,609 (less unamortized debt issuance costs of $21 at March 31, 2023 and December 31, 2022) | 3,588 | 3,588 |
Deferred compensation | 582 | 616 |
Accrued interest payable | 874 | 684 |
Operating lease liabilities | 5,022 | 5,234 |
CCBX payable | 30,794 | 20,419 |
Other liabilities | 12,156 | 8,912 |
Total liabilities | 3,192,270 | 2,900,973 |
SHAREHOLDERS’ EQUITY | ||
Authorized: 25,000,000 shares at March 31, 2023 and December 31, 2022; issued and outstanding: zero shares at March 31, 2023 and December 31, 2022 | 0 | 0 |
Authorized: 300,000,000 shares at March 31, 2023 and December 31, 2022; 13,281,533 shares at March 31, 2023 issued and outstanding and 13,161,147 shares at December 31, 2022 issued and outstanding | 127,447 | 125,830 |
Retained earnings | 133,123 | 119,998 |
Accumulated other comprehensive loss, net of tax | (1,807) | (2,334) |
Total shareholders’ equity | 258,763 | 243,494 |
Total liabilities and shareholders’ equity | $ 3,451,033 | $ 3,144,467 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Restricted cash | $ 0 | $ 0 |
Preferred stock, no par value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authorized (in shares) | 25,000,000 | 25,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, no par value | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 300,000,000 | 300,000,000 |
Voting Common Stock | ||
Common stock, shares, issued (in shares) | 13,281,533 | 13,161,147 |
Common stock, shares, outstanding (in shares) | 13,281,533 | 13,161,147 |
Subordinated Debt | ||
Principal amount | $ 45,000 | $ 45,000 |
Unamortized debt issuance cost | 969 | 1,001 |
Junior Subordinated Debentures | ||
Principal amount | 3,609 | 3,609 |
Unamortized debt issuance cost | $ 21 | $ 21 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
INTEREST AND DIVIDEND INCOME | ||
Interest and fees on loans | $ 66,431 | $ 29,632 |
Interest on interest earning deposits with other banks | 3,097 | 402 |
Interest on investment securities | 553 | 71 |
Dividends on other investments | 30 | 37 |
Total interest income | 70,111 | 30,142 |
INTEREST EXPENSE | ||
Interest on deposits | 14,958 | 553 |
Interest on borrowed funds | 662 | 321 |
Total interest expense | 15,620 | 874 |
Net interest income | 54,491 | 29,268 |
Provision for loan losses, post-adoption | 43,544 | 12,942 |
Provision for loan losses, pre-adoption | 12,942 | |
PROVISION FOR UNFUNDED COMMITMENTS | 153 | |
Net interest income after provision for credit losses - loans and unfunded commitments | 10,794 | 16,326 |
NONINTEREST INCOME | ||
Deposit service charges and fees | 910 | 884 |
Loan referral fees | 0 | 602 |
Gain on sales of loans, net | 123 | 0 |
Mortgage broker fees | 19 | 123 |
Unrealized (loss) gain on equity securities, net | 39 | 0 |
Other income | 280 | 265 |
Noninterest income, excluding BaaS program income and BaaS indemnification income | 1,371 | 1,874 |
Total noninterest income | 49,307 | 21,986 |
NONINTEREST EXPENSE | ||
Salaries and employee benefits | 15,575 | 11,085 |
Occupancy | 1,219 | 1,136 |
Data processing and software licenses | 1,840 | 1,861 |
Legal and professional expenses | 3,062 | 708 |
Point of sale expense | 753 | 248 |
Excise taxes | 455 | 349 |
Federal Deposit Insurance Corporation ("FDIC") assessments | 595 | 604 |
Director and staff expenses | 626 | 344 |
Marketing | 95 | 99 |
Other expense | 890 | 1,120 |
Noninterest expense, excluding BaaS loan and BaaS fraud expense | 25,110 | 17,554 |
BaaS loan and fraud expense | 19,553 | 12,861 |
Total noninterest expense | 44,663 | 30,415 |
Income before provision for income taxes | 15,438 | 7,897 |
PROVISION FOR INCOME TAXES | 3,047 | 1,667 |
NET INCOME | $ 12,391 | $ 6,230 |
Basic earnings per common share (in usd per share) | $ 0.94 | $ 0.48 |
Diluted earnings per common share (in usd per share) | $ 0.91 | $ 0.46 |
Weighted average number of common shares outstanding: | ||
Basic (in shares) | 13,196,960 | 12,898,746 |
Diluted (in shares) | 13,609,491 | 13,475,337 |
BaaS program income | ||
NONINTEREST INCOME | ||
Noninterest income | $ 3,575 | $ 2,466 |
BaaS indemnification income | ||
NONINTEREST INCOME | ||
Noninterest income | 44,361 | 17,646 |
Servicing and other BaaS fees | BaaS program income | ||
NONINTEREST INCOME | ||
Noninterest income | 948 | 1,169 |
Transaction fees | BaaS program income | ||
NONINTEREST INCOME | ||
Noninterest income | 917 | 493 |
Interchange fees | BaaS program income | ||
NONINTEREST INCOME | ||
Noninterest income | 789 | 432 |
Reimbursement of expenses | BaaS program income | ||
NONINTEREST INCOME | ||
Noninterest income | 921 | 372 |
BaaS credit enhancements | BaaS indemnification income | ||
NONINTEREST INCOME | ||
Noninterest income | 42,362 | 13,075 |
BaaS fraud enhancements | BaaS indemnification income | ||
NONINTEREST INCOME | ||
Noninterest income | 1,999 | 4,571 |
BaaS loan expense | ||
NONINTEREST EXPENSE | ||
BaaS loan and fraud expense | 17,554 | 8,290 |
BaaS fraud expense | ||
NONINTEREST EXPENSE | ||
BaaS loan and fraud expense | $ 1,999 | $ 4,571 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Statement of Comprehensive Income [Abstract] | ||
NET INCOME | $ 12,391 | $ 6,230 |
Securities available-for-sale | ||
Unrealized holding income (loss) during the period | 678 | (349) |
Income tax (expense) benefit related to unrealized holding gain/loss | (151) | 70 |
OTHER COMPREHENSIVE INCOME (LOSS), net of tax | 527 | (279) |
COMPREHENSIVE INCOME | $ 12,918 | $ 5,951 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (UNAUDITED) - USD ($) $ in Thousands | Total | Revision of Prior Period, Accounting Standards Update, Adjustment | Common Stock | Retained Earnings | Retained Earnings Revision of Prior Period, Accounting Standards Update, Adjustment | Accumulated Other Comprehensive Income (Loss) |
Beginning balance (in shares) at Dec. 31, 2021 | 12,875,315 | |||||
Beginning balance at Dec. 31, 2021 | $ 201,222 | $ 121,845 | $ 79,373 | $ 4 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net Income | 6,230 | 6,230 | ||||
Vesting of restricted stock units (in shares) | 26,288 | |||||
Exercise of stock options (in shares) | 26,945 | |||||
Exercise of stock options | 208 | $ 208 | ||||
Stock-based compensation | 539 | $ 539 | ||||
Other comprehensive income (loss), net of tax | (279) | (279) | ||||
Ending balance (in shares) at Mar. 31, 2022 | 12,928,548 | |||||
Ending balance at Mar. 31, 2022 | 207,920 | $ 122,592 | 85,603 | (275) | ||
Beginning balance (in shares) at Dec. 31, 2021 | 12,875,315 | |||||
Beginning balance at Dec. 31, 2021 | 201,222 | $ 121,845 | 79,373 | 4 | ||
Ending balance (in shares) at Dec. 31, 2022 | 13,161,147 | |||||
Ending balance at Dec. 31, 2022 | $ 243,494 | $ 734 | $ 125,830 | 119,998 | $ 734 | (2,334) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Accounting Standards Update [Extensible Enumeration] | Accounting Standards Update 2016-13 | |||||
Net Income | $ 12,391 | 12,391 | ||||
Vesting of restricted stock units (in shares) | 42,402 | |||||
Exercise of stock options (in shares) | 77,984 | |||||
Exercise of stock options | 567 | $ 567 | ||||
Stock-based compensation | 1,050 | $ 1,050 | ||||
Other comprehensive income (loss), net of tax | 527 | 527 | ||||
Ending balance (in shares) at Mar. 31, 2023 | 13,281,533 | |||||
Ending balance at Mar. 31, 2023 | $ 258,763 | $ 127,447 | $ 133,123 | $ (1,807) |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | $ 12,391 | $ 6,230 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Provision for loan losses, post-adoption | 43,544 | 12,942 |
Provision for loan losses, pre-adoption | 12,942 | |
Depreciation and amortization | 466 | 419 |
Loss on disposition of fixed assets | 0 | (35) |
Decrease in operating lease right-of-use assets | 206 | 269 |
Decrease in operating lease liabilities | (212) | (266) |
Gain on sales of loans | (123) | 0 |
Net (discount accretion)/premium amortization on investment securities | (6) | (12) |
Unrealized holding loss (gain) on equity investment | (39) | 0 |
Stock-based compensation | 1,050 | 539 |
Increase in bank-owned life insurance value | (94) | (88) |
Deferred tax benefit | (2,439) | 1 |
Net change in CCBX receivable | (3,265) | (3,610) |
Net change in CCBX credit enhancement asset | (18,553) | (11,571) |
Net change in CCBX payable | 10,375 | 4,536 |
Net change in other assets and liabilities | 3,330 | (1,372) |
Total adjustments | 34,240 | 1,752 |
Net cash provided by operating activities | 46,631 | 7,982 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Purchase of investment securities available for sale | 0 | (134,912) |
Purchase of investment securities held for investment | (2,679) | 0 |
Change in other investments, net | (752) | (1,453) |
Principal paydowns of investment securities available-for-sale | 2 | 7 |
Principal paydowns of investment securities held-to-maturity | 9 | 10 |
Maturities and calls of investment securities available-for-sale | 0 | 35,000 |
Proceeds from sales of loans held for sale | 74,050 | 0 |
Purchase of loans | (47,886) | (57,268) |
Increase in loans receivable, net | (295,583) | (167,010) |
Purchases of premises and equipment, net | (284) | (1,300) |
Net cash used by investing activities | (273,123) | (326,926) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Net increase in demand deposits, NOW and money market, and savings | 280,089 | 215,769 |
Net decrease in time deposits | (2,387) | (3,086) |
Net repayment from long term FHLB borrowing | 0 | (24,999) |
Proceeds from exercise of stock options | 567 | 208 |
Net cash provided by financing activities | 278,269 | 187,892 |
NET CHANGE IN CASH, DUE FROM BANKS AND RESTRICTED CASH | 51,777 | (131,052) |
CASH, DUE FROM BANKS AND RESTRICTED CASH, beginning of year | 342,139 | 813,161 |
CASH, DUE FROM BANKS AND RESTRICTED CASH, end of quarter | 393,916 | 682,109 |
SUPPLEMENTAL SCHEDULE OF OPERATING AND INVESTING ACTIVITIES | ||
Interest paid | 15,430 | 761 |
Income taxes paid | 165 | 12 |
SUPPLEMENTAL SCHEDULE OF NONCASH TRANSACTIONS | ||
Fair value adjustment of securities available-for-sale, gross | 678 | (13) |
Operating lease right-of-use assets | 69 | 0 |
Operating lease liabilities | (69) | 0 |
Transfer from loans to loans held for sale | 101,219 | 0 |
Adjustment to retained earnings - adoption of ASU 2016-13, net of deferred tax | (258,763) | (207,920) |
Retained Earnings | ||
SUPPLEMENTAL SCHEDULE OF NONCASH TRANSACTIONS | ||
Adjustment to retained earnings - adoption of ASU 2016-13, net of deferred tax | $ (133,123) | $ (85,603) |
Description of Business and Sum
Description of Business and Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2023 | |
Accounting Policies [Abstract] | |
Description of Business and Summary of Significant Accounting Policies | Description of Business and Summary of Significant Accounting Policies Nature of operations - Coastal Financial Corporation (“Corporation” or “Company”) is a registered bank holding company whose wholly owned subsidiaries are Coastal Community Bank (“Bank”) and Arlington Olympic LLC (“LLC”). The Company is a Washington state corporation that was organized in 2003. The Bank was incorporated and commenced operations in 1997 and is a Washington state-chartered commercial bank that is a member bank of the Federal Reserve system. Arlington Olympic LLC was formed in 2019 and owns the Company’s Arlington branch site, which the Bank leases from the LLC. We are headquartered in Everett, Washington, which by population is the largest city in, and the county seat of, Snohomish County. The Company’s business is conducted through three reportable segments: CCBX, the community bank and treasury & administration. The CCBX segment provides Banking as a Service (“BaaS”) that allows our broker dealers and digital financial service partners to offer their customers banking services. Through CCBX’s partners the Company is able to offer banking services and products across the nation.The community bank segment includes all community banking activities with a primary focus on providing a wide range of banking products and services to consumers and small to medium-sized businesses, professionals, and individuals in the broader Puget Sound region in the state of Washington through its 14 branches in Snohomish, Island and King Counties, and through the Internet and its mobile banking application. The treasury & administration segment includes treasury management, overall administration and all other aspects of the Company. The Bank’s deposits are insured in whole or in part by the Federal Deposit Insurance Corporation (“FDIC”). The community bank’s loans and deposits are primarily within the greater Puget Sound area, while CCBX loans and deposits are dependent upon the partner’s market. The Bank’s primary funding source is deposits from customers. The Bank is subject to regulation and supervision by the Board of Governors of the Federal Reserve System (the “Federal Reserve”) and the Washington State Department of Financial Institutions Division of Banks. The Federal Reserve also has regulatory and supervisory authority over the Company. Financial statement presentation - The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim reporting requirements and with instructions to Form 10-Q and Article 10 of Regulation S-X, and therefore do not include all the information and notes included in the annual consolidated financial statements in conformity with GAAP. These interim condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company’s audited consolidated financial statements and accompanying notes included in the Company’s Annual report on Form 10-K as filed with the U.S. Securities and Exchange Commission (“SEC”) on March 16, 2023. Operating results for the three months ended March 31, 2023 are not necessarily indicative of the results that may be expected for the entire year. Amounts presented in the consolidated financial statements and footnote tables are rounded and presented in thousands of dollars except per-share amounts, which are presented in dollars. In the narrative footnote discussion, amounts are rounded to thousands and presented in dollars. In management’s opinion, all accounting adjustments necessary to accurately reflect the financial position and results of operations on the accompanying consolidated financial statements have been made. These adjustments include normal and recurring accruals considered necessary for a fair and accurate presentation. Principles of consolidation - The consolidated financial statements include the accounts of the Company, the Bank and the LLC. All significant intercompany accounts have been eliminated in consolidation. Estimates - The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management believes that its critical accounting policies include determining the allowance for credit losses, the valuation of the Company’s deferred tax assets, and fair value of financial instruments. Actual results could differ significantly from those estimates. Implementation of ASU 2016-13 - On January 1, 2023, the Company adopted ASU 2016-13, Financial Instruments — Credit Losses (Topic 326) : Measurement of Credit Losses on Financial Instruments, which replaces the incurred loss with an expected loss methodology that is referred to as the current expected credit loss (CECL) methodology. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized costs, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments) and net investments in certain leases. In addition, ASC 326 made changes to the accounting for available-for-sale debt securities. One such change is to require increases or decreases in credit losses be presented as an allowance rather than as a write-down on available-for-sale debt securities management does not intend to sell or believe it is more likely than not the Company will be required to sell the security before recovery of the amortized cost basis. The Company adopted ASC 326 using the modified retrospective method. Results for the reporting periods beginning after January 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP. The day one CECL adjustment for community bank loans included a reduction of $310,000 to the community bank allowance and a reduction of $340,000 related to the community bank unfunded commitment reserve. This was offset by an increase to the CCBX allowance for $4.2 million. With the mirror image approach accounting related to the credit enhancement for CCBX partner loans, there was a CECL day one increase to the indemnification asset in the amount of $4.5 million. Net, the day one impact to retained earnings for the Bank’s transition to CECL was an increase of $954,000, excluding the impact of income taxes. Management has separately evaluated its held-to-maturity investment securities and determined that no loss reserves were required. Implementation of ASU 2022-02 - On January 1, 2023, the Company adopted ASU 2022-02, Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings ("TDR") and Vintage Disclosures. The ASU eliminated the accounting guidance for TDR loans by creditors while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Additionally, the ASU requires public business entities to disclose current-period gross write-offs by year of origination for financing receivables and net investments in leases. This ASU was effective upon adoption of ASU 2016-13 and was applied on a prospective basis. During the quarter ended March 31, 2023, the Company did not have any loans that were modified to borrowers experiencing financial difficulty. Accounting policy update – Allowance for Credit Losses - effective January 1, 2023 with the adoption of ASU 2016-13 Loans and unfunded commitments The allowance for credit losses ("ACL") is an estimate of the expected credit losses on financial assets measured at amortized cost. The ACL is evaluated and calculated on a collective basis for those loans which share similar risk characteristics. At each reporting period, the Company evaluates whether the loans in a pool continue to exhibit similar risk characteristics as the other loans in the pool and whether it needs to evaluate the allowance on an individual basis. The Company must estimate expected credit losses over the loans’ contractual terms, adjusted for expected prepayments. In estimating the life of the loan, the Company cannot extend the contractual term of the loan for expected extensions, renewals, and modifications, unless the extension or renewal options are included in the contract at the reporting date and are not unconditionally cancellable by the Company. Because expected credit losses are estimated over the contractual life adjusted for estimated prepayments, determination of the life of the loan may significantly affect the ACL. The Company has chosen to segment its portfolio consistent with the manner in which it manages the risk of the type of credit. • Community Bank Portfolio: The ACL calculation is derived from loan segments utilizing loan level information and relevant available information from internal and external sources related to past events and current conditions. In addition, the Company incorporates a reasonable and supportable forecast. • CCBX Portfolio: The Bank calculates the ACL on loans on an aggregate basis based on each partner and product level, segmenting the risk inherent in the CCBX portfolio based on qualitative and quantitative trends in the portfolio. Also included in the ACL are qualitative reserves to cover losses that are expected, but in the Company’s assessment may not be adequately represented in the quantitative method. For example, factors that the Company considers include environmental business conditions, borrower’s financial condition, credit rating and the volume and severity of past due loans and non-accrual loans. Based on this analysis, the Company records a provision for loan losses to maintain the allowance at appropriate levels. Determining the amount of the allowance is considered a critical accounting estimate, as it requires significant judgment and the use of subjective measurements, including management’s assessment of overall portfolio quality. The Company maintains the allowance at an amount the Company believes is sufficient to provide for estimated losses expected to occur in the Company’s loan portfolio at each balance sheet date, and fluctuations in the provision for credit losses may result from management’s assessment of the adequacy of the allowance. Changes in these estimates and assumptions are possible and may have a material impact on the Company’s allowance, and therefore the Company’s financial position, liquidity or results of operations. The Company has elected to exclude accrued interest receivable from the amortized cost basis in its ACL calculation as accrued interest is written off in a timely manner when deemed uncollectable. For more information and discussion related to the allowance for credit losses on loans, see “ Note 4 - Loans and Allowance for Credit Losses” in the Consolidated Financial Statements. In addition to the ACL on loans held for investment, CECL requires a balance sheet liability for expected losses on unfunded commitments, which is recognized if both the following conditions are met: (1) the Company has a present contractual obligation to extend credit; and (2) the obligation is not unconditionally cancellable by the Company. Loan commitments may have a funded and unfunded portion, of which the liability for unfunded commitments is derived based upon the commitments to extend credit to a borrower (e.g., an estimate of expected credit losses is not established for unfunded portions of loan commitment that are unconditionally cancellable by the Company). The expected credit losses for funded portions are reported in the previously discussed ACL. The Company segments its unfunded commitment portfolio consistent with the ACL calculation, separating between unfunded lines and commitments to originate. The Company incorporates the probability of funding (i.e. estimate of utilization) for each segment and then utilizes the ACL loss rates for each segment on an aggregate basis to calculate the allowance for unfunded commitments Available-for-sale debt securities For available-for-sale debt securities with fair value below amortized cost, the security is considered impaired. When the Company does not intend to sell the debt security, and it is more likely than not the Company will not have to sell the security before recovery of its cost basis, then the Company assesses the impairment for potential expected credit losses. Impairment related to a credit loss is measured using the discounted cash flow method. Credit loss recognition is limited to the fair value of the security. The impairment is recognized by establishing an ACL through provision for credit losses. Impairment related to noncredit factors is recognized in accumulated other comprehensive income, net of applicable taxes. The Company evaluates AFS security impairment on a quarterly basis. Held-to-maturity debt securities For held-to-maturity debt securities, expected losses are evaluated and calculated on a collective basis for those securities which share risk characteristics. The Company aggregates record level securities calculations and reports the security portfolio segments based on shared risk characteristics. The only segment included in the held-to-maturity portfolio are U.S. Agency Residential Mortgage Backed Securities which have an expected zero credit loss. The following table illustrates the impact of ASU 2016-13: January 1, 2023 As reported Pre-ASC 326 Impact of Assets: Allowance for credit losses $ 77,881 $ 74,029 $ 3,852 CCBX credit enhancement asset 57,842 53,377 4,465 Deferred tax asset 18,238 18,458 (220) Liabilities: Unfunded commitment reserve 634 974 (340) Shareholders' Equity: Retained earnings 120,732 119,998 734 Subsequent Events - The Company has evaluated events and transactions subsequent to March 31, 2023 for potential recognition or disclosure. Reclassifications - Certain amounts reported in prior quarters' consolidated financial statements may have been reclassified to conform to the current presentation with no effect on stockholders’ equity or net income. |
Recent accounting standards
Recent accounting standards | 3 Months Ended |
Mar. 31, 2023 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
Recent accounting standards | Recent accounting standards Recent Accounting Guidance Not Yet Effective In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , to provide temporary optional expedients and exceptions to the U.S. GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens of the expected market transition from LIBOR and other interbank offered rates to alternative reference rates, such as Secured Overnight Financing Rate. Entities can elect not to apply certain modification accounting requirements to contracts affected by what the guidance calls reference rate reform, if certain criteria are met. An entity that makes this election would not have to remeasure the contracts at the modification date or reassess a previous accounting determination. Also, entities can elect various optional expedients that would allow them to continue applying hedge accounting for hedging relationships affected by reference rate reform, if certain criteria are met, and can make a one-time election to sell and/or reclassify held-to-maturity debt securities that reference an interest rate affected by reference rate reform. The amendments in this ASU are effective for all entities upon issuance through December 31, 2024. The Company is currently evaluating the impact the adoption of the standard will have on the Company’s financial position or results of operations. |
Investment Securities
Investment Securities | 3 Months Ended |
Mar. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | Investment Securities The following table summarizes the amortized cost, fair value, and allowance for credit losses and the corresponding amounts of gross unrealized gains and losses of available-for-sale securities recognized in accumulated other comprehensive income (loss) and gross unrecognized gains and losses of held-to-maturity securities: Amortized Gross Gross Fair Allowance for Credit Losses (dollars in thousands; unaudited) March 31, 2023 Available-for-sale U.S. Treasury securities $ 99,974 $ — $ (2,275) $ 97,699 $ — U.S. Agency collateralized 52 — (2) 50 — U.S. Agency residential — — — — — Municipal bonds 250 — — 250 — Total available-for-sale 100,276 — (2,277) 97,999 — Amortized Gross Gross Fair Allowance for Credit Losses Held-to-maturity U.S. Agency residential 3,705 — (108) 3,597 — Total held-to-maturity $ 3,705 $ — $ (108) $ 3,597 $ — Total investment securities $ 103,981 $ — $ (2,385) $ 101,596 $ — Amortized Gross Gross Fair (dollars in thousands; unaudited) December 31, 2022 Available-for-sale U.S. Treasury securities $ 99,967 $ — $ (2,952) $ 97,015 U.S. Agency collateralized mortgage obligations 54 — (3) 51 U.S. Agency residential mortgage-backed securities 1 — — 1 Municipal bonds 250 — — 250 Total available-for-sale securities 100,272 — (2,955) 97,317 Held-to-maturity U.S. Agency residential mortgage-backed securities 1,036 — (120) 916 Total investment securities $ 101,308 $ — $ (3,075) $ 98,233 Accrued interest on available-for-sale securities was $187,000 and $723,000 at March 31, 2023 and December 31, 2022, respectively, accrued interest on held-to-maturity securities was $14,000 and $3,000 at March 31, 2023 and December 31, 2022, respectively,. Accrued interest on securities is excluded from the balances in the preceding table of securities receivable, and is included in accrued interest receivable on the Company's consolidated balance sheets. The amortized cost and fair value of debt securities at March 31, 2023, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers or the underlying borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage-backed securities and collateralized mortgage obligations are shown separately, since they are not due at a single maturity date. Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair (dollars in thousands; unaudited) March 31, 2023 Amounts maturing in One year or less $ 100,224 $ 97,949 $ — $ — 100,224 97,949 — — U.S. Agency residential mortgage-backed securities and collateralized mortgage obligations 52 50 3,705 3,597 $ 100,276 $ 97,999 $ 3,705 $ 3,597 Investments in debt securities with an amortized cost of $37.8 million at March 31, 2023 and December 31, 2022, were pledged to secure public deposits and for other purposes as required or permitted by law. During the three months ended March 31, 2023, no securities matured. During the three months ended March 31, 2023, one security was purchased for $2.7 million. There were no sales of securities during the three months ended March 31, 2023 or 2022. There were seven securities with a $2.4 million unrealized loss as of March 31, 2023. There were six securities in an unrealized loss position as of December 31, 2022. The following table shows the investments’ gross unrealized losses and fair values, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position for which an allowance for credit losses has not been recorded: Less Than 12 Months 12 Months or Greater Total Fair Gross Fair Gross Fair Gross (dollars in thousands; unaudited) March 31, 2023 Available-for-sale U.S. Treasury securities $ — $ — $ 97,699 $ 2,275 $ 97,699 $ 2,275 U.S. Agency collateralized mortgage obligations — — 50 2 50 2 Total available-for-sale securities — — 97,749 2,277 97,749 2,277 Held-to-maturity U.S. Agency residential mortgage-backed securities 2,672 7 925 101 3,597 108 Total investment securities $ 2,672 $ 7 $ 98,674 $ 2,378 $ 101,346 $ 2,385 |
Loans and Allowance for Credit
Loans and Allowance for Credit Losses | 3 Months Ended |
Mar. 31, 2023 | |
Receivables [Abstract] | |
Loans and Allowance for Credit Losses | Loans and Allowance for Credit Losses During the quarter ended March 31, 2023, $101.2 million in CCBX loans were transferred to loans held for sale, with $73.9 million in loans sold. A portion of these loans were sold at par and a portion were sold with a gain on sale of $123,000. As of March 31, 2023 $27.3 million in residential real estate secured lines of credit loans remain in loans held for sale. At December 31, 2022, there were no loans held for sale. The Company adopted the CECL methodology for measuring credit losses as of January 1, 2023. All disclosures as of and for the three months ended March 31, 2023 are presented in accordance with Topic 326. The Company did not recast comparative financial periods and has presented those disclosures under previously applicable GAAP. The composition of the loan portfolio is as follows as of the periods indicated: March 31, 2023 (dollars in thousands; unaudited) Community Bank Commercial and industrial loans $ 158,873 Real estate loans: Construction, land and land development loans 206,635 Residential real estate loans 206,140 Commercial real estate loans 1,102,771 Consumer and other loans: Other consumer and other loans 2,860 Gross Community Bank loans receivable 1,677,279 CCBX Commercial and industrial loans: Capital call lines $ 118,796 All other commercial & industrial loans 48,669 Real estate loans: Residential real estate loans 249,367 Consumer and other loans: Credit cards 318,187 Other consumer and other loans 431,481 Gross CCBX loans receivable 1,166,500 Total gross loans receivable 2,843,779 Net deferred origination fees and premiums (6,575) Total loans receivable $ 2,837,204 December 31, 2022 (dollars in thousands; unaudited) Commercial and industrial loans $ 312,628 Real estate loans: Construction, land, and land development 214,055 Residential real estate 449,157 Commercial real estate 1,048,752 Consumer and other loans 608,771 Gross loans receivable 2,633,363 Net deferred origination fees and premiums (6,107) Loans receivable $ 2,627,256 Accrued interest on loans, which is excluded from the balances in the preceding table of loans receivable, was $18.7 million and $17.0 million at March 31, 2023 and December 31, 2022, respectively, and was included in accrued interest receivable on the Company's consolidated balance sheets. Included in commercial and industrial loans as of March 31, 2023 and December 31, 2022, is $118.8 million and $146.0 million, respectively in capital call lines, provided to venture capital firms through one of our BaaS clients. These loans are secured by the capital call rights and are individually underwritten to the Bank’s credit standards by our BaaS client and the underwriting is reviewed and approved by the Bank on every line. Also included in commercial and industrial loans are Paycheck Protection Program (“PPP”) loans of $3.8 million at March 31, 2023 and $4.7 million at December 31, 2022. PPP loans are 100% guaranteed by the Small Business Administration (“SBA”). Consumer and other loans includes overdrafts of $3.9 million and $2.7 million at March 31, 2023 and December 31, 2022, respectively. Community bank overdrafts were $1.3 million and $94,000 at March 31, 2023 and December 31, 2022, respectively and CCBX overdrafts were $2.6 million at March 31, 2023 and December 31, 2022. The Company has pledged loans totaling $910.5 million and $220.1 million at March 31, 2023 and December 31, 2022, respectively, for borrowing lines at the FHLB and FRB. The balance of SBA and USDA loans and participations sold and serviced for others totaled $12.6 million and $14.3 million at March 31, 2023 and December 31, 2022, respectively. The balance of Main Street Lending Program (“MSLP”) loans including participations to others with servicing retained totaled $58.0 million at March 31, 2023 and December 31, 2022, with $3.1 million in MSLP loans on the balance sheet and included in commercial and industrial loans at March 31, 2023, and December 31, 2022. The Company, at times, purchases individual loans through the community bank at fair value as of the acquisition date. The Company held purchased loans with remaining balances that totaled The Company has purchased participation loans with remaining balances totaling $62.5 million and $63.9 million as of March 31, 2023 and December 31, 2022, respectively. These loans are included in the applicable loan category depending upon the collateral and purpose of the individual loan. The Company purchased loans from a CCBX partner, at par, through agreements with that CCBX partner, and those loans had a remaining balance of $180.9 million as of March 31, 2023 and $157.4 million as of December 31, 2022. As of March 31, 2023, $168.2 million is included in consumer and other loans and $12.7 million is included in commercial and industrial loans, compared to $146.1 million in consumer and other loans and $11.3 million in commercial and industrial loans as of December 31, 2022. The following is a summary of the Company’s loan portfolio segments: Commercial and industrial loans – Commercial and industrial loans are secured by business assets including inventory, receivables and machinery and equipment of businesses located generally in the Company’s primary market area and capital calls on venture and investment funds. Also included in commercial and industrial loans are $48.7 million in unsecured CCBX partner loans. Loan types include PPP loans, revolving lines of credit, term loans, and loans secured by liquid collateral such as cash deposits or marketable securities. Also included in commercial and industrial loans are loans to other financial institutions. Risk arises primarily due to the difference between expected and actual cash flows of the borrowers. In addition, the recoverability of the Company’s investment in these loans is also dependent on other factors primarily dictated by the type of collateral securing these loans. The fair value of the collateral securing these loans may fluctuate as market conditions change. In the case of loans secured by accounts receivable, the recovery of the Company’s investment is dependent upon the borrower’s ability to collect amounts due from its customers. As of March 31, 2023, $118.8 million in outstanding CCBX capital call lines are included in commercial and industrial loans compared to $146.0 million at December 31, 2022. Capital call lines are provided to venture capital firms. These loans are secured by the capital call rights and are individually underwritten to the Bank’s credit standards by our CCBX partner and the underwriting is reviewed by the Bank on every line/loan. Construction, land and land development loans – The Company originates loans for the construction of 1-4 family, multifamily, and Commercial Real Estate (“CRE”) properties in the Company’s market area. Construction loans are considered to have higher risks due to construction completion and timing risk, the ultimate repayment being sensitive to interest rate changes, government regulation of real property and the availability of long-term financing. Additionally, economic conditions may impact the Company’s ability to recover its investment in construction loans, as adverse economic conditions may negatively impact the real estate market, which could affect the borrower’s ability to complete and sell the project. Additionally, the fair value of the underlying collateral may fluctuate as market conditions change. The Company occasionally originates land loans for the purpose of facilitating the ultimate construction of a home or commercial building. The primary risks include the borrower’s ability to pay and the inability of the Company to recover its investment due to a material decline in the fair value of the underlying collateral. Residential real estate loans – Residential real estate includes various types of loans for which the Company holds real property as collateral. Included in this segment are first and second lien single family loans, occasionally purchased by the Company to diversify its loan portfolio, and rental portfolios secured by one-to-four family homes. The primary risks of residential real estate loans include the borrower’s inability to pay, material decreases in the value of the collateral, and significant increases in interest rates which may make the loan unprofitable. As of March 31, 2023, $249.4 million in loans originated through CCBX partners are included in residential real estate loans, compared to $244.6 million at December 31, 2022. These home equity lines of credit are secured by residential real estate and are accessed by using a credit card. Home equity lines of credit are classified as residential real estate per regulatory guidelines. Commercial real estate (includes owner occupied and nonowner occupied) loans – Commercial real estate loans include various types of loans for which the Company holds real property as collateral. We make commercial mortgage loans collateralized by owner-occupied and non-owner-occupied real estate, as well as multi-family residential loans. The primary risks of commercial real estate loans include the borrower’s inability to pay, material decreases in the value of the collateralized real estate and significant increases in interest rates, which may make the real estate loan unprofitable. Commercial real estate loans may be more adversely affected by conditions in the real estate markets or in the general economy. Consumer and other loans – The community bank originates a limited number of consumer loans, generally for banking customers only, which consist primarily of lines of credit, saving account secured loans, and auto loans. CCBX originates consumer loans including credit cards, consumer term loans and secured and unsecured lines of credit. This loan category includes overdrafts. Repayment of these loans is dependent on the borrower’s ability to pay and the fair value of the underlying collateral, if any. As of March 31, 2023, $749.7 million in CCBX loans are included in consumer and other loans compared to $607.0 million at December 31, 2022. Past Due and Nonaccrual Loans The following table illustrates an age analysis of past due loans as of the dates indicated: 30-89 90 Days Total Current Total 90 Days or (dollars in thousands; unaudited) March 31, 2023 Community Bank Commercial and industrial $ — $ — $ — $ 158,873 $ 158,873 $ — Real estate loans: Construction, land and land development — 66 66 206,569 206,635 — Residential real estate 195 — 195 205,945 206,140 — Commercial real estate 92 6,901 6,993 1,095,778 1,102,771 — Consumer and other loans 3 — 3 2,857 2,860 — Total community bank $ 290 $ 6,967 $ 7,257 $ 1,670,022 $ 1,677,279 $ — CCBX Commercial and industrial loans: Capital call lines $ — $ — $ — $ 118,796 $ 118,796 $ — All other commercial & industrial loans 589 187 776 47,893 48,669 187 Real estate loans: Residential real 2,582 946 3,528 $ 245,839 $ 249,367 946 Consumer and other loans: Credit cards 15,273 17,772 33,045 $ 285,142 $ 318,187 17,772 Other consumer and 19,494 5,657 25,151 406,330 431,481 5,657 Total CCBX $ 37,938 $ 24,562 $ 62,500 $ 1,104,000 $ 1,166,500 $ 24,562 Total community bank $ 38,228 $ 31,529 $ 69,757 $ 2,774,022 2,843,779 $ 24,562 Less net deferred origination fees and premiums (6,575) Loans receivable $ 2,837,204 30-89 90 Days Total Current Total 90 Days or (dollars in thousands; unaudited) December 31, 2022 Commercial and industrial loans $ 393 $ 486 $ 879 $ 311,749 $ 312,628 $ 404 Real estate loans: Construction, land and land development — 66 66 213,989 214,055 — Residential real estate 1,016 876 1,892 447,265 449,157 876 Commercial real estate 95 6,901 6,996 1,041,756 1,048,752 — Consumer and other loans 37,932 24,815 62,747 546,024 608,771 24,815 $ 39,436 $ 33,144 $ 72,580 $ 2,560,783 $ 2,633,363 $ 26,095 Less net deferred origination fees and premiums (6,107) Loans receivable $ 2,627,256 There were $24.6 million in loans past due 90 days or more and still accruing interest as of March 31, 2023, and $26.1 million as of December 31, 2022. This is attributed to loans originated through CCBX lending partners which continue to accrue interest up to 180 days past due. As of March 31, 2023 and December 31, 2022, $23.6 million and $25.5 million, respectively, of loans past due 90 days or more are covered by credit enhancements provided by our CCBX partners that protect the Bank against credit losses. The accrual of interest on community bank loans is discontinued when, in management’s opinion, the borrower may be unable to meet payments as they become due or when they are 90 days past due as to either principal or interest, unless they are well secured and in the process of collection. Installment/closed-end, and revolving/open-end consumer loans originated through CCBX lending partners will continue to accrue interest until 120 and 180 days past due, respectively and an allowance is recorded through provision expense for these expected losses. For installment/closed-end and revolving/open-end consumer loans originated through CCBX lending partners with balances outstanding beyond 120 days and 180 days past due, respectively, principal and capitalized interest outstanding is charged off against the allowance and accrued interest outstanding is reversed against interest income. These consumer loans are reported as nonperforming/substandard, 90 days or more days past due and still accruing. When loans are placed on nonaccrual status, all accrued interest is reversed from current period earnings. Payments received on nonaccrual loans are generally applied as a reduction to the loan principal balance. If the likelihood of further loss is removed, the Company will recognize interest on a cash basis only. Loans may be returned to accruing status if the Company believes that all remaining principal and interest is fully collectible and there has been at least six months of sustained repayment performance since the loan was placed on nonaccrual. An analysis of nonaccrual loans by category consisted of the following at the periods indicated: March 31, December 31, 2023 2022 Total Nonaccrual Nonaccrual with No ACL Total Nonaccrual (dollars in thousands; unaudited) Community Bank Commercial and industrial loans $ 15 $ — $ 113 Real estate loans: Construction, land and land development 66 66 66 Commercial real estate 6,901 6,901 6,901 Consumer and other loans — — — Total nonaccrual loans $ 6,982 $ 6,967 $ 7,080 In some circumstances, the Company modifies loans in response to borrower financial difficulty, and generally provides for a temporary modification of loan repayment terms. In order for a modified loan to be considered for accrual status, the loan’s collateral coverage generally will be greater than or equal to 100% of the loan balance, the loan is current on payments, and the borrower must either prefund an interest reserve or demonstrate the ability to make payments from a verified source of cash flow for an extended period of time, usually at least six months in duration. No loans were modified for borrowers experiencing financial difficulty in the three months ended March 31, 2023 and 2022. Credit Quality and Credit Risk Federal regulations require that the Company periodically evaluate the risks inherent in its loan portfolio. In addition, the Company’s regulatory agencies have authority to identify problem loans and, if appropriate, require them to be reclassified. The Company establishes loan grades for loans at the origination of the loan. Changes to community bank loan grades are considered at the time new information about the performance of a loan becomes available, including the receipt of updated financial information from the borrower and after loan reviews. For consumer loans, the Bank follows the FDIC’s Uniform Retail Credit Classification and Account Management Policy for subsequent classification in the event of payment delinquencies or default. Typically, an individual loan grade will not be changed from the prior period unless there is a specific indication of credit deterioration or improvement. Credit deterioration is evidenced by delinquency, direct communications with the borrower or other borrower information that becomes known to management. Credit improvements are evidenced by known facts regarding the borrower or the collateral property. The Company classifies some loans as Watch or Other Loans Especially Mentioned (“OLEM”). Loans classified as Watch are performing assets but have elements of risk that require more monitoring than other performing loans and are reported in the OLEM column in the following table. Loans classified as OLEM are assets that continue to perform but have shown deterioration in credit quality and require close monitoring. There are three classifications for problem loans: Substandard, Doubtful, and Loss. Substandard loans have one or more defined weaknesses and are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. Revolving (open-ended loans, such as credit cards) and installment (closed end) consumer loans originated through CCBX partners continue to accrue interest until they are charged-off at 120 days past due for installment loans (primarily unsecured loans to consumers) and 180 days past due for revolving loans (primarily credit cards) and are classified as substandard. Doubtful loans have the weaknesses of loans classified as Substandard, with additional characteristics that suggest the weaknesses make collection or recovery in full after liquidation of collateral questionable on the basis of currently existing facts, conditions, and values. There is a high possibility of loss in loans classified as Doubtful. A loan classified as Loss is considered uncollectible and of such little value that continued classification of the credit as a loan is not warranted. If a loan or a portion thereof is classified as Loss, it must be charged-off, meaning the amount of the loss is charged against the allowance for credit losses, thereby reducing that reserve. Management considers the guidance in ASC 310-20 when determining whether a modification, extension, or renewal of loan constitutes a current period origination. As of March 31, 2023 and December 31, 2022, based on the most recent analysis performed, the risk category of community bank loans by year of origination is as follows: Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted To Term Total (dollars in thousands; unaudited) As of March 31, 2023 Commercial and industrial loans Risk rating Pass $ 7,788 $ 60,221 $ 15,938 $ 11,172 $ 15,299 $ 2,414 $ 38,622 $ 1,370 $ 152,824 Other Loan Especially Mentioned — — 1,763 1,411 194 — 2,618 — 5,986 Substandard — — — — — 63 — — 63 Doubtful — — — — — — — — — Total commercial and industrial $ 7,788 $ 60,221 $ 17,701 $ 12,583 $ 15,493 $ 2,477 $ 41,240 $ 1,370 $ 158,873 Current period gross write-offs $ — $ — $ — $ — $ — $ 46 $ — $ — $ 46 Real estate loans - Risk rating Pass $ 5,338 $ 77,892 $ 111,263 $ 3,338 $ 937 $ 1,665 $ 663 $ — $ 201,096 Other Loan Especially Mentioned — — 3,148 2,325 — — — — 5,473 Substandard — — — — — 66 — — 66 Doubtful — — — — — — — — — Total real estate loans - $ 5,338 $ 77,892 $ 114,411 $ 5,663 $ 937 $ 1,731 $ 663 $ — $ 206,635 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted To Term Total (dollars in thousands; unaudited) Real estate loans - Risk rating Pass $ 2,208 $ 45,065 $ 41,615 $ 36,274 $ 32,820 $ 27,109 $ 20,960 $ — $ 206,051 Other Loan Especially Mentioned — — — 43 — 46 — — 89 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total real estate loans - $ 2,208 $ 45,065 $ 41,615 $ 36,317 $ 32,820 $ 27,155 $ 20,960 $ — $ 206,140 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Real estate loans - Risk rating Pass $ 55,067 $ 273,374 $ 206,504 $ 151,862 $ 141,706 $ 244,305 $ 7,426 $ 1,764 $ 1,082,008 Other Loan Especially Mentioned — 3,303 2,211 — 514 7,593 — — 13,621 Substandard — — — 92 6,901 — 149 — 7,142 Doubtful — — — — — — — — — Total real estate loans - $ 55,067 $ 276,677 $ 208,715 $ 151,954 $ 149,121 $ 251,898 $ 7,575 $ 1,764 $ 1,102,771 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted To Term Total (dollars in thousands; unaudited) Consumer and other loans - Risk rating Pass $ 1,362 $ 313 $ 18 $ 708 $ 60 $ 241 $ 158 $ — $ 2,860 Other Loan Especially Mentioned — — — — — — — — — Substandard — — — — — — — — — Doubtful — — — — — — — — — Total consumer and other $ 1,362 $ 313 $ 18 $ 708 $ 60 $ 241 $ 158 $ — $ 2,860 Current period gross write-offs $ 4 $ — $ — $ — $ — $ — $ — $ — $ 4 Total community bank loans Risk rating Pass $ 71,763 $ 456,865 $ 375,338 $ 203,354 $ 190,822 $ 275,734 $ 67,829 $ 3,134 $ 1,644,839 Other Loan Especially Mentioned — 3,303 7,122 3,779 708 7,639 2,618 — 25,169 Substandard — — — 92 6,901 129 149 — 7,271 Doubtful — — — — — — — — — Total community bank loans $ 71,763 $ 460,168 $ 382,460 $ 207,225 $ 198,431 $ 283,502 $ 70,596 $ 3,134 $ 1,677,279 Current period gross write-offs $ 4 $ — $ — $ — $ — $ 46 $ — $ — $ 50 The Company considers the performance of the CCBX loan portfolio and its impact on the allowance for credit losses. For CCBX loans, the Company also evaluates credit quality based on the aging status of the loan, which was previously presented, and by payment activity. The following table presents the loans in CCBX based on payment activity: Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted To Term Total (dollars in thousands; unaudited) As of March 31, 2023 Commercial and industrial loans - Payment performance Performing $ — $ — $ — $ — $ — $ — $ 118,796 $ — $ 118,796 Nonperforming — — — — — — — — — Total commercial and industrial $ — $ — $ — $ — $ — $ — $ 118,796 $ — $ 118,796 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Commercial and industrial loans - Payment performance Performing $ 31,726 $ 15,541 $ 74 $ 34 $ — $ — $ 1,107 $ — $ 48,482 Nonperforming — 151 — — — — 36 — 187 Total commercial and industrial $ 31,726 $ 15,692 $ 74 $ 34 $ — $ — $ 1,143 $ — $ 48,669 Current period gross write-offs $ — $ 718 $ 12 $ — $ — $ — $ — $ — $ 730 Real estate loans - Payment performance Performing $ — $ — $ — $ — $ — $ — $ 141,079 $ 107,342 $ 248,421 Nonperforming — — — — — — 946 — 946 Total real estate loans - $ — $ — $ — $ — $ — $ — $ 142,025 $ 107,342 $ 249,367 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ 737 $ — $ 737 Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted To Term Total (dollars in thousands; unaudited) Consumer and other loans - Payment performance Performing $ — $ — $ — $ — $ — $ — $ 300,415 $ — $ 300,415 Nonperforming — — — — — — 17,772 — 17,772 Total consumer and other $ — $ — $ — $ — $ — $ — $ 318,187 $ — $ 318,187 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ 8,481 $ — $ 8,481 Consumer and other loans - Payment performance Performing $ 191,238 $ 191,628 $ 29,230 $ 313 $ 1,297 $ 591 $ 11,527 $ — $ 425,824 Nonperforming — 3,413 809 — — 18 1,417 — 5,657 Total consumer and other $ 191,238 $ 195,041 $ 30,039 $ 313 $ 1,297 $ 609 $ 12,944 $ — $ 431,481 Current period gross write-offs $ — $ 16,723 $ 5,361 $ 47 $ 117 $ 93 $ 1,828 $ — $ 24,169 Total CCBX loans Payment performance Performing $ 222,964 $ 207,169 $ 29,304 $ 347 $ 1,297 $ 591 $ 572,924 $ 107,342 $ 1,141,938 Nonperforming — 3,564 809 — — 18 20,171 — 24,562 Total CCBX loans $ 222,964 $ 210,733 $ 30,113 $ 347 $ 1,297 $ 609 $ 593,095 $ 107,342 $ 1,166,500 Current period gross write-offs $ — $ 17,441 $ 5,373 $ 47 $ 117 $ 93 $ 11,046 $ — $ 34,117 Loans by credit quality risk rating are as follows as of the periods indicated: Pass Other Loans Sub- Doubtful Total (dollars in thousands; unaudited) December 31, 2022 Commercial and industrial loans $ 304,840 $ 7,219 $ 569 $ — $ 312,628 Real estate loans: Construction, land, and land development 206,304 7,685 66 — 214,055 Residential real estate 448,185 96 876 — 449,157 Commercial real estate 1,030,650 11,201 6,901 — 1,048,752 Consumer and other loans 583,956 — 24,815 — 608,771 $ 2,573,935 $ 26,201 $ 33,227 $ — 2,633,363 Less net deferred origination fees (6,107) Loans receivable $ 2,627,256 Allowance for Credit Losses ("ACL") On January 1, 2023, the Company adopted ASU 2016-13, which replaces the incurred loss methodology with an expected loss methodology that is referred to as ACL. See Note 1, Description of Business and Summary of Significant Accounting Policies. As a result of implementing CECL, there was a one-time adjustment to the 2023 opening allowance balance of $3.9 million. CCBX loans have a higher level of expected losses than our community bank loans, which is reflected in the factors for the allowance for credit losses. Agreements with our CCBX partners provide for a credit enhancement which protects the Bank by absorbing most losses. In accordance with accounting guidance, we estimate and record a provision for expected losses for these CCBX loans and reclassified negative deposit accounts. When the provision for CCBX credit losses and provision for unfunded commitments are recorded, a credit enhancement asset is also recorded on the balance sheet through noninterest income (BaaS credit enhancements). Expected losses are recorded in the allowance for credit losses. The credit enhancement asset is relieved when credit enhancement payments and recoveries are received from the CCBX partner. CCBX partners provide for credit enhancements that provide protection to the Bank from credit and fraud losses by absorbing incurred credit and fraud losses. If the partner is unable to fulfill their contracted obligations then the Bank could be exposed to additional credit losses. In accordance with the program agreement for one CCBX partner, the Company is responsible for credit losses on approximately 10% of a $137.4 million loan portfolio. At March 31, 2023, 10% of this portfolio represented $13.9 million in loans. The partner is responsible for credit losses on approximately 90% of this portfolio and for fraud losses on 100% of this portfolio. The Company earns 100% of the revenue on the aforementioned $13.9 million of loans. The following tables summarize the allocation of the ACL, as well as the activity in the ACL attributed to various segments in the loan portfolio, as of and for the three months ended March 31, 2023 and the allocation and activity of the loans and allowance for loan losses ("ALLL ") attributed to the various segments in the loan portfolio for the three months ended March 31, 2022: Commercial Construction, Residential Commercial Consumer Unallocated Total (dollars in thousands; unaudited) Three Months Ended March 31, 2023 ACL balance, December 31, 2022 $ 4,831 $ 7,425 $ 4,142 $ 5,470 $ 50,996 $ 1,165 $ 74,029 Impact of adopting CECL (ASC 326) 1,428 (1,589) 1,623 1,240 2,315 (1,165) $ 3,852 Provision for credit losses or (recapture) 3,165 (92) 1,958 796 37,717 — 43,544 9,424 5,744 7,723 7,506 91,028 — 121,425 Loans charged-off (776) — (737) — (32,654) — (34,167) Recoveries of loans previously charged-off 3 — — — 1,862 — 1,865 Net (charge-offs) recoveries (773) — (737) — (30,792) — (32,302) ACL balance, March 31, 2023 $ 8,651 $ 5,744 $ 6,986 $ 7,506 $ 60,236 $ — $ 89,123 Three Months Ended March 31, 2022 ALLL balance, December 31, 2021 $ 3,221 $ 6,984 $ 4,598 $ 6,590 $ 7,092 $ 147 $ 28,632 Provision for loan losses or (recapture) 296 608 1,160 (1,273) 10,823 1,328 12,942 3,517 7,592 5,758 5,317 17,915 1,475 41,574 Loans charged-off (5) — — — (2,803) — (2,808) Recoveries of loans previously charged-off 2 — — — 2 — 4 Net (charge-offs) recoveries (3) — — — (2,801) — (2,804) Balance, March 31, 2022 $ 3,514 $ 7,592 $ 5,758 $ 5,317 $ 15,114 $ 1,475 $ 38,770 The following table summarizes the allocation of the allowance for loan losses attributed to various segments in the loan portfolio as of December 31, 2022. Commercial Construction, Residential Commercial Consumer Unallocated Total (dollars in thousands; unaudited) As of December 31, 2022 ALLL amounts allocated to Individually evaluated for impairment $ 95 $ — $ — $ — $ — $ — $ 95 Collectively evaluated for impairment 4,736 7,425 4,142 5,470 50,996 1,165 73,934 ALLL balance, December 31, 2022 $ 4,831 $ 7,425 $ 4,142 $ 5,470 $ 50,996 $ 1,165 $ 74,029 Loans individually evaluated for $ 113 $ 66 $ — $ 6,901 $ — $ 7,080 Loans collectively evaluated for 312,515 213,989 449,157 1,041,851 608,771 2,626,283 Loan balance, December 31, 2022 $ 312,628 $ 214,055 $ 449,157 $ 1,048,752 $ 608,771 $ 2,633,363 The following table presents the collateral dependent loans, which are individually evaluated to determine expected credit losses, and the related ACL allocated to these loans: Real Estate Business Assets Total ACL (dollars in thousands; unaudited) March 31, 2023 Commercial and industrial loans $ — $ 15 $ 15 $ 6 Real estate loans: Construction, land and land development 66 — 66 — Residential real estate — — — — Commercial real estate 6,901 — 6,901 — Total $ 6,967 $ 15 $ 6,982 $ 6 The following table is a summary of information pertaining to impaired loans as of the period indicated. Loans originated through CCBX partners are reported using pool accounting and are not subject to impairment analysis, therefore CCBX loans are not included in this table. Unpaid Recorded Recorded Total Related (dollars in thousands; unaudited) December 31, 2022 Commercial and industrial loans $ 124 $ — $ 113 $ 113 $ 95 Real estate loans: Construction, land and land development 67 66 — 66 — Commercial real estate 6,901 6,901 — 6,901 — Total $ 7,092 $ 6,967 $ 113 $ 7,080 $ 95 The following tables summarize the Company’s average recorded investment and interest income recognized on impaired loans by loan class for the period indicated: Three Months Ended March 31, 2022 Average Interest Income (dollars in thousands; unaudited) Commercial and industrial loans $ 148 $ — Real estate loans: Construction, land and land development — — Residential real estate 55 — Commercial real estate — — Total $ 203 $ — |
Deposits
Deposits | 3 Months Ended |
Mar. 31, 2023 | |
Deposits [Abstract] | |
Deposits | Deposits The composition of consolidated deposits consisted of the following at the periods indicated: March 31, December 31, (dollars in thousands; unaudited) Demand, noninterest bearing $ 761,800 $ 775,012 NOW and money market 2,207,121 1,804,399 Savings 99,241 107,117 Total core deposits 3,068,162 2,686,528 Brokered deposits 1 101,546 Time deposits less than $250,000 19,386 21,942 Time deposits $250,000 and over 7,674 7,505 Total deposits $ 3,095,223 $ 2,817,521 The following table presents the maturity distribution of time deposits as of March 31, 2023: (dollars in thousands; unaudited) Twelve months $ 21,548 One to two years 2,992 Two to three years 1,527 Three to four years 389 Four to five years 547 Thereafter 57 $ 27,060 |
Leases
Leases | 3 Months Ended |
Mar. 31, 2023 | |
Leases [Abstract] | |
Leases | Leases The Company has committed to rent premises used in business operations under non-cancelable operating leases and determines if an arrangement meets the definition of a lease upon inception. Operating lease right-of-use (“ROU”) assets represent a right to use an underlying asset for the contractual lease term. Operating lease liabilities represent an obligation to make lease payments arising from the lease. An operating lease ROU asset and operating lease liability will be recognized for any new operating leases at the commencement of the new lease. The Company’s leases do not provide an implicit interest rate, therefore the Company used its incremental collateralized borrowing rates commensurate with the underlying lease terms to determine the present value of operating lease liabilities. The weighted average discount rate as of March 31, 2023 was 3.45%. The Company’s operating lease agreements contain both lease and non-lease components, which are generally accounted for separately. The Company’s lease agreements do not contain any residual value guarantees. Operating leases with terms of 12 months or less are not included in ROU assets and operating lease liabilities recorded in the Company’s consolidated balance sheets. Operating lease terms include options to extend when it is reasonably certain that the Company will exercise such options, determined on a lease-by-lease basis. At March 31, 2023, lease expiration dates ranged from 11 months to 21.9 years, with additional renewal options on certain leases typically ranging from 5 to 10 years. At March 31, 2023, the weighted average remaining lease term inclusive of renewal options that the Company is reasonably certain to renew for the Company’s operating leases was 8.1 years. Rental expense for operating leases is recognized on a straight-line basis over the lease term and amounted to $358,000 three months ended March 31, 2023, and $346,000 for the three months ended March 31, 2022. Variable lease components, such as inflation adjustments, are expensed as incurred and not included in ROU assets and operating lease liabilities. The following table presents the minimum annual lease payments under the terms of these leases, inclusive of renewal options that the Company is reasonably certain to renew, at March 31, 2023: (dollars in thousands; unaudited) March 31, April 1 to December 31, 2023 $ 987 2024 894 2025 715 2026 719 2027 667 2028 and thereafter 1,823 Total lease payments 5,805 Less: amounts representing interest 783 Present value of lease liabilities $ 5,022 The following table presents the components of total lease expense and operating cash flows for the three months ended March 31, 2023 and 2022: Three Months Ended March 31, March 31, (dollars in thousands; unaudited) Lease expense: Operating lease expense $ 321 $ 320 Variable lease expense 52 41 Total lease expense (1) $ 373 $ 361 Cash paid: Cash paid reducing operating lease liabilities $ 379 $ 358 (1) Included in net occupancy expense in the Condensed Consolidated Statements of Income (unaudited). |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation - Stock Options and Restricted Stock The 2018 Coastal Financial Corporation Omnibus Plan (2018 Plan) authorizes the Company to grant awards, including but not limited to, stock options, restricted stock units, and restricted stock awards, to eligible employees, directors or individuals that provide service to the Company, up to an aggregate of 500,000 shares of common stock. On May 24, 2021, the Company’s shareholders approved the First Amendment to the 2018 Plan, which increased the authorized plan shares by 600,000. The 2018 Plan replaces both the 2006 Plan and the Directors’ Stock Bonus Plan (2006 Plan). Existing awards will vest under the terms granted and no further awards will be granted under these prior plans. Shares available to be granted under the 2018 plan were 452,780 at March 31, 2023. Stock Option Awards The fair value of each option award is estimated on the date of grant using the Black-Scholes option pricing model. Expected volatilities are based on historical volatility of the Company’s stock and other factors. The Company uses the vesting term and contractual life to determine the expected life. The risk-free interest rate for periods within the contractual life of the option is based on the U.S. Treasury yield curve in effect at the time of grant. Compensation expense related to unvested stock option awards is reversed at date of forfeiture. There were no new stock options granted in the three months ended March 31, 2023 and 2022. A summary of stock option activity under the 2018 Plan and 2006 Plan during the three months ended March 31, 2023: Options Shares Weighted- Weighted- Aggregate (dollars in thousands, except per share amounts; unaudited) Outstanding at December 31, 2022 438,103 $ 8.79 4.1 $ 16,968 Granted — — Exercised (77,984) 7.38 Expired — — Forfeited — — Outstanding at March 31, 2023 360,119 $ 9.10 4.2 $ 9,692 Vested or expected to vest at March 31, 2023 360,119 $ 9.10 4.2 $ 9,692 Exercisable at March 31, 2023 174,590 $ 8.65 3.9 $ 4,776 The total or aggregate intrinsic value (which is the amount by which the stock price exceeds the exercise price) of options exercised during the three months ended March 31, 2023 was $2.3 million. The total or aggregate intrinsic value of options exercised during the three months ended March 31, 2022 was $1.1 million. As of March 31, 2023, there was $982,000 of total unrecognized compensation cost related to nonvested stock options granted under the 2018 Plan and 2006 Plan. Total unrecognized compensation costs are adjusted for unvested forfeitures. The Company expects to recognize that cost over a remaining weighted-average period of approximately 4.3 years. Compensation expense recorded related to stock options was $140,000 for the three months ended March 31, 2023 and $120,000 for the three months ended March 31, 2022. Restricted Stock Units In the first quarter of 2023, the Company granted 73,611 restricted stock units ("RSUs") under the 2018 Plan to employees, which vest ratably over 4 years and 1,084 restricted stock units which vest ratably over 5 years. RSUs provide for an interest in Company common stock to the recipient, the underlying stock is not issued until certain conditions are met. Vesting requirements include time-based, performance-based, or market-based conditions. Recipients of RSUs do not pay any cash consideration to the Company for the units and the holders of the restricted units do not have voting rights. The fair value of time-based and performance-based units is equal to the fair market value of the Company’s common stock on the grant date. The fair value of market-based units is estimated on the grant date using the Monte Carlo simulation model. Compensation expense is recognized over the vesting period that the awards are based. RSUs are nonparticipating securities. As of March 31, 2023, there was $11.2 million of total unrecognized compensation cost related to nonvested RSUs. The Company expects to recognize that cost over the remaining weighted-average vesting period of approximately 4.4 years. Compensation expense recorded related to RSUs was $812,000 for the three months ended March 31, 2023 and $374,000 for the three months ended March 31, 2022. A summary of the Company’s nonvested RSUs at March 31, 2023 and changes during the three month period is presented below: Nonvested shares - RSUs Shares Weighted- Total or Aggregate (dollars in thousands, except per share amounts; unaudited) Nonvested shares at December 31, 2022 380,151 $ 28.61 $ 7,187 Granted 74,695 $ 43.44 Forfeited (4,653) $ 38.88 Vested (42,402) $ 30.01 Nonvested shares at March 31, 2023 407,791 $ 31.06 $ 2,017 Restricted Stock Awards Employees There were no new restricted stock awards granted in the three months ended March 31, 2023. The fair value of restricted stock awards is equal to the fair value of the Company’s stock at the date of grant. Compensation expense is recognized over the vesting period that the awards are based. Restricted stock awards are participating securities. As of March 31, 2023, there was $43,000 of total unrecognized compensation cost related to nonvested restricted stock awards. The Company expects to recognize that cost over the remaining weighted-average vesting period of approximately 4.9 years. Compensation expense recorded related to restricted stock awards was $2,000 for the three months ended March 31, 2023 and March 31, 2022. Director’s Stock Compensation Under the 2018 Plan, eligible directors are granted stock with a total market value of $35,000, and the Board Chair is granted stock with a total market value of $55,000. Chairs of the Audit, Compensation and Non-Financial Risk Committees will receive additional stock with a market value of $2,500 for each committee chaired. Stock is granted as of each annual meeting date and will cliff vest one day prior to the next annual meeting date. During the vesting period, the grants are considered participating securities. As of March 31, 2023, there was $54,000 of total unrecognized compensation expense related to director restricted stock awards which the Company expects to recognize over the remaining average vesting period of approximately two months. Director compensation expense recorded related to the 2018 Plan totaled $96,000 for the three months ended March 31, 2023 and $38,000 for the three months ended March 31, 2022. A summary of the Company’s nonvested shares at March 31, 2023 and changes during the three-month period is presented below: Nonvested shares - RSAs Shares Weighted- Total or Aggregate (dollars in thousands, except per share amounts; unaudited) Nonvested shares at December 31, 2022 13,396 $ 32.94 $ 195 Granted — $ — Forfeited — $ — Vested (500) $ 17.81 Nonvested shares at March 31, 2023 12,896 $ 33.52 $ 32 |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The following tables present estimated fair values of the Company’s financial instruments as of the period indicated, whether or not recognized or recorded in the consolidated balance sheets at the period indicated: March 31, 2023 Fair Value Measurements Using Carrying Estimated Level 1 Level 2 Level 3 (dollars in thousands; unaudited) Financial assets Cash and due from banks $ 37,676 $ 37,676 $ 37,676 $ — $ — Interest earning deposits with other banks 356,240 356,240 356,240 — — Investment securities 101,704 101,596 97,699 3,896 — Other investments 11,346 11,346 — 8,774 2,572 Loans held for sale 27,292 27,292 — 27,292 Loans receivable 2,837,204 2,791,704 — — 2,791,704 Accrued interest receivable 19,321 19,321 — 19,321 — Financial liabilities Deposits $ 3,095,223 3,094,407 $ — $ 3,094,407 $ — Subordinated debt 44,031 43,674 — 43,674 — Junior subordinated debentures 3,588 3,480 — 3,480 — Accrued interest payable 874 874 — 874 — December 31, 2022 Fair Value Measurements Using Carrying Estimated Level 1 Level 2 Level 3 (dollars in thousands; unaudited) Financial assets Cash and due from banks $ 32,722 $ 32,722 $ 32,722 $ — $ — Interest earning deposits with other banks 309,417 309,417 309,417 — — Investment securities 98,353 98,233 97,015 1,218 — Other investments 10,555 10,555 — 7,983 2,572 Loans receivable, net 2,627,256 2,580,183 — — 2,580,183 Accrued interest receivable 17,815 17,815 — 17,815 — Financial liabilities Deposits $ 2,817,521 $ 2,816,602 $ — $ 2,816,602 $ — Subordinated debt 43,999 42,743 — 42,743 — Junior subordinated debentures 3,588 3,484 — 3,484 — Accrued interest payable 684 684 — 684 — The Company measures and discloses certain assets and liabilities at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (that is, not a forced liquidation or distressed sale). GAAP establishes a consistent framework for measuring fair value and disclosure requirements about fair value measurements. Among other things, the accounting standard requires the reporting entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s estimates for market assumptions. These two types of inputs create the following fair value hierarchy: • Level 1 – Quoted prices in active markets for identical instruments. An active market is a market in which transactions occur with sufficient frequency and volume to provide pricing information on an ongoing basis. A quoted price in an active market provides the most reliable evidence of fair value and shall be used to measure fair value whenever available. • Level 2 – Observable inputs other than Level 1 including quoted prices in active markets for similar instruments, quoted prices in less active markets for identical or similar instruments, or other observable inputs that can be corroborated by observable market data. • Level 3 – Unobservable inputs supported by little or no market activity for financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation; also includes observable inputs from nonbinding single dealer quotes not corroborated by observable market data. The estimated fair value amounts of financial instruments have been determined by the Company using available market information and appropriate valuation methodologies. However, considerable judgment is required to interpret data to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize at a future date. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. In addition, reasonable comparability between financial institutions may not be likely due to the wide range of permitted valuation techniques and numerous estimates that must be made given the absence of active secondary markets for certain financial instruments. This lack of uniform valuation methodologies also introduces a greater degree of subjectivity to these estimated fair values. Items measured at fair value on a recurring basis – The following fair value hierarchy table presents information about the Company’s assets that are measured at fair value on a recurring basis at the dates indicated: Level 1 Level 2 Level 3 Total (dollars in thousands; unaudited) March 31, 2023 Available-for-sale U.S. Treasury securities $ 97,699 $ — $ — $ 97,699 U.S. Agency collateralized mortgage obligations — 50 — 50 Municipals — 250 — 250 $ 97,699 $ 300 $ — $ 97,999 December 31, 2022 Available-for-sale U.S. Treasury securities $ 97,015 $ — $ — $ 97,015 U.S. Agency collateralized mortgage obligations — 51 — 51 U.S. Agency residential mortgage-backed securities — 1 — 1 Municipals — 250 — 250 $ 97,015 $ 302 $ — $ 97,317 The following methods were used to estimate the fair value of the class of financial instruments above: Investment securities - The fair value of securities is based on quoted market prices, pricing models, quoted prices of similar securities, independent pricing sources, and discounted cash flows. Limitations: The fair value estimates presented herein are based on pertinent information available to management as of March 31, 2023 and December 31, 2022. The factors used in the fair values estimates are subject to change subsequent to the dates the fair value estimates are completed, therefore, current estimates of fair value may differ significantly from the amounts presented herein. Items measured at fair value on a nonrecurring basis – The following table presents financial assets and liabilities measured at fair value on a nonrecurring basis and the level within the fair value hierarchy of the fair value measurements for those assets at the dates indicated: Level 1 Level 2 Level 3 Total (dollars in thousands; unaudited) March 31, 2023 Equity securities $ — $ — $ 2,572 $ 2,572 Total $ — $ — $ 2,572 $ 2,572 December 31, 2022 Impaired loans $ — $ — $ 7,080 $ 7,080 Equity securities — — 2,572 2,572 Total $ — $ — $ 9,652 $ 9,652 The amounts disclosed above represent the fair values at the time the nonrecurring fair value measurements were made, and not necessarily the fair value as of the dates reported on. Impaired loans - A loan is considered impaired when it is expected that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement. Impairment is measured based on the fair value of the underlying collateral or the discounted cash expected future cash flows. Subsequent changes in the value of impaired loans are included within the provision for credit losses - loans in the same manner in which impairment initially was recognized or as a reduction in the provision that would otherwise be reported. Impaired loans are evaluated quarterly to determine if valuation adjustments should be recorded. The need for valuation adjustments arises when observable market prices or current appraised values of collateral indicate a shortfall in collateral value compared to current carrying values of the related loan. If the Company determines that the value of the impaired loan is less than the carrying value of the loan, the Company either establishes an impairment reserve as a specific component of the allowance for credit losses or charges off the impairment amount. These valuation adjustments are considered nonrecurring fair value adjustments. Equity securities – The Company measures equity securities without readily determinable fair values at cost less impairment (if any), plus or minus observable price changes from an identical or similar investment of the same issuer, with price changes recognized in earnings. Assets measured at fair value using significant unobservable inputs (Level 3) The following table presents the carrying value of equity securities without readily determinable fair values, as of March 31, 2023, with adjustments recorded during the periods presented for those securities with observable price changes, if applicable. These equity securities are included in other investments on the balance sheet. For the Three Months Ended (dollars in thousands; unaudited) 2023 2022 Carrying value, beginning of period $ 2,572 $ 2,322 Purchases — 350 Observable price change — — Carrying value, end of period $ 2,572 $ 2,672 The following table provides a description of the valuation technique, unobservable inputs, and qualitative information about the unobservable inputs for the Company’s assets and liabilities classified as Level 3 and measured at fair value on a nonrecurring basis at the date indicated: (unaudited) Valuation Technique Unobservable Inputs December 31, 2022 Weighted Average Rate Impaired loans Collateral valuations Discount to appraised value 8.0% |
Earnings Per Common Share
Earnings Per Common Share | 3 Months Ended |
Mar. 31, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | Earnings Per Common Share The following is a computation of basic and diluted earnings per common share at the periods indicated: Three Months Ended March 31, 2023 March 31, 2022 (dollars in thousands, except earnings per share data; unaudited) Net Income $ 12,391 $ 6,230 Basic weighted average number common shares outstanding 13,196,960 12,898,746 Dilutive effect of equity-based awards 412,531 576,591 Diluted weighted average number common shares outstanding 13,609,491 13,475,337 Basic earnings per share $ 0.94 $ 0.48 Diluted earnings per share $ 0.91 $ 0.46 Antidilutive stock options and restricted stock outstanding 124,714 154,871 Under the two-class method, earnings available to common shareholders for the period are allocated between common shareholders and participating securities according to dividends declared (or accumulated) and participation rights in undistributed earnings, however the difference in the two-class method was not significant. |
Segment Reporting
Segment Reporting | 3 Months Ended |
Mar. 31, 2023 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting As defined in ASC 280, Segment Reporting , an operating segment is a component of an enterprise that engages in business activities from which it may earn revenues and incur expenses, whose operating results are regularly reviewed by the enterprise’s chief operating decision makers to make decisions about resources to be allocated to the segment and assess its performance, and for which discrete financial information is available. We evaluate performance based on an internal performance measurement accounting system, which provides line of business results. This system uses various techniques to assign balance sheet and income statement amounts to the business segments, including allocations of income and expense. A primary objective of this measurement system and related internal financial reporting practices are to produce consistent results that reflect the underlying financial impact of the segments on the Company and to provide a basis of support for strategic decision making. The accounting policies applicable to our segments are those that apply to our preparation of the accompanying Consolidated Financial Statements. Based on these criteria, we have identified three segments: the community bank, CCBX and treasury & administration. The community bank segment includes all community banking activities, with a primary focus of the community bank is on providing a wide range of banking products and services to consumers and small to medium sized businesses in the broader Puget Sound region in the state of Washington and through the Internet and our mobile banking application. We currently operate 14 full-service banking locations, 12 of which are located in Snohomish County, where we are the largest community bank by deposit market share, and two of which are located in neighboring counties (one in King County and one in Island County). The CCBX segment provides banking as a service (“BaaS”) that allows our broker-dealer and digital financial service partners to offer their customers banking services. The CCBX segment has 25 partners as of March 31, 2023. The treasury & administration segment includes investments, debt and other reporting items that are not specific to the community bank or CCBX segments. The management accounting policies and processes utilized in compiling segment financial information are highly subjective and, unlike financial accounting, are not based on authoritative guidance similar to GAAP. As a result, reported segments and the financial information of the reported segments are not necessarily comparable with similar information reported by other financial institutions. Additionally, because of the interrelationships of the various segments, the information presented is not indicative of how the segments would perform if they operated as independent entities. Changes in management structure or allocation methodologies and procedures may result in future changes to previously reported segment financial data. Furthermore, changes in management structure or allocation methodologies and procedures may result in changes in reported segment financial data. The Company continues to evaluate its methodology on allocating items to the Company’s various segments to support strategic business decisions by the Company’s executive leadership. Income and expenses that are specific to a segment are directly posted to each segment. Additionally, certain indirect expenses are allocated to each segment utilizing various metrics, such as number of employees, utilization of space, and allocations based on loan and deposit balances. We have implemented a transfer pricing process that credits or charges the community bank and CCBX segments with intrabank interest income or expense for the difference in average loans and average deposits, with the treasury & administration segment as the offset for those entries. Summarized financial information concerning the Company's reportable segments and the reconciliation to the consolidated financial results is shown in the following tables for the periods indicated: March 31, 2023 December 31, 2022 Community Bank CCBX Treasury & Administration Total Community Bank CCBX Treasury & Administration Total Assets (dollars in thousands; unaudited) Cash and Due from Banks $ 4,485 $ 12,223 $ 377,208 $ 393,916 $ 4,603 $ 12,899 $ 324,637 $ 342,139 Intrabank assets — 356,905 (356,905) — — 254,096 (254,096) — Securities — — 101,704 101,704 — — 98,353 98,353 Loans held for sale — 27,292 — 27,292 — — — — Total loans receivable 1,671,014 1,166,190 — 2,837,204 1,614,752 1,012,504 — 2,627,256 Allowance for credit losses (20,708) (68,415) — (89,123) (20,636) (53,393) — (74,029) All other assets 25,652 103,403 50,985 180,040 25,508 76,111 49,129 150,748 Total assets $ 1,680,443 $ 1,597,598 $ 172,992 $ 3,451,033 $ 1,624,227 $ 1,302,217 $ 218,023 $ 3,144,467 Liabilities Total deposits $ 1,531,391 $ 1,563,832 $ — $ 3,095,223 $ 1,538,218 $ 1,279,303 $ — $ 2,817,521 Total borrowings — — 47,619 47,619 — — 47,587 47,587 Intrabank liabilities 143,279 — (143,279) — 80,392 — (80,392) — All other liabilities 5,773 33,766 9,889 49,428 5,617 22,914 7,334 35,865 Total liabilities $ 1,680,443 $ 1,597,598 $ (85,771) $ 3,192,270 $ 1,624,227 $ 1,302,217 $ (25,471) $ 2,900,973 Three months ended March 31, 2023 Three months ended March 31, 2022 Community Bank CCBX Treasury & Administration Total Community Bank CCBX Treasury & Administration Total (dollars in thousands; unaudited) Net interest income, before $ 21,677 $ 29,796 $ 3,018 $ 54,491 $ 17,205 $ 11,874 $ 189 $ 29,268 Interest income (expense) (1,079) 2,652 (1,573) — 128 198 (326) — Provision for credit 428 43,116 — 43,544 344 12,598 — 12,942 Provision for unfunded 137 16 — 153 — — — — Noninterest income (1) 1,090 48,080 137 49,307 1,556 20,343 87 21,986 Noninterest expense 9,092 28,439 7,132 44,663 7,646 18,407 4,362 30,415 Net income before income 12,031 8,957 (5,550) 15,438 10,899 1,410 (4,412) 7,897 Income taxes 2,375 1,768 (1,096) 3,047 2,301 297 (931) 1,667 Net Income $ 9,656 $ 7,189 $ (4,454) $ 12,391 $ 8,598 $ 1,113 $ (3,481) $ 6,230 (1) For the three months ended March 31, 2023, CCBX noninterest income includes credit enhancements of $42.4 million, fraud enhancements of $2.0 million, and BaaS program income of $3.6 million. For the three months ended March 31, 2022, CCBX noninterest income includes credit enhancements of $13.1 million, fraud enhancements of $4.6 million and BaaS program income of $2.5 million. |
Description of Business and S_2
Description of Business and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2023 | |
Accounting Policies [Abstract] | |
Nature of operations | Nature of operations - Coastal Financial Corporation (“Corporation” or “Company”) is a registered bank holding company whose wholly owned subsidiaries are Coastal Community Bank (“Bank”) and Arlington Olympic LLC (“LLC”). The Company is a Washington state corporation that was organized in 2003. The Bank was incorporated and commenced operations in 1997 and is a Washington state-chartered commercial bank that is a member bank of the Federal Reserve system. Arlington Olympic LLC was formed in 2019 and owns the Company’s Arlington branch site, which the Bank leases from the LLC. We are headquartered in Everett, Washington, which by population is the largest city in, and the county seat of, Snohomish County. The Company’s business is conducted through three reportable segments: CCBX, the community bank and treasury & administration. The CCBX segment provides Banking as a Service (“BaaS”) that allows our broker dealers and digital financial service partners to offer their customers banking services. Through CCBX’s partners the Company is able to offer banking services and products across the nation.The community bank segment includes all community banking activities with a primary focus on providing a wide range of banking products and services to consumers and small to medium-sized businesses, professionals, and individuals in the broader Puget Sound region in the state of Washington through its 14 branches in Snohomish, Island and King Counties, and through the Internet and its mobile banking application. The treasury & administration segment includes treasury management, overall administration and all other aspects of the Company. The Bank’s deposits are insured in whole or in part by the Federal Deposit Insurance Corporation (“FDIC”). The community bank’s loans and deposits are primarily within the greater Puget Sound area, while CCBX loans and deposits are dependent upon the partner’s market. The Bank’s primary funding source is deposits from customers. The Bank is subject to regulation and supervision by the Board of Governors of the Federal Reserve System (the “Federal Reserve”) and the Washington State Department of Financial Institutions Division of Banks. The Federal Reserve also has regulatory and supervisory authority over the Company. |
Financial statement presentation | Financial statement presentation - The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim reporting requirements and with instructions to Form 10-Q and Article 10 of Regulation S-X, and therefore do not include all the information and notes included in the annual consolidated financial statements in conformity with GAAP. These interim condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company’s audited consolidated financial statements and accompanying notes included in the Company’s Annual report on Form 10-K as filed with the U.S. Securities and Exchange Commission (“SEC”) on March 16, 2023. Operating results for the three months ended March 31, 2023 are not necessarily indicative of the results that may be expected for the entire year. Amounts presented in the consolidated financial statements and footnote tables are rounded and presented in thousands of dollars except per-share amounts, which are presented in dollars. In the narrative footnote discussion, amounts are rounded to thousands and presented in dollars. |
Principles of consolidation | Principles of consolidation - The consolidated financial statements include the accounts of the Company, the Bank and the LLC. All significant intercompany accounts have been eliminated in consolidation. |
Estimates | Estimates - The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management believes that its critical accounting policies include determining the allowance for credit losses, the valuation of the Company’s deferred tax assets, and fair value of financial instruments. Actual results could differ significantly from those estimates. |
Implementation of ASUs | Implementation of ASU 2016-13 - On January 1, 2023, the Company adopted ASU 2016-13, Financial Instruments — Credit Losses (Topic 326) : Measurement of Credit Losses on Financial Instruments, which replaces the incurred loss with an expected loss methodology that is referred to as the current expected credit loss (CECL) methodology. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized costs, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments) and net investments in certain leases. In addition, ASC 326 made changes to the accounting for available-for-sale debt securities. One such change is to require increases or decreases in credit losses be presented as an allowance rather than as a write-down on available-for-sale debt securities management does not intend to sell or believe it is more likely than not the Company will be required to sell the security before recovery of the amortized cost basis. The Company adopted ASC 326 using the modified retrospective method. Results for the reporting periods beginning after January 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP. The day one CECL adjustment for community bank loans included a reduction of $310,000 to the community bank allowance and a reduction of $340,000 related to the community bank unfunded commitment reserve. This was offset by an increase to the CCBX allowance for $4.2 million. With the mirror image approach accounting related to the credit enhancement for CCBX partner loans, there was a CECL day one increase to the indemnification asset in the amount of $4.5 million. Net, the day one impact to retained earnings for the Bank’s transition to CECL was an increase of $954,000, excluding the impact of income taxes. Management has separately evaluated its held-to-maturity investment securities and determined that no loss reserves were required. Implementation of ASU 2022-02 - On January 1, 2023, the Company adopted ASU 2022-02, Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings ("TDR") and Vintage Disclosures. The ASU eliminated the accounting guidance for TDR loans by creditors while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Additionally, the ASU requires public business entities to disclose current-period gross write-offs by year of origination for financing receivables and net investments in leases. This ASU was effective upon adoption of ASU 2016-13 and was applied on a prospective basis. During the quarter ended March 31, 2023, the Company did not have any loans that were modified to borrowers experiencing financial difficulty. Accounting policy update – Allowance for Credit Losses - effective January 1, 2023 with the adoption of ASU 2016-13 Loans and unfunded commitments The allowance for credit losses ("ACL") is an estimate of the expected credit losses on financial assets measured at amortized cost. The ACL is evaluated and calculated on a collective basis for those loans which share similar risk characteristics. At each reporting period, the Company evaluates whether the loans in a pool continue to exhibit similar risk characteristics as the other loans in the pool and whether it needs to evaluate the allowance on an individual basis. The Company must estimate expected credit losses over the loans’ contractual terms, adjusted for expected prepayments. In estimating the life of the loan, the Company cannot extend the contractual term of the loan for expected extensions, renewals, and modifications, unless the extension or renewal options are included in the contract at the reporting date and are not unconditionally cancellable by the Company. Because expected credit losses are estimated over the contractual life adjusted for estimated prepayments, determination of the life of the loan may significantly affect the ACL. The Company has chosen to segment its portfolio consistent with the manner in which it manages the risk of the type of credit. • Community Bank Portfolio: The ACL calculation is derived from loan segments utilizing loan level information and relevant available information from internal and external sources related to past events and current conditions. In addition, the Company incorporates a reasonable and supportable forecast. • CCBX Portfolio: The Bank calculates the ACL on loans on an aggregate basis based on each partner and product level, segmenting the risk inherent in the CCBX portfolio based on qualitative and quantitative trends in the portfolio. Also included in the ACL are qualitative reserves to cover losses that are expected, but in the Company’s assessment may not be adequately represented in the quantitative method. For example, factors that the Company considers include environmental business conditions, borrower’s financial condition, credit rating and the volume and severity of past due loans and non-accrual loans. Based on this analysis, the Company records a provision for loan losses to maintain the allowance at appropriate levels. Determining the amount of the allowance is considered a critical accounting estimate, as it requires significant judgment and the use of subjective measurements, including management’s assessment of overall portfolio quality. The Company maintains the allowance at an amount the Company believes is sufficient to provide for estimated losses expected to occur in the Company’s loan portfolio at each balance sheet date, and fluctuations in the provision for credit losses may result from management’s assessment of the adequacy of the allowance. Changes in these estimates and assumptions are possible and may have a material impact on the Company’s allowance, and therefore the Company’s financial position, liquidity or results of operations. The Company has elected to exclude accrued interest receivable from the amortized cost basis in its ACL calculation as accrued interest is written off in a timely manner when deemed uncollectable. For more information and discussion related to the allowance for credit losses on loans, see “ Note 4 - Loans and Allowance for Credit Losses” in the Consolidated Financial Statements. In addition to the ACL on loans held for investment, CECL requires a balance sheet liability for expected losses on unfunded commitments, which is recognized if both the following conditions are met: (1) the Company has a present contractual obligation to extend credit; and (2) the obligation is not unconditionally cancellable by the Company. Loan commitments may have a funded and unfunded portion, of which the liability for unfunded commitments is derived based upon the commitments to extend credit to a borrower (e.g., an estimate of expected credit losses is not established for unfunded portions of loan commitment that are unconditionally cancellable by the Company). The expected credit losses for funded portions are reported in the previously discussed ACL. The Company segments its unfunded commitment portfolio consistent with the ACL calculation, separating between unfunded lines and commitments to originate. The Company incorporates the probability of funding (i.e. estimate of utilization) for each segment and then utilizes the ACL loss rates for each segment on an aggregate basis to calculate the allowance for unfunded commitments Available-for-sale debt securities For available-for-sale debt securities with fair value below amortized cost, the security is considered impaired. When the Company does not intend to sell the debt security, and it is more likely than not the Company will not have to sell the security before recovery of its cost basis, then the Company assesses the impairment for potential expected credit losses. Impairment related to a credit loss is measured using the discounted cash flow method. Credit loss recognition is limited to the fair value of the security. The impairment is recognized by establishing an ACL through provision for credit losses. Impairment related to noncredit factors is recognized in accumulated other comprehensive income, net of applicable taxes. The Company evaluates AFS security impairment on a quarterly basis. Held-to-maturity debt securities For held-to-maturity debt securities, expected losses are evaluated and calculated on a collective basis for those securities which share risk characteristics. The Company aggregates record level securities calculations and reports the security portfolio segments based on shared risk characteristics. The only segment included in the held-to-maturity portfolio are U.S. Agency Residential Mortgage Backed Securities which have an expected zero credit loss. The following table illustrates the impact of ASU 2016-13: January 1, 2023 As reported Pre-ASC 326 Impact of Assets: Allowance for credit losses $ 77,881 $ 74,029 $ 3,852 CCBX credit enhancement asset 57,842 53,377 4,465 Deferred tax asset 18,238 18,458 (220) Liabilities: Unfunded commitment reserve 634 974 (340) Shareholders' Equity: Retained earnings 120,732 119,998 734 |
Subsequent Events | Subsequent Events - The Company has evaluated events and transactions subsequent to March 31, 2023 for potential recognition or disclosure. |
Reclassifications | Reclassifications - Certain amounts reported in prior quarters' consolidated financial statements may have been reclassified to conform to the current presentation with no effect on stockholders’ equity or net income. |
Recent Accounting Guidance Not Yet Effective | Recent Accounting Guidance Not Yet Effective In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , to provide temporary optional expedients and exceptions to the U.S. GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens of the expected market transition from LIBOR and other interbank offered rates to alternative reference rates, such as Secured Overnight Financing Rate. Entities can elect not to apply certain modification accounting requirements to contracts affected by what the guidance calls reference rate reform, if certain criteria are met. An entity that makes this election would not have to remeasure the contracts at the modification date or reassess a previous accounting determination. Also, entities can elect various optional expedients that would allow them to continue applying hedge accounting for hedging relationships affected by reference rate reform, if certain criteria are met, and can make a one-time election to sell and/or reclassify held-to-maturity debt securities that reference an interest rate affected by reference rate reform. The amendments in this ASU are effective for all entities upon issuance through December 31, 2024. The Company is currently evaluating the impact the adoption of the standard will have on the Company’s financial position or results of operations. |
Accounting Policies (Tables)
Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of Accounting Standards Update | The following table illustrates the impact of ASU 2016-13: January 1, 2023 As reported Pre-ASC 326 Impact of Assets: Allowance for credit losses $ 77,881 $ 74,029 $ 3,852 CCBX credit enhancement asset 57,842 53,377 4,465 Deferred tax asset 18,238 18,458 (220) Liabilities: Unfunded commitment reserve 634 974 (340) Shareholders' Equity: Retained earnings 120,732 119,998 734 |
Investment Securities (Tables)
Investment Securities (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Amortized Cost and Fair Values of Investments in Debt Securities | The following table summarizes the amortized cost, fair value, and allowance for credit losses and the corresponding amounts of gross unrealized gains and losses of available-for-sale securities recognized in accumulated other comprehensive income (loss) and gross unrecognized gains and losses of held-to-maturity securities: Amortized Gross Gross Fair Allowance for Credit Losses (dollars in thousands; unaudited) March 31, 2023 Available-for-sale U.S. Treasury securities $ 99,974 $ — $ (2,275) $ 97,699 $ — U.S. Agency collateralized 52 — (2) 50 — U.S. Agency residential — — — — — Municipal bonds 250 — — 250 — Total available-for-sale 100,276 — (2,277) 97,999 — Amortized Gross Gross Fair Allowance for Credit Losses Held-to-maturity U.S. Agency residential 3,705 — (108) 3,597 — Total held-to-maturity $ 3,705 $ — $ (108) $ 3,597 $ — Total investment securities $ 103,981 $ — $ (2,385) $ 101,596 $ — Amortized Gross Gross Fair (dollars in thousands; unaudited) December 31, 2022 Available-for-sale U.S. Treasury securities $ 99,967 $ — $ (2,952) $ 97,015 U.S. Agency collateralized mortgage obligations 54 — (3) 51 U.S. Agency residential mortgage-backed securities 1 — — 1 Municipal bonds 250 — — 250 Total available-for-sale securities 100,272 — (2,955) 97,317 Held-to-maturity U.S. Agency residential mortgage-backed securities 1,036 — (120) 916 Total investment securities $ 101,308 $ — $ (3,075) $ 98,233 |
Amortized Cost and Fair Value of Debt Securities by Contractual Maturity | Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair (dollars in thousands; unaudited) March 31, 2023 Amounts maturing in One year or less $ 100,224 $ 97,949 $ — $ — 100,224 97,949 — — U.S. Agency residential mortgage-backed securities and collateralized mortgage obligations 52 50 3,705 3,597 $ 100,276 $ 97,999 $ 3,705 $ 3,597 |
Summary of Investment Securities Continuous Unrealized Loss Position | The following table shows the investments’ gross unrealized losses and fair values, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position for which an allowance for credit losses has not been recorded: Less Than 12 Months 12 Months or Greater Total Fair Gross Fair Gross Fair Gross (dollars in thousands; unaudited) March 31, 2023 Available-for-sale U.S. Treasury securities $ — $ — $ 97,699 $ 2,275 $ 97,699 $ 2,275 U.S. Agency collateralized mortgage obligations — — 50 2 50 2 Total available-for-sale securities — — 97,749 2,277 97,749 2,277 Held-to-maturity U.S. Agency residential mortgage-backed securities 2,672 7 925 101 3,597 108 Total investment securities $ 2,672 $ 7 $ 98,674 $ 2,378 $ 101,346 $ 2,385 |
Loans and Allowance for Credi_2
Loans and Allowance for Credit Losses (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Receivables [Abstract] | |
Composition of Loan Portfolio | The composition of the loan portfolio is as follows as of the periods indicated: March 31, 2023 (dollars in thousands; unaudited) Community Bank Commercial and industrial loans $ 158,873 Real estate loans: Construction, land and land development loans 206,635 Residential real estate loans 206,140 Commercial real estate loans 1,102,771 Consumer and other loans: Other consumer and other loans 2,860 Gross Community Bank loans receivable 1,677,279 CCBX Commercial and industrial loans: Capital call lines $ 118,796 All other commercial & industrial loans 48,669 Real estate loans: Residential real estate loans 249,367 Consumer and other loans: Credit cards 318,187 Other consumer and other loans 431,481 Gross CCBX loans receivable 1,166,500 Total gross loans receivable 2,843,779 Net deferred origination fees and premiums (6,575) Total loans receivable $ 2,837,204 December 31, 2022 (dollars in thousands; unaudited) Commercial and industrial loans $ 312,628 Real estate loans: Construction, land, and land development 214,055 Residential real estate 449,157 Commercial real estate 1,048,752 Consumer and other loans 608,771 Gross loans receivable 2,633,363 Net deferred origination fees and premiums (6,107) Loans receivable $ 2,627,256 |
Summary of an Age Analysis of Past Due Loans | The following table illustrates an age analysis of past due loans as of the dates indicated: 30-89 90 Days Total Current Total 90 Days or (dollars in thousands; unaudited) March 31, 2023 Community Bank Commercial and industrial $ — $ — $ — $ 158,873 $ 158,873 $ — Real estate loans: Construction, land and land development — 66 66 206,569 206,635 — Residential real estate 195 — 195 205,945 206,140 — Commercial real estate 92 6,901 6,993 1,095,778 1,102,771 — Consumer and other loans 3 — 3 2,857 2,860 — Total community bank $ 290 $ 6,967 $ 7,257 $ 1,670,022 $ 1,677,279 $ — CCBX Commercial and industrial loans: Capital call lines $ — $ — $ — $ 118,796 $ 118,796 $ — All other commercial & industrial loans 589 187 776 47,893 48,669 187 Real estate loans: Residential real 2,582 946 3,528 $ 245,839 $ 249,367 946 Consumer and other loans: Credit cards 15,273 17,772 33,045 $ 285,142 $ 318,187 17,772 Other consumer and 19,494 5,657 25,151 406,330 431,481 5,657 Total CCBX $ 37,938 $ 24,562 $ 62,500 $ 1,104,000 $ 1,166,500 $ 24,562 Total community bank $ 38,228 $ 31,529 $ 69,757 $ 2,774,022 2,843,779 $ 24,562 Less net deferred origination fees and premiums (6,575) Loans receivable $ 2,837,204 30-89 90 Days Total Current Total 90 Days or (dollars in thousands; unaudited) December 31, 2022 Commercial and industrial loans $ 393 $ 486 $ 879 $ 311,749 $ 312,628 $ 404 Real estate loans: Construction, land and land development — 66 66 213,989 214,055 — Residential real estate 1,016 876 1,892 447,265 449,157 876 Commercial real estate 95 6,901 6,996 1,041,756 1,048,752 — Consumer and other loans 37,932 24,815 62,747 546,024 608,771 24,815 $ 39,436 $ 33,144 $ 72,580 $ 2,560,783 $ 2,633,363 $ 26,095 Less net deferred origination fees and premiums (6,107) Loans receivable $ 2,627,256 |
Analysis of Nonaccrual Loans by Category | An analysis of nonaccrual loans by category consisted of the following at the periods indicated: March 31, December 31, 2023 2022 Total Nonaccrual Nonaccrual with No ACL Total Nonaccrual (dollars in thousands; unaudited) Community Bank Commercial and industrial loans $ 15 $ — $ 113 Real estate loans: Construction, land and land development 66 66 66 Commercial real estate 6,901 6,901 6,901 Consumer and other loans — — — Total nonaccrual loans $ 6,982 $ 6,967 $ 7,080 |
Summary of Loans by Credit Quality Risk Rating | As of March 31, 2023 and December 31, 2022, based on the most recent analysis performed, the risk category of community bank loans by year of origination is as follows: Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted To Term Total (dollars in thousands; unaudited) As of March 31, 2023 Commercial and industrial loans Risk rating Pass $ 7,788 $ 60,221 $ 15,938 $ 11,172 $ 15,299 $ 2,414 $ 38,622 $ 1,370 $ 152,824 Other Loan Especially Mentioned — — 1,763 1,411 194 — 2,618 — 5,986 Substandard — — — — — 63 — — 63 Doubtful — — — — — — — — — Total commercial and industrial $ 7,788 $ 60,221 $ 17,701 $ 12,583 $ 15,493 $ 2,477 $ 41,240 $ 1,370 $ 158,873 Current period gross write-offs $ — $ — $ — $ — $ — $ 46 $ — $ — $ 46 Real estate loans - Risk rating Pass $ 5,338 $ 77,892 $ 111,263 $ 3,338 $ 937 $ 1,665 $ 663 $ — $ 201,096 Other Loan Especially Mentioned — — 3,148 2,325 — — — — 5,473 Substandard — — — — — 66 — — 66 Doubtful — — — — — — — — — Total real estate loans - $ 5,338 $ 77,892 $ 114,411 $ 5,663 $ 937 $ 1,731 $ 663 $ — $ 206,635 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted To Term Total (dollars in thousands; unaudited) Real estate loans - Risk rating Pass $ 2,208 $ 45,065 $ 41,615 $ 36,274 $ 32,820 $ 27,109 $ 20,960 $ — $ 206,051 Other Loan Especially Mentioned — — — 43 — 46 — — 89 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total real estate loans - $ 2,208 $ 45,065 $ 41,615 $ 36,317 $ 32,820 $ 27,155 $ 20,960 $ — $ 206,140 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Real estate loans - Risk rating Pass $ 55,067 $ 273,374 $ 206,504 $ 151,862 $ 141,706 $ 244,305 $ 7,426 $ 1,764 $ 1,082,008 Other Loan Especially Mentioned — 3,303 2,211 — 514 7,593 — — 13,621 Substandard — — — 92 6,901 — 149 — 7,142 Doubtful — — — — — — — — — Total real estate loans - $ 55,067 $ 276,677 $ 208,715 $ 151,954 $ 149,121 $ 251,898 $ 7,575 $ 1,764 $ 1,102,771 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted To Term Total (dollars in thousands; unaudited) Consumer and other loans - Risk rating Pass $ 1,362 $ 313 $ 18 $ 708 $ 60 $ 241 $ 158 $ — $ 2,860 Other Loan Especially Mentioned — — — — — — — — — Substandard — — — — — — — — — Doubtful — — — — — — — — — Total consumer and other $ 1,362 $ 313 $ 18 $ 708 $ 60 $ 241 $ 158 $ — $ 2,860 Current period gross write-offs $ 4 $ — $ — $ — $ — $ — $ — $ — $ 4 Total community bank loans Risk rating Pass $ 71,763 $ 456,865 $ 375,338 $ 203,354 $ 190,822 $ 275,734 $ 67,829 $ 3,134 $ 1,644,839 Other Loan Especially Mentioned — 3,303 7,122 3,779 708 7,639 2,618 — 25,169 Substandard — — — 92 6,901 129 149 — 7,271 Doubtful — — — — — — — — — Total community bank loans $ 71,763 $ 460,168 $ 382,460 $ 207,225 $ 198,431 $ 283,502 $ 70,596 $ 3,134 $ 1,677,279 Current period gross write-offs $ 4 $ — $ — $ — $ — $ 46 $ — $ — $ 50 Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted To Term Total (dollars in thousands; unaudited) As of March 31, 2023 Commercial and industrial loans - Payment performance Performing $ — $ — $ — $ — $ — $ — $ 118,796 $ — $ 118,796 Nonperforming — — — — — — — — — Total commercial and industrial $ — $ — $ — $ — $ — $ — $ 118,796 $ — $ 118,796 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Commercial and industrial loans - Payment performance Performing $ 31,726 $ 15,541 $ 74 $ 34 $ — $ — $ 1,107 $ — $ 48,482 Nonperforming — 151 — — — — 36 — 187 Total commercial and industrial $ 31,726 $ 15,692 $ 74 $ 34 $ — $ — $ 1,143 $ — $ 48,669 Current period gross write-offs $ — $ 718 $ 12 $ — $ — $ — $ — $ — $ 730 Real estate loans - Payment performance Performing $ — $ — $ — $ — $ — $ — $ 141,079 $ 107,342 $ 248,421 Nonperforming — — — — — — 946 — 946 Total real estate loans - $ — $ — $ — $ — $ — $ — $ 142,025 $ 107,342 $ 249,367 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ 737 $ — $ 737 Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted To Term Total (dollars in thousands; unaudited) Consumer and other loans - Payment performance Performing $ — $ — $ — $ — $ — $ — $ 300,415 $ — $ 300,415 Nonperforming — — — — — — 17,772 — 17,772 Total consumer and other $ — $ — $ — $ — $ — $ — $ 318,187 $ — $ 318,187 Current period gross write-offs $ — $ — $ — $ — $ — $ — $ 8,481 $ — $ 8,481 Consumer and other loans - Payment performance Performing $ 191,238 $ 191,628 $ 29,230 $ 313 $ 1,297 $ 591 $ 11,527 $ — $ 425,824 Nonperforming — 3,413 809 — — 18 1,417 — 5,657 Total consumer and other $ 191,238 $ 195,041 $ 30,039 $ 313 $ 1,297 $ 609 $ 12,944 $ — $ 431,481 Current period gross write-offs $ — $ 16,723 $ 5,361 $ 47 $ 117 $ 93 $ 1,828 $ — $ 24,169 Total CCBX loans Payment performance Performing $ 222,964 $ 207,169 $ 29,304 $ 347 $ 1,297 $ 591 $ 572,924 $ 107,342 $ 1,141,938 Nonperforming — 3,564 809 — — 18 20,171 — 24,562 Total CCBX loans $ 222,964 $ 210,733 $ 30,113 $ 347 $ 1,297 $ 609 $ 593,095 $ 107,342 $ 1,166,500 Current period gross write-offs $ — $ 17,441 $ 5,373 $ 47 $ 117 $ 93 $ 11,046 $ — $ 34,117 Loans by credit quality risk rating are as follows as of the periods indicated: Pass Other Loans Sub- Doubtful Total (dollars in thousands; unaudited) December 31, 2022 Commercial and industrial loans $ 304,840 $ 7,219 $ 569 $ — $ 312,628 Real estate loans: Construction, land, and land development 206,304 7,685 66 — 214,055 Residential real estate 448,185 96 876 — 449,157 Commercial real estate 1,030,650 11,201 6,901 — 1,048,752 Consumer and other loans 583,956 — 24,815 — 608,771 $ 2,573,935 $ 26,201 $ 33,227 $ — 2,633,363 Less net deferred origination fees (6,107) Loans receivable $ 2,627,256 |
Summary of Allocation of Allowance for Loan Loss as well as Activity in Allowance for Loan Loss Attributed to Various Segments in Loan | The following tables summarize the allocation of the ACL, as well as the activity in the ACL attributed to various segments in the loan portfolio, as of and for the three months ended March 31, 2023 and the allocation and activity of the loans and allowance for loan losses ("ALLL ") attributed to the various segments in the loan portfolio for the three months ended March 31, 2022: Commercial Construction, Residential Commercial Consumer Unallocated Total (dollars in thousands; unaudited) Three Months Ended March 31, 2023 ACL balance, December 31, 2022 $ 4,831 $ 7,425 $ 4,142 $ 5,470 $ 50,996 $ 1,165 $ 74,029 Impact of adopting CECL (ASC 326) 1,428 (1,589) 1,623 1,240 2,315 (1,165) $ 3,852 Provision for credit losses or (recapture) 3,165 (92) 1,958 796 37,717 — 43,544 9,424 5,744 7,723 7,506 91,028 — 121,425 Loans charged-off (776) — (737) — (32,654) — (34,167) Recoveries of loans previously charged-off 3 — — — 1,862 — 1,865 Net (charge-offs) recoveries (773) — (737) — (30,792) — (32,302) ACL balance, March 31, 2023 $ 8,651 $ 5,744 $ 6,986 $ 7,506 $ 60,236 $ — $ 89,123 Three Months Ended March 31, 2022 ALLL balance, December 31, 2021 $ 3,221 $ 6,984 $ 4,598 $ 6,590 $ 7,092 $ 147 $ 28,632 Provision for loan losses or (recapture) 296 608 1,160 (1,273) 10,823 1,328 12,942 3,517 7,592 5,758 5,317 17,915 1,475 41,574 Loans charged-off (5) — — — (2,803) — (2,808) Recoveries of loans previously charged-off 2 — — — 2 — 4 Net (charge-offs) recoveries (3) — — — (2,801) — (2,804) Balance, March 31, 2022 $ 3,514 $ 7,592 $ 5,758 $ 5,317 $ 15,114 $ 1,475 $ 38,770 The following table summarizes the allocation of the allowance for loan losses attributed to various segments in the loan portfolio as of December 31, 2022. Commercial Construction, Residential Commercial Consumer Unallocated Total (dollars in thousands; unaudited) As of December 31, 2022 ALLL amounts allocated to Individually evaluated for impairment $ 95 $ — $ — $ — $ — $ — $ 95 Collectively evaluated for impairment 4,736 7,425 4,142 5,470 50,996 1,165 73,934 ALLL balance, December 31, 2022 $ 4,831 $ 7,425 $ 4,142 $ 5,470 $ 50,996 $ 1,165 $ 74,029 Loans individually evaluated for $ 113 $ 66 $ — $ 6,901 $ — $ 7,080 Loans collectively evaluated for 312,515 213,989 449,157 1,041,851 608,771 2,626,283 Loan balance, December 31, 2022 $ 312,628 $ 214,055 $ 449,157 $ 1,048,752 $ 608,771 $ 2,633,363 The following table presents the collateral dependent loans, which are individually evaluated to determine expected credit losses, and the related ACL allocated to these loans: Real Estate Business Assets Total ACL (dollars in thousands; unaudited) March 31, 2023 Commercial and industrial loans $ — $ 15 $ 15 $ 6 Real estate loans: Construction, land and land development 66 — 66 — Residential real estate — — — — Commercial real estate 6,901 — 6,901 — Total $ 6,967 $ 15 $ 6,982 $ 6 |
Summary of Information Pertaining to Impaired Loans | The following table is a summary of information pertaining to impaired loans as of the period indicated. Loans originated through CCBX partners are reported using pool accounting and are not subject to impairment analysis, therefore CCBX loans are not included in this table. Unpaid Recorded Recorded Total Related (dollars in thousands; unaudited) December 31, 2022 Commercial and industrial loans $ 124 $ — $ 113 $ 113 $ 95 Real estate loans: Construction, land and land development 67 66 — 66 — Commercial real estate 6,901 6,901 — 6,901 — Total $ 7,092 $ 6,967 $ 113 $ 7,080 $ 95 |
Summary of Average Recorded Investment and Interest Income Recognized on Impaired Loans | The following tables summarize the Company’s average recorded investment and interest income recognized on impaired loans by loan class for the period indicated: Three Months Ended March 31, 2022 Average Interest Income (dollars in thousands; unaudited) Commercial and industrial loans $ 148 $ — Real estate loans: Construction, land and land development — — Residential real estate 55 — Commercial real estate — — Total $ 203 $ — |
Deposits (Tables)
Deposits (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Deposits [Abstract] | |
Composition of Consolidated Deposits | The composition of consolidated deposits consisted of the following at the periods indicated: March 31, December 31, (dollars in thousands; unaudited) Demand, noninterest bearing $ 761,800 $ 775,012 NOW and money market 2,207,121 1,804,399 Savings 99,241 107,117 Total core deposits 3,068,162 2,686,528 Brokered deposits 1 101,546 Time deposits less than $250,000 19,386 21,942 Time deposits $250,000 and over 7,674 7,505 Total deposits $ 3,095,223 $ 2,817,521 |
Schedule of Maturity Distribution of Time Deposits | The following table presents the maturity distribution of time deposits as of March 31, 2023: (dollars in thousands; unaudited) Twelve months $ 21,548 One to two years 2,992 Two to three years 1,527 Three to four years 389 Four to five years 547 Thereafter 57 $ 27,060 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Leases [Abstract] | |
Summary of Minimum Annual Lease Payments under Lease Terms | The following table presents the minimum annual lease payments under the terms of these leases, inclusive of renewal options that the Company is reasonably certain to renew, at March 31, 2023: (dollars in thousands; unaudited) March 31, April 1 to December 31, 2023 $ 987 2024 894 2025 715 2026 719 2027 667 2028 and thereafter 1,823 Total lease payments 5,805 Less: amounts representing interest 783 Present value of lease liabilities $ 5,022 |
Summary of Components of Total Lease Expense and Operating Cash Flows | The following table presents the components of total lease expense and operating cash flows for the three months ended March 31, 2023 and 2022: Three Months Ended March 31, March 31, (dollars in thousands; unaudited) Lease expense: Operating lease expense $ 321 $ 320 Variable lease expense 52 41 Total lease expense (1) $ 373 $ 361 Cash paid: Cash paid reducing operating lease liabilities $ 379 $ 358 (1) Included in net occupancy expense in the Condensed Consolidated Statements of Income (unaudited). |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Stock Option Activity | A summary of stock option activity under the 2018 Plan and 2006 Plan during the three months ended March 31, 2023: Options Shares Weighted- Weighted- Aggregate (dollars in thousands, except per share amounts; unaudited) Outstanding at December 31, 2022 438,103 $ 8.79 4.1 $ 16,968 Granted — — Exercised (77,984) 7.38 Expired — — Forfeited — — Outstanding at March 31, 2023 360,119 $ 9.10 4.2 $ 9,692 Vested or expected to vest at March 31, 2023 360,119 $ 9.10 4.2 $ 9,692 Exercisable at March 31, 2023 174,590 $ 8.65 3.9 $ 4,776 |
Summary of Nonvested RSUs | A summary of the Company’s nonvested RSUs at March 31, 2023 and changes during the three month period is presented below: Nonvested shares - RSUs Shares Weighted- Total or Aggregate (dollars in thousands, except per share amounts; unaudited) Nonvested shares at December 31, 2022 380,151 $ 28.61 $ 7,187 Granted 74,695 $ 43.44 Forfeited (4,653) $ 38.88 Vested (42,402) $ 30.01 Nonvested shares at March 31, 2023 407,791 $ 31.06 $ 2,017 A summary of the Company’s nonvested shares at March 31, 2023 and changes during the three-month period is presented below: Nonvested shares - RSAs Shares Weighted- Total or Aggregate (dollars in thousands, except per share amounts; unaudited) Nonvested shares at December 31, 2022 13,396 $ 32.94 $ 195 Granted — $ — Forfeited — $ — Vested (500) $ 17.81 Nonvested shares at March 31, 2023 12,896 $ 33.52 $ 32 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Summary of Estimated Fair Values of Financial Instruments | The following tables present estimated fair values of the Company’s financial instruments as of the period indicated, whether or not recognized or recorded in the consolidated balance sheets at the period indicated: March 31, 2023 Fair Value Measurements Using Carrying Estimated Level 1 Level 2 Level 3 (dollars in thousands; unaudited) Financial assets Cash and due from banks $ 37,676 $ 37,676 $ 37,676 $ — $ — Interest earning deposits with other banks 356,240 356,240 356,240 — — Investment securities 101,704 101,596 97,699 3,896 — Other investments 11,346 11,346 — 8,774 2,572 Loans held for sale 27,292 27,292 — 27,292 Loans receivable 2,837,204 2,791,704 — — 2,791,704 Accrued interest receivable 19,321 19,321 — 19,321 — Financial liabilities Deposits $ 3,095,223 3,094,407 $ — $ 3,094,407 $ — Subordinated debt 44,031 43,674 — 43,674 — Junior subordinated debentures 3,588 3,480 — 3,480 — Accrued interest payable 874 874 — 874 — December 31, 2022 Fair Value Measurements Using Carrying Estimated Level 1 Level 2 Level 3 (dollars in thousands; unaudited) Financial assets Cash and due from banks $ 32,722 $ 32,722 $ 32,722 $ — $ — Interest earning deposits with other banks 309,417 309,417 309,417 — — Investment securities 98,353 98,233 97,015 1,218 — Other investments 10,555 10,555 — 7,983 2,572 Loans receivable, net 2,627,256 2,580,183 — — 2,580,183 Accrued interest receivable 17,815 17,815 — 17,815 — Financial liabilities Deposits $ 2,817,521 $ 2,816,602 $ — $ 2,816,602 $ — Subordinated debt 43,999 42,743 — 42,743 — Junior subordinated debentures 3,588 3,484 — 3,484 — Accrued interest payable 684 684 — 684 — |
Summary of Assets Measured at Fair Value on Recurring Basis | Items measured at fair value on a recurring basis – The following fair value hierarchy table presents information about the Company’s assets that are measured at fair value on a recurring basis at the dates indicated: Level 1 Level 2 Level 3 Total (dollars in thousands; unaudited) March 31, 2023 Available-for-sale U.S. Treasury securities $ 97,699 $ — $ — $ 97,699 U.S. Agency collateralized mortgage obligations — 50 — 50 Municipals — 250 — 250 $ 97,699 $ 300 $ — $ 97,999 December 31, 2022 Available-for-sale U.S. Treasury securities $ 97,015 $ — $ — $ 97,015 U.S. Agency collateralized mortgage obligations — 51 — 51 U.S. Agency residential mortgage-backed securities — 1 — 1 Municipals — 250 — 250 $ 97,015 $ 302 $ — $ 97,317 |
Summary of Financial Assets and Liabilities Measured at Fair Value on Nonrecurring Basis | Items measured at fair value on a nonrecurring basis – The following table presents financial assets and liabilities measured at fair value on a nonrecurring basis and the level within the fair value hierarchy of the fair value measurements for those assets at the dates indicated: Level 1 Level 2 Level 3 Total (dollars in thousands; unaudited) March 31, 2023 Equity securities $ — $ — $ 2,572 $ 2,572 Total $ — $ — $ 2,572 $ 2,572 December 31, 2022 Impaired loans $ — $ — $ 7,080 $ 7,080 Equity securities — — 2,572 2,572 Total $ — $ — $ 9,652 $ 9,652 |
Summary of Carrying Value of Equity Securities Without Readily Determinable Fair Values | The following table presents the carrying value of equity securities without readily determinable fair values, as of March 31, 2023, with adjustments recorded during the periods presented for those securities with observable price changes, if applicable. These equity securities are included in other investments on the balance sheet. For the Three Months Ended (dollars in thousands; unaudited) 2023 2022 Carrying value, beginning of period $ 2,572 $ 2,322 Purchases — 350 Observable price change — — Carrying value, end of period $ 2,572 $ 2,672 |
Summary of Assets and Liabilities Classified as Level 3 and Measured at Fair Value on Nonrecurring Basis | The following table provides a description of the valuation technique, unobservable inputs, and qualitative information about the unobservable inputs for the Company’s assets and liabilities classified as Level 3 and measured at fair value on a nonrecurring basis at the date indicated: (unaudited) Valuation Technique Unobservable Inputs December 31, 2022 Weighted Average Rate Impaired loans Collateral valuations Discount to appraised value 8.0% |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings Per Common Share | The following is a computation of basic and diluted earnings per common share at the periods indicated: Three Months Ended March 31, 2023 March 31, 2022 (dollars in thousands, except earnings per share data; unaudited) Net Income $ 12,391 $ 6,230 Basic weighted average number common shares outstanding 13,196,960 12,898,746 Dilutive effect of equity-based awards 412,531 576,591 Diluted weighted average number common shares outstanding 13,609,491 13,475,337 Basic earnings per share $ 0.94 $ 0.48 Diluted earnings per share $ 0.91 $ 0.46 Antidilutive stock options and restricted stock outstanding 124,714 154,871 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Segment Reporting [Abstract] | |
Summary of Financial Information of Reportable Segments and Reconciliation to Consolidated Financial Results | Summarized financial information concerning the Company's reportable segments and the reconciliation to the consolidated financial results is shown in the following tables for the periods indicated: March 31, 2023 December 31, 2022 Community Bank CCBX Treasury & Administration Total Community Bank CCBX Treasury & Administration Total Assets (dollars in thousands; unaudited) Cash and Due from Banks $ 4,485 $ 12,223 $ 377,208 $ 393,916 $ 4,603 $ 12,899 $ 324,637 $ 342,139 Intrabank assets — 356,905 (356,905) — — 254,096 (254,096) — Securities — — 101,704 101,704 — — 98,353 98,353 Loans held for sale — 27,292 — 27,292 — — — — Total loans receivable 1,671,014 1,166,190 — 2,837,204 1,614,752 1,012,504 — 2,627,256 Allowance for credit losses (20,708) (68,415) — (89,123) (20,636) (53,393) — (74,029) All other assets 25,652 103,403 50,985 180,040 25,508 76,111 49,129 150,748 Total assets $ 1,680,443 $ 1,597,598 $ 172,992 $ 3,451,033 $ 1,624,227 $ 1,302,217 $ 218,023 $ 3,144,467 Liabilities Total deposits $ 1,531,391 $ 1,563,832 $ — $ 3,095,223 $ 1,538,218 $ 1,279,303 $ — $ 2,817,521 Total borrowings — — 47,619 47,619 — — 47,587 47,587 Intrabank liabilities 143,279 — (143,279) — 80,392 — (80,392) — All other liabilities 5,773 33,766 9,889 49,428 5,617 22,914 7,334 35,865 Total liabilities $ 1,680,443 $ 1,597,598 $ (85,771) $ 3,192,270 $ 1,624,227 $ 1,302,217 $ (25,471) $ 2,900,973 Three months ended March 31, 2023 Three months ended March 31, 2022 Community Bank CCBX Treasury & Administration Total Community Bank CCBX Treasury & Administration Total (dollars in thousands; unaudited) Net interest income, before $ 21,677 $ 29,796 $ 3,018 $ 54,491 $ 17,205 $ 11,874 $ 189 $ 29,268 Interest income (expense) (1,079) 2,652 (1,573) — 128 198 (326) — Provision for credit 428 43,116 — 43,544 344 12,598 — 12,942 Provision for unfunded 137 16 — 153 — — — — Noninterest income (1) 1,090 48,080 137 49,307 1,556 20,343 87 21,986 Noninterest expense 9,092 28,439 7,132 44,663 7,646 18,407 4,362 30,415 Net income before income 12,031 8,957 (5,550) 15,438 10,899 1,410 (4,412) 7,897 Income taxes 2,375 1,768 (1,096) 3,047 2,301 297 (931) 1,667 Net Income $ 9,656 $ 7,189 $ (4,454) $ 12,391 $ 8,598 $ 1,113 $ (3,481) $ 6,230 (1) For the three months ended March 31, 2023, CCBX noninterest income includes credit enhancements of $42.4 million, fraud enhancements of $2.0 million, and BaaS program income of $3.6 million. For the three months ended March 31, 2022, CCBX noninterest income includes credit enhancements of $13.1 million, fraud enhancements of $4.6 million and BaaS program income of $2.5 million. |
Description of Business and S_3
Description of Business and Summary of Significant Accounting Policies - Additional Information (Details) $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2023 USD ($) segment branch | Jan. 01, 2023 USD ($) | Dec. 31, 2022 USD ($) | Mar. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Number of reportable segments | segment | 3 | ||||
Number of branches | branch | 14 | ||||
Increase (reduction) in allowance | $ 89,123 | $ 74,029 | $ 38,770 | $ 28,632 | |
Impact related to adoption of CECL | 258,763 | 243,494 | 207,920 | 201,222 | |
Retained Earnings | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Impact related to adoption of CECL | $ 133,123 | 119,998 | $ 85,603 | $ 79,373 | |
Accounting Standards Update 2016-13 | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Increase (reduction) in allowance | $ (310) | $ 3,852 | |||
Unfunded commitment reserve, reduction | 340 | ||||
Accounting Standards Update 2016-13 | CCBX | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Increase (reduction) in allowance | 4,200 | ||||
Increase in indemnification asset | 4,500 | ||||
Accounting Standards Update 2016-13 | Retained Earnings | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Impact related to adoption of CECL | $ 954 |
Description of Business and S_4
Description of Business and Summary of Significant Accounting Policies - Summary of Accounting Standards Update (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Jan. 01, 2023 | Dec. 31, 2022 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
CCBX credit enhancement asset | $ 76,395 | $ 53,377 | |
Deferred tax asset, net | 20,527 | 18,458 | |
Retained earnings | $ 133,123 | 119,998 | |
Accounting Standards Update 2016-13 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Financing Receivable, Allowance for Credit Loss, Excluding Accrued Interest, Current | $ 77,881 | ||
CCBX credit enhancement asset | 57,842 | ||
Deferred tax asset, net | 18,238 | ||
Unfunded commitment reserve | 634 | ||
Retained earnings | 120,732 | ||
Accounting Standards Update 2016-13 | Pre-ASC 326 Adoption | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Financing Receivable, Allowance for Credit Loss, Excluding Accrued Interest, Current | 74,029 | ||
CCBX credit enhancement asset | 53,377 | ||
Deferred tax asset, net | 18,458 | ||
Unfunded commitment reserve | 974 | ||
Retained earnings | $ 119,998 | ||
Accounting Standards Update 2016-13 | Impact of ASC 326 Adoption | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Financing Receivable, Allowance for Credit Loss, Excluding Accrued Interest, Current | 3,852 | ||
CCBX credit enhancement asset | 4,465 | ||
Deferred tax asset, net | (220) | ||
Unfunded commitment reserve | (340) | ||
Retained earnings | $ 734 |
Investments Securities - Amorti
Investments Securities - Amortized Cost and Fair Values of Investments in Debt Securities (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Available-for-sale | ||
Amortized Cost | $ 100,276 | $ 100,272 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (2,277) | (2,955) |
Fair Value | 97,999 | 97,317 |
Allowance for Credit Losses | 0 | |
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 3,705 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | (108) | |
Fair Value | 3,597 | |
Allowance for Credit Losses | 0 | |
Amortized Cost | 103,981 | 101,308 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (2,385) | (3,075) |
Fair Value | 101,596 | 98,233 |
Allowance for Credit Losses | 0 | |
U.S. Treasury securities | ||
Available-for-sale | ||
Amortized Cost | 99,974 | 99,967 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (2,275) | (2,952) |
Fair Value | 97,699 | 97,015 |
Allowance for Credit Losses | 0 | |
U.S. Agency collateralized mortgage obligations | ||
Available-for-sale | ||
Amortized Cost | 52 | 54 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (2) | (3) |
Fair Value | 50 | 51 |
Allowance for Credit Losses | 0 | |
U.S. Agency residential mortgage-backed securities | ||
Available-for-sale | ||
Amortized Cost | 0 | 1 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 0 | 1 |
Allowance for Credit Losses | 0 | |
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 3,705 | 1,036 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (108) | (120) |
Fair Value | 3,597 | 916 |
Allowance for Credit Losses | 0 | |
Municipal bonds | ||
Available-for-sale | ||
Amortized Cost | 250 | 250 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 250 | $ 250 |
Allowance for Credit Losses | $ 0 |
Investments Securities - Amor_2
Investments Securities - Amortized Cost and Fair Value of Debt Securities by Contractual Maturity (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Amortized Cost | ||
One year or less | $ 100,224 | |
Total AFS Debt Securities | 100,224 | |
Amortized Cost | 100,276 | $ 100,272 |
Fair Value | ||
One year or less | 97,949 | |
Total AFS Debt Securities | 97,949 | |
Fair Value | 97,999 | $ 97,317 |
Amortized Cost | ||
One year or less | 0 | |
Total HTM Debt Securities | 0 | |
Amortized Cost | 3,705 | |
Fair Value | ||
One year or less | 0 | |
Total HTM Debt Securities | 0 | |
Fair Value | 3,597 | |
U.S. Agency residential mortgage-backed securities and collateralized mortgage obligations | ||
Amortized Cost | ||
Without single maturity date | 52 | |
Fair Value | ||
Without single maturity date | 50 | |
Amortized Cost | ||
Without single maturity date | 3,705 | |
Fair Value | ||
Without single maturity | $ 3,597 |
Investments Securities - Additi
Investments Securities - Additional Information (Details) | 3 Months Ended | ||
Mar. 31, 2023 USD ($) security investment | Mar. 31, 2022 USD ($) | Dec. 31, 2022 USD ($) investment | |
Net Investment Income [Line Items] | |||
Available-for-sale securities, accrued interest | $ 187,000 | $ 723,000 | |
Held-to-maturity securities, accrued interest | 14,000 | 3,000 | |
Investments in debt securities with amortized cost pledged to secure public deposits | 37,800,000 | $ 37,800,000 | |
Purchase of securities | 0 | $ 134,912,000 | |
Sale of securities | $ 0 | $ 0 | |
Number of securities in unrealized loss position | investment | 7 | 6 | |
Gross unrealized losses for investment securities | $ 2,385,000 | ||
Maturity of time horizon | 1 year | ||
U.S. Treasury Bills | |||
Net Investment Income [Line Items] | |||
Matured of securities | $ 0 | ||
Number of securities purchased | security | 1 | ||
Purchase of securities | $ 2,700,000 |
Investments Securities - Summar
Investments Securities - Summary of Investment Securities Continuous Unrealized Loss Position (Details) $ in Thousands | Mar. 31, 2023 USD ($) |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss [Abstract] | |
Available-for-sale, Less Than 12 Months, Fair Value | $ 0 |
Available-for-sale, Less Than 12 Months, Gross Unrealized Losses | 0 |
Available-for-sale, 12 Months or Greater, Fair Value | 97,749 |
Available-for-sale, 12 Months or Greater, Gross Unrealized Losses | 2,277 |
Available-for-Sale, Total Fair Value | 97,749 |
Available-for-Sale, Total Gross Unrealized Losses | 2,277 |
Debt Securities, Held-to-Maturity, Unrealized Loss Position, Accumulated Loss [Abstract] | |
Total investment securities, Less Than 12 Months, Fair Value | 2,672 |
Total investment securities, Less Than 12 Months, Gross Unrealized Losses | 7 |
Total investment securities, 12 Months or Greater, Fair Value | 98,674 |
Total investment securities, 12 Months or Greater, Gross Unrealized Losses | 2,378 |
Total investment securities, Total Fair Value | 101,346 |
Total investment securities, Total Gross Unrealized Losses | 2,385 |
U.S. Treasury securities | |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss [Abstract] | |
Available-for-sale, Less Than 12 Months, Fair Value | 0 |
Available-for-sale, Less Than 12 Months, Gross Unrealized Losses | 0 |
Available-for-sale, 12 Months or Greater, Fair Value | 97,699 |
Available-for-sale, 12 Months or Greater, Gross Unrealized Losses | 2,275 |
Available-for-Sale, Total Fair Value | 97,699 |
Available-for-Sale, Total Gross Unrealized Losses | 2,275 |
U.S. Agency collateralized mortgage obligations | |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss [Abstract] | |
Available-for-sale, Less Than 12 Months, Fair Value | 0 |
Available-for-sale, Less Than 12 Months, Gross Unrealized Losses | 0 |
Available-for-sale, 12 Months or Greater, Fair Value | 50 |
Available-for-sale, 12 Months or Greater, Gross Unrealized Losses | 2 |
Available-for-Sale, Total Fair Value | 50 |
Available-for-Sale, Total Gross Unrealized Losses | 2 |
U.S. Agency residential mortgage-backed securities | |
Debt Securities, Held-to-Maturity, Unrealized Loss Position, Accumulated Loss [Abstract] | |
Held-to-maturity, Less Than 12 Months, Fair Value | 2,672 |
Held-to-maturity, Less Than 12 Months, Gross Unrealized Losses | 7 |
Held-to-maturity, 12 Months or Greater, Fair Value | 925 |
Held-to-maturity, 12 Months or Greater, Gross Unrealized Losses | 101 |
Held-to-Maturity, Total Fair Value | 3,597 |
Held-to-Maturity, Total Gross Unrealized Losses | $ 108 |
Loans and Allowance for Credi_3
Loans and Allowance for Credit Losses - Additional Information (Details) $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2023 USD ($) loan | Mar. 31, 2022 USD ($) loan | Jan. 01, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Transfer from loans to loans held for sale | $ 101,219 | $ 0 | |||
Gain on sales of loans, net | 123 | $ 0 | |||
Loans held for sale | 27,292 | $ 0 | |||
Accrued interest on loans | 18,700 | 17,000 | |||
Pledged loans | 2,748,081 | 2,553,227 | |||
Balance of SBA and USDA loans and participations sold and serviced | 12,600 | 14,300 | |||
Balance of main street lending program loans and participations serviced | 58,000 | 58,000 | |||
Purchased loans | 9,400 | 9,600 | |||
Unamortized premium | 164 | 167 | |||
Purchased participation loans | 62,500 | 63,900 | |||
90 Days or More Past Due and Still Accruing | $ 24,562 | 26,095 | |||
Threshold period for past due loans (in days) | 90 days | ||||
Accounts receivable, noncurrent, 90 days or more past due, still accruing | 26,100 | ||||
Number of loans restructured as troubled debt restructurings | loan | 0 | 0 | |||
Allowance for loan losses, post-adoption | $ 89,123 | $ 38,770 | 74,029 | $ 28,632 | |
Loans receivable, post-adoption | 2,837,204 | 2,627,256 | |||
Accounting Standards Update 2016-13 | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Allowance for loan losses, post-adoption | $ (310) | 3,852 | |||
CCBX | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Accounts receivable, noncurrent, 90 days or more past due, amount covered by credit enhancements | $ 23,600 | 25,500 | |||
Company's responsibility for credit losses (in percent) | 10% | ||||
Loans receivable, post-adoption | $ 137,400 | ||||
Amount of loans that company is responsible for credit loss | $ 13,900 | ||||
Partner's responsibility for credit losses (in percent) | 90% | ||||
Partner's responsibility for fraud losses (in percentage) | 100% | ||||
Percentage of revenue earned by company on loans they are responsible for credit losses | 100% | ||||
Minimum | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Sustained repayment performance period of loan placed on nonaccrual | 6 months | ||||
Percentage of collateral coverage to loan balance | 100% | ||||
Loan repayment extended period of time | 6 months | ||||
Asset Pledged as Collateral | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Pledged loans | $ 910,500 | 220,100 | |||
Commercial and industrial loans | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Capital call lines, provided to venture capital firms | 118,800 | 146,000 | |||
Balance of main street lending program loans and participations serviced | 3,100 | 3,100 | |||
Allowance for loan losses, post-adoption | 8,651 | 3,514 | 4,831 | 3,221 | |
Loans receivable, post-adoption | 158,873 | ||||
Commercial and industrial loans | Accounting Standards Update 2016-13 | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Allowance for loan losses, post-adoption | 1,428 | ||||
Consumer and other loans | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Overdrafts included in loans | 3,900 | 2,700 | |||
90 Days or More Past Due and Still Accruing | 24,815 | ||||
Allowance for loan losses, post-adoption | 60,236 | $ 15,114 | 50,996 | $ 7,092 | |
Loans receivable, post-adoption | 2,860 | ||||
Consumer and other loans | Accounting Standards Update 2016-13 | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Allowance for loan losses, post-adoption | 2,315 | ||||
Community Bank | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Overdrafts included in loans | 1,300 | 94 | |||
CCBX | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Overdrafts included in loans | $ 2,600 | ||||
Threshold period for past due loans (in days) | 180 days | ||||
Consumer Portfolio Segment | Installment/Closed-End Consumer Loans | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Threshold period for past due loans (in days) | 120 days | ||||
Threshold period for past due loans, charge off (in days) | 120 days | ||||
Consumer Portfolio Segment | Revolving/Open-End Consumer Loans | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Threshold period for past due loans (in days) | 180 days | ||||
Threshold period for past due loans, charge off (in days) | 180 days | ||||
CCBX Loans | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Transfer from loans to loans held for sale | $ 101,200 | ||||
Proceeds from sales of loans held for sale | 73,900 | ||||
Gain on sales of loans, net | 123 | ||||
Loans held for sale | 27,300 | 0 | |||
Consumer and other loans | 749,700 | 607,000 | |||
Commercial and industrial loans | 12,700 | 11,300 | |||
Residential real estate loans | 249,400 | 244,600 | |||
CCBX Loans | Consumer Loan | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Purchased loans | 180,900 | 157,400 | |||
Consumer and other loans | 168,200 | 146,100 | |||
Unsecured CCBX Partner Loan | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Commercial and industrial loans | 48,700 | ||||
CARES Act Paycheck Protection Program | Commercial and industrial loans | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Balance of SBA and USDA loans and participations serviced | $ 3,800 | 4,700 | |||
Small Business Administration | Commercial and industrial loans | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Percentage of unsecured, guaranteed and loan | 100% | ||||
Capital call lines | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Commercial and industrial loans | $ 118,800 | $ 146,000 |
Loans and Allowance for Credi_4
Loans and Allowance for Credit Losses - Composition of Loan Portfolio (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | $ 2,843,779 | $ 2,633,363 |
Net deferred origination fees and premiums | (6,575) | (6,107) |
Loans receivable | 2,837,204 | 2,627,256 |
Commercial and industrial loans | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 312,628 | |
Construction, land, and land development | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 214,055 | |
Real Estate Portfolio Segment | Residential real estate | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 449,157 | |
Loans receivable | 206,140 | |
Real Estate Portfolio Segment | Commercial real estate | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 1,048,752 | |
Loans receivable | 1,102,771 | |
Consumer and other loans | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | $ 608,771 | |
Loans receivable | 2,860 | |
Community Bank | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 1,677,279 | |
Community Bank | Commercial and industrial loans | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 158,873 | |
Community Bank | Construction, land, and land development | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 206,635 | |
Community Bank | Real Estate Portfolio Segment | Residential real estate | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 206,140 | |
Community Bank | Real Estate Portfolio Segment | Commercial real estate | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 1,102,771 | |
Community Bank | Consumer and other loans | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 2,860 | |
CCBX | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 1,166,500 | |
CCBX | Commercial and industrial loans | Capital call lines | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 118,796 | |
CCBX | Commercial and industrial loans | All other commercial & industrial loans | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 48,669 | |
CCBX | Real Estate Portfolio Segment | Residential real estate | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 249,367 | |
CCBX | Consumer and other loans | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | 431,481 | |
CCBX | Consumer and other loans | Credit Card | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Gross loans receivable | $ 318,187 |
Loans and Allowance for Credi_5
Loans and Allowance for Credit Losses - Summary of an Age Analysis of Past Due Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | $ 2,843,779 | $ 2,633,363 |
90 Days or More Past Due and Still Accruing | 24,562 | 26,095 |
Net deferred origination fees and premiums | (6,575) | (6,107) |
Loans receivable, post-adoption | 2,837,204 | 2,627,256 |
Total loans receivable, pre-adoption | 2,627,256 | |
30-89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 38,228 | 39,436 |
90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 31,529 | 33,144 |
Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 69,757 | 72,580 |
Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 2,774,022 | 2,560,783 |
Commercial and industrial loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 312,628 | |
90 Days or More Past Due and Still Accruing | 404 | |
Commercial and industrial loans | 30-89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 393 | |
Commercial and industrial loans | 90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 486 | |
Commercial and industrial loans | Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 879 | |
Commercial and industrial loans | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 311,749 | |
Construction, land, and land development | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 214,055 | |
90 Days or More Past Due and Still Accruing | 0 | |
Construction, land, and land development | 30-89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 0 | |
Construction, land, and land development | 90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 66 | |
Construction, land, and land development | Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 66 | |
Construction, land, and land development | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 213,989 | |
Real Estate Portfolio Segment | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 449,157 | |
90 Days or More Past Due and Still Accruing | 876 | |
Loans receivable, post-adoption | 206,140 | |
Real Estate Portfolio Segment | Commercial real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 1,048,752 | |
90 Days or More Past Due and Still Accruing | 0 | |
Loans receivable, post-adoption | 1,102,771 | |
Real Estate Portfolio Segment | 30-89 Days Past Due | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 1,016 | |
Real Estate Portfolio Segment | 30-89 Days Past Due | Commercial real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 95 | |
Real Estate Portfolio Segment | 90 Days or More Past Due | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 876 | |
Real Estate Portfolio Segment | 90 Days or More Past Due | Commercial real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 6,901 | |
Real Estate Portfolio Segment | Total Past Due | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 1,892 | |
Real Estate Portfolio Segment | Total Past Due | Commercial real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 6,996 | |
Real Estate Portfolio Segment | Current | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 447,265 | |
Real Estate Portfolio Segment | Current | Commercial real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 1,041,756 | |
Consumer and other loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 608,771 | |
90 Days or More Past Due and Still Accruing | 24,815 | |
Loans receivable, post-adoption | 2,860 | |
Consumer and other loans | 30-89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 37,932 | |
Consumer and other loans | 90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 24,815 | |
Consumer and other loans | Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 62,747 | |
Consumer and other loans | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | $ 546,024 | |
Community Bank | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 1,677,279 | |
90 Days or More Past Due and Still Accruing | 0 | |
Community Bank | 30-89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 290 | |
Community Bank | 90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 6,967 | |
Community Bank | Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 7,257 | |
Community Bank | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 1,670,022 | |
Community Bank | Commercial and industrial loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 158,873 | |
90 Days or More Past Due and Still Accruing | 0 | |
Community Bank | Commercial and industrial loans | 30-89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 0 | |
Community Bank | Commercial and industrial loans | 90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 0 | |
Community Bank | Commercial and industrial loans | Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 0 | |
Community Bank | Commercial and industrial loans | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 158,873 | |
Community Bank | Construction, land, and land development | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 206,635 | |
90 Days or More Past Due and Still Accruing | 0 | |
Community Bank | Construction, land, and land development | 30-89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 0 | |
Community Bank | Construction, land, and land development | 90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 66 | |
Community Bank | Construction, land, and land development | Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 66 | |
Community Bank | Construction, land, and land development | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 206,569 | |
Community Bank | Real Estate Portfolio Segment | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 206,140 | |
90 Days or More Past Due and Still Accruing | 0 | |
Community Bank | Real Estate Portfolio Segment | Commercial real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 1,102,771 | |
90 Days or More Past Due and Still Accruing | 0 | |
Community Bank | Real Estate Portfolio Segment | 30-89 Days Past Due | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 195 | |
Community Bank | Real Estate Portfolio Segment | 30-89 Days Past Due | Commercial real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 92 | |
Community Bank | Real Estate Portfolio Segment | 90 Days or More Past Due | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 0 | |
Community Bank | Real Estate Portfolio Segment | 90 Days or More Past Due | Commercial real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 6,901 | |
Community Bank | Real Estate Portfolio Segment | Total Past Due | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 195 | |
Community Bank | Real Estate Portfolio Segment | Total Past Due | Commercial real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 6,993 | |
Community Bank | Real Estate Portfolio Segment | Current | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 205,945 | |
Community Bank | Real Estate Portfolio Segment | Current | Commercial real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 1,095,778 | |
Community Bank | Consumer and other loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 2,860 | |
90 Days or More Past Due and Still Accruing | 0 | |
Community Bank | Consumer and other loans | 30-89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 3 | |
Community Bank | Consumer and other loans | 90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 0 | |
Community Bank | Consumer and other loans | Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 3 | |
Community Bank | Consumer and other loans | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 2,857 | |
CCBX | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 1,166,500 | |
90 Days or More Past Due and Still Accruing | 24,562 | |
CCBX | 30-89 Days Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 37,938 | |
CCBX | 90 Days or More Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 24,562 | |
CCBX | Total Past Due | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 62,500 | |
CCBX | Current | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 1,104,000 | |
CCBX | Commercial and industrial loans | Capital call lines | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 118,796 | |
90 Days or More Past Due and Still Accruing | 0 | |
CCBX | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 48,669 | |
90 Days or More Past Due and Still Accruing | 187 | |
CCBX | Commercial and industrial loans | 30-89 Days Past Due | Capital call lines | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 0 | |
CCBX | Commercial and industrial loans | 30-89 Days Past Due | CCBX Other Commercial and Industrial Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 589 | |
CCBX | Commercial and industrial loans | 90 Days or More Past Due | Capital call lines | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 0 | |
CCBX | Commercial and industrial loans | 90 Days or More Past Due | CCBX Other Commercial and Industrial Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 187 | |
CCBX | Commercial and industrial loans | Total Past Due | Capital call lines | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 0 | |
CCBX | Commercial and industrial loans | Total Past Due | CCBX Other Commercial and Industrial Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 776 | |
CCBX | Commercial and industrial loans | Current | Capital call lines | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 118,796 | |
CCBX | Commercial and industrial loans | Current | CCBX Other Commercial and Industrial Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 47,893 | |
CCBX | Real Estate Portfolio Segment | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 249,367 | |
90 Days or More Past Due and Still Accruing | 946 | |
CCBX | Real Estate Portfolio Segment | 30-89 Days Past Due | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 2,582 | |
CCBX | Real Estate Portfolio Segment | 90 Days or More Past Due | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 946 | |
CCBX | Real Estate Portfolio Segment | Total Past Due | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 3,528 | |
CCBX | Real Estate Portfolio Segment | Current | Residential real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 245,839 | |
CCBX | Consumer and other loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 431,481 | |
CCBX | Consumer and other loans | Credit Card | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 318,187 | |
90 Days or More Past Due and Still Accruing | 17,772 | |
CCBX | Consumer and other loans | Other Consumer and Other Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 431,481 | |
90 Days or More Past Due and Still Accruing | 5,657 | |
CCBX | Consumer and other loans | 30-89 Days Past Due | Credit Card | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 15,273 | |
CCBX | Consumer and other loans | 30-89 Days Past Due | Other Consumer and Other Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 19,494 | |
CCBX | Consumer and other loans | 90 Days or More Past Due | Credit Card | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 17,772 | |
CCBX | Consumer and other loans | 90 Days or More Past Due | Other Consumer and Other Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 5,657 | |
CCBX | Consumer and other loans | Total Past Due | Credit Card | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 33,045 | |
CCBX | Consumer and other loans | Total Past Due | Other Consumer and Other Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 25,151 | |
CCBX | Consumer and other loans | Current | Credit Card | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | 285,142 | |
CCBX | Consumer and other loans | Current | Other Consumer and Other Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Gross loans receivable | $ 406,330 |
Loans and Allowance for Credi_6
Loans and Allowance for Credit Losses - Analysis of Nonaccrual Loans by Category (Details) - Community Bank - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total nonaccrual loans | $ 6,982 | $ 7,080 |
Nonaccrual with No ACL | 6,967 | |
Commercial and industrial loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total nonaccrual loans | 15 | 113 |
Nonaccrual with No ACL | 0 | |
Real Estate Portfolio Segment | Construction, land, and land development | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total nonaccrual loans | 66 | 66 |
Nonaccrual with No ACL | 66 | |
Real Estate Portfolio Segment | Commercial real estate | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total nonaccrual loans | 6,901 | 6,901 |
Nonaccrual with No ACL | 6,901 | |
Consumer and other loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total nonaccrual loans | 0 | $ 0 |
Nonaccrual with No ACL | $ 0 |
Loans and Allowance for Credi_7
Loans and Allowance for Credit Losses - Summary of Risk Category of Loans by Class of Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans receivable | $ 2,837,204 | $ 2,627,256 |
Total Community Bank Loans Portfolio Segment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 71,763 | |
2023, current period gross write-offs | 4 | |
2022 | 460,168 | |
2022, current period gross write-offs | 0 | |
2021 | 382,460 | |
2021, current period gross write-offs | 0 | |
2020 | 207,225 | |
2020, current period gross write-offs | 0 | |
2019 | 198,431 | |
2019, current period gross write-offs | 0 | |
Prior | 283,502 | |
Prior, current period gross write-offs | 46 | |
Revolving Loans Amortized Cost Basis | 70,596 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 0 | |
Revolving Loans Converted To Term | 3,134 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 1,677,279 | |
Total, current period gross write-offs | 50 | |
Total Community Bank Loans Portfolio Segment | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 71,763 | |
2022 | 456,865 | |
2021 | 375,338 | |
2020 | 203,354 | |
2019 | 190,822 | |
Prior | 275,734 | |
Revolving Loans Amortized Cost Basis | 67,829 | |
Revolving Loans Converted To Term | 3,134 | |
Loans receivable | 1,644,839 | |
Total Community Bank Loans Portfolio Segment | Other Loan Especially Mentioned | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 3,303 | |
2021 | 7,122 | |
2020 | 3,779 | |
2019 | 708 | |
Prior | 7,639 | |
Revolving Loans Amortized Cost Basis | 2,618 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 25,169 | |
Total Community Bank Loans Portfolio Segment | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 92 | |
2019 | 6,901 | |
Prior | 129 | |
Revolving Loans Amortized Cost Basis | 149 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 7,271 | |
Total Community Bank Loans Portfolio Segment | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 0 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 0 | |
Commercial and industrial loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 7,788 | |
2023, current period gross write-offs | 0 | |
2022 | 60,221 | |
2022, current period gross write-offs | 0 | |
2021 | 17,701 | |
2021, current period gross write-offs | 0 | |
2020 | 12,583 | |
2020, current period gross write-offs | 0 | |
2019 | 15,493 | |
2019, current period gross write-offs | 0 | |
Prior | 2,477 | |
Prior, current period gross write-offs | 46 | |
Revolving Loans Amortized Cost Basis | 41,240 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 0 | |
Revolving Loans Converted To Term | 1,370 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 158,873 | |
Total, current period gross write-offs | 46 | |
Commercial and industrial loans | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 7,788 | |
2022 | 60,221 | |
2021 | 15,938 | |
2020 | 11,172 | |
2019 | 15,299 | |
Prior | 2,414 | |
Revolving Loans Amortized Cost Basis | 38,622 | |
Revolving Loans Converted To Term | 1,370 | |
Loans receivable | 152,824 | |
Commercial and industrial loans | Other Loan Especially Mentioned | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 1,763 | |
2020 | 1,411 | |
2019 | 194 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 2,618 | |
Loans receivable | 5,986 | |
Commercial and industrial loans | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 63 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 63 | |
Commercial and industrial loans | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 0 | |
Real Estate Portfolio Segment | Construction, land, and land development | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 5,338 | |
2023, current period gross write-offs | 0 | |
2022 | 77,892 | |
2022, current period gross write-offs | 0 | |
2021 | 114,411 | |
2021, current period gross write-offs | 0 | |
2020 | 5,663 | |
2020, current period gross write-offs | 0 | |
2019 | 937 | |
2019, current period gross write-offs | 0 | |
Prior | 1,731 | |
Prior, current period gross write-offs | 0 | |
Revolving Loans Amortized Cost Basis | 663 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 0 | |
Revolving Loans Converted To Term | 0 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 206,635 | |
Total, current period gross write-offs | 0 | |
Real Estate Portfolio Segment | Construction, land, and land development | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 5,338 | |
2022 | 77,892 | |
2021 | 111,263 | |
2020 | 3,338 | |
2019 | 937 | |
Prior | 1,665 | |
Revolving Loans Amortized Cost Basis | 663 | |
Loans receivable | 201,096 | |
Real Estate Portfolio Segment | Construction, land, and land development | Other Loan Especially Mentioned | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 3,148 | |
2020 | 2,325 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 5,473 | |
Real Estate Portfolio Segment | Construction, land, and land development | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 66 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 66 | |
Real Estate Portfolio Segment | Construction, land, and land development | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 0 | |
Real Estate Portfolio Segment | Residential real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 2,208 | |
2023, current period gross write-offs | 0 | |
2022 | 45,065 | |
2022, current period gross write-offs | 0 | |
2021 | 41,615 | |
2021, current period gross write-offs | 0 | |
2020 | 36,317 | |
2020, current period gross write-offs | 0 | |
2019 | 32,820 | |
2019, current period gross write-offs | 0 | |
Prior | 27,155 | |
Prior, current period gross write-offs | 0 | |
Revolving Loans Amortized Cost Basis | 20,960 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 0 | |
Revolving Loans Converted To Term | 0 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 206,140 | |
Total, current period gross write-offs | 0 | |
Real Estate Portfolio Segment | Residential real estate | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 2,208 | |
2022 | 45,065 | |
2021 | 41,615 | |
2020 | 36,274 | |
2019 | 32,820 | |
Prior | 27,109 | |
Revolving Loans Amortized Cost Basis | 20,960 | |
Loans receivable | 206,051 | |
Real Estate Portfolio Segment | Residential real estate | Other Loan Especially Mentioned | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 43 | |
2019 | 0 | |
Prior | 46 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 89 | |
Real Estate Portfolio Segment | Residential real estate | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 0 | |
Real Estate Portfolio Segment | Residential real estate | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 0 | |
Real Estate Portfolio Segment | Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 55,067 | |
2023, current period gross write-offs | 0 | |
2022 | 276,677 | |
2022, current period gross write-offs | 0 | |
2021 | 208,715 | |
2021, current period gross write-offs | 0 | |
2020 | 151,954 | |
2020, current period gross write-offs | 0 | |
2019 | 149,121 | |
2019, current period gross write-offs | 0 | |
Prior | 251,898 | |
Prior, current period gross write-offs | 0 | |
Revolving Loans Amortized Cost Basis | 7,575 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 0 | |
Revolving Loans Converted To Term | 1,764 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 1,102,771 | |
Total, current period gross write-offs | 0 | |
Real Estate Portfolio Segment | Commercial real estate | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 55,067 | |
2022 | 273,374 | |
2021 | 206,504 | |
2020 | 151,862 | |
2019 | 141,706 | |
Prior | 244,305 | |
Revolving Loans Amortized Cost Basis | 7,426 | |
Revolving Loans Converted To Term | 1,764 | |
Loans receivable | 1,082,008 | |
Real Estate Portfolio Segment | Commercial real estate | Other Loan Especially Mentioned | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 3,303 | |
2021 | 2,211 | |
2020 | 0 | |
2019 | 514 | |
Prior | 7,593 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 13,621 | |
Real Estate Portfolio Segment | Commercial real estate | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 92 | |
2019 | 6,901 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 149 | |
Loans receivable | 7,142 | |
Real Estate Portfolio Segment | Commercial real estate | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 0 | |
Consumer and other loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 1,362 | |
2023, current period gross write-offs | 4 | |
2022 | 313 | |
2022, current period gross write-offs | 0 | |
2021 | 18 | |
2021, current period gross write-offs | 0 | |
2020 | 708 | |
2020, current period gross write-offs | 0 | |
2019 | 60 | |
2019, current period gross write-offs | 0 | |
Prior | 241 | |
Prior, current period gross write-offs | 0 | |
Revolving Loans Amortized Cost Basis | 158 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 0 | |
Revolving Loans Converted To Term | 0 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 2,860 | |
Total, current period gross write-offs | 4 | |
Consumer and other loans | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 1,362 | |
2022 | 313 | |
2021 | 18 | |
2020 | 708 | |
2019 | 60 | |
Prior | 241 | |
Revolving Loans Amortized Cost Basis | 158 | |
Loans receivable | 2,860 | |
Consumer and other loans | Other Loan Especially Mentioned | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 0 | |
Consumer and other loans | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | 0 | |
Consumer and other loans | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 0 | |
Loans receivable | $ 0 |
Loans and Allowance for Credi_8
Loans and Allowance for Credit Losses - Summary of Amortized Cost of CCBX Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans receivable | $ 2,837,204 | $ 2,627,256 |
Total CCBX Loans | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 222,964 | |
2023, current period gross write-offs | 0 | |
2022 | 210,733 | |
2022, current period gross write-offs | 17,441 | |
2021 | 30,113 | |
2021, current period gross write-offs | 5,373 | |
2020 | 347 | |
2020, current period gross write-offs | 47 | |
2019 | 1,297 | |
2019, current period gross write-offs | 117 | |
Prior | 609 | |
Prior, current period gross write-offs | 93 | |
Revolving Loans Amortized Cost Basis | 593,095 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 11,046 | |
Revolving Loans Converted To Term | 107,342 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 1,166,500 | |
Total, current period gross write-offs | 34,117 | |
Commercial and industrial loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 7,788 | |
2023, current period gross write-offs | 0 | |
2022 | 60,221 | |
2022, current period gross write-offs | 0 | |
2021 | 17,701 | |
2021, current period gross write-offs | 0 | |
2020 | 12,583 | |
2020, current period gross write-offs | 0 | |
2019 | 15,493 | |
2019, current period gross write-offs | 0 | |
Prior | 2,477 | |
Prior, current period gross write-offs | 46 | |
Revolving Loans Amortized Cost Basis | 41,240 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 0 | |
Revolving Loans Converted To Term | 1,370 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 158,873 | |
Total, current period gross write-offs | 46 | |
Commercial and industrial loans | Capital call lines | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2023, current period gross write-offs | 0 | |
2022 | 0 | |
2022, current period gross write-offs | 0 | |
2021 | 0 | |
2021, current period gross write-offs | 0 | |
2020 | 0 | |
2020, current period gross write-offs | 0 | |
2019 | 0 | |
2019, current period gross write-offs | 0 | |
Prior | 0 | |
Prior, current period gross write-offs | 0 | |
Revolving Loans Amortized Cost Basis | 118,796 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 0 | |
Revolving Loans Converted To Term | 0 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 118,796 | |
Total, current period gross write-offs | 0 | |
Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 31,726 | |
2023, current period gross write-offs | 0 | |
2022 | 15,692 | |
2022, current period gross write-offs | 718 | |
2021 | 74 | |
2021, current period gross write-offs | 12 | |
2020 | 34 | |
2020, current period gross write-offs | 0 | |
2019 | 0 | |
2019, current period gross write-offs | 0 | |
Prior | 0 | |
Prior, current period gross write-offs | 0 | |
Revolving Loans Amortized Cost Basis | 1,143 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 0 | |
Revolving Loans Converted To Term | 0 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 48,669 | |
Total, current period gross write-offs | 730 | |
Real Estate Portfolio Segment | Residential real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 2,208 | |
2023, current period gross write-offs | 0 | |
2022 | 45,065 | |
2022, current period gross write-offs | 0 | |
2021 | 41,615 | |
2021, current period gross write-offs | 0 | |
2020 | 36,317 | |
2020, current period gross write-offs | 0 | |
2019 | 32,820 | |
2019, current period gross write-offs | 0 | |
Prior | 27,155 | |
Prior, current period gross write-offs | 0 | |
Revolving Loans Amortized Cost Basis | 20,960 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 0 | |
Revolving Loans Converted To Term | 0 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 206,140 | |
Total, current period gross write-offs | 0 | |
Real Estate Portfolio Segment | Residential real estate | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2023, current period gross write-offs | 0 | |
2022 | 0 | |
2022, current period gross write-offs | 0 | |
2021 | 0 | |
2021, current period gross write-offs | 0 | |
2020 | 0 | |
2020, current period gross write-offs | 0 | |
2019 | 0 | |
2019, current period gross write-offs | 0 | |
Prior | 0 | |
Prior, current period gross write-offs | 0 | |
Revolving Loans Amortized Cost Basis | 142,025 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 737 | |
Revolving Loans Converted To Term | 107,342 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 249,367 | |
Total, current period gross write-offs | 737 | |
Consumer and other loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 1,362 | |
2023, current period gross write-offs | 4 | |
2022 | 313 | |
2022, current period gross write-offs | 0 | |
2021 | 18 | |
2021, current period gross write-offs | 0 | |
2020 | 708 | |
2020, current period gross write-offs | 0 | |
2019 | 60 | |
2019, current period gross write-offs | 0 | |
Prior | 241 | |
Prior, current period gross write-offs | 0 | |
Revolving Loans Amortized Cost Basis | 158 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 0 | |
Revolving Loans Converted To Term | 0 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 2,860 | |
Total, current period gross write-offs | 4 | |
Consumer and other loans | Credit Card | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2023, current period gross write-offs | 0 | |
2022 | 0 | |
2022, current period gross write-offs | 0 | |
2021 | 0 | |
2021, current period gross write-offs | 0 | |
2020 | 0 | |
2020, current period gross write-offs | 0 | |
2019 | 0 | |
2019, current period gross write-offs | 0 | |
Prior | 0 | |
Prior, current period gross write-offs | 0 | |
Revolving Loans Amortized Cost Basis | 318,187 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 8,481 | |
Revolving Loans Converted To Term | 0 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 318,187 | |
Total, current period gross write-offs | 8,481 | |
Consumer and other loans | Other Consumer and Other Loans | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 191,238 | |
2023, current period gross write-offs | 0 | |
2022 | 195,041 | |
2022, current period gross write-offs | 16,723 | |
2021 | 30,039 | |
2021, current period gross write-offs | 5,361 | |
2020 | 313 | |
2020, current period gross write-offs | 47 | |
2019 | 1,297 | |
2019, current period gross write-offs | 117 | |
Prior | 609 | |
Prior, current period gross write-offs | 93 | |
Revolving Loans Amortized Cost Basis | 12,944 | |
Revolving Loans Amortized Cost Basis, current period gross write-offs | 1,828 | |
Revolving Loans Converted To Term | 0 | |
Revolving Loans Converted To Term, current period gross write-offs | 0 | |
Loans receivable | 431,481 | |
Total, current period gross write-offs | 24,169 | |
Performing Financial Instruments | Total CCBX Loans | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 222,964 | |
2022 | 207,169 | |
2021 | 29,304 | |
2020 | 347 | |
2019 | 1,297 | |
Prior | 591 | |
Revolving Loans Amortized Cost Basis | 572,924 | |
Revolving Loans Converted To Term | 107,342 | |
Loans receivable | 1,141,938 | |
Performing Financial Instruments | Commercial and industrial loans | Capital call lines | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 118,796 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 118,796 | |
Performing Financial Instruments | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 31,726 | |
2022 | 15,541 | |
2021 | 74 | |
2020 | 34 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 1,107 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 48,482 | |
Performing Financial Instruments | Real Estate Portfolio Segment | Residential real estate | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 141,079 | |
Revolving Loans Converted To Term | 107,342 | |
Loans receivable | 248,421 | |
Performing Financial Instruments | Consumer and other loans | Credit Card | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 300,415 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 300,415 | |
Performing Financial Instruments | Consumer and other loans | Other Consumer and Other Loans | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 191,238 | |
2022 | 191,628 | |
2021 | 29,230 | |
2020 | 313 | |
2019 | 1,297 | |
Prior | 591 | |
Revolving Loans Amortized Cost Basis | 11,527 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 425,824 | |
Nonperforming Financial Instruments | Total CCBX Loans | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 3,564 | |
2021 | 809 | |
2020 | 0 | |
2019 | 0 | |
Prior | 18 | |
Revolving Loans Amortized Cost Basis | 20,171 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 24,562 | |
Nonperforming Financial Instruments | Commercial and industrial loans | Capital call lines | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 0 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 0 | |
Nonperforming Financial Instruments | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 151 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 36 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 187 | |
Nonperforming Financial Instruments | Real Estate Portfolio Segment | Residential real estate | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 946 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 946 | |
Nonperforming Financial Instruments | Consumer and other loans | Credit Card | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior | 0 | |
Revolving Loans Amortized Cost Basis | 17,772 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | 17,772 | |
Nonperforming Financial Instruments | Consumer and other loans | Other Consumer and Other Loans | CCBX Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2023 | 0 | |
2022 | 3,413 | |
2021 | 809 | |
2020 | 0 | |
2019 | 0 | |
Prior | 18 | |
Revolving Loans Amortized Cost Basis | 1,417 | |
Revolving Loans Converted To Term | 0 | |
Loans receivable | $ 5,657 |
Loans and Allowance for Credi_9
Loans and Allowance for Credit Losses - Summary of Loans by Credit Quality Risk Rating (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | $ 2,843,779 | $ 2,633,363 |
Net deferred origination fees and premiums | (6,575) | (6,107) |
Loans receivable | 2,837,204 | 2,627,256 |
Commercial and industrial loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 312,628 | |
Loans receivable | 158,873 | |
Construction, land, and land development | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 214,055 | |
Real Estate Portfolio Segment | Residential real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 449,157 | |
Loans receivable | 206,140 | |
Real Estate Portfolio Segment | Commercial real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 1,048,752 | |
Loans receivable | 1,102,771 | |
Consumer and other loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 608,771 | |
Loans receivable | 2,860 | |
Pass | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 2,573,935 | |
Pass | Commercial and industrial loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 304,840 | |
Loans receivable | 152,824 | |
Pass | Construction, land, and land development | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 206,304 | |
Pass | Real Estate Portfolio Segment | Residential real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 448,185 | |
Loans receivable | 206,051 | |
Pass | Real Estate Portfolio Segment | Commercial real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 1,030,650 | |
Loans receivable | 1,082,008 | |
Pass | Consumer and other loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 583,956 | |
Loans receivable | 2,860 | |
Other Loans Especially Mentioned | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 26,201 | |
Other Loans Especially Mentioned | Commercial and industrial loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 7,219 | |
Other Loans Especially Mentioned | Construction, land, and land development | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 7,685 | |
Other Loans Especially Mentioned | Real Estate Portfolio Segment | Residential real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 96 | |
Other Loans Especially Mentioned | Real Estate Portfolio Segment | Commercial real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 11,201 | |
Other Loans Especially Mentioned | Consumer and other loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 0 | |
Sub- Standard | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 33,227 | |
Sub- Standard | Commercial and industrial loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 569 | |
Loans receivable | 63 | |
Sub- Standard | Construction, land, and land development | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 66 | |
Sub- Standard | Real Estate Portfolio Segment | Residential real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 876 | |
Loans receivable | 0 | |
Sub- Standard | Real Estate Portfolio Segment | Commercial real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 6,901 | |
Loans receivable | 7,142 | |
Sub- Standard | Consumer and other loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 24,815 | |
Loans receivable | 0 | |
Doubtful | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 0 | |
Doubtful | Commercial and industrial loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 0 | |
Loans receivable | 0 | |
Doubtful | Construction, land, and land development | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 0 | |
Doubtful | Real Estate Portfolio Segment | Residential real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 0 | |
Loans receivable | 0 | |
Doubtful | Real Estate Portfolio Segment | Commercial real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | 0 | |
Loans receivable | 0 | |
Doubtful | Consumer and other loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Gross loans receivable | $ 0 | |
Loans receivable | 0 | |
Other Loan Especially Mentioned | Commercial and industrial loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Loans receivable | 5,986 | |
Other Loan Especially Mentioned | Real Estate Portfolio Segment | Residential real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Loans receivable | 89 | |
Other Loan Especially Mentioned | Real Estate Portfolio Segment | Commercial real estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Loans receivable | 13,621 | |
Other Loan Especially Mentioned | Consumer and other loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Loans receivable | $ 0 |
Loans and Allowance for Cred_10
Loans and Allowance for Credit Losses - Summary of Allocation of Allowance for Loan Loss as well as Activity in Allowance for Loan Loss Attributed to Various Segments in Loan (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2023 | Mar. 31, 2022 | Jan. 01, 2023 | Dec. 31, 2022 | |
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | $ 74,029 | $ 28,632 | ||
Provision for credit losses or (recapture) | 43,544 | 12,942 | ||
Loans receivable allowance including provision losses or (recapture) | 121,425 | 41,574 | ||
Loans charged-off | (34,167) | (2,808) | ||
Recoveries of loans previously charged-off | 1,865 | 4 | ||
Net (charge-offs) recoveries | (32,302) | (2,804) | ||
Ending ALLL Balance | 89,123 | 38,770 | ||
Allowances | ||||
Individually evaluated for impairment | $ 95 | |||
Collectively evaluated for impairment | 73,934 | |||
ALLL balance, December 31, 2022 | 89,123 | 38,770 | 74,029 | |
Loans | ||||
Loans individually evaluated for impairment | 7,080 | |||
Loans collectively evaluated for impairment | 2,626,283 | |||
Ending Loan Balance | 2,843,779 | 2,633,363 | ||
Accounting Standards Update 2016-13 | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | 3,852 | |||
Allowances | ||||
ALLL balance, December 31, 2022 | $ (310) | 3,852 | ||
Commercial and industrial loans | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | 4,831 | 3,221 | ||
Provision for credit losses or (recapture) | 3,165 | 296 | ||
Loans receivable allowance including provision losses or (recapture) | 9,424 | 3,517 | ||
Loans charged-off | (776) | (5) | ||
Recoveries of loans previously charged-off | 3 | 2 | ||
Net (charge-offs) recoveries | (773) | (3) | ||
Ending ALLL Balance | 8,651 | 3,514 | ||
Allowances | ||||
Individually evaluated for impairment | 95 | |||
Collectively evaluated for impairment | 4,736 | |||
ALLL balance, December 31, 2022 | 8,651 | 3,514 | 4,831 | |
Loans | ||||
Loans individually evaluated for impairment | 113 | |||
Loans collectively evaluated for impairment | 312,515 | |||
Ending Loan Balance | 312,628 | |||
Commercial and industrial loans | Accounting Standards Update 2016-13 | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | 1,428 | |||
Allowances | ||||
ALLL balance, December 31, 2022 | 1,428 | |||
Construction, land, and land development | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | 7,425 | 6,984 | ||
Provision for credit losses or (recapture) | (92) | 608 | ||
Loans receivable allowance including provision losses or (recapture) | 5,744 | 7,592 | ||
Loans charged-off | 0 | 0 | ||
Recoveries of loans previously charged-off | 0 | 0 | ||
Net (charge-offs) recoveries | 0 | 0 | ||
Ending ALLL Balance | 5,744 | 7,592 | ||
Allowances | ||||
Individually evaluated for impairment | 0 | |||
Collectively evaluated for impairment | 7,425 | |||
ALLL balance, December 31, 2022 | 5,744 | 7,592 | 7,425 | |
Loans | ||||
Loans individually evaluated for impairment | 66 | |||
Loans collectively evaluated for impairment | 213,989 | |||
Ending Loan Balance | 214,055 | |||
Construction, land, and land development | Accounting Standards Update 2016-13 | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | (1,589) | |||
Allowances | ||||
ALLL balance, December 31, 2022 | (1,589) | |||
Real Estate Portfolio Segment | Residential real estate | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | 4,142 | 4,598 | ||
Provision for credit losses or (recapture) | 1,958 | 1,160 | ||
Loans receivable allowance including provision losses or (recapture) | 7,723 | 5,758 | ||
Loans charged-off | (737) | 0 | ||
Recoveries of loans previously charged-off | 0 | 0 | ||
Net (charge-offs) recoveries | (737) | 0 | ||
Ending ALLL Balance | 6,986 | 5,758 | ||
Allowances | ||||
Individually evaluated for impairment | 0 | |||
Collectively evaluated for impairment | 4,142 | |||
ALLL balance, December 31, 2022 | 6,986 | 5,758 | 4,142 | |
Loans | ||||
Loans individually evaluated for impairment | 0 | |||
Loans collectively evaluated for impairment | 449,157 | |||
Ending Loan Balance | 449,157 | |||
Real Estate Portfolio Segment | Residential real estate | Accounting Standards Update 2016-13 | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | 1,623 | |||
Allowances | ||||
ALLL balance, December 31, 2022 | 1,623 | |||
Real Estate Portfolio Segment | Commercial real estate | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | 5,470 | 6,590 | ||
Provision for credit losses or (recapture) | 796 | (1,273) | ||
Loans receivable allowance including provision losses or (recapture) | 7,506 | 5,317 | ||
Loans charged-off | 0 | 0 | ||
Recoveries of loans previously charged-off | 0 | 0 | ||
Net (charge-offs) recoveries | 0 | 0 | ||
Ending ALLL Balance | 7,506 | 5,317 | ||
Allowances | ||||
Individually evaluated for impairment | 0 | |||
Collectively evaluated for impairment | 5,470 | |||
ALLL balance, December 31, 2022 | 7,506 | 5,317 | 5,470 | |
Loans | ||||
Loans individually evaluated for impairment | 6,901 | |||
Loans collectively evaluated for impairment | 1,041,851 | |||
Ending Loan Balance | 1,048,752 | |||
Real Estate Portfolio Segment | Commercial real estate | Accounting Standards Update 2016-13 | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | 1,240 | |||
Allowances | ||||
ALLL balance, December 31, 2022 | 1,240 | |||
Consumer and other loans | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | 50,996 | 7,092 | ||
Provision for credit losses or (recapture) | 37,717 | 10,823 | ||
Loans receivable allowance including provision losses or (recapture) | 91,028 | 17,915 | ||
Loans charged-off | (32,654) | (2,803) | ||
Recoveries of loans previously charged-off | 1,862 | 2 | ||
Net (charge-offs) recoveries | (30,792) | (2,801) | ||
Ending ALLL Balance | 60,236 | 15,114 | ||
Allowances | ||||
Individually evaluated for impairment | 0 | |||
Collectively evaluated for impairment | 50,996 | |||
ALLL balance, December 31, 2022 | 60,236 | 15,114 | 50,996 | |
Loans | ||||
Loans individually evaluated for impairment | 0 | |||
Loans collectively evaluated for impairment | 608,771 | |||
Ending Loan Balance | 608,771 | |||
Consumer and other loans | Accounting Standards Update 2016-13 | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | 2,315 | |||
Allowances | ||||
ALLL balance, December 31, 2022 | 2,315 | |||
Unallocated | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | 1,165 | 147 | ||
Provision for credit losses or (recapture) | 0 | 1,328 | ||
Loans receivable allowance including provision losses or (recapture) | 0 | 1,475 | ||
Loans charged-off | 0 | 0 | ||
Recoveries of loans previously charged-off | 0 | 0 | ||
Net (charge-offs) recoveries | 0 | 0 | ||
Ending ALLL Balance | 0 | 1,475 | ||
Allowances | ||||
Individually evaluated for impairment | 0 | |||
Collectively evaluated for impairment | 1,165 | |||
ALLL balance, December 31, 2022 | 0 | $ 1,475 | 1,165 | |
Unallocated | Accounting Standards Update 2016-13 | ||||
Loans And Leases Receivable Disclosure [Line Items] | ||||
ALLL beginning balance | $ (1,165) | |||
Allowances | ||||
ALLL balance, December 31, 2022 | $ (1,165) |
Loans and Allowance for Cred_11
Loans and Allowance for Credit Losses - Summary of Collateral Dependent Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | $ 7,080 | |||
Allowance for loan losses, post-adoption | $ 89,123 | 74,029 | $ 38,770 | $ 28,632 |
Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 6,982 | |||
Allowance for loan losses, post-adoption | 6 | |||
Real Estate | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 6,967 | |||
Business Assets | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 15 | |||
Commercial and industrial loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 113 | |||
Allowance for loan losses, post-adoption | 8,651 | 4,831 | 3,514 | 3,221 |
Commercial and industrial loans | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 15 | |||
Allowance for loan losses, post-adoption | 6 | |||
Commercial and industrial loans | Real Estate | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 0 | |||
Commercial and industrial loans | Business Assets | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 15 | |||
Real Estate Portfolio Segment | Construction, land, and land development | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 66 | |||
Allowance for loan losses, post-adoption | 0 | |||
Real Estate Portfolio Segment | Construction, land, and land development | Real Estate | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 66 | |||
Real Estate Portfolio Segment | Construction, land, and land development | Business Assets | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 0 | |||
Real Estate Portfolio Segment | Residential real estate | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 0 | |||
Allowance for loan losses, post-adoption | 6,986 | 4,142 | 5,758 | 4,598 |
Real Estate Portfolio Segment | Residential real estate | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 0 | |||
Allowance for loan losses, post-adoption | 0 | |||
Real Estate Portfolio Segment | Residential real estate | Real Estate | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 0 | |||
Real Estate Portfolio Segment | Residential real estate | Business Assets | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 0 | |||
Real Estate Portfolio Segment | Commercial real estate | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 6,901 | |||
Allowance for loan losses, post-adoption | 7,506 | $ 5,470 | $ 5,317 | $ 6,590 |
Real Estate Portfolio Segment | Commercial real estate | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 6,901 | |||
Allowance for loan losses, post-adoption | 0 | |||
Real Estate Portfolio Segment | Commercial real estate | Real Estate | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | 6,901 | |||
Real Estate Portfolio Segment | Commercial real estate | Business Assets | Collateral Dependent Loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Loans individually evaluated for impairment | $ 0 |
Loans and Allowance for Cred_12
Loans and Allowance for Credit Losses - Summary of Information Pertaining to Impaired Loans (Details) $ in Thousands | Dec. 31, 2022 USD ($) |
Financing Receivable Impaired [Line Items] | |
Unpaid Contractual Principal Balance | $ 7,092 |
Recorded Investment With No Allowance | 6,967 |
Recorded Investment With Allowance | 113 |
Total Recorded Investment | 7,080 |
Related Allowance | 95 |
Commercial and industrial loans | |
Financing Receivable Impaired [Line Items] | |
Unpaid Contractual Principal Balance | 124 |
Recorded Investment With No Allowance | 0 |
Recorded Investment With Allowance | 113 |
Total Recorded Investment | 113 |
Related Allowance | 95 |
Construction, land, and land development | |
Financing Receivable Impaired [Line Items] | |
Unpaid Contractual Principal Balance | 67 |
Recorded Investment With No Allowance | 66 |
Recorded Investment With Allowance | 0 |
Total Recorded Investment | 66 |
Related Allowance | 0 |
Real Estate Portfolio Segment | Commercial real estate | |
Financing Receivable Impaired [Line Items] | |
Unpaid Contractual Principal Balance | 6,901 |
Recorded Investment With No Allowance | 6,901 |
Recorded Investment With Allowance | 0 |
Total Recorded Investment | 6,901 |
Related Allowance | $ 0 |
Loans and Allowance for Cred_13
Loans and Allowance for Credit Losses - Summary of Average Recorded Investment and Interest Income Recognized on Impaired Loans (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2022 USD ($) | |
Financing Receivable Impaired [Line Items] | |
Average Recorded Investment | $ 203 |
Interest Income Recognized | 0 |
Commercial and industrial loans | |
Financing Receivable Impaired [Line Items] | |
Average Recorded Investment | 148 |
Interest Income Recognized | 0 |
Construction, land, and land development | |
Financing Receivable Impaired [Line Items] | |
Average Recorded Investment | 0 |
Interest Income Recognized | 0 |
Real Estate Portfolio Segment | Residential real estate | |
Financing Receivable Impaired [Line Items] | |
Average Recorded Investment | 55 |
Interest Income Recognized | 0 |
Real Estate Portfolio Segment | Commercial real estate | |
Financing Receivable Impaired [Line Items] | |
Average Recorded Investment | 0 |
Interest Income Recognized | $ 0 |
Deposits - Composition of Conso
Deposits - Composition of Consolidated Deposits (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Deposits [Abstract] | ||
Demand, noninterest bearing | $ 761,800 | $ 775,012 |
NOW and money market | 2,207,121 | 1,804,399 |
Savings | 99,241 | 107,117 |
Total core deposits | 3,068,162 | 2,686,528 |
Brokered deposits | 1 | 101,546 |
Time deposits less than $250,000 | 19,386 | 21,942 |
Time deposits $250,000 and over | 7,674 | 7,505 |
Total deposits | $ 3,095,223 | $ 2,817,521 |
Deposits - Schedule of Maturity
Deposits - Schedule of Maturity Distribution of Time Deposits (Details) $ in Thousands | Mar. 31, 2023 USD ($) |
Time Deposits, Fiscal Year Maturity [Abstract] | |
Twelve months | $ 21,548 |
One to two years | 2,992 |
Two to three years | 1,527 |
Three to four years | 389 |
Four to five years | 547 |
Thereafter | 57 |
Total time deposits | $ 27,060 |
Deposits - Additional Informati
Deposits - Additional Information (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Deposit Liability [Line Items] | ||
Deposits | $ 3,095,223 | $ 2,817,521 |
Reciprocal NOW and Money Market Accounts | ||
Deposit Liability [Line Items] | ||
Deposits | $ 94,300 |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Lessee Lease Description [Line Items] | ||
Weighted average discount rate | 3.45% | |
Operating leases weighted-average remaining lease term | 8 years 1 month 6 days | |
Operating lease rental expense | $ 358 | $ 346 |
Minimum | ||
Lessee Lease Description [Line Items] | ||
Operating leases lease term | 11 months | |
Lessee, operating lease, renewal term | 5 years | |
Maximum | ||
Lessee Lease Description [Line Items] | ||
Operating leases lease term | 21 years 10 months 24 days | |
Lessee, operating lease, renewal term | 10 years |
Leases - Summary of Minimum Ann
Leases - Summary of Minimum Annual Lease Payments under Lease Terms (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | ||
April 1 to December 31, 2023 | $ 987 | |
2024 | 894 | |
2025 | 715 | |
2026 | 719 | |
2027 | 667 | |
2028 and thereafter | 1,823 | |
Total lease payments | 5,805 | |
Less: amounts representing interest | 783 | |
Operating lease liabilities | $ 5,022 | $ 5,234 |
Leases - Summary of Components
Leases - Summary of Components of Total Lease Expense and Operating Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Lease expense: | ||
Operating lease expense | $ 321 | $ 320 |
Variable lease expense | 52 | 41 |
Total lease expense | 373 | 361 |
Cash paid: | ||
Cash paid reducing operating lease liabilities | $ 379 | $ 358 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
May 24, 2021 | Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock options granted in period (in shares) | 0 | |||
Total intrinsic or aggregate value of options exercise price | $ 2,300,000 | $ 1,100,000 | ||
Total unrecognized compensation cost related to nonvested stock options granted | 982,000 | |||
Stock-based compensation | $ 1,050,000 | 539,000 | ||
Stock Option Awards | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized compensation cost related to nonvested stock options/ RSA granted, weighted-average period | 4 years 3 months 18 days | |||
Stock-based compensation | $ 140,000 | 120,000 | ||
Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total unrecognized compensation cost related to nonvested stock options granted | $ 11,200,000 | |||
Unrecognized compensation cost related to nonvested stock options/ RSA granted, weighted-average period | 4 years 4 months 24 days | |||
Stock-based compensation | $ 812,000 | 374,000 | ||
Granted (in shares) | 74,695,000 | |||
Restricted Stock Units (RSUs) | Employees | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted (in shares) | 1,084 | |||
Award vesting period | 5 years | |||
Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock options granted in period (in shares) | 0 | |||
Unrecognized compensation cost related to nonvested stock options/ RSA granted, weighted-average period | 4 years 10 months 24 days | |||
Stock-based compensation | $ 2,000 | $ 2,000 | ||
Total unrecognized compensation cost related to nonvested restricted stock awards | $ 43,000 | |||
2018 Omnibus Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Aggregate shares of common stock authorized (in shares) | 600,000 | |||
Shares available to be granted (in shares) | 452,780 | |||
Stock options granted in period (in shares) | 0 | 0 | ||
2018 Omnibus Incentive Plan | Restricted Stock Units (RSUs) | Employees | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted (in shares) | 73,611 | |||
Award vesting period | 4 years | |||
2018 Omnibus Incentive Plan | Restricted Stock | Director | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Market value of shares grants per year | $ 35,000 | |||
2018 Omnibus Incentive Plan | Restricted Stock | Board Chair | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Market value of shares grants per year | 55,000 | |||
2018 Omnibus Incentive Plan | Restricted Stock | Committee Chairs | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Market value of shares grants per year | $ 2,500 | |||
2006 Plan and the Directors' Stock Bonus Plan (2006 Plan) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Aggregate shares of common stock authorized (in shares) | 0 | |||
Directors Stock Compensation Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized compensation cost related to nonvested stock options/ RSA granted, weighted-average period | 2 months | |||
Directors Stock Compensation Plan | Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation | $ 96,000 | $ 38,000 | ||
Granted (in shares) | 0 | |||
Directors Stock Compensation Plan | Restricted Stock | Director | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total unrecognized compensation cost related to nonvested stock options granted | $ 54,000 | |||
Maximum | 2018 Omnibus Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Aggregate shares of common stock authorized (in shares) | 500,000 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |
Shares | |||
Granted (in shares) | 0 | ||
Weighted- Average Exercise Price | |||
Granted (in dollars per share) | $ 0 | ||
2018 Omnibus Incentive Plan | |||
Shares | |||
Outstanding, beginning of period (in shares) | 438,103 | ||
Granted (in shares) | 0 | 0 | |
Exercised (in shares) | (77,984) | ||
Expired (in shares) | 0 | ||
Forfeited or expired (in shares) | 0 | ||
Outstanding, end of period (in shares) | 360,119 | 438,103 | |
Vested or expected to vest, end of period (in shares) | 360,119 | ||
Exercisable, end of period (in shares) | 174,590 | ||
Weighted- Average Exercise Price | |||
Outstanding, beginning of period (in dollars per share) | $ 8.79 | ||
Exercised (in dollars per share) | 7.38 | ||
Expired (in dollars per share) | 0 | ||
Forfeited or expired (in dollars per share) | 0 | ||
Outstanding, end of period (in dollars per share) | 9.10 | $ 8.79 | |
Vested or expected to vest, end of period (in dollars per share) | 9.10 | ||
Exercisable, end of period (in dollars per share) | $ 8.65 | ||
Additional Disclosures | |||
Weighted average remaining contractual term, outstanding, beginning of period | 4 years 2 months 12 days | 4 years 1 month 6 days | |
Weighted average remaining contractual term, outstanding, beginning of period | 4 years 2 months 12 days | 4 years 1 month 6 days | |
Weighted average remaining contractual term, vested or expected to vest, end of period | 4 years 2 months 12 days | ||
Weighted average remaining contractual term, exercisable, end of period | 3 years 10 months 24 days | ||
Aggregate intrinsic value, outstanding, beginning of period (in dollars) | $ 16,968 | ||
Aggregate intrinsic value, outstanding, end of period (in dollars) | 9,692 | $ 16,968 | |
Aggregate intrinsic value, vested or expected to vest, end of period (in dollars) | 9,692 | ||
Aggregate intrinsic value, exercisable, end of period (in dollars) | $ 4,776 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Nonvested Shares (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Dec. 31, 2022 | |
Restricted Stock Units (RSUs) | ||
Shares | ||
Outstanding, beginning of period (in shares) | 380,151,000 | |
Granted (in shares) | 74,695,000 | |
Forfeited (in shares) | (4,653,000) | |
Vested (in shares) | (42,402,000) | |
Outstanding, end of period (in shares) | 407,791,000 | |
Weighted- Average Grant Date Fair Value | ||
Outstanding, beginning of period (in dollars per share) | $ 28.61 | |
Granted (in dollars per share) | 43.44 | |
Forfeited (in dollars per share) | 38.88 | |
Vested (in dollars per share) | 30.01 | |
Outstanding, end of period (in dollars per share) | $ 31.06 | |
Total or Aggregate intrinsic value, end of period (in dollars) | $ 2,017 | $ 7,187 |
Restricted Stock | Directors Stock Compensation Plan | ||
Shares | ||
Outstanding, beginning of period (in shares) | 13,396,000 | |
Granted (in shares) | 0 | |
Forfeited (in shares) | 0 | |
Vested (in shares) | (500,000) | |
Outstanding, end of period (in shares) | 12,896,000 | |
Weighted- Average Grant Date Fair Value | ||
Outstanding, beginning of period (in dollars per share) | $ 32.94 | |
Granted (in dollars per share) | 0 | |
Forfeited (in dollars per share) | 0 | |
Vested (in dollars per share) | 17.81 | |
Outstanding, end of period (in dollars per share) | $ 33.52 | |
Total or Aggregate intrinsic value, end of period (in dollars) | $ 32 | $ 195 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Carrying Value | ||
Financial assets | ||
Cash and due from banks | $ 37,676 | $ 32,722 |
Interest earning deposits with other banks | 356,240 | 309,417 |
Investment securities | 101,704 | 98,353 |
Other investments | 11,346 | 10,555 |
Loans held for sale | 27,292 | |
Loans receivable | 2,837,204 | 2,627,256 |
Accrued interest receivable | 19,321 | 17,815 |
Financial liabilities | ||
Deposits | 3,095,223 | 2,817,521 |
Subordinated debt | 44,031 | 43,999 |
Junior subordinated debentures | 3,588 | 3,588 |
Accrued interest payable | 874 | 684 |
Estimated Fair Value | ||
Financial assets | ||
Cash and due from banks | 37,676 | 32,722 |
Interest earning deposits with other banks | 356,240 | 309,417 |
Investment securities | 101,596 | 98,233 |
Other investments | 11,346 | 10,555 |
Loans held for sale | 27,292 | |
Loans receivable | 2,791,704 | 2,580,183 |
Accrued interest receivable | 19,321 | 17,815 |
Financial liabilities | ||
Deposits | 3,094,407 | 2,816,602 |
Subordinated debt | 43,674 | 42,743 |
Junior subordinated debentures | 3,480 | 3,484 |
Accrued interest payable | 874 | 684 |
Estimated Fair Value | Level 1 | ||
Financial assets | ||
Cash and due from banks | 37,676 | 32,722 |
Interest earning deposits with other banks | 356,240 | 309,417 |
Investment securities | 97,699 | 97,015 |
Other investments | 0 | 0 |
Loans held for sale | 0 | |
Loans receivable | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Financial liabilities | ||
Deposits | 0 | 0 |
Subordinated debt | 0 | 0 |
Junior subordinated debentures | 0 | 0 |
Accrued interest payable | 0 | 0 |
Estimated Fair Value | Level 2 | ||
Financial assets | ||
Cash and due from banks | 0 | 0 |
Interest earning deposits with other banks | 0 | 0 |
Investment securities | 3,896 | 1,218 |
Other investments | 8,774 | 7,983 |
Loans held for sale | 27,292 | |
Loans receivable | 0 | 0 |
Accrued interest receivable | 19,321 | 17,815 |
Financial liabilities | ||
Deposits | 3,094,407 | 2,816,602 |
Subordinated debt | 43,674 | 42,743 |
Junior subordinated debentures | 3,480 | 3,484 |
Accrued interest payable | 874 | 684 |
Estimated Fair Value | Level 3 | ||
Financial assets | ||
Cash and due from banks | 0 | 0 |
Interest earning deposits with other banks | 0 | 0 |
Investment securities | 0 | 0 |
Other investments | 2,572 | 2,572 |
Loans held for sale | ||
Loans receivable | 2,791,704 | 2,580,183 |
Accrued interest receivable | 0 | 0 |
Financial liabilities | ||
Deposits | 0 | 0 |
Subordinated debt | 0 | 0 |
Junior subordinated debentures | 0 | 0 |
Accrued interest payable | $ 0 | $ 0 |
Fair Value Measurements - Sum_2
Fair Value Measurements - Summary of Assets Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | $ 97,999 | $ 97,317 |
Estimated Fair Value | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 97,999 | 97,317 |
Estimated Fair Value | Recurring | U.S. Treasury securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 97,699 | 97,015 |
Estimated Fair Value | Recurring | U.S. Agency collateralized mortgage obligations | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 50 | 51 |
Estimated Fair Value | Recurring | U.S. Agency residential mortgage-backed securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 1 | |
Estimated Fair Value | Recurring | Municipals | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 250 | 250 |
Estimated Fair Value | Recurring | Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 97,699 | 97,015 |
Estimated Fair Value | Recurring | Level 1 | U.S. Treasury securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 97,699 | 97,015 |
Estimated Fair Value | Recurring | Level 1 | U.S. Agency collateralized mortgage obligations | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Estimated Fair Value | Recurring | Level 1 | U.S. Agency residential mortgage-backed securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Estimated Fair Value | Recurring | Level 1 | Municipals | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Estimated Fair Value | Recurring | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 300 | 302 |
Estimated Fair Value | Recurring | Level 2 | U.S. Treasury securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Estimated Fair Value | Recurring | Level 2 | U.S. Agency collateralized mortgage obligations | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 50 | 51 |
Estimated Fair Value | Recurring | Level 2 | U.S. Agency residential mortgage-backed securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 1 | |
Estimated Fair Value | Recurring | Level 2 | Municipals | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 250 | 250 |
Estimated Fair Value | Recurring | Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Estimated Fair Value | Recurring | Level 3 | U.S. Treasury securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Estimated Fair Value | Recurring | Level 3 | U.S. Agency collateralized mortgage obligations | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Estimated Fair Value | Recurring | Level 3 | U.S. Agency residential mortgage-backed securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Estimated Fair Value | Recurring | Level 3 | Municipals | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value | $ 0 | $ 0 |
Fair Value Measurements - Sum_3
Fair Value Measurements - Summary of Financial Assets and Liabilities Measured at Fair Value on Nonrecurring Basis (Details) - Nonrecurring - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | $ 2,572 | $ 9,652 |
Impaired loans | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | 7,080 | |
Equity securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | 2,572 | 2,572 |
Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | 0 | 0 |
Level 1 | Impaired loans | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | 0 | |
Level 1 | Equity securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | 0 | 0 |
Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | 0 | 0 |
Level 2 | Impaired loans | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | 0 | |
Level 2 | Equity securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | 0 | 0 |
Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | 2,572 | 9,652 |
Level 3 | Impaired loans | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | 7,080 | |
Level 3 | Equity securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total Fair Value | $ 2,572 | $ 2,572 |
Fair Value Measurements - Sum_4
Fair Value Measurements - Summary of Carrying Value of Equity Securities Without Readily Determinable Fair Values (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Purchases | $ 0 | $ 350 |
Level 3 | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Carrying value, beginning of period | 2,572 | 2,322 |
Observable price change | 0 | 0 |
Carrying value, end of period | $ 2,572 | $ 2,672 |
Fair Value Measurements - Sum_5
Fair Value Measurements - Summary of Assets and Liabilities Classified as Level 3 and Measured at Fair Value on Nonrecurring Basis (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Level 3 | Measurement Input, Discount Rate | Valuation, Market Approach | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |
Impaired loans, measurement input | 8% |
Earnings Per Common Share - Sch
Earnings Per Common Share - Schedule of Computation of Basic and Diluted Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Net Income (Loss) Available to Common Stockholders, Diluted [Abstract] | ||
Net Income | $ 12,391 | $ 6,230 |
Basic weighted average number common shares outstanding (in shares) | 13,196,960 | 12,898,746 |
Dilutive effect of equity-based awards (in shares) | 412,531 | 576,591 |
Diluted weighted average number common shares outstanding (in shares) | 13,609,491 | 13,475,337 |
Basic earnings per share (in usd per share) | $ 0.94 | $ 0.48 |
Diluted earnings per share (in usd per share) | $ 0.91 | $ 0.46 |
Stock Options and Restricted Stock | ||
Net Income (Loss) Available to Common Stockholders, Diluted [Abstract] | ||
Antidilutive stock options and restricted stock outstanding (in shares) | 124,714 | 154,871 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2023 segment location partner | |
Segment Reporting Information [Line Items] | |
Number of operating segments | segment | 3 |
Number of reportable segments | segment | 3 |
Number of Full-Service Banking Locations | 14 |
CCBX | |
Segment Reporting Information [Line Items] | |
Number of Partners | partner | 25 |
Snohomish County | |
Segment Reporting Information [Line Items] | |
Number of Full-Service Banking Locations | 12 |
King County | |
Segment Reporting Information [Line Items] | |
Number of Full-Service Banking Locations | 1 |
Island County | |
Segment Reporting Information [Line Items] | |
Number of Full-Service Banking Locations | 1 |
Segment Reporting - Summary of
Segment Reporting - Summary of Financial Information of Reportable Segments and Reconciliation to Consolidated Financial Results (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
ASSETS | ||||
Cash and Due from Banks | $ 37,676 | $ 32,722 | ||
Loans held for sale | 27,292 | 0 | ||
Total loans receivable, post-adoption | 2,837,204 | 2,627,256 | ||
Total loans receivable, pre-adoption | 2,627,256 | |||
Allowance for loan losses, post-adoption | (89,123) | $ (38,770) | (74,029) | $ (28,632) |
Allowance for loan losses, pre-adoption | (74,029) | |||
Other assets | 3,167 | 4,229 | ||
Total assets | 3,451,033 | 3,144,467 | ||
LIABILITIES | ||||
Deposits | 3,095,223 | 2,817,521 | ||
Other liabilities | 12,156 | 8,912 | ||
Total liabilities | 3,192,270 | 2,900,973 | ||
Net interest income, before intrabank transfer | 54,491 | 29,268 | ||
Provision for loan losses, post-adoption | 43,544 | 12,942 | ||
Provision for loan losses, pre-adoption | 12,942 | |||
Provision for unfunded commitments | 153 | |||
Noninterest income | 49,307 | 21,986 | ||
Noninterest expense | 44,663 | 30,415 | ||
Net income before income taxes | 15,438 | 7,897 | ||
Income taxes | 3,047 | 1,667 | ||
NET INCOME | 12,391 | 6,230 | ||
CCBX | Credit Enhancements | ||||
LIABILITIES | ||||
Revenue not from contracts with customer | 42,400 | 13,100 | ||
CCBX | Fraud Enhancements | ||||
LIABILITIES | ||||
Revenue not from contracts with customer | 2,000 | 4,600 | ||
CCBX | BaaS Program Income | ||||
LIABILITIES | ||||
Revenue from contract with customer | 3,600 | 2,500 | ||
Operating Segments | ||||
ASSETS | ||||
Cash and Due from Banks | 393,916 | 342,139 | ||
Intrabank assets | 0 | 0 | ||
Securities | 101,704 | 98,353 | ||
Loans held for sale | 27,292 | |||
Total loans receivable, post-adoption | 2,837,204 | |||
Total loans receivable, pre-adoption | 2,627,256 | |||
Allowance for loan losses, post-adoption | (89,123) | |||
Allowance for loan losses, pre-adoption | (74,029) | |||
Other assets | 180,040 | 150,748 | ||
Total assets | 3,451,033 | 3,144,467 | ||
LIABILITIES | ||||
Deposits | 3,095,223 | 2,817,521 | ||
Other Borrowings | 47,619 | 47,587 | ||
Intrabank liabilities | 0 | 0 | ||
Other liabilities | 49,428 | 35,865 | ||
Total liabilities | 3,192,270 | 2,900,973 | ||
Net interest income, before intrabank transfer | 54,491 | 29,268 | ||
Interest income (expense) intrabank transfer | 0 | 0 | ||
Provision for loan losses, post-adoption | 43,544 | |||
Provision for loan losses, pre-adoption | 12,942 | |||
Provision for unfunded commitments | 153 | 0 | ||
Noninterest income | 49,307 | 21,986 | ||
Noninterest expense | 44,663 | 30,415 | ||
Net income before income taxes | 15,438 | 7,897 | ||
Income taxes | 3,047 | 1,667 | ||
NET INCOME | 12,391 | 6,230 | ||
Operating Segments | Community Bank | ||||
ASSETS | ||||
Cash and Due from Banks | 4,485 | 4,603 | ||
Intrabank assets | 0 | 0 | ||
Securities | 0 | 0 | ||
Loans held for sale | 0 | |||
Total loans receivable, post-adoption | 1,671,014 | |||
Total loans receivable, pre-adoption | 1,614,752 | |||
Allowance for loan losses, post-adoption | (20,708) | |||
Allowance for loan losses, pre-adoption | (20,636) | |||
Other assets | 25,652 | 25,508 | ||
Total assets | 1,680,443 | 1,624,227 | ||
LIABILITIES | ||||
Deposits | 1,531,391 | 1,538,218 | ||
Other Borrowings | 0 | 0 | ||
Intrabank liabilities | 143,279 | 80,392 | ||
Other liabilities | 5,773 | 5,617 | ||
Total liabilities | 1,680,443 | 1,624,227 | ||
Net interest income, before intrabank transfer | 21,677 | 17,205 | ||
Interest income (expense) intrabank transfer | (1,079) | 128 | ||
Provision for loan losses, post-adoption | 428 | |||
Provision for loan losses, pre-adoption | 344 | |||
Provision for unfunded commitments | 137 | 0 | ||
Noninterest income | 1,090 | 1,556 | ||
Noninterest expense | 9,092 | 7,646 | ||
Net income before income taxes | 12,031 | 10,899 | ||
Income taxes | 2,375 | 2,301 | ||
NET INCOME | 9,656 | 8,598 | ||
Operating Segments | CCBX | ||||
ASSETS | ||||
Cash and Due from Banks | 12,223 | 12,899 | ||
Intrabank assets | 356,905 | 254,096 | ||
Securities | 0 | 0 | ||
Loans held for sale | 27,292 | |||
Total loans receivable, post-adoption | 1,166,190 | |||
Total loans receivable, pre-adoption | 1,012,504 | |||
Allowance for loan losses, post-adoption | (68,415) | |||
Allowance for loan losses, pre-adoption | (53,393) | |||
Other assets | 103,403 | 76,111 | ||
Total assets | 1,597,598 | 1,302,217 | ||
LIABILITIES | ||||
Deposits | 1,563,832 | 1,279,303 | ||
Other Borrowings | 0 | 0 | ||
Intrabank liabilities | 0 | 0 | ||
Other liabilities | 33,766 | 22,914 | ||
Total liabilities | 1,597,598 | 1,302,217 | ||
Net interest income, before intrabank transfer | 29,796 | 11,874 | ||
Interest income (expense) intrabank transfer | 2,652 | 198 | ||
Provision for loan losses, post-adoption | 43,116 | |||
Provision for loan losses, pre-adoption | 12,598 | |||
Provision for unfunded commitments | 16 | 0 | ||
Noninterest income | 48,080 | 20,343 | ||
Noninterest expense | 28,439 | 18,407 | ||
Net income before income taxes | 8,957 | 1,410 | ||
Income taxes | 1,768 | 297 | ||
NET INCOME | 7,189 | 1,113 | ||
Operating Segments | Treasury & Administration | ||||
ASSETS | ||||
Cash and Due from Banks | 377,208 | 324,637 | ||
Intrabank assets | (356,905) | (254,096) | ||
Securities | 101,704 | 98,353 | ||
Loans held for sale | 0 | |||
Total loans receivable, post-adoption | 0 | |||
Total loans receivable, pre-adoption | 0 | |||
Allowance for loan losses, post-adoption | 0 | |||
Allowance for loan losses, pre-adoption | 0 | |||
Other assets | 50,985 | 49,129 | ||
Total assets | 172,992 | 218,023 | ||
LIABILITIES | ||||
Deposits | 0 | 0 | ||
Other Borrowings | 47,619 | 47,587 | ||
Intrabank liabilities | (143,279) | (80,392) | ||
Other liabilities | 9,889 | 7,334 | ||
Total liabilities | (85,771) | $ (25,471) | ||
Net interest income, before intrabank transfer | 3,018 | 189 | ||
Interest income (expense) intrabank transfer | (1,573) | (326) | ||
Provision for loan losses, post-adoption | 0 | |||
Provision for loan losses, pre-adoption | 0 | |||
Provision for unfunded commitments | 0 | 0 | ||
Noninterest income | 137 | 87 | ||
Noninterest expense | 7,132 | 4,362 | ||
Net income before income taxes | (5,550) | (4,412) | ||
Income taxes | (1,096) | (931) | ||
NET INCOME | $ (4,454) | $ (3,481) |