Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2023 | Oct. 29, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-36682 | |
Entity Registrant Name | VERITEX HOLDINGS, INC. | |
Entity Incorporation, State or Country Code | TX | |
Entity Tax Identification Number | 27-0973566 | |
Entity Address, Address Line One | 8214 Westchester Drive, Suite 800 | |
Entity Address, City or Town | Dallas, | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 75225 | |
City Area Code | (972) | |
Local Phone Number | 349-6200 | |
Title of 12(b) Security | Common Stock, par value $0.01 | |
Trading Symbol | VBTX | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 54,322,428 | |
Entity Central Index Key | 0001501570 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
ASSETS | ||
Cash and due from banks | $ 53,702 | $ 60,551 |
Interest bearing deposits in other banks | 659,706 | 375,526 |
Total cash and cash equivalents | 713,408 | 436,077 |
Debt securities available-for-sale (“AFS”), at fair value | 879,083 | 1,096,292 |
Debt securities held-to-maturity (“HTM”) (fair value of $147,836 and $158,781, at September 30, 2023 and December 31, 2022, respectively) | 181,546 | 186,168 |
Equity securities | 20,713 | 19,864 |
Investment in unconsolidated subsidiaries | 1,018 | 1,018 |
Federal Home Loan Bank of Dallas (“FHLB”) Stock and Federal Reserve Bank (“FRB”) Stock | 59,138 | 101,568 |
Total investments | 1,141,498 | 1,404,910 |
Loans held for sale (“LHFS”) | 41,313 | 20,641 |
Loans held for investment (“LHI”), mortgage warehouse (“MW”) | 390,767 | 446,227 |
LHI, excluding MW | 9,237,447 | 9,036,424 |
Less: Allowance for credit losses (“ACL”) | (109,831) | (91,052) |
Total LHI, net | 9,518,383 | 9,391,599 |
Bank-owned life insurance (“BOLI”) | 84,867 | 84,496 |
Premises and equipment, net | 106,118 | 108,824 |
Intangible assets, net of accumulated amortization | 44,294 | 53,213 |
Goodwill | 404,452 | 404,452 |
Other assets | 291,998 | 250,149 |
Total assets | 12,346,331 | 12,154,361 |
Deposits: | ||
Noninterest-bearing deposits | 2,363,340 | 2,640,617 |
Interest-bearing transaction and savings deposits | 3,936,070 | 3,514,729 |
Certificates and other time deposits | 3,403,427 | 2,086,642 |
Correspondent money market deposits | 493,681 | 881,246 |
Total deposits | 10,196,518 | 9,123,234 |
Accounts payable and other liabilities | 229,116 | 177,579 |
Advances from FHLB | 200,000 | 1,175,000 |
Subordinated debentures and subordinated notes | 229,531 | 228,775 |
Total liabilities | 10,855,165 | 10,704,588 |
Stockholders’ equity: | ||
Common stock, $0.01 par value: Authorized shares - 75,000,000 Issued shares - 60,942,883 and 60,668,049 at September 30, 2023 and December 31, 2022, respectively | 609 | 607 |
Additional paid-in capital (“APIC”) | 1,314,459 | 1,306,852 |
Retained earnings | 451,513 | 379,299 |
Accumulated other comprehensive loss (“AOCI”) | (107,833) | (69,403) |
Treasury stock, 6,638,094 and 6,638,094 shares at cost at September 30, 2023 and December 31, 2022, respectively | (167,582) | (167,582) |
Total stockholders’ equity | 1,491,166 | 1,449,773 |
Total liabilities and stockholders’ equity | $ 12,346,331 | $ 12,154,361 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Held-to-maturity debt securities, fair value | $ 147,836 | $ 158,781 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 75,000,000 | 75,000,000 |
Common stock, shares issued (in shares) | 60,942,883 | 60,668,049 |
Treasury stock (in shares) | 6,638,094 | 6,638,094 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
INTEREST AND DIVIDEND INCOME | ||||
Interest and fees on loans | $ 167,368 | $ 109,199 | $ 482,802 | $ 262,833 |
Debt securities | 10,928 | 10,462 | 32,082 | 27,856 |
Deposits in financial institutions and Fed Funds sold | 7,128 | 1,898 | 20,169 | 2,874 |
Equity securities and other investments | 1,691 | 1,666 | 4,217 | 3,633 |
Total interest and dividend income | 187,115 | 123,225 | 539,270 | 297,196 |
INTEREST EXPENSE | ||||
Transaction and savings deposits | 39,936 | 12,897 | 102,750 | 18,742 |
Certificates and other time deposits | 36,177 | 3,919 | 85,244 | 6,764 |
Advances from FHLB | 8,523 | 2,543 | 38,443 | 4,924 |
Subordinated debentures and subordinated notes | 3,118 | 2,826 | 9,252 | 8,206 |
Total interest expense | 87,754 | 22,185 | 235,689 | 38,636 |
NET INTEREST INCOME | 99,361 | 101,040 | 303,581 | 258,560 |
Provision for credit losses | 8,627 | 6,650 | 33,012 | 15,150 |
(Benefit) provision for credit losses on unfunded commitments | (909) | 850 | (541) | 1,343 |
Net interest income after provision (benefit) for credit losses | 91,643 | 93,540 | 271,110 | 242,067 |
NONINTEREST INCOME | ||||
Service charges and fees on deposit accounts | 5,159 | 5,217 | 15,448 | 14,966 |
Loan fees | 1,564 | 2,786 | 5,148 | 7,965 |
Loss on sales of debt securities | 0 | 0 | (5,321) | 0 |
Gain on sale of mortgage LHFS | 21 | 16 | 67 | 546 |
Government guaranteed loan income, net | 1,772 | 572 | 15,604 | 6,252 |
Equity method investment (loss) income | (136) | (1,058) | (1,172) | 275 |
Customer swap income | 202 | 3,358 | 1,380 | 5,625 |
Other | 1,092 | 2,130 | 5,743 | 2,867 |
Total noninterest income | 9,674 | 13,021 | 36,897 | 38,496 |
NONINTEREST EXPENSE | ||||
Salaries and employee benefits | 30,949 | 29,714 | 91,464 | 84,151 |
Occupancy and equipment | 4,881 | 4,615 | 14,681 | 13,628 |
Professional and regulatory fees | 7,283 | 3,718 | 18,540 | 9,741 |
Data processing and software expense | 4,541 | 3,509 | 13,970 | 9,816 |
Marketing | 2,353 | 1,845 | 6,759 | 5,338 |
Amortization of intangibles | 2,437 | 2,494 | 7,400 | 7,484 |
Telephone and communications | 362 | 389 | 1,195 | 1,126 |
Merger and acquisition (“M&A”) expense | 0 | 384 | 0 | 1,379 |
Other | 6,608 | 4,323 | 19,217 | 13,053 |
Total noninterest expense | 59,414 | 50,991 | 173,226 | 145,716 |
Income before income tax expense | 41,903 | 55,570 | 134,781 | 134,847 |
Income tax expense | 9,282 | 12,248 | 30,019 | 28,429 |
NET INCOME | $ 32,621 | $ 43,322 | $ 104,762 | $ 106,418 |
Basic earnings per share (“EPS”) (in dollars per share) | $ 0.60 | $ 0.80 | $ 1.93 | $ 2.01 |
Diluted EPS (in dollars per share) | $ 0.60 | $ 0.79 | $ 1.92 | $ 1.98 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
NET INCOME | $ 32,621 | $ 43,322 | $ 104,762 | $ 106,418 |
Net unrealized (losses) gains on debt securities AFS: | ||||
Change in net unrealized loss on debt securities AFS during the period, net | (19,068) | (48,572) | (38,496) | (137,022) |
(Accretion) amortization from transfer of debt securities from AFS to HTM | (168) | (154) | 3,289 | 3,950 |
Reclassification adjustment for net losses included in net income | 0 | 0 | 5,321 | 0 |
Net unrealized loss on debt securities AFS | (19,236) | (48,726) | (29,886) | (133,072) |
Net unrealized loss on derivative instruments designated as cash flow hedges | (11,917) | (18,416) | (19,872) | (43,370) |
Other comprehensive loss, before tax | (31,153) | (67,142) | (49,758) | (176,442) |
Income tax benefit | (6,507) | (14,067) | (11,328) | (37,881) |
Other comprehensive loss, net of tax | (24,646) | (53,075) | (38,430) | (138,561) |
COMPREHENSIVE INCOME (LOSS) | $ 7,975 | $ (9,753) | $ 66,332 | $ (32,143) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock | Treasury Stock | APIC | Retained Earnings | AOCI |
Beginning balance (in shares) at Dec. 31, 2021 | 49,372,329 | |||||
Beginning balance at Dec. 31, 2021 | $ 1,315,079 | $ 560 | $ (167,582) | $ 1,142,758 | $ 275,273 | $ 64,070 |
Beginning balance (in shares) at Dec. 31, 2021 | 6,638,094 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||
Restricted stock units (“RSU”) vested, net of shares withheld to cover taxes (in shares) | 227,619 | |||||
Restricted stock units (“RSU”) vested, net of shares withheld to cover taxes | (3,066) | $ 2 | (3,068) | |||
Exercise of employee stock options (in shares) | 69,469 | |||||
Exercise of employee stock options | 579 | $ 1 | 578 | |||
Common stock follow-on offering (in shares) | 4,314,474 | |||||
Common stock follow-on offering | 153,869 | $ 43 | 153,826 | |||
Stock based compensation | 9,077 | 9,077 | ||||
Net income | 106,418 | 106,418 | ||||
Dividends paid | (31,496) | (31,496) | ||||
Other comprehensive loss | (138,561) | (138,561) | ||||
Ending balance (in shares) at Sep. 30, 2022 | 53,983,891 | |||||
Ending balance at Sep. 30, 2022 | 1,411,899 | $ 606 | $ (167,582) | 1,303,171 | 350,195 | (74,491) |
Ending balance (in shares) at Sep. 30, 2022 | 6,638,094 | |||||
Beginning balance (in shares) at Jun. 30, 2022 | 53,951,037 | |||||
Beginning balance at Jun. 30, 2022 | 1,429,442 | $ 606 | $ (167,582) | 1,300,170 | 317,664 | (21,416) |
Beginning balance (in shares) at Jun. 30, 2022 | 6,638,094 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||
Restricted stock units (“RSU”) vested, net of shares withheld to cover taxes (in shares) | 26,933 | |||||
Restricted stock units (“RSU”) vested, net of shares withheld to cover taxes | (74) | (74) | ||||
Exercise of employee stock options (in shares) | 5,921 | |||||
Exercise of employee stock options | (40) | (40) | ||||
Stock based compensation | 3,115 | 3,115 | ||||
Net income | 43,322 | 43,322 | ||||
Dividends paid | (10,791) | (10,791) | ||||
Other comprehensive loss | (53,075) | (53,075) | ||||
Ending balance (in shares) at Sep. 30, 2022 | 53,983,891 | |||||
Ending balance at Sep. 30, 2022 | 1,411,899 | $ 606 | $ (167,582) | 1,303,171 | 350,195 | (74,491) |
Ending balance (in shares) at Sep. 30, 2022 | 6,638,094 | |||||
Beginning balance (in shares) at Dec. 31, 2022 | 54,029,955 | |||||
Beginning balance at Dec. 31, 2022 | $ 1,449,773 | $ 607 | $ (167,582) | 1,306,852 | 379,299 | (69,403) |
Beginning balance (in shares) at Dec. 31, 2022 | 6,638,094 | 6,638,094 | ||||
Increase (Decrease) in Stockholders' Equity | ||||||
Restricted stock units (“RSU”) vested, net of shares withheld to cover taxes (in shares) | 220,755 | |||||
Restricted stock units (“RSU”) vested, net of shares withheld to cover taxes | $ (2,208) | $ 2 | (2,210) | |||
Exercise of employee stock options (in shares) | 54,079 | |||||
Exercise of employee stock options | 803 | 803 | ||||
Stock based compensation | 9,014 | 9,014 | ||||
Net income | 104,762 | 104,762 | ||||
Dividends paid | (32,548) | (32,548) | ||||
Other comprehensive loss | (38,430) | (38,430) | ||||
Ending balance (in shares) at Sep. 30, 2023 | 54,304,789 | |||||
Ending balance at Sep. 30, 2023 | $ 1,491,166 | $ 609 | $ (167,582) | 1,314,459 | 451,513 | (107,833) |
Ending balance (in shares) at Sep. 30, 2023 | 6,638,094 | 6,638,094 | ||||
Beginning balance (in shares) at Jun. 30, 2023 | 54,260,792 | |||||
Beginning balance at Jun. 30, 2023 | $ 1,491,280 | $ 609 | $ (167,582) | 1,311,687 | 429,753 | (83,187) |
Beginning balance (in shares) at Jun. 30, 2023 | 6,638,094 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||
Restricted stock units (“RSU”) vested, net of shares withheld to cover taxes (in shares) | 41,249 | |||||
Restricted stock units (“RSU”) vested, net of shares withheld to cover taxes | (226) | (226) | ||||
Exercise of employee stock options (in shares) | 2,748 | |||||
Exercise of employee stock options | 38 | 38 | ||||
Stock based compensation | 2,960 | 2,960 | ||||
Net income | 32,621 | 32,621 | ||||
Dividends paid | (10,861) | (10,861) | ||||
Other comprehensive loss | (24,646) | (24,646) | ||||
Ending balance (in shares) at Sep. 30, 2023 | 54,304,789 | |||||
Ending balance at Sep. 30, 2023 | $ 1,491,166 | $ 609 | $ (167,582) | $ 1,314,459 | $ 451,513 | $ (107,833) |
Ending balance (in shares) at Sep. 30, 2023 | 6,638,094 | 6,638,094 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Stockholders' Equity (Unaudited) (Parenthetical) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Restricted Stock Units | ||||
Shares withheld to cover tax withholdings (in shares) | 12,354 | 1,829 | 86,779 | 73,463 |
Employee Stock Options | ||||
Shares withheld to cover tax withholdings (in shares) | 9,729 | 28,064 | ||
Shares withheld to cover exercise price (in shares) | 121 | 6,905 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash flows from operating activities: | ||
Net income | $ 104,762,000 | $ 106,418,000 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization of fixed assets and intangibles | 14,899,000 | 14,001,000 |
Net amortization of time deposit premium, debt discount and debt issuance costs | 722,000 | 735,000 |
Provision for credit losses and unfunded commitments | 32,471,000 | 16,493,000 |
Accretion of loan discount | (2,884,000) | (3,953,000) |
Stock-based compensation expense | 9,014,000 | 9,077,000 |
Excess tax expense (benefit) from stock compensation | 259,000 | (1,082,000) |
Net amortization of premiums on debt securities | 1,925,000 | 3,210,000 |
Unrealized loss on equity securities recognized in earnings | 335,000 | 1,299,000 |
Change in cash surrender value and mortality rates of BOLI | (371,000) | (836,000) |
Loss on sales of debt securities | 5,321,000 | 0 |
Change in fair value of government guaranteed loans using fair value option | (2,006,000) | (644,000) |
Gain on sales of mortgage LHFS | (67,000) | (546,000) |
Gain on sales of government guaranteed loans | (13,593,000) | (5,608,000) |
Servicing asset (recoveries) impairment, net | (407,000) | 1,332,000 |
Originations of LHFS | (52,629,000) | (46,831,000) |
Proceeds from sales of LHFS | 37,138,000 | 57,227,000 |
Equity method investment loss (income) | 1,172,000 | (275,000) |
Increase in other assets | (34,572,000) | (42,425,000) |
Increase in accounts payable and other liabilities | 36,579,000 | 41,796,000 |
Net cash provided by operating activities | 138,068,000 | 149,388,000 |
Cash flows from investing activities: | ||
Purchases of AFS debt securities | (439,633,000) | (452,599,000) |
Proceeds from sales of AFS debt securities | 109,793,000 | 0 |
Proceeds from maturities, calls and pay downs of AFS debt securities | 511,343,000 | 80,183,000 |
Purchases of HTM debt securities | 0 | (17,460,000) |
Maturity, calls and paydowns of HTM debt securities | 3,196,000 | 3,083,000 |
Proceeds (purchases) of other investments | 41,246,000 | (28,547,000) |
Sales of securities under agreements to resell | 0 | 102,288,000 |
Net loans originated | (232,978,000) | (1,688,254,000) |
Proceeds from sale of government guaranteed loans | 82,950,000 | 33,764,000 |
Net disposals to premises and equipment | (1,019,000) | (3,231,000) |
Net cash provided by (used in) investing activities | 74,898,000 | (1,970,773,000) |
Cash flows from financing activities: | ||
Net increase in deposits | 1,073,318,000 | 1,384,854,000 |
Net (decrease) increase in advances from FHLB | (975,000,000) | 372,438,000 |
Net change in securities sold under agreement to repurchase | 0 | (1,680,000) |
Net proceeds on sale of common stock in public offering | 0 | 153,869,000 |
Payments to tax authorities for stock-based compensation | (2,208,000) | (3,066,000) |
Proceeds from exercise of employee stock options | 803,000 | 579,000 |
Dividends paid | (32,548,000) | (31,496,000) |
Net cash provided by financing activities | 64,365,000 | 1,875,498,000 |
Net increase in cash and cash equivalents | 277,331,000 | 54,113,000 |
Cash and cash equivalents at beginning of period | 436,077,000 | 379,784,000 |
Cash and cash equivalents at end of period | $ 713,408,000 | $ 433,897,000 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Nature of Organization In this report, the words “Veritex,” “the Company,” “we,” “us,” and “our” refer to the combined entities of Veritex Holdings, Inc. and its subsidiaries, including Veritex Community Bank. The word “Holdco” refers to Veritex Holdings, Inc. The word “the Bank” refers to Veritex Community Bank. Veritex is a Texas state banking organization, with corporate offices in Dallas, Texas, and currently operates 18 branches located in the Dallas-Fort Worth metroplex and 11 branches in the Houston metropolitan area. The Bank provides a full range of banking services, including commercial and retail lending and the acceptance of checking and savings deposits, to individual and corporate customers. The Texas Department of Banking and the Board of Governors of the Federal Reserve System (the “Federal Reserve”) are the primary regulators of the Company and the Bank, and both regulatory agencies perform periodic examinations to ensure regulatory compliance. Basis of Presentation The accompanying unaudited consolidated financial statements include the accounts of Veritex Holdings, Inc. and its subsidiaries, including Veritex Community Bank. The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”), but do not include all of the information and footnotes required for complete financial statements. Intercompany transactions and balances are eliminated in consolidation. In management’s opinion, these unaudited consolidated financial statements include all adjustments of a normal recurring nature necessary for a fair statement of the Company’s consolidated balance sheets at September 30, 2023 and December 31, 2022, consolidated statements of income, consolidated statements of comprehensive income (loss) and consolidated changes in stockholders’ equity for the three and nine months ended September 30, 2023 and 2022 and consolidated statements of cash flows for the nine months ended September 30, 2023 and 2022. Accounting measurements at interim dates inherently involve greater reliance on estimates than at year end and the results for the interim periods shown herein are not necessarily indicative of results to be expected for the full year due in part to global economic and financial market conditions, interest rates, access to sources of liquidity, market competition and interruptions of business processes. These unaudited consolidated financial statements have been prepared in accordance with GAAP for interim financial information and the instructions to Quarterly Reports on Form 10-Q adopted by the Securities and Exchange Commission (“SEC”). These unaudited consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the year ended December 31, 2022 included in the Company’s Annual Report on Form 10-K, as filed with the SEC on February 28, 2023. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. These estimates and assumptions may also affect 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. Actual results could differ from these estimates. EPS EPS is based upon the weighted average shares outstanding. The table below sets forth the reconciliation between weighted average shares used for calculating basic and diluted EPS for the three and nine months ended September 30, 2023 and 2022: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Numerator: Net income $ 32,621 $ 43,322 $ 104,762 $ 106,418 Denominator: Weighted average shares outstanding for basic EPS 54,300 53,979 54,233 52,886 Dilutive effect of employee stock-based awards 297 654 330 769 Adjusted weighted average shares outstanding 54,597 54,633 54,563 53,655 EPS: Basic $ 0.60 $ 0.80 $ 1.93 $ 2.01 Diluted $ 0.60 $ 0.79 $ 1.92 $ 1.98 For the three months ended September 30, 2023, there were 1.3 million antidilutive shares excluded from the diluted EPS weighted average shares outstanding, 671 thousand relating to RSUs and 668 thousand relating to stock options. For the nine months ended September 30, 2023, there were 1.3 million antidilutive shares excluded from the diluted EPS weighed average shares outstanding, 645 thousand related to RSUs and 669 thousand relating to stock options. For the three months ended September 30, 2022, there were 654 thousand antidilutive shares excluded from the diluted EPS weighted average shares outstanding 440 thousand related to RSUs and 214 thousand related to stock options. For the nine months ended September 30, 2022, there were 767 thousand antidilutive shares excluded from the diluted EPS weighed average shares outstanding, 311 thousand related to RSUs and 456 thousand relating to stock options. Goodwill Goodwill resulting from a business combination represents the excess of the fair value of the consideration transferred over the fair value of the net assets acquired and liabilities assumed as of the acquisition date. Goodwill is not amortized but is reviewed for potential impairment annually on October 31 of each fiscal year or when a triggering event occurs. The Company may first assess qualitative factors to determine whether it is more likely than not (that is, a likelihood of more than 50%) that the fair value of a reporting unit is less than its carrying amount, including goodwill. The Company has an unconditional option to bypass the qualitative assessment for any reporting unit in any period and proceed directly to performing the quantitative goodwill impairment test, and the Company may resume performing the qualitative assessment in any subsequent period. If the Company determines that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, then the Company proceeds to perform the quantitative goodwill impairment test. The quantitative goodwill impairment test, used to identify both the existence of potential impairment and the amount of impairment loss, compares the fair value of a reporting unit with its carrying amount, including goodwill. If the carrying amount of a reporting unit exceeds its fair value, an impairment loss shall be recognized in an amount equal to that excess, limited to the total amount of goodwill allocated to that reporting unit. Any such adjustments to goodwill are reflected in the results of operations in the periods in which they become known. During the second quarter of 2023, the Company observed a sustained decline in the market valuation of the Company’s common stock as a result of significant volatility in the banking industry with multiple high-profile bank failures and industry wide concerns related to liquidity, deposit outflows, unrealized securities losses and eroding consumer confidence in the banking system. As a result, the Company performed an interim quantitative impairment test with a trigger date of May 31, 2023. The Company determined the fair value of its reporting unit using a combination of a market and an income approach. Upon completion of the quantitative evaluation, the Company determined that the fair value of the Company's reporting unit exceeded its related carrying value, and therefore goodwill was not impaired. During the third quarter of 2023, the Company evaluated current conditions and concluded there have been no significant changes in the economic environment or projections, and no decline in fair value during the quarter. However, changing economic conditions that may adversely affect the Company's performance, the fair value of its assets and liabilities, or its stock price could result in future impairment, which could adversely affect earnings in future periods. Management will continue to monitor events that could impact this conclusion in the future. |
Supplemental Statement of Cash
Supplemental Statement of Cash Flows | 9 Months Ended |
Sep. 30, 2023 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Statement of Cash Flows | Supplemental Statement of Cash Flows Other supplemental cash flow information is presented below: Nine Months Ended September 30, 2023 2022 (in thousands) Supplemental Disclosures of Cash Flow Information: Cash paid for interest $ 208,668 $ 34,647 Cash paid for income taxes 38,893 26,000 Supplemental Disclosures of Non-Cash Flow Information: Transfer of AFS debt securities to HTM debt securities — 117,001 Net foreclosure of OREO and repossessed assets — 1,032 Noncash assets acquired in business combination 1 LHI — (681) Goodwill — 681 1 Represents adjustments to provisional estimates recorded during the nine months ended September 30, 2022 for the acquisition of North Avenue Capital, LLC. |
Securities
Securities | 9 Months Ended |
Sep. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Securities Equity Securities With a Readily Determinable Fair Value The Company held equity securities with a fair value of $9,457 and $9,792 at September 30, 2023 and December 31, 2022, respectively. The Company did not realize a loss on equity securities with a readily determinable fair value during the three and nine months ended September 30, 2023 or 2022, respectively. The gross unrealized loss recognized on equity securities with readily determinable fair values recorded in other noninterest income in the Company’s consolidated statements of income were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Unrealized loss recognized on equity securities with a readily determinable fair value $ (304) $ (429) $ (335) $ (1,299) Equity Securities Without a Readily Determinable Fair Value The Company held equity securities without a readily determinable fair values and measured at cost of $11,256 and $10,072 as of September 30, 2023 and December 31, 2022, respectively. Securities Purchased Under Agreements to Resell As of September 30, 2023, we held no securities purchased under agreements to resell and we recognized no interest income during the three and nine months ended September 30, 2023 on securities purchased under agreements to resell. As of September 30, 2022, we held no securities purchased under agreements to resell and we recognized interest income of $801 and $1,386 during the three and nine months ended September 30, 2022, respectively, on securities purchased under agreements to resell. Securities purchased under agreements to resell typically mature 30 days from the settlement date, qualify as a secured borrowing and are measured at amortized cost. Debt Securities Debt securities have been classified in the consolidated balance sheets according to management’s intent. The amortized cost, related gross unrealized gains and losses, ACL and the fair value of AFS and HTM debt securities are as follows: September 30, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value AFS Corporate bonds $ 244,487 $ 1,237 $ 34,910 $ — $ 210,814 Municipal securities 46,725 — 6,080 — 40,645 Mortgage-backed securities 122,595 13 20,715 — 101,893 Collateralized mortgage obligations 489,858 — 64,662 — 425,196 Asset-backed securities 34,456 319 2,800 — 31,975 Collateralized loan obligations 69,750 — 1,190 — 68,560 $ 1,007,871 $ 1,569 $ 130,357 $ — $ 879,083 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value HTM Mortgage-backed securities $ 34,344 $ — $ 8,103 $ — $ 26,241 Collateralized mortgage obligations 34,717 — 6,208 — 28,509 Municipal securities 112,485 — 19,399 — 93,086 $ 181,546 $ — $ 33,710 $ — $ 147,836 December 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value AFS Corporate bonds $ 268,179 $ 1,445 $ 17,379 $ — $ 252,245 Municipal securities 49,886 3 4,198 — 45,691 Mortgage-backed securities 156,408 23 17,420 — 139,011 Collateralized mortgage obligations 609,456 — 55,850 — 553,606 Asset-backed securities 42,015 289 2,613 — 39,691 Collateralized loan obligations 69,750 — 3,702 — 66,048 $ 1,195,694 $ 1,760 $ 101,162 $ — $ 1,096,292 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value HTM Mortgage-backed securities $ 36,342 $ — $ 6,753 $ — $ 29,589 Collateralized mortgage obligations 36,169 — 5,884 — 30,285 Municipal securities 113,657 6 14,756 — 98,907 $ 186,168 $ 6 $ 27,393 $ — $ 158,781 Mortgage-backed securities (“MBS”) are commercial MBS, secured by commercial properties, and residential MBS, generally secured by single-family residential properties. All mortgage-backed securities included in the table above were issued by U.S. government agencies or corporations. The Company elected to transfer 25 AFS debt securities with an aggregate fair value of $117,001 to a classification of HTM debt securities on January 1, 2022. In accordance with FASB ASC 320-10-35-10, the transfer from AFS to HTM must be recorded at the fair value of the AFS debt securities at the time of transfer. The net unrealized holding gain retained in AOCI for securities transferred from AFS to HTM was $3,290 and $3,790 at September 30, 2023 and December 31, 2022, respectively. The following tables disclose the Company’s AFS debt securities in an unrealized loss position, aggregated by investment category and length of time that individual debt securities have been in a continuous loss position: September 30, 2023 Less Than 12 Months 12 Months or More Totals Fair Unrealized Fair Unrealized Fair Unrealized AFS Corporate bonds $ 24,419 $ 6,580 $ 157,421 $ 28,330 $ 181,840 $ 34,910 Municipal securities 20,667 752 19,978 5,328 40,645 6,080 Mortgage-backed securities 154 — 101,233 20,715 101,387 20,715 Collateralized mortgage obligations — — 425,196 64,662 425,196 64,662 Asset-backed securities 7,724 1,877 8,983 923 16,707 2,800 Collateralized loan obligations — — 68,560 1,190 68,560 1,190 $ 52,964 $ 9,209 $ 781,371 $ 121,148 $ 834,335 $ 130,357 HTM Mortgage-backed securities $ — $ — $ 26,241 $ 8,103 $ 26,241 $ 8,103 Collateralized mortgage obligations — — 28,509 6,208 28,509 6,208 Municipal securities 17,947 1,262 75,139 18,137 93,086 19,399 $ 17,947 $ 1,262 $ 129,889 $ 32,448 $ 147,836 $ 33,710 December 31, 2022 Less Than 12 Months 12 Months or More Totals Fair Unrealized Loss Fair Unrealized Loss Fair Unrealized Loss AFS Corporate bonds $ 197,946 $ 15,697 $ 15,568 $ 1,682 $ 213,514 $ 17,379 Municipal securities 33,919 848 8,813 3,350 42,732 4,198 Mortgage-backed securities 115,467 11,104 22,780 6,317 138,247 17,421 Collateralized mortgage obligations 482,358 42,553 71,198 13,296 553,556 55,849 Asset-backed securities 15,195 991 11,207 1,621 26,402 2,612 Collateralized loan obligations 23,673 1,328 42,375 2,375 66,048 3,703 $ 868,558 $ 72,521 $ 171,941 $ 28,641 $ 1,040,499 $ 101,162 HTM Mortgage-backed securities $ 804 $ 85 $ 28,784 $ 6,668 $ 29,588 $ 6,753 Collateralized mortgage obligations 25,285 4,676 4,999 1,208 30,284 5,884 Municipal securities 85,671 11,411 9,161 3,345 94,832 14,756 $ 111,760 $ 16,172 $ 42,944 $ 11,221 $ 154,704 $ 27,393 Management evaluates AFS debt securities in unrealized loss positions to determine whether the impairment is due to credit-related factors or noncredit-related factors. Consideration is given to (1) the extent to which the fair value is less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent and ability of the Company to retain its investment in the security for a period of time sufficient to allow for any anticipated recovery in fair value. The number of AFS debt securities in an unrealized loss position totaled 148 and 175 at September 30, 2023 and December 31, 2022, respectively. Management does not have the intent to sell any of these debt securities and believes that it is more likely than not that the Company will not have to sell any such debt securities before a recovery of cost. The fair value is expected to recover as the debt securities approach their maturity date or repricing date or if market yields for such investments decline. Accordingly, as of September 30, 2023, management believes that the unrealized losses detailed in the previous table are due to noncredit-related factors, including changes in interest rates and other market conditions, and therefore no losses have been recognized in the Company’s consolidated statements of income. The following table presents the activity in the allowance for credit losses for AFS debt securities: Three Months ended September 30, Nine Months ended September 30, 2023 2022 2023 2022 Allowance for credit losses: Beginning balance $ 885 $ — $ — $ — Credit loss recovery (885) — — — Allowance for credit losses ending balance $ — $ — $ — $ — The amortized costs and estimated fair values of AFS and HTM debt securities, by contractual maturity, as of the dates indicated, are shown in the table below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage-backed securities, collateralized mortgage obligations, asset-backed securities, and collateralized loan obligations typically are issued with stated principal amounts, and the securities are backed by pools of mortgage loans and other loans that have varying maturities. The terms of mortgage-backed securities, collateralized mortgage obligations, asset-backed securities, and collateralized loan obligations thus approximates the terms of the underlying mortgages and loans and can vary significantly due to prepayments. Therefore, these securities are not included in the maturity categories below. September 30, 2023 AFS HTM Amortized Cost Fair Value Amortized Cost Fair Value Due in one year or less $ 2,026 $ 1,913 $ — $ — Due from one year to five years 46,477 47,002 4,466 4,407 Due from five years to ten years 188,542 157,908 12,839 12,115 Due after ten years 54,167 44,636 95,180 76,564 291,212 251,459 112,485 93,086 Mortgage-backed securities and collateralized mortgage obligations 612,453 527,089 69,061 54,750 Asset-backed securities 34,456 31,975 — — Collateralized loan obligations 69,750 68,560 — — $ 1,007,871 $ 879,083 $ 181,546 $ 147,836 December 31, 2022 AFS HTM Amortized Cost Fair Value Amortized Cost Fair Value Due in one year or less $ — $ — $ — $ — Due from one year to five years 53,692 54,179 — — Due from five years to ten years 205,911 190,406 8,275 8,129 Due after ten years 58,462 53,351 105,382 90,778 318,065 297,936 113,657 98,907 Mortgage-backed securities and collateralized mortgage obligations 765,864 692,617 72,511 59,874 Asset-backed securities 42,015 39,691 — — Collateralized loan obligations 69,750 66,048 — — $ 1,195,694 $ 1,096,292 $ 186,168 $ 158,781 Proceeds from sales of debt securities AFS and gross gains and losses for the nine months ended September 30, 2023 and 2022 were as follows: Nine Months Ended September 30, 2023 2022 Proceeds from sales (1) $ 109,793 $ — Gross realized losses (1) 5,321 — (1) There were no proceeds from sales or gross realized losses for the three months ended September 30, 2023 and 2022. As of September 30, 2023 and December 31, 2022, there were no holdings of securities of any one issuer, other than the U.S. government and its agencies, in an amount greater than 10% of stockholders' equity. There was a blanket floating lien on all debt securities held by the Company to secure FHLB advances as of September 30, 2023 and December 31, 2022. |
LHI and ACL
LHI and ACL | 9 Months Ended |
Sep. 30, 2023 | |
Receivables [Abstract] | |
LHI and ACL | LHI and ACL LHI in the accompanying consolidated balance sheets are summarized as follows: September 30, 2023 December 31, 2022 LHI, carried at amortized cost: Real estate: Construction and land $ 1,705,053 $ 1,787,400 Farmland 59,684 43,500 1 - 4 family residential 933,225 894,456 Multi-family residential 603,395 322,679 Owner occupied commercial real estate (“OOCRE”) 697,299 715,829 Non-owner occupied commercial real estate (“NOOCRE”) 2,398,060 2,341,379 Commercial 2,841,024 2,942,348 MW 390,767 446,227 Consumer 9,845 7,806 $ 9,638,352 $ 9,501,624 Deferred loan fees, net (10,138) (18,973) ACL (109,831) (91,052) Total LHI, net $ 9,518,383 $ 9,391,599 Included in the total LHI, net, as of September 30, 2023 and December 31, 2022 was an accretable discount related to purchased performing and purchased credit deteriorated (“PCD”) loans acquired in the approximate amounts of $6,012 and $8,260, respectively. The discount is being accreted into income on a level-yield basis over the life of the loans. In addition, included in the net loan portfolio as of September 30, 2023 and December 31, 2022 is a discount on retained loans from sale of originated U.S. Small Business Administration (“SBA”) and U.S. Department of Agriculture (“USDA”) loans of $7,515 and $5,238, respectively. During the year ended December 31, 2022, the Company purchased $223,924 in pooled residential real estate loans at a net discount, with a remaining balance of $167,847 as of September 30, 2023. The remaining net purchase discount of $3,457 and $4,135 related to these 1-4 family residential loans purchased is included in the total LHI, net, as of September 30, 2023 and December 31, 2022, respectively. No additional pooled residential real estate loans were purchased during the nine months ended September 30, 2023. ACL The Company’s estimate of the ACL reflects losses expected over the remaining contractual life of the assets. The activity in the ACL related to LHI is as follows: Three Months Ended September 30, 2023 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial MW Consumer Total Balance at beginning of the period $ 18,145 $ 170 $ 9,209 $ 4,707 $ 7,519 $ 27,875 $ 34,197 $ — $ 328 $ 102,150 Credit loss expense non-PCD loans 1,304 21 150 133 581 947 5,072 465 57 8,730 Credit (benefit) loss expense PCD loans — — — — (6) 797 (9) — 782 Charge-offs — — — — (375) — (1,929) (49) (2,353) Recoveries — — — — — 200 308 14 522 Ending Balance $ 19,449 $ 191 $ 9,359 $ 4,840 $ 7,719 $ 29,819 $ 37,639 $ 465 $ 350 $ 109,831 Three Months Ended September 30, 2022 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial Consumer Total Balance at beginning of the period $ 10,300 $ 145 $ 8,056 $ 2,186 $ 7,609 $ 27,772 $ 24,374 $ 134 $ 80,576 Credit (benefit) loss expense non-PCD loans 2,338 (10) 1,126 (59) 1,824 (1,651) 3,426 2,209 9,203 Credit (benefit) loss expense PCD loans (10) — (163) — (1,720) 171 (819) (12) (2,553) Charge-offs — — — — (1,061) (838) (460) (19) (2,378) Recoveries — — 4 — — 3 177 5 189 Ending Balance $ 12,628 $ 135 $ 9,023 $ 2,127 $ 6,652 $ 25,457 $ 26,698 $ 2,317 $ 85,037 Nine Months Ended September 30, 2023 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial MW Consumer Total Balance at beginning of the period $ 13,120 $ 127 $ 9,533 $ 2,607 $ 8,707 $ 26,704 $ 30,142 $ — $ 112 $ 91,052 Credit (benefit) loss expense non-PCD loans 6,375 64 (169) 2,233 (467) 10,362 13,709 465 375 32,947 (Benefit) credit expense PCD loans (46) — (7) — (30) 618 (470) — — 65 Charge-offs — — — — (491) (8,215) (6,520) — (203) (15,429) Recoveries — — 2 — — 350 778 — 66 1,196 Ending Balance $ 19,449 $ 191 $ 9,359 $ 4,840 $ 7,719 $ 29,819 $ 37,639 $ 465 $ 350 $ 109,831 Nine Months Ended September 30, 2022 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial Consumer Total Balance at beginning of the period $ 7,293 $ 187 $ 5,982 $ 2,664 $ 9,215 $ 30,548 $ 21,632 $ 233 $ 77,754 Credit (benefit) loss expense non-PCD loans 5,360 (52) 3,269 (537) 2,821 (5,040) 10,538 4,549 20,908 (Benefit) credit loss expense PCD loans (25) — (235) — (2,983) 844 (2,083) (1,276) (5,758) Charge-offs — — — — (2,646) (1,391) (4,282) (1,244) (9,563) Recoveries — — 7 — 245 496 893 55 1,696 Ending Balance $ 12,628 $ 135 $ 9,023 $ 2,127 $ 6,652 $ 25,457 $ 26,698 $ 2,317 $ 85,037 The majority of the Company's loan portfolio consists of loans to businesses and individuals in the Dallas-Fort Worth metroplex and the Houston metropolitan area. This geographic concentration subjects the loan portfolio to the general economic conditions within these areas. The risks created by this concentration have been considered by management in the determination of the adequacy of the ACL. A loan is considered collateral-dependent when the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. The following table presents the amortized cost basis of collateral dependent loans, which are individually evaluated to determine expected credit losses, and the related ACL allocated to these loans: September 30, 2023 December 31, 2022 Real Property (1) ACL Allocation Real Property (1) ACL Allocation OOCRE $ 3,059 $ — $ 1,193 $ 129 NOOCRE 32,698 2,000 20,896 2,138 Commercial 2,506 784 1,240 396 Mortgage warehouse 208 208 — — Consumer — — 15 — Total $ 38,471 $ 2,992 $ 23,344 $ 2,663 (1) Loans reported exclude PCD loans that transitioned upon adoption of ASC 326 and accounted for on a pooled basis. Nonaccrual and Past Due Loans Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due in accordance with the terms of the loan agreement . Loans are placed on nonaccrual status when, in management’s opinion, the borrower may be unable to meet payment obligations as they become due, as well as when required by regulatory provisions. Loans may be placed on nonaccrual status regardless of whether or not such loans are considered past due. When interest accrual is discontinued, all unpaid accrued interest is reversed. Interest income is subsequently recognized only to the extent cash payments are received in excess of principal due. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Nonaccrual loans aggregated by class of loans, as of September 30, 2023 and December 31, 2022, were as follows: September 30, 2023 December 31, 2022 Nonaccrual Nonaccrual With No ACL Nonaccrual Nonaccrual With No ACL 1 - 4 family residential $ 900 $ 900 $ 862 $ 862 OOCRE 10,368 10,368 9,737 8,545 NOOCRE 32,779 21,451 21,377 13,178 Commercial 35,106 5,418 11,397 2,521 MW 208 — — — Consumer 33 33 169 169 Total $ 79,394 $ 38,170 $ 43,542 $ 25,275 There were $7,309 and $8,545 of PCD loans that are not accounted for on a pooled basis included in nonaccrual loans at September 30, 2023 and December 31, 2022, respectively. During the three and nine months ended September 30, 2023, interest income not recognized on nonaccrual loans was $1,921 and $4,689, respectively. During the three and nine months ended September 30, 2022, interest income not recognized on non-accrual loans was $434 and $1,912, respectively. An age analysis of past due loans, aggregated by class of loans and including past due nonaccrual loans, as of September 30, 2023 and December 31, 2022, is as follows: September 30, 2023 30 to 59 Days 60 to 89 Days 90 Days or Greater Total Past Due (1) Total Current PCD Total Total 90 Days Past Due and Still Accruing (2) Construction and land $ — $ — $ — $ — $ 1,705,053 $ — $ 1,705,053 $ — Farmland — — — — 59,684 — 59,684 — 1 - 4 family residential 3,411 3,660 880 7,951 924,161 1,113 933,225 332 Multi-family residential — — — — 603,395 — 603,395 — OOCRE 533 — 3,059 3,592 675,799 17,908 697,299 — NOOCRE 13,413 — 19,061 32,474 2,351,481 14,105 2,398,060 — Commercial 9,211 — 19,372 28,583 2,809,276 3,165 2,841,024 142 MW — — 208 208 390,559 — 390,767 — Consumer 53 — 3 56 9,774 15 9,845 — Total $ 26,621 $ 3,660 $ 42,583 $ 72,864 $ 9,529,182 $ 36,306 $ 9,638,352 $ 474 (1) Total past due loans includes $13,718 of PCD loans as of September 30, 2023. (2) Loans 90 days past due and still accruing excludes $448 of PCD loans as of September 30, 2023. December 31, 2022 30 to 59 Days 60 to 89 Days 90 Days or Greater Total Past Due (1) Total Current PCD Total Total 90 Days Past Due and Still Accruing (2) Real estate: Construction and land $ 1,121 $ 2,111 $ — $ 3,232 $ 1,784,168 $ 1,544 $ 1,787,400 $ — Farmland — — — — 43,500 — 43,500 — 1 - 4 family residential 4,319 129 499 4,947 889,509 1,180 894,456 123 Multi-family residential 1,000 — — 1,000 321,679 — 322,679 — OOCRE 3,342 1,186 1,193 5,721 710,108 19,817 715,829 — NOOCRE 5,156 — 20,896 26,052 2,315,327 12,748 2,341,379 — Commercial 3,088 2,188 1,675 6,951 2,935,397 3,701 2,942,348 — MW — — — — 446,227 — 446,227 — Consumer 352 — 45 397 7,409 23 7,806 2 Total $ 18,378 $ 5,614 $ 24,308 $ 48,300 $ 9,453,324 $ 39,013 $ 9,501,624 $ 125 (1) Total past due loans includes $13,178 of PCD loans as of December 31, 2022. (2) Loans 90 days past due and still accruing excludes $2,004 of PCD loans and $669 of PPP loans as of December 31, 2022. There were $474 and $125 loans past due 90 days and still accruing as of September 30, 2023 and December 31, 2022, respectively. These loans are also considered well-secured, and are in the process of collection with plans in place for the borrowers to bring the notes fully current or to subsequently be renewed. The Company believes that it will collect all principal and interest due on each of the loans past due 90 days and still accruing. Modifications to Borrowers Experiencing Financial Difficulty The Company adopted Accounting Standards Update (“ASU”) 2022-02, Financial Instruments - Credit Losses (Topic 326) Troubled Debt Restructurings and Vintage Disclosures (“ASU 2022-02”) effective January 1, 2023. The amendments in ASU 2022-02 eliminated the recognition and measure of troubled debt restructurings and enhanced disclosures for loan modifications to borrowers experiencing financial difficulty. An assessment of whether a borrower is experiencing financial difficulty is made on the date of a modification. Because the effect of most modifications made to borrowers experiencing financial difficulty is already included in the allowance for credit losses (due to the measurement methodologies used to estimate the allowance), a change to the allowance for credit losses is generally not recorded upon modification. The following table shows the amortized cost basis at the end of the reporting period of the loans modified to borrowers experiencing financial difficulty, disaggregated by class of financing receivable and type of concession granted during the nine months ended September 30, 2023: Loan Modifications Made to Borrowers Experiencing Financial Difficulty Interest Rate Reduction Amortized Cost Basis % of Loan Class Financial Impact 1-4 Family Residential Rentals 1 $ 41,066 4.4 % Reduced weighted-average contractual interest rate from floating 7.5% to fixed 6.0% 1 1-4 Family Residential Rentals is included in the 1-4 family residential loan portfolio and is reported as such in accordance with Federal Financial Institutions Examination Council guidelines. Term Extension Amortized Cost Basis % of Loan Class Financial Impact NOOCRE $ 22,524 0.9 % Principal and interest deferred over three months Commercial 26,036 0.9 % Principal and interest deferred over three months $ 48,560 No modifications to borrowers in financial difficulty had a payment default during the period and were modified in the 12 months before default to borrowers experiencing financial difficulty. The Company closely monitors the performance of the loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table depicts the performance of loans that have been modified in the last 12 months: Payment Status Current 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due 1-4 Family Residential Rentals $ 41,066 $ — $ — $ — NOOCRE 22,524 — — — Commercial 25,545 — — 491 Total $ 89,135 $ — $ — $ 491 The Company has not committed to lend additional amounts to customers with outstanding loans classified as Troubled Loan Modifications as of September 30, 2023 or December 31, 2022. Credit Quality Indicators From a credit risk standpoint, the Company classifies its loans in one of the following categories: (i) pass, (ii) special mention, (iii) substandard or (iv) doubtful. Loans classified as loss are charged-off. Loans not rated special mention, substandard, doubtful or loss are classified as pass loans. The classifications of loans reflect a judgment about the risks of default and loss associated with the loan. The Company reviews the ratings on criticized credits monthly. Ratings are adjusted to reflect the degree of risk and loss that is felt to be inherent in each credit as of each monthly reporting period. All classified credits are evaluated for impairment. If impairment is determined to exist, a specific reserve is established. The Company’s methodology is structured so that specific reserves are increased in accordance with deterioration in credit quality (and a corresponding increase in risk and loss) or decreased in accordance with improvement in credit quality (and a corresponding decrease in risk and loss). Credits rated special mention show clear signs of financial weaknesses or deterioration in credit worthiness, however, such concerns are generally not so pronounced that the Company expects to experience significant loss within the short-term. Such credits typically maintain the ability to perform within standard credit terms and credit exposure is not as prominent as credits with a lower rating. Credits rated substandard are those in which the normal repayment of principal and interest may be, or has been, jeopardized by reason of adverse trends or developments of a financial, managerial, economic or political nature, or important weaknesses which exist in collateral. A protracted workout on these credits is a distinct possibility. Prompt corrective action is therefore required to strengthen the Company’s position, and/or to reduce exposure and to assure that adequate remedial measures are taken by the borrower. Credit exposure becomes more likely in such credits and a serious evaluation of the secondary support to the credit is performed. Credits rated doubtful are those in which full collection of principal appears highly questionable, and in which some degree of loss is anticipated, even though the ultimate amount of loss may not yet be certain and/or other factors exist which could affect collection of debt. Based upon available information, positive action by the Company is required to avert or minimize loss. Credits rated doubtful are generally also placed on non-accrual. Credits classified as PCD are those that, at acquisition date, have experienced a more-than-insignificant deterioration in credit quality since origination. All loans considered to be purchased-credit impaired loans prior to January 1, 2020 were converted to PCD loans upon adoption of ASC 326. The Company elected to maintain pools of loans that were previously accounted for under ASC 310-30 and will continue to account for these pools as a unit of account. Loans are only removed from the existing pools if they are foreclosed, written off, paid off, or sold. The Company considers the guidance in ASC 310-20 when determining whether a modification, extension or renewal of a loan constitutes a current period origination. Generally, current period renewals of credit are re-underwritten at the point of renewal and considered current period originations for purposes of the table below. Based on the most recent analysis performed, the risk category of loans by class of loans based on year or origination is as follows: Term Loans Amortized Cost Basis by Origination Year 1 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Total As of September 30, 2023 Construction and land: Pass $ 57,129 $ 674,330 $ 543,914 $ 159,527 $ 3,163 $ 12,483 $ 179,609 $ — $ 1,630,155 Special mention 23 3,963 8,584 3,450 26,073 — 4,283 — 46,376 Substandard — — 3,000 25,522 — — — — 28,522 Total construction and land $ 57,152 $ 678,293 $ 555,498 $ 188,499 $ 29,236 $ 12,483 $ 183,892 $ — $ 1,705,053 Construction and land gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Farmland: Pass $ 2,544 $ 4,426 $ 22,156 $ 18,133 $ 16 $ 4,974 $ 7,435 $ — $ 59,684 Total farmland $ 2,544 $ 4,426 $ 22,156 $ 18,133 $ 16 $ 4,974 $ 7,435 $ — $ 59,684 Farmland gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — 1 - 4 family residential: Pass $ 54,775 $ 142,881 $ 197,939 $ 83,463 $ 38,878 $ 277,330 $ 112,815 $ 17,356 $ 925,437 Special mention 3,750 — — — — 312 — — 4,062 Substandard — 144 721 — 128 1,090 530 — 2,613 PCD — — — — — 1,113 — — 1,113 Total 1 - 4 family residential $ 58,525 $ 143,025 $ 198,660 $ 83,463 $ 39,006 $ 279,845 $ 113,345 $ 17,356 $ 933,225 1-4 family residential gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Multi-family residential: Pass $ 5,644 $ 80,058 $ 253,708 $ 198,048 $ 8,140 $ 18,922 $ 10,099 $ — $ 574,619 Special mention — — — — — 26,847 — — 26,847 Substandard — — — — 1,929 — — — 1,929 Total multi-family residential $ 5,644 $ 80,058 $ 253,708 $ 198,048 $ 10,069 $ 45,769 $ 10,099 $ — $ 603,395 Multi-family residential gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — OOCRE: Pass $ 61,309 $ 159,683 $ 110,464 $ 91,418 $ 41,080 $ 172,864 $ 3,763 $ — $ 640,581 Special mention — 9,357 280 715 1,904 7,253 — — 19,509 Substandard — — 1,766 — — 17,535 — — 19,301 PCD — — — — — 17,908 — — 17,908 Total OOCRE $ 61,309 $ 169,040 $ 112,510 $ 92,133 $ 42,984 $ 215,560 $ 3,763 $ — $ 697,299 OOCRE gross charge-offs $ — $ — $ — $ 5 $ 5 $ 481 $ — $ — $ 491 NOOCRE: Pass $ 51,793 $ 737,112 $ 517,516 $ 221,135 $ 148,648 $ 402,355 $ 30,138 $ 583 $ 2,109,280 Special mention — 3,699 38,981 26,850 41,335 64,806 — — 175,671 Substandard — — 2,744 — 1,259 95,001 — — 99,004 PCD — — — — — 14,105 — — 14,105 Total NOOCRE $ 51,793 $ 740,811 $ 559,241 $ 247,985 $ 191,242 $ 576,267 $ 30,138 $ 583 $ 2,398,060 NOOCRE gross charge-offs $ — $ — $ — $ — $ — $ 8,215 $ — $ — $ 8,215 Commercial: Pass $ 152,357 $ 361,010 $ 109,578 $ 56,193 $ 45,114 $ 52,493 $ 1,966,749 $ 519 $ 2,744,013 Special mention — 14,103 650 — — 9,567 7,664 — 31,984 Substandard 642 16,279 4,600 6,169 6,593 17,037 10,468 74 61,862 PCD — — — — — 3,165 — — 3,165 Total commercial $ 152,999 $ 391,392 $ 114,828 $ 62,362 $ 51,707 $ 82,262 $ 1,984,881 $ 593 $ 2,841,024 Commercial gross charge-offs $ — $ 1,854 $ — $ 48 $ 479 $ 4,139 $ — $ — $ 6,520 MW: Pass $ 66,063 $ 60,193 $ 153 $ 147 $ 623 $ 167 $ 263,213 $ — $ 390,559 Substandard — — — — — 208 — — 208 Total MW $ 66,063 $ 60,193 $ 153 $ 147 $ 623 $ 375 $ 263,213 $ — $ 390,767 MW gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Consumer: Pass $ 4,179 $ 1,147 $ 304 $ 654 $ 116 $ 1,805 $ 1,457 $ — $ 9,662 Special mention — — — — — 89 — — 89 Substandard — — 2 — 11 66 — — 79 PCD — — — — — 15 — — 15 Total consumer $ 4,179 $ 1,147 $ 306 $ 654 $ 127 $ 1,975 $ 1,457 $ — $ 9,845 Consumer gross charge-offs $ — $ 29 $ — $ — $ — $ 174 $ — $ — $ 203 Total Pass $ 455,793 $ 2,220,840 $ 1,755,732 $ 828,718 $ 285,778 $ 943,393 $ 2,575,278 $ 18,458 $ 9,083,990 Total Special Mention 3,773 31,122 48,495 31,015 69,312 108,874 11,947 — 304,538 Total Substandard 642 16,423 12,833 31,691 9,920 130,937 10,998 74 213,518 Total PCD — — — — — 36,306 — — 36,306 Total $ 460,208 $ 2,268,385 $ 1,817,060 $ 891,424 $ 365,010 $ 1,219,510 $ 2,598,223 $ 18,532 $ 9,638,352 Total gross charge-offs $ — $ 1,883 $ — $ 53 $ 484 $ 13,009 $ — $ — $ 15,429 1 Term loans amortized cost basis by origination year excludes $10,138 of deferred loan fees, net. Term Loans Amortized Cost Basis by Origination Year 1 2022 2021 2020 2019 2018 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Total As of December 31, Construction and land: Pass $ 347,855 $ 709,208 $ 378,229 $ 69,241 $ 30,673 $ 14,025 $ 215,263 $ 140 $ 1,764,634 Special mention — 18,662 2,560 — — — — — 21,222 Substandard — — — — — — — — — PCD — — — — — 1,544 — — 1,544 Total construction and land $ 347,855 $ 727,870 $ 380,789 $ 69,241 $ 30,673 $ 15,569 $ 215,263 $ 140 $ 1,787,400 Farmland: Pass $ 2,546 $ 16,242 $ 18,530 $ 21 $ — $ 5,069 $ 1,092 $ — $ 43,500 Special mention — — — — — — — — — Substandard — — — — — — — — — PCD — — — — — — — — — Total farmland $ 2,546 $ 16,242 $ 18,530 $ 21 $ — $ 5,069 $ 1,092 $ — $ 43,500 1 - 4 family residential: Pass $ 135,006 $ 188,635 $ 87,861 $ 43,293 $ 41,960 $ 257,768 $ 86,900 $ 726 $ 842,149 Special mention — — — — — 278 26,068 — 26,346 Substandard — 184 — — 1,028 23,569 — 24,781 PCD — — — — — 1,180 — — 1,180 Total 1 - 4 family residential $ 135,006 $ 188,819 $ 87,861 $ 43,293 $ 41,960 $ 260,254 $ 136,537 $ 726 $ 894,456 Multi-family residential: Pass $ 72,044 $ 80,793 $ 110,426 $ 8,402 $ 32,822 $ 2,494 $ — $ — $ 306,981 Special mention — — — — — — — — — Substandard — — — 1,954 13,744 — — — 15,698 PCD — — — — — — — — — Total multi-family residential $ 72,044 $ 80,793 $ 110,426 $ 10,356 $ 46,566 $ 2,494 $ — $ — $ 322,679 OOCRE: Pass $ 191,044 $ 106,698 $ 84,230 $ 43,965 $ 49,461 $ 167,968 $ 5,225 $ — $ 648,591 Special mention — 2,321 1,409 1,964 — 3,447 — 45 9,186 Substandard — — — — 23,231 15,004 — — 38,235 PCD — — — — — 19,817 — — 19,817 Total OOCRE $ 191,044 $ 109,019 $ 85,639 $ 45,929 $ 72,692 $ 206,236 $ 5,225 $ 45 $ 715,829 NOOCRE: Pass $ 752,476 $ 531,735 $ 215,076 $ 149,246 $ 196,424 $ 305,434 $ 16,642 $ 465 $ 2,167,498 Special mention — — 22,774 19,464 12,274 51,451 — — 105,963 Substandard — — — 1,310 7,659 46,201 — — 55,170 PCD — — — — 12,697 51 — — 12,748 Total NOOCRE $ 752,476 $ 531,735 $ 237,850 $ 170,020 $ 229,054 $ 403,137 $ 16,642 $ 465 $ 2,341,379 Commercial: Pass $ 473,084 $ 132,396 $ 90,543 $ 83,996 $ 40,030 $ 31,269 $ 1,906,074 $ 553 $ 2,757,945 Special mention — 666 — 4,543 7,385 270 114,447 — 127,311 Substandard 17,894 4,058 5,189 4,195 10,954 4,732 6,292 77 53,391 PCD — — — — 273 3,428 — — 3,701 Total commercial $ 490,978 $ 137,120 $ 95,732 $ 92,734 $ 58,642 $ 39,699 $ 2,026,813 $ 630 $ 2,942,348 MW: Pass $ — $ — $ — $ — $ — $ — $ 444,393 $ — $ 444,393 Special mention — — — — — — 1,626 — 1,626 Substandard — — — — 46 162 — — 208 Total MW $ — $ — $ — $ — $ 46 $ 162 $ 446,019 $ — $ 446,227 Consumer: Pass $ 1,965 $ 452 $ 872 $ 216 $ 135 $ 2,298 $ 1,618 $ — $ 7,556 Special mention — — — — — 58 — — 58 Substandard — — — — — 169 — — 169 PCD — — — — — 23 — — 23 Total consumer $ 1,965 $ 452 $ 872 $ 216 $ 135 $ 2,548 $ 1,618 $ — $ 7,806 Total Pass $ 1,976,020 $ 1,766,159 $ 985,767 $ 398,380 $ 391,505 $ 786,325 $ 2,677,207 $ 1,884 $ 8,983,247 Total Special Mention — 21,649 26,743 25,971 19,659 55,504 142,141 45 291,712 Total Substandard 17,894 4,242 5,189 7,459 55,634 67,296 29,861 77 187,652 Total PCD — — — — 12,970 26,043 — — 39,013 Total $ 1,993,914 $ 1,792,050 $ 1,017,699 $ 431,810 $ 479,768 $ 935,168 $ 2,849,209 $ 2,006 $ 9,501,624 1 Term loans amortized cost basis by origination year excludes $18,973 of deferred loan fees, net. Servicing Assets The Company was servicing loans of approximately $577,802 and $509,479 as of September 30, 2023 and 2022, respectively. A summary of the changes in the related servicing assets are as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Balance at beginning of period $ 14,923 $ 15,680 $ 14,880 $ 17,705 Increase from loan sales 90 113 1,863 1,811 Servicing asset (net impairment), net recoveries (455) 551 407 (1,332) Amortization charged as a reduction to income (1,197) (934) (3,789) (2,774) Balance at end of period $ 13,361 $ 15,410 $ 13,361 $ 15,410 Fair value of servicing assets is estimated by discounting estimated future cash flows from the servicing assets using discount rates that approximate current market rates over the expected lives of the loans being serviced. A valuation allowance is recorded when the fair value is below the carrying amount of the asset. As of September 30, 2023 and 2022 there was a valuation allowance of $2,043 an d $1,960, respect ively. The Company may also receive a portion of subsequent interest collections on loans sold that exceed the contractual servicing fees. In that case, the Company records an interest-only strip based on its relative fair market value and the other components of the loans. There was no interest-only strip receivable recorded at September 30, 2023 and December 31, 2022. The following table reflects principal sold and related gain for SBA and USDA LHI. The gain on sale of these loans is recorded in government guaranteed loan income, net in the Company’s consolidated statements of income. Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 SBA LHI principal sold $ 2,896 $ 2,215 $ 9,826 $ 18,101 Gain on sale of SBA LHI 243 140 822 803 USDA LHI principal sold — — 62,640 20,500 Gain on sale of USDA LHI — — 9,663 3,708 LHFS The following table reflects LHFS. September 30, 2023 December 31, 2022 SBA construction and land $ 8,458 $ 12,296 1 - 4 family residential 806 866 SBA OOCRE 9,140 5,915 SBA commercial 22,909 1,564 Total LHFS $ 41,313 $ 20,641 |
Fair Value
Fair Value | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Fair Value The following table summarizes assets measured at fair value on a recurring basis as of September 30, 2023 and December 31, 2022, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: September 30, 2023 Level 1 Level 2 Level 3 Total Financial Assets: AFS debt securities $ — $ 879,083 $ — $ 879,083 Equity securities with a readily determinable fair value 9,457 — — 9,457 LHFS (1) — 40,507 — 40,507 Interest rate swap designated as hedging instruments — 20,893 — 20,893 Correspondent interest rate swaps not designated as hedging instruments — 51,973 — 51,973 Customer interest rate swaps not designated as hedging instruments — 54 — 54 Correspondent interest rate caps and collars not designated as hedging instruments — 2,543 — 2,543 Financial Liabilities: Interest rate swap designated as hedging instruments $ — $ 62,077 $ — $ 62,077 Correspondent interest rate swaps not designated as hedging instruments — 75 — 75 Customer interest rate swaps not designated as hedging instruments — 51,418 — 51,418 Customer interest rate caps and collars not designated as hedging instruments — 2,543 — 2,543 1) Represents LHFS elected to be carried at fair value. December 31, 2022 Level 1 Level 2 Level 3 Total Financial Assets: AFS debt securities $ — $ 1,096,292 $ — $ 1,096,292 Equity securities with a readily determinable fair value 9,792 — — 9,792 Paycheck Protection Program (“PPP”) loans — — 1,995 1,995 LHFS (1) — 19,775 — 19,775 Interest rate swap designated as hedging instruments — 26,523 — 26,523 Correspondent interest rate swaps not designated as hedging instruments — 38,839 — 38,839 Customer interest rate swaps not designated as hedging instruments — 1,004 — 1,004 Correspondent interest rate caps and collars not designated as hedging instruments — 1,494 — 1,494 Financial Liabilities: Interest rate swap designated as hedging instruments $ — $ 54,171 $ — $ 54,171 Correspondent interest rate swaps not designated as hedging instruments — 1,126 — 1,126 Customer interest rate swaps not designated as hedging instruments — 38,188 — 38,188 Customer interest rate caps and collars not designated as hedging instruments — 1,494 — 1,494 (1) Represents LHFS elected to be carried at fair value upon origination or acquisition.. There were no transfers between Level 2 and Level 3 during the nine months ended September 30, 2023 and December 31, 2022. The following table summarizes assets measured at fair value on a non-recurring basis as of September 30, 2023 and December 31, 2022, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: Fair Value Level 1 Level 2 Level 3 Total As of September 30, 2023 Assets: Collateral dependent loans with an ACL $ — $ — $ 11,050 $ 11,050 Servicing assets with a valuation allowance — — 7,088 7,088 As of December 31, 2022 Assets: Collateral dependent loans with an ACL $ — $ — $ 7,969 $ 7,969 Servicing assets with a valuation allowance — — 10,984 10,984 At September 30, 2023, collateral dependent loans with an allowance had a recorded investment of $14,042, with $2,992 specific allowance for credit loss allocated. At December 31, 2022, collateral dependent loans with an allowance had a carrying value of $10,632, with $2,663 of specific allowance for credit loss allocated. At September 30, 2023, servicing assets of $9,132 had a valuation allowance totaling $2,043. At December 31, 2022, servicing assets of $13,435 had a valuation allowance totaling $2,451. There were no liabilities measured at fair value on a non-recurring basis as of September 30, 2023 or December 31, 2022. Fair Value of Financial Instruments The Company’s methods of determining fair value of financial instruments in this Note are consistent with its methodologies disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. Please re fer to Note 17 in the Company’s Annual Report on Form 10-K for information on these methods. The estimated fair values and carrying values of all financial instruments not measured at fair value on a recurring basis under current authoritative guidance as of September 30, 2023 and December 31, 2022 were as follows: Fair Value Carrying Level 1 Level 2 Level 3 September 30, 2023 Financial assets: Cash and cash equivalents $ 713,408 $ — $ 713,408 $ — HTM debt securities 181,546 — 147,836 — LHFS (1) 806 — — 806 LHI (2) 9,507,333 — — 9,326,018 Accrued interest receivable 47,739 — 47,739 — BOLI 84,867 — 84,867 — Servicing asset 6,273 — 6,273 — Equity securities without a readily determinable fair value 11,256 N/A N/A N/A FHLB and FRB stock 59,138 N/A N/A N/A Financial liabilities: Deposits $ 10,196,518 $ — $ 9,418,008 $ — Advances from FHLB 200,000 — 199,844 — Accrued interest payable 33,575 — 33,575 — Subordinated debentures and subordinated notes 229,531 — 229,531 — December 31, 2022 Financial assets: Cash and cash equivalents $ 436,077 $ — $ 436,077 $ — HTM debt securities 186,168 — 158,781 — Securities purchased under agreements to resell — — — — LHFS (1) 866 — 866 — LHI (2) 9,399,614 — — 9,163,616 Accrued interest receivable 44,035 — 44,035 — BOLI 84,496 — 84,496 — Servicing asset 3,896 — 3,896 — Equity securities without a readily determinable fair value 10,072 N/A N/A N/A FHLB and FRB stock 101,568 N/A N/A N/A Financial liabilities: Deposits $ 9,123,234 $ — $ 8,341,419 $ — Advances from FHLB 1,175,000 — 1,156,852 — Accrued interest payable 8,795 — 8,795 — Subordinated debentures and subordinated notes 228,775 — 228,775 — Securities sold under agreement to repurchase — — — — (1) LHFS represent mortgage LHFS that are carried at lower of cost or market. (2) LHI includes MW and is carried at amortized cost. |
Derivative Financial Instrument
Derivative Financial Instruments | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments The Company primarily uses derivatives to manage exposure to market risk, including interest rate risk and credit risk and to assist customers with their risk management objectives. Management will designate certain derivatives as hedging instruments in a qualifying hedge accounting relationship. The Company’s remaining derivatives consist of derivatives held for customer accommodation or other purposes. The fair value of derivative positions outstanding is included in other assets and accounts payable and other liabilities on the accompanying consolidated balance sheets and in the net change in each of these financial statement line items in the accompanying consolidated statements of cash flows. For derivatives not designated as hedging instruments, swap fee income and gains and losses due to changes in fair value are included in other noninterest income and the operating section of the consolidated statement of cash flows. For derivatives designated as hedging instruments, the entire change in the fair value related to the derivative instrument is recognized as a component of other comprehensive income and subsequently reclassified into interest income or interest expense when the forecasted transaction affects income. The notional amounts and estimated fair values as of September 30, 2023 and December 31, 2022 are as shown in the table below. September 30, 2023 December 31, 2022 Estimated Fair Value Estimated Fair Value Notional Asset Derivative Liability Derivative Notional Asset Derivative Liability Derivative Derivatives designated as hedging instruments (cash flow hedges): Interest rate swap on money market deposit account payments $ 250,000 $ 16,877 $ — $ 250,000 $ 21,234 $ — Interest rate swaps on customer loan interest payments 375,000 — 55,251 375,000 — 49,211 Interest rate collars on customer loan interest payments 450,000 1,237 6,826 450,000 3,267 4,960 Interest rate floor on customer loan interest payments 200,000 2,779 — 100,000 2,022 — Total derivatives designated as hedging instruments $ 1,275,000 $ 20,893 $ 62,077 $ 1,175,000 $ 26,523 $ 54,171 Derivatives not designated as hedging instruments: Financial institution counterparty: Interest rate swaps $ 877,614 $ 51,973 $ 75 $ 805,311 $ 38,839 $ 1,126 Interest rate caps and corridors 264,770 2,543 — 68,370 1,494 — Commercial customer counterparty: Interest rate swaps 877,614 54 51,418 805,311 1,004 38,188 Interest rate caps and corridors 264,770 — 2,543 68,370 — 1,494 Total derivatives not designated as hedging instruments $ 2,284,768 $ 54,570 $ 54,036 $ 1,747,362 $ 41,337 $ 40,808 Offsetting derivative assets/liabilities — (41,628) (41,628) — (30,982) (30,982) Total derivatives $ 3,559,768 $ 33,835 $ 74,485 $ 2,922,362 $ 36,878 $ 63,997 Pre-tax (loss) gain included in the consolidated statements of income and related to derivative instruments for the three and nine months ended September 30, 2023 and 2022 were as follows. For the Three Months Ended For the Three Months Ended (Loss) recognized in other comprehensive income on derivative Gain (loss) reclassified from accumulated other comprehensive income into income Location of (loss) gain reclassified from accumulated other comprehensive income into income (Loss) gain recognized in other comprehensive income on derivative Gain reclassified from accumulated other comprehensive income into income Location of (loss) gain reclassified from accumulated other comprehensive income into income Derivatives designated as hedging instruments (cash flow hedges): Interest rate swap on borrowing advances $ (1,105) $ 1,105 Interest Expense $ (1,106) $ 1,106 Interest Expense Interest rate swap on money market deposit account payments (1,751) 3,035 Interest Expense 5,855 1,124 Interest Expense Interest rate swaps, collars and floors on customer loan interest payments (9,060) (5,260) Interest Income (23,165) (873) Interest Income Total $ (11,916) $ (1,120) $ (18,416) $ 1,357 Net gain recognized in other noninterest income Net gain recognized in other noninterest income Derivatives not designated as hedging instruments: Interest rate swaps, caps and collars $ 180 $ 3,039 For the Nine Months Ended For the Nine Months Ended (Loss) gain recognized in other comprehensive income on derivative Gain (loss) reclassified from accumulated other comprehensive income into income Location of (loss) gain reclassified from accumulated other comprehensive income into income Gain (loss) recognized in other comprehensive income on derivative (Loss) gain reclassified from accumulated other comprehensive income into income Location of (loss) gain reclassified from accumulated other comprehensive income into income Derivatives designated as hedging instruments (cash flow hedges): Interest rate swap on borrowing advances $ (3,281) $ 3,281 Interest Expense $ (2,464) $ 2,464 Interest Expense Interest rate swap on money market deposit account payments (4,358) 8,469 Interest Expense 17,567 1,182 Interest Expense Interest rate swaps, collars and floors on customer loan interest payments (12,233) (13,773) Interest Income (58,473) 704 Interest Income Total $ (19,872) $ (2,023) $ (43,370) $ 4,350 Net gain recognized in other noninterest income Net gain recognized in other noninterest income Derivatives not designated as hedging instruments: Interest rate swaps, caps and collars $ 1,375 $ 5,165 Cash Flow Hedges We enter into cash flow hedge relationships to mitigate exposure to the variability of future cash flows or other forecasted transactions. The Company uses interest rate swaps, floors, caps and collars to manage overall cash flow changes related to interest rate risk exposure on benchmark interest rate loans. To qualify for hedge accounting, a formal assessment is prepared to determine whether the hedging relationship, both at inception and on an ongoing basis, is expected to be highly effective in achieving offsetting cash flows attributable to the hedged risk during the term of the cash flow hedge. At inception a statistical regression analysis is prepared to determine hedge effectiveness. At each reporting period thereafter, a statistical regression or qualitative analysis is performed. If it is determined that hedge effectiveness has not been or will not continue to be highly effective, then hedge accounting ceases and any gain or loss in AOCI is recognized in earnings immediately. The cash flow hedges are recorded at fair value in other assets and other liabilities on the consolidated balance sheets with changes in fair value recorded in AOCI, net of tax. Amounts recorded to AOCI are reclassified into earnings in the same period in which the hedged asset or liability affects earnings and are presented in the same income statement line item as the earnings effect of the hedged asset or liability. Interest Rate Swap, Floor, Cap and Collar Agreements Not Designated as Hedging Derivatives In order to accommodate the borrowing needs of certain commercial customers, the Company has entered into interest rate swap or cap agreements with those customers. These interest rate derivative contracts effectively allow the Company’s customers to convert a variable rate loan into a fixed rate loan. In order to offset the exposure and manage interest rate risk, at the time an agreement was entered into with a customer, the Company entered into an interest rate swap or cap with a correspondent bank counterparty with offsetting terms. These derivative instruments are not designated as accounting hedges and changes in the net fair value are recognized in noninterest income or expense. Because the Company acts as an intermediary for its customers, changes in the fair value of the underlying derivative contracts substantially offset each other and do not have a material impact on the Company’s results of operations. The fair value amounts are included in other assets and other liabilities. The following is a summary of the interest rate swaps, caps and collars outstanding as of September 30, 2023 and December 31, 2022. September 30, 2023 Notional Amount Fixed Rate Floating Rate Maturity Fair Value Non-hedging derivative instruments: Customer interest rate derivative: Interest rate swaps - receive fixed/pay floating $ 877,614 2.41% - 7.37% LIBOR 1 month + 3.0% SOFR CME 1 month + 0.0% - 3.8% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 4.3 years $ (51,622) Interest rate caps and corridors $ 264,770 3.50% - 7.50% SOFR CME 1 month + 0.0% - 2.5% SOFR + 0.0% Wtd. Avg. 1.0 years $ (2,543) Correspondent interest rate derivative: Interest rate swaps - pay fixed/receive floating $ 877,614 2.41% - 7.37% LIBOR 1 month + 3.0% SOFR CME 1 month + 0.0% - 3.8% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 4.3 years $ 51,898 Interest rate caps and corridors $ 264,770 3.50% - 7.50% SOFR CME 1 month + 0.0% - 2.5% SOFR + 0.0% Wtd. Avg. 1.0 years $ 2,543 December 31, 2022 Notional Amount Fixed Rate Floating Rate Maturity Fair Value Non-hedging derivative instruments: Customer interest rate derivative: Interest rate swaps - receive fixed/pay floating $ 805,311 2.41% - 8.47% LIBOR 1 month + 2.8% - 5.0% SOFR CME 1 month + 0.0% - 3.8% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 5.1 years $ (37,183) Interest rate caps and corridors $ 68,370 3.50% LIBOR 1 month + 0.0% Wtd. Avg. 1.8 years $ (1,494) Correspondent interest rate derivative: Interest rate swaps - pay fixed/receive floating $ 805,311 2.41% - 8.47% LIBOR 1 month + 2.8% - 5.0% SOFR CME 1 month + 0.0% - 3.8% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 5.1 years $ 37,713 Interest rate caps and corridors $ 68,370 3.50% LIBOR 1 month + 0.0% Wtd. Avg. 1.8 years $ 1,494 |
Off-Balance Sheet Loan Commitme
Off-Balance Sheet Loan Commitments | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Off-Balance Sheet Loan Commitments | Off-Balance Sheet Loan Commitments The Company is party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit, MW commitments and standby and commercial letters of credit. Those instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized in the consolidated balance sheets. The Company’s exposure to credit loss in the event of nonperformance by the other party to a financial instrument for commitments to extend credit, MW commitments and standby and commercial letters of credit is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. The following table sets forth the approximate amounts of these financial instruments as of September 30, 2023 and December 31, 2022: September 30, December 31, 2023 2022 Commitments to extend credit $ 3,325,075 $ 4,511,671 MW commitments 974,941 1,088,558 Standby and commercial letters of credit 101,602 98,179 Total $ 4,401,618 $ 5,698,408 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments may expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Management evaluates each customer’s creditworthiness on a case-by-case basis and substantially all of the Company’s commitments to extend credit are contingent upon customers maintaining specific credit standards at the time of future loan funding. The amount of collateral obtained, if deemed necessary upon extension of credit, is based on management’s credit evaluation of the borrower. MW commitments are unconditionally cancellable and represent the unused capacity on MW facilities the Company has approved. The Company reserves the right to refuse to buy any mortgage loans offered for sale by a customer, for any reason, at the Company’s sole and absolute discretion. Standby and commercial letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Standby and commercial letters of credit generally have fixed expiration dates or other termination clauses and may require payment of a fee. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. The Company’s policy for obtaining collateral and the nature of such collateral is substantially the same as that involved in making commitments to extend credit. The table below presents the activity in the allowance for unfunded commitment credit losses related to those financial instruments discussed above. This ACL on unfunded commitments is recorded in accounts payable and other liabilities on the consolidated balance sheets: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Beginning balance for ACL on unfunded commitments $ 10,454 $ 9,759 $ 10,086 $ 9,266 (Benefit) provision for credit losses on unfunded commitments (909) 850 (541) 1,343 Ending balance of ACL on unfunded commitments $ 9,545 $ 10,609 $ 9,545 $ 10,609 |
Stock-Based Awards
Stock-Based Awards | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Awards | Stock-Based Awards 2010 Stock Option and Equity Incentive Plan (“2010 Incentive Plan”) The Company recognized no stock compensation expense related to the 2010 Incentive Plan for the three and nine months ended September 30, 2023 and 2022. A summary of option activity under the 2010 Incentive Plan for the nine months ended September 30, 2023 and 2022, and changes during the periods then ended, is presented below: 2010 Incentive Plan Non-Performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2022 1,000 $ 10.43 Outstanding and exercisable at September 30, 2022 1,000 $ 10.43 1.07 Outstanding at January 1, 2023 1,000 $ 10.43 1.07 $ 147 Exercised (1,000) 10.43 Outstanding and exercisable at September 30, 2023 — $ — — $ — As of September 30, 2023, December 31, 2022 and September 30, 2022 there was no unrecognized stock compensation expense related to non-performance based stock options. A summary of the fair value of the Company’s stock options exercised under the 2010 Incentive Plan for the nine months ended September 30, 2023 and 2022 is presented below: Fair Value of Options Exercised as of September 30, 2023 2022 Nonperformance-based stock options exercised $ 16 $ — 2022 Equity Plan and Green Acquired Omnibus Plans Grants of Restricted Stock Units During the three and nine months ending September 30, 2023, the Company granted non-performance-based RSUs and performance-based restricted stock units (“PSUs”) under the 2022 Amended and Restated Omnibus Incentive Plan (the “2022 Equity Plan”) and the Veritex (Green) 2014 Omnibus Equity Incentive Plan (the “Veritex (Green) 2014 Plan”). The majority of the RSUs granted to employees during the nine months ending September 30, 2023 have an annual graded vesting over a three year period from the grant date. The PSUs granted in February 2023 are subject to a service, performance and market conditions. The performance and market condition determine the number of awards to vest. The service period is from February 1, 2023 to January 31, 2026, the performance conditions performance period is from January 1, 2023 to December 31, 2025 and the market condition performance period is from February 1, 2023 to January 31, 2026. A Monte Carlo simulation was used to estimate the fair value of PSUs on the grant date. Stock Compensation Expense Stock compensation expense for options, RSUs and PSUs granted under the 2022 Equity Plan and the Veritex (Green) 2014 Plan were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 2022 Equity Plan $ 2,471 $ 2,918 $ 7,616 $ 8,266 Veritex (Green) 2014 Plan 489 197 1,398 811 2022 Equity Plan A summary of the status of the Company’s stock options under the 2022 Equity Plan as of September 30, 2023 and 2022, and changes during the nine months then ended, is as follows: 2022 Equity Plan Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2022 710,043 $ 24.38 Granted 1,500 31.26 Exercised (44,049) 23.21 Outstanding at September 30, 2022 667,494 $ 24.47 6.19 Options exercisable at September 30, 2022 541,650 $ 24.57 5.93 Outstanding at January 1, 2023 657,494 $ 24.47 Forfeited (1,666) 17.38 Cancelled (3,804) 29.13 Exercised (17,285) 18.29 Outstanding at September 30, 2023 634,739 $ 24.63 4.84 years $ 97 Options exercisable at September 30, 2023 608,739 $ 24.79 4.78 years $ 97 As of September 30, 2023, December 31, 2022 and September 30, 2022, there was $36, $172 and $327 of total unrecognized compensation expense related to options awarded under the 2022 Equity Plan, respectively. The unrecognized compensation expense at September 30, 2023 is expected to be recognized over the remaining weighted average requisite service period of 0.01 years. A summary of the status of the Company’s RSUs under the 2022 Equity Plan as of September 30, 2023 and 2022, and changes during the nine months then ended, is as follows: 2022 Equity Plan Non-performance-Based RSUs Units Weighted Outstanding at January 1, 2022 598,051 $ 23.39 Granted 519,455 33.99 Vested into shares (140,857) 26.49 Forfeited (13,693) 32.91 Outstanding at September 30, 2022 962,956 $ 28.52 Outstanding at January 1, 2023 955,104 $ 28.38 Granted 289,252 27.17 Vested into shares (237,940) 29.58 Forfeited (30,533) 32.23 Outstanding at September 30, 2023 975,883 $ 27.61 A summary of the status of the Company’s PSUs under the 2022 Equity Plan as of September 30, 2023 and 2022, and changes during the nine months then ended, is as follows: 2022 Equity Plan Performance-Based PSUs Units Weighted Outstanding at January 1, 2022 156,471 $ 24.17 Granted 39,429 40.38 Incremental PSUs granted upon performance conditions met 31,655 23.90 Vested into shares (94,991) 21.49 Outstanding at September 30, 2022 132,564 $ 30.15 Outstanding at January 1, 2023 126,707 $ 31.19 Granted 53,310 27.55 Vested into shares (41,781) 26.42 Forfeited (8,468) 30.90 Outstanding at September 30, 2023 129,768 $ 30.28 As of September 30, 2023, December 31, 2022 and September 30, 2022, there was $16,869 , $17,160 and $14,327 of total unrecognized compensation related to RSUs and PSUs awarded under the 2022 Equity Plan, respectively. The unrecognized compensation expense at September 30, 2023 is expected to be recognized over the remaining weighted average requisite service period of 1.83 years. A summary of the fair value of the Company’s stock options exercised, RSUs and PSUs vested under the 2022 Equity Plan during the nine months ended September 30, 2023 and 2022 is presented below: Fair Value of Options Exercised or RSUs Vested in the Nine Months Ended September 30, 2023 2022 Non-performance-based stock options exercised 66 1,650 RSUs vested 3,800 2,503 PSUs vested 1,070 2,270 Veritex (Green) 2014 Plan A summary of the status of the Company’s stock options under the Veritex (Green) 2014 Plan as of September 30, 2023 and 2022, and changes during the nine months then ended, is as follows: Veritex (Green) 2014 Plan Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2022 217,804 $ 19.62 Cancelled (790) Exercised (58,642) 19.21 Outstanding at September 30, 2022 158,372 $ 19.76 5.42 Options exercisable at September 30, 2022 149,646 $ 19.11 5.29 Outstanding at January 1, 2023 155,212 $ 19.83 Cancelled (9,717) 21.38 Exercised (13,266) 22.74 Outstanding at September 30, 2023 132,229 $ 21.89 3.91 years $ 267 Options exercisable at September 30, 2023 132,229 $ 21.89 3.91 years $ 267 Weighted average fair value of options granted during the period $ — As of September 30, 2023 and December 31, 2022 there was no unrecognized compensation expense related to options awarded under the Veritex (Green) 2014 Plan. As of September 30, 2022 there was $25 of total unrecognized compensation expense related to options awarded under the Veritex (Green) 2014 Plan, respectively. A summary of the status of the Company’s RSUs under the Veritex (Green) 2014 Plan as of September 30, 2023 and 2022 and changes during the nine months then ended, is as follows: Veritex (Green) 2014 Plan Non-performance-Based RSUs Units Weighted Outstanding at January 1, 2022 122,784 $ 21.13 Granted 4,231 40.38 Vested into shares (33,531) 21.80 Forfeited (7,601) 29.13 Outstanding at September 30, 2022 85,883 $ 21.11 Outstanding at January 1, 2023 86,233 $ 21.09 Vested into shares (19,282) 29.66 Forfeited (2,232) 29.13 Outstanding at September 30, 2023 64,719 $ 18.26 A summary of the status of the Company’s PSUs under the Veritex (Green) 2014 Plan as of September 30, 2023 and 2022 and changes during the nine months then ended, is as follows: Veritex (Green) 2014 Plan Performance-Based PSUs Units Weighted Outstanding at January 1, 2022 35,899 $ 22.26 Granted 4,411 40.38 Incremental PSUs granted upon performance condition met 10,566 19.69 Vested into shares (31,703) 19.69 Outstanding at September 30, 2022 19,173 $ 29.26 Outstanding at January 1, 2023 19,173 $ 30.74 Vested into shares (8,531) 25.94 Outstanding at September 30, 2023 10,642 $ 31.93 As of September 30, 2023, December 31, 2022 and September 30, 2022, there was $2,232 , $3,825, an d $1,024, respectively, of total unrecognized compensation related to outstanding RSUs and PSUs awarded under the Veritex (Green) 2014 Plan to be recognized over a remaining weighted average requisite service period of 0.87 years. A summary of the fair value of the Company’s stock options exercised and RSUs vested under the Veritex (Green) 2014 Plan during the nine months ended September 30, 2023 and 2022 presented below: Fair Value of Options Exercised or RSUs Vested in the Nine Months Ended September 30, 2023 2022 Non-performance-based stock options exercised $ 18 $ 1,650 RSUs vested 2,169 700 PSU vested 227 624 Green 2010 Plan In addition to the Veritex (Green) 2014 Plan discussed earlier in this Note, the Company assumed the Green Bancorp Inc. 2010 Stock Option Plan (“Green 2010 Plan”). A summary of the status of the Company’s stock options under the Green 2010 Plan as of September 30, 2023 and 2022, and changes during the nine months then ended, is as follows: Green 2010 Plan Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2022 66,143 $ 12.56 Cancelled (21,235) 11.40 Exercised (1,746) 13.20 Outstanding at September 30, 2022 43,162 $ 13.11 2.30 years Outstanding at January 1, 2023 43,162 $ 13.11 Exercised (32,378) 13.26 Outstanding at September 30, 2023 10,784 $ 12.65 4.32 years $ 57 A summary of the fair value of the Company’s stock options exercised under the Green 2010 Plan during the nine months ended September 30, 2023 and 2022 presented below: Fair Value of Options Exercised as of September 30, 2023 2022 Nonperformance-based stock options exercised 379 55 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Income tax expense for the three and nine months ended September 30, 2023 and 2022 was as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Income tax expense for the period $ 9,282 $ 12,248 $ 30,019 $ 28,429 Effective tax rate 22.2 % 22.0 % 22.3 % 21.1 % For the three months ended September 30, 2023, the Company had an effective tax rate of 22.2%. The Company had a net discrete tax expense of $505 thousand associated with return to provision adjustments during the three months ended September 30, 2023. Excluding this discrete tax item, the Company had an effective tax rate of 20.9% for the three months ended September 30, 2023. For the three months ended September 30, 2022, the Company had an effective tax rate of 22.0% with no significant discrete tax items during the three months ended September 30, 2022 impacting the effective tax rate. For the nine months ended September 30, 2023, the Company had an effective tax rate of 22.3%. The Company had a net discrete tax expense of $658 thousand, of which $505 thousand was associated with a return to provision adjustment and $153 thousand associated with the recognition of an excess tax expense realized on share-based payment awards during the nine months ended September 30, 2023. Excluding these discrete tax items, the Company had an effective tax rate of 21.8% for the nine months ended September 30, 2023. |
Legal Contingencies
Legal Contingencies | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Legal Contingencies | Legal Contingencies Litigation The Company may from time to time be involved in legal actions arising from normal business activities. In the opinion of management, there are no claims for which it is reasonably possible that an adverse outcome would have a material effect on the Company's financial position, liquidity or results of operations. The Company is not aware of any material unasserted claims. |
Capital Requirements and Restri
Capital Requirements and Restrictions on Retained Earnings | 9 Months Ended |
Sep. 30, 2023 | |
Regulatory Capital Requirements under Banking Regulations [Abstract] | |
Capital Requirements and Restrictions on Retained Earnings | Capital Requirements and Restrictions on Retained Earnings Under applicable U.S. banking laws, there are legal restrictions limiting the amount of dividends the Company can declare. Approval of the regulatory authorities is required if, among other things, the effect of the dividends declared would cause regulatory capital of the Company to fall below specified minimum levels. The Company on a consolidated basis and the Bank are subject to various regulatory capital requirements administered by federal banking agencies. Failure to meet minimum capital requirements triggers certain mandatory actions and may lead to additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action (“PCA”), the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and PCA classification are also subject to qualitative judgments by the regulators about components of capital, risk weightings of assets, and other factors. In addition, an institution may be downgraded to, or deemed to be in, a capital category that is lower than indicated by its capital ratios, if it is determined to be in an unsafe or unsound condition or if it receives an unsatisfactory examination rating with respect to certain matters. As a result of our no longer using the Community Bank Leverage Ratio (“CBLR”) framework, we are subject to various quantitative measures established by regulation to ensure capital adequacy. These generally applicable capital requirements require a banking organization that does not operate under the CBLR framework to maintain minimum amounts and ratios (set forth in the table below) of total capital, Tier 1 capital, and common equity Tier 1 capital to risk-weighted assets (“RWA”), and of Tier 1 capital to average assets. The capital rules implementing Basel III also include a “capital conservation buffer” of 2.5% on top of each of the minimum risk-based capital ratios, and a banking organization with any risk-based capital ratio that meets or exceeds the minimum requirement but does not meet the capital conservation buffer will face constraints on dividends, equity repurchases and discretionary bonus payments based on the amount of the shortfall. Additionally, to be categorized as “well capitalized,” a bank that does not operate under the CBLR framework is required to maintain minimum total risk-based common equity Tier 1, Tier 1, and total capital ratios and Tier 1 leverage ratios as set forth in the table below. As of September 30, 2023 and December 31, 2022, the Company’s and the Bank’s capital ratios exceeded those levels necessary to be categorized as “well capitalized”. There are no conditions or events since September 30, 2023 that management believes have changed the Company’s category. In the first quarter of 2020, U.S. federal regulatory authorities issued an interim final rule that provides banking organizations that adopt Current Expected Credit Losses methodology (“CECL”) during the 2020 calendar year with the option to delay for two years the estimated impact of CECL on regulatory capital relative to regulatory capital determined under the prior incurred loss methodology, followed by a three-year transition period to phase out the aggregate amount of the capital benefit provided during the initial two-year delay (i.e., a five-year transition in total). In connection with our adoption of CECL on January 1, 2020, the Company elected to utilize the five-year CECL transition. As a result, the effects of CECL on the Company’s and the Bank’s regulatory capital was delayed through the year 2021, with the effects phased-in over a three-year period from January 1, 2022 through December 31, 2024. A comparison of the Company’s and Bank’s actual capital amounts and ratios to required capital amounts and ratios is presented in the following table: Actual For Capital To Be Well Amount Ratio Amount Ratio Amount Ratio As of September 30, 2023 Total capital (to RWA) Company $ 1,504,000 12.95 % $ 929,112 8.0 % $ 1,161,390 10.0 % Bank 1,477,654 12.73 928,612 8.0 1,160,765 10.0 Tier 1 capital (to RWA) Company 1,204,446 10.37 696,883 6.0 696,883 6.0 Bank 1,376,779 11.86 696,516 6.0 928,687 8.0 Common equity tier 1 (to RWA) Company 1,174,612 10.11 522,824 4.5 n/a n/a Bank 1,376,779 11.86 522,387 4.5 754,558 6.5 Tier 1 capital (to average assets) Company 1,204,446 10.10 477,008 4.0 n/a n/a Bank 1,376,779 11.56 476,394 4.0 595,493 5.0 As of December 31, 2022 Total capital (to RWA) Company $ 1,395,904 11.63 % $ 960,209 8.0 % n/a n/a Bank 1,368,082 11.41 959,216 8.0 $ 1,199,020 10.0 % Tier 1 capital (to RWA) Company 1,121,021 9.34 720,142 6.0 n/a n/a Bank 1,291,288 10.77 719,381 6.0 959,174 8.0 Common equity tier 1 (to RWA) Company 1,091,353 9.09 540,274 4.5 n/a n/a Bank 1,291,288 10.77 539,535 4.5 779,329 6.5 Tier 1 capital (to average assets) Company 1,121,021 9.82 456,628 4.0 n/a n/a Bank 1,291,288 11.32 456,286 4.0 570,357 5.0 Dividend Restrictions Dividends paid by the Bank are subject to certain restrictions imposed by regulatory agencies. Capital requirements further limit the amount of dividends that may be paid by the Bank. Dividends of $20,000 and $40,000 were paid by the Bank to the Holdco during the three and nine months ending September 30, 2023, respectively. Dividends of $17,500 were paid by the Bank to the Holdco during the three and nine months ended September 30, 2022. Dividends of $10,861, or $0.20 per outstanding share, and $32,548, or $0.60 per outstanding share on the applicable record date, were paid by the Company during the three and nine months ended September 30, 2023, respectively. Dividends of $10,791, or $0.20 per outstanding share, and $31,496, or $0.60 per outstanding share on the applicable record date, were paid by the Company during the three and nine months ended September 30, 2022 , respectively. The Bank is subject to limitations on dividend payouts if, among other things, it does not have a capital conservation buffer of 2.5% or more. The Bank had a capital conservation buffer of 4.73% and 3.41% as of September 30, 2023 and December 31, 2022, respectively. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Pay vs Performance Disclosure | ||||
NET INCOME | $ 32,621 | $ 43,322 | $ 104,762 | $ 106,418 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Sep. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited consolidated financial statements include the accounts of Veritex Holdings, Inc. and its subsidiaries, including Veritex Community Bank. The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”), but do not include all of the information and footnotes required for complete financial statements. Intercompany transactions and balances are eliminated in consolidation. In management’s opinion, these unaudited consolidated financial statements include all adjustments of a normal recurring nature necessary for a fair statement of the Company’s consolidated balance sheets at September 30, 2023 and December 31, 2022, consolidated statements of income, consolidated statements of comprehensive income (loss) and consolidated changes in stockholders’ equity for the three and nine months ended September 30, 2023 and 2022 and consolidated statements of cash flows for the nine months ended September 30, 2023 and 2022. Accounting measurements at interim dates inherently involve greater reliance on estimates than at year end and the results for the interim periods shown herein are not necessarily indicative of results to be expected for the full year due in part to global economic and financial market conditions, interest rates, access to sources of liquidity, market competition and interruptions of business processes. These unaudited consolidated financial statements have been prepared in accordance with GAAP for interim financial information and the instructions to Quarterly Reports on Form 10-Q adopted by the Securities and Exchange Commission (“SEC”). These unaudited consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the year ended December 31, 2022 included in the Company’s Annual Report on Form 10-K, as filed with the SEC on February 28, 2023. |
EPS | EPSEPS is based upon the weighted average shares outstanding. |
Goodwill | Goodwill Goodwill resulting from a business combination represents the excess of the fair value of the consideration transferred over the fair value of the net assets acquired and liabilities assumed as of the acquisition date. Goodwill is not amortized but is reviewed for potential impairment annually on October 31 of each fiscal year or when a triggering event occurs. The Company may first assess qualitative factors to determine whether it is more likely than not (that is, a likelihood of more than 50%) that the fair value of a reporting unit is less than its carrying amount, including goodwill. The Company has an unconditional option to bypass the qualitative assessment for any reporting unit in any period and proceed directly to performing the quantitative goodwill impairment test, and the Company may resume performing the qualitative assessment in any subsequent period. If the Company determines that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, then the Company proceeds to perform the quantitative goodwill impairment test. The quantitative goodwill impairment test, used to identify both the existence of potential impairment and the amount of impairment loss, compares the fair value of a reporting unit with its carrying amount, including goodwill. If the carrying amount of a reporting unit exceeds its fair value, an impairment loss shall be recognized in an amount equal to that excess, limited to the total amount of goodwill allocated to that reporting unit. Any such adjustments to goodwill are reflected in the results of operations in the periods in which they become known. During the second quarter of 2023, the Company observed a sustained decline in the market valuation of the Company’s common stock as a result of significant volatility in the banking industry with multiple high-profile bank failures and industry wide concerns related to liquidity, deposit outflows, unrealized securities losses and eroding consumer confidence in the banking system. As a result, the Company performed an interim quantitative impairment test with a trigger date of May 31, 2023. The Company determined the fair value of its reporting unit using a combination of a market and an income approach. Upon completion of the quantitative evaluation, the Company determined that the fair value of the Company's reporting unit exceeded its related carrying value, and therefore goodwill was not impaired. During the third quarter of 2023, the Company evaluated current conditions and concluded there have been no significant changes in the economic environment or projections, and no decline in fair value during the quarter. However, changing economic conditions that may adversely affect the Company's performance, the fair value of its assets and liabilities, or its stock price could result in future impairment, which could adversely affect earnings in future periods. Management will continue to monitor events that could impact this conclusion in the future. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Schedule of Reconciliation Between Weighted Average Shares Used for Calculating Basic and Diluted EPS | The table below sets forth the reconciliation between weighted average shares used for calculating basic and diluted EPS for the three and nine months ended September 30, 2023 and 2022: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Numerator: Net income $ 32,621 $ 43,322 $ 104,762 $ 106,418 Denominator: Weighted average shares outstanding for basic EPS 54,300 53,979 54,233 52,886 Dilutive effect of employee stock-based awards 297 654 330 769 Adjusted weighted average shares outstanding 54,597 54,633 54,563 53,655 EPS: Basic $ 0.60 $ 0.80 $ 1.93 $ 2.01 Diluted $ 0.60 $ 0.79 $ 1.92 $ 1.98 |
Supplemental Statement of Cas_2
Supplemental Statement of Cash Flows (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Other Supplemental Cash Flow Information | Other supplemental cash flow information is presented below: Nine Months Ended September 30, 2023 2022 (in thousands) Supplemental Disclosures of Cash Flow Information: Cash paid for interest $ 208,668 $ 34,647 Cash paid for income taxes 38,893 26,000 Supplemental Disclosures of Non-Cash Flow Information: Transfer of AFS debt securities to HTM debt securities — 117,001 Net foreclosure of OREO and repossessed assets — 1,032 Noncash assets acquired in business combination 1 LHI — (681) Goodwill — 681 1 Represents adjustments to provisional estimates recorded during the nine months ended September 30, 2022 for the acquisition of North Avenue Capital, LLC. |
Securities (Tables)
Securities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Gross Unrealized Loss Recognized on Equity Securities | The gross unrealized loss recognized on equity securities with readily determinable fair values recorded in other noninterest income in the Company’s consolidated statements of income were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Unrealized loss recognized on equity securities with a readily determinable fair value $ (304) $ (429) $ (335) $ (1,299) |
Schedule of Carrying Amount and Approximate Fair Values of Available-for-Sale Securities | The amortized cost, related gross unrealized gains and losses, ACL and the fair value of AFS and HTM debt securities are as follows: September 30, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value AFS Corporate bonds $ 244,487 $ 1,237 $ 34,910 $ — $ 210,814 Municipal securities 46,725 — 6,080 — 40,645 Mortgage-backed securities 122,595 13 20,715 — 101,893 Collateralized mortgage obligations 489,858 — 64,662 — 425,196 Asset-backed securities 34,456 319 2,800 — 31,975 Collateralized loan obligations 69,750 — 1,190 — 68,560 $ 1,007,871 $ 1,569 $ 130,357 $ — $ 879,083 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value HTM Mortgage-backed securities $ 34,344 $ — $ 8,103 $ — $ 26,241 Collateralized mortgage obligations 34,717 — 6,208 — 28,509 Municipal securities 112,485 — 19,399 — 93,086 $ 181,546 $ — $ 33,710 $ — $ 147,836 December 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value AFS Corporate bonds $ 268,179 $ 1,445 $ 17,379 $ — $ 252,245 Municipal securities 49,886 3 4,198 — 45,691 Mortgage-backed securities 156,408 23 17,420 — 139,011 Collateralized mortgage obligations 609,456 — 55,850 — 553,606 Asset-backed securities 42,015 289 2,613 — 39,691 Collateralized loan obligations 69,750 — 3,702 — 66,048 $ 1,195,694 $ 1,760 $ 101,162 $ — $ 1,096,292 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses ACL Fair Value HTM Mortgage-backed securities $ 36,342 $ — $ 6,753 $ — $ 29,589 Collateralized mortgage obligations 36,169 — 5,884 — 30,285 Municipal securities 113,657 6 14,756 — 98,907 $ 186,168 $ 6 $ 27,393 $ — $ 158,781 |
Schedule of Investment Securities That Have Been in a Continuous Unrealized Loss Position | The following tables disclose the Company’s AFS debt securities in an unrealized loss position, aggregated by investment category and length of time that individual debt securities have been in a continuous loss position: September 30, 2023 Less Than 12 Months 12 Months or More Totals Fair Unrealized Fair Unrealized Fair Unrealized AFS Corporate bonds $ 24,419 $ 6,580 $ 157,421 $ 28,330 $ 181,840 $ 34,910 Municipal securities 20,667 752 19,978 5,328 40,645 6,080 Mortgage-backed securities 154 — 101,233 20,715 101,387 20,715 Collateralized mortgage obligations — — 425,196 64,662 425,196 64,662 Asset-backed securities 7,724 1,877 8,983 923 16,707 2,800 Collateralized loan obligations — — 68,560 1,190 68,560 1,190 $ 52,964 $ 9,209 $ 781,371 $ 121,148 $ 834,335 $ 130,357 HTM Mortgage-backed securities $ — $ — $ 26,241 $ 8,103 $ 26,241 $ 8,103 Collateralized mortgage obligations — — 28,509 6,208 28,509 6,208 Municipal securities 17,947 1,262 75,139 18,137 93,086 19,399 $ 17,947 $ 1,262 $ 129,889 $ 32,448 $ 147,836 $ 33,710 December 31, 2022 Less Than 12 Months 12 Months or More Totals Fair Unrealized Loss Fair Unrealized Loss Fair Unrealized Loss AFS Corporate bonds $ 197,946 $ 15,697 $ 15,568 $ 1,682 $ 213,514 $ 17,379 Municipal securities 33,919 848 8,813 3,350 42,732 4,198 Mortgage-backed securities 115,467 11,104 22,780 6,317 138,247 17,421 Collateralized mortgage obligations 482,358 42,553 71,198 13,296 553,556 55,849 Asset-backed securities 15,195 991 11,207 1,621 26,402 2,612 Collateralized loan obligations 23,673 1,328 42,375 2,375 66,048 3,703 $ 868,558 $ 72,521 $ 171,941 $ 28,641 $ 1,040,499 $ 101,162 HTM Mortgage-backed securities $ 804 $ 85 $ 28,784 $ 6,668 $ 29,588 $ 6,753 Collateralized mortgage obligations 25,285 4,676 4,999 1,208 30,284 5,884 Municipal securities 85,671 11,411 9,161 3,345 94,832 14,756 $ 111,760 $ 16,172 $ 42,944 $ 11,221 $ 154,704 $ 27,393 |
Schedule of Activity in Allowance for Credit Loss | The following table presents the activity in the allowance for credit losses for AFS debt securities: Three Months ended September 30, Nine Months ended September 30, 2023 2022 2023 2022 Allowance for credit losses: Beginning balance $ 885 $ — $ — $ — Credit loss recovery (885) — — — Allowance for credit losses ending balance $ — $ — $ — $ — |
Schedule of Amortized Costs and Estimated Fair Values of Securities Available for Sale, By Contractual Maturity | The amortized costs and estimated fair values of AFS and HTM debt securities, by contractual maturity, as of the dates indicated, are shown in the table below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage-backed securities, collateralized mortgage obligations, asset-backed securities, and collateralized loan obligations typically are issued with stated principal amounts, and the securities are backed by pools of mortgage loans and other loans that have varying maturities. The terms of mortgage-backed securities, collateralized mortgage obligations, asset-backed securities, and collateralized loan obligations thus approximates the terms of the underlying mortgages and loans and can vary significantly due to prepayments. Therefore, these securities are not included in the maturity categories below. September 30, 2023 AFS HTM Amortized Cost Fair Value Amortized Cost Fair Value Due in one year or less $ 2,026 $ 1,913 $ — $ — Due from one year to five years 46,477 47,002 4,466 4,407 Due from five years to ten years 188,542 157,908 12,839 12,115 Due after ten years 54,167 44,636 95,180 76,564 291,212 251,459 112,485 93,086 Mortgage-backed securities and collateralized mortgage obligations 612,453 527,089 69,061 54,750 Asset-backed securities 34,456 31,975 — — Collateralized loan obligations 69,750 68,560 — — $ 1,007,871 $ 879,083 $ 181,546 $ 147,836 December 31, 2022 AFS HTM Amortized Cost Fair Value Amortized Cost Fair Value Due in one year or less $ — $ — $ — $ — Due from one year to five years 53,692 54,179 — — Due from five years to ten years 205,911 190,406 8,275 8,129 Due after ten years 58,462 53,351 105,382 90,778 318,065 297,936 113,657 98,907 Mortgage-backed securities and collateralized mortgage obligations 765,864 692,617 72,511 59,874 Asset-backed securities 42,015 39,691 — — Collateralized loan obligations 69,750 66,048 — — $ 1,195,694 $ 1,096,292 $ 186,168 $ 158,781 |
Schedule of Proceeds From Sales of Debt Securities AFS and Gross Gains and Losses | Proceeds from sales of debt securities AFS and gross gains and losses for the nine months ended September 30, 2023 and 2022 were as follows: Nine Months Ended September 30, 2023 2022 Proceeds from sales (1) $ 109,793 $ — Gross realized losses (1) 5,321 — (1) There were no proceeds from sales or gross realized losses for the three months ended September 30, 2023 and 2022. |
LHI and ACL (Tables)
LHI and ACL (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Receivables [Abstract] | |
Summary of Loans in the Accompanying Consolidated Balance Sheets | LHI in the accompanying consolidated balance sheets are summarized as follows: September 30, 2023 December 31, 2022 LHI, carried at amortized cost: Real estate: Construction and land $ 1,705,053 $ 1,787,400 Farmland 59,684 43,500 1 - 4 family residential 933,225 894,456 Multi-family residential 603,395 322,679 Owner occupied commercial real estate (“OOCRE”) 697,299 715,829 Non-owner occupied commercial real estate (“NOOCRE”) 2,398,060 2,341,379 Commercial 2,841,024 2,942,348 MW 390,767 446,227 Consumer 9,845 7,806 $ 9,638,352 $ 9,501,624 Deferred loan fees, net (10,138) (18,973) ACL (109,831) (91,052) Total LHI, net $ 9,518,383 $ 9,391,599 |
Schedule of Activity in Allowance for Credit Loss | The activity in the ACL related to LHI is as follows: Three Months Ended September 30, 2023 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial MW Consumer Total Balance at beginning of the period $ 18,145 $ 170 $ 9,209 $ 4,707 $ 7,519 $ 27,875 $ 34,197 $ — $ 328 $ 102,150 Credit loss expense non-PCD loans 1,304 21 150 133 581 947 5,072 465 57 8,730 Credit (benefit) loss expense PCD loans — — — — (6) 797 (9) — 782 Charge-offs — — — — (375) — (1,929) (49) (2,353) Recoveries — — — — — 200 308 14 522 Ending Balance $ 19,449 $ 191 $ 9,359 $ 4,840 $ 7,719 $ 29,819 $ 37,639 $ 465 $ 350 $ 109,831 Three Months Ended September 30, 2022 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial Consumer Total Balance at beginning of the period $ 10,300 $ 145 $ 8,056 $ 2,186 $ 7,609 $ 27,772 $ 24,374 $ 134 $ 80,576 Credit (benefit) loss expense non-PCD loans 2,338 (10) 1,126 (59) 1,824 (1,651) 3,426 2,209 9,203 Credit (benefit) loss expense PCD loans (10) — (163) — (1,720) 171 (819) (12) (2,553) Charge-offs — — — — (1,061) (838) (460) (19) (2,378) Recoveries — — 4 — — 3 177 5 189 Ending Balance $ 12,628 $ 135 $ 9,023 $ 2,127 $ 6,652 $ 25,457 $ 26,698 $ 2,317 $ 85,037 Nine Months Ended September 30, 2023 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial MW Consumer Total Balance at beginning of the period $ 13,120 $ 127 $ 9,533 $ 2,607 $ 8,707 $ 26,704 $ 30,142 $ — $ 112 $ 91,052 Credit (benefit) loss expense non-PCD loans 6,375 64 (169) 2,233 (467) 10,362 13,709 465 375 32,947 (Benefit) credit expense PCD loans (46) — (7) — (30) 618 (470) — — 65 Charge-offs — — — — (491) (8,215) (6,520) — (203) (15,429) Recoveries — — 2 — — 350 778 — 66 1,196 Ending Balance $ 19,449 $ 191 $ 9,359 $ 4,840 $ 7,719 $ 29,819 $ 37,639 $ 465 $ 350 $ 109,831 Nine Months Ended September 30, 2022 Construction and Land Farmland Residential Multifamily OOCRE NOOCRE Commercial Consumer Total Balance at beginning of the period $ 7,293 $ 187 $ 5,982 $ 2,664 $ 9,215 $ 30,548 $ 21,632 $ 233 $ 77,754 Credit (benefit) loss expense non-PCD loans 5,360 (52) 3,269 (537) 2,821 (5,040) 10,538 4,549 20,908 (Benefit) credit loss expense PCD loans (25) — (235) — (2,983) 844 (2,083) (1,276) (5,758) Charge-offs — — — — (2,646) (1,391) (4,282) (1,244) (9,563) Recoveries — — 7 — 245 496 893 55 1,696 Ending Balance $ 12,628 $ 135 $ 9,023 $ 2,127 $ 6,652 $ 25,457 $ 26,698 $ 2,317 $ 85,037 |
Schedule of Amortized Cost Basis of Collateral Dependent Loans | The following table presents the amortized cost basis of collateral dependent loans, which are individually evaluated to determine expected credit losses, and the related ACL allocated to these loans: September 30, 2023 December 31, 2022 Real Property (1) ACL Allocation Real Property (1) ACL Allocation OOCRE $ 3,059 $ — $ 1,193 $ 129 NOOCRE 32,698 2,000 20,896 2,138 Commercial 2,506 784 1,240 396 Mortgage warehouse 208 208 — — Consumer — — 15 — Total $ 38,471 $ 2,992 $ 23,344 $ 2,663 |
Schedule of Non-Accrual Loans | Nonaccrual loans aggregated by class of loans, as of September 30, 2023 and December 31, 2022, were as follows: September 30, 2023 December 31, 2022 Nonaccrual Nonaccrual With No ACL Nonaccrual Nonaccrual With No ACL 1 - 4 family residential $ 900 $ 900 $ 862 $ 862 OOCRE 10,368 10,368 9,737 8,545 NOOCRE 32,779 21,451 21,377 13,178 Commercial 35,106 5,418 11,397 2,521 MW 208 — — — Consumer 33 33 169 169 Total $ 79,394 $ 38,170 $ 43,542 $ 25,275 |
Schedule of Age Analysis of Past Due Loans, Aggregated by Class of Loans | An age analysis of past due loans, aggregated by class of loans and including past due nonaccrual loans, as of September 30, 2023 and December 31, 2022, is as follows: September 30, 2023 30 to 59 Days 60 to 89 Days 90 Days or Greater Total Past Due (1) Total Current PCD Total Total 90 Days Past Due and Still Accruing (2) Construction and land $ — $ — $ — $ — $ 1,705,053 $ — $ 1,705,053 $ — Farmland — — — — 59,684 — 59,684 — 1 - 4 family residential 3,411 3,660 880 7,951 924,161 1,113 933,225 332 Multi-family residential — — — — 603,395 — 603,395 — OOCRE 533 — 3,059 3,592 675,799 17,908 697,299 — NOOCRE 13,413 — 19,061 32,474 2,351,481 14,105 2,398,060 — Commercial 9,211 — 19,372 28,583 2,809,276 3,165 2,841,024 142 MW — — 208 208 390,559 — 390,767 — Consumer 53 — 3 56 9,774 15 9,845 — Total $ 26,621 $ 3,660 $ 42,583 $ 72,864 $ 9,529,182 $ 36,306 $ 9,638,352 $ 474 (1) Total past due loans includes $13,718 of PCD loans as of September 30, 2023. (2) Loans 90 days past due and still accruing excludes $448 of PCD loans as of September 30, 2023. December 31, 2022 30 to 59 Days 60 to 89 Days 90 Days or Greater Total Past Due (1) Total Current PCD Total Total 90 Days Past Due and Still Accruing (2) Real estate: Construction and land $ 1,121 $ 2,111 $ — $ 3,232 $ 1,784,168 $ 1,544 $ 1,787,400 $ — Farmland — — — — 43,500 — 43,500 — 1 - 4 family residential 4,319 129 499 4,947 889,509 1,180 894,456 123 Multi-family residential 1,000 — — 1,000 321,679 — 322,679 — OOCRE 3,342 1,186 1,193 5,721 710,108 19,817 715,829 — NOOCRE 5,156 — 20,896 26,052 2,315,327 12,748 2,341,379 — Commercial 3,088 2,188 1,675 6,951 2,935,397 3,701 2,942,348 — MW — — — — 446,227 — 446,227 — Consumer 352 — 45 397 7,409 23 7,806 2 Total $ 18,378 $ 5,614 $ 24,308 $ 48,300 $ 9,453,324 $ 39,013 $ 9,501,624 $ 125 (1) Total past due loans includes $13,178 of PCD loans as of December 31, 2022. (2) Loans 90 days past due and still accruing excludes $2,004 of PCD loans and $669 of PPP loans as of December 31, 2022. |
Schedule of Loans Modified as TDRs | The following table shows the amortized cost basis at the end of the reporting period of the loans modified to borrowers experiencing financial difficulty, disaggregated by class of financing receivable and type of concession granted during the nine months ended September 30, 2023: Loan Modifications Made to Borrowers Experiencing Financial Difficulty Interest Rate Reduction Amortized Cost Basis % of Loan Class Financial Impact 1-4 Family Residential Rentals 1 $ 41,066 4.4 % Reduced weighted-average contractual interest rate from floating 7.5% to fixed 6.0% 1 1-4 Family Residential Rentals is included in the 1-4 family residential loan portfolio and is reported as such in accordance with Federal Financial Institutions Examination Council guidelines. Term Extension Amortized Cost Basis % of Loan Class Financial Impact NOOCRE $ 22,524 0.9 % Principal and interest deferred over three months Commercial 26,036 0.9 % Principal and interest deferred over three months $ 48,560 Payment Status Current 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due 1-4 Family Residential Rentals $ 41,066 $ — $ — $ — NOOCRE 22,524 — — — Commercial 25,545 — — 491 Total $ 89,135 $ — $ — $ 491 |
Summary of Internal Ratings of Loans, Including Purchased Credit Impaired Loans | Based on the most recent analysis performed, the risk category of loans by class of loans based on year or origination is as follows: Term Loans Amortized Cost Basis by Origination Year 1 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Total As of September 30, 2023 Construction and land: Pass $ 57,129 $ 674,330 $ 543,914 $ 159,527 $ 3,163 $ 12,483 $ 179,609 $ — $ 1,630,155 Special mention 23 3,963 8,584 3,450 26,073 — 4,283 — 46,376 Substandard — — 3,000 25,522 — — — — 28,522 Total construction and land $ 57,152 $ 678,293 $ 555,498 $ 188,499 $ 29,236 $ 12,483 $ 183,892 $ — $ 1,705,053 Construction and land gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Farmland: Pass $ 2,544 $ 4,426 $ 22,156 $ 18,133 $ 16 $ 4,974 $ 7,435 $ — $ 59,684 Total farmland $ 2,544 $ 4,426 $ 22,156 $ 18,133 $ 16 $ 4,974 $ 7,435 $ — $ 59,684 Farmland gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — 1 - 4 family residential: Pass $ 54,775 $ 142,881 $ 197,939 $ 83,463 $ 38,878 $ 277,330 $ 112,815 $ 17,356 $ 925,437 Special mention 3,750 — — — — 312 — — 4,062 Substandard — 144 721 — 128 1,090 530 — 2,613 PCD — — — — — 1,113 — — 1,113 Total 1 - 4 family residential $ 58,525 $ 143,025 $ 198,660 $ 83,463 $ 39,006 $ 279,845 $ 113,345 $ 17,356 $ 933,225 1-4 family residential gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Multi-family residential: Pass $ 5,644 $ 80,058 $ 253,708 $ 198,048 $ 8,140 $ 18,922 $ 10,099 $ — $ 574,619 Special mention — — — — — 26,847 — — 26,847 Substandard — — — — 1,929 — — — 1,929 Total multi-family residential $ 5,644 $ 80,058 $ 253,708 $ 198,048 $ 10,069 $ 45,769 $ 10,099 $ — $ 603,395 Multi-family residential gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — OOCRE: Pass $ 61,309 $ 159,683 $ 110,464 $ 91,418 $ 41,080 $ 172,864 $ 3,763 $ — $ 640,581 Special mention — 9,357 280 715 1,904 7,253 — — 19,509 Substandard — — 1,766 — — 17,535 — — 19,301 PCD — — — — — 17,908 — — 17,908 Total OOCRE $ 61,309 $ 169,040 $ 112,510 $ 92,133 $ 42,984 $ 215,560 $ 3,763 $ — $ 697,299 OOCRE gross charge-offs $ — $ — $ — $ 5 $ 5 $ 481 $ — $ — $ 491 NOOCRE: Pass $ 51,793 $ 737,112 $ 517,516 $ 221,135 $ 148,648 $ 402,355 $ 30,138 $ 583 $ 2,109,280 Special mention — 3,699 38,981 26,850 41,335 64,806 — — 175,671 Substandard — — 2,744 — 1,259 95,001 — — 99,004 PCD — — — — — 14,105 — — 14,105 Total NOOCRE $ 51,793 $ 740,811 $ 559,241 $ 247,985 $ 191,242 $ 576,267 $ 30,138 $ 583 $ 2,398,060 NOOCRE gross charge-offs $ — $ — $ — $ — $ — $ 8,215 $ — $ — $ 8,215 Commercial: Pass $ 152,357 $ 361,010 $ 109,578 $ 56,193 $ 45,114 $ 52,493 $ 1,966,749 $ 519 $ 2,744,013 Special mention — 14,103 650 — — 9,567 7,664 — 31,984 Substandard 642 16,279 4,600 6,169 6,593 17,037 10,468 74 61,862 PCD — — — — — 3,165 — — 3,165 Total commercial $ 152,999 $ 391,392 $ 114,828 $ 62,362 $ 51,707 $ 82,262 $ 1,984,881 $ 593 $ 2,841,024 Commercial gross charge-offs $ — $ 1,854 $ — $ 48 $ 479 $ 4,139 $ — $ — $ 6,520 MW: Pass $ 66,063 $ 60,193 $ 153 $ 147 $ 623 $ 167 $ 263,213 $ — $ 390,559 Substandard — — — — — 208 — — 208 Total MW $ 66,063 $ 60,193 $ 153 $ 147 $ 623 $ 375 $ 263,213 $ — $ 390,767 MW gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ — Consumer: Pass $ 4,179 $ 1,147 $ 304 $ 654 $ 116 $ 1,805 $ 1,457 $ — $ 9,662 Special mention — — — — — 89 — — 89 Substandard — — 2 — 11 66 — — 79 PCD — — — — — 15 — — 15 Total consumer $ 4,179 $ 1,147 $ 306 $ 654 $ 127 $ 1,975 $ 1,457 $ — $ 9,845 Consumer gross charge-offs $ — $ 29 $ — $ — $ — $ 174 $ — $ — $ 203 Total Pass $ 455,793 $ 2,220,840 $ 1,755,732 $ 828,718 $ 285,778 $ 943,393 $ 2,575,278 $ 18,458 $ 9,083,990 Total Special Mention 3,773 31,122 48,495 31,015 69,312 108,874 11,947 — 304,538 Total Substandard 642 16,423 12,833 31,691 9,920 130,937 10,998 74 213,518 Total PCD — — — — — 36,306 — — 36,306 Total $ 460,208 $ 2,268,385 $ 1,817,060 $ 891,424 $ 365,010 $ 1,219,510 $ 2,598,223 $ 18,532 $ 9,638,352 Total gross charge-offs $ — $ 1,883 $ — $ 53 $ 484 $ 13,009 $ — $ — $ 15,429 1 Term loans amortized cost basis by origination year excludes $10,138 of deferred loan fees, net. Term Loans Amortized Cost Basis by Origination Year 1 2022 2021 2020 2019 2018 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Total As of December 31, Construction and land: Pass $ 347,855 $ 709,208 $ 378,229 $ 69,241 $ 30,673 $ 14,025 $ 215,263 $ 140 $ 1,764,634 Special mention — 18,662 2,560 — — — — — 21,222 Substandard — — — — — — — — — PCD — — — — — 1,544 — — 1,544 Total construction and land $ 347,855 $ 727,870 $ 380,789 $ 69,241 $ 30,673 $ 15,569 $ 215,263 $ 140 $ 1,787,400 Farmland: Pass $ 2,546 $ 16,242 $ 18,530 $ 21 $ — $ 5,069 $ 1,092 $ — $ 43,500 Special mention — — — — — — — — — Substandard — — — — — — — — — PCD — — — — — — — — — Total farmland $ 2,546 $ 16,242 $ 18,530 $ 21 $ — $ 5,069 $ 1,092 $ — $ 43,500 1 - 4 family residential: Pass $ 135,006 $ 188,635 $ 87,861 $ 43,293 $ 41,960 $ 257,768 $ 86,900 $ 726 $ 842,149 Special mention — — — — — 278 26,068 — 26,346 Substandard — 184 — — 1,028 23,569 — 24,781 PCD — — — — — 1,180 — — 1,180 Total 1 - 4 family residential $ 135,006 $ 188,819 $ 87,861 $ 43,293 $ 41,960 $ 260,254 $ 136,537 $ 726 $ 894,456 Multi-family residential: Pass $ 72,044 $ 80,793 $ 110,426 $ 8,402 $ 32,822 $ 2,494 $ — $ — $ 306,981 Special mention — — — — — — — — — Substandard — — — 1,954 13,744 — — — 15,698 PCD — — — — — — — — — Total multi-family residential $ 72,044 $ 80,793 $ 110,426 $ 10,356 $ 46,566 $ 2,494 $ — $ — $ 322,679 OOCRE: Pass $ 191,044 $ 106,698 $ 84,230 $ 43,965 $ 49,461 $ 167,968 $ 5,225 $ — $ 648,591 Special mention — 2,321 1,409 1,964 — 3,447 — 45 9,186 Substandard — — — — 23,231 15,004 — — 38,235 PCD — — — — — 19,817 — — 19,817 Total OOCRE $ 191,044 $ 109,019 $ 85,639 $ 45,929 $ 72,692 $ 206,236 $ 5,225 $ 45 $ 715,829 NOOCRE: Pass $ 752,476 $ 531,735 $ 215,076 $ 149,246 $ 196,424 $ 305,434 $ 16,642 $ 465 $ 2,167,498 Special mention — — 22,774 19,464 12,274 51,451 — — 105,963 Substandard — — — 1,310 7,659 46,201 — — 55,170 PCD — — — — 12,697 51 — — 12,748 Total NOOCRE $ 752,476 $ 531,735 $ 237,850 $ 170,020 $ 229,054 $ 403,137 $ 16,642 $ 465 $ 2,341,379 Commercial: Pass $ 473,084 $ 132,396 $ 90,543 $ 83,996 $ 40,030 $ 31,269 $ 1,906,074 $ 553 $ 2,757,945 Special mention — 666 — 4,543 7,385 270 114,447 — 127,311 Substandard 17,894 4,058 5,189 4,195 10,954 4,732 6,292 77 53,391 PCD — — — — 273 3,428 — — 3,701 Total commercial $ 490,978 $ 137,120 $ 95,732 $ 92,734 $ 58,642 $ 39,699 $ 2,026,813 $ 630 $ 2,942,348 MW: Pass $ — $ — $ — $ — $ — $ — $ 444,393 $ — $ 444,393 Special mention — — — — — — 1,626 — 1,626 Substandard — — — — 46 162 — — 208 Total MW $ — $ — $ — $ — $ 46 $ 162 $ 446,019 $ — $ 446,227 Consumer: Pass $ 1,965 $ 452 $ 872 $ 216 $ 135 $ 2,298 $ 1,618 $ — $ 7,556 Special mention — — — — — 58 — — 58 Substandard — — — — — 169 — — 169 PCD — — — — — 23 — — 23 Total consumer $ 1,965 $ 452 $ 872 $ 216 $ 135 $ 2,548 $ 1,618 $ — $ 7,806 Total Pass $ 1,976,020 $ 1,766,159 $ 985,767 $ 398,380 $ 391,505 $ 786,325 $ 2,677,207 $ 1,884 $ 8,983,247 Total Special Mention — 21,649 26,743 25,971 19,659 55,504 142,141 45 291,712 Total Substandard 17,894 4,242 5,189 7,459 55,634 67,296 29,861 77 187,652 Total PCD — — — — 12,970 26,043 — — 39,013 Total $ 1,993,914 $ 1,792,050 $ 1,017,699 $ 431,810 $ 479,768 $ 935,168 $ 2,849,209 $ 2,006 $ 9,501,624 1 Term loans amortized cost basis by origination year excludes $18,973 of deferred loan fees, net. |
Schedule of Summary of Changes in Servicing Assets | A summary of the changes in the related servicing assets are as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Balance at beginning of period $ 14,923 $ 15,680 $ 14,880 $ 17,705 Increase from loan sales 90 113 1,863 1,811 Servicing asset (net impairment), net recoveries (455) 551 407 (1,332) Amortization charged as a reduction to income (1,197) (934) (3,789) (2,774) Balance at end of period $ 13,361 $ 15,410 $ 13,361 $ 15,410 |
Schedule of Loans Held-for-Sale, Principal Sold | The following table reflects principal sold and related gain for SBA and USDA LHI. The gain on sale of these loans is recorded in government guaranteed loan income, net in the Company’s consolidated statements of income. Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 SBA LHI principal sold $ 2,896 $ 2,215 $ 9,826 $ 18,101 Gain on sale of SBA LHI 243 140 822 803 USDA LHI principal sold — — 62,640 20,500 Gain on sale of USDA LHI — — 9,663 3,708 |
Schedule of Loans Held-for-Sale | The following table reflects LHFS. September 30, 2023 December 31, 2022 SBA construction and land $ 8,458 $ 12,296 1 - 4 family residential 806 866 SBA OOCRE 9,140 5,915 SBA commercial 22,909 1,564 Total LHFS $ 41,313 $ 20,641 |
Fair Value (Tables)
Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets Measured at Fair Value on a Recurring Basis | The following table summarizes assets measured at fair value on a recurring basis as of September 30, 2023 and December 31, 2022, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: September 30, 2023 Level 1 Level 2 Level 3 Total Financial Assets: AFS debt securities $ — $ 879,083 $ — $ 879,083 Equity securities with a readily determinable fair value 9,457 — — 9,457 LHFS (1) — 40,507 — 40,507 Interest rate swap designated as hedging instruments — 20,893 — 20,893 Correspondent interest rate swaps not designated as hedging instruments — 51,973 — 51,973 Customer interest rate swaps not designated as hedging instruments — 54 — 54 Correspondent interest rate caps and collars not designated as hedging instruments — 2,543 — 2,543 Financial Liabilities: Interest rate swap designated as hedging instruments $ — $ 62,077 $ — $ 62,077 Correspondent interest rate swaps not designated as hedging instruments — 75 — 75 Customer interest rate swaps not designated as hedging instruments — 51,418 — 51,418 Customer interest rate caps and collars not designated as hedging instruments — 2,543 — 2,543 1) Represents LHFS elected to be carried at fair value. December 31, 2022 Level 1 Level 2 Level 3 Total Financial Assets: AFS debt securities $ — $ 1,096,292 $ — $ 1,096,292 Equity securities with a readily determinable fair value 9,792 — — 9,792 Paycheck Protection Program (“PPP”) loans — — 1,995 1,995 LHFS (1) — 19,775 — 19,775 Interest rate swap designated as hedging instruments — 26,523 — 26,523 Correspondent interest rate swaps not designated as hedging instruments — 38,839 — 38,839 Customer interest rate swaps not designated as hedging instruments — 1,004 — 1,004 Correspondent interest rate caps and collars not designated as hedging instruments — 1,494 — 1,494 Financial Liabilities: Interest rate swap designated as hedging instruments $ — $ 54,171 $ — $ 54,171 Correspondent interest rate swaps not designated as hedging instruments — 1,126 — 1,126 Customer interest rate swaps not designated as hedging instruments — 38,188 — 38,188 Customer interest rate caps and collars not designated as hedging instruments — 1,494 — 1,494 (1) Represents LHFS elected to be carried at fair value upon origination or acquisition.. |
Schedule of Assets Measured at Fair Value on a Non-Recurring Basis | The following table summarizes assets measured at fair value on a non-recurring basis as of September 30, 2023 and December 31, 2022, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: Fair Value Level 1 Level 2 Level 3 Total As of September 30, 2023 Assets: Collateral dependent loans with an ACL $ — $ — $ 11,050 $ 11,050 Servicing assets with a valuation allowance — — 7,088 7,088 As of December 31, 2022 Assets: Collateral dependent loans with an ACL $ — $ — $ 7,969 $ 7,969 Servicing assets with a valuation allowance — — 10,984 10,984 |
Schedule of Estimated Fair Values and Carrying Values of All Financial Instruments | The estimated fair values and carrying values of all financial instruments not measured at fair value on a recurring basis under current authoritative guidance as of September 30, 2023 and December 31, 2022 were as follows: Fair Value Carrying Level 1 Level 2 Level 3 September 30, 2023 Financial assets: Cash and cash equivalents $ 713,408 $ — $ 713,408 $ — HTM debt securities 181,546 — 147,836 — LHFS (1) 806 — — 806 LHI (2) 9,507,333 — — 9,326,018 Accrued interest receivable 47,739 — 47,739 — BOLI 84,867 — 84,867 — Servicing asset 6,273 — 6,273 — Equity securities without a readily determinable fair value 11,256 N/A N/A N/A FHLB and FRB stock 59,138 N/A N/A N/A Financial liabilities: Deposits $ 10,196,518 $ — $ 9,418,008 $ — Advances from FHLB 200,000 — 199,844 — Accrued interest payable 33,575 — 33,575 — Subordinated debentures and subordinated notes 229,531 — 229,531 — December 31, 2022 Financial assets: Cash and cash equivalents $ 436,077 $ — $ 436,077 $ — HTM debt securities 186,168 — 158,781 — Securities purchased under agreements to resell — — — — LHFS (1) 866 — 866 — LHI (2) 9,399,614 — — 9,163,616 Accrued interest receivable 44,035 — 44,035 — BOLI 84,496 — 84,496 — Servicing asset 3,896 — 3,896 — Equity securities without a readily determinable fair value 10,072 N/A N/A N/A FHLB and FRB stock 101,568 N/A N/A N/A Financial liabilities: Deposits $ 9,123,234 $ — $ 8,341,419 $ — Advances from FHLB 1,175,000 — 1,156,852 — Accrued interest payable 8,795 — 8,795 — Subordinated debentures and subordinated notes 228,775 — 228,775 — Securities sold under agreement to repurchase — — — — (1) LHFS represent mortgage LHFS that are carried at lower of cost or market. (2) LHI includes MW and is carried at amortized cost. |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments in Balance Sheet | The notional amounts and estimated fair values as of September 30, 2023 and December 31, 2022 are as shown in the table below. September 30, 2023 December 31, 2022 Estimated Fair Value Estimated Fair Value Notional Asset Derivative Liability Derivative Notional Asset Derivative Liability Derivative Derivatives designated as hedging instruments (cash flow hedges): Interest rate swap on money market deposit account payments $ 250,000 $ 16,877 $ — $ 250,000 $ 21,234 $ — Interest rate swaps on customer loan interest payments 375,000 — 55,251 375,000 — 49,211 Interest rate collars on customer loan interest payments 450,000 1,237 6,826 450,000 3,267 4,960 Interest rate floor on customer loan interest payments 200,000 2,779 — 100,000 2,022 — Total derivatives designated as hedging instruments $ 1,275,000 $ 20,893 $ 62,077 $ 1,175,000 $ 26,523 $ 54,171 Derivatives not designated as hedging instruments: Financial institution counterparty: Interest rate swaps $ 877,614 $ 51,973 $ 75 $ 805,311 $ 38,839 $ 1,126 Interest rate caps and corridors 264,770 2,543 — 68,370 1,494 — Commercial customer counterparty: Interest rate swaps 877,614 54 51,418 805,311 1,004 38,188 Interest rate caps and corridors 264,770 — 2,543 68,370 — 1,494 Total derivatives not designated as hedging instruments $ 2,284,768 $ 54,570 $ 54,036 $ 1,747,362 $ 41,337 $ 40,808 Offsetting derivative assets/liabilities — (41,628) (41,628) — (30,982) (30,982) Total derivatives $ 3,559,768 $ 33,835 $ 74,485 $ 2,922,362 $ 36,878 $ 63,997 |
Derivative Instruments, (Loss) Gain | Pre-tax (loss) gain included in the consolidated statements of income and related to derivative instruments for the three and nine months ended September 30, 2023 and 2022 were as follows. For the Three Months Ended For the Three Months Ended (Loss) recognized in other comprehensive income on derivative Gain (loss) reclassified from accumulated other comprehensive income into income Location of (loss) gain reclassified from accumulated other comprehensive income into income (Loss) gain recognized in other comprehensive income on derivative Gain reclassified from accumulated other comprehensive income into income Location of (loss) gain reclassified from accumulated other comprehensive income into income Derivatives designated as hedging instruments (cash flow hedges): Interest rate swap on borrowing advances $ (1,105) $ 1,105 Interest Expense $ (1,106) $ 1,106 Interest Expense Interest rate swap on money market deposit account payments (1,751) 3,035 Interest Expense 5,855 1,124 Interest Expense Interest rate swaps, collars and floors on customer loan interest payments (9,060) (5,260) Interest Income (23,165) (873) Interest Income Total $ (11,916) $ (1,120) $ (18,416) $ 1,357 Net gain recognized in other noninterest income Net gain recognized in other noninterest income Derivatives not designated as hedging instruments: Interest rate swaps, caps and collars $ 180 $ 3,039 For the Nine Months Ended For the Nine Months Ended (Loss) gain recognized in other comprehensive income on derivative Gain (loss) reclassified from accumulated other comprehensive income into income Location of (loss) gain reclassified from accumulated other comprehensive income into income Gain (loss) recognized in other comprehensive income on derivative (Loss) gain reclassified from accumulated other comprehensive income into income Location of (loss) gain reclassified from accumulated other comprehensive income into income Derivatives designated as hedging instruments (cash flow hedges): Interest rate swap on borrowing advances $ (3,281) $ 3,281 Interest Expense $ (2,464) $ 2,464 Interest Expense Interest rate swap on money market deposit account payments (4,358) 8,469 Interest Expense 17,567 1,182 Interest Expense Interest rate swaps, collars and floors on customer loan interest payments (12,233) (13,773) Interest Income (58,473) 704 Interest Income Total $ (19,872) $ (2,023) $ (43,370) $ 4,350 Net gain recognized in other noninterest income Net gain recognized in other noninterest income Derivatives not designated as hedging instruments: Interest rate swaps, caps and collars $ 1,375 $ 5,165 |
Schedule of Derivative Instruments Outstanding | The following is a summary of the interest rate swaps, caps and collars outstanding as of September 30, 2023 and December 31, 2022. September 30, 2023 Notional Amount Fixed Rate Floating Rate Maturity Fair Value Non-hedging derivative instruments: Customer interest rate derivative: Interest rate swaps - receive fixed/pay floating $ 877,614 2.41% - 7.37% LIBOR 1 month + 3.0% SOFR CME 1 month + 0.0% - 3.8% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 4.3 years $ (51,622) Interest rate caps and corridors $ 264,770 3.50% - 7.50% SOFR CME 1 month + 0.0% - 2.5% SOFR + 0.0% Wtd. Avg. 1.0 years $ (2,543) Correspondent interest rate derivative: Interest rate swaps - pay fixed/receive floating $ 877,614 2.41% - 7.37% LIBOR 1 month + 3.0% SOFR CME 1 month + 0.0% - 3.8% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 4.3 years $ 51,898 Interest rate caps and corridors $ 264,770 3.50% - 7.50% SOFR CME 1 month + 0.0% - 2.5% SOFR + 0.0% Wtd. Avg. 1.0 years $ 2,543 December 31, 2022 Notional Amount Fixed Rate Floating Rate Maturity Fair Value Non-hedging derivative instruments: Customer interest rate derivative: Interest rate swaps - receive fixed/pay floating $ 805,311 2.41% - 8.47% LIBOR 1 month + 2.8% - 5.0% SOFR CME 1 month + 0.0% - 3.8% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 5.1 years $ (37,183) Interest rate caps and corridors $ 68,370 3.50% LIBOR 1 month + 0.0% Wtd. Avg. 1.8 years $ (1,494) Correspondent interest rate derivative: Interest rate swaps - pay fixed/receive floating $ 805,311 2.41% - 8.47% LIBOR 1 month + 2.8% - 5.0% SOFR CME 1 month + 0.0% - 3.8% SOFR-NYFD 30 day avg + 2.5% - 3.0% Wtd. Avg. 5.1 years $ 37,713 Interest rate caps and corridors $ 68,370 3.50% LIBOR 1 month + 0.0% Wtd. Avg. 1.8 years $ 1,494 |
Off-Balance Sheet Loan Commit_2
Off-Balance Sheet Loan Commitments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of the Approximate Amounts of Financial Instruments with Off-Balance Sheet Risk | The following table sets forth the approximate amounts of these financial instruments as of September 30, 2023 and December 31, 2022: September 30, December 31, 2023 2022 Commitments to extend credit $ 3,325,075 $ 4,511,671 MW commitments 974,941 1,088,558 Standby and commercial letters of credit 101,602 98,179 Total $ 4,401,618 $ 5,698,408 |
Schedule of Allowance for Unfunded Commitments | The table below presents the activity in the allowance for unfunded commitment credit losses related to those financial instruments discussed above. This ACL on unfunded commitments is recorded in accounts payable and other liabilities on the consolidated balance sheets: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Beginning balance for ACL on unfunded commitments $ 10,454 $ 9,759 $ 10,086 $ 9,266 (Benefit) provision for credit losses on unfunded commitments (909) 850 (541) 1,343 Ending balance of ACL on unfunded commitments $ 9,545 $ 10,609 $ 9,545 $ 10,609 |
Stock-Based Awards (Tables)
Stock-Based Awards (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Option Activity | A summary of option activity under the 2010 Incentive Plan for the nine months ended September 30, 2023 and 2022, and changes during the periods then ended, is presented below: 2010 Incentive Plan Non-Performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2022 1,000 $ 10.43 Outstanding and exercisable at September 30, 2022 1,000 $ 10.43 1.07 Outstanding at January 1, 2023 1,000 $ 10.43 1.07 $ 147 Exercised (1,000) 10.43 Outstanding and exercisable at September 30, 2023 — $ — — $ — A summary of the status of the Company’s stock options under the 2022 Equity Plan as of September 30, 2023 and 2022, and changes during the nine months then ended, is as follows: 2022 Equity Plan Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2022 710,043 $ 24.38 Granted 1,500 31.26 Exercised (44,049) 23.21 Outstanding at September 30, 2022 667,494 $ 24.47 6.19 Options exercisable at September 30, 2022 541,650 $ 24.57 5.93 Outstanding at January 1, 2023 657,494 $ 24.47 Forfeited (1,666) 17.38 Cancelled (3,804) 29.13 Exercised (17,285) 18.29 Outstanding at September 30, 2023 634,739 $ 24.63 4.84 years $ 97 Options exercisable at September 30, 2023 608,739 $ 24.79 4.78 years $ 97 A summary of the status of the Company’s stock options under the Veritex (Green) 2014 Plan as of September 30, 2023 and 2022, and changes during the nine months then ended, is as follows: Veritex (Green) 2014 Plan Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2022 217,804 $ 19.62 Cancelled (790) Exercised (58,642) 19.21 Outstanding at September 30, 2022 158,372 $ 19.76 5.42 Options exercisable at September 30, 2022 149,646 $ 19.11 5.29 Outstanding at January 1, 2023 155,212 $ 19.83 Cancelled (9,717) 21.38 Exercised (13,266) 22.74 Outstanding at September 30, 2023 132,229 $ 21.89 3.91 years $ 267 Options exercisable at September 30, 2023 132,229 $ 21.89 3.91 years $ 267 Weighted average fair value of options granted during the period $ — A summary of the status of the Company’s stock options under the Green 2010 Plan as of September 30, 2023 and 2022, and changes during the nine months then ended, is as follows: Green 2010 Plan Non-performance Based Stock Options Shares Weighted Weighted Aggregate Intrinsic Value Outstanding at January 1, 2022 66,143 $ 12.56 Cancelled (21,235) 11.40 Exercised (1,746) 13.20 Outstanding at September 30, 2022 43,162 $ 13.11 2.30 years Outstanding at January 1, 2023 43,162 $ 13.11 Exercised (32,378) 13.26 Outstanding at September 30, 2023 10,784 $ 12.65 4.32 years $ 57 |
Schedule of Fair Value of Stock Options Exercised or Restricted Stock Units Vested | A summary of the fair value of the Company’s stock options exercised under the 2010 Incentive Plan for the nine months ended September 30, 2023 and 2022 is presented below: Fair Value of Options Exercised as of September 30, 2023 2022 Nonperformance-based stock options exercised $ 16 $ — Fair Value of Options Exercised or RSUs Vested in the Nine Months Ended September 30, 2023 2022 Non-performance-based stock options exercised 66 1,650 RSUs vested 3,800 2,503 PSUs vested 1,070 2,270 Fair Value of Options Exercised or RSUs Vested in the Nine Months Ended September 30, 2023 2022 Non-performance-based stock options exercised $ 18 $ 1,650 RSUs vested 2,169 700 PSU vested 227 624 A summary of the fair value of the Company’s stock options exercised under the Green 2010 Plan during the nine months ended September 30, 2023 and 2022 presented below: Fair Value of Options Exercised as of September 30, 2023 2022 Nonperformance-based stock options exercised 379 55 |
Schedule of Share-based Compensation Expense | Stock compensation expense for options, RSUs and PSUs granted under the 2022 Equity Plan and the Veritex (Green) 2014 Plan were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 2022 Equity Plan $ 2,471 $ 2,918 $ 7,616 $ 8,266 Veritex (Green) 2014 Plan 489 197 1,398 811 |
Summary of Status of the Company's Restricted Shares or Restricted Stock Units | A summary of the status of the Company’s RSUs under the 2022 Equity Plan as of September 30, 2023 and 2022, and changes during the nine months then ended, is as follows: 2022 Equity Plan Non-performance-Based RSUs Units Weighted Outstanding at January 1, 2022 598,051 $ 23.39 Granted 519,455 33.99 Vested into shares (140,857) 26.49 Forfeited (13,693) 32.91 Outstanding at September 30, 2022 962,956 $ 28.52 Outstanding at January 1, 2023 955,104 $ 28.38 Granted 289,252 27.17 Vested into shares (237,940) 29.58 Forfeited (30,533) 32.23 Outstanding at September 30, 2023 975,883 $ 27.61 A summary of the status of the Company’s PSUs under the 2022 Equity Plan as of September 30, 2023 and 2022, and changes during the nine months then ended, is as follows: 2022 Equity Plan Performance-Based PSUs Units Weighted Outstanding at January 1, 2022 156,471 $ 24.17 Granted 39,429 40.38 Incremental PSUs granted upon performance conditions met 31,655 23.90 Vested into shares (94,991) 21.49 Outstanding at September 30, 2022 132,564 $ 30.15 Outstanding at January 1, 2023 126,707 $ 31.19 Granted 53,310 27.55 Vested into shares (41,781) 26.42 Forfeited (8,468) 30.90 Outstanding at September 30, 2023 129,768 $ 30.28 A summary of the status of the Company’s RSUs under the Veritex (Green) 2014 Plan as of September 30, 2023 and 2022 and changes during the nine months then ended, is as follows: Veritex (Green) 2014 Plan Non-performance-Based RSUs Units Weighted Outstanding at January 1, 2022 122,784 $ 21.13 Granted 4,231 40.38 Vested into shares (33,531) 21.80 Forfeited (7,601) 29.13 Outstanding at September 30, 2022 85,883 $ 21.11 Outstanding at January 1, 2023 86,233 $ 21.09 Vested into shares (19,282) 29.66 Forfeited (2,232) 29.13 Outstanding at September 30, 2023 64,719 $ 18.26 A summary of the status of the Company’s PSUs under the Veritex (Green) 2014 Plan as of September 30, 2023 and 2022 and changes during the nine months then ended, is as follows: Veritex (Green) 2014 Plan Performance-Based PSUs Units Weighted Outstanding at January 1, 2022 35,899 $ 22.26 Granted 4,411 40.38 Incremental PSUs granted upon performance condition met 10,566 19.69 Vested into shares (31,703) 19.69 Outstanding at September 30, 2022 19,173 $ 29.26 Outstanding at January 1, 2023 19,173 $ 30.74 Vested into shares (8,531) 25.94 Outstanding at September 30, 2023 10,642 $ 31.93 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income Tax Expense | Income tax expense for the three and nine months ended September 30, 2023 and 2022 was as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Income tax expense for the period $ 9,282 $ 12,248 $ 30,019 $ 28,429 Effective tax rate 22.2 % 22.0 % 22.3 % 21.1 % |
Capital Requirements and Rest_2
Capital Requirements and Restrictions on Retained Earnings (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Regulatory Capital Requirements under Banking Regulations [Abstract] | |
Schedule of Comparison of the Company's and Bank's Actual Capital Amounts and Ratios to Required Capital Amounts and Ratios | A comparison of the Company’s and Bank’s actual capital amounts and ratios to required capital amounts and ratios is presented in the following table: Actual For Capital To Be Well Amount Ratio Amount Ratio Amount Ratio As of September 30, 2023 Total capital (to RWA) Company $ 1,504,000 12.95 % $ 929,112 8.0 % $ 1,161,390 10.0 % Bank 1,477,654 12.73 928,612 8.0 1,160,765 10.0 Tier 1 capital (to RWA) Company 1,204,446 10.37 696,883 6.0 696,883 6.0 Bank 1,376,779 11.86 696,516 6.0 928,687 8.0 Common equity tier 1 (to RWA) Company 1,174,612 10.11 522,824 4.5 n/a n/a Bank 1,376,779 11.86 522,387 4.5 754,558 6.5 Tier 1 capital (to average assets) Company 1,204,446 10.10 477,008 4.0 n/a n/a Bank 1,376,779 11.56 476,394 4.0 595,493 5.0 As of December 31, 2022 Total capital (to RWA) Company $ 1,395,904 11.63 % $ 960,209 8.0 % n/a n/a Bank 1,368,082 11.41 959,216 8.0 $ 1,199,020 10.0 % Tier 1 capital (to RWA) Company 1,121,021 9.34 720,142 6.0 n/a n/a Bank 1,291,288 10.77 719,381 6.0 959,174 8.0 Common equity tier 1 (to RWA) Company 1,091,353 9.09 540,274 4.5 n/a n/a Bank 1,291,288 10.77 539,535 4.5 779,329 6.5 Tier 1 capital (to average assets) Company 1,121,021 9.82 456,628 4.0 n/a n/a Bank 1,291,288 11.32 456,286 4.0 570,357 5.0 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Details) shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 shares | Sep. 30, 2022 shares | Sep. 30, 2023 branch shares | Sep. 30, 2022 shares | |
Segment Reporting Information [Line Items] | ||||
Excluded from diluted EPS weighted average shares (in shares) | 1,300 | 654 | 1,300 | 767 |
Restricted Stock Units | ||||
Segment Reporting Information [Line Items] | ||||
Excluded from diluted EPS weighted average shares (in shares) | 671 | 440 | 645 | 311 |
Employee Stock Options | ||||
Segment Reporting Information [Line Items] | ||||
Excluded from diluted EPS weighted average shares (in shares) | 668 | 214 | 669 | 456 |
Dallas-Fort Worth | ||||
Segment Reporting Information [Line Items] | ||||
Number of branches (in branches) | branch | 18 | |||
Houston | ||||
Segment Reporting Information [Line Items] | ||||
Number of branches (in branches) | branch | 11 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Numerator: | ||||
Net income | $ 32,621 | $ 43,322 | $ 104,762 | $ 106,418 |
Denominator: | ||||
Weighted average shares outstanding for basic EPS (in shares) | 54,300 | 53,979 | 54,233 | 52,886 |
Dilutive effect of employee stock based awards (in shares) | 297 | 654 | 330 | 769 |
Adjusted weighted average shares outstanding (in shares) | 54,597 | 54,633 | 54,563 | 53,655 |
EPS: | ||||
Basic (in dollars per share) | $ 0.60 | $ 0.80 | $ 1.93 | $ 2.01 |
Diluted (in dollars per share) | $ 0.60 | $ 0.79 | $ 1.92 | $ 1.98 |
Supplemental Statement of Cas_3
Supplemental Statement of Cash Flows (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Supplemental Disclosures of Cash Flow Information: | ||
Cash paid for interest | $ 208,668 | $ 34,647 |
Cash paid for income taxes | 38,893 | 26,000 |
Supplemental Disclosures of Non-Cash Flow Information: | ||
Transfer of AFS debt securities to HTM debt securities | 0 | 117,001 |
Net foreclosure of OREO and repossessed assets | 0 | 1,032 |
Noncash assets acquired in business combination | ||
LHI | 0 | (681) |
Goodwill | $ 0 | $ 681 |
Securities - Securities (Detail
Securities - Securities (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |||||
Equity securities | $ 9,457,000 | $ 9,457,000 | $ 9,792,000 | ||
Realized gain (loss) on equity securities | 0 | $ 0 | 0 | $ 0 | |
Unrealized loss recognized on equity securities with a readily determinable fair value | (304,000) | (429,000) | (335,000) | (1,299,000) | |
Equity securities without a readily determinable fair value | 11,256,000 | 11,256,000 | $ 10,072,000 | ||
Securities purchased under agreements to resell | 0 | 0 | 0 | 0 | |
Interest income, securities purchased under agreements to resell | $ 0 | $ 801,000 | $ 0 | $ 1,386,000 |
Securities - Carrying Amount an
Securities - Carrying Amount and Fair Values (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | $ 1,007,871 | $ 1,195,694 | ||||
Gross Unrealized Gains | 1,569 | 1,760 | ||||
Gross Unrealized Losses | 130,357 | 101,162 | ||||
ACL | 0 | $ 885 | 0 | $ 0 | $ 0 | $ 0 |
Fair Value | 879,083 | 1,096,292 | ||||
HTM | ||||||
Amortized Cost | 181,546 | 186,168 | ||||
Gross Unrealized Gains | 0 | 6 | ||||
Gross Unrealized Losses | 33,710 | 27,393 | ||||
ACL | 0 | 0 | ||||
Fair Value | 147,836 | 158,781 | ||||
Corporate bonds | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 244,487 | 268,179 | ||||
Gross Unrealized Gains | 1,237 | 1,445 | ||||
Gross Unrealized Losses | 34,910 | 17,379 | ||||
ACL | 0 | 0 | ||||
Fair Value | 210,814 | 252,245 | ||||
Municipal securities | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 46,725 | 49,886 | ||||
Gross Unrealized Gains | 0 | 3 | ||||
Gross Unrealized Losses | 6,080 | 4,198 | ||||
ACL | 0 | 0 | ||||
Fair Value | 40,645 | 45,691 | ||||
HTM | ||||||
Amortized Cost | 112,485 | 113,657 | ||||
Gross Unrealized Gains | 0 | 6 | ||||
Gross Unrealized Losses | 19,399 | 14,756 | ||||
ACL | 0 | 0 | ||||
Fair Value | 93,086 | 98,907 | ||||
Mortgage-backed securities | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 122,595 | 156,408 | ||||
Gross Unrealized Gains | 13 | 23 | ||||
Gross Unrealized Losses | 20,715 | 17,420 | ||||
ACL | 0 | 0 | ||||
Fair Value | 101,893 | 139,011 | ||||
HTM | ||||||
Amortized Cost | 34,344 | 36,342 | ||||
Gross Unrealized Gains | 0 | 0 | ||||
Gross Unrealized Losses | 8,103 | 6,753 | ||||
ACL | 0 | 0 | ||||
Fair Value | 26,241 | 29,589 | ||||
Collateralized mortgage obligations | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 489,858 | 609,456 | ||||
Gross Unrealized Gains | 0 | 0 | ||||
Gross Unrealized Losses | 64,662 | 55,850 | ||||
ACL | 0 | 0 | ||||
Fair Value | 425,196 | 553,606 | ||||
HTM | ||||||
Amortized Cost | 34,717 | 36,169 | ||||
Gross Unrealized Gains | 0 | 0 | ||||
Gross Unrealized Losses | 6,208 | 5,884 | ||||
ACL | 0 | 0 | ||||
Fair Value | 28,509 | 30,285 | ||||
Asset-backed securities | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 34,456 | 42,015 | ||||
Gross Unrealized Gains | 319 | 289 | ||||
Gross Unrealized Losses | 2,800 | 2,613 | ||||
ACL | 0 | 0 | ||||
Fair Value | 31,975 | 39,691 | ||||
Collateralized loan obligations | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 69,750 | 69,750 | ||||
Gross Unrealized Gains | 0 | 0 | ||||
Gross Unrealized Losses | 1,190 | 3,702 | ||||
ACL | 0 | 0 | ||||
Fair Value | $ 68,560 | $ 66,048 |
Securities - Narrative (Details
Securities - Narrative (Details) $ in Thousands | Sep. 30, 2023 USD ($) investment | Dec. 31, 2022 USD ($) investment | Jan. 01, 2022 USD ($) Security |
Investments, Debt and Equity Securities [Abstract] | |||
Number of AFS positions elected for transfer | Security | 25 | ||
Aggregate fair value of AFS transferred | $ 117,001 | ||
Net unrealized holding gain | $ 3,290 | $ 3,790 | |
Number of investment positions in an unrealized loss position | investment | 148 | 175 |
Securities - Unrealized Loss Po
Securities - Unrealized Loss Position (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
AFS | ||
Less Than 12 Months | $ 52,964 | $ 868,558 |
12 Months or More | 781,371 | 171,941 |
Totals | 834,335 | 1,040,499 |
AFS Unrealized Loss | ||
Less Than 12 Months | 9,209 | 72,521 |
12 Months or More | 121,148 | 28,641 |
Totals | 130,357 | 101,162 |
HTM Fair Value | ||
Less Than 12 Months | 17,947 | 111,760 |
12 Months or More | 129,889 | 42,944 |
Totals | 147,836 | 154,704 |
HTM Unrealized Loss | ||
Less Than 12 Months | 1,262 | 16,172 |
12 Months or More | 32,448 | 11,221 |
Totals | 33,710 | 27,393 |
Corporate bonds | ||
AFS | ||
Less Than 12 Months | 24,419 | 197,946 |
12 Months or More | 157,421 | 15,568 |
Totals | 181,840 | 213,514 |
AFS Unrealized Loss | ||
Less Than 12 Months | 6,580 | 15,697 |
12 Months or More | 28,330 | 1,682 |
Totals | 34,910 | 17,379 |
Municipal securities | ||
AFS | ||
Less Than 12 Months | 20,667 | 33,919 |
12 Months or More | 19,978 | 8,813 |
Totals | 40,645 | 42,732 |
AFS Unrealized Loss | ||
Less Than 12 Months | 752 | 848 |
12 Months or More | 5,328 | 3,350 |
Totals | 6,080 | 4,198 |
HTM Fair Value | ||
Less Than 12 Months | 17,947 | 85,671 |
12 Months or More | 75,139 | 9,161 |
Totals | 93,086 | 94,832 |
HTM Unrealized Loss | ||
Less Than 12 Months | 1,262 | 11,411 |
12 Months or More | 18,137 | 3,345 |
Totals | 19,399 | 14,756 |
Mortgage-backed securities | ||
AFS | ||
Less Than 12 Months | 154 | 115,467 |
12 Months or More | 101,233 | 22,780 |
Totals | 101,387 | 138,247 |
AFS Unrealized Loss | ||
Less Than 12 Months | 0 | 11,104 |
12 Months or More | 20,715 | 6,317 |
Totals | 20,715 | 17,421 |
HTM Fair Value | ||
Less Than 12 Months | 0 | 804 |
12 Months or More | 26,241 | 28,784 |
Totals | 26,241 | 29,588 |
HTM Unrealized Loss | ||
Less Than 12 Months | 0 | 85 |
12 Months or More | 8,103 | 6,668 |
Totals | 8,103 | 6,753 |
Collateralized mortgage obligations | ||
AFS | ||
Less Than 12 Months | 0 | 482,358 |
12 Months or More | 425,196 | 71,198 |
Totals | 425,196 | 553,556 |
AFS Unrealized Loss | ||
Less Than 12 Months | 0 | 42,553 |
12 Months or More | 64,662 | 13,296 |
Totals | 64,662 | 55,849 |
HTM Fair Value | ||
Less Than 12 Months | 0 | 25,285 |
12 Months or More | 28,509 | 4,999 |
Totals | 28,509 | 30,284 |
HTM Unrealized Loss | ||
Less Than 12 Months | 0 | 4,676 |
12 Months or More | 6,208 | 1,208 |
Totals | 6,208 | 5,884 |
Asset-backed securities | ||
AFS | ||
Less Than 12 Months | 7,724 | 15,195 |
12 Months or More | 8,983 | 11,207 |
Totals | 16,707 | 26,402 |
AFS Unrealized Loss | ||
Less Than 12 Months | 1,877 | 991 |
12 Months or More | 923 | 1,621 |
Totals | 2,800 | 2,612 |
Collateralized loan obligations | ||
AFS | ||
Less Than 12 Months | 0 | 23,673 |
12 Months or More | 68,560 | 42,375 |
Totals | 68,560 | 66,048 |
AFS Unrealized Loss | ||
Less Than 12 Months | 0 | 1,328 |
12 Months or More | 1,190 | 2,375 |
Totals | $ 1,190 | $ 3,703 |
Securities - Allowance For Cred
Securities - Allowance For Credit Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Debt Securities, Available-for-Sale, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | ||||
Allowance for credit losses beginning balance | $ 885 | $ 0 | $ 0 | $ 0 |
Credit loss recovery | (885) | |||
Credit loss recovery | 0 | 0 | 0 | |
Allowance for credit losses ending balance | $ 0 | $ 0 | $ 0 | $ 0 |
Securities - Maturities (Detail
Securities - Maturities (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Available For Sale Amortized Cost | ||
Due in one year or less | $ 2,026 | $ 0 |
Due from one year to five years | 46,477 | 53,692 |
Due from five years to ten years | 188,542 | 205,911 |
Due after ten years | 54,167 | 58,462 |
Total investment securities available for sale, single maturity date | 291,212 | 318,065 |
Amortized Cost | 1,007,871 | 1,195,694 |
Available For Sale Fair value | ||
Due in one year or less | 1,913 | 0 |
Due from one year to five years | 47,002 | 54,179 |
Due from five years to ten years | 157,908 | 190,406 |
Due after ten years | 44,636 | 53,351 |
Total investment securities available for sale | 251,459 | 297,936 |
Fair value | 879,083 | 1,096,292 |
Held-to-Maturity Amortized Cost | ||
Due in one year or less | 0 | 0 |
Due from one year to five years | 4,466 | 0 |
Due from five years to ten years | 12,839 | 8,275 |
Due after ten years | 95,180 | 105,382 |
Total investment securities held to maturity, single maturity date | 112,485 | 113,657 |
Amortized Cost | 181,546 | 186,168 |
Held-to-Maturity Fair Value | ||
Due in one year or less | 0 | 0 |
Due from one year to five years | 4,407 | 0 |
Due from five years to ten years | 12,115 | 8,129 |
Due after ten years | 76,564 | 90,778 |
Total investment securities held to maturity | 93,086 | 98,907 |
Fair value | 147,836 | 158,781 |
Mortgage-backed securities and collateralized mortgage obligations | ||
Available For Sale Amortized Cost | ||
Amortized cost | 612,453 | 765,864 |
Amortized Cost | 122,595 | 156,408 |
Available For Sale Fair value | ||
Fair value | 527,089 | 692,617 |
Fair value | 101,893 | 139,011 |
Held-to-Maturity Amortized Cost | ||
Amortized cost | 69,061 | 72,511 |
Amortized Cost | 34,344 | 36,342 |
Held-to-Maturity Fair Value | ||
Fair value | 54,750 | 59,874 |
Asset-backed securities | ||
Available For Sale Amortized Cost | ||
Amortized cost | 34,456 | 42,015 |
Amortized Cost | 34,456 | 42,015 |
Available For Sale Fair value | ||
Fair value | 31,975 | 39,691 |
Fair value | 31,975 | 39,691 |
Held-to-Maturity Amortized Cost | ||
Amortized cost | 0 | 0 |
Held-to-Maturity Fair Value | ||
Fair value | 0 | 0 |
Collateralized loan obligations | ||
Available For Sale Amortized Cost | ||
Amortized cost | 69,750 | 69,750 |
Amortized Cost | 69,750 | 69,750 |
Available For Sale Fair value | ||
Fair value | 68,560 | 66,048 |
Fair value | 68,560 | 66,048 |
Held-to-Maturity Amortized Cost | ||
Amortized cost | 0 | 0 |
Held-to-Maturity Fair Value | ||
Fair value | $ 0 | $ 0 |
Securities - Proceeds From Sale
Securities - Proceeds From Sale of Debt Securities (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Proceeds from sales | $ 0 | $ 0 | $ 109,793,000 | $ 0 |
Gross realized losses | $ 0 | $ 0 | $ 5,321,000 | $ 0 |
LHI and ACL - Balance Sheet Sum
LHI and ACL - Balance Sheet Summary (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2023 | Dec. 31, 2022 | Jun. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | |
Loans and Allowance for Credit Losses | ||||||
Loans | $ 9,638,352 | $ 9,501,624 | ||||
Deferred loan fees, net | (10,138) | (18,973) | ||||
Less: Allowance for credit losses (“ACL”) | (109,831) | (91,052) | $ (102,150) | $ (85,037) | $ (80,576) | $ (77,754) |
Total LHI, net | 9,518,383 | 9,391,599 | ||||
Contractual principal balance | 6,012 | 8,260 | ||||
Discount on retained loans from sale | 7,515 | 5,238 | ||||
Real Estate | Construction and land | ||||||
Loans and Allowance for Credit Losses | ||||||
Loans | 1,705,053 | 1,787,400 | ||||
Less: Allowance for credit losses (“ACL”) | (19,449) | (13,120) | (18,145) | (12,628) | (10,300) | (7,293) |
Real Estate | Farmland | ||||||
Loans and Allowance for Credit Losses | ||||||
Loans | 59,684 | 43,500 | ||||
Less: Allowance for credit losses (“ACL”) | (191) | (127) | (170) | (135) | (145) | (187) |
Real Estate | Residential Real Estate | ||||||
Loans and Allowance for Credit Losses | ||||||
Discount on retained loans from sale | 3,457 | 4,135 | ||||
Purchase of real estate loans | 223,924 | |||||
Receivable | 167,847 | |||||
Real Estate | Residential Real Estate | 1 - 4 family residential | ||||||
Loans and Allowance for Credit Losses | ||||||
Loans | 933,225 | 894,456 | ||||
Less: Allowance for credit losses (“ACL”) | (9,359) | (9,533) | (9,209) | (9,023) | (8,056) | (5,982) |
Real Estate | Residential Real Estate | Multi-family residential | ||||||
Loans and Allowance for Credit Losses | ||||||
Loans | 603,395 | 322,679 | ||||
Less: Allowance for credit losses (“ACL”) | (4,840) | (2,607) | (4,707) | (2,127) | (2,186) | (2,664) |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | ||||||
Loans and Allowance for Credit Losses | ||||||
Loans | 697,299 | 715,829 | ||||
Less: Allowance for credit losses (“ACL”) | (7,719) | (8,707) | (7,519) | (6,652) | (7,609) | (9,215) |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | ||||||
Loans and Allowance for Credit Losses | ||||||
Loans | 2,398,060 | 2,341,379 | ||||
Less: Allowance for credit losses (“ACL”) | (29,819) | (26,704) | (27,875) | (25,457) | (27,772) | (30,548) |
Commercial | ||||||
Loans and Allowance for Credit Losses | ||||||
Loans | 2,841,024 | 2,942,348 | ||||
Less: Allowance for credit losses (“ACL”) | (37,639) | (30,142) | (34,197) | (26,698) | (24,374) | (21,632) |
MW | ||||||
Loans and Allowance for Credit Losses | ||||||
Loans | 390,767 | 446,227 | ||||
Consumer | ||||||
Loans and Allowance for Credit Losses | ||||||
Loans | 9,845 | 7,806 | ||||
Less: Allowance for credit losses (“ACL”) | $ (350) | $ (112) | $ (328) | $ (2,317) | $ (134) | $ (233) |
LHI and ACL - Allowance for Cre
LHI and ACL - Allowance for Credit Loss Activity (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Analysis of allowance for loan losses | ||||
Beginning balance | $ 102,150 | $ 80,576 | $ 91,052 | $ 77,754 |
Credit (benefit) loss expense | 8,627 | 6,650 | 33,012 | 15,150 |
Charge-offs | (2,353) | (2,378) | (15,429) | (9,563) |
Recoveries | 522 | 189 | 1,196 | 1,696 |
Ending balance | 109,831 | 85,037 | 109,831 | 85,037 |
Non-PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 8,730 | 9,203 | 32,947 | 20,908 |
PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 782 | (2,553) | 65 | (5,758) |
Real Estate | Construction and land | ||||
Analysis of allowance for loan losses | ||||
Beginning balance | 18,145 | 10,300 | 13,120 | 7,293 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Ending balance | 19,449 | 12,628 | 19,449 | 12,628 |
Real Estate | Construction and land | Non-PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 1,304 | 2,338 | 6,375 | 5,360 |
Real Estate | Construction and land | PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 0 | (10) | (46) | (25) |
Real Estate | Farmland | ||||
Analysis of allowance for loan losses | ||||
Beginning balance | 170 | 145 | 127 | 187 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Ending balance | 191 | 135 | 191 | 135 |
Real Estate | Farmland | Non-PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 21 | (10) | 64 | (52) |
Real Estate | Farmland | PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 0 | 0 | 0 | 0 |
Real Estate | Residential Real Estate | 1 - 4 family residential | ||||
Analysis of allowance for loan losses | ||||
Beginning balance | 9,209 | 8,056 | 9,533 | 5,982 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 4 | 2 | 7 |
Ending balance | 9,359 | 9,023 | 9,359 | 9,023 |
Real Estate | Residential Real Estate | 1 - 4 family residential | Non-PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 150 | 1,126 | (169) | 3,269 |
Real Estate | Residential Real Estate | 1 - 4 family residential | PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 0 | (163) | (7) | (235) |
Real Estate | Residential Real Estate | Multi-family residential | ||||
Analysis of allowance for loan losses | ||||
Beginning balance | 4,707 | 2,186 | 2,607 | 2,664 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Ending balance | 4,840 | 2,127 | 4,840 | 2,127 |
Real Estate | Residential Real Estate | Multi-family residential | Non-PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 133 | (59) | 2,233 | (537) |
Real Estate | Residential Real Estate | Multi-family residential | PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 0 | 0 | 0 | 0 |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | ||||
Analysis of allowance for loan losses | ||||
Beginning balance | 7,519 | 7,609 | 8,707 | 9,215 |
Charge-offs | (375) | (1,061) | (491) | (2,646) |
Recoveries | 0 | 0 | 0 | 245 |
Ending balance | 7,719 | 6,652 | 7,719 | 6,652 |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | Non-PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 581 | 1,824 | (467) | 2,821 |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | (6) | (1,720) | (30) | (2,983) |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | ||||
Analysis of allowance for loan losses | ||||
Beginning balance | 27,875 | 27,772 | 26,704 | 30,548 |
Charge-offs | 0 | (838) | (8,215) | (1,391) |
Recoveries | 200 | 3 | 350 | 496 |
Ending balance | 29,819 | 25,457 | 29,819 | 25,457 |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | Non-PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 947 | (1,651) | 10,362 | (5,040) |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 797 | 171 | 618 | 844 |
Commercial | ||||
Analysis of allowance for loan losses | ||||
Beginning balance | 34,197 | 24,374 | 30,142 | 21,632 |
Charge-offs | (1,929) | (460) | (6,520) | (4,282) |
Recoveries | 308 | 177 | 778 | 893 |
Ending balance | 37,639 | 26,698 | 37,639 | 26,698 |
Commercial | Non-PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 5,072 | 3,426 | 13,709 | 10,538 |
Commercial | PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | (9) | (819) | (470) | (2,083) |
MW | ||||
Analysis of allowance for loan losses | ||||
Beginning balance | 0 | 0 | ||
Charge-offs | 0 | |||
Recoveries | 0 | |||
Ending balance | 465 | 465 | ||
MW | Non-PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 465 | 465 | ||
MW | PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 0 | |||
Consumer | ||||
Analysis of allowance for loan losses | ||||
Beginning balance | 328 | 134 | 112 | 233 |
Charge-offs | (49) | (19) | (203) | (1,244) |
Recoveries | 14 | 5 | 66 | 55 |
Ending balance | 350 | 2,317 | 350 | 2,317 |
Consumer | Non-PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | 57 | 2,209 | 375 | 4,549 |
Consumer | PCD Loans | ||||
Analysis of allowance for loan losses | ||||
Credit (benefit) loss expense | $ 0 | $ (12) | $ 0 | $ (1,276) |
LHI and ACL - Collateral Depend
LHI and ACL - Collateral Dependent Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
Servicing Asset at Amortized Cost [Line Items] | ||||||
Loans | $ 9,638,352 | $ 9,501,624 | ||||
ACL Allocation | 109,831 | $ 102,150 | 91,052 | $ 85,037 | $ 80,576 | $ 77,754 |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
Loans | 697,299 | 715,829 | ||||
ACL Allocation | 7,719 | 7,519 | 8,707 | 6,652 | 7,609 | 9,215 |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
Loans | 2,398,060 | 2,341,379 | ||||
ACL Allocation | 29,819 | 27,875 | 26,704 | 25,457 | 27,772 | 30,548 |
Commercial | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
Loans | 2,841,024 | 2,942,348 | ||||
ACL Allocation | 37,639 | 34,197 | 30,142 | 26,698 | 24,374 | 21,632 |
Mortgage warehouse | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
ACL Allocation | 465 | 0 | 0 | |||
Consumer | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
Loans | 9,845 | 7,806 | ||||
ACL Allocation | 350 | $ 328 | 112 | $ 2,317 | $ 134 | $ 233 |
Real Property | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
Loans | 38,471 | 23,344 | ||||
Real Property | Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
Loans | 3,059 | 1,193 | ||||
Real Property | Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
Loans | 32,698 | 20,896 | ||||
Real Property | Commercial | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
Loans | 2,506 | 1,240 | ||||
Real Property | Mortgage warehouse | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
Loans | 208 | 0 | ||||
Real Property | Consumer | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
Loans | 0 | 15 | ||||
ACL Allocation | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
ACL Allocation | 2,992 | 2,663 | ||||
ACL Allocation | Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
ACL Allocation | 0 | 129 | ||||
ACL Allocation | Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
ACL Allocation | 2,000 | 2,138 | ||||
ACL Allocation | Commercial | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
ACL Allocation | 784 | 396 | ||||
ACL Allocation | Mortgage warehouse | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
ACL Allocation | 208 | 0 | ||||
ACL Allocation | Consumer | ||||||
Servicing Asset at Amortized Cost [Line Items] | ||||||
ACL Allocation | $ 0 | $ 0 |
LHI and ACL - Nonaccrual (Detai
LHI and ACL - Nonaccrual (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Loans and Allowance for Credit Losses | |||||
Nonaccrual | $ 79,394 | $ 79,394 | $ 43,542 | ||
Nonaccrual With No ACL | 38,170 | 38,170 | 25,275 | ||
Financing receivable, nonaccrual, interest income | 1,921 | $ 434 | 4,689 | $ 1,912 | |
PCD Loans | |||||
Loans and Allowance for Credit Losses | |||||
Financing receivable, nonaccrual, interest income | 7,309 | 8,545 | |||
Commercial | |||||
Loans and Allowance for Credit Losses | |||||
Nonaccrual | 35,106 | 35,106 | 11,397 | ||
Nonaccrual With No ACL | 5,418 | 5,418 | 2,521 | ||
MW | |||||
Loans and Allowance for Credit Losses | |||||
Nonaccrual | 208 | 208 | 0 | ||
Nonaccrual With No ACL | 0 | 0 | 0 | ||
Consumer | |||||
Loans and Allowance for Credit Losses | |||||
Nonaccrual | 33 | 33 | 169 | ||
Nonaccrual With No ACL | 33 | 33 | 169 | ||
1 - 4 family residential | Residential Real Estate | Real Estate | |||||
Loans and Allowance for Credit Losses | |||||
Nonaccrual | 900 | 900 | 862 | ||
Nonaccrual With No ACL | 900 | 900 | 862 | ||
Owner occupied commercial real estate (“OOCRE”) | Commercial Real Estate | Real Estate | |||||
Loans and Allowance for Credit Losses | |||||
Nonaccrual | 10,368 | 10,368 | 9,737 | ||
Nonaccrual With No ACL | 10,368 | 10,368 | 8,545 | ||
Non-owner occupied commercial real estate (“NOOCRE”) | Commercial Real Estate | Real Estate | |||||
Loans and Allowance for Credit Losses | |||||
Nonaccrual | 32,779 | 32,779 | 21,377 | ||
Nonaccrual With No ACL | $ 21,451 | $ 21,451 | $ 13,178 |
LHI and ACL - Past Due (Details
LHI and ACL - Past Due (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Non-Accrual and Past Due Loans | ||
Loans | $ 9,638,352 | $ 9,501,624 |
Total 90 days past due and still accruing | 474 | 125 |
PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 36,306 | 39,013 |
Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 72,864 | 48,300 |
30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 26,621 | 18,378 |
60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 3,660 | 5,614 |
90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 42,583 | 24,308 |
PPP loans excluded | 669 | |
Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 9,529,182 | 9,453,324 |
Real Estate | Construction and land | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,705,053 | 1,787,400 |
Total 90 days past due and still accruing | 0 | 0 |
Real Estate | Construction and land | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,544 | |
Real Estate | Construction and land | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 3,232 |
Real Estate | Construction and land | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 1,121 |
Real Estate | Construction and land | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 2,111 |
Real Estate | Construction and land | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Construction and land | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,705,053 | 1,784,168 |
Real Estate | Farmland | ||
Non-Accrual and Past Due Loans | ||
Loans | 59,684 | 43,500 |
Total 90 days past due and still accruing | 0 | 0 |
Real Estate | Farmland | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | |
Real Estate | Farmland | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Farmland | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Farmland | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Farmland | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Farmland | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 59,684 | 43,500 |
Real Estate | Residential Real Estate | 1 - 4 family residential | ||
Non-Accrual and Past Due Loans | ||
Loans | 933,225 | 894,456 |
Total 90 days past due and still accruing | 332 | 123 |
Real Estate | Residential Real Estate | 1 - 4 family residential | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,113 | 1,180 |
Real Estate | Residential Real Estate | 1 - 4 family residential | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 7,951 | 4,947 |
Real Estate | Residential Real Estate | 1 - 4 family residential | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 3,411 | 4,319 |
Real Estate | Residential Real Estate | 1 - 4 family residential | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 3,660 | 129 |
Real Estate | Residential Real Estate | 1 - 4 family residential | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 880 | 499 |
Real Estate | Residential Real Estate | 1 - 4 family residential | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 924,161 | 889,509 |
Real Estate | Residential Real Estate | Multi-family residential | ||
Non-Accrual and Past Due Loans | ||
Loans | 603,395 | 322,679 |
Total 90 days past due and still accruing | 0 | 0 |
Real Estate | Residential Real Estate | Multi-family residential | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | |
Real Estate | Residential Real Estate | Multi-family residential | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 1,000 |
Real Estate | Residential Real Estate | Multi-family residential | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 1,000 |
Real Estate | Residential Real Estate | Multi-family residential | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Residential Real Estate | Multi-family residential | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Residential Real Estate | Multi-family residential | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 603,395 | 321,679 |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | ||
Non-Accrual and Past Due Loans | ||
Loans | 697,299 | 715,829 |
Total 90 days past due and still accruing | 0 | 0 |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 17,908 | 19,817 |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 3,592 | 5,721 |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 533 | 3,342 |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 1,186 |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 3,059 | 1,193 |
Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 675,799 | 710,108 |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | ||
Non-Accrual and Past Due Loans | ||
Loans | 2,398,060 | 2,341,379 |
Total 90 days past due and still accruing | 0 | 0 |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 14,105 | 12,748 |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 32,474 | 26,052 |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 13,413 | 5,156 |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 19,061 | 20,896 |
Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 2,351,481 | 2,315,327 |
Commercial | ||
Non-Accrual and Past Due Loans | ||
Loans | 2,841,024 | 2,942,348 |
Total 90 days past due and still accruing | 142 | 0 |
Commercial | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 3,165 | 3,701 |
Commercial | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 28,583 | 6,951 |
Commercial | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 9,211 | 3,088 |
Commercial | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 2,188 |
Commercial | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 19,372 | 1,675 |
Commercial | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 2,809,276 | 2,935,397 |
MW | ||
Non-Accrual and Past Due Loans | ||
Loans | 390,767 | 446,227 |
Total 90 days past due and still accruing | 0 | 0 |
MW | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 208 | 0 |
MW | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
MW | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
MW | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 208 | 0 |
MW | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 390,559 | 446,227 |
Consumer | ||
Non-Accrual and Past Due Loans | ||
Loans | 9,845 | 7,806 |
Total 90 days past due and still accruing | 0 | 2 |
Consumer | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 15 | 23 |
Consumer | Total Past Due | ||
Non-Accrual and Past Due Loans | ||
Loans | 56 | 397 |
Consumer | 30 to 59 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 53 | 352 |
Consumer | 60 to 89 Days | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
Consumer | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Loans | 3 | 45 |
Consumer | Total Current | ||
Non-Accrual and Past Due Loans | ||
Loans | 9,774 | 7,409 |
PCD Loans | ||
Non-Accrual and Past Due Loans | ||
Total 90 days past due and still accruing | 13,718 | 13,178 |
PCD Loans | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 36,306 | 39,013 |
PCD Loans | 90 Days or Greater | ||
Non-Accrual and Past Due Loans | ||
Total 90 days past due and still accruing | 448 | 2,004 |
PCD Loans | Real Estate | Construction and land | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 1,544 |
PCD Loans | Real Estate | Farmland | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
PCD Loans | Real Estate | Residential Real Estate | 1 - 4 family residential | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 1,113 | 1,180 |
PCD Loans | Real Estate | Residential Real Estate | Multi-family residential | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
PCD Loans | Real Estate | Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 17,908 | 19,817 |
PCD Loans | Real Estate | Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 14,105 | 12,748 |
PCD Loans | Commercial | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 3,165 | 3,701 |
PCD Loans | MW | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | 0 | 0 |
PCD Loans | Consumer | PCD | ||
Non-Accrual and Past Due Loans | ||
Loans | $ 15 | $ 23 |
LHI and ACL - Trouble Debt Rest
LHI and ACL - Trouble Debt Restructuring (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2023 USD ($) | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | $ 89,135 |
30 to 59 Days | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 0 |
60 to 89 Days | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 0 |
90 Days or Greater | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 491 |
Commercial | Commercial Real Estate | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 25,545 |
Commercial | Commercial Real Estate | 30 to 59 Days | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 0 |
Commercial | Commercial Real Estate | 60 to 89 Days | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 0 |
Commercial | Commercial Real Estate | 90 Days or Greater | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 491 |
1 - 4 family residential | Real Estate | Residential Real Estate | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 41,066 |
1 - 4 family residential | Real Estate | Residential Real Estate | 30 to 59 Days | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 0 |
1 - 4 family residential | Real Estate | Residential Real Estate | 60 to 89 Days | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 0 |
1 - 4 family residential | Real Estate | Residential Real Estate | 90 Days or Greater | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 0 |
Non-owner occupied commercial real estate (“NOOCRE”) | Real Estate | Commercial Real Estate | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 22,524 |
Non-owner occupied commercial real estate (“NOOCRE”) | Real Estate | Commercial Real Estate | 30 to 59 Days | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 0 |
Non-owner occupied commercial real estate (“NOOCRE”) | Real Estate | Commercial Real Estate | 60 to 89 Days | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 0 |
Non-owner occupied commercial real estate (“NOOCRE”) | Real Estate | Commercial Real Estate | 90 Days or Greater | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 0 |
Interest Rate Reduction | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | 48,560 |
Interest Rate Reduction | Commercial | Commercial Real Estate | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | $ 26,036 |
Financing receivable, troubled debt restructuring, postmodification percentage (in percent) | 0.90% |
Interest Rate Reduction | 1 - 4 family residential | Real Estate | Residential Real Estate | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | $ 41,066 |
Financing receivable, troubled debt restructuring, postmodification percentage (in percent) | 4.40% |
Interest Rate Reduction | Non-owner occupied commercial real estate (“NOOCRE”) | Real Estate | Commercial Real Estate | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Financing receivable, troubled debt restructuring, postmodification | $ 22,524 |
Financing receivable, troubled debt restructuring, postmodification percentage (in percent) | 0.90% |
Contractual Interest Rate Reduction | Real Estate | Residential Real Estate | Minimum | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Weighted-average contractual interest rate (in percent) | 7.50% |
Contractual Interest Rate Reduction | Real Estate | Residential Real Estate | Maximum | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Weighted-average contractual interest rate (in percent) | 6% |
LHI and ACL - Credit Quality In
LHI and ACL - Credit Quality Indicators (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Total consumer loans held for investment | |||||
Year one | $ 460,208 | $ 460,208 | $ 1,993,914 | ||
Year two | 2,268,385 | 2,268,385 | 1,792,050 | ||
Year three | 1,817,060 | 1,817,060 | 1,017,699 | ||
Year four | 891,424 | 891,424 | 431,810 | ||
Year five | 365,010 | 365,010 | 479,768 | ||
Prior | 1,219,510 | 1,219,510 | 935,168 | ||
Revolving Loans Amortized Cost Basis | 2,598,223 | 2,598,223 | 2,849,209 | ||
Revolving Loans Converted to Term | 18,532 | 18,532 | 2,006 | ||
Total | 9,638,352 | 9,638,352 | 9,501,624 | ||
Total gross charge-offs | |||||
2023 | 0 | ||||
2022 | 1,883 | ||||
2021 | 0 | ||||
2020 | 53 | ||||
2019 | 484 | ||||
Prior | 13,009 | ||||
Revolving Loans Amortized Cost Basis, Write Off | 0 | ||||
Revolving Loans Converted to Term, Write Off | 0 | ||||
Total | 2,353 | $ 2,378 | 15,429 | $ 9,563 | |
Deferred loan fees, net | (10,138) | (10,138) | (18,973) | ||
Pass | |||||
Total consumer loans held for investment | |||||
Year one | 455,793 | 455,793 | 1,976,020 | ||
Year two | 2,220,840 | 2,220,840 | 1,766,159 | ||
Year three | 1,755,732 | 1,755,732 | 985,767 | ||
Year four | 828,718 | 828,718 | 398,380 | ||
Year five | 285,778 | 285,778 | 391,505 | ||
Prior | 943,393 | 943,393 | 786,325 | ||
Revolving Loans Amortized Cost Basis | 2,575,278 | 2,575,278 | 2,677,207 | ||
Revolving Loans Converted to Term | 18,458 | 18,458 | 1,884 | ||
Total | 9,083,990 | 9,083,990 | 8,983,247 | ||
Special mention | |||||
Total consumer loans held for investment | |||||
Year one | 3,773 | 3,773 | 0 | ||
Year two | 31,122 | 31,122 | 21,649 | ||
Year three | 48,495 | 48,495 | 26,743 | ||
Year four | 31,015 | 31,015 | 25,971 | ||
Year five | 69,312 | 69,312 | 19,659 | ||
Prior | 108,874 | 108,874 | 55,504 | ||
Revolving Loans Amortized Cost Basis | 11,947 | 11,947 | 142,141 | ||
Revolving Loans Converted to Term | 0 | 0 | 45 | ||
Total | 304,538 | 304,538 | 291,712 | ||
Substandard | |||||
Total consumer loans held for investment | |||||
Year one | 642 | 642 | 17,894 | ||
Year two | 16,423 | 16,423 | 4,242 | ||
Year three | 12,833 | 12,833 | 5,189 | ||
Year four | 31,691 | 31,691 | 7,459 | ||
Year five | 9,920 | 9,920 | 55,634 | ||
Prior | 130,937 | 130,937 | 67,296 | ||
Revolving Loans Amortized Cost Basis | 10,998 | 10,998 | 29,861 | ||
Revolving Loans Converted to Term | 74 | 74 | 77 | ||
Total | 213,518 | 213,518 | 187,652 | ||
PCD | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 0 | 0 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 0 | 0 | 12,970 | ||
Prior | 36,306 | 36,306 | 26,043 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 36,306 | 36,306 | 39,013 | ||
Commercial | |||||
Total consumer loans held for investment | |||||
Year one | 152,999 | 152,999 | 490,978 | ||
Year two | 391,392 | 391,392 | 137,120 | ||
Year three | 114,828 | 114,828 | 95,732 | ||
Year four | 62,362 | 62,362 | 92,734 | ||
Year five | 51,707 | 51,707 | 58,642 | ||
Prior | 82,262 | 82,262 | 39,699 | ||
Revolving Loans Amortized Cost Basis | 1,984,881 | 1,984,881 | 2,026,813 | ||
Revolving Loans Converted to Term | 593 | 593 | 630 | ||
Total | 2,841,024 | 2,841,024 | 2,942,348 | ||
Total gross charge-offs | |||||
2023 | 0 | ||||
2022 | 1,854 | ||||
2021 | 0 | ||||
2020 | 48 | ||||
2019 | 479 | ||||
Prior | 4,139 | ||||
Revolving Loans Amortized Cost Basis, Write Off | 0 | ||||
Revolving Loans Converted to Term, Write Off | 0 | ||||
Total | 1,929 | 460 | 6,520 | 4,282 | |
Commercial | Pass | |||||
Total consumer loans held for investment | |||||
Year one | 152,357 | 152,357 | 473,084 | ||
Year two | 361,010 | 361,010 | 132,396 | ||
Year three | 109,578 | 109,578 | 90,543 | ||
Year four | 56,193 | 56,193 | 83,996 | ||
Year five | 45,114 | 45,114 | 40,030 | ||
Prior | 52,493 | 52,493 | 31,269 | ||
Revolving Loans Amortized Cost Basis | 1,966,749 | 1,966,749 | 1,906,074 | ||
Revolving Loans Converted to Term | 519 | 519 | 553 | ||
Total | 2,744,013 | 2,744,013 | 2,757,945 | ||
Commercial | Special mention | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 14,103 | 14,103 | 666 | ||
Year three | 650 | 650 | 0 | ||
Year four | 0 | 0 | 4,543 | ||
Year five | 0 | 0 | 7,385 | ||
Prior | 9,567 | 9,567 | 270 | ||
Revolving Loans Amortized Cost Basis | 7,664 | 7,664 | 114,447 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 31,984 | 31,984 | 127,311 | ||
Commercial | Substandard | |||||
Total consumer loans held for investment | |||||
Year one | 642 | 642 | 17,894 | ||
Year two | 16,279 | 16,279 | 4,058 | ||
Year three | 4,600 | 4,600 | 5,189 | ||
Year four | 6,169 | 6,169 | 4,195 | ||
Year five | 6,593 | 6,593 | 10,954 | ||
Prior | 17,037 | 17,037 | 4,732 | ||
Revolving Loans Amortized Cost Basis | 10,468 | 10,468 | 6,292 | ||
Revolving Loans Converted to Term | 74 | 74 | 77 | ||
Total | 61,862 | 61,862 | 53,391 | ||
Commercial | PCD | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 0 | 0 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 0 | 0 | 273 | ||
Prior | 3,165 | 3,165 | 3,428 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 3,165 | 3,165 | 3,701 | ||
MW | |||||
Total consumer loans held for investment | |||||
Year one | 66,063 | 66,063 | 0 | ||
Year two | 60,193 | 60,193 | 0 | ||
Year three | 153 | 153 | 0 | ||
Year four | 147 | 147 | 0 | ||
Year five | 623 | 623 | 46 | ||
Prior | 375 | 375 | 162 | ||
Revolving Loans Amortized Cost Basis | 263,213 | 263,213 | 446,019 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 390,767 | 390,767 | 446,227 | ||
Total gross charge-offs | |||||
2023 | 0 | ||||
2022 | 0 | ||||
2021 | 0 | ||||
2020 | 0 | ||||
2019 | 0 | ||||
Prior | 0 | ||||
Revolving Loans Amortized Cost Basis, Write Off | 0 | ||||
Revolving Loans Converted to Term, Write Off | 0 | ||||
Total | 0 | ||||
MW | Pass | |||||
Total consumer loans held for investment | |||||
Year one | 66,063 | 66,063 | 0 | ||
Year two | 60,193 | 60,193 | 0 | ||
Year three | 153 | 153 | 0 | ||
Year four | 147 | 147 | 0 | ||
Year five | 623 | 623 | 0 | ||
Prior | 167 | 167 | 0 | ||
Revolving Loans Amortized Cost Basis | 263,213 | 263,213 | 444,393 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 390,559 | 390,559 | 444,393 | ||
MW | Special mention | |||||
Total consumer loans held for investment | |||||
Year one | 0 | ||||
Year two | 0 | ||||
Year three | 0 | ||||
Year four | 0 | ||||
Year five | 0 | ||||
Prior | 0 | ||||
Revolving Loans Amortized Cost Basis | 1,626 | ||||
Revolving Loans Converted to Term | 0 | ||||
Total | 1,626 | ||||
MW | Substandard | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 0 | 0 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 0 | 0 | 46 | ||
Prior | 208 | 208 | 162 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 208 | 208 | 208 | ||
Consumer | |||||
Total consumer loans held for investment | |||||
Year one | 4,179 | 4,179 | 1,965 | ||
Year two | 1,147 | 1,147 | 452 | ||
Year three | 306 | 306 | 872 | ||
Year four | 654 | 654 | 216 | ||
Year five | 127 | 127 | 135 | ||
Prior | 1,975 | 1,975 | 2,548 | ||
Revolving Loans Amortized Cost Basis | 1,457 | 1,457 | 1,618 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 9,845 | 9,845 | 7,806 | ||
Total gross charge-offs | |||||
2023 | 0 | ||||
2022 | 29 | ||||
2021 | 0 | ||||
2020 | 0 | ||||
2019 | 0 | ||||
Prior | 174 | ||||
Revolving Loans Amortized Cost Basis, Write Off | 0 | ||||
Revolving Loans Converted to Term, Write Off | 0 | ||||
Total | 49 | 19 | 203 | 1,244 | |
Consumer | Pass | |||||
Total consumer loans held for investment | |||||
Year one | 4,179 | 4,179 | 1,965 | ||
Year two | 1,147 | 1,147 | 452 | ||
Year three | 304 | 304 | 872 | ||
Year four | 654 | 654 | 216 | ||
Year five | 116 | 116 | 135 | ||
Prior | 1,805 | 1,805 | 2,298 | ||
Revolving Loans Amortized Cost Basis | 1,457 | 1,457 | 1,618 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 9,662 | 9,662 | 7,556 | ||
Consumer | Special mention | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 0 | 0 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 0 | 0 | 0 | ||
Prior | 89 | 89 | 58 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 89 | 89 | 58 | ||
Consumer | Substandard | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 2 | 2 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 11 | 11 | 0 | ||
Prior | 66 | 66 | 169 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 79 | 79 | 169 | ||
Consumer | PCD | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 0 | 0 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 0 | 0 | 0 | ||
Prior | 15 | 15 | 23 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 15 | 15 | 23 | ||
Construction and land | Real Estate | |||||
Total consumer loans held for investment | |||||
Year one | 57,152 | 57,152 | 347,855 | ||
Year two | 678,293 | 678,293 | 727,870 | ||
Year three | 555,498 | 555,498 | 380,789 | ||
Year four | 188,499 | 188,499 | 69,241 | ||
Year five | 29,236 | 29,236 | 30,673 | ||
Prior | 12,483 | 12,483 | 15,569 | ||
Revolving Loans Amortized Cost Basis | 183,892 | 183,892 | 215,263 | ||
Revolving Loans Converted to Term | 0 | 0 | 140 | ||
Total | 1,705,053 | 1,705,053 | 1,787,400 | ||
Total gross charge-offs | |||||
2023 | 0 | ||||
2022 | 0 | ||||
2021 | 0 | ||||
2020 | 0 | ||||
2019 | 0 | ||||
Prior | 0 | ||||
Revolving Loans Amortized Cost Basis, Write Off | 0 | ||||
Revolving Loans Converted to Term, Write Off | 0 | ||||
Total | 0 | 0 | 0 | 0 | |
Construction and land | Real Estate | Pass | |||||
Total consumer loans held for investment | |||||
Year one | 57,129 | 57,129 | 347,855 | ||
Year two | 674,330 | 674,330 | 709,208 | ||
Year three | 543,914 | 543,914 | 378,229 | ||
Year four | 159,527 | 159,527 | 69,241 | ||
Year five | 3,163 | 3,163 | 30,673 | ||
Prior | 12,483 | 12,483 | 14,025 | ||
Revolving Loans Amortized Cost Basis | 179,609 | 179,609 | 215,263 | ||
Revolving Loans Converted to Term | 0 | 0 | 140 | ||
Total | 1,630,155 | 1,630,155 | 1,764,634 | ||
Construction and land | Real Estate | Special mention | |||||
Total consumer loans held for investment | |||||
Year one | 23 | 23 | 0 | ||
Year two | 3,963 | 3,963 | 18,662 | ||
Year three | 8,584 | 8,584 | 2,560 | ||
Year four | 3,450 | 3,450 | 0 | ||
Year five | 26,073 | 26,073 | 0 | ||
Prior | 0 | 0 | 0 | ||
Revolving Loans Amortized Cost Basis | 4,283 | 4,283 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 46,376 | 46,376 | 21,222 | ||
Construction and land | Real Estate | Substandard | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 3,000 | 3,000 | 0 | ||
Year four | 25,522 | 25,522 | 0 | ||
Year five | 0 | 0 | 0 | ||
Prior | 0 | 0 | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 28,522 | 28,522 | 0 | ||
Construction and land | Real Estate | PCD | |||||
Total consumer loans held for investment | |||||
Year one | 0 | ||||
Year two | 0 | ||||
Year three | 0 | ||||
Year four | 0 | ||||
Year five | 0 | ||||
Prior | 1,544 | ||||
Revolving Loans Amortized Cost Basis | 0 | ||||
Revolving Loans Converted to Term | 0 | ||||
Total | 1,544 | ||||
Farmland | Real Estate | |||||
Total consumer loans held for investment | |||||
Year one | 2,544 | 2,544 | 2,546 | ||
Year two | 4,426 | 4,426 | 16,242 | ||
Year three | 22,156 | 22,156 | 18,530 | ||
Year four | 18,133 | 18,133 | 21 | ||
Year five | 16 | 16 | 0 | ||
Prior | 4,974 | 4,974 | 5,069 | ||
Revolving Loans Amortized Cost Basis | 7,435 | 7,435 | 1,092 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 59,684 | 59,684 | 43,500 | ||
Total gross charge-offs | |||||
2023 | 0 | ||||
2022 | 0 | ||||
2021 | 0 | ||||
2020 | 0 | ||||
2019 | 0 | ||||
Prior | 0 | ||||
Revolving Loans Amortized Cost Basis, Write Off | 0 | ||||
Revolving Loans Converted to Term, Write Off | 0 | ||||
Total | 0 | 0 | 0 | 0 | |
Farmland | Real Estate | Pass | |||||
Total consumer loans held for investment | |||||
Year one | 2,544 | 2,544 | 2,546 | ||
Year two | 4,426 | 4,426 | 16,242 | ||
Year three | 22,156 | 22,156 | 18,530 | ||
Year four | 18,133 | 18,133 | 21 | ||
Year five | 16 | 16 | 0 | ||
Prior | 4,974 | 4,974 | 5,069 | ||
Revolving Loans Amortized Cost Basis | 7,435 | 7,435 | 1,092 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 59,684 | 59,684 | 43,500 | ||
Farmland | Real Estate | Special mention | |||||
Total consumer loans held for investment | |||||
Year one | 0 | ||||
Year two | 0 | ||||
Year three | 0 | ||||
Year four | 0 | ||||
Year five | 0 | ||||
Prior | 0 | ||||
Revolving Loans Amortized Cost Basis | 0 | ||||
Revolving Loans Converted to Term | 0 | ||||
Total | 0 | ||||
Farmland | Real Estate | Substandard | |||||
Total consumer loans held for investment | |||||
Year one | 0 | ||||
Year two | 0 | ||||
Year three | 0 | ||||
Year four | 0 | ||||
Year five | 0 | ||||
Prior | 0 | ||||
Revolving Loans Amortized Cost Basis | 0 | ||||
Revolving Loans Converted to Term | 0 | ||||
Total | 0 | ||||
Farmland | Real Estate | PCD | |||||
Total consumer loans held for investment | |||||
Year one | 0 | ||||
Year two | 0 | ||||
Year three | 0 | ||||
Year four | 0 | ||||
Year five | 0 | ||||
Prior | 0 | ||||
Revolving Loans Amortized Cost Basis | 0 | ||||
Revolving Loans Converted to Term | 0 | ||||
Total | 0 | ||||
Residential Real Estate | Single Family | Real Estate | |||||
Total consumer loans held for investment | |||||
Year one | 58,525 | 58,525 | 135,006 | ||
Year two | 143,025 | 143,025 | 188,819 | ||
Year three | 198,660 | 198,660 | 87,861 | ||
Year four | 83,463 | 83,463 | 43,293 | ||
Year five | 39,006 | 39,006 | 41,960 | ||
Prior | 279,845 | 279,845 | 260,254 | ||
Revolving Loans Amortized Cost Basis | 113,345 | 113,345 | 136,537 | ||
Revolving Loans Converted to Term | 17,356 | 17,356 | 726 | ||
Total | 933,225 | 933,225 | 894,456 | ||
Total gross charge-offs | |||||
2023 | 0 | ||||
2022 | 0 | ||||
2021 | 0 | ||||
2020 | 0 | ||||
2019 | 0 | ||||
Prior | 0 | ||||
Revolving Loans Amortized Cost Basis, Write Off | 0 | ||||
Revolving Loans Converted to Term, Write Off | 0 | ||||
Total | 0 | 0 | 0 | 0 | |
Residential Real Estate | Single Family | Real Estate | Pass | |||||
Total consumer loans held for investment | |||||
Year one | 54,775 | 54,775 | 135,006 | ||
Year two | 142,881 | 142,881 | 188,635 | ||
Year three | 197,939 | 197,939 | 87,861 | ||
Year four | 83,463 | 83,463 | 43,293 | ||
Year five | 38,878 | 38,878 | 41,960 | ||
Prior | 277,330 | 277,330 | 257,768 | ||
Revolving Loans Amortized Cost Basis | 112,815 | 112,815 | 86,900 | ||
Revolving Loans Converted to Term | 17,356 | 17,356 | 726 | ||
Total | 925,437 | 925,437 | 842,149 | ||
Residential Real Estate | Single Family | Real Estate | Special mention | |||||
Total consumer loans held for investment | |||||
Year one | 3,750 | 3,750 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 0 | 0 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 0 | 0 | 0 | ||
Prior | 312 | 312 | 278 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 26,068 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 4,062 | 4,062 | 26,346 | ||
Residential Real Estate | Single Family | Real Estate | Substandard | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 144 | 144 | 184 | ||
Year three | 721 | 721 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 128 | 128 | |||
Prior | 1,090 | 1,090 | 1,028 | ||
Revolving Loans Amortized Cost Basis | 530 | 530 | 23,569 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 2,613 | 2,613 | 24,781 | ||
Residential Real Estate | Single Family | Real Estate | PCD | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 0 | 0 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 0 | 0 | 0 | ||
Prior | 1,113 | 1,113 | 1,180 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 1,113 | 1,113 | 1,180 | ||
Residential Real Estate | Multi-family residential | Real Estate | |||||
Total consumer loans held for investment | |||||
Year one | 5,644 | 5,644 | 72,044 | ||
Year two | 80,058 | 80,058 | 80,793 | ||
Year three | 253,708 | 253,708 | 110,426 | ||
Year four | 198,048 | 198,048 | 10,356 | ||
Year five | 10,069 | 10,069 | 46,566 | ||
Prior | 45,769 | 45,769 | 2,494 | ||
Revolving Loans Amortized Cost Basis | 10,099 | 10,099 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 603,395 | 603,395 | 322,679 | ||
Total gross charge-offs | |||||
2023 | 0 | ||||
2022 | 0 | ||||
2021 | 0 | ||||
2020 | 0 | ||||
2019 | 0 | ||||
Prior | 0 | ||||
Revolving Loans Amortized Cost Basis, Write Off | 0 | ||||
Revolving Loans Converted to Term, Write Off | 0 | ||||
Total | 0 | 0 | 0 | 0 | |
Residential Real Estate | Multi-family residential | Real Estate | Pass | |||||
Total consumer loans held for investment | |||||
Year one | 5,644 | 5,644 | 72,044 | ||
Year two | 80,058 | 80,058 | 80,793 | ||
Year three | 253,708 | 253,708 | 110,426 | ||
Year four | 198,048 | 198,048 | 8,402 | ||
Year five | 8,140 | 8,140 | 32,822 | ||
Prior | 18,922 | 18,922 | 2,494 | ||
Revolving Loans Amortized Cost Basis | 10,099 | 10,099 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 574,619 | 574,619 | 306,981 | ||
Residential Real Estate | Multi-family residential | Real Estate | Special mention | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 0 | 0 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 0 | 0 | 0 | ||
Prior | 26,847 | 26,847 | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 26,847 | 26,847 | 0 | ||
Residential Real Estate | Multi-family residential | Real Estate | Substandard | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 0 | 0 | 0 | ||
Year four | 0 | 0 | 1,954 | ||
Year five | 1,929 | 1,929 | 13,744 | ||
Prior | 0 | 0 | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 1,929 | 1,929 | 15,698 | ||
Residential Real Estate | Multi-family residential | Real Estate | PCD | |||||
Total consumer loans held for investment | |||||
Year one | 0 | ||||
Year two | 0 | ||||
Year three | 0 | ||||
Year four | 0 | ||||
Year five | 0 | ||||
Prior | 0 | ||||
Revolving Loans Amortized Cost Basis | 0 | ||||
Revolving Loans Converted to Term | 0 | ||||
Total | 0 | ||||
Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | Real Estate | |||||
Total consumer loans held for investment | |||||
Year one | 61,309 | 61,309 | 191,044 | ||
Year two | 169,040 | 169,040 | 109,019 | ||
Year three | 112,510 | 112,510 | 85,639 | ||
Year four | 92,133 | 92,133 | 45,929 | ||
Year five | 42,984 | 42,984 | 72,692 | ||
Prior | 215,560 | 215,560 | 206,236 | ||
Revolving Loans Amortized Cost Basis | 3,763 | 3,763 | 5,225 | ||
Revolving Loans Converted to Term | 0 | 0 | 45 | ||
Total | 697,299 | 697,299 | 715,829 | ||
Total gross charge-offs | |||||
2023 | 0 | ||||
2022 | 0 | ||||
2021 | 0 | ||||
2020 | 5 | ||||
2019 | 5 | ||||
Prior | 481 | ||||
Revolving Loans Amortized Cost Basis, Write Off | 0 | ||||
Revolving Loans Converted to Term, Write Off | 0 | ||||
Total | 375 | 1,061 | 491 | 2,646 | |
Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | Real Estate | Pass | |||||
Total consumer loans held for investment | |||||
Year one | 61,309 | 61,309 | 191,044 | ||
Year two | 159,683 | 159,683 | 106,698 | ||
Year three | 110,464 | 110,464 | 84,230 | ||
Year four | 91,418 | 91,418 | 43,965 | ||
Year five | 41,080 | 41,080 | 49,461 | ||
Prior | 172,864 | 172,864 | 167,968 | ||
Revolving Loans Amortized Cost Basis | 3,763 | 3,763 | 5,225 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 640,581 | 640,581 | 648,591 | ||
Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | Real Estate | Special mention | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 9,357 | 9,357 | 2,321 | ||
Year three | 280 | 280 | 1,409 | ||
Year four | 715 | 715 | 1,964 | ||
Year five | 1,904 | 1,904 | 0 | ||
Prior | 7,253 | 7,253 | 3,447 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 45 | ||
Total | 19,509 | 19,509 | 9,186 | ||
Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | Real Estate | Substandard | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 1,766 | 1,766 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 0 | 0 | 23,231 | ||
Prior | 17,535 | 17,535 | 15,004 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 19,301 | 19,301 | 38,235 | ||
Commercial Real Estate | Owner occupied commercial real estate (“OOCRE”) | Real Estate | PCD | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 0 | 0 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 0 | 0 | 0 | ||
Prior | 17,908 | 17,908 | 19,817 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 17,908 | 17,908 | 19,817 | ||
Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | Real Estate | |||||
Total consumer loans held for investment | |||||
Year one | 51,793 | 51,793 | 752,476 | ||
Year two | 740,811 | 740,811 | 531,735 | ||
Year three | 559,241 | 559,241 | 237,850 | ||
Year four | 247,985 | 247,985 | 170,020 | ||
Year five | 191,242 | 191,242 | 229,054 | ||
Prior | 576,267 | 576,267 | 403,137 | ||
Revolving Loans Amortized Cost Basis | 30,138 | 30,138 | 16,642 | ||
Revolving Loans Converted to Term | 583 | 583 | 465 | ||
Total | 2,398,060 | 2,398,060 | 2,341,379 | ||
Total gross charge-offs | |||||
2023 | 0 | ||||
2022 | 0 | ||||
2021 | 0 | ||||
2020 | 0 | ||||
2019 | 0 | ||||
Prior | 8,215 | ||||
Revolving Loans Amortized Cost Basis, Write Off | 0 | ||||
Revolving Loans Converted to Term, Write Off | 0 | ||||
Total | 0 | $ 838 | 8,215 | $ 1,391 | |
Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | Real Estate | Pass | |||||
Total consumer loans held for investment | |||||
Year one | 51,793 | 51,793 | 752,476 | ||
Year two | 737,112 | 737,112 | 531,735 | ||
Year three | 517,516 | 517,516 | 215,076 | ||
Year four | 221,135 | 221,135 | 149,246 | ||
Year five | 148,648 | 148,648 | 196,424 | ||
Prior | 402,355 | 402,355 | 305,434 | ||
Revolving Loans Amortized Cost Basis | 30,138 | 30,138 | 16,642 | ||
Revolving Loans Converted to Term | 583 | 583 | 465 | ||
Total | 2,109,280 | 2,109,280 | 2,167,498 | ||
Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | Real Estate | Special mention | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 3,699 | 3,699 | 0 | ||
Year three | 38,981 | 38,981 | 22,774 | ||
Year four | 26,850 | 26,850 | 19,464 | ||
Year five | 41,335 | 41,335 | 12,274 | ||
Prior | 64,806 | 64,806 | 51,451 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 175,671 | 175,671 | 105,963 | ||
Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | Real Estate | Substandard | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 2,744 | 2,744 | 0 | ||
Year four | 0 | 0 | 1,310 | ||
Year five | 1,259 | 1,259 | 7,659 | ||
Prior | 95,001 | 95,001 | 46,201 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | 99,004 | 99,004 | 55,170 | ||
Commercial Real Estate | Non-owner occupied commercial real estate (“NOOCRE”) | Real Estate | PCD | |||||
Total consumer loans held for investment | |||||
Year one | 0 | 0 | 0 | ||
Year two | 0 | 0 | 0 | ||
Year three | 0 | 0 | 0 | ||
Year four | 0 | 0 | 0 | ||
Year five | 0 | 0 | 12,697 | ||
Prior | 14,105 | 14,105 | 51 | ||
Revolving Loans Amortized Cost Basis | 0 | 0 | 0 | ||
Revolving Loans Converted to Term | 0 | 0 | 0 | ||
Total | $ 14,105 | $ 14,105 | $ 12,748 |
LHI and ACL - Servicing Assets
LHI and ACL - Servicing Assets (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Servicing Asset at Amortized Cost [Line Items] | |||||
Servicing asset | $ 577,802,000 | $ 509,479,000 | $ 577,802,000 | $ 509,479,000 | |
Summary of changes in related servicing assets | |||||
Balance at beginning of period | 14,923,000 | 15,680,000 | 14,880,000 | 17,705,000 | |
Increase from loan sales | 90,000 | 113,000 | 1,863,000 | 1,811,000 | |
Servicing asset (net impairment), net recoveries | (455,000) | 551,000 | 407,000 | (1,332,000) | |
Amortization charged as a reduction to income | (1,197,000) | (934,000) | (3,789,000) | (2,774,000) | |
Balance at end of period | 13,361,000 | 15,410,000 | 13,361,000 | 15,410,000 | |
Valuation allowance recorded | (2,043,000) | (1,960,000) | (2,043,000) | (1,960,000) | |
Proceeds from sale of loans | 37,138,000 | 57,227,000 | |||
Gain on sale of loans | 67,000 | 546,000 | |||
SBA LHI | |||||
Summary of changes in related servicing assets | |||||
Proceeds from sale of loans | 2,896,000 | 2,215,000 | 9,826,000 | 18,101,000 | |
Gain on sale of loans | 243,000 | 140,000 | 822,000 | 803,000 | |
USDA LHI | |||||
Summary of changes in related servicing assets | |||||
Proceeds from sale of loans | 0 | 0 | 62,640,000 | 20,500,000 | |
Gain on sale of loans | 0 | $ 0 | 9,663,000 | $ 3,708,000 | |
Interest-only strip | |||||
Summary of changes in related servicing assets | |||||
Interest receivable | $ 0 | $ 0 | $ 0 |
LHI and ACL - Loans Held for Sa
LHI and ACL - Loans Held for Sale (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Loans and Allowance for Credit Losses | ||
Total LHFS | $ 41,313 | $ 20,641 |
SBA construction and land | ||
Loans and Allowance for Credit Losses | ||
Total LHFS | 8,458 | 12,296 |
1 - 4 family residential | ||
Loans and Allowance for Credit Losses | ||
Total LHFS | 806 | 866 |
SBA OOCRE | ||
Loans and Allowance for Credit Losses | ||
Total LHFS | 9,140 | 5,915 |
SBA commercial | ||
Loans and Allowance for Credit Losses | ||
Total LHFS | $ 22,909 | $ 1,564 |
Fair Value - Recurring Basis (D
Fair Value - Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Assets measured at fair value | ||
AFS debt securities | $ 879,083 | $ 1,096,292 |
Equity securities with a readily determinable fair value | 9,457 | 9,792 |
Derivative asset | 33,835 | 36,878 |
Derivative liability | 74,485 | 63,997 |
Designated as Hedging Instrument | ||
Assets measured at fair value | ||
Derivative asset | 20,893 | 26,523 |
Derivative liability | 62,077 | 54,171 |
Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 54,570 | 41,337 |
Derivative liability | 54,036 | 40,808 |
Recurring | ||
Assets measured at fair value | ||
AFS debt securities | 879,083 | 1,096,292 |
Equity securities with a readily determinable fair value | 9,457 | 9,792 |
Paycheck Protection Program (“PPP”) loans | 1,995 | |
LHFS | 40,507 | 19,775 |
Recurring | Level 1 Inputs | ||
Assets measured at fair value | ||
AFS debt securities | 0 | 0 |
Equity securities with a readily determinable fair value | 9,457 | 9,792 |
Paycheck Protection Program (“PPP”) loans | 0 | |
LHFS | 0 | 0 |
Recurring | Level 2 Inputs | ||
Assets measured at fair value | ||
AFS debt securities | 879,083 | 1,096,292 |
Equity securities with a readily determinable fair value | 0 | 0 |
Paycheck Protection Program (“PPP”) loans | 0 | |
LHFS | 40,507 | 19,775 |
Recurring | Level 3 Inputs | ||
Assets measured at fair value | ||
AFS debt securities | 0 | 0 |
Equity securities with a readily determinable fair value | 0 | 0 |
Paycheck Protection Program (“PPP”) loans | 1,995 | |
LHFS | 0 | 0 |
Interest rate swaps | Recurring | Designated as Hedging Instrument | ||
Assets measured at fair value | ||
Derivative asset | 20,893 | 26,523 |
Derivative liability | 62,077 | 54,171 |
Interest rate swaps | Recurring | Level 1 Inputs | Designated as Hedging Instrument | ||
Assets measured at fair value | ||
Derivative asset | 0 | 0 |
Derivative liability | 0 | 0 |
Interest rate swaps | Recurring | Level 2 Inputs | Designated as Hedging Instrument | ||
Assets measured at fair value | ||
Derivative asset | 20,893 | 26,523 |
Derivative liability | 62,077 | 54,171 |
Interest rate swaps | Recurring | Level 3 Inputs | Designated as Hedging Instrument | ||
Assets measured at fair value | ||
Derivative asset | 0 | 0 |
Derivative liability | 0 | 0 |
Interest rate swaps | Financial Institution Counterparty | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 51,973 | 38,839 |
Derivative liability | 75 | 1,126 |
Interest rate swaps | Financial Institution Counterparty | Recurring | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 51,973 | 38,839 |
Derivative liability | 75 | 1,126 |
Interest rate swaps | Financial Institution Counterparty | Recurring | Level 1 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 0 | 0 |
Derivative liability | 0 | 0 |
Interest rate swaps | Financial Institution Counterparty | Recurring | Level 2 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 51,973 | 38,839 |
Derivative liability | 75 | 1,126 |
Interest rate swaps | Financial Institution Counterparty | Recurring | Level 3 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 0 | 0 |
Derivative liability | 0 | 0 |
Interest rate swaps | Commercial Customer Counterparty | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 54 | 1,004 |
Derivative liability | 51,418 | 38,188 |
Interest rate swaps | Commercial Customer Counterparty | Recurring | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 54 | 1,004 |
Derivative liability | 51,418 | 38,188 |
Interest rate swaps | Commercial Customer Counterparty | Recurring | Level 1 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 0 | 0 |
Derivative liability | 0 | 0 |
Interest rate swaps | Commercial Customer Counterparty | Recurring | Level 2 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 54 | 1,004 |
Derivative liability | 51,418 | 38,188 |
Interest rate swaps | Commercial Customer Counterparty | Recurring | Level 3 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 0 | 0 |
Derivative liability | 0 | 0 |
Interest rate caps and corridors | Financial Institution Counterparty | Recurring | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 2,543 | 1,494 |
Interest rate caps and corridors | Financial Institution Counterparty | Recurring | Level 1 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 0 | 0 |
Interest rate caps and corridors | Financial Institution Counterparty | Recurring | Level 2 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 2,543 | 1,494 |
Interest rate caps and corridors | Financial Institution Counterparty | Recurring | Level 3 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative asset | 0 | 0 |
Interest rate caps and corridors | Commercial Customer Counterparty | Recurring | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative liability | 2,543 | 1,494 |
Interest rate caps and corridors | Commercial Customer Counterparty | Recurring | Level 1 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative liability | 0 | 0 |
Interest rate caps and corridors | Commercial Customer Counterparty | Recurring | Level 2 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative liability | 2,543 | 1,494 |
Interest rate caps and corridors | Commercial Customer Counterparty | Recurring | Level 3 Inputs | Non-hedging Derivatives | ||
Assets measured at fair value | ||
Derivative liability | $ 0 | $ 0 |
Fair Value - Non-recurring Basi
Fair Value - Non-recurring Basis (Details) - USD ($) | Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 |
Assets measured at fair value | |||
Valuation allowance recorded | $ 2,043,000 | $ 1,960,000 | |
Non-recurring | |||
Assets measured at fair value | |||
Collateral dependent loans with an ACL | 11,050,000 | $ 7,969,000 | |
Servicing assets with a valuation allowance | 7,088,000 | 10,984,000 | |
Collateral dependent loans with an ACL, gross | 14,042,000 | 10,632,000 | |
Impaired loans, specific allowance | 2,992,000 | 2,663,000 | |
Servicing asset at fair value, gross | 9,132,000 | 13,435,000 | |
Valuation allowance for servicing asset | 2,451,000 | ||
Liabilities measured at fair value | 0 | 0 | |
Non-recurring | Level 1 Inputs | |||
Assets measured at fair value | |||
Collateral dependent loans with an ACL | 0 | 0 | |
Servicing assets with a valuation allowance | 0 | 0 | |
Non-recurring | Level 2 Inputs | |||
Assets measured at fair value | |||
Collateral dependent loans with an ACL | 0 | 0 | |
Servicing assets with a valuation allowance | 0 | 0 | |
Non-recurring | Level 3 Inputs | |||
Assets measured at fair value | |||
Collateral dependent loans with an ACL | 11,050,000 | 7,969,000 | |
Servicing assets with a valuation allowance | $ 7,088,000 | $ 10,984,000 |
Fair Value - Financial Instrume
Fair Value - Financial Instruments (Details) - USD ($) | Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 |
Financial assets: | |||
HTM debt securities | $ 147,836,000 | $ 158,781,000 | |
Securities purchased under agreements to resell | 0 | $ 0 | |
Equity securities without a readily determinable fair value | 11,256,000 | 10,072,000 | |
FHLB and FRB stock | 59,138,000 | 101,568,000 | |
Financial liabilities: | |||
Subordinated debentures and subordinated notes | 229,531,000 | 228,775,000 | |
Carrying Amount | |||
Financial assets: | |||
Cash and cash equivalents | 713,408,000 | 436,077,000 | |
HTM debt securities | 181,546,000 | 186,168,000 | |
Securities purchased under agreements to resell | 0 | ||
LHFS | 806,000 | 866,000 | |
LHI | 9,399,614,000 | ||
Accrued interest receivable | 47,739,000 | 44,035,000 | |
BOLI | 84,867,000 | 84,496,000 | |
Servicing asset | 6,273,000 | 3,896,000 | |
Equity securities without a readily determinable fair value | 11,256,000 | 10,072,000 | |
FHLB and FRB stock | 59,138,000 | 101,568,000 | |
Financial liabilities: | |||
Deposits | 10,196,518,000 | 9,123,234,000 | |
Advances from FHLB | 200,000,000 | 1,175,000,000 | |
Accrued interest payable | 33,575,000 | 8,795,000 | |
Subordinated debentures and subordinated notes | 229,531,000 | 228,775,000 | |
Securities sold under agreements to repurchase | 0 | ||
Level 1 Inputs | Fair Value | |||
Financial assets: | |||
Cash and cash equivalents | 0 | 0 | |
HTM debt securities | 0 | 0 | |
Securities purchased under agreements to resell | 0 | ||
LHFS | 0 | 0 | |
LHI | 0 | ||
Accrued interest receivable | 0 | 0 | |
BOLI | 0 | 0 | |
Servicing asset | 0 | 0 | |
Financial liabilities: | |||
Deposits | 0 | 0 | |
Advances from FHLB | 0 | 0 | |
Accrued interest payable | 0 | 0 | |
Subordinated debentures and subordinated notes | 0 | 0 | |
Securities sold under agreements to repurchase | 0 | ||
Level 2 Inputs | Fair Value | |||
Financial assets: | |||
Cash and cash equivalents | 713,408,000 | 436,077,000 | |
HTM debt securities | 147,836,000 | 158,781,000 | |
Securities purchased under agreements to resell | 0 | ||
LHFS | 0 | 866,000 | |
LHI | 0 | ||
Accrued interest receivable | 47,739,000 | 44,035,000 | |
BOLI | 84,867,000 | 84,496,000 | |
Servicing asset | 6,273,000 | 3,896,000 | |
Financial liabilities: | |||
Deposits | 9,418,008,000 | 8,341,419,000 | |
Advances from FHLB | 199,844,000 | 1,156,852,000 | |
Accrued interest payable | 33,575,000 | 8,795,000 | |
Subordinated debentures and subordinated notes | 229,531,000 | 228,775,000 | |
Securities sold under agreements to repurchase | 0 | ||
Level 3 Inputs | Fair Value | |||
Financial assets: | |||
Cash and cash equivalents | 0 | 0 | |
HTM debt securities | 0 | 0 | |
Securities purchased under agreements to resell | 0 | ||
LHFS | 806,000 | 0 | |
LHI | 9,163,616,000 | ||
Accrued interest receivable | 0 | 0 | |
BOLI | 0 | 0 | |
Servicing asset | 0 | 0 | |
Financial liabilities: | |||
Deposits | 0 | 0 | |
Advances from FHLB | 0 | 0 | |
Accrued interest payable | 0 | 0 | |
Subordinated debentures and subordinated notes | 0 | 0 | |
Securities sold under agreements to repurchase | $ 0 | ||
Real Estate, Commercial and Consumer Portfolio Segments | Carrying Amount | |||
Financial assets: | |||
LHI | 9,507,333,000 | ||
Real Estate, Commercial and Consumer Portfolio Segments | Level 1 Inputs | Fair Value | |||
Financial assets: | |||
LHI | 0 | ||
Real Estate, Commercial and Consumer Portfolio Segments | Level 2 Inputs | Fair Value | |||
Financial assets: | |||
LHI | 0 | ||
Real Estate, Commercial and Consumer Portfolio Segments | Level 3 Inputs | Fair Value | |||
Financial assets: | |||
LHI | $ 9,326,018,000 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Balance Sheet Information (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Derivative [Line Items] | ||
Notional Amount | $ 3,559,768 | $ 2,922,362 |
Asset Derivative | ||
Gross derivatives | 33,835 | 36,878 |
Offsetting derivative assets | (41,628) | (30,982) |
Liability Derivative | ||
Gross derivatives | 74,485 | 63,997 |
Offsetting derivative liabilities | (41,628) | (30,982) |
Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Notional Amount | 1,275,000 | 1,175,000 |
Asset Derivative | ||
Gross derivatives | 20,893 | 26,523 |
Liability Derivative | ||
Gross derivatives | 62,077 | 54,171 |
Designated as Hedging Instrument | Interest rate swap on money market deposit account payments | ||
Derivative [Line Items] | ||
Notional Amount | 250,000 | 250,000 |
Asset Derivative | ||
Gross derivatives | 16,877 | 21,234 |
Liability Derivative | ||
Gross derivatives | 0 | 0 |
Designated as Hedging Instrument | Interest rate swaps on customer loan interest payments | ||
Derivative [Line Items] | ||
Notional Amount | 375,000 | 375,000 |
Asset Derivative | ||
Gross derivatives | 0 | 0 |
Liability Derivative | ||
Gross derivatives | 55,251 | 49,211 |
Designated as Hedging Instrument | Interest rate collars on customer loan interest payments | ||
Derivative [Line Items] | ||
Notional Amount | 450,000 | 450,000 |
Asset Derivative | ||
Gross derivatives | 1,237 | 3,267 |
Liability Derivative | ||
Gross derivatives | 6,826 | 4,960 |
Designated as Hedging Instrument | Interest rate floor on customer loan interest payments | ||
Derivative [Line Items] | ||
Notional Amount | 200,000 | 100,000 |
Asset Derivative | ||
Gross derivatives | 2,779 | 2,022 |
Liability Derivative | ||
Gross derivatives | 0 | 0 |
Non-hedging Derivatives | ||
Derivative [Line Items] | ||
Notional Amount | 2,284,768 | 1,747,362 |
Asset Derivative | ||
Gross derivatives | 54,570 | 41,337 |
Liability Derivative | ||
Gross derivatives | 54,036 | 40,808 |
Financial Institution Counterparty | Non-hedging Derivatives | Interest rate swaps | ||
Derivative [Line Items] | ||
Notional Amount | 877,614 | 805,311 |
Asset Derivative | ||
Gross derivatives | 51,973 | 38,839 |
Liability Derivative | ||
Gross derivatives | 75 | 1,126 |
Financial Institution Counterparty | Non-hedging Derivatives | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Notional Amount | 264,770 | 68,370 |
Asset Derivative | ||
Gross derivatives | 2,543 | 1,494 |
Liability Derivative | ||
Gross derivatives | 0 | 0 |
Commercial Customer Counterparty | Non-hedging Derivatives | Interest rate swaps | ||
Derivative [Line Items] | ||
Notional Amount | 877,614 | 805,311 |
Asset Derivative | ||
Gross derivatives | 54 | 1,004 |
Liability Derivative | ||
Gross derivatives | 51,418 | 38,188 |
Commercial Customer Counterparty | Non-hedging Derivatives | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Notional Amount | 264,770 | 68,370 |
Asset Derivative | ||
Gross derivatives | 0 | 0 |
Liability Derivative | ||
Gross derivatives | $ 2,543 | $ 1,494 |
Derivative Financial Instrume_4
Derivative Financial Instruments - AOCI Reclassification (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Designated as Hedging Instrument | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
(Loss) recognized in other comprehensive income on derivative | $ (11,916) | $ (18,416) | $ (19,872) | $ (43,370) |
Gain reclassified from accumulated other comprehensive income into income | (1,120) | 1,357 | (2,023) | 4,350 |
Interest rate swap on borrowing advances | Interest Expense | Designated as Hedging Instrument | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
(Loss) recognized in other comprehensive income on derivative | (1,105) | (1,106) | (3,281) | (2,464) |
Gain reclassified from accumulated other comprehensive income into income | 1,105 | 1,106 | 3,281 | 2,464 |
Interest rate swap on money market deposit account payments | Interest Expense | Designated as Hedging Instrument | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
(Loss) recognized in other comprehensive income on derivative | (1,751) | 5,855 | (4,358) | 17,567 |
Gain reclassified from accumulated other comprehensive income into income | 3,035 | 1,124 | 8,469 | 1,182 |
Interest rate swaps, collars and floors on customer loan interest payments | Interest Income | Designated as Hedging Instrument | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
(Loss) recognized in other comprehensive income on derivative | (9,060) | (23,165) | (12,233) | (58,473) |
Gain reclassified from accumulated other comprehensive income into income | (5,260) | (873) | (13,773) | 704 |
Interest rate swaps, caps and collars | Non-hedging Derivatives | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Net gain recognized in other noninterest income | $ 180 | $ 3,039 | $ 1,375 | $ 5,165 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Summary of Interest Rate Swaps Outstanding (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Dec. 31, 2022 | |
Derivative [Line Items] | ||
Notional Amount | $ 3,559,768 | $ 2,922,362 |
Non-hedging Derivatives | ||
Derivative [Line Items] | ||
Notional Amount | 2,284,768 | 1,747,362 |
Non-hedging Derivatives | Commercial Customer Counterparty | Interest rate swaps | ||
Derivative [Line Items] | ||
Notional Amount | $ 877,614 | $ 805,311 |
Maturity (in years) | 4 years 3 months 18 days | 5 years 1 month 6 days |
Fair Value | $ (51,622) | $ (37,183) |
Non-hedging Derivatives | Commercial Customer Counterparty | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Notional Amount | $ 264,770 | $ 68,370 |
Maturity (in years) | 1 year | 1 year 9 months 18 days |
Fair Value | $ (2,543) | $ (1,494) |
Non-hedging Derivatives | Commercial Customer Counterparty | SOFR | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Floating Rate | 0% | |
Non-hedging Derivatives | Commercial Customer Counterparty | Minimum | Interest rate swaps | ||
Derivative [Line Items] | ||
Fixed Rate | 2.41% | 2.41% |
Non-hedging Derivatives | Commercial Customer Counterparty | Minimum | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Fixed Rate | 3.50% | 3.50% |
Non-hedging Derivatives | Commercial Customer Counterparty | Minimum | LIBOR | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 3% | 2.80% |
Non-hedging Derivatives | Commercial Customer Counterparty | Minimum | LIBOR | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Floating Rate | 0% | |
Non-hedging Derivatives | Commercial Customer Counterparty | Minimum | Secured Overnight Financing Rate (SOFR) - CME | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 0% | 0% |
Non-hedging Derivatives | Commercial Customer Counterparty | Minimum | Secured Overnight Financing Rate (SOFR) - CME | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Floating Rate | 0% | |
Non-hedging Derivatives | Commercial Customer Counterparty | Minimum | Secured Overnight Financing Rate (SOFR) - NYFD | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 2.50% | 2.50% |
Non-hedging Derivatives | Commercial Customer Counterparty | Maximum | Interest rate swaps | ||
Derivative [Line Items] | ||
Fixed Rate | 7.37% | 8.47% |
Non-hedging Derivatives | Commercial Customer Counterparty | Maximum | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Fixed Rate | 7.50% | |
Non-hedging Derivatives | Commercial Customer Counterparty | Maximum | LIBOR | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 5% | |
Non-hedging Derivatives | Commercial Customer Counterparty | Maximum | Secured Overnight Financing Rate (SOFR) - CME | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 3.80% | 3.80% |
Non-hedging Derivatives | Commercial Customer Counterparty | Maximum | Secured Overnight Financing Rate (SOFR) - CME | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Floating Rate | 2.50% | |
Non-hedging Derivatives | Commercial Customer Counterparty | Maximum | Secured Overnight Financing Rate (SOFR) - NYFD | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 3% | 3% |
Non-hedging Derivatives | Financial Institution Counterparty | Interest rate swaps | ||
Derivative [Line Items] | ||
Notional Amount | $ 877,614 | $ 805,311 |
Maturity (in years) | 4 years 3 months 18 days | 5 years 1 month 6 days |
Fair Value | $ 51,898 | $ 37,713 |
Non-hedging Derivatives | Financial Institution Counterparty | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Notional Amount | $ 264,770 | $ 68,370 |
Maturity (in years) | 1 year | 1 year 9 months 18 days |
Fair Value | $ 2,543 | $ 1,494 |
Non-hedging Derivatives | Financial Institution Counterparty | SOFR | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Floating Rate | 0% | |
Non-hedging Derivatives | Financial Institution Counterparty | Minimum | Interest rate swaps | ||
Derivative [Line Items] | ||
Fixed Rate | 2.41% | 2.41% |
Non-hedging Derivatives | Financial Institution Counterparty | Minimum | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Fixed Rate | 3.50% | 3.50% |
Non-hedging Derivatives | Financial Institution Counterparty | Minimum | LIBOR | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 3% | 2.80% |
Non-hedging Derivatives | Financial Institution Counterparty | Minimum | LIBOR | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Floating Rate | 0% | |
Non-hedging Derivatives | Financial Institution Counterparty | Minimum | Secured Overnight Financing Rate (SOFR) - CME | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 0% | 0% |
Non-hedging Derivatives | Financial Institution Counterparty | Minimum | Secured Overnight Financing Rate (SOFR) - CME | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Floating Rate | 0% | |
Non-hedging Derivatives | Financial Institution Counterparty | Minimum | Secured Overnight Financing Rate (SOFR) - NYFD | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 2.50% | 2.50% |
Non-hedging Derivatives | Financial Institution Counterparty | Maximum | Interest rate swaps | ||
Derivative [Line Items] | ||
Fixed Rate | 7.37% | 8.47% |
Non-hedging Derivatives | Financial Institution Counterparty | Maximum | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Fixed Rate | 7.50% | |
Non-hedging Derivatives | Financial Institution Counterparty | Maximum | LIBOR | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 5% | |
Non-hedging Derivatives | Financial Institution Counterparty | Maximum | Secured Overnight Financing Rate (SOFR) - CME | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 3.80% | 3.80% |
Non-hedging Derivatives | Financial Institution Counterparty | Maximum | Secured Overnight Financing Rate (SOFR) - CME | Interest rate caps and corridors | ||
Derivative [Line Items] | ||
Floating Rate | 2.50% | |
Non-hedging Derivatives | Financial Institution Counterparty | Maximum | Secured Overnight Financing Rate (SOFR) - NYFD | Interest rate swaps | ||
Derivative [Line Items] | ||
Floating Rate | 3% | 3% |
Off-Balance Sheet Loan Commit_3
Off-Balance Sheet Loan Commitments - Financial Instruments Approximate Value (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Financial instruments with off-balance sheet risk | ||
Total commitments | $ 4,401,618 | $ 5,698,408 |
Commitments to extend credit | ||
Financial instruments with off-balance sheet risk | ||
Total commitments | 3,325,075 | 4,511,671 |
MW commitments | ||
Financial instruments with off-balance sheet risk | ||
Total commitments | 974,941 | 1,088,558 |
Standby and commercial letters of credit | ||
Financial instruments with off-balance sheet risk | ||
Total commitments | $ 101,602 | $ 98,179 |
Off-Balance Sheet Loan Commit_4
Off-Balance Sheet Loan Commitments - Allowance for Unfunded Commitments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Allowance For Unfunded Commitments [Roll Forward] | ||||
Beginning balance for ACL on unfunded commitments | $ 10,454 | $ 9,759 | $ 10,086 | $ 9,266 |
(Benefit) provision for credit losses on unfunded commitments | (909) | 850 | (541) | 1,343 |
Ending balance of ACL on unfunded commitments | $ 9,545 | $ 10,609 | $ 9,545 | $ 10,609 |
Stock-Based Awards - 2010 Plan
Stock-Based Awards - 2010 Plan Options (Details) | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2023 USD ($) $ / shares shares | Sep. 30, 2022 USD ($) $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | |
Shares Underlying Options | |||
Options exercisable at end of period (in shares) | shares | 0 | 1,000 | |
Weighted Exercise Price | |||
Options exercisable at end of period (in dollars per share) | $ / shares | $ 0 | $ 10.43 | |
Weighted Average Contractual Term | |||
Exercisable (in years) | 1 year 25 days | ||
Aggregate Intrinsic Value | |||
Exercisable | $ | $ 0 | ||
2010 Stock Option and Equity Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock based compensation expense | $ | $ 0 | $ 0 | |
Shares Underlying Options | |||
Outstanding at the end of period (in shares) | shares | 0 | ||
Weighted Exercise Price | |||
Outstanding at the end of period (in dollars per share) | $ / shares | $ 0 | ||
Aggregate Intrinsic Value | |||
Outstanding | $ | $ 0 | ||
Non-Performance Based Stock Options | |||
Shares Underlying Options | |||
Outstanding at the end of period (in shares) | shares | 1,000 | ||
Weighted Exercise Price | |||
Outstanding at the end of period (in dollars per share) | $ / shares | $ 10.43 | ||
Weighted Average Contractual Term | |||
Outstanding (in years) | 1 year 25 days | ||
Non-Performance Based Stock Options | 2010 Stock Option and Equity Incentive Plan | |||
Shares Underlying Options | |||
Outstanding at beginning of period (in shares) | shares | 1,000 | 1,000 | 1,000 |
Exercised (in shares) | shares | (1,000) | ||
Outstanding at the end of period (in shares) | shares | 1,000 | ||
Weighted Exercise Price | |||
Outstanding at beginning of period (in dollars per share) | $ / shares | $ 10.43 | $ 10.43 | $ 10.43 |
Exercised (in dollars per share) | $ / shares | $ 10.43 | ||
Outstanding at the end of period (in dollars per share) | $ / shares | $ 10.43 | ||
Weighted Average Contractual Term | |||
Outstanding (in years) | 1 year 25 days | ||
Aggregate Intrinsic Value | |||
Outstanding | $ | $ 147,000 | ||
Unrecognized compensation expense | $ | $ 0 | $ 0 | $ 0 |
Non-performance-based stock options exercised | $ | $ 16,000 | $ 0 |
Stock-Based Awards - 2022 Grant
Stock-Based Awards - 2022 Grant Terms and Stock Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting rights, cliff vesting period (in years) | 3 years | |||
2022 Equity Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock based compensation expense | $ 2,471 | $ 2,918 | $ 7,616 | $ 8,266 |
Veritex (Green) 2014 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock based compensation expense | $ 489 | $ 197 | $ 1,398 | $ 811 |
Stock-Based Awards - 2022 Equit
Stock-Based Awards - 2022 Equity Plan - Options (Details) $ / shares in Units, $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2023 USD ($) $ / shares shares | Sep. 30, 2022 USD ($) $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | |
Shares Underlying Options | |||
Options exercisable at end of period (in shares) | shares | 0 | 1,000 | |
Weighted Exercise Price | |||
Options exercisable at end of period (in dollars per share) | $ / shares | $ 0 | $ 10.43 | |
Weighted Average Contractual Term | |||
Exercisable (in years) | 1 year 25 days | ||
Aggregate Intrinsic Value | |||
Exercisable | $ | $ 0 | ||
Non-Performance Based Stock Options | |||
Shares Underlying Options | |||
Outstanding at the end of period (in shares) | shares | 1,000 | ||
Weighted Exercise Price | |||
Outstanding at the end of period (in dollars per share) | $ / shares | $ 10.43 | ||
Weighted Average Contractual Term | |||
Outstanding (in years) | 1 year 25 days | ||
2022 Equity Plan | Non-Performance Based Stock Options | |||
Shares Underlying Options | |||
Outstanding at beginning of period (in shares) | shares | 657,494 | 710,043 | 710,043 |
Granted (in shares) | shares | 1,500 | ||
Exercised (in shares) | shares | (17,285) | (44,049) | |
Forfeited (in shares) | shares | (1,666) | ||
Cancelled (in shares) | shares | (3,804) | ||
Outstanding at the end of period (in shares) | shares | 634,739 | 667,494 | 657,494 |
Options exercisable at end of period (in shares) | shares | 608,739 | 541,650 | |
Weighted Exercise Price | |||
Outstanding at beginning of period (in dollars per share) | $ / shares | $ 24.47 | $ 24.38 | $ 24.38 |
Granted (in dollars per share) | $ / shares | 31.26 | ||
Exercised (in dollars per share) | $ / shares | 18.29 | 23.21 | |
Forfeited (in dollars per share) | $ / shares | 17.38 | ||
Cancelled (in dollars per share) | $ / shares | 29.13 | ||
Outstanding at the end of period (in dollars per share) | $ / shares | 24.63 | 24.47 | $ 24.47 |
Options exercisable at end of period (in dollars per share) | $ / shares | $ 24.79 | $ 24.57 | |
Weighted Average Contractual Term | |||
Outstanding (in years) | 4 years 10 months 2 days | 6 years 2 months 8 days | |
Exercisable (in years) | 4 years 9 months 10 days | 5 years 11 months 4 days | |
Aggregate Intrinsic Value | |||
Outstanding | $ | $ 97 | ||
Exercisable | $ | 97 | ||
Unrecognized compensation expense | $ | $ 36 | $ 327 | $ 172 |
Requisite service period to recognize compensation cost (in years) | 3 days |
Stock-Based Awards - 2022 Equ_2
Stock-Based Awards - 2022 Equity Plan - RSUs and PSUs (Details) - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Units | |||
Incremental PSUs granted upon performance condition met (in shares) | 10,566 | ||
Weighted Average Grant Date Fair Value | |||
Incremental PSUs granted upon performance condition met (in dollars per share) | $ 19.69 | ||
RSUs | 2022 Equity Plan | |||
Units | |||
Outstanding at the beginning of the period (in shares) | 955,104 | 598,051 | |
Granted (in shares) | 289,252 | 519,455 | |
Vested into shares (in shares) | (237,940) | (140,857) | |
Forfeited (in shares) | (30,533) | (13,693) | |
Outstanding at the end of the period (in shares) | 975,883 | 962,956 | |
Weighted Average Grant Date Fair Value | |||
Outstanding at the beginning of the period (in dollars per share) | $ 28.38 | $ 23.39 | |
Granted (in dollars per share) | 27.17 | 33.99 | |
Vested into shares (in dollars per share) | 29.58 | 26.49 | |
Forfeited (in dollars per share) | 32.23 | 32.91 | |
Outstanding at the end of the period (in dollars per share) | $ 27.61 | $ 28.52 | |
Additional disclosures | |||
Equity instrument other than option, units vested | $ 3,800 | $ 2,503 | |
PSUs | 2022 Equity Plan | |||
Units | |||
Outstanding at the beginning of the period (in shares) | 126,707 | 156,471 | |
Granted (in shares) | 53,310 | 39,429 | |
Vested into shares (in shares) | (41,781) | (94,991) | |
Incremental PSUs granted upon performance condition met (in shares) | 31,655 | ||
Forfeited (in shares) | (8,468) | ||
Outstanding at the end of the period (in shares) | 129,768 | 132,564 | |
Weighted Average Grant Date Fair Value | |||
Outstanding at the beginning of the period (in dollars per share) | $ 31.19 | $ 24.17 | |
Granted (in dollars per share) | 27.55 | 40.38 | |
Incremental PSUs granted upon performance condition met (in dollars per share) | 23.90 | ||
Vested into shares (in dollars per share) | 26.42 | 21.49 | |
Forfeited (in dollars per share) | 30.90 | ||
Outstanding at the end of the period (in dollars per share) | $ 30.28 | $ 30.15 | |
Additional disclosures | |||
Equity instrument other than option, units vested | $ 1,070 | $ 2,270 | |
Restricted Stock Units and Performance Stock Based Units | 2022 Equity Plan | |||
Additional disclosures | |||
Unrecognized compensation expense | $ 2,232 | 1,024 | $ 3,825 |
Requisite service period to recognize compensation cost (in years) | 10 months 13 days | ||
Non-Performance Based Stock Options | 2022 Equity Plan | |||
Additional disclosures | |||
Unrecognized compensation expense | $ 36 | 327 | $ 172 |
Requisite service period to recognize compensation cost (in years) | 3 days | ||
Non-performance-based stock options exercised | $ 66 | $ 1,650 |
Stock-Based Awards - Veritex Gr
Stock-Based Awards - Veritex Green 2014 Plan - Options (Details) $ / shares in Units, $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2023 USD ($) $ / shares shares | Sep. 30, 2022 USD ($) $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | |
Shares Underlying Options | |||
Options exercisable at end of period (in shares) | shares | 0 | 1,000 | |
Weighted Exercise Price | |||
Options exercisable at end of period (in dollars per share) | $ 0 | $ 10.43 | |
Weighted Average Contractual Term | |||
Exercisable (in years) | 1 year 25 days | ||
Aggregate Intrinsic Value | |||
Exercisable | $ | $ 0 | ||
Non-Performance Based Stock Options | |||
Shares Underlying Options | |||
Outstanding at the end of period (in shares) | shares | 1,000 | ||
Weighted Exercise Price | |||
Outstanding at the end of period (in dollars per share) | $ 10.43 | ||
Weighted Average Contractual Term | |||
Outstanding (in years) | 1 year 25 days | ||
Veritex (Green) 2014 Plan | Non-Performance Based Stock Options | |||
Shares Underlying Options | |||
Outstanding at beginning of period (in shares) | shares | 155,212,000 | 217,804,000 | 217,804,000 |
Cancelled (in shares) | shares | (9,717,000) | (790,000) | |
Exercised (in shares) | shares | (13,266,000) | (58,642,000) | |
Outstanding at the end of period (in shares) | shares | 132,229,000 | 158,372,000 | 155,212,000 |
Options exercisable at end of period (in shares) | shares | 132,229,000 | 149,646,000 | |
Weighted Exercise Price | |||
Outstanding at beginning of period (in dollars per share) | $ 19.83 | $ 19.62 | $ 19.62 |
Cancelled (in dollars per share) | 21.38 | ||
Exercised (in dollars per share) | 22.74 | 19.21 | |
Outstanding at the end of period (in dollars per share) | 21.89 | 19.76 | $ 19.83 |
Options exercisable at end of period (in dollars per share) | $ 21.89 | $ 19.11 | |
Weighted Average Contractual Term | |||
Outstanding (in years) | 3 years 10 months 28 days | 5 years 5 months 1 day | |
Exercisable (in years) | 3 years 10 months 28 days | 5 years 3 months 14 days | |
Aggregate Intrinsic Value | |||
Outstanding | $ | $ 267 | ||
Exercisable | $ | $ 267 | ||
Weighted average fair value of options granted during the period (in dollars per share) | $ 0 | ||
Unrecognized compensation expense | $ | $ 0 | $ 25 | $ 0 |
Stock-Based Awards - Veritex (G
Stock-Based Awards - Veritex (Green) 2014 Plan - RSUs and PSUs (Details) - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |||
Incremental PSUs granted upon performance condition met (in shares) | 10,566 | ||
Weighted Average Grant Date Fair Value | |||
Incremental PSUs granted upon performance condition met (in dollars per share) | $ 19.69 | ||
Veritex (Green) 2014 Plan | RSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |||
Outstanding at the beginning of the period (in shares) | 86,233 | 122,784 | |
Granted (in shares) | 4,231 | ||
Vested into shares (in shares) | (19,282) | (33,531) | |
Forfeited (in shares) | (2,232) | (7,601) | |
Outstanding at the end of the period (in shares) | 64,719 | 85,883 | |
Weighted Average Grant Date Fair Value | |||
Outstanding at the beginning of the period (in dollars per share) | $ 21.09 | $ 21.13 | |
Granted (in dollars per share) | 40.38 | ||
Vested into shares (in dollars per share) | 29.66 | 21.80 | |
Forfeited (in dollars per share) | 29.13 | 29.13 | |
Outstanding at the end of the period (in dollars per share) | $ 18.26 | $ 21.11 | |
Veritex (Green) 2014 Plan | PSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |||
Outstanding at the beginning of the period (in shares) | 19,173 | 35,899 | |
Granted (in shares) | 4,411 | ||
Vested into shares (in shares) | (8,531) | (31,703) | |
Outstanding at the end of the period (in shares) | 10,642 | 19,173 | |
Weighted Average Grant Date Fair Value | |||
Outstanding at the beginning of the period (in dollars per share) | $ 30.74 | $ 22.26 | |
Granted (in dollars per share) | 40.38 | ||
Vested into shares (in dollars per share) | 25.94 | 19.69 | |
Outstanding at the end of the period (in dollars per share) | $ 31.93 | $ 29.26 | |
Veritex (Green) 2014 Plan | Restricted Stock Units and Performance Stock Based Units | |||
Weighted Average Grant Date Fair Value | |||
Unrecognized compensation expense | $ 16,869 | $ 14,327 | $ 17,160 |
Requisite service period to recognize compensation cost (in years) | 1 year 9 months 29 days |
Stock-Based Awards - Veritex _2
Stock-Based Awards - Veritex (Green) 2014 Plan - Fair Value Options Exercised and Restricted Stock Units Vested (Details) - Veritex (Green) 2014 Plan - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Non-Performance Based Stock Options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Non-performance-based stock options exercised | $ 18 | $ 1,650 |
RSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Equity instrument other than option, units vested | 2,169 | 700 |
PSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Equity instrument other than option, units vested | $ 227 | $ 624 |
Stock-Based Awards - Green Banc
Stock-Based Awards - Green Bancorp Inc. 2010 Option Plan (Details) - Non-Performance Based Stock Options - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Shares Underlying Options | |||
Outstanding at the end of period (in shares) | 1,000 | ||
Weighted Exercise Price | |||
Outstanding at the end of period (in dollars per share) | $ 10.43 | ||
Weighted Average Contractual Term | |||
Outstanding (in years) | 1 year 25 days | ||
Green Bancorp Inc. 2010 Stock Option Plan | |||
Shares Underlying Options | |||
Outstanding at beginning of period (in shares) | 43,162 | 66,143 | 66,143 |
Cancelled (in shares) | (21,235) | ||
Exercised (in shares) | (32,378) | (1,746) | |
Outstanding at the end of period (in shares) | 10,784 | 43,162 | 43,162 |
Weighted Exercise Price | |||
Outstanding at beginning of period (in dollars per share) | $ 13.11 | $ 12.56 | $ 12.56 |
Cancelled (in dollars per share) | 11.40 | ||
Exercised (in dollars per share) | 13.26 | 13.20 | |
Outstanding at the end of period (in dollars per share) | $ 12.65 | $ 13.11 | $ 13.11 |
Weighted Average Contractual Term | |||
Outstanding (in years) | 4 years 3 months 25 days | 2 years 3 months 18 days | |
Aggregate Intrinsic Value | |||
Outstanding | $ 57 | ||
Non-performance-based stock options exercised | $ 379 | $ 55 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Income tax expense for the period | $ 9,282 | $ 12,248 | $ 30,019 | $ 28,429 |
Effective tax rate | 22.20% | 22% | 22.30% | 21.10% |
Net discrete tax expense (benefit), true-up adjustment | $ 505 | $ 0 | $ 658 | $ (1,100) |
Effective tax rate excluding discrete tax item | 20.90% | 21.80% | 21.90% | |
Return to provision adjustment | $ 505 | |||
Excess tax expense, share-based payment awards | $ 153 |
Capital Requirements and Rest_3
Capital Requirements and Restrictions on Retained Earnings (Details) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 USD ($) $ / shares | Sep. 30, 2022 USD ($) $ / shares | Sep. 30, 2023 USD ($) $ / shares | Sep. 30, 2022 USD ($) $ / shares | Dec. 31, 2022 USD ($) | |
Total capital (to RWA) | |||||
Actual amount | $ 1,504,000,000 | $ 1,504,000,000 | $ 1,395,904,000 | ||
Actual ratio (as a percent) | 0.1295 | 0.1295 | 0.1163 | ||
For capital adequacy purposes amount | $ 929,112,000 | $ 929,112,000 | $ 960,209,000 | ||
For capital adequacy purposes ratio (as a percent) | 0.080 | 0.080 | 0.080 | ||
To be well capitalized under prompt corrective action provisions amount | $ 1,161,390,000 | $ 1,161,390,000 | |||
To be well capitalized under prompt corrective action provisions ratio (as a percent) | 0.100 | 0.100 | |||
Tier 1 capital (to RWA) | |||||
Actual amount | $ 1,204,446,000 | $ 1,204,446,000 | $ 1,121,021,000 | ||
Actual ratio (as a percent) | 0.1037 | 0.1037 | 0.0934 | ||
For capital adequacy purposes amount | $ 696,883,000 | $ 696,883,000 | $ 720,142,000 | ||
For capital adequacy purposes ratio (as a percent) | 0.060 | 0.060 | 0.060 | ||
To be well capitalized under prompt corrective action provisions amount | $ 696,883,000 | $ 696,883,000 | |||
To be well capitalized under prompt corrective action provisions ratio (as a percent) | 0.060 | 0.060 | |||
Common equity tier 1 (to RWA) | |||||
Actual amount | $ 1,174,612,000 | $ 1,174,612,000 | $ 1,091,353,000 | ||
Actual ratio (as a percent) | 10.11% | 10.11% | 9.09% | ||
For capital adequacy purposes amount | $ 522,824,000 | $ 522,824,000 | $ 540,274,000 | ||
For capital adequacy purposes amount (as a percent) | 4.50% | 4.50% | 4.50% | ||
Tier 1 capital (to average assets) | |||||
Actual amount | $ 1,204,446,000 | $ 1,204,446,000 | $ 1,121,021,000 | ||
Actual ratio (as a percent) | 0.1010 | 0.1010 | 0.0982 | ||
For capital adequacy purposes amount | $ 477,008,000 | $ 477,008,000 | $ 456,628,000 | ||
For capital adequacy purposes ratio (as a percent) | 0.040 | 0.040 | 0.040 | ||
Dividends paid | $ 10,861,000 | $ 10,791,000 | $ 32,548,000 | $ 31,496,000 | |
Bank's capital conservation buffer (in percent) | 0.0473 | 0.0473 | 0.0341 | ||
Bank | |||||
Total capital (to RWA) | |||||
Actual amount | $ 1,477,654,000 | $ 1,477,654,000 | $ 1,368,082,000 | ||
Actual ratio (as a percent) | 0.1273 | 0.1273 | 0.1141 | ||
For capital adequacy purposes amount | $ 928,612,000 | $ 928,612,000 | $ 959,216,000 | ||
For capital adequacy purposes ratio (as a percent) | 0.080 | 0.080 | 0.080 | ||
To be well capitalized under prompt corrective action provisions amount | $ 1,160,765,000 | $ 1,160,765,000 | $ 1,199,020,000 | ||
To be well capitalized under prompt corrective action provisions ratio (as a percent) | 0.100 | 0.100 | 0.100 | ||
Tier 1 capital (to RWA) | |||||
Actual amount | $ 1,376,779,000 | $ 1,376,779,000 | $ 1,291,288,000 | ||
Actual ratio (as a percent) | 0.1186 | 0.1186 | 0.1077 | ||
For capital adequacy purposes amount | $ 696,516,000 | $ 696,516,000 | $ 719,381,000 | ||
For capital adequacy purposes ratio (as a percent) | 0.060 | 0.060 | 0.060 | ||
To be well capitalized under prompt corrective action provisions amount | $ 928,687,000 | $ 928,687,000 | $ 959,174,000 | ||
To be well capitalized under prompt corrective action provisions ratio (as a percent) | 0.080 | 0.080 | 0.080 | ||
Common equity tier 1 (to RWA) | |||||
Actual amount | $ 1,376,779,000 | $ 1,376,779,000 | $ 1,291,288,000 | ||
Actual ratio (as a percent) | 11.86% | 11.86% | 10.77% | ||
For capital adequacy purposes amount | $ 522,387,000 | $ 522,387,000 | $ 539,535,000 | ||
For capital adequacy purposes amount (as a percent) | 4.50% | 4.50% | 4.50% | ||
To be well capitalized under prompt corrective action provisions amount | $ 754,558,000 | $ 754,558,000 | $ 779,329,000 | ||
To be well capitalized under prompt corrective action provisions ratio (as a percent) | 6.50% | 6.50% | 6.50% | ||
Tier 1 capital (to average assets) | |||||
Actual amount | $ 1,376,779,000 | $ 1,376,779,000 | $ 1,291,288,000 | ||
Actual ratio (as a percent) | 0.1156 | 0.1156 | 0.1132 | ||
For capital adequacy purposes amount | $ 476,394,000 | $ 476,394,000 | $ 456,286,000 | ||
For capital adequacy purposes ratio (as a percent) | 0.040 | 0.040 | 0.040 | ||
To be well capitalized under prompt corrective action provisions amount | $ 595,493,000 | $ 595,493,000 | $ 570,357,000 | ||
To be well capitalized under prompt corrective action provisions ratio (as a percent) | 0.050 | 0.050 | 0.050 | ||
Dividends paid to Holdco | $ 20,000,000 | 17,500,000 | $ 40,000,000 | 17,500,000 | |
Veritex Holdings, Inc. | |||||
Tier 1 capital (to average assets) | |||||
Dividends paid | $ 10,861,000 | $ 10,791,000 | $ 32,548,000 | $ 31,496,000 | |
Dividends paid (in dollars per share) | $ / shares | $ 0.20 | $ 0.20 | $ 0.60 | $ 0.60 |