Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 06, 2020 | Jun. 30, 2019 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | TBK | ||
Entity Registrant Name | TRIUMPH BANCORP, INC. | ||
Entity Central Index Key | 0001539638 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 24,605,453 | ||
Entity Public Float | $ 696,205,000 | ||
Title of 12(b) Security | Common Stock, Par Value $0.01 Per Share | ||
Security Exchange Name | NASDAQ | ||
Entity File Number | 001-36722 | ||
Entity Incorporation, State or Country Code | TX | ||
Entity Tax Identification Number | 20-0477066 | ||
Entity Address, Address Line One | 12700 Park Central Drive, Suite 1700 | ||
Entity Address, City or Town | Dallas | ||
Entity Address, State or Province | TX | ||
Entity Address, Postal Zip Code | 75251 | ||
City Area Code | 214 | ||
Local Phone Number | 365-6900 | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Documents Incorporated by Reference | Portions of the Registrant’s Definitive Proxy Statement relating to the Annual Meeting of Stockholders, which will be filed within 120 days after December 31, 2019, are incorporated by reference into Part III of this Report. |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
ASSETS | ||
Cash and due from banks | $ 67,747 | $ 96,218 |
Interest bearing deposits with other banks | 130,133 | 138,721 |
Total cash and cash equivalents | 197,880 | 234,939 |
Securities - equity investments | 5,437 | 5,044 |
Securities - available for sale | 248,820 | 336,423 |
Securities - held to maturity, fair value $6,907 and $7,326, respectively | 8,417 | 8,487 |
Loans held for sale | 2,735 | 2,106 |
Loans, net of allowance for loan and lease losses of $29,092 and $27,571, respectively | 4,165,420 | 3,581,073 |
Federal Home Loan Bank and other restricted stock, at cost | 19,860 | 15,943 |
Premises and equipment, net | 96,595 | 83,392 |
Other real estate owned, net | 3,009 | 2,060 |
Goodwill | 158,743 | 158,743 |
Intangible assets, net | 31,543 | 40,674 |
Bank-owned life insurance | 40,954 | 40,509 |
Deferred tax asset, net | 3,812 | 8,438 |
Other assets | 77,072 | 41,948 |
Total assets | 5,060,297 | 4,559,779 |
Liabilities | ||
Noninterest bearing | 809,696 | 724,527 |
Interest bearing | 2,980,210 | 2,725,822 |
Total deposits | 3,789,906 | 3,450,349 |
Customer repurchase agreements | 2,033 | 4,485 |
Federal Home Loan Bank advances | 430,000 | 330,000 |
Subordinated notes | 87,327 | 48,929 |
Junior subordinated debentures | 39,566 | 39,083 |
Other liabilities | 74,875 | 50,326 |
Total liabilities | 4,423,707 | 3,923,172 |
Commitments and contingencies - See Notes 14 and 15 | ||
Stockholders' equity - See Note 19 | ||
Common stock, 24,964,961 and 26,949,936 shares outstanding, respectively | 272 | 271 |
Additional paid-in-capital | 473,251 | 469,341 |
Treasury stock, at cost | (67,069) | (2,288) |
Retained earnings | 229,030 | 170,486 |
Accumulated other comprehensive income (loss) | 1,106 | (1,203) |
Total stockholders’ equity | 636,590 | 636,607 |
Total liabilities and stockholders' equity | $ 5,060,297 | $ 4,559,779 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Statement Of Financial Position [Abstract] | ||||
Securities - Held to maturity, Fair value | $ 6,907 | $ 7,326 | ||
Allowance for loan and lease losses | $ 29,092 | $ 27,571 | $ 18,748 | $ 15,405 |
Common stock, outstanding | 24,964,961 | 26,949,936 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Interest and dividend income: | |||
Loans, including fees | $ 195,648 | $ 160,723 | $ 121,567 |
Factored receivables, including fees | 101,257 | 92,103 | 47,177 |
Securities | 10,474 | 6,354 | 6,823 |
FHLB and other restricted stock | 712 | 507 | 207 |
Cash deposits | 3,062 | 3,289 | 1,450 |
Total interest income | 311,153 | 262,976 | 177,224 |
Interest expense: | |||
Deposits | 40,225 | 23,058 | 13,082 |
Subordinated notes | 3,553 | 3,351 | 3,344 |
Junior subordinated debentures | 2,910 | 2,741 | 1,955 |
Other borrowings | 8,562 | 6,776 | 3,159 |
Total interest expense | 55,250 | 35,926 | 21,540 |
Net interest income | 255,903 | 227,050 | 155,684 |
Provision for loan losses | 7,942 | 16,167 | 11,628 |
Net interest income after provision for loan losses | 247,961 | 210,883 | 144,056 |
Noninterest income: | |||
Net OREO gains (losses) and valuation adjustments | 351 | (514) | (850) |
Net gains (losses) on sale of securities | 61 | (272) | 35 |
Insurance commissions | 4,219 | 3,492 | 2,981 |
Gain on sale of subsidiary or division | 1,071 | 20,860 | |
Other | 5,492 | 2,060 | 5,407 |
Total noninterest income | 31,569 | 22,970 | 40,656 |
Noninterest expense: | |||
Salaries and employee benefits | 112,862 | 90,212 | 72,696 |
Occupancy, furniture and equipment | 18,196 | 14,023 | 9,833 |
FDIC insurance and other regulatory assessments | 298 | 1,129 | 1,201 |
Professional fees | 7,288 | 8,939 | 7,192 |
Amortization of intangible assets | 9,131 | 6,980 | 5,201 |
Advertising and promotion | 6,126 | 4,974 | 3,226 |
Communications and technology | 20,976 | 18,270 | 8,843 |
Other | 29,207 | 22,826 | 15,422 |
Total noninterest expense | 204,084 | 167,353 | 123,614 |
Net income before income tax expense | 75,446 | 66,500 | 61,098 |
Income tax expense | 16,902 | 14,792 | 24,878 |
Net income | 58,544 | 51,708 | 36,220 |
Dividends on preferred stock | (578) | (774) | |
Net income available to common stockholders | $ 58,544 | $ 51,130 | $ 35,446 |
Earnings per common share | |||
Basic | $ 2.26 | $ 2.06 | $ 1.85 |
Diluted | $ 2.25 | $ 2.03 | $ 1.81 |
Service charges on deposits | |||
Noninterest income: | |||
Revenue | $ 7,132 | $ 5,469 | $ 4,181 |
Card income | |||
Noninterest income: | |||
Revenue | 7,873 | 6,514 | 3,822 |
Fee income | |||
Noninterest income: | |||
Revenue | $ 6,441 | $ 5,150 | 2,503 |
Asset management fees | |||
Noninterest income: | |||
Revenue | $ 1,717 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Net income | $ 58,544 | $ 51,708 | $ 36,220 |
Unrealized gains (losses) on securities available for sale: | |||
Unrealized holding gains (losses) arising during the period | 3,065 | (1,059) | (298) |
Reclassification of amount realized through sale of securities | (61) | 272 | (35) |
Tax effect | (695) | 180 | 13 |
Total other comprehensive income (loss) | 2,309 | (607) | (320) |
Comprehensive income | $ 60,853 | $ 51,101 | $ 35,900 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Series A Preferred Dividends | Series B Preferred Dividends | Preferred Stock | Common Stock | Additional Paid-in-Capital | Treasury Stock | Retained Earnings | Retained EarningsSeries A Preferred Dividends | Retained EarningsSeries B Preferred Dividends | Accumulated Other Comprehensive Income (Loss) |
Beginning Balance at Dec. 31, 2016 | $ 289,345 | $ 9,746 | $ 182 | $ 197,157 | $ (1,374) | $ 83,910 | $ (276) | ||||
Beginning Balance (in shares) at Dec. 31, 2016 | 18,078,247 | 76,118 | |||||||||
Issuance of common stock, net of issuance costs | 65,509 | $ 25 | 65,484 | ||||||||
Issuance of common stock, net of issuance costs (in shares) | 2,530,000 | ||||||||||
Issuance of restricted stock awards (in shares) | 45,732 | ||||||||||
Stock based compensation | 1,801 | 1,801 | |||||||||
Forfeiture of restricted stock awards | 44 | $ (44) | |||||||||
Forfeiture of restricted stock awards (in shares) | (1,636) | 1,636 | |||||||||
Stock option exercises, net | 283 | 283 | |||||||||
Stock option exercises, net (in shares) | 23,059 | ||||||||||
Warrant exercises, net | $ 2 | (2) | |||||||||
Warrant exercises, net (in shares) | 153,134 | ||||||||||
Purchase of treasury stock | (366) | $ (366) | |||||||||
Purchase of treasury stock (in shares) | (14,197) | 14,197 | |||||||||
Preferred stock converted to common stock | (88) | 88 | |||||||||
Preferred stock converted to common stock (in shares) | 6,106 | ||||||||||
Preferred dividends | $ (365) | $ (409) | $ (365) | $ (409) | |||||||
Net income | 36,220 | 36,220 | |||||||||
Other comprehensive income (loss) | (320) | (320) | |||||||||
Ending Balance at Dec. 31, 2017 | 391,698 | 9,658 | $ 209 | 264,855 | $ (1,784) | 119,356 | (596) | ||||
Ending Balance (in shares) at Dec. 31, 2017 | 20,820,445 | 91,951 | |||||||||
Issuance of common stock, net of issuance costs | 192,053 | $ 54 | 191,999 | ||||||||
Issuance of common stock, net of issuance costs (in shares) | 5,405,000 | ||||||||||
Issuance of restricted stock awards | $ 1 | (1) | |||||||||
Issuance of restricted stock awards (in shares) | 65,001 | ||||||||||
Stock based compensation | 2,735 | 2,735 | |||||||||
Forfeiture of restricted stock awards | 106 | $ (106) | |||||||||
Forfeiture of restricted stock awards (in shares) | (2,448) | 2,448 | |||||||||
Stock option exercises, net | (4) | (4) | |||||||||
Stock option exercises, net (in shares) | 1,366 | ||||||||||
Purchase of treasury stock | (398) | $ (398) | |||||||||
Purchase of treasury stock (in shares) | (9,664) | 9,664 | |||||||||
Preferred stock converted to common stock | $ (9,658) | $ 7 | 9,651 | ||||||||
Preferred stock converted to common stock (in shares) | 670,236 | ||||||||||
Preferred dividends | $ (273) | $ (305) | $ (273) | $ (305) | |||||||
Net income | 51,708 | 51,708 | |||||||||
Other comprehensive income (loss) | (607) | (607) | |||||||||
Ending Balance at Dec. 31, 2018 | 636,607 | $ 271 | 469,341 | $ (2,288) | 170,486 | (1,203) | |||||
Ending Balance (in shares) at Dec. 31, 2018 | 26,949,936 | 104,063 | |||||||||
Issuance of restricted stock awards | $ 1 | (1) | |||||||||
Issuance of restricted stock awards (in shares) | 104,413 | ||||||||||
Stock based compensation | 3,654 | 3,654 | |||||||||
Forfeiture of restricted stock awards | 257 | $ (257) | |||||||||
Forfeiture of restricted stock awards (in shares) | (8,602) | 8,602 | |||||||||
Stock option exercises, net (in shares) | 5,230 | ||||||||||
Purchase of treasury stock | (64,524) | $ (64,524) | |||||||||
Purchase of treasury stock (in shares) | (2,086,016) | 2,086,016 | |||||||||
Net income | 58,544 | 58,544 | |||||||||
Other comprehensive income (loss) | 2,309 | 2,309 | |||||||||
Ending Balance at Dec. 31, 2019 | $ 636,590 | $ 272 | $ 473,251 | $ (67,069) | $ 229,030 | $ 1,106 | |||||
Ending Balance (in shares) at Dec. 31, 2019 | 24,964,961 | 2,198,681 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash flows from operating activities: | |||
Net income | $ 58,544,000 | $ 51,708,000 | $ 36,220,000 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||
Depreciation | 8,135,000 | 5,720,000 | 4,001,000 |
Net accretion on loans | (5,568,000) | (8,296,000) | (7,071,000) |
Amortization of subordinated notes issuance costs | 116,000 | 101,000 | 94,000 |
Amortization of junior subordinated debentures | 483,000 | 460,000 | 413,000 |
Net amortization on securities | 205,000 | 947,000 | 638,000 |
Amortization of intangible assets | 9,131,000 | 6,980,000 | 5,201,000 |
Deferred taxes | 3,931,000 | 708,000 | 10,164,000 |
Provision for loan losses | 7,942,000 | 16,167,000 | 11,628,000 |
Stock based compensation | 3,654,000 | 2,735,000 | 1,801,000 |
Net (gains) losses on sale of securities | (61,000) | 272,000 | (35,000) |
Net (gains) losses on equity securities | (393,000) | (38,000) | |
Origination of loans held for sale | (32,570,000) | (4,317,000) | |
Purchases of loans held for sale | (30,486,000) | ||
Proceeds from sale of loans originated for sale | 63,080,000 | 3,495,000 | |
Net gains on sale of loans | (653,000) | (46,000) | |
Net (gains) losses on loans transferred to loans held for sale | (1,669,000) | 80,000 | |
Net OREO (gains) losses and valuation adjustments | (351,000) | 514,000 | 850,000 |
Net change in operating leases | 181,000 | ||
Income from CLO warehouse investments | 0 | (2,226,000) | |
Gain on sale of subsidiary or division | (1,071,000) | (20,860,000) | |
(Increase) decrease in other assets | (14,991,000) | (8,385,000) | 1,515,000 |
Increase (decrease) in other liabilities | 3,790,000 | 6,138,000 | 4,860,000 |
Net cash provided by (used in) operating activities | 72,450,000 | 73,830,000 | 47,273,000 |
Cash flows from investing activities: | |||
Purchases of equity securities | (3,000,000) | ||
Purchases of securities available for sale | (80,459,000) | (19,875,000) | (5,042,000) |
Proceeds from sales of securities available for sale | 40,617,000 | 123,016,000 | 32,441,000 |
Proceeds from maturities, calls, and pay downs of securities available for sale | 129,382,000 | 78,709,000 | 89,443,000 |
Purchases of securities held to maturity | (5,092,000) | ||
Proceeds from maturities, calls, and pay downs of securities held to maturity | 993,000 | 1,053,000 | 28,216,000 |
Purchases of loans held for investment | (129,428,000) | ||
Proceeds from sale of loans | 47,832,000 | 9,781,000 | 3,834,000 |
Net change in loans | (506,816,000) | (388,276,000) | (586,120,000) |
Purchases of premises and equipment, net | (21,338,000) | (18,776,000) | (7,953,000) |
Net proceeds from sale of OREO | 2,762,000 | 8,483,000 | 5,179,000 |
Proceeds from surrender of BOLI | 4,623,000 | ||
Net cash paid for CLO warehouse investments | (10,000,000) | ||
Net proceeds from CLO warehouse investments | 30,000,000 | ||
(Purchases) redemptions of FHLB and other restricted stock, net | (3,917,000) | 978,000 | (7,261,000) |
Cash paid for acquisitions, net of cash acquired | (141,872,000) | 45,315,000 | |
Proceeds from sale of subsidiary or division, net | 73,849,000 | 10,269,000 | |
Net cash provided by (used in) investing activities | (520,372,000) | (268,307,000) | (379,771,000) |
Cash flows from financing activities: | |||
Net increase (decrease) in deposits | 339,557,000 | 146,954,000 | 151,463,000 |
Increase (decrease) in customer repurchase agreements | (2,452,000) | (7,003,000) | 998,000 |
Increase (decrease) in Federal Home Loan Bank advances | 100,000,000 | (35,737,000) | 135,000,000 |
Proceeds from issuance of subordinated notes, net | 38,282,000 | ||
Issuance of common stock, net of issuance costs | 192,053,000 | 65,509,000 | |
Stock option exercises | (4,000) | 283,000 | |
Purchase of treasury stock | (64,524,000) | (398,000) | (366,000) |
Dividends on preferred stock | (578,000) | (774,000) | |
Net cash provided by (used in) financing activities | 410,863,000 | 295,287,000 | 352,113,000 |
Net increase (decrease) in cash and cash equivalents | (37,059,000) | 100,810,000 | 19,615,000 |
Cash and cash equivalents at beginning of period | 234,939,000 | 134,129,000 | 114,514,000 |
Cash and cash equivalents at end of period | 197,880,000 | 234,939,000 | 134,129,000 |
Supplemental cash flow information: | |||
Interest paid | 52,006,000 | 31,965,000 | 20,393,000 |
Income taxes paid, net | 17,748,000 | 12,839,000 | 12,890,000 |
Cash paid for operating lease liabilities (See Note 1) | 4,196,000 | ||
Supplemental noncash disclosures: | |||
Loans transferred to OREO | 3,360,000 | 514,000 | 6,585,000 |
Premises transferred to OREO | 1,139,000 | 276,000 | |
Loans transferred to loans held for sale | 46,163,000 | $ 9,781,000 | 3,914,000 |
Consideration received from sale of subsidiary or division | 12,123,000 | ||
Assets transferred to assets held for sale | $ 71,362,000 | ||
Lease liabilities arising from obtaining right-of-use assets (See Note 1) | $ 2,557,000 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 1 — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations Triumph Bancorp, Inc. (collectively with its subsidiaries, “Triumph”, or the “Company” as applicable) is a financial holding company headquartered in Dallas, Texas. The accompanying consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries Triumph CRA Holdings, LLC (“TCRA”), TBK Bank, SSB (“TBK Bank”), TBK Bank’s wholly owned factoring subsidiary Advance Business Capital LLC, which currently operates under the d/b/a of Triumph Business Capital (“TBC”), and TBK Bank’s wholly owned subsidiary Triumph Insurance Group, Inc. (“TIG”). On March 16, 2018, the Company sold the assets of Triumph Healthcare Finance (“THF”) and exited its healthcare asset based lending line of business. THF operated within the Company’s TBK Bank subsidiary. On March 31, 2017 the Company sold its membership interest in its wholly owned subsidiary Triumph Capital Advisors, LLC (“TCA”). See Note 2 – Business Combinations and Divestitures for additional information pertaining to the THF and TCA sales and the impact of the transactions on the Company’s consolidated financial statements. Principles of Consolidation and Basis of Presentation The Company consolidates subsidiaries in which it holds, directly or indirectly, a controlling financial interest. The Company determines whether it has a controlling financial interest in an entity by first evaluating whether the entity is a voting interest entity or a variable interest entity under U.S. generally accepted accounting principles (“GAAP”). Voting interest entities are entities in which the total equity investment at risk is sufficient to enable the entity to finance itself independently and provides the equity holders with the obligation to absorb losses, the right to receive residual returns and the right to make decisions about the entity’s activities. The Company consolidates voting interest entities in which it has at least a majority of the voting interest. Variable interest entities (“VIEs”) are entities that lack one or more of the characteristics of a voting interest entity. A controlling financial interest in a VIE is present when an enterprise has both the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and an obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. The enterprise with a controlling financial interest, known as the primary beneficiary, consolidates the VIE. In consolidation, all significant intercompany accounts and transactions are eliminated. Investments in unconsolidated entities are accounted for using the equity method of accounting when the Company has the ability to exercise significant influence over operating and financing decisions. Investments that do not meet the criteria for equity method accounting are accounted for using the cost method of accounting. The accounting and reporting policies of the Company and its subsidiaries conform to GAAP and general practice within the banking industry. Certain reclassifications have been made to prior year amounts to conform to the current year presentation. The Company uses the accrual basis of accounting for financial reporting purposes. Use of Estimates To prepare financial statements in conformity with GAAP management makes estimates and assumptions based on available information. These estimates and assumptions affect the amounts reported in the financial statements and the disclosures provided, and actual results could differ . Cash and Cash Equivalents For the purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, other short term investments and federal funds sold. All highly liquid investments with an initial maturity of less than 90 days are considered to be cash equivalents. Certain items, including loan and deposit transactions, customer repurchase agreements, and FHLB advances and repayments, are presented net in the statement of cash flows. Debt Securities The Company determines the classification of debt securities at the time of purchase. Debt securities that management has the positive intent and ability to hold to maturity are classified as held to maturity and recorded at amortized cost. Trading securities are recorded at fair value with changes in fair value included in earnings. Debt securities not classified as held to maturity or trading are classified as available for sale and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income (loss), net of tax. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific-identification method. Amortization of premiums and discounts are recognized in interest income over the period to maturity using the interest method. Management evaluates securities for other-than-temporary impairment (“OTTI”) on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. In analyzing an issuer’s financial condition, the Company may consider whether the securities are issued by the federal government or its agencies, whether downgrades by bond rating agencies have occurred, and the results of reviews of the issuers’ financial condition. The Company conducts regular reviews of the bond agency ratings of securities and considers whether the securities were issued by or have principal and interest payments guaranteed by the federal government or its agencies. These reviews focus on the underlying rating of the issuer and also include the insurance rating of securities that have an insurance component or guarantee. The ratings and financial condition of the issuers are monitored, as well as the financial condition and ratings of the insurers and guarantors. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized through earnings, and 2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, the entire amount of impairment is recognized through earnings. Equity Securities Equity securities are recorded at fair value, with unrealized gains and losses included in earnings beginning January 1, 2018 after adoption of Accounting Standards Update No. 2016-01, “Financial Instruments – Overall: Recognition and Measurement of Financial Assets and Financial Liabilities.” Prior to January 1, 2018, unrealized gains and losses on equity securities were excluded from earnings and reported in other comprehensive income (loss), net of tax. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific-identification method. Loans Held for Sale The Company elects the fair value option for recording 1-4 family residential mortgage loans and commercial loans held for sale in accordance with Accounting Standards Codification (“ASC”) 825, “Financial Instruments”. The fair value of loans held for sale is determined based on outstanding commitments from investors to purchase such loans or prevailing market rates. Increases or decreases in the fair value of loans held for sale, if any, are charged to earnings and are recorded in noninterest income in the consolidated statements of income. Gains and losses on sales of loans are based on the difference between the final selling price and the carrying value of the related loan sold. Mortgage loans held for sale are generally sold with servicing rights released. Management occasionally transfers loans held for investment to loans held for sale. Gains or losses on the transfer of loans to loans held for sale are recorded in noninterest income in the consolidated statements of income. Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the unpaid principal balance outstanding, net of unearned income, deferred loan fees and costs, and any direct principal charge-offs. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income over the remaining life of the loan without anticipating prepayments. Loans are considered past due or delinquent when the contractual principal or interest due in accordance with the terms of the loan agreement or any portion thereof remains unpaid after the due date of the scheduled payment. Loans are classified as nonaccrual when, in the opinion of management, collection of principal or interest is doubtful. The accrual of interest income on loans is typically discontinued at the time the loan is 90 days delinquent unless the loan is well-secured and in process of collection, or if full collection of interest or principal becomes uncertain. Consumer loans are typically charged off no later than 120 days past due. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not received for a loan placed on nonaccrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Acquired Loans Acquired loans are recorded at fair value at the date of acquisition with no initial valuation allowance based on a discounted cash flow methodology that considers various factors including the type of loan and related collateral, classification status, fixed or variable interest rate, term of loan and whether or not the loan was amortizing, and a discount rate reflecting the Company’s assessment of risk inherent in the cash flow estimates. Certain larger purchased loans are individually evaluated while certain purchased loans are grouped together according to similar risk characteristics and are treated in the aggregate when applying various valuation techniques. These cash flow evaluations are inherently subjective as they require material estimates, all of which may be susceptible to significant change. Loans acquired in a business combination that have evidence of deterioration of credit quality since origination and for which it is probable, at acquisition, that the Company will be unable to collect all contractually required payments receivable are considered purchased credit impaired (“PCI”). PCI loans are individually evaluated and recorded at fair value at the date of acquisition with no initial valuation allowance based on a discounted cash flow methodology that considers various factors including the type of loan and related collateral, classification status, fixed or variable interest rate, term of loan and whether or not the loan was amortizing, and a discount rate reflecting the Company’s assessment of risk inherent in the cash flow estimates. The difference between the undiscounted cash flows expected at acquisition and the investment in the loan, or the “accretable yield,” is recognized as interest income on a level-yield method over the life of the loan. Contractually required payments for interest and principal that exceed the undiscounted cash flows expected at acquisition, or the “nonaccretable difference,” are not recognized on the balance sheet and do not result in any yield adjustments, loss accruals or valuation allowances. Increases in expected cash flows, including prepayments, subsequent to the initial investment are recognized prospectively through adjustment of the yield on the loan over its remaining life. Decreases in expected cash flows are recognized as impairment. Valuation allowances on PCI loans reflect only losses incurred after the acquisition (meaning the present value of all cash flows expected at acquisition that ultimately are not to be received). For acquired loans not deemed credit-impaired at acquisition, the differences between the initial fair value and the unpaid principal balance are recognized as interest income on a level-yield basis over the lives of the related loans. Subsequent to the acquisition date, methods utilized to estimate the required allowance for loan and lease losses for these loans is similar to originated loans; however, a provision for credit losses will be recorded only to the extent the required allowance exceeds any remaining purchase discounts. Once an acquired loan undergoes new underwriting and meets the criteria for a new loan, such as in the case of a loan renewal, any remaining fair value adjustments are accreted into interest income and the loan establishes a new amortized cost basis that is fully subject to the Company's allowance for loan and lease loss methodology. Factored Receivables The Company purchases invoices from its factoring clients in schedules or batches. Cash is advanced to the client to the extent of the applicable advance rate, less fees, as set forth in the individual factoring agreements. The face value of the invoices purchased are recorded by the Company as factored receivables, and the unadvanced portions of the invoices purchased, less fees, are considered client reserves. The client reserves are held to settle any payment disputes or collection shortfalls, may be used to pay clients’ obligations to various third parties as directed by the client, are periodically released to or withdrawn by clients, and are reported as deposits. Unearned factoring fees and unearned net origination fees are deferred and recognized over the weighted average collection period for each client. Subsequent factoring fees are recognized in interest income as incurred by the client and deducted from the clients’ reserve balances. Other factoring-related fees, which include wire transfer fees, carrier payment fees, fuel advance fees, and other similar fees, are reported by the Company as non-interest income as incurred by the client. Loan Commitments and Related Financial Instruments Financial instruments include off-balance sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded. Allowance for Loan and Lease Losses The allowance for loan and lease losses (the “ALLL”) is a valuation allowance maintained to cover incurred losses that are estimated in accordance with US GAAP. It is our estimate of credit losses inherent in our loan portfolio at each balance sheet date. Our methodology for analyzing the allowance for loan and lease losses consists of general and specific components. For the general component, we stratify the loan portfolio into homogeneous groups of loans that possess similar loss potential characteristics and apply a loss ratio to these groups of loans to estimate the credit losses in the loan portfolio. We use both historical loss ratios and qualitative loss factors assigned to major loan collateral types to establish general component loss allocations. Qualitative loss factors are based on management's judgment of company, market, industry or business specific data and external economic indicators, which are not yet reflected in the historical loss ratios, and that could impact the Company's loan portfolios. Management sets and adjusts qualitative loss factors by regularly reviewing changes in underlying loan composition of specific portfolios. Management also considers credit quality and trends relating to delinquency, non-performing and adversely rated loans within the Company's loan portfolio when evaluating qualitative loss factors. Additionally, management adjusts qualitative factors to account for the potential impact of external economic factors and other pertinent economic data specific to our primary market area and lending portfolios. For the specific component, the allowance for loan and lease losses includes loans where management has concerns about the borrower's ability to repay and on individually analyzed loans found to be impaired. Management evaluates current information and events regarding a borrower's ability to repay its obligations and considers a loan to be impaired when the ultimate collectability of amounts due, according to the contractual terms of the loan agreement, is in doubt. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. If an impaired loan is collateral-dependent, the fair value of the collateral, less the estimated cost to sell, is used to determine the amount of impairment. If an impaired loan is not collateral-dependent, the impairment amount is determined using the negative difference, if any, between the estimated discounted cash flows and the loan amount due. For impaired loans, the amount of the impairment can be adjusted, based on current data, until such time as the actual basis is established by acquisition of the collateral or until the basis is collected. Impairment losses are reflected in the allowance for loan and lease losses through a charge to the provision for credit losses. Subsequent recoveries are credited to the allowance for loan and lease losses. Cash receipts for accruing loans are applied to principal and interest under the contractual terms of the loan agreement. Cash receipts on impaired loans for which the accrual of interest has been discontinued are applied first to principal. Loan losses are charged against the ALLL when management believes the uncollectability of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the ALLL. Allocations of the ALLL may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged-off. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment, and accordingly, they are not separately identified for impairment disclosures. The Company considers these loans to be homogeneous in nature due to the smaller dollar amount and the similar underwriting criteria. PCI loans are not considered impaired on the acquisition date. For PCI loans, a decline in the present value of current expected cash flows compared to the previously estimated expected cash flows, due in any part to change in credit, is considered an impairment event and a provision for loan losses will be recorded during the period as necessary. A loan that has been modified or renewed is considered a troubled debt restructuring (“TDR”) when two conditions are met: 1) the borrower is experiencing financial difficulty and 2) concessions are made for the borrower's benefit that would not otherwise be considered for a borrower or transaction with similar credit risk characteristics. TDRs are separately identified for impairment and are measured at the present value of estimated future cash flows using the loan’s effective rate at inception. If a TDR is considered to be a collateral dependent loan, the loan is reported, net, at the fair value of the collateral up to the carrying amount of the loan. The following loan portfolio categories have been identified for purposes of determining the general component of the ALLL: Commercial Real Estate — This category of loans consists of the following loan types: Non-farm Non-residential — This category includes real estate loans for a variety of commercial property types and purposes, including owner occupied commercial real estate loans primarily secured by commercial office or industrial buildings, warehouses or retail buildings where the owner of the building occupies the property. Repayment terms vary considerably, interest rates are fixed or variable, and are structured for full, partial, or no amortization of principal. This category also includes investment real estate loans that are primarily secured by office and industrial buildings, warehouses, small retail shopping centers and various special purpose properties. Generally, these types of loans are thought to involve a greater degree of credit risk than owner occupied commercial real estate as they are more sensitive to adverse economic conditions. Multi-family residential — Investment real estate loans are primarily secured by non-owner occupied apartment or multifamily residential buildings. Generally, these types of loans are thought to involve a greater degree of credit risk than owner occupied commercial real estate as they are more sensitive to adverse economic conditions. Construction, land development, land —This category of loans consists of loans to finance the ground up construction, improvement and/or carrying for sale after the completion of construction of owner occupied and non-owner occupied residential and commercial properties, and loans secured by raw or improved land. The repayment of construction loans is generally dependent upon the successful completion of the improvements by the builder for the end user, or sale of the property to a third party. Repayment of land secured loans are dependent upon the successful development and sale of the property, the sale of the land as is, or the outside cash flow of the owners to support the retirement of the debt. 1-4 family residential properties — This category of loans includes both first and junior liens on residential real estate. Home equity revolving lines of credit and home equity term loans are included in this group of loans. Farmland — These loans are principally loans to purchase farmland. Commercial — Commercial loans are loans for commercial, corporate and business purposes. The Company’s commercial business loan portfolio is comprised of loans for a variety of purposes and across a variety of industries. These loans include general commercial and industrial loans, loans to purchase capital equipment, agriculture operating loans and other business loans for working capital and operational purposes. Commercial loans are generally secured by accounts receivable, inventory and other business assets. Commercial loans also include shared national credits purchased by the Company. A portion of the commercial loan portfolio consists of specialty commercial finance products as follows: Equipment — Equipment finance loans are commercial loans primarily secured by new or used revenue producing, essential-use equipment from major manufacturers that is movable, may be used in more than one type of business, and generally has broad resale markets. Core markets include transportation, construction, and waste. Loan terms do not exceed the economic life of the equipment and typically are 60 months or less. Asset-based Lending — These loans are originated to borrowers to support general working capital needs. The asset-based loan structure involves advances of loan proceeds against a borrowing base which typically consists of accounts receivable, identified readily marketable inventory, or other collateral of the borrower. The maximum amount a customer may borrow at any time is fixed as a percentage of the borrowing base outstanding. A portion of the commercial loan portfolio also consists of national lending products as follows: Liquid Credit — Broadly syndicated leveraged loans secured by a variety of collateral types. Premium Finance — Loans that provide customized premium financing solutions for the acquisition of property and casualty insurance coverage. In effect, these short term premium finance loans allow insureds to pay their insurance premiums over the life of the underlying policy, instead of paying the entire premium at the outset. Factored Receivables — The Company operates as a factor by purchasing accounts receivable from its clients, then collecting the receivable from the account debtor. The Company’s smaller factoring relationships are typically structured as “non-recourse” relationships ( i.e. , the Company retains the credit risk associated with the ability of the account debtor on a purchased invoice to ultimately make payment) and the Company’s larger factoring relationships are typically structured as “recourse” relationships ( i.e. , the Company’s client agrees to repurchase any invoices for which payment is not ultimately received from the account debtor). Advances initially made to the client to acquire the receivables are typically at a discount to the invoice value. The discount balance is held in client reserves, net of the Company’s compensation. The client reserves are held to settle any payment disputes or collection shortfalls, may be used to pay clients’ obligations to various third parties as directed by the client, are periodically released to or withdrawn by clients, and are reported as deposits. Consumer — Loans used for personal use typically on an unsecured basis. Mortgage Warehouse — Mortgage Warehouse facilities are provided to unaffiliated mortgage origination companies and are collateralized by 1-4 family residential loans. The originator closes new mortgage loans with the intent to sell these loans to third party investors for a profit. The Company provides funding to the mortgage companies for the period between the origination and their sale of the loan. The Company has a policy that requires that it separately validate that each residential mortgage loan was underwritten consistent with the underwriting requirements of the final investor or market standards prior to advancing funds. The Company is repaid with the proceeds received from sale of the mortgage loan to the final investor. Federal Home Loan Bank (“FHLB”) Stock The Company is a member of the FHLB system. Members of the FHLB are required to own a certain amount of stock based on the level of borrowings and other factors, and may invest in additional amounts. FHLB stock is carried at cost, is restricted as to redemption, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. Premises and Equipment Land is carried at cost. Depreciable assets are stated at cost less accumulated depreciation. Leasehold improvements are capitalized and depreciated using the straight-line method over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. Buildings thirty Furniture, fixtures and equipment are depreciated using the straight-line method with useful lives ranging from three to ten years. The Company leases certain properties and equipment under operating leases. For leases in effect upon adoption of Accounting Standards Update 2016-02, “Leases (Topic 842)” at January 1, 2019 and for any leases commencing thereafter, the Company recognizes a liability to make lease payments, the “lease liability”, and an asset representing the right to use the underlying asset during the lease term, the “right-of-use asset”. The lease liability is measured at the present value of the remaining lease payments, discounted at the Company’s incremental borrowing rate. The right-of-use asset is measured at the amount of the lease liability adjusted for the remaining balance of any lease incentives received, any cumulative prepaid or accrued rent if the lease payments are uneven throughout the lease term, any unamortized initial direct costs, and any impairment of the right-of-use-asset. Operating lease expense consists of a single lease cost calculated so that the remaining cost of the lease is allocated over the remaining lease term on a straight-line basis, variable lease payments not included in the lease liability, and any impairment of the right-of-use asset. Certain of the Company’s leases contain options to renew the lease; however, these renewal options are not included in the calculation of the lease liabilities as they are not reasonably certain to be exercised. The Company’s leases do not contain residual value guarantees or material variable lease payments. The Company does not have any material restrictions or covenants imposed by leases that would impact the Company’s ability to pay dividends or cause the Company to incur additional financial obligations. The Company has made an accounting policy election to not apply the recognition requirements in Topic 842 to short-term leases. The Company has also elected to use the practical expedient to make an accounting policy election for property leases to include both lease and nonlease components as a single component and account for it as a lease. The Company’s leases are not complex; therefore there were no significant assumptions or judgements made in applying the requirements of Topic 842, including the determination of whether the contracts contained a lease, the allocation of consideration in the contracts between lease and nonlease components, and the determination of the discount rates for the leases. Foreclosed Assets Assets acquired through loan foreclosure are initially recorded at fair value less costs to sell, establishing a new cost basis. Any write-down in the carrying value of a property at the time of acquisition is charged-off to the allowance for loan and lease losses. After foreclosure, foreclosed assets are carried at the lower of the recorded investment in the asset or the fair value less costs to sell. If fair value declines subsequent to foreclosure, a valuation allowance is recorded through expense. Operating costs after acquisition are expensed . Goodwill Goodwill represents the excess of the cost of businesses acquired over the fair value of the net assets acquired. In accordance with ASC 350-20, "Intangibles- Goodwill and Other", the Company evaluates goodwill for impairment on an annual basis or on an interim basis if an event occurs or circumstances change that would more likely than not reduce the fair value below its carrying amount, in accordance with ASC 350-20. The Company’s annual goodwill impairment testing date is October 1. The Company first assesses qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining the need to perform the two-step test for goodwill impairment (the qualitative method). If the qualitative method cannot be used or if it determines, based on the qualitative method, that the fair value is more likely than not less than the carrying amount, the Company uses the two-step test. Under the two-step test, the Company compares the estimated fair value of a reporting unit with its carrying amount, including goodwill. If the estimated fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is considered not impaired. If the carrying amount of a reporting unit exceeds its estimated fair value, the second step of the goodwill impairment test is performed to measure the amount of impairment loss, if any. Step two of the goodwill impairment test compares the implied estimated fair value of reporting unit goodwill with the carrying amount of that goodwill. If the carrying amount of goodwill for that reporting unit exceeds the implied fair value of that unit’s goodwill, an impairment loss is recognized in an amount |
Business Combinations and Dives
Business Combinations and Divestitures | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Business Combinations and Divestitures | NOTE 2 — DIVESTITURES First Bancorp of Durango, Inc. and Southern Colorado Corp. Effective September 8, 2018 the Company acquired (i) First Bancorp of Durango, Inc. (“FBD”) and its community banking subsidiaries, The First National Bank of Durango and Bank of New Mexico and (ii) Southern Colorado Corp. (“SCC”) and its community banking subsidiary, Citizens Bank of Pagosa Springs, in all-cash transactions. The acquisitions expanded the Company’s market in Colorado and into New Mexico and further diversified the Company’s loan, customer, and deposit base. A summary of the estimated fair values of assets acquired, liabilities assumed, consideration transferred, and the resulting goodwill is as follows: (Dollars in thousands) FBD SCC Total Assets acquired: Cash and cash equivalents $ 151,973 $ 14,299 $ 166,272 Securities 237,183 33,477 270,660 Loans held for sale 1,238 — 1,238 Loans 256,384 31,454 287,838 FHLB stock 786 129 915 Premises and equipment 7,495 840 8,335 Other real estate owned 213 — 213 Intangible assets 11,915 2,154 14,069 Other assets 2,715 403 3,118 669,902 82,756 752,658 Liabilities assumed: Deposits 601,194 73,464 674,658 Federal Home Loan Bank advances 737 — 737 Other liabilities 1,313 64 1,377 603,244 73,528 676,772 Fair value of net assets acquired 66,658 9,228 75,886 Cash consideration transferred 134,667 13,294 147,961 Goodwill $ 68,009 $ 4,066 $ 72,075 The Company has recognized goodwill of $72,075,000, which was calculated as the excess of both the consideration exchanged and the liabilities assumed as compared to the fair value of identifiable net assets acquired and was allocated to the Company’s Banking segment. The goodwill in these acquisitions resulted from expected synergies and expansion in the Colorado market and into the New Mexico market. The goodwill will be deducted for tax purposes. The intangible assets recognized in the transactions are being amortized utilizing an accelerated method over their ten year estimated useful lives. In connection with the acquisitions, the Company acquired loans both with and without evidence of credit quality deterioration since origination. The acquired loans were initially recorded at fair value with no carryover of any allowance for loan and lease losses. Acquired loans were segregated between those considered to be purchased credit impaired (“PCI”) loans and those without credit impairment at acquisition. The following table presents details of the estimated fair value of acquired loans at the acquisition date: Loans Excluding PCI Loans PCI Loans Total Loans (Dollars in thousands) FBD SCC Total FBD SCC Total Acquired Commercial real estate $ 140,955 $ 11,894 $ 152,849 $ 832 $ 200 $ 1,032 $ 153,881 Construction, land development, land 13,949 5,229 19,178 3,081 — 3,081 22,259 1-4 family residential properties 59,228 10,180 69,408 75 — 75 69,483 Farmland 5,709 1,207 6,916 — — — 6,916 Commercial 26,125 2,121 28,246 1,020 — 1,020 29,266 Factored receivables — — — — — — — Consumer 5,410 623 6,033 — — — 6,033 Mortgage warehouse — — — — — — — $ 251,376 $ 31,254 $ 282,630 $ 5,008 $ 200 $ 5,208 $ 287,838 The following presents information at the acquisition date for non-PCI loans acquired in the transactions: (Dollars in thousands) FBD SCC Total Contractually required principal and interest payments $ 318,674 $ 38,590 $ 357,264 Contractual cash flows not expected to be collected $ 4,255 $ 550 $ 4,805 Fair value at acquisition $ 251,376 $ 31,254 $ 282,630 The following presents information at the acquisition date for PCI loans acquired in the transactions: (Dollars in thousands) FBD SCC Total Contractually required principal and interest payments $ 10,511 $ 269 $ 10,780 Contractual cash flows not expected to be collected (nonaccretable difference) 2,570 5 2,575 Expected cash flows at acquisition 7,941 264 8,205 Interest component of expected cash flows (accretable yield) 2,933 64 2,997 Fair value of loans acquired with deterioration of credit quality $ 5,008 $ 200 $ 5,208 The following table presents unaudited supplemental pro forma information for the years ended December 31, 2018 and 2017 as if the FBD and SCC acquisitions had occurred at the beginning of 2017. The supplemental pro forma information includes adjustments for interest income on loans acquired, depreciation expense on property acquired, amortization of intangibles arising from the transactions, and the related income tax effects. Additionally, because FBD and SCC were Subchapter S corporations before the acquisitions and did not incur any federal income tax liabilities, adjustments have been included to estimate the impact of federal income taxes on FBD and SCC’s net income for the periods presented. The supplemental pro forma financial information is not necessarily indicative of the results of operations that would have occurred had the transactions been completed on the assumed date. Year Ended December 31, 2018 (Dollars in thousands) FBD SCC Total Net interest income $ 241,322 $ 228,797 $ 243,069 Noninterest income $ 26,473 $ 23,412 $ 26,915 Net income $ 52,269 $ 51,541 $ 52,102 Basic earnings per common share $ 2.00 $ 2.05 $ 1.99 Diluted earnings per common share $ 1.97 $ 2.01 $ 1.96 Year Ended December 31, 2017 (Dollars in thousands) FBD SCC Total Net interest income $ 176,154 $ 158,166 $ 178,636 Noninterest income $ 45,570 $ 41,166 $ 46,080 Net income $ 39,211 $ 36,475 $ 39,466 Basic earnings per common share $ 1.68 $ 1.83 $ 1.66 Diluted earnings per common share $ 1.65 $ 1.79 $ 1.63 Revenue and earnings of FBD and SCC since the acquisition date have not been disclosed as the acquired companies were merged into the Company and separate financial information is not readily available. Expenses related to the acquisitions, including professional fees and other transaction costs, totaling $5,871,000 were recorded in noninterest expense in the consolidated statements of income during the year ended December 31, 2018. Interstate Capital Corporation On June 2, 2018, the Company acquired substantially all of the operating assets of, and assumed certain liabilities associated with, Interstate Capital Corporation’s (“ICC”) accounts receivable factoring business and other related financial services. ICC operates out of offices located in El Paso, Texas and provides invoice factoring to small and medium-sized businesses. A summary of the estimated fair values of assets acquired, liabilities assumed, consideration transferred, and the resulting goodwill is as follows: (Dollars in thousands) Assets acquired: Cash and cash equivalents $ 75 Factored receivables 131,017 Premises and equipment 279 Intangible assets 13,920 Other assets 144 145,435 Liabilities assumed: Deposits 7,389 Other liabilities 763 8,152 Fair value of net assets acquired 137,283 Consideration: Cash paid 160,258 Contingent consideration 20,000 Total consideration 180,258 Goodwill $ 42,975 ICC’s net assets acquired were allocated to the Company’s Factoring segment whose factoring operations were significantly expanded as a result of the transaction. The Company has recognized goodwill of $42,975,000, which was calculated as the excess of both the fair value of cash consideration exchanged and the fair value of the contingent liability assumed as compared to the fair value of identifiable net assets acquired and was allocated to the Company’s Factoring segment. The goodwill in this acquisition resulted from expected synergies and expansion in the factoring market. The goodwill will be deducted for tax purposes. The intangible assets recognized include a customer relationship intangible asset with an acquisition date fair value of $13,500,000, which is being amortized utilizing an accelerated method over its eight year estimated useful life, and a trade name intangible asset with an acquisition date fair value of $420,000, which is being amortized on a straight-line basis over its three year estimated useful life. Consideration paid included contingent consideration with an acquisition date fair value of $20,000,000. The contingent consideration is based on a proprietary index designed to approximate the rise and fall of transportation invoice prices subsequent to acquisition and is correlated to monthly movements in average invoice prices historically experienced by ICC. At the end of a 30 month earnout period, a final average index price will be calculated and the contingent consideration will be settled in cash based on the final average index price. Final contingent consideration payout will range from $0 to $22,000,000, and the fair value of the associated liability will be remeasured each reporting period with changes in fair value recorded in noninterest income in the consolidated statements of income. The fair value of the contingent consideration was $21,622,000 at December 31, 2019. Revenue and earnings of ICC since the acquisition date have not been disclosed as the acquired company was merged into the Company and separate financial information is not readily available. Expenses related to the acquisition, including professional fees and other transaction costs, totaling $1,094,000 were recorded in noninterest expense in the consolidated statements of income during the year ended December 31, 2018. Triumph Healthcare Finance On January 19, 2018, the Company entered into an agreement to sell the assets (the “Disposal Group”) of Triumph Healthcare Finance (“THF”) and exit its healthcare asset based lending line of business. At December 31, 2017, the carrying amount of the Disposal Group was transferred to assets held for sale. The sale closed on March 16, 2018. A summary of the carrying amount of the assets in the Disposal Group and the gain on sale is as follows: (Dollars in thousands) Carrying amount of assets in the disposal group: Loans $ 70,147 Premises and equipment, net 19 Goodwill 1,457 Intangible assets, net 958 Other assets 197 Total carrying amount 72,778 Total consideration received 74,017 Gain on sale of division 1,239 Transaction costs 168 Gain on sale of division, net of transaction costs $ 1,071 The Disposal Group was included in the Banking segment, and the loans in the Disposal Group were previously included in the commercial loan portfolio. Valley Bancorp, Inc. Effective December 9, 2017, the Company acquired Valley Bancorp, Inc. (“Valley”) and its community banking subsidiary, Valley Bank & Trust, in an all-cash transaction. Valley Bank & Trust was merged into TBK Bank upon closing. The acquisition expanded the Company’s market in Colorado and further diversified the Company’s loan, customer, and deposit base. A summary of the estimated fair values of assets acquired, liabilities assumed, consideration transferred, and the resulting goodwill is as follows: (Dollars in thousands) Assets acquired: Cash and cash equivalents $ 38,473 Securities 97,687 Loans 171,199 FHLB stock 315 Premises and equipment 6,238 Other real estate owned 2,282 Intangible assets 6,072 Bank-owned life insurance 7,153 Other assets 1,882 331,301 Liabilities assumed: Deposits 293,398 Junior subordinated debentures 5,470 Other liabilities 2,881 301,749 Fair value of net assets acquired 29,552 Consideration transferred 40,075 Goodwill $ 10,523 The Company has recognized goodwill of $10,523,000, which was calculated as the excess of both the consideration exchanged and the liabilities assumed as compared to the fair value of identifiable net assets acquired and was allocated to the Company’s Banking segment. The goodwill in this acquisition resulted from expected synergies and expansion in the Colorado market. The goodwill will be deducted for tax purposes. The intangible assets recognized in the transaction are being amortized utilizing an accelerated method over their ten year estimated useful lives. In connection with the acquisition, the Company acquired loans both with and without evidence of credit quality deterioration since origination. The acquired loans were initially recorded at fair value with no carryover of any allowance for loan and lease losses. Acquired loans were segregated between those considered to be purchased credit impaired (“PCI”) loans and those without credit impairment at acquisition. The following table presents details of the estimated fair value of acquired loans at the acquisition date: Loans, Excluding PCI Total (Dollars in thousands) PCI Loans Loans Loans Commercial real estate $ 73,273 $ 254 $ 73,527 Construction, land development, land 19,770 1,199 20,969 1-4 family residential properties 26,264 — 26,264 Farmland 16,934 — 16,934 Commercial 31,893 — 31,893 Factored receivables — — — Consumer 1,612 — 1,612 Mortgage warehouse — — — $ 169,746 $ 1,453 $ 171,199 The following presents information at the acquisition date for non-PCI loans acquired in the transaction: (Dollars in thousands) Contractually required principal and interest payments $ 214,139 Contractual cash flows not expected to be collected $ 3,646 Fair value at acquisition $ 169,746 The following presents information at the acquisition date for PCI loans acquired in the transaction: (Dollars in thousands) Contractually required principal and interest payments $ 2,599 Contractual cash flows not expected to be collected (nonaccretable difference) 775 Expected cash flows at acquisition 1,824 Interest component of expected cash flows (accretable yield) 371 Fair value of loans acquired with deterioration of credit quality $ 1,453 Revenue and earnings of Valley since the acquisition date have not been disclosed as the acquired company was merged into the Company and separate financial information is not readily available. Expenses related to the acquisition, including professional fees and other transaction costs, totaling $1,251,000 were recorded in noninterest expense in the consolidated statements of income during the year ended December 31, 2017. Independent Bank – Colorado Branches On October 6, 2017, the Company completed its acquisition of nine branch locations in Colorado from Independent Bank Group, Inc.’s banking subsidiary Independent Bank for an aggregate deposit premium of $6,771,000 or 4.2%. The branches were merged into TBK Bank upon closing. The primary purpose of the acquisition was to improve the Company’s core deposit base and continue to build upon the diversification of the Company’s loan portfolio. A summary of the estimated fair values of assets acquired, liabilities assumed, consideration transferred, and the resulting goodwill is as follows: (Dollars in thousands) Assets acquired: Cash and cash equivalents $ 1,611 Loans 95,794 Premises and equipment 7,524 Intangible assets 3,255 Other assets 1,644 109,828 Liabilities assumed: Deposits 160,702 Other liabilities 249 160,951 Fair value of net assets acquired (51,123 ) Cash received from seller, net of $6,771 deposit premium 45,306 Goodwill $ 5,817 The Company has recognized goodwill of $5,817,000, which was calculated as the excess of both the consideration exchanged and the liabilities assumed as compared to the fair value of identifiable net assets acquired and was allocated to the Company’s Banking segment. The goodwill in this acquisition resulted from expected synergies and expansion in the Colorado market. The goodwill will be deducted for tax purposes. The intangible assets recognized in the transaction are being amortized utilizing an accelerated method over their ten year estimated useful lives. The loans acquired in the transaction were initially recorded at fair value with no carryover of any allowance for loan and lease losses. There were no loans acquired that were considered to be purchased credit impaired (“PCI”) loans. The following table presents details of the estimated fair value of acquired loans at the acquisition date: (Dollars in thousands) Commercial real estate $ 13,382 Construction, land development, land 537 1-4 family residential properties 6,986 Farmland 31,490 Commercial 43,104 Factored receivables — Consumer 295 Mortgage warehouse — $ 95,794 The following presents information at the acquisition date for non-PCI loans acquired in the transaction: (Dollars in thousands) Contractually required principal and interest payments $ 122,498 Contractual cash flows not expected to be collected $ 3,415 Fair value at acquisition $ 95,794 Revenue and earnings of the acquired branches since the acquisition date have not been disclosed as the branches were merged into the Company and separate financial information is not readily available. Expenses related to the acquisition, including professional fees and other transaction costs, totaling $437,000 were recorded in noninterest expense in the consolidated statements of income during the year ended December 31, 2017. Triumph Capital Advisors, LLC On March 31, 2017, the Company sold its wholly owned asset management subsidiary, Triumph Capital Advisors, LLC (“TCA”), to an unrelated third party. The transaction was completed to enhance shareholder value and provide a platform for TCA to operate without the impact of regulations intended for depository institutions and their holding companies. A summary of the consideration received and the gain on sale is as follows: (Dollars in thousands) Consideration received (fair value): Cash $ 10,554 Loan receivable 10,500 Revenue share 1,623 Total consideration received 22,677 Carrying value of TCA membership interest 1,417 Gain on sale of subsidiary 21,260 Transaction costs 400 Gain on sale of subsidiary, net of transaction costs $ 20,860 The Company financed a portion of the consideration received with a $10,500,000 term credit facility. Terms of the floating rate credit facility provide for quarterly principal and interest payments with an interest rate floor of 5.50%, maturing on March 31, 2023. In addition, the Company is entitled to receive an annual earn-out payment representing 3% of TCA’s future annual gross revenue, with a total maximum earn-out amount of $2,500,000. The revenue share earn-out was considered contingent consideration which the Company recorded as an asset at its estimated fair value of $1,623,000 on the date of sale. The fair value of the revenue share asset was $1,674,000 at December 31, 2019. The Company received cash proceeds of $293,000 and $174,000 from the revenue share during the years ended December 31, 2019 and 2018, respectively. There were no cash proceeds received from the revenue share during the year ended December 31, 2017. The Company incurred pre-tax expenses related to the transaction, including professional fees and other direct transaction costs, totaling $400,000 which were netted against the gain on sale of subsidiary in the consolidated statements of income during the year ended December 31, 2017. |
Securities
Securities | 12 Months Ended |
Dec. 31, 2019 | |
Investments Debt And Equity Securities [Abstract] | |
Securities | NOTE 3 — SECURITIES Equity Securities with Readily Determinable Fair Values The Company held equity securities with fair values of $5,437,000 and $5,044,000 at December 31, 2019 and 2018, respectively. The gross realized and unrealized gains (losses) recognized on equity securities with readily determinable fair values in noninterest income in the Company’s consolidated statements of income were as follows: (Dollars in thousands) 2019 2018 Unrealized gains (losses) on equity securities still held at the reporting date $ 393 $ 38 Realized gains (losses) on equity securities sold during the period — — $ 393 $ 38 Debt Securities Debt securities have been classified in the financial statements as available for sale or held to maturity. The amortized cost of securities and their estimated fair values are as follows: Gross Gross (Dollars in thousands) Amortized Unrealized Unrealized Fair December 31, 2019 Cost Gains Losses Value Available for sale securities: U.S. Government agency obligations $ 39,679 $ 115 $ (34 ) $ 39,760 Mortgage-backed securities, residential 37,324 728 (36 ) 38,016 Asset-backed securities 8,039 — (80 ) 7,959 State and municipal 31,746 327 (8 ) 32,065 CLO Securities 75,592 39 (358 ) 75,273 Corporate bonds 50,889 695 (1 ) 51,583 SBA pooled securities 4,112 53 (1 ) 4,164 Total available for sale securities $ 247,381 $ 1,957 $ (518 ) $ 248,820 Gross Gross (Dollars in thousands) Amortized Unrecognized Unrecognized Fair December 31, 2019 Cost Gains Losses Value Held to maturity securities: CLO securities $ 8,417 $ — $ (1,510 ) $ 6,907 Gross Gross (Dollars in thousands) Amortized Unrealized Unrealized Fair December 31, 2018 Cost Gains Losses Value Available for sale securities: U.S. Government agency obligations $ 93,500 $ 9 $ (861 ) $ 92,648 U.S. Treasury notes 1,956 — (24 ) 1,932 Mortgage-backed securities, residential 39,971 222 (457 ) 39,736 Asset-backed securities 10,165 11 (31 ) 10,145 State and municipal 118,826 175 (550 ) 118,451 Corporate bonds 68,804 150 (167 ) 68,787 SBA pooled securities 4,766 5 (47 ) 4,724 Total available for sale securities $ 337,988 $ 572 $ (2,137 ) $ 336,423 Gross Gross (Dollars in thousands) Amortized Unrecognized Unrecognized Fair December 31, 2018 Cost Gains Losses Value Held to maturity securities: CLO securities $ 8,487 $ — $ (1,161 ) $ 7,326 The amortized cost and estimated fair value of debt securities at December 31, 2019, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Available for Sale Securities Held to Maturity Securities Amortized Fair Amortized Fair (Dollars in thousands) Cost Value Cost Value Due in one year or less $ 70,224 $ 70,561 $ — $ — Due from one year to five years 40,745 41,328 — — Due from five years to ten years 10,760 10,829 8,417 6,907 Due after ten years 76,177 75,963 — — 197,906 198,681 8,417 6,907 Mortgage-backed securities, residential 37,324 38,016 — — Asset-backed securities 8,039 7,959 — — SBA pooled securities 4,112 4,164 — — $ 247,381 $ 248,820 $ 8,417 $ 6,907 Proceeds from sales of debt securities and the associated gross gains and losses are as follows: (Dollars in thousands) 2019 2018 2017 Proceeds $ 40,617 $ 123,016 $ 32,441 Gross gains 191 5 35 Gross losses (130 ) (277 ) — Debt securities with a carrying amount of approximately $48,237,000 and $80,041,000 at December 31, 2019 and 2018, respectively, were pledged to secure public deposits, customer repurchase agreements, and for other purposes required or permitted by law. Information pertaining to debt securities with gross unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous loss position, are summarized as follows: Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized December 31, 2019 Value Losses Value Losses Value Losses Available for sale securities: U.S. Government agency obligations $ — $ — $ 12,331 $ (34 ) $ 12,331 $ (34 ) Mortgage-backed securities, residential 3,549 (29 ) 777 (7 ) 4,326 (36 ) Asset-backed securities 2,986 (36 ) 4,973 (44 ) 7,959 (80 ) State and municipal 562 — 3,426 (8 ) 3,988 (8 ) CLO Securities 58,160 (358 ) — — 58,160 (358 ) Corporate bonds — — 149 (1 ) 149 (1 ) SBA pooled securities 354 — 9 (1 ) 363 (1 ) Total available for sale securities $ 65,611 $ (423 ) $ 21,665 $ (95 ) $ 87,276 $ (518 ) Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Unrecognized Fair Unrecognized Fair Unrecognized December 31, 2019 Value Losses Value Losses Value Losses Held to maturity securities: CLO securities $ — $ — $ 6,907 $ (1,510 ) $ 6,907 $ (1,510 ) Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized December 31, 2018 Value Losses Value Losses Value Losses Available for sale securities: U.S. Government agency obligations $ 17,203 $ (83 ) $ 72,471 $ (778 ) $ 89,674 $ (861 ) U.S. Treasury notes — — 1,932 (24 ) 1,932 (24 ) Mortgage-backed securities, residential 9,334 (97 ) 13,910 (360 ) 23,244 (457 ) Asset-backed securities 197 (1 ) 4,970 (30 ) 5,167 (31 ) State and municipal 31,142 (201 ) 22,478 (349 ) 53,620 (550 ) Corporate bonds 41,874 (166 ) 149 (1 ) 42,023 (167 ) SBA pooled securities 2,602 (20 ) 1,451 (27 ) 4,053 (47 ) Total available for sale securities $ 102,352 $ (568 ) $ 117,361 $ (1,569 ) $ 219,713 $ (2,137 ) Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Unrecognized Fair Unrecognized Fair Unrecognized December 31, 2018 Value Losses Value Losses Value Losses Held to maturity securities: CLO securities $ 2,861 $ (242 ) $ 4,465 $ (919 ) $ 7,326 $ (1,161 ) Management evaluates securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. Consideration is given to (1) the length of time and the extent to which the fair value has been 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. At December 31, 2019, the Company had 66 debt securities in an unrealized loss position. Management does not have the intent to sell any of these securities and believes that it is more likely than not that the Company will not have to sell any such securities before a recovery of cost. The fair value is expected to recover as the securities approach their maturity date or repricing date or if market yields for such investments decline. Management does not believe that any of the securities are impaired due to reasons of credit quality. Accordingly, as of December 31, 2019, management believes the unrealized losses detailed in the previous table are temporary and no other than temporary impairment loss has been recognized in the Company’s consolidated statements of income. |
Loans and Allowance for Loan an
Loans and Allowance for Loan and Lease Losses | 12 Months Ended |
Dec. 31, 2019 | |
Loans And Leases Receivable Disclosure [Abstract] | |
Loans and Allowance for Loan and Lease Losses | NOTE 4 — Loans Held for Sale The following table presents loans held for sale: (Dollars in thousands) December 31, 2019 December 31, 2018 1-4 family residential $ 2,735 $ 2,106 Commercial — — Total loans held for sale $ 2,735 $ 2,106 Loans Held for Investment The following table presents the recorded investment and unpaid principal for loans held for investment: December 31, 2019 December 31, 2018 Recorded Unpaid Recorded Unpaid (Dollars in thousands) Investment Principal Difference Investment Principal Difference Commercial real estate $ 1,046,961 $ 1,051,684 $ (4,723 ) $ 992,080 $ 999,887 $ (7,807 ) Construction, land development, land 160,569 162,335 (1,766 ) 179,591 183,664 (4,073 ) 1-4 family residential properties 179,425 180,340 (915 ) 190,185 191,852 (1,667 ) Farmland 154,975 156,995 (2,020 ) 170,540 173,583 (3,043 ) Commercial 1,342,683 1,346,444 (3,761 ) 1,114,971 1,118,028 (3,057 ) Factored receivables 619,986 621,697 (1,711 ) 617,791 620,103 (2,312 ) Consumer 21,925 21,994 (69 ) 29,822 29,956 (134 ) Mortgage warehouse 667,988 667,988 — 313,664 313,664 — Total 4,194,512 $ 4,209,477 $ (14,965 ) 3,608,644 $ 3,630,737 $ (22,093 ) Allowance for loan and lease losses (29,092 ) (27,571 ) $ 4,165,420 $ 3,581,073 The difference between the recorded investment and unpaid principal balance is primarily (1) premiums and discounts associated with acquisition date fair value adjustments on acquired loans (both PCI and non-PCI) totaling $13,573,000 and $19,514,000 at December 31, 2019 and 2018, respectively, and (2) net deferred origination and factoring fees totaling $1,392,000 and $2,579,000 at December 31, 2019 and 2018, respectively. As of December 31, 2019, most of the Company’s non-factoring business activity is with customers located within certain states. The states of Texas (27%), Colorado (23%), Illinois (13%), and Iowa (7%), make up 70% of the Company’s gross loans, excluding factored receivables. Therefore, the Company’s exposure to credit risk is affected by changes in the economies in these states. At December 31, of the Company’s gross loans, excluding factored receivables. A majority (77%) of the Company’s factored receivables, representing approximately 11% of the total loan portfolio as of December 31, 2019, are transportation receivables. At December 31, 2018 At December 31, 2019 and 2018, the Company had $66,754,000 and $58,566,000, respectively, of customer reserves associated with factored receivables which are held to settle any payment disputes or collection shortfalls, may be used to pay customers’ obligations to various third parties as directed by the customer and are periodically released to or withdrawn by customers. Customer reserves are reported as deposits in the consolidated balance sheets. Loans with carrying amounts of $1,301,851,000 and $847,523,000 at December 31, 2019 and 2018, respectively, were pledged to secure Federal Home Loan Bank borrowing capacity. During the year ended December 31, 2019, loans with carrying amounts of $46,163,000 were transferred from loans held for investment to loans held for sale at fair value concurrently with management’s change in intent and decision to sell the loans. During the year ended December 31, 2019, loans transferred to held for sale were sold resulting in proceeds of $47,832,000 and net gains on transfers and sales of loans, which were recorded as other noninterest income in the consolidated statements of income, of $1,669,000. During the year ended December 31, 2018, a related party loan with a carrying amount of $9,781,000 was transferred to loans held for sale as the Company made the decision to sell the loan. The loan was subsequently sold at its par value for no gain or loss. See Note 17 – Related Party Transactions for further information regarding the sale of the related party loan. During the year ended December 31, 2017, loans with a carrying amount of $3,914,000 . These loans were subsequently sold resulting in proceeds of $3,834,000 and a loss on sale of loans of $80,000, which was recorded as other noninterest income in the consolidated statements of income. Allowance for Loan and Lease Losses The activity in the allowance for loan and lease losses (“ALLL”) is as follows: (Dollars in thousands) Beginning Reclassification Ending Year ended December 31, 2019 Balance Provision Charge-offs Recoveries To Held For Sale Balance Commercial real estate $ 4,493 $ 1,163 $ (304 ) $ 1 $ — $ 5,353 Construction, land development, land 1,134 234 (78 ) 92 — 1,382 1-4 family residential properties 317 71 (141 ) 61 — 308 Farmland 535 400 (265 ) — — 670 Commercial 12,865 2,580 (3,326 ) 447 — 12,566 Factored receivables 7,299 2,556 (2,494 ) 296 — 7,657 Consumer 615 583 (876 ) 166 — 488 Mortgage warehouse 313 355 — — — 668 $ 27,571 $ 7,942 $ (7,484 ) $ 1,063 $ — $ 29,092 (Dollars in thousands) Beginning Reclassification Ending Year ended December 31, 2018 Balance Provision Charge-offs Recoveries To Held For Sale Balance Commercial real estate $ 3,435 $ 1,044 $ (90 ) $ 104 $ — $ 4,493 Construction, land development, land 883 293 (59 ) 17 — 1,134 1-4 family residential properties 293 23 (17 ) 18 — 317 Farmland 310 425 (200 ) — — 535 Commercial 8,150 10,052 (5,855 ) 518 — 12,865 Factored receivables 4,597 3,857 (1,224 ) 69 — 7,299 Consumer 783 457 (989 ) 364 — 615 Mortgage warehouse 297 16 — — — 313 $ 18,748 $ 16,167 $ (8,434 ) $ 1,090 $ — $ 27,571 (Dollars in thousands) Beginning Reclassification Ending Year ended December 31, 2017 Balance Provision Charge-offs Recoveries To Held For Sale Balance Commercial real estate $ 1,813 $ 1,822 $ (259 ) $ 59 $ — $ 3,435 Construction, land development, land 465 825 (582 ) 175 — 883 1-4 family residential properties 253 24 (31 ) 47 — 293 Farmland 170 140 — — — 310 Commercial 8,014 5,785 (4,875 ) 1,329 (2,103 ) 8,150 Factored receivables 4,088 2,058 (1,667 ) 118 — 4,597 Consumer 420 859 (1,004 ) 508 — 783 Mortgage warehouse 182 115 — — — 297 $ 15,405 $ 11,628 $ (8,418 ) $ 2,236 $ (2,103 ) $ 18,748 The following table presents loans individually and collectively evaluated for impairment, as well as purchased credit impaired (“PCI”) loans, and their respective ALLL allocations: (Dollars in thousands) Loan Evaluation ALLL Allocations December 31, 2019 Individually Collectively PCI Total loans Individually Collectively PCI Total ALLL Commercial real estate $ 7,455 $ 1,030,439 $ 9,067 $ 1,046,961 $ 344 $ 5,009 $ — $ 5,353 Construction, land development, land 2,138 155,985 2,446 160,569 271 1,111 — 1,382 1-4 family residential properties 1,728 177,189 508 179,425 33 275 — 308 Farmland 6,638 148,233 104 154,975 — 670 — 670 Commercial 15,618 1,326,515 550 1,342,683 1,278 11,284 4 12,566 Factored receivables 15,947 604,039 — 619,986 3,178 4,479 — 7,657 Consumer 327 21,598 — 21,925 9 479 — 488 Mortgage warehouse — 667,988 — 667,988 — 668 — 668 $ 49,851 $ 4,131,986 $ 12,675 $ 4,194,512 $ 5,113 $ 23,975 $ 4 $ 29,092 (Dollars in thousands) Loan Evaluation ALLL Allocations December 31, 2018 Individually Collectively PCI Total loans Individually Collectively PCI Total ALLL Commercial real estate $ 7,097 $ 974,280 $ 10,703 $ 992,080 $ 487 $ 4,006 $ — $ 4,493 Construction, land development, land 91 172,709 6,791 179,591 21 1,113 — 1,134 1-4 family residential properties 2,333 186,664 1,188 190,185 125 192 — 317 Farmland 7,424 162,735 381 170,540 72 463 — 535 Commercial 17,153 1,096,813 1,005 1,114,971 1,958 10,903 4 12,865 Factored receivables 6,759 611,032 — 617,791 1,968 5,331 — 7,299 Consumer 355 29,467 — 29,822 22 593 — 615 Mortgage warehouse — 313,664 — 313,664 — 313 — 313 $ 41,212 $ 3,547,364 $ 20,068 $ 3,608,644 $ 4,653 $ 22,914 $ 4 $ 27,571 The following is a summary of information pertaining to impaired loans. PCI loans that have not deteriorated subsequent to acquisition are not considered impaired and therefore do not require an ALLL and are excluded from these tables. Impaired Loans and PCI Impaired Loans Impaired Loans With a Valuation Allowance Without a Valuation Allowance (Dollars in thousands) Recorded Unpaid Related Recorded Unpaid December 31, 2019 Investment Principal Allowance Investment Principal Commercial real estate $ 878 $ 907 $ 344 $ 6,577 $ 6,643 Construction, land development, land 935 935 271 1,203 1,305 1-4 family residential properties 35 22 33 1,693 1,799 Farmland — — — 6,638 6,819 Commercial 6,032 6,053 1,278 9,586 9,751 Factored receivables 15,940 15,940 3,178 7 7 Consumer 17 16 9 310 311 Mortgage warehouse — — — — — PCI 71 55 4 — — $ 23,908 $ 23,928 $ 5,117 $ 26,014 $ 26,635 Impaired Loans and PCI Impaired Loans Impaired Loans With a Valuation Allowance Without a Valuation Allowance (Dollars in thousands) Recorded Unpaid Related Recorded Unpaid December 31, 2018 Investment Principal Allowance Investment Principal Commercial real estate $ 5,610 $ 5,614 $ 487 $ 1,487 $ 1,520 Construction, land development, land 91 91 21 — — 1-4 family residential properties 225 216 125 2,108 2,255 Farmland 914 900 72 6,510 6,979 Commercial 5,235 5,254 1,958 11,918 12,089 Factored receivables 6,759 6,759 1,968 — — Consumer 63 57 22 292 296 Mortgage warehouse — — — — — PCI 71 55 4 — — $ 18,968 $ 18,946 $ 4,657 $ 22,315 $ 23,139 The following table presents average impaired loans and interest recognized on impaired loans: Years Ended December 31, 2019 December 31, 2018 December 31, 2017 Average Interest Average Interest Average Interest (Dollars in thousands) Impaired Loans Recognized Impaired Loans Recognized Impaired Loans Recognized Commercial real estate $ 7,276 $ 117 $ 4,055 $ 86 $ 1,234 $ 33 Construction, land development, land 1,114 35 113 — 249 — 1-4 family residential properties 2,031 47 2,486 77 1,867 45 Farmland 7,031 107 5,612 197 2,567 45 Commercial 16,386 605 21,885 870 29,825 599 Factored receivables 11,353 — 5,742 — 3,951 — Consumer 341 7 369 14 229 9 Mortgage warehouse — — — — — — PCI 71 — 35 — 262 — $ 45,603 $ 918 $ 40,297 $ 1,244 $ 40,184 $ 731 Past Due and Nonaccrual Loans The following is a summary of contractually past due and nonaccrual loans: Past Due Past Due 90 (Dollars in thousands) 30-89 Days Days or More December 31, 2019 Still Accruing Still Accruing Nonaccrual Total Commercial real estate $ 1,356 $ — $ 7,455 $ 8,811 Construction, land development, land — — 2,138 2,138 1-4 family residential properties 1,783 — 1,647 3,430 Farmland 52 — 6,390 6,442 Commercial 5,478 — 15,565 21,043 Factored receivables 36,300 4,226 — 40,526 Consumer 881 — 327 1,208 Mortgage warehouse — — — — PCI 5,739 — 2,532 8,271 $ 51,589 $ 4,226 $ 36,054 $ 91,869 Past Due Past Due 90 (Dollars in thousands) 30-89 Days Days or More December 31, 2018 Still Accruing Still Accruing Nonaccrual Total Commercial real estate $ 2,625 $ 397 $ 7,096 $ 10,118 Construction, land development, land 1,003 — 91 1,094 1-4 family residential properties 2,103 — 1,588 3,691 Farmland 308 — 4,059 4,367 Commercial 3,728 999 14,071 18,798 Factored receivables 41,135 2,152 — 43,287 Consumer 1,005 11 355 1,371 Mortgage warehouse — — — — PCI 788 — 3,525 4,313 $ 52,695 $ 3,559 $ 30,785 $ 87,039 The following table presents information regarding nonperforming loans: (Dollars in thousands) December 31, 2019 December 31, 2018 Nonaccrual loans (1) $ 36,054 $ 30,785 Factored receivables greater than 90 days past due 4,226 2,152 Troubled debt restructurings accruing interest 333 3,117 $ 40,613 $ 36,054 (1) Credit Quality Information The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt, including: current collateral and financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans as to credit risk on a regular basis. Large groups of smaller balance homogeneous loans, such as consumer loans, are analyzed primarily based on payment status. The Company uses the following definitions for risk ratings: Pass – Pass rated loans have low to average risk and are not otherwise classified. Classified – Classified loans are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the repayment of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Certain classified loans have the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable. PCI – At acquisition, PCI loans had the characteristics of classified loans and it was probable, at acquisition, that all contractually required principal and interest payments would not be collected. The Company evaluates these loans on a projected cash flow basis with this evaluation performed quarterly. As of December 31, 2019 and 2018, based on the most recent analysis performed, the risk category of loans is as follows: (Dollars in thousands) December 31, 2019 Pass Classified PCI Total Commercial real estate $ 1,030,358 $ 7,536 $ 9,067 $ 1,046,961 Construction, land development, land 155,985 2,138 2,446 160,569 1-4 family residential 177,177 1,740 508 179,425 Farmland 144,777 10,094 104 154,975 Commercial 1,313,042 29,091 550 1,342,683 Factored receivables 604,774 15,212 — 619,986 Consumer 21,594 331 — 21,925 Mortgage warehouse 667,988 — — 667,988 $ 4,115,695 $ 66,142 $ 12,675 $ 4,194,512 (Dollars in thousands) December 31, 2018 Pass Classified PCI Total Commercial real estate $ 977,548 $ 3,829 $ 10,703 $ 992,080 Construction, land development, land 172,709 91 6,791 179,591 1-4 family residential 187,251 1,746 1,188 190,185 Farmland 161,565 8,594 381 170,540 Commercial 1,093,759 20,207 1,005 1,114,971 Factored receivables 612,577 5,214 — 617,791 Consumer 29,461 361 — 29,822 Mortgage warehouse 313,664 — — 313,664 $ 3,548,534 $ 40,042 $ 20,068 $ 3,608,644 Troubled Debt Restructurings The Company had a recorded investment in troubled debt restructurings of $5,221,000 and $6,847,000 as of December 31, 2019 and 2018, respectively. The Company had allocated specific allowances for these loans of $718,000 and $286,000 at December 31, 2019 and 2018, respectively, and had not committed to lend additional amounts. The following table presents the pre- and post-modification recorded investment of loans modified as troubled debt restructurings during the years ended December 31, 2019, 2018, and 2017. The Company did not grant principal reductions on any restructured loans. Extended Extended Maturity and Amortization Payment AB Note Reduced Total Number of (Dollars in thousands) Period Deferrals Restructure Interest Rate Modifications Loans December 31, 2019 Commercial real estate $ — $ — $ 4,597 $ — $ 4,597 1 1-4 family residential properties — 38 — — 38 2 Farmland — — — — — — Commercial 1,762 115 — 593 2,470 11 $ 1,762 $ 153 $ 4,597 $ 593 $ 7,105 14 December 31, 2018 Commercial real estate $ — $ 589 $ — $ — $ 589 2 1-4 family residential properties 103 — — — 103 2 Farmland 263 — — — 263 1 Commercial 875 — — — 875 10 $ 1,241 $ 589 $ — $ — $ 1,830 15 December 31, 2017 Commercial $ 8,831 $ — $ — $ — $ 8,831 8 During the year ended December 31, 2019 Residential Real Estate Loans In Process of Foreclosure At December 31, 2019 Purchased Credit Impaired Loans The Company has loans that were acquired for which there was, at acquisition, evidence of deterioration of credit quality since origination and for which it was probable, at acquisition, that all contractually required payments would not be collected. The outstanding contractually required principal and interest and the carrying amount of these loans included in the balance sheet amounts of loans receivable are as follows: December 31, December 31, (Dollars in thousands) 2019 2018 Contractually required principal and interest: Real estate loans $ 14,015 $ 22,644 Commercial loans 677 4,078 Outstanding contractually required principal and interest $ 14,692 $ 26,722 Gross carrying amount included in loans receivable $ 12,675 $ 20,068 The changes in accretable yield in regard to loans transferred at acquisition for which it was probable that all contractually required payments would not be collected are as follows: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Accretable yield, beginning balance $ 5,711 $ 2,793 $ 4,261 Additions — 2,997 371 Accretion (3,835 ) (1,430 ) (3,442 ) Reclassification from nonaccretable to accretable yield 257 1,351 2,108 Disposals (814 ) — (505 ) Accretable yield, ending balance $ 1,319 $ 5,711 $ 2,793 |
Other Real Estate Owned
Other Real Estate Owned | 12 Months Ended |
Dec. 31, 2019 | |
Other Real Estate [Abstract] | |
Other Real Estate Owned | NOTE 5 — OTHER REAL ESTATE OWNED Other real estate owned activity was as follows: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Beginning balance $ 2,060 $ 9,191 $ 6,077 Acquired through business acquisition — 213 2,282 Loans transferred to OREO 3,360 514 6,585 Premises transferred to OREO — 1,139 276 Net OREO gains (losses) and valuation adjustments 351 (514 ) (850 ) Sales of OREO (2,762 ) (8,483 ) (5,179 ) Ending balance $ 3,009 $ 2,060 $ 9,191 |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property Plant And Equipment [Abstract] | |
Premises and Equipment | NOTE 6 — PREMISES AND EQUIPMENT Premises and Equipment Premises and equipment consisted of the following: December 31, December 31, (Dollars in thousands) 2019 2018 Land $ 13,139 $ 13,119 Buildings 50,525 49,132 Leasehold improvements 21,842 13,191 Automobiles and aircraft 6,060 5,821 Furniture, fixtures and equipment 25,989 18,815 117,555 100,078 Accumulated depreciation (20,960 ) (16,686 ) $ 96,595 $ 83,392 Depreciation expense was $8,135,000, $5,720,000 and $4,001,000 for the years ended December 31, 2019, 2018 and 2017, respectively. Leases The Company leases certain premises and equipment under operating leases. At December 31, 2019, December 31, 2019, Lease costs were as follows: Year Ended December 31, (Dollars in thousands) 2019 Operating lease cost $ 4,377 Short-term lease cost — Variable lease cost 333 Total lease cost $ 4,710 Rent expense for the years ended December 31, 2018 and 2017, prior to the adoption of ASU 2016-02, was $3,229,000 and $2,261,000, respectively. There were no sale and leaseback transactions, leveraged leases, or lease transactions with related parties during the year ended December 31, 2019 December 31, 2019 A maturity analysis of operating lease liabilities and reconciliation of the undiscounted cash flows to the total operating lease liability is as follows: (Dollars in thousands) 2019 Lease payments due: Within one year $ 4,036 After one but within two years 4,008 After two but within three years 3,697 After three but within four years 3,160 After four but within five years 2,918 After five years 5,744 Total undiscounted cash flows 23,563 Discount on cash flows (2,521 ) Total lease liability $ 21,042 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | NOTE 7 — GOODWILL AND INTANGIBLE ASSETS Goodwill and intangible assets consist of the following: December 31, December 31, (Dollars in thousands) 2019 2018 Goodwill $ 158,743 $ 158,743 December 31, 2019 December 31, 2018 Gross Carrying Accumulated Net Carrying Gross Carrying Accumulated Net Carrying (Dollars in thousands) Amount Amortization Amount Amount Amortization Amount Core deposit intangibles $ 43,578 $ (22,258 ) $ 21,320 $ 43,578 $ (16,266 ) $ 27,312 Other intangible assets 15,700 (5,477 ) 10,223 15,700 (2,338 ) 13,362 $ 59,278 $ (27,735 ) $ 31,543 $ 59,278 $ (18,604 ) $ 40,674 The changes in goodwill and intangible assets by operating segment during the year are as follows: (Dollars in thousands) December 31, 2019 Banking Factoring Corporate Total Beginning balance $ 135,477 $ 63,940 $ — $ 199,417 Amortization of intangibles (6,205 ) (2,926 ) — (9,131 ) Ending balance $ 129,272 $ 61,014 $ — $ 190,286 (Dollars in thousands) December 31, 2018 Banking Factoring Corporate Total Beginning balance $ 54,910 $ 8,868 $ — $ 63,778 Acquired goodwill 72,075 42,975 — 115,050 Acquired intangibles 14,069 13,933 — 28,002 Amortization of intangibles (5,144 ) (1,836 ) — (6,980 ) Divestiture of intangibles (433 ) — — (433 ) Ending balance $ 135,477 $ 63,940 $ — $ 199,417 (Dollars in thousands) December 31, 2017 Banking Factoring Corporate Total Beginning balance $ 36,139 $ 8,871 $ 1,521 $ 46,531 Acquired goodwill 16,340 — — 16,340 Acquired intangibles 9,478 — — 9,478 Amortization of intangibles (5,016 ) (3 ) (182 ) (5,201 ) Divestiture of intangibles — — (1,339 ) (1,339 ) Reclass of goodwill to assets held for sale (1,024 ) — — (1,024 ) Reclass of intangibles to assets held for sale (1,007 ) — — (1,007 ) Ending balance $ 54,910 $ 8,868 $ — $ 63,778 No goodwill or intangibles have been assigned to the Corporate operating segment. Impairment exists when a reporting unit’s carrying value of goodwill exceeds its fair value. The Company assesses goodwill for impairment at its reporting units that contain goodwill, Banking and Factoring. At the measurement date, these reporting units had positive equity and the Company elected to perform qualitative assessments to determine if it was more likely than not that the fair value of the reporting units exceeded their carrying values, including goodwill. The qualitative assessment indicated that it was more likely than not that the fair value of the reporting unit exceeded its carrying value, resulting in no impairment. After performing an impairment test comparing the carrying value of intangible assets to the fair value of intangible assets during the years ended December 31, 2019 and 2018, it was determined that the fair value of the intangible assets exceeded their carrying amount and thus, no intangible asset impairment was recorded. During the year ended December 31, 2017, it was determined that the carrying amount of core deposit intangibles related to public funds assigned to the Banking segment exceeded the fair value of these core deposit intangibles, resulting in an impairment charge of $1,276,000 for the year ended December 31, 2017. The impairment charge was recorded as amortization expense in the consolidated statements of income. The impairment of the core deposit intangibles was a result of the decline in public funds deposit balances caused by the Company’s intentional decision to reduce its reliance on the use of public funds. Generally, material a cquired intangible assets are being amortized utilizing an accelerated method over their estimated useful lives, which range from 8 to 10 years. The future amortization schedule for the Company’s intangible assets is as follows: (Dollars in thousands) 2020 $ 7,941 2021 6,670 2022 5,422 2023 4,236 2024 3,167 Thereafter 4,107 $ 31,543 |
Equity Method Investment
Equity Method Investment | 12 Months Ended |
Dec. 31, 2019 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Equity Method Investment | NOTE 8 — EQUITY METHOD INVESTMENT On October 17, 2019, the Company made a minority equity investment of $8,000,000 in Warehouse Solutions Inc. (“WSI”), purchasing 8% of the common stock of WSI and receiving warrants to purchase an additional 10% of the common stock of WSI upon exercise of the warrants at a later date. WSI provides technology solutions to help reduce supply chain costs for a global client base across multiple industries. At December 31, 2019, the Company’s investment in WSI totaled $8,037,000, with $4,813,000 allocated to the purchased common stock and $3,224,000 allocated to the purchased warrants. The entire investment was recorded in other assets within the Company’s consolidated balance sheets. Although the Company holds less than 20% of the voting stock of WSI, the investment in common stock is accounted for using the equity method as the Company’s representation on WSI’s board of directors, which is disproportionately larger in size than the common stock investment held, demonstrates that it has significant influence over the investee. The difference between the amount at which the investment in common stock is carried and the amount of underlying equity in net assets does not have a material impact on the Company’s equity method earnings. The Company has made an accounting policy election to record its equity method earnings from the investment in WSI common stock on a one quarter lag. As the Company’s initial investment was made during the quarter ended December 31, 2019, the Company did not recognize any equity method earnings from the investment during the year ended December 31, 2019. |
Variable Interest Entities
Variable Interest Entities | 12 Months Ended |
Dec. 31, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Variable Interest Entities | NOTE 9 — VARIABLE INTEREST ENTITIES Collateralized Loan Obligation Funds - Closed The Company, through its subsidiary Triumph Capital Advisors, acted as the asset manager or provided certain middle and back office staffing and services to the asset manager of various Collateralized Loan Obligation (“CLO”) funds. TCA earned asset management fees in accordance with the terms of its asset management or staffing and services agreements associated with the CLO funds. The Company holds investments in the subordinated notes of the following closed CLO funds: Offering Offering (Dollars in thousands) Date Amount Trinitas CLO IV, LTD (Trinitas IV) June 2, 2016 $ 406,650 Trinitas CLO V, LTD (Trinitas V) September 22, 2016 $ 409,000 Trinitas CLO VI, LTD (Trinitas VI) June 20, 2017 $ 717,100 The carrying amounts of the Company’s investments in the subordinated notes of the CLO funds, which represent the Company’s maximum exposure to loss as a result of its involvement with the CLO funds, totaled $8,417,000 and $8,487,000 at December 31, 2019 and 2018, respectively, and are classified as held to maturity securities within the Company’s consolidated balance sheets. The Company performed a consolidation analysis to confirm whether the Company was required to consolidate the assets, liabilities, equity or operations of the closed CLO funds in its financial statements. The Company concluded that the closed CLO funds are variable interest entities and that the Company holds variable interests in the entities in the form of its investments in the subordinated notes of the entities. However, the Company also concluded that the Company does not have the power to direct the activities that most significantly impact the entities’ economic performance. As a result, the Company is not the primary beneficiary and therefore is not required to consolidate the assets, liabilities, equity or operations of the CLO funds in the Company’s financial statements. Collateralized Loan Obligation Funds – Warehouse Phase From time to time, the Company may invest in the subordinated debt of entities formed to be the issuers of CLO offerings during their warehouse phases. The Company’s investments in these CLO funds are repaid when the CLO funds’ warehouse phases are closed and the CLO offerings are issued. The Company’s maximum exposure to loss as a result of its involvement with these CLO funds is limited to the carrying amount of its investments in the subordinated debt of the CLO funds. The Company did not hold any investments in the subordinated debt of CLO funds during their warehouse phase at December 31, 2019 and 2018, or during the years ended December 31, 2019 and 2018. Income from the Company’s investments in CLO warehouse entities totaled $2,226,000 during the year ended December 31, 2017 and is included in other noninterest income within the Company’s consolidated statements of income. The Company performed a consolidation analysis of CLO funds during their warehouse phases and concluded that the CLO funds were variable interest entities and that the Company held a variable interest in the entities that could potentially be significant to the entities in the form of its investments in the subordinated notes of the entities. However, the Company also concluded that the Company did not have the power to direct the activities that most significantly impact the entities’ economic performance. As a result, the Company was not the primary beneficiary and therefore was not required to consolidate the assets, liabilities, equity, or operations of the entities in the Company’s financial statements . |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2019 | |
Deposits [Abstract] | |
Deposits | NOTE 10 — Deposits are summarized as follows: (Dollars in thousands) December 31, 2019 December 31, 2018 Noninterest bearing demand $ 809,696 $ 724,527 Interest bearing demand 580,323 615,704 Individual retirement accounts 104,472 115,583 Money market 497,105 443,663 Savings 363,270 369,389 Certificates of deposit 1,084,425 835,127 Brokered deposits 350,615 346,356 Total deposits $ 3,789,906 $ 3,450,349 At December 31, 2019, scheduled maturities of time deposits, including certificates of deposits, individual retirement accounts and brokered deposits, are as follows: (Dollars in thousands) December 31, 2019 Within one year $ 1,245,273 After one but within two years 262,385 After two but within three years 19,713 After three but within four years 8,187 After four but within five years 3,954 Total $ 1,539,512 Time deposits, including individual retirement accounts, certificates of deposit, and brokered deposits, with individual balances of $250,000 and greater totaled $252,529,000 and $187,123,000 at December 31, 2019 and 2018, respectively. |
Borrowings and Borrowing Capaci
Borrowings and Borrowing Capacity | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Borrowings And Borrowing Capacity | NOTE 11 — BORROWINGS AND BORROWING CAPACITY Customer Repurchase Agreements Customer repurchase agreements are overnight customer sweep arrangements. Information concerning customer repurchase agreements is summarized as follows: December 31, December 31, (Dollars in thousands) 2019 2018 Amount outstanding at end of the year $ 2,033 $ 4,485 Weighted average interest rate at end of the year 0.03 % 0.01 % Average daily balance during the year $ 7,823 $ 8,648 Weighted average interest rate during the year 0.02 % 0.02 % Maximum month-end balance during the year $ 14,463 $ 13,844 Customer repurchase agreements are secured by pledged securities with carrying amounts as follows: December 31, December 31, (Dollars in thousands) 2019 2018 U.S. Government agency obligations $ 2,997 $ 5,916 FHLB Advances FHLB advances are collateralized by assets, including a blanket pledge of certain loans. FHLB advances and weighted average interest rates at end of period by contractual maturity are summarized as follows: Fixed Rate Variable Rate (Dollars in thousands) Balance Outstanding Weighted Average Interest Rate Balance Outstanding Weighted Average Interest Rate 2020 $ 400,000 1.56 % $ — — 2027 — — 30,000 1.84 % $ 400,000 1.56 % $ 30,000 1.84 % Information concerning FHLB advances is summarized as follows: December 31, December 31, (Dollars in thousands) 2019 2018 Amount outstanding at end of the year $ 430,000 $ 330,000 Weighted average interest rate at end of the year 1.58 % 2.52 % Average daily balance during the year $ 369,548 $ 345,388 Weighted average interest rate during the year 2.32 % 1.96 % Maximum month-end balance during the year $ 530,000 $ 455,000 The Company’s unused borrowing capacity with the FHLB is as follows: December 31, December 31, (Dollars in thousands) 2019 2018 Borrowing capacity $ 1,300,985 $ 846,427 Borrowings outstanding 430,000 330,000 Unused borrowing capacity $ 870,985 $ 516,427 Federal Funds Purchased The Company had no federal funds purchased at December 31, 2019 or 2018. However, as of December 31, 2019, the Company had unsecured federal funds lines of credit with seven unaffiliated banks totaling $137,500,000. Subordinated Notes On September 30, 2016, the Company issued $50,000,000 of Fixed-to-Floating Rate Subordinated Notes due 2026 (the “2016 Notes”). The 2016 Notes initially bear interest at 6.50% per annum, payable semi-annually in arrears, to, but excluding, September 30, 2021, and, thereafter and to, but excluding, the maturity date or earlier redemption, interest shall be payable quarterly in arrears, at an annual floating rate equal to three-month LIBOR as determined for the applicable quarterly period, plus 5.345%. The Company may, at its option, beginning on September 30, 2021 and on any scheduled interest payment date thereafter, redeem the 2016 Notes, in whole or in part, at a redemption price equal to the outstanding principal amount of the 2016 Notes to be redeemed plus accrued and unpaid interest to, but excluding, the date of redemption. The 2016 Notes are included on the consolidated balance sheets as liabilities at their carrying values of $49,037,000 and $48,929,000 at December 31, 2019 and 2018 On November 27, 2019, the Company issued $39,500,000 of Fixed-to-Floating Rate Subordinated Notes due 2029 (the “2019 Notes”). The 2019 Notes initially bear interest at 4.875% per annum, payable semi-annually in arrears, to, but excluding, November 27, 2024, and, thereafter and to, but excluding, the maturity date or earlier redemption, interest shall be payable quarterly in arrears, at an annual floating rate equal to a benchmark rate, initially three-month LIBOR, as determined for the applicable quarterly period, plus 3.330%. The Company may, at its option, beginning on November 27, 2024 and on any scheduled interest payment date thereafter, redeem the 2019 Notes, in whole or in part, at a redemption price equal to the outstanding principal amount of the 2019 Notes to be redeemed plus accrued and unpaid interest to, but excluding, the date of redemption. The 2019 Notes are included on the consolidated balance sheets as liabilities at their carrying values of $38,290,000 at December 31, 2019; however, for regulatory purposes, the carrying value of these obligations were eligible for inclusion in Tier 2 regulatory capital. Issuance costs related to the Notes totaled $1,218,000, including an underwriting discount of 1.5%, or $593,000, and have been netted against the subordinated notes liability on the balance sheet. The underwriting discount and other debt issuance costs are being amortized using the effective interest method through maturity and recognized as a component of interest expense. The 2016 Notes and the 2019 Notes are subordinated in right of payment to the Company’s existing and future senior indebtedness and are structurally subordinated to the Company’s subsidiaries’ existing and future indebtedness and other obligations. Junior Subordinated Debentures The following provides a summary of the Company’s junior subordinated debentures: Variable Interest Rate At (Dollars in thousands) Face Value Carrying Value Maturity Date Interest Rate December 31, 2019 National Bancshares Capital Trust II $ 15,464 $ 13,094 September 2033 LIBOR + 3.00% 4.89% National Bancshares Capital Trust III 17,526 12,771 July 2036 LIBOR + 1.64% 3.63% ColoEast Capital Trust I 5,155 3,543 September 2035 LIBOR + 1.60% 3.56% ColoEast Capital Trust II 6,700 4,627 March 2037 LIBOR + 1.79% 3.75% Valley Bancorp Statutory Trust I 3,093 2,867 September 2032 LIBOR + 3.40% 5.35% Valley Bancorp Statutory Trust II 3,093 2,664 July 2034 LIBOR + 2.75% 4.65% $ 51,031 $ 39,566 These debentures are unsecured obligations due to trusts that are unconsolidated subsidiaries. The debentures were issued in conjunction with the trusts’ issuances of obligated capital securities. The trusts used the proceeds from the issuances of their capital securities to buy floating rate junior subordinated deferrable interest debentures that bear the same interest rate and terms as the capital securities. These debentures are the trusts’ only assets and the interest payments from the debentures finance the distributions paid on the capital securities. These debentures rank junior and are subordinate in the right of payment to all other debt of the Company. As part of the purchase accounting adjustments made with the National Bancshares, Inc. acquisition on October 15, 2013, the ColoEast acquisition on August 1, 2016, and the Valley acquisition on December 9, 2017, the Company adjusted the carrying value of the junior subordinated debentures to fair value as of the respective acquisition dates. The discount on the debentures will continue to be amortized through maturity and recognized as a component of interest expense. The debentures may be called by the Company at par plus any accrued but unpaid interest. Interest on the debentures is calculated quarterly. The distribution rate payable on the capital securities is cumulative and payable quarterly in arrears. The Company has the right to defer payments on interest on the debentures at any time by extending the interest payment period for a period not exceeding 20 consecutive quarters with respect to each deferral period, provided that no extension period may extend beyond the redemption or maturity date of the debentures. The debentures are included on the consolidated balance sheet as liabilities; however, for regulatory purposes, the carrying value of these obligations are eligible for inclusion in Tier I regulatory capital, subject to certain limitations. All of the carrying value of $39,566,000 and $39,083,000 was allowed in the calculation of Tier I regulatory capital as of December 31, 2019 and 2018 |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2019 | |
Compensation And Retirement Disclosure [Abstract] | |
Employee Benefit Plans | NOTE 12 — EMPLOYEE BENEFIT PLANS 401(k) Plan The Company sponsors a 401(k) benefit plan that allows employee contributions up to the maximum tax-deferred limitations established by the Internal Revenue Code, which are matched by the Company equal to 100% of the first 4% of the compensation contributed. Expense related to the 401(k) matching contributions for the years ended December 31, 2019, 2018 and 2017 was $2,306,000, $1,838,000 and $1,468,000, respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 13 — INCOME TAXES Income tax expense consisted of the following: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Income tax expense: Current $ 12,971 $ 14,091 $ 14,714 Deferred 3,908 708 10,174 Change in valuation allowance for deferred tax asset 23 (7 ) (10 ) Income tax expense $ 16,902 $ 14,792 $ 24,878 Effective tax rates differ from federal statutory rates applied to income before income taxes due to the following: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Tax provision computed at federal statutory rate $ 15,844 $ 13,965 $ 21,384 Effect of: State taxes, net 1,704 1,716 1,112 Tax reform impact (1) — — 2,984 Bank-owned life insurance (114 ) (141 ) (246 ) Tax exempt interest (442 ) (436 ) (545 ) Change in valuation allowance for deferred tax asset 23 (7 ) (10 ) Other (113 ) (305 ) 199 Income tax expense $ 16,902 $ 14,792 $ 24,878 (1) On December 22, 2017, the United States enacted tax reform legislation commonly known as the Tax Cuts and Jobs Act (the “Tax Act”), resulting in significant modifications to existing law. As a result of the changes under the Tax Act, the Company recorded incremental income tax expense of $2,984,000 during the year ended December 31, 2017, which consisted primarily of the remeasurement of deferred tax assets and liabilities at the new federal statutory rate of 21%. Prior to the enactment of the Tax Act, deferred tax assets and liabilities were measured at the previous federal statutory rate of 35%. Deferred income taxes reflect the net tax effects of temporary differences between the recorded amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets and liabilities are as follows: (Dollars in thousands) 2019 2018 Deferred tax assets Federal net operating loss carryforwards $ 5,034 $ 6,111 State net operating loss carryforwards 552 541 Acquired loan basis 450 587 Other real estate owned 44 134 AMT credit carryforward 714 2,855 Allowance for loan losses 6,828 6,382 Unrealized loss on securities available for sale — 356 Accrued liabilities 1,744 1,714 Lease liability 4,994 — Other 1,925 1,537 Total deferred tax assets 22,285 20,217 Deferred tax liabilities Goodwill and intangible assets 2,143 1,661 Fair value adjustment on junior subordinated debentures 2,564 2,468 Premises and equipment 6,142 4,804 Installment gain on sale of subsidiary 1,816 2,292 Lease right-of-use asset 4,815 — Unrealized gain on securities available for sale 339 — Other 376 299 Total deferred tax liabilities 18,195 11,524 Net deferred tax asset before valuation allowance 4,090 8,693 Valuation allowance (278 ) (255 ) Net deferred tax asset $ 3,812 $ 8,438 The Company's federal and state net operating loss carryforwards as of December 31, 2019 2019 The Company's federal and state net operating loss carryforwards as of December 31, 2018 2018 An Internal Revenue Code Section 382 (“Section 382”) ownership change was triggered as part of previous acquisitions. A significant portion of the deferred tax asset relating to the Company's net operating loss carryforwards is subject to the annual limitation rules under Section 382. The utilization of tax carryforward attributes acquired from the EJ Financial Corp. (2010) acquisition is subject to an annual limitation of $341,000. The utilization of tax carryforward attributes acquired from the National Bancshares, Inc. (2013) acquisition is subject to an annual limitation of $2,040,000. Any remaining tax attribute carryforwards generated prior to the Section 382 ownership change in 2013 are subject to an annual limitation of $3,696,000. The utilization of deferred tax assets related to the net operating loss and tax credit carryforwards acquired from the 2016 ColoEast stock acquisition are subject to an annual limitation of $1,906,000 under Section 382 rules. At December 31, 2019 2018 The Company is subject to U.S. federal income tax as well as income tax in various states. The Company is generally not subject to examination by taxing authorities for years prior to 2016. |
Legal Contingencies
Legal Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Legal Contingencies | NOTE 14 — Various legal claims arise from time to time in the normal course of business which, in the opinion of management, will have no material effect on the Company’s consolidated financial statements. The Company does not anticipate any material losses as a result of commitments and contingent liabilities. |
Off-Balance Sheet Loan Commitme
Off-Balance Sheet Loan Commitments | 12 Months Ended |
Dec. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Off-Balance Sheet Loan Commitments | NOTE 15 — From time to time, the Company is a 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. Those instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized in the balance sheet. The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit and standby 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 financial instruments. The contractual amounts of financial instruments with off-balance sheet risk were as follows: December 31, 2019 December 31, 2018 (Dollars in thousands) Fixed Rate Variable Rate Total Fixed Rate Variable Rate Total Unused lines of credit $ 49,057 $ 444,028 $ 493,085 $ 69,053 $ 433,667 $ 502,720 Standby letters of credit $ 3,017 $ 3,781 $ 6,798 $ 2,285 $ 3,931 $ 6,216 Commitments to purchase loans $ — $ 22,004 $ 22,004 $ — $ — $ — Mortgage warehouse commitments $ — $ 340,502 $ 340,502 $ — $ 266,458 $ 266,458 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 are expected to expire without being fully drawn upon, the total commitment amounts disclosed above do not necessarily represent future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if considered necessary by the Company, upon extension of credit, is based on management’s credit evaluation of the customer. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. In the event of nonperformance by the customer, the Company has rights to the underlying collateral, which can include commercial real estate, physical plant and property, inventory, receivables, cash and marketable securities. The credit risk to the Company in issuing letters of credit is essentially the same as that involved in extending loan facilities to its customers. Commitments to purchase loans represent loans purchased by the Company that have not yet settled. Mortgage warehouse commitments are unconditionally cancellable and represent the unused capacity on mortgage warehouse 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. The Company records an allowance for credit losses on off balance sheet credit exposures through a charge to other noninterest expense on the Company’s consolidated statements of income. At December 31, 2019 and 2018, the allowance for credit losses on off balance sheet credit exposures totaled $638,000 and $538,000, respectively, and was included in other liabilities on the Company’s consolidated balance sheets. In addition to the commitments above, the Company had overdraft protection available in the amounts of $2,639,000 and $3,087,000 at December 31, 2019 and 2018, respectively. |
Fair Value Disclosures
Fair Value Disclosures | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures | NOTE 16 — Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values: Level 1 – Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2 – Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 3 – Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. Assets and liabilities measured at fair value on a recurring basis are summarized in the table below. (Dollars in thousands) Fair Value Measurements Using Total December 31, 2019 Level 1 Level 2 Level 3 Fair Value Assets measured at fair value on a recurring basis Securities available for sale U.S. Government agency obligations $ — $ 39,760 $ — $ 39,760 Mortgage-backed securities, residential — 38,016 — 38,016 Asset-backed securities — 7,959 — 7,959 State and municipal — 32,065 — 32,065 CLO Securities — 75,273 — 75,273 Corporate bonds — 51,583 — 51,583 SBA pooled securities — 4,164 — 4,164 $ — $ 248,820 $ — $ 248,820 Equity securities Mutual fund $ 5,437 $ — $ — $ 5,437 Loans held for sale $ — $ 2,735 $ — $ 2,735 Liabilities measured at fair value on a recurring basis ICC Contingent consideration $ — $ — $ 21,622 $ 21,622 (Dollars in thousands) Fair Value Measurements Using Total December 31, 2018 Level 1 Level 2 Level 3 Fair Value Assets measured at fair value on a recurring basis Securities available for sale U.S. Government agency obligations $ — $ 92,648 $ — $ 92,648 U.S. Treasury notes — 1,932 — 1,932 Mortgage-backed securities, residential — 39,736 — 39,736 Asset-backed securities — 10,145 — 10,145 State and municipal — 118,451 — 118,451 Corporate bonds — 68,787 — 68,787 SBA pooled securities — 4,724 — 4,724 $ — $ 336,423 $ — $ 336,423 Equity securities Mutual fund $ 5,044 $ — $ — $ 5,044 Loans held for sale $ — $ 2,106 $ — $ 2,106 Liabilities measured at fair value on a recurring basis ICC Contingent consideration $ — $ — $ 20,745 $ 20,745 The Company used the following methods and assumptions to estimate fair value of financial instruments that are measured at fair value on a recurring basis: Securities available for sale Equity securities Loans held for sale – The fair value of loans held for sale is determined using commitments on hand from investors or prevailing market prices and are classified in Level 2 of the valuation hierarchy. ICC contingent consideration based on a proprietary index designed to approximate the rise and fall of transportation invoice prices subsequent to acquisition and is correlated to monthly movements in average invoice prices historically experienced by ICC. The index is calculated by a third party data analytics firm and is correlated to monthly movements in average invoice prices historically experienced by ICC. At the end of a 30 month earnout period after closing, a final average index price will be calculated and the contingent consideration will be settled in cash based on the final average index price, with a payout ranging from $0 to $22,000,000. The fair value of the contingent consideration is calculated each reporting period, and changes in the fair value of the contingent consideration are recorded in noninterest income in the consolidated statements of income. The fair value is classified in Level 3 of the valuation hierarchy. At , the fair value calculation of the contingent consideration resulted in an estimated payout of $22,000,000, and discount rates of 1.7% and 2.9%, respectively, were applied to calculate the present value of the contingent consideration (Dollars in thousands) 2019 2018 Beginning balance $ 20,745 $ — Contingent consideration recognized in business combination — 20,000 Change in fair value of contingent consideration recognized in earnings 877 745 Consideration settlement payments — — Ending balance $ 21,622 $ 20,745 There were no transfers between levels for the years ended December 31, 2019 and 2018. Assets measured at fair value on a non-recurring basis are summarized in the table below. There were no liabilities measured at fair value on a non-recurring basis at December 31, 2019 and 2018. (Dollars in thousands) Fair Value Measurements Using Total December 31, 2019 Level 1 Level 2 Level 3 Fair Value Impaired loans Commercial real estate $ — $ — $ 534 $ 534 Construction, land development, land — — 664 664 1-4 family residential properties — — 2 2 Commercial — — 4,754 4,754 Factored receivables — — 12,762 12,762 Consumer — — 8 8 PCI — — 67 67 Other real estate owned (1) Commercial — — 388 388 1-4 family residential properties — — 89 89 $ — $ — $ 19,268 $ 19,268 (Dollars in thousands) Fair Value Measurements Using Total December 31, 2018 Level 1 Level 2 Level 3 Fair Value Impaired loans Commercial real estate $ — $ — $ 5,123 $ 5,123 Construction, land development, land — — 70 70 1-4 family residential properties — — 100 100 Farmland — — 842 842 Commercial — — 3,277 3,277 Factored receivables — — 4,791 4,791 Consumer — — 41 41 PCI — — 67 67 Other real estate owned (1) Commercial — — 1,095 1,095 $ — $ — $ 15,406 $ 15,406 (1) As of December 31, 2019 and 2018, the only Level 3 assets with material unobservable inputs are associated with impaired loans and OREO. Impaired Loans with Specific Allocation of ALLL A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due pursuant to the contractual terms of the loan agreement. Impairment is measured by estimating the fair value of the loan based on the present value of expected cash flows, the market price of the loan, or the underlying fair value of the loan’s collateral. For real estate loans, fair value of the impaired loan’s collateral is determined by third party appraisals, which are then adjusted for the estimated selling and closing costs related to liquidation of the collateral. For this asset class, the actual valuation methods (income, sales comparable, or cost) vary based on the status of the project or property. For example, land is generally based on the sales comparable method while construction is based on the income and/or sales comparable methods. The unobservable inputs may vary depending on the individual assets with no one of the three methods being the predominant approach. The Company reviews the third party appraisal for appropriateness and adjusts the value downward to consider selling and closing costs, which typically range from 5% to 8% of the appraised value. For non-real estate loans, fair value of the impaired loan’s collateral may be determined using an appraisal, net book value per the borrower’s financial statements, or aging reports, adjusted or discounted based on management’s historical knowledge, changes in market conditions from the time of the valuation, and management’s expertise and knowledge of the client and client’s business. OREO OREO is primarily comprised of real estate acquired in partial or full satisfaction of loans. OREO is recorded at its estimated fair value less estimated selling and closing costs at the date of transfer, with any excess of the related loan balance over the fair value less expected selling costs charged to the ALLL. Subsequent changes in fair value are reported as adjustments to the carrying amount and are recorded against earnings. The Company outsources the valuation of OREO with material balances to third party appraisers. For this asset class, the actual valuation methods (income, sales comparable, or cost) vary based on the status of the project or property. For example, land is generally based on the sales comparable method while construction is based on the income and/or sales comparable methods. The unobservable inputs may vary depending on the individual assets with no one of the three methods being the predominant approach. The Company reviews the third party appraisal for appropriateness and adjusts the value downward to consider selling and closing costs, which typically range from 5% to 8% of the appraised value . The estimated fair values of the Company’s financial instruments not measured at fair value on a recurring or non-recurring basis were as follows: December 31, 2019 Carrying Fair Value Measurements Using Total (Dollars in thousands) Amount Level 1 Level 2 Level 3 Fair Value Financial assets: Cash and cash equivalents $ 197,880 $ 197,880 $ — $ — $ 197,880 Securities - held to maturity 8,417 — — 6,907 6,907 Loans not previously presented, gross 4,170,604 83,454 — 4,086,597 4,170,051 FHLB and other restricted stock 19,860 N/A N/A N/A N/A Accrued interest receivable 20,322 20,322 — — 20,322 Financial liabilities: Deposits 3,789,906 — 3,793,603 — 3,793,603 Customer repurchase agreements 2,033 — 2,033 — 2,033 Federal Home Loan Bank advances 430,000 — 430,000 — 430,000 Subordinated notes 87,327 — 93,877 — 93,877 Junior subordinated debentures 39,566 — 40,700 — 40,700 Accrued interest payable 9,367 9,367 — — 9,367 December 31, 2018 Carrying Fair Value Measurements Using Total (Dollars in thousands) Amount Level 1 Level 2 Level 3 Fair Value Financial assets: Cash and cash equivalents $ 234,939 $ 234,939 $ — $ — $ 234,939 Securities - held to maturity 8,487 — — 7,326 7,326 Loans not previously presented, gross 3,589,676 — — 3,505,724 3,505,724 FHLB and other restricted stock 15,943 N/A N/A N/A N/A Accrued interest receivable 19,094 19,094 — — 19,094 Financial liabilities: Deposits 3,450,349 — 3,440,570 — 3,440,570 Customer repurchase agreements 4,485 — 4,485 — 4,485 Federal Home Loan Bank advances 330,000 — 330,000 — 330,000 Subordinated notes 48,929 — 50,500 — 50,500 Junior subordinated debentures 39,083 — 40,808 — 40,808 Accrued interest payable 6,722 6,722 — — 6,722 For those financial instruments not previously described, the following methods and assumptions were used by the Company in estimating the fair values of financial instruments as disclosed herein: Cash and Cash Equivalents For financial instruments with a shorter term or with no stated maturity, prevailing market rates, and limited credit risk, the carrying amounts approximate fair value and are considered a Level 1 classification. Securities held to maturity The fair values of the Company’s investments in the subordinated notes of Trinitas IV, Trinitas V, and Trinitas VI classified as securities held to maturity are determined based on the securities’ discounted projected future cash flows (net present value), resulting in a Level 3 classification. Loans Loans include loans held for investment, excluding impaired loans previously described above. For variable rate loans that reprice frequently and have no significant changes in credit risk, excluding previously presented impaired loans measured at fair value on a non-recurring basis, fair values are based on carrying values. Fair values for fixed rate loans are estimated using discounted cash flow analyses. The discount rates used to determine the fair value of loans use interest rate spreads that reflect factors such as liquidity, credit, and nonperformance risk of the loans. These loans are considered a Level 3 classification. The fair values of commercial loans in the Company’s liquid credit portfolio are determined based on quoted market prices in active markets and are considered a Level 1 classification. FHLB and other restricted stock FHLB and other restricted stock is restricted to member banks and there are restrictions placed on its transferability. As a result, the fair value of FHLB and other restricted stock was not practicable to determine. Deposits The fair values disclosed for demand deposits and non-maturity transaction accounts are, by definition, equal to the amount payable on demand at the reporting date (that is, their carrying amounts) and are considered a Level 2 classification. Fair values for fixed rate time deposits are estimated using a discounted cash flow calculation that applies interest rates currently being offered on time deposits to a schedule of aggregated expected monthly maturities on time deposits resulting in a Level 2 classification. Customer repurchase agreements The carrying amount of customer repurchase agreements approximates fair value due to their short term nature. The customer repurchase agreement fair value is considered a Level 2 classification. Federal Home Loan Bank advances The Company’s FHLB advances have variable rates or a maturity of less than three months and therefore fair value materially approximates carrying value and is considered a Level 2 classification. Subordinated notes The subordinated notes were valued based on quoted market prices, but due to limited trading activity for the subordinated notes in these markets, the subordinated notes are considered a Level 2 classification. Junior subordinated debentures The junior subordinated debentures were valued by discounting future cash flows using current interest rates for similar financial instruments, resulting in a Level 2 classification. Accrued Interest Receivable and Accrued Interest Payable The carrying amounts of accrued interest receivable and accrued interest payable approximate their fair values given the short term nature of the receivables and are considered a Level 1 classification. |
Related-Party Transactions
Related-Party Transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related-Party Transactions | NOTE 17 — RELATED-PARTY TRANSACTIONS In the ordinary course of business, we have granted loans to executive officers, directors, and their affiliates were as follows: Years Ended December 31, (Dollars in thousands) 2019 2018 Beginning balance $ 39,520 $ 26,612 New loans and advances 952 28,526 Repayments and sales (821 ) (15,618 ) Ending balance $ 39,651 $ 39,520 In Dece mber 2018, the Company sold a loan with an aggregate principal balance of $9,781,000 to an entity in which a director, together with members of his family, have a majority interest. The loan, which was originated as a Regulation O related party loan due to the interests of such director in the borrower for such loan, was sold at a purchase price equal to 100 % of the outstanding principal balance of the loan plus accrued interest and therefore, resulted in no gain or loss for the year ended December 31, 2018. The loan was sold by the Company due to credit deterioration at the borrower which would have caused the loan to be classified as a substandard non-performing loan had it remained on the Company’s balance sheet as of December 31, 2018 . At December 31, 2019 and 2018, there were no loans to executive officers, directors, or their affiliates Deposits from executive officers, directors, and their affiliates at December 31, 2019 and 2018 were $5,641,000 and $6,176,000, respectively. Trinitas Capital Management, LLC Trinitas Capital Management, LLC (“Trinitas”) is an independent CLO asset manager formed in 2015. Prior to the sale of TCA on March 31, 2017, certain of the Company’s officers and other personnel served as officers or managers of Trinitas and certain members of the Company’s board of directors also hold minority membership interests in Trinitas. The Company does not hold any membership interests in Trinitas. As described in Note 9 – Variable Interest Entities, the Company, through its subsidiary TCA, provided certain middle and back office staffing and services to Trinitas as the asset manager of various CLO funds issued by Trinitas. For the year ended December 31, 2017, TCA earned fees from Trinitas totaling $521,000. No asset management fees were earned by TCA from Trinitas for the years ended December 31, 2019 and 2018. As a result of the TCA sale, as of March 31, 2017 the Company no longer acts as a staffing and services provider for Trinitas. The Company holds investments in the subordinated notes of Trinitas IV, Trinitas V, and Trinitas VI, CLOs managed by Trinitas, with a carrying amount of $8,417,000 $8,487,000 at December 31, 2019 and 2018, respectively Triumph Consolidated Cos., LLC As described in Note 19 – Stockholders’ Equity, Triumph Consolidated Cos., LLC ertain of the Company’s directors and executive officers were directors, officers, investors, or other interest holders in Triumph Consolidated Cos., LLC. |
Regulatory Matters
Regulatory Matters | 12 Months Ended |
Dec. 31, 2019 | |
Regulatory Capital Requirements [Abstract] | |
Regulatory Matters | NOTE 18 — REGULATORY MATTERS The Company (on a consolidated basis) and TBK Bank are subject to various regulatory capital requirements administered by federal and state banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s or TBK Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and TBK Bank must meet specific capital guidelines that involve quantitative measures of their assets, liabilities, and certain off balance sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Quantitative measures established by regulation to ensure capital adequacy require the Company and TBK Bank to maintain minimum amounts and ratios (set forth in the table below) of total, common equity Tier 1, and Tier 1 capital to risk weighted assets, and of Tier 1 capital to average assets. Management believes, as of December 31, 2019, the Company and TBK Bank meet all capital adequacy requirements to which they are subject. As of December 31, 2019, TBK Bank’s capital ratios exceeded those levels necessary to be categorized as “well capitalized” under the regulatory framework for prompt corrective action. To be categorized as “well capitalized,” TBK Bank must maintain minimum total risk based, common equity Tier 1 risk based, Tier 1 risk based, and Tier 1 leverage ratios as set forth in the table below. There are no conditions or events since December 31, 2019 that management believes have changed TBK Bank’s category. The actual capital amounts and ratios for the Company and TBK Bank are presented in the following table: To Be Well Capitalized Under Minimum for Capital Prompt Corrective Actual Adequacy Purposes Action Provisions (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio As of December 31, 2019 Total capital (to risk weighted assets) Triumph Bancorp, Inc. $ 604,832 12.8% $ 378,020 8.0% N/A N/A TBK Bank, SSB $ 555,213 12.0% $ 370,142 8.0% $ 462,678 10.0% Tier 1 capital (to risk weighted assets) Triumph Bancorp, Inc. $ 487,775 10.3% $ 284,141 6.0% N/A N/A TBK Bank, SSB $ 525,490 11.4% $ 276,574 6.0% $ 368,765 8.0% Common equity Tier 1 capital (to risk weighted assets) Triumph Bancorp, Inc. $ 448,209 9.5% $ 212,310 4.5% N/A N/A TBK Bank, SSB $ 525,490 11.4% $ 207,430 4.5% $ 299,621 6.5% Tier 1 capital (to average assets) Triumph Bancorp, Inc. $ 487,775 10.0% $ 195,110 4.0% N/A N/A TBK Bank, SSB $ 525,490 10.9% $ 192,840 4.0% $ 241,050 5.0% As of December 31, 2018 Total capital (to risk weighted assets) Triumph Bancorp, Inc. $ 552,398 13.4% $ 330,970 8.0% N/A N/A TBK Bank, SSB $ 496,526 12.4% $ 320,856 8.0% $ 401,071 10.0% Tier 1 capital (to risk weighted assets) Triumph Bancorp, Inc. $ 475,359 11.5% $ 248,227 6.0% N/A N/A TBK Bank, SSB $ 468,500 11.7% $ 240,642 6.0% $ 320,856 8.0% Common equity Tier 1 capital (to risk weighted assets) Triumph Bancorp, Inc. $ 436,276 10.5% $ 186,170 4.5% N/A N/A TBK Bank, SSB $ 468,500 11.7% $ 180,482 4.5% $ 260,696 6.5% Tier 1 capital (to average assets) Triumph Bancorp, Inc. $ 475,359 11.1% $ 171,619 4.0% N/A N/A TBK Bank, SSB $ 468,500 11.0% $ 170,092 4.0% $ 212,615 5.0% Dividends paid by TBK Bank are limited to, without prior regulatory approval, current year earnings and earnings less dividends paid during the preceding two years. Beginning in January 2016, the implementation of the capital conservation buffer set forth by the Basel III regulatory capital framework was effective for the Company starting at 0.625% of risk weighted assets above the minimum risk based capital ratio requirements and increasing 0.625% each year thereafter, until it reached 2.5% on January 1, 2019. The capital conservation buffer was 2.5% and 1.875% at December 31, 2019 and 2018, respectively. The capital conservation buffer is designed to absorb losses during periods of economic stress and requires increased capital levels for the purpose of capital distributions and other payments. Failure to meet the full amount of the buffer will result in restrictions on the Company’s ability to make capital distributions, including dividend payments and stock repurchases, and to pay discretionary bonuses to executive officers. At December 31, 2019, the Company’s and TBK Bank’s risk based capital exceeded the required capital conservation buffer. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Stockholders' Equity | NOTE 19 — STOCKHOLDERS’ EQUITY The following summarizes the Company’s capital structure. Common Stock December 31, (Dollars in thousands, except per share amounts) 2019 2018 Shares authorized 50,000,000 50,000,000 Shares issued 27,163,642 27,053,999 Treasury shares 2,198,681 104,063 Shares outstanding 24,964,961 26,949,936 Par value per share $ 0.01 $ 0.01 Common Stock Offerings On April 12, 2018, the Company completed an underwritten common stock offering issuing 5,405,000 shares of the Company’s common stock, including 705,000 shares sold pursuant to the underwriters’ full exercise of their option to purchase additional shares, at $37.50 per share for total gross proceeds of $202,688,000. Net proceeds from the offering, after deducting the underwriting discount and offering expenses, were $192,053,000. On August 1, 2017, the Company completed an underwritten common stock offering issuing 2,530,000 shares of the Company’s common stock, including 330,000 shares sold pursuant to the underwriters’ full exercise of their option to purchase additional shares, at $27.50 per share for total gross proceeds of $69,575,000. Net proceeds from the offering, after deducting the underwriting discounts and offering expenses, were $65,509,000. Stock Repurchase Program On October 29, 2018, the Company announced that its board of directors had authorized the Company to repurchase up to $25,000,000 of the Company’s outstanding common stock. On July 17, 2019, the Company’s board of directors authorized the Company to repurchase up to an additional $25,000,000 of the Company’s outstanding common stock. On October 16, 2019 the Company’s board of directors authorized the Company to repurchase up to an additional $50,000,000 of the Company’s outstanding common stock. The Company may repurchase these shares from time to time in open market transactions or through privately negotiated transactions at the Company’s discretion. The amount, timing and nature of any share repurchases will be based on a variety of factors, including the trading price of the Company’s common stock, applicable securities laws restrictions, regulatory limitations and market and economic factors. This repurchase program is authorized for a period of up to one year and does not require the Company to repurchase any specific number of shares. The repurchase program may be modified, suspended or discontinued at any time, at the Company’s discretion. The following repurchases were made under these programs: (Dollars in thousands, except per share amounts) Stock Repurchase Program Authorized Year ended December 31, 2019 October 29, 2018 July 17, 2019 October 16, 2019 Total Shares repurchased into treasury stock 838,141 850,093 392,557 2,080,791 Average price of shares repurchased into treasury stock $ 29.74 $ 29.38 $ 36.69 $ 30.90 Total cost of shares repurchased into treasury stock $ 24,954,000 $ 24,998,000 $ 14,414,000 $ 64,366,000 There were no stock repurchases made under these programs during the years ended December 31, 2018 and 2017. Warrants During 2012, the Company issued a warrant to Triumph Consolidated Cos., LLC to purchase 259,067 shares of the Company’s common stock. The warrant had an exercise price of $11.58 per share, was immediately exercisable, and had an expiration date of December 12, 2022. TCC exercised the warrant in full on August 2, 2017 and was issued 153,134 shares of common stock, net of shares withheld by the Company to cover the exercise price. The shares of common stock were issued in reliance on Section 4(a)(2) of the Securities Act of 1933, as amended. Preferred Stock The Company did not have any preferred shares issued or outstanding at December 31, 2019 or 2018. On October 26, 2018, the 45,500 Preferred Stock Series A shares outstanding with a liquidation value of $4,550,000 were converted to 315,773 shares of common stock at the option of the holders at their preferred to common stock conversion ratio of 6.94008. No Preferred Stock Series A shares were converted to common stock during the years ended December 31, 2017. On October 26, 2018, the remaining 51,076 Preferred Stock Series B shares outstanding with a liquidation value of $5,108,000 were converted to 354,463 shares of common stock at the option of the holders at their preferred to common stock conversion ratio of 6.94008. During the year ended December 31, 2017, 880 shares of Preferred Stock Series B with a liquidation value of $88,000 were converted to 6,106 shares of common stock at the option of the holders. |
Stock Based Compensation
Stock Based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock Based Compensation | NOTE 20 — STOCK BASED COMPENSATION Stock based compensation expense that has been charged against income was $3,654,000, $2,735,000 and $1,801,000 for the years ended December 31, 2019, 2018 and 2017, respectively. 2014 Omnibus Incentive Plan The Company’s 2014 Omnibus Incentive Plan (“Omnibus Incentive Plan”) provides for the grant of nonqualified and incentive stock options, stock appreciation rights, restricted stock awards, restricted stock units, and other awards that may be settled in, or based upon the value of, the Company’s common stock. The aggregate number of shares of common stock available for issuance under the Omnibus Incentive Plan is 2,000,000 shares. Restricted Stock Awards A summary of changes in the Company’s nonvested Restricted Stock Awards (“RSAs”) under the Omnibus Incentive Plan for the year ended December 31, 2019 were as follows: Weighted Average Grant Date Nonvested RSAs Shares Fair Value Nonvested at January 1, 2019 101,213 $ 31.47 Granted 104,413 30.88 Vested (48,675 ) 29.29 Forfeited (8,602 ) 29.91 Nonvested at December 31, 2019 148,349 $ 31.86 RSAs granted to employees under the Omnibus Incentive Plan generally vest over three to four years, but vesting periods may vary. The fair value of shares vested during the years ended December 31, 2019, 2018 and 2017, totaled $1,466,000, $2,625,000, and $1,753,000, respectively. Compensation expense for RSAs will be recognized on an accelerated basis over the vesting period of the awards based on the fair value of the stock at the issue date. As of December 31, 2019, there was $2,427,000 of total unrecognized compensation cost related to nonvested RSAs. The cost is expected to be recognized over a remaining weighted average period of 2.95 years. Restricted Stock Units A summary of changes in the Company’s nonvested Restricted Stock Units (“RSUs”) under the Omnibus Incentive Plan for the year ended December 31, 2019 were as follows: Weighted Average Grant Date Nonvested RSUs Shares Fair Value Nonvested at January 1, 2019 59,658 $ 38.75 Granted — — Vested — — Forfeited (4,430 ) 38.75 Nonvested at December 31, 2019 55,228 $ 38.75 RSUs granted to employees under the Omnibus Incentive Plan vest after five years. Compensation expense for the RSUs will be recognized over the vesting period of the awards based on the fair value of the stock at the issue date. As of December 31, 2019, there was $1,396,000 of unrecognized compensation cost related to the nonvested RSUs. The cost is expected to be recognized over a remaining period of 3.33 years. Market Based Performance Stock Units A summary of changes in the Company’s nonvested Market Based Performance Stock Units (“Market Based PSUs”) under the Omnibus Incentive Plan for the year ended December 31, 2019 were as follows: Weighted Average Grant Date Nonvested Market Based PSUs Shares Fair Value Nonvested at January 1, 2019 59,658 $ 38.57 Granted 12,479 33.91 Vested — — Forfeited (4,430 ) 38.57 Nonvested at December 31, 2019 67,707 $ 37.71 Market Based PSUs granted to employees under the Omnibus Incentive Plan vest after three to five years. The number of shares issued upon vesting will range from 0% to 175% of the shares granted based on the Company’s relative total shareholder return (“TSR”) as compared to the TSR of a specified group of peer banks. Compensation expense for the Market Based PSUs will be recognized over the vesting period of the awards based on the fair value of the award at the grant date. The fair value of Market Based PSUs granted is estimated using a Monte Carlo simulation. The fair value of the Market Based PSUs granted was determined using the following weighted average assumptions: Year Ended December 31, 2019 2018 Grant date May 1, 2019 May 1, 2018 Performance period 3.00 Years 5.00 Years Stock price $ 30.82 $ 38.85 Triumph stock price volatility 28.29 % 29.13 % Risk-free rate 2.25 % 2.76 % Expected volatilities were determined based on the historical volatilities of the Company and the specified peer group. The risk-free interest rate for the performance period was derived from the Treasury constant maturities yield curve on the valuation date. As of December 31, 2019, there was $1,718,000 of unrecognized compensation cost related to the nonvested Market Based PSUs. The cost is expected to be recognized over a remaining period of 3.14 years. Performance Based Performance Stock Units A summary of changes in the Company’s nonvested Performance Based Performance Stock Units (“Performance Based PSUs”) under the Omnibus Incentive Plan for the year ended December 31, 2019 were as follows: Weighted Average Grant Date Nonvested Performance Based PSUs Shares Fair Value Nonvested at January 1, 2019 — $ — Granted 254,000 38.02 Vested — — Forfeited — — Nonvested at December 31, 2019 254,000 $ 38.02 Performance Based PSUs granted to employees under the Omnibus Incentive Plan vest after three years. The number of shares issued upon vesting will range from 0% to 200% of the shares granted based on the Company’s cumulative diluted earnings per share over the performance period. Compensation expense for the Performance Based PSUs will be estimated each period based on the fair value of the stock at the grant date and the most probable outcome of the performance condition, adjusted for the passage of time within the vesting period of the awards. As of December 31, 2019, the maximum unrecognized compensation cost related to the nonvested Performance Based PSUs was $19,314,000, and the remaining performance period over which the cost could be recognized was 3.00 years. No compensation cost was recorded during the year ended December 31, 2019. Stock Options A summary of changes in the Company’s stock options under the Omnibus Incentive Plan for the year ended December 31, 2019 were as follows: Weighted Average Remaining Aggregate Weighted Average Contractual Term Intrinsic Value Stock Options Shares Exercise Price (In Years) (In Thousands) Outstanding at January 1, 2019 231,467 $ 23.43 Granted 19,285 31.00 Exercised (12,848 ) 18.25 Forfeited (11,824 ) 27.32 Expired (1,025 ) 38.48 Outstanding at December 31, 2019 225,055 $ 24.10 7.17 $ 3,165 Fully vested shares and shares expected to vest at December 31, 2019 225,055 $ 24.10 7.17 $ 3,165 Shares exercisable at December 31, 2019 118,537 $ 20.20 6.67 $ 2,121 Information related to the stock options for the years ended December 31, 2019, 2018 and 2017 was as follows: Year Ended December 31, (Dollars in thousands, except per share amounts) 2019 2018 2017 Aggregate intrinsic value of options exercised $ 155 $ 59 $ 251 Cash received from option exercises $ — $ — $ 283 Tax benefit realized from option exercises $ 33 $ 12 $ 88 Weighted average fair value of options granted (per share) $ 10.03 $ 13.22 $ 8.71 Fair value of vested awards $ 465 $ 313 $ 390 Stock options awarded to employees under the Omnibus Incentive Plan are generally granted with an exercise price equal to the market price of the Company’s common stock at the date of grant, vest over four years, and have ten year contractual terms. The fair value of stock options granted is estimated at the date of grant using the Black-Scholes option-pricing model. The fair value of the stock options granted was determined using the following weighted average assumptions: 2019 2018 2017 Risk-free interest rate 2.33 % 2.85 % 2.11 % Expected term 6.25 years 6.25 years 6.25 Years Expected stock price volatility 27.46 % 28.07 % 29.70 % Dividend yield — — — Expected volatilities were determined based on a blend of the Company’s historical volatility and historical volatilities of a peer group of companies with a similar size, industry, stage of life cycle, and capital structure. The expected term of the options granted was determined based on the SEC simplified method, which calculates the expected term as the mid-point between the weighted average time to vesting and the contractual term. The risk-free interest rate for the expected term of the options was derived from the Treasury constant maturity yield curve on the valuation date. As of December 31, 2019, there was $361,000 of unrecognized compensation cost related to nonvested stock options. The cost is expected to be recognized over a remaining weighted average period of 2.50 years. Employee Stock Purchase Plan During the year ended December 31, 2019, the Company’s Board of Directors adopted, and the Company’s stockholders approved, the Triumph Bancorp, Inc. 2019 Employee Stock Purchase Plan (“ESPP”). Under the ESPP, 2,500,000 shares of common stock were reserved for issuance. The ESPP enables eligible employees to purchase the Company’s common stock at a price per share equal to 85% of the lower of the fair market value of the common stock at the beginning or end of each six month offering period. The first offering period has not yet commenced. |
Parent Company Only Condensed F
Parent Company Only Condensed Financial Information | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Parent Company Only Condensed Financial Information | NOTE 21 — PARENT COMPANY ONLY CONDENSED FINANCIAL INFORMATION The following tables present parent company only condensed financial information. Condensed Parent Company Only Balance Sheets: December 31, December 31, (Dollars in thousands) 2019 2018 ASSETS Cash and cash equivalents $ 35,914 $ 31,706 Securities - held to maturity 8,417 8,487 Loans 719 9,912 Investment in bank subsidiary 713,348 670,908 Investment in non-bank subsidiaries 5,542 6,396 Other assets 1,174 3,612 Total assets $ 765,114 $ 731,021 LIABILITIES AND EQUITY Subordinated notes $ 87,327 $ 48,929 Junior subordinated debentures 39,566 39,083 Intercompany payables 318 318 Accrued expenses and other liabilities 1,313 6,084 Total liabilities 128,524 94,414 Stockholders' equity 636,590 636,607 Total liabilities and equity $ 765,114 $ 731,021 Condensed Parent Company Only Statements of Income: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Interest income $ 1,163 $ 2,014 $ 1,415 Interest expense (6,464 ) (6,092 ) (5,300 ) Provision for loan losses 83 8 (91 ) Gain on sale of subsidiary or division — — 20,860 Other income (187 ) 5 1,572 Salaries and employee benefits expense (613 ) (523 ) (5,686 ) Other expense (2,069 ) (3,710 ) (3,138 ) Income (loss) before income tax and income from subsidiaries (8,087 ) (8,298 ) 9,632 Income tax (expense) benefit 193 1,049 (3,087 ) Dividends from subsidiaries and equity in undistributed subsidiary income 66,438 58,957 30,347 Net income 58,544 51,708 36,892 Dividends on preferred stock — (578 ) (774 ) Net income available to common stockholders (1) $ 58,544 $ 51,130 $ 36,118 Comprehensive income attributable to Parent $ 60,853 $ 51,101 $ 35,900 Condensed Parent Company Only Statements of Cash Flows: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Cash flows from operating activities: Net income $ 58,544 $ 51,708 $ 36,892 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in undistributed subsidiary income (35,938 ) (58,957 ) (30,347 ) Net accretion of securities (923 ) (983 ) (800 ) Amortization of junior subordinated debentures 483 460 413 Amortization of subordinated notes issuance costs 116 101 94 Stock based compensation 315 320 296 Income from CLO warehouse investments — — (2,226 ) Change in other assets 2,438 1,273 6,689 Change in accrued expenses and other liabilities (4,771 ) (6,458 ) 2,950 Net cash provided by (used in) operating activities 20,264 (12,536 ) 13,961 Cash flows from investing activities: Investment in subsidiaries — (59,038 ) (6,495 ) Purchases of securities held to maturity — — (5,092 ) Proceeds from maturities, calls, and pay downs of securities held to maturity 993 1,053 715 Net change in loans 9,193 1,134 (10,062 ) Net cash paid for CLO warehouse investments — — (10,000 ) Net proceeds from CLO warehouse investments — — 30,000 Cash used in acquisition of subsidiaries, net — (137,806 ) (40,075 ) Net cash provided by (used in) investing activities 10,186 (194,657 ) (41,009 ) Cash flows from financing activities: Proceeds from issuance of subordinated notes, net 38,282 — — Issuance of common stock, net of issuance costs — 192,053 65,509 Dividends on preferred stock — (578 ) (774 ) Purchase of treasury stock (64,524 ) (398 ) (366 ) Stock option exercises — (4 ) 283 Net cash provided by (used in) financing activities (26,242 ) 191,073 64,652 Net increase (decrease) in cash and cash equivalents 4,208 (16,120 ) 37,604 Cash and cash equivalents at beginning of period 31,706 47,826 10,222 Cash and cash equivalents at end of period $ 35,914 $ 31,706 $ 47,826 (1) Year Ended December 31, (Dollars in thousands) 2019 2018 2017 Parent company net income available to common stockholders $ 58,544 $ 51,130 $ 36,118 Parent company loss on intercompany sale of loans — — — TBK Bank discount accretion — — (672 ) Consolidated net income available to common stockholders $ 58,544 $ 51,130 $ 35,446 |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | NOTE 22 — EARNINGS PER SHARE The factors used in the earnings per share computation follow: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Basic Net income to common stockholders $ 58,544 $ 51,130 $ 35,446 Weighted average common shares outstanding 25,941,395 24,791,448 19,133,745 Basic earnings per common share $ 2.26 $ 2.06 $ 1.85 Diluted Net income to common stockholders $ 58,544 $ 51,130 $ 35,446 Dilutive effect of preferred stock — 578 774 Net income to common stockholders - diluted $ 58,544 $ 51,708 $ 36,220 Weighted average common shares outstanding 25,941,395 24,791,448 19,133,745 Dilutive effects of: Assumed conversion of Preferred A — 258,674 315,773 Assumed conversion of Preferred B — 290,375 354,471 Assumed exercises of stock warrants — — 82,567 Assumed exercises of stock options 63,808 84,126 45,653 Restricted stock awards 47,242 52,851 68,079 Restricted stock units 3,441 3,039 — Performance stock units - market based 4,119 — — Performance stock units - performance based — — — Average shares and dilutive potential common shares 26,060,005 25,480,513 20,000,288 Diluted earnings per common share $ 2.25 $ 2.03 $ 1.81 Shares that were not considered in computing diluted earnings per common share because they were antidilutive are as follows: Years Ended December 31, 2019 2018 2017 Assumed conversion of Preferred A — — — Assumed conversion of Preferred B — — — Stock options 66,019 51,952 57,926 Restricted stock awards — — — Restricted stock units — — — Performance stock units - market based 55,228 59,658 — Performance stock units - performance based 254,000 — — |
Business Segment Information
Business Segment Information | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Business Segment Information | NOTE 23 — BUSINESS SEGMENT INFORMATION The following presents the Company’s operating segments. The accounting policies of the segments are the same as those described in Note 1 – Summary of Significant Accounting Policies. Transactions between segments consist primarily of borrowed funds. Beginning in 2019, intersegment interest expense is allocated to the Factoring segment based on Federal Home Loan Bank advance rates. Prior to 2019, intersegment interest was calculated based on the Company’s prime rate. The provision for loan loss is allocated based on the segment’s ALLL determination. Noninterest income and expense directly attributable to a segment are assigned to it. Taxes are paid on a consolidated basis but not allocated for segment purposes. The Factoring segment includes only factoring originated by TBC. General factoring services not originated through TBC are included in the Banking segment. On March 31, 2017, the Company sold its 100% membership interest in Triumph Capital Advisors, LLC (“TCA”) and discontinued fee based asset management services. TCA operations for the years ended December 31, 2017 are reflected in the Corporate segment, along with the gain on sale of the Company’s membership interest in TCA. (Dollars in thousands) Year Ended December 31, 2019 Banking Factoring Corporate Consolidated Total interest income $ 211,742 $ 98,247 $ 1,164 $ 311,153 Intersegment interest allocations 11,294 (11,294 ) — — Total interest expense 48,786 — 6,464 55,250 Net interest income (expense) 174,250 86,953 (5,300 ) 255,903 Provision for loan losses 5,533 2,486 (77 ) 7,942 Net interest income (expense) after provision 168,717 84,467 (5,223 ) 247,961 Noninterest income 26,875 4,727 (33 ) 31,569 Noninterest expense 148,620 51,780 3,684 204,084 Operating income (loss) $ 46,972 $ 37,414 $ (8,940 ) $ 75,446 (Dollars in thousands) Year Ended December 31, 2018 Banking Factoring Corporate Consolidated Total interest income $ 170,871 $ 90,092 $ 2,013 $ 262,976 Intersegment interest allocations 20,191 (20,191 ) — — Total interest expense 29,834 — 6,092 35,926 Net interest income (expense) 161,228 69,901 (4,079 ) 227,050 Provision for loan losses 12,373 3,802 (8 ) 16,167 Net interest income (expense) after provision 148,855 66,099 (4,071 ) 210,883 Gain on sale of subsidiary or division 1,071 — — 1,071 Other noninterest income 18,364 3,483 52 21,899 Noninterest expense 119,283 43,495 4,575 167,353 Operating income (loss) $ 49,007 $ 26,087 $ (8,594 ) $ 66,500 (Dollars in thousands) Year Ended December 31, 2017 Banking Factoring Corporate Consolidated Total interest income $ 130,480 $ 45,346 $ 1,398 $ 177,224 Intersegment interest allocations 8,023 (8,023 ) — — Total interest expense 16,240 — 5,300 21,540 Net interest income (expense) 122,263 37,323 (3,902 ) 155,684 Provision for loan losses 9,310 2,227 91 11,628 Net interest income (expense) after provision 112,953 35,096 (3,993 ) 144,056 Gain on sale of subsidiary or division — — 20,860 20,860 Other noninterest income 14,336 2,737 2,723 19,796 Noninterest expense 90,632 22,641 10,341 123,614 Operating income (loss) $ 36,657 $ 15,192 $ 9,249 $ 61,098 (Dollars in thousands) December 31, 2019 Banking Factoring Corporate Eliminations Consolidated Total assets $ 4,976,009 $ 662,002 $ 771,048 $ (1,348,762 ) $ 5,060,297 Gross loans held for investment $ 4,108,735 $ 573,372 $ 1,519 $ (489,114 ) $ 4,194,512 (Dollars in thousands) December 31, 2018 Banking Factoring Corporate Eliminations Consolidated Total assets $ 4,458,399 $ 688,245 $ 737,530 $ (1,324,395 ) $ 4,559,779 Gross loans held for investment $ 3,523,850 $ 588,750 $ 10,795 $ (514,751 ) $ 3,608,644 |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data (Unaudited) | NOTE 24 — QUARTERLY FINANCIAL DATA (UNAUDITED) The following presents quarterly financial data for the years ended December 31, 2019 and 2018. Year Ended December 31, 2019 Fourth Third Second First (Dollars in thousands) Quarter Quarter Quarter Quarter Interest income $ 81,171 $ 79,415 $ 77,303 $ 73,264 Interest expense 14,763 14,650 13,884 11,953 Net interest income 66,408 64,765 63,419 61,311 Provision for loan losses 382 2,865 3,681 1,014 Net interest income after provision 66,026 61,900 59,738 60,297 Noninterest income 8,666 7,742 7,623 7,538 Noninterest expense 52,661 52,153 50,704 48,566 Net income before income taxes 22,031 17,489 16,657 19,269 Income tax expense 5,322 3,172 3,927 4,481 Net income 16,709 14,317 12,730 14,788 Dividends on preferred stock — — — — Net income available to common stockholders $ 16,709 $ 14,317 $ 12,730 $ 14,788 Earnings per common share Basic $ 0.67 $ 0.56 $ 0.48 $ 0.55 Diluted $ 0.66 $ 0.56 $ 0.48 $ 0.55 Year Ended December 31, 2018 Fourth Third Second First (Dollars in thousands) Quarter Quarter Quarter Quarter Interest income $ 75,850 $ 71,759 $ 61,249 $ 54,118 Interest expense 10,969 9,977 7,992 6,988 Net interest income 64,881 61,782 53,257 47,130 Provision for loan losses 1,910 6,803 4,906 2,548 Net interest income after provision 62,971 54,979 48,351 44,582 Gain on sale of subsidiary — — — 1,071 Other noninterest income 6,794 6,059 4,945 4,101 Noninterest income 6,794 6,059 4,945 5,172 Noninterest expense 46,962 48,946 37,403 34,042 Net income before income taxes 22,803 12,092 15,893 15,712 Income tax expense 4,718 2,922 3,508 3,644 Net income 18,085 9,170 12,385 12,068 Dividends on preferred stock — (195 ) (193 ) (190 ) Net income available to common stockholders $ 18,085 $ 8,975 $ 12,192 $ 11,878 Earnings per common share Basic $ 0.68 $ 0.34 $ 0.48 $ 0.57 Diluted $ 0.67 $ 0.34 $ 0.47 $ 0.56 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Nature of Operations | Nature of Operations Triumph Bancorp, Inc. (collectively with its subsidiaries, “Triumph”, or the “Company” as applicable) is a financial holding company headquartered in Dallas, Texas. The accompanying consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries Triumph CRA Holdings, LLC (“TCRA”), TBK Bank, SSB (“TBK Bank”), TBK Bank’s wholly owned factoring subsidiary Advance Business Capital LLC, which currently operates under the d/b/a of Triumph Business Capital (“TBC”), and TBK Bank’s wholly owned subsidiary Triumph Insurance Group, Inc. (“TIG”). On March 16, 2018, the Company sold the assets of Triumph Healthcare Finance (“THF”) and exited its healthcare asset based lending line of business. THF operated within the Company’s TBK Bank subsidiary. On March 31, 2017 the Company sold its membership interest in its wholly owned subsidiary Triumph Capital Advisors, LLC (“TCA”). See Note 2 – Business Combinations and Divestitures for additional information pertaining to the THF and TCA sales and the impact of the transactions on the Company’s consolidated financial statements. |
Principles of Consolidation and Basis of Presentation | Principles of Consolidation and Basis of Presentation The Company consolidates subsidiaries in which it holds, directly or indirectly, a controlling financial interest. The Company determines whether it has a controlling financial interest in an entity by first evaluating whether the entity is a voting interest entity or a variable interest entity under U.S. generally accepted accounting principles (“GAAP”). Voting interest entities are entities in which the total equity investment at risk is sufficient to enable the entity to finance itself independently and provides the equity holders with the obligation to absorb losses, the right to receive residual returns and the right to make decisions about the entity’s activities. The Company consolidates voting interest entities in which it has at least a majority of the voting interest. Variable interest entities (“VIEs”) are entities that lack one or more of the characteristics of a voting interest entity. A controlling financial interest in a VIE is present when an enterprise has both the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and an obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. The enterprise with a controlling financial interest, known as the primary beneficiary, consolidates the VIE. In consolidation, all significant intercompany accounts and transactions are eliminated. Investments in unconsolidated entities are accounted for using the equity method of accounting when the Company has the ability to exercise significant influence over operating and financing decisions. Investments that do not meet the criteria for equity method accounting are accounted for using the cost method of accounting. The accounting and reporting policies of the Company and its subsidiaries conform to GAAP and general practice within the banking industry. Certain reclassifications have been made to prior year amounts to conform to the current year presentation. The Company uses the accrual basis of accounting for financial reporting purposes. |
Use of Estimates | Use of Estimates To prepare financial statements in conformity with GAAP management makes estimates and assumptions based on available information. These estimates and assumptions affect the amounts reported in the financial statements and the disclosures provided, and actual results could differ . |
Cash and Cash Equivalents | Cash and Cash Equivalents For the purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, other short term investments and federal funds sold. All highly liquid investments with an initial maturity of less than 90 days are considered to be cash equivalents. Certain items, including loan and deposit transactions, customer repurchase agreements, and FHLB advances and repayments, are presented net in the statement of cash flows. |
Debt Securities | Debt Securities The Company determines the classification of debt securities at the time of purchase. Debt securities that management has the positive intent and ability to hold to maturity are classified as held to maturity and recorded at amortized cost. Trading securities are recorded at fair value with changes in fair value included in earnings. Debt securities not classified as held to maturity or trading are classified as available for sale and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income (loss), net of tax. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific-identification method. Amortization of premiums and discounts are recognized in interest income over the period to maturity using the interest method. Management evaluates securities for other-than-temporary impairment (“OTTI”) on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. In analyzing an issuer’s financial condition, the Company may consider whether the securities are issued by the federal government or its agencies, whether downgrades by bond rating agencies have occurred, and the results of reviews of the issuers’ financial condition. The Company conducts regular reviews of the bond agency ratings of securities and considers whether the securities were issued by or have principal and interest payments guaranteed by the federal government or its agencies. These reviews focus on the underlying rating of the issuer and also include the insurance rating of securities that have an insurance component or guarantee. The ratings and financial condition of the issuers are monitored, as well as the financial condition and ratings of the insurers and guarantors. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized through earnings, and 2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, the entire amount of impairment is recognized through earnings. |
Equity Securities | Equity Securities Equity securities are recorded at fair value, with unrealized gains and losses included in earnings beginning January 1, 2018 after adoption of Accounting Standards Update No. 2016-01, “Financial Instruments – Overall: Recognition and Measurement of Financial Assets and Financial Liabilities.” Prior to January 1, 2018, unrealized gains and losses on equity securities were excluded from earnings and reported in other comprehensive income (loss), net of tax. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific-identification method. |
Loans Held for Sale | Loans Held for Sale The Company elects the fair value option for recording 1-4 family residential mortgage loans and commercial loans held for sale in accordance with Accounting Standards Codification (“ASC”) 825, “Financial Instruments”. The fair value of loans held for sale is determined based on outstanding commitments from investors to purchase such loans or prevailing market rates. Increases or decreases in the fair value of loans held for sale, if any, are charged to earnings and are recorded in noninterest income in the consolidated statements of income. Gains and losses on sales of loans are based on the difference between the final selling price and the carrying value of the related loan sold. Mortgage loans held for sale are generally sold with servicing rights released. Management occasionally transfers loans held for investment to loans held for sale. Gains or losses on the transfer of loans to loans held for sale are recorded in noninterest income in the consolidated statements of income. |
Loans | Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the unpaid principal balance outstanding, net of unearned income, deferred loan fees and costs, and any direct principal charge-offs. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income over the remaining life of the loan without anticipating prepayments. Loans are considered past due or delinquent when the contractual principal or interest due in accordance with the terms of the loan agreement or any portion thereof remains unpaid after the due date of the scheduled payment. Loans are classified as nonaccrual when, in the opinion of management, collection of principal or interest is doubtful. The accrual of interest income on loans is typically discontinued at the time the loan is 90 days delinquent unless the loan is well-secured and in process of collection, or if full collection of interest or principal becomes uncertain. Consumer loans are typically charged off no later than 120 days past due. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not received for a loan placed on nonaccrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Acquired Loans Acquired loans are recorded at fair value at the date of acquisition with no initial valuation allowance based on a discounted cash flow methodology that considers various factors including the type of loan and related collateral, classification status, fixed or variable interest rate, term of loan and whether or not the loan was amortizing, and a discount rate reflecting the Company’s assessment of risk inherent in the cash flow estimates. Certain larger purchased loans are individually evaluated while certain purchased loans are grouped together according to similar risk characteristics and are treated in the aggregate when applying various valuation techniques. These cash flow evaluations are inherently subjective as they require material estimates, all of which may be susceptible to significant change. Loans acquired in a business combination that have evidence of deterioration of credit quality since origination and for which it is probable, at acquisition, that the Company will be unable to collect all contractually required payments receivable are considered purchased credit impaired (“PCI”). PCI loans are individually evaluated and recorded at fair value at the date of acquisition with no initial valuation allowance based on a discounted cash flow methodology that considers various factors including the type of loan and related collateral, classification status, fixed or variable interest rate, term of loan and whether or not the loan was amortizing, and a discount rate reflecting the Company’s assessment of risk inherent in the cash flow estimates. The difference between the undiscounted cash flows expected at acquisition and the investment in the loan, or the “accretable yield,” is recognized as interest income on a level-yield method over the life of the loan. Contractually required payments for interest and principal that exceed the undiscounted cash flows expected at acquisition, or the “nonaccretable difference,” are not recognized on the balance sheet and do not result in any yield adjustments, loss accruals or valuation allowances. Increases in expected cash flows, including prepayments, subsequent to the initial investment are recognized prospectively through adjustment of the yield on the loan over its remaining life. Decreases in expected cash flows are recognized as impairment. Valuation allowances on PCI loans reflect only losses incurred after the acquisition (meaning the present value of all cash flows expected at acquisition that ultimately are not to be received). For acquired loans not deemed credit-impaired at acquisition, the differences between the initial fair value and the unpaid principal balance are recognized as interest income on a level-yield basis over the lives of the related loans. Subsequent to the acquisition date, methods utilized to estimate the required allowance for loan and lease losses for these loans is similar to originated loans; however, a provision for credit losses will be recorded only to the extent the required allowance exceeds any remaining purchase discounts. Once an acquired loan undergoes new underwriting and meets the criteria for a new loan, such as in the case of a loan renewal, any remaining fair value adjustments are accreted into interest income and the loan establishes a new amortized cost basis that is fully subject to the Company's allowance for loan and lease loss methodology. Factored Receivables The Company purchases invoices from its factoring clients in schedules or batches. Cash is advanced to the client to the extent of the applicable advance rate, less fees, as set forth in the individual factoring agreements. The face value of the invoices purchased are recorded by the Company as factored receivables, and the unadvanced portions of the invoices purchased, less fees, are considered client reserves. The client reserves are held to settle any payment disputes or collection shortfalls, may be used to pay clients’ obligations to various third parties as directed by the client, are periodically released to or withdrawn by clients, and are reported as deposits. Unearned factoring fees and unearned net origination fees are deferred and recognized over the weighted average collection period for each client. Subsequent factoring fees are recognized in interest income as incurred by the client and deducted from the clients’ reserve balances. Other factoring-related fees, which include wire transfer fees, carrier payment fees, fuel advance fees, and other similar fees, are reported by the Company as non-interest income as incurred by the client. |
Loan Commitments and Related Financial Instruments | Loan Commitments and Related Financial Instruments Financial instruments include off-balance sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded. |
Allowance for Loan and Lease Losses | Allowance for Loan and Lease Losses The allowance for loan and lease losses (the “ALLL”) is a valuation allowance maintained to cover incurred losses that are estimated in accordance with US GAAP. It is our estimate of credit losses inherent in our loan portfolio at each balance sheet date. Our methodology for analyzing the allowance for loan and lease losses consists of general and specific components. For the general component, we stratify the loan portfolio into homogeneous groups of loans that possess similar loss potential characteristics and apply a loss ratio to these groups of loans to estimate the credit losses in the loan portfolio. We use both historical loss ratios and qualitative loss factors assigned to major loan collateral types to establish general component loss allocations. Qualitative loss factors are based on management's judgment of company, market, industry or business specific data and external economic indicators, which are not yet reflected in the historical loss ratios, and that could impact the Company's loan portfolios. Management sets and adjusts qualitative loss factors by regularly reviewing changes in underlying loan composition of specific portfolios. Management also considers credit quality and trends relating to delinquency, non-performing and adversely rated loans within the Company's loan portfolio when evaluating qualitative loss factors. Additionally, management adjusts qualitative factors to account for the potential impact of external economic factors and other pertinent economic data specific to our primary market area and lending portfolios. For the specific component, the allowance for loan and lease losses includes loans where management has concerns about the borrower's ability to repay and on individually analyzed loans found to be impaired. Management evaluates current information and events regarding a borrower's ability to repay its obligations and considers a loan to be impaired when the ultimate collectability of amounts due, according to the contractual terms of the loan agreement, is in doubt. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. If an impaired loan is collateral-dependent, the fair value of the collateral, less the estimated cost to sell, is used to determine the amount of impairment. If an impaired loan is not collateral-dependent, the impairment amount is determined using the negative difference, if any, between the estimated discounted cash flows and the loan amount due. For impaired loans, the amount of the impairment can be adjusted, based on current data, until such time as the actual basis is established by acquisition of the collateral or until the basis is collected. Impairment losses are reflected in the allowance for loan and lease losses through a charge to the provision for credit losses. Subsequent recoveries are credited to the allowance for loan and lease losses. Cash receipts for accruing loans are applied to principal and interest under the contractual terms of the loan agreement. Cash receipts on impaired loans for which the accrual of interest has been discontinued are applied first to principal. Loan losses are charged against the ALLL when management believes the uncollectability of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the ALLL. Allocations of the ALLL may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged-off. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment, and accordingly, they are not separately identified for impairment disclosures. The Company considers these loans to be homogeneous in nature due to the smaller dollar amount and the similar underwriting criteria. PCI loans are not considered impaired on the acquisition date. For PCI loans, a decline in the present value of current expected cash flows compared to the previously estimated expected cash flows, due in any part to change in credit, is considered an impairment event and a provision for loan losses will be recorded during the period as necessary. A loan that has been modified or renewed is considered a troubled debt restructuring (“TDR”) when two conditions are met: 1) the borrower is experiencing financial difficulty and 2) concessions are made for the borrower's benefit that would not otherwise be considered for a borrower or transaction with similar credit risk characteristics. TDRs are separately identified for impairment and are measured at the present value of estimated future cash flows using the loan’s effective rate at inception. If a TDR is considered to be a collateral dependent loan, the loan is reported, net, at the fair value of the collateral up to the carrying amount of the loan. The following loan portfolio categories have been identified for purposes of determining the general component of the ALLL: Commercial Real Estate — This category of loans consists of the following loan types: Non-farm Non-residential — This category includes real estate loans for a variety of commercial property types and purposes, including owner occupied commercial real estate loans primarily secured by commercial office or industrial buildings, warehouses or retail buildings where the owner of the building occupies the property. Repayment terms vary considerably, interest rates are fixed or variable, and are structured for full, partial, or no amortization of principal. This category also includes investment real estate loans that are primarily secured by office and industrial buildings, warehouses, small retail shopping centers and various special purpose properties. Generally, these types of loans are thought to involve a greater degree of credit risk than owner occupied commercial real estate as they are more sensitive to adverse economic conditions. Multi-family residential — Investment real estate loans are primarily secured by non-owner occupied apartment or multifamily residential buildings. Generally, these types of loans are thought to involve a greater degree of credit risk than owner occupied commercial real estate as they are more sensitive to adverse economic conditions. Construction, land development, land —This category of loans consists of loans to finance the ground up construction, improvement and/or carrying for sale after the completion of construction of owner occupied and non-owner occupied residential and commercial properties, and loans secured by raw or improved land. The repayment of construction loans is generally dependent upon the successful completion of the improvements by the builder for the end user, or sale of the property to a third party. Repayment of land secured loans are dependent upon the successful development and sale of the property, the sale of the land as is, or the outside cash flow of the owners to support the retirement of the debt. 1-4 family residential properties — This category of loans includes both first and junior liens on residential real estate. Home equity revolving lines of credit and home equity term loans are included in this group of loans. Farmland — These loans are principally loans to purchase farmland. Commercial — Commercial loans are loans for commercial, corporate and business purposes. The Company’s commercial business loan portfolio is comprised of loans for a variety of purposes and across a variety of industries. These loans include general commercial and industrial loans, loans to purchase capital equipment, agriculture operating loans and other business loans for working capital and operational purposes. Commercial loans are generally secured by accounts receivable, inventory and other business assets. Commercial loans also include shared national credits purchased by the Company. A portion of the commercial loan portfolio consists of specialty commercial finance products as follows: Equipment — Equipment finance loans are commercial loans primarily secured by new or used revenue producing, essential-use equipment from major manufacturers that is movable, may be used in more than one type of business, and generally has broad resale markets. Core markets include transportation, construction, and waste. Loan terms do not exceed the economic life of the equipment and typically are 60 months or less. Asset-based Lending — These loans are originated to borrowers to support general working capital needs. The asset-based loan structure involves advances of loan proceeds against a borrowing base which typically consists of accounts receivable, identified readily marketable inventory, or other collateral of the borrower. The maximum amount a customer may borrow at any time is fixed as a percentage of the borrowing base outstanding. A portion of the commercial loan portfolio also consists of national lending products as follows: Liquid Credit — Broadly syndicated leveraged loans secured by a variety of collateral types. Premium Finance — Loans that provide customized premium financing solutions for the acquisition of property and casualty insurance coverage. In effect, these short term premium finance loans allow insureds to pay their insurance premiums over the life of the underlying policy, instead of paying the entire premium at the outset. Factored Receivables — The Company operates as a factor by purchasing accounts receivable from its clients, then collecting the receivable from the account debtor. The Company’s smaller factoring relationships are typically structured as “non-recourse” relationships ( i.e. , the Company retains the credit risk associated with the ability of the account debtor on a purchased invoice to ultimately make payment) and the Company’s larger factoring relationships are typically structured as “recourse” relationships ( i.e. , the Company’s client agrees to repurchase any invoices for which payment is not ultimately received from the account debtor). Advances initially made to the client to acquire the receivables are typically at a discount to the invoice value. The discount balance is held in client reserves, net of the Company’s compensation. The client reserves are held to settle any payment disputes or collection shortfalls, may be used to pay clients’ obligations to various third parties as directed by the client, are periodically released to or withdrawn by clients, and are reported as deposits. Consumer — Loans used for personal use typically on an unsecured basis. Mortgage Warehouse — Mortgage Warehouse facilities are provided to unaffiliated mortgage origination companies and are collateralized by 1-4 family residential loans. The originator closes new mortgage loans with the intent to sell these loans to third party investors for a profit. The Company provides funding to the mortgage companies for the period between the origination and their sale of the loan. The Company has a policy that requires that it separately validate that each residential mortgage loan was underwritten consistent with the underwriting requirements of the final investor or market standards prior to advancing funds. The Company is repaid with the proceeds received from sale of the mortgage loan to the final investor. |
Federal Home Loan Bank ("FHLB") Stock | Federal Home Loan Bank (“FHLB”) Stock The Company is a member of the FHLB system. Members of the FHLB are required to own a certain amount of stock based on the level of borrowings and other factors, and may invest in additional amounts. FHLB stock is carried at cost, is restricted as to redemption, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. |
Premises and Equipment | Premises and Equipment Land is carried at cost. Depreciable assets are stated at cost less accumulated depreciation. Leasehold improvements are capitalized and depreciated using the straight-line method over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. Buildings thirty Furniture, fixtures and equipment are depreciated using the straight-line method with useful lives ranging from three to ten years. The Company leases certain properties and equipment under operating leases. For leases in effect upon adoption of Accounting Standards Update 2016-02, “Leases (Topic 842)” at January 1, 2019 and for any leases commencing thereafter, the Company recognizes a liability to make lease payments, the “lease liability”, and an asset representing the right to use the underlying asset during the lease term, the “right-of-use asset”. The lease liability is measured at the present value of the remaining lease payments, discounted at the Company’s incremental borrowing rate. The right-of-use asset is measured at the amount of the lease liability adjusted for the remaining balance of any lease incentives received, any cumulative prepaid or accrued rent if the lease payments are uneven throughout the lease term, any unamortized initial direct costs, and any impairment of the right-of-use-asset. Operating lease expense consists of a single lease cost calculated so that the remaining cost of the lease is allocated over the remaining lease term on a straight-line basis, variable lease payments not included in the lease liability, and any impairment of the right-of-use asset. Certain of the Company’s leases contain options to renew the lease; however, these renewal options are not included in the calculation of the lease liabilities as they are not reasonably certain to be exercised. The Company’s leases do not contain residual value guarantees or material variable lease payments. The Company does not have any material restrictions or covenants imposed by leases that would impact the Company’s ability to pay dividends or cause the Company to incur additional financial obligations. The Company has made an accounting policy election to not apply the recognition requirements in Topic 842 to short-term leases. The Company has also elected to use the practical expedient to make an accounting policy election for property leases to include both lease and nonlease components as a single component and account for it as a lease. The Company’s leases are not complex; therefore there were no significant assumptions or judgements made in applying the requirements of Topic 842, including the determination of whether the contracts contained a lease, the allocation of consideration in the contracts between lease and nonlease components, and the determination of the discount rates for the leases. |
Foreclosed Assets | Foreclosed Assets Assets acquired through loan foreclosure are initially recorded at fair value less costs to sell, establishing a new cost basis. Any write-down in the carrying value of a property at the time of acquisition is charged-off to the allowance for loan and lease losses. After foreclosure, foreclosed assets are carried at the lower of the recorded investment in the asset or the fair value less costs to sell. If fair value declines subsequent to foreclosure, a valuation allowance is recorded through expense. Operating costs after acquisition are expensed . |
Goodwill | Goodwill Goodwill represents the excess of the cost of businesses acquired over the fair value of the net assets acquired. In accordance with ASC 350-20, "Intangibles- Goodwill and Other", the Company evaluates goodwill for impairment on an annual basis or on an interim basis if an event occurs or circumstances change that would more likely than not reduce the fair value below its carrying amount, in accordance with ASC 350-20. The Company’s annual goodwill impairment testing date is October 1. The Company first assesses qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining the need to perform the two-step test for goodwill impairment (the qualitative method). If the qualitative method cannot be used or if it determines, based on the qualitative method, that the fair value is more likely than not less than the carrying amount, the Company uses the two-step test. Under the two-step test, the Company compares the estimated fair value of a reporting unit with its carrying amount, including goodwill. If the estimated fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is considered not impaired. If the carrying amount of a reporting unit exceeds its estimated fair value, the second step of the goodwill impairment test is performed to measure the amount of impairment loss, if any. Step two of the goodwill impairment test compares the implied estimated fair value of reporting unit goodwill with the carrying amount of that goodwill. If the carrying amount of goodwill for that reporting unit exceeds the implied fair value of that unit’s goodwill, an impairment loss is recognized in an amount equal to that excess. Our annual goodwill impairment test did not identify any goodwill impairment for the years ended December 31, 2019, 2018, and 2017. |
Identifiable Intangible Assets | Identifiable Intangible Assets Intangible assets are acquired assets that lack physical substance but can be distinguished from goodwill because of contractual or other legal rights or because the asset is capable of being sold or exchanged either on its own or in combination with a related contract, asset, or liability. The Company's intangible assets primarily relate to core deposits and customer relationships. Intangible assets with definite useful lives are amortized on an accelerated basis over their estimated life. Intangible assets, premises and equipment and other long-lived assets are tested for impairment whenever events or changes in circumstances indicate the carrying amount of the assets may not be recoverable from future undiscounted cash flows. If impaired, the assets are recorded at fair value with a charge to amortization of intangible assets. |
Bank Owned Life Insurance | Bank Owned Life Insurance The Company has purchased life insurance policies on certain key employees. The purchase of these life insurance policies allows the Company to use tax-advantaged rates of return. Bank-owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due that are probable at settlement. |
Income Taxes | Income Taxes The Company files a consolidated tax return with its subsidiaries and is taxed as a C corporation. Deferred tax assets and liabilities are reflected at currently enacted income tax rates applicable to the period in which the deferred tax assets and liabilities are expected to be realized or settled. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. A tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. The Company recognizes interest and penalties related to income tax matters in income tax expense. |
Fair Values of Financial Instruments | Fair Values of Financial Instruments In general, fair values of financial instruments are based upon quoted market prices, where available. If such quoted market prices are not available, fair value is based upon internally developed models that may use, as inputs, observable market-based parameters. Valuation adjustments may be made to ensure that financial instruments are recorded at fair value. These adjustments may include amounts to reflect counterparty credit quality and/or the Company’s creditworthiness, among other things, as well as unobservable parameters. Any such valuation adjustments are applied consistently over time. Changes in assumptions or in market conditions could significantly affect these estimates. In the ordinary course of business, the Company generally does not sell or transfer non-impaired loans and deposits. As such, the disclosures that present the December 31, 2019 and 2018 estimated fair value for non-impaired loans and deposits are highly judgmental and may not represent amounts to be received if the Company were to sell or transfer such items. |
Revenue from Contracts with Customers | Revenue from Contracts with Customers The Company records revenue from contracts with customers in accordance with Accounting Standards Codification Topic 606, “Revenue from Contracts with Customers” (“Topic 606”). Under Topic 606, the Company must identify the contract with a customer, identify the performance obligations in the contract, determine the transaction price, allocate the transaction price to the performance obligations in the contract, and recognize revenue when (or as) the Company satisfies a performance obligation. Significant revenue has not been recognized in the current reporting period that results from performance obligations satisfied in previous periods. The Company’s primary sources of revenue are derived from interest and dividends earned on loans, investment securities, and other financial instruments that are not within the scope of Topic 606. The Company has evaluated the nature of its contracts with customers and determined that further disaggregation of revenue from contracts with customers into more granular categories beyond what is presented in the Consolidated Statements of Income was not necessary. The Company generally fully satisfies its performance obligations on its contracts with customers as services are rendered and the transaction prices are typically fixed; charged either on a periodic basis or based on activity. Because performance obligations are satisfied as services are rendered and the transaction prices are fixed, the Company has made no significant judgments in applying the revenue guidance prescribed in ASC 606 that affect the determination of the amount and timing of revenue from contracts with customers. |
Asset Management Fees | Asset Management Fees On March 31, 2017, the Company sold its membership interests in TCA. At the date of sale, the Company ceased to provide fee based asset management services. Prior to the sale of TCA, asset management fee income was recognized through the Company’s collateralized loan obligation (“CLO”) asset management business operated by TCA and consisted of senior (or base) asset management fees, subordinated management fees, and performance-based incentive fees. Senior and subordinated management fees were based upon a fixed fee rate applied to the amount of outstanding assets being managed by TCA and were accrued by the Company as earned. Performance-based incentive fees were variable in nature and dependent upon the performance of a managed CLO above a prescribed level. The Company did not accrue for performance-based incentive fees that were not finalized until the end of a specified contract period, but recorded such revenues only when final payment was confirmed and related services were completed. The Company did not recognized any revenue that is at risk due to future asset management performance contingencies. TCA also entered into transactions whereby it earned asset management fee income through the provision of middle and back office services to other CLO asset managers. |
Operating Segments | Operating Segments The Company’s reportable segments are comprised of strategic business units primarily based upon industry categories and to a lesser extent, the core competencies relating to product origination, distribution methods, operations and servicing. Segment determination also considered organizational structure and our segment reporting is consistent with the presentation of financial information to the chief operating decision maker to evaluate segment performance, develop strategy, and allocate resources. Our chief operating decision maker is the Chief Executive Officer of Triumph Bancorp, Inc. We have determined our reportable segments are Banking, Factoring, and Corporate. The banking segment includes the operations of TBK Bank. The banking segment derives its revenue principally from investments in interest earning assets as well as noninterest income typical for the banking industry. The banking segment also includes commercial factoring services which are originated through the commercial finance division of TBK Bank. The factoring segment includes the operations of TBC with revenue derived from factoring services. The corporate segment includes holding company financing and investment activities and management and administrative expenses to support the overall operations of the Company. On March 31, 2017, the Company sold its 100% membership interest in Triumph Capital Advisors, LLC and discontinued fee based asset management services. TCA operations for the year ended December 31, 2017 are reflected in the Corporate segment, along with the gain on sale of the Company’s membership interest in TCA. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) Comprehensive income (loss) consists of net income and other comprehensive income (loss). Other comprehensive income includes unrealized gains and losses on debt securities available for sale, net of taxes, which are also recognized as a separate component of equity. |
Loss Contingencies | Loss Contingencies Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe such matters exist that will have a material effect on the financial statements. |
Transfers of Financial Assets | Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been relinquished. Control over transferred assets is deemed to be relinquished when (i) the assets have been isolated from the Company, (ii) the transferee has the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (iii) the Company does not maintain effective control over the transferred assets through either (a) an agreement that entitles and obligates the Company to repurchase or redeem them before their maturity or (b) the ability to unilaterally cause the transferee to return specific assets. |
Stock-Based Compensation | Stock Based Compensation Compensation cost is recognized for stock based payment awards issued to employees and directors, based on the fair value of these awards at the date of grant. A Black-Scholes model is utilized to estimate the fair value of stock options, a Monte Carlo simulation is utilized to estimate the fair value of market based performance stock units, and the market price of the Company’s common stock at the date of grant is used for restricted stock awards, restricted stock units, and performance based performance stock units. Compensation cost is recognized over the required service period, generally defined as the vesting period. The Company recognizes forfeitures of nonvested awards as they occur. |
Earnings Per Common Share | Earnings Per Common Share Basic earnings per common share is net income less dividends on preferred stock divided by the weighted average number of common shares outstanding during the period excluding nonvested restricted stock awards. Diluted earnings per common share includes the dilutive effect of additional potential common shares issuable under stock warrants, restricted stock, stock options, and preferred shares that are convertible to common shares. |
Advertising Costs | Advertising Costs Advertising costs are expensed as incurred. |
Adoption of New Accounting Standards | Adoption of New Accounting Standards In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, “Leases (Topic 842)” (“ASU 2016-02”). The FASB issued this ASU to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet by lessees for those leases classified as operating leases under current U.S. GAAP and disclosing key information about leasing arrangements. The new standard was adopted by the Company on January 1, 2019. ASU 2016-02 provides for a modified retrospective transition approach requiring lessees to recognize and measure leases on the balance sheet at the beginning of either the earliest period presented or as of the beginning of the period of adoption. The Company elected to apply ASU 2016-02 as of the beginning of the period of adoption (January 1, 2019) and did not restate comparative periods. Adoption of ASU 2016-02 resulted in the recognition of lease liabilities totaling $21,918,000 and the recognition of right-of-use assets totaling $22,123,000 as of the date of adoption. Lease liabilities and right-of-use assets are reflected in other liabilities and other assets, respectively. The initial balance sheet gross up upon adoption was primarily related to operating leases of certain real estate properties. The Company has no finance leases or material subleases or leasing arrangements for which it is the lessor of property or equipment. The Company has elected to apply the package of practical expedients allowed by the new standard under which the Company need not reassess whether any expired or existing contracts are leases or contain leases, the Company need not reassess the lease classification for any expired or existing lease, and the Company need not reassess initial direct costs for any existing leases. Adoption of ASU 2016-02 does not materially change the Company’s recognition of lease expense. See Note 6 – Premises and Equipment for additional disclosures related to leases. |
Newly Issued, But Not Yet Effective Accounting Standards | Newly Issued, But Not Yet Effective Accounting Standards In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”). ASU 2016-13 makes significant changes to the accounting for credit losses on financial instruments presented on an amortized cost basis and disclosures about them. The new current expected credit loss (CECL) impairment model will require an estimate of expected credit losses, measured over the contractual life of an instrument, which considers reasonable and supportable forecasts of future economic conditions in addition to information about past events and current conditions. The standard provides significant flexibility and requires a high degree of judgment with regards to pooling financial assets with similar risk characteristics and adjusting the relevant historical loss information in order to develop an estimate of expected lifetime losses. In addition, ASU 2016-13 amends the accounting for credit losses on debt securities and purchased financial assets with credit deterioration. The amendments in ASU 2016-13 are effective for fiscal years beginning after December 31, 2019, and interim periods within those years SEC filers that are not smaller reporting companies. The Company will adopt ASU 2016-13 on January 1, 2020 using the modified retrospective approach. ASU 2016-13 permits the use of estimation techniques that are practical and relevant to the Company’s circumstances, as long as they are applied consistently over time and faithfully estimate expected credit losses in accordance with the standard. The ASU lists several common credit loss methods that are acceptable such as a discounted cash flow (DCF) method, loss-rate method and roll-rate method. The Company has developed new expected credit loss estimation models. Depending on the nature of each identified pool of financial assets with similar risk characteristics, the Company will implement a DCF method or a loss-rate method to estimate expected credit losses. Incorporating reasonable and supportable forecasts of economic conditions into the estimate of expected credit losses will require significant judgment, such as selecting economic variables and forecast scenarios as well as determining the appropriate length of the forecast horizon. Management will estimate credit losses over a forecast horizon and revert to long term historical loss experience on a straight line basis. Management will select economic variables it believes to be most relevant based on the composition of the loan portfolio, likely to include forecasted levels of employment, retail sales, gross domestic product, and home price index, depending on the nature of the loan segment. Management currently intends to leverage economic projections from a reputable and independent third party to inform its reasonable and supportable forecasts over the one-year Based on our funded loan portfolio and our outstanding commitments to lend at the adoption date and management’s expectation of future economic conditions at that time, the balances of the allowance for credit losses and the reserve for off balance sheet lending commitments are not expected to materially change upon adoption of ASU 2016-13. More specifically, the allowance for credit losses is expected to increase slightly for the real estate lending portfolios given their longer contractual maturities relative to the loan portfolio as a whole. The commercial and industrial portfolios and the factored receivables portfolio make up the majority of the loan portfolio and consist of loans and lending arrangements with relatively short contractual maturities that are expected to result in a slight reduction to the allowance for credit losses. This expected impact at adoption also includes certain qualitative adjustments to the allowance for credit losses. Based upon the nature and characteristics of our securities portfolios (including issuer specific matters) at the adoption date, the macroeconomic conditions and forecasts at that date, and other management judgments, management does not currently expect to record any allowance for credit losses on available for sale securities and does not expect that the allowance for credit losses on held to maturity securities will be material upon adoption of ASU 2016-13. As a result of the aforementioned expected adjustments and net of the impact to corresponding deferred tax assets, management does not expect a material adjustment to retained earnings upon adoption of ASU 2016-13. |
Business Combinations and Div_2
Business Combinations and Divestitures (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Triumph Healthcare Finance | |
Business Acquisition [Line Items] | |
Summary of Assets Held for Sale and Consideration Received and Gain on Sale | A summary of the carrying amount of the assets in the Disposal Group and the gain on sale is as follows: (Dollars in thousands) Carrying amount of assets in the disposal group: Loans $ 70,147 Premises and equipment, net 19 Goodwill 1,457 Intangible assets, net 958 Other assets 197 Total carrying amount 72,778 Total consideration received 74,017 Gain on sale of division 1,239 Transaction costs 168 Gain on sale of division, net of transaction costs $ 1,071 |
Triumph Capital Advisors, LLC | |
Business Acquisition [Line Items] | |
Summary of Assets Held for Sale and Consideration Received and Gain on Sale | A summary of the consideration received and the gain on sale is as follows: (Dollars in thousands) Consideration received (fair value): Cash $ 10,554 Loan receivable 10,500 Revenue share 1,623 Total consideration received 22,677 Carrying value of TCA membership interest 1,417 Gain on sale of subsidiary 21,260 Transaction costs 400 Gain on sale of subsidiary, net of transaction costs $ 20,860 |
First Bancorp of Durango, Inc. And Southern Colorado Corp. | |
Business Acquisition [Line Items] | |
Summary of Fair Values of the Identifiable Assets Acquired and Liabilities Assumed | A summary of the estimated fair values of assets acquired, liabilities assumed, consideration transferred, and the resulting goodwill is as follows: (Dollars in thousands) FBD SCC Total Assets acquired: Cash and cash equivalents $ 151,973 $ 14,299 $ 166,272 Securities 237,183 33,477 270,660 Loans held for sale 1,238 — 1,238 Loans 256,384 31,454 287,838 FHLB stock 786 129 915 Premises and equipment 7,495 840 8,335 Other real estate owned 213 — 213 Intangible assets 11,915 2,154 14,069 Other assets 2,715 403 3,118 669,902 82,756 752,658 Liabilities assumed: Deposits 601,194 73,464 674,658 Federal Home Loan Bank advances 737 — 737 Other liabilities 1,313 64 1,377 603,244 73,528 676,772 Fair value of net assets acquired 66,658 9,228 75,886 Cash consideration transferred 134,667 13,294 147,961 Goodwill $ 68,009 $ 4,066 $ 72,075 |
Summary of Acquired Loans | In connection with the acquisitions, the Company acquired loans both with and without evidence of credit quality deterioration since origination. The acquired loans were initially recorded at fair value with no carryover of any allowance for loan and lease losses. Acquired loans were segregated between those considered to be purchased credit impaired (“PCI”) loans and those without credit impairment at acquisition. The following table presents details of the estimated fair value of acquired loans at the acquisition date: Loans Excluding PCI Loans PCI Loans Total Loans (Dollars in thousands) FBD SCC Total FBD SCC Total Acquired Commercial real estate $ 140,955 $ 11,894 $ 152,849 $ 832 $ 200 $ 1,032 $ 153,881 Construction, land development, land 13,949 5,229 19,178 3,081 — 3,081 22,259 1-4 family residential properties 59,228 10,180 69,408 75 — 75 69,483 Farmland 5,709 1,207 6,916 — — — 6,916 Commercial 26,125 2,121 28,246 1,020 — 1,020 29,266 Factored receivables — — — — — — — Consumer 5,410 623 6,033 — — — 6,033 Mortgage warehouse — — — — — — — $ 251,376 $ 31,254 $ 282,630 $ 5,008 $ 200 $ 5,208 $ 287,838 |
Schedule of Loans Acquired in Business Combination | The following presents information at the acquisition date for non-PCI loans acquired in the transactions: (Dollars in thousands) FBD SCC Total Contractually required principal and interest payments $ 318,674 $ 38,590 $ 357,264 Contractual cash flows not expected to be collected $ 4,255 $ 550 $ 4,805 Fair value at acquisition $ 251,376 $ 31,254 $ 282,630 The following presents information at the acquisition date for PCI loans acquired in the transactions: (Dollars in thousands) FBD SCC Total Contractually required principal and interest payments $ 10,511 $ 269 $ 10,780 Contractual cash flows not expected to be collected (nonaccretable difference) 2,570 5 2,575 Expected cash flows at acquisition 7,941 264 8,205 Interest component of expected cash flows (accretable yield) 2,933 64 2,997 Fair value of loans acquired with deterioration of credit quality $ 5,008 $ 200 $ 5,208 |
Schedule of Supplemental Pro Forma Information on Acquisition | The following table presents unaudited supplemental pro forma information for the years ended December 31, 2018 and 2017 as if the FBD and SCC acquisitions had occurred at the beginning of 2017. The supplemental pro forma information includes adjustments for interest income on loans acquired, depreciation expense on property acquired, amortization of intangibles arising from the transactions, and the related income tax effects. Additionally, because FBD and SCC were Subchapter S corporations before the acquisitions and did not incur any federal income tax liabilities, adjustments have been included to estimate the impact of federal income taxes on FBD and SCC’s net income for the periods presented. The supplemental pro forma financial information is not necessarily indicative of the results of operations that would have occurred had the transactions been completed on the assumed date. Year Ended December 31, 2018 (Dollars in thousands) FBD SCC Total Net interest income $ 241,322 $ 228,797 $ 243,069 Noninterest income $ 26,473 $ 23,412 $ 26,915 Net income $ 52,269 $ 51,541 $ 52,102 Basic earnings per common share $ 2.00 $ 2.05 $ 1.99 Diluted earnings per common share $ 1.97 $ 2.01 $ 1.96 Year Ended December 31, 2017 (Dollars in thousands) FBD SCC Total Net interest income $ 176,154 $ 158,166 $ 178,636 Noninterest income $ 45,570 $ 41,166 $ 46,080 Net income $ 39,211 $ 36,475 $ 39,466 Basic earnings per common share $ 1.68 $ 1.83 $ 1.66 Diluted earnings per common share $ 1.65 $ 1.79 $ 1.63 |
Valley Bancorp, Inc. | |
Business Acquisition [Line Items] | |
Summary of Fair Values of the Identifiable Assets Acquired and Liabilities Assumed | A summary of the estimated fair values of assets acquired, liabilities assumed, consideration transferred, and the resulting goodwill is as follows: (Dollars in thousands) Assets acquired: Cash and cash equivalents $ 38,473 Securities 97,687 Loans 171,199 FHLB stock 315 Premises and equipment 6,238 Other real estate owned 2,282 Intangible assets 6,072 Bank-owned life insurance 7,153 Other assets 1,882 331,301 Liabilities assumed: Deposits 293,398 Junior subordinated debentures 5,470 Other liabilities 2,881 301,749 Fair value of net assets acquired 29,552 Consideration transferred 40,075 Goodwill $ 10,523 |
Summary of Acquired Loans | In connection with the acquisition, the Company acquired loans both with and without evidence of credit quality deterioration since origination. The acquired loans were initially recorded at fair value with no carryover of any allowance for loan and lease losses. Acquired loans were segregated between those considered to be purchased credit impaired (“PCI”) loans and those without credit impairment at acquisition. The following table presents details of the estimated fair value of acquired loans at the acquisition date: Loans, Excluding PCI Total (Dollars in thousands) PCI Loans Loans Loans Commercial real estate $ 73,273 $ 254 $ 73,527 Construction, land development, land 19,770 1,199 20,969 1-4 family residential properties 26,264 — 26,264 Farmland 16,934 — 16,934 Commercial 31,893 — 31,893 Factored receivables — — — Consumer 1,612 — 1,612 Mortgage warehouse — — — $ 169,746 $ 1,453 $ 171,199 |
Schedule of Loans Acquired in Business Combination | The following presents information at the acquisition date for non-PCI loans acquired in the transaction: (Dollars in thousands) Contractually required principal and interest payments $ 214,139 Contractual cash flows not expected to be collected $ 3,646 Fair value at acquisition $ 169,746 The following presents information at the acquisition date for PCI loans acquired in the transaction: (Dollars in thousands) Contractually required principal and interest payments $ 2,599 Contractual cash flows not expected to be collected (nonaccretable difference) 775 Expected cash flows at acquisition 1,824 Interest component of expected cash flows (accretable yield) 371 Fair value of loans acquired with deterioration of credit quality $ 1,453 |
Independent Bank - Colorado Branches | |
Business Acquisition [Line Items] | |
Summary of Fair Values of the Identifiable Assets Acquired and Liabilities Assumed | A summary of the estimated fair values of assets acquired, liabilities assumed, consideration transferred, and the resulting goodwill is as follows: (Dollars in thousands) Assets acquired: Cash and cash equivalents $ 1,611 Loans 95,794 Premises and equipment 7,524 Intangible assets 3,255 Other assets 1,644 109,828 Liabilities assumed: Deposits 160,702 Other liabilities 249 160,951 Fair value of net assets acquired (51,123 ) Cash received from seller, net of $6,771 deposit premium 45,306 Goodwill $ 5,817 |
Summary of Acquired Loans | The loans acquired in the transaction were initially recorded at fair value with no carryover of any allowance for loan and lease losses. There were no loans acquired that were considered to be purchased credit impaired (“PCI”) loans. The following table presents details of the estimated fair value of acquired loans at the acquisition date: (Dollars in thousands) Commercial real estate $ 13,382 Construction, land development, land 537 1-4 family residential properties 6,986 Farmland 31,490 Commercial 43,104 Factored receivables — Consumer 295 Mortgage warehouse — $ 95,794 |
Schedule of Loans Acquired in Business Combination | The following presents information at the acquisition date for non-PCI loans acquired in the transaction: (Dollars in thousands) Contractually required principal and interest payments $ 122,498 Contractual cash flows not expected to be collected $ 3,415 Fair value at acquisition $ 95,794 |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Schedule Of Debt Securities And Equity Securities [Line Items] | |
Schedule of Gross Realized and Unrealized Gains (Losses) Recognized on Equity Securities | The Company held equity securities with fair values of $5,437,000 and $5,044,000 at December 31, 2019 and 2018, respectively. The gross realized and unrealized gains (losses) recognized on equity securities with readily determinable fair values in noninterest income in the Company’s consolidated statements of income were as follows: (Dollars in thousands) 2019 2018 Unrealized gains (losses) on equity securities still held at the reporting date $ 393 $ 38 Realized gains (losses) on equity securities sold during the period — — $ 393 $ 38 |
Debt Securities [Member] | |
Schedule Of Debt Securities And Equity Securities [Line Items] | |
Schedule of Amortized Cost of Securities and Their Estimated Fair Values | Debt securities have been classified in the financial statements as available for sale or held to maturity. The amortized cost of securities and their estimated fair values are as follows: Gross Gross (Dollars in thousands) Amortized Unrealized Unrealized Fair December 31, 2019 Cost Gains Losses Value Available for sale securities: U.S. Government agency obligations $ 39,679 $ 115 $ (34 ) $ 39,760 Mortgage-backed securities, residential 37,324 728 (36 ) 38,016 Asset-backed securities 8,039 — (80 ) 7,959 State and municipal 31,746 327 (8 ) 32,065 CLO Securities 75,592 39 (358 ) 75,273 Corporate bonds 50,889 695 (1 ) 51,583 SBA pooled securities 4,112 53 (1 ) 4,164 Total available for sale securities $ 247,381 $ 1,957 $ (518 ) $ 248,820 Gross Gross (Dollars in thousands) Amortized Unrecognized Unrecognized Fair December 31, 2019 Cost Gains Losses Value Held to maturity securities: CLO securities $ 8,417 $ — $ (1,510 ) $ 6,907 Gross Gross (Dollars in thousands) Amortized Unrealized Unrealized Fair December 31, 2018 Cost Gains Losses Value Available for sale securities: U.S. Government agency obligations $ 93,500 $ 9 $ (861 ) $ 92,648 U.S. Treasury notes 1,956 — (24 ) 1,932 Mortgage-backed securities, residential 39,971 222 (457 ) 39,736 Asset-backed securities 10,165 11 (31 ) 10,145 State and municipal 118,826 175 (550 ) 118,451 Corporate bonds 68,804 150 (167 ) 68,787 SBA pooled securities 4,766 5 (47 ) 4,724 Total available for sale securities $ 337,988 $ 572 $ (2,137 ) $ 336,423 Gross Gross (Dollars in thousands) Amortized Unrecognized Unrecognized Fair December 31, 2018 Cost Gains Losses Value Held to maturity securities: CLO securities $ 8,487 $ — $ (1,161 ) $ 7,326 |
Schedule of Amortized Cost and Estimated Fair Value of Debt Securities by Contractual Maturity | The amortized cost and estimated fair value of debt securities at December 31, 2019, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Available for Sale Securities Held to Maturity Securities Amortized Fair Amortized Fair (Dollars in thousands) Cost Value Cost Value Due in one year or less $ 70,224 $ 70,561 $ — $ — Due from one year to five years 40,745 41,328 — — Due from five years to ten years 10,760 10,829 8,417 6,907 Due after ten years 76,177 75,963 — — 197,906 198,681 8,417 6,907 Mortgage-backed securities, residential 37,324 38,016 — — Asset-backed securities 8,039 7,959 — — SBA pooled securities 4,112 4,164 — — $ 247,381 $ 248,820 $ 8,417 $ 6,907 |
Schedule of Proceeds from Sales of Debt Securities and the Associated Gross Gains and Losses | Proceeds from sales of debt securities and the associated gross gains and losses are as follows: (Dollars in thousands) 2019 2018 2017 Proceeds $ 40,617 $ 123,016 $ 32,441 Gross gains 191 5 35 Gross losses (130 ) (277 ) — |
Schedule of Information Pertaining to Debt Securities with Gross Unrealized Losses | Information pertaining to debt securities with gross unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous loss position, are summarized as follows: Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized December 31, 2019 Value Losses Value Losses Value Losses Available for sale securities: U.S. Government agency obligations $ — $ — $ 12,331 $ (34 ) $ 12,331 $ (34 ) Mortgage-backed securities, residential 3,549 (29 ) 777 (7 ) 4,326 (36 ) Asset-backed securities 2,986 (36 ) 4,973 (44 ) 7,959 (80 ) State and municipal 562 — 3,426 (8 ) 3,988 (8 ) CLO Securities 58,160 (358 ) — — 58,160 (358 ) Corporate bonds — — 149 (1 ) 149 (1 ) SBA pooled securities 354 — 9 (1 ) 363 (1 ) Total available for sale securities $ 65,611 $ (423 ) $ 21,665 $ (95 ) $ 87,276 $ (518 ) Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Unrecognized Fair Unrecognized Fair Unrecognized December 31, 2019 Value Losses Value Losses Value Losses Held to maturity securities: CLO securities $ — $ — $ 6,907 $ (1,510 ) $ 6,907 $ (1,510 ) Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized December 31, 2018 Value Losses Value Losses Value Losses Available for sale securities: U.S. Government agency obligations $ 17,203 $ (83 ) $ 72,471 $ (778 ) $ 89,674 $ (861 ) U.S. Treasury notes — — 1,932 (24 ) 1,932 (24 ) Mortgage-backed securities, residential 9,334 (97 ) 13,910 (360 ) 23,244 (457 ) Asset-backed securities 197 (1 ) 4,970 (30 ) 5,167 (31 ) State and municipal 31,142 (201 ) 22,478 (349 ) 53,620 (550 ) Corporate bonds 41,874 (166 ) 149 (1 ) 42,023 (167 ) SBA pooled securities 2,602 (20 ) 1,451 (27 ) 4,053 (47 ) Total available for sale securities $ 102,352 $ (568 ) $ 117,361 $ (1,569 ) $ 219,713 $ (2,137 ) Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Unrecognized Fair Unrecognized Fair Unrecognized December 31, 2018 Value Losses Value Losses Value Losses Held to maturity securities: CLO securities $ 2,861 $ (242 ) $ 4,465 $ (919 ) $ 7,326 $ (1,161 ) |
Loans and Allowance for Loan _2
Loans and Allowance for Loan and Lease Losses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Loans And Leases Receivable Disclosure [Abstract] | |
Schedule of Loans Held for Sale | The following table presents loans held for sale: (Dollars in thousands) December 31, 2019 December 31, 2018 1-4 family residential $ 2,735 $ 2,106 Commercial — — Total loans held for sale $ 2,735 $ 2,106 |
Schedule of Recorded Investment and Unpaid Principal | The following table presents the recorded investment and unpaid principal for loans held for investment: December 31, 2019 December 31, 2018 Recorded Unpaid Recorded Unpaid (Dollars in thousands) Investment Principal Difference Investment Principal Difference Commercial real estate $ 1,046,961 $ 1,051,684 $ (4,723 ) $ 992,080 $ 999,887 $ (7,807 ) Construction, land development, land 160,569 162,335 (1,766 ) 179,591 183,664 (4,073 ) 1-4 family residential properties 179,425 180,340 (915 ) 190,185 191,852 (1,667 ) Farmland 154,975 156,995 (2,020 ) 170,540 173,583 (3,043 ) Commercial 1,342,683 1,346,444 (3,761 ) 1,114,971 1,118,028 (3,057 ) Factored receivables 619,986 621,697 (1,711 ) 617,791 620,103 (2,312 ) Consumer 21,925 21,994 (69 ) 29,822 29,956 (134 ) Mortgage warehouse 667,988 667,988 — 313,664 313,664 — Total 4,194,512 $ 4,209,477 $ (14,965 ) 3,608,644 $ 3,630,737 $ (22,093 ) Allowance for loan and lease losses (29,092 ) (27,571 ) $ 4,165,420 $ 3,581,073 |
Summary of Allowance for Loan and Lease Losses | Allowance for Loan and Lease Losses The activity in the allowance for loan and lease losses (“ALLL”) is as follows: (Dollars in thousands) Beginning Reclassification Ending Year ended December 31, 2019 Balance Provision Charge-offs Recoveries To Held For Sale Balance Commercial real estate $ 4,493 $ 1,163 $ (304 ) $ 1 $ — $ 5,353 Construction, land development, land 1,134 234 (78 ) 92 — 1,382 1-4 family residential properties 317 71 (141 ) 61 — 308 Farmland 535 400 (265 ) — — 670 Commercial 12,865 2,580 (3,326 ) 447 — 12,566 Factored receivables 7,299 2,556 (2,494 ) 296 — 7,657 Consumer 615 583 (876 ) 166 — 488 Mortgage warehouse 313 355 — — — 668 $ 27,571 $ 7,942 $ (7,484 ) $ 1,063 $ — $ 29,092 (Dollars in thousands) Beginning Reclassification Ending Year ended December 31, 2018 Balance Provision Charge-offs Recoveries To Held For Sale Balance Commercial real estate $ 3,435 $ 1,044 $ (90 ) $ 104 $ — $ 4,493 Construction, land development, land 883 293 (59 ) 17 — 1,134 1-4 family residential properties 293 23 (17 ) 18 — 317 Farmland 310 425 (200 ) — — 535 Commercial 8,150 10,052 (5,855 ) 518 — 12,865 Factored receivables 4,597 3,857 (1,224 ) 69 — 7,299 Consumer 783 457 (989 ) 364 — 615 Mortgage warehouse 297 16 — — — 313 $ 18,748 $ 16,167 $ (8,434 ) $ 1,090 $ — $ 27,571 (Dollars in thousands) Beginning Reclassification Ending Year ended December 31, 2017 Balance Provision Charge-offs Recoveries To Held For Sale Balance Commercial real estate $ 1,813 $ 1,822 $ (259 ) $ 59 $ — $ 3,435 Construction, land development, land 465 825 (582 ) 175 — 883 1-4 family residential properties 253 24 (31 ) 47 — 293 Farmland 170 140 — — — 310 Commercial 8,014 5,785 (4,875 ) 1,329 (2,103 ) 8,150 Factored receivables 4,088 2,058 (1,667 ) 118 — 4,597 Consumer 420 859 (1,004 ) 508 — 783 Mortgage warehouse 182 115 — — — 297 $ 15,405 $ 11,628 $ (8,418 ) $ 2,236 $ (2,103 ) $ 18,748 |
Summary of Individual and Collective Allowance for Loan Losses and Loan Balances by Class | The following table presents loans individually and collectively evaluated for impairment, as well as purchased credit impaired (“PCI”) loans, and their respective ALLL allocations: (Dollars in thousands) Loan Evaluation ALLL Allocations December 31, 2019 Individually Collectively PCI Total loans Individually Collectively PCI Total ALLL Commercial real estate $ 7,455 $ 1,030,439 $ 9,067 $ 1,046,961 $ 344 $ 5,009 $ — $ 5,353 Construction, land development, land 2,138 155,985 2,446 160,569 271 1,111 — 1,382 1-4 family residential properties 1,728 177,189 508 179,425 33 275 — 308 Farmland 6,638 148,233 104 154,975 — 670 — 670 Commercial 15,618 1,326,515 550 1,342,683 1,278 11,284 4 12,566 Factored receivables 15,947 604,039 — 619,986 3,178 4,479 — 7,657 Consumer 327 21,598 — 21,925 9 479 — 488 Mortgage warehouse — 667,988 — 667,988 — 668 — 668 $ 49,851 $ 4,131,986 $ 12,675 $ 4,194,512 $ 5,113 $ 23,975 $ 4 $ 29,092 (Dollars in thousands) Loan Evaluation ALLL Allocations December 31, 2018 Individually Collectively PCI Total loans Individually Collectively PCI Total ALLL Commercial real estate $ 7,097 $ 974,280 $ 10,703 $ 992,080 $ 487 $ 4,006 $ — $ 4,493 Construction, land development, land 91 172,709 6,791 179,591 21 1,113 — 1,134 1-4 family residential properties 2,333 186,664 1,188 190,185 125 192 — 317 Farmland 7,424 162,735 381 170,540 72 463 — 535 Commercial 17,153 1,096,813 1,005 1,114,971 1,958 10,903 4 12,865 Factored receivables 6,759 611,032 — 617,791 1,968 5,331 — 7,299 Consumer 355 29,467 — 29,822 22 593 — 615 Mortgage warehouse — 313,664 — 313,664 — 313 — 313 $ 41,212 $ 3,547,364 $ 20,068 $ 3,608,644 $ 4,653 $ 22,914 $ 4 $ 27,571 |
Summary of Information Pertaining to Impaired Loans | The following is a summary of information pertaining to impaired loans. PCI loans that have not deteriorated subsequent to acquisition are not considered impaired and therefore do not require an ALLL and are excluded from these tables. Impaired Loans and PCI Impaired Loans Impaired Loans With a Valuation Allowance Without a Valuation Allowance (Dollars in thousands) Recorded Unpaid Related Recorded Unpaid December 31, 2019 Investment Principal Allowance Investment Principal Commercial real estate $ 878 $ 907 $ 344 $ 6,577 $ 6,643 Construction, land development, land 935 935 271 1,203 1,305 1-4 family residential properties 35 22 33 1,693 1,799 Farmland — — — 6,638 6,819 Commercial 6,032 6,053 1,278 9,586 9,751 Factored receivables 15,940 15,940 3,178 7 7 Consumer 17 16 9 310 311 Mortgage warehouse — — — — — PCI 71 55 4 — — $ 23,908 $ 23,928 $ 5,117 $ 26,014 $ 26,635 Impaired Loans and PCI Impaired Loans Impaired Loans With a Valuation Allowance Without a Valuation Allowance (Dollars in thousands) Recorded Unpaid Related Recorded Unpaid December 31, 2018 Investment Principal Allowance Investment Principal Commercial real estate $ 5,610 $ 5,614 $ 487 $ 1,487 $ 1,520 Construction, land development, land 91 91 21 — — 1-4 family residential properties 225 216 125 2,108 2,255 Farmland 914 900 72 6,510 6,979 Commercial 5,235 5,254 1,958 11,918 12,089 Factored receivables 6,759 6,759 1,968 — — Consumer 63 57 22 292 296 Mortgage warehouse — — — — — PCI 71 55 4 — — $ 18,968 $ 18,946 $ 4,657 $ 22,315 $ 23,139 The following table presents average impaired loans and interest recognized on impaired loans: Years Ended December 31, 2019 December 31, 2018 December 31, 2017 Average Interest Average Interest Average Interest (Dollars in thousands) Impaired Loans Recognized Impaired Loans Recognized Impaired Loans Recognized Commercial real estate $ 7,276 $ 117 $ 4,055 $ 86 $ 1,234 $ 33 Construction, land development, land 1,114 35 113 — 249 — 1-4 family residential properties 2,031 47 2,486 77 1,867 45 Farmland 7,031 107 5,612 197 2,567 45 Commercial 16,386 605 21,885 870 29,825 599 Factored receivables 11,353 — 5,742 — 3,951 — Consumer 341 7 369 14 229 9 Mortgage warehouse — — — — — — PCI 71 — 35 — 262 — $ 45,603 $ 918 $ 40,297 $ 1,244 $ 40,184 $ 731 |
Summary of Contractually Past Due and Nonaccrual Loans | Past Due and Nonaccrual Loans The following is a summary of contractually past due and nonaccrual loans: Past Due Past Due 90 (Dollars in thousands) 30-89 Days Days or More December 31, 2019 Still Accruing Still Accruing Nonaccrual Total Commercial real estate $ 1,356 $ — $ 7,455 $ 8,811 Construction, land development, land — — 2,138 2,138 1-4 family residential properties 1,783 — 1,647 3,430 Farmland 52 — 6,390 6,442 Commercial 5,478 — 15,565 21,043 Factored receivables 36,300 4,226 — 40,526 Consumer 881 — 327 1,208 Mortgage warehouse — — — — PCI 5,739 — 2,532 8,271 $ 51,589 $ 4,226 $ 36,054 $ 91,869 Past Due Past Due 90 (Dollars in thousands) 30-89 Days Days or More December 31, 2018 Still Accruing Still Accruing Nonaccrual Total Commercial real estate $ 2,625 $ 397 $ 7,096 $ 10,118 Construction, land development, land 1,003 — 91 1,094 1-4 family residential properties 2,103 — 1,588 3,691 Farmland 308 — 4,059 4,367 Commercial 3,728 999 14,071 18,798 Factored receivables 41,135 2,152 — 43,287 Consumer 1,005 11 355 1,371 Mortgage warehouse — — — — PCI 788 — 3,525 4,313 $ 52,695 $ 3,559 $ 30,785 $ 87,039 |
Schedule of Nonperforming Loans | The following table presents information regarding nonperforming loans: (Dollars in thousands) December 31, 2019 December 31, 2018 Nonaccrual loans (1) $ 36,054 $ 30,785 Factored receivables greater than 90 days past due 4,226 2,152 Troubled debt restructurings accruing interest 333 3,117 $ 40,613 $ 36,054 (1) |
Summary of Risk Category of Loans | As of December 31, 2019 and 2018, based on the most recent analysis performed, the risk category of loans is as follows: (Dollars in thousands) December 31, 2019 Pass Classified PCI Total Commercial real estate $ 1,030,358 $ 7,536 $ 9,067 $ 1,046,961 Construction, land development, land 155,985 2,138 2,446 160,569 1-4 family residential 177,177 1,740 508 179,425 Farmland 144,777 10,094 104 154,975 Commercial 1,313,042 29,091 550 1,342,683 Factored receivables 604,774 15,212 — 619,986 Consumer 21,594 331 — 21,925 Mortgage warehouse 667,988 — — 667,988 $ 4,115,695 $ 66,142 $ 12,675 $ 4,194,512 (Dollars in thousands) December 31, 2018 Pass Classified PCI Total Commercial real estate $ 977,548 $ 3,829 $ 10,703 $ 992,080 Construction, land development, land 172,709 91 6,791 179,591 1-4 family residential 187,251 1,746 1,188 190,185 Farmland 161,565 8,594 381 170,540 Commercial 1,093,759 20,207 1,005 1,114,971 Factored receivables 612,577 5,214 — 617,791 Consumer 29,461 361 — 29,822 Mortgage warehouse 313,664 — — 313,664 $ 3,548,534 $ 40,042 $ 20,068 $ 3,608,644 |
Schedule of Loans Modified as Troubled Debt Restructurings | The following table presents the pre- and post-modification recorded investment of loans modified as troubled debt restructurings during the years ended December 31, 2019, 2018, and 2017. The Company did not grant principal reductions on any restructured loans. Extended Extended Maturity and Amortization Payment AB Note Reduced Total Number of (Dollars in thousands) Period Deferrals Restructure Interest Rate Modifications Loans December 31, 2019 Commercial real estate $ — $ — $ 4,597 $ — $ 4,597 1 1-4 family residential properties — 38 — — 38 2 Farmland — — — — — — Commercial 1,762 115 — 593 2,470 11 $ 1,762 $ 153 $ 4,597 $ 593 $ 7,105 14 December 31, 2018 Commercial real estate $ — $ 589 $ — $ — $ 589 2 1-4 family residential properties 103 — — — 103 2 Farmland 263 — — — 263 1 Commercial 875 — — — 875 10 $ 1,241 $ 589 $ — $ — $ 1,830 15 December 31, 2017 Commercial $ 8,831 $ — $ — $ — $ 8,831 8 |
Schedule of Outstanding Contractually Required Principal and Interest and Carrying Amount of PCI Loans Receivable | The outstanding contractually required principal and interest and the carrying amount of these loans included in the balance sheet amounts of loans receivable are as follows: December 31, December 31, (Dollars in thousands) 2019 2018 Contractually required principal and interest: Real estate loans $ 14,015 $ 22,644 Commercial loans 677 4,078 Outstanding contractually required principal and interest $ 14,692 $ 26,722 Gross carrying amount included in loans receivable $ 12,675 $ 20,068 |
Schedule of Changes in Accretable Yield for the PCI Loans | The changes in accretable yield in regard to loans transferred at acquisition for which it was probable that all contractually required payments would not be collected are as follows: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Accretable yield, beginning balance $ 5,711 $ 2,793 $ 4,261 Additions — 2,997 371 Accretion (3,835 ) (1,430 ) (3,442 ) Reclassification from nonaccretable to accretable yield 257 1,351 2,108 Disposals (814 ) — (505 ) Accretable yield, ending balance $ 1,319 $ 5,711 $ 2,793 |
Other Real Estate Owned (Tables
Other Real Estate Owned (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Real Estate [Abstract] | |
Summary of Other Real Estate Owned Activity | Other real estate owned activity was as follows: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Beginning balance $ 2,060 $ 9,191 $ 6,077 Acquired through business acquisition — 213 2,282 Loans transferred to OREO 3,360 514 6,585 Premises transferred to OREO — 1,139 276 Net OREO gains (losses) and valuation adjustments 351 (514 ) (850 ) Sales of OREO (2,762 ) (8,483 ) (5,179 ) Ending balance $ 3,009 $ 2,060 $ 9,191 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property Plant And Equipment [Abstract] | |
Schedule of Premises and Equipment | Premises and equipment consisted of the following: December 31, December 31, (Dollars in thousands) 2019 2018 Land $ 13,139 $ 13,119 Buildings 50,525 49,132 Leasehold improvements 21,842 13,191 Automobiles and aircraft 6,060 5,821 Furniture, fixtures and equipment 25,989 18,815 117,555 100,078 Accumulated depreciation (20,960 ) (16,686 ) $ 96,595 $ 83,392 |
Schedule of Lease Cost | Lease costs were as follows: Year Ended December 31, (Dollars in thousands) 2019 Operating lease cost $ 4,377 Short-term lease cost — Variable lease cost 333 Total lease cost $ 4,710 |
Schedule of Total Operating Lease Liability | A maturity analysis of operating lease liabilities and reconciliation of the undiscounted cash flows to the total operating lease liability is as follows: (Dollars in thousands) 2019 Lease payments due: Within one year $ 4,036 After one but within two years 4,008 After two but within three years 3,697 After three but within four years 3,160 After four but within five years 2,918 After five years 5,744 Total undiscounted cash flows 23,563 Discount on cash flows (2,521 ) Total lease liability $ 21,042 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets and Goodwill | Goodwill and intangible assets consist of the following: December 31, December 31, (Dollars in thousands) 2019 2018 Goodwill $ 158,743 $ 158,743 December 31, 2019 December 31, 2018 Gross Carrying Accumulated Net Carrying Gross Carrying Accumulated Net Carrying (Dollars in thousands) Amount Amortization Amount Amount Amortization Amount Core deposit intangibles $ 43,578 $ (22,258 ) $ 21,320 $ 43,578 $ (16,266 ) $ 27,312 Other intangible assets 15,700 (5,477 ) 10,223 15,700 (2,338 ) 13,362 $ 59,278 $ (27,735 ) $ 31,543 $ 59,278 $ (18,604 ) $ 40,674 |
Schedule of Changes in Goodwill and Intangible Assets by Operating Segment | The changes in goodwill and intangible assets by operating segment during the year are as follows: (Dollars in thousands) December 31, 2019 Banking Factoring Corporate Total Beginning balance $ 135,477 $ 63,940 $ — $ 199,417 Amortization of intangibles (6,205 ) (2,926 ) — (9,131 ) Ending balance $ 129,272 $ 61,014 $ — $ 190,286 (Dollars in thousands) December 31, 2018 Banking Factoring Corporate Total Beginning balance $ 54,910 $ 8,868 $ — $ 63,778 Acquired goodwill 72,075 42,975 — 115,050 Acquired intangibles 14,069 13,933 — 28,002 Amortization of intangibles (5,144 ) (1,836 ) — (6,980 ) Divestiture of intangibles (433 ) — — (433 ) Ending balance $ 135,477 $ 63,940 $ — $ 199,417 (Dollars in thousands) December 31, 2017 Banking Factoring Corporate Total Beginning balance $ 36,139 $ 8,871 $ 1,521 $ 46,531 Acquired goodwill 16,340 — — 16,340 Acquired intangibles 9,478 — — 9,478 Amortization of intangibles (5,016 ) (3 ) (182 ) (5,201 ) Divestiture of intangibles — — (1,339 ) (1,339 ) Reclass of goodwill to assets held for sale (1,024 ) — — (1,024 ) Reclass of intangibles to assets held for sale (1,007 ) — — (1,007 ) Ending balance $ 54,910 $ 8,868 $ — $ 63,778 |
Schedule of Future Amortization Schedule for the Company's Intangible Assets | The future amortization schedule for the Company’s intangible assets is as follows: (Dollars in thousands) 2020 $ 7,941 2021 6,670 2022 5,422 2023 4,236 2024 3,167 Thereafter 4,107 $ 31,543 |
Variable Interest Entities (Tab
Variable Interest Entities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Schedule of Variable Interest Entities | The Company holds investments in the subordinated notes of the following closed CLO funds: Offering Offering (Dollars in thousands) Date Amount Trinitas CLO IV, LTD (Trinitas IV) June 2, 2016 $ 406,650 Trinitas CLO V, LTD (Trinitas V) September 22, 2016 $ 409,000 Trinitas CLO VI, LTD (Trinitas VI) June 20, 2017 $ 717,100 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Deposits [Abstract] | |
Summary of Deposits | Deposits are summarized as follows: (Dollars in thousands) December 31, 2019 December 31, 2018 Noninterest bearing demand $ 809,696 $ 724,527 Interest bearing demand 580,323 615,704 Individual retirement accounts 104,472 115,583 Money market 497,105 443,663 Savings 363,270 369,389 Certificates of deposit 1,084,425 835,127 Brokered deposits 350,615 346,356 Total deposits $ 3,789,906 $ 3,450,349 |
Scheduled Maturities of Time Deposits, Including Certificates of Deposits, Individual Retirement Accounts and Brokered Deposits | At December 31, 2019, scheduled maturities of time deposits, including certificates of deposits, individual retirement accounts and brokered deposits, are as follows: (Dollars in thousands) December 31, 2019 Within one year $ 1,245,273 After one but within two years 262,385 After two but within three years 19,713 After three but within four years 8,187 After four but within five years 3,954 Total $ 1,539,512 |
Borrowings and Borrowing Capa_2
Borrowings and Borrowing Capacity (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Schedule of Customer Repurchase Agreements | Information concerning customer repurchase agreements is summarized as follows: December 31, December 31, (Dollars in thousands) 2019 2018 Amount outstanding at end of the year $ 2,033 $ 4,485 Weighted average interest rate at end of the year 0.03 % 0.01 % Average daily balance during the year $ 7,823 $ 8,648 Weighted average interest rate during the year 0.02 % 0.02 % Maximum month-end balance during the year $ 14,463 $ 13,844 |
Schedule of FHLB Advances and Weighted Average Interest Rates by Contractual Maturity | FHLB Advances FHLB advances are collateralized by assets, including a blanket pledge of certain loans. FHLB advances and weighted average interest rates at end of period by contractual maturity are summarized as follows: Fixed Rate Variable Rate (Dollars in thousands) Balance Outstanding Weighted Average Interest Rate Balance Outstanding Weighted Average Interest Rate 2020 $ 400,000 1.56 % $ — — 2027 — — 30,000 1.84 % $ 400,000 1.56 % $ 30,000 1.84 % |
Schedule of Information Concerning FHLB Advances | Information concerning FHLB advances is summarized as follows: December 31, December 31, (Dollars in thousands) 2019 2018 Amount outstanding at end of the year $ 430,000 $ 330,000 Weighted average interest rate at end of the year 1.58 % 2.52 % Average daily balance during the year $ 369,548 $ 345,388 Weighted average interest rate during the year 2.32 % 1.96 % Maximum month-end balance during the year $ 530,000 $ 455,000 |
Schedule of FHLB Advances | The Company’s unused borrowing capacity with the FHLB is as follows: December 31, December 31, (Dollars in thousands) 2019 2018 Borrowing capacity $ 1,300,985 $ 846,427 Borrowings outstanding 430,000 330,000 Unused borrowing capacity $ 870,985 $ 516,427 |
Summary of Junior Subordinated Debentures | The following provides a summary of the Company’s junior subordinated debentures: Variable Interest Rate At (Dollars in thousands) Face Value Carrying Value Maturity Date Interest Rate December 31, 2019 National Bancshares Capital Trust II $ 15,464 $ 13,094 September 2033 LIBOR + 3.00% 4.89% National Bancshares Capital Trust III 17,526 12,771 July 2036 LIBOR + 1.64% 3.63% ColoEast Capital Trust I 5,155 3,543 September 2035 LIBOR + 1.60% 3.56% ColoEast Capital Trust II 6,700 4,627 March 2037 LIBOR + 1.79% 3.75% Valley Bancorp Statutory Trust I 3,093 2,867 September 2032 LIBOR + 3.40% 5.35% Valley Bancorp Statutory Trust II 3,093 2,664 July 2034 LIBOR + 2.75% 4.65% $ 51,031 $ 39,566 |
Pledged Securities | |
Schedule of Customer Repurchase Agreements | Customer repurchase agreements are secured by pledged securities with carrying amounts as follows: December 31, December 31, (Dollars in thousands) 2019 2018 U.S. Government agency obligations $ 2,997 $ 5,916 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Summary of Income Tax Expense | Income tax expense consisted of the following: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Income tax expense: Current $ 12,971 $ 14,091 $ 14,714 Deferred 3,908 708 10,174 Change in valuation allowance for deferred tax asset 23 (7 ) (10 ) Income tax expense $ 16,902 $ 14,792 $ 24,878 |
Summary of Effective Income Tax Rate Reconciliation | Effective tax rates differ from federal statutory rates applied to income before income taxes due to the following: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Tax provision computed at federal statutory rate $ 15,844 $ 13,965 $ 21,384 Effect of: State taxes, net 1,704 1,716 1,112 Tax reform impact (1) — — 2,984 Bank-owned life insurance (114 ) (141 ) (246 ) Tax exempt interest (442 ) (436 ) (545 ) Change in valuation allowance for deferred tax asset 23 (7 ) (10 ) Other (113 ) (305 ) 199 Income tax expense $ 16,902 $ 14,792 $ 24,878 (1) On December 22, 2017, the United States enacted tax reform legislation commonly known as the Tax Cuts and Jobs Act (the “Tax Act”), resulting in significant modifications to existing law. As a result of the changes under the Tax Act, the Company recorded incremental income tax expense of $2,984,000 during the year ended December 31, 2017, which consisted primarily of the remeasurement of deferred tax assets and liabilities at the new federal statutory rate of 21%. Prior to the enactment of the Tax Act, deferred tax assets and liabilities were measured at the previous federal statutory rate of 35%. |
Significant Components of Deferred Tax Assets and Liabilities | Deferred income taxes reflect the net tax effects of temporary differences between the recorded amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets and liabilities are as follows: (Dollars in thousands) 2019 2018 Deferred tax assets Federal net operating loss carryforwards $ 5,034 $ 6,111 State net operating loss carryforwards 552 541 Acquired loan basis 450 587 Other real estate owned 44 134 AMT credit carryforward 714 2,855 Allowance for loan losses 6,828 6,382 Unrealized loss on securities available for sale — 356 Accrued liabilities 1,744 1,714 Lease liability 4,994 — Other 1,925 1,537 Total deferred tax assets 22,285 20,217 Deferred tax liabilities Goodwill and intangible assets 2,143 1,661 Fair value adjustment on junior subordinated debentures 2,564 2,468 Premises and equipment 6,142 4,804 Installment gain on sale of subsidiary 1,816 2,292 Lease right-of-use asset 4,815 — Unrealized gain on securities available for sale 339 — Other 376 299 Total deferred tax liabilities 18,195 11,524 Net deferred tax asset before valuation allowance 4,090 8,693 Valuation allowance (278 ) (255 ) Net deferred tax asset $ 3,812 $ 8,438 |
Off-Balance Sheet Loan Commit_2
Off-Balance Sheet Loan Commitments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Summary of Financial Instruments with Off-Balance Sheet Risk | The contractual amounts of financial instruments with off-balance sheet risk were as follows: December 31, 2019 December 31, 2018 (Dollars in thousands) Fixed Rate Variable Rate Total Fixed Rate Variable Rate Total Unused lines of credit $ 49,057 $ 444,028 $ 493,085 $ 69,053 $ 433,667 $ 502,720 Standby letters of credit $ 3,017 $ 3,781 $ 6,798 $ 2,285 $ 3,931 $ 6,216 Commitments to purchase loans $ — $ 22,004 $ 22,004 $ — $ — $ — Mortgage warehouse commitments $ — $ 340,502 $ 340,502 $ — $ 266,458 $ 266,458 |
Fair Value Disclosures (Tables)
Fair Value Disclosures (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Assets Measured at Fair Value on a Recurring Basis | Assets and liabilities measured at fair value on a recurring basis are summarized in the table below. (Dollars in thousands) Fair Value Measurements Using Total December 31, 2019 Level 1 Level 2 Level 3 Fair Value Assets measured at fair value on a recurring basis Securities available for sale U.S. Government agency obligations $ — $ 39,760 $ — $ 39,760 Mortgage-backed securities, residential — 38,016 — 38,016 Asset-backed securities — 7,959 — 7,959 State and municipal — 32,065 — 32,065 CLO Securities — 75,273 — 75,273 Corporate bonds — 51,583 — 51,583 SBA pooled securities — 4,164 — 4,164 $ — $ 248,820 $ — $ 248,820 Equity securities Mutual fund $ 5,437 $ — $ — $ 5,437 Loans held for sale $ — $ 2,735 $ — $ 2,735 Liabilities measured at fair value on a recurring basis ICC Contingent consideration $ — $ — $ 21,622 $ 21,622 (Dollars in thousands) Fair Value Measurements Using Total December 31, 2018 Level 1 Level 2 Level 3 Fair Value Assets measured at fair value on a recurring basis Securities available for sale U.S. Government agency obligations $ — $ 92,648 $ — $ 92,648 U.S. Treasury notes — 1,932 — 1,932 Mortgage-backed securities, residential — 39,736 — 39,736 Asset-backed securities — 10,145 — 10,145 State and municipal — 118,451 — 118,451 Corporate bonds — 68,787 — 68,787 SBA pooled securities — 4,724 — 4,724 $ — $ 336,423 $ — $ 336,423 Equity securities Mutual fund $ 5,044 $ — $ — $ 5,044 Loans held for sale $ — $ 2,106 $ — $ 2,106 Liabilities measured at fair value on a recurring basis ICC Contingent consideration $ — $ — $ 20,745 $ 20,745 |
Reconciliation of Opening Balance to Closing Balance of Fair Value of Contingent Consideration | A reconciliation of the opening balance to the closing balance of the fair value of the contingent consideration is as follows: (Dollars in thousands) 2019 2018 Beginning balance $ 20,745 $ — Contingent consideration recognized in business combination — 20,000 Change in fair value of contingent consideration recognized in earnings 877 745 Consideration settlement payments — — Ending balance $ 21,622 $ 20,745 |
Fair Value of Assets Measured on Non-recurring Basis | Assets measured at fair value on a non-recurring basis are summarized in the table below. There were no liabilities measured at fair value on a non-recurring basis at December 31, 2019 and 2018. (Dollars in thousands) Fair Value Measurements Using Total December 31, 2019 Level 1 Level 2 Level 3 Fair Value Impaired loans Commercial real estate $ — $ — $ 534 $ 534 Construction, land development, land — — 664 664 1-4 family residential properties — — 2 2 Commercial — — 4,754 4,754 Factored receivables — — 12,762 12,762 Consumer — — 8 8 PCI — — 67 67 Other real estate owned (1) Commercial — — 388 388 1-4 family residential properties — — 89 89 $ — $ — $ 19,268 $ 19,268 (Dollars in thousands) Fair Value Measurements Using Total December 31, 2018 Level 1 Level 2 Level 3 Fair Value Impaired loans Commercial real estate $ — $ — $ 5,123 $ 5,123 Construction, land development, land — — 70 70 1-4 family residential properties — — 100 100 Farmland — — 842 842 Commercial — — 3,277 3,277 Factored receivables — — 4,791 4,791 Consumer — — 41 41 PCI — — 67 67 Other real estate owned (1) Commercial — — 1,095 1,095 $ — $ — $ 15,406 $ 15,406 (1) |
Estimated Fair Value of Company's Financial Assets and Financial Liabilities | The estimated fair values of the Company’s financial instruments not measured at fair value on a recurring or non-recurring basis were as follows: December 31, 2019 Carrying Fair Value Measurements Using Total (Dollars in thousands) Amount Level 1 Level 2 Level 3 Fair Value Financial assets: Cash and cash equivalents $ 197,880 $ 197,880 $ — $ — $ 197,880 Securities - held to maturity 8,417 — — 6,907 6,907 Loans not previously presented, gross 4,170,604 83,454 — 4,086,597 4,170,051 FHLB and other restricted stock 19,860 N/A N/A N/A N/A Accrued interest receivable 20,322 20,322 — — 20,322 Financial liabilities: Deposits 3,789,906 — 3,793,603 — 3,793,603 Customer repurchase agreements 2,033 — 2,033 — 2,033 Federal Home Loan Bank advances 430,000 — 430,000 — 430,000 Subordinated notes 87,327 — 93,877 — 93,877 Junior subordinated debentures 39,566 — 40,700 — 40,700 Accrued interest payable 9,367 9,367 — — 9,367 December 31, 2018 Carrying Fair Value Measurements Using Total (Dollars in thousands) Amount Level 1 Level 2 Level 3 Fair Value Financial assets: Cash and cash equivalents $ 234,939 $ 234,939 $ — $ — $ 234,939 Securities - held to maturity 8,487 — — 7,326 7,326 Loans not previously presented, gross 3,589,676 — — 3,505,724 3,505,724 FHLB and other restricted stock 15,943 N/A N/A N/A N/A Accrued interest receivable 19,094 19,094 — — 19,094 Financial liabilities: Deposits 3,450,349 — 3,440,570 — 3,440,570 Customer repurchase agreements 4,485 — 4,485 — 4,485 Federal Home Loan Bank advances 330,000 — 330,000 — 330,000 Subordinated notes 48,929 — 50,500 — 50,500 Junior subordinated debentures 39,083 — 40,808 — 40,808 Accrued interest payable 6,722 6,722 — — 6,722 |
Related-Party Transactions (Tab
Related-Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Schedule of Loans to Principal Officers, Directors, and their Affiliates | In the ordinary course of business, we have granted loans to executive officers, directors, and their affiliates were as follows: Years Ended December 31, (Dollars in thousands) 2019 2018 Beginning balance $ 39,520 $ 26,612 New loans and advances 952 28,526 Repayments and sales (821 ) (15,618 ) Ending balance $ 39,651 $ 39,520 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Regulatory Capital Requirements [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | The actual capital amounts and ratios for the Company and TBK Bank are presented in the following table: To Be Well Capitalized Under Minimum for Capital Prompt Corrective Actual Adequacy Purposes Action Provisions (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio As of December 31, 2019 Total capital (to risk weighted assets) Triumph Bancorp, Inc. $ 604,832 12.8% $ 378,020 8.0% N/A N/A TBK Bank, SSB $ 555,213 12.0% $ 370,142 8.0% $ 462,678 10.0% Tier 1 capital (to risk weighted assets) Triumph Bancorp, Inc. $ 487,775 10.3% $ 284,141 6.0% N/A N/A TBK Bank, SSB $ 525,490 11.4% $ 276,574 6.0% $ 368,765 8.0% Common equity Tier 1 capital (to risk weighted assets) Triumph Bancorp, Inc. $ 448,209 9.5% $ 212,310 4.5% N/A N/A TBK Bank, SSB $ 525,490 11.4% $ 207,430 4.5% $ 299,621 6.5% Tier 1 capital (to average assets) Triumph Bancorp, Inc. $ 487,775 10.0% $ 195,110 4.0% N/A N/A TBK Bank, SSB $ 525,490 10.9% $ 192,840 4.0% $ 241,050 5.0% As of December 31, 2018 Total capital (to risk weighted assets) Triumph Bancorp, Inc. $ 552,398 13.4% $ 330,970 8.0% N/A N/A TBK Bank, SSB $ 496,526 12.4% $ 320,856 8.0% $ 401,071 10.0% Tier 1 capital (to risk weighted assets) Triumph Bancorp, Inc. $ 475,359 11.5% $ 248,227 6.0% N/A N/A TBK Bank, SSB $ 468,500 11.7% $ 240,642 6.0% $ 320,856 8.0% Common equity Tier 1 capital (to risk weighted assets) Triumph Bancorp, Inc. $ 436,276 10.5% $ 186,170 4.5% N/A N/A TBK Bank, SSB $ 468,500 11.7% $ 180,482 4.5% $ 260,696 6.5% Tier 1 capital (to average assets) Triumph Bancorp, Inc. $ 475,359 11.1% $ 171,619 4.0% N/A N/A TBK Bank, SSB $ 468,500 11.0% $ 170,092 4.0% $ 212,615 5.0% |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Summary of Capital Structure | The following summarizes the Company’s capital structure. Common Stock December 31, (Dollars in thousands, except per share amounts) 2019 2018 Shares authorized 50,000,000 50,000,000 Shares issued 27,163,642 27,053,999 Treasury shares 2,198,681 104,063 Shares outstanding 24,964,961 26,949,936 Par value per share $ 0.01 $ 0.01 |
Summary of Stock Repurchase Program | The following repurchases were made under these programs: (Dollars in thousands, except per share amounts) Stock Repurchase Program Authorized Year ended December 31, 2019 October 29, 2018 July 17, 2019 October 16, 2019 Total Shares repurchased into treasury stock 838,141 850,093 392,557 2,080,791 Average price of shares repurchased into treasury stock $ 29.74 $ 29.38 $ 36.69 $ 30.90 Total cost of shares repurchased into treasury stock $ 24,954,000 $ 24,998,000 $ 14,414,000 $ 64,366,000 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Summary of Changes in Company's Nonvested Restricted Stock Awards | A summary of changes in the Company’s nonvested Restricted Stock Awards (“RSAs”) under the Omnibus Incentive Plan for the year ended December 31, 2019 were as follows: Weighted Average Grant Date Nonvested RSAs Shares Fair Value Nonvested at January 1, 2019 101,213 $ 31.47 Granted 104,413 30.88 Vested (48,675 ) 29.29 Forfeited (8,602 ) 29.91 Nonvested at December 31, 2019 148,349 $ 31.86 |
Summary of Changes in Company's Nonvested Restricted Stock Units | A summary of changes in the Company’s nonvested Restricted Stock Units (“RSUs”) under the Omnibus Incentive Plan for the year ended December 31, 2019 were as follows: Weighted Average Grant Date Nonvested RSUs Shares Fair Value Nonvested at January 1, 2019 59,658 $ 38.75 Granted — — Vested — — Forfeited (4,430 ) 38.75 Nonvested at December 31, 2019 55,228 $ 38.75 |
Summary of Changes in Company's Stock Options | A summary of changes in the Company’s stock options under the Omnibus Incentive Plan for the year ended December 31, 2019 were as follows: Weighted Average Remaining Aggregate Weighted Average Contractual Term Intrinsic Value Stock Options Shares Exercise Price (In Years) (In Thousands) Outstanding at January 1, 2019 231,467 $ 23.43 Granted 19,285 31.00 Exercised (12,848 ) 18.25 Forfeited (11,824 ) 27.32 Expired (1,025 ) 38.48 Outstanding at December 31, 2019 225,055 $ 24.10 7.17 $ 3,165 Fully vested shares and shares expected to vest at December 31, 2019 225,055 $ 24.10 7.17 $ 3,165 Shares exercisable at December 31, 2019 118,537 $ 20.20 6.67 $ 2,121 |
Schedule of Information Related to Stock Options | Information related to the stock options for the years ended December 31, 2019, 2018 and 2017 was as follows: Year Ended December 31, (Dollars in thousands, except per share amounts) 2019 2018 2017 Aggregate intrinsic value of options exercised $ 155 $ 59 $ 251 Cash received from option exercises $ — $ — $ 283 Tax benefit realized from option exercises $ 33 $ 12 $ 88 Weighted average fair value of options granted (per share) $ 10.03 $ 13.22 $ 8.71 Fair value of vested awards $ 465 $ 313 $ 390 |
Fair Value of Stock Options Granted Weighted-Average Assumptions | The fair value of the stock options granted was determined using the following weighted average assumptions: 2019 2018 2017 Risk-free interest rate 2.33 % 2.85 % 2.11 % Expected term 6.25 years 6.25 years 6.25 Years Expected stock price volatility 27.46 % 28.07 % 29.70 % Dividend yield — — — |
Market Based Performance Stock Units (Market Based PSUs) | |
Summary of Changes in Company's Nonvested Performance Stock Units | A summary of changes in the Company’s nonvested Market Based Performance Stock Units (“Market Based PSUs”) under the Omnibus Incentive Plan for the year ended December 31, 2019 were as follows: Weighted Average Grant Date Nonvested Market Based PSUs Shares Fair Value Nonvested at January 1, 2019 59,658 $ 38.57 Granted 12,479 33.91 Vested — — Forfeited (4,430 ) 38.57 Nonvested at December 31, 2019 67,707 $ 37.71 |
Schedule of Fair Value of Market Based Performance Stock Units, Weighted Average Assumptions | The fair value of the Market Based PSUs granted was determined using the following weighted average assumptions: Year Ended December 31, 2019 2018 Grant date May 1, 2019 May 1, 2018 Performance period 3.00 Years 5.00 Years Stock price $ 30.82 $ 38.85 Triumph stock price volatility 28.29 % 29.13 % Risk-free rate 2.25 % 2.76 % |
Performance Based Performance Stock Units (Performance Based PSUs) | |
Summary of Changes in Company's Nonvested Performance Stock Units | A summary of changes in the Company’s nonvested Performance Based Performance Stock Units (“Performance Based PSUs”) under the Omnibus Incentive Plan for the year ended December 31, 2019 were as follows: Weighted Average Grant Date Nonvested Performance Based PSUs Shares Fair Value Nonvested at January 1, 2019 — $ — Granted 254,000 38.02 Vested — — Forfeited — — Nonvested at December 31, 2019 254,000 $ 38.02 |
Parent Company Only Condensed_2
Parent Company Only Condensed Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Condensed Parent Company Only Balance Sheets | Condensed Parent Company Only Balance Sheets: December 31, December 31, (Dollars in thousands) 2019 2018 ASSETS Cash and cash equivalents $ 35,914 $ 31,706 Securities - held to maturity 8,417 8,487 Loans 719 9,912 Investment in bank subsidiary 713,348 670,908 Investment in non-bank subsidiaries 5,542 6,396 Other assets 1,174 3,612 Total assets $ 765,114 $ 731,021 LIABILITIES AND EQUITY Subordinated notes $ 87,327 $ 48,929 Junior subordinated debentures 39,566 39,083 Intercompany payables 318 318 Accrued expenses and other liabilities 1,313 6,084 Total liabilities 128,524 94,414 Stockholders' equity 636,590 636,607 Total liabilities and equity $ 765,114 $ 731,021 |
Condensed Parent Company Only Statements of Income | Condensed Parent Company Only Statements of Income: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Interest income $ 1,163 $ 2,014 $ 1,415 Interest expense (6,464 ) (6,092 ) (5,300 ) Provision for loan losses 83 8 (91 ) Gain on sale of subsidiary or division — — 20,860 Other income (187 ) 5 1,572 Salaries and employee benefits expense (613 ) (523 ) (5,686 ) Other expense (2,069 ) (3,710 ) (3,138 ) Income (loss) before income tax and income from subsidiaries (8,087 ) (8,298 ) 9,632 Income tax (expense) benefit 193 1,049 (3,087 ) Dividends from subsidiaries and equity in undistributed subsidiary income 66,438 58,957 30,347 Net income 58,544 51,708 36,892 Dividends on preferred stock — (578 ) (774 ) Net income available to common stockholders (1) $ 58,544 $ 51,130 $ 36,118 Comprehensive income attributable to Parent $ 60,853 $ 51,101 $ 35,900 |
Condensed Parent Company Only Statements of Cash Flows | Condensed Parent Company Only Statements of Cash Flows: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Cash flows from operating activities: Net income $ 58,544 $ 51,708 $ 36,892 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in undistributed subsidiary income (35,938 ) (58,957 ) (30,347 ) Net accretion of securities (923 ) (983 ) (800 ) Amortization of junior subordinated debentures 483 460 413 Amortization of subordinated notes issuance costs 116 101 94 Stock based compensation 315 320 296 Income from CLO warehouse investments — — (2,226 ) Change in other assets 2,438 1,273 6,689 Change in accrued expenses and other liabilities (4,771 ) (6,458 ) 2,950 Net cash provided by (used in) operating activities 20,264 (12,536 ) 13,961 Cash flows from investing activities: Investment in subsidiaries — (59,038 ) (6,495 ) Purchases of securities held to maturity — — (5,092 ) Proceeds from maturities, calls, and pay downs of securities held to maturity 993 1,053 715 Net change in loans 9,193 1,134 (10,062 ) Net cash paid for CLO warehouse investments — — (10,000 ) Net proceeds from CLO warehouse investments — — 30,000 Cash used in acquisition of subsidiaries, net — (137,806 ) (40,075 ) Net cash provided by (used in) investing activities 10,186 (194,657 ) (41,009 ) Cash flows from financing activities: Proceeds from issuance of subordinated notes, net 38,282 — — Issuance of common stock, net of issuance costs — 192,053 65,509 Dividends on preferred stock — (578 ) (774 ) Purchase of treasury stock (64,524 ) (398 ) (366 ) Stock option exercises — (4 ) 283 Net cash provided by (used in) financing activities (26,242 ) 191,073 64,652 Net increase (decrease) in cash and cash equivalents 4,208 (16,120 ) 37,604 Cash and cash equivalents at beginning of period 31,706 47,826 10,222 Cash and cash equivalents at end of period $ 35,914 $ 31,706 $ 47,826 (1) Year Ended December 31, (Dollars in thousands) 2019 2018 2017 Parent company net income available to common stockholders $ 58,544 $ 51,130 $ 36,118 Parent company loss on intercompany sale of loans — — — TBK Bank discount accretion — — (672 ) Consolidated net income available to common stockholders $ 58,544 $ 51,130 $ 35,446 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Factors Used in Computation of Earnings Per Share | The factors used in the earnings per share computation follow: Years Ended December 31, (Dollars in thousands) 2019 2018 2017 Basic Net income to common stockholders $ 58,544 $ 51,130 $ 35,446 Weighted average common shares outstanding 25,941,395 24,791,448 19,133,745 Basic earnings per common share $ 2.26 $ 2.06 $ 1.85 Diluted Net income to common stockholders $ 58,544 $ 51,130 $ 35,446 Dilutive effect of preferred stock — 578 774 Net income to common stockholders - diluted $ 58,544 $ 51,708 $ 36,220 Weighted average common shares outstanding 25,941,395 24,791,448 19,133,745 Dilutive effects of: Assumed conversion of Preferred A — 258,674 315,773 Assumed conversion of Preferred B — 290,375 354,471 Assumed exercises of stock warrants — — 82,567 Assumed exercises of stock options 63,808 84,126 45,653 Restricted stock awards 47,242 52,851 68,079 Restricted stock units 3,441 3,039 — Performance stock units - market based 4,119 — — Performance stock units - performance based — — — Average shares and dilutive potential common shares 26,060,005 25,480,513 20,000,288 Diluted earnings per common share $ 2.25 $ 2.03 $ 1.81 |
Schedule of Shares not Considered in Computing Diluted Earnings per Common Share | Shares that were not considered in computing diluted earnings per common share because they were antidilutive are as follows: Years Ended December 31, 2019 2018 2017 Assumed conversion of Preferred A — — — Assumed conversion of Preferred B — — — Stock options 66,019 51,952 57,926 Restricted stock awards — — — Restricted stock units — — — Performance stock units - market based 55,228 59,658 — Performance stock units - performance based 254,000 — — |
Business Segment Information (T
Business Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | (Dollars in thousands) Year Ended December 31, 2019 Banking Factoring Corporate Consolidated Total interest income $ 211,742 $ 98,247 $ 1,164 $ 311,153 Intersegment interest allocations 11,294 (11,294 ) — — Total interest expense 48,786 — 6,464 55,250 Net interest income (expense) 174,250 86,953 (5,300 ) 255,903 Provision for loan losses 5,533 2,486 (77 ) 7,942 Net interest income (expense) after provision 168,717 84,467 (5,223 ) 247,961 Noninterest income 26,875 4,727 (33 ) 31,569 Noninterest expense 148,620 51,780 3,684 204,084 Operating income (loss) $ 46,972 $ 37,414 $ (8,940 ) $ 75,446 (Dollars in thousands) Year Ended December 31, 2018 Banking Factoring Corporate Consolidated Total interest income $ 170,871 $ 90,092 $ 2,013 $ 262,976 Intersegment interest allocations 20,191 (20,191 ) — — Total interest expense 29,834 — 6,092 35,926 Net interest income (expense) 161,228 69,901 (4,079 ) 227,050 Provision for loan losses 12,373 3,802 (8 ) 16,167 Net interest income (expense) after provision 148,855 66,099 (4,071 ) 210,883 Gain on sale of subsidiary or division 1,071 — — 1,071 Other noninterest income 18,364 3,483 52 21,899 Noninterest expense 119,283 43,495 4,575 167,353 Operating income (loss) $ 49,007 $ 26,087 $ (8,594 ) $ 66,500 (Dollars in thousands) Year Ended December 31, 2017 Banking Factoring Corporate Consolidated Total interest income $ 130,480 $ 45,346 $ 1,398 $ 177,224 Intersegment interest allocations 8,023 (8,023 ) — — Total interest expense 16,240 — 5,300 21,540 Net interest income (expense) 122,263 37,323 (3,902 ) 155,684 Provision for loan losses 9,310 2,227 91 11,628 Net interest income (expense) after provision 112,953 35,096 (3,993 ) 144,056 Gain on sale of subsidiary or division — — 20,860 20,860 Other noninterest income 14,336 2,737 2,723 19,796 Noninterest expense 90,632 22,641 10,341 123,614 Operating income (loss) $ 36,657 $ 15,192 $ 9,249 $ 61,098 (Dollars in thousands) December 31, 2019 Banking Factoring Corporate Eliminations Consolidated Total assets $ 4,976,009 $ 662,002 $ 771,048 $ (1,348,762 ) $ 5,060,297 Gross loans held for investment $ 4,108,735 $ 573,372 $ 1,519 $ (489,114 ) $ 4,194,512 (Dollars in thousands) December 31, 2018 Banking Factoring Corporate Eliminations Consolidated Total assets $ 4,458,399 $ 688,245 $ 737,530 $ (1,324,395 ) $ 4,559,779 Gross loans held for investment $ 3,523,850 $ 588,750 $ 10,795 $ (514,751 ) $ 3,608,644 |
Quarterly Financial Data (Una_2
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data (Unaudited) | The following presents quarterly financial data for the years ended December 31, 2019 and 2018. Year Ended December 31, 2019 Fourth Third Second First (Dollars in thousands) Quarter Quarter Quarter Quarter Interest income $ 81,171 $ 79,415 $ 77,303 $ 73,264 Interest expense 14,763 14,650 13,884 11,953 Net interest income 66,408 64,765 63,419 61,311 Provision for loan losses 382 2,865 3,681 1,014 Net interest income after provision 66,026 61,900 59,738 60,297 Noninterest income 8,666 7,742 7,623 7,538 Noninterest expense 52,661 52,153 50,704 48,566 Net income before income taxes 22,031 17,489 16,657 19,269 Income tax expense 5,322 3,172 3,927 4,481 Net income 16,709 14,317 12,730 14,788 Dividends on preferred stock — — — — Net income available to common stockholders $ 16,709 $ 14,317 $ 12,730 $ 14,788 Earnings per common share Basic $ 0.67 $ 0.56 $ 0.48 $ 0.55 Diluted $ 0.66 $ 0.56 $ 0.48 $ 0.55 Year Ended December 31, 2018 Fourth Third Second First (Dollars in thousands) Quarter Quarter Quarter Quarter Interest income $ 75,850 $ 71,759 $ 61,249 $ 54,118 Interest expense 10,969 9,977 7,992 6,988 Net interest income 64,881 61,782 53,257 47,130 Provision for loan losses 1,910 6,803 4,906 2,548 Net interest income after provision 62,971 54,979 48,351 44,582 Gain on sale of subsidiary — — — 1,071 Other noninterest income 6,794 6,059 4,945 4,101 Noninterest income 6,794 6,059 4,945 5,172 Noninterest expense 46,962 48,946 37,403 34,042 Net income before income taxes 22,803 12,092 15,893 15,712 Income tax expense 4,718 2,922 3,508 3,644 Net income 18,085 9,170 12,385 12,068 Dividends on preferred stock — (195 ) (193 ) (190 ) Net income available to common stockholders $ 18,085 $ 8,975 $ 12,192 $ 11,878 Earnings per common share Basic $ 0.68 $ 0.34 $ 0.48 $ 0.57 Diluted $ 0.67 $ 0.34 $ 0.47 $ 0.56 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) | Mar. 31, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Summary Of Significant Accounting Policies [Line Items] | ||||
Cash and cash equivalent maturity period | 90 days | |||
Number of days within which accrual of interest income discontinues | 90 days | |||
Period of consumer loans charged off | 120 days | |||
Useful life of assets | 60 months | |||
Goodwill impairment | $ 0 | $ 0 | $ 0 | |
Minimum probability for recognizing tax benefit | 50.00% | |||
Unrecognized tax benefits | $ 0 | $ 0 | ||
Operating lease right-of-use asset | 21,066,000 | |||
Operating lease liability | 21,042,000 | |||
ASU 2016-02 | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Operating lease right-of-use asset | 22,123,000 | |||
Operating lease liability | $ 21,918,000 | |||
ASU 2016-13 | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Leverage economic projections forecast period | 1 year | |||
Triumph Capital Advisors, LLC | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Percentage of membership interests sold | 100.00% | |||
Buildings and Improvements | Minimum | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Useful life of assets | 30 years | |||
Buildings and Improvements | Maximum | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Useful life of assets | 40 years | |||
Furniture, Fixtures and Equipment | Minimum | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Useful life of assets | 3 years | |||
Furniture, Fixtures and Equipment | Maximum | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Useful life of assets | 10 years | |||
Automobiles | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Useful life of assets | 5 years | |||
Aircraft | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Useful life of assets | 20 years |
Business Combinations and Div_3
Business Combinations and Divestitures - Summary of Fair Values of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | Sep. 08, 2018 | Jun. 02, 2018 | Dec. 09, 2017 | Oct. 06, 2017 | Dec. 31, 2019 | Dec. 31, 2018 |
Consideration: | ||||||
Goodwill | $ 158,743 | $ 158,743 | ||||
FBD | ||||||
Assets acquired: | ||||||
Cash and cash equivalents | $ 151,973 | |||||
Securities | 237,183 | |||||
Loans held for sale | 1,238 | |||||
Loans | 256,384 | |||||
FHLB stock | 786 | |||||
Premises and equipment | 7,495 | |||||
Other real estate owned | 213 | |||||
Intangible assets | 11,915 | |||||
Other assets | 2,715 | |||||
Total Assets Acquired | 669,902 | |||||
Liabilities assumed: | ||||||
Deposits | 601,194 | |||||
Federal Home Loan Bank advances | 737 | |||||
Other liabilities | 1,313 | |||||
Total liabilities | 603,244 | |||||
Fair value of net assets acquired | 66,658 | |||||
Consideration: | ||||||
Cash consideration transferred | 134,667 | |||||
Goodwill | 68,009 | |||||
SCC | ||||||
Assets acquired: | ||||||
Cash and cash equivalents | 14,299 | |||||
Securities | 33,477 | |||||
Loans | 31,454 | |||||
FHLB stock | 129 | |||||
Premises and equipment | 840 | |||||
Intangible assets | 2,154 | |||||
Other assets | 403 | |||||
Total Assets Acquired | 82,756 | |||||
Liabilities assumed: | ||||||
Deposits | 73,464 | |||||
Other liabilities | 64 | |||||
Total liabilities | 73,528 | |||||
Fair value of net assets acquired | 9,228 | |||||
Consideration: | ||||||
Cash consideration transferred | 13,294 | |||||
Goodwill | 4,066 | |||||
Total | ||||||
Assets acquired: | ||||||
Cash and cash equivalents | 166,272 | |||||
Securities | 270,660 | |||||
Loans held for sale | 1,238 | |||||
Loans | 287,838 | |||||
FHLB stock | 915 | |||||
Premises and equipment | 8,335 | |||||
Other real estate owned | 213 | |||||
Intangible assets | 14,069 | |||||
Other assets | 3,118 | |||||
Total Assets Acquired | 752,658 | |||||
Liabilities assumed: | ||||||
Deposits | 674,658 | |||||
Federal Home Loan Bank advances | 737 | |||||
Other liabilities | 1,377 | |||||
Total liabilities | 676,772 | |||||
Fair value of net assets acquired | 75,886 | |||||
Consideration: | ||||||
Cash consideration transferred | 147,961 | |||||
Goodwill | $ 72,075 | |||||
Interstate Capital Corporation | ||||||
Assets acquired: | ||||||
Cash and cash equivalents | $ 75 | |||||
Factored receivables | 131,017 | |||||
Premises and equipment | 279 | |||||
Intangible assets | 13,920 | |||||
Other assets | 144 | |||||
Total Assets Acquired | 145,435 | |||||
Liabilities assumed: | ||||||
Deposits | 7,389 | |||||
Other liabilities | 763 | |||||
Total liabilities | 8,152 | |||||
Fair value of net assets acquired | 137,283 | |||||
Consideration: | ||||||
Cash consideration transferred | 160,258 | |||||
Contingent consideration | 20,000 | |||||
Consideration transferred | 180,258 | |||||
Goodwill | $ 42,975 | |||||
Valley Bancorp, Inc. | ||||||
Assets acquired: | ||||||
Cash and cash equivalents | $ 38,473 | |||||
Securities | 97,687 | |||||
Loans | 171,199 | |||||
FHLB stock | 315 | |||||
Premises and equipment | 6,238 | |||||
Other real estate owned | 2,282 | |||||
Intangible assets | 6,072 | |||||
Bank-owned life insurance | 7,153 | |||||
Other assets | 1,882 | |||||
Total Assets Acquired | 331,301 | |||||
Liabilities assumed: | ||||||
Deposits | 293,398 | |||||
Junior subordinated debentures | 5,470 | |||||
Other liabilities | 2,881 | |||||
Total liabilities | 301,749 | |||||
Fair value of net assets acquired | 29,552 | |||||
Consideration: | ||||||
Consideration transferred | 40,075 | |||||
Goodwill | $ 10,523 | |||||
Independent Bank - Colorado Branches | ||||||
Assets acquired: | ||||||
Cash and cash equivalents | $ 1,611 | |||||
Loans | 95,794 | |||||
Premises and equipment | 7,524 | |||||
Intangible assets | 3,255 | |||||
Other assets | 1,644 | |||||
Total Assets Acquired | 109,828 | |||||
Liabilities assumed: | ||||||
Deposits | 160,702 | |||||
Other liabilities | 249 | |||||
Total liabilities | 160,951 | |||||
Fair value of net assets acquired | (51,123) | |||||
Consideration: | ||||||
Consideration transferred | 45,306 | |||||
Goodwill | $ 5,817 |
Business Combinations and Div_4
Business Combinations and Divestitures - Additional Information (Details) | Sep. 08, 2018USD ($) | Jun. 02, 2018USD ($) | Jan. 19, 2018 | Dec. 09, 2017USD ($) | Oct. 06, 2017USD ($)Branch | Mar. 31, 2017USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) |
Business Acquisition [Line Items] | |||||||||
Goodwill | $ 158,743,000 | $ 158,743,000 | |||||||
Triumph Healthcare Finance | |||||||||
Business Acquisition [Line Items] | |||||||||
Disposal of group agreement date | Jan. 19, 2018 | ||||||||
Disposal of group closing date | Mar. 16, 2018 | ||||||||
Triumph Capital Advisors, LLC | |||||||||
Business Acquisition [Line Items] | |||||||||
Business acquisition, related costs | $ 400,000 | ||||||||
Portion of consideration received | $ 10,500,000 | ||||||||
Percentage of annual earn-out payment | 3.00% | ||||||||
Maximum earn-out amount | $ 2,500,000 | ||||||||
Contingent consideration asset, estimated fair value | 1,623,000 | 1,674,000 | |||||||
Cash proceeds from the revenue share | $ 293,000 | 174,000 | 0 | ||||||
Triumph Capital Advisors, LLC | Loans Receivable | |||||||||
Business Acquisition [Line Items] | |||||||||
Portion of consideration received | $ 10,500,000 | ||||||||
Term credit facility, maturity date | Mar. 31, 2023 | ||||||||
Triumph Capital Advisors, LLC | Interest Rate Floor | Loans Receivable | |||||||||
Business Acquisition [Line Items] | |||||||||
Term credit facility, interest rate | 5.50% | ||||||||
Minimum | |||||||||
Business Acquisition [Line Items] | |||||||||
Finite lived intangible assets, Amortization period | 8 years | ||||||||
Maximum | |||||||||
Business Acquisition [Line Items] | |||||||||
Finite lived intangible assets, Amortization period | 10 years | ||||||||
First Bancorp of Durango, Inc. And Southern Colorado Corp. | |||||||||
Business Acquisition [Line Items] | |||||||||
Goodwill | $ 72,075,000 | ||||||||
Finite lived intangible assets, Amortization period | 10 years | ||||||||
Business acquisition, related costs | 5,871,000 | ||||||||
First Bancorp of Durango, Inc. And Southern Colorado Corp. | PCI Loans | |||||||||
Business Acquisition [Line Items] | |||||||||
Acquired loans at acquisition | $ 5,208,000 | ||||||||
Interstate Capital Corporation | |||||||||
Business Acquisition [Line Items] | |||||||||
Goodwill | $ 42,975,000 | ||||||||
Business acquisition, related costs | $ 1,094,000 | ||||||||
Date of acquisition completion date | Jun. 2, 2018 | ||||||||
Final contingent consideration payout | $ 20,000,000 | $ 21,622,000 | |||||||
Interstate Capital Corporation | Minimum | |||||||||
Business Acquisition [Line Items] | |||||||||
Final contingent consideration payout | 0 | ||||||||
Interstate Capital Corporation | Maximum | |||||||||
Business Acquisition [Line Items] | |||||||||
Final contingent consideration payout | 22,000,000 | ||||||||
Interstate Capital Corporation | Factoring | |||||||||
Business Acquisition [Line Items] | |||||||||
Goodwill | $ 42,975,000 | ||||||||
Interstate Capital Corporation | Factoring | Customer Relationship | |||||||||
Business Acquisition [Line Items] | |||||||||
Finite lived intangible assets, Amortization period | 8 years | ||||||||
Finite-lived intangible assets, fair value | $ 13,500,000 | ||||||||
Interstate Capital Corporation | Factoring | Trade Name | |||||||||
Business Acquisition [Line Items] | |||||||||
Finite lived intangible assets, Amortization period | 3 years | ||||||||
Finite-lived intangible assets, fair value | $ 420,000 | ||||||||
Valley Bancorp, Inc. | |||||||||
Business Acquisition [Line Items] | |||||||||
Goodwill | $ 10,523,000 | ||||||||
Business acquisition, related costs | 1,251,000 | ||||||||
Date of acquisition completion date | Dec. 9, 2017 | ||||||||
Valley Bancorp, Inc. | PCI Loans | |||||||||
Business Acquisition [Line Items] | |||||||||
Acquired loans at acquisition | $ 1,453,000 | ||||||||
Valley Bancorp, Inc. | Banking | |||||||||
Business Acquisition [Line Items] | |||||||||
Goodwill | $ 10,523,000 | ||||||||
Finite lived intangible assets, Amortization period | 10 years | ||||||||
Independent Bank - Colorado Branches | |||||||||
Business Acquisition [Line Items] | |||||||||
Goodwill | $ 5,817,000 | ||||||||
Finite lived intangible assets, Amortization period | 10 years | ||||||||
Business acquisition, related costs | $ 437,000 | ||||||||
Date of acquisition completion date | Oct. 6, 2017 | ||||||||
Number of branches acquired | Branch | 9 | ||||||||
Aggregate deposit premium | $ 6,771,000 | ||||||||
Aggregate deposit premium, percentage | 4.20% | ||||||||
Independent Bank - Colorado Branches | PCI Loans | |||||||||
Business Acquisition [Line Items] | |||||||||
Acquired loans at acquisition | $ 0 | ||||||||
Independent Bank - Colorado Branches | Banking | |||||||||
Business Acquisition [Line Items] | |||||||||
Goodwill | $ 5,817,000 |
Business Combinations and Div_5
Business Combinations and Divestitures - Summary of Acquired Loans (Details) - USD ($) | Sep. 08, 2018 | Dec. 09, 2017 | Oct. 06, 2017 |
FBD | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | $ 256,384,000 | ||
FBD | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 251,376,000 | ||
FBD | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 5,008,000 | ||
SCC | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 31,454,000 | ||
SCC | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 31,254,000 | ||
SCC | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 200,000 | ||
Total | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 282,630,000 | ||
Total Loans Acquired | 287,838,000 | ||
Total | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 282,630,000 | ||
Total | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 5,208,000 | ||
Valley Bancorp, Inc. | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | $ 171,199,000 | ||
Valley Bancorp, Inc. | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 169,746,000 | ||
Valley Bancorp, Inc. | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 1,453,000 | ||
Independent Bank - Colorado Branches | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | $ 95,794,000 | ||
Independent Bank - Colorado Branches | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 95,794,000 | ||
Independent Bank - Colorado Branches | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 0 | ||
Commercial real estate | FBD | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 140,955,000 | ||
Commercial real estate | FBD | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 832,000 | ||
Commercial real estate | SCC | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 11,894,000 | ||
Commercial real estate | SCC | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 200,000 | ||
Commercial real estate | Total | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 152,849,000 | ||
Total Loans Acquired | 153,881,000 | ||
Commercial real estate | Total | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 1,032,000 | ||
Commercial real estate | Valley Bancorp, Inc. | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 73,527,000 | ||
Commercial real estate | Valley Bancorp, Inc. | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 73,273,000 | ||
Commercial real estate | Valley Bancorp, Inc. | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 254,000 | ||
Commercial real estate | Independent Bank - Colorado Branches | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 13,382,000 | ||
Construction, land development, land | FBD | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 13,949,000 | ||
Construction, land development, land | FBD | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 3,081,000 | ||
Construction, land development, land | SCC | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 5,229,000 | ||
Construction, land development, land | Total | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 19,178,000 | ||
Total Loans Acquired | 22,259,000 | ||
Construction, land development, land | Total | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 3,081,000 | ||
Construction, land development, land | Valley Bancorp, Inc. | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 20,969,000 | ||
Construction, land development, land | Valley Bancorp, Inc. | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 19,770,000 | ||
Construction, land development, land | Valley Bancorp, Inc. | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 1,199,000 | ||
Construction, land development, land | Independent Bank - Colorado Branches | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 537,000 | ||
1-4 family residential properties | FBD | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 59,228,000 | ||
1-4 family residential properties | FBD | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 75,000 | ||
1-4 family residential properties | SCC | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 10,180,000 | ||
1-4 family residential properties | Total | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 69,408,000 | ||
Total Loans Acquired | 69,483,000 | ||
1-4 family residential properties | Total | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 75,000 | ||
1-4 family residential properties | Valley Bancorp, Inc. | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 26,264,000 | ||
1-4 family residential properties | Valley Bancorp, Inc. | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 26,264,000 | ||
1-4 family residential properties | Independent Bank - Colorado Branches | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 6,986,000 | ||
Farmland | FBD | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 5,709,000 | ||
Farmland | SCC | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 1,207,000 | ||
Farmland | Total | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 6,916,000 | ||
Total Loans Acquired | 6,916,000 | ||
Farmland | Valley Bancorp, Inc. | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 16,934,000 | ||
Farmland | Valley Bancorp, Inc. | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 16,934,000 | ||
Farmland | Independent Bank - Colorado Branches | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 31,490,000 | ||
Commercial | FBD | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 26,125,000 | ||
Commercial | FBD | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 1,020,000 | ||
Commercial | SCC | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 2,121,000 | ||
Commercial | Total | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 28,246,000 | ||
Total Loans Acquired | 29,266,000 | ||
Commercial | Total | PCI Loans | |||
Business Acquisition [Line Items] | |||
Acquired loans at acquisition | 1,020,000 | ||
Commercial | Valley Bancorp, Inc. | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 31,893,000 | ||
Commercial | Valley Bancorp, Inc. | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 31,893,000 | ||
Commercial | Independent Bank - Colorado Branches | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 43,104,000 | ||
Consumer | FBD | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 5,410,000 | ||
Consumer | SCC | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 623,000 | ||
Consumer | Total | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | 6,033,000 | ||
Total Loans Acquired | $ 6,033,000 | ||
Consumer | Valley Bancorp, Inc. | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | 1,612,000 | ||
Consumer | Valley Bancorp, Inc. | Non-Purchase Credit Impaired Loans | |||
Business Acquisition [Line Items] | |||
Loans, Excluding PCI Loans | $ 1,612,000 | ||
Consumer | Independent Bank - Colorado Branches | |||
Business Acquisition [Line Items] | |||
Total Loans Acquired | $ 295,000 |
Business Combinations and Div_6
Business Combinations and Divestitures - Schedule of Loans Acquired in Business Combination (Details) - USD ($) | Sep. 08, 2018 | Dec. 09, 2017 | Oct. 06, 2017 |
FBD | PCI Loans | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Acquired During Period [Line Items] | |||
Contractually required principal and interest payments | $ 10,511,000 | ||
Contractual cash flows not expected to be collected (nonaccretable difference) | 2,570,000 | ||
Expected cash flows at acquisition | 7,941,000 | ||
Interest component of expected cash flows (accretable yield) | 2,933,000 | ||
Fair value of loans acquired with deterioration of credit quality | 5,008,000 | ||
FBD | Non-Purchase Credit Impaired Loans | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Acquired During Period [Line Items] | |||
Contractually required principal and interest payments | 318,674,000 | ||
Contractual cash flows not expected to be collected | 4,255,000 | ||
Fair value at acquisition | 251,376,000 | ||
SCC | PCI Loans | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Acquired During Period [Line Items] | |||
Contractually required principal and interest payments | 269,000 | ||
Contractual cash flows not expected to be collected (nonaccretable difference) | 5,000 | ||
Expected cash flows at acquisition | 264,000 | ||
Interest component of expected cash flows (accretable yield) | 64,000 | ||
Fair value of loans acquired with deterioration of credit quality | 200,000 | ||
SCC | Non-Purchase Credit Impaired Loans | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Acquired During Period [Line Items] | |||
Contractually required principal and interest payments | 38,590,000 | ||
Contractual cash flows not expected to be collected | 550,000 | ||
Fair value at acquisition | 31,254,000 | ||
Total | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Acquired During Period [Line Items] | |||
Fair value at acquisition | 282,630,000 | ||
Total | PCI Loans | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Acquired During Period [Line Items] | |||
Contractually required principal and interest payments | 10,780,000 | ||
Contractual cash flows not expected to be collected (nonaccretable difference) | 2,575,000 | ||
Expected cash flows at acquisition | 8,205,000 | ||
Interest component of expected cash flows (accretable yield) | 2,997,000 | ||
Fair value of loans acquired with deterioration of credit quality | 5,208,000 | ||
Total | Non-Purchase Credit Impaired Loans | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Acquired During Period [Line Items] | |||
Contractually required principal and interest payments | 357,264,000 | ||
Contractual cash flows not expected to be collected | 4,805,000 | ||
Fair value at acquisition | $ 282,630,000 | ||
Valley Bancorp, Inc. | PCI Loans | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Acquired During Period [Line Items] | |||
Contractually required principal and interest payments | $ 2,599,000 | ||
Contractual cash flows not expected to be collected (nonaccretable difference) | 775,000 | ||
Expected cash flows at acquisition | 1,824,000 | ||
Interest component of expected cash flows (accretable yield) | 371,000 | ||
Fair value of loans acquired with deterioration of credit quality | 1,453,000 | ||
Valley Bancorp, Inc. | Non-Purchase Credit Impaired Loans | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Acquired During Period [Line Items] | |||
Contractually required principal and interest payments | 214,139,000 | ||
Contractual cash flows not expected to be collected | 3,646,000 | ||
Fair value at acquisition | $ 169,746,000 | ||
Independent Bank - Colorado Branches | PCI Loans | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Acquired During Period [Line Items] | |||
Fair value of loans acquired with deterioration of credit quality | $ 0 | ||
Independent Bank - Colorado Branches | Non-Purchase Credit Impaired Loans | |||
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Acquired During Period [Line Items] | |||
Contractually required principal and interest payments | 122,498,000 | ||
Contractual cash flows not expected to be collected | 3,415,000 | ||
Fair value at acquisition | $ 95,794,000 |
Business Combinations and Div_7
Business Combinations and Divestitures - Schedule of Supplemental Pro Forma Information on Acquisition (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
FBD | ||
Business Acquisition, Pro Forma Information [Abstract] | ||
Net interest income | $ 241,322 | $ 176,154 |
Noninterest income | 26,473 | 45,570 |
Net income | $ 52,269 | $ 39,211 |
Basic earnings per common share | $ 2 | $ 1.68 |
Diluted earnings per common share | $ 1.97 | $ 1.65 |
SCC | ||
Business Acquisition, Pro Forma Information [Abstract] | ||
Net interest income | $ 228,797 | $ 158,166 |
Noninterest income | 23,412 | 41,166 |
Net income | $ 51,541 | $ 36,475 |
Basic earnings per common share | $ 2.05 | $ 1.83 |
Diluted earnings per common share | $ 2.01 | $ 1.79 |
Total | ||
Business Acquisition, Pro Forma Information [Abstract] | ||
Net interest income | $ 243,069 | $ 178,636 |
Noninterest income | 26,915 | 46,080 |
Net income | $ 52,102 | $ 39,466 |
Basic earnings per common share | $ 1.99 | $ 1.66 |
Diluted earnings per common share | $ 1.96 | $ 1.63 |
Business Combinations and Div_8
Business Combinations and Divestitures - Summary of Assets Held for Sale and Consideration Received and Gain on Sale (Details) - USD ($) $ in Thousands | Mar. 16, 2018 | Mar. 31, 2017 | Mar. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2019 |
Business Acquisition [Line Items] | ||||||
Gain on sale of subsidiary or division, net of transaction costs | $ 1,071 | $ 1,071 | $ 20,860 | |||
Triumph Healthcare Finance | ||||||
Business Acquisition [Line Items] | ||||||
Loans | $ 70,147 | |||||
Premises and equipment, net | 19 | |||||
Goodwill | 1,457 | |||||
Intangible assets, net | 958 | |||||
Other assets | 197 | |||||
Total carrying amount | 72,778 | |||||
Total consideration received | 74,017 | |||||
Gain on sale of subsidiary or division | 1,239 | |||||
Transaction costs | 168 | |||||
Gain on sale of subsidiary or division, net of transaction costs | $ 1,071 | |||||
Triumph Capital Advisors, LLC | ||||||
Business Acquisition [Line Items] | ||||||
Cash | $ 10,554 | |||||
Loan receivable | 10,500 | |||||
Revenue share | 1,623 | $ 1,674 | ||||
Total consideration received | 22,677 | |||||
Carrying value of TCA membership interest | 1,417 | |||||
Gain on sale of subsidiary or division | 21,260 | |||||
Transaction costs | 400 | |||||
Gain on sale of subsidiary or division, net of transaction costs | $ 20,860 |
Business Combinations and Div_9
Business Combinations and Divestitures - Summary of Fair Values of Assets Acquired and Liabilities Assumed (Parenthetical) (Details) $ in Thousands | Oct. 06, 2017USD ($) |
Independent Bank - Colorado Branches | |
Business Acquisition [Line Items] | |
Deposit premium | $ 6,771 |
Securities - Additional Informa
Securities - Additional Information (Details) $ in Thousands | Dec. 31, 2019USD ($)securities | Dec. 31, 2018USD ($) |
Schedule Of Equity And Debt Securities [Line Items] | ||
Equity securities, Fair Value | $ 5,437 | $ 5,044 |
Pledged debt securities, at carrying value | $ 48,237 | 80,041 |
Number of securities in an unrealized loss position | securities | 66 | |
Mutual Fund | ||
Schedule Of Equity And Debt Securities [Line Items] | ||
Equity securities, Fair Value | $ 5,437 | $ 5,044 |
Securities - Schedule of Gross
Securities - Schedule of Gross Realized and Unrealized Gains (Losses) Recognized on Equity Securities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Investments Debt And Equity Securities [Abstract] | ||
Unrealized gains (losses) on equity securities still held at the reporting date | $ 393 | $ 38 |
Gross realized and unrealized gains (losses) recognized on equity securities | $ 393 | $ 38 |
Securities - Schedule of Amorti
Securities - Schedule of Amortized Cost of Securities and Their Estimated Fair Values (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Available for sale securities: | ||
Available for sale securities, Amortized Cost | $ 247,381 | $ 337,988 |
Available for sale securities, Gross Unrealized Gains | 1,957 | 572 |
Available for sale securities, Gross Unrealized Losses | (518) | (2,137) |
Available for sale securities, Fair Value | 248,820 | 336,423 |
Held to maturity securities: | ||
Held to maturity securities, Amortized Cost | 8,417 | 8,487 |
Held to maturity securities, Fair Value | 6,907 | 7,326 |
U.S. Government Agency Obligations | ||
Available for sale securities: | ||
Available for sale securities, Amortized Cost | 39,679 | 93,500 |
Available for sale securities, Gross Unrealized Gains | 115 | 9 |
Available for sale securities, Gross Unrealized Losses | (34) | (861) |
Available for sale securities, Fair Value | 39,760 | 92,648 |
U.S. Treasury Notes | ||
Available for sale securities: | ||
Available for sale securities, Amortized Cost | 1,956 | |
Available for sale securities, Gross Unrealized Losses | (24) | |
Available for sale securities, Fair Value | 1,932 | |
Mortgage-backed Securities, Residential | ||
Available for sale securities: | ||
Available for sale securities, Amortized Cost | 37,324 | 39,971 |
Available for sale securities, Gross Unrealized Gains | 728 | 222 |
Available for sale securities, Gross Unrealized Losses | (36) | (457) |
Available for sale securities, Fair Value | 38,016 | 39,736 |
Asset Backed Securities | ||
Available for sale securities: | ||
Available for sale securities, Amortized Cost | 8,039 | 10,165 |
Available for sale securities, Gross Unrealized Gains | 11 | |
Available for sale securities, Gross Unrealized Losses | (80) | (31) |
Available for sale securities, Fair Value | 7,959 | 10,145 |
State and Municipal | ||
Available for sale securities: | ||
Available for sale securities, Amortized Cost | 31,746 | 118,826 |
Available for sale securities, Gross Unrealized Gains | 327 | 175 |
Available for sale securities, Gross Unrealized Losses | (8) | (550) |
Available for sale securities, Fair Value | 32,065 | 118,451 |
Corporate Bonds | ||
Available for sale securities: | ||
Available for sale securities, Amortized Cost | 50,889 | 68,804 |
Available for sale securities, Gross Unrealized Gains | 695 | 150 |
Available for sale securities, Gross Unrealized Losses | (1) | (167) |
Available for sale securities, Fair Value | 51,583 | 68,787 |
CLO Securities | ||
Available for sale securities: | ||
Available for sale securities, Amortized Cost | 75,592 | |
Available for sale securities, Gross Unrealized Gains | 39 | |
Available for sale securities, Gross Unrealized Losses | (358) | |
Available for sale securities, Fair Value | 75,273 | |
Held to maturity securities: | ||
Held to maturity securities, Amortized Cost | 8,417 | 8,487 |
Held to maturity securities, Gross Unrealized Losses | (1,510) | (1,161) |
Held to maturity securities, Fair Value | 6,907 | 7,326 |
SBA Pooled Securities | ||
Available for sale securities: | ||
Available for sale securities, Amortized Cost | 4,112 | 4,766 |
Available for sale securities, Gross Unrealized Gains | 53 | 5 |
Available for sale securities, Gross Unrealized Losses | (1) | (47) |
Available for sale securities, Fair Value | $ 4,164 | $ 4,724 |
Securities - Schedule of Amor_2
Securities - Schedule of Amortized Cost and Estimated Fair Value of Debt Securities by Contractual Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Available for Sale Securities, Amortized Cost | ||
Due in one year or less, Amortized Cost | $ 70,224 | |
Due from one year to five years, Amortized Cost | 40,745 | |
Due from five years to ten years, Amortized Cost | 10,760 | |
Due after ten years, Amortized Cost | 76,177 | |
Available for Sale Securities, with single maturity date, Amortized Cost | 197,906 | |
Available for sale securities, Amortized Cost | 247,381 | $ 337,988 |
Available for Sale Securities, Fair Value | ||
Due in one year or less, Fair Value | 70,561 | |
Due from one year to five years, Fair Value | 41,328 | |
Due from five years to ten years, Fair Value | 10,829 | |
Due after ten years, Fair Value | 75,963 | |
Available for Sale Securities, with single maturity date, Fair Value | 198,681 | |
Available for Sale Securities, Fair Value | 248,820 | 336,423 |
Held to Maturity Securities, Amortized Cost | ||
Due from five years to ten years, Amortized Cost | 8,417 | |
Held to Maturity Securities, with single maturity date, Amortized Cost | 8,417 | |
Held to maturity securities, Amortized Cost | 8,417 | 8,487 |
Held to Maturity Securities, Fair Value | ||
Due from five years to ten years, Fair Value | 6,907 | |
Held to Maturity Securities, with single maturity date, Fair Value | 6,907 | |
Held to Maturity Securities, Fair Value | 6,907 | 7,326 |
Mortgage-backed Securities, Residential | ||
Available for Sale Securities, Amortized Cost | ||
Available for Sale Securities, without single maturity date, Amortized Cost | 37,324 | |
Available for sale securities, Amortized Cost | 37,324 | 39,971 |
Available for Sale Securities, Fair Value | ||
Available for Sale Securities, without single maturity date, Fair Value | 38,016 | |
Available for Sale Securities, Fair Value | 38,016 | 39,736 |
Asset Backed Securities | ||
Available for Sale Securities, Amortized Cost | ||
Available for Sale Securities, without single maturity date, Amortized Cost | 8,039 | |
Available for sale securities, Amortized Cost | 8,039 | 10,165 |
Available for Sale Securities, Fair Value | ||
Available for Sale Securities, without single maturity date, Fair Value | 7,959 | |
Available for Sale Securities, Fair Value | 7,959 | 10,145 |
SBA Pooled Securities | ||
Available for Sale Securities, Amortized Cost | ||
Available for Sale Securities, without single maturity date, Amortized Cost | 4,112 | |
Available for sale securities, Amortized Cost | 4,112 | 4,766 |
Available for Sale Securities, Fair Value | ||
Available for Sale Securities, without single maturity date, Fair Value | 4,164 | |
Available for Sale Securities, Fair Value | $ 4,164 | $ 4,724 |
Securities - Schedule of Procee
Securities - Schedule of Proceeds from Sales of Debt Securities and the Associated Gross Gains and Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Investments Debt And Equity Securities [Abstract] | |||
Proceeds | $ 40,617 | $ 123,016 | $ 32,441 |
Gross gains | 191 | 5 | $ 35 |
Gross losses | $ (130) | $ (277) |
Securities - Schedule of Inform
Securities - Schedule of Information Pertaining to Debt Securities with Gross Unrealized Losses (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | $ 65,611 | $ 102,352 |
Less than 12 Months, Unrealized Losses | (423) | (568) |
12 Months or More, Fair Value | 21,665 | 117,361 |
12 Months or More, Unrealized Losses | (95) | (1,569) |
Total, Fair Value | 87,276 | 219,713 |
Total, Unrealized Losses | (518) | (2,137) |
U.S. Government Agency Obligations | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 17,203 | |
Less than 12 Months, Unrealized Losses | (83) | |
12 Months or More, Fair Value | 12,331 | 72,471 |
12 Months or More, Unrealized Losses | (34) | (778) |
Total, Fair Value | 12,331 | 89,674 |
Total, Unrealized Losses | (34) | (861) |
U.S. Treasury Notes | ||
Schedule Of Available For Sale Securities [Line Items] | ||
12 Months or More, Fair Value | 1,932 | |
12 Months or More, Unrealized Losses | (24) | |
Total, Fair Value | 1,932 | |
Total, Unrealized Losses | (24) | |
Mortgage-backed Securities, Residential | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 3,549 | 9,334 |
Less than 12 Months, Unrealized Losses | (29) | (97) |
12 Months or More, Fair Value | 777 | 13,910 |
12 Months or More, Unrealized Losses | (7) | (360) |
Total, Fair Value | 4,326 | 23,244 |
Total, Unrealized Losses | (36) | (457) |
Asset Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 2,986 | 197 |
Less than 12 Months, Unrealized Losses | (36) | (1) |
12 Months or More, Fair Value | 4,973 | 4,970 |
12 Months or More, Unrealized Losses | (44) | (30) |
Total, Fair Value | 7,959 | 5,167 |
Total, Unrealized Losses | (80) | (31) |
State and Municipal | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 562 | 31,142 |
Less than 12 Months, Unrealized Losses | (201) | |
12 Months or More, Fair Value | 3,426 | 22,478 |
12 Months or More, Unrealized Losses | (8) | (349) |
Total, Fair Value | 3,988 | 53,620 |
Total, Unrealized Losses | (8) | (550) |
CLO Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 58,160 | |
Less than 12 Months, Unrealized Losses | (358) | |
Total, Fair Value | 58,160 | |
Total, Unrealized Losses | (358) | |
Held to maturity securities: | ||
Less than 12 Months, Fair Value | 2,861 | |
Less than 12 Months, Unrealized Losses | (242) | |
12 Months or More, Fair Value | 6,907 | 4,465 |
12 Months or More, Unrealized Losses | (1,510) | (919) |
Total, Fair Value | 6,907 | 7,326 |
Total, Unrealized Losses | (1,510) | (1,161) |
Corporate Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 41,874 | |
Less than 12 Months, Unrealized Losses | (166) | |
12 Months or More, Fair Value | 149 | 149 |
12 Months or More, Unrealized Losses | (1) | (1) |
Total, Fair Value | 149 | 42,023 |
Total, Unrealized Losses | (1) | (167) |
SBA Pooled Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 354 | 2,602 |
Less than 12 Months, Unrealized Losses | (20) | |
12 Months or More, Fair Value | 9 | 1,451 |
12 Months or More, Unrealized Losses | (1) | (27) |
Total, Fair Value | 363 | 4,053 |
Total, Unrealized Losses | $ (1) | $ (47) |
Loans and Allowance for Loan _3
Loans and Allowance for Loan and Lease Losses - Schedule of Loans Held for Sale (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans held for sale | $ 2,735 | $ 2,106 |
1-4 family residential | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Total loans held for sale | $ 2,735 | $ 2,106 |
Loans and Allowance for Loan _4
Loans and Allowance for Loan and Lease Losses - Schedule of Recorded Investment and Unpaid Principal for Loans Held For Investment (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Accounts Notes And Loans Receivable [Line Items] | ||||
Loan, Total | $ 4,194,512 | $ 3,608,644 | ||
Unpaid Principal | 4,209,477 | 3,630,737 | ||
Difference | (14,965) | (22,093) | ||
Allowance for loan and lease losses | (29,092) | (27,571) | $ (18,748) | $ (15,405) |
Loans, net | 4,165,420 | 3,581,073 | ||
Commercial real estate | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loan, Total | 1,046,961 | 992,080 | ||
Unpaid Principal | 1,051,684 | 999,887 | ||
Difference | (4,723) | (7,807) | ||
Allowance for loan and lease losses | (5,353) | (4,493) | (3,435) | (1,813) |
Construction, land development, land | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loan, Total | 160,569 | 179,591 | ||
Unpaid Principal | 162,335 | 183,664 | ||
Difference | (1,766) | (4,073) | ||
Allowance for loan and lease losses | (1,382) | (1,134) | (883) | (465) |
1-4 family residential properties | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loan, Total | 179,425 | 190,185 | ||
Unpaid Principal | 180,340 | 191,852 | ||
Difference | (915) | (1,667) | ||
Allowance for loan and lease losses | (308) | (317) | (293) | (253) |
Farmland | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loan, Total | 154,975 | 170,540 | ||
Unpaid Principal | 156,995 | 173,583 | ||
Difference | (2,020) | (3,043) | ||
Allowance for loan and lease losses | (670) | (535) | (310) | (170) |
Commercial | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loan, Total | 1,342,683 | 1,114,971 | ||
Unpaid Principal | 1,346,444 | 1,118,028 | ||
Difference | (3,761) | (3,057) | ||
Allowance for loan and lease losses | (12,566) | (12,865) | (8,150) | (8,014) |
Factored receivables | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loan, Total | 619,986 | 617,791 | ||
Unpaid Principal | 621,697 | 620,103 | ||
Difference | (1,711) | (2,312) | ||
Allowance for loan and lease losses | (7,657) | (7,299) | (4,597) | (4,088) |
Consumer | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loan, Total | 21,925 | 29,822 | ||
Unpaid Principal | 21,994 | 29,956 | ||
Difference | (69) | (134) | ||
Allowance for loan and lease losses | (488) | (615) | (783) | (420) |
Mortgage warehouse | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loan, Total | 667,988 | 313,664 | ||
Unpaid Principal | 667,988 | 313,664 | ||
Allowance for loan and lease losses | $ (668) | $ (313) | $ (297) | $ (182) |
Loans and Allowance for Loan _5
Loans and Allowance for Loan and Lease Losses - Additional Information (Details) | 12 Months Ended | |||
Dec. 31, 2019USD ($)loan | Dec. 31, 2018USD ($)loan | Dec. 31, 2017USD ($)loan | Dec. 31, 2016USD ($) | |
Accounts Notes And Loans Receivable [Line Items] | ||||
Premiums and discounts on acquired loans | $ 13,573,000 | $ 19,514,000 | ||
Net deferred origination and factoring fees | $ 1,392,000 | $ 2,579,000 | ||
Percentage of total loan portfolio on factored receivables | 11.00% | 14.00% | ||
Majority of factored receivables percentage of loan portfolio | 77.00% | 79.00% | ||
Pledged loans | $ 1,301,851,000 | $ 847,523,000 | ||
Loans transferred to loans held for sale | 46,163,000 | 9,781,000 | $ 3,914,000 | |
Proceeds from loans transferred to loans held for sale | 47,832,000 | 3,834,000 | ||
Gain (loss) on transfer of loans to loans held for sale | 1,669,000 | (80,000) | ||
Recorded investments in troubled debt restructurings | 5,221,000 | 6,847,000 | ||
Allowance for loan and lease losses | 29,092,000 | $ 27,571,000 | $ 18,748,000 | $ 15,405,000 |
Recorded investments in troubled debt restructurings | $ 680,000 | |||
Number of defaults on modified loans | loan | 3 | 0 | 0 | |
Troubled Debt Restructuring | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Allowance for loan and lease losses | $ 718,000 | $ 286,000 | ||
Other non interest income | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Gain (loss) on transfer of loans to loans held for sale | 1,669,000 | 0 | $ (80,000) | |
Factored receivables | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Customer reserves | 66,754,000 | 58,566,000 | ||
Allowance for loan and lease losses | 7,657,000 | 7,299,000 | 4,597,000 | 4,088,000 |
1-4 family residential properties | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Allowance for loan and lease losses | 308,000 | 317,000 | $ 293,000 | $ 253,000 |
1-4 family residential properties | Real Eatate Loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Residential real estate loans in process of foreclosure | $ 87,000 | $ 926,000 | ||
Geographic Concentration Risk | Accounts Receivable | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Percentage of customers located within states | 70.00% | 73.00% | ||
Colorado | Geographic Concentration Risk | Accounts Receivable | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Percentage of customers located within states | 23.00% | 27.00% | ||
Illinois | Geographic Concentration Risk | Accounts Receivable | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Percentage of customers located within states | 13.00% | 15.00% | ||
Iowa | Geographic Concentration Risk | Accounts Receivable | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Percentage of customers located within states | 7.00% | 7.00% | ||
Texas | Geographic Concentration Risk | Accounts Receivable | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Percentage of customers located within states | 27.00% | 24.00% |
Loans and Allowance for Loan _6
Loans and Allowance for Loan and Lease Losses - Summary of Allowance for Loan and Lease Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Allowance for Loan and Lease Losses [Roll Forward] | |||||||||||
Beginning Balance | $ 27,571 | $ 18,748 | $ 27,571 | $ 18,748 | $ 15,405 | ||||||
Provision for loan losses | $ 382 | $ 2,865 | $ 3,681 | 1,014 | $ 1,910 | $ 6,803 | $ 4,906 | 2,548 | 7,942 | 16,167 | 11,628 |
Charge-offs | (7,484) | (8,434) | (8,418) | ||||||||
Recoveries | 1,063 | 1,090 | 2,236 | ||||||||
Reclassification To Held for Sale | (2,103) | ||||||||||
Ending Balance | 29,092 | 27,571 | 29,092 | 27,571 | 18,748 | ||||||
Commercial real estate | |||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||||||||
Beginning Balance | 4,493 | 3,435 | 4,493 | 3,435 | 1,813 | ||||||
Provision for loan losses | 1,163 | 1,044 | 1,822 | ||||||||
Charge-offs | (304) | (90) | (259) | ||||||||
Recoveries | 1 | 104 | 59 | ||||||||
Ending Balance | 5,353 | 4,493 | 5,353 | 4,493 | 3,435 | ||||||
Construction, land development, land | |||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||||||||
Beginning Balance | 1,134 | 883 | 1,134 | 883 | 465 | ||||||
Provision for loan losses | 234 | 293 | 825 | ||||||||
Charge-offs | (78) | (59) | (582) | ||||||||
Recoveries | 92 | 17 | 175 | ||||||||
Ending Balance | 1,382 | 1,134 | 1,382 | 1,134 | 883 | ||||||
1-4 family residential properties | |||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||||||||
Beginning Balance | 317 | 293 | 317 | 293 | 253 | ||||||
Provision for loan losses | 71 | 23 | 24 | ||||||||
Charge-offs | (141) | (17) | (31) | ||||||||
Recoveries | 61 | 18 | 47 | ||||||||
Ending Balance | 308 | 317 | 308 | 317 | 293 | ||||||
Farmland | |||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||||||||
Beginning Balance | 535 | 310 | 535 | 310 | 170 | ||||||
Provision for loan losses | 400 | 425 | 140 | ||||||||
Charge-offs | (265) | (200) | |||||||||
Ending Balance | 670 | 535 | 670 | 535 | 310 | ||||||
Commercial | |||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||||||||
Beginning Balance | 12,865 | 8,150 | 12,865 | 8,150 | 8,014 | ||||||
Provision for loan losses | 2,580 | 10,052 | 5,785 | ||||||||
Charge-offs | (3,326) | (5,855) | (4,875) | ||||||||
Recoveries | 447 | 518 | 1,329 | ||||||||
Reclassification To Held for Sale | (2,103) | ||||||||||
Ending Balance | 12,566 | 12,865 | 12,566 | 12,865 | 8,150 | ||||||
Factored receivables | |||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||||||||
Beginning Balance | 7,299 | 4,597 | 7,299 | 4,597 | 4,088 | ||||||
Provision for loan losses | 2,556 | 3,857 | 2,058 | ||||||||
Charge-offs | (2,494) | (1,224) | (1,667) | ||||||||
Recoveries | 296 | 69 | 118 | ||||||||
Ending Balance | 7,657 | 7,299 | 7,657 | 7,299 | 4,597 | ||||||
Consumer | |||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||||||||
Beginning Balance | 615 | 783 | 615 | 783 | 420 | ||||||
Provision for loan losses | 583 | 457 | 859 | ||||||||
Charge-offs | (876) | (989) | (1,004) | ||||||||
Recoveries | 166 | 364 | 508 | ||||||||
Ending Balance | 488 | 615 | 488 | 615 | 783 | ||||||
Mortgage warehouse | |||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||||||||
Beginning Balance | $ 313 | $ 297 | 313 | 297 | 182 | ||||||
Provision for loan losses | 355 | 16 | 115 | ||||||||
Ending Balance | $ 668 | $ 313 | $ 668 | $ 313 | $ 297 |
Loans and Allowance for Loan _7
Loans and Allowance for Loan and Lease Losses - Summary of Individual and Collective Allowance for Loan Losses and Loan Balances by Class (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loan Evaluation, Individually | $ 49,851 | $ 41,212 | ||
Loan Evaluation, Collectively | 4,131,986 | 3,547,364 | ||
Loans | 4,194,512 | 3,608,644 | ||
ALLL Allocations, Individually | 5,113 | 4,653 | ||
ALLL Allocations, Collectively | 23,975 | 22,914 | ||
ALLL Allocations, Total ALLL | 29,092 | 27,571 | $ 18,748 | $ 15,405 |
Purchased Credit Impaired Loans | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loans | 12,675 | 20,068 | ||
ALLL Allocations, PCI | 4 | 4 | ||
Commercial real estate | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loan Evaluation, Individually | 7,455 | 7,097 | ||
Loan Evaluation, Collectively | 1,030,439 | 974,280 | ||
Loans | 1,046,961 | 992,080 | ||
ALLL Allocations, Individually | 344 | 487 | ||
ALLL Allocations, Collectively | 5,009 | 4,006 | ||
ALLL Allocations, Total ALLL | 5,353 | 4,493 | 3,435 | 1,813 |
Commercial real estate | Purchased Credit Impaired Loans | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loans | 9,067 | 10,703 | ||
Construction, land development, land | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loan Evaluation, Individually | 2,138 | 91 | ||
Loan Evaluation, Collectively | 155,985 | 172,709 | ||
Loans | 160,569 | 179,591 | ||
ALLL Allocations, Individually | 271 | 21 | ||
ALLL Allocations, Collectively | 1,111 | 1,113 | ||
ALLL Allocations, Total ALLL | 1,382 | 1,134 | 883 | 465 |
Construction, land development, land | Purchased Credit Impaired Loans | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loans | 2,446 | 6,791 | ||
1-4 family residential properties | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loan Evaluation, Individually | 1,728 | 2,333 | ||
Loan Evaluation, Collectively | 177,189 | 186,664 | ||
Loans | 179,425 | 190,185 | ||
ALLL Allocations, Individually | 33 | 125 | ||
ALLL Allocations, Collectively | 275 | 192 | ||
ALLL Allocations, Total ALLL | 308 | 317 | 293 | 253 |
1-4 family residential properties | Purchased Credit Impaired Loans | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loans | 508 | 1,188 | ||
Farmland | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loan Evaluation, Individually | 6,638 | 7,424 | ||
Loan Evaluation, Collectively | 148,233 | 162,735 | ||
Loans | 154,975 | 170,540 | ||
ALLL Allocations, Individually | 72 | |||
ALLL Allocations, Collectively | 670 | 463 | ||
ALLL Allocations, Total ALLL | 670 | 535 | 310 | 170 |
Farmland | Purchased Credit Impaired Loans | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loans | 104 | 381 | ||
Commercial | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loan Evaluation, Individually | 15,618 | 17,153 | ||
Loan Evaluation, Collectively | 1,326,515 | 1,096,813 | ||
Loans | 1,342,683 | 1,114,971 | ||
ALLL Allocations, Individually | 1,278 | 1,958 | ||
ALLL Allocations, Collectively | 11,284 | 10,903 | ||
ALLL Allocations, Total ALLL | 12,566 | 12,865 | 8,150 | 8,014 |
Commercial | Purchased Credit Impaired Loans | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loans | 550 | 1,005 | ||
ALLL Allocations, PCI | 4 | 4 | ||
Factored receivables | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loan Evaluation, Individually | 15,947 | 6,759 | ||
Loan Evaluation, Collectively | 604,039 | 611,032 | ||
Loans | 619,986 | 617,791 | ||
ALLL Allocations, Individually | 3,178 | 1,968 | ||
ALLL Allocations, Collectively | 4,479 | 5,331 | ||
ALLL Allocations, Total ALLL | 7,657 | 7,299 | 4,597 | 4,088 |
Consumer | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loan Evaluation, Individually | 327 | 355 | ||
Loan Evaluation, Collectively | 21,598 | 29,467 | ||
Loans | 21,925 | 29,822 | ||
ALLL Allocations, Individually | 9 | 22 | ||
ALLL Allocations, Collectively | 479 | 593 | ||
ALLL Allocations, Total ALLL | 488 | 615 | 783 | 420 |
Mortgage warehouse | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Loan Evaluation, Collectively | 667,988 | 313,664 | ||
Loans | 667,988 | 313,664 | ||
ALLL Allocations, Collectively | 668 | 313 | ||
ALLL Allocations, Total ALLL | $ 668 | $ 313 | $ 297 | $ 182 |
Loans and Allowance for Loan _8
Loans and Allowance for Loan and Lease Losses - Summary of Information Pertaining to Impaired Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financing Receivable Impaired [Line Items] | |||
Recorded Investment, With Valuation Allowance | $ 23,908 | $ 18,968 | |
Unpaid Principal, With Valuation Allowance | 23,928 | 18,946 | |
Related Allowance, With Valuation Allowance | 5,117 | 4,657 | |
Recorded Investment, Without Valuation Allowance | 26,014 | 22,315 | |
Unpaid Principal, Without Valuation Allowance | 26,635 | 23,139 | |
Average Impaired Loans | 45,603 | 40,297 | $ 40,184 |
Interest Recognized | 918 | 1,244 | 731 |
Purchased Credit Impaired Loans | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment, With Valuation Allowance | 71 | 71 | |
Unpaid Principal, With Valuation Allowance | 55 | 55 | |
Related Allowance, With Valuation Allowance | 4 | 4 | |
Average Impaired Loans | 71 | 35 | 262 |
Commercial real estate | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment, With Valuation Allowance | 878 | 5,610 | |
Unpaid Principal, With Valuation Allowance | 907 | 5,614 | |
Related Allowance, With Valuation Allowance | 344 | 487 | |
Recorded Investment, Without Valuation Allowance | 6,577 | 1,487 | |
Unpaid Principal, Without Valuation Allowance | 6,643 | 1,520 | |
Average Impaired Loans | 7,276 | 4,055 | 1,234 |
Interest Recognized | 117 | 86 | 33 |
Construction, land development, land | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment, With Valuation Allowance | 935 | 91 | |
Unpaid Principal, With Valuation Allowance | 935 | 91 | |
Related Allowance, With Valuation Allowance | 271 | 21 | |
Recorded Investment, Without Valuation Allowance | 1,203 | ||
Unpaid Principal, Without Valuation Allowance | 1,305 | ||
Average Impaired Loans | 1,114 | 113 | 249 |
Interest Recognized | 35 | ||
1-4 family residential properties | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment, With Valuation Allowance | 35 | 225 | |
Unpaid Principal, With Valuation Allowance | 22 | 216 | |
Related Allowance, With Valuation Allowance | 33 | 125 | |
Recorded Investment, Without Valuation Allowance | 1,693 | 2,108 | |
Unpaid Principal, Without Valuation Allowance | 1,799 | 2,255 | |
Average Impaired Loans | 2,031 | 2,486 | 1,867 |
Interest Recognized | 47 | 77 | 45 |
Farmland | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment, With Valuation Allowance | 914 | ||
Unpaid Principal, With Valuation Allowance | 900 | ||
Related Allowance, With Valuation Allowance | 72 | ||
Recorded Investment, Without Valuation Allowance | 6,638 | 6,510 | |
Unpaid Principal, Without Valuation Allowance | 6,819 | 6,979 | |
Average Impaired Loans | 7,031 | 5,612 | 2,567 |
Interest Recognized | 107 | 197 | 45 |
Commercial | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment, With Valuation Allowance | 6,032 | 5,235 | |
Unpaid Principal, With Valuation Allowance | 6,053 | 5,254 | |
Related Allowance, With Valuation Allowance | 1,278 | 1,958 | |
Recorded Investment, Without Valuation Allowance | 9,586 | 11,918 | |
Unpaid Principal, Without Valuation Allowance | 9,751 | 12,089 | |
Average Impaired Loans | 16,386 | 21,885 | 29,825 |
Interest Recognized | 605 | 870 | 599 |
Factored receivables | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment, With Valuation Allowance | 15,940 | 6,759 | |
Unpaid Principal, With Valuation Allowance | 15,940 | 6,759 | |
Related Allowance, With Valuation Allowance | 3,178 | 1,968 | |
Recorded Investment, Without Valuation Allowance | 7 | ||
Unpaid Principal, Without Valuation Allowance | 7 | ||
Average Impaired Loans | 11,353 | 5,742 | 3,951 |
Consumer | |||
Financing Receivable Impaired [Line Items] | |||
Recorded Investment, With Valuation Allowance | 17 | 63 | |
Unpaid Principal, With Valuation Allowance | 16 | 57 | |
Related Allowance, With Valuation Allowance | 9 | 22 | |
Recorded Investment, Without Valuation Allowance | 310 | 292 | |
Unpaid Principal, Without Valuation Allowance | 311 | 296 | |
Average Impaired Loans | 341 | 369 | 229 |
Interest Recognized | $ 7 | $ 14 | $ 9 |
Loans and Allowance for Loan _9
Loans and Allowance for Loan and Lease Losses - Summary of Contractually Past Due and Nonaccrual Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accounts Notes And Loans Receivable [Line Items] | ||
30-89 Days Past Due | $ 51,589 | $ 52,695 |
Past Due 90 Days or More Still Accruing | 4,226 | 3,559 |
Nonaccrual | 36,054 | 30,785 |
Total Past Due | 91,869 | 87,039 |
Purchased Credit Impaired Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-89 Days Past Due | 5,739 | 788 |
Nonaccrual | 2,532 | 3,525 |
Total Past Due | 8,271 | 4,313 |
Commercial real estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-89 Days Past Due | 1,356 | 2,625 |
Past Due 90 Days or More Still Accruing | 397 | |
Nonaccrual | 7,455 | 7,096 |
Total Past Due | 8,811 | 10,118 |
Construction, land development, land | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-89 Days Past Due | 1,003 | |
Nonaccrual | 2,138 | 91 |
Total Past Due | 2,138 | 1,094 |
1-4 family residential properties | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-89 Days Past Due | 1,783 | 2,103 |
Nonaccrual | 1,647 | 1,588 |
Total Past Due | 3,430 | 3,691 |
Farmland | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-89 Days Past Due | 52 | 308 |
Nonaccrual | 6,390 | 4,059 |
Total Past Due | 6,442 | 4,367 |
Commercial | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-89 Days Past Due | 5,478 | 3,728 |
Past Due 90 Days or More Still Accruing | 999 | |
Nonaccrual | 15,565 | 14,071 |
Total Past Due | 21,043 | 18,798 |
Factored receivables | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-89 Days Past Due | 36,300 | 41,135 |
Past Due 90 Days or More Still Accruing | 4,226 | 2,152 |
Total Past Due | 40,526 | 43,287 |
Consumer | ||
Accounts Notes And Loans Receivable [Line Items] | ||
30-89 Days Past Due | 881 | 1,005 |
Past Due 90 Days or More Still Accruing | 11 | |
Nonaccrual | 327 | 355 |
Total Past Due | $ 1,208 | $ 1,371 |
Loans and Allowance for Loan_10
Loans and Allowance for Loan and Lease Losses - Schedule of Nonperforming Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | |
Accounts Notes And Loans Receivable [Line Items] | |||
Nonaccrual loans | $ 36,054 | $ 30,785 | |
Past Due 90 Days or More Still Accruing | 4,226 | 3,559 | |
Factored receivables | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Past Due 90 Days or More Still Accruing | 4,226 | 2,152 | |
Nonperforming Loans | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Nonaccrual loans | [1] | 36,054 | 30,785 |
Troubled debt restructurings accruing interest | 333 | 3,117 | |
Total loans | 40,613 | 36,054 | |
Nonperforming Loans | Factored receivables | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Past Due 90 Days or More Still Accruing | $ 4,226 | $ 2,152 | |
[1] | Includes troubled debt restructurings of $4,888,000 and $3,730,000 at December 31, 2019 and 2018, respectively. |
Loans and Allowance for Loan_11
Loans and Allowance for Loan and Lease Losses - Schedule of Nonperforming Loans (Parenthetical) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accounts Notes And Loans Receivable [Line Items] | ||
Nonaccrual loans | $ 36,054 | $ 30,785 |
Troubled Debt Restructuring | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Nonaccrual loans | $ 4,888 | $ 3,730 |
Loans and Allowance for Loan_12
Loans and Allowance for Loan and Lease Losses - Summary of Analysis Performed Risk category Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | $ 4,194,512 | $ 3,608,644 |
Commercial real estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 1,046,961 | 992,080 |
Construction, land development, land | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 160,569 | 179,591 |
1-4 family residential | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 179,425 | 190,185 |
Farmland | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 154,975 | 170,540 |
Commercial | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 1,342,683 | 1,114,971 |
Factored receivables | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 619,986 | 617,791 |
Consumer | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 21,925 | 29,822 |
Mortgage warehouse | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 667,988 | 313,664 |
Purchased Credit Impaired Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 12,675 | 20,068 |
Purchased Credit Impaired Loans | Commercial real estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 9,067 | 10,703 |
Purchased Credit Impaired Loans | Construction, land development, land | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 2,446 | 6,791 |
Purchased Credit Impaired Loans | 1-4 family residential | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 508 | 1,188 |
Purchased Credit Impaired Loans | Farmland | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 104 | 381 |
Purchased Credit Impaired Loans | Commercial | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 550 | 1,005 |
Pass | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 4,115,695 | 3,548,534 |
Pass | Commercial real estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 1,030,358 | 977,548 |
Pass | Construction, land development, land | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 155,985 | 172,709 |
Pass | 1-4 family residential | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 177,177 | 187,251 |
Pass | Farmland | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 144,777 | 161,565 |
Pass | Commercial | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 1,313,042 | 1,093,759 |
Pass | Factored receivables | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 604,774 | 612,577 |
Pass | Consumer | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 21,594 | 29,461 |
Pass | Mortgage warehouse | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 667,988 | 313,664 |
Classified | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 66,142 | 40,042 |
Classified | Commercial real estate | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 7,536 | 3,829 |
Classified | Construction, land development, land | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 2,138 | 91 |
Classified | 1-4 family residential | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 1,740 | 1,746 |
Classified | Farmland | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 10,094 | 8,594 |
Classified | Commercial | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 29,091 | 20,207 |
Classified | Factored receivables | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 15,212 | 5,214 |
Classified | Consumer | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | $ 331 | $ 361 |
Loans and Allowance for Loan_13
Loans and Allowance for Loan and Lease Losses - Schedule of Loans Modified as Troubled Debt Restructurings (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019USD ($)loan | Dec. 31, 2018USD ($)loan | Dec. 31, 2017USD ($)loan | |
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 7,105 | $ 1,830 | |
Number of Loans | loan | 14 | 15 | |
Extended Amortization Period | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 1,762 | $ 1,241 | |
Payment Deferrals | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | 153 | 589 | |
AB Note Restructure | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | 4,597 | ||
Extended Maturity and Reduced Interest Rate | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | 593 | ||
Commercial real estate | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 4,597 | $ 589 | |
Number of Loans | loan | 1 | 2 | |
Commercial real estate | Payment Deferrals | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 589 | ||
Commercial real estate | AB Note Restructure | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 4,597 | ||
1-4 family residential properties | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 38 | $ 103 | |
Number of Loans | loan | 2 | 2 | |
1-4 family residential properties | Extended Amortization Period | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 103 | ||
1-4 family residential properties | Payment Deferrals | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 38 | ||
Farmland | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 263 | ||
Number of Loans | loan | 1 | ||
Farmland | Extended Amortization Period | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 263 | ||
Commercial | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 2,470 | $ 875 | $ 8,831 |
Number of Loans | loan | 11 | 10 | 8 |
Commercial | Extended Amortization Period | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 1,762 | $ 875 | $ 8,831 |
Commercial | Payment Deferrals | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | 115 | ||
Commercial | Extended Maturity and Reduced Interest Rate | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total Modifications | $ 593 |
Loans and Allowance for Loan_14
Loans and Allowance for Loan and Lease Losses - Schedule of Outstanding Contractually Required Principal and Interest and Carrying Amount of PCI Loans Receivable (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accounts Notes And Loans Receivable [Line Items] | ||
Outstanding contractually required principal and interest | $ 14,692 | $ 26,722 |
Loans | 4,194,512 | 3,608,644 |
Real Estate Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Outstanding contractually required principal and interest | 14,015 | 22,644 |
Commercial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Outstanding contractually required principal and interest | 677 | 4,078 |
Loans | 1,342,683 | 1,114,971 |
Purchased Credit Impaired Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | 12,675 | 20,068 |
Purchased Credit Impaired Loans | Commercial Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans | $ 550 | $ 1,005 |
Loans and Allowance for Loan_15
Loans and Allowance for Loan and Lease Losses - Schedule of Changes in Accretable Yield for the PCI Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | |||
Accretable yield, beginning balance | $ 5,711 | $ 2,793 | $ 4,261 |
Additions | 2,997 | 371 | |
Accretion | (3,835) | (1,430) | (3,442) |
Reclassification from nonaccretable to accretable yield | 257 | 1,351 | 2,108 |
Disposals | (814) | (505) | |
Accretable yield, ending balance | $ 1,319 | $ 5,711 | $ 2,793 |
Other Real Estate Owned - Sched
Other Real Estate Owned - Schedule of Other Real Estate Owned Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Other Real Estate [Abstract] | |||
Beginning balance | $ 2,060 | $ 9,191 | $ 6,077 |
Acquired through business acquisition | 213 | 2,282 | |
Loans transferred to OREO | 3,360 | 514 | 6,585 |
Premises transferred to OREO | 1,139 | 276 | |
Net OREO gains (losses) and valuation adjustments | 351 | (514) | (850) |
Sales of OREO | (2,762) | (8,483) | (5,179) |
Ending balance | $ 3,009 | $ 2,060 | $ 9,191 |
Premises and Equipment - Schedu
Premises and Equipment - Schedule of Premises and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Property Plant And Equipment [Line Items] | ||
Premises and equipment, gross | $ 117,555 | $ 100,078 |
Accumulated depreciation | (20,960) | (16,686) |
Premises and equipment, net | 96,595 | 83,392 |
Land | ||
Property Plant And Equipment [Line Items] | ||
Premises and equipment, gross | 13,139 | 13,119 |
Buildings | ||
Property Plant And Equipment [Line Items] | ||
Premises and equipment, gross | 50,525 | 49,132 |
Leasehold Improvements | ||
Property Plant And Equipment [Line Items] | ||
Premises and equipment, gross | 21,842 | 13,191 |
Automobiles and Aircraft | ||
Property Plant And Equipment [Line Items] | ||
Premises and equipment, gross | 6,060 | 5,821 |
Furniture, Fixtures and Equipment | ||
Property Plant And Equipment [Line Items] | ||
Premises and equipment, gross | $ 25,989 | $ 18,815 |
Premises and Equipment - Additi
Premises and Equipment - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Property Plant And Equipment [Abstract] | |||
Depreciation | $ 8,135,000 | $ 5,720,000 | $ 4,001,000 |
Operating lease liability | $ 21,042,000 | ||
Operating Lease, Liability, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesMember | ||
Operating lease right-of-use asset | $ 21,066,000 | ||
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssetsMember | ||
Remaining lease term | 6 years 7 months 6 days | ||
Discount rate (as a percent) | 3.40% | ||
Operating Leases, Rent Expense | $ 3,229,000 | $ 2,261,000 | |
Sale and Leaseback Transactions, Leveraged Leases, or Lease Transactions with Related Parties | $ 0 | ||
Lessee, Operating Lease, Lease Not yet Commenced, Description | the Company did not have any leases that had not yet commenced |
Premises and Equipment - Sche_2
Premises and Equipment - Schedule of Lease Cost (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Property Plant And Equipment [Abstract] | |
Operating lease cost | $ 4,377 |
Variable lease cost | 333 |
Total lease cost | $ 4,710 |
Premises and Equipment - Sche_3
Premises and Equipment - Schedule of Total Operating Lease Liability (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Property Plant And Equipment [Abstract] | |
Within one year | $ 4,036 |
After one but within two years | 4,008 |
After two but within three years | 3,697 |
After three but within four years | 3,160 |
After four but within five years | 2,918 |
After five years | 5,744 |
Total undiscounted cash flows | 23,563 |
Discount on cash flows | (2,521) |
Operating lease liability | $ 21,042 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Schedule of Intangible Assets and Goodwill (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Goodwill And Intangible Assets [Line Items] | ||
Goodwill | $ 158,743 | $ 158,743 |
Finite-Lived Intangible Assets, Gross Carrying Amount | 59,278 | 59,278 |
Finite-Lived Intangible Assets, Accumulated Amortization | (27,735) | (18,604) |
Finite-Lived Intangible Assets, Net Carrying Amount | 31,543 | 40,674 |
Core Deposit Intangibles | ||
Goodwill And Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross Carrying Amount | 43,578 | 43,578 |
Finite-Lived Intangible Assets, Accumulated Amortization | (22,258) | (16,266) |
Finite-Lived Intangible Assets, Net Carrying Amount | 21,320 | 27,312 |
Other Intangible Assets | ||
Goodwill And Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross Carrying Amount | 15,700 | 15,700 |
Finite-Lived Intangible Assets, Accumulated Amortization | (5,477) | (2,338) |
Finite-Lived Intangible Assets, Net Carrying Amount | $ 10,223 | $ 13,362 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Schedule of Changes in Goodwill and Intangible Assets by Operating Segment (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Goodwill And Intangible Assets [Line Items] | |||
Goodwill and intangible assets, beginning | $ 199,417,000 | $ 63,778,000 | $ 46,531,000 |
Acquired goodwill | 115,050,000 | 16,340,000 | |
Acquired intangibles | 28,002,000 | 9,478,000 | |
Amortization of intangibles | (9,131,000) | (6,980,000) | (5,201,000) |
Divestiture of intangibles | (433,000) | (1,339,000) | |
Reclass of goodwill to assets held for sale | (1,024,000) | ||
Reclass of intangibles to assets held for sale | (1,007,000) | ||
Goodwill and intangible assets, ending | 190,286,000 | 199,417,000 | 63,778,000 |
Operating Segments | Banking | |||
Goodwill And Intangible Assets [Line Items] | |||
Goodwill and intangible assets, beginning | 135,477,000 | 54,910,000 | 36,139,000 |
Acquired goodwill | 72,075,000 | 16,340,000 | |
Acquired intangibles | 14,069,000 | 9,478,000 | |
Amortization of intangibles | (6,205,000) | (5,144,000) | (5,016,000) |
Divestiture of intangibles | (433,000) | ||
Reclass of goodwill to assets held for sale | (1,024,000) | ||
Reclass of intangibles to assets held for sale | (1,007,000) | ||
Goodwill and intangible assets, ending | 129,272,000 | 135,477,000 | 54,910,000 |
Operating Segments | Factoring | |||
Goodwill And Intangible Assets [Line Items] | |||
Goodwill and intangible assets, beginning | 63,940,000 | 8,868,000 | 8,871,000 |
Acquired goodwill | 42,975,000 | ||
Acquired intangibles | 13,933,000 | ||
Amortization of intangibles | (2,926,000) | (1,836,000) | (3,000) |
Goodwill and intangible assets, ending | 61,014,000 | $ 63,940,000 | 8,868,000 |
Operating Segments | Corporate | |||
Goodwill And Intangible Assets [Line Items] | |||
Goodwill and intangible assets, beginning | 1,521,000 | ||
Amortization of intangibles | (182,000) | ||
Divestiture of intangibles | $ (1,339,000) | ||
Goodwill and intangible assets, ending | $ 0 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Additional Information (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Goodwill And Intangible Assets [Line Items] | ||||
Goodwill and intangible assets, net | $ 190,286,000 | $ 199,417,000 | $ 63,778,000 | $ 46,531,000 |
Goodwill impairment | 0 | 0 | 0 | |
Intangibles, impairment charge | $ 0 | $ 0 | ||
Minimum | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Finite lived intangible assets, Amortization period | 8 years | |||
Maximum | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Finite lived intangible assets, Amortization period | 10 years | |||
Core Deposit Intangibles | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Intangibles, impairment charge | $ 1,276,000 | |||
Corporate | Operating Segment | ||||
Goodwill And Intangible Assets [Line Items] | ||||
Goodwill and intangible assets, net | $ 0 | $ 1,521,000 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Schedule of Future Amortization Related to Company's Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
2020 | $ 7,941 | |
2021 | 6,670 | |
2022 | 5,422 | |
2023 | 4,236 | |
2024 | 3,167 | |
Thereafter | 4,107 | |
Finite-Lived Intangible Assets, Net Carrying Amount | $ 31,543 | $ 40,674 |
Equity Method Investment - Addi
Equity Method Investment - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2017 | Oct. 17, 2019 | |
Schedule Of Equity Method Investments [Line Items] | |||
Earnings from equity method investments | $ 0 | $ 2,226,000 | |
Warehouse Solutions, Inc. | |||
Schedule Of Equity Method Investments [Line Items] | |||
Equity method investments and warrants | 8,037,000 | $ 8,000,000 | |
Equity method investment, ownership percentage | 8.00% | ||
Equity method investment, ownership percentage to be purchased through exercise of warrant | 10.00% | ||
Equity investment allocated to purchase of common stock | 4,813,000 | ||
Equity investment allocated to purchase of warrants | $ 3,224,000 |
Variable Interest Entities - Ad
Variable Interest Entities - Additional Information - (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2017 | Dec. 31, 2018 | |
Variable Interest Entity [Line Items] | |||
Held to maturity security | $ 8,417,000 | $ 8,487,000 | |
Income from investment in CLO warehouse entities | 0 | $ 2,226,000 | |
Collateralized Loan Obligation Funds | |||
Variable Interest Entity [Line Items] | |||
Held to maturity security | 8,417,000 | 8,487,000 | |
Income from investment in CLO warehouse entities | 2,226,000 | ||
Collateralized Loan Obligation Funds | Warehouse CLO Funds | |||
Variable Interest Entity [Line Items] | |||
Equity investments | $ 0 | $ 0 | |
Asset management fees | |||
Variable Interest Entity [Line Items] | |||
Asset management fees | $ 1,717,000 |
Variable Interest Entities - Su
Variable Interest Entities - Summary of Closed CLO Funds (Details) - Collateralized Loan Obligation Funds - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Jun. 20, 2017 | Sep. 22, 2016 | Jun. 02, 2016 | |
Trinitas IV | ||||
Variable Interest Entity [Line Items] | ||||
Offering Amount | $ 406,650 | |||
Offering Date | Jun. 2, 2016 | |||
Trinitas V | ||||
Variable Interest Entity [Line Items] | ||||
Offering Amount | $ 409,000 | |||
Offering Date | Sep. 22, 2016 | |||
Trinitas VI | ||||
Variable Interest Entity [Line Items] | ||||
Offering Amount | $ 717,100 | |||
Offering Date | Jun. 20, 2017 |
Deposits - Summary of Deposits
Deposits - Summary of Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deposits [Abstract] | ||
Noninterest bearing demand | $ 809,696 | $ 724,527 |
Interest bearing demand | 580,323 | 615,704 |
Individual retirement accounts | 104,472 | 115,583 |
Money market | 497,105 | 443,663 |
Savings | 363,270 | 369,389 |
Certificates of deposit | 1,084,425 | 835,127 |
Brokered deposits | 350,615 | 346,356 |
Total deposits | $ 3,789,906 | $ 3,450,349 |
Deposits - Scheduled Maturities
Deposits - Scheduled Maturities of Time Deposits, Including Certificates of Deposits, Individual Retirement Accounts and Brokered Deposits (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Deposits [Abstract] | |
Within one year | $ 1,245,273 |
After one but within two years | 262,385 |
After two but within three years | 19,713 |
After three but within four years | 8,187 |
After four but within five years | 3,954 |
Total | $ 1,539,512 |
Deposits - Additional Informati
Deposits - Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deposits [Abstract] | ||
Time deposits | $ 252,529 | $ 187,123 |
Borrowings and Borrowing Capa_3
Borrowings and Borrowing Capacity - Summary of Customer Repurchase Agreements (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Debt Disclosure [Abstract] | ||
Amount outstanding at end of the year | $ 2,033 | $ 4,485 |
Weighted average interest rate at end of the year | 0.03% | 0.01% |
Average daily balance during the year | $ 7,823 | $ 8,648 |
Weighted average interest rate during the year | 0.02% | 0.02% |
Maximum month-end balance during the year | $ 14,463 | $ 13,844 |
Borrowings and Borrowing Capa_4
Borrowings and Borrowing Capacity - Summary of Customer Repurchase Agreements are Secured by Pledged Securities with Carrying Amount (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||
Pledged Securities | $ 48,237 | $ 80,041 |
Pledged Securities | Customer Repurchase Agreements | U.S. Government Agency Obligations | ||
Debt Instrument [Line Items] | ||
Pledged Securities | $ 2,997 | $ 5,916 |
Borrowings and Borrowing Capa_5
Borrowings and Borrowing Capacity - Summary of FHLB Advances and Weighted Average Interest Rates by Contractual Maturity (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Debt Disclosure [Abstract] | |
2020, Balance Outstanding, Fixed Rate | $ 400,000 |
Total Balance Outstanding, Fixed Rate | $ 400,000 |
2020, Fixed Weighted Average Interest Rate | 1.56% |
Total Fixed Weighted Average Interest Rate | 1.56% |
2027, Balance Outstanding, Variable Rate | $ 30,000 |
Total Balance Outstanding, Variable Rate | $ 30,000 |
2027, Variable Weighted Average Interest Rate | 1.84% |
Total Variable Weighted Average Interest Rate | 1.84% |
Borrowings and Borrowing Capa_6
Borrowings and Borrowing Capacity - Summary of Information Concerning FHLB Advances (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Debt Disclosure [Abstract] | ||
Amount outstanding at end of the year | $ 430,000,000 | $ 330,000,000 |
Weighted average interest rate at end of the year | 1.58% | 2.52% |
Average daily balance during the year | $ 369,548,000 | $ 345,388,000 |
Weighted average interest rate during the year | 2.32% | 1.96% |
Maximum month-end balance during the year | $ 530,000,000 | $ 455,000,000 |
Borrowings and Borrowing Capa_7
Borrowings and Borrowing Capacity - Schedule of FHLB Advances (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Disclosure [Abstract] | ||
FHLB Advances, Borrowing capacity | $ 1,300,985 | $ 846,427 |
FHLB Advances, Borrowings outstanding | 430,000 | 330,000 |
FHLB Advances, Unused borrowing capacity | $ 870,985 | $ 516,427 |
Borrowings and Borrowing Capa_8
Borrowings and Borrowing Capacity - Additional Information (Details) - USD ($) | Nov. 27, 2019 | Sep. 30, 2016 | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||||
Federal funds purchased | $ 0 | $ 0 | ||
Unsecured federal funds line of credit | 137,500,000 | |||
Subordinated notes, carrying values | 87,327,000 | 48,929,000 | ||
Junior subordinated debentures | 39,566,000 | 39,083,000 | ||
Fixed-to-Floating Rate Subordinated Notes due 2026 | ||||
Debt Instrument [Line Items] | ||||
Subordinated notes issued | $ 50,000,000 | |||
Initial interest rate | 6.50% | |||
Subordinated notes, carrying values | $ 49,037,000 | $ 48,929,000 | ||
Issuance costs of notes | $ 1,324,000 | |||
Notes underwriting discount percentage | 1.50% | |||
Notes underwriting discount amount | $ 750,000 | |||
Fixed-to-Floating Rate Subordinated Notes due 2026 | London Interbank Offered Rate (LIBOR) | ||||
Debt Instrument [Line Items] | ||||
Description of floating rate basis | three-month LIBOR | |||
Interest Rate | 5.345% | |||
Fixed-to-Floating Rate Subordinated Notes due 2029 | ||||
Debt Instrument [Line Items] | ||||
Subordinated notes issued | $ 39,500,000 | |||
Initial interest rate | 4.875% | |||
Subordinated notes, carrying values | $ 38,290,000 | |||
Issuance costs of notes | $ 1,218,000 | |||
Notes underwriting discount percentage | 1.50% | |||
Notes underwriting discount amount | $ 593,000 | |||
Fixed-to-Floating Rate Subordinated Notes due 2029 | London Interbank Offered Rate (LIBOR) | ||||
Debt Instrument [Line Items] | ||||
Description of floating rate basis | three-month LIBOR | |||
Interest Rate | 3.33% |
Borrowings and Borrowing Capa_9
Borrowings and Borrowing Capacity - Summary of Junior Subordinated Debentures (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Debt Instrument [Line Items] | ||
Face Value | $ 51,031,000 | |
Carrying Value | 39,566,000 | $ 39,083,000 |
National Bancshares Capital Trusts II | ||
Debt Instrument [Line Items] | ||
Face Value | 15,464,000 | |
Carrying Value | $ 13,094,000 | |
Maturity Date | 2033-09 | |
National Bancshares Capital Trusts II | London Interbank Offered Rate (LIBOR) | ||
Debt Instrument [Line Items] | ||
Interest Rate, Description | LIBOR + 3.00% | |
Interest Rate | 4.89% | |
National Bancshares Capital Trusts III | ||
Debt Instrument [Line Items] | ||
Face Value | $ 17,526,000 | |
Carrying Value | $ 12,771,000 | |
Maturity Date | 2036-07 | |
National Bancshares Capital Trusts III | London Interbank Offered Rate (LIBOR) | ||
Debt Instrument [Line Items] | ||
Interest Rate, Description | LIBOR + 1.64% | |
Interest Rate | 3.63% | |
ColoEast Capital Trust I | ||
Debt Instrument [Line Items] | ||
Face Value | $ 5,155,000 | |
Carrying Value | $ 3,543,000 | |
Maturity Date | 2035-09 | |
ColoEast Capital Trust I | London Interbank Offered Rate (LIBOR) | ||
Debt Instrument [Line Items] | ||
Interest Rate, Description | LIBOR + 1.60% | |
Interest Rate | 3.56% | |
ColoEast Capital Trust II | ||
Debt Instrument [Line Items] | ||
Face Value | $ 6,700,000 | |
Carrying Value | $ 4,627,000 | |
Maturity Date | 2037-03 | |
ColoEast Capital Trust II | London Interbank Offered Rate (LIBOR) | ||
Debt Instrument [Line Items] | ||
Interest Rate, Description | LIBOR + 1.79% | |
Interest Rate | 3.75% | |
Valley Bancorp Statutory Trust I | ||
Debt Instrument [Line Items] | ||
Face Value | $ 3,093,000 | |
Carrying Value | $ 2,867,000 | |
Maturity Date | 2032-09 | |
Valley Bancorp Statutory Trust I | London Interbank Offered Rate (LIBOR) | ||
Debt Instrument [Line Items] | ||
Interest Rate, Description | LIBOR + 3.40% | |
Interest Rate | 5.35% | |
Valley Bancorp Statutory Trust II | ||
Debt Instrument [Line Items] | ||
Face Value | $ 3,093,000 | |
Carrying Value | $ 2,664,000 | |
Maturity Date | 2034-07 | |
Valley Bancorp Statutory Trust II | London Interbank Offered Rate (LIBOR) | ||
Debt Instrument [Line Items] | ||
Interest Rate, Description | LIBOR + 2.75% | |
Interest Rate | 4.65% |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Compensation And Retirement Disclosure [Abstract] | |||
Employer contribution towards compensation | 100.00% | ||
Compensation contributed percentage | 4.00% | ||
Compensation expenses | $ 2,306 | $ 1,838 | $ 1,468 |
Income Taxes - Summary of Incom
Income Taxes - Summary of Income Tax Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income tax expense: | |||||||||||
Current | $ 12,971 | $ 14,091 | $ 14,714 | ||||||||
Deferred | 3,908 | 708 | 10,174 | ||||||||
Change in valuation allowance for deferred tax asset | 23 | (7) | (10) | ||||||||
Income tax expense | $ 5,322 | $ 3,172 | $ 3,927 | $ 4,481 | $ 4,718 | $ 2,922 | $ 3,508 | $ 3,644 | $ 16,902 | $ 14,792 | $ 24,878 |
Income Taxes - Summary of Effec
Income Taxes - Summary of Effective Income Tax Rate Reconciliation (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Income Tax Disclosure [Abstract] | ||||||||||||
Tax provision computed at federal statutory rate | $ 15,844,000 | $ 13,965,000 | $ 21,384,000 | |||||||||
State taxes, net | 1,704,000 | 1,716,000 | 1,112,000 | |||||||||
Tax reform impact | [1] | 2,984,000 | ||||||||||
Bank-owned life insurance | (114,000) | (141,000) | (246,000) | |||||||||
Tax exempt interest | (442,000) | (436,000) | (545,000) | |||||||||
Change in valuation allowance for deferred tax asset | 23,000 | (7,000) | (10,000) | |||||||||
Other | (113,000) | (305,000) | 199,000 | |||||||||
Income tax expense | $ 5,322,000 | $ 3,172,000 | $ 3,927,000 | $ 4,481,000 | $ 4,718,000 | $ 2,922,000 | $ 3,508,000 | $ 3,644,000 | $ 16,902,000 | $ 14,792,000 | $ 24,878,000 | |
[1] | On December 22, 2017, the United States enacted tax reform legislation commonly known as the Tax Cuts and Jobs Act (the “Tax Act”), resulting in significant modifications to existing law. As a result of the changes under the Tax Act, the Company recorded incremental income tax expense of $2,984,000 during the year ended December 31, 2017, which consisted primarily of the remeasurement of deferred tax assets and liabilities at the new federal statutory rate of 21%. Prior to the enactment of the Tax Act, deferred tax assets and liabilities were measured at the previous federal statutory rate of 35%. |
Income Taxes - Summary of Eff_2
Income Taxes - Summary of Effective Income Tax Rate Reconciliation (Parenthetical) (Details) - USD ($) | Dec. 22, 2017 | Dec. 21, 2017 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||||
Incremental income tax expense | [1] | $ 2,984,000 | ||
Federal statutory rate | 21.00% | 35.00% | ||
[1] | On December 22, 2017, the United States enacted tax reform legislation commonly known as the Tax Cuts and Jobs Act (the “Tax Act”), resulting in significant modifications to existing law. As a result of the changes under the Tax Act, the Company recorded incremental income tax expense of $2,984,000 during the year ended December 31, 2017, which consisted primarily of the remeasurement of deferred tax assets and liabilities at the new federal statutory rate of 21%. Prior to the enactment of the Tax Act, deferred tax assets and liabilities were measured at the previous federal statutory rate of 35%. |
Income Taxes - Significant Comp
Income Taxes - Significant Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets | ||
Federal net operating loss carryforwards | $ 5,034 | $ 6,111 |
State net operating loss carryforwards | 552 | 541 |
Acquired loan basis | 450 | 587 |
Other real estate owned | 44 | 134 |
AMT credit carryforward | 714 | 2,855 |
Allowance for loan losses | 6,828 | 6,382 |
Unrealized loss on securities available for sale | 356 | |
Accrued liabilities | 1,744 | 1,714 |
Lease liability | 4,994 | |
Other | 1,925 | 1,537 |
Total deferred tax assets | 22,285 | 20,217 |
Deferred tax liabilities | ||
Goodwill and intangible assets | 2,143 | 1,661 |
Fair value adjustment on junior subordinated debentures | 2,564 | 2,468 |
Premises and equipment | 6,142 | 4,804 |
Installment gain on sale of subsidiary | 1,816 | 2,292 |
Lease right-of-use asset | 4,815 | |
Unrealized gain on securities available for sale | 339 | |
Other | 376 | 299 |
Total deferred tax liabilities | 18,195 | 11,524 |
Net deferred tax asset before valuation allowance | 4,090 | 8,693 |
Valuation allowance | (278) | (255) |
Net deferred tax asset | $ 3,812 | $ 8,438 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income Taxes [Line Items] | ||
Operating loss carryforwards, expiration start year | 2031 | |
Operating loss carryforwards, expiration end year | 2035 | |
Federal alternative minimum tax credit carryforward | $ 714,000 | $ 2,855,000 |
Tax credit carryforwards, annual limitation on use amount | 3,696,000 | |
Uncertain tax position | 0 | 0 |
EJ Acquisition | ||
Income Taxes [Line Items] | ||
Tax credit carryforwards, annual limitation on use amount | 341,000 | |
NBI Acquisition | ||
Income Taxes [Line Items] | ||
Tax credit carryforwards, annual limitation on use amount | 2,040,000 | |
ColoEast Acquisition | ||
Income Taxes [Line Items] | ||
Tax credit carryforwards, annual limitation on use amount | 1,906,000 | |
Federal | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards, net | 23,970,000 | 29,102,000 |
State | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards, net | $ 13,340,000 | $ 16,829,000 |
Off-Balance Sheet Loan Commit_3
Off-Balance Sheet Loan Commitments - Summary of Financial Instruments with Off-Balance Sheet Risk - (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Unused Lines of Credit | ||
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ||
Financial instruments, off balance sheet risk, Fixed Rate | $ 49,057 | $ 69,053 |
Financial instruments, off balance sheet risk, Variable Rate | 444,028 | 433,667 |
Financial instruments, off balance sheet risk | 493,085 | 502,720 |
Commitments to Purchase Loans | ||
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ||
Financial instruments, off balance sheet risk, Variable Rate | 22,004 | |
Financial instruments, off balance sheet risk | 22,004 | |
Mortgage Warehouse Commitments | ||
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ||
Financial instruments, off balance sheet risk, Variable Rate | 340,502 | 266,458 |
Financial instruments, off balance sheet risk | 340,502 | 266,458 |
Standby Letters of Credit | ||
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ||
Financial instruments, off balance sheet risk, Fixed Rate | 3,017 | 2,285 |
Financial instruments, off balance sheet risk, Variable Rate | 3,781 | 3,931 |
Financial instruments, off balance sheet risk | $ 6,798 | $ 6,216 |
Off-Balance Sheet Loan Commit_4
Off-Balance Sheet Loan Commitments - Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ||
Overdraft protection available amounts | $ 2,639 | $ 3,087 |
Other Liabilities | ||
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ||
Allowance for credit losses on off-balance sheet credit exposure | $ 638 | $ 538 |
Fair Value Disclosures - Assets
Fair Value Disclosures - Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Securities available for sale | ||
Securities available for sale | $ 248,820 | $ 336,423 |
Equity securities | ||
Equity securities | 5,437 | 5,044 |
Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 248,820 | 336,423 |
Loans held for sale | ||
Loans held for sale | 2,735 | 2,106 |
Mutual Fund | ||
Equity securities | ||
Equity securities | 5,437 | 5,044 |
Mutual Fund | Fair Value, Measurements, Recurring [Member] | ||
Equity securities | ||
Equity securities | 5,437 | 5,044 |
US Government Agency Obligations [Member] | ||
Securities available for sale | ||
Securities available for sale | 39,760 | 92,648 |
US Government Agency Obligations [Member] | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 39,760 | 92,648 |
Mortgage-backed Securities, Residential | ||
Securities available for sale | ||
Securities available for sale | 38,016 | 39,736 |
Mortgage-backed Securities, Residential | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 38,016 | 39,736 |
Asset Backed Securities | ||
Securities available for sale | ||
Securities available for sale | 7,959 | 10,145 |
Asset Backed Securities | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 7,959 | 10,145 |
State and Municipal | ||
Securities available for sale | ||
Securities available for sale | 32,065 | 118,451 |
State and Municipal | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 32,065 | 118,451 |
CLO Securities | ||
Securities available for sale | ||
Securities available for sale | 75,273 | |
CLO Securities | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 75,273 | |
Corporate Bonds | ||
Securities available for sale | ||
Securities available for sale | 51,583 | 68,787 |
Corporate Bonds | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 51,583 | 68,787 |
SBA Pooled Securities | ||
Securities available for sale | ||
Securities available for sale | 4,164 | 4,724 |
SBA Pooled Securities | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 4,164 | 4,724 |
ICC Contingent Consideration | Fair Value, Measurements, Recurring [Member] | ||
Contingent Consideration | ||
Fair value of consideration paid included contingent consideration | 21,622 | 20,745 |
U.S. Treasury Notes | ||
Securities available for sale | ||
Securities available for sale | 1,932 | |
U.S. Treasury Notes | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 1,932 | |
Level 1 | Mutual Fund | Fair Value, Measurements, Recurring [Member] | ||
Equity securities | ||
Equity securities | 5,437 | 5,044 |
Level 2 | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 248,820 | 336,423 |
Loans held for sale | ||
Loans held for sale | 2,735 | 2,106 |
Level 2 | US Government Agency Obligations [Member] | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 39,760 | 92,648 |
Level 2 | Mortgage-backed Securities, Residential | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 38,016 | 39,736 |
Level 2 | Asset Backed Securities | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 7,959 | 10,145 |
Level 2 | State and Municipal | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 32,065 | 118,451 |
Level 2 | CLO Securities | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 75,273 | |
Level 2 | Corporate Bonds | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 51,583 | 68,787 |
Level 2 | SBA Pooled Securities | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 4,164 | 4,724 |
Level 2 | U.S. Treasury Notes | Fair Value, Measurements, Recurring [Member] | ||
Securities available for sale | ||
Securities available for sale | 1,932 | |
Level 3 | ICC Contingent Consideration | Fair Value, Measurements, Recurring [Member] | ||
Contingent Consideration | ||
Fair value of consideration paid included contingent consideration | $ 21,622 | $ 20,745 |
Fair Value Disclosures - Additi
Fair Value Disclosures - Additional Information (Details) | 12 Months Ended | ||
Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Jun. 02, 2018USD ($) | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Fair value assets and liabilities transfers amount between levels | $ 0 | $ 0 | |
Fair Value, Measurements, Nonrecurring | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Liabilities, fair value disclosure | $ 0 | 0 | |
Minimum | Level 3 | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Selling and closing costs for loans as a percentage of appraised value | 5.00% | ||
Real estate selling and closing costs as a percentage of appraised value | 5.00% | ||
Maximum | Level 3 | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Selling and closing costs for loans as a percentage of appraised value | 8.00% | ||
Real estate selling and closing costs as a percentage of appraised value | 8.00% | ||
Interstate Capital Corporation | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Contingent consideration earnout period | 30 months | ||
Final contingent consideration payout | $ 22,000,000 | $ 22,000,000 | |
Interstate Capital Corporation | Minimum | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Final contingent consideration payout | $ 0 | ||
Interstate Capital Corporation | Maximum | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Final contingent consideration payout | $ 22,000,000 | ||
Measurement Input Discount Rate | Interstate Capital Corporation | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Contingent consideration fair value discount rate | 0.017 | 0.029 |
Fair Value Disclosures - Reconc
Fair Value Disclosures - Reconciliation of Opening Balance to Closing Balance of Fair Value of Contingent Consideration (Details) - Level 3 - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | $ 20,745 | |
Contingent consideration recognized in business combination | $ 20,000 | |
Change in fair value of contingent consideration recognized in earnings | 877 | 745 |
Ending balance | $ 21,622 | $ 20,745 |
Fair Value Disclosures - Fair V
Fair Value Disclosures - Fair Value of Assets Measured on Non-recurring Basis (Details) - Fair Value, Measurements, Nonrecurring - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | $ 19,268 | $ 15,406 |
Impaired Loans | Construction, land development, land | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 664 | 70 |
Impaired Loans | 1-4 family residential properties | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 2 | 100 |
Impaired Loans | Farmland | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 842 | |
Impaired Loans | Commercial | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 4,754 | 3,277 |
Impaired Loans | Factored receivables | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 12,762 | 4,791 |
Impaired Loans | Consumer | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 8 | 41 |
Impaired Loans | PCI | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 67 | 67 |
Impaired Loans | Commercial real estate | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 534 | 5,123 |
Other real estate owned | 1-4 family residential properties | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 89 | |
Other real estate owned | Commercial real estate | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 388 | 1,095 |
Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 19,268 | 15,406 |
Level 3 | Impaired Loans | Construction, land development, land | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 664 | 70 |
Level 3 | Impaired Loans | 1-4 family residential properties | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 2 | 100 |
Level 3 | Impaired Loans | Farmland | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 842 | |
Level 3 | Impaired Loans | Commercial | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 4,754 | 3,277 |
Level 3 | Impaired Loans | Factored receivables | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 12,762 | 4,791 |
Level 3 | Impaired Loans | Consumer | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 8 | 41 |
Level 3 | Impaired Loans | PCI | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 67 | 67 |
Level 3 | Impaired Loans | Commercial real estate | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 534 | 5,123 |
Level 3 | Other real estate owned | 1-4 family residential properties | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 89 | |
Level 3 | Other real estate owned | Commercial real estate | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | $ 388 | $ 1,095 |
Fair Value Disclosures - Estima
Fair Value Disclosures - Estimated Fair Value of Company's Financial Assets and Financial Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financial assets: | ||
Cash and cash equivalents, Fair Value | $ 197,880 | $ 234,939 |
Securities - Held to maturity, Fair value | 6,907 | 7,326 |
Loans not previously presented Fair Value | 4,170,051 | 3,505,724 |
Accrued interest receivable, Fair Value | 20,322 | 19,094 |
Cash and cash equivalents, Carrying Amount | 197,880 | 234,939 |
Securities - held to maturity, Carrying Amount | 8,417 | 8,487 |
Loans not previously presented Carrying Amount | 4,170,604 | 3,589,676 |
FHLB and other restricted stock, Carrying Amount | 19,860 | 15,943 |
Accrued interest receivable, Carrying Amount | 20,322 | 19,094 |
Financial liabilities: | ||
Deposits, Fair Value | 3,793,603 | 3,440,570 |
Customer repurchase agreements, Fair Value | 2,033 | 4,485 |
Federal Home Loan Bank advances, Fair Value | 430,000 | 330,000 |
Subordinated notes, Fair Value | 93,877 | 50,500 |
Junior subordinated debentures, Fair Value | 40,700 | 40,808 |
Accrued interest payable, Fair Value | 9,367 | 6,722 |
Deposits, Carrying Amount | 3,789,906 | 3,450,349 |
Customer repurchase agreements, Carrying Amount | 2,033 | 4,485 |
Amount outstanding at end of the year | 430,000 | 330,000 |
Subordinated notes, Carrying Amount | 87,327 | 48,929 |
Junior subordinated debentures, Carrying Amount | 39,566 | 39,083 |
Accrued interest payable, Carrying Amount | 9,367 | 6,722 |
Level 1 | ||
Financial assets: | ||
Cash and cash equivalents, Fair Value | 197,880 | 234,939 |
Loans not previously presented Fair Value | 83,454 | |
Accrued interest receivable, Fair Value | 20,322 | 19,094 |
Financial liabilities: | ||
Accrued interest payable, Fair Value | 9,367 | 6,722 |
Level 2 | ||
Financial liabilities: | ||
Deposits, Fair Value | 3,793,603 | 3,440,570 |
Customer repurchase agreements, Fair Value | 2,033 | 4,485 |
Federal Home Loan Bank advances, Fair Value | 430,000 | 330,000 |
Subordinated notes, Fair Value | 93,877 | 50,500 |
Junior subordinated debentures, Fair Value | 40,700 | 40,808 |
Level 3 | ||
Financial assets: | ||
Securities - Held to maturity, Fair value | 6,907 | 7,326 |
Loans not previously presented Fair Value | $ 4,086,597 | $ 3,505,724 |
Related-Party Transactions - Sc
Related-Party Transactions - Schedule of Loans to Principal Officers, Directors, and their Affiliates (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transactions [Abstract] | ||
Beginning balance | $ 39,520 | $ 26,612 |
New loans and advances | 952 | 28,526 |
Repayments and sales | (821) | (15,618) |
Ending balance | $ 39,651 | $ 39,520 |
Related-Party Transactions - Ad
Related-Party Transactions - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Related Party Transaction [Line Items] | |||
Aggregate principal balance | $ 9,781,000 | ||
Percentage of outstanding principal balance | 100.00% | ||
Related Party Transactions, Gain Loss | $ 0 | ||
Amount of deposits held | $ 5,641,000 | 6,176,000 | |
Held to Maturity Securities, Amortized Cost | 8,417,000 | 8,487,000 | |
Collateralized Loan Obligation Funds | |||
Related Party Transaction [Line Items] | |||
Held to Maturity Securities, Amortized Cost | 8,417,000 | 8,487,000 | |
Collateralized Loan Obligation Funds | Trinitas IV, V and VI | |||
Related Party Transaction [Line Items] | |||
Held to Maturity Securities, Amortized Cost | 8,417,000 | 8,487,000 | |
Asset Management | |||
Related Party Transaction [Line Items] | |||
Revenue | $ 1,717,000 | ||
Asset Management | Trinitas | |||
Related Party Transaction [Line Items] | |||
Revenue | $ 0 | $ 0 | $ 521,000 |
Regulatory Matters - Schedule o
Regulatory Matters - Schedule of Actual Capital Amounts and Ratios (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Triumph Bancorp Inc | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Total capital (to Risk Weighted Assets) Actual Amount | $ 604,832 | $ 552,398 |
Total Capital (to Risk Weighted Assets) Actual Ratio | 12.80% | 13.40% |
Total Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Amount | $ 378,020 | $ 330,970 |
Total Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Ratio | 8.00% | 8.00% |
Tier 1 Capital (to Risk Weighted Assets) Actual Amount | $ 487,775 | $ 475,359 |
Tier 1 Capital (to Risk Weighted Assets) Actual Ratio | 10.30% | 11.50% |
Tier 1 Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Amount | $ 284,141 | $ 248,227 |
Tier 1 Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Ratio | 6.00% | 6.00% |
Common Equity Tier 1 Capital (to Risk Weighted Assets) Actual Amount | $ 448,209 | $ 436,276 |
Common Equity Tier 1 Capital (to Risk Weighted Assets) Actual Ratio | 9.50% | 10.50% |
Common Equity Tier 1 Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Amount | $ 212,310 | $ 186,170 |
Common Equity Tier 1 Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Ratio | 4.50% | 4.50% |
Tier 1 Capital (to Average Assets) Actual Amount | $ 487,775 | $ 475,359 |
Tier 1 Capital (to Average Assets) Actual Ratio | 10.00% | 11.10% |
Tier 1 Capital (to Average Assets) Minimum for Capital Adequacy Purposes Amount | $ 195,110 | $ 171,619 |
Tier 1 Capital (to Average Assets) Minimum for Capital Adequacy Purposes Ratio | 4.00% | 4.00% |
TBK Bank SSB | ||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||
Total capital (to Risk Weighted Assets) Actual Amount | $ 555,213 | $ 496,526 |
Total Capital (to Risk Weighted Assets) Actual Ratio | 12.00% | 12.40% |
Total Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Amount | $ 370,142 | $ 320,856 |
Total Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Ratio | 8.00% | 8.00% |
Total Capital (to Risk Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 462,678 | $ 401,071 |
Total Capital (to Risk Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 10.00% | 10.00% |
Tier 1 Capital (to Risk Weighted Assets) Actual Amount | $ 525,490 | $ 468,500 |
Tier 1 Capital (to Risk Weighted Assets) Actual Ratio | 11.40% | 11.70% |
Tier 1 Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Amount | $ 276,574 | $ 240,642 |
Tier 1 Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Ratio | 6.00% | 6.00% |
Tier 1 Capital (to Risk Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 368,765 | $ 320,856 |
Tier 1 Capital (to Risk Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 8.00% | 8.00% |
Common Equity Tier 1 Capital (to Risk Weighted Assets) Actual Amount | $ 525,490 | $ 468,500 |
Common Equity Tier 1 Capital (to Risk Weighted Assets) Actual Ratio | 11.40% | 11.70% |
Common Equity Tier 1 Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Amount | $ 207,430 | $ 180,482 |
Common Equity Tier 1 Capital (to Risk Weighted Assets) Minimum for Capital Adequacy Purposes Ratio | 4.50% | 4.50% |
Common Equity Tier 1 Capital (to Risk Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 299,621 | $ 260,696 |
Common Equity Tier 1 Capital (to Risk Weighted Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 6.50% | 6.50% |
Tier 1 Capital (to Average Assets) Actual Amount | $ 525,490 | $ 468,500 |
Tier 1 Capital (to Average Assets) Actual Ratio | 10.90% | 11.00% |
Tier 1 Capital (to Average Assets) Minimum for Capital Adequacy Purposes Amount | $ 192,840 | $ 170,092 |
Tier 1 Capital (to Average Assets) Minimum for Capital Adequacy Purposes Ratio | 4.00% | 4.00% |
Tier 1 Capital (to Average Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 241,050 | $ 212,615 |
Tier 1 Capital (to Average Assets) To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 5.00% | 5.00% |
Regulatory Matters - Additional
Regulatory Matters - Additional Information (Details) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Regulatory Capital Requirements [Abstract] | ||
Capital conservation buffer rate in 2016 | 0.625% | |
Capital conservation buffer rate increase in 2017 | 0.625% | |
Capital conservation buffer rate increase in 2018 | 0.625% | |
Capital conservation buffer rate in 2019 | 2.50% | |
Capital conservation buffer rate | 2.50% | 1.875% |
Stockholders' Equity - Summary
Stockholders' Equity - Summary of Capital Structure (Details) - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Equity [Abstract] | ||
Shares authorized | 50,000,000 | 50,000,000 |
Shares issued | 27,163,642 | 27,053,999 |
Treasury shares | 2,198,681 | 104,063 |
Shares outstanding | 24,964,961 | 26,949,936 |
Par value per share | $ 0.01 | $ 0.01 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Details) | Oct. 26, 2018USD ($)shares | Apr. 12, 2018USD ($)$ / sharesshares | Aug. 02, 2017shares | Aug. 01, 2017USD ($)$ / sharesshares | Dec. 31, 2019shares | Dec. 31, 2018USD ($)shares | Dec. 31, 2017USD ($)shares | Dec. 31, 2012$ / sharesshares | Oct. 16, 2019USD ($) | Jul. 17, 2019USD ($) | Oct. 29, 2018USD ($) |
Class Of Stock [Line Items] | |||||||||||
Stock issued during period shares | 5,405,000 | 2,530,000 | |||||||||
Shares issued price per share | $ / shares | $ 37.50 | $ 27.50 | |||||||||
Gross proceeds from issuance of common stock | $ | $ 202,688,000 | $ 69,575,000 | |||||||||
Net proceeds after underwriting discounts and offering expenses | $ | $ 192,053,000 | $ 65,509,000 | $ 192,053,000 | $ 65,509,000 | |||||||
Exercise price of warrants, per share | $ / shares | $ 11.58 | ||||||||||
Warrant expiration date | Dec. 12, 2022 | ||||||||||
Stock issued during period shares warrants excercised | 153,134 | ||||||||||
Preferred stock, shares issued | 0 | 0 | |||||||||
Preferred stock, shares outstanding | 0 | 0 | |||||||||
Series A Preferred Stock | |||||||||||
Class Of Stock [Line Items] | |||||||||||
Number of preferred stock converted | 45,500 | 0 | |||||||||
Liquidation preference value | $ | $ 4,550,000 | ||||||||||
Common stock issued upon conversion | 315,773 | ||||||||||
Conversion ratio - preferred to common | 6.94008 | ||||||||||
Preferred stock converted to common stock | $ | $ 4,550,000 | ||||||||||
Preferred stock converted to common stock (in shares) | 315,773 | ||||||||||
Series B Preferred Stock | |||||||||||
Class Of Stock [Line Items] | |||||||||||
Number of preferred stock converted | 51,076 | 880 | |||||||||
Liquidation preference value | $ | $ 5,108,000 | $ 88,000 | |||||||||
Common stock issued upon conversion | 354,463 | 6,106 | |||||||||
Conversion ratio - preferred to common | 6.94008 | ||||||||||
Preferred stock converted to common stock | $ | $ 5,108,000 | $ 88,000 | |||||||||
Preferred stock converted to common stock (in shares) | 354,463 | 6,106 | |||||||||
Warrant | |||||||||||
Class Of Stock [Line Items] | |||||||||||
Warrants issued to Triumph Consolidated Cos LLC | 259,067 | ||||||||||
Share repurchase program | |||||||||||
Class Of Stock [Line Items] | |||||||||||
Stock repurchases under repurchase program | 2,080,791 | 0 | 0 | ||||||||
Maximum | |||||||||||
Class Of Stock [Line Items] | |||||||||||
Amount authorized under stock repurchase program | $ | $ 50,000,000 | $ 25,000,000 | $ 25,000,000 | ||||||||
Over-Allotment Option | |||||||||||
Class Of Stock [Line Items] | |||||||||||
Stock issued during period shares | 705,000 | 330,000 |
Stockholders' Equity - Summar_2
Stockholders' Equity - Summary of Stock Repurchase Programs (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Class Of Stock [Line Items] | |||
Total cost of shares repurchased into treasury stock | $ 64,524 | $ 398 | $ 366 |
Share Repurchase Program Authorized On October 29, 2018 | |||
Class Of Stock [Line Items] | |||
Shares repurchased into treasury stock | 838,141 | ||
Average price of shares repurchased into treasury stock | $ 29.74 | ||
Total cost of shares repurchased into treasury stock | $ 24,954,000 | ||
Share Repurchase Program Authorized On July 17, 2019 | |||
Class Of Stock [Line Items] | |||
Shares repurchased into treasury stock | 850,093 | ||
Average price of shares repurchased into treasury stock | $ 29.38 | ||
Total cost of shares repurchased into treasury stock | $ 24,998,000 | ||
Share Repurchase Program Authorized On October 16, 2019 | |||
Class Of Stock [Line Items] | |||
Shares repurchased into treasury stock | 392,557 | ||
Average price of shares repurchased into treasury stock | $ 36.69 | ||
Total cost of shares repurchased into treasury stock | $ 14,414,000 | ||
Total | |||
Class Of Stock [Line Items] | |||
Shares repurchased into treasury stock | 2,080,791 | 0 | 0 |
Average price of shares repurchased into treasury stock | $ 30.90 | ||
Total cost of shares repurchased into treasury stock | $ 64,366,000 |
Stock Based Compensation - Addi
Stock Based Compensation - Additional Information (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2014 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based compensation | $ 3,654,000 | $ 2,735,000 | $ 1,801,000 | |
2014 Omnibus Incentive Plan | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Shares approved for issuance | 2,000,000 | |||
2014 Omnibus Incentive Plan | Restricted Stock Awards (RSAs) | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based compensation, fair value of shares vested | 1,466,000 | $ 2,625,000 | $ 1,753,000 | |
Total unrecognized compensation cost | $ 2,427,000 | |||
Weighted-average period to recognize cost | 2 years 11 months 12 days | |||
2014 Omnibus Incentive Plan | Restricted Stock Awards (RSAs) | Minimum | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based compensation, award vesting period | 3 years | |||
2014 Omnibus Incentive Plan | Restricted Stock Awards (RSAs) | Maximum | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based compensation, award vesting period | 4 years | |||
2014 Omnibus Incentive Plan | Restricted Stock Units (RSUs) | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based compensation, award vesting period | 5 years | |||
Total unrecognized compensation cost | $ 1,396,000 | |||
Weighted-average period to recognize cost | 3 years 3 months 29 days | |||
2014 Omnibus Incentive Plan | Market Based Performance Stock Units (Market Based PSUs) | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total unrecognized compensation cost | $ 1,718,000 | |||
Weighted-average period to recognize cost | 3 years 1 month 20 days | |||
2014 Omnibus Incentive Plan | Market Based Performance Stock Units (Market Based PSUs) | Minimum | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based compensation, award vesting period | 3 years | |||
Stock based compensation, award vesting percentage | 0.00% | |||
2014 Omnibus Incentive Plan | Market Based Performance Stock Units (Market Based PSUs) | Maximum | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based compensation, award vesting period | 5 years | |||
Stock based compensation, award vesting percentage | 175.00% | |||
2014 Omnibus Incentive Plan | Performance Based Performance Stock Units (Performance Based PSUs) | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based compensation | $ 0 | |||
Stock based compensation, award vesting period | 3 years | |||
Weighted-average period to recognize cost | 3 years | |||
2014 Omnibus Incentive Plan | Performance Based Performance Stock Units (Performance Based PSUs) | Minimum | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based compensation, award vesting percentage | 0.00% | |||
2014 Omnibus Incentive Plan | Performance Based Performance Stock Units (Performance Based PSUs) | Maximum | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based compensation, award vesting percentage | 200.00% | |||
Total unrecognized compensation cost | $ 19,314,000 | |||
2014 Omnibus Incentive Plan | Stock Options | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based compensation, award vesting period | 4 years | |||
Weighted-average period to recognize cost | 2 years 6 months | |||
Total unrecognized compensation cost | $ 361,000 | |||
Employees stock options contractual terms | 10 years | |||
2019 Employee Stock Purchase Plan | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Common stock reserved for issuance | 2,500,000 | |||
Purchase price of common stock, percentage | 85.00% |
Stock Based Compensation - Summ
Stock Based Compensation - Summary of Changes in Company's Nonvested Restricted Stock Awards (Details) - Restricted Stock Awards (RSAs) | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Nonvested Shares, Beginning balance | shares | 101,213 |
Nonvested Shares, Granted | shares | 104,413 |
Nonvested Shares, Vested | shares | (48,675) |
Nonvested Shares, Forfeited | shares | (8,602) |
Nonvested Shares, Ending balance | shares | 148,349 |
Weighted Average Grant Date Fair Value, Nonvested, Beginning balance | $ / shares | $ 31.47 |
Weighted Average Grant Date Fair Value, Nonvested, Granted | $ / shares | 30.88 |
Weighted Average Grant Date Fair Value, Nonvested, Vested | $ / shares | 29.29 |
Weighted Average Grant Date Fair Value, Nonvested, Forfeited | $ / shares | 29.91 |
Weighted Average Grant Date Fair Value, Nonvested, Ending balance | $ / shares | $ 31.86 |
Stock Based Compensation - Su_2
Stock Based Compensation - Summary of Changes in Company's Nonvested Restricted Stock Units (Details) - Restricted Stock Units (RSUs) | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Nonvested Shares, Beginning balance | shares | 59,658 |
Nonvested Shares, Forfeited | shares | (4,430) |
Nonvested Shares, Ending balance | shares | 55,228 |
Weighted Average Grant Date Fair Value, Nonvested, Beginning balance | $ / shares | $ 38.75 |
Weighted Average Grant Date Fair Value, Nonvested, Forfeited | $ / shares | 38.75 |
Weighted Average Grant Date Fair Value, Nonvested, Ending balance | $ / shares | $ 38.75 |
Stock Based Compensation - Su_3
Stock Based Compensation - Summary of Changes in Company's Nonvested Market Based Performance Stock Units (Details) - Market Based Performance Stock Units (Market Based PSUs) | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Nonvested Shares, Beginning balance | shares | 59,658 |
Nonvested Shares, Granted | shares | 12,479 |
Nonvested Shares, Forfeited | shares | (4,430) |
Nonvested Shares, Ending balance | shares | 67,707 |
Weighted Average Grant Date Fair Value, Nonvested, Beginning balance | $ / shares | $ 38.57 |
Weighted Average Grant Date Fair Value, Nonvested, Granted | $ / shares | 33.91 |
Weighted Average Grant Date Fair Value, Nonvested, Forfeited | $ / shares | 38.57 |
Weighted Average Grant Date Fair Value, Nonvested, Ending balance | $ / shares | $ 37.71 |
Stock Based Compensation - Sche
Stock Based Compensation - Schedule of Market Based Performance Stock Units, Valuation Assumptions (Details) - Market Based Performance Stock Units (Market Based PSUs) - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Grant date | May 1, 2019 | May 1, 2018 |
Performance period | 3 years | 5 years |
Stock price | $ 30.82 | $ 38.85 |
Triumph stock price volatility | 28.29% | 29.13% |
Risk-free rate | 2.25% | 2.76% |
Stock Based Compensation - Su_4
Stock Based Compensation - Summary of Changes in Company's Nonvested Performance Based Performance Stock Units (Details) - Performance Based Performance Stock Units (Performance Based PSUs) | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Nonvested Shares, Granted | shares | 254,000 |
Nonvested Shares, Ending balance | shares | 254,000 |
Weighted Average Grant Date Fair Value, Nonvested, Granted | $ / shares | $ 38.02 |
Weighted Average Grant Date Fair Value, Nonvested, Ending balance | $ / shares | $ 38.02 |
Stock Based Compensation - Su_5
Stock Based Compensation - Summary of Changes in Company's Stock Options (Details) - Stock Options $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($)$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Stock Options, Beginning Balance | shares | 231,467 |
Stock Options, Granted | shares | 19,285 |
Stock Options, Exercised | shares | (12,848) |
Stock Options, Forfeited | shares | (11,824) |
Stock Options, Expired | shares | (1,025) |
Stock Options, Ending Balance | shares | 225,055 |
Stock Options, Fully vested shares and shares expected to vest at December 31, 2019 | shares | 225,055 |
Stock Options, Shares exercisable at December 31, 2019 | shares | 118,537 |
Weighted Average Exercise Price, Beginning Balance | $ / shares | $ 23.43 |
Weighted Average Exercise Price, Granted | $ / shares | 31 |
Weighted Average Exercise Price, Exercised | $ / shares | 18.25 |
Weighted Average Exercise Price, Forfeited | $ / shares | 27.32 |
Weighted Average Exercise Price, Expired | $ / shares | 38.48 |
Weighted Average Exercise Price, Ending Balance | $ / shares | 24.10 |
Weighted Average Exercise Price, Fully vested shares and shares expected to vest at December 31, 2019 | $ / shares | 24.10 |
Weighted Average Exercise Price, Shares exercisable at December 31, 2019 | $ / shares | $ 20.20 |
Weighted Average Remaining Contractual Term, Outstanding at December 31, 2019 | 7 years 2 months 1 day |
Weighted Average Remaining Contractual Term, Fully vested shares and shares expected to vest at December 31, 2019 | 7 years 2 months 1 day |
Weighted Average Remaining Contractual Term, Shares exercisable at December 31, 2019 | 6 years 8 months 1 day |
Aggregate Intrinsic Value, Outstanding at December 31, 2019 | $ | $ 3,165 |
Aggregate Intrinsic Value, Fully vested shares and shares expected to vest at December 31, 2019 | $ | 3,165 |
Aggregate Intrinsic Value, Shares exercisable at December 31, 2019 | $ | $ 2,121 |
Stock Based Compensation - Sc_2
Stock Based Compensation - Schedule of Information Related to Stock Options (Details) - Stock Options - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Aggregate intrinsic value of options exercised | $ 155 | $ 59 | $ 251 |
Cash received from option exercises | 283 | ||
Tax benefit realized from option exercises | $ 33 | $ 12 | $ 88 |
Weighted average fair value of options granted (per share) | $ 10.03 | $ 13.22 | $ 8.71 |
Fair value of vested awards | $ 465 | $ 313 | $ 390 |
Stock Based Compensation - Fair
Stock Based Compensation - Fair Value of Stock Options Granted Using Weighted-Average Assumptions (Details) - Stock Options | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Risk-free interest rate | 2.33% | 2.85% | 2.11% |
Expected term | 6 years 3 months | 6 years 3 months | 6 years 3 months |
Expected stock price volatility | 27.46% | 28.07% | 29.70% |
Parent Company Only Condensed_3
Parent Company Only Condensed Financial Information - Condensed Parent Company Only Balance Sheets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
ASSETS | ||||
Cash and cash equivalents | $ 197,880 | $ 234,939 | ||
Securities - held to maturity | 8,417 | 8,487 | ||
Loans | 4,165,420 | 3,581,073 | ||
Other assets | 77,072 | 41,948 | ||
Total assets | 5,060,297 | 4,559,779 | ||
LIABILITIES AND EQUITY | ||||
Subordinated notes | 87,327 | 48,929 | ||
Junior subordinated debentures | 39,566 | 39,083 | ||
Total liabilities | 4,423,707 | 3,923,172 | ||
Stockholders' equity | 636,590 | 636,607 | $ 391,698 | $ 289,345 |
Total liabilities and stockholders' equity | 5,060,297 | 4,559,779 | ||
Parent Company | ||||
ASSETS | ||||
Cash and cash equivalents | 35,914 | 31,706 | $ 47,826 | $ 10,222 |
Securities - held to maturity | 8,417 | 8,487 | ||
Loans | 719 | 9,912 | ||
Investment in bank subsidiary | 713,348 | 670,908 | ||
Investment in non-bank subsidiaries | 5,542 | 6,396 | ||
Other assets | 1,174 | 3,612 | ||
Total assets | 765,114 | 731,021 | ||
LIABILITIES AND EQUITY | ||||
Subordinated notes | 87,327 | 48,929 | ||
Junior subordinated debentures | 39,566 | 39,083 | ||
Intercompany payables | 318 | 318 | ||
Accrued expenses and other liabilities | 1,313 | 6,084 | ||
Total liabilities | 128,524 | 94,414 | ||
Stockholders' equity | 636,590 | 636,607 | ||
Total liabilities and stockholders' equity | $ 765,114 | $ 731,021 |
Parent Company Only Condensed_4
Parent Company Only Condensed Financial Information - Condensed Parent Company Only Statements of Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Condensed Income Statements Captions [Line Items] | ||||||||||||
Interest income | $ 81,171 | $ 79,415 | $ 77,303 | $ 73,264 | $ 75,850 | $ 71,759 | $ 61,249 | $ 54,118 | $ 311,153 | $ 262,976 | $ 177,224 | |
Interest expense | (14,763) | (14,650) | (13,884) | (11,953) | (10,969) | (9,977) | (7,992) | (6,988) | (55,250) | (35,926) | (21,540) | |
Provision for loan losses | (382) | (2,865) | (3,681) | (1,014) | (1,910) | (6,803) | (4,906) | (2,548) | (7,942) | (16,167) | (11,628) | |
Gain on sale of subsidiary or division | 1,071 | 1,071 | 20,860 | |||||||||
Other income | 6,794 | 6,059 | 4,945 | 4,101 | ||||||||
Salaries and employee benefits expense | (112,862) | (90,212) | (72,696) | |||||||||
Other expense | (29,207) | (22,826) | (15,422) | |||||||||
Income tax (expense) benefit | (5,322) | (3,172) | (3,927) | (4,481) | (4,718) | (2,922) | (3,508) | (3,644) | (16,902) | (14,792) | (24,878) | |
Net income | 16,709 | 14,317 | 12,730 | 14,788 | 18,085 | 9,170 | 12,385 | 12,068 | 58,544 | 51,708 | 36,220 | |
Dividends on preferred stock | (195) | (193) | (190) | (578) | (774) | |||||||
Net income available to common stockholders | $ 16,709 | $ 14,317 | $ 12,730 | $ 14,788 | $ 18,085 | $ 8,975 | $ 12,192 | $ 11,878 | 58,544 | 51,130 | 35,446 | |
Parent Company | ||||||||||||
Condensed Income Statements Captions [Line Items] | ||||||||||||
Interest income | 1,163 | 2,014 | 1,415 | |||||||||
Interest expense | (6,464) | (6,092) | (5,300) | |||||||||
Provision for loan losses | 83 | 8 | (91) | |||||||||
Gain on sale of subsidiary or division | 20,860 | |||||||||||
Other income | (187) | 5 | 1,572 | |||||||||
Salaries and employee benefits expense | (613) | (523) | (5,686) | |||||||||
Other expense | (2,069) | (3,710) | (3,138) | |||||||||
Income (loss) before income tax and income from subsidiaries | (8,087) | (8,298) | 9,632 | |||||||||
Income tax (expense) benefit | 193 | 1,049 | (3,087) | |||||||||
Dividends from subsidiaries and equity in undistributed subsidiary income | 66,438 | 58,957 | 30,347 | |||||||||
Net income | 58,544 | 51,708 | 36,892 | |||||||||
Dividends on preferred stock | (578) | (774) | ||||||||||
Net income available to common stockholders | [1] | 58,544 | 51,130 | 36,118 | ||||||||
Comprehensive income attributable to Parent | $ 60,853 | $ 51,101 | $ 35,900 | |||||||||
[1] | (1) Year Ended December 31, (Dollars in thousands) 2019 2018 2017 Parent company net income available to common stockholders $ 58,544 $ 51,130 $ 36,118 Parent company loss on intercompany sale of loans — — — TBK Bank discount accretion — — (672 ) Consolidated net income available to common stockholders $ 58,544 $ 51,130 $ 35,446 |
Parent Company Only Condensed_5
Parent Company Only Condensed Financial Information - Condensed Parent Company Only Statements of Cash Flows (Details) - USD ($) | Apr. 12, 2018 | Aug. 01, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Cash flows from operating activities: | |||||
Net income | $ 58,544,000 | $ 51,708,000 | $ 36,220,000 | ||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||
Net accretion of securities | 205,000 | 947,000 | 638,000 | ||
Amortization of junior subordinated debentures | 483,000 | 460,000 | 413,000 | ||
Amortization of subordinated notes issuance costs | 116,000 | 101,000 | 94,000 | ||
Stock based compensation | 3,654,000 | 2,735,000 | 1,801,000 | ||
Income from CLO warehouse investments | 0 | (2,226,000) | |||
Change in other assets | (14,991,000) | (8,385,000) | 1,515,000 | ||
Net cash provided by (used in) operating activities | 72,450,000 | 73,830,000 | 47,273,000 | ||
Cash flows from investing activities: | |||||
Purchases of securities held to maturity | (5,092,000) | ||||
Proceeds from maturities, calls, and pay downs of securities held to maturity | 993,000 | 1,053,000 | 28,216,000 | ||
Net change in loans | (506,816,000) | (388,276,000) | (586,120,000) | ||
Net cash paid for CLO warehouse investments | (10,000,000) | ||||
Net proceeds from CLO warehouse investments | 30,000,000 | ||||
Net cash provided by (used in) investing activities | (520,372,000) | (268,307,000) | (379,771,000) | ||
Cash flows from financing activities: | |||||
Proceeds from issuance of subordinated notes, net | 38,282,000 | ||||
Issuance of common stock, net of issuance costs | $ 192,053,000 | $ 65,509,000 | 192,053,000 | 65,509,000 | |
Dividends on preferred stock | (578,000) | (774,000) | |||
Purchase of treasury stock | (64,524,000) | (398,000) | (366,000) | ||
Stock option exercises | (4,000) | 283,000 | |||
Net cash provided by (used in) financing activities | 410,863,000 | 295,287,000 | 352,113,000 | ||
Cash and cash equivalents at beginning of period | 234,939,000 | ||||
Cash and cash equivalents at end of period | 197,880,000 | 234,939,000 | |||
Parent Company | |||||
Cash flows from operating activities: | |||||
Net income | 58,544,000 | 51,708,000 | 36,892,000 | ||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||
Equity in undistributed subsidiary income | (35,938,000) | (58,957,000) | (30,347,000) | ||
Net accretion of securities | (923,000) | (983,000) | (800,000) | ||
Amortization of junior subordinated debentures | 483,000 | 460,000 | 413,000 | ||
Amortization of subordinated notes issuance costs | 116,000 | 101,000 | 94,000 | ||
Stock based compensation | 315,000 | 320,000 | 296,000 | ||
Income from CLO warehouse investments | (2,226,000) | ||||
Change in other assets | 2,438,000 | 1,273,000 | 6,689,000 | ||
Change in accrued expenses and other liabilities | (4,771,000) | (6,458,000) | 2,950,000 | ||
Net cash provided by (used in) operating activities | 20,264,000 | (12,536,000) | 13,961,000 | ||
Cash flows from investing activities: | |||||
Investment in subsidiaries | (59,038,000) | (6,495,000) | |||
Purchases of securities held to maturity | (5,092,000) | ||||
Proceeds from maturities, calls, and pay downs of securities held to maturity | 993,000 | 1,053,000 | 715,000 | ||
Net change in loans | 9,193,000 | 1,134,000 | (10,062,000) | ||
Net cash paid for CLO warehouse investments | (10,000,000) | ||||
Net proceeds from CLO warehouse investments | 30,000,000 | ||||
Cash used in acquisition of subsidiaries, net | (137,806,000) | (40,075,000) | |||
Net cash provided by (used in) investing activities | 10,186,000 | (194,657,000) | (41,009,000) | ||
Cash flows from financing activities: | |||||
Proceeds from issuance of subordinated notes, net | 38,282,000 | ||||
Issuance of common stock, net of issuance costs | 192,053,000 | 65,509,000 | |||
Dividends on preferred stock | (578,000) | (774,000) | |||
Purchase of treasury stock | (64,524,000) | (398,000) | (366,000) | ||
Stock option exercises | (4,000) | 283,000 | |||
Net cash provided by (used in) financing activities | (26,242,000) | 191,073,000 | 64,652,000 | ||
Net increase (decrease) in cash and cash equivalents | 4,208,000 | (16,120,000) | 37,604,000 | ||
Cash and cash equivalents at beginning of period | 31,706,000 | 47,826,000 | 10,222,000 | ||
Cash and cash equivalents at end of period | $ 35,914,000 | $ 31,706,000 | $ 47,826,000 |
Parent Company Only Condensed_6
Parent Company Only Condensed Financial Information - Condensed Parent Company Only Statements of Cash Flows (Parenthetical) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |||||||||||
Parent company net income available to common stockholders | $ 58,544 | $ 51,130 | $ 36,118 | ||||||||
TBK Bank discount accretion | (672) | ||||||||||
Consolidated net income available to common stockholders | $ 16,709 | $ 14,317 | $ 12,730 | $ 14,788 | $ 18,085 | $ 8,975 | $ 12,192 | $ 11,878 | $ 58,544 | $ 51,130 | $ 35,446 |
Earnings Per Share - Factors Us
Earnings Per Share - Factors Used in Computation of Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Basic | |||||||||||
Net income to common stockholders | $ 16,709 | $ 14,317 | $ 12,730 | $ 14,788 | $ 18,085 | $ 8,975 | $ 12,192 | $ 11,878 | $ 58,544 | $ 51,130 | $ 35,446 |
Weighted average common shares outstanding | 25,941,395 | 24,791,448 | 19,133,745 | ||||||||
Basic earnings per common share | $ 0.67 | $ 0.56 | $ 0.48 | $ 0.55 | $ 0.68 | $ 0.34 | $ 0.48 | $ 0.57 | $ 2.26 | $ 2.06 | $ 1.85 |
Diluted | |||||||||||
Net income to common stockholders | $ 16,709 | $ 14,317 | $ 12,730 | $ 14,788 | $ 18,085 | $ 8,975 | $ 12,192 | $ 11,878 | $ 58,544 | $ 51,130 | $ 35,446 |
Dilutive effect of preferred stock | 578 | 774 | |||||||||
Net income to common stockholders - diluted | $ 58,544 | $ 51,708 | $ 36,220 | ||||||||
Weighted average common shares outstanding | 25,941,395 | 24,791,448 | 19,133,745 | ||||||||
Dilutive effects of: | |||||||||||
Average shares and dilutive potential common shares | 26,060,005 | 25,480,513 | 20,000,288 | ||||||||
Diluted earnings per common share | $ 0.66 | $ 0.56 | $ 0.48 | $ 0.55 | $ 0.67 | $ 0.34 | $ 0.47 | $ 0.56 | $ 2.25 | $ 2.03 | $ 1.81 |
Stock Options | |||||||||||
Dilutive effects of: | |||||||||||
Stock based compensation | 63,808 | 84,126 | 45,653 | ||||||||
Restricted Stock Awards | |||||||||||
Dilutive effects of: | |||||||||||
Stock based compensation | 47,242 | 52,851 | 68,079 | ||||||||
Restricted Stock Units | |||||||||||
Dilutive effects of: | |||||||||||
Stock based compensation | 3,441 | 3,039 | |||||||||
Market Based Performance Stock Units (Market Based PSUs) | |||||||||||
Dilutive effects of: | |||||||||||
Stock based compensation | 4,119 | ||||||||||
Series A Preferred Stock | |||||||||||
Dilutive effects of: | |||||||||||
Assumed conversion of shares | 258,674 | 315,773 | |||||||||
Series B Preferred Stock | |||||||||||
Dilutive effects of: | |||||||||||
Assumed conversion of shares | 290,375 | 354,471 | |||||||||
Warrant | |||||||||||
Dilutive effects of: | |||||||||||
Assumed exercises of stock warrants | 82,567 |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Shares not Considered in Computing Diluted Earnings per Common Share (Details) - shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Stock Options | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive shares | 66,019 | 51,952 | 57,926 |
Market Based Performance Stock Units (Market Based PSUs) | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive shares | 55,228 | 59,658 | |
Performance Stock Units - Performance Based | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive shares | 254,000 |
Business Segment Information -
Business Segment Information - Additional Information (Details) | Mar. 31, 2017 |
Triumph Capital Advisors, LLC | |
Segment Reporting Information [Line Items] | |
Percentage of membership interests sold | 100.00% |
Business Segment Information _2
Business Segment Information - Banking Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||||||||||
Total interest income | $ 81,171 | $ 79,415 | $ 77,303 | $ 73,264 | $ 75,850 | $ 71,759 | $ 61,249 | $ 54,118 | $ 311,153 | $ 262,976 | $ 177,224 |
Total interest expense | 14,763 | 14,650 | 13,884 | 11,953 | 10,969 | 9,977 | 7,992 | 6,988 | 55,250 | 35,926 | 21,540 |
Net interest income | 66,408 | 64,765 | 63,419 | 61,311 | 64,881 | 61,782 | 53,257 | 47,130 | 255,903 | 227,050 | 155,684 |
Provision for loan losses | 382 | 2,865 | 3,681 | 1,014 | 1,910 | 6,803 | 4,906 | 2,548 | 7,942 | 16,167 | 11,628 |
Net interest income after provision for loan losses | 66,026 | 61,900 | 59,738 | 60,297 | 62,971 | 54,979 | 48,351 | 44,582 | 247,961 | 210,883 | 144,056 |
Gain on sale of subsidiary or division | 1,071 | 1,071 | 20,860 | ||||||||
Other noninterest income | 21,899 | 19,796 | |||||||||
Noninterest income | 8,666 | 7,742 | 7,623 | 7,538 | 6,794 | 6,059 | 4,945 | 5,172 | 31,569 | 22,970 | 40,656 |
Noninterest expense | 52,661 | 52,153 | 50,704 | 48,566 | 46,962 | 48,946 | 37,403 | 34,042 | 204,084 | 167,353 | 123,614 |
Net income before income tax expense | 22,031 | $ 17,489 | $ 16,657 | $ 19,269 | 22,803 | $ 12,092 | $ 15,893 | $ 15,712 | 75,446 | 66,500 | 61,098 |
Total assets | 5,060,297 | 4,559,779 | 5,060,297 | 4,559,779 | |||||||
Gross loans held for investment | 4,194,512 | 3,608,644 | 4,194,512 | 3,608,644 | |||||||
Operating Segments | Banking | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total interest income | 211,742 | 170,871 | 130,480 | ||||||||
Intersegment interest allocations | 11,294 | 20,191 | 8,023 | ||||||||
Total interest expense | 48,786 | 29,834 | 16,240 | ||||||||
Net interest income | 174,250 | 161,228 | 122,263 | ||||||||
Provision for loan losses | 5,533 | 12,373 | 9,310 | ||||||||
Net interest income after provision for loan losses | 168,717 | 148,855 | 112,953 | ||||||||
Gain on sale of subsidiary or division | 1,071 | ||||||||||
Other noninterest income | 18,364 | 14,336 | |||||||||
Noninterest income | 26,875 | ||||||||||
Noninterest expense | 148,620 | 119,283 | 90,632 | ||||||||
Net income before income tax expense | 46,972 | 49,007 | 36,657 | ||||||||
Total assets | 4,976,009 | 4,458,399 | 4,976,009 | 4,458,399 | |||||||
Gross loans held for investment | 4,108,735 | 3,523,850 | 4,108,735 | 3,523,850 | |||||||
Operating Segments | Factoring | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total interest income | 98,247 | 90,092 | 45,346 | ||||||||
Intersegment interest allocations | (11,294) | (20,191) | (8,023) | ||||||||
Net interest income | 86,953 | 69,901 | 37,323 | ||||||||
Provision for loan losses | 2,486 | 3,802 | 2,227 | ||||||||
Net interest income after provision for loan losses | 84,467 | 66,099 | 35,096 | ||||||||
Other noninterest income | 3,483 | 2,737 | |||||||||
Noninterest income | 4,727 | ||||||||||
Noninterest expense | 51,780 | 43,495 | 22,641 | ||||||||
Net income before income tax expense | 37,414 | 26,087 | 15,192 | ||||||||
Total assets | 662,002 | 688,245 | 662,002 | 688,245 | |||||||
Gross loans held for investment | 573,372 | 588,750 | 573,372 | 588,750 | |||||||
Operating Segments | Corporate | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total interest income | 1,164 | 2,013 | 1,398 | ||||||||
Total interest expense | 6,464 | 6,092 | 5,300 | ||||||||
Net interest income | (5,300) | (4,079) | (3,902) | ||||||||
Provision for loan losses | (77) | (8) | 91 | ||||||||
Net interest income after provision for loan losses | (5,223) | (4,071) | (3,993) | ||||||||
Gain on sale of subsidiary or division | 20,860 | ||||||||||
Other noninterest income | 52 | 2,723 | |||||||||
Noninterest income | (33) | ||||||||||
Noninterest expense | 3,684 | 4,575 | 10,341 | ||||||||
Net income before income tax expense | (8,940) | (8,594) | $ 9,249 | ||||||||
Total assets | 771,048 | 737,530 | 771,048 | 737,530 | |||||||
Gross loans held for investment | 1,519 | 10,795 | 1,519 | 10,795 | |||||||
Eliminations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total assets | (1,348,762) | (1,324,395) | (1,348,762) | (1,324,395) | |||||||
Gross loans held for investment | $ (489,114) | $ (514,751) | $ (489,114) | $ (514,751) |
Quarterly Financial Data (Una_3
Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Interest income | $ 81,171 | $ 79,415 | $ 77,303 | $ 73,264 | $ 75,850 | $ 71,759 | $ 61,249 | $ 54,118 | $ 311,153 | $ 262,976 | $ 177,224 |
Interest expense | 14,763 | 14,650 | 13,884 | 11,953 | 10,969 | 9,977 | 7,992 | 6,988 | 55,250 | 35,926 | 21,540 |
Net interest income | 66,408 | 64,765 | 63,419 | 61,311 | 64,881 | 61,782 | 53,257 | 47,130 | 255,903 | 227,050 | 155,684 |
Provision for loan losses | 382 | 2,865 | 3,681 | 1,014 | 1,910 | 6,803 | 4,906 | 2,548 | 7,942 | 16,167 | 11,628 |
Net interest income after provision for loan losses | 66,026 | 61,900 | 59,738 | 60,297 | 62,971 | 54,979 | 48,351 | 44,582 | 247,961 | 210,883 | 144,056 |
Gain on sale of subsidiary | 1,071 | 1,071 | 20,860 | ||||||||
Other noninterest income | 6,794 | 6,059 | 4,945 | 4,101 | |||||||
Total noninterest income | 8,666 | 7,742 | 7,623 | 7,538 | 6,794 | 6,059 | 4,945 | 5,172 | 31,569 | 22,970 | 40,656 |
Noninterest expense | 52,661 | 52,153 | 50,704 | 48,566 | 46,962 | 48,946 | 37,403 | 34,042 | 204,084 | 167,353 | 123,614 |
Net income before income tax expense | 22,031 | 17,489 | 16,657 | 19,269 | 22,803 | 12,092 | 15,893 | 15,712 | 75,446 | 66,500 | 61,098 |
Income tax expense | 5,322 | 3,172 | 3,927 | 4,481 | 4,718 | 2,922 | 3,508 | 3,644 | 16,902 | 14,792 | 24,878 |
Net income | 16,709 | 14,317 | 12,730 | 14,788 | 18,085 | 9,170 | 12,385 | 12,068 | 58,544 | 51,708 | 36,220 |
Dividends on preferred stock | (195) | (193) | (190) | (578) | (774) | ||||||
Net income available to common stockholders | $ 16,709 | $ 14,317 | $ 12,730 | $ 14,788 | $ 18,085 | $ 8,975 | $ 12,192 | $ 11,878 | $ 58,544 | $ 51,130 | $ 35,446 |
Earnings per common share | |||||||||||
Basic | $ 0.67 | $ 0.56 | $ 0.48 | $ 0.55 | $ 0.68 | $ 0.34 | $ 0.48 | $ 0.57 | $ 2.26 | $ 2.06 | $ 1.85 |
Diluted | $ 0.66 | $ 0.56 | $ 0.48 | $ 0.55 | $ 0.67 | $ 0.34 | $ 0.47 | $ 0.56 | $ 2.25 | $ 2.03 | $ 1.81 |