Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Mar. 31, 2022 | May 10, 2022 | |
Cover [Abstract] | ||
Entity Registrant Name | MALVERN BANCORP, INC. | |
Entity Central Index Key | 0001550603 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2022 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --09-30 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 7,625,111 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2022 | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Shell Company | false | |
Entity Incorporation, State or Country Code | PA | |
Entity File Number | 000-54835 | |
Entity Tax Identification Number | 45-5307782 | |
Entity Address, Address Line One | 42 East Lancaster Avenue, | |
Entity Address, City or Town | Paoli, | |
Entity Address, State or Province | PA | |
Entity Address, Postal Zip Code | 19301 | |
City Area Code | 610 | |
Local Phone Number | 644-9400 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Trading Symbol | MLVF | |
Security Exchange Name | NASDAQ |
CONSOLIDATED STATEMENTS OF FINA
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 |
ASSETS | ||
Cash and due from depository institutions | $ 49,674 | $ 99,670 |
Interest bearing deposits in depository institutions | 72,349 | 36,920 |
Cash and Cash Equivalents | 122,023 | 136,590 |
Investment securities available for sale, at fair value (amortized cost of $56,863 and $40,756 at March 31, 2022 and September 30, 2021, respectively) | 54,183 | 40,813 |
Equity Securities | 1,445 | 1,500 |
Investment securities held to maturity (fair value of $45,716 and $28,913 at March 31, 2022 and September 30, 2021, respectively) | 48,512 | 28,507 |
Restricted stock, at cost | 6,462 | 7,776 |
Loans Held-for-sale | 13,244 | 33,199 |
Loans receivable, net of allowance for loan losses of $9,301 and $11,472 respectively | 799,310 | 902,981 |
Other real estate owned | 4,961 | 4,961 |
Accrued interest receivable | 3,478 | 3,512 |
Operating lease right-of-use assets | 1,523 | 1,796 |
Property and equipment, net | 5,486 | 5,777 |
Deferred income taxes | 3,632 | 3,530 |
Bank-owned life insurance | 25,896 | 26,056 |
Other assets | 13,441 | 12,145 |
Total Assets | 1,103,596 | 1,209,143 |
Deposits: | ||
Deposits-non-interest-bearing | 54,712 | 53,849 |
Deposits-interest-bearing | 799,725 | 884,310 |
Total Deposits | 854,437 | 938,159 |
FHLB advances | 60,000 | 90,000 |
Subordinated debt | 25,000 | 24,934 |
Advances from borrowers for taxes and insurance | 1,841 | 1,022 |
Accrued interest payable | 352 | 572 |
Operating lease liabilities | 1,556 | 1,830 |
Other liabilities | 15,860 | 10,458 |
Total Liabilities | 959,046 | 1,066,975 |
Shareholders’ Equity | ||
Preferred stock, $0.01 par value, 10,000,000 shares authorized, none issued | ||
Common stock, $0.01 par value, 50,000,000 shares authorized; 7,819,627 and 7,625,111 shares issued and outstanding, respectively, at March 31, 2022 and 7,816,832 and 7,622,316 shares issued and outstanding, respectively, at September 30, 2021 | 76 | 76 |
Additional paid-in-capital | 85,678 | 85,524 |
Retained earnings | 62,835 | 60,296 |
Unearned Employee Stock Ownership Plan (ESOP) shares | (829) | (901) |
Accumulated other comprehensive (loss) income | (347) | 36 |
Treasury stock, at cost: 194,516 shares at March 31, 2022 and September 30, 2021 | (2,863) | (2,863) |
Total Shareholders’ Equity | 144,550 | 142,168 |
Total Liabilities and Shareholders’ Equity | $ 1,103,596 | $ 1,209,143 |
CONSOLIDATED STATEMENTS OF FI_2
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 |
Statement Of Financial Position [Abstract] | ||
Investment securities available for sale, amortized cost | $ 56,863 | $ 40,756 |
Investment securities held to maturity, fair value | 45,716 | 28,913 |
Allowance for loan losses | $ 9,301 | $ 11,472 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized | 50,000,000 | 50,000,000 |
Common stock, issued | 7,819,627 | 7,816,832 |
Common stock, outstanding | 7,625,111 | 7,622,316 |
Treasury stock, shares | 194,516 | 194,516 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Interest and Dividend Income | ||||
Loans, including fees | $ 7,628,000 | $ 9,069,000 | $ 15,856,000 | $ 19,145,000 |
Investment securities, taxable | 521,000 | 321,000 | 976,000 | 668,000 |
Investment securities, tax-exempt | 64,000 | 23,000 | 100,000 | 47,000 |
Dividends, restricted stock | 75,000 | 119,000 | 166,000 | 260,000 |
Interest-bearing cash accounts | 16,000 | 7,000 | 29,000 | 15,000 |
Total Interest and Dividend Income | 8,304,000 | 9,539,000 | 17,127,000 | 20,135,000 |
Interest Expense | ||||
Deposits | 828,000 | 1,805,000 | 1,873,000 | 4,062,000 |
Short-term borrowings | 3,000 | 48,000 | ||
Long-term borrowings | 183,000 | 546,000 | 420,000 | 1,153,000 |
Subordinated debt | 339,000 | 383,000 | 722,000 | 766,000 |
Total Interest Expense | 1,350,000 | 2,737,000 | 3,015,000 | 6,029,000 |
Net Interest Income | 6,954,000 | 6,802,000 | 14,112,000 | 14,106,000 |
Provision for Loan Losses | 0 | 0 | 0 | 550,000 |
Net Interest Income after Provision for Loan losses | 6,954,000 | 6,802,000 | 14,112,000 | 13,556,000 |
Other Income | ||||
Service charges and other fees | 219,000 | 419,000 | 673,000 | 666,000 |
Rental income | 48,000 | 54,000 | 100,000 | 108,000 |
Net gains on sale and call of investments | 259,000 | 614,000 | ||
Net gains on sale of loans | 11,000 | 274,000 | 63,000 | 678,000 |
Earnings on bank-owned life insurance | 283,000 | 161,000 | 452,000 | 325,000 |
Total Other Income | 561,000 | 1,167,000 | 1,288,000 | 2,391,000 |
Other Expenses | ||||
Salaries and employee benefits | 2,347,000 | 2,275,000 | 4,642,000 | 4,547,000 |
Occupancy expense | 546,000 | 568,000 | 1,061,000 | 1,110,000 |
Federal deposit insurance premium | 71,000 | 83,000 | 147,000 | 159,000 |
Advertising | 32,000 | 32,000 | 64,000 | 64,000 |
Data processing | 359,000 | 306,000 | 679,000 | 634,000 |
Professional fees | 868,000 | 884,000 | 1,923,000 | 1,547,000 |
Other real estate owned expense, net | 3,000 | 5,000 | 31,000 | |
Pennsylvania shares tax | 169,000 | 169,000 | 339,000 | 339,000 |
Other operating expenses | 2,453,000 | 743,000 | 3,213,000 | 1,604,000 |
Total Other Expenses | 6,845,000 | 5,063,000 | 12,073,000 | 10,035,000 |
Income before income tax expense | 670,000 | 2,906,000 | 3,327,000 | 5,912,000 |
Income tax expense | 148,000 | 682,000 | 788,000 | 1,415,000 |
Net Income | $ 522,000 | $ 2,224,000 | $ 2,539,000 | $ 4,497,000 |
Earnings Per Common Share: | ||||
Basic | $ 0.07 | $ 0.30 | $ 0.34 | $ 0.60 |
Diluted | $ 0.07 | $ 0.30 | $ 0.34 | $ 0.60 |
Weighted Average Common Shares Outstanding: | ||||
Basic | 7,554,955 | 7,529,408 | 7,553,262 | 7,527,588 |
Diluted | 7,556,194 | 7,530,151 | 7,554,459 | 7,528,189 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | ||
Statement Of Income And Comprehensive Income [Abstract] | |||||
Net Income | $ 522 | $ 2,224 | $ 2,539 | $ 4,497 | |
Other Comprehensive (Loss) Income, Net of Tax: | |||||
Unrealized holding (losses) gains on available-for-sale securities | (2,588) | 7 | (2,737) | 464 | |
Tax effect | 543 | (1) | 574 | (97) | |
Net of tax amount | (2,045) | 6 | (2,163) | 367 | |
Reclassification adjustment for net gains arising during the period | [1] | (259) | (614) | ||
Tax effect | 55 | 129 | |||
Net of tax amount | (204) | (485) | |||
Adjustment for loss recorded on replacement of derivative | (2) | (4) | |||
Amortization of unrealized holding losses on securities transferred from available-for-sale to held-to-maturity | [2] | 2 | 1 | 4 | 2 |
Tax effect | (2) | (1) | (3) | (1) | |
Net of tax amount | 1 | 1 | |||
Fair value adjustments on derivatives | 1,773 | 567 | 2,252 | 840 | |
Tax effect | (372) | (118) | (473) | (175) | |
Net of tax amount | 1,401 | 449 | 1,779 | 665 | |
Total other comprehensive (loss) income | (644) | 249 | (383) | 544 | |
Total comprehensive (loss) income | $ (122) | $ 2,473 | $ 2,156 | $ 5,041 | |
[1] | Amounts are included in net gains on sale and call of investments on the Consolidated Statements of Operations in total other income. | ||||
[2] | Amounts are included in interest and dividends on investment securities on the Consolidated Statements of Operations. |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Unearned ESOP Shares [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock [Member] |
Balance at beginning at Sep. 30, 2020 | $ 140,593 | $ 76 | $ 85,127 | $ 60,388 | $ (1,047) | $ (1,088) | $ (2,863) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net Income | 4,497 | 4,497 | |||||
Other comprehensive income (loss) | 544 | 544 | |||||
Committed to be released ESOP shares | 115 | 42 | 73 | ||||
Stock based compensation | 102 | 102 | |||||
Balance at ending at Mar. 31, 2021 | 145,851 | 76 | 85,271 | 64,885 | (974) | (544) | (2,863) |
Balance at beginning at Dec. 31, 2020 | 143,266 | 76 | 85,195 | 62,661 | (1,010) | (793) | (2,863) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net Income | 2,224 | 2,224 | |||||
Other comprehensive income (loss) | 249 | 249 | |||||
Committed to be released ESOP shares | 62 | 26 | 36 | ||||
Stock based compensation | 50 | 50 | |||||
Balance at ending at Mar. 31, 2021 | 145,851 | 76 | 85,271 | 64,885 | (974) | (544) | (2,863) |
Balance at beginning at Sep. 30, 2021 | 142,168 | 76 | 85,524 | 60,296 | (901) | 36 | (2,863) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net Income | 2,539 | 2,539 | |||||
Other comprehensive income (loss) | (383) | (383) | |||||
Committed to be released ESOP shares | 117 | 45 | 72 | ||||
Stock based compensation | 109 | 109 | |||||
Balance at ending at Mar. 31, 2022 | 144,550 | 76 | 85,678 | 62,835 | (829) | (347) | (2,863) |
Balance at beginning at Dec. 31, 2021 | 144,557 | 76 | 85,599 | 62,313 | (865) | 297 | (2,863) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net Income | 522 | 522 | |||||
Other comprehensive income (loss) | (644) | (644) | |||||
Committed to be released ESOP shares | 58 | 22 | 36 | ||||
Stock based compensation | 57 | 57 | |||||
Balance at ending at Mar. 31, 2022 | $ 144,550 | $ 76 | $ 85,678 | $ 62,835 | $ (829) | $ (347) | $ (2,863) |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Unaudited) (Parenthetical) - shares | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Statement Of Stockholders Equity [Abstract] | ||||
Committed to be released ESOP shares | 3,600 | 3,600 | 7,200 | 7,200 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | Sep. 30, 2021 | |
Cash Flows from Operating Activities | |||||
Net Income | $ 522,000 | $ 2,224,000 | $ 2,539,000 | $ 4,497,000 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||
Depreciation expense | 316,000 | 336,000 | |||
Provision for Loan Losses | 0 | 0 | 0 | 550,000 | $ 11,176,000 |
Valuation allowance for loan held for sale | 1,683,000 | ||||
Deferred income tax expense | (102,000) | 145,000 | |||
ESOP expense | 117,000 | 115,000 | |||
Stock based compensation | 109,000 | 102,000 | |||
Amortization of premiums and discounts on investments securities, net | 144,000 | 94,000 | |||
Amortization of loan origination fees and costs | 64,000 | 1,108,000 | |||
(Accretion) Amortization of mortgage servicing rights | (13,000) | 15,000 | |||
Net gain on sale and call of investments securities available-for-sale | (259,000) | (614,000) | |||
Net gain on sale of secondary market loans | (63,000) | (678,000) | |||
Proceeds from sale of secondary market loans | 3,108,000 | 18,934,000 | |||
Originations of secondary market loans | (3,045,000) | (18,256,000) | |||
Earnings on bank-owned life insurance | (283,000) | (161,000) | (452,000) | (325,000) | |
Decrease in accrued interest receivable | 34,000 | 79,000 | |||
Decrease in accrued interest payable | (220,000) | (80,000) | |||
Operating lease liability payments | (293,000) | (326,000) | |||
Increase (decrease) in other liabilities | 3,816,000 | (4,492,000) | |||
Decrease in other assets | 2,307,000 | 5,395,000 | |||
Amortization of subordinated debt | 66,000 | 79,000 | |||
Net Cash Provided by Operating Activities | 10,115,000 | 6,678,000 | |||
Investment securities available-for-sale: | |||||
Purchases | (17,569,000) | (10,500,000) | |||
Sales | 13,132,000 | ||||
Maturities, calls and principal repayments | 1,455,000 | 446,000 | |||
Investment securities held-to-maturity: | |||||
Purchases | (23,783,000) | (12,500,000) | |||
Maturities, calls and principal repayments | 3,640,000 | 1,571,000 | |||
Proceeds from sale of loans held for sale | 18,900,000 | ||||
Net decrease in loans held for investment | 104,290,000 | 50,640,000 | |||
Net decrease in restricted stock | 1,314,000 | 731,000 | |||
Purchase of property and equipment | (26,000) | (102,000) | |||
Net Cash Provided by Investing Activities | 88,221,000 | 43,418,000 | |||
Cash Flows from Financing Activities | |||||
Net (decrease) increase in deposits | (83,722,000) | 21,307,000 | |||
Proceeds for long-term borrowings | 160,000,000 | ||||
Repayment of long-term borrowings | (30,000,000) | (180,000,000) | |||
Repayment of secured borrowings | (4,225,000) | ||||
Increase in advances from borrowers for taxes and insurance | 819,000 | 297,000 | |||
Net Cash (Used in) Financing Activities | (112,903,000) | (2,621,000) | |||
Net (Decrease) Increase in Cash and Cash Equivalents | (14,567,000) | 47,475,000 | |||
Cash and Cash Equivalents - Beginning | 136,590,000 | 61,439,000 | 61,439,000 | ||
Cash and Cash Equivalents - Ending | $ 122,023,000 | $ 108,914,000 | 122,023,000 | 108,914,000 | $ 136,590,000 |
Supplemental Cash Flows Information | |||||
Interest paid | 3,235,000 | 6,109,000 | |||
Income taxes paid | $ 894,000 | ||||
Bank owned life insurance death benefit proceeds receivable | $ 612,000 |
The Company
The Company | 6 Months Ended |
Mar. 31, 2022 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
The Company | Note 1 – The Company Malvern Bancorp, Inc. (the “Company” or “Malvern Bancorp”), a Pennsylvania corporation, is a bank holding company registered under the Bank Holding Company Act of 1956, as amended (the “Holding Company Act”). Malvern Bancorp is the holding company for Malvern Bank, National Association (“Malvern Bank” or the “Bank”), a national bank that was originally organized in 1887 as a federally-chartered savings bank. The Company’s primary business is the ownership and operation of the Bank. The Bank’s principal business consists of attracting deposits from businesses and the general public and investing those deposits, together with borrowings and funds generated from operations, in commercial and multi-family real estate loans, one-to-four family residential real estate loans, construction and development loans, commercial business loans, home equity loans, lines of credit, and other consumer loans. The Company also invests in and maintains a portfolio of investment securities, primarily comprised of corporate debt securities, U.S. government agencies, mortgage-backed securities, and state and municipal obligations. Malvern Bank is one of the oldest banks headquartered on the Philadelphia Main Line. For more than a century, the Bank has been committed to helping people build prosperous communities as a trusted financial partner, forging lasting relationships through teamwork, respect, and integrity. The Bank’s primary market niche is providing personalized service to its client base. The Bank conducts business from its headquarters in Paoli, Pennsylvania, a suburb of Philadelphia, and through its nine other banking locations in Chester and Delaware counties, Pennsylvania, Morristown, New Jersey, its New Jersey regional headquarters, and Palm Beach, Florida. The Bank also maintains representative offices in Wellington, Florida and Allentown, Pennsylvania. In preparing the unaudited consolidated financial statements, management has made estimates and assumptions that affect the reported amounts of assets and liabilities as of the dates of the unaudited consolidated statements of condition and that affect the results of operations for the periods presented. Actual results could differ significantly from those estimates. Material estimates that are particularly susceptible to change in the near term relate to the determination of the allowance for loan losses, other real estate owned, the evaluation of deferred tax assets, the other-than-temporary impairment evaluation of securities, and the valuation of derivative positions. The unaudited consolidated financial statements have been prepared in conformity with GAAP. As used in this Quarterly Report on Form 10-Q, the terms “Malvern”, “the Company”, “registrant”, “we”, “us”, and “our” mean Malvern Bancorp, Inc. and its subsidiaries, on a consolidated basis, unless the context indicates otherwise. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 2 – Summary of Significant Accounting Policies Basis of financial statement presentation. The unaudited condensed consolidated financial statements of the Company include the accounts of the Company and its subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. The accompanying unaudited condensed consolidated financial statements present the Company’s financial condition at March 31, 2022 and the results of operations for the three and six months ended March 31, 2022 and 2021, and cash flows for the six months ended March 31, 2022 and 2021. The consolidated statement of financial condition as of September 30, 2021 was derived from the audited consolidated statement of financial condition as of that date. In management’s opinion, the unaudited condensed consolidated financial statements contain all adjustments, which include normal and recurring adjustments, necessary for a fair presentation of the financial position and results of operations as of the dates and for the interim periods presented. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and note disclosures included in the 2021 Annual Report filed with the SEC. The consolidated statements of operations for the three and six months ended March 31, 2022 and the consolidated statements of cash flows for the six months ended March 31, 2022 are not necessarily indicative of the results of operations or cash flows for the full year ending September 30, 2022 or any interim period. Recent Accounting Pronouncements Yet to Be Adopted Credit Losses. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . This ASU requires an organization to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. Many of the loss estimation techniques applied currently will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. Organizations will continue to use judgment to determine which loss estimation method is appropriate for their circumstances. Additionally, this ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. In April 2019, the FASB issued ASU 2019-04, Codification Improvements , which provides guidance on accounting for credit losses on accrued interest receivable balances and guidance on including recoveries when estimating the allowance. In May 2019, the FASB issued ASU 2019-05, Targeted Transition Relief, which allows entities with an option to elect fair value for certain instruments upon adoption of Topic 326. This ASU will be effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted . The Bank has a software system in place to assist with the calculation of Current Expected Credit Losses (“CECL”). In November 2019, the FASB issued ASU No. 2019-10, Financial Instruments-Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) making this ASU effective for interim and annual periods beginning after December 15, 2022. As such, the Company would be required to implement the ASU on October 1, 2023. In November 2019, the FASB issued ASU No. 2019-11, Codification Improvements to Topic 326, Financial Instruments-Credit Losses, which provides guidance on stakeholders’ specific issues about certain aspects of the amendments in ASU 2016-13. The Company formed a cross functional implementation team to review the requirements of ASU 2016-13 and contracted with a third-party provider to assist in the development and implementation of the revised credit loss methodology. The impact on the consolidated earnings, financial position, and cash flows of the Company upon adoption of this ASU are currently unknown. The Company plans to adopt this guidance when required to on October 1, 2023. In March 2022, the FASB issued ASU 2022-02, Financial Instruments—Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures. These amendments eliminate the TDR recognition and measurement guidance and, instead, require that an entity evaluate (consistent with the accounting for other loan modifications) whether the modification represents a new loan or a continuation of an existing loan. The amendments also enhance existing disclosure requirements and introduce new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. For public business entities, these amendments require that an entity disclose current-period gross writeoffs by year of origination for financing receivables and net investment in leases within the scope of Subtopic 326-20. This ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company is currently evaluating the effects that the adoption of this amendment will have on its consolidated financial statements. Reference Rate Reform. In March 2020, the FASB issued Accounting Standards Update (“ASU”) No. 2020-04, Reference Rate Reform (Topic 848) . The guidance allows for companies to: (1) account for certain contract modifications as a continuation of the existing contract without additional analysis; (2) continue hedge accounting when certain critical terms of a hedging relationship change and assess effectiveness in ways that disregard certain potential sources of ineffectiveness; and (3) make a one-time sale and/or transfer of certain debt securities from held-to-maturity to available-for-sale or trading. This ASU is available for adoption by the Company and applies prospectively to contract modifications and hedging relationships. The one-time election to sell and/or transfer debt securities classified as held-to-maturity may be made at any time. ASU 2020-04 is effective March 12, 2020, through December 31, 2022. The Company has elected certain optional expedient related to hedge accounting and will continue to monitor and assess the impact as the reference rate transition occurs over the next two years and proactively adopt applicable expedient(s). In connection with ongoing procedures to monitor the work of the Alternative Rates Committee of the FRB and Federal Reserve Bank of New York in identifying an alternative U.S. dollar reference interest rate the bank will continue to assess the Secured Overnight Financing Rate (“SOFR”) as the currently identified benchmark rate. Income Taxes. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740). This ASU identifies, evaluates, and improves areas of GAAP for which cost and complexity can be reduced while maintaining or improving the usefulness of the information provided to users of financial statements. The ASU is effective for fiscal years beginning after December 15, 2020, with early adoption permitted. The Company plans to adopt ASU 2019-12 during the current fiscal year and does not expect it to have a material impact on its consolidated financial statements or disclosure. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 3 – Earnings Per Share Basic earnings per common share is computed based on the weighted average number of shares outstanding reduced by unearned Employee Stock Ownership Plan (“ESOP”) shares. Diluted earnings per share is computed based on the weighted average number of shares outstanding and common stock equivalents that would arise from the exercise of dilutive securities, reduced by unearned ESOP shares. During the three and six months ended March 31, 2022 the company granted 5,131 restricted shares, respectively, and 2,336 shares were forfeited for the six months ended March 31, 2022. There were no stock options granted during the three and six months ended March 31, 2022. The following table sets forth the composition of the weighted average shares (denominator) used in the earnings per share computations: Three Months Ended March 31, Six Months Ended March 31, 2022 2021 2022 2021 (In thousands, except share and per share data) Net Income $ 522 $ 2,224 $ 2,539 $ 4,497 Weighted average shares outstanding 7,621,100 7,609,953 7,621,227 7,609,953 Average unearned ESOP shares (66,145 ) (80,545 ) (67,965 ) (82,365 ) Basic weighted average shares outstanding 7,554,955 7,529,408 7,553,262 7,527,588 Plus: effect of potential dilutive common stock equivalents - stock options 1,239 743 1,197 601 Diluted weighted average common shares outstanding 7,556,194 7,530,151 7,554,459 7,528,189 Earnings per common share: Basic $ 0.07 $ 0.30 $ 0.34 $ 0.60 Diluted $ 0.07 $ 0.30 $ 0.34 $ 0.60 |
Employee Stock Ownership Plan
Employee Stock Ownership Plan | 6 Months Ended |
Mar. 31, 2022 | |
Employee Stock Ownership Plan E S O P Shares In E S O P [Abstract] | |
Employee Stock Ownership Plan | Note 4 – Employee Stock Ownership Plan The Company maintains an ESOP for substantially all of its full-time employees. The current ESOP trustee is Pentegra. Shares of the Company’s common stock purchased by the ESOP are held until released for allocation to participants. Shares released are allocated to each eligible participant based on the ratio of each such participant’s base compensation to the total base compensation of all eligible plan participants. As the unearned shares are committed to be released and allocated among participants, the Company recognizes compensation expense equal to the fair value of the ESOP shares during the periods in which they become committed to be released. To the extent that the fair value of the ESOP shares released differs from the cost of such shares, the difference is charged or credited to additional paid-in capital. During the period from May 20, 2008 to September 30, 2008, the ESOP purchased 241,178 shares of Company common stock for approximately $2.6 million, at an average price of $10.86 per share, which was funded by a loan from Malvern Federal Bancorp, Inc. (the Company’s predecessor). The ESOP loan, which bears an interest rate of 5%, is being repaid in quarterly installments through 2026 principally from the Bank’s contributions to the ESOP. |
Investment Securities
Investment Securities | 6 Months Ended |
Mar. 31, 2022 | |
Investments Debt And Equity Securities [Abstract] | |
Investment Securities | Note 5 - Investment Securities The Company’s investment securities are classified as available-for-sale or held-to-maturity at March 31, 2022 and at September 30, 2021. Investment securities available-for-sale are reported at fair value with unrealized gains or losses included in equity, net of tax. Accordingly, the carrying value of such securities reflects their fair value at the balance sheet date. Fair value is based upon either quoted market prices, or in certain cases where there is limited activity in the market for a particular instrument, assumptions are made to determine their fair value. Held-to-maturity securities, which are carried at amortized cost, are investments where there is positive intent and ability to hold to maturity. Equity securities are stated at fair value with any changes in fair value reported in non-interest income. Transfers of debt securities from the available-for-sale category to the held-to-maturity category are made at fair value at the date of transfer. The unrealized holding gain or loss at the date of transfer remains in accumulated other comprehensive income and in the carrying value of the held-to-maturity investment security. Premiums or discounts on investment securities are amortized or accreted using the effective interest method over the life of the security as an adjustment of yield. Unrealized holding gains or losses that remain in accumulated other comprehensive income are amortized or accreted over the remaining life of the security as an adjustment of yield, offsetting the related amortization of the premium or accretion of the discount. The following tables present information related to the Company’s investment securities at March 31, 2022 and September 30, 2021: March 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In thousands) Investment Securities Available-for-Sale: U.S. government agencies $ 5,000 $ - $ (558 ) $ 4,442 State and municipal obligations 10,886 - (935 ) 9,951 Single issuer trust preferred security 1,000 - (78 ) 922 Corporate debt securities 35,989 94 (1,133 ) 34,950 MBS Securities 2,505 - (66 ) 2,439 U.S. Treasury Note 1,483 - (4 ) 1,479 Total $ 56,863 $ 94 $ (2,774 ) $ 54,183 Investment Securities Held-to-Maturity: U.S. government agencies $ 23,500 $ - $ (1,659 ) $ 21,841 State and municipal obligations 13,764 12 (731 ) 13,045 Corporate debt securities 3,324 14 - 3,338 Mortgage-backed securities: Mortgage Backed Security ("MBS"), fixed-rate 2,358 - (203 ) 2,155 Collateralized mortgage obligations (“CMO”), fixed-rate 5,566 - (229 ) 5,337 Total $ 48,512 $ 26 $ (2,822 ) $ 45,716 Equity Securities: Mutual Funds $ 1,500 $ - $ (55 ) $ 1,445 Total equity securities $ 1,500 $ - $ (55 ) $ 1,445 Total investment securities $ 106,875 $ 120 $ (5,651 ) $ 101,344 September 30, 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In thousands) Investment Securities Available-for-Sale: U.S. government agencies $ 5,000 $ - $ (7 ) $ 4,993 State and municipal obligations 2,767 1 (3 ) 2,765 Single issuer trust preferred security 1,000 - (125 ) 875 Corporate debt securities 31,989 243 (52 ) 32,180 Total $ 40,756 $ 244 $ (187 ) $ 40,813 Investment Securities Held-to-Maturity: U.S. government agencies $ 10,000 $ 11 $ - $ 10,011 State and municipal obligations $ 6,062 $ 104 $ (49 ) $ 6,117 Corporate debt securities 3,383 224 - 3,607 Mortgage-backed securities: Mortgage-backed securities: 2,461 - (13 ) 2,448 Collateralized mortgage obligations (“CMO”), fixed-rate 6,601 129 - 6,730 Total $ 28,507 $ 468 $ (62 ) $ 28,913 Equity Securities: Mutual Funds $ 1,500 $ - $ - # $ 1,500 Total equity securities $ 1,500 $ - $ - $ 1,500 Total investment securities $ 70,763 $ 712 $ (249 ) $ 71,226 There were no sales of available for sale securities for the six months ended March 31, 2022. The following tables indicate gross unrealized losses not recognized in income and fair value, aggregated by investment category, and the length of time individual securities have been in a continuous unrealized loss position at March 31, 2022 and September 30, 2021: March 31, 2022 Less than 12 Months More than 12 Months Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (In thousands) Investment Securities Available for Sale: U.S. government agencies $ 4,442 $ (558 ) $ - $ - $ 4,442 $ (558 ) State and municipal obligations 9,951 (935 ) - - 9,951 (935 ) Single issuer trust preferred security - - 922 (78 ) 922 (78 ) Corporate debt securities 28,408 (1,092 ) 1,459 (41 ) 29,867 (1,133 ) MBS Securities 2,438 (66 ) - - 2,438 (66 ) U.S. Treasury Note 1,479 (4 ) - - 1,479 (4 ) Total $ 46,718 $ (2,655 ) $ 2,381 $ (119 ) $ 49,099 $ (2,774 ) September 30, 2021 Less than 12 Months More than 12 Months Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (In thousands) Investment Securities Available for Sale: U.S. government agencies $ 4,993 $ (7 ) $ - $ - $ 4,993 $ (7 ) State and municipal obligations 1,819 (3 ) - - 1,819 (3 ) Single issuer trust preferred security - - 875 (125 ) 875 (125 ) Corporate debt securities 8,475 (25 ) 2,973 (27 ) 11,448 (52 ) Total investment securities $ 15,287 $ (35 ) $ 3,848 $ (152 ) $ 19,135 $ (187 ) As of March 31, 2022, the estimated fair value of the securities disclosed above was primarily dependent upon the movement in market interest rates, particularly given the inherent credit risk associated with these securities. These investment securities are comprised of securities that are rated investment grade by at least one bond credit rating service. Management believes that the unrealized losses on these securities are a function of changes in market interest rates and credit spreads, not changes in credit quality. No allowance for credit losses was recorded at March 31, 2022 on available for sale securities. As of March 31, 2022, the Company held eleven corporate debt securities, seven municipal bonds, one U.S. government agency, one U.S. Tressury note, one mortgage-backed security, and one single issuer trust preferred security which were in an unrealized loss position. The Company does not intend to sell, and expects that it is unlikely that it will be required to sell, these securities until such time as the value recovers or the securities mature. Management does not believe any individual unrealized loss as of March 31, 2022 represents an other-than-temporary impairment. Investment securities having a carrying value of approximately $2.4 million and $2.9 million at March 31, 2022 and September 30, 2021, respectively, were pledged to secure public funds deposits, and prospective FRB discount window borrowings. No investment securities were pledged to secure hedges at March 31, 2022 or September 30, 2021. The following table presents information for investment securities at March 31, 2022, based on scheduled maturities. Actual maturities can be expected to differ from scheduled maturities due to prepayment or early call options of the issuer. March 31, 2022 Amortized Cost Fair Value (In thousands) Available-for-Sale: Within 1 year $ - $ - Over 1 year through five years 4,984 4,915 After 5 years through ten years 31,989 30,969 Over 10 years 19,890 18,299 Total $ 56,863 $ 54,183 Held-to-Maturity: Within 1 year $ 254 $ 254 Over 1 year through five years 10,036 10,062 After 5 years through ten years 3,122 2,929 Over 10 years 27,176 24,979 Mortgage-backed securities: Mortgage Backed Security ("MBS"), fixed-rate 2,358 2,155 Collateralized mortgage obligations (“CMO”), fixed-rate 5,566 5,337 Total $ 48,512 $ 45,716 Equity Securities: Within 1 year $ 500 $ 500 After 5 years through ten years 1,000 945 $ 1,500 $ 1,445 Total investment securities $ 106,875 $ 101,344 |
Loans Receivable and Related Al
Loans Receivable and Related Allowance for Loan Losses | 6 Months Ended |
Mar. 31, 2022 | |
Receivables [Abstract] | |
Loans Receivable and Related Allowance for Loan Losses | Note 6 – Loans Receivable and Related Allowance for Loan Losses Loans receivable in the Company’s portfolio consisted of the following at the dates indicated below: March 31, 2022 September 30, 2021 (In thousands) Residential mortgage $ 177,669 $ 198,710 Construction and Development: Residential and commercial 25,558 61,492 Land 4,603 2,204 Total Construction and Development 30,161 63,696 Commercial: Commercial real estate 400,974 426,915 Farmland 15,624 10,297 Multi-family 54,789 66,332 Commercial and industrial 101,354 115,246 Other 7,977 10,954 Total Commercial 580,718 629,744 Consumer: Home equity lines of credit 12,283 13,491 Second mortgages 4,969 5,884 Other 2,237 2,299 Total Consumer 19,489 21,674 Total loans 808,037 913,824 Deferred loan costs, net 574 629 Allowance for loan losses (9,301 ) (11,472 ) Total loans receivable, net $ 799,310 $ 902,981 The following tables summarize the primary classes of the allowance for loan losses (“ALLL”), segregated into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment, as of March 31, 2022 and September 30, 2021. Activity in the ALLL is presented for the three and six months ended March 31, 2022 and 2021 and the fiscal year ended September 30, 2021: Construction and Development Commercial Consumer Residential Mortgage Residential and Commercial Land Commercial Real Estate Farmland Multi- Family Commercial and Industrial Other Home Equity Lines of Credit Second Mortgages Other Unallocated Total Allowance for loan losses: (In thousands) Three Months Ended March 31,2022 Beginning balance $ 935 $ 428 $ 15 $ 7,118 $ 56 $ 450 $ 791 $ 54 $ 76 $ 6 $ 20 $ 88 $ 10,037 Charge-offs - - - - - - (764 ) - - (21 ) - - (785 ) Recoveries - - - 1 - - 1 - - 47 - - 49 Provisions (121 ) (276 ) 12 (914 ) 218 (123 ) 1,169 (54 ) 2 69 (3 ) 21 - Ending balance $ 814 $ 152 $ 27 $ 6,205 $ 274 $ 327 $ 1,197 $ - $ 78 $ 101 $ 17 $ 109 $ 9,301 Construction and Development Commercial Consumer Residential Mortgage Residential and Commercial Land Commercial Real Estate Farmland Multi- Family Commercial and Industrial Other Home Equity Lines of Credit Second Mortgages Other Unallocated Total Allowance for loan losses: (In thousands) Three Months Ended March 31,2021 Beginning balance $ 1,603 $ 508 $ 24 $ 7,973 $ 352 $ 508 $ 600 $ 50 $ 125 $ 179 $ 25 $ 1,088 $ 13,035 Charge-offs - - - (484 ) - - - - - - - - (484 ) Recoveries - - - - - - - - 1 48 1 - 50 Provisions (175 ) 24 - 888 (317 ) (2 ) (43 ) (1 ) (7 ) (113 ) (1 ) (253 ) - Ending balance $ 1,428 $ 532 $ 24 $ 8,377 $ 35 $ 506 $ 557 $ 49 $ 119 $ 114 $ 25 $ 835 $ 12,601 Construction and Development Commercial Consumer Residential Mortgage Residential and Commercial Land Commercial Real Estate Farmland Multi- Family Commercial and Industrial Other Home Equity Lines of Credit Second Mortgages Other Unallocated Total Allowance for loan losses: (In thousands) Six Months Ended March 31, 2022 Beginning balance $ 934 $ 428 $ 15 $ 7,043 $ 56 $ 450 $ 2,221 $ 54 $ 76 $ 87 $ 20 $ 88 $ 11,472 Charge-offs - - - - - - (2,194 ) - - (105 ) - - (2,299 ) Recoveries 1 - - 76 - - 1 - - 50 - - 128 Provisions (121 ) (276 ) 12 (914 ) 218 (123 ) 1,169 (54 ) 2 69 (3 ) 21 - Ending balance $ 814 $ 152 $ 27 $ 6,205 $ 274 $ 327 $ 1,197 $ - $ 78 $ 101 $ 17 $ 109 $ 9,301 Ending balance: individually evaluated for impairment $ 58 $ - $ - $ - $ 180 $ - $ 5 $ - $ - $ - $ - $ - $ 243 Ending balance: collectively evaluated for impairment $ 756 $ 152 $ 27 $ 6,205 $ 94 $ 327 $ 1,192 $ - $ 78 $ 101 $ 17 $ 109 $ 9,058 Loans receivable: Ending balance $ 177,669 $ 25,558 $ 4,603 $ 400,974 $ 15,624 $ 54,789 $ 101,354 $ 7,977 $ 12,283 $ 4,969 $ 2,237 $ 808,037 Ending balance: individually evaluated for impairment $ 482 $ - $ - $ - $ 2,232 $ - $ 625 $ - $ - $ - $ - $ 3,339 Ending balance: collectively evaluated for impairment $ 177,187 $ 25,558 $ 4,603 $ 400,974 $ 13,392 $ 54,789 $ 100,729 $ 7,977 $ 12,283 $ 4,969 $ 2,237 $ 804,698 Construction and Development Commercial Consumer Residential Mortgage Residential and Commercial Land Commercial Real Estate Farmland Multi- Family Commercial and Industrial Other Home Equity Lines of Credit Second Mortgages Other Unallocated Total Allowance for loan losses: (In thousands) Six Months Ended March 31,2021 Beginning balance $ 1,667 $ 465 $ 23 $ 8,682 $ 47 $ 511 $ 578 $ 51 $ 130 $ 196 $ 29 $ 54 $ 12,433 Charge-offs - - - (484 ) - - - - - - (1 ) - (485 ) Recoveries 1 - - 1 - - 1 - 1 98 1 - 103 Provisions (240 ) 67 1 178 (12 ) (5 ) (22 ) (2 ) (12 ) (180 ) (4 ) 781 550 Ending balance $ 1,428 $ 532 $ 24 $ 8,377 $ 35 $ 506 $ 557 $ 49 $ 119 $ 114 $ 25 $ 835 $ 12,601 Ending balance: individually evaluated for impairment $ - $ - $ - $ 1,476 $ - $ - $ - $ - $ - $ 38 $ - $ - $ 1,514 Ending balance: collectively evaluated for impairment $ 1,428 $ 532 $ 24 $ 6,901 $ 35 $ 506 $ 557 $ 49 $ 119 $ 76 $ 25 $ 835 $ 11,087 Loans receivable: Ending balance $ 218,165 $ 76,257 $ 3,596 $ 482,611 $ 7,344 $ 67,122 $ 94,706 $ 9,927 $ 15,936 $ 8,114 $ 2,650 $ 986,428 Ending balance: individually evaluated for impairment $ 3,671 $ - $ - $ 38,838 $ 2,266 $ - # $ 549 $ - $ 24 $ 352 $ - $ 45,700 Ending balance: collectively evaluated for impairment $ 214,494 $ 76,257 $ 3,596 $ 443,773 $ 5,078 $ 67,122 $ 94,157 $ 9,927 $ 15,912 $ 7,762 $ 2,650 $ 940,728 Construction and Development Commercial Consumer Residential Mortgage Residential and Commercial Land Commercial Real Estate Farmland Multi- Family Commercial and Industrial Other Home Equity Lines of Credit Second Mortgages Other Unallocated Total Allowance for loan losses: (In thousands) Year Ended September 30, 2021 Beginning balance $ 1,667 $ 465 $ 23 $ 8,682 $ 47 $ 511 $ 578 $ 51 $ 130 $ 196 $ 29 $ 54 $ 12,433 Charge-offs - - - (11,930 ) - - (379 ) - - - (4 ) - (12,313 ) Recoveries 41 4 - 1 - - 2 - 17 108 2 - 176 Provisions (774 ) (41 ) (8 ) 10,290 9 (61 ) 2,020 3 (71 ) (217 ) (7 ) 34 11,176 Ending balance $ 934 $ 428 $ 15 $ 7,043 $ 56 $ 450 $ 2,221 $ 54 $ 76 $ 87 $ 20 $ 88 $ 11,472 Ending balance: individually evaluated for impairment $ - $ - $ - $ 18 $ - $ - $ 1,488 $ - $ - $ 38 $ - $ - $ 1,544 Ending balance: collectively evaluated for impairment $ 934 $ 428 $ 15 $ 7,025 $ 56 $ 450 $ 733 $ 54 $ 76 $ 49 $ 20 $ 88 $ 9,928 Loans receivable: Ending balance $ 198,710 $ 61,492 $ 2,204 $ 426,915 $ 10,297 $ 66,332 $ 115,246 $ 10,954 $ 13,491 $ 5,884 $ 2,299 $ 913,824 Ending balance: individually evaluated for impairment $ - $ - $ - $ 286 $ - $ - $ 2,517 $ - $ - $ 102 $ - $ 2,905 Ending balance: collectively evaluated for impairment $ 198,710 $ 61,492 $ 2,204 $ 426,629 $ 10,297 $ 66,332 $ 112,729 $ 10,954 $ 13,491 $ 5,782 $ 2,299 $ 910,919 In assessing the adequacy of the ALLL, it is recognized that the process, methodology and underlying assumptions require a significant degree of judgment. The estimation of loan losses is not precise; the range of factors considered is wide and is significantly dependent upon management’s judgment, including the outlook and potential changes in the economic environment. Any unallocated portion of the ALLL in conjunction with the quarterly review and changes to the qualitative factors to adjust for the risk due to current economic conditions reflects management’s estimate of probable inherent but undetected losses within the portfolio due to uncertainties in economic conditions, regulatory requirements, delays in obtaining information, including unfavorable information about a borrower’s financial condition, the difficulty in identifying triggering events that correlate perfectly to subsequent loss rates, and risk factors that have not yet manifested themselves in loss allocation factors. The Company recorded no provision for loan losses for the three month period ended March 31, 2022 or 2021. During the three months period ended March 31, 2022, the Company recorded two charge offs of $785,000 and recoveries of $49,000. During the three months period ended March 31, 2021, the Company recorded one charge off of $484,000 and recoveries of $50,000. The Company recorded no provision for loan losses for the six month period ended March 31, 2022 and a $550,000 provision during the six months period ended March 31, 2021. For the six months period ended March 31, 2022, the Company recorded charge offs of $2.3 million and recoveries of $128,000. During the six months period ended March 31, 2021, the Company recorded charge offs of $485,000 and recoveries of $103,000. Impaired loans with no specific allowance decreased by $22.9 million from $39.7 million at September 30, 2021 to $16.9 million at March 31, 2022, due primarily to three commercial real estate loans totaling $18.9 million being sold during the six months period, as part of the note sale, previously announced, $2.2 million partial charge down of one commercial and industrial loan and a $1.7 million valuation allowance recorded on loans held for sale. The valuation allowance adjustment consists of approximately $395,000 in reduced value and approximately $1.3 million in real estate tax expense. Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Recorded Investment Related Allowance Recorded Investment Recorded Investment Unpaid Principal Balance (In thousands) March 31, 2022 Residential mortgage $ 482 $ 58 $ 2,394 $ 2,876 $ 2,876 Commercial: Commercial real estate - - 13,840 13,840 13,840 Farmland 2,232 180 - 2,232 2,232 Commercial and industrial 625 5 356 981 981 Consumer: Home equity lines of credit - - 21 21 21 Second mortgages - - 253 253 253 Total impaired loans $ 3,339 $ 243 $ 16,864 $ 20,203 $ 20,203 September 30, 2021 Residential mortgage $ - $ - $ 2,594 $ 2,594 $ 2,766 Commercial: Commercial real estate 286 18 33,543 33,829 33,368 Farmland 2,254 2,254 2,254 Commercial and industrial 2,517 1,488 630 3,147 3,584 Consumer: Home equity lines of credit - - 23 23 28 Second mortgages 102 38 696 798 874 Total impaired loans $ 2,905 $ 1,544 $ 39,740 $ 42,645 $ 42,874 The following table presents the average recorded investment in impaired loans in the loan portfolio and related interest income recognized for the three and six months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 Six Months Ended March 31, 2022 Average Impaired Loans Interest Income Recognized on Impaired Loans Average Impaired Loans Interest Income Recognized on Impaired Loans (In thousands) Residential mortgage $ 2,610 $ 25 $ 1,727 $ 47 Commercial: Commercial real estate 12,757 7 8,626 9 Farmland 2,236 20 1,494 40 Commercial and industrial 1,476 5 1,381 10 Consumer: Home equity lines of credit 22 - 10 - Second mortgages 685 - 528 - Total $ 19,786 $ 57 $ 13,766 $ 106 Three Months Ended March 31, 2021 Six Months Ended March 31, 2021 Average Impaired Loans Interest Income Recognized on Impaired Loans Average Impaired Loans Interest Income Recognized on Impaired Loans (In thousands) Residential mortgage $ 3,383 $ 19 $ 3,434 $ 34 Commercial: Commercial real estate 34,226 145 29,930 250 Farmland 2,278 19 1,516 19 Commercial and industrial 549 5 365 7 Consumer: Home equity lines of credit 56 - 65 - Second mortgages 658 2 679 3 Total $ 41,150 $ 190 $ 35,989 $ 313 No additional funds are committed to be advanced in connection with impaired loans.] The following table presents the classes of the loan portfolio categorized as pass, special mention, substandard and doubtful within the Company’s internal risk rating system as of March 31, 2022 and September 30, 2021: Pass Special Mention Substandard Doubtful Total (In thousands) March 31, 2022: Residential mortgage $ 174,594 $ - $ 3,075 $ - $ 177,669 Construction and Development: Residential and commercial 25,558 - - - 25,558 Land 4,603 - - - 4,603 Commercial: Commercial real estate 357,298 42,972 704 - 400,974 Farmland 13,392 - 2,232 - 15,624 Multi-family 54,789 - - - 54,789 Commercial and industrial 95,347 - 6,007 - 101,354 Other 7,977 - - - 7,977 Consumer: Home equity lines of credit 12,107 - 176 - 12,283 Second mortgages 4,560 63 346 - 4,969 Other 2,234 - 3 - 2,237 Total $ 752,459 $ 43,035 $ 12,543 $ - $ 808,037 Pass Special Mention Substandard Doubtful Total (In thousands) September 30, 2021: Residential mortgage $ 195,658 $ - $ 3,052 $ - $ 198,710 Construction and Development: Residential and commercial 61,492 - - - 61,492 Land 2,204 - - - 2,204 Commercial: Commercial real estate 376,721 48,705 1,489 - 426,915 Farmland 8,043 - 2,254 - 10,297 Multi-family 57,052 9,280 - - 66,332 Commercial and industrial 106,910 - 8,336 - 115,246 Other 10,954 - - - 10,954 Consumer: Home equity lines of credit 13,390 - 101 - 13,491 Second mortgages 4,908 68 908 - 5,884 Other 2,299 - - - 2,299 Total $ 839,631 $ 58,053 $ 16,140 $ - $ 913,824 The following table presents loans that are no longer accruing interest as of March 31, 2022 and September 30, 2021, by portfolio class: March 31, 2022 September 30, 2021 (In thousands) Non-accrual loans: Residential mortgage $ 610 $ 879 Commercial: Commercial and industrial 285 2,517 Consumer: Home equity lines of credit 22 23 Second mortgages 184 278 Total non-accrual loans $ 1,101 $ 3,697 Under the Bank’s loan policy, once a loan has been placed on non-accrual status, we do not resume interest accruals until the loan has been brought current and has maintained a current payment status for not less than six consecutive months. Total non-accrual loans exclude loans held-for-sale. Non-accrual loans totaled $1.1 million at March 31, 2022, and $3.7 million at September 30, 2021. The decrease in non-accrual loans was primarily due a partial charge down of $2.2 million related to one non-accrual commercial and industrial loan. This loan had a specific allocation of $1.5 million previously reported at September 30, 2021. The partial charge down was the result of the ongoing monitoring and evaluation of the loan’s value in light of indications of interest received with respect to the note. Interest income that would have been recognized on non-accrual loans had they been current in accordance with their original terms was approximately $20,000 for the three months ended March 31, 2022, and $23,000 for the six months ended March 31, 2022. Interest income that would have been recognized on non-accrual loans had they been current in accordance with their original terms was approximately $407,000 for the three months ended March 31, 2021 and $545,000 for the six months ended March 31, 2021. Management monitors the performance and credit quality of the loan portfolio by analyzing the age of the loan portfolio and categorizing each loan as “current”, meaning payment is received from a borrower by the scheduled due date, or by the length of time a scheduled payment is past due. The following table presents the classes of the loan portfolio categorized by the following aging categories as of March 31, 2022 and September 30, 2021: Current 30-59 Days Past Due 60-89 Days Past Due 90 Days and More Past Due Total Past Due Total Loans Receivable Loans Receivable > 90 Days and Accruing (In thousands) March 31, 2022: Residential mortgage $ 176,171 $ 1,311 $ - $ 187 $ 1,498 $ 177,669 $ - Construction and Development: Residential and commercial 25,558 - - - - 25,558 - Land 4,603 - - - - 4,603 - Commercial: Commercial real estate 400,471 503 - - 503 400,974 - Farmland 15,624 - - - - 15,624 - Multi-family 54,789 - - - - 54,789 - Commercial and industrial 101,069 285 - - 285 101,354 - Other 7,977 - - - - 7,977 - Consumer: - Home equity lines of credit 12,206 77 - - 77 12,283 - Second mortgages 4,961 - - 8 8 4,969 - Other 2,234 - - 3 3 2,237 - Total $ 805,663 $ 2,176 $ - $ 198 $ 2,374 $ 808,037 $ - Current 30-59 Days Past Due 60-89 Days Past Due Greater than 90 Days Past Due Total Past Due Total Loans Receivable Loans Receivable > 90 Days and Accruing (In thousands) September 30, 2021: Residential mortgage $ 197,062 $ 796 $ 241 $ 611 $ 1,648 $ 198,710 $ - Construction and Development: Residential and commercial 61,492 - - - - 61,492 - Land 2,204 - - - - 2,204 - Commercial: Commercial real estate 426,915 - - - - 426,915 - Farmland 10,297 - - - - 10,297 - Multi-family 66,332 - - - - 66,332 - Commercial and industrial 115,246 - - - - 115,246 - Other 10,954 - - - - 10,954 - Consumer: Home equity lines of credit 13,394 97 - - 97 13,491 - Second mortgages 5,697 4 83 100 187 5,884 - Other 2,296 3 - - 3 2,299 - Total $ 911,889 $ 900 $ 324 $ 711 $ 1,935 $ 913,824 $ - Restructured loans deemed to be TDRs are typically the result of an extension of the loan maturity date or a reduction of the interest rate of the loan to a rate that is below market, a combination of rate and maturity extension, or by other means, including covenant modifications, forbearance and other concessions. However, the Bank generally restructures loans by modifying the payment structure to require payments of interest only for a specified period or by reducing the actual interest rate. Once a loan becomes a TDR, it will continue to be reported as a TDR during the term of the restructuring. The Company had 22 and 26 loans classified as TDRs at March 31, 2022 and September 30, 2021, respectively, with an aggregate outstanding balance of $6.2 million and $18.2 million, respectively. At March 31, 2022, these loans were also classified as impaired. The decrease is primarily related to two TDR commercial real estate loans totaling $11.4 million that were sold during the period, with no gains or losses recognized on the sale, as part of the note sale previously announced. 19 of the TDR loans continue to perform under the restructured terms through March 31, 2022 and the Company continued to accrue interest on such loans through such date. Loans that have been classified as TDRs have modified payment terms and in some cases modified interest rates from the original agreements, which allow the borrowers, who were experiencing financial difficulty, to make interest only payments for a period of time in order to relieve some of their overall cash flow burden. Some loan modifications classified as TDRs may not ultimately result in the full collection of principal and interest, as modified, and could result in potential incremental losses. These potential incremental losses have been factored into our overall estimate of the ALLL. The level of any defaults will likely be affected by future economic conditions. A default on a TDR loan for purposes of this disclosure occurs when the borrower is 90 days past due or a foreclosure or repossession of the applicable collateral has occurred. TDRs may arise in cases where, due to financial difficulties experienced by the borrower, the Company obtains through physical possession one or more collateral assets in satisfaction of all or part of an existing credit. Once possession is obtained, the Company reclassifies the appropriate portion of the remaining balance of the credit from loans to other real estate owned (“OREO”), which is included within other assets in the Consolidated Statements of Financial Condition. Total Troubled Debt Restructurings Troubled Debt Restructured Loans That Have Defaulted on Modified Terms Within The Past 12 Months Number of Loans Recorded Investment Number of Loans Recorded Investment (Dollars in thousands) December 31, 2021: Residential mortgage 14 $ 2,689 - $ - Commercial: Commercial real estate 3 595 2 504 Farmland 1 2,232 - - Commercial and industrial 1 625 - - Consumer: Second mortgages 3 69 - - Total 22 $ 6,210 2 $ 504 September 30, 2021: Residential mortgage 16 $ 3,180 4 $ 640 Commercial: - Commercial real estate 5 12,180 - - Farmland 1 2,254 - - Commercial and industrial 1 549 - - Consumer: Second mortgages 3 78 - - Total 26 $ 18,241 4 $ 640 The following table reports the performing status of all TDR loans. The performing status is determined by a loan’s compliance with the modified terms: March 31, 2022 September 30, 2021 Performing Non-Performing Performing Non-Performing (In thousands) Residential mortgage $ 2,266 $ 423 $ 2,540 $ 640 Commercial: Commercial real estate 595 - 12,180 - Farmland 2,232 - 2,254 - Commercial and industrial 625 - 549 - Consumer: Second mortgages 69 - 78 - Total $ 5,787 $ 423 $ 17,601 $ 640 There were two new TDRs for the six months ended March 31, 2022. The following tables show the new TDRs for the three and six months ended March 31, 2022 compared to the three and six months ended March 31, 2021: For the Three Months Ended March 31, 2022 2021 Number of Contracts Pre- Modifications Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of Contracts Pre- Modifications Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment (In thousands) Troubled Debt Restructurings: Residential mortgage - $ - $ - - $ - $ - Commercial: Commercial real estate - $ - $ - - $ - $ - Farmland - $ - $ - 1 $ 2,287 $ 2,287 Commercial and industrial - $ - $ - 1 $ 549 $ 549 Consumer: Second mortgages - $ - $ - - $ - $ - Total troubled debt restructurings - $ - $ - 2 $ 2,836 $ 2,836 For the Six Months Ended March 31, 2022 2021 Number of Contracts Pre- Modifications Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of Contracts Pre- Modifications Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment (Dollars in thousands) Troubled Debt Restructurings: Residential mortgage 1 $ 482 $ 482 - $ - $ - Commercial: Commercial real estate - $ - $ - - $ - $ - Farmland - $ - $ - 1 $ 2,287 $ 2,287 Commercial and industrial 1 $ 504 $ 504 1 $ 549 $ 549 Total troubled debt restructurings 2 $ 986 $ 986 2 $ 2,836 $ 2,836 Under Section 4013 of the CARES Act, and separately based upon regulatory guidance promulgated by federal banking regulators (collectively, “Interagency Statement”), qualifying short-term loan modifications resulting in payment deferrals that are attributable to the adverse impact of COVID-19 are not considered to be TDRs. As such, the applicable loans are reported as current with regard to payment status and continue to accrue interest during the payment deferral period. The following tables set forth the composition of these loans by loan segments as of March 31, 2022 and September 30, 2021: March 31 ,2022 Number of Loans Loan Modified Exposure Gross Loans March 31 ,2022 Percentage of Gross Loans on Modified (Dollars in thousands) Residential mortgage - $ - $ 177,669 0.00 % Construction and Development: Residential and commercial - - 25,558 0.00 % Land loans - - 4,603 0.00 % Total Construction and Development - - 30,161 0.00 % Commercial: Commercial real estate 4 42,321 400,974 5.24 % Farmland - - 15,624 0.00 % Multi-family - - 54,789 0.00 % Commercial and industrial - - 101,354 0.00 % Other - - 7,977 0.00 % Total Commercial 4 42,321 580,718 5.24 % Consumer: Home equity lines of credit - - 12,283 0.00 % Second mortgages - - 4,969 0.00 % Other - - 2,237 0.00 % Total Consumer - - 19,489 0.00 % Total loans 4 $ 42,321 $ 808,037 5.24 % September 30, 2021 Number of Loans Loan Modified Exposure Gross Loans September 30, 2021 Percentage of Gross Loans on Modified (Dollars in thousands) Residential mortgage 2 $ 667 $ 198,710 0.07 % Construction and Development: Residential and commercial - - 61,492 0.00 % Land loans - - 2,204 0.00 % Total Construction and Development - - 63,696 0.00 % Commercial: Commercial real estate 6 60,567 426,915 6.63 % Farmland - - 10,297 0.00 % Multi-family - - 66,332 0.00 % Commercial and industrial - - 115,246 0.00 % Other - - 10,954 0.00 % Total Commercial 6 60,567 629,744 6.63 % Consumer: Home equity lines of credit - - 13,491 0.00 % Second mortgages - - 5,884 0.00 % Other - - 2,299 0.00 % Total Consumer - - 21,674 0.00 % Total loans 8 $ 61,234 $ 913,824 6.70 % |
Regulatory Matters
Regulatory Matters | 6 Months Ended |
Mar. 31, 2022 | |
Regulatory Matters Disclosure [Abstract] | |
Regulatory Matters | Note 7 - Regulatory Matters Regulatory Capital Requirements The Bank is subject to various regulatory capital requirements administered by the federal 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 financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classifications are also subject to qualitative judgments by the regulators about components, risk-weightings, and other factors. In J l r iv U S r a a f a e d F r a a r r to l a J n 1 r a a b e b a a r r r m r r for r w R W A ratio b r a a a w r r r a a r a s e a a r r a a a r l r s F m the a a r a of f iv J n 1 e a a a r m a a r a r J n 1 Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios (set forth in the table below) of tangible and core capital (as defined in the regulations) to total adjusted tangible assets (as defined in the regulations) and of risk-based capital (as defined in the regulations) to risk-weighted assets (as defined in the regulations). As of March 31, 2022 and as of September 30, 2021, the Company’s and the Bank’s current capital levels exceeded the required capital amounts to be considered “well capitalized” and they also met the fully-phased in minimum capital requirements, including the related capital conservation buffers, as required by the Basel III capital rules. The following table summarizes the Company’s compliance with applicable regulatory capital requirements as of March 31, 2022 and September 30, 2021: Actual For Capital Adequacy Purposes To be Well Capitalized Under Prompt Corrective Action Provisions (1) Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of March 31, 2022 Tier 1 Leverage (Core) Capital (to adjusted assets) $ 144,898 12.83 % $ 45,158 4.00 % N/A N/A Common Equity Tier 1 Capital (to risk weighted assets) 144,898 16.38 % 39,804 4.50 % N/A N/A Tier 1 Capital (to risk weighted assets) 144,898 16.38 % 53,073 6.00 % N/A N/A Total Risk Based Capital (to risk weighted assets) 179,280 20.27 % 70,763 8.00 % N/A N/A As of September 30, 2021 Tier 1 Leverage (Core) Capital (to adjusted assets) $ 142,132 11.84 % $ 48,020 4.00 % N/A N/A Common Equity Tier 1 Capital (to risk weighted assets) 142,132 14.53 % 44,024 4.50 % N/A N/A Tier 1 Capital (to risk weighted assets) 142,132 14.53 % 58,699 6.00 % N/A N/A Total Risk Based Capital (to risk weighted assets) 178,620 18.26 % 78,265 8.00 % N/A N/A (1) The Company is not subject to the regulatory capital ratios imposed by Basel III on bank holding companies because the Company was deemed to be a small bank holding company as of March 31, 2022 and September 20, 2021. The following table summarizes the Bank’s compliance with applicable regulatory capital requirements as of March 31, 2022 and September 30, 2021: Actual For Capital Adequacy Purposes To be Well Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of March 31, 2022 Tier 1 Leverage (Core) Capital (to adjusted assets) $ 160,992 14.29 % $ 45,074 4.00 % $ 56,343 5.00 % Common Equity Tier 1 Capital (to risk weighted assets) 160,992 18.25 % 39,802 4.50 % 57,347 6.50 % Tier 1 Capital (to risk weighted assets) 160,992 18.25 % 52,936 6.00 % 70,582 8.00 % Total Risk Based Capital (to risk weighted assets) 170,374 19.31 % 70,582 8.00 % 88,227 10.00 % As of September 30, 2021 Tier 1 Leverage (Core) Capital (to adjusted assets) $ 157,518 13.14 % $ 47,946 4.00 % $ 59,933 5.00 % Common Equity Tier 1 Capital (to risk weighted assets) 157,518 16.13 % 43,934 4.50 % 63,460 6.50 % Tier 1 Capital (to risk weighted assets) 157,518 16.13 % 58,579 6.00 % 78,105 8.00 % Total Risk Based Capital (to risk weighted assets) 169,072 17.32 % 78,105 8.00 % 97,632 10.00 % |
Derivatives and Hedging Activit
Derivatives and Hedging Activities | 6 Months Ended |
Mar. 31, 2022 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivatives and Hedging Activities | Note 8 – Derivatives and Hedging Activities The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk, primarily by managing the amount, sources, and duration of its debt funding and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the payment of future uncertain cash amounts, the value of which are determined by interest rates. The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges is recorded in accumulated other comprehensive income (loss) and is subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. At March 31, 2022, such derivatives were used to hedge the variable cash flows associated with advances from the Federal Home Loan Bank of Pittsburgh. Amounts reported in accumulated other comprehensive income (loss) related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. During the next twelve months, the Company estimates approximately $10,000 to be reclassified to earnings as a decrease to interest expense. The Company is hedging its exposure to the variability in future cash flows for forecasted transactions over a maximum period of twenty months (excluding forecasted transactions related to the payment of variable interest on existing financial instruments). The Company executes interest rate swaps with commercial banking customers to facilitate their respective risk management strategies. Those interest rate swaps are simultaneously hedged by offsetting interest rate swaps that the Company executes with a third party, such that the Company minimizes its net risk exposure resulting from such transactions. These derivatives are not designated as hedges and are not speculative. Rather, these derivatives result from a service the Company provides to certain customers. As the interest rate swaps associated with this program do not meet the hedge accounting requirements, changes in the fair value of both the customer swaps and the offsetting swaps are recognized directly in earnings. The tables below present the fair value of the Company’s derivative financial instruments as well as their classification on the Consolidated Statements of Financial Condition as of March 31, 2022 and September 30, 2021: ` March 31, 2022 Asset derivatives Liability derivatives Notional Amount Fair Value Statement of Financial Condition Location Notional Amount Fair Value Statement of Financial Condition Location (In thousands) Derivatives designated as a hedging instrument: Interest rate swap agreement $ 60,000 $ 2,224 Other assets $ — $ — Other liabilities Derivatives not designated as a hedging instrument: Interest rate swap agreement $ 44,535 $ 2,860 Other assets $ 44,535 $ 2,862 Other liabilities September 30, 2021 Asset derivatives Liability derivatives Notional Amount Fair Value Statement of Financial Condition Location Notional Amount Fair Value Statement of Financial Condition Location (In thousands) Derivatives designated as a hedging instrument: Interest rate swap agreement $ 40,000 $ 14 Other assets $ 30,000 $ 47 Other liabilities Derivatives not designated as a hedging instrument: Interest rate swap agreement $ 44,748 $ 4,671 Other assets $ 44,748 $ 4,673 Other liabilities For the period ended March 31, 2022, $20.0 million short-term fixed-rate advances was hedged for aperiod of 4 years with a rolling 90 day maturity. The tables below present the derivative assets and liabilities offsetting as of March 31, 2022 and September 30, 2021: Offsetting of Derivative Assets (In thousands) as of March 31, 2022 Gross Amounts Not Offset in the Statements of Financial Condition Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Assets presented in the Statement of Financial Condition Financial Instruments Cash Collateral Received Net Amount Derivatives $ 5,084 $ - $ 5,084 $ 1,975 $ - $ 3,109 Offsetting of Derivative Liabilities (In thousands) as of March 31, 2022 Gross Amounts Not Offset in the Statements of Financial Condition Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Liabilities presented in the Statement of Financial Condition Financial Instruments Cash Collateral Posted Net Amount Derivatives $ 2,862 $ - $ 2,862 $ 1,975 $ - $ 887 Offsetting of Derivative Assets (In thousands) as of September 30, 2021 Gross Amounts Not Offset in the Statements of Financial Condition Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Assets presented in the Statement of Financial Condition Financial Instruments Cash Collateral Received Net Amount Derivatives $ 4,685 $ - $ 4,685 $ - $ - $ 4,685 Offsetting of Derivative Liabilities (In thousands) as of September 30, 2021 Gross Amounts Not Offset in the Statements of Financial Condition Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Liabilities presented in the Statement of Financial Condition Financial Instruments Cash Collateral Posted Net Amount Derivatives $ 4,720 $ - $ 4,720 $ 221 $ 8,257 $ (3,758 ) The tables below present the net gains (losses) recorded in accumulated other comprehensive income (loss) and the Consolidated Statements of Operations relating to the cash flow derivative instruments for the three and six months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 Amount of Gain Recognized in OCI on Derivative Amount of Loss Reclassified from OCI to Interest Expense (In thousands) Interest rate swap agreements $ 1,748 $ (26 ) Total derivatives 1,748 (26 ) Six Months Ended March 31, 2022 Amount of Gain Recognized in OCI on Derivative Amount of Loss Reclassified from OCI to Interest Expense (In thousands) Interest rate swap agreements $ 2,142 $ (111 ) Total derivatives 2,142 (111 ) Three Months Ended March 31, 2021 Amount of Gain Recognized in OCI on Derivative Amount of Loss Reclassified from OCI to Interest Expense (In thousands) Interest rate swap agreements $ 322 $ (243 ) Total derivatives 322 (243 ) Six Months Ended March 31, 2021 Amount of Gain Recognized in OCI on Derivative Amount of Loss Reclassified from OCI to Interest Expense (In thousands) Interest rate swap agreements $ 314 $ (523 ) Total derivatives 314 (523 ) The tables below present the effect of the Company’s derivative financial instruments on the Consolidated Statements of Operations for the three and six months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 Consolidated Statements of Operations Amount of Gain Recognized in Income on derivatives (In thousands) Derivatives not designated as a hedging instrument: Interest rate swap agreement Other income $ 1 Total $ 1 Six Months Ended March 31, 2022 Consolidated Statements of Operations Amount of Gain Recognized in Income on derivatives (In thousands) Derivatives not designated as a hedging instrument: Interest rate swap agreement Other income $ 2 Total $ 2 Three Months Ended March 31, 2021 Consolidated Statements of Operations Amount of Loss Recognized in Income on derivatives (In thousands) Derivatives not designated as a hedging instrument: Interest rate swap agreement Other income $ 2 Total $ 2 Six Months Ended March 31, 2021 Consolidated Statements of Operations Amount of Loss Recognized in Income on derivatives (In thousands) Derivatives not designated as a hedging instrument: Interest rate swap agreement Other income $ 3 Total $ 3 The Company has agreements with each of its derivative counterparties that contain a provision providing that if the Company defaults on any of its indebtedness, including defaults where repayment of the indebtedness has not been accelerated by the lender, then the Company could also be declared in default on its derivative obligations. At March 31, 2022 and September 30, 2021, the fair value of derivatives was in a net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements. There were no adjustments for nonperformance risk at March 31, 2022 and September 30, 2021. zero |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 9 - Fair Value Measurements The Company follows FASB ASC Topic 820 Fair Value Measurement The Company groups its assets at fair value in three levels, based on the markets in which the assets are traded and the reliability of the assumptions used to determine fair value. These levels are: Level 1— valuation is based upon quoted prices for identical instruments traded in active markets. Level 2—valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market. Level 3—valuation is generated from model-based techniques that use significant assumptions not observable in the market. These unobservable assumptions reflect the Company’s own estimates of assumptions that market participants would use in pricing the asset. The Company bases its fair values on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. It is the Company’s policy to maximize the use of observable inputs and minimize the use of unobservable inputs when developing fair value measurements, in accordance with the fair value hierarchy. Fair value measurements for assets where there exists limited or no observable market data and, therefore, are based primarily upon the Company’s or other third-party’s estimates, are often calculated based on the characteristics of the asset, the economic and competitive environment, and other factors. Therefore, the results cannot be determined with precision and may not be realized in an actual sale or immediate settlement of the asset. Additionally, there may be inherent weaknesses in any calculation technique, and changes in the underlying assumptions used, including discount rates and estimates of future cash flows, could significantly affect the results of current or future valuations. The Company monitors and evaluates available data to perform fair value measurements on an ongoing basis and recognizes transfers among the levels of the fair value hierarchy as of the date event or a change in circumstances that affects the valuation method chosen. There were no changes in valuation technique or transfers between levels at March 31, 2022 or September 30, 2021. The tables below present the balances of assets measured at fair value on a recurring basis as of March 31, 2022 and September 30, 2021: March 31, 2022 Total Level 1 Level 2 Level 3 (In thousands) Assets: Investment securities available for sale: Debt securities: U.S. government agencies 4,442 $ - $ 4,442 $ - State and municipal obligations 9,951 - 9,951 - Single issuer trust preferred security 922 - 922 - Corporate debt securities 34,950 - 34,950 - Mortgage backed securities 2,439 - 2,439 - U.S. treasury note 1,479 - 1,479 - Total investment Securities available -for-sale 54,183 - 54,183 - Equity Securities: Mutual Funds 1,445 945 - 500 Total equity investment securities 1,445 945 - 500 Total investment securities available for sale $ 55,628 $ 945 $ 54,183 $ 500 Assets: Derivative instruments $ 5,804 $ - $ 5,804 $ - Liabilities: Derivative instruments $ 2,862 $ - $ 2,862 $ - September 30, 2021 Total Level 1 Level 2 Level 3 (In thousands) Assets: Investment securities available for sale: Debt securities: U.S. government agencies $ 4,993 $ - $ 4,993 $ - State and municipal obligations 2,765 - 2,765 - Single issuer trust preferred security 875 - 875 - Corporate debt securities 32,180 - 32,180 - Total investment Securities available -for-sale 40,813 - 40,813 - Equity Securities: Mutual Funds 1,500 1,000 - 500 Total equity investment securities 1,500 1,000 - 500 Total investment securities available for sale $ 42,313 $ 1,000 $ 40,813 $ 500 Assets: Derivative instruments $ 4,685 $ - $ 4,685 $ - Liabilities: Derivative instruments $ 4,720 $ - $ 4,720 $ - The following tables present additional information about the equity securities measured at fair value on a recurring basis and for which the Company utilized significant unobservable inputs (Level 3 inputs) to determine fair value for the six months ended March 31, 2022 and March 31, 2021 Fair value measurements using significant unobservable inputs (Level 3) (In thousands) Balance, October 1, 2021 $ 500 Payments received - Total gains or losses (realized/unrealized) Included in earnings - Included in other comprehensive income - Purchases - Transfers in and/or out of Level 3 - Balance, March 31, 2022 $ 500 Fair value measurements using significant unobservable inputs (Level 3) (In thousands) Balance, October 1, 2020 $ 500 Payments received - Total gains or losses (realized/unrealized) Included in earnings - Included in other comprehensive income - Purchases - Transfers in and/or out of Level 3 - Balance, March 31, 2021 $ 500 All of the Company’s available for sale investment securities are reported at fair value utilizing Level 2 inputs. For these securities, the Company obtains fair value measurements from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the securities’ terms and conditions, among other things. From time to time, the Company validates prices supplied by the independent pricing service by comparison to prices obtained from third-party sources or derived using internal models. For assets measured at fair value on a nonrecurring basis that were still held at the end of the period, the following tables provide the level of valuation assumptions used to determine each adjustment and the carrying value of the related individual assets or portfolios at March 31, 2022 and September 30, 2021: March 31, 2022 Total Level 1 Level 2 Level 3 (In thousands) Other real estate owned $ 4,961 $ - $ - $ 4,961 Impaired loans (1) 16,819 - - 16,819 Total $ 21,780 $ - $ - $ 21,780 March 31, 2022 Fair Value at March 31, 2022 Valuation Technique Unobservable Input Range/(Weighted Average) (Dollars in thousands) Other real estate owned $ 4,961 Appraisal of Collateral(2) Collateral discount(3) 4%/(4%) Impaired loans ( 1) 16,819 Appraisal of Collateral(2) Collateral discount(3) 12%/(12%) Total $ 21,780 (1) Consisted of three loans with an aggregate balance of $16.5 million and with $243,000 in specific loan loss allowance. (2) Fair value is generally determined through independent appraisals of the underlying collateral primarily using comparable sales. (3) Appraisals may be adjusted by management for qualitative factors such as time, changes in economic conditions and estimated liquidation expense. September 30, 2021 Total Level 1 Level 2 Level 3 (In thousands) Other real estate owned $ 4,961 $ - $ - $ 4,961 Impaired loans (1) 33,876 18,900 - 14,976 Total $ 38,837 $ 18,900 $ - $ 19,937 September 30, 2021 Fair Value at September 30, 2021 Valuation Technique Unobservable Input Range/(Weighted Average) (Dollars in thousands) Other real estate owned $ 4,961 Appraisal of Collateral(2) Collateral discount(3) 6.4%/(6.4%) Impaired loans (1) 33,876 Appraisal of Collateral(2) Collateral discount(3) (4.0%)-(12.0%)/(8%) Total $ 38,837 (1) Consisted of eight loans with an aggregate balance of $35.4 million and with $1.5 million in specific loan loss allowance. (2) Fair value is generally determined through independent appraisals of the underlying collateral primarily using comparable sales. (3) Appraisals may be adjusted by management for qualitative factors such as time, changes in economic conditions and estimated liquidation expense. At March 31, 2022 and September 30, 2021, the Company did not have any additions to our mortgage servicing assets. At March 31, 2022 and September 30, 2021, the Company only sold loans with servicing released. The following disclosure of the estimated fair value of financial instruments is made in accordance with the requirements of FASB ASC 825. The estimated fair value amounts have been determined by the Company using available market information and appropriate valuation methods. However, considerable judgment is necessarily required to interpret market data to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company would realize in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. FASB ASC 825 excludes certain financial instruments and all non-financial instruments from its disclosure requirements. Accordingly, the aggregate fair value amounts presented may not necessarily represent the underlying fair value of the Company. The fair value estimates presented herein are based on pertinent information available to management as of March 31, 2022 and September 30, 2021. Although management is not aware of any factors that would significantly affect the estimated fair value amounts, such amounts have not been comprehensively revalued for purposes of these financial statements since March 31, 2022 and, therefore, current estimates of fair value may differ significantly from the amounts presented herein. The following assumptions were used to estimate the fair value of the Company’s financial instruments: Cash and Cash Equivalents —These assets are carried at historical cost. The carrying amount is a reasonable estimate of fair value because of the relatively short time between the origination of the instrument and its expected realization. Investment Securities —Investment and mortgage-backed securities available for sale, and mutual funds(carried at fair value), are measured at fair value on a recurring basis. Fair value measurements for these securities are typically obtained from independent pricing services that the Company has engaged for this purpose. When available, the Company, or its independent pricing service, use quoted market prices to measure fair value. If market prices are not available, fair value measurement is based upon models that incorporate available trade, bid and other market information and for structured securities, cash flow and, when available, loan performance data. Because many fixed income securities do not trade on a daily basis, our independent pricing service’s applications apply available information through processes such as benchmark curves, benchmarking of like securities, sector groupings and matrix pricing to prepare evaluations. For each asset class, pricing applications and models are based on information from market sources and integrate relevant credit information. All of our securities available for sale are valued using either of the foregoing methodologies to determine fair value adjustments recorded to our financial statements. Loans Receivable —The Company does not record loans at fair value on a recurring basis. As such, valuation techniques discussed herein for loans are primarily for estimating fair value for FASB ASC 825 disclosure purposes. However, from time to time, we record nonrecurring fair value adjustments to loans to reflect partial write-downs for impairment or the full charge-off of the loan carrying value. The valuation of impaired loans is discussed below. The fair value estimate for FASB ASC 825 purposes differentiates loans based on their financial characteristics, such as product classification, loan category, pricing features and remaining maturity. Prepayment and credit loss estimates are evaluated by loan type and rate. The fair value of loans is estimated by discounting contractual cash flows using discount rates based on current industry pricing, adjusted for prepayment and credit loss estimates. Impaired Loans —Impaired loans are valued utilizing independent appraisals that rely upon quoted market prices for similar assets in active markets. These appraisals include adjustments to comparable assets based on the appraisers’ market knowledge and experience. The appraisals are adjusted downward by management, as necessary, for changes in relevant valuation factors subsequent to the appraisal date and are considered Level 3 inputs. At September 30, 2021, four of the Company’s real estate loans totaling $33.2 million classified as held-for-sale were deemed impaired. Three of the commercial real estate loans totaling $19.6 million were fair valued at level 1 input as based off of a subsequent sale, and the other commercial real estate loan totaling $13.6 million was fair valued at level 3 is based off an appraisal. Accrued Interest Receivable —This asset is carried at historical cost. The carrying amount is a reasonable estimate of fair value because of the relatively short time between the origination of the instrument and its expected realization. Restricted Stock —Although restricted stock is an equity interest in the Federal Reserve Bank, FHLB and ACBB, it is carried at cost because it does not have a readily determinable fair value as its ownership is restricted and it lacks a market. The estimated fair value approximates the carrying amount. Other Real Estate Owned —Assets acquired through foreclosure or deed in lieu of foreclosure are recorded at estimated fair value less estimated selling costs when acquired, thus establishing a new cost basis. Fair value is generally based on independent appraisals. These appraisals include adjustments to comparable assets based on the appraisers’ market knowledge and experience, and are considered Level 3 inputs. When an asset is acquired, the excess of the loan balance over fair value, less estimated selling costs, is charged to the ALLL. If the estimated fair value of the asset declines, a write-down is recorded through expense. The valuation of foreclosed assets is subjective in nature and may be adjusted in the future because of, among other factors, changes in the economic conditions. Deposits —Deposit liabilities are carried at cost. As such, valuation techniques discussed herein for deposits are primarily for estimating fair value for FASB ASC 825 disclosure purposes. The fair value of deposits is discounted based on rates available for time deposits of similar maturities. Fair value approximates book value for saving accounts, checking and negotiable order of withdrawal accounts (“NOW accounts”), and money market accounts. Borrowings — Advances from the FHLB are carried at amortized cost. However, the Company is required to estimate the fair value of long-term debt under FASB ASC 825. The fair value is based on the contractual cash flows discounted using rates currently offered for new notes with similar remaining maturities . Subordinated Debt —The calculation of fair value in Level 2 is based on observable market values where available. Derivatives —The fair value of derivatives are based on valuation models using observable market data as of the measurement date (Level 2). The Company’s derivatives are traded in an over-the-counter market where quoted market prices are not always available. Therefore, the fair values of derivatives are determined using quantitative models that utilize multiple market inputs. The inputs will vary based on the type of derivative, but could include interest rates, prices, and indices to generate continuous yield or pricing curves, prepayment rate, and volatility factors to value the position. The majority of market inputs is actively quoted and can be validated through external sources, including brokers, market transactions and third-party pricing services. Accrued Interest Payable —This liability is carried at historical cost. The carrying amount is a reasonable estimate of fair value because of the relatively short time between the origination of the instrument and its expected realization. Commitments to Extend Credit and Letters of Credit — The majority of the Company’s commitments to extend credit and letters of credit carry current market interest rates if converted to loans and are not included in the table below. Because commitments to extend credit and letters of credit are generally unassignable by either the Bank or the borrower, they only have value to the Company and the borrower. The estimated fair value approximates the recorded deferred fee amounts, which are not significant. Mortgage Servicing Rights —The fair value of mortgage servicing rights is based on observable market prices when available or the present value of expected future cash flows when not available. Assumptions, such as loan default rates, costs to service, and prepayment speeds significantly affect the estimate of future cash flows. The carrying amount and estimated fair value of the Company’s financial instruments as of March 31, 2022 and September 30, 2021 are presented below: March 31, 2022 Carrying Amount Fair Value Level 1 Level 2 Level 3 (In thousands) Financial assets: Cash and cash equivalents $ 122,023 $ 122,023 $ 122,023 $ - $ - Investment securities available-for-sale 54,183 54,183 - 54,183 - Investment securities held-to-maturity 48,512 45,716 - 45,716 - Equity investment securities 1,445 1,445 945 - 500 Loans held for sale 13,244 13,244 - - 13,244 Loans receivable, net (including impaired loans) 799,310 785,164 - - 785,164 Accrued interest receivable 3,478 3,478 - 3,478 - Restricted stock 6,462 6,462 - 6,462 - Mortgage servicing rights (included in Other Assets) 96 103 - 103 - Derivatives (included in Other Assets) 5,084 5,084 - 5,084 - Financial liabilities: Savings accounts 54,074 54,074 - 54,074 - Checking and NOW accounts 357,180 357,180 - 357,180 - Money market accounts 328,324 328,324 - 328,324 - Certificates of deposit 114,859 116,240 - 116,240 - Borrowings (excluding sub debt) 60,000 60,066 - 60,066 - Subordinated debt 25,000 25,043 - 25,027 - Derivatives (included in Other Liabilities) 2,862 2,862 - 2,862 - Accrued interest payable 352 352 - 352 - September 30, 2021 Carrying Amount Fair Value Level 1 Level 2 Level 3 (In thousands) Financial assets: Cash and cash equivalents $ 136,590 $ 136,590 $ 136,590 $ - $ - Investment securities available-for-sale 40,813 40,813 - 40,813 - Investment securities held-to-maturity 28,507 28,913 - 28,913 - Equity investment securities 1,500 1,500 1,000 - 500 Loans receivable, net (including impaired loans) 902,981 900,357 - - 900,357 Loans held for sale 33,199 33,199 19,583 13,616 Accrued interest receivable 3,512 3,512 - 3,512 - Restricted stock 7,776 7,776 - 7,776 - Mortgage servicing rights (included in Other Assets) 83 83 - 83 - Derivatives (included in Other Assets) 4,685 4,685 - 4,685 - Financial liabilities: Savings accounts 50,582 50,582 - 50,582 - Checking and NOW accounts 390,494 390,494 - 390,494 - Money market accounts 385,480 385,480 - 385,480 - Certificates of deposit 111,603 113,323 - 113,323 - Borrowings (excluding sub debt) 90,000 90,215 - 90,215 - Subordinated debt 24,934 25,027 - 25,027 - Derivatives (included in Other Liabilities) 4,720 4,720 - 4,720 - Accrued interest payable 572 572 - 572 - |
Comprehensive Income
Comprehensive Income | 6 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Comprehensive Income | Note 10 – Comprehensive Income Other comprehensive (loss) income and related tax effects are presented in the following table: Three Months Ended March 31, Six Months Ended March 31, 2022 2021 2022 2021 (In thousands) Net unrealized holding (losses) gains on available-for-sale securities $ (2,588 ) $ 7 $ (2,737 ) $ 464 Reclassification adjustment for net gains arising during the period (1) - (259 ) - (614 ) Amortization of unrealized holding losses on securities transferred from available-for-sale to held-to-maturity (2) 2 1 4 2 Adjustment for loss recorded on replacement of derivative - (2 ) - (4 ) Fair value adjustments on derivatives 1,773 567 2,252 840 Other comprehensive (loss) income before taxes (813 ) 314 (481 ) 688 Tax effect 169 (65 ) 98 (144 ) Total other comprehensive (loss) income $ (644 ) $ 249 $ (383 ) $ 544 (1) Amounts are included in net gains on sale and call of investments on the Consolidated Statements of Operations in total other income. (2) Amounts are included in interest and dividends on investment securities on the Consolidated Statements of Operations. |
Equity Based Incentive Compensa
Equity Based Incentive Compensation Plan | 6 Months Ended |
Mar. 31, 2022 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Equity Based Incentive Compensation Plan | Note 11 – Equity Based Incentive Compensation Plan The Company maintains the Malvern Bancorp, Inc. 2014 Long-Term Incentive Compensation Plan (the “2014 Plan”), which permits the grant of long-term incentive and other stock and cash awards. The purpose of the 2014 Plan is to promote the success of the Company and the Bank by providing incentives to officers, employees and directors of the Company and the Bank that will link their personal interests to the financial success of the Company and to growth in shareholder value. The maximum total number of shares of the Company’s common stock available for grants under the 2014 Plan is 400,000. As of March 31, 2022, there were $294,157 remaining shares available for future grants. Restricted stock and option awards granted typically vest annually in 20% increments beginning on the one-year All awards are issued at fair value of the underlying shares at the grant date. The Company expenses the cost of the awards, which is determined to be the fair market value of the awards at the date of grant. The Company did not grant any stock options during the three and six months ended March 31, 2022 or the three and six months ended March 31, 2021. During the three and six months ended March 31, 2022, 2,000 stock options were forfeited. During the three and six months ended March 31, 2021 no stock options were forfeited and no stock options expired. Total compensation expense related to stock options granted under the 2014 Plan was approximately $9,000 and $18,000 for the three and six months ended March 31, 2022 and $8,000 and $16,000 for the six months ended March 31, 2021 . The Company awarded 5,131shares of restricted stock during the three and six months ended March 31, 2022 and no shares of restricted stock during the three and six months ended March 31, 2021. There were 2,336 shares of restricted stock forfeited during the three and six months ended March 31, 2022 and there were no shares forefeited during the three and six months ended March 31, 2021. The compensation expense related to restricted stock awards was approximately $68,000 and $111,000 for the three and six months ended March 31, 2022, and $42,000 and $86,000 for the three and six months ended March 31, 2021. Stock-based compensation expense for the cost of the restricted stock awards granted is based on the grant-date fair value. For stock option awards, the fair value is estimated at the date of grant using the Black-Scholes option-pricing model. This model requires the input of highly subjective assumptions, changes to which can materially affect the fair value estimate. Additionally, there may be other factors that would otherwise have a significant effect on the value of employee stock options granted but are not considered by the model. Accordingly, while management believes that the Black-Scholes option-pricing model provides a reasonable estimate of fair value, the model does not necessarily provide the best single measure of fair value for the Company’s employee stock options. Stock Options Weighted Average Fair Value of Awards $ 6.06 Risk Free Rate 1.25 % Dividend Yield -% Volatility 29.72 % Expected Life 6.5 years The following is a summary of stock option activity for the six months ended March 31, 2022 Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (In Years) Aggregate Intrinsic Value Outstanding, beginning of year 32,830 $ 20.96 6.875 $ 1,940 Granted - $ - $ - Exercised - $ - $ - Forfeited/cancelled/expired 2,000 $ 19.49 $ - Outstanding, at March 31, 2022 30,830 $ 21.05 6.7918 $ 180 Exercisable, at March 31, 2022 17,680 $ 21.70 5.8660 $ 180 Nonvested, at March 31, 2022 13,150 $ 20.19 8.0365 As of March 31, 2022, there was approximately 65,000 of total unrecognized compensation cost related to unvested stock options under the 2014 Plan. The cost is expected to be recognized over a weighted average period of 2.97 years. The following is a summary of stock option activity for the six months ended March 31, 2021: Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (In Years) Aggregate Intrinsic Value Outstanding, beginning of year 25,830 $ 21.57 $ - Granted - $ - $ - Exercised - $ - $ - Forfeited/cancelled/expired - $ - $ - Outstanding, at March 31, 2021 25,830 $ 21.57 6.694 $ - Exercisable, at March 31, 2021 13,310 $ 21.53 7.988 $ - Nonvested, at March 31, 2021 12,520 $ 21.61 Restricted Stock Awards The table below summarizes the activity for the Company’s restricted stock outstanding during the six months ended March 31, 2022: Shares Weighted Average Fair Value Outstanding, beginning of year 31,486 $ 21.10 Granted 5,131 $ 15.50 Vested (6,711 ) $ 22.17 Forfeited/cancelled/expired (2,336 ) $ 20.54 Outstanding, at March 31, 2022 27,570 $ 19.82 Shares Weighted Average Fair Value Outstanding, beginning of year 30,653 $ 21.98 Granted - $ - Vested (7,978 ) $ 21.92 Forfeited/cancelled/expired - $ - Outstanding, at March 31, 2022 22,675 $ 22.00 As of March 31, 2022, there was approximately 436,000 of total unrecognized compensation cost related to unvested shares of restricted stock granted under the 2014 Plan. The cost is expected to be recognized over a weighted average period of 3.20 years. |
Deposits
Deposits | 6 Months Ended |
Mar. 31, 2022 | |
Deposits [Abstract] | |
Deposits | Note 12 – Deposits Deposits classified by type with percentages to total deposits at March 31, 2022 and September 30, 2021 consisted of the following: March 31, September 30, 2022 2021 (Dollars in thousands) Balances by types of deposit: Savings $ 54,074 6.33 % $ 50,582 5.39 % Money market accounts 328,324 38.43 385,480 41.09 Interest-bearing demand 302,468 35.40 336,645 35.88 Non-interest-bearing demand 54,712 6.40 53,849 5.74 739,578 86.56 % 826,556 88.10 % Certificates of deposit 114,859 13.44 % 111,603 11.90 % Total Deposits $ 854,437 100.00 % $ 938,159 100.00 % The total amount of certificates of deposit greater than or equal to $250,000 at March 31, 2022 and September 30, 2021 was $17.1 million and $16.5 million, respectively. The Company had brokered deposits totaling $9.0 million and $6.1 million at March 31, 2022 and September 30, 2021, respectively. Interest expense on deposits consisted of the following: Three Months Ended March 31 Six Months Ended March 31, 2022 2021 2022 2021 (In thousands) Savings accounts $ 12 $ 16 $ 24 $ 34 Money market accounts 219 676 497 1,467 Interest-bearing demand 323 478 780 1,026 Certificates of deposit 274 635 572 1,535 Total $ 828 $ 1,805 $ 1,873 $ 4,062 As of March 31, 2022, the scheduled maturities of certificates of deposits are as follows: Scheduled Maturities (In thousands) Period Ending December 31 2023 $ 59,415 2024 34,728 2025 8,365 2026 7,079 2027 4,122 Thereafter 1,150 Total $ 114,859 As of March 31, 2022, the scheduled maturities of certificates of deposits in amounts greater than $100,000 are as follows: Scheduled Maturities (In thousands) Three months or less $ 10,277 Over three through six months 8,090 Over six through twelve months 15,093 Over twelve months 31,085 Total $ 64,545 |
Subordinated Debt
Subordinated Debt | 6 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Subordinated Debt | Note 13 – Subordinated Debt On February 7, 2017, the Company issued $25.0 million in aggregate principal amount of its 6.125% fixed-to-floating rate subordinated notes (the “Notes”). From February 7, 2017 to February 15, 2022, the Notes had a fixed rate of 6.125%. During the period ended March 31, 2022, the note rate converted from fixed to a variable interest rate. The rate at march 31, 2022 was 5.10%. All costs related to 2017 issuance have been amortized. As of March 31, 2022, the Notes bear interest until the maturity date or early redemption date at a variable rat equal to the then current three-month LIBOR rate plus 414.5 basis points. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of Financial Statement Presentation | Basis of financial statement presentation. The unaudited condensed consolidated financial statements of the Company include the accounts of the Company and its subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. The accompanying unaudited condensed consolidated financial statements present the Company’s financial condition at March 31, 2022 and the results of operations for the three and six months ended March 31, 2022 and 2021, and cash flows for the six months ended March 31, 2022 and 2021. The consolidated statement of financial condition as of September 30, 2021 was derived from the audited consolidated statement of financial condition as of that date. In management’s opinion, the unaudited condensed consolidated financial statements contain all adjustments, which include normal and recurring adjustments, necessary for a fair presentation of the financial position and results of operations as of the dates and for the interim periods presented. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and note disclosures included in the 2021 Annual Report filed with the SEC. The consolidated statements of operations for the three and six months ended March 31, 2022 and the consolidated statements of cash flows for the six months ended March 31, 2022 are not necessarily indicative of the results of operations or cash flows for the full year ending September 30, 2022 or any interim period. |
Recent Accounting Pronouncements Yet to Be Adopted | Recent Accounting Pronouncements Yet to Be Adopted Credit Losses. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . This ASU requires an organization to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. Many of the loss estimation techniques applied currently will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. Organizations will continue to use judgment to determine which loss estimation method is appropriate for their circumstances. Additionally, this ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. In April 2019, the FASB issued ASU 2019-04, Codification Improvements , which provides guidance on accounting for credit losses on accrued interest receivable balances and guidance on including recoveries when estimating the allowance. In May 2019, the FASB issued ASU 2019-05, Targeted Transition Relief, which allows entities with an option to elect fair value for certain instruments upon adoption of Topic 326. This ASU will be effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted . The Bank has a software system in place to assist with the calculation of Current Expected Credit Losses (“CECL”). In November 2019, the FASB issued ASU No. 2019-10, Financial Instruments-Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) making this ASU effective for interim and annual periods beginning after December 15, 2022. As such, the Company would be required to implement the ASU on October 1, 2023. In November 2019, the FASB issued ASU No. 2019-11, Codification Improvements to Topic 326, Financial Instruments-Credit Losses, which provides guidance on stakeholders’ specific issues about certain aspects of the amendments in ASU 2016-13. The Company formed a cross functional implementation team to review the requirements of ASU 2016-13 and contracted with a third-party provider to assist in the development and implementation of the revised credit loss methodology. The impact on the consolidated earnings, financial position, and cash flows of the Company upon adoption of this ASU are currently unknown. The Company plans to adopt this guidance when required to on October 1, 2023. In March 2022, the FASB issued ASU 2022-02, Financial Instruments—Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures. These amendments eliminate the TDR recognition and measurement guidance and, instead, require that an entity evaluate (consistent with the accounting for other loan modifications) whether the modification represents a new loan or a continuation of an existing loan. The amendments also enhance existing disclosure requirements and introduce new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. For public business entities, these amendments require that an entity disclose current-period gross writeoffs by year of origination for financing receivables and net investment in leases within the scope of Subtopic 326-20. This ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company is currently evaluating the effects that the adoption of this amendment will have on its consolidated financial statements. Reference Rate Reform. In March 2020, the FASB issued Accounting Standards Update (“ASU”) No. 2020-04, Reference Rate Reform (Topic 848) . The guidance allows for companies to: (1) account for certain contract modifications as a continuation of the existing contract without additional analysis; (2) continue hedge accounting when certain critical terms of a hedging relationship change and assess effectiveness in ways that disregard certain potential sources of ineffectiveness; and (3) make a one-time sale and/or transfer of certain debt securities from held-to-maturity to available-for-sale or trading. This ASU is available for adoption by the Company and applies prospectively to contract modifications and hedging relationships. The one-time election to sell and/or transfer debt securities classified as held-to-maturity may be made at any time. ASU 2020-04 is effective March 12, 2020, through December 31, 2022. The Company has elected certain optional expedient related to hedge accounting and will continue to monitor and assess the impact as the reference rate transition occurs over the next two years and proactively adopt applicable expedient(s). In connection with ongoing procedures to monitor the work of the Alternative Rates Committee of the FRB and Federal Reserve Bank of New York in identifying an alternative U.S. dollar reference interest rate the bank will continue to assess the Secured Overnight Financing Rate (“SOFR”) as the currently identified benchmark rate. Income Taxes. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740). This ASU identifies, evaluates, and improves areas of GAAP for which cost and complexity can be reduced while maintaining or improving the usefulness of the information provided to users of financial statements. The ASU is effective for fiscal years beginning after December 15, 2020, with early adoption permitted. The Company plans to adopt ASU 2019-12 during the current fiscal year and does not expect it to have a material impact on its consolidated financial statements or disclosure. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of composition of weighted average shares (denominator) used in earnings per share computations | The following table sets forth the composition of the weighted average shares (denominator) used in the earnings per share computations: Three Months Ended March 31, Six Months Ended March 31, 2022 2021 2022 2021 (In thousands, except share and per share data) Net Income $ 522 $ 2,224 $ 2,539 $ 4,497 Weighted average shares outstanding 7,621,100 7,609,953 7,621,227 7,609,953 Average unearned ESOP shares (66,145 ) (80,545 ) (67,965 ) (82,365 ) Basic weighted average shares outstanding 7,554,955 7,529,408 7,553,262 7,527,588 Plus: effect of potential dilutive common stock equivalents - stock options 1,239 743 1,197 601 Diluted weighted average common shares outstanding 7,556,194 7,530,151 7,554,459 7,528,189 Earnings per common share: Basic $ 0.07 $ 0.30 $ 0.34 $ 0.60 Diluted $ 0.07 $ 0.30 $ 0.34 $ 0.60 |
Investment Securities (Tables)
Investment Securities (Tables) | 6 Months Ended |
Mar. 31, 2022 | |
Investments Debt And Equity Securities [Abstract] | |
Schedule of Investment securities | The following tables present information related to the Company’s investment securities at March 31, 2022 and September 30, 2021: March 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In thousands) Investment Securities Available-for-Sale: U.S. government agencies $ 5,000 $ - $ (558 ) $ 4,442 State and municipal obligations 10,886 - (935 ) 9,951 Single issuer trust preferred security 1,000 - (78 ) 922 Corporate debt securities 35,989 94 (1,133 ) 34,950 MBS Securities 2,505 - (66 ) 2,439 U.S. Treasury Note 1,483 - (4 ) 1,479 Total $ 56,863 $ 94 $ (2,774 ) $ 54,183 Investment Securities Held-to-Maturity: U.S. government agencies $ 23,500 $ - $ (1,659 ) $ 21,841 State and municipal obligations 13,764 12 (731 ) 13,045 Corporate debt securities 3,324 14 - 3,338 Mortgage-backed securities: Mortgage Backed Security ("MBS"), fixed-rate 2,358 - (203 ) 2,155 Collateralized mortgage obligations (“CMO”), fixed-rate 5,566 - (229 ) 5,337 Total $ 48,512 $ 26 $ (2,822 ) $ 45,716 Equity Securities: Mutual Funds $ 1,500 $ - $ (55 ) $ 1,445 Total equity securities $ 1,500 $ - $ (55 ) $ 1,445 Total investment securities $ 106,875 $ 120 $ (5,651 ) $ 101,344 September 30, 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In thousands) Investment Securities Available-for-Sale: U.S. government agencies $ 5,000 $ - $ (7 ) $ 4,993 State and municipal obligations 2,767 1 (3 ) 2,765 Single issuer trust preferred security 1,000 - (125 ) 875 Corporate debt securities 31,989 243 (52 ) 32,180 Total $ 40,756 $ 244 $ (187 ) $ 40,813 Investment Securities Held-to-Maturity: U.S. government agencies $ 10,000 $ 11 $ - $ 10,011 State and municipal obligations $ 6,062 $ 104 $ (49 ) $ 6,117 Corporate debt securities 3,383 224 - 3,607 Mortgage-backed securities: Mortgage-backed securities: 2,461 - (13 ) 2,448 Collateralized mortgage obligations (“CMO”), fixed-rate 6,601 129 - 6,730 Total $ 28,507 $ 468 $ (62 ) $ 28,913 Equity Securities: Mutual Funds $ 1,500 $ - $ - # $ 1,500 Total equity securities $ 1,500 $ - $ - $ 1,500 Total investment securities $ 70,763 $ 712 $ (249 ) $ 71,226 |
Schedule of aggregate investments in an unrealized loss position | The following tables indicate gross unrealized losses not recognized in income and fair value, aggregated by investment category, and the length of time individual securities have been in a continuous unrealized loss position at March 31, 2022 and September 30, 2021: March 31, 2022 Less than 12 Months More than 12 Months Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (In thousands) Investment Securities Available for Sale: U.S. government agencies $ 4,442 $ (558 ) $ - $ - $ 4,442 $ (558 ) State and municipal obligations 9,951 (935 ) - - 9,951 (935 ) Single issuer trust preferred security - - 922 (78 ) 922 (78 ) Corporate debt securities 28,408 (1,092 ) 1,459 (41 ) 29,867 (1,133 ) MBS Securities 2,438 (66 ) - - 2,438 (66 ) U.S. Treasury Note 1,479 (4 ) - - 1,479 (4 ) Total $ 46,718 $ (2,655 ) $ 2,381 $ (119 ) $ 49,099 $ (2,774 ) September 30, 2021 Less than 12 Months More than 12 Months Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (In thousands) Investment Securities Available for Sale: U.S. government agencies $ 4,993 $ (7 ) $ - $ - $ 4,993 $ (7 ) State and municipal obligations 1,819 (3 ) - - 1,819 (3 ) Single issuer trust preferred security - - 875 (125 ) 875 (125 ) Corporate debt securities 8,475 (25 ) 2,973 (27 ) 11,448 (52 ) Total investment securities $ 15,287 $ (35 ) $ 3,848 $ (152 ) $ 19,135 $ (187 ) |
Schedule of amortized cost and fair value of debt securities by contractual maturity | The following table presents information for investment securities at March 31, 2022, based on scheduled maturities. Actual maturities can be expected to differ from scheduled maturities due to prepayment or early call options of the issuer. March 31, 2022 Amortized Cost Fair Value (In thousands) Available-for-Sale: Within 1 year $ - $ - Over 1 year through five years 4,984 4,915 After 5 years through ten years 31,989 30,969 Over 10 years 19,890 18,299 Total $ 56,863 $ 54,183 Held-to-Maturity: Within 1 year $ 254 $ 254 Over 1 year through five years 10,036 10,062 After 5 years through ten years 3,122 2,929 Over 10 years 27,176 24,979 Mortgage-backed securities: Mortgage Backed Security ("MBS"), fixed-rate 2,358 2,155 Collateralized mortgage obligations (“CMO”), fixed-rate 5,566 5,337 Total $ 48,512 $ 45,716 Equity Securities: Within 1 year $ 500 $ 500 After 5 years through ten years 1,000 945 $ 1,500 $ 1,445 Total investment securities $ 106,875 $ 101,344 |
Loans Receivable and Related _2
Loans Receivable and Related Allowance for Loan Losses (Tables) | 6 Months Ended |
Mar. 31, 2022 | |
Receivables [Abstract] | |
Schedule of loans receivable | Loans receivable in the Company’s portfolio consisted of the following at the dates indicated below: March 31, 2022 September 30, 2021 (In thousands) Residential mortgage $ 177,669 $ 198,710 Construction and Development: Residential and commercial 25,558 61,492 Land 4,603 2,204 Total Construction and Development 30,161 63,696 Commercial: Commercial real estate 400,974 426,915 Farmland 15,624 10,297 Multi-family 54,789 66,332 Commercial and industrial 101,354 115,246 Other 7,977 10,954 Total Commercial 580,718 629,744 Consumer: Home equity lines of credit 12,283 13,491 Second mortgages 4,969 5,884 Other 2,237 2,299 Total Consumer 19,489 21,674 Total loans 808,037 913,824 Deferred loan costs, net 574 629 Allowance for loan losses (9,301 ) (11,472 ) Total loans receivable, net $ 799,310 $ 902,981 |
Schedule of allowance for loan losses | The following tables summarize the primary classes of the allowance for loan losses (“ALLL”), segregated into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment, as of March 31, 2022 and September 30, 2021. Activity in the ALLL is presented for the three and six months ended March 31, 2022 and 2021 and the fiscal year ended September 30, 2021: Construction and Development Commercial Consumer Residential Mortgage Residential and Commercial Land Commercial Real Estate Farmland Multi- Family Commercial and Industrial Other Home Equity Lines of Credit Second Mortgages Other Unallocated Total Allowance for loan losses: (In thousands) Three Months Ended March 31,2022 Beginning balance $ 935 $ 428 $ 15 $ 7,118 $ 56 $ 450 $ 791 $ 54 $ 76 $ 6 $ 20 $ 88 $ 10,037 Charge-offs - - - - - - (764 ) - - (21 ) - - (785 ) Recoveries - - - 1 - - 1 - - 47 - - 49 Provisions (121 ) (276 ) 12 (914 ) 218 (123 ) 1,169 (54 ) 2 69 (3 ) 21 - Ending balance $ 814 $ 152 $ 27 $ 6,205 $ 274 $ 327 $ 1,197 $ - $ 78 $ 101 $ 17 $ 109 $ 9,301 Construction and Development Commercial Consumer Residential Mortgage Residential and Commercial Land Commercial Real Estate Farmland Multi- Family Commercial and Industrial Other Home Equity Lines of Credit Second Mortgages Other Unallocated Total Allowance for loan losses: (In thousands) Three Months Ended March 31,2021 Beginning balance $ 1,603 $ 508 $ 24 $ 7,973 $ 352 $ 508 $ 600 $ 50 $ 125 $ 179 $ 25 $ 1,088 $ 13,035 Charge-offs - - - (484 ) - - - - - - - - (484 ) Recoveries - - - - - - - - 1 48 1 - 50 Provisions (175 ) 24 - 888 (317 ) (2 ) (43 ) (1 ) (7 ) (113 ) (1 ) (253 ) - Ending balance $ 1,428 $ 532 $ 24 $ 8,377 $ 35 $ 506 $ 557 $ 49 $ 119 $ 114 $ 25 $ 835 $ 12,601 Construction and Development Commercial Consumer Residential Mortgage Residential and Commercial Land Commercial Real Estate Farmland Multi- Family Commercial and Industrial Other Home Equity Lines of Credit Second Mortgages Other Unallocated Total Allowance for loan losses: (In thousands) Six Months Ended March 31, 2022 Beginning balance $ 934 $ 428 $ 15 $ 7,043 $ 56 $ 450 $ 2,221 $ 54 $ 76 $ 87 $ 20 $ 88 $ 11,472 Charge-offs - - - - - - (2,194 ) - - (105 ) - - (2,299 ) Recoveries 1 - - 76 - - 1 - - 50 - - 128 Provisions (121 ) (276 ) 12 (914 ) 218 (123 ) 1,169 (54 ) 2 69 (3 ) 21 - Ending balance $ 814 $ 152 $ 27 $ 6,205 $ 274 $ 327 $ 1,197 $ - $ 78 $ 101 $ 17 $ 109 $ 9,301 Ending balance: individually evaluated for impairment $ 58 $ - $ - $ - $ 180 $ - $ 5 $ - $ - $ - $ - $ - $ 243 Ending balance: collectively evaluated for impairment $ 756 $ 152 $ 27 $ 6,205 $ 94 $ 327 $ 1,192 $ - $ 78 $ 101 $ 17 $ 109 $ 9,058 Loans receivable: Ending balance $ 177,669 $ 25,558 $ 4,603 $ 400,974 $ 15,624 $ 54,789 $ 101,354 $ 7,977 $ 12,283 $ 4,969 $ 2,237 $ 808,037 Ending balance: individually evaluated for impairment $ 482 $ - $ - $ - $ 2,232 $ - $ 625 $ - $ - $ - $ - $ 3,339 Ending balance: collectively evaluated for impairment $ 177,187 $ 25,558 $ 4,603 $ 400,974 $ 13,392 $ 54,789 $ 100,729 $ 7,977 $ 12,283 $ 4,969 $ 2,237 $ 804,698 Construction and Development Commercial Consumer Residential Mortgage Residential and Commercial Land Commercial Real Estate Farmland Multi- Family Commercial and Industrial Other Home Equity Lines of Credit Second Mortgages Other Unallocated Total Allowance for loan losses: (In thousands) Six Months Ended March 31,2021 Beginning balance $ 1,667 $ 465 $ 23 $ 8,682 $ 47 $ 511 $ 578 $ 51 $ 130 $ 196 $ 29 $ 54 $ 12,433 Charge-offs - - - (484 ) - - - - - - (1 ) - (485 ) Recoveries 1 - - 1 - - 1 - 1 98 1 - 103 Provisions (240 ) 67 1 178 (12 ) (5 ) (22 ) (2 ) (12 ) (180 ) (4 ) 781 550 Ending balance $ 1,428 $ 532 $ 24 $ 8,377 $ 35 $ 506 $ 557 $ 49 $ 119 $ 114 $ 25 $ 835 $ 12,601 Ending balance: individually evaluated for impairment $ - $ - $ - $ 1,476 $ - $ - $ - $ - $ - $ 38 $ - $ - $ 1,514 Ending balance: collectively evaluated for impairment $ 1,428 $ 532 $ 24 $ 6,901 $ 35 $ 506 $ 557 $ 49 $ 119 $ 76 $ 25 $ 835 $ 11,087 Loans receivable: Ending balance $ 218,165 $ 76,257 $ 3,596 $ 482,611 $ 7,344 $ 67,122 $ 94,706 $ 9,927 $ 15,936 $ 8,114 $ 2,650 $ 986,428 Ending balance: individually evaluated for impairment $ 3,671 $ - $ - $ 38,838 $ 2,266 $ - # $ 549 $ - $ 24 $ 352 $ - $ 45,700 Ending balance: collectively evaluated for impairment $ 214,494 $ 76,257 $ 3,596 $ 443,773 $ 5,078 $ 67,122 $ 94,157 $ 9,927 $ 15,912 $ 7,762 $ 2,650 $ 940,728 Construction and Development Commercial Consumer Residential Mortgage Residential and Commercial Land Commercial Real Estate Farmland Multi- Family Commercial and Industrial Other Home Equity Lines of Credit Second Mortgages Other Unallocated Total Allowance for loan losses: (In thousands) Year Ended September 30, 2021 Beginning balance $ 1,667 $ 465 $ 23 $ 8,682 $ 47 $ 511 $ 578 $ 51 $ 130 $ 196 $ 29 $ 54 $ 12,433 Charge-offs - - - (11,930 ) - - (379 ) - - - (4 ) - (12,313 ) Recoveries 41 4 - 1 - - 2 - 17 108 2 - 176 Provisions (774 ) (41 ) (8 ) 10,290 9 (61 ) 2,020 3 (71 ) (217 ) (7 ) 34 11,176 Ending balance $ 934 $ 428 $ 15 $ 7,043 $ 56 $ 450 $ 2,221 $ 54 $ 76 $ 87 $ 20 $ 88 $ 11,472 Ending balance: individually evaluated for impairment $ - $ - $ - $ 18 $ - $ - $ 1,488 $ - $ - $ 38 $ - $ - $ 1,544 Ending balance: collectively evaluated for impairment $ 934 $ 428 $ 15 $ 7,025 $ 56 $ 450 $ 733 $ 54 $ 76 $ 49 $ 20 $ 88 $ 9,928 Loans receivable: Ending balance $ 198,710 $ 61,492 $ 2,204 $ 426,915 $ 10,297 $ 66,332 $ 115,246 $ 10,954 $ 13,491 $ 5,884 $ 2,299 $ 913,824 Ending balance: individually evaluated for impairment $ - $ - $ - $ 286 $ - $ - $ 2,517 $ - $ - $ 102 $ - $ 2,905 Ending balance: collectively evaluated for impairment $ 198,710 $ 61,492 $ 2,204 $ 426,629 $ 10,297 $ 66,332 $ 112,729 $ 10,954 $ 13,491 $ 5,782 $ 2,299 $ 910,919 |
Schedule of impaired loans | Impaired loans with no specific allowance decreased by $22.9 million from $39.7 million at September 30, 2021 to $16.9 million at March 31, 2022, due primarily to three commercial real estate loans totaling $18.9 million being sold during the six months period, as part of the note sale, previously announced, $2.2 million partial charge down of one commercial and industrial loan and a $1.7 million valuation allowance recorded on loans held for sale. The valuation allowance adjustment consists of approximately $395,000 in reduced value and approximately $1.3 million in real estate tax expense. Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Recorded Investment Related Allowance Recorded Investment Recorded Investment Unpaid Principal Balance (In thousands) March 31, 2022 Residential mortgage $ 482 $ 58 $ 2,394 $ 2,876 $ 2,876 Commercial: Commercial real estate - - 13,840 13,840 13,840 Farmland 2,232 180 - 2,232 2,232 Commercial and industrial 625 5 356 981 981 Consumer: Home equity lines of credit - - 21 21 21 Second mortgages - - 253 253 253 Total impaired loans $ 3,339 $ 243 $ 16,864 $ 20,203 $ 20,203 September 30, 2021 Residential mortgage $ - $ - $ 2,594 $ 2,594 $ 2,766 Commercial: Commercial real estate 286 18 33,543 33,829 33,368 Farmland 2,254 2,254 2,254 Commercial and industrial 2,517 1,488 630 3,147 3,584 Consumer: Home equity lines of credit - - 23 23 28 Second mortgages 102 38 696 798 874 Total impaired loans $ 2,905 $ 1,544 $ 39,740 $ 42,645 $ 42,874 |
Schedule of average recorded investment in impaired loans and related interest income recognized | The following table presents the average recorded investment in impaired loans in the loan portfolio and related interest income recognized for the three and six months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 Six Months Ended March 31, 2022 Average Impaired Loans Interest Income Recognized on Impaired Loans Average Impaired Loans Interest Income Recognized on Impaired Loans (In thousands) Residential mortgage $ 2,610 $ 25 $ 1,727 $ 47 Commercial: Commercial real estate 12,757 7 8,626 9 Farmland 2,236 20 1,494 40 Commercial and industrial 1,476 5 1,381 10 Consumer: Home equity lines of credit 22 - 10 - Second mortgages 685 - 528 - Total $ 19,786 $ 57 $ 13,766 $ 106 Three Months Ended March 31, 2021 Six Months Ended March 31, 2021 Average Impaired Loans Interest Income Recognized on Impaired Loans Average Impaired Loans Interest Income Recognized on Impaired Loans (In thousands) Residential mortgage $ 3,383 $ 19 $ 3,434 $ 34 Commercial: Commercial real estate 34,226 145 29,930 250 Farmland 2,278 19 1,516 19 Commercial and industrial 549 5 365 7 Consumer: Home equity lines of credit 56 - 65 - Second mortgages 658 2 679 3 Total $ 41,150 $ 190 $ 35,989 $ 313 |
Schedule of classes of loan portfolio | No additional funds are committed to be advanced in connection with impaired loans.] The following table presents the classes of the loan portfolio categorized as pass, special mention, substandard and doubtful within the Company’s internal risk rating system as of March 31, 2022 and September 30, 2021: Pass Special Mention Substandard Doubtful Total (In thousands) March 31, 2022: Residential mortgage $ 174,594 $ - $ 3,075 $ - $ 177,669 Construction and Development: Residential and commercial 25,558 - - - 25,558 Land 4,603 - - - 4,603 Commercial: Commercial real estate 357,298 42,972 704 - 400,974 Farmland 13,392 - 2,232 - 15,624 Multi-family 54,789 - - - 54,789 Commercial and industrial 95,347 - 6,007 - 101,354 Other 7,977 - - - 7,977 Consumer: Home equity lines of credit 12,107 - 176 - 12,283 Second mortgages 4,560 63 346 - 4,969 Other 2,234 - 3 - 2,237 Total $ 752,459 $ 43,035 $ 12,543 $ - $ 808,037 Pass Special Mention Substandard Doubtful Total (In thousands) September 30, 2021: Residential mortgage $ 195,658 $ - $ 3,052 $ - $ 198,710 Construction and Development: Residential and commercial 61,492 - - - 61,492 Land 2,204 - - - 2,204 Commercial: Commercial real estate 376,721 48,705 1,489 - 426,915 Farmland 8,043 - 2,254 - 10,297 Multi-family 57,052 9,280 - - 66,332 Commercial and industrial 106,910 - 8,336 - 115,246 Other 10,954 - - - 10,954 Consumer: Home equity lines of credit 13,390 - 101 - 13,491 Second mortgages 4,908 68 908 - 5,884 Other 2,299 - - - 2,299 Total $ 839,631 $ 58,053 $ 16,140 $ - $ 913,824 |
Schedule of loans that are no longer accruing interest by portfolio class | The following table presents loans that are no longer accruing interest as of March 31, 2022 and September 30, 2021, by portfolio class: March 31, 2022 September 30, 2021 (In thousands) Non-accrual loans: Residential mortgage $ 610 $ 879 Commercial: Commercial and industrial 285 2,517 Consumer: Home equity lines of credit 22 23 Second mortgages 184 278 Total non-accrual loans $ 1,101 $ 3,697 |
Schedule of classes of loan portfolio summarized by aging categories | The following table presents the classes of the loan portfolio categorized by the following aging categories as of March 31, 2022 and September 30, 2021: Current 30-59 Days Past Due 60-89 Days Past Due 90 Days and More Past Due Total Past Due Total Loans Receivable Loans Receivable > 90 Days and Accruing (In thousands) March 31, 2022: Residential mortgage $ 176,171 $ 1,311 $ - $ 187 $ 1,498 $ 177,669 $ - Construction and Development: Residential and commercial 25,558 - - - - 25,558 - Land 4,603 - - - - 4,603 - Commercial: Commercial real estate 400,471 503 - - 503 400,974 - Farmland 15,624 - - - - 15,624 - Multi-family 54,789 - - - - 54,789 - Commercial and industrial 101,069 285 - - 285 101,354 - Other 7,977 - - - - 7,977 - Consumer: - Home equity lines of credit 12,206 77 - - 77 12,283 - Second mortgages 4,961 - - 8 8 4,969 - Other 2,234 - - 3 3 2,237 - Total $ 805,663 $ 2,176 $ - $ 198 $ 2,374 $ 808,037 $ - Current 30-59 Days Past Due 60-89 Days Past Due Greater than 90 Days Past Due Total Past Due Total Loans Receivable Loans Receivable > 90 Days and Accruing (In thousands) September 30, 2021: Residential mortgage $ 197,062 $ 796 $ 241 $ 611 $ 1,648 $ 198,710 $ - Construction and Development: Residential and commercial 61,492 - - - - 61,492 - Land 2,204 - - - - 2,204 - Commercial: Commercial real estate 426,915 - - - - 426,915 - Farmland 10,297 - - - - 10,297 - Multi-family 66,332 - - - - 66,332 - Commercial and industrial 115,246 - - - - 115,246 - Other 10,954 - - - - 10,954 - Consumer: Home equity lines of credit 13,394 97 - - 97 13,491 - Second mortgages 5,697 4 83 100 187 5,884 - Other 2,296 3 - - 3 2,299 - Total $ 911,889 $ 900 $ 324 $ 711 $ 1,935 $ 913,824 $ - |
Schedule of TDR loans | For any residential real estate property collateralizing a consumer mortgage loan, the Company is considered to possess the related collateral only if legal title is obtained upon completion of foreclosure, or the borrower conveys all interest in the residential real estate property to the Company through completion of a deed in lieu of foreclosure or similar legal agreement. Excluding OREO, the Company had zero and $185,000 of residential real estate properties in the process of foreclosure at March 31, 2022 and September 30, 2021, respectively. The following table presents total TDRs as of December 31, 2021 and September 30, 2021: Total Troubled Debt Restructurings Troubled Debt Restructured Loans That Have Defaulted on Modified Terms Within The Past 12 Months Number of Loans Recorded Investment Number of Loans Recorded Investment (Dollars in thousands) December 31, 2021: Residential mortgage 14 $ 2,689 - $ - Commercial: Commercial real estate 3 595 2 504 Farmland 1 2,232 - - Commercial and industrial 1 625 - - Consumer: Second mortgages 3 69 - - Total 22 $ 6,210 2 $ 504 September 30, 2021: Residential mortgage 16 $ 3,180 4 $ 640 Commercial: - Commercial real estate 5 12,180 - - Farmland 1 2,254 - - Commercial and industrial 1 549 - - Consumer: Second mortgages 3 78 - - Total 26 $ 18,241 4 $ 640 |
Schedule of performing status of TDR loans | The following table reports the performing status of all TDR loans. The performing status is determined by a loan’s compliance with the modified terms: March 31, 2022 September 30, 2021 Performing Non-Performing Performing Non-Performing (In thousands) Residential mortgage $ 2,266 $ 423 $ 2,540 $ 640 Commercial: Commercial real estate 595 - 12,180 - Farmland 2,232 - 2,254 - Commercial and industrial 625 - 549 - Consumer: Second mortgages 69 - 78 - Total $ 5,787 $ 423 $ 17,601 $ 640 |
Schedule of new TDR's | There were two new TDRs for the six months ended March 31, 2022. The following tables show the new TDRs for the three and six months ended March 31, 2022 compared to the three and six months ended March 31, 2021: For the Three Months Ended March 31, 2022 2021 Number of Contracts Pre- Modifications Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of Contracts Pre- Modifications Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment (In thousands) Troubled Debt Restructurings: Residential mortgage - $ - $ - - $ - $ - Commercial: Commercial real estate - $ - $ - - $ - $ - Farmland - $ - $ - 1 $ 2,287 $ 2,287 Commercial and industrial - $ - $ - 1 $ 549 $ 549 Consumer: Second mortgages - $ - $ - - $ - $ - Total troubled debt restructurings - $ - $ - 2 $ 2,836 $ 2,836 For the Six Months Ended March 31, 2022 2021 Number of Contracts Pre- Modifications Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of Contracts Pre- Modifications Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment (Dollars in thousands) Troubled Debt Restructurings: Residential mortgage 1 $ 482 $ 482 - $ - $ - Commercial: Commercial real estate - $ - $ - - $ - $ - Farmland - $ - $ - 1 $ 2,287 $ 2,287 Commercial and industrial 1 $ 504 $ 504 1 $ 549 $ 549 Total troubled debt restructurings 2 $ 986 $ 986 2 $ 2,836 $ 2,836 |
Schedule of composition of loans by loan segment | The following tables set forth the composition of these loans by loan segments as of March 31, 2022 and September 30, 2021: March 31 ,2022 Number of Loans Loan Modified Exposure Gross Loans March 31 ,2022 Percentage of Gross Loans on Modified (Dollars in thousands) Residential mortgage - $ - $ 177,669 0.00 % Construction and Development: Residential and commercial - - 25,558 0.00 % Land loans - - 4,603 0.00 % Total Construction and Development - - 30,161 0.00 % Commercial: Commercial real estate 4 42,321 400,974 5.24 % Farmland - - 15,624 0.00 % Multi-family - - 54,789 0.00 % Commercial and industrial - - 101,354 0.00 % Other - - 7,977 0.00 % Total Commercial 4 42,321 580,718 5.24 % Consumer: Home equity lines of credit - - 12,283 0.00 % Second mortgages - - 4,969 0.00 % Other - - 2,237 0.00 % Total Consumer - - 19,489 0.00 % Total loans 4 $ 42,321 $ 808,037 5.24 % September 30, 2021 Number of Loans Loan Modified Exposure Gross Loans September 30, 2021 Percentage of Gross Loans on Modified (Dollars in thousands) Residential mortgage 2 $ 667 $ 198,710 0.07 % Construction and Development: Residential and commercial - - 61,492 0.00 % Land loans - - 2,204 0.00 % Total Construction and Development - - 63,696 0.00 % Commercial: Commercial real estate 6 60,567 426,915 6.63 % Farmland - - 10,297 0.00 % Multi-family - - 66,332 0.00 % Commercial and industrial - - 115,246 0.00 % Other - - 10,954 0.00 % Total Commercial 6 60,567 629,744 6.63 % Consumer: Home equity lines of credit - - 13,491 0.00 % Second mortgages - - 5,884 0.00 % Other - - 2,299 0.00 % Total Consumer - - 21,674 0.00 % Total loans 8 $ 61,234 $ 913,824 6.70 % |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 6 Months Ended |
Mar. 31, 2022 | |
Regulatory Matters Disclosure [Abstract] | |
Schedule of actual capital amounts and ratios | The following table summarizes the Company’s compliance with applicable regulatory capital requirements as of March 31, 2022 and September 30, 2021: Actual For Capital Adequacy Purposes To be Well Capitalized Under Prompt Corrective Action Provisions (1) Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of March 31, 2022 Tier 1 Leverage (Core) Capital (to adjusted assets) $ 144,898 12.83 % $ 45,158 4.00 % N/A N/A Common Equity Tier 1 Capital (to risk weighted assets) 144,898 16.38 % 39,804 4.50 % N/A N/A Tier 1 Capital (to risk weighted assets) 144,898 16.38 % 53,073 6.00 % N/A N/A Total Risk Based Capital (to risk weighted assets) 179,280 20.27 % 70,763 8.00 % N/A N/A As of September 30, 2021 Tier 1 Leverage (Core) Capital (to adjusted assets) $ 142,132 11.84 % $ 48,020 4.00 % N/A N/A Common Equity Tier 1 Capital (to risk weighted assets) 142,132 14.53 % 44,024 4.50 % N/A N/A Tier 1 Capital (to risk weighted assets) 142,132 14.53 % 58,699 6.00 % N/A N/A Total Risk Based Capital (to risk weighted assets) 178,620 18.26 % 78,265 8.00 % N/A N/A (1) The Company is not subject to the regulatory capital ratios imposed by Basel III on bank holding companies because the Company was deemed to be a small bank holding company as of March 31, 2022 and September 20, 2021. The following table summarizes the Bank’s compliance with applicable regulatory capital requirements as of March 31, 2022 and September 30, 2021: Actual For Capital Adequacy Purposes To be Well Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) As of March 31, 2022 Tier 1 Leverage (Core) Capital (to adjusted assets) $ 160,992 14.29 % $ 45,074 4.00 % $ 56,343 5.00 % Common Equity Tier 1 Capital (to risk weighted assets) 160,992 18.25 % 39,802 4.50 % 57,347 6.50 % Tier 1 Capital (to risk weighted assets) 160,992 18.25 % 52,936 6.00 % 70,582 8.00 % Total Risk Based Capital (to risk weighted assets) 170,374 19.31 % 70,582 8.00 % 88,227 10.00 % As of September 30, 2021 Tier 1 Leverage (Core) Capital (to adjusted assets) $ 157,518 13.14 % $ 47,946 4.00 % $ 59,933 5.00 % Common Equity Tier 1 Capital (to risk weighted assets) 157,518 16.13 % 43,934 4.50 % 63,460 6.50 % Tier 1 Capital (to risk weighted assets) 157,518 16.13 % 58,579 6.00 % 78,105 8.00 % Total Risk Based Capital (to risk weighted assets) 169,072 17.32 % 78,105 8.00 % 97,632 10.00 % |
Derivatives and Hedging Activ_2
Derivatives and Hedging Activities (Tables) | 6 Months Ended |
Mar. 31, 2022 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Schedule of effects of derivative instruments on the Consolidated Financial Statements | The tables below present the fair value of the Company’s derivative financial instruments as well as their classification on the Consolidated Statements of Financial Condition as of March 31, 2022 and September 30, 2021: ` March 31, 2022 Asset derivatives Liability derivatives Notional Amount Fair Value Statement of Financial Condition Location Notional Amount Fair Value Statement of Financial Condition Location (In thousands) Derivatives designated as a hedging instrument: Interest rate swap agreement $ 60,000 $ 2,224 Other assets $ — $ — Other liabilities Derivatives not designated as a hedging instrument: Interest rate swap agreement $ 44,535 $ 2,860 Other assets $ 44,535 $ 2,862 Other liabilities September 30, 2021 Asset derivatives Liability derivatives Notional Amount Fair Value Statement of Financial Condition Location Notional Amount Fair Value Statement of Financial Condition Location (In thousands) Derivatives designated as a hedging instrument: Interest rate swap agreement $ 40,000 $ 14 Other assets $ 30,000 $ 47 Other liabilities Derivatives not designated as a hedging instrument: Interest rate swap agreement $ 44,748 $ 4,671 Other assets $ 44,748 $ 4,673 Other liabilities |
Schedule of offsetting of derivative assets and liabilities | The tables below present the derivative assets and liabilities offsetting as of March 31, 2022 and September 30, 2021: Offsetting of Derivative Assets (In thousands) as of March 31, 2022 Gross Amounts Not Offset in the Statements of Financial Condition Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Assets presented in the Statement of Financial Condition Financial Instruments Cash Collateral Received Net Amount Derivatives $ 5,084 $ - $ 5,084 $ 1,975 $ - $ 3,109 Offsetting of Derivative Liabilities (In thousands) as of March 31, 2022 Gross Amounts Not Offset in the Statements of Financial Condition Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Liabilities presented in the Statement of Financial Condition Financial Instruments Cash Collateral Posted Net Amount Derivatives $ 2,862 $ - $ 2,862 $ 1,975 $ - $ 887 Offsetting of Derivative Assets (In thousands) as of September 30, 2021 Gross Amounts Not Offset in the Statements of Financial Condition Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Assets presented in the Statement of Financial Condition Financial Instruments Cash Collateral Received Net Amount Derivatives $ 4,685 $ - $ 4,685 $ - $ - $ 4,685 Offsetting of Derivative Liabilities (In thousands) as of September 30, 2021 Gross Amounts Not Offset in the Statements of Financial Condition Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Condition Net Amounts of Liabilities presented in the Statement of Financial Condition Financial Instruments Cash Collateral Posted Net Amount Derivatives $ 4,720 $ - $ 4,720 $ 221 $ 8,257 $ (3,758 ) |
Schedule of net gains (losses) recorded in accumulated other comprehensive income (loss) and the Consolidated Statements of Operations | The tables below present the net gains (losses) recorded in accumulated other comprehensive income (loss) and the Consolidated Statements of Operations relating to the cash flow derivative instruments for the three and six months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 Amount of Gain Recognized in OCI on Derivative Amount of Loss Reclassified from OCI to Interest Expense (In thousands) Interest rate swap agreements $ 1,748 $ (26 ) Total derivatives 1,748 (26 ) Six Months Ended March 31, 2022 Amount of Gain Recognized in OCI on Derivative Amount of Loss Reclassified from OCI to Interest Expense (In thousands) Interest rate swap agreements $ 2,142 $ (111 ) Total derivatives 2,142 (111 ) Three Months Ended March 31, 2021 Amount of Gain Recognized in OCI on Derivative Amount of Loss Reclassified from OCI to Interest Expense (In thousands) Interest rate swap agreements $ 322 $ (243 ) Total derivatives 322 (243 ) Six Months Ended March 31, 2021 Amount of Gain Recognized in OCI on Derivative Amount of Loss Reclassified from OCI to Interest Expense (In thousands) Interest rate swap agreements $ 314 $ (523 ) Total derivatives 314 (523 ) |
Schedule of effects of derivative instruments on Consolidated Statements of Operations | The tables below present the effect of the Company’s derivative financial instruments on the Consolidated Statements of Operations for the three and six months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 Consolidated Statements of Operations Amount of Gain Recognized in Income on derivatives (In thousands) Derivatives not designated as a hedging instrument: Interest rate swap agreement Other income $ 1 Total $ 1 Six Months Ended March 31, 2022 Consolidated Statements of Operations Amount of Gain Recognized in Income on derivatives (In thousands) Derivatives not designated as a hedging instrument: Interest rate swap agreement Other income $ 2 Total $ 2 Three Months Ended March 31, 2021 Consolidated Statements of Operations Amount of Loss Recognized in Income on derivatives (In thousands) Derivatives not designated as a hedging instrument: Interest rate swap agreement Other income $ 2 Total $ 2 Six Months Ended March 31, 2021 Consolidated Statements of Operations Amount of Loss Recognized in Income on derivatives (In thousands) Derivatives not designated as a hedging instrument: Interest rate swap agreement Other income $ 3 Total $ 3 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of balances of assets measured at fair value on a recurring basis | The tables below present the balances of assets measured at fair value on a recurring basis as of March 31, 2022 and September 30, 2021: March 31, 2022 Total Level 1 Level 2 Level 3 (In thousands) Assets: Investment securities available for sale: Debt securities: U.S. government agencies 4,442 $ - $ 4,442 $ - State and municipal obligations 9,951 - 9,951 - Single issuer trust preferred security 922 - 922 - Corporate debt securities 34,950 - 34,950 - Mortgage backed securities 2,439 - 2,439 - U.S. treasury note 1,479 - 1,479 - Total investment Securities available -for-sale 54,183 - 54,183 - Equity Securities: Mutual Funds 1,445 945 - 500 Total equity investment securities 1,445 945 - 500 Total investment securities available for sale $ 55,628 $ 945 $ 54,183 $ 500 Assets: Derivative instruments $ 5,804 $ - $ 5,804 $ - Liabilities: Derivative instruments $ 2,862 $ - $ 2,862 $ - September 30, 2021 Total Level 1 Level 2 Level 3 (In thousands) Assets: Investment securities available for sale: Debt securities: U.S. government agencies $ 4,993 $ - $ 4,993 $ - State and municipal obligations 2,765 - 2,765 - Single issuer trust preferred security 875 - 875 - Corporate debt securities 32,180 - 32,180 - Total investment Securities available -for-sale 40,813 - 40,813 - Equity Securities: Mutual Funds 1,500 1,000 - 500 Total equity investment securities 1,500 1,000 - 500 Total investment securities available for sale $ 42,313 $ 1,000 $ 40,813 $ 500 Assets: Derivative instruments $ 4,685 $ - $ 4,685 $ - Liabilities: Derivative instruments $ 4,720 $ - $ 4,720 $ - |
Schedule of securities available-for-sale measured at fair value on a recurring basis using significant unobservable inputs | The following tables present additional information about the equity securities measured at fair value on a recurring basis and for which the Company utilized significant unobservable inputs (Level 3 inputs) to determine fair value for the six months ended March 31, 2022 and March 31, 2021 Fair value measurements using significant unobservable inputs (Level 3) (In thousands) Balance, October 1, 2021 $ 500 Payments received - Total gains or losses (realized/unrealized) Included in earnings - Included in other comprehensive income - Purchases - Transfers in and/or out of Level 3 - Balance, March 31, 2022 $ 500 Fair value measurements using significant unobservable inputs (Level 3) (In thousands) Balance, October 1, 2020 $ 500 Payments received - Total gains or losses (realized/unrealized) Included in earnings - Included in other comprehensive income - Purchases - Transfers in and/or out of Level 3 - Balance, March 31, 2021 $ 500 |
Schedule of assets measured at fair value on a non recurring basis | For assets measured at fair value on a nonrecurring basis that were still held at the end of the period, the following tables provide the level of valuation assumptions used to determine each adjustment and the carrying value of the related individual assets or portfolios at March 31, 2022 and September 30, 2021: March 31, 2022 Total Level 1 Level 2 Level 3 (In thousands) Other real estate owned $ 4,961 $ - $ - $ 4,961 Impaired loans (1) 16,819 - - 16,819 Total $ 21,780 $ - $ - $ 21,780 March 31, 2022 Fair Value at March 31, 2022 Valuation Technique Unobservable Input Range/(Weighted Average) (Dollars in thousands) Other real estate owned $ 4,961 Appraisal of Collateral(2) Collateral discount(3) 4%/(4%) Impaired loans ( 1) 16,819 Appraisal of Collateral(2) Collateral discount(3) 12%/(12%) Total $ 21,780 (1) Consisted of three loans with an aggregate balance of $16.5 million and with $243,000 in specific loan loss allowance. (2) Fair value is generally determined through independent appraisals of the underlying collateral primarily using comparable sales. (3) Appraisals may be adjusted by management for qualitative factors such as time, changes in economic conditions and estimated liquidation expense. September 30, 2021 Total Level 1 Level 2 Level 3 (In thousands) Other real estate owned $ 4,961 $ - $ - $ 4,961 Impaired loans (1) 33,876 18,900 - 14,976 Total $ 38,837 $ 18,900 $ - $ 19,937 September 30, 2021 Fair Value at September 30, 2021 Valuation Technique Unobservable Input Range/(Weighted Average) (Dollars in thousands) Other real estate owned $ 4,961 Appraisal of Collateral(2) Collateral discount(3) 6.4%/(6.4%) Impaired loans (1) 33,876 Appraisal of Collateral(2) Collateral discount(3) (4.0%)-(12.0%)/(8%) Total $ 38,837 (1) Consisted of eight loans with an aggregate balance of $35.4 million and with $1.5 million in specific loan loss allowance. (2) Fair value is generally determined through independent appraisals of the underlying collateral primarily using comparable sales. (3) Appraisals may be adjusted by management for qualitative factors such as time, changes in economic conditions and estimated liquidation expense. |
Schedule of carrying amount and estimated fair value of the Company's financial instruments | The carrying amount and estimated fair value of the Company’s financial instruments as of March 31, 2022 and September 30, 2021 are presented below: March 31, 2022 Carrying Amount Fair Value Level 1 Level 2 Level 3 (In thousands) Financial assets: Cash and cash equivalents $ 122,023 $ 122,023 $ 122,023 $ - $ - Investment securities available-for-sale 54,183 54,183 - 54,183 - Investment securities held-to-maturity 48,512 45,716 - 45,716 - Equity investment securities 1,445 1,445 945 - 500 Loans held for sale 13,244 13,244 - - 13,244 Loans receivable, net (including impaired loans) 799,310 785,164 - - 785,164 Accrued interest receivable 3,478 3,478 - 3,478 - Restricted stock 6,462 6,462 - 6,462 - Mortgage servicing rights (included in Other Assets) 96 103 - 103 - Derivatives (included in Other Assets) 5,084 5,084 - 5,084 - Financial liabilities: Savings accounts 54,074 54,074 - 54,074 - Checking and NOW accounts 357,180 357,180 - 357,180 - Money market accounts 328,324 328,324 - 328,324 - Certificates of deposit 114,859 116,240 - 116,240 - Borrowings (excluding sub debt) 60,000 60,066 - 60,066 - Subordinated debt 25,000 25,043 - 25,027 - Derivatives (included in Other Liabilities) 2,862 2,862 - 2,862 - Accrued interest payable 352 352 - 352 - September 30, 2021 Carrying Amount Fair Value Level 1 Level 2 Level 3 (In thousands) Financial assets: Cash and cash equivalents $ 136,590 $ 136,590 $ 136,590 $ - $ - Investment securities available-for-sale 40,813 40,813 - 40,813 - Investment securities held-to-maturity 28,507 28,913 - 28,913 - Equity investment securities 1,500 1,500 1,000 - 500 Loans receivable, net (including impaired loans) 902,981 900,357 - - 900,357 Loans held for sale 33,199 33,199 19,583 13,616 Accrued interest receivable 3,512 3,512 - 3,512 - Restricted stock 7,776 7,776 - 7,776 - Mortgage servicing rights (included in Other Assets) 83 83 - 83 - Derivatives (included in Other Assets) 4,685 4,685 - 4,685 - Financial liabilities: Savings accounts 50,582 50,582 - 50,582 - Checking and NOW accounts 390,494 390,494 - 390,494 - Money market accounts 385,480 385,480 - 385,480 - Certificates of deposit 111,603 113,323 - 113,323 - Borrowings (excluding sub debt) 90,000 90,215 - 90,215 - Subordinated debt 24,934 25,027 - 25,027 - Derivatives (included in Other Liabilities) 4,720 4,720 - 4,720 - Accrued interest payable 572 572 - 572 - |
Comprehensive Income (Tables)
Comprehensive Income (Tables) | 6 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Schedule of other comprehensive income (loss) and related tax effects | Other comprehensive (loss) income and related tax effects are presented in the following table: Three Months Ended March 31, Six Months Ended March 31, 2022 2021 2022 2021 (In thousands) Net unrealized holding (losses) gains on available-for-sale securities $ (2,588 ) $ 7 $ (2,737 ) $ 464 Reclassification adjustment for net gains arising during the period (1) - (259 ) - (614 ) Amortization of unrealized holding losses on securities transferred from available-for-sale to held-to-maturity (2) 2 1 4 2 Adjustment for loss recorded on replacement of derivative - (2 ) - (4 ) Fair value adjustments on derivatives 1,773 567 2,252 840 Other comprehensive (loss) income before taxes (813 ) 314 (481 ) 688 Tax effect 169 (65 ) 98 (144 ) Total other comprehensive (loss) income $ (644 ) $ 249 $ (383 ) $ 544 (1) Amounts are included in net gains on sale and call of investments on the Consolidated Statements of Operations in total other income. (2) Amounts are included in interest and dividends on investment securities on the Consolidated Statements of Operations. |
Equity Based Incentive Compen_2
Equity Based Incentive Compensation Plan (Tables) | 6 Months Ended |
Mar. 31, 2022 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Schedule of assumptions used in determining fair value of stock option | Weighted Average Fair Value of Awards $ 6.06 Risk Free Rate 1.25 % Dividend Yield -% Volatility 29.72 % Expected Life 6.5 years |
Schedule of stock option activity | The following is a summary of stock option activity for the six months ended March 31, 2022 Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (In Years) Aggregate Intrinsic Value Outstanding, beginning of year 32,830 $ 20.96 6.875 $ 1,940 Granted - $ - $ - Exercised - $ - $ - Forfeited/cancelled/expired 2,000 $ 19.49 $ - Outstanding, at March 31, 2022 30,830 $ 21.05 6.7918 $ 180 Exercisable, at March 31, 2022 17,680 $ 21.70 5.8660 $ 180 Nonvested, at March 31, 2022 13,150 $ 20.19 8.0365 The following is a summary of stock option activity for the six months ended March 31, 2021: Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (In Years) Aggregate Intrinsic Value Outstanding, beginning of year 25,830 $ 21.57 $ - Granted - $ - $ - Exercised - $ - $ - Forfeited/cancelled/expired - $ - $ - Outstanding, at March 31, 2021 25,830 $ 21.57 6.694 $ - Exercisable, at March 31, 2021 13,310 $ 21.53 7.988 $ - Nonvested, at March 31, 2021 12,520 $ 21.61 |
Schedule of restricted stock outstanding | The table below summarizes the activity for the Company’s restricted stock outstanding during the six months ended March 31, 2022: Shares Weighted Average Fair Value Outstanding, beginning of year 31,486 $ 21.10 Granted 5,131 $ 15.50 Vested (6,711 ) $ 22.17 Forfeited/cancelled/expired (2,336 ) $ 20.54 Outstanding, at March 31, 2022 27,570 $ 19.82 Shares Weighted Average Fair Value Outstanding, beginning of year 30,653 $ 21.98 Granted - $ - Vested (7,978 ) $ 21.92 Forfeited/cancelled/expired - $ - Outstanding, at March 31, 2022 22,675 $ 22.00 |
Deposits (Tables)
Deposits (Tables) | 6 Months Ended |
Mar. 31, 2022 | |
Deposits [Abstract] | |
Schedule of deposits classified by type with percentages to total deposits | Deposits classified by type with percentages to total deposits at March 31, 2022 and September 30, 2021 consisted of the following: March 31, September 30, 2022 2021 (Dollars in thousands) Balances by types of deposit: Savings $ 54,074 6.33 % $ 50,582 5.39 % Money market accounts 328,324 38.43 385,480 41.09 Interest-bearing demand 302,468 35.40 336,645 35.88 Non-interest-bearing demand 54,712 6.40 53,849 5.74 739,578 86.56 % 826,556 88.10 % Certificates of deposit 114,859 13.44 % 111,603 11.90 % Total Deposits $ 854,437 100.00 % $ 938,159 100.00 % |
Schedule of interest expense on deposits | Interest expense on deposits consisted of the following: Three Months Ended March 31 Six Months Ended March 31, 2022 2021 2022 2021 (In thousands) Savings accounts $ 12 $ 16 $ 24 $ 34 Money market accounts 219 676 497 1,467 Interest-bearing demand 323 478 780 1,026 Certificates of deposit 274 635 572 1,535 Total $ 828 $ 1,805 $ 1,873 $ 4,062 |
Schedule of certificates of deposit maturities | As of March 31, 2022, the scheduled maturities of certificates of deposits are as follows: Scheduled Maturities (In thousands) Period Ending December 31 2023 $ 59,415 2024 34,728 2025 8,365 2026 7,079 2027 4,122 Thereafter 1,150 Total $ 114,859 As of March 31, 2022, the scheduled maturities of certificates of deposits in amounts greater than $100,000 are as follows: Scheduled Maturities (In thousands) Three months or less $ 10,277 Over three through six months 8,090 Over six through twelve months 15,093 Over twelve months 31,085 Total $ 64,545 |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Detail) - shares | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Earnings Per Share [Line Items] | ||||
Restricted shares issued | 5,131 | 0 | 5,131 | 0 |
Stock options | 0 | 0 | 0 | 0 |
Restricted Stock [Member] | ||||
Earnings Per Share [Line Items] | ||||
Forfeited shares | 2,336 |
Earnings Per Share (Detail)
Earnings Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Earnings Per Share [Abstract] | ||||
Net Income | $ 522 | $ 2,224 | $ 2,539 | $ 4,497 |
Weighted average shares outstanding | 7,621,100 | 7,609,953 | 7,621,227 | 7,609,953 |
Average unearned ESOP shares | (66,145) | (80,545) | (67,965) | (82,365) |
Basic weighted average shares outstanding | 7,554,955 | 7,529,408 | 7,553,262 | 7,527,588 |
Plus: effect of potential dilutive common stock equivalents - stock options | 1,239 | 743 | 1,197 | 601 |
Diluted weighted average common shares outstanding | 7,556,194 | 7,530,151 | 7,554,459 | 7,528,189 |
Earnings per common share: | ||||
Basic | $ 0.07 | $ 0.30 | $ 0.34 | $ 0.60 |
Diluted | $ 0.07 | $ 0.30 | $ 0.34 | $ 0.60 |
Employee Stock Ownership Plan (
Employee Stock Ownership Plan (Narrative) (Detail) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 4 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Sep. 30, 2008 | Mar. 31, 2022 | Mar. 31, 2021 | |
Employee Stock Ownership Plan (ESOP), Shares In ESOP [Abstract] | |||||
Employee stock ownership plan (ESOP), shares purchased | 241,178 | ||||
Employee stock ownership plan (ESOP), amount borrowed | $ 2.6 | ||||
Average price of shares purchased (in dollars per share) | $ 10.86 | ||||
Employee stock ownership plan (ESOP), debt structure, direct loan, description | The ESOP loan, which bears an interest rate of 5%, is being repaid in quarterly installments through 2026 principally from the Bank’s contributions to the ESOP. | ||||
Committed to be released ESOP shares | 3,600 | 3,600 | 7,200 | 7,200 | |
Number of unallocated shares | 64,365 | 64,365 | |||
Number of allocated shares held by the ESOP | 194,853 | 194,853 | |||
Aggregate fair value of shares held by the ESOP | $ 1 | $ 1 |
Investment Securities (Detail)
Investment Securities (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 |
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Amortized Cost | $ 56,863 | $ 40,756 |
Gross Unrealized Gains | 94 | 244 |
Gross Unrealized Losses | (2,774) | (187) |
Fair value | 54,183 | 40,813 |
Amortized Cost | 48,512 | 28,507 |
Gross Unrealized Gains | 26 | 468 |
Gross Unrealized Losses | (2,822) | (62) |
Fair value | 45,716 | 28,913 |
Equity securities Amortized Cost | 1,500 | 1,500 |
Equity securities, Gross Unrealized Losses | (55) | |
Equity securities Fair Value | 1,445 | 1,500 |
Total investment and equity securities Amortized Cost | 106,875 | 70,763 |
Total investment and equity securities Gross Unrealized Gains | 120 | 712 |
Total investment and equity securities Gross Unrealized Losses | (5,651) | (249) |
Total investment and equity securities Fair Value | 101,344 | 71,226 |
U. S. Government Agencies [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Amortized Cost | 5,000 | 5,000 |
Gross Unrealized Losses | (558) | (7) |
Fair value | 4,442 | 4,993 |
Amortized Cost | 23,500 | 10,000 |
Gross Unrealized Gains | 11 | |
Gross Unrealized Losses | (1,659) | |
Fair value | 21,841 | 10,011 |
State And Municipal Obligations [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Amortized Cost | 10,886 | 2,767 |
Gross Unrealized Gains | 1 | |
Gross Unrealized Losses | (935) | (3) |
Fair value | 9,951 | 2,765 |
Amortized Cost | 13,764 | 6,062 |
Gross Unrealized Gains | 12 | 104 |
Gross Unrealized Losses | (731) | (49) |
Fair value | 13,045 | 6,117 |
Single Issuer Trust Preferred Security [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Amortized Cost | 1,000 | 1,000 |
Gross Unrealized Losses | (78) | (125) |
Fair value | 922 | 875 |
Corporate Debt Securities [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Amortized Cost | 35,989 | 31,989 |
Gross Unrealized Gains | 94 | 243 |
Gross Unrealized Losses | (1,133) | (52) |
Fair value | 34,950 | 32,180 |
Amortized Cost | 3,324 | 3,383 |
Gross Unrealized Gains | 14 | 224 |
Fair value | 3,338 | 3,607 |
MBS Securities {Member} | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Amortized Cost | 2,505 | |
Gross Unrealized Losses | (66) | |
Fair value | 2,439 | |
MBS Securities {Member} | Fixed Rate [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Amortized Cost | 2,358 | 2,461 |
Gross Unrealized Losses | (203) | (13) |
Fair value | 2,155 | 2,448 |
U.S. Treasury Note [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Amortized Cost | 1,483 | |
Gross Unrealized Losses | (4) | |
Fair value | 1,479 | |
Mutual Fund [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Equity securities Amortized Cost | 1,500 | 1,500 |
Equity securities, Gross Unrealized Losses | (55) | |
Equity securities Fair Value | 1,445 | 1,500 |
Collateralized Mortgage Obligations [Member] | Fixed Rate [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Amortized Cost | 5,566 | 6,601 |
Gross Unrealized Gains | 129 | |
Gross Unrealized Losses | (229) | |
Fair value | $ 5,337 | $ 6,730 |
Investment Securities - (Narrat
Investment Securities - (Narrative) (Detail) | 6 Months Ended | |||
Mar. 31, 2022USD ($)Investment | Mar. 31, 2021USD ($) | Dec. 31, 2021USD ($) | Sep. 30, 2021USD ($) | |
Marketable Securities [Line Items] | ||||
Sales | $ | $ 13,132,000 | |||
Gain on sale of securities available for sales | $ | $ 0 | |||
Allowance for credit losses | $ | 0 | |||
Fair value of available for sale securities transferred | $ | 2,400,000 | $ 2,900,000 | ||
Fair value of available for sale securities short-term borrowings transferred | $ | $ 0 | 0 | ||
Carrying value of investment securities pledged against hedge | $ | $ 0 | $ 0 | ||
Corporate Debt Securities [Member] | ||||
Marketable Securities [Line Items] | ||||
Number of portfolio investments | Investment | 11 | |||
Municipal Bonds [Member] | ||||
Marketable Securities [Line Items] | ||||
Number of portfolio investments | Investment | 7 | |||
U. S. Government Agencies [Member] | ||||
Marketable Securities [Line Items] | ||||
Number of portfolio investments | Investment | 1 | |||
Single Issuer Trust Preferred Security [Member] | ||||
Marketable Securities [Line Items] | ||||
Number of portfolio investments | Investment | 1 | |||
U.S. Treasury Note [Member] | ||||
Marketable Securities [Line Items] | ||||
Number of portfolio investments | Investment | 1 | |||
MBS Securities {Member} | ||||
Marketable Securities [Line Items] | ||||
Number of portfolio investments | Investment | 1 |
Investment Securities - Gross U
Investment Securities - Gross Unrealized Loss (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 |
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Total investment securities in an unrealized loss position less than 12 months fair value | $ 46,718 | $ 15,287 |
Total investment securities in an unrealized loss position less than 12 months gross unrealized loss | (2,655) | (35) |
Total investment securities in an unrealized loss position 12 months or more fair value | 2,381 | 3,848 |
Total investment securities in an unrealized loss position 12 months or more gross unrealized loss | (119) | (152) |
Total investment securities in an unrealized loss position fair value | 49,099 | 19,135 |
Total investment securities in an unrealized loss position gross unrealized loss | (2,774) | (187) |
U. S. Government Agencies [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Less than 12 Months: Fair Value | 4,442 | 4,993 |
Less than 12 Months: Unrealized Losses | (558) | (7) |
Total: Fair Value | 4,442 | 4,993 |
Total: Unrealized Losses | (558) | (7) |
State And Municipal Obligations [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Less than 12 Months: Fair Value | 9,951 | 1,819 |
Less than 12 Months: Unrealized Losses | (935) | (3) |
Total: Fair Value | 9,951 | 1,819 |
Total: Unrealized Losses | (935) | (3) |
Single Issuer Trust Preferred Security [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
12 Months or longer: Fair Value | 922 | 875 |
12 Months or longer: Unrealized Losses | (78) | (125) |
Total: Fair Value | 922 | 875 |
Total: Unrealized Losses | (78) | (125) |
Corporate Debt Securities [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Less than 12 Months: Fair Value | 28,408 | 8,475 |
Less than 12 Months: Unrealized Losses | (1,092) | (25) |
12 Months or longer: Fair Value | 1,459 | 2,973 |
12 Months or longer: Unrealized Losses | (41) | (27) |
Total: Fair Value | 29,867 | 11,448 |
Total: Unrealized Losses | (1,133) | $ (52) |
MBS Securities {Member} | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Less than 12 Months: Fair Value | 2,438 | |
Less than 12 Months: Unrealized Losses | (66) | |
Total: Fair Value | 2,438 | |
Total: Unrealized Losses | (66) | |
U.S. Treasury Note [Member] | ||
Schedule of available-for-sale securities and cost-method investments [Line Items] | ||
Less than 12 Months: Fair Value | 1,479 | |
Less than 12 Months: Unrealized Losses | (4) | |
Total: Fair Value | 1,479 | |
Total: Unrealized Losses | $ (4) |
Investment Securities - Schedul
Investment Securities - Schedule maturities (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 |
Available for Sale, Amortized Cost: | ||
Over 1 year through five years | $ 4,984 | |
After 5 years through ten years | 31,989 | |
Over 10 years | 19,890 | |
Amortized Cost | 56,863 | $ 40,756 |
Held-to-Maturity, Amortized Cost: | ||
Within 1 year | 254 | |
Over 1 year through five years | 10,036 | |
After 5 years through ten years | 3,122 | |
Over 10 years | 27,176 | |
Mortgage Backed Security ("MBS"), fixed-rate | 2,358 | |
Collateralized mortgage obligations (“CMO”), fixed-rate | 5,566 | |
Amortized Cost | 48,512 | 28,507 |
Equity Securities: | ||
Within 1 year | 500 | |
After 5 years through ten years | 1,000 | |
Equity securities Amortized Cost | 1,500 | 1,500 |
Total investment and equity securities Amortized Cost | 106,875 | 70,763 |
Available-for-Sale, Fair Value: | ||
Over 1 year through five years | 4,915 | |
After 5 years through ten years | 30,969 | |
Over 10 years | 18,299 | |
Available-for-sale, Fair Value, Total | 54,183 | 40,813 |
Held-to-Maturity, Fair Value: | ||
Within 1 year | 254 | |
Over 1 year through five years | 10,062 | |
After 5 years through ten years | 2,929 | |
Over 10 years | 24,979 | |
Mortgage-backed securities: | ||
Mortgage Backed Security ("MBS"), fixed-rate | 2,155 | |
Collateralized mortgage obligations (“CMO”), fixed-rate | 5,337 | |
Held-to-Maturity, Fair Value, Total | 45,716 | 28,913 |
Equity Securities: | ||
Within 1 year | 500 | |
After 5 years through ten years | 945 | |
Equity securities, Fair value | 1,445 | 1,500 |
Total investment and equity securities, Fair Value | $ 101,344 | $ 71,226 |
Loans Receivable and Related _3
Loans Receivable and Related Allowance for Loan Losses (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2020 |
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | $ 808,037 | $ 913,824 | $ 986,428 | |||
Deferred loan costs, net | 574 | 629 | ||||
Allowance for loan losses | (9,301) | $ (10,037) | (11,472) | (12,601) | $ (13,035) | $ (12,433) |
Total loans receivable, net | 799,310 | 902,981 | ||||
Commercial and Industrial [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 101,354 | 115,246 | 94,706 | |||
Allowance for loan losses | (1,197) | (791) | (2,221) | (557) | (600) | (578) |
Residential Mortgage [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 177,669 | 198,710 | 218,165 | |||
Allowance for loan losses | (814) | (935) | (934) | (1,428) | (1,603) | (1,667) |
Construction and Development - Residential and Commercial [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 25,558 | 61,492 | 76,257 | |||
Allowance for loan losses | (152) | (428) | (428) | (532) | (508) | (465) |
Construction and Development - Land [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 4,603 | 2,204 | 3,596 | |||
Allowance for loan losses | (27) | (15) | (15) | (24) | (24) | (23) |
Construction And Development [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 30,161 | 63,696 | ||||
Commercial Real Estate [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 400,974 | 426,915 | 482,611 | |||
Allowance for loan losses | (6,205) | (7,118) | (7,043) | (8,377) | (7,973) | (8,682) |
Commercial Farmland [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 15,624 | 10,297 | 7,344 | |||
Allowance for loan losses | (274) | (56) | (56) | (35) | (352) | (47) |
Commercial Multi Family [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 54,789 | 66,332 | 67,122 | |||
Allowance for loan losses | (327) | (450) | (450) | (506) | (508) | (511) |
Commercial - Other [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 7,977 | 10,954 | 9,927 | |||
Allowance for loan losses | (54) | (54) | (49) | (50) | (51) | |
Commercial [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 580,718 | 629,744 | ||||
Consumer - Home Equity Lines of Credit [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 12,283 | 13,491 | 15,936 | |||
Allowance for loan losses | (78) | (76) | (76) | (119) | (125) | (130) |
Consumer - Second Mortgages [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 4,969 | 5,884 | 8,114 | |||
Allowance for loan losses | (101) | (6) | (87) | (114) | (179) | (196) |
Consumer - Other [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | 2,237 | 2,299 | 2,650 | |||
Allowance for loan losses | (17) | $ (20) | (20) | $ (25) | $ (25) | $ (29) |
Consumer [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Total loans | $ 19,489 | $ 21,674 |
Loans Receivable and Related _4
Loans Receivable and Related Allowance for Loan Losses (1) (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | Sep. 30, 2021 | |
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | $ 10,037,000 | $ 13,035,000 | $ 11,472,000 | $ 12,433,000 | $ 12,433,000 |
Charge-offs | (785,000) | (484,000) | (2,299,000) | (485,000) | (12,313,000) |
Recoveries | 49,000 | 50,000 | 128,000 | 103,000 | 176,000 |
Provisions | 0 | 0 | 0 | 550,000 | 11,176,000 |
Allowance for credit losses, Ending Balance | 9,301,000 | 12,601,000 | 9,301,000 | 12,601,000 | 11,472,000 |
Allowance for credit losses: Ending balance: individually evaluated for impairment | 243,000 | 1,514,000 | 243,000 | 1,514,000 | 1,544,000 |
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 9,058,000 | 11,087,000 | 9,058,000 | 11,087,000 | 9,928,000 |
Loans receivable | 808,037,000 | 986,428,000 | 808,037,000 | 986,428,000 | 913,824,000 |
Loans receivable: Ending balance: individually evaluated for impairment | 3,339,000 | 45,700,000 | 3,339,000 | 45,700,000 | 2,905,000 |
Loans Receivable: Ending balance: collectively evaluated for impairment | 804,698,000 | 940,728,000 | 804,698,000 | 940,728,000 | 910,919,000 |
Commercial and Industrial [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 791,000 | 600,000 | 2,221,000 | 578,000 | 578,000 |
Charge-offs | (764,000) | (2,194,000) | (379,000) | ||
Recoveries | 1,000 | 1,000 | 1,000 | 2,000 | |
Provisions | 1,169,000 | (43,000) | 1,169,000 | (22,000) | 2,020,000 |
Allowance for credit losses, Ending Balance | 1,197,000 | 557,000 | 1,197,000 | 557,000 | 2,221,000 |
Allowance for credit losses: Ending balance: individually evaluated for impairment | 5,000 | 5,000 | 1,488,000 | ||
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 1,192,000 | 557,000 | 1,192,000 | 557,000 | 733,000 |
Loans receivable | 101,354,000 | 94,706,000 | 101,354,000 | 94,706,000 | 115,246,000 |
Loans receivable: Ending balance: individually evaluated for impairment | 625,000 | 549,000 | 625,000 | 549,000 | 2,517,000 |
Loans Receivable: Ending balance: collectively evaluated for impairment | 100,729,000 | 94,157,000 | 100,729,000 | 94,157,000 | 112,729,000 |
Residential Mortgage [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 935,000 | 1,603,000 | 934,000 | 1,667,000 | 1,667,000 |
Recoveries | 1,000 | 1,000 | 41,000 | ||
Provisions | (121,000) | (175,000) | (121,000) | (240,000) | (774,000) |
Allowance for credit losses, Ending Balance | 814,000 | 1,428,000 | 814,000 | 1,428,000 | 934,000 |
Allowance for credit losses: Ending balance: individually evaluated for impairment | 58,000 | 58,000 | |||
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 756,000 | 1,428,000 | 756,000 | 1,428,000 | 934,000 |
Loans receivable | 177,669,000 | 218,165,000 | 177,669,000 | 218,165,000 | 198,710,000 |
Loans receivable: Ending balance: individually evaluated for impairment | 482,000 | 3,671,000 | 482,000 | 3,671,000 | |
Loans Receivable: Ending balance: collectively evaluated for impairment | 177,187,000 | 214,494,000 | 177,187,000 | 214,494,000 | 198,710,000 |
Construction and Development - Residential and Commercial [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 428,000 | 508,000 | 428,000 | 465,000 | 465,000 |
Recoveries | 4,000 | ||||
Provisions | (276,000) | 24,000 | (276,000) | 67,000 | (41,000) |
Allowance for credit losses, Ending Balance | 152,000 | 532,000 | 152,000 | 532,000 | 428,000 |
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 152,000 | 532,000 | 152,000 | 532,000 | 428,000 |
Loans receivable | 25,558,000 | 76,257,000 | 25,558,000 | 76,257,000 | 61,492,000 |
Loans Receivable: Ending balance: collectively evaluated for impairment | 25,558,000 | 76,257,000 | 25,558,000 | 76,257,000 | 61,492,000 |
Construction and Development - Land [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 15,000 | 24,000 | 15,000 | 23,000 | 23,000 |
Provisions | 12,000 | 12,000 | 1,000 | (8,000) | |
Allowance for credit losses, Ending Balance | 27,000 | 24,000 | 27,000 | 24,000 | 15,000 |
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 27,000 | 24,000 | 27,000 | 24,000 | 15,000 |
Loans receivable | 4,603,000 | 3,596,000 | 4,603,000 | 3,596,000 | 2,204,000 |
Loans Receivable: Ending balance: collectively evaluated for impairment | 4,603,000 | 3,596,000 | 4,603,000 | 3,596,000 | 2,204,000 |
Commercial Real Estate [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 7,118,000 | 7,973,000 | 7,043,000 | 8,682,000 | 8,682,000 |
Charge-offs | (484,000) | (484,000) | (11,930,000) | ||
Recoveries | 1,000 | 76,000 | 1,000 | 1,000 | |
Provisions | (914,000) | 888,000 | (914,000) | 178,000 | 10,290,000 |
Allowance for credit losses, Ending Balance | 6,205,000 | 8,377,000 | 6,205,000 | 8,377,000 | 7,043,000 |
Allowance for credit losses: Ending balance: individually evaluated for impairment | 1,476,000 | 1,476,000 | 18,000 | ||
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 6,205,000 | 6,901,000 | 6,205,000 | 6,901,000 | 7,025,000 |
Loans receivable | 400,974,000 | 482,611,000 | 400,974,000 | 482,611,000 | 426,915,000 |
Loans receivable: Ending balance: individually evaluated for impairment | 38,838,000 | 38,838,000 | 286,000 | ||
Loans Receivable: Ending balance: collectively evaluated for impairment | 400,974,000 | 443,773,000 | 400,974,000 | 443,773,000 | 426,629,000 |
Commercial Farmland [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 56,000 | 352,000 | 56,000 | 47,000 | 47,000 |
Provisions | 218,000 | (317,000) | 218,000 | (12,000) | 9,000 |
Allowance for credit losses, Ending Balance | 274,000 | 35,000 | 274,000 | 35,000 | 56,000 |
Allowance for credit losses: Ending balance: individually evaluated for impairment | 180,000 | 180,000 | |||
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 94,000 | 35,000 | 94,000 | 35,000 | 56,000 |
Loans receivable | 15,624,000 | 7,344,000 | 15,624,000 | 7,344,000 | 10,297,000 |
Loans receivable: Ending balance: individually evaluated for impairment | 2,232,000 | 2,266,000 | 2,232,000 | 2,266,000 | |
Loans Receivable: Ending balance: collectively evaluated for impairment | 13,392,000 | 5,078,000 | 13,392,000 | 5,078,000 | 10,297,000 |
Commercial Multi Family [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 450,000 | 508,000 | 450,000 | 511,000 | 511,000 |
Provisions | (123,000) | (2,000) | (123,000) | (5,000) | (61,000) |
Allowance for credit losses, Ending Balance | 327,000 | 506,000 | 327,000 | 506,000 | 450,000 |
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 327,000 | 506,000 | 327,000 | 506,000 | 450,000 |
Loans receivable | 54,789,000 | 67,122,000 | 54,789,000 | 67,122,000 | 66,332,000 |
Loans Receivable: Ending balance: collectively evaluated for impairment | 54,789,000 | 67,122,000 | 54,789,000 | 67,122,000 | 66,332,000 |
Commercial - Other [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 54,000 | 50,000 | 54,000 | 51,000 | 51,000 |
Provisions | (54,000) | (1,000) | (54,000) | (2,000) | 3,000 |
Allowance for credit losses, Ending Balance | 49,000 | 49,000 | 54,000 | ||
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 49,000 | 49,000 | 54,000 | ||
Loans receivable | 7,977,000 | 9,927,000 | 7,977,000 | 9,927,000 | 10,954,000 |
Loans Receivable: Ending balance: collectively evaluated for impairment | 7,977,000 | 9,927,000 | 7,977,000 | 9,927,000 | 10,954,000 |
Consumer - Home Equity Lines of Credit [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 76,000 | 125,000 | 76,000 | 130,000 | 130,000 |
Recoveries | 1,000 | 1,000 | 17,000 | ||
Provisions | 2,000 | (7,000) | 2,000 | (12,000) | (71,000) |
Allowance for credit losses, Ending Balance | 78,000 | 119,000 | 78,000 | 119,000 | 76,000 |
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 78,000 | 119,000 | 78,000 | 119,000 | 76,000 |
Loans receivable | 12,283,000 | 15,936,000 | 12,283,000 | 15,936,000 | 13,491,000 |
Loans receivable: Ending balance: individually evaluated for impairment | 24,000 | 24,000 | |||
Loans Receivable: Ending balance: collectively evaluated for impairment | 12,283,000 | 15,912,000 | 12,283,000 | 15,912,000 | 13,491,000 |
Consumer - Second Mortgages [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 6,000 | 179,000 | 87,000 | 196,000 | 196,000 |
Charge-offs | (21,000) | (105,000) | |||
Recoveries | 47,000 | 48,000 | 50,000 | 98,000 | 108,000 |
Provisions | 69,000 | (113,000) | 69,000 | (180,000) | (217,000) |
Allowance for credit losses, Ending Balance | 101,000 | 114,000 | 101,000 | 114,000 | 87,000 |
Allowance for credit losses: Ending balance: individually evaluated for impairment | 38,000 | 38,000 | 38,000 | ||
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 101,000 | 76,000 | 101,000 | 76,000 | 49,000 |
Loans receivable | 4,969,000 | 8,114,000 | 4,969,000 | 8,114,000 | 5,884,000 |
Loans receivable: Ending balance: individually evaluated for impairment | 352,000 | 352,000 | 102,000 | ||
Loans Receivable: Ending balance: collectively evaluated for impairment | 4,969,000 | 7,762,000 | 4,969,000 | 7,762,000 | 5,782,000 |
Consumer - Other [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 20,000 | 25,000 | 20,000 | 29,000 | 29,000 |
Charge-offs | (1,000) | (4,000) | |||
Recoveries | 1,000 | 1,000 | 2,000 | ||
Provisions | (3,000) | (1,000) | (3,000) | (4,000) | (7,000) |
Allowance for credit losses, Ending Balance | 17,000 | 25,000 | 17,000 | 25,000 | 20,000 |
Allowance for credit losses: Ending balance: collectively evaluated for impairment | 17,000 | 25,000 | 17,000 | 25,000 | 20,000 |
Loans receivable | 2,237,000 | 2,650,000 | 2,237,000 | 2,650,000 | 2,299,000 |
Loans Receivable: Ending balance: collectively evaluated for impairment | 2,237,000 | 2,650,000 | 2,237,000 | 2,650,000 | 2,299,000 |
Unallocated [Member] | |||||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 88,000 | 1,088,000 | 88,000 | 54,000 | 54,000 |
Provisions | 21,000 | (253,000) | 21,000 | 781,000 | 34,000 |
Allowance for credit losses, Ending Balance | 109,000 | 835,000 | 109,000 | 835,000 | 88,000 |
Allowance for credit losses: Ending balance: collectively evaluated for impairment | $ 109,000 | $ 835,000 | $ 109,000 | $ 835,000 | $ 88,000 |
Loans Receivable and Related _5
Loans Receivable and Related Allowance for Loan Losses (Narrative) (Detail) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Mar. 31, 2022USD ($) | Dec. 31, 2021USD ($)Number | Mar. 31, 2021USD ($) | Mar. 31, 2022USD ($)Number | Mar. 31, 2021USD ($) | Sep. 30, 2021USD ($)Number | |
Financing Receivable, Impaired [Line Items] | ||||||
Recoveries | $ 49,000 | $ 50,000 | $ 128,000 | $ 103,000 | $ 176,000 | |
Charge-offs | 785,000 | 484,000 | 2,299,000 | 485,000 | 12,313,000 | |
Net charge-offs | 1,500,000 | |||||
Provision for Loan Losses | 0 | 0 | 0 | 550,000 | 11,176,000 | |
Impaired loans with no specific allowance | 16,864,000 | 16,864,000 | 39,740,000 | |||
Valuation allowance recorded on loans held for sale | 1,700,000 | |||||
Valuation allowance adjustment | 395,000 | |||||
Valuation allowance reduced value | 1,300,000 | |||||
Non-accrual loans | 1,101,000 | 1,101,000 | 3,697,000 | |||
Non-accrual loans interest income | 20,000 | 407,000 | 23,000 | 545,000 | ||
Loans past due 90 days or more and still accruing interest | 3,000,000 | $ 3,000,000 | $ 0 | |||
Number of loans | Number | 22 | 22 | 26 | |||
Financing receivable, collateral dependent TDR loan | 6,200,000 | $ 6,210,000 | $ 6,200,000 | $ 18,241,000 | ||
Number of loans | Number | 4 | 8 | ||||
Special Mention [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Aggregate principal balance | 42,300,000 | $ 42,300,000 | $ 61,200,000 | |||
Minimum [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Impaired loans with no specific allowance | 22,900,000 | |||||
Maximum [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Impaired loans with no specific allowance | 39,700,000 | |||||
One Charged Offs [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Charge-offs | 485,000 | |||||
Two Charged Offs [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Charge-offs | 785,000 | |||||
Three Commercial Real Estate Loan [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Impaired loans with no specific allowance | 18,900,000 | 18,900,000 | ||||
One Commercial and Industrial Loan [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Impaired loans with no specific allowance | 2,200,000 | 2,200,000 | ||||
One Commercial and Industrial Loan Partial Written Down [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Charge-offs | 2,200,000 | |||||
Commercial Real Estate [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Recoveries | 1,000 | 76,000 | 1,000 | 1,000 | ||
Charge-offs | 484,000 | 484,000 | 11,930,000 | |||
Provision for Loan Losses | (914,000) | 888,000 | (914,000) | 178,000 | 10,290,000 | |
Impaired loans with no specific allowance | 13,840,000 | 13,840,000 | $ 33,543,000 | |||
Number of loans | Number | 3 | 5 | ||||
Financing receivable, collateral dependent TDR loan | $ 595,000 | $ 12,180,000 | ||||
Financing receivable TDR loans sold | 11,400,000 | 11,400,000 | ||||
Gains or losses recognized on sale of TDR loans | $ 0 | |||||
Number of loans | Number | 4 | 6 | ||||
Troubled Debt Restructurings Loans Perform Under Restructuring Term [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Number of loans | Number | 19 | |||||
Construction and Development - Residential and Commercial [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Recoveries | $ 4,000 | |||||
Provision for Loan Losses | (276,000) | $ 24,000 | $ (276,000) | $ 67,000 | (41,000) | |
Real estate through foreclosure | $ 0 | $ 0 | $ 185,000 | |||
New Troubled Debt Restructurings Loan [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Number of loans | Number | 2 |
Loans Receivable and Related _6
Loans Receivable and Related Allowance for Loan Losses (2) (Detail) - USD ($) | Mar. 31, 2022 | Sep. 30, 2021 |
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans With Specific Allowance, Recorded Investment | $ 3,339,000 | $ 2,905,000 |
Impaired Loans With Specific Allowance, Related Allowance | 243,000 | 1,544,000 |
Impaired Loans With No Specific Allowance, Recorded Investment | 16,864,000 | 39,740,000 |
Total Impaired Loans Recorded Investment | 20,203,000 | 42,645,000 |
Total Impaired Loans Unpaid Principal Balance | 20,203,000 | 42,874,000 |
Commercial and Industrial [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans With Specific Allowance, Recorded Investment | 625,000 | 2,517,000 |
Impaired Loans With Specific Allowance, Related Allowance | 5,000 | 1,488,000 |
Impaired Loans With No Specific Allowance, Recorded Investment | 356,000 | 630,000 |
Total Impaired Loans Recorded Investment | 981,000 | 3,147,000 |
Total Impaired Loans Unpaid Principal Balance | 981,000 | 3,584,000 |
Residential Mortgage [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans With Specific Allowance, Recorded Investment | 482,000 | |
Impaired Loans With Specific Allowance, Related Allowance | 58,000 | |
Impaired Loans With No Specific Allowance, Recorded Investment | 2,394,000 | 2,594,000 |
Total Impaired Loans Recorded Investment | 2,876,000 | 2,594,000 |
Total Impaired Loans Unpaid Principal Balance | 2,876,000 | 2,766,000 |
Commercial Real Estate [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans With Specific Allowance, Recorded Investment | 286,000 | |
Impaired Loans With Specific Allowance, Related Allowance | 18,000 | |
Impaired Loans With No Specific Allowance, Recorded Investment | 13,840,000 | 33,543,000 |
Total Impaired Loans Recorded Investment | 13,840,000 | 33,829,000 |
Total Impaired Loans Unpaid Principal Balance | 13,840,000 | 33,368,000 |
Consumer - Home Equity Lines of Credit [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans With No Specific Allowance, Recorded Investment | 21,000 | 23,000 |
Total Impaired Loans Recorded Investment | 21,000 | 23,000 |
Total Impaired Loans Unpaid Principal Balance | 21,000 | 28,000 |
Consumer - Second Mortgages [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans With Specific Allowance, Recorded Investment | 102,000 | |
Impaired Loans With Specific Allowance, Related Allowance | 38,000 | |
Impaired Loans With No Specific Allowance, Recorded Investment | 253,000 | 696,000 |
Total Impaired Loans Recorded Investment | 253,000 | 798,000 |
Total Impaired Loans Unpaid Principal Balance | 253,000 | 874,000 |
Commercial Farmland [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans With Specific Allowance, Recorded Investment | 2,232,000 | |
Impaired Loans With Specific Allowance, Related Allowance | 180,000 | |
Impaired Loans With No Specific Allowance, Recorded Investment | 2,254,000 | |
Total Impaired Loans Recorded Investment | 2,232,000 | 2,254,000 |
Total Impaired Loans Unpaid Principal Balance | $ 2,232,000 | $ 2,254,000 |
Loans Receivable and Related _7
Loans Receivable and Related Allowance for Loan Losses (3) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Financing Receivable, Impaired [Line Items] | ||||
Average Impaired Loans | $ 19,786 | $ 41,150 | $ 13,766 | $ 35,989 |
Interest Income Recognized on Impaired Loans | 57 | 190 | 106 | 313 |
Commercial and Industrial [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average Impaired Loans | 1,476 | 549 | 1,381 | 365 |
Interest Income Recognized on Impaired Loans | 5 | 5 | 10 | 7 |
Residential Mortgage [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average Impaired Loans | 2,610 | 3,383 | 1,727 | 3,434 |
Interest Income Recognized on Impaired Loans | 25 | 19 | 47 | 34 |
Commercial Farmland [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average Impaired Loans | 2,236 | 2,278 | 1,494 | 1,516 |
Interest Income Recognized on Impaired Loans | 20 | 19 | 40 | 19 |
Commercial Real Estate [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average Impaired Loans | 12,757 | 34,226 | 8,626 | 29,930 |
Interest Income Recognized on Impaired Loans | 7 | 145 | 9 | 250 |
Consumer - Home Equity Lines of Credit [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average Impaired Loans | 22 | 56 | 10 | 65 |
Consumer - Second Mortgages [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average Impaired Loans | $ 685 | 658 | $ 528 | 679 |
Interest Income Recognized on Impaired Loans | $ 2 | $ 3 |
Loans Receivable and Related _8
Loans Receivable and Related Allowance for Loan Losses (4) (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 | Mar. 31, 2021 |
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | $ 808,037 | $ 913,824 | $ 986,428 |
Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 752,459 | 839,631 | |
Special Mention [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 43,035 | 58,053 | |
Substandard [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 12,543 | 16,140 | |
Commercial and Industrial [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 101,354 | 115,246 | 94,706 |
Commercial and Industrial [Member] | Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 95,347 | 106,910 | |
Commercial and Industrial [Member] | Substandard [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 6,007 | 8,336 | |
Residential Mortgage [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 177,669 | 198,710 | 218,165 |
Residential Mortgage [Member] | Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 174,594 | 195,658 | |
Residential Mortgage [Member] | Substandard [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 3,075 | 3,052 | |
Construction and Development - Residential and Commercial [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 25,558 | 61,492 | 76,257 |
Construction and Development - Residential and Commercial [Member] | Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 25,558 | 61,492 | |
Construction and Development - Land [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 4,603 | 2,204 | 3,596 |
Construction and Development - Land [Member] | Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 4,603 | 2,204 | |
Commercial Real Estate [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 400,974 | 426,915 | 482,611 |
Commercial Real Estate [Member] | Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 357,298 | 376,721 | |
Commercial Real Estate [Member] | Special Mention [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 42,972 | 48,705 | |
Commercial Real Estate [Member] | Substandard [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 704 | 1,489 | |
Commercial Farmland [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 15,624 | 10,297 | 7,344 |
Commercial Farmland [Member] | Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 13,392 | 8,043 | |
Commercial Farmland [Member] | Substandard [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 2,232 | 2,254 | |
Commercial Multi Family [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 54,789 | 66,332 | 67,122 |
Commercial Multi Family [Member] | Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 54,789 | 57,052 | |
Commercial Multi Family [Member] | Special Mention [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 9,280 | ||
Commercial - Other [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 7,977 | 10,954 | 9,927 |
Commercial - Other [Member] | Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 7,977 | 10,954 | |
Consumer - Home Equity Lines of Credit [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 12,283 | 13,491 | 15,936 |
Consumer - Home Equity Lines of Credit [Member] | Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 12,107 | 13,390 | |
Consumer - Home Equity Lines of Credit [Member] | Substandard [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 176 | 101 | |
Consumer - Second Mortgages [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 4,969 | 5,884 | 8,114 |
Consumer - Second Mortgages [Member] | Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 4,560 | 4,908 | |
Consumer - Second Mortgages [Member] | Special Mention [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 63 | 68 | |
Consumer - Second Mortgages [Member] | Substandard [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 346 | 908 | |
Consumer - Other [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 2,237 | 2,299 | $ 2,650 |
Consumer - Other [Member] | Pass [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | 2,234 | $ 2,299 | |
Consumer - Other [Member] | Substandard [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and Leases, gross | $ 3 |
Loans Receivable and Related _9
Loans Receivable and Related Allowance for Loan Losses (5) (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 |
Financing Receivable, Impaired [Line Items] | ||
Total non-accrual loans | $ 1,101 | $ 3,697 |
Commercial and Industrial [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Total non-accrual loans | 285 | 2,517 |
Residential Mortgage [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Total non-accrual loans | 610 | 879 |
Consumer - Home Equity Lines of Credit [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Total non-accrual loans | 22 | 23 |
Consumer - Second Mortgages [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Total non-accrual loans | $ 184 | $ 278 |
Loans Receivable and Related_10
Loans Receivable and Related Allowance for Loan Losses (6) (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 | Mar. 31, 2021 |
Financing Receivable, Impaired [Line Items] | |||
Past Due | $ 2,374 | $ 1,935 | |
Total Loans Receivable | 808,037 | 913,824 | $ 986,428 |
Accruing 90 Days or More Past Due | 3,000 | 0 | |
Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 805,663 | 911,889 | |
30 to 59 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 2,176 | 900 | |
60 to 89 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 324 | ||
Equal to Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 198 | 711 | |
Commercial and Industrial [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 285 | ||
Total Loans Receivable | 101,354 | 115,246 | 94,706 |
Commercial and Industrial [Member] | Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 101,069 | 115,246 | |
Commercial and Industrial [Member] | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 285 | ||
Residential Mortgage [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 1,498 | 1,648 | |
Total Loans Receivable | 177,669 | 198,710 | 218,165 |
Residential Mortgage [Member] | Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 176,171 | 197,062 | |
Residential Mortgage [Member] | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 1,311 | 796 | |
Residential Mortgage [Member] | 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 241 | ||
Residential Mortgage [Member] | Equal to Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 187 | 611 | |
Construction and Development - Residential and Commercial [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Total Loans Receivable | 25,558 | 61,492 | 76,257 |
Construction and Development - Residential and Commercial [Member] | Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 25,558 | 61,492 | |
Construction and Development - Land [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Total Loans Receivable | 4,603 | 2,204 | 3,596 |
Construction and Development - Land [Member] | Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 4,603 | 2,204 | |
Commercial Real Estate [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 503 | ||
Total Loans Receivable | 400,974 | 426,915 | 482,611 |
Commercial Real Estate [Member] | Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 400,471 | 426,915 | |
Commercial Real Estate [Member] | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 503 | ||
Commercial Farmland [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Total Loans Receivable | 15,624 | 10,297 | 7,344 |
Commercial Farmland [Member] | Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 15,624 | 10,297 | |
Commercial Multi Family [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Total Loans Receivable | 54,789 | 66,332 | 67,122 |
Commercial Multi Family [Member] | Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 54,789 | 66,332 | |
Commercial - Other [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Total Loans Receivable | 7,977 | 10,954 | 9,927 |
Commercial - Other [Member] | Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 7,977 | 10,954 | |
Consumer - Home Equity Lines of Credit [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 77 | 97 | |
Total Loans Receivable | 12,283 | 13,491 | 15,936 |
Consumer - Home Equity Lines of Credit [Member] | Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 12,206 | 13,394 | |
Consumer - Home Equity Lines of Credit [Member] | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 77 | 97 | |
Consumer - Second Mortgages [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 8 | 187 | |
Total Loans Receivable | 4,969 | 5,884 | 8,114 |
Consumer - Second Mortgages [Member] | Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 4,961 | 5,697 | |
Consumer - Second Mortgages [Member] | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 4 | ||
Consumer - Second Mortgages [Member] | 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 83 | ||
Consumer - Second Mortgages [Member] | Equal to Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 8 | 100 | |
Consumer - Other [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 3 | 3 | |
Total Loans Receivable | 2,237 | 2,299 | $ 2,650 |
Consumer - Other [Member] | Financial Asset, Not Past Due, Current [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | 2,234 | 2,296 | |
Consumer - Other [Member] | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | $ 3 | ||
Consumer - Other [Member] | Equal to Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Past Due | $ 3 |
Loans Receivable and Related_11
Loans Receivable and Related Allowance for Loan Losses (7) (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended |
Dec. 31, 2021USD ($)Number | Mar. 31, 2022USD ($)Number | Sep. 30, 2021USD ($)Number | |
Financing Receivable, Impaired [Line Items] | |||
Total Troubled Debt Restructurings, Number of Loans | Number | 22 | 22 | 26 |
Total Troubled Debt Restructurings, Recorded Investment | $ | $ 6,210 | $ 6,200 | $ 18,241 |
Troubled Debt Restructured Loans That Have Defaulted on Modified Terms Within The Past 12 Months, Number of Loans | Number | 2 | 4 | |
Troubled Debt Restructured Loans That Have Defaulted on Modified Terms Within The Past 12 Months, Recorded Investment | $ | $ 504 | $ 640 | |
Commercial and Industrial [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Total Troubled Debt Restructurings, Number of Loans | Number | 1 | 1 | |
Total Troubled Debt Restructurings, Recorded Investment | $ | $ 625 | $ 549 | |
Residential Mortgage [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Total Troubled Debt Restructurings, Number of Loans | Number | 14 | 16 | |
Total Troubled Debt Restructurings, Recorded Investment | $ | $ 2,689 | $ 3,180 | |
Troubled Debt Restructured Loans That Have Defaulted on Modified Terms Within The Past 12 Months, Number of Loans | Number | 4 | ||
Troubled Debt Restructured Loans That Have Defaulted on Modified Terms Within The Past 12 Months, Recorded Investment | $ | $ 640 | ||
Commercial Farmland [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Total Troubled Debt Restructurings, Number of Loans | Number | 1 | 1 | |
Total Troubled Debt Restructurings, Recorded Investment | $ | $ 2,232 | $ 2,254 | |
Commercial Real Estate [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Total Troubled Debt Restructurings, Number of Loans | Number | 3 | 5 | |
Total Troubled Debt Restructurings, Recorded Investment | $ | $ 595 | $ 12,180 | |
Troubled Debt Restructured Loans That Have Defaulted on Modified Terms Within The Past 12 Months, Number of Loans | Number | 2 | ||
Troubled Debt Restructured Loans That Have Defaulted on Modified Terms Within The Past 12 Months, Recorded Investment | $ | $ 504 | ||
Consumer - Second Mortgages [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Total Troubled Debt Restructurings, Number of Loans | Number | 3 | 3 | |
Total Troubled Debt Restructurings, Recorded Investment | $ | $ 69 | $ 78 |
Loans Receivable and Related_12
Loans Receivable and Related Allowance for Loan Losses (8) (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 |
Recorded Investment | $ 6,200 | $ 6,210 | $ 18,241 |
Performing Financing Receivable [Member] | |||
Recorded Investment | 5,787 | 17,601 | |
Nonperforming Financing Receivable [Member] | |||
Recorded Investment | 423 | 640 | |
Commercial and Industrial [Member] | |||
Recorded Investment | 625 | 549 | |
Commercial and Industrial [Member] | Performing Financing Receivable [Member] | |||
Recorded Investment | 625 | 549 | |
Residential Mortgage [Member] | |||
Recorded Investment | 2,689 | 3,180 | |
Residential Mortgage [Member] | Performing Financing Receivable [Member] | |||
Recorded Investment | 2,266 | 2,540 | |
Residential Mortgage [Member] | Nonperforming Financing Receivable [Member] | |||
Recorded Investment | 423 | 640 | |
Commercial Farmland [Member] | |||
Recorded Investment | 2,232 | 2,254 | |
Commercial Farmland [Member] | Performing Financing Receivable [Member] | |||
Recorded Investment | 2,232 | 2,254 | |
Commercial Real Estate [Member] | |||
Recorded Investment | 595 | 12,180 | |
Commercial Real Estate [Member] | Performing Financing Receivable [Member] | |||
Recorded Investment | 595 | 12,180 | |
Consumer - Second Mortgages [Member] | |||
Recorded Investment | $ 69 | 78 | |
Consumer - Second Mortgages [Member] | Performing Financing Receivable [Member] | |||
Recorded Investment | $ 69 | $ 78 |
Loans Receivable and Related_13
Loans Receivable and Related Allowance for Loan Losses (9) (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Mar. 31, 2021USD ($)Number | Mar. 31, 2022USD ($)Number | Mar. 31, 2021USD ($)Number | |
Financing Receivable, Impaired [Line Items] | |||
Number of Contracts | Number | 2 | 2 | 2 |
Pre-Modifications Outstanding Recorded Investment | $ 2,836 | $ 986 | $ 2,836 |
Post-Modification Outstanding Recorded Investment | $ 2,836 | $ 986 | $ 2,836 |
Commercial and Industrial [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Number of Contracts | Number | 1 | 1 | 1 |
Pre-Modifications Outstanding Recorded Investment | $ 549 | $ 504 | $ 549 |
Post-Modification Outstanding Recorded Investment | $ 549 | $ 504 | $ 549 |
Residential Mortgage [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Number of Contracts | Number | 1 | ||
Pre-Modifications Outstanding Recorded Investment | $ 482 | ||
Post-Modification Outstanding Recorded Investment | $ 482 | ||
Commercial Farmland [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Number of Contracts | Number | 1 | 1 | |
Pre-Modifications Outstanding Recorded Investment | $ 2,287 | $ 2,287 | |
Post-Modification Outstanding Recorded Investment | $ 2,287 | $ 2,287 |
Loans Receivable and Related_14
Loans Receivable and Related Allowance for Loan Losses (10) (Detail) $ in Thousands | 6 Months Ended | 12 Months Ended |
Mar. 31, 2022USD ($)Number | Sep. 30, 2021USD ($)Number | |
Financing Receivable, Impaired [Line Items] | ||
Number of Loans | Number | 4 | 8 |
Loan Modified Exposure | $ 42,321 | $ 61,234 |
Gross Loans | $ 808,037 | $ 913,824 |
Percentage of Gross Loans on Modified | 5.24% | 6.70% |
Commercial and Industrial [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Gross Loans | $ 101,354 | $ 115,246 |
Percentage of Gross Loans on Modified | 0.00% | 0.00% |
Residential Mortgage [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Number of Loans | Number | 2 | |
Loan Modified Exposure | $ 667 | |
Gross Loans | $ 177,669 | $ 198,710 |
Percentage of Gross Loans on Modified | 0.00% | 0.07% |
Construction and Development - Residential and Commercial [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Gross Loans | $ 25,558 | $ 61,492 |
Percentage of Gross Loans on Modified | 0.00% | 0.00% |
Construction And Development Land | ||
Financing Receivable, Impaired [Line Items] | ||
Gross Loans | $ 4,603 | $ 2,204 |
Percentage of Gross Loans on Modified | 0.00% | 0.00% |
Construction And Development [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Gross Loans | $ 30,161 | $ 63,696 |
Percentage of Gross Loans on Modified | 0.00% | 0.00% |
Commercial Real Estate [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Number of Loans | Number | 4 | 6 |
Loan Modified Exposure | $ 42,321 | $ 60,567 |
Gross Loans | $ 400,974 | $ 426,915 |
Percentage of Gross Loans on Modified | 5.24% | 6.63% |
Commercial Farmland [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Gross Loans | $ 15,624 | $ 10,297 |
Percentage of Gross Loans on Modified | 0.00% | 0.00% |
Commercial Multi Family [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Gross Loans | $ 54,789 | $ 66,332 |
Percentage of Gross Loans on Modified | 0.00% | 0.00% |
Commercial - Other [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Gross Loans | $ 7,977 | $ 10,954 |
Percentage of Gross Loans on Modified | 0.00% | 0.00% |
Commercial [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Number of Loans | Number | 4 | 6 |
Loan Modified Exposure | $ 42,321 | $ 60,567 |
Gross Loans | $ 580,718 | $ 629,744 |
Percentage of Gross Loans on Modified | 5.24% | 6.63% |
Consumer - Home Equity Lines of Credit [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Gross Loans | $ 12,283 | $ 13,491 |
Percentage of Gross Loans on Modified | 0.00% | 0.00% |
Consumer - Second Mortgages [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Gross Loans | $ 4,969 | $ 5,884 |
Percentage of Gross Loans on Modified | 0.00% | 0.00% |
Consumer - Other [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Gross Loans | $ 2,237 | $ 2,299 |
Percentage of Gross Loans on Modified | 0.00% | 0.00% |
Consumer [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Gross Loans | $ 19,489 | $ 21,674 |
Percentage of Gross Loans on Modified | 0.00% | 0.00% |
Regulatory Matters (Narrative)
Regulatory Matters (Narrative) (Detail) - Malvern Federal Savings Bank [Member] | Mar. 31, 2022 | Sep. 30, 2021 | Jan. 01, 2019 | Jan. 01, 2016 | Jan. 01, 2015 | Dec. 31, 2014 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||||||
Common equity Tier 1 capital ratio | 7 | 4.5 | 4 | |||
Tier 1 capital ratio | 6 | 6 | 8.5 | 6 | ||
Tier 1 Capital conservation buffer | 2.50% | |||||
Total capital ratio | 19.31 | 17.32 | 10.5 | |||
Capital conservation buffer percentage of risk-weighted assets | 0.625% |
Regulatory Matters (Detail)
Regulatory Matters (Detail) $ in Thousands | Mar. 31, 2022USD ($) | Sep. 30, 2021USD ($) | Jan. 01, 2016 | Jan. 01, 2015 |
Parent Company [Member] | ||||
Capital (to adjusted tangible assets): Actual Amount | $ 144,898 | $ 142,132 | ||
Common equity Tier 1(to risk-weighted assets): Actual Amount | 144,898 | 142,132 | ||
Tier 1 Capital (to risk-weighted assets): Actual Amount | 144,898 | 142,132 | ||
Total Capital (to risk-weighted assets): Actual Amount | $ 179,280 | $ 178,620 | ||
Capital (to adjusted tangible assets): Actual Ratio | 12.83 | 11.84 | ||
Common equity Tier 1(to risk-weighted assets): Actual Ratio | 16.38 | 14.53 | ||
Tier 1 Capital (to risk-weighted assets): Actual Ratio | 16.38 | 14.53 | ||
Total Capital (to risk-weighted assets): Actual Ratio | 20.27 | 18.26 | ||
Capital (to adjusted tangible assets): For Capital Adequacy Purposes Amount | $ 45,158 | $ 48,020 | ||
Common Equity Tier 1 Capital (to risk weighted assets) | 39,804 | 44,024 | ||
Tier 1 Capital (to risk weighted assets) | 53,073 | 58,699 | ||
Total Capital (to risk weighted assets) | $ 70,763 | $ 78,265 | ||
Capital (to adjusted tangible assets): For Capital Adequacy Purposes Ratio | 4 | 4 | ||
Common Equity Tier 1 Capital (to risk weighted assets) | 4.50 | 4.50 | ||
Tier 1 Capital (to risk weighted assets) | 6 | 6 | ||
Total Capital (to risk weighted assets) | 8 | 8 | ||
Malvern Federal Savings Bank [Member] | ||||
Capital (to adjusted tangible assets): Actual Amount | $ 160,992 | $ 157,518 | ||
Common equity Tier 1(to risk-weighted assets): Actual Amount | 160,992 | 157,518 | ||
Tier 1 Capital (to risk-weighted assets): Actual Amount | 160,992 | 157,518 | ||
Total Capital (to risk-weighted assets): Actual Amount | $ 170,374 | $ 169,072 | ||
Capital (to adjusted tangible assets): Actual Ratio | 14.29 | 13.14 | ||
Common equity Tier 1(to risk-weighted assets): Actual Ratio | 18.25 | 16.13 | ||
Tier 1 Capital (to risk-weighted assets): Actual Ratio | 18.25 | 16.13 | ||
Total Capital (to risk-weighted assets): Actual Ratio | 19.31 | 17.32 | 10.5 | |
Capital (to adjusted tangible assets): For Capital Adequacy Purposes Amount | $ 45,074 | $ 47,946 | ||
Common Equity Tier 1 Capital (to risk weighted assets) | 39,802 | 43,934 | ||
Tier 1 Capital (to risk weighted assets) | 52,936 | 58,579 | ||
Total Capital (to risk weighted assets) | $ 70,582 | $ 78,105 | ||
Capital (to adjusted tangible assets): For Capital Adequacy Purposes Ratio | 4 | 4 | ||
Common Equity Tier 1 Capital (to risk weighted assets) | 4.50 | 4.50 | ||
Tier 1 Capital (to risk weighted assets) | 6 | 6 | 8.5 | 6 |
Total Capital (to risk weighted assets) | 8 | 8 | ||
Capital (to adjusted tangible assets): To be Well Capitalized under Prompt Corrective Action Provisions Capital Amount | $ 56,343 | $ 59,933 | ||
Common Equity Tier 1 Capital (to risk weighted assets) | 57,347 | 63,460 | ||
Tier 1 Capital (to risk weighted assets) | 70,582 | 78,105 | ||
Total Capital (to risk weighted assets) | $ 88,227 | $ 97,632 | ||
Capital (to adjusted tangible assets): To be Well Capitalized under Prompt Corrective Action Provisions Ratio | 5 | 5 | ||
Common Equity Tier 1 Capital (to risk weighted assets) | 6.50 | 6.50 | ||
Tier 1 Capital (to risk weighted assets) | 8 | 8 | ||
Total Capital (to risk weighted assets) | 10 | 10 |
Derivatives and Hedging Activ_3
Derivatives and Hedging Activities (Narrative) (Detail) - USD ($) | 6 Months Ended | |
Mar. 31, 2022 | Sep. 30, 2021 | |
Derivative [Line Items] | ||
Minimum collateral posting thresholds with derivative counterparties | $ 0 | $ 8,300,000 |
Cash Flow Hedges [Member] | Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Short-term fixed-rate advances | $ 20,000,000 | |
Short-term fixed-rate advances, hedging period | 4 years | |
Short-term fixed-rate advances, rolling maturity period | 90 days | |
Interest Rate Swap [Member] | ||
Derivative [Line Items] | ||
Estimated interest expense | $ 10,000 |
Derivatives and Hedging Activ_4
Derivatives and Hedging Activities (Detail) - Interest Rate Swap Agreements [Member] - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 |
Designated as Hedging Instrument [Member] | Other Assets [Member] | ||
Derivative [Line Items] | ||
Notional Amount, Asset Derivatives | $ 60,000 | $ 40,000 |
Fair Value | 2,224 | 14 |
Designated as Hedging Instrument [Member] | Other Liabilities [Member] | ||
Derivative [Line Items] | ||
Notional Amount, Liability Derivatives | 30,000 | |
Fair Value | 47 | |
Derivatives Not Designated As Hedging Instrument [Member] | Other Assets [Member] | ||
Derivative [Line Items] | ||
Notional Amount, Asset Derivatives | 44,535 | 44,748 |
Fair Value | 2,860 | 4,671 |
Derivatives Not Designated As Hedging Instrument [Member] | Other Liabilities [Member] | ||
Derivative [Line Items] | ||
Notional Amount, Liability Derivatives | 44,535 | 44,748 |
Fair Value | $ 2,862 | $ 4,673 |
Derivatives and Hedging Activ_5
Derivatives and Hedging Activities - Schedule of Offsetting of Derivative Assets and Liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 |
Offsetting of Derivative Assets | ||
Gross Amounts of Recognized Assets | $ 5,084 | $ 4,685 |
Net Amounts of Assets presented in the Statement of Financial Condition | 5,084 | 4,685 |
Gross Amounts Not Offset in the Statements of Financial Condition, Financial Instruments | 1,975 | |
Gross Amounts Not Offset in the Statements of Financial Condition, Net Amount | 3,109 | 4,685 |
Offsetting of Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 2,862 | 4,720 |
Net Amounts of Liabilities presented in the Statement of Financial Condition | 2,862 | 4,720 |
Gross Amounts Not Offset in the Statements of Financial Condition, Financial Instruments | 1,975 | 221 |
Gross Amounts Not Offset in the Statements of Financial Condition, Cash Collateral Posted | 8,257 | |
Gross Amounts Not Offset in the Statements of Financial Condition, Net Amount | $ 887 | $ (3,758) |
Derivatives and Hedging Activ_6
Derivatives and Hedging Activities - Statement of Operations Relating to The Cash Flow Derivative Instrument (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Derivative [Line Items] | ||||
Amount of Gain Recognized in OCI on Derivative | $ 1,748 | $ 322 | $ 2,142 | $ 314 |
Amount of Loss Reclassified from OCI to Interest Expense | (26) | (243) | (111) | (523) |
Interest Rate Swap Agreements [Member] | ||||
Derivative [Line Items] | ||||
Amount of Gain Recognized in OCI on Derivative | 1,748 | 322 | 2,142 | 314 |
Amount of Loss Reclassified from OCI to Interest Expense | $ (26) | $ (243) | $ (111) | $ (523) |
Derivatives and Hedging Activ_7
Derivatives and Hedging Activities - Schedule of Effects of Derivative Instruments on Consolidated Statements of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Derivative [Line Items] | ||||
Amount of Gain (Loss) Recognized in OCI on Derivative | $ 1,748 | $ 322 | $ 2,142 | $ 314 |
Interest Rate Swap Agreements [Member] | ||||
Derivative [Line Items] | ||||
Amount of Gain (Loss) Recognized in OCI on Derivative | 1,748 | 322 | 2,142 | 314 |
Derivatives Not Designated As Hedging Instrument [Member] | ||||
Derivative [Line Items] | ||||
Amount of Gain (Loss) Recognized in OCI on Derivative | 1 | 2 | 2 | 3 |
Derivatives Not Designated As Hedging Instrument [Member] | Interest Rate Swap Agreements [Member] | Other Income [Member] | ||||
Derivative [Line Items] | ||||
Amount of Gain (Loss) Recognized in OCI on Derivative | $ 1 | $ 2 | $ 2 | $ 3 |
Fair Value Measurements (Detail
Fair Value Measurements (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 |
Assets | ||
Investment securities available for sale, at fair value | $ 54,183 | $ 40,813 |
Equity investment securities, at fair value | 1,445 | 1,500 |
Derivative instruments | 5,084 | 4,685 |
Liabilities | ||
Derivative instruments | 2,862 | 4,720 |
U. S. Government Agencies [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 4,442 | 4,993 |
State And Municipal Obligations [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 9,951 | 2,765 |
Single Issuer Trust Preferred Security [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 922 | 875 |
Corporate Debt Securities [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 34,950 | 32,180 |
Mutual Funds [Member] | ||
Assets | ||
Equity investment securities, at fair value | 1,445 | 1,500 |
Fair Value, Measurements, Recurring [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 54,183 | 40,813 |
Equity investment securities, at fair value | 1,445 | 1,500 |
Total investment securities available for sale | 55,628 | 42,313 |
Derivative instruments | 5,804 | 4,685 |
Liabilities | ||
Derivative instruments | 2,862 | 4,720 |
Fair Value, Measurements, Recurring [Member] | U. S. Government Agencies [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 4,442 | 4,993 |
Fair Value, Measurements, Recurring [Member] | State And Municipal Obligations [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 9,951 | 2,765 |
Fair Value, Measurements, Recurring [Member] | Single Issuer Trust Preferred Security [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 922 | 875 |
Fair Value, Measurements, Recurring [Member] | Corporate Debt Securities [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 34,950 | 32,180 |
Fair Value, Measurements, Recurring [Member] | Mortgage Backed Securities Other [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 2,439 | |
Fair Value, Measurements, Recurring [Member] | US Treasury Notes Securities[ Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 1,479 | |
Fair Value, Measurements, Recurring [Member] | Mutual Funds [Member] | ||
Assets | ||
Equity investment securities, at fair value | 1,445 | 1,500 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Assets | ||
Equity investment securities, at fair value | 945 | 1,000 |
Total investment securities available for sale | 945 | 1,000 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Mutual Funds [Member] | ||
Assets | ||
Equity investment securities, at fair value | 945 | 1,000 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 54,183 | 40,813 |
Total investment securities available for sale | 54,183 | 40,813 |
Derivative instruments | 5,804 | 4,685 |
Liabilities | ||
Derivative instruments | 2,862 | 4,720 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | U. S. Government Agencies [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 4,442 | 4,993 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | State And Municipal Obligations [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 9,951 | 2,765 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Single Issuer Trust Preferred Security [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 922 | 875 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Corporate Debt Securities [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 34,950 | 32,180 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Mortgage Backed Securities Other [Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 2,439 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | US Treasury Notes Securities[ Member] | ||
Assets | ||
Investment securities available for sale, at fair value | 1,479 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Assets | ||
Equity investment securities, at fair value | 500 | 500 |
Total investment securities available for sale | 500 | 500 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Mutual Funds [Member] | ||
Assets | ||
Equity investment securities, at fair value | $ 500 | $ 500 |
Fair Value Measurements (1) (De
Fair Value Measurements (1) (Detail) - Fair Value, Inputs, Level 3 [Member] - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Beginning balance | $ 500 | $ 500 |
Payments received | 0 | 0 |
Included in earnings | 0 | 0 |
Included in other comprehensive income | 0 | 0 |
Purchases | 0 | 0 |
Transfers in and/or out of Level 3 | 0 | 0 |
Ending balance | $ 500 | $ 500 |
Fair Value Measurements (2) (De
Fair Value Measurements (2) (Detail) $ in Thousands | Mar. 31, 2022USD ($) | Sep. 30, 2021USD ($) |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other Real Estate Owned, Measurement Input | 0.04 | 0.064 |
Impaired Loans, Measurement Input | 0.12 | |
Fair Value, Inputs, Level 3 [Member] | Weighted Average [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other Real Estate Owned, Measurement Input | 0.04 | 0.064 |
Impaired Loans, Measurement Input | 0.12 | 0.08 |
Fair Value, Inputs, Level 3 [Member] | Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired Loans, Measurement Input | 0.040 | |
Fair Value, Inputs, Level 3 [Member] | Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired Loans, Measurement Input | 0.120 | |
Fair Value, Measurements, Nonrecurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring basis | $ 21,780 | $ 38,837 |
Fair Value, Measurements, Nonrecurring [Member] | Other Real Estate Owned [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring basis | 4,961 | 4,961 |
Fair Value, Measurements, Nonrecurring [Member] | Impaired Loans Net [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring basis | 16,819 | 33,876 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring basis | 18,900 | |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | Impaired Loans Net [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring basis | 18,900 | |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring basis | 21,780 | 19,937 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | Other Real Estate Owned [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring basis | 4,961 | 4,961 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | Impaired Loans Net [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring basis | $ 16,819 | $ 14,976 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Detail) | 12 Months Ended | |
Sep. 30, 2021USD ($)Number | Mar. 31, 2022USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired Loans with aggregate balance for four loans | $ 35,400,000 | $ 16,500,000 |
Impaired Loans with specific loan loss allowance | 1,544,000 | 243,000 |
Impaired Loans With No Specific Allowance, Recorded Investment | 39,740,000 | $ 16,864,000 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired Loans With No Specific Allowance, Recorded Investment | $ 13,600,000 | |
Four Commercial Real Estate Loans [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Number of loans classified as loans held for sale | Number | 4 | |
Impaired Loans With No Specific Allowance, Recorded Investment | $ 33,200,000 | |
Three Commercial Real Estate Loans [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Number of loans classified as loans held for sale | Number | 3 | |
Impaired Loans With No Specific Allowance, Recorded Investment | $ 19,600,000 |
Fair Value Measurements (3) (De
Fair Value Measurements (3) (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 |
Financial assets: | ||
Investment securities available-for-sale | $ 54,183 | $ 40,813 |
Investment securities held-to-maturity | 45,716 | 28,913 |
Equity securities Fair Value | 1,445 | 1,500 |
Derivatives (included in Other Assets) | 5,084 | 4,685 |
Financial liabilities: | ||
Derivatives (included in Other Liabilities) | 2,862 | 4,720 |
Equity securities Fair Value | 1,445 | 1,500 |
Carrying Amount [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 122,023 | 136,590 |
Investment securities available-for-sale | 54,183 | 40,813 |
Investment securities held-to-maturity | 48,512 | 28,507 |
Equity securities Fair Value | 1,445 | 1,500 |
Loans held for sale | 13,244 | 33,199 |
Loans receivable, net (including impaired loans) | 799,310 | 902,981 |
Accrued interest receivable | 3,478 | 3,512 |
Restricted stock | 6,462 | 7,776 |
Mortgage servicing rights (included in Other Assets) | 96 | 83 |
Derivatives (included in Other Assets) | 5,084 | 4,685 |
Financial liabilities: | ||
Savings accounts | 54,074 | 50,582 |
Checking and NOW accounts | 357,180 | 390,494 |
Money market accounts | 328,324 | 385,480 |
Certificates of deposit | 114,859 | 111,603 |
Borrowings (excluding sub debt) | 60,000 | 90,000 |
Subordinated debt | 25,000 | 24,934 |
Derivatives (included in Other Liabilities) | 2,862 | 4,720 |
Accrued interest payable | 352 | 572 |
Equity securities Fair Value | 1,445 | 1,500 |
Loans held for sale | 13,244 | 33,199 |
Fair Value [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 122,023 | 136,590 |
Investment securities available-for-sale | 54,183 | 40,813 |
Investment securities held-to-maturity | 45,716 | 28,913 |
Equity securities Fair Value | 1,445 | 1,500 |
Loans held for sale | 13,244 | 33,199 |
Loans receivable, net (including impaired loans) | 785,164 | 900,357 |
Accrued interest receivable | 3,478 | 3,512 |
Restricted stock | 6,462 | 7,776 |
Mortgage servicing rights (included in Other Assets) | 103 | 83 |
Derivatives (included in Other Assets) | 5,084 | 4,685 |
Financial liabilities: | ||
Savings accounts | 54,074 | 50,582 |
Checking and NOW accounts | 357,180 | 390,494 |
Money market accounts | 328,324 | 385,480 |
Certificates of deposit | 116,240 | 113,323 |
Borrowings (excluding sub debt) | 60,066 | 90,215 |
Subordinated debt | 25,043 | 25,027 |
Derivatives (included in Other Liabilities) | 2,862 | 4,720 |
Accrued interest payable | 352 | 572 |
Equity securities Fair Value | 1,445 | 1,500 |
Loans held for sale | 13,244 | 33,199 |
Fair Value, Inputs, Level 1 [Member] | Fair Value [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 122,023 | 136,590 |
Equity securities Fair Value | 945 | 1,000 |
Loans held for sale | 19,583 | |
Financial liabilities: | ||
Equity securities Fair Value | 945 | 1,000 |
Loans held for sale | 19,583 | |
Fair Value, Inputs, Level 2 [Member] | Fair Value [Member] | ||
Financial assets: | ||
Investment securities available-for-sale | 54,183 | 40,813 |
Investment securities held-to-maturity | 45,716 | 28,913 |
Accrued interest receivable | 3,478 | 3,512 |
Restricted stock | 6,462 | 7,776 |
Mortgage servicing rights (included in Other Assets) | 103 | 83 |
Derivatives (included in Other Assets) | 5,084 | 4,685 |
Financial liabilities: | ||
Savings accounts | 54,074 | 50,582 |
Checking and NOW accounts | 357,180 | 390,494 |
Money market accounts | 328,324 | 385,480 |
Certificates of deposit | 116,240 | 113,323 |
Borrowings (excluding sub debt) | 60,066 | 90,215 |
Subordinated debt | 25,027 | 25,027 |
Derivatives (included in Other Liabilities) | 2,862 | 4,720 |
Accrued interest payable | 352 | 572 |
Fair Value, Inputs, Level 3 [Member] | Fair Value [Member] | ||
Financial assets: | ||
Equity securities Fair Value | 500 | 500 |
Loans held for sale | 13,244 | 13,616 |
Loans receivable, net (including impaired loans) | 785,164 | 900,357 |
Financial liabilities: | ||
Equity securities Fair Value | 500 | 500 |
Loans held for sale | $ 13,244 | $ 13,616 |
Comprehensive Income (Detail)
Comprehensive Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | ||
Equity [Abstract] | |||||
Net unrealized holding (losses) gains on available-for-sale securities | $ (2,588) | $ 7 | $ (2,737) | $ 464 | |
Reclassification adjustment for net gains arising during the period | [1] | (259) | (614) | ||
Amortization of unrealized holding losses on securities transferred from available-for-sale to held-to-maturity | [2] | 2 | 1 | 4 | 2 |
Adjustment for loss recorded on replacement of derivative | (2) | (4) | |||
Fair value adjustments on derivatives | 1,773 | 567 | 2,252 | 840 | |
Other comprehensive (loss) income before taxes | (813) | 314 | (481) | 688 | |
Tax effect | 169 | (65) | 98 | (144) | |
Total other comprehensive (loss) income | $ (644) | $ 249 | $ (383) | $ 544 | |
[1] | Amounts are included in net gains on sale and call of investments on the Consolidated Statements of Operations in total other income. | ||||
[2] | Amounts are included in interest and dividends on investment securities on the Consolidated Statements of Operations. |
Equity Based Incentive Compen_3
Equity Based Incentive Compensation Plan (Narrative) (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Granted shares | 0 | 0 | 0 | 0 |
Share-based compensation | $ 109,000 | $ 102,000 | ||
Granted shares | 5,131 | 0 | 5,131 | 0 |
Restricted Stock [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Forfeited shares | 2,336 | |||
Malvern Bancorp, Inc. 2014 Long Term Incentive Compensation Plan (the 2014 Plan) [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Maximum number of shares available for grants | 400,000 | 400,000 | ||
Number of remaining shares available for future grants | 294,157 | 294,157 | ||
Description of vesting right | Restricted stock and option awards granted typically vest annually in 20% increments beginning on the one-year anniversary of the grant date | |||
Granted shares | 0 | 0 | 0 | 0 |
Share-based compensation | $ 9,000 | $ 8,000 | $ 18,000 | $ 16,000 |
Stock options, forfeited | 2,000 | 0 | 2,000 | 0 |
Stock options, expired | 0 | 0 | ||
Compensation cost not yet recognized | $ 65,000 | $ 65,000 | ||
Weighted average period | 2 years 11 months 19 days | |||
Malvern Bancorp, Inc. 2014 Long Term Incentive Compensation Plan (the 2014 Plan) [Member] | Restricted Stock [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Share-based compensation | $ 68,000 | $ 42,000 | $ 111,000 | $ 86,000 |
Granted shares | 5,131 | 0 | 5,131 | 0 |
Forfeited shares | 2,336 | 0 | 2,336 | 0 |
Compensation cost not yet recognized | $ 436,000 | $ 436,000 | ||
Weighted average period | 3 years 2 months 12 days | |||
Malvern Bancorp, Inc. 2014 Long Term Incentive Compensation Plan (the 2014 Plan) [Member] | First Year Anniversary [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
First vesting percentage | 20.00% | |||
First vesting period | 1 year |
Equity Based Incentive Compen_4
Equity Based Incentive Compensation Plan (Detail) - Stock Option [Member] - Malvern Bancorp, Inc. 2014 Long Term Incentive Compensation Plan (the 2014 Plan) [Member] | 3 Months Ended |
Mar. 31, 2022$ / shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Weighted Average Fair Value of Awards | $ 6.06 |
Risk Free Rate | 1.25% |
Volatility | 29.72% |
Expected Life | 6 years 6 months |
Equity Based Incentive Compen_5
Equity Based Incentive Compensation Plan 1 (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||||
Granted | 0 | 0 | 0 | 0 |
Malvern Bancorp, Inc. 2014 Long Term Incentive Compensation Plan (the 2014 Plan) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||||
Outstanding, beginning of year | 32,830 | 25,830 | ||
Granted | 0 | 0 | 0 | 0 |
Forfeited/cancelled/expired | 2,000 | |||
Outstanding, end of year | 30,830 | 25,830 | 30,830 | 25,830 |
Exercisable at end of year | 17,680 | 13,310 | 17,680 | 13,310 |
Nonvested at end of year | 13,150 | 12,520 | 13,150 | 12,520 |
Forfeited/cancelled/expired | (2,000) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | ||||
Outstanding, beginning of year | $ 20.96 | $ 21.57 | ||
Forfeited/cancelled/expired | 19.49 | |||
Outstanding, end of year | $ 21.05 | $ 21.57 | 21.05 | 21.57 |
Exercisable at end of year | 21.70 | 21.53 | 21.70 | 21.53 |
Nonvested at end of year | $ 20.19 | $ 21.61 | $ 20.19 | $ 21.61 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Weighted Average Remaining Contractual Life [Roll Forward] | ||||
Outstanding, end of year | 6 years 9 months 15 days | 6 years 8 months 9 days | ||
Exercisable at end of year | 5 years 10 months 11 days | 7 years 11 months 26 days | ||
Nonvested at end of year | 8 years 13 days | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Aggregate Intrinsic Value [Roll Forward] | ||||
Outstanding, beginning of year | $ 1,940 | |||
Outstanding, end of year | $ 180 | 180 | ||
Exercisable at end of year | $ 180 | $ 180 |
Equity Based Incentive Compen_6
Equity Based Incentive Compensation Plan 2 - Restricted Stock Awards (Detail) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||||
Granted | 5,131 | 0 | 5,131 | 0 |
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||||
Forfeited/cancelled/expired | (2,336) | |||
Restricted Stock [Member] | Malvern Bancorp, Inc. 2014 Long Term Incentive Compensation Plan (the 2014 Plan) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||||
Outstanding, beginning of year | 31,486 | 30,653 | ||
Granted | 5,131 | 0 | 5,131 | 0 |
Vested | (6,711) | (7,978) | ||
Forfeited/cancelled/expired | (2,336) | 0 | (2,336) | 0 |
Outstanding, end of year | 27,570 | 22,675 | 27,570 | 22,675 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||||
Outstanding, beginning of year | $ 21.10 | $ 21.98 | ||
Granted | 15.50 | |||
Vested | 22.17 | 21.92 | ||
Forfeited/cancelled/expired | 20.54 | |||
Outstanding, end of year | $ 19.82 | $ 22 | $ 19.82 | $ 22 |
Deposits (Detail)
Deposits (Detail) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 |
Deposits: | ||
Savings | $ 54,074 | $ 50,582 |
Money market accounts | 328,324 | 385,480 |
Interest-bearing demand | 302,468 | 336,645 |
Non-interest-bearing demand | 54,712 | 53,849 |
Total deposits before certificates of deposit | 739,578 | 826,556 |
Certificates of deposit | 114,859 | 111,603 |
Total Deposits | $ 854,437 | $ 938,159 |
Percentage of savings | 6.33% | 5.39% |
Percentage of money market accounts | 38.43% | 41.09% |
Percentage of interest bearing demand | 35.40% | 35.88% |
Percentage of non-interest bearing demand | 6.40% | 5.74% |
Percentage of total deposits before certificates of deposit | 86.56% | 88.10% |
Percentage of certificates of deposit | 13.44% | 11.90% |
Percentage of total deposits | 100.00% | 100.00% |
Deposits (Narrative) (Detail)
Deposits (Narrative) (Detail) - USD ($) $ in Millions | Mar. 31, 2022 | Sep. 30, 2021 |
Deposits: | ||
Certificates of deposit greater than or equal to $250,000 | $ 17.1 | $ 16.5 |
Brokered deposits | $ 9 | $ 6.1 |
Deposits 1 (Detail)
Deposits 1 (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Deposits: | ||||
Savings accounts | $ 12 | $ 16 | $ 24 | $ 34 |
Money market accounts | 219 | 676 | 497 | 1,467 |
Interest-bearing demand | 323 | 478 | 780 | 1,026 |
Certificates of deposit | 274 | 635 | 572 | 1,535 |
Total | $ 828 | $ 1,805 | $ 1,873 | $ 4,062 |
Deposits (2) (Detail)
Deposits (2) (Detail) $ in Thousands | Mar. 31, 2022USD ($) |
Deposits: | |
2023 | $ 59,415 |
2024 | 34,728 |
2025 | 8,365 |
2026 | 7,079 |
2027 | 4,122 |
Thereafter | 1,150 |
Total | $ 114,859 |
Deposits (3) (Detail)
Deposits (3) (Detail) $ in Thousands | Mar. 31, 2022USD ($) |
Offsetting [Abstract] | |
Contract maturities of certificate of deposits in amount greater than $100,000, Three months or less | $ 10,277 |
Contract maturities of certificate of deposits in amount greater than $100,000, Over three through six months | 8,090 |
Contract maturities of certificate of deposits in amount greater than $100,000, Over six through twelve months | 15,093 |
Contract maturities of certificate of deposits in amount greater than $100,000, Over twelve months | 31,085 |
Contract maturities of certificate of deposits in amount greater than $100,000, Total | $ 64,545 |
Subordinated Debt (Narrative) (
Subordinated Debt (Narrative) (Detail) - Subordinated Notes [Member] - USD ($) | Feb. 07, 2017 | Mar. 31, 2022 |
Debt Instrument [Line Items] | ||
Aggregate principal amount | $ 25,000 | |
Fixed interest rate | 6.125% | 5.10% |
Description of fixed-to-floating interest rate terms | From February 7, 2017 to February 15, 2022, the Notes had a fixed rate of 6.125%. During the period ended March 31, 2022, the note rate converted from fixed to a variable interest rate. The rate at march 31, 2022 was 5.10%. All costs related to 2017 issuance have been amortized. As of March 31, 2022, the Notes bear interest until the maturity date or early redemption date at a variable rat equal to the then current three-month LIBOR rate plus 414.5 basis points. | |
3-month LIBOR [Member] | ||
Debt Instrument [Line Items] | ||
Variable interest rate | 4.145% |