Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Mar. 16, 2018 | Jun. 30, 2017 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | MELR | ||
Entity Registrant Name | MELROSE BANCORP, INC. | ||
Entity Central Index Key | 1,600,890 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Common Stock, Shares Outstanding | 2,600,743 | ||
Entity Public Float | $ 46.6 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Cash and due from banks | $ 8,903 | $ 11,715 |
Money market funds | 3,963 | 2,077 |
Federal funds sold | 4,737 | |
Cash and cash equivalents | 17,603 | 13,792 |
Investments in available-for-sale securities, at fair value | 26,496 | 31,831 |
Federal Home Loan Bank stock, at cost | 1,800 | 964 |
Loans, net of allowance for loan losses of $1,134 at December 31, 2017 and $890 at December 31, 2016 | 251,317 | 213,165 |
Premises and equipment, net | 1,993 | 1,248 |
Co-operative Central Bank deposit | 886 | 881 |
Bank-owned life insurance | 6,090 | 5,874 |
Accrued interest receivable | 702 | 572 |
Deferred tax asset, net | 364 | 120 |
Other assets | 275 | 199 |
Total assets | 307,526 | 268,646 |
Deposits: | ||
Noninterest-bearing | 16,180 | 17,586 |
Interest-bearing | 216,741 | 197,180 |
Total deposits | 232,921 | 214,766 |
Federal Home Loan Bank advances | 29,000 | 10,000 |
Other liabilities | 612 | 576 |
Total liabilities | 262,533 | 225,342 |
Stockholders' equity: | ||
Common stock, par value $0.01 per share, authorized 15,000,000 shares; issued 2,600,743 shares at December 31, 2017 and 2,602,079 at December 31, 2016 | 26 | 26 |
Additional paid-in-capital | 23,496 | 23,292 |
Retained earnings | 23,674 | 21,912 |
Unearned compensation - ESOP (196,184 shares unallocated at December 31, 2017 and 203,728 shares at December 31, 2016) | (1,961) | (2,037) |
Unearned compensation - restricted stock | (451) | (585) |
Accumulated other comprehensive income | 209 | 696 |
Total stockholders' equity | 44,993 | 43,304 |
Total liabilities and stockholders' equity | $ 307,526 | $ 268,646 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Allowance for loan losses | $ 1,134 | $ 890 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 15,000,000 | 15,000,000 |
Common stock, shares issued | 2,600,743 | 2,602,079 |
ESOP number of shares unallocated | 196,184 | 203,728 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Interest and dividend income: | ||
Interest and fees on loans | $ 8,168 | $ 6,551 |
Interest and dividends on securities: | ||
Taxable | 534 | 740 |
Tax-exempt | 69 | 59 |
Other interest | 170 | 55 |
Total interest and dividend income | 8,941 | 7,405 |
Interest expense: | ||
Interest on deposits | 1,853 | 1,618 |
Interest on Federal Home Loan Bank advances | 330 | 22 |
Total interest expense | 2,183 | 1,640 |
Net interest and dividend income | 6,758 | 5,765 |
Provision for loan losses | 245 | 310 |
Net interest and dividend income, after (benefit)/provision for loan losses | 6,513 | 5,455 |
Noninterest income: | ||
Fees and service charges | 88 | 76 |
Gain on sales of available-for-sale securities, net | 1,385 | 1,004 |
Income on bank-owned life insurance | 162 | 141 |
Other income | 8 | 14 |
Total noninterest income | 1,643 | 1,235 |
Noninterest expense: | ||
Salaries and employee benefits | 3,240 | 2,772 |
Occupancy expense | 375 | 300 |
Equipment expense | 45 | 37 |
Data processing expense | 400 | 370 |
Advertising expense | 193 | 146 |
Printing and supplies | 48 | 39 |
FDIC assessment | 65 | 116 |
Audits and examinations | 201 | 212 |
Other professional services | 320 | 328 |
Other expense | 223 | 152 |
Total noninterest expense | 5,110 | 4,472 |
Loss before undistributed income of subsidiary and income tax expense (benefit) | 3,046 | 2,218 |
Income tax expense | 1,242 | 796 |
Net income | $ 1,804 | $ 1,422 |
Weighted average common shares outstanding: | ||
Basic | 2,367,424 | 2,426,687 |
Diluted | 2,372,297 | 2,427,498 |
Earnings per share: | ||
Basic | $ 0.76 | $ 0.59 |
Diluted | $ 0.76 | $ 0.59 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 1,804 | $ 1,422 |
Other comprehensive loss, net of tax: | ||
Net unrealized holding gain on available-for-sale securities | 478 | 285 |
Reclassification adjustment for net realized gains included in net income | (1,385) | (1,004) |
Other comprehensive loss before income tax effect | (907) | (719) |
Income tax benefit | 378 | 269 |
Other comprehensive loss, net of tax | (529) | (450) |
Comprehensive income | $ 1,275 | $ 972 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in-Capital [Member] | Retained Earnings [Member] | Unearned Compensation - ESOP [Member] | Unearned Compensation - RSA [Member] | Accumulated Other Comprehensive Income [Member] |
Beginning balance at Dec. 31, 2015 | $ 45,545 | $ 28 | $ 25,994 | $ 20,490 | $ (2,113) | $ 1,146 | |
Beginning balance, shares at Dec. 31, 2015 | 2,787,579 | ||||||
Net income | 1,422 | 1,422 | |||||
Other comprehensive loss, net of tax | (450) | (450) | |||||
Restricted stock awarded | 670 | $ (670) | |||||
Restricted stock awarded, shares | 44,300 | ||||||
Restricted stock award expense | 85 | 85 | |||||
Stock option expense | 106 | 106 | |||||
Buyback of common stock | $ (3,520) | $ (2) | (3,518) | ||||
Buyback of common stock, shares | (229,800) | (229,800) | |||||
Common stock held by ESOP committed to be allocated | $ 116 | 40 | 76 | ||||
Ending balance at Dec. 31, 2016 | 43,304 | $ 26 | 23,292 | 21,912 | (2,037) | (585) | 696 |
Ending balance, shares at Dec. 31, 2016 | 2,602,079 | ||||||
Net income | 1,804 | 1,804 | |||||
Other comprehensive loss, net of tax | (529) | (529) | |||||
Shares repurchased for tax withholdings on stock-based compensation | (22) | (22) | |||||
Shares repurchased for tax withholdings on stock-based compensation, shares | (1,336) | ||||||
Restricted stock award expense | 134 | 134 | |||||
Stock option expense | $ 166 | 166 | |||||
Buyback of common stock, shares | (1,336) | ||||||
Common stock held by ESOP committed to be allocated | $ 136 | 60 | 76 | ||||
Reclassification adjustment for stranded accumulated other comprehensive income due to tax rate change | 42 | (42) | 42 | ||||
Ending balance at Dec. 31, 2017 | $ 44,993 | $ 26 | $ 23,496 | $ 23,674 | $ (1,961) | $ (451) | $ 209 |
Ending balance, shares at Dec. 31, 2017 | 2,600,743 |
Consolidated Statements of Cha7
Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - shares | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Stockholders' Equity [Abstract] | ||
Common stock held by ESOP committed to be allocated, shares | 7,544 | 7,546 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | ||
Net income | $ 1,804 | $ 1,422 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Amortization of securities, net of accretion | 144 | 37 |
Gain on sales of available-for-sale securities, net | (1,385) | (1,004) |
Provision for loan losses | 245 | 310 |
Change in net deferred loan costs | (3) | 77 |
Change in unamortized premiums | (113) | (372) |
Depreciation | 187 | 85 |
Increase in accrued interest receivable | (130) | (132) |
Increase in other assets | (76) | (4) |
Increase in other liabilities | 36 | 17 |
Deferred tax expense | 134 | 71 |
Income on bank-owned life insurance | (162) | (141) |
ESOP expense | 136 | 116 |
Stock-based compensation expense | 300 | 191 |
Net cash provided by operating activities | 1,117 | 673 |
Cash flows from investing activities: | ||
Purchases of available-for-sale securities | (4,214) | (4,991) |
Proceeds from sales of available-for-sale securities | 4,498 | 9,321 |
Proceeds from maturities and calls of available-for-sale securities | 5,385 | 9,230 |
Purchases of Federal Home Loan Bank stock | (836) | (527) |
Increase in Cooperative Central Bank deposit | (5) | |
Loan originations and principal collections, net | (18,785) | (18,286) |
Loans purchased | (19,496) | (34,591) |
Capital expenditures | (932) | (107) |
Premiums paid on bank-owned life insurance | (54) | (503) |
Net cash (used in) provided by investing activities | (34,439) | (40,454) |
Cash flows from financing activities: | ||
Net increase in demand deposits, NOW and savings accounts | 5,640 | 3,969 |
Net increase in time deposits | 12,515 | 26,270 |
Proceeds from Federal Home Loan Bank advances | 19,000 | 10,000 |
Shares repurchased for tax withholdings on stock-based compensation | (22) | |
Repurchase of Melrose Bancorp, Inc. common stock | (3,520) | |
Net cash provided by financing activities | 37,133 | 36,719 |
Net increase (decrease) in cash and cash equivalents | 3,811 | (3,062) |
Cash and cash equivalents at beginning of the year | 13,792 | 16,854 |
Cash and cash equivalents at end of the year | 17,603 | 13,792 |
Supplemental disclosures: | ||
Interest paid | 2,184 | 1,634 |
Income taxes paid | 1,181 | $ 644 |
Reclassification adjustment for stranded accumulated other comprehensive income due to tax rate change | $ 42 |
Nature of Operations
Nature of Operations | 12 Months Ended |
Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations | NOTE 1 – NATURE OF OPERATIONS Melrose Cooperative Bank (the “Bank”) is a state chartered co-operative On October 21, 2014, in accordance with a Plan of Conversion (Conversion), Melrose Cooperative Bank completed a mutual-to-stock As set forth above, in connection with the Conversion, the Bank established and funded the Melrose Cooperative Bank Foundation (Foundation) with 106,170 shares of the Company’s common stock, plus a cash contribution of $300,000. This contribution resulted in recognition of expense of $1,362,000 in the year ended December 31, 2014 based on the $10 per share offering price, plus $300,000 of cash. The Foundation supports charitable causes and community development activities in the Bank’s area of operations. Also, in connection with the Conversion, the Bank established an employee stock ownership plan (ESOP), which purchased 226,366 shares of the Company’s common stock at a price of $10 per share. The Bank, at the time of the Conversion, established a Liquidation Account in an amount equal to the net worth of the Bank as of the date of the latest consolidated statement of financial condition contained in the final prospectus distributed in connection with the Conversion. The function of the Liquidation Account is to establish a priority on liquidation. The Liquidation Account will be maintained by the Company for the benefit of the eligible account holders who continue to maintain deposit accounts with the Bank following the conversion. Each eligible account holder shall, with respect to each deposit account, hold a related inchoate interest in a portion of the Liquidation Account balance, in relation to each deposit account balance at the eligibility record date, or to such balance as it may be subsequently reduced, as hereinafter provided. The initial Liquidation Account balance shall not be increased, and shall be subject to downward adjustment to the extent of any downward adjustment of any subaccount balance of any eligible account holder in accordance with the Regulations of the Division of Banks of the Commonwealth of Massachusetts. In the unlikely event of a complete liquidation of the Bank (and only in such event), following all liquidation payments to creditors (including those to depositors to the extent of their deposit accounts) each eligible account holder shall be entitled to receive a liquidating distribution from the Liquidation Account, in the amount of the then-adjusted subaccount balances for his or her deposit accounts then held, before any liquidating distribution may be made to any holder of the Bank’s capital stock. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accounting and reporting policies of the Company and its subsidiary conform to accounting principles generally accepted in the United States of America (GAAP) and predominant practices within the banking industry. The consolidated financial statements were prepared using the accrual basis of accounting. The significant accounting policies are summarized below to assist the reader in better understanding the consolidated financial statements and other data contained herein. BASIS OF PRESENTATION: The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary the Bank, and the Bank’s wholly-owned subsidiary, MCBSC, Inc., which is used to hold investment securities. All significant intercompany accounts and transactions have been eliminated in the consolidation. USE OF ESTIMATES: In preparing consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the consolidated balance sheet and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The material estimate that is particularly susceptible to significant change in the near-term relates to the determination of the allowance for loan losses. RECLASSIFICATIONS: Certain amounts in the prior year have been reclassified to be consistent with the current year’s presentation. CASH AND CASH EQUIVALENTS: For purposes of reporting cash flows, cash and cash equivalents include cash, amounts due from banks, money market funds and federal funds sold. SECURITIES: Investments in debt securities are adjusted for amortization of premiums and accretion of discounts computed so as to approximate the interest method. Gains or losses on sales of investment securities are computed on a specific identification basis. The Company classifies all debt and equity securities as available-for-sale. Available-for-sale For any debt security with a fair value less than its amortized cost basis, the Company will determine whether it has the intent to sell the debt security or whether it is more likely than not it will be required to sell the debt security before the recovery of its amortized cost basis. If either condition is met, the Company will recognize a full impairment charge to earnings. For all other debt securities that are considered other-than-temporarily impaired and do not meet either condition, the credit loss portion of impairment will be recognized in earnings as realized losses. The other-than-temporary impairment related to all other factors will be recorded in other comprehensive loss. Declines in marketable equity securities below their cost that are deemed other-than-temporary are reflected in earnings as realized losses. FEDERAL HOME LOAN BANK STOCK: As a member of the Federal Home Loan Bank of Boston, the Company is required to invest in $100 par value stock of the FHLB. The FHLB capital structure mandates that members must own stock as determined by their Total Stock Investment Requirement which is the sum of a member’s Membership Stock Investment Requirement and Activity-Based Stock Investment Requirement. Management evaluates the Company’s investment in FHLB stock for other-than-temporary impairment at least on a quarterly basis and more frequently when economic or market conditions warrant such evaluation. Based on its most recent analysis of the FHLB as of December 31, 2017, management deems its investment in FHLB stock to be not other-than-temporarily impaired. LOANS: Loans receivable that management has the intent and ability to hold until maturity or payoff are reported at their outstanding principal balances adjusted for amounts due to borrowers on outstanding home equity lines of credit, commercial lines of credit and construction loans, any charge-offs, the allowance for loan losses and any deferred fees or costs on originated loans, or unamortized premiums or discounts on purchased loans. Loan origination and commitment fees and certain direct origination costs are deferred, and the net amount amortized as an adjustment of the related loan’s yield. The Company is amortizing these amounts over the expected lives of the related loans. Residential real estate loans are generally placed on nonaccrual when reaching 90 days past due or are in the process of foreclosure. All closed-end Cash receipts of interest income on impaired loans are credited to principal to the extent necessary to eliminate doubt as to the collectability of the net carrying amount of the loan. Some or all of the cash receipts of interest income on impaired loans are recognized as interest income if the remaining net carrying amount of the loan is deemed to be fully collectible. When recognition of interest income on an impaired loan on a cash basis is appropriate, the amount of income that is recognized is limited to that which would have been accrued on the net carrying amount of the loan at the contractual interest rate. Any cash interest payments received in excess of the limit and not applied to reduce the net carrying amount of the loan are recorded as recoveries of charge-offs until the charge-offs are fully recovered. ALLOWANCE FOR LOAN LOSSES: The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectability of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The allowance for loan losses is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. General Component: The general component of the allowance for loan losses is based on historical loss experience adjusted for qualitative factors stratified by the following loan segments: one- The qualitative factors are determined based on the various risk characteristics of each loan segment. Risk characteristics relevant to each portfolio segment are as follows: One- loan-to-value loan-to-value Commercial real estate: Loans in this segment are primarily income-producing properties throughout Massachusetts. The underlying cash flows generated by the properties are adversely impacted by a downturn in the economy as evidenced by increased vacancy rates, which in turn, will have an effect on the credit quality in this segment. Loans in this segment also include loans secured by multifamily dwellings. Management periodically obtains rent rolls and continually monitors the cash flows of these loans. Construction: Loans in this segment primarily include speculative real estate development loans for which payment is derived from sale of the property. Credit risk is affected by cost overruns, time to sell at an adequate price, and market conditions. Consumer: Loans in this segment are generally secured and repayment is dependent on the credit quality of the individual borrower. Loans in this segment include auto loans and other consumer loans. Allocated Component: The allocated component relates to loans that are classified as impaired. Impairment is measured on a loan by loan basis for commercial real estate and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the collateral if the loan is collateral dependent. An allowance is established when the discounted cash flows (or collateral value) of the impaired loan is lower than the carrying value of that loan. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not separately identify individual consumer and one- A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case The Company periodically may agree to modify the contractual terms of loans. When a loan is modified and a concession is made to a borrower experiencing financial difficulty, the modification is considered a troubled debt restructuring (“TDR”). All TDRs are initially classified as impaired. Unallocated Component: An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating allocated and general reserves in the portfolio. PREMISES AND EQUIPMENT: Land is carried at cost. Buildings and equipment are stated at cost, less accumulated depreciation and amortization. Cost and related allowances for depreciation and amortization of premises and equipment retired or otherwise disposed of are removed from the respective accounts with any gain or loss included in income or expense. Depreciation and amortization are calculated principally on the straight-line method over the estimated useful lives of the assets. Estimated lives are 15 to 30 years for buildings and 3 to 10 years for furniture and equipment. Premises and equipment are periodically evaluated for impairment when events or changes in circumstances indicate the carrying amount may not be recoverable. Impairment exists when the expected undiscounted future cash flows of premises and equipment are less than its carrying amount. In that event, the Company records a loss for the difference between the carrying amount and the fair value of the asset based on quoted market prices, if applicable, or a discounted cash flow analysis. BANK-OWNED LIFE INSURANCE: The Company has purchased insurance policies on the lives of certain directors, executive officers and employees. Bank-owned life insurance policies are reflected on the consolidated balance sheets at cash surrender value. Changes in net cash surrender value of the policies, as well as insurance proceeds received, are reflected in non-interest ADVERTISING: The Company directly expenses costs associated with advertising as they are incurred. INCOME TAXES: The Company recognizes income taxes under the asset and liability method. Under this method, deferred tax assets and liabilities are established for the temporary differences between the accounting basis and the tax basis of the Company’s assets and liabilities at enacted tax rates expected to be in effect when the amounts related to such temporary differences are realized or settled. EMPLOYEE STOCK OWNERSHIP PLAN: Compensation expense for the Employee Stock Ownership Plan (“ESOP”) is recorded at an amount equal to the shares allocated by the ESOP multiplied by the average fair value of the shares during the period. Unearned compensation applicable to the ESOP is reflected as a reduction of stockholders’ equity in the consolidated balance sheets. The difference between the average fair value and the cost of shares allocated by the ESOP is recorded as an adjustment to additional paid-in STOCK-BASED COMPENSATION: The Company recognizes stock-based compensation based on the grant-date fair value of the award. Forfeitures will be recognized when they occur. The Company values share-based stock option awards granted using the Black-Scholes option-pricing model. The Company recognizes compensation expense for its awards on a straight-line basis over the requisite service period for the entire award (straight-line attribution method), ensuring that the amount of compensation cost recognized at any date at least equals the portion of the grant-date fair value of the award that is vested at that time. EARNINGS PER SHARE (EPS): When presented, basic EPS is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the entity. For the purposes of computing diluted EPS, the treasury stock method is used. Unallocated ESOP shares and unearned shares of restricted stock are not deemed outstanding for earnings per share calculations. The calculation of basic and diluted EPS is presented below. Year Ended Year Ended (Dollars in thousands, except earnings per share) Net income $ 1,804 $ 1,422 Basic Common Shares: Weighted average common shares outstanding 2,601,223 2,660,521 Weighted average shares – unearned restricted stock (33,843 ) (26,333 ) Weighted average unallocated ESOP shares (199,956 ) (207,501 ) Basic weighted average shares outstanding 2,367,424 2,426,687 Diluted effect of unvested stock options — — Dilutive effect of unvested restricted stock awards 4,873 811 Diluted weighted average shares outstanding 2,372,297 2,427,498 Basic earnings per share $ 0.76 $ 0.59 Diluted earnings per share (1) $ 0.76 $ 0.59 (1) Options to purchase 224,200 shares, representing all outstanding options, were not included in the computation of diluted earnings per share for the years ended December 31, 2017 and 2016 because the effect is anti-dilutive. FAIR VALUES OF FINANCIAL INSTRUMENTS: Accounting Standards Codification (ASC) 825, “Financial Instruments,” requires that the Company disclose the estimated fair value for its financial instruments. Fair value methods and assumptions used by the Company in estimating its fair value disclosures are as follows: Cash and cash equivalents: The carrying amounts reported in the consolidated balance sheets for cash and cash equivalents approximate those assets’ fair values. Securities: Fair values for securities are based on quoted market prices, where available. If quoted market prices are not available, fair values are based on quoted market prices of comparable instruments. Loans receivable: For variable-rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. The fair values for other loans are estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. Accrued interest receivable: The carrying amount of accrued interest receivable approximates its fair value. Deposit liabilities: The fair values disclosed for demand deposits (e.g., interest and non-interest Federal Home Loan Bank advances: The fair values of FHLB advances are estimated using discounted cash flow analyses based on the current incremental borrowing rates for similar types of borrowing arrangements. RECENT ACCOUNTING PRONOUNCEMENTS: As an “emerging growth company,” as defined in Title 1 of Jumpstart Our Business Startups (JOBS) Act, the Company has elected to use the extended transition period to delay adoption of new or reissued accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies. Accordingly, the consolidated financial statements may not be comparable to the financial statements of public companies that comply with such new or revised accounting standards. As of December 31, 2017, there is no significant difference in the comparability of the financial statements as a result of this extended transition period. The extended transition period for an emerging growth company is five years, and the Company’s emerging growth status will end on December 31, 2019. In May 2014 and August 2015, respectively, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update ASU 2014-09 2015-14, 2014-09 2015-14 2014-09 2014-09, non-interest Form 10-Q. In January 2016, the FASB issued ASU 2016-01, 825-10): 1. Require equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income. However, the entity may choose to measure equity investments that do not have readily determinable fair values at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same manner. 2. Simplify the impairment assessment of equity investments without determinable fair values by requiring a qualitative assessment to identify impairment. When a qualitative assessment indicates that impairment exists, an entity is required to measure the investment at fair value. 3. Eliminate the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet. 4. Require public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes. 5. Require an entity to present separately in other comprehensive income the portion of the total change in fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. 6. Require separate presentation of financial assets and financial liabilities by measurement category and form of financial assets (that is, securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements. 7. Clarify that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale Under the extended transition period for an emerging growth company, the amendments in this Update are effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption of item 5 above is permitted as of the beginning of fiscal years or interim periods for which financial statements have not been issued. Early adoption of all other amendments in this ASU is not permitted. The Company is currently evaluating the amendments of ASU No. 2016-01 In February 2016, the FASB issued ASU 2016-02, In March 2016, the FASB issued ASU No. 2016-09, paid-in-capital No. 2016-09 In June 2016, the FASB issued ASU No. 2016-13, available-for-sale No. 2016-13 In March 2017, the FASB issued ASU 2017-08, No. 2017-08 No. 2017-08 In February 2018, the FASB issued ASU 2018-02, 2018-02 2018-02 |
Investments in Available-For-Sa
Investments in Available-For-Sale Securities | 12 Months Ended |
Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Available-For-Sale Securities | NOTE 3 – INVESTMENTS IN AVAILABLE-FOR-SALE Debt and equity securities have been classified in the consolidated balance sheets according to management’s intent. The amortized cost basis of securities and their approximate fair values are as follows as of December 31: Amortized Gross Gross Fair (In Thousands) December 31, 2017: U.S. Government and federal agency obligations $ 5,390 $ — $ 65 $ 5,325 Debt securities issued by states of the United States and political subdivisions of the states 2,898 12 29 2,881 Corporate bonds and notes 11,364 7 77 11,294 Preferred stock 3,000 13 — 3,013 Mortgage-backed securities 1,495 — 47 1,448 Marketable equity securities 2,046 490 1 2,535 $ 26,193 $ 522 $ 219 $ 26,496 December 31, 2016: U.S. Government and federal agency obligations $ 5,819 $ — $ 131 $ 5,688 Debt securities issued by states of the United States and political subdivisions of the states 2,695 2 41 2,656 Corporate bonds and notes 12,537 17 61 12,493 Preferred stock 3,000 20 82 2,938 Mortgage-backed securities 1,498 — 66 1,432 Marketable equity securities 5,072 1,557 5 6,624 $ 30,621 $ 1,596 $ 386 $ 31,831 The scheduled maturities of debt securities as of December 31, 2017 are as follows: Fair (In Thousands) Due within one year $ 3,496 Due after one year through five years 12,038 Due after five years through ten years 2,390 Due after ten years 2,077 Mortgage-backed securities 1,448 Asset-backed securities 1,509 $ 22,958 Not included in the maturity table above is preferred stock with no stated maturity of $1.0 million at December 31, 2017. There were no securities of issuers whose aggregate carrying amount exceeded 10% of stockholders’ equity at December 31, 2017. During the year ended December 31, 2017, proceeds from the sales of available-for-sale available-for-sale The Company had no pledged securities as of December 31, 2017 and December 31, 2016. The aggregate fair value and unrealized losses of securities that have been in a continuous unrealized loss position for less than twelve months and for twelve months or more, and are not other-than-temporarily impaired, are as follows as of December 31: Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In Thousands) December 31, 2017 U.S. Government and federal agency obligations $ 2,855 $ 20 $ 2,470 $ 45 $ 5,325 $ 65 Debt securities issued by states of the United States and political subdivisions of the states 991 6 535 23 1,526 29 Corporate bonds and notes 4,467 24 3,946 53 8,413 77 Mortgage-backed securities 453 6 995 41 1,448 47 Marketable equity securities 485 1 — — 485 1 Total temporarily impaired securities $ 9,251 $ 57 $ 7,946 $ 162 $ 17,197 $ 219 December 31, 2016 U.S. Government and federal agency obligations $ 4,359 $ 59 $ 1,328 $ 72 $ 5,687 $ 131 Debt securities issued by states of the United States and political subdivisions of the states 1,760 28 245 13 2,005 41 Corporate bonds and notes 5,784 61 — — 5,784 61 Preferred stock 1,918 82 — — 1,918 82 Mortgage-backed securities 370 8 1,062 58 1,432 66 Marketable equity securities 2,235 5 — — 2,235 5 Total temporarily impaired securities $ 16,426 $ 243 $ 2,635 $ 143 $ 19,061 $ 386 The Company conducts periodic reviews of investment securities with unrealized losses to evaluate whether the impairment is other-than-temporary. The Company’s review for impairment generally includes a determination of the cause, severity and duration of the impairment; and an analysis of both positive and negative evidence available. The Company also determines if it has the ability and intent to hold the investment for a period of time sufficient to allow for anticipated recovery to cost basis. Based on the Company’s recent review of securities in the investment portfolio, management deemed securities with unrealized losses as of December 31, 2017 to be temporarily impaired and has the ability and intent to hold these securities until recovery to cost basis occurs. A summary of this review is as follows. Unrealized losses on U.S. Government and federal agency obligations amounted to $65,000 and consisted of eleven securities; seven of which had unrealized losses that were each individually less than 2% of amortized cost basis, and four of which had unrealized losses between 2% and 5% of amortized cost basis. Unrealized losses on municipal bonds amounted to $29,000 and consisted of four securities; three of which had unrealized losses that were each individually less than 3% of amortized cost basis, and one of which had an unrealized loss of 6% of amortized cost basis. Unrealized losses on corporate bonds and notes amounted to $77,000 and consisted of sixteen securities, eleven of which had unrealized losses that were 1% or less of amortized cost basis, and five of which had unrealized losses that were each individually between 1% and 4%. Unrealized losses on mortgage-backed securities amounted to $47,000 and consisted of five securities; all with unrealized losses from 2% to 7% of amortized cost basis. Unrealized losses on marketable equity securities amounted to $1,000 and consisted of one equity security with an unrealized loss of 0.2% of amortized cost basis. The unrealized losses on all of these debt securities were primarily due to changes in interest rates. The unrealized loss on equity securities was primarily due to market fluctuations. In regard to corporate debt, the Company also considers the issuer’s current financial condition and its ability to make future scheduled interest and principal payments on a timely basis in assessing other-than-temporary impairment. During 2017 and 2016, there were there were no available-for-sale |
Loans
Loans | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Loans | NOTE 4 – LOANS Loans consisted of the following: December 31, December 31, (In Thousands) Real estate loans: One-to four-family residential $ 189,763 $ 168,111 Home equity loans and lines of credit 11,585 10,720 Commercial 34,686 23,011 Construction 15,853 11,738 Consumer loans 44 71 Total loans 251,931 213,651 Allowance for loan losses (1,134 ) (890 ) Deferred loan costs, net 35 32 Unamortized premiums 485 372 Net loans $ 251,317 $ 213,165 Certain directors and executive officers of the Company and companies in which they have significant ownership interest were customers of the Bank during the year ended December 31, 2017. Total loans to such persons and their companies amounted to $2,274,000 and $2,455,000 as of December 31, 2017 and December 31, 2016, respectively. During the year ended December 31, 2017, there was one new loan disbursement of $439,000, $13,000 of advances were made, principal payments totaled $138,000, and loan payoffs totaled $495,000. December 31, 2016, there was one new loan disbursement of $500,000, $122,000 of advances were made, principal payments totaled $150,000, and loan payoffs totaled $382,000. The following tables set forth information on the allowance for loan losses at and for the years ended December 31, 2017 and 2016: Real Estate: One- to four-family Home Equity Loans Commercial Construction Consumer Unallocated Total (In Thousands) Year ended December 31, 2017 Allowance for loan losses: Beginning balance $ 418 $ 49 $ 276 $ 117 $ 1 $ 29 $ 890 Charge offs — — — — (1 ) — (1 ) Recoveries — — — — — — — Provision (benefit) 63 3 196 (10 ) 1 (8 ) 245 Ending balance $ 481 $ 52 $ 472 $ 107 $ 1 $ 21 $ 1,134 At December 31, 2017 Allowance for loan losses: Ending Balance: Individually evaluated for impairment $ 8 $ — $ — $ — $ — $ — $ 8 Ending balance: Collectively evaluated for impairment 473 52 472 107 1 21 1,126 Total allowance for loan losses ending balance $ 481 $ 52 $ 472 $ 107 $ 1 $ 21 $ 1,134 Loans: Ending balance: Individually evaluated for impairment $ 100 $ — $ — $ — $ — $ — $ 100 Ending balance: Collectively evaluated for impairment 189,663 11,585 34,686 15,853 44 — 251,831 Total loans ending balance $ 189,763 $ 11,585 $ 34,686 $ 15,853 $ 44 $ — $ 251,931 Real Estate: One- to four-family Home Equity Loans Commercial Construction Consumer Unallocated Total (In Thousands) Year ended December 31, 2016 Allowance for loan losses: Beginning balance $ 331 $ 49 $ 150 $ 40 $ 1 $ 9 $ 580 Charge offs — — — — — — — Recoveries — — — — — — — Provision 87 — 126 77 — 20 310 Ending balance $ 418 $ 49 $ 276 $ 117 $ 1 $ 29 $ 890 At December 31, 2016 Ending Balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 418 49 276 117 1 29 890 Total allowance for loan losses ending balance $ 418 $ 49 $ 276 $ 117 $ 1 $ 29 $ 890 Loans: Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 168,111 10,720 23,011 11,738 71 — 213,651 Total loans ending balance $ 168,111 $ 10,720 $ 23,011 $ 11,738 $ 71 $ — $ 213,651 The following tables set forth information regarding nonaccrual loans and past-due 30 – 59 60 – 89 90 Days or Total Past Total Total 90 Days or More Non- (In Thousands) At December 31, 2107 Real estate loans: One-to four-family residential $ 295 $ 177 $ — $ 472 $ 189,291 $ 189,763 $ — $ 189 Home equity loans and lines of credit 189 — — 189 11,396 11,585 — — Commercial — — — — 34,686 34,686 — — Construction — — — — 15,853 15,853 — — Consumer loans — — — — 44 44 — — Total $ 484 $ 177 $ — $ 661 $ 251,270 $ 251,931 $ — $ 189 At December 31, 2016 Real estate loans: One-to four-family residential $ 518 $ 9 $ — $ 527 $ 167,584 $ 168,111 $ — $ 9 Home equity loans and lines of credit — — — — 10,720 10,720 — — Commercial — — — — 23,011 23,011 — — Construction — — — — 11,738 11,738 — — Consumer loans — — — — 71 71 — — Total $ 518 $ 9 $ — $ 527 $ 213,124 $ 213,651 $ — $ 9 As of and during the year ended December 31, 2017 there was one, one- 310-10-35. 310-10-35. During the year ended December 31, 2017 the same impaired one, one- During the year ended December 31, 2017 and 2016, there were no troubled debt restructure loans that subsequently defaulted within 12 months of modification. In addition, there are no commitments to lend additional funds for loans modified as a troubled debt restructure. At December 31, 2017, there were no consumer mortgage loans collateralized by residential real estate property in the process of foreclosure. As of December 31, 2017, the Bank had no foreclosed real estate owned. At December 31, 2016, there was one consumer mortgage loan collateralized by residential real estate property in the process of foreclosure with a recorded investment of $321,000. As of December 31, 2016, the Bank had no foreclosed real estate owned. Credit Quality Information The Company has established an 11 point internal loan rating system for commercial real estate and construction loans. For residential real estate and consumer loans, the Company initially assesses credit quality based upon the borrower’s ability to pay and subsequently monitors these loans based on the borrower’s ability to pay. The risk rating system will assist the Company in better understanding the risk inherent in each loan. The loan ratings are as follows: Loans rated 1: Secured by cash collateral or highly liquid diversified marketable securities. Loans rated 2 – 3: Strongest quality loans in the portfolio not secured by cash. Defined by consistent, solid profits, strong cash flow and are well secured. Very little vulnerability to changing economic conditions and compare favorably to their industry. Loans rated 4 – 5: These loans are pass rated. Borrower will show average to strong cash flow, strong to adequate collateral coverage, and will have a generally sound balance sheet. Inclusive in the 5 rating are all open and closed – end residential and retail loans which are paying as agreed. Loans rated 6: Loans with above average risk but still considered pass. Generally this rating is reserved for projects currently under construction or borrowers with modest cash flow, although still meeting all loan covenants. Loans rated 6W: Contain all the risks of a 6 rated credit but have an inherent weakness that requires close monitoring. This rating also generally includes open and closed-end Loans rated 7: Considered special mention. Potential weaknesses which warrant management’s close attention. If weaknesses are uncorrected, repayment prospects may be weakened. This is typically a transitional rating. Loans rated 8: Considered substandard. There is a likelihood of loss if the deficiencies are not corrected. Generally, open and closed – end retail loans, as well as automotive and other consumer loans past 90 cumulative days from the contractual due date should be classified as an 8. Loans rated 9: Borrower has a pronounced weakness and all current information indicates collection or liquidation of all debts in full is improbable and highly questionable. Loans rated 10: Uncollectable and a loss will be taken. Open and closed – end loans secured by residential real estate that are beyond 180 days past due will be assessed for value and any outstanding loan balance in excess of said value, less cost to sell, will be classified as a 10. On an annual basis, or more often if needed, the Company formally reviews the ratings on all commercial real estate and construction loans over $350,000. As of December 31, 2017, there were no one- one- one- As of December 31, 2016, one- |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | NOTE 5 – PREMISES AND EQUIPMENT The following is a summary of premises and equipment as of December 31: December 31, December 31, 2017 2016 (In Thousands) Land $ 393 $ 393 Building 2,070 1,840 Construction in process 641 — Furniture and equipment 553 549 Data processing equipment 360 303 4,017 3,085 Accumulated depreciation (2,024 ) (1,837 ) $ 1,993 $ 1,248 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2017 | |
Banking and Thrift [Abstract] | |
Deposits | NOTE 6 – DEPOSITS The aggregate amount of time deposit amounts in denominations that meet or exceed the Federal Deposit Insurance Corporation (FDIC) insurance limit of $250,000 as of December 31, 2017 and 2016 amounted to $27,781,000 and $23,434,000, respectively. For time deposits as of December 31, 2017 the scheduled maturities for each of the following years ended December 31 are as follows: (In Thousands) 2018 $ 102,073 2019 12,664 2020 1,638 2021 8,208 2022 1,537 $ 126,120 Deposits from related parties held by the Bank as of December 31, 2017 and 2016 amounted to $3,603,000 and $3,782,000, respectively. |
Federal Home Loan Bank Advances
Federal Home Loan Bank Advances | 12 Months Ended |
Dec. 31, 2017 | |
Federal Home Loan Banks [Abstract] | |
Federal Home Loan Bank Advances | NOTE 7 – FEDERAL HOME LOAN BANK ADVANCES Advances consist of funds borrowed from the Federal Home Loan Bank of Bank (FHLB). Maturities of advances from the FHLB for the years ending after December 31, 2017 are summarized as follows (in thousands): 2018 $ 10,000 2019 19,000 $ 29,000 Borrowings from the FHLB are secured by a blanket lien on qualified collateral, consisting primarily of loans with first mortgages secured by one-to-four Co-Operative At December 31, 2017, the interest rates on FHLB advances ranged from 1.42% to 2.37%. At December 31, 2017, the weighted-average interest rate on FHLB advances was 1.78%. At December 31, 2016, the interest rates on FHLB advances ranged from 1.42% to 1.48%. At December 31, 2016, the weighted-average interest rate on FHLB advances was 1.45%. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 8 – INCOME TAXES The components of income tax expense are as follows for the years ended December 31: Years Ended 2017 2016 (In Thousands) Current: Federal $ 857 $ 543 State 251 182 1,108 725 Deferred: Federal (12 ) 80 Change in federal tax rate 181 — State (11 ) (9 ) Change in valuation allowance (24 ) — 134 71 Total income tax expense $ 1,242 $ 796 The reasons for the differences between the statutory federal income tax rate and the effective tax rates are summarized as follows for the years ended December 31: Years Ended December 31, 2017 2016 % of Income % of Income Federal income tax at statutory rate 34.0 % 34.0 % State tax, net of federal tax benefit 5.2 5.2 Change in valuation allowance (0.8 ) 0.0 Change in tax rate 5.9 0.0 Dividends received deduction (0.5 ) (1.3 ) Bank-owned life insurance (1.8 ) (2.2 ) Solar credits (2.3 ) (0.0 ) Stock compensation 1.1 1.1 Tax exempt income (1.0 ) (1.3 ) ESOP 0.7 0.6 Other 0.3 (0.3 ) Effective tax rates 40.8 % 35.9 % The Company had gross deferred tax assets and gross deferred tax liabilities as follows as of December 31: December 31, 2017 2016 (In Thousands) Deferred tax assets: Allowance for loan losses $ 319 $ 356 Deferred compensation 83 83 Security writedowns 5 27 ESOP 16 12 Stock based compensation 47 47 Accrued expenses 31 13 Contribution to Melrose Cooperative Bank Foundation 204 406 Gross deferred tax assets 705 944 Valuation allowance (66 ) (90 ) Gross deferred tax assets, net of valuation allowance 639 854 Deferred tax liabilities: Accelerated depreciation (181 ) (220 ) Net unrealized holding gain on available-for-sale securities (94 ) (514 ) Gross deferred tax liabilities (275 ) (734 ) Net deferred tax asset $ 364 $ 120 In connection with its initial public offering, the Company donated common stock and cash in the amount of $1,362,000 to the Melrose Cooperative Bank Foundation. As of December 31, 2017, the Company had a remaining gross deferred tax asset of $204,000. A valuation allowance of $66,000 has been established against the deferred tax assets related to the uncertain utilization of the charitable contribution carryforward created primarily by the donation to the Foundation. The judgment applied by management considers the likelihood that sufficient taxable income will be realized within the carryforward period in light of its tax planning strategies and changes in market conditions. The charitable contribution carryforward of $769,000 at December 31, 2017 expires in 2019 and the related tax benefit, net of the valuation allowance, included in net deferred tax assets is $138,000. It is the Company’s policy to provide for uncertain tax positions and the related interest and penalties based upon management’s assessment of whether a tax benefit is more likely than not to be sustained upon examination by tax authorities. As of December 31, 2017 and 2016, there were no material uncertain tax positions related to federal and state income tax matters. The Company is currently open to audit under the statute of limitations by the Internal Revenue Service and state taxing authorities for the years ended December 31, 2014 through December 31, 2017. Interest and penalties, if any, are recorded as income tax expense. On December 22, 2017, the U.S. government enacted the Tax Cuts and Jobs Act (TCJA), a comprehensive tax legislation which, among other things, reduced the federal income tax rate for C corporations to 21% effective January 1, 2018. The TCJA makes broad and complex changes to the Internal Revenue Code which will impact the Company, including reduction of the corporate income tax rate as well as introduction of business-related exclusions, deductions and credits. The effects of the TCJA have been recorded in the fourth quarter 2017. As a result of the reduction of the Company’s corporate income tax rate from 34% to 21% under the TCJA, the Company revalued its net deferred tax asset at December 31, 2017 and recognized an $181,000 tax expense. |
Benefit Plans
Benefit Plans | 12 Months Ended |
Dec. 31, 2017 | |
Retirement Benefits [Abstract] | |
Benefit Plans | NOTE 9 – BENEFIT PLANS 401(k) Savings Plan The Company participates in a 401(k) savings plan through Pentegra. Eligible employees may contribute up to 100% of their salary, subject to IRS limitations, which can be matched up to 5% by the Company on a dollar for dollar basis. The Company’s expense under this 401(k) plan was $82,000 and $80,000 for the years ended December 31, 2017 and 2016, respectively. Supplemental Executive Retirement Benefits Effective January 1, 2014, the Company established a Supplemental Executive Retirement Plan (SERP Plan). Under the SERP Plan, on a yearly basis, the Company shall credit the participant’s SERP account with the annual contribution specified in the participant’s participation agreement, based on a fixed percent of each participant’s annual salary. The SERP account is an unfunded liability due to each participant and is accruing interest. For the plan years ended December 31, 2017 and 2016, the related liability amounted to $294,000 and $208,000, respectively, and is included in other liabilities. Participants vest in full upon attaining five years of service from the date of participation, or attainment of benefit age, or following a change in control. For each of the years ended December 31, 2017 and 2016, expense recognized under the plan for these benefits was $86,000 and $70,000, respectively. Employee Stock Ownership Plan The Company has adopted a tax-qualified The ESOP funded its stock purchase through a loan from the Company equal to 100% of the aggregate purchase price of the common stock. The ESOP trustee will repay the loan principally through the Bank’s contributions to the ESOP and, possibly, dividends paid on common stock held by the plan over the loan term of 29.2 years. The trustee holds the shares purchased in a loan suspense account and will release the shares from the suspense account on a pro rata basis as it repays the loan. The trustee will allocate the shares released among active participants on the basis of each active participant’s proportional share of compensation compared to all active participants for the plan year. Participants vest in their benefit at a rate of 20% per year and will be fully vested upon completion of five years of credited service. Generally, participants will receive distributions from the ESOP upon separation from service. The trustee will reallocate any unvested shares of common stock forfeited by participants upon their separation from service among the remaining participants in the plan. Eligible employees who were employed with the Bank shall receive credit for vesting purposes for each year of continuous employment prior to adoption of the ESOP. The Company records compensation expense for the ESOP at an amount equal to the shares allocated by the ESOP multiplied by the average fair market value of shares during the period. At December 31, 2017, the remaining principal balance on the ESOP debt was $2,019,000 and the number of shares held by the ESOP was 226,366. Total compensation expense recognized in connection with the ESOP was $136,000 and $116,000 for the years ended December 31, 2017 and 2016, respectively. The remaining principal balance on the ESOP debt as of December 31, 2017 is payable as follows: Years Ending December 31, Amount (In Thousands) 2018 $ 51 2019 52 2020 54 2021 56 2022 58 Thereafter 1,748 $ 2,019 Shares held by the ESOP are as follows as of December 31: 2017 2016 Allocated 30,182 22,638 Unallocated 196,184 203,728 Shares held by ESOP 226,366 226,366 The fair value of unallocated ESOP shares was $3,924,000 at December 31, 2017. 2015 Equity Incentive Plan Melrose Bancorp, Inc. adopted the Melrose Bancorp, Inc. 2015 Equity Incentive Plan (the “2015 Equity Incentive Plan”) to provide directors, officers, and employees of the Company and Melrose Cooperative Bank with additional incentives to promote growth and performance of the Company and Melrose Cooperative Bank. The 2015 Equity Incentive Plan authorizes the issuance or delivery to participants of up to 396,140 shares of Melrose Bancorp, Inc. common stock pursuant to grants of incentive and non-statutory On May 12, 2016, the Company issued 44,300 shares of common stock restricted stock awards. The restricted stock award expense is based on $15.13 per share price on the date of grant, and shares vest over 5 years commencing one year from the grant date. The total expense recognized in connection with the restricted stock awards was $134,000 and $85,000, for the years ended December 31, 2017 and 2016, respectively, and the recognized tax benefit was $54,000 and $34,000, respectively. On May 12, 2016, the Company granted 224,200 stock options. The stock options have an exercise price of $15.13 per share, and vest ratably over 5 years commencing one year from the date of the grant. The stock option expense is equal to the number of options expected to vest each year times the grant date fair value of the shares as determined using the Black-Scholes option pricing model. The Company completed an analysis of seven peer banks to determine the expected volatility of 20.24%. The exercise price used in the pricing model was $15.13, the closing price of the stock on the grant date. The expected life was estimated to be 6.5 years and the 7 year treasury rate of 1.54% was used as the annual risk free interest rate. Using these variables, the estimated fair value is $3.71 per share. The aggregate intrinsic value is $1.1 million as of December 31, 2017. The total expense recognized in connection with the stock options was $166,000 and $106,000 for the years ended December 31, 2017 and 2016, respectively, and the recognized tax benefit was $18,000 and $13,000, respectively. No options have been exercised or forfeited to date. At December 31, 2017, the unrecognized share based compensation expense related to the 35,440 unvested restricted stock awards amounted to $451,000. The unrecognized expense will be recognized over a weighted average period of 3.3 years. At December 31, 2017, 44,840 of the 224,200 stock options outstanding are exercisable, and the remaining contractual life is 8.3 years. The unrecognized expense related to the unvested options is $559,000, and will be recognized over a weighted average period of 3.3 years. Other Agreements The Company has entered into employment agreements and change in control agreements with certain executive officers which provide the executive officers with severance payments based on salary, and the continuation of other benefits, upon a change in control as defined in the agreements. |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2017 | |
Investments, All Other Investments [Abstract] | |
Financial Instruments | NOTE 10 – FINANCIAL INSTRUMENTS The Company is party to financial instruments with off-balance un-advanced The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for loan commitments is represented by the contractual amounts of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance Commitments to originate loans are agreements to lend to a customer provided there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. The Company evaluates each customer’s creditworthiness on a case-by-case Financial instrument liabilities with off-balance December 31, December 31, 2017 2016 (In Thousands) Commitments to originate loans $ 2,401 $ 7,864 Unused lines of credit 17,611 13,742 Due to borrowers on unadvanced construction loans 2,320 3,852 $ 22,332 $ 25,458 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | NOTE 11 – FAIR VALUE MEASUREMENTS ASC 820-10, contract-by-contract In accordance with ASC 820-10, Level 1 – Valuations for assets and liabilities traded in active exchange markets, such as the New York Stock Exchange. Level 1 also includes U.S. Treasury, other U.S. Government and agency mortgage-backed securities that are traded by dealers or brokers in active markets. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities. Level 2 – Valuations for assets and liabilities traded in less active dealer or broker markets. Valuations are obtained from third party pricing services for identical or comparable assets or liabilities. Level 3 – Valuations for assets and liabilities that are derived from other methodologies, including option pricing models, discounted cash flow models and similar techniques, are not based on market exchange, dealer, or broker traded transactions. Level 3 valuations incorporate certain assumptions and projections in determining the fair value assigned to such assets and liabilities. A financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. These valuation methodologies were applied to all of the Company’s financial assets and financial liabilities carried at fair value for December 31, 2017 and December 31, 2016. The Company did not have any significant transfers of assets between levels 1 and 2 of the fair value hierarchy during the years ended December 31, 2017 and 2016. The Company’s marketable equity securities and preferred stocks are generally classified within level 1 of the fair value hierarchy because they are valued using quoted market prices. The Company’s investment in debt securities available-for-sale Level 3 is for positions that are not traded in active markets or are subject to transfer restrictions, valuations are adjusted to reflect illiquidity and/or non-transferability, The Company’s impaired loans, if any, are reported at the fair value of the underlying collateral if repayment is expected solely from the collateral. Collateral values are estimated using level 2 inputs based upon appraisals of similar properties obtained from a third party. For level 3 inputs, fair value is based upon management estimates of the value of the underlying collateral or the present value of the expected cash flows. The following summarizes assets measured at fair value on a recurring basis as of December 31: Fair Value Measurements at Reporting Date Using: Total Quoted Prices in Significant Significant (In Thousands) December 31, 2017: U.S. Government and federal agency obligations $ 5,325 $ — $ 5,325 $ — Debt securities issued by states of the United States and political subdivisions of the states 2,881 — 2,881 — Corporate bonds and notes 11,294 — 11,294 — Preferred stock 3,013 3,013 — — Mortgage-backed securities 1,448 — 1,448 — Marketable equity securities 2,535 2,535 — — Totals $ 26,496 $ 5,548 $ 20,948 $ — December 31, 2016: U.S. Government and federal agency obligations $ 5,688 $ — $ 5,688 $ — Debt securities issued by states of the United States and political subdivisions of the states 2,656 — 2,656 — Corporate bonds and notes 12,493 — 12,493 — Preferred stock 2,938 2,938 — — Mortgage-backed securities 1,432 — 1,432 — Marketable equity securities 6,624 6,624 — — Totals $ 31,831 $ 9,562 $ 22,269 $ — Under certain circumstances the Company makes adjustments to fair value for its assets and liabilities although they are not measured at fair value on an ongoing basis. At December 31, 2017 and 2016, there were no financial instruments carried on the consolidated balance sheet for which a nonrecurring change in fair value has been recorded. The estimated fair values of the Company’s financial instruments, all of which are held or issued for purposes other than trading, are as follows: December 31, 2017 Carrying Fair Value Level 1 Level 2 Level 3 Total (In Thousands) Financial assets: Cash and cash equivalents $ 17,603 $ 17,603 $ — $ — $ 17,603 Available-for-sale securities 26,496 5,548 20,948 — 26,496 Federal Home Loan Bank stock 1,800 1,800 — — 1,800 Loans, net 251,317 — — 252,792 252,792 Co-operative Central Bank deposit 886 886 — — 886 Accrued interest receivable 702 702 — — 702 Financial liabilities: Deposits 232,921 — 232,899 — 232,899 FHLB advances 29,000 — 28,660 — 28,660 December 31, 2016 Carrying Fair Value Level 1 Level 2 Level 3 Total (In Thousands) Financial assets: Cash and cash equivalents $ 13,792 $ 13,792 $ — $ — $ 13,792 Available-for-sale securities 31,831 9,562 22,269 — 31,831 Federal Home Loan Bank stock 964 964 — — 964 Loans, net 213,165 — — 213,582 213,582 Co-operative Central Bank deposit 881 881 — — 881 Accrued interest receivable 572 572 — — 572 Financial liabilities: Deposits 214,766 — 215,443 — 215,443 FHLB advances 10,000 — 9,930 — 9,930 The carrying amounts of financial instruments shown in the above table are included in the consolidated balance sheets under the indicated captions. Accounting policies related to financial instruments are described in Note 2. |
Other Comprehensive Loss
Other Comprehensive Loss | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Other Comprehensive Loss | NOTE 12 – OTHER COMPREHENSIVE LOSS Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities are reported as a separate component of the stockholders’ equity section of the consolidated balance sheets, such items, along with net income, are components of comprehensive income. The components of other comprehensive loss included in stockholders’ equity are as follows: Years Ended 2017 2016 (In thousands) Net unrealized holding gain on available-for-sale securities $ 478 $ 285 Reclassification adjustment for net realized gains included in net income (1) (1,385 ) (1,004 ) Other comprehensive loss before income tax effect (907 ) (719 ) Income tax benefit 378 269 Other comprehensive loss, net of tax $ (529 ) $ (450 ) (1) Reclassification adjustments include net realized securities gains and losses. Realized gains and losses have been reclassified out of accumulated other comprehensive income and affect certain captions in the consolidated statements of income as follows: pre-tax available-for-sale available-for-sale Accumulated other comprehensive income as of December 31, 2017 and 2016 consists of net unrealized holding gains on available-for-sale |
Regulatory Matters
Regulatory Matters | 12 Months Ended |
Dec. 31, 2017 | |
Banking and Thrift [Abstract] | |
Regulatory Matters | NOTE 13 – REGULATORY MATTERS 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 Bank’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 Effective January 1, 2015, (with a phase-in Management believes, as of December 31, 2017, that the Bank meets all capital adequacy requirements to which it is subject. As of December 31, 2017, the most recent notification from the FDIC categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized the Bank must maintain minimum Common Equity Tier 1 risked-based, total risk-based, Tier 1 risk-based and Tier 1 leverage capital ratios as set forth in the following table. There were no conditions or events since that notification that management believes have changed the Bank’s category. The Bank’s actual capital amounts and ratios are also presented in the table. Actual For Capital To Be Well Amount Ratio Amount Ratio Amount Ratio (Dollars In Thousands) As of December 31, 2017: Total Capital (to Risk Weighted Assets) $ 37,141 19.80 % $ 15,007 8.0 % $ 18,759 10.0 % Tier 1 Capital (to Risk Weighted Assets) 35,786 19.08 11,255 6.0 15,007 8.0 Common Equity Tier 1 Capital (to Risk Weighted Assets) 35,786 19.08 8,441 4.5 12,193 6.5 Tier 1 Capital (to Average Assets) 35,786 12.59 11,373 4.0 14,216 5.0 As of December 31, 2016: Total Capital (to Risk Weighted Assets) $ 35,236 21.09 % $ 13,368 8.0 % $ 16,710 10.0 % Tier 1 Capital (to Risk Weighted Assets) 33,648 20.14 10,026 6.0 13,368 8.0 Common Equity Tier 1 Capital (to Risk Weighted Assets) 33,648 20.14 7,519 4.5 10,861 6.5 Tier 1 Capital (to Average Assets) 33,648 13.58 9,909 4.0 12,386 5.0 |
Common Stock Repurchases
Common Stock Repurchases | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Common Stock Repurchases | NOTE 14 – COMMON STOCK REPURCHASES From time to time, our board of directors authorizes stock repurchase plans. In general, stock repurchase plans allow us to proactively manage our capital position and return excess capital to shareholders. Shares purchased under such plans also provide us with shares of common stock necessary to satisfy obligations related to stock compensation awards. On September 14, 2017, the board of directors of the Company authorized an increase in the number of shares that may be repurchased pursuant to the Company’s stock repurchase plan that was previously announced on November 12, 2015. Under the expanded repurchase plan, the Company is authorized to repurchase an additional 130,037 shares, representing approximately 5.0% of the Company’s issued and outstanding shares of common stock as of September 14, 2017. At that date, the Company had 11,200 shares remaining to be purchased under its previously announced share repurchase plan of 283,000. The actual amount and timing of future share repurchases, if any, will depend on market conditions, applicable SEC rules and various other factors. During the twelve months ended December 31, 2017, 1,336 shares of common stock were repurchased, as a result of the first annual installment of the stock awards vesting. This stock transaction was not part of the Company’s stock repurchase plan; the Company was required to purchase these shares for the payment of income taxes withheld on unvested restricted stock awards. In 2016, 229,800 shares of common stock were repurchased at an average cost of $15.32. |
Significant Group Concentration
Significant Group Concentrations of Credit Risk | 12 Months Ended |
Dec. 31, 2017 | |
Risks and Uncertainties [Abstract] | |
Significant Group Concentrations of Credit Risk | NOTE 15 – SIGNIFICANT GROUP CONCENTRATIONS OF CREDIT RISK Most of the Bank’s business activity is with customers located within the Commonwealth of Massachusetts. There are no concentrations of credit to borrowers that have similar economic characteristics. The majority of the Bank’s loan portfolio is comprised of loans collateralized by real estate located in the Commonwealth of Massachusetts. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 16 – SUBSEQUENT EVENTS On January 17, 2018, the Board of Directors of Melrose Bancorp, Inc. (the “Company”) declared a special cash dividend on the Company’s common stock of $0.34 per share. The dividend was paid on February 14, 2018 to stockholders of record as of January 29, 2018. |
Condensed Parent Company Only F
Condensed Parent Company Only Financial Statements | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Parent Company Only Financial Statements | NOTE 17 – CONDENSED PARENT COMPANY ONLY FINANCIAL STATEMENTS MELROSE BANCORP, INC. PARENT COMPANY ONLY BALANCE SHEETS (In Thousands) December 31, 2017 2016 Assets Non-interest bearing deposit in the Bank $ 1,998 $ 1,881 Money market funds 1,363 1,558 Cash and cash equivalents 3,361 3,439 Investments in available-for-sale securities (at fair value) 3,233 2,980 Investment in subsidiary, Melrose Cooperative Bank 35,997 34,399 Loan receivable ESOP 2,019 2,070 Accrued interest receivable 11 5 Deferred tax assets 203 388 Other assets 286 147 Total assets $ 45,110 $ 43,428 Liabilities and Stockholders’ Equity Other liabilities $ 117 $ 124 Stockholders’ equity 44,993 43,304 Total liabilities and stockholders’ equity $ 45,110 $ 43,428 MELROSE BANCORP, INC. PARENT COMPANY ONLY STATEMENTS OF INCOME (In Thousands) For the year ended For the year ended Interest and dividend income: Interest on ESOP loan $ 67 $ 69 Interest and dividends on securities 49 71 Total interest and dividend income 116 140 Noninterest expense: Salaries and employee benefits 300 191 Other expenses — 1 Total noninterest expense 300 192 Loss before undistributed income of subsidiary and income tax expense (benefit) (184 ) (52 ) Undistributed income of subsidiary 2,004 1,472 Income before income taxes 1,820 1,420 Income tax expense (benefit) 16 (2 ) Net income $ 1,804 $ 1,422 MELROSE BANCORP, INC. PARENT COMPANY ONLY STATEMENTS OF CASH FLOWS (In Thousands) For the year ended For the year ended Cash flows from operating activities: Net income $ 1,804 $ 1,422 Adjustments to reconcile net income to net cash provided by operating activities: Amortization of securities, net of accretion 62 31 Increase in accrued interest receivable (6 ) (1 ) Deferred tax expense 175 29 Increase in other assets (139 ) (36 ) (Decrease) increase in other liabilities (7 ) 124 Stock based compensation expense 300 191 Equity in undistributed earnings of subsidiary (2,004 ) (1,472 ) Net cash provided by operating activities 185 288 Cash flows from investing activities: Purchases of available-for-sale securities (898 ) — Proceeds from maturities of available-for-sale securities 606 810 Repayment of principal on ESOP loan 51 46 Net cash (used in) provided by investing activities (241 ) 856 Cash flows from financing activities: Payment of income taxes for shares withheld in stock based award activity (22 ) — Cash paid for stock repurchases — (3,520 ) Net cash used in financing activities (22 ) (3,520 ) Net decrease in cash and cash equivalents (78 ) (2,376 ) Cash and cash equivalents at beginning of year 3,439 5,815 Cash and cash equivalents at end of year $ 3,361 $ 3,439 |
Quarterly Data (Unaudited)
Quarterly Data (Unaudited) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Data (Unaudited) | NOTE 18 – QUARTERLY DATA (UNAUDITED) Year Ended December 31, 2017 First Second Third Fourth (Dollars in thousands, except share data) Interest and dividend income $ 2,044 $ 2,195 $ 2,348 $ 2,354 Interest expense 467 499 591 626 Net interest and dividend income 1,577 1,696 1,757 1,728 (Benefit)/provision for loan losses (20 ) 111 3 151 Net interest and dividend income, after (benefit)/provision for loan losses 1,596 1,585 1,754 1,578 Total noninterest income 507 393 494 249 Total noninterest expense 1,240 1,277 1,317 1,276 Income before income taxes 863 701 931 551 Provision for income taxes 337 280 300 325 Net income $ 526 $ 421 $ 631 $ 226 Earnings per share: Basic $ 0.22 $ 0.18 $ 0.27 $ 0.09 Diluted $ 0.22 $ 0.18 $ 0.27 $ 0.09 Year Ended December 31, 2016 First Second Third Fourth (Dollars in thousands, except share data) Interest and dividend income $ 1,695 $ 1,769 $ 1,911 $ 2,030 Interest expense 361 395 429 455 Net interest and dividend income 1,334 1,374 1,482 1,575 Provision for loan losses 60 103 117 30 Net interest and dividend income, after provision for loan losses 1,274 1,271 1,365 1,545 Total noninterest income 45 336 325 529 Total noninterest expense 1,039 1,194 1,082 1,157 Income before income taxes 280 413 608 917 Provision for income taxes 87 138 222 349 Net income $ 193 $ 275 $ 386 $ 568 Earnings per share: Basic $ 0.08 $ 0.11 $ 0.16 $ 0.24 Diluted $ 0.08 $ 0.11 $ 0.16 $ 0.24 |
Summary of Significant Accoun27
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
BASIS OF PRESENTATION | BASIS OF PRESENTATION: The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary the Bank, and the Bank’s wholly-owned subsidiary, MCBSC, Inc., which is used to hold investment securities. All significant intercompany accounts and transactions have been eliminated in the consolidation. |
USE OF ESTIMATES | USE OF ESTIMATES: In preparing consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the consolidated balance sheet and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The material estimate that is particularly susceptible to significant change in the near-term relates to the determination of the allowance for loan losses. |
RECLASSIFICATIONS | RECLASSIFICATIONS: Certain amounts in the prior year have been reclassified to be consistent with the current year’s presentation. |
CASH AND CASH EQUIVALENTS | CASH AND CASH EQUIVALENTS: For purposes of reporting cash flows, cash and cash equivalents include cash, amounts due from banks, money market funds and federal funds sold. |
SECURITIES | SECURITIES: Investments in debt securities are adjusted for amortization of premiums and accretion of discounts computed so as to approximate the interest method. Gains or losses on sales of investment securities are computed on a specific identification basis. The Company classifies all debt and equity securities as available-for-sale. Available-for-sale For any debt security with a fair value less than its amortized cost basis, the Company will determine whether it has the intent to sell the debt security or whether it is more likely than not it will be required to sell the debt security before the recovery of its amortized cost basis. If either condition is met, the Company will recognize a full impairment charge to earnings. For all other debt securities that are considered other-than-temporarily impaired and do not meet either condition, the credit loss portion of impairment will be recognized in earnings as realized losses. The other-than-temporary impairment related to all other factors will be recorded in other comprehensive loss. Declines in marketable equity securities below their cost that are deemed other-than-temporary are reflected in earnings as realized losses. |
FEDERAL HOME LOAN BANK STOCK | FEDERAL HOME LOAN BANK STOCK: As a member of the Federal Home Loan Bank of Boston, the Company is required to invest in $100 par value stock of the FHLB. The FHLB capital structure mandates that members must own stock as determined by their Total Stock Investment Requirement which is the sum of a member’s Membership Stock Investment Requirement and Activity-Based Stock Investment Requirement. Management evaluates the Company’s investment in FHLB stock for other-than-temporary impairment at least on a quarterly basis and more frequently when economic or market conditions warrant such evaluation. Based on its most recent analysis of the FHLB as of December 31, 2017, management deems its investment in FHLB stock to be not other-than-temporarily impaired. |
LOANS | LOANS: Loans receivable that management has the intent and ability to hold until maturity or payoff are reported at their outstanding principal balances adjusted for amounts due to borrowers on outstanding home equity lines of credit, commercial lines of credit and construction loans, any charge-offs, the allowance for loan losses and any deferred fees or costs on originated loans, or unamortized premiums or discounts on purchased loans. Loan origination and commitment fees and certain direct origination costs are deferred, and the net amount amortized as an adjustment of the related loan’s yield. The Company is amortizing these amounts over the expected lives of the related loans. Residential real estate loans are generally placed on nonaccrual when reaching 90 days past due or are in the process of foreclosure. All closed-end Cash receipts of interest income on impaired loans are credited to principal to the extent necessary to eliminate doubt as to the collectability of the net carrying amount of the loan. Some or all of the cash receipts of interest income on impaired loans are recognized as interest income if the remaining net carrying amount of the loan is deemed to be fully collectible. When recognition of interest income on an impaired loan on a cash basis is appropriate, the amount of income that is recognized is limited to that which would have been accrued on the net carrying amount of the loan at the contractual interest rate. Any cash interest payments received in excess of the limit and not applied to reduce the net carrying amount of the loan are recorded as recoveries of charge-offs until the charge-offs are fully recovered. |
ALLOWANCE FOR LOAN LOSSES | ALLOWANCE FOR LOAN LOSSES: The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectability of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The allowance for loan losses is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. General Component: The general component of the allowance for loan losses is based on historical loss experience adjusted for qualitative factors stratified by the following loan segments: one- The qualitative factors are determined based on the various risk characteristics of each loan segment. Risk characteristics relevant to each portfolio segment are as follows: One- loan-to-value loan-to-value Commercial real estate: Loans in this segment are primarily income-producing properties throughout Massachusetts. The underlying cash flows generated by the properties are adversely impacted by a downturn in the economy as evidenced by increased vacancy rates, which in turn, will have an effect on the credit quality in this segment. Loans in this segment also include loans secured by multifamily dwellings. Management periodically obtains rent rolls and continually monitors the cash flows of these loans. Construction: Loans in this segment primarily include speculative real estate development loans for which payment is derived from sale of the property. Credit risk is affected by cost overruns, time to sell at an adequate price, and market conditions. Consumer: Loans in this segment are generally secured and repayment is dependent on the credit quality of the individual borrower. Loans in this segment include auto loans and other consumer loans. Allocated Component: The allocated component relates to loans that are classified as impaired. Impairment is measured on a loan by loan basis for commercial real estate and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the collateral if the loan is collateral dependent. An allowance is established when the discounted cash flows (or collateral value) of the impaired loan is lower than the carrying value of that loan. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not separately identify individual consumer and one- A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case The Company periodically may agree to modify the contractual terms of loans. When a loan is modified and a concession is made to a borrower experiencing financial difficulty, the modification is considered a troubled debt restructuring (“TDR”). All TDRs are initially classified as impaired. Unallocated Component: An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating allocated and general reserves in the portfolio. |
PREMISES AND EQUIPMENT | PREMISES AND EQUIPMENT: Land is carried at cost. Buildings and equipment are stated at cost, less accumulated depreciation and amortization. Cost and related allowances for depreciation and amortization of premises and equipment retired or otherwise disposed of are removed from the respective accounts with any gain or loss included in income or expense. Depreciation and amortization are calculated principally on the straight-line method over the estimated useful lives of the assets. Estimated lives are 15 to 30 years for buildings and 3 to 10 years for furniture and equipment. Premises and equipment are periodically evaluated for impairment when events or changes in circumstances indicate the carrying amount may not be recoverable. Impairment exists when the expected undiscounted future cash flows of premises and equipment are less than its carrying amount. In that event, the Company records a loss for the difference between the carrying amount and the fair value of the asset based on quoted market prices, if applicable, or a discounted cash flow analysis. |
BANK-OWNED LIFE INSURANCE | BANK-OWNED LIFE INSURANCE: The Company has purchased insurance policies on the lives of certain directors, executive officers and employees. Bank-owned life insurance policies are reflected on the consolidated balance sheets at cash surrender value. Changes in net cash surrender value of the policies, as well as insurance proceeds received, are reflected in non-interest |
ADVERTISING | ADVERTISING: The Company directly expenses costs associated with advertising as they are incurred. |
INCOME TAXES | INCOME TAXES: The Company recognizes income taxes under the asset and liability method. Under this method, deferred tax assets and liabilities are established for the temporary differences between the accounting basis and the tax basis of the Company’s assets and liabilities at enacted tax rates expected to be in effect when the amounts related to such temporary differences are realized or settled. |
EMPLOYEE STOCK OWNERSHIP PLAN | EMPLOYEE STOCK OWNERSHIP PLAN: Compensation expense for the Employee Stock Ownership Plan (“ESOP”) is recorded at an amount equal to the shares allocated by the ESOP multiplied by the average fair value of the shares during the period. Unearned compensation applicable to the ESOP is reflected as a reduction of stockholders’ equity in the consolidated balance sheets. The difference between the average fair value and the cost of shares allocated by the ESOP is recorded as an adjustment to additional paid-in |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION: The Company recognizes stock-based compensation based on the grant-date fair value of the award. Forfeitures will be recognized when they occur. The Company values share-based stock option awards granted using the Black-Scholes option-pricing model. The Company recognizes compensation expense for its awards on a straight-line basis over the requisite service period for the entire award (straight-line attribution method), ensuring that the amount of compensation cost recognized at any date at least equals the portion of the grant-date fair value of the award that is vested at that time. |
EARNINGS PER SHARE (EPS) | EARNINGS PER SHARE (EPS): When presented, basic EPS is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the entity. For the purposes of computing diluted EPS, the treasury stock method is used. Unallocated ESOP shares and unearned shares of restricted stock are not deemed outstanding for earnings per share calculations. The calculation of basic and diluted EPS is presented below. Year Ended Year Ended (Dollars in thousands, except earnings per share) Net income $ 1,804 $ 1,422 Basic Common Shares: Weighted average common shares outstanding 2,601,223 2,660,521 Weighted average shares – unearned restricted stock (33,843 ) (26,333 ) Weighted average unallocated ESOP shares (199,956 ) (207,501 ) Basic weighted average shares outstanding 2,367,424 2,426,687 Diluted effect of unvested stock options — — Dilutive effect of unvested restricted stock awards 4,873 811 Diluted weighted average shares outstanding 2,372,297 2,427,498 Basic earnings per share $ 0.76 $ 0.59 Diluted earnings per share (1) $ 0.76 $ 0.59 (1) Options to purchase 224,200 shares, representing all outstanding options, were not included in the computation of diluted earnings per share for the years ended December 31, 2017 and 2016 because the effect is anti-dilutive. |
FAIR VALUES OF FINANCIAL INSTRUMENTS | FAIR VALUES OF FINANCIAL INSTRUMENTS: Accounting Standards Codification (ASC) 825, “Financial Instruments,” requires that the Company disclose the estimated fair value for its financial instruments. Fair value methods and assumptions used by the Company in estimating its fair value disclosures are as follows: Cash and cash equivalents: The carrying amounts reported in the consolidated balance sheets for cash and cash equivalents approximate those assets’ fair values. Securities: Fair values for securities are based on quoted market prices, where available. If quoted market prices are not available, fair values are based on quoted market prices of comparable instruments. Loans receivable: For variable-rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. The fair values for other loans are estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. Accrued interest receivable: The carrying amount of accrued interest receivable approximates its fair value. Deposit liabilities: The fair values disclosed for demand deposits (e.g., interest and non-interest Federal Home Loan Bank advances: The fair values of FHLB advances are estimated using discounted cash flow analyses based on the current incremental borrowing rates for similar types of borrowing arrangements. |
RECENT ACCOUNTING PRONOUNCEMENTS | RECENT ACCOUNTING PRONOUNCEMENTS: As an “emerging growth company,” as defined in Title 1 of Jumpstart Our Business Startups (JOBS) Act, the Company has elected to use the extended transition period to delay adoption of new or reissued accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies. Accordingly, the consolidated financial statements may not be comparable to the financial statements of public companies that comply with such new or revised accounting standards. As of December 31, 2017, there is no significant difference in the comparability of the financial statements as a result of this extended transition period. The extended transition period for an emerging growth company is five years, and the Company’s emerging growth status will end on December 31, 2019. In May 2014 and August 2015, respectively, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update ASU 2014-09 2015-14, 2014-09 2015-14 2014-09 2014-09, non-interest Form 10-Q. In January 2016, the FASB issued ASU 2016-01, 825-10): 1. Require equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income. However, the entity may choose to measure equity investments that do not have readily determinable fair values at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same manner. 2. Simplify the impairment assessment of equity investments without determinable fair values by requiring a qualitative assessment to identify impairment. When a qualitative assessment indicates that impairment exists, an entity is required to measure the investment at fair value. 3. Eliminate the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet. 4. Require public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes. 5. Require an entity to present separately in other comprehensive income the portion of the total change in fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. 6. Require separate presentation of financial assets and financial liabilities by measurement category and form of financial assets (that is, securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements. 7. Clarify that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale Under the extended transition period for an emerging growth company, the amendments in this Update are effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption of item 5 above is permitted as of the beginning of fiscal years or interim periods for which financial statements have not been issued. Early adoption of all other amendments in this ASU is not permitted. The Company is currently evaluating the amendments of ASU No. 2016-01 In February 2016, the FASB issued ASU 2016-02, In March 2016, the FASB issued ASU No. 2016-09, paid-in-capital No. 2016-09 In June 2016, the FASB issued ASU No. 2016-13, available-for-sale No. 2016-13 In March 2017, the FASB issued ASU 2017-08, No. 2017-08 No. 2017-08 In February 2018, the FASB issued ASU 2018-02, 2018-02 2018-02 |
Summary of Significant Accoun28
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary of Calculation of Basic and Diluted EPS | The calculation of basic and diluted EPS is presented below. Year Ended Year Ended (Dollars in thousands, except earnings per share) Net income $ 1,804 $ 1,422 Basic Common Shares: Weighted average common shares outstanding 2,601,223 2,660,521 Weighted average shares – unearned restricted stock (33,843 ) (26,333 ) Weighted average unallocated ESOP shares (199,956 ) (207,501 ) Basic weighted average shares outstanding 2,367,424 2,426,687 Diluted effect of unvested stock options — — Dilutive effect of unvested restricted stock awards 4,873 811 Diluted weighted average shares outstanding 2,372,297 2,427,498 Basic earnings per share $ 0.76 $ 0.59 Diluted earnings per share (1) $ 0.76 $ 0.59 (1) Options to purchase 224,200 shares, representing all outstanding options, were not included in the computation of diluted earnings per share for the years ended December 31, 2017 and 2016 because the effect is anti-dilutive. |
Investments in Available-For-29
Investments in Available-For-Sale Securities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Available-For-Sale Securities | The amortized cost basis of securities and their approximate fair values are as follows as of December 31: Amortized Gross Gross Fair (In Thousands) December 31, 2017: U.S. Government and federal agency obligations $ 5,390 $ — $ 65 $ 5,325 Debt securities issued by states of the United States and political subdivisions of the states 2,898 12 29 2,881 Corporate bonds and notes 11,364 7 77 11,294 Preferred stock 3,000 13 — 3,013 Mortgage-backed securities 1,495 — 47 1,448 Marketable equity securities 2,046 490 1 2,535 $ 26,193 $ 522 $ 219 $ 26,496 December 31, 2016: U.S. Government and federal agency obligations $ 5,819 $ — $ 131 $ 5,688 Debt securities issued by states of the United States and political subdivisions of the states 2,695 2 41 2,656 Corporate bonds and notes 12,537 17 61 12,493 Preferred stock 3,000 20 82 2,938 Mortgage-backed securities 1,498 — 66 1,432 Marketable equity securities 5,072 1,557 5 6,624 $ 30,621 $ 1,596 $ 386 $ 31,831 |
Scheduled Maturities of Debt Securities | The scheduled maturities of debt securities as of December 31, 2017 are as follows: Fair (In Thousands) Due within one year $ 3,496 Due after one year through five years 12,038 Due after five years through ten years 2,390 Due after ten years 2,077 Mortgage-backed securities 1,448 Asset-backed securities 1,509 $ 22,958 |
Aggregate Fair Value and Unrealized Losses of Securities in Continuous Unrealized Loss Position | The aggregate fair value and unrealized losses of securities that have been in a continuous unrealized loss position for less than twelve months and for twelve months or more, and are not other-than-temporarily impaired, are as follows as of December 31: Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In Thousands) December 31, 2017 U.S. Government and federal agency obligations $ 2,855 $ 20 $ 2,470 $ 45 $ 5,325 $ 65 Debt securities issued by states of the United States and political subdivisions of the states 991 6 535 23 1,526 29 Corporate bonds and notes 4,467 24 3,946 53 8,413 77 Mortgage-backed securities 453 6 995 41 1,448 47 Marketable equity securities 485 1 — — 485 1 Total temporarily impaired securities $ 9,251 $ 57 $ 7,946 $ 162 $ 17,197 $ 219 December 31, 2016 U.S. Government and federal agency obligations $ 4,359 $ 59 $ 1,328 $ 72 $ 5,687 $ 131 Debt securities issued by states of the United States and political subdivisions of the states 1,760 28 245 13 2,005 41 Corporate bonds and notes 5,784 61 — — 5,784 61 Preferred stock 1,918 82 — — 1,918 82 Mortgage-backed securities 370 8 1,062 58 1,432 66 Marketable equity securities 2,235 5 — — 2,235 5 Total temporarily impaired securities $ 16,426 $ 243 $ 2,635 $ 143 $ 19,061 $ 386 |
Loans (Tables)
Loans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Summary of Loans | Loans consisted of the following: December 31, December 31, (In Thousands) Real estate loans: One-to four-family residential $ 189,763 $ 168,111 Home equity loans and lines of credit 11,585 10,720 Commercial 34,686 23,011 Construction 15,853 11,738 Consumer loans 44 71 Total loans 251,931 213,651 Allowance for loan losses (1,134 ) (890 ) Deferred loan costs, net 35 32 Unamortized premiums 485 372 Net loans $ 251,317 $ 213,165 |
Information Regarding Nonaccrual Loans and Past-due Loans | The following tables set forth information on the allowance for loan losses at and for the years ended December 31, 2017 and 2016: Real Estate: One- to four-family Home Equity Loans Commercial Construction Consumer Unallocated Total (In Thousands) Year ended December 31, 2017 Allowance for loan losses: Beginning balance $ 418 $ 49 $ 276 $ 117 $ 1 $ 29 $ 890 Charge offs — — — — (1 ) — (1 ) Recoveries — — — — — — — Provision (benefit) 63 3 196 (10 ) 1 (8 ) 245 Ending balance $ 481 $ 52 $ 472 $ 107 $ 1 $ 21 $ 1,134 At December 31, 2017 Allowance for loan losses: Ending Balance: Individually evaluated for impairment $ 8 $ — $ — $ — $ — $ — $ 8 Ending balance: Collectively evaluated for impairment 473 52 472 107 1 21 1,126 Total allowance for loan losses ending balance $ 481 $ 52 $ 472 $ 107 $ 1 $ 21 $ 1,134 Loans: Ending balance: Individually evaluated for impairment $ 100 $ — $ — $ — $ — $ — $ 100 Ending balance: Collectively evaluated for impairment 189,663 11,585 34,686 15,853 44 — 251,831 Total loans ending balance $ 189,763 $ 11,585 $ 34,686 $ 15,853 $ 44 $ — $ 251,931 Real Estate: One- to four-family Home Equity Loans Commercial Construction Consumer Unallocated Total (In Thousands) Year ended December 31, 2016 Allowance for loan losses: Beginning balance $ 331 $ 49 $ 150 $ 40 $ 1 $ 9 $ 580 Charge offs — — — — — — — Recoveries — — — — — — — Provision 87 — 126 77 — 20 310 Ending balance $ 418 $ 49 $ 276 $ 117 $ 1 $ 29 $ 890 At December 31, 2016 Ending Balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 418 49 276 117 1 29 890 Total allowance for loan losses ending balance $ 418 $ 49 $ 276 $ 117 $ 1 $ 29 $ 890 Loans: Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 168,111 10,720 23,011 11,738 71 — 213,651 Total loans ending balance $ 168,111 $ 10,720 $ 23,011 $ 11,738 $ 71 $ — $ 213,651 |
Summary of Changes in Allowance for Loan Losses | The following tables set forth information regarding nonaccrual loans and past-due 30 – 59 60 – 89 90 Days or Total Past Total Total 90 Days or More Non- (In Thousands) At December 31, 2107 Real estate loans: One-to four-family residential $ 295 $ 177 $ — $ 472 $ 189,291 $ 189,763 $ — $ 189 Home equity loans and lines of credit 189 — — 189 11,396 11,585 — — Commercial — — — — 34,686 34,686 — — Construction — — — — 15,853 15,853 — — Consumer loans — — — — 44 44 — — Total $ 484 $ 177 $ — $ 661 $ 251,270 $ 251,931 $ — $ 189 At December 31, 2016 Real estate loans: One-to four-family residential $ 518 $ 9 $ — $ 527 $ 167,584 $ 168,111 $ — $ 9 Home equity loans and lines of credit — — — — 10,720 10,720 — — Commercial — — — — 23,011 23,011 — — Construction — — — — 11,738 11,738 — — Consumer loans — — — — 71 71 — — Total $ 518 $ 9 $ — $ 527 $ 213,124 $ 213,651 $ — $ 9 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Summary of Premises and Equipment | The following is a summary of premises and equipment as of December 31: December 31, December 31, 2017 2016 (In Thousands) Land $ 393 $ 393 Building 2,070 1,840 Construction in process 641 — Furniture and equipment 553 549 Data processing equipment 360 303 4,017 3,085 Accumulated depreciation (2,024 ) (1,837 ) $ 1,993 $ 1,248 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Banking and Thrift [Abstract] | |
Scheduled Maturities of Time Deposits | For time deposits as of December 31, 2017 the scheduled maturities for each of the following years ended December 31 are as follows: (In Thousands) 2018 $ 102,073 2019 12,664 2020 1,638 2021 8,208 2022 1,537 $ 126,120 |
Federal Home Loan Bank Advanc33
Federal Home Loan Bank Advances (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Federal Home Loan Banks [Abstract] | |
Maturities of advances from the FHLB | Maturities of advances from the FHLB for the years ending after December 31, 2017 are summarized as follows (in thousands): 2018 $ 10,000 2019 19,000 $ 29,000 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Components of Income Tax Expense | The components of income tax expense are as follows for the years ended December 31: Years Ended 2017 2016 (In Thousands) Current: Federal $ 857 $ 543 State 251 182 1,108 725 Deferred: Federal (12 ) 80 Change in federal tax rate 181 — State (11 ) (9 ) Change in valuation allowance (24 ) — 134 71 Total income tax expense $ 1,242 $ 796 |
Summary of Differences Between the Statutory Federal Income Tax Rate and the Effective Tax Rates | The reasons for the differences between the statutory federal income tax rate and the effective tax rates are summarized as follows for the years ended December 31: Years Ended December 31, 2017 2016 % of Income % of Income Federal income tax at statutory rate 34.0 % 34.0 % State tax, net of federal tax benefit 5.2 5.2 Change in valuation allowance (0.8 ) 0.0 Change in tax rate 5.9 0.0 Dividends received deduction (0.5 ) (1.3 ) Bank-owned life insurance (1.8 ) (2.2 ) Solar credits (2.3 ) (0.0 ) Stock compensation 1.1 1.1 Tax exempt income (1.0 ) (1.3 ) ESOP 0.7 0.6 Other 0.3 (0.3 ) Effective tax rates 40.8 % 35.9 % |
Deferred Tax Assets and Liabilities | The Company had gross deferred tax assets and gross deferred tax liabilities as follows as of December 31: December 31, 2017 2016 (In Thousands) Deferred tax assets: Allowance for loan losses $ 319 $ 356 Deferred compensation 83 83 Security writedowns 5 27 ESOP 16 12 Stock based compensation 47 47 Accrued expenses 31 13 Contribution to Melrose Cooperative Bank Foundation 204 406 Gross deferred tax assets 705 944 Valuation allowance (66 ) (90 ) Gross deferred tax assets, net of valuation allowance 639 854 Deferred tax liabilities: Accelerated depreciation (181 ) (220 ) Net unrealized holding gain on available-for-sale securities (94 ) (514 ) Gross deferred tax liabilities (275 ) (734 ) Net deferred tax asset $ 364 $ 120 |
Benefit Plans (Tables)
Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Retirement Benefits [Abstract] | |
Schedule of Principal Balance on ESOP Debt | The remaining principal balance on the ESOP debt as of December 31, 2017 is payable as follows: Years Ending December 31, Amount (In Thousands) 2018 $ 51 2019 52 2020 54 2021 56 2022 58 Thereafter 1,748 $ 2,019 |
Schedule of Shares Held by ESOP | Shares held by the ESOP are as follows as of December 31: 2017 2016 Allocated 30,182 22,638 Unallocated 196,184 203,728 Shares held by ESOP 226,366 226,366 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Investments, All Other Investments [Abstract] | |
Summary of Financial Instrument Liabilities with off-Balance Sheet Credit Risk | Financial instrument liabilities with off-balance December 31, December 31, 2017 2016 (In Thousands) Commitments to originate loans $ 2,401 $ 7,864 Unused lines of credit 17,611 13,742 Due to borrowers on unadvanced construction loans 2,320 3,852 $ 22,332 $ 25,458 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Summary of Assets Measured at Fair Value on Recurring Basis | The following summarizes assets measured at fair value on a recurring basis as of December 31: Fair Value Measurements at Reporting Date Using: Total Quoted Prices in Significant Significant (In Thousands) December 31, 2017: U.S. Government and federal agency obligations $ 5,325 $ — $ 5,325 $ — Debt securities issued by states of the United States and political subdivisions of the states 2,881 — 2,881 — Corporate bonds and notes 11,294 — 11,294 — Preferred stock 3,013 3,013 — — Mortgage-backed securities 1,448 — 1,448 — Marketable equity securities 2,535 2,535 — — Totals $ 26,496 $ 5,548 $ 20,948 $ — December 31, 2016: U.S. Government and federal agency obligations $ 5,688 $ — $ 5,688 $ — Debt securities issued by states of the United States and political subdivisions of the states 2,656 — 2,656 — Corporate bonds and notes 12,493 — 12,493 — Preferred stock 2,938 2,938 — — Mortgage-backed securities 1,432 — 1,432 — Marketable equity securities 6,624 6,624 — — Totals $ 31,831 $ 9,562 $ 22,269 $ — |
Summary of Estimated Fair Values of Bank's Financial Instruments | The estimated fair values of the Company’s financial instruments, all of which are held or issued for purposes other than trading, are as follows: December 31, 2017 Carrying Fair Value Level 1 Level 2 Level 3 Total (In Thousands) Financial assets: Cash and cash equivalents $ 17,603 $ 17,603 $ — $ — $ 17,603 Available-for-sale securities 26,496 5,548 20,948 — 26,496 Federal Home Loan Bank stock 1,800 1,800 — — 1,800 Loans, net 251,317 — — 252,792 252,792 Co-operative Central Bank deposit 886 886 — — 886 Accrued interest receivable 702 702 — — 702 Financial liabilities: Deposits 232,921 — 232,899 — 232,899 FHLB advances 29,000 — 28,660 — 28,660 December 31, 2016 Carrying Fair Value Level 1 Level 2 Level 3 Total (In Thousands) Financial assets: Cash and cash equivalents $ 13,792 $ 13,792 $ — $ — $ 13,792 Available-for-sale securities 31,831 9,562 22,269 — 31,831 Federal Home Loan Bank stock 964 964 — — 964 Loans, net 213,165 — — 213,582 213,582 Co-operative Central Bank deposit 881 881 — — 881 Accrued interest receivable 572 572 — — 572 Financial liabilities: Deposits 214,766 — 215,443 — 215,443 FHLB advances 10,000 — 9,930 — 9,930 |
Other Comprehensive Loss (Table
Other Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Components of Other Comprehensive Loss Included in Stockholders' Equity | The components of other comprehensive loss included in stockholders’ equity are as follows: Years Ended 2017 2016 (In thousands) Net unrealized holding gain on available-for-sale securities $ 478 $ 285 Reclassification adjustment for net realized gains included in net income (1) (1,385 ) (1,004 ) Other comprehensive loss before income tax effect (907 ) (719 ) Income tax benefit 378 269 Other comprehensive loss, net of tax $ (529 ) $ (450 ) (1) Reclassification adjustments include net realized securities gains and losses. Realized gains and losses have been reclassified out of accumulated other comprehensive income and affect certain captions in the consolidated statements of income as follows: pre-tax available-for-sale available-for-sale |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Banking and Thrift [Abstract] | |
Summary of Actual Capital Amounts and Ratios | The Bank’s actual capital amounts and ratios are also presented in the table. Actual For Capital To Be Well Amount Ratio Amount Ratio Amount Ratio (Dollars In Thousands) As of December 31, 2017: Total Capital (to Risk Weighted Assets) $ 37,141 19.80 % $ 15,007 8.0 % $ 18,759 10.0 % Tier 1 Capital (to Risk Weighted Assets) 35,786 19.08 11,255 6.0 15,007 8.0 Common Equity Tier 1 Capital (to Risk Weighted Assets) 35,786 19.08 8,441 4.5 12,193 6.5 Tier 1 Capital (to Average Assets) 35,786 12.59 11,373 4.0 14,216 5.0 As of December 31, 2016: Total Capital (to Risk Weighted Assets) $ 35,236 21.09 % $ 13,368 8.0 % $ 16,710 10.0 % Tier 1 Capital (to Risk Weighted Assets) 33,648 20.14 10,026 6.0 13,368 8.0 Common Equity Tier 1 Capital (to Risk Weighted Assets) 33,648 20.14 7,519 4.5 10,861 6.5 Tier 1 Capital (to Average Assets) 33,648 13.58 9,909 4.0 12,386 5.0 |
Condensed Parent Company Only40
Condensed Parent Company Only Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Summary of Balance Sheets | BALANCE SHEETS (In Thousands) December 31, 2017 2016 Assets Non-interest bearing deposit in the Bank $ 1,998 $ 1,881 Money market funds 1,363 1,558 Cash and cash equivalents 3,361 3,439 Investments in available-for-sale securities (at fair value) 3,233 2,980 Investment in subsidiary, Melrose Cooperative Bank 35,997 34,399 Loan receivable ESOP 2,019 2,070 Accrued interest receivable 11 5 Deferred tax assets 203 388 Other assets 286 147 Total assets $ 45,110 $ 43,428 Liabilities and Stockholders’ Equity Other liabilities $ 117 $ 124 Stockholders’ equity 44,993 43,304 Total liabilities and stockholders’ equity $ 45,110 $ 43,428 |
Summary of Statements of Income | STATEMENTS OF INCOME (In Thousands) For the year ended For the year ended Interest and dividend income: Interest on ESOP loan $ 67 $ 69 Interest and dividends on securities 49 71 Total interest and dividend income 116 140 Noninterest expense: Salaries and employee benefits 300 191 Other expenses — 1 Total noninterest expense 300 192 Loss before undistributed income of subsidiary and income tax expense (benefit) (184 ) (52 ) Undistributed income of subsidiary 2,004 1,472 Income before income taxes 1,820 1,420 Income tax expense (benefit) 16 (2 ) Net income $ 1,804 $ 1,422 |
Summary of Statements of Cash Flows | STATEMENTS OF CASH FLOWS (In Thousands) For the year ended For the year ended Cash flows from operating activities: Net income $ 1,804 $ 1,422 Adjustments to reconcile net income to net cash provided by operating activities: Amortization of securities, net of accretion 62 31 Increase in accrued interest receivable (6 ) (1 ) Deferred tax expense 175 29 Increase in other assets (139 ) (36 ) (Decrease) increase in other liabilities (7 ) 124 Stock based compensation expense 300 191 Equity in undistributed earnings of subsidiary (2,004 ) (1,472 ) Net cash provided by operating activities 185 288 Cash flows from investing activities: Purchases of available-for-sale securities (898 ) — Proceeds from maturities of available-for-sale securities 606 810 Repayment of principal on ESOP loan 51 46 Net cash (used in) provided by investing activities (241 ) 856 Cash flows from financing activities: Payment of income taxes for shares withheld in stock based award activity (22 ) — Cash paid for stock repurchases — (3,520 ) Net cash used in financing activities (22 ) (3,520 ) Net decrease in cash and cash equivalents (78 ) (2,376 ) Cash and cash equivalents at beginning of year 3,439 5,815 Cash and cash equivalents at end of year $ 3,361 $ 3,439 |
Quarterly Data (Unaudited) (Tab
Quarterly Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | Year Ended December 31, 2017 First Second Third Fourth (Dollars in thousands, except share data) Interest and dividend income $ 2,044 $ 2,195 $ 2,348 $ 2,354 Interest expense 467 499 591 626 Net interest and dividend income 1,577 1,696 1,757 1,728 (Benefit)/provision for loan losses (20 ) 111 3 151 Net interest and dividend income, after (benefit)/provision for loan losses 1,596 1,585 1,754 1,578 Total noninterest income 507 393 494 249 Total noninterest expense 1,240 1,277 1,317 1,276 Income before income taxes 863 701 931 551 Provision for income taxes 337 280 300 325 Net income $ 526 $ 421 $ 631 $ 226 Earnings per share: Basic $ 0.22 $ 0.18 $ 0.27 $ 0.09 Diluted $ 0.22 $ 0.18 $ 0.27 $ 0.09 Year Ended December 31, 2016 First Second Third Fourth (Dollars in thousands, except share data) Interest and dividend income $ 1,695 $ 1,769 $ 1,911 $ 2,030 Interest expense 361 395 429 455 Net interest and dividend income 1,334 1,374 1,482 1,575 Provision for loan losses 60 103 117 30 Net interest and dividend income, after provision for loan losses 1,274 1,271 1,365 1,545 Total noninterest income 45 336 325 529 Total noninterest expense 1,039 1,194 1,082 1,157 Income before income taxes 280 413 608 917 Provision for income taxes 87 138 222 349 Net income $ 193 $ 275 $ 386 $ 568 Earnings per share: Basic $ 0.08 $ 0.11 $ 0.16 $ 0.24 Diluted $ 0.08 $ 0.11 $ 0.16 $ 0.24 |
Nature of Operations - Addition
Nature of Operations - Additional Information (Detail) | Oct. 21, 2014USD ($)$ / sharesshares | Dec. 31, 2017USD ($)Officeshares | Dec. 31, 2014USD ($) |
Nature Of Operations [Line Items] | |||
Entity incorporation date | Feb. 1, 2014 | ||
Aggregate issuance of common stock | shares | 2,829,579 | ||
Common stock , price per share | $ / shares | $ 10 | ||
Net proceeds from the stock offering | $ 25,518,000 | ||
Stock offering costs | $ 1,716,000 | ||
Cash funded to charitable foundation | $ 300,000 | ||
Expenses recognized | $ 1,362,000 | ||
Shares purchased under employee stock ownership plan | shares | 226,366 | ||
Melrose Cooperative Bank Foundation [Member] | |||
Nature Of Operations [Line Items] | |||
Common stock, shares sold | shares | 106,170 | ||
Expenses recognized | $ 1,362,000 | ||
Melrose Cooperative Bank [Member] | |||
Nature Of Operations [Line Items] | |||
Aggregate issuance of common stock | shares | 2,723,409 | ||
Massachusetts [Member] | |||
Nature Of Operations [Line Items] | |||
Melrose Cooperative Bank (Number of banking office) | Office | 1 |
Summary of Significant Accoun43
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Significant Accounting Policies [Line Items] | |||
Par value stock | $ 0.01 | $ 0.01 | |
Allowance for loan losses adjustments | $ 0 | $ 0 | |
Company tax rate | 34.00% | 34.00% | |
Reclassified from accumulated other comprehensive income to retained earnings | $ 42,000 | ||
Scenario, Plan [Member] | |||
Significant Accounting Policies [Line Items] | |||
Company tax rate | 21.00% | ||
Retained Earnings [Member] | |||
Significant Accounting Policies [Line Items] | |||
Reclassified from accumulated other comprehensive income to retained earnings | (42,000) | ||
Accumulated Other Comprehensive Income [Member] | |||
Significant Accounting Policies [Line Items] | |||
Reclassified from accumulated other comprehensive income to retained earnings | $ 42,000 | ||
Building [Member] | Minimum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 15 years | ||
Building [Member] | Maximum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 30 years | ||
Furniture and Equipment [Member] | Minimum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 3 years | ||
Furniture and Equipment [Member] | Maximum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 10 years | ||
Mortgage-backed Securities, Issued by Private Enterprises [Member] | Maximum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Percentage of loan-to-value ratio | 80.00% | ||
Federal Home Loan Bank of Boston [Member] | |||
Significant Accounting Policies [Line Items] | |||
Par value stock | $ 100 |
Summary of Significant Accoun44
Summary of Significant Accounting Policies - Summary of Calculation of Basic and Diluted EPS (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||||||
Net income | $ 226 | $ 631 | $ 421 | $ 526 | $ 568 | $ 386 | $ 275 | $ 193 | $ 1,804 | $ 1,422 |
Basic Common Shares: | ||||||||||
Weighted average common shares outstanding | 2,601,223 | 2,660,521 | ||||||||
Weighted average shares - unearned restricted stock | (33,843) | (26,333) | ||||||||
Weighted average unallocated ESOP shares | (199,956) | (207,501) | ||||||||
Basic weighted average shares outstanding | 2,367,424 | 2,426,687 | ||||||||
Diluted weighted average shares outstanding | 2,372,297 | 2,427,498 | ||||||||
Basic earnings per share | $ 0.09 | $ 0.27 | $ 0.18 | $ 0.22 | $ 0.24 | $ 0.16 | $ 0.11 | $ 0.08 | $ 0.76 | $ 0.59 |
Diluted earnings per share | $ 0.09 | $ 0.27 | $ 0.18 | $ 0.22 | $ 0.24 | $ 0.16 | $ 0.11 | $ 0.08 | $ 0.76 | $ 0.59 |
Unvested Stock Options [Member] | ||||||||||
Basic Common Shares: | ||||||||||
Diluted effect of unvested stock | 0 | |||||||||
Unvested Restricted Stock Awards [Member] | ||||||||||
Basic Common Shares: | ||||||||||
Diluted effect of unvested stock | 4,873 | 811 |
Summary of Significant Accoun45
Summary of Significant Accounting Policies - Summary of Calculation of Basic and Diluted EPS (Parenthetical) (Detail) - shares | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Earnings Per Share [Abstract] | ||
Anti-dilutive securities excluded from computation of diluted earnings | 224,200 | 224,200 |
Investments in Available-For-46
Investments in Available-For-Sale Securities - Amortized Cost Basis of Securities and Their Approximate Fair Values (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | $ 26,193 | $ 30,621 |
Gross Unrealized Gains | 522 | 1,596 |
Gross Unrealized Losses | 219 | 386 |
Fair Value | 26,496 | 31,831 |
U.S. Government and Federal Agency Obligations [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 5,390 | 5,819 |
Gross Unrealized Losses | 65 | 131 |
Fair Value | 5,325 | 5,688 |
Debt Securities Issued by States of the United States and Political Subdivisions of the States [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 2,898 | 2,695 |
Gross Unrealized Gains | 12 | 2 |
Gross Unrealized Losses | 29 | 41 |
Fair Value | 2,881 | 2,656 |
Corporate Bonds and Notes [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 11,364 | 12,537 |
Gross Unrealized Gains | 7 | 17 |
Gross Unrealized Losses | 77 | 61 |
Fair Value | 11,294 | 12,493 |
Preferred Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 3,000 | 3,000 |
Gross Unrealized Gains | 13 | 20 |
Gross Unrealized Losses | 82 | |
Fair Value | 3,013 | 2,938 |
Mortgage-backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 1,495 | 1,498 |
Gross Unrealized Losses | 47 | 66 |
Fair Value | 1,448 | 1,432 |
Marketable Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 2,046 | 5,072 |
Gross Unrealized Gains | 490 | 1,557 |
Gross Unrealized Losses | 1 | 5 |
Fair Value | $ 2,535 | $ 6,624 |
Investments in Available-For-47
Investments in Available-For-Sale Securities - Scheduled Maturities of Debt Securities (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Schedule of Available-for-sale Securities [Line Items] | |
Due within one year | $ 3,496 |
Due after one year through five years | 12,038 |
Due after five years through ten years | 2,390 |
Due after ten years | 2,077 |
Debt security, fair value | 22,958 |
Mortgage-backed Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Debt securities | 1,448 |
Asset-backed Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Debt securities | $ 1,509 |
Investments in Available-For-48
Investments in Available-For-Sale Securities - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2017USD ($)Securitiesshares | Dec. 31, 2016USD ($)Securities | |
Schedule of Available-for-sale Securities [Line Items] | ||
Number of securities with aggregate carrying value exceeding 10% of stockholders' equity | shares | 0 | |
Proceeds from sales of available-for-sale securities | $ | $ 4,498,000 | $ 9,321,000 |
Gain on sales of available-for-sale securities, net | $ | 1,385,000 | 1,004,000 |
Tax expense applicable to net realized gain | $ | 490,000 | 359,000 |
Pledged securities | $ | $ 0 | $ 0 |
Number of marketable securities that were declared other than temporarily impaired | 0 | 0 |
Corporate Bonds And Notes [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized losses | $ | $ 77,000 | |
Unrealized losses, securities | 16 | |
Corporate Bonds And Notes [Member] | Debt Security Four [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized losses, securities | 5 | |
Corporate Bonds And Notes [Member] | Debt Security Four [Member] | Minimum [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Percentage of unrealized losses of debt securities with amortized cost | 1.00% | |
Corporate Bonds And Notes [Member] | Debt Security Four [Member] | Maximum [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Percentage of unrealized losses of debt securities with amortized cost | 4.00% | |
Corporate Bonds And Notes [Member] | Debt Security Seven [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized losses, securities | 11 | |
Corporate Bonds And Notes [Member] | Debt Security Seven [Member] | Maximum [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Percentage of unrealized losses of debt securities with amortized cost | 1.00% | |
Municipal Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized losses | $ | $ 29,000 | |
Unrealized losses, securities | 4 | |
Municipal Bonds [Member] | Debt Security One [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized losses, securities | 1 | |
Percentage of unrealized losses of debt securities with amortized cost | 6.00% | |
Municipal Bonds [Member] | Debt Security Three [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized losses, securities | 3 | |
Municipal Bonds [Member] | Debt Security Three [Member] | Maximum [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Percentage of unrealized losses of debt securities with amortized cost | 3.00% | |
Preferred Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Preferred stock, no stated maturity | $ | $ 1,000,000 | |
U.S. Government and Federal Agency Obligations [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized losses | $ | $ 65,000 | |
Unrealized losses, securities | 11 | |
U.S. Government and Federal Agency Obligations [Member] | Debt Security Four [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized losses, securities | 4 | |
U.S. Government and Federal Agency Obligations [Member] | Debt Security Four [Member] | Minimum [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Percentage of unrealized losses of debt securities with amortized cost | 2.00% | |
U.S. Government and Federal Agency Obligations [Member] | Debt Security Four [Member] | Maximum [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Percentage of unrealized losses of debt securities with amortized cost | 5.00% | |
U.S. Government and Federal Agency Obligations [Member] | Debt Security Seven [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized losses, securities | 7 | |
U.S. Government and Federal Agency Obligations [Member] | Debt Security Seven [Member] | Maximum [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Percentage of unrealized losses of debt securities with amortized cost | 2.00% | |
Mortgage-backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized losses | $ | $ 47,000 | |
Unrealized losses, securities | 5 | |
Mortgage-backed Securities [Member] | Minimum [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Percentage of unrealized losses of debt securities with amortized cost | 2.00% | |
Mortgage-backed Securities [Member] | Maximum [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Percentage of unrealized losses of debt securities with amortized cost | 7.00% | |
Marketable Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized losses, securities | 1 | |
Percentage of unrealized losses of debt securities with amortized cost | 0.20% | |
Unrealized losses | $ | $ 1,000 |
Investments in Available-For-49
Investments in Available-For-Sale Securities - Aggregate Fair Value and Unrealized Losses of Securities in Continuous Unrealized Loss Position (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | $ 9,251 | $ 16,426 |
Less than 12 Months Unrealized Losses | 57 | 243 |
12 Months or Longer Fair Value | 7,946 | 2,635 |
12 Months or Longer Unrealized Losses | 162 | 143 |
Total Fair Value | 17,197 | 19,061 |
Total Unrealized Losses | 219 | 386 |
U.S. Government and Federal Agency Obligations [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 2,855 | 4,359 |
Less than 12 Months Unrealized Losses | 20 | 59 |
12 Months or Longer Fair Value | 2,470 | 1,328 |
12 Months or Longer Unrealized Losses | 45 | 72 |
Total Fair Value | 5,325 | 5,687 |
Total Unrealized Losses | 65 | 131 |
Debt Securities Issued by States of the United States and Political Subdivisions of the States [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 991 | 1,760 |
Less than 12 Months Unrealized Losses | 6 | 28 |
12 Months or Longer Fair Value | 535 | 245 |
12 Months or Longer Unrealized Losses | 23 | 13 |
Total Fair Value | 1,526 | 2,005 |
Total Unrealized Losses | 29 | 41 |
Corporate Bonds and Notes [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 4,467 | 5,784 |
Less than 12 Months Unrealized Losses | 24 | 61 |
12 Months or Longer Fair Value | 3,946 | |
12 Months or Longer Unrealized Losses | 53 | |
Total Fair Value | 8,413 | 5,784 |
Total Unrealized Losses | 77 | 61 |
Preferred Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 1,918 | |
Less than 12 Months Unrealized Losses | 82 | |
Total Fair Value | 1,918 | |
Total Unrealized Losses | 82 | |
Mortgage-backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 453 | 370 |
Less than 12 Months Unrealized Losses | 6 | 8 |
12 Months or Longer Fair Value | 995 | 1,062 |
12 Months or Longer Unrealized Losses | 41 | 58 |
Total Fair Value | 1,448 | 1,432 |
Total Unrealized Losses | 47 | 66 |
Marketable Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 485 | 2,235 |
Less than 12 Months Unrealized Losses | 1 | 5 |
Total Fair Value | 485 | 2,235 |
Total Unrealized Losses | $ 1 | $ 5 |
Loans - Summary of Loans (Detai
Loans - Summary of Loans (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and leases receivable | $ 251,931 | $ 213,651 | |
Allowance for loan losses | (1,134) | (890) | $ (580) |
Deferred loan costs, net | 35 | 32 | |
Unamortized premiums | 485 | 372 | |
Net loans | 251,317 | 213,165 | |
One- to Four- Family Residential [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and leases receivable | 189,763 | 168,111 | |
Allowance for loan losses | (481) | (418) | (331) |
Home Equity Loans and Lines of Credit [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and leases receivable | 11,585 | 10,720 | |
Allowance for loan losses | (52) | (49) | (49) |
Commercial [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and leases receivable | 34,686 | 23,011 | |
Allowance for loan losses | (472) | (276) | (150) |
Construction Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and leases receivable | 15,853 | 11,738 | |
Allowance for loan losses | (107) | (117) | (40) |
Consumer Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and leases receivable | 44 | 71 | |
Allowance for loan losses | $ (1) | $ (1) | $ (1) |
Loans - Additional Information
Loans - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2017USD ($)SecurityLoan | Dec. 31, 2016USD ($)SecurityLoan | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total amount of loans | $ 2,274,000 | $ 2,455,000 |
Loan disbursement | $ 439,000 | $ 500,000 |
Number of loan disbursement | 1 | 1 |
Loans advance | $ 13,000 | $ 122,000 |
Principal payment | 138,000 | 150,000 |
Troubled debt restructured loan | 0 | 0 |
Amount of loan in foreclosed | $ 0 | $ 0 |
Number of consumer mortgage loans in foreclosure process | SecurityLoan | 0 | 1 |
Amount of consumer mortgage loan in foreclosure process | $ 321,000 | |
Credit quality information requirement description | On an annual basis, or more often if needed, the Company formally reviews the ratings on all commercial real estate and construction loans over $350,000. | |
One Four Family Residential Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loan | $ 100,000 | 0 |
Number of Impaired loan | 1 | |
Troubled debt restructured loan, unpaid principal balance | $ 100,000 | |
Loan specific reserve | 8,000 | |
Troubled debt restructured loan | 0 | |
One- to Four- Family Residential [Member] | Substandard [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans acquired with deteriorated credit quality | $ 287,000 | |
One- to Four- Family Residential [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | Risk Rating 6 W [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans acquired with deteriorated credit quality | $ 472,000 | |
Number of loans | SecurityLoan | 3 | |
One- to Four- Family Residential [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | Substandard [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of loans | SecurityLoan | 0 | |
One- to Four- Family Residential [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | Risk Rate 7 [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans acquired with deteriorated credit quality | $ 99,000 | |
Commercial Real Estate and Construction Loans Portfolio [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | Minimum [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans acquired with deteriorated credit quality | $ 350,000 |
Loans - Summary of Changes in A
Loans - Summary of Changes in Allowance for Loan Losses (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Schedule Of Allowance For Loan Losses [Line Items] | ||
Beginning balance | $ 890 | $ 580 |
Charge offs | (1) | |
Recoveries | 0 | 0 |
Provision (benefit) | 245 | 310 |
Ending balance | 1,134 | 890 |
Individually evaluated for impairment | 8 | |
Collectively evaluated for impairment | 1,126 | 890 |
Total allowance for loan losses ending balance | 1,134 | 890 |
Individually evaluated for impairment | 100 | |
Collectively evaluated for impairment | 251,831 | 213,651 |
Total | 251,931 | 213,651 |
One- to Four- Family Residential [Member] | ||
Schedule Of Allowance For Loan Losses [Line Items] | ||
Beginning balance | 418 | 331 |
Recoveries | 0 | 0 |
Provision (benefit) | 63 | 87 |
Ending balance | 481 | 418 |
Individually evaluated for impairment | 8 | |
Collectively evaluated for impairment | 473 | 418 |
Total allowance for loan losses ending balance | 481 | 418 |
Individually evaluated for impairment | 100 | |
Collectively evaluated for impairment | 189,663 | 168,111 |
Total | 189,763 | 168,111 |
Home Equity Loans and Lines of Credit [Member] | ||
Schedule Of Allowance For Loan Losses [Line Items] | ||
Beginning balance | 49 | 49 |
Recoveries | 0 | 0 |
Provision (benefit) | 3 | |
Ending balance | 52 | 49 |
Collectively evaluated for impairment | 52 | 49 |
Total allowance for loan losses ending balance | 52 | 49 |
Collectively evaluated for impairment | 11,585 | 10,720 |
Total | 11,585 | 10,720 |
Commercial [Member] | ||
Schedule Of Allowance For Loan Losses [Line Items] | ||
Beginning balance | 276 | 150 |
Recoveries | 0 | 0 |
Provision (benefit) | 196 | 126 |
Ending balance | 472 | 276 |
Collectively evaluated for impairment | 472 | 276 |
Total allowance for loan losses ending balance | 472 | 276 |
Collectively evaluated for impairment | 34,686 | 23,011 |
Total | 34,686 | 23,011 |
Construction Loans [Member] | ||
Schedule Of Allowance For Loan Losses [Line Items] | ||
Beginning balance | 117 | 40 |
Recoveries | 0 | 0 |
Provision (benefit) | (10) | 77 |
Ending balance | 107 | 117 |
Collectively evaluated for impairment | 107 | 117 |
Total allowance for loan losses ending balance | 107 | 117 |
Collectively evaluated for impairment | 15,853 | 11,738 |
Total | 15,853 | 11,738 |
Consumer Loans [Member] | ||
Schedule Of Allowance For Loan Losses [Line Items] | ||
Beginning balance | 1 | 1 |
Charge offs | (1) | |
Recoveries | 0 | 0 |
Provision (benefit) | 1 | |
Ending balance | 1 | 1 |
Collectively evaluated for impairment | 1 | 1 |
Total allowance for loan losses ending balance | 1 | 1 |
Collectively evaluated for impairment | 44 | 71 |
Total | 44 | 71 |
Unallocated [Member] | ||
Schedule Of Allowance For Loan Losses [Line Items] | ||
Beginning balance | 29 | 9 |
Recoveries | 0 | 0 |
Provision (benefit) | (8) | 20 |
Ending balance | 21 | 29 |
Collectively evaluated for impairment | 21 | 29 |
Total allowance for loan losses ending balance | $ 21 | $ 29 |
Loans - Information Regarding N
Loans - Information Regarding Nonaccrual Loans and Past-due Loans (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 661 | $ 527 |
Total Current | 251,270 | 213,124 |
Total | 251,931 | 213,651 |
90 Days Or More Past Due and Accruing | 0 | 0 |
Non-Accrual | 189 | 9 |
30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 484 | 518 |
60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 177 | 9 |
One- to Four- Family Residential [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 472 | 527 |
Total Current | 189,291 | 167,584 |
Total | 189,763 | 168,111 |
90 Days Or More Past Due and Accruing | 0 | 0 |
Non-Accrual | 189 | 9 |
One- to Four- Family Residential [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 295 | 518 |
One- to Four- Family Residential [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 177 | 9 |
Home Equity Loans and Lines of Credit [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 189 | |
Total Current | 11,396 | 10,720 |
Total | 11,585 | 10,720 |
90 Days Or More Past Due and Accruing | 0 | 0 |
Home Equity Loans and Lines of Credit [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 189 | |
Commercial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Current | 34,686 | 23,011 |
Total | 34,686 | 23,011 |
90 Days Or More Past Due and Accruing | 0 | 0 |
Construction Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Current | 15,853 | 11,738 |
Total | 15,853 | 11,738 |
90 Days Or More Past Due and Accruing | 0 | 0 |
Consumer Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Current | 44 | 71 |
Total | 44 | 71 |
90 Days Or More Past Due and Accruing | $ 0 | $ 0 |
Premises and Equipment - Summar
Premises and Equipment - Summary of Premises and Equipment (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 4,017 | $ 3,085 |
Accumulated depreciation | (2,024) | (1,837) |
Premises and equipment, net | 1,993 | 1,248 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 393 | 393 |
Building [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 2,070 | 1,840 |
Construction in Process [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 641 | |
Furniture and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 553 | 549 |
Data Processing Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 360 | $ 303 |
Deposits - Additional Informati
Deposits - Additional Information (Detail) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Banking and Thrift [Abstract] | ||
FDIC insurance limit | $ 250,000 | $ 250,000 |
Aggregate amount of time deposit | 27,781,000 | 23,434,000 |
Deposits from related parties held by bank | $ 3,603,000 | $ 3,782,000 |
Deposits - Scheduled Maturities
Deposits - Scheduled Maturities of Time Deposits (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Banking and Thrift [Abstract] | |
2,018 | $ 102,073 |
2,019 | 12,664 |
2,020 | 1,638 |
2,021 | 8,208 |
2,022 | 1,537 |
Total | $ 126,120 |
Federal Home Loan Bank Advanc57
Federal Home Loan Bank Advances - Maturities of Advances from the FHLB (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Federal Home Loan Banks [Abstract] | ||
2,018 | $ 10,000 | |
2,019 | 19,000 | |
Total | $ 29,000 | $ 10,000 |
Federal Home Loan Bank Advanc58
Federal Home Loan Bank Advances - Additional Information (Detail) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
FHLB Borrowings | $ 29,000,000 | $ 10,000,000 |
Cooperative Central Bank [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Maximum borrowing capacity | 5,000,000 | |
Federal Home Loan Bank of Boston [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal Home Loan Bank, remaining maximum borrowing capacity | 81,700,000 | |
FHLB Borrowings | $ 29,000,000 | |
Weighted-average interest rate on FHLB advances | 1.78% | 1.45% |
Federal Home Loan Bank of Boston [Member] | Minimum [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Interest rates on FHLB advances | 1.42% | 1.42% |
Federal Home Loan Bank of Boston [Member] | Maximum [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Interest rates on FHLB advances | 2.37% | 1.48% |
Income Taxes - Components of In
Income Taxes - Components of Income Tax Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current: | ||||||||||
Federal | $ 857 | $ 543 | ||||||||
State | 251 | 182 | ||||||||
Current Income Tax Expense (Benefit) | 1,108 | 725 | ||||||||
Deferred: | ||||||||||
Federal | (12) | 80 | ||||||||
Change in federal tax rate | 181 | |||||||||
State | (11) | (9) | ||||||||
Change in valuation allowance | (24) | |||||||||
Deferred Income Tax Expense (Benefit) | 134 | 71 | ||||||||
Total income tax expense | $ 325 | $ 300 | $ 280 | $ 337 | $ 349 | $ 222 | $ 138 | $ 87 | $ 1,242 | $ 796 |
Income Taxes - Summary of Diffe
Income Taxes - Summary of Differences Between the Statutory Federal Income Tax Rate and the Effective Tax Rates (Detail) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | ||
Federal income tax at statutory rate | 34.00% | 34.00% |
State tax, net of federal tax benefit | 5.20% | 5.20% |
Change in valuation allowance | (0.80%) | 0.00% |
Change in tax rate | 5.90% | 0.00% |
Dividends received deduction | (0.50%) | (1.30%) |
Bank-owned life insurance | (1.80%) | (2.20%) |
Solar credits | (2.30%) | (0.00%) |
Stock compensation | 1.10% | 1.10% |
Tax exempt income | (1.00%) | (1.30%) |
ESOP | 0.70% | 0.60% |
Other | 0.30% | (0.30%) |
Effective tax rates | 40.80% | 35.90% |
Income Taxes - Deferred Tax Ass
Income Taxes - Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets: | ||
Allowance for loan losses | $ 319 | $ 356 |
Deferred compensation | 83 | 83 |
Security writedowns | 5 | 27 |
ESOP | 16 | 12 |
Stock based compensation | 47 | 47 |
Accrued expenses | 31 | 13 |
Contribution to Melrose Cooperative Bank Foundation | 204 | 406 |
Gross deferred tax assets | 705 | 944 |
Valuation allowance | (66) | (90) |
Gross deferred tax assets, net of valuation allowance | 639 | 854 |
Deferred tax liabilities: | ||
Accelerated depreciation | (181) | (220) |
Net unrealized holding gain on available-for-sale securities | (94) | (514) |
Gross deferred tax liabilities | (275) | (734) |
Net deferred tax asset | $ 364 | $ 120 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2014 | |
Income Taxes [Line Items] | ||||
Valuation allowance against deferred tax | $ 66,000 | $ 90,000 | ||
Gross deferred tax asset | 204,000 | 406,000 | ||
Contribution to Melrose Cooperative Bank Foundation | $ 1,362,000 | |||
Income tax charitable contribution carry forward | 769,000 | |||
Liability for uncertain tax positions | $ 0 | $ 0 | ||
Federal income tax rate | 34.00% | 34.00% | ||
Deferred income tax expense recognized | $ 181,000 | |||
Scenario, Plan [Member] | ||||
Income Taxes [Line Items] | ||||
Federal income tax rate | 21.00% | |||
Melrose Bancorp, Inc. [Member] | ||||
Income Taxes [Line Items] | ||||
Valuation allowance against deferred tax | 138,000 | |||
Melrose Cooperative Bank Foundation [Member] | ||||
Income Taxes [Line Items] | ||||
Valuation allowance against deferred tax | 66,000 | |||
Gross deferred tax asset | 204,000 | |||
Contribution to Melrose Cooperative Bank Foundation | $ 1,362,000 |
Benefit Plans - 401(k) Savings
Benefit Plans - 401(k) Savings Plan - Additional Information (Detail) - Pentegra Plan [Member] - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Employees contribution to benefit plan | 100.00% | |
Employer's expense under 401(k) plan | $ 82,000 | $ 80,000 |
Maximum [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Matching contribution by employer | 5.00% |
Benefit Plans - Supplemental Ex
Benefit Plans - Supplemental Executive Retirement Benefits - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Employee vesting period | 5 years | |
SERP [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Liability for retirement benefit plans | $ 294,000 | $ 208,000 |
Employee vesting period | 5 years | |
Expense recognized for benefit plan | $ 86,000 | $ 70,000 |
Benefit Plans - Employee Stock
Benefit Plans - Employee Stock Ownership Plan - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Retirement Benefits [Abstract] | ||
Common stock purchased by ESOP | 226,366 | 226,366 |
Common stock purchased by ESOP, per share | $ 10 | |
Percentage of aggregate purchase price of common stock | 100.00% | |
Loan repayment period | 29 years 2 months 12 days | |
Defined contribution plan, vesting percentage per year | 20.00% | |
Employee vesting period | 5 years | |
Loans receivable ESOP | $ 2,019,000 | |
Compensation expense recognized | 136,000 | $ 116,000 |
Fair value of unallocated ESOP shares | $ 3,924,000 |
Benefit Plans - Schedule of Pri
Benefit Plans - Schedule of Principal Balance on ESOP Debt (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Retirement Benefits [Abstract] | |
2,018 | $ 51 |
2,019 | 52 |
2,020 | 54 |
2,021 | 56 |
2,022 | 58 |
Thereafter | 1,748 |
Loans receivable ESOP | $ 2,019 |
Benefit Plans - Schedule of Sha
Benefit Plans - Schedule of Shares Held by ESOP (Detail) - shares | Dec. 31, 2017 | Dec. 31, 2016 |
Retirement Benefits [Abstract] | ||
Allocated | 30,182 | 22,638 |
Unallocated | 196,184 | 203,728 |
Shares held by ESOP | 226,366 | 226,366 |
Benefit Plans - 2015 Equity Inc
Benefit Plans - 2015 Equity Incentive Plan - Additional Information (Detail) - 2015 Equity Incentive Plan [Member] - USD ($) | May 12, 2016 | Dec. 31, 2017 | Dec. 31, 2016 |
Defined Benefit Plan Disclosure [Line Items] | |||
Number of shares authorized under plan | 396,140 | ||
Employee Stock Option [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Number of shares authorized under plan | 282,957 | ||
Stock-based compensation expense, related tax benefits | $ 18,000 | $ 13,000 | |
Number of shares granted | 224,200 | ||
Stock options granted, exercise price | $ 15.13 | ||
Weighted average remaining years to vest | 5 years | ||
Expected volatility | 20.24% | ||
Stock options granted, fair value | $ 15.13 | ||
Expected option life | 6 years 6 months | ||
Period of U.S. Treasury rate | 7 years | ||
Annual risk free interest rate | 1.54% | ||
Estimated fair value of award determined by Black-Scholes option pricing model | $ 3.71 | ||
Aggregate intrinsic value | 1,100,000 | ||
Stock option expense | $ 166,000 | 106,000 | |
Options exercised/forfeited | 0 | ||
Unrecognized compensation costs, weighted-average recognition period | 3 years 3 months 19 days | ||
Number of shares outstanding | 224,200 | ||
Number of shares exercisable | 44,840 | ||
Weighted average remaining contractual terms, Exercisable | 8 years 3 months 19 days | ||
Unrecognized compensation costs | $ 559,000 | ||
Restricted Stock Awards and Restricted Stock Units [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Number of shares authorized under plan | 113,183 | ||
Restricted Stock [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Number of shares awarded | 44,300 | ||
Weighted-average grant-date fair values of options granted per share | $ 15.13 | ||
Award vesting period | 5 years | ||
Minimum vesting period from date of grant | 1 year | ||
Stock-based compensation expense | $ 134,000 | 85,000 | |
Stock-based compensation expense, related tax benefits | $ 54,000 | $ 34,000 | |
Number of unvested restricted stock awarded | 35,440 | ||
Unrecognized share based compensation expense | $ 451,000 | ||
Unrecognized compensation costs, weighted-average recognition period | 3 years 3 months 19 days |
Financial Instruments - Summary
Financial Instruments - Summary of Financial Instrument Liabilities with off-Balance Sheet Credit Risk (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instrument liabilities with off-balance sheet credit risk | $ 22,332 | $ 25,458 |
Commitments to Originate Loans [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instrument liabilities with off-balance sheet credit risk | 2,401 | 7,864 |
Unused Lines of Credit [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instrument liabilities with off-balance sheet credit risk | 17,611 | 13,742 |
Due to Borrowers on Unadvanced Construction Loans [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instrument liabilities with off-balance sheet credit risk | $ 2,320 | $ 3,852 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Assets Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | $ 26,496 | $ 31,831 |
U.S. Government and Federal Agency Obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 5,325 | 5,688 |
Debt Securities Issued by States of the United States and Political Subdivisions of the States [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 2,881 | 2,656 |
Corporate Bonds and Notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 11,294 | 12,493 |
Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 3,013 | 2,938 |
Mortgage-backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 1,448 | 1,432 |
Marketable Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 2,535 | 6,624 |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 5,548 | 9,562 |
Level 1 [Member] | Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 3,013 | 2,938 |
Level 1 [Member] | Marketable Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 2,535 | 6,624 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 20,948 | 22,269 |
Level 2 [Member] | U.S. Government and Federal Agency Obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 5,325 | 5,688 |
Level 2 [Member] | Debt Securities Issued by States of the United States and Political Subdivisions of the States [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 2,881 | 2,656 |
Level 2 [Member] | Corporate Bonds and Notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 11,294 | 12,493 |
Level 2 [Member] | Mortgage-backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | $ 1,448 | $ 1,432 |
Fair Value Measurements - Sum71
Fair Value Measurements - Summary of Estimated Fair Values of Bank's Financial Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financial assets: | ||
Available-for-sale securities | $ 26,496 | $ 31,831 |
Federal Home Loan Bank stock | 1,800 | 964 |
Co-operative Central Bank deposit | 886 | 881 |
Accrued interest receivable | 702 | 572 |
Carrying Amount [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 17,603 | 13,792 |
Available-for-sale securities | 26,496 | 31,831 |
Federal Home Loan Bank stock | 1,800 | 964 |
Loans, net | 251,317 | 213,165 |
Co-operative Central Bank deposit | 886 | 881 |
Accrued interest receivable | 702 | 572 |
Financial liabilities: | ||
Deposits | 232,921 | 214,766 |
FHLB advances | 29,000 | 10,000 |
Estimate of Fair Value Measurement [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 17,603 | 13,792 |
Available-for-sale securities | 26,496 | 31,831 |
Federal Home Loan Bank stock | 1,800 | 964 |
Loans, net | 252,792 | 213,582 |
Co-operative Central Bank deposit | 886 | 881 |
Accrued interest receivable | 702 | 572 |
Financial liabilities: | ||
Deposits | 232,899 | 215,443 |
FHLB advances | 28,660 | 9,930 |
Level 1 [Member] | Estimate of Fair Value Measurement [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 17,603 | 13,792 |
Available-for-sale securities | 5,548 | 9,562 |
Federal Home Loan Bank stock | 1,800 | 964 |
Co-operative Central Bank deposit | 886 | 881 |
Accrued interest receivable | 702 | 572 |
Level 2 [Member] | Estimate of Fair Value Measurement [Member] | ||
Financial assets: | ||
Available-for-sale securities | 20,948 | 22,269 |
Financial liabilities: | ||
Deposits | 232,899 | 215,443 |
FHLB advances | 28,660 | 9,930 |
Level 3 [Member] | Estimate of Fair Value Measurement [Member] | ||
Financial assets: | ||
Loans, net | $ 252,792 | $ 213,582 |
Other Comprehensive Loss - Comp
Other Comprehensive Loss - Components of Other Comprehensive Loss Included in Stockholders' Equity (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract] | ||
Net unrealized holding gain on available-for-sale securities | $ 478 | $ 285 |
Reclassification adjustment for net realized gains included in net income | (1,385) | (1,004) |
Other comprehensive loss before income tax effect | (907) | (719) |
Income tax benefit | 378 | 269 |
Other comprehensive loss, net of tax | $ (529) | $ (450) |
Other Comprehensive Loss - Co73
Other Comprehensive Loss - Components of Other Comprehensive Loss Included in Stockholders' Equity (Parenthetical) (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Reclassification adjustment for net realized gains in net income | $ 1,385,000 | $ 1,004,000 |
Reclassified Out of Accumulated Other Comprehensive Income (Loss) [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Reclassification adjustment for net realized gains in net income | 1,400,000 | 1,000,000 |
Tax benefit, included in income tax expense | $ 490,000 | $ 359,000 |
Regulatory Matters - Additional
Regulatory Matters - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common equity tier 1 capital, minimum capital requirement ratio | 4.50% | 4.50% |
Tier 1 capital to risk weighted assets, minimum capital requirement ratio | 6.00% | 6.00% |
Tier 1 leverage ratio, minimum capital requirement ratio | 4.00% | 4.00% |
Common equity tier 1 capital, minimum to be well capitalized ratio | 6.50% | 6.50% |
Total capital to risk weighted assets, minimum to be well capitalized ratio | 10.00% | 10.00% |
Tier 1 capital to risk weighted assets, minimum to be well capitalized ratio | 8.00% | 8.00% |
Tier 1 leverage ratio, minimum to be well capitalized ratio | 5.00% | 5.00% |
Tier 1 capital to risk-weighted assets capital conservation buffer above the required capital ratios Annual Increase | 0.625% | |
Tier 1 capital to risk-weighted assets capital conservation buffer above the required capital ratios that phases in beginning January 1, 2016 | 0.625% | |
Tier 1 capital to risk-weighted assets capital conservation buffer above the required capital ratios Annual fully phased in effective January 1, 2019 | 2.50% | |
Maximum [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Phase in period term | 4 years | |
Minimum [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Phase in period term | 2 years | |
Capital Regulations [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common equity tier 1 capital, minimum capital requirement ratio | 4.50% | |
Total capital to risk weighted assets, minimum capital requirement ratio | 8.00% | |
Tier 1 capital to risk weighted assets, minimum capital requirement ratio | 6.00% | |
Tier 1 leverage ratio, minimum capital requirement ratio | 4.00% | |
Common equity tier 1 capital, minimum to be well capitalized ratio | 6.50% | |
Total capital to risk weighted assets, minimum to be well capitalized ratio | 10.00% | |
Tier 1 capital to risk weighted assets, minimum to be well capitalized ratio | 8.00% | |
Tier 1 leverage ratio, minimum to be well capitalized ratio | 5.00% |
Regulatory Matters - Summary of
Regulatory Matters - Summary of Actual Capital Amounts and Ratios (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Debt Instrument Fair Value Carrying Value [Abstract] | ||
Total Capital (to Risk Weighted Assets), Actual | $ 37,141 | $ 35,236 |
Tier 1 Capital (to Risk Weighted Assets), Actual | 35,786 | 33,648 |
Common Equity Tier 1 Capital (to Risk Weighted Assets), Actual | 35,786 | 33,648 |
Tier 1 Capital (to Average Assets), Actual | $ 35,786 | $ 33,648 |
Total Capital (to Risk Weighted Assets), Actual Ratio | 19.80% | 21.09% |
Tier 1 Capital (to Risk Weighted Assets), Actual Ratio | 19.08% | 20.14% |
Common Equity Tier 1 Capital (to Risk Weighted Assets), Actual Ratio | 19.08% | 20.14% |
Tier 1 Capital (to Average Assets), Actual Ratio | 12.59% | 13.58% |
Total Capital (to Risk Weighted Assets), For Capital Adequacy purpose Amount | $ 15,007 | $ 13,368 |
Tier 1 Capital (to Risk Weighted Assets) For Capital Adequacy purpose Amount | 11,255 | 10,026 |
Common Equity Tier 1 Capital (to Risk Weighted Assets) For Capital Adequacy purpose Amount | 8,441 | 7,519 |
Tier 1 Capital (to Average Assets) For Capital Adequacy purpose Amount | $ 11,373 | $ 9,909 |
Total Capital (to Risk Weighted Assets), For Capital Adequacy purpose Ratio | 8.00% | 8.00% |
Tier 1 Capital (to Risk Weighted Assets) For Capital Adequacy purpose Ratio | 6.00% | 6.00% |
Common Equity Tier 1 Capital (to Risk Weighted Assets), For Capital Adequacy purpose Ratio | 4.50% | 4.50% |
Tier 1 Capital (to Average Assets) For Capital Adequacy purpose Ratio | 4.00% | 4.00% |
Total Capital (to Risk Weighted Assets), Capitalized Under Prompt Corrective Action Provisions Amount | $ 18,759 | $ 16,710 |
Tier 1 Capital (to Risk Weighted Assets), Capitalized Under Prompt Corrective Action Provisions Amount | 15,007 | 13,368 |
Common Equity Tier 1 Capital (to Risk Weighted Assets), Capitalized Under Prompt Corrective Action Provisions Amount | 12,193 | 10,861 |
Tier 1 Capital (to Average Assets), Capitalized Under Prompt Corrective Action Provisions Amount | $ 14,216 | $ 12,386 |
Total Capital (to Risk Weighted Assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 10.00% | 10.00% |
Tier 1 Capital (to Risk Weighted Assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 8.00% | 8.00% |
Common Equity Tier 1 Capital (to Risk Weighted Assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 6.50% | 6.50% |
Tier 1 Capital (to Average Assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 5.00% | 5.00% |
Common Stock Repurchases - Addi
Common Stock Repurchases - Additional Information (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Sep. 14, 2017 | |
Equity, Class of Treasury Stock [Line Items] | |||
Additional number of shares authorized for repurchase | 130,037 | ||
Additional number of shares authorized for repurchase, percentage | 5.00% | ||
Remaining number of shares authorized to be repurchased | 11,200 | ||
Total number of shares repurchased | 1,336 | 229,800 | |
Average cost of shares repurchased | $ 15.32 | ||
Maximum [Member] | |||
Equity, Class of Treasury Stock [Line Items] | |||
Number of shares authorized to be repurchased | 283,000 |
Subsequent Event - Additional I
Subsequent Event - Additional Information (Detail) - Subsequent Event [Member] | Jan. 17, 2018$ / shares |
Common stock dividend declared, cash | $ 0.34 |
Dividend payable declared date | Jan. 17, 2018 |
Dividend payable recored date | Jan. 29, 2018 |
Dividend payable date | Feb. 14, 2018 |
Condensed Parent Company Only78
Condensed Parent Company Only Financial Statements - Summary of Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Assets | |||
Non-interest bearing deposit in the Bank | $ 8,903 | $ 11,715 | |
Money market funds | 3,963 | 2,077 | |
Investments in available-for-sale securities (at fair value) | 26,496 | 31,831 | |
Loan receivable ESOP | 2,019 | ||
Accrued interest receivable | 702 | 572 | |
Deferred tax assets | 639 | 854 | |
Other assets | 275 | 199 | |
Total assets | 307,526 | 268,646 | |
Liabilities and Stockholders' Equity | |||
Other liabilities | 612 | 576 | |
Stockholders' equity | 44,993 | 43,304 | $ 45,545 |
Total liabilities and stockholders' equity | 307,526 | 268,646 | |
Parent Company [Member] | |||
Assets | |||
Non-interest bearing deposit in the Bank | 1,998 | 1,881 | |
Money market funds | 1,363 | 1,558 | |
Cash and cash equivalents | 3,361 | 3,439 | $ 5,815 |
Investments in available-for-sale securities (at fair value) | 3,233 | 2,980 | |
Investment in subsidiary, Melrose Cooperative Bank | 35,997 | 34,399 | |
Loan receivable ESOP | 2,019 | 2,070 | |
Accrued interest receivable | 11 | 5 | |
Deferred tax assets | 203 | 388 | |
Other assets | 286 | 147 | |
Total assets | 45,110 | 43,428 | |
Liabilities and Stockholders' Equity | |||
Other liabilities | 117 | 124 | |
Stockholders' equity | 44,993 | 43,304 | |
Total liabilities and stockholders' equity | $ 45,110 | $ 43,428 |
Condensed Parent Company Only79
Condensed Parent Company Only Financial Statements - Summary of Statements of Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Interest and dividend income: | ||||||||||
Total interest and dividend income | $ 2,354 | $ 2,348 | $ 2,195 | $ 2,044 | $ 2,030 | $ 1,911 | $ 1,769 | $ 1,695 | $ 8,941 | $ 7,405 |
Noninterest expense: | ||||||||||
Salaries and employee benefits | 3,240 | 2,772 | ||||||||
Other expenses | 223 | 152 | ||||||||
Total noninterest expense | 1,276 | 1,317 | 1,277 | 1,240 | 1,157 | 1,082 | 1,194 | 1,039 | 5,110 | 4,472 |
Loss before undistributed income of subsidiary and income tax expense (benefit) | 3,046 | 2,218 | ||||||||
Income before income taxes | 551 | 931 | 701 | 863 | 917 | 608 | 413 | 280 | ||
Income tax expense (benefit) | 325 | 300 | 280 | 337 | 349 | 222 | 138 | 87 | 1,242 | 796 |
Net income | $ 226 | $ 631 | $ 421 | $ 526 | $ 568 | $ 386 | $ 275 | $ 193 | 1,804 | 1,422 |
Parent Company [Member] | ||||||||||
Interest and dividend income: | ||||||||||
Interest on ESOP loan | 67 | 69 | ||||||||
Interest and dividends on securities | 49 | 71 | ||||||||
Total interest and dividend income | 116 | 140 | ||||||||
Noninterest expense: | ||||||||||
Salaries and employee benefits | 300 | 191 | ||||||||
Other expenses | 1 | |||||||||
Total noninterest expense | 300 | 192 | ||||||||
Loss before undistributed income of subsidiary and income tax expense (benefit) | (184) | (52) | ||||||||
Undistributed income of subsidiary | 2,004 | 1,472 | ||||||||
Income before income taxes | 1,820 | 1,420 | ||||||||
Income tax expense (benefit) | 16 | (2) | ||||||||
Net income | $ 1,804 | $ 1,422 |
Condensed Parent Company Only80
Condensed Parent Company Only Financial Statements - Summary of Statements of Cash Flows (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | ||||||||||
Net income | $ 226 | $ 631 | $ 421 | $ 526 | $ 568 | $ 386 | $ 275 | $ 193 | $ 1,804 | $ 1,422 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||
Amortization of securities, net of accretion | 144 | 37 | ||||||||
Increase in accrued interest receivable | (130) | (132) | ||||||||
Deferred tax expense | 134 | 71 | ||||||||
Increase in other assets | (76) | (4) | ||||||||
(Decrease) increase in other liabilities | 36 | 17 | ||||||||
Stock based compensation expense | 300 | 191 | ||||||||
Net cash provided by operating activities | 1,117 | 673 | ||||||||
Cash flows from investing activities: | ||||||||||
Purchases of available-for-sale securities | (4,214) | (4,991) | ||||||||
Proceeds from maturities of available-for-sale securities | 5,385 | 9,230 | ||||||||
Net cash (used in) provided by investing activities | (34,439) | (40,454) | ||||||||
Cash flows from financing activities: | ||||||||||
Payment of income taxes for shares withheld in stock based award activity | (22) | |||||||||
Cash paid for stock repurchases | (3,520) | |||||||||
Net cash provided by financing activities | 37,133 | 36,719 | ||||||||
Parent Company [Member] | ||||||||||
Cash flows from operating activities: | ||||||||||
Net income | 1,804 | 1,422 | ||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||
Amortization of securities, net of accretion | 62 | 31 | ||||||||
Increase in accrued interest receivable | (6) | (1) | ||||||||
Deferred tax expense | 175 | 29 | ||||||||
Increase in other assets | (139) | (36) | ||||||||
(Decrease) increase in other liabilities | (7) | 124 | ||||||||
Stock based compensation expense | 300 | 191 | ||||||||
Equity in undistributed earnings of subsidiary | (2,004) | (1,472) | ||||||||
Net cash provided by operating activities | 185 | 288 | ||||||||
Cash flows from investing activities: | ||||||||||
Purchases of available-for-sale securities | (898) | |||||||||
Proceeds from maturities of available-for-sale securities | 606 | 810 | ||||||||
Repayment of principal on ESOP loan | 51 | 46 | ||||||||
Net cash (used in) provided by investing activities | (241) | 856 | ||||||||
Cash flows from financing activities: | ||||||||||
Payment of income taxes for shares withheld in stock based award activity | (22) | |||||||||
Cash paid for stock repurchases | (3,520) | |||||||||
Net cash provided by financing activities | (22) | (3,520) | ||||||||
Net decrease in cash and cash equivalents | (78) | (2,376) | ||||||||
Cash and cash equivalents at beginning of year | $ 3,439 | $ 5,815 | 3,439 | 5,815 | ||||||
Cash and cash equivalents at end of year | $ 3,361 | $ 3,439 | $ 3,361 | $ 3,439 |
Quarterly Data - Summary of Qua
Quarterly Data - Summary of Quarterly Financial Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | ||||||||||
Interest and dividend income | $ 2,354 | $ 2,348 | $ 2,195 | $ 2,044 | $ 2,030 | $ 1,911 | $ 1,769 | $ 1,695 | $ 8,941 | $ 7,405 |
Interest expense | 626 | 591 | 499 | 467 | 455 | 429 | 395 | 361 | 2,183 | 1,640 |
Net interest and dividend income | 1,728 | 1,757 | 1,696 | 1,577 | 1,575 | 1,482 | 1,374 | 1,334 | 6,758 | 5,765 |
(Benefit)/provision for loan losses | 151 | 3 | 111 | (20) | 30 | 117 | 103 | 60 | ||
Net interest and dividend income, after (benefit)/provision for loan losses | 1,578 | 1,754 | 1,585 | 1,596 | 1,545 | 1,365 | 1,271 | 1,274 | 6,513 | 5,455 |
Total noninterest income | 249 | 494 | 393 | 507 | 529 | 325 | 336 | 45 | 1,643 | 1,235 |
Total noninterest expense | 1,276 | 1,317 | 1,277 | 1,240 | 1,157 | 1,082 | 1,194 | 1,039 | 5,110 | 4,472 |
Income before income taxes | 551 | 931 | 701 | 863 | 917 | 608 | 413 | 280 | ||
Provision for income taxes | 325 | 300 | 280 | 337 | 349 | 222 | 138 | 87 | 1,242 | 796 |
Net income | $ 226 | $ 631 | $ 421 | $ 526 | $ 568 | $ 386 | $ 275 | $ 193 | $ 1,804 | $ 1,422 |
Earnings per share: | ||||||||||
Basic | $ 0.09 | $ 0.27 | $ 0.18 | $ 0.22 | $ 0.24 | $ 0.16 | $ 0.11 | $ 0.08 | $ 0.76 | $ 0.59 |
Diluted | $ 0.09 | $ 0.27 | $ 0.18 | $ 0.22 | $ 0.24 | $ 0.16 | $ 0.11 | $ 0.08 | $ 0.76 | $ 0.59 |