Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2018 | Nov. 05, 2018 | |
Document Information [Abstract] | ||
Entity Registrant Name | Reliant Bancorp, Inc. | |
Entity Central Index Key | 1,606,440 | |
Trading Symbol | rbnc | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding (in shares) | 11,531,594 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
ASSETS | ||
Cash and due from banks | $ 34,026 | $ 20,497 |
Federal funds sold | 417 | 171 |
Total cash and cash equivalents | 34,443 | 20,668 |
Securities available for sale | 293,028 | 220,201 |
Loans, net | 1,183,431 | 762,488 |
Mortgage loans held for sale, net | 12,712 | 45,322 |
Accrued interest receivable | 8,032 | 5,744 |
Premises and equipment, net | 22,156 | 9,790 |
Restricted equity securities, at cost | 11,681 | 7,774 |
Other real estate, net | 1,000 | 0 |
Cash surrender value of life insurance contracts | 45,220 | 33,663 |
Deferred tax assets, net | 9,214 | 1,099 |
Goodwill | 43,642 | 11,404 |
Core deposit intangibles | 8,456 | 1,280 |
Other assets | 11,186 | 5,601 |
TOTAL ASSETS | 1,684,201 | 1,125,034 |
Deposits | ||
Demand | 221,252 | 131,996 |
Interest-bearing demand | 162,159 | 88,230 |
Savings and money market deposit accounts | 358,934 | 205,230 |
Time | 653,201 | 458,063 |
Total deposits | 1,395,546 | 883,519 |
Accrued interest payable | 1,150 | 305 |
Subordinated debentures | 11,583 | 0 |
Federal Home Loan Bank advances | 62,686 | 96,747 |
Dividends payable | 922 | 542 |
Other liabilities | 8,563 | 3,784 |
TOTAL LIABILITIES | 1,480,450 | 984,897 |
STOCKHOLDERS’ EQUITY | ||
Preferred stock, $1 par value; 10,000,000 shares authorized; no shares issued to date | 0 | 0 |
Common stock, $1 par value; 30,000,000 shares authorized; 11,531,094 and 9,034,439 shares issued and outstanding at September 30, 2018, and December 31, 2017, respectively | 11,531 | 9,034 |
Additional paid-in capital | 172,930 | 112,437 |
Retained earnings | 24,246 | 17,189 |
Accumulated other comprehensive gain (loss) | (4,956) | 1,477 |
TOTAL STOCKHOLDERS’ EQUITY | 203,751 | 140,137 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ 1,684,201 | $ 1,125,034 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Sep. 30, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 30,000,000 | 30,000,000 |
Common stock, shares issued (in shares) | 11,531,094 | 9,034,439 |
Common stock, shares outstanding (in shares) | 11,531,094 | 9,034,439 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
INTEREST INCOME | ||||
Interest and fees on loans | $ 14,873 | $ 9,078 | $ 42,497 | $ 25,193 |
Interest and fees on loans held for sale | 294 | 211 | 1,101 | 420 |
Interest on investment securities, taxable | 414 | 179 | 1,374 | 514 |
Interest on investment securities, nontaxable | 1,709 | 1,022 | 4,921 | 2,796 |
Federal funds sold and other | 280 | 137 | 869 | 381 |
TOTAL INTEREST INCOME | 17,570 | 10,627 | 50,762 | 29,304 |
Deposits | ||||
Demand | 102 | 42 | 263 | 131 |
Savings and money market deposit accounts | 657 | 207 | 1,709 | 557 |
Time | 2,542 | 1,117 | 6,737 | 2,663 |
Federal Home Loan Bank advances and other | 606 | 165 | 1,275 | 383 |
Subordinated debentures | 197 | 0 | 526 | 0 |
TOTAL INTEREST EXPENSE | 4,104 | 1,531 | 10,510 | 3,734 |
NET INTEREST INCOME | 13,466 | 9,096 | 40,252 | 25,570 |
PROVISION FOR LOAN LOSSES | 322 | 540 | 759 | 1,195 |
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES | 13,144 | 8,556 | 39,493 | 24,375 |
NONINTEREST INCOME | ||||
Service charges on deposit accounts | 833 | 309 | 2,504 | 936 |
Gains on mortgage loans sold, net | 1,399 | 1,571 | 4,061 | 2,751 |
Gain on securities transactions, net | 18 | 0 | 43 | 59 |
Gain on sale of other real estate | 150 | 1 | 259 | 26 |
Gain (loss) on disposal of premises and equipment | 16 | (50) | 16 | (50) |
Other | 361 | 256 | 1,139 | 735 |
TOTAL NONINTEREST INCOME | 2,777 | 2,087 | 8,022 | 4,457 |
NONINTEREST EXPENSE | ||||
Salaries and employee benefits | 6,913 | 4,880 | 20,480 | 13,634 |
Occupancy | 1,234 | 850 | 3,673 | 2,482 |
Information technology | 1,315 | 732 | 3,913 | 1,924 |
Advertising and public relations | 183 | 81 | 413 | 204 |
Audit, legal and consulting | 588 | 501 | 2,027 | 1,102 |
Federal deposit insurance | 210 | 100 | 630 | 320 |
Merger expenses | 82 | 562 | 2,742 | 562 |
Other operating | 1,637 | 791 | 4,487 | 2,406 |
TOTAL NONINTEREST EXPENSE | 12,162 | 8,497 | 38,365 | 22,634 |
INCOME BEFORE PROVISION FOR INCOME TAXES | 3,759 | 2,146 | 9,150 | 6,198 |
INCOME TAX EXPENSE | 519 | 306 | 1,431 | 1,005 |
Net income (loss) | 3,240 | 1,840 | 7,719 | 5,193 |
NONCONTROLLING INTEREST IN NET LOSS OF SUBSIDIARY | 842 | 6 | 2,243 | 898 |
NET INCOME ATTRIBUTABLE TO COMMON SHAREHOLDERS | $ 4,082 | $ 1,846 | $ 9,962 | $ 6,091 |
Basic net income attributable to common shareholders, per share (in dollars per share) | $ 0.36 | $ 0.23 | $ 0.88 | $ 0.77 |
Diluted net income attributable to common shareholders, per share (in dollars per share) | $ 0.36 | $ 0.22 | $ 0.87 | $ 0.76 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Statement of Comprehensive Income [Abstract] | ||||
Consolidated net income | $ 3,240 | $ 1,840 | $ 7,719 | $ 5,193 |
Other comprehensive income (loss) | ||||
Net unrealized gains (losses) on available for sale securities, net of tax of ($712) and $257 for the three months ended September 30, 2018 and 2017, respectively, and ($2,260) and $1,273 for the nine months ended September 30, 2018 and 2017, respectively | (2,023) | 412 | (6,401) | 2,051 |
Reclassification adjustment for gains included in net income, net of tax of ($4) for the three months ended September 30, 2018, and ($11) and ($23) for the nine months ended September 30, 2018 and 2017, respectively | (14) | 0 | (32) | (36) |
TOTAL OTHER COMPREHENSIVE INCOME (LOSS) | (2,037) | 412 | (6,433) | 2,015 |
TOTAL COMPREHENSIVE INCOME | $ 1,203 | $ 2,252 | $ 1,286 | $ 7,208 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parentheticals) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Statement of Comprehensive Income [Abstract] | ||||
Net unrealized gains on available-for-sale securities, tax benefit | $ (712) | $ 257 | $ (2,260) | $ 1,273 |
Reclassification adjustment for (gains) included in net income, tax | $ (4) | $ 0 | $ (11) | $ (23) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands | Total | COMMON STOCK | ADDITIONAL PAID-IN CAPITAL | RETAINED EARNINGS | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | NONCONTROLLING INTEREST |
BALANCE (in shares) at Dec. 31, 2016 | 7,778,309 | |||||
BALANCE at Dec. 31, 2016 | $ 106,919 | $ 7,778 | $ 89,045 | $ 12,212 | $ (2,116) | $ 0 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Stock based compensation expense | 412 | 412 | ||||
Exercise of stock options (in shares) | 59,739 | |||||
Exercise of stock options | 693 | $ 60 | 633 | |||
Restricted stock awards (in shares) | 50,050 | |||||
Restricted stock awards | 0 | $ 50 | (50) | |||
Restricted stock forfeiture (in shares) | (3,000) | |||||
Restricted stock forfeiture | 0 | $ (3) | 3 | |||
Common stock issuance (in shares) | 1,137,000 | |||||
Common stock issuance | 25,014 | $ 1,137 | 23,877 | |||
Stock issuance costs | (1,718) | (1,718) | ||||
Noncontrolling interest contributions | 898 | 898 | ||||
Cash dividends declared to common shareholders | (1,482) | (1,482) | ||||
Net income (loss) | 5,193 | 6,091 | (898) | |||
Other comprehensive income (loss) | 2,015 | 2,015 | ||||
BALANCE (in shares) at Sep. 30, 2017 | 9,022,098 | |||||
BALANCE at Sep. 30, 2017 | $ 137,944 | $ 9,022 | 112,202 | 16,821 | (101) | 0 |
BALANCE (in shares) at Dec. 31, 2017 | 9,034,439 | 9,034,439 | ||||
BALANCE at Dec. 31, 2017 | $ 140,137 | $ 9,034 | 112,437 | 17,189 | 1,477 | 0 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Stock based compensation expense | $ 609 | 609 | ||||
Exercise of stock options (in shares) | 30,001 | 30,001 | ||||
Exercise of stock options | $ 398 | $ 30 | 368 | |||
Restricted stock awards (in shares) | 51,210 | |||||
Restricted stock awards | 0 | $ 51 | (51) | |||
Restricted stock forfeiture (in shares) | (1,000) | |||||
Restricted stock forfeiture | 0 | $ (1) | 1 | |||
Common stock issuance (in shares) | 2,416,444 | |||||
Common stock issuance | 61,983 | $ 2,417 | 59,566 | |||
Noncontrolling interest contributions | 2,243 | 2,243 | ||||
Cash dividends declared to common shareholders | (2,905) | (2,905) | ||||
Net income (loss) | 7,719 | 9,962 | (2,243) | |||
Other comprehensive income (loss) | $ (6,433) | (6,433) | ||||
BALANCE (in shares) at Sep. 30, 2018 | 11,531,094 | 11,531,094 | ||||
BALANCE at Sep. 30, 2018 | $ 203,751 | $ 11,531 | $ 172,930 | $ 24,246 | $ (4,956) | $ 0 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
OPERATING ACTIVITIES | ||
Consolidated net income | $ 7,719 | $ 5,193 |
Adjustments to reconcile consolidated net income to net cash provided by (used in) operating activities | ||
Provision for loan losses | 759 | 1,195 |
Provision to reflect market value of mortgage loans held for sale | 196 | (160) |
Deferred income taxes (benefit) | (959) | (589) |
Loss (gain) on disposal of premises and equipment | (16) | 50 |
Depreciation and amortization of premises and equipment | 1,235 | 762 |
Net amortization of securities | 2,374 | 1,478 |
Net realized losses on sales of securities | (43) | (59) |
Gains on mortgage loans sold, net | (4,061) | (2,751) |
Stock-based compensation expense | 609 | 412 |
Realization of gain on other real estate | (259) | (26) |
Increase in cash surrender value of life insurance contracts | (893) | (595) |
Mortgage loans originated for resale | (113,481) | (99,325) |
Proceeds from sale of mortgage loans | 150,866 | 94,592 |
Other amortization (accretion) | (615) | (260) |
Change in | ||
Accrued interest receivable | (1,123) | (1,213) |
Other assets | (2,852) | 5,701 |
Accrued interest payable | 845 | 113 |
Other liabilities | 778 | 1,525 |
TOTAL ADJUSTMENTS | 33,360 | 850 |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 41,079 | 6,043 |
INVESTING ACTIVITIES | ||
Cash received from merger | 33,128 | 0 |
Activities in available for sale securities | ||
Purchases | (103,375) | (68,010) |
Sales | 100,737 | 18,688 |
Maturities, prepayments and calls | 10,125 | 6,057 |
Purchases of restricted equity securities | (2,181) | (30) |
Loan originations and payments, net | (108,431) | (82,766) |
Purchase of buildings, leasehold improvements, and equipment | (4,000) | (1,277) |
Proceeds from sale of other real estate | 1,947 | 0 |
Purchase of life insurance contracts | 0 | (4,000) |
NET CASH USED IN INVESTING ACTIVITIES | (72,050) | (131,338) |
FINANCING ACTIVITIES | ||
Net change in deposits | 79,588 | 76,614 |
Net change in federal funds purchased | 0 | (3,671) |
Net change in advances from Federal Home Loan Bank | (34,020) | 24,473 |
Issuance of common stock | 398 | 23,989 |
Noncontrolling interest contributions received | 1,305 | 1,245 |
Cash dividends paid on common stock | (2,525) | (2,652) |
NET CASH PROVIDED BY FINANCING ACTIVITIES | 44,746 | 119,998 |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 13,775 | (5,297) |
CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD | 20,668 | 24,243 |
CASH AND CASH EQUIVALENTS - END OF PERIOD | 34,443 | 18,946 |
Cash paid during the period for | ||
Interest | 9,665 | 3,621 |
Taxes | 2,170 | 1,277 |
Non-cash investing and financing activities | ||
Unrealized gain (loss) on securities available-for-sale | (9,742) | 3,618 |
Unrealized gain (loss) on derivatives | 1,038 | (353) |
Change in due to/from noncontrolling interest | 2,243 | 898 |
Loans foreclosed and transferred to other real estate owned and foreclosed assets | $ 1,060 | $ 0 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accounting and reporting policies of Reliant Bancorp, Inc. conform to accounting principles generally accepted in the United States of America and to general practices within the banking industry. The following is a brief summary of the significant policies. Nature of Operations Reliant Bancorp, Inc. ("Reliant Bancorp"), through its wholly owned subsidiary bank, Reliant Bank (the "Bank"), provides financial services through its offices in Williamson, Robertson, Davidson, Sumner, Rutherford, Maury, Hickman and Hamilton Counties in Tennessee. Its primary deposit products are checking, savings, and term certificate accounts, and its primary lending products are commercial and residential construction loans, commercial loans, installment loans and lines secured by home equity. Substantially all loans are secured by specific items of collateral including commercial and residential real estate, business assets, and consumer assets. Commercial loans are expected to be repaid from cash flow from operations of businesses. Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared in accordance with instructions to Form 10-Q and therefore do not include all information and footnotes necessary for a fair presentation of financial position, results of operations, and cash flows in conformity with U.S. generally accepted accounting principles (U.S. GAAP). All adjustments consisting of normally recurring accruals that, in the opinion of management, are necessary for a fair presentation of the financial position and results of operations for the periods covered by the report have been included. The accompanying unaudited consolidated financial statements should be read in conjunction with Reliant Bancorp, Inc.’s consolidated financial statements and related notes appearing in Reliant Bancorp, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2017 . The consolidated financial statements as of and for the periods presented include the accounts of Reliant Bancorp, the Bank, Community First TRUPS Holding Company, which is wholly owned by Reliant Bancorp (“TRUPS”), and Reliant Mortgage Ventures, LLC ("RMV"), of which the Bank controls 51% of the governance rights. Reliant Bancorp, the Bank, TRUPS, and RMV, are collectively referred to herein as the “Company”. As described in the notes to our annual consolidated financial statements, RMV is considered a variable interest entity for which the Bank is deemed to be the primary beneficiary. All significant intercompany balances and transactions have been eliminated in consolidation. As described in Note 12, Reliant Bancorp, Inc. and Community First, Inc. merged effective January 1, 2018. The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America ("U.S. GAAP") and to general practices in the banking industry. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions based on available information. These estimates and assumptions affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to determination of the allowance for loan losses, the valuation of other real estate, the valuation of debt and equity securities, the valuation of deferred tax assets and fair values of financial instruments. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Use of Estimates (Continued) The consolidated financial statements as of September 30, 2018 , and for the three and nine months ended September 30, 2018 and 2017 , included herein have not been audited. The accounting and reporting policies of the Company conform to U.S. GAAP and Article 8 of Regulation S-X. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission, although the Company believes that the disclosures made are adequate to make the information not misleading. The accompanying consolidated financial statements reflect all adjustments, which are, in the opinion of management, necessary to present a fair statement of the results for the interim periods presented. Such adjustments are of a normal recurring nature. The Company evaluates subsequent events through the date of filing. Certain prior period amounts have been reclassified to conform to the current period presentation. The results for the three and nine months ended September 30, 2018 are not necessarily indicative of the results that may be expected for the year ending December 31, 2018 . Reclassifications Certain reclassifications were made to the September 30, 2017 financial statement presentation in order to conform to the September 30, 2018 financial statement presentation. Total shareholder's equity and net income are unchanged due to these reclassifications. |
Securities
Securities | 9 Months Ended |
Sep. 30, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
SECURITIES | SECURITIES The amortized cost and fair value of available for sale securities and the related gross unrealized gains and losses recognized in accumulated other comprehensive loss at September 30, 2018 and accumulated other comprehensive income at December 31, 2017 were as follows: September 30, 2018 Amortized Gross Gross Estimated U. S. Treasury and other U. S. government agencies $ 573 $ — $ (20 ) $ 553 State and municipal 233,929 320 (6,741 ) 227,508 Corporate bonds 3,130 2 (103 ) 3,029 Mortgage backed securities 29,335 10 (478 ) 28,867 Asset backed securities 30,279 — (708 ) 29,571 Time deposits 3,500 — — 3,500 Total $ 300,746 $ 332 $ (8,050 ) $ 293,028 December 31, 2017 Amortized Gross Gross Estimated U. S. Treasury and other U. S. government agencies $ 586 $ — $ (8 ) $ 578 State and municipal 189,576 3,081 (905 ) 191,752 Corporate bonds 1,500 5 (13 ) 1,492 Mortgage backed securities 6,262 3 (96 ) 6,169 Asset backed securities 16,753 45 (88 ) 16,710 Time deposits 3,500 — — 3,500 Total $ 218,177 $ 3,134 $ (1,110 ) $ 220,201 NOTE 2 - SECURITIES (CONTINUED) Securities pledged at September 30, 2018 and December 31, 2017 had a carrying amount of $70,833 and $78,220 , respectively, and were pledged to collateralize Federal Home Loan Bank advances, Federal Reserve advances and municipal deposits. At September 30, 2018 and December 31, 2017 , there were no holdings of securities of any one issuer in an amount greater than 10% of stockholders’ equity. The fair value of available for sale debt securities at September 30, 2018 by contractual maturity are provided below. Actual maturities may differ from contractual maturities for mortgage and asset backed securities since the underlying asset may be called or prepaid with or without penalty. Securities not due at a single maturity date are shown separately. Amortized Cost Estimated Fair Value Due within one year $ 1,756 $ 1,753 Due in one to five years 7,066 7,019 Due in five to ten years 13,090 12,797 Due after ten years 219,220 213,021 Mortgage backed securities 29,335 28,867 Asset backed securities 30,279 29,571 Total $ 300,746 $ 293,028 The following table shows available for sale securities with unrealized losses and their estimated fair value aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position as of September 30, 2018 : Less than 12 months 12 months or more Total Estimated Fair Value Unrealized Loss Estimated Unrealized Estimated Unrealized Description of Securities U. S. Treasury and other U. S. government agencies $ 72 $ 2 $ 481 $ 18 $ 553 $ 20 State and municipal 157,984 4,455 38,571 2,286 196,555 6,741 Corporate bonds 2,035 95 492 8 2,527 103 Mortgage backed securities 20,440 367 2,136 111 22,576 478 Asset backed securities 27,965 685 1,116 23 29,081 708 Total temporarily impaired $ 208,496 $ 5,604 $ 42,796 $ 2,446 $ 251,292 $ 8,050 NOTE 2 - SECURITIES (CONTINUED) The following table shows available for sale securities with unrealized losses and their estimated fair value aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position as of December 31, 2017 : Less than 12 months 12 months or more Total Estimated Unrealized Estimated Unrealized Estimated Unrealized Description of Securities U. S. Treasury and other U. S. government agencies $ 86 $ 1 $ 491 $ 7 $ 577 $ 8 State and municipal 19,899 128 34,946 777 54,845 905 Corporate bonds — — 487 13 487 13 Mortgage backed securities 2,412 14 3,349 82 5,761 96 Asset backed securities 8,971 73 854 15 9,825 88 Total temporarily impaired $ 31,368 $ 216 $ 40,127 $ 894 $ 71,495 $ 1,110 Management has the intent and ability to hold all securities in an unrealized loss position for the foreseeable future, and the decline in fair value is largely due to changes in interest rates and the change in the federal tax rate. The fair value is expected to recover as the securities approach their maturity date and/or market rates decline. There were 275 and 120 securities in an unrealized loss position as of September 30, 2018 and December 31, 2017 , respectively. |
Loans and Allowance for Loan Lo
Loans and Allowance for Loan Losses | 9 Months Ended |
Sep. 30, 2018 | |
Receivables [Abstract] | |
LOANS AND ALLOWANCE FOR LOAN LOSSES | LOANS AND ALLOWANCE FOR LOAN LOSSES Loans at September 30, 2018 and December 31, 2017 were comprised as follows: September 30, 2018 December 31, 2017 Commercial, Industrial and Agricultural $ 209,608 $ 138,706 Real Estate 1-4 Family Residential 228,014 111,932 1-4 Family HELOC 86,778 72,017 Multi-family and Commercial 433,882 261,044 Construction, Land Development and Farmland 199,849 156,452 Consumer 21,533 17,605 Other 14,444 14,694 1,194,108 772,450 Less Deferred loan (fees) costs (21 ) 231 Allowance for possible loan losses 10,698 9,731 Loans, net $ 1,183,431 $ 762,488 NOTE 3 - LOANS AND ALLOWANCE FOR LOAN LOSSES (CONTINUED) Activity in the allowance for loan losses by portfolio segment was as follows for the nine months ended September 30, 2018 : Commercial Industrial and Agricultural Multi-family and Commercial Real Estate Construction Land Development and Farmland 1-4 Family Residential Real Estate Beginning balance $ 2,538 $ 3,166 $ 2,434 $ 773 Charge-offs (308 ) (76 ) (144 ) (36 ) Recoveries 530 215 44 11 Provision (734 ) 813 56 573 Ending balance $ 2,026 $ 4,118 $ 2,390 $ 1,321 1-4 Family HELOC Consumer Other Total Beginning balance $ 595 $ 183 $ 42 $ 9,731 Charge-offs (6 ) (24 ) (37 ) (631 ) Recoveries 7 29 3 839 Provision 24 (2 ) 29 759 Ending balance $ 620 $ 186 $ 37 $ 10,698 Activity in the allowance for loan losses by portfolio segment was as follows for the nine months ended September 30, 2017 : Commercial Industrial and Agricultural Multi-family and Commercial Real Estate Construction Land Development and Farmland 1-4 Family Residential Real Estate Beginning balance $ 2,438 $ 2,731 $ 1,786 $ 1,178 Charge-offs (941 ) — — (15 ) Recoveries 306 — 5 — Provision 872 363 356 (296 ) Ending balance $ 2,675 $ 3,094 $ 2,147 $ 867 1-4 Family HELOC Consumer Other Total Beginning balance $ 704 $ 208 $ 37 $ 9,082 Charge-offs — (30 ) — (986 ) Recoveries 19 2 — 332 Provision (110 ) 9 1 1,195 Ending balance $ 613 $ 189 $ 38 $ 9,623 NOTE 3 - LOANS AND ALLOWANCE FOR LOAN LOSSES (CONTINUED) The allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of September 30, 2018 was as follows: Commercial Industrial and Agricultural Multi-family and Commercial Real Estate Construction Land Development and Farmland 1-4 Family Residential Real Estate Allowance for loan losses Individually evaluated for impairment $ 334 $ — $ 67 $ 23 Acquired with credit impairment — — — — Collectively evaluated for impairment 1,692 4,118 2,323 1,298 Total $ 2,026 $ 4,118 $ 2,390 $ 1,321 Loans Individually evaluated for impairment $ 1,485 $ 1,173 $ 2,314 $ 2,241 Acquired with credit impairment 40 236 1,762 268 Collectively evaluated for impairment 208,083 432,473 195,773 225,505 Total $ 209,608 $ 433,882 $ 199,849 $ 228,014 1-4 Family HELOC Consumer Other Total Allowance for loan losses Individually evaluated for impairment $ — $ — $ — $ 424 Acquired with credit impairment — — — — Collectively evaluated for impairment 620 186 37 10,274 Total $ 620 $ 186 $ 37 $ 10,698 Loans Individually evaluated for impairment $ 90 $ 12 $ — $ 7,315 Acquired with credit impairment — 11 — 2,317 Collectively evaluated for impairment 86,688 21,510 14,444 1,184,476 Total $ 86,778 $ 21,533 $ 14,444 $ 1,194,108 NOTE 3 - LOANS AND ALLOWANCE FOR LOAN LOSSES (CONTINUED) The allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of December 31, 2017 was as follows: Commercial Industrial and Agricultural Multi-family and Commercial Real Estate Construction Land Development and Farmland 1-4 Family Residential Real Estate Allowance for loan losses Individually evaluated for impairment $ 606 $ — $ 57 $ — Acquired with credit impairment 2 — 2 — Collectively evaluated for impairment 1,930 3,166 2,375 773 Total $ 2,538 $ 3,166 $ 2,434 $ 773 Loans Individually evaluated for impairment $ 3,649 $ 1,921 $ 3,800 $ 2,114 Acquired with credit impairment 276 1,157 1,436 45 Collectively evaluated for impairment 134,781 257,966 151,216 109,773 Total $ 138,706 $ 261,044 $ 156,452 $ 111,932 1-4 Family HELOC Consumer Other Total Allowance for loan losses Individually evaluated for impairment $ — $ — $ — $ 663 Acquired with credit impairment — — — 4 Collectively evaluated for impairment 595 183 42 9,064 Total $ 595 $ 183 $ 42 $ 9,731 Loans Individually evaluated for impairment $ 90 $ — $ — $ 11,574 Acquired with credit impairment — — — 2,914 Collectively evaluated for impairment 71,927 17,605 14,694 757,962 Total $ 72,017 $ 17,605 $ 14,694 $ 772,450 Risk characteristics relevant to each portfolio segment are as follows: Commercial, industrial and agricultural: The commercial, industrial and agricultural loan portfolio segment includes loans to commercial customers for use in normal business operations to finance working capital needs, equipment purchases or other expansion projects. Collection risk in this portfolio is driven by the creditworthiness of underlying borrowers, particularly cash flow from customers’ business operations. Commercial, industrial and agricultural loans are primarily made based on the identified cash flows of the borrower and secondarily on the underlying collateral provided by the borrower. The cash flows of borrowers, however, may not be as expected and the collateral securing these loans may fluctuate in value. Most commercial and industrial loans are secured by the assets being financed or other business assets such as accounts receivable or inventory and may incorporate a personal guarantee; however, some short-term loans may be made on an unsecured basis. NOTE 3 - LOANS AND ALLOWANCE FOR LOAN LOSSES (CONTINUED) Multi-family and commercial real estate: Multi-family and commercial real estate and multi-family loans are subject to underwriting standards and processes similar to commercial, industrial and agricultural loans, in addition to those of real estate loans. These loans are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Commercial real estate lending typically involves higher loan principal amounts and the repayment of these loans is generally largely dependent on the successful operation of the property securing the loan or the business conducted on the property securing the loan. Commercial real estate loans may be more adversely affected by conditions in the real estate markets or in the general economy. The properties securing the Company’s commercial real estate portfolio are diverse in terms of type. This diversity helps reduce the Company’s exposure to adverse economic events that affect any single market or industry. Management monitors and evaluates commercial real estate loans based on collateral, geography and risk grade criteria. The Company also utilizes third-party experts to provide insight and guidance about economic conditions and trends affecting the market areas it serves. In addition, management tracks the level of owner-occupied commercial real estate loans versus non-owner occupied loans. Non-owner occupied commercial real estate loans are loans secured by multifamily and commercial properties where the primary source of repayment is derived from rental income associated with the property (that is, loans for which 50 percent or more of the source of repayment comes from third party, nonaffiliated, rental income) or the proceeds of the sale, refinancing, or permanent financing of the property. These loans are made to finance income-producing properties such as apartment buildings, office and industrial buildings, and retail properties. Owner-occupied commercial real estate loans are loans where the primary source of repayment is the cash flow from the ongoing operations and business activities conducted by the party, or affiliate of the party, who owns the property. Construction and land development: Loans for non-owner-occupied real estate construction or land development are generally repaid through cash flow related to the operation, sale or refinance of the property. The Company also finances construction loans for owner-occupied properties. A portion of the Company’s construction and land portfolio segment is comprised of loans secured by residential product types (residential land and single-family construction). With respect to construction loans to developers and builders that are secured by non-owner occupied properties that the Company may originate from time to time, the Company generally requires the borrower to have had an existing relationship with the Company and have a proven record of success. Construction and land development loans are underwritten utilizing feasibility studies, independent appraisal reviews, sensitivity analysis of absorption and lease rates, market sales activity, and financial analysis of the developers and property owners. Construction loans are generally based upon estimates of costs and value associated with the complete project. These estimates may be inaccurate. Construction loans often involve the disbursement of substantial funds with repayment substantially dependent on the success of the ultimate project. Sources of repayment for these types of loans may be pre-committed permanent loans from approved long-term lenders, sales of developed property or an interim loan commitment from the Company until permanent financing is obtained. These loans are closely monitored by on-site inspections and are considered to have higher risks than other real estate loans due to their ultimate repayment being sensitive to interest rate changes, governmental regulation of real property, general economic conditions and the availability of long-term financing. 1-4 family residential real estate: Residential real estate loans represent loans to consumers or investors to finance a residence. These loans are typically financed on 15 to 30 year amortization terms, but generally with shorter maturities of 5 to 15 years. Many of these loans are extended to borrowers to finance their primary or secondary residence. Loans to an investor secured by a 1-4 family residence will be repaid from either the rental income from the property or from the sale of the property. This loan segment also includes closed-end home equity loans that are secured by a first or second mortgage on the borrower’s residence. This allows customers to borrow against the equity in their home. Loans in this portfolio segment are underwritten and approved based on a number of credit quality criteria including limits on maximum Loan-to-Value (LTV), minimum credit scores, and maximum debt to income. Real estate market values as of the time the loan is made directly affect the amount of credit extended and, in addition, changes in these residential property values impact the depth of potential losses in this portfolio segment. NOTE 3 - LOANS AND ALLOWANCE FOR LOAN LOSSES (CONTINUED) 1-4 family HELOC: This loan segment includes open-end home equity loans that are secured by a first or second mortgage on the borrower’s residence. This allows customers to borrow against the equity in their home utilizing a revolving line of credit. These loans are underwritten and approved based on a number of credit quality criteria including limits on maximum LTV, minimum credit scores, and maximum debt to income. Real estate market values as of the time the loan is made directly affect the amount of credit extended and, in addition, changes in these residential property values impact the depth of potential losses in this portfolio segment. Because of the revolving nature of these loans as well as the fact that many represent second mortgages, this portfolio segment can contain more risk than the amortizing 1-4 family residential real estate loans. Consumer: The consumer loan portfolio segment includes non-real estate secured direct loans to consumers for household, family, and other personal expenditures. Consumer loans may be secured or unsecured and are usually structured with short or medium term maturities. These loans are underwritten and approved based on a number of consumer credit quality criteria including limits on maximum LTV on secured consumer loans, minimum credit scores, and maximum debt to income. Many traditional forms of consumer installment credit have standard monthly payments and fixed repayment schedules of one to five years. These loans are made with either fixed or variable interest rates that are based on specific indices. Installment loans fill a variety of needs, such as financing the purchase of an automobile, a boat, a recreational vehicle, or other large personal items, or for consolidating debt. These loans may be unsecured or secured by an assignment of title, as in an automobile loan, or by money in a bank account. In addition to consumer installment loans, this portfolio segment also includes secured and unsecured personal lines of credit as well as overdraft protection lines. Loans in this portfolio segment are sensitive to unemployment and other key consumer economic measures. Non-accrual loans by class of loan were as follows at September 30, 2018 and December 31, 2017 : September 30, 2018 December 31, 2017 Commercial, Industrial and Agricultural $ 750 $ 2,110 Multi-family and Commercial Real Estate — — Construction, Land Development and Farmland 2,112 2,518 1-4 Family Residential Real Estate 1,317 533 1-4 Family HELOC — — Consumer 56 — Total $ 4,235 $ 5,161 Performing non-accrual loans totaled $2,492 and $1,096 at September 30, 2018 and December 31, 2017 , respectively. NOTE 3 - LOANS AND ALLOWANCE FOR LOAN LOSSES (CONTINUED) Individually impaired loans by class of loans were as follows at September 30, 2018 : Unpaid Principal Balance Recorded Investment with no Allowance Recorded Recorded Investment with Allowance Recorded Total Recorded Investment Related Allowance Commercial, Industrial and Agricultural $ 1,897 $ 976 $ 549 $ 1,525 $ 334 Multi-family and Commercial Real Estate 1,691 1,409 — 1,409 — Construction, Land Development and Farmland 5,678 3,459 617 4,076 67 1-4 Family Residential Real Estate 3,501 2,377 132 2,509 23 1-4 Family HELOC 90 90 — 90 — Consumer 29 23 — 23 — Total $ 12,886 $ 8,334 $ 1,298 $ 9,632 $ 424 Individually impaired loans by class of loans were as follows at December 31, 2017 : Unpaid Principal Balance Recorded Investment with no Allowance Recorded Recorded Investment with Allowance Recorded Total Recorded Investment Related Allowance Commercial, Industrial and Agricultural $ 4,398 $ 2,959 $ 966 $ 3,925 $ 608 Multi-family and Commercial Real Estate 3,427 3,078 — 3,078 — Construction, Land Development and Farmland 5,317 3,249 1,987 5,236 59 1-4 Family Residential Real Estate 2,857 2,159 — 2,159 — 1-4 Family HELOC 90 90 — 90 — Total $ 16,089 $ 11,535 $ 2,953 $ 14,488 $ 667 The average balances of impaired loans for the nine months ended September 30, 2018 and 2017 were as follows: 2018 2017 Commercial, Industrial and Agricultural $ 2,661 $ 5,550 Multi-family and Commercial Real Estate 2,610 4,403 Construction, Land Development and Farmland 4,831 4,319 1-4 Family Residential Real Estate 2,708 2,225 1-4 Family HELOC 90 957 Consumer 72 — Total $ 12,972 $ 17,454 NOTE 3 - LOANS AND ALLOWANCE FOR LOAN LOSSES (CONTINUED) The Company utilizes a risk grading system to monitor the credit quality of the Company’s commercial loan portfolio which consists of commercial, industrial and agricultural, commercial real estate and construction loans. Loans are graded on a scale of 1to 9. Grades 1 -5 are pass credits, grade 6 is special mention, grade 7 is substandard, grade 8 is doubtful and grade 9 is loss. A description of the risk grades are as follows: Grade 1 - Minimal Risk (Pass) This grade includes loans to borrowers with a strong financial position and history of profits and cash flows sufficient to service the debt. These borrowers have well defined sources of primary/secondary repayment, conservatively leveraged balance sheets and the ability to access a wide range of financing alternatives. Collateral securing these loans is negotiable, of sufficient value and in possession of the Company. Risk of loss is unlikely. Grade 2 - High Quality (Pass) This grade includes loans to borrowers with a strong financial condition reflecting dependable net profits and cash flows. The borrower has verifiable liquid net worth providing above average asset protection. An identifiable market exists for the collateral. Risk of loss is unlikely. Grade 3 - Above Average (Pass) This grade includes loans to borrowers with a balance sheet that reflects a comfortable degree of leverage and liquidity. Borrowers are profitable and have a sustained record of servicing debt. An identifiable market exists for the collateral, but liquidation could take up to one year. Risk of loss is unlikely. Grade 4 - Average (Pass) This grade includes loans to borrowers with a financial condition that is satisfactory and comparable to industry standards. The borrower has verifiable net worth, providing over time, average asset protection. Borrower cash flows are sufficient to satisfy debt service requirements. Risk of loss is below average. Grade 5 - Acceptable (Management Attention) (Pass) This grade includes loans to borrowers whose loans are performing, but sources of repayment are not documented by the current credit analysis. There are some declining trends in margins, ratios and/or cash flow. Guarantor(s) have strong net worth(s), but assets may be concentrated in real estate or other illiquid investments. Risk of loss is average. Grade 6 - Special Mention Special mention assets have potential weaknesses that may, if not checked or corrected, weaken the asset or inadequately protect the Company’s position at some future date. These assets pose elevated risk, but their weakness does not yet justify a substandard classification. Borrowers may be experiencing adverse operating trends (declining revenues or margins) or an ill proportioned balance sheet (e.g., increasing inventory without an increase in sales, high leverage, tight liquidity). Adverse economic or market conditions, such as interest rate increases or the entry of a new competitor, may also support a special mention rating. Nonfinancial reasons for rating a credit exposure special mention include management problems, pending litigation, an ineffective loan agreement or other material structural weakness, and any other significant deviation from prudent lending practices. The special mention rating is designed to identify a specific level of risk and concern about asset quality . Although a special mention asset has a higher probability of default than a pass asset, its default is not imminent. NOTE 3 - LOANS AND ALLOWANCE FOR LOAN LOSSES (CONTINUED) Grade 7 - Substandard A ‘‘substandard’’ extension of credit is inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Extensions of credit so classified should have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. Loss potential, while existing in the aggregate amount of substandard credits, does not have to exist in individual extensions of credit classified substandard. Substandard assets have a high probability of payment default, or they have other well-defined weaknesses. They require more intensive supervision by Company management. Substandard assets are generally characterized by current or expected unprofitable operations, inadequate debt service coverage, inadequate liquidity, or marginal capitalization. Repayment may depend on collateral or other credit risk mitigation. Grade 8 - Doubtful An extension of credit classified ‘‘doubtful’’ has all the weaknesses inherent in one classified substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The possibility of loss is extremely high, but because of certain important and reasonably specific pending factors that may work to the advantage of and strengthen the credit, its classification as an estimated loss is deferred until its more exact status may be determined. Pending factors may include a proposed merger or acquisition, liquidation proceedings, capital injection, perfecting liens on additional collateral, or refinancing plans. Generally, the doubtful classification should not extend for a long period of time because in most cases the pending factors or events that warranted the doubtful classification should be resolved either positively or negatively in a reasonable period of time. Grade 9 - Loss Extensions of credit classified ‘‘loss’’ are considered uncollectible and of such little value that their continuance as bankable assets is not warranted. This classification does not mean that the credit has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be affected in the future. Amounts classified loss should be promptly charged off. The Company will not attempt long term recoveries while the credit remains on the Company’s books. Losses should be taken in the period in which they surface as uncollectible. With loss assets, the underlying borrowers are often in bankruptcy, have formally suspended debt repayments, or have otherwise ceased normal business operations. Once an asset is classified loss, there is little prospect of collecting either its principal or interest. Non-commercial purpose loans are initially assigned a default loan grade of 99 (Pass) and are risk graded (Grade 6, 7, or 8) according to delinquency status when applicable. Credit quality indicators by class of loan were as follows at September 30, 2018 : Pass Special Mention Substandard Total Commercial, Industrial and Agricultural $ 206,847 $ — $ 2,761 $ 209,608 1-4 Family Residential Real Estate 222,315 1,130 4,569 228,014 1-4 Family HELOC 85,848 — 930 86,778 Multi-family and Commercial Real Estate 430,379 1,566 1,937 433,882 Construction, Land Development and Farmland 195,623 642 3,584 199,849 Consumer 21,272 — 261 21,533 Other 14,444 — — 14,444 Total $ 1,176,728 $ 3,338 $ 14,042 $ 1,194,108 NOTE 3 - LOANS AND ALLOWANCE FOR LOAN LOSSES (CONTINUED) Credit quality indicators by class of loan were as follows at December 31, 2017 : Pass Special Mention Substandard Total Commercial, Industrial and Agricultural $ 135,833 $ 5 $ 2,868 $ 138,706 1-4 Family Residential Real Estate 108,426 1,392 2,114 111,932 1-4 Family HELOC 71,927 — 90 72,017 Multi-family and Commercial Real Estate 259,123 — 1,921 261,044 Construction, Land Development and Farmland 149,886 2,998 3,568 156,452 Consumer 17,605 — — 17,605 Other 14,694 — — 14,694 Total $ 757,494 $ 4,395 $ 10,561 $ 772,450 Past due status by class of loan was as follows at September 30, 2018 : 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due Total Past Due Current Total Loans Commercial, Industrial and Agricultural $ 95 $ — $ 573 $ 668 $ 208,940 $ 209,608 1-4 Family Residential Real Estate 572 1,160 129 1,861 226,153 228,014 1-4 Family HELOC 50 — — 50 86,728 86,778 Multi-family and Commercial Real Estate — 245 — 245 433,637 433,882 Construction, Land Development and Farmland — — 989 989 198,860 199,849 Consumer 30 1 40 71 21,462 21,533 Other — — — — 14,444 14,444 Total $ 747 $ 1,406 $ 1,731 $ 3,884 $ 1,190,224 $ 1,194,108 Past due status by class of loan was as follows at December 31, 2017 : 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due Total Past Due Current Total Loans Commercial, Industrial and Agricultural $ 7 $ — $ 1,548 $ 1,555 $ 137,151 $ 138,706 1-4 Family Residential Real Estate 617 — — 617 111,315 111,932 1-4 Family HELOC — 7 — 7 72,010 72,017 Multi-family and Commercial Real Estate 1,254 — — 1,254 259,790 261,044 Construction, Land Development and Farmland 265 444 2,073 2,782 153,670 156,452 Consumer 14 — — 14 17,591 17,605 Other — — — — 14,694 14,694 Total $ 2,157 $ 451 $ 3,621 $ 6,229 $ 766,221 $ 772,450 NOTE 3 - LOANS AND ALLOWANCE FOR LOAN LOSSES (CONTINUED) There was a loan totaling $40 past due 90 days or more and still accruing interest at September 30, 2018 . There were no loans past due 90 days or more still accruing interest at December 31, 2017 . The following table presents loans by class modified as troubled debt restructurings that occurred during the first nine months of 2018 and 2017: Number of Contracts Pre-Modification Outstanding Recorded Investments Post-Modification Outstanding Recorded Investments September 30, 2018 1-4 Family Residential 1 $ 1,254 $ 1,254 Multi-family and Commercial Real Estate 1 661 585 Total 2 $ 1,915 $ 1,839 September 30, 2017 1-4 Family Residential 1 108 108 Commercial, Industrial and Agricultural 1 790 320 Total 2 $ 898 $ 428 One modification that occurred during the nine months ended September 30, 2018 , consisted of an interest only monthly payment restructure and had no effect on the allowance for loan losses or interest income. The other modification was a restructure of five loans, including purchased credit impaired loans, in which a charge off occurred of $76 , resulting in one remaining loan of $585 . During the nine months ended September 30, 2017 , two loans totaling $428 were modified in trouble debt restructurings. One modification consisted of a partial charge off, totaling $470 , and a payment restructure with the modification having no effect on interest income. The other modification consisted of a temporary reduction in required monthly payments and had no effect on the allowance for loan losses or interest income. During the three months ended September 30, 2018 , the 1-4 Family Residential loan with a related balance of $1,254 was paid. The Company has acquired loans for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. The outstanding balance and carrying amount of the purchased credit impaired loans was as follows at September 30, 2018 and December 31, 2017 : September 30, 2018 December 31, 2017 Commercial, Industrial and Agricultural $ 63 $ 298 Multi-family and Commercial Real Estate 238 1,217 Construction, Land Development and Farmland 1,969 1,508 1-4 Family Residential Real Estate 330 47 1-4 Family HELOC — — Consumer 17 — Total outstanding balance 2,617 3,070 Less remaining purchase discount 300 156 Allowance for loan losses — 4 Carrying amount, net of allowance $ 2,317 $ 2,910 NOTE 3 - LOANS AND ALLOWANCE FOR LOAN LOSSES (CONTINUED) Activity related to the accretable portion of the purchase discount on loans acquired with deteriorated credit quality is as follows for the quarters and nine months ended September 30, 2018 and 2017 : 2018 2017 Balance at January 1, $ — $ 87 New accretable loan discount 424 — Loan payoffs (46 ) — Accretion income (38 ) (18 ) Balance at March 31, 340 69 Accretion income (95 ) (17 ) Balance at June 30, 245 52 Loan charge offs (74 ) — Accretion income — (33 ) Balance at September 30, $ 171 $ 19 |
Other Real Estate
Other Real Estate | 9 Months Ended |
Sep. 30, 2018 | |
Banking and Thrift [Abstract] | |
OTHER REAL ESTATE | OTHER REAL ESTATE In connection with the merger with Community First, the Company acquired three real estate parcels. The Company valued the properties at their estimated fair values less costs to sale which totaled $1,650 . During the nine months ended September 30, 2018 and 2017 , the Company sold parcels for a gain of $259 and $26 , respectively. During the nine months ended September 30, 2018 , the Company transferred from loans to other real estate two properties totaling $1,060 . At September 30, 2018 , there were three loans in the process of foreclosure with related balances totaling $1,526 . |
Fair Values of Assets and Liabi
Fair Values of Assets and Liabilities | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUES OF ASSETS AND LIABILITIES | FAIR VALUES OF ASSETS AND LIABILITIES Financial accounting standards relating to fair value measurements establish a framework for measuring fair value. That framework provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below: Level 1 Inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets that the Company has the ability to access. Level 2 Inputs to the valuation methodology include: • Quoted prices for similar assets or liabilities in active markets; • Quoted prices for identical or similar assets or liabilities in inactive markets; • Inputs other than quoted prices that are observable for the asset or liability; • Inputs that are derived principally from or corroborated by the observable market data by correlation or other means. If the asset or liability has a specified (contractual) term, the Level 2 input must be observable for substantially the full term of the asset or liability. Level 3 Inputs to the valuation methodology are unobservable and reflect an entity’s own assumptions about the assumptions that market participants would use in pricing the assets or liabilities. NOTE 5 - FAIR VALUES OF ASSETS AND LIABILITIES (CONTINUED) An asset’s or liability’s fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Valuation techniques should maximize the use of observable inputs and minimize the use of unobservable inputs. Following is a description of the valuation methodologies used for assets and liabilities measured at fair value on a recurring basis: Securities available for sale: The fair values of securities available for sale are determined by obtaining quoted prices on nationally recognized securities exchanges (Level 1 inputs) or matrix pricing, which is a mathematical technique widely used in the industry to value debt securities without relying exclusively on quoted prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities (Level 2 inputs). The Company obtains fair value measurements for securities available for sale from an independent pricing service. The fair value measurements consider observable data that may include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, cash flows and reference data, including market research publications, among other things. Interest rate swaps: The fair values of interest rate swaps are determined based on discounted future cash flows. Certain assets and liabilities are measured at fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an ongoing basis, but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). Assets and liabilities measured at fair value on a nonrecurring basis include the following: Impaired Loans : The fair value of impaired loans with specific allocations of the allowance for loan losses is generally based on the present value of expected payments using the loan’s effective rate as the discount rate or recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are typically significant and result in a Level 3 classification of the inputs for determining fair value. Mortgage Loans Held For Sale: Bid quotes are presently used for the fair value estimate of mortgage loans held for sale, while previously, a pricing model of an independent entity was used to estimate the fair value of mortgage loans held for sale. The methods described above may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, while the Company’s valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. Fair value estimates involve uncertainties and matters of significant judgment regarding interest rates, credit risk, prepayments, and other factors, especially in the absence of broad markets for particular items. Changes in assumptions or in market conditions could significantly affect the estimates. NOTE 5 - FAIR VALUES OF ASSETS AND LIABILITIES (CONTINUED) The following table sets forth the Company’s major categories of assets and liabilities measured at fair value on a recurring basis, by level within the fair value hierarchy, as of September 30, 2018 and December 31, 2017 : Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) September 30, 2018 Assets U. S. Treasury and other U. S. government agencies $ 553 $ — $ 553 $ — State and municipal 227,508 — 227,508 — Corporate bonds 3,029 — 3,029 — Mortgage backed securities 28,867 — 28,867 — Time deposits 3,500 3,500 — — Interest rate swaps 1,013 — 1,013 — December 31, 2017 Assets U. S. Treasury and other U. S. government agencies $ 578 $ — $ 578 $ — State and municipal 191,752 — 191,752 — Corporate bonds 1,492 — 1,492 — Mortgage backed securities 6,169 — 6,169 — Time deposits 3,500 3,500 — — Interest rate swaps 155 — 155 — Liabilities Interest rate swaps $ 180 $ — $ 180 $ — NOTE 5 - FAIR VALUES OF ASSETS AND LIABILITIES (CONTINUED) The following table sets forth the Company’s major categories of assets and liabilities measured at fair value on a nonrecurring basis, by level within the fair value hierarchy, as of September 30, 2018 and December 31, 2017 : Fair Value Quoted Significant Significant September 30, 2018 Assets Impaired loans $ 874 $ — $ — $ 874 Mortgage loans held for sale 12,712 — 12,712 — Other real estate owned 1,000 — — 1,000 December 31, 2017 Assets Impaired loans $ 2,286 $ — $ — $ 2,286 The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis and for which we have utilized Level 3 inputs to determine fair value at September 30, 2018 and December 31, 2017 : Valuation Techniques (1) Significant Unobservable Inputs Range (Weighted Average) Impaired loans Appraisal Estimated costs to sell 10% Mortgage loans held for sale Market bids Not Applicable Not Applicable Other real estate owned Appraisal Estimated costs to sell 10% (1) The fair value is generally determined through independent appraisals of the underlying collateral, which may include Level 3 inputs that are not identifiable, or by using the discounted cash flow method if the loan is not collateral dependent. Estimated cash flows change and appraised values of the assets or collateral underlying the loans will be sensitive to changes. NOTE 5 - FAIR VALUES OF ASSETS AND LIABILITIES (CONTINUED) Carrying amounts and estimated fair values of financial instruments not reported at fair value at September 30, 2018 were as follows: Carrying Amount Estimated Fair Value Quoted Significant Significant Financial assets Cash and due from banks $ 34,026 $ 34,026 $ 34,026 $ — $ — Federal funds sold 417 417 — 417 — Loans, net 1,183,431 1,172,723 — — 1,172,723 Accrued interest receivable 8,032 8,032 — 8,032 — Restricted equity securities 11,681 11,681 — 11,681 — Financial liabilities Deposits $ 1,395,546 1,388,931 — — 1,388,931 Accrued interest payable 1,150 1,150 — 1,150 — Subordinate debentures 11,583 11,692 — — 11,692 Federal Home Loan Bank advances 62,686 62,572 — — 62,572 Carrying amounts and estimated fair values of financial instruments not reported at fair value at December 31, 2017 were as follows: Carrying Estimated Quoted Significant Significant Financial assets Cash and due from banks $ 20,497 $ 20,497 $ 20,497 $ — $ — Federal funds sold 171 171 — 171 — Loans, net 762,488 762,574 — — 762,574 Mortgage loans held for sale 45,322 46,467 — 46,467 — Accrued interest receivable 5,744 5,744 — 5,744 — Restricted equity securities 7,774 7,774 — 7,774 — Financial liabilities Deposits $ 883,519 $ 882,533 $ — $ — $ 882,533 Accrued interest payable 305 305 — 305 — Federal Home Loan Bank advances 96,747 96,754 — — 96,754 NOTE 5 - FAIR VALUES OF ASSETS AND LIABILITIES (CONTINUED) The methods and assumptions used to estimate fair value are described as follows: Carrying amount is the estimated fair value for cash and cash equivalents, accrued interest receivable and payable, restricted equity securities, federal funds sold or purchased, demand deposits, and variable rate loans or deposits that re-price frequently and fully. For fixed rate loans or deposits and for variable rate loans or deposits with infrequent re-pricing or re-pricing limits, fair value is based on discounted cash flows using current market rates applied to the estimated life and credit risk. Fair value of debt is based on discounted cash flows using current rates for similar financing. |
Stock-based Compensation
Stock-based Compensation | 9 Months Ended |
Sep. 30, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION In 2011, the Board of Directors and shareholders of the Company approved the Commerce Union Bancshares, Inc. Stock Option Plan, which was amended and restated in 2015 (as amended, the "2011 Plan"). The 2011 Plan initially provided for the issuance of up to 625,000 options to purchase shares of common stock, and in 2015, the Company's shareholders amended the 2011 Plan to authorize the issuance of up to 1,250,000 stock options. Under the 2011 Plan, stock option awards may be granted in the form of incentive stock options or non-statutory stock options, and are generally exercisable for up to ten years following the date such option awards are granted. On June 18, 2015, the shareholders of the Company approved the Commerce Union Bancshares, Inc. 2015 Equity Incentive Plan, which provides for the issuance of up to 900,000 shares of common stock in the form of stock options, restricted stock grants or grants for performance-based compensation. A summary of the activity in the stock option plans for the nine months ended September 30, 2018 as follows: Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term Aggregate Intrinsic Value Outstanding at January 1, 2018 170,761 $ 14.48 5.73 $ 1,905 Granted 25,500 $ 28.00 9.83 — Exercised (30,001) $ 13.27 2.56 — Forfeited or expired (6,000) $ 18.62 8.44 — Outstanding at September 30, 2018 160,260 $ 16.71 6.30 $ 1,482 Exercisable at September 30, 2018 89,660 $ 13.46 4.63 $ 1,085 Shares Weighted Average Grant-Date Fair Value Non-vested options at January 1, 2018 74,900 $4.14 Granted 25,500 $7.10 Vested (23,800 ) $6.16 Forfeited (6,000 ) $4.94 Non-vested options at September 30, 2018 70,600 $5.30 At September 30, 2018 , the unrecognized future compensation expense to be recognized for stock compensation totals $2,314 . |
Regulatory Capital Requirements
Regulatory Capital Requirements | 9 Months Ended |
Sep. 30, 2018 | |
Banking and Thrift [Abstract] | |
REGULATORY CAPITAL REQUIREMENTS | REGULATORY CAPITAL REQUIREMENTS The Company and the Bank are subject to regulatory capital requirements administered by the federal and state banking agencies. Capital adequacy guidelines and, additionally for banks, prompt corrective action regulations, involve quantitative measures of assets, liabilities, and certain off-balance-sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators. Failure to meet capital requirements can initiate regulatory action. Management believes as of September 30, 2018 , the Company and the Bank meet all capital adequacy requirements to which they are subject. Prompt corrective action regulations provide five classifications: well capitalized, adequately capitalized, undercapitalized, significantly undercapitalized, and critically undercapitalized, although these terms are not used to represent overall financial condition. If only adequately capitalized, regulatory approval is required to accept brokered deposits. If undercapitalized, capital distributions are limited, as is asset growth and expansion, and capital restoration plans are required. At September 30, 2018 and December 31, 2017 , the most recent regulatory notifications categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. There are no conditions or events since that notification that management believes have changed the institution’s category. In July 2013, the FDIC approved final rules that substantially amend the regulatory risk-based capital rules applicable to the Company and the Bank. The final rules implement the regulatory capital reforms of the Basel Committee on Banking Supervision reflected in “Basel III: A Global Framework for More Resilient Banks and Banking Systems” (Basel III) and changes required by the Dodd-Frank Act. Under these rules, the leverage and risk-based capital ratios of bank holding companies may not be lower than the leverage and risk-based capital ratios for insured depository institutions. The final rules implementing Basel III became effective on January 1, 2015, and include new minimum risk-based capital and leverage ratios and a new common equity tier 1 ratio. In addition, these rules refine the definition of what constitutes capital for purposes of calculating those ratios, including the definitions of Tier 1 capital and Tier 2 capital. Basel III establishes a “capital conservation buffer” of 2.5% which began phasing in on January 1, 2016, at a rate of 0.625% per year. The buffer becomes fully phased in on January 1, 2019. An institution is subject to limitations on paying dividends, engaging in share repurchases, and paying discretionary bonuses if capital levels fall below minimum levels plus the buffer. NOTE 7 - REGULATORY CAPITAL REQUIREMENTS (CONTINUED) Actual and required capital amounts and ratios are presented below as of September 30, 2018 and December 31, 2017 . Actual Regulatory Capital Minimum Required Capital Including Capital Conservation Buffer To Be Well Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio September 30, 2018 Company Tier I leverage $ 165,163 10.38 % $ 63,647 4.000 % $ 79,558 5.000 % Common equity tier 1 153,580 11.50 % 85,137 6.375 % 86,806 6.500 % Tier I risk-based capital 165,163 12.37 % 105,146 7.875 % 106,815 8.000 % Total risk-based capital 176,286 13.20 % 131,881 9.875 % 133,550 10.000 % Bank Tier I leverage $ 161,381 10.17 % $ 63,473 4.000 % $ 79,342 5.000 % Common equity tier 1 161,381 12.13 % 84,815 6.375 % 86,478 6.500 % Tier I risk-based capital 161,381 12.13 % 104,771 7.875 % 106,434 8.000 % Total risk-based capital 172,504 12.97 % 131,340 9.875 % 133,002 10.000 % December 31, 2017 Company Tier I leverage $ 126,234 11.89 % $ 42,467 4.000 % $ 53,084 5.000 % Common equity tier 1 126,234 13.90 % 52,219 5.750 % 59,030 6.500 % Tier I risk-based capital 126,234 13.90 % 65,841 7.250 % 72,653 8.000 % Total risk-based capital 135,965 14.97 % 84,013 9.250 % 90,825 10.000 % Bank Tier I leverage $ 123,862 11.68 % $ 42,418 4.000 % $ 53,023 5.000 % Common equity tier 1 123,862 13.67 % 52,100 5.750 % 58,896 6.500 % Tier I risk-based capital 123,862 13.67 % 65,691 7.250 % 72,487 8.000 % Total risk-based capital 133,593 14.74 % 83,835 9.250 % 90,633 10.000 % |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE The following is a summary of the components comprising basic and diluted earnings per common share of stock (EPS): Three Months Ended Nine Months Ended 2018 2017 2018 2017 Basic EPS Computation Net income attributable to common shareholders $ 4,082 $ 1,846 $ 9,962 $ 6,091 Weighted average common shares outstanding 11,406,753 8,174,973 11,378,755 7,878,760 Basic earnings per common share $ 0.36 $ 0.23 $ 0.88 $ 0.77 Diluted EPS Computation Net income attributable to common shareholders $ 4,082 $ 1,846 $ 9,962 $ 6,091 Weighted average common shares outstanding 11,406,753 8,174,973 11,378,755 7,878,760 Dilutive effect of stock options and restricted shares 91,426 105,885 83,944 95,587 Adjusted weighted average common shares outstanding 11,498,179 8,280,858 11,462,699 7,974,347 Diluted earnings per common share $ 0.36 $ 0.22 $ 0.87 $ 0.76 |
Segment Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2018 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | SEGMENT REPORTING The Company has two reportable business segments: retail banking and residential mortgage banking. Segment information is derived from the internal reporting system utilized by management. Revenues and expenses for segments reflect those, which can be specifically identified and have been assigned based on internally developed allocation methods. Financial results have been presented, to the extent practicable, as if each segment operated on a stand-alone basis. Retail Banking provides deposit and lending services to consumer and business customers within our primary geographic markets. Our customers are serviced through branch locations, ATMs, online banking, and mobile banking. Residential Mortgage Banking originates traditional first lien residential mortgage loans and first lien home equity lines of credit throughout the United States. The traditional first lien residential mortgage loans are typically underwritten to government agency standards and sold to third party secondary market mortgage investors. The home equity lines of credit are typically underwritten to participating banks or other investor group standards. The following presents summarized results of operations for the Company’s business segments for the periods indicated: Three Months Ended Retail Banking Residential Mortgage Banking Elimination Entries Consolidated Net interest income $ 13,295 $ 171 $ — $ 13,466 Provision for loan losses 322 — — 322 Noninterest income 1,379 1,449 (51 ) 2,777 Noninterest expense (excluding merger expense) 9,614 2,466 — 12,080 Merger expense 82 — — 82 Income tax expense (benefit) 574 (55 ) — 519 Net income (loss) 4,082 (791 ) (51 ) 3,240 Noncontrolling interest in net loss of subsidiary — 791 51 842 Net income attributable to common shareholders $ 4,082 $ — $ — $ 4,082 NOTE 9 - SEGMENT REPORTING (CONTINUED) The following presents summarized results of operations for the Company’s business segments for the periods indicated: Three Months Ended Retail Banking Residential Mortgage Banking Elimination Entries Consolidated Net interest income $ 8,924 $ 172 $ — $ 9,096 Provision for loan losses 540 — — 540 Noninterest income 516 1,584 (13 ) 2,087 Noninterest expense (excluding merger expense) 6,186 1,749 — 7,935 Merger expense 562 — — 562 Income tax expense (benefit) 306 — — 306 Net income (loss) 1,846 7 (13 ) 1,840 Noncontrolling interest in net loss of subsidiary — (7 ) 13 6 Net income attributable to common shareholders $ 1,846 $ — $ — $ 1,846 Nine Months Ended Retail Banking Residential Mortgage Banking Elimination Entries Consolidated Net interest income $ 39,529 $ 723 $ — $ 40,252 Provision for loan losses 759 — — 759 Noninterest income 3,966 4,190 (134 ) 8,022 Noninterest expense (excluding merger expense) 28,454 7,169 — 35,623 Merger expense 2,742 — — 2,742 Income tax expense (benefit) 1,578 (147 ) — 1,431 Net income (loss) 9,962 (2,109 ) (134 ) 7,719 Noncontrolling interest in net loss of subsidiary — 2,109 134 2,243 Net income attributable to common shareholders $ 9,962 $ — $ — $ 9,962 NOTE 9 - SEGMENT REPORTING (CONTINUED) The following presents summarized results of operations for the Company’s business segments for the periods indicated: Nine Months Ended Retail Banking Residential Mortgage Banking Elimination Entries Consolidated Net interest income $ 25,224 $ 346 $ — $ 25,570 Provision for loan losses 1,195 — — 1,195 Noninterest income 1,704 2,851 (98 ) 4,457 Noninterest expense (excluding merger expense) 18,019 4,053 — 22,072 Merger expense 562 — — 562 Income tax expense (benefit) 1,061 (56 ) — 1,005 Net income (loss) 6,091 (800 ) (98 ) 5,193 Noncontrolling interest in net loss of subsidiary — 800 98 898 Net income attributable to common shareholders $ 6,091 $ — $ — $ 6,091 |
Derivatives
Derivatives | 9 Months Ended |
Sep. 30, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES | DERIVATIVES The Company has swap agreements that relate to the purchase of investment grade municipal securities effectively converting the fixed municipal yields to floating rates. These are fair value hedges that are intended to reduce the interest rate risk associated with the underlying hedged items by mitigating the changes in fair value based on fluctuations in interest rates. Additionally, during the nine months ended September 30, 2018 , the Company has entered into swap agreements which hedge Federal Home Loan Bank advances and subordinated debentures that convert the floating rate elements into fixed rates. These cash flow hedges are intended to reduce the interest rate risk associated with the underlying hedged item by mitigating the changes in fair value based on fluctuations in interest rates. At September 30, 2018 , the Company’s hedges are deemed effective and are not expected to have a significant impact on net income over the next twelve months. The total notional amount of swap agreements was $81,505 at September 30, 2018 and $21,505 at December 31, 2017 , respectively. At September 30, 2018 , the contracts had fair values totaling $1,013 recorded in other assets. At December 31, 2017 , the contracts had fair values totaling $155 recorded in other assets and $180 recorded in other liabilities. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES On December 22, 2017, comprehensive tax reform legislation known as the Tax Cuts and Jobs Act (the “Tax Reform Act”) was signed into law. The Tax Reform Act amends the Internal Revenue Code to reduce U.S. tax rates and modify policies, credits and deductions for individuals and businesses. The Tax Reform Act permanently reduces the U.S. federal corporate income tax rate from a high of 35% to 21% , effective for tax years beginning after 2017. Income tax expense totaled $519 in the third quarter of 2018 as compared to $306 in the third quarter of 2017 and $1,431 and $1,005 for the nine months ended September 30, 2018 and 2017 . The effective tax rate of 14% for the third quarters of 2018 and 2017 , respectively, were favorably impacted by an increase in income from tax-exempt securities, excess tax benefits recognized relating to the stock compensatory plans and the addition of certain state tax credits on interest-free loans. The effective tax rates for the nine months ended September 30, 2018 and 2017 of 16% for each period were similarly impacted. The state tax credits and excess tax benefits recognized relating to stock compensatory plans for 2018 are at lesser level than 2017. |
Business Combination
Business Combination | 9 Months Ended |
Sep. 30, 2018 | |
Business Combinations [Abstract] | |
BUSINESS COMBINATION | BUSINESS COMBINATION On January 1, 2018, pursuant to the Agreement and Plan of Merger, dated August 22, 2017, by and among Reliant Bancorp, Community First, Pioneer Merger Sub, Inc., the Bank, and Community First Bank & Trust, Community First merged with and into the Reliant Bancorp. Immediately following the merger, Community First Bank & Trust merged with and into the Bank, with the Bank surviving. Pursuant to the merger agreement, each outstanding share of Community First common stock (except for excluded shares and dissenting shares) was converted into and cancelled in exchange for the right to receive 0.481 shares of Reliant Bancorp common stock, together with cash in lieu of any fractional shares. The following table details the financial impact of the merger, including the calculation of the purchase price, the allocation of the purchase price to the fair values of net assets assumed and goodwill recognized: Calculation of Purchase Price Shares of Community First common stock outstanding as of December 31, 2017 5,025,884 Exchange ratio for Reliant Bancorp, Inc. common stock 0.481 Share conversion 2,417,450 Reliant Bancorp, Inc. common stock shares issued 2,416,444 Reliant Bancorp, Inc. share price at December 29, 2017 $ 25.64 Value of Reliant Bancorp, Inc. common stock shares issued 61,958 Value of fractional shares 25 Estimated fair value of Community First $ 61,983 Allocation of Purchase Price Total consideration above $ 61,983 Fair value of assets acquired and liabilities assumed Cash and cash equivalents (33,128 ) Time deposits in other financial institutions (23,309 ) Investment securities available for sale (69,078 ) Loans, net of unearned income (313,040 ) Mortgage loans held for sale, net (910 ) Accrued interest receivable (1,165 ) Premises and equipment (9,585 ) Restricted equity securities (1,726 ) Cash surrender value of life insurance contracts (10,664 ) Other real estate owned (1,650 ) Deferred tax asset, net (4,885 ) Core deposit intangible (7,888 ) Other assets (1,795 ) Deposits—noninterest-bearing 80,395 Deposits—interest-bearing 352,100 Other borrowings 11,522 Payables and other liabilities 5,061 Net liabilities assumed (net assets acquired) (29,745 ) Goodwill $ 32,238 NOTE 12 - BUSINESS COMBINATION (CONTINUED) During 2018, as part of the system integration of Community First, the Company determined minor adjustments were appropriate to reduce other assets by $93 and increase payables and other liabilities by $85 effective as of the acquisition date. Pro forma data for the nine months ended September 30, 2018 and 2017 in the table below presents information as if the merger occurred at the beginning of each period. Nine Months Ended 2018 2017 Net interest income $ 40,252 $ 38,022 Net income attributable to common shareholders $ 9,962 $ 8,486 Earnings per share - basic $ 0.88 $ 0.83 Earnings per share - diluted $ 0.87 $ 0.82 Supplemental pro forma earnings in the above table for the nine months ended 2018 and 2017 include $2,742 and $562 of nonrecurring costs, respectively. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Changes and Error Corrections [Abstract] | |
RECENT ACCOUNTING PRONOUNCEMENTS | RECENT ACCOUNTING PRONOUNCEMENTS Information about certain issued accounting standards updates is presented below. Also refer to Note 1 - Summary of Significant Accounting Policies “Recent Authoritative Accounting Guidance” in our 2017 Form 10-K for additional information related to previously issued accounting standards updates. ASU 2014-09, “ Revenue from Contracts with Customers (Topic 606)” implements a common revenue standard that clarifies the principles for recognizing revenue. The principle element of ASU 2014-09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. To achieve this principle, an entity should apply the following steps: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract and (v) recognize revenue when (or as) the entity satisfies a performance obligation. ASU 2014-09 was originally going to be effective for us on January 1, 2017; however, the FASB recently issued ASU 2015-14, “Revenue from Contracts with Customers (Topic 606) - Deferral of the Effective Date" which deferred the effective date of ASU 2014-09 by one year to January 1, 2018. Our revenue is comprised of net interest income on financial assets and financial liabilities, which is explicitly excluded from the scope of ASU 2014-09, and non-interest income. These changes did not have a significant impact on our consolidated financial statements. ASU 2016-02 , “ Leases (Topic 842)” requires lessees to recognize a lease liability, which is a lessee‘s obligation to make lease payments arising from a lease, measured on a discounted basis; and a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. ASU 2016-02 does not significantly change lease accounting requirements applicable to lessors. ASU 2016-02 will be effective for the Company on January 1, 2020 and will require transition using a modified retrospective approach, which requires application of the new guidance at the beginning of the earliest comparative period presented in the year of adoption. Management is evaluating the impact of the update on the Company’s consolidated financial statements. ASU 2016-13 , “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” requires the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts and requires enhanced disclosures related to the significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an organization’s portfolio. In addition, ASU 2016-13 amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. ASU 2016-13 will be effective beginning on January 1, 2021. Management is evaluating the impact of the pronouncement on the consolidated financial statements. The adoption of the ASU 2016-13 could result in an increase in the allowance for loan losses as a result of changing from an “incurred loss” model, which encompasses allowances for current known and inherent losses within the portfolio, to an “expected loss” model, which encompasses allowances for losses expected to be incurred over the life of the portfolio. Furthermore, ASU 2016-13 will necessitate that we establish an allowance for expected credit losses for certain debt securities and other financial assets. While we are currently unable to reasonably estimate the impact of adopting ASU 2016-13, we expect that the impact of adoption will be significantly influenced by the composition, characteristics and quality of our loan and securities portfolios as well as the prevailing economic conditions and forecasts as of the adoption date. ASU 2017-04, “Intangibles - Goodwill and Other (Topic 350) - Simplifying the Test for Goodwill Impairment.” ASU 2017-04 eliminates Step 2 from the goodwill impairment test which required entities to compute the implied fair value of goodwill. Under ASU 2017-04, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. ASU 2017-04 will be effective beginning on January 1, 2021, with early adoption permitted for interim or annual impairment tests beginning in 2017. ASU 2017-04 is not expected to have a significant impact on the consolidated financial statements. NOTE 13 - RECENT ACCOUNTING PRONOUNCEMENTS (CONTINUED) ASU 2017-08, " Receivables-Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities. In March 2017, the FASB issued this pronouncement which shortens the amortization period to the earliest call date for certain purchased callable debt securities held at a premium. There is no change for accounting for securities held at a discount. Under the existing guidance, the premium is generally amortized as an adjustment to interest income over the contractual life of the debt security. We adopted this standard on January 1, 2018. The adoption of this guidance did not have a material impact on our consolidated financial statements. ASU 2017-09, “Compensation - Stock Compensation (Topic 718) - Scope of Modification Accounting.” ASU 2017-09 clarifies when changes to the terms or conditions of a share-based payment award must be accounted for as modifications. Under ASU 2017-09, an entity will not apply modification accounting to a share-based payment award if all of the following are the same immediately before and after the change: (i) the award's fair value, (ii) the award's vesting conditions and (iii) the award's classification as an equity or liability instrument. ASU 2017-09 became effective for the Company on January 1, 2018 and did not have a significant impact on the consolidated financial statements. ASU 2018-02, “Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income” In February 2018, the Financial Accounting Standards Board (“FASB”) issued updated guidance which permits entities to reclassify stranded tax effects in accumulated other comprehensive income to retained earnings as a result of the Tax Cuts and Jobs Act enacted by the U.S. federal government on December 22, 2017. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2018, with early adoption permitted. The Company elected to adopt this change in accounting principle in the fourth quarter of 2017, which resulted in a decrease to retained earnings and an increase to accumulated other comprehensive income of $245 in 2017 on the Company’s consolidated statement of changes in stockholders’ equity. ASU 2018-05, " Income Taxes (Topic 740) - Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin (SAB) No. 118 ." ASU 2018-05 amends the Accounting Standards Codification to incorporate various SEC paragraphs pursuant to the issuance of SAB 118. SAB 118 addresses the application of generally accepted accounting principles in situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Cuts and Jobs Act. See Note 11 - Income Taxes. ASU 2018-13 , “Fair Value Measurement (Topic 820) - Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement.” ASU 2018-13 modifies the disclosure requirements on fair value measurements in Topic 820. The amendments in this update remove disclosures that no longer are considered cost beneficial, modify/clarify the specific requirements of certain disclosures, and add disclosure requirements identified as relevant. ASU 2018-13 will be effective for the Company on January 1, 2021, with early adoption permitted, and is not expected to have a significant impact on our financial statements. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations | Reliant Bancorp, Inc. ("Reliant Bancorp"), through its wholly owned subsidiary bank, Reliant Bank (the "Bank"), provides financial services through its offices in Williamson, Robertson, Davidson, Sumner, Rutherford, Maury, Hickman and Hamilton Counties in Tennessee. Its primary deposit products are checking, savings, and term certificate accounts, and its primary lending products are commercial and residential construction loans, commercial loans, installment loans and lines secured by home equity. Substantially all loans are secured by specific items of collateral including commercial and residential real estate, business assets, and consumer assets. Commercial loans are expected to be repaid from cash flow from operations of businesses. |
Basis of Presentation | The accompanying unaudited consolidated financial statements have been prepared in accordance with instructions to Form 10-Q and therefore do not include all information and footnotes necessary for a fair presentation of financial position, results of operations, and cash flows in conformity with U.S. generally accepted accounting principles (U.S. GAAP). All adjustments consisting of normally recurring accruals that, in the opinion of management, are necessary for a fair presentation of the financial position and results of operations for the periods covered by the report have been included. The accompanying unaudited consolidated financial statements should be read in conjunction with Reliant Bancorp, Inc.’s consolidated financial statements and related notes appearing in Reliant Bancorp, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2017 . The consolidated financial statements as of and for the periods presented include the accounts of Reliant Bancorp, the Bank, Community First TRUPS Holding Company, which is wholly owned by Reliant Bancorp (“TRUPS”), and Reliant Mortgage Ventures, LLC ("RMV"), of which the Bank controls 51% of the governance rights. Reliant Bancorp, the Bank, TRUPS, and RMV, are collectively referred to herein as the “Company”. As described in the notes to our annual consolidated financial statements, RMV is considered a variable interest entity for which the Bank is deemed to be the primary beneficiary. All significant intercompany balances and transactions have been eliminated in consolidation. As described in Note 12, Reliant Bancorp, Inc. and Community First, Inc. merged effective January 1, 2018. The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America ("U.S. GAAP") and to general practices in the banking industry. |
Use of Estimates | The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions based on available information. These estimates and assumptions affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to determination of the allowance for loan losses, the valuation of other real estate, the valuation of debt and equity securities, the valuation of deferred tax assets and fair values of financial instruments. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Use of Estimates (Continued) The consolidated financial statements as of September 30, 2018 , and for the three and nine months ended September 30, 2018 and 2017 , included herein have not been audited. The accounting and reporting policies of the Company conform to U.S. GAAP and Article 8 of Regulation S-X. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission, although the Company believes that the disclosures made are adequate to make the information not misleading. The accompanying consolidated financial statements reflect all adjustments, which are, in the opinion of management, necessary to present a fair statement of the results for the interim periods presented. Such adjustments are of a normal recurring nature. The Company evaluates subsequent events through the date of filing. Certain prior period amounts have been reclassified to conform to the current period presentation. The results for the three and nine months ended September 30, 2018 are not necessarily indicative of the results that may be expected for the year ending December 31, 2018 . |
Reclassifications | Certain reclassifications were made to the September 30, 2017 financial statement presentation in order to conform to the September 30, 2018 financial statement presentation. Total shareholder's equity and net income are unchanged due to these reclassifications. |
Securities (Tables)
Securities (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Available-for-sale Securities | The amortized cost and fair value of available for sale securities and the related gross unrealized gains and losses recognized in accumulated other comprehensive loss at September 30, 2018 and accumulated other comprehensive income at December 31, 2017 were as follows: September 30, 2018 Amortized Gross Gross Estimated U. S. Treasury and other U. S. government agencies $ 573 $ — $ (20 ) $ 553 State and municipal 233,929 320 (6,741 ) 227,508 Corporate bonds 3,130 2 (103 ) 3,029 Mortgage backed securities 29,335 10 (478 ) 28,867 Asset backed securities 30,279 — (708 ) 29,571 Time deposits 3,500 — — 3,500 Total $ 300,746 $ 332 $ (8,050 ) $ 293,028 December 31, 2017 Amortized Gross Gross Estimated U. S. Treasury and other U. S. government agencies $ 586 $ — $ (8 ) $ 578 State and municipal 189,576 3,081 (905 ) 191,752 Corporate bonds 1,500 5 (13 ) 1,492 Mortgage backed securities 6,262 3 (96 ) 6,169 Asset backed securities 16,753 45 (88 ) 16,710 Time deposits 3,500 — — 3,500 Total $ 218,177 $ 3,134 $ (1,110 ) $ 220,201 |
Investments Classified by Contractual Maturity Date | The fair value of available for sale debt securities at September 30, 2018 by contractual maturity are provided below. Actual maturities may differ from contractual maturities for mortgage and asset backed securities since the underlying asset may be called or prepaid with or without penalty. Securities not due at a single maturity date are shown separately. Amortized Cost Estimated Fair Value Due within one year $ 1,756 $ 1,753 Due in one to five years 7,066 7,019 Due in five to ten years 13,090 12,797 Due after ten years 219,220 213,021 Mortgage backed securities 29,335 28,867 Asset backed securities 30,279 29,571 Total $ 300,746 $ 293,028 |
Schedule of Unrealized Loss on Investments | The following table shows available for sale securities with unrealized losses and their estimated fair value aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position as of December 31, 2017 : Less than 12 months 12 months or more Total Estimated Unrealized Estimated Unrealized Estimated Unrealized Description of Securities U. S. Treasury and other U. S. government agencies $ 86 $ 1 $ 491 $ 7 $ 577 $ 8 State and municipal 19,899 128 34,946 777 54,845 905 Corporate bonds — — 487 13 487 13 Mortgage backed securities 2,412 14 3,349 82 5,761 96 Asset backed securities 8,971 73 854 15 9,825 88 Total temporarily impaired $ 31,368 $ 216 $ 40,127 $ 894 $ 71,495 $ 1,110 The following table shows available for sale securities with unrealized losses and their estimated fair value aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position as of September 30, 2018 : Less than 12 months 12 months or more Total Estimated Fair Value Unrealized Loss Estimated Unrealized Estimated Unrealized Description of Securities U. S. Treasury and other U. S. government agencies $ 72 $ 2 $ 481 $ 18 $ 553 $ 20 State and municipal 157,984 4,455 38,571 2,286 196,555 6,741 Corporate bonds 2,035 95 492 8 2,527 103 Mortgage backed securities 20,440 367 2,136 111 22,576 478 Asset backed securities 27,965 685 1,116 23 29,081 708 Total temporarily impaired $ 208,496 $ 5,604 $ 42,796 $ 2,446 $ 251,292 $ 8,050 |
Loans and Allowance for Loan _2
Loans and Allowance for Loan Losses (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | Loans at September 30, 2018 and December 31, 2017 were comprised as follows: September 30, 2018 December 31, 2017 Commercial, Industrial and Agricultural $ 209,608 $ 138,706 Real Estate 1-4 Family Residential 228,014 111,932 1-4 Family HELOC 86,778 72,017 Multi-family and Commercial 433,882 261,044 Construction, Land Development and Farmland 199,849 156,452 Consumer 21,533 17,605 Other 14,444 14,694 1,194,108 772,450 Less Deferred loan (fees) costs (21 ) 231 Allowance for possible loan losses 10,698 9,731 Loans, net $ 1,183,431 $ 762,488 |
Schedule of Credit Losses Related to Financing Receivables, Current and Noncurrent | Activity in the allowance for loan losses by portfolio segment was as follows for the nine months ended September 30, 2018 : Commercial Industrial and Agricultural Multi-family and Commercial Real Estate Construction Land Development and Farmland 1-4 Family Residential Real Estate Beginning balance $ 2,538 $ 3,166 $ 2,434 $ 773 Charge-offs (308 ) (76 ) (144 ) (36 ) Recoveries 530 215 44 11 Provision (734 ) 813 56 573 Ending balance $ 2,026 $ 4,118 $ 2,390 $ 1,321 1-4 Family HELOC Consumer Other Total Beginning balance $ 595 $ 183 $ 42 $ 9,731 Charge-offs (6 ) (24 ) (37 ) (631 ) Recoveries 7 29 3 839 Provision 24 (2 ) 29 759 Ending balance $ 620 $ 186 $ 37 $ 10,698 Activity in the allowance for loan losses by portfolio segment was as follows for the nine months ended September 30, 2017 : Commercial Industrial and Agricultural Multi-family and Commercial Real Estate Construction Land Development and Farmland 1-4 Family Residential Real Estate Beginning balance $ 2,438 $ 2,731 $ 1,786 $ 1,178 Charge-offs (941 ) — — (15 ) Recoveries 306 — 5 — Provision 872 363 356 (296 ) Ending balance $ 2,675 $ 3,094 $ 2,147 $ 867 1-4 Family HELOC Consumer Other Total Beginning balance $ 704 $ 208 $ 37 $ 9,082 Charge-offs — (30 ) — (986 ) Recoveries 19 2 — 332 Provision (110 ) 9 1 1,195 Ending balance $ 613 $ 189 $ 38 $ 9,623 |
Schedule of Allowance for Credit Losses and Finance Receivables by Portfolio Individually and Collectively Evaluated for Impairment | The allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of December 31, 2017 was as follows: Commercial Industrial and Agricultural Multi-family and Commercial Real Estate Construction Land Development and Farmland 1-4 Family Residential Real Estate Allowance for loan losses Individually evaluated for impairment $ 606 $ — $ 57 $ — Acquired with credit impairment 2 — 2 — Collectively evaluated for impairment 1,930 3,166 2,375 773 Total $ 2,538 $ 3,166 $ 2,434 $ 773 Loans Individually evaluated for impairment $ 3,649 $ 1,921 $ 3,800 $ 2,114 Acquired with credit impairment 276 1,157 1,436 45 Collectively evaluated for impairment 134,781 257,966 151,216 109,773 Total $ 138,706 $ 261,044 $ 156,452 $ 111,932 1-4 Family HELOC Consumer Other Total Allowance for loan losses Individually evaluated for impairment $ — $ — $ — $ 663 Acquired with credit impairment — — — 4 Collectively evaluated for impairment 595 183 42 9,064 Total $ 595 $ 183 $ 42 $ 9,731 Loans Individually evaluated for impairment $ 90 $ — $ — $ 11,574 Acquired with credit impairment — — — 2,914 Collectively evaluated for impairment 71,927 17,605 14,694 757,962 Total $ 72,017 $ 17,605 $ 14,694 $ 772,450 The allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of September 30, 2018 was as follows: Commercial Industrial and Agricultural Multi-family and Commercial Real Estate Construction Land Development and Farmland 1-4 Family Residential Real Estate Allowance for loan losses Individually evaluated for impairment $ 334 $ — $ 67 $ 23 Acquired with credit impairment — — — — Collectively evaluated for impairment 1,692 4,118 2,323 1,298 Total $ 2,026 $ 4,118 $ 2,390 $ 1,321 Loans Individually evaluated for impairment $ 1,485 $ 1,173 $ 2,314 $ 2,241 Acquired with credit impairment 40 236 1,762 268 Collectively evaluated for impairment 208,083 432,473 195,773 225,505 Total $ 209,608 $ 433,882 $ 199,849 $ 228,014 1-4 Family HELOC Consumer Other Total Allowance for loan losses Individually evaluated for impairment $ — $ — $ — $ 424 Acquired with credit impairment — — — — Collectively evaluated for impairment 620 186 37 10,274 Total $ 620 $ 186 $ 37 $ 10,698 Loans Individually evaluated for impairment $ 90 $ 12 $ — $ 7,315 Acquired with credit impairment — 11 — 2,317 Collectively evaluated for impairment 86,688 21,510 14,444 1,184,476 Total $ 86,778 $ 21,533 $ 14,444 $ 1,194,108 |
Schedule of Financing Receivables, Non Accrual Status | Non-accrual loans by class of loan were as follows at September 30, 2018 and December 31, 2017 : September 30, 2018 December 31, 2017 Commercial, Industrial and Agricultural $ 750 $ 2,110 Multi-family and Commercial Real Estate — — Construction, Land Development and Farmland 2,112 2,518 1-4 Family Residential Real Estate 1,317 533 1-4 Family HELOC — — Consumer 56 — Total $ 4,235 $ 5,161 |
Impaired Financing Receivables | Individually impaired loans by class of loans were as follows at September 30, 2018 : Unpaid Principal Balance Recorded Investment with no Allowance Recorded Recorded Investment with Allowance Recorded Total Recorded Investment Related Allowance Commercial, Industrial and Agricultural $ 1,897 $ 976 $ 549 $ 1,525 $ 334 Multi-family and Commercial Real Estate 1,691 1,409 — 1,409 — Construction, Land Development and Farmland 5,678 3,459 617 4,076 67 1-4 Family Residential Real Estate 3,501 2,377 132 2,509 23 1-4 Family HELOC 90 90 — 90 — Consumer 29 23 — 23 — Total $ 12,886 $ 8,334 $ 1,298 $ 9,632 $ 424 Individually impaired loans by class of loans were as follows at December 31, 2017 : Unpaid Principal Balance Recorded Investment with no Allowance Recorded Recorded Investment with Allowance Recorded Total Recorded Investment Related Allowance Commercial, Industrial and Agricultural $ 4,398 $ 2,959 $ 966 $ 3,925 $ 608 Multi-family and Commercial Real Estate 3,427 3,078 — 3,078 — Construction, Land Development and Farmland 5,317 3,249 1,987 5,236 59 1-4 Family Residential Real Estate 2,857 2,159 — 2,159 — 1-4 Family HELOC 90 90 — 90 — Total $ 16,089 $ 11,535 $ 2,953 $ 14,488 $ 667 |
Impaired Financing Receivables, Average Recorded Investment | The average balances of impaired loans for the nine months ended September 30, 2018 and 2017 were as follows: 2018 2017 Commercial, Industrial and Agricultural $ 2,661 $ 5,550 Multi-family and Commercial Real Estate 2,610 4,403 Construction, Land Development and Farmland 4,831 4,319 1-4 Family Residential Real Estate 2,708 2,225 1-4 Family HELOC 90 957 Consumer 72 — Total $ 12,972 $ 17,454 |
Financing Receivable Credit Quality Indicators | Credit quality indicators by class of loan were as follows at September 30, 2018 : Pass Special Mention Substandard Total Commercial, Industrial and Agricultural $ 206,847 $ — $ 2,761 $ 209,608 1-4 Family Residential Real Estate 222,315 1,130 4,569 228,014 1-4 Family HELOC 85,848 — 930 86,778 Multi-family and Commercial Real Estate 430,379 1,566 1,937 433,882 Construction, Land Development and Farmland 195,623 642 3,584 199,849 Consumer 21,272 — 261 21,533 Other 14,444 — — 14,444 Total $ 1,176,728 $ 3,338 $ 14,042 $ 1,194,108 Credit quality indicators by class of loan were as follows at December 31, 2017 : Pass Special Mention Substandard Total Commercial, Industrial and Agricultural $ 135,833 $ 5 $ 2,868 $ 138,706 1-4 Family Residential Real Estate 108,426 1,392 2,114 111,932 1-4 Family HELOC 71,927 — 90 72,017 Multi-family and Commercial Real Estate 259,123 — 1,921 261,044 Construction, Land Development and Farmland 149,886 2,998 3,568 156,452 Consumer 17,605 — — 17,605 Other 14,694 — — 14,694 Total $ 757,494 $ 4,395 $ 10,561 $ 772,450 |
Past Due Financing Receivables | Past due status by class of loan was as follows at September 30, 2018 : 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due Total Past Due Current Total Loans Commercial, Industrial and Agricultural $ 95 $ — $ 573 $ 668 $ 208,940 $ 209,608 1-4 Family Residential Real Estate 572 1,160 129 1,861 226,153 228,014 1-4 Family HELOC 50 — — 50 86,728 86,778 Multi-family and Commercial Real Estate — 245 — 245 433,637 433,882 Construction, Land Development and Farmland — — 989 989 198,860 199,849 Consumer 30 1 40 71 21,462 21,533 Other — — — — 14,444 14,444 Total $ 747 $ 1,406 $ 1,731 $ 3,884 $ 1,190,224 $ 1,194,108 Past due status by class of loan was as follows at December 31, 2017 : 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due Total Past Due Current Total Loans Commercial, Industrial and Agricultural $ 7 $ — $ 1,548 $ 1,555 $ 137,151 $ 138,706 1-4 Family Residential Real Estate 617 — — 617 111,315 111,932 1-4 Family HELOC — 7 — 7 72,010 72,017 Multi-family and Commercial Real Estate 1,254 — — 1,254 259,790 261,044 Construction, Land Development and Farmland 265 444 2,073 2,782 153,670 156,452 Consumer 14 — — 14 17,591 17,605 Other — — — — 14,694 14,694 Total $ 2,157 $ 451 $ 3,621 $ 6,229 $ 766,221 $ 772,450 |
Troubled Debt Restructurings on Financing Receivables | The following table presents loans by class modified as troubled debt restructurings that occurred during the first nine months of 2018 and 2017: Number of Contracts Pre-Modification Outstanding Recorded Investments Post-Modification Outstanding Recorded Investments September 30, 2018 1-4 Family Residential 1 $ 1,254 $ 1,254 Multi-family and Commercial Real Estate 1 661 585 Total 2 $ 1,915 $ 1,839 September 30, 2017 1-4 Family Residential 1 108 108 Commercial, Industrial and Agricultural 1 790 320 Total 2 $ 898 $ 428 |
Schedule of Loans Acquired with Deteriorated Credit Quality | The outstanding balance and carrying amount of the purchased credit impaired loans was as follows at September 30, 2018 and December 31, 2017 : September 30, 2018 December 31, 2017 Commercial, Industrial and Agricultural $ 63 $ 298 Multi-family and Commercial Real Estate 238 1,217 Construction, Land Development and Farmland 1,969 1,508 1-4 Family Residential Real Estate 330 47 1-4 Family HELOC — — Consumer 17 — Total outstanding balance 2,617 3,070 Less remaining purchase discount 300 156 Allowance for loan losses — 4 Carrying amount, net of allowance $ 2,317 $ 2,910 |
Schedule of Activity Related to Accretable Yield of Loans Acquired with Evidence of Credit Quality Deterioration Since Origination | Activity related to the accretable portion of the purchase discount on loans acquired with deteriorated credit quality is as follows for the quarters and nine months ended September 30, 2018 and 2017 : 2018 2017 Balance at January 1, $ — $ 87 New accretable loan discount 424 — Loan payoffs (46 ) — Accretion income (38 ) (18 ) Balance at March 31, 340 69 Accretion income (95 ) (17 ) Balance at June 30, 245 52 Loan charge offs (74 ) — Accretion income — (33 ) Balance at September 30, $ 171 $ 19 |
Fair Values of Assets and Lia_2
Fair Values of Assets and Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements, Recurring and Nonrecurring | The following table sets forth the Company’s major categories of assets and liabilities measured at fair value on a nonrecurring basis, by level within the fair value hierarchy, as of September 30, 2018 and December 31, 2017 : Fair Value Quoted Significant Significant September 30, 2018 Assets Impaired loans $ 874 $ — $ — $ 874 Mortgage loans held for sale 12,712 — 12,712 — Other real estate owned 1,000 — — 1,000 December 31, 2017 Assets Impaired loans $ 2,286 $ — $ — $ 2,286 The following table sets forth the Company’s major categories of assets and liabilities measured at fair value on a recurring basis, by level within the fair value hierarchy, as of September 30, 2018 and December 31, 2017 : Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) September 30, 2018 Assets U. S. Treasury and other U. S. government agencies $ 553 $ — $ 553 $ — State and municipal 227,508 — 227,508 — Corporate bonds 3,029 — 3,029 — Mortgage backed securities 28,867 — 28,867 — Time deposits 3,500 3,500 — — Interest rate swaps 1,013 — 1,013 — December 31, 2017 Assets U. S. Treasury and other U. S. government agencies $ 578 $ — $ 578 $ — State and municipal 191,752 — 191,752 — Corporate bonds 1,492 — 1,492 — Mortgage backed securities 6,169 — 6,169 — Time deposits 3,500 3,500 — — Interest rate swaps 155 — 155 — Liabilities Interest rate swaps $ 180 $ — $ 180 $ — |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques | The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis and for which we have utilized Level 3 inputs to determine fair value at September 30, 2018 and December 31, 2017 : Valuation Techniques (1) Significant Unobservable Inputs Range (Weighted Average) Impaired loans Appraisal Estimated costs to sell 10% Mortgage loans held for sale Market bids Not Applicable Not Applicable Other real estate owned Appraisal Estimated costs to sell 10% (1) The fair value is generally determined through independent appraisals of the underlying collateral, which may include Level 3 inputs that are not identifiable, or by using the discounted cash flow method if the loan is not collateral dependent. Estimated cash flows change and appraised values of the assets or collateral underlying the loans will be sensitive to changes. |
Fair Value, by Balance Sheet Grouping | Carrying amounts and estimated fair values of financial instruments not reported at fair value at September 30, 2018 were as follows: Carrying Amount Estimated Fair Value Quoted Significant Significant Financial assets Cash and due from banks $ 34,026 $ 34,026 $ 34,026 $ — $ — Federal funds sold 417 417 — 417 — Loans, net 1,183,431 1,172,723 — — 1,172,723 Accrued interest receivable 8,032 8,032 — 8,032 — Restricted equity securities 11,681 11,681 — 11,681 — Financial liabilities Deposits $ 1,395,546 1,388,931 — — 1,388,931 Accrued interest payable 1,150 1,150 — 1,150 — Subordinate debentures 11,583 11,692 — — 11,692 Federal Home Loan Bank advances 62,686 62,572 — — 62,572 Carrying amounts and estimated fair values of financial instruments not reported at fair value at December 31, 2017 were as follows: Carrying Estimated Quoted Significant Significant Financial assets Cash and due from banks $ 20,497 $ 20,497 $ 20,497 $ — $ — Federal funds sold 171 171 — 171 — Loans, net 762,488 762,574 — — 762,574 Mortgage loans held for sale 45,322 46,467 — 46,467 — Accrued interest receivable 5,744 5,744 — 5,744 — Restricted equity securities 7,774 7,774 — 7,774 — Financial liabilities Deposits $ 883,519 $ 882,533 $ — $ — $ 882,533 Accrued interest payable 305 305 — 305 — Federal Home Loan Bank advances 96,747 96,754 — — 96,754 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-based Compensation, Stock Options, Activity | A summary of the activity in the stock option plans for the nine months ended September 30, 2018 as follows: Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term Aggregate Intrinsic Value Outstanding at January 1, 2018 170,761 $ 14.48 5.73 $ 1,905 Granted 25,500 $ 28.00 9.83 — Exercised (30,001) $ 13.27 2.56 — Forfeited or expired (6,000) $ 18.62 8.44 — Outstanding at September 30, 2018 160,260 $ 16.71 6.30 $ 1,482 Exercisable at September 30, 2018 89,660 $ 13.46 4.63 $ 1,085 |
Schedule of Nonvested Share Activity | Shares Weighted Average Grant-Date Fair Value Non-vested options at January 1, 2018 74,900 $4.14 Granted 25,500 $7.10 Vested (23,800 ) $6.16 Forfeited (6,000 ) $4.94 Non-vested options at September 30, 2018 70,600 $5.30 |
Regulatory Capital Requiremen_2
Regulatory Capital Requirements (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Banking and Thrift [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulation | Actual and required capital amounts and ratios are presented below as of September 30, 2018 and December 31, 2017 . Actual Regulatory Capital Minimum Required Capital Including Capital Conservation Buffer To Be Well Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio September 30, 2018 Company Tier I leverage $ 165,163 10.38 % $ 63,647 4.000 % $ 79,558 5.000 % Common equity tier 1 153,580 11.50 % 85,137 6.375 % 86,806 6.500 % Tier I risk-based capital 165,163 12.37 % 105,146 7.875 % 106,815 8.000 % Total risk-based capital 176,286 13.20 % 131,881 9.875 % 133,550 10.000 % Bank Tier I leverage $ 161,381 10.17 % $ 63,473 4.000 % $ 79,342 5.000 % Common equity tier 1 161,381 12.13 % 84,815 6.375 % 86,478 6.500 % Tier I risk-based capital 161,381 12.13 % 104,771 7.875 % 106,434 8.000 % Total risk-based capital 172,504 12.97 % 131,340 9.875 % 133,002 10.000 % December 31, 2017 Company Tier I leverage $ 126,234 11.89 % $ 42,467 4.000 % $ 53,084 5.000 % Common equity tier 1 126,234 13.90 % 52,219 5.750 % 59,030 6.500 % Tier I risk-based capital 126,234 13.90 % 65,841 7.250 % 72,653 8.000 % Total risk-based capital 135,965 14.97 % 84,013 9.250 % 90,825 10.000 % Bank Tier I leverage $ 123,862 11.68 % $ 42,418 4.000 % $ 53,023 5.000 % Common equity tier 1 123,862 13.67 % 52,100 5.750 % 58,896 6.500 % Tier I risk-based capital 123,862 13.67 % 65,691 7.250 % 72,487 8.000 % Total risk-based capital 133,593 14.74 % 83,835 9.250 % 90,633 10.000 % |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following is a summary of the components comprising basic and diluted earnings per common share of stock (EPS): Three Months Ended Nine Months Ended 2018 2017 2018 2017 Basic EPS Computation Net income attributable to common shareholders $ 4,082 $ 1,846 $ 9,962 $ 6,091 Weighted average common shares outstanding 11,406,753 8,174,973 11,378,755 7,878,760 Basic earnings per common share $ 0.36 $ 0.23 $ 0.88 $ 0.77 Diluted EPS Computation Net income attributable to common shareholders $ 4,082 $ 1,846 $ 9,962 $ 6,091 Weighted average common shares outstanding 11,406,753 8,174,973 11,378,755 7,878,760 Dilutive effect of stock options and restricted shares 91,426 105,885 83,944 95,587 Adjusted weighted average common shares outstanding 11,498,179 8,280,858 11,462,699 7,974,347 Diluted earnings per common share $ 0.36 $ 0.22 $ 0.87 $ 0.76 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | The following presents summarized results of operations for the Company’s business segments for the periods indicated: Three Months Ended Retail Banking Residential Mortgage Banking Elimination Entries Consolidated Net interest income $ 13,295 $ 171 $ — $ 13,466 Provision for loan losses 322 — — 322 Noninterest income 1,379 1,449 (51 ) 2,777 Noninterest expense (excluding merger expense) 9,614 2,466 — 12,080 Merger expense 82 — — 82 Income tax expense (benefit) 574 (55 ) — 519 Net income (loss) 4,082 (791 ) (51 ) 3,240 Noncontrolling interest in net loss of subsidiary — 791 51 842 Net income attributable to common shareholders $ 4,082 $ — $ — $ 4,082 The following presents summarized results of operations for the Company’s business segments for the periods indicated: Three Months Ended Retail Banking Residential Mortgage Banking Elimination Entries Consolidated Net interest income $ 8,924 $ 172 $ — $ 9,096 Provision for loan losses 540 — — 540 Noninterest income 516 1,584 (13 ) 2,087 Noninterest expense (excluding merger expense) 6,186 1,749 — 7,935 Merger expense 562 — — 562 Income tax expense (benefit) 306 — — 306 Net income (loss) 1,846 7 (13 ) 1,840 Noncontrolling interest in net loss of subsidiary — (7 ) 13 6 Net income attributable to common shareholders $ 1,846 $ — $ — $ 1,846 Nine Months Ended Retail Banking Residential Mortgage Banking Elimination Entries Consolidated Net interest income $ 39,529 $ 723 $ — $ 40,252 Provision for loan losses 759 — — 759 Noninterest income 3,966 4,190 (134 ) 8,022 Noninterest expense (excluding merger expense) 28,454 7,169 — 35,623 Merger expense 2,742 — — 2,742 Income tax expense (benefit) 1,578 (147 ) — 1,431 Net income (loss) 9,962 (2,109 ) (134 ) 7,719 Noncontrolling interest in net loss of subsidiary — 2,109 134 2,243 Net income attributable to common shareholders $ 9,962 $ — $ — $ 9,962 NOTE 9 - SEGMENT REPORTING (CONTINUED) The following presents summarized results of operations for the Company’s business segments for the periods indicated: Nine Months Ended Retail Banking Residential Mortgage Banking Elimination Entries Consolidated Net interest income $ 25,224 $ 346 $ — $ 25,570 Provision for loan losses 1,195 — — 1,195 Noninterest income 1,704 2,851 (98 ) 4,457 Noninterest expense (excluding merger expense) 18,019 4,053 — 22,072 Merger expense 562 — — 562 Income tax expense (benefit) 1,061 (56 ) — 1,005 Net income (loss) 6,091 (800 ) (98 ) 5,193 Noncontrolling interest in net loss of subsidiary — 800 98 898 Net income attributable to common shareholders $ 6,091 $ — $ — $ 6,091 |
Business Combination (Tables)
Business Combination (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Business Combinations [Abstract] | |
Calculation and Allocation of Purchase Price | The following table details the financial impact of the merger, including the calculation of the purchase price, the allocation of the purchase price to the fair values of net assets assumed and goodwill recognized: Calculation of Purchase Price Shares of Community First common stock outstanding as of December 31, 2017 5,025,884 Exchange ratio for Reliant Bancorp, Inc. common stock 0.481 Share conversion 2,417,450 Reliant Bancorp, Inc. common stock shares issued 2,416,444 Reliant Bancorp, Inc. share price at December 29, 2017 $ 25.64 Value of Reliant Bancorp, Inc. common stock shares issued 61,958 Value of fractional shares 25 Estimated fair value of Community First $ 61,983 Allocation of Purchase Price Total consideration above $ 61,983 Fair value of assets acquired and liabilities assumed Cash and cash equivalents (33,128 ) Time deposits in other financial institutions (23,309 ) Investment securities available for sale (69,078 ) Loans, net of unearned income (313,040 ) Mortgage loans held for sale, net (910 ) Accrued interest receivable (1,165 ) Premises and equipment (9,585 ) Restricted equity securities (1,726 ) Cash surrender value of life insurance contracts (10,664 ) Other real estate owned (1,650 ) Deferred tax asset, net (4,885 ) Core deposit intangible (7,888 ) Other assets (1,795 ) Deposits—noninterest-bearing 80,395 Deposits—interest-bearing 352,100 Other borrowings 11,522 Payables and other liabilities 5,061 Net liabilities assumed (net assets acquired) (29,745 ) Goodwill $ 32,238 |
Business Acquisition, Pro Forma Information | Pro forma data for the nine months ended September 30, 2018 and 2017 in the table below presents information as if the merger occurred at the beginning of each period. Nine Months Ended 2018 2017 Net interest income $ 40,252 $ 38,022 Net income attributable to common shareholders $ 9,962 $ 8,486 Earnings per share - basic $ 0.88 $ 0.83 Earnings per share - diluted $ 0.87 $ 0.82 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) | Sep. 30, 2018 |
Reliant Mortgage Ventures, LLC | |
Noncontrolling Interest [Line Items] | |
Noncontrolling interest, ownership percentage by parent | 51.00% |
Securities - Available-for-sale
Securities - Available-for-sale Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 300,746 | $ 218,177 |
Gross Unrealized Gains | 332 | 3,134 |
Gross Unrealized Losses | (8,050) | (1,110) |
Estimated Fair Value | 293,028 | 220,201 |
U. S. Treasury and other U. S. government agencies | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 573 | 586 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (20) | (8) |
Estimated Fair Value | 553 | 578 |
State and municipal | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 233,929 | 189,576 |
Gross Unrealized Gains | 320 | 3,081 |
Gross Unrealized Losses | (6,741) | (905) |
Estimated Fair Value | 227,508 | 191,752 |
Corporate bonds | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 3,130 | 1,500 |
Gross Unrealized Gains | 2 | 5 |
Gross Unrealized Losses | (103) | (13) |
Estimated Fair Value | 3,029 | 1,492 |
Mortgage backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 29,335 | 6,262 |
Gross Unrealized Gains | 10 | 3 |
Gross Unrealized Losses | (478) | (96) |
Estimated Fair Value | 28,867 | 6,169 |
Asset backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 30,279 | 16,753 |
Gross Unrealized Gains | 0 | 45 |
Gross Unrealized Losses | (708) | (88) |
Estimated Fair Value | 29,571 | 16,710 |
Time deposits | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 3,500 | 3,500 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | $ 3,500 | $ 3,500 |
Securities - Textual (Details)
Securities - Textual (Details) $ in Thousands | Sep. 30, 2018USD ($)security | Dec. 31, 2017USD ($)security |
Investments, Debt and Equity Securities [Abstract] | ||
Securities pledged, carrying amount | $ | $ 70,833 | $ 78,220 |
Number of securities of single issuer with book value greater than ten percent of stockholders' equity | 0 | 0 |
Number of securities in unrealized loss position | 275 | 120 |
Securities - Available-for-sa_2
Securities - Available-for-sale Securities Classified by Contractual Maturity Date (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Amortized Cost | ||
Due within one year | $ 1,756 | |
Due in one to five years | 7,066 | |
Due in five to ten years | 13,090 | |
Due after ten years | 219,220 | |
Amortized Cost | 300,746 | $ 218,177 |
Estimated Fair Value | ||
Due within one year | 1,753 | |
Due in one to five years | 7,019 | |
Due in five to ten years | 12,797 | |
Due after ten years | 213,021 | |
Estimated Fair Value | 293,028 | 220,201 |
Mortgage backed securities | ||
Amortized Cost | ||
Asset backed securities | 29,335 | |
Amortized Cost | 29,335 | 6,262 |
Estimated Fair Value | ||
Asset backed securities | 28,867 | |
Estimated Fair Value | 28,867 | 6,169 |
Asset backed securities | ||
Amortized Cost | ||
Asset backed securities | 30,279 | |
Amortized Cost | 30,279 | 16,753 |
Estimated Fair Value | ||
Asset backed securities | 29,571 | |
Estimated Fair Value | $ 29,571 | $ 16,710 |
Securities - Schedule of Tempor
Securities - Schedule of Temporary Impairment Losses, Investments (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Estimated Fair Value | $ 208,496 | $ 31,368 |
Less than 12 months, Unrealized Loss | 5,604 | 216 |
12 months or more, Estimated Fair Value | 42,796 | 40,127 |
12 months or more, Unrealized Loss | 2,446 | 894 |
Total, Estimated Fair Value | 251,292 | 71,495 |
Total, Unrealized Loss | 8,050 | 1,110 |
U. S. Treasury and other U. S. government agencies | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Estimated Fair Value | 72 | 86 |
Less than 12 months, Unrealized Loss | 2 | 1 |
12 months or more, Estimated Fair Value | 481 | 491 |
12 months or more, Unrealized Loss | 18 | 7 |
Total, Estimated Fair Value | 553 | 577 |
Total, Unrealized Loss | 20 | 8 |
State and municipal | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Estimated Fair Value | 157,984 | 19,899 |
Less than 12 months, Unrealized Loss | 4,455 | 128 |
12 months or more, Estimated Fair Value | 38,571 | 34,946 |
12 months or more, Unrealized Loss | 2,286 | 777 |
Total, Estimated Fair Value | 196,555 | 54,845 |
Total, Unrealized Loss | 6,741 | 905 |
Corporate bonds | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Estimated Fair Value | 2,035 | 0 |
Less than 12 months, Unrealized Loss | 95 | 0 |
12 months or more, Estimated Fair Value | 492 | 487 |
12 months or more, Unrealized Loss | 8 | 13 |
Total, Estimated Fair Value | 2,527 | 487 |
Total, Unrealized Loss | 103 | 13 |
Mortgage backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Estimated Fair Value | 20,440 | 2,412 |
Less than 12 months, Unrealized Loss | 367 | 14 |
12 months or more, Estimated Fair Value | 2,136 | 3,349 |
12 months or more, Unrealized Loss | 111 | 82 |
Total, Estimated Fair Value | 22,576 | 5,761 |
Total, Unrealized Loss | 478 | 96 |
Asset backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Estimated Fair Value | 27,965 | 8,971 |
Less than 12 months, Unrealized Loss | 685 | 73 |
12 months or more, Estimated Fair Value | 1,116 | 854 |
12 months or more, Unrealized Loss | 23 | 15 |
Total, Estimated Fair Value | 29,081 | 9,825 |
Total, Unrealized Loss | $ 708 | $ 88 |
Loans and Allowance for Loan _3
Loans and Allowance for Loan Losses - Schedule of Loans and Financial Receivables (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Dec. 31, 2016 |
Loans and Leases Receivable Disclosure [Line Items] | ||||
Loans | $ 1,194,108 | $ 772,450 | ||
Deferred loan (fees) costs | (21) | 231 | ||
Allowance for possible loan losses | 10,698 | 9,731 | $ 9,623 | $ 9,082 |
Loans, net | 1,183,431 | 762,488 | ||
Commercial, Industrial and Agricultural | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Loans | 209,608 | 138,706 | ||
Allowance for possible loan losses | 2,026 | 2,538 | 2,675 | 2,438 |
Real Estate | 1-4 Family Residential | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Loans | 228,014 | 111,932 | ||
Allowance for possible loan losses | 1,321 | 773 | 867 | 1,178 |
Real Estate | 1-4 Family HELOC | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Loans | 86,778 | 72,017 | ||
Allowance for possible loan losses | 620 | 595 | 613 | 704 |
Real Estate | Multi-family and Commercial | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Loans | 433,882 | 261,044 | ||
Allowance for possible loan losses | 4,118 | 3,166 | 3,094 | 2,731 |
Real Estate | Construction, Land Development and Farmland | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Loans | 199,849 | 156,452 | ||
Allowance for possible loan losses | 2,390 | 2,434 | 2,147 | 1,786 |
Consumer | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Loans | 21,533 | 17,605 | ||
Allowance for possible loan losses | 186 | 183 | 189 | 208 |
Other | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Loans | 14,444 | 14,694 | ||
Allowance for possible loan losses | $ 37 | $ 42 | $ 38 | $ 37 |
Loans and Allowance for Loan _4
Loans and Allowance for Loan Losses - Schedule of Allowances for Loan Losses by Portfolio Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Beginning balance | $ 9,731 | $ 9,082 | ||
Charge-offs | (631) | (986) | ||
Recoveries | 839 | 332 | ||
Provision | $ 322 | $ 540 | 759 | 1,195 |
Ending balance | 10,698 | 9,623 | 10,698 | 9,623 |
Commercial, Industrial and Agricultural | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Beginning balance | 2,538 | 2,438 | ||
Charge-offs | (308) | (941) | ||
Recoveries | 530 | 306 | ||
Provision | (734) | 872 | ||
Ending balance | 2,026 | 2,675 | 2,026 | 2,675 |
Real Estate | Multi-family and Commercial | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Beginning balance | 3,166 | 2,731 | ||
Charge-offs | (76) | 0 | ||
Recoveries | 215 | 0 | ||
Provision | 813 | 363 | ||
Ending balance | 4,118 | 3,094 | 4,118 | 3,094 |
Real Estate | Construction, Land Development and Farmland | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Beginning balance | 2,434 | 1,786 | ||
Charge-offs | (144) | 0 | ||
Recoveries | 44 | 5 | ||
Provision | 56 | 356 | ||
Ending balance | 2,390 | 2,147 | 2,390 | 2,147 |
Real Estate | 1-4 Family Residential | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Beginning balance | 773 | 1,178 | ||
Charge-offs | (36) | (15) | ||
Recoveries | 11 | 0 | ||
Provision | 573 | (296) | ||
Ending balance | 1,321 | 867 | 1,321 | 867 |
Real Estate | 1-4 Family HELOC | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Beginning balance | 595 | 704 | ||
Charge-offs | (6) | 0 | ||
Recoveries | 7 | 19 | ||
Provision | 24 | (110) | ||
Ending balance | 620 | 613 | 620 | 613 |
Consumer | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Beginning balance | 183 | 208 | ||
Charge-offs | (24) | (30) | ||
Recoveries | 29 | 2 | ||
Provision | (2) | 9 | ||
Ending balance | 186 | 189 | 186 | 189 |
Other | ||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Beginning balance | 42 | 37 | ||
Charge-offs | (37) | 0 | ||
Recoveries | 3 | 0 | ||
Provision | 29 | 1 | ||
Ending balance | $ 37 | $ 38 | $ 37 | $ 38 |
Loans and Allowance for Loan _5
Loans and Allowance for Loan Losses - Allowance for Loan Losses and Recorded Investment by Portfolio Segment (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Dec. 31, 2016 |
Allowance for loan losses | ||||
Individually evaluated for impairment | $ 424 | $ 663 | ||
Acquired with credit impairment | 0 | 4 | ||
Collectively evaluated for impairment | 10,274 | 9,064 | ||
Total | 10,698 | 9,731 | $ 9,623 | $ 9,082 |
Loans | ||||
Individually evaluated for impairment | 7,315 | 11,574 | ||
Acquired with credit impairment | 2,317 | 2,914 | ||
Collectively evaluated for impairment | 1,184,476 | 757,962 | ||
Total | 1,194,108 | 772,450 | ||
Commercial, Industrial and Agricultural | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 334 | 606 | ||
Acquired with credit impairment | 0 | 2 | ||
Collectively evaluated for impairment | 1,692 | 1,930 | ||
Total | 2,026 | 2,538 | 2,675 | 2,438 |
Loans | ||||
Individually evaluated for impairment | 1,485 | 3,649 | ||
Acquired with credit impairment | 40 | 276 | ||
Collectively evaluated for impairment | 208,083 | 134,781 | ||
Total | 209,608 | 138,706 | ||
Real Estate | Multi-family and Commercial | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 0 | 0 | ||
Acquired with credit impairment | 0 | 0 | ||
Collectively evaluated for impairment | 4,118 | 3,166 | ||
Total | 4,118 | 3,166 | 3,094 | 2,731 |
Loans | ||||
Individually evaluated for impairment | 1,173 | 1,921 | ||
Acquired with credit impairment | 236 | 1,157 | ||
Collectively evaluated for impairment | 432,473 | 257,966 | ||
Total | 433,882 | 261,044 | ||
Real Estate | Construction, Land Development and Farmland | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 67 | 57 | ||
Acquired with credit impairment | 0 | 2 | ||
Collectively evaluated for impairment | 2,323 | 2,375 | ||
Total | 2,390 | 2,434 | 2,147 | 1,786 |
Loans | ||||
Individually evaluated for impairment | 2,314 | 3,800 | ||
Acquired with credit impairment | 1,762 | 1,436 | ||
Collectively evaluated for impairment | 195,773 | 151,216 | ||
Total | 199,849 | 156,452 | ||
Real Estate | 1-4 Family Residential | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 23 | 0 | ||
Acquired with credit impairment | 0 | 0 | ||
Collectively evaluated for impairment | 1,298 | 773 | ||
Total | 1,321 | 773 | 867 | 1,178 |
Loans | ||||
Individually evaluated for impairment | 2,241 | 2,114 | ||
Acquired with credit impairment | 268 | 45 | ||
Collectively evaluated for impairment | 225,505 | 109,773 | ||
Total | 228,014 | 111,932 | ||
Real Estate | 1-4 Family HELOC | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 0 | 0 | ||
Acquired with credit impairment | 0 | 0 | ||
Collectively evaluated for impairment | 620 | 595 | ||
Total | 620 | 595 | 613 | 704 |
Loans | ||||
Individually evaluated for impairment | 90 | 90 | ||
Acquired with credit impairment | 0 | 0 | ||
Collectively evaluated for impairment | 86,688 | 71,927 | ||
Total | 86,778 | 72,017 | ||
Consumer | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 0 | 0 | ||
Acquired with credit impairment | 0 | 0 | ||
Collectively evaluated for impairment | 186 | 183 | ||
Total | 186 | 183 | 189 | 208 |
Loans | ||||
Individually evaluated for impairment | 12 | 0 | ||
Acquired with credit impairment | 11 | 0 | ||
Collectively evaluated for impairment | 21,510 | 17,605 | ||
Total | 21,533 | 17,605 | ||
Other | ||||
Allowance for loan losses | ||||
Individually evaluated for impairment | 0 | 0 | ||
Acquired with credit impairment | 0 | 0 | ||
Collectively evaluated for impairment | 37 | 42 | ||
Total | 37 | 42 | $ 38 | $ 37 |
Loans | ||||
Individually evaluated for impairment | 0 | 0 | ||
Acquired with credit impairment | 0 | 0 | ||
Collectively evaluated for impairment | 14,444 | 14,694 | ||
Total | $ 14,444 | $ 14,694 |
Loans and Allowance for Loan _6
Loans and Allowance for Loan Losses - Textual (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018USD ($) | Sep. 30, 2018USD ($)contract | Sep. 30, 2017USD ($)contract | Dec. 31, 2017USD ($) | |
Loans and Leases Receivable Disclosure [Line Items] | ||||
Non-accrual loans | $ 4,235,000 | $ 4,235,000 | $ 5,161,000 | |
Recorded investment, 90 days past due and still accruing | 40,000 | 40,000 | 0 | |
Troubled debt restructuring, write-down | $ 76,000 | $ 470,000 | ||
Number of restructured loans | contract | 5 | |||
Number of contracts remaining | contract | 2 | 2 | ||
Post-modification outstanding recorded investments | $ 1,839,000 | $ 428,000 | ||
Performing Financial Instruments | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Non-accrual loans | 2,492,000 | 2,492,000 | 1,096,000 | |
Consumer | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Non-accrual loans | 56,000 | 56,000 | 0 | |
Multi-family and Commercial | Real Estate | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Non-accrual loans | 0 | $ 0 | 0 | |
Number of contracts remaining | contract | 1 | |||
Post-modification outstanding recorded investments | $ 585,000 | |||
1-4 Family Residential | Real Estate | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Non-accrual loans | 1,317,000 | $ 1,317,000 | $ 533,000 | |
Number of contracts remaining | contract | 1 | 1 | ||
Post-modification outstanding recorded investments | $ 1,254,000 | $ 108,000 | ||
Proceeds from collection of finance receivables | $ 1,254,000 | |||
Minimum | Consumer | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Repayment period | 1 year | |||
Minimum | Multi-family and Commercial | Real Estate | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Percentage of loans in repayment | 50.00% | 50.00% | ||
Minimum | 1-4 Family Residential | Real Estate | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Loan facility, amortization period | 15 years | |||
Loans commitment, maturity period | 5 years | |||
Maximum | Consumer | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Repayment period | 5 years | |||
Maximum | 1-4 Family Residential | Real Estate | ||||
Loans and Leases Receivable Disclosure [Line Items] | ||||
Loan facility, amortization period | 30 years | |||
Loans commitment, maturity period | 15 years |
Loans and Allowance for Loan _7
Loans and Allowance for Loan Losses - Summary of Non-accrual Loans by Class of Loan (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans | $ 4,235 | $ 5,161 |
Commercial, Industrial and Agricultural | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans | 750 | 2,110 |
Real Estate | Multi-family and Commercial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans | 0 | 0 |
Real Estate | Construction, Land Development and Farmland | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans | 2,112 | 2,518 |
Real Estate | 1-4 Family Residential | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans | 1,317 | 533 |
Real Estate | 1-4 Family HELOC | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans | 0 | 0 |
Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans | $ 56 | $ 0 |
Loans and Allowance for Loan _8
Loans and Allowance for Loan Losses - Summary of Individually Impaired Loans by Class of Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Unpaid Principal Balance | $ 12,886 | $ 16,089 |
Recorded Investment with no Allowance Recorded | 8,334 | 11,535 |
Recorded Investment with Allowance Recorded | 1,298 | 2,953 |
Total Recorded Investment | 9,632 | 14,488 |
Related Allowance | 424 | 667 |
Commercial, Industrial and Agricultural | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Unpaid Principal Balance | 1,897 | 4,398 |
Recorded Investment with no Allowance Recorded | 976 | 2,959 |
Recorded Investment with Allowance Recorded | 549 | 966 |
Total Recorded Investment | 1,525 | 3,925 |
Related Allowance | 334 | 608 |
Real Estate | Multi-family and Commercial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Unpaid Principal Balance | 1,691 | 3,427 |
Recorded Investment with no Allowance Recorded | 1,409 | 3,078 |
Recorded Investment with Allowance Recorded | 0 | 0 |
Total Recorded Investment | 1,409 | 3,078 |
Related Allowance | 0 | 0 |
Real Estate | Construction, Land Development and Farmland | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Unpaid Principal Balance | 5,678 | 5,317 |
Recorded Investment with no Allowance Recorded | 3,459 | 3,249 |
Recorded Investment with Allowance Recorded | 617 | 1,987 |
Total Recorded Investment | 4,076 | 5,236 |
Related Allowance | 67 | 59 |
Real Estate | 1-4 Family Residential | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Unpaid Principal Balance | 3,501 | 2,857 |
Recorded Investment with no Allowance Recorded | 2,377 | 2,159 |
Recorded Investment with Allowance Recorded | 132 | 0 |
Total Recorded Investment | 2,509 | 2,159 |
Related Allowance | 23 | 0 |
Real Estate | 1-4 Family HELOC | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Unpaid Principal Balance | 90 | 90 |
Recorded Investment with no Allowance Recorded | 90 | 90 |
Recorded Investment with Allowance Recorded | 0 | 0 |
Total Recorded Investment | 90 | 90 |
Related Allowance | 0 | $ 0 |
Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Unpaid Principal Balance | 29 | |
Recorded Investment with no Allowance Recorded | 23 | |
Recorded Investment with Allowance Recorded | 0 | |
Total Recorded Investment | 23 | |
Related Allowance | $ 0 |
Loans and Allowance for Loan _9
Loans and Allowance for Loan Losses - Summary of Average Recorded Investment in Impaired Loans (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Loans and Leases Receivable Disclosure [Line Items] | ||
Average balance of impaired loans | $ 12,972 | $ 17,454 |
Commercial, Industrial and Agricultural | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Average balance of impaired loans | 2,661 | 5,550 |
Real Estate | Multi-family and Commercial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Average balance of impaired loans | 2,610 | 4,403 |
Real Estate | Construction, Land Development and Farmland | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Average balance of impaired loans | 4,831 | 4,319 |
Real Estate | 1-4 Family Residential | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Average balance of impaired loans | 2,708 | 2,225 |
Real Estate | 1-4 Family HELOC | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Average balance of impaired loans | 90 | 957 |
Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Average balance of impaired loans | $ 72 | $ 0 |
Loans and Allowance for Loan_10
Loans and Allowance for Loan Losses - Summary of Credit Quality Indicators by Class of Loan (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | $ 1,194,108 | $ 772,450 |
Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 1,176,728 | 757,494 |
Special Mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 3,338 | 4,395 |
Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 14,042 | 10,561 |
Commercial, Industrial and Agricultural | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 209,608 | 138,706 |
Commercial, Industrial and Agricultural | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 206,847 | 135,833 |
Commercial, Industrial and Agricultural | Special Mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 0 | 5 |
Commercial, Industrial and Agricultural | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 2,761 | 2,868 |
Real Estate | 1-4 Family Residential | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 228,014 | 111,932 |
Real Estate | 1-4 Family Residential | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 222,315 | 108,426 |
Real Estate | 1-4 Family Residential | Special Mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 1,130 | 1,392 |
Real Estate | 1-4 Family Residential | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 4,569 | 2,114 |
Real Estate | 1-4 Family HELOC | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 86,778 | 72,017 |
Real Estate | 1-4 Family HELOC | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 85,848 | 71,927 |
Real Estate | 1-4 Family HELOC | Special Mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 0 | 0 |
Real Estate | 1-4 Family HELOC | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 930 | 90 |
Real Estate | Multi-family and Commercial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 433,882 | 261,044 |
Real Estate | Multi-family and Commercial | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 430,379 | 259,123 |
Real Estate | Multi-family and Commercial | Special Mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 1,566 | 0 |
Real Estate | Multi-family and Commercial | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 1,937 | 1,921 |
Real Estate | Construction, Land Development and Farmland | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 199,849 | 156,452 |
Real Estate | Construction, Land Development and Farmland | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 195,623 | 149,886 |
Real Estate | Construction, Land Development and Farmland | Special Mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 642 | 2,998 |
Real Estate | Construction, Land Development and Farmland | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 3,584 | 3,568 |
Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 21,533 | 17,605 |
Consumer | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 21,272 | 17,605 |
Consumer | Special Mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 0 | 0 |
Consumer | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 261 | 0 |
Other | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 14,444 | 14,694 |
Other | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 14,444 | 14,694 |
Other | Special Mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 0 | 0 |
Other | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | $ 0 | $ 0 |
Loans and Allowance for Loan_11
Loans and Allowance for Loan Losses - Summary of Past Due (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | $ 3,884 | $ 6,229 |
Current | 1,190,224 | 766,221 |
Total | 1,194,108 | 772,450 |
Commercial, Industrial and Agricultural | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 668 | 1,555 |
Current | 208,940 | 137,151 |
Total | 209,608 | 138,706 |
Real Estate | 1-4 Family Residential | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 1,861 | 617 |
Current | 226,153 | 111,315 |
Total | 228,014 | 111,932 |
Real Estate | 1-4 Family HELOC | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 50 | 7 |
Current | 86,728 | 72,010 |
Total | 86,778 | 72,017 |
Real Estate | Multi-family and Commercial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 245 | 1,254 |
Current | 433,637 | 259,790 |
Total | 433,882 | 261,044 |
Real Estate | Construction, Land Development and Farmland | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 989 | 2,782 |
Current | 198,860 | 153,670 |
Total | 199,849 | 156,452 |
Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 71 | 14 |
Current | 21,462 | 17,591 |
Total | 21,533 | 17,605 |
Other | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 0 | 0 |
Current | 14,444 | 14,694 |
Total | 14,444 | 14,694 |
30-59 Days Past Due | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 747 | 2,157 |
30-59 Days Past Due | Commercial, Industrial and Agricultural | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 95 | 7 |
30-59 Days Past Due | Real Estate | 1-4 Family Residential | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 572 | 617 |
30-59 Days Past Due | Real Estate | 1-4 Family HELOC | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 50 | 0 |
30-59 Days Past Due | Real Estate | Multi-family and Commercial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 0 | 1,254 |
30-59 Days Past Due | Real Estate | Construction, Land Development and Farmland | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 0 | 265 |
30-59 Days Past Due | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 30 | 14 |
30-59 Days Past Due | Other | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 0 | 0 |
60-89 Days Past Due | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 1,406 | 451 |
60-89 Days Past Due | Commercial, Industrial and Agricultural | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 0 | 0 |
60-89 Days Past Due | Real Estate | 1-4 Family Residential | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 1,160 | 0 |
60-89 Days Past Due | Real Estate | 1-4 Family HELOC | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 0 | 7 |
60-89 Days Past Due | Real Estate | Multi-family and Commercial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 245 | 0 |
60-89 Days Past Due | Real Estate | Construction, Land Development and Farmland | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 0 | 444 |
60-89 Days Past Due | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 1 | 0 |
60-89 Days Past Due | Other | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 0 | 0 |
Greater Than 90 Days Past Due | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 1,731 | 3,621 |
Greater Than 90 Days Past Due | Commercial, Industrial and Agricultural | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 573 | 1,548 |
Greater Than 90 Days Past Due | Real Estate | 1-4 Family Residential | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 129 | 0 |
Greater Than 90 Days Past Due | Real Estate | 1-4 Family HELOC | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 0 | 0 |
Greater Than 90 Days Past Due | Real Estate | Multi-family and Commercial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 0 | 0 |
Greater Than 90 Days Past Due | Real Estate | Construction, Land Development and Farmland | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 989 | 2,073 |
Greater Than 90 Days Past Due | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | 40 | 0 |
Greater Than 90 Days Past Due | Other | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Past due | $ 0 | $ 0 |
Loans and Allowance for Loan_12
Loans and Allowance for Loan Losses - Troubled Debt Restructurings (Details) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018USD ($)contract | Sep. 30, 2017USD ($)contract | |
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 2 | 2 |
Pre-Modification Outstanding Recorded Investments | $ 1,915 | $ 898 |
Post-Modification Outstanding Recorded Investments | $ 1,839 | $ 428 |
Real Estate | 1-4 Family Residential | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 1 | 1 |
Pre-Modification Outstanding Recorded Investments | $ 1,254 | $ 108 |
Post-Modification Outstanding Recorded Investments | $ 1,254 | $ 108 |
Real Estate | Multi-family and Commercial | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 1 | |
Pre-Modification Outstanding Recorded Investments | $ 661 | |
Post-Modification Outstanding Recorded Investments | $ 585 | |
Commercial, Industrial and Agricultural | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 1 | |
Pre-Modification Outstanding Recorded Investments | $ 790 | |
Post-Modification Outstanding Recorded Investments | $ 320 |
Loans and Allowance for Loan_13
Loans and Allowance for Loan Losses - Summary of Carrying Amount of Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Total outstanding balance | $ 2,617 | $ 3,070 |
Less remaining purchase discount | 300 | 156 |
Allowance for loan losses | 0 | 4 |
Carrying amount, net of allowance | 2,317 | 2,910 |
Commercial, Industrial and Agricultural | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total outstanding balance | 63 | 298 |
Real Estate | Multi-family and Commercial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total outstanding balance | 238 | 1,217 |
Real Estate | Construction, Land Development and Farmland | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total outstanding balance | 1,969 | 1,508 |
Real Estate | 1-4 Family Residential | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total outstanding balance | 330 | 47 |
Real Estate | 1-4 Family HELOC | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total outstanding balance | 0 | 0 |
Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total outstanding balance | $ 17 | $ 0 |
Loans and Allowance for Loan_14
Loans and Allowance for Loan Losses - Activity Related to Accretable Portion of Loans Acquired (Details) - USD ($) $ in Thousands | 3 Months Ended | |||||
Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | ||||||
Balance | $ 245 | $ 340 | $ 0 | $ 52 | $ 69 | $ 87 |
New accretable loan discount | 424 | 0 | ||||
Loan payoffs | (74) | (46) | 0 | 0 | ||
Accretion income | 0 | (95) | (38) | (33) | (17) | (18) |
Balance | $ 171 | $ 245 | $ 340 | $ 19 | $ 52 | $ 69 |
Other Real Estate (Details)
Other Real Estate (Details) $ in Thousands | Jan. 01, 2018USD ($)parcel | Sep. 30, 2018USD ($)loan | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($)propertyloan | Sep. 30, 2017USD ($) |
Business Acquisition [Line Items] | |||||
Gain on sale of other real estate | $ 150 | $ 1 | $ 259 | $ 26 | |
Number of properties transferred to other real estate | property | 2 | ||||
Property loans transferred to other real estate | $ 1,060 | $ 0 | |||
Number of mortgage loans in process of foreclosure | loan | 3 | 3 | |||
Mortgage loans in process of foreclosure, amount | $ 1,526 | $ 1,526 | |||
Community First | |||||
Business Acquisition [Line Items] | |||||
Real estate parcels acquired | parcel | 3 | ||||
Other real estate owned, acquired | $ 1,650 |
Fair Values of Assets and Lia_3
Fair Values of Assets and Liabilities - Schedule of Fair Value of Assets and Liabilities Measured on Recurring and Non-recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Recurring | Interest rate swaps | Derivative financial instruments, liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities | $ 180 | |
Recurring | U. S. Treasury and other U. S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | $ 553 | 578 |
Recurring | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 227,508 | 191,752 |
Recurring | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 3,029 | 1,492 |
Recurring | Mortgage backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 28,867 | 6,169 |
Recurring | Time deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 3,500 | 3,500 |
Recurring | Derivative financial instruments, assets | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 1,013 | 155 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest rate swaps | Derivative financial instruments, liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities | 0 | |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U. S. Treasury and other U. S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Time deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 3,500 | 3,500 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Derivative financial instruments, assets | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | Interest rate swaps | Derivative financial instruments, liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities | 180 | |
Recurring | Significant Other Observable Inputs (Level 2) | U. S. Treasury and other U. S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 553 | 578 |
Recurring | Significant Other Observable Inputs (Level 2) | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 227,508 | 191,752 |
Recurring | Significant Other Observable Inputs (Level 2) | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 3,029 | 1,492 |
Recurring | Significant Other Observable Inputs (Level 2) | Mortgage backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 28,867 | 6,169 |
Recurring | Significant Other Observable Inputs (Level 2) | Time deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | Derivative financial instruments, assets | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 1,013 | 155 |
Recurring | Significant Unobservable Inputs (Level 3) | Interest rate swaps | Derivative financial instruments, liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities | 0 | |
Recurring | Significant Unobservable Inputs (Level 3) | U. S. Treasury and other U. S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Time deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Derivative financial instruments, assets | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | 0 | 0 |
Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 874 | 2,286 |
Mortgage loans held for sale | 12,712 | |
Other real estate owned | 1,000 | |
Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Mortgage loans held for sale | 0 | |
Other real estate owned | 0 | |
Nonrecurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Mortgage loans held for sale | 12,712 | |
Other real estate owned | 0 | |
Nonrecurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 874 | $ 2,286 |
Mortgage loans held for sale | 0 | |
Other real estate owned | $ 1,000 |
Fair Values of Assets and Lia_4
Fair Values of Assets and Liabilities - Summary of Quantitative Information of Assets Measured at Fair Value on Nonrecurring Basis by Utilized Level 3 Inputs (Details) - Significant Unobservable Inputs (Level 3) | 9 Months Ended |
Sep. 30, 2018 | |
Impaired loans | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Valuation Techniques | Appraisal |
Significant Unobservable Inputs | Estimated costs to sell |
Range (Weighted Average) | 10.00% |
Mortgage loans held for sale | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Valuation Techniques | Market bids |
Other real estate owned | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Valuation Techniques | Appraisal |
Significant Unobservable Inputs | Estimated costs to sell |
Range (Weighted Average) | 10.00% |
Fair Values of Assets and Lia_5
Fair Values of Assets and Liabilities - Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Carrying Amount | ||
Financial assets | ||
Cash and due from banks | $ 34,026 | $ 20,497 |
Federal funds sold | 417 | 171 |
Loans, net | 1,183,431 | 762,488 |
Mortgage loans held for sale | 45,322 | |
Accrued interest receivable | 8,032 | 5,744 |
Restricted equity securities | 11,681 | 7,774 |
Financial liabilities | ||
Deposits | 1,395,546 | 883,519 |
Accrued interest payable | 1,150 | 305 |
Subordinate debentures | 11,583 | |
Federal Home Loan Bank advances | 62,686 | 96,747 |
Estimated Fair Value | ||
Financial assets | ||
Cash and due from banks | 34,026 | 20,497 |
Federal funds sold | 417 | 171 |
Loans, net | 1,172,723 | 762,574 |
Mortgage loans held for sale | 46,467 | |
Accrued interest receivable | 8,032 | 5,744 |
Restricted equity securities | 11,681 | 7,774 |
Financial liabilities | ||
Deposits | 1,388,931 | 882,533 |
Accrued interest payable | 1,150 | 305 |
Subordinate debentures | 11,692 | |
Federal Home Loan Bank advances | 62,572 | 96,754 |
Estimated Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Financial assets | ||
Cash and due from banks | 34,026 | 20,497 |
Federal funds sold | 0 | 0 |
Loans, net | 0 | 0 |
Mortgage loans held for sale | 0 | |
Accrued interest receivable | 0 | 0 |
Restricted equity securities | 0 | 0 |
Financial liabilities | ||
Deposits | 0 | 0 |
Accrued interest payable | 0 | 0 |
Subordinate debentures | 0 | |
Federal Home Loan Bank advances | 0 | 0 |
Estimated Fair Value | Significant Other Observable Inputs (Level 2) | ||
Financial assets | ||
Cash and due from banks | 0 | 0 |
Federal funds sold | 417 | 171 |
Loans, net | 0 | 0 |
Mortgage loans held for sale | 46,467 | |
Accrued interest receivable | 8,032 | 5,744 |
Restricted equity securities | 11,681 | 7,774 |
Financial liabilities | ||
Deposits | 0 | 0 |
Accrued interest payable | 1,150 | 305 |
Subordinate debentures | 0 | |
Federal Home Loan Bank advances | 0 | 0 |
Estimated Fair Value | Significant Unobservable Inputs (Level 3) | ||
Financial assets | ||
Cash and due from banks | 0 | 0 |
Federal funds sold | 0 | 0 |
Loans, net | 1,172,723 | 762,574 |
Mortgage loans held for sale | 0 | |
Accrued interest receivable | 0 | 0 |
Restricted equity securities | 0 | 0 |
Financial liabilities | ||
Deposits | 1,388,931 | 882,533 |
Accrued interest payable | 0 | 0 |
Subordinate debentures | 11,692 | |
Federal Home Loan Bank advances | $ 62,572 | $ 96,754 |
Stock-based Compensation - Text
Stock-based Compensation - Textual (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2015 | Sep. 30, 2018 | Jun. 18, 2015 | Dec. 31, 2011 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized future compensation expense | $ 2,314 | |||
2015 Equity Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized (in shares) | 900,000 | |||
Employee Stock Option | 2011 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized (in shares) | 1,250,000 | 625,000 | ||
Expiration period | 10 years |
Stock-based Compensation - Stoc
Stock-based Compensation - Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Shares | ||
Outstanding, beginning (in shares) | 170,761 | |
Granted (in shares) | 25,500 | |
Exercised (in shares) | (30,001) | |
Forfeited or expired (in shares) | (6,000) | |
Outstanding, ending (in shares) | 160,260 | 170,761 |
Exercisable, shares (in shares) | 89,660 | |
Weighted Average Exercise Price | ||
Outstanding, beginning (in dollars per share) | $ 14.48 | |
Granted (in dollars per share) | 28 | |
Exercised (in dollars per share) | 13.27 | |
Forfeited or expired (in dollars per share) | 18.62 | |
Outstanding, ending (in dollars per share) | 16.71 | $ 14.48 |
Exercisable, weighted average exercise price (in dollars per share) | $ 13.46 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | ||
Outstanding, Weighted Average Remaining Contractual Term | 6 years 3 months 18 days | 5 years 8 months 23 days |
Granted, Weighted Average Remaining Contractual Term | 9 years 9 months 29 days | |
Exercised, Weighted Average Remaining Contractual Term | 2 years 6 months 22 days | |
Forfeited or expired, Weighted Average Remaining Contractual Term | 8 years 5 months 9 days | |
Exercisable, Weighted Average Remaining Contractual Term (years) | 4 years 7 months 17 days | |
Outstanding, Aggregate Intrinsic Value | $ 1,482 | $ 1,905 |
Exercisable, Aggregate Intrinsic Value | $ 1,085 |
Stock-based Compensation - Nonv
Stock-based Compensation - Nonvested Stock Option Activity (Details) | 9 Months Ended |
Sep. 30, 2018$ / sharesshares | |
Shares | |
Non-vested options, beginning (in shares) | shares | 74,900 |
Granted (in shares) | shares | 25,500 |
Vested (in shares) | shares | (23,800) |
Forfeited (in shares) | shares | (6,000) |
Non-vested options, ending (in shares) | shares | 70,600 |
Weighted Average Grant-Date Fair Value | |
Non-vested options, beginning (in dollars per share) | $ / shares | $ 4.14 |
Granted (in dollars per share) | $ / shares | 7.10 |
Vested (in dollars per share) | $ / shares | 6.16 |
Forfeited (in dollars per share) | $ / shares | 4.94 |
Non-vested options, ending (in dollars per share) | $ / shares | $ 5.30 |
Regulatory Capital Requiremen_3
Regulatory Capital Requirements - Summary of Bank's Actual Capital Amounts and Ratios (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier I leverage | $ 165,163 | $ 126,234 |
Tier I leverage, ratio | 10.38% | 11.89% |
Tier I leverage, minimum required capital including capital conservation buffer | $ 63,647 | $ 42,467 |
Tier I leverage, minimum required capital including capital conservation buffer, ratio | 4.00% | 4.00% |
Tier I leverage, to be well capitalized under prompt corrective action provisions | $ 79,558 | $ 53,084 |
Tier I leverage, to be well capitalized under prompt corrective action provisions, ratio | 5.00% | 5.00% |
Common equity tier 1 | $ 153,580 | $ 126,234 |
Common equity tier 1, ratio | 11.50% | 13.90% |
Common equity tier 1, minimum required capital including capital conservation buffer | $ 85,137 | $ 52,219 |
Common equity tier 1, minimum required capital including capital conservation buffer, ratio | 6.375% | 5.75% |
Common equity tier 1, to be well capitalized under prompt corrective action provisions | $ 86,806 | $ 59,030 |
Common equity tier 1, to be well capitalized under prompt corrective action provisions, ratio | 6.50% | 6.50% |
Tier I risk-based capital | $ 165,163 | $ 126,234 |
Tier I risk-based capital, ratio | 12.37% | 13.90% |
Tier I risk-based capital, minimum required capital including capital conservation buffer | $ 105,146 | $ 65,841 |
Tier I risk-based capital, minimum required capital including capital conservation buffer, ratio | 7.875% | 7.25% |
Tier I risk-based capital, to be well capitalized under prompt corrective action provisions | $ 106,815 | $ 72,653 |
Tier I risk-based capital, to be well capitalized under prompt corrective action provisions, ratio | 8.00% | 8.00% |
Total risk-based capital | $ 176,286 | $ 135,965 |
Total risk-based capital, ratio | 13.20% | 14.97% |
Total risk-based capital, minimum required capital including capital conservation buffer | $ 131,881 | $ 84,013 |
Total risk-based capital, minimum required capital including capital conservation buffer, ratio | 9.875% | 9.25% |
Total risk-based capital, to be well capitalized under prompt corrective action provisions | $ 133,550 | $ 90,825 |
Total risk-based capital, to be well capitalized under prompt corrective action provisions, ratio | 10.00% | 10.00% |
Reliant Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier I leverage | $ 161,381 | $ 123,862 |
Tier I leverage, ratio | 10.17% | 11.68% |
Tier I leverage, minimum required capital including capital conservation buffer | $ 63,473 | $ 42,418 |
Tier I leverage, minimum required capital including capital conservation buffer, ratio | 4.00% | 4.00% |
Tier I leverage, to be well capitalized under prompt corrective action provisions | $ 79,342 | $ 53,023 |
Tier I leverage, to be well capitalized under prompt corrective action provisions, ratio | 5.00% | 5.00% |
Common equity tier 1 | $ 161,381 | $ 123,862 |
Common equity tier 1, ratio | 12.13% | 13.67% |
Common equity tier 1, minimum required capital including capital conservation buffer | $ 84,815 | $ 52,100 |
Common equity tier 1, minimum required capital including capital conservation buffer, ratio | 6.375% | 5.75% |
Common equity tier 1, to be well capitalized under prompt corrective action provisions | $ 86,478 | $ 58,896 |
Common equity tier 1, to be well capitalized under prompt corrective action provisions, ratio | 6.50% | 6.50% |
Tier I risk-based capital | $ 161,381 | $ 123,862 |
Tier I risk-based capital, ratio | 12.13% | 13.67% |
Tier I risk-based capital, minimum required capital including capital conservation buffer | $ 104,771 | $ 65,691 |
Tier I risk-based capital, minimum required capital including capital conservation buffer, ratio | 7.875% | 7.25% |
Tier I risk-based capital, to be well capitalized under prompt corrective action provisions | $ 106,434 | $ 72,487 |
Tier I risk-based capital, to be well capitalized under prompt corrective action provisions, ratio | 8.00% | 8.00% |
Total risk-based capital | $ 172,504 | $ 133,593 |
Total risk-based capital, ratio | 12.97% | 14.74% |
Total risk-based capital, minimum required capital including capital conservation buffer | $ 131,340 | $ 83,835 |
Total risk-based capital, minimum required capital including capital conservation buffer, ratio | 9.875% | 9.25% |
Total risk-based capital, to be well capitalized under prompt corrective action provisions | $ 133,002 | $ 90,633 |
Total risk-based capital, to be well capitalized under prompt corrective action provisions, ratio | 10.00% | 10.00% |
Earnings Per Share - Summary of
Earnings Per Share - Summary of Components of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Basic EPS Computation | ||||
Net income attributable to common shareholders | $ 4,082 | $ 1,846 | $ 9,962 | $ 6,091 |
Weighted average common shares outstanding (in shares) | 11,406,753 | 8,174,973 | 11,378,755 | 7,878,760 |
Basic earnings per common share (in dollars per share) | $ 0.36 | $ 0.23 | $ 0.88 | $ 0.77 |
Diluted EPS Computation | ||||
Net income attributable to common shareholders | $ 4,082 | $ 1,846 | $ 9,962 | $ 6,091 |
Dilutive effect of stock options and restricted shares (in shares) | 91,426 | 105,885 | 83,944 | 95,587 |
Adjusted weighted average common shares outstanding (in shares) | 11,498,179 | 8,280,858 | 11,462,699 | 7,974,347 |
Diluted earnings per common share (in dollars per share) | $ 0.36 | $ 0.22 | $ 0.87 | $ 0.76 |
Segment Reporting - Textual (De
Segment Reporting - Textual (Details) | 9 Months Ended |
Sep. 30, 2018segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Segment Reporting - Summary of
Segment Reporting - Summary of Results of Operations for Company's Business Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Segment Reporting Information [Line Items] | ||||
Net interest income | $ 13,466 | $ 9,096 | $ 40,252 | $ 25,570 |
Provision for loan losses | 322 | 540 | 759 | 1,195 |
Noninterest income | 2,777 | 2,087 | 8,022 | 4,457 |
Noninterest expense (excluding merger expense) | 12,080 | 7,935 | 35,623 | 22,072 |
Merger expenses | 82 | 562 | 2,742 | 562 |
Income tax expense (benefit) | 519 | 306 | 1,431 | 1,005 |
Net income (loss) | 3,240 | 1,840 | 7,719 | 5,193 |
Noncontrolling interest in net loss of subsidiary | 842 | 6 | 2,243 | 898 |
NET INCOME ATTRIBUTABLE TO COMMON SHAREHOLDERS | 4,082 | 1,846 | 9,962 | 6,091 |
Operating Segments | Retail Banking | ||||
Segment Reporting Information [Line Items] | ||||
Net interest income | 13,295 | 8,924 | 39,529 | 25,224 |
Provision for loan losses | 322 | 540 | 759 | 1,195 |
Noninterest income | 1,379 | 516 | 3,966 | 1,704 |
Noninterest expense (excluding merger expense) | 9,614 | 6,186 | 28,454 | 18,019 |
Merger expenses | 82 | 562 | 2,742 | 562 |
Income tax expense (benefit) | 574 | 306 | 1,578 | 1,061 |
Net income (loss) | 4,082 | 1,846 | 9,962 | 6,091 |
Noncontrolling interest in net loss of subsidiary | 0 | 0 | 0 | 0 |
NET INCOME ATTRIBUTABLE TO COMMON SHAREHOLDERS | 4,082 | 1,846 | 9,962 | 6,091 |
Operating Segments | Residential Mortgage Banking | ||||
Segment Reporting Information [Line Items] | ||||
Net interest income | 171 | 172 | 723 | 346 |
Provision for loan losses | 0 | 0 | 0 | 0 |
Noninterest income | 1,449 | 1,584 | 4,190 | 2,851 |
Noninterest expense (excluding merger expense) | 2,466 | 1,749 | 7,169 | 4,053 |
Merger expenses | 0 | 0 | 0 | 0 |
Income tax expense (benefit) | (55) | 0 | (147) | (56) |
Net income (loss) | (791) | 7 | (2,109) | (800) |
Noncontrolling interest in net loss of subsidiary | 791 | (7) | 2,109 | 800 |
NET INCOME ATTRIBUTABLE TO COMMON SHAREHOLDERS | 0 | 0 | 0 | 0 |
Elimination Entries | ||||
Segment Reporting Information [Line Items] | ||||
Net interest income | 0 | 0 | 0 | 0 |
Provision for loan losses | 0 | 0 | 0 | 0 |
Noninterest income | (51) | (13) | (134) | (98) |
Noninterest expense (excluding merger expense) | 0 | 0 | 0 | 0 |
Merger expenses | 0 | 0 | 0 | 0 |
Income tax expense (benefit) | 0 | 0 | 0 | 0 |
Net income (loss) | (51) | (13) | (134) | (98) |
Noncontrolling interest in net loss of subsidiary | 51 | 13 | 134 | 98 |
NET INCOME ATTRIBUTABLE TO COMMON SHAREHOLDERS | $ 0 | $ 0 | $ 0 | $ 0 |
Derivatives - Textual (Details)
Derivatives - Textual (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Derivative, notional amount | $ 81,505 | $ 21,505 |
Other derivative assets, fair value disclosure | $ 1,013 | 155 |
Other derivative liabilities, fair value disclosure | $ 180 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Income Tax Disclosure [Abstract] | ||||
Income tax expense (benefit) | $ 519 | $ 306 | $ 1,431 | $ 1,005 |
Effective income tax rate | 14.00% | 14.00% | 16.00% | 16.00% |
Business Combination - Narrativ
Business Combination - Narrative (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Jan. 01, 2018 | |
Business Acquisition [Line Items] | |||||
Acquisition related costs | $ 82 | $ 562 | $ 2,742 | $ 562 | |
Community First | |||||
Business Acquisition [Line Items] | |||||
Exchange ratio for Reliant Bancorp, Inc. common stock | 0.481 | ||||
Other assets adjustment | (93) | ||||
Accounts payable and other liabilities adjustment | 85 | ||||
Community First | Acquisition-related Costs | |||||
Business Acquisition [Line Items] | |||||
Acquisition related costs | $ 2,742 | $ 562 |
Business Combination - Financia
Business Combination - Financial Impact of Merger (Details) $ / shares in Units, $ in Thousands | Jan. 01, 2018USD ($)shares | Sep. 30, 2018USD ($) | Dec. 31, 2017USD ($)shares | Dec. 29, 2017$ / shares |
Allocation of Purchase Price | ||||
Goodwill | $ 43,642 | $ 11,404 | ||
Community First | ||||
Calculation of Purchase Price | ||||
Shares of Community First common stock outstanding as of December 31, 2017 (in shares) | shares | 5,025,884 | |||
Exchange ratio for Reliant Bancorp, Inc. common stock | 0.481 | |||
Share conversion (in shares) | shares | 2,417,450 | |||
Reliant Bancorp, Inc. common stock shares issued (in shares) | shares | 2,416,444 | |||
Reliant Bancorp, Inc. share price at December 29, 2017 (in dollars per share) | $ / shares | $ 25.64 | |||
Value of Reliant Bancorp, Inc. common stock shares issued | $ 61,958 | |||
Value of fractional shares | 25 | |||
Estimated fair value of Community First | 61,983 | |||
Allocation of Purchase Price | ||||
Total consideration above | 61,983 | |||
Cash and cash equivalents | (33,128) | |||
Time deposits in other financial institutions | (23,309) | |||
Investment securities available for sale | (69,078) | |||
Loans, net of unearned income | (313,040) | |||
Mortgage loans held for sale, net | (910) | |||
Accrued interest receivable | (1,165) | |||
Premises and equipment | (9,585) | |||
Restricted equity securities | (1,726) | |||
Cash surrender value of life insurance contracts | (10,664) | |||
Other real estate owned | (1,650) | |||
Deferred tax asset, net | (4,885) | |||
Core deposit intangible | (7,888) | |||
Other assets | (1,795) | |||
Deposits—noninterest-bearing | 80,395 | |||
Deposits—interest-bearing | 352,100 | |||
Other borrowings | 11,522 | |||
Payables and other liabilities | 5,061 | |||
Net liabilities assumed (net assets acquired) | (29,745) | |||
Goodwill | $ 32,238 |
Business Combination - Pro Form
Business Combination - Pro Forma Information (Details) - Community First - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Business Acquisition [Line Items] | ||
Net interest income | $ 40,252 | $ 38,022 |
Net income attributable to common shareholders | $ 9,962 | $ 8,486 |
Earnings per share - basic (in dollars per share) | $ 0.88 | $ 0.83 |
Earnings per share - diluted (in dollars per share) | $ 0.87 | $ 0.82 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Details) - Accounting Standards Update 2018-02 $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Retained Earnings | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Tax Cuts and Jobs Act of 2017, reclassification from AOCI to retained earnings, tax effect | $ (245) |
Accumulated Other Comprehensive Income | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Tax Cuts and Jobs Act of 2017, reclassification from AOCI to retained earnings, tax effect | $ 245 |