Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Mar. 05, 2018 | Jun. 30, 2017 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | Provident Bancorp, Inc. | ||
Entity Central Index Key | 1,635,840 | ||
Trading Symbol | pvbc | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding | 9,628,496 | ||
Entity Public Float | $ 86.7 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Assets | ||
Cash and due from banks | $ 10,326 | $ 7,939 |
Interest-bearing demand deposits with other banks | 37,363 | 2,637 |
Money market mutual funds | 129 | |
Cash and cash equivalents | 47,689 | 10,705 |
Investments in available-for-sale securities (at fair value) | 61,429 | 117,867 |
Federal Home Loan Bank stock, at cost | 1,854 | 2,787 |
Loans, net | 742,138 | 624,425 |
Assets held-for-sale | 3,286 | |
Bank owned life insurance | 25,540 | 19,395 |
Premises and equipment, net | 10,981 | 11,587 |
Accrued interest receivable | 2,345 | 2,320 |
Deferred tax asset, net | 4,920 | 4,913 |
Other assets | 2,083 | 1,544 |
Total assets | 902,265 | 795,543 |
Deposits: | ||
Noninterest-bearing | 186,222 | 158,075 |
Interest-bearing | 563,835 | 469,907 |
Total deposits | 750,057 | 627,982 |
Federal Home Loan Bank advances | 26,841 | 49,858 |
Other liabilities | 9,590 | 8,554 |
Total liabilities | 786,488 | 686,394 |
Shareholders' equity | ||
Preferred stock; authorized 50,000 shares: no shares issued and outstanding | ||
Common stock, no par value: 30,000,000 shares authorized; 9,657,319 shares issued, 9,628,496 shares outstanding at December 31, 2017 and 9,652,448 issued and outstanding at December 31, 2016 | 0 | 0 |
Additional paid-in capital | 44,592 | 43,393 |
Retained earnings | 74,047 | 66,229 |
Accumulated other comprehensive income | 589 | 2,622 |
Unearned compensation - ESOP | (2,857) | (3,095) |
Treasury stock: 28,823 shares at December 31, 2017 | (594) | |
Total shareholders' equity | 115,777 | 109,149 |
Total liabilities and shareholders' equity | $ 902,265 | $ 795,543 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parentheticals) - $ / shares | Dec. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Preferred stock, shares authorized | 50,000 | 50,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, no par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized | 30,000,000 | 30,000,000 |
Common stock, shares issued | 9,657,319 | 9,652,448 |
Common stock, shares outstanding | 9,628,496 | 9,652,448 |
Treasury stock, shares | 28,823 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Interest and dividend income: | ||
Interest and fees on loans | $ 32,510 | $ 25,549 |
Interest and dividends on securities | 3,172 | 3,312 |
Interest on interest-bearing deposits | 100 | 33 |
Total interest and dividend income | 35,782 | 28,894 |
Interest expense: | ||
Interest on deposits | 2,944 | 2,163 |
Interest on Federal Home Loan Bank advances | 782 | 622 |
Total interest expense | 3,726 | 2,785 |
Net interest and dividend income | 32,056 | 26,109 |
Provision for loan losses | 2,929 | 703 |
Net interest and dividend income after provision for loan losses | 29,127 | 25,406 |
Noninterest income: | ||
Customer service fees on deposit accounts | 1,406 | 1,274 |
Service charges and fees - other | 1,905 | 1,777 |
Gain on sales of securities, net | 5,912 | 690 |
Bank owned life insurance | 645 | 602 |
Other income | 87 | 92 |
Total noninterest income | 9,955 | 4,435 |
Noninterest expense: | ||
Salaries and employee benefits | 15,344 | 12,857 |
Occupancy expense | 1,839 | 1,548 |
Equipment expense | 587 | 631 |
FDIC assessment | 309 | 323 |
Data processing | 741 | 662 |
Marketing expense | 300 | 249 |
Professional fees | 936 | 1,088 |
Directors' fees | 607 | 351 |
Other | 3,086 | 2,768 |
Total noninterest expense | 23,749 | 20,477 |
Income before income tax expense | 15,333 | 9,364 |
Income tax expense | 7,418 | 3,025 |
Net income | $ 7,915 | $ 6,339 |
Income per share: | ||
Basic (in dollars per share) | $ 0.86 | $ 0.69 |
Diluted (in dollars per share) | $ 0.86 | $ 0.69 |
Weighted Average Shares: | ||
Basic (in shares) | 9,199,274 | 9,176,384 |
Diluted (in shares) | 9,199,887 | 9,176,384 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 7,915 | $ 6,339 |
Other comprehensive income: | ||
Unrealized holding gains (losses) | 2,466 | (80) |
Reclassification adjustment for realized gains in net income | (5,912) | (690) |
Unrealized loss | (3,446) | (770) |
Income tax effect | 1,413 | 281 |
Net of tax amount | (2,033) | (489) |
Unrealized holding gains on securities transferred from held-to-maturity to available-for-sale | 2,239 | |
Income tax effect | (818) | |
Net of tax amount | 1,421 | |
Other comprehensive (loss) income | (2,033) | 932 |
Total comprehensive income | $ 5,882 | $ 7,271 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Thousands | Shares of Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income | Unearned Compensation ESOP | Treasury Stock | Total |
Balance at Dec. 31, 2015 | $ 43,159 | $ 59,890 | $ 1,690 | $ (3,333) | $ 101,406 | ||
Balance (in shares) at Dec. 31, 2015 | 9,498,722 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 6,339 | 6,339 | |||||
Other comprehensive income (loss) | 932 | 932 | |||||
Stock-based compensation expense | 113 | 113 | |||||
Restricted stock award grants (in shares) | 153,726 | ||||||
ESOP shares earned | 121 | 238 | 359 | ||||
Balance at Dec. 31, 2016 | 43,393 | 66,229 | 2,622 | (3,095) | 109,149 | ||
Balance (in shares) at Dec. 31, 2016 | 9,652,448 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 7,915 | 7,915 | |||||
Other comprehensive income (loss) | (2,130) | (2,033) | |||||
Reclassification from retained earnings to AOCI | (97) | 97 | |||||
Stock-based compensation expense | 926 | 926 | |||||
Restricted stock award grants (in shares) | 4,871 | ||||||
Treasury stock acquired | $ (594) | (594) | |||||
Treasury stock acquired (in shares) | (28,823) | ||||||
ESOP shares earned | 273 | 238 | 511 | ||||
Balance at Dec. 31, 2017 | $ 44,592 | $ 74,047 | $ 589 | $ (2,857) | $ (594) | $ 115,777 | |
Balance (in shares) at Dec. 31, 2017 | 9,628,496 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | ||
Net income | $ 7,915 | $ 6,339 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Amortization of securities premiums, net of accretion | 740 | 849 |
ESOP expense | 511 | 359 |
Gain on sale of securities, net | (5,912) | (690) |
Change in deferred loan fees, net | 418 | 50 |
Provision for loan losses | 2,929 | 703 |
Depreciation and amortization | 811 | 832 |
Loss on disposal of premise and equipment | 2 | 60 |
Increase in accrued interest receivable | (25) | (69) |
Deferred tax expense (benefit) | 1,309 | (394) |
Share-based compensation expense | 926 | 113 |
Increase in cash surrender value of life insurance | (645) | (602) |
Increase in other assets | (539) | (163) |
Increase in other liabilities | 1,036 | 1,221 |
Net cash provided by operating activities | 9,476 | 8,608 |
Cash flows from investing activities: | ||
Purchases of available-for-sale securities | (13,121) | (9,835) |
Proceeds from sales of available-for-sale securities | 57,259 | 3,286 |
Proceeds from pay downs, maturities and calls of available-for-sale securities | 14,026 | 15,379 |
Proceeds from pay downs, maturities and calls of held-to-maturity securities | 220 | |
Redemption of Federal Home Loan Bank Stock | 933 | 523 |
Loan originations and purchases, net of paydowns | (121,060) | (70,249) |
Additions to premises and equipment | (3,426) | (873) |
Additions to assets held-for-sale | (67) | |
Purchase of bank owned life insurance | (5,500) | |
Net cash used in investing activities | (70,956) | (61,549) |
Cash flows from financing activities: | ||
Net increase in demand deposits, NOW and savings accounts | 110,748 | 84,063 |
Net increase (decrease) in time deposits | 11,327 | (33,316) |
Proceeds from advances from the Federal Home Loan Bank | 7,000 | 5,388 |
Net change in Federal Home Loan Bank short-term advances | (30,017) | (12,953) |
Purchase of treasury stock | (594) | 0 |
Net cash provided by financing activities | 98,464 | 43,182 |
Net increase (decrease) in cash and cash equivalents | 36,984 | (9,759) |
Cash and cash equivalents at beginning of year | 10,705 | 20,464 |
Cash and cash equivalents at end of year | 47,689 | 10,705 |
Supplemental disclosures: | ||
Interest paid | 3,725 | 2,777 |
Income taxes paid | 6,594 | 3,078 |
Transfer from premises and equipment to assets held-for-sale | $ 3,219 | |
Held-to-maturity securities transferred to available-for-sale | $ 44,240 |
NATURE OF OPERATIONS
NATURE OF OPERATIONS | 12 Months Ended |
Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
NATURE OF OPERATIONS | N OTE ATURE OF PERATIONS Provident Bancorp, Inc. (the “Company”) is a Massachusetts-chartered corporation organized for the purpose of owning all of the outstanding capital stock of The Provident Bank (the “Bank”). On July 15, 2015, the Company closed its offering and issued 4,274,425 shares of common stock to the public at $10.00 per share, including 357,152 shares purchased by The Provident Bank Employee Stock Ownership Plan. In addition, the Company issued 5,034,323 shares to Provident Bancorp, the Company’s mutual holding company (the “MHC”), and 189,974 shares to The Provident Community Charitable Organization, Inc., a charitable foundation that was formed in connection with the stock offering and is dedicated to supporting charitable organizations operating in the Bank’s local community. Upon the completion of the stock offering, a special “liquidation account” was established for the benefit of certain depositors of the Bank in an amount equal to the percentage ownership interest in the equity of the Company to be held by persons other than the MHC as of the date of the latest balance sheet contained in the prospectus. Following the completion of the offering, the Company is not permitted to pay dividends on its capital stock if the Company’s shareholders’ equity would be reduced below the amount of the liquidation account. The liquidation account is reduced annually to the extent that eligible account holders have reduced their qualifying deposits. Subsequent increases will not restore an eligible account holder’s interest in the liquidation account. The Company is headquartered in Amesbury, Massachusetts. The Bank operates its business from eight banking offices located in Amesbury and Newburyport, Massachusetts and Portsmouth, Exeter, Hampton, Bedford, and Seabrook, New Hampshire. The Bank provides a variety of financial services to individuals and small businesses. Its primary deposit products are checking, savings and term certificate accounts and its primary lending products are commercial mortgages and commercial loans. |
ACCOUNTING POLICIES
ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
ACCOUNTING POLICIES | N OTE CCOUNTING OLICIES The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America (“GAAP”) and predominant practices within the banking industry. The consolidated financial statements were prepared using the accrual basis of accounting. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near-term relate to the determination of the allowance for loan losses, stock-based compensation expense and deferred income taxes. Basis of Presentation The consolidated financial statements include the accounts of Provident Bancorp, Inc., its wholly owned subsidiary, the Bank, and the Bank’s wholly owned subsidiaries, Provident Security Corporation and 5 Market Street Security Corporation. Provident Security Corporation and 5 Market Street Security Corporation were established to buy, sell, and hold investments for their own account. All material intercompany balances and transactions have been eliminated in consolidation. Cash and Cash Equivalents For purposes of reporting cash flows, cash and cash equivalents include cash, amounts due from banks, interest-bearing demand deposits with other banks, money market mutual funds and federal funds sold. Investment Securities Investments in debt securities are adjusted for amortization of premiums and accretion of discounts so as to approximate the interest method. Gains or losses on sales of investment securities are computed on a specific identification basis and are recorded as of the trade date. Debt and equity securities may be classified into one of three categories: held-to-maturity, available-for-sale or trading. These security classifications may be modified after acquisition only under certain specified conditions. In general, securities may be classified as held-to-maturity only if the Company has the positive intent and ability to hold them to maturity. Trading securities are defined as those bought and held principally for the purpose of selling them in the near term. All other securities must be classified as available-for-sale. • Held-to-maturity securities are measured at amortized cost in the consolidated balance sheets. Unrealized holding gains and losses are not included in earnings or as a separate component of shareholders’ equity. • Available-for-sale securities are carried at fair value on the consolidated balance sheets. Unrealized holding gains and losses are not included in earnings, but are reported as a net amount (less expected tax) as a separate component of shareholders’ equity until realized. • Trading securities are carried at fair value on the consolidated balance sheets. Unrealized holding gains and losses for trading securities are included in earnings. The Company evaluates debt and equity securities within the Company’s available for sale and held to maturity portfolios for other-than-temporary impairment (“OTTI”), at least quarterly. If the fair value of a debt security is below the amortized cost basis of the security, OTTI is required to be recognized if any of the following are met: (1) the Company intends to sell the security; (2) it is “more likely than not” that the Company will be required to sell the security before recovery of its amortized cost basis; or (3) the present value of expected cash flows is not sufficient to recover the entire amortized cost basis. For all impaired debt securities that the Company intends to sell, or more likely than not will be required to sell, the full amount of the depreciation is recognized as OTTI through earnings. Credit-related OTTI for all other impaired debt securities is recognized through earnings. Non-credit related OTTI for such debt securities is recognized in other comprehensive income, net of applicable taxes. In evaluating its marketable equity securities portfolios for OTTI, the Company considers its intent and ability to hold an equity security to recovery of its cost basis in addition to various other factors, including the length of time and the extent to which the fair value has been less than cost and the financial condition and near term prospects of the issuer. Any OTTI on marketable equity securities is recognized immediately through earnings. Federal Home Loan Bank Stock As a member of the Federal Home Loan Bank of Boston (the “FHLB”), the Company is required to invest in $100 par value stock of the FHLB. The FHLB capital structure mandates that members own stock as determined by their Total Stock Investment Requirement which is the sum of a member’s Membership Stock Investment Requirement and Activity-Based Stock Investment Requirement. FHLB stock is a non-marketable equity security that is carried at cost and evaluated for impairment when deemed necessary. Loans Loan receivables that management has the intent and ability to hold until maturity or payoff are reported at their outstanding principal balances adjusted for amounts due to borrowers on unadvanced loans, any charge-offs, the allowance for loan losses and any deferred fees or costs on originated loans, or unamortized premiums or discounts on purchased loans. Interest income is accrued on the unpaid principal balance. Loan origination and commitment fees and certain direct origination costs are deferred, and the net amount is recognized as an adjustment of the related loan yield using the interest method. The Company is amortizing these amounts over the contractual life of the related loans. Residential real estate loans are generally placed on non-accrual status when reaching 90 days past due or in process of collection. Past due status is based on the contractual terms of the loan. All closed-end consumer loans 90 days or more past due and any equity line in the process of foreclosure are placed on non-accrual status. Secured consumer loans are written down to realizable value and unsecured consumer loans are charged-off upon reaching 120 or 180 days past due depending on the type of loan. Commercial real estate loans and commercial business loans and leases which are 90 days or more past due are generally placed on non-accrual status, unless secured by sufficient cash or other assets immediately convertible to cash. When a loan has been placed on non-accrual status, previously accrued and uncollected interest is reversed against interest on loans. A loan can be returned to accrual status when collectability of principal is reasonably assured and the loan has performed for a period of time, generally six months. Interest income received on non-accrual loans is accounted for on the cash basis or cost-recovery method, until qualifying for return to accrual. Cash receipts of interest income on impaired loans are credited to principal to the extent necessary to eliminate doubt as to the collectability of the net carrying amount of the loan. Some or all of the cash receipts of interest income on impaired loans is recognized as interest income if the remaining net carrying amount of the loan is deemed to be fully collectible. When recognition of interest income on an impaired loan on a cash basis is appropriate, the amount of income that is recognized is limited to that which would have been accrued on the net carrying amount of the loan at the contractual interest rate. Any cash interest payments received in excess of the limit and not applied to reduce the net carrying amount of the loan are recorded as recoveries of charge-offs until the charge-offs are fully recovered. Allowance for Loan Losses The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectibality of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The allowance for loan losses is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of the loans in light of historical experience, the size and composition of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The allowance for loan losses is allocated to loan types using both a formula-based approach (general component) and an analysis of certain individual loans for impairment (allocated component). A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan basis for commercial, commercial real estate and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not separately identify individual consumer and residential loans for impairment disclosures. The general component of the allowance for loan losses is based on historical loss experience adjusted for qualitative factors stratified by the following loan segments: residential real estate, commercial real estate, construction and land development, commercial and consumer. Management uses a rolling average of historical losses based on a time frame appropriate to capture relevant loss data for each loan segment. These historical loss factors are adjusted for the following qualitative factors: levels/trends in delinquencies; trends in volume and terms of loans; effects of changes in risk selection and underwriting standards and other changes in lending policies, procedures and practices; experience/ability/depth of lending management and staff; and national and local economic trends and conditions. The qualitative factors are determined based on the various risk characteristics of each loan segment. Risk characteristics relevant to each portfolio segment are as follows: Commercial real estate: Commercial: Residential real estate: Construction and land development: Consumer: The allocated component relates to loans that are classified as impaired. Impairment is measured on a loan-by-loan basis for commercial, commercial real estate and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the collateral if the loan is collateral dependent. An allowance is established when the discounted cash flows (or collateral value) of the impaired loan is lower than the carrying value of that loan. The Company from time to time, may agree to modify the contractual terms of loans. When a loan is modified and a concession is made to a borrower experiencing financial difficulty, the modified loan is considered a troubled debt restructuring (“TDR”). All TDRs are initially classified as impaired. An unallocated component can be maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating allocated and general reserves in the portfolio. Assets Held-for-Sale Assets held-for-sale represents a commercial property being held for sale to a real estate developer. Assets designated as held for sale are held at the lower of carrying amount at designation or fair value less costs to sell. Depreciation is not charged against assets classified as held for sale. Bank-Owned Life Insurance Bank-owned life insurance policies are reflected on the consolidated balance sheets at cash surrender value. Changes in the net cash surrender value of the policies, as well as insurance proceeds received, are reflected in non-interest income on the consolidated statements of income and are not subject to income taxes. Premises and Equipment Premises and equipment are stated at cost, less accumulated depreciation and amortization. Cost and related allowances for depreciation and amortization of premises and equipment retired or otherwise disposed of are removed from the respective accounts with any gain or loss included in income or expense. Generally, depreciation on the buildings and equipment is calculated principally on the straight line method, and depreciation and amortization expense is charged against operations over the estimated useful lives of the related assets. Foreclosed and Repossessed Assets Assets acquired through, or in lieu of, loan foreclosure or repossession are held for sale and are initially recorded at the lower of the investment in the loan or fair value less estimated costs to sell at the date of foreclosure or repossession, establishing a new cost basis. Subsequently, valuations are periodically performed by management and the assets are carried at the lower of carrying amount or fair value less estimated costs to sell. Revenue and expenses from operations, changes in the valuation allowance, any direct write-downs and gains or losses on sales are included in other real estate owned expense. Advertising The Company directly expenses costs associated with advertising as they are incurred. Earnings per Common Share Basic earnings per share represent income available to common stockholders divided by the weighted-average number of common shares outstanding during the period. Unallocated ESOP shares are not deemed outstanding for earnings per share calculations. Diluted earnings per share reflects additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. Employee Stock Ownership Plan Compensation expense for The Provident Bank Employee Stock Ownership Plan (the “ESOP”) is recorded at an amount equal to the shares allocated by the ESOP multiplied by the average fair market of the shares during the period. The Company recognizes compensation expense ratably over the year based upon the Company’s estimate of the number of shares expected to be allocated by the ESOP. Unearned compensation applicable to the ESOP is reflected as a reduction of shareholders’ equity on the consolidated balance sheets. The difference between the average fair market value and the cost of the shares by the ESOP is recorded as an adjustment to additional paid-in-capital. Stock-based Compensation Plans The Company measures and recognizes compensation cost relating to stock-based payment transactions based on the grant-date fair value of the equity instruments issued. Stock-based compensation is recognized over the period the employee is required to provide services for the award. The Company uses the Black-Scholes option-pricing model to determine the fair value of stock options granted. The fair value of restricted stock is recorded based on the grant date value of the equity instrument issued. Treasury Stock Common stock repurchased are recorded as treasury stock at cost. Income Taxes The Company recognizes income taxes under the asset and liability method. Under this method, deferred tax assets and liabilities are established for the temporary differences between the accounting basis and the tax basis of the Company’s assets and liabilities at enacted tax rates expected to be in effect when the amounts related to such temporary differences are realized or settled. A tax valuation allowance is established, as needed, to reduce net deferred tax assets to the amount expected to be realized. The Company examines its significant income tax positions annually to determine whether a tax benefit is more likely than not to be sustained upon examination by tax authorities. Fair Values of Financial Instruments GAAP requires that the Company disclose estimated fair values for its financial instruments. Fair value methods and assumptions used by the Company in estimating its fair value disclosures are as follows: Cash and cash equivalents: Investments: Loans receivable: Accrued interest receivable: Deposit liabilities: Federal Home Loan Bank advances: Off-balance sheet instruments: Recent Accounting Pronouncements ASU (Accounting Standards Update) No. 2014-09 — Revenue from Contracts with Customers (Topic 606). Because the ASU does not apply to revenue associated with leases and financial instruments (including loans and securities), the Company concluded that the new guidance did not have a material impact on the elements of its consolidated statements of income most closely associated with leases and financial instruments (such as interest income, interest expense and securities gain). This ASU was effective for the Company on January 1, 2018. The Company completed its identification of all revenue streams included in its financial statements and has identified its deposit- related fees, service charges, debit and prepaid card interchange income and other fee income to be within the scope of the standard. The Company has also completed its review of the related contracts. The Company’ overall assessment indicates that adoption of this ASU will not materially change its current method and timing of recognizing revenue for the identified revenue streams and therefore, the adoption of this ASU on January 1, 2018, did not have a significant impact to the Company’s financial condition, results of operations and consolidated financial statements. ASU No. 2016-01, Financial Instruments — Overall (Subtopic 825-10): “Recognition and Measurement of Financial Assets and Financial Liabilities.” ASU 2016-02, Leases (Topic 842). ASU 2016-09, Compensation Stock — Compensation (Topic 718): “Improvements to Employee Share Based Payment Accounting.” ASU No. 2016-13, Financial Instruments — Credit Losses (Topic 326): “Measurement of Credit Losses on Financial Instruments.” The ASU changes the impairment model for most financial assets and certain other instruments. For trade and other receivables, held-to-maturity debt securities, loans and other instruments, entities will be required to use a new forward-looking “expected loss” model that will replace today’s “incurred loss” model and can result in the earlier recognition of credit losses. For available-for-sale debt securities with unrealized losses, entities will measure credit losses in a manner similar to current practice, except that the losses will be recognized as an allowance. The amendments in this update will be effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted as of the fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Management does not plan to early adopt this ASU. Management is currently evaluating the impact of its pending adoption of this guidance on the Company’s financial statements. ASU No. 2016-15, Statement of Cash Flows (Topic 230): “Classification of Certain Cash Receipts and Cash Payments.” ASU No. 2017-08, Receivables — Nonrefundable Fees and Other Costs (subtopic 310-20): “Premium Amortization on Purchased Callable Debt Securities.” |
INVESTMENTS SECURITIES AVAILABL
INVESTMENTS SECURITIES AVAILABLE-FOR-SALE | 12 Months Ended |
Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENTS SECURITIES AVAILABLE-FOR-SALE | N OTE NVESTMENTS ECURITIES VAILABLE FOR ALE The following summarizes the amortized cost of investment securities classified as available-for-sale and their approximate fair values at December 31, 2017 and 2016: (In thousands) Amortized Gross Gross Fair December 31, 2017 State and municipal $ 20,726 $ 745 $ 17 $ 21,454 Asset-backed securities 7,524 30 37 7,517 Government mortgage-backed securities 32,421 317 280 32,458 Total available-for-sale securities $ 60,671 $ 1,092 $ 334 $ 61,429 December 31, 2016 State and municipal $ 49,367 $ 1,281 $ 68 $ 50,580 Corporate debt 1,000 31 — 1,031 Asset-backed securities 8,747 — 69 8,678 Government mortgage-backed securities 41,818 435 339 41,914 Trust preferred securities 1,368 — 400 968 Marketable equity securities 11,492 3,551 218 14,825 113,792 5,298 1,094 117,996 Money market mutual funds included in cash and cash equivalents (129 ) — — (129 ) Total available-for-sale securities $ 113,663 $ 5,298 $ 1,094 $ 117,867 The scheduled maturities of debt securities were as follows at December 31, 2017. Actual maturities of mortgage-backed securities may differ from contractual maturities because the mortgages underlying the securities may be repaid without any penalties. Because mortgage-backed securities are not due at a single maturity date, they are not included in the maturity categories in the following maturity summary. Available-for-Sale (In thousands) Amortized Fair Due within one year $ — $ — Due after one year through five years 95 95 Due after five years through ten years 2,420 2,502 Due after ten years 18,211 18,857 Government mortgage-backed securities 32,421 32,458 Asset-backed securities 7,524 7,517 $ 60,671 $ 61,429 During the years ended December 31, 2017 and 2016, gross realized gains on sales and calls were $6.4 million and $693,000, respectively, and gross losses realized were $505,000 and $3,000, respectively. There were no securities of issuers whose aggregate carrying amount exceeded 10% of equity at December 31, 2017. Securities with carrying amounts of $39.8 million and $60.6 million were pledged to secure available borrowings with the Federal Reserve Bank and Federal Home Loan Bank at December 31, 2017 and 2016, respectively. The aggregate fair value and unrealized losses of securities that have been in a continuous unrealized-loss position for less than twelve months and for twelve months or more, and are temporarily impaired, are as follows at December 31, 2017 and 2016: Less than 12 Months 12 Months or Longer Total (In thousands) Fair Unrealized Fair Unrealized Fair Unrealized December 31, 2017 Temporarily impaired securities: State and municipal $ — $ — $ 611 $ 17 $ 611 $ 17 Asset-backed securities 1,745 13 1,335 24 3,080 37 Government mortgage-backed securities 5,231 20 13,584 260 18,815 280 Total temporarily impaired securities $ 6,976 $ 33 $ 15,530 $ 301 $ 22,506 $ 334 December 31, 2016 Temporarily impaired securities: State and municipal $ 6,413 $ 63 $ 160 $ 5 $ 6,573 $ 68 Asset-backed securities 8,104 60 574 9 8,678 69 Government mortgage-backed securities 20,868 247 2,770 92 23,638 339 Trust preferred securities 26 18 942 382 968 400 Marketable equity securities 1,942 104 768 114 2,710 218 Total temporarily impaired securities $ 37,353 $ 492 $ 5,214 $ 602 $ 42,567 $ 1,094 Government mortgage-backed securities, state and municipal securities and asset-backed securities: Activity related to the credit component recognized in earnings on debt securities held by the Company for which a portion of other-than-temporary impairment was recognized in other comprehensive income for the years ended December 31, 2017 and 2016 is as follows: (In thousands) Trust preferred securities: Balance, December 31, 2015 $ 688 Additions for the credit component on debt securities in which an other-than-temporary impairment was previously recognized — Balance, December 31, 2016 688 Reductions for securities sold during the period (688 ) Balance, December 31, 2017 $ — |
LOANS
LOANS | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
LOANS | N OTE OANS Loans consisted of the following at December 31, 2017 and 2016: (In thousands) 2017 2016 Commercial real estate $ 371,510 $ 336,102 Commercial 240,223 166,157 Residential real estate 67,724 76,850 Construction and land development 55,828 48,161 Consumer 17,455 6,172 752,740 633,442 Allowance for loan losses (9,757 ) (8,590 ) Deferred loan fees, net (845 ) (427 ) Net loans $ 742,138 $ 624,425 The following tables set forth information regarding the allowance for loans and impaired loans by portfolio segment as of and for the years ended December 31, 2017 and 2016: (In thousands) Commercial Commercial Residential Construction Consumer Unallocated Total December 31, 2017 Allowance for loan losses: Beginning balance $ 4,503 $ 2,513 $ 328 $ 882 $ 279 $ 85 $ 8,590 Charge-offs (1,522 ) (107 ) — — (190 ) — (1,819 ) Recoveries — 45 — — 12 — 57 Provision (credit) 1,502 829 (28 ) 83 548 (5 ) 2,929 Ending balance $ 4,483 $ 3,280 $ 300 $ 965 $ 649 $ 80 $ 9,757 Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 4,483 3,280 300 965 649 80 9,757 Total allowance for loan losses ending balance $ 4,483 $ 3,280 $ 300 $ 965 $ 649 $ 80 $ 9,757 Loans: Ending balance: Individually evaluated for impairment $ 8,623 $ 3,202 $ 404 $ — $ — $ — $ 12,229 Ending balance: Collectively evaluated for impairment 362,887 237,021 67,320 55,828 17,455 — 740,511 Total loans ending balance $ 371,510 $ 240,223 $ 67,724 $ 55,828 $ 17,455 $ — $ 752,740 (In thousands) Commercial Commercial Residential Construction Consumer Unallocated Total December 31, 2016 Allowance for loan losses: Beginning balance $ 3,827 $ 2,138 $ 412 $ 1,236 $ 119 $ 173 $ 7,905 Charge-offs — — — — (44 ) — (44 ) Recoveries — 1 12 — 13 — 26 Provision (credit) 676 374 (96 ) (354 ) 191 (88 ) 703 Ending balance $ 4,503 $ 2,513 $ 328 $ 882 $ 279 $ 85 $ 8,590 Ending balance: Individually evaluated for impairment $ — $ 46 $ — $ — $ — $ — $ 46 Ending balance: Collectively evaluated for impairment 4,503 2,467 328 882 279 85 8,544 Total allowance for loan losses ending balance $ 4,503 $ 2,513 $ 328 $ 882 $ 279 $ 85 $ 8,590 Loans: Ending balance: Individually evaluated for impairment $ 1,956 $ 1,660 $ 422 $ — $ — $ — $ 4,038 Ending balance: Collectively evaluated for impairment 334,146 164,497 76,428 48,161 6,172 — 629,404 Total loans ending balance $ 336,102 $ 166,157 $ 76,850 $ 48,161 $ 6,172 $ — $ 633,442 At December 31, 2017 and 2016, loans with an aggregate principal balance of $357.1 million and $250.7 million, respectively, were pledged to secure possible borrowings from the Federal Reserve Bank. Certain directors and executive officers of the Company and companies in which they have significant ownership interests were customers of the Bank during 2017. Total loans to such persons and their companies amounted to $22.3 million and $7.7 million at December 31, 2017 and 2016, respectively. During the years ended December 31, 2017 and 2016, $18.8 million and $271,000 of advances and principal payments of $4.4 million and $1.3 million were made, respectively. The following tables set forth information regarding non-accrual loans and past-due loans by portfolio segment at December 31, 2017 and 2016: (In thousands) 30 – 59 60 – 89 90 Days Total Total Total 90 Days Nonaccrual December 31, 2017 Commercial real estate $ — $ 3,669 $ — $ 3,669 $ 367,841 $ 371,510 $ — $ 7,102 Commercial 12 — — 12 240,211 240,223 — 1,505 Residential real estate 699 178 81 958 66,766 67,724 — 364 Construction and land development — — — — 55,828 55,828 — — Consumer 63 45 60 168 17,287 17,455 — 62 Total $ 774 $ 3,892 $ 141 $ 4,807 $ 747,933 $ 752,740 $ — $ 9,033 December 31, 2016 Commercial real estate $ — $ — $ 346 $ 346 $ 335,756 $ 336,102 $ — $ 346 Commercial 29 — — 29 166,128 166,157 — 933 Residential real estate — — — — 76,850 76,850 — 303 Construction and land development — — — — 48,161 48,161 — — Consumer — — — — 6,172 6,172 — — Total $ 29 $ — $ 346 $ 375 $ 633,067 $ 633,442 $ — $ 1,582 Information about the Company’s impaired loans by portfolio segment was as follows at December 31, 2017 and 2016: (In thousands) Recorded Unpaid Related Average Interest December 31, 2017 With no related allowance recorded: Commercial real estate $ 8,623 $ 10,139 $ — $ 4,562 $ 70 Commercial 3,202 3,202 — 2,054 123 Residential real estate 404 404 — 412 20 Construction and land development — — — — — Consumer — — — — — Total impaired with no related allowance $ 12,229 $ 13,745 $ — $ 7,028 $ 213 With an allowance recorded: Commercial real estate $ — $ — $ — $ — $ — Commercial — — — — — Residential real estate — — — — — Construction and land development — — — — — Consumer — — — — — Total impaired with an allowance recorded $ — $ — $ — $ — $ — Total Commercial real estate $ 8,623 $ 10,139 $ — $ 4,562 $ 70 Commercial 3,202 3,202 — 2,054 123 Residential real estate 404 404 — 412 20 Construction and land development — — — — — Consumer — — — — — Total impaired loans $ 12,229 $ 13,745 $ — $ 7,028 $ 213 December 31, 2016 With no related allowance recorded: Commercial real estate $ 1,956 $ 1,956 $ — $ 2,744 $ 188 Commercial 799 799 — 794 42 Residential real estate 422 422 — 429 20 Construction and land development — — — — — Consumer — — — — — Total impaired with no related allowance $ 3,177 $ 3,177 $ — $ 3,967 $ 250 With an allowance recorded: Commercial real estate $ — $ — $ — $ — $ — Commercial 861 861 46 886 — Residential real estate — — — — — Construction and land development — — — — — Consumer — — — — — Total impaired with an allowance recorded $ 861 $ 861 $ 46 $ 886 $ — Total Commercial real estate $ 1,956 $ 1,956 $ — $ 2,744 $ 188 Commercial 1,660 1,660 46 1,680 42 Residential real estate 422 422 — 429 20 Construction and land development — — — — — Consumer — — — — — Total impaired loans $ 4,038 $ 4,038 $ 46 $ 4,853 $ 250 The following summarizes troubled debt restructurings entered into during the years ended December 31, 2017 and 2016: (Dollars in thousands) Number of Pre-Modification Post-Modification Year-Ended December 31, 2017 Troubled debt restructurings: Commercial 1 $ 249 $ 249 1 $ 249 $ 249 Year-Ended December 31, 2016 Troubled debt restructurings: Commercial 1 $ 58 $ 58 1 $ 58 $ 58 None of the loans modified as troubled debt restructuring during 2017 and 2016 defaulted during the period after modification. In 2017, we approved one troubled debt restructure totaling $249,000, with no specific reserve required based on an analysis of the borrower’s collateral coverage. The term of this commercial loan was extended to a three-year term. In 2016, we approved one troubled debt restructure totaling $58,000, with no specific reserve required based on an analysis of the borrower’s repayment ability and/or collateral coverage. This commercial loan was placed on an extended 13-month interest only period with re-amortization to follow based on a five-year term. At December 31, 2017 and 2016, there were no commitments to lend additional funds to borrowers whose loans were modified in troubled debt restructurings. Credit Quality Information The Company utilizes a seven grade internal loan rating system for commercial real estate, construction and land development, and commercial loans as follows: Loans rated 1 – 3: Loans in these categories are considered “pass” rated loans with low to average risk. Loans rated 4: Loans rated 5: Loans rated 6: Loans rated 7: On an annual basis, or more often if needed, the Company formally reviews the ratings on all commercial real estate, construction and land development, and commercial loans. For residential real estate and consumer loans, the Company initially assesses credit quality based upon the borrower’s ability to pay and rates such loans as pass. Subsequent risk rating downgrades are based upon the borrower’s payment activity. All other residential and consumer loans are not formally rated. The following tables present the Company’s loans by risk rating and portfolio segment at December 31, 2017 and 2016: (In thousands) Commercial Commercial Residential Construction Consumer Total December 31, 2017 Grade: Pass $ 355,623 $ 224,190 $ — $ 55,828 $ — $ 635,641 Special mention 6,852 9,155 — — — 16,007 Substandard 9,035 6,878 679 — — 16,592 Not formally rated — — 67,045 — 17,455 84,500 Total $ 371,510 $ 240,223 $ 67,724 $ 55,828 $ 17,455 $ 752,740 December 31, 2016 Grade: Pass $ 319,712 $ 157,306 $ — $ 48,161 $ — $ 525,179 Special mention 4,471 1,668 — — — 6,139 Substandard 11,919 7,183 729 — — 19,831 Not formally rated — — 76,121 — 6,172 82,293 Total $ 336,102 $ 166,157 $ 76,850 $ 48,161 $ 6,172 $ 633,442 The Bank has sold mortgage loans with servicing rights retained. The fair value of those servicing rights under GAAP is not material and has not been recognized in the 2017 and 2016 consolidated financial statements. Loans serviced for others are not included in the accompanying consolidated balance sheets. The unpaid principal balances of mortgage and other loans serviced for others were $15.6 million and $11.2 million at December 31, 2017 and 2016, respectively. |
PREMISES AND EQUIPMENT
PREMISES AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
PREMISES AND EQUIPMENT | N OTE REMISES AND QUIPMENT The following is a summary of premises and equipment at December 31, 2017 and 2016: (In thousands) 2017 2016 Land $ 2,424 $ 2,424 Buildings and leasehold improvements 9,241 9,241 Furniture and equipment 4,649 4,499 Leasehold improvements 4,241 4,234 20,555 20,398 Accumulated depreciation and amortization (9,574 ) (8,811 ) Premises and equipment, net $ 10,981 $ 11,587 Depreciation and amortization expense was $811,000 and $832,000 for the years ended December 31, 2017 and 2016, respectively. |
DEPOSITS
DEPOSITS | 12 Months Ended |
Dec. 31, 2017 | |
Deposits [Abstract] | |
DEPOSITS | N OTE EPOSITS The following is a summary of deposit balances by type at December 31, 2017 and 2016: (In thousands) 2017 2016 NOW and demand $ 309,514 $ 280,773 Regular savings 112,610 111,016 Money market deposits 225,735 145,321 Total non-certificate accounts 647,859 537,110 Certificate accounts of $250,000 or more 5,061 3,437 Certificate accounts less than $250,000 97,137 87,435 Total certificate accounts 102,198 90,872 Total deposits $ 750,057 $ 627,982 At December 31, 2017 and 2016, the aggregate amount of brokered certificates of deposit was $62.3 million and $49.3 million respectively. Brokered certificates of deposit are not included in the totals for time deposits in denominations over $250,000 listed above. At December 31, 2017 and 2016, the scheduled maturities for certificate accounts for each of the following five years are as follows: (In thousands) 2017 2016 2017 $ — $ 69,775 2018 81,791 17,230 2019 16,105 1,414 2020 3,052 1,663 2021 410 790 2022 840 — Total $ 102,198 $ 90,872 Deposits from related parties held by the Company at December 31, 2017 and 2016 amounted to $16.0 million and $3.6 million, respectively. |
FEDERAL HOME LOAN BANK ADVANCES
FEDERAL HOME LOAN BANK ADVANCES | 12 Months Ended |
Dec. 31, 2017 | |
Advances from Federal Home Loan Banks [Abstract] | |
FEDERAL HOME LOAN BANK ADVANCES | N OTE EDERAL OME OAN ANK DVANCES Advances consist of funds borrowed from the FHLB. Maturities of advances from the FHLB for years ending after December 31, 2017 and 2016 are summarized as follows: (In thousands) 2017 2016 2017 $ — $ 35,000 2018 12,000 5,000 2019 4,936 — 2020 6,405 6,358 2021 — — 2022 — — Thereafter 3,500 3,500 Total $ 26,841 $ 49,858 Borrowings from the FHLB are secured by a blanket lien on qualified collateral, consisting primarily of loans with first mortgages secured by one to four family properties, certain commercial loans and qualified mortgage-backed government securities. The Bank modified $5.0 million and $3.5 million of its FHLB borrowings and extended the maturity in May of 2017 and August of 2015, respectively. The Bank incurred a prepayment penalty of $87,000 and $233,000 in May of 2017 and August of 2015, respectively. In accordance with ASC 470, the prepayment penalties are being amortized over the life of the newly modified borrowings. At December 31, 2017, the interest rates on FHLB advances ranged from 1.01% to 2.01%. At December 31, 2017, the weighted average interest rate on FHLB advances was 1.52%. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | N OTE NCOME AXES The components of income tax expense are as follows for the years ended December 31, 2017 and 2016: (In thousands) 2017 2016 Current tax expense (benefit): Federal $ 5,044 $ 2,780 State 1,079 653 Net operating loss carryforward (14 ) (14 ) 6,109 3,419 Deferred tax expense (benefit): Federal 1,523 (302 ) State (214 ) (92 ) 1,309 (394 ) Income tax expense $ 7,418 $ 3,025 The following is a summary of the differences between the statutory federal income tax rate and the effective tax rates for the years ended December 31, 2017 and 2016: 2017 2016 Federal income tax at statutory rate 34.0 % 34.0 % Increase (decrease) in tax resulting from: State tax, net of federal tax benefit 4.6 4.6 Tax exempt income and dividends received deduction (3.3 ) (4.8 ) Change in enacted federal tax rate 13.4 — Gain on donated securities 0.0 (0.1 ) Other (0.3 ) (1.4 ) Effective tax rate 48.4 % 32.3 % On December 22, 2017, the U.S. government approved a reduction in the federal statutory income tax rate from a maximum rate of 35% to 21%, effective in 2018. For the purposes of calculating deferred taxes, GAAP requires deferred taxes to be measured at the enacted tax rate at the balance sheet date, which is 21% at December 31, 2017. The impact of the rate reduction to the Company was a decrease in the Bank’s net deferred tax asset by $2.0 million, which is reflected in the Company’s tax provision for the year ended December 31, 2017. This adjustment to deferred taxes includes $97,000 related to unrealized gains and losses associated with the Company’s investment securities. Because these unrealized gains and losses were initially recorded as items of accumulated other comprehensive income in the Company’s capital accounts, the adjustment to deferred taxes resulted in a disproportionate tax effect of $97,000 that became stranded in accumulated other comprehensive income. In February of 2018, the FASB issued ASU No. 2018-02, “ Income Statement — Reporting Comprehensive income (Topic 220), Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income The following is a summary of the Company’s gross deferred tax assets and gross deferred tax liabilities at December 31, 2017 and 2016: (In thousands) 2017 2016 Deferred tax assets: Allowance for loan losses $ 2,743 $ 3,431 Depreciation 41 — Net operating loss carryforward 25 54 Employee benefit plans and share-based compensation plans 1,979 2,406 Deferred loan fees, net 238 174 Reserve for unfunded commitments 39 54 Other 140 56 Writedown of securities — 235 Charitable contribution carryover — 297 Gross deferred tax assets 5,205 6,707 Deferred tax liabilities: Depreciation — (145 ) Prepaid expenses (64 ) — FHLB restructure fees (52 ) (67 ) Net unrealized holding gain on securities (169 ) (1,582 ) Gross deferred tax liabilities (285 ) (1,794 ) Net deferred tax asset $ 4,920 $ 4,913 At December 31, 2017, the Company had federal net operating loss carryovers of $118,000. The carryovers were transferred to the Company upon the merger with Amesbury Cooperative Bank during the year ended December 31, 2001. The losses will expire in 2020 and are subject to certain annual limitations which amount to $42,000 per year. The Company reduces the deferred tax asset by a valuation allowance if, based on the weight of the available evidence, it is not “more likely than not” that some portion or all of the deferred tax assets will be realized. The Company assesses the realizability of its deferred tax assets by assessing the likelihood of the Company generating federal and state income tax, as applicable, in future periods in amounts sufficient to offset the deferred tax charges in the periods they are expected to reverse. Based on this assessment, management concluded that a valuation allowance was not required as of December 31, 2017 and 2016. It is the Company’s policy to provide for uncertain tax positions and the related interest and penalties based upon management’s assessment of whether a tax benefit is more likely than not to be sustained upon examination by tax authorities. At December 31, 2017 and 2016, there was no material uncertain tax positions related to federal and state income tax matters. The Company is currently open to audit under the statute of limitations by the Internal Revenue Service and state taxing authorities for the years ended December 31, 2014 through December 31, 2016. |
EMPLOYEE BENEFITS & SHARE-BASED
EMPLOYEE BENEFITS & SHARE-BASED COMPENSATION PLANS | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
EMPLOYEE BENEFITS & SHARE-BASED COMPENSATION PLANS | N OTE MPLOYEE ENEFITS HARE ASED OMPENSATION LANS 401(k) Plan The Company sponsors a 401(k) plan. All employees are eligible to join the 401(k) plan. However, participants in the 401(k) plan must complete one year of service to be eligible for safe harbor contributions and employer discretionary contributions. A Safe Harbor Plan was adopted by the Company effective January 1, 2007. Under the Safe Harbor Plan, the Company matches 100% of employee contributions up to 6% of compensation. In addition, the Company may make a discretionary contribution to the 401(k) plan determined on an annual basis. Employees may contribute up to 75% of their salary subject to certain limits based on federal tax laws. The expense recognized under the 401(k) plan was $440,000 and $401,000 for the years ended December 31, 2017 and 2016, respectively. Supplemental Executive Retirement Plans The Company has Supplemental Executive Retirement Agreements with certain executive officers. These agreements are designed to supplement the benefits available through the Company’s retirement plan. The liability for the retirement benefits amounted to $5.6 million and $4.4 million at December 31, 2017 and 2016, respectively, and is included in other liabilities. The expense recognized for these benefits was $1.2 million and $947,000 for the years ended December 31, 2017 and 2016, respectively. Employee Stock Ownership Plan The Bank maintains the ESOP to provide eligible employees the opportunity to own Company stock. This plan is a tax-qualified retirement plan for the benefit of Company employees. Contributions are allocated to eligible participants on the basis of compensation, subject to federal tax limits. The number of shares committed to be released per year through 2029 is 23,810. The Company contributed funds to a subsidiary to enable it to grant a loan to the ESOP for the purchase of 357,152 shares of the Company’s stock at a price of $10.00 per share. The loan obtained by the ESOP from the Company’s subsidiary to purchase Company stock is payable annually over 15 years at a rate per annum equal to the prime rate (4.50% at December 31, 2017). Loan payments are principally funded by cash contributions from the Company. Shares held by the ESOP include the following: December 31, December 31, Allocated 47,620 23,810 Committed to be allocated 23,810 23,810 Unallocated 285,722 309,532 Total 357,152 357,152 Shared-Based Compensation Plan Under the Provident Bancorp, Inc. 2016 Equity Incentive Plan (the “Equity Plan”), the Company may grant options, restricted stock, restricted units or performance awards to its directors, officers and employees. Both incentive stock options and non-qualified stock options may be granted under the Equity Plan, with 446,440 shares reserved for options. The exercise price of each option equals the market price of the Company’s stock on the date of grant and the maximum term of each option is ten years. The total number of shares reserved for restricted stock or restricted units is 178,575. The value of restricted stock grants is based on the market price of the stock on grant date. Options and awards vest ratably over five years. Expense related to options and restricted stock granted to directors is recognized as directors’ fees within non-interest expense. Stock Options The fair value of each option is estimated on the date of the grant using the Black-Scholes option-pricing model with the following assumptions: • Volatility is based on peer group volatility because the Company does not have a sufficient trading history. • Expected life represents the period of time that the option is expected to be outstanding, taking into account the contractual term, and the vesting period. • The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for a period equivalent to the expected life of the option. The fair value of options granted in 2017 and 2016 is based on the following assumptions: 2017 2016 Vesting period (years) 5 5 Expiration date (years) 10 10 Expected volatility 21.53 % 20.80 % Expected life (years) 7.5 7.5 Expected dividend yield 0.00 % 0.00 % Risk free interest rate 2.25 % 2.12 % Fair value per option $ 7.05 $ 5.03 A summary of the status of the Company’s stock option grants for the year ended December 31, 2017, is presented in the table below: Stock Option Weighted Weighted Average Aggregate Outstanding at January 1, 2017 384,268 $ 17.40 Granted 12,175 23.50 Outstanding at December 31, 2017 396,443 $ 17.61 8.92 $ 3,514,000 Outstanding and expected to vest at December 31, 2017 396,443 $ 17.59 8.92 $ 3,514,000 Vested and Exercisable at December 31, 2017 76,854 $ 17.40 8.88 $ 696,000 Unrecognized compensation cost $ 1,582,000 Weighted average remaining recognition period (years) 3.92 Total expense for the stock options was $388,000 and $47,000 for the years ended December 31, 2017 and 2016, respectively. Restricted Stock Shares issued upon vesting may be either authorized but unissued shares or reacquired shares held by the Company. Any shares not issued because vesting requirements are not met will again be available for issuance under the plan. The fair market value of shares awarded, based on the market prices at the date of grant, is recorded as unearned compensation and amortized over the applicable vesting period. The following table presents the activity in unvested restricted stock awards under the Equity Plan for the year ended December 31, 2017: Number of Weighted Average Unvested restricted stock awards at January 1, 2017 153,726 $ 17.40 Granted 4,871 23.50 Vested (30,745 ) 17.40 Unvested restricted stock awards at December 31, 2017 127,852 $ 17.59 Unrecognized compensation cost $ 2,186,000 Weighted average remaining recognition period (years) 3.92 Total expense for the restricted stock awards was $538,000 and $66,000 for the years ended December 31, 2017 and 2016, respectively. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | N OTE ARNINGS ER HARE Earnings per share consisted of the following components for the year ended December 31, 2017 and 2016. (Dollars in thousands) 2017 2016 Net income attributable to common shareholders $ 7,915 $ 6,339 Average number of common shares outstanding 9,652,448 9,498,722 Less: average unallocated ESOP shares (298,680 ) (322,338 ) average unvested restricted stock (136,986 ) — average treasury stock acquired (17,508 ) — Average number of common shares outstanding to calculate basic earnings per common share 9,199,274 9,176,384 Effect of dilutive unvested restricted stock and stock option awards 613 — Average number of common shares outstanding to calculate diluted earnings per common share 9,199,887 9,176,384 Earnings per common share: Basic $ 0.86 $ 0.69 Diluted $ 0.86 $ 0.69 |
REGULATORY MATTERS
REGULATORY MATTERS | 12 Months Ended |
Dec. 31, 2017 | |
Banking and Thrift [Abstract] | |
REGULATORY MATTERS | N OTE EGULATORY ATTERS The Bank is subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Effective January 1, 2015 (with a phase-in period of two to four years for certain components), the Bank became subject to capital regulations adopted by the FDIC, which implement the Basel III regulatory capital reforms and the changes required by the Dodd-Frank Act. The regulations require a minimum Common Equity Tier 1 (“CET1”) capital ratio of 4.5%, a minimum Tier 1 capital to risk-weighted assets ratio of 6.0%, a minimum total capital to risk-weighted assets ratio of 8.0% and a minimum Tier 1 leverage ratio of 4.0%. CET1 generally consists of common stock and retained earnings, subject to applicable adjustments and deductions. Under prompt corrective action regulations, in order to be considered “well capitalized,” the Bank must maintain a CET1 capital ratio of 6.5% and a Tier 1 ratio of 8.0%, a total risk based capital ratio of 10% and a Tier 1 leverage ratio of 5.0%. In addition, the regulations establish a capital conservation buffer above the required capital ratios that started phasing in on January 1, 2016 at 0.625% of risk-weighted assets and increases each year by 0.625% until it is fully phased in at 2.5% effective January 1, 2019. At December 31, 2017, the Bank exceeded the fully phased in regulatory requirement for the capital conservation buffer. Failure to maintain to maintain the capital conservation buffer could limit the ability of the Bank and the Company to pay dividends, repurchase shares or pay discretionary bonuses. As of December 31, 2017 and 2016, the Bank met the conditions to be classified as well capitalized under the regulatory framework for prompt corrective action. The Bank’s actual capital amounts and ratios at December 31, 2017 and 2016 are summarized as follows: Actual Capital For Capital To Be Well (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio December 31, 2017 Total Capital (to Risk Weighted Assets) $ 116,869 14.96 % $ 62,514 ≥ 8.0 % $ 78,142 ≥ 10.0 % Tier 1 Capital (to Risk Weighted Assets) 107,112 13.71 46,885 ≥ 6.0 62,514 ≥ 8.0 Common Equity Tier 1 Capital (to Risk Weighted Assets) 107,112 13.71 35,164 ≥ 4.5 50,792 ≥ 6.5 Tier 1 Capital (to Average Assets) 107,112 11.80 36,299 ≥ 4.0 45,374 ≥ 5.0 December 31, 2016 Total Capital (to Risk Weighted Assets) $ 107,731 15.88 % $ 54,272 ≥ 8.0 % $ 67,840 ≥ 10.0 % Tier 1 Capital (to Risk Weighted Assets) 97,750 14.41 40,704 ≥ 6.0 54,272 ≥ 8.0 Common Equity Tier 1 Capital (to Risk Weighted Assets) 97,750 14.41 30,528 ≥ 4.5 44,096 ≥ 6.5 Tier 1 Capital (to Average Assets) 97,750 12.59 31,058 ≥ 4.0 38,822 ≥ 5.0 |
COMMITMENTS AND CONTINGENT LIAB
COMMITMENTS AND CONTINGENT LIABILITIES | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENT LIABILITIES | N OTE OMMITMENTS AND ONTINGENT IABILITIES At December 31, 2017, the Company was obligated under non-cancelable operating leases for bank premises and equipment. The total minimum rental due in future periods under these existing agreements is as follows at December 31, 2017: (In thousands) 2018 $ 302 2019 293 2020 245 2021 252 2022 252 Years thereafter 1,846 Total minimum lease payments $ 3,190 The total rental expense amounted to $349,000 and $322,000 for the years ended December 31, 2017 and 2016, respectively. |
FINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Financial Instruments [Abstract] | |
FINANCIAL INSTRUMENTS | N OTE INANCIAL NSTRUMENTS The Company is party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to originate loans, standby letters of credit and unadvanced funds on loans. The instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized in the balance sheet. The contract amounts of those instruments reflect the extent of involvement the Company has in particular classes of financial instruments. The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for loan commitments and standby letters of credit is represented by the contractual amounts of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. Commitments to originate loans are agreements to lend to a customer provided there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the borrower. Collateral held varies, but may include secured interests in real property, accounts receivable, inventory, property, plant and equipment and income producing properties. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance by a customer to a third party. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. At December 31, 2017 and 2016, the maximum potential amount of the Company’s obligation was $2.0 million and $5.2 million, respectively, for financial and standby letters of credit. The Company’s outstanding letters of credit generally have a term of less than one year. If a letter of credit is drawn upon, the Company may seek recourse through the customer’s underlying line of credit. If the customer’s line of credit is also in default, the Company may take possession of the collateral, if any, securing the line of credit. Notional amounts of financial instruments with off-balance sheet credit risk are as follows at December 31, 2017 and 2016: (In thousands) 2017 2016 Commitments to originate loans $ 18,641 $ 25,363 Letters of credit 2,004 5,164 Unadvanced portions of loans 166,314 202,032 $ 186,959 $ 232,559 |
SIGNIFICANT GROUP CONCENTRATION
SIGNIFICANT GROUP CONCENTRATIONS OF CREDIT RISK | 12 Months Ended |
Dec. 31, 2017 | |
Risks and Uncertainties [Abstract] | |
SIGNIFICANT GROUP CONCENTRATIONS OF CREDIT RISK | N OTE IGNIFICANT ROUP ONCENTRATIONS OF REDIT ISK Most of the Company’s business activity is with customers located within Massachusetts and New Hampshire. There are no concentrations of credit to borrowers that have similar economic characteristics. The majority of the Company’s loan portfolio is comprised of loans collateralized by real estate located in Massachusetts and New Hampshire. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | N OTE AIR ALUE EASUREMENTS The Company reports certain assets at fair value in accordance with GAAP, which defines fair value and establishes a framework for measuring fair value in accordance with generally accepted accounting principles. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The guidance establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair values: Basis of Fair Value Measurements • Level 1 — Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; • Level 2 — Observable inputs other than level 1 prices, such as quoted prices for similar assets; quoted prices in markets that are not active; or inputs that are observable either directly or indirectly, for substantially the full term of the asset or liability; • Level 3 — Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity). A financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. Fair Values of Financial Instruments Measured on a Recurring Basis The Company’s investments in U.S. Government and federal agency, state and municipal, corporate debt, asset-backed and government mortgage-backed securities available-for-sale is generally classified within Level 2 of the fair value hierarchy. For these investments, we obtain fair value measurements from independent pricing services. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, trading levels, market consensus prepayment speeds, credit information and the instrument’s terms and conditions. Level 3 is for positions that are not traded in active markets or are subject to transfer restrictions, valuations are adjusted to reflect illiquidity and/or non-transferability, and such adjustments are generally based on available market evidence. In the absence of such evidence, management’s best estimate is used. Subsequent to inception, management only changes Level 3 inputs and assumptions when corroborated by evidence such as transactions in similar instruments, completed or pending third-party transactions in the underlying investment or comparable entities, subsequent rounds of financing, recapitalization and other transactions across the capital structure, offerings in the equity or debt markets, and changes in financial ratios or cash flows. The Company classifies its investments in trust preferred securities as Level 3 securities. The Company classified its investments in marketable equity securities as Level 1 securities. The following summarizes financial instruments measured at fair value on a recurring basis at December 31, 2017 and 2016: Fair Value Measurements at Reporting Date Using (In thousands) Total Quoted Prices in Significant Significant December 31, 2017 State and municipal 21,454 — 21,454 — Asset-backed securities 7,517 — 7,517 — Mortgage-backed securities 32,458 — 32,458 — Totals $ 61,429 $ — $ 61,429 $ — December 31, 2016 State and municipal $ 50,580 $ — $ 50,580 $ — Corporate debt 1,031 — 1,031 — Asset-backed securities 8,678 — 8,678 — Government mortgage-backed securities 41,914 — 41,914 — Trust preferred securities 968 — — 968 Marketable equity securities 14,696 14,696 — — Totals $ 117,867 $ 14,696 $ 102,203 $ 968 The Company did not have any transfers of financial instruments measured at fair value on a recurring basis between Levels 1 and 2 of the fair value hierarchy during the years ended December 31, 2017 and 2016. The following is a summary of activity for Level 3 financial instruments measured at fair value on a recurring basis at December 31, 2017 and 2016: (In thousands) Available for Balance beginning January 1, 2016 $ 1,116 Total gains or (losses) (realized/unrealized) Included in earnings — Included in other comprehensive income (148 ) Paydowns — Ending balance, December 31, 2016 $ 968 Balance beginning January 1, 2017 $ 968 Total gains or (losses) (realized/unrealized) (180 ) Included in earnings — Included in other comprehensive income — Paydowns/sales (788 ) Ending balance, December 31, 2017 $ — Fair Values of Financial Instruments Measured on a Nonrecurring Basis The Company’s only instruments measured at fair value on a nonrecurring basis are loans identified as impaired for which a write-off or specific reserve has been recorded. The Company’s impaired loans are reported at the fair value of the underlying collateral if repayment is expected solely from the collateral. The Company classifies impaired loans as Level 3 in the fair value hierarchy. Collateral values are estimated using Level 2 inputs based upon appraisals of similar properties obtained from a third party, but can be adjusted and therefore classified as Level 3. The following summarizes financial instruments measured at fair value on a nonrecurring basis at December 31, 2017 and 2016: Fair Value Measurements at Reporting Date Using: (In thousands) Total Quoted Prices in Significant Significant December 31, 2017 Impaired loans $ 3,670 $ — $ — $ 3,670 December 31, 2016 Impaired loans $ 815 $ — $ — $ 815 The following is a summary of the valuation methodology and unobservable inputs for Level 3 assets measured at fair value on a nonrecurring basis at December 31, 2017 and 2016: (In thousands) Fair Value Valuation Technique Unobservable Input Range December 31, 2017 Impaired loans $ 3,670 Real estate appraisals Discount for dated appraisals 6 – 10 % December 31, 2016 Impaired loans $ 815 Business valuation Comparable company valuations — |
DISCLOSURES ABOUT FAIR VALUES O
DISCLOSURES ABOUT FAIR VALUES OF FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Of Financial Instrument [Abstract] | |
DISCLOSURES ABOUT FAIR VALUES OF FINANCIAL INSTRUMENTS | N OTE ISCLOSURES BOUT AIR ALUES OF INANCIAL NSTRUMENTS GAAP requires disclosure of fair value information about financial instruments, whether or not recognized in the balance sheet, for which it is practicable to estimate that value. Certain financial instruments and all nonfinancial instruments are excluded from the disclosure requirements. Accordingly, the aggregate fair value amounts presented do not represent the underlying value of the Company. The carrying amounts and estimated fair values of the Company’s financial instruments, all of which are held or issued for purposes other than trading, are as follows at December 31, 2017 and 2016: Carrying Fair Value (In thousands) Level 1 Level 2 Level 3 Total December 31, 2017 Financial assets: Cash and cash equivalents $ 47,689 $ 47,689 $ — $ — $ 47,689 Available-for-sale securities 61,429 — 61,429 — 61,429 Federal Home Loan Bank of Boston stock 1,854 1,854 — — 1,854 Loans, net 742,138 — — 745,637 745,637 Accrued interest receivable 2,345 — 2,345 — 2,345 Financial liabilities: Deposits 750,057 — — 749,898 749,898 Federal Home Loan Bank advances 26,841 — 26,655 — 26,655 December 31, 2016 Financial assets: Cash and cash equivalents $ 10,705 $ 10,705 $ — $ — $ 10,705 Available-for-sale securities 117,867 14,696 102,203 968 117,867 Federal Home Loan Bank of Boston stock 2,787 2,787 — — 2,787 Loans, net 624,425 — — 632,278 632,278 Accrued interest receivable 2,320 — 2,320 — 2,320 Financial liabilities: Deposits 627,982 — — 628,060 628,060 Federal Home Loan Bank advances 49,858 — 49,901 — 49,901 The carrying amounts of financial instruments shown above are included in the consolidated balance sheets under the indicated captions. Accounting policies related to financial instruments are described in Note 2. |
RECLASSIFICATION
RECLASSIFICATION | 12 Months Ended |
Dec. 31, 2017 | |
Reclassification [Abstract] | |
RECLASSIFICATION | N OTE ECLASSIFICATION Certain amounts in the prior year have been reclassified to be consistent with the current year’s consolidated financial statement presentation, and had no effect on the net income reported in the consolidated income statement. |
CONDENSED FINANCIAL STATEMENTS
CONDENSED FINANCIAL STATEMENTS OF PARENT ONLY | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
CONDENSED FINANCIAL STATEMENTS OF PARENT ONLY | N OTE ONDENSED INANCIAL TATEMENTS OF ARENT NLY Financial information pertaining only to Provident Bancorp, Inc. is as follows: Provident Bancorp, Inc. — Parent Only Balance Sheet (In thousands) 2017 2016 Assets Cash and due from banks $ 5,224 $ 5,659 Investment in common stock of The Provident Bank 107,629 100,426 Other assets 2,946 3,138 Total assets $ 115,799 $ 109,223 Liabilities and Shareholders’ Equity Accrued expenses $ 22 $ 73 Shareholders’ equity 115,777 109,150 Total liabilities and shareholders’ equity $ 115,799 $ 109,223 Provident Bancorp, Inc. — Parent Only Income Statement Years Ended (In thousands) 2017 2016 Total income $ 120 $ 4,549 Operating expenses 88 95 Income before income taxes and equity in undistributed net income of The Provident Bank 32 4,454 Applicable income tax provision 13 8 Income before equity in income of subsidiaries 19 4,446 Equity in undistributed net income of The Provident Bank 7,896 1,893 Net income $ 7,915 $ 6,339 Provident Bancorp, Inc. — Parent Only Statement of Cash Flows Twelve Months Ended (In thousands) 2017 2016 Cash flows from operating activities: Net income $ 7,915 $ 6,339 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in undistributed earnings of subsidiaries (7,896 ) (1,893 ) Decrease in other assets 191 200 (Decrease) increase in other liabilities (51 ) 52 Net cash provided by operating activities 159 4,698 Cash flows from financing activities: Purchase of treasury stock (594 ) — Net cash used in financing activities (594 ) — Net (decrease) increase in cash and cash equivalents (435 ) 4,698 Cash and cash equivalents at beginning of year 5,659 961 Cash and cash equivalents at end of year $ 5,224 $ 5,659 |
SELECTED QUARTERLY FINANCIAL DA
SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) | N OTE ELECTED UARTERLY INANCIAL ATA UNAUDITED First Quarter Second Quarter Third Quarter Fourth Quarter (In thousands) 2017 2016 2017 2016 2017 2016 2017 2016 Interest and dividend income $ 8,112 $ 6,980 $ 8,816 $ 7,026 $ 9,239 $ 7,426 $ 9,615 $ 7,462 Interest expense 781 697 879 681 1,005 713 1,062 694 Net interest and dividend income 7,331 6,283 7,937 6,345 8,234 6,713 8,553 6,768 Provision for loan losses 563 111 892 210 1,012 163 462 219 Gain on sale of securities, net 482 20 58 17 1,851 438 3,521 215 Other income 1,020 915 1,012 950 1,046 925 966 955 Total noninterest income 1,502 935 1,070 967 2,897 1,363 4,487 1,170 Total noninterest expense 5,621 4,924 5,875 5,080 5,914 5,212 6,339 5,261 Income tax expense 847 696 639 659 1,434 940 4,498 730 Net income $ 1,802 $ 1,487 $ 1,601 $ 1,363 $ 2,771 $ 1,761 $ 1,741 $ 1,728 Income (loss) per share: Basic $ 0.20 $ 0.16 $ 0.17 $ 0.15 $ 0.30 $ 0.19 $ 0.19 $ 0.19 Diluted $ 0.20 $ 0.16 $ 0.17 $ 0.15 $ 0.30 $ 0.19 $ 0.19 $ 0.19 Weighted Average Shares: Basic 9,192,568 9,167,364 9,193,836 9,173,317 9,201,634 9,179,269 9,208,854 9,185,285 Diluted 9,192,568 9,167,364 9,198,286 9,173,317 9,213,056 9,179,269 9,257,702 9,185,285 |
ACCOUNTING POLICIES (Policies)
ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near-term relate to the determination of the allowance for loan losses, stock-based compensation expense and deferred income taxes. |
Basis of Presentation | Basis of Presentation The consolidated financial statements include the accounts of Provident Bancorp, Inc., its wholly owned subsidiary, the Bank, and the Bank’s wholly owned subsidiaries, Provident Security Corporation and 5 Market Street Security Corporation. Provident Security Corporation and 5 Market Street Security Corporation were established to buy, sell, and hold investments for their own account. All material intercompany balances and transactions have been eliminated in consolidation. |
Cash and Cash Equivalents | Cash and Cash Equivalents For purposes of reporting cash flows, cash and cash equivalents include cash, amounts due from banks, interest-bearing demand deposits with other banks, money market mutual funds and federal funds sold. |
Investment Securities | Investment Securities Investments in debt securities are adjusted for amortization of premiums and accretion of discounts so as to approximate the interest method. Gains or losses on sales of investment securities are computed on a specific identification basis and are recorded as of the trade date. Debt and equity securities may be classified into one of three categories: held-to-maturity, available-for-sale or trading. These security classifications may be modified after acquisition only under certain specified conditions. In general, securities may be classified as held-to-maturity only if the Company has the positive intent and ability to hold them to maturity. Trading securities are defined as those bought and held principally for the purpose of selling them in the near term. All other securities must be classified as available-for-sale. • Held-to-maturity securities are measured at amortized cost in the consolidated balance sheets. Unrealized holding gains and losses are not included in earnings or as a separate component of shareholders’ equity. • Available-for-sale securities are carried at fair value on the consolidated balance sheets. Unrealized holding gains and losses are not included in earnings, but are reported as a net amount (less expected tax) as a separate component of shareholders’ equity until realized. • Trading securities are carried at fair value on the consolidated balance sheets. Unrealized holding gains and losses for trading securities are included in earnings. The Company evaluates debt and equity securities within the Company’s available for sale and held to maturity portfolios for other-than-temporary impairment (“OTTI”), at least quarterly. If the fair value of a debt security is below the amortized cost basis of the security, OTTI is required to be recognized if any of the following are met: (1) the Company intends to sell the security; (2) it is “more likely than not” that the Company will be required to sell the security before recovery of its amortized cost basis; or (3) the present value of expected cash flows is not sufficient to recover the entire amortized cost basis. For all impaired debt securities that the Company intends to sell, or more likely than not will be required to sell, the full amount of the depreciation is recognized as OTTI through earnings. Credit-related OTTI for all other impaired debt securities is recognized through earnings. Non-credit related OTTI for such debt securities is recognized in other comprehensive income, net of applicable taxes. In evaluating its marketable equity securities portfolios for OTTI, the Company considers its intent and ability to hold an equity security to recovery of its cost basis in addition to various other factors, including the length of time and the extent to which the fair value has been less than cost and the financial condition and near term prospects of the issuer. Any OTTI on marketable equity securities is recognized immediately through earnings. |
Federal Home Loan Bank Stock | Federal Home Loan Bank Stock As a member of the Federal Home Loan Bank of Boston (the “FHLB”), the Company is required to invest in $100 par value stock of the FHLB. The FHLB capital structure mandates that members own stock as determined by their Total Stock Investment Requirement which is the sum of a member’s Membership Stock Investment Requirement and Activity-Based Stock Investment Requirement. FHLB stock is a non-marketable equity security that is carried at cost and evaluated for impairment when deemed necessary. |
Loans | Loans Loan receivables that management has the intent and ability to hold until maturity or payoff are reported at their outstanding principal balances adjusted for amounts due to borrowers on unadvanced loans, any charge-offs, the allowance for loan losses and any deferred fees or costs on originated loans, or unamortized premiums or discounts on purchased loans. Interest income is accrued on the unpaid principal balance. Loan origination and commitment fees and certain direct origination costs are deferred, and the net amount is recognized as an adjustment of the related loan yield using the interest method. The Company is amortizing these amounts over the contractual life of the related loans. Residential real estate loans are generally placed on non-accrual status when reaching 90 days past due or in process of collection. Past due status is based on the contractual terms of the loan. All closed-end consumer loans 90 days or more past due and any equity line in the process of foreclosure are placed on non-accrual status. Secured consumer loans are written down to realizable value and unsecured consumer loans are charged-off upon reaching 120 or 180 days past due depending on the type of loan. Commercial real estate loans and commercial business loans and leases which are 90 days or more past due are generally placed on non-accrual status, unless secured by sufficient cash or other assets immediately convertible to cash. When a loan has been placed on non-accrual status, previously accrued and uncollected interest is reversed against interest on loans. A loan can be returned to accrual status when collectability of principal is reasonably assured and the loan has performed for a period of time, generally six months. Interest income received on non-accrual loans is accounted for on the cash basis or cost-recovery method, until qualifying for return to accrual. Cash receipts of interest income on impaired loans are credited to principal to the extent necessary to eliminate doubt as to the collectability of the net carrying amount of the loan. Some or all of the cash receipts of interest income on impaired loans is recognized as interest income if the remaining net carrying amount of the loan is deemed to be fully collectible. When recognition of interest income on an impaired loan on a cash basis is appropriate, the amount of income that is recognized is limited to that which would have been accrued on the net carrying amount of the loan at the contractual interest rate. Any cash interest payments received in excess of the limit and not applied to reduce the net carrying amount of the loan are recorded as recoveries of charge-offs until the charge-offs are fully recovered. |
Allowance for Loan Losses | Allowance for Loan Losses The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectibality of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The allowance for loan losses is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of the loans in light of historical experience, the size and composition of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The allowance for loan losses is allocated to loan types using both a formula-based approach (general component) and an analysis of certain individual loans for impairment (allocated component). A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan basis for commercial, commercial real estate and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not separately identify individual consumer and residential loans for impairment disclosures. The general component of the allowance for loan losses is based on historical loss experience adjusted for qualitative factors stratified by the following loan segments: residential real estate, commercial real estate, construction and land development, commercial and consumer. Management uses a rolling average of historical losses based on a time frame appropriate to capture relevant loss data for each loan segment. These historical loss factors are adjusted for the following qualitative factors: levels/trends in delinquencies; trends in volume and terms of loans; effects of changes in risk selection and underwriting standards and other changes in lending policies, procedures and practices; experience/ability/depth of lending management and staff; and national and local economic trends and conditions. The qualitative factors are determined based on the various risk characteristics of each loan segment. Risk characteristics relevant to each portfolio segment are as follows: Commercial real estate: Commercial: Residential real estate: Construction and land development: Consumer: The allocated component relates to loans that are classified as impaired. Impairment is measured on a loan-by-loan basis for commercial, commercial real estate and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the collateral if the loan is collateral dependent. An allowance is established when the discounted cash flows (or collateral value) of the impaired loan is lower than the carrying value of that loan. The Company from time to time, may agree to modify the contractual terms of loans. When a loan is modified and a concession is made to a borrower experiencing financial difficulty, the modified loan is considered a troubled debt restructuring (“TDR”). All TDRs are initially classified as impaired. An unallocated component can be maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating allocated and general reserves in the portfolio. |
Assets Held-for-Sale | Assets Held-for-Sale Assets held-for-sale represents a commercial property being held for sale to a real estate developer. Assets designated as held for sale are held at the lower of carrying amount at designation or fair value less costs to sell. Depreciation is not charged against assets classified as held for sale. |
Bank-Owned Life Insurance | Bank-Owned Life Insurance Bank-owned life insurance policies are reflected on the consolidated balance sheets at cash surrender value. Changes in the net cash surrender value of the policies, as well as insurance proceeds received, are reflected in non-interest income on the consolidated statements of income and are not subject to income taxes. |
Premises and Equipment | Premises and Equipment Premises and equipment are stated at cost, less accumulated depreciation and amortization. Cost and related allowances for depreciation and amortization of premises and equipment retired or otherwise disposed of are removed from the respective accounts with any gain or loss included in income or expense. Generally, depreciation on the buildings and equipment is calculated principally on the straight line method, and depreciation and amortization expense is charged against operations over the estimated useful lives of the related assets. |
Foreclosed and Repossessed Assets | Foreclosed and Repossessed Assets Assets acquired through, or in lieu of, loan foreclosure or repossession are held for sale and are initially recorded at the lower of the investment in the loan or fair value less estimated costs to sell at the date of foreclosure or repossession, establishing a new cost basis. Subsequently, valuations are periodically performed by management and the assets are carried at the lower of carrying amount or fair value less estimated costs to sell. Revenue and expenses from operations, changes in the valuation allowance, any direct write-downs and gains or losses on sales are included in other real estate owned expense. |
Advertising | Advertising The Company directly expenses costs associated with advertising as they are incurred. |
Earnings per Common Share | Earnings per Common Share Basic earnings per share represent income available to common stockholders divided by the weighted-average number of common shares outstanding during the period. Unallocated ESOP shares are not deemed outstanding for earnings per share calculations. Diluted earnings per share reflects additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. |
Employee Stock Ownership Plan | Employee Stock Ownership Plan Compensation expense for The Provident Bank Employee Stock Ownership Plan (the “ESOP”) is recorded at an amount equal to the shares allocated by the ESOP multiplied by the average fair market of the shares during the period. The Company recognizes compensation expense ratably over the year based upon the Company’s estimate of the number of shares expected to be allocated by the ESOP. Unearned compensation applicable to the ESOP is reflected as a reduction of shareholders’ equity on the consolidated balance sheets. The difference between the average fair market value and the cost of the shares by the ESOP is recorded as an adjustment to additional paid-in-capital. |
Stock-based Compensation Plans | Stock-based Compensation Plans The Company measures and recognizes compensation cost relating to stock-based payment transactions based on the grant-date fair value of the equity instruments issued. Stock-based compensation is recognized over the period the employee is required to provide services for the award. The Company uses the Black-Scholes option-pricing model to determine the fair value of stock options granted. The fair value of restricted stock is recorded based on the grant date value of the equity instrument issued. |
Treasury Stock | Treasury Stock Common stock repurchased are recorded as treasury stock at cost. |
Income Taxes | Income Taxes The Company recognizes income taxes under the asset and liability method. Under this method, deferred tax assets and liabilities are established for the temporary differences between the accounting basis and the tax basis of the Company’s assets and liabilities at enacted tax rates expected to be in effect when the amounts related to such temporary differences are realized or settled. A tax valuation allowance is established, as needed, to reduce net deferred tax assets to the amount expected to be realized. The Company examines its significant income tax positions annually to determine whether a tax benefit is more likely than not to be sustained upon examination by tax authorities. |
Fair Values of Financial Instruments | Fair Values of Financial Instruments GAAP requires that the Company disclose estimated fair values for its financial instruments. Fair value methods and assumptions used by the Company in estimating its fair value disclosures are as follows: Cash and cash equivalents: Investments: Loans receivable: Accrued interest receivable: Deposit liabilities: Federal Home Loan Bank advances: Off-balance sheet instruments: |
Recent Accounting Pronouncements | Recent Accounting Pronouncements ASU (Accounting Standards Update) No. 2014-09 — Revenue from Contracts with Customers (Topic 606). Because the ASU does not apply to revenue associated with leases and financial instruments (including loans and securities), the Company concluded that the new guidance did not have a material impact on the elements of its consolidated statements of income most closely associated with leases and financial instruments (such as interest income, interest expense and securities gain). This ASU was effective for the Company on January 1, 2018. The Company completed its identification of all revenue streams included in its financial statements and has identified its deposit- related fees, service charges, debit and prepaid card interchange income and other fee income to be within the scope of the standard. The Company has also completed its review of the related contracts. The Company’ overall assessment indicates that adoption of this ASU will not materially change its current method and timing of recognizing revenue for the identified revenue streams and therefore, the adoption of this ASU on January 1, 2018, did not have a significant impact to the Company’s financial condition, results of operations and consolidated financial statements. ASU No. 2016-01, Financial Instruments — Overall (Subtopic 825-10): “Recognition and Measurement of Financial Assets and Financial Liabilities.” ASU 2016-02, Leases (Topic 842). ASU 2016-09, Compensation Stock — Compensation (Topic 718): “Improvements to Employee Share Based Payment Accounting.” ASU No. 2016-13, Financial Instruments — Credit Losses (Topic 326): “Measurement of Credit Losses on Financial Instruments.” The ASU changes the impairment model for most financial assets and certain other instruments. For trade and other receivables, held-to-maturity debt securities, loans and other instruments, entities will be required to use a new forward-looking “expected loss” model that will replace today’s “incurred loss” model and can result in the earlier recognition of credit losses. For available-for-sale debt securities with unrealized losses, entities will measure credit losses in a manner similar to current practice, except that the losses will be recognized as an allowance. The amendments in this update will be effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted as of the fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Management does not plan to early adopt this ASU. Management is currently evaluating the impact of its pending adoption of this guidance on the Company’s financial statements. ASU No. 2016-15, Statement of Cash Flows (Topic 230): “Classification of Certain Cash Receipts and Cash Payments.” ASU No. 2017-08, Receivables — Nonrefundable Fees and Other Costs (subtopic 310-20): “Premium Amortization on Purchased Callable Debt Securities.” |
INVESTMENTS SECURITIES AVAILA28
INVESTMENTS SECURITIES AVAILABLE-FOR-SALE (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of amortized cost of investment securities classified as available-for-sale and their approximate fair values | (In thousands) Amortized Gross Gross Fair December 31, 2017 State and municipal $ 20,726 $ 745 $ 17 $ 21,454 Asset-backed securities 7,524 30 37 7,517 Government mortgage-backed securities 32,421 317 280 32,458 Total available-for-sale securities $ 60,671 $ 1,092 $ 334 $ 61,429 December 31, 2016 State and municipal $ 49,367 $ 1,281 $ 68 $ 50,580 Corporate debt 1,000 31 — 1,031 Asset-backed securities 8,747 — 69 8,678 Government mortgage-backed securities 41,818 435 339 41,914 Trust preferred securities 1,368 — 400 968 Marketable equity securities 11,492 3,551 218 14,825 113,792 5,298 1,094 117,996 Money market mutual funds included in cash and cash equivalents (129 ) — — (129 ) Total available-for-sale securities $ 113,663 $ 5,298 $ 1,094 $ 117,867 |
Schedule of maturities of debt securities | Available-for-Sale (In thousands) Amortized Fair Due within one year $ — $ — Due after one year through five years 95 95 Due after five years through ten years 2,420 2,502 Due after ten years 18,211 18,857 Government mortgage-backed securities 32,421 32,458 Asset-backed securities 7,524 7,517 $ 60,671 $ 61,429 |
Schedule of aggregate fair value and unrealized losses of securities that have been in a continuous unrealized-loss position | Less than 12 Months 12 Months or Longer Total (In thousands) Fair Unrealized Fair Unrealized Fair Unrealized December 31, 2017 Temporarily impaired securities: State and municipal $ — $ — $ 611 $ 17 $ 611 $ 17 Asset-backed securities 1,745 13 1,335 24 3,080 37 Government mortgage-backed securities 5,231 20 13,584 260 18,815 280 Total temporarily impaired securities $ 6,976 $ 33 $ 15,530 $ 301 $ 22,506 $ 334 December 31, 2016 Temporarily impaired securities: State and municipal $ 6,413 $ 63 $ 160 $ 5 $ 6,573 $ 68 Asset-backed securities 8,104 60 574 9 8,678 69 Government mortgage-backed securities 20,868 247 2,770 92 23,638 339 Trust preferred securities 26 18 942 382 968 400 Marketable equity securities 1,942 104 768 114 2,710 218 Total temporarily impaired securities $ 37,353 $ 492 $ 5,214 $ 602 $ 42,567 $ 1,094 |
Schedule of credit component recognized in earnings on debt securities for which a portion of other-than-temporary impairment was recognized in other comprehensive income | (In thousands) Trust preferred securities: Balance, December 31, 2015 $ 688 Additions for the credit component on debt securities in which an other-than-temporary impairment was previously recognized — Balance, December 31, 2016 688 Reductions for securities sold during the period (688 ) Balance, December 31, 2017 $ — |
LOANS (Tables)
LOANS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Schedule of summary of loans | (In thousands) 2017 2016 Commercial real estate $ 371,510 $ 336,102 Commercial 240,223 166,157 Residential real estate 67,724 76,850 Construction and land development 55,828 48,161 Consumer 17,455 6,172 752,740 633,442 Allowance for loan losses (9,757 ) (8,590 ) Deferred loan fees, net (845 ) (427 ) Net loans $ 742,138 $ 624,425 |
Schedule of allowance for loans and impaired loans by portfolio segment | (In thousands) Commercial Commercial Residential Construction Consumer Unallocated Total December 31, 2017 Allowance for loan losses: Beginning balance $ 4,503 $ 2,513 $ 328 $ 882 $ 279 $ 85 $ 8,590 Charge-offs (1,522 ) (107 ) — — (190 ) — (1,819 ) Recoveries — 45 — — 12 — 57 Provision (credit) 1,502 829 (28 ) 83 548 (5 ) 2,929 Ending balance $ 4,483 $ 3,280 $ 300 $ 965 $ 649 $ 80 $ 9,757 Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 4,483 3,280 300 965 649 80 9,757 Total allowance for loan losses ending balance $ 4,483 $ 3,280 $ 300 $ 965 $ 649 $ 80 $ 9,757 Loans: Ending balance: Individually evaluated for impairment $ 8,623 $ 3,202 $ 404 $ — $ — $ — $ 12,229 Ending balance: Collectively evaluated for impairment 362,887 237,021 67,320 55,828 17,455 — 740,511 Total loans ending balance $ 371,510 $ 240,223 $ 67,724 $ 55,828 $ 17,455 $ — $ 752,740 (In thousands) Commercial Commercial Residential Construction Consumer Unallocated Total December 31, 2016 Allowance for loan losses: Beginning balance $ 3,827 $ 2,138 $ 412 $ 1,236 $ 119 $ 173 $ 7,905 Charge-offs — — — — (44 ) — (44 ) Recoveries — 1 12 — 13 — 26 Provision (credit) 676 374 (96 ) (354 ) 191 (88 ) 703 Ending balance $ 4,503 $ 2,513 $ 328 $ 882 $ 279 $ 85 $ 8,590 Ending balance: Individually evaluated for impairment $ — $ 46 $ — $ — $ — $ — $ 46 Ending balance: Collectively evaluated for impairment 4,503 2,467 328 882 279 85 8,544 Total allowance for loan losses ending balance $ 4,503 $ 2,513 $ 328 $ 882 $ 279 $ 85 $ 8,590 Loans: Ending balance: Individually evaluated for impairment $ 1,956 $ 1,660 $ 422 $ — $ — $ — $ 4,038 Ending balance: Collectively evaluated for impairment 334,146 164,497 76,428 48,161 6,172 — 629,404 Total loans ending balance $ 336,102 $ 166,157 $ 76,850 $ 48,161 $ 6,172 $ — $ 633,442 |
Schedule of non accrual loans and past-due loans by portfolio segment | (In thousands) 30 – 59 60 – 89 90 Days Total Total Total 90 Days Nonaccrual December 31, 2017 Commercial real estate $ — $ 3,669 $ — $ 3,669 $ 367,841 $ 371,510 $ — $ 7,102 Commercial 12 — — 12 240,211 240,223 — 1,505 Residential real estate 699 178 81 958 66,766 67,724 — 364 Construction and land development — — — — 55,828 55,828 — — Consumer 63 45 60 168 17,287 17,455 — 62 Total $ 774 $ 3,892 $ 141 $ 4,807 $ 747,933 $ 752,740 $ — $ 9,033 December 31, 2016 Commercial real estate $ — $ — $ 346 $ 346 $ 335,756 $ 336,102 $ — $ 346 Commercial 29 — — 29 166,128 166,157 — 933 Residential real estate — — — — 76,850 76,850 — 303 Construction and land development — — — — 48,161 48,161 — — Consumer — — — — 6,172 6,172 — — Total $ 29 $ — $ 346 $ 375 $ 633,067 $ 633,442 $ — $ 1,582 |
Schedule of impaired loans by portfolio segment | (In thousands) Recorded Unpaid Related Average Interest December 31, 2017 With no related allowance recorded: Commercial real estate $ 8,623 $ 10,139 $ — $ 4,562 $ 70 Commercial 3,202 3,202 — 2,054 123 Residential real estate 404 404 — 412 20 Construction and land development — — — — — Consumer — — — — — Total impaired with no related allowance $ 12,229 $ 13,745 $ — $ 7,028 $ 213 With an allowance recorded: Commercial real estate $ — $ — $ — $ — $ — Commercial — — — — — Residential real estate — — — — — Construction and land development — — — — — Consumer — — — — — Total impaired with an allowance recorded $ — $ — $ — $ — $ — Total Commercial real estate $ 8,623 $ 10,139 $ — $ 4,562 $ 70 Commercial 3,202 3,202 — 2,054 123 Residential real estate 404 404 — 412 20 Construction and land development — — — — — Consumer — — — — — Total impaired loans $ 12,229 $ 13,745 $ — $ 7,028 $ 213 December 31, 2016 With no related allowance recorded: Commercial real estate $ 1,956 $ 1,956 $ — $ 2,744 $ 188 Commercial 799 799 — 794 42 Residential real estate 422 422 — 429 20 Construction and land development — — — — — Consumer — — — — — Total impaired with no related allowance $ 3,177 $ 3,177 $ — $ 3,967 $ 250 With an allowance recorded: Commercial real estate $ — $ — $ — $ — $ — Commercial 861 861 46 886 — Residential real estate — — — — — Construction and land development — — — — — Consumer — — — — — Total impaired with an allowance recorded $ 861 $ 861 $ 46 $ 886 $ — Total Commercial real estate $ 1,956 $ 1,956 $ — $ 2,744 $ 188 Commercial 1,660 1,660 46 1,680 42 Residential real estate 422 422 — 429 20 Construction and land development — — — — — Consumer — — — — — Total impaired loans $ 4,038 $ 4,038 $ 46 $ 4,853 $ 250 |
Schedule of troubled debt restructurings | (Dollars in thousands) Number of Pre-Modification Post-Modification Year-Ended December 31, 2017 Troubled debt restructurings: Commercial 1 $ 249 $ 249 1 $ 249 $ 249 Year-Ended December 31, 2016 Troubled debt restructurings: Commercial 1 $ 58 $ 58 1 $ 58 $ 58 |
Schedule of loans by risk rating and portfolio segment | (In thousands) Commercial Commercial Residential Construction Consumer Total December 31, 2017 Grade: Pass $ 355,623 $ 224,190 $ — $ 55,828 $ — $ 635,641 Special mention 6,852 9,155 — — — 16,007 Substandard 9,035 6,878 679 — — 16,592 Not formally rated — — 67,045 — 17,455 84,500 Total $ 371,510 $ 240,223 $ 67,724 $ 55,828 $ 17,455 $ 752,740 December 31, 2016 Grade: Pass $ 319,712 $ 157,306 $ — $ 48,161 $ — $ 525,179 Special mention 4,471 1,668 — — — 6,139 Substandard 11,919 7,183 729 — — 19,831 Not formally rated — — 76,121 — 6,172 82,293 Total $ 336,102 $ 166,157 $ 76,850 $ 48,161 $ 6,172 $ 633,442 |
PREMISES AND EQUIPMENT (Tables)
PREMISES AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Schedule of summary of premises and equipment | (In thousands) 2017 2016 Land $ 2,424 $ 2,424 Buildings and leasehold improvements 9,241 9,241 Furniture and equipment 4,649 4,499 Leasehold improvements 4,241 4,234 20,555 20,398 Accumulated depreciation and amortization (9,574 ) (8,811 ) Premises and equipment, net $ 10,981 $ 11,587 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Deposits [Abstract] | |
Schedule of deposit balances by type | (In thousands) 2017 2016 NOW and demand $ 309,514 $ 280,773 Regular savings 112,610 111,016 Money market deposits 225,735 145,321 Total non-certificate accounts 647,859 537,110 Certificate accounts of $250,000 or more 5,061 3,437 Certificate accounts less than $250,000 97,137 87,435 Total certificate accounts 102,198 90,872 Total deposits $ 750,057 $ 627,982 |
Schedule of maturities of certificate accounts | (In thousands) 2017 2016 2017 $ — $ 69,775 2018 81,791 17,230 2019 16,105 1,414 2020 3,052 1,663 2021 410 790 2022 840 — Total $ 102,198 $ 90,872 |
FEDERAL HOME LOAN BANK ADVANC32
FEDERAL HOME LOAN BANK ADVANCES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Advances from Federal Home Loan Banks [Abstract] | |
Schedule of maturities of advances from the FHLB | (In thousands) 2017 2016 2017 $ — $ 35,000 2018 12,000 5,000 2019 4,936 — 2020 6,405 6,358 2021 — — 2022 — — Thereafter 3,500 3,500 Total $ 26,841 $ 49,858 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of components for income tax expense | (In thousands) 2017 2016 Current tax expense (benefit): Federal $ 5,044 $ 2,780 State 1,079 653 Net operating loss carryforward (14 ) (14 ) 6,109 3,419 Deferred tax expense (benefit): Federal 1,523 (302 ) State (214 ) (92 ) 1,309 (394 ) Income tax expense $ 7,418 $ 3,025 |
Schedule of differences between the statutory federal income tax rate and the effective tax rates | 2017 2016 Federal income tax at statutory rate 34.0 % 34.0 % Increase (decrease) in tax resulting from: State tax, net of federal tax benefit 4.6 4.6 Tax exempt income and dividends received deduction (3.3 ) (4.8 ) Change in enacted federal tax rate 13.4 — Gain on donated securities 0.0 (0.1 ) Other (0.3 ) (1.4 ) Effective tax rate 48.4 % 32.3 % |
Schedule of deferred tax assets and deferred tax liabilities | (In thousands) 2017 2016 Deferred tax assets: Allowance for loan losses $ 2,743 $ 3,431 Depreciation 41 — Net operating loss carryforward 25 54 Employee benefit plans and share-based compensation plans 1,979 2,406 Deferred loan fees, net 238 174 Reserve for unfunded commitments 39 54 Other 140 56 Writedown of securities — 235 Charitable contribution carryover — 297 Gross deferred tax assets 5,205 6,707 Deferred tax liabilities: Depreciation — (145 ) Prepaid expenses (64 ) — FHLB restructure fees (52 ) (67 ) Net unrealized holding gain on securities (169 ) (1,582 ) Gross deferred tax liabilities (285 ) (1,794 ) Net deferred tax asset $ 4,920 $ 4,913 |
EMPLOYEE BENEFITS & SHARE-BAS34
EMPLOYEE BENEFITS & SHARE-BASED COMPENSATION PLANS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of employee stock ownership plan | December 31, December 31, Allocated 47,620 23,810 Committed to be allocated 23,810 23,810 Unallocated 285,722 309,532 Total 357,152 357,152 |
Schedule of fair value of options granted | 2017 2016 Vesting period (years) 5 5 Expiration date (years) 10 10 Expected volatility 21.53 % 20.80 % Expected life (years) 7.5 7.5 Expected dividend yield 0.00 % 0.00 % Risk free interest rate 2.25 % 2.12 % Fair value per option $ 7.05 $ 5.03 |
Schedule of stock option grants | Stock Option Weighted Weighted Average Aggregate Outstanding at January 1, 2017 384,268 $ 17.40 Granted 12,175 23.50 Outstanding at December 31, 2017 396,443 $ 17.61 8.92 $ 3,514,000 Outstanding and expected to vest at December 31, 2017 396,443 $ 17.59 8.92 $ 3,514,000 Vested and Exercisable at December 31, 2017 76,854 $ 17.40 8.88 $ 696,000 Unrecognized compensation cost $ 1,582,000 Weighted average remaining recognition period (years) 3.92 |
Schedule of activity in unvested restricted stock awards under the Equity Plan | Number of Weighted Average Unvested restricted stock awards at January 1, 2017 153,726 $ 17.40 Granted 4,871 23.50 Vested (30,745 ) 17.40 Unvested restricted stock awards at December 31, 2017 127,852 $ 17.59 Unrecognized compensation cost $ 2,186,000 Weighted average remaining recognition period (years) 3.92 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of earning per share | (Dollars in thousands) 2017 2016 Net income attributable to common shareholders $ 7,915 $ 6,339 Average number of common shares outstanding 9,652,448 9,498,722 Less: average unallocated ESOP shares (298,680 ) (322,338 ) average unvested restricted stock (136,986 ) — average treasury stock acquired (17,508 ) — Average number of common shares outstanding to calculate basic earnings per common share 9,199,274 9,176,384 Effect of dilutive unvested restricted stock and stock option awards 613 — Average number of common shares outstanding to calculate diluted earnings per common share 9,199,887 9,176,384 Earnings per common share: Basic $ 0.86 $ 0.69 Diluted $ 0.86 $ 0.69 |
REGULATORY MATTERS (Table)
REGULATORY MATTERS (Table) | 12 Months Ended |
Dec. 31, 2017 | |
Regulatory Capital [Abstract] | |
Schedule of actual capital amounts and ratios | Actual Capital For Capital To Be Well (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio December 31, 2017 Total Capital (to Risk Weighted Assets) $ 116,869 14.96 % $ 62,514 ≥ 8.0 % $ 78,142 ≥ 10.0 % Tier 1 Capital (to Risk Weighted Assets) 107,112 13.71 46,885 ≥ 6.0 62,514 ≥ 8.0 Common Equity Tier 1 Capital (to Risk Weighted Assets) 107,112 13.71 35,164 ≥ 4.5 50,792 ≥ 6.5 Tier 1 Capital (to Average Assets) 107,112 11.80 36,299 ≥ 4.0 45,374 ≥ 5.0 December 31, 2016 Total Capital (to Risk Weighted Assets) $ 107,731 15.88 % $ 54,272 ≥ 8.0 % $ 67,840 ≥ 10.0 % Tier 1 Capital (to Risk Weighted Assets) 97,750 14.41 40,704 ≥ 6.0 54,272 ≥ 8.0 Common Equity Tier 1 Capital (to Risk Weighted Assets) 97,750 14.41 30,528 ≥ 4.5 44,096 ≥ 6.5 Tier 1 Capital (to Average Assets) 97,750 12.59 31,058 ≥ 4.0 38,822 ≥ 5.0 |
COMMITMENTS AND CONTINGENT LI37
COMMITMENTS AND CONTINGENT LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of minimum rental due in future periods of existing agreements | (In thousands) 2018 $ 302 2019 293 2020 245 2021 252 2022 252 Years thereafter 1,846 Total minimum lease payments $ 3,190 |
FINANCIAL INSTRUMENTS (Tables)
FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Financial Instruments [Abstract] | |
Schedule of financial instrument with off-balance sheet credit risk | (In thousands) 2017 2016 Commitments to originate loans $ 18,641 $ 25,363 Letters of credit 2,004 5,164 Unadvanced portions of loans 166,314 202,032 $ 186,959 $ 232,559 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of financial instruments measured at fair value on a recurring basis | Fair Value Measurements at Reporting Date Using (In thousands) Total Quoted Prices in Significant Significant December 31, 2017 State and municipal 21,454 — 21,454 — Asset-backed securities 7,517 — 7,517 — Mortgage-backed securities 32,458 — 32,458 — Totals $ 61,429 $ — $ 61,429 $ — December 31, 2016 State and municipal $ 50,580 $ — $ 50,580 $ — Corporate debt 1,031 — 1,031 — Asset-backed securities 8,678 — 8,678 — Government mortgage-backed securities 41,914 — 41,914 — Trust preferred securities 968 — — 968 Marketable equity securities 14,696 14,696 — — Totals $ 117,867 $ 14,696 $ 102,203 $ 968 |
Schedule of summary of activity for Level 3 financial instruments measured at fair value on a recurring basis | (In thousands) Available for Balance beginning January 1, 2016 $ 1,116 Total gains or (losses) (realized/unrealized) Included in earnings — Included in other comprehensive income (148 ) Paydowns — Ending balance, December 31, 2016 $ 968 Balance beginning January 1, 2017 $ 968 Total gains or (losses) (realized/unrealized) (180 ) Included in earnings — Included in other comprehensive income — Paydowns/sales (788 ) Ending balance, December 31, 2017 $ — |
Schedule of financial instruments measured at fair value on a nonrecurring basis | Fair Value Measurements at Reporting Date Using: (In thousands) Total Quoted Prices in Significant Significant December 31, 2017 Impaired loans $ 3,670 $ — $ — $ 3,670 December 31, 2016 Impaired loans $ 815 $ — $ — $ 815 |
Schedule of summary of the valuation methodology and unobservable inputs for Level 3 assets measured at fair value on a nonrecurring basis | (In thousands) Fair Value Valuation Technique Unobservable Input Range December 31, 2017 Impaired loans $ 3,670 Real estate appraisals Discount for dated appraisals 6 – 10 % December 31, 2016 Impaired loans $ 815 Business valuation Comparable company valuations — |
DISCLOSURES ABOUT FAIR VALUES40
DISCLOSURES ABOUT FAIR VALUES OF FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Of Financial Instrument [Abstract] | |
Schedule of carrying amounts and estimated fair values of financial instruments, held or issued for purposes other than trading | Carrying Fair Value (In thousands) Level 1 Level 2 Level 3 Total December 31, 2017 Financial assets: Cash and cash equivalents $ 47,689 $ 47,689 $ — $ — $ 47,689 Available-for-sale securities 61,429 — 61,429 — 61,429 Federal Home Loan Bank of Boston stock 1,854 1,854 — — 1,854 Loans, net 742,138 — — 745,637 745,637 Accrued interest receivable 2,345 — 2,345 — 2,345 Financial liabilities: Deposits 750,057 — — 749,898 749,898 Federal Home Loan Bank advances 26,841 — 26,655 — 26,655 December 31, 2016 Financial assets: Cash and cash equivalents $ 10,705 $ 10,705 $ — $ — $ 10,705 Available-for-sale securities 117,867 14,696 102,203 968 117,867 Federal Home Loan Bank of Boston stock 2,787 2,787 — — 2,787 Loans, net 624,425 — — 632,278 632,278 Accrued interest receivable 2,320 — 2,320 — 2,320 Financial liabilities: Deposits 627,982 — — 628,060 628,060 Federal Home Loan Bank advances 49,858 — 49,901 — 49,901 |
CONDENSED FINANCIAL STATEMENT41
CONDENSED FINANCIAL STATEMENTS OF PARENT ONLY (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Schedule of parent only statement of balance sheet | Provident Bancorp, Inc. — Parent Only Balance Sheet (In thousands) 2017 2016 Assets Cash and due from banks $ 5,224 $ 5,659 Investment in common stock of The Provident Bank 107,629 100,426 Other assets 2,946 3,138 Total assets $ 115,799 $ 109,223 Liabilities and Shareholders’ Equity Accrued expenses $ 22 $ 73 Shareholders’ equity 115,777 109,150 Total liabilities and shareholders’ equity $ 115,799 $ 109,223 |
Schedule of parent only income statement | Provident Bancorp, Inc. — Parent Only Income Statement Years Ended (In thousands) 2017 2016 Total income $ 120 $ 4,549 Operating expenses 88 95 Income before income taxes and equity in undistributed net income of The Provident Bank 32 4,454 Applicable income tax provision 13 8 Income before equity in income of subsidiaries 19 4,446 Equity in undistributed net income of The Provident Bank 7,896 1,893 Net income $ 7,915 $ 6,339 |
Schedule of parent only statement of cash flows | Provident Bancorp, Inc. — Parent Only Statement of Cash Flows Twelve Months Ended (In thousands) 2017 2016 Cash flows from operating activities: Net income $ 7,915 $ 6,339 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in undistributed earnings of subsidiaries (7,896 ) (1,893 ) Decrease in other assets 191 200 (Decrease) increase in other liabilities (51 ) 52 Net cash provided by operating activities 159 4,698 Cash flows from financing activities: Purchase of treasury stock (594 ) — Net cash used in financing activities (594 ) — Net (decrease) increase in cash and cash equivalents (435 ) 4,698 Cash and cash equivalents at beginning of year 5,659 961 Cash and cash equivalents at end of year $ 5,224 $ 5,659 |
SELECTED QUARTERLY FINANCIAL 42
SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of quarterly financial data | First Quarter Second Quarter Third Quarter Fourth Quarter (In thousands) 2017 2016 2017 2016 2017 2016 2017 2016 Interest and dividend income $ 8,112 $ 6,980 $ 8,816 $ 7,026 $ 9,239 $ 7,426 $ 9,615 $ 7,462 Interest expense 781 697 879 681 1,005 713 1,062 694 Net interest and dividend income 7,331 6,283 7,937 6,345 8,234 6,713 8,553 6,768 Provision for loan losses 563 111 892 210 1,012 163 462 219 Gain on sale of securities, net 482 20 58 17 1,851 438 3,521 215 Other income 1,020 915 1,012 950 1,046 925 966 955 Total noninterest income 1,502 935 1,070 967 2,897 1,363 4,487 1,170 Total noninterest expense 5,621 4,924 5,875 5,080 5,914 5,212 6,339 5,261 Income tax expense 847 696 639 659 1,434 940 4,498 730 Net income $ 1,802 $ 1,487 $ 1,601 $ 1,363 $ 2,771 $ 1,761 $ 1,741 $ 1,728 Income (loss) per share: Basic $ 0.20 $ 0.16 $ 0.17 $ 0.15 $ 0.30 $ 0.19 $ 0.19 $ 0.19 Diluted $ 0.20 $ 0.16 $ 0.17 $ 0.15 $ 0.30 $ 0.19 $ 0.19 $ 0.19 Weighted Average Shares: Basic 9,192,568 9,167,364 9,193,836 9,173,317 9,201,634 9,179,269 9,208,854 9,185,285 Diluted 9,192,568 9,167,364 9,198,286 9,173,317 9,213,056 9,179,269 9,257,702 9,185,285 |
NATURE OF OPERATIONS (Detail Te
NATURE OF OPERATIONS (Detail Textuals) | Jul. 15, 2015Banking_Office$ / sharesshares |
Nature Of Operations [Line Items] | |
Number of shares issued | 4,274,425 |
Common stock issue to public per share (In dollars per share) | $ / shares | $ 10 |
Number of banking office | Banking_Office | 8 |
Provident Bank Employee Stock Ownership Plan | |
Nature Of Operations [Line Items] | |
Purchase of shares of common stock by the ESOP | 357,152 |
Provident Bancorp Inc | |
Nature Of Operations [Line Items] | |
Number of shares issued | 5,034,323 |
Provident Community Charitable Organization, Inc. | |
Nature Of Operations [Line Items] | |
Number of shares issued | 189,974 |
ACCOUNTING POLICIES (Detail Tex
ACCOUNTING POLICIES (Detail Textuals) | 12 Months Ended |
Dec. 31, 2017$ / shares | |
Accounting Policies [Abstract] | |
Par value of stock bought from and sold to the federal home loan bank (in dollars per share) | $ 100 |
INVESTMENTS IN SECURITIES - Amo
INVESTMENTS IN SECURITIES - Amortized cost of investment securities classified as available-for-sale (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | $ 60,671 | $ 113,663 |
Gross Unrealized Gains | 1,092 | 5,298 |
Gross Unrealized Losses | 334 | 1,094 |
Fair Value | 61,429 | 117,867 |
State and municipal | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 20,726 | 49,367 |
Gross Unrealized Gains | 745 | 1,281 |
Gross Unrealized Losses | 17 | 68 |
Fair Value | 21,454 | 50,580 |
Corporate debt | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 1,000 | |
Gross Unrealized Gains | 31 | |
Gross Unrealized Losses | 0 | |
Fair Value | 1,031 | |
Asset-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 7,524 | 8,747 |
Gross Unrealized Gains | 30 | 0 |
Gross Unrealized Losses | 37 | 69 |
Fair Value | 7,517 | 8,678 |
Government mortgage-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 32,421 | 41,818 |
Gross Unrealized Gains | 317 | 435 |
Gross Unrealized Losses | 280 | 339 |
Fair Value | $ 32,458 | 41,914 |
Trust preferred securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 1,368 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | 400 | |
Fair Value | 968 | |
Marketable equity securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 11,492 | |
Gross Unrealized Gains | 3,551 | |
Gross Unrealized Losses | 218 | |
Fair Value | 14,825 | |
Available for sale securities excluded Money market mutual funds | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 113,792 | |
Gross Unrealized Gains | 5,298 | |
Gross Unrealized Losses | 1,094 | |
Fair Value | 117,996 | |
Money market mutual funds included in cash and cash equivalents | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | (129) | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | 0 | |
Fair Value | $ (129) |
INVESTMENTS IN SECURITIES - Mat
INVESTMENTS IN SECURITIES - Maturities of debt securities (Details 1) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Available-for-Sale, Amortized Cost | ||
Due within one year | $ 0 | |
Due after one year through five years | 95 | |
Due after five years through ten years | 2,420 | |
Due after ten years | 18,211 | |
Amortized Cost | 60,671 | |
Available-for-Sale, Fair Value | ||
Due within one year | 0 | |
Due after one year through five years | 95 | |
Due after five years through ten years | 2,502 | |
Due after ten years | 18,857 | |
Fair Value | 61,429 | $ 117,867 |
Government mortgage-backed securities | ||
Available-for-Sale, Amortized Cost | ||
Amortized Cost | 32,421 | |
Available-for-Sale, Fair Value | ||
Fair Value | 32,458 | 41,914 |
Asset-backed securities | ||
Available-for-Sale, Amortized Cost | ||
Amortized Cost | 7,524 | |
Available-for-Sale, Fair Value | ||
Fair Value | $ 7,517 | $ 8,678 |
INVESTMENTS IN SECURITIES - Agg
INVESTMENTS IN SECURITIES - Aggregate fair value and unrealized losses of securities (Details 2) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less than 12 Months | $ 6,976 | $ 37,353 |
Unrealized Loss, Less than 12 Months | 33 | 492 |
Fair Value, 12 Months or Longer | 15,530 | 5,214 |
Unrealized Loss, 12 Months or Longer | 301 | 602 |
Fair Value, Total | 22,506 | 42,567 |
Unrealized Loss, Total | 334 | 1,094 |
State and municipal | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less than 12 Months | 0 | 6,413 |
Unrealized Loss, Less than 12 Months | 0 | 63 |
Fair Value, 12 Months or Longer | 611 | 160 |
Unrealized Loss, 12 Months or Longer | 17 | 5 |
Fair Value, Total | 611 | 6,573 |
Unrealized Loss, Total | 17 | 68 |
Asset-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less than 12 Months | 1,745 | 8,104 |
Unrealized Loss, Less than 12 Months | 13 | 60 |
Fair Value, 12 Months or Longer | 1,335 | 574 |
Unrealized Loss, 12 Months or Longer | 24 | 9 |
Fair Value, Total | 3,080 | 8,678 |
Unrealized Loss, Total | 37 | 69 |
Government mortgage-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less than 12 Months | 5,231 | 20,868 |
Unrealized Loss, Less than 12 Months | 20 | 247 |
Fair Value, 12 Months or Longer | 13,584 | 2,770 |
Unrealized Loss, 12 Months or Longer | 260 | 92 |
Fair Value, Total | 18,815 | 23,638 |
Unrealized Loss, Total | $ 280 | 339 |
Trust preferred securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less than 12 Months | 26 | |
Unrealized Loss, Less than 12 Months | 18 | |
Fair Value, 12 Months or Longer | 942 | |
Unrealized Loss, 12 Months or Longer | 382 | |
Fair Value, Total | 968 | |
Unrealized Loss, Total | 400 | |
Marketable equity securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value, Less than 12 Months | 1,942 | |
Unrealized Loss, Less than 12 Months | 104 | |
Fair Value, 12 Months or Longer | 768 | |
Unrealized Loss, 12 Months or Longer | 114 | |
Fair Value, Total | 2,710 | |
Unrealized Loss, Total | $ 218 |
INVESTMENTS IN SECURITIES - Act
INVESTMENTS IN SECURITIES - Activity related to credit component recognized in earnings (Details 3) - Trust preferred securities - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Roll Forward] | ||
Balance | $ 688 | $ 688 |
Additions for the credit component on debt securities in which an other-than-temporary impairment was previously recognized | 0 | |
Reductions for securities sold during the period | (688) | |
Balance | $ 0 | $ 688 |
INVESTMENTS IN SECURITIES (Deta
INVESTMENTS IN SECURITIES (Detail Textuals) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | ||
Gross realized gains on sales and calls | $ 6,400,000 | $ 693,000 |
Gross losses realized | 505,000 | 3,000 |
Securities pledged to secure available borrowings with the Federal Reserve Bank and Federal Home Loan Bank | $ 39,800,000 | $ 60,600,000 |
LOANS (Details)
LOANS (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Loans and Leases Receivable Disclosure [Line Items] | |||
Gross loans | $ 752,740 | $ 633,442 | |
Allowance for loan losses | (9,757) | (8,590) | $ (7,905) |
Deferred loan fees, net | (845) | (427) | |
Net loans | 742,138 | 624,425 | |
Real estate | Commercial | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Gross loans | 371,510 | 336,102 | |
Allowance for loan losses | (4,483) | (4,503) | (3,827) |
Real estate | Residential | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Gross loans | 67,724 | 76,850 | |
Allowance for loan losses | (300) | (328) | (412) |
Real estate | Construction and land development | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Gross loans | 55,828 | 48,161 | |
Allowance for loan losses | (965) | (882) | (1,236) |
Commercial | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Gross loans | 240,223 | 166,157 | |
Allowance for loan losses | (3,280) | (2,513) | (2,138) |
Consumer | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Gross loans | 17,455 | 6,172 | |
Allowance for loan losses | $ (649) | $ (279) | $ (119) |
LOANS - Information regarding a
LOANS - Information regarding allowance for loans and impaired loans by portfolio segment (Details 1) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Allowance for Loan and Lease Losses [Roll Forward] | ||||||||||
Beginning balance | $ 8,590 | $ 7,905 | $ 8,590 | $ 7,905 | ||||||
Charge-offs | (1,819) | (44) | ||||||||
Recoveries | 57 | 26 | ||||||||
Provision (benefit) | $ 462 | $ 1,012 | $ 892 | 563 | $ 219 | $ 163 | $ 210 | 111 | 2,929 | 703 |
Total allowance for loan losses ending balance | 9,757 | 8,590 | 9,757 | 8,590 | ||||||
Ending balance: | ||||||||||
Individually evaluated for impairment | 0 | 46 | 0 | 46 | ||||||
Collectively evaluated for impairment | 9,757 | 8,544 | 9,757 | 8,544 | ||||||
Total allowance for loan losses ending balance | 9,757 | 8,590 | 9,757 | 8,590 | ||||||
Loans: | ||||||||||
Individually evaluated for impairment | 12,229 | 4,038 | 12,229 | 4,038 | ||||||
Collectively evaluated for impairment | 740,511 | 629,404 | 740,511 | 629,404 | ||||||
Total loans ending balance | 752,740 | 633,442 | 752,740 | 633,442 | ||||||
Real estate | Commercial | ||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||||||||
Beginning balance | 4,503 | 3,827 | 4,503 | 3,827 | ||||||
Charge-offs | (1,522) | 0 | ||||||||
Recoveries | 0 | 0 | ||||||||
Provision (benefit) | 1,502 | 676 | ||||||||
Total allowance for loan losses ending balance | 4,483 | 4,503 | 4,483 | 4,503 | ||||||
Ending balance: | ||||||||||
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||||||
Collectively evaluated for impairment | 4,483 | 4,503 | 4,483 | 4,503 | ||||||
Total allowance for loan losses ending balance | 4,483 | 4,503 | 4,483 | 4,503 | ||||||
Loans: | ||||||||||
Individually evaluated for impairment | 8,623 | 1,956 | 8,623 | 1,956 | ||||||
Collectively evaluated for impairment | 362,887 | 334,146 | 362,887 | 334,146 | ||||||
Total loans ending balance | 371,510 | 336,102 | 371,510 | 336,102 | ||||||
Real estate | Residential | ||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||||||||
Beginning balance | 328 | 412 | 328 | 412 | ||||||
Charge-offs | 0 | 0 | ||||||||
Recoveries | 0 | 12 | ||||||||
Provision (benefit) | (28) | (96) | ||||||||
Total allowance for loan losses ending balance | 300 | 328 | 300 | 328 | ||||||
Ending balance: | ||||||||||
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||||||
Collectively evaluated for impairment | 300 | 328 | 300 | 328 | ||||||
Total allowance for loan losses ending balance | 300 | 328 | 300 | 328 | ||||||
Loans: | ||||||||||
Individually evaluated for impairment | 404 | 422 | 404 | 422 | ||||||
Collectively evaluated for impairment | 67,320 | 76,428 | 67,320 | 76,428 | ||||||
Total loans ending balance | 67,724 | 76,850 | 67,724 | 76,850 | ||||||
Real estate | Construction and land development | ||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||||||||
Beginning balance | 882 | 1,236 | 882 | 1,236 | ||||||
Charge-offs | 0 | 0 | ||||||||
Recoveries | 0 | 0 | ||||||||
Provision (benefit) | 83 | (354) | ||||||||
Total allowance for loan losses ending balance | 965 | 882 | 965 | 882 | ||||||
Ending balance: | ||||||||||
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||||||
Collectively evaluated for impairment | 965 | 882 | 965 | 882 | ||||||
Total allowance for loan losses ending balance | 965 | 882 | 965 | 882 | ||||||
Loans: | ||||||||||
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||||||
Collectively evaluated for impairment | 55,828 | 48,161 | 55,828 | 48,161 | ||||||
Total loans ending balance | 55,828 | 48,161 | 55,828 | 48,161 | ||||||
Commercial | ||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||||||||
Beginning balance | 2,513 | 2,138 | 2,513 | 2,138 | ||||||
Charge-offs | (107) | 0 | ||||||||
Recoveries | 45 | 1 | ||||||||
Provision (benefit) | 829 | 374 | ||||||||
Total allowance for loan losses ending balance | 3,280 | 2,513 | 3,280 | 2,513 | ||||||
Ending balance: | ||||||||||
Individually evaluated for impairment | 0 | 46 | 0 | 46 | ||||||
Collectively evaluated for impairment | 3,280 | 2,467 | 3,280 | 2,467 | ||||||
Total allowance for loan losses ending balance | 3,280 | 2,513 | 3,280 | 2,513 | ||||||
Loans: | ||||||||||
Individually evaluated for impairment | 3,202 | 1,660 | 3,202 | 1,660 | ||||||
Collectively evaluated for impairment | 237,021 | 164,497 | 237,021 | 164,497 | ||||||
Total loans ending balance | 240,223 | 166,157 | 240,223 | 166,157 | ||||||
Consumer | ||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||||||||
Beginning balance | 279 | 119 | 279 | 119 | ||||||
Charge-offs | (190) | (44) | ||||||||
Recoveries | 12 | 13 | ||||||||
Provision (benefit) | 548 | 191 | ||||||||
Total allowance for loan losses ending balance | 649 | 279 | 649 | 279 | ||||||
Ending balance: | ||||||||||
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||||||
Collectively evaluated for impairment | 649 | 279 | 649 | 279 | ||||||
Total allowance for loan losses ending balance | 649 | 279 | 649 | 279 | ||||||
Loans: | ||||||||||
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||||||
Collectively evaluated for impairment | 17,455 | 6,172 | 17,455 | 6,172 | ||||||
Total loans ending balance | 17,455 | 6,172 | 17,455 | 6,172 | ||||||
Unallocated | ||||||||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||||||||
Beginning balance | $ 85 | $ 173 | 85 | 173 | ||||||
Charge-offs | 0 | 0 | ||||||||
Recoveries | 0 | 0 | ||||||||
Provision (benefit) | (5) | (88) | ||||||||
Total allowance for loan losses ending balance | 80 | 85 | 80 | 85 | ||||||
Ending balance: | ||||||||||
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||||||
Collectively evaluated for impairment | 80 | 85 | 80 | 85 | ||||||
Total allowance for loan losses ending balance | 80 | 85 | 80 | 85 | ||||||
Loans: | ||||||||||
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||||||
Collectively evaluated for impairment | 0 | 0 | 0 | 0 | ||||||
Total loans ending balance | $ 0 | $ 0 | $ 0 | $ 0 |
LOANS - Nonaccrual loans and pa
LOANS - Nonaccrual loans and past-due loans by portfolio segment (Details 2) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 4,807 | $ 375 |
Total Current | 747,933 | 633,067 |
Total Loans | 752,740 | 633,442 |
90 Days or More Past Due and Accruing | 0 | 0 |
Nonaccrual Loans | 9,033 | 1,582 |
30 - 59 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 774 | 29 |
60 - 89 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 3,892 | 0 |
90 Days or More Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 141 | 346 |
Real estate | Commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 3,669 | 346 |
Total Current | 367,841 | 335,756 |
Total Loans | 371,510 | 336,102 |
90 Days or More Past Due and Accruing | 0 | 0 |
Nonaccrual Loans | 7,102 | 346 |
Real estate | Commercial | 30 - 59 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate | Commercial | 60 - 89 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 3,669 | 0 |
Real estate | Commercial | 90 Days or More Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 346 |
Real estate | Residential | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 958 | 0 |
Total Current | 66,766 | 76,850 |
Total Loans | 67,724 | 76,850 |
90 Days or More Past Due and Accruing | 0 | 0 |
Nonaccrual Loans | 364 | 303 |
Real estate | Residential | 30 - 59 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 699 | 0 |
Real estate | Residential | 60 - 89 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 178 | 0 |
Real estate | Residential | 90 Days or More Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 81 | 0 |
Real estate | Construction and land development | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Total Current | 55,828 | 48,161 |
Total Loans | 55,828 | 48,161 |
90 Days or More Past Due and Accruing | 0 | 0 |
Nonaccrual Loans | 0 | 0 |
Real estate | Construction and land development | 30 - 59 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate | Construction and land development | 60 - 89 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate | Construction and land development | 90 Days or More Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 12 | 29 |
Total Current | 240,211 | 166,128 |
Total Loans | 240,223 | 166,157 |
90 Days or More Past Due and Accruing | 0 | 0 |
Nonaccrual Loans | 1,505 | 933 |
Commercial | 30 - 59 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 12 | 29 |
Commercial | 60 - 89 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Commercial | 90 Days or More Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 168 | 0 |
Total Current | 17,287 | 6,172 |
Total Loans | 17,455 | 6,172 |
90 Days or More Past Due and Accruing | 0 | 0 |
Nonaccrual Loans | 62 | 0 |
Consumer | 30 - 59 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 63 | 0 |
Consumer | 60 - 89 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 45 | 0 |
Consumer | 90 Days or More Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 60 | $ 0 |
LOANS - Impaired loans by portf
LOANS - Impaired loans by portfolio segment (Details 3) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
With no related allowance recorded: | ||
Recorded Investment | $ 12,229 | $ 3,177 |
Unpaid Principal Balance | 13,745 | 3,177 |
Average Recorded Investment | 7,028 | 3,967 |
Interest Income Recognized | 213 | 250 |
With an allowance recorded: | ||
Recorded Investment | 0 | 861 |
Unpaid Principal Balance | 0 | 861 |
Related Allowance | 0 | 46 |
Average Recorded Investment | 0 | 886 |
Interest Income Recognized | 0 | 0 |
Loans With And Without Specific Valuation Allowance [Abstract] | ||
Recorded Investment | 12,229 | 4,038 |
Unpaid Principal Balance | 13,745 | 4,038 |
Related Allowance | 0 | 46 |
Average Recorded Investment | 7,028 | 4,853 |
Interest Income Recognized | 213 | 250 |
Real estate | Commercial | ||
With no related allowance recorded: | ||
Recorded Investment | 8,623 | 1,956 |
Unpaid Principal Balance | 10,139 | 1,956 |
Average Recorded Investment | 4,562 | 2,744 |
Interest Income Recognized | 70 | 188 |
With an allowance recorded: | ||
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
Loans With And Without Specific Valuation Allowance [Abstract] | ||
Recorded Investment | 8,623 | 1,956 |
Unpaid Principal Balance | 10,139 | 1,956 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 4,562 | 2,744 |
Interest Income Recognized | 70 | 188 |
Real estate | Residential | ||
With no related allowance recorded: | ||
Recorded Investment | 404 | 422 |
Unpaid Principal Balance | 404 | 422 |
Average Recorded Investment | 412 | 429 |
Interest Income Recognized | 20 | 20 |
With an allowance recorded: | ||
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
Loans With And Without Specific Valuation Allowance [Abstract] | ||
Recorded Investment | 404 | 422 |
Unpaid Principal Balance | 404 | 422 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 412 | 429 |
Interest Income Recognized | 20 | 20 |
Real estate | Construction and land development | ||
With no related allowance recorded: | ||
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
With an allowance recorded: | ||
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
Loans With And Without Specific Valuation Allowance [Abstract] | ||
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
Commercial | ||
With no related allowance recorded: | ||
Recorded Investment | 3,202 | 799 |
Unpaid Principal Balance | 3,202 | 799 |
Average Recorded Investment | 2,054 | 794 |
Interest Income Recognized | 123 | 42 |
With an allowance recorded: | ||
Recorded Investment | 0 | 861 |
Unpaid Principal Balance | 0 | 861 |
Related Allowance | 0 | 46 |
Average Recorded Investment | 0 | 886 |
Interest Income Recognized | 0 | 0 |
Loans With And Without Specific Valuation Allowance [Abstract] | ||
Recorded Investment | 3,202 | 1,660 |
Unpaid Principal Balance | 3,202 | 1,660 |
Related Allowance | 0 | 46 |
Average Recorded Investment | 2,054 | 1,680 |
Interest Income Recognized | 123 | 42 |
Consumer | ||
With no related allowance recorded: | ||
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
With an allowance recorded: | ||
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
Loans With And Without Specific Valuation Allowance [Abstract] | ||
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | $ 0 | $ 0 |
LOANS - Troubled debt restructu
LOANS - Troubled debt restructurings (Details 4) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($)Debt | Dec. 31, 2016USD ($)Debt | |
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | Debt | 1 | 1 |
Pre- Modification Outstanding Recorded Investment | $ 249 | $ 58 |
Post-Modification Outstanding Recorded Investment | $ 249 | $ 58 |
Commercial | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | Debt | 1 | 1 |
Pre- Modification Outstanding Recorded Investment | $ 249 | $ 58 |
Post-Modification Outstanding Recorded Investment | $ 249 | $ 58 |
LOANS - Loans by risk rating an
LOANS - Loans by risk rating and portfolio segment (Details 5) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | $ 752,740 | $ 633,442 |
Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 635,641 | 525,179 |
Special mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 16,007 | 6,139 |
Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 16,592 | 19,831 |
Not formally rated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 84,500 | 82,293 |
Real estate | Commercial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 371,510 | 336,102 |
Real estate | Commercial | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 355,623 | 319,712 |
Real estate | Commercial | Special mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 6,852 | 4,471 |
Real estate | Commercial | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 9,035 | 11,919 |
Real estate | Commercial | Not formally rated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 0 | 0 |
Real estate | Residential | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 67,724 | 76,850 |
Real estate | Residential | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 0 | 0 |
Real estate | Residential | Special mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 0 | 0 |
Real estate | Residential | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 679 | 729 |
Real estate | Residential | Not formally rated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 67,045 | 76,121 |
Real estate | Construction and land development | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 55,828 | 48,161 |
Real estate | Construction and land development | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 55,828 | 48,161 |
Real estate | Construction and land development | Special mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 0 | 0 |
Real estate | Construction and land development | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 0 | 0 |
Real estate | Construction and land development | Not formally rated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 0 | 0 |
Commercial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 240,223 | 166,157 |
Commercial | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 224,190 | 157,306 |
Commercial | Special mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 9,155 | 1,668 |
Commercial | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 6,878 | 7,183 |
Commercial | Not formally rated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 0 | 0 |
Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 17,455 | 6,172 |
Consumer | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 0 | 0 |
Consumer | Special mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 0 | 0 |
Consumer | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | 0 | 0 |
Consumer | Not formally rated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Total Loans | $ 17,455 | $ 6,172 |
LOANS (Details Textuals)
LOANS (Details Textuals) | 12 Months Ended | |
Dec. 31, 2017USD ($)Loan | Dec. 31, 2016USD ($)Loan | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Aggregate principal balance pledged to secure possible borrowings | $ 357,100,000 | $ 250,700,000 |
Due from trustees and executive officers | 22,300,000 | 7,700,000 |
Advances | 18,800,000 | 271,000 |
Principal payments | $ 4,400,000 | $ 1,300,000 |
Number of troubled debt restructures approved | Loan | 1 | 1 |
Troubled debt restructuring, total | $ 249,000 | $ 58,000 |
Re-amortization term of commercial loan | 3 years | 5 years |
Unpaid principal balance | $ 13,745,000 | $ 4,038,000 |
Mortgage and other loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Unpaid principal balance | $ 15,600,000 | $ 11,200,000 |
PREMISES AND EQUIPMENT - Summar
PREMISES AND EQUIPMENT - Summary of premises and equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 20,555 | $ 20,398 |
Accumulated depreciation and amortization | (9,574) | (8,811) |
Premises and equipment, net | 10,981 | 11,587 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 2,424 | 2,424 |
Buildings and leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 9,241 | 9,241 |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 4,649 | 4,499 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 4,241 | $ 4,234 |
PREMISES AND EQUIPMENT (Detail
PREMISES AND EQUIPMENT (Detail Textuals) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation and amortization | $ 811 | $ 832 |
DEPOSITS - Summary of deposit b
DEPOSITS - Summary of deposit balances by type (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Deposits [Abstract] | ||
NOW and demand | $ 309,514 | $ 280,773 |
Regular savings | 112,610 | 111,016 |
Money market deposits | 225,735 | 145,321 |
Total non-certificate accounts | 647,859 | 537,110 |
Certificate accounts of $250,000 or more | 5,061 | 3,437 |
Certificate accounts less than $250,000 | 97,137 | 87,435 |
Total certificate accounts | 102,198 | 90,872 |
Total deposits | $ 750,057 | $ 627,982 |
DEPOSITS - Scheduled maturities
DEPOSITS - Scheduled maturities for time deposits (Details 1) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Deposits [Abstract] | ||
2,017 | $ 0 | $ 69,775 |
2,018 | 81,791 | 17,230 |
2,019 | 16,105 | 1,414 |
2,020 | 3,052 | 1,663 |
2,021 | 410 | 790 |
2,022 | 840 | 0 |
Total | $ 102,198 | $ 90,872 |
DEPOSITS (Detail Textuals)
DEPOSITS (Detail Textuals) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Deposits [Abstract] | ||
Brokered certificates of deposit | $ 62.3 | $ 49.3 |
Deposits from related parties held | $ 16 | $ 3.6 |
FEDERAL HOME LOAN BANK ADVANC62
FEDERAL HOME LOAN BANK ADVANCES - Maturities of advances from FHLB (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Advances from Federal Home Loan Banks [Abstract] | ||
2,017 | $ 35,000 | |
2,018 | $ 12,000 | 5,000 |
2,019 | 4,936 | |
2,020 | 6,405 | 6,358 |
2,021 | 0 | 0 |
2,022 | 0 | 0 |
Thereafter | 3,500 | 3,500 |
Total | $ 26,841 | $ 49,858 |
FEDERAL HOME LOAN BANK ADVANC63
FEDERAL HOME LOAN BANK ADVANCES (Detail Textuals) - Federal Home Loan Bank Advances - USD ($) $ in Thousands | Dec. 31, 2017 | May 31, 2017 | Aug. 31, 2015 |
Federal Home Loan Bank, Advances [Line Items] | |||
Modified FHLB borrowings | $ 5,000 | $ 3,500 | |
Prepayment penalty | $ 87,000 | $ 233,000 | |
Minimum | |||
Federal Home Loan Bank, Advances [Line Items] | |||
Interest rates on FHLB advances ranged from | 1.01% | ||
Maximum | |||
Federal Home Loan Bank, Advances [Line Items] | |||
Interest rates on FHLB advances ranged from | 2.01% | ||
Weighted average | |||
Federal Home Loan Bank, Advances [Line Items] | |||
Interest rates on FHLB advances ranged from | 1.52% |
INCOME TAXES - Components of in
INCOME TAXES - Components of income tax expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current tax expense (benefit): | ||||||||||
Federal | $ 5,044 | $ 2,780 | ||||||||
State | 1,079 | 653 | ||||||||
Net operating loss carryforward | (14) | (14) | ||||||||
Current tax expense (benefit), total | 6,109 | 3,419 | ||||||||
Deferred tax expense (benefit): | ||||||||||
Federal | 1,523 | (302) | ||||||||
State | (214) | (92) | ||||||||
Deferred tax expense (benefit), total | 1,309 | (394) | ||||||||
Income tax expense | $ 4,498 | $ 1,434 | $ 639 | $ 847 | $ 730 | $ 940 | $ 659 | $ 696 | $ 7,418 | $ 3,025 |
INCOME TAXES - Differences betw
INCOME TAXES - Differences between statutory federal income tax rate and effective tax rates (Details 1) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | ||
Federal income tax at statutory rate | 34.00% | 34.00% |
Increase (decrease) in tax resulting from: | ||
State tax, net of federal tax benefit | 4.60% | 4.60% |
Tax exempt income and dividends received deduction | (3.30%) | (4.80%) |
Change in enacted federal tax rate | 13.40% | 0.00% |
Gain on donated securities | 0.00% | (0.10%) |
Other | (0.30%) | (1.40%) |
Effective tax rate | 48.40% | 32.30% |
INCOME TAXES - Gross deferred t
INCOME TAXES - Gross deferred tax assets and gross deferred tax liabilities (Details 2) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets: | ||
Allowance for loan losses | $ 2,743 | $ 3,431 |
Depreciation | 41 | 0 |
Net operating loss carryforward | 25 | 54 |
Employee benefit plans and share-based compensation plans | 1,979 | 2,406 |
Deferred loan fees, net | 238 | 174 |
Reserve for unfunded commitments | 39 | 54 |
Other | 140 | 56 |
Writedown of securities | 0 | 235 |
Charitable contribution carryover | 0 | 297 |
Gross deferred tax assets | 5,205 | 6,707 |
Deferred tax liabilities: | ||
Depreciation | 0 | (145) |
Prepaid expenses | (64) | 0 |
FHLB restructure fees | (52) | (67) |
Net unrealized holding gain on securities | (169) | (1,582) |
Gross deferred tax liabilities | (285) | (1,794) |
Net deferred tax asset | $ 4,920 | $ 4,913 |
INCOME TAXES (Detail Textuals)
INCOME TAXES (Detail Textuals) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
US corporate income tax rate | 34.00% | 34.00% |
Corporate income tax rate effective in 2018 | 21.00% | |
Impact of rate reduction a decrease in net deferred tax asset | $ 2,000,000 | |
Deferred taxes includes unrealized gains and losses | 97,000 | |
Adjustment to deferred taxes resulted in a disproportionate tax effect | 97,000 | |
Federal net operating loss carryovers | 118,000 | |
Annual operating loss carryforwards | $ 42,000 | |
Maximum | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
US corporate income tax rate | 35.00% | |
New accounting pronouncement | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Reclassified from retained earnings to accumulated other comprehensive income | $ 97,000 |
EMPLOYEE BENEFITS & SHARE-BAS68
EMPLOYEE BENEFITS & SHARE-BASED COMPENSATION PLANS - Shares held by ESOP (Details) - shares | Dec. 31, 2017 | Dec. 31, 2016 |
Shares held by the ESOP include the following: | ||
Allocated | 47,620 | 23,810 |
Committed to be allocated | 23,810 | 23,810 |
Unallocated | 285,722 | 309,532 |
Total | 357,152 | 357,152 |
EMPLOYEE BENEFITS & SHARE-BAS69
EMPLOYEE BENEFITS & SHARE-BASED COMPENSATION PLANS (Details 1) - $ / shares | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||
Vesting period (years) | 5 years | 5 years |
Expiration date (years) | 10 years | 10 years |
Expected volatility | 21.53% | 20.80% |
Expected life (years) | 7 years 6 months | 7 years 6 months |
Expected dividend yield | 0.00% | 0.00% |
Risk free interest rate | 2.25% | 2.12% |
Fair value per option | $ 7.05 | $ 5.03 |
EMPLOYEE BENEFITS & SHARE-BAS70
EMPLOYEE BENEFITS & SHARE-BASED COMPENSATION PLANS (Details 2) - Stock option $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($)$ / sharesshares | |
Stock Option Awards | |
Outstanding at January 1, 2017 | shares | 384,268 |
Granted | shares | 12,175 |
Outstanding at December 31, 2017 | shares | 396,443 |
Outstanding and expected to vest at December 31, 2017 | shares | 396,443 |
Vested and Exercisable at December 31, 2017 | shares | 76,854 |
Unrecognized compensation cost | $ | $ 1,582,000 |
Weighted average remaining recognition period (years) | 3 years 11 months 1 day |
Weighted Average Exercise Price | |
Outstanding at January 1, 2017 | $ / shares | $ 17.40 |
Granted | $ / shares | 23.50 |
Outstanding at December 31, 2017 | $ / shares | 17.61 |
Outstanding and expected to vest at December 31, 2017 | $ / shares | 17.59 |
Vested and Exercisable at December 31, 2017 | $ / shares | $ 17.40 |
Weighted Average Remaining Contractual Term (years) | |
Outstanding at December 31, 2017 | 8 years 11 months 1 day |
Outstanding and expected to vest at December 31, 2017 | 8 years 11 months 1 day |
Vested and Exercisable at December 31, 2017 | 8 years 10 months 17 days |
Aggregate Intrinsic Value | |
Outstanding at December 31, 2017 | $ | $ 3,514,000 |
Outstanding and expected to vest at December 31, 2017 | $ | 3,514,000 |
Vested and Exercisable at December 31, 2017 | $ | $ 696,000 |
EMPLOYEE BENEFITS & SHARE-BAS71
EMPLOYEE BENEFITS & SHARE-BASED COMPENSATION PLANS (Details 3) - Restricted stock $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($)$ / sharesshares | |
Number of Shares | |
Unvested restricted stock awards at January 1, 2017 | shares | 153,726 |
Granted | shares | 4,871 |
Vested | shares | (30,745) |
Unvested restricted stock awards at December 31, 2017 | shares | 127,852 |
Unrecognized compensation cost | $ | $ 2,186,000 |
Weighted average remaining recognition period (years) | 3 years 11 months 1 day |
Weighted Average Grant Price | |
Unvested restricted stock awards at January 1, 2017 | $ / shares | $ 17.40 |
Granted | $ / shares | 23.50 |
Vested | $ / shares | 17.40 |
Unvested restricted stock awards at December 31, 2017 | $ / shares | $ 17.59 |
EMPLOYEE BENEFITS & SHARE-BAS72
EMPLOYEE BENEFITS & SHARE-BASED COMPENSATION PLANS (Detail Textuals) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Vesting period (years) | 5 years | 5 years |
Expiration date (years) | 10 years | 10 years |
Number of shares purchased | 357,152 | 357,152 |
Number of shares committed to be released per year through 2029 | 23,810 | |
Share price | $ 10 | |
Restricted stock | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Shares reserved for future issuance | 178,575 | |
Vesting period (years) | 5 years | |
Share based compensation expenses | $ 538,000 | $ 66,000 |
Stock option | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Shares reserved for future issuance | 446,440 | |
Expiration date (years) | 10 years | |
Share based compensation expenses | $ 388,000 | 47,000 |
Supplemental Executive Retirement Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Liability for retirement benefits | 5,600,000 | 4,400,000 |
Expense recognized for benefits | $ 1,200,000 | 947,000 |
401(k) Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Employer matching contribution, percent of match | 100.00% | |
Employee contributions | 6.00% | |
Percent of Employees' Gross Pay contribution | 75.00% | |
Expense recognized | $ 440,000 | $ 401,000 |
Employee Stock Ownership Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Number of shares purchased | 357,152 | |
Share price | $ 10 | |
ESOP payable term | 15 years | |
ESOP prime rate percentage | 4.50% |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Earnings Per Share [Abstract] | ||||||||||
Net income attributable to common shareholders | $ 7,915 | $ 6,339 | ||||||||
Average number of common shares outstanding | 9,652,448 | 9,498,722 | ||||||||
Less: | ||||||||||
Average unallocated ESOP shares | (298,680) | (322,338) | ||||||||
Average unvested restricted stock | (136,986) | |||||||||
Average treasury stock acquired | (17,508) | |||||||||
Average number of common shares outstanding to calculate basic earnings per common share | 9,208,854 | 9,201,634 | 9,193,836 | 9,192,568 | 9,185,285 | 9,179,269 | 9,173,317 | 9,167,364 | 9,199,274 | 9,176,384 |
Effect of dilutive unvested restricted stock and stock option awards | 613 | 0 | ||||||||
Average number of common shares outstanding to calculate diluted earnings per common share | 9,257,702 | 9,213,056 | 9,198,286 | 9,192,568 | 9,185,285 | 9,179,269 | 9,173,317 | 9,167,364 | 9,199,887 | 9,176,384 |
Earnings per common share: | ||||||||||
Basic (in dollars per share) | $ 0.19 | $ 0.30 | $ 0.17 | $ 0.20 | $ 0.19 | $ 0.19 | $ 0.15 | $ 0.16 | $ 0.86 | $ 0.69 |
Diluted (in dollars per share) | $ 0.19 | $ 0.30 | $ 0.17 | $ 0.20 | $ 0.19 | $ 0.19 | $ 0.15 | $ 0.16 | $ 0.86 | $ 0.69 |
REGULATORY MATTERS - Bank's act
REGULATORY MATTERS - Bank's actual capital amounts and ratios (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Banking and Thrift [Abstract] | ||
Total Capital to Risk-Weighted Assets, Actual Capital, Amount | $ 116,869 | $ 107,731 |
Total Capital to Risk-Weighted Assets, Actual Capital, Ratio | 14.96% | 15.88% |
Total Capital to Risk-Weighted Assets, For Capital Adequacy Purposes, Amount | $ 62,514 | $ 54,272 |
Total Capital to Risk-Weighted Assets, For Capital Adequacy Purposes, Ratio | 8.00% | 8.00% |
Total Capital to Risk-Weighted Assets, To be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 78,142 | $ 67,840 |
Total Capital to Risk-Weighted Assets, To be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 10.00% | 10.00% |
Tier I Capital to Risk-Weighted Assets, Actual Capital, Amount | $ 107,112 | $ 97,750 |
Tier I Capital to Risk-Weighted Assets, Actual Capital, Ratio | 13.71% | 14.41% |
Tier I Capital to Risk-Weighted Assets, For Capital Adequacy Purposes, Amount | $ 46,885 | $ 40,704 |
Tier I Capital to Risk-Weighted Assets, For Capital Adequacy Purposes, Ratio | 6.00% | 6.00% |
Tier I Capital to Risk-Weighted Assets, To be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 62,514 | $ 54,272 |
Tier I Capital to Risk-Weighted AssetsTo be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 8.00% | 8.00% |
Common Equity Tier 1 Capital to Risk-Weighted Assets, Actual Capital, Amount | $ 107,112 | $ 97,750 |
Common Equity Tier 1 Capital to Risk-Weighted Assets, Actual Capital, Ratio | 13.71% | 14.41% |
Common Equity Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Purposes, Amount | $ 35,164 | $ 30,528 |
Common Equity Tier 1 Capital to Risk-Weighted Assets, For Capital Adequacy Purposes, Ratio | 4.50% | 4.50% |
Common Equity Tier 1 Capital to Risk-Weighted Assets, To be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 50,792 | $ 44,096 |
Common Equity Tier 1 Capital to Risk-Weighted Assets, To be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 6.50% | 6.50% |
Tier I Capital to Average Assets, Actual Capital, Amount | $ 107,112 | $ 97,750 |
Tier I Capital to Average Assets, Actual Capital, Ratio | 11.80% | 12.59% |
Tier I Capital to Average Assets, For Capital Adequacy Purposes, Amount | $ 36,299 | $ 31,058 |
Tier I Capital to Average Assets, For Capital Adequacy Purposes, Ratio | 4.00% | 4.00% |
Tier I Capital to Average Assets, To be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 45,374 | $ 38,822 |
Tier I Capital to Average Assets, To be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 5.00% | 5.00% |
COMMITMENTS AND CONTINGENT LI75
COMMITMENTS AND CONTINGENT LIABILITIES - Total minimum rental due in future periods (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2,018 | $ 302 |
2,019 | 293 |
2,020 | 245 |
2,021 | 252 |
2,022 | 252 |
Years thereafter | 1,846 |
Total minimum lease payments | $ 3,190 |
COMMITMENTS AND CONTINGENT LI76
COMMITMENTS AND CONTINGENT LIABILITIES (Detail Textuals) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Rental expense | $ 349,000 | $ 322,000 |
FINANCIAL INSTRUMENTS - Notiona
FINANCIAL INSTRUMENTS - Notional amounts of financial instrument with off-balance sheet credit risk (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Notional amounts of financial instrument with off-balance sheet credit risk | $ 186,959 | $ 232,559 |
Commitments to originate loans | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Notional amounts of financial instrument with off-balance sheet credit risk | 18,641 | 25,363 |
Letters of credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Notional amounts of financial instrument with off-balance sheet credit risk | 2,004 | 5,164 |
Unadvanced portions of loans | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Notional amounts of financial instrument with off-balance sheet credit risk | $ 166,314 | $ 202,032 |
FINANCIAL INSTRUMENTS (Detail T
FINANCIAL INSTRUMENTS (Detail Textuals) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Financial and standby letters of credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Maximum potential amount of obligation | $ 2 | $ 5.2 |
FAIR VALUE MEASUREMENTS - Finan
FAIR VALUE MEASUREMENTS - Financial instruments measured at fair value on recurring basis (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | $ 61,429 | $ 117,867 |
State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 21,454 | 50,580 |
Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 1,031 | |
Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 7,517 | 8,678 |
Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 32,458 | 41,914 |
Trust preferred securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 968 | |
Fair Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 61,429 | 117,867 |
Quoted Prices in Active Markets for Identical Assets Level 1 | Fair Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | 14,696 |
Significant Other Observable Inputs Level 2 | Fair Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 61,429 | 102,203 |
Significant Unobservable Inputs Level 3 | Fair Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | 968 |
Recurring basis | Fair Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 61,429 | 117,867 |
Recurring basis | Fair Value | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 21,454 | 50,580 |
Recurring basis | Fair Value | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 1,031 | |
Recurring basis | Fair Value | Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 7,517 | 8,678 |
Recurring basis | Fair Value | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 32,458 | 41,914 |
Recurring basis | Fair Value | Trust preferred securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 968 | |
Recurring basis | Fair Value | Marketable equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 14,696 | |
Recurring basis | Quoted Prices in Active Markets for Identical Assets Level 1 | Fair Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | 14,696 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets Level 1 | Fair Value | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets Level 1 | Fair Value | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | |
Recurring basis | Quoted Prices in Active Markets for Identical Assets Level 1 | Fair Value | Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets Level 1 | Fair Value | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets Level 1 | Fair Value | Trust preferred securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | |
Recurring basis | Quoted Prices in Active Markets for Identical Assets Level 1 | Fair Value | Marketable equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 14,696 | |
Recurring basis | Significant Other Observable Inputs Level 2 | Fair Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 61,429 | 102,203 |
Recurring basis | Significant Other Observable Inputs Level 2 | Fair Value | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 21,454 | 50,580 |
Recurring basis | Significant Other Observable Inputs Level 2 | Fair Value | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 1,031 | |
Recurring basis | Significant Other Observable Inputs Level 2 | Fair Value | Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 7,517 | 8,678 |
Recurring basis | Significant Other Observable Inputs Level 2 | Fair Value | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 32,458 | 41,914 |
Recurring basis | Significant Other Observable Inputs Level 2 | Fair Value | Trust preferred securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | |
Recurring basis | Significant Other Observable Inputs Level 2 | Fair Value | Marketable equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | |
Recurring basis | Significant Unobservable Inputs Level 3 | Fair Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | 968 |
Recurring basis | Significant Unobservable Inputs Level 3 | Fair Value | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | 0 |
Recurring basis | Significant Unobservable Inputs Level 3 | Fair Value | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | |
Recurring basis | Significant Unobservable Inputs Level 3 | Fair Value | Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 0 | 0 |
Recurring basis | Significant Unobservable Inputs Level 3 | Fair Value | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | $ 0 | 0 |
Recurring basis | Significant Unobservable Inputs Level 3 | Fair Value | Trust preferred securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | 968 | |
Recurring basis | Significant Unobservable Inputs Level 3 | Fair Value | Marketable equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Totals | $ 0 |
FAIR VALUE MEASUREMENTS - Activ
FAIR VALUE MEASUREMENTS - Activity for Level 3 financial instruments measured at fair value on recurring basis (Details 1) - Recurring basis - Fair Value Level 3 - Fair Value - Available-for-Sale Securities - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance beginning | $ 968 | $ 1,116 |
Total gains or (losses) (realized/unrealized) | (180) | 0 |
Included in earnings | 0 | 0 |
Included in other comprehensive income | 0 | (148) |
Paydowns | (788) | 0 |
Ending balance | $ 0 | $ 968 |
FAIR VALUE MEASUREMENTS - Fair
FAIR VALUE MEASUREMENTS - Fair Values of Financial Instruments Measured on Nonrecurring Basis (Details 2) - Nonrecurring basis - Fair Value - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 3,670 | $ 815 |
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 |
Significant Other Observable Inputs Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Significant Unobservable Inputs Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 3,670 | $ 815 |
FAIR VALUE MEASUREMENTS - Valua
FAIR VALUE MEASUREMENTS - Valuation methodology and unobservable inputs for Level 3 assets (Details 3) - Nonrecurring basis - Fair Value - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Impaired loans, Fair Value | $ 3,670 | $ 815 |
Fair Value Level 3 | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Impaired loans, Fair Value | $ 3,670 | $ 815 |
Valuation Technique | Real estate appraisals | Business valuation |
Unobservable Input | Discount for dated appraisals | Comparable company valuations |
Range (Weighted Average) | 0.00% | |
Minimum | Fair Value Level 3 | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Range (Weighted Average) | 6.00% | |
Maximum | Fair Value Level 3 | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Range (Weighted Average) | 10.00% |
DISCLOSURES ABOUT FAIR VALUES83
DISCLOSURES ABOUT FAIR VALUES OF FINANCIAL INSTRUMENTS - Carrying amounts and estimated fair values (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Financial assets: | |||
Cash and cash equivalents | $ 47,689 | $ 10,705 | $ 20,464 |
Available-for-sale securities | 61,429 | 117,867 | |
Federal Home Loan Bank of Boston stock | 1,854 | 2,787 | |
Accrued interest receivable | 2,345 | 2,320 | |
Carrying Amount | |||
Financial assets: | |||
Cash and cash equivalents | 47,689 | 10,705 | |
Available-for-sale securities | 61,429 | 117,867 | |
Federal Home Loan Bank of Boston stock | 1,854 | 2,787 | |
Loans, net | 742,138 | 624,425 | |
Accrued interest receivable | 2,345 | 2,320 | |
Financial liabilities: | |||
Deposits | 750,057 | 627,982 | |
Federal Home Loan Bank advances | 26,841 | 49,858 | |
Fair Value | |||
Financial assets: | |||
Cash and cash equivalents | 47,689 | 10,705 | |
Available-for-sale securities | 61,429 | 117,867 | |
Federal Home Loan Bank of Boston stock | 1,854 | 2,787 | |
Loans, net | 745,637 | 632,278 | |
Accrued interest receivable | 2,345 | 2,320 | |
Financial liabilities: | |||
Deposits | 749,898 | 628,060 | |
Federal Home Loan Bank advances | 26,655 | 49,901 | |
Fair Value | Fair Value Level 1 | |||
Financial assets: | |||
Cash and cash equivalents | 47,689 | 10,705 | |
Available-for-sale securities | 0 | 14,696 | |
Federal Home Loan Bank of Boston stock | 1,854 | 2,787 | |
Loans, net | 0 | 0 | |
Accrued interest receivable | 0 | 0 | |
Financial liabilities: | |||
Deposits | 0 | 0 | |
Federal Home Loan Bank advances | 0 | 0 | |
Fair Value | Fair Value Level 2 | |||
Financial assets: | |||
Cash and cash equivalents | 0 | 0 | |
Available-for-sale securities | 61,429 | 102,203 | |
Federal Home Loan Bank of Boston stock | 0 | 0 | |
Loans, net | 0 | 0 | |
Accrued interest receivable | 2,345 | 2,320 | |
Financial liabilities: | |||
Deposits | 0 | 0 | |
Federal Home Loan Bank advances | 26,655 | 49,901 | |
Fair Value | Fair Value Level 3 | |||
Financial assets: | |||
Cash and cash equivalents | 0 | 0 | |
Available-for-sale securities | 0 | 968 | |
Federal Home Loan Bank of Boston stock | 0 | 0 | |
Loans, net | 745,637 | 632,278 | |
Accrued interest receivable | 0 | 0 | |
Financial liabilities: | |||
Deposits | 749,898 | 628,060 | |
Federal Home Loan Bank advances | $ 0 | $ 0 |
CONDENSED FINANCIAL STATEMENT84
CONDENSED FINANCIAL STATEMENTS OF PARENT ONLY - Parent Only Balance Sheet (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Assets | |||
Cash and due from banks | $ 10,326 | $ 7,939 | |
Other assets | 2,083 | 1,544 | |
Total assets | 902,265 | 795,543 | |
Liabilities and Shareholders' Equity | |||
Shareholders' equity | 115,777 | 109,149 | $ 101,406 |
Total liabilities and shareholders' equity | 902,265 | 795,543 | |
PROVIDENT BANCORP, INC. | |||
Assets | |||
Cash and due from banks | 5,224 | 5,659 | |
Investment in common stock of The Provident Bank | 107,629 | 100,426 | |
Other assets | 2,946 | 3,138 | |
Total assets | 115,799 | 109,223 | |
Liabilities and Shareholders' Equity | |||
Accrued expenses | 22 | 73 | |
Shareholders' equity | 115,777 | 109,150 | |
Total liabilities and shareholders' equity | $ 115,799 | $ 109,223 |
CONDENSED FINANCIAL STATEMENT85
CONDENSED FINANCIAL STATEMENTS OF PARENT ONLY - Parent Only Income Statement (Details 1) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Condensed Income Statements, Captions [Line Items] | ||||||||||
Total income | $ 100 | $ 33 | ||||||||
Applicable income tax provision | $ 4,498 | $ 1,434 | $ 639 | $ 847 | $ 730 | $ 940 | $ 659 | $ 696 | 7,418 | 3,025 |
Net income | $ 1,741 | $ 2,771 | $ 1,601 | $ 1,802 | $ 1,728 | $ 1,761 | $ 1,363 | $ 1,487 | 7,915 | 6,339 |
PROVIDENT BANCORP, INC. | ||||||||||
Condensed Income Statements, Captions [Line Items] | ||||||||||
Total income | 120 | 4,549 | ||||||||
Operating expenses | 88 | 95 | ||||||||
Income before income taxes and equity in undistributed net income of The Provident Bank | 32 | 4,454 | ||||||||
Applicable income tax provision | 13 | 8 | ||||||||
Income before equity in income of subsidiaries | 19 | 4,446 | ||||||||
Equity in undistributed net income of The Provident Bank | 7,896 | 1,893 | ||||||||
Net income | $ 7,915 | $ 6,339 |
CONDENSED FINANCIAL STATEMENT86
CONDENSED FINANCIAL STATEMENTS OF PARENT ONLY - Parent Only Statement of Cash Flows (Details 2) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | ||||||||||
Net income | $ 1,741 | $ 2,771 | $ 1,601 | $ 1,802 | $ 1,728 | $ 1,761 | $ 1,363 | $ 1,487 | $ 7,915 | $ 6,339 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||||||||||
Decrease in other assets | 539 | 163 | ||||||||
(Decrease) increase in other liabilities | 1,036 | 1,221 | ||||||||
Net cash provided by operating activities | 9,476 | 8,608 | ||||||||
Cash flows from financing activities: | ||||||||||
Purchase of treasury stock | (594) | 0 | ||||||||
Net cash used in financing activities | 98,464 | 43,182 | ||||||||
Net (decrease) increase in cash and cash equivalents | 36,984 | (9,759) | ||||||||
Cash and cash equivalents at beginning of year | 10,705 | 20,464 | 10,705 | 20,464 | ||||||
Cash and cash equivalents at end of year | 47,689 | 10,705 | 47,689 | 10,705 | ||||||
PROVIDENT BANCORP, INC. | ||||||||||
Cash flows from operating activities: | ||||||||||
Net income | 7,915 | 6,339 | ||||||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||||||||||
Equity in undistributed earnings of subsidiaries | (7,896) | (1,893) | ||||||||
Decrease in other assets | 191 | 200 | ||||||||
(Decrease) increase in other liabilities | (51) | 52 | ||||||||
Net cash provided by operating activities | 159 | 4,698 | ||||||||
Cash flows from financing activities: | ||||||||||
Purchase of treasury stock | (594) | 0 | ||||||||
Net cash used in financing activities | (594) | 0 | ||||||||
Net (decrease) increase in cash and cash equivalents | (435) | 4,698 | ||||||||
Cash and cash equivalents at beginning of year | $ 5,659 | $ 961 | 5,659 | 961 | ||||||
Cash and cash equivalents at end of year | $ 5,224 | $ 5,659 | $ 5,224 | $ 5,659 |
SELECTED QUARTERLY FINANCIAL 87
SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | ||||||||||
Interest and dividend income | $ 9,615 | $ 9,239 | $ 8,816 | $ 8,112 | $ 7,462 | $ 7,426 | $ 7,026 | $ 6,980 | $ 35,782 | $ 28,894 |
Interest expense | 1,062 | 1,005 | 879 | 781 | 694 | 713 | 681 | 697 | 3,726 | 2,785 |
Net interest and dividend income | 8,553 | 8,234 | 7,937 | 7,331 | 6,768 | 6,713 | 6,345 | 6,283 | 32,056 | 26,109 |
Provision for loan losses | 462 | 1,012 | 892 | 563 | 219 | 163 | 210 | 111 | 2,929 | 703 |
Gain on sales of securities, net | 3,521 | 1,851 | 58 | 482 | 215 | 438 | 17 | 20 | 5,912 | 690 |
Other income | 966 | 1,046 | 1,012 | 1,020 | 955 | 925 | 950 | 915 | 87 | 92 |
Total noninterest income | 4,487 | 2,897 | 1,070 | 1,502 | 1,170 | 1,363 | 967 | 935 | 9,955 | 4,435 |
Total noninterest expense | 6,339 | 5,914 | 5,875 | 5,621 | 5,261 | 5,212 | 5,080 | 4,924 | 23,749 | 20,477 |
Income tax expense | 4,498 | 1,434 | 639 | 847 | 730 | 940 | 659 | 696 | 7,418 | 3,025 |
Net income | $ 1,741 | $ 2,771 | $ 1,601 | $ 1,802 | $ 1,728 | $ 1,761 | $ 1,363 | $ 1,487 | $ 7,915 | $ 6,339 |
Income (loss) per share: | ||||||||||
Basic (in dollars per share) | $ 0.19 | $ 0.30 | $ 0.17 | $ 0.20 | $ 0.19 | $ 0.19 | $ 0.15 | $ 0.16 | $ 0.86 | $ 0.69 |
Diluted (in dollars per share) | $ 0.19 | $ 0.30 | $ 0.17 | $ 0.20 | $ 0.19 | $ 0.19 | $ 0.15 | $ 0.16 | $ 0.86 | $ 0.69 |
Weighted Average Shares: | ||||||||||
Basic (in shares) | 9,208,854 | 9,201,634 | 9,193,836 | 9,192,568 | 9,185,285 | 9,179,269 | 9,173,317 | 9,167,364 | 9,199,274 | 9,176,384 |
Diluted (in shares) | 9,257,702 | 9,213,056 | 9,198,286 | 9,192,568 | 9,185,285 | 9,179,269 | 9,173,317 | 9,167,364 | 9,199,887 | 9,176,384 |