Meridian (MRBK) 10-K 16 Mar 23 2022 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2022	Mar. 10, 2023	Jun. 30, 2022
Cover [Abstract]
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2022
Document Transition Report	false
Entity File Number	000-55983
Entity Incorporation, State or Country Code	PA
Entity Tax Identification Number	83-1561918
Entity Address, Address Line One	9 Old Lincoln Highway
Entity Address, City or Town	Malvern
Entity Address, State or Province	PA
Entity Address, Postal Zip Code	19355
City Area Code	484
Local Phone Number	568-5000
Title of 12(b) Security	Common Stock, par value $1 per share
Trading Symbol	MRBK
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
ICFR Auditor Attestation Flag	true
Entity Shell Company	false
Entity Public Float			$ 156,634,880
Entity Common Stock, Shares Outstanding		11,388,104
Documents Incorporated by Reference	Portions of the registrant’s definitive Proxy Statement for the 2023 Annual Meeting of Stockholders, are incorporated by reference into Part III of this Annual Report on Form 10-K.
Entity Registrant Name	Meridian Corp
Entity Central Index Key	0001750735
Amendment Flag	false
Document Fiscal Year Focus	2022
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	FY

Audit Information

Audit Information	12 Months Ended
	Dec. 31, 2022
Audit Information [Abstract]
Auditor Name	Crowe LLP
Auditor Location	Washington, D.C.
Auditor Firm ID	173

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Assets:
Cash and due from banks	$ 11,299	$ 3,966
Interest-bearing deposits at other banks	27,092	19,514
Cash and cash equivalents	38,391	23,480
Securities available-for-sale, at fair value (amortized cost of $148,976 and $158,387, respectively)	135,346	159,302
Securities held-to-maturity, at amortized cost (fair value of $33,085 and $6,591, respectively)	37,479	6,372
Equity investments	2,086	2,354
Mortgage loans held for sale (amortized cost of $22,207 and $80,002, respectively)	22,243	80,882
Loans and other finance receivables, net of fees and costs	1,743,682	1,386,457
Allowance for loan and lease losses	(18,828)	(18,758)
Loans and other finance receivables, net of the allowance for loan and lease losses	1,724,854	1,367,699
Restricted investment in bank stock	6,931	5,117
Bank premises and equipment, net	13,349	11,806
Bank owned life insurance	28,055	22,503
Accrued interest receivable	7,363	5,009
Other real estate owned	1,703	0
Deferred income taxes	3,936	1,413
Servicing assets	12,346	12,765
Goodwill	899	899
Intangible assets	3,175	3,379
Other assets	24,072	10,463
Total assets	2,062,228	1,713,443
Deposits:
Non-interest bearing	301,727	274,528
Interest bearing	1,410,752	1,171,885
Total deposits	1,712,479	1,446,413
Borrowings	122,082	41,344
Subordinated debentures	40,346	40,508
Accrued interest payable	2,389	31
Other liabilities	31,652	19,787
Total liabilities	1,908,948	1,548,083
Stockholders’ equity:
Common stock, $1 par value per share. 25,000,000 shares authorized; — and 6,534,587 shares issued and outstanding, respectively	13,156	6,535
Surplus	79,072	83,663
Treasury stock, 721,927 and 426,693 shares, respectively, at cost	(21,821)	(8,860)
Unearned common stock held by employee stock ownership plan	(1,403)	(1,602)
Retained earnings	95,815	84,916
Accumulated other comprehensive (loss) income	(11,539)	708
Total stockholders’ equity	153,280	165,360
Total liabilities and stockholders’ equity	$ 2,062,228	$ 1,713,443

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) $ in Thousands	Dec. 31, 2022 USD ($) $ / shares shares	Dec. 31, 2021 USD ($) $ / shares shares
Securities available-for-sale, amortized cost | $	$ 148,976	$ 158,387
Securities held-to-maturity | $	33,085	6,591
Held for sale, amortized cost | $	$ 22,207	$ 80,002
Common stock, par value (in dollars per share) | $ / shares	$ 1	$ 1
Common stock, authorized (in shares)	25,000,000	25,000,000
Common stock, issued (in shares)	13,156,308	13,069,174
Common stock, outstanding (in shares)	11,465,572	12,215,788
Treasury stock held (in shares)	1,690,736	853,386

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Interest income:
Loans and other finance receivables, including fees	$ 84,627	$ 68,822
Securities - taxable	2,420	1,463
Securities - tax-exempt	1,388	1,189
Cash and cash equivalents	286	48
Total interest income	88,721	71,522
Interest expense:
Deposits	15,397	5,494
Borrowings	3,196	2,917
Total interest expense	18,593	8,411
Net interest income	70,128	63,111
Provision for loan losses	2,488	1,070
Net interest income after provision for loan losses	67,640	62,041
Non-interest income:
Mortgage banking income	25,325	75,932
SBA loan income	4,467	6,898
Earnings on investment in life insurance	553	365
Net change in the fair value of derivative instruments	(703)	(4,338)
Net change in the fair value of loans held-for-sale	(844)	(3,311)
Net change in the fair value of loans held-for-investment	(2,408)	(189)
Net gain on hedging activity	5,439	2,961
Net gain on sale of investment securities available-for-sale	0	435
Other	5,037	4,305
Total non-interest income	41,724	87,988
Non-interest expense:
Salaries and employee benefits	54,378	78,866
Occupancy and equipment	4,837	4,545
Professional fees	3,635	3,558
Advertising and promotion	4,336	3,714
Data processing and software	5,451	4,382
Pennsylvania bank shares tax	793	609
Other	8,014	8,053
Total non-interest expense	81,444	103,727
Income before income taxes	27,920	46,302
Income tax expense	6,091	10,717
Net income	$ 21,829	$ 35,585
Basic earnings per common share (in USD per share)	$ 1.85	$ 2.96
Diluted earnings per common share (in USD per share)	$ 1.79	$ 2.87
Basic weighted average shares outstanding (in shares)	11,792	12,038
Diluted weighted average shares outstanding (in shares)	12,204	12,412
Wealth management income
Non-interest income:
Wealth management income	$ 4,733	$ 4,801
Service charges
Non-interest income:
Wealth management income	$ 125	$ 129

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Statement of Comprehensive Income [Abstract]
Net income:	$ 21,829	$ 35,585
Net change in unrealized losses on investment securities available for sale:
Change in fair value of investment securities available for sale, net of tax of $(3,059), and $(485), respectively	(11,285)	(1,514)
Reclassification adjustment for net losses (gains) realized in net income, net of tax effect of $0, and $(101), respectively	0	(334)
Reclassification adjustment for securities transferred from available-for-sale to held-to-maturity, net of tax effect of $(293), and $0, respectively	(962)	0
Unrealized investment losses, net of tax effect of $(3,352), and $(584), respectively	(12,247)	(1,848)
Total other comprehensive loss	(12,247)	(1,848)
Total comprehensive income	$ 9,582	$ 33,737

CONSOLIDATED STATEMENTS OF CO_2

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Statement of Comprehensive Income [Abstract]
Tax expense (benefit) on unrealized gains arising during the period	$ (3,059)	$ (485)
Tax expense (benefit) on reclassification adjustment for net gains on sales realized in net income	0	(101)
Tax expense (benefit) on reclassification adjustment for transfer to held-to-maturity	(293)	0
Tax expense (benefit) on unrealized investment gains (losses)	$ (3,352)	$ (584)

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Common Stock	Surplus	Treasury Stock	Unearned ESOP	Retained Earnings	AOCI
Balance beginning of the period at Dec. 31, 2020	$ 141,622	$ 6,456	$ 81,196	$ (5,828)	$ (1,768)	$ 59,010	$ 2,556
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	35,585					35,585
Other comprehensive loss	(1,848)						(1,848)
Dividends paid or accrued	(9,679)					(9,679)
Net purchase of treasury stock through publicly announced plans	(3,032)			(3,032)
Common stock issued through share-based awards and exercises (86,734)	1,105	79	1,026
ESOP shares committed to be released (26,656)	394		228		166
Stock based compensation expense	1,213		1,213
Balance ending of the period at Dec. 31, 2021	165,360	6,535	83,663	(8,860)	(1,602)	84,916	708
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	21,829					21,829
Other comprehensive loss	(12,247)						(12,247)
Dividends paid or accrued	(10,930)					(10,930)
Net purchase of treasury stock through publicly announced plans	(12,961)			(12,961)
Common stock issued through share-based awards and exercises (86,734)	754	43	711
ESOP shares committed to be released (26,656)	427		228		199
Stock based compensation expense	1,048		1,048
Two-for-one stock split in the form of a stock dividend	0	6,578	(6,578)
Balance ending of the period at Dec. 31, 2022	$ 153,280	$ 13,156	$ 79,072	$ (21,821)	$ (1,403)	$ 95,815	$ (11,539)

CONSOLIDATED STATEMENTS OF ST_2

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical)	12 Months Ended
	Dec. 31, 2022 $ / shares shares	Dec. 31, 2021 $ / shares shares
Dividends declared (in dollars per share) | $ / shares	$ 0.90	$ 0.79
Treasury stock (in shares)	837,350	213,386
Shares issued through share-based awards (in shares)	86,734	158,042
ESOP shares committed to be released (in shares)	26,656	26,656

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Statement of Cash Flows [Abstract]
Net income	$ 21,829	$ 35,585
Adjustments to reconcile net income to net cash provided by operating activities:
Gain on sale of investment securities	0	(435)
Net amortization of investment premiums and discounts and change in fair value of equity securities	1,202	1,369
Depreciation and amortization (accretion), net	(1,406)	(5,922)
Provision for loan losses	2,488	1,070
Amortization of issuance costs on subordinated debt	117	118
Stock based compensation	1,475	1,607
Net change in fair value of derivative instruments	703	4,338
Net change in fair value of loans held for sale	844	3,311
Net change in fair value of loans held for investment	2,408	189
Amortization and net impairment of servicing rights	2,483	1,109
SBA loan income	(4,467)	(6,898)
Proceeds from sale of loans	1,100,333	2,483,373
Loans originated for sale	(1,016,130)	(2,270,693)
Mortgage banking income	(25,325)	(75,932)
(Increase) decrease in accrued interest receivable	(2,354)	473
Increase in other assets	(823)	(3,693)
Earnings from investment in life insurance	(553)	(365)
(Decrease) increase in deferred income tax	1,112	(768)
Increase (decrease) in accrued interest payable	2,358	(1,122)
Decrease in other liabilities	(1,623)	(1,591)
Net cash provided by operating activities	84,671	165,123
Activity in available-for-sale securities:
Maturities, repayments and calls	12,124	10,447
Sales	0	23,585
Purchases	(31,496)	(74,341)
Activity in held-to-maturity securities:
Maturities, repayments and calls	905	0
Purchases	(5,500)	0
(Decrease) increase in restricted stock	(1,814)	2,743
Net increase in loans	(359,460)	(87,575)
Purchases of premises and equipment	(2,907)	(5,374)
Purchase of bank owned life insurance	(5,000)	(10,000)
Net cash used in investing activities	(393,148)	(140,515)
Cash flows provided by (used in) financing activities:
Net increase in deposits	266,066	205,079
Decrease in short-term borrowings	0	(44,939)
Decrease in short-term borrowings with original maturity > 90 days	71,803	(20,579)
Increase in long-term debt	8,935	0
Repayment of long-term debt, net	0	(165,546)
Repayment of subordinated debt	(279)	(281)
Net purchase of treasury stock	(12,961)	(3,032)
Dividends paid	(10,930)	(9,679)
Share based awards and exercises	754	1,105
Net cash provided by (used in) financing activities	323,388	(37,872)
Net change in cash and cash equivalents	14,911	(13,264)
Cash and cash equivalents at beginning of period	23,480	36,744
Cash and cash equivalents at end of period	38,391	23,480
Cash paid during the period for:
Interest	16,235	9,534
Income taxes	5,365	14,069
Transfers from loans held for sale to loans held for investment	3,147	8,410
Non-cash transfers from loans receivable to OREO	1,703	0
Transfer of securities from AFS to HTM	23,655	0
Lease liabilities arising from obtaining right-of-use assets	$ 10,936	$ 0

CONSOLIDATED STATEMENTS OF IN_2

CONSOLIDATED STATEMENTS OF INCOME (Parenthetical)	Feb. 28, 2023
Subsequent Event
Stock split, conversion ratio	2

Summary of Significant Accounti

Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2022
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Nature of Operations Meridian Corporation (“Meridian” or the “Corporation”) is a bank holding company engaged in banking activities through its wholly-owned subsidiary, Meridian Bank (the “Bank”), a full-service, state-chartered commercial bank with offices in the Delaware Valley tri-state market, which includes Pennsylvania, New Jersey and Delaware, as well as the Central Maryland market area, and Florida. We have a financial services business model with significant noninterest income streams from mortgage banking, SBA lending and wealth management services. We provide services to small and middle market businesses, professionals and retail customers throughout our market area. We have a modern, progressive, consultative approach to creating innovative solutions for our customers. We are technology driven, with a culture that incorporates significant use of customer preferred alternative delivery channels, such as mobile banking, remote deposit capture and bank-to-bank ACH. Our ‘Meridian everywhere’ philosophy of community presence, along with our strategic business footprint, allows us to provide the high degree of service, convenience and products our customers need to achieve their financial objectives. We provide this service through three principal business line distribution channels, described further below. The Corporation operates in highly competitive market areas that includes local, regional, and national banks as competitors along with savings banks, credit unions, fintech companies, insurance companies, trust companies and registered investment advisors. The Corporation and its subsidiaries are regulated by many regulatory agencies including the SEC, FDIC, the FRB and the PDBS. The Bank was incorporated on March 16, 2004 under the laws of the Commonwealth of Pennsylvania and is a Pennsylvania state-chartered bank. The Bank commenced operations on July 8, 2004 and is a full-service bank providing personal and business lending and deposit services through 6 full-service banking offices in Pennsylvania, 7 mortgage loan production offices throughout the Delaware Valley, and 6 mortgage loan production offices in Maryland, and a lending office in Florida. The Bank and Corporation are headquartered in Malvern, Pennsylvania, located in the western suburbs of Philadelphia. Basis of Presentation The accounting policies of the Corporation conform to U.S. GAAP. The consolidated financial statements include accounts of the Corporation and its wholly owned subsidiary, the Bank, and the wholly owned subsidiaries of the Bank: Meridian Land Settlement Services LLC (“MLSS”); APEX Realty LLC (“APEX”); Meridian Wealth Partners LLC (“MWP”); and Meridian Equipment Finance LLC (“MEF”). All significant intercompany balances and transactions have been eliminated in consolidation. Certain prior year amounts have been reclassified to conform to the current year’s presentation. Reclassifications had no effect on prior year net income or total stockholders’ equity. The preparation of financial statements in conformity with U.S. generally accepted accounting principles 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. Significant Concentrations of Credit Risk Most of the Corporation’s activities are with customers located in the Delaware Valley tri-state market and the central Maryland market area. Note 4 discusses the types of securities that the Corporation invests in. Note 5 discusses types of lending that the Corporation engages in. Although the Corporation has a diversified loan portfolio, its debtors’ ability to honor their contracts is influenced by the region’s economy. The Corporation does not have any significant concentrations to any one industry or customer, however there is significant concentration of commercial real estate-backed loans, amounting to 33% and 37% of total loans held for investment, as of December 31, 2022 and December 31, 2021, respectively. Presentation of Cash Flows For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks and federal funds sold. Generally, federal funds are purchased or sold for one day periods. The FRB removed cash minimum reserve requirements in March 2020. Net cash flows are reported for customer loan and deposit transactions, interest bearing deposits in other financial institutions, and the federal funds purchased and repurchased agreements. Securities Management determines the appropriate classification of debt securities at the time of purchase and re-evaluates such designation as of each balance sheet date. Securities classified as available-for-sale are those securities that the Corporation intends to hold for an indefinite period of time but not necessarily to maturity. Securities available-for-sale are carried at fair value. Any decision to sell a security classified as available-for-sale would be based on various factors, including significant movement in interest rates, changes in maturity mix of the Corporation’s assets and liabilities, liquidity needs, regulatory capital considerations and other similar factors. Unrealized gains and losses are reported as increases or decreases in other comprehensive income. Gains or losses on disposition are based on the net proceeds and cost of the securities sold, adjusted for the amortization of premiums and accretion of discounts, using the specific identification method. Securities classified as held to maturity are those debt securities the Corporation has both the intent and ability to hold to maturity regardless of changes in market conditions, liquidity needs or changes in general economic conditions. These securities are carried at cost adjusted for the amortization of premium and accretion of discount, computed on a level yield basis. Investments in equity securities are recorded in accordance with ASC 321-10, Investments - Equity Securities. Equity securities are carried at fair value, with changes in fair value reported in net income. At December 31, 2022 and 2021, investments in equity securities consisted of an investment in mutual funds with a fair value of $2.1 million, and $2.4 million, respectively. The Corporation’s accounting policy specifies that (a) if the Corporation does not have the intent to sell a debt security prior to recovery and (b) it is more likely than not that it will not have to sell the debt security prior to recovery, the security would not be considered other-than-temporarily impaired, unless there is a credit loss. When the Corporation does not intend to sell the security, and it is more likely than not, the Corporation will not have to sell the security before recovery of its cost basis, it will recognize the credit component of an other-than-temporary impairment of a debt security in earnings and the remaining portion in other comprehensive income. The Corporation did not recognize any other-than-temporary impairment charges during the years ended December 31, 2022 and 2021. Loans and Other Finance Receivables Loans and other finance receivables that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are stated at their outstanding unpaid principal balances, net of an allowance for loan losses and any deferred fees or costs. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the yield (interest income) of the related loans. The Corporation generally amortizes these amounts over the contractual life of the loan. Loans that were originated by the Corporation and intended for sale in the secondary market to permanent investors, but were either repurchased or unsalable due to defect, are held for the foreseeable future or until maturity or payoff, are carried at fair value. The accrual of interest is discontinued when the contractual payment of principal or interest has become 90 days past due or management has serious doubts about further collectability of principal or interest, even though the loan is currently performing. A loan may remain on accrual status if it is in the process of collection and is either guaranteed or well secured. When a loan is placed on nonaccrual status, unpaid interest credited to income in the current year is reversed and charged against current year income. Interest received on nonaccrual loans generally is either applied against principal or reported as interest income, according to management’s judgment as to the collectability of principal. Generally, loans are restored to accrual status when the obligation is brought current, has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectability of the total contractual principal and interest is no longer in doubt. Allowance for Loan and Lease Losses The Allowance or ALLL is a valuation for probable incurred credit losses established through provisions for loan losses charged against income. Loans deemed to be uncollectible are charged against the Allowance, and subsequent recoveries, if any, are credited to the Allowance. All, or part, of the principal balance of loans receivable are charged off to the Allowance as soon as it is determined that the repayment of all, or part, of the principal balance is highly unlikely. Charge-offs for retail consumer loans and equipment leases are generally made for any balance not adequately secured after 120 days cumulative days past due. The Allowance is maintained at a level considered adequate to provide for probable incurred credit losses. Management’s periodic evaluation of the adequacy of the Allowance is based on known and inherent risks in the portfolio, adverse situations that may affect the borrower’s ability to repay, the estimated value of any underlying collateral, composition of the loan portfolio, current economic conditions and other relevant factors. This evaluation is subjective as it requires material estimates that may be susceptible to significant revisions as more information becomes available. In addition, Federal regulatory agencies, as an integral part of their examination process, periodically review the Corporation’s Allowance and may require the Corporation to recognize additions to the Allowance based on their judgments about information available to them at the time of their examination, which may not be currently available to management. The Allowance consists of general and specific components. The general component covers non-classified loans, as well as, non-impaired classified loans and is based on historical loss experience adjusted for qualitative factors. The specific component relates to loans that are classified as doubtful, substandard, and are on non-accrual and have been deemed impaired. Loan classifications are determined based on various assessments such as the borrower’s overall financial condition, payment history, repayment sources, guarantors and value of collateral. We apply historical loss rates to pools of loans with similar risk characteristics. Loss rates are calculated by historical charge-offs that have occurred within each pool of loans over the LEP. The LEP is an estimate of the average amount of time from when an event happens that causes the borrower to be unable to pay on a loan until the loss is confirmed through a loan charge-off. Another key assumption is the LBP, which represents the historical data period utilized to calculate loss rates. Our LBP goes back to Q1 2010 for all portfolio segments, as applicable, which encompasses our loss experience during the Financial Crisis, and our more recent improved loss experience. After consideration of the historic loss calculations, management applies qualitative adjustments so that the Allowance is reflective of the inherent losses that exist in the loan portfolio at the balance sheet date. Qualitative adjustments are made based upon changes in lending policies and practices, economic conditions, changes in the loan portfolio, changes in lending management, results of internal loan reviews, asset quality trends, collateral values, concentrations of credit risk and other external factors. The evaluation of the various components of the Allowance requires considerable judgment in order to estimate inherent loss exposures. A loan is considered impaired when, based on current information and events, it is probable that the Corporation will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement, or a TDR. 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. For commercial and construction loans, impairment is measured on a loan by loan basis 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 adjusted for cost to sell, if the loan is collateral dependent. Large groups of smaller balance homogeneous residential mortgage and consumer loans are collectively evaluated for impairment. Accordingly, the Corporation does not separately identify individual loans of this nature for impairment disclosures, unless such loans become impaired or are troubled and the subject of a restructuring agreement. Loans whose terms are modified are classified as TDRs if the Corporation grants such borrowers concessions and it is deemed that those borrowers are experiencing financial difficulty. Concessions granted under a TDR generally involve a temporary reduction in interest rate or an extension of a loan’s stated maturity date. TDRs are considered impaired loans. No portion of the Allowance is restricted to any individual loan or groups of loans, and the entire Allowance is available to absorb any and all loan and lease losses. The Corporation has identified the following portfolio segments with similar risk characteristics for measuring credit losses: Commercial mortgage – Our commercial real estate loans are secured by real estate that is both owner-occupied and investor owned. Owner-occupied commercial real estate loans generally involve less risk than an investment property and are distinctly reported from non-owner occupied commercial real estate loans for measuring loan concentrations for regulatory purposes. Repayment of commercial real estate loans depends on the cash flow of the borrower and the net operating income of the property, the borrower’s profitability, and the value of the underlying property. Of primary concern in commercial real estate lending is the borrower’s creditworthiness and the cash flows from the property. Payments on loans secured by income properties often depend on successful operation and management of the properties. As a result, repayment of such loans may be subject, to a greater extent than residential real estate loans, to adverse conditions in the real estate market or the economy. Commercial real estate is also subject to adverse market conditions that cause a decrease in market value or lease rates, obsolescence in location or function and market conditions associated with oversupply of units in a specific region. Residential mortgage – Residential loans held in portfolio are primarily secured by single-family homes located in our market areas. Residential loans are generally made on the basis of the borrower’s ability to make repayment from employment income or other income, and are secured by real property whose value tends to be more easily ascertainable. Repayment of single-family loans are subject to adverse employment conditions in the local economy leading to increased default rates and decreased market values, including from oversupply in a geographic area. In general, these loans depend on the borrower’s continuing financial stability and, therefore, are likely to be adversely affected by various factors, including job loss, divorce, illness, or personal bankruptcy. Furthermore, the application of various federal and state laws, including federal and state bankruptcy and insolvency laws, may limit the amount that can be recovered on such loans. Construction – Construction financing is generally considered to involve a higher degree of risk of loss than long-term financing on improved, occupied real estate. Risk of loss on a construction loan depends largely upon the accuracy of the initial estimate of the property’s value at completion of construction and the estimated cost of construction. During the construction phase, a number of factors could result in delays and cost overruns. If the estimate of construction costs proves to be inaccurate, additional funds may be required to be advanced in excess of the amount originally committed to permit completion of the building. Commercial and Industrial – We provide a variety of variable and fixed rate commercial business loans, lines of credit, and other finance receivables. These credit facilities are made to small and medium-sized manufacturers and wholesale, retail and service-related businesses. Commercial business loans generally include lines of credit and term loans with a maturity of 5 years or less. The primary source of repayment for commercial business loans and other finance receivables is generally operating cash flows of the business and may also include collateralization of inventory, accounts receivable, equipment and/or personal guarantees. As a result, the availability of funds for repayment may depend substantially on the success of the business itself. Furthermore, any collateral may depreciate over time, may be difficult to appraise, and may fluctuate in value. Leases – Meridian Equipment Finance specializes in small ticket equipment leases for small and mid-sized businesses nationally and through a broad range of industries. The Bank’s credit risk generally results from the potential default of borrowers which may be driven by customer specific or broader industry related conditions. Consumer, including home equity – Our consumer-lending department principally originates home equity based products for our clients and prospects. These loans typically fund completely at closing. Additional products include smaller dollar personal loans and our student loan refinance product, designed to provide additional flexibility in repayment terms desired in the marketplace. Most consumer loans are originated in Meridian’s primary market and surrounding areas. The largest component of Meridian’s consumer loan portfolio consists of fixed rate home equity loans and variable rate home equity lines of credit. Substantially all home equity loans and lines of credit are secured by junior lien mortgages on principal residences. The Bank will lend amounts, which, together with all prior liens, typically may be up to 90% of the appraised value of the property securing the loan. Home equity term loans may have maximum terms up to 20 years, while home equity lines of credit generally have maximum terms of 15 years . Credit risk on such loans is mitigated through prudent underwriting standards, including evaluation of the creditworthiness of the borrower through credit scores and debt-to-income ratios and, if secured, the collateral value of the assets. Mortgage Banking Activities and Mortgage Loans Held for Sale The Corporation’s mortgage banking division operates 7 offices in the tri-state area of Pennsylvania, Delaware and New Jersey and another 6 offices in Maryland. The mortgage banking division originates conventional mortgages, FHA, VA, USDA, and other state insured mortgages. The loans are generally sold to various investors in the secondary market. Mortgage loans originated by the Corporation and intended for sale in the secondary market to permanent investors are classified as mortgage loans held for sale on the balance sheet as the Corporation has elected to measure loans held for sale at fair value. Fair value is based on outstanding investor commitments or, in the absence of such commitments, on current investor yield requirements based on third party models. Gains and losses on sales of these loans, as well as loan origination costs, are recorded as a component of non-interest income in the consolidated statements of income. The Corporation’s current practice is to sell residential mortgage loans and retain the servicing rights, as discussed further below. Interest on loans held for sale is credited to income based on the principal amounts outstanding. The Corporation enters into commitments to originate loans whereby the interest rate on the loan is determined prior to funding (interest rate lock commitments). Rate lock commitments on mortgage loans that are intended to be sold are considered to be derivatives. Time elapsing between the issuance of a loan commitment and closing and sale of the loan generally ranges from 30 days to 120 days. The Corporation protects itself from changes in interest rates through the use of best efforts forward sale contracts, whereby the Corporation commits to sell a loan at the time the borrower commits to an interest rate with the intent that the buyer has assumed interest rate risk on the loan. The Corporation may also commit to loan sales through a mandatory sales channel which are economically hedged by the future sale of mortgage-backed securities to third-party counterparties to mitigate the effect of changes in interest rates on the values of both the interest rate locks and mortgage loans held for sale. By entering into best efforts commitments and economically hedging the mandatory commitments, the Corporation limits its exposure to loss and its realization of significant gains related to its rate lock commitments due to changes in interest rates. The Corporation utilizes a third-party model to determine the fair value of rate lock commitments or forward sale contracts. This model uses investor quotes while taking into consideration the probability that the rate lock commitments will close. Net derivative assets and liabilities are recorded within other assets or other liabilities, respectively, on the consolidated balance sheets, with changes in fair value during the period recorded within net change in the fair value of derivative instruments on the consolidated statements of income. Loan Servicing Rights The Corporation sells substantially all of the residential mortgage loans originated for sale in the secondary market; however, the Corporation may retain the servicing rights related to some of these loans. A fee, usually based on a percentage of the outstanding principal balance of the loan, is received in return for these services. MSRs are recognized when a loan’s servicing rights are retained upon sale of a loan. When mortgage loans are sold with servicing retained, MSRs are initially recorded at fair value with the income effect recorded in non-interest income. The Corporation also sells the guaranteed portion of certain SBA loans to third parties and retains servicing rights and receives servicing fees. All such transfers are accounted for as sales. While the Corporation may retain a portion of certain sold SBA loans, its continuing involvement in the portion of the loan that was sold is limited to certain servicing responsibilities. These servicing assets amortize in proportion to, and over the period of, the estimated future net servicing life of the underlying loans. The servicing assets are evaluated quarterly for impairment based upon the fair value of the rights as compared to their amortized cost. Impairment is recognized on the income statement to the extent the fair value is less than the capitalized amount of the servicing assets. Other Real Estate Owned OREO is comprised of property acquired through a foreclosure proceeding or acceptance of a deed-in-lieu of foreclosure. The Corporation acquires OREO through the wholly owned subsidiary of the Bank, Apex Realty. OREO is recorded at the lower of cost or fair value, or the loan amount net of estimated selling costs, at the date of foreclosure. The cost basis of OREO is its recorded value at the time of acquisition. After acquisition, valuations are periodically performed by management and subsequent changes in the valuation allowance are charged to OREO expense. Revenues, such as rental income, and holding expenses, as applicable, are included in other income and other expenses, respectively. The Corporation had one $1.7 million single property in OREO at December 31, 2022 and $0 at December 31, 2021. Restricted Investment in Bank Stock Restricted bank stock is principally comprised of stock in the FHLB. Federal law requires a member institution of the FHLB to hold stock according to a predetermined formula. As of December 31, 2022, and 2021, the Corporation had an investment of $6.9 million and $5.1 million, respectively, related to the FHLB stock. Also included in restricted stock is secondary stock from a correspondent bank in the amount of $50 thousand as of December 31, 2022 and 2021. All restricted stock is carried at cost. Management’s determination of whether these investments are impaired is based on their assessment of the ultimate recoverability of their cost rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability of their cost is influenced by criteria such as (1) significance of the decline in net assets of the banks as compared to the capital stock amount and the length of time this situation has persisted, (2) commitments by the banks to make payments required by law or regulation and the level of such payments in relation to the operating performance of the banks, and (3) the impact of legislative and regulatory changes on institutions and, accordingly, on the customer base of the banks. Management believes no impairment charge is necessary related to these bank restricted stocks as of December 31, 2022 or 2021. Transfers of Financial Assets Transfers of financial assets, including loan and loan participation sales, are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Corporation, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Corporation does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. Bank Premises and Equipment Bank premises and equipment are stated at cost less accumulated depreciation. Land is carried at cost. Buildings and related components are depreciated using the straight-line method with useful lives ranging from 12 to 40 years Furniture, fixtures and equipment are depreciated using the straight-line method with useful lives ranging from 3 to 7 years and 3 to 5 years for computer software and hardware, respectively. Leasehold improvements are amortized over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. The costs of maintenance and repairs are expensed as incurred; while major replacements, improvements and additions are capitalized. Lease Liabilities and Right of Use Assets The Corporation is obligated under non-cancelable operating leases for premises for various retail branch locations and loan production offices. The Corporation determines if an arrangement is a lease at inception by assessing whether a contract contains a right to control an identified asset for a period of time in exchange for consideration. Operating leases are included in operating lease right-of-use assets and operating lease liabilities in the consolidated balance sheets. For purposes of calculating operating lease liabilities, lease terms include options to extend or terminate the lease when it is reasonably certain that the Corporation will exercise that option and begins when the Corporation has control and possession of the leased property, which may be before rental payments are due under the lease. Right-of use assets and operating lease liabilities are recognized based on the present value of lease payments, discounted using the Corporation's incremental borrowing rate, over the lease term at the possession date. The Corporation determines its incremental borrowing rate using publicly available information available for debt issuers with similar credit ratings as the Bank, as the substantial majority of the Corporation's leases are related to properties of the Bank. The Corporation separately accounts for lease and non-lease components such as property taxes, insurance, and maintenance costs. Operating lease expense for the Corporation's leases, which generally have escalating rental payments over the term of the lease, is recognized on a straight-line basis over the lease term. At December 31, 2022, the Corporation's leases have remaining terms of 2 months to 12 years. Bank-Owned Life Insurance The Corporation invests in BOLI as a source of funding for employee benefit expenses. BOLI involves the purchasing of life insurance by the Corporation on a chosen group of employees. The Corporation is the owner and beneficiary of the policies. This life insurance investment is carried at the cash surrender value of the underlying policies. Earnings from the increase in cash surrender value of the policies are included in non-interest income on the consolidated statements of income. Advertising Costs The Corporation follows the policy of charging the costs of advertising to expense as incurred. Employee Benefit Plans The Corporation has a 401(k) Plan (the Plan) and an ESOP. All employees are eligible to participate in the Plan and ESOP after they have attained the age of 21 and have also completed three months consecutively of service. Employees must participate in the Plan to be eligible for participation in the ESOP. The employees may contribute to the Plan up to the maximum percentage allowable by law of their compensation. The Corporation may make a discretionary matching contribution to the Plan and the ESOP. Full vesting in the Corporation’s contribution to the Plan and ESOP is over a three-year period. The Corporation recorded expense for the Plan and ESOP of $1.0 million and $1.1 million, respectively for the year ended December 31, 2022 and $1.4 million and $1.1 million, respectively for the year ended December 31, 2021. The expense recorded by the Corporation for the ESOP for the year ended December 31, 2022 included a $671 thousand employer contribution, in addition to $426 thousand in stock compensation related expense. The expense recorded by the Corporation for the ESOP for the year ended December 31, 2021 included a $663 thousand employer contribution, in addition to $437 thousand in stock compensation related expense. During the year ended December 31, 2022, 0 shares were purchased by the ESOP, while for the year ended December 31, 2021, 91,212 shares were purchased by the ESOP at an average market value of $12.15. Shares in the ESOP that are committed to be released to employees are treated as outstanding shares in the Corporation’s computation of earnings per share. As of December 31, 2021, 53,312 of these common shares were released to the ESOP leaving 213,248 unallocated shares. There were 534,100 shares in the ESOP as of December 31, 2022. Shares in the ESOP would be impacted by any stock dividends and stock splits in the same manner as all other outstanding common shares of the Corporation. Income Taxes Deferred income taxes are provided on the asset and liability method whereby deferred tax assets are recognized for deductible temporary differe

Earnings per Common Share

Earnings per Common Share	12 Months Ended
	Dec. 31, 2022
Earnings Per Share [Abstract]
Earnings per Common Share	Earnings per Common Share Basic earnings per common share excludes dilution and is computed by dividing income available to common shareholders by the weighted-average common shares outstanding during the period reduced by unearned ESOP Plan shares and treasury shares. Diluted earnings per common share takes into account the potential dilution, computed pursuant to the treasury stock method, that could occur if stock options were exercised and converted into common stock; if restricted stock awards were vested; and SERP plan liabilities were satisfied with common shares. The effects of stock options are excluded from the computation of diluted earnings per share in periods in which the effect would be anti-dilutive. All share and per share amounts have been adjusted to reflect the two-for-one stock split effective February 28, 2023. Year Ended December 31, (dollars in thousands, except per share data) 2022 2021 Numerator for earnings per share: Net income available to common stockholders $ 21,829 $ 35,585 Denominators for earnings per share: Weighted average shares outstanding 11,992 12,266 Average unearned ESOP shares (200) (228) Basic weighted average shares outstanding 11,792 12,038 Dilutive effects of assumed exercises of stock options 268 260 Dilutive effects of SERP shares 144 114 Diluted weighted average shares outstanding 12,204 12,412 Basic earnings per share $ 1.85 $ 2.96 Diluted earnings per share $ 1.79 $ 2.87 Antidilutive shares excluded from computation of average dilutive earnings per share 464 278

Goodwill and Other Intangibles

Goodwill and Other Intangibles	12 Months Ended
	Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Other Intangibles	Goodwill and Other Intangibles The Corporation’s goodwill and intangible assets are detailed below: (dollars in thousands) December 31, Amortization Expense December 31, Amortization Period (in years) Goodwill $ 899 $ — $ 899 Indefinite Intangible assets - customer relationships 266 — 266 Indefinite Intangible assets - non competition agreements 3,113 (204) 2,909 20 Total Intangible Assets $ 3,379 $ (204) $ 3,175 Total $ 4,278 $ (204) $ 4,074 Accumulated amortization of intangible assets was $1.4 million and $1.2 million as of December 31, 2022 and 2021, respectively. In accordance with ASC Topic 350, the Corporation performed a qualitative assessment of goodwill and identifiable intangible assets as of December 31, 2022 and determined it was more likely than not that the fair value of the Corporation was more than its carrying amount. At December 31, 2022, the schedule of future intangible asset amortization is as follows (in thousands): 2023 $ 204 2024 204 2025 204 2026 204 2027 204 Thereafter 1,889 Total $ 2,909

Securities

Securities	12 Months Ended
	Dec. 31, 2022
Investments, Debt and Equity Securities [Abstract]
Securities	Securities The following table presents the amortized cost and fair value of securities at the dates indicated: December 31, 2022 (dollars in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Fair value # of Securities in unrealized loss position Securities available-for-sale: U.S. asset backed securities $ 15,581 $ 14 $ (314) $ 15,281 12 U.S. government agency MBS 12,272 5 (538) 11,739 12 U.S. government agency CMO 25,520 40 (2,242) 23,318 29 State and municipal securities 44,700 — (5,862) 38,838 34 U.S. Treasuries 32,980 — (3,457) 29,523 25 Non-U.S. government agency CMO 9,722 — (633) 9,089 11 Corporate bonds 8,201 — (643) 7,558 12 Total securities available-for-sale $ 148,976 $ 59 $ (13,689) $ 135,346 135 Amortized cost Gross unrecognized gains Gross unrecognized losses Fair value # of Securities in unrecognized loss position Securities held-to-maturity: State and municipal securities $ 37,479 $ — $ (4,394) $ 33,085 25 Total securities held-to-maturity $ 37,479 $ — $ (4,394) $ 33,085 25 December 31, 2021 (dollars in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Fair value # of Securities in unrealized loss position Securities available-for-sale: U.S. asset backed securities $ 16,850 $ 55 $ (68) $ 16,837 10 U.S. government agency MBS 9,749 124 (60) 9,813 3 U.S. government agency CMO 22,276 358 (253) 22,381 10 State and municipal securities 72,099 1,379 (496) 72,982 12 U.S. Treasuries 29,973 1 (246) 29,728 21 Non-U.S. government agency CMO 990 — (15) 975 1 Corporate bonds 6,450 154 (18) 6,586 5 Total securities available-for-sale $ 158,387 $ 2,071 $ (1,156) $ 159,302 62 Amortized cost Gross unrecognized gains Gross unrecognized losses Fair value # of Securities in unrecognized loss position Securities held-to-maturity: State and municipal securities $ 6,372 $ 219 $ — $ 6,591 — Total securities held-to-maturity $ 6,372 $ 219 $ — $ 6,591 — Although the Corporation’s investment portfolio overall is in a net unrealized loss position at December 31, 2022, the temporary impairment in the above noted securities is primarily the result of changes in market interest rates subsequent to purchase and it is more likely than not that the Corporation will not be required to sell these securities prior to recovery to satisfy liquidity needs, and therefore, no securities are deemed to be other-than-temporarily impaired. During the quarter-ended March 31, 2022, $27.7 million of municipal securities, previously classified as available-for-sale on the balance sheet, were transferred to the held-to-maturity portfolio at fair value. At the time of transfer, $1.3 million of unrealized losses remained in accumulated other comprehensive income, to be amortized over the remaining life of the securities as an adjustment to yield. No gain or loss was recognized as a result of the transfer. As of December 31, 2022, $1.2 million of unrealized losses remained in accumulated other comprehensive income. As of December 31, 2022 and December 31, 2021, securities having a fair value of $78.4 million and $92.2 million, respectively, were specifically pledged as collateral for public funds, the FRB discount window program, FHLB borrowings and other purposes. The FHLB has a blanket lien on non-pledged, mortgage-related loans and securities as part of the Corporation’s borrowing agreement with the FHLB. The following table shows the Corporation’s investment gross unrealized losses and fair value aggregated by investment category and length of time that individual securities have been in continuous unrealized loss position at the dates indicated: December 31, 2022 Less than 12 Months 12 Months or more Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale: U.S. asset backed securities $ 6,531 $ (80) $ 4,863 $ (234) $ 11,394 $ (314) U.S. government agency MBS 6,022 (230) 4,637 (308) 10,659 (538) U.S. government agency CMO 9,859 (821) 9,549 (1,421) 19,408 (2,242) State and municipal securities 7,487 (726) 31,351 (5,136) 38,838 (5,862) U.S. Treasuries 1,902 (97) 27,622 (3,360) 29,524 (3,457) Non-U.S. government agency CMO 8,423 (464) 666 (169) 9,089 (633) Corporate bonds 5,019 (431) 1,538 (212) 6,557 (643) Total securities available-for-sale $ 45,243 $ (2,849) $ 80,226 $ (10,840) $ 125,469 $ (13,689) Less than 12 Months 12 Months or more Total Fair Unrecognized Fair Unrecognized Fair Unrecognized Securities held-to-maturity: State and municipal securities $ 10,130 $ (364) $ 22,543 $ (4,030) $ 32,673 $ (4,394) Total securities held-to-maturity $ 10,130 $ (364) $ 22,543 $ (4,030) $ 32,673 $ (4,394) December 31, 2021 Less than 12 Months 12 Months or more Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale: U.S. asset backed securities $ 12,330 $ (68) $ — $ — $ 12,330 $ (68) U.S. government agency MBS 3,852 (60) — — 3,852 (60) U.S. government agency CMO 8,836 (187) 1,657 (66) 10,493 (253) State and municipal securities 14,994 (427) 2,019 (69) 17,013 (496) U.S. Treasuries 28,750 (246) — — 28,750 (246) Non-U.S. government agency CMO 975 (15) — — 975 (15) Corporate bonds 2,232 (18) — — 2,232 (18) Total securities available-for-sale $ 71,969 $ (1,021) $ 3,676 $ (135) $ 75,645 $ (1,156) The amortized cost and carrying value of securities are shown below by contractual maturities at the dates indicated. Actual maturities may differ from contractual maturities as issuers may have the right to call or repay obligations with or without call or prepayment penalties. December 31, 2022 December 31, 2021 Available-for-sale Held-to-maturity Available-for-sale Held-to-maturity (dollars in thousands) Amortized Fair Amortized Fair Amortized Fair Amortized Fair Due in one year or less $ — $ — $ — $ — $ — $ — $ 763 $ 769 Due after one year through five years 18,865 17,289 4,275 4,238 12,934 12,885 2,354 2,397 Due after five years through ten years 28,647 25,459 2,998 2,683 30,890 30,798 3,255 3,425 Due after ten years 53,950 48,453 30,206 26,164 81,548 82,450 — — Subtotal 101,462 91,201 37,479 33,085 125,372 126,133 6,372 6,591 Mortgage-related securities 47,514 44,145 — — 33,015 33,169 — — Total $ 148,976 $ 135,346 $ 37,479 $ 33,085 $ 158,387 $ 159,302 $ 6,372 $ 6,591 The following table presents the gross gain on sale of investment securities available for sale on the dates indicated: Years Ended (dollars in thousands) 2022 2021 Proceeds from sale of investment securities $ — $ 23,585 Gross gain on sale of available for sale investments — 634 Gross loss on sale of available for sale investments — 199

Loans and Other Finance Receiva

Loans and Other Finance Receivables	12 Months Ended
	Dec. 31, 2022
Receivables [Abstract]
Loans and Other Finance Receivables	Loans and Other Finance Receivables The following table presents loans and other finance receivables, net of fees and costs detailed by category at the dates indicated: (dollars in thousands) December 31, December 31, Real estate loans: Commercial mortgage $ 565,400 $ 516,928 Home equity lines and loans 59,399 52,299 Residential mortgage 221,837 68,175 Construction 271,955 160,905 Total real estate loans 1,118,591 798,307 Commercial and industrial 341,378 384,562 Small business loans 136,155 114,158 Consumer 488 419 Leases, net 138,986 88,242 Loans and other finance receivables, net of fees and costs $ 1,735,598 $ 1,385,688 Balances included in loans, net of fees and costs: Residential mortgage real estate loans accounted under fair value option, at fair value $ 14,502 $ 17,558 Residential mortgage real estate loans accounted under fair value option, at amortized cost 16,930 17,106 Unearned lease income included in leases, net (25,715) (17,366) Unamortized net deferred loan origination costs 8,084 769 Fair Value Option for Residential Mortgage Real Estate Loans Residential mortgage real estate loans that were originated by the Corporation and intended for sale in the secondary market to permanent investors, but were either repurchased or unsalable due to defect and that the Corporation has the ability and intent to hold for the foreseeable future or until maturity or payoff are carried at fair value pursuant to the Corporation's election of the fair value option for these loans. The remaining loans, net of fees and costs are stated at their outstanding unpaid principal balances, net of deferred fees or costs since the original intent for these loans was to hold them until payoff or maturity. Nonaccrual and Past Due Loans, Net of Fees and Costs The following tables present an aging of the Corporation’s loans, net of fees and costs at the dates indicated: December 31, 2022 (dollars in thousands) 30-89 days past due 90+ days past due and still accruing Total past due Current Total Accruing Loans and leases Nonaccrual loans and leases Total loans, net of fees and costs % Delinquent Commercial mortgage $ — $ — $ — $ 565,260 $ 565,260 $ 140 $ 565,400 0.02 % Home equity lines and loans 146 — 146 58,156 58,302 1,097 59,399 2.09 Residential mortgage (1) 4,262 — 4,262 215,490 219,752 2,085 221,837 2.86 Construction 1,206 — 1,206 270,749 271,955 — 271,955 0.44 Commercial and industrial 101 — 101 328,730 328,831 12,547 341,378 3.70 Small business loans 939 — 939 130,751 131,690 4,465 136,155 3.97 Consumer — — — 488 488 — 488 — Leases, net 1,173 — 1,173 136,911 138,084 902 138,986 1.49 % Total $ 7,827 $ — $ 7,827 $ 1,706,535 $ 1,714,362 $ 21,236 $ 1,735,598 1.67 % (1) Includes $14,502 of loans at fair value of which $13,760 are current, $184 are 30-89 days past due, and $558 are nonaccrual. December 31, 2021 (dollars in thousands) 30-89 days past due 90+ days past due and still accruing Total past due Current Total Accruing Loans and leases Nonaccrual loans and leases Total loans, net of fees and costs % Delinquent Commercial mortgage $ — $ — $ — $ 516,928 $ 516,928 $ — $ 516,928 — % Home equity lines and loans 103 — 103 51,285 51,388 911 52,299 1.94 Residential mortgage (1) 600 — 600 65,177 65,777 2,398 68,175 4.40 Construction — — — 160,905 160,905 — 160,905 — Commercial and industrial — — — 365,761 365,761 18,801 384,562 4.89 Small business loans — — — 113,492 113,492 666 114,158 0.58 Consumer — — — 419 419 — 419 — Leases, net 390 — 390 87,640 88,030 212 88,242 0.68 % Total $ 1,093 $ — $ 1,093 $ 1,361,607 $ 1,362,700 $ 22,988 $ 1,385,688 1.74 % (1) Includes $17,558 of loans at fair value of which $16,768 are current, $189 are 30-89 days past due and $601 are nonaccrual. Foreclosed and Repossessed Assets At December 31, 2022, there were 5 consumer mortgage loans totaling $942 thousand, secured by residential real estate properties (included in loans, net of fees and costs on the Consolidated Balance Sheets) for which formal foreclosure proceedings were in process. Risks and Uncertainties We have no particular credit concentration. Our commercial loans have been proactively managed in an effort to achieve a balanced portfolio with no unusual exposure to one industry. Additionally, most of our lending activity occurs within our primary market areas which are concentrated in southeastern Pennsylvania, Delaware, and Maryland as well as other contiguous markets and represents a geographic concentration. Additionally, our loan portfolio is concentrated in commercial loans. Commercial loans are generally viewed as having more inherent risk of default than residential real estate loans or other consumer loans. Also, the commercial loan balance per borrower is typically larger than that for residential real estate loans and consumer loans, implying higher potential losses on an individual loan basis.

Allowance for Loan and Lease Lo

Allowance for Loan and Lease Losses (the Allowance)	12 Months Ended
	Dec. 31, 2022
Financing Receivable, Allowance for Credit Loss, Writeoff, after Recovery [Abstract]
Allowance for Loan and Lease Losses (the Allowance)	Allowance for Loan and Lease Losses (the Allowance) The Allowance is evaluated on at least a quarterly basis, as losses are estimated to be probable and incurred. The provision for loan and lease losses increase or decrease the ALLL, if deemed necessary. Loans deemed to be uncollectible are charged against the Allowance, and subsequent recoveries, if any, are credited to the Allowance. The Allowance is maintained at a level considered adequate to provide for losses that are probable and estimable. Management’s periodic evaluation of the adequacy of the Allowance is based on known and inherent risks in the portfolio, adverse situations that may affect the borrower’s ability to repay, the estimated value of any underlying collateral, composition of the loan portfolio, current economic conditions and other relevant factors. This evaluation is subjective as it requires material estimates that may be susceptible to significant revisions as more information becomes available. Roll-Forward of Allowance by Portfolio Segment The following tables detail the roll-forward of the Corporation’s Allowance, by portfolio segment, for the periods indicated: Year Ended December 31, 2022 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 4,950 $ — $ — $ (855) $ 4,095 Home equity lines and loans 224 (12) 43 (67) 188 Residential mortgage 283 — 2 663 948 Construction 2,042 — — 1,033 3,075 Commercial and industrial 6,533 — 97 (2,618) 4,012 Small business loans 3,737 — — 1,172 4,909 Consumer 3 — 4 (4) 3 Leases 986 (2,616) 64 3,164 1,598 Total $ 18,758 $ (2,628) $ 210 $ 2,488 $ 18,828 Year Ended December 31, 2021 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 7,451 $ — $ — $ (2,501) $ 4,950 Home equity lines and loans 434 (81) 82 (211) 224 Residential mortgage 385 — 5 (107) 283 Construction 2,421 — — (379) 2,042 Commercial and industrial 5,431 — 41 1,061 6,533 Small business loans 1,259 — — 2,478 3,737 Consumer 4 — 4 (5) 3 Leases 382 (130) — 734 986 Total $ 17,767 $ (211) $ 132 $ 1,070 $ 18,758 Allowance Allocated by Portfolio Segment The following tables detail the allocation of the allowance for loan and lease losses and the carrying value for loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment at the dates indicated: December 31, 2022 Allowance on loans and leases Carrying value of loans and leases (dollars in thousands) Individually Collectively Total Individually Collectively Total Commercial mortgage $ — $ 4,095 $ 4,095 $ 2,445 $ 562,955 $ 565,400 Home equity lines and loans — 188 188 1,097 58,302 59,399 Residential mortgage — 948 948 1,454 205,881 207,335 Construction — 3,075 3,075 1,206 270,749 271,955 Commercial and industrial (2) 776 3,236 4,012 12,547 328,831 341,378 Small business loans 1,449 3,460 4,909 4,527 131,628 136,155 Consumer — 3 3 — 488 488 Leases — 1,598 1,598 902 138,084 138,986 Total (1) $ 2,225 $ 16,603 $ 18,828 $ 24,178 $ 1,696,918 $ 1,721,096 December 31, 2021 Allowance on loans and leases Carrying value of loans and leases (dollars in thousands) Individually Collectively Total Individually Collectively Total Commercial mortgage $ — $ 4,950 $ 4,950 $ 3,556 $ 513,372 $ 516,928 Home equity lines and loans — 224 224 905 51,394 52,299 Residential mortgage — 283 283 1,797 48,820 50,617 Construction — 2,042 2,042 1,206 159,699 160,905 Commercial and industrial (2) 2,900 3,633 6,533 17,361 367,201 384,562 Small business loans 376 3,361 3,737 792 113,366 114,158 Consumer — 3 3 — 419 419 Leases — 986 986 212 88,030 88,242 Total (1) $ 3,276 $ 15,482 $ 18,758 $ 25,829 $ 1,342,301 $ 1,368,130 (1) Excludes deferred fees and loans carried at fair value. (2) Includes $4.7 million and $90.2 million of PPP loans as of December 31, 2022 and 2021, respectively, which are not reserved against as they are 100% guaranteed by the SBA. Loans and Leases by Credit Ratings As part of the process of determining the Allowance to the different segments of the loan and lease portfolio, Management considers certain credit quality indicators. For the commercial mortgage, construction and commercial and industrial loan segments, periodic reviews of the individual loans are performed by Management. The results of these reviews are reflected in the risk grade assigned to each loan. These internally assigned grades are as follows: • Pass – Loans considered to be satisfactory with no indications of deterioration. • Special mention – Loans classified as special mention have a potential weakness that deserves Management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. • Substandard – Loans classified as substandard are inadequately protected by the current net worth and payment capacity of the obligor or of the collateral pledged, if any. Substandard loans have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. • Doubtful – Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Loan balances classified as doubtful are carried at their net realizable values. The following tables detail the carrying value of loans and leases by portfolio segment based on the credit quality indicators used to determine the allowance for loan and lease losses at the dates indicated: December 31, 2022 (dollars in thousands) Pass Special Substandard Doubtful Total Commercial mortgage $ 536,705 $ 25,309 $ 3,386 $ — $ 565,400 Home equity lines and loans 57,822 — 1,577 — 59,399 Construction 260,085 11,870 — — 271,955 Commercial and industrial 295,502 6,587 39,289 — 341,378 Small business loans 131,690 — 4,465 — 136,155 Total $ 1,281,804 $ 43,766 $ 48,717 $ — $ 1,374,287 Commercial and industrial loans classified as substandard totaled $39.3 million as of December 31, 2022, a decrease of $3.6 million from $42.9 million as of December 31, 2021, due to payoffs and/or principal payments. December 31, 2021 (dollars in thousands) Pass Special Substandard Doubtful Total Commercial mortgage $ 481,551 $ 29,452 $ 5,925 $ — $ 516,928 Home equity lines and loans 50,908 — 1,391 — 52,299 Construction 151,608 9,297 — — 160,905 Commercial and industrial 327,089 14,603 42,870 — 384,562 Small business loans 112,096 — 2,062 — 114,158 Total $ 1,123,252 $ 53,352 $ 52,248 $ — $ 1,228,852 In addition to credit quality indicators as shown in the above tables, allowance allocations for residential mortgages, consumer loans and leases are also applied based on their performance status at the dates indicated: December 31, 2022 December 31, 2021 (dollars in thousands) Performing Non- Total Performing Non- Total Residential mortgage (1) $ 205,881 $ 1,454 $ 207,335 $ 48,820 $ 1,797 $ 50,617 Consumer 488 — 488 419 — 419 Leases, net 138,084 902 138,986 88,030 212 88,242 Total $ 344,453 $ 2,356 $ 346,809 $ 137,269 $ 2,009 $ 139,278 (1) There were four nonperforming residential mortgage loans at December 31, 2022 and four nonperforming residential mortgage loans at December 31, 2021 with a combined outstanding principal balance of $558 thousand and $601 thousand, respectively, which were carried at fair value and not included in the table above. Impaired Loans The following tables detail the recorded investment and principal balance of impaired loans by portfolio segment, their related Allowance and interest income recognized at the dates indicated. December 31, 2022 December 31, 2021 (dollars in thousands) Recorded Principal Related Recorded Principal Related Impaired loans with related allowance: Commercial and industrial $ 11,099 $ 12,095 $ 776 $ 17,147 $ 17,310 $ 2,900 Small business loans 3,730 3,730 1,449 666 666 376 Total $ 14,829 $ 15,825 $ 2,225 $ 17,813 $ 17,976 $ 3,276 Impaired loans without related allowance: Commercial mortgage $ 2,445 $ 2,456 $ — $ 3,556 $ 3,559 $ — Commercial and industrial 1,448 1,494 — 214 269 — Small business loans 797 797 — 126 126 — Home equity lines and loans 1,097 1,097 — 905 935 — Residential mortgage 1,454 1,454 — 1,797 1,797 — Construction 1,206 1,206 — 1,206 1,206 — Leases 902 902 — 212 212 — Total $ 9,349 $ 9,406 $ — $ 8,016 $ 8,104 $ — Grand Total $ 24,178 $ 25,231 $ 2,225 $ 25,829 $ 26,080 $ 3,276 The following table details the average recorded investment and interest income recognized on impaired loans by portfolio segment. Year Ended December 31, 2022 Year Ended December 31, 2021 (dollars in thousands) Average Interest Average Interest Impaired loans with related allowance: Commercial and industrial $ 13,211 $ — $ 17,349 $ 15 Small business loans 3,731 — 887 — Total $ 16,942 $ — $ 18,236 $ 15 Impaired loans without related allowance: Commercial mortgage $ 2,523 $ 105 $ 3,578 $ 43 Commercial and industrial 559 297 239 24 Small business loans 802 9 154 14 Home equity lines and loans 1,097 38 914 — Residential mortgage 1,473 205 1,807 11 Construction 1,206 78 1,206 62 Leases 825 — 240 — Total $ 8,485 $ 732 $ 8,138 $ 154 Grand Total $ 25,427 $ 732 $ 26,374 $ 169 Troubled Debt Restructuring The restructuring of a loan is considered a TDR if both of the following conditions are met: (i) the borrower is experiencing financial difficulties, and (ii) the creditor has granted a concession. The most common concessions granted include one or more modifications to the terms of the debt, such as (a) a reduction in the interest rate for the remaining life of the debt, (b) an extension of the maturity date at an interest rate lower than the current market rate for new debt with similar risk, (c) a temporary period of interest-only payments, (d) a reduction in the contractual payment amount for either a short period or remaining term of the loan, and (e) for leases, a reduced lease payment. A less common concession granted is the forgiveness of a portion of the principal. The determination of whether a borrower is experiencing financial difficulties takes into account not only the current financial condition of the borrower, but also the potential financial condition of the borrower, were a concession not granted. The determination of whether a concession has been granted is very subjective in nature. For example, simply extending the term of a loan at its original interest rate or even at a higher interest rate could be interpreted as a concession unless the borrower could readily obtain similar credit terms from a different lender. The following table presents information about TDRs at the dates indicated: (dollars in thousands) December 31, December 31, TDRs included in nonperforming loans and leases $ 207 $ 361 TDRs in compliance with modified terms 3,573 3,446 Total TDRs $ 3,780 $ 3,807 There was 1 new modification on a commercial mortgage for $684 thousand for the year ended December 31, 2022, and 2 modifications granted during the year ended December 31, 2021 on commercial mortgages for $1.2 million. Total TDRs declined year-over-year, despite the new modification in 2022, as two TDRs from prior to 2021 totaling $563 thousand paid off in 2022. No modifications granted during the twelve months ended December 31, 2022 and 2021 subsequently defaulted during the same time period.

Bank Premises and Equipment

Bank Premises and Equipment	12 Months Ended
	Dec. 31, 2022
Property, Plant and Equipment [Abstract]
Bank Premises and Equipment	Bank Premises and Equipment The components of premises and equipment at December 31, 2022 and 2021 are as follows: (dollars in thousands) December 31, December 31, Buildings $ 9,150 $ 4,141 Leasehold improvements 3,347 3,347 Land 600 600 Land Improvements 218 218 Furniture, fixtures and equipment 3,577 3,229 Computer equipment and data processing software 9,242 7,971 Construction in process 40 3,763 Less: accumulated depreciation (12,825) (11,463) Total $ 13,349 $ 11,806 Total depreciation expense for the years ended December 31, 2022 and 2021 totaled $1.4 million and $1.3 million, respectively.

Deposits

Deposits	12 Months Ended
	Dec. 31, 2022
Deposits [Abstract]
Deposits	Deposits The components of deposits at December 31, 2022 and 2021 are as follows: (dollars in thousands) December 31, December 31, Demand, non-interest bearing $ 301,727 $ 274,528 Demand, interest bearing 219,838 268,248 Savings accounts 36,125 45,038 Money market accounts 661,439 652,590 Time deposits 493,350 206,009 Total $ 1,712,479 $ 1,446,413 The aggregate amount of time deposits in denominations over $250 thousand were $394.3 million and $179.8 million as of December 31, 2022 and 2021, respectively. At December 31, 2022, the scheduled maturities of time deposits are as follows (in thousands): 2023 $ 414,853 2024 20,815 2025 24,211 2026 33,450 2027 21 Total $ 493,350

Borrowings

Borrowings	12 Months Ended
	Dec. 31, 2022
Debt Disclosure [Abstract]
Borrowings	Borrowings The Corporation’s short-term borrowings generally consist of Federal funds purchased and short-term borrowings extended under agreements with the FHLB and two unsecured Federal funds borrowing facilities with correspondent banks: one of $24 million and one of $15 million. Federal funds purchased generally represent one-day borrowings. The Corporation had $0 in Federal funds purchased at December 31, 2022 and December 31, 2021. The Corporation also has a facility with the Federal Reserve Bank discount window of $8.8 million. This facility is fully secured by investment securities. There were no borrowings under this at December 31, 2022 and December 31, 2021. The following table presents short-term borrowings at the dates indicated: (dollars in thousands) Maturity Interest December 31, December 31, FHLB Open Repo Plus Weekly 6/5/2023 4.45% - 3.11% $ 113,147 $ 36,458 FHLB Mid-term Repo-fixed 9/12/2022 0.23% — 4,886 Total $ 113,147 $ 41,344 The Corporation had long-term debt of $8.9 million as of December 31, 2022, with an interest rate of 4.23% and a maturity date of December 22, 2025. The Corporation had no long-term debt as of December 31, 2021. The FHLB has also issued $49.1 million of letters of credit to the Corporation for the benefit of the Corporation’s public deposit funds and loan customers. These letters of credit expire throughout 2023. The Corporation has a maximum borrowing capacity with the FHLB of $561.7 million as of December 31, 2022 and $505.4 million as of December 31, 2021. All advances and letters of credit from the FHLB are secured by a blanket lien on non-pledged, mortgage-related loans and securities as part of the Corporation’s borrowing agreement with the FHLB.

Subordinated Debentures

Subordinated Debentures	12 Months Ended
	Dec. 31, 2022
Subordinated Borrowings [Abstract]
Subordinated Debentures	Subordinated Debentures In December 2008, the Bank issued $550 thousand of mandatory convertible unsecured subordinated debentures (2008 Debentures). The 2008 Debentures have a maturity date of December 18, 2023 and interest on the 2008 Debentures is paid quarterly at 6%. The 2008 Debentures are convertible into 1 share of the Corporation’s common stock for every $15 in principal amount of the 2008 Debentures automatically on such date, if any, as accumulated losses of the Bank first exceed the sum of the retained earnings and capital surplus accounts of the Bank. The 2008 Debentures began to repay principal in eight equal installments which commenced in December of 2016. As of December 31, 2022, $56 thousand of the 2008 Debentures remained outstanding, after pay downs of $56 thousand each year during 2022 and 2021. In December 2011, the Bank issued $1.4 million of mandatory convertible unsecured subordinated debentures (2011 Debentures). The 2011 Debentures have a maturity date of December 31, 2026 and interest on the 2011 Debentures is paid quarterly at 6%. The 2011 Debentures are convertible into 1 share of the Corporation’s common stock for every $17 in principal amount of the 2011 Debentures automatically on such date, if any, as accumulated losses of the Bank first exceed the sum of the retained earnings and capital surplus accounts of the Bank. The 2011 Debentures began to repay principal in eight equal installments which commenced in December of 2020. As of December 31, 2022, $462 thousand of the 2011 Debentures remained outstanding, after pay downs of $116 thousand each year during 2022 and 2021. In April 2013, the Bank issued $1.4 million of mandatory convertible unsecured subordinated debentures (2013 Debentures). The 2013 Debentures have a maturity date of December 31, 2028 and interest on the 2013 Debentures is paid quarterly at 6.5%. The 2013 Debentures are convertible into 1 share of the Corporation’s common stock for every $22 in principal amount of the 2013 Debentures automatically on such date, if any, as accumulated losses of the Bank first exceed the sum of the retained earnings and capital surplus accounts of the Bank. As of December 31, 2022, $652 thousand of the 2013 Debentures remained outstanding, after pay downs of $109 thousand each year during 2022 and 2021. Subsequent to December 31, 2022 $56 thousand 2013 Debentures was redeemed by the holder. Upon formation of the bank holding company, the Corporation assumed the 2008, 2011, and 2013 Debentures that were originally issued by the Bank. During December 2019, the Corporation issued $40 million of fixed-to-floating rate non-convertible unsecured subordinated debentures (2019 Debentures). The 2019 Debentures have a maturity date of December 30, 2029 and interest on the 2019 Debentures is paid semiannually at 5.375%. The debt issuance costs are included as a direct deduction from the debt liability and these costs are amortized to interest expense using the effective yield method. During 2022 and 2021 the Corporation made interest payments of $2.2 million each year on the 2019 Debentures. The 2008, 2011, and 2013 Debentures are includable as Tier 2 capital for determining the Bank’s compliance with regulatory capital requirements (see footnote 17). The 2019 Debentures are included as Tier 2 capital for the Corporation and as Tier 1 capital for the Bank.

Servicing Assets

Servicing Assets	12 Months Ended
	Dec. 31, 2022
Transfers and Servicing [Abstract]
Servicing Assets	Servicing Assets The Corporation sells certain residential mortgage loans and the guaranteed portion of certain SBA loans to third parties and retains servicing rights and receives servicing fees. All such transfers are accounted for as sales. When the Corporation sells a residential mortgage loan, it does not retain any portion of that loan and its continuing involvement in such transfers is limited to certain servicing responsibilities. While the Corporation may retain a portion of certain sold SBA loans, its continuing involvement in the portion of the loan that was sold is limited to certain servicing responsibilities. When the contractual servicing fees on loans sold with servicing retained are expected to be more than adequate compensation to a servicer for performing the servicing, a capitalized servicing asset is recognized. Residential Mortgage Loans The related MSR asset is amortized over the period of the estimated future net servicing life of the underlying assets. MSRs are evaluated quarterly for impairment based upon the fair value of the rights as compared to their amortized cost. Impairment is recognized on the income statement to the extent the fair value is less than the capitalized amount of the MSR. The Corporation serviced $1.0 billion of residential mortgage loans as of December 31, 2022 and 2021. During the year ended December 31, 2022 the Corporation recognized servicing fee income of $2.6 million compared to $2.0 million, during the year ended December 31, 2021. Changes in the MSR balance are summarized as follows: Year Ended (dollars in thousands) 2022 2021 Balance at beginning of the period $ 10,756 $ 4,647 Servicing rights capitalized 668 6,769 Amortization of servicing rights (1,488) (1,087) Change in valuation allowance 6 427 Balance at end of the period $ 9,942 $ 10,756 Activity in the valuation allowance for MSRs was as follows: Year Ended (dollars in thousands) 2022 2021 Valuation allowance, beginning of period $ (8) $ (435) Impairment (4) — Recovery 10 427 Valuation allowance, end of period $ (2) $ (8) The Corporation uses assumptions and estimates in determining the fair value of MSRs. These assumptions include prepayment speeds and discount rates. The assumptions used in the valuation were based on input from buyers, brokers and other qualified personnel, as well as market knowledge. At December 31, 2022, the key assumptions used to determine the fair value of the Corporation’s MSRs included a lifetime constant prepayment rate equal to 8.05% and a discount rate equal to 9.50%. At December 31, 2021, the key assumptions used to determine the fair value of the Corporation’s MSRs included a lifetime constant prepayment rate equal to 7.23% and a discount rate equal to 9.00%. As interest rates increased and the number of mortgage refinancings have declined, model inputs have been adjusted to align the MSRs fair value with market conditions. The sensitivity of the current fair value of the residential mortgage servicing rights to immediate 10% and 20% favorable and unfavorable changes in key economic assumptions are included in the following table. (dollars in thousands) December 31, December 31, Fair value of residential mortgage servicing rights $ 11,567 $ 11,241 Weighted average life (months) 22 11 Prepayment speed 8.05 % 7.23 % Impact on fair value: 10% adverse change $ (268) $ (376) 20% adverse change (525) (731) Discount rate 9.50 % 9.00 % Impact on fair value: 10% adverse change $ (404) $ (436) 20% adverse change (777) (840) The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. As indicated, changes in fair value based on adverse changes in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. Also, in this table, the effect of an adverse variation in a articular assumption on the fair value of the MSRs is calculated without changing any other assumption; while in reality, changes in one factor may result in changes in another (for example, increases in market interest rates may result in lower prepayments), which may magnify or counteract the effect of the change. SBA Loans SBA loan servicing assets are amortized over the period of the estimated future net servicing life of the underlying assets. SBA loan servicing assets are evaluated quarterly for impairment based upon the fair value of the rights as compared to their amortized cost. Impairment is recognized on the income statement to the extent the fair value is less than the capitalized amount of the SBA loan servicing asset. The Corporation serviced $166.1 million and $115.1 million of SBA loans, as of December 31, 2022 and December 31, 2021, respectively. Changes in the SBA loan servicing asset balance are summarized as follows: Year Ended (dollars in thousands) 2022 2021 Balance at beginning of the period $ 2,009 $ 970 Servicing rights capitalized 1,395 1,488 Amortization of servicing rights (732) (392) Change in valuation allowance (268) (57) Balance at end of the period $ 2,404 $ 2,009 Activity in the valuation allowance for SBA loan servicing assets was as follows: Year Ended (dollars in thousands) 2022 2021 Valuation allowance, beginning of period $ (96) $ (39) Impairment (408) (57) Recovery 140 — Valuation allowance, end of period $ (364) $ (96) The Corporation uses assumptions and estimates in determining the fair value of SBA loan servicing rights. These assumptions include prepayment speeds, discount rates, and other assumptions. The assumptions used in the valuation were based on input from buyers, brokers and other qualified personnel, as well as market knowledge. At December 31, 2022, the key assumptions used to determine the fair value of the Corporation’s SBA loan servicing rights included a lifetime constant prepayment rate equal to 12.73% and a discount rate equal to 18.96%. At December 31, 2021, the key assumptions used to determine the fair value of the Corporation’s SBA loan servicing rights included a lifetime constant prepayment rate equal to 12.38% and a discount rate equal to 9.01%. The change in valuation allowance due to impairment noted in the tables above, was largely due to the increases in discount rate and prepayment speed as a result of the rising interest rate environment and depressed market pricing on sales of such loans. The sensitivity of the current fair value of the SBA loan servicing rights to immediate 10% and 20% favorable and unfavorable changes in key economic assumptions are included in the following table. (dollars in thousands) December 31, December 31, Fair value of SBA loan servicing rights $ 2,422 $ 2,107 Weighted average life (years) 3.8 3.8 Prepayment speed 12.73 % 12.38 % Impact on fair value: 10% adverse change $ (73) $ (69) 20% adverse change (141) (132) Discount rate 18.96 % 9.01 % Impact on fair value: 10% adverse change $ (53) $ (54) 20% adverse change (104) (106) The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. As indicated, changes in fair value based on adverse changes in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. Also, in this table, the effect of an adverse variation in a particular assumption on the fair value of the SBA servicing rights is calculated without changing any other assumption; while in reality, changes in one factor may result in changes in another (for example, increases in market interest rates may result in lower prepayments), which may magnify or counteract the effect of the change.

Lease Commitments

Lease Commitments	12 Months Ended
	Dec. 31, 2022
Leases [Abstract]
Lease Commitments	Lease Commitments On January 1, 2022, the Corporation adopted ASU 2016-02 (Topic 842), “Leases”, as further explained in Note 1, Summary of Significant Accounting Policies. The Corporation’s operating leases consist of various retail branch locations and loan production offices. As of December 31, 2022, the Corporation’s leases have remaining lease terms ranging from 2 months to 12 years, including extension options. The Corporation’s leases include fixed rental payments, and certain of our leases also include variable rental payments where lease payments may increase at pre-determined dates based on the change in the consumer price index. The Corporation’s lease agreements include gross leases as well as leases in which we make separate payments to the lessor for items such as the property taxes assessed on the property or a portion of the common area maintenance associated with the property. We have elected the practical expedient not to separate lease and non-lease components for all of our building leases. The Corporation also elected to not recognize ROU assets and lease liabilities for short-term leases. As of December 31, 2022 the Corporation’s ROU assets and related lease liabilities were $9.0 million and $8.9 million, respectively. These amounts are included within other assets other liabilities The components of lease expense were as follows: Year Ended December 31, (dollars in thousands) 2022 Operating lease expense $ 2,242 Short term lease expense 13 Total lease expense $ 2,255 Supplemental cash flow information related to leases was as follows: (dollars in thousands) December 31, 2022 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 2,150 ROU asset obtained in exchange for lease liabilities 10,936 Maturities of operating lease liabilities were as follows for the period indicated: (dollars in thousands) December 31, 2022 2023 $ 1,919 2024 1,746 2025 1,456 2026 1,436 2027 1,278 Thereafter 1,856 $ 9,691 Less: Present value discount (827) Total operating lease liabilities $ 8,864 As of December 31, 2022, the weighted-average remaining lease term for all operating leases, including extension options that the Corporation is reasonably certain will be exercised for retail branch locations, is 6.2 years. Because we generally do not have access to the rate implicit in the lease, we utilize our incremental borrowing rate as the discount rate. The weighted average discount rate associated with operating leases as of December 31, 2022 is 2.63%. As of December 31, 2022, the Corporation entered into one additional lease for a branch re-location. This lease will commence upon discontinuance of the previous location. Total rental expense for the year ended December 31, 2022 was $2.2 million.

Stock-Based Compensation

Stock-Based Compensation	12 Months Ended
	Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]
Stock-Based Compensation	Stock-Based Compensation The Corporation has issued stock options under the Meridian Bank 2004 Stock Option Plan (2004 Plan). The 2004 Plan authorized the Board of Directors to grant options up to an aggregate of 892,182 shares, as adjusted for the 5% stock dividends in 2012, 2014 and 2016, and the two-for-one stock split effective February 28, 2023, to officers, other employees and directors of the Corporation. No additional shares are available for future grants. The shares granted under the 2004 Plan to directors are nonqualified options. The shares granted under the 2004 Plan to officers and other employees are incentive stock options, and are subject to the limitations under Section 422 of the Internal Revenue Code. The Meridian Bank 2016 Equity Incentive Plan (2016 Plan) was amended on May 24, 2019 to authorize the Board of Directors to grant up to an aggregate of 1,373,800 stock awards that can take different forms. A total of 1,124,000 stock options and 86,416 shares of restricted stock have been granted under the 2016 Plan through December 31, 2022, including the impact of the two-for-one stock split. As of December 31, 2022 there were 239,540 stock awards remaining to be issued. Options granted under the 2016 Plan to directors are nonqualified options, while options granted to officers and other employees are incentive stock options, and are subject to the limitations under Section 422 of the Internal Revenue Code. Stock Options Stock-based compensation cost is measured at the grant date, based on the fair value of the award and the cost is recognized as an expense over the vesting period. The fair value of stock option grants is determined using the Black-Scholes pricing model. The assumptions necessary for the calculation of the fair value are expected life of options, annual volatility of stock price, risk-free interest rate and annual dividend yield. Stock option awards granted under the 2016 Plan have a term that does not exceed 10 years and vest according to each award’s specific vesting schedule. Currently, all option awards granted to date vest 25% upon grant and become fully exercisable after 3 years of service from the grant date. The following table provides information about stock options outstanding as of December 31, 2022 and 2021: Shares Weighted average exercise price Weighted average grant date fair value Outstanding at December 31, 2020 801,454 $ 8.27 $ 2.35 Exercised (154,530) 6.84 2.18 Granted 285,300 13.75 4.74 Forfeited (8,296) 9.32 3.29 Outstanding at December 31, 2021 923,928 $ 10.19 $ 3.10 Exercised (87,134) 8.67 2.43 Granted 246,500 16.22 5.38 Forfeited (29,606) 12.14 3.92 Outstanding at December 31, 2022 1,053,688 $ 11.67 $ 3.67 Exercisable at December 31, 2022 694,670 10.26 3.09 Nonvested at December 31, 2022 359,018 14.40 4.79 The weighted average remaining contractual life of the outstanding stock options at December 31, 2022 is 7.4 years. At December 31, 2022 the range of exercise prices is $5.90 to $17.76. The aggregate intrinsic value of options outstanding and exercisable was $3.9 million and $3.5 million, respectively, as of December 31, 2022. The fair value of each option granted in 2022 was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions: dividend yield of 2.6%, risk-free interest rate of between 3.01% and 4.26%, expected life of 5.75 years, and expected volatility of between 33.30% and 39.00% based on an average of the Corporation’s share price since going public. The weighted average fair value of options granted in 2022 was $4.67 to $5.82 per share. The fair value of each option granted in 2021 was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions: dividend yield of 2.6%, risk-free interest rate of between 1.02% and 1.54%, expected life of 5.75 years, and expected volatility of 39.25% and 40.97%% based on an average of the Corporation’s share price since going public. The weighted average fair value of options granted in 2021 was $4.07 to $4.79 per share. Total stock option compensation cost for the years ended December 31, 2022 and 2021 was $1.0 million and $803 thousand, respectively. During the year ended December 31, 2022 and 2021, the Corporation received $711 thousand and $1.0 million from the exercise of stock options, respectively. The Corporation recognized $116 thousand in excess tax benefits related to stock compensation cost for the twelve months ended December 31, 2022. No such excess tax benefits were recognized 2021. In accordance with ASU 2016-09 – Compensation – Stock Compensation (ASU 2016-09), forfeitures are recognized as they occur instead of applying an estimated forfeiture rate to each grant. For purposes of the determination of stock-based compensation expense for the year ended December 31, 2022, we recognized the forfeiture of 29,606 of shares of stock options that were previously granted to officers and other employees. As of December 31, 2022, there was $1.7 million of unrecognized compensation cost related to nonvested stock options. This cost will be recognized over a weighted average period of 7.4 years. During 2022, the intrinsic value of options exercised was $754 thousand. Restricted Stock The restricted stock awards granted under the 2016 Plan vest according to each award’s specific vesting schedule. No awards were granted in 2022. All awards granted in 2021 vested 100% one year from the grant date. The grant date fair value of the restricted stock is based on the closing price on the date prior to the grant. Shares Weighted Average Grant Date Fair Value Outstanding at December 31, 2020 66,416 $ 7.00 Granted 20,000 13.18 Vested (33,206) 7.00 Outstanding at December 31, 2021 53,210 $ 9.33 Granted — — Vested (53,210) 9.33 Outstanding at December 31, 2022 — $ — Nonvested at December 31, 2022 — — Compensation expense for restricted stock is measured based on the market price of the stock on the day prior to the grant date and is recognized on a straight-line basis over the vesting period. For the years ended December 31, 2022 and 2021, the Corporation

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2022
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The following table presents the components of federal and state income tax expense for the periods indicated: (dollars in thousands) December 31, December 31, Federal: Current $ 4,580 $ 10,022 Deferred 903 (717) Total federal income tax expense $ 5,483 $ 9,305 State: Current $ 494 $ 1,463 Deferred 114 (51) Total state income tax expense $ 608 $ 1,412 Total income tax expense $ 6,091 $ 10,717 A reconciliation of the statutory income tax at 21% to the income tax expense included in the statement of operations is as follows for 2022 and 2021, respectively: (dollars in thousands) December 31, 2022 December 31, 2021 Federal income tax at statutory rate $ 5,863 21.0 % $ 9,733 21.0 % State tax expense, net of federal benefit 480 1.7 1,116 2.4 Tax exempt interest (276) (1.0) (248) (0.5) Bank owned life insurance (116) (0.4) (77) (0.2) Stock based compensation 36 0.1 81 0.2 ESOP 48 0.2 41 0.1 Other 56 0.2 71 0.1 Effective income tax rate $ 6,091 21.8 % $ 10,717 23.1 % The components of the net deferred tax asset at December 31, 2022 and 2021 are as follows: (dollars in thousands) December 31, December 31, Deferred tax assets: Allowance for loan and lease losses $ 4,212 $ 4,345 Unrealized loss on available for sale securities 3,327 — Accrued incentive compensation — 287 Accrued retirement 891 874 Mortgage pipeline fair-value adjustment 535 — Deferred rent 96 141 Mortgage repurchase reserve 192 738 Other 179 183 Total deferred tax asset $ 9,432 $ 6,568 Deferred tax liabilities: Property and equipment $ (948) $ (535) Loan servicing rights (2,762) (2,957) Intangibles (23) (15) Mortgage pipeline fair-value adjustment — (308) Hedge instrument fair-value adjustment (12) (190) Unrealized gain on available for sale securities — (213) Prepaid expenses (341) (465) Deferred loan costs (1,410) (471) Other — (1) Total deferred tax liability $ (5,496) $ (5,155) Net deferred tax asset $ 3,936 $ 1,413 The effective tax rates for the twelve-month periods ended December 31, 2022 and 2021 were 21.8% and 23.1% respectively. The decrease in rate between 2021 and 2022 was primarily related to the decrease in pre-tax income as well as a reduction in state income tax expense. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. Based on the level of historical taxable income and projections for future taxable income over the periods in which the deferred tax assets are deductible, management believes it is more likely than not that the Corporation will realize the benefits of these deferred tax assets.

Transactions with Executive Off

Transactions with Executive Officers, Directors and Principal Stockholders	12 Months Ended
	Dec. 31, 2022
Related Party Transactions [Abstract]
Transactions with Executive Officers, Directors and Principal Stockholders	Transactions with Executive Officers, Directors and Principal Stockholders The Corporation has had, and may be expected to have in the future, banking transactions in the ordinary course of business with its executive officers, directors, principal stockholders, their immediate families and affiliated companies (commonly referred to as related parties). Loans receivable from related parties totaled $2.0 million and $5.1 million at December 31, 2022 and 2021, respectively. Advances, repayments, and the effect of changes in composition of related parties during 2022 totaled $5.2 million, $6.1 million, and $2.2 million, respectively. Advances, repayments, and the effect of changes in composition of related parties during 2021 totaled $2.8 million, $1.3 million, and $284 thousand, respectively. Deposits of related parties totaled $32.6 million and $34.7 million at December 31, 2022 and 2021, respectively. Subordinated debt held by related parties totaled $208 thousand and $409 thousand at December 31, 2022 and 2021, respectively.

Financial Instruments with Off-

Financial Instruments with Off-Balance Sheet Risk, Commitments and Contingencies	12 Months Ended
	Dec. 31, 2022
Text Block [Abstract]
Financial Instruments with Off-Balance Sheet Risk, Commitments and Contingencies	Financial Instruments with Off-Balance Sheet Risk, Commitments and Contingencies The Corporation is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and letters of credit. Such commitments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the balance sheet. The Corporation’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit is represented by the contractual amount of those instruments. The Corporation uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. A summary of the Corporation’s financial instrument commitments at December 31, 2022 and 2021 is as follows: (dollars in thousands) December 31, December 31, Commitments to fund loans and commitments under lines of credit $ 506,203 $ 486,632 Letters of credit 19,042 25,986 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. The Corporation evaluates each customer’s credit worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Corporation upon extension of credit, is based on management’s credit evaluation. Collateral held varies but may include personal or commercial real estate, accounts receivable, inventory and equipment. Outstanding letters of credit are conditional commitments issued by the Corporation to guarantee the performance of a customer to a third party. The majority of these are standby letters of credit that expire within the next twelve months. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending other loan commitments. The Corporation requires collateral supporting these letters of credit as deemed necessary. Management believes that the proceeds obtained through a liquidation of such collateral would be sufficient to cover the maximum potential amount of future payments required under the corresponding guarantees. Loans sold under FHA or investor programs are subject to indemnification or repurchase if they fail to meet the origination criteria of those programs or if the loan is two or three months delinquent during a set period that usually varies from the first six months to a year after the loan is sold. There was 2 indemnifications signed for the year ended December 31, 2022 for $734 thousand, and 1 indemnification signed for the year ended December 31, 2021 for $109 thousand. A repurchase reserve of $858 thousand was recorded at December 31, 2022, as compared to $3.2 million as of December 31, 2021. There were 8 loans repurchased for the year

Regulatory Matters

Regulatory Matters	12 Months Ended
	Dec. 31, 2022
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract]
Regulatory Matters	Regulatory Matters The Bank and the Corporation are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet the 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 Corporation’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank and the Corporation must meet specific capital guidelines that involve quantitative measures of their assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s and the Corporation’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk-weightings and other factors. Quantitative measures established by regulation to ensure capital adequacy require the Bank and the Corporation to maintain minimum amounts and ratios (set forth below) of total and Tier 1 capital (as defined in the regulations) to risk-weighted assets, and of Tier 1 capital to average assets. Management believes, as of December 31, 2022, that the Bank and the Corporation meet all capital adequacy requirements to which it is subject. Community banks have long raised concerns with bank regulators about the regulatory burden, complexity, and costs associated with certain provisions of the Basel III Rule. In response, Congress provided an “off-ramp” for institutions, like us, with total consolidated assets of less than $10 billion. Section 201 of the Regulatory Relief Act instructed the federal banking regulators to establish a single CBLR of between 8 and 10%. Under the final rule, a community banking organization is eligible to elect the new framework if it has: less than $10 billion in total consolidated assets, limited amounts of certain assets and off-balance sheet exposures, and a CBLR greater than 9%. The Bank’s CBLR ratio wa s 9.95% at December 31, 2022 . As of December 31, 2022, the Federal Deposit Insurance Corporation categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. There are no conditions or events since that notification that management believes have changed the Bank’s category. The Bank is subject to certain restrictions on the amount of dividends that it may declare and pay to the Corporation due to regulatory considerations. The Pennsylvania Banking Code provides that cash dividends may be declared and paid only out of accumulated net earnings. The Corporation’s and the Banks’s actual and required capital amounts and ratios under the CBLR rules at December 31, 2022 and 2021 are presented below. Corporation Bank Well-capitalized minimum December 31, December 31, December 31, December 31, Tier 1 leverage ratio 8.13 % 9.39 % 9.95 % 11.51 % 5.00 % Common tier 1 risk-based capital ratio 8.77 % 10.83 % 10.73 % 13.27 % 6.50 % Tier 1 risk-based capital ratio 8.77 % 10.83 % 10.73 % 13.27 % 8.00 % Total risk-based capital ratio 12.05 % 14.81 % 11.87 % 14.63 % 10.00 %

Fair Value Measurements and Dis

Fair Value Measurements and Disclosures	12 Months Ended
	Dec. 31, 2022
Fair Value Disclosures [Abstract]
Fair Value Measurements and Disclosures	Fair Value Measurements and Disclosures The Corporation uses fair value measurements to record fair value adjustments to certain assets and liabilities. The fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Corporation’s various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. The fair value guidance provides a consistent definition of fair value, which focuses on exit price in an orderly transaction (that is, not a forced liquidation or distressed sale) between market participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation techniques or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions. In accordance with this guidance, the Corporation groups its financial assets and financial liabilities measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. Level 1 – Valuation is based on quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 2 – Valuation is based on inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. The valuation may be based on quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability. Level 3 – Valuation is based on unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which determination of fair value requires significant management judgment or estimation. Following is a description of the valuation methodologies used for instruments measured at fair value on a recurring basis. Securities The fair value of securities available-for-sale (carried at fair value) and held to maturity (carried at amortized cost) are determined by matrix pricing (Level 2), which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted market prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted prices. Mortgage Loans Held for Sale The fair value of loans held for sale is based on secondary market prices. Mortgage Loans Held for Investment The fair value of mortgage loans held for investment is based on the price secondary markets are currently offering for similar loans using observable market data. Derivative Financial Instruments The fair values of forward commitments and interest rate swaps are based on market pricing and therefore are considered Level 2. Derivatives classified as Level 3 consist of interest rate lock commitments related to mortgage loan commitments. The determination of fair value includes assumptions related to the likelihood that a commitment will ultimately result in a closed loan, which is a significant unobservable assumption. A significant increase or decrease in the external market price would result in a significantly higher or lower fair value measurement. The following table presents the fair value of financial assets measured at fair value on a recurring basis by level within the fair value hierarchy at the dates indicated : December 31, 2022 (dollars in thousands) Total Level 1 Level 2 Level 3 Assets Securities available for sale: U.S. asset backed securities $ 15,281 $ — $ 15,281 $ — U.S. government agency MBS 11,739 — 11,739 — U.S. government agency CMO 23,318 — 23,318 — State and municipal securities 38,838 — 38,838 — U.S. Treasuries 29,523 29,523 — — Non-U.S. government agency CMO 9,089 — 9,089 — Corporate bonds 7,558 — 7,558 — Equity investments 2,086 — 2,086 — Mortgage loans held for sale 22,243 — 22,243 — Mortgage loans held for investment 14,502 — 14,502 — Interest rate lock commitments 87 — — 87 Forward commitments — — — — Customer derivatives - interest rate swaps 3,846 — 3,846 — Total $ 178,110 $ 29,523 $ 148,500 $ 87 Liabilities Interest rate lock commitments $ 79 $ — $ — $ 79 Customer derivatives - interest rate swaps 3,799 — 3,799 — December 31, 2022 (dollars in thousands) Total Level 1 Level 2 Level 3 Risk Participation Agreements 17 — 17 — Total $ 3,895 $ — $ 3,816 $ 79 December 31, 2021 (dollars in thousands) Total Level 1 Level 2 Level 3 Assets Securities available for sale: U.S. asset backed securities $ 16,837 $ — $ 16,837 $ — U.S. government agency MBS 9,813 — 9,813 — U.S. government agency CMO 22,381 — 22,381 — State and municipal securities 72,982 — 72,982 — U.S. Treasuries 29,728 29,728 — — Non-U.S. government agency CMO 975 — 975 — Corporate bonds 6,586 — 6,586 — Equity investments 2,354 — 2,354 — Mortgage loans held for sale 80,882 — 80,882 — Mortgage loans held for investment 17,558 — 17,558 — Interest rate lock commitments 1,122 — — 1,122 Forward commitments 65 — 65 — Customer derivatives - interest rate swaps 961 — 961 — Total $ 262,244 $ 29,728 $ 231,394 $ 1,122 Liabilities Interest rate lock commitments $ 203 $ — $ — $ 203 Forward commitments 106 — 106 — Customer derivatives - interest rate swaps 1,018 — 1,018 — Total $ 1,327 $ — $ 1,124 $ 203 The following table presents assets measured at fair value on a nonrecurring basis at the dates indicated: (dollars in thousands) December 31, December 31, Mortgage servicing rights $ 9,942 $ 10,756 SBA loan servicing rights 2,404 2,009 Impaired loans (1) Commercial and industrial — 1,837 Small business loans 2,281 290 Total $ 14,627 $ 14,892 (1) Impaired loans are those in which the Corporation has measured impairment generally based on the fair value of the loan’s collateral. Refer to the following page for further qualitative discussion around impaired loans. The following table details the valuation techniques for Level 3 impaired loans. (dollars in thousands) Fair Value Valuation Technique Significant Unobservable Input Range of Inputs December 31, 2022 $ 2,281 Appraisal of collateral Management adjustments on appraisals for property type and recent activity 2%-15% discount December 31, 2021 2,127 Appraisal of collateral Management adjustments on appraisals for property type and recent activity 2%-15% discount Below is management’s estimate of the fair value of all financial instruments, whether carried at cost or fair value on the Corporation’s balance sheet. The following information should not be interpreted as an estimate of the fair value of the entire Corporation since a fair value calculation is only provided for a limited portion of the Corporation’s assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between the Corporation’s disclosures and those of other companies may not be meaningful. The following methods and assumptions were used to estimate the fair value of the Corporation’s financial instruments: Cash and Cash Equivalents The carrying amounts reported in the balance sheet for cash and short-term instruments approximate those assets’ fair values. Loans Receivable The fair value of loans receivable is estimated using discounted cash flow analyses, using market rates at the balance sheet date that reflect the credit and interest rate-risk inherent in the loans. Projected future cash flows are calculated based upon contractual maturity or call dates, projected repayments and prepayments of principal. Generally, for variable rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. The fair value below is reflective of an exit price. Servicing Assets The Corporation estimates the fair value of mortgage servicing rights and SBA loan servicing rights using discounted cash flow models that calculate the present value of estimated future net servicing income. The model uses readily available prepayment speed assumptions for the interest rates of the portfolios serviced. These servicing rights are classified within Level 3 in the fair value hierarchy based upon management’s assessment of the inputs. The Corporation reviews the servicing rights portfolios on a quarterly basis for impairment. Impaired Loans Impaired loans are those in which the Corporation has measured impairment generally based on the fair value of the loan’s collateral. Fair value is generally determined based upon independent third‑party appraisals of the properties, or discounted cash flows based upon the expected proceeds. Non-real estate collateral may be valued using an appraisal, net book value per the borrower’s financial statements, or aging reports, adjusted or discounted based on management’s historical knowledge, changes in market conditions from the time of the valuation, and management’s expertise and knowledge of the client and client’s business. These assets are included as Level 3 fair values, based upon the lowest level of input that is significant to the fair value measurements. Impaired loans are evaluated on a quarterly basis for additional impairment and adjusted in accordance with the Allowance policy. Accrued Interest Receivable and Payable The carrying amount of accrued interest receivable and accrued interest payable approximates its fair value. Deposit Liabilities The fair values disclosed for demand deposits (e.g., interest and noninterest checking, passbook savings and money market accounts) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amounts). Fair values for fixed-rate certificates of deposit are estimated using a discounted cash flow calculation that applies interest rates currently being offered in the market on certificates to a schedule of aggregated expected monthly maturities on time deposits. Short-Term Borrowings The carrying amounts of short-term borrowings approximate their fair values. Long-Term Debt Fair values of FHLB advances and the acquisition purchase note payable are estimated using discounted cash flow analysis, based on quoted prices for new FHLB advances with similar credit risk characteristics, terms and remaining maturity. These prices obtained from this active market represent a market value that is deemed to represent the transfer price if the liability were assumed by a third party. Subordinated Debt Fair values of junior subordinated debt are estimated using discounted cash flow analysis, based on market rates currently offered on such debt with similar credit risk characteristics, terms and remaining maturity. Off-Balance Sheet Financial Instruments Off-balance sheet instruments are primarily comprised of loan commitments, which are generally priced at market at the time of funding. Fees on commitments to extend credit and stand-by letters of credit are deemed to be immaterial and these instruments are expected to be settled at face value or expire unused. It is impractical to assign any fair value to these instruments and as a result they are not included in the table below. Fair values assigned to the notional value of interest rate lock commitments and forward sale contracts are based on market quotes. Derivative Financial Instruments The fair value of forward commitments and interest rate swaps is based on market pricing and therefore are considered Level 2. Derivatives classified as Level 3 consist of interest rate lock commitments related to mortgage loan commitments. The determination of fair value includes assumptions related to the likelihood that a commitment will ultimately result in a closed loan, which is a significant unobservable assumption. A significant increase or decrease in the external market price would result in a significantly higher or lower fair value measurement. The following table presents the estimated fair values of the Corporation’s financial instruments at the dates indicated: December 31, 2022 December 31, 2021 (dollars in thousands) Fair Value Carrying Fair value Carrying Fair value Financial assets: Cash and cash equivalents Level 1 $ 38,391 $ 38,391 $ 23,480 $ 23,480 Mortgage loans held for sale Level 2 22,243 22,243 80,882 80,882 Loans receivable, net of the allowance for loan and lease losses Level 3 1,729,180 1,679,955 1,368,899 1,370,885 Mortgage loans held for investment Level 2 14,502 14,502 17,558 17,558 Financial liabilities: Deposits Level 2 1,712,479 1,575,600 1,446,413 1,549,100 Short-term borrowings Level 2 122,082 122,082 41,344 41,344 Subordinated debentures Level 2 40,346 40,020 40,508 40,803 The following table includes a rollforward of interest rate lock commitments for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the periods indicated. Year Ended (dollars in thousands) 2022 2021 Balance at beginning of the period $ 1,122 $ 6,932 Decrease in value (1,035) (5,810) Balance at end of the period $ 87 $ 1,122 The following table details the valuation techniques for Level 3 interest rate lock commitments. (dollars in thousands) Fair Value Valuation Technique Significant Unobservable Input Range of Inputs Weighted Average December 31, 2022 $ 87 Market comparable pricing Pull through 1% - 99% 84.05% December 31, 2021 1,122 Market comparable pricing Pull through 1% - 99% 87.66%

Derivative Financial Instrument

Derivative Financial Instruments	12 Months Ended
	Dec. 31, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	Derivative Financial Instruments Risk Management Objective of Using Derivatives The Corporation is exposed to certain risk arising from both its business operations and economic conditions. The Corporation principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Corporation manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its assets and liabilities and the use of derivative financial instruments. Specifically, the Corporation enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Corporation’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Corporation’s known or expected cash receipts and its known or expected cash payments principally related to the Corporation’s loan portfolio. Mortgage Banking Derivatives In connection with its mortgage banking activities, the Corporation enters into commitments to originate certain fixed rate residential mortgage loans for customers, also referred to as interest rate locks. In addition, the Corporation enters into forward commitments for the future sales or purchases of mortgage-backed securities to or from third-party counterparties to hedge the effect of changes in interest rates on the values of both the interest rate locks and mortgage loans held for sale. Forward sales commitments may also be in the form of commitments to sell individual mortgage loans or interest rate locks at a fixed price at a future date. The amount necessary to settle each interest rate lock is based on the price that secondary market investors would pay for loans with similar characteristics, including interest rate and term, as of the date fair value is measured. Interest rate lock commitments and forward commitments are recorded within other assets/liabilities on the consolidated balance sheets, with changes in fair values during the period recorded within net change in the fair value of derivative instruments on the consolidated statements of income. Customer Derivatives – Interest Rate Swaps Derivatives not designated as hedges are not speculative and result from a service the Corporation provides to certain customers to swap a fixed rate product for a variable rate product, or vice versa. The Corporation executes interest rate derivatives with commercial banking customers to facilitate their respective risk management strategies. Those interest rate derivatives are simultaneously hedged by offsetting derivatives that the Corporation executes with a third party, such that the Corporation minimizes its net interest rate risk exposure resulting from such transactions. As the interest rate derivatives associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the customer derivatives and the offsetting derivatives are recognized directly in earnings. The following table presents a summary of notional amounts and fair values of derivative financial instruments at the dates indicated: December 31, 2022 December 31, 2021 (dollars in thousands) Balance Sheet Line Item Notional Asset Notional Asset Interest Rate Lock Commitments Positive fair values Other assets $ 16,590 $ 87 $ 108,653 $ 1,122 Negative fair values Other liabilities 16,108 (79) 35,264 (203) Total $ 32,698 $ 8 $ 143,917 $ 919 Forward Commitments Positive fair values Other assets $ — $ — $ 30,500 $ 65 Negative fair values Other liabilities — — 45,500 (106) Total $ — $ — $ 76,000 $ (41) Customer Derivatives - Interest Rate Swaps Positive fair values Other assets $ 43,779 $ 3,846 $ 35,447 $ 961 Negative fair values Other liabilities 43,779 (3,799) 35,447 (1,018) Total $ 87,558 $ 47 $ 70,894 $ (57) Risk Participation Agreements Positive fair values Other assets $ — $ — $ — $ — Negative fair values Other liabilities 7,200 (17) — — Total $ 7,200 $ (17) $ — $ — Total derivative financial instruments $ 127,456 $ 38 $ 290,811 $ 821 Interest rate lock commitments are considered Level 3 in the fair value hierarchy, while the forward commitments and interest rate swaps are considered Level 2 in the fair value hierarchy. The following table presents a summary of the fair value (losses) gains on derivative financial instruments: Year Ended (dollars in thousands) 2022 2021 Interest Rate Lock Commitments $ (911) $ (5,913) Forward Commitments 41 1,531 Customer Derivatives - Interest Rate Swaps 105 44 Risk Participation Agreements 62 — Net fair value (losses) gains on derivative financial instruments $ (703) $ (4,338) Net realized gains on derivative hedging activities were $5.4 million and net realized gains were $3.0 million for the year ended December 31, 2022 and 2021, respectively, and are included in non-interest income in the consolidated statements of income.

Segments

Segments	12 Months Ended
	Dec. 31, 2022
Segment Reporting [Abstract]
Segments	Segments ASC Topic 280 – Segment Reporting identifies operating segments as components of an enterprise which are evaluated regularly by the Corporation’s Chief Operating Decision Maker, our Chief Executive Officer, in deciding how to allocate resources and assess performance. The Corporation has applied the aggregation criterion set forth in this codification to the results of its operations. Our Banking segment (“Bank”) consists of commercial and retail banking. The Banking segment generates interest income from its lending (including leasing) and investing activities and is dependent on the gathering of lower cost deposits from its branch network or borrowed funds from other sources for funding its loans, resulting in the generation of net interest income. The Banking segment also derives revenues from other sources including gains on the sale of SBA loans, sales of available for sale investment securities, service charges on deposit accounts, cash sweep fees, overdraft fees, BOLI income, title insurance fees, and other less significant non-interest income. Meridian Wealth (“Wealth”), a registered investment advisor and wholly-owned subsidiary of the Bank, provides a comprehensive array of wealth management services and products and the trusted guidance to help its clients and our banking customers prepare for the future. The unit generates non-interest income through advisory fees. Meridian’s mortgage banking segment (“Mortgage”) consists of 12 loan production offices throughout suburban Philadelphia and Maryland. The Mortgage segment originates 1 – 4 family residential mortgages and sells nearly all of its production to third party investors. The unit generates net interest income on the loans it originates and holds temporarily, then earns fee income (primarily gain on sales) at the time of the sale. The unit also recognizes income from document preparation fees, changes in portfolio pipeline fair values and related net hedging gains (losses). The table below summarizes income and expenses, directly attributable to each business line, which has been included in the statement of operations. Total assets for each segment is also provided. Segment Information Year Ended December 31, 2022 Year Ended December 31, 2021 (dollars in thousands) Bank Wealth Mortgage Total Bank Wealth Mortgage Total Net interest income $ 68,570 $ 697 $ 861 $ 70,128 $ 61,032 $ 15 $ 2,064 $ 63,111 Provision for loan losses 2,488 — — 2,488 1,070 — — 1,070 Net interest income after provision 66,082 697 861 67,640 59,962 15 2,064 62,041 Non-interest Income Mortgage banking income 436 — 24,889 25,325 1,097 — 74,835 75,932 Wealth management income — 4,733 — 4,733 — 4,801 — 4,801 SBA income 4,467 — — 4,467 6,898 — — 6,898 Net change in fair values 167 — (4,122) (3,955) 43 — (7,881) (7,838) Net gain on hedging activity — — 5,439 5,439 — — 2,961 2,961 Other 2,486 (1) 3,230 5,715 2,741 1 2,492 5,234 Non-interest income 7,556 4,732 29,436 41,724 10,779 — 4,802 72,407 87,988 Non-interest expense 45,122 3,399 32,923 81,444 40,392 3,496 59,839 103,727 Income (loss) before income taxes $ 28,516 $ 2,030 $ (2,626) $ 27,920 $ 30,349 — $ 1,321 $ 14,632 $ 46,302 Total Assets $ 2,011,835 $ 8,142 $ 42,251 $ 2,062,228 $ 1,608,305 $ 6,355 $ 98,783 $ 1,713,443

Parent Company Financial Statem

Parent Company Financial Statements	12 Months Ended
	Dec. 31, 2022
Condensed Financial Information Disclosure [Abstract]
Parent Company Financial Statements	Parent Company Financial Statements The condensed financial statements of the Corporation (parent company only) are presented below. These statements should be read in conjunction with the notes to the consolidated financial statements. All share amounts have been adjusted to reflect the two-for-one stock split effective February 28, 2023. A. Condensed Balance Sheets (dollars in thousands, except share data) December 31, December 31, Assets: Cash and due from banks $ 4,839 $ 2,836 Investments in subsidiaries 186,686 200,410 Other assets 1,382 1,382 Total assets $ 192,907 $ 204,628 Liabilities: Subordinated debentures $ 39,175 $ 39,057 Accrued interest payable 6 6 Other liabilities 446 205 Total liabilities $ 39,627 $ 39,268 Stockholders’ equity: Common stock, $1 par value: 25,000,000 shares authorized; 13,156,308 and 13,069,174 shares issued, respectively; and 11,465,572 and 12,215,788 shares outstanding, respectively. 13,156 6,535 Surplus 79,072 83,663 Treasury Stock - 1,690,736 and 853,386 shares, respectively, at cost (21,821) (8,860) Unearned common stock held by employee stock ownership plan (1,403) (1,602) Retained earnings 95,815 84,916 Accumulated other comprehensive income (11,539) 708 Total stockholders’ equity $ 153,280 $ 165,360 Total liabilities and stockholders’ equity $ 192,907 $ 204,628 B. Condensed Statements of Income Year Ended December 31, (dollars in thousands) 2022 2021 Dividends from Bank $ 27,813 $ 17,187 Interest income 8 — Total operating income 27,821 17,187 Interest expense 2,268 2,303 Other expenses 1,412 1,675 Income before equity in undistributed income of subsidiaries 24,141 13,209 Equity in undistributed income of subsidiaries (3,084) 22,376 Income before income taxes 21,057 35,585 Income tax benefit (772) — Net income 21,829 35,585 Total other comprehensive (loss) income (12,247) (1,848) Total comprehensive income $ 9,582 $ 33,737 C. Condensed Statements of Cash Flows Year Ended December 31, (dollars in thousands) 2022 2021 Cash flows from operating activities: Net Income $ 21,829 $ 35,585 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in undistributed income of subsidiaries 3,084 (22,376) Share-based compensation 1,475 1,607 Amortization of issuance costs on subordinated debt 118 153 Other, net (1,369) (740) Year Ended December 31, (dollars in thousands) 2022 2021 Net cash provided by operating activities 25,137 14,229 Cash flows from financing activities: Net purchase of treasury stock (12,961) (3,032) Dividends paid (10,926) (9,679) Share based awards and exercises 754 1,105 Net cash (used in) provided by financing activities (23,133) (11,606) Net change in cash and cash equivalents 2,004 2,623 Cash and cash equivalents at beginning of period 2,836 213 Cash and cash equivalents at end of period $ 4,840 $ 2,836

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2022
Accounting Policies [Abstract]
Nature of Operations	Nature of Operations Meridian Corporation (“Meridian” or the “Corporation”) is a bank holding company engaged in banking activities through its wholly-owned subsidiary, Meridian Bank (the “Bank”), a full-service, state-chartered commercial bank with offices in the Delaware Valley tri-state market, which includes Pennsylvania, New Jersey and Delaware, as well as the Central Maryland market area, and Florida. We have a financial services business model with significant noninterest income streams from mortgage banking, SBA lending and wealth management services. We provide services to small and middle market businesses, professionals and retail customers throughout our market area. We have a modern, progressive, consultative approach to creating innovative solutions for our customers. We are technology driven, with a culture that incorporates significant use of customer preferred alternative delivery channels, such as mobile banking, remote deposit capture and bank-to-bank ACH. Our ‘Meridian everywhere’ philosophy of community presence, along with our strategic business footprint, allows us to provide the high degree of service, convenience and products our customers need to achieve their financial objectives. We provide this service through three principal business line distribution channels, described further below. The Corporation operates in highly competitive market areas that includes local, regional, and national banks as competitors along with savings banks, credit unions, fintech companies, insurance companies, trust companies and registered investment advisors. The Corporation and its subsidiaries are regulated by many regulatory agencies including the SEC, FDIC, the FRB and the PDBS.
Basis of Presentation	Basis of Presentation The accounting policies of the Corporation conform to U.S. GAAP. The consolidated financial statements include accounts of the Corporation and its wholly owned subsidiary, the Bank, and the wholly owned subsidiaries of the Bank: Meridian Land Settlement Services LLC (“MLSS”); APEX Realty LLC (“APEX”); Meridian Wealth Partners LLC (“MWP”); and Meridian Equipment Finance LLC (“MEF”). All significant intercompany balances and transactions have been eliminated in consolidation. Certain prior year amounts have been reclassified to conform to the current year’s presentation. Reclassifications had no effect on prior year net income or total stockholders’ equity.
Significant Concentrations of Credit Risk	Significant Concentrations of Credit Risk Most of the Corporation’s activities are with customers located in the Delaware Valley tri-state market and the central Maryland market area. Note 4 discusses the types of securities that the Corporation invests in. Note 5 discusses types of lending that the Corporation engages in. Although the Corporation has a diversified loan portfolio, its debtors’ ability to honor their contracts is influenced by the region’s economy. The Corporation does not have any significant concentrations to any one industry or customer, however there is significant concentration of commercial real estate-backed loans, amounting to 33% and 37% of total loans held for investment, as of December 31, 2022 and December 31, 2021, respectively.
Presentation of Cash Flows	Presentation of Cash Flows For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks and federal funds sold. Generally, federal funds are purchased or sold for one day periods. The FRB removed cash minimum reserve requirements in March 2020. Net cash flows are reported for customer loan and deposit transactions, interest bearing deposits in other financial institutions, and the federal funds purchased and repurchased agreements.
Securities	Securities Management determines the appropriate classification of debt securities at the time of purchase and re-evaluates such designation as of each balance sheet date. Securities classified as available-for-sale are those securities that the Corporation intends to hold for an indefinite period of time but not necessarily to maturity. Securities available-for-sale are carried at fair value. Any decision to sell a security classified as available-for-sale would be based on various factors, including significant movement in interest rates, changes in maturity mix of the Corporation’s assets and liabilities, liquidity needs, regulatory capital considerations and other similar factors. Unrealized gains and losses are reported as increases or decreases in other comprehensive income. Gains or losses on disposition are based on the net proceeds and cost of the securities sold, adjusted for the amortization of premiums and accretion of discounts, using the specific identification method. Securities classified as held to maturity are those debt securities the Corporation has both the intent and ability to hold to maturity regardless of changes in market conditions, liquidity needs or changes in general economic conditions. These securities are carried at cost adjusted for the amortization of premium and accretion of discount, computed on a level yield basis. Investments in equity securities are recorded in accordance with ASC 321-10, Investments - Equity Securities. Equity securities are carried at fair value, with changes in fair value reported in net income. At December 31, 2022 and 2021, investments in equity securities consisted of an investment in mutual funds with a fair value of $2.1 million, and $2.4 million, respectively. The Corporation’s accounting policy specifies that (a) if the Corporation does not have the intent to sell a debt security prior to recovery and (b) it is more likely than not that it will not have to sell the debt security prior to recovery, the security would not be considered other-than-temporarily impaired, unless there is a credit loss. When the Corporation does not intend to sell the security, and it is more likely than not, the Corporation will not have to sell the security before recovery of its cost basis, it will recognize the credit component of an other-than-temporary impairment of a debt security in earnings and the remaining portion in other comprehensive income. The Corporation did not recognize any other-than-temporary impairment charges during the years ended December 31, 2022 and 2021.
Loans Receivable	Loans and Other Finance Receivables Loans and other finance receivables that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are stated at their outstanding unpaid principal balances, net of an allowance for loan losses and any deferred fees or costs. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the yield (interest income) of the related loans. The Corporation generally amortizes these amounts over the contractual life of the loan. Loans that were originated by the Corporation and intended for sale in the secondary market to permanent investors, but were either repurchased or unsalable due to defect, are held for the foreseeable future or until maturity or payoff, are carried at fair value. The accrual of interest is discontinued when the contractual payment of principal or interest has become 90 days past due or management has serious doubts about further collectability of principal or interest, even though the loan is currently performing. A loan may remain on accrual status if it is in the process of collection and is either guaranteed or well secured. When a loan is placed on nonaccrual status, unpaid interest credited to income in the current year is reversed and charged against current year income. Interest received on nonaccrual loans generally is either applied against principal or reported as interest income, according to management’s judgment as to the collectability of principal. Generally, loans are restored to accrual status when the obligation is brought current, has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectability of the total contractual principal and interest is no longer in doubt.
Allowance for Loan and Lease Losses	Allowance for Loan and Lease Losses The Allowance or ALLL is a valuation for probable incurred credit losses established through provisions for loan losses charged against income. Loans deemed to be uncollectible are charged against the Allowance, and subsequent recoveries, if any, are credited to the Allowance. All, or part, of the principal balance of loans receivable are charged off to the Allowance as soon as it is determined that the repayment of all, or part, of the principal balance is highly unlikely. Charge-offs for retail consumer loans and equipment leases are generally made for any balance not adequately secured after 120 days cumulative days past due. The Allowance is maintained at a level considered adequate to provide for probable incurred credit losses. Management’s periodic evaluation of the adequacy of the Allowance is based on known and inherent risks in the portfolio, adverse situations that may affect the borrower’s ability to repay, the estimated value of any underlying collateral, composition of the loan portfolio, current economic conditions and other relevant factors. This evaluation is subjective as it requires material estimates that may be susceptible to significant revisions as more information becomes available. In addition, Federal regulatory agencies, as an integral part of their examination process, periodically review the Corporation’s Allowance and may require the Corporation to recognize additions to the Allowance based on their judgments about information available to them at the time of their examination, which may not be currently available to management. The Allowance consists of general and specific components. The general component covers non-classified loans, as well as, non-impaired classified loans and is based on historical loss experience adjusted for qualitative factors. The specific component relates to loans that are classified as doubtful, substandard, and are on non-accrual and have been deemed impaired. Loan classifications are determined based on various assessments such as the borrower’s overall financial condition, payment history, repayment sources, guarantors and value of collateral. We apply historical loss rates to pools of loans with similar risk characteristics. Loss rates are calculated by historical charge-offs that have occurred within each pool of loans over the LEP. The LEP is an estimate of the average amount of time from when an event happens that causes the borrower to be unable to pay on a loan until the loss is confirmed through a loan charge-off. Another key assumption is the LBP, which represents the historical data period utilized to calculate loss rates. Our LBP goes back to Q1 2010 for all portfolio segments, as applicable, which encompasses our loss experience during the Financial Crisis, and our more recent improved loss experience. After consideration of the historic loss calculations, management applies qualitative adjustments so that the Allowance is reflective of the inherent losses that exist in the loan portfolio at the balance sheet date. Qualitative adjustments are made based upon changes in lending policies and practices, economic conditions, changes in the loan portfolio, changes in lending management, results of internal loan reviews, asset quality trends, collateral values, concentrations of credit risk and other external factors. The evaluation of the various components of the Allowance requires considerable judgment in order to estimate inherent loss exposures. A loan is considered impaired when, based on current information and events, it is probable that the Corporation will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement, or a TDR. 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. For commercial and construction loans, impairment is measured on a loan by loan basis 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 adjusted for cost to sell, if the loan is collateral dependent. Large groups of smaller balance homogeneous residential mortgage and consumer loans are collectively evaluated for impairment. Accordingly, the Corporation does not separately identify individual loans of this nature for impairment disclosures, unless such loans become impaired or are troubled and the subject of a restructuring agreement. Loans whose terms are modified are classified as TDRs if the Corporation grants such borrowers concessions and it is deemed that those borrowers are experiencing financial difficulty. Concessions granted under a TDR generally involve a temporary reduction in interest rate or an extension of a loan’s stated maturity date. TDRs are considered impaired loans. No portion of the Allowance is restricted to any individual loan or groups of loans, and the entire Allowance is available to absorb any and all loan and lease losses. The Corporation has identified the following portfolio segments with similar risk characteristics for measuring credit losses: Commercial mortgage – Our commercial real estate loans are secured by real estate that is both owner-occupied and investor owned. Owner-occupied commercial real estate loans generally involve less risk than an investment property and are distinctly reported from non-owner occupied commercial real estate loans for measuring loan concentrations for regulatory purposes. Repayment of commercial real estate loans depends on the cash flow of the borrower and the net operating income of the property, the borrower’s profitability, and the value of the underlying property. Of primary concern in commercial real estate lending is the borrower’s creditworthiness and the cash flows from the property. Payments on loans secured by income properties often depend on successful operation and management of the properties. As a result, repayment of such loans may be subject, to a greater extent than residential real estate loans, to adverse conditions in the real estate market or the economy. Commercial real estate is also subject to adverse market conditions that cause a decrease in market value or lease rates, obsolescence in location or function and market conditions associated with oversupply of units in a specific region. Residential mortgage – Residential loans held in portfolio are primarily secured by single-family homes located in our market areas. Residential loans are generally made on the basis of the borrower’s ability to make repayment from employment income or other income, and are secured by real property whose value tends to be more easily ascertainable. Repayment of single-family loans are subject to adverse employment conditions in the local economy leading to increased default rates and decreased market values, including from oversupply in a geographic area. In general, these loans depend on the borrower’s continuing financial stability and, therefore, are likely to be adversely affected by various factors, including job loss, divorce, illness, or personal bankruptcy. Furthermore, the application of various federal and state laws, including federal and state bankruptcy and insolvency laws, may limit the amount that can be recovered on such loans. Construction – Construction financing is generally considered to involve a higher degree of risk of loss than long-term financing on improved, occupied real estate. Risk of loss on a construction loan depends largely upon the accuracy of the initial estimate of the property’s value at completion of construction and the estimated cost of construction. During the construction phase, a number of factors could result in delays and cost overruns. If the estimate of construction costs proves to be inaccurate, additional funds may be required to be advanced in excess of the amount originally committed to permit completion of the building. Commercial and Industrial – We provide a variety of variable and fixed rate commercial business loans, lines of credit, and other finance receivables. These credit facilities are made to small and medium-sized manufacturers and wholesale, retail and service-related businesses. Commercial business loans generally include lines of credit and term loans with a maturity of 5 years or less. The primary source of repayment for commercial business loans and other finance receivables is generally operating cash flows of the business and may also include collateralization of inventory, accounts receivable, equipment and/or personal guarantees. As a result, the availability of funds for repayment may depend substantially on the success of the business itself. Furthermore, any collateral may depreciate over time, may be difficult to appraise, and may fluctuate in value. Leases – Meridian Equipment Finance specializes in small ticket equipment leases for small and mid-sized businesses nationally and through a broad range of industries. The Bank’s credit risk generally results from the potential default of borrowers which may be driven by customer specific or broader industry related conditions. Consumer, including home equity – Our consumer-lending department principally originates home equity based products for our clients and prospects. These loans typically fund completely at closing. Additional products include smaller dollar personal loans and our student loan refinance product, designed to provide additional flexibility in repayment terms desired in the marketplace. Most consumer loans are originated in Meridian’s primary market and surrounding areas. The largest component of Meridian’s consumer loan portfolio consists of fixed rate home equity loans and variable rate home equity lines of credit. Substantially all home equity loans and lines of credit are secured by junior lien mortgages on principal residences. The Bank will lend amounts, which, together with all prior liens, typically may be up to 90% of the appraised value of the property securing the loan. Home equity term loans may have maximum terms up to 20 years, while home equity lines of credit generally have maximum terms of 15 years .
Mortgage Banking Activities and Mortgage Loans Held for Sale	Mortgage Banking Activities and Mortgage Loans Held for Sale The Corporation’s mortgage banking division operates 7 offices in the tri-state area of Pennsylvania, Delaware and New Jersey and another 6 offices in Maryland. The mortgage banking division originates conventional mortgages, FHA, VA, USDA, and other state insured mortgages. The loans are generally sold to various investors in the secondary market. Mortgage loans originated by the Corporation and intended for sale in the secondary market to permanent investors are classified as mortgage loans held for sale on the balance sheet as the Corporation has elected to measure loans held for sale at fair value. Fair value is based on outstanding investor commitments or, in the absence of such commitments, on current investor yield requirements based on third party models. Gains and losses on sales of these loans, as well as loan origination costs, are recorded as a component of non-interest income in the consolidated statements of income. The Corporation’s current practice is to sell residential mortgage loans and retain the servicing rights, as discussed further below. Interest on loans held for sale is credited to income based on the principal amounts outstanding. The Corporation enters into commitments to originate loans whereby the interest rate on the loan is determined prior to funding (interest rate lock commitments). Rate lock commitments on mortgage loans that are intended to be sold are considered to be derivatives. Time elapsing between the issuance of a loan commitment and closing and sale of the loan generally ranges from 30 days to 120 days. The Corporation protects itself from changes in interest rates through the use of best efforts forward sale contracts, whereby the Corporation commits to sell a loan at the time the borrower commits to an interest rate with the intent that the buyer has assumed interest rate risk on the loan. The Corporation may also commit to loan sales through a mandatory sales channel which are economically hedged by the future sale of mortgage-backed securities to third-party counterparties to mitigate the effect of changes in interest rates on the values of both the interest rate locks and mortgage loans held for sale. By entering into best efforts commitments and economically hedging the mandatory commitments, the Corporation limits its exposure to loss and its realization of significant gains related to its rate lock commitments due to changes in interest rates. The Corporation utilizes a third-party model to determine the fair value of rate lock commitments or forward sale contracts. This model uses investor quotes while taking into consideration the probability that the rate lock commitments will close. Net derivative assets and liabilities are recorded within other assets or other liabilities, respectively, on the consolidated balance sheets, with changes in fair value during the period recorded within net change in the fair value of derivative instruments on the consolidated statements of income.
Loan Servicing Rights	Loan Servicing Rights The Corporation sells substantially all of the residential mortgage loans originated for sale in the secondary market; however, the Corporation may retain the servicing rights related to some of these loans. A fee, usually based on a percentage of the outstanding principal balance of the loan, is received in return for these services. MSRs are recognized when a loan’s servicing rights are retained upon sale of a loan. When mortgage loans are sold with servicing retained, MSRs are initially recorded at fair value with the income effect recorded in non-interest income. The Corporation also sells the guaranteed portion of certain SBA loans to third parties and retains servicing rights and receives servicing fees. All such transfers are accounted for as sales. While the Corporation may retain a portion of certain sold SBA loans, its continuing involvement in the portion of the loan that was sold is limited to certain servicing responsibilities. These servicing assets amortize in proportion to, and over the period of, the estimated future net servicing life of the underlying loans. The servicing assets are evaluated quarterly for impairment based upon the fair value of the rights as compared to their amortized cost. Impairment is recognized on the income statement to the extent the fair value is less than the capitalized amount of the servicing assets.
Other Real Estate Owned	Other Real Estate Owned OREO is comprised of property acquired through a foreclosure proceeding or acceptance of a deed-in-lieu of foreclosure. The Corporation acquires OREO through the wholly owned subsidiary of the Bank, Apex Realty. OREO is recorded at the lower of cost or fair value, or the loan amount net of estimated selling costs, at the date of foreclosure. The cost basis of OREO is its recorded value at the time of acquisition. After acquisition, valuations are periodically performed by management and subsequent changes in the valuation allowance are charged to OREO expense. Revenues, such as rental income, and holding expenses, as applicable, are included in other income and other expenses, respectively. The Corporation had one $1.7 million single property in OREO at December 31, 2022 and $0 at December 31, 2021.
Restricted Investment in Bank Stock	Restricted Investment in Bank Stock Restricted bank stock is principally comprised of stock in the FHLB. Federal law requires a member institution of the FHLB to hold stock according to a predetermined formula. As of December 31, 2022, and 2021, the Corporation had an investment of $6.9 million and $5.1 million, respectively, related to the FHLB stock. Also included in restricted stock is secondary stock from a correspondent bank in the amount of $50 thousand as of December 31, 2022 and 2021. All restricted stock is carried at cost. Management’s determination of whether these investments are impaired is based on their assessment of the ultimate recoverability of their cost rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability of their cost is influenced by criteria such as (1) significance of the decline in net assets of the banks as compared to the capital stock amount and the length of time this situation has persisted, (2) commitments by the banks to make payments required by law or regulation and the level of such payments in relation to the operating performance of the banks, and (3) the impact of legislative and regulatory changes on institutions and, accordingly, on the customer base of the banks.
Transfers of Financial Assets	Transfers of Financial Assets Transfers of financial assets, including loan and loan participation sales, are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Corporation, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Corporation does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity.
Bank Premises and Equipment	Bank Premises and Equipment Bank premises and equipment are stated at cost less accumulated depreciation. Land is carried at cost. Buildings and related components are depreciated using the straight-line method with useful lives ranging from 12 to 40 years Furniture, fixtures and equipment are depreciated using the straight-line method with useful lives ranging from 3 to 7 years and 3 to 5 years for computer software and hardware, respectively. Leasehold improvements are amortized over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. The costs of maintenance and repairs are expensed as incurred; while major replacements, improvements and additions are capitalized.
Lease Liabilities and Right of Use Assets	Lease Liabilities and Right of Use Assets The Corporation is obligated under non-cancelable operating leases for premises for various retail branch locations and loan production offices. The Corporation determines if an arrangement is a lease at inception by assessing whether a contract contains a right to control an identified asset for a period of time in exchange for consideration. Operating leases are included in operating lease right-of-use assets and operating lease liabilities in the consolidated balance sheets. For purposes of calculating operating lease liabilities, lease terms include options to extend or terminate the lease when it is reasonably certain that the Corporation will exercise that option and begins when the Corporation has control and possession of the leased property, which may be before rental payments are due under the lease. Right-of use assets and operating lease liabilities are recognized based on the present value of lease payments, discounted using the Corporation's incremental borrowing rate, over the lease term at the possession date. The Corporation determines its incremental borrowing rate using publicly available information available for debt issuers with similar credit ratings as the Bank, as the substantial majority of the Corporation's leases are related to properties of the Bank. The Corporation separately accounts for lease and non-lease components such as property taxes, insurance, and maintenance costs. Operating lease expense for the Corporation's leases, which generally have escalating rental payments over the term of the lease, is recognized on a straight-line basis over the lease term. At December 31, 2022, the Corporation's leases have remaining terms of 2 months to 12 years.
Bank-Owned Life Insurance	Bank-Owned Life Insurance The Corporation invests in BOLI as a source of funding for employee benefit expenses. BOLI involves the purchasing of life insurance by the Corporation on a chosen group of employees. The Corporation is the owner and beneficiary of the policies. This life insurance investment is carried at the cash surrender value of the underlying policies. Earnings from the increase in cash surrender value of the policies are included in non-interest income on the consolidated statements of income.
Advertising Costs	Advertising Costs The Corporation follows the policy of charging the costs of advertising to expense as incurred.
Employee Benefit Plans	Employee Benefit Plans The Corporation has a 401(k) Plan (the Plan) and an ESOP. All employees are eligible to participate in the Plan and ESOP after they have attained the age of 21 and have also completed three months consecutively of service. Employees must participate in the Plan to be eligible for participation in the ESOP. The employees may contribute to the Plan up to the maximum percentage allowable by law of their compensation. The Corporation may make a discretionary matching contribution to the Plan and the ESOP. Full vesting in the Corporation’s contribution to the Plan and ESOP is over a three-year period. The Corporation recorded expense for the Plan and ESOP of $1.0 million and $1.1 million, respectively for the year ended December 31, 2022 and $1.4 million and $1.1 million, respectively for the year ended December 31, 2021. The expense recorded by the Corporation for the ESOP for the year ended December 31, 2022 included a $671 thousand employer contribution, in addition to $426 thousand in stock compensation related expense. The expense recorded by the Corporation for the ESOP for the year ended December 31, 2021 included a $663 thousand employer contribution, in addition to $437 thousand in stock compensation related expense. During the year ended December 31, 2022, 0 shares were purchased by the ESOP, while for the year ended December 31, 2021, 91,212 shares were purchased by the ESOP at an average market value of $12.15. Shares in the ESOP that are committed to be released to employees are treated as outstanding shares in the Corporation’s computation of earnings per share. As of December 31, 2021, 53,312 of these common shares were released to the ESOP leaving 213,248 unallocated shares. There were 534,100 shares in the ESOP as of December 31, 2022. Shares in the ESOP would be impacted by any stock dividends and stock splits in the same manner as all other outstanding common shares of the Corporation.
Income Taxes	Income Taxes Deferred income taxes are provided on the asset and liability method whereby deferred tax assets are recognized for deductible temporary differences and net operating losses and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and net operating loss carry-forwards and their tax basis. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. The Corporation follows accounting guidance related to accounting for uncertainty in income taxes. Under the “more likely than not” threshold guidelines, the Corporation believes no significant uncertain tax positions exist, either individually or in the aggregate, that would give rise to the non-recognition of an existing tax benefit. As of December 31, 2022, and 2021, the Corporation had no material unrecognized tax benefits or accrued interest and penalties. The Corporation’s policy is to account for interest as a component of interest expense and penalties as a component of other expense. The Corporation is no longer subject to examination by federal, state and local taxing authorities for years before January 1, 2019.
Stock Compensation Plans	Stock Compensation Plans Stock compensation accounting guidance requires that the compensation cost relating to share-based payment transactions be recognized in the consolidated financial statements. That cost will be measured based on the grant date fair value of the equity or liability instruments issued. The stock compensation accounting guidance covers a wide range of share-based compensation arrangements including stock options and restricted share plans.
Comprehensive Income	Comprehensive Income Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities, such as unrealized gains and losses on available-for-sale securities, are reported as a separate component of the equity section of the balance sheet, such items, along with net income, are components of comprehensive income. The components of other comprehensive income (loss) for the years ended December 31, 2022 and 2021 consist of unrealized holding gains and (losses) arising during the year on available-for-sale securities.
Off Balance Sheet Financial Instruments	Off-Balance Sheet Financial Instruments In the ordinary course of business, the Corporation has entered into off-balance sheet financial instruments consisting of commitments to extend credit and letters of credit. Such financial instruments are recorded in the balance sheet when they are funded.
Derivative Financial Instruments	Derivative Financial Instruments The Corporation recognizes all derivative financial instruments related to its mortgage banking activities on its balance sheet at fair value. The Corporation utilizes investor quotes to determine the fair value of interest rate lock commitment derivatives and market pricing to determine the fair value of forward security purchase commitment derivatives. All changes in fair value of derivative instruments are recognized in earnings. The Corporation enters into interest rate swaps that allow commercial loan customers to effectively convert a variable-rate commercial loan agreement to a fixed-rate commercial loan agreement. The interest rate swaps are recognized on the Corporation’s balance sheet at fair value. Under these agreements, the Corporation originates variable-rate loans with customers in addition to interest rate swap agreements, which serve to effectively swap the customers’ variable-rate loans into fixed-rate loans. The Corporation then enters into corresponding swap agreements with swap dealer counterparties to economically hedge its exposure on the variable and fixed components of the customer agreements. The interest rate swaps with both the customers and third parties are not designated as hedges under ASC 815 and are marked to market through earnings. As the interest rate swaps are structured to offset each other, changes to the underlying benchmark interest rates considered in the valuation of these instruments do not result in an impact to earnings; however, there may be fair value adjustments related to credit quality variations between counterparties, which may impact earnings as required by ASC 820.
Earnings per Common Share	Earnings per Common Share Basic earnings per common share excludes dilution and is computed by dividing income available to common shareholders by the weighted-average common shares outstanding during the period reduced by unearned ESOP Plan shares and treasury stock. Diluted earnings per common share takes into account the potential dilution that would occur if in the-money stock options were exercised and converted into shares of common stock and restricted stock awards and performance-based stock awards were vested. Proceeds assumed to have been received on options exercises are assumed to be used to purchase shares of the Corporation’s common stock
Revenue Recognition	Revenue Recognition The Corporation recognizes all sources of income on the accrual method, with the exception of nonaccrual loans and leases. In addition to lending and related activities, the Corporation offers various services that generate revenue, certain of which are in the scope of FASB ASU 2014-09 (Topic 606), “Revenue for Contracts with Customers” (ASC 606) is recognized within non-interest income and include wealth management fees, and transaction based and fees. Revenue is recognized when the transactions occur or as services as performed over primarily monthly or quarterly periods. Payment is typically received in the period the transactions occur. Fees may be fixed or, where applicable based on a percentage of transaction size. Wealth management income for the years ended December 31, 2022 and 2021 is $4.7 million and $4.8 million. Within other non-interest income is $1.1 million and $1.2 million for the years ended December 31, 2022 and 2021, respectively, which are in the scope of ASC 606. These amounts include wire transfer fees, ATM/debit card commissions, title fee income. The Corporation earns wealth management fee income from investment advisory services provided to individual and 401k customers. Fees that are determined based on the market value of the assets held in their accounts are generally billed quarterly, in advance, based on the market value of assets at the end of the previous billing period. Other related services that are based on a fixed fee schedule are recognized when the services are rendered. Fees that are transaction based, including trade execution services, are recognized at the point in time that the transaction is executed, i.e. the trade date. Included in other assets on the balance sheet is a receivable for wealth management fees that have been earned but not yet collected. The Corporation earns fees from its deposit customers for transaction-based, account maintenance, and overdraft services. Transaction-based fees, which include services such as ATM use fees, stop payment charges, statement rendering, and ACH fees, are recognized at the time the transaction is executed as that is the point in time the Corporation fulfills the customer’s request. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period over which the Corporation satisfies the performance obligation. Overdraft fees are recognized at the point in time that the overdraft occurs. Service charges on deposits are withdrawn from the customer’s account balance.
Loss Contingencies	Loss Contingencies Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe such matters will have a material effect on the financial statements.
Operating Segments	Operating Segments While the chief decision-makers monitor the revenue streams of the various products and services, operations are managed and financial performance is evaluated on a Corporation-wide basis. The Corporation has identified three segments: a banking segment, a wealth management segment and a mortgage banking segment, as more fully disclosed in the Segment note to the consolidated financial statements.
Fair Value of Financial Instruments	Fair Value of Financial Instruments Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in the Fair Value Measurements and Disclosures note to the consolidated financial statements. Fair value estimates involve uncertainties and matters of significant judgment. Changes in assumptions or in market conditions could significantly affect the estimates.
Recent Accounting Pronouncements	Recent Accounting Pronouncements As an “emerging growth company” under the JOBS Act until December 31, 2022, the Bank was permitted an extended transition period for complying with new or revised accounting standards affecting public companies up to this date. We were classified as an emerging growth company until the end of the fiscal year following the fifth anniversary of the completion of our initial public offering, which took place on November 7, 2022. While an emerging growth company we had elected to take advantage of this extended transition period, which means that the financial statements included herein, as well as any financial statements that we filed in the past, are not subject to all new or revised accounting standards generally applicable to public companies for the transition period. FASB ASU 2016-02 (Topic 842), “Leases” Issued in February 2016, and amended in June 2020, ASU 2016-02 revised the accounting related to lessee accounting. Under the new guidance, lessees are required to recognize a lease ROU liability and a ROU asset for all leases. The new lease guidance also simplifies the accounting for sale and leaseback transactions primarily because lessees must recognize lease assets and lease liabilities. On January 1, 2022 the Corporation recognized a right-of-use asset and a lease obligation liability on the consolidated statement of financial condition. The adoption of the ASU was on a prospective basis and therefore comparative prior periods are still presented under ASC 840. Refer to footnote 11 - leases, for further details. Pronouncements Not Effective as of December 31, 2022: FASB ASU 2016-13 (Topic 326), “Measurement of Credit Losses on Financial Instruments” Issued in June 2016, ASU 2016-13 significantly changes how companies measure and recognize credit impairment for many financial assets. This ASU requires businesses and other organizations to measure CECL on financial assets, such as loans, net investments in leases, certain debt securities, bond insurance and other receivables. The amendments affect entities holding financial assets and net investments in leases that are not accounted for at fair value through net income. Current GAAP requires an incurred loss methodology for recognizing credit losses that delays recognition until it is probable a loss has been incurred. The amendments in this ASU replace the incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonableness and supportable information to inform credit loss estimates. An entity should apply the amendments through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (modified retrospective approach). Acquired credit impaired loans for which the guidance in Accounting Standards Codification (ASC) Topic 310-30 has been previously applied should prospectively apply the guidance in this ASU. A prospective transition approach is required for debt securities for which an other-than-temporary impairment has been recognized before the effective date. In October 2019, the FASB approved a delay for the implementation of the ASU. Accordingly, the Corporation’s effective date for the implementation of the ASU will be January 1, 2023. The Corporation has largely completed its assessment of related processes, internal controls, and data sources and has developed, documented, and validated a discounted cash flows model utilizing a third-party software provider. The Corporation anticipates that the Corporation and the Bank will continue to be well capitalized after the negative impact resulting from the adoption of CECL. FASB ASU 2019-04, “Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments” Issued in April 2019, ASU 2019-04 clarifies certain aspects of accounting for credit losses, hedging activities, and financial instruments (addressed by ASUs 2016-13, 2017-12, and 2016-01, respectively). The amendments to estimating expected credit losses (ASU 2016-13), in particular, how a company considers recoveries and extension options when estimating expected credit losses, are the most relevant to the Corporation. The ASU clarifies that (1) the estimate of expected credit losses should include expected recoveries of financial assets, including recoveries of amounts expected to be written off and those previously written off, and (2) that contractual extension or renewal options that are not unconditionally cancellable by the lender are considered when determining the contractual term over which expected credit losses are measured. Management will consider the impact of ASU 2019-04 when considering the impact of ASU 2016-13 upon adoption as of January 1, 2023. FASB ASU 2022-02, "Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures."

Earnings per Common Share (Tabl

Earnings per Common Share (Tables)	12 Months Ended
	Dec. 31, 2022
Earnings Per Share [Abstract]
Schedule of basic and diluted earnings per common share	Year Ended December 31, (dollars in thousands, except per share data) 2022 2021 Numerator for earnings per share: Net income available to common stockholders $ 21,829 $ 35,585 Denominators for earnings per share: Weighted average shares outstanding 11,992 12,266 Average unearned ESOP shares (200) (228) Basic weighted average shares outstanding 11,792 12,038 Dilutive effects of assumed exercises of stock options 268 260 Dilutive effects of SERP shares 144 114 Diluted weighted average shares outstanding 12,204 12,412 Basic earnings per share $ 1.85 $ 2.96 Diluted earnings per share $ 1.79 $ 2.87 Antidilutive shares excluded from computation of average dilutive earnings per share 464 278

Goodwill and Other Intangibles

Goodwill and Other Intangibles (Tables)	12 Months Ended
	Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of goodwill and intangibles assets related to acquisition	The Corporation’s goodwill and intangible assets are detailed below: (dollars in thousands) December 31, Amortization Expense December 31, Amortization Period (in years) Goodwill $ 899 $ — $ 899 Indefinite Intangible assets - customer relationships 266 — 266 Indefinite Intangible assets - non competition agreements 3,113 (204) 2,909 20 Total Intangible Assets $ 3,379 $ (204) $ 3,175 Total $ 4,278 $ (204) $ 4,074
Schedule of future amortization	At December 31, 2022, the schedule of future intangible asset amortization is as follows (in thousands): 2023 $ 204 2024 204 2025 204 2026 204 2027 204 Thereafter 1,889 Total $ 2,909

Securities (Tables)

Securities (Tables)	12 Months Ended
	Dec. 31, 2022
Investments, Debt and Equity Securities [Abstract]
Schedule of amortized cost and fair value of securities	The following table presents the amortized cost and fair value of securities at the dates indicated: December 31, 2022 (dollars in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Fair value # of Securities in unrealized loss position Securities available-for-sale: U.S. asset backed securities $ 15,581 $ 14 $ (314) $ 15,281 12 U.S. government agency MBS 12,272 5 (538) 11,739 12 U.S. government agency CMO 25,520 40 (2,242) 23,318 29 State and municipal securities 44,700 — (5,862) 38,838 34 U.S. Treasuries 32,980 — (3,457) 29,523 25 Non-U.S. government agency CMO 9,722 — (633) 9,089 11 Corporate bonds 8,201 — (643) 7,558 12 Total securities available-for-sale $ 148,976 $ 59 $ (13,689) $ 135,346 135 Amortized cost Gross unrecognized gains Gross unrecognized losses Fair value # of Securities in unrecognized loss position Securities held-to-maturity: State and municipal securities $ 37,479 $ — $ (4,394) $ 33,085 25 Total securities held-to-maturity $ 37,479 $ — $ (4,394) $ 33,085 25 December 31, 2021 (dollars in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Fair value # of Securities in unrealized loss position Securities available-for-sale: U.S. asset backed securities $ 16,850 $ 55 $ (68) $ 16,837 10 U.S. government agency MBS 9,749 124 (60) 9,813 3 U.S. government agency CMO 22,276 358 (253) 22,381 10 State and municipal securities 72,099 1,379 (496) 72,982 12 U.S. Treasuries 29,973 1 (246) 29,728 21 Non-U.S. government agency CMO 990 — (15) 975 1 Corporate bonds 6,450 154 (18) 6,586 5 Total securities available-for-sale $ 158,387 $ 2,071 $ (1,156) $ 159,302 62 Amortized cost Gross unrecognized gains Gross unrecognized losses Fair value # of Securities in unrecognized loss position Securities held-to-maturity: State and municipal securities $ 6,372 $ 219 $ — $ 6,591 — Total securities held-to-maturity $ 6,372 $ 219 $ — $ 6,591 —
Schedule of investment gross unrealized loss in continuous unrealized loss position	The following table shows the Corporation’s investment gross unrealized losses and fair value aggregated by investment category and length of time that individual securities have been in continuous unrealized loss position at the dates indicated: December 31, 2022 Less than 12 Months 12 Months or more Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale: U.S. asset backed securities $ 6,531 $ (80) $ 4,863 $ (234) $ 11,394 $ (314) U.S. government agency MBS 6,022 (230) 4,637 (308) 10,659 (538) U.S. government agency CMO 9,859 (821) 9,549 (1,421) 19,408 (2,242) State and municipal securities 7,487 (726) 31,351 (5,136) 38,838 (5,862) U.S. Treasuries 1,902 (97) 27,622 (3,360) 29,524 (3,457) Non-U.S. government agency CMO 8,423 (464) 666 (169) 9,089 (633) Corporate bonds 5,019 (431) 1,538 (212) 6,557 (643) Total securities available-for-sale $ 45,243 $ (2,849) $ 80,226 $ (10,840) $ 125,469 $ (13,689) Less than 12 Months 12 Months or more Total Fair Unrecognized Fair Unrecognized Fair Unrecognized Securities held-to-maturity: State and municipal securities $ 10,130 $ (364) $ 22,543 $ (4,030) $ 32,673 $ (4,394) Total securities held-to-maturity $ 10,130 $ (364) $ 22,543 $ (4,030) $ 32,673 $ (4,394) December 31, 2021 Less than 12 Months 12 Months or more Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale: U.S. asset backed securities $ 12,330 $ (68) $ — $ — $ 12,330 $ (68) U.S. government agency MBS 3,852 (60) — — 3,852 (60) U.S. government agency CMO 8,836 (187) 1,657 (66) 10,493 (253) State and municipal securities 14,994 (427) 2,019 (69) 17,013 (496) U.S. Treasuries 28,750 (246) — — 28,750 (246) Non-U.S. government agency CMO 975 (15) — — 975 (15) Corporate bonds 2,232 (18) — — 2,232 (18) Total securities available-for-sale $ 71,969 $ (1,021) $ 3,676 $ (135) $ 75,645 $ (1,156)
Schedule of amortized cost and carrying value of held-to-maturity securities and available-for-sale securities by contractual maturity	The amortized cost and carrying value of securities are shown below by contractual maturities at the dates indicated. Actual maturities may differ from contractual maturities as issuers may have the right to call or repay obligations with or without call or prepayment penalties. December 31, 2022 December 31, 2021 Available-for-sale Held-to-maturity Available-for-sale Held-to-maturity (dollars in thousands) Amortized Fair Amortized Fair Amortized Fair Amortized Fair Due in one year or less $ — $ — $ — $ — $ — $ — $ 763 $ 769 Due after one year through five years 18,865 17,289 4,275 4,238 12,934 12,885 2,354 2,397 Due after five years through ten years 28,647 25,459 2,998 2,683 30,890 30,798 3,255 3,425 Due after ten years 53,950 48,453 30,206 26,164 81,548 82,450 — — Subtotal 101,462 91,201 37,479 33,085 125,372 126,133 6,372 6,591 Mortgage-related securities 47,514 44,145 — — 33,015 33,169 — — Total $ 148,976 $ 135,346 $ 37,479 $ 33,085 $ 158,387 $ 159,302 $ 6,372 $ 6,591
Gross gain and (loss) on sale of investment securities available for sale	The following table presents the gross gain on sale of investment securities available for sale on the dates indicated: Years Ended (dollars in thousands) 2022 2021 Proceeds from sale of investment securities $ — $ 23,585 Gross gain on sale of available for sale investments — 634 Gross loss on sale of available for sale investments — 199

Loans and Other Finance Recei_2

Loans and Other Finance Receivables (Tables)	12 Months Ended
	Dec. 31, 2022
Receivables [Abstract]
Summary of loans and leases outstanding	The following table presents loans and other finance receivables, net of fees and costs detailed by category at the dates indicated: (dollars in thousands) December 31, December 31, Real estate loans: Commercial mortgage $ 565,400 $ 516,928 Home equity lines and loans 59,399 52,299 Residential mortgage 221,837 68,175 Construction 271,955 160,905 Total real estate loans 1,118,591 798,307 Commercial and industrial 341,378 384,562 Small business loans 136,155 114,158 Consumer 488 419 Leases, net 138,986 88,242 Loans and other finance receivables, net of fees and costs $ 1,735,598 $ 1,385,688 Balances included in loans, net of fees and costs: Residential mortgage real estate loans accounted under fair value option, at fair value $ 14,502 $ 17,558 Residential mortgage real estate loans accounted under fair value option, at amortized cost 16,930 17,106 Unearned lease income included in leases, net (25,715) (17,366) Unamortized net deferred loan origination costs 8,084 769
Schedule of age analysis of past due loans and leases	The following tables present an aging of the Corporation’s loans, net of fees and costs at the dates indicated: December 31, 2022 (dollars in thousands) 30-89 days past due 90+ days past due and still accruing Total past due Current Total Accruing Loans and leases Nonaccrual loans and leases Total loans, net of fees and costs % Delinquent Commercial mortgage $ — $ — $ — $ 565,260 $ 565,260 $ 140 $ 565,400 0.02 % Home equity lines and loans 146 — 146 58,156 58,302 1,097 59,399 2.09 Residential mortgage (1) 4,262 — 4,262 215,490 219,752 2,085 221,837 2.86 Construction 1,206 — 1,206 270,749 271,955 — 271,955 0.44 Commercial and industrial 101 — 101 328,730 328,831 12,547 341,378 3.70 Small business loans 939 — 939 130,751 131,690 4,465 136,155 3.97 Consumer — — — 488 488 — 488 — Leases, net 1,173 — 1,173 136,911 138,084 902 138,986 1.49 % Total $ 7,827 $ — $ 7,827 $ 1,706,535 $ 1,714,362 $ 21,236 $ 1,735,598 1.67 % (1) Includes $14,502 of loans at fair value of which $13,760 are current, $184 are 30-89 days past due, and $558 are nonaccrual. December 31, 2021 (dollars in thousands) 30-89 days past due 90+ days past due and still accruing Total past due Current Total Accruing Loans and leases Nonaccrual loans and leases Total loans, net of fees and costs % Delinquent Commercial mortgage $ — $ — $ — $ 516,928 $ 516,928 $ — $ 516,928 — % Home equity lines and loans 103 — 103 51,285 51,388 911 52,299 1.94 Residential mortgage (1) 600 — 600 65,177 65,777 2,398 68,175 4.40 Construction — — — 160,905 160,905 — 160,905 — Commercial and industrial — — — 365,761 365,761 18,801 384,562 4.89 Small business loans — — — 113,492 113,492 666 114,158 0.58 Consumer — — — 419 419 — 419 — Leases, net 390 — 390 87,640 88,030 212 88,242 0.68 % Total $ 1,093 $ — $ 1,093 $ 1,361,607 $ 1,362,700 $ 22,988 $ 1,385,688 1.74 % (1) Includes $17,558 of loans at fair value of which $16,768 are current, $189 are 30-89 days past due and $601 are nonaccrual.

Allowance for Loan and Lease _2

Allowance for Loan and Lease Losses (the Allowance) (Tables)	12 Months Ended
	Dec. 31, 2022
Financing Receivable, Allowance for Credit Loss, Writeoff, after Recovery [Abstract]
Roll-forward of allowance for loan and lease losses by portfolio segment	The following tables detail the roll-forward of the Corporation’s Allowance, by portfolio segment, for the periods indicated: Year Ended December 31, 2022 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 4,950 $ — $ — $ (855) $ 4,095 Home equity lines and loans 224 (12) 43 (67) 188 Residential mortgage 283 — 2 663 948 Construction 2,042 — — 1,033 3,075 Commercial and industrial 6,533 — 97 (2,618) 4,012 Small business loans 3,737 — — 1,172 4,909 Consumer 3 — 4 (4) 3 Leases 986 (2,616) 64 3,164 1,598 Total $ 18,758 $ (2,628) $ 210 $ 2,488 $ 18,828 Year Ended December 31, 2021 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 7,451 $ — $ — $ (2,501) $ 4,950 Home equity lines and loans 434 (81) 82 (211) 224 Residential mortgage 385 — 5 (107) 283 Construction 2,421 — — (379) 2,042 Commercial and industrial 5,431 — 41 1,061 6,533 Small business loans 1,259 — — 2,478 3,737 Consumer 4 — 4 (5) 3 Leases 382 (130) — 734 986 Total $ 17,767 $ (211) $ 132 $ 1,070 $ 18,758
Schedule of allocation of the allowance for loan and lease losses	The following tables detail the allocation of the allowance for loan and lease losses and the carrying value for loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment at the dates indicated: December 31, 2022 Allowance on loans and leases Carrying value of loans and leases (dollars in thousands) Individually Collectively Total Individually Collectively Total Commercial mortgage $ — $ 4,095 $ 4,095 $ 2,445 $ 562,955 $ 565,400 Home equity lines and loans — 188 188 1,097 58,302 59,399 Residential mortgage — 948 948 1,454 205,881 207,335 Construction — 3,075 3,075 1,206 270,749 271,955 Commercial and industrial (2) 776 3,236 4,012 12,547 328,831 341,378 Small business loans 1,449 3,460 4,909 4,527 131,628 136,155 Consumer — 3 3 — 488 488 Leases — 1,598 1,598 902 138,084 138,986 Total (1) $ 2,225 $ 16,603 $ 18,828 $ 24,178 $ 1,696,918 $ 1,721,096 December 31, 2021 Allowance on loans and leases Carrying value of loans and leases (dollars in thousands) Individually Collectively Total Individually Collectively Total Commercial mortgage $ — $ 4,950 $ 4,950 $ 3,556 $ 513,372 $ 516,928 Home equity lines and loans — 224 224 905 51,394 52,299 Residential mortgage — 283 283 1,797 48,820 50,617 Construction — 2,042 2,042 1,206 159,699 160,905 Commercial and industrial (2) 2,900 3,633 6,533 17,361 367,201 384,562 Small business loans 376 3,361 3,737 792 113,366 114,158 Consumer — 3 3 — 419 419 Leases — 986 986 212 88,030 88,242 Total (1) $ 3,276 $ 15,482 $ 18,758 $ 25,829 $ 1,342,301 $ 1,368,130 (1) Excludes deferred fees and loans carried at fair value.
Schedule of carrying value of loans and leases by portfolio segment based on the credit quality indicators	The following tables detail the carrying value of loans and leases by portfolio segment based on the credit quality indicators used to determine the allowance for loan and lease losses at the dates indicated: December 31, 2022 (dollars in thousands) Pass Special Substandard Doubtful Total Commercial mortgage $ 536,705 $ 25,309 $ 3,386 $ — $ 565,400 Home equity lines and loans 57,822 — 1,577 — 59,399 Construction 260,085 11,870 — — 271,955 Commercial and industrial 295,502 6,587 39,289 — 341,378 Small business loans 131,690 — 4,465 — 136,155 Total $ 1,281,804 $ 43,766 $ 48,717 $ — $ 1,374,287 Commercial and industrial loans classified as substandard totaled $39.3 million as of December 31, 2022, a decrease of $3.6 million from $42.9 million as of December 31, 2021, due to payoffs and/or principal payments. December 31, 2021 (dollars in thousands) Pass Special Substandard Doubtful Total Commercial mortgage $ 481,551 $ 29,452 $ 5,925 $ — $ 516,928 Home equity lines and loans 50,908 — 1,391 — 52,299 Construction 151,608 9,297 — — 160,905 Commercial and industrial 327,089 14,603 42,870 — 384,562 Small business loans 112,096 — 2,062 — 114,158 Total $ 1,123,252 $ 53,352 $ 52,248 $ — $ 1,228,852
Schedule of allocations based on the credit quality indicators	In addition to credit quality indicators as shown in the above tables, allowance allocations for residential mortgages, consumer loans and leases are also applied based on their performance status at the dates indicated: December 31, 2022 December 31, 2021 (dollars in thousands) Performing Non- Total Performing Non- Total Residential mortgage (1) $ 205,881 $ 1,454 $ 207,335 $ 48,820 $ 1,797 $ 50,617 Consumer 488 — 488 419 — 419 Leases, net 138,084 902 138,986 88,030 212 88,242 Total $ 344,453 $ 2,356 $ 346,809 $ 137,269 $ 2,009 $ 139,278
Schedule of recorded investment and principal balance of impaired loans	The following tables detail the recorded investment and principal balance of impaired loans by portfolio segment, their related Allowance and interest income recognized at the dates indicated. December 31, 2022 December 31, 2021 (dollars in thousands) Recorded Principal Related Recorded Principal Related Impaired loans with related allowance: Commercial and industrial $ 11,099 $ 12,095 $ 776 $ 17,147 $ 17,310 $ 2,900 Small business loans 3,730 3,730 1,449 666 666 376 Total $ 14,829 $ 15,825 $ 2,225 $ 17,813 $ 17,976 $ 3,276 Impaired loans without related allowance: Commercial mortgage $ 2,445 $ 2,456 $ — $ 3,556 $ 3,559 $ — Commercial and industrial 1,448 1,494 — 214 269 — Small business loans 797 797 — 126 126 — Home equity lines and loans 1,097 1,097 — 905 935 — Residential mortgage 1,454 1,454 — 1,797 1,797 — Construction 1,206 1,206 — 1,206 1,206 — Leases 902 902 — 212 212 — Total $ 9,349 $ 9,406 $ — $ 8,016 $ 8,104 $ — Grand Total $ 24,178 $ 25,231 $ 2,225 $ 25,829 $ 26,080 $ 3,276
Schedule of average recorded investment on impaired loans	The following table details the average recorded investment and interest income recognized on impaired loans by portfolio segment. Year Ended December 31, 2022 Year Ended December 31, 2021 (dollars in thousands) Average Interest Average Interest Impaired loans with related allowance: Commercial and industrial $ 13,211 $ — $ 17,349 $ 15 Small business loans 3,731 — 887 — Total $ 16,942 $ — $ 18,236 $ 15 Impaired loans without related allowance: Commercial mortgage $ 2,523 $ 105 $ 3,578 $ 43 Commercial and industrial 559 297 239 24 Small business loans 802 9 154 14 Home equity lines and loans 1,097 38 914 — Residential mortgage 1,473 205 1,807 11 Construction 1,206 78 1,206 62 Leases 825 — 240 — Total $ 8,485 $ 732 $ 8,138 $ 154 Grand Total $ 25,427 $ 732 $ 26,374 $ 169
Schedule of TDRs	The following table presents information about TDRs at the dates indicated: (dollars in thousands) December 31, December 31, TDRs included in nonperforming loans and leases $ 207 $ 361 TDRs in compliance with modified terms 3,573 3,446 Total TDRs $ 3,780 $ 3,807

Bank Premises and Equipment (Ta

Bank Premises and Equipment (Tables)	12 Months Ended
	Dec. 31, 2022
Property, Plant and Equipment [Abstract]
Schedule of components of premises and equipment, net of depreciation	The components of premises and equipment at December 31, 2022 and 2021 are as follows: (dollars in thousands) December 31, December 31, Buildings $ 9,150 $ 4,141 Leasehold improvements 3,347 3,347 Land 600 600 Land Improvements 218 218 Furniture, fixtures and equipment 3,577 3,229 Computer equipment and data processing software 9,242 7,971 Construction in process 40 3,763 Less: accumulated depreciation (12,825) (11,463) Total $ 13,349 $ 11,806

Deposits (Tables)

Deposits (Tables)	12 Months Ended
	Dec. 31, 2022
Deposits [Abstract]
Summary of components of deposits	The components of deposits at December 31, 2022 and 2021 are as follows: (dollars in thousands) December 31, December 31, Demand, non-interest bearing $ 301,727 $ 274,528 Demand, interest bearing 219,838 268,248 Savings accounts 36,125 45,038 Money market accounts 661,439 652,590 Time deposits 493,350 206,009 Total $ 1,712,479 $ 1,446,413
Scheduled maturities of time deposits	At December 31, 2022, the scheduled maturities of time deposits are as follows (in thousands): 2023 $ 414,853 2024 20,815 2025 24,211 2026 33,450 2027 21 Total $ 493,350

Borrowings (Tables)

Borrowings (Tables)	12 Months Ended
	Dec. 31, 2022
Debt Disclosure [Abstract]
Schedule of short term borrowings	The following table presents short-term borrowings at the dates indicated: (dollars in thousands) Maturity Interest December 31, December 31, FHLB Open Repo Plus Weekly 6/5/2023 4.45% - 3.11% $ 113,147 $ 36,458 FHLB Mid-term Repo-fixed 9/12/2022 0.23% — 4,886 Total $ 113,147 $ 41,344

Servicing Assets (Tables)

Servicing Assets (Tables)	12 Months Ended
	Dec. 31, 2022
Mortgage Servicing Rights
Servicing Assets at Fair Value [Line Items]
Schedule of servicing assets	Changes in the MSR balance are summarized as follows: Year Ended (dollars in thousands) 2022 2021 Balance at beginning of the period $ 10,756 $ 4,647 Servicing rights capitalized 668 6,769 Amortization of servicing rights (1,488) (1,087) Change in valuation allowance 6 427 Balance at end of the period $ 9,942 $ 10,756
Schedule of valuation allowance for servicing assets	Activity in the valuation allowance for MSRs was as follows: Year Ended (dollars in thousands) 2022 2021 Valuation allowance, beginning of period $ (8) $ (435) Impairment (4) — Recovery 10 427 Valuation allowance, end of period $ (2) $ (8)
Schedule of sensitivity of fair value of servicing assets	(dollars in thousands) December 31, December 31, Fair value of residential mortgage servicing rights $ 11,567 $ 11,241 Weighted average life (months) 22 11 Prepayment speed 8.05 % 7.23 % Impact on fair value: 10% adverse change $ (268) $ (376) 20% adverse change (525) (731) Discount rate 9.50 % 9.00 % Impact on fair value: 10% adverse change $ (404) $ (436) 20% adverse change (777) (840)
SBA Loan Servicing Rights
Servicing Assets at Fair Value [Line Items]
Schedule of servicing assets	Changes in the SBA loan servicing asset balance are summarized as follows: Year Ended (dollars in thousands) 2022 2021 Balance at beginning of the period $ 2,009 $ 970 Servicing rights capitalized 1,395 1,488 Amortization of servicing rights (732) (392) Change in valuation allowance (268) (57) Balance at end of the period $ 2,404 $ 2,009
Schedule of valuation allowance for servicing assets	Activity in the valuation allowance for SBA loan servicing assets was as follows: Year Ended (dollars in thousands) 2022 2021 Valuation allowance, beginning of period $ (96) $ (39) Impairment (408) (57) Recovery 140 — Valuation allowance, end of period $ (364) $ (96)
Schedule of sensitivity of fair value of servicing assets	(dollars in thousands) December 31, December 31, Fair value of SBA loan servicing rights $ 2,422 $ 2,107 Weighted average life (years) 3.8 3.8 Prepayment speed 12.73 % 12.38 % Impact on fair value: 10% adverse change $ (73) $ (69) 20% adverse change (141) (132) Discount rate 18.96 % 9.01 % Impact on fair value: 10% adverse change $ (53) $ (54) 20% adverse change (104) (106)

Lease Commitments (Tables)

Lease Commitments (Tables)	12 Months Ended
	Dec. 31, 2022
Leases [Abstract]
Schedule of lease cost	The components of lease expense were as follows: Year Ended December 31, (dollars in thousands) 2022 Operating lease expense $ 2,242 Short term lease expense 13 Total lease expense $ 2,255
Supplemental cash flow information	Supplemental cash flow information related to leases was as follows: (dollars in thousands) December 31, 2022 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 2,150 ROU asset obtained in exchange for lease liabilities 10,936
Schedule of maturity - ASC842	Maturities of operating lease liabilities were as follows for the period indicated: (dollars in thousands) December 31, 2022 2023 $ 1,919 2024 1,746 2025 1,456 2026 1,436 2027 1,278 Thereafter 1,856 $ 9,691 Less: Present value discount (827) Total operating lease liabilities $ 8,864

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	12 Months Ended
	Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]
Summary of stock option activity	The following table provides information about stock options outstanding as of December 31, 2022 and 2021: Shares Weighted average exercise price Weighted average grant date fair value Outstanding at December 31, 2020 801,454 $ 8.27 $ 2.35 Exercised (154,530) 6.84 2.18 Granted 285,300 13.75 4.74 Forfeited (8,296) 9.32 3.29 Outstanding at December 31, 2021 923,928 $ 10.19 $ 3.10 Exercised (87,134) 8.67 2.43 Granted 246,500 16.22 5.38 Forfeited (29,606) 12.14 3.92 Outstanding at December 31, 2022 1,053,688 $ 11.67 $ 3.67 Exercisable at December 31, 2022 694,670 10.26 3.09 Nonvested at December 31, 2022 359,018 14.40 4.79
Summary of restricted stock activity	Shares Weighted Average Grant Date Fair Value Outstanding at December 31, 2020 66,416 $ 7.00 Granted 20,000 13.18 Vested (33,206) 7.00 Outstanding at December 31, 2021 53,210 $ 9.33 Granted — — Vested (53,210) 9.33 Outstanding at December 31, 2022 — $ — Nonvested at December 31, 2022 — —

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2022
Income Tax Disclosure [Abstract]
Summary of components of the federal and state income tax expense	The following table presents the components of federal and state income tax expense for the periods indicated: (dollars in thousands) December 31, December 31, Federal: Current $ 4,580 $ 10,022 Deferred 903 (717) Total federal income tax expense $ 5,483 $ 9,305 State: Current $ 494 $ 1,463 Deferred 114 (51) Total state income tax expense $ 608 $ 1,412 Total income tax expense $ 6,091 $ 10,717
Schedule of reconciliation of the statutory income tax	A reconciliation of the statutory income tax at 21% to the income tax expense included in the statement of operations is as follows for 2022 and 2021, respectively: (dollars in thousands) December 31, 2022 December 31, 2021 Federal income tax at statutory rate $ 5,863 21.0 % $ 9,733 21.0 % State tax expense, net of federal benefit 480 1.7 1,116 2.4 Tax exempt interest (276) (1.0) (248) (0.5) Bank owned life insurance (116) (0.4) (77) (0.2) Stock based compensation 36 0.1 81 0.2 ESOP 48 0.2 41 0.1 Other 56 0.2 71 0.1 Effective income tax rate $ 6,091 21.8 % $ 10,717 23.1 %
Summary of net deferred tax assets	The components of the net deferred tax asset at December 31, 2022 and 2021 are as follows: (dollars in thousands) December 31, December 31, Deferred tax assets: Allowance for loan and lease losses $ 4,212 $ 4,345 Unrealized loss on available for sale securities 3,327 — Accrued incentive compensation — 287 Accrued retirement 891 874 Mortgage pipeline fair-value adjustment 535 — Deferred rent 96 141 Mortgage repurchase reserve 192 738 Other 179 183 Total deferred tax asset $ 9,432 $ 6,568 Deferred tax liabilities: Property and equipment $ (948) $ (535) Loan servicing rights (2,762) (2,957) Intangibles (23) (15) Mortgage pipeline fair-value adjustment — (308) Hedge instrument fair-value adjustment (12) (190) Unrealized gain on available for sale securities — (213) Prepaid expenses (341) (465) Deferred loan costs (1,410) (471) Other — (1) Total deferred tax liability $ (5,496) $ (5,155) Net deferred tax asset $ 3,936 $ 1,413

Financial Instruments with Of_2

Financial Instruments with Off-Balance Sheet Risk, Commitments and Contingencies (Tables)	12 Months Ended
	Dec. 31, 2022
Text Block [Abstract]
Financial Instruments with Off-Balance Sheet, Risk, Commitments and Contingencies	A summary of the Corporation’s financial instrument commitments at December 31, 2022 and 2021 is as follows: (dollars in thousands) December 31, December 31, Commitments to fund loans and commitments under lines of credit $ 506,203 $ 486,632 Letters of credit 19,042 25,986

Regulatory Matters (Tables)

Regulatory Matters (Tables)	12 Months Ended
	Dec. 31, 2022
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract]
Schedule of corporation's actual capital amounts and ratios.	The Corporation’s and the Banks’s actual and required capital amounts and ratios under the CBLR rules at December 31, 2022 and 2021 are presented below. Corporation Bank Well-capitalized minimum December 31, December 31, December 31, December 31, Tier 1 leverage ratio 8.13 % 9.39 % 9.95 % 11.51 % 5.00 % Common tier 1 risk-based capital ratio 8.77 % 10.83 % 10.73 % 13.27 % 6.50 % Tier 1 risk-based capital ratio 8.77 % 10.83 % 10.73 % 13.27 % 8.00 % Total risk-based capital ratio 12.05 % 14.81 % 11.87 % 14.63 % 10.00 %

Fair Value Measurements and D_2

Fair Value Measurements and Disclosures (Tables)	12 Months Ended
	Dec. 31, 2022
Fair Value Disclosures [Abstract]
Schedule of financial assets measured at fair value on a recurring basis	The following table presents the fair value of financial assets measured at fair value on a recurring basis by level within the fair value hierarchy at the dates indicated : December 31, 2022 (dollars in thousands) Total Level 1 Level 2 Level 3 Assets Securities available for sale: U.S. asset backed securities $ 15,281 $ — $ 15,281 $ — U.S. government agency MBS 11,739 — 11,739 — U.S. government agency CMO 23,318 — 23,318 — State and municipal securities 38,838 — 38,838 — U.S. Treasuries 29,523 29,523 — — Non-U.S. government agency CMO 9,089 — 9,089 — Corporate bonds 7,558 — 7,558 — Equity investments 2,086 — 2,086 — Mortgage loans held for sale 22,243 — 22,243 — Mortgage loans held for investment 14,502 — 14,502 — Interest rate lock commitments 87 — — 87 Forward commitments — — — — Customer derivatives - interest rate swaps 3,846 — 3,846 — Total $ 178,110 $ 29,523 $ 148,500 $ 87 Liabilities Interest rate lock commitments $ 79 $ — $ — $ 79 Customer derivatives - interest rate swaps 3,799 — 3,799 — December 31, 2022 (dollars in thousands) Total Level 1 Level 2 Level 3 Risk Participation Agreements 17 — 17 — Total $ 3,895 $ — $ 3,816 $ 79 December 31, 2021 (dollars in thousands) Total Level 1 Level 2 Level 3 Assets Securities available for sale: U.S. asset backed securities $ 16,837 $ — $ 16,837 $ — U.S. government agency MBS 9,813 — 9,813 — U.S. government agency CMO 22,381 — 22,381 — State and municipal securities 72,982 — 72,982 — U.S. Treasuries 29,728 29,728 — — Non-U.S. government agency CMO 975 — 975 — Corporate bonds 6,586 — 6,586 — Equity investments 2,354 — 2,354 — Mortgage loans held for sale 80,882 — 80,882 — Mortgage loans held for investment 17,558 — 17,558 — Interest rate lock commitments 1,122 — — 1,122 Forward commitments 65 — 65 — Customer derivatives - interest rate swaps 961 — 961 — Total $ 262,244 $ 29,728 $ 231,394 $ 1,122 Liabilities Interest rate lock commitments $ 203 $ — $ — $ 203 Forward commitments 106 — 106 — Customer derivatives - interest rate swaps 1,018 — 1,018 — Total $ 1,327 $ — $ 1,124 $ 203
Schedule of financial assets measured at fair value on non-recurring basis	The following table presents assets measured at fair value on a nonrecurring basis at the dates indicated: (dollars in thousands) December 31, December 31, Mortgage servicing rights $ 9,942 $ 10,756 SBA loan servicing rights 2,404 2,009 Impaired loans (1) Commercial and industrial — 1,837 Small business loans 2,281 290 Total $ 14,627 $ 14,892
Schedule of measurement inputs	The following table details the valuation techniques for Level 3 impaired loans. (dollars in thousands) Fair Value Valuation Technique Significant Unobservable Input Range of Inputs December 31, 2022 $ 2,281 Appraisal of collateral Management adjustments on appraisals for property type and recent activity 2%-15% discount December 31, 2021 2,127 Appraisal of collateral Management adjustments on appraisals for property type and recent activity 2%-15% discount The following table details the valuation techniques for Level 3 interest rate lock commitments. (dollars in thousands) Fair Value Valuation Technique Significant Unobservable Input Range of Inputs Weighted Average December 31, 2022 $ 87 Market comparable pricing Pull through 1% - 99% 84.05% December 31, 2021 1,122 Market comparable pricing Pull through 1% - 99% 87.66%
Schedule of estimated fair values of financial instruments	The following table presents the estimated fair values of the Corporation’s financial instruments at the dates indicated: December 31, 2022 December 31, 2021 (dollars in thousands) Fair Value Carrying Fair value Carrying Fair value Financial assets: Cash and cash equivalents Level 1 $ 38,391 $ 38,391 $ 23,480 $ 23,480 Mortgage loans held for sale Level 2 22,243 22,243 80,882 80,882 Loans receivable, net of the allowance for loan and lease losses Level 3 1,729,180 1,679,955 1,368,899 1,370,885 Mortgage loans held for investment Level 2 14,502 14,502 17,558 17,558 Financial liabilities: Deposits Level 2 1,712,479 1,575,600 1,446,413 1,549,100 Short-term borrowings Level 2 122,082 122,082 41,344 41,344 Subordinated debentures Level 2 40,346 40,020 40,508 40,803
Schedule of level 3 inputs reconciliation	The following table includes a rollforward of interest rate lock commitments for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the periods indicated. Year Ended (dollars in thousands) 2022 2021 Balance at beginning of the period $ 1,122 $ 6,932 Decrease in value (1,035) (5,810) Balance at end of the period $ 87 $ 1,122

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	12 Months Ended
	Dec. 31, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Summary of the notional amounts and fair values of derivative financial instruments	The following table presents a summary of notional amounts and fair values of derivative financial instruments at the dates indicated: December 31, 2022 December 31, 2021 (dollars in thousands) Balance Sheet Line Item Notional Asset Notional Asset Interest Rate Lock Commitments Positive fair values Other assets $ 16,590 $ 87 $ 108,653 $ 1,122 Negative fair values Other liabilities 16,108 (79) 35,264 (203) Total $ 32,698 $ 8 $ 143,917 $ 919 Forward Commitments Positive fair values Other assets $ — $ — $ 30,500 $ 65 Negative fair values Other liabilities — — 45,500 (106) Total $ — $ — $ 76,000 $ (41) Customer Derivatives - Interest Rate Swaps Positive fair values Other assets $ 43,779 $ 3,846 $ 35,447 $ 961 Negative fair values Other liabilities 43,779 (3,799) 35,447 (1,018) Total $ 87,558 $ 47 $ 70,894 $ (57) Risk Participation Agreements Positive fair values Other assets $ — $ — $ — $ — Negative fair values Other liabilities 7,200 (17) — — Total $ 7,200 $ (17) $ — $ — Total derivative financial instruments $ 127,456 $ 38 $ 290,811 $ 821
Summary of the fair value gains and losses on derivative financial instruments	The following table presents a summary of the fair value (losses) gains on derivative financial instruments: Year Ended (dollars in thousands) 2022 2021 Interest Rate Lock Commitments $ (911) $ (5,913) Forward Commitments 41 1,531 Customer Derivatives - Interest Rate Swaps 105 44 Risk Participation Agreements 62 — Net fair value (losses) gains on derivative financial instruments $ (703) $ (4,338)

Segments (Tables)

Segments (Tables)	12 Months Ended
	Dec. 31, 2022
Segment Reporting [Abstract]
Schedule of business segment financial information	The table below summarizes income and expenses, directly attributable to each business line, which has been included in the statement of operations. Total assets for each segment is also provided. Segment Information Year Ended December 31, 2022 Year Ended December 31, 2021 (dollars in thousands) Bank Wealth Mortgage Total Bank Wealth Mortgage Total Net interest income $ 68,570 $ 697 $ 861 $ 70,128 $ 61,032 $ 15 $ 2,064 $ 63,111 Provision for loan losses 2,488 — — 2,488 1,070 — — 1,070 Net interest income after provision 66,082 697 861 67,640 59,962 15 2,064 62,041 Non-interest Income Mortgage banking income 436 — 24,889 25,325 1,097 — 74,835 75,932 Wealth management income — 4,733 — 4,733 — 4,801 — 4,801 SBA income 4,467 — — 4,467 6,898 — — 6,898 Net change in fair values 167 — (4,122) (3,955) 43 — (7,881) (7,838) Net gain on hedging activity — — 5,439 5,439 — — 2,961 2,961 Other 2,486 (1) 3,230 5,715 2,741 1 2,492 5,234 Non-interest income 7,556 4,732 29,436 41,724 10,779 — 4,802 72,407 87,988 Non-interest expense 45,122 3,399 32,923 81,444 40,392 3,496 59,839 103,727 Income (loss) before income taxes $ 28,516 $ 2,030 $ (2,626) $ 27,920 $ 30,349 — $ 1,321 $ 14,632 $ 46,302 Total Assets $ 2,011,835 $ 8,142 $ 42,251 $ 2,062,228 $ 1,608,305 $ 6,355 $ 98,783 $ 1,713,443

Parent Company Financial Stat_2

Parent Company Financial Statements (Tables)	12 Months Ended
	Dec. 31, 2022
Condensed Financial Information Disclosure [Abstract]
Schedule of parent only consolidated balance sheets	(dollars in thousands, except share data) December 31, December 31, Assets: Cash and due from banks $ 4,839 $ 2,836 Investments in subsidiaries 186,686 200,410 Other assets 1,382 1,382 Total assets $ 192,907 $ 204,628 Liabilities: Subordinated debentures $ 39,175 $ 39,057 Accrued interest payable 6 6 Other liabilities 446 205 Total liabilities $ 39,627 $ 39,268 Stockholders’ equity: Common stock, $1 par value: 25,000,000 shares authorized; 13,156,308 and 13,069,174 shares issued, respectively; and 11,465,572 and 12,215,788 shares outstanding, respectively. 13,156 6,535 Surplus 79,072 83,663 Treasury Stock - 1,690,736 and 853,386 shares, respectively, at cost (21,821) (8,860) Unearned common stock held by employee stock ownership plan (1,403) (1,602) Retained earnings 95,815 84,916 Accumulated other comprehensive income (11,539) 708 Total stockholders’ equity $ 153,280 $ 165,360 Total liabilities and stockholders’ equity $ 192,907 $ 204,628
Schedule of parent only consolidated statements of operations	Year Ended December 31, (dollars in thousands) 2022 2021 Dividends from Bank $ 27,813 $ 17,187 Interest income 8 — Total operating income 27,821 17,187 Interest expense 2,268 2,303 Other expenses 1,412 1,675 Income before equity in undistributed income of subsidiaries 24,141 13,209 Equity in undistributed income of subsidiaries (3,084) 22,376 Income before income taxes 21,057 35,585 Income tax benefit (772) — Net income 21,829 35,585 Total other comprehensive (loss) income (12,247) (1,848) Total comprehensive income $ 9,582 $ 33,737
Schedule of parent only consolidated statements of cash flows	Year Ended December 31, (dollars in thousands) 2022 2021 Cash flows from operating activities: Net Income $ 21,829 $ 35,585 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in undistributed income of subsidiaries 3,084 (22,376) Share-based compensation 1,475 1,607 Amortization of issuance costs on subordinated debt 118 153 Other, net (1,369) (740) Year Ended December 31, (dollars in thousands) 2022 2021 Net cash provided by operating activities 25,137 14,229 Cash flows from financing activities: Net purchase of treasury stock (12,961) (3,032) Dividends paid (10,926) (9,679) Share based awards and exercises 754 1,105 Net cash (used in) provided by financing activities (23,133) (11,606) Net change in cash and cash equivalents 2,004 2,623 Cash and cash equivalents at beginning of period 2,836 213 Cash and cash equivalents at end of period $ 4,840 $ 2,836

Summary of Significant Accoun_3

Summary of Significant Accounting Policies - Nature of Operations (Details)	12 Months Ended
	Dec. 31, 2022 Office segment
Business Acquisition [Line Items]
Number of operating segments | segment	3
Pennsylvania, Delaware and New Jersey
Business Acquisition [Line Items]
Number of mortgage loan production offices	7
Maryland
Business Acquisition [Line Items]
Number of mortgage loan production offices	6
PENNSYLVANIA
Business Acquisition [Line Items]
Number of full-service offices	6

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Significant Concentrations of Credit Risk (Details)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Loans Receivable | Credit Concentration Risk | Commercial mortgage
Concentration Risk [Line Items]
Total loans (as a percent)	33%	37%

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Cash Flows, Allowance for Loan Losses and Mortgage Banking Activities (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($) Office	Dec. 31, 2021 USD ($)
Securities
Equity investments | $	$ 2,086	$ 2,354
Mortgage Banking Activities and Mortgage Loans Held for Sale
Percentage of appraised value of property (as a percent)	0.90
Home equity lines and loans
Mortgage Banking Activities and Mortgage Loans Held for Sale
Maximum term for loans (in years)	20 years
Home Equity Line of Credit
Mortgage Banking Activities and Mortgage Loans Held for Sale
Maximum term for loans (in years)	15 years
Minimum
Allowance for Loan Losses
Cumulative days past due for charge off for retail consumer loans	30 days
Maximum
Allowance for Loan Losses
Cumulative days past due for charge off for retail consumer loans	120 days
Pennsylvania, Delaware and New Jersey
Mortgage Banking Activities and Mortgage Loans Held for Sale
Number of mortgage loan production offices	7
Maryland
Mortgage Banking Activities and Mortgage Loans Held for Sale
Number of mortgage loan production offices	6

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Restricted Investment in Bank Stock (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Restricted Investment in Bank Stock
Other real estate owned	$ 1,703	$ 0
Federal Home Loan Bank (FHLB)
Restricted Investment in Bank Stock
FHLB stock	6,900	5,100
Investment impairment	0	0
Atlantic Central Bankers Bank
Restricted Investment in Bank Stock
Investment	$ 50	$ 50

Summary of Significant Accoun_7

Summary of Significant Accounting Policies - Bank Premises and Equipment (Details)	12 Months Ended
	Dec. 31, 2022
Buildings | Minimum
Bank Premises and Equipment
Property, plant and equipment useful life	12 years
Buildings | Maximum
Bank Premises and Equipment
Property, plant and equipment useful life	40 years
Furniture, fixtures and equipment | Minimum
Bank Premises and Equipment
Property, plant and equipment useful life	3 years
Furniture, fixtures and equipment | Maximum
Bank Premises and Equipment
Property, plant and equipment useful life	7 years
Computer software and hardware | Minimum
Bank Premises and Equipment
Property, plant and equipment useful life	3 years
Computer software and hardware | Maximum
Bank Premises and Equipment
Property, plant and equipment useful life	5 years

Summary of Significant Accoun_8

Summary of Significant Accounting Policies - Lease Liabilities and Right of Use Assets (Details)	Dec. 31, 2022
Minimum
Bank Premises and Equipment
Remaining lease term	2 months
Maximum
Bank Premises and Equipment
Remaining lease term	12 years

Summary of Significant Accoun_9

Summary of Significant Accounting Policies - Employee Benefit Plans and Operating Segments (Details)		12 Months Ended
	Feb. 28, 2023 $ / shares	Dec. 31, 2022 USD ($) $ / shares shares	Dec. 31, 2021 USD ($) $ / shares shares
Employee Benefit Plans
Age		21 years
Minimum service term		3 months
Employer contribution under 401(k) plan		$ 1,000,000	$ 1,400,000
Vesting period		3 years
Employer contribution under ESOP		$ 1,100,000	1,100,000
One-time contribution under ESOP		671,000	663,000
Stock compensation related expenses under ESOP		$ 426,000	$ 437,000
Shares purchased under ESOP | shares		0	91,212
Average market value of shares purchased under ESOP			$ 12.15
Shares held by ESOP | shares		534,100
Shares committed to be released | shares			53,312
Unallocated shares | shares			213,248
Common stock, par value (in dollars per share) | $ / shares		$ 1	$ 1
Subsequent Event
Employee Benefit Plans
Stock split, conversion ratio	2
Common stock, par value (in dollars per share) | $ / shares	$ 1

Summary of Significant Accou_10

Summary of Significant Accounting Policies - Revenue Recognition (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Wealth management income
Segment Reporting, Revenue Reconciling Item [Line Items]
Wealth management income	$ 4,733	$ 4,801
Wire Transfer Fees, ATM/Debit Card Commissions, And Title Fees
Segment Reporting, Revenue Reconciling Item [Line Items]
Wealth management income	$ 1,100	$ 1,200

Earnings per Common Share (Deta

Earnings per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Numerator for earnings per share:
Net income available to common stockholders	$ 21,829	$ 35,585
Denominators for earnings per share:
Weighted average shares outstanding (in shares)	11,992	12,266
Average unearned ESOP shares (in shares)	(200)	(228)
Basic weighted averages shares outstanding (in shares)	11,792	12,038
Dilutive effects of assumed exercises of stock options (in shares)	268	260
Dilutive effects of SERP shares (in shares)	$ 144,000	$ 114,000
Diluted weighted averages shares outstanding (in shares)	12,204	12,412
Basic earnings per share (in USD per share)	$ 1.85	$ 2.96
Diluted earnings per share (in USD per share)	$ 1.79	$ 2.87
Antidilutive shares excluded from computation of average dilutive earnings per share (in shares)	464	278

Goodwill and Other Intangible_2

Goodwill and Other Intangibles (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Goodwill and other intangibles rollforward
Goodwill, beginning balance	$ 899
Goodwill, ending balance	899
Amortization expense	(204)
Finite lived, intangible assets, ending balance	2,909
Total Intangible Assets	3,175	$ 3,379
Total	4,074	4,278
Accumulated Amortization	1,400	$ 1,200
Customer relationships
Goodwill and other intangibles rollforward
Indefinite-lived intangible assets (excluding goodwill), beginning balance	266
Indefinite-lived intangible assets (excluding goodwill), ending balance	266
Non competition agreements
Goodwill and other intangibles rollforward
Finite lived, intangible assets, beginning balance	3,113
Amortization expense	(204)
Finite lived, intangible assets, ending balance	$ 2,909
Amortization Period	20 years

Goodwill and Other Intangible_3

Goodwill and Other Intangibles - Future Amortization (Details) $ in Thousands	Dec. 31, 2022 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2023	$ 204
2024	204
2025	204
2026	204
2027	204
Thereafter	1,889
Total future amortization	$ 2,909

Securities - Amortized cost and

Securities - Amortized cost and fair value (Details) $ in Thousands	Dec. 31, 2022 USD ($) security	Dec. 31, 2021 USD ($) security
Securities available-for-sale:
Amortized cost	$ 148,976	$ 158,387
Gross unrealized gains	59	2,071
Gross unrealized losses	(13,689)	(1,156)
Fair value	$ 135,346	$ 159,302
# of Securities in unrealized loss position | security	135	62
Securities held-to-maturity:
Amortized cost	$ 37,479	$ 6,372
Gross unrealized gains	0	219
Gross unrealized losses	(4,394)	0
Fair value	$ 33,085	$ 6,591
# of Securities in unrealized loss position | security	25	0
U.S. asset backed securities
Securities available-for-sale:
Amortized cost	$ 15,581	$ 16,850
Gross unrealized gains	14	55
Gross unrealized losses	(314)	(68)
Fair value	$ 15,281	$ 16,837
# of Securities in unrealized loss position | security	12	10
U.S. government agency MBS
Securities available-for-sale:
Amortized cost	$ 12,272	$ 9,749
Gross unrealized gains	5	124
Gross unrealized losses	(538)	(60)
Fair value	$ 11,739	$ 9,813
# of Securities in unrealized loss position | security	12	3
U.S. government agency CMO
Securities available-for-sale:
Amortized cost	$ 25,520	$ 22,276
Gross unrealized gains	40	358
Gross unrealized losses	(2,242)	(253)
Fair value	$ 23,318	$ 22,381
# of Securities in unrealized loss position | security	29	10
State and municipal securities
Securities available-for-sale:
Amortized cost	$ 44,700	$ 72,099
Gross unrealized gains	0	1,379
Gross unrealized losses	(5,862)	(496)
Fair value	$ 38,838	$ 72,982
# of Securities in unrealized loss position | security	34	12
Securities held-to-maturity:
Amortized cost	$ 37,479	$ 6,372
Gross unrealized gains	0	219
Gross unrealized losses	(4,394)	0
Fair value	$ 33,085	$ 6,591
# of Securities in unrealized loss position | security	25	0
U.S. Treasuries
Securities available-for-sale:
Amortized cost	$ 32,980	$ 29,973
Gross unrealized gains	0	1
Gross unrealized losses	(3,457)	(246)
Fair value	$ 29,523	$ 29,728
# of Securities in unrealized loss position | security	25	21
Non-U.S. government agency CMO
Securities available-for-sale:
Amortized cost	$ 9,722	$ 990
Gross unrealized gains	0	0
Gross unrealized losses	(633)	(15)
Fair value	$ 9,089	$ 975
# of Securities in unrealized loss position | security	11	1
Corporate bonds
Securities available-for-sale:
Amortized cost	$ 8,201	$ 6,450
Gross unrealized gains	0	154
Gross unrealized losses	(643)	(18)
Fair value	$ 7,558	$ 6,586
# of Securities in unrealized loss position | security	12	5

Securities - Additional Informa

Securities - Additional Information (Details) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2022 USD ($)	Dec. 31, 2022 USD ($) security	Dec. 31, 2021 USD ($)
Securities
Number of securities deemed other-than-temporarily impaired | security		0
Securities transferred to held-to-maturity		$ 27,700
After transfer unrealized loss	$ 1,300	1,200
Fair value		135,346	$ 159,302
Asset Pledged as Collateral
Securities
Fair value		$ 78,400	$ 92,200

Securities - Continuous Unreali

Securities - Continuous Unrealized Loss Position (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	$ 45,243	$ 71,969
Less than 12 Months, Unrealized Losses	(2,849)	(1,021)
12 Months or More, Fair Value	80,226	3,676
12 Months or More, Unrealized Losses	(10,840)	(135)
Total Fair Value	125,469	75,645
Total Unrealized Losses	(13,689)	(1,156)
Securities held-to-maturity:
Less than 12 Months, Fair Value	10,130
Less than 12 Months, Unrecognized Loss	(364)
12 Months or More, Fair Value	22,543
12 Months or More, Unrecognized Loss	(4,030)
Total Fair Value	32,673
Gross unrealized losses	(4,394)	0
U.S. asset backed securities
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	6,531	12,330
Less than 12 Months, Unrealized Losses	(80)	(68)
12 Months or More, Fair Value	4,863	0
12 Months or More, Unrealized Losses	(234)	0
Total Fair Value	11,394	12,330
Total Unrealized Losses	(314)	(68)
U.S. government agency MBS
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	6,022	3,852
Less than 12 Months, Unrealized Losses	(230)	(60)
12 Months or More, Fair Value	4,637	0
12 Months or More, Unrealized Losses	(308)	0
Total Fair Value	10,659	3,852
Total Unrealized Losses	(538)	(60)
U.S. government agency CMO
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	9,859	8,836
Less than 12 Months, Unrealized Losses	(821)	(187)
12 Months or More, Fair Value	9,549	1,657
12 Months or More, Unrealized Losses	(1,421)	(66)
Total Fair Value	19,408	10,493
Total Unrealized Losses	(2,242)	(253)
State and municipal securities
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	7,487	14,994
Less than 12 Months, Unrealized Losses	(726)	(427)
12 Months or More, Fair Value	31,351	2,019
12 Months or More, Unrealized Losses	(5,136)	(69)
Total Fair Value	38,838	17,013
Total Unrealized Losses	(5,862)	(496)
Securities held-to-maturity:
Less than 12 Months, Fair Value	10,130
Less than 12 Months, Unrecognized Loss	(364)
12 Months or More, Fair Value	22,543
12 Months or More, Unrecognized Loss	(4,030)
Total Fair Value	32,673
Gross unrealized losses	(4,394)	0
U.S. Treasuries
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	1,902	28,750
Less than 12 Months, Unrealized Losses	(97)	(246)
12 Months or More, Fair Value	27,622	0
12 Months or More, Unrealized Losses	(3,360)	0
Total Fair Value	29,524	28,750
Total Unrealized Losses	(3,457)	(246)
Non-U.S. government agency CMO
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	8,423	975
Less than 12 Months, Unrealized Losses	(464)	(15)
12 Months or More, Fair Value	666	0
12 Months or More, Unrealized Losses	(169)	0
Total Fair Value	9,089	975
Total Unrealized Losses	(633)	(15)
Corporate bonds
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	5,019	2,232
Less than 12 Months, Unrealized Losses	(431)	(18)
12 Months or More, Fair Value	1,538	0
12 Months or More, Unrealized Losses	(212)	0
Total Fair Value	6,557	2,232
Total Unrealized Losses	$ (643)	$ (18)

Securities - Contractual Maturi

Securities - Contractual Maturities (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Contractual Maturities, Available-for-sale, Amortized Cost
Due in one year or less	$ 0	$ 0
Due after one year through five years	18,865	12,934
Due after five years through ten years	28,647	30,890
Due after ten years	53,950	81,548
Subtotal	101,462	125,372
Mortgage-related securities	47,514	33,015
Securities available-for-sale, amortized cost	148,976	158,387
Contractual Maturities, Available-for-sale, Fair Value
Due in one year or less	0	0
Due after one year through five years	17,289	12,885
Due after five years through ten years	25,459	30,798
Due after ten years	48,453	82,450
Subtotal	91,201	126,133
Mortgage-related securities	44,145	33,169
Fair value	135,346	159,302
Contractual Maturities, Held-to-maturity, Amortized Cost
Due in one year or less	0	763
Due after one year through five years	4,275	2,354
Due after five years through ten years	2,998	3,255
Due after ten years	30,206	0
Subtotal	37,479	6,372
Mortgage-related securities	0	0
Amortized cost	37,479	6,372
Contractual Maturities, Held-to-maturity, Fair Value
Due in one year or less	0	769
Due after one year through five years	4,238	2,397
Due after five years through ten years	2,683	3,425
Due after ten years	26,164	0
Subtotal	33,085	6,591
Mortgage-related securities	0	0
Fair value	$ 33,085	$ 6,591

Securities - Sale of Investment

Securities - Sale of Investment Securities, Available for Sale (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Investments, Debt and Equity Securities [Abstract]
Sales	$ 0	$ 23,585
Gross gain on sale of available for sale investments	0	634
Gross loss on sale of available for sale investments	$ 0	$ 199

Loans and Other Finance Recei_3

Loans and Other Finance Receivables - Loans outstanding by category (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Loans Receivable
Total loans	$ 1,735,598	$ 1,385,688
Residential mortgage real estate loans accounted under fair value option, at fair value	14,502	17,558
Residential mortgage real estate loans accounted under fair value option, at amortized cost	16,930	17,106
Unearned lease income included in leases, net	(25,715)
Unearned lease income included in leases, net		(17,366)
Unamortized net deferred loan origination costs	8,084	769
Real estate loans:
Loans Receivable
Total loans	1,118,591	798,307
Real estate loans: | Commercial mortgage
Loans Receivable
Total loans	565,400	516,928
Real estate loans: | Home equity lines and loans
Loans Receivable
Total loans	59,399	52,299
Real estate loans: | Residential mortgage
Loans Receivable
Total loans	221,837	68,175
Real estate loans: | Construction
Loans Receivable
Total loans	271,955	160,905
Commercial and industrial
Loans Receivable
Total loans	341,378	384,562
Small business loans
Loans Receivable
Total loans	136,155	114,158
Consumer
Loans Receivable
Total loans	488	419
Leases, net
Loans Receivable
Total loans	$ 138,986	$ 88,242

Loans and Other Finance Recei_4

Loans and Other Finance Receivables - Age analysis of past due loans and leases (Details) $ in Thousands	Dec. 31, 2022 USD ($) loans	Dec. 31, 2021 USD ($)
Age Analysis of Past Due Loans and Leases
Total loans	$ 1,735,598	$ 1,385,688
90+ days past due and still accruing	0	0
Total past due	7,827	1,093
Total Accruing Loans and leases	$ 1,714,362	$ 1,362,700
% Delinquent	1.67%	1.74%
Residential mortgage real estate loans accounted under fair value option, at fair value	$ 14,502	$ 17,558
Residential mortgage | Residential mortgage
Age Analysis of Past Due Loans and Leases
Residential mortgage real estate loans accounted under fair value option, at fair value	14,502	17,558
Commercial and industrial
Age Analysis of Past Due Loans and Leases
Total loans	341,378	384,562
90+ days past due and still accruing	0	0
Total past due	101	0
Total Accruing Loans and leases	$ 328,831	$ 365,761
% Delinquent	3.70%	4.89%
Small business loans
Age Analysis of Past Due Loans and Leases
Total loans	$ 136,155	$ 114,158
90+ days past due and still accruing	0	0
Total past due	939	0
Total Accruing Loans and leases	$ 131,690	$ 113,492
% Delinquent	3.97%	0.58%
Leases, net
Age Analysis of Past Due Loans and Leases
Total loans	$ 138,986	$ 88,242
90+ days past due and still accruing	0	0
Total past due	1,173	390
Total Accruing Loans and leases	$ 138,084	$ 88,030
% Delinquent	1.49%	0.68%
Real estate loans:
Age Analysis of Past Due Loans and Leases
Total loans	$ 1,118,591	$ 798,307
Real estate loans: | Commercial mortgage
Age Analysis of Past Due Loans and Leases
Total loans	565,400	516,928
90+ days past due and still accruing	0	0
Total past due	0	0
Total Accruing Loans and leases	$ 565,260	$ 516,928
% Delinquent	0.02%	0%
Real estate loans: | Home equity lines and loans
Age Analysis of Past Due Loans and Leases
Total loans	$ 59,399	$ 52,299
90+ days past due and still accruing	0	0
Total past due	146	103
Total Accruing Loans and leases	$ 58,302	$ 51,388
% Delinquent	2.09%	1.94%
Real estate loans: | Residential mortgage
Age Analysis of Past Due Loans and Leases
Total loans	$ 221,837	$ 68,175
90+ days past due and still accruing	0	0
Total past due	4,262	600
Total Accruing Loans and leases	$ 219,752	$ 65,777
% Delinquent	2.86%	4.40%
Real estate loans: | Construction
Age Analysis of Past Due Loans and Leases
Total loans	$ 271,955	$ 160,905
90+ days past due and still accruing	0	0
Total past due	1,206	0
Total Accruing Loans and leases	$ 271,955	$ 160,905
% Delinquent	0.44%	0%
Consumer
Age Analysis of Past Due Loans and Leases
Total loans	$ 488	$ 419
90+ days past due and still accruing	0	0
Total past due	0	0
Total Accruing Loans and leases	$ 488	$ 419
% Delinquent	0%	0%
Mortgage loans in process of foreclosure | loans	5
Foreclosure proceedings	$ 942
30-89 days past due
Age Analysis of Past Due Loans and Leases
Total loans	7,827	$ 1,093
30-89 days past due | Residential mortgage | Residential mortgage
Age Analysis of Past Due Loans and Leases
Residential mortgage real estate loans accounted under fair value option, at fair value	184	189
30-89 days past due | Commercial and industrial
Age Analysis of Past Due Loans and Leases
Total loans	101	0
30-89 days past due | Small business loans
Age Analysis of Past Due Loans and Leases
Total loans	939	0
30-89 days past due | Leases, net
Age Analysis of Past Due Loans and Leases
Total loans	1,173	390
30-89 days past due | Real estate loans: | Commercial mortgage
Age Analysis of Past Due Loans and Leases
Total loans	0	0
30-89 days past due | Real estate loans: | Home equity lines and loans
Age Analysis of Past Due Loans and Leases
Total loans	146	103
30-89 days past due | Real estate loans: | Residential mortgage
Age Analysis of Past Due Loans and Leases
Total loans	4,262	600
30-89 days past due | Real estate loans: | Construction
Age Analysis of Past Due Loans and Leases
Total loans	1,206	0
30-89 days past due | Consumer
Age Analysis of Past Due Loans and Leases
Total loans	0	0
Current
Age Analysis of Past Due Loans and Leases
Total loans	1,706,535	1,361,607
Current | Residential mortgage | Residential mortgage
Age Analysis of Past Due Loans and Leases
Residential mortgage real estate loans accounted under fair value option, at fair value	13,760	16,768
Current | Commercial and industrial
Age Analysis of Past Due Loans and Leases
Total loans	328,730	365,761
Current | Small business loans
Age Analysis of Past Due Loans and Leases
Total loans	130,751	113,492
Current | Leases, net
Age Analysis of Past Due Loans and Leases
Total loans	136,911	87,640
Current | Real estate loans: | Commercial mortgage
Age Analysis of Past Due Loans and Leases
Total loans	565,260	516,928
Current | Real estate loans: | Home equity lines and loans
Age Analysis of Past Due Loans and Leases
Total loans	58,156	51,285
Current | Real estate loans: | Residential mortgage
Age Analysis of Past Due Loans and Leases
Total loans	215,490	65,177
Current | Real estate loans: | Construction
Age Analysis of Past Due Loans and Leases
Total loans	270,749	160,905
Current | Consumer
Age Analysis of Past Due Loans and Leases
Total loans	488	419
Nonaccrual loans and leases
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	21,236	22,988
Nonaccrual loans and leases | Residential mortgage | Residential mortgage
Age Analysis of Past Due Loans and Leases
Residential mortgage real estate loans accounted under fair value option, at fair value	558	601
Nonaccrual loans and leases | Commercial and industrial
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	12,547	18,801
Nonaccrual loans and leases | Small business loans
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	4,465	666
Nonaccrual loans and leases | Leases, net
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	902	212
Nonaccrual loans and leases | Real estate loans: | Commercial mortgage
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	140	0
Nonaccrual loans and leases | Real estate loans: | Home equity lines and loans
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	1,097	911
Nonaccrual loans and leases | Real estate loans: | Residential mortgage
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	2,085	2,398
Nonaccrual loans and leases | Real estate loans: | Construction
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	0	0
Nonaccrual loans and leases | Consumer
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	$ 0	$ 0

Allowance for Loan and Lease _3

Allowance for Loan and Lease Losses (the Allowance) - Roll-forward of allowance by portfolio segment (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Beginning Balance	$ 18,758	$ 17,767
Charge-offs	(2,628)	(211)
Recoveries	210	132
Provision (Credit)	2,488	1,070
Ending Balance	18,828	18,758
Commercial mortgage
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Beginning Balance	4,950	7,451
Charge-offs	0	0
Recoveries	0	0
Provision (Credit)	(855)	(2,501)
Ending Balance	4,095	4,950
Home equity lines and loans
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Beginning Balance	224	434
Charge-offs	(12)	(81)
Recoveries	43	82
Provision (Credit)	(67)	(211)
Ending Balance	188	224
Residential mortgage
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Beginning Balance	283	385
Charge-offs	0	0
Recoveries	2	5
Provision (Credit)	663	(107)
Ending Balance	948	283
Construction
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Beginning Balance	2,042	2,421
Charge-offs	0	0
Recoveries	0	0
Provision (Credit)	1,033	(379)
Ending Balance	3,075	2,042
Commercial and industrial
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Beginning Balance	6,533	5,431
Charge-offs	0	0
Recoveries	97	41
Provision (Credit)	(2,618)	1,061
Ending Balance	4,012	6,533
Small business loans
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Beginning Balance	3,737	1,259
Charge-offs	0	0
Recoveries	0	0
Provision (Credit)	1,172	2,478
Ending Balance	4,909	3,737
Consumer
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Beginning Balance	3	4
Charge-offs	0	0
Recoveries	4	4
Provision (Credit)	(4)	(5)
Ending Balance	3	3
Leases, net
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Beginning Balance	986	382
Charge-offs	(2,616)	(130)
Recoveries	64	0
Provision (Credit)	3,164	734
Ending Balance	$ 1,598	$ 986

Allowance for Loan and Lease _4

Allowance for Loan and Lease Losses (the Allowance) - Allowance allocated by portfolio segment (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	$ 2,225	$ 3,276
Allowance on loans and leases collectively evaluated for impairment	16,603	15,482
Total	18,828	18,758	$ 17,767
Carrying value of loans and leases individually evaluated for impairment	24,178	25,829
Carrying value of loans and leases collectively evaluated for impairment	1,696,918	1,342,301
Total	1,721,096	1,368,130
Commercial mortgage
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	4,095	4,950
Total	4,095	4,950	7,451
Carrying value of loans and leases individually evaluated for impairment	2,445	3,556
Carrying value of loans and leases collectively evaluated for impairment	562,955	513,372
Total	565,400	516,928
Home equity lines and loans
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	188	224
Total	188	224	434
Carrying value of loans and leases individually evaluated for impairment	1,097	905
Carrying value of loans and leases collectively evaluated for impairment	58,302	51,394
Total	59,399	52,299
Residential mortgage
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	948	283
Total	948	283	385
Carrying value of loans and leases individually evaluated for impairment	1,454	1,797
Carrying value of loans and leases collectively evaluated for impairment	205,881	48,820
Total	207,335	50,617
Construction
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	3,075	2,042
Total	3,075	2,042	2,421
Carrying value of loans and leases individually evaluated for impairment	1,206	1,206
Carrying value of loans and leases collectively evaluated for impairment	270,749	159,699
Total	271,955	160,905
Commercial and industrial (2)
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	776	2,900
Allowance on loans and leases collectively evaluated for impairment	3,236	3,633
Total	4,012	6,533
Carrying value of loans and leases individually evaluated for impairment	12,547	17,361
Carrying value of loans and leases collectively evaluated for impairment	328,831	367,201
Total	341,378	384,562
Small business loans
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	1,449	376
Allowance on loans and leases collectively evaluated for impairment	3,460	3,361
Total	4,909	3,737	1,259
Carrying value of loans and leases individually evaluated for impairment	4,527	792
Carrying value of loans and leases collectively evaluated for impairment	131,628	113,366
Total	136,155	114,158
Consumer
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	3	3
Total	3	3
Carrying value of loans and leases individually evaluated for impairment	0	0
Carrying value of loans and leases collectively evaluated for impairment	488	419
Total	488	419
Leases, net
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	1,598	986
Total	1,598	986	$ 382
Carrying value of loans and leases individually evaluated for impairment	902	212
Carrying value of loans and leases collectively evaluated for impairment	138,084	88,030
Total	138,986	88,242
PPP
Impaired Loans
Total	$ 4,700	$ 90,200
Percentage guaranteed	100%	100%

Allowance for Loan and Lease _5

Allowance for Loan and Lease Losses (the Allowance) - Carrying value based on credit quality indicators (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Loans and Leases by Credit Ratings
Total loans	$ 1,735,598	$ 1,385,688
Increase in carry value		(3,600)
Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	1,374,287	1,228,852
Pass
Loans and Leases by Credit Ratings
Total loans	1,281,804	1,123,252
Special mention
Loans and Leases by Credit Ratings
Total loans	43,766	53,352
Substandard
Loans and Leases by Credit Ratings
Total loans	48,717	52,248
Doubtful
Loans and Leases by Credit Ratings
Total loans	0	0
Commercial mortgage | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	565,400	516,928
Commercial mortgage | Pass
Loans and Leases by Credit Ratings
Total loans	536,705	481,551
Commercial mortgage | Special mention
Loans and Leases by Credit Ratings
Total loans	25,309	29,452
Commercial mortgage | Substandard
Loans and Leases by Credit Ratings
Total loans	3,386	5,925
Commercial mortgage | Doubtful
Loans and Leases by Credit Ratings
Total loans	0	0
Home equity lines and loans | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	59,399	52,299
Home equity lines and loans | Pass
Loans and Leases by Credit Ratings
Total loans	57,822	50,908
Home equity lines and loans | Special mention
Loans and Leases by Credit Ratings
Total loans	0	0
Home equity lines and loans | Substandard
Loans and Leases by Credit Ratings
Total loans	1,577	1,391
Home equity lines and loans | Doubtful
Loans and Leases by Credit Ratings
Total loans	0	0
Construction | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	271,955	160,905
Construction | Pass
Loans and Leases by Credit Ratings
Total loans	260,085	151,608
Construction | Special mention
Loans and Leases by Credit Ratings
Total loans	11,870	9,297
Construction | Substandard
Loans and Leases by Credit Ratings
Total loans	0	0
Construction | Doubtful
Loans and Leases by Credit Ratings
Total loans	0	0
Commercial and industrial
Loans and Leases by Credit Ratings
Total loans	341,378	384,562
Commercial and industrial | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	341,378	384,562
Commercial and industrial | Pass
Loans and Leases by Credit Ratings
Total loans	295,502	327,089
Commercial and industrial | Special mention
Loans and Leases by Credit Ratings
Total loans	6,587	14,603
Commercial and industrial | Substandard
Loans and Leases by Credit Ratings
Total loans	39,289	42,870
Commercial and industrial | Doubtful
Loans and Leases by Credit Ratings
Total loans	0	0
Small business loans
Loans and Leases by Credit Ratings
Total loans	136,155	114,158
Small business loans | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	136,155	114,158
Small business loans | Pass
Loans and Leases by Credit Ratings
Total loans	131,690	112,096
Small business loans | Special mention
Loans and Leases by Credit Ratings
Total loans	0	0
Small business loans | Substandard
Loans and Leases by Credit Ratings
Total loans	4,465	2,062
Small business loans | Doubtful
Loans and Leases by Credit Ratings
Total loans	$ 0	$ 0

Allowance for Loan and Lease _6

Allowance for Loan and Lease Losses (the Allowance) - Carrying value based on performance status (Details) $ in Thousands	Dec. 31, 2022 USD ($) loan	Dec. 31, 2021 USD ($) loan
Loans and Leases by Credit Ratings
Total loans	$ 1,735,598	$ 1,385,688
Loans at fair value	14,502	17,558
Evaluated by performance status
Loans and Leases by Credit Ratings
Total loans	346,809	139,278
Performing
Loans and Leases by Credit Ratings
Total loans	344,453	137,269
Non- performing
Loans and Leases by Credit Ratings
Total loans	2,356	2,009
Residential mortgage | Evaluated by performance status
Loans and Leases by Credit Ratings
Total loans	207,335	50,617
Residential mortgage | Performing
Loans and Leases by Credit Ratings
Total loans	205,881	48,820
Residential mortgage | Non- performing
Loans and Leases by Credit Ratings
Total loans	$ 1,454	$ 1,797
Number of loans (in loans) | loan	4	4
Loans at fair value	$ 558	$ 601
Consumer
Loans and Leases by Credit Ratings
Total loans	488	419
Consumer | Evaluated by performance status
Loans and Leases by Credit Ratings
Total loans	488	419
Consumer | Performing
Loans and Leases by Credit Ratings
Total loans	488	419
Consumer | Non- performing
Loans and Leases by Credit Ratings
Total loans	0	0
Leases, net
Loans and Leases by Credit Ratings
Total loans	138,986	88,242
Leases, net | Evaluated by performance status
Loans and Leases by Credit Ratings
Total loans	138,986	88,242
Leases, net | Performing
Loans and Leases by Credit Ratings
Total loans	138,084	88,030
Leases, net | Non- performing
Loans and Leases by Credit Ratings
Total loans	$ 902	$ 212

Allowance for Loan and Lease _7

Allowance for Loan and Lease Losses (the Allowance) - Impaired loans (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Impaired loans with related allowance:
Recorded investment	$ 14,829	$ 17,813
Principal balance	15,825	17,976
Related allowance	2,225	3,276
Impaired loans without related allowance:
Recorded investment	9,349	8,016
Principal balance	9,406	8,104
Grand Total
Recorded investment	24,178	25,829
Principal balance	25,231	26,080
Related allowance	2,225	3,276
Commercial and industrial
Impaired loans with related allowance:
Recorded investment	11,099	17,147
Principal balance	12,095	17,310
Related allowance	776	2,900
Impaired loans without related allowance:
Recorded investment	1,448	214
Principal balance	1,494	269
Grand Total
Related allowance	776	2,900
Commercial mortgage
Impaired loans without related allowance:
Recorded investment	2,445	3,556
Principal balance	2,456	3,559
Small business loans
Impaired loans with related allowance:
Recorded investment	3,730	666
Principal balance	3,730	666
Related allowance	1,449	376
Impaired loans without related allowance:
Recorded investment	797	126
Principal balance	797	126
Grand Total
Related allowance	1,449	376
Home equity lines and loans
Impaired loans without related allowance:
Recorded investment	1,097	905
Principal balance	1,097	935
Residential mortgage
Impaired loans without related allowance:
Recorded investment	1,454	1,797
Principal balance	1,454	1,797
Construction
Impaired loans without related allowance:
Recorded investment	1,206	1,206
Principal balance	1,206	1,206
Leases, net
Impaired loans without related allowance:
Recorded investment	902	212
Principal balance	$ 902	$ 212

Allowance for Loan and Lease _8

Allowance for Loan and Lease Losses (the Allowance) - Impaired loan average recorded investment (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Impaired loans with related allowance:
Average recorded investment	$ 16,942	$ 18,236
Interest income recognized	0	15
Impaired loans without related allowance:
Average recorded investment	8,485	8,138
Interest income recognized	732	154
Average recorded investment	25,427	26,374
Interest income recognized	732	169
Commercial mortgage
Impaired loans without related allowance:
Average recorded investment	2,523	3,578
Interest income recognized	105	43
Commercial and industrial
Impaired loans with related allowance:
Average recorded investment	13,211	17,349
Interest income recognized	0	15
Impaired loans without related allowance:
Average recorded investment	559	239
Interest income recognized	297	24
Small business loans
Impaired loans with related allowance:
Average recorded investment	3,731	887
Interest income recognized	0	0
Impaired loans without related allowance:
Average recorded investment	802	154
Interest income recognized	9	14
Home equity lines and loans
Impaired loans without related allowance:
Average recorded investment	1,097	914
Interest income recognized	38	0
Residential mortgage
Impaired loans without related allowance:
Average recorded investment	1,473	1,807
Interest income recognized	205	11
Construction
Impaired loans without related allowance:
Average recorded investment	1,206	1,206
Interest income recognized	78	62
Leases, net
Impaired loans without related allowance:
Average recorded investment	825	240
Interest income recognized	$ 0	$ 0

Allowance for Loan and Lease _9

Allowance for Loan and Lease Losses (the Allowance) - Troubled debt restructuring (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Financing Receivable, Allowance for Credit Loss, Writeoff, after Recovery [Abstract]
TDRs included in nonperforming loans and leases	$ 207	$ 361
TDRs in compliance with modified terms	3,573	3,446
Total TDRs	$ 3,780	$ 3,807

Allowance for Loan and Lease_10

Allowance for Loan and Lease Losses (the Allowance) - Loan modifications granted categorized as TDRs (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($) loans loan	Dec. 31, 2021 USD ($) loan
Financing Receivable, Allowance for Credit Loss, Writeoff, after Recovery [Abstract]
Number of loan modifications | loan	1	2
Commercial mortgage loan value	$ 684	$ 1,200
Number of loans paid off for troubled debt | loans	2
Troubled debt paid off		$ 563

Bank Premises and Equipment (De

Bank Premises and Equipment (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Bank Premises and Equipment
Less: accumulated depreciation	$ (12,825)	$ (11,463)
Total	13,349	11,806
Depreciation	1,400	1,300
Buildings
Bank Premises and Equipment
Property, plant and equipment, gross	9,150	4,141
Leasehold improvements
Bank Premises and Equipment
Property, plant and equipment, gross	3,347	3,347
Land
Bank Premises and Equipment
Property, plant and equipment, gross	600	600
Land Improvements
Bank Premises and Equipment
Property, plant and equipment, gross	218	218
Furniture, fixtures and equipment
Bank Premises and Equipment
Property, plant and equipment, gross	3,577	3,229
Computer equipment and data processing software
Bank Premises and Equipment
Property, plant and equipment, gross	9,242	7,971
Construction in process
Bank Premises and Equipment
Property, plant and equipment, gross	$ 40	$ 3,763

Deposits - Components of deposi

Deposits - Components of deposits (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Deposits [Abstract]
Demand, non-interest bearing	$ 301,727	$ 274,528
Demand, interest bearing	219,838	268,248
Savings accounts	36,125	45,038
Money market accounts	661,439	652,590
Time deposits	493,350	206,009
Total deposits	1,712,479	1,446,413
Time deposits over FDIC insurance limit	$ 394,300	$ 179,800

Deposits - Scheduled maturities

Deposits - Scheduled maturities (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Scheduled maturities
2023	$ 414,853
2024	20,815
2025	24,211
2026	33,450
2027	21
Total	$ 493,350	$ 206,009

Borrowings - Additional Informa

Borrowings - Additional Information (Details)	12 Months Ended
	Dec. 31, 2022 USD ($) item	Dec. 31, 2021 USD ($)
Short-Term Borrowings
Borrowings	$ 113,147,000	$ 41,344,000
Long term debt	$ 8,900,000	0
Interest rate (as a percent)	4.23%
Letters of credit
Short-Term Borrowings
Maximum borrowing capacity	$ 561,700,000	505,400,000
Proceeds from long term debt	$ 49,100,000
Federal funds purchased
Short-Term Borrowings
Number of borrowing facilities | item	2
Maximum borrowing capacity	$ 0
Federal funds purchased, facility one
Short-Term Borrowings
Maximum borrowing capacity	24,000,000
Federal funds purchased, facility two
Short-Term Borrowings
Maximum borrowing capacity	15,000,000
Federal Reserve discount window
Short-Term Borrowings
Maximum borrowing capacity	8,800,000
Borrowings	$ 0	$ 0

Borrowings - Short-term borrowi

Borrowings - Short-term borrowings (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Short-Term Borrowings
Short term borrowings	$ 113,147	$ 41,344
Open Repo Plus Weekly 4.45 Percent Maturing On 6/5/2023
Short-Term Borrowings
Interest rate	4.45%
Short term borrowings	$ 113,147	36,458
Open Repo Plus Weekly 0.33 Percent Maturing On 6/05/2023
Short-Term Borrowings
Interest rate	3.11%
Mid-term Repo-fixed Maturing On 9/12/2022
Short-Term Borrowings
Interest rate	0.23%
Short term borrowings	$ 0	$ 4,886

Subordinated Debentures (Detail

Subordinated Debentures (Details) $ in Thousands	1 Months Ended				3 Months Ended	12 Months Ended
	Dec. 31, 2019 USD ($)	Apr. 30, 2013 USD ($)	Dec. 31, 2011 USD ($) installment	Dec. 31, 2008 USD ($) installment	Mar. 16, 2023 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Subordinated Borrowing [Line Items]
Debenture outstanding						$ 40,346	$ 40,508
Repayments of debt						279	281
2008 Debentures
Subordinated Borrowing [Line Items]
Debt issued				$ 550
Conversion ratio				0.0667
Interest rate				6%
Number of equal principal installments | installment				8
Debenture outstanding				$ 56
Repayments of debt						56	56
2011 Debentures
Subordinated Borrowing [Line Items]
Debt issued			$ 1,400
Conversion ratio			0.0588
Interest rate			6%
Number of equal principal installments | installment			8
Debenture outstanding						462
Repayments of debt						116	116
2013 Debentures
Subordinated Borrowing [Line Items]
Debt issued		$ 1,400
Conversion ratio		0.0455
Interest rate		6.50%
Debenture outstanding						652
Repayments of debt						109	109
2013 Debentures | Subsequent Event
Subordinated Borrowing [Line Items]
Repayments of debt					$ 56
2019 Debentures
Subordinated Borrowing [Line Items]
Debt issued	$ 40,000
Interest rate	5.375%
Interest payments						$ 2,200	$ 2,200

Servicing Assets - Residential

Servicing Assets - Residential Mortgage Loans (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Balance at beginning of the period	$ 12,765
Balance at end of the period	12,346	$ 12,765
Mortgage Servicing Rights
Servicing Assets at Fair Value [Line Items]
Loans serviced	1,000,000
Servicing fee income	2,600	2,000
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Balance at beginning of the period	10,756	4,647
Servicing rights capitalized	668	6,769
Amortization of servicing rights	(1,488)	(1,087)
Change in valuation allowance	6	427
Balance at end of the period	9,942	10,756
Valuation Allowance for Impairment of Recognized Servicing Assets [Roll Forward]
Valuation allowance, beginning of period	(8)	(435)
Impairment	(4)	0
Recovery	10	427
Valuation allowance, end of period	$ (2)	$ (8)

Servicing Assets - MSR Sensitiv

Servicing Assets - MSR Sensitivity Analysis (Details) - Mortgage Servicing Rights - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Fair value of residential mortgage servicing rights	$ 11,567	$ 11,241
Weighted average life (months)	22 months	11 months
Prepayment speed	8.05%	7.23%
10% adverse change	$ (268)	$ (376)
20% adverse change	$ (525)	$ (731)
Discount rate	9.50%	9%
10% adverse change	$ (404)	$ (436)
20% adverse change	$ (777)	$ (840)

Servicing Assets - SBA Loans (D

Servicing Assets - SBA Loans (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Balance at beginning of the period	$ 12,765
Balance at end of the period	12,346	$ 12,765
SBA Loan Servicing Rights
Servicing Assets at Fair Value [Line Items]
Loans serviced	166,100	115,100
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Balance at beginning of the period	2,009	970
Servicing rights capitalized	1,395	1,488
Amortization of servicing rights	(732)	(392)
Change in valuation allowance	(268)	(57)
Balance at end of the period	2,404	2,009
Valuation Allowance for Impairment of Recognized Servicing Assets [Roll Forward]
Valuation allowance, beginning of period	(96)	(39)
Impairment	(408)	(57)
Recovery	140	0
Valuation allowance, end of period	$ (364)	$ (96)

Servicing Assets - SBA Sensitiv

Servicing Assets - SBA Sensitivity Analysis (Details) - SBA Loan Servicing Rights - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Fair value of SBA loan servicing rights	$ 2,422	$ 2,107
Weighted average life (months)	3 years 9 months 18 days	3 years 9 months 18 days
Prepayment speed	12.73%	12.38%
10% adverse change	$ (73)	$ (69)
20% adverse change	$ (141)	$ (132)
Discount rate	18.96%	9.01%
10% adverse change	$ (53)	$ (54)
20% adverse change	$ (104)	$ (106)

Lease Commitments - Narrative (

Lease Commitments - Narrative (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($)
Lessee, Lease, Description [Line Items]
ROU assets	$ 9,000
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration]	Other assets
Total operating lease liabilities	$ 8,864
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration]	Other liabilities
Weighted average remaining lease term (in years)	6 years 2 months 12 days
Weighted average discount rate	2.63%
Rental expense	$ 2,200
Minimum
Lessee, Lease, Description [Line Items]
Remaining lease term	2 months
Maximum
Lessee, Lease, Description [Line Items]
Remaining lease term	12 years

Lease Commitments - Lease Cost

Lease Commitments - Lease Cost (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($)
Leases [Abstract]
Operating lease expense	$ 2,242
Short term lease expense	13
Total lease expense	$ 2,255

Lease Commitments - Cash Flow I

Lease Commitments - Cash Flow Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$ 2,150
Lease liabilities arising from obtaining right-of-use assets	$ 10,936	$ 0

Lease Commitments - Maturity of

Lease Commitments - Maturity of Lease Liabilities Under ASC 842 (Details) $ in Thousands	Dec. 31, 2022 USD ($)
Leases [Abstract]
2023	$ 1,919
2024	1,746
2025	1,456
2026	1,436
2027	1,278
Thereafter	1,856
Total	9,691
Less: Present value discount	(827)
Total operating lease liabilities	$ 8,864

Stock-Based Compensation - 2016

Stock-Based Compensation - 2016 Plan (Details)		12 Months Ended
	Feb. 28, 2023 shares	Dec. 31, 2022 shares	Dec. 31, 2021 shares	May 24, 2019 shares
Stock-Based Compensation
Granted		246,500	285,300
Subsequent Event
Stock-Based Compensation
Stock split, conversion ratio	2
Restricted Stock
Stock-Based Compensation
Granted (in shares)			20,000
2016 Plan
Stock-Based Compensation
Shares authorized				1,373,800
Number of shares available for future grants		239,540
Term of award		10 years
Vesting percentage		25%
Vesting period		3 years
2016 Plan | Employee stock option
Stock-Based Compensation
Granted		1,124,000
2016 Plan | Restricted Stock
Stock-Based Compensation
Granted (in shares)		86,416
2004 Plan
Stock-Based Compensation
Stock dividend percentage		5%
Number of shares available for future grants		0
2004 Plan | Subsequent Event
Stock-Based Compensation
Shares authorized	892,182

Stock-Based Compensation - Opti

Stock-Based Compensation - Options outstanding (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Shares
Outstanding, at the beginning of the period	923,928	801,454
Exercised	(87,134)	(154,530)
Granted	246,500	285,300
Forfeited	(29,606)	(8,296)
Outstanding, at the end of the period	1,053,688	923,928
Exercisable at the end of the period	694,670
Nonvested at the end of the period	359,018
Weighted average exercise price
Outstanding, at the beginning of the period	$ 10.19	$ 8.27
Exercised	8.67	6.84
Granted	16.22	13.75
Forfeited	12.14	9.32
Outstanding, at the end of the period	11.67	10.19
Exercisable at the end of the period	10.26
Nonvested at the end of the period	14.40
Weighted average exercise price
Outstanding, at the beginning of the period	3.10	2.35
Exercised	2.43	2.18
Granted	5.38	4.74
Forfeited	3.92	3.29
Outstanding, at the end of the period	3.67	$ 3.10
Exercisable at December 31, 2018	3.09
Nonvested at December 31, 2018	4.79
Range of exercise prices, lower limit	5.90
Range of exercise prices, upper limit	$ 17.76
Aggregate intrinsic value of options outstanding	$ 3,900
Aggregate intrinsic value of options exercisable	$ 3,500
Employee stock option
Weighted average exercise price
Weighted average remaining contractual life (in years)	7 years 4 months 24 days
Aggregate intrinsic value of options exercisable	$ 754

Stock-Based Compensation - Weig

Stock-Based Compensation - Weighted average assumptions (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Stock-based compensation fair value assumptions
Weighted average fair value of options granted	$ 5.38	$ 4.74
Proceeds from exercise of stock options	$ 711	$ 1,000
Excess tax benefit	$ 116	$ 0
Forfeited	29,606	8,296
Accounting Standards Update 2016-09, 1
Stock-based compensation fair value assumptions
Forfeited	29,606
Employee stock option
Stock-based compensation fair value assumptions
Expected dividends	2.60%	2.60%
Risk-free rate, minimum	3.01%	1.02%
Risk-free rate, maximum	4.26%	1.54%
Expected life	5 years 9 months	5 years 9 months
Expected volatility, minimum	33.30%	39.25%
Expected volatility, maximum	39%	40.97%
Share-based payment arrangement, expense	$ 1,000	$ 803
Unrecognized compensation cost	$ 1,700
Weighted average remaining contractual life (in years)	7 years 4 months 24 days
Compensation cost	$ 1,000	$ 803
Employee stock option | Minimum
Stock-based compensation fair value assumptions
Weighted average fair value of options granted	$ 4.67	$ 4.07
Employee stock option | Maximum
Stock-based compensation fair value assumptions
Weighted average fair value of options granted	$ 5.82	$ 4.79

Stock-Based Compensation - Rest

Stock-Based Compensation - Restricted Stock outstanding (Details) - Restricted Stock - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Shares
Outstanding, at the beginning of the period (in shares)	53,210	66,416
Granted (in shares)		20,000
Vested (in shares)	(53,210)	(33,206)
Outstanding, at the end of the period (in shares)		53,210
Nonvested (in shares)	0
Weighted Average Grant Date Fair Value
Outstanding, at the beginning of the period (in dollars per share)	$ 9.33	$ 7
Granted (in dollars per share)		13.18
Vested (in dollars per share)	9.33	7
Outstanding, at the end of the period (in dollars per share)		$ 9.33
Nonvested (in dollars per share)	$ 0
Share-based payment arrangement, expense	$ 70	$ 460
Unrecognized compensation costs no yet recognized	$ 0
Awards Vesting in one year
Weighted Average Grant Date Fair Value
Vesting percentage	100%
Vesting period	1 year

Income Taxes - Federal and Stat

Income Taxes - Federal and State (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Federal:
Current	$ 4,580	$ 10,022
Deferred	903	(717)
Total	5,483	9,305
State:
Current	494	1,463
Deferred	114	(51)
Total	608	1,412
Effective income tax rate	$ 6,091	$ 10,717

Income Taxes - Reconciliation (

Income Taxes - Reconciliation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Effective Income Tax Rate Reconciliation, Amount [Abstract]
Federal income tax at statutory rate	$ 5,863	$ 9,733
State tax expense, net of federal benefit	480	1,116
Tax exempt interest	(276)	(248)
Bank owned life insurance	(116)	(77)
Stock based compensation	36	81
ESOP	48	41
Other	56	71
Effective income tax rate	$ 6,091	$ 10,717
Effective Income Tax Rate Reconciliation, Percent [Abstract]
Federal income tax at statutory rate (as a percent)	21%	21%
State tax expense, net of federal benefit (as a percent)	1.70%	2.40%
Tax exempt interest (as a percent)	(1.00%)	(0.50%)
Bank owned life insurance (as a percent)	(0.40%)	(0.20%)
Stock based compensation (as a percent)	0.10%	0.20%
ESOP (as a percent)	0.20%	0.10%
Other (as a percent)	0.20%	0.10%
Effective income tax rate (as a percent)	21.80%	23.10%

Income Taxes - Deferred Tax Ass

Income Taxes - Deferred Tax Assets and Deferred Tax Liabilities (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Deferred tax assets:
Allowance for loan and lease losses	$ 4,212	$ 4,345
Unrealized loss on available for sale securities	3,327	0
Accrued incentive compensation	0	287
Accrued retirement	891	874
Mortgage pipeline fair-value adjustment	535	0
Deferred rent	96	141
Mortgage repurchase reserve	192	738
Other	179	183
Total deferred tax asset	9,432	6,568
Deferred tax liabilities:
Property and equipment	(948)	(535)
Loan servicing rights	(2,762)	(2,957)
Intangibles	(23)	(15)
Mortgage pipeline fair-value adjustment	0	(308)
Hedge instrument fair-value adjustment	(12)	(190)
Unrealized gain on available for sale securities	0	(213)
Prepaid expenses	(341)	(465)
Deferred loan costs	(1,410)	(471)
Other	0	(1)
Total deferred tax liability	(5,496)	(5,155)
Net deferred tax asset	$ 3,936	$ 1,413
Effective income tax rate (as a percent)	21.80%	23.10%
Investment in low income housing tax credits	$ 5,300	$ 3,300
Tax credit recognized	294	161
Tax credit, amortization	381	183
Tax benefit from losses	$ 131	$ 144

Transactions with Executive O_2

Transactions with Executive Officers, Directors and Principal Stockholders (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Related Party Transactions [Abstract]
Loans receivable from related parties	$ 2,000	$ 5,100
Payments for advances for related parties	5,200	2,800
Repayments to related parties	(6,100)	(1,300)
Effect of changes in composition of related parties	(2,200)	(284)
Deposits of related parties	32,600	34,700
Subordinated debt held by related parties	208	409
Legal fees paid	$ 14	$ 22

Financial Instruments with Of_3

Financial Instruments with Off-Balance Sheet Risk, Commitments and Contingencies - Summary of Financial Instrument Commitments (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Commitments to fund loans and commitments under lines of credit
Other Commitments [Line Items]
Off-balance sheet financial instruments	$ 506,203	$ 486,632
Letters of credit
Other Commitments [Line Items]
Off-balance sheet financial instruments	$ 19,042	$ 25,986

Financial Instruments with Off0

Financial Instruments with Off0Balance Sheet Risk, Commitments and Contingencies - Narrative (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($) loan	Dec. 31, 2021 USD ($) loan
Text Block [Abstract]
Indemnification or repurchase of loan	$ 734	$ 109
Repurchase reverse	$ 858	$ 3,200
Number of loans repurchased | loan	8	6
Unpaid principal balance for loans repurchased	$ 1,800	$ 1,300

Regulatory Matters (Details)

Regulatory Matters (Details)	Dec. 31, 2022	Dec. 31, 2021
Tier 1 leverage ratio (as a percent)	0.0813	0.0939
Tier 1 leverage ratio, well-capitalized minimum (as a percent)	0.0500
Common tier 1 risk-based capital ratio (as a percent)	0.0877	0.1083
Common tier risk-based capital ratio, well-capitalized minimum (as a percent)	0.0650
Tier 1 risk-based capital ratio (as a percent)	0.0877	0.1083
Tier 1 risk-based capital ratio, well-capitalized minimum (as a percent)	0.0800
Total risk-based capital ratio (as a percent)	0.1205	0.1481
Total risk-based capital ratio, well-capitalized minimum (as a percent)	0.1000
Meridian Bank
Tier 1 leverage ratio (as a percent)	0.0995	0.1151
Common tier 1 risk-based capital ratio (as a percent)	0.1073	0.1327
Tier 1 risk-based capital ratio (as a percent)	0.1073	0.1327
Total risk-based capital ratio (as a percent)	0.1187	0.1463

Fair Value Measurements and D_3

Fair Value Measurements and Disclosures - Financial assets measured at fair value on a recurring basis (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Assets
Fair value	$ 135,346	$ 159,302
Equity investments	2,086	2,354
Total	178,110	262,244
Liabilities
Total	3,895
U.S. asset backed securities
Assets
Fair value	15,281	16,837
U.S. government agency MBS
Assets
Fair value	11,739	9,813
U.S. government agency CMO
Assets
Fair value	23,318	22,381
State and municipal securities
Assets
Fair value	38,838	72,982
Non-U.S. government agency CMO
Assets
Fair value	9,089	975
Corporate bonds
Assets
Fair value	7,558	6,586
Forward commitments
Assets
Derivative assets, Fair value		65
Recurring
Assets
Equity investments	2,086	2,354
Mortgage loans held for sale	22,243	80,882
Mortgage loans held for investment	14,502	17,558
Liabilities
Total		1,327
Recurring | U.S. asset backed securities
Assets
Fair value	15,281	16,837
Recurring | U.S. government agency MBS
Assets
Fair value	11,739	9,813
Recurring | U.S. government agency CMO
Assets
Fair value	23,318	22,381
Recurring | State and municipal securities
Assets
Fair value	38,838	72,982
Recurring | U.S. Treasuries
Assets
Fair value	29,523	29,728
Recurring | Non-U.S. government agency CMO
Assets
Fair value	9,089	975
Recurring | Corporate bonds
Assets
Fair value	7,558	6,586
Recurring | Interest rate lock commitments
Assets
Derivative assets, Fair value	87	1,122
Liabilities
Derivative Liability	79	203
Recurring | Forward commitments
Assets
Derivative assets, Fair value	0
Liabilities
Derivative Liability		106
Recurring | Customer derivatives - interest rate swaps
Assets
Derivative assets, Fair value	3,846	961
Liabilities
Derivative Liability	3,799	1,018
Recurring | Risk Participation Agreements
Liabilities
Derivative Liability	17
Recurring | Level 1
Assets
Equity investments	0	0
Mortgage loans held for sale	0	0
Mortgage loans held for investment	0	0
Total	29,523	29,728
Liabilities
Total	0	0
Recurring | Level 1 | U.S. asset backed securities
Assets
Fair value	0	0
Recurring | Level 1 | U.S. government agency MBS
Assets
Fair value	0	0
Recurring | Level 1 | U.S. government agency CMO
Assets
Fair value	0	0
Recurring | Level 1 | State and municipal securities
Assets
Fair value	0	0
Recurring | Level 1 | U.S. Treasuries
Assets
Fair value	29,523	29,728
Recurring | Level 1 | Non-U.S. government agency CMO
Assets
Fair value	0	0
Recurring | Level 1 | Corporate bonds
Assets
Fair value	0	0
Recurring | Level 1 | Interest rate lock commitments
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability	0	0
Recurring | Level 1 | Forward commitments
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability		0
Recurring | Level 1 | Customer derivatives - interest rate swaps
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability	0	0
Recurring | Level 1 | Risk Participation Agreements
Liabilities
Derivative Liability	0
Recurring | Level 2
Assets
Equity investments	2,086	2,354
Mortgage loans held for sale	22,243	80,882
Mortgage loans held for investment	14,502	17,558
Total	148,500	231,394
Liabilities
Total	3,816	1,124
Recurring | Level 2 | U.S. asset backed securities
Assets
Fair value	15,281	16,837
Recurring | Level 2 | U.S. government agency MBS
Assets
Fair value	11,739	9,813
Recurring | Level 2 | U.S. government agency CMO
Assets
Fair value	23,318	22,381
Recurring | Level 2 | State and municipal securities
Assets
Fair value	38,838	72,982
Recurring | Level 2 | U.S. Treasuries
Assets
Fair value	0	0
Recurring | Level 2 | Non-U.S. government agency CMO
Assets
Fair value	9,089	975
Recurring | Level 2 | Corporate bonds
Assets
Fair value	7,558	6,586
Recurring | Level 2 | Interest rate lock commitments
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability	0	0
Recurring | Level 2 | Forward commitments
Assets
Derivative assets, Fair value	0	65
Liabilities
Derivative Liability		106
Recurring | Level 2 | Customer derivatives - interest rate swaps
Assets
Derivative assets, Fair value	3,846	961
Liabilities
Derivative Liability	3,799	1,018
Recurring | Level 2 | Risk Participation Agreements
Liabilities
Derivative Liability	17
Recurring | Level 3
Assets
Equity investments	0	0
Mortgage loans held for sale	0	0
Mortgage loans held for investment	0	0
Total	87	1,122
Liabilities
Total	79	203
Recurring | Level 3 | U.S. asset backed securities
Assets
Fair value	0	0
Recurring | Level 3 | U.S. government agency MBS
Assets
Fair value	0	0
Recurring | Level 3 | U.S. government agency CMO
Assets
Fair value	0	0
Recurring | Level 3 | State and municipal securities
Assets
Fair value	0	0
Recurring | Level 3 | U.S. Treasuries
Assets
Fair value	0	0
Recurring | Level 3 | Non-U.S. government agency CMO
Assets
Fair value		0
Recurring | Level 3 | Corporate bonds
Assets
Fair value	0	0
Recurring | Level 3 | Interest rate lock commitments
Assets
Derivative assets, Fair value	87	1,122
Liabilities
Derivative Liability	79	203
Recurring | Level 3 | Forward commitments
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability		0
Recurring | Level 3 | Customer derivatives - interest rate swaps
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability	0	$ 0
Recurring | Level 3 | Risk Participation Agreements
Liabilities
Derivative Liability	$ 0

Fair Value Measurements and D_4

Fair Value Measurements and Disclosures - Financial assets measured at fair value on non-recurring basis (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Financial assets measured at fair value on a nonrecurring basis
Total	$ 178,110	$ 262,244
Nonrecurring | Level 3
Financial assets measured at fair value on a nonrecurring basis
Mortgage servicing rights	9,942	10,756
SBA loan servicing rights	2,404	2,009
Total	14,627	14,892
Nonrecurring | Level 3 | Commercial and industrial
Financial assets measured at fair value on a nonrecurring basis
Impaired loans	0	1,837
Nonrecurring | Level 3 | Small business loans
Financial assets measured at fair value on a nonrecurring basis
Impaired loans	$ 2,281	$ 290

Fair Value Measurements and D_5

Fair Value Measurements and Disclosures - Level 3 valuation (Details) - Level 3 - Valuation, Income Approach - Measurement Input, Appraised Value $ in Thousands	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans	$ 2,281	$ 2,127
Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans, measurement input (as a percent)	0.02	0.02
Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans, measurement input (as a percent)	0.15	0.15

Fair Value Measurements and D_6

Fair Value Measurements and Disclosures - Estimated fair values of financial instruments (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Financial assets:
Residential mortgage real estate loans accounted under fair value option, at fair value	$ 14,502	$ 17,558
Level 1 | Carrying amount
Financial assets:
Cash and cash equivalents	38,391	23,480
Level 1 | Fair value
Financial assets:
Cash and cash equivalents	38,391	23,480
Level 2 | Carrying amount
Financial assets:
Mortgage loans held for sale	22,243	80,882
Mortgage loans held for investment	14,502	17,558
Financial liabilities:
Deposits	1,712,479	1,446,413
Short-term borrowings	122,082	41,344
Subordinated debentures	40,346	40,508
Level 2 | Fair value
Financial assets:
Mortgage loans held for sale	22,243	80,882
Mortgage loans held for investment	14,502	17,558
Financial liabilities:
Deposits	1,575,600	1,549,100
Short-term borrowings	122,082	41,344
Subordinated debentures	40,020	40,803
Level 3 | Carrying amount
Financial assets:
Residential mortgage real estate loans accounted under fair value option, at fair value	1,729,180	1,368,899
Level 3 | Fair value
Financial assets:
Residential mortgage real estate loans accounted under fair value option, at fair value	$ 1,679,955	$ 1,370,885

Fair Value Measurements and D_7

Fair Value Measurements and Disclosures - Fair value on a recurring basis (Details) - Interest rate lock commitments - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Balance at beginning of the period	$ 1,122	$ 6,932
Decrease in value	(1,035)	(5,810)
Balance at end of the period	$ 87	$ 1,122

Fair Value Measurements and D_8

Fair Value Measurements and Disclosures - Valuation techniques for level 3 interest rate lock (Details) - Interest rate lock commitments - Level 3 - Valuation Technique, Consensus Pricing Model $ in Thousands	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative asset	$ 87	$ 1,122
Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative asset, measurement input	0.01	0.01
Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative asset, measurement input	0.99	0.99
Weighted Average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative asset, measurement input	0.8405	0.8766

Derivative Financial Instrume_3

Derivative Financial Instruments - Notional amounts and fair values of derivative financial instruments (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Derivative Financial Instruments
Notional Amount	$ 127,456	$ 290,811
Asset (Liability) Fair Value	38	821
Interest rate lock commitments
Derivative Financial Instruments
Notional Amount	32,698	143,917
Asset (Liability) Fair Value	8	919
Interest rate lock commitments | Other assets
Derivative Financial Instruments
Notional Amount	16,590	108,653
Asset (Liability) Fair Value	87	1,122
Interest rate lock commitments | Other liabilities
Derivative Financial Instruments
Notional Amount	16,108	35,264
Asset (Liability) Fair Value	(79)	(203)
Forward commitments
Derivative Financial Instruments
Notional Amount	0	76,000
Asset (Liability) Fair Value	0	(41)
Forward commitments | Other assets
Derivative Financial Instruments
Notional Amount	0	30,500
Asset (Liability) Fair Value	0	65
Forward commitments | Other liabilities
Derivative Financial Instruments
Notional Amount	0	45,500
Asset (Liability) Fair Value	0	(106)
Customer derivatives - interest rate swaps
Derivative Financial Instruments
Notional Amount	87,558	70,894
Asset (Liability) Fair Value	47	(57)
Customer derivatives - interest rate swaps | Other assets
Derivative Financial Instruments
Notional Amount	43,779	35,447
Asset (Liability) Fair Value	3,846	961
Customer derivatives - interest rate swaps | Other liabilities
Derivative Financial Instruments
Notional Amount	43,779	35,447
Asset (Liability) Fair Value	(3,799)	(1,018)
Risk Participation Agreements
Derivative Financial Instruments
Notional Amount	7,200	0
Asset (Liability) Fair Value	(17)	0
Risk Participation Agreements | Other assets
Derivative Financial Instruments
Notional Amount	0	0
Asset (Liability) Fair Value	0	0
Risk Participation Agreements | Other liabilities
Derivative Financial Instruments
Notional Amount	7,200	0
Asset (Liability) Fair Value	$ (17)	$ 0

Derivative Financial Instrume_4

Derivative Financial Instruments - Fair value gains and losses on derivative financial instruments (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Summary of the fair value gains and losses on derivative financial instruments
Net fair value (losses) gains on derivative financial instruments	$ (703)	$ (4,338)
Net realized gains (loss) on derivative hedging activities	5,400	3,000
Interest rate lock commitments
Summary of the fair value gains and losses on derivative financial instruments
Net fair value (losses) gains on derivative financial instruments	(911)	(5,913)
Forward commitments
Summary of the fair value gains and losses on derivative financial instruments
Net fair value (losses) gains on derivative financial instruments	41	1,531
Customer derivatives - interest rate swaps
Summary of the fair value gains and losses on derivative financial instruments
Net fair value (losses) gains on derivative financial instruments	105	44
Risk Participation Agreements
Summary of the fair value gains and losses on derivative financial instruments
Net fair value (losses) gains on derivative financial instruments	$ 62	$ 0

Segments - Business segment (De

Segments - Business segment (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Net-interest Income:
Net interest income	$ 70,128	$ 63,111
Provision for loan losses	2,488	1,070
Net interest income after provision for loan losses	67,640	62,041
Non-interest Income
Mortgage banking income	25,325	75,932
SBA income	4,467	6,898
Net change in fair values	(3,955)	(7,838)
Net gain on hedging activity	5,439	2,961
Other	5,715	5,234
Total non-interest income	41,724	87,988
Total non-interest expense	81,444	103,727
Income before income taxes	27,920	46,302
Total assets	2,062,228	1,713,443
Bank
Net-interest Income:
Net interest income	68,570	61,032
Provision for loan losses	2,488	1,070
Net interest income after provision for loan losses	66,082	59,962
Non-interest Income
Mortgage banking income	436	1,097
SBA income	4,467	6,898
Net change in fair values	167	43
Net gain on hedging activity	0	0
Other	2,486	2,741
Total non-interest income	7,556	10,779
Total non-interest expense	45,122	40,392
Income before income taxes	28,516	30,349
Total assets	2,011,835	1,608,305
Wealth
Net-interest Income:
Net interest income	697	15
Provision for loan losses	0	0
Net interest income after provision for loan losses	697	15
Non-interest Income
Mortgage banking income	0	0
SBA income	0	0
Net change in fair values	0	0
Net gain on hedging activity	0	0
Other	(1)	1
Total non-interest income	4,732	4,802
Total non-interest expense	3,399	3,496
Income before income taxes	2,030	1,321
Total assets	8,142	6,355
Mortgage
Net-interest Income:
Net interest income	861	2,064
Provision for loan losses	0	0
Net interest income after provision for loan losses	861	2,064
Non-interest Income
Mortgage banking income	24,889	74,835
SBA income	0	0
Net change in fair values	(4,122)	(7,881)
Net gain on hedging activity	5,439	2,961
Other	3,230	2,492
Total non-interest income	29,436	72,407
Total non-interest expense	32,923	59,839
Income before income taxes	(2,626)	14,632
Total assets	42,251	98,783
Wealth management income
Non-interest Income
Wealth management income	4,733	4,801
Wealth management income | Bank
Non-interest Income
Wealth management income	0	0
Wealth management income | Wealth
Non-interest Income
Wealth management income	4,733	4,801
Wealth management income | Mortgage
Non-interest Income
Wealth management income	$ 0	$ 0

Parent Company Financial Stat_3

Parent Company Financial Statements - Condensed Balance Sheets (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Assets:
Cash and due from banks	$ 11,299	$ 3,966
Other assets	24,072	10,463
Total assets	2,062,228	1,713,443
Liabilities:
Subordinated debentures	40,346	40,508
Accrued interest payable	2,389	31
Other liabilities	31,652	19,787
Total liabilities	1,908,948	1,548,083
Stockholders’ equity:
Common stock, $1 par value. Authorized 10,000,000 shares; issued 6,455,566 and 6,407,685 as of December 31, 2020 and December 31, 2019	$ 13,156	$ 6,535
Common stock, issued (in shares)	13,156,308	13,069,174
Surplus	$ 79,072	$ 83,663
Treasury stock, 721,927 and 426,693 shares, respectively, at cost	(21,821)	(8,860)
Unearned common stock held by employee stock ownership plan	(1,403)	(1,602)
Retained earnings	95,815	84,916
Accumulated other comprehensive (loss) income	(11,539)	708
Total stockholders’ equity	153,280	165,360
Total liabilities and stockholders’ equity	2,062,228	1,713,443
Parent Company | Reportable Legal Entities
Assets:
Cash and due from banks	4,839	2,836
Investments in subsidiaries	186,686	200,410
Other assets	1,382	1,382
Total assets	192,907	204,628
Liabilities:
Subordinated debentures	39,175	39,057
Accrued interest payable	6	6
Other liabilities	446	205
Total liabilities	39,627	39,268
Stockholders’ equity:
Common stock, $1 par value. Authorized 10,000,000 shares; issued 6,455,566 and 6,407,685 as of December 31, 2020 and December 31, 2019	$ 13,156	$ 6,535
Common stock, issued (in shares)	13,156,308	13,069,174
Surplus	$ 79,072	$ 83,663
Treasury stock, 721,927 and 426,693 shares, respectively, at cost	$ (21,821)	$ (8,860)
Treasury stock (in shares)	1,690,736	853,386
Unearned common stock held by employee stock ownership plan	$ (1,403)	$ (1,602)
Retained earnings	95,815	84,916
Accumulated other comprehensive (loss) income	(11,539)	708
Total stockholders’ equity	153,280	165,360
Total liabilities and stockholders’ equity	$ 192,907	$ 204,628

Parent Company Financial Stat_4

Parent Company Financial Statements - Condensed Statements of Income (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Condensed Income Statements, Captions [Line Items]
Total interest income	$ 88,721	$ 71,522
Interest expense	18,593	8,411
Income before income taxes	27,920	46,302
Income tax benefit	6,091	10,717
Net income	21,829	35,585
Total comprehensive income	9,582	33,737
Parent Company | Reportable Legal Entities
Condensed Income Statements, Captions [Line Items]
Dividends from Bank	27,813	17,187
Interest income	8	0
Total interest income	27,821	17,187
Interest expense	2,268	2,303
Other expenses	1,412	1,675
Income before equity in undistributed income of subsidiaries	24,141	13,209
Equity in undistributed income of subsidiaries	(3,084)	22,376
Income before income taxes	21,057	35,585
Income tax benefit	(772)	0
Net income	21,829	35,585
Total other comprehensive (loss) income	(12,247)	(1,848)
Total comprehensive income	$ 9,582	$ 33,737

Parent Company Financial Stat_5

Parent Company Financial Statements - Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Condensed Cash Flow Statements, Captions [Line Items]
Net income	$ 21,829	$ 35,585
Adjustments to reconcile net income to net cash provided by operating activities:
Stock based compensation	1,475	1,607
Amortization of issuance costs on subordinated debt	117	118
Increase (decrease) in accrued interest payable	2,358	(1,122)
Net cash provided by operating activities	84,671	165,123
Cash flows provided by (used in) financing activities:
Dividends paid	(10,930)	(9,679)
Share based awards and exercises	754	1,105
Net cash provided by (used in) financing activities	323,388	(37,872)
Net change in cash and cash equivalents	14,911	(13,264)
Cash and cash equivalents at beginning of period	23,480	36,744
Cash and cash equivalents at end of period	38,391	23,480
Parent Company | Reportable Legal Entities
Condensed Cash Flow Statements, Captions [Line Items]
Net income	21,829	35,585
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in undistributed income of subsidiaries	3,084	(22,376)
Stock based compensation	1,475	1,607
Amortization of issuance costs on subordinated debt	118	153
Other, net	(1,369)	(740)
Net cash provided by operating activities	25,137	14,229
Cash flows provided by (used in) financing activities:
Net purchase of treasury stock	(12,961)	(3,032)
Dividends paid	(10,926)	(9,679)
Share based awards and exercises	754	1,105
Net cash provided by (used in) financing activities	(23,133)	(11,606)
Net change in cash and cash equivalents	2,004	2,623
Cash and cash equivalents at beginning of period	2,836	213
Cash and cash equivalents at end of period	$ 4,840	$ 2,836